Bulls hold off Wizards 87-77

After losing back-to-back games in rare lopsided fashion, Bulls coach Tom Thibodeau called on his players to ramp up the intensity.

Inserting Richard Hamilton into the starting lineup and returning Luol Deng to the court were supposed to be two ways of doing that.

While Thibodeau may not deem the Bulls cured of the low energy he said had plagued the team previously and would not be thrilled with having to shake off the league's worst team with an 87-77 victory over the Wizards on Saturday night at the United Center, having the two dependable starters back was a boost.

Deng came back from a right ankle injury but sat for much of the fourth quarter and finished with 11 points. Hamilton returned from a left torn plantar fascia in his left foot that caused him to miss 12 games, scoring nine points in 15 minutes.

Despite his returning to the bench with Hamilton's return, it was Marco Belinelli who helped the Bulls with a team-high 17 points in 33 minutes.

Playing against the worst team in the NBA would seem to be a pretty simple way to ignite an energy surge but the Bulls struggled to build a significant lead until the final five minutes when they pulled ahead by holding the Wizards scoreless in the final 4 minutes, 47 seconds.

The Wizards are now just 1-13 away from Washington and were coming off their first victory in nine games before playing the Bulls.

The Bulls, one of the league leaders in scoring defense, held the Wizards, the league's lowest scoring team, to 36.5 percent shooting. The Wizards were without leading scorer Jordan Crawford, who sat out with a left ankle injury after averaging 21.8 points per game in the last six outings.

But the Bulls shot only 39.1 percent from the field.

The Bulls knew what they were missing while Hamilton was out.

"His catch and shoot ability," Thibodeau said. "His ability to make plays, run the floor, get out in transition. Overall, his veteran experience."

Thibodeau said the Bulls would continue to monitor Hamilton's minutes.

"It's not going to change from where we started," he said of Hamilton's playing time. "He's at the stage of his career where I think you have to be careful. So we'll do that."

Thibodeau had bemoaned the Bulls' second quarter struggles.

They had scored just 19 points in the second quarter in their loss to the Rockets on Christmas and only 16 points in the second quarter in their loss to the Hawks a week ago.

It's a trend Thibodeau was eager to see end. After trailing by eight points in the first quarter, the Bulls outscored the Wizards 23-13 in the second quarter for a 45-39 halftime lead.

The other quarters were a bigger problem this time.

sryan@tribune.com

Twitter @sryantribune

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Praying Hitler in ex-Warsaw ghetto sparks emotion

WARSAW, Poland (AP) — A statue of Adolf Hitler praying on his knees is on display in the former Warsaw Ghetto, the place where so many Jews were killed or sent to their deaths by Hitler’s regime, and it is provoking mixed reactions.

The work, “HIM” by Italian artist Maurizio Cattelan, has drawn many visitors since it was installed last month. It is visible only from a distance, and the artist doesn’t make explicit what Hitler is praying for, but the broader point, organizers say, is to make people reflect on the nature of evil.

In any case, some are angered by the statue’s presence in such a sensitive site.

One Jewish advocacy group, the Simon Wiesenthal Center, this week called the statue’s placement “a senseless provocation which insults the memory of the Nazis’ Jewish victims.”

“As far as the Jews were concerned, Hitler’s only ‘prayer’ was that they be wiped off the face of the earth,” the group’s Israel director, Efraim Zuroff, said in a statement.

However, many others are praising the artwork, saying it has a strong emotional impact. And organizers defend putting it on display in the former ghetto.

Fabio Cavallucci, director of the Center for Contemporary Art, which oversaw the installation, said, “There is no intention from the side of the artist or the center to insult Jewish memory.”

“It’s an artwork that tries to speak about the situation of hidden evil everywhere,” he said.

The Warsaw ghetto was an area of the city which the Nazis sealed off after they invaded Poland. They forced Jews to live in cramped, inhuman conditions there as they awaited deportation to death camps. Many died from hunger or disease or were shot by the Germans before they could be transported to the camps.

The Hitler installation is just one object in a retrospective of Cattelan’s work titled “Amen,” a show that explores life, death, good and evil. The other works are on display at the center itself, which is housed in the Ujazdowski Castle.

The Hitler representation is visible from a hole in a wooden gate across town on Prozna Street. Viewers only see the back of the small figure praying in a courtyard. Because of its small size, it appears to be a harmless schoolboy.

“Every criminal was once a tender, innocent and defenseless child,” the center said in a commentary on the work.

Poland’s chief rabbi, Michael Schudrich, said he was consulted on the installation’s placement ahead of time and did not oppose it because he saw value in the artist’s attempt to try to raise moral questions by provoking viewers.

He said he was reassured by curators who told him there was no intention of rehabilitating Hitler but rather of showing that evil can present itself in the guise of a “sweet praying child.”

“I felt there could be educational value to it,” said Schudrich, who also wrote an introduction to the exhibition’s catalogue in which he says art can “force us to face the evil of the world.”

On Friday, a stream of people walked by to view the work, and many praised it.

“It had a big emotional impact on me. It’s provocative, but it’s not offensive,” said Zofia Jablonska, a 30-year-old lawyer. “Having him pray in the place where he would kill people — this was the best place to put it.”

Cattelan caused controversy in Warsaw in 2000 when another gallery showed his work “La Nona Ora” — or “The Ninth Hour” — which depicts the late Pope John Paul II being crushed by a meteorite. That offended many in Poland, which is both deeply Catholic and was John Paul’s homeland.

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Questcor Finds Profit for Acthar Drug, at $28,000 a Vial

Kevin Moloney for The New York Times

Christina Culver with her son Tyler, 6, at home in Colorado Springs this month. In 2007, Tyler was hospitalized when the price of Acthar soared.

THE doctor was dumbfounded: a drug that used to cost $50 was now selling for $28,000 for a 5-milliliter vial.

The physician, Dr. Ladislas Lazaro IV, remembered occasionally prescribing this anti-inflammatory, named H.P. Acthar Gel, for gout back in the early 1990s. Then the drug seemed to fade from view. Dr. Lazaro had all but forgotten about it, until a sales representative from a company called Questcor Pharmaceuticals appeared at his office and suggested that he try it for various rheumatologic conditions.

“I’ve never seen anything like this,” Dr. Lazaro, a rheumatologist in Lafayette, La., says of the price increase.

How the price of this drug rose so far, so fast is a story for these troubled times in American health care — a tale of aggressive marketing, questionable medicine and, not least, out-of-control costs. At the center of it is Questcor, which turned the once-obscure Acthar into a hugely profitable wonder drug and itself into one of Wall Street’s highest fliers.

At least until recently, that is. Now some doctors, insurance companies and investors are beginning to have doubts about whether the drug is really any better than much cheaper alternatives. Short-sellers have written scathing criticisms of the company, questioning its marketing tactics and predicting that its shareholders are highly vulnerable.

 That Acthar is even a potential blockbuster is a remarkable turn of events, considering that the drug was developed in the 1950s by a division of Armour & Company, the meatpacking company that once ruled the Union Stock Yards of Chicago. As in the 1950s, Acthar is still extracted from the pituitary glands of slaughtered pigs — essentially a byproduct of the meatpacking industry.

The most important use of Acthar has been to treat infantile spasms, also known as West syndrome, a rare, sometimes fatal epileptic disorder that generally strikes before the age of 1.

For several years, Questcor, which is based in Anaheim, lost money on Acthar because the drug’s market was so small. In 2007, it raised the price overnight, to more than $23,000 a vial, from $1,650, bringing the cost of a typical course of treatment for infantile spasms to above $100,000. It said it needed the high price to keep the drug on the market.

“We have this drug at a very high price right now because, really, our principal market is infantile spasms,” Don M. Bailey, Questcor’s chief executive, told analysts in 2009. “And we only have about 800 patients a year. It’s a very, very small — tiny — market.”

Companies often charge stratospheric prices for drugs for rare diseases — known as orphan drugs — and Acthar’s price is not as high as some. Society generally tolerates those costs to encourage drug companies to develop crucial, possibly lifesaving drugs for these often neglected diseases.

But Questcor did almost no research or development to bring Acthar to market, merely buying the rights to the drug from its previous owner for $100,000 in 2001. And while the manufacturing of Acthar is complex, it accounts for only about 1 cent of every dollar that Questcor charges for the drug.

