Armstrong admits doping: 'I'm a flawed character'


CHICAGO (AP) — He did it. He finally admitted it. Lance Armstrong doped.


He was light on the details and didn't name names. He mused that he might not have been caught if not for his comeback in 2009. And he was certain his "fate was sealed" when longtime friend, training partner and trusted lieutenant George Hincapie, who was along for the ride on all seven of Armstrong's Tour de France wins from 1999-2005, was forced to give him up to anti-doping authorities.


But right from the start and more than two dozen times during the first of a two-part interview Thursday night with Oprah Winfrey on her OWN network, the disgraced former cycling champion acknowledged what he had lied about repeatedly for years, and what had been one of the worst-kept secrets for the better part of a week: He was the ringleader of an elaborate doping scheme on a U.S. Postal Service team that swept him to the top of the podium at the Tour de France time after time.


"I'm a flawed character," he said.


Did it feel wrong?


"No," Armstrong replied. "Scary."


"Did you feel bad about it?" Winfrey pressed him.


"No," he said. "Even scarier."


"Did you feel in any way that you were cheating?"


"No," Armstrong paused. "Scariest."


"I went and looked up the definition of cheat," he added a moment later. "And the definition is to gain an advantage on a rival or foe. I didn't view it that way. I viewed it as a level playing field."


Wearing a blue blazer and open-neck shirt, Armstrong was direct and matter-of-fact, neither pained nor defensive. He looked straight ahead. There were no tears and very few laughs.


He dodged few questions and refused to implicate anyone else, even as he said it was humanly impossible to win seven straight Tours without doping.


"I'm not comfortable talking about other people," Armstrong said. "I don't want to accuse anybody."


Whether his televised confession will help or hurt Armstrong's bruised reputation and his already-tenuous defense in at least two pending lawsuits, and possibly a third, remains to be seen. Either way, a story that seemed too good to be true — cancer survivor returns to win one of sport's most grueling events seven times in a row — was revealed to be just that.


"This story was so perfect for so long. It's this myth, this perfect story, and it wasn't true," he said.


Winfrey got right to the point when the interview began, asking for yes-or-no answers to five questions.


Did Armstrong take banned substances? "Yes."


Was one of those EPO? "Yes."


Did he do blood doping and use transfusions? "Yes."


Did he use testosterone, cortisone and human growth hormone? "Yes."


Did he take banned substances or blood dope in all his Tour wins? "Yes."


Along the way, Armstrong cast aside teammates who questioned his tactics, yet swore he raced clean and tried to silence anyone who said otherwise. Ruthless and rich enough to settle any score, no place seemed beyond his reach — courtrooms, the court of public opinion, even along the roads of his sport's most prestigious race.


That relentless pursuit was one of the things that Armstrong said he regretted most.


"I deserve this," he said twice.


"It's a major flaw, and it's a guy who expected to get whatever he wanted and to control every outcome. And it's inexcusable. And when I say there are people who will hear this and never forgive me, I understand that. I do. ...


"That defiance, that attitude, that arrogance, you cannot deny it."


Armstrong said he started doping in mid-1990s but didn't when he finished third in his comeback attempt.


Anti-doping officials have said nothing short of a confession under oath — "not talking to a talk-show host," is how World Anti-Doping Agency director general David Howman put it — could prompt a reconsideration of Armstrong's lifetime ban from sanctioned events.


He's also had discussions with officials at the U.S. Anti-Doping Agency, whose 1,000-page report in October included testimony from nearly a dozen former teammates and led to stripping Armstrong of his Tour titles. Shortly after, he lost nearly all his endorsements and was forced to walk away from the Livestrong cancer charity he founded in 1997.


Armstrong could provide information that might get his ban reduced to eight years. By then, he would be 49. He returned to triathlons, where he began his professional career as a teenager, after retiring from cycling in 2011, and has told people he's desperate to get back.


Initial reaction from anti-doping officials ranged from hostile to cool.


WADA president John Fahey derided Armstrong's defense that he doped to create "a level playing field" as "a convenient way of justifying what he did — a fraud."


"He was wrong, he cheated and there was no excuse for what he did," Fahey said by telephone in Australia.


If Armstrong "was looking for redemption," Fahey added, "he didn't succeed in getting that."


USADA chief Travis Tygart, who pursued the case against Armstrong when others had stopped, said the cyclist's confession was just a start.


"Tonight, Lance Armstrong finally acknowledged that his cycling career was built on a powerful combination of doping and deceit," Tygart said. "His admission that he doped throughout his career is a small step in the right direction. But if he is sincere in his desire to correct his past mistakes, he will testify under oath about the full extent of his doping activities."


Livestrong issued a statement that said the charity was "disappointed by the news that Lance Armstrong misled people during and after his cycling career, including us."


"Earlier this week, Lance apologized to our staff and we accepted his apology in order to move on and chart a strong, independent course," it said.


The interview revealed very few details about Armstrong's performance-enhancing regimen that would surprise anti-doping officials.


What he called "my cocktail" contained the steroid testosterone and the blood-booster erythropoetein, or EPO, "but not a lot," Armstrong said. That was on top of blood-doping, which involved removing his own blood and weeks later re-injecting it into his system.


All of it was designed to build strength and endurance, but it became so routine that Armstrong described it as "like saying we have to have air in our tires or water in our bottles."


"That was, in my view, part of the job," he said.


Armstrong was evasive, or begged off entirely, when Winfrey tried to connect his use to others who aided or abetted the performance-enhancing scheme on the USPS team


When she asked him about Italian doctor Michele Ferrari, who was implicated in doping-related scrapes and has also been banned from cycling for life, Armstrong relied, "It's hard to talk about some of these things and not mention names. There are people in this story, they're good people and we've all made mistakes ... they're not monsters, not toxic and not evil, and I viewed Michele Ferrari as a good man and smart man and still do."


