After another emergency, FAA grounds Boeing 787s

The federal government grounded Boeing's newest and most technologically advanced jetliner Wednesday, declaring that U.S. airlines cannot fly the 787 again until the risk of battery fires is addressed.
The Federal Aviation Administration's emergency order affects only United Airlines, the lone U.S. carrier to operate 787s. United said it would put passengers on other aircraft and work closely with the FAA and Boeing to review its fleet of six Dreamliners.
The FAA action came on the same day that Japan's two biggest airlines — which fly almost half of the world's 50 787s — voluntarily grounded them pending full safety checks. Air India has also grounded its fleet of six Boeing 787 aircraft.
Boeing said it was working around the clock with investigators.
"We are confident the 787 is safe, and we stand behind its overall integrity," Jim McNerney, company chairman, president and CEO said late Wednesday in a statement.
The FAA decision was another setback for a plane that was supposed to establish a new standard for jet travel but has instead been beset by one mishap after another.
The latest trouble arose when pilots for Japan's All Nippon Airways smelled something burning and received a cockpit warning of battery problems on a flight from Yamaguchi Ube airport in western Japan to Tokyo. They made an emergency landing Wednesday at Takamatsu airport in western Japan, and passengers evacuated using inflatable slides.
An inspection found that a flammable liquid had leaked from the main lithium-ion battery below and slightly behind the cockpit. Investigators found burn marks around the damage.
Japan's Kyodo News agency quoted a transport ministry investigator as saying that the liquid leaked through the electrical room floor to the outside of the aircraft. The transport ministry said the leak could have led to an accident.
That problem followed a Jan. 7 battery fire aboard a Japan Airlines plane parked at Boston's Logan Airport. Both incidents involved the same type of battery, raising worries that the jet's electrical problems could be more dangerous than previously thought.
"Anytime you have a fire on board — whether it's the battery that has caused it or a passenger that caused it or another electrical component — that's a very a serious situation on an aircraft and something not to be taken lightly," said Kevin Hiatt, president of the Flight Safety Foundation.
So far, no one has suggested that the plane's fundamental design can't be fixed. But it's unclear how much will need to be changed.
The remedy could range from relatively quick-and-easy improvements to more extensive changes that could delay deliveries just as Boeing is trying to speed production up from five planes per month to 10.
The 787 is the first plane to make extensive use of lithium-ion batteries, which have been the focus of concerns in the past for their potential to catch fire. The FAA issued a special rule for their use in the 787. The plane has two batteries — the main one near the front and a second one in the rear.
Boeing and the airlines will need to move quickly to determine whether the problem is a flaw in the batteries themselves, in the plane's wiring or in some other area that's fundamental to the plane's electrical system.
Boeing has booked orders for more than 800 of the planes from airlines around the world attracted by its increased fuel efficiency.
The jet's lightweight design makes it more of a fuel-sipper, and it's so lightweight in part because it uses electricity to do things that other airplanes do with hot air vented through internal ducts. So a 787 with electrical problems is like a minivan that won't haul kids. It goes to the heart of what the thing was built to do.
Before it carried paying passengers, the 787 was closely reviewed by inspectors from Boeing and the FAA.
Mike Sinnett, chief engineer on the 787, said last week that the plane's batteries have operated through a combined 1.3 million hours and never had an internal fault. He said they were built with multiple protections to ensure that failures "don't put the airplane at risk."
The lithium-ion design was chosen because it's the only type of battery that can take a large charge in a short amount of time.
Neither GS Yuasa Corp., the Japanese company that supplies the batteries for the 787, nor Thales, which makes the battery charging system, would comment on the recent troubles.
Japan Airlines and All Nippon Airways are two of the 787's biggest customers.
ANA was especially proud of its 787 fleet. Its executives' business cards and the top of its website read "787" and "We fly 1st." ANA got the first one Boeing delivered in late 2011, more than three years late.
Other 787s have had problems with certain electrical panels and fuel leaks.
Back on Jan. 9, ANA canceled a domestic flight to Tokyo after a computer wrongly indicated there was a problem with the 787's brakes. Two days later, the carrier reported two new problems with the aircraft — a minor fuel leak and a cracked cockpit windscreen.
Many of the 787's problems are typical of well-established planes around the world, Hiatt said, adding that he would have no qualms about flying aboard a 787.
"That airplane is the most scrutinized plane in the air," he said. "I would get on the airplane tomorrow."
Hours before the FAA announced its emergency order, Transportation Secretary Ray LaHood dismissed any doubts about the FAA's diligence in certifying the plane.
"Our people are the best, but we need to work with Boeing and to make sure everything we've done has been done correctly," he told reporters Wednesday at a luncheon in Washington.
The FAA's move canceled plans by LOT Polish Airlines to begin regular 787 service between Chicago's O'Hare Airport and Warsaw. The inaugural flight landed at O'Hare late Wednesday, but passengers said the airline called off the return trip.
Last week's fire, which was also tied to the battery in the back of the plane, prompted investigations by both the National Transportation Safety Board and the FAA.
The NTSB said Wednesday that it would send an investigator to Japan to join the latest probe, and that representatives from the FAA and Boeing were on their way, too.
United frequent flier Josh Feller said he changed his plans to fly a United 787 from Los Angeles to Houston next month because of the 787's troubles.
"I've been following the 787 news closely, and the latest incident finally spooked me into changing my flight," he said by email. "It's an unnecessary risk, and since I was going out of my way to fly the plane in the first place, decided to change flights."
Boeing shares dropped $2.60, or 3.4 percent, to close Wednesday at $74.34, and the selloff continued in after-hours trading.

Read More..

Fewer US homes repossessed by banks in 2012

LOS ANGELES (AP) — Lenders took possession of fewer U.S. homes in 2012 than a year earlier, as the pace of new homes entering the path to foreclosure slowed and banks increasingly opted to allow troubled borrowers to sell their homes for less than what they owed on their mortgage.
All told, banks repossessed 671,251 homes last year, down nearly 17 percent from 804,423 the year before, according to data released Thursday by foreclosure listing firm RealtyTrac Inc.
The trend, along with an annual decline in overall foreclosure activity, suggests that the country's foreclosure woes are easing, at least on a national level.
But half the states experienced higher levels of foreclosure activity last year and many are expected to continue seeing increases this year, RealtyTrac said.
All told, foreclosure activity, defined as the number of homes that received at least one foreclosure-related filing, declined 3 percent last year. That translates to 1.8 million U.S. homes, and represents a drop of 36 percent from a peak of 2.9 million homes in 2010, the firm said.
Florida had the nation's highest foreclosure rate last year, with 3.1 percent of households, or one in 32, receiving a foreclosure-related filing during the year.
Generally, states such as Florida and New York, where the courts play a role in the foreclosure process, take longer to work through their cases than California, Utah and other so-called nonjudicial states with a more streamlined process.
The judicial states also have taken longer to work through a backlog of cases that built up in 2011 when foreclosure processing slowed as the mortgage industry addressed allegations that lenders had processed foreclosures without verifying documents.
As a result, foreclosure activity rose last year in 25 states, most of them states with a judicial foreclosure system, while it declined in 25 others, most of those being non-judicial foreclosure states, RealtyTrac said.
Among the states with the biggest increases were New Jersey, Florida and Illinois. States with the biggest annual decline in foreclosure activity included Nevada, Utah and Arizona.
Many of the states with a judicial foreclosure process, including Florida, Illinois, Ohio and Indiana, should be caught up with their foreclosure backlog halfway through this year, said Daren Blomquist, a vice president at RealtyTrac.
Other states, such as New York and New Jersey, where the foreclosure process can run an average nearly three years, will continue to play catch-up through most of 2013, he added.
Blomquist expects foreclosure activity will decline in non-judicial foreclosure states through the first half of the year. But laws passed last year in California, Oregon and Nevada aimed at making it more difficult for lenders to foreclose on homeowners may end up deferring foreclosures in those states until later in the year.
"That could mean that, although we are comfortably past the peak of the foreclosure problem nationally, 2013 is likely to be book-ended by two discrete jumps in foreclosure activity," Blomquist said.
While foreclosure activity declined last year, the inventory of homes in some stage of foreclosure or in banks' possession climbed 9 percent to 1.5 million homes, RealtyTrac said.
Florida accounted for the biggest share of foreclosure inventory last year, or 20 percent of the national total.
Blomquist forecasts that between 500,000 and 600,000 homes will end up being repossessed by banks nationally this year, noting that, historically, about half of all homes that enter the foreclosure process end up being taken back by lenders. Last year, 1.1 million homes got started on the path to foreclosure.

Read More..

Citgo to be dropped from NH suit on gas additive

CONCORD, N.H. (AP) — A judge has granted a request to remove Citgo from a New Hampshire lawsuit accusing the oil company and another petroleum giant of failing to warn state officials about the gasoline additive MTBE.
The state's lawsuit against ExxonMobil and Citgo went to trial Monday. But a judge Wednesday granted a motion from the state and Citgo to remove the company from the case provided the two sides reach an agreement by Feb. 15. Lawyers for the state declined to say whether that meant a settlement is in the works.
The state sued the companies in 2003 alleging that gasoline containing MTBE — methyl tertiary butyl ether — was a defective product and that the oil companies had a duty to warn state officials about its special properties and ability to contaminate groundwater in greater levels than traditional gasoline. It estimates that more than 40,000 wells are contaminated and was seeking more than $700 million from both companies to monitor drinking water wells and clean up high-risk sites where MTBE contaminated groundwater.
Lawyers for the oil companies did not return calls Wednesday. In opening statements earlier, they said the product wasn't defective — it did what it was supposed to do by reducing lead content in gas and making it burn cleaner — and that the state is inflating its estimates of how many wells were contaminated. Oil companies say the state is looking for a scapegoat; The state says it wants to hold companies responsible for their product.
New Hampshire filed its lawsuit in 2003, four years before it banned the use of MTBE. The case is the first brought by a state over MTBE contamination to reach trial.

Read More..

