funeral

Huffington Post…

SHANGHAI (Reuters) – China has arrested former executives at two brokerages on charges of insider trading, the securities watchdog said, as part of a crackdown on market malpractice that the new head of the agency has said will be one of his top priorities. The China Securities Regulatory Commission (CSRC) detailed on its website four cases of market manipulation and insider trading that it has investigated, including two that led to the arrests of former executives at Southwest Securities Co Ltd and Northeast Securities Co Ltd . The cases are the latest in an increasingly high-profile campaign by CSRC chief Guo Shuqing to stamp out rampant wrongdoing in the country’s stock market, which has languished despite the country’s nearly double-digit economic growth. In one case, Qin Xuan, a Northeast Securities manager who advised on the restructuring of a Shenzhen-listed pharmaceutical firm, used the information he obtained in that process to trade the company’s stock, and also leaked the information to a friend. In another case, Ji Minbo, former vice president at Southwest Securities, gained 20 million yuan ($3.2 million) by using information that was not publicly disclosed to trade more than 40 stocks from 2009 to 2011, the CSRC said. “No matter how concealed illegal practices are, inside traders will eventually be punished by law,” the CSRC said in the statement that detailed Qin’s case. The other two cases on which the agency published details involved securities consultants using commentators, research reports and media to talk up stocks they own before selling the securities to make a profit. China has been stepping up its crackdown against illegal trading activities and tightening supervision against fund managers, brokerages, consultants and executives of listed companies in a bid to build confidence in a stock market where illegal trading activities have been rampant. In August, former stock analyst Wang Jianzhong was sentenced to seven years in prison and fined 125 million yuan, on top of having illicit earnings of the same amount confiscated, becoming China’s first convicted stock market manipulator. Guo, the former China Construction Bank chairman who became CSRC chief in late October, said in a speech in early December that the regulator would adamantly crack down on accounting fraud, insider trading and other illegal activities. Earlier this month, the agency exposed the country’s biggest-ever case of stock market manipulation that involved an investment company, Guangdong Zhonghengxin, orchestrating “pump-and-dump” schemes related to 552 stocks, out of which it made 426 million yuan. The CSRC has also recently published rules that would require listed companies to keep records on anyone who may have access to price-sensitive information. ($1 = 6.3364 Chinese yuan) (Reporting by Samuel Shen and Jason Subler; Editing by Kazunori Takada) Copyright 2011 Thomson Reuters. Click for Restrictions .

Read the original:
China Arrests Executives For Insider Trading As Part Of Wider Crackdown

Find our Weekly Commercial Real Estate, Private Equity and Fund Newsletters at www.WeeklyBrief.net

{ 0 comments }

Huffington Post…

It wasn’t so long ago that Charlie Sheen, the indisputable bad boy of the small screen, stunned and captivated America by going on what many believed to be the psychotic celebrity meltdown of the year. After delivering a radio rant that was filled with so much shock and awe it made Howard Stern seem more like Mr. Rogers, Sheen decried many psychologists’ suggestion that he may be bipolar and instead added a new word to our lexicon, “bi-winning.” Without placing any judgment on the content or character of Sheen’s initial PR faux pas (after all, I think we can all agree that his characterizations of the respect-worthy Mr. Lorre were culturally insensitive, to say the least), I, like many spectators to that circus, was fascinated by Sheen’s flagrant rebellion to his boss’ ultimate attempt to win the war of words. Watching in amazement from the edge of my living room seat, I excitedly cheered on the rogue TV star and was one of the first 1,001,000 people to “follow” him when the sparring match spread from television to Twitter. I watched all of the live Ustreams (OK, maybe just the first two), tuned in for all the primetime interviews and E! investigative reports, and contemplated buying tickets to Sheen’s one-man show (but right before I clicked to confirm my purchase, my better sensibilities kicked back in). Surely, I was aghast over Charlie’s verbal recklessness, but as a former member of the Unemployed and Discarded of America, I recognized something much greater in the actor’s antics. After reading Sheen’s Twitter bio line, I was both inspired and motivated and thought, “Why didn’t I think of that?” Succinct and impactful, it simply read “Unemployed Winner!” I cheered. In that moment I was transformed from a horrified viewer to a card-carrying member of Team Sheen, because with those two words, even if unknowingly, Sheen offered a platform of defiant dignity to many Americans battling the shame and loss of respect that comes with unemployment and job termination. Whether downsized, laid off, fired or berated in a public battle carried out across the television, radio, tabloids and the Web, any person who has ever faced the misfortune of losing a job has also had to deal with the loss of self-esteem and self-identification that it brings. There is no golden parachute or exit counseling that can prepare you for the confusion and shame that you experience the first time, or the one thousandth time, someone asks you what you do. In a culture where people are commonly defined by occupation, salary range and job title, the unexpectedly unemployed are left to suddenly piece together the remnants of their pride and embark on an arduous soul-searching journey to answer the question, “Who am I?” In two simple words, poetically placed in the bio field of his Twitter profile, Sheen gave a new, hip answer to that question — not only for himself, but also for all of the displaced and daunted ex-workers of America. With the click of Charlie’s mouse, we all became unemployed winners. We were reminded that our jobs, or lack thereof, do not define us. We remembered that we are the same people today that we were when we were employed. We were encouraged that we are not alone in the proverbial unemployment line. We witnessed that neither our former bosses, nor the HR reps, determine our value. And most importantly, we learned that we decide who we are. Each of us, every day, has the opportunity to write our own bio, to define for ourselves who we are. Even amid hardship, unemployment, financial strain and controversy, we have the power to write the scripts for our own lives. Charlie Sheen did not wait to land a new role before updating his résumé. He didn’t wait for a Wikipedia writer to update his bio to include “out-of-work actor.” He didn’t wait for the tabloids to pen his feature story, “The Tragedy of the Talented Mr. Sheen.” What he did, and what I found to be exceptional, was take ownership and authorship of his own life, by telling the world who he is: the same person he’d always been in his eyes, a winner. By declaring victory in the face of adversity, Sheen redefined his circumstance. When everyone around him said he was crazy, Charlie told us he was #WINNING ! When the psychologists said he was bipolar, Charlie said he was bi-winning. When the media reported that he was out of his mind, Charlie rebutted that he was from out of this world — a ” rock star from Mars ,” to be exact. Fast forward less than six months, and the actor who starred in his own self-made production of “The Terminated” is slated to star in an all-new television show scheduled to debut this fall. Based on early reports, Sheen will play a character very similar to the man America got to know and obsess over during the past few months. While this news may come to the chagrin of some, I believe this offers a valuable lesson in unemployment management. We, the pink-slipped of America, must continue to hold our heads up high and refuse to accept any notions of diminished self-value. Like Sheen, we must define ourselves for ourselves, and in the end we just may find that the universe, and the job market, will hire us to fill our own custom-made roles. Now that is #WINNING !

Read this article:
Kelly Smith Beaty: How Charlie Sheen Made 14.1 Million Americans Winners

Find our Weekly Commercial Real Estate, Private Equity and Fund Newsletters at www.WeeklyBrief.net

{ 0 comments }

BofA Gives $30K Worth Of Social Security Payments To Wrong Person

July 12, 2011

Bank errors with serious consequences continue to pile up, and not only because of the “robo-signing” that has become so closely associated with allegedly wrongful foreclosures. Robert Weber, 88, of Riverside, California, reportedly failed to receive his monthly Social Security checks for as long as 2 years, the total amount that he failed to receive equaling roughly $30,000, according to the Los Angeles Times . (h/t The Consumerist) This, the newspaper reports, was because BofA had given his bank account number to another customer, who had been receiving the monthly social security deposit instead. When Weber’s grandson, David Madden, confronted BofA, he was told that while they were certain the money was being deposited in the wrong account, there was nothing they could do about it, according to reports. BofA only actively corrected the problem when the District Attorney’s office initiated its own investigation. Ultimately, it was the Federal Government, not BofA, that gave Weber the money he was owed. He’s only the latest victim of an unforced banking error, which now include stories of unnecessary arrests, lost jobs, wrongful foreclosure notices and even more misallocated money. In June 2010, as King 5 Seattle reported, Chase Bank had 28-year-old Ikenna Njoku of Auburn, Washington jailed for trying to cash a check that they believed was a forgery. He, as a result, lost his job, his car as well and the roughly $8,500 he was trying to cash. The check was, in fact, not only legitimate but issued by Chase Bank itself. In June of this year, Laguna Beach resident Stephen McDow was arrested when it was discovered that he spent $60,000 of $110,000 that was misallocated into his account by his own bank. As CBS Los Angeles reported at the time, Mr. McDow used the money to help pay down his personal debt. Earlier this year, a Northampton resident was asked by Bank of America to pay off a balance of $0.00 or his home would go into foreclosure. BofA, when it realized the mistake, apologized and sent a $150 gift certificate. Read the entire story here.

