Tuesday, 22 April 2014

Toyota sells 2.58 million vehicles, outselling GM


Toyota kept its position at the top in global vehicle sales for the first quarter of this year, outpacing rivals General Motors and Volkswagen.


Toyota Motor Corp. said Wednesday that it sold a record 2.583 million vehicles in the January-March period, putting the Japanese automaker ahead of Detroit-based GM at 2.42 million and Volkswagen of Germany at 2.4 million.


Toyota's first quarter sales rose by more than 6 percent from the same period the previous year. GM's sales grew 2 percent, while Volkswagen's added nearly 6 percent.


Toyota finished first last year with a record 9.98 million vehicles in sales, remaining the top-selling automaker for a second year in a row. General Motors Co. finished second and VW third.


Toyota is targeting sales of more than 10 million vehicles this year. No automaker has sold that many in a year. Toyota officials say being No. 1 is not that important, and they want to be No. 1 in customer satisfaction.


But competition is intense among all the world's automakers, and clinching the top-selling automaker crown is not taken lightly.


By region, Toyota's first quarter sales grew in Japan as consumers rushed to buy ahead of a rise in the sales tax, which kicked in April 1. Its sales also grew in the rest of Asia, the Middle East, South America and Africa, according to Toyota.


General Motors had been the No. 1 selling automaker for more than seven decades before losing the title to Toyota in 2008.


GM retook the sales crown in 2011, when Toyota's production was hurt by the quake and tsunami in northeastern Japan. But the maker of the Prius hybrid, Camry sedan and Lexus luxury model made a comeback in 2012, and kept that lead in 2013.


GM's image has taken a hit after a February recall of 2.6 million vehicles for defective ignition switches, a defect the company tied to 13 deaths.


GM and the U.S. government are investigating why it took the company more than a decade to recall the cars after engineers first learned of the switch problems.


Toyota also underwent a massive recall debacle in the U.S., announcing recall after recall starting in 2009. It paid a $1.2 billion earlier this year to settle a U.S. Justice Department investigation into charges of covering up problems that caused unintended acceleration in some cars.


From 2010 through 2012, Toyota paid fines totaling more than $66 million for delays in reporting safety problems. Toyota agreed last year to pay more than $1 billion to owners of its cars who claimed to have suffered economic losses because of the recalls. The company still faces wrongful death and injury lawsuits.


Volkswagen is growing so quickly in China and other relatively new markets it is close on the heels of its two longtime rivals.



Ericsson in $260 million first-quarter profit


Wireless equipment maker Ericsson says first-quarter profit increased to 1.7 billion kronor ($260 million) mainly because of restructuring and licensing income even as revenue fell by 9 percent compared to the same period a year earlier.


Net sales in the period dropped to 47.5 billion kronor from 52 billion kronor. Net profit in the same period last year was 1.2 billion kronor.


The world's largest supplier of mobile phone infrastructure said Wednesday that the main reason for the sales decline was lower revenue from mobile broadband projects in North America and reduced activity in Japan.


But the Sweden-based company was upbeat saying it expects "key contracts" will positively impact sales in the second half of the year.



FedEx sued over deadly California bus crash


The mother of a 17-year-old honors student who was among 10 people killed in a fiery Northern California bus crash sued FedEx on Tuesday, alleging that its trucks have a history of catching fire.


The negligence suit that seeks $100 million in damages is the first filed in connection with the April 10 freeway crash in Orland, said A. King Aminpour, the attorney for the plaintiffs.


The suit was filed in Los Angeles County Superior Court on behalf of Rosa Rivera, mother of Jennifer Bonilla of Los Angeles.


The Dorsey High School student had earned a college scholarship. She and other teens were heading north for a free tour of Humboldt State University when the bus was struck head-on by a FedEx truck.


Dozens escaped through windows before the bus exploded into towering flames, but five students, three adult chaperones and both drivers died.


"She had her whole future before her," Aminpour said of Bonilla. "She was the first in her family to ever go to college."


The California Highway Patrol has not determined the cause of the crash 100 miles north of Sacramento.


Some witnesses reported that the FedEx truck was on fire before the crash, and the lawsuit alleges that FedEx trucks have a history of catching fire from mechanical problems, driver error or improper cargo loading.


"Our heartfelt condolences remain with everyone affected by this tragic accident," Memphis, Tenn.-based FedEx Corp. said in a statement. "We remain focused on providing support to those affected and cooperating with the authorities as they conduct their investigation. This is not the time for us to discuss potential litigation."


The suit also names the estate of the FedEx driver and the bus owner, Silverado Stages, as defendants. The bus lacked adequate exit doors that would have allowed passengers to escape after the crash, the lawsuit contends.


A message seeking comment from a Silverado Stages executive after hours Tuesday was not immediately returned.



Wanted Islamist escapes assassination in Sidon


SIDON, Lebanon: An Islamist activist from an Al-Qaeda affiliated group survived Wednesday an assassination attempt in the southern Palestinian refugee camp of Ain al-Hilweh.


Security sources told The Daily Star Mohammad Abdullah Jumaa traded gunfire with two attackers who surprised him as he left Al-Nour mosque after performing the dawn prayer.


The sources said Jumaa, a member of the Abdullah Azzam Brigades, is wanted by Lebanese authorities on multiple charges.



Stocks move higher as more earnings roll in


Stocks are moving higher as more U.S. companies report solid earnings.


Netflix rose 6 percent after the online video streaming service said its first-quarter earnings soared.


Botox maker Allergan surged 15 percent after Valeant Pharmaceuticals said it has teamed up with activist investor Bill Ackman to make a bid for the company.


The market is headed for its sixth gain in a row, which would be the longest winning streak since September.


The Standard & Poor's 500 index rose nine points, or 0.5 percent, to 1,880 as of noon Tuesday.


The Dow Jones industrial average rose 88 points, or 0.5 percent, to 16,537. The Nasdaq composite rose 38 points, or 0.9 percent, to 4,160.


Bond prices fell. The yield on the 10-year Treasury note rose to 2.74 percent.



Experts tapped to help judge in Detroit bankruptcy


A judge overseeing Detroit's bankruptcy has selected experts from Boston and New York to advise him on the city's plan to get out of Chapter 9.


Marti Kopacz (KO'-paz) of Phoenix Management Services will be the court's expert witness. She will give opinions on whether Detroit's plan is feasible and whether the forecast for future revenues and expenses is reasonable.


Kopacz will testify this summer when Judge Steven Rhodes holds a trial on Detroit's bankruptcy exit plan.


Rhodes also is tapping former New York Lt. Gov. Richard Ravitch for help. Ravitch won't be testifying, but he'll be a consultant working for free.


Detroit hopes to leave bankruptcy by fall. Thousands of retirees and current workers soon will vote on cuts in pension payouts.



McDonald's profit slips amid weak sales


McDonald's said that its profit slipped in the first quarter as global sales remained weak for the world's biggest hamburger chain.


The Oak Brook, Ill.-based company said global sales edged up 0.5 percent at established restaurants. In the flagship U.S. market, the figure fell 1.7 percent as customer traffic declined. The company cited "challenging industry dynamics and severe winter weather."


It said global sales for April are expected to be modestly positive. April would reflect the first full month that Taco Bell has offered its national breakfast menu, which it has pitched a challenge to McDonald's dominance in the morning hours.


The decline in sales and customer traffic in the U.S. reflects the struggles McDonald's is facing as eating habits change and competition intensifies. After a decade of growth, annual sales at established U.S. locations fell for the first time last year. The continued decline in the U.S. in the first quarter of 2014 is in stark contrast to Chipotle Mexican Grill Inc., which last week said sales at established locations rose 13.4 percent.


McDonald's CEO Don Thompson has noted in the past there seemed to be a split in the fast-food industry, with people who have more spending money heading off the chains that charge more. He said McDonald's will focus on underscoring value for its more cash-strapped customers, but the chain is also offering more premium offerings such as its new Bacon Clubhouse Burger.


