Software pioneer John McAfee returns to U.S.









Anti-virus software company founder John McAfee arrived in the U.S. late Wednesday after being deported from Guatemala, where he had sought to evade police questioning in the killing of a man in neighboring Belize.


The American Airlines commercial jet carrying McAfee landed in Miami shortly before 4 p.m. Pacific time, said Miami International Airport spokesman Greg Chin.


A short time later, a posting on McAfee's website announced that he was at a hotel in Miami's upscale South Beach neighborhood. He said he arrived by taxi after a group of customs or immigration agents, he didn't know which, escorted him to an airport taxi stand. McAfee has frequently communicated through the website.





"I have no phone, no money, no contact information," the post said. Reached by telephone at the hotel, the 67-year-old McAfee told the Associated Press that he couldn't talk because he was waiting for a call from his girlfriend, 20-year-old Belizean Samantha Vanegas.


Vanegas had accompanied him when he was on the run, but did not go with him to the U.S.


On a blog he has been posting for the last two weeks, McAfee wrote, "I have been forcibly separated from Sam," but he said she would be coming to the United States later.


McAfee sat in a coach-class seat on the flight, which took off at midafternoon from Guatemala City, according to the airline.


An FBI spokesman in Miami, James Marshall, told the AP in an email that the agency was not involved with McAfee's return to the U.S.


Authorities from U.S. Customs and Border Protection, Immigration and Customs Enforcement, the U.S. Marshals office and the U.S. attorney's office did not immediately respond to questions about whether McAfee would be questioned or detained in the U.S. They said there was no active arrest warrant for McAfee that would justify taking him into custody.


His expulsion from Guatemala marked the last chapter in a strange, monthlong odyssey to avoid police questioning about the November killing of American expatriate Gregory Viant Faull, who lived a couple of houses away from McAfee's compound on Ambergris Caye, off Belize's Caribbean coast.


McAfee has acknowledged that his dogs were bothersome and that Faull had complained about them days before some of the dogs were poisoned, but denies killing Faull.


He was in hiding in Belize for weeks after police pronounced him a person of interest in the killing. Belizean authorities have urged him to show up for questioning, but have not lodged any formal charges against him. McAfee has said he feared he would be killed if he turned himself in to Belizean authorities.





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Famed sitarist Ravi Shankar dies at 92









Ravi Shankar, the revered master of the sitar who introduced Indian music to much of the Western world, died Tuesday in San Diego County. He was 92.


Shankar  was a hippie musical icon of the 1960s, playing  at  Woodstock and hobnobbing with The Beatles.


In 1966 the Indian musician met Beatle George Harrison,  who became his most famous disciple and gave the musician-composer unexpected pop-culture cachet. Harrison labeled Shankar "the godfather of world music."





PHOTOS: Notable deaths of 2012


Shankar continued to give virtuoso performances into his 90s, including one in 2011 at Walt Disney Concert Hall.


In New Delhi, the Inidan prime minister's office confirmed Shankar's death and called him a “national treasure.”

The sitarist  also pioneered the concept of the rock benefit with the 1971 Concert For Bangladesh. To later generations, he was known as the estranged father of popular American singer Norah Jones.

Shankar collaborated with Harrison, violinist Yehudi Menuhin and jazz saxophonist John Coltrane as he worked to bridge the musical gap between the West and East.

Describing an early Shankar tour in 1957, Time magazine said “U.S. audiences were receptive but occasionally puzzled.”

His close relationship with Harrison, the Beatles lead guitarist, shot Shankar to global stardom in the 1960s.

Harrison had grown fascinated with the sitar, a long necked, string instrument that uses a bulbous gourd for its resonating chamber and resembles a giant lute. He played the instrument, with a Western tuning, on the song “Norwegian Wood,” but soon sought out Shankar, already a musical icon in India, to teach him to play it properly.

The pair spent weeks together, starting the lessons at Harrison's house in England and then moving to a houseboat in Kashmir and later to California.

Gaining confidence with the complex instrument, Harrison recorded the Indian-inspired song “Within You Without You” on the Beatles' “Sgt. Pepper's Lonely Hearts Club Band,” helping spark the raga-rock phase of 60s music and drawing increasing attention to Shankar and his work.

Shankar's popularity exploded, and he soon found himself playing on bills with some of the top rock musicians of the era. He played a four-hour set at the Monterey Pop Festival and the opening day of Woodstock.