Moreover, the tiny “orphan” market soon became much bigger. Before long, Questcor began marketing the drug for multiple sclerosis, nephrotic syndrome and rheumatologic conditions, even though there is little evidence that Acthar is more effective for those other conditions than alternatives that are far cheaper. And the company did so without being required to prove that the drug actually works. That is because Acthar was approved for use in 1952, before the Food and Drug Administration required clinical trials to show a drug is effective for a particular disease. Acthar is essentially grandfathered in.

Today, only about 10 percent of the drug’s sales are for infantile spasms. The new uses, Mr. Bailey has told analysts, represent multibillion-dollar opportunities for Acthar and Questcor, its sole maker.

The results have been beyond even the company’s wildest dreams. Sales of Acthar, which accounts for essentially all of Questcor’s sales, totaled nearly $350 million in the first nine months this year, up 145 percent from the period a year earlier. In the same period, Questcor’s earnings per share nearly tripled, to $2.12. In the five years after the big Acthar price increase in August 2007, Questcor shares rose from around 60 cents to about $50, in one of the best performances of any stock in any industry.

But in September, the shares plummeted after Aetna, the big insurer, said it would no longer pay for Acthar, except to treat infantile spasms, because of lack of evidence the drug worked for other diseases. The stock now trades at $26.93.

Peter Wickersham, senior vice president for cost of care at Prime Therapeutics, a pharmacy benefits manager that has found the drug is possibly being overused, says the huge increase in Acthar’s price for patients “just invites the type of scrutiny that it’s received.”

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FCC acts to expand in-flight Internet service

FCC Chairman Julius Genachowski addresses the media at the agency's headquarters in 2010. (Alex Wong/Getty Images / December 28, 2012)

Reuters

3:04 p.m. CST, December 28, 2012

The Federal Communications Commission has cleared the way for wider adoption of in-flight Internet services, aiming to cut by as much as 50 percent the time needed for regulatory approval.

Newly adopted rules should boost competition in this part of the U.S. mobile telecommunications market and promote "the widespread availability of Internet access to aircraft passengers," the FCC said in a statement Friday.

Since 2001, the commission has cleared companies case-by-case to market in-flight broadband services via a satellite antenna fixed to an aircraft's exterior.

Under a new framework, the licensing procedures will be simpler, the commission said.

Airlines will be able to test systems that meet the commission's standards, establish that they do not interfere with aircraft systems and then get approval of the Federal Aviation Administration, the FCC statement said.

The FAA, a Labor Department arm responsible for operating the nation's air traffic control system, said in response that the FCC's effort to establish standards "will help to streamline the process" for airlines to install Internet hookups on planes.

The goal is to speed the processing of applications by up to 50 percent, FCC Chairman Julius Genachowski said in a separate statement.

The FCC drive to promote broadband aboard planes does not change a ban on the in-flight use of cell phones, which is tied to concerns about interference with ground stations.

Genachowski earlier this month urged the Federal Aviation Administration to allow more electronics on aircraft.

The FAA announced in August that it was forming a government-industry group to study aircraft operators' policies to determine when portable electronic devices may be used safely during flight.

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Chicago marks 500 homicides

Chicago police investigate the scene of a fatal shooting in the 1000 block of North Lavergne on Chicago's West Side. (Chris Sweda/ Chicago Tribune)

On the surface, Nathaniel Jackson fit the profile of the vast majority of Chicago's homicide victims in 2012 — he had a lengthy arrest record and alleged gang ties.

But when Jackson was shot and killed Thursday night, just months after getting out of prison, he also earned the unfortunate distinction of being the 500th homicide victim in Chicago this year, a grim milestone the city reached for the first time in four years.

While Chicago had almost twice as many slayings 20 years ago as it did this year, the number 500 is a largely symbolic threshold, a reminder of the year's escalated violence and a numerical bar the city had not reached since 513 were killed in 2008.

By mid-November the city already had tallied the most homicides in four years. As of Friday, Chicago had an estimated 17 percent increase in homicides over 2011, and an 11 percent increase in shootings, according to police.

The city's rising homicide tally has been a thorny issue for Mayor Rahm Emanuel and police Superintendent Garry McCarthy for much of the year.

"It was a milestone on those days when we had zero murders and zero shootings. Those are milestones. This is a negative one, something that we never wanted," McCarthy told the Tribune Thursday afternoon, hours before Jackson, 40, was killed. "But in perspective, there's no such thing as an acceptable murder number. Even if we cut it down to 300 next year, it's still … unacceptable."

The department went back and forth Friday over whether Jackson was the 500th homicide victim so far this year, at first confirming it and then denying it, saying a homicide last week had been reclassified as a death investigation, therefore making Jackson the 499th homicide. But by late afternoon, the department once again confirmed there had been 500 homicides.

"The city has seen its 500th homicide for 2012, a tragic number that is reflective of the gang violence and proliferation of illegal guns that have plagued some of our neighborhoods," McCarthy said in a statement. "Every homicide in Chicago is unacceptable to me and the hardworking men and women of the Chicago Police Department, who, this year, achieved a record drop in overall crime throughout our city."

Chicago's homicide rate also remains a major issue for Emanuel heading into the new year. Beyond the very real human cost, there's a perception problem for the city.

The homicide rate in Chicago far exceeds the rates in New York City and Los Angeles. While the homicide rate in LA has remained relatively flat and New York's has gone down — homicides there have fallen by more than 20 percent this year — Emanuel, known for carefully trying to craft the narrative of his tenure as mayor, has seen Chicago's violence attract national attention.

The mayor was on vacation Friday with his family but issued a statement to the Tribune:

"Chicago has reached an unfortunate and tragic milestone, which not only marks a needless loss of life but serves as a reminder of the damage that illegal guns and conflicts between gangs cause in our neighborhoods," Emanuel said, adding that his efforts to lengthen the public school day and provide before- and after-school programs for youths were part of the eventual solution.

Emanuel last week also noted that overall crime in Chicago was down about 8.5 percent for the year.

This previous winter was particularly violent. In the first three months of 2012, when the city experienced unseasonable warmth, homicides ran about 60 percent ahead of the 2011 rate. As the year went on, the increase in killings leveled out but still remained higher than in previous years.

In his statement Friday, McCarthy lauded the overall drop in crime in the city and said department efforts resulted in less violence in the latter part of 2012.

"CPD has put the right people in the right places to accomplish our long-term goal of reducing crime and ensuring that our streets and our neighborhoods belong to the residents of this city," McCarthy said in his statement. "Since the gang violence reduction strategy was adopted, we have seen drastic reductions in shootings and homicides that spiked early in the year."

Some within the department feel the disbanding of two specialized units that swooped into "hot spots" to reduce violent crime had a negative impact on this year's rate. After McCarthy was installed last year as the city's top cop, he eliminated those strike forces to move those officers to beat patrols, in the hope they would have more meaningful and positive interactions with the community. The department now uses cops who work all over the city to fulfill the same function as the strike forces, but these "area teams" comprise fewer officers.

McCarthy has blamed the proliferation of guns on Chicago's streets and the splintering of large street gangs into small factions as reasons for the homicide spike.

In October, the Tribune reported that 1 in 4 homicide victims this year were affiliated with the Gangster Disciples, the city's largest street gang, and one also riddled with internal conflict.

Jackson, who authorities described as being affiliated with the Four Corner Hustlers street gang, falls into a category shared by more than 80 percent of Chicago's 2012 homicide victims: those with criminal histories.

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Fans to join Beyonce onstage at Super Bowl

NEW YORK (AP) — All the single ladies — and fellas — will have a chance to join Beyonce onstage at the upcoming Super Bowl.

Pepsi announced Friday that 100 fans will hit the stage when the Grammy-winning diva performs on Feb. 3 at the Mercedes-Benz Superdome in New Orleans. A contest that kicks off Saturday will allow fans to submit photos of themselves in various poses, including head bopping, feet tapping and hip shaking. Those pictures will be used in a TV ad introducing Beyonce’s halftime performance, and 50 people — along with a friend — will be selected to join the singer onstage.

The photo contest — at www.pepsi.com/halftime — ends Jan. 19, but Jan. 11 is the cut-off date for those interested in appearing onstage with Beyonce.

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Memphis Aims to Be a Friendlier Place for Cyclists

Lance Murphey for The New York Times

The Shelby Farms Greenline, which replaced a Memphis rail line.

MEMPHIS — John Jordan, a 64-year-old condo appraiser here, has been pedaling his cruiser bicycle around town nearly every day, tooling about at lunchtime or zipping to downtown appointments.