In a statement Tuesday, Thompson said McDonald's is focusing "creating the best overall experience for our customers." To adapt to shifting trends, for instance, the chain has been rolling out new prep tables in its U.S. kitchens that can hold more sauces and toppings.


The idea is to eventually offer greater customization on its menu while keeping orders easy to assemble for workers. Speed and accuracy have been an issue for McDonald's as it stepped up the pace of new menu items in the past year.


In Europe, McDonald's said sales rose 1.4 percent at established locations in the latest quarter. The figure rose 0.8 percent in the unit that encompasses Asia, the Middle East and Africa, despite a decline in traffic.


For the quarter ended March 31, net income fell to $1.2 billion, or $1.21 per share. Analysts expected $1.24 per share.


A year ago, the company earned $1.27 billion, or $1.26 per share. McDonald's Corp. noted that the year-ago results were boosted by income tax benefits.


Revenue edged up to $6.7 billion, but was shy of the $6.71 billion Wall Street expected.


Shares of McDonald's edged up 83 cents to $100.50 in pre-market trading.



Bloomberg invests $5M in solar-powered lamp


Former New York Mayor Michael Bloomberg's foundation has announced a $5 million investment in an artsy-looking solar-powered lamp designed for use in off-grid populations in Africa.


The announcement was made Tuesday by Bloomberg Philanthropies.


It says the lamp, called Little Sun, will provide clear, affordable energy to places dependent on costly and toxic kerosene lighting in sub-Saharan Africa.


The foundation will provide a low-interest rate loan to help the business grow.


The portable lamp is created by Danish artist Olafur Eliasson and engineer Frederik Ottesen. It lasts two to three years before needing a new battery.


The Little Sun project was launched in 2012 at the Tate Modern museum in London.


Consumers in the U.S. and Europe also can buy Little Sun at some museums and stores.



RadioShack store ops executive resigns


RadioShack, which recently announced that it plans to close up to 1,100 stores, says that Troy Risch, its executive vice president of store operations has resigned.


In a filing with the Securities and Exchange Commission, RadioShack Corp. said that Risch resigned on Friday to pursue other interests. The retailer said Risch's duties will temporarily be handled by other managers, effective immediately.


Last month RadioShack said that it plans to close about a fifth of its U.S. locations. The closings would leave the company with more than 4,000 U.S. stores. That's still far more than Best Buy, which has roughly 1,400 U.S. locations, and makes RadioShack stores nearly as common as Wal-Mart locations.


RadioShack has been fighting to update its image and compete with online and discount retailers. Long known as a destination for batteries and obscure electronic parts, the company has sought to remake itself as a specialist in wireless devices and accessories. But growth in the wireless business is slowing, as more people have smartphones and see fewer reasons to upgrade.


Aside from slashing costs and shuffling management, RadioShack has been renovating its stores with a more modern look.


Shares of RadioShack gained 5 cents, or 3.5 percent, to $1.50 in premarket trading on Tuesday shortly before the market open.



BC-Noon Oil


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Drones unearth more details about Chaco culture


Recently published research describes how archaeologists outfitted a customized drone with a heat-sensing camera to unearth what they believe are ceremonial pits and other features at the site of an ancient village in New Mexico.


The discovery of the structures hidden beneath layers of sediment and sagebrush is being hailed as an important step that could help archaeologists shed light on mysteries long buried by eroding desert landscapes from the American Southwest to the Middle East. The results of the research were published earlier this month in the Journal of Archaeological Science.


Since the 1970s, archaeologists have known that aerial images of thermal infrared wavelengths of light could be a powerful tool for spotting cultural remains on the ground. But few have had access to million-dollar satellites, and helicopters and planes have their limits.


Now, technology is catching up with demand.


Archaeologists can get quality images from very specific altitudes and angles at any time of day and in a range of weather using inexpensive drones and commercially available cameras that have as much as five times the resolution of those available just a few years ago. A basic eight-rotor drone starts at about $3,700.


Jesse Casana, an archaeologist at the University of Arkansas, teamed up with University of North Florida professor John Kantner last summer to test the drones in a remote area of northwestern New Mexico, south of Chaco Canyon — once the cultural and religious center of ancient Puebloan society.


Kantner has been studying a village in the area known as Blue J. He found two households at the village's edge through test digs, but much of Blue J's secrets remain buried under eroded sandstone and wind-blown silt.


Blue J was most active close to 1,000 years ago, around the same time as Chaco. So finding structures such as kivas and great houses at the site would help solidify the theory that Chaco's influence spread far and wide. Kivas are circular, subterranean meeting places associated with ceremonial activities. Great houses were massive multistory stone buildings, some of which were oriented to solar and lunar directions and offered lines of sight between buildings to allow for communication.


Aside from dozens of anthills, the drone picked up on much larger, unnatural circular shapes that are thought to be kivas. From the surface, these structures are invisible, Kantner said. He said crews can use the drone information to plan a dig at the location to search for the archaeological remnants.


"Really within a few hours we were able to survey this area that took me a long time, years of what we call ground reconnaissance and excavation to see what's below the surface," he said. "So this is great for quickly and pretty cheaply being able to find sites."


There already is talk about using the drones in other dry environments such as Saudi Arabia and Cyprus, where the difference between daytime and nighttime temperatures would be great enough to allow the heat signatures of buried stone structures or other features to pop up on the thermal images.


Some researchers also have suggested using drone technology to search for a lost Spanish fort in Georgia and along the banks of Florida's St. Johns River, Kantner said.


Sarah Parcak, an archaeologist at the University of Alabama in Birmingham who wasn't involved in the New Mexico research, said she's excited about the potential for using the technology in her work in Egypt. She said drones outfitted with sensors can hone in on what's most important in archaeology — the landscape and features that are buried beneath the ground.


"We think we know a site, and we've been working there for a long time, and lo and behold, new technologies show us things we weren't even expecting," Parcak said. "The great thing about remote sensing is it really gives you a new set of eyes in the sky to see what is otherwise invisible."


The drones have their limits. For example, flights usually are less than 15 minutes depending on battery power and camera weight, and the eight-rotor mini copters have been known to stop and come crashing to the ground.


There also are questions about whether federal regulators will toughen rules governing drone flights.


Kantner said as drones become more reliable, their ability to survey vast areas quickly will become even more important. He pointed to potential threats of oil and gas development and coal and uranium mining throughout the Chaco region.


"There are resources that we obviously need for our nation's self-sufficiency, but on the other hand, we don't want to give away our cultural patrimony by losing these archaeology sites," he said.



Louisiana Lawmaker Pulls Bill To Make Bible State's Official Book



A parishioner holds the Holy Bible during a service. A Louisiana law that would have made the Bible the state's official book has been withdrawn.i i


hide captionA parishioner holds the Holy Bible during a service. A Louisiana law that would have made the Bible the state's official book has been withdrawn.



Kevin Rivoli/The Post-Standard /Landov

A parishioner holds the Holy Bible during a service. A Louisiana law that would have made the Bible the state's official book has been withdrawn.



A parishioner holds the Holy Bible during a service. A Louisiana law that would have made the Bible the state's official book has been withdrawn.


Kevin Rivoli/The Post-Standard /Landov


The sponsor of a bill that would have made the Holy Bible the official book of Louisiana has withdrawn the measure ahead of a full vote in the state House of Representatives, saying the proposed law has become a distraction.


As we reported last week, a mix of Republicans and Democrats had moved the largely symbolic bill, sponsored by Rep. Thomas Carmody of Shreveport, out of committee on an 8-5 vote.


The bill had been scheduled for a floor vote on Monday, but Carmody said he'd told the constituent who asked for the bill that he "was going to go ahead and return the bill to the calendar [on Monday] and concentrate our efforts on those things that are much more important."


