Russia Says It Supports U.N. Envoy for Syria


George Ourfalian/Reuters


Syrian soldiers loyal to President Bashar al-Assad in Aleppo on Saturday.







MOSCOW (Reuters) — Russia voiced support on Saturday for Lakhdar Brahimi, the special Syria envoy from the United Nations and the Arab League, but insisted that the exit of the Syrian president, Bashar al-Assad, could not be a precondition for a deal to end the country’s conflict.




A Foreign Ministry statement after talks in Geneva on Friday with the United States and Mr. Brahimi, who the Syrian government has said is “flagrantly biased,” reiterated calls for an end to the violence in Syria, where more than 60,000 people have been killed since March 2011.


At the meeting with Mr. Brahimi and an American deputy secretary of state, William J. Burns, a Russian deputy foreign minister, Mikhail Bogdanov, “expressed unfailing support for Brahimi’s mission as the U.N.-Arab League special envoy on Syria,” the statement said.


The issue of Mr. Assad — who the United States, European powers and gulf-led Arab states say must step down to end what has escalated into a civil war — appeared to be a sticking point at the meeting.


“As before, we firmly uphold the thesis that questions about Syria’s future must be decided by the Syrians themselves,” Russia’s Foreign Ministry said, “without interference from outside or the imposition of prepared recipes for development.”


Russia has been Mr. Assad’s most powerful international supporter during the nearly 22-month conflict, joining with China to block three Western- and Arab-backed United Nations Security Council resolutions intended to pressure him or push him from power.


In Geneva, Russia called for “a political transition process” based on an agreement by foreign powers last June.


Mr. Brahimi, who is trying to build on the agreement reached in Geneva on June 30, has met three times since early December with senior Russian and American diplomats, and he met Mr. Assad in Damascus.


Russia and the United States disagreed over what the June agreement meant for Mr. Assad, with Washington saying it sent a clear signal that he must go and Russia contending it did not.


In Washington, a spokeswoman for the State Department, Victoria Nuland, said there had been some progress toward a common view at Friday’s meeting, but she did not provide details.


Moscow says it is not propping up Mr. Assad and, as rebels gain ground in the war, it has given indications it is preparing for his possible exit. But it continues to insist he must not be forced out by foreign powers.


Analysts say President Vladimir V. Putin of Russia wants to prevent the United States from using military force or support from the Security Council to bring down governments it opposes.


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Armstrong to admit doping in Oprah interview


AUSTIN, Texas (AP) — Lance Armstrong will make a limited confession to doping during his televised interview with Oprah Winfrey next week, according to a person with knowledge of the situation.


Armstrong, who has long denied doping, will also offer an apology during the interview scheduled to be taped Monday at his home in Austin, according to the person who spoke on condition of anonymity because there was no authorization to speak publicly on the matter.


While not directly saying he would confess or apologize, Armstrong sent a text message to The Associated Press early Saturday that said: "I told her (Winfrey) to go wherever she wants and I'll answer the questions directly, honestly and candidly. That's all I can say."


The 41-year-old Armstrong, who vehemently denied doping for years, has not spoken publicly about the U.S. Anti-Doping Agency report last year that cast him as the leader of a sophisticated and brazen doping program on his U.S. Postal Service teams that included use of steroids, blood boosters and illegal blood transfusions.


The USADA report led to Armstrong being stripped of his seven Tour de France titles and given a lifetime ban from the sport.


Several outlets had reported that Armstrong was considering a confession. The interview will be broadcast Thursday on the Oprah Winfrey Network and oprah.com.


A confession would come at a time when Armstrong is still facing some legal troubles.


Armstrong faces a federal whistle-blower lawsuit filed by former teammate Floyd Landis accusing him of defrauding the U.S. Postal Service, but the U.S. Department of Justice has yet to announce if it will join the case. The British newspaper The Sunday Times is suing Armstrong to recover about $500,000 it paid him to settle a libel lawsuit.


A Dallas-based promotions company has threatened to sue Armstrong to recover more than $7.5 million it paid him as a bonus for winning the Tour de France.


But potential perjury charges stemming from his sworn testimony denying doping in a 2005 arbitration fight over the bonus payments have passed the statute of limitations.


Armstrong lost most of his personal sponsorship — worth tens of millions of dollars — after USADA issued its report and he left the board of the Livestrong cancer-fighting charity he founded in 1997. He is still said to be worth an estimated $100 million.


Livestrong might be one reason to issue an apology or make a confession. The charity supports cancer patients and still faces an image problem because of its association with its famous founder.


Armstrong could also be hoping a confession would allow him to return to competition in elite triathlon or running events, but World Anti-Doping Code rules state his lifetime ban cannot be reduced to less than eight years. WADA and U.S. Anti-Doping officials could agree to reduce the ban further depending on what new information Armstrong provides and his level of cooperation.


Armstrong met with USADA officials recently to explore a "pathway to redemption," according to a report by "60 Minutes Sports" aired Wednesday on Showtime.


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Former Lab Technician Denies Faulty DNA Work in Rape Cases





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




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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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



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


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Extreme Weather Grows in Frequency and Intensity Around World


Menahem Kahana/Agence France-Presse — Getty Images


Snow blanketed Jerusalem on Thursday, an example of weather extremes that are growing more frequent and intense. More Photos »







WORCESTER, England — Britons may remember 2012 as the year the weather spun off its rails in a chaotic concoction of drought, deluge and flooding, but the unpredictability of it all turns out to have been all too predictable: Around the world, extreme has become the new commonplace.