“It’s my cholesterol-lowering device,” said Mr. Jordan, clad in a leather vest and wearing a bright white beard. “The problem is, the city needs to educate motorists to not run over” the bicyclists.

Bike-friendly behavior has never come naturally to Memphis, which has long been among the country’s most perilous places for cyclists. In recent years, though, riders have taken to the streets like never before, spurred by a mayor who has worked to change the way residents think about commuting.

Mayor A. C. Wharton Jr., elected in 2009, assumed office a year after Bicycling magazine named Memphis one of the worst cities in America for cyclists, not the first time the city had received such a biking dishonor. But Mr. Wharton spied an opportunity.

In 2008, Memphis had a mile and a half of bike lanes. There are now about 50 miles of dedicated lanes, and about 160 miles when trails and shared roads are included. The bulk of the nearly $1 million investment came from stimulus money and other federal sources, and Shelby County, which includes Memphis, was recently awarded an additional $4.7 million for bike projects.

In June, federal officials awarded Memphis $15 million to turn part of the steel truss Harahan Bridge, which spans the Mississippi River, into a bike and pedestrian crossing. Scheduled to open in about two years, the $30 million project will link downtown Memphis with West Memphis, Ark.

“We need to make biking part of our DNA,” Mr. Wharton said. “I’m trying to build a city for the people who will be running it 5, 10, 15 years from now. And in a region known to some for rigid thinking, the receptivity has been remarkable.”

City planners are using bike lanes as an economic development tool, setting the stage for new stores and enhanced urban vibrancy, said Kyle Wagenschutz, the city’s bike-pedestrian coordinator, a position the mayor created.

“The cycling advocates have been vocal the past 10 years, but nothing ever happened,” Mr. Wagenschutz said. “It took a change of political will to catalyze the movement.”

Memphis, with a population of 650,000, is often cited among the unhealthiest, most crime-ridden and most auto-centric cities in the country. Investments in bicycling are being viewed here as a way to promote healthy habits, community bonds and greater environmental stewardship.

But as city leaders struggle with a sprawling landscape — Memphis covers about the same amount of land as Dallas, yet has half the population — their persistence has run up against another bedeviling factor: merchants and others who are disgruntled about the lanes.

A clash between merchants and bike advocates flared last year after the mayor announced new bike lanes on Madison Avenue, a commercial artery, that would remove two traffic lanes. Many merchants, like Eric Vernon, who runs the Bar-B-Q Shop, feared that removing car lanes would hurt businesses and cause parking confusion. Mr. Vernon said that sales had not fallen significantly since the bike lanes were installed, but that he thought merchants were left out of the process.

On McLean Boulevard, a narrow residential strip where roadside parking was replaced by bike paths, homeowners cried foul. The city reached a compromise with residents in which parking was outlawed during the day but permitted at night, when fewer cyclists were out. Mr. Wagenschutz called the nocturnal arrangement a “Cinderella lane.”

Some residents, however, were not mollified. “I’m not against bike lanes, but we’re isolated because there’s no place to park,” said Carey Potter, 53, a longtime resident who started a petition to reinstate full-time parking.

The changes have been panned by some members of the City Council. Councilman Jim Strickland went as far as to say that the bike signs that dot the streets add “to the blight of our city.”

Tensions aside, the mayor’s office says that the potential economic ripple effect of bike lanes is proof that they are a sound investment.

A study in 2011 by the University of Massachusetts found that building bike lanes created more jobs — about 11 per $1 million spent — than any other type of road project. Several bike shops here have expanded to accommodate new cyclists, including Midtown Bike Company, which recently moved to a location three times the size of its former one. “The new lanes have been great for business,” said the manager, Daniel Duckworth.

Wanda Rushing, a professor at the University of Memphis and an expert on urban change in the South, said bike improvements were of a piece with a development model sweeping the region: bolstering transportation infrastructure and population density in the inner city.

“Memphis is not alone in acknowledging that sprawl is not sustainable,” Dr. Rushing said. “Economic necessity is a pretty good melding substance.”

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Wall Street ends sour week with fifth straight decline

NEW YORK (Reuters) - Stocks fell for a fifth straight day on Friday, dropping 1 percent and marking the S&P 500's longest losing streak in three months as the federal government edged closer to the "fiscal cliff" with no solution in sight.

President Barack Obama and top congressional leaders met at the White House to work on a solution for the draconian debt-reduction measures set to take effect beginning next week. Stocks, which have been influenced by little else than the flood of fiscal cliff headlines from Washington in recent days, extended losses going into the close with the Dow Jones industrial average and the S&P 500 each losing 1 percent, after reports that Obama would not offer a new plan to Republicans. The Dow closed below 13,000 for the first time since December 4.

"I was stunned Obama didn't have another plan, and that's absolutely why we sold off," said Mike Shea, managing partner at Direct Access Partners LLC in New York. "He's going to force the House to come to him with something different. I think that's a surprise. The entire market is disappointed in a lack of leadership in Washington."

In a sign of investor anxiety, the CBOE Volatility Index , known as the VIX, jumped 16.69 percent to 22.72, closing at its highest level since June. Wall Street's favorite fear barometer has risen for five straight weeks, surging more than 40 percent over that time.

The Dow Jones industrial average dropped 158.20 points, or 1.21 percent, to 12,938.11 at the close. The Standard & Poor's 500 Index lost 15.67 points, or 1.11 percent, to 1,402.43. The Nasdaq Composite Index fell 25.59 points, or 0.86 percent, to end at 2,960.31.

For the week, the Dow fell 1.9 percent. The S&P 500 also lost 1.9 percent for the week, marking its worst weekly performance since mid-November. The Nasdaq finished the week down 2 percent. In contrast, the VIX jumped 22 percent for the week.

Pessimism continued after the market closed, with stock futures indicating even steeper losses. S&P 500 futures dropped 26.7 points, or 1.9 percent, eclipsing the decline seen in the regular session.

All 10 S&P 500 sectors fell during Friday's regular trading, with most posting declines of 1 percent, but energy and material shares were among the weakest of the day, with both groups closely tied to the pace of growth.

An S&P energy sector index slid 1.8 percent, with Exxon Mobil down 2 percent at $85.10, and Chevron Corp off 1.9 percent at $106.45. The S&P material sector index fell 1.3 percent, with U.S. Steel Corp down 2.6 percent at $23.03.

Decliners outnumbered advancers by a ratio of slightly more than 2 to 1 on the New York Stock Exchange, while on the Nasdaq, two stocks fell for every one that rose.

"We've been whipsawing around on low volume and rumors that come out on the cliff," said Eric Green, senior portfolio manager at Penn Capital Management in Philadelphia, who helps oversee $7 billion in assets.

With time running short, lawmakers may opt to allow the higher taxes and across-the-board federal spending cuts to go into effect and attempt to pass a retroactive fix soon after the new year. Standard & Poor's said an impasse on the cliff wouldn't affect the sovereign credit rating of the United States.

"We're not as concerned with January 1 as the market seems to be," said Richard Weiss, senior money manager at American Century Investments, in Mountain View, California. "Things will be resolved, just maybe not on a good timetable, and any deal can easily be retroactive."

Trading volume was light throughout the holiday-shortened week, with just 4.46 billion shares changing hands on the New York Stock Exchange, the Nasdaq and NYSE MKT on Friday, below the daily average so far this year of about 6.48 billion shares. On Monday, the U.S. stock market closed early for Christmas Eve, and the market was shut on Tuesday for Christmas. Many senior traders were absent this week for the holidays.

Highlighting Wall Street's sensitivity to developments in Washington, stocks tumbled more than 1 percent on Thursday after Senate Majority Leader Harry Reid warned that a deal was unlikely before the deadline. But late in the day, stocks nearly bounced back when the House said it would hold an unusual Sunday session to work on a fiscal solution.

Positive economic data failed to alter the market's mood.

The National Association of Realtors said contracts to buy previously owned U.S. homes rose in November to their highest level in 2-1/2 years, while a report from the Institute for Supply Management-Chicago showed business activity in the U.S. Midwest expanded in December.

"Economic reports have been very favorable, and once Congress comes to a resolution, the market should resume an upward trend, based on the data," said Weiss, who helps oversee about $125 billion in assets. "All else being equal, we see any further decline as a buying opportunity."

