AppId is over the quota
AppId is over the quota
By Peter Savodnik

Illustration by Peter Arkle; Everett Collection

At Rick’s Café in Casablanca, among the Moorish arcades, palmettos, and elegant, well-heeled patrons, a piano man plays As Time Goes By on an old Pleyel. The establishment features a mahogany bar, lamps with stained-glass shades, and a popular fig-and-goat-cheese salad. It wouldn’t seem out of place to find Humphrey Bogart surveying the room, or Ingrid Bergman requesting a song from Dooley Wilson, who played Sam in the 1942 film Casablanca. But the role of Sam is here played by a local Moroccan pianist named Issam. Everything about Rick’s, which former American diplomat Kathy Kriger opened in 2004, is designed to channel the film’s glamour, radiating nostalgia for an imaginary past.

Alas, the moment one exits the café and emerges onto a dusty sidewalk, surrounded by crumbling facades and the rusting Peugeots known as petits taxis that wind through the garbage-strewn streets, the illusion evaporates: Casablanca meets Casablanca. With Minister of Youth and Sports Moncef Belkhayat talking up a seemingly quixotic bid for Casablanca to become the first African city to host the Olympic Games, in summer 2028, Casablanca’s leaders are hoping the city can claim the Hollywood glory it never had.

They will be aided in that effort by the millions of global cinephiles who know the city only as Michael Curtiz shot it. “We call it the Casablanca Effect,” says Jean AbiNader, the chief operating officer of the Moroccan government’s lobby shop in Washington, the Moroccan-American Center. “I’ve worked for a lot of Arab countries and generally, when you say ‘Arab,’ the first thing people think of is camels or sand. So if you say ‘Casablanca,’ and the first thing people think of is the movie, that’s great.” AbiNader is untroubled by the disconnect between Casablanca and Casablanca. The association “provides a point of departure,” he says. “It’s an opportunity to rebrand.” Local businesses have seized on the association, selling Casablanca-themed tissue boxes or refrigerator magnets and emulating the film’s aesthetic.

Casablanca has more to recommend it than a movie made 70 years ago with no Arabic-speaking actors. The International Olympic Committee has expressed interest in finally having an African city host the games and may be drawn to Morocco’s relative stability amid uprisings throughout the Arab world. The country enjoyed 4.9 percent growth in 2009, and 4 percent last year. Tourism in the first half of 2010 increased by 10 percent from the previous year. Billboards and office parks line the highway between Casablanca and its airport, and there are gated homes that look distinctly West L.A. with their palm trees, stucco walls, and red-tile roofs, and BMW convertibles in the driveway. Soon a high-speed train will connect the city to Tangier, in the north, and Rabat, the Moroccan capital. Construction has started on a $300 million, 80,000-seat stadium where the final round of the Africa Nations Cup, expected to draw thousands of soccer fans to the city, will take place in 2015.

Ahmed Chami, Morocco’s UCLA-educated minister of industry, commerce, and new technologies, credits King Mohammed VI, who came to power in 1999, with investing in highways, tourism, agriculture, energy, textiles, and aeronautics, and surrounding himself with smart young people—like Chami, 40. “We’re being very proactive,” he says.

This is indeed a propitious moment for Morocco, which is poised to act as a bridge between the West and a tumultuous, changing Arab world, much as Bogie’s gin joint served as a nexus for Vichy officials, Resistance fighters, fez-wearing power brokers, and Nazis. In ancient souks, vestiges of the country’s French colonial past merge with Arab, Berber, and African influences. Waiters at Parisian-style cafés read Le Monde, all while serving traditional Moroccan mint tea with lamb couscous.

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AppId is over the quota
AppId is over the quota
November 13, 2011, 8:49 AM EST By Jeff Bliss

(Updates with quotes from “Late Show” in fourth paragraph. For more news on the 2012 campaign, see ELECT.)

Nov. 11 (Bloomberg) -- Texas Governor Rick Perry’s “oops” moment in Wednesday’s Republican presidential debate will secure him a prominent place in the annals of political mishaps.

Perry was stymied after offering to list three federal agencies he would eliminate in a cost-cutting drive as the nation’s chief executive. “It is three agencies of government when I get there that are gone,” he said, preparing to repeat a line he has uttered on the campaign trail innumerable times. “Commerce, Education and the -- what’s the third one there? Let’s see.”

This wasn’t the first such misstep for Perry, and it joins a history of gaffes during the televised debates that have become a central and unforgiving element of modern American presidential campaigns.

