Chiefs, GM Pioli part ways after 4 seasons in KC


KANSAS CITY, Mo. (AP) — Scott Pioli is out as general manager of the Kansas City Chiefs, who have been negotiating the past two days with Andy Reid to become their next coach.


Pioli and the team "mutually parted ways," the Chiefs said in a statement Friday. The decision came after four tumultuous seasons marked by poor draft choices, ineffective free-agent moves, failed coaching hires and a growing fan rebellion.


"I truly apologize for not getting the job done," Pioli said.


The Chiefs fired coach Romeo Crennel on Monday after finishing 2-14, matching the worst record in their 53-year history. Chiefs chairman Clark Hunt said other changes could be made, and indicated that Pioli's future could be determined by their next coach.


A person familiar with the situation told The Associated Press the team is nearing a deal with Reid, who was fired after 14 seasons with the Philadelphia Eagles. The person spoke to AP on condition of anonymity because negotiations were ongoing. It is believed that Reid would prefer to work with his own general manager.


"After several productive conversations, we made the difficult decision to part ways with Scott Pioli and allow him to pursue other opportunities," Hunt said in a statement Friday.


"This was a difficult decision for Scott as well," Hunt said. "He has a great deal of appreciation for the history of this franchise, for our players, coaches and employees, and especially our great fans."


Kansas City will have the No. 1 pick in the NFL draft, and with five players voted to the Pro Bowl, there are certainly pieces in place for the Chiefs to make rapid improvement.


But most of those Pro Bowl players were drafted by Pioli's predecessor, Carl Peterson. The former Patriots executive struggled to find impact talent, particularly at quarterback, while cycling through coaches and fostering a climate of dread within the entire organization.


Numerous longtime staff members were fired upon Pioli's arrival, and his inability to connect with fans resulted in unrest unlike anything the franchise has known. Some of them even paid for banners to be towed behind planes before home games asking that he be fired.


Those fans finally got their wish.


The biggest reason ultimately wasn't the banners and posters, but by the performance of the Chiefs. And that was a reflection of the roster Pioli assembled, one that looked good on paper but not on the field.


Things were no better away from the field, either.


On Dec. 1, linebacker Jovan Belcher shot the mother of his 3-month-old daughter, Kasandra Perkins, at a home not far from Arrowhead Stadium. He then drove to the team's practice facility and was confronted by Pioli, Crennel and defensive coordinator Gary Gibbs.


After thanking the three of them for giving him a chance in the NFL, Belcher turned around in the parking lot, kneeled down and shot himself in the head.


Pioli hasn't spoken publicly since then but issued a statement Friday in which he thanked the organization for giving him an opportunity to be its GM.


"The bottom line is that I did not accomplish all of what I set out to do," Pioli said. "To the Hunt family — to the great fans of the Kansas City Chiefs — to the players, all employees and alumni, I truly apologize for not getting the job done."


Pioli often spoke of putting together "the right 53," but he routinely failed to do so.


His biggest move upon being hired was trading for Patriots backup Matt Cassel and then giving him a $63 million, six-year deal. Cassel went to the Pro Bowl in 2010, when the Chiefs won a surprising AFC West title, but he struggled so mightily that he was benched this season.


Many of Pioli's moves in free agency also backfired.


Tight end Kevin Boss sustained a season-ending head injury in Week 2, running back Peyton Hillis was a shadow of his former self, right tackle Eric Winston got into a messy situation by calling out Chiefs fans during an early season loss, and cornerback Stanford Routt was cut under mysterious circumstances despite signing an $18 million, three-year contract.


One of his biggest shortcomings was in the draft.


He wasted the third overall pick in 2009 on defensive end Tyson Jackson, who has struggled to become an every-down player. The only other player who has made a contribution from Pioli's first draft has been kicker Ryan Succop, their seventh-round selection.


Pioli fared better in 2010, when he nabbed Pro Bowl safety Eric Berry in the first round, but the past two years have been a disappointment. Wide receiver Jon Baldwin, his first-round pick in 2011, has barely made an impact, and defensive tackle Dontari Poe — the 11th overall pick last April — failed to make the kind of impression the Chiefs had hoped.


