White wall news

Taiwan clears Xiaomi, other smartphone brands of breaching data privacy

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:54:00 +0000

Taiwanese regulators cleared on Tuesday China's Xiaomi Inc [XTC.UL] and other smartphone brands of breaching local data protection laws after national security concerns triggered the government to launch a probe in September.

The National Communications Commission, in a report concluding the investigation, said all the 12 brands it had tested, which include

handsets sold by Apple Inc, Samsung Electronics Co Ltd, LG Electronics Inc and Sony Corp, did not violate the laws.

James Lou, an NCC official who was involved in the testing, said the commission, however, would request mobile phone makers make information transmission more secure.

The probe, which also involved Chinese handset makers Huawei Technologies Co Ltd and ZTE Corp, was a reminder of the scrutiny Chinese technology firms are subject to abroad as governments become increasingly wary of potential cyber security threats from the world's second-biggest economy.

It also highlights Taiwan's sensitivity to security issues involving China, its largest trading partner but one which has never renounced the use of force to take back what it deems a renegade province.

Privately owned Xiaomi, whose budget smartphones are popular throughout Asia, was previously accused of breaching data privacy. In August, the company apologized and said it would change a default feature after a Finnish security company said Xiaomi collected address book data without users' permission.

In September, Taiwan's government began performing independent tests on Xiaomi phones after media reports said that some models automatically send user data back to the firm's servers in mainland China.

The probe was then widened to include local and foreign handsets. The NCC report said handsets made by local firms HTC Corp, Asustek Computer Inc, Far EasTone Telecommunications Co Ltd, Taiwan Mobile Co Ltd and U.S.-based InFocus Corp, whose handsets are made by Taiwan's Hon Hai Precision Industry Co Ltd, were also cleared of breaching the data protection laws.

Reuters

Wall St. recedes from record levels in broad decline

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:47:00 +0000

U.S. stocks edged lower on Tuesday, with major indexes pulling back from record levels as the recent trend of modest moves and low volume continued in the next-to-last trading day of the year.

The day's losses were broad if not especially deep. All ten primary S&P 500 sectors were lower on the day, with utilities .SPLRCU - 2014's best sector performer - leading the

decline with a drop of 0.9 percent, followed by telecom .SPLRCL, which fell 0.4 percent. Both sectors are considered defensive groups.

Equities have been trending to the upside recently, buoyed by strong economic data and the U.S. Federal Reserve's commitment to be "patient" about raising interest rates. After the S&P 500 gained nearly 6 percent over the prior eight sessions, it notched its 53rd record close of the year on Monday, while the Dow just missed extending its streak of positive sessions to eight.

The speed and scale of the rally could push traders to take profits, and volatility could be amplified with many market participants out for the holiday, which depresses volume. The stock market will be closed on Thursday for the New Year's holiday.

"I still like equities, but we’re at a point where valuations are no longer really cheap. I don’t see much that looks inexpensive," said James Liu, global market strategist for JPMorgan Funds in Chicago.

Liu said that investors would typically buy defensive sectors in an environment like the current one, "but those are actually the most expensive. The standard playbook has been turned on its head." He added that he preferred cyclical sectors in 2015.

In the latest economic data, consumer confidence rose slightly less than expected in December, while U.S. single-family home price appreciation slowed less than forecast in October.

NeuroDerm Ltd (NDRM.O) soared 60 percent to $9.88 on heavy volume after it said data from a mid-stage study suggested that a higher dose of its Parkinson's drug could provide an alternative to treatments that require surgery.

Civeo Corp (CVEO.N), which provides temporary housing for oilfield workers and miners, said late Monday it slashed its workforce and forecast revenue could fall by one-third as slumping crude prices force oil producers to cut costs. The stock plunged 51 percent to $4.07 on volume of about 27.4 million shares, making for the most active day in its history.

At 11:00 a.m. the Dow Jones industrial average .DJI fell 48.06 points, or 0.27 percent, to 17,990.17, the S&P 500 .SPX lost 5.28 points, or 0.25 percent, to 2,085.29 and the Nasdaq Composite .IXIC dropped 14.25 points, or 0.3 percent, to 4,792.67.

Declining issues outnumbered advancing ones on the NYSE by 1,677 to 1,235, for a 1.36-to-1 ratio; on the Nasdaq, 1,451 issues fell and 1,090 advanced for a 1.33-to-1 ratio .

The S&P 500 was posting 19 new 52-week highs and 5 new lows; the Nasdaq Composite was recording 69 new highs and 29 new lows.

Reuters

Italian prosecutors order ferry back to Italy

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:44:00 +0000

Italian prosecutors on Tuesday ordered the crippled Greek ferry Norman Atlantic back to Italy as part of a criminal investigation, saying they feared more bodies will be found once the vessel is properly searched given the presence of stowaways and huge discrepancies in the names on the manifest and those rescued.

The fire-tinged vessel was adrift for a third day off the Albanian coast, where two sailors were killed earlier Tuesday when a tow line being deployed apparently snapped, according to Albanian officials.

The coast guard said another body from the ferry was found Tuesday, bringing the toll so far to 11. Three of the dead were Italian truck drivers who worked for the Naples-based Eurofish company and had gone to pick up eel shipments in Greece. The company was closed for the day in mourning.

More than 400 people were rescued from the ferry, most in daring, nighttime helicopter sorties that persisted despite high winds and seas, after a fire broke out before dawn Sunday on a car deck. Both Italian and Greek authorities have announced criminal investigations into the cause of the blaze.

Italian prosecutors secured jurisdiction over the case from Albanian judicial authorities, citing the ship's Italian owner and Italian captain.

Bari prosecutor Giuseppe Volpe, who ordered the ferry back to the Italian port of Brindisi, said it was likely that other bodies will be found in the cargo areas of the ferry once searched, given that there was "incontrovertible" evidence that migrants were stowed away onboard. Two Afghans and a Syrian were among the 49 who disembarked in Bari on Monday morning, one of whom had already asked for political asylum, he said.

"Our fear is that unfortunately once the wreck is recovered, we'll find other dead people on board," he said.

The search for possible missing people continued in the seas off Albania amid ongoing confusion over how many passengers were on board. The ferry company said there were 475 on board, but Volpe said there were at least 18 "overbookings" and an untold number of stowaways.

Greek maritime officials, meanwhile, revealed that the first word about the problems on board the ship came from a passenger, not the crew, calling an emergency number.

"We are aboard the Norman Atlantic of Anek lines heading for Ancona and it is on fire. My name is Argyris Stavros, the ship is on fire and they don't know what to do. I don't know what time it is, what time is it? It's 5:40." according to a recording of the call played out during a news conference.

As an Italian ship with about 180 of the survivors on board headed toward Brindisi, salvage companies were working to secure tow lines to begin moving the ferry, hampered by high winds and seas.

Italian judicial authorities have enlisted the Italian tug company, Barretta, to take charge of bringing the Norman Atlantic ferry to Brindisi. No timeframe was given, but Barretta said it could arrive within a day.

Besides Barretta, the ship owner's insurance company has contracted the Dutch salvage firm Smit to secure the wreck.

Smit spokesman Martijn Schuttevaer said one line was connected by early Tuesday and that the priority was to get a heavier tow line connection, aided by the arrival of larger tugs. It wasn't clear if that was the operation underway when the Albanian sailors were struck.

Schuttevaer said crews were also going through the vessel to extinguish any remaining fire.

"There is still smoke," he said.

But Volpe cautioned that only Barretta was legally responsible for bringing the ferry to Italy. Schuttevaer noted that "prosecutors are not going to pick up the bill for the salvage," and that the ship owner's insurance company would.

A ship carrying 39 survivors was diverted from the southern Italian port of Manfredonia to Taranto because of poor weather, adding another 12 hours or more to their journey to dry land. The survivors include five children and three people who are injured.

U.S. consumer confidence rises in December

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:44:00 +0000

U.S. consumer confidence increased in December, bolstered by a brightening jobs situation that left perceptions about economic conditions at a high last seen in February 2008, according to a private sector report released on Tuesday.

The Conference Board, an industry group, said its index of consumer attitudes rose to 92.6 from an upwardly revised 91.0 the month

before. Economists expected a reading of 93.0 for December, according to a Reuters poll.

November was originally reported as 88.7.

"Consumer confidence rebounded modestly in December, propelled by a considerably more favorable assessment of current economic and labor market conditions," Lynn Franco, director of economic indicators at The Conference Board, said in a statement. "... They are more confident at year-end than they were at the beginning of the year."

The expectations index in December was 88.5 versus November's revised 89.3, and the present situation index rose to 98.6 from a revised 93.7 in November. The present situation index is now at its highest level since February 2008.

The "jobs hard to get" index was 27.7 in December, versus a revised 28.7 the month before.

Reuters

Lawyer says U.S. offered prisoner swap for ex-Marine held in Iran

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:40:00 +0000

A lawyer for an Iranian-American former U.S. Marine jailed in Tehran was reported on Tuesday as saying the United States had sought his release through a prisoner swap, but officials in Washington denied any proposed exchange.

Mahmoud Alizadeh Tabatabai, attorney for former Marine Amir Hekmati, told Iran's semi-official Tasnim News Agency that the United States had made the request and it had been put to Iran's judiciary, which has not yet responded.

"The US has submitted the request via its interest section in Iran," Tabatabai was quoted by Tasnim as saying.

Tabatabai did not say which individual or individuals Washington had proposed to release in return for Hekmati's freedom, adding that the names would be made public at the Iranian judiciary's discretion.

Reuters telephone calls to Tabatabai's office in Tehran went unanswered. State Department deputy spokesperson Marie Harf said Washington had not suggested a prisoner swap.

