December 2009

Citadel Broadcasting files Chapter 11 bankruptcy

Citadel Broadcasting Corp., the nation's third-largest radio broadcasting company, filed for Chapter 11 bankruptcy protection on Sunday in an effort to restructure its hefty debt load as it continues to face declining advertising revenue.
Citadel owns and operates 224 radio stations in all major markets and produces news and talk radio programing for 4,000 station affiliates and 8,500 program affiliates. Citadel's WABC is home to several syndicated hosts, including Don Imus, Rush Limbaugh, Joe Scarborough and Mark Levin.
In documents filed in U.S. Bankruptcy Court for the Southern District of New York, Las Vegas-based Citadel listed total assets at Oct. 30 of $1.4 billion and total debt of $2.46 billion. The company said in a statement it has reached an agreement with more than 60 percent of its lenders on a deal that would erase about $1.4 billion of debt in exchange for control of the company.
"Our business will continue as usual and the company will work to emerge from the restructuring process as quickly as possible," CEO Farid Suleman said in a statement. Citadel has retained turnaround specialist Alvarez & Marsal North America LLC as its restructuring adviser.
Such deals usually wipe out shareholders completely. That hits private equity firm Forstmann Little & Co. — who holds a nearly 29 percent stake — the hardest. The company's largest shareholder acquired a $2 billion stake in Citadel in January 2001 through a leveraged buyout. Documents show New York-based Forstmann Little currently owns about 76 million shares of Citadel's 265.8 million shares outstanding.
Forstmann Little could not be reached for comment Sunday afternoon.
Much of the Citadel's debt burden stems from its $2.7 billion purchase of ABC Radio from Walt Disney Co. in 2007. Citadel also has been hurt over the past couple of years by declines in advertising revenue in nearly all major markets as many listeners abandoned the format for prerecorded music and the commercial-free satellite radio offerings of Sirius XM. The economic slump further cut ad spending across all media, including newspapers and television, and has also affected rivals including No. 1 U.S. radio broadcaster Clear Channel.
In May, Citadel hired a financial adviser to help it assess its options including refinancing or restructuring its debt.
In documents filed with regulators in November, Citadel portrayed a gloomy picture in which it said revenue was expected to continue its decline through the end of 2009. The company said lower ad sales in its radio markets drove net revenue down more than 18 percent for the nine months ended Sept. 30 from the same period the year before. It warned it expected to be unable to meet debt requirements by the middle of January 2010 because of current economic conditions and tight capital markets.
Neil Begley, a senior vice president at credit ratings agency Moody's Investors Service, also cautioned in a Dec. 11 report that the economy, ad spending declines, rising debt and looming loan covenant requirements had left Citadel with an "unsustainable capital structure."
Under terms of its bankruptcy reorganization, the company said its $2.1 billion in secured credit will be converted to a new term loan of just $762.5 million. Those secured creditors will get a share of the new loan and 90 percent of the new common stock in the reorganized company.
Holders of unsecured claims and other creditors may choose to receive 5 percent of their claim in cash, up to $2 million, or 10 percent of their claim in the form of new stock. Creditors of some of its largest unsecured claims are: JPMorgan Chase Bank NA, whose claim was listed in the filing as "unknown," Wilmington Trust Co. with a $49.2 million claim and The Walt Disney Co. with an $11.2 million claim.
Citadel's remaining common stock is owned by 1.1 million shareholders, bankruptcy documents said, including a 3 percent stake held by CEO Suleman. The stock, which traded in the $10-range in 2007, has steadily declined in the past two years, falling as low as a penny earlier this month.
The restructuring will be completed using more than $36 million of cash on hand and all cash flow from operations, which will be more than sufficient to fund operations during the process, the company said. Citadel said it will ask the bankruptcy court permission to continue its operations without interruption, including authorization to continue paying employee wages and salaries, and honoring certain customer contracts and programs.
The company said its board approved the bankruptcy protection filing on Dec. 18.
Kirkland & Ellis LLP is acting as general bankruptcy counsel, and Lazard Freres & Co. LLC is acting as financial adviser.

Pavlik stops Espino in fifth round

YOUNGSTOWN, Ohio (AFP) –
American Kelly Pavlik stopped Miguel Espino in the fifth round of their World Boxing Council middleweight fight on Saturday.

