Is Michael Dell Finally Taking His Company Private?






On June 3, 2010, Michael Dell was sitting before a room full of analysts and investors at a Sanford C. Bernstein (AB) conference in New York City. Dell was asked whether he ever thinks about taking his computer company private. His simple answer: “Yes.” The stock closed at $ 13.76 a share that day, up almost 5 percent.


Dell took no more questions at the time, though obviously he’s since come to a decision: As our Bloomberg News colleagues Serena Saitto and Jeffrey McCracken have just reported, citing two unnamed sources, Dell (DELL) is in talks to go private.






That the company finds itself in this situation is not much of a surprise. Michael Dell returned as chief executive officer in early 2007 and has spent the last few years promising a shift toward higher-profit businesses and away from being so dependent on PCs. According to recent data from Gartner (IT), Dell’s PC sales slowed by about 20 percent in the fourth quarter, as the company lost ground to Hewlett-Packard (HPQ) and Lenovo (992). PC shipments overall fell 5 percent during the quarter, to 90.3 million units.


In the meantime, Dell has become an acquisition machine, gobbling up storage system specialists, software makers, and services companies, including its flashy $ 3.9 billion deal for Perot Systems. Its revenue has become more diverse, and some of these big bets have started to pay off. Wall Street, however, has continued to push its shares down—Dell’s market value fell 31 percent last year—seeing the company as tied to technology that’s past its heyday.


The notion of Dell going private has been floated time and again. Michael Dell still owns almost 16 percent of his creation, according to the most recent filings, and the company continues to earn substantial profits.


The knock on Dell is that it’s hard to see how it can deliver a more exciting future. The company’s strategy hasn’t looked all that original. It’s essentially trying to become more like IBM (IBM) and Hewlett-Packard by having a more diverse product and services portfolio. Its rivals, though, headed in this direction years ago. (And, as our recent cover story showed, things haven’t worked out terribly well for HP.) Dell has argued that it can cater to smaller and midsize companies better and perform services work, for example, cheaper than its much larger competitors.


Going private would carry with it some measure of embarrassment for Michael Dell. For years he was held up as an entrepreneurial hero who forged the company from a college dorm room. During Dell’s glory days and Apple’s (AAPL) darkest hour, Michael Dell infamously suggested Apple should go private and return the money to shareholders rather than continuing on as a going concern. Apple, of course, came up with the mother of all second acts with the iPod—and then a third and fourth with the iPhone and iPad, respectively.


Will Michael Dell’s latest move give his company a glorious second act? It’s not impossible, but it sure won’t be easy, as San Francisco-based analyst Shaw Wu told Bloomberg Businessweek back in June 2010. Going private “really doesn’t change anything, because the fundamental disadvantages don’t go away,” Wu said. “The competitors are still there.”


Businessweek.com — Top News





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UPDATE 3-Cricket-New Zealand show fight against South Africa






(Adds details, quotes)


PORT ELIZABETH, South Africa, Jan 13 (Reuters) – New Zealand fought bravely to move to 157 for four in their second innings, following on and still 247 runs behind South Africa, at the close of the third day’s play in the second test on Sunday.






Unbeaten pair BJ Watling (41) and Dean Brownlie (44) provided stern resistance and the duo looked relatively untroubled as they added an unbroken fifth-wicket partnership of 73 off 27.2 overs to steer their team to the close of play.


Opener Martin Guptill contributed 48 before being bowled by seamer Rory Kleinveldt who went on to have Daniel Flynn (0) caught behind with his next delivery.


Kleinveldt ended the day with two for 31 while left-arm spinner Robin Peterson, who accounted for Brendon McCullum (11) and Kane Williamson (11), claimed two for 29.


The tourists showed far more determination with the bat than they had in their first innings when they subsided to 121 all out in reply to the top-ranked hosts’s 525-8 declared.


Watling said that while the pitch was providing some variable bounce it was still good for batting which would aid New Zealand’s seemingly impossible task of at least forcing South Africa to bat again.


“It is a little bit variable and there are a few balls staying quite low. It’s still a reasonable track and we need to keep fighting away tomorrow morning and keep wearing them out,” Watling told a news conference.


The morning session had belonged to speedster Dale Steyn, the world’s top-ranked bowler, who claimed five for 17 off 13 overs to bundle New Zealand out 30 minutes before lunch, at that stage trailing South Africa by 404 runs.


Watling provided the one shining light for the tourists in their first dig as his battling 63 off 87 balls with 13 fours added some gloss to the innings.


ATTACK OR DEFEND?


Steyn, while expressing some sympathy for the situation that New Zealand find themselves in, said that the introduction of the second new ball soon after the start of play on day four could settle the test.


“It’s a difficult situation when you have been asked to follow on and you are so many runs behind. How do you go about batting? Do you attack or do you defend? It is a tough one for them,” he said.


“We are 13 overs away from the second new ball so if we can knock one over tomorrow with the older ball then get the new ball to talk a bit and get some swing then that would help,” he added.


