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Ex-Galleon manager describes hedge fund pressures

Post n°29 pubblicato il 31 Marzo 2011 da bvmzyprjfl
 

A former portfolio manager at Raj Rajaratnam's Galleon Group described pressure at the hedge fund to get "an edge" in stock trades and said he passed on secret details about companies to his boss.

"Research is sort of doing your homework ahead of time," Adam Smith, who has pleaded guilty to insider trading charges, testified in Manhattan federal court on Tuesday. "Getting the number is more like cheating on a test ... I knew the answer ahead of time."

Smith, 39, is the first former Galleon employee to take the witness stand for the government at Rajaratnam's trial, the biggest Wall Street insider trading case since the 1980s. He contends that he supplied inside stock tips to Rajaratnam, Galleon's founder.

Sri Lankan-born Rajaratnam, 53, is accused of making $45 million in illicit profit between 2003 and 2009 on stock tips from high-placed corporate insiders.

Rajaratnam's trial started in early March and is expected to last two months. He is charged with conspiracy and securities fraud and faces up to 20 years in prison if convicted. He has vowed to clear his name, arguing his trades were based on research or publicly available information.

Smith pleaded guilty in January and said he leaked details about merger activity and earnings reports to Rajaratnam and others at Galleon.

On the stand, Smith testified there was pressure at Galleon for "getting an edge" -- extra pieces of information where a company's results might differ from Wall Street expectations.

Under questioning by prosecutor Andrew Michaelson, he testified that he obtained non-public information from an engineer at chipmaker Intersil Corp in Taipei, Taiwan. Smith said the engineer shared inside information on the company's earnings with Smith starting in 2004.

"One time I asked if he could be more specific about his company's performance and there came a time when he could give me an actual numerical value," Smith said.

Smith later testified: "Each time I would receive the information, I would pass it on to Raj."

An Intersil representative was not immediately available to comment on the case.

The case is USA v Raj Rajaratnam et al, U.S. District Court for the Southern District of New York, No. 09-01184.

(Additional reporting by Grant McCool; writing by Martha Graybow, editing by Matthew Lewis)

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Tainted seafood fears spread as Japan plant leaks

Post n°28 pubblicato il 30 Marzo 2011 da bvmzyprjfl
 

Fears about contaminated seafood spread Wednesday despite reassurances that radiation in the waters off Japan's troubled atomic plant pose no health risk, as the country's respected emperor consoled evacuees from the tsunami and nuclear emergency zone.

While experts say radioactive particles are unlikely to build up significantly in fish, the seafood concerns in the country that gave the world sushi are yet another blemish for Brand Japan. It has already been hit by contamination of milk, vegetables and water, plus shortages of auto and tech parts after a massive quake and tsunami disabled a coastal nuclear power plant.

Setbacks at the Fukushima Dai-ichi nuclear complex mounted Wednesday, as the plant's operator, Tokyo Power Electric Co., announced that its president was hospitalized. Masataka Shimizu has not been seen since a news conference two days after the March 11 quake that spawned the destructive wave. His absence fueled speculation that he had suffered a breakdown.

Spokesman Naoki Tsunoda said Shimizu, 66, was admitted to a Tokyo hospital Tuesday after suffering dizziness and high blood pressure.

The problems at the nuclear plant have taken center stage, but the tsunami also created another disaster: Hundreds of thousands of people were forced from their homes after the wave drove miles (kilometers) inland, decimating whole towns. The official death toll stood at 11,362 late Wednesday, with the final toll likely surpassing 18,000.

Japan's respected Emperor Akihito and Empress Michiko visited disaster evacuees at a center in Tokyo on Wednesday. The visit was marked by a formality that is typical of interactions with the royal couple, but survivors said they were encouraged.

"I couldn't talk with them very well because I was nervous, but I felt that they were really concerned about us," said Kenji Ukito, an evacuee from a region near the plant who has already moved four times since the quake. "I was very grateful."

The emperor and his wife make fairly frequent public appearances, visiting nursing homes and the disabled and attending ceremonies throughout the year. In particular, they are expected to mourn with those affected by natural disasters. Akihito made a similar visit to evacuees after the Kobe earthquake in 1995.

At the Fukushima plant, the fight to cool the reactors and stem their release of radiation has become more complicated in recent days since the discovery that radioactive water is pooling in the plant, restricting the areas in which crews can work. It also puts emergency crews in the uncomfortable position of having to pump in more water to continue cooling the reactor while simultaneously pumping out contaminated water.

That contamination has also begun to seep into the sea, and tests Wednesday showed that waters 300 yards (meters) outside the plant contained 3,355 times the legal limit for the amount of radioactive iodine.