Pavlik, 27, floored Espino three times including twice in the fourth round. He sent Espino to the canvas again in the fifth and that's when the challenger's corner threw in the towel.

Pavlik (36-1, 32 KOs) traded punches with Espino from the opening bell in an entertaining fight that was stopped by referee Steve Smoger at 1:44 of the fifth.

Espino (20-3-1) is the third ranked contender behind Pavlik. He was deducted a point after round one for throwing a late punch.

The win was a confidence boost for Pavlik who recently took 10 months off to recover from an infected hand.

Pavlik suffered his only loss 14 months ago when he stepped up in weight to face Bernard Hopkins and dropped a unanimous 12-round decision.

Pavlik defended his title last February by beating Mexico's Marco Antonio Rubio, but needed this win to prove himself once again.

Dog Gates

The English word dog can be traced back to the Old English docga, a "powerful breed of canine". The term may derive from Proto-Germanic *dukkōn, represented in Old English finger-docce ("finger-muscle"). Due to the linguistically archaic structure of the word, the term dog may ultimately derive from the earliest layer of Proto-Indo-European vocabulary, reflecting the role of the dog as the earliest domesticated animal.

Different breeds of dogs have different eye shapes and dimensions, and they also have different retina configurations. Dogs with long noses have a "visual streak" which runs across the width of the retina and gives them a very wide field of excellent vision, while those with short noses have an "area centralis" — a central patch with up to three times the density of nerve endings as the visual streak — giving them detailed sight much more like a human's.

Dog Gates

Congress' Big Mac Attack (CQPolitics.com)

Big Mac, large fries and a large Coke: That'll be 1,350 calories.

If Congress has its way, you'll soon be as familiar with the nutritional content of your fast-food combos as you are with their prices.

The House (HR 3962) and Senate (HR 3590) health care reform bills include provisions requiring fast-food chains to post calorie counts on their menus. Separate House (HR 2426) and Senate (S 1048) bills would have the same effect.

The measures are designed to curb the epidemic of obesity in the United States. According to the Centers for Disease Control and Prevention, two-thirds of Americans are overweight or obese.

Legislators are hopeful that the extra information will help consumers make healthier choices -- helping reduce health care costs for heart disease, diabetes and other weight-related illnesses.

But according to independent research in low-income areas, calorie intake could take a backseat to price.

"We may need to look at a combination of policy implemented simultaneously to impact obesity," said Dr. Brian Elbel, assistant professor of New York University School of Medicine and author of the study.

Supportive policy like increasing healthier and affordable food choices in low-income areas can strengthen the calorie labeling measure, said Elbel.

Additionally, some critics say the calorie content alone is not enough because many consumers don't know much about what they should be eating.

For example, that Big Mac combo is nearly two-thirds of the 2,000 calories that an average adult who is moderately active should consume in a single day, according to Dr. James A. Dail, a nutritionist and doctor of naturopathic medicine.

The ideal caloric breakdown, according to Dail: 500 calories for breakfast, 1000 calories for lunch and 500 calories for dinner. He also says that the last meal of the day should be consumed before 7 p.m.

Still, supporters of the measures say any little bit of information helps.

A report from the New York City Department of Health and Mental Hygiene found that most people underestimate the number of calories they consume.

The measure began as local mandates, with New York City leading the way.

Surprisingly, the National Restaurant Association supports the federal bills in part because it hopes to stem the tide of local restrictions, which vary widely. Those little differences cause heartburn in an industry that aims for standardized menus.

According to the association, menu labeling at fast-food chains is currently required in three counties in New York; Philadelphia, Penn.; Montgomery County, Md.; Nashville, Tenn.; and jurisdictions in Maine, Massachusetts and Oregon, among other places.

