Hollywood Makes Its Case for ‘Zero Dark Thirty’


LOS ANGELES — Hollywood is pushing back, at least a little, against the Washington power players and others who have put the squeeze on “Zero Dark Thirty.”


In the last week, Mark Boal, who is a producer of the film and wrote the screenplay, hired Jeffrey H. Smith, a prominent lawyer who specializes in domestic security and First Amendment issues, Mr. Smith confirmed on Friday. His mission is to represent Mr. Boal with regard to any approach from Congress or the executive branch in connection with their inquiries into the film’s depiction of torture in the hunt for Osama bin Laden.


Meanwhile, Christopher J. Dodd, the president of the Motion Picture Association of America, raised a warning on Friday for those who are calling for investigations into the film.


“There could, in my view, be a chilling effect if, in the end of all this, you have a screenwriter or a director called before an investigating committee,” Mr. Dodd said. He stressed that he was speaking for himself rather than for the association’s member studios, including Sony Pictures, which released “Zero Dark Thirty.”


Mr. Dodd, who served five terms in the Senate before retiring in 2010, said he could not recall another movie being so heavily scrutinized by the government. He expressed concern that the military or other government agencies that have routinely helped filmmakers might withhold future cooperation rather than risk similar pressure.


“ ‘JFK’ and ‘All the President’s Men’ were controversial,” Mr. Dodd said, noting that neither of those films seemed to draw the same level of attention from lawmakers.


Three senators — Dianne Feinstein of California, Carl Levin of Michigan and John McCain of Arizona — have publicly criticized “Zero Dark Thirty” because they believe it sent a message that torture was an effective tool in the hunt for Bin Laden. In a Dec. 19 letter to Michael Lynton, the chairman and chief executive of Sony Pictures, they asked the studio to act to change that impression, without specifying what they expected it to do. (The film had a limited theatrical run late last month, and was released more broadly on Jan. 11.)


In two letters sent in December to Michael Morell, the acting director of the Central Intelligence Agency, the senators, citing their affiliation with the Select Committee on Intelligence, asked that the agency provide information and documents about its contact with the filmmakers.


On Friday, Mr. Dodd said he initially screened “Zero Dark Thirty” at the Motion Picture Association’s Washington headquarters for Ms. Feinstein, whom he described as a close friend. “She had problems with it,” he said.


Ms. Feinstein’s objections have centered on what she has said is a portrayal of the efficacy of torture that is at odds with accounts that have been provided to Congress in the past by intelligence operatives.


In the meantime, Mr. Smith, a former general counsel of the C.I.A. who has represented Henry Kissinger, Robert McNamara and other former government officials in security-related matters, confirmed in an e-mail that he represents Mr. Boal.


The government inquiries “raise serious questions about the nature of the cooperation between the government and those who seek to make films about sensitive and important issues,” Mr. Smith said in a brief statement.


To date, he said, Mr. Boal has not been contacted in connection with the inquiries.


Last week Kathryn Bigelow, the film’s director, made her strongest public statement to date about the torture controversy.


“Those of us who work in the arts know that depiction is not endorsement,” she said in a statement published in The Los Angeles Times. “If it was, no artists would be able to paint inhumane practices, no author could write about them and no filmmaker could delve into the thorny subjects of our time.”


Torture, she added, “is a part of the story we could not ignore.”


The criticism of “Zero Dark Thirty” has extended beyond Washington and included members of the film industry. Last weekend, as Hollywood gathered for the Golden Globe Awards, the actors David Clennon, Edward Asner and Martin Sheen — all members of the Academy of Motion Picture Arts and Sciences — were organizing a public condemnation of the film for what they have called its “tolerance” of torture.


That push prompted a public response by Amy Pascal, the co-chairwoman of Sony Pictures, who called it “reprehensible.” Jessica Chastain, the film’s star, was honored as the year’s best dramatic actress at the Golden Globes, and the movie has received five Oscar nominations from the academy, including one for best picture. Ms. Bigelow was not nominated for a directing Oscar, leading to speculation that the torture controversy had worked against her selection.


After the Golden Globes, Mr. Boal flew to Europe to promote “Zero Dark Thirty” as it opened in Britain and France.


In a series of e-mails, Mr. Boal said he found the reception to the movie there to be “much smoother” than in the United States.


European interviewers appeared to regard the torture controversy more as a reckoning among Americans than as something that directly involved them, he said.


And in France, he said, a number of interviewers compared the film’s airing of the torture issue “favorably to France’s allergy to and even censorship of” movies about its role in Algeria’s war for independence.


“We might bicker,” Mr. Boal said, “but at least we face the past in my country. Sorta.”


This article has been revised to reflect the following correction:

Correction: January 20, 2013

An earlier version of this article misstated the title of Michael Lynton at Sony Pictures. He is the chairman and chief executive, not the co-chairman.



