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January 11, 2012

EU’s chicken-and-egg conundrum

Filed under: business, legal — Tags: , , , — Snowman @ 8:55 am

When Eric Pierart takes in the chaotic wiggling of thousands of hens caged in his renovated barn, he’s reminded of how tough it is for Europe to unite on anything.

And how much time it takes.

A dozen years after the European Union set Jan. 1, 2012 as the date to eliminate the most cramped cages to improve the living standards of egg laying hens, half of the 27 European Union nations have failed to fully comply _ a flop seen as a metaphor for Europe’s current state of disarray.

“In all, they have been talking about it for 30 years,” complained the ruddy-cheeked Pierart, who adhered to the new rules.

“Now, it shows that common ideas for everyone are still hard to come by.”

Such is the way of the EU, where legislation seeps through layers of political and institutional granite in 27 nations at barely a trickle. And it affects a lot more than just the happiness of chickens.

Take the global economy.

For nearly two years, the world has been crying out for immediate and drastic measures to combat a debt crisis that has threatened to trigger a worldwide depression.

For nearly two years, the world has come away frustrated with explanations that Europe is not a legislative superhighway.

Now the fate of the lowly laying hen is again underscoring how slow a process it is to get everyone in the quilt of nations that is the European Union to unite on a common cause.

Many chicken farmers who made the heavy investment on time are now at a competitive disadvantage from laggards who didn’t. Pierart says he spent some euro1.5 million ($1.9 million) on new equipment for 100,000 chickens.

In this chicken-and-egg situation, it’s hard to pinpoint who’s ultimately to blame.

Some fault the glacial pace of continentwide legislation, as well as the EU’s poor checks, controls and enforcement.

Others point the finger at the perceived bad faith of some EU nations, seen as turning a laudable ideal into a logistical mess.

“If it is already so difficult for this, then how tough is it for 27 nations on much bigger issues?” Pierart asked.

It’s all deepened well-worn stereotypes that have long dogged the European Union _ about how the less affluent south and east skirt the rules, about how upright nations like Germany end up paying for it all, and about the bloated EU institutions that seem unable to do anything about it.

Those institutions, often identified simply as “Brussels”, can be a soft target. Fix something, and they’re accused of meddling. When things goes wrong, they’re accused of inaction or incompetence.

“It’s an absolute joke,” said Ian Plant, the owner of Plants Eggs in England’s Lincolnshire, who, like Pierart, made the switch on time.

“This is such a serious situation that someone at the end of the day has to get to grips with it.”

Even EU Consumer Policy Commissioner Dalli has said the hen imbroglio is undermining the EU’s credibility.

His office said that 14 member states are still not complying with the rules, including France, Italy, Poland and Spain.

That has particularly irked Britain, which has deep animal rights traditions and often seizes on any perceived slight from the European Union easy payday loans.

“It is unacceptable that after the ban on battery cages comes into effect around 50 million hens across Europe will still remain in poor conditions,” said British Agriculture Minister Jim Paice.

The European Commission says the total stands at 46 million hens still kept in illegal battery cages out of 330 million, or roughly 14 percent.

The new rules require cages to boost living space per hen to at least 750 sq. centimeters (115 sq. inches) from at least 550 square centimeters (85 square inches), among other measures.

“We have all had plenty of time to make these changes,” Paice said. “It would be unthinkable if countries continuing to house hens in poor conditions were to profit from flouting the law.”

The European Commission says it will be sending inspectors and starting legal proceedings against the recalcitrant nations as soon as possible. But those, too, can be lengthy, and meanwhile member states are left to deal with the potentially unfair competition as best they can.

“It can go all the way to the European Court of Justice,” said EU Commission spokesman Frederic Vincent, referring to the EU’s highest court. “It can lead to penalties.”

To many farmers, though, that is too little too late.