But that's nearly all Armstrong would say about the physician that some reports have suggested educated the cyclist about doping and looked after other aspects of his training program.


He was almost as reluctant to discuss claims by former teammates Tyler Hamilton and Floyd Landis that Armstrong told them, separately, that he tested positive during the 2001 Tour de Suisse and conspired with officials of the International Cycling Union officials to cover it up — in exchange for a donation.


"That story wasn't true. There was no positive test, no paying off of the labs. There was no secret meeting with the lab director," he said.


Winfrey pressed him again, asking if the money he donated wasn't part of a tit-for-tat agreement, "Why make it?"


"Because they asked me to," Armstrong began.


"This is impossible for me to answer and have anybody believe it," he said. "It was not in exchange for any cover-up. ... I have every incentive here to tell you 'yes.'"


Finally, he summed up the entire episode this way: "I was retired. ... They needed money."


The closest Armstrong came to contrition was when Winfrey asked him about his apologies in recent days, notably to former teammate Frankie Andreu, who struggled to find work in cycling after Armstrong dropped him from the USPS team, as well as his wife, Betsy. Armstrong said she was jealous of his success, and invented stories about his doping as part of a long-running vendetta.


"Have you made peace?" Winfrey asked.


"No," Armstrong replied, "because they've been hurt too badly, and a 40-minute (phone) conversation isn't enough."


He also called London Sunday Times reporter David Walsh as well as Emma O'Reilly, who worked as a masseuse for the USPS team and later provided considerable material for a critical book Walsh wrote about Armstrong and his role in cycling's doping culture.


Armstrong subsequently sued for libel in Britain and won a $500,000 judgment against the newspaper, which is now suing to get the money back. Armstrong was, if anything, even more vicious in the way he went after O'Reilly. He intimated she was let go from the Postal team because she seemed more interested in personal relationships than professional ones.


"What do you want to say about Emma O'Reilly?" Winfrey asked.


"She, she's one of these people that I have to apologize to. She's one of these people that got run over, got bullied."


"You sued her?"


"To be honest, Oprah, we sued so many people I don't even," Armstrong said, then paused, "I'm sure we did."


___


AP Sports Writers Jim Vertuno in Austin, Texas, Eddie Pells in Denver and Dennis Passa in Sydney contributed to this report.


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Housing, job data push S&P to five-year high; Intel down late

NEW YORK (Reuters) - Stronger-than-expected data on housing starts and jobless claims lit a fire under stocks on Thursday, pushing the S&P 500 to a five-year high and its third day of gains.


A pair of economic reports lifted investors' sentiment. The number of Americans filing new claims for unemployment benefits fell to a five-year low last week and housing starts jumped last month to the highest since June 2008.


Strength in the housing and labor markets is key to sustained growth and higher corporate profits, helping to bring out buyers even on a day when earnings reports were mixed.


Gains were tempered by weakness in the financial sector, with Bank of America down 4.2 percent to $11.28 and Citigroup off 2.9 percent to $41.24 after their results.


In other negative earnings news, shares of chipmaker Intel fell 5.2 percent to $21.49 in extended-hours trading after the company forecast quarterly revenue that fell short of analysts' expectations. Intel had ended the regular session up 2.6 percent at $22.68.


The S&P 500 ended at its highest since December 2007 and now sits just 5.6 percent from its all-time closing high of 1,565.15.


"Having consolidated really for the last two weeks, the fact that we broke out, I think that that is sucking in quite a bit of money," said James Dailey, portfolio manager of TEAM Asset Strategy Fund in Harrisburg, Pennsylvania.


The Dow Jones industrial average <.dji> was up 84.79 points, or 0.63 percent, at 13,596.02. The Standard & Poor's 500 Index <.spx> was up 8.31 points, or 0.56 percent, at 1,480.94. The Nasdaq Composite Index <.ixic> was up 18.46 points, or 0.59 percent, at 3,136.00.


Better-than-expected earnings and revenue reported by online marketplace eBay late Wednesday helped the stock gain 2.7 percent to $54.33.


In the housing sector, PulteGroup Inc shares gained 4.9 percent to $20.29 and Toll Brothers Inc advanced 3.1 percent to $35.99. The PHLX housing sector index <.hgx> climbed 2.4 percent, reaching its highest close since August 2007.


Semiconductor shares <.sox> rose 2 percent to the highest close in eight months.


Financials were the only S&P 500 sector to register a slight decline for the day.


Bank of America's fourth-quarter profit fell as it took more charges to clean up mortgage-related problems. Citigroup posted $2.32 billion of charges for layoffs and lawsuits.


Energy shares led gains on the Dow as U.S. crude oil prices jumped more than 1 percent. Shares of Exxon Mobil were up 0.8 percent at $90.20 while shares of Chevron were up 0.7 percent at $114.75.


S&P 500 earnings are expected to have risen 2.3 percent in the fourth quarter, Thomson Reuters data showed. Expectations for the quarter have fallen considerably since October when a 9.9 percent gain was estimated.


Volume was roughly 6.5 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, compared with the 2012 average daily closing volume of about 6.45 billion.


Advancers outpaced decliners on the NYSE by about 22 to 7 and on the Nasdaq by about 2 to 1.


(Additional reporting by Chuck Mikolajczak; Editing by Kenneth Barry and Nick Zieminski)



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Wyo. governor disappointed by new EPA extension






CHEYENNE, Wyo. (AP) — Wyoming Gov. Matt Mead has joined those expressing disappointment that the U.S. Environmental Protection Agency has extended for a third time a public comment period on a report on groundwater pollution in a Wyoming gas field rather than moving toward wrapping up the study.


The comment period was supposed to end Tuesday. Last week, the EPA announced it would be extended to Sept. 30. That could postpone independent experts’ formal review of the December, 2011, report by another eight months or more.