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Algerian Hostage Standoff Continues; U.S. Victim Identified


Anis Belghoul/Associated Press


An Algerian military truck on a road leading to a Saharan gas field where militants still held at least 10 foreign hostages on Friday.







BAMAKO, Mali — Islamic militants in Algeria continued to hold at least 10 and possibly dozens of foreign hostages Saturday, ignoring demands that they surrender peacefully. Among the dozen captives believed to have been killed was an American man from Texas.




As the hostage situation entered its fourth day, a senior Algerian government official said there were no talks planned with the militants.


“They are being told to surrender, that’s it,” the official said on the third day of the crisis. “No negotiations. That is a doctrine with us.”


The United States said for the first time that Americans were among the remaining captives and confirmed the first known death of an American hostage, Frederick Buttaccio, 58, of Katy, Tex. Linked In, the social networking site for professionals, lists a Frederick Buttaccio as a sales operations coordinator for BP, the British energy giant that helped run the complex, but a company official said it would not comment on any employee who may have been at the facility.


France said a French citizen also was known to have been killed.


All foreign governments with citizens at risk were still scrambling for basic information about the missing as they ferried escaped hostages out of the country on military aircraft and urged Algeria to use restraint.


“This is an extremely difficult and dangerous situation,” Secretary of State Hillary Rodham Clinton told reporters in Washington. Describing a conversation she had earlier Friday with Algeria’s prime minister, Abdelmalek Sellal, Mrs. Clinton said she had emphasized to him that “the utmost care must be taken to preserve innocent life.”


Algeria’s state news agency, APS, said 12 Algerian and foreign workers had been killed since Algerian special forces began an assault against the kidnappers on Thursday. It was the highest civilian death toll Algerian officials that have provided in the aftermath of the assault, which freed captives and killed kidnappers but also left some hostages dead in one of the worst mass abductions of foreign workers in years.


Previous unofficial estimates of the foreign casualties have ranged from 4 to 35. The American who died, Mr. Buttaccio, lived in a gated community in Katy, a suburb that is about 30 miles west of downtown Houston.The Algerian news agency also said that 18 militants had been killed and that the country’s special forces were dealing with remnants of a “terrorist group” that was still holding hostages in the refinery area of the gas field in remote eastern Algeria.


It also gave a new sense of how many people may have been at the facility when the militants seized it on Wednesday, asserting that nearly 650 had managed to leave the site since then, including 573 Algerians and nearly half of the 132 foreigners it said had been abducted. But that still left many people unaccounted for.


The senior Algerian official, who spoke on condition of anonymity, said he believed there were about 10 hostages, under the control of possibly 13 to 15 militants, but he emphasized that “nothing is certain” about the numbers, which have varied wildly since the crisis began. He also said that there were other workers on the site “who are still in hiding” but that the Algerian military had secured the residential part of the gas-field complex.


“What remains are a few terrorists, holding a few hostages, who have taken refuge in the gas factory,” he said. “It’s a site that’s very tricky to handle.”


The official also challenged the criticism made in some foreign capitals that the Algerian military had acted hastily and with excessive force. On the contrary, he said, Algerian forces had returned fire only as the militants sought to escape the complex with their captives.


“There was a reaction by the army,” he said. “They tried to flee and they were stopped,” the official said of the militants. “They came absolutely to blow the whole site up. These are bitter-enders.”


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Samsung, Apple seen pulling ahead in smartphone race: poll






HELSINKI (Reuters) – Samsung and Apple pulled ahead in the global smartphone race last quarter, according to forecasts by analysts in a Reuters poll, while Nokia and others are expected to have fallen further behind.


Overall shipments of handsets are expected to have risen in the fourth quarter, with most of that growth dominated by Samsung. Analysts forecast the South Korean company shipped 61 million smart devices, up 71 percent from a year earlier.






Samsung forecast earlier this month that it expected to earn a quarterly profit of $ 8.3 billion on strong sales of its Galaxy handsets as well as solid demand for flat screens used in mobile devices. Samsung’s full results are due by Jan 25.


While some are wary that Samsung’s momentum may slow in coming quarters owing to market saturation, it is still expected to outpace Apple as sales of the new iPhone 5 appear slightly weaker than originally forecast.


Apple is forecast to have shipped 46 million iPhones in the quarter, up 25 percent from a year earlier, according to the poll.


Shares in Apple dipped below $ 500 earlier this week for the first time in almost a year after reports it was slashing orders for screens and other components as intensifying competition eroded demand for the new iPhone.


The poll showed analysts expect Apple’s full-year shipments to grow to 167 million this year from 134 million in 2012, while Samsung’s shipments are expected to grow to 283 million smartphones in 2013 compared to 210 million in 2012.