From our sister publication, Congress.org

Iranian dissident cleric Montazeri dies

TEHRAN, Iran – Iran's most senior dissident cleric, Grand Ayatollah Hossein Ali Montazeri, has died, his grandson said Sunday. He was 87.
Nasser Montazeri said his grandfather, who was seen as the spiritual father of Iran's reform movement, died in his sleep overnight.
Montazeri had been designated to succeed Ayatollah Ruhollah Khomeini, the late founder of Iran's 1979 Islamic revolution, but the two had a falling out a few months before Khomeini died of cancer in 1989.
Iran's current Supreme Leader, Ayatollah Ali Khamenei, succeeded Khomeini instead and has been the target of escalating criticism by Iran's opposition movement since June's disputed presidential vote.
Montazeri had repeatedly accused the country's ruling Islamic establishment of imposing dictatorship in the name of Islam.
In 1997, Montazeri was place under house arrest in Qom, 130 kilometers (80 miles) south of Tehran, after saying Khamenei wasn't qualified to rule.
The penalty was lifted in 2003, but Montazeri remained defiant, repeatedly accusing the country's ruling Islamic establishment of imposing dictatorship in the name of Islam. He said the liberation that was supposed to follow the 1979 revolution never happened.
Montazeri was one of just a few Grand Ayatollahs — the most senior theologians of the Shiite Muslim faith.
After he was placed under house arrest, state-run media stopped referring to Montazeri by his religious title, describing him instead as a "simple-minded" cleric. Any talk about Montazeri was strongly discouraged, references to him in schoolbooks were removed and streets named after him were renamed.
Montazeri was still respected by many Iranians, who observed his religious rulings or supported his calls for democratic change within the ruling establishment.
On Saturday, after months of denials, Iran acknowledged that at least three people detained in the country's postelection turmoil were beaten to death by their jailers.
The surprise announcement by the hard-line judiciary confirmed one of the opposition's most devastating and embarrassing claims against authorities and the elite Revolutionary Guard forces that led the crackdown after the vote in June.

Movie producer Tyler Perry's mother dies

ATLANTA – Willie Maxine Perry, who helped inspire the character Madea played by her movie producer son Tyler Perry, has died. She was 64.
Tyler Perry announced her Tuesday death on his Web site, where he thanked fans for their prayers. He did not say where his mother died or anything about the cause.
Perry's publicist, Keleigh Thomas, would not give further details Wednesday afternoon.
Perry owes much of his popularity to his portrayal of Madea, a sharp-tongued, iron-willed Southern matriarch played by Perry in a padded suit and wig. She is the central character in films like "Tyler Perry's Madea Goes to Jail,"
In an October interview, Perry told CBS' "60 Minutes" that the character is a celebration of strong black women who is based in part on his own mother.
"Madea's a cross between my mother and my aunt — she's the type of grandmother that was on every corner when I was growing up," he said. "... She's a strong figure where I come from, in my part of the African American community."
But the character has also earned criticism from some black community figures who argue Perry is reinforcing stereotypes of black women as overbearing, violent and brash. Film maker Spike Lee recently labeled Perry's TBS sitcoms and films "coonery."
Arlene Barron, executive director at the Jewish Community Center in New Orleans, said Maxine Perry had worked there as a nursery school assistant for about 10 years from the mid-1980s to the mid-1990s.
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On the Net:
http://tylerperry.com/

Somali pirates hijack Pakistan-flagged ship

NAIROBI, Kenya – The spokesman for the European Union's anti-piracy force says Somali pirates have hijacked a Pakistan-flagged fishing vessel.
Cmdr. John Harbour says the pirates seized the MV Shahbaig Tuesday. He says there are 29 crew on board and more details will be available later Wednesday.
Pirates are still holding hundreds of crew and a dozen vessels hostage in Somalia. Piracy has remained at high levels this year despite a growing number of international warships and extra safety precautions taken by merchant vessels.
Somalia does not have a coast guard or navy to stop the pirates because it has not had an effective central government for 18 years.

Email Marketing Service

Originally a text-only communications medium, email was extended to carry multi-media content attachments, which were standardized in with RFC 2045 through RFC 2049, collectively called, Multipurpose Internet Mail Extensions (MIME).

The foundation for today's global Internet e-mail service was created in the early ARPANET and standards for encoding of messages were proposed as early as 1973 (RFC 561). An e-mail sent in the early 1970s looked very similar to one sent on the Internet today. Conversion from the ARPANET to the Internet in the early 1980s produced the core of the current service.

