Poll: Do you listen to movies or TV over headphones?




I suppose it's still a fair assumption that more people listen to music than movies with headphones, but there has to be a growing audience listening to movies, TV shows, and YouTube videos via their headphones. Thanks to the booming popularity of tablets, might the ratio of movies-to-music listening time be moving away from music? Or not?


I watch a lot of movies at home with headphones on. They present a level of detail that you can get from speakers only when you play them really loud. With headphones, I don't have to crank the volume. They're also handy when other people in my apartment are sleeping.


If you watch movies or TV shows on an
iPad, headphones are the most likely way you'd listen. Some folks probably use a single Bluetooth speaker for movie sound with
tablets, but then again, if you have a decent home theater you're more likely to listen with speakers. Do you watch movies on your computer, and if you do, do you prefer headphones or speakers? Do your headphones sound better than your computer speakers? Of course, where you watch may skew the headphone vs. speaker preference one way or another.


Please share your movie vs. music listening over headphones experiences in the Comments section.


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Obama again warns Congress on sequester

President Obama again rang the alarm bell on the so-called "sequester" Saturday in his weekly address, calling on Congress to act now to avert the "deep, indiscriminate" spending cuts due to land on March 1.

The president warned of the dire impact on the nation's economy and national security if Congress fails to act.

"If the sequester is allowed to go forward, thousands of Americans who work in fields like national security, education or energy are likely to be laid off," he said. "All our economic progress could be put at risk."


Mr. Obama's remarks echoed a statement issued by the White House Friday that warned the sequester would "threaten thousands of jobs and the economic security of the middle class."

Republicans, for their part, have laid the blame for the sequester squarely at the feet of the White House.

"We know the President's sequester will have consequences," Senate Minority Leader Mitch McConnell, R-Ky., said in a statement this week. "What we don't know is when the President will propose a plan to replace the sequester with smarter spending cuts and reforms."

The president also warned of the sequester's "impact on our military readiness" that could "affect our ability to respond to threats in an unstable part of the world."

Defense Secretary Leon Panetta, who has repeatedly warned of the sequester's potential impact on national security, called on Congress during testimony before the Senate Armed Services Committee Thursday to do "whatever you can do" to avoid the sequester.

"I cannot imagine," Panetta said, "that people would stand by and deliberately hurt this country, in terms of our national defense, by letting this take place."

In a speech earlier in the week, Panetta described the cuts as "legislative madness" - a proposal "designed to be so bad...that no one in their right mind would let it happen."


But despite all the doomsday rhetoric, "the good news is, there's another option," Mr. Obama said in his address.

He called on Congress to "pass...balanced cuts and close more tax loopholes until they can find a way to replace the sequester with a smarter, longer-term solution."

The president said Republicans "would rather ask more from the vast majority of Americans and put our recovery at risk than close even a single tax loophole that benefits the wealthy."

Meanwhile, delivering the GOP's weekly address, Alaska Sen. Lisa Murkowski sounded off on energy independence.



Murkowski touted a blueprint she unveiled this week that would help "make energy abundant, affordable, clean, diverse, and secure."

"Energy is not a necessary evil. Energy is good," Murkowski said. "We can end our dependence on OPEC oil. We can make renewable energy more competitive ...We can ensure that research, not endless regulation, is the force behind technological innovation."

Her blueprint, Murkowski said, would "provide a prudent alternative to the heavy-handed approaches coming from the administration and the EPA."

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Storm Drops More Than 2 Feet of Snow on Northeast













A fierce winter storm brought blizzard conditions and hurricane force winds as the anticipated snowstorm descended across much of the Northeast overnight.


By early Saturday morning, 650,000 homes and businesses were without power and at least five deaths were being blamed on the storm, three in Canada, one in New York and one in Connecticut, The Associated Press reported.


The storm stretched from New Jersey to Maine, affecting more than 25 million people, with more than two feet of snow falling in areas of Massachusetts, Rhode Island and New Hampshire.


FULL COVERAGE: Blizzard of 2013


In Connecticut, Gov. Dannel Malloy declared a state of emergency and closed all roads in the state. Overnight, snow fell at a rate of up to five to six inches per hour in parts of Connecticut.


In Milford, Conn. more than 38 inches of snow had fallen by Saturday morning.


"If you're not an emergency personnel that's required to be somewhere. Stay home," said Malloy.


In Fairfield, Conn. firefighters and police officers on the day shift were unable to make it to work, so the overnight shift remained on duty.


PHOTOS: Blizzard Hits Northeast


The wind and snow started affecting the region during the Friday night commute.


In Cumberland, Maine, the conditions led to a 19-car pile-up and in New York, hundreds of commuters were stranded on the snowy Long Island Expressway. Police were still working to free motorists early Saturday morning.






Darren McCollester/Getty Images











Blizzard Shuts Down Parts of Connecticut, Massachusetts Watch Video









Blizzard 2013: Power Outages for Hundreds of Thousands of People Watch Video









Blizzard 2013: Northeast Transportation Network Shut Down Watch Video





"The biggest problem that we're having is that people are not staying on the main portion or the middle section of the roadway and veering to the shoulders, which are not plowed," said Lieutenant Daniel Meyer from the Suffolk County Police Highway Patrol."The snow, I'm being told is already over two feet deep."


In New York, authorities are digging out hundreds of cars that got stuck overnight on the Long Island Expressway.


Bob Griffith of Syosset, N.Y. tried leave early to escape the storm, but instead ended up stuck in the snow by the side of the road.


"I tried to play it smart in that I started early in the day, when it was raining," said Griffith. "But the weather beat us to the punch."


Suffok County Executive Steven Bellone said the snow had wreaked havoc on the roadways.


"I saw state plows stuck on the side of the road. I've never seen anything like this before," Bellone said.


However, some New York residents, who survived the wrath of Hurricane Sandy, were rattled by having to face another large and potentially dangerous storm system with hurricane force winds and flooding.


"How many storms of the century can you have in six months?" said Larry Racioppo, a resident of the hard hit Rockaway neighborhood in Queens, New York.


READ: Weather NYC: Blizzard Threatens Rockaways, Ravaged by Sandy


Snowfall Totals


In Boston, over two feet of snow had fallen by Saturday morning and the National Weather Service anticipated up to three feet of snow could fall by the end of the storm. Massachusetts Governor Deval Patrick enacted the first statewide driving ban since the 1978 blizzard, which left 27 inches of snow and killed dozens. The archdiocese told parishioners that according to church law the responsibility to attend mass "does not apply where there is grave difficulty in fulfilling obligation."


In New York, a little more than 11 inches fell in the city.


By Saturday morning, New York Mayor Michael Bloomberg said nearly all of the primary roads had been plowed and the department of sanitation anticipated that all roads would be plowed by the end of the day.


"It looks like we dodged a bullet, but keep in mind winter is not over," said Bloomberg.






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Tunisian Islamists rally to show "power of street"


TUNIS (Reuters) - Thousands of Islamists marched in Tunis on Saturday in a show of strength, a day after the funeral of an assassinated secular politician drew the biggest crowds seen on the streets since Tunisia's uprising two years ago.


About 6,000 supporters of the ruling Ennahda movement rallied to back their leader Rachid al-Ghannouchi, who was the target of angry slogans raised by mourners at Friday's mass funeral of Chokri Belaid, a rights lawyer and opposition leader.


"The people want Ennahda again," the Islamists chanted, waving Tunisian and party flags as they marched towards the Interior Ministry on Habib Bourguiba Avenue in the city centre.


The demonstration was dwarfed by the tens of thousands who had turned out in Tunis and other cities to honor Belaid and to protest against the Islamist-led government the day before, shouting slogans that included "We want a new revolution".


Belaid's killing by an unidentified gunman on Wednesday, Tunisia's first such political assassination in decades, has shaken a nation still seeking stability after the overthrow of veteran strongman Zine al-Abidine Ben Ali in January 2011.


The family of the slain politician has accused Ennahda of responsibility for his killing. The party denies any hand in it.


"We are here to support legitimacy, but if you prefer the power of the street, look at the streets today, we have this power," Lotfi Zitoun, an Ennahda leader, said in a speech to the Islamist demonstrators in Tunis.


Tunisia's political transition has been more peaceful than those in other Arab nations such as Egypt, Libya and Syria, but tensions are running high between Islamists elected to power and liberals who fear the loss of hard-won liberties.


FREEDOMS THREATENED


"We have gained things - the freedom of expression, the freedom to meet, to form organizations, parties, to work in the open," said Radhi Nasraoui, a veteran human rights campaigner.


"The problem is that these freedoms are still threatened, and there are attempts (by Islamists) to touch the gains of women," she told Reuters.


After Belaid's death, Prime Minister Hamadi Jebali promised to form a non-partisan, technocratic cabinet to run the country until an election could take place, despite complaints from within his own Ennahda party and its two junior non-Islamist coalition partners that he had failed to consult them.