New Zealand began the day on a parlous 47 for six and the pair of Watling and Doug Bracewell (7) added 14 runs to the overnight total before the right-handed Bracewell prodded at a Steyn delivery to send an outside edge through to keeper De Villiers.


Steyn struck again one run later when he trapped the left-handed Neil Wagner (0) leg-before with an in-swinging delivery.


The 29-year-old Steyn was not done yet and in his next over he bowled Jeetan Patel (0) after the batsman backed away from a good length delivery.


Steyn enjoyed a wonderful morning as he claimed his 19th five-wicket haul in tests as he sent down a spell that produced figures of 5-3-3-3.


Watling and Trent Boult (17 not out) then provided some late resistance with a last-wicket stand that produced 59 runs, a New Zealand record 10th-wicket partnership against South Africa beating the 57 scored by Simon Doull and Richard de Groen scored in Johannesburg during the 1994/95 season.


The aggressive Watling was the last man out, caught at first slip off the bowling of paceman Morne Morkel.


South Africa hold a 1-0 series lead. (Writing by Jason Humphries in Durban, Editing by Tom Pilcher)


Australia / Antarctica News Headlines – Yahoo! News





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HTC seeks Myanmar edge with local font phones






YANGON (Reuters) – Peter Chou, CEO of Taiwan smartphone company HTC Corp, will on Monday launch what he hopes will be a major boost to both a backward tech sector in Myanmar, his country of birth, and to his company’s share of one of the few untapped mobile markets: a phone that locals can use out of the box.


Until now, Chou says, Myanmarese users of mobile phones and computers must install fonts in their own language, a process that is cumbersome, often invalidates the device’s warranty and has, he says, slowed innovation and the embrace of technology.






HTC has instead teamed up with a local distributor and a software developer to customize Google’s Android operating system so its devices display local fonts and sport a dedicated and, Chou says, intuitive, Myanmar language onscreen keyboard.


“You don’t have to spend two months to learn how to type it,” Chou said in an interview ahead of the launch. “You just type it. We want to give people here a computing device they don’t have to learn. They just try it, they just use it, they just get it.”


Myanmar IT experts say that while the country’s alphabet is no more complex than some other Asian scripts, a failure to agree how to apply an international standard for language symbols called Unicode to existing versions of the computer font has made it difficult to bake the language into software.


As a result, web pages and apps will often be unreadable.


BIG CHALLENGES, LITTLE PENETRATION


The issue of fonts may seem a basic one, but reflects the challenges Myanmar faces in catching up with its neighbors as it sheds decades of military control over politics and the economy. Myanmar has one of the lowest mobile penetration rates in the world, with only 3 percent of the population owning a phone in 2011, according to the World Bank. In neighboring Bangladesh, 56 percent of people have a mobile phone.


When IT enthusiasts met last year for a conference on the future of technology called Barcamp Yangon, much of the discussion revolved around such basic issues, participants said. With at least two competing types of font software available, disagreements remain.


The problem is worse on smartphones, says Soe Ngwe Ya, general manager of KMD, HTC’s distribution partner for the new phones. In order to install such fonts on mobile devices users must first “root” the phone, effectively bypassing the manufacturer’s controls on customizing the phone’s operating system. That often invalidates any warranty. “It’s a major issue,” he says.


HTC also hopes it can claw back some ground from its biggest competitor in Android phones, Samsung Electronics, which has established a first mover advantage in Myanmar.


Samsung has at least two distributors for its handsets and its advertisements are visible around the capital. Soe says KMD will act as HTC’s distributor, open a flagship store and service HTC users.


Chou, who was born in Myanmar but left to work and study in Taiwan more than 30 years ago, says that at least for now the Myanmar fonts and keyboard will only be available on HTC devices. He denied that this undermined his claims of contributing to his homeland.


“While sometimes you can be idealistic,” he said, “the first thing you have to show the people is something to get excited about.”


(Editing by Ian Geoghegan)


Wireless News Headlines – Yahoo! News





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Waltz wins supporting-actor Globe for ‘Django’






BEVERLY HILLS, Calif. (AP) — Christoph Waltz has won the supporting-actor Golden Globe for his role as a genteel bounty hunter who takes on an ex-slave as apprentice in “Django Unchained.”


Sunday’s win was Waltz’s second supporting-actor prize at the Globes, both of them coming in Quentin Tarantino films. Waltz’s violent but paternal and polite “Django” character is a sharp contrast to the wickedly bloodthirsty Nazi he played in his Globe and Oscar-winning role in Tarantino’s 2009 tale “Inglourious Basterds.”






“Let me gasp,” Waltz said. “Quentin, you know that my indebtedness to you and my gratitude knows no words.”


Show hosts Tina Fey and Amy Poehler, who co-starred in the 2008 big-screen comedy “Baby Mama,” had a friendly rivalry at the Globes. Both were nominated for best actress in a TV comedy series, Fey for “30 Rock” and Poehler for “Parks and Recreation.”


“Tina, I just want to say that I very much hope that I win,” Poehler told Fey at the start of the show.


