Art and Commerce Meet in Miami Beach


Katie Orlinsky for The New York Times


Visitors at the V.I.P. opening of Art Basel Miami Beach.







MIAMI — Mera Rubell was taking time out from greeting the hundreds of visitors at her family’s sprawling contemporary art center here to vent.




“It’s the height of arrogance to dismiss — — ,” she began.


Jason, her son, interrupted: “It’s arrogance. It’s a completely uninteresting story.”


For the moment her husband, Don, had given up on trying to get a word in.


The Rubells, deans of Miami’s bustling art scene, were pushing back against a chorus of complaints that has been growing louder in the weeks leading up to Art Basel Miami Beach, the annual art pilgrimage that began Wednesday and ends Sunday.


Prominent art writers and critics, including Sarah Thornton, Felix Salmon, Will Gompertz and Dave Hickey, have been attacking the art world, arguing that the staggering sums of money being spent on works are distorting judgments about art and undermining its long-term cultural significance.


“Money talks loudly and easily drowns out other meanings,” Ms. Thornton wrote in TAR magazine in a recent article, “Top 10 Reasons NOT to Write About the Art Market.”


In its special edition for the opening day of the fair, The Art Newspaper asked whether “the art world is facing a crisis of values” because of the “pernicious influence of the market on art.”


And in the eyes of many critics, Art Basel Miami Beach — or what Simon Doonan, writing in Slate last week, labeled a “promo-party cheese-fest” — has become a symbol of everything that’s wrong with the art market. The fair’s extraordinary success in just over a decade, and its celebration of wretched excess, have triggered a backlash.


But the Rubells, along with a growing number of other prominent collectors, art dealers and curators, are having none of it. The backlash against the backlash has begun.


“The market supports artists,” Jason Rubell said. Given the limited amount of government support for the arts, he added, “it’s an industry that without commerce doesn’t exist. What do people want — to go back to the recession?”


Ms. Rubell was annoyed that critics seemed to ignore the social, economic and cultural transformation of Miami that the fair and collectors like her have helped bring about. She noted that the Rubells’ 45,000-square-foot art center — where one huge gallery is now filled with works by Oscar Murillo, a 26-year-old Colombian immigrant who lived with and was supported by the Rubells while he created dozens of mural-sized canvases — used to be a Drug Enforcement Administration storage center.


Outside, in the center’s courtyard, visitors like Martha Stewart admired the French artist Bernar Venet’s collaboration with Bugatti, the superluxury sports car brand, on a one-of-a-kind Veyron Grand Sport Venet car (a price hasn’t been set, a Bugatti spokeswoman said, but will undoubtedly be in “the higher end of the millions”).


“I’m grateful to Bugatti, Perrier, Bank of America and other companies,” Ms. Rubell declared. “Their support helps facilitate quality programs and opens exhibits like this” — the Murillo show — “to the public.”


In Miami Beach, at the main fair, the consumer-oriented glitter abounds this week: coffee carts with $20-a-glass Ruinart Champagne; Davidoff cigar rollers; BMW’s artist-designed cars; and Takashi Murakami’s $70,000-and-up commissioned portraits. One could almost imagine that the Barbara Kruger work on display at L&M gallery — a super-sized sign reading “Greedy” on one line and an unprintable expletive on the next — had an invisible subtitle telling the wealthy V.I.P.’s who had come to shop, “I’m Talking to You — Yeah, You!”


Of course, rich patrons have always supported artists, Don Rubell pointed out, from the pharaohs to the Medicis. Today, multimillion-dollar sales represent only a silk-thin layer of a deeply varied and thriving art market. The art world, Mr. Rubell asserted, is “actually becoming more democratic.”


“There’s 20 ancillary fairs” in addition to the high-end main event of Art Basel, he said. “Whatever amount of money you have in your pocket, you can enter this magical world of art.”


The notion that the art market contains multitudes is one with which Marc Glimcher, part of the family dynasty that runs the Pace Gallery, said he agreed.


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Justices to Take Up Generic Drug Case





WASHINGTON — The Supreme Court said on Friday that it would decide whether a pharmaceutical company should be allowed to pay a competitor millions of dollars to keep a generic copy of a best-selling drug off the market.







Stephen Crowley/The New York Times

Ralph Neas, head of the Generic Pharmaceutical Association, said the case would alter the marketing of new generics.







The case could settle a decade-long battle between federal regulators, who say the deals violate antitrust law, and the pharmaceutical industry, which contends that they are really just settlements of disputes over patents that protect the billions of dollars they pour into research and development.


Three separate federal circuit courts of appeal have ruled over the last decade that the deals were allowable. But in July a federal appeals court in Philadelphia — which covers the territory where many big drug makers are based — said the arrangements were anticompetitive.


Both sides in the case supported the petition for the Supreme Court to decide the case, each arguing that the conflicting appeals court decisions would inject uncertainty into their operations.


By keeping lower-priced generic drugs off the market, drug companies are able to charge higher prices than they otherwise could. Last year, the Congressional Budget Office estimated that a Senate bill to outlaw those payments would lower drug costs in the United States by $11 billion and would save the federal government $4.8 billion over 10 years.


Senator Charles E. Grassley, an Iowa Republican who co-sponsored the Senate bill, which never came to the floor for a vote, praised the decision.


The Federal Trade Commission first filed the suit in question in 2009. Jon Leibowitz, chairman of the F.T.C., said, “These pay-for-delay deals are win-win for the drug companies, but big losers for U.S. consumers and taxpayers.”


Generic drug makers say that the payments preserve a system that has saved American consumers hundreds of billions of dollars.


“This case could determine how an entire industry does business because it would dramatically affect the economics of each decision to introduce a new generic drug,” Ralph G. Neas, president of the Generic Pharmaceutical Association, said in a statement. “The current industry paradigm of challenging patents on branded drugs in order to bring new generics to market as soon as possible has produced $1.06 trillion in savings over the past 10 years.”


The case will review a decision by the United States Court of Appeals for the 11th Circuit, based in Atlanta, which in the spring ruled in favor of the drug makers, Watson Pharmaceuticals and Solvay Pharmaceuticals. Watson had applied for federal approval to sell a generic version of AndroGel, a testosterone replacement drug made by Solvay.


While courts have long held that paying a competitor to stay off the market creates unfair competition, the pharmaceuticals case is different because it involves patents, whose essential purpose is to prevent competition.


When a generic manufacturer seeks approval to market a copy of a brand-name drug, it also often files a lawsuit challenging a patent that the drug’s originator says prevents competition.


Last year, for the third time since 2003, the 11th Circuit upheld the agreements as long as the allegedly anticompetitive behavior that results — in this case, keeping the generic drug off the market — is the same thing that would take place if the brand-name company’s patent were upheld.


Two other federal circuit courts, the Second Circuit and the Federal Circuit, have ruled similarly. But in July, the Third Circuit Court of Appeals said that those arrangements were anticompetitive on their face and violated antitrust law.


The agreements are also affected by a peculiar condition in the law that legalized generic competition for prescription drugs. That law, known as the Hatch-Waxman Act, gives a 180-day period of exclusivity to the first generic drug maker to file for approval of a generic copy and to file a lawsuit challenging the brand-name drug’s patent.


Brand-name drug companies have taken advantage of that law, finding that they can settle the patent suit by getting the generic company to agree to stay out of the market for a period of time. Because that generic company also has exclusivity rights, no other generic companies can enter the market.


Michael A. Carrier, a professor at Rutgers School of Law-Camden, said that while there were provisions in the law under which a generic company could forfeit that exclusivity, “they really are toothless in practice.”


One wild card could still prevent the Supreme Court from definitively settling the question. In granting the petition to hear the case, the Supreme Court said that Justice Samuel A. Alito Jr. recused himself, taking no part in the consideration or decision.


That opens the possibility that a 4-4 decision could result, upholding the lower court case that went against the F.T.C. and in favor of the drug makers. But it would leave the broader question for another day.


The case is Federal Trade Commission v. Watson Pharmaceuticals et al, No. 12-416.


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IHT Rendezvous: Romany Were European 500 Years Earlier Than Previously Thought

LONDON — The Romany people constitute Europe’s largest and, arguably, now its most persecuted minority.

A new genetic study published this week suggests their ancestors arrived in Europe from northwestern India in a single wave around 1,500 years ago, half a millennium earlier than previously thought.