Especially lately. China is enduring its coldest winter in nearly 30 years. Brazil is in the grip of a dreadful heat spell. Eastern Russia is so freezing — minus 50 degrees Fahrenheit, and counting — that the traffic lights recently stopped working in the city of Yakutsk.


Bush fires are raging across Australia, fueled by a record-shattering heat wave. Pakistan was inundated by unexpected flooding in September. A vicious storm bringing rain, snow and floods just struck the Middle East. And in the United States, scientists confirmed this week what people could have figured out simply by going outside: last year was the hottest since records began.


“Each year we have extreme weather, but it’s unusual to have so many extreme events around the world at once,” said Omar Baddour, chief of the data management applications division at the World Meteorological Organization, in Geneva. “The heat wave in Australia; the flooding in the U.K., and most recently the flooding and extensive snowstorm in the Middle East — it’s already a big year in terms of extreme weather calamity.”


Such events are increasing in intensity as well as frequency, Mr. Baddour said, a sign that climate change is not just about rising temperatures, but also about intense, unpleasant, anomalous weather of all kinds.


Here in Britain, people are used to thinking of rain as the wallpaper on life’s computer screen — an omnipresent, almost comforting background presence. But even the hardiest citizen was rattled by the near-biblical fierceness of the rains that bucketed down, and the floods that followed, three different times in 2012.


Rescuers plucked people by boat from their swamped homes in St. Asaph, North Wales. Whole areas of the country were cut off when roads and train tracks were inundated at Christmas. In Mevagissey, Cornwall, a pub owner closed his business for good after it flooded 11 times in two months.


It was no anomaly: the floods of 2012 followed the floods of 2007 and also the floods of 2009, which all told have resulted in nearly $6.5 billion in insurance payouts. The Met Office, Britain’s weather service, declared 2012 the wettest year in England, and the second-wettest in Britain as a whole, since records began more than 100 years ago. Four of the five wettest years in the last century have come in the past decade (the fifth was in 1954).


The biggest change, said Charles Powell, a spokesman for the Met Office, is the frequency in Britain of “extreme weather events” — defined as rainfall reaching the top 1 percent of the average amount for that time of year. Fifty years ago, such episodes used to happen every 100 days; now they happen every 70 days, he said.


The same thing is true in Australia, where bush fires are raging across Tasmania and the current heat wave has come after two of the country’s wettest years ever. On Tuesday, Sydney experienced its fifth-hottest day since records began in 1910, with the temperature climbing to 108.1 degrees. The first eight days of 2013 were among the 20 hottest on record.


Every decade since the 1950s has been hotter in Australia than the one before, said Mark Stafford Smith, science director of the Climate Adaptation Flagship at the Commonwealth Scientific and Industrial Research Organization.


To the north, the extremes have swung the other way, with a band of cold settling across Russia and Northern Europe, bringing thick snow and howling winds to Stockholm, Helsinki and Moscow. (Incongruously, there were also severe snowstorms in Sicily and southern Italy for the first time since World War II; in December, tornadoes and waterspouts struck the Italian coast.)


In Siberia, thousands of people were left without heat when natural gas liquefied in its pipes and water mains burst. Officials canceled bus transportation between cities for fear that roadside breakdowns could lead to deaths from exposure, and motorists were advised not to venture far afield except in columns of two or three cars. In Altai, to the east, traffic officials warned drivers not to use poor-quality diesel, saying that it could become viscous in the cold and clog fuel lines.


Meanwhile, China is enduring its worst winter in recent memory, with frigid temperatures recorded in Harbin, in the northeast. In the western region of Xinjiang, more than 1,000 houses collapsed under a relentless onslaught of snow, while in Inner Mongolia, 180,000 livestock froze to death. The cold has wreaked havoc with crops, sending the price of vegetables soaring.


Way down in South America, energy analysts say that Brazil may face electricity rationing for the first time since 2002, as a heat wave and a lack of rain deplete the reservoirs for hydroelectric plants. The summer has been punishingly hot. The temperature in Rio de Janeiro climbed to 109.8 degrees on Dec. 26, the city’s highest temperature since official records began in 1915.


Reporting was contributed by Jodi Rudoren from Jerusalem; Irit Pazner Garshowitz from Tzur Hadassah, Israel; Fares Akram from Gaza City, Gaza; Ellen Barry and Andrew Roth from Moscow; Ranya Kadri from Amman, Jordan; Dan Levin from Harbin, China; Jim Yardley from New Delhi; Anne Barnard from Beirut, Lebanon; Matt Siegel from Sydney, Australia; Scott Sayare from Paris; and Simon Romero from Rio de Janeiro.



This article has been revised to reflect the following correction:

Correction: January 11, 2013

An earlier version of this article misstated part of the name of the organization for which Omar Baddour works. It is the World Meteorological Organization, not the World Meteorological Association. It also misspelled the name of a location in Cornwall, England. It is Mevagissey, not Megavissey.



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Sprint confirms it will launch BlackBerry 10 later this year









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Eager Chudzinski takes over new-look Browns


CLEVELAND (AP) — The Browns have always been a part of Rob Chudzinski's life. Now, he's the man in charge.


Chudzinski, who spent the past two seasons as Carolina's offensive coordinator, was introduced as the club's sixth fulltime coach on Friday, a once-in-a-lifetime opportunity for the 44-year-old who as a kid pretended he played tight end for the Browns during games in his backyard in Toledo, Ohio.


"It is a dream come true," Chudzinski said. "I can't wait to get started."


Chudzinski will inherit a young roster he'll try to develop into a contender with the Browns, who have lost at least 11 games in each of the past five seasons and made the playoffs only once since 1999.