Last night, he made fun of his self-described “brain freeze” as he presented the nightly “Top Ten” list on CBS’s “Late Show with David Letterman.” The “Top Ten Rick Perry Excuses” included “Actually, there were three reasons I messed up last night -- one was the nerves, two was the headache and three was, and three, uh, uh -- oops” and “Hey, I wanted to help take the heat off my buddy Herman Cain.”

Campaign Is ‘Toast’

Still, for Perry, the mistake may be fatal to his presidential hopes, said Susan Tolchin, a public policy professor at George Mason University in Fairfax, Virginia.

The lapse in remembering the Energy Department for Perry, the governor of a top energy-producing state, “really rendered him toast in this campaign,” she said in an interview. “It looked like without a teleprompter, he was lost.”

Televised debates have helped shape public perceptions of presidential candidates since the first one was held in 1960. For many listening to that debate on the radio, Vice President Richard Nixon, the Republican candidate, was the winner. Those watching on television saw Nixon appearing unshaven, uncomfortable and sweating. To them, his more telegenic opponent, Massachusetts Senator John F. Kennedy, had the edge, Tolchin said.

In 1976, during a debate with Democratic challenger Jimmy Carter, President Gerald Ford slipped in describing the Soviet Union’s influence over Eastern European nations in its bloc.

“There is no Soviet domination of Eastern Europe, and there never will be under a Ford administration,” Ford said. “Each of those countries is independent, autonomous.”

Unemotional Technocrat

In 1988, Democratic candidate Michael Dukakis, the Massachusetts governor and a longtime opponent of capital punishment, was asked whether he would support the death penalty if his wife were raped and murdered.

“I don’t see any evidence it’s a deterrent, and I think there are better and more effective ways to deal with violent crime,” he replied.

That response confirmed for many voters that Dukakis was a technocrat detached from emotion, said Leonard Steinhorn, a communications professor at American University in Washington who was a volunteer speech-writer for the governor’s campaign.

“Dukakis’s answer was somewhat cold and bloodless,” Steinhorn said in an interview.

Vice presidential candidates also have “stepped in it,” as Perry characterized his debate performance yesterday on NBC’s “Today” program.

In 1992, retired Admiral James Stockdale, running with businessman Ross Perot on a third-party ticket, said during a debate with his counterparts, “Who am I? Why am I here?”

Voters had the same questions, and Perot and Stockdale were outrun by Democrats Bill Clinton and Al Gore.

‘No Jack Kennedy’

In a 1988 debate, Republican vice presidential candidate Dan Quayle, an Indiana senator running with George H.W. Bush, said he had “as much experience as Jack Kennedy” did before Kennedy ran for president.

Quayle’s Democratic rival, Lloyd Bentsen, pounced.

“Senator, I served with Jack Kennedy, I knew Jack Kennedy. Jack Kennedy was a friend of mine. Senator, you’re no Jack Kennedy,” said Bentsen, a longtime Texas senator.

Bloopers haven’t always defined candidacies or killed careers. Americans’ concerns with Quayle’s qualifications didn’t prevent the election of the Republican ticket.

Four years earlier, after a halting performance in a debate raised concerns about his age, President Ronald Reagan in a rematch turned the point in his favor against his Democratic challenger, former Vice President Walter Mondale.

“I am not going to exploit for political purposes my opponent’s youth and inexperience,” he said to laughter from the audience -- and from his opponent.

‘Sorry. Oops.’

In Wednesday’s debate, after drawing a blank on the Energy Department during his statement about closing agencies, Perry was subsequently pressed to name it.

“The third agency of government I would do away with?” he replied. “Education. Commerce and, let’s see. I can’t. The third one, I can’t. Sorry. Oops.”

That stumble was substantial, Tolchin said.

“That’s a significant thing to forget,” she said. “He could be somebody brand new and he’d be in great trouble.”

Steinhorn said the mistake falls into a pattern of Perry’s lackluster performances in the Republican debates. “It doesn’t necessarily mean he would be a bad chief executive, but it does make people wonder whether he has the intellectual capacity to become president of the United States,” he said.

Perry, who rose to a lead in polls after declaring his candidacy on Aug. 13, plummeted after he flubbed discussions of illegal immigration and other issues in earlier debates.

‘Brain Freeze’

Yesterday, on CNN’s “American Morning,” he said his “brain freeze” was a moment all candidates suffer.

“There are going to be people who make mistakes, stumble over words or can’t remember an agency as I did,” he said. Voters want “substance, not necessarily the slickest debater.”

In three swing states -- Florida, Ohio and Pennsylvania -- Perry’s support doesn’t exceed 5 percent, according to a Quinnipiac University poll of voters conducted Oct. 31-Nov. 7.

