Monday, April 11, 2011

News Corp. Unit Apologizes in U.K. Phone Hacking Case

Seeking to contain the damage from a long-running controversy, News Corp.'s U.K. newspaper unit said it is apologizing and admitting liability in some civil lawsuits in which the company's racy British tabloid, the News of the World, has been accused of hacking into private voicemail accounts in pursuit of scoops.

News International said Friday it would offer an 'unreserved apology' to some civil litigants and admit liability in cases that meet certain criteria. It also will establish a compensation scheme to process claims against the tabloid.

Two dozen active cases have been filed, but plaintiffs' lawyers say there could be many more waiting in the wings. So far, News International is admitting liability in eight of the 24 cases, which include those brought by actress Sienna Miller and former U.K. government minister Tessa Jowell. Though News International has settled some civil suits in the past related to phone hacking, this is the first time the company is admitting liability.

The move represents News International's first major mea culpa in a story that, for five years, has plagued the U.K.'s dominant newspaper publisher. The company initially said only one reporter was aware of the invasive reporting tactics, an assertion proved untrue by later events.

'[P]ast behavior at the News of the World in relation to voicemail interception is a matter of genuine regret,' News International said in a statement. 'It is now apparent that our previous inquiries failed to uncover important evidence and we acknowledge our actions then were not sufficiently robust.'

'This will begin the process of bringing these cases to a fair resolution with damages appropriate to the extent of the intrusion,' the statement said. News International said it will continue to contest cases it deems meritless or outside the scope of its responsibility. News Corp. is the parent company of The Wall Street Journal.

The development signals the company's hope that it can close a chapter in the episode, which has brought consistent criticism of the tabloid's controversial reporting tactics. It isn't clear, however, how many civil cases News International will be able to settle with plaintiffs─especially wealthy celebrities who may be intent on publicly airing the details of their cases against the company.

Wednesday, April 6, 2011

Nobel Laureate Must Step Down From Bank

Bangladesh's Supreme Court ruled Tuesday that Nobel laureate Muhammad Yunus must step down as head of microlender Grameen Bank, a decision likely to ratchet up diplomatic tensions with the U.S.

The court ruled unanimously to uphold a central bank decision last month that Mr. Yunus, 70 years old, must resign as managing director of Grameen, which pioneered lending small amounts to poor borrowers without collateral.

The central bank found that Grameen had failed to get its approval, as required by a law that formally set up the bank, when it reappointed Mr. Yunus managing director in 1999.

Mr. Yunus appealed, but Tuesday's Supreme Court ruling ended that legal avenue. Nine of Grameen's 12 board members have launched a separate case at the Supreme Court calling for Mr. Yunus's reinstatement, which is likely to be heard Wednesday.

Mr. Yunus has remained at work since the central bank's ruling, but he appears to be running out of legal options to stay.

His ouster, if made final, could dent Bangladesh's international reputation at a time when its textile-driven economy is growing steadily and its moves to clamp down on Islamist extremism have won plaudits.

Some analysts say Mr. Yunus's fame after he shared the 2006 Nobel Peace Prize with Grameen has angered Bangladesh Prime Minister Sheikh Hasina, and that she increasingly views the bank as a competing power center.

While Bangladesh has lurched between unstable civilian and military governments since it was carved out of Pakistan after a 1971 war, nongovernmental organizations like Grameen have grown in stature. Bangladesh received large amounts of foreign aid following independence, which spawned a huge nongovernment sector.

Grameen, which Mr. Yunus founded in the 1970s, initially was aid dependent but hasn't taken donor money since 1998, as it became more profitable.

Thursday, November 25, 2010

How do you look for a new job while you are working full-time?

More people are expected to change jobs as the economy recovers, and several readers have asked for advice on the question. One reader is troubled by the shroud of secrecy he must keep up at work while going on interviews. 'I've lied to my boss saying I had a doctor's appointment or another scheduled event when in reality, I'm going on interviews. This makes me feel false,' this reader says. But on the other hand, citing a vague 'appointment' to justify his absences seems 'incredibly suspicious,' he adds.

Another reader says 'the time and mental stress' of a job search 'are very difficult to work into a packed schedule.'

There is no way to avoid some tension and strain when you are trying to jump. Every individual must decide how many specifics to cite in explaining absences to the boss. One way to avoid lying is to simply say, in a confident and businesslike way, that you have 'personal business.' I have seen employees use this excuse to cover needs ranging from infertility treatment to estate planning. Another strategy that may be applicable to some workers is to say you are networking with others in your field, says Kate Wendleton, president of The Five O'Clock Club and an experienced career adviser.