Fox stands by decision, Elway supports his coach

ENGLEWOOD, Colo. (AP) — John Fox would tell Peyton Manning to take the knee again.
John Elway, of all people, agreed with that call.
Given the ball at his 20 with 31 seconds, two timeouts and one of the best quarterbacks in the game, the Broncos coach decided to run out the clock and head to overtime.
Result: Baltimore 38, Denver 35. End of season in Broncoland.
Fox said he felt good about the decision when he made it Saturday, toward the end of one of the most disheartening losses in the franchise's history. After hashing it over during the last two sleepless nights, he stood by his decision.
"I'd do it again 10 times if it presented itself in that situation," he said Monday at Denver's season-ending news conference, where he was joined by Elway, the quarterback-turned-front office executive.
Even 48 hours after the game, that single decision remained the most hotly debated of the many Fox, Manning and the Broncos made in their gaffe-filled loss to the Ravens. The second-guessing only got more intense Sunday after Atlanta moved the ball 41 yards in 12 seconds to set up the game-winning field goal in its 30-28 victory over Seattle.
But, Fox said, Denver's situation was nowhere near what the Falcons faced. The Falcons were losing and had no other choice. They were playing in a dome. The Broncos had just given up a game-tying 70-yard touchdown pass and were standing on the sideline in disbelief. The temperature was below 10 degrees. Manning had thrown the ball downfield a grand total of twice the entire game.
"You watch a (70)-yard bomb go over your head, there's a certain amount of shock value," Fox said. "A little bit like a prize fighter who gets a right cross on the chin at the end of a round, you're looking to get out of the round."
Elway, of course, built his career around extracting the Broncos from impossible situations. But asked specifically how he would've responded in his playing days if told to take a knee under those circumstances, he sounded not at all like the go-for-broke quarterback he once was.
"I thought it was the right thing at that time," Elway said. "I think with where the team was mentally and the situation we were in, I thought that it was a good move."
Though the Broncos recovered and stopped Baltimore twice in the overtime, eventually Manning threw an interception that set up the Ravens for the winning field goal. It was a sudden, shocking end to a season that had Super Bowl written all over it. Instead, this year is drawing more comparisons to 1996, when the Broncos also were 13-3, also were top seeds and also lost by three points in the divisional round — to Jacksonville instead of Baltimore.
At the time, Elway was 36 and still searching for his first Super Bowl title. He won the next two.
Currently, Manning is 36 and stuck on one Super Bowl title. He signed with the Broncos last offseason to win a few more.
"I think having been through this before, and having been disappointed before, I realized that this was a possibility," Elway said. "The bottom line is how we learn from this situation. If we get defensive and don't look at everything we did in this game and try to learn from it, then there is a chance we can experience it again. Hopefully, we're back in this situation again and we will have looked at it the right way and learned from the situation."
While Fox conceded there were coaching mistakes in the game — most notably not having safety Rahim Moore coached up well enough to properly defend the pass that tied the game — he stood by his two most important strategic decisions.
A few minutes before kneeling on the ball, Denver was up by seven and trying to grind out the clock. Despite being down to their third-string running back, 188-pound Ronnie Hillman, the Broncos called three straight running plays, including a run off right guard on third-and-7 that went for no gain. That ran the clock down to 1:15 and made Baltimore burn all its timeouts.
But three plays after a punt, Joe Flacco threw the improbable 70-yard touchdown over Rahim Moore and into the hands of Jacoby Jones that tied the game.
"I've never believed in, 'It's one guy, one play,'" Fox said when asked about Moore's role in the loss. "It obviously was a big play."
Fox said he played the percentages on all the calls — nothing more, nothing less.
According to his calculations:
—There's a 38 to 40 percent chance of converting a third-and-7 into a first down.
—By punting and giving Baltimore the ball on its 23-yard line, trailing by a touchdown with 1:09 left and no timeouts, the Broncos had a 97 percent chance of winning.
—That percentage spiked to 99.9 percent when the Ravens had the ball on the 30 with 41 seconds left.
Turned out, the Broncos are a ".1 percenter."
"I mean this in all sincerity, if I felt like we were going to give up a 70-yard touchdown pass with 31 seconds to go, we might have re-evaluated that," Fox said. "But that's not what the percentages said."
Notes: Elway said the Broncos intend to pick up the option on Manning for the next two years, which would pay him $40 million for two seasons. Manning still has to pass a physical later this winter to get the money. Elway also said the Broncos would like to bring free agent LT Ryan Clady back. ... By losing, the Broncos coaching staff gets assigned to coach the AFC in the Pro Bowl, the week before the Super Bowl. Manning said he will play in the game, as well.

Read More..

Oakland gives manager Bob Melvin 2-year extension

OAKLAND, Calif. (AP) — Bob Melvin has repeatedly described the comfort of managing right at home in the Bay Area — and Billy Beane has described the comfort in having a winning, "modern-day" manager leading the Oakland Athletics.
Melvin is staying put in the very place he wants to be well into the future.
The A's manager received a two-year contract extension Monday that takes him through the 2016 season. Later Monday, Oakland announced it had reached agreement on a $1 million, one-year contract with catcher George Kottaras, a raise of $275,000.
Beane is thrilled to have a manager in place to guide the small-budget A's for years to come.
"To get an extension like this from people you respect and admire and supported you, it really makes you feel good and makes you feel better about doing your job," said Melvin, voted AL Manager of the Year after leading Oakland to a surprising West division title. "My expectations are the same as last year. We're going to compete hard and expect to win. Based on having the results we had last year, we'll have that much more confidence coming into spring training."
Oakland became the first team in major league history to win a division or pennant after trailing by five games with less than 10 to play, sweeping three games against Texas to win the division over the Rangers.
"It's really a reflection of our commitment to Bob and Bob's commitment to us. If you know you have the right guy, there's no sense in waiting until he's got one year left," general manager Billy Beane said. "This was probably the simplest negotiation I've ever had in my career here. That's a reflection of the relationship that Bob has with the organization. We're happy to give him this well-deserved extension. It didn't take very long. The actual writing it up took longer than the actual negotiations."
Oakland lost to Detroit 3-2 in a best-of-five AL division series. The A's ended a five-year stretch without a winning record or playoff berth, finishing 94-68.
The A's did it with a payroll of $59.5 million — lowest in the majors — and 12 rookies. They did it with significant injuries to their starting pitchers and lost their third baseman, Scott Sizemore, to a season-ending knee injury on the first full-squad workout of spring training. And they did it after losing right-hander Bartolo Colon to a 50-game suspension in August for a positive testosterone test, then re-signed him this winter.
The 51-year-old Melvin, a former big league catcher who grew up in Menlo Park and played at Cal, took over from the fired Bob Geren in June 2011. Melvin led the Diamondbacks to the NL West title in 2007 and also won 93 games in his rookie season with Seattle in 2003.
"We knew we had the right guy right from the get go. Continuity is important," Beane said. "It's really important. Once again last year was certainly enjoyable. It's easy to look at a year like last year and everybody has fun when you're winning. This relationship with Bob and myself and the front office and the players started when he took over."
Melvin received a three-year contract from Oakland late in the 2011 season. The A's went 47-52 after he took over that year.
His local ties are only a bonus. Melvin played three seasons with the San Francisco Giants.
"I was excited and impressed when Billy told me that Bob was available and accepting the manager role with us," owner Lew Wolff said. "As I observed Bob's leadership and very special drive, I was even more impressed with Billy's choice. I am so very pleased that we will have Bob with us for the foreseeable future. Bob's use of our talent was and is brilliant in my opinion."
Kottaras, acquired from Milwaukee before last year's trade deadline, batted .212 with six home runs and 19 RBIs in 27 games for Oakland after hitting .209 with three home runs and 12 RBIs in 58 games with the Brewers.
Three A's remain eligible to file for arbitration Tuesday: left-hander Jerry Blevins and outfielders Brandon Moss and Seth Smith.

Read More..

No. 1 Louisville beats UConn 73-60

HARTFORD, Conn. (AP) — Russ Smith scored 23 points and Gorgui Dieng had six points and 16 rebounds and Louisville, playing just hours after it moved to No. 1 , used a strong second half to beat Connecticut 73-60 on Monday night.
The Cardinals (16-1, 4-0 Big East) won their 11th straight game and like the others they relied on their star backcourt and pressure defense.
The only other time Louisville was ranked No. 1 in The Associated Press' Top 25 was the final poll of 2008-09. The Cardinals won the national championship in 1980 and 1986 but the AP does not conduct a post-NCAA tournament poll.
The Cardinals are the third team to hold the No. 1 spot this season along with Indiana and Duke and they celebrated the move with the convincing road win.
Louisville shot 60.7 percent in the second half (17 of 28) and hit an even 50 percent for the game.
Omar Calhoun led the Huskies (12-4, 2-2) with 20 points while Shabazz Napier added 12, all but two in the first half. Ryan Boatright had 11 points and he and Napier both had six assists for the Huskies, who were coming off a win over then-No. 17 Notre Dame that was their sixth in seven games.
Louisville's backcourt of Smith and Peyton Siva didn't get to spend much time together on the court. For Siva, it was foul trouble, for Smith it was what appeared to be leg cramps after he played all 20 minutes of the first half.
Siva, the conference preseason Player of the Year, picked up his second foul just 3:47 into the game. Not only did the Cardinals lose a veteran leader when the senior went out but Smith, the leading scorer at 18.7 points per game, had to assume more of a role in running the offense. It didn't hurt his scoring much, though, as he had 15 points on 7-of-13 shooting as Connecticut took a 34-28 halftime lead.
Dieng had two points and 10 rebounds in the first half. He missed all five shots he took but he had four offensive rebounds.
Connecticut scored the first basket of the second half for a 36-28 lead but that's when Louisville started looking like the No. 1 team in the country.
They went on an 8-0 run in which Smith had four points and Siva two. That was part of a 19-5 burst that gave Louisville a 47-41 lead with 12:18 to play.
Connecticut, which shot 53.8 percent from the field in the first half, had just three field goals in the opening 13 minutes of the second half as Louisville went ahead 60-44. The Huskies, who went 9 minutes without a field goal at one stretch, had trouble moving the ball against the fullcourt pressure and 2-3 zone of the Cardinals. The Huskies had seven turnovers in the first 11 minutes of the second half, matching their total in the first half.
Siva picked up his third foul with 14:21 to play in the game and he returned to the bench. When he came back in the game with 10 minutes left, Smith went to the bench for treatment. Siva hit a 3-pointer 50 seconds later as part of the big run. Siva finished with 11 points and four assists.
The Huskies shot 25.9 percent in the second half (7 of 27) and were at 39.6 percent for the game.
Connecticut drops to 2-7 all-time against No. 1 teams with the last win over Texas on Jan. 23, 2010.