Jebali told France 24 television on Saturday that he would resign if political parties refused to support his proposal, which he said was intended to "save the country from chaos".


The state news agency TAP said the prime minister would unveil his new government next week.


Secular groups have accused the Islamist-led government of a lax response to attacks by ultra-orthodox Salafi Islamists on cinemas, theatres, bars and individuals in recent months.


Prolonged political uncertainty and street unrest could damage an economy that relies on tourism. Unemployment and other economic grievances fuelled the revolt against Ben Ali in 2011.


Tunisia's stock exchange has fallen 3.32 percent since Belaid's assassination.


France, the former colonial power, ordered its schools in Tunis to stay closed on Friday and Saturday, warning its nationals to stay clear of potential flashpoints in the capital.


Some of the Islamist demonstrators shouted "France, out", in response to remarks by French Interior Minister Manuel Valls which were rejected by Jebali, the prime minister, on Friday.


"We must support all those who fight to maintain values and remain aware of the dangers of despotism, of Islamism that threatened those values today through obscurantism," Valls had said on Europe 1 radio on Thursday in comments on Tunisia.


"There is an Islamic fascism which is on the rise in many places."


Tunisian Foreign Minister Rafik Abdessalem described Valls's remarks as "worrying and unfriendly".



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Tennis: Czechs lead Australia 2-0 in Fed Cup






PRAGUE: Petra Kvitova and Lucie Safarova handed holders Czech Republic a 2-0 lead over Australia after the first day of their Fed Cup World Group tie in the eastern Czech city of Ostrava on Saturday.

In the first rubber, Kvitova, the Czech number one and world number eight, beat Australia's 168-ranked Jarmila Gajdosova 7-6 (7/2), 6-3 in an hour and 35 minutes.

Safarova, the world number 18, then snatched two tie-breaks for a 7-6 (8/6), 7-6 (7/4) win over ninth-ranked Samantha Stosur in two hours and 28 minutes.

Kvitova, the 2011 Wimbledon champion who led the Czechs to Fed Cup victories in 2011 and 2012, struggled for composure in the first set before dominating the second.

"It wasn't an easy match and she had moments when she played very well, but she also helped me a few times," the 22-year-old Kvitova said.

"I was terribly nervous in the first set."

Gajdosova, who has sunk from a career-high ranking of 25 in the past two seasons, said she had played a "pretty decent match."

"I had a lot of chances in the first and second set. Unfortunately I didn't take them," said the 25-year-old Gajdosova, who was born in Slovakia which formed a single country with the Czech Republic until 1993.

On the hard surface in Ostrava, about 320 kilometres (200 miles) east of Prague, Safarova then battled Stosur in a tight game, with each giving up five breaks.

"It was very hard, the games with her are always tight. But I handled it very well," said the 26-year-old Safarova.

Stosur, 28, failed to convert five set points in the first set and then gave up a break as she served for the second set.

"Unfortunately for me, I guess she got all those important points to get it back even and then kick on and get each set," said the 2011 US Open champion.

On Sunday, Kvitova will first face Stosur. If she gives the Czechs a winning 3-0 lead, the tie will go straight to doubles, while if she loses, Safarova will take on Gajdosova.

In the doubles, Czechs Andrea Hlavackova and Lucie Hradecka, the world numbers three and four in the format, will face Australian Open finalists Casey Dellacqua (21 in doubles) and 16-year-old Ashleigh Barty (46).

The Czech Republic and former Czechoslovakia have won seven Fed Cup trophies together, just like Australia whose last success was back in 1974.

This puts both teams second in the historic Fed Cup rankings behind the US with 17 trophies.

- AFP/jc



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Apple reportedly hires LG's former OLED TV expert



Apple has reportedly hired a display expert with ties to LG and Samsung, and whose most recent work included efforts on OLED technology for TV sets.


According to a report from the OLED Association, Apple has wooed James (Jueng-Gil) Lee, a display and semiconductor technology expert who's had stints at LG Display, Samsung, and now-defunct flat panel design company Candescent Technologies.


The hire, which Apple has not confirmed, comes while many have their eyes on the company to create its own TV set. Reports have gone back and forth between claims of a more advanced set top box and a full-fledged TV set, though many believe it will be the latter.


Even with the expertise in TV technology, the rumored hire is worth taking with a grain of salt. All of Apple's portable products (short of the
iPod shuffle) use screens, and Apple is frequently changing the types of display technology it uses. With that said, any expertise in large displays would be of obvious benefit in the in-house development of TV set.


(via 9to5Mac)


Apple HDTV rumor roundup

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Bratton on "chilling" memento ex-LAPD cop sent to network

(CBS News) More than a dozen local, state, and federal authorities have joined the three-state manhunt for Christopher Dorner, the ex-LAPD officer suspected of killing three people in a vendetta against the police force.

Thursday afternoon, the search shifted to the snowy mountains around Big Bear Lake, about 80 miles east of Los Angeles, where police found his burned-out pickup truck and tracks leading away from the vehicle.

Bill Bratton, Los Angeles Police Chief while Dorner served on the force said Friday that the truck was "possibly a diversionary tactic to just draw people up into that area when he's actually heading south."

Bratton said that despite the increasingly complex search, "the LAPD is superbly equipped for" the hunt.

"The Southern California police community is incredibly well networked with each other," Bratton said. "The manhunt that is underway is coordinated, sophisticated, and very complicated."


This undated photo released by the Los Angeles Police Department shows suspect Christopher Dorner, a former Los Angeles officer with former Police Chief William Bratton.

This undated photo released by the Los Angeles Police Department shows suspect Christopher Dorner, a former Los Angeles officer with former Police Chief William Bratton.


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AP Photo/Los Angeles Police Department

Bratton does not remember Dorner personally but did pose for a photo with him before he was deployed to serve in the Navy. Referencing the photo, Bratton said "chances are this is when he was being deployed into the military. I bring them up into my office and wish them well ... and give them a good luck charm."

The good luck charm -- a ceremonial coin -- was one of the props Dorner used, along with a lengthy manifesto, to indicate his targets. Dorner mailed CNN a package and the manifesto referencing Bratton. The package included the ceremonial coin, with Bratton's name on it and three bullet holes in it.


"[It's] very chilling when you see that," Bratton said. "It's a custom that you give as a sign of respect, a good luck charm for those who are going overseas. When you see that that a coin that was given in friendship and respect has three bullet holes, it's certainly very chilling."

Turning to the tactical elements of Dorner's rampage, John Miller -- CBS News senior correspondent and former head of the LAPD Major Crimes Division -- said the attacks likely took a "remarkable amount of pre-staging" and added that "somebody who put that much pre-staging planning into a series of events ... it's doubtful that they didn't put the same amount of planning into the end game ... It makes you wonder what his plan is for the end game."

Bratton said he found it "very surprising that now with all this attention he has brought onto himself, he has not started to reach out to the media to exploit it ... it's very interesting that he has stayed quiet."

Miller explained that Dorner "cut off all his cell phones and other connections" on Jan. 31 and Bratton said, "he's aware that anything he uses electronically can be immediately zeroed in on so he's possibly staying quiet because of that understanding.

As they look to bring the manhunt to an end, "the police are certainly on edge," Bratton said, emphasizing that Dorner is "an incredibly dangerous individual."

Miller added, "He has brought this to a certain pinnacle. It seems like he is going to be moving towards however he wants this to wrap up.



For more with Bratton and Miller on "CTM," watch the video above.

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Rescued Ethan Spends Birthday With SWAT Heroes













As a beaming 6-year-old Ethan said "cheese" for photos and played with toy cars at his birthday party, there were no immediate signs of the turmoil the young boy had endured just days earlier.


The boy, identified only as Ethan, was held hostage in a nearly week-long standoff in Alabama. He was physically unharmed after Jimmy Lee Dykes kidnapped him from a school bus and held him hostage in a booby-trapped underground bunker.


Ethan was rescued by the FBI Monday after they rushed the bunker where Dykes, 65, was holding him. Dykes was killed in the raid.


On Wednesday, Ethan celebrated his sixth birthday at a local church with abundant hugs from his family and friends as well as from the SWAT team, FBI agents and hostage negotiators who had rescued him.


Click here for photo's from the Alabama hostage situation.


"Welcome home Ethan" signs hung on the walls of the church for the homecoming celebration.












Ala. Hostage Standoff Over: Kidnapper Dead, Child Safe Watch Video





In his first interview, Ethan's adult brother Camren Kirkland described to ABC News the text messages the family would get from the hostage negotiators.


"We did know when, at times, he was asleep and that was normally around nine o'clock at night," Kirkland said.


He said the messages kept the family going throughout the ordeal.


"That was actually a lot of comfort," he said. "I could actually go lay my head down."


Kirkland said he never left his mother's side and the whole family was present when they got the call that Ethan had been rescued.


"The said, 'We have Ethan,'" Kirkland said, recalling the moment they found out Ethan had been saved.


Click here for a psychological look at what's next for Ethan.