Chudzinski previously worked as an assistant with the Browns, most recently as their offensive coordinator in 2008. Although he has no previous head coaching experience, owner Jimmy Haslam and CEO Joe Banner are confident they hired the best possible candidate available to turn their club into a consistent winner.


"I would not miss the chance for the world." Chudzinski said. "We're going to win here."


The Browns hauled their search to find the 14th coach in franchise history to Arizona and back. They talked to high-profile college coaches, NFL assistants and a fired pro coach who took a team to a Super Bowl.


None of them was hired.


Instead, Chudzinski became their pick.


"I believe we came back with the best coach for the Cleveland Browns," said Haslam, who flew to Charlotte, N.C. on Thursday night with Banner to offer Chudzinski the job. "He is one of the brightest young coaches in the business."


Chudzinski's first move will be to hire his staff. He will immediately meet with the assistants currently working for the Browns. Chudzinski would not comment on any possible candidates to become his coordinators. There are reports he is considering former San Diego coach Norv Turner to run his offense. Chudzinski worked for Turner with the Chargers.


"I have a plan in place," he said. "We're going to get a great staff. We have a young group of players. This is going to be about the process. Lots of people are worried about the end result, but this is going to be the right process to get us where we want to be."


Now that they've hired their coach, Haslam and Banner will focus on finding a new general manager to help pick players for Chudzinski, who will be involved in finding the GM.


The new coach — "Chud," as he's known to players and friends — worked with the Browns' tight ends in 2004 and was their offensive coordinator in 2007, when the team won 10 games — their most since an expansion rebirth in 1999. He was released when Romeo Crennel was fired in 2008.


Chudzinski said when he walked off the field after the final game that season he knew he would be coming back to Cleveland "someday, somehow."


Chudzinski replaces Pat Shurmur, another first-time coach when he was hired, who was fired on Dec. 31 after a 5-11 season. For the past two years, Chudzinski has worked with talented Panthers quarterback Cam Newton and resuscitated Carolina's offense, which was one of the league's worst before he arrived.


When Haslam and Banner embarked on their coaching search as 2013 began, the pair vowed they would wait as long as necessary to find "the right coach" for Cleveland. They promised to give their new coach final say over the roster and planned to pair him with an executive to help pick players.


Chudzinski wasn't seen by many as an option.


And then he became the choice.


Haslam said Chudzinski's passion for the Browns was a bonus, but he had all the credentials and characteristics they were looking for in a new coach.


"If Rob was from Plano, Texas, we would have hired him," Haslam said.


Chudzinski said he wants a team that attacks on both sides of the ball. He would not comment on any of Cleveland's players, and sidestepped a question about rookie Brandon Weeden, who had an uneven first season with the Browns.


Chudzinski interviewed with the team on Wednesday, when the club also visited with Cincinnati defensive coordinator Mike Zimmer. Chudzinski appeared to be a long shot for the job, not because he wasn't qualified, but because it was thought Haslam wanted to make a big splash with his first coaching hire.


However, Chudzinski wowed Haslam and Banner during his meeting and the team decided it was time to end its search in its second week. Haslam said 10 minutes into the interview that he nodded at Banner that they had found their man.


In his first season in Carolina, Chudzinski turned Newton, the No. 1 overall draft pick, loose and the Panthers set club records for total yards (6,237) and first downs (345). Carolina also scored 48 touchdowns after getting just 17 in the season before Chudzinski arrived. The Panthers jumped from last in the league in total yardage to seventh, the biggest improvement since 1999.


Haslam pointed out the Panthers scored 88 touchdowns the past two seasons. Cleveland scored 44.


Following last season, Chudzinski interviewed for head coaching jobs with St. Louis, Jacksonville and Tampa Bay before returning to Carolina.


In getting the Browns' job, Chudzinski was picked over Zimmer, Montreal Alouettes coach Marc Trestman, fired Arizona coach Ken Whisenhunt and Cardinals defensive coordinator Ray Horton. Whisenhunt was in Cleveland for a second interview on Thursday, and appeared to be the front-runner. The Browns also were expected to interview Indianapolis offensive coordinator Bruce Arians.


Chudzinski's hiring may have shocked some Cleveland fans, many of whom at fantasies about Nick Saban or Jon Gruden or Kelly brining his supersonic offense to the NFL.


But his selection is in keeping with at least one of Banner's past moves. When he was in Philadelphia's front office, Banner went outside the box and hired Green Bay assistant Andy Reid, a relative unknown who spent 14 seasons with the Eagles.


___


Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL


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

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

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

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

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

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

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

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

What kinds of challenges have you witnessed?

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

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

That’s hard, isn’t it?

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

How can contemplative caregiving help?

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

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

What does that mean?

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

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

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

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

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

Why is that important?

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

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

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

Are other skills important?

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

What will you do in your course?

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

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

What can people do on their own?

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

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

Are other groups doing this kind of work?

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

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

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DealBook: Client Redemptions Loom for SAC Capital

12:46 p.m. | Updated

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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Would-Be Inauguration in Venezuela for Chávez




The People’s Love for Chávez Continues:
While Venezuelan President Hugo Chávez lies ill in Cuba, his many fans still flock to the streets at home in support. A recent rally shows Mr. Chávez has established a celebrated and enduring persona.







CARACAS, Venezuela — President Hugo Chávez’s supporters have not ruled out swearing him in from his hospital in Havana. His detractors are calling for government investigators to go check his pulse themselves. The justices whom Mr. Chávez’s allies have named to the Supreme Court have decided that he can continue to govern in absentia.