Pioli didn't fare much better when it came to coaches.


He fired Herm Edwards soon after he was hired and chose Todd Haley as the replacement, but their relationship was strained from the start. Haley was fired last December and Crennel made the interim coach, and then Pioli made the move permanent a few weeks after the season ended.


While beloved and respected by his players, Crennel struggled in his second stint as a head coach, and was dismissed after a 2-14 finish — only the third time in team history the Chiefs failed to win at least three games in a season.


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Scant Proof Is Found to Back Up Claims by Energy Drinks





Energy drinks are the fastest-growing part of the beverage industry, with sales in the United States reaching more than $10 billion in 2012 — more than Americans spent on iced tea or sports beverages like Gatorade.




Their rising popularity represents a generational shift in what people drink, and reflects a successful campaign to convince consumers, particularly teenagers, that the drinks provide a mental and physical edge.


The drinks are now under scrutiny by the Food and Drug Administration after reports of deaths and serious injuries that may be linked to their high caffeine levels. But however that review ends, one thing is clear, interviews with researchers and a review of scientific studies show: the energy drink industry is based on a brew of ingredients that, apart from caffeine, have little, if any benefit for consumers.


“If you had a cup of coffee you are going to affect metabolism in the same way,” said Dr. Robert W. Pettitt, an associate professor at Minnesota State University in Mankato, who has studied the drinks.


Energy drink companies have promoted their products not as caffeine-fueled concoctions but as specially engineered blends that provide something more. For example, producers claim that “Red Bull gives you wings,” that Rockstar Energy is “scientifically formulated” and Monster Energy is a “killer energy brew.” Representative Edward J. Markey of Massachusetts, a Democrat, has asked the government to investigate the industry’s marketing claims.


Promoting a message beyond caffeine has enabled the beverage makers to charge premium prices. A 16-ounce energy drink that sells for $2.99 a can contains about the same amount of caffeine as a tablet of NoDoz that costs 30 cents. Even Starbucks coffee is cheap by comparison; a 12-ounce cup that costs $1.85 has even more caffeine.


As with earlier elixirs, a dearth of evidence underlies such claims. Only a few human studies of energy drinks or the ingredients in them have been performed and they point to a similar conclusion, researchers say — that the beverages are mainly about caffeine.


Caffeine is called the world’s most widely used drug. A stimulant, it increases alertness, awareness and, if taken at the right time, improves athletic performance, studies show. Energy drink users feel its kick faster because the beverages are typically swallowed quickly or are sold as concentrates.


“These are caffeine delivery systems,” said Dr. Roland Griffiths, a researcher at Johns Hopkins University who has studied energy drinks. “They don’t want to say this is equivalent to a NoDoz because that is not a very sexy sales message.”


A scientist at the University of Wisconsin became puzzled as he researched an ingredient used in energy drinks like Red Bull, 5-Hour Energy and Monster Energy. The researcher, Dr. Craig A. Goodman, could not find any trials in humans of the additive, a substance with the tongue-twisting name of glucuronolactone that is related to glucose, a sugar. But Dr. Goodman, who had studied other energy drink ingredients, eventually found two 40-year-old studies from Japan that had examined it.


In the experiments, scientists injected large doses of the substance into laboratory rats. Afterward, the rats swam better. “I have no idea what it does in energy drinks,” Dr. Goodman said.


Energy drink manufacturers say it is their proprietary formulas, rather than specific ingredients, that provide users with physical and mental benefits. But that has not prevented them from implying otherwise.


Consider the case of taurine, an additive used in most energy products.


On its Web site, the producer of Red Bull, for example, states that “more than 2,500 reports have been published about taurine and its physiological effects,” including acting as a “detoxifying agent.” In addition, that company, Red Bull of Austria, points to a 2009 safety study by a European regulatory group that gave it a clean bill of health.


But Red Bull’s Web site does not mention reports by that same group, the European Food Safety Authority, which concluded that claims about the benefits in energy drinks lacked scientific support. Based on those findings, the European Commission has refused to approve claims that taurine helps maintain mental function and heart health and reduces muscle fatigue.