The international authors of the peer-reviewed paper in Current Biology journal said their study is the most comprehensive ever of the demographic history of the Romany. They said it reveals the origins of a people who “constitute a mosaic of languages, religions, and lifestyles while sharing a distinct social heritage.”

Scientific American noted that earlier studies of the Romany language and cursory analysis of genetic patterns had determined India was the group’s place of origin. But the new study points to a single migration from northwestern India around 500 CE.

Previous studies largely overlooked the place of Europe’s 11 million Romany in the Continent’s gene pool. That was partly a consequence of their continued isolation and marginalization, and partly due to a history of oppression that in many countries continues to this day.

The prejudice has historically been most evident in Eastern European countries with large Romany populations. But recent tensions have spread, including to Romany families seeking a new life in the west.

In one incident in late September, a mob in Marseille, France set fire to an encampment of 35 foreign Roma. As many as 20,000 foreign Roma are said to live in France, most of them Romanians or Bulgarians.

Thousands were deported and their encampments razed during the presidency of Nicolas Sarkozy, as my colleague Scott Sayare recalled in an article in August, although François Hollande, his successor, has promised to better integrate the newcomers into French society.

A more activist Romany population has found a voice, however, showing it is no longer prepared to take the old prejudices lying down.

Some even reject the word Gypsy because of its historically negative connotations, a perception borne out when Lindsay Lohan used the term last week as an allegedly racial slur during a nightclub altercation.

Romany protestors last year turned out in Rome to demand better living conditions after four children died in a fire that destroyed their illegal camp.

And Romany families last month won a pledge from the Czech education ministry that it would finally end widespread discrimination against their children in schools after a landmark 2007 case in the European Court of Human Rights.

The European Roma Rights Center, based in Budapest, is active in pushing similar cases in European courts to combat anti-Romany racism.

My colleague Chris Cottrell wrote in October of continuing discrimination in a report on a ceremony in Berlin to unveil a memorial commemorating an estimated half million Romany who died in the Holocaust.

He quoted Chancellor Angela Merkel of Germany saying, “Let’s not beat around the bush. Sinti and Roma suffer today from discrimination and exclusion.”

The latest genetic study may at least contribute to establishing the Romany’s rightful place in European history — for the last millennium and a half.

The scientists, who revealed a strong admixture of non-Romany genes in northern and western countries during their migrations, said further studies would help define the identity of their Indian ancestors and provide further details of their migration and subsequent history in Europe.

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Steven A. Cohen Is Absent at Art Basel Miami Beach


Katie Orlinsky for The New York Times


Art Basel’s V.I.P. opening this week in Miami Beach, as seen through Olafur Eliasson’s kaleidoscopic installation “Your Shared Planet.”







MIAMI BEACH — The opening of Art Basel Miami Beach, under way here this week, looked like the start of the most glamorous doorbuster sale in history, with hundreds of V.I.P.’s streaming into the convention center wearing high-end resort casual, ready to rummage through more than 200 of the world’s most prestigious galleries.




Among the shoppers were prominent collectors like Peter Brant, the newsprint executive, who strolled with the actor Owen Wilson. At the Gagosian Gallery booth, P. Diddy gave a hug to the casino mogul Steve Wynn beside a $2 million sculpture by Roy Lichtenstein.


But one notable titan of this realm was missing: Steven A. Cohen, the hedge fund billionaire, who in less than six years has acquired one of the market’s richest troves, with works by Manet, Monet, Jackson Pollock, Andy Warhol and Damien Hirst, to cite just a few.


In recent weeks, his name has surfaced with the legal troubles of Mathew Martoma, whom federal prosecutors have accused of insider trading while working at Mr. Cohen’s firm in Connecticut, SAC Capital Advisors. Mr. Cohen has not been charged with any wrongdoing, but there has been speculation that the government hopes to leverage the case against Mr. Martoma into charges against Mr. Cohen.


Does that possibility worry luminaries in the art world? A quick survey of gallerists, advisers and collectors suggests it depends on whom you ask. Plenty of people doubt that Mr. Cohen will ever be in genuine jeopardy and others think that even if he is, the art market now has so many well-heeled players that the absence of one buyer wouldn’t have a notable impact.


Then there were the gallery owners who had sold works to Mr. Cohen. As a general rule, the more business they have conducted with the man, the more worried they are likely to be.


“It’s disconcerting,” said Timothy Blum, co-owner of Blum & Poe, a gallery in Los Angeles. “We’re talking about a lot of liquid,” he added, meaning money. “A lot of liquid. I’ve never calculated it out, but he’s responsible for a significant percent of our business.”


For Mr. Blum and other elite gallery owners, there is sincere dread at the notion, however remote, that Mr. Cohen may one day be sidelined. Known in the securities world for astounding investment returns and an occasionally volcanic temper, he is described by dealers as the ideal collector — warm, dedicated, eager to take home the best pieces and unafraid to spend what it takes.


“We would absolutely hate to have him not active in the market, I can wholeheartedly say that,” said David Zwirner, who owns a gallery that bears his name in the Chelsea section of Manhattan. “This man is a friend of mine. I called him last week — ‘How are you? What’s going on?’ I think the art world is rooting for him. I’m rooting for him. I wish he were here right now.”


Two years ago, Mr. Cohen arrived at Mr. Zwirner’s booth in the opening minutes of the V.I.P. preview day and dropped $300,000 on a work by Adel Abdessemed, an Algerian-born artist who lives in Paris. Within the hour, Mr. Cohen had reportedly spent an additional $180,000 at Blum & Poe for a work by Tim Hawkinson called “Bike.”


The fair didn’t officially open until Thursday, but on Wednesday the convention center was already radiating an air of unabashed opulence. Cavernous, and crammed with product, the place is a kind of Costco for the rich, where the prices range from a low of a few thousand dollars to a high of “we don’t give out that information.” Women pushing carts handed out free flutes of Ruinart Champagne, the official Champagne of Art Basel Miami Beach.


Will Ferrell, the comedian, was one of handful of celebrities in the crowd. Wearing mirrored aviator sunglasses and sporting a green shirt with “Ireland” emblazoned on the back of the neck, he said he already knew what he wanted.


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Question Mark: Sense of Taste Changes With Age





They are a ghastly orange color when they tumble out of their crinkly package with its flamelike logo, and salt mines and chemical plants may come to mind when you eat the first one, but, man, those tortilla chips are tasty. Or maybe it’s just that you can actually taste them. Because sorry, Charlie: as we get older, there may come a time when we find ourselves drawn not to food with good taste or food that tastes good but simply to food that has any flavor at all.




Blame your aging taste buds, if you want. You’ll probably be wrong, but there are a lot more of them (about 9,000) to point the finger at than the likely real culprit, your nose. “When people talk about their taste, they’re really talking about the smell rather than the taste,” said Dr. Scott P. Stringer, chairman of the otolaryngology department at the University of Mississippi Medical Center.


As it happens, taste buds do diminish as people get older, usually starting at 40 to 50 in women and 50 to 60 in men (why later for them is unknown). And those that remain do not, so to speak, step up to the plate to make up for their departed colleagues. No, they begin to atrophy, and sometime around age 60, people may notice that they have lost some taste sensation, usually beginning with salty and sweet tastes and then bitter and sour ones.


But it is the changes in the nose that really matter. Among them, said Dr. Stringer, a member of the American Academy of Otolaryngology – Head and Neck Surgery, are a decrease in the number of sensor cells that detect aromas. These cells routinely die out and are replaced, but in older people the replacement process does not work as well.


There are also declines in the nerves that carry the signals to the brain, and in the olfactory bulb, which processes them. Beyond that, the sense of smell may also be diminished by a reduction in the amount of mucous that is produced, a thinning of the nose lining and hormonal changes. (Some diseases, injuries to the head and some medicines may also affect smell.)


The decrease in the sense of smell and taste occurs gradually, and many people do not realize what is happening. Some never realize any change at all, researchers have found after studying subjects who said their sense of smell was fine but were unable to detect some aromas.


In some cases, if the loss of smell is severe enough, it can pose serious risks. A study published in 2006 in Science of Aging Knowledge Environment found that 45 percent of the elderly subjects tested could not detect the warning odor in natural gas. Food may also become less appealing, leading to nutrition problems among older people who stop eating as much as they should.