The Times-Picayune reports:




"In introducing the legislation, Carmody always maintained he was not taking steps to establish a state religion, but rather to educate people. Critics have accused him of foisting faith inappropriately into the government sphere. Others thought such a designation would trivialize the Bible and its importance.


"Initially, Carmody had just been intending to designate a specific, historic copy of the Bible, which he thought could be found in the Louisiana State Museum, as the official state book. But lawmakers amended Carmody's legislation two weeks ago to propose making any copy of the 'Holy Bible' the official state book."





Sales of US existing homes slip to a 20-month low

The Associated Press



Sales of existing U.S. homes slipped in March to their lowest level since July 2012 as rising prices and a tight supply of available homes discouraged many would-be buyers.


The National Association of Realtors said Tuesday that sales edged down 0.2 percent to a seasonally adjusted annual rate of 4.59 million. It was the seventh drop in the past eight months.


Sales rose in the Northeast and Midwest, suggesting that cold winter weather did not weigh as heavily on sales as in previous months. Freezing temperatures and snowstorms had contributed to lower sales in January and February.


"Sales appear to be stabilizing following earlier weather-related disruptions," Joseph LaVorgna, an economist at Deutsche Bank, said in a note to clients. "We expect sales to improve as we enter the crux of the spring selling season."


LaVorgna noted that the Realtors' group reported more buyer traffic at open houses last month, suggesting that demand is rising.


Still, big price increases in the past year, along with higher mortgage rates, have made it harder for many Americans to afford a home. Pay increases haven't kept up with the higher buying costs.


Those trends and harsh weather have dragged down sales since last fall.


Sales fell last month in the West and South, where prices have risen the most in the past year. Price increases were smaller in the Northeast and Midwest.


Nationwide, the median sales price last month was $198,500, up 7.9 percent from 12 months ago.


The sharpest sales increase occurred among homes priced at $1 million or above. Purchases rose 8 percent in that category. Sales fell in nearly every other price group.


Other measures of home prices have shown stronger gains. Real estate data provider CoreLogic says prices rose 12.2 percent in the past year. That might be discouraging some potential investors, who accounted for just 17 percent of home sales in March, the lowest proportion since August. It was down from 21 percent in February.


But in a positive sign, first-time buyers made up 30 percent of home sales in March, the highest proportion in a year. That's still below the roughly 40 percent that's consistent with a healthy housing market. First-timers have struggled to save for down payments. They also face tight credit standards.


Sales of existing homes rose steadily in the first half of last year, reaching an annual pace of 5.38 million in July. But sales slowed in the fall as rising mortgage rates and higher prices began to squeeze some buyers out of the market.


About 5.1 million homes changed hands last year, the most in seven years. But that's still below the 5.5 million that reflect a healthy market. Many economists expect sales to rise modestly this year but to remain below the 5.5 million level.


Home prices are rising even as sales slow. That's a sign that the supply of available homes is tight, forcing potential buyers to make higher bids.


There were nearly 2 million homes for sale at the end of March. But at the current sales pace, that's enough to last only 5.2 months, below the 6 months' supply that's considered normal.


More construction is needed to boost the supply, the Realtors' group argues.


The average rate on a 30-year mortgage was 4.27 percent last week, according to mortgage buyer Freddie Mac. That was down from 4.34 percent the previous week. But the rate is still about a full percentage point above last spring's record lows.



Steinhafels' American TV purchase approved


A Dane County judge has approved the sale of five American TV & Appliance stores for a total of $21 million, including three to the Steinhafels furniture chain.


American TV went out of business last month and shuttered 11 locations. Nearly 1,000 people in Wisconsin, Illinois and Iowa lost their jobs. American TV filed for protection from its creditors in Dane County Circuit Court under the state's receivership law, an alternative to federal bankruptcy.


Receiver Michael Polsky, who is liquidating American TV's assets, said American TV expects to repay all of its secured creditors, including BMO Harris Bank, and "all or almost all of the unsecured claims in this case."


Polsky said there are 1,507 creditors, most of them unsecured, meaning they don't have an automatic right to be repaid.


Steinhafels president Gary Steinhafel said his Pewaukee company will hire 125 to 150 people to work at the three stores it's purchasing in Grand Chute, Oak Creek and on Madison's east side. He said the stores will be remodeled and will likely open in the fall.


Judge Rhonda Lanford on Monday also approved the sale of stores in Pewaukee and Brown Deer and a parcel of land in Oak Creek to American Property Acquisition, according to the State Journal (http://bit.ly/1pobqNl ).



Philips shares slump over weak 1st-quarter profits


Shares in Royal Philips, the world's leading light maker, slumped Tuesday after the Dutch company reported a drop in first-quarter profits blamed partly on sluggish sales of its health care products and consumer lights.


Philips said its net profit for the January-March period was 138 million euros ($190.5 million), 14 percent lower than for the same quarter of 2013. Sales fell 4.8 percent to 5.02 billion euros ($6.9 billion).


The Amsterdam-based company said profit margins worsened partly because of paying laid-off workers. The company cut about 3,800 jobs over the past year and now employs 114,300.


Chief executive Frans van Houten cited negative "market headwinds" in Russia and China, and said the euro currency's strength also hurt the bottom line.


Van Houten forecast a "challenging year" ahead.


Philips shares fell 6.7 percent to 23.27 euros ($32.15) in midday trading.


Among its major divisions, Philips said lighting sales were flat, health care equipment and services revenues declined 2 percent, and sales of consumer appliances such as shavers and coffee makers rose 7 percent.


Philips' lighting division has shifted production to LED and energy-saving bulbs that last longer but are pricier per light. Revenues from the sale of LED lights surged 37 percent versus the first quarter of 2013, and now represent a third of the company's lighting sales. However, overall lighting sales were flat as sales fell for other types of lights, notably incandescent bulbs.


Chief financial officer Ron Wirahadiraksa told analysts the decline in consumer purchases was led by Western Europe "where, with few exceptions, the market continues to be sluggish."


Philips has been selling do-it-yourself kits for home enthusiasts who wish to control their home lighting systems over a network, a potential area of growth.


The performance of Philips' health care division also was mixed. Sales of high-end imaging equipment declined, while sales of systems for networking patient monitoring grew strongly.


Analysts at Killik & Co said the results reflected "weaker performances in the lighting and health care businesses than forecast, and weak performances in Western Europe and North America."



Jumblatt nominates bloc MP for presidency


BEIRUT: Head of the Progressive Socialist Party leader MP Walid Jumblatt Tuesday nominated Henry Helou, a lawmaker from his own bloc, for the presidency.


“Today’s meeting of the National Struggle Front bloc ... aims at nominating Henry Helou for the presidential election which starts tomorrow [Wednesday],” Jumblatt told reporters after the meeting in Clemenceau.


Jumblatt also described the Aley MP as a "voice of moderation," saying Lebanon needed such a president to help safeguard the country.


"I hope everyone would hear the voice of moderation to help the country overcome this phase," he said.


In response to a question whether Helou's nomination was in response to the nomination of Lebanese Forces leader Samir Geagea, Jumbatt said: “[Helou’s] nomination is not a political maneuver.”



Buffalo area in midst of new hotel building boom


The Buffalo-Niagara Falls area is in the midst of a lodging industry boom, with more than two dozen new hotels expected to be built in the region over the next few years.


The Buffalo News reports (http://bit.ly/QuDxL7 ) that eight hotels are currently under construction, with as many as 18 others planned in suburban towns and the city of Niagara Falls.


The current projects include two new Marriott properties being built in downtown Buffalo, one of them next to First Niagara Center, home of the NHL's Sabres. If all the projects are completed, they'll add more than 2,000 rooms to the region's lodging availability.


Developers attribute the building boom to the need to replace the region's aging hotel inventory and the revival of Buffalo and Niagara Falls.