Email Marketing Service

Bruce Springsteen backs gay marriage in NJ

TRENTON, N.J. – "The Boss" is backing gay marriage in the Garden State.
Bruce Springsteen posted a statement on his Web site urging support of the gay marriage bill that's up for a vote in New Jersey's Senate on Thursday.
Springsteen wrote that he's long believed in and has "always spoken out for the rights of same-sex couples."
The native son says he agrees with Gov. Jon Corzine that marriage equality is a civil rights issue.
Gov.-elect Chris Christie is a big Springsteen fan. The Republican has said he would veto the bill.
A state Senate committee approved the bill by one vote on Monday.
Democrats concede the measure may fall short of the 21 votes needed to pass the Senate.
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On The Net:
http://www.brucespringsteen.net/news/index.html

The Copenhagen climate talks: It's time to consider 'how' to solve climate problems (The Christian Science Monitor)

London –
Most of the focus on the United Nations' upcoming Climate Change Conference in Copenhagen, Denmark, has been about the "what" of any potential agreement – the possibility of reaching a "climate change deal." In truth, whatever is or is not agreed on at Copenhagen, the overwhelming emphasis at this point should not only be upon the what, but more upon the how.
Take, to begin with, the developed countries, which are supposed to take the lead in reducing their greenhouse-gas emissions in a radical way. Most have made only limited progress in meeting their Kyoto targets for emissions reductions, modest though these are.
A small cluster of countries, such as Sweden, Denmark, and Germany, have made significant headway. Closer examination, however, shows that most of what they have achieved is not simply the result of active climate-change policy. Sweden and Denmark reacted vigorously to the oil crisis of the late 1970s, and introduced renewable technologies at that point. Germany has made some advances in developing wind power; nevertheless, renewable sources account for only some 7 percent of its energy mix.
Even in the "successful" countries, therefore, a step change in achievements thus far will be demanded.
There is a long list of nations where little or no progress has been made, or where emissions have actually increased. In Europe, one can point to countries such as Italy, Spain, and Greece. Elsewhere, they include Japan, Australia, Canada – and the United States.
There has been much talk recently about the weak negotiating position President Obama will have at Copenhagen, given the difficulty of getting a climate-change bill through Congress. Quite apart from any such legislation, the task of actually reducing American emissions in a systemic way is huge. The American way of life is based upon cheap energy coupled to cheap credit, conjoined to more or less endless suburban expansion. How can these trends be reversed, and in the relatively short term? Where are the policies commensurate with the scale of the problem?
Many suppose that wind, solar, thermal, and other low-carbon technologies can progressively substitute for fossil fuels. They can be part of the solution, to be sure, but we will make little progress in reducing emissions unless we are able to deal with consumption.
Lifestyle change, and on a widespread level – across the industrialized world – is an exigency. Gross domestic product is deeply flawed as a measure of welfare, but no country has yet found a way of replacing it in a way citizens are prepared to accept.
So far as the poorer countries of the world are concerned, the task is equally formidable, or perhaps even more so. Essentially, a new model of development must be pioneered. China, India, Brazil, and other developing nations have the right to aspire to living standards comparable with those of the developed world. Yet beyond a certain point, it will be impossible for them simply to tread the same path the rich countries have followed; the destructive consequences in terms of climate change will be far too large.
A great deal of creative thinking is needed, and most of it will have to be social and political.
The world must consider the possibility that some traditional ways of life and social connections should not be sacrificed on the altar of modernity but can help show an alternative way to prosperity. For instance, could developing countries go back to the future by preserving local communities and attachments, perhaps integrating them with high-tech means of communication and thereby avoiding further urban sprawl?
And then there is the sphere of international relations, where just as much innovation will be needed. At present, there are few means of ensuring that countries that sign up to international agreements actually comply.
What use is it for governments to agree to set themselves targets if there is no way that they can be held to them? Regular monitoring of progress by an international body or bodies will help, but naming and shaming is likely to have only a marginal impact. More far-reaching sanctions have to be found, difficult though that task is in the face of the fact that nations jealously guard their sovereignty.
Finally, even on the level of sheer negotiation, Copenhagen-style agreements can only take us so far. Bilateral pacts will be extremely important, especially between China and the US, the world's two biggest polluters.
For instance, the US could agree to relax certain patent rights for the transfer of low-carbon technologies into China in exchange for trade concessions . Regional agreements and plans will also be necessary in all parts of the world, not just for mitigation but also for adapting to large-scale changes in weather patterns.
Wherever we look there is an immense amount of work to be done and novel thinking is required.
Anthony Giddens is a member of the British House of Lords and the former director of the London School of Economics. His most recent book is "The Politics of Climate Change." The UN Climate Change Conference in Copenhagen is Dec. 7 to Dec. 18.
© 2009 Global Viewpoint Network / Tribune Media Services. Hosted online by The Christian Science Monitor

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