Read the full article →

Steve Mariotti: Remembering Ayn Rand

April 21, 2011

I am the founder of the Network for Teaching Entrepreneurship (NFTE) and I would like to share my personal memories of Ayn Rand and the effect she and her work had on my life, which provide interesting sidelights on the legendary founder of Objectivism. It took me two months to read all 1069 pages of Atlas Shrugged in 1967, as a 14-year-old. Rand’s famous novel was sent to me by my grandfather, Lowell B. Mason, who was Ayn’s friend and advisor. Reading it was what made me want to be an entrepreneur. Featuring an inspirational hero who was independent and could get things done, Atlas Shrugged was the first work of fiction I had ever read that talked positively about entrepreneurs and the wealth they created. It eventually motivated me — as a 9th grader in Flint, Michigan — to move to New York and start a business. So here is my story. I met with Ayn Rand three times, beginning on Memorial Day of 1980, and our correspondence continued through mid-January of 1982, two months before she passed away, on March 6th. Our last meeting was right before her trip to New Orleans, in the fall of 1981, where she spoke at my friend Jim Blanchard’s convention on investments. Jim was the top expert in the world on gold investment, and he got Ayn to be the featured speaker by arranging for a private train car for her trip. My appointment on Memorial Day in 1980 was at 11 in the morning. I was overdressed for the weather, and sweat streamed down my face as I walked around the block at 34th Street and Lexington Avenue, putting off the meeting with my role model. Despite her well-known inaccessibility, Ayn Rand had agreed to meet me, a 26-year-old entrepreneur, through a connection with my grandfather, a famous libertarian lawyer who had worked with Clarence Darrow in the Depression. Now, procrastinating, I could barely breathe. I was exhilarated and terribly nervous. She was a great hero of mine; I had memorized large parts of Atlas Shrugged . However, I would find out that the Ayn Rand I had fantasized about was not the Ayn Rand I was about to meet. I finally went into the lobby of the Tudor-style building at 128 East 34th Street, and rang the bell for apartment 6D. (The name on the directory was O’Connor — Frank O’Connor, her husband, had recently passed away.) “I never agree to meet with anyone,” were her first words. And then: “You’re right on time. That tells me something about you. Your grandfather Lowell has been my close friend since I started writing The Fountainhead. He gave me good advice on some legal issues. His Language of Dissent was brilliant,” she continued, pointing to the copy on a bookshelf. “Otherwise I would never have agreed to see you. I am old and do not have the energy.” She wore a black dress that came to just below her knees, and her hair was pulled back and up. She made a point of standing beneath a topless portrait of herself painted 40 years before, when she was in her thirties. She examined me intently, wearing the same sly smile she had in the portrait. She was beautiful and, standing directly below the picture, she seemed to be saying: “And I am still this sexy?” She was. With her high cheekbones, full bosom and bright green eyes, she looked like an earthly goddess who had stepped out of one of her novels. I called her “Dominique,” and then “Dagney,” and she smiled and touched my arm. She knew I meant it when I told her how beautiful I thought she was, and laughed a loud, Russian laugh.” I was in love. She showed me around the apartment — everything but the bedroom; she said it was too untidy for me to see. She showed me the massive drafting table on which she’d written every page of Atlas Shrugged by hand. She mentioned how she’d outlined various thoughts and ideas from Part Three of Atlas Shrugged : “A is A” — on the table in ink. When I asked where she had outlined parts One and Two, she laughed and said she would tell me later. (She never did.) It was amazing to think that she had laid out the handwritten pages of her masterwork on this very table every night. She showed me some handwritten pages of an unpublished article about the impact of Atlas Shrugged , as well as ten or so pages from a draft of the manuscript of Part One of Atlas Shrugged , “Non-Contradiction.” We talked for about an hour in her apartment — over the noise of a maid, who was cleaning. Then we headed out for lunch. The maid, a soft-spoken African-American woman, said: “Ms. Rand, please do not be long, and absolutely no smoking.” (I didn’t know at the time that she had been diagnosed with lung cancer.) As we walked down Lexington Avenue, I quoted my favorite passages from both her novels, and also from the Objectivist Newsletter. At the corner of 33rd and Lex, I happened to mention King Vidor being the director of King of Kings . It was Cecil B. DeMille. Ayn said: “Now that you’ve gotten one wrong, can you be quiet and let me talk?” Of course I had been rattling on, as we walked from her apartment to the restaurant. I wanted to impress upon her just how significant she had been to me growing up, and that I knew she had met her husband on the set of King of Kings, in 1927. But, because of that one slip, I had to pretty much suppress my urge to talk further and, over the next four hours, let her have the lion’s share of the conversation. The restaurant was closed because of the holiday. As we walked on, looping back around towards her apartment, I remember thinking, “This is going to be a short meeting; we are going to end up back at her front door and that will be it. She won’t invite me up because the maid is cleaning.” Luckily we found a diner a block further on, back on 34th Street, and settled in. Ayn ordered cereal and I got a hamburger. She lit a cigarette and didn’t stop smoking and blowing smoke in my face for the next four hours. She did not eat at all. When it was apparent that I was uncomfortable with her smoking, Ayn shrugged and said, “I can’t do this in front of my housekeeper because it’s bad for my health. Do not be such a complainer.” The time went by in an instant. We talked about philosophy and economics and her work and career, and the love of her life, Frank O’Connor. In our time together I understood how she could have created a worldwide movement against totalitarianism just through force of will. But, sadly, she was also an adherent of atheism, a point of view I so strongly disagreed with that I could not keep silent about it, and the debate was on. In her words, I was a “mystic fool,” but I pushed back with Pascal’s argument that this world is so complex that some higher power must have created it. She was fearless and said exactly what she thought, in short, perfectly formed sentences. She was extremely judgmental, and every remark was dissected and commented upon. But earlier in my life I had faced off with Madelyn Murray O’Hare, the famous American atheist, and I too was fearless, at least on this subject. But she also spoke about her childhood, her father the pharmacist, growing up in and then leaving Russia, and about her sister, who came to live with her in the 1960′s. Throughout the conversation she would laugh often — loudly and joyously. I listened intensely to her every word, sensing that being with this beautiful woman would impact my life forever. As our visit was coming to an end, she said, “You listen and talk well but too much sometimes. You would make a good teacher. I’ve been taking math lessons in arithmetic; can you show me how to do this problem?” It was a simple procedure of dividing fractions and I showed her how to do it, feeling the pleasure of knowing something she did not. (Years later, in one of life’s great coincidences, I was in the same class with her math teacher.) I paid the check, we walked back to her apartment building, and said goodbye. I told her: “You are a great teacher, Ms. Rand.” She walked into her building and that was the end of our first meeting. A few days later, I sent her a book about Hollywood that she was mentioned in, along with a hand-written thank-you note. She didn’t reply, so a few weeks later I sent another gift — Russian candy — meant humorously, with another note. She sent them back. The returned gifts were accompanied by a letter from Ayn’s secretary, saying that Ms Rand had only seen me out of courtesy to my grandfather. I was devastated. This incident cut me deeply. I was so scarred by the rejection that I couldn’t even tell anyone about it for 15 years. Ayn had been so nice to me during those smoke-filled hours, which made the letter from her secretary all the more distressing. (I promised myself never to treat anyone like that, and I never have.) I felt then what others had told me: my idol was nothing more than an egotistical, self-absorbed recluse, and just as flawed as anyone else. Fifteen months later, in September of 1981, we both got another chance. Again my grandfather had intervened, calling Ayn and apologizing on my behalf. To me, he said: “You were too intellectually aggressive.” I was shocked, and didn’t say anything about my virtual silence for those four hours in the restaurant. My grandfather continued: “Because she hurt your feelings last year, she will see you one last time — for fifteen minutes. Don’t mess it up this time. She is a genius and you can learn a great deal from her. Do not talk or take issue with anything at all.” I met her in the lobby of her building in the early fall of 1981. I had been so shaken by her letter and the return of my gifts that I must have looked like a stunned little kid — beyond chagrined. She said, “Don’t be so weak. Weakness sickens me. Do not make me feel pity.” I knew she was quoting from The Fountainhead ; I then quoted the preceding and following sentences. She laughed, and said, “OK, you’re forgiven.” She looked even more beautiful to me this year. Her intelligence shone from a face that was now over 76-years-old. We went back to the restaurant on 33rd and Lexington that had been closed the previous Memorial Day. I gave her a bracelet my mother had given me when I left Flint. She put it on over a green shirt that was covered by an old blue sweater, with an elegant gold brooch pinned to the sweater. Her outfit was completed by a pair of baggy black pants. We sat at her favorite table by the door, exactly on the corner. She knew all the waiters, who were very respectful to her. I excused myself and went to the bathroom. On the way, I asked one of the waiters: “Do you know who that is?” “Of course,” he replied, “she’s a writer, right?” This time Ayn and I talked for at least five hours. She was still grieving over her husband Frank’s death. She smoked continuously, and said: “No one knows how sad I am. And this pain from Frank is killing me.” She blew a cloud of smoke in my face and said, “You should come to my funeral.” I laughed when she added: “And I mean it” — the four words that had guided her life. She told me in detail how she met Frank O’Connor on the set of King of Kings on a bus for the extras. She then did not see him for several months, until running across him by chance at the studio library, where he was reading about art history. She told me with a breaking voice what he was wearing on his tall frame. She had kidded him about his baggy pants and he had laughed at her accent. They both liked the poem “IF,” and she recited it to him from memory. For her, it was love at first sight. She told me many anecdotes about Frank and related how he had had a stroke before he died, which interfered with his ability to talk but not his ability to hear. Then she started to cry. I was shocked — everyone had told me she never cried, except once at the Foundation for Economic Education (FEE), a think tank for the ideas of Henry David Thoreau, when Ludwig von Mises — the legendary free market economist — had yelled at her. Von Mises told her that she was a stupid ignorant Russian peasant woman, and she broke down. When I mentioned this story, she got upset. She said Von Mises, always a gentleman, would never have said such a thing, that he had a deep respect for her. As she tells it, William F. Buckley had made up the story to hurt her. To change the subject, I brought up God and spirituality. We had spent a good deal of time at our first meeting arguing about spirituality — my belief in God and her hatred of the concept. “You will see Frank again in a spiritual sense,” I said, “there is just too much energy for it all to disappear. There are over two billion calculations a second for the body to function. That is so incredible, someone had to create that. And if that is so, then anything is possible.” She nodded, half-sobbing, her face heavy with tears. “I hope so” she said. “I would do anything to see him one more time.” She showed me notes he had written to her after the stroke. They were in large letters in what looked like a third-grader’s printing. “I hope you are right, maybe you are. I think about it all the time. I do not know. I just do not know,” she said. After a long pause, she added: “I will find out soon enough.” “Let me know,” I said, and we both laughed. I pointed out her use of “God” on Phil Donohue (whom she adored). “You did say God bless America,” I teased. She laughed that wonderful laugh again — she was so charismatic. I said: “You should let the public know that, that you have doubts. So many people follow you.” She waved her hand dismissively: “So what. Let them find their own way, I cannot help them.” I told her about my interest in politics and my desire to help maximize people’s personal and professional freedom — particularly for poor children. (I had recently been mugged and was thinking about making a career change to work with the type of children that had humiliated me.) She agreed that that was laudable, “Provided they have a good philosophy of reason and that they are objective and face reality,” she added — in what sounded like a harbinger of the didacticism that would come soon after her death, and scar Objectivism for decades. “You should be a teacher. You have a knack for it,” she said, repeating her comment of fifteen months before. “If you could teach people that are born poor to create value and be capitalists, that would be good. Look at what I was able to do with nothing — I had no money or skills, just a vision of what I could become. I wanted to be a writer and philosopher.” Little did I know how those words would guide me in the very near future. I gave her copies of three papers I had written on economics. One of them has since become famous as the first statistical test of the Austrian Trade Cycle Theory; another was my attempt to bring a unity to the different methodologies of economics, a paper F.A Hayek — a Nobel Prize winner — had loved when I had studied with him in 1977. She promised to read them. In passing, I told her of my activism for gay rights, thinking she would be pleased. She was not pleased, and also made it clear that she hated Murray Rothbard who, along with Charles Koch and I, had just co-wrote the Libertarian Party Platform. “We made him leave our study group,” she said, referring to Rothbard’s excommunication from the Collective, a discussion group of intellectuals that met weekly in her apartment. When we left the restaurant, having let her do almost all the talking, I said nothing — but gave her a hug. We walked back to her building, just as the housekeeper was coming out: “Ms. Rand, I was just coming to find you.” A colleague of hers had come out too, and began yelling at me that I had kept Ayn out too long and that I was boring her. I think perhaps he felt threatened by her being with me. Ayn turned and said, “You made me feel better.” I laughed and replied, “I thought people were not supposed to feel.” She gave me a quick one-finger handshake and said: “One more meeting and that is it — I am tired.” She added: “Do not count on me for any more visits.” I answered: “OK, but you did say we could have coffee; I love being with a beautiful woman. Can I get a picture with you, please?” I handed my camera to the housekeeper, at the same time calming her colleague down. “No, absolutely not, I am too old! If I am alive next year, perhaps,” she said laughing. “If not, come to my funeral.” Over her objections, the housekeeper took a picture (which unfortunately I lost 20 years later). Ayn and I both laughed, and she went inside the building with her companions. This time I waited a month to call her and sent no notes or gifts. When I got her on the phone, she said, “I am too tired now,” and then: “I can see you for a cup of coffee, perhaps, but only for twenty minutes. You wear me out.” I was pleased and promised not to talk at all. I met her at the same restaurant, but she was grumpy, irritable, and tired. We left after twenty minutes. I had absentmindedly left my jacket at the restaurant and her housekeeper called to say that I could come over to the apartment and get it from the doorman, that I could say hello to Ms. Rand for a minute, then leave. My visit got postponed several times. The last time I called, Ayn got on the phone and we spoke for a minute, but she sounded tired. I never picked up the jacket. After her return from the trip to New Orleans, where she had spoken on the topic of Morality and Capitalism, I received a letter from out of the blue: “I had seen you out of respect for your grandfather. You turned out to be a terrible disappointment. The fact that you support the immoral acts of homosexuals shows me you are a second-hander who likes his heroes with clay feet. Do not call me again or contact me in any way. Here is the bracelet — I do not want it. I am burning your papers.” It was like someone had taken a hot knife to my stomach. But the letter so contradicted how our last encounter had played out, that I was unsure if it was even written by Ayn herself. She had made a point to “cc” this letter to several individuals, including Leonard Peikoff. And that was that. This final communication hurt so much that I have never talked about it until now. In my opinion, based on our last conversation, Ayn Rand died a deist or an agnostic, not an atheist. Sadly, her intense dislike of gays and the gay liberation movement led to our falling out, during that last meeting in January of 1982. I felt that she had replicated the world she had grown up in, where the Tsar — then Lenin — would ostracize (or worse) anyone who disagreed with official attitudes. I will forever reject Rand’s philosophy of Objectivism, because it denigrates the importance of spirituality. It also overlooks the limits of a market economy in solving a variety of serious problems caused by the economics of externalities and public goods. I fully appreciate Ayn Rand’s influence in stopping the worldwide rise of totalitarianism, in encouraging the feminist movement, stimulating discussion of the legalization of victimless crimes, and the jump-starting of libertarian politics . And she was uncannily prescient. Inspired by her, I subsequently spent 30 years teaching at-risk youth and, in 1987, I founded NFTE, where I still teach. Sadly, many of the events she wrote about in Atlas Shrugged are coming to pass.