The FBI special agent whose call it was to send the team into the bunker revealed to ABC News that Dykes left behind writings and that while in the bunker with Ethan, he'd become agitated and brag about his plan.


"At the end of the day, the responsibility is mine," he said. "I thought the child was going to die."


Dykes shot and killed a school bus driver, Albert Poland Jr., 66, last Tuesday and threatened to kill all the children on the bus before taking the boy, one of the students on the bus said Monday.


Dykes had been holed up in his underground bunker near Midland City, Ala., with the abducted boy for a week as police tried to negotiate with him through the PVC pipe. Police were careful not to anger Dykes, who was believed to be watching news reports from inside the bunker, and even thanked him at one point.



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Syrian rebels shut down key Damascus highway


BEIRUT (AP) — Rebels pushed forward in their battle with the Syrian army in Damascus on Friday, clashing with regime soldiers in contested neighborhoods in the northeast and shutting down a key highway out of the capital with a row of burning tires, activist said.


A number of rebel brigades launched a series of attacks beginning Wednesday against regime checkpoints along the main road to from Damascus to northern Syria and have been clashing in the area since. The government has responded by shelling a number of rebel-held districts nearby.


The fighting this week in Damascus, some of the heaviest since July, has brought the civil war that has destroyed entire neighborhoods of other Syrian cities closer to the heart of the capital, which has mostly been spared heavy fighting. Still, the offensive did not appear to be coordinated with rebels on other sides of Damascus and it was unclear whether the rebels would be able to hold their ground.


Both the rebels and the regime of President Bashar Assad consider the fight for Damascus the most likely endgame in a civil war that has already killed more than 60,000. The government controls movement in and out of the heavily defended city with a network of checkpoints, and rebels have failed so far to make significant inroads.


A spokesman for one of the opposition groups fighting in the area said the rebels sought to open a path for a future assault on the city.


"This is not the battle for Damascus. This battle is to prepare for the entry into Damascus," he said via Skype, giving only his nickname of Abu al-Fida for fear of reprisals.


The fighting revolved around the capital's main highway heading toward the country's north. Abu al-Fida said one checkpoint on the highway changed hands twice on Thursday but was securely in rebel hands Friday. He said rebels were within a half-kilometer (half-mile) from Abbasid square and were firing mortars at a military base near the landmark plaza.


Online videos showed a row of burning tires laid across the highway, blocking all traffic. Smoke rose from a number of areas nearby, reflecting clashes and government shelling.


The videos appeared genuine and corresponded to activist reports.


The Britain-based Syrian Observatory for Human Rights reported clashes in Jobar and shelling and airstrikes on the nearby areas of Zamalka and Qaboun. Rebels also battled government troops in the southern neighborhood of Yarmouk, as well as in the rebel-held suburbs of Daraya and Moadamiyeh, where six people died in a government shell attack, it said.


Also Friday, the Observatory said 54 were killed, including 11 women, in a bombing at a bus stop near a military factory earlier in the week.


Observatory director Rami Abdul-Rahman said an explosive-laden mini-bus blew up at a bus stop near the factory in Buraq, near the central city of Hama, while workers were waiting for rides home. The factory makes military supplies, but not weapons, he said.


The area is government-controlled, which is why reports on the blast were slow to emerge.


"These people work for the Ministry of Defense, but they are all civilians," he said, adding that no one from the military was killed in the blast.


Facebook pages for nearby villages posted names of the dead and pictures of mass graves. A page for the nearby town of Salmiyeh listed more than forty residents it said were killed in the blast.


Syria's state news agency reported the explosion on Wednesday evening, saying "terrorists" detonated a car bomb near a factory. It did not say what the factory produced or specify the number of dead and wounded. The regime refers to rebels fighting to topple the Assad regime as terrorists.


No one has claimed responsibility for the blast, which resembled others in recent months that appeared to target buildings associated with Syria's military and security services.


Some of the bombings have been claimed by an al-Qaida-linked group fighting alongside the rebels, Jabhat al-Nusra, which the U.S. had designated a terrorist organization.


As the situation in Syria has worsened, foreign jihadists have flocked to Syria to join what they consider a holy war to replace Assad's regime with an Islamic state in Syria. Most of the foreign fighters are Arabs from Egypt, Tunisia, Libya and other countries.


Late Thursday, the chief of the Netherlands' top intelligence agency warned that dozens of Dutch citizens are fighting with Syria's rebels and could return home battle-hardened, traumatized and radicalized.


General Intelligence and Security Service chief Rob Bertholee told the Dutch show Nieuwsuur that hundreds of people from around Europe and dozens from the Netherlands have travelled to Syria to join rebels fighting Assad.


He said propaganda romanticizing the civil war is helping draw foreigners into Syria's maelstrom of violence.


Syria's crisis began with peaceful protests in March 2011 and evolved into a civil war as the opposition took up arms to fight a government crackdown on dissent. The U.N. said last month that more than 60,000 people have been killed in the conflict.


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Football: Kelly signs new Liverpool contract






LONDON: Liverpool defender Martin Kelly signed a new long-term contract with the Premier League club on Friday.

Kelly, 22, is currently sidelined due to a knee ligament injury, but the England international has been rewarded for his impressive displays at full-back earlier this season.

The day after team-mate Jamie Carragher announced he will retire at the end of the season, Liverpool manager Brendan Rodgers admitted it was gratifying to see another Liverpool-born product of the club's youth academy commit his future to the Reds.

"Martin has shown a commitment to our vision here. He is a young player who really impressed me when I came in," Rodgers said.

"He was exceptionally good in the games he played earlier in the season."

Kelly, who injured his knee in the 2-1 home defeat against Manchester United in September, admitted he was relieved to have secured his long-term future at Liverpool.

"I'm delighted to sign. It means everything to me and my family," he said.

"I've been at Liverpool since I was seven, so it's in my heart and I love the club.

"When you play in the Liverpool shirt, you have to show the fans what it means. I just love playing and trying my hardest for the supporters and for my family."

Kelly, who has made 54 appearances for Liverpool since making his debut in 2009, added: "Being a Liverpool supporter myself, it's brilliant to put the shirt on.

"Today shows the faith that the club have in me and that the hard work I have put in since I was young has paid off."

- AFP/de



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Einhorn's hedge fund to Apple: Show me the money



"Show me the money" might have been the most famous line from the old Tom Cruise movie "Jerry Maguire," but that's exactly what a big Apple shareholder wants.

Greenlight Capital, a hedge fund run by David Einhorn, today filed a lawsuit and issued a letter to Apple shareholders, urging them to support his push to get Apple to share more of its cash with investors.

"Apple is a phenomenal company ... but Apple has a problem," Einhorn said during an interview on CNBC. "It has sort of a mentality of a depression. In other words, people who have gone through traumas -- and Apple's gone through a couple traumas in its history -- they sometimes feel they can never have enough cash."

He compared the company to his grandmother who wouldn't even leave messages on his answering machine because she didn't want to get charged for the phone call. Einhorn said he understands that Apple wants a large cash hoard to be strategic, make acquisitions, and be secure, but he believes issuing high-yielding preferred shares to existing shareholders would allow Apple to share the value on the balance sheet but still hold a large amount of cash.

Greenlight's letter to shareholders noted the fund in May of last year introduced the idea that Apple could distribute preferred stock to current shareholders. Since that time, the fund has talked with Apple about the idea, but Apple ultimately rejected the idea.


Apple's latest proxy statement, which details items up for a vote at its February 27 shareholder meeting, includes a proposal that would eliminate "blank check" preferred stock.

Einhorn's suit, filed in federal court in Manhattan, seeks an injunction to prevent Apple from bundling that provision with several other items. Rather, he wants each item to be voted on separately.

Here's the full Apple proposal, No. 2 on the roster:

To amend the Company's Restated Articles of Incorporation to (i) eliminate certain language relating to the term of office of directors in order to facilitate the adoption of majority voting for the election of directors, (ii) eliminate "blank check" preferred stock, (iii) establish a par value for the Company's common stock of $0.00001 per share and (iv) make other conforming changes as described in more detail in the Proxy Statement.

Greenlight's letter said it notified Apple yesterday that it would vote against Proposal No. 2. Apple said it would reconsider the idea of preferred stock but refused to withdraw the proxy provision where Apple wants to block preferred stock from its charter.

We've contacted Apple and Greenlight/Einhorn and will update the report when we hear back.

Apple has long faced questions about what it will do with its massive cash stockpile. It reinitiated a dividend last year and also has plans to buy back stock. But as of the December quarter, Apple still had $137 billion in cash and securities on its books.

At the same time, Apple's shares have come under pressure amid worries about competitive pressure. The company reported record results in its latest quarter, but the numbers weren't as strong as Wall Street expected. Shares, down 36 percent since their peak of $705.07 in September, today grew nearly half a percent to $456.80.

