The Cheney Observer
Karl Rove’s playbook stolen
By Andy Prutsok
Friday, May 5, 2006 11:12 AM CDT
There’s a column I’ve been kicking around in my head for some time about the similarities between the present Suffolk administration and the administration of President of George Bush.
When one looks closely at the management style of the city he or she can come to only one conclusion: They have stolen Karl Rove’s playbook, or downloaded it from machiavelli.com.
The similarities are many:
1. There is no correct opinion but your own. Not only do you not listen to anyone else, but you belittle their opinion. Anyone who thinks differently is some kind of crackpot (Any liberal pundit or politician).
2. If the critic wears a suit instead of a flannel shirt or t-shirt and appears to otherwise be a reasonable, intelligent person with an honest difference of opinion who just wants to exercise his free speech rights, use every instrument of government at your disposal to marginalize and destroy him, try to get him fired from his job, threaten him with court proceedings or destroy his business (i.e. Paul O’Neil, Richard Clark, Gen. Shinseki, John Kerry, Joe Wilson).
3. Burn every bridge you cross.
4. Never admit a mistake.
http://www.suffolknewsherald.com/articles/2006/05/05/virtual_suffolk_-_editors_blog/0827blog.txt
House OKs lobbying bill Democrats call a 'sham'
By DOUGLAS TURNER
News Washington Bureau Chief
5/4/2006
WASHINGTON - The House on Wednesday narrowly passed a bill to revise laws that control lobbyists, with Republicans claiming it sets high standards for integrity and Democrats and outside reform groups calling it a "sham."
Rep. Louise M. Slaughter of Fairport, who led the Democratic floor attack on the GOP leadership bill, charged that the bill - passed 217-213 - is an "insultingly weak lobbying "reform' bill instead of a much stronger Democratic proposal."
"This Republican-conspired bill is an insult to every reform-minded American," said Rep. Brian Higgins, D-Buffalo.
The bill was co-sponsored by Rep. Thomas M. Reynolds, R-Clarence. Reynolds also voted for a failed Republican-backed amendment that would decriminalize violations of the lobbying laws. That amendment was defeated 320-108, with more than half the Republicans voting against it.
The basic bill calls for ethics training for congressional staff and for lobbyists. It would require quarterly lobbying reports instead of every six months, Internet access to lobbying reports and denying pensions to those involved in felony violations. It also mandates pre-approval by the ethics committees of privately funded trips, and calls for disclosure of employment history and more information on special appropriations called "earmarks."
http://www.buffalonews.com/editorial/20060504/1014784.asp
Texas Republicans Boost Rep. Tom DeLay's Legal Fund After He Decides Not to Seek Off
By SUZANNE GAMBOA
WASHINGTON May 1, 2006 (AP)— Rep. Tom DeLay raised more money to pay legal fees after abandoning any effort to return as majority leader than he did in the immediate months following his indictment in Texas last year on money laundering charges.
DeLay, R-Texas, received lots of help in boosting his legal defense fund from Texas financiers of Republican causes, corporations and fellow members of Congress. But he spent as much as he raised during the first three months of 2006.
DeLay, a 22-year veteran, announced earlier this month that he is resigning by mid-June.
He raised $314,435 between January and March while awaiting trial on the Texas charges and spent $312,465, most of it on legal fees. In the previous three months, he raised $182,000 and spent $239,000.
http://www.abcnews.go.com/Politics/wireStory?id=1911671
Even without DeLay, all eyes on Dist. 22 race
By KRISTEN MACK
Copyright 2006 Houston Chronicle
THE race for the 22nd Congressional District, once billed as a showcase political event, has faded from the national radar along with incumbent Tom DeLay, who decided to leave Congress.
But locally, the district is abuzz with politics. Without DeLay on the ballot, the suburban Houston seat will be open in a year when the House is closely divided. The 22nd leans Republican, but Nick Lampson, who lost a Southeast Texas congressional seat in redistricting engineered by DeLay, is mounting a well-funded Democratic bid.
DeLay, R-Sugar Land, the former House majority leader, announced less than a month after he won the March 7 GOP primary for a 12th term that he would resign.
http://www.chron.com/disp/story.mpl/metropolitan/mack/3842191.html
That's Not Reform
Lobbying bill won't change Washington's ways
12:00 AM CDT on Friday, May 5, 2006
Whatever else you may call the lobbying bill that the U.S House signed off on Wednesday, the word "reform" won't be among your answers. Despite the rise and fall of Tom DeLay and the handcuffs around the quid-pro-quo king, Jack Abramoff, the House passed a measure that doesn't really clean up Washington.
Here's why:
• The measure fails to stop the insider practice of legislators tucking away an interest group's spending request within the fine print of a bill. Representatives would have to disclose when they slip in an "earmark," but that's like letting the world know you're about to sin. It's the sinning itself that needs to stop.
• The legislation also doesn't curtail the ease with which lawmakers and their aides cash in. The Senate's ethics bill requires them to wait two years before they can lobby their pals on Capitol Hill. The House bill keeps the status quo, which is a one-year waiting period before legislators morph into finely tailored lobbyists.
Think about this moment the next time you read about an ex-aide or a former legislator getting in trouble for fixing a deal on Capitol Hill with old friends. The House had the chance to put some distance between cozy relationships, but it didn't.
• The House suspended the practice of private groups paying the travel costs of lawmakers until new guidelines are written. There's still no guarantee that the lobby can't put money into a foundation, which then can whisk a representative or senator to Florida for a round of schmoozing. Legislators should go see the world, but it should be on the dime of the government or their campaign treasury.
We're sorry to announce that all North Texas Republican legislators voted for the bill. The Democrats rightly opposed it.
