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{PHOTOS} ST. PADDY’S DAY MASSACRE IN ZUCCOTTI PARK

via dailymail.co.uk

On the six-month anniversary of the Occupy Wall Street movement, protesters swarmed its birthplace –Zuccotti Park – again sparking the cat-and-mouse clashes between New York City police officers and demonstrators.

The sweep of the park by police just before midnight capped a day of demonstrations and marching in lower Manhattan. There was no official word on the number of arrests but dozens of people were handcuffed and led out of the park.

Earlier in the day, 15 people were arrested and three officers suffered injuries, police said.

An unused public transit bus was brought in to cart away about a dozen demonstrators in plastic handcuffs. 

Anniversary: NYPD officers clash with members of the Occupy Wall St movement at Zuccotti park in New York last nightAnniversary: NYPD officers clash with members of the Occupy Wall St movement at Zuccotti park in New York last night

Several arrests: A bus was brought in to remove the arrested protesters Several arrests: A bus was brought in to remove the arrested protesters

One female under arrest apparently suffered a seizure and had difficulty breathing. She was taken away in an ambulance to be treated.

For hours, the demonstrators had been chanting and holding impromptu meetings in the park to celebrate the anniversary of the movement that has brought attention to economic inequality, as police mainly kept their distance.

But New York Police Det. Brian Sessa said the tipping point came when the protesters started breaking the park rules.

‘They set up tents. They had sleeping bags,’ he told the Associated Press. Electrical boxes also were tampered with and there was evidence of graffiti.

Det. Sessa said Brookfield Properties, the park owner, sent in security to advise the protesters to stop pitching tents and to leave the park.

The protesters, in turn, became agitated with them. The company then asked the police to help them clear out the park, the detective said.

Many protesters shouted and officers took out their batons after a demonstrator threw a glass bottle at the bus that police were using to detain protesters.

Members of the Occupy Wall St movement are arrested by NYPD officersTaken down: One protester missing his right shoe is pinned to the ground by an NYPD officer

The clash: An NYPD officer runs after a woman in green as those around her are being arrestedThe clash: An NYPD officer runs after a woman in green as those around her are being arrested

Sandra Nurse, a member of Occupy’s direct action working group, said police treated demonstrators roughly and made arbitrary arrests. She disputed the police assertion that demonstrators had broken park rules by putting up tents or getting out sleeping bags.

‘I didn’t see any sleeping bags,’ she said. ‘There was a banner hung between two trees and a tarp thrown over it … It wasn’t a tent. It was an erect thing, if that’s what you want to call it.’

She said they had reports of about 25 demonstrators arrested in the police sweep.

Protesters reconvened at the park following afternoon marches through New York’s financial district. By 11pm, roughly 300 had gathered there.

‘This is our spring offensive,’ Michael Premo, 30, of New York told Reuters. He identified himself as a spokesman for the movement.

‘People think the Occupy movement has gone away. It’s important for people to see we’re back.’

Inspired by the pro-democracy Arab Spring, the Wall Street protesters targeted U.S. financial policies they blamed for the yawning income gap between rich and poor in the country, between what they called the one per cent and the 99 per cent.

The demonstrators set up camp in Zuccotti Park on September 17 and sparked a wave of protests across the United States.

Michael Moore
Michael Moore

Famous face: Activist and outspoken filmmaker Michael Moore joined protesters and spoke briefly at the rally, calling it ‘the beginning’

 

Waiting: More than a dozen arrested protesters sit on the ground outside of Zuccotti ParkAmerican Spring: More than a dozen arrested protesters sit on the ground outside of Zuccotti Park; protesters are likening the Occupy movement to the Arab Spring

Events got under way near midday on Saturday, with street theatre troupes performing and guitar players leading sing-alongs. Some boisterous protesters marched through the streets of the financial district, chanting ‘bankers are gangsters’ and cursing at police.

As they have in past marches, protesters led police on a series of cat-and-mouse chases. Marchers at the front of the crowd would suddenly turn down narrow side streets, startling tourists and forcing police to send officers on motor scooters to contain the crowd.

‘People are concerned that they have no control over their own democracy. They have no control over their own lives. This is the beginning. This park is sacred ground for millions across the country.’

-Filmmaker Michael Moore

The movement has made headlines for its clashes with police after campsites were set up for months in cities from New York to California. The camps were eventually shut down by authorities citing zoning regulations and public health concerns.

In New York, the Occupy movement lost significant momentum in November when a pre-dawn sweep broke up the encampment at Zuccotti, although Occupy protests in Oakland, California, in January led to police firing tear gas into crowds of protesters and more than 200 were arrested.

Protester Paul Sylvester, 24, of Massachusetts said he was ‘thrilled’ to be back at the park but said he hoped the movement would begin to crystallize around specific goals.

‘We need to be more concrete and specific,’ he said.

Critics say the Occupy movement lacks direction and clear demands.

It continues to draw celebrities, however. On Saturday night, independent filmmaker Michael Moore strode through the park before the police incursion.