Read More..

Israel premier vows to proceed with E-1 settlement

RAMALLAH, West Bank (AP) — Israel's prime minister pledged Sunday to move ahead with construction of a new Jewish settlement in a strategic part of the West Bank, speaking just hours after Israeli forces dragged dozens of Palestinian activists from the area.
The activists pitched more than two dozen tents at the site on Friday, laying claim to the land and drawing attention to Israel's internationally condemned settlement policy.
Before dawn Sunday, hundreds of Israeli police and paramilitary border troops evicted the protesters. Despite the eviction, Mustafa Barghouti, one of the protest leaders, claimed success, saying the overall strategy is to "make (Israel's) occupation costly."
The planned settlement, known as E-1, would deepen east Jerusalem's separation from the West Bank, war-won areas the Palestinians want for their state. The project had been on hold for years, in part because of U.S. objections.
Israeli Prime Minister Benjamin Netanyahu revived the E-1 plans late last year in response to the Palestinians' successful bid for U.N. recognition of a state of Palestine in the West Bank, Gaza and east Jerusalem.
Jewish settlements are at the heart of the current four-year impasse in Mideast peace efforts. The Palestinians have refused to negotiate while Israel continues to build settlements on the lands they seek for their state. Netanyahu says peace talks should start without any preconditions. Netanyahu also rejects any division of Jerusalem.
Israel expanded the boundaries of east Jerusalem after the 1967 war and then annexed the area — a move not recognized by the international community. Since then, it has built a ring of Jewish settlements in the enlarged eastern sector to cement its control over the city.
E-1 would be built in the West Bank just east of Jerusalem, and would close one of the last options for Palestinians to create territorial continuity between Arab neighborhoods of east Jerusalem, their hoped-for capital, and the West Bank. According to building plans, E-1 would have more than 3,000 apartments.
The Palestinians say they turned to the U.N. last November out of frustration with the deadlock in peace talks. They believe the international endorsement of the 1967 lines will bolster their position in negotiations. Israel has accused the Palestinians of trying to bypass the negotiating process and impose a solution.
Netanyahu told Israel Army Radio on Sunday that it would take time to build E-1, citing planning procedures. Still, he said, "we will complete the planning, and there will be construction."
Asked why the protesters were removed, Netanyahu said, "They have no reason to be there. I asked immediately to close the area so people would not gather there needlessly and generate friction and disrupt public order."
Palestinian protest leaders hoped the tent camp would be the first of a new type of well planned, nonviolent protests against Israeli policies in the Palestinian territories.
In recent years, Palestinians have staged weekly rallies in some areas of the West Bank, demanding to get back land they lost to Israel's separation barrier. Palestinian President Mahmoud Abbas has held up such tactics as worthy of emulation. The protests have remained relatively small, and media coverage has dropped off over the years.
The tent camp was set up after a month of planning by grass-roots groups using Facebook, Google Earth and other tools to find the right spot and stay in touch, said organizer Abdullah Abu Rahma.
The Palestinian Authority, the self-rule government in parts of the West Bank, provided legal assistance.
The activists said they pitched the tents on private Palestinian land and immediately obtained an Israeli court injunction preventing the removal of the tents for several days.
At the next court hearing, Israel will have to explain why it wants to take down the tents, said Mohammed Nazzal, a Palestinian Authority official whose department is involved in the legal proceedings. Israeli police spokesman Micky Rosenfeld said he believes one of the issues in the hearing will be the status of the land where the tents were pitched.
Barghouti, meanwhile, said troops beat some of the protesters, a claim Rosenfeld denied. Rosenfeld said the protesters were carried away without injuries, put onto buses and dropped off at a West Bank checkpoint.
About half a million Israelis live in the dozens of settlements that dot the West Bank and east Jerusalem. Over the past 15 years, Jewish settlers have also set up dozens of rogue settlement outposts without formal approval, and critics say the government has done little to remove them.

Read More..

Egyptian appeals court orders Mubarak retrial

CAIRO (AP) — A Cairo appeals court on Sunday overturned Hosni Mubarak's life sentence and ordered a retrial of the former Egyptian president for failing to prevent the killing of hundreds of protesters during the 2011 uprising that toppled his regime.
The ruling put the spotlight back on the highly divisive issue of justice for the former leader — and his top security officers — in a country has been more focused on the political and economic turmoil that has engulfed the country for the past two years.
Mubarak, who is currently being held in a military hospital, will not walk free with Sunday's court decision— he will remain in custody while under investigation in an unrelated case. The 84-year-old ex-president was reported last year to have been close to death, but his current state of health is unknown.
A small crowd of Mubarak loyalists in the courtroom erupted with applause and cheers after the ruling was read out. Holding portraits of the former president aloft, they broke into chants of "Long live justice." Another jubilant crowd later gathered outside the Nile-side hospital where Mubarak is being held in the Cairo district of Maadi, where they passed out candies to pedestrians and motorists.
The relatively small crowds paled in comparison to the immediate reaction to his conviction and sentencing in June, when thousands took to the streets, some in celebration and others in anger that he escaped the death penalty. Sunday's muted reaction could indicate that the fate of Egypt's ruler of nearly three decades may have in some ways been reduced to a political footnote in a country sagging under the weight of a crippling economic crisis and anxious over its future direction.
The court did not provide the reasoning for its ruling, but was expected to do so later. No date has been set for the retrial.
The ruling in favor of the appeal, however, had been widely expected. When Mubarak was convicted and handed a life sentence in June, that trial's presiding judge criticized the prosecution's case, saying it lacked concrete evidence and that nothing that it presented to the court proved that the protesters were killed by the police.
Mubarak's defense lawyers had argued that the former president did not know of the killings or realize the extent of the street protests. But an Egyptian fact-finding mission recently determined that he watched the uprising against him unfold through a live TV feed at his palace.
The mission's report could hold both political opportunities and dangers for Mubarak's successor, President Mohammed Morsi of the fundamentalist Muslim Brotherhood. A new Mubarak trial would be popular, since many Egyptians were angered he was convicted for failing to stop the killings, rather than ordering the crackdown that killed nearly 900 people.
But the report also implicates the military and security officials in the protesters' deaths. Any move to prosecute them could spark a backlash from the powerful police and others who still hold positions under Morsi's Islamist government at a time when the nation's new leader is struggling to assert his authority over a nation reeling from political upheaval.
In a retrial, the prosecution has the right to present new evidence, such as that reportedly unearthed by the fact-finding mission, which could lead the court to convict Mubarak of ordering the crackdown.
If convicted, Mubarak could face a life sentence or have it reduced. Under Egyptian law, a defendant cannot face a harsher sentence in a retrial, meaning the former leader cannot face the death penalty.
A new trial for Mubarak could further unsettle the nation at a perilous time.
Egypt is grappling with an ailing economy — the pound's value is slipping against the U.S. dollar, foreign reserves are shrinking and tourism is in a deep slump. And politically, the country is deeply divided by the bitter rivalry between its Islamist rulers and their allies and an opposition led by liberals and secularists.
Clashes between the two sides have left at least 10 people killed and hundreds wounded last month.
The judge also ordered a retrial of Mubarak's former security chief, Habib el-Adly, convicted and sentenced to life in prison on the same charges.
He also ordered the retrial of six of el-Adly's top aides who were acquitted in the same trial. Five of them were found not guilty of involvement in the killing of the protesters, while one was acquitted of "gross negligence." No date was set for their retrial either.
It also granted the prosecution's request to overturn not-guilty verdicts on Mubarak, his two sons and an associate of the former president, Hussein Salem, on corruption charges. Salem was tried in absentia and remains at large to this day.
The six top police commanders held key positions at the Interior Ministry, which was led by el-Adly and which is in charge of the security forces. Their acquittal surprised many Egyptians who are still demanding retribution for the nearly 900 protesters killed during the 18-day uprising that culminated with Mubarak's ouster on Feb 11, 2011.
The prosecutors in the Mubarak trial complained that security agencies and the nation's top intelligence organization had not cooperated with their investigation, leaving them with little incriminating evidence against the defendants. During the trial, prosecutors focused their argument on the political responsibility of Mubarak and el-Adly.
Sunday's ruling came one day after a prosecutor placed a new detention order on Mubarak over gifts worth millions of Egyptian pounds he and other regime officials allegedly received from Egypt's top newspaper, Al-Ahram, as a show of loyalty while he was in power.
The public funds prosecutor ordered Mubarak held for 15 days pending the completion of the investigation. Mubarak was moved to a Cairo military hospital last month after slipping inside a prison bathroom and injuring himself.
Mubarak's sons, one-time heir apparent Gamal and businessman Alaa, are in prison while on being tried for alleged insider trading and using their influence to buy state land at a fraction of its market price.

Read More..