Read the full article →

Triangle Factory Fire’s Legacy Under Threat

March 25, 2011

“We have been legislated to death.” – James T. Hoyle, Secretary of the Manufacturers’ Association, explaining his opposition to new laws proposed in the wake of the Triangle Shirtwaist Co. factory fire, May 19, 1914 “The regulations are killing us” – Congressional candidate George Pendergrass during the Nevada Republican primary, May 12, 2010. Susan Harris’s voice grows hoarse with emotion when she discusses last year’s BP oil spill and the Upper Big Branch mine disaster, two of the biggest industrial accidents in the nation’s history. But the 62-year-old artist from Los Angeles gets even more passionate expressing her disappointment that the two incidents have not prompted more safety rules, instead lost amid a backlash against government regulations to protect worker safety and health. “How do people become so hard? It’s disgusting,” she says. “What are our priorities as a country? It’s really ironic that this is happening right now on the anniversary of the fire.” Harris is referring to Friday’s 100th anniversary of the Triangle Shirtwaist factory fire , in which 146 workers, mainly young immigrant women, were burned to death or jumped to their deaths. The workplace tragedy, which was caused by dramatically unsafe conditions and blocked exits, inspired dozens of reforms, later helping pave the way for the New Deal, and invigorated the union movement. That tragedy has a special poignancy for Harris — her grandfather, Max Blanck, was the owner of the factory and was tried for manslaughter due to the unsafe conditions, which included a locked door that trapped dozens of young seamstresses in the burning ninth-floor room of the Asch building. Haunted by the tragedy, Harris recalls how she did not even find out about her family’s legacy until she was a young teenager and stumbled across her grandfather’s name in a book — the family changed its name slightly in the wake of the accident. “It has affected me deeply. As I grew up, I reflected more on what was going on in my world,” says Harris, who has met with relatives of victims and created an art exhibit to honor the victims’ memories. “I definitely became more sensitive to workplace conditions — when I see and hear about young women working in sweatshops in Bangladesh, females who are raped on their way out of work, it has an effect on me. Look at what is happening today — people are trying to deregulate all these important workplace protections at an exponential rate.” Harris is referring to an assault that has only grown in the first few months of the Republican-led House of Representatives. The GOP’s budget proposal includes slashing $99 million from the Occupational and Safety Health Administration, a 40 percent reduction in the budget of the federal agency most responsible for making sure the nation’s workplaces are safe — Democrats claim that translates into 8,000 fewer workplace hazard inspections and 740 fewer whistleblower discrimination probes. And the new chairman of the House Oversight and Government Reform Committee, Rep. Darrell Issa (R-Calif.), has vowed to take a tough look at regulations that impede job growth , soliciting suggestions from industry groups that included OSHA regulations. Last month, Rep. Tim Walberg (R-Mich.) led a hearing that largely criticized OSHA’s impact on business, during which the freshman lawmaker thundered about “needless rules and onerous regulations.” During Walberg’s hearing, which was dominated by discussion of the costs of OSHA regulations on corporate bottom lines, one of the most emotional moments came when Tammy Miser, an advocate for worker safety and founder of United Support and Memorial for Workplace Fatalities, undercut the lawmaker’s thesis. Miser said she was there to deliver “a personal story of why OSHA regulations are needed” and cried as she described how her brother, Shawn Boone, was killed in 2003 in an aluminum dust explosion at a factory that produced aluminum wheels, where fires happened on a regular basis and she claimed that workers were instructed not to call the fire department “because it was costing them too much money.” Despite Boone’s death and the tragic dust explosion at the Imperial Sugar refinery in 2008, which killed 13 and injured 42, OSHA has still not issued a final rule to regulate combustible dust. “Some companies choose to gamble with workers’ lives because there are no OSHA standards,” said Miser, in discussing the Imperial Sugar disaster. “The buzz that the regulations kill jobs … that’s just nonsense,” said Miser, noting that only two regulations have been passed by OSHA in the past 10 years. And one of them — applying to cranes and derricks — came too late for Steven Lillicrap, a 21-year-old construction worker who was killed when he was pulled into the cables of a 100-ton crane in 2009 while OSHA was still revising the standards for the rule. “It was finally issued in July and is expected to prevent 22 deaths and 175 injuries and millions of dollars in property damage per year. The benefits far outweigh the costs of this rule.” Miser paused and added, “There’s no price tag that can be put on seeing your husband walk your daughter down the aisle or seeing your baby born. I’ve talked to family members that have had children and their husbands are gone. Their babies are never going to know their father. It’s nothing like seeing your child graduate from college or holding your grandbaby.” Locked Doors, Charred Bodies On Saturday, March 25, 1911 , the end of the workweek, many of the young men and women toiling at sewing machines and cutting cloth at the Triangle Shirtwaist factory near Washington Square Park were getting ready to leave for the day when flames suddenly burst from a trash can on the eighth floor. The fire spread quickly through the factory, which had no sprinklers and where fire drills were not required, consuming the ninth and tenth floors as workers tried in vain to put it out with buckets of water. They quickly unraveled a water hose, but no water came out. Hundreds of workers raced to an exit door where a young man screamed, “The door is locked? The door is locked!” Dozens made their way onto freight elevators, whose operators risked their own lives to save 150 people, but those who were crowded out jumped down the shaft or out of the windows onto the street below. The wet sidewalks were covered with 146 bodies — mainly Jewish and Italian women struggling to earn a living making blouses in the sweatshop — many of them charred beyond recognition. Over 100,000 took part in the funeral procession, which was watched by over 300,000 New Yorkers — many of them expressing rage at the factory owners, who had put profits before safety and prevented the workers from forming a union. Two years earlier, a general strike of garment workers, mostly Jewish women, had led to improved wages and working conditions, but that didn’t change the union status of Triangle workers. It was still a dangerous time to toil in a labor-intensive industry. “About 100 workers were killed on the job every day in 1911 — mine collapses, railroad accidents, steel mill accidents,” says David von Drehle, the author of “Triangle: The Fire That Changed America.” “If you go back and read the newspapers from that period, it’s shocking how common the headlines show up.” At the manslaughter trial of Blanck and factory co-owner Isaac Harris, witnesses were galvanized when one of their employees testified that Harris told him after the fire: “The dead ones are dead and will be buried.  The live ones are alive and they will have to live.  Sure the doors were locked; I wouldn’t let them rob my fortune.” Despite the public outcry, changes were not immediate. A year after the fire, many proposed regulations and laws were clogged in legislative inertia. Though The New York Times ‘s news pages were full of graphic accounts of the tragedy and unsafe conditions at the factory, the paper’s editorial page somberly cautioned against excessive regulation, arguing, “Excited persons rarely accomplish anything … No new laws are needed.” Four years after the tragedy, one letter writer to the Times decried industry-supported amendments that threatened to gut the new laws, including one that would exempt New York City and other cities “altogether from the operation of all safeguards affecting the safety and health of factory operatives.” And factory owners Blanck and Harris were acquitted of manslaughter due to too much conflicting evidence — two years later, Blanck was fined $20 for having the doors locked at another of his garment factories. Shocked and outraged citizens demanded better working conditions, and New York state enacted almost 40 labor laws in the following three years. In 1935, Congress passed the National Labor Relations Act to ease union formation and protect collective bargaining and the rights of striking workers. Though previous tragedies — from the Great Chicago Fire of 1871 to the fire that engulfed the General Slocum steamboat — sparked reforms, the political consequences of the Triangle fire were the most widespread, forming a political alliance between labor, liberals and lawmakers that shaped the Democratic Party for decades to come. “There are a handful of catalytic, galvanizing moments where history really gets a big push to give us the world that we live in today, and the Triangle fire is one of those,” von Drehle said. Unlike the sinking of the Titanic, he said, “Triangle led to changes that influenced the way every American lives .” Still Unsafe To Work A century later — despite the regulations, laws and a more educated workforce — such workplace tragedies continue to happen. Within the last two months in the New York City area, these accidents occurred: Limin Min Huang was crushed to death at the dry-cleaning plant in Jamaica, Queens, where she worked, when her scarf got caught in a flatwork ironer, pulling her into the machine. At least six workers fainted and vomited after being overcome by carbon monoxide poisoning due to the lack of ventilation at a warehouse in South Brunswick, N.J. And construction workers Brett McEnroe and Roy Powell died after falling 65 feet in an elevator shaft inside a building site that lacked several safety precautions on Manhattan’s Upper West Side. Among the clothing and garment industries, there remain potentially unsafe working environments, sometimes due to new hazards that didn’t exist at the time of the Triangle fire. Last September, OSHA cited New Jersey’s Miskeen Originals for numerous workplace safety and health violations, including employee exposure to methylene chloride, a hazardous chemical linked to cancer and adverse effects on the heart. But the penalties remain paltry. For one willful violation, the company was slapped with a $28,000 fine, along with a $15,150 penalty for 12 serious violations. “Even a hundred years later, workplace safety concerns are still a problem,” says Catherine Ruckelshaus, the legal co-director of the National Employment Law Project, which released a report last year concluding that workplace violations are severe and widespread in New York City’s low-wage labor market. “You hear about the locked doors at the Triangle factory and it’s shocking. But to this day, we hear about grocery store workers in Brooklyn who are locked in the stores at night and it’s a very common practice in retail and the garment industry to lock the doors — they say it’s to prevent theft, which is what the Triangle factory owners claimed.” Ruckelshaus says that though there are much better laws and regulations on the books than there were back in 1911, many of them are not being enforced and there are many parallels between now and then. “In many ways, we haven’t made much progress,” she says. “The Triangle fire was a mostly immigrant population in a very competitive business. We have that now with janitorial, home health care, security workers, the garment industry — any labor-intensive industry, you have the same pressures.” Among the NELP report’s findings: only 11 percent of injured workers file a workers’ compensation claim and 16 percent were fired or told not to file a claim when they told their employer about the injury. Every week in the city, $18.4 million is lost to “wage theft,” meaning violations such as paying less than minimum wage. “It happens all over the place — unsafe construction sites, sweatshops tucked away in all corners of NYC, just blocks from the Triangle factory site,” says Leigh Benin, who worked briefly in the garment industry. “The other part of it is, which is just as shameful, is that 95 percent of garment manufacturing is now offshore. Clothes are being made in Bangladesh, where they have very similar conditions to the Triangle factory, where workers are locked in.” Benin , whose grandmother’s cousin Rose died in the Triangle fire, says that “it was routine to lock doors, to search people when they left.” For him, the Triangle tragedy was a living memory and he would hear the details from his grandmother’s lips. “I felt that deep sadness in her and I felt close to her,” he says. “And then it came to me, that there is something I can do, to try and make sure that we will never forget them, that they shall not have died in vain. That they could look back and say, ‘They died, but we did something to make sure that won’t happen again.’” Benin, now a professor at Adelphi University, is taking part in ceremonies to mark the anniversary but says he worries that the fire’s legacy of workplace reform is under threat, partly because so many people have no memory of the fire. He cites the example of Frances Perkins, a young social worker who was having a cup of tea across the park on the day of the fire when she heard the commotion and saw women jumping out of the windows to their deaths. “From that day forward, she made the determination to make that tragedy count for something, that those lives were not in vain,” he said. Perkins, as a member of the Factory Investigating Commission, helped push through dozens of workplace safety laws that became a model for the rest of the country. She later became President Franklin Roosevelt’s first female Cabinet member, serving as Secretary of Labor and helping push through the Social Security Act, laws against child labor, and the Fair Labor Standards Act, which established the first minimum wage and overtime laws. The factory commission report had an enormous impact, says Kirstin Downey, the author of ” The Woman Behind the New Deal ,” a biography of Perkins. Speaking at a recent symposium on the Triangle fire sponsored by the National Consumers League, Downey held up a volume from the 13-volume report, explaining that it revealed unsafe and unsanitary conditions in numerous factories and led to workplace innovations like fire escapes, sprinklers, lighted exit signs, occupancy limits, regular fire drills and bans on smoking in factories that Americans take for granted. At the ceremony to mark the 50th anniversary of the Triangle fire, Perkins and Eleanor Roosevelt were at the podium, says Benin. “They could look back and talk about the legacy of reform, at all the progress that had been made in the decades after the fire. But if you look back at what’s been going on the last few years, it’s been an attempt to undo the reforms and the union movement, to return us to an era before the New Deal, even prior to the progressive era, to some new Gilded Age.” Benin argues that people don’t die of excessive regulation. “Was there too much regulation of the mining industry after 29 people died or BP where 11 people died? Let’s assume that it’s impossible to find a completely reasonable approach to everything and that inevitably we’re going to err on one side — I’d much rather err on the side of too much, because too little ends up harming people or killing people,” he said. Considering the lobbying forces marshaled by corporation and industry groups, Benin says that it’s an unequal fight. “The forces arrayed against regulation are the wealthy and powerful, whose vision doesn’t extend beyond the bottom line,” he said. “The largest question is, ‘Who is responsible for the public good? Corporations are only responsible to their shareholders or to their own egos. So, it can only be government officials.” Similar to the anti-regulatory zeal displayed in the industry response to Rep. Issa’s recent request for lists of burdensome regulations, there was an “incredible litany of business lobbying groups in New York state and New York City who had the exact same arguments as the Chamber [of Commerce] has today,” says Peter Dreier, a professor at Occidental College and HuffPost blogger. Describing the arguments found in transcripts of the factory investigation commission hearings, Dreier recounts: “‘If you make us put fire sprinklers in,  if you require fire escapes’ and other things we now take for granted, ‘industry will leave New York and it will become a ghost town.’” Dreier is alarmed by today’s anti-regulatory climate. “If today’s Chamber of Commerce were around in 1912, they would say fire sprinklers are burdensome government regulations that will drive out jobs,” he said. “They would call for voluntary corporate responsibilities to fix mine safety and oil rigs. … What we learned from the Triangle fire is you have to have a set of rules and standards that protect workers.” The Chamber strongly disputes that characterization. The preeminent business lobby’s executive director of labor law policy, Marc Freedman, says that the group supports OSHA and that workplace safety is a primary concern of employers. Freedman argues that there are valid questions about how OSHA spends its money and whether it overemphasizes enforcement at the expense of efforts to work with employers on compliance assistance. “What I seem to be seeing from a number of voices is to connect the Triangle tragedy with some of the contemporary efforts surrounding unionization or other workplace accidents and disasters,” he says. “Clearly, Triangle Shirtwaist had a deep meaning and resonates as one of the signature events that triggered workplace reforms, and it’s a good thing we’ve moved on since then.” He adds that companies have made serious investments to achieve the goal of no workplace accidents or fatalities, explaining that “there are going to be employers worthy of enforcement by OSHA, but the question is whether the agency is only going after employers who have truly disregarded the safety of their workers.” Freedman argues that the chamber’s focus on regulation is more about what the Obama administration is trying to do and not about the rules and regulations that are already on the books, adding that some of OSHA’s regulatory ideas are not well-founded. The legacy of the Triangle fire is palpable to every American, says Benin. “If you’re sitting in a workplace right now, you’re enjoying safety regulations that came about because of the fire — sprinkler system, fire drills, clear exits,” he says. “Over 30 fire safety laws came about and we are all benefiting from the loss of those 146 lives and what that tragedy did to shake up the country.”

Read the full article →

Ohio Funeral Home Stopped From Liquefying Bodies

March 23, 2011

COLUMBUS, Ohio — An Ohio funeral home that is the first in the nation to use a cremation alternative that dissolves bodies with lye and heat has effectively been blocked from using the procedure by state regulators. Edwards Funeral Service in Columbus is the only U.S. funeral business offering the procedure called alkaline hydrolysis to the public, according to Jessica Koth, a spokeswoman for the National Funeral Directors Association. The process is touted by proponents as being better for the environment than cremation. While funeral homes in other states are moving toward the method, Edwards’ owner, Jeff Edwards, told The Columbus Dispatch that he has used the method on 19 bodies since January. But a memo issued last week by the Ohio Department of Health has left Edwards unable to continue using the procedure. The health department’s memo directed local officials not to issue permits required for disposing of bodies or accept death certificates when bodies are to be disposed of through alkaline hydrolysis. Edwards told the newspaper he is considering legal action. “There’s no law that says you can’t do this,” he said. The health department cited a Feb. 16 statement from the Ohio Board of Embalmers and Funeral Directors that alkaline hydrolysis “is not an authorized form of disposition of a dead human body.” The health department directive was based solely on the statement of the board, which advises the department on what methods of disposal are approved, spokeswoman Jennifer House said Wednesday. She said the department has reviewed the process and found that it does not pose any risk to public health. An official with the funeral directors board did not immediately return a message seeking further information. Alkaline hydrolysis was developed in the U.S. in the early 1990s as a means to get rid of animal carcasses and has been used to dispose of human cadavers at the Mayo Clinic in Minnesota and at the University of Florida in Gainesville. Also known as resomation, alkaline hydrolysis uses a solution of water and lye, 300-plus degree heat and 60 pounds of pressure per square inch to destroy bodies in big stainless-steel cylinders. Left behind is a coffee-colored liquid that has the consistency of motor oil and a strong ammonia smell. Proponents say in most cases it can be safely poured down the drain and that, unlike cremation, the process does not involve fossil fuels or emissions. The remaining bone and bone fragments can be ground into a powder and given to a family, similar to the remains left from a cremation, the funeral directors association said. New Hampshire in 2008 reversed a two-year-old law that allowed the process. State lawmakers upheld the ban in 2009. The procedure merely speeds up the body’s natural decomposition process into a matter of hours, James Olson, chairman of the National Funeral Directors Association’s green burial work group, told The Associated Press. Olson said alkaline hydrolysis gives families who’ve lost a loved one another option and said anyone feeling squeamish about the method need only think closely about what’s involved in cremation. “I think burning a body at 2,000 degrees has more of a ‘yuck factor’ to it than putting it into a solution where it’s just naturally going to break down,” said Olson, owner of the Lippert-Olson Funeral Home in Sheboygan, Wis. Olson said his funeral business is relatively small and is not using alkaline hydrolysis because it would not be cost-effective to buy the equipment. The Roman Catholic Diocese of Columbus has not studied Edwards’ use of alkaline hydrolysis, but it would appear that flushing away the liquid would go against church teaching that persons should be handled respectfully after they die, said Deacon Tom Berg Jr., a diocese spokesman. “We don’t call for the separation of a person’s remains, that they should all be kept together and buried together,” he told the AP. ___ Associated Press writer Kantele Franko in Columbus, Ohio, contributed to this story.

Read the full article →

Regeneron’s `Uncommon’ $2 Billion Research Surge Mimics Genentech Tactics

June 9, 2010

By Elizabeth Lopatto June 9 (Bloomberg) — Regeneron Pharmaceuticals Inc. reported a successful study result in its new drug for treating gout, the first of three new treatments that may generate at least $2 billion a year in revenue. The medicines — for gout, eye disease and cancer — are in the final phase of testing needed for U.S. marketing approval. The gout drug Arcalyst, subject of the trial results reported today, may help generate $500 million a year in additional revenue , said Joseph Pantginis , an analyst with Roth Capital Partners in New York. Having three therapies in late-stage trials is “pretty uncommon for a stand-alone biotech today,” said Ted Tenthoff , a Piper Jaffray & Co. analyst in New York. The treatments are emerging from Regeneron’s development of a drug discovery technology that may help the 22-year-old company with just one $20 million-a-year product rival Roche Holding AG ’s Genentech Inc. unit, with its 10 products and $9.5 billion in sales, said Chief Executive Officer Len Schleifer in an interview. “We don’t want the company to sink or swim on the back of any one thing, which is why we’re trying to move an army of ideas forward,” said Schleifer, in an interview at Regeneron’s headquarters in Tarrytown, New York. “We’ve modeled ourselves on the companies like Genentech that had a cadre of people and technologies. Painful Flare-Ups A once-weekly dose of 160 mg of Arcalyst cut the recurrence of painful flare-ups of gout by 80 percent, the study reported today showed. The drug didn’t work to reduce pain once the condition began, a second trial found. “This is a micro-example of our macro plan,” Schleifer said in a telephone interview today. “We weren’t 100 percent certain of where the best place to treat in gout was, so we wanted to have multiple opportunities to move things forward.” Regeneron fell 99 cents, or 3.7 percent, to $25.51 at 9:42 a.m. in Nasdaq Stock Market composite trading. The shares had jumped 66 percent in the 12 months before today. The stock could increase to $31.22, according to the average price target of nine analysts surveyed by Bloomberg. Results from five more late-stage trials on the three drugs are expected to be reported within 12 months, Schleifer said. Pantginis, of Roth Capital Partners, gives the treatments a “better than 50-50 chance” of success. If all the studies prove positive, the three products may generate at least $2 billion a year, Pantginis said. Research Failures That will represent a turnaround for a company that has had three research failures since it began in 1988. In March 1994, the company’s shares tumbled 33 percent in a single day after weight loss and flulike symptoms were linked to its experimental drug for amyotrophic lateral sclerosis, also known as Lou Gehrig’s disease . A second Lou Gehrig’s disease drug failed in January 1997, and shares lost about half their value. In March 2003, an obesity treatment failed and, once again, the company’s value was cut in half. “The difference between a small company and a large company is how you fail,” Schleifer said. “In a large company, you bury the program in the middle of the night and no one comes to the funeral. We do it in the middle of the day, and it is front-page news.” Something Different Following the failure of the two Lou Gehrig’s disease drugs, “it was quite clear we needed to do something different,” said P. Roy Vagelos , the chairman of Regeneron’s board . Vagelos, a physician, led research at Whitehouse, New Jersey-based Merck & Co. from 1976 to 1985, and was the drugmaker’s CEO for 10 years after that. After the research failures, management met and decided to focus on development of a technology their scientists had been working on, rather than a single drug, Vagelos said. “We came up with the approach of traps to neutralize molecules that might be involved with the disease processes, an approach I liked,” he said. Chemical “ traps ” work by binding to certain proteins, stopping them from activating cell receptors that spur a reaction. Arcalyst works by binding to interleukin-1 , a protein that can trigger inflammation. Gout, a form of arthritis, occurs when uric acid builds up in the bloodstream, causing a painful swelling of joints in the toes and foot. Eye Disease, Cancer Regeneron scientists used the same concept to create an as- yet unnamed drug that works against the eye disease age-related macular degeneration and the cancer therapy aflibercept. In those cases, the binding process prevents blood vessel growth. Aflibercept is being tested as a first medication for prostate tumors and as a treatment for patients who fail initial therapy for colorectal and lung malignancies. Approval for aflibercept in all three cancer indications would give it “blockbuster potential,” meaning it may sell $1 billion a year or more, according to Roth Capital’s Pantginis. The eye treatment may generate $500 million after regulatory clearance, he said. Michael Yee , an analyst for RBC Capital Partners in San Francisco, said the company gains from having “strong partners” in Paris-based Sanofi-Aventis SA and Bayer AG , of Leverkusen, Germany, to help support drug development. The clinical trial load “is possible only because they have big pharma partners that are funding 50 percent of the studies,” RBC’s Yee, one of three analysts with a hold rating on the company surveyed by Bloomberg, said in a telephone interview. Eight analysts rate the stock a buy. Bayer Collaboration Bayer is collaborating on the eye drug. Regeneron will get all the U.S. sales, and Regeneron and Bayer will share profits outside the U.S., according to an October 2006 agreement. Bayer made an upfront payment of $75 million, and Regeneron may earn up to $245 million in sales milestones. Sanofi owns 18.6 percent of Regeneron’s shares and pays the company $160 million a year to help with its research. Regeneron stands to receive as much as $250 million in payments if the products top $1 billion in revenue outside the U.S. Under the agreement, Sanofi has the option to co-develop each new antibody Regeneron discovers. The profits in the U.S. will be shared equally, and outside the U.S. will be split on a sliding scale, with Sanofi’s share ranging from 65 percent to 55 percent. The partnership began November 2007 and was expanded in November 2009. ‘Excited About Alliance’ “We’re very excited about that alliance,” said Paul Chew , the U.S. chief medical officer for Sanofi. “Sanofi has the resources, and Regeneron has the technology and the know-how. We’ve preserved the strengths of each.” Genentech too gained from its relationship with a partner. Swiss drugmaker Roche owned 56 percent of the South San Francisco, California-based biotechnology company for more than 18 years, until acquiring Genentech last year. Sanofi’s Chew declined to say whether Sanofi might acquire Regeneron in the future. Schleifer said his drive to be like Genentech stops at the point when that company was acquired by its partner. He’s not isn’t interested in being bought, he said. “We’re not building a company to sell a company,” Schleifer said. “We’re building a company to deliver drugs that make a difference and that will deliver value to shareholders. If you really want to capture the innovativeness of a small company, you leave them alone.” Having Sanofi as a partner will help with that goal, Schleifer said. The French drugmaker hasn’t “Sanofized” Regeneron, he said, and he doesn’t believe they’ll try. “The diversified strategy is something we like to see in biotech,” said Mark Monane , a New York-based analyst for Needham & Co., in a telephone interview. “It’s an important year for the company, as we’ll get to open the envelope on the late-stage products.” To contact the reporter on this story: Elizabeth Lopatto in New York at elopatto@bloomberg.net .