In a country that Mr. Chávez has dominated for so long, his health crisis and the decision to proceed on Thursday with a quasi-presidential inauguration that he is unable to attend are producing a stream of bizarre developments and national angst about who is in charge.


“Who’s governing Venezuela?” Julio Borges, an opposition member of the National Assembly, said during a noisy legislative debate this week on the biggest issue facing the country, overshadowing other urgent matters like pressures for a painful currency devaluation, stagnant oil production and chronic shortages of food and other staples on store shelves.


Mr. Chávez has long said, “I am the people,” a mantra that his supporters are invoking as they plan to don the sash the president would have worn had he been able to attend his inauguration, symbolically becoming presidents themselves.


“Anyone who has a sash, bring it along, because tomorrow the people will be invested as president of the republic, because the people are Chávez,” Diosdado Cabello, the president of the National Assembly, said Wednesday. “All of us here are Chávez, the people in the street are Chávez, the lady who cooks is Chávez, the comrade who works as a watchman is Chávez, the soldier is Chávez, the woman is Chávez, the farmer is Chávez, the worker is Chávez; we’re all Chávez.”


To no one’s surprise, the Supreme Court, full of Chávez loyalists, ruled on the eve of the ceremony that Mr. Chávez’s inauguration could be postponed and that his team of advisers could smoothly move, in his absence, from one term to the next.


The court declined to set a time limit for the swearing in, raising the possibility that the country’s deepening uncertainty could go on for weeks or months. And it did nothing to clear up the stubborn mystery of the president’s condition.


Luisa Estella Morales, the president of the Supreme Court, said Wednesday at a news conference that there was no need at this time for a delegation to go to Cuba and report back on the condition of Mr. Chávez, 58. Asked if the swearing in could occur in Havana, she said the time and place of the ceremony had not been determined.


 Ms. Morales said the Supreme Court’s ruling was meant to uphold the results of October’s presidential election.


“It’s one of the most important values that we should preserve as a constitutional court,” Ms. Morales said. “The sovereign Venezuelan people have expressed through their vote their desire to continue being governed by President Hugo Rafael Chávez Frías.”


The government has been opaque for months, acknowledging that he suffered from a relapse of cancer in the pelvic area, but not specifying the type of cancer or detailing his prognosis.


The lack of information has left Venezuela tied in knots. Mr. Chávez has loomed so large for so long — with speeches that have lasted for hours, frequent Twitter posts and his outsized singing, ranting, poetry-reciting and foe-bashing personality — that his sudden silence has created a sizable vacuum.


“We don’t have a president,” lamented Estela Martínez, 63, a nurse who has supported Mr. Chávez throughout his 14 years in office. She said she was afraid that the public was not getting the full truth about the president’s condition and that there was far more shouting than clarity from political leaders. “Someone has to take the reins of the country.”


Henrique Capriles Radonski, the opposition candidate who lost to Mr. Chávez in October, criticized the Supreme Court’s decision endorsing a delay in the inauguration. “Institutions should not respond to the interests of a government,” he said.


The State Department in Washington, which has been cautious about getting involved in the contentious political back-and-forth, said Wednesday that it would be eager to improve relations with Venezuela, which have long been strained.


María Iguarán and María Eugenia Díaz contributed reporting.



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Jaguars fire Mularkey after team's worst season


JACKSONVILLE, Fla. (AP) — The Jacksonville Jaguars fired coach Mike Mularkey on Thursday after just one season, the worst in franchise history.


New general manager David Caldwell made the announcement two days after he was hired, giving him a clean slate heading into 2013. Caldwell said he wants to immediately explore every avenue possible to turn the Jaguars around.


"For that to happen as seamlessly as we want, and as quickly as our fans deserve, I feel it is in everyone's best interests for an immediate and clean restart," Caldwell said.


Mularkey, who went 2-14 this season, became the eighth head coach fired since the end of the regular season. He looked like he would be one and done when owner Shad Khan parted ways with general manager Gene Smith last week and gave Mularkey's assistants permission to seek other jobs. Even though Khan ultimately hired Mularkey, Smith directed the coaching search last January that started and ended with the former Atlanta Falcons offensive coordinator.


"Mike Mularkey is leaving our organization with my utmost respect," Khan said. "Mike gave the Jaguars everything he had on and off the field, and his efforts as our head coach will always be appreciated."


Mularkey's brief tenure — he didn't even last a year — was filled with mistakes. His biggest one may have been his loyalty to Smith, who assembled a roster that lacked talent on both sides of the ball.


Mularkey probably stuck with Smith's franchise quarterback, Blaine Gabbert, longer than he should have. And the coach's insistence that the team was closer than outsiders thought and his strong stance that he had the roster to turn things around became comical as the losses mounted. The Jaguars lost eight games by at least 16 points, a staggering number of lopsided losses in a parity-filled league.


Mularkey would have been better served had he said publicly what he voiced privately: that the Jaguars didn't have enough playmakers or a starting-caliber quarterback.


Instead, he never conceded that Jacksonville was a rebuilding project that needed time.


Mularkey signed a three-year contract on Jan. 11, 2012, getting a second chance to be a head coach six years after resigning with the Buffalo Bills.


His return was shaky from the start.


His best player, running back Maurice Jones-Drew, skipped offseason workouts as well as training camp and the preseason in a contract dispute. His first draft pick, receiver Justin Blackmon, was arrested and charged with aggravated DUI in June. And his team was riddled with injuries, including key ones to linebacker Daryl Smith and Jones-Drew.


Even things he had control over went awry.