In an e-mail sent within hours of the debate’s end, the Perry campaign attempted to pivot, encouraging supporters to “let us know what federal agency you would most like to forget.”

Perry’s campaign treasury will help him survive for now, allowing him time to change voters’ impressions, Steinhorn said.

“That really is his only chance,” he said.

Perry led Republicans in fundraising in the third quarter, collecting $17.2 million and entering October with more money banked than rivals, Federal Election Commission reports show.

In television appearances yesterday, Perry said he was committed to continuing his bid for the presidency. He will be ready, he said, for the next debate tomorrow in South Carolina.

--With assistance from Julie Hirschfeld Davis and Roger Runningen in Washington. Editors: Jim Rubin, Leslie Hoffecker

To contact the reporter on this story: Jeff Bliss in Washington at jbliss@bloomberg.net

To contact the editor responsible for this story: Mark Silva at msilva34@bloomberg.net

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AppId is over the quota
AppId is over the quota
By Crayton Harrison

The world’s richest man just can’t take no for an answer. Banned by regulators from offering television service in his native country, Carlos Slim, the Mexican telecom billionaire, has started streaming shows, news, sports, and cultural programming for free on the Web.

Rivals are not taking it lightly. Mexico’s No.?2 broadcaster, TV Azteca, has sued Slim’s phone carriers—América Móvil and Teléfonos de México —for Web broadcasts such as last month’s airing of the Pan American Games. Telmex was a sponsor of the Games and had online rights for Mexico, while TV Azteca owned a portion of the TV broadcast rights. Luis Niño, a spokesman for TV Azteca and other companies controlled by billionaire Ricardo Salinas, compared it with taking away business from Slim’s Mixup Music Store chain, which sells CDs and DVDs. “It’s as if I went right outside a store and started selling pirated music and movies, and told them, ‘It’s O.K. I downloaded them from the Internet,’ ” he says. Emilio Azcárraga, chief executive officer of market leader Grupo Televisa, has called on Mexican regulators to scrutinize Slim’s moves.

Under the terms of his telecom license, Slim is barred from using his networks to offer TV service. Slim, 71, has tried unsuccessfully to reverse the ban, especially as Televisa has begun offering phone and Internet service to lure away his customers. “Streaming on the Internet isn’t TV,” Renato Flores, a Telmex spokesman, posted on his Twitter account. Flores, in an e-mail, declined to comment further.

For Slim, Mexico is the exception. América Móvil is already the biggest pay-TV provider across Latin America, with 12.5 million subscribers, mostly in Brazil, compared with DirecTV’s 10.3 million. Last month it acquired video distribution company DLA for an undisclosed fee, gaining a platform to offer pay-per-view and online streaming of movies. “Having content is going to be an important part of the future for all of América Móvil,” says Martin Lara, an analyst at Corp. Actinver, a Mexico City brokerage. “It makes sense to build up content and acquire content even though they don’t have a license.”

Mexico’s pay-TV business generates about $3 billion a year, so it’s not surprising that Azcárraga and Salinas, whose companies are also players in cable and satellite, are putting up a fight. Stay tuned to see how this battle of the billionaires turns out.

The bottom line: Slim is using digital distribution to escape regulation, sparking the ire of Mexican TV broadcasters.

Harrison is a reporter for Bloomberg News.

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AppId is over the quota
AppId is over the quota

Illustration by Harry Campbell

By Carol Eisenberg

Pharmaceutical companies can easily spend years—and more than $1 billion—bringing a new drug to market, in part because they can’t find enough patients to do the required testing of the compound. Such delays can cost up to $1 million a day, fritter away valuable months of patent protection, and allow rival developers to catch up. One remedy: pay hospitals to sift through the health records of their patients.

Five big drugmakers, led by Pfizer, are planning to use electronic health data gathered from patients of 13 hospital systems across New York State to help them identify and enroll participants in drug studies. The effort, which begins testing this month, is projected to make $75 million a year for the hospitals and save the pharmaceutical companies time and money in developing new products. “This is going to be a game changer, making medicine more of a science and less of an art,” says John Murphy, senior director of clinical analytics for Quintiles Transnational, which helps drugmakers conduct trials.

The program, called the Partnership to Advance Clinical Electronic Research, or PACeR, is among scores of such initiatives created nationally as medical providers, software vendors, and health data businesses seek ways to profit from the flood of clinical data now being gathered electronically. Besides Pfizer, companies helping fund PACeR include Merck, Roche, Johnson & Johnson, and Bayer HealthCare. Quintiles and Oracle are developing the system.

