Scant Proof Is Found to Back Up Claims by Energy Drinks





Energy drinks are the fastest-growing part of the beverage industry, with sales in the United States reaching more than $10 billion in 2012 — more than Americans spent on iced tea or sports beverages like Gatorade.




Their rising popularity represents a generational shift in what people drink, and reflects a successful campaign to convince consumers, particularly teenagers, that the drinks provide a mental and physical edge.


The drinks are now under scrutiny by the Food and Drug Administration after reports of deaths and serious injuries that may be linked to their high caffeine levels. But however that review ends, one thing is clear, interviews with researchers and a review of scientific studies show: the energy drink industry is based on a brew of ingredients that, apart from caffeine, have little, if any benefit for consumers.


“If you had a cup of coffee you are going to affect metabolism in the same way,” said Dr. Robert W. Pettitt, an associate professor at Minnesota State University in Mankato, who has studied the drinks.


Energy drink companies have promoted their products not as caffeine-fueled concoctions but as specially engineered blends that provide something more. For example, producers claim that “Red Bull gives you wings,” that Rockstar Energy is “scientifically formulated” and Monster Energy is a “killer energy brew.” Representative Edward J. Markey of Massachusetts, a Democrat, has asked the government to investigate the industry’s marketing claims.


Promoting a message beyond caffeine has enabled the beverage makers to charge premium prices. A 16-ounce energy drink that sells for $2.99 a can contains about the same amount of caffeine as a tablet of NoDoz that costs 30 cents. Even Starbucks coffee is cheap by comparison; a 12-ounce cup that costs $1.85 has even more caffeine.


As with earlier elixirs, a dearth of evidence underlies such claims. Only a few human studies of energy drinks or the ingredients in them have been performed and they point to a similar conclusion, researchers say — that the beverages are mainly about caffeine.


Caffeine is called the world’s most widely used drug. A stimulant, it increases alertness, awareness and, if taken at the right time, improves athletic performance, studies show. Energy drink users feel its kick faster because the beverages are typically swallowed quickly or are sold as concentrates.


“These are caffeine delivery systems,” said Dr. Roland Griffiths, a researcher at Johns Hopkins University who has studied energy drinks. “They don’t want to say this is equivalent to a NoDoz because that is not a very sexy sales message.”


A scientist at the University of Wisconsin became puzzled as he researched an ingredient used in energy drinks like Red Bull, 5-Hour Energy and Monster Energy. The researcher, Dr. Craig A. Goodman, could not find any trials in humans of the additive, a substance with the tongue-twisting name of glucuronolactone that is related to glucose, a sugar. But Dr. Goodman, who had studied other energy drink ingredients, eventually found two 40-year-old studies from Japan that had examined it.


In the experiments, scientists injected large doses of the substance into laboratory rats. Afterward, the rats swam better. “I have no idea what it does in energy drinks,” Dr. Goodman said.


Energy drink manufacturers say it is their proprietary formulas, rather than specific ingredients, that provide users with physical and mental benefits. But that has not prevented them from implying otherwise.


Consider the case of taurine, an additive used in most energy products.


On its Web site, the producer of Red Bull, for example, states that “more than 2,500 reports have been published about taurine and its physiological effects,” including acting as a “detoxifying agent.” In addition, that company, Red Bull of Austria, points to a 2009 safety study by a European regulatory group that gave it a clean bill of health.


But Red Bull’s Web site does not mention reports by that same group, the European Food Safety Authority, which concluded that claims about the benefits in energy drinks lacked scientific support. Based on those findings, the European Commission has refused to approve claims that taurine helps maintain mental function and heart health and reduces muscle fatigue.


Taurine, an amino acidlike substance that got its name because it was first found in the bile of bulls, does play a role in bodily functions, and recent research suggests it might help prevent heart attacks in women with high cholesterol. However, most people get more than adequate amounts from foods like meat, experts said. And researchers added that those with heart problems who may need supplements would find far better sources than energy drinks.


Hiroko Tabuchi contributed reporting from Tokyo and Poypiti Amatatham from Bangkok.



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Retail sales rise 4.5% in December; merchants say discounts hurt









Wary holiday shoppers forced retailers to heavily discount items during December, ultimately handing merchants decent sales but raising worries about consumer spending in the new year.