"The U.S government has not proposed a prisoner exchange for Mr. Hekmati. It is not true," Harf said, calling on the Iranian government to release Hekmati immediately, as well as two other detained U.S. citizens.

Hekmati was arrested in August 2011, his family says, and convicted of spying for the CIA, a charge his relatives and the U.S. government deny. His family says he was detained while visiting his grandmother in Tehran.

He was sentenced to death, but a higher court nullified the penalty in March 2012 and sent the case to another court. Hekmati went on a hunger strike earlier this month to protest his detention.

Hekmati's case is another irritant between Washington and Tehran, who severed relations following Iran's 1979 Islamic Revolution. The United States and other world powers are engaged in sensitive negotiations with Iran over curbing Iran's nuclear program in exchange for easing economic sanctions.

Hekmati served as an infantryman, language and cultural adviser and Arabic and Persian linguist in the U.S. Marine Corps from 2001 to 2005, performing some of his service in Iraq.

Reuters

Michigan gets its man in coach Jim Harbaugh

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:35:00 +0000

The school hired the former Michigan star quarterback Tuesday, just two days after he left his job at coach of the San Francisco 49ers. Husky voiced and grinning, Harbaugh called it a "homecoming" for himself and his family.

"Throughout my life I have dreamed of coaching at the University of Michigan," Harbaugh said in a statement moments before he was introduced at a packed news conference. "Now I have the honor to live it.

The 51-year-old Harbaugh coached the 49ers to three straight NFC championship games. San Francisco lost the 2013 Super Bowl to a Baltimore Ravens team coached by his brother, John. After the 49ers slipped to 8-8 this season and missed the playoffs, he parted ways with the team Sunday in what both sides called a mutual decision.

Now his name is the buzz of the Big Ten.

"He's basically Michigan royalty right now," said former Wolverines quarterback Denard Robinson, now a Jacksonville Jaguars running back. "He's the man right now. I think he's going to do a great job and help out recruiting. He's had success at every school he went to. I think it's a great fit for Michigan."

An expensive one, too, with media reports saying Michigan offered Harbaugh $48 million over six years. Interim athletic director Jim Hackett said Harbaugh had signed a seven-year deal, but didn't immediately disclose full details.

"Out guy came home," Hackett said.

Big Ten Network analyst and former college coach Gerry DiNardo said Michigan, the only school with more than 900 all-time wins, would be bringing in a "rock star" capable of returning the Wolverines to elite status in a short time.

"This gives Michigan a chance to catch up," DiNardo said.

Still, Michigan's new coach has his work cut out for him in a Big Ten East Division that's only getting tougher.

Meyer is preparing the Buckeyes for this week's semifinal against Alabama in the inaugural College Football Playoff. Michigan State's Mark Dantonio has built a program that has staying power. Penn State's James Franklin is a celebrated recruiter who looks to have the Nittany Lions on the rise.

Under Brady Hoke, Michigan dipped to 5-7 this season and was among only four Big Teams to not earn a bowl bid. The Wolverines were 31-20 in Hoke's four seasons and declined steadily after an 11-2 mark in his first year.

Harbaugh went 58-27 overall as a college coach at San Diego and Stanford, including a 29-21 record in four seasons with the Cardinal. He took over a 1-11 team when he was hired in December 2006 and quickly turned the program back into a winner and bowl contender.

Harbaugh's first Stanford team went 4-8 in a season highlighted by a 24-23 win over No. 1 Southern California, a game in which the Cardinal was a 41-point underdog. Stanford was 5-7 the following season, then improved to 8-5 and earned a Sun Bowl berth in 2009 — the school's first bowl appearance since 2001. They won the Orange Bowl with quarterback Andrew Luck his final season.

The 49ers hired Harbaugh four days after the bowl, and he went 44-19-1 with two NFC West titles in four seasons.

Harbaugh is now being looked to as the coach who can finally return Michigan to prominence.

"I think it gives the Big Ten great credibility," said Lou Holtz, the former coach and an ESPN analyst. "I've always felt the real evaluation of a conference is strength of coaches. When you look at the SEC, there's Nick Saban, there was Urban Meyer (at Florida), Steve Spurrier, Mark Richt, Les Miles. Now in the Big Ten you've got an Urban Meyer, a Jim Harbaugh, a Mark Dantonio."

Harbaugh's leadership showed up during his playing days in Ann Arbor. The starting quarterback for three seasons under Schembechler, he is well remembered for delivering a victory he guaranteed over Ohio State in 1986, the same season he was Big Ten player of the year and finished third in Heisman Trophy voting.

He played 15 years in the NFL, earning the nickname "Captain Comeback" for leading fourth-quarter playoff rallies for the Indianapolis Colts. Harbaugh later coached quarterbacks for the Oakland Raiders in 2002-03 before returning to the college ranks.

DiNardo, whose coaching resume includes stops at LSU, Indiana and Vanderbilt, said he doubted Harbaugh would have taken the job if he weren't promised to have full autonomy in running the program.

"You don't pay someone millions of dollars and tell him what jersey number the quarterback should wear," DiNardo said. "This coach has to be left alone, whether that's the size of the recruiting staff or facilities or non-conference schedule. All those decisions have to be Jim Harbaugh's. No one told Bo Schembechler what to do. He sees the big picture."

After guilty plea, NY congressman says he'll resign Jan. 5

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:29:00 +0000

A New York congressman who pleaded guilty to tax evasion just days ago has announced he'll resign from office next week because he would not be able to give the job his full attention anymore.

Republican Rep. Michael Grimm issued a statement late Monday saying he will resign effective Jan. 5.

"The events which led to this day did not break my spirit, nor the will of the voters," he said. "However, I do not believe that I can continue to be 100% effective in the next Congress, and therefore, out of respect for the office and the people I so proudly represent, it is time for me to start the next chapter of my life."

Grimm's guilty plea last week to aiding in the filing of a false tax return came after he was re-elected to his Staten Island seat in November, even though he was under indictment.

Following the plea, Grimm said he would stay in Congress as long as he could.

Grimm reportedly talked with House Speaker John Boehner, R-Ohio, before deciding to step down. Boehner has forced other lawmakers to resign for lesser offenses.

Boehner has not discussed Grimm's future publicly. Boehner spokesman Michael Steel said in an email, "We do not discuss private conversations the speaker has with members."

The new Congress is scheduled to open Jan. 6, and Grimm's presence would have been a distraction for Republicans who will control both the House and the Senate.

House Minority Leader Nancy Pelosi, D-Calif., and the Democratic National Committee had called on Grimm to resign.

A former Marine and FBI agent with support from former New York City Mayor Rudolph Giuliani, Grimm was elected to Congress in 2010, scoring an upset win over first-term Democratic Rep. Michael McMahon.

According to an indictment, the tax fraud began in 2007 after Grimm retired from the FBI and began investing in a small Manhattan restaurant called Healthalicious.

The indictment accused him of underreporting more than $1 million in wages and receipts to evade payroll, income and sales taxes, partly by paying immigrant workers, some of them in the country illegally, in cash.

Sentencing was scheduled for June 8. Prosecutors said a range of 24 to 30 months in prison would be appropriate, while the defense estimated the appropriate sentence as between 12 and 18 months.

After his court appearance, Grimm said he planned to stay in Congress. "As long as I'm able to serve, I'm going to serve," he said.

He also apologized for his actions. "I should not have done it and I am truly sorry for it," he said.

But in his statement Monday, Grimm said he made his "very difficult decision ... with a heavy heart" after much thought and prayer.

The New York Daily News first reported Grimm's plans to give up his seat.

Wreckage, bodies reveal jet's fate days after it disappeared

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:25:00 +0000

Family members of those aboard AirAsia Flight 8501 collapsed in agony Tuesday as images of debris and a bloated body flashed across Indonesian television screens, proof that the plane crashed into the sea two days earlier with 162 people on board.

The low-cost carrier vanished Sunday halfway through a two-hour flight between Surabaya, Indonesia and Singapore after encountering storm clouds, sparking an international hunt with dozens of planes, ships and helicopters.

On the third day of searching, the first signs of the jet were found in shallow, aqua waters only about 10 miles (16 kilometers) from the plane's last known coordinates: A life jacket, an emergency exit door. Parts of the jetliner's

interior, including an oxygen tank, were brought to the nearest town, Pangkalan Bun. Another find included a bright blue plastic suitcase, completely unscratched.

"I know the plane has crashed, but I cannot believe my brother and his family are dead," said Ifan Joko, who lost seven relatives, three of them children, as they traveled to Singapore to ring in the New Year. "... We still pray they are alive."

First Adm. Sigit Setiayanta, Naval Aviation Center commander at Surabaya Air Force base, told reporters six corpses were spotted about 160 kilometers (100 miles) from Central Kalimantan province.

Rescue workers were lowered on ropes from a hovering helicopter to retrieve bodies. Efforts were hindered by 2-meter-high (6-foot) waves and strong winds, National Search and Rescue Director SB Supriyadi said, but the first body was later picked up by a navy ship. Officials said as many as six others followed, but they disagreed about the exact number.

Supriyadi was on the aircraft and saw what appeared to be more wreckage under the water, which was clear and a relatively shallow 20 to 30 meters (65 to 100 feet).

Television coverage of the discovery sent a spasm of pain through the room at the Surabaya airport where relatives were waiting for news, especially as it showed a half-naked man floating in the water, a shirt partially covering his head.

Many screamed and wailed uncontrollably, breaking down into tears while they squeezed each other. One middle-aged man collapsed and had to be carried out on a stretcher.