Whatever reason you cite for absences, be confident and assertive; you have a right to some privacy. You can ease any suspicions your boss may have by working harder when you are at the office, showing interest in long-term projects and taking initiative.

Try to gain more control over your schedule by being proactive. Schedule vacation or personal days in advance and try to set interviews and networking appointments on those days. One job-hunter took vacation days every other Friday during her job search and met with at least four people on each day off. Wendleton also suggests setting aside time on evenings and weekends to research target employers and contact them by letter or email, introducing yourself and expressing interest.

Also, push back on prospective employers to avoid missing too much work time. 'Many employers will understand that you have to meet with them in the early morning or very late afternoon because you are working,' Ms. Wendleton says.

However you organize your search, you will have to commit some time. 'Employed people must spend 15 hours a week on their searches to get some momentum going,' typically on evenings and weekends, Wendleton says. 'Otherwise, nothing happens,' she says. 'If you are working 70 hours a week and see no way out of that, you are stuck in your present job.' The Five O'Clock Club's website offers a mini-course on how to organize a job search.

A few more words on ethics: Keeping a job search confidential isn't unethical; it is a practical and professional necessity. 'Your boss will never tell you when he or she is looking for a replacement for you, and doesn't think that is being unethical,' Wendleton says. Letting your intentions be known would undermine your credibility at work and hurt your ability to do your job. Most bosses would 'want you out of there now,' Wendleton adds.

Wednesday, November 24, 2010

Nissan Motor Co. will claim that its coming Leaf electric car is roughly equivalent to a gasoline-powered vehicle that gets 99 miles per gallon

The window sticker for the Leaf, due to arrive at dealerships in December, also will say the car can go 73 miles on average before it requires a charge.

The sticker -- based on new U.S. government standards -- defines how the Japanese company can advertise the Leaf's driving range. The distance a battery car can go on a charge is among the biggest challenges vehicle makers face as they market electric cars to consumers, who may fear being stuck by the roadside with a dead battery.

The labels, required on all vehicles, give information about a car including the fuel economy as determined by the U.S. Environmental Protection Agency. The label normally gives a city and highway miles-per-gallon figure. The Leaf is rated as delivering the equivalent of 106 mpg in city driving and 92 mpg on the highway. The Leaf will receive a 'best' designation for fuel economy and environmental impact by the EPA, Nissan said.

The Leaf is the first vehicle to go through a new EPA rating system that tries to give gas-mileage equivalents for cars powered by alternative energy.

The new system uses a calculation based on the energy equivalence of electricity. It determined that 33.7 kilowatt-hours of electricity are equivalent to a 100-mile range. The Leaf's battery hold 24 kilowatt-hours.

The EPA declined to elaborate on Nissan's rating, other than to verify it. The agency said the mpg equivalent 'expresses the energy consumption of a nongasoline vehicle in terms of how many miles the vehicle could go . . . if it used the same amount of gasoline energy as it used of the nongasoline fuel energy.'

How the EPA would rate electric vehicles was the subject of some controversy last year after General Motors Co. said its Chevrolet Volt might get the equivalent of 230 mpg, to which Nissan shot back that its Leaf would get the equivalent of 367 miles. GM later retracted its estimate.

The rating for the Volt, also due out next month, isn't complete, a GM spokesman said. The Volt is more difficult to rate because it has a gasoline-powered engine to generate electricity and extend the battery range.

The Leaf serves as a test case for how more than 20 electric cars due in the next three years will be rated by the EPA.

An earlier California test that had been used determine the range for electric vehicles produced an exaggerated figure in many cases. For instance, BMW AG's electric Mini E scored a 156-mile range but in actual driving averaged close to 100 miles on a charge.

That same test was the basis of Nissan's prior 100-mile range estimate for the Leaf.

The company is sticking by its earlier estimates that in cold weather with the heater running the Leaf's range could be as low as 62 miles, while in 70-degree weather in stop-and-go traffic, when the batteries are charged through the energy created by braking, it could be 138 miles.

Tuesday, November 23, 2010

Federal Bureau of Investigation agents raided the offices of three hedge funds as part of a high-profile insider-trading investigation

The offices of Diamondback Capital Management LLC and Level Global Investors LP were raided. Both hedge funds are run by former managers of Steven Cohen's SAC Capital Advisors.

The third firm raided is Loch Capital Management LLC, based in Boston, people familiar with the matter say. Leonard Pierce, a lawyer for Loch Capital, declined to immediately comment.

'The FBI is executing court-authorized search warrants in an ongoing investigation,' said Richard Kolko, an FBI spokesman, who declined to comment further.

Loch had $750 million in assets as of the start of this year, according to SEC filings. The firm, run by brothers Timothy and Todd McSweeney, didn't immediately return a message seeking comment. Leonard Pierce, a lawyer for Loch Capital, declined to immediately comment.