And animal welfare activists are equally frustrated. The cock-up with the hens reminds Michel Vandenbosch, leader of Belgian animal rights group Gaia, of how Greece _ whose debt woes triggered the financial crisis _ cooked its budgetary books for years until it was found out in 2009.

“Greece made a fool of the EU for years,” Vandenbosch said. “And now in this case too, they see things when it is too late.”

After all the years of work, Vandenbosch said the campaign to win hens a bit more wiggle room almost wasn’t worth the effort.

“Chickens won’t notice the difference,” he said. Instead of working with EU politicians, he said his organization has had at least as much success working on market players like Unilever, which is now moving well beyond EU rules and toward using only eggs from cage-free birds in their food products.

“Politics will have to realize how the market reacts, and they will have to follow,” Vandenbosch said.

In England, Plant said his renovations cost several million pounds.

“Having made this sort of investment, having been told by our government all the way along that this legislation was gold-plated, that it had to be completed by Jan. 1, we are now very disillusioned to find that substantial parts of Europe haven’t complied,” he said.

And when Europe fails, many still look to national borders as a line of defense.

“We’re now faced with a situation where something has to be done about these illegal eggs coming onto the British market,” said Plant.

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January 5, 2012

Euro Extends Drop Versus Dollar After French Borrowing Costs Rise at Sale - Bloomberg

Filed under: business, term — Tags: , , , — Snowman @ 7:39 am

The euro extended its decline against the dollar after French borrowing costs rose at a sale of bonds.

The 17-nation common European currency was 0.9 percent weaker at $1.2832 at 10:08 a easy to get unsecured personal loans.m. London time.

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December 30, 2011

Toilet paper goes chic with designer covers

Filed under: business, news — Tags: , , , — Snowman @ 8:31 pm

Are you ready to “Respect the Roll?”

Kimberly-Clark is looking to shake up the toilet-paper accessory category with toilet roll covers from designer Jonathan Adler.

To boost awareness about a new formulation of its Cottonelle toilet paper that it says is 30 percent stronger, Kimberly-Clark Inc. decided to forgo traditional advertising. Instead, it’s offering limited-edition boxes to hide your backup rolls. Who knew you needed such a thing?

It’s the latest effort by consumer product makers to spice up stagnant categories with eye-catching design. In 2010, Kotex introduced the “U by Kotex” line of pads and tampons with neon packaging and pad carriers designed by stylist Patricia Fields, for example.

Allen Adamson, managing director of global branding firm Landor in New York, said Target Corp. has successfully brought design to a lot of consumer product categories with such lines as the housewares rethought by renowned industrial designer Michael Graves.

But it’s new for toilet paper.

“It’s just surprising when design finally meets toilet paper _ that’s sort of the final frontier,” Adamson said.

Even though it’s a $10 billion industry, according to Nielsen, most people don’t pay attention to which toilet paper roll they buy _ or they stay loyal to one brand for decades.

“Consumers shop on autopilot and shop quite a bit on deal,” in the toilet-paper aisle, admitted Kurt Simon, brand director for Cottonelle. “They tune out when they go into the aisle. And, largely speaking, they tune out (toilet paper) advertising as well.”

Adler created covers in three bright, geometric patterns. Known for bold colors and pop graphics, he has designed everything from home furnishings to hotels and currently operates 16 of his own stores.

The roll covers will be available in January at respecttheroll.com for a shipping charge of $1.99 plus an offer code from a package of Cottonelle toilet paper. Or you can order one now for $3.99, including shipping.

Adler, whose other projects have included straws for extra-skinny Diet Pepsi cans, said the uniqueness of toilet paper covers appealed to him. He wanted them to be “bold, punchy and mood-enhancing” and tried to infuse a “pop-art element.”

“I don’t get calls every day to design spare toilet roll covers,” he said. “But I believe every piece in your home, no matter how unexpected or mundane, should be fabulous.”