After wooing bargain hunters in December by cutting prices, major retailers such as Macy's Inc., Target Corp. and J.C. Penney Co. lowered their profit expectations for the fourth quarter, warning that steep markdowns may eat into year-end results.


Along Colorado Boulevard in Old Town Pasadena, shoppers said they controlled their budgets during the holidays and planned to take a break from spending in the new year.





"We budgeted $600 for all our family and friends, and we stuck with that," said Wendy Estrada, 33, of Pasadena. "It wasn't the right time to go over the top."


However, Estrada, an admissions officer for a culinary school, had just picked up a $65 pair of tan heels for herself, part of a post-Christmas splurge using gift cards she'd received. But after those are used up, "I'm done until Valentine's Day," she said.


In December, many shoppers were weary of spending during Black Friday sales after Thanksgiving and were focused instead on the "fiscal cliff" debate and the school shooting tragedy in Newtown, Conn., analysts said. As a result, many merchants slashed prices in a last-ditch effort to entice people through their doors.


"The surge in sales we saw was driven by a spike in promotions by retailers, which really helped salvage sales at the back end from the Saturday before Christmas up through New Year's," Ken Perkins of Retail Metrics Inc. said. "A lot of consumers were looking for value."


Major chain stores posted an overall 4.5% sales increase in December compared with the same month a year earlier, beating analysts' expectations of a 3.3% rise. according to Thomson Reuters' tally of 17 retailers.


Top performers were a mixture of high- and low-end stores. Costco Wholesale Corp. led the way with a 9% bump, while upscale department store chain Nordstrom Inc. reported an 8.6% jump. Off-price retailers Ross Stores Inc. and TJX Cos. both said sales rose 6%.


Other retailers did not fare as well. Struggling teen clothier Wet Seal Inc. said sales fell 9.7%, while action-sports retailer Zumiez Inc. reported a 1% slump. Target said sales were flat.


Results were based on sales at stores open at least a year, known as same-store sales and considered an important measure of a retailer's health because it excludes the effect of store openings and closings.


Analysts noted that some retailers sacrificed profit by aggressively marking down merchandise to draw people into stores. Strong sales did not always translate into a blockbuster holiday season.


Macy's, which reported a 4.1% jump in sales, lowered its fourth-quarter earnings guidance and separately announced that it planned to close six underperforming stores nationwide, including one on Paseo Colorado in Pasadena.


Macy's Chief Executive Terry J. Lundgren said December growth "was somewhat less than we had expected."


"It came amid significant head winds from uncertain economic news and the lingering effects of Hurricane Sandy," he said in a statement Thursday.


Kevin Mansell, chief executive of Kohl's Corp., described sales in December as "lower than planned." The chain saw a 3.4% jump.


"Sales came in late in the holiday shopping season and, as a result, were at deeper discounts than planned," he said, adding that more markdowns were planned to clear out inventory before spring.


The mixed showing during the crucial holiday season indicates that shoppers have not completely shaken off worries about the economy, industry watchers say. The last-minute maneuvering over the looming "fiscal cliff" convinced some consumers that they should hold on to their dollars.


"If even Target can't get positive sales, that shows you it's a pretty tough environment," said Britt Beemer, a retail expert at America's Research Group. "When it's all said and done, it was a pretty lackluster holiday and it was a nail-biter."


Merchants are now settling into the usual post-holiday lull, with many lowering prices even further to clear inventory and prepare for the next spike in consumer spending, typically before Easter.


Going forward, industry watchers predict that 2013 will be much like last year — a time of slow growth as the economy gradually mends and shoppers find a more stable footing with their personal finances.


For retailers, the fight will continue for more discerning and picky shoppers, said Michael Brown, a partner in the retail practice at consulting firm A.T. Kearney.


"We are not seeing a period of aggressive growth where that tide is lifting all retailers," he said. "It's going to be a highly competitive environment where retailers have got to work hard to get consumers into stores."


Browsing in Old Town Pasadena, shopper Teresa Overing, 50, was feeling confident that the economy was back on track. Overing, a Pasadena human resources manager, said there was nothing in particular brightening her outlook, just a general feeling that things are finally turning around.