Since the Senate's ethics bill wasn't much better, the House and Senate should just let their lame attempts at reforming Washington die. Then they could start over after the fall elections. Maybe then, the voice of the people will have worked its way into Washington's ear.
http://www.dallasnews.com/sharedcontent/dws/dn/opinion/editorials/stories/DN-lobby_05edi.ART.State.Edition1.dc3ae03.html
Independents Try to Shake Up Texas Race
Staff and agencies
05 May, 2006
By MICHAEL GRACZYK, Associated Press Writer 22 minutes ago
AUSTIN, Texas - In a small, windowless room in an industrial part of town, with rock music softly thumping in the background and two mirrored disco balls spinning overhead, Kelley Lowes is working for a man who hopes to be Texas‘ first independent governor since Sam Houston, and its first ever named Kinky.
Lowes is painstakingly typing and double-checking names from handwritten petitions for Friedman, logging long hours before Thursday‘s deadline.
Friedman‘s first name alone — no one calls him by his birth name, Richard — is enough to make this an unusual race. It will be even more so if he and Strayhorn, mother of outgoing White House press secretary Scott McClellan, join Perry and Democratic former congressman Chris Bell on the ballot.
http://www.localnewsleader.com/elytimes/stories/index.php?action=fullnews&id=184381
Mission Overshadowed
"My Year In Iraq"
The Struggle to Build a Future of Hope
By Ambassador L. Paul Bremer III with Malcolm McConnell
Simon & Schuster. 417p $27
Baghdad is burning when Paul Bremer arrives in May 2003. It is still burning when he leaves 14 months later. The fires of looters have been replaced by attacks from an insurgency that intensified during his tour of duty as head of the Coalition Provisional Authority. Things get so hot in the land Bremer hoped to democratize that he has to transfer sovereignty to the Iraqi interim government two days ahead of schedule and scurry out of the country. After he allows the press to photograph him boarding a C-130 transport, Bremer, the top U.S. diplomat in Iraq, sneaks out the plane’s cargo door and sprints across the tarmac to a Chinook helicopter for transport to a government jet, which then whisks him off to Jordan.
http://www.americamagazine.org/BookReview.cfm?articleTypeID=31&textID=4789&issueID=572
BTL:Special Prosecutor Seeking to Indict Karl Rove in CIA Leak Case
Interview with Jason Leopold, investigative reporter, conducted by Between the Lines' Scott Harris
Special Prosecutor Seeking to Indict Karl Rove in CIA Leak Case
Interview with Jason Leopold, investigative reporter, conducted by Scott Harris
President Bush's senior counselor Karl Rove testified for three-and-a-half hours before a federal grand jury on April 26. The political strategist's appearance was part of the continuing investigation by special prosecutor Patrick Fitzgerald into who in the White House leaked the name of covert CIA agent Valerie Plame, in an effort to discredit her husband Joseph Wilson, who challenged the president's rationale for the Iraq war.
Just one week before he made his fifth appearance before the grand jury, Rove lost his position as Bush's chief policy coordinator in a White House shakeup. Sources close to the investigation have told reporters that Fitzgerald is now seeking an indictment of Rove for perjury committed in previous grand jury testimony and for lying to FBI investigators. Rove withdrew his original denials that he had no conversations with reporters concerning the identity of Valerie Plame after he learned that Time magazine's Matt Cooper would testify that Rove was a source for his Time story on Plame.
In early April, Fitzgerald filed court documents revealing that indicted former chief of staff to Vice President Lewis Libby testified that Dick Cheney had told him that President Bush personally authorized the release of classified intelligence in July 2003 to refute critics of his administration's justification for war. Between The Lines' Scott Harris spoke with investigative reporter Jason Leopold, who explains why he believes special prosecutor Patrick Fitzgerald is now seeking the indictment of Karl Rove.
http://www.indybay.org/news/2006/05/1821052.php
Port security gets backing
(Tri-City Herald (Kennewick, WA) (KRT) Via Thomson Dialog NewsEdge) May 3--WASHINGTON -- A far-reaching port security bill sponsored by Sen. Patty Murray, D-Wash., that eventually could lead to screening of all cargo containers headed to the United States was approved by the Senate Homeland Security Committee on Tuesday.
The measure also would increase funding for port security by more than 300 percent, create a new federal maritime security agency within the Department of Homeland Security and streamline the movement of cargo for importers such as Starbucks, Nike and REI who agree to abide by tougher security procedures.
http://www.tmcnet.com/usubmit/2006/05/03/1636928.htm
Immigration Rallies Fuel Resolve of Port Truckers
Many drivers take heart as they push for better compensation and shorter working hours.
By Ronald D. White, Times Staff Writer
May 4, 2006
For some of the thousands of truckers who normally roll through Southern California's ports, staying away from work Monday was more than a statement about their views on U.S. immigration policy. It was an attempt to kick-start changes in working conditions that many complain are dismal.
The port drivers — predominantly Latinos — acted individually in deciding to join Monday's rallies for immigrant rights.
But after returning to their rigs, the notoriously fragmented group marveled at what they had managed to do collectively.
They had forced a vast warehouse and distribution network and the nation's largest seaport complex to work furiously over the weekend to make up for deliveries that wouldn't be made Monday. They helped ensure that many businesses would close or not function as normal.
"It gave me the positive thinking and encouragement I needed to be able to continue with this movement. Obviously, there is a problem and we need to do something about it," trucker Salvador Abrica said.
http://www.latimes.com/business/la-fi-truckers4may04,1,6774444.story?coll=la-headlines-business&track=crosspromo
Extensive customs upgrades for SA’s ports
CUSTOMS facilities at the country’s points of entry and exit are undergoing a major upgrade for quicker identification of high-risk goods and the reduction of customs delays, South African Revenue Service (SARS) commissioner Pravin Gordhan said yesterday.
The initiative could help SA become a preferred channel for exports to international markets, and could give South African exporters a competitive advantage.
Gordhan said the organisation is to receive assistance to develop SA’s capacity from the UK, the US and countries in the European Union.
“SA has historically had weak customs arrangements. We are building from a low base, both in terms of infrastructure and personnel development,” he said.
Gordhan did not put a time- frame on when the initiative would be completed, and said it was a “multiyear process”.
http://www.businessday.co.za/articles/topstories.aspx?ID=BD4A194566
Ghana to have free ports in five years
The development of the ports is part of a project to have cost effective transit trade facilities and make way for a free port.
