Thursday, 29 May 2014

World Bank president to visit Lebanon, Jordan and Saudi Arabia


BEIRUT: World Bank Group President Jim Yong Kim is set to visit Lebanon, Jordan and Saudi Arabia to discuss the challenges and opportunities facing the Middle East and North Africa.


A statement by the World Bank Group said the visit, the first to the three countries since taking over as president of the World Bank Group in July 2012, is scheduled for June 1-4.


It said Kim would underscore the bank’s commitment and support for the region.


“The Middle East today is at a crossroads,” the statement quoted Kim as saying. “In one scenario, the political crises, violent conflict and deteriorating economic conditions of the last three years could deepen and possibly spread to neighboring countries. But we must commit to another more optimistic scenario for the region to realize its potential for sustained growth."


He said the World Bank’s strategy in MENA was to “work with its partners to build on the foundation of co-existence, good governance, and inclusive economic growth."


During his four-day visit, Kim will meet with heads of state and government leaders as well as private sector and civil society representatives to discuss how the World Bank Group can best continue supporting countries in the MENA region to promote sustainable growth and shared prosperity.


The statement said discussions would revolve around fragility, building regional resilience and cementing partnerships to address cross border political and economic shocks through strengthening the capacity of cities, towns and local communities.


In Saudi Arabia, Kim will discuss the key role partnerships play in the region, in addition to economic cooperation.


In Lebanon and Jordan, Kim will reiterate the bank’s commitment to support both countries in mitigating the impact of Syrian refugees on the economy, education and basic services.



Cambodia convicts labor activists, then frees them


A Cambodian court on Friday convicted almost two dozen factory workers and rights activists for instigating violence during protests that rocked the government earlier this year, but in a surprise move gave them suspended sentences and granted them freedom.


The Phnom Penh Municipal Court ruled that the 23 defendants, who were detained since their arrests in January, had served enough time behind bars and were free to return home.


Human rights groups welcomed their release but criticized the convictions, which carried suspended sentences ranging from one to 4 1/2 years. They said the ruling was politically motivated to quiet criticism from both the government's opposition and from Western clothing brands that are made in Cambodia.


Authorities cracked down on the January protests that had been called to demand a higher minimum wage for garment factory workers, leaving at least four people dead. The crackdown drew criticism from human rights groups and drew attention to the conditions of the factory workers, who manufactured clothing for several global brands, including the Gap, H&M and Adidas.


"We regret that these people were detained several months in jail for crimes they never committed," said Am Sam Sath of the rights group Licadho. "The verdict today is clearly connected to the political situation and pressure from the big brands."


Rights activists have long questioned the fairness of Cambodia's judicial system, which they say is tainted by politics and allows impunity for the rich and well-connected.


January's protests nettled the government, already facing pressure from the opposition Cambodia National Rescue Party, which refused to take its seats in Parliament and accused the ruling Cambodian People's Party of rigging last July's general election.


The opposition has called for early elections and reform of the electoral process. Both sides said last month that they might be near a deal that would end the political deadlock. Many had anticipated the jailed garment workers could be freed as part of the deal.


The minimum wage was increased, but not as much as workers had demanded, and a widespread but short-lived strike accompanied the protests. Labor unions have close links to the opposition, and Prime Minister Hun Sen warned them to keep out of politics.


Four of the men convicted Friday were ordered to pay fines of 8 million riel ($2,000) for inciting the others to stage the protest.



How Google got states to legalize driverless cars


About four years ago, the Google team trying to develop cars driven by computers — not people — became convinced that sooner than later, the technology would be ready for the masses. There was one big problem: Driverless cars were almost certainly illegal.


And yet this week, Google said it wants to give Californians access to a small fleet of prototypes it will make without a steering wheel or pedals.


The plan is possible because, by this time next year, driverless cars will be legal in the tech giant's home state.


And for that, Google can thank Google, and an unorthodox lobbying campaign to shape the road rules of the future in car-obsessed California — and maybe even the rest of the nation — that began with a game-changing conversation in Las Vegas.


The campaign was based on a principle that businesses rarely embrace: ask for regulation.


The journey to a law in California began in January 2011 at the Consumer Electronics Show in Las Vegas, where Nevada legislator-turned-lobbyist David Goldwater began chatting up Anthony Levandowski, one of the self-driving car project's leaders. When talk drifted to the legal hurdles, Goldwater suggested that rather than entering California's potentially bruising political process, Google should start small.


Here, in neighboring Nevada, he said, where the Legislature famously has an impulse to regulate lightly.


It made sense to Google, which hired Goldwater.


"The good thing about laws is if they don't exist and you want one — or if they exist and you don't like them — you can change them," Levandowski told students at the University of California, Berkeley in December. "And so in Nevada, we did our first bill."


Up to that point, Google had quietly sent early versions of the car, with a "safety driver" behind the wheel, more than 100,000 miles in California. Eventually, government would catch up, just as stop signs began appearing well after cars rolled onto America's roads a century ago.


If the trigger to act was a bad accident, lawmakers could set the technology back years.


Feeling some urgency, Google bet it could legalize a technology that though still experimental had the potential to save thousands of lives and generate millions in profits.


The cars were their own best salesmen. Nevada's governor and other key policy makers emerged enthusiastic after test rides. The bill passed quickly enough that potential opponents — primarily automakers — were unable to influence its outcome.


Next, Nevada's Department of Motor Vehicles had to write rules implementing the law.


At the DMV, Google had an enthusiastic supporter in Bruce Breslow, then the agency's leader.


Breslow had been fascinated by driverless cars since seeing an exhibit at the 1964 New York World's Fair. Seeing a career-defining opportunity, Breslow shelved other projects and shifted money so he wouldn't have to ask for the $200,000 needed to research and write the rules.


At first, DMV staff panicked — they only had several months to write unprecedented rules on a technology they didn't know. But Google knew the technology, and was eager to help.


"Very few people deeply understand" driverless car technology, said Chris Urmson, the self-driving car pioneer lured from academia who now leads Google's project. Offering policymakers information "to make informed decisions ... is really important to us."


The task fell primarily to David Estrada, at the time the legal director for Google X, the secretive part of the tech giant that houses ambitious, cutting-edge projects. Estrada would trek from San Francisco to Nevada's capital, Carson City, for meetings hosted by DMV staff.


Breslow credited Estrada with making suggestions that made the regulations far shorter, and less onerous, than they would have been. "We quickly jumped in ... to help figure out what the regulation should look like," recalled Estrada.


While others attended the meetings, Google seemed to have a special seat at the table.


Bryant Walker Smith, who teaches the law of self-driving cars as a fellow at Stanford University, described one rule-drafting session where Google — not the DMV — responded to suggestions from auto industry representatives.


"It wasn't always clear who was leading," Smith said. It seemed to him that both Google and the DMV felt ownership of the rules.


By the end of 2011, Nevada welcomed the testing of driverless cars on its roads. Google, however, was focused on its home state, where its Priuses and Lexuses outfitted with radar, cameras and a spinning tower of laser sensors were a regular feature on freeways.


In many ways, Google replicated its Nevada playbook: Frame the debate. Wow potential allies with joy rides. Argue that driverless cars would make roads safer and create jobs.


In January 2012, Google met with state Sen. Alex Padilla, a Massachusetts Institute of Technology engineering graduate. Padilla was intrigued, and agreed to push a bill. Padilla said Nevada's law helped him sell colleagues on the need to act.