Though the audience for his music had hugely expanded, Shankar, a serious, disciplined traditionalist who had played Carnegie Hall, chafed against the drug use and rebelliousness of the hippie culture.

“I was shocked to see people dressing so flamboyantly. They were all stoned. To me, it was a new world,” Shankar told Rolling Stone of the Monterey festival.

While he enjoyed Otis Redding and the Mamas and the Papas at the festival, he was horrified when Jimi Hendrix lit his guitar on fire.

“That was too much for me. In our culture, we have such respect for musical instruments, they are like part of God,” he said.

In 1971, moved by the plight of millions of refugees fleeing into India to escape the war in Bangladesh, Shankar reached out to Harrison to see what they could do to help.

In what Shankar later described as “one of the most moving and intense musical experiences of the century,” the pair organized two benefit concerts at Madison Square Garden that included Eric Clapton, Bob Dylan and Ringo Starr.

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Facebook helps FBI bust cybercriminals blamed for $850 million losses






SAN FRANCISCO (Reuters) – Investigators led by the Federal Bureau of Investigation and aided by Facebook Inc, have busted an international criminal ring that infected 11 million computers around the world and caused more than $ 850 million in total losses in one of the largest cybercrime hauls in history.


The FBI, working in concert with the world’s largest social network and several international law enforcement agencies, arrested 10 people it says infected computers with “Yahos” malicious software, then stole credit card, bank and other personal information.






Facebook’s security team assisted the FBI after “Yahos” targeted its users from 2010 to October 2012, the U.S. federal agency said in a statement on its website. The social network helped identify the criminals and spot affected accounts, it said.


Its “security systems were able to detect affected accounts and provide tools to remove these threats,” the FBI said.


According to the agency, which worked also with the U.S. Department of Justice, the accused hackers employed the “Butterfly Botnet”. Botnets are networks of compromised computers that can be used in a variety of cyberattacks on personal computers.


The FBI said it nabbed 10 people from Bosnia and Herzegovina, Croatia, Macedonia, New Zealand, Peru, the United Kingdom, and the United States, executed numerous search warrants and conducted a raft of interviews.


It estimated the total losses from their activities at more than $ 850 million, without elaborating.


Hard data is tough to come by, but experts say cybercrime is on the rise around the world as PC and mobile computing become more prevalent and as more and more financial transactions shift online, leaving law enforcement, cybersecurity professionals and targeted corporations increasingly hard-pressed to spot and ward off attacks.


(Reporting By Edwin Chan; Editing by Matt Driskill)


Social Media News Headlines – Yahoo! News


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Indian sitar virtuouso Ravi Shankar dies at 92


Ravi Shankar, the sitar virtuoso who became a hippie musical icon of the 1960s after hobnobbing with the Beatles and who introduced traditional Indian ragas to Western audiences over an eight-decade career, has died. He was 92.


The prime minister's office confirmed his death and called him a "national treasure."


Labeled "the godfather of world music" by George Harrison, Shankar helped millions of classical, jazz and rock lovers discover the centuries-old traditions of Indian music.


He also pioneered the concept of the rock benefit with the 1971 Concert For Bangladesh. To later generations, he was known as the estranged father of popular American singer Norah Jones.


As early as the 1950s, Shankar began collaborating with and teaching some of the greats of Western music, including violinist Yehudi Menuhin and jazz saxophonist John Coltrane. He played well-received shows in concert halls in Europe and the United States, but faced a constant struggle to bridge the musical gap between the West and the East.


Describing an early Shankar tour in 1957, Time magazine said "U.S. audiences were receptive but occasionally puzzled."


His close relationship with Harrison, the Beatles lead guitarist, shot Shankar to global stardom in the 1960s.


Harrison had grown fascinated with the sitar, a long necked, string instrument that uses a bulbous gourd for its resonating chamber and resembles a giant lute. He played the instrument, with a Western tuning, on the song "Norwegian Wood," but soon sought out Shankar, already a musical icon in India, to teach him to play it properly.


The pair spent weeks together, starting the lessons at Harrison's house in England and then moving to a houseboat in Kashmir and later to California.


Gaining confidence with the complex instrument, Harrison recorded the Indian-inspired song "Within You Without You" on the Beatles' "Sgt. Pepper's Lonely Hearts Club Band," helping spark the raga-rock phase of 60s music and drawing increasing attention to Shankar and his work.