Streaming TV case before Supreme Court on Tuesday


The Supreme Court is taking up a dispute between broadcasters and an Internet startup company that has the potential to bring big changes to the television industry.


The company is Aereo Inc., and the justices are hearing arguments Tuesday over its service that gives subscribers in 11 U.S. cities access to television programs on their laptop computers, smartphones and other portable devices.


The broadcasters say Aereo is essentially stealing their programming by taking free television signals from the airwaves and sending them over the Internet without paying redistribution fees. Those fees, increasingly important to the broadcasters, were estimated at $3.3 billion last year.


The case involving Internet innovation is the latest for justices who sometimes seem to struggle to stay abreast of technological changes.


Broadcasters including ABC, CBS, Fox, NBC and PBS sued Aereo for copyright infringement, saying Aereo should pay for redistributing the programming the same way cable and satellite systems do. Some networks have said they will consider abandoning free over-the-air broadcasting if they lose at the Supreme Court.


Aereo founder and CEO Chet Kanojia recently told The Associated Press that broadcasters can't stand in the way of innovation, saying, "the Internet is happening to everybody, whether you like it or not." Aereo, backed by billionaire Barry Diller, plans to more than double the number of cities it serves, although the high court could put a major hurdle in the company's path if it sides with the broadcasters.


Aereo's service starts at $8 a month and is available in New York, Boston, Houston and Atlanta, among others. Subscribers get about two dozen local over-the-air stations, plus the Bloomberg TV financial channel.


In the New York market, Aereo has a data center in Brooklyn with thousands of dime-size antennas. When a subscriber wants to watch a show live or record it, the company temporarily assigns the customer an antenna and transmits the program over the Internet to the subscriber's laptop, tablet, smartphone or other device.


The antenna is only used by one subscriber at a time, and Aereo says that's much like the situation at home, where a viewer uses a personal antenna to watch over-the-air broadcasts for free.


The broadcasters and their backers argue that Aereo's competitive advantage lies not in its product, but in avoiding paying for it.


The federal appeals court in New York ruled that Aereo did not violate the copyrights of broadcasters with its service, but a similar service has been blocked by judges in Los Angeles and Washington, D.C.


The 2nd U.S. Circuit Court of Appeals in New York said its ruling stemmed from a 2008 decision in which it held that Cablevision Systems Corp. could offer a remote digital video recording service without paying additional licensing fees to broadcasters because each playback transmission was made to a single subscriber using a single unique copy produced by that subscriber. The Supreme Court declined to hear the appeal from movie studios, TV networks and cable TV companies.


In the Aereo case, a dissenting judge said his court's decision would eviscerate copyright law. Judge Denny Chin called Aereo's setup a sham and said the individual antennas are a "Rube Goldberg-like contrivance" — an overly complicated device that accomplishes a simple task in a confusing way — that exists for the sole purpose of evading copyright law.



The case is ABC v. Aereo, 13-461.


Stocks edge higher as more earnings roll in


Stocks are moving higher in early trading as investors assess more corporate earnings.


Netflix rose 7 percent after the online video streaming service said its first-quarter earnings soared.


Botox maker Allergan surged 15 percent after Valeant Pharmaceuticals said that it had teamed up with activist investor Bill Ackman to make a bid for the company.


The Standard & Poor's 500 index rose two points, or 0.2 percent, to 1,874 in the first few minutes of trading Tuesday.


The Dow Jones industrial average rose 30 points, or 0.2 percent, to 16,480. The Nasdaq composite rose 19 points, or 0.5 percent, to 4,141.


Bond prices fell. The yield on the 10-year Treasury note rose to 2.74 percent.



Monroe mayor expects transit contract next month


Monroe Mayor Jamie Mayo said he expects the city to enter into a contract with a management firm to run the city's transit system by the end of May.


The News-Star reports (http://tnsne.ws/1k3i3iC ) funding for the current management firm, First Transit, expires on April 30. The city council has not renewed the contract.


However, Mayo says First Transit will remain in place for the foreseeable future while the city administration continues to work toward a new contract.


Though he declined to offer details into the negotiations, Mayo has been meeting with city council members over the last several months on different issues.


Mayo said he still prefers keeping First Transit. He says he is still waiting for a list of grievances the council members had against the system.


Because First Transit is not under contract, federal money cannot be used to pay for the firm's services, which costs about $200,000 a year. Mayo has previously said the federal money likely would be used in other places within the system that currently require a subsidy from the city.


Mayo met with Public Works Director Tom Janway and Transit Director Marc Keenan on Monday to discuss how to separate federal and city funds to make sure First Transit is only being paid with city money.


Monroe Transit provides bus service for an estimated 1.2 million riders annually. It's also the oldest public transportation system in America, according to its website.


"Of all the folks that ride our buses in a year's time, there's no question we need continuity in service. We certainly don't need that deterred because of issues with the management company," Mayo said.



Harley-Davidson 1Q earnings roar ahead


Shares of Harley-Davidson jumped almost 7 percent in premarket trading after the company reported first-quarter earnings that were 18.7 percent higher than a year ago.


The Milwaukee company said motorcycle sales grew 5.8 percent worldwide and efficiency efforts took hold during the quarter. Its earnings topped Wall Street estimates.


That sent shares up nearly 7 percent before the opening bell.


The company posted net income of $265.9 million, up from $224.1 million a year ago.


That's $1.21 per share, compared with 99 cents in the first quarter of 2013. Analysts polled by FactSet expected earnings of $1.07 per share.


Motorcycle and related products revenue rose 11 percent to $1.57 billion. Overall revenue including financial services rose to $1.73 billion from $1.57 billion.


Motorcycle sales grew 3 percent in the U.S. to 35,730 during the quarter despite a long, cold winter, CEO Keith Wandell said in a statement.


But international sales, especially in Asia, helped the first-quarter results. Harley said Asia-Pacific motorcycle sales rose more than 20 percent to 7,178 for the quarter. In the Europe, Middle East and Africa region, sales were up 8 percent to 9,940, while they rose 9 percent in Latin America to 2,558.


The company said demand for its Project Rushmore motorcycles was high during the quarter, and it also started shipping the Harley-Davidson Street 750 and 500 models in selected markets.


"These motorcycles, together with continuous improvement in our operations at every level, underscore the momentum we've established as a customer-led company," Wandell's statement said.


Harley reiterated guidance of growing motorcycle shipments this year, up 7 percent to 9 percent to a range of 279,000 to 284,000. The company expects second-quarter shipments to rise 9 percent to 15 percent to a range of 92,000 to 97,000, up from 84,606 a year earlier.


Harley expects capital spending this year of $215 million to $235 million, the same as it estimated when it reported fourth-quarter earnings.


The company reported provisions for higher credit losses cut operating income for its financial services operation. That income was $63.2 million, down almost 12 percent from a year earlier.


Its shares rose $4.51, or 6.7 percent, to $72.05 in premarket trading about 45 minutes ahead of the market open.



SpaceX to test methane rocket engine in Miss.


Private space exploration firm SpaceX and the Stennis Space Center have cut the ribbon on an improved rocket engine test stand.


SpaceX, based in Hawthorne, Calif., is supposed to conduct initial testing this year of its new Raptor engines, which will be powered by methane and liquid oxygen.


"We're no stranger to commercial testing," Stennis Director Rick Gilbrech said at Monday's ceremony.


"We've been in the commercial market for over a decade. We're very pleased to welcome Space X as a partner and commercial customer."


He said the company will start with a very fundamental test program — a single Raptor injector element.


The E2 stand, said Space X President and COO Gwynne Shotwell, is "one of the most capable high pressure test stands on the planet."


"The testing we will do here will pave the way to what I believe will be the largest LOX/methane system flying," she said.


The rocket engines tested there, she said, could eventually help Americans reach Mars. The company's aggressive timetable for the first such flight, she said, is 15-20 years.