"California is home to two things. Number one is the hotbed of innovation and technology. And second, we love our cars. So it only made even more sense to say, 'OK we need to catch up and try and lead the nation,'" Padilla said.


Nevada's swift action, he said, "sent the signal to a lot of colleagues that, 'No, this is not one we want to overthink and study for five years before we take action.'" After all, who in California government wanted a flagship company moving jobs out of the state.


In March 2012, Padilla rode in the driver's seat of a Google car with Levandowski riding shotgun to the news conference announcing his legislation.


In the months that followed, various groups tried to shape Padilla's bill.


One was the Alliance of Automobile Manufacturers, which objected that automakers would be liable for the failure of Google technology strapped onto one of their cars. Trial lawyers, a powerful constituency in the state, successfully lobbied to keep automakers on the hook.


Some inside the Capitol concluded that Padilla was most attuned to Google.


One thing that troubled Howard Posner, then the staffer on the Assembly Transportation Committee responsible for analyzing the bill and suggesting improvements, was that Padilla's legislation would let cars operate without a human present.


Posner argued that lawmakers shouldn't authorize this last step until the technology could handle it. The response, he said, was that Padilla didn't want to do that — "which in my mind meant Google was not willing to do that."


Padilla said that while Google's high profile helped the bill succeed, his office made the decisions. "We're always going to have the final say," he said.


In September 2012, Gov. Jerry Brown went to Google's headquarters and signed Padilla's bill.


Now, California's motor vehicles officials face an end-of-year deadline to write regulations that will allow driverless cars to go from testing to use by the public in June 2015.


At a DMV hearing in March, two Google representatives sat next to DMV staff at the head tables. Their message: Now that self-driving cars were legal, the state should not regulate them too strictly.



Israel solves water woes with desalination


After experiencing its driest winter on record, Israel is responding as never before — by doing nothing.


While previous droughts have been accompanied by impassioned public service advertisements to conserve, this time around it has been greeted with a shrug — thanks in large part to an aggressive desalination program that has transformed this perennially parched land into perhaps the most well-hydrated country in the region.


"We have all the water we need, even in the year which was the worst year ever regarding precipitation," said Avraham Tenne, head of the desalination division of Israel's Water Authority. "This is a huge revolution."


By solving its water woes, Israel has created the possibility of transforming the region in ways that were unthinkable just a few years ago. But reliance on this technology also carries some risks, including the danger of leaving a key element of the country's infrastructure vulnerable to attack.


Situated in the heart of the Middle East, Israel is in one of the driest regions on earth, traditionally relying on a short, rainy season each winter to replenish its limited supplies. But rainfall only covers about half of Israel's water needs, and this past winter, that amount was far less.


According to the Israeli Meteorological Service, northern Israel, which usually gets the heaviest rainfalls, received just 50 to 60 percent of the annual average.


Tenne said the country has managed to close its water gap through a mixture of conservation efforts, advances that allow nearly 90 percent of wastewater to be recycled for agricultural use and, in recent years, the construction of desalination plants.


Since 2005, Israel has opened four desalination plants, with a fifth set to go online later this year. Roughly 35 percent of Israel's drinking-quality water now comes from desalination. That number is expected to exceed 40 percent by next year and hit 70 percent in 2050.


The Sorek desalination plant, located roughly 15 kilometers (10 miles) south of Tel Aviv, provides a glimpse of that future.


With a loud humming sound, the massive complex produces roughly 20 percent of Israel's municipal water, sucking in seawater from the nearby Mediterranean through a pair of 2.5-meter-wide pipes, filtering it through advanced "membranes" that remove the salt, and churning out clean drinking water. A salty discharge, or brine, gets pumped back into the sea, where it is quickly absorbed. The facility, stretching nearly six football fields in length, opened late last year.


Avshalom Felber, chief executive of IDE Technologies, the plant's operator, said Sorek is the "largest and most advanced" of its kind in the world, producing 624,000 cubic meters of potable water each day. He said the production cost is among the world's lowest, meaning it could provide a typical family's water needs for about $300 to $500 a year.


"Basically this desalination, as a drought-proof solution, has proven itself for Israel," he said. "Israel has become ... water independent, let's say, since it launched this program of desalination plants."


By meeting its water needs, Israel can focus on longer-term agricultural, industrial and urban planning, he added.


Disputes over water have in the past sparked war, and finding a formula for dividing shared water resources has been one of the "core" issues in Israeli-Palestinian peace talks.


Jack Gilron, a desalination expert at Ben-Gurion University, said Israel should now use its expertise to solve regional water problems. "In the end, by everybody having enough water, we take away one unnecessary reason that there should be conflict," he said.


Israel has already taken some small steps in that direction. Last year, it signed an agreement to construct a shared desalination plant in Jordan and sell additional water to the Palestinians.


Israel's advances with desalination could help it provide additional water to the parched West Bank, either through transfers of treated water or by revising existing arrangements to give the Palestinians a larger share of shared natural sources.


"Desalination, combined with Israel's leadership in wastewater reuse, presents political opportunities that were not available even five years ago," said Gidon Bromberg, the Israel director of Friends of the Earth Middle East, an environmental advocacy group.


Under interim peace accords signed two decades ago, Israel controls 80 percent of shared resources, while Palestinians get just 20 percent. A more equitable deal could remove a key source of tension, opening the way for addressing other issues, he said.


But with the most recent round of peace talks having collapsed last month, there is little hope of making progress on any of the core issues anytime soon.


Moreover, Bromberg said desalination is not an end-all solution. The plants require immense amounts of energy, consuming roughly 10 percent of Israel's total electricity production, he said.


The exact impact of desalination plants on the wider Mediterranean also isn't clear, he added. A number of countries, including Cyprus, Lebanon and Egypt, are either using or considering the use of desalination plants.


IDE's Felber said the impact of returning brine to the sea is "minor." But Bromberg insists it is too early to say what impact multiple plants would have, saying "much more research is required."


Relying so heavily on desalination also creates a potential security risk. Missile strikes or other threats could potentially knock out large portions of the country's water supply.


The threat is even more acute in Arab countries of the Gulf, which rely on desalination for more than 90 percent of their water supplies and are located much closer to rival Iran.


The Sorek plant is heavily protected with fences, security cameras and guards, and it is not connected to the Internet, instead using a private server, to prevent cyber attacks. But like other key infrastructure, it could be susceptible to missile strikes. During a 2006 war, for instance, Lebanese Hezbollah militants attempted to strike an Israeli power plant.


Tenne, of the Water Authority, acknowledged that "anything in Israel is vulnerable," but said the same could be said for sensitive infrastructure behind enemy lines. "I hope that people will be smart enough not to harm infrastructure," he said.



Japan tax hike lifts inflation to 23-year high


Japan's consumer prices rose 3.2 percent from a year earlier in April to the highest level since 1991, the government said Friday, largely due to a sales tax increase that is expected to dent growth this quarter.


Other April data for the world's third-largest economy were largely in line with forecasts. Industrial production fell 2.5 percent from a year earlier and household spending sank 4.6 percent. Unemployment was 3.6 percent, the same as in March.


Prime Minister Shinzo Abe's policies aimed at ending a deflationary slump that has slowed growth for nearly two decades have made some headway, though the inflation rate remains well below the 2 percent target set by the central bank and government when the tax hike is factored out.


Japan raised its sales tax to 8 percent in April from 5 percent. Japan's central bank estimates that 1.7 percentage points of the inflation rate in April could be attributed to the tax hike. The 3.2 percent figure is for the core consumer price index, which excludes fresh food.