Here's Einhorn's full letter:


February 7, 2013

VOTE AGAINST PROPOSAL 2 AT THE FEBRUARY 27 ANNUAL MEETING TO PROTECT YOUR INVESTMENT IN APPLE

Oppose Apple's Effort To Restrict The Company's Ability To Unlock Substantial Shareholder Value

Dear Fellow Apple Shareholder,

Greenlight Capital, Inc. (and affiliates, "Greenlight") has been a significant shareholder of Apple Inc. ("Apple" or the "Company") since 2010. We believe Apple is a phenomenal company filled with talented people creating iconic products that consumers around the world love. We are long-term shareholders of Apple.

However, like many other shareholders, Greenlight is dissatisfied with Apple's capital allocation strategy. The combination of Apple's low (and shrinking) price to earnings multiple and $137 billion (and growing) hoard of cash on the balance sheet supports Greenlight's contention that Apple has an obligation to examine all options to create and unlock additional value.

We understand that many of our fellow shareholders share our frustration with Apple's capital allocation policies. Apple has $145 per share of cash on its balance sheet. As a shareholder, this is your money. Though Apple recently commenced paying a common dividend and initiated a nominal share repurchase program, we believe that there is much more that the Board should do for shareholders.

We believe that it is important for shareholders to send Apple's Board the message that the current capital allocation policy is not satisfactory, and that after considering all options, Apple's Board should act to unlock the latent value of Apple's balance sheet and franchise. If you share our frustration, please join us in blocking the Company's effort to restrict its value creation options by voting AGAINST Apple's plan to amend its corporate charter in Proposal 2 to eliminate preferred stock.

Send Apple And Its Board A Message That We Want Apple To Change Its Capital Allocation Policy To Unlock Value For Shareholders -- VOTE AGAINST PROPOSAL 2

At a May 2012 investment conference, Greenlight introduced the idea that Apple could unlock several hundred billion dollars of shareholder value by distributing to existing shareholders a perpetual preferred stock.

Since then, Greenlight has had discussions with Apple encouraging the Company to distribute perpetual preferred stock as an innovative method of rewarding all shareholders for the Company's strong balance sheet and substantial cash flows. Put plainly, Greenlight is encouraging Apple to distribute a perpetual, high-yielding preferred stock directly to shareholders at no cost. This would enable shareholders to own and separately trade the new preferred shares and Apple's existing common shares. Importantly, Greenlight believes these preferred shares represent a simple, low-risk way to reward shareholders without compromising the financial and strategic flexibility of the Company, or forcing the company to incur tax on repatriating its offshore cash balances.

Greenlight suggested an initial preferred share distribution, whereby dividends could be funded on an ongoing basis by a relatively small percentage of the Company's operating cash flow. Apple rejected the idea outright in September 2012. Yesterday, after Greenlight notified Apple of its intention to vote against Proposal 2, Apple said it would reconsider the idea, but refused to withdraw the proxy provision where Apple seeks to eliminate preferred stock from its charter.


???
The recent, severe under-performance of Apple's shares, which are down approximately 35% from their peak valuation, underscores the need for the Company to apply the same level of creativity used to develop revolutionary technology for its consumers to unlock the value of its strong balance sheet for its shareholders.

We believe our suggestion of distributing perpetual preferred stock, while innovative, is also quite simple. Apple could distribute high-yielding, tax efficient preferred stock to existing shareholders at no cost. This new type of easily tradable preferred security would allow Apple to take advantage of the market's appetite for yield while preserving future operating and strategic flexibility. Importantly, we believe this strategy would require no immediate use of cash other than the ongoing dividend, and would not pose any maturity, re-financing, balance sheet, or default risk.

For example, Apple could initially distribute to existing shareholders $50 billion of perpetual preferred stock, with a 4% annual cash dividend paid quarterly at preferential tax rates. Once a trading market is established and the market recognizes the attractiveness of a highly liquid, steady yielding instrument from an issuer backed by Apple's unmatched balance sheet and valuable franchise, the Board could evaluate unlocking additional value by distributing additional perpetual preferred stock to existing shareholders. With this conservative action, Greenlight believes the Board could unlock hundreds of billions of dollars of latent shareholder value.

Assuming Apple retains its price to earnings multiple of 10x and the preferred stock yields 4%, our calculations show that every $50 billion of perpetual preferred stock that Apple distributes would unlock about $30 billion, or $32 per share in value. Greenlight believes that Apple has the capacity to ultimately distribute several hundred billion dollars of preferred, which would unlock hundreds of dollars of value per share. Further, Greenlight believes additional value may be realized when Apple's price to earnings multiple expands, as the market appreciates a more shareholder friendly capital allocation policy.

Apple's Attempt To Remove A Potential Means Of Value Creation Should Concern ALL Shareholders

As holders of more than 1.3 million Apple shares, Greenlight is alarmed that Apple is attempting to eliminate preferred stock from its corporate charter, hindering its ability to unlock value for shareholders. This is an unprecedented action to curtail the Company's options. We are not aware of any other company that has ever voluntarily taken this step. Furthermore, over 90% of the S&P 500 companies have the flexibility to issue similar preferred shares.

Apple is attempting to package this provision with two positive corporate governance reforms that we would normally support. Apple is asking shareholders to approve or disapprove of all three changes in a single bundled vote.

We believe that the Securities and Exchange Commission ("SEC") proxy rules require that Apple provide for a separate vote on each matter presented to its shareholders for approval at the shareholder meeting. This 'unbundling' rule is designed to permit shareholders to express their vote on each individual matter and to not be forced to vote on a combined package of items. This prevents companies from forcing shareholders to approve matters that they might not vote for if presented independently.

In our view, Apple's Proposal No. 2 violates the SEC's 'unbundling' rule because it ties together three separate matters (majority voting for directors, elimination of preferred stock, and establishing a par value for the Company's common stock) into one proposal. Apple should be required to unbundle these items into separate proposals to allow the shareholders to make an independent choice on each matter. Accordingly, Greenlight has initiated a legal action in the U.S. Federal District Court for the Southern District of New York seeking to have the Company unbundle the various components of Proposal 2 so that shareholders can rightfully vote on each individual provision as mandated by SEC rules.

We cannot support the two desirable governance reforms at the expense of limiting Apple's ability to potentially unlock hundreds of billions of dollars of shareholder value. Importantly, in its current form, voting AGAINST Proposal 2 does not affect the 'majority voting' reform in the short-term, as Board members have already agreed to resign from the Board if they fail to receive a majority of votes cast "for" their election. As a result, we will vote AGAINST Proposal 2 in Apple's proxy and we urge you to vote AGAINST the proposal, as well.

Proposal 2 Is Value Destructive, Impedes The Board's Flexibility, And Does Not Merit Shareholder Support

Your vote is extremely important, regardless of how many shares you own. Apple shareholders of record as of January 2, 2013 are entitled to vote at the annual meeting. Proposal 2 requires the affirmative vote of a majority of the outstanding shares. If you were an Apple shareholder on the record date, you can still vote AGAINST Proposal 2, even if you already voted your shares.

Greenlight is not asking for your proxy card, so please do not send us your proxy card. If your Apple shares are held in your own name, please vote AGAINST Proposal 2. If you hold your Apple shares in "street name" with a bank, brokerage firm, dealer, trust company or other nominee, only they can exercise your right to vote with respect to your shares and only after receiving your specific instructions. IT IS CRITICAL THAT YOU PROMPTLY GIVE INSTRUCTIONS TO YOUR BANK, BROKERAGE FIRM, DEALER, TRUST COMPANY OR OTHER NOMINEE TO VOTE "AGAINST" PROPOSAL 2. If you have any questions about voting your Apple shares, please call our proxy solicitor, D.F. King & Co., Inc., toll-free at (800) 949-2583 (banks and brokerage firms should call (212) 269-5550), or email apple@dfking.com.

Thank you for your consideration and support.


Sincerely,


David Einhorn, Greenlight Capital


Josh Lowensohn contributed to this report.
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Winter nor'easter sweeping into Northeast

A major snowstorm is passing through the Great Lakes Thursday morning, and by Friday night could make travel nearly impossible in parts of the Northeast.


CBS News weather consultant David Bernard says there is a potential for historic snows and blizzard conditions across the Northeast, with as much as 2 feet of snow in some areas.


The National Weather Service says this nor'easter-type storm system will bring strong winds and heavy snow to the region, with eastern New England experiencing the greatest effects. A blizzard watch was issued for Boston and surrounding areas, including Rhode Island, and has now been extended to the eastern end of Long Island and most of Connecticut.



A coastal flooding watch also is in effect for some shore communities in Massachusetts, Connecticut and Long Island.



Beginning late Thursday most of the Northeast will be under a winter storm watch. The snow will start Friday morning, with the heaviest amounts dumped going into Saturday as the storm moves past New England and upstate New York, the weather service said.



Bernard says the storm system - an area of low pressure over the Carolinas - is going to rapidly move to the Northeast during the day Friday; by Friday evening it may start as rain along the coast, but inland areas will get snow.