Then there are those who, in a quest for flavor, may seek out foods higher in salt and sugar. This can make other health conditions worse. To say nothing about those orange fingertips.


Questions on aging? E-mail boomerwhy@nytimes.com


You can follow Booming via RSS here or visit nytimes.com/booming.


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Apple to Resume U.S. Manufacturing





For the first time in years, Apple will manufacture computers in the United States, the chief executive of Apple, Timothy D. Cook, said in interviews with NBC and Bloomberg Businessweek.




“Next year, we will do one of our existing Mac lines in the United States,” he said in an interview to be broadcast Thursday on “Rock Center With Brian Williams” on NBC.


Apple, the biggest company in the world by market value, moved most of its manufacturing to Asia in the late 1990s. As an icon of American technology success and innovation, the California-based company has been criticized in recent years for outsourcing jobs abroad.


“I don’t think we have a responsibility to create a certain kind of job,” Mr. Cook said in the Businessweek interview. “But I think we do have a responsibility to create jobs.”


The company plans to spend $100 million on the American manufacturing in 2013, according to the interviews, a small fraction of its overall factory investments and an even tinier portion of its available cash.


In the interviews, Mr. Cook suggested the company would work with partners and that the manufacturing would be more than just the final assembly of parts. He noted that parts of the company’s ubiquitous iPhone, including the “engine” and the glass screen, were already made in America. The processor is manufactured by Samsung in Texas, while Corning makes the glass screen in Kentucky.


Over the last few years, sales of the iPhone, iPod and iPad have overwhelmed Apple’s line of Macintosh computers, the basis of the company’s early business. Revenue from the iPhone alone made up 48 percent of the company’s total revenue for its fiscal fourth quarter ended Sept. 30.


But as recently as October, Apple introduced a new, thinner iMac, the product that pioneered the technique of building the computer innards inside the flat screen.


Mr. Cook did not say in the interviews where in the United States the new manufacturing would occur. But he did defend Apple’s track record in American hiring.


“When you back up and look at Apple’s effect on job creation in the United States, we estimate that we’ve created more than 600,000 jobs now,” Mr. Cook told Businessweek. Those jobs include positions at partners and suppliers.


Steve Dowling, a spokesman for Apple, declined on Thursday to provide additional details on Apple’s plans, referring to Mr. Cook’s interviews.


Apple has for years done the final assembly of some Macs in the United States, mainly systems that customers buy with custom configurations, like bigger hard drives and more memory than on standard machines.


Mr. Cook’s statements suggested Apple is planning to build more of the Mac’s ingredients domestically, although with partners. He told Businessweek that the plan “doesn’t mean that Apple will do it ourselves, but we’ll be working with people, and we’ll be investing our money.”


While Apple’s products are typically made in Asian factories owned by other companies, Apple itself often purchases the sophisticated manufacturing equipment required to make its cutting-edge designs, spending billions of dollars a year on such machines.


Foxconn Technology, which manufactures more than 40 percent of the world’s electronics, is one of Apple’s main overseas manufacturing contractors. Based in Taiwan, Foxconn is China’s largest private employer, with 1.2 million workers, and it has come under intense scrutiny over working conditions inside its factories.


In March, Foxconn pledged to sharply curtail the number of working hours and significantly increase wages. The announcement was a response to a far-ranging inspection by the Fair Labor Association, a monitoring group that found widespread problems — including numerous instances where Foxconn violated Chinese law and industry codes of conduct.


Apple, which recently joined the labor association, had asked the group to investigate plants manufacturing iPhones, iPads and other devices. A growing outcry over conditions at overseas factories prompted protests and petitions, and several labor rights organizations started scrutinizing Apple’s suppliers.


Almost all of the 70 million iPhones, 30 million iPads and 59 million other products Apple sold in 2011 were manufactured overseas. Apple employs 43,000 people in the United States and 20,000 overseas. An additional 700,000 people engineer, build and assemble iPads, iPhones and Apple’s other products, mostly abroad.


At a meeting with Silicon Valley executives in 2011, President Obama asked Steven P. Jobs, then the Apple chief executive, what it would take to make iPhones in the United States. Mr. Jobs, who died later that year, told the president, “Those jobs aren’t coming back.”


Nick Wingfield contributed reporting.


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Antismoking Outlays Drop Despite Tobacco Revenue





Faced with tight budgets, states have spent less on tobacco prevention over the past two years than in any period since the national tobacco settlement in 1998, despite record high revenues from the settlement and tobacco taxes, according to a report to be released on Thursday.







Paul J. Richards/Agence France-Presse — Getty Images

State antismoking spending is the lowest since the 1998 national tobacco settlement.







States are on track to collect a record $25.7 billion in tobacco taxes and settlement money in the current fiscal year, but they are set to spend less than 2 percent of that on prevention, according to the report, by the Campaign for Tobacco-Free Kids, which compiles the revenue data annually. The figures come from state appropriations for the fiscal year ending in June.


The settlement awarded states an estimated $246 billion over its first 25 years. It gave states complete discretion over the money, and many use it for programs unrelated to tobacco or to plug budget holes. Public health experts say it lacks a mechanism for ensuring that some portion of the money is set aside for tobacco prevention and cessation programs.


“There weren’t even gums, let alone teeth,” Timothy McAfee, the director of the Office on Smoking and Health at the Centers for Disease Control and Prevention, said, referring to the allocation of funds for tobacco prevention and cessation in the terms of the settlement.


Spending on tobacco prevention peaked in 2002 at $749 million, 63 percent above the level this year. After six years of declines, spending ticked up again in 2008, only to fall by 36 percent during the recession, the report said.


Tobacco use is the No. 1 cause of preventable death in the United States, killing more than 400,000 Americans every year, according to the C.D.C.


The report did not count federal money for smoking prevention, which Vince Willmore, the vice president for communications at the Campaign for Tobacco-Free Kids, estimated to be about $522 million for the past four fiscal years. The sum — about $130 million a year — was not enough to bring spending back to earlier levels.


The $500 million a year that states spend on tobacco prevention is a tiny fraction of the $8 billion a year that tobacco companies spend to market their products, according to a Federal Trade Commission report in September.


Nationally, 19 percent of adults smoke, down from over 40 percent in 1965. But rates remain high for less-educated Americans. Twenty-seven percent of Americans with only a high school diploma smoke, compared with just 8 percent of those with a college degree or higher, according to C.D.C. data from 2010. The highest rate — 34 percent — was among black men who did not graduate from high school.


“Smoking used to be the rich man’s habit,” said Danny McGoldrick, the vice president for research at the Campaign for Tobacco-Free Kids, “and now it’s decidedly a poor person’s behavior.”


Aggressive antismoking programs are the main tools that cities and states have to reach the demographic groups in which smoking rates are the highest, making money to finance them even more critical, Mr. McGoldrick said.


The decline in spending comes amid growing certainty among public health officials that antismoking programs, like help lines and counseling, actually work. California went from having a smoking rate above the national average 20 years ago to having the second-lowest rate in the country after modest but consistent spending on programs that help people quit and prevent children from starting, Dr. McAfee said.


An analysis by Washington State, cited in the report, found that it saved $5 in tobacco-related hospitalization costs for every $1 spent during the first 10 years of its program.


Budget cuts have eviscerated some of the most effective tobacco prevention programs, the report said. This year, state financing for North Carolina’s program has been eliminated. Washington State’s program has been cut by about 90 percent in recent years, and for the third year in a row, Ohio has not allocated any state money for what was once a successful program, the report said.


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Antismoking Outlays Drop Despite Tobacco Revenue





Faced with tight budgets, states have spent less on tobacco prevention over the past two years than in any period since the national tobacco settlement in 1998, despite record high revenues from the settlement and tobacco taxes, according to a report to be released on Thursday.







Paul J. Richards/Agence France-Presse — Getty Images

State antismoking spending is the lowest since the 1998 national tobacco settlement.







States are on track to collect a record $25.7 billion in tobacco taxes and settlement money in the current fiscal year, but they are set to spend less than 2 percent of that on prevention, according to the report, by the Campaign for Tobacco-Free Kids, which compiles the revenue data annually. The figures come from state appropriations for the fiscal year ending in June.


The settlement awarded states an estimated $246 billion over its first 25 years. It gave states complete discretion over the money, and many use it for programs unrelated to tobacco or to plug budget holes. Public health experts say it lacks a mechanism for ensuring that some portion of the money is set aside for tobacco prevention and cessation programs.