In its latest assessment of Japan's recovery, the International Monetary Fund said Friday that Japan appeared to be weathering the sales tax increase and exports are expected to begin picking up as demand overseas rebounds. It forecast that inflation would remain modest at 1.1 percent in 2014.


But it cautioned that Japan needs deep, structural reforms to support growth.


"Near-term risks to the outlook are balanced, but the sustainability of the recovery over the medium term is at risk," it said.


Consumers and businesses ramped up spending ahead of the tax increase, boosting demand temporarily. The economy is expected to contract or at least slow sharply this quarter.


Economists say wage increases are needed to ensure the strong consumer demand that would prompt companies to begin investing more for future growth.


Shortages of labor in some areas, such as construction and trucking, have been pushing prices and to a limited extent wages higher. But so far overall incomes have not kept pace with the tax hike and price increases.


Prices in Japan rose partly due to higher costs for energy as the yen weakened against the dollar because of massive monetary easing. Many businesses raised prices or offered less for the same price to compensate for their own higher costs.


Revving up consumer demand through stronger purchasing power will be crucial, said Stephan Danninger, Asia and Pacific division chief for the International Monetary Fund.


"The need for inflation to be meaningful in contributing to a stable and faster growing economy is through demand and not through the input of higher prices," he told a seminar in Tokyo on Friday.


The dollar is now buying about 101 yen compared with 80 yen two years ago. But the yen's recent stabilization near 101 to the dollar means inflation is getting less of a push from the exchange rate than it did last year.


"The sharp fall in import price inflation points to a slowdown in consumer inflation in coming months, which should provide some relief to households' battered finances," Capital Economics analyst Marcel Thieliant said in a commentary.


Massive monetary easing by the Bank of Japan has mainly given the government leeway to work on reforms needed to enhance Japan's competitiveness in the longer run and to repair government finances, said Masaaki Kanno, chief economist at JP Morgan in Tokyo.


The April 1 tax hike and a further 2 percentage point increase planned for next year are part of the government's effort to bring under control Japan's huge public debt, which is more than twice the size of the economy.


"One of the most important roles is for the BOJ to buy time," said Kanno.



Lebanon's Arabic press digest – May 30, 2014


The following are a selection of stories from Lebanese newspapers that may be of interest to The Daily Star's readers. The Daily Star cannot vouch for the accuracy of these reports.


An-Nahar


Hezbollah sources: Aoun-Future talks shift to parliamentary elections


An-Nahar has learned that leading Hezbollah figures are following up on talks between Free Patriotic Movement head Michel Aoun and the Future Movement.


Hezbollah sources said talks were shifting from the presidential election to parliamentary elections.


The sources showed enthusiasm for holding the elections even under the 1960 law if a new law was not finalized.


Information made available to An-Nahar said Aoun was still waiting for a response from Future Movement head Saad Hariri regarding his approval/disapproval of his nomination for the presidency.


Al-Akhbar


Hezbollah likely to boycott Rai over his visit to Israel


Sources close to Hezbollah told Al-Akhbar that the resistance party felt very embarrassed when Maronite Patriarch Beshara Rai left them disappointed after a recent meeting in Bkirki where Rai insisted that his Jerusalem trip was purely religious.


The sources said Hezbollah was holding talks with its allies, particularly Christians, to determine the nature of the new relationship with Rai.


They said Hezbollah’s stand would not be limited to issuing a statement criticizing Rai but would likely take a decision to boycott Bkirki in protest.


Al-Joumhouria


Aoun-Hariri negotiations ongoing


Well-informed sources told Al-Joumhouria that FMP leader Michel Aoun and former Prime Minister Saad Hariri were “in serious negotiations” over the presidential election but that no tangible results have emerged.


The sources said the reason for this “seriousness” came from U.S.’s keenness for stability in Lebanon.


More to follow ...



UN urges Lebanon election as soon as possible


UNITED NATIONS: The U.N. Security Council is urging that Lebanon hold its presidential election "as soon as possible."


A statement issued late Thursday by the council expresses disappointment that the election didn't take place on time, and it calls on Parliament to "uphold Lebanon's longstanding democratic tradition" and make sure the election occurs "without external interference."


Lebanon's last president, Michel Sleiman, completed his six-year term Sunday without a replacement, plunging the country into a political vacuum.


U.N. Secretary-General Ban Ki-moon has urged Lebanon's leaders to select a president "without delay."



CFL labor talks break down again


Canadian Football League training camps will open as scheduled Sunday despite another breakdown in contract talks between the league and its players.


Negotiations ended Thursday afternoon after the CFL rejected the union's latest proposal, one that included an amendment to its original demand revenue sharing be included in this deal. The players conceded revenue sharing in the current agreement, which was signed prior to the 2010 season.


The CFLPA's proposal came in response to one tabled Wednesday night by the CFL, which Commissioner Mark Cohon called its "best and final offer."


The current collective bargaining agreement expired at midnight EDT.


While CFLPA President Scott Flory has maintained the union won't play under terms of the present contract, veteran players will report Sunday for the opening of training camp.


No new talks have been scheduled.



Google taking requests to censor results in Europe


Google is starting to accept requests from Europeans who want to purge unflattering information that pops up about them in Web links retrieved by the world's dominant search engine.


The demands can be submitted on a Web page that Google opened late Thursday in response to a landmark ruling issued two weeks ago by Europe's highest court.


The decision gives Europeans the means to polish their online reputations by petitioning Google and other search engines to remove potentially damaging links to newspaper articles and other websites with embarrassing information about their past activities.


Google's compliance thrusts the company into the prickly position of having to balance privacy concerns and "the right to be forgotten" against the principles of free expression and "the right to know."


---


Online:


Request forms: http://bit.ly/1oAsezu



Zuckerberg, wife gift $120M to CA schools


Facebook CEO Mark Zuckerberg and his wife, Priscilla Chan, are donating $120 million to the San Francisco Bay Area's public school system.


The couple's gift will be spread over the next five years and is the biggest allocation to date of the $1.1 billion in Facebook stock the couple pledged last year to the nonprofit Silicon Valley Community Foundation.


"Education is incredibly expensive and this is a drop in the bucket. What we are trying to do is catalyze change by exploring and promoting the development of new interventions and new models," Chan, said in an interview at Facebook's Menlo Park, California headquarters.


The first $5 million will go to school districts in San Francisco, Ravenswood and Redwood City and will focus on principal training, classroom technology and helping students transition from the 8th to the 9th grade. The couple and their foundation, called Startup: Education, determined the issues of most urgent need based on discussions with school administrators and local leaders.


Zuckerberg and Chan, a pediatrician, discussed the donation in an exclusive interview with the Associated Press. It was Chan's first significant step into the public spotlight and the couple's premier interview together. The two met while studying at Harvard and married in their Palo Alto backyard on May 19, 2012 — the day after Facebook's stock began publicly trading in a rocky initial public offering that now seems a distant memory. In 2010, they joined Giving Pledge, an effort led by Microsoft founder Bill Gates and Berkshire Hathaway CEO Warren Buffett to get the country's richest people to donate most of their wealth.


"I'm really focused on connecting the world. That's my main thing, and you're primarily focused on children," said Zuckerberg, turning to Chan. "And we're able to do some of this work together, which is neat...There are interesting overlaps."


Chan, 29, and Zuckerberg, 30, have made philanthropy a central theme of their life together. The two made the largest charitable gift on record for 2013. That $1.1 billion donation was on top of another $500 million the couple gave a year earlier to the Silicon Valley foundation, which helps donors allocate their gifts.