Barnes & Noble Inc rose 4.3 percent to $14.97 after the top U.S. bookstore chain said British publisher Pearson Plc had agreed to make a strategic investment in its Nook Media subsidiary. But Barnes & Noble also said its Nook business will not meet its previous projection for fiscal year 2013.

Shares of magicJack VocalTec Ltd jumped 10.3 percent to $17.95 after the company gave a strong fourth-quarter outlook and named Gerald Vento president and chief executive, effective January 1.

The U.S.-listed shares of Canadian drugmaker Aeterna Zentaris Inc surged 13.8 percent to $2.47 after the company said it had reached an agreement with the U.S. Food and Drug Administration on a special protocol assessment by the FDA for a Phase 3 registration trial in endometrial cancer with AEZS-108 treatment.

(Reporting by Ryan Vlastelica; Editing by Jan Paschal)

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Gulf War General Schwarzkopf dies

WASHINGTON (Reuters) - Norman Schwarzkopf Jr., the hard-charging U.S. Army general whose forces smashed the Iraqi army in the 1991 Gulf War, has died at the age of 78, a U.S. official said on Thursday.

The highly decorated four-star general died at 2:22 p.m. EST (1922 GMT) at his home in Tampa, Florida, said the official, who spoke on condition of anonymity. The cause of death was not immediately known.

Schwarzkopf, a burly Vietnam War veteran known to his troops as Stormin' Norman, commanded more than 540,000 U.S. troops and 200,000 allied forces in a six-week war that routed Iraqi leader Saddam Hussein's army from Kuwait in 1991, capping his 34-year military career.

Some experts hailed Schwarzkopf's plan to trick and outflank Hussein's forces with a sweeping armored movement as one of the great accomplishments in military history. The maneuver ended the ground war in only 100 hours.

Former U.S. President George H.W. Bush, who built the international coalition against Iraq after the invasion of Kuwait, said he and his wife "mourn the loss of a true American patriot and one of the great military leaders of his generation," according to a statement released by his spokesman.

Bush has been hospitalized in Houston since late November.

In a statement, the White House called Schwarzkopf "an American original" whose "legacy will endure in a nation that is more secure because of his patriotic service."

PHYSICAL PRESENCE

Schwarzkopf was a familiar sight on international television during the war, clad in camouflage fatigues and a cap. He conducted fast-paced briefings and reviewed his troops with a purposeful stride and a physical presence of the sort that clears bar rooms.

Little known before Iraqi forces invaded neighboring Kuwait, Schwarzkopf made a splash with quotable comments. At one briefing he addressed Saddam's military reputation.

"As far as Saddam Hussein being a great military strategist," he said, "he is neither a strategist, nor is he schooled in the operational arts, nor is he a tactician, nor is he a general, nor is he a soldier. Other than that, he's a great military man, I want you to know that."

Schwarzkopf returned from the war a hero and there was talk of him running for public office. Instead, he wrote an autobiography - "It Doesn't Take a Hero" - and served as a military analyst.

He also acted as a spokesman for the fight against prostate cancer, with which he was diagnosed in 1993.

Schwarzkopf was born August 22, 1934, in Trenton, New Jersey, the son of Colonel H. Norman Schwarzkopf Sr., the head of the New Jersey State Police. At the time, the older Schwarzkopf was leading the investigation of the kidnapping and murder of aviator Charles Lindbergh's infant son, one of the most infamous crimes of the 20th century.

The younger Schwarzkopf graduated from the U.S. Military Academy at West Point, New York, in 1956. He earned a masters degree in guided-missile engineering from the University of Southern California and later taught engineering at West Point.

Schwarzkopf saw combat twice - in Vietnam and Grenada - in a career that included command of units from platoon to theater size, training as a paratrooper and stints at Army staff colleges.

CHESTFUL OF MEDALS

He led his men in firefights in two tours of Vietnam and commanded all U.S. ground forces in the 1983 Grenada invasion. His chestful of medals included three Silver and three Bronze Stars for valor and two Purple Hearts for Vietnam wounds.

In Vietnam, he won a reputation as an officer who would put his life on the line to protect his troops. In one particularly deadly fight on the Batangan Peninsula, Schwarzkopf led his men through a minefield, in part by having the mines marked with shaving cream.

In 1988, Schwarzkopf was put in charge of the U.S. Central Command in Tampa, with responsibility for the Horn of Africa, the Middle East and South Asia. In that role, he prepared a plan to protect the Gulf's oil fields from a hypothetical invasion by Iraq. Within months, the plan was in use.

A soldier's soldier in an era of polished, politically conscious military technocrats, Schwarzkopf's mouth sometimes got him in trouble. In one interview, he said he had recommended to Bush that allied forces destroy Iraq's military instead of stopping the war after a clear victory.

Schwarzkopf later apologized after both Bush and Defense Secretary Dick Cheney fired back that there was no contradiction among military leaders to Bush's decision to leave some of Saddam's military intact.

After retirement, Schwarzkopf spoke his mind on military matters. In 2003, when the United States was on the verge of invading Iraq under President George W. Bush, Schwarzkopf said he was unsure whether there was sufficient evidence that Iraq had nuclear weapons.

He also criticized Donald Rumsfeld, the secretary of defense at the time, telling the Washington Post that during war-time television appearances "he almost sometimes seems to be enjoying it."

Schwarzkopf and his wife, Brenda, who he married in 1968, had two daughters and one son.

In a statement, Defense Secretary Leon Panetta praised Schwarzkopf as "one of the great military giants of the 20th century."

General Martin Dempsey, chairman of the Joint Chiefs of Staff, said he "embodied the warrior spirit," and called the victory over Hussein's forces the hallmark of his career.

(Reporting by David Alexander, Ian Simpson and Roberta Rampton; Writing by Bill Trott; Editing by Stacey Joyce and Todd Eastham)

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KOL’s Nathan Followill, Jessie Baylin welcome baby

NASHVILLE, Tenn. (AP) — The Kings of Leon family has just gotten bigger.

Drummer Nathan Followill and his wife, singer-songwriter Jessie Baylin, welcomed a baby girl on Wednesday. It’s the first baby for the couple and the third for the Followill family band. Nathan Followill’s brother Caleb and cousin Matthew also have children.

A spokesman says Violet Marlowe Followill was born at 4:01 p.m. in Nashville. She was 7 pounds, 13 ounces at birth.

The baby comes before what promises to be a busy 2013 for Kings of Leon. The Nashville, Tenn.-based band has been working on new music for an album that’s expected to be released next year. Baylin released her third album, “Little Spark,” earlier this year.

The couple has been married since 2009.

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Surgery Returns to NYU Langone Medical Center

Chang W. Lee/The New York Times

Senator Charles E. Schumer spoke at a news conference Thursday about the reopening of NYU Langone Medical Center.

NYU Langone Medical Center opened its doors to surgical patients on Thursday, almost two months after Hurricane Sandy overflowed the banks of the East River and forced the evacuation of hundreds of patients.

While the medical center had been treating many outpatients, it had farmed out surgery to other hospitals, which created scheduling problems that forced many patients to have their operations on nights and weekends, when staffing is traditionally low. Some patients and doctors had to postpone not just elective but also necessary operations for lack of space at other hospitals.

The medical center’s Tisch Hospital, its major hospital for inpatient services, between 30th and 34th Streets on First Avenue, had been closed since the hurricane knocked out power and forced the evacuation of more than 300 patients, some on sleds brought down darkened flights of stairs.

“I think it’s a little bit of a miracle on 34th Street that this happened so quickly,” Senator Charles E. Schumer of New York said Thursday.

Mr. Schumer credited the medical center’s leadership and esprit de corps, and also a tour of the damaged hospital on Nov. 9 by the administrator of the Federal Emergency Management Agency, W. Craig Fugate, whom he and others escorted through watery basement hallways.

“Every time I talk to Fugate there are a lot of questions, but one is, ‘How are you doing at NYU?’ ” the senator said.

The reopening of Tisch to surgery patients and associated services, like intensive care, some types of radiology and recovery room anesthesia, was part of a phased restoration that will continue. Besides providing an essential service, surgery is among the more lucrative of hospital services.

The hospital’s emergency department is expected to delay its reopening for about 11 months, in part to accommodate an expansion in capacity to 65,000 patient visits a year, from 43,000, said Dr. Andrew W. Brotman, its senior vice president and vice dean for clinical affairs and strategy.