He had to backtrack after saying Chad Henne would compete with Gabbert for the starting job in March. He created a stir by threatening to fine players up to $10,000 for discussing injuries. He initially played rookie receiver Kevin Elliott over Cecil Shorts III early on. And he really irked some players with tough, padded practices late in a lost season.


Throw in the way he handled injuries to receiver Laurent Robinson (four concussions before going on IR) and Jones-Drew (admittedly should have had foot surgery sooner), and there were reasons to doubt whether Mularkey was cut out to be a head coach. Dating back to his final season in Buffalo, Mularkey has lost 20 of his last 23 games.


Nonetheless, if Khan really wanted to fire Mularkey, he would have done after the season finale along with Smith.


So this was Caldwell's call.


Caldwell and Mularkey spent four years together in Atlanta, getting to know each other well enough that Caldwell didn't need a sit down with Mularkey after he got the GM job Tuesday.


Caldwell and Khan have a news conference scheduled for Thursday afternoon.


Potential replacements for Mularkey include former Chicago Bears coach Lovie Smith, Indianapolis Colts offensive coordinator Bruce Arians, St. Louis Rams offensive coordinator Brian Schottenheimer and San Francisco 49ers offensive coordinator Greg Roman.


Schottenheimer was up for the Jacksonville job last season, and Roman has been linked to the Jaguars since Caldwell became the leading candidate to replace Smith.


Roman and Caldwell were teammates and roommates in the 1990's while attending John Carroll University.


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





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


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


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


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


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


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


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Nokia Sees Results From New Smartphone Line


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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Iranian Captives Freed in Major Prisoner Exchange in Syria





ISTANBUL — More than 2,000 prisoners incarcerated by the Syrian authorities were being released on Wednesday in return for 48 Iranians freed by rebels after five months in captivity in what appeared to be the biggest prisoner swap since the uprising against President Bashar al-Assad began almost two years ago.




The exchange, brokered by Turkey and Qatar, came days after Mr. Assad warned on Sunday that he would not abandon the fight against armed adversaries pressing on the approaches to the Syrian capital, Damascus, and brushed aside calls for him to quit.


Word of the exchange dominated news in Iran, the Syrian government’s only Middle East ally, leading the Web site of the official Islamic Republic News Agency. Iran state television showed a brief clip of the released hostages at the Sheraton Hotel in Damascus, grinning, flashing victory signs and holding flowers. In an interview on Iran state TV, the Foreign Ministry spokesman, Ramin Mehmanparast, thanked those involved in the swap for the hostages and expressed happiness that “we managed to get them released.”


Precise details of the exchange, including when the 48 Iranians would be repatriated, remained unclear. Mr. Mehmanparast also said two Iranian engineers who had been abducted earlier in Syria remained captive. But Prime Minister Recep Tayyip Erdogan of Turkey, a regional power broker allied to the Western and Arab nations seeking Mr. Assad’s departure, said he hoped the exchange on Wednesday would lead to freedom for more prisoners in Syria.


“We wish many other innocent people, and people in need, to be released from Syrian jails without delay,” Mr. Erdogan said in a televised news conference in Niamey, Nigeria, where he arrived on an official visit.


“This process needs to be appreciated. We are not in a position to say anything more than, ‘May this produce some good.’ ”


The exchange emerged from months of behind-the-scenes negotiations involving a Turkish charitable foundation, the Humanitarian Relief Foundation, an Islamist-leaning aid organization based in Istanbul and widely known as I.H.H.


The aid group had set up an operation center in Damascus to unite 2,130 prisoners, including 73 women, at one base while another aid team remained in Douma, near the Syrian capital, to oversee the return of the 48 Iranians.


“Captivity is a hard thing,” said Bulent Yildirim, the foundation’s director, who coordinated the exchange in Damascus.


“I saw young women crying, many people lost a lot of weight, and there were also many sick people.”


The Syrian opposition has claimed that the Iranians are members of Iran’s Islamic Revolutionary Guards Corps, but Tehran has denied the assertion, saying the captives are Shiite civilian pilgrims. The Iranians were seized in August while traveling on a bus from Damascus International Airport to a Shiite shrine on the outskirts of the capital, Iran’s Press TV said.


Opposition fighters had threatened to kill the Iranians unless Mr. Assad’s forces halted military operations. But since then the fighting around Damascus has intensified.


Iran is Mr. Assad’s main ally in a region where most Arab states and neighboring Turkey have turned against him. The Iranian captives offered the rebels holding them a source of powerful pressure on the Syrian leader to release opposition prisoners in return.


“We expect the swap to be completed in the next hour,” Huseyin Oruc, a member of the aid group’s executive board said in a telephone interview around midday. He said the captives released by the Syrian authorities included four Turks and a Palestinian.


By midafternoon it was not clear whether the 2,130 prisoners had been freed.


“It is the first time that the ‘humanitarian diplomacy’ we initiated succeeded in releasing such a large group of people at once,” Mr. Oruc said. “There are many more held captive and our efforts to free them will continue without delay.”


The Turkish aid group gained international attention in 2010 for organizing a flotilla of boats heading to Gaza, ostensibly with relief supplies, that prompted a deadly Israeli commando raid in which eight Turks and an American of Turkish descent died. At the time of the raid, the group was reported to have extensive connections with Turkey’s political elite. The episode began an unraveling of Turkey’s once close ties with Israel.


In recent months, the organization has also been part of negotiations to free smaller numbers of prisoners, including two Turkish journalists held in Syria, Reuters reported. It has been active since the early 1990s in charitable works in the Middle East and Africa, focusing most recently on Gaza.


Since the start of the uprising against Mr. Assad, the organization has also cast itself as a leading private charitable organization in Syria, delivering food and other basic supplies and pursuing what it calls “humanitarian diplomacy” to help free captive civilians.