NOKIA, RIM AIM TO CATCH UP


Nokia, once the world’s biggest handset maker, is expected to have lost more market share. It is now pinning its recovery hopes on Lumia smartphones, which use Microsoft’s Windows Phone software.


Analysts forecast Nokia’s fourth-quarter shipments of mobile phones fell 15 percent to 80 million units while those of smartphones, including Lumias, fell 65 percent to 7 million units.


Nokia last week said it sold around 4.4 million Lumia handsets in the fourth quarter. Full results are due on Jan 24, and analysts are anxious to hear whether Nokia is confident that Lumia sales will continue to grow in coming quarters.


BlackBerry-maker RIM, another handset maker struggling to claw back market share, is expected to report a 30 percent fall in fourth-quarter shipments to 7 million units, the poll showed.


RIM is to launch new BlackBerry 10 smartphones later this month. The poll showed, however, that analysts expect its full-year sales to fall to around 30 million in 2013 from 33 million in 2012.


(Reporting by Ritsuko Ando; Editing by Sophie Walker)


Tech News Headlines – Yahoo! News





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Te'o tells ESPN: Not involved in creating hoax


NEW YORK (AP) — Notre Dame linebacker Manti Te'o insisted he had no role in the bizarre hoax involving his "dead" girlfriend and told ESPN on Friday night that he was duped by a person who has since apologized to him.


In an off-camera interview with ESPN, Te'o said Ronaiah Tuiasosopo, a 22-year-old acquaintance who lives in California, contacted him two days ago and confessed to the prank. Deadspin.com first exposed the scheme on Wednesday and indicated Tuiasosopo was involved in it.


"I wasn't faking it," ESPN quoted Te'o as saying during the 2 1-2 hour interview. "I wasn't part of this. When they hear the facts they'll know. They'll know there is no way I could be a part of this."


Te'o said he first met Tuiasosopo in person after the Southern California game in November. Te'o told ESPN that Tuiasosopo told him he was the cousin of Lennay Kekua, the woman who Te'o believed he had fallen for through Internet chats and long phone conversations.


"Two guys and a girl are responsible for the whole thing," Te'o told ESPN. "I don't know. According to Ronaiah, Ronaiah's one."


Te'o said he never met Kekua face-to-face and when he tried to speak with her via Skype and video phone calls, the picture was blocked.


He also told ESPN that he lied to his father about having met Kekua. To cover that up, he apparently lied to everyone else.


After he was told Kekua had died of leukemia in early September, Te'o said he misled the public about the nature of the "relationship" because he was uncomfortable saying he had never met her in person.


"That goes back to what I did with my dad. I knew that. I even knew that it was crazy that I was with somebody that I didn't meet," he said. "So I kind of tailored my stories to have people think that, yeah, he met her before she passed away."


Te'o's first interview since the story broke came at the end of a day that started with Notre Dame posting a podcast of athletic director Jack Swarbrick's radio show, during which he implored the Heisman Trophy runner-up to speak publicly about the episode. Already, it had turned the feel-good story line of the college football season into a dark and strange one.


Te'o took Notre Dame's advice, but this was no Lance Armstrong-with-Oprah Winfrey mea culpa.


ESPN conducted the interview with Te'o at the IMG Academy in Bradenton, Fla., where Te'o is preparing for the NFL draft and hopes to be among the first-round picks. The network produced only still photos of the interview, with reporter Jeremy Schaap sitting at large table with the linebacker. Schaap then provided details on "Sports Center" and a story was posted on ESPN.com.


Some wondered whether Te'o had been in on the fake girlfriend scheme in an odd attempt to gain positive publicity and attention. Schaap said Te'o firmly denied that. The nation's best defender also said the hoax affected his play in the BCS national championship, a 42-14 loss to Alabama in which he performed poorly.


Te'o told ESPN that he wasn't entirely sure he was the victim of a hoax until earlier this week, just two days ago, when Tuiasosopo apologized to him via Twitter. As Notre Dame officials said earlier, he did get a call from the person posing as Kekua on Dec. 6 — but it was to tell him she had not died at all, and to carry on their courtship.


Te'o was confused. He finally confided in his parents over Christmas break in his home state of Hawaii and told Notre Dame coaches what was going on Dec. 26.


"My relationship with Lennay wasn't a four-year relationship," Te'o said. "There were blocks and times and periods in which we would talk and then it would end," but he offered her a "shoulder to cry on" when she told him her father had died.


Te'o said he was told Kekua was in a coma following an April 28 car accident, but she awoke the following month. He never made an attempt to visit her in the hospital.


"It never really crossed my mind. I don't know. I was in school," he told ESPN.


Then came the day in September when his grandmother died and the woman known as Kekua reached out to him.


"I was angry. I didn't want to be bothered," he told ESPN. "We got in an argument. She was saying, you know, I'm trying to be here for you. I didn't want to be bothered. I wanted to be left alone. I just wanted to be by myself. Last thing she told me was 'Just know I love you.'"