In the meantime, NYU Langone is setting up an urgent care center with 31 bays and an observation unit, which will be able to treat some emergency patients. It will initially not accept ambulances, but might be able to later, Dr. Brotman said. Nearby Bellevue Hospital Center, which was also evacuated, opened its emergency department to noncritical injuries on Monday.

Labor and delivery, the cancer floor, epilepsy treatment and pediatrics and neurology beyond surgery are expected to open in mid-January, Langone officials said. While some radiology equipment, which was in the basement, has been restored, other equipment — including a Gamma Knife, a device using radiation to treat brain tumors — is not back.

The flooded basement is still being worked on, and electrical gear has temporarily been moved upstairs. Mr. Schumer, a Democrat, said that a $60 billion bill to pay for hurricane losses and recovery in New York and New Jersey was nearing a vote, and that he was optimistic it would pass in the Senate with bipartisan support. But the measure’s fate in the Republican-controlled House is far less certain.

The bill includes $1.2 billion for damage and lost revenue at NYU Langone, including some money from the National Institutes of Health to restore research projects. It would also cover Long Beach Medical Center in Nassau County, Bellevue, Coney Island Hospital and the Veterans Affairs hospital in Manhattan.

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McCormick Place development fight held over to 2013

The lengthy battle for control over property slated for hotel development adjacent to McCormick Place will extend into 2013 after a federal bankruptcy judge on Thursday gave the long-time property owners more time to show their plans have financial viability.

Judge Jack Schmetterer this month had given Olde Prairie Block Owner LLC until Thursday to show him it had plausible plans to repay its lenders, chief among them CenterPoint Properties Trust.

Olde Prairie, whose principals include Pamela Gleichman, her husband, Karl Norberg, and Gunnar Falk, have proposed selling portions of the properties for hotel development, with two deals projected to bring in $180 million. The developers said this would be sufficient to pay back lenders in full and develop the properties.

The lender, CenterPoint Properties Trust, contends the plan is not financially viable, in part because the sales agreements contained contingencies. As well, it argued that the structure of the deals would not provide sufficient funds to fully repay lenders.

Schmetterer gave Olde Prairie until Jan. 10 to show the potential buyer of the larger parcel had a firm financing commitment. He also is seeking greater clarity in the sales contract language.

The case has been closely watched because it involves parcels long eyed for development linked to McCormick Place. Speculation has swirled around possibilities,from hotels, restaurants and entertainment venues, including a possible casino, to an arena that could host the DePaul men's basketball team as well as corporate and religious assemblies.

The properties include a 3.67-acre parcel at 330 E. Cermak Rd., directly north of the administrative offices of the Metropolitan Pier and Exposition Authority, the state-city agency that owns McCormick Place, and a 1.23-acre parcel directly west of it at 230 E. Cermak, across the street from the center's West Building.

The authority, known as McPier, this month purchased a separate parcel on the 230 E. Cermak block, with an eye toward gathering enough property to expand hotel, restaurant and entertainment amenities near the convention campus.

kbergen@tribune.com

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Melton among 5 Bears earning Pro Bowl honors

Henry Melton said last week he was as good as any 4-3 defensive tackle in the NFL than himself last week and now he’s been recognized as one of the best.

Melton was selected to the Pro Bowl for the first time, one of five Chicago Bears to be named to the NFC’s team Wednesday. Cornerback Tim Jennings, who leads the league with eight interceptions, also was a first-time honoree, joining fellow cornerback Charles Tillman, defensive end Julius Peppers and wide receiver Brandon Marshall as all-star selections.

Weak-side linebacker Lance Briggs, the team leader with 118 tackles, was not selected after being named to seven consecutive Pro Bowls. Briggs could be added later as an alternate.

Melton, who has not played in the last two games because of a clavicle injury, has six sacks and has improved greatly as a two-way player against the run this season. The Pro Bowl bid can only help him in his drive for a new contract as he will be a free agent after the season.

“It’s an amazing feeling. It’s been a long journey from playing running back and defensive end and now being a Pro Bowl defensive tackle,” Melton said. “It’s an amazing feeling. There are a lot of people who had a hand in helping me, and I just appreciate it.”

Melton was a fourth-round pick in 2009, and defensive coordinator Rod Marinelli quickly got the idea to move him from end to tackle. He started to take off last season, giving the Bears a pass-rushing presence on the inside that had been missing.

“He’s a great guy, a great coach,” Melton said. “We spend a lot of hours together working, working extremely hard trying to mold me into a better man and definitely a better football player. I’ve got a lot of love for him and hopefully we can keep it going.

“I just wanted to help the defense any way I could, and when he said I had the stuff that he looks for in a premier defensive tackle, I listened to him and just got to work. If he said that he saw me as an elite defensive tackle, he’s seen everybody -- (Warren) Sapp and a lot of guys that had come before me, and for him to say that I believed in what he was saying.”

When Melton got the news, he turned to Peppers, who was selected to his eighth Pro Bowl, and said, “We’re going to be roommates?”

Not exactly. But they can have fun in Hawaii during the week of the game -- one Jennings made clear he will be playing in.

“That's the most exciting thing really, playing really,” Jennings said. “Getting voted in and I'm actually going to play. They're not going to vote you in and you're not going to play. That's not the way it's going to work. Just being over there with all the guys, all the future Hall of Famers, just taking that in. I'm going to live for the moment and just kind of soak it all in right now. But I'm excited to just see what it's really about.”

Jennings, who was benched in Week 16 last season, re-signed with the Bears during free agency on a two-year deal. He started making plays and wound up leading all cornerbacks in the NFL in fan voting. At 5-8, he hopes he serves as an inspiration for undersized kids playing sports.

“Hopefully a lot of kids that's in my situation, that's gone through my situation, can take it all in and understand that it doesn't matter what people may think about you or you think you're not good enough,” Jennings said. “If you really want it and you enjoy doing it just kind of go out there and have fun and just try to be the best that you can be and everything can take care of itself.

“I think I've been doubted a lot. To put me where I am today, I took it all in stride. I enjoyed playing sports and I enjoyed playing football and I got a whole bunch of opportunities and blessings from God. And I just wanted to make the best of it and kind of just enjoy it and make the best of it while I still can because I know it's not going to last forever. So I just want to enjoy it while I can and make the best of every opportunity I get.”

Peppers had three sacks in Sunday’s victory at Arizona to give him 11 ½ for the season. He’s the first player opposing offenses prepare for and based on how the defense has played, even in the recent struggles for the team, it’s not a surprise he was selected. Tillman gets his second consecutive Pro Bowl selection. He had 10 forced fumbles, tying him for the most in a single season since 1991. He scored his third touchdown of the season in the victory over the Cardinals with an interception.

Marshall trails only the Lions’ Calvin Johnson in receiving yards with 1,466. He also is second with 113 receptions, both numbers Bears’ single-season records. Marshall, who was the MVP of the Pro Bowl last year playing for the Miami Dolphins, also had 11 touchdown receptions.

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Analysis: Amazon’s Christmas faux pas shows risks in the cloud

(Reuters) – A Christmas Eve glitch traced to Amazon.com Inc that shuttered Netflix for users from Canada to South America highlights the risks that companies take when they move their datacenter operations to the cloud.

While the high-profile failure – at least the third this year – may cause some Amazon Web Services customers to consider alternatives, it is unlikely to severely hurt a fast-growing business for the cloud-computing pioneer that got into the sector in 2006 and has historically experienced few outages.

“The benefits still outweigh the risks,” said Global Equities Research analyst Trip Chowdhry.

“When it comes to the cloud, Amazon has got it right.”

The latest service failure comes at a critical time for Amazon, which is betting that AWS can become a significant profit generator even if the economy continues to stagnate. Moreover, it is increasingly targeting larger corporate clients that have traditionally shied away from moving critical applications onto AWS.

AWS, which Amazon started more than six years ago, provides data storage, computing power and other technology services from remote locations that group thousands of servers across areas than can span whole football fields. Their early investment made it a pioneer in what is now known as cloud computing.

Executives said last month at an Amazon conference in Las Vegas they could envision the division, which lists Pinterest, Shazam and Spotify among its fast-growing clients, becoming its biggest business, outpacing even its online retail juggernaut. Evercore analyst Ken Sena expects AWS revenue to jump 45 percent a year, from about $ 2 billion this year to $ 20 billion in 2018.

The service has boomed because it is cheap, relatively easy to use, and can be shut off, scaled back or ramped up quickly depending on companies’ needs. As the longest-running player in the game, Amazon now boasts the widest array of datacenter products and services, plus a broader stable of clients than rivals like Google Inc, Rackspace Inc and Salesforce.com Inc.