Civil disobedience: Protesters that have been arrested sit on the ground in plastic hand cuffsCivil disobedience: Protesters that have been arrested sit on the ground in plastic hand cuffs

 

Hovering: Police stand over a detained protester; one NYPD officer holds another set of plastic hand cuffsHovering: Police stand over a detained protester; one NYPD officer holds another set of plastic hand cuffs

‘I think it’s great that this movement continues to grow,’ Mr Moore said. ‘I think the goals are clear. People are concerned that they have no control over their own democracy. They have no control over their own lives.

‘This is the beginning. This park is sacred ground for millions across the country.’

As always, the protesters focused on a variety of concerns, but for Tom Hagan, his sights were on the giants of finance.

‘Wall Street did some terrible things, especially Goldman Sachs, but all of them. Everyone from the banks to the rating agencies, they all knew they were doing wrong. … But they did it anyway. Because the money was too big,’ he said.

Dressed in an outfit that might have been more appropriate for the St. Patrick’s Day parade, the 61-year-old salesman wore a green shamrock cap and carried a sign asking for saintly intervention: ‘St. Patrick: Drive the snakes out of Wall Street.’

Chalkupy Wall Street: Earlier in the day, protesters chalked OW-inspired phrases in Zuccotti ParkChalkupy Wall Street: Earlier in the day, protesters chalked OW-inspired phrases in Zuccotti Park

Stacy Hessler held up a cardboard sign that read, ‘Spring is coming,’ a reference, she said, both to the Arab Spring and to the warm weather that is returning to New York City.

She said she believes the nicer weather will bring the crowds back to Occupy protests, where numbers have dwindled in recent months since the group’s encampment was ousted from Zuccotti Park by authorities in November.

But now, ‘more and more people are coming out,’ said the 39-year-old, who left her home in Florida in October to join the Manhattan protesters and stayed through much of the winter.

‘The next couple of months, things are going to start to grow, like the flowers.’

Some have questioned whether the group can regain its momentum. This month, the finance accounting group in New York City reported that just about $119,000 remained in Occupy’s bank account – the equivalent of about two weeks’ worth of expenses.

But Ms Hessler said the group has remained strong, and she pronounced herself satisfied with what the Occupy protesters have accomplished over the last half year.

‘It’s changed the language,’ she said. ‘It’s brought out a lot of issues that people are talking about.

And that’s the start of change.’
Read more: http://www.dailymail.co.uk/news/article-2116661/Occupy-Wall-Street-protesters-clash-police-Zuccotti-Park-movement-began-6-months-ago.html#ixzz1pUKYVnbU

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The City of the Angels Gets a Storm from Hell; Over 10,000 Lose Power

Storm Pummels SoCal

via NBC LA

Snowboarders make their way down the slopes of Mountain High on Saturday, March 17, 2012 as a late-winter storm pummels the Southern California region.

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A late-winter storm wreaked havoc on Southern California on Saturday as power was knocked out to more than 13,713 Southern California Edison customers and traffic crashes along L.A. freeways skyrocketed.

Forecasters predict up to 1.5 inches of rain falling in Los Angeles this weekend. The storm is expected to dampen Sunday’s LA Marathon and is keeping engineers and residents in San Pedro vigilant about a landslide that could worsen due to the deluge.

The most rain recorded by mid-day Saturday was nearly 2 inches at Circle X Ranch near Point Mugu in Ventura County.

Downtown Los Angeles saw just over a half inch; Long Beach had .39 inches; Simi Valley: .41 inches; Palmdale: .34 inches; Brea: .55 inches; Irvine: .32 inches.

Hail and thunderstorms were forecast around the metro area. Snow levels were expected to drop to about 2,500.

A tree was knocked down in Westwood, but no major problems were reported.

Traffic crashes spiked, the California Highway Patrol said. Some 422 crashes were reported in Los Angeles County between 5 a.m. and 10 a.m., CHP Officer Tatiana Sauquillo told the San Gabriel Valley Tribune. During the same period a week ago, when the weather was dry, 58 collisions were reported, she said.

Police were vigilant about traffic issues along the Grapevine section of Interstate 5 near the Tejon Pass, which tops out at 4,160 feet.

More than a foot of snow is expected at the local resorts.

Snowboarders and skiers hit the slopes at Mountain High in Wrightwood as a fresh layer of up to 3 inches fell. The resort expects a foot to fall by Sunday.

Chains were required on all routes to Big Bear including Highway 38 through Redlands.

Angeles Forest Highway and Upper Big Tujunga Canyon Road will be closed through Angeles National Forest.

Angeles Forest Highway also will be closed between Aliso Canyon Road ando Upper Big Tujunga Canyon Road, and Upper Big Tujunga Canyon Road will be closed between Angeles Forest Highway and Angeles Crest Highway.

A high surf advisory with a high rip current risk was in effect until 3 a.m. Monday for the beaches along the Los Angeles County coast.

The surf could range between six to eight feet, with max sets up to nine feet, on exposed west-facing beaches. The highest surf was expected by Saturday afternoon.

A flood advisory was in effect in Ventura.

Pasadena firefighters were giving away sand and sandbags to residents in the foothills where up to 3 inches was expected.