Their horror at the news was captured by cameras on the other side of windows into the waiting room. To grant traumatized family members privacy, officials blacked out the glass later Tuesday evening.

Around 125 family members were planning to travel to Pangkalan Bun on Wednesday to start identifying their loved ones. Body bags and coffins have been prepared at hospitals there, while dozens of elite military divers will join the massive search. They are desperate to scour the water ahead of approaching rough weather.

The crash caps an astonishingly tragic year for air travel in Southeast Asia, and Malaysia in particular. Malaysia-based AirAsia's loss comes on top of the still-unsolved disappearance of Malaysia Airlines Flight 370 in March with 239 people aboard, and the downing of Malaysia Airlines Flight 17 in July over Ukraine, which killed all 298 passengers and crew.

Nearly all the passengers and crew were Indonesians, who are frequent visitors to Singapore, particularly on holidays.

Haidar Fauzie, 60, said his youngest child and only daughter, Khairunnisa Haidar, was a stewardess who had worked with AirAsia for two years.

On learning about the crash, he struggled to console his grieving wife. They last saw their child six weeks ago, when she returned home on holiday.

"From the start, we already knew the risks associated with being a stewardess," said Fauzie. "She is beautiful and smart. It has always been her dream to fly. We couldn't have stopped her."

Before flying to Surabaya to pay his respects to the families, AirAsia group CEO Tony Fernandes tweeted, "My heart is filled with sadness for all the families involved in QZ 8501. On behalf of AirAsia my condolences to all. Words cannot express how sorry I am."

Fernandes, the founder and the face of AirAsia, and a constant presence in Indonesia since the tragedy started unfolding, said he planned to travel to the recovery site on Wednesday.

"I have apologized profusely for what they are going through," he said of his contact with relatives. "I am the leader of this company, and I have to take responsibility. That is why I'm here. I'm not running away from my obligations."

It is not clear what brought the plane down.

The last communication indicated the pilots were worried about bad weather. They sought permission to climb above threatening clouds, but were denied due to heavy air traffic. Four minutes later, the jet disappeared from the radar without issuing a distress signal.

The plane's cockpit voice and flight data recorders, or black boxes, have yet to be recovered. Scott Hamilton, managing director of aviation consultancy Leeham Co., said in a post on his website that autopsies may provide some of the earliest clues about what happened.

"If death was due to blunt force trauma, this could suggest passengers were alive upon impact with the water," he wrote. "If death came from other circumstances, this could suggest an explosive decompression and in-flight break up occurred."

Several countries rushed to Indonesia to help with search and recovery efforts.

The United States said it was sending the USS Sampson destroyer, joining at least 30 ships, 15 aircraft and seven helicopters in the search for the jet, said Indonesia's Search and Rescue Agency chief Henry Bambang Soelistyo.

A Chinese frigate also was on the way, while Singapore said it was sending two underwater beacon detectors to try to detect pings from the plane's all-important cockpit voice and flight data recorders. Malaysia, Australia and Thailand also are involved in the search.

No health insurance? Penalties to rise in 2015

noreply@blogger.com (3r) — Tue, 30 Dec 2014 17:18:00 +0000

The cost of being uninsured in America is going up significantly next year for millions of people.

It's the first year all taxpayers have to report to the Internal Revenue Service whether they had health insurance for the previous year, as required under President Barack Obama's law. Those who were uninsured

face fines, unless they qualify for one of about 30 exemptions, most of which involve financial hardships.

Dayna Dayson of Phoenix estimates that she'll have to pay the tax man $290 when she files her federal return. Dayson, who's in her early 30s, works in marketing and doesn't have a lot left over each month after housing, transportation and other fixed costs. She'd like health insurance but she couldn't afford it in 2014, as required by the law.

"It's touted as this amazing thing, but right now, for me, it doesn't fit into my budget," she said.

Ryan Moon of Des Moines, Iowa, graduated from college in 2013 with a bachelor's degree in political science and is still hunting for a permanent job with benefits. He expects to pay a fine of $95. A supporter of the health care law, he feels conflicted about its insurance mandate and fines.

"I hate the idea that you have to pay a penalty, but at the same time, it helps other people," said Moon, who's in his early 20s. "It really helps society, but society has to be forced to help society."

Going without health insurance has always involved financial risks. You could have an accident and end up with thousands of dollars in medical bills. Now, you may also get fined. In a decision that allowed Obama's law to advance, the Supreme Court ruled in 2012 that the coverage requirement and its accompanying fines were a constitutionally valid exercise of Congress' authority to tax.

In 2015, all taxpayers have to report to the IRS on their health insurance status the previous year. Most will check a box. It's also when the IRS starts collecting fines from some uninsured people, and deciding if others qualify for exemptions.

What many people don't realize is that the penalties go up significantly in 2015. Only 3 percent of uninsured people know what the fine for 2015 will be, according to a recent poll by the nonpartisan Kaiser Family Foundation.

Figuring out your potential exposure if you're uninsured isn't simple.

For 2014, the fine is the greater of $95 per person or 1 percent of household income above the threshold for filing taxes. It will jump in 2015 to the greater of 2 percent of income or $325. By 2016, the average fine will be about $1,100, based on government figures.

People can get a sense of the potential hit by going online and using the Tax Policy Center's Affordable Care Act penalty calculator.

Many taxpayers may be able to get a pass. Based on congressional analysis, tax preparation giant H&R Block says roughly 4 million uninsured people will pay penalties and 26 million will qualify for exemptions from the list of more than 30 waivers.

But it's unclear whether taxpayers are aware of the exemptions.

Deciding what kind of waiver to seek could be crucial. Some can be claimed directly on a tax return, but others involve mailing paperwork to the Health and Human Services Department. Tax preparation companies say the IRS has told them it's taking steps to make sure taxpayers' returns don't languish in bureaucratic limbo while HHS rules on their waivers.

TurboTax has created a free online tool called "Exemption Check" for people to see if they may qualify for a waiver. Charges apply later if the taxpayer files through TurboTax.

Timing will be critical for uninsured people who want to avoid the rising penalties for 2015.

That's because Feb. 15 is the last day of open enrollment under the health law. After that, only people with special circumstances can sign up. But just 5 percent of uninsured people know the correct deadline, according to the Kaiser poll.

"We could be looking at a real train wreck after Feb. 15," said Stan Dorn, a health policy expert at the nonpartisan Urban Institute. "People will file their tax returns and learn they are subject to a much larger penalty for 2015, and they can do absolutely nothing to avoid that."

The insurance requirement and penalties remain the most unpopular part of the health care law. They were intended to serve a broader purpose by nudging healthy people into the insurance pool, helping to keep premiums more affordable.

Sensitive to political backlash, supporters of the health care law have played down the penalties in their sign-up campaigns. But stressing the positive — such as the availability of financial help and the fact that insurers can no longer turn away people with health problems — may be contributing to the information gap about the penalties.

Dayson, the Phoenix resident, says she's hoping her employer will offer a health plan she can fit into her budget, allowing her to avoid higher fines for 2015.

In Des Moines, recent college graduate Moon has held a succession of temporary local and state government jobs that don't provide affordable coverage. The penalties are on his mind.

"When it gets up to $325, I hope I have a career that actually offers me a good health care plan," he said.

Cuba relations with Catholic Church at high point

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:56:00 +0000

Golden rays of tropical sunlight slant through the caved-in roof of Saint Thomas de Villanueva chapel, illuminating tiles graced by the faces of saints. Vandals shattered the stained-glass windows and scrawled their names on the thick walls during decades of frigid relations between the Roman Catholic Church and Cuba's communist government.

But a new chain-link fence surrounds the building, protecting it for a future that once seemed unimaginable.

The church is planning to restore the building to its former glory, along with more a dozen more churches, parish houses and other buildings, as part of a quiet reconciliation between the Catholic Church and the Cuban government that has brought relations to a historic high point this Christmas. Authorities have also given permission for the construction of the first two new churches in more than five decades.

After years of bridge-building behind closed doors, the Cuba-Vatican rapprochement burst into the headlines last week when the U.S. government credited Pope Francis with helping facilitate the secret reconciliation talks between the U.S. and Cuba. Francis wrote the leaders of both countries to invite them to resolve their differences.

"We ask the Lord to continue moving forward this process of reconciliation and peace that Pope Francis has favored and supported," Cuban Cardinal Jaime Ortega said in his homily at a Christmas Eve Mass in Havana's colonial cathedral.

Church officials and experts said the mediation and the renovation and construction of churches were essential parts of a fundamental shift in the dealings between the church and the communist state, which has been hostile toward religion for decades.

Developments "are heading in the same direction: a new chapter in the general and economic history of Cuba, and also church-state relations," said Enrique Lopez Oliva, a religious historian at the University of Havana.

The church and the Cuban state were in a state of open hostility in the years immediately after the 1959 revolution that put Fidel Castro in power, a time when some anti-Castro militias used churches to store weapons.

Some priests were sent to labor camps. Churches were confiscated and used by the government as warehouses, bakeries, dining halls or schools.

Openly practicing Catholics were barred from holding public office and membership in the Communist Party. For the faithful, even winning admission to a university could be difficult, and the ubiquitous neighborhood watch committees kept an especially watchful eye on them.

But a thaw began in the 1990s as Cuba removed a constitutional clause declaring the country an officially atheist state. Pope John Paul II paid a momentous visit in 1998 and urged a new era of openness between Cuba and the world. After Benedict XVI visited in 2012, Cuba made Good Friday an official holiday.

Christmas decorations are increasingly visible in office buildings and homes each year. However, the church has made little headway in its hope for more access to state-controlled airwaves and permission to run religious schools.