Te'o was told later that day Kekua had died.


ESPN did not play audio of the interview, relying instead on descriptions of Te'o and his statements from reporter Schaap. Audio clips were posted later. According to the reporter, Te'o was calm, seemed relieved to tell his side of the story and had no interest in going on camera.


Te'o told ESPN the relationship with Kekua dated to his freshman year at Notre Dame, the 2009-10 season, and they met via Facebook.


The nation's best defender also said the hoax affected his play in the BCS national championship, a 42-14 loss to Alabama in which he performed poorly.


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Business Briefing | Medicine: F.D.A. Clears Botox to Help Bladder Control



Botox, the wrinkle treatment made by Allergan, has been approved to treat adults with overactive bladders who cannot tolerate or were not helped by other drugs, the Food and Drug Administration said on Friday. Botox injected into the bladder muscle causes the bladder to relax, increasing its storage capacity. “Clinical studies have demonstrated Botox’s ability to significantly reduce the frequency of urinary incontinence,” Dr. Hylton V. Joffe, director of the F.D.A.’s reproductive and urologic products division, said in a statement. “Today’s approval provides an important additional treatment option for patients with overactive bladder, a condition that affects an estimated 33 million men and women in the United States.”


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Analysis: Amid Tears Lance Armstrong Leaves Unanswered Questions in Oprah Winfrey Interview





In an extensive interview with Oprah Winfrey that was shown over two nights, Lance Armstrong admitted publicly for the first time that he doped throughout his cycling career. He revealed that all seven of his Tour de France victories were fueled by doping, that he never felt bad about cheating, and that he had covered up a positive drug test at the 1999 Tour with a backdated doctor’s prescription for banned cortisone.




Armstrong, the once defiant cyclist, also became choked up when he discussed how he told his oldest child that the rumors about Armstrong’s doping were true.


Even with all that, the interview will most likely be remembered for what it was missing.


Armstrong had not subjected himself to questioning from anyone in the news media since United States antidoping officials laid out their case against him in October. He chose not to appeal their ruling, leaving him with a lifetime ban from Olympic sports.


He personally chose Winfrey for his big reveal, and it went predictably. Winfrey allowed him to share his thoughts and elicited emotions from him, but she consistently failed to ask critical follow-up questions that would have addressed the most vexing aspects of Armstrong’s deception.


She did not press him on who helped him dope or cover up his drug use for more than a decade. Nor did she ask him why he chose to take banned performance-enhancing substances even after cancer had threatened his life.


Winfrey also did not push him to answer whether he had admitted to doctors in an Indianapolis hospital in 1996 that he had used performance-enhancing drugs, a confession a former teammate and his wife claimed they overheard that day. To get to the bottom of his deceit, antidoping officials said, Armstrong has to be willing to provide more details.


“He spoke to a talk-show host,” David Howman, the director general of the World Anti-Doping Agency, said from Montreal on Friday. “I don’t think any of it amounted to assistance to the antidoping community, let alone substantial assistance. You bundle it all up and say, ‘So what?’


Jeffrey M. Tillotson, the lawyer for an insurance company that unsuccessfully withheld a $5 million bonus from Armstrong on the basis that he had cheated to win the Tour de France in 2004, said his client would make a decision over the weekend about whether to sue Armstrong. If it proceeds, the company, SCA Promotions, will seek $12 million, the total it paid Armstrong in bonuses and legal fees.


“It seemed to us that he was more sorry that he had been caught than for what he had done,” Tillotson said. “If he’s serious about rehabbing himself, he needs to start making amends to the people he bullied and vilified, and he needs to start paying money back.”


Armstrong, who said he once believed himself to be invincible, explained in the portion of the interview broadcast Friday night that he started to take steps toward redemption last month. Then, after dozens of questions had already been lobbed his way, he became emotional when he described how he told his 13-year-old son, Luke, that yes, his father had cheated by doping. That talk happened last month over the holidays, Armstrong said as he fought back tears.


“I said, listen, there’s been a lot of questions about your dad, my career, whether I doped or did not dope, and I’ve always denied, I’ve always been ruthless and defiant about that, which is probably why you trusted me, which makes it even sicker,” Armstrong said he told his son, the oldest of his five children. “I want you to know it’s true.”


At times, Winfrey’s interview seemed more like a therapy session than an inquisition, with Armstrong admitting that he was narcissistic and had been in therapy — and that he should be in therapy regularly because his life was so complicated.


In the end, the interview most likely accomplished what Armstrong had hoped: it was the vehicle through which he admitted to the public that he had cheated by doping, which he had lied about for more than a decade. But his answers were just the first step to clawing back his once stellar reputation.