The Minister for Trade and Industry, Alan Kyerematen, announced the Project at the third trade forum on Government's Trade Sector Support Programme, held in the Ghanaian capital, Accra and attended by individual and corporate actors in trade.
Mr Kyerematen mentioned 26 different projects under the Programme, and said the purpose of making Ghana a free port country was to make "it the Dubai and Thailand" of West Africa.
The Minister said it was important to promote Ghana outside, and added that small and m0edium scale enterprises, which contributed more than 90 per cent of the enterprise base in Ghana, would continue to fare below expectation if their products were not given the needed patronage.
He said the desire of traders in Ghana to concentrate on the distribution of imported goods, fuelled by the general negative Ghanaian attitude of lower patronage of home made goods, was a disincentive to local manufacturers although most of the imported goods that had flooded the market were of doubtful quality.
http://www.myjoyonline.com/businessarticle.asp?p=4&a=24431
Maritime association lauds ports reforms
Kinika Mpi • Thursday, May 4, 2006
The Nigeria Merchant Navy Officers and Water Transport Senior Staff Association (MN/WT/OA) zonal chairman, Engr. Bob Yousou, has commended the on-going ports reform programmes of the federal government.
He described the reform programmes as a major economic breakthrough that is geared towards efficiency and economic development of the nation as well as improving the Gross Domestic Product (GDP) of the country.
Making the commendation while briefing newsmen in Port Harcourt, Engr. Yousou, pointed out that, with the ports reform, seafarers and dockworkers will benefit immensely in the process, adding that, their productivity overtime will improve as service delivery will be effectively and efficiently discharged.
http://www.thetidenews.com/article.aspx?qrDate=05/04/2006&qrTitle=Maritime%20association%20lauds%20ports%20reforms&qrColumn=BUSINESS
Ege Liman Isletmeleri A.S.: Ege Ports privatization not cancelled
It is reported that the annulment decisions given by Aydın First Administrative Court and the 6th Department of the Council of State regarding Kuşadası Port, the operating right of which belongs to Ege Port A.Ş. are related with the administrative proceedings within the framework of the regulation which has been previously cancelled and it is not right to give the image as if the “Ege Ports privatization is cancelled.”
A statement issued by Ege Liman İşletmeleri A.Ş. (Ege Ports) said: “The operating rights of Kuşadası Port, which is Turkey’s second biggest passenger port, were purchased from the Privatization Administration for a 30-year period.”
The statement noted that the port hosts nearly 350,000 European and American tourists every year and said: “Ege Ports acted in line with the laws in all proceedings. Ege Ports made the necessary applications to the related bodies for the preparation of the zone plans within the framework of the regulation concerning the implementation of the Shore Law. The basic aim of Ege Ports is to invest in the projects that will carry the port to the international standards. Therefore, investments worth USD 20 million have been made to date together with the partnership of the Global Investment Holding and the Royal Caribbean Cruises Ltd (RCCL).
http://www.thenewanatolian.com/tna-6061.html
Ports' off-peak cargo program grows, but pollution is still issue
By Donna Littlejohn
DAILY BREEZE
Cargo movements during nighttime, or off-peak, hours continue to grow at the ports of Los Angeles and Long Beach, but Los Angeles harbor commissioners said Wednesday the expanded hours still won't address many of the problems facing the ports, including growing pollution.
About 33 percent of the twin ports' cargo -- and more than 10,000 trucks -- moved during night hours from August to December 2005, Pier Pass Director Bruce Wargo told commissioners during a presentation at their regular meeting.
The forecast for 2006 indicates that as much as 38 percent of all cargo movements will be during off-peak hours.
The program is credited with reducing daytime traffic congestion and pollution. A truck traveling a distance of 10 miles at 5 mph, for example, produces 90 percent more pollution than a truck going 55 mph. A truck idling at a terminal gate spews out a quarter of a pound of pollution every hour.
But those benefits could evaporate quickly, warned commission Vice President Jerilyn Lopez Mendoza, as the ports continue to grow. In the next year alone, Mendoza said, the port is expected to grow 10 percent to 12 percent.
http://www.dailybreeze.com/news/articles/2742716.html
Baltic Sea ports - a threatened cultural heritage
Many of the old, historic ports in the Baltic Sea are in the process of losing their original function with the result that an important maritime cultural heritage is disappearing. Stavanger Maritime Museum will make an effort to stop this trend with the exhibition ’Historic Ports’ which will tour museums, schools and libraries in the Nordic countries, the Baltic States, Poland and Germany.
Stavanger Museum acts as co-ordinator for a partnership with the Baltic Sea Heritage Co-operation which was established in 1997 by the ministers of culture in the Baltic Sea States.
The Nordic Cultural Fund has just granted 60,000 Danish kroner for the production the exhibition.
http://www.norden.org/webb/news/news.asp?id=6131&lang=6
Protecting Ports
Thursday, May 04, 2006 - Bangor Daily News << Back
Checking the background of U.S. port workers, as the Bush administration announced last week it would begin doing five years after promising such reviews, is a positive, if belated, step. Such reviews will be more useful if they are coupled with legislation sponsored by Sen. Susan Collins that requires tracking and inspection of cargo entering the country, not just the people handling it.
Ensuring the 400,000 people who work at U.S. ports are not on terrorist watch lists and providing tamper-resistant identification cards to the 750,000 workers - including truck drivers - who have easy access to shipping containers will diminish the risk of an attack on American ports. A larger problem, however, is that the large majority of goods consumed in the United States come through its ports, though only about 6 percent of it is screened.
Shipping containers have been used to illegally transport weapons, drugs and people - a bomb could be next. Working to ensure cargo containers headed to the United State don't contain bombs or their components is just as important as ensuring longshoremen don't have ties to terrorist groups.
