2 hurt in melee near Ford City Mall








Two people suffered minor injuries in a disturbance involving large crowds of "kids" tonight at Ford City Mall on the Southwest Side.
 
A Chicago Lawn District police sergeant confirmed officers were called to the mall, 7601 S. Cicero Ave., where a “bunch of kids are running around.’’

“A rap group was playing there and a large group of teens got out of hand,’’ said Police News Affairs Officer Veejay Zala.

Zala said officers are doing their best to control the disturbance.

“We’re trying to get everyone out of there safely,’’ Zala said.

By 6:25 p.m. two people had been taken to hospitals from the "fluid"  situation, according to Chicago Fire Department Chief Joe Roccasalva, a department spokesman.
 
A CTA bus driver suffered minor injuries and was taken to Holy Cross Hospital, said Roccasalva, who added he did not know what happened to him.
 
A “kid’’ was also hurt, and that person was taken to Advocate Christ Medical Center in Oak Lawn, also in good condition, said Roccasalva.


By 7 p.m. the Fire Department confirmed the one adult and one pediatric patient with minor injuries were the final tally.
 
At 4:45 p.m. police responded to a battery in progress report at the Cicero Avenue address, police said.

About 50 police squad cars assigned to multiple South Side districts, including Chicago Lawn, Englewood and Deering, and a helicopter responded to the scene, police said.

A spokeswoman for mall security said she was not authorized to talk about it.

According to the Ford City Mall website, members of the teen band Mindless Behavior appeared at the mall food court from 2 p.m. to 4 p.m. to promote their new release, "All Around the World."


During the disturbance the CTA had to reroute the No. 79 buses, which travel on 79th Street, as well as other buses in the immediate area.


rsobol@tribune.com






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Einhorn scores legal victory versus Apple in cash scuffle


NEW YORK (Reuters) - A U.S. judge handed outspoken hedge fund manager David Einhorn a victory in his battle with Apple Inc on Friday, blocking the iPhone maker from moving forward with a shareholder vote on a controversial proposal to limit the company's ability to issue preferred stock.


U.S. District Judge Richard Sullivan in Manhattan granted a motion by Einhorn's Greenlight Capital for a preliminary injunction stopping a vote on that proposal, scheduled for the company's February 27 stockholders' meeting.


The decision could hand Einhorn more leverage as he pursues his pitch for Apple to issue what he has called the "iPref": preferred stock with a perpetual dividend that he contends would reward investors and help boost the company's share price.


Greenlight sued Apple on February 7 as part of a broader pitch to unlock more of its $137 billion in cash. The hedge fund manager has lobbied Apple to issue preferred stock with a perpetual 4 percent dividend, and on Thursday made a direct appeal to shareholders on a teleconference.


Apple Chief Executive Tim Cook last week dismissed the lawsuit as a "silly sideshow."


The lawsuit itself challenged a measure called Proposal No. 2 that Apple put forward, which would eliminate its power to issue preferred shares without a shareholder vote.


At issue is Apple's "bundling" of that measure with two other unrelated matters into a single proxy proposal.


Greenlight said it supported two of the proposed amendments, but not the one on preferred shares.


In his ruling, Sullivan said Greenlight and another investor who also sued Apple "are likely to succeed on the merits and face irreparable harm if the vote on Proposal No. 2 is permitted to proceed."


"We are disappointed with the court's ruling. Proposal No. 2 is part of our efforts to further enhance corporate governance and serve our shareholders' best interests," Apple spokesman Steve Dowling said. "Unfortunately, due to today's decision, shareholders will not be able to vote on Proposal No. 2 at our annual meeting next week."


A spokesman for Greenlight called the ruling a "significant win for all Apple shareholders and for good corporate governance."


But not all shareholders were happy. California pension fund Calpers, a major Apple investor and public supporter of Apple's proposal, said implementation of "majority voting and shareholder approval for the issuance of new stock - preferred or otherwise - is worth waiting for."


"We encourage Apple to reintroduce these measures as soon as is practical so that all investors can be heard," Anne Simpson, Calpers' director of global governance, said in a statement.


BUNDLES


The ruling could be a warning for other companies when issuing proxy proposals, said James Cox, a professor at Duke University School of Law.


"It's going to make managers reluctant to bundle things together, because you're never going to know when you send them out if there's an Einhorn out there," he said.


The lawsuit was centered on a narrow issue of whether Apple violated U.S. Securities and Exchange Commission rules by "bundling" the preferred shares item with two other unrelated matters into one proxy proposal.


Greenlight's lawyers contended the SEC rules were intended to protect shareholders from being forced to vote for a proxy proposal involving materially different issues that the investors might not entirely support.


Apple had argued Proposal No. 2, which only dealt with amendments to its charter, constitute a single matter and wasn't bundled. Sullivan called the company's arguments "unavailing."


"Given the language and purpose of the rules, it is plain to the Court that Proposal No. 2 impermissibly bundles 'separate matters' for shareholder consideration," Sullivan wrote.


Judge Sullivan also found that Greenlight would be irreparably harmed without the injunction, since it would be forced to vote against its own interests. Denying Greenlight's motion would prevent it and other investors from exercising their rights to a fair vote, Sullivan said.


Sullivan separately declined to block a vote from going forward on a separate proxy proposal, Proposal No. 4, which sought an advisory "say on pay" vote on Apple executives' compensation.


The proposal had been challenged by investor Brian Gralnick of Pennsylvania, who contends Apple did not disclose enough details about how it made its compensation decisions.


Sullivan rejected that argument, saying Apple's disclosures were "plainly sufficient under SEC rules."


Arnold Gershon, a lawyer for Gralnick at Barrack, Rodos & Bacine, said he was "very pleased" with Sullivan's decision to the extent it enjoined the Proposal No. 2 vote, though said he would have to decide what to do next with regard to the say-on-pay proposal.


Sullivan directed the parties to submit a joint letter by March 1 outlining the next contemplated steps in this case.


Apple shares closed up 1.1 percent at $450.81 on Friday.


The case is Greenlight Capital LP, et al., v. Apple Inc., U.S. District Court, Southern District of New York, 13-900.


(Reporting by Nate Raymond in New York; Additional reporting by Poornima Gupta in San Francisco; Editing by Martha Graybow, Gary Hill, Leslie Adler, Carol Bishopric and Lisa Shumaker)



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FDA approves new targeted breast cancer drug


WASHINGTON (AP) — The Food and Drug Administration has approved a first-of-a-kind breast cancer medication that targets tumor cells while sparing healthy ones.


The drug Kadcyla from Roche combines the established drug Herceptin with a powerful chemotherapy drug and a third chemical linking the medicines together. The chemical keeps the cocktail intact until it binds to a cancer cell, delivering a potent dose of anti-tumor poison.


Cancer researchers say the drug is an important step forward because it delivers more medication while reducing the unpleasant side effects of chemotherapy.


"This antibody goes seeking out the tumor cells, gets internalized and then explodes them from within. So it's very kind and gentle on the patients — there's no hair loss, no nausea, no vomiting," said Dr. Melody Cobleigh of Rush University Medical Center. "It's a revolutionary way of treating cancer."


Cobleigh helped conduct the key studies of the drug at the Chicago facility.


The FDA approved the new treatment for about 20 percent of breast cancer patients with a form of the disease that is typically more aggressive and less responsive to hormone therapy. These patients have tumors that overproduce a protein known as HER-2. Breast cancer is the second most deadly form of cancer in U.S. women, and is expected to kill more than 39,000 Americans this year, according to the National Cancer Institute.


The approval will help Roche's Genentech unit build on the blockbuster success of Herceptin, which has long dominated the breast cancer marketplace. The drug had sales of roughly $6 billion last year.


Genentech said Friday that Kadcyla will cost $9,800 per month, compared to $4,500 per month for regular Herceptin. The company estimates a full course of Kadcyla, about nine months of medicine, will cost $94,000.


FDA scientists said they approved the drug based on company studies showing Kadcyla delayed the progression of breast cancer by several months. Researchers reported last year that patients treated with the drug lived 9.6 months before death or the spread of their disease, compared with a little more than six months for patients treated with two other standard drugs, Tykerb and Xeloda.


Overall, patients taking Kadcyla lived about 2.6 years, compared with 2 years for patients taking the other drugs.


FDA specifically approved the drug for patients with advanced breast cancer who have already been treated with Herceptin and taxane, a widely used chemotherapy drug. Doctors are not required to follow FDA prescribing guidelines, and cancer researchers say the drug could have great potential in patients with earlier forms of breast cancer


Kadcyla will carry a boxed warning, the most severe type, alerting doctors and patients that the drug can cause liver toxicity, heart problems and potentially death. The drug can also cause severe birth defects and should not be used by pregnant women.


Kadcyla was developed by South San Francisco-based Genentech using drug-binding technology licensed from Waltham, Mass.-based ImmunoGen. The company developed the chemical that keeps the drug cocktail together and is scheduled to receive a $10.5 million payment from Genentech on the FDA decision. The company will also receive additional royalties on the drug's sales.