"I just think that philanthropy is a fancy way to say that you care about others and that you want to serve others. And that's been a part of me for as long as I can remember," said Chan, fresh from a pediatrics residency shift at the University of California, San Francisco medical center, where she works primarily with underserved, immigrant families. "(We) have this amazing opportunity it's really important to me that we use this opportunity to continue to give back and create even more change to affect other people's lives."


Last year, Zuckerberg was No. 21 on the Forbes list of the world's richest people, right behind Amazon's Jeff Bezos and ahead of well-known billionaires such as activist investor Carl Icahn and philanthropist George Soros. He owns Facebook stock worth over $27 billion. In 2013, as the median yearly pay for U.S. CEOs crossed the $10 million mark amid a widening income gap, Zuckerberg took a symbolic annual salary of $1.


Though it's been long in the works, the latest gift comes at a time when critics are still questioning what became of Zuckerberg's $100 million donation to Newark, New Jersey's public school system. Four years ago, he announced the donation flanked by then-mayor Cory Booker and New Jersey Gov. Chris Christie. A recent New Yorker article criticizes the donation and the chain of events it set in motion. While well-intentioned, the money has so far failed to fix the city's ailing school system. The process lacked meaningful community input and much of the money has been spent on high-paid contractors and consultants. Four years later, the money is nearly gone and a lot of people are angry. The story's most poignant quote is from Vivian Cox Fraser, president of the Urban League of Essex County, who says "Everybody's getting paid, but Raheem still can't read."


Zuckerberg said the Newark experience is "a big influence on our thinking" with the Bay Area donation. Taking the long view, he's quick to point out that the results in New Jersey are too early to measure.


"The schools and programs that the folks put in place, only now are they ramping up and students are starting to go through them. So you won't know what the outcomes are until like 5, 7, 10 years from now," he said. "That said, I think there are some things that are going generally better than we'd expected and some things that we've definitely taken as lessons."


One of the positive outcomes Zuckerberg points to: Newark's teacher contracts, which, among other things, provide for performance-based pay bonuses for the district's best teachers. He says the contracts are "better than anything that had been negotiated before...to reward teachers who were the top performing teachers and hold teachers accountable who were not performing well."


Zuckerberg admits that he and local leaders could have done a better job engaging the community and soliciting ideas about how to spend the money.


"I think one of the things that we took away from this is that we wanted to do our next set of work in a place where we can engage more directly with the community and a place that we care about a lot. The Bay Area just fit that well," Zuckerberg said.


The couple's broader philanthropic goals center on children, education and health, though Zuckerberg is also active in immigration reform. Last year, he and other tech leaders formed Fwd.us, a political group aimed at changing immigration policy, boosting education and encouraging investment in scientific research. Through Facebook, he's also spearheading Internet.org, which aims to connect the more than 70 percent of the world's 7 billion people who are not yet online.


Connecting the world and children: That's the stuff of dinner conversations in the Zuckerberg-Chan household. A child of Chinese immigrants who arrived in the U.S. on a refugee boat, Chan recalled an early memory that shaped who she is. It was the time her mother left to give birth to her younger sister and she was left with her grandparents.


"I remember thinking when my mom was absent that it's my turn to step up and care for my grandmother and my grandfather, and I've carried that with me ever since," Chan recalled. She was two and a half at the time.


Zuckerberg, who turned 30 earlier this month, said he and Chan are inspired by Bill and Melissa Gates and others who believe philanthropy "isn't just something where you can wake up one day and decide to give away a bunch of money and do it effectively. Like anything else, you need practice."


To help prepare for their charitable work in education, Zuckerberg and Chan decided they needed hands-on experience. Chan has taught 4th and 5th grade science at a local private school and Zuckerberg has run an after-school program on entrepreneurship.


"We talked about the education work that we wanted to do and she made this point to me that I wasn't going be one of those people who (try to help by giving) money to places but had never taught anything myself," Zuckerberg said. He didn't think he'd have time to teach while running Facebook, but Chan set it all up. He says, "it actually ended up being awesome." He still meets with the students regularly.


All the talk of children leads to talk of kids of their own.


"Well one day, but right now." Chan said.


"That's a yes," Zuckerberg cut in, laughter all around.


"Yes, but, we are a little preoccupied with other people's children right now," added Chan.



Government warns against indoor tanning for minors


Tanning beds and sun lamps will carry new warnings that they should not be used by anyone under age 18, part of a government action announced Thursday aimed at reducing skin cancer linked to the radiation-emitting devices.


The Food and Drug Administration has regulated tanning machines for over 30 years, but the agency is now requiring more prominent warnings about the cancer risks of indoor tanning.


Makers of sun lamps and related devices must include a bold label, known as a black box warning stating that they should not be used by people under age 18. Additionally, manufacturers must provide more warnings about cancer risks in pamphlets, catalogues and websites that promote their products. Those materials must warn that the devices shouldn't be used by people who have had skin cancer or have a family history of the disease.


For years, medical groups have urged the U.S. government to take action on tanning beds because of rising rates of skin cancer among teenagers and 20-somethings, particularly women. Over 76,000 new cases of melanoma, the deadliest form of skin cancer, are expected to be diagnosed this year, and the disease is expected to cause 9,710 deaths, according to the American Cancer Society. While most cases are diagnosed in people in their 40s and 50s, the disease is linked to sun exposure at a young age. But melanoma is also the second-most common form of cancer among young adults, according to the American Academy of Dermatology.


An estimated 2.3 million U.S. teenagers tan indoors each year.


A spokeswoman for the American Academy of Dermatology said she hoped the federal move would spur more states to take action. Twenty four states already have laws banning minors from using indoor tanning equipment.


"The FDA has taken a very strong stand about indoor tanning and this will, I think, really encourage additional states to strengthen their indoor tanning restrictions," said Dr. Mary Maloney of the University of Massachusetts Medical School.


The FDA is also requiring manufacturers to meet certain safety and design requirements, including timers and limits on the radiation levels the products produce.


Previously the FDA classified tanning machines as low-risk devices, in the same group as bandages and tongue depressors. As part of Thursday's action the FDA reclassified all tanning beds and sun lamps as higher-risk, class II devices. The switch allows FDA to review their safety and design before manufacturers begin selling them.


An industry spokesman said the new requirements would drive up costs for companies, which would likely be passed on to consumers.


"It would be a lot better if the FDA had not decided to place another layer of regulation, another layer of costs and difficulty on an already struggling industry," said John Overstreet, executive director of the Indoor Tanning Association. "We're obviously disappointed that they decided to take this step."


The association represents makers of various tanning products — including tanning beds, lotions and sunglasses — and indoor tanning facilities.


Companies will have roughly 15 months to place the warning labels on devices already used in tanning facilities but no longer marketed. Companies looking to sell new devices will have to comply with the new labeling and premarket review requirements in 90 days.


The FDA requirements only apply to makers of indoor tanning devices, not salon operators.


"The FDA is not trying to burden salons but rather to educate consumers who choose to voluntarily use sun lamp products about the potential risks," said FDA deputy director for policy, Nancy Stade, on a call with reporters.



Grain mixed, beef higher and pork lower


Grain futures were mixed Thursday on the Chicago Board of Trade.


Wheat for July delivery fell 6.25 cents to $6.3250 a bushel; July corn was 3 cents lower at 4.6950 a bushel; July oats were 11.75 cents higher at $3.6150 a bushel; while July soybeans gained 1.25 cents to $14.99 a bushel.