Taurine, an amino acidlike substance that got its name because it was first found in the bile of bulls, does play a role in bodily functions, and recent research suggests it might help prevent heart attacks in women with high cholesterol. However, most people get more than adequate amounts from foods like meat, experts said. And researchers added that those with heart problems who may need supplements would find far better sources than energy drinks.


Hiroko Tabuchi contributed reporting from Tokyo and Poypiti Amatatham from Bangkok.



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DealBook: More European Bank Loan Sales Expected

11:45 a.m. | Updated

LONDON – At the start of 2013, European banks are cleaning out their closets.

The Continent’s largest financial institutions, including HSBC and Deutsche Bank, are expected to sell a combined 60 billion euros, or $78 billion, of so-called noncore loans this year, a 33 percent rise compared with 2012, according to estimates from the accounting firm PricewaterhouseCoopers released on Friday.

The renewed effort to offload unwanted assets comes as European banks are eager to reduce costs and shrink their balance sheets to comply with tougher capital requirements demanded by regulators. Europe’s persistent financial problems also have altered the industry’s economics, leaving many banks with bloated balance sheets and reduced profitability.

A string of recent scandals, including multibillion-dollar fines for the British bank Barclays and its Swiss counterpart UBS related to the manipulation of benchmark interest rates, have placed increased pressure of firms to pull back from underperforming and risky business units.

Many of Europe’s largest banks also have announced wholesale jobs cuts, particularly in their investment banking divisions, while the number of people working in financial services in London, Europe’s financial capital, has fallen to its lowest level since the mid-1990s, according to the British research organization Center for Economics and Business Research.

The fire sale has already included the Royal Bank of Scotland‘s sale of property loans to the private equity firm Blackstone Group and its aviation leasing business to the Sumitomo Mitsui Financial Group, the Japanese bank, for $7.3 billion. HSBC also is considering the sale of United States real estate and personal loans worth a combined $6 billion after it already offloaded a number of operations in emerging markets like Pakistan and Colombia to local competitors.

“Banks have been doing the right thing by selling off loan portfolios,” said Richard Thompson, a partner at PricewaterhouseCoopers in London. “Some of stronger firms also may now be looking to pick up assets on the cheap.”

PricewaterhouseCoopers said that it expected that European banks would focus on corporate and real estate loan disposals, particularly in countries like Spain where prices in the local housing market fell 15 percent annually in the third quarter of last year, according to the latest available government figures.

The creation in Spain of a so-called bad bank that will oversee the sale of up to 60 billion euros of unwanted assets like delinquent mortgages and unsold real estate on behalf of local banks is also expected to draw interest from potential buyers.

European banks are keen to sell, but bankers and lawyers say financial institutions continue to demand high prices for assets despite the glut of loan portfolios up for sale. So far, analysts add that differences over price have kept potential buyers, including private equity firms that specialize in distressed assets, from picking up more underperforming loan assets because the firms believe they remain overvalued.

Last year, the average discount on loans for a range of unwanted European bank assets was 20 percent to 50 percent, according to PricewaterhouseCoopers. That percentage is expected to rise this year, though analysts say the banks’ access to cheap short-term financing from the European Central Bank has given them some breathing room to demand higher prices for their unwanted assets.

“In 2012, we saw a large number of different banks bringing their portfolios to market,” Mr. Thompson said. “The issue of price will clearly remain a key challenge in future for sellers.”

European banks still have a lot of work to do.

PricewaterhouseCoopers estimates that firms still have more than 2.5 trillion euros of noncore loans that they are looking to sell. As the 60 billion euro estimate for loan portfolio sales in 2013 represents just 2.4 percent of that total, Europe’s banks are likely to remain eager sellers for many years to come.

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Media Decoder Blog: Al Jazeera Seeks a U.S. Voice Where Gore Failed

9:16 p.m. | Updated Al Jazeera, the pan-Arab news giant, has long tried to convince Americans that it is a legitimate news organization, not a parrot of Middle Eastern propaganda or something more sinister.

It just bought itself 40 million more chances to make its case.

Al Jazeera on Wednesday announced a deal to take over Current TV, the low-rated cable channel that was founded by Al Gore, a former vice president, and his business partners seven years ago. Al Jazeera plans to shut Current and start an English-language channel, which will be available in more than 40 million homes, with newscasts emanating from both New York and Doha, Qatar.