Bags and sand will be available on a first-come, first-served basis at Fire Station 37 at 3430 E. Foothill Blvd. and at Station 38 at 1150 Linda Vista Ave.

As steady downpour and gusty winds swept, volunteers were preparing for Sunday’s LA Marathon, rain or shine. Prepping for rain this year is familiar to them as rain dropped during the Marathon last year.

Los Angeles County officials will activate the Emergency Operations Center at 6 a.m. Sunday for the Marathon. The EOC will stay open until after the race.

Officials will begin closing streets at 4 a.m. Sunday for the early stages of the event, with most streets along the 26-mile, 385-yard course scheduled to be reopened by noon.

Residents and city engineers, meanwhile, were keeping a close eye on a landslide in San Pedro that hit in November along Paseo del Mar.

So far, the landslide was stable. Homes several hundred feet east of the area didn’t appear to be threatened.

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ROVE: Obama Campaign Having Trouble Fund-Raising

via wsj.com 

By KARL ROVE

Last July, President Obama’s campaign announced that it had raised an average of $29 million in each of the previous three months for itself and the Democratic National Committee (DNC). I was only mildly impressed. After all, that was well below the $50 million a month needed to reach the campaign’s goal of a $1 billion war chest for the 2012 race.

Seven months later, I’m even less impressed. Through January, the president has raised an average of $24 million a month for his campaign and the DNC. Next week, the Obama campaign will release its February numbers, but the president is on track to be hundreds of millions of dollars shy of his original goal.

It’s not for lack of trying. Mr. Obama has already attended 103 fund-raisers, roughly one every three days since he kicked off his campaign last April (twice his predecessor’s pace).

The president faces other fund-raising challenges. For one, there are only so many times any candidate can go to New York or Hollywood or San Francisco for a $1 million fund-raiser. Team Obama is running through its easy money venues quickly.

For another, many of Mr. Obama’s 2008 donors are reluctant to give again. The Obama campaign itself reported that fewer than 7% of 2008 donors renewed their support in the first quarter of his re-election campaign. That’s about one-quarter to one-third of a typical renewal rate: In the first quarter of the Bush re-election campaign, for example, about 20% of the donors renewed their support.

There are other troubling signs. Team Obama’s email appeals don’t ask for $10, $15, $25 or $50 donations as they did in 2008, but generally for $3. Nor are the appeals mostly about issues; many are lotteries. Give three bucks and your name will be put in a drawing for a private dinner with the president and first lady.

This is clever marketing, but it suggests the campaign has found that only a low price point with a big benefit can overcome donor resistance among people who contributed via mail or the Internet in 2008. It also points to higher-than-expected solicitation costs and lower-than-expected fund-raising returns.

AFP/Getty ImagesPresident Obama at a Democratic fundraiser at ABC Kitchen in New York on March 1.

The final financial challenge facing Mr. Obama’s campaign is how fast it is burning through the cash it is raising. Compare the 2012 Obama re-election campaign with the 2004 Bush re-election campaign. Mr. Obama’s campaign spent 25% of what it raised in the second quarter of 2011, while Mr. Bush’s campaign spent only 9% in the second quarter of 2003. In the third quarter it was 46% for Obama versus 26% for Bush; for the fourth quarter it was 57% versus 40%. In January 2012 the Obama campaign spent 158% of what it raised, while the Bush campaign spent 60% in January 2004.

At the end of January, Team Obama had $91.7 million in cash in its coffers and those of the DNC. At the same point in 2004, the Bush campaign and Republican National Committee had $122 million in cash combined.

The Obama campaign’s high burn rate doesn’t come from large television buys, phone banks or mail programs that could be immediately stopped. It appears to result instead from huge fixed costs for a big staff and higher-than-expected fund-raising outlays. These are much tougher to unwind or delay. Left unaltered, they generally lead to even more frantic efforts to both raise money and stop other spending.

This perhaps explains why the White House told congressional Democrats last week not to expect a single dime for their campaign efforts from the Democratic National Committee this year. All the DNC’s funds will be needed for the president’s re-election.

His campaign’s financial situation also may explain why Mr. Obama has embraced Super PACs after decrying them as a “threat to democracy” in the midterm elections. The president was quick to criticize Rush Limbaugh’s crude comments about contraception advocate Sandra Fluke. But he refused to condemn his Super PAC’s acceptance of a million-dollar donation from Bill Maher, who routinely attacks Republican women such as Sarah Palin and Michele Bachmann in vulgar and sexually charged terms.

That virtually all Republicans and many independents consider Mr. Obama a failure is obvious. But many Democrats are disappointed with him, too. The president’s difficulty in raising campaign cash is evidence of this. He is working a lot harder than he thought he would to raise a lot less than he had hoped.

Mr. Rove, the former senior adviser and deputy chief of staff to President George W. Bush, is the author of “Courage and Consequence” (Threshold Editions, 2010)

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Meredith Whitney: ‘Tidal Wave’ of Muni-Bond Defaults Still Coming

Source

A “tidal wave” of defaults in the municipal bond market is still building and will eventually hit the United States, says Wall Street analyst Meredith Whitney.

Many U.S. cities, towns and municipalities are insolvent but are treading along similar to how Greece did for years before officially defaulting.