FBI agents raided the offices of three hedge funds -- Diamondback Capital Management, Level Global Investors and Loch Capital Management -- as part of a high-profile insider-trading investigation. Dennis Berman has details.
.The McSweeney brothers are acquaintances with Steven Fortuna, a hedge-fund manager who pleaded guilty in the Galleon case and agreed to cooperate in that ongoing investigation.

Level Global Investors LP is a Greenwich, Conn., hedge-fund firm run by David Ganek, a former SAC Capital trader and art collector. He started Level Global in 2003 and earlier this year reported managing about $4 billion in assets.

Diamondback Capital Management LLC is based in Stamford, Conn., and was started in 2005. It oversees more than $5 billion in assets, according to SEC filings.

The moves by the FBI follow an article by The Wall Street Journal describing an insider-trading investigation that is expected to encompass consultants, investment bankers, hedge-fund and mutual-fund traders. The investigation is said by people close to the situation to eclipse in size and magnitude past insider-trading probes.

Messages left with Richard Schimel, Diamondback's co-chief investment officer, and Diamondback's general counsel, Joel Harary, on their office phones weren't immediately returned.

Monday, November 22, 2010

Macau has overtaken Las Vegas as the gambling capital of the world - more money is bet on tables there than any other place in the world

But while the former Portuguese colony has its sordid corners, it lacks the glossy party atmosphere of its American peer.

The people at Playboy Enterprises want to change that.

Playboy - that he-man brand created in the 1950s by Hugh Hefner that's best known in the West for its magazine - is betting big that its kind of glamour will sell well in this part of Asia. The company is opening its second club, a 1,115-square-meter club in Macau on the penthouse level of the Sands Macau Hotel (its other club is in Las Vegas). There's more in the works: A 2,787-square-meter mansion is planned for Macau in 2012.

But first, Playboy will go looking for bunnies.

We're talking Playboy Bunnies, of course - women clad in skimpy costumes, complete with tight corsets, a tuxedo collar, bunny ears and a cottontail. On Friday, the club hosted a casting call to find the 20 bunnies they need for opening day (scheduled for Nov. 20). According to the organizers, around 600 women from around the world have already applied. Friday's bunny-hunt event was a chance for some of the final candidates to be interviewed, presented to the press, and to have their pictures taken in their swimsuits. The final roster will be announced later.

Denise Pernula, a former bunny and model who posed for the magazine as Miss November 2007, flew from Wyoming to serve as one of the judges. As a bunny for the Playboy club in Las Vegas, which opened in 2006, she says she understands the pressure. The women will be under 'a lot of…stress' to land the job, she says. 'They have to be intelligent, charming, attractive.' As for physique? 'All bunnies come in different shapes and sizes,' she added.

The original Playboy Bunnies were waitresses at the many clubs the company used to run but shut down in the late 1980s. The Bunnies came under fire from many critics, including the feminist Gloria Steinem, who derided the selection and training process - where looks trumped all - as degrading.

In Macau, Playboy is banking on sex appeal, of course. But Reggie Martin, the club's general manager, says that the Macau club will be tailored to its clientele.

'The Asian market is very different from the U.S. market,' said Mr. Martin, an American from Indiana who has lived in Macau for eight years. 'It won't be as crazy as Las Vegas. More chill. Las Vegas has a lot of college-aged people while Macau has more of a mature crowd. It also draws more of a local crowd than a tourist crowd.'

He later added, 'We really want to establish Macau as more than just a gaming destination.'

While Playboy is ingrained in American pop culture and synonymous with sex appeal, in China it has a different image - as a fashion line. The magazine is not sold in China, where pornography is banned, though Playboy has sold clothing with its bunny logo in the mainland for about 20 years. Chinese firewalls keep Playboy's website at bay.

'The Chinese think of us as an American fashion brand,' said Jeff Dougherty, vice president of marketing license group at Playboy. 'But we think they'll be lured by the brand to the club.'

And by the bunnies, of course. Candidates for the job will be interviewed in swimsuits. And Mr. Dougherty said one of the obvious requirements for the job is 'to look terrific in the bunny costume.'

Once the staff is picked, they'll be central to the club and to its identity, just like in its previous ones. 'No matter what time you're in the club, there will be a bunny,' said Mr. Martin. 'Guaranteed.'

Saturday, November 20, 2010

In a remote and mountainous part of China's southwest Yunnan province on a cool autumn morning

Donnie Yen, Takeshi Kaneshiro and Tang Wei have traveled with the rest of the 200-plus crew to this isolated spot near the border with Myanmar, where they have been camped out since late August.