Shares of ImmunoGen Inc. rose 2 cents to $14.32 in afternoon trading. The stock has ttraded in a 52-wek range of $10.85 to $18.10.


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Promise, peril seen for crowd-funding investors









Crowd funding is widely seen as a revolutionary idea.


A 2012 federal law known as the JOBS Act opens the door to allowing small, privately owned businesses to market ownership stakes in their ventures to people over the Internet.


Companies will be able to sell up to $1 million in equity a year to ordinary investors without having to register the offering with the Securities and Exchange Commission or state regulators.





Before the average person can use crowd funding to stake a claim in a startup, the SEC still must draft rules that the Obama administration hopes will result in U.S. businesses growing and adding jobs. At the same time, the securities cop needs to include safeguards that protect less sophisticated individual investors drawn to inherently risky startups.


That's why equity crowd funding under JOBS, or Jumpstart our Business Startups, has some longtime regulators and securities lawyers squirming.


"It can be an invitation for fraudsters to steal money," Matthew Brown, a Katten Muchin Rosenman lawyer, said last month at a CFA Society of Chicago event at 1871, a center for digital startups in Chicago.


But Brown also noted that equity crowd funding also democratizes small-business financing, a process that historically has given access mostly to wealthier — or, as they're known in high-finance circles, "accredited" — investors.


"The world has changed dramatically, and who's to say who is smarter than anyone else?" Brown added.


Many existing crowd-funding platforms such as Kickstarter don't sell equity stakes in businesses to average investors. Rather, they give consumers the chance to donate money to an enterprise or to get an early or discounted crack at a new product. Since Kickstarter's launch in April 2009, more than $450 million has been pledged by more than 3 million people funding more than 35,000 projects, the New York-based company's website says.


Their acceptance suggests that consumers are willing to engage with companies on a deeper level. As such, enabling unaccredited consumers to invest in companies in small increments online has promise and could become part of the fundraising "ecosystem," says one Chicago entrepreneur.


Abe's Market, a Chicago-based e-commerce site selling natural and organic products from more than 1,000 suppliers, said it would consider crowd funding under the JOBS Act, saying it and its vendors have "die-hard fans" and "a core group of customers" who might like to invest in their vision.


Last month, Abe's raised $5 million from Carmel Ventures, Index Ventures, Beringea and Accel Partners, a Groupon backer. New backers include OurCrowd, a crowd-funding site for accredited investors.


"If you can get passionate people to invest in your business, you're not just gaining investors, you're gaining evangelists," Abe's Chief Executive Richard Demb said. "The challenge for any consumer brand is: How do you find not just customers, but the right customers who are going to tell their friends?"


But there would also be potential headaches for companies raising equity financing through crowd funding, he said.


"You have to make sure that expectations would be set fairly, that no one is putting their life savings into the investment, and that they don't also come back and become a challenge to manage as the business grows," Demb said. "You don't want someone who invested $250 to come back and say, 'I don't think we should expand to the West Coast.'"


Safeguards for average investors exist in the JOBS Act. They include capping nonaccredited individuals' crowd-funding investments at $2,000, or 5 percent of annual income or net worth of less than $100,000, whichever is greater.


Snapclass, launched a few weeks ago at 1871, provides software enabling businesses to provide training online. Co-founder Scott Mandel, who has financed the company himself, doesn't expect to take advantage of equity crowd funding in the future and instead would seek, say, venture capital funding.


"Not all checks are the same," said Mandel, previously a trader and professional poker player. "I'd want someone who could add more than just the cash, such as connections and experience and help with things that I'm not an expert in."


One of 1871's fastest-growing startups is MarkITx. It recently raised $1.2 million from wealthy individuals in its first fundraising round, has seven employees and is looking to add sales jobs. It's an online exchange for businesses wanting to buy and sell used information technology equipment, from iPads to Oracle servers.


"For us, it wouldn't be the sole way to raise money, but it definitely is a viable vehicle to look at raising money," MarkITx partner Marc Brooks said of equity crowd funding under the JOBS Act.





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Drew Peterson transferred to Pontiac prison









Drew Peterson’s new life as an Illinois Department of Corrections inmate has begun.


Peterson was transferred this morning to the Stateville Correctional Center near Crest Hill, where he was evaluated for placement based upon factors such as his conviction, length of sentence, program needs and medical and mental health requirements.


Peterson stayed at Stateville only a few hours before being sent to his new home at Pontiac prison northeast of Bloomington, a maximum security facility that has a protective custody unit.  The assignment was based upon factors such as his conviction, length of sentence, program needs and medical and mental health requirements, per Illinois Department of Correction protocol.








Officials have not said whether he has a cellmate or if he will be in solitary confinement like he had been during his jail stay.


As part of his daily routine there, he will remain in his cell for most of the day, though he will remain in his cell for most of the day, though he will be allowed out for meals and showers. Most inmates also get about five hours of recreation time outside per week, Illinois Department of Corrections spokesman Stacey Solano said.


The Will County jail – which had held Peterson in solitary confinement since his May 2009 arrest for his own safety – had the paperwork prepared for his transfer by the time he returned from his sentencing hearing Thursday, officials said.


The sheriff’s department, which oversees the jail, kept the former Bolingbrook police sergeant segregated from the general population there amid concerns that his high-profile case and law-enforcement background would make him a target of inmates looking to build tough-guy reputations.


Jail supervisors began preparing Peterson at 8:30 a.m. and he left without incident by 9:22 a.m., officials said.


Drew Peterson wanted to make sure he was heard when he was given one last chance to speak Thursday, shortly before being sentenced to 38 years in prison for the murder of his third wife, Kathleen Savio.

Declining to speak from the defense table, where there was no microphone, the former Bolingbrook police sergeant shuffled to the witness stand in his jail-issued blue scrubs and orange shoes and began quietly.


"I hope I don't aggravate the situation," he turned and told the judge. Then Peterson screamed into the microphone, "I did not kill Kathleen!" startling almost everyone in the courtroom.


"Yes, you did!" Savio's sister Sue Doman yelled back from the gallery, prompting Will County Circuit Judge Edward Burmila to order her out of the courtroom.


It was an odd end to a case replete with oddities and circuslike sideshows. For the next 40 minutes, Peterson cried, raged and whispered, challenged the state's attorney to look him in the eye and indulged in self-pity as he unleashed his multitudinous thoughts like a character in a Dostoevsky novel.


The 59-year-old said he expects to die in prison. Barring any successful appeal, he won't be eligible for release until he's 93.


Peterson claimed that lies and mistakes by witnesses, prosecutors and police led to his conviction, and made disparaging remarks about Savio's family, attorneys and others involved in the case. His defense attorneys called the monologue an impassioned plea for leniency, but prosecutors said it was proof that Peterson is a psychopath.


"When he got up on the stand and (in) that shrill, kinda-feminine screech that he didn't kill Kathy — that's the guy that killed Kathy," Will County State's Attorney James Glasgow said. "You got a glimpse into his soul."


But in describing himself on the stand Thursday, Peterson said he was maligned and misunderstood.


"Until this happened, I thought I was viewed as a great guy," Peterson said, giving a litany of public and private good deeds before announcing he planned to tattoo the phrase "No good deed goes unpunished" across his shoulders.


"The state took an accident and staged a homicide," Peterson said, before turning to the judge. "Can I get some water?"


Once refreshed, Peterson said he had upheld the oath he swore when he became a police officer.


"I always took my job seriously, I never violated the public trust," he said, his voice husky with emotion before quoting one of the Ten Commandments. "And I never beared false witness against anyone."





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Einhorn scores legal victory vs. Apple in cash scuffle


NEW YORK (Reuters) - A U.S. judge handed outspoken hedge fund manager David Einhorn a victory in his battle with Apple Inc on Friday, blocking the iPhone maker from moving forward with a shareholder vote on a controversial proposal to limit the company's ability to issue preferred stock.


U.S. District Judge Richard Sullivan in Manhattan granted a motion by Einhorn's Greenlight Capital for a preliminary injunction stopping a vote on that proposal, scheduled for the company's February 27 stockholders' meeting.


The decision could hand Einhorn more leverage as he pursues his pitch for Apple to issue what he has called the "iPref": preferred stock with a perpetual dividend that he contends would reward investors and help boost the company's share price.


Greenlight sued Apple on February 7 as part of a broader pitch to unlock more of its $137 billion in cash. The hedge fund manager has lobbied Apple to issue preferred stock with a perpetual 4 percent dividend, and on Thursday made a direct appeal to shareholders on a teleconference.


Apple Chief Executive Tim Cook last week dismissed the lawsuit as a "silly sideshow."


The lawsuit itself challenged a measure called Proposal No. 2 that Apple put forward, which would eliminate its power to issue preferred shares without a shareholder vote.


At issue is Apple's "bundling" of that measure with two other unrelated matters into a single proxy proposal.


Greenlight said it supported two of the proposed amendments, but not the one on preferred shares.


In his ruling, Sullivan said Greenlight and another investor who also sued Apple "are likely to succeed on the merits and face irreparable harm if the vote on Proposal No. 2 is permitted to proceed."