“There weren’t even gums, let alone teeth,” Timothy McAfee, the director of the Office on Smoking and Health at the Centers for Disease Control and Prevention, said, referring to the allocation of funds for tobacco prevention and cessation in the terms of the settlement.


Spending on tobacco prevention peaked in 2002 at $749 million, 63 percent above the level this year. After six years of declines, spending ticked up again in 2008, only to fall by 36 percent during the recession, the report said.


Tobacco use is the No. 1 cause of preventable death in the United States, killing more than 400,000 Americans every year, according to the C.D.C.


The report did not count federal money for smoking prevention, which Vince Willmore, the vice president for communications at the Campaign for Tobacco-Free Kids, estimated to be about $522 million for the past four fiscal years. The sum — about $130 million a year — was not enough to bring spending back to earlier levels.


The $500 million a year that states spend on tobacco prevention is a tiny fraction of the $8 billion a year that tobacco companies spend to market their products, according to a Federal Trade Commission report in September.


Nationally, 19 percent of adults smoke, down from over 40 percent in 1965. But rates remain high for less-educated Americans. Twenty-seven percent of Americans with only a high school diploma smoke, compared with just 8 percent of those with a college degree or higher, according to C.D.C. data from 2010. The highest rate — 34 percent — was among black men who did not graduate from high school.


“Smoking used to be the rich man’s habit,” said Danny McGoldrick, the vice president for research at the Campaign for Tobacco-Free Kids, “and now it’s decidedly a poor person’s behavior.”


Aggressive antismoking programs are the main tools that cities and states have to reach the demographic groups in which smoking rates are the highest, making money to finance them even more critical, Mr. McGoldrick said.


The decline in spending comes amid growing certainty among public health officials that antismoking programs, like help lines and counseling, actually work. California went from having a smoking rate above the national average 20 years ago to having the second-lowest rate in the country after modest but consistent spending on programs that help people quit and prevent children from starting, Dr. McAfee said.


An analysis by Washington State, cited in the report, found that it saved $5 in tobacco-related hospitalization costs for every $1 spent during the first 10 years of its program.


Budget cuts have eviscerated some of the most effective tobacco prevention programs, the report said. This year, state financing for North Carolina’s program has been eliminated. Washington State’s program has been cut by about 90 percent in recent years, and for the third year in a row, Ohio has not allocated any state money for what was once a successful program, the report said.


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McAfee Antivirus Software Pioneer Arrested in Guatemala City





MEXICO CITY — The antivirus software pioneer John McAfee was arrested in Guatemala City on Wednesday after he slipped over the border from his home in Belize where police want to question him in their investigation of the murder of his neighbor.







Jorge Dan Lopez/Reuters

John McAfee spoke during an interview in Guatemala City on Wednesday.








The interior minister, Mauricio Lopez Bonilla, told The Associated Press that Mr. McAfee, 67, had been arrested on charges of entering Guatemala illegally. He said that Mr. McAfee had been arrested at a hotel in the capital and taken to a detention center for migrants who are in the nation illegally.


Mr. McAfee had been on the run for almost a month since his neighbor, Gregory Faull, on the Belizean island of Ambergris Caye was found dead at his home on Nov. 11. Police there cited Mr. McAfee as a “person of interest” in their investigation, but Mr. McAfee disapppeared.


But he did not disappear from the Internet. He kept up a continuous stream of comment on his blog and on Twitter, accusing the Belizean authorities of persecuting him.


On Tuesday, he resurfaced in Guatemala, dressed in a suit, his blond curls dyed dark brown.


Accompanied by his 20-year-old Belizean girlfriend, Samantha Venagas, and his Guatemalan lawyer, Telésforo Guerra, Mr. McAfee said that he would seek political asylum in Guatemala. Mr. Guerra, a former Guatemalan attorney general, told reporters at a chaotic news conference outside the Supreme Court that his client was being persecuted because he refused to pay Belizean authorities off any longer.


Mr. McAfee has not been associated with the software company that bears his name since 1994, when he sold it and began to pursue his other interests. He ran a yoga retreat and then built a complex in New Mexico to indulge his hobby of flying motorized ultralight airplanes.


He moved to Belize about four years ago, buying properties on the mainland and on Ambergris Caye. It was there that he clashed with Mr. Faull, who complained about the unleashed dogs that Mr. McAfee kept on his property.


On Nov. 9, several of the dogs were found dead. They had been poisoned.


During his time in Belize, Mr. McAfee had apparently become interested in developing a designer drug called MDPV. He posted extensively about his experiments on a Web site.


But he attracted the attention of Belizean authorities, who raided one of his properties in April. He spent a night in jail, but law enforcement officials found no evidence that he was producing methamphetamine and dropped the charges.


After that experience, though, Mr. McAfee appeared to become increasingly convinced that he was being persecuted by the Belizean government. Officials deny that they are persecuting him.


Mr. Guerra told Guatemalan reporters late Wednesday that since there was no warrant for Mr. McAfee’s arrest and since his client was not a fugitive, he would seek to have his client released and returned to the hotel where he would remain under guard.


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U. S. and Russia to Meet on Syrian Conflict





DUBLIN — A new round of diplomacy on the conflict in Syria will begin on Thursday afternoon when Lakhdar Brahimi, the United Nations special envoy, hosts an unusual three-way meeting with Secretary of State Hillary Rodham Clinton and the Russian foreign minister, Sergey V. Lavrov.




The session, which is being held on the margins of a meeting on European security, comes amid reports of heightened activity at Syria’s chemical weapons sites and signs that Russia may be shifting its position on a political transition in Syria.


“Secretary Clinton has accepted an invitation by U.N. Special Envoy Brahimi for a trilateral meeting on Syria this afternoon with Mr. Brahimi and Russian Foreign Minister Lavrov,” a senior State Department official said Thursday morning.


This is not the first time that American and Russian consultations have spurred hopes of a possible breakthrough. In June, Mrs. Clinton, Mr. Lavrov and the United Nations’s envoy on the Syrian crisis at the time, former United Nations Secretary General Kofi Annan, appeared to be close to an agreement that a transitional government should be established and that President Bashar al-Assad give up power.


But that seeming understanding quickly broke down, with Americans officials complaining privately that the Russian side had pulled back from the deal. A major sticking point, it later emerged, was the American insistence that the United Nations Security Council authorize steps to pressure Mr. Assad if he refused to go along under Chapter 7 of the United Nations Charter, which could be used to authorize tougher economic sanctions and, in theory, the use of force.


It remained to be seen if the new round of negotiations would be more successful.


On the one hand, the military situation on the ground appears to be shifting in the rebels’ favor. Some Russian officials reportedly no longer believe that Mr. Assad will succeed in holding on to power and may have a new interest in working out arrangements for a transition. The changing battlefield, some experts say, may have led to a softening of the Russian position.


A senior Turkish official said that after President Vladimir V. Putin of Russia and Prime Minister Recep Tayyip Erdogan of Turkey recently met in Istanbul that Moscow was “softening” its “political tone” and would look for ways of getting Mr. Assad to relinquish power.


On the other hand, it was possible that Mr. Lavrov had, in effect, merely agreed to meet so that Russia could maintain influence over the discussions on Syria and find out what exactly Mr. Brahimi was prepared to propose.


There were indications on Thursday that Russian officials see the positions of Washington and Moscow on Syria moving slightly closer.


Deputy Foreign Minister Gennady Gatilov of Russia expressed satisfaction in a Twitter message that the United States was moving to designate Al Nusra Front, a Syrian opposition group seen by American experts as linked to Al Qaeda, as an international terrorist organization.


The aim of the American move, which is expected soon, would be to isolate radical foes of the Assad government.


With the rebels making gains on the ground, American officials have been trying to ensure that military developments do not outpace political arrangements for a possible transition. American officials have hinted that the United States would upgrade relations with the Syria opposition, possibly to formal recognition, if the coalition made progress on a political structure by the time of a meeting of the so-called Friends of Syria in Morocco.


But emerging policy on the Al Nusra Front also acknowledges Russia’s longstanding argument that the Syrian opposition includes radical jihadists. Mr. Gatilov said that the American step “reflects understanding of the danger of escalating terrorist activity in Syria.”