Shankar's popularity exploded, and he soon found himself playing on bills with some of the top rock musicians of the era. He played a four-hour set at the Monterey Pop Festival and the opening day of Woodstock.


Though the audience for his music had hugely expanded, Shankar, a serious, disciplined traditionalist who had played Carnegie Hall, chafed against the drug use and rebelliousness of the hippie culture.


"I was shocked to see people dressing so flamboyantly. They were all stoned. To me, it was a new world," Shankar told Rolling Stone of the Monterey festival.


While he enjoyed Otis Redding and the Mamas and the Papas at the festival, he was horrified when Jimi Hendrix lit his guitar on fire.


"That was too much for me. In our culture, we have such respect for musical instruments, they are like part of God," he said.


In 1971, moved by the plight of millions of refugees fleeing into India to escape the war in Bangladesh, Shankar reached out to Harrison to see what they could do to help.


In what Shankar later described as "one of the most moving and intense musical experiences of the century," the pair organized two benefit concerts at Madison Square Garden that included Eric Clapton, Bob Dylan and Ringo Starr.


The concert, which spawned an album and a film, raised millions of dollars for UNICEF and inspired other rock benefits, including the 1985 Live Aid concert to raise funds for famine relief in Ethiopia and the 2010 Hope For Haiti Now telethon.


Ravindra Shankar Chowdhury was born April 7, 1920, in the Indian city of Varanasi.


At the age of 10, he moved to Paris to join the world famous dance troupe of his brother Uday. Over the next eight years, Shankar traveled with the troupe across Europe, America and Asia, and later credited his early immersion in foreign cultures with making him such an effective ambassador for Indian music.


During one tour, renowned musician Baba Allaudin Khan joined the troupe, took Shankar under his wing and eventually became his teacher through 7 1/2 years of isolated, rigorous study of the sitar.


"Khan told me you have to leave everything else and do one thing properly," Shankar told The Associated Press.


In the 1950s, Shankar began gaining fame throughout India. He held the influential position of music director for All India Radio in New Delhi and wrote the scores for several popular films. He began writing compositions for orchestras, blending clarinets and other foreign instruments into traditional Indian music.


And he became a de facto tutor for Westerners fascinated by India's musical traditions.


He gave lessons to Coltrane, who named his son Ravi in Shankar's honor, and became close friends with Menuhin, recording the acclaimed "West Meets East" album with him. He also collaborated with flutist Jean Pierre Rampal, composer Philip Glass and conductors Andre Previn and Zubin Mehta.


"Any player on any instrument with any ears would be deeply moved by Ravi Shankar. If you love music, it would be impossible not to be," singer David Crosby, whose band The Byrds was inspired by Shankar's music, said in the book "The Dawn of Indian Music in the West: Bhairavi."


Shankar's personal life, however, was more complex.


His 1941 marriage to Baba Allaudin Khan's daughter, Annapurna Devi, ended in divorce. Though he had a decades-long relationship with dancer Kamala Shastri that ended in 1981, he had relationships with several other women in the 1970s.


In 1979, he fathered Norah Jones with New York concert promoter Sue Jones, and in 1981, Sukanya Rajan, who played the tanpura at his concerts, gave birth to his daughter Anoushka.


He grew estranged from Sue Jones in the 80s and didn't see Norah for a decade, though they later re-established contact.


He married Rajan in 1989 and trained young Anoushka as his heir on the sitar. In recent years, father and daughter toured the world together.


When Jones shot to stardom and won five Grammy awards in 2003, Anoushka Shankar was nominated for a Grammy of her own.


Shankar, himself, has won three Grammy awards and was nominated for an Oscar for his musical score for the movie "Gandhi."


Despite his fame, numerous albums and decades of world tours, Shankar's music remained a riddle to many Western ears.


Shankar was amused after he and colleague Ustad Ali Akbar Khan were greeted with admiring applause when they opened the Concert for Bangladesh by twanging their sitar and sarod for a minute and a half.


"If you like our tuning so much, I hope you will enjoy the playing more," he told the confused crowd, and then launched into his set.


___


Associated Press Writer Ravi Nessman in Bangkok contributed to this report.