"We are disappointed with the court's ruling. Proposal No. 2 is part of our efforts to further enhance corporate governance and serve our shareholders' best interests," Apple spokesman Steve Dowling said. "Unfortunately, due to today's decision, shareholders will not be able to vote on Proposal No. 2 at our annual meeting next week."


A spokesman for Greenlight called the ruling a "significant win for all Apple shareholders and for good corporate governance."


But not all shareholders were happy. California pension fund Calpers, a major Apple investor and public supporter of Apple's proposal, said implementation of "majority voting and shareholder approval for the issuance of new stock - preferred or otherwise - is worth waiting for."


"We encourage Apple to reintroduce these measures as soon as is practical so that all investors can be heard," Anne Simpson, Calpers' director of global governance, said in a statement.


BUNDLES


The ruling could be a warning for other companies when issuing proxy proposals, said James Cox, a professor at Duke University School of Law.


"It's going to make managers reluctant to bundle things together, because you're never going to know when you send them out if there's an Einhorn out there," he said.


The lawsuit was centered on a narrow issue of whether Apple violated U.S. Securities and Exchange Commission rules by "bundling" the preferred shares item with two other unrelated matters into one proxy proposal.


Greenlight's lawyers contended the SEC rules were intended to protect shareholders from being forced to vote for a proxy proposal involving materially different issues that the investors might not entirely support.


Apple had argued Proposal No. 2, which only dealt with amendments to its charter, constitute a single matter and wasn't bundled. Sullivan called the company's arguments "unavailing."


"Given the language and purpose of the rules, it is plain to the Court that Proposal No. 2 impermissibly bundles 'separate matters' for shareholder consideration," Sullivan wrote.


Judge Sullivan also found that Greenlight would be irreparably harmed without the injunction, since it would be forced to vote against its own interests. Denying Greenlight's motion would prevent it and other investors from exercising their rights to a fair vote, Sullivan said.


Sullivan separately declined to block a vote from going forward on a separate proxy proposal, Proposal No. 4, which sought an advisory "say on pay" vote on Apple executives' compensation.


The proposal had been challenged by investor Brian Gralnick of Pennsylvania, who contends Apple did not disclose enough details about how it made its compensation decisions.


Sullivan rejected that argument, saying Apple's disclosures were "plainly sufficient under SEC rules."


Arnold Gershon, a lawyer for Gralnick at Barrack, Rodos & Bacine, said he was "very pleased" with Sullivan's decision to the extent it enjoined the Proposal No. 2 vote, though said he would have to decide what to do next with regard to the say-on-pay proposal.


Sullivan directed the parties to submit a joint letter by March 1 outlining the next contemplated steps in this case.


Apple shares closed up 1.1 percent at $450.81 on Friday.


The case is Greenlight Capital LP, et al., v. Apple Inc., U.S. District Court, Southern District of New York, 13-900.


(Reporting by Nate Raymond in New York; Additional reporting by Poornima Gupta in San Francisco; Editing by Martha Graybow, Gary Hill, Leslie Adler, Carol Bishopric and Lisa Shumaker)



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Oscar Pistorius gets bail as murder trial looms


PRETORIA, South Africa (AP) — Oscar Pistorius walked out of court Friday — free at least for now — after a South African magistrate released him on bail, capping four days of often startling testimony that foreshadowed a dramatic trial in the Valentine's Day slaying of his girlfriend.


But as he was driven away, chased by photographers and cameramen, questions continued to hound the double-amputee Olympian about what actually happened the night he gunned down Reeva Steenkamp inside a locked bathroom in his home.


Pistorius is charged with premeditated murder, and even Chief Magistrate Desmond Nair expressed doubts about his story that he mistook the 29-year-old model for an intruder and fired out of fear.


"Why would (Pistorius) venture further into danger" by going into the bathroom at all, Nair asked.


Cries of "Yes!" went up from Pistorius' supporters when Nair announced his decision to a packed courtroom after a nearly two-hour explanation of the ruling.


Nair set bail at 1 million rand ($113,000), with $11,300 in cash up front and proof that the rest is available. The 26-year-old track star was also ordered to hand over his passports, turn in any guns he owns and keep away from his upscale home in a gated community in Pretoria, which is now a crime scene.


He cannot leave the district of Pretoria without his probation officer's permission and is not allowed to consume drugs or alcohol, the magistrate said. His next court appearance was set for June 4.


Earlier, Pistorius alternately wept and appeared solemn and composed, especially as Nair criticized police procedures in the case and as a judgment in the track star's favor appeared imminent. He showed no reaction as he was granted bail.


Pistorius left the courthouse in a silver Land Rover just over an hour after the bail conditions were set. The vehicle, tailed by motorcycles carrying television cameramen, later pulled into the home of Pistorius' uncle.


"We are relieved at the fact that Oscar got bail today, but at the same time we are in mourning for the death of Reeva, with her family," said Pistorius' uncle, Arnold Pistorius. "As a family, we know Oscar's version of what happened on that tragic night and we know that that is the truth and that will prevail in the coming court case."


Dozens of journalists and international and local television crews had converged on the red-brick courthouse to hear the decision — a sign of the global fascination with a case involving a once-inspirational athlete and his beautiful girlfriend, a law school graduate and budding reality TV show contestant.


Nair said Pistorius' sworn statement, an unusual written account of what happened during the pre-dawn hours of Feb. 14, had helped his application for bail.


"I come to the conclusion that the accused has made a case to be released on bail," Nair said.


Pistorius said he shot Steenkamp accidentally, believing she was an intruder in his house. He described "a sense of terror rushing over" him and feeling vulnerable because he stood only on his stumps before opening fire.


Prosecutors say he intended to kill Steenkamp as she cowered in fear behind the locked bathroom door after a loud argument between the two.


Yet despite poking holes in Pistorius' version of events and bringing up incidents they say highlight his temper, the state's case started to unravel during testimony by the lead investigator, Detective Warrant Officer Hilton Botha.


Botha, who faces seven charges of attempted murder in an unrelated incident, was removed from the case Thursday. His replacement, the nation's top detective, Vinesh Moonoo, stopped by the hearing briefly Friday.


While Nair leveled harsh criticism at Botha for "errors" and "blunders," he said one man does not represent an investigation and that the state could not be expected to put all "the pieces of the puzzle" together in such a short time.


The prosecution accepted the judge's decision without protest. "We're still confident in our case," prosecution spokesman Medupe Simasiku said.


Pistorius faced the sternest bail requirements in South Africa because of the seriousness of the charge, which carries a life sentence if convicted. His defense attorneys had to prove that he would not flee the country, would not interfere with witnesses or the case, and his release would not cause public unrest.


Nair questioned whether Pistorius would be a flight risk when he stood to lose a fortune in cash, cars, property and other assets. Nair also said that while it had been shown that Pistorius had aggressive tendencies, he did not have a prior record of offenses for violent acts.


Anticipating the shape of the state's case at trial, he said he had serious questions about Pistorius' account: Why didn't he try to locate his girlfriend if he feared an intruder was in the house? Why didn't he try to determine who was in the bathroom before opening fire? And why did he venture into perceived "danger" in the bathroom when he could have taken other steps to ensure his safety?


"There are improbabilities which need to be explored," Nair said, adding that Pistorius could clarify these matters by testifying under oath at trial.


Sharon Steenkamp, Reeva's cousin, said the model's family would not be watching the bail decision and had not been following the hearing.


"It doesn't make any difference to the fact that we are without Reeva," she told The Associated Press.


Before the hearing, Pistorius' longtime coach, Ampie Louw, said he hoped to put the runner back into his training routine if he got bail.


"The sooner he can start working the better," said Louw, who persuaded the double-amputee to take up track as a teenager a decade ago. But he acknowledged Pistorius could be "heartbroken" and unwilling to immediately pull on the carbon-fiber running blades that earned him the nickname "Blade Runner."


___


AP Sports Writer Gerald Imray contributed to this report from Johannesburg.


___


Jon Gambrell can be reached at www.twitter.com/jongambrellAP .


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Canada ambassador says he feels slighted by "Argo"


TORONTO (AP) — Canada's former ambassador to Iran, who protected Americans at great personal risk during the Iran hostage crisis of 1979, said Friday if "Argo" wins the Oscar for best picture on Sunday there would be something wrong with director Ben Affleck if he didn't mention Canada.


Ken Taylor said he continues to feel slighted by a movie that he says makes Canada look like a meek observer to CIA heroics in the rescue of six U.S. citizens caught in the crisis. He said there would be no movie if the Canadian embassy didn't take in the Americans.


Taylor said if Affleck doesn't say something in his acceptance speech "then it's a further reflection" on him.


"I would hope he would," Taylor said. "But given the events of the last while I'm not necessarily anticipating anything."


Affleck's CIA thriller "Argo" is widely expected to win the best-picture trophy on Sunday.


"In general it makes it seem like the Canadians were just along for the ride. The Canadians were brave. Period," he said.


Taylor noted that Former U.S. President Jimmy Carter appeared on CNN on Thursday night and said "90 percent of the contributions to the ideas and the consummation of the plan was Canadian," but the film "gives almost full credit to the American CIA."