Late Friday night into Saturday morning, Bernard said, it should be all snow across the Northeast and New England. He said up to 2 feet of snow is not out of the question.



"This has the potential for being a dangerous storm, especially for Massachusetts into northeast Connecticut and up into Maine," said Louis Uccellini, director of the weather agency's National Centers for Environmental Prediction.



The storm would hit just after the 35th anniversary of the historic blizzard of 1978, which paralyzed the region with more than 2 feet of snow and hurricane force winds.



In New York City Friday's rain will turn to snow, with the potential of 6, maybe 12 inches of snow, Bernard said.



Assuming the snow clears out by the weekend with no major problems, ski areas in Massachusetts were excited by the prospect of the first major snowstorm they've seen since October 2011.



Tom Meyers, marketing director for Wachusett Mountain Ski Area in Princeton, Mass., said that at an annual conference of the National Ski Areas Association in Vermont this week, many participants were "buzzing" about the storm. He said the snow will arrive at an especially opportune time — a week before many schools in Massachusetts have February vacation.



"It is perfect timing because it will just remind everybody that it is winter, it's real, and get out and enjoy it," Meyers said.



"We'll be here with bells on," said Christopher Kitchin, inside operations manager at Nashoba Valley Ski Area in Westford, Mass. "People are getting excited. They want to get out in the snow and go snow-tubing, skiing and snowboarding."



At Mount Snow in Vermont, spokesman Dave Meeker said the true value of the storm will be driving traffic from southern New England northward.



"It's great when we get snow, but it's a tremendous help when down-country gets snow," he said. "When they have snow in their backyards, they're inspired."

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Ex-LA Cop Sought in Shootings of 3 Cops, 2 Slayings













Police in Southern California say they suspect that a fired cop is connected to the shootings -- one fatal -- of three police officers this morning, as well as the weekend slayings of an assistant women's college basketball coach and her fiancé in what cops believe are acts of revenge against the LAPD, as suggested in the suspect's online manifesto.


Former police officer Christopher Jordan Dorner, 33, who's also a former U.S. Navy reservist, has been publically named as a suspect in the killings of Monica Quan, 28, and her 27-year-old fiancé, Keith Lawrence, Irvine police Chief David L. Maggard said at a news conference Wednesday night.


"We are considering him armed and dangerous," Lt. Julia Engen of the Irvine Police Department said.


Police say the expert marksman shot at four officers in two incidents overnight, hitting three of them: one in Corona, Calif., and two in Riverside, Calif.


Sgt. Rudy Lopez of the LAPD said two LAPD officers were in Corona and headed out on special detail to check on one of the individuals named in Dorner's manifesto. Dorner allegedly grazed one of them but missed the other.


"[This is an] extremely tense situation," Lopez said. "We call this a manhunt. We approach it cautiously because of the propensity of what has already happened."


The Riverside Police Department said two of its officers were shot before one of them died, KABC-TV reported. The extent of the other's injuries is unclear.
Police suspected a connection to Dorner.








Engaged California Couple Found Dead in Car Watch Video









Missing Ohio Mother: Manhunt for Ex-Boyfriend Watch Video







"They were on routine patrol stopped at a stop light when they were ambushed," Lt. Guy Toussant of the Riverside police department said.


A badge and identification belonging to Dorner have been found in San Diego, according to San Diego police Sgt. Ray Battrick. Dorner's LAPD badge and ID were found by someone near the city's airport, and turned in to police overnight, The Associated Press reported.


Police around Southern California are wearing tactical gear, including helmets and guns across their chests. The light-up signs along California highways show the license plate number of Dorner's car, and say to call 911 if it is seen. The problem, police say, is that they believe Dorner is switching license plates on his car, a 2005 charcoal-gray Nissan Titan pickup truck.


Lawrence was found slumped behind the wheel of his white Kia in the parking lot of their upscale apartment complex in Irvine Sunday and Quan was in the passenger seat.


"A particular interest at this point in the investigation is a multi-page manifesto in which the suspect has implicated himself in the slayings," Maggard said.


Police said Dorner's manifesto included threats against members of the LAPD. Police say they are taking extra measures to ensure the safety of officers and their families.


The document, allegedly posted on an Internet message board this week, apparently blames Quan's father, retired LAPD Capt. Randy Quan, for his firing from the department.


"Your lack of ethics and conspiring to wrong a just individual are over," he allegedly wrote.


One passage from the manifesto reads, "I will bring unconventional and asymmetrical warfare to those in LAPD uniform whether on or off duty."


"I never had the opportunity to have a family of my own," it reads. "I'm terminating yours."


Dorner was with the department from 2005 until 2008, when he was fired for making false statements.


Randy Quan, who became a lawyer in retirement, represented Dorner in front of the Board of Rights, a tribunal that ruled against Dorner at the time of his dismissal, LAPD Capt. William Hayes told The Associated Press Wednesday night.


According to documents from a court of appeals hearing in October 2011, Dorner was fired from the LAPD after he made a complaint against his field-training officer, Sgt. Teresa Evans, saying in the course of an arrest she had kicked a suspect who was a schizophrenic with severe dementia.


After an investigation, Dorner was fired for making false statements.






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Khamenei rebuffs U.S. offer of direct talks


DUBAI (Reuters) - Iran's highest authority, Ayatollah Ali Khamenei, on Thursday slapped down an offer of direct talks made by U.S. Vice President Joe Biden this week, saying they would not solve the problem between them.


"Some naive people like the idea of negotiating with America, however, negotiations will not solve the problem," Khamenei said in a speech to officials and members of Iran's air force carried on his official website.


"If some people want American rule to be established again in Iran, the nation will rise up to face them," he said.


"American policy in the Middle East has been destroyed and Americans now need to play a new card. That card is dragging Iran into negotiations."


Khamenei made his comments just days after Joe Biden said the United States was prepared to meet bilaterally with the Iranian leadership. "That offer stands but it must be real and tangible," Biden said in a speech in Munich.


With traditional fiery rhetoric, Khamenei lambasted Biden's offer, saying that since the 1979 revolution the United States had gravely insulted Iran and continued to do so with its threat of military action.


"You take up arms against the nation of Iran and say: 'negotiate or we fire'. But you should know that pressure and negotiations are not compatible and our nation will not be intimidated by these actions," he added.


Relations between Iran and the United States were severed in 1979 after the overthrow of Iran's pro-western monarchy and diplomatic meetings between officials have since been very rare.


ALL OPTIONS STILL "ON THE TABLE"


Currently U.S.-Iran contact is limited to talks between Tehran and a so-called P5+1 group of powers on Iran's disputed nuclear program which are to resume on February 26 in Kazakhstan.


Israel's Deputy Prime Minister Dan Meridor said he was skeptical the negotiations in Almaty could yield a result, telling Israel Radio that the United States needed to demonstrate to Iran that "all options were still on the table".


Israel, widely recognized to be the only nuclear power in the Middle East, has warned it could mount a pre-emptive strike on Iranian atomic sites. Israel sees its existence as directly threatened by the prospect of an nuclear-armed Iran, given Tehran's refusal to recognize the existence of the Jewish state.


"The final option, this is the phrasing we have used, should remain in place and be serious," said Meridor.


"The fact that the Iranians have not yet come down from the path they are on means that talks ...are liable to bring about only a stalling for time," he said.


Iran maintains its nuclear program is entirely peaceful but Western powers are concerned it is intent on developing a weapons program.


Many believe a deal on settling the nuclear issue is impossible without a U.S.-Iranian thaw. But any rapprochement would require direct talks addressing many sources of mutual mistrust that have lingered since Iran's 1979 Islamic Revolution and the subsequent U.S. embassy hostage crisis in Tehran.


Moreover, although his re-election last November may give President Barack Obama a freer hand to pursue direct negotiations, analysts say Iran's own presidential election in June may prove an additional obstacle to progress being made.


(Additional reporting by Dan Williams; Editing by William Maclean and Jon Boyle)



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War crimes court wants Gaddafi spy chief handed over






THE HAGUE: International Criminal Court judges on Thursday demanded Libya hand over Muammar Gaddafi's former spy chief Abdullah Senussi to face charges of crimes against humanity.

The latest broadside in the legal tug-of-war between The Hague-based ICC and Tripoli over where Senussi and Gaddafi's son Seif al-Islam should be tried repeated a demand for Senussi to be handed over.

The ICC "orders the Libyan authorities to proceed to the immediate surrender of Mr Senussi to the court," said a ruling issued on Wednesday and made public on Thursday.

The ICC has the option of calling on the United Nations Security Council to take action.

The ICC is mulling a Libyan request to put Senussi and Gaddafi on trial there, while the ICC itself wants to try Gaddafi and Senussi on charges of crimes against humanity committed in the conflict that overthrew Muammar Gaddafi in 2011.

The ICC, which was mandated by the UN Security Council to investigate the Libyan conflict, issued arrest warrants in June 2011 for both Seif and Senussi on charges of crimes against humanity.