Improved cargo screening is a cornerstone of Sen. Collins' legislation. The bill, co-sponsored by Sen. Patty Murray of Washington, has five parts: standards for cargo security; higher standards that give shippers preferred treatment under a voluntary program called GreenLane, which tracks their cargo from factory until it reaches the United States; protocols for restarting port operations after an attack; $400 million for security grants for ports; and deadlines and accountability for the Department of Homeland Security to ensure port security occurs.
http://www.bangornews.com/news/templates/?a=133258
House Approves Cargo Screening at Ports
Thursday May 4, 2006 10:46 PM
AP Photo NYET572
By LARA JAKES JORDAN
Associated Press Writer
WASHINGTON (AP) - The House overwhelmingly approved legislation Thursday to try and stop nuclear weapons from being smuggled into the country by screening all cargo for radiological materials at seaports. Yet the technology will not be available, the Bush administration said.
The 421-2 vote capped months of election-year debate in Congress over how to make the 140 U.S. seaports less vulnerable to terrorist threats without curbing commerce.
The bill ``will improve the safety of the American people and the security of our global supply chain,'' said Rep. Dan Lungren, R-Calif. He said it ``ensures our shores are our last line of defense, not our first.''
The Homeland Security Department currently opens for inspections 6 percent of the 11 million cargo containers that enter U.S. seaports annually. Those containers are considered high-risk, said department spokeswoman Leah Yoon, for reasons such as the security of the originating port or a shipper's history.
http://www.guardian.co.uk/worldlatest/story/0,,-5799943,00.html
Argentina's Exporters Worried About Beef Stuck At Ports
BUENOS AIRES (Dow Jones)--Argentine exporters are growing increasingly worried about the fate of at least 7,000 metric tons of beef exports that are being held by customs officials at local ports, said Pablo Kiryluk, a spokesman for the Argentine Beef Consortium, which represents Argentina's leading beef exporters.
"There are about 350 containers beef that are stuck in Buenos Aires and Santa Fe, waiting to be shipped to Europe," he said. "Each container has 20-22 tons of beef but they can't be shipped because (Argentine) President (Nestor) Kirchner has made a decision to prevent them from being exported."
The containers, which have been stuck for almost three weeks, hold about $55 million of processed, frozen and fresh beef, Kiryluk said. "There is no law that is stopping the meat from being shipped," he said. "It's not even legal to hold the beef, so this is quite problematic. The consequences are terrible for the beef industry."
http://www.cattlenetwork.com/content.asp?contentid=34497
N.C. Ports Face Challenges Trying To Balance Security, Efficiency
POSTED: 7:47 pm EDT May 4, 2006
UPDATED: 8:46 pm EDT May 4, 2006
WILMINGTON, N.C. -- Massive ocean vessels from all over the world dock at the Wilmington Port each and every day -- most stacked with thousands of metal containers.
Each is supposed to be filled with foreign commercial goods, such as frozen poultry, furniture and clothing. But because of the sheer volume of containers received each day, the port must go on educated faith that the containers coming into North Carolina do not hold a security threat.
Ports are the most vulnerable link for Homeland Security. By most international estimates, only about 5 percent of shipped goods are actually inspected.
Red flags were raised after the Bush administration, this year, floated a plan to have a foreign-owned company run six U.S. ports. That plan was put on hold, and U.S. legislators are currently working to pass measures to tighten security at ports.
Still, the efforts pose the question for North Carolinians: how secure are the state's two ports -- one in Wilmington and the other in Morehead City?
North Carolina Ports Authority Security Chief Doug Campen said it is a delicate balancing act -- speeding the flow of imports and exports, yet providing adequate safety filters.
http://www.wral.com/news/9163664/detail.html
Waiting for their ships to come in
Nova Scotia ports of call hope for another good cruise season
By TOM PETERS Business Reporter
Retail outlets and restaurants in Halifax and Sydney are gearing up for another lucrative cruise season, which will leave several millions of tourist dollars in the two provincial ports.
For the second consecutive year, Holland America Line’s 1,266-passenger Maasdam will begin the season in Halifax on Tuesday and then sail to Cape Breton, arriving in Sydney on Wednesday morning.
The number of vessel calls has declined from last year as cruise lines have repositioned some vessels to popular Baltic and Mediterranean destinations. But local ports spokespeople say even though lines have shifted some itineraries, the number of passengers visiting Nova Scotia should be about the same as last year as vessels are getting larger.
Catherine McGrail, manager, marketing and cruise development, Halifax Port Authority, said Thursday that Halifax will handle about 90 calls this year, down from 106 in 2005, but will entertain about the same number of passengers, 185,000, and about 80,000 crew. In total, they are expected to spend about $23 million.
http://thechronicleherald.ca/Business/501440.html
Dubai Ports World eyes Gwadar in Pakistan
Chairman of Dubai Ports World, Sultan Ahmed bin Sulayem, who met President Pervez Musharraf on Thursday, expressed a strong hope for management of facilities at the strategic Gwadar deep sea port and development of infrastructure in the southern port city and elsewhere in the country.
"Gwadar deep sea port is a viable project as it has a major role in serving as a corridor for energy, cargo and services between Central Asia, the Gulf and other surrounding regions," he told reporters.
Sulayem described the President's response to DP World's interest as very encouraging and hoped for conclusion of a deal in this respect "very soon."
"Gwadar has all the natural advantages that you will not have anywhere else," he stated.
During the meeting, Musharraf informed the UAE business leader that the government would facilitate foreign investment in the country and assured that their business would enjoy legal protection. "An enabling environment has been put in place to attract both foreign and local investment, which will enjoy an equal playing field," he said.
