Bankruptcy mulled to stop Pa. amusement park sale

MEADVILLE, Pa. -- County officials have authorized a sheriff's sale of a century-old amusement park in northwestern Pennsylvania, but a redevelopment agency official says park trustees may file for bankruptcy to hold off the sale.

Commissioners in Crawford County voted Thursday to authorize the sale of 122-year-old Conneaut Lake Park, rejecting a revitalization plan by the Economic Progress Alliance of Crawford County, The Erie-Times News (http://bit.ly/1pg5Qeh ) reported.

Mark Turner, executive director of the group, said park trustees will consider filing for Chapter 11 bankruptcy to stop the sale and freeze park assets, allowing the redevelopment agency to continue with plans to revitalize and expand the park.

"I think that bankruptcy could be overwhelmingly positive, especially in freezing park debt and putting existing debt, including unsecured claims and expired judgments, through the wringer, subject to determination of the bankruptcy court," Turner said.

Officials say the park owes more than $910,000 in back taxes to the county and the local townships and school district. A sheriff's sale as early as October would allow collection of the money, which is a "paramount" responsibility to county taxpayers, Commissioner Jack Lynch said.

The redevelopment group has proposed turning the park into a year-round resort complete with new exposition and arts centers at an estimated cost of up to $15 million, repaying the debt over four years through insurance settlements and proceeds from sales of park property. County attorneys, however, say settlements could be tied up in court indefinitely and property sales might not cover the tax debt.

Pittsburgh attorney Ira Weiss, hired by commissioners to study the redevelopment plan, said the redevelopment group has experience in reclaiming and marketing former brownfield sites but not in revamping an amusement park, especially at such cost.

"The county has no reasonable expectation of getting its tax money under this plan," he said in joining the county solicitor in recommending rejection of the proposal.

Turner said an alternative to bankruptcy might be for trustees to seek intervention by the state Attorney General's office, since the redevelopment plan was created this spring as part of a settlement of a suit by the office. State authorities had sought removal of the court-appointed trustees, citing the tax debt and alleging lack of adequate insurance when fires burned the park's 99-year-old Dreamland Ballroom in 2008 and its Beach Club a year ago. The trustees agreed to step down as part of the agreement.

The park, about 95 miles north of Pittsburgh, opened in 1892.

McDonald's sales hit by China scandal, US weakness

NEW YORK -- McDonald's says a global sales figure fell 2.5 percent in July, dragged down by persistent weakness in the U.S. and a food safety scare in China.

The world's biggest hamburger chain said Friday the decline included a 3.2 percent drop in the U.S. and a 7.3 percent drop in the unit encompassing Asia, the Middle East and Africa.

The results reflect what is likely to be just the beginnings of the fallout from a Chinese food scandal late last month. A TV report at the time showed workers at a McDonald's supplier, OSI Group, repacking expired meat. McDonald's stopped using supplies from the plant in Shanghai, which left many of its restaurants unable to serve much of its menu, including Big Macs and Chicken McNuggets.

The company has since been working with other OSI plants to restore supplies to the affected restaurants. Still, sales are likely to continue suffering given the sensitivities around food safety in China. Yum Brands, which owns KFC and Pizza Hut, says it did not rely as heavily OSI and quickly cut all ties with the company. But it has nevertheless seen sales battered as well.

McDonald's Corp., which has more than 35,000 locations around the world, warned earlier this week that the scandal puts its global sales forecast for 2014 "at risk." It had previously said it expects sales to be "relatively flat."

If the figure were to fall, that would mark the annual decline for global sales since 2002.

Back in the U.S., McDonald's has failed to boost sales since October amid intensifying competition and shifting eating habits. The drop in July came despite its sponsorship of the World Cup.

Part of the problem is that chains like Chipotle are gaining favor by touting more wholesome ingredients and the ability to customize food. McDonald's is trying to adapt on multiple fronts, including a "Build-Your-Own-Burger" test in Southern California and a new Bacon Clubhouse burger positioned as a premium offering at $5 or $6.

McDonald's CEO Don Thompson has also noted that the company's lower-income customers are struggling more financially, making them reluctant to eat out.

Thompson has also said McDonald's complicated its menu and slowed down service by introducing too many items too quickly. He says the company is working on getting the basics rights — such as improving service.

The one bright spot in July was Europe, where sales at established locations edged up 0.5 percent.

McDonald's shares edged up 4 cents to $93.35 Friday morning. Over the past year, its stock is down about 5 percent.

State OKs aquifer testing for proposed copper mine

HELENA, Mont. -- State environmental regulators have given Tintina Resources permission to drill four wells to assess the groundwater in the area of its proposed copper mine in central Montana.

The Vancouver, British Columbia-based company plans to begin the 30-day test at the site of the Black Butte Copper Mine as soon as possible, said Jerry Zieg, vice president of exploration for Tintina Alaska Exploration.