Lawyers for the two accused have said they will not get a fair trial in Libya.

- AFP/de



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ITC decision on Apple v. Samsung spat to come in August



The International Trade Commission's final ruling on a spat between Apple and Samsung is due this August, following a review of an earlier decision.


The judge presiding over the patent case (which was filed by Apple against Samsung in July 2011) last night said he plans to to issue final decision in the case on August 1, following an updated initial determination that's subject to a review.


Last October, the ITC said that Samsung infringed on four of Apple's patents with a handful of its mobile devices. Late last month the U.S.-based group said that decision would be reviewed following petitions by both companies for a second look.


This ITC case differs from one filed by Samsung against Apple in August 2011, accusing Apple of infringing on five of its patents with its mobile devices. The case was then carved down to four patents, after Samsung removed a 2005 patent for MP3 music track technology.


Technology companies in recent years have increasingly turned to the ITC to settle their disputes. Companies can pursue an ITC case in parallel with civil lawsuits, and the threat of an embargo on products typically forces companies to settle more quickly.


This ITC case is part of a much wider spat between Apple and Samsung, which are involved in legal confrontations around the globe. Perhaps the largest has been the U.S. trial between the two in a San Jose, Calif., federal court, which wrapped up last August and favored Apple, but has yet to be entirely laid to rest.


(via FOSS Patents)


Complete coverage: Apple v. Samsung, a battle over billions

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Boy Scouts leaders make announcement on gay ban

Updated at 11:07 a.m. ET

IRVING, Texas The Boy Scouts of America put off a decision Wednesday on whether to lift its ban on gay members and leaders, saying the question will be taken up at the organization's national meeting in May.

"After careful consideration and extensive dialogue within the Scouting family, along with comments from those outside the organization, the volunteer officers of the Boy Scouts of America's National Executive Board concluded that due to the complexity of this issue, the organization needs time for a more deliberate review of its membership policy," Deron Smith, the BSA director of public relations, said in a statement.

Smith said the organization's national executive board will prepare a resolution for the 1,400 voting members of the national council to consider. The annual meeting will take place in May 2013 in Grapevine, Texas.

BSA announced last week it was considering allowing troops to decide whether to allow gay membership. That news has placed a spotlight on executive board meetings that began Monday in Irving, Texas, where scouting headquarters is located.

Smith said last week that the board could take a vote Wednesday or decide to discuss the policy, but that the organization would issue a statement either way. Otherwise, the board has remained silent, with reporters barred from the hotel where its meetings are taking place.

At nearby BSA headquarters, a handful of Scouts and leaders delivered petitions Monday in support of letting gay members join. The conservative group Texas Values, meanwhile, had organized a Wednesday morning prayer vigil urging the Scouts to keep their policy the same.




Play Video


Obama on women in combat, gay Boy Scouts



President Obama, an opponent of the policy, and Texas Gov. Rick Perry, an Eagle Scout who supports it, both have weighed in.

"My attitude is that gays and lesbians should have access and opportunity the same way everybody else does in every institution and walk of life," said Mr. Obama, who as U.S. president is the honorary president of BSA, in a Sunday interview with CBS News.

Perry, the author of the book "On My Honor: Why the American Values of the Boy Scouts Are Worth Fighting For," said in a speech Saturday that "to have popular culture impact 100 years of their standards is inappropriate."

The board faces several choices, none of which is likely to quell controversy. Standing pat would go against the public wishes of two high-profile board members — Ernst & Young CEO James Turley and AT&T Inc. CEO Randall Stephenson — who run companies with nondiscrimination policies and have said they would work from within to change the Scouts' policy.

Conservatives have warned of mass defections if Scouting allows gay membership to be determined by troops. Local and regional leaders, as well as the leadership of churches that sponsor troops, would be forced to consider their own policies. And policy opponents who delivered four boxes of signatures to BSA headquarters Monday said they wouldn't be satisfied by only a partial acceptance of gay scouts and leaders.

"We don't want to see Scouting gerrymandered into blue and red districts," said Brad Hankins, campaign director of Scouts for Equality.

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US Postal Service to End Saturday Mail Delivery





Feb 6, 2013 8:28am


Weekend mail delivery is about to come to an end.


The U.S. Postal Service will stop delivering mail on Saturdays, but will continue to deliver packages six days a week, the USPS announced at a news conference this morning.


While post offices that open on Saturdays will continue to do so, the initiative, which is expected to begin the week of August 5, will save an estimated $2 billion annually. The USPS had a $15.9 billion loss in financial year 2012.


“America’s mailing habits are changing and so are their shipping habits,” Postmaster General Patrick Donahoe said. “People will say this is a responsible decision. It makes common sense.”


The service reduction is the latest of Postal Service steps to cut costs as the independent agency of the U.S. government struggles with its finances.


To close its budget gap and reduce debt, it needs to generate $20 billion in cost reductions.


USPS officials have pushed for eliminating mail and package delivery on Saturdays for the past few years, but recent data showing growth in package delivery, which is up by 14 percent since 2010, and projected additional growth in the coming decade made them revise their decision to continue package delivery only.


Saturday mail delivery to P.O. boxes will also continue.


Research by the post office and major news organizations indicated that 7 out of 10 Americans support switching to five-day service.


Since 2006, the Postal Service has reduced annual costs by $15 billion, cut the career force by 28 percent and consolidated 200 mail-processing locations.


The USPS announced in May it was cutting back on the number of operating hours instead of shuttering 3,700 rural post offices. The move, which reduced hours of operation at 13,000 rural post offices from an eight-hour day to between two and six hours a day, was made with the aim of saving about $500 million per year.


The cutback in hours last year resulted in 9,000 full-time postal employees’ being reduced to part time plus the loss of their benefits, while another 4,000 full-time employees became part time but kept their benefits.


gty us postal service lpl 130206 wblog U.S. Postal Service to End Saturday Mail Delivery

                                              (Image Credit: Victor J. Blue/Bloomberg via Getty Images)



SHOWS: Good Morning America







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Tunisia protests after government critic shot dead


TUNIS (Reuters) - A fierce critic of the Tunisian government's dealings with radical Islamists was shot dead on Wednesday, sending protesters onto the streets two years after their Jasmine Revolution sparked revolt across the Arab world.


The headquarters of the moderate Islamist Ennahda party, which rules in a fractious coalition with secularists, was set ablaze after Chokri Belaid, an outspoken, secular leader, was gunned down outside his home in the capital.


His party and others in the opposition parties said they would quit the assembly that is writing a new constitution and called a general strike for Thursday when Belaid will be buried.


Prime Minister Hamadi Jebali, who said the identity of the attacker was not known, condemned his killing as a political assassination and a strike against the "Arab Spring" revolution. Ennahda denied any involvement.


As Belaid's body was taken by ambulance through Tunis from the hospital where he died, police fired teargas towards about 20,000 protesters at the Interior Ministry chanting for the fall of the government.


"This is a black day in the history of modern Tunisia ... Today we say to the Islamists, 'get out' ... enough is enough," said Souad, a 40-year-old teacher outside the ministry.


"Tunisia will sink in the blood if you stay in power."


Despite calls for calm from the president, who is not an Islamist, thousands also demonstrated in cities including Mahdia, Sousse, Monastir and Sidi Bouzid, the cradle of the revolution, where police fired teargas and warning shots at protesters who set cars and a police station on fire.


While Belaid's nine-party Popular Front bloc has only three seats in the constituent assembly, the opposition jointly agreed to pull its 90 or so members out of the body, which is acting as parliament and writing the new post-revolution charter. Ennahda and its fellow ruling parties have some 120 seats.


The small North African state was the first Arab country to oust its leader and hold free elections as uprisings spread around the region in 2011, leading to the ousting of the rulers of Egypt, Yemen and Libya and to the civil war in Syria.


But as in Egypt, many who campaigned for freedom from repression under autocratic rulers and better prospects for their future now feel their revolutions have been hijacked by Islamists they accuse of clamping down on personal liberties, with no sign of new jobs or improvements in infrastructure.


Tunisia's new constitution will pave the way for new elections but will inevitably be a source of friction between secularists and Islamists, just as it was in Egypt, where the president adopted sweeping powers to force it through.


The ruling parties have agreed to hold the vote in June, but that date still needs approval by the assembly.


HARDSHIP


Since the uprising, the government has faced a string of protests over economic hardship and Tunisia's future path, with many complaining hardline Salafists were taking over the revolution in the former French colony once dominated by a secular elite under the autocratic rule of Zine al-Abidine Ben Ali.


Last year, Salafist groups prevented several concerts and plays from taking place in Tunisian cities, saying they violated Islamic principles. That worries the secular-minded among the 11 million Tunisians, who fear freedom of expression is in danger.


Salafists also ransacked the U.S. embassy in Tunis in September, during international protests over an Internet video mocking Islam.