Comcast 1Q earns surge on upbeat NBC results


Comcast's first-quarter net income rose by nearly a third as ad revenue surged at broadcast network NBC, helped by the Winter Olympics in Sochi and Jimmy Fallon's elevation as host of "The Tonight Show."


Net income rose to $1.87 billion, or 71 cents per share, in the January-March quarter from $1.44 billion, or 54 cents per share a year ago.


Excluding one-time items, adjusted earnings came to 68 cents per share, beating the 64 cents expected by analysts polled by FactSet.


Revenue grew 14 percent to $17.41 billion from $15.31 billion. That's also higher than the $16.99 billion expected by analysts.


NBCUniversal revenue grew 29 percent to $6.88 billion while cable services revenue grew 5 percent to $10.76 billion.



Travelers 1Q results rise, increases dividend


Travelers' first-quarter net income improved thanks in part to higher underwriting gains and increased net investment income. The insurer said its results were hurt by higher catastrophe losses, which were mostly from winter storms.


The results beat Wall Street forecasts, and its shares edged up in premarket trading.


For the three months ended March 31, Travelers Cos. earned $1.05 billion, or $2.95 per share. That's up from $896 million, or $2.33 per share, a year earlier.


Analysts polled by FactSet expected earnings of $2.16 per share.


Revenue climbed 6 percent to $6.71 billion from $6.33 billion, beating Wall Street's forecast of $5.86 billion.


Net written premiums — the industry term for new policy sales — increased 5 percent to $5.87 billion.


Net investment income rose to $736 million from $670 million.


The company's combined ratio fell to 85.7 percent from 88.5 percent. A ratio above 100 means that for every premium dollar taken in, more than a dollar went for losses, expenses, and commissions. A figure below 100 indicates an underwriting profit.


Travelers also announced Tuesday that it is raising its quarterly dividend by 10 percent to 55 cents per share from 50 cents per share. The dividend will be paid on June 30 to shareholders of record on June 10.


Its shares rose 60 cents to $87 per share in premarket trading about an hour before the market open.



Valeant, Ackman make $45.6B Allergan bid


Valeant Pharmaceuticals and activist investor Bill Ackman have unveiled details of their offer to buy Botox maker Allergan, proposing a cash-and-stock deal that could be worth about $45.6 billion.


If an acquisition happens, it would give Valeant an array of other cosmetic and eye drugs and add to a string of more than 50 acquisitions that have made it one of Canada's largest drugmakers.


Each Allergan share would be exchanged for $48.30 in cash and 0.83 shares of Valeant Pharmaceuticals International Inc. common stock. Shareholders can choose a mix of cash and stock.


Allergan Inc. stockholders would own 43 percent of the combined company.


Ackman's Pershing Square Capital Management LP — Allergan's biggest stockholder at 9.7 percent — has agreed to take only stock in the transaction and plans to continue as a long-term shareholder of the combined company.


Valeant Chairman and CEO J. Michael Pearson said in a statement that Allergan CEO David Pyott and the company's board have made it clear that they don't want to have talks about a potential combination. But Pearson said he's hoping that the offer being put on the table will enable the two sides "to engage in productive discussions."


On Monday Allergan said in a statement that if it received an offer that its board — along with financial and legal advisers — would evaluate it.


Valeant, which is based in Laval, Quebec, said Tuesday that it anticipates the proposed Allergan deal resulting in more than $2.7 billion in annual cost savings.


Allergan, based in Irvine, Calif., has long been considered one of the star performers in the specialty pharmaceutical sector. "Specialty pharmaceutical" is an industry term that differentiates smaller drugmakers from much bigger companies that sell a wide array of drugs, such as Pfizer and Merck.


Allergan reported revenue of $6.3 billion last year, up 12 percent from 2012. The company's growth has been driven by expanding use of its blockbuster product, Botox, combined with a broad offering of eye care drugs, skin care formulas and breast implants.


Last year Botox sales rose 12 percent to nearly $2 billion. First introduced in 1989, the injectable drug is most famous for its ability to smooth wrinkle lines on aging foreheads. But over the years Allergan has racked up more than a half-dozen other approved uses for Botox, including treatment for neck spasms, eye muscle disorders and migraine headaches.


Allergan's shares jumped more than 18 percent in premarket trading. Valeant's stock rose more than 7 percent.


Valeant also announced Tuesday that it is raising its full-year earnings forecast to $8.55 to $8.80 per share, up from $8.25 to $8.75 per share. It's also boosting its revenue guidance to a range of $8.3 billion to $8.7 billion. Previously the company predicted revenue of $8.2 billion to $8.6 billion.


Analysts surveyed by FactSet expect 2014 earnings of $9.63 per share on revenue of$9.35 billion.



Marine City plans to cut lifeguards at beach


Plans in Marine City call for cutting lifeguards and closing bathrooms at its beach as part of a budget-balancing effort by the community along the St. Clair River.


The Times Herald of Port Huron reports (http://bwne.ws/1rhxqFe ) cutting lifeguards will reduce an about $200,000 city deficit by about $30,000. A public hearing on the $1.9 million budget is May 15 and commissioners are expected to vote on the budget at a meeting after that one.


The newspaper says Marine City Beach was the only beach in St. Clair County that still had lifeguards. Lynn Zyrowski, the city's parks and recreation director, says lifeguards were on duty seven days a week and assisted in recent years when people had medical issues.


Lifeguards also were responsible for cleaning and maintaining the bathrooms.



Bourbon authors to attend Kentucky receptions


Books about bourbon are becoming almost as common as bourbon brands themselves.


Seven prominent bourbon authors will be featured at evening receptions next month in Louisville.


The receptions will coincide with a five-day event called the Kentucky Bourbon Affair, which gives bourbon fans an up-close look at the industry.


The Kentucky Distillers' Association says the authors will talk about their books, sign autographs and discuss bourbon.


The signings will be held May 15-16 from 5 p.m. to 6:30 p.m. EDT at the Marriott Louisville East. Books will be available on-site for purchase.


The featured authors will include Tim Laird, Bernie Lubbers, Fred Minnick, Susan Reigler, Clay Risen, Mike Veach and Molly Wellman.


The Kentucky Bourbon Affair will offer behind-the-scenes tours and events at bourbon distilleries in the Bluegrass state.



Tesla delivers first China cars, plans expansion


Tesla Motors has delivered its first eight all-electric sedans to customers in China and the CEO says the company will build a nationwide network of charging stations and service centers as fast as it can.


Elon Musk said Tuesday the California company probably will invest several hundred million dollars in charging infrastructure in China.


Tesla previously announced a $121,000 sticker price for its Model S sedan in China. It said taxes and shipping charges account for the difference with its U.S. price tag of $81,000.


Customers received the first Model S sedans in China at a brief ceremony at the company's office in Beijing, also the site of its first charging station.



Machnouk slams arms in internal Palestinian strife


BEIRUT: Interior Minister Nouhad Machnouk criticized Tuesday the use of weapons in internal Palestinian strife and said Lebanon has a responsibility to protect Palestinian refugees.


"Palestinian arms have harmed intra-Palestinian relations. They only bring trouble and fuel bloodshed,” Machnouk said following a security meeting in the southern city of Sidon.


“The Lebanese state is the real protector of Palestinians,” he added.


Rival Palestinian groups have clashed recently in the impoverished Ain al-Hilweh camp outside Sidon and elsewhere.


At least eight people were killed, including the commander of a Palestinian armed group, in clashes that broke out in the Mieh Mieh refugee camp near Ain al-Hilweh earlier this month.



No solution in sight for China shoe factory strike


Workers on strike at a Chinese factory owned by the world's largest maker of athletic shoes have rejected management's latest offer.


The ongoing labor dispute is crimping production of shoes for brands such as Nike and Adidas.