Iran's election tip to critics: Keep quiet

TEHRAN, Iran (AP) — Elections to pick Iran's next president are still five months away, but that's not too early for some warning shots by the country's leadership.
The message to anyone questioning the openness of the June vote: Keep quiet.
A high-level campaign — including blunt remarks by Supreme Leader Ayatollah Ali Khamenei — seeks to muzzle any open dissent over the process to select the successor for Mahmoud Ahmadinejad and likely usher in a new president with a far tamer political persona.
Public denunciations are nothing new against anyone straying from Iran's official script. But the unusually early pre-emptive salvos appears to reflect worries that the election campaign could offer room for rising criticism and complaints over Iran's myriad challenges, including an economy sputtering under Western-led sanctions, double-digit inflation and a national currency whose value has nosedived.
"Elections, by their nature, are an opportunity to make your voice heard," said Mustafa Alani, an analyst at the Gulf Research Center based in Geneva. "Iran's leaders understand this very well and are not likely to take any chances."
And Iranian authorities hold nearly all the cards. Their main goal this time is to avoid any repeat of 2009, when reform-leaning candidates were allowed on the ballot and led an unprecedented street revolt after Ahmadinejad's re-election to his second, and final, term amid claims of vote rigging.
The protest leaders are now under house arrest and their opposition Green Movement has been systematically dismantled through crackdowns and intimidation. The next group of presidential hopefuls — who must be cleared by Iran's ruling clerics — is almost certain to have no wildcards.
Instead, the emphasis is likely to be on easing the domestic political friction as Iran attempts the strategic version of a win-win: Finding ways to ride out sanctions, while negotiating a deal with the U.S. and allies that would allow Tehran to keep some levels of uranium enrichment, the centerpiece of its nuclear program.
The West and others fear Iran's ability to make nuclear fuel could eventually lead to warhead-grade material. Iran claims it only seeks reactors for energy production and medical applications. Iran is scheduled to hold talks with envoys from the U.N. nuclear agency later this week.
For more than a year, internal political spats have been an unwelcome distraction for Iran's ruling system.
Ahmadinejad shattered protocol by openly defying the all-powerful Supreme Leader Khamenei over a Cabinet choice. What followed was a feud that left Ahmadinejad politically weakened and many of his allies sidelined or jailed. It also raised major doubts about whether his chief protege, Esfandiar Rahim Mashaei, will be allowed on the June 14 ballot.
A more likely scenario — at the moment, at least — is more predictable loyalists to both the ruling system and its guardians, the powerful Revolutionary Guard. Perceived front-runners include former Foreign Minister Ali Akbar Velayati, prominent lawmaker Gholam Ali Haddad Adel, Parliament Speaker Ali Larijani, Tehran Mayor Mohammad Bagher Qalibaf and ex-Revolutionary Guard commander Mohsen Rezaei.
But it will be months before any kind of race begins. In the meantime, Iranian authorities appear ready to pounce hard on any perceived opposition.
What has touched a nerve has been debates among reformists and moderates, including former President Akbar Hashemi Rafsanjani, about whether Iran will hold "free elections" — a coded phrase pointing to the expected rejection of any potential opposition candidates.
Khamenei, who has the final say on all state matters in Iran, responded sharply. He equated the phrase with aiding the Islamic Republic's "enemies" — meaning the U.S., Israel and others — that have raised questions about the fairness of Iran's elections. Iranian leaders also are concerned about a possible low turnout if former Green Movement backers stage a boycott.
"Even those who may make general recommendations about the election out of good will for the nation must be cautious not to help the enemy's purpose," Khamenei told a crowd in Tehran last week. "Be careful that your words don't discourage people from the elections."
Meir Javedanfar, an Iranian-born political analyst based in Israel, said the Arab Spring uprisings — including the rebellion against Iran's key ally Bashar Assad in Syria — are likely to keep Iranian authorities on high alert for any signs of unrest as the election draws closer.
"When the supreme leader looks at these developments, it would be understandable for him to be concerned," Javedanfar said.
In a rare common message, Friday prayer leaders around Iran described the phrase "free elections" as a new buzzword to create "sedition" in the upcoming vote. Hardliners call opposition leaders "seditionists."
"Those promoting the term of 'free elections' are politically defeated ones. Others who raise this term are monarchists, the U.S. and Israel ... shame on you. Why do you repeat the words of the enemy?" said Ayatollah Ahmad Jannati, addressing Friday prayers at Tehran University. Jannati heads the Guardian Council, which vets election candidates.
In the seminary city of Qom, prayer leader Mohammadi Saeedi called the term "free elections" an effort "to create riots in the upcoming elections."
"We steadfastly declare that people, having put the 2009 sedition behind, won't allow the enemy and seditionists to create riots in the elections," he said.
Mohammad Shahcheraghi, leading prayers in Semnan, about 150 kilometers (90 miles) east of Tehran, urged authorities to stamp out the "second sedition."
"From today, anyone ... who promotes the term free elections should be considered an opponent of the position of the supreme leader and has served the ominous aims of the enemy," he said.
Tehran-based political analyst Davoud Hermidas Bavand interpreted the attacks as an attempt to keep Rafsanjani and others from trying to build a new pro-reform movement around the vote.
"The slogan of 'free elections' casts doubt on the authenticity of previous elections," he said. "That makes the establishment unhappy and authorities take it as an indication that reformists are seeking to provoke tensions ahead of the vote."

Read More..

Sabres G Miller calls NHL lockout 'waste of time'

BUFFALO, N.Y. (AP) — After rejoining his Buffalo Sabres teammates on the ice for the first time in some nine months, goalie Ryan Miller had a few lingering frustrations to get off his chest regarding the NHL lockout.
"The best thing to do is acknowledge that it was stupid," Miller said Friday, before turning his attention to Sabres fans. "I appreciate their patience. I know it's a hard situation. I still don't even know the right message because it was just a stupid, useless waste of time."
Miller, who played a role in negotiations, called himself "embarrassed" that it took more than six months of negotiations to reach an agreement. At one point during talks, he gave up on the possibility of there being a season this year.
And he laid the blame on owners, specifically singling out Commissioner Gary Bettman, whom he accused of being the reason why the four-month lockout wasn't resolved sooner.
"In my mind, it always had to be January in Gary Bettman's mind," Miller said. "Obviously, he had something in his head and he was going to see how far he could take it. So there's really no going up against Gary, when he has something in his head."
For someone who hasn't played in a competitive game since April 5, the ever-outspoken Miller seems already in midseason form.
"It's exciting to be back. It's the way you that you're supposed to feel," he said. "It's not in the board room, so that's good. It's getting back on the ice, and that's the important part."
Spending much of his offseason in southern California, Miller arrived in Buffalo on Thursday, and was on the ice for what's expected to be the players' final informal practice at a suburban arena. Training camp is tentatively set to open Sunday, and a 48-game regular season to start a week later.
A seven-year veteran, Miller is the face of the franchise, and regarded as a team leader. His arrival was welcomed by the Sabres, and also by numerous fans. About 300 onlookers — the largest turnout this week — lined the boards to watch the open practice.
Aside from his frustrations regarding labor talks, Miller was in an upbeat mood. Walking out of the locker room with his mask perched above his head exposing a familiar patchy beard — "It's my lockout beard" — he then flashed a big smile and waved his glove hand before taking the ice.
Before taking any questions from reporters afterward, Miller first wanted to find out what's been happening in Buffalo, and then shook hands with each member of the media.
"There," he said. "We're reintroduced again, eight months later."
Now it's time to get to work in what will be a shortened season, and for a high-priced Sabres team that was among the NHL's biggest busts after missing the playoffs last season.
Buffalo (39-32-11) finished ninth in the Eastern Conference and was hampered by a rash of injuries, including Miller missing a nine-game stretch because of concussion-like symptoms. On the bright side, Miller hopes the team can pick up where it left off after closing last season on a 15-5-4 roll.
The challenge for Miller is getting himself ready to carry much of the load during a tightly packed stretch of games.
"Hockey-wise, I'm in a pretty good spot," he said. "Mentally, I always kind of knew it was going to be a short sprint kind of situation. It's not a surprise for anyone of us."
Coach Lindy Ruff has already projected that he's targeting Miller to play between 36 and 38 games.
Miller hasn't given any thought to how many games he'll play, but has been accustomed to being the Sabres workhorse.
He's appeared in 59 or more games in each of his past six seasons. That includes 2009-10, when he was the NHL's Vezina Trophy winner after going 41-18-8 in 69 NHL regular-season games, and six more games at the Winter Olympics in Vancouver, where he led the United States to win a silver medal.
"I just want to be that guy, and we'll go by that," Miller said. "I think if I'm playing at a high enough level, I'd like to be in net."
Unlike some NHLers who spent part of the lockout playing overseas, Miller elected to stay home. He said the insurance premiums on his contract proved expensive. He also noted that he wanted to make sure there were no lingering effects from the head injury he sustained last year.
Miller spent much of his time working out in California, where he skated between three and four times a week. He mostly worked out with numerous members of the defending Stanley Cup-champion Los Angeles Kings such as Jarret Stoll, Brad Richardson, Justin Williams and Rob Scuderi. Several other NHLers, including Pittsburgh's Sidney Crosby, spent a few months also working out with them.
"I've been skating pretty consistently since June, but it's not the same as playing with your teammates," Miller said. "It's been missing from my life for the past eight months, that's a long time.

Read More..

Mo. court to appoint lawyer for Belcher baby

INDEPENDENCE, Mo. (AP) — A Missouri court will appoint a lawyer to protect the interests of the 4-month-old daughter of the late Kansas City Chiefs linebacker Jovan Belcher as her grandparents argue over custody.
Belcher fatally shot the child's mother, Kasandra Perkins, on Dec. 1 in their Kansas City home, then drove to Arrowhead Stadium and killed himself in front of coaches and the team's general manager. Belcher's mother, Cheryl Shepherd, had been living with the couple for about two weeks and was in the home when her son killed Perkins.
Shepherd received temporary custody of Belcher's daughter, Zoey, soon after the shootings and filed a petition in mid-December asking to be appointed as Zoey's guardian and conservator of her estate, which could be worth millions of dollars.
Shepherd, of West Babylon, N.Y., also filed a second petition seeking to be named administrator of her son's estate.
Friday morning, she sat silently between her two attorneys in a Jackson County courtroom as probate commissioner Daniel Wheeler addressed the petitions.
Wheeler changed the status of the custody petition to "contested" because Zoey's maternal grandparents and other family members in Texas have filed a petition in that state to be Zoey's legal guardians.
He also ordered the appointment of a guardian ad litem — an attorney who represents the interests of minor children — and set a Dec. 25 hearing on Shepherd's petition to take over her son's estate.
The Ford Worth Star-Telegram reported Friday that Zoey is staying with relatives in Austin, Texas.
In addition to the well-being of the child, millions of dollars are at stake in the custody battle.
Zoey's estate or guardian will receive more than $1 million under terms of the NFL's collective bargaining agreement, including $108,000 annually over the next four years, $48,000 in the fifth year and $52,000 each year until she turns 18. She can keep receiving that amount until she is 23 if she attends college.
A trust funded by the Hunt family, which owns the Chiefs, along with team coaches, players, employees and contributions from the public, will help care for the child. Also, Belcher's beneficiary will receive $600,000 in life insurance, plus $200,000 for each credited season — Belcher was in his fourth season at the time of his death — and $100,000 in a retirement account.
Shepherd's attorney, Gretchen Gold, declined to answer questions after the hearing and said her client didn't have any comments, either.
Zoey's maternal grandparents, Rebecca Anne Gonzalez and Darryl Perkins, and other Texas relatives have filed a lawsuit seeking temporary custody of the girl, that her residence be in Tarrant County, Texas, and that a guardian ad litem be appointed.
A Fort Worth judge has scheduled a Jan. 22 hearing in that lawsuit. The judge will conduct a conference Jan. 17 with his Jackson County, Mo., counterpart and attorneys for Zoey's maternal and paternal grandparents to discuss whether Texas or Missouri has jurisdiction in the case.