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Michigan puts limits on unions









NEW YORK —- Labor relations in the Midwest reached a new level of acrimony as Michigan Gov. Rick Snyder abruptly signed legislation placing limits on unions, setting up a bitter political battle that could resonate nationwide.


It's a stunning development for a blue state that's been known as a place friendly to labor, where autoworkers and their families from Detroit to Saginaw have benefited from generous union contracts. An estimated 15,000 workers descended on the state Capitol in Lansing on Tuesday to protest against the bills, scuffling at times with police and conservatives who also set up shop at the Capitol.


House members passed two bills that would make Michigan a "right to work" state, essentially prohibiting union security agreements, which make union membership or fees a condition of employment. The bills, which covered private sector and public sector employees, had passed the state Senate last week.





Snyder, a Republican, signed both bills in private Tuesday afternoon, hailing the legislation as a victory for Michigan workers and a way to bring more jobs to the state.


"This is a major day in Michigan's history," he said at a news conference. "This is an opportunity for unions to step up and say how they can provide the best value to workers in our state."


The legislation comes as workplace tensions grow across the country.


While employees making low wages at companies such as Wal-Mart Stores Inc. and McDonald's Corp. are protesting to demand higher wages, businesses are increasing the number of lockouts they impose on workers. And in the last two years, union supporters have converged on state capitols in Wisconsin, Indiana and Ohio to oppose bills that restricted their power.


Now, labor groups from around the country are watching what happens in Michigan, where labor groups have vowed to overturn the law and vote Snyder out of office by 2014. If Michigan, which voted for President Obama over native son Mitt Romney by 8 percentage points, becomes a right-to-work state permanently, others could follow suit.


"Michigan could prove defining," said Harley Shaiken, a labor expert at UC Berkeley. "What happens here, given the role of unions historically in Michigan, and the larger political implications of right-to-work, could mean a lot."


The bills came as a surprise to many in labor, especially after recent victories at the ballot box. Gov. Snyder had initially said he was not interested in pursuing right-to-work laws, because they affected a relatively small number of Michiganders.


But he said that Proposal 2, a labor-backed referendum on the November ballot, "triggered the dialogue" about labor issues and led him to ultimately support anti-union legislation. The proposal would have enshrined collective bargaining rights in the state's constitution, but it was rejected by voters by a large margin.


"I asked labor leaders not to move forward with the ballot proposal because I knew it could trigger a discussion that could lead to right-to-work being a divisive issue," he said. "Unfortunately, they moved forward, it became divisive, and it was time to step up and take a leadership position."


It's unlikely the Legislature would have had enough votes to pass the bills in January, when the Legislature will still be in Republican control but more moderate, said Roland Zullo, a research scientist at the University of Michigan's Institute for Labor and Industrial Relations. The legislative approval, and Snyder's backing, signal that the partisan discord paralyzing the federal government is present on a local level too.


"There's retribution on many levels here," Zullo said. "It would have been easy for the current political party to walk away and say it is done, but instead, during this lame duck session when they feel they have the votes, they're pushing through a right-to-work law, allowing no debates."


Even before the legislation passed Tuesday, labor leaders were brainstorming ways to reverse the bills. The right-to-work legislation is attached to appropriations bills, so it can't simply be reversed in a referendum. But it could be reversed in a citizen's initiative in 2014, the same year that Snyder would be running for reelection.


"While it was disappointing that Snyder rammed this divisive 'tea party' legislation through we are considering all options that are on the table," said Eddie Vale, a spokesman for the labor-funded Workers' Voice. "Whether it is the available ballot initiative option, or Snyder's reelection itself, he will strongly hear the voices of Michiganders in 2014."


Unions have had mixed results overturning the slate of anti-labor laws that have been passed in the last two years. In Wisconsin, where Gov. Scott Walker signed a bill limiting collective bargaining for public sector employees, the law is still being challenged in various courts. An effort to recall Walker failed.


Labor had more success in Ohio, where Gov. John Kasich signed a bill in early 2011 that restricted collective bargaining rights for public employees. Unions were able to repeal the bill through a referendum in November 2011.


Anger against Kasich and Ohio Republicans may have helped President Obama win in Ohio in November.


Unions are popular in some parts of Michigan, where they had guaranteed pensions, benefits and high wages for decades in the auto industry. Although they were blamed by some for bankrupting the auto industry during the recession, they have regained trust by agreeing to a number of concessions with the Big Three automakers, said Kristin Dziczek, director of the labor and industry group for the Center for Automotive Research.