In late 2010, Whitney told 60 Minutes that municipal defaults could run up into the hundreds of billions of dollars although that hasn’t happened. Maybe not officially, but insolvency is a deepening problem, and defaults are still on the way.

“You have Stockton (Calif.) that is on the brink of bankruptcy. You have five cities, including Detroit, which is on the brink of insolvency. It’s fascinating, because there’s been so much back-room political maneuvering to keep these cities from going bust,” Whitney tells CNBC, pointing out how California is trying to pass legislation to prevent municipalities from declaring bankruptcy.

“So there’s been every effort on the part of the states to prevent this tidal wave of defaults, which is going to happen sooner or later. It’s happening at an accelerating pace.”

Taxes are rising, social services are being cut and fiscal shortfalls will keep widening.

“They’re not called technical defaults. It took how long for Greece to become a technical default, so they’re insolvent, they’re not paying their bills,” says the founder of the Meredith Whitney Advisory Group.

“You’re either willing to see it or you’ll shut your eyes, and if people want to tell me, ‘Oh, I was wrong,’ because this hasn’t played out, stay tuned.”

Read more:  

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Day 1 Recap of NFL Free Agency

via Grantland.com

 

Free Agency Day 1: The Insightful and the Incoherent

By Bill Barnwell on 

JOHN GRIESHOP/GETTY IMAGES

 

On Tuesday morning, word around the NFL was that the Bears were basically formalities away from locking up Vincent Jackson and Mario Williams. By 5 p.m., the Bears had acquired Brandon Marshall, but the Bills were now going to host Robert Meachem and Mario Williams and sign them both before their fans woke up the following morning. As the clock struck midnight on the East Coast, Meachem was on the Chargers, Williams was a free man, and we vowed to stop listening to the rumor mill. And then on Wednesday at 12:05 am on the East Coast, we started refreshing Twitter every five seconds while jonesing for our fix. We’re only human.

By the end of a busy first day of free agency, the league had raided the wide receiver and cornerback aisles and left them barren, with 10 notable signings between the two positions alone. About half of those moves made a lick of sense, as logic took a backseat to getting (or spending) cash now. It is our duty to cover both the insightful and the incoherent, and so we start our look at Day 1 of free agency in Washington, where the Redskins defied the odds to pull off their best Redskins impersonation.

The More I Get, The More I Want

With their draft picks tied up in the RG3 trade and their spending money repossessed by the NFL, you would have forgiven the Redskins for taking a rare opening day of free agency off. And then they would have said, “Thanks for forgiving us! Now, please get out of our way so we can get back to spending money we may or may not have. There are second-tier free agents just roaming around out there! For free! Without contracts!”

And so the Redskins found it in their hearts to give Pierre Garcon a five-year, $42.5 million contract with $21.5 million in guaranteed money. This is the same Pierre Garcon who has caught just over 53 percent of the passes thrown to him over the past three seasons despite having Peyton Manning at quarterback for two of those three years. The other Colts wide receivers caught just under 64 percent of the passes thrown to them over that time frame. And while a low catch rate is fine if you’re a deep threat or a demon after the catch, Garcon’s averaged 13.6 yards per catch over that span, which is almost exactly league average. Jabar Gaffney has averaged more yards per catch over the past three years than Pierre Garcon. Is he a downfield threat?

Garcon fits one of the archetypes we identified last year when we described the free agents you meet in hell, a second or third wideout from an effective passing offense. These sorts of players look good against single coverage with great quarterbacks around them, but when you move them into the no. 1 slot on a team with an inferior quarterback, they fail to meet expectations. Last year, Garcon’s raw numbers showed some improvement because he took more snaps and made it through all 16 games for the first time in his career, but his catch rate without Manning fell from 56 percent to 52 percent, and that came while Garcon enjoyed the splendor of garbage-time yardage for the first time in his career. He had three receptions for more than 40 yards all year, and two of them came in one game against the dismal Buccaneers. What about this guy says, “We need to give him $21.5 million as soon as possible?”

While the Redskins were seemingly down to Santana Moss and flotsam at wideout, they already had a useful receiver sitting in Mike Shanahan’s ample doghouse. Anthony Armstrong spent most of 2011 on the bench because Shanahan thought he couldn’t get off press coverage at the line of scrimmage, but Armstrong’s production as a starter in 2010 was arguably better than Garcon’s, despite the fact that the former swapped out Peyton Manning for Donovan McNabb and Rex Grossman:

 

 

Garcon might be the better player, but it’s not a clear case. At the very least, the difference between the two of them over the next two seasons certainly isn’t $21.5 million in guaranteed cash. As bad signings go, this isn’t bringing in Albert Haynesworth, since Haynesworth was at least at the top of his game in the two seasons before the Redskins paid too much for him. This is more like the signings of DeAngelo Hall or Brandon Lloyd, when the Redskins acquired (or retained) a B-list player by giving him A-list money. You can make the case that Washington needed to upgrade at wide receiver and give RG3 options, but you don’t accomplish that by throwing $21.5 million at league-average receivers.