Read the full article →

Air France, Lufthansa Test Fly Aircraft; Some Flights May Resume Tomorrow

April 18, 2010

By Gregory Viscusi and Omar R. Valdimarsson April 18 (Bloomberg) — Air France-KLM Group and Deutsche Lufthansa AG were among carriers saying they managed to fly aircraft without suffering damage as governments across Europe extended a flight ban after Iceland’s volcanic eruption last week caused the grounding of 63,000 flights. Air France’s KLM Dutch unit operated nine test flights with only a crew after a technical inspection following one late yesterday in Dutch airspace revealed that the quality of the atmosphere is “in order.” Air France said its engineers found no visual impact on a flight from Paris to Toulouse. Lufthansa sent 10 aircraft from Munich to Frankfurt to reposition its fleet yesterday. All arrived safely. “We asked the Frankfurt crew to check any damage with the aircraft and the windows,” Wolfgang Weber, a spokesman at Lufthansa, Europe’s second-largest carrier, said in a phone interview. “There wasn’t even the smallest scratch.” About 17 percent of 24,000 flights that would cross Europe’s airspace on a Sunday will fly today as airports from Dublin to Moscow closed, according to Eurocontrol. While the Brussels -based group forecasts as much as half of the Europe’s airspace may be “risk free” tomorrow, U.K. Transport Minister Andrew Adonis said in televised comments that flights across northern Europe won’t be safe in the next 24 hours, citing advice given by the country’s Met Office. Air Berlin, British Airways Volcanic ash can cause jet engines to fail by melting and then congealing in the turbines. Test flights so far have shown no dangerous particles in European airspace following the eruption, according to airline executives. Flights were grounded after April 14 when an eruption at the 1,666-meter (5,466-foot) Eyjafjallajökull volcano spewed dust across Europe’s airspace. The disruptions are costing carriers $200 million a day, the International Air Transport Association said. Air Berlin Plc ran two test flights yesterday from Munich to Dusseldorf and from Nuremberg to Hamburg without problems, flying at the permitted 3,000 meters, the carrier said in a statement. “We’re puzzled why the results of the Lufthansa and Air Berlin test flights had no influence on safety authorities’ decision criteria,” Air Berlin CEO Joachim Hunold said. British Airways Plc , Europe’s third-largest carrier, said it operating a test flight today from Heathrow airport to assess the quality of the U.K. airspace. The carrier has canceled all flights to and from London through tomorrow. The European Commission said it will set up a group to assess the impact of the ash cloud on the travel industry and the economy. Spain called a video conference for European Union transport ministers tomorrow to discuss emergency plans. Re-Opening In Norway, the airspace north of Bergen airport until Berlevag was re-opened, air controller Avinor said on its web site. The airspace over southern Norway may be cleared in the next six to 12 hours, Avinor said. Sweden opened the air space north of Soderhamn, including Kiruna airport, according to the LFV flight controller. The rest of the air space remains shut, it said. Germany’s DFS flight safety authority eased a ban at some airports earlier today. Still, all the country’s airports will shut again by 8 p.m., with Berlin-Tegel and Berlin-Schoenefeld closing at 10 p.m., a spokeswoman at the agency said. The closings will remain until at least 2 a.m. tomorrow. France’s civil aviation authority banned flying in the previously unaffected south of the country today. French airspace and all airports in the country will remain closed until at least 8 a.m. tomorrow. Spain, Greece, Turkey Airspace in northern Spain was also shut. Rome, Madrid, Athens and Istanbul were the only major European airports still in operation. The Netherlands extended the closure of its airspace until 8 p.m. local time and Amsterdam’s Schiphol Airport is closed until at least that time. “We hope to receive permission as soon as possible after that to start up our operation and to transport our passengers to their destinations,” KLM Chief Executive Officer Peter Hartman said in a statement. Airlines in the Asia-Pacific region canceled most Europe- bound flights, with Qantas Airways Ltd. saying it won’t fly to European destinations before April 20 and can’t confirm when service on those routes will resume. Carriers including Air China Ltd., Japan Airlines Corp., Thai Airways International Pcl, Korean Air Lines Co. and Cathay Pacific Airways Ltd. shut down service to Europe, while Singapore’s Changi Airport reported cancelation of 34 arrivals and departures, including Singapore Airlines Ltd. flights to nine European destinations. Little Visibility Haraldur Eiriksson, a meteorologist at the Icelandic meteorological office , predicts little changes in the ash pattern in Europe in at least through April 23. “This could have an ongoing impact on European air travel,” he said. “The forecast hasn’t changed although the height the volcano is spewing the ash into has decreased from 5 to 6 kilometers to less than 3 kilometers and now it can’t be seen on our radars. Due to cloudy weather conditions at the site of the volcano, we can’t say what the exact height of the ash is.” Volcanic eruptions may continue for months and curtail European air traffic, said Sigrun Hreinsdottir, a geophysicist at the University of Iceland in Reykjavik. “It could erupt, pause for a few weeks, and then possibly erupt again.” The last eruption of Eyjafjallajökull in December 1821 continued until January 1823. The current blast has sent ash to as high as 7 kilometers (4.5 miles), according to Gudrun Larsen, a vulcanologist at the University of Iceland. The magma had to pierce 200 meters of ice before reaching the air, she said. Polish Funeral “We really don’t know if this eruption is going to last as long as the previous one, but we can’t say it’s not a possibility,” Larsen said by telephone. The volcanic ash cloud also led world leaders, including Barack Obama , German Chancellor Angela Merkel and French President Nicolas Sarkozy to cancel plans to attend the funeral of Polish President Lech Kaczynski , killed with 95 others in an April 10 plane crash. Russian President Dmitry Medvedev arrived in a government jet which had clearance to fly at low altitudes. Airline stocks, including British Airways, Lufthansa, and Ryanair Holdings Plc, fell April 16 as fleets were grounded. El Al Israel Airlines, which has canceled all European flights except to Madrid, Rome and Athens, fell the most in 17 months on the Tel Aviv exchange today. Italy will keep airspace in the north of the country closed until at least 8 a.m. tomorrow and may curtail flights in the south, ENAC, the nation’s civil aviation authority, said in an e-mailed statement yesterday. Italian Cheese Exports of Italian products such as mozzarella cheese, flowers, fruit and vegetables worth 10 million euros ($13.5 million) are blocked, the country’s Coldiretti agricultural group said in a statement. Deutsche Post AG ’s DHL unit has diverted air freight to southern European airports including Bergamo in Italy to maintain services. DHL has closed its Leipzig-Halle freight hub where at least 50 aircraft land each week, carrying up to 200,000 deliveries, spokesman Stefan Hess said. DHL switched to rail and road for deliveries in northern Europe April 16. Because of the wind direction, Iceland’s Keflavik airport is open, and North American flights are running on schedule. OAO Aeroflot, Russia’s largest air carrier, is flying to North America via the North Pole to avoid volcano ash over Europe, transportation Minister Igor Levitin told Prime Minister Putin at a meeting today, Interfax said. Delta, American The U.S.-based Air Transport Association said yesterday that 282 of 337, or 84 percent, of the day’s non-stop flights between the U.S. and Europe were canceled. Delta Air Lines Inc. , the world’s largest carrier, scrapped 97 flights today to and from Europe, spokesman Anthony Black said. A further 49 flights have been grounded for tomorrow. AMR Corp. ’s American Airlines canceled 30 flights to Europe so far today, according to spokeswoman Andrea Huguely . American is able to operate flights to and from Spain and Italy, she said. The Chicago’s Department of Aviation, which operates O’Hare International Airport, Midway International Airport and Gary- Chicago International Airport, said 14 flights bound for Chicago from northern Europe were canceled today. The eruption began on March 20 with a lava flow on the eastern flank of the Eyjafjallajökull volcano, according to the Institute of Earth Sciences at the University of Iceland. After a lull, it resumed early on April 14, directly under the icecap that covers most of the mountain. To contact the reporters on this story: Gregory Viscusi in Paris at gviscusi@bloomberg.net ; Omar R. Valdimarsson in Reykjavik valdimarsson@bloomberg.net

Read the full article →

Polish-Russian Reconciliation Highlights Kaczynski’s Funeral in Krakow

April 18, 2010

By David McQuaid and Nathaniel Espino April 18 (Bloomberg) — Poland bid farewell to President Lech Kaczynski and his wife in the country’s ancient capital of Krakow as the leaders of the country’s two historic enemies, Germany and Russia, prayed amid calls for reconciliation. Russian President Dmitry Medvedev lit a candle at the service for presidential couple, who died on April 10 when their plane crashed in Smolensk, Russia, on the way to a ceremony in Katyn forest honoring 22,000 Polish officers and officials killed in 1940 by Soviet dictator Josef Stalin ’s secret police. Medvedev and German President Horst Koehler were among 700 foreign guests, Polish government officials and family members gathered at the 14th-century St. Mary’s Basilica on the medieval Market Square, where a Mass led by Cardinal Stanislaw Dziwisz , archbishop of Krakow and the former secretary to Pope John Paul II , opened to the strains of Mozart’s Requiem. “Seventy years ago Katyn divided two nations,” Dziwisz said at the beginning of the Mass, addressing his words directly to the Russian president. “The tragedy eight days ago has released stores of good will in individuals and nations, and the sympathy and support we have received from our Russian brothers revives hope for reconciliation.” Closed Airspace Ash from Iceland’s 5,500-foot Eyjafjallajökull volcano closed airspace over Europe and led U.S. President Barack Obama , German Chancellor Angela Merkel and French President Nicolas Sarkozy to cancel plans to attend. Other delegations struggled to arrive on government planes with clearance to fly at low altitudes, or by helicopter, rail or road. Georgian President Mikheil Saakashvili flew to Rome and Istanbul, then made stops in Bulgaria and Romania before his plane made it to Krakow in the late afternoon, his spokeswoman Manana Manjgaladze said by phone from the capital Tbilisi. During Georgia’s 2008 military conflict with Russia, Kaczynski collected the presidents of Estonia, Lithuania and Ukraine for a joint trip to the country’s capital, Tbilisi, in a show of support. The call for improved ties between Russia and Poland overshadowed disruptions from the volcano. ‘Respect’ “President Medvedev and Prime Minister Vladimir Putin get a lot of respect from us, both for their solidarity and because they acknowledged the Katyn crime. I think Polish-Russian relations may really get better,” said Radoslaw Kruszak, 30, who waited with thousands of others to watch the funeral via a telecast. Medvedev, who is making his first official visit to Poland, met with Polish Prime Minister Donald Tusk and parliamentary speaker Bronislaw Komorowski at Wawel Castle before the funeral Mass began, PAP newswire reported. Kaczynski, his wife Maria, and 94 other officials including central bank Governor Slawomir Skrzypek and the top four leaders of Poland’s armed forces were victims of the April 10 crash. The Kaczynskis’ remains were moved at a slow walk after the Mass through the streets of the city’s Old Town on a military caisson followed by the country’s political elite and heads of state. Crowds stood three- and four- deep as the procession passed, clapping or standing in respect. A military band played somber marches and dirges as it moved through Krakow’s ancient cobblestone streets and up the slope of Wawel hill to the Royal Castle and Cathedral, where Cardinal Dziwisz was to lead a funeral ceremony. Church bells tolled throughout the city in tribute. Condolences After the bodies are placed in a sarcophagus of honey- colored onyx imported from Turkey, leaders of foreign delegations will present messages of condolence to the president’s family, including his twin brother Jaroslaw , the leader of Poland’s largest opposition party. People wishing to pay tribute to the fallen president began gathering in Krakow’s Old Town at 6 a.m. City officials estimated Market Square held about 15,000 onlookers, with another 100,000 watching on special television screens set up at the Lagiewniki sanctuary and the 48-hectare Blonia meadow, south and west of the city center. The Berlin Philharmonic played Richard Strauss ’s Metamorphosen, an elegy for central Europe’s destruction in World War II, for the crowds on Market Square. “Even though we’re the same age, for me President Kaczynski was a teacher of patriotism,” said Bozena Nowak, who drove overnight from Szczecin, 700 kilometers away in northwest Poland with her husband, Wieslaw, and son, Robert. “We would have come on foot if we had to,” said Wieslaw, as the family headed for Market Square. Reconciliation Sought At a ceremony yesterday in Warsaw honoring Kaczynski and the crash victims, Tusk, whose ruling Civic Platform party had often clashed with the president and his brother, called for Poles to overcome their political differences in what has been called the country’s greatest disaster in generations. “This is a serious test for all of us,” Tusk told a crowd in Pilsudski Square that police estimated at about 100,000. “Like the passengers on that airplane, we differ by background, political views and age. Our sense of community can only be preserved within us.” Poland must hold an early election by the end of June to fill the empty post of president. Komorowski, who has assumed Kaczynski’s duties and is the ruling party’s candidate for president, said he will set a date on April 21. Poland’s opposition parties and a legal opinion prepared by parliamentary experts give June 20 as the preferred election date. To contact the reporters on this story: David McQuaid in Warsaw dmcquaid1@bloomberg.net ; Nathaniel Espino in Krakow at nespino@bloomberg.net