The Pakistani leader vowed to make Pakistan a hub of regional trade and added that the country is set to serve as a commerce and energy corridor between the Middle East, Central Asia, South Asia and the fast-growing Western parts of China.
http://english.alarabonline.org/display.asp?fname=2006%5C05%5C05-05%5Czbusinessz%5C979.htm&dismode=x&ts=05/05/2006%2009:41:10%20%C3%95
GADFLY: What They Knew and When They Knew It
BY MARTY AUSSENBERG MAY 4, 2006
It now seems beyond question that, at the very least, Karl Rove will be indicted for perjury, false statements and/or obstruction of justice in what's come to be known as "Plamegate" (the outing of a CIA agent to extract revenge against her husband, Ambassador Wilson, for challenging the President's assertion that Saddam was buying nuclear materials from Africa). The corporate media and the blogosphere are abuzz, speculating on the timing of Rove's indictment, and laying the foundation for such an indictment
I have been on record for some time as being convinced that the real crime involved in Plamegate isn't lying about it (though that, of course, is a crime), but the revelation of Valerie Plame's identity itself. For several months the pundits have been pooh-poohing the entire investigation, suggesting that since no crime was committed by outing Plame's identity, no foul was committed either, and that it's a feeble fallback on Patrick Fitzgerald's part to go after people for lying about something that wasn't a crime in the first place.
We now know, however, thanks to the reporting of David Shuster on MSNBC, not only that Plame was a covert operative, but that she was working on issues involving Iran's nuclear weapons program., a fact to which even the somnolent Congress has awakened, with Senator Frank Lautenberg requesting a damage assessment from the CIA regarding the effect of the Plame outing on our Iran-related intelligence efforts.
http://memphisflyer.com/memphis/Content?oid=oid%3A15508
Corporate Bond Sales May Hit Record as $600 Billion Comes Due
May 1 (Bloomberg) -- U.S. companies may sell more debt than ever this year as the economy expands, the Federal Reserve signals it may stop raising interest rates and more than $600 billion of bonds mature.
Borrowers have sold about $290 billion of bonds since the end of December, 22 percent more than the record pace of 2001, according to data compiled by Bloomberg. Companies will sell about $700 billion of bonds to refinance maturing debt and finance mergers and spinoffs, according to Banc of America Securities LLC analysts. Borrowers sold $667 billion last year and a record $676 billion in 2001.
Fed Chairman Ben S. Bernanke made bonds more attractive for companies last week when he said the central bank may slow the pace of rate increases. The average yield on investment-grade corporate debt fell 6 basis points to 5.92 percent. Embarq Corp., a local phone company being spun off from Sprint Nextel Corp., and HealthSouth Corp., the largest provider of physical rehabilitation services, are among dozens of companies planning sales.
``It's a good time to borrow,'' said Bruce Gross, chief financial officer of Lennar Corp., the third-biggest U.S. homebuilder by market value. Miami-based Lennar sold $500 million of five- and 10-year debt on April 19, shaving 10 basis points off its borrowing costs from its last sale in March.
Investment-grade sales exceeded $53 billion last month, a record for April, Olivera Radakovic, a New York-based Banc of America analyst, wrote in an April 27 report. Companies sold an average of $59 billion of bonds in May since 2001, Bloomberg data show.
Rising Yields
http://www.bloomberg.com/apps/news?pid=10000087&sid=a9iIP6SLdcJY&refer=top_world_news
Bush Approves Sale of US Military Parts Suppliers to UAE Government
by Chip Yost
Dubai International Capital LLC (which is owned by the UAE) lists both the Carlyle Group and Kravis Roberts & Co. (KKR) as co-investments.
Outgoing White House Press Secretary Scott "Scottie" McClellan announced Friday that George W. Bush approved the sale of 9 US defense-related production plants to Dubai International Capital, owned by the government of the United Arab Emirates, in a $1.24 billion takeover of the British firm Doncasters Group Ltd. Among the plants sold is the sole supplier of turbine fan parts for the US military's Abrams tank fans.
Since "...the plants make turbine blades for tanks and aircraft, the deal was reviewed by the Committee on Foreign Investment in the U.S., which sent it on to Bush for a decision, a step used only when the potential security risks or political considerations are particularly acute," according to CBS' Market Watch. "...One official who was briefed on the Doncasters transaction said there would be provisions in the agreement protecting American military secrets. But it was unclear whether that would satisfy Congressional objections."
http://baltimorechronicle.com/2006/050106Chip.shtml
South Korea to win Pyrrhic victory over foreign funds
martedì, 2 maggio 2006 10.04
By Kim Yeon-hee and Alison Tudor
SEOUL/TOKYO (Reuters) - A nationalist backlash against tax-free windfall profits made by foreign investment funds in South Korea has put multibillion-dollar deals on hold and may stymie investment in Asia's fourth-biggest economy.
Mounting resentment has boiled over into raids, indictments and a raft of new tax laws and the onslaught could intensify in the run-up to the presidential election in December 2007.
"International investors are getting concerned about the tax and regulatory environment in Korea. In the long run, this may not be good for long-term direct investment in Korea," said Vincent Chan, managing director for North Asia at venture capital firm JAFCO Asia, which has an office in South Korea.
South Korea used to be a happy hunting ground for foreign buyout funds such as Newbridge Capital, Lone Star and the Carlyle Group, which snapped up distressed assets at fire-sale prices in the wake of the 1997-98 Asian financial crisis.
Since then the economy has recovered, companies are cash-rich and the stock market is trading at record highs, making the South Koreans more independent-minded and rendering deals more expensive and hard to come by for buyout funds.
The mood change has culminated in the delay of Kookmin Bank's $6.6 billion (3.6 billion pound) purchase of Korea Exchange Bank from U.S. fund Lone Star while Korean prosecutors investigate the fund's 2003 purchase of KEB for possible tax and currency law violations.
Lone Star had looked set to more than quadruple its $1.2 billion investment in a 50.5 percent stake in KEB.
http://www.borsaitaliana.reuters.it/news/newsArticle.aspx?type=fundsNewsUK&storyID=2006-05-02T080432Z_01_NOA228936_RTRUKOC_0_ANALYSIS-KOREA-FUNDS.xml&archived=False
Dunking Distressed Debt
Liz Moyer, 05.02.06, 6:00 AM ET
New York -
There may be signs of distress among distressed debt investors, driven by a lack of opportunities as fund managers scramble for new investment choices.