“Wyoming did not ask for this delay nor do we want it. This does not move us toward resolving the concerns of the landowners in the area,” Mead said in a statement released Wednesday.


The report on the EPA’s findings in the Pavillion area marked the first time the federal agency blamed hydraulic fracturing for a specific case of groundwater pollution. Fracking involves pumping water, sand and chemicals into oil and gas wells to fracture open rock formations and increase the flow of oil and gas.


The report widened the gap between environmentalists who characterize fracking as a threat to clean groundwater and petroleum industry officials who insist fracking is safe. Both sides agree on one thing: The comment period extension is unnecessary.


Doug Hock, spokesman for Calgary-based Encana, which owns the gas field in the Pavillion area in west-central Wyoming, said by email: “There’s no credible reason for further delay.”


Those with polluted well water “continue to suffer the effects of living in a contaminated environment” while peer review is delayed, John Fenton, chairman of the group Pavillion Area Concerned Citizens, said in a release last week.


Contacted by email Wednesday, EPA Region 8 spokesman Rich Mylott would not respond to the governor’s remarks. He also did not answer a question about the EPA’s plans for peer review of the report.


He reiterated part of a prepared statement the EPA released to reporters who asked about the extension.


“The Agency will take into account new data, further stakeholder input, and public comment as it continues to review the status of the Pavillion investigation and considers options for moving forward,” Mylott wrote, adding that he had no more information to provide.


The comment period began on Dec. 14, 2011, and was extended twice last year.


The first extension was last March, after the state and EPA agreed to collaborate on further groundwater testing. The second extension was in October, soon after those new test results — which were similar to the results of EPA’s earlier testing — came out.


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Why U.S. needs tougher child labor rules




Cristina Traina says in his second term, Obama must address weaknesses in child farm labor standards




STORY HIGHLIGHTS


  • Cristina Traina: Obama should strengthen child farm labor standards

  • She says Labor Dept. rules allow kids to work long hours for little pay on commercial farms

  • She says Obama administration scrapped Labor Dept. chief's proposal for tightening rules

  • She says Labor Dept. must fix lax standards for kid labor on farmers; OSHA must enforce them




Editor's note: Cristina L.H. Traina is a Public Voices Op Ed fellow and professor at Northwestern University, where she is a scholar of social ethics.


(CNN) -- President Barack Obama should use the breathing space provided by the fiscal-cliff compromise to address some of the issues that he shelved during his last term. One of the most urgent is child farm labor. Perhaps the least protected, underpaid work force in American labor, children are often the go-to workers for farms looking to cut costs.


It's easy to see why. The Department of Labor permits farms to pay employees under 20 as little as $4.25 per hour. (By comparison, the federal minimum wage is $7.25.) And unlike their counterparts in retail and service, child farm laborers can legally work unlimited hours at any hour of day or night.


The numbers are hard to estimate, but between direct hiring, hiring through labor contractors, and off-the-books work beside parents or for cash, perhaps 400,000 children, some as young as 6, weed and harvest for commercial farms. A Human Rights Watch 2010 study shows that children laboring for hire on farms routinely work more than 10 hours per day.


As if this were not bad enough, few labor safety regulations apply. Children 14 and older can work long hours at all but the most dangerous farm jobs without their parents' consent, if they do not miss school. Children 12 and older can too, as long as their parents agree. Unlike teen retail and service workers, agricultural laborers 16 and older are permitted to operate hazardous machinery and to work even during school hours.


In addition, Human Rights Watch reports that child farm laborers are exposed to dangerous pesticides; have inadequate access to water and bathrooms; fall ill from heat stroke; suffer sexual harassment; experience repetitive-motion injuries; rarely receive protective equipment like gloves and boots; and usually earn less than the minimum wage. Sometimes they earn nothing.


Little is being done to guarantee their safety. In 2011 Secretary of Labor Hilda Solis proposed more stringent agricultural labor rules for children under 16, but Obama scrapped them just eight months later.


Adoption of the new rules would be no guarantee of enforcement, however. According to the 2010 Human Rights Watch report, the Department of Labor employees were spread so thin that, despite widespread reports of infractions they found only 36 child labor violations and two child hazardous order violations in agriculture nationwide.


This lack of oversight has dire, sometimes fatal, consequences. Last July, for instance, 15-year-old Curvin Kropf, an employee at a small family farm near Deer Grove, Illinois, died when he fell off the piece of heavy farm equipment he was operating, and it crushed him. According to the Bureau County Republican, he was the fifth child in fewer than two years to die at work on Sauk Valley farms.


If this year follows trends, Curvin will be only one of at least 100 children below the age of 18 killed on American farms, not to mention the 23,000 who will be injured badly enough to require hospital admission. According to Center for Disease Control and Prevention statistics, agriculture is one of the most dangerous industries. It is the most dangerous for children, accounting for about half of child worker deaths annually.


The United States has a long tradition of training children in the craft of farming on family farms. At least 500,000 children help to work their families' farms today.


Farm parents, their children, and the American Farm Bureau objected strenuously to the proposed new rules. Although children working on their parents' farms would specifically have been exempted from them, it was partly in response to worries about government interference in families and loss of opportunities for children to learn agricultural skills that the Obama administration shelved them.






Whatever you think of family farms, however, many child agricultural workers don't work for their parents or acquaintances. Despite exposure to all the hazards, these children never learn the craft of farming, nor do most of them have the legal right to the minimum wage. And until the economy stabilizes, the savings farms realize by hiring children makes it likely that even more of them will be subject to the dangers of farm work.


We have a responsibility for their safety. As one of the first acts of his new term, Obama should reopen the child agricultural labor proposal he shelved in spring of 2012. Surely, farm labor standards for children can be strengthened without killing off 4-H or Future Farmers of America.