Source

July 28, 2011

Debt-limit vote postponed as GOP seeks support

Filed under: business, mortgage — Tags: , , , — Snowman @ 7:40 pm

The endgame at hand, House Republicans struggled Thursday to pass legislation to prevent a looming government default while slicing nearly $1 trillion from federal spending. Senate Democrats pledged to scuttle the bill _ if the GOP could get it through the House _ in hopes of forcing a final compromise.

As afternoon debate headed toward evening, GOP leaders ordered an unexplained halt on the measure as Speaker John Boehner summoned a string of recalcitrant rank-and-file Re(publicans to his office.

Asked what he and Boehner had talked about, Rep. Jeff Flake, R-Ariz., said, “I think that’s rather obvious. .. There’s negotiations going on.”

It wasn’t clear how long the delay might last, although a spokesman for Boehner said the vote was still expected to take place later in the evening.

The White House quickly taunted Boehner’s Republicans.

“Clock ticks towards August 2, House is naming post offices, while leaders twist arms for a pointless vote. No wonder people hate Washington,” White House Communications Director Dan Pfeiffer tweeted.

Earlier, Boehner had exuded optimism.

“Let’s pass this bill and end the crisis,” said the president’s principal Republican antagonist in a new and contentious era of divided government. “It raises the debt limit and cuts government spending by a larger amount.”

President Barack Obama has threatened to veto the measure, and in debate on the House floor, Rep. Debbie Wasserman Schultz of Florida savaged it as a “Republican plan for default.” She said the GOP hoped to “hold our economy hostage while forcing an ideological agenda” on the country.

Despite the sharp rhetoric, there were signs that gridlock might be giving way.

“Around here you’ve got to have deadlock before you have breakthrough,” said Sen. Kent Conrad, D-N.D. “We’re at that stage now.”

Wall Street suffered fresh losses as Congress struggled to break its long gridlock. The Dow Jones industrial average was down for a fifth straight session.

The Treasury Department moved ahead with plans to hold its regular weekly auction of three-month and six-month securities on Monday. Yet officials offered no information on what steps would be taken if Congress failed to raise the nation’s $14.3 trillion debt limit by the following day.

Without signed legislation by Aug. 2, the Treasury will not have enough funds to pay all the nation’s bills. Administration officials have warned of potentially calamitous effects on the economy if that happens _ a spike in interest rates, a plunge in stock markets and a tightening in the job market in a nation already struggling with unemployment over 9 percent.

White House press secretary Jay Carney outlined White House compromise terms: “significant deficit reduction, a mechanism by which Congress would take on the tough issues of tax reform and entitlement reform and a lifting of the debt ceiling beyond … into 2013.”

The last point loomed as the biggest obstacle.

The House bill cuts spending by $917 billion over a decade, principally by holding down costs for hundreds of government programs ranging from the Park Service to the Agriculture Department and foreign aid.

It also provides an immediate debt limit increase of $900 billion, which is less than half of the total needed to meet Obama’s insistence that there be no replay of the current crisis in the heat of the 2012 election campaigns.

An additional $1.6 trillion in borrowing authority would be conditioned on passage of at least $1.8 trillion in further savings to be recommended by a newly created committee of lawmakers. Those deficit reductions would presumably come from cuts to benefit programs such as Social Security and Medicare, as well as an overhaul of the tax code generating additional government revenue.

The GOP bill’s $917 billion in upfront spending cuts was trillions less than many tea party-backed rank-and-file Republican lawmakers wanted, but a total that seemed nearly unimaginable when they took power in the House last winter with an agenda of reining in government. Numerous Republicans grumbled that the legislation didn’t cut more deeply, and Boehner and the rest of the GOP leadership have spent their week cajoling reluctant conservatives to provide the votes needed to pass it.

By most accounts, they were succeeding.

“It gives us a little bit of heartburn because it doesn’t go big enough,” said Rep. Sean Duffy, R-Wis., a first-term lawmaker who said he would vote for the bill as the best one available.