It's the highest rate yet, but Nuclear and Industrial Safety Agency official Hidehiko Nishiyama said it did not pose any threat to human health because the iodine rarely stays in fish. There is no fishing in the area because it is within the evacuation zone around the plant.

Radioactive iodine is short-lived, with a half-life of just eight days, and in any case was expected to dissipate quickly in the vast Pacific Ocean. It does not tend to accumulate in shellfish.

Other radioactive particles have been detected in the waters near the plant, and some have made their way into fish. Trace amounts of radioactive cesium-137 have been found in anchovies as far afield as Chiba, near Tokyo, but at less than 1 percent of acceptable levels.

"We have repeatedly told consumers that it is perfectly safe to eat fish," said Shoichi Takayama, an official with Japan's fishery agency.

Citing dilution in the ocean, the U.S. Food and Drug Administration has played down the risks of seafood contamination.

But, as with other reports of radiation levels in food and tap water, fear has begun to override science. Several countries, including China, India and South Korea, have ordered special inspections for or outright bans on fish from areas near the plant.

Ren Cheng, a spokesman for Taiwan's Mitsui Food & Beverage Enterprise Group that operates several upscale Japanese restaurants in Taipei, said his company has seen a 50 percent drop in revenue since the crisis began.

"We are not importing any food products from Japan. All the Japanese ingredients we are using were all procured before the quake," he said. "We have put up signs in our restaurants to reassure costumers about the safety of our food."

Domestic consumption, however, is far more important to Japan, which imports far more seafood than it exports. According to the fisheries agency, the domestic catch typically totals around 5.5 million tons. Less than a million of that gets exported, while another nearly 3 million tons are imported.

In stores near Tokyo's famed Tsukiji fish market, fresh fish was selling poorly.

Instead, customers "are stockpiling" frozen fish, in the hopes it was caught before radiation began to climb, said Hideo Otsubo, who works at a seafood company near the market.

Tourism to Japan has fallen sharply since the disaster, and sushi chef Akira Ogimoto blamed that dropoff for a 30 to 40 percent decline in customers to his restaurant near the market, where the daily tuna auction is a big draw for foreigners.

Add on the radiation fears, and fishermen are worried their livelihoods will be threatened just when they need to rebuild their homes.

"I worry we won't be able to sell our seaweed. If the radiation ruins our fishing, we are lost," said Toshiaki Kikuchi, a 63-year-old innkeeper and seaweed farmer in Soma, a city near the troubled plant.

Meanwhile, TEPCO's bungling response to the nuclear emergency has been severely criticized by the government and the press. The first few days after the quake saw fires and explosions and confusion has reigned throughout, and the company — whose shares have plunged nearly 80 percent — has frequently retracted or corrected information.

There has also been criticism that safeguards were lax at the Fukushima plant. The nuclear agency ordered plant operators nationwide on Wednesday to review their emergency procedures. The agency told utilities they must have on hand mobile backup generators and fire engines, which have been used at Fukushima to cool the reactors. The operators must report back to the agency within a month.

TEPCO chairman Tsunehisa Katsumata apologized at a news conference for the company's missteps. He has stepped in for the hospitalized president, but fears of a leadership vacuum remained. And Katsumata himself acknowledged that operations could deteriorate if Shimizu were hospitalized for a long time.

"In case of a long absence, it seems to me decisions might not be made smoothly," Katsumata told reporters.

The company also acknowledged for the first time it would have to completely scrap at least four of the plant's reactors — a fate experts and the government had already condemned them to.

The missteps at TEPCO have sparked calls from the opposition for its nationalization, and the Yominuri Shimbun newspaper, citing anonymous sources, said the government was considering it. But Chief Cabinet Secretary Yukio Edano denied those reports.

"My understanding is that the government is not considering such an option at this moment," Edano said Tuesday. He was more circumspect when asked again Wednesday, but reiterated that the company must work to resolve the crisis and compensate victims.

___

Associated Press writers Eric Talmadge in Fukushima, Noriko Kitano and Elaine Kurtenbach in Tokyo, Margie Mason in Hanoi, Vietnam, and Malcolm Ritter in New York contributed to this report.

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Wanjiru out but Lel to compete in London Marathon

Post n°27 pubblicato il 30 Marzo 2011 da bvmzyprjfl
 
Tag: taiga

Olympic champion Samuel Wanjiru has been forced to withdraw from next month's London Marathon with a knee problem, but three-time winner Martin Lel has been added to the field, organisers confirmed on Monday.

Wanjiru, 24, won in London in 2009, but dropped out at halfway last year through injury and has not raced since winning the Chicago Marathon last October.