Beef higher and pork was lower on the Chicago Mercantile Exchange.


August live cattle rose 2.07 cents to $1.3917 a pound; August feeder cattle was 1.48 cents higher at $1.9705 a pound; while July lean hogs fell .67 cent to $1.2060 a pound.



AP Source: Former Microsoft CEO wins Clippers bid


Shelly Sterling reached an agreement Thursday night to sell the Los Angeles Clippers to former Microsoft CEO Steve Ballmer for $2 billion, according to an individual with knowledge of the negotiations.


The individual, who wasn't authorized to speak publicly, told The Associated Press that Ballmer and the Sterling Family Trust now have a binding agreement. The deal now must be presented to the NBA.


Shelly Sterling negotiated the sale after her husband, Donald Sterling, made racist remarks that were made public. Donald Sterling must also approve the final agreement as a 50 percent owner.


Ballmer beat out bids by Guggenheim Partners and a group including former NBA All-Star Grant Hill.


It's unclear if the deal will go through. The individual said that though Donald Sterling was not involved in the negotiations, "at the end of the day, he has to sign off on the final process. They're not going to sell his 50 percent without him agreeing to it."


Donald Sterling's attorney says that won't happen. "Sterling is not selling the team," said his attorney, Bobby Samini. "That's his position. He's not going to sell."


That's despite a May 22 letter obtained by The Associated Press and written by another one of Sterling's attorneys that says that "Donald T. Sterling authorizes Rochelle Sterling to negotiate with the National Basketball Association regarding all issues in connection with a sale of the Los Angeles Clippers team." It includes the line "read and approved" and Donald Sterling's signature.


Samini said Sterling has had a change of heart primarily because of "the conduct of the NBA." He said NBA Commissioner Adam Silver's decision to ban Sterling for life and fine him $2.5 million as well as try to oust him as an owner was him acting as "judge, jury and executioner."


"They're telling me he should stand back and let them take his team because his opinion on that particular day was not good, was not popular?" Samini said. "That his team should be stripped from him? It doesn't make sense. He's going to fight."


The person with knowledge of the deal said that any buyer would have to ensure the team remains in Los Angeles and be someone Shelly Sterling could work with if she decides to retain a small stake. An attorney representing Shelly Sterling declined to comment.


Franchise sale prices have soared since the current collective bargaining agreement was ratified in 2011. The Milwaukee Bucks were just sold to New York investment firm executives Marc Lasry and Wesley Edens for about $550 million, an NBA record.


Last year, Vivek Ranadive's group acquired a 65 percent controlling interest in the Sacramento Kings at a total franchise valuation of more than $534 million, topping the previous record of $450 million that Joe Lacob and Peter Guber paid for the Golden State Warriors in 2010.


The bid for the Clippers, purchased by Sterling in 1981 for a little more than $12 million, blew right past those.


---


AP Basketball Writer Brian Mahoney contributed to this report.



Tyson fined for sludge spill near Statesville


Court records show that Tyson Farms has agreed to pay a fine of $305,000 for a spill of thousands of gallons of chicken sludge in a river north of Statesville.


The Charlotte Observer reported (http://bit.ly/1lTyGLH) the fine is from the federal Environmental Protection Agency for the spill of about 210,000 gallons of material into a tributary of the South Yadkin River.


The North Carolina Department of Environment and natural Resources fined Tyson more than $8,000 for the incident with the company paying that penalty in 2010.


Tyson spokesman Worth Sparkman pointed out the company has cooperated with government officials. Sparkman said there was no health risk to residents.


Tyson has 30 days to pay the fine.


The spill involved a Tyson subsidiary called River Valley Animal Farms in Harmony.



Diageo announces plan for new distillery in Ky.


Global liquor giant Diageo PLC said Thursday that it plans to build a new distillery in Kentucky.


The company said in a statement that the project, planned on 300 acres in Shelby County, would be a significant investment in the state's growing bourbon industry. It still needs approval from local government officials.


A variety of current and future Diageo bourbon and whiskey brands would be distilled at the proposed facility. The $115 million project would also include six barrel storage warehouses. It would create about 30 jobs for whiskey distillation and maturation.


"Diageo has a long tradition within the craft of whiskey-making, and we look forward to bringing this artisanship to the new distillery," said Diageo North America President Larry Schwartz.


State and local officials expressed enthusiasm about the project, saying they look forward to working with the company as it expands its presence in Kentucky.


"Distilled spirits remain a marquee industry in the commonwealth, and Diageo's new distillery will ensure that even more Kentucky bourbon is enjoyed around the globe," said Gov. Steve Beshear.


State Sen. Paul Hornback, who represents the district, said it would be a "fantastic investment" for the community.


"We are thankful for the positive economic impact this will bring and are proud that bourbon, a signature industry of Kentucky, will now be made right here in Shelby County," Hornback said.


London-based Diageo's brands include Johnnie Walker, Smirnoff, Guinness and George Dickel Tennessee whiskey.



Bills enjoy jump in season-ticket sales


Renovations to Ralph Wilson Stadium are helping spark a jump in season-ticket sales for the Buffalo Bills.


Vice president of marketing Marc Honan says the team has passed the 44,000 mark, which already tops the total in each of the past four seasons. Honan provided the update on Thursday during a media tour of the $130 million in renovations taking place at the stadium.


The upgrades include new fan-friendly amenities, such as larger concessions stands, a sports bar, easier access into the stadium and wider concourses.


Honan says team studies indicated fans are more upbeat with the Bills' direction, despite a 6-10 finish last year that extended Buffalo's playoff drought to 14 seasons.


The Bills sold 42,450 season tickets last year, and had topped 44,000 just 13 times in their 54 seasons.



Hawaii tourism industry continues to decline


Visitors to Hawaii spent $1.1 billion in April — or 2.2 percent less than they spent during the same month last year.


About the same number of travelers came to the islands at nearly 640,000 people.


Hawaii Tourism Authority CEO Mike McCartney said Thursday the agency believes the tourism industry will continue to slow down during the next couple of months.


He says growing competition, the strengthening of the U.S. dollar against international currencies and other economic conditions are holding down the number of people who come to Hawaii and how much they spend here.


To diversify, the agency says it's promoting Hawaii in markets like Australia, New Zealand, China, Korea, Taiwan and Latin America.


The number of visitors to Hawaii hit a record the past two years.



Mexico arrests businessman in Citigroup fraud case


Mexican prosecutors have filed fraud charges against a businessman linked to a $400 million loss at Citigroup's Mexican bank subsidiary.


Citigroup subsidiary Banamex recently fired 11 employees for not following proper procedures in dealing with the Oceanografia oil services company formerly headed by businessman Amado Yanez.


Yanez had been under a form of house arrest while under investigation.


The arrest warrant announced Thursday would normally mean a suspect is sent to prison while a judge decides whether to hold him over for trial.


However, the attorney general's office said Yanez is under police guard at a hospital where he is recovering from surgery.


In February, Banamex announced that Oceanografia had used falsified invoices as collateral to obtain $585 million in loans. Citigroup could verify only $185 million of invoices.



Fast-rising design duo uses the big city as a muse


At the recent Costume Institute gala at the Metropolitan Museum, the most glamorous night of the year in New York fashion, designers Dao-Yi Chow and Maxwell Osborne were doing a little star-gazing.


They headed over to fellow (and more established) designer Thom Browne. "We totally groupied out on him," Osborne says. "We were like, we want to take a picture with you!"