For Al Jazeera, which is financed by the government of Qatar, the acquisition is a coming of age moment. A decade ago, Al Jazeera’s flagship Arabic-language channel was reviled by American politicians for showing videotapes from Al Qaeda members and sympathizers. Now the news operation is buying an American channel, having convinced Mr. Gore and the other owners of Current that it has the journalistic muscle and the money to compete head-to-head with CNN and other news channels in the United States.

Al Jazeera did not disclose the purchase price, but people with direct knowledge of the deal pegged it at around $500 million, indicating a $100 million payout for Mr. Gore, who owned 20 percent of Current. Mr. Gore and his partners were eager to complete the deal by Dec. 31, lest it be subject to higher tax rates that took effect on Jan. 1, according to several people who insisted on anonymity because they were not authorized to speak publicly. But the deal was not signed until Wednesday.

A spokesman for Al Jazeera said that antitrust regulators had not expressed any objections to the deal.

Going forward, the challenge will be persuading Americans to watch — an extremely tough proposition given the crowded television marketplace and the stereotypes about the channel that persist to this day.

“There are still people who will not watch it, who will say that it’s a ‘terrorist network,’ ” said Philip Seib, the author of “The Al Jazeera Effect.” “Al Jazeera has to override that by providing quality news.”

With a handful of exceptions (including New York City and Washington), American cable and satellite distributors have mostly refused to carry Al Jazeera English since its inception in 2006. While the television sets of White House officials and lawmakers were tuned to the channel during the Arab Spring in 2011, ordinary Americans who wanted to watch had to find a live stream on the Internet.

To change that, Al Jazeera lobbied distributors and asked supporters to write letters to the distributors — but accomplished next to nothing.

Some activists accused distributors like Comcast and DirecTV of blacklisting a channel that is widely respected elsewhere in the world. But the distributors said there was scant evidence that many American viewers wanted to watch.

Current, similarly, has suffered from paltry ratings. “Nobody’s watching,” one of the channel’s prime-time hosts, Eliot Spitzer, quipped to a reporter last month.

Current was conceived in 2005 after Mr. Gore and another co-founder, Joel Hyatt, bought the small cable news channel Newsworld International. After several years in obscurity showing viewer-submitted videos and documentaries, Current tacked to the left in 2011 with the hiring of MSNBC’s Keith Olbermann. A year later, Mr. Olbermann was fired, but a channel made in his image remained, with Mr. Spitzer, Jennifer Granholm and other liberal pundits as hosts. But on a typical night last year, just 42,000 people watched their shows, according to Nielsen.

By selling Current, Mr. Gore and Mr. Hyatt are giving up their vision for an alternative to MSNBC, which has much higher-rated liberal hosts.

On Wednesday, Mr. Hyatt praised Al Jazeera for “bringing large-scale resources to journalism — something which we have not been able to do.” In a letter to Current employees, some of whom are expected to lose their jobs, he said he and Mr. Gore would join the advisory board of the newly rebranded channel.

“We look forward to helping build an important news network,” Mr. Hyatt wrote.

Rather than simply use Current to distribute its existing English-language channel, Al Jazeera said it plans to create a channel based in New York. Tentatively titled Al Jazeera America, roughly 60 percent of the programming will be produced in the United States, while the remaining 40 percent will come from Al Jazeera English.

Al Jazeera, which has bureaus in New York, Washington, Los Angeles, Miami and Chicago, intends to open several more in other American cities.

“There’s a major hole right now that Al Jazeera can fill. And that is providing an alternative viewpoint to domestic news, which is very parochial,” said Cathy Rasenberger, a cable consultant who has worked with Al Jazeera on distribution issues in the past. However, she warned, “there is a limited amount of interest in international news in the United States.”

And others are trying to elbow their way in. News channels financed by Britain, China and Russia are especially hungry for American cable deals. To date, the BBC has had the most success; its BBC World News channel is now available in about 25 million homes thanks to a deal struck last month with Time Warner Cable.