Read More..

Chudzinski thrilled to get Browns' job

CLEVELAND (AP) — Rob Chudzinski's roots run 44 years deep with the Browns.
As a kid, he buckled on his orange helmet and ran around his backyard in Toledo, Ohio, pretending he was Ozzie Newsome. He sat outside in the snow and watched Cleveland games on TV through the window to make it feel like he was in the Dawg Pound.
He chomped on dog biscuits.
On Friday, a once-in-a-lifetime opportunity came true for Chudzinski, who was introduced as the Browns' sixth fulltime coach since 1999. Although he has never been a head coach, "Chud" was selected over candidates with more experience and stronger resumes.
Chudzinski, though, stood out. He wanted it more than anyone.
"It's a dream come true, almost unbelievable in a lot of ways," Chudzinski said.
There is a segment of Browns fans as stunned as Chudzinski, whose hiring seemed to come out of nowhere.
After interviewing several high-profile candidates, including Oregon coach Chip Kelly, former Arizona coach Ken Whisenhunt and other top coordinators, Browns owner Jimmy Haslam and CEO Joe Banner picked Chudzinski, who spent the past two years as Carolina's offensive coordinator.
Haslam said he spoke with "nine or 10 of the best coaches in the country" and insisted Chudzinski was on the team's list of candidates from the outset.
"Rob was always on our radar screen," Haslam said of his first coaching hire. "Rob has been identified as a top, bright, young guy for a long time. I feel very confident we've got the right guy."
This is Chudzinski's third stint with the Browns. He coached Cleveland's tight ends in 2004 and was the team's offensive coordinator in 2007-08. In his first season calling plays, the Browns went 10-6 and had four players make the Pro Bowl. It hasn't been nearly as good since he left
"Happy to see Chud coming back," Browns Pro Bowl tackle Joe Thomas said in an email to the AP. "We had a good year in 2007. Very smart offensive mind. When he left, I knew he'd be a great head coach someday!"
Chudzinski's first task is to assemble his staff. He'll speak with the assistants still under contract and is confident he'll be able to bring in quality coaches to build the Browns into a consistent winner. Chudzinski would not comment on any specific candidates. There are reports he'll hire former San Diego coach Norv Turner as his offensive coordinator.
Chudzinski was the Chargers tight ends coach under Turner.
Working on an hour's sleep after getting his dream job. Chudzinski would not comment on any players on Cleveland's current roster. He said his philosophy will be to "attack" on offense and defense and he feels the Browns have the versatility to run a 4-3 or 3-4 defense.
The 44-year-old Chudzinski interviewed for head coaching jobs last year with St. Louis, Jacksonville and Tampa Bay before returning for his second season with Carolina, where he spent two years working with quarterback Cam Newton.
When he left the Browns for the second time in 2008, Chudzinski always thought he would return to Cleveland.
"I remember the last game walking out of the stadium and looking across the field, somehow knowing I'd be back somehow, someway," he said.
The Browns had a whirlwind courtship with Chudzinski. Haslam and Banner spent last week in Arizona, where they spoke to at least five known candidates. They got deep in talks with Kelly before backing away because of the offensive mastermind's indecision about jumping to the NFL.
The team rebooted its search and spoke with several other candidates including Whisenhunt, who was in Cleveland on Thursday for a second interview. Chudzinski met with the Browns on Wednesday at Haslam's estate on Lake Erie, where he laid out his coaching philosophies.
"Rob was very decisive," Haslam said. "'This is how I'm going to do things. I'm an offensive guy, but here's my role on defense. Here's my role on special teams. Here are the type of people I would bring in as coordinators, here are the type of coaches.' It was just very definitive."
Chudzinski received a phone call on Thursday that Haslam and Banner wanted to have dinner with him in Charlotte, N.C. They had been impressed with Chudzinski's thoroughness in the first interview, but wanted to spend more time with him.
"''We felt very positively that Rob was the man," Haslam said. "This organization has had a lot of change in terms of leadership, so it was exceptionally important that we get that right. An hour through dinner, we felt like that definitely this was the right guy."
Haslam said he wasn't aware of Chudzinski's Ohio background or his love for the Browns.
"It's a great story, but if Rob had been from Plano, Texas, we'd have hired him," Haslam said.
Banner has tracked Chudzinski's career for some time as he does with "the best young people in the league." It was Banner who had plucked Andy Reid, a then-unknown assistant from Green Bay, and hired him as Philadelphia's head coach in 1999. Reid spent 14 years with the Eagles before he was recently fired.
Now that they've hired a 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 next GM.
Chudzinski has it better than any of his five predecessors in Cleveland. He inherits a young roster with more talent than the team has had in years, and it's his job to develop a team that has lost at least 11 games in each of the past five seasons.
Chudzinski understands Cleveland's passion for football — and its pain.
He knows the heartbreak felt by Browns fans, who are still waiting for their team to make the Super Bowl. He knows it because he's felt it, too.
The Browns have had other coaches, but never one so intensely attached to the team. Chudzinski could have stayed in Carolina and waited for another head coaching job to come along. But there's no other job that could match this one.
To Chudzinski, this was the only one.
"I wouldn't have missed this opportunity for anything in the world," he said. "To bring back the pride, the passion, the success this franchise has had in the past, I want to be part of that.

Read More..

U.S. Franciscan friars go digital, accept prayer requests via text

NEW YORK (Reuters) - The largest group of Franciscan friars in the United States is offering the faithful a new way to pray in the digital age by accepting prayer requests via text messages.
The Friars of Holy Name Province, who staff 40 parishes and have colleges, soup kitchens and food centers along the eastern seaboard, as well as groups in Peru and Tokyo, are among a few religious groups offering this type of digital service.
Its "Text a Prayer Intention to a Franciscan Friar" initiative, which is described as faith at your fingertips, is a novel way for Roman Catholics to connect.
"People are always saying to friars, 'Can you say a prayer for me?' Or 'Can you remember my mother who has cancer?'" Father David Convertino, the New York-based executive director of development for the Franciscan Friars of the Holy Name Province, said in an interview.
"I was thinking that a lot of people text everything now, even more than email, so why not have people have the ability to ask us to pray for them ... by texting."
The faithful simply text the word 'prayer' to 306-44, free of charge. A welcome message from the friars comes up along with a box to type in the request. When the it is sent, the sender receives a reply.
The intentions are received on a website and will be included collectively in the friars' prayers twice a day and at Mass.
It is one of several ways the friars hope to reach a younger audience, increase the number of faithful and spread the faith. They have already renovated their website and the next step is moving into Facebook and tweeting.
"If the Pope can tweet, friars can text," said Father David.
The friars also have a presence on LinkedIn and have been streaming some of their church services.
"We're trying," said Father David when asked if the friars are well into the digital age, adding that they were "rushing madly into the 19th century."
Most of the 325 friars, whose average age is about 60, are comfortable with the technology.
"We have a friar who is 80 who was texting today," said Father David.
The friars are following the example of 85-year-old Pope Benedict, the leader of the world's 1.2 billion Roman Catholics, whom the Vatican said had 2.1 million followers on Twitter just eight days after sending his first tweet.
The Pontiff tweets in several languages, including Arabic, and plans to add Latin and Chinese to them.
"We're really excited about this working," said Father David, about the new program. "I think we'll be able to keep up (with all the intentions). That's what we do, we pray for people."

Read More..

Aereo CEO: Hollywood Apathy, "Irrelevant" Ads Inspired the Controversial Service

NEW YORK (TheWrap.com) - Sorry, networks, but Aereo - the streaming TV service you love to hate - has no plans to go away. In fact, CEO Chet Kanojia and company are planning a major expansion thanks to $38 million in new spending money.
That's not just to fund the service's move from New York into 22 other major cities, as announced Tuesday, but onto videogame consoles, Smart TVs and the Android operating system. (Currently, Aereo is available via web browsers, set-top boxes like the Roku and Apple devices.)
Aereo has one very important backer in its corner, media mogul Barry Diller, who IAC/InterActiveCorp has invested millions in the startup. However, not everyone is enamored of the technology.
TV networks feel that Aereo, which uses clusters of tiny antennas to stream mostly broadcast channels directly to devices like tablets and smartphones, is stealing their content.
The court is not so sure. A federal court in July denied a plea by broadcasters for an injunction to block the service in New York. Kanojia said that decision emboldened Aereo to move into markets like Chicago and Houston.
TheWrap spoke with Kanojia at the Consumer Electronics Show in Las Vegas about Aereo's planned expansion, Hollywood apathy and his least favorite commercials.
What convinced you now was the time to expand?
Consumer engagement data and the volume of requests we were getting from different cities - when are you coming to Atlanta? When are you coming to Detroit? It was a consistent theme.
The data that we saw from New York in terms of engagement, the utilization of our product and the quality we were able to provide made us want to scale things. We don't have all the data or all the answers - but enough to give us confidence that we have a great product here that people really really like.
You mentioned "trends" in New York. How many users do you have now?
We don't disclose that, but it's an incredibly positive trend.
How did you select the cities?
Obviously, this is phase one. We wanted to concentrate on the Eastern corridor. The location of the company is east coast, and it's still a small company relatively speaking.
Also, age and demographics. There's a huge Latin population in some of these markets, and 90 percent of viewership of Latin content is on broadcast.
You raise the Latin market, but there's no Los Angeles included here.
No Los Angeles, no Seattle - pretty much nothing west of Denver with the exception of Salt Lake City. The focus is eastern, and in stage two we'll focus on the west.
What does Aereo have to do in order to expand? What kinds of costs are associated with it?
We go in and establish the facility, which is really a data center that we lease from data-center providers. We put in rooftop antenna systems. We can get that done in about 60 days at any given system, and we have teams working at all the main sites.
Our operation and execution is centralized. We're not building out people and offices in every location.
How much concern remains about legal roadblocks?
We firmly believe in our position. Nothing that we've seen or heard gives us any less confidence in the basic premise that consumers have the ability to do this today. We have the right to be able to do this. There is nothing prohibiting technology from being implemented in the ways we have.
We've made an incredible amount of effort to comply with the law.
Like?
Building the technology to comply with the law the way we did. We're clearly within precedent. We're more conservative than precedent.
The Dish CEO spoke at CES on Monday and struck something of a populist tone. Television is the medium of the masses but one owned by a select few. Do you sense a wave of democratization? It really comes down to lack of competition and innovation. They haven't kept the consumer in the forefront because they don't have competition; distribution is locked up. They have guaranteed payments, and it's getting worse with the increasing costs of cable.
There's been no innovation in advertising - the same, more irrelevant stuff you don't care about.
Do you have a truck?
No.
Do you intend to buy one?
No.
Well, how many times have you seen that same damn commercial? We're wasting consumer engagement with this. There's so little innovation in how content is distributed, user experience and all of that. Apathy is the biggest enemy.
You can't only feel this way about broadcast. Do you intend to add more channels to the service?
The sequence of events is as follows - markets, devices and make barriers go away. We need to get to a certain amount of the population base and given the general trends out of New York that's a doable exercise. Once we get to that point, we'll think about adding additional content.
What devices are you missing right now?
We don't have an Android app, and that's a big priority for us. Game consoles make a lot of sense. Smart TVs.
What isn't being discussed about Aereo?
There's so much attention and drama with the litigation that people are ignoring the importance of what's going on. For the first time, someone is coming out with a way consumers can get quality access to TV at an incredible price on any device. The change we're causing with cloud-based implementation is something that's a much bigger story at the end of the day than litigation drama.
In two years the company has gone from not being in existence to building out to 22 markets.