While the numbers involved in Wednesday’s exchange seemed dramatic, some rebel commanders said more modest prisoner exchanges had become a feature of the conflict.


The leader of a rebel fighting group in the central city of Hama, reached via Skype, said pro-government militia members had captured his uncle and two other relatives in a village in the northern Idlib province more than a month ago.


 “The  only  way to release them is capturing  hostages,” the commander said, adding that negotiations were under way to win the release of his relatives in return for 12 captives held by the rebels. Two months ago, the commander said, nine members of the pro-government militia, known as shabiha, were  exchanged for five captured rebels. Syria’s uprising began in March 2011 with peaceful demonstrations, but a harsh suppression broadened into civil war with an estimated 60,000 people killed, according to United Nations estimates.


Sebnem Arsu reported from Istanbul and Alan Cowell from London. Hwaida Saad contributed reporting from Beirut, Lebanon, and Thomas Erdbrink from Tehran.



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Why bother with a Facebook phone? Facebook’s app is already on 86% of iPhones and iPads






Rumors suggesting Facebook (FB) is working on a smartphone have resurfaced a number of times over the past year. Each time, Facebook denied the various claims. Facebook may indeed still be working on its own phone but as a new report from market research firm NPD Group shows, it probably doesn’t need to.


[More from BGR: Is Samsung the new Apple?]






Facebook makes money by gathering information about its users and serving targeted ads based on that data. Allowing users to update Facebook with fresh data as often as possible is obviously beneficial to the company, and smartphones present a terrific opportunity to give users access to their Facebook accounts from anywhere. The more people using Facebook’s mobile apps, the better, and Facebook’s smartphone penetration is absolutely staggering right now.


[More from BGR: iPhone 5 now available with unlimited service, no contract on Walmart’s $ 45 Straight Talk plan]


According to data published by NPD Group on Tuesday, Facebook’s iOS application was used by 86% of iPhone, iPad and iPod touch owners as of November 2012. On the Android platform, 70% of smartphone and tablet owners used Facebook’s mobile app in November.


No other third-party app even comes close to approaching Facebook’s mobile penetration. Google’s (GOOG) YouTube app is the next most popular third-party app on iOS with 40% penetration and Amazon’s (AMZN) mobile application is the second most popular third-party Android app with just 28% penetration.


So why would Facebook bother making its own phone?


One answer — perhaps the obvious one — is that an own-brand smartphone with custom software would give Facebook access to far more personal data than it can reach using third-party applications. Considering Facebook’s track record with matters relating to privacy, however, users may be reluctant to buy a Facebook phone.


In any case, a Facebook phone certainly doesn’t seem like a necessity for the time being. Instead, focusing on ways to effectively monetize the hundreds of millions of users who interact with Facebook from a smartphone or tablet each month might be a wiser use of resources.


This article was originally published on BGR.com


Social Media News Headlines – Yahoo! News




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AP Source: Surgery reveals damage to RG3's ACL


WASHINGTON (AP) — A person familiar with the situation says the surgery on Robert Griffin III's knee revealed damage to the ACL.


The Washington Redskins quarterback had surgery Wednesday morning to repair a torn lateral collateral ligament in his right knee. The procedure also examined Griffin's ACL, which he tore while playing for Baylor in 2009. Another torn ACL would complicate Griffin's chances of returning by the start of next season.


The person spoke to The Associated Press on condition of anonymity because the Redskins had not made an announcement about the latest details surrounding the rookie quarterback's injury.


Griffin sprained the LCL last month and reinjured the knee in Sunday's playoff loss to the Seattle Seahawks.


___


Follow Joseph White on Twitter: http://twitter.com/JGWhiteAP


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Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL


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





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




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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


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


E-mail: eporter@nytimes.com;


Twitter: @portereduardo



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Chemical Weapons Showdown With Syria Led to Rare Accord


Muzaffar Salman/Reuters


The violence in Syria continued on Monday. Above, Syrians went to the aid of a man who was wounded when a missile hit the al-Mashhad district of Aleppo.







WASHINGTON — In the last days of November, Israel’s top military commanders called the Pentagon to discuss troubling intelligence that was showing up on satellite imagery: Syrian troops appeared to be mixing chemicals at two storage sites, probably the deadly nerve gas sarin, and filling dozens of 500-pounds bombs that could be loaded on airplanes.




Within hours President Obama was notified, and the alarm grew over the weekend, as the munitions were loaded onto vehicles near Syrian air bases. In briefings, administration officials were told that if Syria’s increasingly desperate president, Bashar al-Assad, ordered the weapons to be used, they could be airborne in less than two hours — too fast for the United States to act, in all likelihood.


What followed next, officials said, was a remarkable show of international cooperation over a civil war in which the United States, Arab states, Russia and China have almost never agreed on a common course of action.


The combination of a public warning by Mr. Obama and more sharply worded private messages sent to the Syrian leader and his military commanders through Russia and others, including Iraq, Turkey and possibly Jordan, stopped the chemical mixing and the bomb preparation. A week later Defense Secretary Leon E. Panetta said the worst fears were over — for the time being.


But concern remains that Mr. Assad could now use the weapons produced that week at any moment. American and European officials say that while a crisis was averted in that week from late November to early December, they are by no means resting easy.


“I think the Russians understood this is the one thing that could get us to intervene in the war,” one senior defense official said last week. “What Assad understood, and whether that understanding changes if he gets cornered in the next few months, that’s anyone’s guess.”