"We took the six in without being asked so it starts there," Taylor said. "And the fact that we got them out with some help from the CIA then that's where the story loses itself. I think Jimmy Carter has it about right, it was 90 percent Canada, 10 percent the CIA."


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Air travel could be hit in sequestration budget cuts









U.S. airports and fliers around the country face widespread disruptions if automatic spending cuts take effect next week, Transportation Secretary Ray LaHood said Friday in an effort to pressure Congress to delay the cuts.

LaHood illustrated a bleak picture of delayed and canceled flights, shuttered airports and irritated air travelers if across-the-board spending cuts are allowed to take place under the process known as sequestration. Travelers could start to feel effects in April, he said.

LaHood told reporters at the White House that flights to major cities such as Chicago, New York and San Francisco could see delays of up to 90 minutes at peak travel times. Delays in Chicago or in major coastal airports tend to ripple across the country quickly because they're frequent flight transfer points. O'Hare was already the fifth-most delay plagued airport in the U.S. last year.

Security delays could also be significant. Homeland Security Department of Secretary Janet Napolitano said in Senate committee testimony last week that cuts could increase passenger wait times by as much as an hour at airport security checkpoints, leading many travelers to miss flights.

The potential cutbacks would be especially damaging to large airlines that cater to business travelers, who are the most sensitive to flight delays, said Henry Harteveldt, a travel industry analyst at Hudson Crossing LLC.

"They have the most flexibility, and they also have the least patience," he said. "Since airlines rely on business travelers for their profits, this could have a disproportionately negative impact on airline revenues, profits and earnings."

Potential delays could also discourage some vacationers from booking summer travel, he said.

Airline consultant Robert Mann said customers will blame the airlines for delays, even if they're the government's fault.

"When you look at how customers rate airlines, ratings go right to the bottom whenever delays are involved," Mann said. "And it doesn't matter what causes the delay. A delayed passenger is a ticked-off passenger, and that reflects on the airline."

The flight delays will be caused, LaHood said, by a number of behind-the-scenes cuts including employee furloughs and a reduction in equipment maintenance.

LaHood said the cuts will also mean the elimination of overnight shifts at 60 air traffic control towers across the country and the closure of more than 100 towers.

Under the plan, local airport towers that would see an end to overnight monitoring include Midway and two smaller airports, Dupage and Peoria International.

There are 48 Midway flights that operate between 10 p.m. and 7 a.m., a spokeswoman for the Chicago Department of Aviation said. Southwest Airlines, which has one of its biggest flight operations at Midway, said it’s too early to assess the potential effect on carriers and the airports they serve.


The closure list includes five Illinois airport towers: Central Illinois Regional Airport at Bloomington-Normal, Decatur Airport, Dupage in West Chicago, Southern Illinois Airport in Murphysboro and Marion County regional in Marion.

Some $85 billion in cuts are due to be applied across government programs on March 1 unless lawmakers act. The cuts were designed to be so onerous they would force a compromise over a broader deficit reduction package, but this has proven elusive.

President Obama has urged Congress to postpone the cuts for several months to let the White House and congressional Republicans hammer out a deficit-cutting deal. Republicans, who have argued that government overspending is a leading problem hurting the U.S. economy, have rebuffed the president's efforts. A number of Republican members of Congress have said that while the cuts may be painful, they could benefit the nation's finances in the long term.

LaHood said sequestration would lead to $1 billion in spending cuts at the Transportation Department, of which more than $600 million would be to the Federal Aviation Administration, which oversees U.S. air travel.

The "vast majority" the FAA's approximately 47,000 employees face furloughs of at least a day per pay period until the end of September, he said.

LaHood said the traveling public could start seeing delays just ahead of the busy summer travel season.

The National Air Traffic Controllers Association, the main union representing controllers in the U.S., said Friday's announcement of "draconian" cuts was worse than it anticipated.

"Once towers are closed, the airports they serve may be next," the union said in a statement. "We believe the delay estimates provided by the FAA are conservative, and the potential for disruptions could be much higher."


But the main trade association representing U.S. airlines urged lawmakers to work together to reach a deal, and warned that air transportation "should not be used as political football."

- Reuters and Tribune staff reporters Gregory Karp and Samantha Bomkamp contributed to this report.



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Drew Peterson: 'Until this happened, I thought I was a great guy'









Moments after screaming in court, "I did not kill Kathleen," Drew Peterson was sentenced to 38 years in prison for the 2004 murder of his third wife Kathleen Savio.

Peterson had faced as much as 60 years, but Judge Edward Burmila said he gave Peterson some consideration for his years as a police officer and his service in the military. Peterson is 59.


The sentence was handed down after Peterson, who did not testify at his trial, made an emotional appeal to the judge, at times appearing to choke up as he argued that he was convicted by "rumors, gossip, outrageous lies and, most importantly, unreliable hearsay."


"I don't deserve this," he told Burmila. "I don't deserve this."








Peterson, a former Bolingbrook police sergeant, was convicted last fall of drowning Savio in her bathtub. Prosecutors have said they believe Peterson also killed his missing fourth wife Stacy and could seek charges in that case.


Peterson began his appeal to the judge today by telling him, "Good day, my name is Drew Peterson. I hope I don't aggravate the situation here, but I have a lot of things to be said." Then he screamed, "I did not kill Kathleen!"

"Yes, you did," a woman said.

"Ma'am, I'd like you to leave the courtroom," Burmila said. "And Mr. Peterson, don't make any outbursts that are designed to aggravate people."

"I'm sorry, your honor. I must have been woozy," Peterson said.


After the sentencing, State's Atty. James Glasgow dismissed the outburst as a "shrill, kind of feminine screech."


Peterson insisted to the judge he is the victim of an unjust and invasive police investigation that ignored or lost evidence that could have shown his innocence. He accused the state police of falsifying reports.

"What they did uncover was rumors, gossip, outrageous lies, and most importantly, unreliable hearsay. Hearsay that pierced three privileges that have stood for centuries," Peterson said.

Peterson bitterly complained that the Rev. Neil Schori betrayed his promise never to repeat anything that was said by Peterson or Stacy. Schori testified at trial that Stacy confided to him that she lied to state police about Peterson's alleged slaying of Savio.

"Out of the privileged information from Neil Schori, the state police was able to create" a case, he said. "I find it hard to believe that the state was able to take information that they obtained illegally and turn it to their benefit."

Kathleen Savio’s divorce attorney Harry Smith, who also testified at trial about a conversation he had with Stacy before she disappeared, "gave up privileged information from both Kathy and Stacy, like it was yesterday's garbage," Peterson said. "Ultimately, it led to my conviction.

"Hearsay is a scary thing. There's no proof. Anything can be said and nobody's accountable for the truth.

"In my experience, in divorce situations everybody lies, and everybody lies under the instruction of their attorneys.

"There was an incident where Kathleen exited the house ... and punched Stacy in the face. They went to trial, my 9- and 10-year-old sons were called to testify, and under oath they lied," Peterson said.

"On their next visit, I questioned them, 'Why’d you guys lie?' They said Harry Smith told them to. They didn’t want their mom to go to jail,” Peterson said, growing emotional as he spoke. “I couldn't be mad at them.”

"Stacy provided me an alibi for Kathleen's death. Then she later said she was lying about that. Seems like Stacy was lying all the time about everything. But the state's attorney picked and chose what they wanted to believe.

"Stacy clearly had a crush on the Rev. Schori, which I think was a factor in this.

"There was a constant and consistently illegal activity by the state’s attorneys, including the state’s attorney himself.

"So what did the state’s attorney do? They hire a skinny ... spokesperson (Stacy Peterson family spokeswoman Pam Bosco) to go out and say anything she wants. It buffered the state’s attorney’s office from anything the court might bring.

"And when it came time for a vote from the grand jury, only a handful of people were selected. Not the entire grand jury was brought in to do the vote. Pretty much guaranteed ... that I was indicted, which I was.

"There was a first investigation on this case, in which probably one of the most experienced investigators was the first one on the scene in this case, and he determined Kathleen's death was an accident.

"Dr. (Bryan) Mitchell looked at Kathy's body when it was in its freshest state. He determined her death was an accident."

So did the coroner's jury, Peterson said. "All this was done when the evidence was freshest."

Peterson then paused and asked for some water. He resumed by talking about his service in the military and lengthy law enforcement career.

"I was probably one of the highest-decorated officers in the Bolingbrook Police Department," he said.


"I always took my job seriously, I never violated the public trust," he said, his voice husky with emotions. "And I never beared false witness against anyone.

"I loved having a job that helped people," he said. "In my private life, I ran up to six companies at one time. I employed nearly 100 people.

"Until this happened, I thought I was a great guy," he said. "And in moments, the media turned me into a monster.

"As soon as I get a chance, I'm going to get a tattoo on my back, from shoulder to shoulder, that says, 'No good deed goes unpunished.' "

He said he loved Savio and called her a good wife and mother who did not deserve to die, but insited it was an accident. He then talked about Savio’s upbringing, calling it difficult and abusive.