Probably, though, there were plenty of folks totally groupie-ing out on Chow and Osborne. Only two years after nearly shutting down their catchily named Public School label, they've become some of the fastest-rising stars in American fashion, with a dance card of high-profile fans — the powerful Vogue editor Anna Wintour among them — and a new project: expanding from their menswear base into women's designs.


The past year has been a whirlwind. Last June, they won an important award for emerging designers in menswear from the Council of Fashion Designers of America. Five months later, they won the coveted CFDA/Vogue Fashion Fund award, which comes with $300,000. In February, they held their first official New York Fashion Week runway show, one of the more buzzed-about events in a week already packed to the gills.


And now, Public School is up for the main menswear award at the 2014 CFDA awards on Monday — just a year after winning the young designer award. They're up against designers they greatly admire: Browne himself, and Rag & Bone's Marcus Wainwright and David Neville.


Clearly, Chow, 40, and Osborne, 31, know how to stand out from the crowd.


In fact, that's the concept behind their label's catchy name.


"If you've ever gone to public school, you know — it's a lot of kids fighting for very little space," says Chow, who attended New York's famously competitive Stuyvesant High School. "To stand out, you have to separate yourself and be authentic, original. Those were things we wanted to embody in our collection."


And even though it's safe to say that most consumers who can afford their decidedly high-end designs probably send their kids to private school, Chow quips: "This is definitely not a Private School collection."


Chow grew up in Queens, Osborne in Brooklyn. But they spent most of their time in Manhattan, and they say that's what influences their design style. It's a style that's bold, somewhat futuristic in shape, and mainly black. Many have called it street-influenced, but the designers resist easy definitions.


"Everybody wants to hear your elevator pitch," says Chow. "We don't need that." Adds Osborne: "We just make our product, using New York as our muse."


What that means is an ethos that's both edgy and modernistic, says Jim Moore, creative director of GQ magazine.


"American menswear is so often based on the classic and the preppy," Moore says. But Chow and Osborne "are opening a different door. They're saying you don't have to follow the usual rules. You can wear pants that are short, with a dropped crotch, and a T-shirt that's not tucked in. Their clothes are not for everyone. And they're fine with that."


Moore adds: "I'm not going to say they're not expensive. But the craftsmanship is there."


A point of pride for Public School: Their clothes have so far all been made at home. "It feels great," says Osborne, "just knowing it's made in New York." Chow notes, though, that the next collection will contain sweaters, for example, made in China. "The plan is to keep a big part of it here," he says. "That's a big part of our identity. But manufacturing 100 percent of your clothes here AND trying to become a bigger business just isn't a reality."


The two men first came across each other at the fashion house Sean John. Chow was VP of marketing and creative director; Osborne was an intern. "We hung out a lot," says Chow, noting that the two bonded over not just fashion, but art and especially music (Chow had previously been a journalist at the music magazines VIBE and Blaze).


The two debuted Public School in 2008 — what they now call Public School 1.0. Not satisfied, they rebooted the line in 2012.


For their promising rise since then, the designers cite the help they've gotten from all over the fashion world, including fellow designers like Prabal Gurung, who has mentored them and wears their clothes, too. They also note that among menswear designers, there's a camaraderie that isn't quite the same in the bigger world of womenswear. "It's more about support than competition," Chow says.


Womenswear may be much more competitive, but Chow and Osborne say they're ready — though they take pains to point out they're not abandoning menswear. To the contrary, their menswear collections will heavily influence their women's clothes in terms of fabric and shape.


The ultimate goal? "We want to be able to affect as many people as we can," Chow says. "We don't want to be a niche brand, a small label that only a handful of people know about."


Or, as Osborne puts it: "We want to flood the world with our vision."


"Wow," his partner comments. "That's poetic!"



Dish to become largest company to accept bitcoin


Dish Network Corp. says it will become the largest company yet to accept payment in bitcoin.


The satellite TV company says it will begin accepting the digital coins through payment processor Coinbase by September. Coinbase will instantly convert the bitcoins into cash, eliminating the risk of price fluctuations to Dish.


Dish's chief operating officer, Bernie Han, says the idea came from company employees who had become avid bitcoin users.


While Han says demand for the payment system is unclear, it aligns the Englewood, Colorado, company's high-tech offerings — such as the ability to watch live TV on mobile devices — with the tech-savvy customers it is trying to reach.


He also said Coinbase's payment processing fee is attractive compared to the average of what it pays to other processors.



Al-Akhbar reverses, to face STL hearing


BEIRUT: Al-Akhbar and its editor Ibrahim al-Amin will appear before the Special Tribunal for Lebanon during Thursday’s hearing for contempt, the newspaper said.


“We decided to use the international tribunal as a pulpit to accuse the tribunal and prosecute it in the name of conscience, morality, freedom of the press, national sovereignty, resistance and the spirit of the law, as well as our central issue, Palestine,” Amin said in an editorial on the newspaper’s website.


Amin is accused of contempt of court and obstruction of justice after two articles published in January last year disclosed the identities of alleged court witnesses.


Amin and Al-Akhbar’s initial hearing is scheduled for 4 p.m. Beirut time, during which he will be formally charged with the crimes, ahead of a trial that could take months to begin. Contempt Judge Nicola Lettieri will ask him to enter a plea before the court.


The editor of the pro-Hezbollah daily was initially supposed to appear before the court in mid-May but asked for a postponement to appoint a defense lawyer.


In a letter earlier this week, Amin outlined to the court a raft of concerns over his prosecution, including fears for his personal safety and questions over the STL’s right to prosecute journalists.


The STL is tasked with prosecuting those responsible for the Feb. 14, 2005, bombing that killed former Prime Minister Rafik Hariri and 21 others and plunged Lebanon into political turmoil.


The U.N.-backed court has indicted five members of Hezbollah in connection with the attack. It will resume their trial in absentia in The Hague next month.



Three tons of expired meat confiscated in north Lebanon


TRIPOLI, Lebanon: Authorities confiscated three tons of expired meat from four butcheries in the northern city of Tripoli.


Members of the Tripoli Municipality along with a patrol unit from State Security shut down and fined the shops, which were selling packs of frozen expired meat.


The shops are located in Tripoli’s busy Al-Attareen Street.


Lebanon has in the past been rocked by scandals of shops selling expired meat and dairy products in several parts of the country, which prompted security forces to crackdown on such shops.



Malaysia Airlines union calls for CEO to resign


The union representing Malaysia Airlines employees is calling for the resignation of the airline's chief executive, saying new management is needed to revive the beleaguered flag carrier.


The union's secretary Mohamad Jabbarullah Abdul Kadir said Thursday that the state-owned airline has been mired in losses for four straight years and is now grappling with the aftermath of the Flight 370 tragedy. The jet disappeared on March 8 with 239 people on board.


He said the government and airline have done their best in handling the tragedy, but CEO Ahmad Jauhari Yahya and his team have failed to show leadership in charting the airline's future.


Mohamad Jabbarullah said staff frustration was not due to the plane crisis but had built up over the years because of management's failure to engage employees and address internal problems. Bankruptcy isn't an option for the airline that has 19,500 staff worldwide, he said.


"We have lost trust in the current management. Staff morale is very low due to a lack of leadership and direction. We need a new team with experience to turn around the airline," he told reporters.


The union's demand will add to pressures on Malaysia Airlines, which is already struggling to repair its image after Flight 370 vanished en route from Kuala Lumpur to Beijing. About two-thirds of the passengers were Chinese.