"A lot of people are currently benefiting from the United Auto Workers' bargaining, or have in the past," Dziczek said.


Conservative groups hailed the passage of the bills as an economic boon for Michigan, which was plagued by some of the highest unemployment rates in the nation during the recession.


"In addition to greater freedom for Michigan's workers, the right-to-work law will provide significant economic benefits for the state's workers and small businesses," Mark Mix, president of the National Right to Work Committee, said in a statement.


Michigan probably won't see the repercussions of the bills for a few years. That's because the right-to-work legislation only goes into effect when unions renegotiate contracts with management. For many autoworkers, that won't happen until 2015.


alana.semuels@latimes.com





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Obama and Boehner get along fine; politics is the problem









WASHINGTON — In summer 2011, negotiations between President Obama and House Speaker John A. Boehner over raising the debt ceiling featured plenty of drama.

There were private grumbles, a very public round of golf, a phone call from the White House that went unreturned and, overall, a lost opportunity to secure a "grand bargain" on spending and taxes.

Now, as high-stakes talks between Obama and Boehner rev up again, the lessons of that summer appear to be producing a new steadiness and comfort level between the two men.

After weeks of private phone calls and public posturing, the Ohio Republican quietly ducked into the White House on Sunday for his first one-on-one meeting with the president since mid-2011. The goal this time: forging a deal to avoid $500 billion in tax increases and spending cuts set to take effect in early January.

The face-to-face session came and went without a flood of leaks or post-meeting spin by either camp. The two sides even issued identical brief statements saying "lines of communication remain open," a far cry from Boehner's public complaint last Friday that prospects for compromise were "nowhere."

Obama had greased Sunday's meeting by giving Boehner a bottle of fine Italian wine — a Brunello di Montalcino — for his birthday on Nov. 17. Red wine was the speaker's drink of choice during the tense talks last year to raise the federal debt ceiling.

Boehner, for his part, didn't just call the president to wish him happy birthday. The son of a barkeeper sang him the first verse of the "Boehner Birthday Song," a three-sentence chant that ends with a Polka-style "Hey!"

"Personality has never been a roadblock to an agreement," said Brendan Buck, a Boehner spokesman. "The two men get along very well."

White House spokesman Jay Carney returned the sentiment: "The president likes and respects Speaker Boehner and looks forward to continuing to work with him."

If a deal falls apart, it probably will be a matter of politics, not personalities.

Members of the Republican right flank are all but certain to revolt if Boehner agrees to the president's proposal to raise taxes on the wealthiest Americans. And Obama will take heavy flack from left-leaning Democrats if he agrees to spending cuts sought by the GOP in Medicare, Social Security and other popular entitlement programs.

For weeks, the president has tried to build public pressure on Republicans. He kept the campaign up on Monday at a diesel engine plant near Detroit, where he suggested he was the one seeking a middle ground.

"I've said I will work with Republicans on a plan for economic growth, job creation and reducing our deficits and that has some compromises between Democrats and Republicans," Obama said. "I understand people have a lot of different views."

But Obama has not tried to go around or embarrass Boehner by seeking support from other Republican lawmakers. Boehner, in turn, has made a concerted effort to tone down the conservative critics in his ranks.

Obama had little one-on-one contact with Boehner, then the House Republican leader, in the first two years of his presidency. As the debt ceiling battle escalated in June 2011, the two men staged their first notable meeting on neutral territory: the golf course at Andrews Air Force Base. Obama and Boehner played on the same team, beating Vice President Joe Biden and Ohio Gov. John Kasich.

"They really made an effort with the theatrics with the golf game, for example, to show a message of reassurance that these people were not blood enemies," said Ross Baker, a professor of American politics at Rutgers University.

The game was followed by secret meetings, and they began to hammer out a $4-trillion "grand bargain" deficit-cutting deal. The talks were torpedoed and resuscitated throughout July. They came to an acrimonious end on July 22, with Boehner accusing Obama of moving the goal posts on new tax revenue.

Obama, appearing on television, groused about being "left at the altar" for the second time that month. Aides said Boehner had not returned the president's phone call.

Instead of a historic bargain, Congress passed a smaller deficit reduction bill at the 11th hour, including automatic across-the-board spending cuts now at play in the "fiscal cliff" talks.