Read More..

'The Hunger Games' lead fan favorites at People's Choice awards

LOS ANGELES (Reuters) - Post-apocalyptic action film "The Hunger Games" was the big winner at the People's Choice Awards on Thursday, picking up five awards including favorite movie of the year, while singer Katy Perry again led in the music categories.
Hosted by "The Big Bang Theory" actress Kaley Cuoco, the People's Choice Awards named winners in more than 40 categories across film, television and music. About 475 million fans voted through the People's Choice website.
"The Hunger Games," based on the trilogy of novels by Suzanne Collins, beat out "The Avengers," "The Amazing Spider-Man," "The Dark Knight Rises" and "Snow White and the Huntsman" for the coveted favorite movie accolade.
Jennifer Lawrence, who plays "Hunger Games" heroine Katniss Everdeen, won the favorite movie actress award over Mila Kunis, Emma Stone, Anne Hathaway and Scarlett Johansson.
"Thank you for loving movies as much as I do, and loving this movie and voting," Lawrence said.
"The Hunger Games" was also named favorite action film and favorite movie franchise, while its stars Lawrence, Josh Hutcherson and Liam Hemsworth won favorite on-screen chemistry.
The People's Choice is the first of Hollywood's annual awards shows, but unlike the Oscars or the Golden Globes, the winners are determined by fans, so it provides few insights into likely winners of the movie industry's top honors in February.
"The Avengers," which was nominated in eight categories, didn't go home empty-handed. Robert Downey Jr. was named favorite movie actor for his role as Iron Man in the superhero ensemble box office hit.
"You've chosen wisely," the actor joked on stage.
Adam Sandler picked up the fan favorite award for comedic actor, while former "Friends" star Jennifer Aniston picked up the favorite comedic movie actress award, beating out Mila Kunis, Reese Witherspoon, Emily Blunt and Cameron Diaz.
"I cannot thank you enough for allowing me to be honored with this, after supporting me for almost 20 years," Aniston said.
Emma Watson of "Harry Potter" fame picked up the favorite dramatic actress accolade for her role in "The Perks of Being a Wallflower."
"Perks" was also named favorite dramatic movie, while "Ted," the raunchy R-rated comedy from "Family Guy" creator Seth MacFarlane, was named favorite comedy film.
MUSIC AND TELEVISION WINNERS
Katy Perry took home four trophies this year, including favorite female artist and a surprise win for favorite pop artist over Justin Bieber.
Fan favorite Taylor Swift beat out Tim McGraw, Jason Aldean, Blake Shelton and Carrie Underwood for favorite country artist.
"You guys have blown my mind with what you've done with this album 'Red.' I want to thank you for caring about my music and me," the singer said in her acceptance speech.
Her chart-topping album "Red," which the singer based on her experiences, was one of 2012's top-sellers. The singer attended the awards alone following a widely reported split from boyfriend Harry Styles of U.K. boy band One Direction.
Maroon 5 picked up the favorite band award. The band's popularity skyrocketed in 2012 after lead singer Adam Levine served as a judge on television talent show "The Voice."
British boy band The Wanted won favorite breakout artist.
In the television categories, CBS comedy "The Big Bang Theory" was named favorite network comedy, while ABC's "Grey's Anatomy" picked up favorite network drama.
Ellen Pompeo of "Grey's Anatomy" and "Castle" actor Nathan Fillion won the favorite TV dramatic actress and actor awards, while "Glee" stars Lea Michele and Chris Colfer picked up the favorite TV comedic actress and actor awards.
Sandra Bullock was named favorite humanitarian for her efforts in helping victims of Hurricane Katrina in New Orleans.

Read More..

ECB to hold fire as euro zone economy shows glimmers of hope

FRANKFURT (Reuters) - The European Central Bank is expected to keep interest rates at a record low of 0.75 percent on Thursday, refraining from a cut as the euro zone economy shows some signs of stabilising and inflation still tops its target.
The 17-country euro zone is in recession, but recent data points to some stabilisation, and ECB President Mario Draghi could strike a slightly more positive tone in the news conference that follows the rate decision.
"Rates are definitely on hold. Nothing has been spectacular enough in recent data to force the ECB to any action," Deutsche Bank economist Gilles Moec said.
"There is a recession, but no further deterioration. Lending is weak, but also not deteriorating further, so the ECB is not compelled to act."
The 23-man Governing Council will find some comfort from improving business morale as well as a survey of purchasing managers, which gave tentative signs that the worst of the downturn may have passed.
"Since the December meeting key figures have generally surprised on the upside," Nordea analyst Anders Svendsen said in a note to investors.
While the ECB had, in Draghi's words, "a wide discussion" on reducing rates last month, the grounds for such a move have not grown and Executive Board members have argued against a cut.
Yves Mersch said last month he did not see the logic of a debate about the ECB cutting its main rate and Peter Praet said there was little room to cut.
Another cut of the refinancing rate would raise the question of whether the ECB would also lower its deposit rate - currently at zero - by the same amount, which would push it into negative territory, essentially charging a fee, for the first time.
Even though Draghi has said the bank was "operationally ready" for such a step, it has grown increasingly wary of the idea over the past couple of months, a source with knowledge of the ECB's thinking said.
Negative deposit rates could deal a hefty blow to money market funds, which have already seen cash outflows since the ECB cut the deposit rate to zero in July. The rate is a peg for short-dated money market rates and at zero it is already almost impossible for funds to generate a return for their investors.
Executive Board member Joerg Asmussen said last month he would be "very reluctant" about the ECB cutting the deposit rate any further, adding that "our (monetary) policy is very accommodative".
INFLATION STUBBORN
ECB staff projections published last month saw inflation at about 1.4 percent in 2014, which would usually justify another interest rate cut.
The central bank also sees inflation falling below 2 percent this year with underlying price pressures remaining moderate.
But inflation has eased more slowly than the ECB initially expected and as long as it misses the target - it has been above 2 percent for more than 2 years - a cut could be difficult to justify.
Furthermore, in the euro zone's largest economy, Germany, prices rose faster in December than in the previous month.
In addition to gauging whether the ECB is entertaining another cut or not, Draghi will be pressed on what other options the ECB has, especially to improve lacklustre bank lending.
ECB data showed last week that bank lending to the private sector fell at an annual rate of 0.8 percent in November.
At his December news conference, Draghi attributed the drop mainly to demand factors, but added that in a number of countries, credit supply is restricted.
A move by global regulators to give banks more time and flexibility to build up cash reserves is expected to do little to support a recovery in Europe, where recession-hit firms and households have scant appetite for more debt.
"One thing the ECB needs to engineer is recovery in lending," Rabobank economist Elwin de Groot said.

Read More..

APNewsBreak: Deal in Mass. suit on pregnancy drug

BOSTON (AP) — Four sisters who claimed their breast cancer was caused by a drug their mother took during pregnancy in the 1950s reached a settlement Wednesday with Eli Lilly and Co. in the first of scores of similar claims around the country to go to trial.
Neither Eli Lilly nor lawyers for the women would disclose the financial terms of the settlement, which was announced on the second day of testimony during a federal trial in Boston.
Eli Lilly said it continues to believe its medication "did not cause the conditions alleged in this lawsuit" but the settlement was in its "best interest."
"Settling this trial helps us get back to what we want to focus on as a company; developing important new medications through research and partnerships with doctors and patients," it said in a statement.
A total of 51 women, including the Melnick sisters, filed lawsuits in Boston against more than a dozen companies that made or marketed a synthetic estrogen known as DES.
DES, or diethylstilbestrol, was prescribed to millions of pregnant women over three decades to prevent miscarriages, premature births and other problems. It was taken off the market in the early 1970s after it was linked to a rare vaginal cancer in women whose mothers used it.
Studies later showed the drug did not prevent miscarriages.
Attorney Aaron Levine, representing the Melnick sisters, told the jury during opening statements that Eli Lilly failed to test the drug's effect on fetuses before promoting it as a way to prevent miscarriages.
Lawyer James Dillon, for Eli Lilly, told the jury that there was no evidence the drug causes breast cancer in the daughters of women who took it.
Dillon also said that no medical records show the mother of the four Melnick sisters took DES or that, if she did take it, it was made by Eli Lilly. Leading researchers at the time recommended that DES be used for pregnant women who had consecutive miscarriages, he said.
DES was not patented and was made by many companies.
The Melnick sisters, who grew up in Tresckow, Pa., said they all developed breast cancer in their 40s.
Levine told the jury their mother did not take DES while pregnant with a fifth sister and that sister has not developed breast cancer.
The four Melnick sisters also had miscarriages, fertility problems or other reproductive tract problems long suspected of being caused by prenatal exposure to DES. They were diagnosed with breast cancer between 1997 and 2003 and had treatments ranging from lump-removal surgery to a full mastectomy, radiation and chemotherapy.
Thousands of lawsuits have been filed alleging links between DES and vaginal cancer, cervical cancer and fertility problems. Many of those cases were settled.
Attorney Andrew Meyer, who's handled numerous medical malpractice cases, said the settlement in this case could signal settlements in other cases.
"When one settles a case, they recognize they can lose it," he said. "The reason they can lose it is because there's enough evidence for the plaintiffs to be able to win it. So it's not just optics, it isn't."
Columbus, Ohio, resident Irene Sawyer also is suing Eli Lilly, alleging that her prenatal exposure to DES caused her breast cancer. She called the settlement "a huge victory" for DES daughters.
"The bottom line is that this company put out a drug without testing, without knowing the consequences of this drug," she said.
It's wonderful, she said, that drug companies "are starting to realize this is not right, that there are consequences.