On Friday, Armstrong appeared more contrite than he had during the part of the interview that was shown Thursday, yet he still insisted that he was clean when he made his comeback to cycling in 2009 after a brief retirement, an assertion the United States Anti-Doping Agency said was untrue. He also implied that his lifetime ban from all Olympic sports was unfair because some of his former teammates who testified about their doping and the doping on Armstrong’s teams received only six-month bans.


Richard Pound, the founding chairman of WADA and a member of the International Olympic Committee, said he was unmoved by Armstrong’s televised mea culpa.


“If what he’s looking for is some kind of reconstruction of his image, instead of providing entertainment with Oprah Winfrey, he’s got a long way to go,” Pound said Friday from his Montreal office.


Armstrong acknowledged to Winfrey during Friday’s broadcast that he has a long way to go before winning back the public’s trust. He said he understood why people recently turned on him because they felt angry and betrayed.


“I lied to you and I’m sorry,” he said before acknowledging that he might have lost many of his supporters for good. “I am committed to spending as long as I have to to make amends, knowing full well that I won’t get very many back.”


Armstrong also said that the scandal has cost him $75 million in lost sponsors, all of whom abandoned him last fall after Usada made public 1,000 pages of evidence that Armstrong had doped.


“In a way, I just assumed we would get to that point,” he said of his sponsors’ leaving. “The story was getting out of control.”


In closing her interview, Winfrey asked Armstrong a question that left him perplexed.


“Will you rise again?” she said.


Armstrong said: “I don’t know. I don’t know. I don’t know what’s out there.”


Then, as the interview drew to a close, Armstrong said: “The ultimate crime is the betrayal of these people that supported me and believed in me.”


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Algerian Raid to Free Hostages Turns Deadly





BAMAKO, Mali — Without warning other governments, Algeria mounted an assault on Thursday on the heavily armed fighters holding American and other hostages at a remote Sahara gas field facility, freeing captives and killing kidnappers but leaving some hostages dead and foreign leaders scrambling to find out the fates of their citizens.




Almost a day after the raid, there was no official word on Friday on the number of hostages who had been freed, killed or still held captive. Estimates of the foreign casualties ranged from 4 to 35, though one Algerian official said the higher figure was “exaggerated.”


In London on Friday, British officials said the Algerian authorities had not informed them that the military operation deep in the Sahara had been concluded. Until the British heard otherwise, one official said, speaking in return for anonymity, “we are working on the basis that it’s an ongoing operation.”


The official declined to comment on widespread reports that British authorities were bracing for high casualty figures among up to 20 Britons thought to have been working at the installation. French officials said on Friday that there had been “very few” French nationals at the site and at least two of them were safe.


Algeria’s reported silence about the situation on the ground seemed to deepen frustration among foreign governments with citizens who had worked at the plant, close to the Libyan border.


On Thursday, despite requests for communication and pleas to consider the safety of their abducted citizens, the United States, Britain and Japan said they had not been told in advance about the military assault, stirring frustration that the Algerians might have been overly aggressive and caused needless casualties.


But the Algerian government, which has a history of violent suppression of Islamist militancy, stood by its decision to deal forcefully with the kidnappers, who were holding Algerians and citizens of nine other countries.


“Those who think we will negotiate with terrorists are delusional,” the communications minister, Mohand Saïd Oublaïd, said in an announcement about the assault on the facility near In Amenas, in eastern Algeria, close to the Libya border. “Those who think we will surrender to their blackmail are delusional.”


The midday assault came more than 24 hours after a militant group, which the Algerians said had ties to jihadis in the region, ambushed a bus carrying gas-field workers to a nearby airport and then seized the compound. It was one of the boldest abductions of foreign workers in years.


The abductions were meant to avenge France’s armed intervention in neighboring Mali, Mr. Oublaïd said, a conflict that has escalated since French warplanes began striking Islamist fighters who have carved out a vast haven there.


On Thursday, the United States became more deeply involved in the war, working with the French to determine how to best deploy American C-5 cargo planes to ferry French troops and equipment into Mali, according to an American military official.


The United States has long been wary about stepping more directly into the Mali conflict, worried that it could provoke precisely the kind of anti-Western attack that took place in Algeria, with deadly consequences. After the raid to free the hostages, the Algerians acknowledged a price had been paid.


“The operation resulted in the neutralization of a large number of terrorists and the liberation of a considerable number of hostages,” said Mr. Oublaïd, the communications minister. “Unfortunately, we deplore also the death of some, as well as some who were wounded.”


Algerian national radio described a scene of pandemonium and high alert at the public hospital in the town of In Amenas, where wounded hostages and those who escaped were sent. The director of the hospital, Dr. Shahir Moneir, said in the report that wounded foreign hostages were transferred to the capital, Algiers.