"In spite of all the news, I'm more optimistic," she said. "Maybe it's the new year and the nice weather."


shan.li@latimes.com





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Bieber urges crackdown on paparazzi after photographer's death









Justin Bieber and his collection of exotic cars have been tantalizing targets for celebrity photographers ever since the young singer got his driver's license.


A video captured the paparazzi chasing Bieber through Westside traffic in November. When Bieber's white Ferrari stops at an intersection, the video shows the singer turning to one of the photographers and asking: "How do your parents feel about what you do?"


A few months earlier, he was at the wheel of his Fisker sports car when a California Highway Patrol officer pulled him over for driving at high speeds while trying to outrun a paparazzo.





This pursuit for the perfect shot took a fatal turn Tuesday when a photographer was hit by an SUV on Sepulveda Boulevard after taking photos of Bieber's Ferrari. And the singer now finds himself at the center of the familiar debate about free speech and the aggressive tactics of the paparazzi.


Since Princess Diana's fatal accident in Paris in 1997 while being pursued by photographers, California politicians have tried crafting laws that curb paparazzi behavior. But some of those laws are rarely used, and attorneys have challenged the constitutionality of others.


On Wednesday, Bieber went on the offensive, calling on lawmakers to crack down.


"Hopefully this tragedy will finally inspire meaningful legislation and whatever other necessary steps to protect the lives and safety of celebrities, police officers, innocent public bystanders and the photographers themselves," he said in a statement.


It remained unclear if any legislators would take up his call. But Bieber did get some support from another paparazzi target, singer Miley Cyrus.


She wrote on Twitter that she hoped the accident "brings on some changes in '13 Paparazzi are dangerous!"


Last year, a Los Angeles County Superior Court judge threw out charges related to a first-of-its-kind anti-paparazzi law in a case involving Bieber being chased on the 101 Freeway by photographer Paul Raef. Passed in 2010, the law created punishments for paparazzi who drove dangerously to obtain images.


But the judge said the law violated 1st Amendment protections by overreaching and potentially affecting such people as wedding photographers or photographers speeding to a location where a celebrity was present.


The L.A. city attorney's office is now appealing that decision.


Raef's attorney, Dmitry Gorin, said new anti-paparazzi laws are unnecessary.


"There are plenty of other laws on the books to deal with these issues. There is always a rush to create a new paparazzi law every time something happens," he said. "Any new law on the paparazzi is going to run smack into the 1st Amendment. Truth is, most conduct is covered by existing laws. A lot of this is done for publicity."


Coroner's officials have not identified the photographer because they have not reached the next of kin. However, his girlfriend, Frances Merto, and another photographer identified him as Chris Guerra.


The incident took place on Sepulveda Boulevard near Getty Center Drive shortly before 6 p.m. Tuesday. A friend of Bieber was driving the sports car when it was pulled over on the 405 Freeway by the California Highway Patrol. The photographer arrived near the scene on Sepulveda, left his car and crossed the street to take photos. Sources familiar with the investigation said the CHP told him to leave the area. As he was returning to his vehicle, he was hit by the SUV.


Law enforcement sources said Wednesday that it was unlikely charges would be filed against the driver of the SUV that hit the photographer.


Veteran paparazzo Frank Griffin took issue with the criticism being directed at the photographer as well as other paparazzi.


"What's the difference between our guy who got killed under those circumstances and the war photographer who steps on a land mine in Afghanistan and blows himself to pieces because he wanted the photograph on the other side of road?" said Griffin, who co-owns the photo agency Griffin-Bauer.


"The only difference is the subject matter. One is a celebrity and the other is a battle. Both young men have left behind mothers and fathers grieving and there's no greater sadness in this world than parents who have to bury their children."


Others, however, said the death focuses attention on the safety issues involving paparazzi


"The paparazzi are increasingly reckless and dangerous. The greater the demand, the greater the incentive to do whatever it takes to get the image," said Blair Berk, a Los Angeles attorney who has represented numerous celebrities. "The issue here isn't vanity and nuisance, it's safety."


richard.winton@latimes.com


andrew.blankstein@latimes.com





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Microsoft acquires start-up id8: source






SAN FRANCISCO (Reuters) – Microsoft Corp bought start-up id8 Group R2 Studios Inc as it looks to expand further in technology focused on the home and entertainment, a person familiar with the situation said on Wednesday.


id8 Group R2 Studios was started in 2011 by Silicon Valley entrepreneur and investor Blake Krikorian. It recently launched a Google Android application to allow users to control home heating and lighting systems from smartphones.