"The most pathetic thing I’ve ever seen in my life was the night after our wedding, when I held Kathy and she cried because her father failed to show up and give her away on her wedding.

"At Kathy's wake, friends and family put money in cards and envelopes to help cover the cost of the funeral.

“I paid for the funeral."

"That's a lie right there," a man in court shouted.

"I paid for Kathy’s funeral at the request of her sister, who's sitting right there," Peterson said.

He then attacked State's Atty. James Glasgow.

"Mr. Glasgow, all aspects of my life have been destroyed. Everything from my personal life to my professional life to my social life -- all aspects have been destroyed. And I tell you this to give you greater cause for celebration, when you celebrate the fact that you perpetrated the largest railroad job in the history of this country.

"Since I've been incarcerated, I've had nine family members who have died, six of which were cousins," Peterson said. None of them made it past the age of 60, he said.

“And in telling you this, I'm not looking for any sympathy, but anything you sentence me to, you're sentencing me to the Department of Corrections to die!" Peterson said.

Peterson said he believes his constitutional rights have been violated.

"And I think the only thing left to make this case run true to form would be a cruel and unusual punishment. And I don't think anybody would care because nobody cares. I can't believe I spent 32 years defending a constitution that allowed this to happen to me. I can't believe people fought and died in wars protecting a constitution that allowed this to happen to me.”

America should be outraged, but nobody cares, he said.

"I take full responsibility for my relationship with the media," Peterson continued. "I just wanted them away from my home because they were scaring my kids. They hounded me. I agreed to go on TV and tell my story and ask for legal help.

"Everybody from busy bodies like Nancy Grace ... to that ridiculous movie that played repeatedly before and during my trial.

"It pretty much guaranteed that I would not get a fair trial. It's pretty clear that the state took part in that movie because things I remember saying only to the state police appeared in that movie," Peterson said, apparently referring to a Lifetime TV movie starring Rob Lowe as Peterson.

"I'm an obnoxious man by nature, truly. And after 30 years as a police officer, as is normal with a police officer, my defense mechanism is comedy. The media took that and capitalized on that, and my obnoxious nature showed through. But I want to ensure the court that at no time did I want to portray any insensitivity about Kathy's death. That was not my intention.

“I hope Mr. Glasgow looks me in the eye right now. Never forget my face! Never forget what you’ve done. 

“Originally I had some cute and funny things to say. But now in closing, it's time to be sentenced to a life of hardship and abuse in prison. I don't deserve this, I don't deserve this.

“Thank you.”


Earlier in the afternoon, Savio’s sister Anna Marie Savio-Doman told the judge that "my loss of my baby sister is beyond words. There will be no more birthday parties, backyard gatherings, holiday celebrations or other family activities to share. The laughter, hugs, guidance, advice, sense of security and those opportunities to say ‘I love you’ are forever gone.

“One of the hardest things for me is knowing the pain and fear that Kathleen must have suffered at the time of her murder. The horror and betrayal she must have felt when she realized that someone she had trusted and loved more than anything was actually killing her. I wonder if she could feel her heart breaking when she thought about leaving her two boys forever. The helplessness she must have felt knowing she was going to die.

“I have to say it hurts a lot. I hope it gets better, but I am not confident it will get better. I still talk to her. I hope she can hear me.”

Susan Doman described her sister as a “rock” and told the court she looked up to Savio, even though Savio was younger. She also expressed her anger toward Peterson.

“He showed no remorse,” she said. “For years I watched Peterson parade on TV, radio, photo shoots, and (that) radio promotion to win a date with him. That was a big joke to him. And he loved all the attention.

“Your honor, the defendant shows no remorse to this day for the horrible crime that he did to my sister Kathleen. This senseless action is inexcusable. I am placing my trust that you will give Kathleen justice once and for all.”

The judge also read a statement from Savio’s father, but not aloud.

In arguing for a maximum sentence, Glasgow reminded the judge about the damage done to his young children with Stacy. Prosecutors have said they believe Peterson killed Stacy and could seek charges in that case.

"Not only is their mother gone, but also their father is gone, as he sits before you," Glasgow said.

Glasgow said Peterson also should not get a break for living a law- abiding life because of his attacks on his second wife, when he threatened to kill her.

"There's a recurring them here with Mr. Peterson. He’s a police officer, and there's a number of occurrences with the victims here being afraid to call the police department.

"These are obviously very dangerous situation, and in this case, led to the demise of two young women."

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Facebook blocks access to NBC.com after reports site is infected

DEAR ABBY: My boyfriend, "Doug" (24), and I (22) have been in a long-distance relationship for a year, but we were friends for a couple of years before that. I had never had a serious relationship before and lacked experience. Doug has not only been in two other long-term relationships, but has had sex with more than 15 women. One of them is an amateur porn actress.I knew about this, but it didn't bother me until recently. Doug had a party, and while he was drunk he told one of his buddies -- in front of me -- that he should watch a certain porn film starring his ex-girlfriend. ...
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McIlroy: Another 1 bites the dust


MARANA, Ariz. (AP) — The snow is gone from the Match Play Championship, and so are Rory McIlroy and Tiger Woods.


In a stunning conclusion to what already is a bizarre week on Dove Mountain, Shane Lowry of Ireland made a 4-foot par putt on the 18th hole to eliminate Rory McIlroy in the opening round of golf's most unpredictable tournament.


It was the third time in the last four years the No. 1 seed went home after one round.


Moments later, Charles Howell III finished off a fabulous round in cold conditions by defeating Woods on the 17th hole. Howell, who had not faced Woods in match play since losing to him in the third round of the 1996 U.S. Amateur, played bogey-free on a course that still had patches of snow and ice after being cleared Thursday morning.


The match was all square when Howell hit a wedge that stopped inches from the cup on the 15th hole for a conceded birdie. Then, he holed a 25-foot birdie putt on the 16th and went 2 up when Woods badly missed a 12-foot birdie putt.


"I had nothing to lose," said Howell, who started the year outside the top 100 in the world and hasn't qualified for this World Golf Championship in five years. "In this format, match play is crazy. He's Tiger Woods. I was lucky to hang in there."


The final matches were played in near darkness, and they could have stopped after 15 holes. Woods wanted to play on, even though Howell had the momentum. Woods was 2 under for the day, and neither of them made a bogey.


"We both played well," Woods said. "He made a couple of more birdies than I did. He played well, and he's advancing."


McIlroy, the No. 1 player in the world, built a 2-up lead early in the match until Lowry rallied and grabbed the moment by chipping in for birdie on the par-3 12th and then ripping a fairway metal to within a few feet for a conceded eagle on the 13th.


Lowry missed a short par putt on the 14th, only for McIlroy to give away the next hole with a tee shot into the desert and a bunker shot that flew over the 15th green and into a cactus. But the two-time major champion hung tough, coming up with a clutch birdie on the 16th to stay in the game.


McIlroy nearly holed his bunker on the 18th, and Lowry followed with a steady shot out to 4 feet and calmly sank the putt.


"Deep down, I knew I could beat him," Lowry said. "There's a reason I'm here, and this is match play."


For McIlroy, more questions are sure to follow him to Florida for his road to the Masters. He now has played only 54 holes in the first two months of the season, missing the cut in Abu Dhabi and losing in the first round at Dove Mountain.


The Match Play Championship lost its two biggest stars in one day. The only other time the top two seeds lost in the opening round was in 2002, when Woods and Mickelson lost at La Costa.


Luke Donald nearly made it the top three seeds except for a clutch performance. He holed a 10-foot birdie putt to halve the 17th hole and stay tied with Marcel Siem of Germany. Donald then birdied the 18th from 7 feet to win the match.


Louis Oosthuizen, the No. 4 seed, rallied to get past Richie Ramsay of Scotland.


The opening round was halted Wednesday after 3½ hours because of a freak snowstorm that covered Dove Mountain with nearly 2 inches. It continued to snow at times overnight, and it took nearly five hours to clear snow from the golf course for the tournament to resume.


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APNewsBreak: Govs to hear Oregon health care plan


SALEM, Ore. (AP) — Oregon Gov. John Kitzhaber will brief other state leaders this weekend on his plan to lower Medicaid costs, touting an overhaul that President Barack Obama highlighted in his State of the Union address for its potential to lower the deficit even as health care expenses climb.


The Oregon Democrat leaves for Washington, D.C., on Friday to pitch his plan that changes the way doctors and hospitals are paid and improves health care coordination for low income residents so that treatable medical problems don't grow in severity or expense.


Kitzhaber says his goal is to win over a handful of other governors from each party.


"I think the politics have been dialed down a couple of notches, and now people are willing to sit down and talk about how we can solve the problem" of rising health care costs, Kitzhaber told The Associated Press in a recent interview.


Kitzhaber introduced the plan in 2011 in the face of a severe state budget deficit, and he's been talking for two years about expanding the initiative beyond his state. Now, it seems he's found people ready to listen.