Second, the Department of Labor must institute age, wage, hour and safety regulations that meet the standards set by retail and service industry rules. Children in agriculture should not be exposed to more risks, longer hours, and lower wages at younger ages than children in other jobs.


Finally, the Department of Labor and the Occupational Safety and Health Administration must allocate the funds necessary for meaningful enforcement of child labor violations. Unenforced rules won't protect the nearly million other children who work on farms.


Agriculture is a great American tradition. Let's make sure it's not one our children have to die for.


Follow us on Twitter @CNNOpinion.


Join us on Facebook/CNNOpinion.



The opinions expressed in this commentary are solely those of Cristina Traina.






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Former Chicago businessman gets 14 years in terror case









Throughout Thursday's sentencing, Tahawwur Rana's children appeared nervous, his college student son bouncing his leg rapidly and his daughter, a high schooler, leaning forward with her hands clasped tightly.


After all, their father, a former doctor and businessman who was convicted in one of Chicago's most significant terrorism cases, now faced up to 30 years in prison for aiding and abetting a plot to slay and behead Danish newspaper staffers because of cartoons the paper published of the Prophet Muhammad. Rana also had been convicted of providing support to Lashkar-e-Taiba, a Pakistani terrorist organization.


But at the end of the 90-minute hearing, the brother and sister left the crowded courtroom appearing much relieved — their faces visibly softened — after U.S. District Judge Harry Leinenweber sentenced Rana to 14 years in prison, a little less than half of the maximum.





After court, Rana's attorneys expressed satisfaction with the sentence after arguments from federal prosecutors that Rana, 52, should serve the full 30-year term.


"I thought we had the law on our side, frankly," said Rana's attorney, Patrick Blegen. "But obviously it's a scary proposition when the government asks for such a lengthy sentence. And his family was very concerned."


Rana's trial drew international media attention because he also was charged with supporting Lashkar's terrorist attacks in 2008 that killed more than 160 people in Mumbai, India's largest city. Rana was acquitted, however, of those charges.


David Coleman Headley, Rana's childhood friend who pleaded guilty in both the Danish and Mumbai cases, was the government's star witness at the three-week trial. Headley's testimony about the inner workings of Lashkar provided a rare insight into an international terrorist network. He faces up to life in prison when he is sentenced next week.


At trial, evidence showed that Rana supported the Danish plot by letting Headley pose as an employee of Rana's Far North Side immigration business while Headley scouted the Jyllands-Posten newspaper in Copenhagen in advance of the attack. The plot was never carried out.


Rana, a Pakistan native, immigrated to the United States from Canada. He worked as a doctor before settling into Chicago, where he set up several businesses and raised three children with his wife. She did not attend Thursday's sentencing because immigration officials stopped her earlier this month when she tried to re-enter the U.S. after a family trip to Canada, according to Rana's lawyers.


At the hearing, the defense reiterated its position at trial that Rana had been drawn into the plot by a more conniving Headley.


But the sentencing also turned on whether Rana's plotting constituted an act of terrorism against the Danish government. That would have required a stiffer penalty under federal sentencing guidelines.


Assistant U.S. Attorney Daniel Collins argued for the so-called terror enhancement, saying that in statements to authorities after his arrest, Rana admitted supporting Lashkar as well as knowing that the terrorist group had targeted India in the Mumbai attack.


As for the other scheme, Collins said the plotters hoped to draw the Danish forces into a "fight to the death" after storming the newspaper and planned to make "martyr videos."


"It was not just the newspaper," Collins told the judge. "It was much broader."


But Rana's attorney disagreed, saying evidence at trial showed that Rana wanted to punish only the staff of the newspaper for cartoons that had been deemed offensive to Muslims.


Leinenweber ultimately rejected the government's argument and lowered the maximum faced by Rana to 14 years under the federal sentencing guidelines, leading Collins to make one further attempt at convincing the judge to sentence Rana to the maximum 30 years in prison.


"Defendants who want to think they can avoid detection by sitting at a safe distance need to understand there will be significant penalties when they are caught," the prosecutor said.


Blegen argued for mercy by insisting that Rana's crimes were an aberration for a man who has spent most of his life helping others and raising children who are all in school with plans to contribute to society — a sharp contrast to Headley, who testified at trial about teaching military drills to his young child at city parks.


In the end, Leinenweber noted Rana's seemingly contrasting personalities — an intelligent man convicted in a "dastardly" plot to behead a newspaper staff — and settled on 14 years in prison.


"This is about as serious as it gets," the judge said. "It only would have been more serious if it had been carried out."


asweeney@tribune.com



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Algeria ends desert siege, but dozens killed


ALGIERS (Reuters) - Algerian forces stormed a desert gas complex to free hundreds of hostages but 30, including several Westerners, were killed in the assault along with at least 11 of their Islamist captors, an Algerian security source told Reuters.


Western leaders whose compatriots were being held did little to disguise their irritation at being kept in the dark by Algeria before the raid - and over its bloody outcome. French, British and Japanese staff were among the dead, the source said.


An Irish engineer who survived said he saw four jeeps full of hostages blown up by Algerian troops whose commanders said they moved in about 30 hours after the siege began because the gunmen had demanded to be allowed to take their captives abroad.


And while a crisis has ended that posed a serious dilemma for Paris and its allies as French troops attacked the hostage-takers' al Qaeda allies in neighboring Mali, it left question marks over the ability of OPEC-member Algeria to protect vital energy resources and strained its relations with Western powers.


Two Japanese, two Britons and a French national were among at least seven foreigners killed, the source told Reuters. Eight dead hostages were Algerian. The nationalities of the rest, as well as of perhaps dozens more who escaped, were unclear. Some 600 local Algerian workers, less well guarded, survived.


Fourteen Japanese were among those still unaccounted for by the early hours of Friday, their Japanese employer said.


Japan's Prime Minister Shinzo Abe has cancelled part of his trip in Southeast Asia, his first overseas trip since taking office, and is considering flying home early due to the hostage crisis, Japan's top government spokesman said on Friday.