The Kenyan, whose wife dropped attempted murder charges against him earlier this year, said: "I am bitterly disappointed not to be able to race in London this year. Winning the London Marathon in 2009 was one of the great achievements of my career and I was hoping to become the London champion again.

"But I have been suffering some problems with my right knee recently which meant I had to withdraw from the Lisbon half-marathon.

"Unfortunately, it has not responded well enough for me to make my final preparations for London. I wish good luck to the other runners and will do my best to be back next year."

Fellow Kenyan Lel won in London in 2005, 2007 and 2008 and, after two years of his own injury problems, now believes he is in shape to challenge for a fourth title.

Race director David Bedford said: "Of course we are very sad to lose the Olympic champion from our line-up as Sammy was a great champion here two years ago. We wish him a speedy recovery from his injury problems.

"But we are also delighted to announce the late addition of Martin Lel, one of the great champions in London Marathon history.

"Martin tells me his training has been going really well and he feels in shape to be able to take on the London challenge again. He is a very welcome addition to what is already a great field."

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Dice-K donates $1 mn to quake aid

Post n°26 pubblicato il 29 Marzo 2011 da bvmzyprjfl
 

Boston pitcher Daisuke Matsuzaka is donating $1 million to the Red Sox' official charity for victims of the earthquake and tsunami in his native Japan.

The Red Sox said Friday that his gift to the Red Sox Foundation will be sent to the Japanese Red Cross Society to aid response to the March 11 disaster, which also spawned an atomic crisis thanks to damage to the Fukushima nuclear plant.

Boston's other Japanese hurlers, Hideki Okajima, Junichi Tazawa and Itsuki Shoda, have also made personal donations and joined Matsuzaka, team captain Jason Varitek and others in collecting donations from fans at two spring training games in Florida.

The death toll from Japan's worst post-war disaster had topped 10,000 by Friday, and there was scant hope for 17,500 others still missing.

Matsuzaka, a native of Tokyo, was already a star in Japan when he joined the Red Sox in December 2006, inking a 52 million-dollar, six-year contract.

He became the first Japanese pitcher to start a World Series game as Boston won the Fall Classic in his first Major League season.

"Our efforts on the field are dedicated to all who are suffering from this catastrophe," Matsuzaka said in a videotaped message released by the Red Sox earlier this month. "We are in this together, so we must overcome tragedy together."

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Apple Mac OS X Turns 10: A Look Back

Post n°25 pubblicato il 29 Marzo 2011 da bvmzyprjfl
 

s Mac OS X celebrated its tenth birthday today - the day after the company's chief Mac engineer . It's been an eventful 10 years, so let's take a look back at the evolution of Mac OS X.

Mac OS X made its formal debut on March 24, 2001 and has gone through almost a dozen codenames, from Cheetah to the upcoming Lion. Initially, those names were only used internally, but as they gained in popularity, Apple started using them in its marketing materials, beginning with Mac OS X 10.2 Jaguar in 2002.

Mac OS X, however, dates back to 1994 with Apple's Copland project. That was eventually ditched for 1997'safter Apple's acquisition of Steve Jobs's NeXT Software in late 1996. Rhapsody evolved into Mac OS X Server 1.0 (Hera) by 1999, and reached the public beta stage (Kodiak) by September 30, 2000. Six months later, it was ready for the public.

Mac OS X: CheetahIn a 2001 , Jobs said Mac OS X was "the most important software from Apple since the original Macintosh operating system in 1984 that revolutionized the entire industry." At launch, there were 350 applications for Mac OS X, including iMovie 2, iTunes, and a preview of AppleWorks 6.1, the company's productivity software. Apple touted the operating system's new Aqua interface, which included the introduction of the Mac dock. It was $129, and ran on the iMac, iBook, Power Macintosh G3, Power Mac G4, Power Mac G4 Cube and any PowerBook introduced after May 1998.

In our review , PCMag said OS X is a great leap forward. "Since its humble beginning in 1994 under the name Copland, OS X has endured a variety of dead-ends and name changes before finally making it to the market. The result, however, is a UNIX-based OS that, in time, should bring Mac users tremendous gains in stability and performance," PCMag said.

The OS lacked some printer support and made it difficult to use old applications, but overall, PCMag found it to be "a reliable, high-performance system that excels in graphics capabilities and looks good, to boot."

Mac OS X 10.1: PumaAppleMac OS X 10.1 during a July 2001 Macworld keynote, andit on September 25. Apple promised enhanced performance, a refined Aqua user interface, and upgraded support for digital media and devices like DVDs, MP3 CDs, MP3 players, printers, digital cameras, and DV camcorders. It also cost $129, with an upgrade option available for free until October 31 and$19.95 thereafter."Mac OS X v10.1 is a stunning upgrade—and only six months after releasing Mac OS X," Jobs said at the time.