“Thank you. You’re my nemesis. Thank you,” Fey replied.


Poehler also had a quip about television vs. film at the Globes, where the small-screen category typically takes a backseat to the big-screen nominees.


“Only at the Golden Globes do the beautiful people of film rub shoulders with the rat-faced people of television,” Poehler said.


An unusually chilly day in southern California left Globe guests looking glamorous but feeling frigid.


Debra Messing from “Smash” came in a strapless black gown and goosebumps. Asked how she was coping with the cold, she replied, “Not well.” Melissa Rauch of “The Big Bang Theory” also shivered in her strapless red gown. “I’m absolutely freezing!” she said.


Claire Danes of “Homeland” in Versace and Zooey Deschanel of “New Girl” in a strapless Oscar de la Renta gown walked near heat lamps as the mercury stayed in the high 50s. “I’m so cold. My legs aren’t cold but my arms are,” said Deschanel.


Not everyone was grousing. “I’m totally comfortable,” Glenn Close, whose Zac Posen dress was paired with matching jacket, told NBC. “Usually, it’s really hot, so I’m having a nice time so far.”


The Globes are in a rare place this season, coming after the Academy Award nominations, which were announced earlier than usual and threw out some shockers that have left the Globes show a little less relevant.


Key Globe contenders lined up largely as expected, with Steven Spielberg‘s Civil War saga “Lincoln” leading with seven nominations and two CIA thrillers — Kathryn Bigelow‘s “Zero Dark Thirty” and Ben Affleck‘s “Argo” — also doing well.


All three films earned Globe nominations for best drama and director. Yet while “Lincoln,” ”Argo” and “Zero Dark Thirty” grabbed best-picture slots at Thursday’s Oscar nominations, Bigelow and Affleck were snubbed for directing honors after a season that had seen them in the running for almost every other major award.


The Globe and Oscar directing fields typically match up closely. This time, though, only Spielberg and “Life of Pi” director Ang Lee have nominations for both. Along with Spielberg, Lee, Bigelow and Affleck, Quentin Tarantino is nominated for directing at the Globes. At the Oscars, it’s Spielberg, Lee, “Silver Linings Playbook” director David O. Russell and two surprise picks: veteran Austrian filmmaker Michael Haneke for “Amour” and first-time director Benh Zeitlin for “Beasts of the Southern Wild.”


That forces some top-name filmmakers to put on brave faces for the Globes. And while a Globe might be a nice consolation prize, it could be a little awkward if Affleck, Bigelow or Tarantino won Sunday and had to make a cheery acceptance speech knowing they don’t have seats at the grown-ups table for the Feb. 24 Oscars.


That could happen. While “Lincoln” has the most nominations, it’s a purely American story that may not have as much appeal to Globe voters — about 90 reporters belonging to the Hollywood Foreign Press Association who cover entertainment for overseas outlets.


The Bigelow and Affleck films center on Americans, too, but they are international tales — “Zero Dark Thirty” chronicling the manhunt for Osama bin Laden and “Argo” recounting the rescue of six U.S. embassy workers trapped in Iran amid the 1979 hostage crisis.


Globe voters might want to make right on a snub to Bigelow three years ago, when they gave their best-drama and directing prize to ex-husband James Cameron’s sci-fi blockbuster “Avatar” over her Iraq war tale “The Hurt Locker.”


Bigelow made history a month later, becoming the first woman to win the directing Oscar for “The Hurt Locker,” which also won best picture.


Globe voters like to be trend-setters, but they missed the boat on that one. Might they feel enough chagrin to hand Bigelow the directing trophy this time?


Spielberg already has won two best-director Globes, so that might be a further inducement for the foreign-press members to favor someone else this time.


Their votes were locked in before the Oscar nominations came out. Globe balloting closed Wednesday, the day before the Academy of Motion Picture Arts and Sciences announced its awards lineup.


The Globe hosts had a wisecrack at Cameron’s expense. Poehler noted that she had not been following the controversy over “Zero Dark Thirty,” which has drawn criticism for indicating torture was pivotal in producing the tip that led to Bin Laden.


But “when it comes to torture, I trust the lady who was married for three years to James Cameron,” Poehler said.


The Globes feature two best-picture categories — one for drama and one for musical or comedy. Most of the Globe contenders also earned Oscar best-picture nominations, including all of the drama picks: “Argo,” ”Lincoln,” ”Life of Pi,” ”Django Unchained” and “Zero Dark Thirty.”


Yet only two of the Globe musical or comedy nominees — “Les Miserables” and “Silver Linings Playbook” — are in the running at the Oscars. That’s not unusual, though, since Oscar voters tend to overlook comedy. The other Globe nominees for musical or comedy are “The Best Exotic Marigold Hotel,” ”Moonrise Kingdom” and “Salmon Fishing in the Yemen.”


Globe acting recipients usually are a good sneak peek for who will win at the Oscars. All four of last season’s Oscar winners — Meryl Streep for “The Iron Lady,” Jean Dujardin for “The Artist,” Octavia Spencer for “The Help” and Christopher Plummer for “Beginners” — took home a Globe first.