The embassy issued a statement on Wednesday condemning Belaid's killing: "There is no justification for this heinous and cowardly act," it said. "Political violence has no place in the democratic transition in Tunisia."


The United States urged the Tunisian government to bring his killers to book.


Declining trade with the crisis-hit euro zone has left Tunisians struggling to achieve the better living standards many had hoped for following Ben Ali's departure. Any further signs of unrest could scare off tourists vital to an industry only just recovering from the revolution.


"More than 4,000 are protesting now, burning tires and throwing stones at the police," Mehdi Horchani, a Sidi Bouzid resident, told Reuters. "There is great anger."


Jobless graduate Mohamed Bouazizi set himself on fire in December 2010 in the city, 300 km (180 miles) southwest of Tunis, after police confiscated his unlicensed fruit cart, triggering the "Jasmine Revolution" that forced Ben Ali to flee to Saudi Arabia less than a month later, on January 14, 2011.


President Moncef Marzouki, who last month warned the tension between secularists and Islamists might lead to "civil war", canceled a visit to Egypt scheduled for Thursday and cut short a trip to France, where he addressed the European Parliament.


"There are political forces inside Tunisia that don't want this transition to succeed," Marzouki told journalists in Strasbourg.


"When one has a revolution, the counter revolution immediately sets in because those who lose power - it's not only Ben Ali and his family - are the hundreds of thousands of people with many interests who see themselves threatened by this revolution," he added.


Belaid, who died in hospital, said earlier this week that dozens of people close to the government had attacked a Popular Front group meeting in Kef, northern Tunisia, on Sunday.


A lawyer and human rights activist, the 48-year-old had been a constant critic of the government, accusing it of being a puppet of the rulers in the small but wealthy Gulf state of Qatar, which Tunisia denies.


"Chokri Belaid was killed today by four bullets to the head and chest," Ziad Lakhader, a Popular Front leader, told Reuters.


The Interior Ministry said he had been gunned down by a man who fled on a motorcycle with an accomplice.


DENIES INVOLVEMENT


Prime Minister Jebali, a member of Ennahda, said the killers wanted to "silence his voice".


"The murder of Belaid is a political assassination and the assassination of the Tunisian revolution," he said.


Ennahda leader Rached Ghannouchi denied any involvement by his party in the killing. "Is it possible that the ruling party could carry out this assassination when it would disrupt investment and tourism?" Ghannouchi told Reuters.


He blamed those seeking to derail Tunisia's democratic transition: "Tunisia today is in the biggest political stalemate since the revolution. We should be quiet and not fall into a spiral of violence. We need unity more than ever," he said.


He accused secular opponents of stirring up sentiment against his party following Belaid's death. "The result is burning and attacking the headquarters of our party in many areas," he said.


Witnesses said crowds had also attacked Ennahda offices in Sousse, Monastir, Mahdia and Sfax.


French President Francois Hollande said he was concerned by the rise of violence in Paris's former dominion, where the government says al Qaeda-linked militants linked to those in neighboring countries have been accumulating weapons with the aim of creating an Islamic state.


"This murder deprives Tunisia of one of its most courageous and free voices," Hollande's office said in a statement.


Riccardo Fabiani, Eurasia analyst on Tunisia, described it as a "major failure for Tunisian politics".


"The question is now what is Ennahda going to do and what are its allies going to do?" he said. "They could be forced to withdraw from the government which would lead to a major crisis in the transition."


Marzouki warned last month that the conflict between Islamists and secularists could lead to civil war and called for a national dialogue that included all political groupings.


Ennahda won 42 percent of seats in a parliamentary election in 2011 and formed a government in coalition with two secular parties, the Congress for the Republic, to which President Marzouki belongs, and Ettakatol.


Marzouki's party threatened on Sunday to withdraw from the government unless it dropped two Islamist ministers.


(Additional reporting by John Irish in Paris; Writing by Alison Williams; Editing by Alastair Macdonald)



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Boeing 787 probe results weeks away, says NTSB chief






WASHINGTON: The results of the National Transportation Safety Board's investigation into the causes of a battery fire on a Boeing 787 Dreamliner are expected in the coming weeks, NTSB chair Deborah Hersman said on Wednesday.

"We're probably weeks away from being able to tell people what happened and what needs to be changed," Hersman said at a news conference.

The NTSB chief said investigators were "proceeding with a lot of care" in probing the cause of a January 7 lithium-ion battery fire on a Japan Airlines 787 that occurred as the plane sat on the tarmac at Boston's Logan airport.

Hersman said the most concerning issues seen in the probe so far were short circuits and thermal runaway, an uncontrolled chemical reaction that produces rising temperatures.

"These factors are not what we expected to see in a brand-new battery," she said.

The battery problem on the JAL 787, and another on an All Nippon Airways 787, led to a global grounding of all 50 Dreamliners in service until the issue is fixed.

The NTSB will hold a news conference on Thursday to update the public on the 787 investigation, Hersman said.

- AFP/de



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5 consequences of Dell's $24.4 billion deal to go private



Will Dell PCs make a comeback?



(Credit:
Dell)


Dell's $24.4 billion deal to go private is a sign of the times. The PC market is collapsing, Microsoft is trying to save it, and the IPO isn't what it used to be.


The company is about to get a major transformation. Once the deal is completed (with a $2 billion loan from Microsoft as part of the financing), it will be owned by Silver Lake Partners and Dell founder Michael Dell. But what exactly does going private mean for the company? What impact will it have on the markets?


Here are a few potential consequences of the deal:


1. Dell be nimble, Dell be quick


Part of the reason Dell decided to go through the trouble of a leveraged buyout was that it would help it become a nimbler company. Without the public markets, analysts, and the Securities and Exchange Commission to answer to, Dell CEO Michael Dell can theoretically make quicker decisions that will let it respond to Apple and Google.


It remains to be seen whether Dell will actually become more nimble -- it is still a multibillion-dollar corporation, after all -- but if Dell didn't do anything drastic, it was never going to make a significant recovery.


There is another potential benefit to going private: Dell can now implement long-term strategies that may eat up short-term profits. Dell would be hammered on the public markets for declining profit margins, even if they were going to help long-term, but the company will face no such problem as a private entity.



Michael Dell

Michael Dell



(Credit:
Dell )


2. Microsoft's awkward relationship with OEMs becomes more awkward


One of the most interesting parts of the deal is that Microsoft chipped in a $2 billion loan to help get the deal done. In the past, Microsoft just offered the software (Windows) and the OEMs provided the hardware to go with it. Microsoft didn't play favorites or hold stakes in any of its partners.


Of course, that was thrown out the proverbial window (ha) when it created its own competing hardware -- the Surface
tablet. It resulted in strained relationships with HP, Dell, and many of its longtime partners, and I doubt the Dell deal will help, even if Microsoft promises total independence.


3. Can anyone stop the decay of the PC ecosystem?


Let's face it: the PC ecosystem is in free fall. Sales dropped by 6.4 percent from the fourth quarter of 2011 to the fourth quarter of 2012. Dell itself was down a mind-blowing 20.8 percent from the last holiday quarter. This isn't a new phenomenon -- PC growth has been declining since the iPad was released.


Dell's move would not have come if the foundations of the PC ecosystem weren't crumbling.
Windows 8 sales are lagging, despite what the people in Redmond would like you to believe. The move to privatize could give it leeway to try riskier strategies, such as adopting other operating systems (despite Microsoft's $2 billion loan).


I doubt this move will change the state of the PC ecosystem, though. Everyone sees the decline, and PC tablets probably won't be enough to stem it.


4. Michael Dell's legacy


Michael Dell is one of the most successful entrepreneurs of our generation. He created a multibillion dollar company from his garage and became a billionaire in the process. He strongly identifies with the company that bears his name. But his return to the helm after he stepped down as CEO in 2004 has not been smooth, and it certainly can't be compared to Steve Jobs' return to Apple.


Some speculate that Michael Dell is preparing to step down as CEO, but I don't see the evidence. Why step down when you have the greatest opportunity in your life to make an impact at the company you founded?


The company going private will define his legacy, and he knows it. If the privatization deal succeeds, he will be known as one of the great CEOs of our time. If he can't turn things around, he will be a footnote in the history books.

5. Is this the beginning of the end of the IPO?


In the past, the IPO was the culmination of an entrepreneur's hard work, building an empire from the ground up. But now, companies are finding ways to avoid the IPO and the regulatory nightmare that accompanies it.


It's well-known that Mark Zuckerberg never wanted to take Facebook public, but essentially had no choice. And who can blame him? Quarterly financial reports, stock market roller coasters, and hostile takeovers just aren't fun.


Dell's move to privatize just underscores how burdensome being a public company actually can be. And with recent SEC rule changes making it easier to stay private for longer, why go public?


Let's be clear: most companies will still go public, because the early investors expect it. But don't be surprised if that mindset changes over the next decade. We may have to rewrite all the rules of the IPO if this trend continues.