"The action of Algerian forces was regrettable," said Japan's Chief Cabinet Secretary Yoshihide Suga, adding Tokyo had not been informed of the operation in advance.


Americans, Norwegians, Romanians and an Austrian have also been mentioned by their governments as having been captured by the militants who called themselves the "Battalion of Blood" and had demanded France end its week-old offensive in Mali.


Underlining the view of African and Western leaders that they face a multinational Islamist insurgency across the Sahara - a conflict that prompted France to send hundreds of troops to Mali last week - the official source said only two of the 11 dead militants were Algerian, including the squad's leader.


The bodies of three Egyptians, two Tunisians, two Libyans, a Malian and a Frenchman were found, the security source said.


The group had claimed to have dozens of guerrillas on site and it was unclear whether any militants had managed to escape.


The overall commander, Algerian officials said, was Mokhtar Belmokhtar, a veteran of Afghanistan in the 1980s and Algeria's bloody civil war of the 1990s. He appears not to have been present and has now risen in stature among a host of Saharan Islamists, flush with arms and fighters from chaotic Libya, whom Western powers fear could spread violence far beyond the desert.


"NO TO BLACKMAIL"


Algeria's government spokesman made clear the leadership in Algiers remains implacably at odds with Islamist guerrillas who remain at large in the south years after the civil war in which some 200,000 people died. Communication Minister Mohamed Said repeated their refusal ever to negotiate with hostage-takers.


"We say that in the face of terrorism, yesterday as today as tomorrow, there will be no negotiation, no blackmail, no respite in the struggle against terrorism," he told APS news agency.


British Prime Minister David Cameron, who warned people to prepare for bad news and who cancelled a major policy speech on Friday to deal with the situation, said through a spokesman that he would have liked Algeria to have consulted before the raid.


A Briton and an Algerian had also been killed on Wednesday.


The prime minister of Norway, whose state energy company Statoil runs the Tigantourine gas field with Britain's BP and Algeria's national oil company, said he too was not informed.


U.S. officials had no clear information on the fate of Americans, though a U.S. military drone had flown over the area. Washington, like its European allies, has endorsed France's move to protect the Malian capital by mounting air strikes last week and now sending 1,400 ground troops to attack Islamist rebels.


A U.S. official said on Thursday it would provide transport aircraft to help France with a mission whose vital importance, President Francois Hollande said, was demonstrated by the attack in Algeria. Some fear, however, that going on the offensive in the remote region could provoke more bloodshed closer to home.


The apparent ease with which the fighters swooped in from the dunes to take control of an important energy facility, which produces some 10 percent of the natural gas on which Algeria depends for its export income, has raised questions, over the value of security measures that are outwardly draconian.


Foreign firms were pulling non-essential staff out of the country, which has recovered stability only in recent years and whose ruling establishment, heirs to fighters who ended French rule 50 years ago, has resisted demands for reform and political freedoms of the kind that swept North Africa in the Arab Spring.


"The embarrassment for the government is great," said Azzedine Layachi, an Algerian political scientist at New York's St John's University. "The heart of Algeria's economy is in the south. where the oil and gas fields are. For this group to have attacked there, in spite of tremendous security, is remarkable."


"KILL INFIDELS"


A local man who had escaped from the facility told Reuters the militants appeared to have inside knowledge of the layout of the complex, supporting the view of security experts that their raid was long-planned, even if the Mali war provided a motive.


"The terrorists told us at the very start that they would not hurt Muslims but were only interested in the Christians and infidels," Abdelkader, 53, said by telephone from his home in the nearby town of In Amenas. "'We will kill them,' they said."


Algiers, whose leaders have long had frosty relations with the former colonial power France and other Western countries, may have some explaining to do over its tactics in putting an end to a hostage crisis whose scale was comparable to few in recent decades bar those involving Chechen militants in Russia.


Government spokesman Said sounded unapologetic, however: "When the terrorist group insisted on leaving the facility, taking the foreign hostages with them to neighboring states, the order was issued to special units to attack the position where the terrorists were entrenched," he told state news agency APS, which said some 600 local workers were freed.


The militants said earlier they had 41 foreign hostages.


"ARMY BLASTED HOSTAGES"


Stephen McFaul, an electrical engineer, told his family in Northern Ireland after the operation that he narrowly escaped death, first when bound and gagged by the gunmen who fastened explosives around the hostages' necks and then on Thursday when he was in a convoy of five vehicles driving across the complex.


"(The gunmen) were moving five jeeploads of hostages from one part of the compound," his brother Brian McFaul said. "At that stage, they were intercepted by the Algerian army.


"The army bombed four out of five of the trucks and four of them were destroyed ... He presumed everyone else in the other trucks was killed ... The truck my brother was in crashed and at that stage Stephen was able to make a break for his freedom."


McFaul said it was unclear whether the vehicles had been struck by missiles fired from helicopters or by ground forces.


The attack in Algeria did not stop France from pressing on with its campaign in Mali. It said on Thursday it now had 1,400 troops on the ground there, and combat was under way against the rebels that it first began targeting from the air last week.


"What is happening in Algeria justifies all the more the decision I made in the name of France to intervene in Mali in line with the U.N. charter," Hollande said on Thursday.


The French action last week came as a surprise but received widespread public international support. Neighbouring African countries planning to provide ground troops for a U.N. force by September have said they will move faster to deploy them.


(Additional reporting by Ali Abdelatti in Cairo, Eamonn Mallie in Belfast, Gwladys Fouche in Oslo, Mohammed Abbas in London and Padraic Halpin and Conor Humprhies in Dublin; Writing by Alastair Macdonald; Editing by Peter Millership and Michael Perry)



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Asian shares consolidate, caution ahead of Chinese data

TOKYO (Reuters) - Asian shares eked out modest gains Thursday, consolidating amid better-than-expected U.S. earnings but demand was capped by caution ahead of Chinese data on Friday.


The MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> added 0.1 percent, after falling in the past two sessions, pulled higher by a surge in Australian shares <.axjo>, which rose 1 percent to a 20-month high.


Australian employment surprisingly contracted by 5,500 in December, bolstering the odds for another interest rate cut. The prospect of further policy easing boosted local shares but sent the Australian dollar down to session lows of $1.0534 from $1.0560 before the data.


Analysts said the data came against a fairly positive global backdrop.


"There's a growing sentiment among investors that international risks have been significantly reduced, particularly after the U.S. made a start on its fiscal negotiations," said Ric Spooner, market strategist at CMC Markets in Sydney.


World stock markets ended flat on Wednesday with the banking sector rising as earnings from Goldman Sachs nearly tripled and JPMorgan Chase's fourth-quarter net income jumped 53 percent and earnings for 2012 set a record.


Investors will now turn to economic reports from China on Friday, including fourth-quarter GDP, December industrial output, retail sales and house price, which will offer clues on the health of Asia's biggest economy.


Data showing demand for new cars in recession-bound Europe fell to a 17-year low in 2012 reminded investors of the challenges facing the global economy, after the World Bank sharply cut its outlook for world growth this year to 2.4 percent from 3 percent, citing a slow recovery in developed nations.


YEN RESUMES WEAKNESS


The dollar and the euro regained ground against the yen, snapping two days of selling when investors took profits from these currencies' sharp and rapid rises against the Japanese currency since November.


Traders expect the yen to remain on a weakening trend amid expectations for bolder monetary easing measures from the Bank of Japan as part of the new government's push to drive Japan out of years of deflation and economic slump.


Japan's benchmark Nikkei average <.n225> inched up 0.2 percent, after tumbling 2.6 percent for its largest daily decline in eight months on Wednesday. The Nikkei hit a 32-month high on Tuesday as the yen's slump to multi-year lows against the dollar and the euro bolstered exporters on improving earnings outlook. <.t/>


The dollar was up 0.1 percent to 88.50 yen, off its peak since June 2010 of 89.67 touched on Monday, while the euro climbed 0.3 percent to 117.75 yen, after surging to its highest since May 2011 of 120.13 yen on Monday.


Anxiety about a possible protracted fight in Washington over raising the federal borrowing limit pushed the five-year cost to insure against a U.S. default up to 44 basis points on Wednesday, the highest since August 2011 during the first debt ceiling battle between U.S. President Barack Obama and Republican lawmakers.


The euro was up 0.1 percent to $1.3306 against the dollar, after reaching an 11-month high of $1.3404 on Monday.


COMMODITIES SEEN RISING


Reduced concerns over the euro zone debt problems, relatively more solid global economic fundamentals than last year and China's moderate recovery suggest there are buying opportunities for shares in cyclically dependant sectors and economies including Japan, Philip Poole, Head of Strategy at HSBC Global Asset Management, told a seminar in Tokyo this week.


"Recovery will feed through into 2013, but China won't go back to pre-crisis (of 2008) levels of growth of 10 percent," Poole said, adding that growth was likely to be 7-8 percent in 2013, a level investors now need to get used to.


"Cyclically sensitive sectors look relatively cheap in emerging countries and developed countries," while defensives were less attractive given their relative outperformance in 2012 under the more stressed financial environment, Poole said.


Another sector likely seen getting a boost from the reduced risk environment is commodities.


"Investment focus for 2013 is shifting to economically sensitive areas as global recovery takes place, boosting commodities prices," said Naohiro Niimura, a partner at research and consulting firm Market Risk Advisory.


The rally in platinum prices to 3-month highs this week, regaining its premium over gold for the first time since March 2012, is an indication of investors turning more proactive about taking risks, he said.


U.S. crude was down 0.2 percent at $94.05 a barrel while Brent was steady around $109.64.


(Additional reporting by Thuy Ong in Sydney; Editing by Shri Navaratnam)



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Story of Te'o girlfriend death apparently a hoax


SOUTH BEND, Ind. (AP) — The wrenching story of Notre Dame football star Manti Te'o's girlfriend dying of leukemia — a loss he said inspired him to play his best all the way to the BCS championship — was dismissed by the school as a hoax perpetrated against the linebacker.


Notre Dame said Wednesday night it believes Te'o was duped into an online relationship with a woman whose "death" was then faked by the perpetrators of the hoax.


The school made the statement following a lengthy story by Deadspin.com, saying it could find no record that Lennay Kekua ever existed.


"This is incredibly embarrassing to talk about, but over an extended period of time, I developed an emotional relationship with a woman I met online," Te'o said in a statement. "We maintained what I thought to be an authentic relationship by communicating frequently online and on the phone, and I grew to care deeply about her. "


However, he stopped short of saying he had ever met her in person or correcting reports that said he had, though he did on numerous occasions talk about how special the relationship was to him.


"To realize that I was the victim of what was apparently someone's sick joke and constant lies was, and is, painful and humiliating," he said.


"In retrospect, I obviously should have been much more cautious. If anything good comes of this, I hope it is that others will be far more guarded when they engage with people online than I was."


Notre Dame athletic director Jack Swarbrick said at a news conference that Te'o told coaches on Dec. 26 he had received a call while at an awards ceremony earlier in the month from Kekua's phone number.


"When he answered it, it was a person whose voice sounded like the same person he had talked to, who told him that she was, in fact, not dead. Manti was very unnerved by that, as you might imagine," Swarbrick said.


Swarbrick said the school hired investigators and their report indicated those behind the hoax were in contact with each other, discussing what they were doing.


The investigators "were able to discover online chatter among the perpetrators that was certainly the ultimate proof of this, the joy they were taking," Swarbrick said. "The casualness among themselves they were talking about what they accomplished."