Read the full article →

Warsaw Honors Kaczynski as Ash Cloud Threatens Leaders’ Travel to Funeral

April 17, 2010

By David McQuaid and Marta Waldoch April 17 (Bloomberg) — Thousands of Poles gathered in Warsaw to honor President Lech Kaczynski and 95 others killed in an April 10 plane crash. World leaders trying to fly in for his funeral tomorrow in Krakow, where Polish kings were buried, are being hampered by a cloud of volcanic ash over Europe. Sirens wailed at 8:56 a.m. in Poland’s capital, marking the moment Kaczynski’s plane crashed in Smolensk, Russia, where he was to attend a ceremony honoring more than 22,000 Polish officers and officials killed by Stalin’s secret police. At noon, Prime Minister Donald Tusk , whose ruling Civic Platform party had often clashed with Kaczynski and his twin brother Jaroslaw , the leader of the largest opposition party, called for Poles to overcome their political differences. “This is a serious test for all of us,” Tusk told a crowd in Pilsudski Square that police estimated at about 100,000. “Like the passengers on that airplane, we differ by background, political views and age. Our sense of community can only be preserved within us.” All Polish airspace is closed indefinitely to passenger flights, Grzegorz Hlebowicz , a spokesman for the Polish Air Navigation Services Agency , said by phone today. Ash from Iceland’s 5,500-foot Eyjafjallajökull volcano forced closures in Russia and northern Italy and cut the chances leaders such as U.S. President Barack Obama will make it to the funeral. ‘Wait and See’ “We’ll have to wait and see how the situation develops,” Piotr Paszkowski , a spokesman for the Foreign Ministry in Warsaw, said by phone. Dignitaries from India, South Korea, Mexico, New Zealand, Egypt and Pakistan have canceled plans to attend, according to an updated list on the Ministry’s Web Site. The late president and his wife are to be buried in Krakow’s Wawel castle, the resting place of Poland’s medieval kings. Russian President Dmitry Medvedev , German Chancellor Angela Merkel and French President Nicolas Sarkozy are also scheduled to attend the funeral tomorrow. Family members want the ceremony to begin as scheduled “under any circumstances,” Jacek Sasin, a minister in the presidential administration, said yesterday when asked whether heads of state would be forced to cancel. Those still planning to attend include Sarkozy, Italian Prime Minister Silvio Berlusconi and Ukrainian President Viktor Yanukovych . German Chancellor Merkel also intends to be at tomorrow’s funeral after her return flight from the U.S. was diverted to Lisbon and Rome. She then switched to road transport north, a government spokeswoman said. Obama Detour Obama’s aides are considering a longer flight route to allow the U.S. president’s plane to detour around the ash plume, according to an e-mail from the office of White House Press Secretary Robert Gibbs . Warsaw’s downtown streets, closed to traffic, were filled with pedestrians headed for Pilsudski Square, where the memorial services were held. The crowd gathered there in the early morning included uniformed delegations of miners, war veterans, police, firefighters and scouts, all bearing banners. “I came to pray for the dead and to show their families I care,” said retired engineer Jerzy Nowicki, who traveled about 210 kilometers (130 miles) by bus from Torun in northwest Poland. Kaczynski, his wife Maria, and officials including central bank Governor Slawomir Skrzypek and the top four commanders of Poland’s armed forces were among 96 people killed in a plane crash outside Smolensk, Russia on April 10. Early Election Poland must hold an early election by the end of June to fill the empty post of president. Bronislaw Komorowski , the parliamentary speaker who has assumed Kaczynski’s duties and is the ruling party’s candidate for president, said he will set an election date on April 21. Poland’s opposition parties and a legal opinion prepared by parliamentary experts give June 20 as the preferred election date. The edge of the ash cloud was forecast to reach as far south as northern Italy and Romania and as far east as the borders of Kazakhstan today, according to the Met office, the U.K. government forecaster. There have been no landings today at Balice airport near Krakow and at the secondary airfield for guests in Pyrzowice, about 100 kilometers (60 miles) west of Krakow, representatives of the airports said. Visual Flight “We can handle takeoffs and landings, but only for airplanes using visual flight rules,” Justyna Zajaczkowska, a spokeswoman for the Balice airport, said by telephone. Poland, which has closed its air space to passenger traffic, will allow flights by government, military or private aircraft at altitudes below 6,000 meters. Still, the threat posed by volcanic ash to aircraft engines means “they won’t do it, because they might kill themselves,” David Learmount , a former U.K. Royal Air Force pilot and air-safety editor at Flight International Magazine, said by phone. European airlines canceled more than 70 percent of their flights as most of the continent’s northern and central nations remained closed to air traffic. Accuweather predicted little change until April 22. To contact the reporters on this story: David McQuaid in Warsaw dmcquaid1@bloomberg.net ; Marta Waldoch in Warsaw at mwaldoch@bloomberg.net

Read the full article →

Ash-Cloud Flight Disruptions Intensify in Europe, Will Extend Into Weekend

April 16, 2010

By Alex Morales and Steve Rothwell April 16 (Bloomberg) — Europe’s air-travel chaos worsened as the ash cloud from an Icelandic volcano spread as far east as Moscow, cutting off parts of Britain, France and Germany and threatening weekend travel. As many as 15,000 flights may be lost in the region today, or about half the usual timetable, according to Brian Flynn, operations chief at Eurocontrol, which oversees the region’s flight paths. That’s up from 8,000 cancellations yesterday. Ash from the eruption of Iceland’s 5,500-foot Eyjafjallajökull volcano drifted southeast overnight. While airports in Scotland, Norway and Ireland reopened, others are shutting as the cloud spreads and as many as six million passengers could be affected if the closures extend into a third day, according to the Centre for Asia Pacific Aviation. “The outlook for today is in fact worse,” Flynn said in an interview with Bloomberg Television. “The forecast is that most of the northern European airports will remain closed for most of the day.” Flights have been halted amid concern that the ash plume could damage engines or parts such as speed sensors. The finest material from the blast is formed of dust akin to glass, which can melt and congeal in an engine, causing it to stop, said Sue Loughlin, head of vulcanology at the British Geological Survey. U.K. Closures Britain’s airspace will be restricted until at least 1 a.m. tomorrow, according to flight-control authority National Air Traffic Services, compounding the most severed disruption in the country’s aviation history. In Germany , 10 airports including Frankfurt were shuttered, according to the DFS air traffic control agency. Closure of airspace in the south of the country will be reviewed as the dust cloud reaches Munich this afternoon or evening, the airport said in an e-mailed statement today. Deutsche Lufthansa AG , Europe’s second-biggest airline said it was monitoring forecasts. France’s civil aviation authority shut the Roissy-Charles de Gaulle and Orly airports near Paris late yesterday. The closures will be in effect until at least 2 p.m. Three days of disruptions could cost the aviation industry $1 billion in lost revenue, Derek Sadubin , chief operating officer of the Sydney-based Centre for Asia Pacific Aviation said in an e-mail. BA, Ryanair British Airways Plc , Europe’s third-largest carrier, said it can’t be sure when services will resume. Ryanair Holdings Plc and EasyJet Plc , Europe’s biggest discount airlines with their main hubs in the U.K., cut the bulk of flights. Delta Air Lines Inc. and UAL Corp.’s United Airlines led their peers in canceling European operations. Ryanair was trading down 2 percent at 3.91 euros as of 11:13 in Dublin today. British Airways was down 0.9 percent at 240.4 pence in London and EasyJet was little changed. The plume covered parts of Britain, Germany, Norway, Ireland, Sweden, Finland, Belgium, the Netherlands and Russia as of 6 a.m. in London, according to data from the U.K. Met Office’s volcanic-ash advisory service . It’s forecast to drift southeast over northern France, Poland and the Czech Republic before reaching Switzerland, Austria and Hungary by midnight. Further Eruptions “The volcano could continue to erupt like this for several days, possibly even for a few weeks, we just don’t know at the moment,” vulcanologist Loughlin said in a Bloomberg television interview. Wind directions are also “very unfavorable” for the U.K. and Europe right now, she said. The ash threat will continue through April 18 for Europe, based on prevailing air streams, AccuWeather.com said. NATS is not expecting a rapid improvement in the conditions. “In general, the situation cannot be said to be improving with any certainty as the forecast affected area appears to be closing in from east to west,” the agency said in a statement. Airspace over the Polish city of Krakow is closed as it prepares to welcome world leaders including Barack Obama for the funeral of late President Lech Kaczynski on April 18. Delaying the funeral has become a “very serious possibility,” according to the country’s presidential minister. “Once they start operations again, obviously we will have aircraft in places they are not supposed to be,” said Jonathan Nicholson , a spokesman for the U.K. Civil Aviation Authority. “It takes time before normal operations resume once flying starts again.” Extra Buses, Trains British bus operator National Express Group Plc said all services from London’s Heathrow airport to Scotland were full yesterday and that extra vehicles will be added today. Virgin Trains and East Coast also put on extra services, while ferry companies and Channel Tunnel rail operator Eurostar Group Ltd. reported a surge in bookings. Iceland has more than 200 volcanoes and 600-plus hot springs. When Eyjafjallajökull last erupted in 1821 the event lasted more than a year, according to the Global Volcanism Program at the Smithsonian Institution in Washington. The latest eruption , which began early April 14, is a further blow to a country struggling to rebuild a crippled economy after financial collapse prompted the world’s fifth- richest nation per head in 2007 to turn to the International Monetary Fund. Indonesia Incident Volcanic fumes have disrupted commercial air travel in the past. In 1982, all four engines on a British Airways Boeing Co. 747 flying to Perth, Australia, shut down as the aircraft encountered ash spewed from Mount Galunggung in Indonesia . The plane fell for almost four miles before the pilot was able to restart three engines and make an emergency landing in Jakarta. Another Boeing jumbo lost all engine thrust in 1989 after encountering ash from Alaska’s Redoubt Volcano, and four other airliners were damaged during the next three months, according to the Federal Aviation Administration Web site. “Given the fact that this could bring a plane down very easily, airlines are not going to risk flying through these volcanic clouds,” Hunter Keay , an analyst at Stifel Nicolaus & Co. in Baltimore, said yesterday in an interview with Tom Keene on Bloomberg Radio. Emmanuelle Wargon of Paris and her husband, Mathias, learned yesterday that their Air France flight to New York from Paris today had been canceled because of the eruption, and they may have to postpone a long-planned vacation with their three children, ages 12, 10 and 6. “We had planned for all sorts of things,” Wargon, a magistrate in France’s National Audit Office, said in a telephone interview. “But we didn’t plan for a volcano.” To contact the reporters on this story: Alex Morales in London at amorales2@bloomberg.net ; Steve Rothwell in London at srothwell@bloomberg.net

Read the full article →

Dan Dorfman: Holy Cow, a Manic Depressive Dow

February 21, 2010

We all know someone who experiences violent mood changes — way up one day, like it’s your birthday, or way down the next, like it’s your funeral. Marilyn Monroe, whose death has been listed as “probable suicide, is one of the more famous of this lot. The same illness — in this case financial — surely applies to the stock market, which is also going through wild mood swings. A few weeks ago, for example, the market looked like it was down in the dumps again as the Dow, in three straight losing sessions, dived a total of 352 points. That plunge, though, is fast becoming a fleeting memory, what with the Dow this past week going on a tear, shooting up 303 points in the last four consecutive sessions. You now hear it all over the lot: “The bull is back, long live the bull.” It’s as though we’re seeing the building of a new legion of believers who are convinced the worst is practically over on all fronts (which any thinking individual knows is not case). Impressive to many pros was Friday’s performance — a surprising rise of nearly 9.5 Dow points despite the news that the Federal Reserve was boosting interesting rates. In this case, it raised the discount rate, the rate it charges banks to borrow from the central bank, from 0.50% to 0.75%. Following the revelation of the rate hike, some market watchers thought the Dow might have reacted with a stiff triple-digit decline on Friday. Not San Francisco money manager Gary Wollin, who manages about $100 million of assets under the banner Gary Wollin & Co. Over the past four weeks, he points out, some Fed governors have been indicating the Fed would allow interest rates to rise; so the hike wasn’t exactly a shock, he says. Still, the market’s reaction Friday to the Fed boost made him a tad more bullish, Wollin observes. Nonetheless, he looks for more erratic behavior from the market over the next three months — essentially a flat period despite increased investor enthusiasm. After that, he sees the market bolting higher by year end (with the Dow at about 11,500), sparked by a mending economy. But year end is 10 months off. For now, “this is a good time to go to sleep,” comments Wollin, who has wielded a hot hand the past couple of years with a series of both bullish and bearish market calls. “Smart investors should do nothing when there’s nothing to do,” he says, “and standing still, or you could say treading water, at this time is the wisest course of action.” Why so? Because, as Wollin sees it, there is nothing now on the horizon that you can quantify as a catalyst that should give anyone a high degree of confidence that the market will go either substantially higher or lower from here. Further, he points to a number of near term worries that could make a lot of investors fearful of putting fresh money to work in equities, thereby creating his do-nothing market. Chief among his worries: –Greece’s debt financing problems could spread to other European countries. –China’s credit tightening could slow its growth, an action that do the same throughout Asia and eventually globally. –Growth in U.S. employment, which many economists are predicting will soon pick up, could be painfully slow. –The strong prospects of a double-dip in housing, with home prices headed even lower. Madeline Schnapp, economics director of West Coast-based liquidity tracker TrimTabs Investment Research, shares Wollin’s bleak housing view, citing 6.2 million homes that are currently 60 days or more delinquent in their mortgages and the probability that 10 million homeowners will face disclosure over the next two years. This additional housing chaos, plus her outlook for higher, not lower, job losses, leads Schnapp to project slower, not faster, economic growth, coupled with a falling stock market. Fred Dickson, the chief investment strategist of D.A. Davidson & Co., a Northwestern regional brokerage firm based in Great Falls, Mt., sees a sunnier market scenario. His reasoning: a growing economy that should produce above-average earnings, spurred by a lower cost structure and big productivity gains. Other pluses: tremendous liquidity and a friendly Fed, all of which lead him to expect a 11,500 Dow by year end. His best industry plays: technology, energy and health care. His chief concerns: foreign debt refinancing, further weakness in the Euro, which would strengthen the dollar, hurt sales of commodities and put pressure on our overseas revenues, and Washington gridlock, leading to uncertainty over health care legislation, financial reform and tax reform, and continuing high unemployment (which the Administration expects to remain around the 10% level for the balance of 2010). Meanwhile, the unknown is whether the Dow’s manic depressive period is over, soon to be replaced by a return to normalcy. The large number of looming imponderables and risks suggest only dreamers and residents of Disneyland would believe so. What do you think? E-mail Dandordan at Dandordan@aol.com