The on-off work stoppage at Yue Yuen Industrial (Holdings) Ltd.'s massive factory complex in southern China has stretched into the second week as both sides have failed to reach an agreement.


The dispute erupted over underpayments for social security and housing fund insurance required by Chinese law.


Workers and labor groups said tens of thousands of workers remained off the job Tuesday. Both sides appeared far from a deal.



General Motors seeks more protection from suits


General Motors Co. has filed suit in a U.S. bankruptcy court asking a judge to protect the company from legal claims for actions that took place before it emerged from bankruptcy in 2009.


The suit was filed Monday evening in the Bankruptcy Court for the Southern District of New York. A hearing has not yet been set.


The filing asserts that the "numerous lawsuits" recently filed throughout the United States dealing with GM's recall of cars with possible ignition switch problems are "retained liabilities" of the old GM, not the new company.


It says the recall involves vehicles "manufactured and sold by Old GM" and asks Judge Robert Gerber to protect the "new GM" from claims.


GM has said at least 13 deaths have been linked to the ignition problem.



Politicians intensify deliberations ahead of election


BEIRUT: Politicians Tuesday intensified deliberations ahead of a parliamentary session to elect a new president as none of the presumed candidates have yet to secure a two-thirds majority.


Speaker Nabih Berri held talks with MP Michel Murr, MP Talal Arslan, head of the Lebanese Democratic Party, and Health Minister Wael Abu Faour, who headed a delegation from Walid Jumblatt's Progressive Socialist Party.


Murr said that he and MP Nayla Tueni would attend Wednesday's morning session, adding that he expected quorum to be met.


"I will check with my conscience and Lebanon's interest and then I will elect a president on that basis,” Murr told reporters after the meeting in Ain el-Tineh.


Berri also discussed the presidential election with Arslan and the PSP delegation.


The speaker also met with a delegation from Al-Jamaa Al-Islamiya, headed by MP Imad Hout.


Several blocs have confirmed their attendance at Wednesday’s session, including lawmakers from Jumblatt and Berri’s blocs.


The Lebanese Forces, the Kataeb Party and their allies in the Future Movement have also said they would attend the legislative sessions where MPs are expected to cast their votes for their preferred candidate.


Lebanon has entered its two-month constitutional period to elect a new president, but only Geagea and MP Robert Ghanem have announced their candidacy for the country’s top Christian post.


President Michel Sleiman’s six-year term ends on May 25.


None of the candidates, including those who consider themselves natural nominees, such as MP Michel Auon and Kataeb head Amin Gemayel, have secured the two-thirds majority needed for the first round of the parliamentary electoral sessions.


Berri has described MP Michel Aoun, leader of the FPM, as the March 8 coalition's candidate, but the former general has said he would only run for the post as a "consensus candidate."


Gemayel has also voiced willingness to run.


MP Robert Ghanem, who visited Geagea and Maronite Cardinal Beshara Rai Tuesday, said he was running for the election because he was a consensus candidate.


"I announced my candidacy on the basis that I am a consensus president. According to Article 49, the president is [responsible for] the nation's unity and works for its institutions,” Ghanem told reporters after his meeting with Geagea in Maarab.


"When I announced I was running, I was convinced that the power of moderation ... can restore state institutions,” he added.


Future MP Ahmad Fatfat also met with Rai and ruled out the possibility of Lebanon plunging into a presidential vacuum.


Meanwhile, Jumblatt met Monday with a Lebanese Forces delegation headed by MP Strida Geagea who handed the lawmaker a copy of presidential hopeful Samir Geagea's platform.


He also met with a delegation from the Free Patriotic Movement in his residence on Clemenceau.



Hezbollah official dies in car crash


BEIRUT: Hezbollah official Youssef Ghazi Meqdad died Tuesday in a single vehicle accident in Jbeil, north of Beirut, security sources said.


The sources told The Daily Star Meqdad was alone in the Toyota 4WD when it drifted off the main Qartaba-Lassa road and plunged into a ravine.


Meqdad was Hezbollah’s officer in Lassa.



Prison guards charged over inmate’s death


BEIRUT: Two prison guards were charged Tuesday with negligence that resulted in the death of an inmate at Roumieh jail, north of Beirut.


Military Prosecutor Saqr Saqr charged the guards with causing the death of inmate Hussein Sbeiti “by a negligent act.”


Sbeiti struggled with an unknown physical illness.



Jackson Co. approves $5M loan for Pascagoula port


The Jackson County Board of Supervisors came out of executive session with the Port of Pascagoula and approved a loan, not to exceed $5 million, to improve a wharf on Bayou Casotte.


Port Director Mark McAndrews tells The Sun Herald (http://bit.ly/RHOzNQ ) the money will be used to upgrade an under-utilized wharf so that it will be able to handle liquid bulk cargo for a new shipper.


County supervisors said Monday the project is tied to the Chevron Pascagoula Refinery, which will actually pay off the loan. The wharf will be used to transport xylene, a solvent found in airplane fuel and gasoline and is used in the rubber and leather industries.



Georgia Bill Loosens Restrictions On Guns In Public Places



Audio for this story from Morning Edition will be available at approximately 9:00 a.m. ET.





Allowing guns into government buildings that have no security is part of a bill waiting the governor's approval. Municipalities worry their budgets will grow as they forced to hire security.



Armstrong coach Bruyneel banned for 10 years


Lance Armstrong's longtime coach Johan Bruyneel was banned for 10 years Tuesday for helping organize widespread doping by the former seven-time Tour de France winner's cycling teams.


The U.S. Anti-Doping Agency announced the verdicts of an American Arbitration Association panel against Bruyneel and two medical staff.


Bruyneel "was at the apex of a conspiracy to commit widespread doping on the (U.S. Postal Service) and Discovery Channel teams spanning many years and many riders," USADA said in a statement.


Team doctor Pedro Celaya and trainer Jose "Pepe" Marti will serve eight-year bans, USADA said.


Bruyneel claimed he, Armstrong and the others have been made scapegoats for an era when doping was "a fact of life" in cycling.


"I do not dispute that there are certain elements of my career that I wish had been different," Bruyneel said in a statement. "However, a very small minority of us has been used as scapegoats for an entire generation. "


As a Belgian national, Bruyneel questioned USADA's right to prosecute him and said he would consider appealing to the Court of Arbitration for Sport in Lausanne, Switzerland.


Bruyneel, Celaya and Marti faced charges including trafficking and administering doping products and methods, including EPO, blood transfusions, testosterone, human growth hormone and cortisone. The ruling said Bruyneel had encouraged riders to cheat.


The verdicts followed a four-day hearing in London last December before a three-member AAA panel.


"The panel found that Bruyneel himself 'profited considerably from the successes of the teams and riders he managed during the relevant period,'" the USADA statement said.


Bruyneel refused to testify and "presented no fact witnesses on his own behalf," USADA said.


Marti also refused to testify, while Celaya was cross examined and found by the panel not to be a credible witness, the agency said.


Bruyneel is banned from working in all sports through June 11, 2022. Celaya and Marti's sanctions end on June 11, 2020.


The sanctions date from June 2012 when USADA accused Armstrong and his teams of widespread doping after a lengthy investigation.


Armstrong was stripped several weeks later of all his post-August 1998 race results, including all seven Tour titles, and banned for life by USADA. Doctors Michele Ferrari and Luis Garcia del Moral also did not challenge USADA's findings and lifetime bans.


In October 2012, USDA published its detailed verdict with hundreds of pages of evidence documenting the doping conspiracy, including witness statements from several Armstrong teammates.


At Bruyneel's closed-door hearing in London, 17 witness provided testimony, including eight cyclists, USADA said.


Celaya was doctor for the USPS/Discovery Channel team from 1997-98 and from 2004-07. He returned to work with Bruyneel at RadioShack Nissan Trek as the USADA investigation continued.