Jodie Foster will receive the Globes’ Cecil B. DeMille Award for lifetime achievement at the 70th Globes ceremony.


Entertainment News Headlines – Yahoo! News





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Top Venezuelan leaders in Cuba to support Chavez






CARACAS (Reuters) – Venezuela‘s three most powerful government figures after President Hugo Chavez gathered in Havana on Sunday to check on their ailing leader’s condition and meet with Cuban allies.


Vice-President Nicolas Maduro, Congress head Diosdado Cabello, and Oil Minister Rafael Ramirez have been shuttling to and from Cuba since the 58-year-old socialist president’s fourth and most serious cancer operation a month ago.






Chavez, who missed his own inauguration for a new, six-year term last week, has not been seen or heard from in public since the surgery. Many Venezuelans are assuming his momentous 14-year rule of the South American OPEC nation could be nearing an end.


Though acknowledging the gravity of the situation and a severe lung infection Chavez is suffering, officials are trying to stay upbeat on the president’s hopes for recovery. His brother on Saturday denied that Chavez was in a coma.


“We are all Chavez!” and “Chavez will return!” were among slogans sang and chanted at numerous solidarity rallies, meetings and concerts across Venezuela over the weekend drawing thousands of passionate and anxious supporters.


Venezuelan state TV on Sunday split its screen into four to show events going on around the nation. “Commander, take your time returning to us,” Trujillo state Governor Henry Rangel said at one.


Information Minister Ernesto Villegas said Maduro, who Chavez recently designated as his successor, informed Venezuela’s leader of the outpouring at home. He gave no more details of their encounter or the president’s condition.


State media said Maduro, Cabello, Ramirez – who also heads the powerful state oil company PDVSA – and Attorney General Cilia Flores all met Cuban President Raul Castro over the weekend. But there were no details of the talks.


‘TELL THE TRUTH’


The joint presence of top Venezuelan officials in Havana inevitably deepens rumors Chavez is at death’s door – and draws opposition criticism that Raul and Fidel Castro are giving instructions behind the scenes.


But officials have been lashing “necrophilic” opponents for such speculation, and Chavez’s brother said on Saturday that, on the contrary, he was improving daily.


One opposition leader, Julio Borges, said on Sunday the secrecy around Chavez’s exact condition was unacceptable.


“No one is asking for details of the operation or the president’s treatment, but that simply they tell the truth about his health prognosis,” said Borges, a right-wing legislator who wants Chavez formally declared absent from office.


That would trigger the naming of a caretaker president, and an election within a month, but Venezuela’s Supreme Court has ratified that Chavez remains president with Maduro in charge as No. 2 until his health situation is clarified.


“It’s been a year-and-a-half of contradictions and announcements of his complete curing followed by relapses,” Borges added, saying problems like inflation, housing shortages and power-cuts were being neglected during a political impasse.


Since the disease was discovered in mid-2011, Chavez has in fact wrongly declared himself cured twice, in an extraordinary and unsettling saga for Venezuela’s 29 million people.


The stakes are high for the wider region too. Cuba and a handful of other leftist-ruled nations have for years been depending on Chavez’s aid to bolster fragile economies.


Should Chavez die or be incapacitated, the most likely next step would be an election pitting Maduro, 50, against Henrique Capriles, 40, the main opposition leader who lost to Chavez in an October presidential election.


In a statement on Sunday, Capriles railed against the “national paralysis” but said the opposition would not be drawn into confrontation or street protests. That tactic failed spectacularly for them a decade ago when Chavez was briefly toppled but came back stronger than before.


“Just as the president has the right to attend his ill health, so Venezuelans do not deserve urgent problems to be put on hold,” Capriles said. “We are not going to play the game of calling people onto the street to create a confrontation that will benefit the violent and radical ones.”


(Editing by Diego Ore and Paul Simao)


Health News Headlines – Yahoo! News





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Democracy Sputters in the Arab Spring’s Birthplace






Two years after he set himself on fire, Mohamed Bouazizi remains history’s most famous fruit vendor. Like many enterprising Tunisians, Bouazizi, 26, was subject to constant fines of as much as 10 times his daily earnings as he tried to make a living on the streets of Sidi Bouzid. After his scale and cart were seized on Dec. 17, 2010, he doused himself with a liter of paint solvent while standing in front of the provincial governor’s office. A flick of a lighter and …


What then? Tunisia’s revolution and the Arab Spring that followed created a list of dead, imprisoned, or exiled autocrats—including Egypt’s Hosni Mubarak, Libya’s Muammar Qaddafi, and Tunisia’s own Zine el-Abidine Ben Ali. (Syria’s Bashar Assad hangs on, brutally.) But hope and vengeance are very different from progress, as Ben Ali’s successor as president, the physician and ex-opposition leader Moncef Marzouki, has discovered.