Neither man seems to be holding a grudge — for now.

kathleen.hennessey@latimes.com

melanie.mason@latimes.com

Lisa Mascaro and Michael A. Memoli in the Washington bureau contributed to this report.



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Luke Bryan cleans up at ACAs with 9 awards


Luke Bryan didn't want the American Country Awards to end.


He cleaned up during the fan-voted show, earning nine awards, including artist and album of the year. His smash hit "I Don't Want This Night To End" was named single and music video of the year.


Miranda Lambert took home the second most guitar trophies with three. Jason Aldean was named touring artist of the year. Carrie Underwood won female artist of the year, and a tearful Lauren Alaina won new artist of the year.


Bryan, Aldean, Keith Urban, Lady Antebellum and Trace Adkins with Lynyrd Skynrd were among the high-energy performances.


The third annual ACAs were held at Mandalay Bay in Las Vegas Monday night.


___


Online: http://www.theACAs.com


___


Follow http://www.twitter.com/AP_Country for the latest country music news from The Associated Press.


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Concussion Liability Issues Could Stretch Beyond N.F.L.


Paul Kitagaki Jr./The Sacramento Bee, via Associated Press


Insurers could raise premiums with a higher risk of lawsuits for concussions, like the one 49ers quarterback Alex Smith sustained a month ago.







As the N.F.L. confronts a raft of lawsuits brought by thousands of former players who accuse the league of hiding information about the dangers of concussions, a less visible battle that may have a more widespread effect in the sport is unfolding between the league and 32 of its current and former insurers.




The dispute revolves around how much money, if any, the insurers are obliged to pay for the league’s mounting legal bills and the hundreds of millions of dollars in potential damages that might stem from the cases brought by the retired players.


Regardless of how it is resolved, the dispute could hurt teams, leagues and schools at all levels if insurers raise premiums to compensate for the increased risk of lawsuits from the families of people who play hockey, lacrosse and other contact sports.


The N.F.L., which generates about $9 billion a year, may be equipped to handle these legal challenges. But colleges, high schools and club teams may be forced to consider severe measures in the face of liability issues, like raising fees to offset higher premiums; capping potential damages; and requiring players to sign away their right to sue coaches and schools. Some schools and leagues may even shut down teams because the expense and legal risk are too high.


“Insurers will be tightening up their own coverage and make sports more expensive,” said Robert Boland, who teaches sports law at New York University. “It could make the sustainability of certain sports a real issue.”


The N.F.L. contends that the insurers, some of whom wrote policies in the 1960s, have a duty to defend the league, which has paid them millions of dollars in premiums. The question for the N.F.L. is not whether the insurers are required to help the league, but rather what percent of the league’s expenses each insurer is obliged to cover.


The 32 insurance companies have varying arguments against the league. Some wrote policies for a limited number of years and contend their obligations should also be limited. Others contend they wrote policies for the N.F.L.’s marketing arm — for licensing disputes, for example — not the league itself.


A few of the companies went bankrupt or merged with rivals. Some insurers wrote primary policies that covered up to the first $1 million of claims; the rest insured obligations in excess of that amount.


Creating a formula for how to apportion liability will in some cases depend on the broader case between the league and its players now in federal court in Pennsylvania. If the N.F.L. persuades the judge to dismiss the case, the league will be left trying to recoup its legal costs from the insurers. If the judge allows the players’ case to proceed, the definitions of when, how and whether a player’s concussions led to his illness will become critical in shaping the insurers’ exposure, and could take years to sort out.


“This is baby step 1 in the process for everyone figuring how deep in the soup they are,” said Christopher Fusco, a lawyer who has worked on similar insurance cases but is not involved in the N.F.L. litigation. “Baby step 2 will be to figure out the facts.”


Fusco and other lawyers said the facts would largely come from the underlying suit between the league and the more than 3,000 retired players, including determining when the players sustained the head trauma and their injuries. This will probably be a long process because many of the retired players in the underlying suit, some of whom are now having memory loss, played decades ago, when concussions were often undiagnosed or not recorded.


Many of the insurance companies named in the suits declined to comment, citing the continuing litigation. The N.F.L. also did not comment.


The two-tiered battle between the league and its former players and insurers echoes the litigation stemming from asbestos claims because both cases center on long-tail claims, or injuries that could take years to manifest themselves.