The proposed mine is north of White Sulphur Springs and near Sheep Creek, a tributary of the scenic and popular Smith River. The state holds a lottery each year for permits to float a 59-mile stretch of the river.

Tintina plans to drill three pumping wells and a monitoring well at depths of 200 to 400 feet to learn where the groundwater starts, how deep it goes and how quickly it recharges, said Lisa Peterson, a spokeswoman with the Department of Environmental Quality.

The agency is requiring Tintina to store the pumped water in a tank rather than a lined pond, as the company had proposed. The water contains some arsenic and will be sprayed over a 12-acre area at a rate at which the water will be used by plants or evaporate before it reaches the groundwater.

Tintina said the amount of arsenic that will end up on the ground will be well below the level allowed by the federal Environmental Protection Agency.

What happens to U.S. exports already bound for Russia?

By Kevin G. Hall McClatchy Newspapers

WASHINGTON -- The U.S. Department of Agriculture and its plant health inspection service has halted all certification of almonds and other commodities bound for Russia “effective immediately.”

The move Thursday, confirmed by California almond growers, followed Russia’s imposition of a one-year ban on a wide range of agriculture products, raw materials and food coming from the United States, the European Union, Canada, Norway and Australia.

While Russia has banned most U.S. farm products, it’s not clear what happens to goods that were already in the pipeline.

“At this time, the Almond Board of California is not aware of how consignments already in transit or now arriving in Russia will be handled,” the group said in a statement shared with McClatchy. “Year to date, shipments to Russia represent about 3 percent of total California almond exports.”

Russia imported about 23,500 tons of U.S. almonds last year, most from California, valued at $126 million.

“We look forward to working again with our customers in Russia, once the market is reopened,” said Jenny Nicolau, the board’s senior specialist for industry relations. “The Almond Board will continue to monitor the situation, working closely with US government.”

A guide for fliers worried about Ebola outbreak

NEW YORK -- As the Ebola outbreak in West Africa worsens, airlines around the globe are closely monitoring the situation but have yet to make any drastic changes. Below are some key questions about the disease, what airlines are doing and how safe it is to fly.

Q: Why are airlines concerned?

A: Airlines quickly take passengers from one part of the globe to another. With some germs, one sick passenger on a plane could theoretically infect hundreds of people who are connecting to flights to dozens of other countries. Health and airline officials note, however, that Ebola only spreads through direct contact. Outbreaks of diseases that can spread through the air, such as the flu and severe acute respiratory syndrome, or SARS, are more problematic for airlines.

Q: Should people travel to West Africa?

A: The Centers for Disease Control and Prevention issued a warning last week for Americans to avoid nonessential travel to West African nations with the outbreak.

Q: Is Ebola deadly?

A: Very much so. If contracted, there is no vaccine and no specific treatment. The World Health Organization on Friday said this is the largest and longest outbreak ever recorded of Ebola. About 1,700 people have been sickened in Guinea, Liberia, Sierra Leone and Nigeria; nearly 1,000 people have died.

Q: How is Ebola transmitted?

A: The virus only spreads through direct contact with the blood or fluids of an infected person, according to the CDC. It can also be spread through objects, such as needles, that have been contaminated with infected fluids. No airborne transmission has been documented.

Q: Do U.S. airlines fly to West Africa?

A: Delta Air Lines flies to Dakar, Senegal; Accra, Ghana and Lagos, Nigeria. The airline also flies to Monrovia, Liberia, but for unrelated business reasons previously announced it will cancel that service at the end of September. Delta is letting passengers with flights to the region now until Aug. 15 push back travel until the end of the month. United Airlines also flies to Lagos, but has not issued any travel waiver. American Airlines does not fly to Africa.

Q: What are U.S. airlines saying about it?

A: There have been no flight cancelations. All three airlines said they are in regular communication with government agencies and health officials and will follow their recommendations.

Q: What about airlines from other countries?

A: European carriers such as Air France-KLM, British Airways and Lufthansa all fly to Western Africa from their hubs in Paris, Amsterdam, London and Frankfurt.

British Airways announced Tuesday that it is suspending flights to and from Liberia and Sierra Leone until Aug. 31 "due to the deteriorating public health situation in both countries." Passengers with tickets can request a full refund or a flight at a later date. The only other airline, so far, to cancel any flights is the Middle East airline Emirates. It has suspended its service to Conakry, Guinea, until further notice. It is still flying to Dakar.

Lufthansa notes that "there is no risk of getting infected by the Ebola virus via air circulation during flight." Crews on Brussels Airlines flights have access to special thermoscans to check passengers' temperature, if they feel it's necessary. Air France has put an Ebola plan into action that includes medical protection kits and disinfectant gel available to the crew. Passengers leaving Africa must fill out a questionnaire when entering the airport. They then have their temperature taken. They are only given a boarding pass if no symptoms are present.