While chemical weapons are technically considered a “weapon of mass destruction” — along with biological and nuclear weapons — in fact they are hard to use and hard to deliver. Whether an attack is effective can depend on the winds and the terrain. Sometimes attacks are hard to detect, even after the fact. Syrian forces could employ them in a village or a neighborhood, some officials say, and it would take time for the outside world to know.


But the scare a month ago has renewed debate about whether the West should help the Syrian opposition destroy Mr. Assad’s air force, which he would need to deliver those 500-pound bombs.


The chemical munitions are still in storage areas that are near or on Syrian air bases, ready for deployment on short notice, officials said.


The Obama administration and other governments have said little in public about the chemical weapons movements, in part because of concern about compromising sources of intelligence about the activities of Mr. Assad’s forces. This account is based on interviews with more than half a dozen military, intelligence and diplomatic officials, all of whom spoke on the condition of anonymity because of the intelligence matters involved.


The head of Germany’s foreign intelligence service, the BND, warned in a confidential assessment last month that the weapons could now be deployed four to six hours after orders were issued, and that Mr. Assad had a special adviser at his side who oversaw control of the weapons, the German newsmagazine Der Spiegel reported. Some American and other allied officials, however, said in interviews that the sarin-laden bombs could be loaded on planes and airborne in less than two hours.


“Let’s just say right now, it would be a relatively easy thing to load this quickly onto aircraft,” said one Western diplomat.


How the United States and Israel, along with Arab states, would respond remains a mystery. American and allied officials have talked vaguely of having developed “contingency plans” in case they decided to intervene in an effort to neutralize the chemical weapons, a task that the Pentagon estimates would require upward of 75,000 troops. But there have been no evident signs of preparations for any such effort.


The United States military has quietly sent a task force of more than 150 planners and other specialists to Jordan to help the armed forces there, among other things, prepare for the possibility that Syria will lose control of its chemical weapons.


Israel’s prime minister, Benjamin Netanyahu, was reported to have traveled to Jordan in recent weeks, and the Israeli news media have said the topic of discussion was how to deal with Syrian weapons if it appeared that they could be transferred to Lebanon, where Hezbollah could lob them over the border to Israel. But the plans, to the extent they exist, remain secret.


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Target to match some rivals’ online prices year-round






(Reuters) – Target Corp said on Tuesday it will match on a year-round basis the prices found on the websites of key rivals Amazon.com Inc, Best Buy Co Inc, Wal-Mart Stores Inc and Toys R Us, its latest tactic to hold onto shoppers focused on price.


The move extends an online price-matching program that Target introduced over the holiday season and which was supposed to last only from November 1 to December 16. It also comes after Target last week reported flat sales growth in December at stores open at least a year.






In November Chief Executive Gregg Steinhafel said the retailer was not seeing a lot of price-match activity in its stores.


While shopping online has grown rapidly in recent years, it still represents a small fraction of overall shopping in the United States. Target’s policy of matching online prices differs from policies at several chains, which match only printed advertised prices for items sold at stores.


Target said that throughout the year it will match the price when a customer buys an eligible item at one of its stores and finds the same item at a lower price in the following week’s Target circular or in a local competitor’s printed ad. It will also match the price if the customer finds the same item at a lower price within a week on Target’s website or the websites of Amazon, Walmart, Best Buy and Toys R Us.


Amazon says it offers competitive prices and does not offer price matching when an item’s price drops after a customer buys it, with the exception of televisions. Walmart matches the prices of print ads from competitors. Walmart also says it checks the prices of 30,000 items at competing chains each week to make sure it has the lowest prices.


Best Buy matches the price from a local competitor’s store, a local Best Buy store or its own web site. Toys R Us matches in-store prices and certain online prices.


(Reporting By Jessica Wohl in Chicago and Phil Wahba in New York; Editing by Alden Bentley and John Wallace)


Internet News Headlines – Yahoo! News





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Saban quickly turns to challenges of 2013 season


FORT LAUDERDALE, Fla. (AP) — It didn't take long for Alabama coach Nick Saban to turn his thoughts to next season.


Maybe he let the Gatorade dry from the celebratory drenching first. Maybe.


"The team next year is 0-0," Saban said Tuesday morning. "Even though I really appreciate what this team accomplished and am very, very proud of what they accomplished, we need to prepare for the challenges of the new season very quickly with the team we have coming back. "


Apparently, the coach's 24-hour celebration rule applies mostly to players. He didn't take nearly that long to refocus after a 42-14 demolition of Notre Dame that secured a second straight BCS title and the Crimson Tide's third in four seasons. Shortly after the game, he was already talking about getting back to the office by Wednesday morning.


The 2013 team will almost certainly be regarded among the preseason favorites for a three-peat, even though three Tide stars — tailback Eddie Lacy, cornerback Dee Milliner and right tackle D.J. Fluker — could decide to skip this senior seasons and turn pro.


Saban also emphatically tried to end speculation that he might return to the NFL, where he spent two years with the Miami Dolphins before returning to the Southeastern Conference.


It was a question that really made him bristle in the 30-plus minute news conference.


"How many times do you think I've been asked to put it to rest?" Saban said. "And I've put it to rest, and you continue to ask it. So I'm going to say it today, that — you know, I think somewhere along the line you've got to choose. You learn a lot from the experiences of what you've done in the past. I came to the Miami Dolphins, what, eight years ago for the best owner, the best person that I've ever had the opportunity to work for. And in the two years that I was here, had a very, very difficult time thinking that I could impact the organization in the way that I wanted to or the way that I was able to in college, and it was very difficult for me."


He said that experience taught him that the college ranks "is where I belong, and I'm really happy and at peace with all that."