Read the full article →

Maggie Van Ostrand: Red China Turns U.S.A. Pink

February 7, 2010

I disagree with color experts like Susan Wright, clothing and textile specialist, who claims “To select becoming colors for your wardrobe, you must consider three very important factors — your skin, your eyes and your hair.” If that’s true, then how come everything that comes out of my washing machine is pink? I hate pink. It’s not only that I look like a rotund salmon in pink, but who wants that to be the only color in the closet? What if someone dies and I go to the funeral in pink? What am I, a lawn flamingo? Sure, sure, I know how important pink is. It’s the color of the elephants we see when tipsy, we can be tickled pink, we can feel in the pink. That isn’t what I’m talking about. I’m talking about being pinkified against my will. If it isn’t the fault of the United States Department of the Exterior that all my stuff turned pink, then whose fault is it? The question is, should I institute a lawsuit against the Fed, the World Trade Organization, and the People’s Republic of China on charges of Subliminal Invasion of laundry room? Let me publicly state that I have nothing against any country that has the Great Wall and the Yangtze River. China’s been around for over 2,000 years, not an paltry few hundred years like the U.S.A. Why, the Chinese invented wheelbarrows, whiskey, matches, kites, iron and steel, parachutes, playing cards, the suspension bridge, the fishing reel and the favorite game of all the smarties I know, chess. With an impressive record like that, wouldn’t you think they could make clothing that’s colorfast? But noooooo, that’s not the case, which is why practically everything I own is now pink. I’m embarrassed to tell people the new red shirt I bought turned everything else in the laundry pink, so I tell them it’s the latest trend called Shanghai Chic. In today’s politically correct world, am I now supposed to identify myself as a Pink-American? Unlike clothing made in the U.S.A. which has rules requiring colorfast and pre-shrunk fabrics, we appear to overlook those regulations when it comes to imported fabrics, though the Fed heatedly denies that. You know how they are. They don’t allow child labor here either, but there are probably Chinese children slaving away on clothing we have a yen for. That’s probably why the fairy tale The Emperor’s New Clothes tells us that the Emperor had no clothes on at all. Not only was he unable to find anything that fit, he probably didn’t look good in pink either. “Clothing colors affect apparent body size. Generally, warm, light … colors make the figure appear larger…” say the experts. Gee thanks. Like I didn’t have enough weight problems before? Can’t they figure out that it’s not easy being pink day after day? And that’s not the only problem. We’re advised by our own government to wash everything before wearing it. Not only do these clothes bleed into all the laundry even in cold water turning everything pink, they shrink to a size more easily worn by, say, Barbie or Ken. You want to talk size? For Christmas, I bought a 6′ tall friend a pair of men’s pajamas made in China, size XL. He told me that when they were washed, the elastic waistband shrank to about the diameter of his wedding band and the new pajamas fit no one in his house except his 6-year-old son, who still has a crenulated waistline. It’s no laughing matter after your new duds have shrunk in the wash and you try to get into them, especially the ones you pull on over your head. It’s like wearing pantyhose on your face. Like a Chinese finger puzzle, the more you struggle, the tighter you’re trapped. And good luck trying to find Made in the U.S.A. labels. Best you can hope for is the deceptive label, ” Assembled in the U.S.A.” What’re we, stupid? Like we can’t figure out stuff is made in China and shipped to the U.S. for “assembling?” The only thing I can come up with to keep even my “assembled in the U.S.A.” pick-up truck from turning pink and shrinking to a VW in the rain, is to check out malls in Shanghai. With any luck, everything there is made in the U.S.A.

Read the full article →

Haiti Emergency Summit Planned by UN to Coordinate Aid, Reconstruction

January 23, 2010

By Nicole Gaouette and Ben Farey Jan. 23 (Bloomberg) — The United Nations will convene an emergency summit of 20 nations on Jan. 25 to coordinate aid for earthquake-stricken Haiti. U.S. Secretary of State Hillary Clinton will be among the delegates attending the meeting in Montreal to discuss long-term reconstruction and arrangements for a donor conference to be held in March, the UN said in a statement. The world body is continuing its search-and-rescue effort after Haiti’s government ended its hunt for victims of the magnitude 7.0 earthquake that ravaged the Caribbean nation, the UN Office for the Coordination of Humanitarian Affairs said in an e-mailed statement yesterday. “We are very, very focused on search and rescue,” UN spokeswoman Choi Soung-ah said in a telephone interview from New York today. “At the same time, relief efforts are fully activated.” In a separate telephone interview, Choi said that “today is kind of quiet” in Haiti. More than 111,000 people are confirmed dead, the UN said in a statement today. Another 609,000 are without shelter in the Port-au-Prince area, the UN said yesterday, citing the government. The city is Haiti’s capital and home to more than 2 million people. The Haitian government ended its search for victims, “We still hope that we’ll be able to find people alive,” Nick Birnback , a spokesman for the Department of Peacekeeping Operations at the UN, said in a telephone interview. “The reality is that as the days go by the hope grows dimmer.” Aid Meeting Other nations that may attend the “Friends of Haiti” meeting in Montreal include Spain, Mexico, Costa Rica, France and Japan. Venezuela, Nicaragua and Bolivia said they will boycott the meeting to protest the U.S. military’s presence in the Caribbean, according to the German news service Deutsche Press Agentur. Relief efforts Port-au-Prince and other areas are increasing. More than 130,000 people have taken advantage of the government’s offer of free transportation to cities in the north, south and west, the UN said. “It’s still a tenuous situation,” Birnback said. “A large number of people in Port-au-Prince are sleeping rough on the streets.” A 7.0-magnitude earthquake struck Haiti, the poorest country in the Western Hemisphere, on Jan. 12, destroying about a third of the buildings in Port-au-Prince, as well as the city’s seaport and its water and sewage systems. There have been as many as 50 aftershocks, Birnback said. Urgent Need “Despite all our best efforts, too many people have not received the assistance they urgently need,” UN Secretary- General Ban Ki-moon told the General Assembly in New York yesterday. “I urge member states to make additional contributions.” Today, more than 1,000 mourners gathered for the funeral for the capital’s archbishop, Joseph Serge Miot, the Associated Press reported. Rajiv Shah, administrator of the U.S. Agency for International Development, was scheduled to attend the funeral after traveling to Haiti today accompanied by Craig Fugate , administrator of the Federal Emergency Management Agency, according to the U.S. State Department. Fundraising Telethon Musicians including Madonna, Beyonce, Bono and Bruce Springsteen were among celebrities who participated in a fundraising telethon yesterday. The telethon may raise more than $166 million, according to the Sydney Morning Herald . Actor George Clooney gave $1 million during the “Hope for Haiti Now” telethon, Reuters reported, citing his spokesman. Actor Leonardo DiCaprio signed a check for the same amount to the Clinton Bush Haiti Fund, which was started by former U.S. Presidents Bill Clinton and George W. Bush , BBC said. U.S. taxpayers can deduct donations for Haiti relief on their 2009 tax returns under legislation signed by President Barack Obama yesterday. The Inter-American Development Bank, which supports economic development in the Caribbean, is considering a plan to alleviate Haiti’s $441 million in debt to the bank, the group said in a statement yesterday. To contact the reporters responsible for this story: Ben Farey in London at bfarey@bloomberg.net Nicole Gaouette in Washington at ngaouette@bloomberg.net

Read the full article →

Gavin Newsom: An Alternative to Payday Lenders

January 21, 2010

We’ve all seen them. Neon signs advertising fast cash and instant money on so many street corners in our low-income neighborhoods. In the United States, there are more than 23,000 of these payday lending loan stores, more than Starbucks and McDonalds combined. But, it wasn’t until I truly delved into how these fast cash operations take advantage of people in need that I began to understand the impact payday lenders have on our poorest communities. With interest rates as high as 400% APR and a two-week loan term that does not give much of a chance for the loan to be repaid on time, payday loans trap mostly low-income borrowers in a cycle of debt. On average payday loan customers are paying back $800 on a $300 loan, costing consumers more than $4 billion in predatory fees each year. For many people with low or no credit scores, payday loans offer the only means of dealing with a financial emergency. Sometimes people really do need their paycheck before payday, today more than ever. But a payday loan company is not the solution. So San Francisco set out to find an alternative to predatory payday lenders. We convened the City’s credit unions and asked them to work with us to find a solution. Together, we developed a new program, Payday Plus SF , an alternative small dollar loan with a maximum interest rate of 18% APR. Payday Plus SF is latest in a series of successful financial empowerment and financial literacy programs spearheaded by San Francisco Treasurer José Cisneros. This program builds on an initiative the Treasurer and I launched three years ago called Bank on San Francisco , which has helped more than 45,000 thousand unbanked San Franciscans into checking accounts. Seventy other cities and states across the country are already replicating this program locally. And this week, I met with Treasury Department officials in Washington to talk about replicating Bank on San Francisco on a national scale. Last month, we launched the Payday Plus SF program at 13 San Francisco credit union locations. This first of its kind program is already showing results. We created Payday Plus SF to help people like Mark Laws, a low-income San Franciscan who found himself in need of emergency cash. If you are like Mark and can’t get a credit card and are living paycheck to paycheck with no savings, a financial emergency can be devastating. In Mark’s case, the unexpected death of his mother left him scrambling for the funds to attend her funeral. Even after approaching family and friends, he still needed a few hundred dollars for funeral and travel expenses. Mark walked into a payday lender and walked out with the $250 he needed. Two weeks later when the loan was due Mark could not afford to pay. Instead, he went to another payday lender and took out another loan to pay off the first — and so on and so on. Unfortunately, Mark’s story is typical — 99% of payday loan borrowers are unable to pay off their loan within the two-week term. The typical California payday borrower will take out 10 loans in a year before they are finally able to repay the original loan. Mark is now one of our success stories — he took out a Payday Plus SF loan, paid off his debts and is now rebuilding his credit as he makes reasonable monthly payments at his local credit union. We may be the first City to do this, but I know we will not be the last. Predatory payday lenders are a national problem. But with no cost to taxpayers, Payday Plus SF shows what can happen when elected leaders, neighborhoods and the financial community come together to help low-income families in dire, but temporary, financial straits.

Read the full article →

Iran Government Loyalists Hold Anti-Opposition Rallies Following Protests

December 30, 2009

By Henry Meyer and Ali Sheikholeslami Dec. 30 (Bloomberg) — Crowds of government supporters massed in the Iranian capital Tehran, some calling for the death of Iran’s opposition leaders, as the police warned it will crush any further anti-regime protests. State television showed live footage of the pro-government street rallies today, three days after security forces violently dispersed the biggest opposition demonstrations in six months, in which eight people were killed. Iran has detained about 1,000 people since the Dec. 27 protests in Tehran and other cities, the New York-based International Campaign for Human Rights in Iran said. The disputed June re-election of President Mahmoud Ahmadinejad has sparked the worst unrest since the overthrow of the Shah in the 1979 Islamic Revolution. Iran yesterday accused Western countries of inciting the latest demonstrations. The U.S. and European Union states have condemned the authorities’ use of violence, a factor that could harden Iran’s stance toward its nuclear dispute with the West, analysts said. General Esmail Ahmadi-Moghaddam , Iran’s police chief, said there will be “no mercy” for anyone who takes part in opposition rallies, the state-run Fars news agency reported. He said that what he called a period of leniency was over, Fars said. “Anyone attending such rallies will be crushed.” Protesters Arrested The police arrested 500 people on Dec. 27, Ahmadi-Moghaddam said, adding that 120 officers were injured during that day’s clashes. Other demonstrators have since been detained by intelligence services, he said. “The information available once again suggests excessive acts of violence by security forces,” UN High Commissioner for Human Rights Navi Pillay said in a statement from Geneva today. “Those who have been arrested, for whatever reason, must be accorded due process.” In today’s counter-rallies, some people could be heard on state television shouting “Death to Mousavi” and “Death to Karrubi.” Opposition leader Mir Hossein Mousavi , a former prime minister, was the main challenger in the June 12 election. Former parliament speaker Mehdi Karrubi was another opposition candidate in the June poll, which he and Mousavi said was rigged. The crowds in Tehran held up photos of Supreme Leader Ayatollah Ali Khamenei and the late Ayatollah Ruhollah Khomeini, who led the Islamic Revolution, and set fire to a British flag. ‘Nauseating Masquerade’ Ahmadinejad yesterday called the opposition protests a foreign-backed “nauseating masquerade” in comments cited by the state-run Islamic Republic News Agency . Iran’s foreign ministry summoned the British ambassador after U.K. Foreign Secretary David Miliband said Iranian citizens were showing “great courage.” The renewed unrest comes as the U.S. and its allies step up pressure on Iran to prove it’s not seeking to build nuclear weapons. The U.S. government has threatened to impose more sanctions after a Dec. 31 deadline unless Iran responds to diplomatic efforts aimed at securing international controls over its nuclear work in return for better ties with the West. Kazakhstan today denied a report that it planned to supply Iran with a large consignment of uranium as “groundless insinuations” in a statement posted on the Kazakh Foreign Ministry’s Web Site . The Iranian mission at the United Nations also issued a statement denying the report. The Associated Press said that Iran was close to agreeing on a deal to clandestinely import 1,350 tons of purified uranium ore from Kazakhstan. It cited an intelligence report. Uranium Enrichment Iran has refused UN demands to suspend enrichment of uranium, which can produce material for a bomb or to fuel power stations. The oil-rich Persian Gulf country says its nuclear activities are purely aimed at generating electricity. The U.S. is preparing limited sanctions against Iran that would target elements of the regime rather than broader economic sanctions that could alienate the Iranian people, the Washington Post said today, citing unidentified U.S. officials. “The U.S. should be very careful not to impose broad-based sanctions that hurt the people, not the regime,” said Trita Parsi, head of the Washington-based National Iranian American Council, the largest U.S.-Iranian association. The worst thing the Obama administration could do right now is to provide ammunition for efforts to “wipe out the opposition,” Parsi said in a phone interview from New York. Post-Election Unrest Opponents of Ahmadinejad have been protesting since the June election. The government said 36 people were killed in a crackdown in the aftermath of the vote, while the opposition said twice as many died. About 4,000 protesters were detained and more than 140 have been put on trial. Unrest flared again this month at the funeral of a leading clerical opponent of Khamenei, Grand Ayatollah Hossein Ali Montazeri. The International Campaign for Human Rights in Iran said it feared that the 1,000 detainees, who include prominent opposition activists and journalists, would be tortured to produce false confessions that the protests were instigated by foreign governments. “We’re seeing a pattern of the government shooting itself in the foot with brutality,” Parsi said. “At the moment, the momentum seems to be with the opposition.” To contact the reporter on this story: Henry Meyer in Dubai at hmeyer4@bloomberg.net ; Ali Sheikholeslami in London at alis2@bloomberg.net .