Earlier this year the editors of a church magazine that has been one of the few independent publications in the country resigned, citing internal pressures from some who felt it was becoming too political.

According to a church member with direct knowledge of the matter, the handover of properties was mentioned during negotiations between Castro and Cardinal Ortega in July 2010, when the church mediated the release of a group of jailed dissidents.

The properties include two churches, a parochial house and other real estate that was being used as stores in Santiago, Cuba's second-largest city; two plots of land and a chapel in the Bayamo-Manzanillo Diocesis; and the College of Jesuit Priests, a huge building that occupies more than a city block in Cienfuegos.

"It's a very positive gesture by authorities, restoring to a certain extent what belongs to the church, and above all it creates an atmosphere of trust," the Rev. Jose Felix Perez, adjunct secretary of the Cuban Catholic Bishops' Conference, told The Associated Press. "It's all happening, it must be said, gradually."

Ortega has publicly welcomed Castro's economic and social reforms, which have enabled hundreds of thousands of Cubans to work for small private businesses and made it much easier for islanders to travel overseas. Those reforms have not extended to political change, and the Communist Party is still the only one allowed.

Despite the gradual opening, experts say the percentage of Cubans who are practicing Catholics remains well below that of most of the rest of Latin America. For many Cubans, Christmas is a day off work to hang out with family and neighbors, with no spiritual component whatsoever.

Joel Dopico, president of the Cuban Council of Churches, said other evangelical and Protestant churches are also receiving properties from the state. He had no precise figures, but said the returns were less than what the Catholic Church has gotten.

"I think very highly of this state policy to return some properties," Dopico said. "It is part of the transformations that that are taking place in the country, where more and more the church will be able to carry out its work and support for the community."

CDC worker monitored for possible Ebola exposure in lab error

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:45:00 +0000

A laboratory technician for the U.S. Centers for Disease Control and Prevention has been placed under observation for possible exposure to the deadly Ebola virus due to an apparent mix-up in lab specimens, the Atlanta-based agency said on Wednesday.

The technician, who was working on Monday with Ebola specimens that were supposed to have been inactivated but which may instead

have contained live virus, will be monitored for signs of infection for 21 days, the disease's incubation period, CDC officials said.

The error follows two high-profile cases of mishandled samples of anthrax and avian influenza at the CDC earlier this year that called into question safety practices at the highly respected research institute and drew criticism from Capitol Hill.

CDC spokeswoman Barbara Reynolds told Reuters the technician's risk of exposure to Ebola, even if the virus were active, was believed to be low and that the worker was not being quarantined while under observation.

She said a small number of other CDC employees who entered the lab where the samples in question were handled also "were assessed and none require monitoring."

"There was no possible exposure outside the secure laboratory at CDC and no exposure or risk to the public," the agency said in a statement. Lab scientists discovered on Tuesday what had transpired, and reported it to superiors within an hour, it said.

The problem occurred when active Ebola virus samples were believed to have been mixed up with specimens that had been rendered inactive for further testing in a lower-security lab down the hall, Reynolds said.

When inactivated specimens turned up the next day in storage, lab personnel realized that they apparently had transferred the wrong samples, ones that had contained active virus material, out of the higher-security lab, Reynolds said.

CDC officials could not be certain because the material in question had by then been destroyed and the lower-security lab decontaminated under routine safety procedures, she said.

The technician who handled the samples had worn protective gloves and a gown but not a face mask, she said. Ebola virus is not airborne. In a lab environment, it could be transmitted from a contaminated surface through physical contact that spreads the virus to the eyes, nose or mouth of an individual.

ANTHRAX INCIDENT

The mishap resembled the anthrax incident, in which researchers mistakenly believed they had transferred an inactivated sample of bacteria to a lower-security lab where workers wear less-protective gear. No illnesses resulted from that breach.

Then as now, the CDC temporarily halted the transfer of samples at its high-security labs while it reviewed its protocols.

In July an agency scientist, Dr. Michael Bell, was appointed to a new role overseeing lab safety and a panel of independent experts was formed to advise the institute on such issues.

Bell has since returned to his previous post, Reynolds told Reuters, though she did not say whether anyone else had assumed the lead role for lab safety.

"I am troubled by this incident in our Ebola research laboratory in Atlanta," the CDC director, Dr. Tom Frieden, said of the latest error. "Thousands of laboratory scientists in more than 150 labs throughout CDC have taken extraordinary steps in recent months to improve safety."

The CDC also was criticized by some for not doing more to prepare the U.S. medical establishment to deal with Ebola when a Liberian man visiting Dallas in October was diagnosed with the disease after initially being turned away from a hospital emergency room there.

Two nurses who treated that patient before he died ended up contracting the virus but survived. They are the only two people known to have been infected on U.S. soil during the current Ebola epidemic, which has killed more than 7,500 people, most of them in West Africa.

Reuters

After Sony reversal, 'Interview' draws U.S. moviegoers who trumpet free speech

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:41:00 +0000

"The Interview," the Sony Pictures film about a fictional plot to assassinate North Korean leader Kim Jong Un, opened in more than 300 cinemas across the United States on Christmas Day, drawing sell-out audiences in many theaters where outspoken patrons said they were championing freedom of expression.

Seth Rogen, who co-stars in the low-budget comedy with James Franco, and co-director

Evan Goldberg surprised moviegoers by appearing at the sold-out 12:30 a.m. PT (0830 GMT) screening of the movie at a theater in Los Angeles where they briefly thanked fans for their support.

Sony Pictures this week backtracked from its original decision to cancel the release of the $44 million film after it became the target last month of the most destructive cyberattack ever on a U.S. company. The United States blamed the attacks on North Korea. Major movie chains had refused to release the film after threats of attacks on theaters and audiences by hackers.

But movie theater managers and patrons alike said they believed there was nothing to fear.

Nick Doiron, a 25-year-old engineer from New York's borough of Queens, said he had been planning to stream the movie online, but decided to see it in the Cinema Village theater in New York's Greenwich Village.

"The controversy itself was ridiculous," Doiron said. He said he was interested in North Korean news and had been following the story closely. "I want to be part of the message that this is how censorship ends."

The film is available online in the United States on Google Inc's<GOOGL.) Google Play and YouTube Movie and to customers of Microsoft's Xbox Video, as well as on Sony's own website for the film (www.seetheinterview.com). It can be seen also in Canada on the Sony site, according to Rogen's Twitter feed.

POLICE, FBI INVOLVED

Cinema Village manager Lee Peterson said the New York Police Department planned to have officers outside the theater. He said he had also heard from the Federal Bureau of Investigation, though he declined to provide details of security precautions.

"A week ago we didn't think this was going to happen. Let freedom ring. Nobody's going to tell us what we can or can't see," Peterson said to raucous applause as he addressed the theater's first audience of the day.

There was no visible police presence outside or inside the Cinema Village for Thursday's first screening at 10 a.m. ET (1500 GMT), which was not sold out

In Los Angeles, where the film drew a sell-out crowd for the 12:30 a.m. showing, people who held cups of warm cider as they waited for the theater to open said they came to show support for freedom of speech and freedom of choice.

The movie, which is playing in theaters in major metropolitan areas as well as in smaller cities ranging from Bangor, Maine, to Jasper, Indiana, features Rogen and Franco as journalists who get recruited by the CIA to assassinate the North Korean leader.

Sony decided to release the film after U.S. President Barack Obama, as well as such Hollywood luminaries as George Clooney and Republicans and Democrats in Washington, raised concerns that Hollywood was setting a precedent of self-censorship.

Many of Thursday's screenings sold out within hours on Wednesday as the controversy over the film made it front-page news around the world.

"You know, this is a film I probably would not have come to see but because of the controversy I thought I would come out tonight to stand up for freedom of speech," said Tamsin Hollow, in Los Angeles.

MOVIE FANS HAPPY

Fans who saw "The Interview" called it a great, funny movie.

"It's a farce of the highest level," said Matt Orstein as he left the theater in Los Angeles. "I would equate it to something like 'Airplane!' or 'Hot Shots!' you know. I mean it's funny but it's definitely nothing that could topple a monarchy."

Fans hailed the appearance by Rogen and Goldberg.

"It was a great movie, it was really funny, they did a fantastic job. It was really great that Seth came out, Seth Rogen himself came out and greeted everybody. Hey, go America," said Tom Sopit.

Reuters

Subaru scraps plan to shift Crosstrek production to U.S.: source

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:34:00 +0000

Fuji Heavy Industries (7270.T), the maker of Subaru brand cars and SUVs, has scrapped a plan to shift production of the new XV Crosstrek to its U.S. plant and will instead make the SUV in Japan, a source familiar with the company's production plans said.

Fuji Heavy, which has a policy of making cars in markets where they are sold, decided to make the new vehicle in Japan because of

capacity constraints in Indiana and the relatively high sales price of the crossover SUV, which makes domestic production more viable, the source said.

Pricing for the Crosstrek starts at just under $25,000 for the limited edition and just under $30,000 for the hybrid version.

The company had originally planned to make about 65,000 XV Crosstrek vehicles a year in Lafayette, Indiana, but will instead assemble them at its plant in Gunma prefecture, northwest of Tokyo, according to production plans reviewed by Reuters and a person with knowledge of the situation, who asked not to be named.

The automaker has achieved record-breaking sales in the United States, with a 21 percent surge in the year through November compared with a year earlier.

A Fuji Heavy spokesman said he could not comment on production plans for individual vehicles but said there was no change to the company's overall strategy of localizing production.

Fuji Heavy's decision to keep Crosstrek production in Japan follows moves by other Japanese automakers to shift some production back home as the yen weakens.