Read More..

Tech delegation pressing NKorea Internet openness

PYONGYANG, North Korea (AP) — A private delegation including Google's Eric Schmidt is urging North Korea to allow more open Internet access and cellphones to benefit its citizens, the mission's leader said in the country with some of the world's tightest controls on information.
Former New Mexico Gov. Bill Richardson also said his nine-member group called on North Korea to put a moratorium on missile launches and nuclear tests that have prompted U.N. sanctions, and the delegation asked for fair and humane treatment for an American citizen detained. He spoke in an exclusive interview in Pyongyang with The Associated Press on Wednesday.
Before departing on Thursday, he told reporters his trip had been productive and successful.
"We enjoyed our trip to the DPRK, especially with the North Korean people, and we had a good opportunity to talk about expanding the Internet and cell phones in the DPRK," Richardson said at the Pyongyang airport.
The visit has been criticized for appearing to hijack U.S. diplomacy and boost Pyongyang's profile after North Korea's latest, widely condemned rocket launch. Richardson has said the delegation is on a private, humanitarian trip.
Schmidt, the executive chairman of the U.S.-based Internet giant Google, is the highest-profile American business executive to visit North Korea since leader Kim Jong Un took power a year ago.
Although Schmidt often meets with government officials around the world on behalf of Google, he didn't make this trip at the company's request.
Schmidt has not said publicly what he hopes to get out of his visit to North Korea. However, he has been a vocal proponent of Internet freedom and openness, and is publishing a book in April with Jared Cohen, director of the company's Google Ideas think tank, about the power of global connectivity in transforming people's lives, policies and politics.
Cohen doesn't typically accompany Schmidt on Google-sanctioned trips, a sign that the two men may be primarily interested in gathering more material for their book.
On Wednesday, Schmidt toured the frigid quarters of the brick building in central Pyongyang that is the heart of North Korea's own computer industry. He asked pointed questions about North Korea's new tablet computers as well as its Red Star operating system, and he briefly donned a pair of 3-D goggles during a tour of the Korea Computer Center.
Even if Schmidt isn't officially representing Google in North Korea, the company stands to benefit if the country's leadership were to loosen its Internet restrictions.
For years, the Mountain View, California, company has pushed for more accessible and affordable Internet connections and Web-surfing devices on the premise that its business ultimately will make more money if people spend more time online.
Besides the world's most dominant search engine, Google also offers a variety of other services that rank among the most popular destinations on the Internet. More Internet traffic translates into more opportunities to sell digital ads, which account for most of its more than $50 billion in annual revenue.
Richardson told The Associated Press that his delegation was bringing a message that more openness would benefit North Korea. Most in the country have never logged onto the Internet, and the authoritarian government strictly limits access to the World Wide Web.
"The citizens of the DPRK will be better off with more cellphones and an active Internet. Those are the ... messages we've given to a variety of foreign policy officials, scientists" and government officials, Richardson said.
The four-day trip, which began Monday, is taking place at a delicate time in U.S.-North Korean relations. Less than a month ago, North Korea shot a satellite into space on a long-range rocket, a launch widely celebrated in Pyongyang but condemned by Washington and others as a banned test of missile technology.
The State Department criticized the trip as "unhelpful" at a time when the U.S. is rallying support for U.N. Security Council action. Schmidt advised President Barack Obama during his 2008 election campaign and was once considered a potential candidate for a Cabinet-level appointment. Schmidt has repeatedly said that he has no plans to leave Google for a government job.
State Department spokesman Peter Velasco said from Washington that he did not believe the delegation had been in contact with U.S. officials since they arrived in Pyongyang.
However, Richardson said the delegation has pressed the North Koreans for a moratorium on missile launches and nuclear tests.
In 2006 and 2009, North Korea followed up similar launches with nuclear tests. Pyongyang is believed to be working on mastering technology that would allow it to mount a nuclear device on a long-range rocket capable of striking the United States.
Richardson also said the delegation is pushing for "fair and humane treatment" of an American, Kenneth Bae, now in North Korean custody on suspicion of committing "hostile" acts against the state.
The group also has urged government officials and scientists to offer more cellphones and to open up the Internet to the North Korean people, he said.
North Korea has exercised strict control over its population of 24 million since it was founded by Kim Il Sung in 1948, including tight rules on the flow of information and close monitoring of the people's interaction with the outside world.
But as the Asian nation's tiny economy has languished in its isolation, the government has sought in recent years to turn its economy around by carefully and cautiously reaching out to foreign nations — primarily neighboring China and Southeast Asian allies — for help.
Young North Korean leader Kim Jong Un, who took power a year ago following the death of his father, Kim Jong Il, has made improving the economy a focal point of national policy for 2013, and has urged the people to expand their knowledge of science and technology to reach that goal.
Across the snowy capital, new propaganda signs and slogans reiterate those goals, exhorting the people to "break through the cutting edge" and "push back the frontiers" of science and technology in the spirit of the Dec. 12 space launch.
The number of cell phone users has surpassed 1.5 million in a few short years, with help from the Egyptian telecommunications giant Orascom, which provides a 3G cell phone service.
However, offering open Internet access has not been part of the strategy. Experts see North Korea as one of the least connected countries in the world.
Though global broadband Internet is available in North Korea, few have permission to log onto the World Wide Web. Those with computers and Internet access typically are restricted to a domestic Intranet site that filters the information and publications available to North Koreans.
On Tuesday, Schmidt, Richardson and their delegation chatted with students at Pyongyang's elite Kim Il Sung University who have permission to access the global Internet for research purposes.
On Wednesday, the group toured the main library in Pyongyang, the Grand People's Study House, where locals still in their winter coats were crowded into drafty, unheated halls at computers with Intranet access to the library's archive of books, documents and newspapers.
Later, the delegation visited the multi-story Korea Computer Center, the hub of North Korea's software and computer product development, where a quote from Kim Jong Il reads: "Now is the era for science and technology. It is the era of computers."
Inside an atrium exhibition hall lined with widescreen displays showing off North Korea's computer products, the Google group fiddled around with the new Samjiyon tablet computer utilizing foreign-made hardware and North Korean software and linked to the Internet through a wifi router.
They learned about North Korea's data encryption software, face recognition devices, video chat room software and instant messaging services.
So far, the computer center has teamed up with nations including China, Russia and India to develop products — but is hoping to reach out to establish partnerships with other countries also, officials told Schmidt and Richardson.
Schmidt, who as chief executive of Google until 2011 oversaw the Internet search provider's expansion into a global Internet giant, speaks frequently about the importance of providing people around the world with Internet access and technology.
Google now has offices in more than 40 countries, including Russia, South Korea and China, another country criticized for systematic Internet censorship.
There are no major U.S. firms operating in North Korea, which fought against the United States in the Korean War of the 1950s. The foes signed a truce in 1953 to end the fighting, but never a peace treaty, and the two countries still do not have diplomatic relations.
U.N. sanctions ban the trade with North Korea of weapons and items that could be used for nuclear purposes, as well as luxury items. The U.S. also prohibits the import of North Korean-made goods into the United States.
Some conservatives in the United States have had harsh criticism of the Schmidt-Richardson trip.
Schmidt and Richardson "have joined the long list of Americans and others used by the Kim family dictatorship for political advantage," John Bolton, who served as U.S. ambassador to the United Nations during the George W. Bush administration, wrote in the New York Daily News.
"North Korea has repeatedly welcomed prominent Americans to help elevate its stature. It is seeking direct negotiations with Washington, for in the distorted vision of the nation's leadership, this might lead to full diplomatic recognition and 'equal' status in the world community."

Read More..

PM Note: NRA to Meet Joe Biden, Diane Sawyer and Gabbrielle Giffords, Remembering Richard Ben Cramer