But the takeover of Current brings Al Jazeera to the front of the line. In recent weeks, Mr. Gore personally lobbied the distributors that carry Current on the importance of Al Jazeera, according to people briefed on the talks who were not authorized to speak publicly.

Distributors can sometimes wiggle out of their carriage deals when channels change hands. Most consented to the sale, but Time Warner Cable did not, Mr. Hyatt told employees.

Time Warner Cable had previously warned that it might drop Current because of its low ratings. It took advantage of a change-in-ownership clause and said in a terse statement Wednesday night, “We are removing the service as quickly as possible.”

A version of this article appeared in print on 01/03/2013, on page A1 of the NewYork edition with the headline: Al Jazeera Seeks a U.S. Voice Where Gore Failed.
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NHL negotiations go late. No union disclaimer


NEW YORK (AP) — Hockey players are sticking together as a union for now and are working long and late hours with the NHL to try to reach a new collective bargaining agreement to get the game back on the ice.


The sides met in small groups throughout the day Wednesday and then held a full-scale bargaining session with a federal mediator at night that lasted nearly five hours and didn't wrap up until about 1 a.m. Thursday.


They planned to get back at it less than 10 hours later.


The biggest detail to emerge from Wednesday night's marathon talks was that Donald Fehr is still the executive director of the players' association, which passed on its first chance to declare a disclaimer that would dissolve the union and turn it into a trade association.


Last month, players voted overwhelmingly in favor of giving the union executive board the right to declare the disclaimer, but that permission expired at midnight Wednesday. The disclaimer would allow individual players to file antitrust lawsuits against the NHL.


Fehr wouldn't address the issue at all, calling it an "internal matter," but NHL Commissioner Gary Bettman said all the union would need to do is inform the league that it was taking the action for it to happen.


"The word disclaimer has yet to be uttered to us by the players' association," Bettman said. "It's not that it gets filed anywhere with a court or the NLRB. When you disclaim interest as a union, you notify the other side. We have not been notified and it's never been discussed, so there has been no disclaimer."


Even though the deadline expired, a new vote by players can be held anytime to restore the authorization.


"All I can tell you about that is the players retain all the legal options they have always had and we don't talk about legal matters," Fehr said.


The thought was that the union wouldn't take action Wednesday if it saw progress was being made. Neither side would characterize the talks or address what, if any, movement toward common ground was reached.


Both the league and the players were tightlipped about how many things still need to be worked out and what topics are keeping them apart. But the discussions went well enough for the NHL and the union to agree to the mediator's request to start talking again at 10 a.m. Thursday.


"I'm not going to get into the details," Bettman said. "There's been some progress but we're still apart on a number of issues. As long as the process continues I am hopeful."


Bettman has told the union that a deal must be in place by Jan. 11 in order for a 48-game season to be played beginning eight days later.


The night session Wednesday began shortly after 8 p.m. EST. The sides also met for about an hour during the afternoon when the union gave its latest proposal to the league, a response to the NHL's counteroffer on Tuesday.


Neither side said much regarding Wednesday's discussions, but it is believed that the pension issue has become a major stumbling block.


"The pension plan is a very complicated issue," Bettman said. "The number of variables and the number of issues that have to be addressed by people who carry the title actuary or pension lawyer are pretty numerous and it's pretty easy to get off track.


"That is something we understand is important to the players."


The union's proposal Wednesday makes four offers between the sides since the NHL restarted negotiations Thursday with a proposal.


A small group meeting on the pension issue was held Wednesday morning before the players' association presented its offer. A deal can't be done without a resolution on pensions.


The league presented the players with a counteroffer Tuesday night in response to one the union made Monday.


The lockout reached its 109th day Wednesday, and Bettman has said that the league told the union a deal needs to be in place by next week so a 48-game season can begin on Jan. 19. All games through Jan. 14 along with the All-Star game have been canceled, claiming more than 50 percent of the original schedule.


Fehr believed an agreement on a players-funded pension had been reached before talks blew up in early December. That apparently wasn't the case, or the NHL has changed its offer regarding the pension in exchange for agreeing to other things the union wanted.


The salary-cap number for the second year of the deal — the 2013-14 season — hasn't been established, and it is another point of contention. The league is pushing for a $60 million cap, while the union wants it to be $65 million.