Since mid-October, the yen has lost about 11 percent against the U.S. dollar and now trades above 120 per dollar, its lowest since 2007.

Fuji Heavy is planning to begin manufacturing the Crosstrek in Japan around April 2017, the source said.

Toyota Motor Corp (7203.T) announced in late 2013 that it would end its arrangement with Fuji Heavy for producing Camry sedans at the Indiana plant, freeing up capacity for Subaru models.

Toyota is considering moving production of some new Camrys from its Kentucky plant to Japan, sources familiar with the situation told Reuters this week.

Nissan Motor Co (7201.T) CEO Carlos Ghosn told reporters last week that the automaker would take advantage of the weakened yen to return production of its popular Rogue SUV to a Japanese plant for export to the United States.

Reuters

New OT rule in minor-league hockey generating buzz

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:27:00 +0000

This rookie just may be called up from the American Hockey League after catching everyone's attention in an impressive debut.

Sorry, though, it's not the next Sidney Crosby, but a new overtime rule that should allow players like Crosby to showcase their skills even more with the game on the line.

The minor-league organization has long been the place to experiment with new directives, just to see how well they work — or don't work — before the NHL takes a look. Some (oversized blue lines) weren't popular. Others (not being able to change players after an icing call) have been promoted.

The new OT rule possibly could be coming soon to an NHL rink near you.

"It's certainly entertaining for fans and a lot of fun to watch," said David Andrews, the president and CEO of the AHL for the last 21 years.

Currently, the NHL uses a 4-on-4 OT model for five minutes. If no one scores, then it goes to a shootout.

But here's how the extra period works on the AHL level: It's seven minutes long — or until someone scores, of course — with the opening three minutes 4-on-4. Then, after the next whistle, it switches to 3-on-3 for the last four, leading to lots of room for creativity and scoring chances. If that doesn't decide things, it goes to a shootout, a concept that drives many a coach bonkers since it's almost like a skills competition.

That's the thing, though. This new overtime system has cut down significantly on shootouts.

Last year, the AHL had 65 percent of its OT games decided in a shootout, Andrews said. This season, it's shrunk to 25 percent.

Even more, of the 99 overtime games so far, 35 of them have been decided in 3-on-3 action.

Initially hesitant over the newfangled OT ordinance, Roy Sommer, the coach of the AHL Worcester Sharks, has warmed up to the idea. He thinks it would be a big hit with fans and players on the next level.

"If you put your three best NHL players against each other with all that ice and creativity, man, it would be something to watch," said Sommer, one of the all-time winningest AHL coaches. "I know I wouldn't leave."

As for when — or even if — this version of overtime arrives at the NHL level, that's hard to predict. In a statement, the NHL's hockey operations branch said the league follows "the American Hockey League and other leagues closely. ... We're always interested in ways to make an already great game better."

Colorado and Toronto had a 3-on-3 situation in overtime earlier this season after both teams drew penalties. It was riveting as players raced from end-to-end, unable to risk heading to the bench for fear of an odd-man rush going the other way.

"If we did this, there's no way games would go to a shootout," Colorado forward Matt Duchene said. "As much as shootouts are fun to watch, I'm not a big fan of them, because it stinks to finish a game on a non-hockey play.

"But I'd love to see overtime 4-on-4 and then 3-on-3, because it would be amazing."

Chris Wideman can attest to that. The defenseman for the Binghamton Senators has scored two of his 12 goals in overtime this season — one in 3-on-3 and the other on a 4-on-3 power play.

"Lots of odd-man rushes, breakaways," explained Wideman, who's in his third season with the minor-league affiliate of Ottawa. "From the pure entertainment side, you can't beat it. As far as for the players, it's a lot of fun for us. It gives you a chance to show off a little skill."

One possible downside? More ice time for players, which could take its toll over an already grueling regular season.

NBC hockey analyst Eddie Olczyk wouldn't mind seeing something similar to college football's overtime rules. His suggestion is this: One team receives a 4-on-3 power play for two minutes and if it scores, then the opponent gets its chance. The one that stops the other wins.

"If we're trying to get away from the shootout, there are ways of trying to do that," said Olczyk, a former NHL player and coach.

Hey, maybe another test idea for the AHL. But the minor-league outfit isn't just a petri dish for the NHL. A lot of times, it's the AHL that institutes a rule that causes the NHL to take notice and later implement, like the delay penalty for flipping a puck over the glass in the defensive end. Or the trapezoid area behind the goal.

Or, maybe soon, this new OT rule.

"The fans love the shootout," Avs defenseman Erik Johnson said. "But they'd LOVE 3-on-3 in overtime."

Iraq seeks Turkish support in fight against IS

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:22:00 +0000

The Iraqi prime minister says Iraq and Turkey have discussed cooperation in fighting the Islamic State group, including possible Turkish military and intelligence assistance.

Haider al-Adabi told reporters during a visit to the Turkish capital on Thursday that he had provided a list of things Iraq was requesting from Turkey to help fight the militant group, including training Iraqi forces and providing intelligence and arms.

Turkish Prime Minister Ahmet Davutoglu said Turkey was ready to support Iraq but did not elaborate. He said the countries' defense ministries were holding discussions.

Turkey has declared it is willing to train and equip forces fighting IS, but has been reluctant to provide greater support to the U.S.-led coalition. Turkey insists that the coalition must also aim to topple Syrian President Bashar Assad.

UK queen calls for harmony in Christmas message

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:16:00 +0000

Queen Elizabeth II used her traditional Christmas broadcast Thursday to call for reconciliation throughout the United Kingdom and to praise medical workers fighting Ebola in Africa.

She said it will take time to heal divisions in Scotland, where a referendum was held this year on whether to remain part of Britain, and praised progress resolving the conflict in Northern Ireland. Elizabeth cited

the "Christmas truce" in 1914 as an example to be remembered.

"Something remarkable did happen that Christmas, exactly 100 years ago today," she said. "Without any instruction or command, the shooting stopped and German and British soldiers met in No Man's Land. Photographs were taken and gifts exchanged. It was a Christmas truce."

She said German forces sang "Silent Night" so that it could be heard on the British side of the front line.

"That carol is still much-loved today, a legacy of the Christmas truce, and a reminder to us all that even in the unlikeliest of places hope can still be found," the queen said before wishing everyone a happy Christmas.

The queen writes her own Christmas speech, which is pre-recorded and televised in many parts of the world. She made her first Christmas broadcast on radio in 1952.

The queen and her close family celebrated Christmas at the sprawling Sandringham estate in Norfolk.

The royals attended a church service Christmas morning before a gala lunch. Prince William and his pregnant wife Kate were present, but their toddler son, Prince George, didn't go to church.

Kate told one person in the crowd she didn't bring 1-year-old George because he would have made too much noise.

Prince Charles' wife Camilla also didn't attend because of a painful back injury suffered earlier this month, officials said.

The queen arrived by car while the other royals walked from her estate to the village church.

Hundreds of well-wishers lined the route to the church to exchange Christmas greetings with the royals. Some shouted with glee as Prince Harry walked by. One visitor from Spain told reporters she had asked Harry to marry her.

Archbishop of Canterbury Justin Welby cancelled his Christmas sermon because of a severe cold. In a statement he expressed "great regret" about his inability to preach his planned sermon about the true meaning of Christmas.

Church officials said the sermon at Canterbury Cathedral would instead be delivered by the Dean of Canterbury Robert Willis.

Can GOP shatter 'Obama coalition' in 2016?

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:08:00 +0000

Republicans crowed in 2004 that freshly re-elected President George W. Bush had established a "permanent governing majority" for the GOP. Eight years later, Democrats were touting the enduring power of the "Obama coalition" to keep their party in the White House.

But Democrats couldn't sustain that coalition for this year's midterm elections, leading to Republican gains in Congress, governorships and state legislatures nationwide.

"The notion of demographics as destiny is overblown," said Republican pollster and media strategist Wes Anderson. "Just like (Bush aide Karl) Rove was wrong with that 'permanent majority' talk, Democrats have to remember that the pendulum is always swinging."

So how will it swing in 2016? Is the path to 270 electoral votes so fixed that one side just can't win? Do Obama's unpopularity carry over into the next race for the White House? Or will an increasingly diverse electorate pick a Democrat for a third consecutive presidential election for the first time since Franklin Roosevelt and Harry Truman won five straight elections from 1932 to 1948?

Despite Democrats' midterm shellacking and talk of a "depressed" liberal base, many in the party still like their starting position for 2016. Ruy Teixiera, a Democratic demographer, points to a group of states worth 242 electoral votes that Democratic presidential nominee has won in every election since 1992. Hold them all, and the party is just 28 votes shy of the majority needed to win the White House next time.

Obama twice compiled at least 332 electoral votes by adding wins in most every competitive state. He posted double-digit wins among women, huge margins among voters younger than 30 and historically high marks among blacks and Latinos.

As non-white voters continue to grow as a share of the electorate, a Democratic nominee that roughly holds Obama's 2012 level of support across all demographic groups would win the national popular vote by about 6 percentage points and coast in the Electoral College, Teixeira estimates.

"Could a Republican win? Sure," Teixeira said. "But they have to have a lot of different things happen."

What if the GOP is able to continue its gains among non-white voters? Obama, after all, lost ground in 2012 among most demographic measures, compared to his 2008 performance. Those slides helped make him the first president since World War II to win re-election with a lower popular vote total than he got in his initial victory.

A GOP nominee such as the Spanish-speaking Jeb Bush, a proponent of comprehensive immigration reform, has the potential to capture significantly more than the 27 percent of the Latino vote that Mitt Romney claimed in 2012. Meanwhile, Republicans hope African-Americans make up a smaller share of the electorate with Obama no longer atop the ballot.