On Dec. 17, 2012, Marzouki went to Sidi Bouzid to commemorate the man and the moment that began all the changes in the region, only to be greeted by angry chants of “Leave! Leave!” When he told the crowd he lacked a “magic wand” to cure Tunisia’s ills, the response was a hailstorm of rocks and tomatoes. Marzouki had to be hustled into a car and sped away from the stage.


“Nothing has changed, and that’s the sad reality,” says Mohamed Amri, a close friend of the Bouazizi family. Unemployment is officially 18 percent, but a September study published by the Middle East Economic Association says about 50 percent of young Tunisians with higher education are without work. At 33, Amri is unemployed and relies on an allowance from his father to cover soaring food and living costs. “I feel like I need to be optimistic, but in the end, I’m pessimistic.”


On Dec. 12, Fitch Ratings downgraded Tunisia’s sovereign ratings, citing the slow transition to a free economy and “large twin budget and current-account deficits.” Standard & Poor’s (MHP) has downgraded the country to junk status, too. Meji Djelloul, a professor of Islamic history at Manouba University in Tunis, the capital, says 80 percent of his students are eager to leave after graduating. “In 25 years of teaching I have never encountered such a sense of helplessness,” he says.


It need not be this bleak. The revolution lifted restraints on expression that had existed for decades, and Tunisians seem to agree that even without a functioning constitution, they feel more free—a significant accomplishment. The country has close social and economic ties to Europe, a highly educated populace, and infrastructure that’s among the best in the Arab world, with good roads and nine commercial airports serving a country the size of Florida.


Tunisia has the further comfort of knowing it’s not alone. In its political and economic struggles, Egypt is Tunisia’s larger, perhaps more troubled mirror. Both saw Islamists take top government positions while Salafis, who embrace the strictest, most puritanical interpretation of Islam, have pressed for an even greater role for religion in the reborn nations. (Egyptian secularists are angered by a constitution they say was forced upon them, while Tunisia’s latest constitutional draft was stripped of references to sharia, or Islamic law.) Both countries also saw their economies contract sharply in reaction to change. Egypt’s net international reserves fell almost 60 percent, to $ 15 billion, over the past two years. Tunisia’s economy contracted 1.8 percent in 2011. Last year growth was likely 2.7 percent and could rise to 3.3 percent this year, says the International Monetary Fund. “We are going through a complicated transition, not unlike what Eastern Europe went through,” says Tunisian Foreign Minister Rafik Abdessalem, a former professor of politics in Britain who returned to Tunisia after the revolution. “We need to prove that it is possible to have democracy in the Arab world.”


Weaker economies in Europe have hurt tourism and exports, two of Tunisia’s chief sources of revenue. That’s left officials appealing to the U.S., the United Arab Emirates, and Qatar, for investment. So far Tunisia hasn’t received the support it sought, let alone the aid it was promised. At its May 2011 summit in Deauville, France, the Group of Eight pledged more than $ 30 billion to assist new Arab governments. “When we spoke about intentions, it was $ 30 billion,” jokes Alaya Bettaieb, secretary of state to the minister of investment and international cooperation. “When we spoke about action, it was $ 250 million” that was delivered.
 
 
Tunisia’s transition from dictatorship to democracy would have been easier had the collapse of the Ben Ali regime not been so sudden. Amri, Bouazizi’s friend, suggests the man who started it all didn’t even know how flammable the paint thinner he poured on himself was, let alone the impact of his act of martyrdom. Other protesters, in Tunisia and across the Arab world, decided to set themselves afire in the weeks and months that followed. Hernando de Soto, the Peruvian economist best known for his work seeking property rights for peasants, has studied the underclass in Tunisia, Egypt, and elsewhere. He documented 164 deaths by self-immolation in the six months following Bouazizi’s act. “The ground was fertile socially, economically, and politically for this kind of statement,” says Ali Bouazizi, a cousin who played a key role in the revolution by filming and uploading to his Facebook (FB) page a video of the protest after the fruit seller’s death.


The embers of unrest remain hot. Tunisia’s first truly free elections in 2011 yielded a Constituent Assembly charged with drafting the country’s new charter and also serving as its parliament. Ennahda, the moderate Islamist party whose name translates to Renaissance, won 41 percent of the seats and together with two smaller secular parties formed a ruling coalition.


The constitution is still a source of great uncertainty, as are Ennahda’s broader intentions. Critics on the right maintain that the party has stressed its commitment to Tunisia’s secular tradition in public, while urging Salafis to be patient for the realization of their goals behind closed doors. Salafis, including Mouldi Mojahed, who heads the Salafi-controlled al-Asala Party, says Ennahda “has backed away from its principles.”


Neither side has been pacified. Salafis have been blamed for the serial arson of stores selling alcohol as well as the September attack on the U.S. embassy amid outrage over a YouTube (GOOG) clip denigrating Islam’s prophet. Ahmed Nejib Chebbi, an official in the opposition Jumhuri, or Republican, Party says, “The Islamists don’t know how to govern,” and the win by Ennahda in October 2011 was “not very reassuring to the economic stakeholders in the country.”