Outages such as the one that took down Netflix and other websites on the eve of one of the biggest U.S. holidays are part and parcel of the nascent business, analysts say. Moreover, outages have been a problem long before the age of cloud computing, with glitches within corporate datacenters and telecommunications hubs triggering myriad service disruptions.

COMING SOON: POST-MORTEM

Amazon’s latest service failure comes months after two high-profile outages that hit Netflix and other popular websites such as photo-sharing service Instagram and Pinterest. Industry executives, however, say its downtimes tend to attract more attention because of its outsized market footprint.

Netflix – which CEO Reed Hastings said relies on AWS for 95 percent of its datacenter needs – would not comment on whether they were pondering alternatives. Analysts say the video streaming giant is unlikely to try a large-scale switch, partly because all cloud providers experience outages.

“Despite a steady stream of these service outages, the demand for cloud services offered by AWS, Google, etc. continues to escalate because these services are still reliable enough to satisfy customer expectations,” said Jeff Kaplan, managing director of consultancy ThinkStrategies Inc.

“They offer cost-savings and elasticities that are too attractive for companies to ignore.”

But “Netflix and other organizations which rely on AWS will have to reexamine how they configure their services and allocate their service requirements across multiple providers to mitigate over-dependency and risks.”

AWS spokeswoman Rena Lunak said the outage was traced to a problem affecting customers at its oldest data center, run out of northern Virginia, which was linked also to the June failure.

The latest glitch involved a service known as Elastic Load Balancing, which automatically allocates incoming Web traffic across multiple servers in order to boost the performance of a website. She declined to provide further details about the outage, saying the company would be publishing a full post-mortem within days.

AWS has traditionally been used by start-up tech companies and smaller businesses that anticipate rapid growth in online traffic but are unwilling or unable to shell out on IT equipment and management upfront.

The company has more recently started winning more and more business from larger corporations. It has also set up a unit that caters to government agencies.

Regardless, Amazon’s clientele would do well not to put all their eggs in one basket, analysts say.

“Service outages do occur, but they are not common enough to cause users of these services to abandon today’s Cloud service providers at significant rates. In fact, every major Cloud service provider has experienced outages,” Kaplan said.

“Therefore, organizations that rely on these services are putting backup and recovery systems and protocols in place to mitigate the risks of future outages.”

(Additional reporting; editing by Edwin Chan and Richard Chang)

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DC police investigating ‘Meet the Press’ incident

WASHINGTON (AP) — District of Columbia police say they are investigating an incident in which NBC News journalist David Gregory displayed what he described as a high-capacity ammunition magazine on “Meet the Press.”

Gun laws in the nation’s capital generally restrict the possession of high-capacity magazines, regardless of whether the device is attached to a firearm. Gregory held up the magazine as a prop for Sunday’s segment, apparently to make a point during an interview, even though D.C. police say NBC had already been advised not to use it in the show.

“NBC contacted (the Metropolitan Police Department) inquiring if they could utilize a high capacity magazine for their segment. NBC was informed that possession of a high capacity magazine is not permissible and their request was denied. This matter is currently being investigated,” police spokeswoman Gwendolyn Crump said in a written statement. She declined to comment further.

While interviewing National Rifle Association CEO Wayne LaPierre for Sunday’s program, Gregory held up an object that he said was a magazine that could hold 30 rounds.

“Here is a magazine for ammunition that carries 30 bullets. Now, isn’t it possible that if we got rid of these, if we replaced them and said, ‘Well, you can only have a magazine that carries five bullets or ten bullets,’ isn’t it just possible that we could reduce the carnage in a situation like Newtown?’” Gregory asked, referring to the December 14 shooting in which a gunman massacred 20 children and 6 adults at Sandy Hook Elementary School in Connecticut.

LaPierre replied: “I don’t believe that’s going to make one difference. There are so many different ways to evade that even if you had that” ban.

It was not clear how or where Gregory obtained the magazine, and an NBC News spokeswoman declined to comment Wednesday.

“Meet the Press” is generally taped in Washington.

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Elwood V. Jensen, Pioneer in Breast Cancer Treatment, Dies at 92

Elwood V. Jensen, a medical researcher whose studies of steroid hormones led to new treatments for breast cancer that have been credited with saving or extending hundreds of thousands of lives, died on Dec. 16 in Cincinnati. He was 92.

The cause was complications of pneumonia, his son, Thomas Jensen, said.

In 2004 Dr. Jensen received the Albert Lasker Basic Medical Research Award, one of the most respected science prizes in the world.

When Dr. Jensen started his research at the University of Chicago in the 1950s, steroid hormones, which alter the functioning of cells, were thought to interact with cells through a series of chemical reactions involving enzymes.

However, Dr. Jensen used radioactive tracers to show that steroid hormones actually affect cells by binding to a specific receptor protein inside them. He first focused on the steroid hormone estrogen.

By 1968, Dr. Jensen had developed a test for the presence of estrogen receptors in breast cancer cells. He later concluded that such receptors were present in about a third of those cells.

Breast cancers that are estrogen positive, meaning they have receptors for the hormone, can be treated with medications like Tamoxifen or with other methods of inhibiting estrogen in a patient’s system, like removal of the ovaries. Women with receptor-rich breast cancers often go into remission when estrogen is blocked or removed.

By the mid-1980s, a test developed by Dr. Jensen and a colleague at the University of Chicago, Dr. Geoffrey Greene, could be used to determine the extent of estrogen receptors in breast and other cancers. That test became a standard part of care for breast cancer patients.

Scientists like Dr. Pierre Chambon and Dr. Ronald M. Evans, who shared the 2004 Lasker prize with Dr. Jensen, went on to show that many types of receptors exist. The receptors are crucial components of the cell’s control system and transmit signals in an array of vital functions, from the development of organs in the womb to the control of fat cells and the regulation of cholesterol.

Dr. Jensen’s work also led to the development of drugs that can enhance or inhibit the effects of hormones. Such drugs are used to treat prostate and other cancers.

Elwood Vernon Jensen was born in Fargo, N.D., on Jan. 13, 1920, to Eli and Vera Morris Jensen. He majored in chemistry at what was then Wittenberg College in Springfield, Ohio, and had begun graduate training in organic chemistry at the University of Chicago when World War II began.

Dr. Jensen wanted to join the Army Air Forces, but his poor vision kept him from becoming a pilot. During the war he synthesized poison gases at the University of Chicago, exposure to which twice put him in the hospital. His work on toxic chemicals, he said, inspired him to pursue biology and medicine.

Dr. Jensen studied steroid hormone chemistry at the Swiss Federal Institute of Technology on a Guggenheim Fellowship after the war. While there, he climbed the Matterhorn, one of the highest peaks in the Alps, even though he had no mountaineering experience. He often equated his successful research to the novel approach taken by Edward Whymper, the first mountaineer to reach the Matterhorn’s summit. Mr. Whymper went against conventional wisdom and scaled the mountain’s Swiss face, after twice failing to reach the summit on the Italian side.

Dr. Jensen joined the University of Chicago as an assistant professor of surgery in 1947, working closely with the Nobel laureate Charles Huggins. He became an original member of the research team at the Ben May Laboratory for Cancer Research (now the Ben May Department for Cancer Research) in 1951, and became the director after Dr. Huggins stepped down.

He came to work at the University of Cincinnati in 2002, and continued to do research there until last year.

His first wife, the former Mary Collette, died in 1982. In addition to his son, Dr. Jensen is survived by his second wife, the former Hiltrud Herborg; a daughter, Karen C. Jensen; a sister, Margaret Brennan; two grandchildren; and three great-grandchildren.

Dr. Jensen’s wife was found to have breast cancer in 2005. She had the tumor removed, he said in an interview, but tested positive for the estrogen receptor and was successfully treated with a medication that prevents estrogen synthesis.

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Toyota to pay big to settle suits

Toyota Motor Corp., moving to put years of legal problems behind it, has agreed to pay more than $1 billion to settle dozens of lawsuits relating to sudden acceleration.

The proposed deal, filed Wednesday in federal court, would be among the largest ever paid out by an automaker. It applies to numerous suits claiming economic damages caused by safety defects in the automaker's vehicles, but does not cover dozens of personal injury and wrongful-death suits that are still pending around the nation.