In return for the higher cap number players would be willing to forgo a cap on escrow.


"We talk about lots of things and we even had some philosophical discussions about why particular issues were important to each of us," Bettman said. "That is part of the process."


The NHL proposed in its first offer Thursday that pension contributions come out of the players' share of revenues, and $50 million of the league's make-whole payment of $300 million will be allocated and set aside to fund potential underfunding liabilities of the plan at the end of the collective bargaining agreement.


Last month, the NHL agreed to raise its make-whole offer of deferred payments from $211 million to $300 million as part of a proposed package that required the union to agree on three nonnegotiable points. Instead, the players' association accepted the raise in funds, but then made counterproposals on the issues the league stated had no wiggle room.


"As you might expect, the differences between us relate to the core economic issues which don't involve the share," Fehr said of hockey-related revenue, which will likely be split 50-50.


The NHL is the only North American professional sports league to cancel a season because of a labor dispute, losing the 2004-05 campaign to a lockout. A 48-game season was played in 1995 after a lockout stretched into January.


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5-Hour Energy’s ‘No Crash Later’ Claim Is Disputed





The distributor of the top-selling energy “shot,” 5-Hour Energy, has long claimed on product labels, in promotions and in television advertisements that the concentrated caffeine drink produced “no crash later” — the type of letdown that consumers of energy drinks often feel when the beverages’ effects wear off.




But an advertising watchdog group said on Wednesday that it had told the company five years ago that the claim was unfounded and had urged it then to stop making it.


An executive of the group, the National Advertising Division, also said that 5-Hour Energy’s distributor, Living Essentials, had publicly misrepresented the organization’s position about the claim and that it planned to start a review that could lead to action against the company by the Federal Trade Commission.


“We recommended that the ‘no crash’ claim be discontinued because their own evidence showed there was a crash from the product,” said Andrea C. Levine, director the National Advertising Division. The organization, which is affiliated with the Council of Better Business Bureaus, reviews ad claims for accuracy.


The emerging dispute between Living Essentials and the National Advertising Division is unusual because the $10 billion energy drink industry is rife with questionable marketing. And Living Essentials, which recently cited the advertising group’s support in seeking to defend the “no crash” claim, may have opened the door to greater scrutiny.


Major producers like 5-Hour Energy, Red Bull, Monster Energy and Rockstar Energy all say their products contain proprietary blends of ingredients that provide a range of mental and physical benefits. But the companies have conducted few studies to show that the costly products provide anything more than a blast of caffeine, a stimulant found in beverages like coffee, tea or cola-flavored sodas.


The dispute over 5-Hour Energy’s claim also comes as regulatory review of the high-caffeine drinks is increasing. The Food and Drug Administration recently disclosed that it had received reports over the last four years citing the possible role of 5-Hour Energy in 13 deaths. The mention of a product in an F.D.A. report does not mean it caused a death or injury. Living Essentials says it knows of no problems related to its products.


The issue surrounding the company’s “no crash” claim dates to 2007, when National Advertising Division began reviewing all of 5-Hour Energy’s marketing claims. That same year, the company conducted a clinical trial of the energy shot that compared it to Red Bull and Monster Energy.


At the time, Living Essentials was already using the “No crash later” claim. An article on Wednesday in The New York Times reported that the study had shown that 24 percent of those who used 5-Hour Energy suffered a “moderately severe” crash hours after consuming it. The study reported higher crash rates for Red Bull and Monster Energy.


When asked how those findings squared with the company’s “no crash” claim, Elaine Lutz, a spokeswoman for Living Essentials, said the company had amended the claim after the 2007 review by the National Advertising Division. In doing so, it added an asterisklike mark after the claim on product labels and in promotions. The mark referred to additional labeling language stating that “no crash means no sugar crash.” Unlike Red Bull and Monster Energy, 5-Hour Energy does not contain sugar.


Ms. Lutz said that based on the modification, the advertising accuracy group “found all of our claims to be substantiated.”