As for the players, All-America linebacker C.J. Mosley has already said he'll return. So has quarterback AJ McCarron, who will have a talented group of receivers led by freshman Amari Cooper.


"We certainly have to build the team around him," Saban said, adding that a late-game spat with center Barrett Jones showed the quarterback's competitive fire. "I've talked a lot about it's difficult to play quarterback when you don't have good players around you. I think we should have, God willing and everybody staying healthy, a pretty good receiver corps. We'll have to do some rebuilding in the offensive line. Regardless of what Eddie decides to do, we'll probably still have some pretty decent runners. But I think AJ can be a really good player, maybe the best quarterback in the country next year."


The biggest question mark is replacing three, maybe four, starters on an offensive line that paved the way.


Saban emphasized the difficulty of repeating and said he showed the players a video of NBA Hall of Famer Michael Jordan saying that the first title isn't the hardest — it's the ones after that.


That's because, Saban said, "you have to have the will to fight against yourself."


Now, the 'Bama coach has four titles, including one during his stop at LSU. Saban doesn't wear the championship rings but uses them for a different purpose.


"I just put them on the coffee table for the recruits to look at," he said, cracking up the room.


Saban has already lined up another highly rated recruiting class and already has the next wave of young talents waiting in the wings.


After all, he talked about the sign mentor Bill Belichick hung in the football building during their NFL days together: "Do your job."


Saban jokingly acknowledged that while he prepares for everything, the one thing he has never been able to anticipate is the Gatorade bath. He drew heat for a scowl after the first one, following the title game win over Texas when he got dinged in the head. Monday night's dousing went better.


"It's cold, it's sticky, but I appreciated not getting hit in the head with the bucket," Saban said. "That was an improvement."


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Health Spending Growth Stays Low for 3rd Straight Year





WASHINGTON — National health spending climbed to $2.7 trillion in 2011, or an average of $8,700 for every person in the country, but as a share of the economy, it remained stable for the third consecutive year, the Obama administration said Monday.




The rate of increase in health spending, 3.9 percent in 2011, was the same as in 2009 and 2010 — the lowest annual rates recorded in the 52 years the government has been collecting such data.


Federal officials could not say for sure whether the low growth in health spending represented the start of a trend or reflected the continuing effects of the recession, which crimped the economy from December 2007 to June 2009.


Kathleen Sebelius, the secretary of health and human services, said that “the statistics show how the Affordable Care Act is already making a difference,” saving money for consumers. But a report issued by the Centers for Medicare and Medicaid Services, in her department, said that the law had so far had “no discernible impact” on overall health spending.


Although some provisions of the law have taken effect, the report said, “their influence on overall health spending through 2011 was minimal.”


The recession increased unemployment, reduced the number of people with private health insurance, lowered household income and assets and therefore tended to slow health spending, said Micah B. Hartman, a statistician at the Centers for Medicare and Medicaid Services.


In the report, federal officials said that total national spending on prescription drugs and doctors’ services grew faster in 2011 than in the year before, but that spending on hospital care grew more slowly.


Medicaid spending likewise grew less quickly in 2011 than in the prior year, as states struggled with budget problems. But Medicare spending grew more rapidly, because of an increase in “the volume and intensity” of doctors’ services and a one-time increase in Medicare payments to skilled nursing homes, said the report, published in the journal Health Affairs.


National health spending grew at roughly the same pace as the overall economy, without adjusting for inflation, so its share of the economy stayed the same, at 17.9 percent in 2011, where it has been since 2009. By contrast, health spending accounted for just 13.8 percent of the economy in 2000.


Health spending grew more than 5 percent each year from 1961 to 2007. It rose at double-digit rates in some years, including every year from 1966 to 1984 and from 1988 to 1990.


The report did not forecast the effects of the new health care law on future spending. Some provisions of the law, including subsidized insurance for millions of Americans, could increase spending, officials said. But the law also trims Medicare payments to many health care providers and authorizes experiments to slow the growth of health spending.


“The jury is still out whether all the innovations we’re testing will have much impact,” said Richard S. Foster, who supervised the preparation of the report as chief actuary of the Medicare agency. “I am optimistic. There’s a lot of potential. More and more health care providers understand that the future cannot be like the past, in which health spending almost always grew faster than the gross domestic product.”


Evidence of the new emphasis can be seen in a series of articles published in The Archives of Internal Medicine, now known as JAMA Internal Medicine, under the title “Less Is More.” The series highlights cases in which “the overuse of medical care may result in harm and in which less care is likely to result in better health.”


Total spending for doctors’ services rose 3.6 percent in 2011, to $436 billion, while spending for hospital care increased 4.3 percent, to $850.6 billion.


Spending on prescription drugs at retail stores reached $263 billion in 2011, up 2.9 percent from 2010, when growth was just four-tenths of 1 percent. The latest increase was still well below the average increase of 7.8 percent a year from 2000 to 2010.


Federal officials said the increase in 2011 resulted partly from rapid growth in prices for brand-name drugs.


Prices for specialty drugs, typically prescribed by medical specialists for chronic conditions, have increased at double-digit rates in recent years, the government said. In addition, spending on new brand-name drugs — those brought to market in the previous two years — more than doubled from 2010 to 2011, driven by an increase in the number of new medicines.


“In 2011,” the report said, “spending for private health insurance premiums increased 3.8 percent, as did spending for benefits. Out-of-pocket spending by consumers increased 2.8 percent in 2011, accelerating from 2.1 percent in 2010 but still slower than the average annual growth rate of 4.7 percent” from 2002 to 2008.


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