"We're not talking about winning those groups, but these elections are fought on the margins, so improvements here and there can make a difference," Anderson said.

Republicans acknowledge that demographic shifts make it more difficult than in years past for the GOP nominee to depend on white voters, who cast 87 percent of presidential ballots in 1992 and just 72 percent in 2012.

At the same time, Democrats have watched white voters, particularly those without a college degree, move away from the party during Obama's presidency — and not just in the conservative South. Obama lost this group by about 26 points in 2012, according to exit polls and other analyses. By this November, his Gallup approval rating among the group stood at 27 percent.

Extending that trend into 2016 could push Ohio, Wisconsin, Iowa and New Hampshire into the GOP column. Whites also could tip Florida, Virginia and Colorado, although non-white voters in those states hold more influence than in the Midwest and northeast. Those seven states, plus all won by Romney in 2012, would give the GOP a winning total of 295 electoral votes.

It should be noted that path to 270 requires any potential GOP president to win Florida, with its 29 electoral votes. And while it's mathematically possible for a Republican to win without Ohio's 18 electoral votes, no GOP nominee has ever done so, and Republican strategists widely acknowledge the state as essential.

Of course, further analysis of the raw numbers alone ignores the potential of the candidates themselves to shape the election — not to mention dramatic changes in the economy, national security events or other developments that fall outside the control of any candidate.

"Presidential elections don't take place in a vacuum," Anderson said. "It's an adversarial system in which their side has a face and our side has a face, and everything flows from that."

Obama personal chef to hang up apron after 6 years

noreply@blogger.com (3r) — Thu, 25 Dec 2014 17:03:00 +0000

Political advisers, chiefs of staff, press secretaries and national security advisers have come and gone in the nearly six years Barack Obama has been president. Now, the White House chef is also waving goodbye.

Sam Kass has been a fixture at the executive mansion, serving up nutrition policy as well as meals for Obama, his wife, Michelle, and daughters Malia and Sasha. He was not only their personal chef but also senior adviser for nutrition policy, giving him a seat at the table where administration officials hashed out everything from updated food labels to new requirements for healthier school lunches.

Kass, a newlywed, is leaving the White House at the end of the month, but don't ask him what the Obamas like or don't like to eat. "Top secret," he said.

"I love this family and believe in everything the president and first lady are doing and this has been the greatest job of my life and I assume will be the greatest job of my life," the 34-year-old said in an interview. "But I'm going to be with my wife. Once you're married you kind of need to be together."

Kass' wife, MSNBC host Alex Wagner, is based in New York City.

Kass' relationship with the Obamas started when they hired him to cook healthier meals for the family in Chicago before the 2008 elections. Michelle Obama was a vice president at the University of Chicago Medical Center and caring for young daughters, while Obama was a U.S. senator spending most of his time in Washington.

But the relationship sprouted well beyond the professional. Besides Kass' tireless work for Mrs. Obama, for whom he wore a third hat as executive director of her anti-childhood obesity campaign, Kass sometimes traveled with Obama and joined his weekend or vacation golf outings. Obama, in turn, blocked out several hours on his busy schedule to attend Kass' late-August wedding.

Obama said Kass "has grown from a close friend to a critical member of my team" and has left "an indelible mark on the White House." Mrs. Obama praised Kass' "extraordinary legacy of progress," which she said includes healthier food options in groceries, more nutritious school lunches and initiatives to improve how food is marketed to kids.

Unlike any White House chef before him, Kass helped make decisions with far greater potential consequences than whether the president's veggies, which Kass often plucked from the first lady's garden on the South Lawn, should be steamed or sautéed.

The school lunch changes have led Mrs. Obama into a public spat with the School Nutrition Association, an industry-backed group that represents school cafeteria workers and food companies that sell to schools. The group has lobbied Congress to weaken the standards, arguing they are a burden on financially pinched districts and a big reason why kids are throwing their lunches into the garbage.

A House Republican-led effort to allow some districts to ignore the new lunch standards altogether failed to advance in Congress, but requirements for more whole grains in school foods will be eased instead. The fight over the broader standards is expected to heat up again next year when Republicans, who are sympathetic to the association's arguments, will control both houses of Congress.

Nutrition advocates say anyone who hopes these issues will disappear with Kass will be disappointed.

"This administration is very committed to nutrition and obesity prevention. That commitment runs very deep," said Margo Wootan, a nutrition lobbyist for the Center for Science in the Public Interest, who has pushed for healthier school meals.

Despite her group's issues with the lunch standards, Patricia Montague, the School Nutrition Association's chief executive, said Kass and "Let's Move" played "an important role in promoting healthier lifestyles for children both at school and at home."

Kass will stay involved with "Let's Move," Mrs. Obama's anti-childhood obesity initiative, along with broader efforts to improve childhood nutrition, the White House said.

Testifying to Kass' commitment, former colleague Kristina Schake said Kass spent weekends living the work he did at the White House, including visiting farms, farmers markets and food purveyors. "He can talk about different types of lettuce the way other men talk about sports teams," she said.

Kass said his big plan after leaving the White House is to get some sleep, and "I guess I'll also be the chef for my wife."

While some former White House chefs welcomed Kass' extra-culinary activities, one said Kass was an unnecessary staff addition.

"There is no need for two chefs in the White House. One is enough," said Roland Mesnier, who spent 25 years there as executive pastry chef. He was referring to executive chef Cristeta Comerford, who likely would have prepared Obama's meals had Kass not come along. She handles menus for official White House entertaining, such as state dinners.

Dow tops 18,000 on GDP report

noreply@blogger.com (3r) — Tue, 23 Dec 2014 18:57:00 +0000

U.S. stocks rose for a fifth straight session on Tuesday, with the Dow climbing above 18,000 for the first time ever after an unexpectedly strong report on economic growth.

Both the Dow and S&P 500 hit intraday records, and the S&P is on track for its 51st record close of 2014. The gains pushed the Dow as high as 18,051.14, and the blue-chip index is now up about 175 percent from a 12-year low hit on March 9, 2009.

The final estimate for third-quarter U.S. economic growth was revised up to a 5 percent annual pace, its quickest in 11 years and easily topping expectations calling for growth of 4.3 percent.

"Everyone is surprised, and I'm definitely pleased," said Wayne Kaufman, chief market analyst at Phoenix Financial Services in New York. "How can inflation be so low when GDP is so high? Either this is just a one-off and GDP will fall back dramatically, or we'll see a pickup in inflation, which could put more pressure on the Fed."

The report spurred a broad rally, with nine of the ten primary S&P 500 sectors higher on the day. The only group to fall was healthcare .SPXHC, down 2.5 percent alongside a massive drop in biotech stocks.

The Nasdaq biotech index .NBI fell 5.4 percent, its biggest one-day decline since April 10. Components of the index made up the top six percentage decliners on the S&P; Celgene Corp (CELG.O) fell 8 percent to $104.49 while Biogen (BIIB.O) lost 6.6 percent to $329.14 and Regeneron Pharmaceuticals (REGN.O) lost 6 percent to $388.

Gilead Pharmaceuticals (GILD.O) fell 4.5 percent to $88.70, extending Monday's drop of 14 percent, which came after Express Scripts (ESRX.O) said it would abandon covering Gilead's hepatitis C treatment in favor of a cheaper option.

"This is just a kneejerk reaction, based on a bear thesis that Express Scripts will start to dictate prices," said Kaufman. "I don't see how this is any different than any other company in another sector getting more competition. Soon people will go through the stocks one-by-one to see which got oversold."

At 1:10 p.m. (1810 GMT) the Dow Jones industrial average .DJI rose 99.21 points, or 0.55 percent, to 18,058.65, the S&P 500 .SPX gained 5.72 points, or 0.28 percent, to 2,084.26 and the Nasdaq Composite .IXIC dropped 12.25 points, or 0.26 percent, to 4,769.17.

In addition to the GDP report, data showed a solid rise in consumer spending while consumer sentiment hit its highest level in nearly eight years. Separately, durable goods orders unexpectedly fell in November while new home sales fell for a second straight month.

Trading volume is expected to be light this week due to the Christmas holiday, which could increase volatility. U.S. equity markets will open for an abbreviated session Wednesday and be closed on Thursday.

Advancing issues outnumbered declining ones on the NYSE by 2,086 to 932, for a 2.24-to-1 ratio on the upside; on the Nasdaq, 1,463 issues rose and 1,222 fell for a 1.20-to-1 ratio favoring advancers.

The benchmark S&P 500 index was posting 113 new 52-week highs and 5 new lows; the Nasdaq Composite was recording 164 new highs and 42 new lows.

Reuters

Sony statement on limited release of 'The Interview'

noreply@blogger.com (3r) — Tue, 23 Dec 2014 18:48:00 +0000

Sony Pictures Entertainment issued the following statement Tuesday on releasing 'The Interview' in a limited number of US movie theaters on Thursday:

"We have never given up on releasing 'The Interview' and we're excited our movie will be in a number of theaters on Christmas Day," said Michael Lynton, Chairman and CEO of Sony Entertainment. "At the same time, we are continuing our efforts to secure more platforms and more theaters so that this movie reaches the largest possible audience."

"I want to thank our talent on 'The Interview' and our employees, who have worked tirelessly through the many challenges we have all faced over the last month. While we hope this is only the first step of the film's release, we are proud to make it available to the public and to have stood up to those who attempted to suppress free speech."