However, Ms. Levine, the advertising group’s director, took sharp exception to that assertion, saying it mischaracterized the group’s decision. And a review of the reports suggested that Living Essentials had simply added language of its choosing to its label rather than doing what the group had recommended — drop the “no crash” claim altogether.


That review concluded that the company’s 2007 study had shown there was evidence to support a “qualified claim that 5-Hour Energy results in less of a crash than Red Bull and Monster” Energy. But it added the study, which showed that 5-Hour Energy users experienced caffeine-related crashes, was inadequate to support a “no crash” claim.


Ms. Levine said Living Essentials had apparently decided to use the parts of the group’s report that it liked and ignore others.


Companies “are not permitted to mischaracterize our decisions or misuse them for commercial purposes,” she said.


She said the group planned to notify Living Essentials that it was reopening its review of the “no crash later” claim. If the company fails to respond or provides an inadequate response, the National Advertising Division will probably refer the matter to the F.T.C., she said.


A Democratic lawmaker, Representative Edward Markey of Massachusetts, has asked that the agency review energy drink marketing claims.


Asked about the position of the National Advertising Division, Ms. Lutz, the 5-Hour Energy spokeswoman, stated in an e-mail that the “no sugar crash” language had been added to address the group’s concern.


This article has been revised to reflect the following correction:

Correction: January 2, 2013

An earlier version of this article misstated the number of deaths in which the Food and Drug Administration said 5-Hour Energy possibly played a role. The number was 13, not 15.



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U.S. Auto Sales End 2012 on Strong Note


DETROIT (AP) — Strong U.S. sales in December capped a remarkable year for the auto industry — especially Japanese brands — and 2013 should be even better.


Sales of new cars and trucks are expected to total around 14.5 million after all carmakers announce figures on Thursday. That is 13 percent better than 2011 and the best performance in five years.


In 2012, Americans had plenty of incentive to buy new cars and trucks. Unemployment eased. Home sales and prices rose. And the average age of a car topped 11 years in the United States, a record that spurred people to trade in. Banks made that easier by offering low interest rates and greater access to loans, even for those with poor credit.


“The U.S. light vehicle sales market continues to be a bright spot in the tremulous global environment,” said Jeff Schuster, senior vice president of forecasting for LMC Automotive, a Detroit-area industry forecasting firm.


Year-end deals on pickup trucks and the usual round of sparkling holiday ads helped December sales jump 10 percent to more than 1.3 million, auto pricing site TrueCar.com predicted. That would translate to an annual rate of more than 15.6 million, making December the strongest month of 2012.


Toyota, which has recovered from an earthquake and tsunami in Japan that crimped its factories two years ago, said Thursday that sales jumped 27 percent for 2012. Its December sales were up 9 percent. Unlike 2011, the company had plenty of new models stocked in showrooms for most of last year.


Chrysler, the smallest of the Detroit carmakers, had the best year among American companies. Its sales jumped 21 percent. December sales rose 10 percent. Demand was led by the Jeep Grand Cherokee S.U.V., Ram pickup and Chrysler 300 luxury car.


Among European carmakers, Volkswagen dominated, with annual sales up a staggering 35 percent.


But full-year sales at Ford and General Motors lagged. G.M.’s rose only 3.7 percent for the year, while Ford edged up 5 percent. For December, G.M. sales rose 5 percent, while Ford was up 2 percent.


December featured year-end deals on big pickup trucks; G.M. offered discounts of up to $9,000 to help clear growing inventory. The move worked. G.M. cut its full-size pickup supply from almost 246,000 at the end of November to just under 222,000 as the year came to a close.


Over all, though, analysts said the industry eased up on promotions such as rebates and low-interest financing. Car and truck buyers paid an average of $31,228 per vehicle last month, up 1.8 percent from December 2011.


The Polk auto research firm predicted even stronger American sales for 2013, forecasting 15.3 million as the economy continues to improve. Polk, based in Southfield, Mich., expected 43 new models to be introduced, up 50 percent from last year. New models usually help sales.


The firm also predicted a rebound in sales of large pickups and midsize cars. All eight of the top manufacturers are strong and introducing new vehicles, and that should bring competition and lower prices in those segments, according to Tom Libby, lead North American analyst for Polk.