One of the critical points of contention in those cases was how to define an occurrence to determine an insurer’s liability. In the context of the N.F.L. case, the question will be whether a player’s injuries should be treated as a single claim or a series of claims based on the number of concussions he received or the number of seasons he played.


“This is an issue that gets to the crux of asbestos and environmental litigation,” said William M. Wilt, the president of Assured Research, an insurance advisory firm. “If an occurrence is defined as each player and each season he played, you could hit the policy limits multiple times.”


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U.S. selling its remaining stake in AIG









WASHINGTON — The U.S. Treasury said it is selling the rest of its stake in American International Group Inc., in effect closing the books on one of the biggest and most reviled bailouts of the financial crisis that engulfed the world four years ago.


The sale of the Treasury Department's remaining 234 million shares in an offering announced Monday would wipe out the government's 15.9% stake and pad the $15.1-billion profit it has made already from the giant New York insurer.


The Treasury Department still would hold an undisclosed number of warrants in AIG, but taxpayers no longer would own a piece of a company that came to symbolize Wall Street's wild risk-taking during the subprime housing boom.








"In some ways, the AIG collapse was emblematic of the reckless and the deregulatory atmosphere that led up to the crisis," said Phil Angelides, who headed the government commission that investigated the causes of the crisis.


Although the bailout of AIG and the nation's major banks technically turned a profit, critics have said it took an enormous toll on the economy, fueled public anger and showed that some financial institutions were too big to fail.


AIG was at the top of that list.


Its Financial Products division sold billions of dollars in insurance in the form of credit-default swaps and other complex derivatives to companies, which were hedging their investments in the housing market.


When housing collapsed, it threatened to take AIG with it and wipe out conventional life, auto and home insurance policies of millions of customers in the U.S. and around the world.


"If there is a single episode in this entire 18 months that has made me more angry, I can't think of one other than AIG," Federal Reserve Chairman Ben S. Bernanke said during a House hearing in early 2009.


"AIG exploited a huge gap in the regulatory system," Bernanke said. "There was no oversight of the Financial Products division. This was a hedge fund basically that was attached to a large and stable insurance company."


As AIG teetered on the brink of bankruptcy after the collapse of investment bank Lehman Bros. in September 2008, the Fed swooped in to the rescue. It used emergency powers that Congress later eliminated in the 2010 overhaul of financial regulations.


In the panic of the crisis, U.S. officials feared AIG's failure would have seismic ripples through the global financial system.


The Treasury Department soon joined the Fed in pumping money into AIG to keep it afloat. At one point, the government committed more than $182 billion to AIG in a complex, multistep bailout. The company, though, ended up using about $125 billion.


Taxpayers got a 92% ownership stake in AIG. And the unprecedented rescue became a focal point of anger about the crisis.


Lawmakers fumed about AIG's decision to issue millions of dollars in bonuses to Financial Products employees and to fully pay counterparties, including Goldman Sachs Group Inc., Bank of America Corp. and Citigroup Inc., billions of dollars for the insurance on risky subprime investments.


Since its bailout, AIG has been selling assets to stabilize its finances and repay the bailout money.


Late Sunday, AIG said it was selling an 80% stake in International Lease Finance Corp., its Century City aircraft leasing company. A group of Chinese investors agreed to pay about $4.2 billion, with an option to acquire an additional 9.9% stake.


The Treasury Department's stock offering would generate about $7.8 billion in gains based on Monday's $33.36 closing price of AIG shares.


Angelides, a former California state treasurer who co-chaired the Financial Crisis Inquiry Commission that looked into the causes of the disaster, said it was good that taxpayers would no longer own a piece of AIG, but the time it took to unwind the government's stake showed how much of a mess the company had created.


"The fact that the United States government had to put forward $180 billion and had to remain a significant investor in a financial institution the size of AIG speaks to the depths and nature of the crisis we faced four years ago and its long aftershocks," Angelides said.


jim.puzzanghera@latimes.com





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Rise in renewable energy will require more use of fossil fuels









The Delta Energy Center, a power plant about an hour outside San Francisco, was roaring at nearly full bore one day last month, its four gas and steam turbines churning out 880 megawatts of electricity to the California grid.