Hospital executives from Alabama visited Oregon last month to learn about the effort. And the U.S. Department of Health and Human Services announced Thursday that it's giving Oregon a $45 million grant to help spread the changes beyond the Medicaid population and share information with other states, making it one of only six states to earn a State Innovation Model grant.


Kitzhaber will address his counterparts at a meeting of the National Governors Association. His talk isn't scheduled on the official agenda, but a spokeswoman confirmed that Kitzhaber is expected to present.


"The governors love what they call stealing from one another — taking the good ideas and the successes of their colleagues and trying to figure out how to apply that in their home state," said Matt Salo, director of the National Association of Medicaid Directors.


There's been "huge interest" among other states in Oregon's health overhaul, Salo said, not because the concepts are brand new, but because the state managed to avoid pitfalls that often block health system changes.


Kitzhaber persuaded state lawmakers to redesign the system of delivering and paying for health care under Medicaid, creating incentives for providers to coordinate patient care and prevent avoidable emergency room visits. He has long complained that the current financial incentives encourage volume over quality, driving costs up without making people healthier.


Obama, in his State of the Union address this month, suggested that changes such as Oregon's could be part of a long-term strategy to lower the federal debt by reigning in the growing cost of federally funded health care.


"We'll bring down costs by changing the way our government pays for Medicare, because our medical bills shouldn't be based on the number of tests ordered or days spent in the hospital — they should be based on the quality of care that our seniors receive," Obama said.


The Obama administration has invested in the program, putting up $1.9 billion to keep Oregon's Medicaid program afloat over the next five years while providers make the transition to new business models and incorporate new staff and technology.


In exchange, though, the state has agreed to lower per-capita health care cost inflation by 2 percentage points without affecting quality.


The Medicaid system is unique in each state, and Kitzhaber isn't suggesting that other states should adopt Oregon's specific approach, said Mike Bonetto, Kitzhaber's health care policy adviser. Rather, he wants governors to buy into the broad concept that the delivery system and payment models need to change.


That's not a new theory. But Oregon has shown that under the right circumstances massive changes to deeply entrenched business models can gain wide support.


What Oregon can't yet show is proof the idea is working — that it's lowering costs without squeezing on the quality or availability of care. The state is just finishing compiling baseline data that will be used as a basis of comparison.


One factor driving the Obama administration's interest in Oregon's success is the president's health care overhaul. Under the Affordable Care Act, millions more Americans will join the Medicaid rolls after Jan. 1, and the health care system will have to be able to absorb the influx of patients in a logistically and financially sustainable way.


The federal government will pay 100 percent of the costs for those additional patients in the first three years before scaling back to 90 percent in 2020 and beyond.


"There are a lot of governors who are facing the same challenges we're facing in Oregon," Kitzhaber said. "They recognize that the cost of health care is something they're going to have to get their arms around."


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Large coats a mainstay for next winter from Milan


MILAN (AP) — Many of the fashions displayed on the Milan runway Thursday had a yesteryear appeal — but with a contemporary edge.


Coats are a mainstay for next winter, many of them oversized with accentuated cuffs — part of a trend toward architectural references in clothing. Fur coats and jackets make the biggest comeback in many a season, perhaps appealing to new markets in cold weather climates, and certainly fitting for the snowy Milan weather.


Many of the styles, from the flared skirts to belted suits, recalled couture favorites from earlier fashion eras. However, the styles were updated by paring down the silhouette and using coarse fabric for elegant wear that in the past has been associated with silkier materials.


Spandex gave a modern glint to looks, including form-fitting dresses, jumpsuits and turtleneck tops, which were softened with sewing details or by coupling them with softer materials like fur and cashmere. For romantic looks, there was lace paired with leather or animal prints for a new twist. Gold lame and sequins add luxury to sensual evening wear.


The palette featured a lot of blues, green, red, some white and flashes of yellow along with mainstay black.


Hardy, practical shoes were a mainstay, but designers aren't neglecting pretty looks and are still coming up with sandals, pumps and feminine slippers and booties.


Bags tend to be large, but not huge, and no few have a Mary Poppins practicality.


PRADA


The Prada finale was a long luxurious mink coat with ample collar and cuff like the ones the Hollywood divas used to wear in the 1950s. Underneath the model wore a sheer see-through silk dress.


It was only the showiest item of the winter collection presented Thursday evening, based on yesteryear luxury, from the opulent coats to the gilded gowns to the mink wraps.


Miuccia Prada season after season has a fashion vision, and follows it through regardless. This round she revisits vintage couture in a contemporary context.


Coats have extra wide cuffs and are often belted at the waist and flared toward the bottom. Skirts come in wide ballerina styles, as do some the dresses. The jumper dress is another 1950s look, which Prada revisits, even for evening, not to mention the many coat dresses in the collection.


Totally Prada, and anything but retro, was the uneven hemline (one side much longer than the other) that the designer used for daytime belted sheaths as well as gilded, belted gowns.


Fabrics ranged from coarse tweeds to shimmering metallic materials, plus leather and fur. Crocodile takes on new importance when used not only for bags, but also for skirts and even a suit.


The latest Prada shoe, either a sandal or a bootie, has a thick high heel, but a heavy rubber sole.


The sides of the voluminous bags in tweed and leather, including crocodile, were folded in such a way to give the impression of a feline face, perhaps inspired by a video of a cat that was part of the background of the show.


FENDI


Fendi is to fur what Ferrari is to cars. Yet given current concerns about animal rights, the brand has moved from the lavish fur coats that were all the rage in the 1980s to a more discreet way of interpreting fur as fashion.


Fendi creative director Silvia Venturini, daughter of one of the company's five founding sisters, opted for wisps of fur used as hair decorations, bracelets, or charms hanging from Fendi bags.


Fur also appeared as inserts in a skirt or a dress, or sheered and fashioned into a cozy, but not showy, jacket. Long fur, usually goat, also seen on other runways during Milan's preview showings, was used to make up a skirt or a cape.


For decades, German born designer Karl Lagerfeld has been working with Fendi, adding his flamboyant designing talent to their creative genius.


This round he offered a constructed slim silhouette, with accentuated shoulders and a knee-length hemline. The look is sophisticated rather than sexy and used deep, dark shades of red and blue, which along with black are becoming the staple colors for next winter.


In the accessory department, Fendi chose to reinvent its iconic handbags, from the clutch bag — this time furry — to a modern version of the Mary Poppins bag.


The shoes are sure to be a winter hit. Whether a pump, a boot or a lace-up, each pair was elaborately decorated, some in fur, and comes with a pointed toe and a glistening mirrored high heel.


BLUGIRL


Blugirl has looks for women feeling both demure and daring at the same time — mixing traditional tartan, peek-a-boo lace and bold leopard prints.


The women's wear collection for next winter, took as its muse the British style icon Alexa Chung. The label described Chung's style as "midway between tradition and urban accents, ultra-cosmopolitan, always cool."


Designer Anna Molinari's collection started off with a preppy coed look: green, red and navy plaid skirts, sometimes pleated, or pencil pants paired with oversized green sweaters, pullovers or cardigans. Shoes were leather ankle boots, worn with short, dark socks.


The outfits transitioned into more feminine territory. A tartan-printed taffeta bubble skirts paired was with a ruffle-neck lace shirt and topped with a loose-fitting leopard-print jacket, leading off an array of looks combining plaid, lace and leopard. Here the preferred shoe was the pump.


The collection finished with a flash of gold, with sequined evening dresses and skirts.


Dragon and swan motifs gave a nod to Chung's British-Chinese heritage. Commanding dragon shaped necklaces and Chinese-style jackets offered Asian flair, while sequined kissing swans on evening wear were reminiscent of an English park.


The looks were finished with small shoulder bags in leopard print, tartan or sequins, strapped across the body for the stylish girl-on-the-go.


MAX MARA


The German Bauhaus design school gave a sophisticated clientele functional yet elegant design in everyday objects, like chairs and teapots, as well as living and working spaces. On the runway in Milan, Max Mara struck the same note of functional elegance in its Bauhaus-inspired women's wear show.


The collection for next winter was, fittingly, highly structured.


The coats alone were a feat of layered and textural complexity. A hooded overcoat, worn open over the shoulders with empty sleeves hanging, accompanied another interior jacket with a nubby texture.


Often, the overcoat sleeves were rolled up to reveal another layer of, say, spandex, which contrasted with the satiny coat lining. Leather patches emphasized rounded shoulders.


Max Mara's heritage of practical luxury was highlighted by its focus on new camel fabrics for their coats, including spun alpaca and mouflon wool. From super-functional camel, the color palette then progressed to a deep yellow and onward to decidedly urban shades of gray, black and midnight blue — a nod to the Bauhaus inspiration.


The silhouette ranged from skinny pencil skirts paired with long sweaters for the office or loose-fitting pajama pants for relaxed afternoons. Shoes emphasized comfort — sneakers — but were built from luxury materials like suede and leather. Boston bags were made from leather and crocodile prints.


DSQUARED2


Both the masculine and feminine sides of the DSquared2 label were shouting over each other for attention.


The collection for next winter featured over-the-top masculine tailoring balanced with oversized jewels.