Prime Minister Hamadi Jebali has tried to walk the middle ground. “The Tunisian people have their own identity, and they agreed on this identity,” says Jebali in an interview, affirming the country’s commitment to secularism. Jebali, who spent 10 years in solitary confinement while Ben Ali controlled the country, says the new constitution won’t impose Islamic law and will respect women’s rights. He and Ennahda have also pledged to support a market economy, if not a workers’ paradise; he rages at those he suggests have riled up labor unions and “who live with the idea of the proletariat revolution, and who believe that the revolution in Tunisia was led by the proletariat.”


Sorting out how to improve the lives of ordinary Tunisians, regardless of their politics, is complicated by a lack of economic facts. At a conference organized by Utica, a group representing Tunisia’s largest employers, De Soto, the economist, estimated that the black market economy is more than 10 times the size of all companies on the country’s stock exchange. Others have suggested off-the-books trade represents as much as 30 percent of Tunisia’s GDP. The divisions between the corporate and informal sectors run deeper than matters of accounting. Wided Bouchamaoui, Utica’s president and head of one of Tunisia’s largest business enterprises, says the informal economy condones violence. “It is disastrous for legitimate businesses serving consumers,” she says.


Prime Minister Jebali acknowledges the size of the informal economy and continued problems with corruption. (The nation saw its corruption ranking, issued by Transparency International, slide from 59th in 2010 to 75th in 2012.) He pledges that Tunisia will do more to address these problems as democratic institutions take hold and the economy strengthens. In the meantime, he says priorities include addressing the “heavy taxation of the formal economy” and the inability of a “young economy to absorb unemployed youth.”


For those who have been waiting, patience is running short. Habib Kasdalli set himself afire shortly after Bouazizi when a civil servant denied him government benefits for a mental disability. Seated in a Tunis hotel, Kasdalli describes his nervous condition as his burn-scarred hands twitch. When he pulls off a blue knit cap, his scalp is grotesquely scarred. “I felt oppressed, and I felt hopelessness,” Kasdalli says. The revolution offered a respite. Relief remains a long way off.


With Jihen Laghmari and Caroline Alexander


Businessweek.com — Top News





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French commando killed in Somalia hostage raid






MOGADISHU, Somalia (AP) — A raid to free a French intelligence agent held captive in Somalia for three years went horribly wrong, leaving 17 Islamists and at least one French commando dead in a mud-caked farming town deep in militant territory.


In the chaotic aftermath of the firefight, the hostage’s fate was unclear Saturday. The Islamists denied French claims that he was killed and said they had a new prisoner — a wounded French soldier.






The botched rescue in East Africa came the same day French airstrikes in the West African nation of Mali targeted resurgent rebel Islamists. French officials said the two operations were unrelated, but stepped up domestic counter-terror measures to protect public places and transportation networks.


Confusion surrounded early reports of the failed rescue of the French agent, known by his code-name Denis Allex. He was captured in Somalia on July 14, 2009 — Bastille Day — and last seen in a video released in October pleading for the French president to help him.


But it was clear that a dangerous raid the French defense minister said was planned with the utmost of care had gone horribly wrong from the moment the helicopters swooped in.


“This operation could not be achieved despite the sacrifice of two of our soldiers and doubtless the murder of our hostage,” French President Francois Hollande said in a grim nationwide broadcast. “But this operation confirms the determination of France not to give into blackmail by terrorists.”


French Defense Minister Jean-Yves Le Drian said Allex was killed by his captors and that one French soldier was missing and one dead, along with 17 Islamists. The Defense Ministry earlier said two commandos were killed in the fighting in the Somali town of Bulomarer, a small farming community under Islamist control for four years.


“It was an extremely dangerous mission,” Le Drian said. “Everything indicates Denis Allex was killed.”


The militant Islamist group al-Shabab, which held Allex for more than three years, said Saturday that he remained alive and in its custody, as was a new captive — a French commando wounded in fighting. There are also seven French hostages in Mali.


Residents of Bulomarer described hearing explosions and gunfire from what they called an al-Shabab base. An al-Shabab official said that fighting began after helicopters dropped off French soldiers.


“Five helicopters attacked a house in the town. They dropped soldiers off on the ground so that they could reach their destination,” he said on condition of anonymity because he was not authorized to speak to the media.


The French attack was swift and loud, residents said.


“We heard a series of explosions followed by gunfire just seconds after a helicopter flew over the town,” Mohamed Ali, a resident of Bulomarer, told The Associated Press by telephone. “We don’t know exactly what happened, but the place was an al-Shabab base and checkpoint.”


An elder in the town, Hussein Yasin, said the French troops shot dead two residents who turned on flashlights after hearing movement. As the soldiers walked away, they encountered an al-Shabab checkpoint and the gunfire began.


As the Islamists retreated, the helicopters returned to retrieve the commandos, he said.


The al-Shabab official said some soldiers were killed, but the group held only one dead French soldier. Later, the Islamist group released a statement saying that Allex “remains safe and far from the location of the battle.” It said there would be a verdict in his case in two days.


The chief of staff of the French army, Edouard Guillaud, said France had exhausted any other way to free Allex.