In a telephone interview from the hospital, an Algerian who escaped, who identified himself as Mohamed Elias, said some of the hostages had exploited the chaos created by the Algerian assault to flee. “We used the opportunity,” he said, “and we just escaped.”


Senior American military officials said that aides traveling in London with Defense Secretary Leon E. Panetta were struggling to get basic information about the raid, and that an unarmed American Predator drone was monitoring the gas-field site.


Adam Nossiter reported from Bamako, and Rick Gladstone from New York. Reporting was contributed by Alan Cowell and Scott Sayare from Paris, Elisabeth Bumiller and John F. Burns from London, Eric Schmitt and David E. Sanger from Washington, Hiroko Tabuchi from Tokyo, and Mayy El Sheikh from Cairo.



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The Neediest Cases: Medical Bills Crush Brooklyn Man’s Hope of Retiring


Andrea Mohin/The New York Times


John Concepcion and his wife, Maria, in their home in Sheepshead Bay, Brooklyn. They are awaiting even more medical bills.







Retirement was just about a year away, or so John Concepcion thought, when a sudden health crisis put his plans in doubt.





The Neediest CasesFor the past 100 years, The New York Times Neediest Cases Fund has provided direct assistance to children, families and the elderly in New York. To celebrate the 101st campaign, an article will appear daily through Jan. 25. Each profile will illustrate the difference that even a modest amount of money can make in easing the struggles of the poor.


Last year donors contributed $7,003,854, which was distributed to those in need through seven New York charities.








2012-13 Campaign


Previously recorded:

$6,865,501



Recorded Wed.:

16,711



*Total:

$6,882,212



Last year to date:

$6,118,740




*Includes $1,511,814 contributed to the Hurricane Sandy relief efforts.





“I get paralyzed, I can’t breathe,” he said of the muscle spasms he now has regularly. “It feels like something’s going to bust out of me.”


Severe abdominal pain is not the only, or even the worst, reminder of the major surgery Mr. Concepcion, 62, of Sheepshead Bay, Brooklyn, underwent in June. He and his wife of 36 years, Maria, are now faced with medical bills that are so high, Ms. Concepcion said she felt faint when she saw them.


Mr. Concepcion, who is superintendent of the apartment building where he lives, began having back pain last January that doctors first believed was the result of gallstones. In March, an endoscopy showed that tumors had grown throughout his digestive system. The tumors were not malignant, but an operation was required to remove them, and surgeons had to essentially reroute Mr. Concepcion’s entire digestive tract. They removed his gall bladder, as well as parts of his pancreas, bile ducts, intestines and stomach, he said.


The operation was a success, but then came the bills.


“I told my friend: are you aware that if you have a major operation, you’re going to lose your house?” Ms. Concepcion said.


The couple has since received doctors’ bills of more than $250,000, which does not include the cost of his seven-day stay at Beth Israel Medical Center in Manhattan. Mr. Concepcion has worked in the apartment building since 1993 and has been insured through his union.


The couple are in an anxious holding pattern as they wait to find out just what, depending on their policy’s limits, will be covered. Even with financial assistance from Beth Israel, which approved a 70 percent discount for the Concepcions on the hospital charges, the couple has no idea how the doctors’ and surgical fees will be covered.


“My son said, boy he saved your life, Dad, but look at the bill he sent to you,” Ms.  Concepcion said in reference to the surgeon’s statements. “You’ll be dead before you pay it off.”


When the Concepcions first acquired their insurance, they were in good health, but now both have serious medical issues — Ms. Concepcion, 54, has emphysema and chronic obstructive pulmonary disease, and Mr. Concepcion has diabetes. They now spend close to $800 a month on prescriptions.


Mr. Concepcion, the family’s primary wage earner, makes $866 a week at his job. The couple had planned for Mr. Concepcion to retire sometime this year, begin collecting a pension and, after getting their finances in order, leave the superintendent’s apartment, as required by the landlord, and try to find a new home. “That’s all out of the question now,” Ms. Concepcion said. Mr. Concepcion said he now planned to continue working indefinitely.


Ms. Concepcion has organized every bill and medical statement into bulging folders, and said she had spent hours on the phone trying to negotiate with providers. She is still awaiting the rest of the bills.


On one of those bills, Ms. Concepcion said, she spotted a telephone number for people seeking help with medical costs. The number was for Community Health Advocates, a health insurance consumer assistance program and a unit of Community Service Society, one of the organizations supported by The New York Times Neediest Cases Fund. The society drew $2,120 from the fund so the Concepcions could pay some of their medical bills, and the health advocates helped them obtain the discount from the hospital.


Neither one knows what the next step will be, however, and the stress has been eating at them.


“How do we get out of this?” Mr. Concepcion asked. “There is no way out. Here I am trying to save to retire. They’re going to put me in the street.”