Federal law bars medical providers, hospitals, and insurers from disclosing identifying information such as names, addresses, and Social Security numbers. So drug companies that want to test a new product or compound would pay PACeR to query the records systems of participating hospitals to compile a list of patients who match a trial’s requirements. Each query would cost between $50,000 and $200,000.

Once they determine how many patients might qualify and where they’re located, and get approval from a local ethics board, the hospitals would contact the patients’ doctors. A drugmaker would have access to personal information only if the patient consents, says David A. Krusch, head of PACeR’s leadership team and director of medical informatics at the University of Rochester Medical Center. “There is no central database,” Krusch says. “We’re not dumping big buckets of de-identified data anyplace. Pfizer will not have a network connection, say, to the University of Rochester, or to any other participant in the network.”

Still, some civil liberties groups worry about data breaches and the potential for third parties to reconnect names to the data. “In a world where so much data is being retained, exchanged, and sold, being able to protect the privacy of individuals is a lot more difficult,” says Lillie Coney, associate director of the Electronic Privacy Information Center, a Washington-based advocacy group. Even data scrubbed of someone’s name and Social Security number can be “re-identified,” Coney warned, citing a 2006 case where AOL released information about people’s search queries, which others were able to combine with publicly available data to identify an elderly Georgia woman who had used her AOL account to research medical conditions.

Consumer and ethics groups who advised the New York project say they see patient benefits as long as confidentiality is protected. “One of the problems with clinical trials is it’s very hard to get the information out to the average physician, or to the average cancer patient being treated in the community,” says research scholar Karen Maschke of the Hastings Center, a bioethics group that consulted on PACeR. Maschke says that while she supports the PACeR concept, “I’m also a skeptic. There probably should be conversations at the national level about best practices for these endeavors to guard confidentiality.”

Such discussions are expected to increase around the country as the use of electronic health records increases dramatically over the next few years, spurred by $27.4 billion set aside in the 2009 U.S. stimulus to pay doctors and hospitals to adopt and use them.

Drugmakers are big potential customers of aggregated health data since drug development times have more than doubled in the past 20 years without a marked increase in the percentage of compounds successfully brought to market. “If pharmaceutical companies can make this happen faster and more cheaply, they’re big winners,” says C. William Schroth, a former consultant for the New York State Health Dept., who first broached the concept behind PACeR to a group representing New York hospitals and also to drug companies.

Doctors and hospitals liked the idea because it makes them more attractive research partners. It wasn’t a hard sale for Big Pharma, either: Every day of delay during a Phase 3 trial costs drugmakers more than $1 million, with an average delay of 90 days, says David Leventhal, director of clinical innovation at Pfizer, citing a Deloitte Consulting analysis. “Even if that number is only 25 percent right, it’s still a compelling message.”

The bottom line: A group of 13 New York hospitals will sell access to patient data to drugmakers for $50,000 to $200,000 per search.

Eisenberg is a reporter for Bloomberg News.

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AppId is over the quota
AppId is over the quota
November 13, 2011, 9:01 AM EST By Marcus Bensasson, Natalie Weeks and Maria Petrakis

(See EXT4 for debt crisis news.)

Nov. 12 (Bloomberg) -- Greek Finance Minister Evangelos Venizelos said his priority is to ensure the payment of a sixth loan under a European Union-led bailout to avert financial collapse, hours after Prime Minister Lucas Papademos took charge as head of a new interim government.

Venizelos retained his posts as deputy premier and finance minister in the government sworn in yesterday by Archbishop Hieronymos of Athens and All Greece. The clock is ticking on the payment of the 8 billion-euro ($11 billion) loan installment under the 110 billion-euro EU-led rescue agreed on in May 2010.

The tranche must be paid before the middle of December to prevent a collapse of the country’s economy.

“The ministry’s first priority is to secure the payment of the sixth loan on completion of all the necessary actions,” Venizelos told reporters in Athens yesterday. He said that the group of euro-area finance ministers can approve the release of the loan after a telephone conference call.

The new government must implement budget measures and decisions related to an Oct. 26 European bailout amounting to 130 billion euros as well as manage a voluntary debt swap, before holding elections that have been tentatively set for Feb. 19.

“The new unity government will do the best it can to resolve the country’s problems,” Papademos said in a meeting with former Prime Minister George Papandreou after the ceremony. “I believe with the collaboration and unity of all we will achieve the results we want.”