“When you get to the point of launching an assault, it means the other options had failed,” Guillaud said.


Allex was kidnapped from a hotel in Mogadishu, Somalia, on July 14, 2009 with a colleague who later escaped. They were in Somalia to train government forces, which are fighting Islamist militiamen.


In October, Hollande pledged to “use all means” to contact “anyone who can help free our hostages.”


In 2009, a Frenchman held hostage by pirates off the Somali coast was killed in the crossfire during a commando rescue on his captive sailboat. The man’s family was rescued.


And in 2011, two French hostages kidnapped in Niger were killed by their captors as French troops closed in for a rescue.


___


Jamey Keaten reported from Paris.


Africa News Headlines – Yahoo! News





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RIM shares climb as investors bet on new BlackBerry






TORONTO (Reuters) – Shares of Research In Motion rallied on Friday as investors positioned themselves ahead of the launch of its new make-or-break BlackBerry 10 smartphones at the end of the month.


Morningstar analyst Brian Colello did not see any one news story driving the stock, which climbed steadily through much of the day. The new phones are to be formally unveiled on January 30.






“The stock has been extremely volatile, based on BlackBerry 10 rumors and the potential for success in the market,” said Colello.


Several blog posts published on Friday showed purportedly leaked photos of what could be the new phones, and a number of tech sites confirmed that Sprint Nextel Corp would carry BlackBerry 10.


“Sprint plans to bring BlackBerry 10 to our customers later this year. We will share more details soon,” Mark Elliot, a spokesman for the U.S. carrier, said in an email.


Earlier this week, executives at Verizon Communications, AT&T Inc and T-Mobile USA all confirmed they would carry the smartphones, and said they are looking forward to the new devices.


“There are, I think, good indications that they’re going to get a seat at all the tables that matter,” said IDC analyst John Jackson, who called carrier support “necessary, but not sufficient” to ensure the success of BlackBerry 10.


Throughout the autumn of 2012, RIM’s stock rose as investors grew more optimistic about BlackBerry 10. Morningstar’s Colello said the market went from pricing in no chance of success, to betting on at least some chance of success for the new products.


But the rally broke off after RIM reported earnings in December, revealing that it would roll out a new fee structure for its services segment which some fear could put pressure on the high-margin business.


The new line’s success is crucial to the future of RIM, which has lost ground to competitors such as Apple Inc and Samsung Electronics, and in December reported its first-ever decline in total subscribers.


BGC Partners analyst Colin Gillis said the news that all four major U.S. carriers would offer BlackBerry 10 was likely lifting the stock, along with Nokia’s stronger-than-expected quarterly results — a sign that Google Inc’s Android smartphones have not completely taken over its market.


“The smartphone market is one of the most robust, largest markets in the world … it’s also dynamic,” said Gillis. “The winners and losers are going to be shifting. That said, it’s a difficult road the company is facing.”


RIM’s Nasdaq-listed shares were up 13.2 percent at $ 13.49. Shares jumped 12.6 percent to C$ 13.27 on the Toronto Stock Exchange. That more than doubled the price since the low of C$ 6.10 it touched in September. By late afternoon, RIM was the day’s most heavily-traded stock on the Toronto Stock Exchange.


(Additional reporting by Nicola Leske in New York; Editing by Marguerita Choy and Alden Bentley)


Wireless News Headlines – Yahoo! News





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Sony Pictures executive: “Zero Dark Thirty” “does not advocate torture”






LOS ANGELES (Reuters) – Sony Pictures executive Amy Pascal lashed out on Friday at a member of the Academy of Motion Picture Arts and Sciences (AMPAS) who accused Osama bin Laden film “Zero Dark Thirty” of promoting torture and urged fellow Academy members not to vote for it in the Oscars race.


In a strongly worded statement, Pascal said the “attempt to censure one of the great films of our time should be opposed.”






“We are outraged that any responsible member of the Academy would use their voting status in AMPAS as a platform to advance their own political agenda,” said Pascal, who is co-chairman of Sony Pictures Entertainment and chairman of its Columbia TriStar Motion Picture Group.


“This film should be judged free of partisanship,” she said, adding that the film “does not advocate torture.”


Pascal’s comments came in response to Academy member David Clennon’s remarks at a rally against the torture of terror suspects in Los Angeles on Friday.


“I believe that the film clearly promotes a tolerance for torture,” Clennon told local ABC TV news affiliate KABC, adding “I hope that my fellow members of the Academy will consider the morality of each nominee.”


Clennon, an actor who appeared in 1980s TV series “thirtysomething,” also wrote an opinion piece earlier this week criticizing the film.


“At the risk of being expelled for disclosing my intentions, I will not be voting for ‘Zero Dark Thirty’ – in any Academy Awards category,” Clennon wrote on progressive news website Truth-out.org in a January 9 posting.


“‘Zero’ never acknowledges that torture is immoral and criminal. It does portray torture as getting results,” he added.