Marti worked for Bruyneel from 1999 to 2007, and then with the Astana team.


USADA said that Marti worked "most recently" for the Denmark-based Team Saxo Bank-Tinkoff Bank team, which is managed by 1996 Tour winner Bjarne Riis.



Port awaits word on whether Chiquita will stay


State port executives and union members are anxiously waiting to find out whether one of four anchor tenants, Chiquita Brands International Inc., plans to stay after its lease expires July 15.


Darius Johnson, president of the International Longshoremen Association, Local No. 1303, tells The Sun Herald (http://bit.ly/1iETgSd ) Chiquita provides about 1/3 of the union's annual man hours at the port.


The port's executive director, Jonathan Daniels, said Chiquita must decide by May 15 whether the company plans to extend its lease for two years. Chiquita recently announced a merger, to be completed later this year, with Irish fruit company Fyffes.


Daniels says Chiquita is analyzing all aspects of its logistics from shipment points in Central America through distribution.



Salam: Dispute over resistance tied to role of state


BEIRUT: Prime Minister Tammam Salam said Tuesday that the dispute over Hezbollah’s arms is tied to the role of the state in decisions of war and peace, adding that Lebanese intervention in Syria should stop.


In an interview with Sky News Arabia, Salam also said that the influx of Syrian refugees into Lebanon should end, but that such a step required political consensus.


“The dispute is not over the principle of the resistance, but the use of the resistance’s arms domestically, which poses questions regarding the state and who holds the power over decisions of war and peace,” Salam said.


“Such a decision should be in the hands of the state and the resistance should know that there is a state,” he added.


“What is needed is to find a meeting point between the need for a resistance against occupation and the need for the role of the state,” Salam said.


Speaking on Hezbollah’s intervention in Syria, Salam reiterated that all forms of intervention in Syrian affairs should stop “in order to achieve disassociation, which can lessen the repercussions of the conflict on Lebanon."


He also spoke about the overwhelming number of Syrian refugees in Lebanon, which has reached over one million. Salam said third of Lebanon’s population was made up of refugees.


“That is something that has never happened anywhere in the world,” he said.


“We can no longer leave things be the way they are. We should make a decision to stop the influx of the Syrian refugees, and this requires political agreement,” he added.


Salam played down foreign influence in Lebanon’s presidential election, and expressed hope that Wednesday’s session would see the election of a new president.


“Until now, the presidential election has not yet witnessed direct foreign intervention, although there is foreign influence. Foreign influences on Lebanon are not new,” he said.


“All possibilities are on the table for Wednesday’s session. The current situation resembles that of 1970 when Suleiman Franjieh was elected with one additional vote,” Salam added.


None of the presumed candidates could secure a two third majority for Wednesday’s parliament session. So far, Lebanese Forces leader Samir Geagea and MP Robert Ghanem are the only two official nominees.


“A new president can be elected with a simple majority and that depends on where the political parties will stand,” Salam said.



Sidon vendors mutilate themselves in protest


SIDON, Lebanon: Vegetable vendors in the coastal city of Sidon Tuesday stabbed themselves in another protest against the municipality’s decision to move them to another market.


Tens of vendors gathered on a street in the city and began stabbing themselves with knives, vowing to continue protesting unless the decision is reversed.


Some of the protesters’ wounds were shallow while others were transferred to a nearby hospital for heavy bleeding.


Citing security reasons, Sidon Municipality last year moved the vendors to another market, a move they claim has affected their sales.


“If I don’t return to the street where I used to sell, I will keep stabbing myself,” a vendor, Khodr Ghazali, told The Daily Star during the brief protest.


Earlier this month, police launched a crackdown on illegal vendors in the old Souks and several commercial markets.



World stocks mixed on China worries, US earnings


World stocks fluctuated Tuesday as a Wall Street rally powered by positive earnings reports offset investor cautiousness before a report on Chinese manufacturing and possible sanctions against Russia over Ukraine.


Japan's Nikkei changed course during the day to lead Asian markets lower after the yen strengthened.


In early European trading, Germany's DAX rose 1 percent to 9,503.27 while France's CAC 40 added 0.6 percent to 4,457.66. The FTSE 100 index of leading British companies rose 0.8 percent to 6,680.26.


U.S. stocks were poised to edge lower. Dow futures dipped less than 0.1 percent to 16,364.00 while broader S&P futures declined less than 0.1 percent to 1,863.70.


Asian stocks got a small lift after the U.S. stock market turned in its longest winning streak in half a year as earnings season kicked off on Monday with companies such as toy maker Hasbro and online video service Netflix reporting healthy profits.


But sentiment was restrained ahead of a preliminary purchasing managers' index report by HSBC on activity in China's huge manufacturing sector expected Wednesday that could provide further evidence of a slowdown in the world's second-biggest economy.


Oil slipped but stayed above $104 barrel amid the tension in Ukraine. The U.S. has warned it will quickly order new economic sanctions on Russian officials and entities if Moscow doesn't follow through on provisions in an accord last week aimed at stemming the crisis.


"An improvement in risk appetite through U.S. hours yesterday did not make it through to the Asian session intact," strategists at Rabobank said in a report.


In a sign that Chinese authorities could end a freeze on IPOs, the securities regulator posted prospectuses for 28 companies over the weekend, the report said, "sparking concerns that existing equities could be sold to free up funds. Nervousness over this week's forthcoming release of the HSBC manufacturing PMI index was also cited as a reason for concern."


Asian trading was also quieter because of a holiday-shortened week that included Easter Monday in some markets and Anzac Day on Friday in Australia and New Zealand.


Tokyo's Nikkei 225 benchmark index fell 0.9 percent to close at 14,388.77 while South Korea's Kospi edged 0.3 percent higher to 2,004.22.


Hong Kong's Hang Seng slipped 0.1 percent to 22,730.68 while the Shanghai Composite index advanced 0.3 percent to 2,072.83. Australia's S&P ASX 200 gained 0.5 percent to 5,479.30.


Oil shed 28 cents to $104.09 in electronic trading on the New York Mercantile Exchange amid concern about tensions in Ukraine, where violence continued as U.S. Vice President Joe Biden arrived in a high-profile visit to push for urgent implementation of the accord to defuse tensions. Concern that Russian gas supplies could be disrupted if sanctions are imposed helped push the contract up 7 cents in the previous session to settle at $104.37.


In currency markets, the U.S. dollar fell 0.1 percent to 102.54 yen and the euro was up 0.1 percent at $1.3803.



What Exactly Is 'High-Quality' Preschool?



John W. Poole / NPR/YouTube

Of all 50 states, the one that spends the most money on public preschool is Oklahoma. And researchers at Georgetown University have concluded that Oklahoma's investment easily pays for itself over students' lifetimes. Here's a look inside Nikki Jones's preschool classroom in Tulsa, Okla.




For years, President Obama has been a vocal booster of early childhood education. In his last two State of the Union addresses, he's called on Congress to help fund preschool for every child in the country.


"Research shows that one of the best investments we can make in a child's life is high-quality early education," Obama told Congress in January.


The president even put a price tag on his plan: $75 billion over 10 years, he said, would help every state provide preschool to every 4-year-old — to be paid for by raising cigarette taxes by 94 cents a pack.


But just what is quality preschool? It's difficult to debate the merits of early childhood education, and to argue that every child — indeed, the nation as a whole — will benefit from better access to preschool without first defining what exactly constitutes a "high quality" model.


NPR's new education team set out to unpack those two words and to understand what separates the nation's best preschool programs from the rest. That journey led us to a surprising place: Tulsa, Okla., where the public school system is now a leader in early childhood education.


Interrupting 'A Spiral Of Failure'


The federal government currently spends almost $8 billion a year on preschool programs. States spend billions more, mostly geared toward low-income 4-year olds. And while state-run programs today reach twice as many kids as they did back in 2002, that's still only 30 percent of all eligible children.