Airline officials couldn't be immediately reached for comment.


The carrier's first quarter loss swelled 59 percent to 443.4 million ringgit ($137.6 million), hit by a backlash in China.


Last year, the airline's losses ballooned to 1.17 billion ringgit ($363 million), nearly three times larger than its 433 million ringgit loss in 2012.


Mohamad Jabbarullah said the union, which has about 8,000 members, is urging Prime Minister Najib Razak to intervene "to rescue the airline from disintegrating."


The government has said it will not bail out the carrier.


The union will submit a memorandum to Najib soon to appeal for a new management team with strong experience in the aviation industry.


Shares of Malaysia Airlines have plunged since Flight 370 disappeared.



New park in Beirut's southern suburbs welcomes residents


BEIRUT: Residents young and old gathered to inaugurate a new park in Beirut’s southern suburb of Shiyah Wednesday evening.


The gated park, encircled by residential buildings on Abdel-Karim al-Khalil Street, holds green grass and a number of bushes and trees centered around a traditional Mediterranean-style Lebanese house. Adorned with brown wooden shutters, the sand-colored stone house is topped with orange roof tiles and will be used as an office area for children according to locals. Wednesday’s event was sponsored by the Municipality of Ghobeiry.


Ghobeiry’s Mayor Mohammad Said al-Khansa and Public Works Minister Ghazi Zeaiter delivered speeches praising the residents of Beirut’s southern suburbs and the planners of the park.


“We are from you ... the best country and the strong country,” Zeaiter said, addressing a crowd of men, women, and children of all ages, seated in brown plastic chairs placed on the grass as residents looked on from neighboring homes’ windows and balconies.


Following the speeches, officials cut the ribbon leading to the house’s patio, as a brass band played music in the background and helpers passed out sweets. Locals greeted each other jovially and were in a good-humored mood following the inauguration ceremony.


“[This place] is for the kids,” said Ali Barakat, 52, a resident in Beirut’s southern suburbs, who brought his three daughters to the opening.


While most residents were happy over the park, a welcome investment in a neighborhood that suffers from overcrowding and has a reputation as a cement jungle, some were not optimistic that it would stay in its current spotless state.


“[The park] is important and beautiful, but in two months we’ll see if it stays like it is now,” said a resident of a building overlooking the park who requested anonymity. Sitting next to his young son, the father of three said that the park was clean now because of the distinguished guest list of ministers and Parliament members along with the presence of media. But residents who border the ground could ruin its pristine condition, he said.


As the unnamed man was speaking, some members of the community were discarding cigarettes or the wrappers of sweets in the green space. He wondered if the municipality would continue to maintain the area after the inaugural period.


“After two months, you’ll see if it’s different from before,” he said, adding “like any other garden.”



Lebanese police arrest major drug lord


BEIRUT: Lebanese police made a big catch Thursday, arresting a major drug lord who is also wanted for arms trafficking and opening fire.


The Internal Security Forces tweeted that police had arrested a Lebanese man identified only by his initials, A.I.


The ISF described the man as “the biggest drug dealer in Brital, who is wanted on 400 warrants.”



Christian ministers not planning to boycott Cabinet session


BEIRUT: Christian ministers are set to attend Friday's Cabinet session despite the presidential void, while calling for a larger role in the government’s decision-making.


“We do not have a problem with attending Cabinet’s sessions, this does not go against the Constitution,” Labor Minister Sejaan Azzi, affiliated with the Kataeb Party, told The Daily Star. “We just believe we should now cooperate together as ministers to decide what issues to address in the government’s future meetings."


Azzi added that Cabinet should also avoid making exceptional decisions and limit its activity to running the country’s and citizens’ affairs.


“I am not saying we should act as a caretaker Cabinet, it is not the case of course; I am just saying we should avoid major decisions so that we do not give the impression that the country is doing OK in the absence of a president,” he said.


“That’s just out of respect to the National Pact,” the minister said, in reference to the unwritten 1943 agreement that laid the foundation of Lebanon as a multi-confessional state and governs the political dynamics of the country to this day.


Prime Minister Tammam Salam is set to chair the Cabinet session with 25 items on its agenda in the Grand Serail at 4 p.m Friday. The session will be the first since Lebanon plunged into a presidential void with the end of former President Michel Sleiman's term on May 25.


Political sources told The Daily Star that the session was a test to determine whether the Cabinet’s activity would be affected by the presidential void.


The ministers are set to express their political views on the government’s prerogatives in light of political void in the country and whether its activity should be limited to urgent files or expanded, the sources said.


Lacking a president, the Constitution tasks the Cabinet with exercising the presidency's authority.


The presidential void has already led Christian lawmakers and other MPs to boycott Parliament, arguing that it cannot legislate in light of a void.


According to the sources, ministers from MP Michel Aoun’s Free Patriotic Movement are asking that Salam agrees on the agenda with the ministers prior to the session.


They argue that the prime minister normally discusses the agenda with the president, and lacking a head of state, he should agree on the items to be addressed in Cabinet’s future sessions with the ministers.


Salam, however, opposes the suggestion, the sources said.



Japan aid widens Myanmar factories vs farms divide


Tin Hsan and her husband lived modestly in the outskirts of Myanmar's commercial capital Yangon, growing rice and betel leaves on their 22 acres and peddling vegetables, but they got by, until they were forced to move to make way for Thilawa, a showcase industrial zone being built with Japanese aid.


The expansive factory park is part of plans to develop the Yangon region and its crumbling, pre-World War II infrastructure as Myanmar rushes to shift from subsistence farming to export manufacturing following sweeping political and economic reforms that ended outright rule by the military.


Critics, however, say the landmark project is pushing families deeper into poverty, and accuse local officials of strong-arm tactics to force resettlements, highlighting the dilemmas faced by Myanmar's fledgling democracy as foreign businesses and development groups pour into the country.


Japan International Cooperation Agency and several big Japanese companies have a combined 49 percent stake in the 2,400-hectare (5,900-acre) special economic zone, which is Japan's biggest investment in Myanmar so far.


Many of the people forced to move from farms to tiny plots of land outside the area designated for the industrial zone may eventually get jobs in the factories expected to set up in Thilawa. But in the meantime conditions are bleak.


"My husband is a farmer and he only knows how to work in the field. Since he has no work to do, he became depressed and is now drinking day and night," said Tin Hsan, standing outside their rickety, one-room hut that fills a barren roadside lot. "Since we moved here and live in this small place with no space to grow anything, we are living hand to mouth and we are all miserable."


Tin Hsan and her husband are one of 81 households, or about 300 people, moved between 4.5 kilometers and 8 kilometers so far. Local residents and their advocates say that in the rush to meet deadlines, residents were forced to sign agreements for new housing and compensation that fell far short of their needs and also violated JICA's requirement that resettlement not result in lower living standards. More than 4,500 will be resettled for the second phase of construction.


Plans call for the zone to eventually employ nearly 300,000 people, mostly in manufacturing. Since construction began in late November, a Japanese contractor has raised and leveled 400 hectares (990 acres) of land near a port built in the 1990s that will be expanded. During a recent visit, workers were putting the finishing touches on a prefabricated building that will serve as the zone's headquarters.


"There's so much speculative capital looking for somewhere to go. Thilawa is looking like the best bet for an industrial park so that land prices are going up," said Rachel Calvert of consultancy IHS. "The amount of interest in Thilawa is huge."


Thilawa is promising ample, stable electricity and good quality water piped in from a reservoir up country. Since other industrial zones in and around Yangon are full and lack stable electricity, companies are lining up to get in, said Calvert.