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DealBook: Michael Dell’s Empire in a Buyout Spotlight

The computer empire of Michael S. Dell spreads across a campus of low-slung buildings in Round Rock, Tex.

But his financial empire — estimated at $16 billion — occupies the 21st floor of a dark glass skyscraper on Fifth Avenue in Manhattan.

It is there that MSD Capital, started by Mr. Dell 15 years ago to manage his fortune, has quietly built a reputation as one of the smartest investors on Wall Street. By amassing a prodigious portfolio of stocks, companies, real estate and timberland, Mr. Dell has reduced his exposure to the volatile technology sector and branched out into businesses as diverse as dentistry and landscaping.

Now, Mr. Dell is on the verge of making one of the biggest investments of his life. The 47-year-old billionaire and his private equity backers are locked in talks to acquire Dell, the company he started with $1,000 as a teenager three decades ago, in a leveraged buyout worth more than $20 billion. MSD could play a role in the Dell takeover, according to people briefed on the deal.

The private equity firm Silver Lake has been in negotiations to join with Mr. Dell on a transaction, along with other potential partners like wealthy Asian investors or foreign funds. Mr. Dell would be expected to roll his nearly 16 percent ownership of the company into the buyout, a stake valued at about $3.5 billion. He could also contribute additional personal money as part of the buyout.

That money is managed by MSD, among the more prominent so-called family offices that are set up to handle the personal investments of the wealthy. Others with large family offices include Bill Gates, whose Microsoft wealth financed the firm Cascade Investment, and New York’s mayor, Michael R. Bloomberg, who set up his firm, Willett Advisors, in 2010 to manage his personal and philanthropic assets.

“Some of these family offices are among the world’s most sophisticated investors and have the capital and talent to compete with the largest private equity firms and hedge funds,” said John P. Rompon, managing partner of McNally Capital, which helps structure private equity deals for family offices.

A spokesman for MSD declined to comment for this article. The buyout talks could still fall apart.

In 1998, Mr. Dell, then just 33 years old — and his company’s stock worth three times what it is today — decided to diversify his wealth and set up MSD. He staked the firm with $400 million of his own money, effectively starting his own personal money-management business.

To head the operation, Mr. Dell hired Glenn R. Fuhrman, a managing director at Goldman Sachs, and John C. Phelan, a principal at ESL Investments, the hedge fund run by Edward S. Lampert. He knew both men from his previous dealings with Wall Street. Mr. Fuhrman led a group at Goldman that marketed specialized investments like private equity and real estate to wealthy families like the Dells. And Mr. Dell was an early investor in Mr. Lampert’s fund.

Mr. Fuhrman and Mr. Phelan still run MSD and preside over a staff of more than 100 overseeing Mr. Dell’s billions and the assets in his family foundation. MSD investments include a stock portfolio, with positions in the apparel company PVH, owner of the Calvin Klein and Tommy Hilfiger brands, and DineEquity, the parent of IHOP and Applebee’s.

Among its real estate holdings are the Four Seasons Resort Maui in Hawaii and a stake in the New York-based developer Related Companies.

MSD also has investments in several private businesses, including ValleyCrest, which bills itself as the country’s largest landscape design company, and DentalOne Partners, a collection of dental practices.

Perhaps MSD’s most prominent deal came in 2008, in the middle of the financial crisis, when it joined a consortium that acquired the assets of the collapsed mortgage lender IndyMac Bank from the federal government for about $13.9 billion and renamed it OneWest Bank.

The OneWest purchase has been wildly successful. Steven Mnuchin, a former Goldman executive who led the OneWest deal, has said that the bank is expected to consider an initial public offering this year. An I.P.O. would generate big profits for Mr. Dell and his co-investors, according to people briefed on the deal.

Another arm of MSD makes select investments in outside hedge funds. Mr. Dell invested in the first fund raised by Silver Lake, the technology-focused private equity firm that might now become his partner in taking Dell private.
MSD’s principals have already made tidy fortunes. In 2009, Mr. Fuhrman, 47, paid $26 million for the Park Avenue apartment of the former Lehman Brothers chief executive Richard S. Fuld. Mr. Phelan, 48, and his wife, Amy, a former Dallas Cowboys cheerleader, also live in a Park Avenue co-op and built a home in Aspen, Colo.

Both are influential players on the contemporary art scene, with ARTNews magazine last year naming each of them among the world’s top 200 collectors. MSD, too, has dabbled in the visual arts. In 2010, MSD bought an archive of vintage photos from Magnum, including portraits of Marilyn Monroe and Mahatma Gandhi, and has put the collection on display at the University of Texas, Mr. Dell’s alma mater.

Just as the investment firms Rockefeller & Company (the Rockefellers, diversifying their oil fortune) and Bessemer Trust (the Phippses, using the name of the steelmaking process that formed the basis of their wealth) started out as investment vehicles for a single family, MSD has recently shown signs of morphing into a traditional money management business with clients beside Mr. Dell.