For daytime, the look was gangster chic, with loose-fitting men's double-breasted suits worn with nothing more than a dickey underneath and topped with exaggerated bowler hats — pink with purple ribbon. Pencil skirts paired with belted jackets, one with layered, architectural lapels.


But for nighttime, the mood was more speak easy slinky with silky dresses with an asymmetrical, trailing feather boa hemline or a fur stole — a favorite on Milan runways this season.


Designing twins Dean and Dan Caten showed at night for the first time in a while, giving up their closing day slot.


JUST CAVALLI


Designer Roberto Cavalli drew inspiration for his second line "Just Cavalli" collection, from a recent trip to Thimphu, the capital of Bhutan, at the foot of the Himalayas.


"Riches there are measured by the values of happiness," the designer said ahead of the show, which had an ethnic, almost hippie feel to it.


Almost the entire collection came in subdued native prints, fashioned in anything from tunics over pants to colorful evening gowns. Accessories included long silk necklaces like the ones worn by the Bhutan nobility, and a backpack to replace the more urban handbag.


Many designers are featuring fur this round of preview shows, including Cavalli who used it mainly to trim the hoods of his winter parkas. That was enough to draw the wrath of a small group of animal rights activists who disrupted the show holding up signs in Italian saying, "Your fashion is our death," until they were forcibly removed.


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United takes Dreamliner off schedule until June
















All Nippon Dreamliner 787


The All Nippon Airways Dreamliner 787 arrives at Mineta San Jose International Airport.
(Gary Reyes/San Jose Mercury News/MCT / January 22, 2013)



























































The parent company of United Airlines says it is taking the Boeing 787 off its schedule through June 5 for all but one of its routes.


United Continental Holdings Inc. said it still plans to use the 787 on its flights between Denver and Tokyo's Narita airport starting May 12. It had aimed to start that route on March 31.


United, currently world's largest airline and the only U.S. customer for the 787, said the timing of that reinstatement will depend on resolution of the Dreamliner's current issues.





The 50 Dreamliners in commercial service were grounded worldwide last month after a series of battery-related incidents including a fire on board a parked plane in the United States and an in-flight problem on another jet in Japan. United had only been flying the plance since November.


Sources told Reuters earlier this week that Boeing Co. has found a way to fix the battery problems that involves increasing the space between the lithium ion battery cells.









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Drew Peterson: Ex-attorney Brodsky meets with Stacy's sister









Drew Peterson could be sentenced to up to 60 years in prison Thursday if a judge rejects defense team arguments that his former lead attorney's inept trial performance violated his constitutional rights to a fair trial.

Judge Edward Burmila is expected to rule Thursday whether the former Bolingbrook police sergeant will get a new trial, a rarely granted motion.






If not, Burmila will begin a sentencing hearing at which prosecutors have said they plan to argue Peterson also killed his fourth wife, Stacy, who went missing in 2007, in asking for the maximum sentence.

Peterson, 59, was convicted by a jury last fall of first-degree murder in the 2004 bathtub drowning of his third wife, Kathleen Savio.

Among the oddities Wednesday, during the unusual hearing on post-trial motions that has stretched across two days, was former Peterson lead attorney Joel Brodsky chatting in a courthouse hallway with Stacy's sister Cassandra Cales.

Both declined to detail their conversation. “We were just discussing how to make sure that her sister Stacy isn't forgotten after Drew goes away,” Brodsky said.

Much of Wednesday's hearing focused on Brodsky's trial decision to call Wheaton divorce attorney Harry Smith, who represented Savio in her bitter divorce fight with Peterson and also fielded a call from Stacy about her divorce options shortly before she vanished.

Smith testified at trial that Stacy had asked him if the fact that Peterson killed his third wife could be used as leverage in a divorce.

Several jurors said after trial that the testimony convinced them of Peterson's guilt. There was no physical evidence tying Peterson to Savio's death, which was initially treated as an accident.

Retired Cook County Judge Daniel Locallo, called as a witness by Peterson's attorneys, blasted Brodsky for calling Smith, saying the testimony for the first time at trial connected Peterson to Savio's death.

The retired judge said that, in his opinion, Brodsky's decisions constituted ineffective assistance of counsel, which can be grounds for a new trial.

“It was an awful decision,” defense attorney Steve Greenberg later argued in court. “It ruined the case -- we brought out the worst possible evidence, and the best evidence for the state.”

The defense team also attempted to call to the stand Will County State's Attorney James Glasgow to explain his comment in a courthouse hallway during the trial that Smith's testimony was “a gift from God.”

Greenberg wanted to use the statement to contradict prosecutors' argument that Smith's testimony was part of well-thought-out defense strategy.

Burmila first called Glasgow to be sworn in, but stopped the process after prosecutors said Peterson had failed to meet the legal standards necessary to call him.

Assistant State's Attorney Marie Czech argued that Brodsky's decision to call Smith was a calculated risk to discredit Stacy by attempting to show she was out for money, and not grounds for a new trial.

“There was a strategic decision,” she argued. “It was well-conceived.”

Greenberg argued that the upside was so small and the risks so monumental that there was no way Brodsky's decision could have been part of a reasonable trial strategy.

“Whatever kernel of impeachment Mr. Brodsky thought he was going to get out of it paled in comparison to the mountain of damage that it brought out,” Greenberg said. “It was awful strategy, and that strategy alone means Mr. Peterson should get a new trial from this court.”

Brodsky, who could be heard sighing loudly as he listened to Wednesday's arguments in an overflow room, continued to assert that he was not alone in the decision to call Smith, saying Greenberg supported the decision.

“A number of lies and misrepresentations were made about me today, but you know, I've got tough skin,” Brodsky said. “I can handle that.”

Stacy's older sister Cales said she was “very excited” that Peterson could be sentenced Thursday.

“Even if he gets the minimum of 20 years, technically that's life for him because he's an old man,” she said.

Cales said that she still holds out hope that someone will come forward with information about her sister's disappearance. Prosecutors have said they are reviewing the case again with an eye to possibly bringing charges.

“Maybe that person out there will have a conscience and come forward because Drew will be away at prison and will be unable to hurt them,” Cales said.

mwalberg@tribune.com
sschmadeke@tribune.com





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Sony unveils new PlayStation 4 console


NEW YORK (Reuters) - Sony Corp unveiled its first video game console in seven years on Wednesday that will let users stream and play video games hosted on servers, hoping the move will help stem user losses, pre-empt the next version of Microsoft's Xbox and propel it back to the top of the videogame hardware industry.


The company revealed its PlayStation 4 console, which will succeed the PlayStation 3, at a flashy event in New York with game developers like Ubisoft and Activision Blizzard in attendance.


Sony said the console would be available for the holiday 2013 season. It did not immediately disclose pricing.


The console will be up against the next version of the industry-leading Xbox console, which is expected later this summer.


The controller on the new console dubbed "DualShock 4" will have a touch pad, Mark Cerny, lead system architect on PlayStation 4, said.


Sony purchased U.S. cloud-based gaming company Gaikai for $380 million in July. Using that technology, the new console will offer a cloud-gaming service, the company said.


The 8GB PlayStation 4, which has been in development for the last five years, can also instantly stream game content from the console to Sony's handheld PlayStation Vita through a feature called "Remote Play," the company said.


Sony has also revamped the user interface on the new console that keeps tabs on user preferences and added social networking features.


Sony's announcement comes amid industry speculation that Microsoft is set to unveil the successor to its Xbox 360 later this summer. The market-leading Xbox 360 beats the seven-year-old PlayStation 3's online network with features such as voice commands on interactive gaming and superior connectivity to smartphones and tablets.


Gaining a lead over Microsoft's Xbox and Nintendo Co Ltd's new Wii U could help Sony revive an electronics business hurt by a dearth of hit gadgets, a collapse in TV sales and the convergence of consumer interest around tablets and smartphones built by rivals Apple Inc and Samsung Electronics Co Ltd.


Tablets and smartphones already account for around 10 percent of the $80 billion gaming market. Those mobile devices, analysts predict, will within a few years be as powerful as the current slew of game-only consoles.


After six years, Sony PlayStation sales are just shy of Xbox's 67 million installed base and well behind the 100 million units of Wii sold by Nintendo, according to analysts.


(Reporting By Liana Baker and Malathi Nayak; Editing by Gary Hill, Bernard Orr)



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Agency checks water after body found in hotel tank


LOS ANGELES (AP) — British tourist Michael Baugh and his wife said water had only dribbled out of the taps at the downtown Cecil Hotel for days.


On Tuesday, after showering, brushing their teeth and drinking some of the tap water, they headed down to the lobby and found out why.


The body of a Canadian woman had been discovered at the bottom of one of four cisterns on the roof of the historic hotel near Skid Row. The tanks provide water for hotel taps and would have been used by guests for washing and drinking.


"The moment we found out, we felt a bit sick to the stomach, quite literally, especially having drank the water, we're not well mentally," Michael Baugh, 27, said.


Los Angeles County Department of Public Health officials issued a do-not-drink order Tuesday while its lab analyzes the water, said Terrance Powell, a director coordinating the department's response. The disclosure contradicts a previous police statement that the water had been deemed safe. Results of the testing were expected by Thursday.