The suits were filed over the last three years by Toyota and Lexus owners who claimed that the value of their vehicles had been hurt by the potential for defects, including floor mats that could cause the vehicles to surge out of control.

ROAD TO RECALL: Read The Times' award winning coverage

In addition, Toyota said it is close to settling suits filed by the Orange County district attorney and a coalition of state attorneys general who had accused the automaker of deceptive business practices. The costs of those agreements would be included in a $1.1-billion charge the Japanese automaker said it will take against earnings to cover the actions.

"We concluded that turning the page on this legacy legal issue through the positive steps we are taking is in the best interests of the company, our employees, our dealers and, most of all, our customers," Christopher Reynolds, Toyota's chief counsel in the U.S., said in a statement.

Toyota's lengthy history of sudden acceleration was the subject of a series of Los Angeles Times articles in 2009, after a horrific crash outside San Diego that took the life of an off-duty California Highway Patrol officer and his family.

Under terms of the agreement, which has not yet been approved in court, Toyota would install brake override systems in numerous models and provide cash payments from a $250-million fund to owners whose vehicles cannot be modified to incorporate that safety measure.

In addition, the automaker plans to offer extended repair coverage on throttle systems in 16 million vehicles and offer cash payments from a separate $250-million fund to Toyota and Lexus owners who sold their vehicles or turned them in at the end of a lease in 2009 or 2010. The total value of the settlement could reach $1.4 billion, according to Steve Berman, the lead plaintiff attorney in the case.

The lawsuits, filed over the last several years, had been seeking class certification.

News of the agreement comes scarcely a week after Toyota agreed to pay a record $17.35-million fine to the National Highway Traffic Safety Administration for failing to report a potential floor mat defect in a Lexus SUV. Those come on top of almost $50 million in fines paid by Toyota for other violations related to sudden acceleration since 2010.

The massive settlement does not, however, put Toyota's legal woes to rest. The automaker still faces numerous injury and wrongful death claims around the country, including a group of cases that have been consolidated in federal court in Santa Ana, and other cases awaiting trial in Los Angeles County.

The first of the federal cases, involving a Utah man who was killed in a Camry that slammed into a wall in 2010, is slated for trial in mid-February.

The California cases are set to begin in April, among them a suit involving a 66-year-old Upland woman who was killed after her vehicle allegedly reached 100 miles per hour and slammed into a tree.

Edgar Heiskell III, a West Virginia attorney who has a dozen pending suits against Toyota, said he is preparing to go to trial this summer in a case that involved a Flint, Mich., woman who was killed when her 2005 Camry suddenly accelerated near her home.

"We are proceeding with absolute confidence that we can get our cases heard on the merits and that we expect to prove defects in Toyota's electronic control system," he said.

Toyota spokesman Mike Michels said the settlement would have no bearing on the personal injury cases.

"All carmakers face these kinds of suits," he said. "We'll defend those as we normally would."

The giant automaker's sudden acceleration problems first gained widespread attention after the August 2009 crash of a Lexus ES outside San Diego.

That accident set off a string of recalls, an unprecedented decision to temporarily stop sales of all Toyota vehicles and a string of investigations, including a highly unusual apology by Toyota President Akio Toyoda before a congressional committee. Eventually Toyota recalled more than 10 million vehicles worldwide and has since spent huge sums — estimated at more than $2 billion, not including Wednesday's proposed settlement — to repair both its automobiles and public image.

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Ex-Bull Asik dominates as Rockets trounce Chicago 120-97

Rockets beat the Bulls 120-97 at the United Center.

Using a more profane term, Joakim Noah light-heartedly said he hoped Omer Asik played like garbage in Tuesday's homecoming game.

Instead, the Bulls did.

Remember that huge road victory over the Knicks on Friday? That was so 96 hours ago. Posting a second straight double-digit loss, the Bulls got blown out 120-97 by Asik and the Rockets in their first Christmas Day home game in 15 years.

It was only the second time in Tom Thibodeau's tenure that the Bulls have dropped consecutive games by double digits.

Don't let a fun, fourth-quarter rally featuring Taj Gibson at center and four perimeter players fool anybody. The Bulls tied for the most points allowed in Thibodeau's tenure, surrendered 56.1 percent shooting and were outrebounded for the fifth time in seven games.

"We were completely outplayed right from the start," Thibodeau said. "My job is to have them ready. Obviously, we're not ready. So that part's on me."

Asik's dominant night featured 20 points, 18 rebounds and three blocks, falling one point and rebound shy of career highs. James Harden added 26 points, Chandler Parsons had 23 and Jeremy Lin finished with 20 points and 11 assists in the Rockets' fourth straight win.

Houston enjoyed a 29-8 advantage in fast-break points and 66-32 in points in the paint.

"Our defense wasn't very good," Noah said. "Terrible Christmas.

"Omer was great rolling to the basket. We should've fouled him more."

To make matter worse, Luol Deng turned his right ankle. Limping badly after the game, he said he'll see if he can play Wednesday against the Pacers.

Nate Robinson scored all 27 of his points in the second half to lead the Bulls, who trailed by 35 on Asik's tip-in with 4 minutes, 58 seconds left in the third quarter. Marquis Teague came off the bench to team with Robinson and provide some energy, finishing with eight points, as the Bulls once closed to within 15.

Just like on Saturday in Atlanta, the Bulls collapsed in the second quarter, getting outscored 31-19.

The Bulls have been outscored 67-35 in the last two second quarters.

"We had a bad fourth quarter in New York," Thibodeau said. "We had a bad performance in Atlanta. And we followed it up. Things can change very quickly in this league. If you don't have an edge, you're not going to win without playing with intensity.

"We're not going to outscore people. So we have the wrong mindset right now."

Asik has 13 double-doubles.

"It's been fun," he said. "It's a young team. ... We're getting better each game."

When Asik blocked Carlos Boozer and Harden scored on a three-point play in transition, the big man remained stoic, never cracking a smile. His teammates' faces said it all.

"Omer is a big-time player," Rockets coach Kevin McHale said. "He was blocking shots, playing big, getting the break going. It was a big-time game."

kcjohnson@tribune.com

Twitter @kcjhoop

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Jessica Simpson’s Christmas tweet seems to confirm pregnancy rumor

(Reuters) – U.S. actress, singer and fashion designer Jessica Simpson sent a Christmas Twitter message that apparently confirms media rumors that she is pregnant – showing a photo of her daughter Maxwell with the words “Big Sis” spelled out in sand.

The picture’s caption reads “Merry Christmas from my family to yours.”

Simpson had her first child, Maxwell Drew Johnson, in May. She has since become a spokeswoman for Weight Watchers.

A representative for Simpson was not immediately available for comment.

Simpson rose to fame as a teen pop star and became a household name after starring in a TV reality show with her then-husband Nick Lachey, a member of the boy band 98 Degrees. The pair divorced after three years of marriage.

She went on to star in the 2005 film version of “The Dukes of Hazzard” and re-invented herself as a country singer in 2008. She currently designs apparel, accessories and other fashion products and is a mentor on the TV contest “Fashion Star.”

Simpson’s fiancé, Eric Johnson, is a former U.S. professional football player whose career spanned seven seasons for both the San Francisco 49ers and New Orleans Saints. (Reporting By Mary Wisniewski and Paul Simao)

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NORAD says record number of calls to track Santa

PETERSON AIR FORCE BASE, Colo. (AP) — Most of the thousands of children who call the annual Santa-tracking operation at a Colorado Air Force Base on Christmas Eve ask the usual questions: “Where’s Santa, and when will he get here?”

So volunteer Sara Berghoff was caught off-guard Monday when a child called to see if Santa could be especially kind this year to the families affected by the Connecticut school shooting.

“I’m from Newtown, Connecticut, where the shooting was,” she remembers the child asking. “Is it possible that Santa can bring extra presents so I can deliver them to the families that lost kids?”

Sara, just 13 herself, was surprised but gathered her thoughts quickly. “If I can get ahold of him, I’ll try to get the message to him,” she told the child.

Sara was one of hundreds of volunteers at NORAD Tracks Santa who answered thousands of calls, program spokeswoman Marisa Novobilski said. Spokeswoman 1st Lt. Stacey Fenton said that as of midnight Tuesday, trackers answered more than 111,000 calls, breaking last year’s record of 107,000.

First lady Michelle Obama, who is spending the holidays with her family in Hawaii, also joined in answering calls as she has in recent years. She spent about 30 minutes talking with children from across the country, telling some who asked that her favorite toys growing up were Barbie dolls and an Easy Bake oven.