Read the full article →

Iran Detains 1,000 in Crackdown on Opposition Protests, Rights Group Says

December 30, 2009

By Henry Meyer and Ali Sheikholeslami Dec. 30 (Bloomberg) — Iran has detained about 1,000 people in a continuing crackdown after the biggest anti-government demonstrations in six months, a human rights group said. The Iranian police warned it will crush any further protests. The New York-based International Campaign for Human Rights in Iran said it feared that the detainees, who include prominent opposition activists and journalists, would be tortured to produce false confessions that the protests were instigated by foreign governments. “It may be assumed that many detainees will be subjected to torture followed by ‘show trials’ and convicted of crimes that carry the death penalty in the Islamic Republic,” a spokesman for the group, Aaron Rhodes , said in an e-mailed statement late yesterday. The figure for the number of arrests is based on the group’s monitoring of reports by rights activists and opposition Web sites inside Iran, Rhodes said in a telephone interview today. Iran yesterday accused Western countries of inciting the Dec. 27 clashes between opposition supporters and security forces in the capital Tehran and other cities, which killed at least eight people, according to state media reports. The U.S. and European Union states have condemned the crackdown, a factor that could harden Iran’s stance toward its nuclear dispute with the West, analysts said. Police Warning General Esmail Ahmadi-Moghaddam, Iran’s police chief, said police will deal severely with anyone who takes part in opposition rallies, the state-run Fars news agency reported. He said that what he called a period of leniency was over, Fars said. The police arrested 500 people on Dec. 27, Ahmadi-Moghaddam said, adding that 120 officers were injured during that day’s clashes. Some more demonstrators have since been arrested by intelligence services, he said. President Mahmoud Ahmadinejad , whose disputed re-election in June sparked the unrest, called the latest protests a foreign-backed “nauseating masquerade” in comments cited by the state-run Islamic Republic News Agency . Supreme Leader Ayatollah Ali Khamenei and Ahmadinejad have repeatedly linked the demonstrations to Western efforts to undermine Iran, rejecting opposition allegations of vote fraud. The renewed unrest comes as the U.S. and its allies step up pressure on Iran to prove it’s not seeking to build nuclear weapons. Nuclear Tensions The U.S. government has threatened to impose more sanctions after a Dec. 31 deadline unless Iran responds to diplomatic efforts aimed at securing international controls over its nuclear work in return for better ties with the West. Kazakhstan today denied a report that it planned to supply Iran with a large consignment of uranium, Russian state news service RIA Novosti reported, citing a spokesman for the Kazakh Foreign Ministry. The Iranian mission at the United Nations also issued a statement denying the report. The Associated Press said that Iran was close to agreeing on a deal to clandestinely import 1,350 tons of purified uranium ore from Kazakhstan. It cited an intelligence report. The transfer of any uranium yellowcake to Iran would constitute a clear violation of UN Security Council sanctions, State Department Spokesman Ian Kelly wrote in an e-mail yesterday. “The transfer of uranium to Iran is prohibited,” Kelly said. Uranium Enrichment Iran has refused UN demands to suspend enrichment of uranium, which can produce material for a bomb or to fuel power stations. The oil-rich Persian Gulf country says its nuclear activities are purely aimed at generating electricity. The U.S. is preparing limited sanctions against Iran that would target elements of the regime rather than broad-based economic sanctions that could alienate the Iranian people, the Washington Post said today, citing unidentified U.S. officials. “The U.S. should be very careful not to impose broad-based sanctions that hurt the people, not the regime,” said Trita Parsi, head of the Washington-based National Iranian American Council, the largest U.S.-Iranian association. The worst thing the Obama administration could do right now is to provide ammunition for efforts to “wipe out the opposition,” Parsi said in a phone interview from New York. Opponents of Ahmadinejad have been protesting since the June election, which sparked the largest anti-government demonstrations since the overthrow of the Shah in the 1979 Islamic Revolution. The protests were violently suppressed. The government said 36 people were killed in the aftermath of the vote, while the opposition said twice as many died. About 4,000 protesters were detained and more than 140 have been put on trial. Unrest flared again this month at the funeral of a leading clerical opponent of Khamenei, Grand Ayatollah Hossein Ali Montazeri. “We’re seeing a pattern of the government shooting itself in the foot with brutality,” Parsi said. “At the moment, the momentum seems to be with the opposition.” To contact the reporter on this story: Henry Meyer in Dubai at hmeyer4@bloomberg.net ; Ali Sheikholeslami in London at alis2@bloomberg.net .

Read the full article →

Iran Detains 1,000 in Crackdown on Opposition Unrest, Rights Group Says

December 30, 2009

By Henry Meyer Dec. 30 (Bloomberg) — Iran has detained about 1,000 people in a continuing crackdown on the opposition after the biggest anti-government demonstrations in six months, a human rights group said. The New York-based International Campaign for Human Rights in Iran said it feared that the detainees, who include prominent opposition activists and journalists, would be tortured to produce false confessions that the protests were instigated by foreign governments. Police have said more than 300 were arrested. “It may be assumed that many detainees will be subjected to torture followed by ‘show trials’ and convicted of crimes that carry the death penalty in the Islamic Republic,” a spokesman for the group, Aaron Rhodes , said in an e-mailed statement late yesterday. Iran yesterday accused Western countries of inciting the Dec. 27 clashes between opposition supporters and security forces in the capital Tehran and other cities, which killed at least eight people, according to state media reports. The U.S. and European Union countries have condemned the Iranian crackdown. President Mahmoud Ahmadinejad , whose disputed re- election in June sparked the unrest, called the latest protests a foreign-backed “nauseating masquerade,” in comments cited by the state-run Islamic Republic News Agency . Rejecting Allegations Supreme Leader Ayatollah Ali Khamenei and Ahmadinejad have repeatedly linked the demonstrations to Western efforts to undermine Iran, rejecting opposition allegations of vote fraud. Opponents of Ahmadinejad have been protesting since the June election, which sparked the largest anti-government demonstrations since the overthrow of the Shah in the 1979 Islamic Revolution, and were violently suppressed. The government says 36 people were killed in the aftermath of the vote, while the opposition says twice as many died. About 4,000 protesters were detained and more than 140 have been put on trial. Unrest flared again this month at the funeral of a leading clerical opponent of Khamenei, Grand Ayatollah Hossein Ali Montazeri. “We’re seeing a pattern of the government shooting itself in the foot with brutality,” said Trita Parsi, head of the Washington-based National Iranian American Council, the largest U.S.-Iranian association. “At the moment, the momentum seems to be with the opposition.” Among those detained were the sister of Nobel peace laureate Shirin Ebadi , a top aide to opposition leader Mir Hossein Mousavi , who was the main challenger in the June 12 election, and a former foreign minister, Ebrahim Yazdi , according to the New York-based rights group and dissident Web sites. Former parliament speaker Mehdi Karrubi , another challenger in the June election, is under “semi-house arrest” as his government-assigned bodyguards are refusing to protect him outside of his residence, opposition Web site rahesabz.net reported yesterday. Karrubi’s car was attacked by unknown assailants on Dec. 28, according to rahesabz.net. Editors: Aaron Sheldrick, Dave McCombs. To contact the reporter on this story: Henry Meyer in Dubai at hmeyer4@bloomberg.net .

Read the full article →

Video: Stratfor’s Bhalla Discusses Possible New Iran Sanctions: Video

December 23, 2009

Dec. 23 (Bloomberg) — Reva Bhalla, director of geopolitical analysis at Stratfor, a private intelligence company, talks with Bloomberg’s Margaret Brennan about the outlook for additional sanctions against Iran if the government does not curb its nuclear ambitions. Bhalla also discusses the clash between police and mourners at the funeral for Grand Ayatollah Hossein Ali Montazeri. (Source: Bloomberg)

Read the full article →

Egyptian Mummies Heading for the Afterlife Visit Singapore Instead: Review

December 21, 2009

Review by Adam Majendie Dec. 22 (Bloomberg) — Three Egyptian mummies — well, 11 if you include two newborn children, a falcon, a cat, an ibis, two crocodiles and a scarab beetle with its own little sarcophagus — have taken a wrong turn. Instead of taking the journey west to the next life, they’ve headed east on a three-country tour of Asia and Australia, ending up in Singapore, where they are the stars of the National Museum’s latest blockbuster exhibition. “We have to remember there’s a human being in there and they didn’t want to go on display, they wanted to go to the afterlife,” said Michaela Huettner, curator from Vienna’s Kunsthistorisches Museum , which lent the pieces. “Now they’re in Singapore. It’s not bad, but it’s not where they wanted to be.” “Quest for Immortality — the World of Ancient Egypt” uses 230 artifacts, from statues to tiny pots of makeup, to try to explain how the ancient Egyptian obsession with death is really an affirmation of life and the desire to continue it. Museums are allowing priceless artifacts to go on traveling exhibitions to earn money, amid pressure from countries such as Egypt and Italy to recover some treasures. Hairani Hassan, curator for the exhibition from the Singapore museum, said the 3 1/2 month event cost nearly S$2 million ($1.4 million) and took two years to prepare. Last year, Singapore displayed Greek and Roman treasures from the Louvre Museum in Paris. Excavations in 1930s Huettner said many of the items were obtained from excavations carried out in the 1930s or bought for the Austrian emperor in the 19th century. “It was not a problem to get objects you had excavated,” she said. “It was not forbidden at that time.” The event is supported by the Egyptian tourist board . The exhibition, which visited Seoul and Sydney, is the first time the mummies have travelled from Vienna. In Singapore, the display gallery in the basement is in almost total darkness, with walls and ramps designed to give the feeling of exploring a pyramid or an ancient burial site. Some statues are set back in hidden chambers, visible through cracks in the partitions. The show begins with a walk down a long passage, with a statue of the lion-headed goddess Sekhmet, weighing more than a ton, in a pool of light at the end. In a glass case on the way is the exhibition’s oldest piece, a tiny 6,000-year-old ivory carving of a naked woman. Sphinxes, carvings, stelae, jewelry and cosmetics follow, ending with the burial chamber with the sarcophaguses and mummies, including one where an x-ray showed two infants were buried with her. In the background, videos are projected on the walls recreating the funeral and preservation of the bodies. “Quest for Immortality – The World of Ancient Egypt” runs Dec. 22 to April 4, 2010, at the National Museum on Stamford Road from 10 a.m. to 6 p.m. daily. Admission for adults is S$15. For more information, visit http://www.nationalmuseum.sg . ( Adam Majendie writes for Bloomberg News. The opinions expressed are his own.) To contact the writer on the story: Adam Majendie in Singapore at amajendie@bloomberg.com .

Read the full article →

Survivors Search Rubble After Indonesia’s Worst Earthquake in Three Years

October 2, 2009

By Soraya Permatasari Oct. 2 (Bloomberg) — Ratih Dafni, 19, a graduate from an English language academy, finished her prayers at a mosque and began to walk through the rubble of Indonesia’s most deadly earthquake in three years, on her way to volunteer. Five of her friends are missing after the LBPP LIA academy she attended collapsed. “I want to help, I want to find them.” she said, her eyes full of tears. “I heard hundreds were still inside.” Dafni is among thousands waiting to discover the fate of friends and relatives after the 7.6-magnitude quake on Sept. 30 devastated Padang, the biggest city on the island of Sumatra, and the surrounding area. At least 448 people are dead, and thousands more remain trapped, Indonesia’s National Disaster Management Agency said. Elsewhere in the city, an excavator dug out the rubble of a nursing school, watched by hundreds of spectators. Rescue efforts are hampered by a shortage of supplies and equipment. Motorbikes and cars formed long lines at filling stations from early in the morning because gasoline is scarce. Roads that are clear of debris were clogged by traffic. The National Disaster Management Agency sent 200 large military tents, 1,000 portable tents, 5,000 blankets and 5,000 mats to Padang, the agency said on its Web site today. The Social Affairs Ministry sent three tons of food, including 9,000 kilograms (20,000 pounds) of rice and 48,000 cans of sardines. “Heavy equipment and rescuers are our priority,” Priyadi Kardono , a spokesman for the agency, told the Associated Press. “We have to give them complete access to enable them to rush to the victims.” Mass Funeral Crushed bodies were beginning to decompose in the tropical heat and mass funeral arrangements were being made by families at local mosques, the AP said. Some residents, fearing aftershocks, spent the past two nights in makeshift tents and cars. At Siti Rahma Islamic hospital, 15 kilometers (9 miles) west of Padang , Susi Rahmawati, a 30-year-old doctor, had been working since dawn yesterday treating more than 100 patients. “We don’t have enough doctors and nurses,” he said, wearing blue trousers, a blue shirt and gray headscarf. “We’re really hoping that we get more medical supplies because we are running out.” In Air Pacah, a suburb about 10 minutes by car from Padang’s city center, most of the shops were collapsed and residents were trying last night to salvage whatever they could from the wrecked buildings as excavators moved pieces of collapsed structures. A rescue worker said hundreds were trapped inside, probably dead. Abandoned Stalls Further from the city, the situation is even more desperate. Along the cracked highway to Pariaman , the second-worst hit area after Padang, undamaged fish stalls line the beach, abandoned by their owners. Residents of more remote villages say help has yet to arrive. “No one has come,” said Suhardi, a 40-year-old construction worker, in front of his half-destroyed house in Toboh Tengah, 70 kilometers from Padang. “Please let them know we haven’t received any help. I drove around last night but couldn’t find any help center. We don’t have food or clothes.” Some residents in Toboh Tengah and nearby Sungai Limau villages in Pariaman district stood in the middle of the road, holding wood and tin boxes in the hope that drivers of passing vehicles would throw money in. The villages lack food, water and basic necessities. Residents are scavenging through rubble to find food. Injured people with swollen wounds are untreated. At Friday prayers in the Taqwa Mosque in Padang’s city center, former chief of Indonesia’s supreme legislature Amien Rais addressed the 1,500 people who had come to pray with a message for the survivors. “Don’t lose hope,” he said. To contact the reporters on this story: Soraya Permatasari at soraya@bloomberg.net ;

Read the full article →

Kennedy Buried Next to Brothers as Nation Bids Farewell to Senate’s ‘Lion’