Powell said the water was also used for cooking in the hotel; a coffee shop in the hotel would remain closed and has been instructed to sanitize its food equipment before reopening.


"Our biggest concern is going to be fecal contamination because of the body in the water," Powell said. He said the likelihood of contamination is "minimal" given the large amount of water the body was found in, but the department is being extra cautious.


Powell said the hotel hired a water treatment specialist after the department required it to do so to disinfect its plumbing lines.


A call to the hotel was not returned.


The remains of Elisa Lam, 21, were found by a maintenance worker at the 600-room hotel that charges $65 a night after guests complained about the low water pressure.


Police detectives were working to determine if her death was the result of foul play or an accident.


LAPD Sgt. Rudy Lopez called it suspicious and said a coroner's investigation will determine Lam's cause of death.


Before she died, hotel surveillance footage showed Lam inside an elevator pushing buttons and sticking her head out the doors, looking in both directions. She was later found in the water tank.


Lam, of Vancouver, British Columbia, traveled alone to Los Angeles on Jan. 26 and was last seen five days later by workers at the hotel.


Lopez said the hotel has four cisterns on its roof that are each about 10 feet tall, 4.5 feet wide and hold at least 1,000 gallons of water pumped up from city pipes.


Lam's body was found Tuesday morning at the bottom of one cistern that was about three-quarters full of water, Lopez said.


The opening at the top of the cistern is too small to accommodate firefighters and equipment, so they had to cut a hole in the storage tank to recover Lam's body.


The cisterns are on a platform at least 10 feet above the roof.


To get to the tanks, someone would have to go to the top floor then take a staircase with a locked door and emergency alarm preventing roof access.


Another ladder would have to be taken to the platform and a person would have to climb the side of the tank.


Lopez said there are no security cameras on the roof.


Lam intended to travel to Santa Cruz, about 350 miles north of Los Angeles. Officials said she tended to use public transportation and had been in touch with her family daily until she disappeared.


The Cecil Hotel was built in the 1920s and refurbished several years ago. The hotel is on Main Street in a part of downtown where efforts at gentrification often conflicts with homelessness and crime. It had once been the occasional home of infamous serial killers such as Richard Ramirez, known as the Night Stalker, and Austrian prison author Jack Unterweger, who was convicted of murdering nine prostitutes in Europe and the U.S., the Los Angeles Times reported.


By noon Wednesday, the Cecil Hotel had relocated 27 rooms used by guests to another hotel, but 11 rooms remained filled, Powell said. Those who chose to remain in the hotel were required to sign a waiver in which they acknowledged being informed of the health risks and were being provided bottled water, Powell said.


Baugh and his wife, who were on their first trip to the U.S., had planned to go to SeaWorld on Wednesday. Instead, they were trying to find a new hotel. Their tour agency placed them in another downtown hotel with a less than sterling reputation, from what they heard.


"We're just going from one dodgy place to another," Baugh said, resigned, "but at least there's water."


___


Tami Abdollah can be reached at http://www.twitter.com/latams. Shaya Tayefe Mohajer contributed to this report.


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'For Better or Worse' moves from TBS to OWN


LOS ANGELES (AP) — Oprah Winfrey's cable channel says it will be the new home of the sitcom "For Better or Worse."


Tyler Perry's comedy series will move from TBS to OWN for its third season, starting this fall. OWN announced Wednesday that it's also getting rerun rights for the show's first two years.


"For Better or Worse" is about three couples dealing with the challenges of dating and married life. OWN says the original cast, including Tasha Smith and Michael Jai White, will remain with the show. Production on season three begins in April.


The comedy will be OWN's third scripted series from Perry, who has a deal with OWN to produce TV shows and other projects. The first two original series, a sitcom and a drama, are scheduled to debut in May.


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Office Depot to buy OfficeMax

Office Depot to buy Office Max as an attempt to compete with Staples.









Office Depot Inc. and Office Max Inc. have agreed to merge in a $1.17 billion stock transfer, the companies announced Wednesday, ending nearly two hours of confusion about whether a deal had been reached.


Officials at Naperville-based OfficeMax and Office Depot declined to say who would lead the combined company nor where it would be located when the "merger of equals" is completed, likely by the end of the year.

After some confusion early Wednesday, when a draft press release was posted prematurely on the website of Boca Raton, Fla.-based Office Depot's, both companies issued a joint statement at around 8:30 a.m. CT announcing the planned merger. 


The combined entity's name, headquarters and CEO are all undecided, creating an unusual level of uncertainty that points to the integration challenge the companies face.








"During the appropriated times ... our board will make the right decision,"  OfficeMax President and CEO Ravi Saligram said of the location and leadership of the combined firm. "Now we're independent companies and we've got to go through lots of processes," he said.

On a conference call with analysts, Office Depot CEO Neil Austrian apologized for the announcement mishap on Wednesday morning.  "Our webcast provider inadvertently released our earnings in advance of schedule," he said.  We regret any inconvenience that this may have caused." 

Saligram and Austrian emphasized that the combination, which will create a company that will do roughly $18 billion in revenue, is a merger of equals.

"This [merger] will create a stronger, more global, more efficient competitor able to meet the growing challenges a rapidly changing industry," said Saligram. 


While Office Depot insisted the deal was a merger of equals and not an acquisition, its shareholders will get the larger part of the combined company. CEOs of both companies and outside candidates are being considered for the top job.

When combined, OfficeMax and Office Depot, the world's second and third largest office products companies by revenue, will still not eclipse the segment's largest business, Staples Inc.

The pair had combined revenue of about $18.5 billion in the last fiscal year. They expect to save about $400 million to $600 million per year within three years through layoffs, streamlining of back-office functions and combined advertising. They didn't provide details on how many workers would lose their jobs or the fate of OfficeMax's Naperville headquarters.

After days of speculation that a deal was close, a draft of a press release announcing the news was posted prematurely on Office Depot's website early Wednesday morning. More than an hour after it came out, there was still no mention of the merger on either company's website nor on the SEC or other investor websites. Sources cited by the New York Times Wednesday morning said negotiations were ongoing.

Thomson Reuters Corporate Services, which operates various investor relations websites including Office Depot's, took responsibility for the early publication.


"Unfortunately, Thomson Reuters incorrectly posted this morning's announcement of Office Depot's intention to merge with Office Max prior to its intended release," Lemuel Brewster, PR director - investors at Thomson Reuters, said Wednesday afternoon in an email response to an inquiry. "We regret this error and are taking all steps necessary to enhance our processes and controls to ensure this does not happen again."


Office Depot will issue 2.69 new shares of common stock for each outstanding common share of OfficeMax. At Tuesday's closing prices, the deal is valued at $13.50 per share, or $1.17 billion, based on 86.7 million shares outstanding as of Oct. 26.

After the merger is completed, Office Depot's board will consist of an equal number of directors chosen by that company and OfficeMax.

Although the actual announcement didn’t go as planned, the deal has been rumored for years as the struggling office supply sector deals with fickle consumers and businesses that are conserving costs and doing more online.

Analysts say they expect far less pushback from antitrust authorities for this deal than what Office Depot faced in the 1990s, when it tried to merge with Staples, given the changes in the office supply market since then.

Underscoring how tough that business has become, Office Depot reported a fourth-quarter net loss, hurt by a 6 percent decrease in comparable sales at its North American stores and a revenue drop at its unit that serves North American businesses.

Office supply retailers, which are often seen as reflecting overall economic health, have suffered as demand for their products fell in the years after the last U.S. recession led companies to cut spending.

They also face strong competition from the likes of Amazon and Wal-Mart Stores Inc in selling everything from pens and notebooks to furniture and break room supplies to government, businesses and individuals.

SMALL PREMIUM

The offer represented a premium of just under 4 percent to OfficeMax's $13 close. It was not immediately clear if that was enough to satisfy one of the company's largest shareholders, Neuberger Berman, which said earlier this week it would support a deal depending on the terms.

OfficeMax shares rose 9.2 percent to $14.20 in premarket trading. Office Depot was up 10 percent at $5.52, meaning that OfficeMax was still trading below the value of the bid.

The deal, considered long overdue by many on Wall Street, will also give Office Depot and OfficeMax a chance to save hundreds of millions of dollars by closing stores, cutting advertising costs and streamlining their supply chain.

Industry experts have long hoped Office Depot would join hands with OfficeMax to take on Staples, which boosted its international business and clout with suppliers by buying Dutch rival Corporate Express in 2008.

BB&T Capital Markets analyst Anthony Chukumba said the Office Depot-OfficeMax combination would help Staples, however.

"Clearly, you can't make this deal work unless you close a bunch of stores," he said. "Store rationalization is long overdue, and Staples will clearly benefit from just having fewer stores to compete with."

Staples has 39.9 percent of the U.S. office supply market, Office Depot 19.2 percent and OfficeMax holds 15.7 percent, according to Euromonitor International.

Tribune reporter Samantha Bomkamp and Reuters contributed.

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