Swarbrick said for Te'o "the pain was real."


"The grief was real. The affection was real," he said. "That's the nature of this sad, cruel game."


Swarbrick said Notre Dame did not take the matter to the police, saying that the school left it up to Te'o and his family to do so. He added that Notre Dame did not plan to release the findings of its investigation.


"We had no idea of motive, and that was really significant to us. ... Was somebody trying to create an NCAA violation at the core of this? Was there somebody trying to impact the outcome of football games by manipulating the emotions of a key player? Was there an extortion request coming? When you match the lack of sort of detail we lacked until we got some help investigating it with the risk involved, it was clear to me until we knew more we had to just to continue to work to try to gather the facts," Swarbrick said.


The Deadspin report changed all that.


Friends and relatives of Ronaiah Tuiasosopo, a high school classmate of Te'o, told Deadspin they believe he created Kekua. She does not have a death certificate, Deadspin reported. Stanford, where she reportedly went to school, has no record of anybody by that name, the website said. Attempts by The Associated Press to reach Tuiasosopo by telephone were unsuccessful.


Deadspin said a record search produced no obituary or funeral announcement. There is no record of her birth in the news.


There are a few Twitter and Instagram accounts registered to Lennay Kekua, but the website reported photographs identified as Kekua online and in TV news reports are pictures from the social-media accounts of a 22-year-old California woman who is not named Lennay Kekua, the website reported.


Still, Swarbrick said, "Nothing about what I have learned has shaken my faith in Manti Te'o one iota."


Te'o talked freely about their relationship after her supposed death and how much she meant to him.


In a story that appeared in The South Bend Tribune on Oct. 12, Manti's father, Brian, recounted an anecdote about how his son and Kekua met after Notre Dame had played at Stanford in 2009. Brian Te'o also told the newspaper that Kekua had visited Hawaii and met with his son. Brian Te'o told the AP in an interview in October that he and his wife had never met Manti's girlfriend but they had hoped to at the Wake Forest game in November. The father said he believed the relationship was just beginning to get serious when she died.


The Tribune released a statement saying: "At the Tribune, we are as stunned by these revelations as everyone else. Indeed, this season we reported the story of this fake girlfriend and her death as details were given to us by Te'o, members of his family and his coaches at Notre Dame."


The week before Notre Dame played Michigan State on Sept. 15, coach Brian Kelly told reporters when asked that Te'o's grandmother and a friend had died. Te'o didn't miss the game. He said Kekua had told him not to miss a game if she died. Te'o turned in one of his best performances of the season in the 20-3 victory in East Lansing, and his playing through heartache became a prominent theme during the Irish's undefeated regular season.


"My family and my girlfriend's family have received so much love and support from the Notre Dame family," he said after that game. "Michigan State fans showed some love. And it goes to show that people understand that football is just a game, and it's a game that we play, and we have fun doing it. But at the end of the day, what matters is the people who are around you, and family. I appreciate all the love and support that everybody's given my family and my girlfriend's family."


He was asked again about his girlfriend on Jan. 3 prior to the BCS title game, saying: "This team is very special to me, and the guys on it have always been there for me, through the good times and the bad times. I rarely have a quiet time to myself because I always have somebody calling me, asking, 'Do you want to go to the movies?' Coach is always calling me asking me, 'Are you OK? Do you need anything?'"


Te'o was a Heisman Trophy finalist, finishing second in the voting, and led Notre Dame to its first appearance in the BCS championship. His widely reported story was among the most heartwarming of the season.


"It further pains me that the grief I felt and the sympathies expressed to me at the time of my grandmother's death in September were in any way deepened by what I believed to be another significant loss in my life," Te'o said in his statement.


"I am enormously grateful for the support of my family, friends and Notre Dame fans throughout this year. To think that I shared with them my happiness about my relationship and details that I thought to be true about her just makes me sick. I hope that people can understand how trying and confusing this whole experience has been."


Te'o and the Irish lost the title game to Alabama, 42-14 on Jan. 7. He has graduated and was set to begin preparing for the NFL combine and draft at the IMG Academy in Bradenton, Fla., this week.


"Fortunately, I have many wonderful things in my life," he said in his statement, "and I'm looking forward to putting this painful experience behind me as I focus on preparing for the NFL Draft."


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‘Star Wars’ Empire Strikes Back at Obama’s Death Star Refusal






The refusal of President Barack Obama‘s Administration to build a planet-destroying Death Star from the “Star Wars” films is both short-sighted and cowardly, according to the Galactic Empire.


In a statement posted to the official “Star Wars” website Monday (Jan. 15), the fictional Empire — the totalitarian regime that built the Death Star bases — touted its military might in the wake of the White House‘s negative response to a petition to begin building a real-life Death Star by 2016.






“The overwhelming military superiority of the Galactic Empire has been confirmed once again by the recent announcement by the President of the United States that his nation would not attempt to build a Death Star, despite the bellicose demands of the people of his tiny, aggressive planet,” Empire officials said in the joke letter.


On Friday (Jan. 11), the White House issued a statement explaining why the Obama Administration could not support any effort to build a real Death Star. Chief among the reasons: the project’s estimated cost of more than $ 850 quadrillion and the fact that the Obama Administration does not support destroying other planets.


The Empire’s three-paragraph response comes complete with a quote from a fictional member of the Galactic Empire ridiculing the way the president handled the request.


“‘The costs of construction they cited were ridiculously overestimated, though I suppose we must keep in mind that this minuscule planet does not have our massive means of production,’ added Admiral Conan Motti of the Imperial Starfleet.”


You can follow SPACE.com staff writer Miriam Kramer on Twitter @mirikramer. Follow SPACE.com on Twitter @Spacedotcom. We’re also on Facebook & Google+


Copyright 2013 SPACE.com, a TechMediaNetwork company. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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Scientology ad crossed the line




The Church of Scientology is also at fault for thinking the advertorial would survive The Atlantic readers' scrutiny, Ian Schafer says.