On the other hand, the Redskins made a perfectly rational, reasonable decision to buy low on Josh Morgan, who broke his leg after five games and missed most of San Francisco’s 2011 season. Morgan’s statistics aren’t all that impressive, and he’s not regarded as a burner, but he’s spent the past three years playing with Alex Smith in a conservative offense. It’s also worth noting that he’s averaged 13.0 yards per catch over those three seasons, virtually identical to Garcon’s figure. The Redskins only paid $7.5 million in guaranteed money for Morgan on a five-year, $12 million contract that will void after two years (for cap purposes, the Skins will spread the signing bonus hit over five years, but it’s essentially a two-year deal). Washington may find that Morgan’s actually the better player of the two.

Big Receiver-a-Go-Go

We were right to assume that there were two oversize wideouts on the market who would move fast during free agency, but we had the wrong receivers. After the Saints locked up Marques Colston early Tuesday morning, the Bears abandoned their chase of Vincent Jackson and shockingly acquired Brandon Marshall from the Dolphins for a pair of third-round picks.

The Marshall trade didn’t obviously stink the way that the Santonio Holmes trade did — when the Jets acquired a Pro Bowl-caliber receiver for a fifth-rounder — but the sudden availability and acquisition of Marshall suggested that there was more to the move than meets the eye. It was no surprise hours later, then, when Adam Schefter reported that Marshall was being investigated by the league for yet another off-field incident. It later came to light that Marshall had allegedly “slugged” a woman in the face at a New York City club on Sunday, a move that might have inspired Miami’s desire to give up on Marshall.

The only logical perspective from which this makes sense for the Dolphins is the disciplinarian angle, where a new head coach simply wanted to move on from a frustrating player. That makes for wonderful quotes, but Marshall was the team’s best offensive weapon by a wide margin, and there’s nobody left on the market to replace him. They gave up two second-round picks for Marshall and then paid him $19 million for two years of above-average production before shipping him away for two third-round picks.

Obviously, what Marshall offers on the field is worth more than two third-round picks. Over the past five years, only four players have more receiving yards than Marshall, and his three 100-catch seasons all came in Denver with Jay Cutler at the helm. Cutler, of course, will be Marshall’s starting quarterback again in Chicago. Marshall’s arrival will take the heat off Devin Hester as a no. 1 wideout and keep Earl Bennett in the slot, moves that will make everyone in the offense better. In addition, the Bears won’t be responsible for paying Marshall’s signing bonus and should only owe Marshall his base salary (a little over $9 million) in each of the next three years. If Marshall becomes too much to handle, they can cut him without incurring any cap penalty.

We had a whole paragraph written here about how the Dolphins now needed to sign Reggie Wayne — even if it meant throwing him a few extra bucks — because it would fill their biggest need while giving Peyton Manning extra ammunition to choose Miami over Denver in his quest for a new organization. After being linked with Manning for the past week as a combo deal, Wayne stunningly returned to the one place Manning isn’t heading to, Indianapolis. The Colts gave him a three-year deal worth $17.5 million with $7.5 million guaranteed. It’s shocking that the a receiver-needy team like the Dolphins wouldn’t have offered Wayne more in guaranteed money, but perhaps the veteran wanted to finish his career in Indianapolis after all. The Colts don’t exactly need a 33-year-old wideout these days, but at that price, Wayne can be a viable target for the beginning of Andrew Luck’s career without costing the organization very much. It’s a win-win-oh-my-god-the-Dolphins-lose deal.

And as for Jackson, he finally got the long-term deal he’s sought for years by inking a five-year, $55,555,555 contract with the Buccaneers to serve as Josh Freeman’s top wideout. The deal guarantees Jackson $26 million. To put that in context, consider that Jackson has more receiving yards over the past three years than Garcon despite being thrown 97 fewer passes (344 for Garcon, 247 for Jackson), while his catch rate is at a far-superior 58 percent despite being the target of so many Philip Rivers prayers downfield. We’ll stop picking on Garcon now. Jackson has his own history of off-field issues and has spent his entire career playing in an effective passing offense with a great quarterback, so he could qualify as a free agent from hell (especially if you consider Antonio Gates to be the team’s top target), but his sheer size and athleticism should play well in a division with small corners like Brent Grimes and Jabari Greer. The Bucs should be a little concerned that they have two wideouts of markedly similar styles in Jackson and Mike Williams, though, and they might want to stay in the market to add a slot receiver who can do some damage underneath. That player could be Early Doucet, who the Cardinals can’t afford to retain.

The Chargers found their replacement for Jackson in Robert Meachem, giving the former Saints wideout a four-year deal with $14 million in guaranteed money after he failed to come to terms with the Bills. As a third or fourth option in the Saints’ passing attack over the past few years, Meachem’s been remarkably consistent. Over the past three seasons, he’s started either seven or eight games, caught between 40 and 45 passes, and averaged between 14.5 and 16.0 yards per catch. Those numbers have some value, but at 28, it’s worth wondering whether Meachem is ever going to become anything more than that. If the Chargers continue to use Meachem as a third target, they should find that he’s up to the task. If they expect Meachem to be their no. 1 receiver, though, San Diego might be disappointed by what they find.