In , we fnd that OS X 10.1 "deserves praise, but many of these enhancements should have been there from the beginning." The main reason for the upgrade, we found, was the performance boost. "It's remarkably faster than the sluggish version 10.0," PCMag wrote.

Mac OS X 10.2: JaguarThis upgrade, the first one that used the cat-related codenames in marketing materials, debuted in August 2002. Apple "unleashed" Jaguar at Apple retail stores at 10:20pm on August 23 with a variety of Jaguar-related kick-off events. It incorporated more than 150 new features and apps, including iChat, junk mail filtering, and Rendezvous networking technology. The company offered a five-user family pack for $199 in addition to the regularly priced $129 OS.

Apple later announced that Mac OS X 10.2 Jaguar sold 100,000 copies in its first weekend, with more than 50,000 people visiting Apple's 35 stores during the kick-off events.

"Apple is clearly serious about enticing Windows PC users to switch," . "This release has far more essential improvements for professionals working in multiplatform environments than for home users."

Mac OS X 10.3: PantherAfter unleashing Jaguar, Apple followed up more than a year later with "Night of the Panther" on October 24, 2003. Version 10.3 also included more than 150 new features, including a new Finder with one-click access to files and folders, the Exposé window-viewing feature, and iChat AV video conferencing. The company also released Mac OS X Server 10.3 at the same time; $499 for 10 clients and $999 for unlimited.

Again, speed was a "big reason to upgrade to 10.3," . Exposé also provided "an ideal solution for those who find it a hassle to switch between open applications." In this release, Apple also added more Windows compatibility like Active Directory support and allowing Apple's Mail and Address Book utilities to work with Microsoft Exchange Servers.

"Suffice it to say that with the speed and usability enhancements, the $129 (direct) price is more than justified," PCMag concluded.

Mac OS X 10.4: TigerApple's Tiger update didn't drop until April 2005, bringing more than 200 features like the Spotlight search function and Dashboard, which included access to a "dazzling new class of applications called widgets."

"Our competitors will be trying to copy Tiger's more than 200 new features and innovations for years to come," Apple's Phil Schillerat the time.

"This upgrade will be known for the speed it brings to daily tasks, as well as for the usefulness and creative design of its many improvements (Apple lists over 200 of them)," . "While a few standout additions are grabbing the headlines, it's the systemwide improvements that will thrill the Mac faithful."

"Once you taste the power of Spotlight, you'll wonder how you ever lived without competent, easy-to-use desktop search," PCMag continued. "And since having the latest build of the OS is usually a requirement for running any other subsequent product upgrades (the next version of iLife or iWork, for example), you'll want to grab this Tiger by the tail."

Mac OS X 10.5: LeopardLeopard made its debut in October 2007 with a revamped desktop that included the Stacks file search option, a redesigned Finder, Quick Look, and Time Machine backup.

"Despite minor problems, it's by far the best operating system ever written for the vast majority of consumers, with dozens of new features that have real practical value—like truly automated backups, document and spreadsheet preview images in folders, and notes and to-do lists integrated into the mail program," .

For the average user, "Leopard is the most polished and easiest to use OS I've tested," PCMag said.

Still, "its pervasive eye-candy starts out looking dazzling but soon becomes distracting," making the customization options necessary.

Mac OS X 10.6: Snow LeopardSnow Leopard debuted in August 2009, and Apple said it refined 90 percent of the 1,000 projects that make up OS X. It was half the size of previous releases, freeing up 7GB of drive space. It included support for 64-bit processors, while remaining compatible with 32-bit apps.

that Snow Leopard was "the brainiest, brawniest, and most beautiful consumer-oriented OS available anywhere—and it ships with the best built-in applications and utilities you can find."

Mac SO X 10.7: LionThe next generation of OS X is , but Apple has provided a few sneak peeks at Lion. As PCMag software analyst Michael Muchmore found out last month, Lion borrows a lot from iOS, but that's because iOS started out as a whittled down version of Mac OS X, so the tides have turned.

Upcoming features include AirDrop, a wireless file-sharing utility; a redesigned Mail app; Resume, which presents the OS and apps in the exact state at shutdown; Versions, which allows app developers to implement a feature that saves multiple snapshots of any document being worked on; and AutoSave, which does what its name suggests, saving documents automatically.

Interface tools include LaunchPad (which is like bringing the iPhone or iPad screen to the Mac), Mission Control, which replaces Spaces and Expose, and multitouch support.

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