Bengals beat Broncos 37-28 to reach playoffs

noreply@blogger.com (3r) — Tue, 23 Dec 2014 18:43:00 +0000

With everything on the line, the Bengals picked off Peyton Manning in the closing minutes — twice, no less — and ran themselves right back into the playoffs.

One breakthrough win gave them a chance for another.

Dre Kirkpatrick returned Manning's third interception of the game for a touchdown

in the closing minutes on Monday night, completing a rain-soaked rally for a 37-28 victory over the Denver Broncos and a spot in the playoffs.

The Bengals (10-4-1) secured a playoff berth for the fourth consecutive season, a franchise record. They'll play in Pittsburgh next Sunday night, with the winner taking the AFC North title.

And then, Cincinnati will get yet another chance to break one of the longest playoff droughts in NFL history — no postseason victory since the 1990 season. First, they go to Pittsburgh to determine when and where they'll play.

"Well, we have another hump day next week," coach Marvin Lewis said.

Kirkpatrick's 30-yard return with 2:41 left capped a game of big plays — long runs, big kick returns and two interceptions run back for scores. With 67 seconds left, Kirkpatrick picked off Manning again to clinch it.

"I'm not saying I knew he was going to do that," Kirkpatrick said. "The guy changes plays. He's a first-ballot Hall of Famer. When he came back to my side, I was waiting for the ball."

Manning rallied the Broncos (11-4) to three touchdowns in the third quarter and a lead, but finished with a season-high four interceptions. The loss handed New England home-field advantage throughout the playoffs.

"I shouldn't have thrown it," said Manning, who was 28 of 44 for 311 yards with two touchdowns. "Four interceptions, you're not going to beat many good football teams."

The AFC West champions failed in their attempt to clinch a first-round bye and came away with more questions about Manning, who was limited in practice during the week because of a strained right thigh.

Denver scored 21 points in the third quarter, with Manning throwing a pair of touchdowns to Emmanuel Sanders. With a chance to pull off his 51st game-winning drive in a heavy rain, Manning threw a sideline pass directly to Kirkpatrick, who ran it back untouched.

Manning had been 8-0 career against the Bengals with 20 touchdown passes and only five interceptions. He nearly matched that total in one game.

Demaryius Thomas had seven catches for 115 yards, setting a club record with his ninth 100-yard game of the season.

Andy Dalton settled down after a huge early mistake — an overthrown pass that Aqib Talib returned for a touchdown — and rookie Jeremy Hill led a dominating running game that finished with 207 yards overall. Hill had an 85-yard touchdown run with 147 overall, going over 1,000 for the season.

Hill played a starring role in the Bengals' playoff drive.

"I know a lot of guys are never fortunate enough to make the playoffs," said Hill, a second-round pick from LSU. "In college, I wanted to play for a national championship but never got the chance."

The Monday night win was a breakthrough for the Bengals, who had been blown out in their two prime-time games this season and came in 18-41 all-time at night. They have one more left in Pittsburgh next Sunday.

The dominant running game immensely helped Dalton, who is 3-6 all-time in prime time. He started badly again on Monday, overthrowing A.J. Green for an interception that Talib returned 33 yards for a touchdown. Dalton finished 17 of 26 for 146 yards with two touchdowns and the one interception.

"You can't let one bad play hurt you more than just that one bad play," Dalton said.

Green was hit in the right upper arm on the interception and was in and out of the game the rest of the way. He was held without a catch for only the second time in his career.

NOTES: Broncos safety T.J. Ward left in the fourth quarter with a neck injury. He'll be reevaluated in Denver. ... C.J. Anderson ran for 83 yards, also putting him over 1,000 for the season. ... Thomas joined Marvin Harrison and Jerry Rice as the only players with three straight seasons of 1,400 yards receiving and 10 touchdown catches. ... Eric Winston made his first start at right tackle for the Bengals, who signed him Dec. 2. ... Hill is the third rookie in NFL history with four games of at least 140 yards rushing, joining Eric Dickerson (1983) and Curtis Martin (1995), according to STATS.

NY police union leader well known for his bite

noreply@blogger.com (3r) — Tue, 23 Dec 2014 18:36:00 +0000

Patrick Lynch was hollering.

Standing outside a Brooklyn hospital after the bodies of two slain police officers were taken away, the head of the nation's largest police union railed against Mayor Bill de Blasio for failing to support the rank-and-file, enabling protesters and creating a climate of mistrust that allowed the tragedy to happen.

"That blood on the hands starts at the steps of City Hall, in the office of the mayor," Lynch said. "After the funerals, those responsible will be called on the carpet and held accountable."

Such theatrics aren't new for the excitable, amped-up Lynch. But his ongoing war of words with the mayor in recent weeks is a notch up even for him.

Just days before Officers Wenjian Liu and Rafael Ramos were shot to death in their car, Lynch had suggested officers sign a petition barring the mayor from attending their funerals should they die on the job.

And after a grand jury's decision not to indict a white police officer in the chokehold death of Eric Garner, an unarmed black man whose confrontation with police was videotaped, Lynch was incensed when the mayor mentioned how he often fears for the safety of his biracial son in his interactions with police.

"Police officers," Lynch said, "feel like they are being thrown under the bus."

Lynch is the face — and the mouth — of the Patrolmen's Benevolent Association, representing 24,000 officers. He's stood at podiums across the city since 1999 to defend officers accused of brutality, abuse of authority and deaths in custody. He uses words like "mopes," ''mutts" and "skells" to describe those who attack police. He shakes the hand of every officer he sees. And right now, he says, the police are feeling terrible.

"It is an odd time, and it's a very difficult time, because it seems like here in New York that the problems people believe society has are being laid at the feet of New York City police officers," he said in an interview shortly before the shootings.

De Blasio, a Democrat serving his first term as mayor, said flatly Monday he thought Lynch's recent comments were wrong and divisive and he did not believe all officers agreed with them. The mayor said he has a long record of support for the police and was trying to transcend the sniping and strike a unifying tone.

Lynch's recent remarks have set off a hail of criticism online and in the streets, where people say he's adding to the problem. But the way Lynch sees it, the all-time lows in crime in the city now give residents the luxury to criticize the police.

"People are forgetting how dangerous it was, the risks we took to make the city safe," he said.

It wasn't like that when he came on the job in 1984 as a patrolman in the Williamsburg section of Brooklyn, then a wasteland of warehouses and drug dens but now among the trendiest parts of the city, with giant condominiums, glitzy clubs and expensive restaurants.

Lynch, 51, was born and raised in a traditional Irish-Catholic family in the Bayside neighborhood in Queens, the youngest of seven children. He went to Monsignor Scanlan High School, where he met his wife, with whom he has two grown sons, both police officers.

Lynch's father was a motorman with the city's Metropolitan Transportation Authority, and he initially worked there before joining the NYPD. He became a union delegate and eventually ran for president. He is up for re-election for a fifth time next year. His mother died around the time of the grand jury's decision — he left a news conference to go to her wake.

His public battle with de Blasio, with volleys coming from both sides, is unprecedented, he says, because the mayor isn't giving police support publicly or in continued contract negotiations. Other mayors may have criticized police or been stingy with salaries, he says, but not both at the same time. The city and police are currently in binding arbitration.

Some of Lynch's supporters have said the rhetoric must be toned down.

Before the shooting, NYPD Commissioner William Bratton said he knows and respects Lynch but accused him and other leaders of taking "cheap shots" at the mayor to advance their own agendas. But after the shooting, police at the hospital turned their backs on the mayor — a stunning display of defiance — and Bratton conceded de Blasio was losing support among some officers.

In an op-ed piece in the Daily News, Cardinal Timothy Dolan called it "unfair and counterproductive to dismiss our mayor and other leaders as enemies of the police." And activists denounced any effort to derail the protests or blame demonstrations for the shooting deaths.

"This weekend, Patrick Lynch used his role as the president of the largest police union in New York to essentially declare war on black communities," said a statement by a dozen groups. "This is unacceptable and should be condemned."

But Lynch said he's speaking out for the rank-and-file, whose morale was low and has only plummeted.

"These ideas and issues aren't created at PBA headquarters," Lynch said. "They come from the ground up. The anger is palatable."

Cuban dissidents shaken by U.S. rapprochement, seek new tactics

noreply@blogger.com (3r) — Tue, 23 Dec 2014 18:32:00 +0000

President Barack Obama's decision to end five decades of enmity with Cuba has shaken the island's political dissidents, dividing their ranks and forcing them to rethink tactics.

Throughout the Cold War and beyond, the United States relied on the small dissident movement to lead domestic opposition to Cuba's communist government and keep track of human rights abuses.

    So after Obama last week tore up the tough, decades-old policy aimed at crippling Cuba, some dissidents feel betrayed and unsure of their movement, which infuriates the government and has limited public support.

    The United States will still encourage Cubans to push for more political rights but it now has its own direct channel to President Raul Castro's government, raising uncertainty about the dissidents' future value to the Americans.

While some dissident leaders welcomed the policy shift for stripping Cuba's government of excuses for economic shortages and strict political control, others complained the deal was negotiated without their knowledge and against their will.

    "President Obama has made a mistake," said Berta Soler, leader of the Ladies in White, a largely Roman Catholic group that has protest marches each Sunday. "This is going to benefit the Cuban government, strengthening and equipping its repressive machine."

While her group was marching on the streets, enduring harassment and detention, the U.S. government was engaged in secret talks with Havana over the past 18 months.

Guillermo Fariñas, who was detained like clockwork at 38 consecutive weekly protests outside his home this year in the city of Santa Clara, was even more blunt.

"I feel betrayed," said Fariñas, who was bothered by the secrecy of the talks and said the views of dissidents were discounted. "I know some people are offended by that word, but I use it on purpose."