Another first-term Republican, Rep. Martha Roby of Alabama, said the bill was “far from perfect. But I don’t have the luxury of writing the plan by myself, and neither does Speaker Boehner.”

While the White House and Democrats objected to the House bill, they readied an alternative that contained similarities.

Drafted by Senate Majority Leader Harry Reid, it provides for $2.7 trillion in additional borrowing authority for the Treasury. It also calls for cuts of $2.2 trillion, including about $1 trillion in Pentagon savings that assume the end of the wars in Iraq and Afghanistan.

Even before the House voted, Reid served notice he would stage a vote to kill the legislation almost instantly.

“No Democrat will vote for a short-term Band-Aid that would put our economy at risk and put the nation back in this untenable situation a few short months from now,” he said.

With the House and Senate focused on debt-limit legislation at opposite ends of the Capitol, eleven religious leaders protesting budget cuts were arrested in the Rotunda midway between the two chambers.

Democratic Rep. Chellie Pingree of Maine said on the House floor that they were praying for those who will be “hurt the hardest” by the bill being considered.

Rep. David Dreier, R-Calif., countered that he, too was praying _ to avoid a default.

The day’s events marked the climax of a struggle that began last winter, when the Treasury Department notified Congress it would need additional borrowing authority, and Boehner said any increase would have to include steps to reduce future spending.

At first the White House balked at the terms, then relented. That gradually morphed into a series of bipartisan negotiations, one led by Vice President Joe Biden, then another by Obama, and finally, a round of golf that led to stab at a “grand bargain” between the president and Boehner.

Boehner announced last Friday he was calling off the talks, setting in motion a frantic week of maneuvering as the default deadline grew near.

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July 27, 2011

McDonald’s adds apple slices to Happy Meals

Filed under: Uncategorized, business — Tags: , , , — Snowman @ 3:20 am

An apple a day may keep the doctor away. But when you put it in a Happy Meal, it might help keep regulators at bay, too.

McDonald’s on Tuesday said it will add apple slices and reduce the portion of French fries in its children’s meal boxes beginning this fall, effectively taking away consumers’ current choice between either having apples with caramel dip or fries as a Happy Meal side.

The move comes as fast-food chains face intense scrutiny from health officials and others who blame the industry for childhood obesity and other health-related problems.

Critics wasted no time complaining that McDonald’s changes don’t go far enough. Kelle Louaillier, executive director of Corporate Accountability International, said McDonald’s is just trying to get ahead of impending regulations that will restrict the marketing of junk food to children and require restaurants to post nutrition information on menus.

“McDonald’s is taking steps in the right direction,” says Louaillier, whose group has pushed for McDonald’s to retire Ronald McDonald payday lenders. “But we should be careful in heaping praise on corporations for simply reducing the scope of the problem they continue to create.”

Cindy Goody, McDonald’s senior director of nutrition, said the new directives are “absolutely not” related to new regulations. Rather, she said, they’re a response to customers asking for healthier choices.

But apparently, customers aren’t making those choices in practice. Indeed, only about 11 percent of customers were ordering apples with their Happy Meals, even though 88 percent were aware they had the option, the restaurant said.

Jonathan Marek, a senior vice president at Applied Predictive Technologies, said the move should be good for public relations and, more importantly, could help drive sales.

“The key is, will this get parents to go to McDonald’s one more time each month than they would have otherwise?” he asked..

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July 9, 2011

St. Louis area counties plan strategy for war on meth in four counties

Filed under: business, online ads — Tags: , , , — Snowman @ 9:36 am

Leaders in four area counties announced on Thursday a regional anti-meth drive

July 2, 2011

US envoy: Iraq killings won’t sway troop decision

Filed under: business, online ads — Tags: , , , — Snowman @ 4:28 pm

The U.S. ambassador here says the Obama administration remains open to the idea of keeping thousands of American troops in Iraq next year, if asked, despite a spike of deathly attacks on soldiers by Shiite militias.