A lawmaker with the dominant party, United Russia, told British legislators visiting Moscow that Russia saw Mr. Assad’s government struggling. “We think that the Syrian government should execute its functions,” he said, according to the Interfax news service. “But time shows that this task is beyond its strength.”


Dimitri K. Simes, a Russia expert the Center for the National Interest in Washington, said, based on conversations with top officials, that Russia has indeed softened its position in light of military setbacks for the Assad government, and it is now understood that neither Mr. Assad nor his close associates would take a central role in a new government.


However, he said Russia still wanted Iran to take part in negotiations about the transition. Iran’s presence, he said, would reassure Alawites, the Shiite Muslim minority of Mr. Assad and the core of the military, that they would be protected in the change of government.


Michael R. Gordon reported from Dublin, and Ellen Barry from Moscow. Anne Barnard contributed reporting from Beirut, Lebanon.



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DealBook: Freeport to Buy Plains Exploration and McMoRan

Freeport-McMoRan Copper and Gold said on Wednesday that it would buy two oil and natural gas companies, Plains Exploration and Production and the McMoRan Exploration Company, in a return to the energy business.

The two transactions will create a natural resources titan worth about $60 billion, including debt, and will formally reunite Freeport with McMoRan, the oil exploration company it spun off in 1994.

Under the terms of the deals, Freeport will pay about $6.9 billion in cash and stock for Plains. That offer consists of $25 a share in cash and 0.6531 of a Freeport share, worth about $50 a share based on Tuesday’s closing prices.

And Freeport will pay $14.75 a share in cash and 1.15 units of a trust that will hold a 5 percent interest in future production of McMoRan’s deepwater exploration operations. Freeport and Plains together already own about 36 percent of the smaller exploration company.

“This transaction will enable us to add assets with exceptional exploration and development potential to a world-class mining company to create a premier minerals and oil and gas business focused on value creation for shareholders,” James R. Moffett, Freeport’s chairman, said in a statement.

JPMorgan Chase is providing $9.5 billion to help pay for the cash portion of the deal and to repay some of Plains’s existing debt.

Freeport was advised by Credit Suisse and the law firm Wachtell, Lipton, Rosen & Katz. Plains was advised by Barclays and the law firm Latham & Watkins. McMoRan was advised by Evercore Partners and the law firm Weil, Gotshal & Manges.

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Extended Use of Breast Cancer Drug Suggested


The widely prescribed drug tamoxifen already plays a major role in reducing the risk of death from breast cancer. But a new study suggests that women should be taking the drug for twice as long as is now customary, a finding that could upend the standard that has been in place for about 15 years.


In the study, patients who continued taking tamoxifen for 10 years were less likely to have the cancer come back or to die from the disease than women who took the drug for only five years, the current standard of care.


“Certainly, the advice to stop in five years should not stand,” said Prof. Richard Peto, a medical statistician at Oxford University and senior author of the study, which was published in The Lancet on Wednesday and presented at the San Antonio Breast Cancer Symposium.


Breast cancer specialists not involved in the study said the results could have the biggest impact on premenopausal women, who account for a fifth to a quarter of new breast cancer cases. Postmenopausal women tend to take different drugs, but some experts said the results suggest that those drugs as well might be taken for a longer duration.


“We’ve been waiting for this result,” said Dr. Robert W. Carlson, a professor of medicine at Stanford University. “I think it is especially practice-changing in premenopausal women because the results do favor a 10-year regimen.”


Dr. Eric P. Winer, chief of women’s cancers at the Dana-Farber Cancer Institute in Boston, said that even women who completed their five years of tamoxifen months or years ago might consider starting on the drug again.


Tamoxifen blocks the effect of the hormone estrogen, which fuels tumor growth in estrogen receptor-positive cancers that account for about 65 percent of cases in premenopausal women. Some small studies in the 1990s suggested that there was no benefit to using tamoxifen longer than five years, so that has been the standard.


About 227,000 cases of breast cancer are diagnosed each year in the United States, and an estimated 30,000 of them would be in premenopausal women with ER-positive cancer and prime candidates for tamoxifen. But postmenopausal women also take tamoxifen if they cannot tolerate the alternative drugs, known as aromatase inhibitors.


The new study, known as Atlas, included nearly 7,000 women with ER-positive disease who had completed five years of tamoxifen. They came from about three dozen countries. Half were chosen at random to take the drug another five years, while the others were told to stop.


In the group assigned to take tamoxifen for 10 years, 21.4 percent had a recurrence of breast cancer in the ensuing ten years, meaning the period 5 to 14 years after their diagnoses. The recurrence rate for those who took only five years of tamoxifen was 25.1 percent.


About 12.2 percent of those in the 10-year treatment group died from breast cancer, compared with 15 percent for those in the control group.


There was virtually no difference in death and recurrence between the two groups during the five years of extra tamoxifen. The difference came in later years, suggesting that tamoxifen has a carry-over effect that lasts long after women stop taking it.


Whether these differences are big enough to cause women to take the drug for twice as long remains to be seen.


“The treatment effect is real, but it’s modest,” said Dr. Paul E. Goss, director of breast cancer research at the Massachusetts General Hospital.


Tamoxifen has side effects, including endometrial cancer, blood clots and hot flashes, which cause many women to stop taking the drug. In the Atlas trial, it appears that roughly 40 percent of the patients assigned to take tamoxifen for the additional five years stopped prematurely.


Some 3.1 percent of those taking the extra five years of tamoxifen got endometrial cancer versus 1.6 percent in the control group. However, only 0.6 percent of those in the longer treatment group died from endometrial cancer or pulmonary blood clots, compared with 0.4 percent in the control group.


“Over all, the benefits of extended tamoxifen seemed to outweigh the risks substantially,” Trevor J. Powles of the Cancer Center London, said in a commentary published by The Lancet.


Dr. Judy E. Garber, director of the Center for Cancer Genetics and Prevention at Dana-Farber, said many women have a love-hate relationship with hormone therapies.


Read More..

Extended Use of Breast Cancer Drug Suggested


The widely prescribed drug tamoxifen already plays a major role in reducing the risk of death from breast cancer. But a new study suggests that women should be taking the drug for twice as long as is now customary, a finding that could upend the standard that has been in place for about 15 years.


In the study, patients who continued taking tamoxifen for 10 years were less likely to have the cancer come back or to die from the disease than women who took the drug for only five years, the current standard of care.


“Certainly, the advice to stop in five years should not stand,” said Prof. Richard Peto, a medical statistician at Oxford University and senior author of the study, which was published in The Lancet on Wednesday and presented at the San Antonio Breast Cancer Symposium.


Breast cancer specialists not involved in the study said the results could have the biggest impact on premenopausal women, who account for a fifth to a quarter of new breast cancer cases. Postmenopausal women tend to take different drugs, but some experts said the results suggest that those drugs as well might be taken for a longer duration.


“We’ve been waiting for this result,” said Dr. Robert W. Carlson, a professor of medicine at Stanford University. “I think it is especially practice-changing in premenopausal women because the results do favor a 10-year regimen.”


Dr. Eric P. Winer, chief of women’s cancers at the Dana-Farber Cancer Institute in Boston, said that even women who completed their five years of tamoxifen months or years ago might consider starting on the drug again.


Tamoxifen blocks the effect of the hormone estrogen, which fuels tumor growth in estrogen receptor-positive cancers that account for about 65 percent of cases in premenopausal women. Some small studies in the 1990s suggested that there was no benefit to using tamoxifen longer than five years, so that has been the standard.


About 227,000 cases of breast cancer are diagnosed each year in the United States, and an estimated 30,000 of them would be in premenopausal women with ER-positive cancer and prime candidates for tamoxifen. But postmenopausal women also take tamoxifen if they cannot tolerate the alternative drugs, known as aromatase inhibitors.


The new study, known as Atlas, included nearly 7,000 women with ER-positive disease who had completed five years of tamoxifen. They came from about three dozen countries. Half were chosen at random to take the drug another five years, while the others were told to stop.


In the group assigned to take tamoxifen for 10 years, 21.4 percent had a recurrence of breast cancer in the ensuing ten years, meaning the period 5 to 14 years after their diagnoses. The recurrence rate for those who took only five years of tamoxifen was 25.1 percent.


About 12.2 percent of those in the 10-year treatment group died from breast cancer, compared with 15 percent for those in the control group.