Fariñas was in the minority during a landmark meeting of 29 dissidents from across Cuba who gathered for 10 hours on Monday at the office of 14ymedio, the news and opinion website of prominent blogger Yoani Sanchez.

Soler did not attend. Other senior dissident leaders either welcomed Obama's policy shift or accepted it as a reality beyond their control.

In a joint statement, they applauded the prisoner swap that allowed the release of U.S. foreign aid worker Alan Gross and more than 50 unidentified Cuban prisoners.

A U.S. official described the freed Cubans as political prisoners, but the dissidents have yet to confirm any of their people were released, leaving them wondering who exactly the United States fought to get free.

SEEKING UNITY

Participants in the meeting said they aired their differences inside but then agreed to present a united front. Reporters and diplomats were banned and all 29 dissidents placed their cell phones in a basket for the entire 10 hours.

Veteran leader Elizardo Sanchez declined to define the sharpest points of disagreement, but said they all recognized that Obama's move required a new approach to pressuring the government and seeking popular support.

"With this change, the discourse of the government has to change, and so does ours ... Now is the time for us to readjust our tactics due to the changing political scene," Sanchez said.

They have only just started thinking about what those tactics might be.

Cuba's government routinely accuses dissidents of being "mercenaries" of the U.S. government and many Cubans are skeptical about their motives, believing they are driven by the modest economic aide afforded by foreign groups.

Still, Jose Daniel Ferrer, leader of the Patriotic Union of Cuba, said he was optimistic. "There's a new dynamic and we think it will be very positive for the future of Cuba."

The 29 reaffirmed their demands for multiparty elections, the release of all political prisoners and respect for the United Nations' Universal Declaration of Human Rights.

But the discord from the Ladies in White was notable.

Images of Cuban police roughing up the Ladies in White at demonstrations have raised their profile, placing them among the most celebrated dissidents in the United States, along with Yoani Sanchez.

She has yet to offer strong opinions about the U.S. policy change, but other young dissidents have decided to embrace it.

"The worst thing we can do is cry about what happened," said Eliecer Avila, 29, the leader of Somos Mas (We Are More). "We should take Raul and Obama at their word. There was never a better opportunity than now for us bring our peoples together, and this is an opportunity we should not pass up."

Reuters

Wall Street edges up after three-day run; Gilead slumps

noreply@blogger.com (3r) — Mon, 22 Dec 2014 15:57:00 +0000

U.S. stocks were modestly higher on Monday, after the benchmark S&P 500 notched its best weekly performance in nearly two months, as a sharp drop in Gilead Sciences reined in broader gains.

Gilead Sciences (GILD.O) slumped 9.9 percent to $97.71 as the biggest drag on both the S&P and Nasdaq 100 .NDX indexes. Express Scripts (ESRX.O), the nation's largest pharmacy

benefit manager, has lined up a cheaper price from AbbVie Inc (ABBV.N) for its newly approved hepatitis C treatment and, in most cases, will no longer cover Gilead's treatments.

"That is very specific to Gilead, so that one is getting crushed, but it shouldn’t necessarily set a completely negative tone over the rest of the market, there is no reason for it," said Ken Polcari, director of the NYSE floor division at O’Neil Securities in New York.

"The market has had a decent move the last couple of days, so anything could cause people to take a little money off the table."

The benchmark S&P index .SPX rose 3.4 percent last week, boosted by a 5 percent jump over three sessions, after the U.S. Federal Reserve said it would take a "patient" approach toward raising interest rates and oil prices appeared to stabilize. The S&P energy index .SPNY surged nearly 10 percent for the week.

Brent crude LCOc1 hit a high of $62.97 and WTI crude rose to as much as $58.53 but reversed gains and turned lower after Saudi Arabia indicated it could increase its output. Brent was last down 54 cents at $60.84 while U.S. crude was last off 1.6 percent at $56.24. [O/R]

The Dow Jones industrial average .DJI rose 84.7 points, or 0.48 percent, to 17,889.5, the S&P 500 .SPX gained 2.68 points, or 0.13 percent, to 2,073.33 and the Nasdaq Composite.IXIC added 11.64 points, or 0.24 percent, to 4,777.02.

Housing shares were lower after existing home sales slumped 6.1 percent to an annual rate of 4.93 million units, the lowest level since May. The PHLX housing sector index lost 0.5 percent.

Achillion Pharmaceuticals Inc (ACHN.O) said it would test a combination of two of its experimental hepatitis C drugs which showed promise in separate studies. Its shares surged 17 percent to $16.63.

Caesars Entertainment Corp (CZR.O) said it would merge with affiliate Caesars Acquisition (CACQ.O) in an all-stock deal. Caesars Entertainment jumped 20 percent to $16.18 while Caesars Acquisition rose 8.1 percent to $10.23.

U.S. stocks were modestly higher on Monday, after the benchmark S&P 500 notched its best weekly performance in nearly two months, as a sharp drop in Gilead Sciences reined in broader gains.

Gilead Sciences (GILD.O) slumped 9.9 percent to $97.71 as the biggest drag on both the S&P and Nasdaq 100 .NDX indexes. Express Scripts (ESRX.O), the nation's largest pharmacy benefit manager, has lined up a cheaper price from AbbVie Inc (ABBV.N) for its newly approved hepatitis C treatment and, in most cases, will no longer cover Gilead's treatments.

"The market has had a decent move the last couple of days, so anything could cause people to take a little money off the table."

Housing shares were lower after existing home sales slumped 6.1 percent to an annual rate of 4.93 million units, the lowest level since May. The PHLX housing sector index lost 0.5 percent.

Achillion Pharmaceuticals Inc (ACHN.O) said it would test a combination of two of its experimental hepatitis C drugs which showed promise in separate studies. Its shares surged 17 percent to $16.63.

Reuters

China condemns cyberattacks, but says no proof North Korea hacked Sony

noreply@blogger.com (3r) — Mon, 22 Dec 2014 15:48:00 +0000

China said on Monday it opposed all forms of cyberattacks but there was no proof that North Korea was responsible for the hacking of Sony Pictures, as the United States has said.

North Korea has denied it was to blame and has vowed to hit back against any U.S. retaliation, threatening the White House and the Pentagon. The hackers said they were incensed by a Sony comedy about a fictional assassination of North

Korean leader Kim Jong Un, which the studio has pulled.

China made no reference to calls by the United States for joint action with it and other countries to counter any similar cyberattacks.

"Before making any conclusions there has to be a full (accounting of) the facts and foundation," foreign ministry spokeswoman Hua Chunying said. "China will handle it in accordance with relevant international and Chinese laws according to the facts."

She said Chinese Foreign Minister Wang Yi "reaffirmed China's relevant position, emphasizing China opposes all forms of cyberattacks and cyber terrorism" in a conversation with U.S. Secretary of State John Kerry on Sunday.

China is North Korea's only major ally, and would be central to any U.S. efforts to crack down on the isolated state. But the United States has also accused China of cyber spying in the past and a U.S. official has said the attack on Sony could have used Chinese servers to mask its origin.

South Korea, which is still technically at war with North Korea, said computer systems at its nuclear plant operator had been hacked and non-critical data stolen, but there was no risk to nuclear installations or reactors.

"It's our judgment that the control system itself is designed in such a way and there is no risk whatsoever," Chung Yang-ho, deputy energy minister, told Reuters by telephone.

He made no mention of North Korea and could not verify messages posted by a Twitter user claiming responsibility for the attacks and demanding the shutdown of three aging nuclear reactors by Thursday.

U.S. President Barack Obama and his advisers are weighing how to punish North Korea after the FBI concluded on Friday it was responsible for the attack on Sony.

It was the first time the United States had directly accused another country of a cyberattack of such magnitude on American soil and set up the possibility of a new confrontation between Washington and Pyongyang.

"SYMMETRIC COUNTERACTION"

North Korea's state news agency said it did not know who had hacked Sony Pictures.

"We do not know who or where they are but we can surely say that they are supporters and sympathizers with the DPRK," the KCNA news agency said. The Democratic People's Republic of Korea is the North's official name.

"Our toughest counteraction will be boldly taken against the White House, the Pentagon and the whole U.S. mainland, the cesspool of terrorism, by far surpassing the 'symmetric counteraction' declared by Obama," it said in a typically aggressive commentary.

Japan, one of Washington's closest Asian allies, said it strongly condemned the attack on Sony, but also stopped short of blaming North Korea.

"Japan is maintaining close contact with the United States and supporting their handling of this case," Chief Cabinet Secretary Yoshihide Suga told a news conference.

He did not answer when asked if Japan was convinced North Korea was behind the cyber attack, but repeated that he saw no effect on talks with North Korea over the fate of Japanese citizens abducted by Pyongyang agents decades ago.

Obama put the hack in the context of a crime.

"No, I don't think it was an act of war," he told CNN's "State of the Union" show that aired on Sunday. "I think it was an act of cyber vandalism that was very costly, very expensive. We take it very seriously. We will respond proportionately."

The hack attack and subsequent threats of violence against theaters prompted Sony to withdraw the comedy, "The Interview," which had been due for release during the holiday season.

Republican Senator John McCain disagreed with Obama, telling CNN the attack was the manifestation of a new kind of warfare.

Republican Representative Mike Rogers, chairman of the House Intelligence Committee, would not call the hacking an act of war. But he did criticize Obama for embarking on a two-week vacation in Hawaii on Friday without responding to the attack.

"You've just limited your ability to do something," Rogers said.

"I would argue you're going to have to ramp up sanctions. It needs to be very serious. Remember - a nation-state was threatening violence."

Reuters