Finnegan’s Wake of Money

Last August, Cortland Finnegan disappeared from Titans training camp and attributed the absence to a personal matter. The personal matter was that he wasn’t happy with his contract and wanted the Titans to give him a new one. As you might suspect, the Titans were not desperate to re-sign Finnegan this offseason and let him go to St. Louis, which released a bevy of veterans to sign Finnegan to a five-year, $50 million deal with $26.5 million in guaranteed money. Much like the Redskins, the Rams desperately needed help at cornerback. Their top three corners all went down with season-ending injuries last year, and since previous ace Ron Bartell’s injury was a fractured neck, it’s easy to understand why the Rams would go out and target a top corner.

Is Finnegan a top cornerback, though? Pro Bowl voting is far from exact, but Finnegan’s only made one Pro Bowl in his career, and that was in 2008. More importantly, is Finnegan going to be a Pro Bowler with the Rams? St. Louis is paying him like one, and there are reasons to be concerned about his future viability. Finnegan, who just turned 28 in February, is generously listed at 5-foot-9. The recent history of short cornerbacks making it into their thirties as starters is not very long, as only five players listed at 5-foot-9 or less have started 12 or more games in a season after they turned 31 since 2002. That includes a few embarrassingly bad seasons, too, for guys like Fred Thomas, Dre’ Bly, and Tyrone Poole. The only short corner to really keep up his performance at a high level into his early thirties is Antoine Winfield, while dozens of taller corners have lasted into and beyond that age range over the same time frame. The Rams might get a year or two of solid performance out of Finnegan, but this contract is likely to end very messily.

Compare the Finnegan signing to that of Carlos Rogers, who re-signed with the Niners on Tuesday on a four-year deal for about $30 million. There’s no word yet on the guaranteed money, but Giants cornerback Terrell Thomas re-signed with his team on a similar deal with about $11 million guaranteed, and it’s hard to imagine that Rogers would get more than $15 million or so of his deal locked up in guaranteed cash. Rogers was better than Finnegan last year, when he made his first Pro Bowl, and he’s arguably been better over the whole of the past three years. And for that, Rogers is getting about as much total money over the length of his contract as Finnegan’s getting in guaranteed cash. That’s a victory for the San Francisco front office, which now returns all 11 starters from last year’s dominant unit.

Block the Doors With Beef on Weck

Don’t let him leave the facility. It’s the rule that every team follows when a big-time free agent heads to their city for a visit. If you get a player to hop on your private plane and head to your town for hours of meetings and interviews, your best way to sign that player is to lock him in your offices until he puts pen to paper. If that means ordering in the fanciest dinner in town, turning on the stadium’s lights, and dining on the 50-yard line, you do it. If it means adding a few million dollars to the contract figure you had in mind, you do it. If it literally means locking the doors and stalling the player in question from getting in a limo to take him back to the airport, you do it. The moment that player leaves your facility and heads out of town, though, your odds of signing him decrease dramatically. The Bills had their shot at Mario Williams last night. They weren’t able to keep him in the facility.

Although we suggested that the Bills should only enter the market to make a Godfather offer to Williams, we were pleasantly surprised to see that they actually went ahead and convinced Williams to start his free agent tour in Buffalo. They presumably got Williams to head there by telling his agent that the organization would give Williams the prescribed $40 million in guaranteed money that would help make him the highest-paid defensive player in NFL history.

It’s here where the NFL’s business model shines through. Because the league’s television contract is entirely national and split evenly between the league’s 32 teams, every team has enough money to make a legitimate top-dollar offer to the best free agent on the marketplace. Meanwhile, baseball teams who were already struggling with an income gap between the haves and have-nots are facing cavernous differences in their local television deals. The Pirates would not have been able to credibly offer Albert Pujols $300 million this offseason. The Bills — in a tiny market with a 40-year-old stadium — can outbid the rest of the league for an elite player if they want to.

Unfortunately for the Bills, it takes two to tango, and it doesn’t appear that Williams wants to dance. In all likelihood, Williams chose to start his national tour in Buffalo to send a message to his other suitors. Baseball’s rumor mill is famous for introducing the Mystery Team, an unknown suitor who agents would perpetually report as lurking in the shadows to sign their free agent for an exorbitant sum. Williams has basically started free agency by going to visit the Mystery Team. He can now go visit any other team in the league and tell them that Buffalo’s made him the biggest offer any defensive free agent has ever seen, and unless they’re willing to come close to that offer, he’ll go back to Buffalo and take their money. The Bills don’t have the leverage to take their deal off the table, since there’s nobody else in the market who would be worth that sort of contract. Even if Williams has no intention of ever signing with the Bills, it makes total sense for him to start his search there and strike fear into the penurious hearts of owners around the league.

Of course, Williams could still end up sticking around in Buffalo and signing with the Bills. Maybe they sweeten the pot and make it $45 million, or Williams simply changes his mind after a long night’s sleep and decides to stay. Nobody even whispered Williams’s name in reference to the Bills before free agency began, so there’s little reason to trust the rumor mill surrounding him now. We know one thing for sure, though: You can’t sign a contract with one team when you’re locked inside another team’s facility. Once the Bills got Mario Williams inside of Ralph Wilson Stadium, he shouldn’t have left without a contract.