She also received an invitation to visit an 11-year-old boy in Fort Worth, Texas, and a request to put her husband on the phone. “He’s not here right now. But you know what, I will tell him you asked about him. OK?” she replied.

The North American Aerospace Defense Command, a joint U.S.-Canada command responsible for protecting the skies over both nations, tracks Santa from its home at Peterson Air Force Base.

NORAD and its predecessor have been fielding Christmas Eve phone calls from children — and a few adults — since 1955. That’s when a newspaper ad listed the wrong phone number for kids to call Santa. Callers ended up getting the Continental Air Defense Command, which later became NORAD. CONAD commanders played along, and the ritual has been repeated every year since.

After 57 years, NORAD can predict what most kids will ask. Its 11-page playbook for volunteers includes a list of nearly 20 questions and answers, including how old is Santa (at least 16 centuries) and has Santa ever crashed into anything (no).

But kids still manage to ask the unexpected, including, “Does Santa leave presents for dogs?”

A sampling of anecdotes from the program this year:

___

THE REAL DEAL: A young boy called to ask if Santa was real.

Air Force Maj. Jamie Humphries, who took the call, said, “I’m 37 years old, and I believe in Santa, and if you believe in him as well, then he must be real.”

The boy turned from the phone and yelled to others in the room, “I told you guys he was real!”

___

DON’T WORRY, HE’LL FIND YOU: Glenn Barr took a call from a 10-year-old who wasn’t sure if he would be sleeping at his mom’s house or his dad’s and was worried about whether Santa would find him.

“I told him Santa would know where he was and not to worry,” Barr said.

Another child asked if he was on the nice list or the naughty list.

“That’s a closely guarded secret, and only Santa knows,” Barr replied.

___

TOYS IN HEAVEN: A boy who called from Missouri asked when Santa would drop off toys in heaven.

His mother got on the line and explained to Jennifer Eckels, who took the call, that the boy’s younger sister died this year.

“He kept saying ‘in heaven,’” Eckels said. She told him, “I think Santa headed there first thing.”

___

BEST OF: Choice questions and comments wound up posted on a flip chart.

“Big sister wanted to add her 3-year-old brother to the naughty list,” one read.

“Are there police elves?” said another.

“How much to adopt one of Santa’s reindeer?”

“What’s the best way to booby-trap the living room to trap Santa?”

“When you see Santa, tell him hello for me, I never see him.”

“How does Santa make iPads?”

____

INTERNATIONAL FLAVOR: NORAD got calls from 220 countries and territories last year, and non-English-speakers called this year as well.

Volunteers who speak other languages get green Santa hats and a placard listing their languages so organizers can find them quickly.

“Need a Spanish speaker!” one organizer called as he rushed out of one of three phone rooms.

___

HE KNOWS WHEN YOU’RE AWAKE: At NORAD’s suggestion, volunteers often tell callers that Santa won’t drop off the presents until all the kids in the home are asleep.

“Ohhhhhhh,” said an 8-year-old from Illinois, as if trying to digest a brand-new fact.

“I’m going to be asleep by 4 o’clock,” said a child from Virginia.

“Thank you so much for that information,” said a grateful mom from Michigan.

___

CHRISTMAS EVE IN AFGHANISTAN: Five U.S. service personnel answered calls from Afghanistan for about 90 minutes through a conferencing hookup.

“They had a great time,” said Novobilski, the program spokeswoman.

NORAD wanted to set up a call center in Afghanistan but that proved too complex, she said.

___

HEY, MR. ELF: “Mr. Elf,” said one caller, “This is Adam, and I’ve been really good this year.”

___

FOR GEARHEADS: For people who want to know the specs of Santa’s sleigh, NORAD offers a trove of tidbits, including:

Weight at takeoff: 75,000 GD (gumdrops).

Propulsion: 9 RP (reindeer power).

Fuel: Hay, oats and carrots (for reindeer).

Emissions: Classified.

___

Online:

Track Santa online at http://www.noradsanta.org

___

Follow Dan Elliott at http://twitter.com/DanElliottAP

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One Illness After Another, and an Eviction Looming

As the water surged through the basement apartment of a Coney Island town house during Hurricane Sandy, Jeffrey Cowen, a cherubic and chatty sort, tried to calm down the two tenants who had remained with him in the building.

Michelle V. Agins/The New York Times

Jeffrey Cowen, 51, in his Coney Island apartment. His illnesses have led to his falling about $8,400 behind in his rent.

For the past 100 years, The New York Times Neediest Cases Fund has provided direct assistance to children, families and the elderly in New York. To celebrate the 101st campaign, an article will appear daily through Jan. 25. Each profile will illustrate the difference that even a modest amount of money can make in easing the struggles of the poor.

Last year donors contributed $7,003,854, which was distributed to those in need through seven New York charities.

2012-13 Campaign

Previously recorded:

$3,512,137

Recorded Friday:

302,605

*Total:

$3,814,742

Last year to date:

$3,648,728

*Includes $709,856 contributed to the Hurricane Sandy relief efforts.

The Youngest Donors

If your child or family is using creative techniques to raise money for this year’s campaign, we want to hear from you. Drop us a line on Facebook or talk to us on Twitter.

“The water is not here yet, and we have two more floors and the roof,” Mr. Cowen, 51, recalled telling them, as everybody stood in his first-floor studio apartment. “It’s not time to panic. Even if the water gets in here, we’re still not going to panic, because that’s how people get hurt.”

This levelheadedness seems to inform his attitude about his illnesses — spinal stenosis, diabetes, hypertension and heart problems. Mr. Cowen has been to the operating room enough, he said, that he has developed a “shtick”:

“I say to the doctors, ‘Listen up — Rule No. 1: I don’t want to hear “Oops!”

“ ‘Rule No. 2: I don’t want to hear: “Dr. Brown, we haven’t seen anything like this since med school.” ’ ”

Nonetheless, Mr. Cowen’s illnesses have led to his falling about $8,400 behind in his rent; he could face eviction proceedings beginning next month.

Mr. Cowen, a counselor at John V. Lindsay Wildcat Academy, a charter school for at-risk youth, was born in Washington Heights in Manhattan but grew up with two siblings in Portsmouth, Ohio.

Mr. Cowen’s father owned a pallet-making business located in Portsmouth and Columbus, Ohio. The business thrived until the main plant in Portsmouth burned to the ground, he said.

The family eventually received welfare benefits.

Mr. Cowen received a bachelor’s degree in psychology from the Ohio State University, and another in political science from Antioch College. He went to Los Angeles after his five-year marriage ended in divorce. In 2000, an online relationship brought him to New York, and when the relationship ended, he stayed.

In 2007, he began feeling “a tingling down my spine.” An M.R.I. revealed that he had spinal stenosis, a narrowing of the spinal column that puts pressure on the cord. He had surgery to remove a piece of bone from his vertebrae to relieve pressure, he said.

In June 2010, he began feeling sick, and so run-down that he frequently missed work. When his sick days and vacation days were used up and he could not work, he had no income. About four months later, he had a heart attack, and had stents implanted. Because he had worked sporadically, he had fallen $3,300 behind in his rent and utilities, he said. Within nine months, he had recovered financially, he said.

“Around early fall of last year, I became weaker and weaker,” Mr. Cowen said. He exhausted his vacation and sick days and again began falling behind on his rent and bills. He said he did not seek medical care because disability payments would not be enough for him to make his rent. Being out of the hospital allowed him to work, if only intermittently.

“I popped children’s aspirin like M & M’s just to keep the blood flowing,” he said, but eventually he went to the hospital, where he found out he needed heart surgery — a triple bypass. He also found out that he had hypertension and diabetes.

Now, Mr. Cowen is back at work, trying to keep up with his rent and to pay his landlord extra each month to bring his rent current. He said he was relieved when he received assistance from the Metropolitan Council on Jewish Poverty, a beneficiary agency of UJA-Federation of New York, one of the organizations supported by The New York Times Neediest Cases Fund. Met Council drew $1,387 from the fund to help him pay outstanding electric and heating bills.

Mr. Cowen is applying to various sources for ways to pay the back rent, but he said that soon his landlord might have to initiate eviction proceedings.

And while he acknowledges that sometimes the whole situation “feels like a house of cards,” he does not feel sorry for himself. “It’s not unusual right now,” he said. “In this country, working people are often one medical disaster away from financial ruin.”

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