Hedge funds soaked up $24 billion in investments during the first quarter of 2006, according to Hedge Fund Research in Chicago, bringing the industry total to $1.18 trillion. Investments flowed into funds on the strength of equity markets and the red-hot commodities and energy markets.
But distressed debt funds are another story. Despite a wave of new entrants--mostly big private-equity funds--into the sector and despite perceptions that distressed debt markets are a good bet right now, research from Standard & Poor's indicates just the opposite.
Distressed bonds--the lowest rung of speculative-grade, or junk, bonds--eased in April to 4.4% of all junk bonds, a drop from 5.5% in March and 5.7% in February, according to monthly tracking by S&P. This ratio is "noticeably" lower than last year (6.2%) and 2004 (7%), despite the overhang of General Motors (nyse: GM - news - people ), which has been sinking deeper into junk territory in the last year amid accounting hiccups and poor performance in its North American division.
http://www.forbes.com/personalfinance/funds/2006/05/01/distressed-debt-hedge-funds-cx_lm_0502debt.html
Alliances in Brambles bid
Robert Clow
May 03, 2006
A HANDFUL of trade and private equity alliances have emerged as prime contenders to secure Brambles's much coveted Cleanaway and Industrial Services businesses, which have been put on the market for upwards of $1.5 billion.
Investment bank UBS has whittled down dozens of hopeful bidders to a shortlist that is thought to include private equity firm CHAMP and Transpacific; European waste management company SITA; CCMP Capital Asia and defence contractor Tenix; CVC and Ironbridge; and legendary buyout firm KKR.
Some bidders want to buy both businesses but others are seeking just one. A Brambles spokesman declined to comment on the sales process, which is now in its final phase.
The auction started out with more than 30 bidders. With UBS providing a $900 million financing package, the ultimate price for the two assets is predicted to come close to $1.6 billion. Transpacific has trumpeted its interest in the Brambles assets - possibly as a way to scare other bidders off - but the growing list of alliances suggests it will not have a clear run at the prized assets.
Though it is entirely possible that some of these alliances will splinter as the bidding intensifies and judgments on value diverge.
Many of Australia's best-known private equity firms have already fallen by the wayside. Newbridge Capital and its aggressive US parent Texas Pacific Group appear to have decided to focus on their recent Myer acquisition. Another powerful regional firm, the US-based Carlyle Group, has also failed to make it to the second round.
http://www.theaustralian.news.com.au/story/0,20867,19008648-643,00.html
MMG given nod in $1.2bn deal
May 03 11:34
AAP
Macquarie Bank's media investment fund has been given the all-clear to acquire cable TV and broadband provider Taiwan Broadband Communications (TBC) for almost $1.2 billion.
Macquarie Media Group (MMG) says it has received all necessary regulatory approvals for its $1.19 billion acquisition of the Carlyle Group's interest in TBC.
The deal will be undertaken by a consortium made up of MMG and its parent company, Macquarie Bank.
MMG, which listed in March, says the remaining conditions are expected to be satisfied in "coming days" and the acquisition is expected to be settled in the next week.
The fund has also raised its distribution guidance for the half year to June 30 to a range of 11.5¢ to 12¢ per stapled security, compared with 11¢ to 11.3¢ range forecast in its prospectus.
http://afr.com/articles/2006/05/03/1146335776011.html
New Management Team, Led by Tom O'Malley, to Assume Senior Management of Petroplus, European Refiner
ROTTERDAM, Netherlands--(BUSINESS WIRE)--May 3, 2006--Petroplus International B.V. ("Petroplus") announced today that the supervisory... About Petroplus:
Petroplus International B. V. (Petroplus) was established in 1993 and has since developed into a leading player in the European refining market. Petroplus owns refineries in Antwerp, Belgium; Cressier, Switzerland and Teesside, United Kingdom. In addition, Petroplus recently announced the acquisition of the Belgian Refining Corporation, whose principle asset is a 120,000 barrel per day refinery in Antwerp, Belgium. This acquisition will result in an increase in Petroplus's refining capacity to 355,000 barrels per day.
Petroplus is currently a wholly owned subsidiary of RIVR Acquisitions B.V. RIVR will continue to develop its fast-growing 4Gas LNG terminalling and LNG marketing business which will be formally separated from and managed independently of Petroplus going forward. RIVR Acquisitions B.V., the parent company of Petroplus International B.V., is owned by funds and entities affiliated with Riverstone Holdings, The Carlyle Group, and Company management.
About Riverstone Holdings LLC and The Carlyle Group:
Riverstone Holdings LLC and The Carlyle Group are the co-general partners of Carlyle/Riverstone Global Energy and Power Funds. Riverstone, a New York-based energy and power focused private equity firm founded in 2000, has over $6.0 billion under management. Riverstone conducts buyout and growth capital investments in the midstream, upstream, power and oilfield service sectors of the energy industry. To date, the firm has committed more than $2.4 billion to 21 investments across each of these four sectors. The Carlyle Group is a global private equity firm with $39 billion under management. Carlyle invests in buyouts, venture & growth capital, real estate and leveraged finance in North America, Europe and Asia. Since 1987, the firm has invested $18.1 billion of equity in 463 transactions. www.carlyle.com.
http://home.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20060503005776&newsLang=en
Cadbury Schweppes eyes more US bottler deals
Wed May 3, 2006 3:13pm ET
"As we execute this roll up strategy the independent bottling businesses that had been purchasing raw materials on their own, putting in their own IT systems ... it becomes possible to leverage the size and scale of the bottlers combined," Cassagne said.