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Ireland admits involvement in Catholic laundry slavery

DUBLIN Ireland has admitted some responsibility for workhouses run by Catholic nuns that once kept thousands of women and teenage girls against their will in unpaid, forced labor.



The apology comes after an expert panel found that Ireland should be legally responsible for the defunct Magdalene Laundries because authorities committed about one-quarter of the 10,012 women to the workhouses from 1922 to 1996, often in response to school truancy or homelessness.



"To those residents who went through the Magdalene Laundries in a variety of ways, 26 percent of the time from state involvement, I am sorry for those people that they lived in that kind of environment," said Prime Minister Enda Kenny on behalf of the Irish government, according to Reuters.


Survivors said they were unsatisfied with the prime minister's response. Steven O'Riordan, spokesperson for Magdalene Survivors Together, told Irish paper The Journal the apology was a "cop out."

Ireland stigmatized those that had been committed as "fallen" women - prostitutes - but most were simply unwed mothers or daughters of them.

The report found that 15 percent lived in the workhouses for more than five years, and police caught and returned women who fled. They endured 12-hour work days of washing and ironing.

The state apology could pave the way for payments to survivors.

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Boy Rescued in Ala. Standoff 'Laughing, Joking'













The 5-year-old boy held hostage in a nearly week-long standoff in Alabama is in good spirits and apparently unharmed after being reunited with his family at a hospital, according to his family and law enforcement officials.


The boy, identified only as Ethan, was rescued by the FBI Monday afternoon after they rushed the underground bunker where suspect Jimmy Lee Dykes, 65, was holding him. Dykes was killed in the raid and the boy was taken away from the bunker in an ambulance.


Ethan's thrilled relatives told "Good Morning America" today that he seemed "normal as a child could be" after what he went through and has been happily playing with his toy dinosaur.


"He's happy to be home," Ethan's great uncle Berlin Enfinger told "GMA." "He's very excited and he looks good."


Click here for a psychological look at what's next for Ethan.


"If I could, I would do cartwheels all the way down the road," Ethan's aunt Debra Cook said. "I was ecstatic. Everything just seemed like it was so much clearer. You know, we had all been walking around in a fog and everyone was just excited. There's no words to put how we felt and how relieved we were."


Cook said that Ethan has not yet told them anything about what happened in the bunker and they know very little about Dykes.


What the family does know is that they are overjoyed to have their "little buddy" back.










Ala. Hostage Standoff Over: Kidnapper Dead, Child Safe Watch Video









Alabama Hostage Standoff: Jimmy Lee Dykes Dead Watch Video





"He's a special child, 90 miles per hour all the time," Cook said. "[He's] a very, very loving child. When he walks in the room, he just lights it up."


Officials have remained tight-lipped about the raid, citing the ongoing investigation.


"I've been to the hospital," FBI Special Agent Steve Richardson told reporters Monday night. "I visited with Ethan. He is doing fine. He's laughing, joking, playing, eating, the things that you would expect a normal 5- to 6-year-old young man to do. He's very brave, he's very lucky, and the success story is that he's out safe and doing great."


Ethan is expected to be released from the hospital later today and head home where he will be greeted by birthday cards from his friends at school. Ethan will celebrate his 6th birthday Wednesday.


Officials were able to insert a high-tech camera into the 6-by-8-foot bunker to monitor Dykes' movements, and they became increasingly concerned that he might act out, a law enforcement source with direct knowledge told ABC News Monday. FBI special agents were positioned near the entrance of the bunker and used two explosions to gain entry at the door and neutralize Dykes.


Who Is Jimmy Lee Dykes?


"Within the past 24 hours, negotiations deteriorated and Mr. Dykes was observed holding a gun," the FBI's Richardson said. "At this point, the FBI agents, fearing the child was in imminent danger, entered the bunker and rescued the child."


Richardson said it "got tough to negotiate and communicate" with Dykes, but declined to give any specifics.


After the raid was complete, FBI bomb technicians checked the property for improvised explosive devices, the FBI said in a written statement Monday afternoon.


The FBI had created a mock bunker near the site and had been using it to train agents for different scenarios to get Ethan out, sources told ABC News.


Former FBI special agent and ABC News consultant Brad Garrett said rescue operators in this case had a delicate balance.


"You have to take into consideration if you're going to go in that room and go after Mr. Dykes, you have to be extremely careful because any sort of device you might use against him, could obviously harm Ethan because he's right there," he said.






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Iran's Ahmadinejad kissed and scolded in Egypt


CAIRO (Reuters) - Mahmoud Ahmadinejad was both kissed and scolded on Tuesday when he began the first visit to Egypt by an Iranian president since Tehran's 1979 Islamic revolution.


The trip was meant to underline a thaw in relations since Egyptians elected an Islamist head of state, President Mohamed Mursi, last June. But it also highlighted deep theological and geopolitical differences.


Mursi, a member of the Sunni Muslim Brotherhood, kissed Ahmadinejad after he landed at Cairo airport and gave him a red carpet reception with military honors. Ahmadinejad beamed as he shook hands with waiting dignitaries.


But the Shi'ite Iranian leader received a stiff rebuke when he met Egypt's leading Sunni Muslim scholar later at Cairo's historic al-Azhar mosque and university.


Sheikh Ahmed al-Tayeb, head of the 1,000-year-old seat of religious learning, urged Iran to refrain from interfering in Gulf Arab states, to recognize Bahrain as a "sisterly Arab nation" and rejected the extension of Shi'ite Muslim influence in Sunni countries, a statement from al-Azhar said.


Visiting Cairo to attend an Islamic summit that begins on Wednesday, Ahmadinejad told a news conference he hoped his trip would be "a new starting point in relations between us".


However, a senior cleric from the Egyptian seminary, Hassan al-Shafai, who appeared alongside him, said the meeting had degenerated into an exchange of theological differences.


"There ensued some misunderstandings on certain issues that could have an effect on the cultural, political and social climate of both countries," Shafai said.


"The issues were such that the grand sheikh saw that the meeting ... did not serve the desired purpose."


The visit would have been unthinkable during the rule of Hosni Mubarak, the military-backed autocrat who preserved Egypt's peace treaty with Israel during his 30 years in power and deepened ties between Cairo and the West.


"The political geography of the region will change if Iran and Egypt take a unified position on the Palestinian question," Ahmadinejad said in an interview with Al Mayadeen, a Beirut-based TV station, on the eve of his trip.


He said he wanted to visit the Gaza Strip, the Palestinian territory which neighbors Egypt to the east and is run by the Islamist movement Hamas. "If they allow it, I would go to Gaza to visit the people," Ahmadinejad said.


Analysts doubt that the historic changes that brought Mursi to power will result in a full restoration of diplomatic ties between states whose relations were broken off after the conclusion of Egypt's peace treaty with Israel in 1979.


OBSTACLES TO FULL TIES


At the airport the two leaders discussed ways of improving relations and resolving the Syrian crisis "without resorting to military intervention", Egyptian state media reported.


Egypt is concerned by Iran's support for Syrian President Bashar al-Assad, who is trying to crush an uprising inspired by the revolt that swept Mubarak from power two years ago. Egypt's overwhelmingly Sunni Muslim population is broadly supportive of the uprising against Assad's Alawite-led administration.


Egyptian Foreign Minister Mohamed Kamel Amr sought to reassure Gulf Arab allies - that are supporting Cairo's battered state finances and are deeply suspicious of Iran - that Egypt would not jeopardize their security.


"The security of the Gulf states is the security of Egypt," he said in remarks reported by the official MENA news agency.


Mursi wants to preserve ties with the United States, the source of $1.3 billion in aid each year to the influential Egyptian military.


"The restoration of full relations with Iran in this period is difficult, despite the warmth in ties ... because of many problems including the Syrian crisis and Cairo's links with the Gulf states, Israel and the United States," said one former Egyptian diplomat.


Iranian Foreign Minister Ali Akbar Salehi said he was optimistic that ties could grow closer.


"We are gradually improving. We have to be a little bit patient. I'm very hopeful about the expansion of the bilateral relationship," he told Reuters. Asked where he saw room for closer ties, he said: "Trade and economics."


Egypt and Iran have taken opposite courses since the late 1970s. Egypt, under Mubarak's predecessor Anwar Sadat, concluded a peace treaty with Israel in 1979 and became a close ally of the United States and Europe. Iran from 1979 turned into a center of opposition to Western influence in the Middle East.


Symbolically, Iran named a street in Tehran after the Islamist who led the 1981 assassination of Sadat.


Egypt gave asylum and a state funeral to Iran's exiled Shah Reza Pahlavi, who was overthrown in the 1979 Iranian revolution. He is buried in a mosque beside Cairo's mediaeval Citadel alongside his ex-brother-in-law, Egypt's last king, Farouk.


(Additional reporting by Ayman Samir, Marwa Awad and Alexander Diadosz; Writing by Paul Taylor and Tom Perry; Editing by Andrew Roche and Robin Pomeroy)



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