August 30, 2009

By James Rowley and William McQuillen Aug. 30 (Bloomberg) — Senator Edward M. Kennedy , the last lion of a storied U.S. political dynasty, was laid to rest yesterday beside the graves of his two slain brothers on a hilltop above the capital where he made his legislative legacy. The burial at Arlington National Cemetery across the Potomac River from Washington followed a Roman Catholic funeral Mass earlier in the day in Kennedy’s hometown of Boston. At the two-hour service, President Barack Obama and the nation’s political elite bade farewell to the Massachusetts senator whose legislative career spanned almost a half century. “The world will long remember” Kennedy as “heir to a weighty legacy, a champion for those who had none; the soul of the Democratic Party; the lion of the United States Senate,” Obama said in his eulogy for the youngest brother of President John F. Kennedy , slain in 1963, and New York Senator Robert Kennedy , who was murdered during a 1968 quest for the nation’s highest office. Kennedy was given “the gift of time that his brothers were not and he used that gift to touch as many lives and right as many wrongs as the years would allow,” Obama said. Kennedy’s body was taken to its final resting place outside Washington after the funeral motorcade carrying family members and members of Congress stopped briefly outside the U.S. Capitol. “As we think of Teddy, we know that his new life begins,” Cardinal Theodore McCarrick , a friend of the senator, said before offering a prayer at the Arlington burial ceremony as darkness fell. ‘Passion for the Underdog’ “We always knew and were always touched by his passion for the underdog,” McCarrick said. “His legacy will surely place him among the dozen or so greats” of the Senate. The cardinal read a letter that Kennedy had asked Obama to deliver to Pope Benedict during the president’s trip to Rome in July, in which the ailing senator said “I know that I have been an imperfect human being but with the help of my faith I have tried to right my path.” A reply from the Vatican said the pope would pray for him. Seven riflemen fired three volleys and taps was played. The Washington delegation of Cabinet officials and lawmakers who joined members of the Kennedy clan for the two- hour service at Boston’s Basilica of Our Lady of Perpetual Help included House Speaker Nancy Pelosi and Republican Senator John McCain. Three former presidents, George W. Bush , Bill Clinton and Jimmy Carter , attended along with California Governor Arnold Schwarzenegger , who is married to the late senator’s niece, Maria Shriver . ‘Compassion and Service’ In a tribute to Kennedy’s religious faith, the Reverend J. Donald Monan said that the late senator’s “zealously private” life of faith and prayer “held the secret to the extraordinary public life of compassion and service.” The body of Kennedy, who died Aug. 25 at age 77 of brain cancer, was borne to the church by a hearse from where it had lain in repose at the John F. Kennedy Presidential Library and Museum. A steady rain fell as Kennedy’s widow, Victoria Reggie Kennedy , and other family members waited outside the basilica as the senator’s flag-draped coffin was carried into the church by a military honor guard. Ten of Kennedy’s grandchildren, nieces and nephews led the congregation in prayers, paraphrasing some of the late senator’s most familiar lines. These included Kennedy’s plea for universal health-care legislation, now pending in Congress. ‘Cause of His Life’ “For what my grandpa called the cause of his life, as he said that every American have decent quality health care as a fundamental right and not a privilege, we pray to the Lord,” said Max Allen, one of Kennedy’s grandsons. “The work begins anew, the hope rises again and the dream lives on,” said another grandson, Teddy Kennedy. Obama urged politicians in the church to emulate Kennedy’s ability to put aside partisan differences and find common ground. “He was a product of an age when the joy and nobility of politics prevented differences of party” from being “barriers to cooperation and mutual respect, a time when adversaries still saw each other as patriots,” the president said. Cellist Yo-Yo Ma played the Sarabande from Bach’s Cello Suite No. 6. During communion, tenor Placido Domingo , accompanied by Ma, sang Cesar Franck’s “Panis Angelicus.” And during lulls in the service, the sound of raindrops could be heard pounding on the church’s stained-glass windows. Jackson, Quayle, Hatch Those in attendance included Jesse Jackson , former Vice President Dan Quayle and Republican Senator Orrin Hatch of Utah, one of Kennedy’s closest collaborators on health-care legislation. “It is terribly sad that Ted is no longer here,” Blackstone Group Chief Executive Officer Stephen Schwarzman said as he waited outside the church to pass through a security checkpoint. The president and the first lady, Michelle Obama , appeared somber as they entered the packed church. The congregation stood up as the president entered the sanctuary. Traffic signs on the highway that Obama’s motorcade traveled to the church flashed signs saying “Thanks, Ted.” The church is located in Roxbury, a working-class section of Boston where Kennedy had prayed daily for Kara Kennedy’s health while she was undergoing treatment for cancer. Private Prayer “This church was a place of private prayer for a public man,” Kennedy’s parish priest, the Reverend Mark Hession, said in the homily. It “sits in a neighborhood where the important issues that animated Senator Kennedy’s career as so plainly visible, the needs of the poor” so that “the senator’s choice of this church for his funeral mass resonates with the meaning and purpose of his life and work,” Hession said. Crowds lined up for the security check before 6 a.m. Many storefronts and apartment buildings in the neighborhood displayed large American flags. One storefront posted a large banner adorned with a peace sign read: “Teddy, Your Service Will Be Remembered.” Blue and white Kennedy campaign signs were posted over windows and brick walls with a one-word message: “Thanks.” Crowds of residents clutching multicolored umbrellas gathered several blocks away at the street corners that had been blocked off. Honorary pallbearers included Supreme Court Justice Stephen Breyer , a former Kennedy staffer, and Senators Christopher Dodd of Connecticut and John Kerry of Massachusetts. Another former Kennedy aide, Kenneth Feinberg , the U.S. Treasury’s special master for compensation of executives of financial firms that received U.S. bailout money, was also an honorary pallbearer. Family Members Family members at the funeral, led by Kennedy’s widow, included Kennedy’s three children, Kara, Edward Kennedy Jr . and Patrick Kennedy , a Rhode Island congressman, and his niece Caroline Kennedy , daughter of the late President Kennedy. Also in attendance was Kennedy’s first wife, Joan Kennedy, the mother of the couple’s children. Kennedy served in the Senate almost 47 years and was the last surviving son of the political dynasty that included his brothers John, the nation’s 35th president, and Robert, who served as attorney general in his brother’s Cabinet and later as a New York senator. Stop at Capitol Following a flight to Washington, a motorcade carrying Kennedy’s casket and family members arrived in late afternoon at the U.S. Capitol for a brief prayer. Legislators and about 900 current and former staffers stood on the steps leading to the Senate’s entrance and about 4,000 people gathered on the Capitol plaza and along Constitution Avenue. Cheers and applause erupted as the motorcade arrived, and Kennedy’s widow, Victoria Reggie Kennedy and other family members stepped out to embrace staffers on the front steps before the motorcade headed to Arlington. The cemetery was contacted “a couple weeks ago,” about preparing for the burial, according to John Metzler, the superintendent. When the cemetery opens tomorrow, there will be a glossy white oak cross at the head of the grave, and a marble foot stone that will say “Edward Moore Kennedy. 1932-2009,” Metzler said. To contact the reporters on this story: James Rowley in Washington at jarowley@bloomberg.net ; Alison Fitzgerald in Boston at +1- a.fitzgerald@bloomberg.net

Read the full article →

Working-Class Boston Neighborhood Turns Out for Favorite Son’s Last Hurrah

August 29, 2009

By Tom Moroney and Karen Leigh Aug. 30 (Bloomberg) — Well-wishers plastered old campaign banners and American flags on graffiti-smudged brick walls. They peered from apartment windows and stood in the rain in front of tiny shops in Boston’s Mission Hill section yesterday as scores of dignitaries arrived for the funeral of Senator Ted Kennedy . The Basilica of Our Lady of Perpetual Help , a towering stone church on Tremont Street, was chosen because Kennedy had prayed for help there when his daughter, Kara, was sick with lung cancer in 2002. Pulitzer-winning historian Doris Kearns Goodwin , waiting in the rain to get into the funeral Mass, saw another reason for picking what is simply called Mission Church. “See all the people in the windows there,” Goodwin said, pointing to those looking out from three-story working-class apartments across the street as dignitaries’ limousines pulled up at the church. “It really shows the roots of this Kennedy family .” “It’s just extraordinary,” she said. Both Kennedy’s grandfathers were prominent Boston politicians, drawing their power from a similar working-class base. On his mother’s side, John “Honey Fitz” Fitzgerald was elected the first Irish-American mayor of the city in the early 1900s. On his father’s side, P.J. Kennedy was a saloon owner and ward boss. The 1914 marriage of their children, Kennedy’s parents, Rose and Joseph, was seen as a merger of the two powerful families. Racially Mixed Mission Hill has a total of 18,000 blacks, whites, Hispanics and Asians with 36 percent of residents living below the poverty line, according to census data. Near the church on Tremont Street are an auto parts shop, laundromat and doctors’ offices. A deli outside the security zone swarmed with those seeking a glimpse the politicians and business chiefs showing up for the funeral of Kennedy, who died Aug. 25 at age 77 of brain cancer. William Bulger , the former president of the Massachusetts Senate who was raised in Boston’s Southie neighborhood, told of the first time he met Kennedy in 1962. Kennedy aides had invited him to Locke-Ober restaurant hoping to enlist him in Kennedy’s first Senate campaign. Lobster Dish Bulger said he ordered an expensive lobster dish and was so busy eating he never looked up until someone suggested he acknowledge his host. Kennedy quipped, “Don’t worry about him. We couldn’t afford to feed him anyway,” Bulger recalled. Christine Schwarzman , wife of Blackstone Group Chief Executive Officer Stephen Schwarzman , said, “It was a privilege to have known Ted and to know Vicki,” the late senator’s wife who spent hours greeting mourners when her husband’s body lay in repose at the John F. Kennedy Presidential Library & Museum. Boston Celtics Hall-of-Fame center Bill Russell was there, as was Boston Red Sox owner John Henry and cellist Yo-Yo Ma , who performed at the Mass. Across from the church as guests continued to move through the security check, staff at youth center Sociedad Latina had painted its windows in tribute to Kennedy. “The hope still lives and the dream shall never die,” read part of one message, borrowing from Kennedy’s 1980 speech at the Democratic National Convention after losing the primary race to President Jimmy Carter . Slept at Office Executive director Alexandra Oliver said she and some of the staff slept in the office overnight because they were told they wouldn’t be able to gain entrance in the morning. “Kennedy loved this community,” she said. Caprice Taylor Mendez, 36, originally from Guatemala , said she was inspired by Kennedy to become a citizen in 1998. “We need more people with that spirit who believe in human rights,” she said. “It’s really messed up,” said pizza-shop worker Antonio Gomez, 30, of Kennedy’s death. “He did good for the people.” At security blockades where waves of multicolored umbrellas could be seen, dozens stood in the rain. “I don’t really care if I get wet,” said Brian Ebel, 32, of Millis, Massachusetts , 18 miles west of Boston. “I definitely was a fan. I grew up here and he’s just always been a part of my life.” Best View Among those with the best view were apartment dwellers directly across from the church, some of them students attending local colleges. Sipping from a coffee mug inside a first-floor window, Ryan Dunleavy, 23, a recent college graduate, said he knew about the Kennedy family from a young age. “My grandmother was the first woman selectman in my hometown and so we’d hear about them all the time,” he said. “She was like the Rose Kennedy where I come from.” His boyhood friend, Ryan Berube, 22, a Northeastern University finance student, sat next to him. “You hear all about the Kennedy curse, that he was the only brother to live out his natural life, and then you hear about all the things he’s done for civil rights and other issues,” Berube said. “It’s incredible really,” he said. “Really incredible.” To contact the reporters on this story: Tom Moroney in Boston at Or tmorrone@bloomberg.net Karen Leigh in Washington at kleigh@bloomberg.net .

Read the full article →

Kennedy’s Ancestral Home in Ireland Mourns Passing of Last Elvis-Like Hero

August 28, 2009

By Fergal O’Brien and Dara Doyle Aug. 28 (Bloomberg) — Ingrid O’Brien said she will lose a hero tomorrow when Edward Kennedy is buried 3,500 miles away. Senator Kennedy, who died this week aged 77, will be laid to rest at Arlington National Cemetery outside Washington where his two brothers John and Robert are interred. More than 150 years ago, their great-grandfather left Dunganstown in southeast Ireland, less than four miles from O’Brien’s home in New Ross. “John, Bobby, Ted, they were like Elvis to us,” said O’Brien, 65, a former head of the local municipal authority. “Except better, because they were ours.” In the U.S., the Kennedys became the most famous members of Ireland’s diaspora. Around New Ross, a port town of 7,000 people, the family’s legacy is everywhere. The family home is a museum and a statue of John F.Kennedy in a suit and tie stands alongside the Barrow river. The Dunbrody , a replica of the famine ships that brought Patrick Kennedy and thousands of others to the U.S., bobs on the waterfront. The municipal building close to the river has a sign on the door inviting passers-by to sign a book of condolences for Ted. “The Kennedy experience is the paradigm of the immigrant experience,” said Sean Reidy, 60, who runs the JFK Trust, which oversees the Dunbrody project. “They left on a famine ship and returned as president.” Kennedy Standstill Ted Kennedy was diagnosed in May 2008 with a malignant brain tumor and died on Aug. 25 at his home in Hyannis Port, Massachusetts. He visited New Ross at least twice, traveling to the family homestead. Reidy said he met Ted four times, including an encounter in his office in Washington in the early 1990s as he sought to raise the finance to build the triple-masted Dunbrody. “I remember he had a Wexford road sign pointing to Dunganstown,” he said. “It was very striking.” Ted’s great-grandfather left Ireland in 1848 from New Ross and sailed to the U.S. The 1840s Irish famine marked the start of a mass emigration trail. Between 1841 and 1961, Ireland’s population shrank to 2.8 million people from 6.5 million. Just over a century after Patrick left, John F. Kennedy became the U.S.’s first Roman Catholic president. Ireland came to a standstill two years later when he visited the country. Shining a Light O’Brien remembers her family buying their first television set to watch Kennedy tour the country. When the president came, “it was like someone had switched on the light,” she said. “New Ross was so poor then, so grey, almost like the Third World.” The president was assassinated in 1963, just months after he visited Ireland. New York Senator Robert F. Kennedy was killed by a gunman five years later. At that point, hopes in New Ross passed to Ted. O’Brien met the senator at a business function in Boston on St. Patrick’s Day , Ireland’s national holiday, two years ago to discuss plans to erect a statue of his brother on the waterfront. “It was like meeting a family member you don’t see very often,” she said. “He was so in tune with what was happening in New Ross. He knew every place, every name we mentioned.” Kennedy helped broker peace in Northern Ireland and proposed laws that would allow undocumented immigrants apply for work and travel permits. ‘Here for Ted’ “He was giant of a politician who was a great friend to this small county,” Ken McMullen, who worked for 17 years in the U.S., said as he lined up at the U.S. embassy in Dublin to sign a book of condolences. “I’m here for Ted today.” Irish Prime Minister Brian Cowen , who last spoke to Kennedy on St. Patrick’s Day, will attend the funeral tomorrow. “He played a particularly important role in the formative days of the Northern Ireland peace process,” Cowen said on Aug. 26. “He used his political influence wisely. He was the voice of moderation and common sense.” While Kennedy’s death deprives the U.S. of one of its greatest lawmakers, Ireland will also lose a friend, said Reidy, who recalls that the Senator’s letter of support for his project helped him lure sponsors for the Dunbrody. “Ted opened doors that nobody else could,” Reidy said by telephone. “He was the patriarch of the family, and the first port of call when Ireland needed something. Now, he’s gone, it’ll never be the same again.” To contact the reporters on this story: Fergal O’Brien in Dublin at fobrien@bloomberg.net ; Dara Doyle at ddoyle1@bloomberg.net

Read the full article →

Obama Lauds Kennedy as Great Senate Leader and Friend

August 26, 2009

By Nicholas Johnston Aug. 26 (Bloomberg) — President Barack Obama today called Senator Edward M. Kennedy “one of the greatest senators of our time,” an “extraordinary leader” who pursued civil rights and helped elect the nation’s first black president. Kennedy’s powerful voice for social causes allowed people to “pursue their dream in an America that is more equal and more just, including myself,” Obama said in a statement at Martha’s Vineyard in Massachusetts, where his family was vacationing. “His ideas and ideals are stamped on scores of laws and reflected in millions of lives.” Kennedy, the 77-year-old Massachusetts Democrat, died at home in Hyannis Port on Cape Cod after a lengthy battle with brain cancer. Flags at the U.S. Capitol and the White House were flown at half-staff in Kennedy’s honor. Obama, in an earlier statement today, said he and first lady Michelle Obama were “heartbroken” to learn of his death. Kennedy, who led battles in the Senate to advance civil rights, health care and economic programs for the poor, forged a bond with Obama when the young Illinois senator served in the chamber. Kennedy gave a boost to Obama’s quest for the presidency when he endorsed him in January 2008 over other rivals. It became a turning point in Obama’s campaign, giving it legitimacy and credibility, campaign aides later said. ‘Humility, Warmth’ Kennedy’s dogged purpose as a legislator was matched by “humility, warmth and good cheer,” Obama said in the statement broadcast live on television. “He could passionately battle others, and do so peerlessly on the Senate floor for the causes that he held dear, and yet still maintain warm friendships across party lines.” Obama said. “And that is one reason why he became one of the greatest senators of our time” and “one of the most accomplished Americans ever to serve our democracy,” he said. Even as Kennedy’s stalwart views made him an inviting target of partisan attacks, “I can think of no one who engendered greater respect or affection from both sides of the aisle,” the president said. White House aides anticipate that Obama will deliver a eulogy at Kennedy’s funeral. While the president is scheduled to return to Washington on Aug. 30, aides were waiting for details of the funeral and other events. To contact the reporter on this story: Nicholas Johnston in Washington at njohnston3@bloomberg.net

Read the full article →

Yellow Confetti to Greet Corazon Aquino’s Funeral Procession in Manila

August 2, 2009

By Francisco Alcuaz Jr. Aug

Read the full article →