Krikorian’s Sling Media – which was sold to EchoStar Communications in 2007 – made the “Slingbox” for watching TV on computers.


Krikorian will join Microsoft with a small team, according to the Wall Street Journal, which reported the acquisition earlier on Wednesday. Microsoft also purchased some patents owned by the start-up related to controlling electronic devices, the newspaper added.


Krikorian and a Microsoft spokesman declined to comment.


Krikorian resigned from Amazon.com Inc’s board in late December after about a year and a half as a director at the company, the Internet’s largest retailer.


(Reporting By Alistair Barr; Editing by Steve Orlofsky)


Wireless News Headlines – Yahoo! News





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Pan-Arab Al-Jazeera buys Current TV from Al Gore


LOS ANGELES (AP) — With its purchase of left-leaning Current TV, the Pan-Arab news channel Al-Jazeera has fulfilled a long-held quest to reach tens of millions of U.S. homes. But its new audience immediately got a little smaller.


The nation's second-largest TV operator, Time Warner Cable Inc., dropped Current after the deal was confirmed Wednesday, a sign that the channel will have an uphill climb to expand its reach.


"Our agreement with Current has been terminated and we will no longer be carrying the service. We are removing the service as quickly as possible," the company said in a statement.


Still, the acquisition of Current, the news network that cofounded by former Vice President Al Gore, boosts Al-Jazeera's reach in the U.S. beyond a few large U.S. metropolitan areas including New York and Washington nearly ninefold to about 40 million homes.


Gore confirmed the sale Wednesday, saying in a statement that Al-Jazeera shares Current TV's mission "to give voice to those who are not typically heard; to speak truth to power; to provide independent and diverse points of view; and to tell the stories that no one else is telling."


Al-Jazeera, owned by the government of Qatar, plans to gradually transform Current into a network called Al-Jazeera America by adding five to 10 new U.S. bureaus beyond the five it has now and hiring more journalists. More than half of the content will be U.S. news and the network will have its headquarters in New York, spokesman Stan Collender said.


Collender said there are no rules against foreign ownership of a cable channel — unlike the strict rules limiting foreign ownership of free-to-air TV stations. He said the move is based on demand, adding that 40 percent of viewing traffic on Al-Jazeera English's website is from the U.S.


"This is a pure business decision based on recognized demand," Collender said. "When people watch Al-Jazeera, they tend to like it a great deal."


Previous to Al-Jazeera's purchase, Current TV was in 60 million homes. It is carried by Comcast Corp., which owned less than a 10 percent stake in Current TV, as well as DirecTV. Neither company announced plans to drop the channel.


In 2010, Al-Jazeera English's managing director, Tony Burman, blamed a "very aggressive hostility" from the Bush administration for reluctance among cable and satellite companies to show the network.


Even so, Al-Jazeera has garnered respect for its ability to build a serious news product in a short time. In a statement announcing the deal, it touted numerous U.S. journalism awards it received in 2012, including the Robert F. Kennedy Journalism Award Grand Prize and the Scripps Howard Award for Television/Cable In-Depth Reporting.


But there may be a culture clash at the network. Dave Marash, a former "Nightline" reporter who worked for Al-Jazeera in Washington, said he left the network in 2008 in part because he sensed an anti-American bias there.


Al-Jazeera English went on the air in November 2006. It moved quickly to establish a strong presence on the Internet, launching web streaming services and embracing new social media services such as Twitter in part to compensate for its lack of a presence on U.S. airwaves.


The English news network has a different news staff and a separate budget from the Arabic network, which launched in 1996. They and the company's growing stable of other Al-Jazeera branded channels are overseen by Sheik Ahmed bin Jassim Al Thani, a member of Qatar's royal family.


Sheik Ahmed took over last year following the abrupt resignation of the company's longtime Palestinian head, Wadah Khanfar, who was widely credited with helping build Al-Jazeera into an influential global brand. In his departure note to staff, he said he was leaving behind "a mature organization" that "will continue to maintain its trailblazing path."


Both the English and the Arabic channels actively covered the protests, violence and political upheaval that have become known as the Arab Spring.