Q: Are passengers leaving Africa being screened?

A: Since the outbreak erupted, the CDC has sent about two dozen staffers in West Africa to help try to track cases, set up emergency response operations and provide other help to control the outbreak. Last week, CDC officials said the agency will send 50 more in the next month. CDC workers in Africa also are helping to screen passengers at airports, according to CDC director Dr. Tom Frieden.

Q: Are other airports screening arriving passengers?

A: Yes. Immigration and health officials at airports as far away as India, Australia, Russia, the Philippines, Myanmar, Macedonia and elsewhere are screening passengers for signs of sickness or elevated temperatures.

Q: Is the U.S. government doing anything extra for arriving passengers?

A: Border patrol agents at Washington's Dulles International Airport and New York's John F. Kennedy International Airport, in particular, are looking out for travelers who might have been exposed to the virus. They're watching for signs of fever, achiness, sore throat, stomach pain, rash or red eyes. The CDC also has staff at 20 U.S. airports and border crossings evaluating travelers with signs of dangerous infectious diseases and isolating them when necessary.

Q: Has the airline industry dealt with any outbreaks in the past?

A: In 2003, there was a global outbreak of severe acute respiratory syndrome, or SARS. The disease was first reported in Asia but quickly spread to more than two dozen countries in North America, South America and Europe. Unlike Ebola, SARS can spread when an infected person coughs or sneezes. During the 2003 outbreak, 8,098 people worldwide became sick with SARS; 774 of those died. Airports started screening incoming passengers for fever. The disease was devastating for airlines because fearful passengers stayed home.

--

With reports from AP Medical Writer Mike Stobbe, New York.

Scott Mayerowitz can be reached at http://bit.ly/OGqbLc.

Nevada complaint seeks to require condoms in porn

RENO, Nev. -- A Los Angeles-based group that wants porn performers to wear condoms during film shoots has filed its first complaint in Nevada.

The AIDS Healthcare Foundation filed a formal complaint with Nevada's Occupational Safety and Health Administration against a San Francisco production company that made an adult film in Las Vegas in June.

The organization says the film shows performers engaging in activities that are highly likely to spread potentially infectious materials, in violation of federal OSHA rules the group says require the use of condoms in shoots.

"This new complaint in Nevada is based on the simple fact that they cannot hide from federal law there or anywhere in the U.S.," said Michael Weinstein, president of the AIDS Healthcare Foundation. "Are workers in Nevada any less entitled to protection from harm than those in California?"

The film, "Vegas Road Trip," was made for a website run by Kink.com. Its CEO, Peter Acworth, called the complaint baseless.

"Current federal regulations make no mention of condoms, and use standards that were developed in the 1990s for hospitals, not porn sets," he said in a statement. "We will continue to work with performers, doctors and regulators to develop protocols that keep sets safe, and still respect performers' rights."

Furthermore, even if OSHA rules did apply to porn actors, there was no violation during the Las Vegas shoot because it only involved oral sex, added Michael Stabile, a spokesman for the company.

Nevada OSHA spokeswoman Teri Williams said the agency is reviewing the AIDS Healthcare Foundation's complaint, which was received July 25.

After the review, she said, the agency could choose to initiate an inspection or it could send a letter asking for more information from the company.

"I'm not aware of any (previous) referrals to us related to this particular industry," Williams said.

The filing comes two years after voters in Los Angeles County approved a measure that requires adult film performers to wear condoms while filming there. The AIDS Healthcare Foundation is pushing a similar measure that is pending in the California Legislature and would apply statewide.

"From our point of view, this (Nevada filing) is a retaliatory measure for some of the work we're doing to fight their bill in California," Stabile said.

In August 2013, the AIDS Healthcare Foundation filed a similar complaint with California OSHA against Kink.com, saying performers may have been exposed to HIV after failing to wear condoms during a shoot.

California OSHA officials fined the company more than $78,000 early this year for maintaining dangerous workplace conditions, among them allowing performers to have sex on camera without using condoms.

The company argued that many of its performers prefer not to use condoms and that the fine was the result of a long-running campaign by those who oppose the adult film industry.

Romanian mogul gets 10 years in prison for fraud

BUCHAREST, Romania -- A Romanian court has handed a media mogul a 10-year prison sentence for money laundering and fraudulently privatizing an agricultural institute. Six other people were also given prison sentences in the 2003 sale.

The Bucharest Appeals Court on Friday sentenced Dan Voiculescu for using his political influence to buy the Food Research Institute for 100,000 euros ($135,000) — a fraction of its estimated value of 7.7 million euros ($10.3 million). The court also ordered the confiscation of property, television studios and land belonging to his Antena media group to cover damages.

Voiculescu says the case is politically motivated.

Former telecommunications minister Sorin Pantis received a seven-year prison sentence in the case, two others got eight-year prison sentences and three others received sentences ranging from four to six years.