There was virtually no difference in death and recurrence between the two groups during the five years of extra tamoxifen. The difference came in later years, suggesting that tamoxifen has a carry-over effect that lasts long after women stop taking it.


Whether these differences are big enough to cause women to take the drug for twice as long remains to be seen.


“The treatment effect is real, but it’s modest,” said Dr. Paul E. Goss, director of breast cancer research at the Massachusetts General Hospital.


Tamoxifen has side effects, including endometrial cancer, blood clots and hot flashes, which cause many women to stop taking the drug. In the Atlas trial, it appears that roughly 40 percent of the patients assigned to take tamoxifen for the additional five years stopped prematurely.


Some 3.1 percent of those taking the extra five years of tamoxifen got endometrial cancer versus 1.6 percent in the control group. However, only 0.6 percent of those in the longer treatment group died from endometrial cancer or pulmonary blood clots, compared with 0.4 percent in the control group.


“Over all, the benefits of extended tamoxifen seemed to outweigh the risks substantially,” Trevor J. Powles of the Cancer Center London, said in a commentary published by The Lancet.


Dr. Judy E. Garber, director of the Center for Cancer Genetics and Prevention at Dana-Farber, said many women have a love-hate relationship with hormone therapies.


Read More..

Free-Messaging Apps Siphon Profits from Cellular Providers





For a long time, opening a cellphone bill was scary for the parents of teenagers. Charges for texting could reach hundreds of dollars a month, prompting many families to sign up for unlimited plans. But at perhaps $20 a month for each family member, that quickly added up, too.







Lucas Jackson/Reuters

A man uses his Apple iPhone in New York in September. Cellphone users are sending more text messages than ever, but increasingly they are free — thanks to the Internet.








Apps like Facebook Messenger, top, and WhatsApp, bottom, send their messages using the Internet rather than cellular networks. The shift could cost wireless companies billions of dollars.






Relief is on the way. Cellphone users are sending more text messages than ever, but increasingly they are free — thanks to the Internet. While that is good news for consumers, it could cost the world’s wireless companies tens of billions of dollars in lost revenue.


Standard texting, the kind where you send abbreviation-filled messages over a cellphone network, has been in decline in many parts of the world, and now appears to be shrinking in the United States. That is because smartphones can use free Internet-powered services that send messages over data networks instead, and those services are attracting millions of users.


The shift is opening an opportunity for big companies like Facebook and Apple and smaller start-ups like WhatsApp and Kik, which are making aggressive grabs at this market, aiming to put themselves at the center of how people communicate in the smartphone era.


Peter Deng, a product director at Facebook who oversees its Messenger software, said that text messaging was “ripe for innovation” because it had been held back by outdated technology.


“It’s limited to 160 characters,” Mr. Deng said, “and it’s not at all rich in its expression. People want to connect deeply with each other, and they don’t want to be constrained by various technical boundaries and decisions made 20 years ago.”


Unlike ordinary text messages, Facebook’s messaging service allows people to see when their friends are typing a reply and when messages are received, among other features, he said.


Standard texting is still popular. CTIA, the wireless industry trade group, said that in the first half of this year, Americans sent 1.107 trillion text messages. But that was down 2.6 percent from the 1.137 trillion messages sent in the first half of last year. Ovum, a mobile communications research firm, estimates that by 2016, Internet-based message services will have eaten up $54 billion in revenue that carriers could have made from text messaging.


For years, text messages have been a source of pure profit for carriers because it costs nearly nothing to deliver them. In response to the rise of Internet services, they have been overhauling their pricing plans to stay profitable.


Verizon Wireless and AT&T, for example, offer new plans that include unlimited texting and phone calls, while charging bigger fees for using Internet data, which is likely to be their main source of growth. (Internet messaging over a carrier’s data network does use up some of a customer’s monthly data allotment, but it is a tiny amount relative to, say, watching a video.)


John Walls, vice president for public affairs at CTIA, said carriers were always expanding their services by offering things like all-you-can-eat texting plans and the ability to donate to charity via text. He noted that 72,000 text messages were being sent every second of every day.


“I hardly think the end is in sight for texts,” Mr. Walls said.


For Internet companies, messaging will never be a cash cow. But they have other reasons to get excited about this market.


Facebook benefits if more people use its messaging service, because those people are likely to spend more time on its Web site and mobile apps, seeing more ads. On Tuesday the company said it would allow Android users in some countries to sign up for its messaging service with just a phone number, no Facebook account required, partly because this might eventually persuade non-Facebook users to cave in and sign up for an account. That feature will come to the United States at some point, Facebook said.


Apple’s free texting service, iMessage, comes installed on iPhones, iPads and iPod Touch devices, where it automatically routes messages over the Internet if they are being sent to another Apple device. The service also works with the Messages app on Apple’s computers. That could encourage people to continue buying Apple products to keep in touch with family and friends cheaply and easily. Even the design of iMessage makes people feel like they’re in a special clique: an iMessage shows up on an Apple device as a blue bubble, while a normal text message from a non-Apple phone is green.


Perhaps the most talked-about player in texting right now is the small start-up WhatsApp, based in Mountain View, Calif. The 30-person company, founded by Jan Koum and Brian Acton, two former Yahoo executives, says its service is used in more than 100 countries. Its app is one of the most popular in the world on iPhones and Android devices, and on the BlackBerry it is even bigger than Research in Motion’s own messaging service.


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Op-Ed Contributor: How Cities Can Save China





CHINA is experiencing its most severe economic downturn in decades, and revitalizing its economic model is critical to future prosperity — not only in China, but around the world.




Central to that effort is the transformation of China’s cities. By adopting a new approach to urbanization, its leaders can assure more balanced investment, address a major source of debt, achieve a consumption windfall and clean up the country’s environment. Otherwise, China’s economic and environmental problems will worsen, with vast implications for the rest of the world.


China’s success has been built on two pillars: investment and exports. But after decades of growth, this model is delivering diminishing returns. There is little doubt that China must change to a new model, one that relies on consumption to generate growth, while addressing debt and broadening the use of sustainable energy and environmental practices.


Cities, home to hundreds of millions of Chinese consumers, lie at the core of this problem — and offer a potential solution.


A flawed system of municipal finance is driving debt, corruption and dissent, while unsustainable urban planning has yielded polluted cities that are destroying China’s ecosystem. Yet China’s future requires continued urbanization, which, absent a new approach, will only make the problem worse.


Cities can, however, be part of the solution: better urban policies can put China on a healthier path forward, economically and environmentally.


For one thing, municipal financial reform is essential because debt is crushing Chinese cities, leaving mayors with no means of financing the central government’s policy mandates. Mayors have developed creative ways to raise revenues, including appropriating farmers’ land and seizing land on the outskirts of cities to sell to developers. But these practices contribute to urban sprawl and often feed corruption.


Among other changes, China’s cities need transparent budgets and the devolution of more tax authority to cities.


More innovative urban planning and design are also needed. To achieve the country’s goals of raising living standards for a broader share of the population, cities must be better designed to yield energy efficiency and environmental sustainability.


China’s potential is stifled by traffic and pollution. Gazing out my hotel window in Beijing on a recent trip, I saw air that was hazy and polluted — a stark contrast to the sparkling view of Lake Michigan I enjoy from my kitchen window at home in Chicago.


This isn’t just China’s problem. Experts found that dirty air from China contributed up to 20 percent of the ground-level pollution on the American West Coast in 2010. And that is when just one-tenth of Chinese own cars. Imagine what China’s air quality will become when this number triples, as some experts predict it will within the next several years.


Take another example: construction. Within city centers are countless “superblocks” — half-kilometer-square developments interspersed with huge boulevards that create monster traffic jams and skyrocketing pollution.


In response, an approach that featured smaller blocks and mixed-use neighborhoods and accessible public transportation would alleviate these unintended consequences. Such “livable cities” would balance economic development with energy efficiency, improve air quality and reduce congestion.


Getting China’s urbanization right will matter to us all. Fortunately, many in China understand this, and cooperation with the United States government, corporate world and nonprofit sector, including my own research and advocacy institute, is bringing them the tools they need to prioritize design issues in their cities and adapt infrastructure plans now. These tools include instruction in sustainable practices for government leaders, public education in environmental issues and specialized training for the country’s urban planners.


China must adopt this new approach quickly, before vast infrastructure investment makes the current model irreversible. By 2025, China is projected to have a staggering 200 cities with populations over one million. America has just nine.