The purchase from private equity firm Carlyle Group would boost Americas Beverages underlying annual revenue to about $5 billion from $3 billion, and strengthen the company's route to market in about 23 states in the United States, to match bigger rivals Coca-Cola Co. (KO.N: Quote, Profile, Research) and PepsiCo Inc. (PEP.N: Quote, Profile,
http://today.reuters.com/news/newsArticle.aspx?type=reutersEdge&storyID=2006-05-03T191335Z_01_N03241556_RTRUKOC_0_US-FOOD-CADBURYSCHWEPPES-INTERVIEW.xml
UPDATE 2-Univision profit up, overshadowed by possible sale
Thursday 4 May 2006, 6:58pm EST
(Recasts, adds executive comments, analyst, byline)
By Michele Gershberg
NEW YORK, May 4 (Reuters) - Univision Communications Inc. (UVN.N: Quote, Profile, Research) on Thursday said quarterly profit rose, with revenue bolstered by strong ratings for the No. 1 U.S. Spanish-language broadcaster as it pursues a sale of the company.
Los Angeles-based Univision put itself on the block in February, drawing interest from the world's largest media companies, as well as Mexican programming partner Televisa (TLEVISACPO.MX: Quote, Profile, Research) and private equity firms...
Among the private equity investors said to be mulling a Univision bid are a group, including Providence Equity Partners, Madison Dearborn Partners, Carlyle Group and Venezuela's Cisneros family.
http://today.reuters.com/business/newsArticle.aspx?type=media&storyID=nN04414464
N.J. senators push for cargo screening
Thursday, May 4, 2006
By RAJU CHEBIUM and DEBORAH BARFIELD BERRY
Gannett News Service
WASHINGTON
Democrats and Republicans in Congress were united this winter in condemning the Bush administration's approval of a state-run Arab company's bid to operate some shipping terminals in six U.S. ports, but that unity has evaporated.
They can't agree on how best to strengthen the nation's 361 ports against terrorist attacks, and the main sticking point is a Democratic proposal to scan all of the approximately 11 million cargo containers that arrive in this country each year.
The leading proponents of full-scale screening are New Jersey's two senators, but they're having trouble pushing their port-security proposals through the Republican-controlled Congress.
"Four-and-a-half years after September 11, we still do not know what's in 95 percent of the containers entering this country," Sen. Bob Menendez, D-Hoboken, said. "In far too many areas, we're not doing enough to protect citizens from a threat we know exists. And nowhere is that concern more urgent (than) at our ports."
Menendez wants to add $183 million to a spending bill the Senate is debating to help reach the goal of 100 percent scanning. His spokesman, Matthew Miller, said it isn't clear whether Republicans would allow Menendez to do that.
New Jersey's senior senator, Democrat Frank Lautenberg, D-Cliffside Park, had better luck.
He was able to get his proposal to scan all incoming containers through the Senate Homeland Security Committee on Tuesday. But Lautenberg had to water down his original proposal, which called for the Department of Homeland Security to stick to specific timetables. Instead, the measure that passed tells the agency to do 100 percent scanning as soon as practical.
http://www.courierpostonline.com/apps/pbcs.dll/article?AID=/20060504/NEWS01/605040377/1006
Aborting take-off
Published: May 5 2006 03:00 Last updated: May 5 2006 03:00
Pure self-interest might, hopefully, have persuaded the forces of conservatism in the US airline industry and their friends in Congress to agree to reduce some of the disincentives to European investment in their sector. For the prize for removing some of these disincentives is a historic open skiesaccord with the European Union that confers disproportionate advantage on US carriers. Yet, amid the national security backlash provoked by the Dubai Ports World affair, the Bush administration has retreated from its plan diluting rules on domestic control of US airlines and risks scuppering protracted negotiations for the first ever common transatlantic aviation zone.
The catalyst for such a common arrangement is the need to replace individual EU countries' bilateral agreements with the US that were ruled illegal under EU law a few years ago. In contrast to the UK, which restricts traffic from its prized Heathrow hub, most EU countries have open skies arrangements with the US that do not limit frequency of flights. The general aim is to create a common transatlantic aviation zone on this model. But there is one feature that the negotiations would not change - that US carriers can carry traffic within the EU (by hopping from one country to another), while EU carriers cannot do the same within the US.
To balance this market disadvantage, the Europeans have been seeking a modest investment concession in the US rule that not only bars foreigners from holding more than 25 per cent of the equity voting rights in a US carrier but also prevents them exercising "actual control" over any aspect of its operation. Knowing it had no chance of getting Congress to repeal the rule outright, the US Department of Transportation suggested reinterpreting it administratively. This way foreigners in an open skies deal with the US could exercise some commercial influence over a US carrier in which they had a stake, while leaving all security issues to US shareholders and directors.
http://news.ft.com/cms/s/999dc0c2-dbd3-11da-98a8-0000779e2340.html
Drug Industry, Sen. Frist and the White House Conspired to Obtain Broad Liability Shield for Lawsuits Related to Pandemic Illnesses
Public Citizen Report Reveals Behind-the-Scenes Lobbying; Language Inserted Into Bill Without Lawmakers’ Knowledge
WASHINGTON, May 4, 2006 – Drug industry lobbyists conspired with the White House and Senate Majority Leader Bill Frist (R-Tenn.) last year to craft a sweeping liability provision that shields the industry from lawsuits over products used to treat pandemic illnesses, even in cases of gross negligence or gross recklessness, according to a report issued today by Public Citizen.
The report, Willful Misconduct: How Bill Frist and the Drug Lobby Covertly Bagged a Liability Shield, relies on internal documents and e-mails of the Biotechnology Industry Organization (BIO) to illustrate the degree to which Frist’s office deferred to drug industry demands and describes Frist’s sleight of hand in securing passage of the provision. It underscores the
the enormous power of the drug industry and its lobbyists to steer a highly controversial provision into law.
http://www.pharmalive.com/News/index.cfm?articleid=337863&categoryid=27
Willful Misconduct
http://www.citizen.org/documents/050406PandemicFinal_1.pdf
Bill Frist's Plan For $100 Gas Rebate Is Reportedly DOA In Congress (UPDATED)
File this one in the Yet Another Political Prescription From Majority Leader Bill Frist that proved to be the wrong one.
Can the Republicans sue him for political malpractice yet?
Senate Majority Leader Bill Frist's proposal last week to offer consumers $100 rebates for high gasoline prices is ``dead,'' according to several House and Senate leaders.