'Wu Xia,' from director Peter Chan, is a $20 million martial-arts drama slated for release next summer. The story, which takes place during the end of the Qing Dynasty, is about a repentant killer living a simple life in a secluded village and whose past catches up with him.

Mr. Chan, one of Asia's most-successful filmmakers, is looking to put a new spin on the martial-arts genre with 'Wu Xia,' which translates roughly as 'martial-arts chivalry.' He's assembled an A-list cast, two cinematographers, an award-winning costume designer, and a visual-effects team from South Korea to bring what he describes as detailed authenticity to the film. Its ambition underscores the current trend in Chinese cinema toward highly polished blockbusters.

Still, there is little Hollywood glamour out here on location. Filming today is in a tiny village about an hour's drive from Tengchong, a city of several hundred thousand -- relatively small by Chinese standards -- in western Yunnan. Tengchong is home for the cast and crew during the shoot. Getting to today's location involves a convoy of trucks, buses, vans and cars -- all of us sharing the road with villagers and livestock along a series of smooth two-lane highways and bumpy, unpaved paths through fields and forests. To get to the shoot, the crew and cast -- sporting shin-high rubber boots to trek around in the mud -- hike across steep terrain marked by rocks and puddles to the river valley below.

'It's hard going down and exhausting going up,' Mr. Chan says as he arrives on the set.

Rain earlier in the week interrupted filming for a few days, but today the sun is out. 'We've been shooting here for two months and I can't remember a single day other than today that it hasn't rained at least a little bit,' he says. 'We've been fighting the weather all the way through.'

But irony has its revenge: For a scene the next day, the crew has to create rain using two giant hoses.

Actors and dozens of extras roam around the set in period costumes, looking more at home in the rural setting than the crew in their jeans and T-shirts. Curious locals watch the bustle and activity. Their dialect is unfamiliar to most of the crew, who come from places like Beijing, Shanghai and Hong Kong. Some villagers from the area have been hired as extras. Li Xingli, a 51-year-old farmer, says she isn't familiar with the movie's star cast. 'But it's fun,' she says with a smile, 'and my husband supports me.'

Ms. Li, in fact, is working alongside three very recognizable actors. Mr. Yen is arguably Asia's leading martial-arts star following a string of recent hits including 'Ip Man' and its sequel, 'Bodyguards and Assassins' and 'Legend of the Fist: The Return of Chen Zhen.' Mr. Kaneshiro -- this is his third film with Mr. Chan -- has been a top leading man for nearly two decades. Ms. Tang, with just a handful of films to her credit so far, is one of Asia's leading young actresses.

The cast also includes Jimmy Wang Yu, one of Hong Kong's biggest action stars from the 1960s and '70s, in his first film appearance in more than 15 years.

Mr. Chan sits under an orange tent about five meters from the actors. His blue director's chair faces a video monitor that shows what the audience will see. Messrs. Yen and Kaneshiro arrive on the set in full costume -- Mr. Yen dressed as an ordinary villager with a long, single braid of hair that was customary of the era, and Mr. Kaneshiro looking elegant in a gray robe and brimmed hat -- and prepare for a scene on a small cliff over the riverbank. A few takes later, the director and Mr. Yen huddle in front of the monitor to watch a playback. Mr. Yen returns in front of the camera to shoot another take after a couple minutes of quiet discussion, although to the casual observer subsequent takes all look the same.

Mr. Chan later joins Mr. Yen, who also is the movie's action choreographer, for one of the film's action sequences. A character in the scene is pushed over a bridge. Above the heads of the crew, a highway of carefully placed cables and wires are wrapped around the forest trees. The stunt isn't simple. On one end are the men maneuvering the wire, and on the other end a stuntman dangles above the whitewater rapids far below. After several takes, they wrap for the day.

'With Peter Chan, everyone knows it's going to be a powerful, dramatic movie,' Mr. Yen says. 'That's one of the main reasons why I want to be in this film in the first place.'

For Mr. Kaneshiro, he says working with Mr. Chan is more important than the script. 'The character changed as we talked about the script,' he says. 'I didn't know how to do this guy,' but one day they decided to give the character a Sichuan accent and everything fell into place.

Ms. Tang also describes developing her character with Mr. Chan -- a new experience compared with how she has worked on previous films. ''I really love it, because it's really flexible and very similar to film as a student in college.'

During the week, minor mishaps abound on the set: A stunt coordinator slips on a rocky ledge, leaving large scratches along the side of his body; the continuity girl is bitten by a wild dog in a bamboo forest; and an assistant production manager is shoved around by a group of tourists eager to get to a scenic waterfall blocked by the film crew.

'I think working in China is somewhere between Hong Kong and Hollywood,' Mr. Chan says.