Remembering Richard Ben Cramer, Chronicler of Political Candidates- Indulge Amy Walter, please, as she joins many of her political colleagues in paying tribute to Pulitzer Prize-winning journalist Richard Ben Cramer, who died Monday at age 62. http://abcn.ws/UGXMWH (Amy Walter)
Exclusive - Sawyer and Giffords - See Diane Sawyer's Interview with Gabby Giffords and Mark Kelly - http://abcn.ws/ZnErq3
From Alyssa Newcomb and Lana Zak - "After she was gravely wounded by gunfire two years ago in Tucson, Ariz., former Rep. Gabrielle Giffords and her husband, Mark Kelly, imagined a life out of the public eye, where she would continue therapy surrounded by the friends, family and the Arizona desert she loves so much.
"But after the slaughter of 20 first-graders and six adults at Sandy Hook Elementary School in Newtown, Conn., last month, Giffords and Kelly knew they couldn't stay silent. "Enough," Giffords said.
"The couple marked the second anniversary of the Tucson shooting by sitting down with "Diane Sawyer to discuss their recent visit to Newtown and their new initiative to curb gun violence, "Americans for Responsible Solutions."
"After the shooting in Tucson, there was talk about addressing some of these issues, [and] again after [a movie theater massacre in] Aurora," Colo., Kelly said. "I'm hopeful that this time is different, and I think it is. Twenty first-graders' being murdered in their classrooms is a very personal thing for everybody."
Biden's Sked - Wednesday - Gun Control Advocates and Victims Groups Thursday - NRA, Sportsmen Advocates
The full wrap from Arlette Saenz - http://abcn.ws/SiiqLW
Obama, Karzai to meet Friday on Afghan Transition- President Obama and Afghan President Hamid Karzai will meet at the White House Friday to discuss the future of the U.S.-Afghan relationship as the Obama administration readies to draw down its remaining forces after more than a dozen years of war. http://abcn.ws/UzbLIL (Mary Bruce and Luis Martinez)
Illinois House Passes Drivers Licenses For Undocumented Immigrants-The Illinois General Assembly passed legislation on Tuesday that would permit unauthorized immigrants to obtain temporary drivers licenses, clearing the way for Gov. Pat Quinn (D) to sign the bill into law. http://abcn.ws/VDbCVT (Jordan Fabian)
John Brennan's 'Zero Dark Thirty' Problem - There's only one White House staffer portrayed in the new movie "Zero Dark Thirty," and it is someone described in the credits as "National Security Advisor." http://abcn.ws/VNwUzN
'Breaking Bad' Actor Joining Albuquerque School Board-"Breaking Bad" actor Steven Michael Quezada wants to make a difference in the state that he and his show call home. http://abcn.ws/13eHfu8 (Josh Haskell)
Man Runs to DC From Maine for Charity- Gary Allen, an avid runner and Maine resident, is lacing up his sneakers in an attempt to run from Mount Desert Island to the nation's capital. http://abcn.ws/13go16E (Jilian Fama)
Christie Accused of Praying for Sandy - Chris Christie Foe Claims Christie 'Prayed' for Superstorm Sandy-Hours before New Jersey Gov. Chris Christie was scheduled to give his state of the state address Tuesday afternoon, a political opponent claimed the tough-talking governor "prayed and got lucky" that superstorm Sandy slammed into the Garden State and drove attention away from the New Jersey economy. http://abcn.ws/U19s2E (Shushannah Walshe)
AIG May Join Suit Over US Bailout-Saved from collapse by a massive bailout, the insurance company AIG is now considering joining a lawsuit against the government, which claims the terms were too harsh. The complaint says shareholders were cheated by the $182 million bailout, which included high interest rates and billions in payments to AIG's Wall Street clients. The New York Times reports the lawsuit was filed in 2011 by 87-year-old former CEO Maurice Greenberg, a major investor who ran AIG for more than four decades. http://abcn.ws/WqxMt6 (Richard Davies)

Read More..

Government launches review of Shell Arctic drill program

WASHINGTON (Reuters) - The Interior Department said on Tuesday it will review Royal Dutch Shell's 2012 Arctic oil drilling program to assess the challenges the company faced and to help guide future permitting in the region.
The announcement follows the grounding of one of Shell's rigs off the coast of Alaska last week, the latest in a series of mishaps the company has encountered as it undertakes an ambitious Arctic oil exploration plans.
"Exploration allows us to better comprehend the true scope of our resources in the Arctic ... but we also recognize that the unique challenges posed by the Arctic environment demand an even higher level of scrutiny," Interior Secretary Ken Salazar said in a statement.
Any changes in permitting requirements or delays due to the review could threaten Shell's drilling plans for 2013. The company faces a limited window during the summer when weather conditions and regulators will allow drilling.
Interior said it hopes to complete its "high-level" assessment within 60 days.
Shell has spent $4.5 billion since 2005 to develop the Arctic's vast oil reserves, but the company has faced intense opposition from environmentalists and native groups as well as regulatory and technical hurdles.
The oil giant made some strides last year, actually beginning preparatory drilling in the Chukchi and Beaufort seas. But the work was far short of completing up to three wells in the Chukchi and up to two in the Beaufort as the company had planned.
Instead, Shell's 2012 drilling season was beset by delays due to lingering ice in Arctic waters and problems with getting its mandatory oil spill containment vessel certified by the Coast Guard.
Shell said it welcomed the department's review, conceding that it had experienced some challenges.
"We have already been in dialogue with the DOI on lessons learned from this season, and a high level review will help strengthen our Alaska exploration program going forward," Shell spokeswoman Kelly op de Weegh said in a statement.
Interior said it would examine the issues with Shell's containment vessel, as well as issues with Shell's two drilling rigs, the Noble Discoverer and the Kulluk.
It was the Kulluk rig that broke away from tow boats last week and ran aground on New Year's Eve in what were described as near hurricane conditions.
U.S. Senator Mark Begich, an Alaska Democrat and strong supporter of offshore Arctic oil drilling, on Tuesday called for a hearing to examine the Kulluk situation.
"While this incident notably involves marine transportation and not oil exploration or drilling, we must quickly answer the many questions surrounding the Kulluk grounding and improve any regulatory or operational standards as needed to ensure this type of maritime accident does not occur again," Begich said in a letter to Coast Guard Commandant Admiral Robert Papp and to Shell.
Environmental groups said the Kulluk accident was new evidence that oil companies were not prepared to operate in the Arctic, calling on the government to put all permitting in the area on hold.
One of the groups calling for a pause in permitting, the conservation group Oceana, said Interior's review is a step in the right direction, but it must be "more than a paper exercise."
"The Department of the Interior, after all, is complicit in Shell's failures because it granted the approvals that allowed Shell to operate," said Michael LeVine, Pacific senior counsel at the ocean conservation group.

Read More..

Supreme Court narrows avenue for death row appeals

WASHINGTON (Reuters) - Two death row inmates were not entitled to a delay of their federal appeals on the grounds that they were incompetent to assist their lawyers, the Supreme Court said on Tuesday.
In a unanimous ruling against inmates Ernest Valencia Gonzales and Sean Carter, the court also said federal judges cannot indefinitely delay appeals of state criminal convictions in the hope that the defendants might eventually become competent enough to help out.
Justice Clarence Thomas said defense lawyers are "quite capable" of reviewing cases without their clients' help and can identify arguments or state court errors that can be raised on appeal.
He said a district judge who believes an incompetent defendant could substantially aid in his defense should examine the likelihood that the defendant will regain competence.
In contrast, "where there is no reasonable hope of competence, a stay merely frustrates the state's attempts to defend its presumptively valid judgment," Thomas wrote.
Gonzales was convicted by an Arizona jury in the stabbings of two people in front of their seven-year-old son during a burglary. One of the victims died.
Carter was found guilty by an Ohio jury of the rape and stabbing death of his adoptive grandmother.
Dale Baich, who works in the federal public defender's office that represented Gonzales, noted that Supreme Court decision left room for federal courts to put some appeals on hold. A prisoner's competency to assist counsel is an issue in roughly one dozen capital cases pending nationwide, he said.
A lawyer for Carter was not immediately available to comment.
Thomas said the federal appeals courts that put both cases on hold erred in relying on two federal statutes to find that defendants must be competent.
A requirement of competency also does not flow from a defendant's right to counsel under the Sixth Amendment to the U.S. Constitution, he wrote.
The court also said it was "unwarranted" to extrapolate a definitive rule based on a 1960s case involving an incompetent death row inmate that it put on hold for nearly three decades. That case ended when the prisoner died.
The cases are Ryan v. Gonzales, U.S. Supreme Court, No. 10-930; and Tibbals v. Carter, U.S. Supreme Court, No. 11-218.

Read More..

Drilling barge pulled from rocks off Alaska island

ANCHORAGE, Alaska (AP) — A large floating drill rig that ran aground a week ago on a remote Alaska island arrived as planned Monday in the shelter of a Kodiak Island bay after being towed about 45 miles through swells as high as 15 feet, officials said.
The Royal Dutch Shell PLC vessel was lifted off rocks late Sunday and towed away from the southeast side of Sitkalidak Island, where it sat exposed to the full-on fury of Gulf of Alaska winter storms since grounding near the beach there on New Year's Eve.
The Kulluk — a circular barge with a diameter as long as nearly three basketball courts — was towed for about 12 hours to the protected waters in Kiliuda Bay, where it will undergo further inspection, including an underwater look at its hull.
"We could not be more impressed with the caliber of the response and recovery crews who were safe and meticulous in their effort to move the Kulluk offshore," Shell Alaska spokesman Curtis Smith said by email.
The vessel will remain in the bay 43 miles southwest of the city of Kodiak until inspectors review its condition and the Coast Guard clears it to travel. Shell incident commander Sean Crutchfield said there's no timetable for departure.
"Until we have that damage assessment, we'll not be able to develop those plans," Crutchfield said at a news conference Monday.
The massive effort to move and salvage the ship involves more than 730 people, according to the Unified Command, which includes the Coast Guard, Shell and contractors involved in the tow and salvage operation. Eleven people are aboard the ship — a salvage crew of 10 people and one Shell representative
Shell earlier reported superficial damage above the deck and seawater that entered through open hatches. Water has knocked out regular and emergency generators, but portable generators were put on board last week.
The Kulluk is 266 feet in diameter with a derrick in its middle and a funnel-shaped, reinforced steel hull that allows it to operate in ice. Its derrick rises 160 feet. The barge drilled last year in the Beaufort Sea and was headed to Seattle for upgrades and maintenance when it ran into trouble.
Its towing vessel, the 360-foot anchor handler Aiviq, on Dec. 27 lost its line to the Kulluk in heavy seas and hours later lost power to all four of its engines, possibly due to contaminated fuel.
Four reattached lines between the Aiviq or other vessels also broke in stormy weather. The Aiviq on New Year's Eve again broke its line, leaving the Kulluk attached to the tugboat Alert.
Coast Guard Capt. Paul Mehler, the federal on-scene coordinator, said Monday the Alert also experienced a mechanical problem the night the Kulluk went aground. The agency is investigating.
"The understanding the night of the response was that when she was taking maximum power, there was an engine problem," Mehler said. "They did recover that within 30 minutes. The details of that, I couldn't answer yet."
Inspections after the grounding determined that the Kulluk could be towed, and the Aiviq on Sunday reattached a tow line. Tension was added to test the line Sunday night and increased as high tide approached, Crutchfield said.
He was not on scene but did not hear of complications.
"The Kulluk came off reasonably easy, would be my assessment," he said.
Mehler said he was in the command center when salvors reported the Kulluk had come off the rocks.
"I won't say that I saw anyone high-fiving," Mehler said. "I'll say there was certainly a sense of relief, but recognizing now we have a lot more work to do."
Likewise, the tow "has gone pretty much according to plan," Crutchfield said.
Inspections will involve an underwater look at the hull with divers or remotely operated underwater vehicles or divers or both, he said.
The Kulluk will be tethered to two tugs in the bay and will attempt to set its anchor. If that doesn't work, he said, additional tugs will be used to keep it in place. Four more tugs were on scene Monday.
A tug trailing the drill vessel used infrared equipment to watch for oil sheens and reported no petroleum discharge.

Read More..