House Majority Leader John Boehner, an Ohio Republican, said the idea of a $100 rebate is ``insulting'' to consumers. Senate Democratic Leader Harry Reid of Nevada said the plan was ``dead before it was offered.''
"Insulting...." "....dead before it was offered..."?
Wait: are they talking about a gas rebate or the administration's proposal for social security reform?
http://www.themoderatevoice.com/posts/1146629534.shtml
Mail show thousands returned to New Orleans area in last 3 months
5/4/2006, 4:15 p.m. CT
The Associated Press
NEW ORLEANS (AP) — About 13,000 households in the New Orleans area have stopped having mail forwarded elsewhere since Jan. 1, figures from the U.S. Postal Service show.
http://www.nola.com/newsflash/louisiana/index.ssf?/base/news-24/114677785697590.xml&storylist=louisiana
FEMA Abruptly Abandons Long-Term Recovery Office In New Orleans
On September 15, President Bush stood in downtown New Orleans and pledged, “Throughout the area hit by the hurricane, we will do what it takes, we will stay as long as it takes, to help citizens rebuild their communities and their lives.”
Today, nearly eight months later, “Housing remains in very short supply, only a handful of public schools have reopened and many neighborhoods resemble ghost towns.” But according to WWL-TV, FEMA is choosing to abandon New Orleans anyway:
The Federal Emergency Management Agency office charged with helping New Orleans devise a blueprint to rebuild destroyed houses, schools and neighborhoods after Hurricane Katrina is being closed and nearly all its workers reassigned. …
FEMA says it’s closing the long-term recovery office because local officials have failed to begin planning the recovery adequately. …
City officials are angered by the move, saying New Orleans is again being abandoned by the federal government. “We can’t plan on a paper napkin,” said New Orleans Deputy Mayor Greg Meffert.
Two points emphasizing just how outrageous this move is:
1) FEMA was partly responsible for the delays in developing city plans. FEMA says it is leaving because it’s tired of waiting for a plan from city officials. But “[o]ne major hold-up was the late release of FEMA’s flood elevation advisories,” WWL reports, “which offer guidelines on how high homeowners should raise their homes to qualify for flood insurance.” The advisories were issued last week, months late.
2) FEMA had promised to fund city planning efforts. New Orleans officials say they need federal help to pay for the planning efforts, and the former director of the FEMA’s recovery office “made a verbal promise to city officials to fund the effort.” In fact, “[s]everal employees of the disbanded office agreed [that the city needs federal assistance], saying that at the beginning the office worked closely with city officials, helping implement their plans.” Now that promise has been broken.
http://thinkprogress.org/2006/05/04/katrina-recovery/
In New Orleans, Pleas to Focus on Pumps
Staff and agencies
04 May, 2006
By BRETT MARTEL, Associated Press Writer 2 minutes ago
NEW ORLEANS - Drilling what resembles rows of bullet holes through old wooden floors and plaster walls, Matt and Maureen McBride were able to air-dry their flooded, 1920s bungalow-style house in the city‘s historic Broadmoor neighborhood.
But the McBrides and other residents of low-lying neighborhoods fear all their rebuilding efforts could be for nothing if the city‘s massive system of pumping stations and drainage canals is not up to the job for the next hurricane season, just five weeks away.
New Orleans is guarded by a network of levees that defend against rising seas and storm surges. The pumps and canals are also critical in a storm by helping to channel excess rainfall out of the city‘s saucer-shaped landscape.
http://www.newsone.ca/westfallweeklynews/stories/index.php?action=fullnews&id=184094
Ex-official guilty of spying from Cheney's office
Thu May 4, 2006 5:52pm ET
By Christine Kearney
NEWARK, New Jersey (Reuters) - A Philippine-born former White House official pleaded guilty on Thursday to charges that he took top secret documents from Vice President Dick Cheney's office and turned them over to Philippine opposition figures.
Leandro Aragoncillo, 47, faces 15 to 20 years in prison under federal sentencing guidelines for his plea on conspiracy, transmission and retention of national defense information and unauthorized use of a computer.
Aragoncillo, a U.S. citizen and former Marine, worked in the White House as administration chief of the security detail assigned to the Vice President from 1999 to 2002 where he held a top security clearance. He later took a job as an intelligence analyst with the FBI in New Jersey.
He admitted in court to passing on documents classified as top secret, secret and confidential that included information relating to terrorist threats against U.S. government interests and military personnel in the Philippines.
Prosecutors called his guilty admission a "plea agreement" but refused to say if he would testify against another defendant in the case, Michael Ray Aquino, a former senior Philippine police intelligence officer accused of taking documents from Aragoncillo.
http://today.reuters.com/news/newsArticle.aspx?type=domesticNews&storyID=2006-05-04T215156Z_01_N04272023_RTRUKOC_0_US-PHILIPPINES-USA-ESPIONAGE.xml&archived=False
Pombo hopes for lift from Cheney
May 22 event with vice president set
Hank Shaw
Capitol Bureau Chief
Published Thursday, May 4, 2006
Vice President Dick Cheney to help Pombo's campaign.
Credit: AP
SACRAMENTO - Vice President Dick Cheney will help stoke Rep. Richard Pombo's buck-raking efforts at a Stockton fund-raiser later this month.
Pombo, a Tracy Republican, is seeking an eighth term in Congress but faces his toughest re-election bid since 1992, when he was first elected.
Two Republicans are challenging Pombo in the June 6 primary: retired Tracy farmer Tom Benigno and former Bay Area Rep. Paul N. "Pete" McCloskey.
McCloskey, a 78-year-old who challenged President Nixon in the 1972 presidential primary, has been generating national headlines for his campaign.
Nevertheless, Pombo enjoys a comfortable fund-raising lead over McCloskey. Pombo has about $1.1 million in his campaign account as of March 31; McCloskey has about $176,000. Benigno has $1,000.
http://www.recordnet.com/apps/pbcs.dll/article?AID=/20060504/NEWS01/605040333/1001
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