Global prosperity depends on China’s continuing to be an engine of growth. We all need China to reinvent its economic model. Working together on urbanization creates progress toward joint solutions to the challenges the world faces from overwhelming pressure on natural ecosystems, resources and commodities.


We need Chinese cities to succeed, and we can help ensure that they do so.


Henry M. Paulson Jr., a former chief executive of Goldman Sachs and Treasury secretary, is the chairman of the Paulson Institute.



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More Dads Buy the Toys, So Barbie, and Stores, Get Makeovers





Barbies are for girls and construction sets are for boys. Or are they?




For the first time in Barbie’s more than 50-year history, Mattel is introducing a Barbie construction set that underscores a huge shift in the marketplace. Fathers are doing more of the family shopping just as girls are being encouraged more than ever by hypervigilant parents to play with toys (as boys already do) that develop math and science skills early on.


It’s a combination that not only has Barbie building luxury mansions — they are pink, of course — but Lego promoting a line of pastel construction toys called Friends that is an early Christmas season hit. The Mega Bloks Barbie Build ’n Style line, available next week, has both girls — and their fathers — in mind.


“Once it’s in the home, dads would very much be able to join in this play that otherwise they might feel is not their territory,” said Dr. Maureen O’Brien, a psychologist who consulted on the new Barbie set.


Consumer surveys show that men are increasingly making the buying decisions for families, reflecting the growth in two-income households and those in which the women work and the men stay home. One-fifth of fathers with preschool-age children and working wives said they were the primary caretaker in 2010, according to the latest Census Bureau data. And 37.6 percent of working wives earned more than their husbands in 2011, up from 30.7 percent 10 years earlier.


“Kids are going to grow up with dads that give them baths and drive them to soccer and are cutting up oranges for team snacks,” said Liz Ross, president for North America of BPN, part of the IPG Mediabrands holding company, which recently completed a study on male consumers. “What will go away, albeit slowly, is the image or the perception of the befuddled dad.”


The change is having consequences beyond toys. Consumer products have traditionally been marketed to appeal to women, and stores have been designed for women’s sensibilities. Now, some brands and stores are catering directly to male decision-makers. Sears is reorganizing stores to put tools next to work wear, for instance, based on men’s preferences. Procter & Gamble is working on men’s grooming aisles at top retailers, a nod to the fact that women are no longer choosing shampoos or shaving creams for their husbands. With the selling point that it helps girls develop spatial reasoning, the Barbie set, a joint effort of Mattel and the toy company Mega Bloks, is also meant to pique fathers’ interest.


“Dad is a bigger influencer in terms of toy purchases over all, and this sets up well for that, because the construction category is something Dad grew up with and definitely has strong feelings and emotions about,” said Vic Bertrand, chief innovation officer of Mega Brands, Mega Bloks’ parent company.


Construction sets for girls are a speedy growth category, thanks to Lego’s introduction of its Friends line in January. Despite criticism that those sets were sexist — themes include a beauty shop and a fashion studio — Lego’s chief executive said in August that the company sold twice as many of the sets in the first half of the year as it had expected, and retailers like Amazon and Target have named them hot holiday toys.


Anne Marie Kehoe, vice president of toys for Walmart U.S., said that, with the Barbie addition, construction toys aimed at girls will represent about 20 percent of the toy construction category by the end of this year, while last year there were just a handful of products.


Research shows that playing with blocks, puzzles and construction toys helps children with spatial development, said Dr. Susan C. Levine, chairwoman of the psychology department at the University of Chicago and co-principal investigator at the National Science Foundation’s Spatial Intelligence and Learning Center. Even controlling for other skills such as verbal and numerical skills, she said, children with better spatial thinking are more likely to eventually go into mathematics, engineering, science and technology.


She said that a set aimed at girls could be beneficial, if only because it might increase girls’ likelihood of participating in construction activities.


Dr. O’Brien, the consultant on the new Barbie set, said adults had traditionally been “the limiting factor” in why girls have not played with those toys as often.


Recently, she said, there has been a shift in attitudes, as parents study research on development and spatial play. “For this particular product, one of the advantages is you can appeal to both moms and dads,” she said of the construction set.


During her research, Dr. O’Brien said, she watched a grandfather jump in to explain building principles to his granddaughter, who was playing with the Barbie. Still, the construction set is not exactly dump trucks and dirt. It remains “unapologetically all girl,” said Stephanie Cota, senior vice president of global marketing for Barbie, girls’ brands and games at Mattel.


The Mega Bloks building pieces are pink (Pantone 219, the signature Barbie color), and the construction choices are scenes like a fashion boutique, a mansion and an ice cream cart. Each set comes with a small Barbie figure that can be snapped into the scene.


Mattel, the world’s largest toy maker, still leans heavily on Barbie, one of its most popular and longest-running franchises. However, pressure to update Barbie has been high — Mattel has introduced Barbies with video cameras and digital cameras in recent years.


Yet sales of Barbie in North America through September fell 1 percent, even as sales of Mattel’s other girl brands, like Disney Princess dolls, rose 44 percent. Mega Brands makes just a fraction of what its larger rival Lego does, and had revenues of about $376 million last year.


The Barbie brand, which tends to raise feminists’ ire for its overly sexualized dolls, not to mention the 1992 version saying “Math class is tough,” has already taken some high-arched steps toward gender equality. A computer-engineer Barbie was introduced two years ago, for instance, with the support of the Society of Women Engineers.


This time, though, the introduction appears to be a response more to market changes than to critics.


Girls “don’t necessarily care about, ‘That’s a boy toy; that’s not for me,’ ” said Ms. Cota of Mattel. “Now, more so than ever, girls are looking at what’s fun, what they like.”


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National Briefing | New England: New Hampshire: Not Guilty Plea in Hepatitis Case



A traveling hospital technologist accused of stealing drugs and infecting patients with hepatitis C through contaminated syringes pleaded not guilty in federal court on Monday. The technologist, David Kwiatkowski, whom prosecutors described as a “serial infector,” was indicted last week on charges of tampering with a consumer product and illegally obtaining drugs. Until May, Mr. Kwiatkowski worked as a cardiac technologist at Exeter Hospital, where 32 patients were given diagnoses of the same strain of hepatitis C he carries. Before that, he worked in 18 hospitals in seven states, moving from job to job despite having been fired twice over accusations of drug use and theft. In addition to the New Hampshire patients, a handful of patients in Kansas and one in Maryland have been found to carry the strain Mr. Kwiatkowski carries.


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National Briefing | New England: New Hampshire: Not Guilty Plea in Hepatitis Case



A traveling hospital technologist accused of stealing drugs and infecting patients with hepatitis C through contaminated syringes pleaded not guilty in federal court on Monday. The technologist, David Kwiatkowski, whom prosecutors described as a “serial infector,” was indicted last week on charges of tampering with a consumer product and illegally obtaining drugs. Until May, Mr. Kwiatkowski worked as a cardiac technologist at Exeter Hospital, where 32 patients were given diagnoses of the same strain of hepatitis C he carries. Before that, he worked in 18 hospitals in seven states, moving from job to job despite having been fired twice over accusations of drug use and theft. In addition to the New Hampshire patients, a handful of patients in Kansas and one in Maryland have been found to carry the strain Mr. Kwiatkowski carries.


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Gadgetwise Blog: Turn Your Photos into E-Holiday Cards

From Christmas trees to Christmas cards, December is a pretty deadly season for trees. There’s not a lot you can do about the Christmas trees (aluminum tinsel tree anyone?), but you can cut down on the cards.

An iPhone app, Over, lets you put type on top of your own photos. Although it wasn’t intended with holidays in mind – more like a chance to make your own memes – it’s an easy way to make cards the way photo studios used to ages ago.

There are other similar apps, but few if any are as simple to use and as versatile as Over.

To get started, open the app and tap on “take a photo,” or “camera roll,” to take a photo or choose an existing shot.

Sample text tells you to double tap to edit. Once you do that, type in your message and then choose the color you would like your type to be. A yellow triangle on the right-hand side of the photo lets you pick a font and size it. You can move the writing around by dragging it with your finger.

When you are happy with your choices, you can save the photo or go directly to “share” and post your work on Facebook, Twitter, Tumblr or Instagram, or send by email.