Ambassador James F. Jeffrey emphasized Saturday that no decision has been made by Washington. Baghdad’s Shiite-led government has not asked to extend the U.S. troop presence, though it is widely expected to do so.

Jeffrey says U.S. troops appear to be the militias’ top target now, but that attacks will continue against Iraqis if the American military leaves.

Fifteen U.S. soldiers died in Iraq in June, nearly all of them killed by Shiite militiamen. It was the bloodiest month for Americans troops in two years.

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June 22, 2011

UK: Alliance on Libya airstrikes is holding strong

Filed under: business, legal — Tags: , , , — Snowman @ 11:38 am

British Prime Minister David Cameron insists the NATO-led air campaign in Libya still has strong support, despite recent criticism.

Cameron told lawmakers in Parliament on Wednesday that the coalition involved in the mission is “holding strong” and increasing the pressure on Moammar Gadhafi to quit power.

Cameron’s comments follow concern from the outgoing head of the Arab League, Amr Moussa, over civilian casualties and questions from some British military chiefs about the impact on stretched resources.

Italian Foreign Minister Franco Frattini has called for a pause in the campaign to allow access for humanitarian aid.

Cameron’s office said any temporary cease-fire must not allow Gadhafi’s forces to regroup and launch new offensives.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP’s earlier story is below.

TRIPOLI, Libya (AP) _ NATO warplanes resumed daytime strikes on targets in the Libyan capital Wednesday as alliance member Italy called for the “immediate suspension” of hostilities in the North African nation.

At least two explosions shook Tripoli before noon as fighter jets soared overhead. It wasn’t immediately clear what had been hit or if there were casualties.

In Rome, the Italian foreign minister called for a halt in fighting so aid corridors could be set up.

Franco Frattini said “the humanitarian end of military operations is essential to allow for immediate aid,” including in areas around Tripoli and the rebel stronghold of Misrata.

Frattini also expressed concern over civilian casualties, referring to “dramatic errors” in the bombing campaign.

“With regard to NATO, it is opportune to ask for more detailed information on results” in the attacks, he said in comments to a parliamentary commission that were carried by Italian news agencies.

Italy is Libya’s former colonial ruler and continues to maintain strong commercial ties to the country free credit report and score.

NATO’s daily airstrikes are coming under increased criticism by Libyan leader Moammar Gadhafi’s government, which accuses the alliance of targeting civilians.

NATO acknowledged it may have struck a residential building and caused civilian casualties in Tripoli earlier this week. It also hammered a compound belonging to a close Gadhafi associate and killed what Libya says was 15 civilians, including at least three children. NATO said that target was a “command and control” center.

A coalition including France, Britain and the United States began striking Libyan leader Moammar Gadhafi’s forces under a United Nations resolution to protect civilians on March 19. NATO assumed control of the air campaign over Libya on March 31. It’s joined by a number of Arab allies.

Rebels fighting Gadhafi’s forces have taken over much of the eastern half of the country. They also control pockets in the west, including the vital port city of Misrata, about 125 miles (200 kilometers) from Tripoli.

Rebel forces facing barrages of rockets and mortars launched by government troops are trying to push their front line forward from Misrata toward the capital. But an increased number of rockets have been hitting closer to Misrata this week, raising fears among rebels of a renewed push by Gadhafi’s forces toward the city.

On Wednesday, China told Libyan rebel leader Mahmoud Jibril that his Transitional National Council represents a growing segment of the Libyan public and is becoming a major political force in the country.

The comments by Chinese Foreign Minister Yang Jiechi were the country’s strongest endorsement yet of the rebel council. Beijing, an important trading partner with Libya, says it isn’t taking sides in the more than 4-month-old conflict.