Current, meanwhile, began as a groundbreaking effort to promote user-generated content. But it has settled into a more conventional format of political talk television with a liberal bent. Gore worked on-air as an analyst during its recent election night coverage.


Its leading personalities are former New York Gov. Eliot Spitzer, former Michigan Gov. Jennifer Granholm and Cenk Uygur, a former political commentator on MSNBC who hosts the show called "The Young Turks." Current signed Keith Olbermann to be its top host in 2011 but his tenure lasted less than a year before it ended in bad blood on both sides.


Current has largely been outflanked by MSNBC in its effort be a liberal alternative to the leading cable news network, Fox News Channel.


Current hired former CNN Washington bureau chief David Bohrman in 2011 to be its president. Bohrman pushed the network to innovate technologically, with election night coverage that emphasized a conversation over social media.


Current TV, founded in 2005 by former vice president Gore and Joel Hyatt, is expected to post $114 million in revenue in 2013, according to research firm SNL Kagan. The firm pegged the network's cash flow at nearly $24 million a year.


___


AP Television Writer David Bauder in New York and AP writer Adam Schreck in Baghdad contributed to this report.


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The New Old Age Blog: On the Way to Hospice, Surprising Hurdles

I’ve often wondered why more families don’t call hospice when a loved one has a terminal disease — and why people who do call wait so long, often until death is just days away.

Even though more than 40 percent of American deaths now involve hospice care, many families still are trying to shoulder the burden on their own rather than turning to a proven source of help and knowledge. I’ve surmised that the reason is families’ or patients’ unwillingness to acknowledge the prospect of death, or physicians’ inability to say the h-word and refer dying patients to hospice care.

But maybe there’s another reason. A study in the journal Health Affairs recently pointed out that hospices themselves may be turning away patients because of certain restrictive enrollment policies. It’s possible, too, that physicians who know of these policies aren’t referring patients whom the doctors fear wouldn’t qualify.

Surprisingly, this randomized national survey of almost 600 hospice programs represents the first broad inquiry into enrollment practices, though it’s been nearly 30 years since hospice became a Medicare benefit.

Nearly 80 percent of hospice programs, the study found, reported having at least one policy that could restrict access. “It represents a barrier to people who want hospice care but can’t receive it,” said lead author Melissa Aldridge Carlson, a geriatrics and palliative care researcher at the Mount Sinai School of Medicine.

What kind of barriers are we talking about? More than 60 percent of hospices won’t accept a patient on chemotherapy, and more than half won’t take someone relying on intravenous nutrition. Many won’t enroll patients receiving palliative radiation or blood transfusions; a few say no to tube feeding.

This made more sense a couple of decades ago, when Medicare developed the regulations requiring patients to forgo curative treatments when they entered hospice. Hospice patients must have a terminal disease, likely to cause death within six months, so such treatments were presumed futile.

But medicine evolves. Now, Dr. Aldridge Carlson pointed out, the distinction between curative and palliative treatments has grown blurry. “It’s increasingly an artificial dichotomy,” she said. “That’s not the reality for most patients today with end-stage disease.”

Chemotherapy, for instance, is often used to shrink tumors that cause pain; radiation can prevent nausea and vomiting for patients with bowel obstructions. Though neither will cure a terminal cancer, as palliative treatments they can improve quality of life. Blood transfusions can help anemic cancer patients feel better, too, at least for a while.

Why, then, would hospices not accept dying people using these treatments? First, these are expensive to provide. The national average Medicare reimbursement for hospice care is just $140 a day, the study notes, and it’s not adjusted to reflect the cost of more complicated regimens. Besides, hospices worry about running afoul of Medicare regulations and being denied even that inadequate reimbursement.

This probably explains why the researchers found that smaller hospices were more likely than large ones to say no to patients receiving such treatments. “If you’re a small hospice caring for someone with many medical issues and the reimbursement doesn’t even cover the care – and then Medicare comes to take it back – that’s a big hit,” Dr. Aldridge Carlson said. Larger organizations with more patients and bigger budgets can better absorb the costs.

One bright note, though, is that almost 30 percent of the hospices studied offer some kind of open access enrollment without insisting on those prohibitions. Much more common in nonprofit hospices (a pity, because the real growth is in for-profit ones), open access usually means enrolling people who don’t yet meet the Medicare criteria, then converting them to Medicare patients as they become eligible.