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Quitting While They’re Behind: Some Hedge Funds are Throwing in the Towel

via economist.com

THE past few years have been “as miserable as I can remember”, says Johnny Boyer of Boyer Allen Investment Management, a British hedge fund focused on Asia. The fund, which looked after $1.9 billion at its peak, faced the prospect of spending the next few years trying to claw its way back to pre-crisis asset levels. Instead the founders decided to shut the fund and give investors their money back.

Others have also had enough. “I’ve been doing this for 15 years and I’ve never seen as many people give up as in the last three months,” says Luke Ellis of Man Group, a large listed fund. This trend is distinct from the round of closures in 2008. Then, managers were hit by investors’ redemptions and had no choice but to close; today many are electing to walk away.

For some managers, the markets have become too stressful. Running a hedge fund today is “three times as much work for a third of the fun,” says one. But many are motivated by economics. Hedge funds typically get paid a 2% management fee on assets to cover expenses and a 20% performance fee on the returns they achieve for investors. Most funds do not earn performance fees unless they outperform their peak level or “high-water mark”. At the end of 2011, 67% of hedge funds were below their high-water marks, according to Credit Suisse, and 13% have not earned a performance fee since 2007 or earlier.

Funds can survive off a management fee for a couple of years, but four is a long time to go hungry. Most managers were banking on a recovery in 2011 but the average hedge fund slid by 5.2%—much worse than the S&P 500, which returned 2%. Poor performance is causing changes in the way the industry markets itself (see article). It also means many funds will have to wait even longer to earn a performance fee again. According to Morgan Stanley, 18% of hedge funds are more than 20% below their high-water marks.

 

 

Smaller funds have been more likely to close than their larger peers. That’s partly because it used to be possible to run a hedge fund with $75m under management. Today funds need at least double that amount because administrative and compliance costs are higher than ever. Larger funds also depend less on performance fees because their management fees bring in so much cash. John Paulson, a hedge-fund giant whose flagship fund was clobbered last year, has pledged to make up investors’ losses but his fund is so large that he can easily afford to carry on. That risks distorting the original point of hedge funds—that they are small, limber operations which come and go often (see chart).

For investors, it is generally a good thing if underperforming managers are returning cash and not milking them for fees. But others worry that high-water marks could skew funds’ investing decisions. Managers who have not earned a performance fee in years could take bolder bets to get back into the black. Leverage levels have been creeping up. Some may prefer to go out with a bang, not a whimper.

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Kim Dotcom: Many Megaupload Users at the US Government

Over the past weeks Megaupload has been looking into the various options they have to grant users temporary access. Interestingly enough, this quest revealed that many accounts are held by US Government officials.

“Guess what – we found a large number of Mega accounts from US Government officials including the Department of Justice and the US Senate.”

“I hope we will soon have permission to give them and the rest of our users access to their files,” Dotcom told us.

Read the rest here.

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The 10 Best Quotes About Rising Gas Prices

vía Politico.com

1. “They [OPEC] want to go in and raise the price of oil because we have nobody in Washington that sits back and says you’re not going to raise that f—-ing price, you understand me?” — Donald Trump (April 2011)

2. “I figured out Karl Rove’s political strategy – make gas so expensive, no Democrats can afford to go to the polls.” — Sen. John Kerry (May 2004)

3. “President Obama must announce today in his Nashua address that he is firing Secretary Chu and replacing him with a pro-American-energy appointment. If he doesn’t, then the American people will know the president is still committed to his radical ideology, which wants to artificially raise the cost of energy.” — Newt Gingrich (March, 2012)

4. “You’ve got Donald Trump saying don’t pay OPEC $100 for the oil. Just tell them you’ll give them $50. Really? I go into Trump’s hotel, it’s $1,000 for a suite and I say I’m not going to give you that, I’ll give you $200. I’m on the street looking for another place to sleep. You can’t tell them I’ll give you $50 when the world market is $100. It just doesn’t work that way.” – T. Boone Pickens (Feb. 2012)

5. “We went into a recession in 2008 because of gasoline prices.” – Rick Santorum (Feb. 2012)

6. “I can get you a gallon of gasoline for a dime. … You can buy a gallon of gasoline today for a silver dime. A silver dime is worth $3.50, it’s all about inflation and too many regulations.” – Ron Paul (Sept. 2011)

7. “Since the president has been president, the cost of gasoline has doubled. Not exactly what he might have hoped for. … He’s said it’s not my fault. By the way, we’ve gone from ‘Yes, we can’ to ‘It’s not my fault.’ Well, this is in fact his fault.” – Mitt Romney (March 2012)

8. “Somehow, we have to figure out how to boost the price of gasoline to the levels in Europe.” – Energy Secretary Steven Chu (Sept. 2008)

9. “The next time you hear some politician trotting out some three-point plan for $2 gas, you let them know, we know better. Tell them we’re tired of hearing phony, election year promises that never come about.” — President Barack Obama (March, 2012)

10. Honorary mention: Dan Aykroyd, playing President Jimmy Carter in a Saturday Night Live skit in the 1970s, had some fun with Carter’s famous suggestion that Americans put on sweaters and turn down the heat:
Read more: http://www.politico.com/news/stories/0312/73891.html#ixzz1ovXMQif3

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Eric Holder Messes with Texas: Justice Department Opposes Texas Voter ID Law

via

WASHINGTON (AP) — The Justice Department’s civil rights division on Monday objected to a new photo ID requirement for voters in Texas because many Hispanic voters lack state-issued identification.