Government Mandate

Health Minister Andreas Loverdos, Education Minister Anna Diamantopoulou and Energy Minister George Papaconstantinou also kept their posts. Anastasios Giannitsis, currently chairman of Hellenic Petroleum SA, will head the interior ministry and Stavros Dimas, deputy leader of the main opposition party, New Democracy, and a former European commissioner, will be foreign minister.

President Karolos Papoulias gave Papademos the mandate to form a government on Nov. 10 after agreement from Papandreou, New Democracy leader Antonis Samaras, and opposition LAOS party leader George Karatzaferis following four days of wrangling after Papandreou said he’d resign.

Papandreou announced agreement on a unity administration on Nov. 9 after his proposal for a referendum on a second Greek financing package roiled markets and angered Greeks and European Union partners.

Merkel Halts Funds

Disbursement was halted by German Chancellor Angela Merkel and French President Nicolas Sarkozy after Papandreou called a referendum on the European bailout terms. He later dropped the idea.

The euro rose 1 percent to $1.3747 at 10:17 p.m. Athens time yesterday. European stocks advanced, with the Stoxx Europe 600 gaining 2.4 percent to 240.98. Greece’s benchmark general index lost 0.9 percent to 755.65. The Standard & Poor’s 500 closed up 2 percent at 1,263.85 yesterday.

The yield on the 10-year Greek bond was little changed at 28.45 percent. Two-year note yields rose 81 basis points to 108.9 percent.

Greece’s new government includes six members of New Democracy and four members of LAOS as ministers or deputy ministers. Papandreou’s Pasok party has 36 members in the Cabinet. The most senior position held by New Democracy is the foreign ministry post by Dimas, who served as EU environment commissioner starting in 2004 until 2010.

Lost Credibility

Dimas, 70, has degrees from the University of Athens and New York University. He worked as a lawyer for the World Bank from 1970 to 1975 and was deputy governor of the Hellenic Industrial Development Bank from 1975 to 1977. He has been elected to the Greek Parliament 10 consecutive times since 1977 with New Democracy, holding various posts including head of the energy and agriculture ministries.

The coalition “can resurrect the lost credibility of the political system,” Dimitris Sotiropoulos, associate professor of political science at the University of Athens, said in a telephone interview. “It is extremely important that more than two parties agreed on someone who hasn’t faced the mistrust and suspicion of voters. That can only help the economy as well as restore some faith in political life.”

Scale of Task

The scale of the task facing Papademos and his new team was underlined on Nov. 10 when the European Commission said the country’s debt will be almost twice the size of the economy in 2012 amid a fifth straight annual contraction. The unemployment rate rose almost two percentage points in August, a record monthly increase, to 18.4 percent.

Greece’s debt will reach 163 percent of gross domestic product this year and jump to 198 percent in 2012, the EU’s Brussels-based executive arm said in its fall economic forecast. That compares with 173 percent predicted by the Greek government in its 2012 draft budget.

Those figures are based on no policy changes and don’t include plans for a writedown of Greek debt that is included in the Oct. 26 plan and may slice as much as 100 billion euros off Greece’s debt burden.

Germany will support Papademos in his task of overhauling the country, according to a message from Merkel to Papademos released by the German government yesterday in Berlin.

Hopes and Expectations

Papademos faces “great hopes and expectations” and his government will have to undertake “reform measures quickly to lead Greece out of the current crisis,” Merkel said in the note. “Germany will stand by you and the Greek people in the difficult mastering of the common challenges in Europe and the euro zone.”

Greece plans to pay lenders 50 cents for each euro the government borrowed under the terms of the bailout plan agreed to at the Oct. 26 summit. Its 4 percent notes due in August 2013 now trade at about 35 cents. Fitch Ratings says the agreement with creditors would amount to a “default event” if implemented, while the International Swaps and Derivatives Association says it won’t trigger credit-default swaps.

Papademos, 64, a former governor of the Greek central bank who oversaw the country’s adoption of the euro, will need the backing of 180 lawmakers in the 300-seat parliament to secure approval for Greece’s second aid package.

A debate on a motion of confidence in the new government may begin in Athens early next week.

--With assistance from Tony Czuczka in Berlin, Paul Tugwell, Eleni Chrepa and Maria Petrakis in Athens. Editors: Kevin Costelloe, Paul Tighe

To contact the reporters on this story: Tom Stoukas in Athens at astoukas@bloomberg.net; Natalie Weeks in Athens at nweeks2@bloomberg.net; Marcus Bensasson in Athens at mbensasson@bloomberg.net

To contact the editor responsible for this story: John Fraher at jfraher@bloomberg.net

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AppId is over the quota

[ by: dino9wynn ] [ RESPIN ] [ Copy HTML Below ]

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