At Gilchrist Hospice Care in Baltimore, for instance, patients still using chemotherapy, radiation, transfusions and several other treatments can enter what it calls “expanded care,” sometimes also known as “concurrent care.” (At Gilchrist, however, such patients still must meet the six-month hospice eligibility requirement.)

“If you say, ‘You can’t get blood transfusions any more,’ people say, ‘Why would I go with your program?’” said Regina Bodnar, Gilchrist’s clinical director. The hospice’s concurrent program “is not so either/or.”

People who enter hospice care with palliative treatments usually decide to forgo them anyway when they become less effective or more burdensome, Ms. Bodnar said, but “this allows people to make the transition over time.” As the largest hospice program in Maryland, a nonprofit with generous donors, Gilchrist can afford this more flexible, but expensive, approach.

Could it be the future of hospice? That would require Medicare to make some changes in eligibility and reimbursement practices — a shift that might bolster Medicare’s solvency, too.

“Hospice saves money because it keeps people out of the hospital,” Dr. Aldridge Carlson said. Even more expensive outpatient treatments, like palliative radiation, are less costly than days spent in intensive care. Adjusting policies to allow more patients into hospice might bring costs down.

But as important, it could make the call to hospice a slightly less terrifying prospect and provide more families with the help they need at the end of life. “We need to take down the barriers to hospice care,” Ms. Bodnar said, “and this is one way to do it.”


Paula Span is the author of “When the Time Comes: Families With Aging Parents Share Their Struggles and Solutions.”

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World's 100 richest people got $241 billion richer in 2012









The richest people on the planet got even richer in 2012, adding $241 billion to their collective net worth, according to the Bloomberg Billionaires Index, a daily ranking of the world's 100 wealthiest individuals.


The aggregate net worth of the world's top 100 stood at $1.9 trillion at the market close Dec. 31, according to the index. Of the people who appeared on the final ranking of 2012, only 16 registered a net loss for the 12-month period.


"Last year was a great one for the world's billionaires," said John Catsimatidis, the billionaire owner of Red Apple Group Inc., in an email written poolside on his BlackBerry in the Bahamas. "In 2013, they will continue looking for investments around the world — and not necessarily in U.S. — that will give them an advantage."





Amancio Ortega, the Spaniard who founded retailer Inditex, was the year's biggest gainer. The 76-year-old tycoon's fortune increased to $57.5 billion, a gain of $22.2 billion, according to the index, as shares of the retailer that operates the Zara clothing chain rose 66.7%.


"It's an amazing company that has done great, and the gains are quite justified given its performance," said Christodoulos Chaviaras, an analyst at Barclays in London who's had an "equalweight" rating on Inditex for about a year. "Can they repeat that? It will be harder. A lot of the positive news is already reflected in the share price."


Global stocks soared in 2012. The MSCI World Index gained 13.2% during the year to close at 1338.50 on Dec. 31. The Standard & Poor's 500 index rose 13.4% to close at 1426.19.


European stocks surged in the second half of the year. The Stoxx Europe 600 index is up 19.6% since June 4, advancing as the European Central Bank introduced bond-buying programs, S&P upgraded Greece's debt and German business confidence rose more than forecast. The benchmark gauge's 14.4% advance for the year was the best annual return since 2009.


Carlos Slim, the telecommunications magnate who controls Mexico's America Movil, maintained his title as the richest person on Earth for the entire year. The 72-year-old's net worth rose $13.4 billion, or 21.6%, through Dec. 31, making him the second-biggest gainer by dollars.


Gains by Slim's industrial conglomerate, Grupo Carso, and Grupo Financiero Inbursa, his banking and insurance operation, more than offset the decline posted by America Movil, his biggest holding. The largest mobile phone operator in the Americas by subscribers fell 5.8% to close at 14.9 pesos at the end of the year.


U.S. software mogul Bill Gates, 57, ranks second on the list, trailing Slim by $12.5 billion. The Microsoft Corp. co-founder added $7 billion to his net worth as shares of the Redmond, Wash., company rose 2.9%. Microsoft stock accounts for less than 20% of the billionaire's fortune.