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June 16, 2011

Builders start more homes but pace still slow

Filed under: business, loans — Tags: , , , — Snowman @ 10:10 am

Builders broke ground on more new homes in May, but not enough to signal a recovery in the troubled housing market.

New-home construction rose 3.5 percent from April to a seasonally adjusted annual rate of 560,000 units per year, the Commerce Department said Thursday.

Economists say the pace of construction is far below the 1.2 million new homes per year that must be built to sustain a healthy housing market. Many credit-strapped builders are struggling to compete with low-priced foreclosures.

Housing permits, a gauge of future construction, rose 8.7 percent last month, to the highest level since December. But apartment and condominium construction accounted for a large portion of that increase. Permits for buildings with five or more housing units jumped to its highest point since October 2008, well before a second wave of foreclosures knocked home prices down further.

The number of single-family homes started in May rose a modest 3.7 percent. It’s at its highest point since January. But the construction pace of single-family homes, which accounts for about 80 percent of all residential construction, is well below the 2010 rate. The last two years were the worst for housing starts on records going back to 1959.

Fewer new homes mean fewer jobs. Each home built creates an average of three jobs for a year and generates about $90,000 in taxes, according to the National Association of Home Builders.

Builders are struggling to compete with millions of foreclosures that are forcing down prices for re-sold homes. The median price of a new home is about 34 percent higher than the median price for a re-sale. That’s more than twice the markup in healthy housing markets.

“The high premium is expected to continue to sway potential buyers to existing homes and away from new ones,” said Christos Shiamptanis, economist at TD Economics.

In some cities, prices are half of what they were before the housing market collapsed in 2006 and 2007. Tougher lending standards have made home loans hard to come by. Many would-be buyers who could qualify for loans are worried prices will fall further. Others are reluctant to put their own homes up for sale when prices are dropping.

Home prices in big metro areas have sunk to their lowest since 2002, the Standard & Poor’s/Case-Shiller 20-city index showed last month. Since the bubble burst, prices have fallen more than they did during the Great Depression. It took 19 years for the housing market to regain its losses after the Depression ended.

And this time, prices aren’t expected to come back up anytime soon.

Home building was uneven across the country: It fell 3.3 and 4.1 percent last month in the Northeast and Midwest, respectively, but rose 1.5 percent and 18.1 percent in the South and West. The big gains in the West were largely due to increased apartment construction.

Many foreclosures have been delayed as regulators and state attorneys general work out the details of new lending requirements and penalties for banks. Until those rules are finished, banks won’t ease their stricter lending rules. Most private lenders are requiring 20 percent down payments.

Few people think it makes sense to put their home on the market in this environment. Roughly 92 percent of homeowners say it’s a bad time to sell, according to the latest Thomson Reuters/University of Michigan index of consumer sentiment.

In some badly hit areas, such as Phoenix, Tampa and Las Vegas, a housing recovery could take years.

The homebuilders’ trade group said Wednesday that its survey of homebuilder sentiment fell to 13 _ the lowest level since September. Any reading below 50 indicates negative sentiment about the market. The index hasn’t reached that level since April 2006.

Builders are not hopeful for a turnaround this year. An index that gauges sales expectations over the next six months fell in June to its lowest level on records dating back to 1985.

The weak housing market is weighing on the overall economic recovery.

But housing helps the broader economy in other ways.

Home equity accounts for most of the wealth of typical households. Equity is nearing its lowest point on records going back to the end of World War II. When prices fall, state and local property tax collections dry up and people spend less. Consumer spending fuels about 70 percent of the U.S. economy, more than any other industrialized nation.

In past modern-day recessions, housing accounted for 15 to 20 percent of overall economic growth. This time around, between 2009 and 2010, housing contributed just 4 percent to the economy.

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May 27, 2011

Soaring gasoline prices finally drive consumers to smaller cars

Filed under: business, online — Tags: , , , — Snowman @ 8:58 am

Canadian auto shoppers are finally showing they

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