On the horizon, across an industrial shipping channel on the Sacramento-San Joaquin River Delta, scores of wind turbines stood dead still. The air was too calm to turn their blades — or many others across the state that day. Wind provided just 33 megawatts of power statewide in the midafternoon, less than 1% of the potential from wind farms capable of producing 4,000 megawatts of electricity.


As is true on many days in California when multibillion-dollar investments in wind and solar energy plants are thwarted by the weather, the void was filled by gas-fired plants like the Delta Energy Center.





One of the hidden costs of solar and wind power — and a problem the state is not yet prepared to meet — is that wind and solar energy must be backed up by other sources, typically gas-fired generators. As more solar and wind energy generators come online, fulfilling a legal mandate to produce one-third of California's electricity by 2020, the demand will rise for more backup power from fossil fuel plants.


"The public hears solar is free, wind is free," said Mitchell Weinberg, director of strategic development for Calpine Corp., which owns Delta Energy Center. "But it is a lot more complicated than that."


Wind and solar energy are called intermittent sources, because the power they produce can suddenly disappear when a cloud bank moves across the Mojave Desert or wind stops blowing through the Tehachapi Mountains. In just half an hour, a thousand megawatts of electricity — the output of a nuclear reactor — can disappear and threaten stability of the grid.


To avoid that calamity, fossil fuel plants have to be ready to generate electricity in mere seconds. That requires turbines to be hot and spinning, but not producing much electricity until complex data networks detect a sudden drop in the output of renewables. Then, computerized switches are thrown and the turbines roar to life, delivering power just in time to avoid potential blackouts.


The state's electricity system can handle the fluctuations from existing renewable output, but by 2020 vast wind and solar complexes will sprawl across the state, and the problem will become more severe.


Just how much added capacity will be needed from traditional sources is the subject of heated debate by utility officials, government regulators and policy experts. The concerns are expected to come to a head next year when the state must adopt a 10-year plan for its energy needs.


"This issue is someplace between a significant concern and a major problem," said electricity system expert Severin Borenstein, a professor at UC Berkeley's Haas School of Business. "There is definitely going to be a need for more reserves."


Borenstein said state legislators and the governor did not consider all of the details, such as unleashing this new demand for fossil fuel generators, when they set the 33% mandate for renewable energy. The state now gets 20% of its power from renewables, in part from older hydro and geothermal energy. Gov. Jerry Brown has advocated upping the goal to 40%.


The cost to consumers in the years ahead could be in the billions of dollars, according to industry experts. California's electricity prices are already among the highest in the nation and are projected to rise sharply in coming years. At the moment, the need for reserve power isn't considered a cost of renewable power, though consumers have to bear its costs as well.


The California Independent System Operator, the nonprofit company that runs the grid, estimates that by 2020 the state will need to double its reserve capacity. California now maintains a margin of 7% to 8% above projected daily demand, in case a nuclear power plant goes offline or outages occur. But when 33% of the state's power comes from renewables, that margin will have to rise to 15%, said Stephen Berberich, the firm's chief executive.


Nobody knows whether Berberich's estimate is right or how much the added capacity will cost. The California Energy Commission, which has responsibility for licensing new power plants and forecasting future power demand, said it doesn't have the analytical tools necessary to know how much reserve power will be needed.


"It is frankly in the development stage," said Mike Jaske, the commission's senior policy analyst for electricity supply.


The independent system operator is warning that by 2017 the state will be short by about 3,100 megawatts of flexible power that it can dedicate to meeting reserve needs — about what three nuclear reactors produce. The company is pushing the state Public Utility Commission to require that capacity. The commission has been noncommittal so far.


Solar and wind advocates reject those concerns. They say renewables can provide their own reserve cushion because solar and wind generators will be spread across vast areas of the state. If wind power is down in one region, it might be up in another. If wind power is down statewide, desert sunshine might boost solar.


On the day last month when wind energy provided just 33 megawatts of power statewide, a brilliant sun spiked solar plant output.


The independent system operator "likes to show these frightening graphs for shock value," said Nancy Rader, executive director of the California Wind Energy Assn.


Edward Randolph, director of the Public Utility Commission's energy division, said the independent system operator understandably wants more reserves because its primary focus is on the reliability of the system. The PUC is focused on cost. If there is an immediate problem with reserves, the PUC can order utilities to make more available. And in three to five years, batteries, flywheels or other new technology can provide storage that would make reserves much less necessary, he said.





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