Warren Buffett, 82, lost his title as the world's third-richest man to Ortega on Aug. 6. The Berkshire Hathaway Inc. chairman gained $5.1 billion during the year, even after donating 22.3 million Berkshire Class B shares in July to charity. The billionaire, who has pledged to give away most of his fortune, spent much of the year pressing for higher taxes on the wealthy.


Ikea founder Ingvar Kamprad, 86, is the world's fifth-richest person with a $42.9-billion fortune. The complex ownership structure behind Ikea, the world's largest furniture retailer, became more transparent in August after Ikea's franchisor published its financial performance publicly for the first time. His net worth rose 16.6% in 2012.


Brazil's Eike Batista, 56, was the year's biggest loser by dollars, falling $10.1 billion. The commodities maven, who vowed a year ago that he'd become the world's wealthiest man by 2015, sold a 5.63% stake in his EBX Group Co. in March to Abu Dhabi's Mubadala Development Co.


As part of the deal, he pledged an unspecified additional stake in 2019 if he fails to meet a 5% annual return on the sovereign wealth fund's $2-billion investment, according to a person with knowledge of the deal. Batista now ranks 75th in the world with a net worth of $12.4 billion. On March 27, he was worth $34.5 billion and ranked 8th on the Bloomberg index.


Batista's former title as the richest Brazilian is now held by 73-year-old banker Jorge Paulo Lemann, who ranks 37th on the index with an $18.8-billion fortune. The country's second-richest person is Dirce Camargo, the matriarch behind Camargo Correa, the Sao Paulo conglomerate that has interests in cement, electricity and Havaianas flip-flops. Her net worth is $13.4 billion, according to the Bloomberg ranking.


Camargo, who doesn't appear on any other major international wealth ranking, is one of 54 billionaires the index uncovered during the year. Among the others: Hamdi Ulukaya, the 40-year-old Turkish immigrant owner of Chobani, the bestselling yogurt brand in the U.S.; South Africa's Nathan "Natie" Kirsh, 80, who amassed a $5.4-billion fortune in retail and real estate; and Elaine Marshall, 70, whose 14.6% ownership of closely held Koch Industries makes her the fourth-richest woman in America. She is worth $14.1 billion.


Koch Industries' two other shareholders, the brothers Charles and David Koch, are each worth $40.9 billion, up $7.1 billion, or 20.9%, for the year.


Oracle Corp. founder Larry Ellison rose $6.4 billion in 2012 as shares of the world's largest database company jumped 31.7%. Ellison, 68, who has more than tripled the amount of Oracle stock he has pledged against lines of credit in the last year, agreed to buy 98% of Hawaii's Lanai island. The 141-square-mile parcel with no traffic lights was purchased from billionaire David Murdock, the 89-year-old chairman of Dole Food Co., the world's largest producer of fresh fruit and vegetables.


The bulk of Ellison's fortune comes from his 23.5% stake in Oracle. He also has interests in software makers NetSuite Inc. and LeapFrog Enterprises Inc., as well as property holdings, including estates in California and Newport, R.I.





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Brown plans extensive changes for school funding in 2013









SACRAMENTO — Gov. Jerry Brown will push this year to upend the way schools are funded in California, hoping to shift more money to poorer districts and end requirements that billions of dollars be spent on particular programs.


Brown said he wants more of the state's dollars to benefit low-income and non-English-speaking students, who typically are more expensive to educate.


"The reality is, in some places students don't enjoy the same opportunities that people have in other places," the governor said in an interview. "This is a way to balance some of life's chances."





He would also scale back — and possibly eliminate — dozens of rules that districts must abide by to receive billions in state dollars. Some of those requirements, such as a mandate to limit class size, have been suspended amid Sacramento's recurrent budget problems but are set to resume by 2015.


Brown and his aides are keeping most details under wraps. But advisers say his proposals, part of the budget blueprint to be unveiled early this month, will amount to the most extensive changes in decades in the relationship between school districts and state government.


His intentions are already raising concerns among school administrators, district officials and labor unions. The governor postponed earlier plans to push for the changes when the discord threatened to distract from his campaign for higher taxes. Voters approved the tax hikes in November, averting billions of dollars in education cuts.


Now, the transformation of school funding is at the top of his agenda. He says his goal is more local control.