Even so, Obama's $75 billion plan was a nonstarter with Congress. One big argument critics make against spending more on preschool is that the benefits don't last.


Some researchers counter that many kids don't see lasting benefits because early childhood education programs are often underfunded. That can mean poorly trained teachers and a weak, curricular patchwork.



Nikki Jones' preschool class at Porter Early Childhood Development Center in Tulsa.i i


hide captionNikki Jones' preschool class at Porter Early Childhood Development Center in Tulsa.



John W. Poole/NPR

Nikki Jones' preschool class at Porter Early Childhood Development Center in Tulsa.



Nikki Jones' preschool class at Porter Early Childhood Development Center in Tulsa.


John W. Poole/NPR


"Those kids are going to be in a spiral of failure," says Steve Barnett, director of the National Institute for Early Education Research at Rutgers University. "And we set that up by not adequately investing before they get to kindergarten."


Barnett says a majority of low-income 4-year-olds are in poor quality programs. If there is a silver lining, it's that even substandard preschool is better than the more common alternative: none at all. Children who get no preschool start kindergarten already a year or more behind developmentally.


"It's very clear from the research," Barnett says, "that our problems with inequality... are set when children walk in the school door."


So ... what to do? One answer can be found at Porter Early Childhood Development Center in Tulsa, Okla.


There, each morning begins with the school secretary, Tracy Jones, standing outside as the yellow school buses pull up. She greets the kids as they make the big step down to the curb, some still groggy from their 45-minute ride. Once the last student files past, Jones asks the driver to make sure no one's still aboard, fast asleep in the back. It happens.


Inside, through Porter's sturdy, steel doors, Howard Wible waits in the gymnasium. The principal is an affable, burly man in his late 50s, known to dress up as Winnie the Pooh for special school occasions.


Today, he's happy to lead the children in a few stretching exercises, then a song about the seven continents. From there, the hungry 4-year olds make their way down the stairs to the cafeteria and breakfast. On the menu today: scrambled eggs, toast, potatoes, milk and cereal. Shovel, chew, and repeat ... before it's time to see Ms. Nikki Jones.


Jones, 32, brown hair bobbed at the shoulders and held behind her ears by a pair of upturned reading glasses, has only been teaching for a few years, but she has the classroom presence of a veteran. She's firm yet gentle as she rounds up her 20 kids and sits them down on a thick, shaggy rug. It's time for one of the day's first and most important rituals: morning storytelling.


It's 10:00 a.m., and, instead of reading to the kids herself, Ms. Jones has brought in a kindergartner from down the hall to read aloud. All eyes turn to 5-year-old Madison as she makes her way confidently, sentence by sentence, through Dr. Seuss' The Foot Book. Madison is a hit. The kids watch her, cross-legged and enraptured. When she finishes, Jones leads the class in a thank you "Hip Hip Hooray!"



Tulsa requires its pre-K teachers to hold at least a bachelor's degree. Nikki Jones is just a few credits shy of her master's.i i


hide captionTulsa requires its pre-K teachers to hold at least a bachelor's degree. Nikki Jones is just a few credits shy of her master's.



John W. Poole/NPR

Tulsa requires its pre-K teachers to hold at least a bachelor's degree. Nikki Jones is just a few credits shy of her master's.



Tulsa requires its pre-K teachers to hold at least a bachelor's degree. Nikki Jones is just a few credits shy of her master's.


John W. Poole/NPR


Now, the play begins. The class disperses to various stations of their choosing: a cluster of computers, a tiny kitchen tucked into the corner or an art center known affectionately as "the fort." For Jones, play should be the beating heart of a child's preschool experience.


"I try to have an hour-and-a-half to two hours of uninterrupted play," she says. "The play is open-ended, so we put out objects that aren't task-oriented. That way they aren't limited to what they can do with them. It builds problem-solving, imagination ... creativity."


The results are all around the room, hanging from the ceiling and stuck to the walls: square cows, a snowman with rabbit ears, lots of stick figures (hearts and squiggly lines really). And the children are encouraged to roam freely, from one experience to another. All the while, Jones keeps a watchful eye, assessing everything they do: their vocabulary, their familiarity with numbers ... even how they resolve disputes.


"They're having to collaborate," Jones says. "And to collaborate during a phase when they're still very ego-centric and all about themselves."


The Role Of The Teacher


The role of the teacher in all of this, researchers say, is the foundation of a high-quality preschool program. Deborah Phillips, a developmental psychologist and professor at Georgetown University, has devoted her entire career to studying early childhood education.


"What you're going to look for," Phillips says, "is a teacher who knows how to instruct children in pre-math, pre-literacy, who gets down on the child's level when talking to them, who's respectful towards them."


Phillips was the lead researcher in an exhaustive study of the Tulsa program. For seven months, she and her team observed teachers in dozens of classrooms across the city, and found four pillars of quality.


First, as is clear within minutes of setting foot in Nikki Jones' classroom, the city employs a rich curriculum that doesn't just include play — it revolves around play. Second, the program is well-funded. Tulsa spends about $7,500 per child per year. Third, the teacher-student ratio is balanced: one teacher for every 10 kids. And fourth: all teachers are highly qualified.


Take Jones, for example. She is just a few credits shy of her master's degree and has already been accepted into a doctorate program. Tulsa requires at least a bachelor's degree of its preschool teachers. They must also be fully certified in early childhood education. And, once they're hired, they receive still more training — monthly.



Preschool student Stormy Frazier watches an experiment unfold in Nikki Jones's classroom.i i


hide captionPreschool student Stormy Frazier watches an experiment unfold in Nikki Jones's classroom.



John W. Poole/NPR

Preschool student Stormy Frazier watches an experiment unfold in Nikki Jones's classroom.



Preschool student Stormy Frazier watches an experiment unfold in Nikki Jones's classroom.


John W. Poole/NPR


As a result, Nikki Jones arrives each morning brimming with ideas and strategies rooted in research and good pedagogy. Indeed, what looks like an art project with acorns, pine cones, glass beads and a film projector is also a stealth math lesson. Jones says her kids love to count, add and subtract with little or no direct instruction.


A Link To Parents


But does this kind of program have lasting benefits? That's one of the arguments now being used against increased funding for preschool: That the benefits fade as kids move through elementary school.


Not so, says researcher Deborah Phillips, not in Tulsa. She found evidence of lasting impacts there, at least through third grade.


"The children who went through Tulsa pre-K, compared to those who didn't, are doing better in math," Phillips says. "That's especially true for boys and lower-income children."


Nikki Jones says preschool is all about building that lasting foundation — though it's not easy for most 4-year olds.


"You're asking kids to do things they've never done before. They've never been in school before, never raised their hand and stood up and given an answer before. So it's scary to them."


They're scared to fail, Jones says. Because many of these kids have seen failure. Many of Jones' students are growing up with just one parent in Tulsa's toughest neighborhoods, poverty and failure all around them. And she says part of her job, as a teacher, is to establish a direct line of communication with whoever is looking after her students when they're not in her classroom.


"Without the family connection, we wouldn't know if so-and-so didn't have dinner or if so-and-so's mom got put in jail last night. Because parents aren't going to tell you that if they don't trust you," she says.


Georgetown's Deborah Phillips agrees — and takes things a step further. She argues that a high quality preschool teacher does many of the things parents are supposed to do.


"She provides strong emotional, social support for children, makes them feel safe, protected, loved, valued," she says.


And if they get that, Phillips adds, "they're motivated. They love school. We're setting children along a much sturdier, promising pathway into their futures."


That's what Tulsa's preschool program is doing, says Phillips, and why she argues it's a model for the nation.


"If it can happen in Oklahoma, it can happen everywhere."


And, with some 30 states now expanding their preschool offerings, someday soon Tulsa could be the rule, not the exception.