The 6,000 members of the Academy are urged not to reveal who they cast their votes for. Academy Award winners are revealed at a ceremony in February, the highlight of Hollywood’s award season.


The Academy on Friday declined to comment on Clennon’s remarks.


“Zero Dark Thirty” won five Oscar nominations, including a nod for best picture, despite coming under attack in Washington over its source material and claims by politicians that it depicts torture as helping the United States find and kill the al Qaeda leader in May 2011.


Among the film’s nominees were actress Jessica Chastain and screenwriter Mark Boal, but director Kathyrn Bigelow surprisingly failed to make the Oscar best director shortlist.


Sony Pictures Entertainment is a unit of Sony Corp.


(Reporting By Piya Sinha-Roy; Editing by Jill Serjeant and Eric Walsh)


Movies News Headlines – Yahoo! News




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Venezuela’s Hugo Chavez not in coma, brother says






CARACAS (Reuters) – Venezuela‘s cancer-stricken president, Hugo Chavez, is recovering in Cuba and is not in a coma as some have rumored a month after surgery, his brother, Adan Chavez, said after a visit to Havana.


The 58-year-old socialist leader has not been seen or heard from since his December 11 cancer surgery – his fourth such operation after the disease was detected in his pelvic area in mid-2011 – leaving Venezuela in a state of suspense.






But older brother Adan Chavez, who is governor of the family’s home state of Barinas, said the president was improving daily, according to a news release on Saturday from his office.


“The head of state continues to assimilate treatment well and his recovery is advancing daily,” the statement read.


“Information on social networks and in other places, saying the president is in a coma and his family are discussing the supposed disconnection of life support equipment, are totally false,” it added.


Chavez missed his own inauguration for a new, six-year term last week, although Venezuela’s top court ruled that he remained in power and Vice President Nicolas Maduro could deputize until there was clarity over the president’s condition.


The rumors were stoked when Chavez did not send a message to Thursday’s pro-government rally, the day he was supposed to be sworn in. Unlike past trips to Cuba for medical treatment, no images have been released of him.


The saga has enormous stakes for Venezuela, a nation of 29 million people with the world’s largest oil reserves, as well as for the wider region. Cuba and a handful of other leftist-ruled nations depend on Chavez’s economic aid.


Peruvian and Argentine Presidents Ollanta Humala and Cristina Fernandez, both friends of Chavez, visited Cuba this week. There was no sign either of them saw him.


Finishing her visit on Saturday, Fernandez said it was “inappropriate” for her to talk about Chavez’s condition, which was a matter for his family. “I ask you to show a lot of respect and solidarity,” she told reporters in Havana.


‘DEAD OR ALIVE?’


Adan Chavez, a physicist by profession who has been a political mentor to his brother and is viewed by Venezuelans as a hard-liner, said foreign media were in league with local opposition activists to promote lies about the president.


“We know this is part of a dirty war by the necrophilic opposition,” he was quoted as saying in the news release. “We are sure that with the support of God, science and the people, our president will triumph in this new battle.”


Venezuela’s opposition leaders are furious at what they see as a Cuban-inspired manipulation of the constitution by Maduro and other top “Chavista” figures aimed at preventing the naming of a caretaker president due to Chavez’s absence.


Should Chavez die or have to step down, a new election would be called and would likely pit Maduro against opposition leader Henrique Capriles, the 40-year-old governor of Miranda state, who lost to Chavez in last year’s presidential election.


He and other mainstream opposition leaders have criticized secrecy over Chavez’s condition, but have taken a wait-and-see attitude, preferring to prepare behind the scenes for a possible new vote.


There have been small protests by students, none numbering more than several hundred people. A handful of people were injured in Tachira state on Friday, local media said, when protesting students clashed with police.


“Who knows if Chavez is alive or dead? They don’t say clearly if he is breathing, if he can talk or not,” 22-year-old university student Daniella Contreras said at a protest meeting in Caracas on Saturday.


“They should send a medical committee to Havana to confirm if the president is still capable of governing.”


The government has been giving regular but terse updates on Chavez’s condition, the latest being that he is struggling with a severe lung infection after the operation.


The silence from the normally garrulous leader famous for his lengthy speeches has led many Venezuelans to conclude his 14-year rule is ending.


Venezuela’s most prominent female opposition activist, right-wing legislator Maria Corina Machado, told Saturday’s gathering of about 400 protesters that the government was now illegitimate.


“We are in the terrible situation of having to acknowledge there is today no government in Venezuela. Government is in Cuba, led by the Cubans, deciding what we do and what happens with our country,” Machado said.


Information Minister Ernesto Villegas urged Venezuelans to avoid being drawn into trouble. “An irresponsible minority are causing provocations to create a macabre show,” he said.


The Chavez years have been turbulent ones, particularly during a short coup against him and a national oil strike in 2002 and 2003, and many Venezuelans are praying that whatever happens next, it will be non-violent.


(Additional reporting by Girish Gupta in Caracas, Rosa Tania Valdes in Havana; Editing by Jackie Frank and Peter Cooney)


Health News Headlines – Yahoo! News





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