Texas follows South Carolina as the second state in recent months to become embroiled in a court battle with the Justice Department over new photo ID requirements for voters.

Photo ID laws have become a point of contention in the 2012 elections. Liberal groups have said the requirements are the product of Republican-controlled state governments and are aimed at disenfranchising people who tend to vote Democratic — African-Americans, Hispanics, people of low-income and college students.

Proponents of such legislation say the measures are aimed at combating voter fraud. But advocacy groups for minorities and the poor dispute that and argue there is no evidence of significant voter fraud.

In regard to Texas, “I cannot conclude that the state has sustained its burden” of showing that the newly enacted law has neither a discriminatory purpose nor effect, Thomas E. Perez, the head of the Justice Department’s civil rights division, said in a letter to the Texas secretary of state.

Texas Attorney General Greg Abbot has said the Obama administration is hostile to laws like the one passed last year in Texas.

The National Conference of State Legislatures called the voter ID issue “the hottest topic of legislation in the field of elections in 2011,” with legislation introduced in 34 states.

The department had been reviewing the Texas law since last year and discussing the matter with state officials. In January, Texas officials sued U.S. Attorney General Eric Holder, seeking a court judgment that the state’s recently enacted voter ID law was not discriminatory in purpose or effect.

As a state with a history of voter discrimination, Texas is required under section 5 of the Voting Rights Act to get advance approval of voting changes from either the Justice Department or the U.S. District Court in Washington, D.C.

In a letter to Texas officials that was also filed in the court case in Washington, the Justice Department said Hispanic voters in Texas are more than twice as likely than non-Hispanic voters to lack a driver’s license or personal state-issued photo ID. The department said that even the lowest estimates showed about half of Hispanic registered voters lack such identification.

The range was so broad because the state provided two sets of registered voter data.

In December, the Justice Department rejected South Carolina’s voter ID law on grounds it makes it harder for minorities to cast ballots. It was the first voter ID law to be rejected by the department in nearly 20 years.

In response, South Carolina sued Holder; the state argued that enforcement of its new law will not disenfranchise any voters.

Other states have moved toward photo ID requirements in the past year.

Alabama has a photo ID law, but it does not go in effect until 2014. Mississippi voters approved a photo ID law, but the state legislature has not yet adopted enabling legislation. The Justice Department has not yet reviewed the initiatives in either state.

The Justice Department has said it is reviewing voter ID laws in other states, but has not identified which ones.

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Who is Edward J. DeMarco and Is He Preventing a U.S. Recovery ?

“The single largest obstacle to meaningful economic recovery is a man who most Americans have probably never heard of, Edward J. DeMarco.

From his perch as acting director of the Federal Housing Finance Agency, DeMarco oversees Fannie Mae and Freddie Mac, the government-owned mortgage behemoths that collectively control about half of all home loans in the land. What he does shapes both the national housing market and the ability of troubled borrowers to hang on to their homes. What he has been been doing lately has been so unhelpful that Democratic lawmakers and grassroots advocacy groups are properly demanding his ouster.

DeMarco steadfastly refuses to allow Fannie and Freddie to help distressed homeowners by writing off principal balances on their mortgages. This has ensured that tens of millions of borrowers remain “underwater,” meaning they owe the banks more than their homes are worth — a status that has an alarming tendency to portend foreclosure. His refusal is based on logic that is both elegantly simple and tragically flawed: He is responsible for cleaning up the books at Fannie and Freddie, so he is against spending money.

If DeMarco were fire chief and your house became engulfed in flames, you could forget about calling 911. By his reasoning, the taxpayer would be best served by keeping the fire engines in the station, lest they get damaged in the line of duty. It would not matter whether the flames licking your windows were the result of your recklessness or the product of an explosion at, say, the methamphetamine lab down the street. He would not run up the municipal water bill by saving your block.

Many housing experts have long argued that writing down balances for underwater homeowners is the key to limiting foreclosures. Even the Obama administration — which previously fought against principal reduction — has come to embrace this strategy. The $25 billion foreclosure settlement that the administration brokered last month with the nation’s five largest banks includes provisions that will write down balances.

But if DeMarco keeps refusing to go along, the new program will be irrelevant. Only he has the power to make principal reduction happen broadly because only he has his hands on the levers at the institutions that control most of the mortgages.

“He is standing in the way,” Rep. Jerrold Nadler, the New York Democrat, told me on Thursday. “He is single-handedly saying that he’s opposed to any write-downs because all he cares about is the fiscal solvency of Fannie and Freddie — a legitimate concern, but not the only concern. If he doesn’t do what he ought to do, then he ought to be fired.”

Read more

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