Last year, for the fourth time, an MSD affiliate raised money from outside investors when it collected about $1 billion for a stock-focused hedge fund, MSD Torchlight Partners. A 2010 fund investing in distressed European assets also manages about $1 billion. The Dell family is the anchor investor in each of the funds, according to people briefed on the investments.

MSD has largely remained below the radar, though its name emerged a decade ago in the criminal trial of the technology banker Frank Quattrone on obstruction of justice charges. Prosecutors introduced an e-mail that Mr. Fuhrman sent to Mr. Quattrone during the peak of the dot-com boom in which he pleaded for a large allotment of a popular Internet initial public offering.

“We know this is a tough one, but we wanted to ask for a little help with our Corvis allocation,” Mr. Fuhrman wrote. “We are looking forward to making you our ‘go to’ banker.”

The e-mail, which was not illegal, was meant to show the quid pro quo deals that were believed to have been struck between Mr. Quattrone and corporate chieftains like Mr. Dell — the bankers would give executives hot I.P.O.’s and the executives, in exchange, would hold out the possibility of giving business to the bankers. (Mr. Quattrone’s conviction was reversed on appeal.)

The MSD team has also shown itself to be loyal to its patron in other ways.

On the MSD Web site, in the frequently asked questions section, the firm asks and answers queries like “how many employees do you have” and “what kind of investments do you make.”

In the last question on the list, MSD asks itself, “Do you use Dell computer equipment?” The answer: “Exclusively!”


This post has been revised to reflect the following correction:

Correction: January 18, 2013

An earlier version of this article misstated when an MSD affiliate raised money from outside investors for a hedge fund. It was last year, not earlier this year. The article also misstated which hedge fund and its focus. It was MSD Torchlight Partners, a stock-focused hedge fund, not MSD Energy Partners, an energy-focused hedge fund.

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IHT Rendezvous: IHT Quick Read: Jan. 17

NEWS The U.S. State Department said Americans were among hostages captured by Islamist extremists in Algeria on Wednesday, in what the attackers called retaliation for France’s intervention in Mali. Adam Nossiter and Scott Sayare report.

Nearly half of Germany’s gold reserves are held in a vault at the Federal Reserve Bank of New York — billions of dollars worth of postwar geopolitical history squirreled away for safe keeping. Now the German central bank wants to make a big withdrawal — 300 tons in all. Jack Ewing reports from Frankfurt.

The Federal Aviation Administration said Wednesday that it was grounding all Boeing 787s operated by United States carriers until it can determine what caused a new type of battery to catch fire on two planes in nine days. Other regulators around the globe followed suit. Christopher Drew, Jad Mouwad and Matthew L. Wald report.

China is hoping a huge investment in its universities can help leverage its population into 195 million college graduates by the end of the decade. Keith Bradsher reports from Sanya, China.

Fleur Pellerin, a deputy finance minister in France, is the point woman in President François Hollande’s campaign to stimulate innovation. But in trying to put a French imprint on the digital economy, she has been drawn into a growing number of disputes with U.S. technology companies like Google, Twitter and Amazon. Eric Pfanner and David Jolly report from Paris.

The dark, double-breasted suits have long been a mainstay, but now Silvio Berlusconi, the former prime minister of Italy, has taken to wearing the occasional fedora. It lends him a rakish, retro air as he embarks on what many Italians, foreign investors and no doubt Chancellor Angela Merkel of Germany hoped would never happen: another election campaign. Rachel Donadio reports from Rome.

A judge in Siberia on Wednesday rejected an appeal by a member of the punk protest band Pussy Riot to be released temporarily so that she could be with her 5-year-old son while he was growing up, telling the courtroom that having a small child “did not prevent her from committing a serious crime.” Ellen Barry reports from Moscow.

ARTS Art Basel, the Switzerland-based grandfather of international art fairs, has announced the lineup of its first Asian fair. Joyce Lau reports from Hong Kong.

An Italian professor is attempting to turn Karkemish, an ancient city site on the banks of the Euphrates, on Turkey’s southern border and inside a restricted military zone, into a public archaeology park. The war in Syria is not the first conflict to disrupt his plans. Suzanne Fowler reports from Karmemish, Turkey.

FASHION Two fashion behemoths — LVMH Moët Hennessy Louis Vuitton and PPR — have turned to a new, young generation of designers. Suzy Menkes writes from Paris.

SPORTS Pep Guardiola, the world’s most sought-after soccer coach, will take over as head coach of the German powerhouse Bayern Munich at the conclusion of the season. Andrew Keh reports.

The Knicks will play the Pistons on Thursday before a capacity crowd in London, but that doesn’t mean interest in basketball is intense. Steven Cotton writes from London.

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