"What the state has done for 40 years is develop one new program after another to compensate for underperforming" schools, he said. "What we have now is command and control issuing from headquarters in Sacramento."


Scores of programs set up by state mandate — for smaller classes, bilingual education and summer school, for example — have their own pots of money sent from Sacramento to pay for them. ¿The Public Policy Institute of California found that nearly 40% of every dollar sent to schools from both the state and federal governments is earmarked for such a purpose.


The programs vary in size and scope: $4.5 million to meet the needs of Native American students, $10 million to improve school Internet access, more than $618 million set aside for school buses, etc.


According to Brown's Department of Finance, 56 such programs received a total of $11.8 billion in state funds last year. ¿The result, the governor says, is a bloated school bureaucracy that takes money away from core instruction.


"You have to have administrators at the state level, district level and at the school level who are engaged in making sure this money is used for what it's supposed to be used for," Brown said. "This constant articulation of rules is a world unto itself that is not directly supporting the teacher in the classroom."


But many of the programs are popular with parents and various interest groups and have staunch defenders in the Capitol. They say lifting restrictions on how schools spend their money could hurt struggling students.


In recent years, state lawmakers have offered districts some flexibility to cope with rounds of budget cuts. The results, some say, have not always been good, leading to larger classes and sharp reductions in programs for adults trying to earn a high school degree.


Since 2008, the average class size in kindergarten through third grade has grown from 20 to 23, among the largest in the nation, according to a study from the Public Policy Institute of California. During the same period, the average class size elsewhere in the country remained at around 15 students.


In addition, "since schools have been given greater flexibility, adult education ... has been decimated throughout the state," said Jeff Freitas, secretary-treasurer of the California Federation of Teachers. "You can't just give the locals carte blanche with the money."


Shifting money to poorer schools at the expense of wealthier ones is also certain to stir protest.


Under a similar proposal the governor floated last year, the Department of Finance estimated that Compton Unified schools would see an uptick of more than $4,700 per pupil by the 2017-18 school year. Manhattan Beach Unified would get a per-student increase of just $681.


Those who have met with Brown's top education aides expect the governor to propose a similar formula in January, asking districts to account for the expenditures to make sure the funds serve higher-needs students.


Adonai Smith, a lobbyist for the Assn. of California School Administrators, said his members would not support a plan that amounts to a "redistribution of resources."


The governor says that even if funding is tweaked to favor more poor students and English learners, all schools will receive more money now that state revenue is on the uptick.


"I want to align more closely the money schools receive with the problems that teachers encounter," Brown said. "When somebody's teaching in Compton, it's a much bigger challenge than teaching in Beverly Hills."


anthony.york@latimes.com





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Barack Obama’s AMA is Reddit’s Top Post of 2012






Do you remember that Barack Obama AMA on Reddit this past August? The one that started with “Hi, I’m Barack Obama, President of the United States. Ask me anything.”


That was Reddit’s top post of 2012 with 5,598,171 page views. Reddit compiled a list of it’s top posts of the year we just said farewell to.






[More from Mashable: This Is 2012 Summed Up in One Image]


The site also handed out some “best of” awards along with a few other tidbits of info. To see if your favorite post ranked, check out the video above.


BONUS: 20 Silliest Questions Posed to Obama in reddit AMA


1. Star Trek vs Star Wars


[More from Mashable: Dying Trekkie Gets Private ‘Into Darkness’ Screening]


Click here to view this gallery.


This story originally published on Mashable here.


Tech News Headlines – Yahoo! News





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Playboy Hugh Hefner marries his 'runaway bride'


LOS ANGELES (AP) — Hugh Hefner's celebrating the new year as a married man once again.


The 86-year-old Playboy magazine founder exchanged vows with his "runaway bride," Crystal Harris, at a private Playboy Mansion ceremony on New Year's Eve. Harris, a 26-year-old "Playmate of the Month" in 2009, broke off a previous engagement to Hefner just before they were to be married in 2011.


Playboy said on Tuesday that the couple celebrated at a New Year's Eve party at the mansion with guests that included comic Jon Lovitz, Gene Simmons of KISS and baseball star Evan Longoria.


The bride wore a strapless gown in soft pink, Hefner a black tux. Hefner's been married twice before but lived the single life between 1959 and 1989.


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