If you really want to be a traditionalist, you can still kill trees by having your work turned into a 4 by 6 inch postcard, at $2 for a single card. You buy through the service Sincerely, which gets points off for making people go through sign up and set up without revealing the cost until the last step.

Over is a $2 app, but there is a version for use on Instagram only; it’s Overgram, and it’s free.

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Obama Calls on Russia to Renew Weapons Pact





WASHINGTON — President Obama called on Russia on Monday to renew a two-decade-old nuclear disarmament program that Moscow has threatened to cancel as the two sides try to figure out the future of a rocky relationship now that elections in both countries are behind them.




Russia declared this fall that it would not renew the Nunn-Lugar Cooperative Threat Reduction Program, which has helped rid the former Soviet Union of thousands of nuclear weapons since the end of the cold war. But in a speech, Mr. Obama chose to interpret the Russian statements as a negotiating position to change the program rather than halt it altogether.


“Russia has said that our current agreement hasn’t kept pace with the changing relationship between our countries,” Mr. Obama said at the National Defense University, where he praised the program’s accomplishments. “To which we say, let’s update it. Let’s work with Russia as an equal partner. Let’s continue the work that’s so important to the security of both our countries. And I’m optimistic that we can.”


Whether Russia is willing to do that remains unclear. Even if it is, Moscow has suggested that it would link the renewal of the program to concessions by the United States on its plans to deploy a missile defense system in Europe intended to defend against Iranian aggression. Mr. Obama was overheard telling his Russian counterpart this year that “after my election I have more flexibility” on missile defense, prompting Republicans to accuse him of plotting to sell out the system.


Mr. Obama made no mention of missile defense on Monday, but in reaching out to Moscow he seemed to be taking the opening step in a postelection dance in which the two countries will re-evaluate their ties. His effort to reset the relationship after a rupture over the Georgia war of 2008 succeeded for a time in stabilizing ties, but the atmosphere has cooled noticeably since Vladimir V. Putin returned to the presidency this year.


In recent months, Russia ordered the United States Agency for International Development to leave and enacted laws focused on nongovernmental organizations receiving foreign financing. As a result, the National Democratic Institute, an American-financed organization that promotes democracy, moved to Lithuania last month, and its counterpart, the International Republican Institute, is likely to follow.


The announcement in October that Russia would not renew the Nunn-Lugar program when it expires in the spring underscored how sour relations had become. Through all the ups and downs over the past 20 years, Nunn-Lugar had always been largely immune to the political tides, in part because Russia saw that having American money and help in slimming down its nuclear arsenal was in its own interest.


Since it began, Nunn-Lugar has helped to deactivate 7,600 nuclear warheads and destroy or eliminate 900 intercontinental ballistic missiles, 500 missile silos, 680 submarine-launched ballistic missiles and 900 nuclear air-to-surface missiles. But the program still envisioned getting rid of hundreds more weapons to meet goals for 2017.


Russia said it would take over the costs and responsibilities of continuing the program, in effect asserting that after its economic and geopolitical resurgence of recent years, it no longer needs foreign help. But Mr. Obama has not given up on preserving the program, although aides said no specific negotiations were under way to renew it.


American officials hope that last month’s election will make it possible for the two sides to get back on a better footing. After Mr. Obama’s victory, the two presidents spoke by telephone and Mr. Obama accepted Mr. Putin’s invitation to visit Russia in 2013. Presumably he would go to St. Petersburg for the Group of 20 summit meeting that Mr. Putin will host in September.


Mr. Obama’s outreach to Russia on Nunn-Lugar came during a speech paying tribute to its patrons, former Senator Sam Nunn, Democrat of Georgia, and Senator Richard G. Lugar, Republican of Indiana, who lost a primary this year. Mr. Obama hailed them on Monday as “real visionaries” who “challenged us to think anew, to imagine, after decades of confrontation, how our nations might engage in cooperation.”


But, he added: “We’re nowhere near done, not by a long shot, and you all know this. There’s still much too much material — nuclear, chemical, biological — being stored without enough protection. There are still terrorists and criminal gangs doing everything they can to get their hands on it. And make no mistake, if they get it, they will use it.”


This article has been revised to reflect the following correction:

Correction: December 3, 2012

Because of an editing error, an earlier version of this article misidentified the Indiana Republican Richard G. Lugar. As the article correctly noted, Mr. Lugar lost a primary this year. He will remain in the United States Senate until his successor is sworn in on Jan. 3, 2013; he is not a former senator. 



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Advertising: Ford Plan to Revive Lincoln Hinges on a New Brand


An unusual ad campaign features Abraham Lincoln, the president for whom the car brand is named.







DEARBORN, Mich. — In the fiercely competitive world of luxury cars, the Ford Motor Company’s Lincoln brand has long been stuck in the slow lane, with stodgy models, older buyers and a distinct lack of pizazz.




But Ford is determined to change that. On Monday, the company will announce upgraded customer service initiatives, a new brand name for Lincoln that plays down the Ford connection and an unusual advertising campaign that features Abraham Lincoln, the president for whom the brand is named.


Ford’s chief executive, Alan R. Mulally, will begin the rebranding effort at an event outside Lincoln Center in Manhattan — the first in a series of moves meant to reverse Lincoln’s seemingly perpetual state of decline.


Ford will formally rechristen the brand as the Lincoln Motor Company and introduce a television spot that begins with an image of Lincoln, stovepipe hat and all. The brand’s first Super Bowl commercial is in the works, as is a revamped Web site that links consumers to a Lincoln “concierge” who can arrange test drives or set up appointments at dealerships.


Mr. Mulally will also announce the on-sale date in early 2013 for the radically redesigned Lincoln MKZ sedan, as well as plans for three new vehicles down the road.


If it seems like an all-out grab for attention, well, that’s exactly the point, said James D. Farley Jr., Ford’s head of global sales and marketing and the newly named chief of the Lincoln revival effort.


“The most important thing is for people to be aware that there is a transition going on,” Mr. Farley said. “We have to shake them up.”


The shake-up is long overdue and critically important to Ford, the nation’s second-largest car company behind General Motors.


As recently as the 1990s, Lincoln was the top-selling luxury automotive brand in the United States. Its large Town Car sedan and hulking Navigator S.U.V. defined the brand, and sales topped more than 230,000 vehicles a year.


But since then, Lincoln has been left in the dust by the German category leaders BMW and Mercedes-Benz, and Toyota’s Lexus division. This year, Lincoln ranks eighth in the American luxury segment, with sales down 2 percent, to 69,000, vehicles in the first 10 months of the year.


Its crosstown rival G.M. has had much better success reviving its Cadillac brand.


“Cadillac has been stabilized, but Lincoln is still muddling about,” said Jack Trout, president of the marketing firm Trout and Partners. “The big question is, how can Lincoln convince people it is more than just a gussied-up Ford?”


That task has now fallen to Mr. Farley, who left Toyota five years ago to join Ford just as Mr. Mulally’s transformation of the company was under way. Since then, Ford has introduced a succession of sleeker, more fuel-efficient and technology-laden models that have lifted sales and made it among the most profitable car companies in the world.


Lincoln, however, has not benefited from the turnaround. It accounts for only 3 percent of Ford’s total sales, down from 8 percent during the brand’s heyday. And since Ford has sold off foreign luxury divisions like Volvo and Jaguar, Lincoln is the sole upscale brand in the company.


“There is nothing more frustrating for us than to have someone who loves their Ford car and S.U.V., but goes out to buy a luxury model from another brand because we don’t have one,” Mr. Farley said.


The Lincoln comeback effort starts with the midsize MKZ, which has been redesigned with a sweeping grille, tapered body style and an all-glass retractable roof. It will be followed by three other new models, including a larger sedan and S.U.V.


But the brand’s image needs much more than better cars. Under Mr. Farley’s direction, a newly formed team of 200 people is intent on establishing the Lincoln Motor Company as a boutique luxury line known for personalized service.


Every customer who reserves an MKZ, for example, will be presented with an elegant gift upon receiving the car. Choices include a selection of wines and Champagne, custom-made jewelry or sunglasses, or a one-night stay at a Ritz-Carlton hotel.


Lincoln’s Web site will also have a consultant available 24 hours a day for live discussions about the products and to streamline the buying process. Prospective buyers will be given an opportunity for a “date night” with Lincoln, which includes a two-day test drive and a free meal at a restaurant.


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