Yet satisfying the priorities of foreign investors and local businesses comes at a high cost for those uprooted. They are unhappy over the disruptions to their lives, loss of livelihoods, the amount of compensation provided, and most acutely over the silty orange water available to their new homes.


Tin Hsan and her husband received about 28 million kyat ($29,000) in compensation, a sum that is a small fortune in Myanmar but which was quickly dissipated and also shortchanged them by paying out for only 13 of their 22 acres. Without farmland to provide food and an income, the extended family of four sons and a dozen grandchildren was forced apart. Tin Hsan said they spent about $5,000 to build their new house and split the remaining money between their children.


"Maybe the residents' homes were old, but they were spacious. Now they have new homes, but they're cramped and surrounded by water when it rains. The houses are full of cracks," Michihiro Ishibashi, a Japanese lawmaker who recently visited to investigate, told a parliamentary committee earlier this month.


Officials at JICA, the Japanese aid organization with a 10 percent stake in Thilawa, acknowledge problems with the resettlement effort but insist the project conforms to its own and to other international aid standards.


It said it is working with the local government to try to resolve the problems. The muddy water supply may partly stem from the haste in which the wells were installed, JICA said.


"Resettlement is a tremendous burden and many of the project-affected persons are still struggling," Takuro Takeuchi, a JICA advisor, said in an interview at the agency's headquarters in Tokyo. But ultimately, he said, "It's the Myanmar government that has to settle the situation."


In April, JICA went ahead with loans for Thilawa despite an environmental impact assessment showing 11 areas of likely negative impact and nine needing further study, compared with only six categorized as neutral or positive.


JICA's rules call for the host governments of projects it funds to ensure residents can improve or at least maintain their living standards. Meeting that benchmark appears daunting given the hard-scrabble conditions prevailing around Yangon and the limited resources available in one of the poorest countries in Asia.


Activists working with Thilawa residents say those resettled were told they had no choice. Despite Myanmar's recent democratic reforms, most citizens remain wary of protest and unaware of their rights after decades of authoritarian, repressive rule.


"The people in Thilawa continue to suffer, but the Myanmar government isn't listening and JICA isn't listening. They don't seem to care that the project is violating their own guidelines," said U Mya Hlaing, leader of the Thilawa Social Development Group, which represents local residents.


The zone began auctioning off shares in the project in early March, for 10,000 kyat per share, with a target of selling 2 million shares, and reported it took in 40 billion kyat ($41 million), nearly twice the amount expected.


Sales of factory sites began May 19.


"From autumn to next year, we will see the highest quality infrastructure in Myanmar," said U Win Aung, chairman of the Union of Myanmar Federation of Chambers of Commerce and Industry.


"You have nothing to worry about," he told a Japanese business mission.



Oil little changed ahead of US supply report


The price of oil was little changed near $103 barrel Thursday after falling sharply on expectations of a big drop in U.S. crude stockpiles.


Benchmark crude for July delivery was up 6 cents to $102.78 a barrel at 0825 GMT in electronic trading on the New York Mercantile Exchange. The contract dropped $1.39 to close Wednesday at $102.72.


Traders were waiting for the latest information on U.S. supplies of crude and refined products.


Data for the week ended May 23 is expected to show an increase of 1 million barrels in crude oil stocks and a decline of 200,000 barrels in gasoline stocks, according to a survey of analysts by Platts, the energy information arm of McGraw-Hill Cos.


Brent crude, a benchmark for international oils, was up 28 cents to $110.09 on the ICE exchange in London.


In other energy futures trading in New York.


— Wholesale gasoline was little changed at $2.988 a gallon.


— Natural gas added 0.3 cent to $4.618 per 1,000 cubic feet.


— Heating oil rose 0.2 cent to $2.933 a gallon.



Bassil seeks Turkey's help in bishops’ release


BEIRUT: Lebanon’s Foreign Minister Gebran Bassil Thursday urged his Turkish counterpart to use his influence to help secure the release of the kidnapped bishops in Syria and Lebanese cameraman Samir Kassab.


Bassil's request was made during a meeting with Turkish Foreign Minister Ahmet Davutoglu on the sidelines of the four-day ministerial conference of the Non-Aligned Movement in Algeria, which began May 26, Tayyar website said.


The website, a mouthpiece for the Free Patriotic Movement, said Davutoglu promised to multiply efforts for the safe return of the hostages.


Two Orthodox bishops, Yohanna Ibrahim and Paul Yazigi, were kidnapped in April last year, reportedly near the rebel-held town of Kafr Dael.


No group has claimed responsibility for their kidnapping, but sources close to the Greek Orthodox Church and the Syrian authorities have claimed the kidnappers were "Chechen jihadists."


Sky News Arabia cameraman Samir Kassab disappeared in Syria last October.


More to follow ...



Obama Urges China To Be Constrained Within International Rules



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





China has confronted several of its neighbors in disputes over territory. During a speech at West Point on Wednesday, President Obama spoke of accepting Chinese power — but also limiting it.



8 vehicles earn top rating for collision warning


The 2014 Chevrolet Impala was the only non-luxury car to earn the highest safety rating in new tests of high-tech crash prevention systems.


The Insurance Institute for Highway Safety tested cars equipped with collision warning and automatic braking systems. It gave a "superior" rating to cars that both warned the driver of a potential collision and applied the automatic brakes to significantly slow the cars.


The BMW 5 Series, BMW X5, Mercedes-Benz E-Class, Buick Regal, Cadillac CTS, Cadillac XTS and 2015 Hyundai Genesis also earned "superior" ratings in the test results released Thursday.


Collision warning and automatic braking systems use radars, cameras and lasers to determine if a vehicle is getting too close to the car in front of it. Most of the systems warn the driver — audibly, with vibrations in the seat, or both — and prepare the brakes to maximize their effect when the driver presses them.


In some cases, the vehicles brake themselves. That action may not prevent a crash, the institute said, but reducing the speed before the car hits something can help make crashes — and injuries — less severe.


The Impala's rating wasn't affected by a government investigation of one driver's report that the automatic braking system went off several times without warning, eventually causing an accident. Insurance Institute spokesman Russ Rader said the group is aware of the investigation but had no issues with the Impala in testing.


The Arlington, Virginia-based institute, which is funded by insurers, began testing and rating the systems last fall in hopes of pressuring automakers to adopt them as standard equipment. The institute said 40 percent of 2014 models now offer forward collision warning as an option, while 20 percent offer automatic braking. Acura, Mercedes-Benz and Volvo offer the systems as standard equipment on some cars.


Tests are conducted at 12 miles per hour and 25 miles per hour. In the highest-rated cars, the brakes slowed the cars to 2 or 3 mph or less.


Thirteen 2014 models earned "advanced" ratings, meaning they warned drivers but their brakes reduced the speed only moderately. Those vehicles were: the BMW 3 Series, Buick LaCrosse, Lexus IS, Audi A3, Audi A6, BMW 3 Series, Dodge Durango, Lexus GS, Mercedes-Benz CLA, Infiniti QX50 and Infiniti QX70. The BMW 5 Series and BMW X5, which won superior ratings when equipped with a radar and camera, earned "advanced" ratings when equipped with City Brake, a camera-only system.


Three models earned "basic" ratings, meaning they warned drivers of a potential collision but reduced the car's speed by less than 5 mph. They were: the BMW 3 Series (without City Brake), the Infiniti Q70 and the Toyota Avalon.