STORY HIGHLIGHTS


  • The Atlantic published and pulled a sponsored Scientology "story"

  • Ian Schafer: On several levels, the ad was a mistake

  • He says the content was heavy-handed and comments were being moderated

  • Schafer: Experimenting to raise revenue makes sense, but standards should be clear




Editor's note: Ian Schafer is the founder and CEO of a digital advertising agency, Deep Focus, and the alter ego of @invisibleobama. You can read his rants on his blog at ianschafer.com.


(CNN) -- "The Atlantic is America's leading destination for brave thinking and bold ideas that matter. The Atlantic engages its print, online, and live audiences with breakthrough insights into the worlds of politics, business, the arts, and culture. With exceptional talent deployed against the world's most important and intriguing topics, The Atlantic is the source of opinion, commentary, and analysis for America's most influential individuals who wish to be challenged, informed, and entertained." -- The Atlantic 2013 media kit for advertisers


On Monday, The Atlantic published -- and then pulled -- a story titled "David Miscavige Leads Scientology to Milestone Year." This "story" went on to feature the growth of Scientology in 2012.



Ian Schafer

Ian Schafer



Any regular reader of The Atlantic's content would immediately do a double-take upon seeing that kind of headline, much less the heavy-handed text below it, shamelessly plugging how well Scientology's "ecclesiastical leader" Miscavige has done in "leading a renaissance for the religion."


This "story" is one of several "advertorials" (a portmanteau of "advertising" and "editorials") that The Atlantic has published online, clearly designated as "Sponsor Content." In other words, "stories" like these aren't real stories. They are ads with a lot of words, which advertisers have paid publications to run on their behalf for decades. You may have seen them in magazines and newspapers as "special advertising sections."


The hope is that because you are already reading the publication, hey, maybe you'll read what the advertiser has to say, too -- instead of the "traditional" ad that they may have otherwise placed on the page that you probably won't remember, or worse, will ignore.



There's nothing wrong with this tactic, ethically, when clearly labeled as "sponsored" or "advertising." But many took umbrage with The Atlantic in this particular case; so many, that The Atlantic responded by pulling the story from its site -- which was the right thing to do -- and by apologizing.


At face value, The Atlantic did the right thing for its business model, which depends upon advertising sales. It sold what they call a "native" ad to a paying advertiser, clearly labeled it as such, without the intention of misleading readers into thinking this was a piece of journalism.


But it still failed on several levels.


The Atlantic defines its readers as "America's most influential individuals who wish to be challenged, informed, and entertained." By that very definition, it is selling "advertorials" to people who are the least likely to take them seriously, especially when heavy-handed. There is a fine line between advertorial and outright advertising copywriting, and this piece crossed it. The Church of Scientology is just as much at fault for thinking this piece would survive The Atlantic readers' intellectual scrutiny. But this isn't even the real issue.


Bad advertising is all around us. And readers' intellectual scrutiny would surely have let the advertorial piece slide without complaints (though snark would be inevitable), as they have in the past, or yes, even possibly ignored it. But here's where The Atlantic crossed another line -- it seemed clear it was moderating the comments beneath the advertorial.


As The Washington Post reported, The Atlantic marketing team was carefully pruning the comments, ensuring that they were predominantly positive, even though many readers were leaving negative comments. So while The Atlantic was publishing clearly labeled advertiser-written content, it was also un-publishing content created by its readers -- the very folks it exists to serve.


It's understandable that The Atlantic would inevitably touch a third rail with any "new" ad format. But what it calls "native advertising" is actually "advertorial." It's not new at all. Touching the third rail in this case is unacceptable.


So what should The Atlantic have done in this situation before it became a situation? For starters, it should have worked more closely with the Church of Scientology to help create a piece of content that wasn't so clearly written as an ad. If the Church of Scientology was not willing to compromise its advertising to be better content, then The Atlantic should not have accepted the advertising. But this is a quality-control issue.


The real failure here was that comments should never have been enabled beneath this sponsored content unless the advertiser was prepared to let them be there, regardless of sentiment.


It's not like Scientology has avoided controversy in the past. The sheer, obvious reason for this advertorial in the first place was to dispel beliefs that Scientology wasn't a recognized religion (hence "ecclesiastical").


Whether The Atlantic felt it was acting in its advertiser's best interest, or the advertiser specifically asked for this to happen, letting it happen at all was a huge mistake, and a betrayal of an implicit contract that should exist between a publication of The Atlantic's stature and its readership.


No matter how laughably "sales-y" a piece of sponsored content might be, the censoring of readership should be the true "third rail," never to be touched.


Going forward, The Atlantic (and any other publication that chooses to run sponsored content) should adopt and clearly communicate an explicit ethics statement regarding advertorials and their corresponding comments. This statement should guide the decisions it makes when working with advertisers, and serve as a filter for the sponsored content it chooses to publish, and what it recommends advertisers submit. It should also prevent readers from being silenced if given a platform at all.


As an advertising professional, I sincerely hope this doesn't spook The Atlantic or any other publication from experimenting with ways to make money. But as a reader, I hope it leads to better ads that reward me for paying attention, rather than muzzle my voice should I choose to interact with the content.


After all, what more could a publication or advertiser ask for than for content to be so interesting that someone actually would want to comment on (or better, share) it?


(Correction: An earlier version of this article incorrectly said native advertising accounts for 59% of the Atlantic's ad revenue. Digital advertising, of which native advertising is a part, accounts for 59% of The Atlantic's overall revenue, according to the company.)


Follow @CNNOpinion on Twitter.


Join us at Facebook/CNNOpinion.


The opinions expressed in this commentary are solely those of Ian Schafer.






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