But the firm’s optimistic forecasts hinge on Washington reaching an agreement on government debt limits and spending cuts.


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Philippines May Curb Pursuit of Marcos WealthPhilippines May Curb Pursuit of Marcos Wealth





MANILA — A commission that has been pursuing the wealth of the former dictator Ferdinand E. Marcos should be abolished, despite the fact that much of his allegedly ill-gotten wealth has not been recovered, the agency’s head said on Wednesday.




Andres Bautista, the chairman of the Presidential Commission on Good Government, told reporters on Wednesday that he has recommended to President Benigno S. Aquino III that the special commission be phased out.


“Our recommendation was to wind down work,” said Mr. Bautista, noting that it is more efficient, and less costly for the government, if the Department of Justice handles the hunt for assets and any future cases against Marcos associates. In an earlier interview with Agence France-Presse, Mr. Bautista said, “It has become a law of diminishing returns at this point.”


Mr. Marcos led the Philippines from 1965 to until 1986, when he was overthrown by the bloodless popular revolt known as “People Power.” He declared martial law for part of his time in office and empowered his flamboyant wife, Imelda, to help rule the country.


Investigators have accused the Marcos family and their associates a of plundering an estimated $10 billion from the Philippines while millions of Filipinos suffered in grinding poverty. In particular, Mr. Marcos’s wife, Imelda R. Marcos, was noted for extravagant displays of wealth that included lavish shopping trips to New York City with a huge entourage, spending millions on jewelry and art.


But in recent years, members of the Marcos family, including Mrs. Marcos, have taken prominent political posts, complicating the commission’s efforts.


The commission was created after the pro-democracy leader Corazon C. Aquino, the current president’s mother, came to power in 1986, and it was charged with the worldwide pursuit of the ill-gotten assets of the Marcos family and their associates.


According to one analyst, the abolition of the commission will effectively end the pursuit of that wealth — much of which, by all accounts, remains unrecovered.


“If a special body with extraordinary powers specifically tasked with finding the hidden wealth of Marcos cannot do it, then who else is going to?” asked Edre U. Olalia, the secretary general of the human rights organization National Union of Peoples’ Lawyers. “The government is giving up the fight.”


Mr. Olalia said a special commission was still needed because the Marcos family and their associates had the resources to hire top defense lawyers who could thwart or delay government cases. He said the family was expert at hiding wealth overseas and at using influence within the government to obstruct the investigations.


Mrs. Marcos, 83, is now a member of the House of Representatives, while her son, Ferdinand Marcos Jr., is a senator. Her daughter, Imee Marcos, is the governor of a northern province where the family is still well regarded.


Former President Marcos died in exile in the United States in 1989.


Some of the largest companies in the Philippines are controlled by people who were his close associates, and have been accused by investigators of helping the family plunder billions from the country.


No member of the Marcos family, who all deny wrongdoing, has been convicted in connection with plundered wealth, nor have any of their associates.


“The Marcos family is back in power, and they have no fear of conviction,” Mr. Olalia said. “They are prancing around with their wealth, saying they are a poor family being prosecuted by the government.”


Mr. Bautista, the head of the commission, noted that the agency had recovered 164 billion pesos (about $4 billion) since its creation, including a 150-carat ruby and a diamond tiara, hundreds of millions of dollars hidden in Swiss bank accounts and prime real estate in New York City. It worked recently with New York authorities to indict Vilma Bautista, Mrs. Marcos’s former social secretary, and to recover several valuable paintings, including one from the water lily series by Claude Monet.


President Aquino and both houses of the Philippine congress would have to agree for the commission to be abolished. On Wednesday, lawmakers disagreed about its fate.


“Everybody agrees that the hunt and recovery was not going to be a walk in the park,” said Senator Francis Escudero. “But it’s disappointing that they are throwing in the towel.”


But another senator, Joker Arroyo, noted that the agency was intended from the beginning to have a limited mandate.


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Stanford holds off Wisconsin 20-14 in Rose Bowl


PASADENA, Calif. (AP) — Andrew Luck, Toby Gerhart and coach Jim Harbaugh started Stanford's improbable football renaissance, yet they never stood in the center of the Rose Bowl with the West Coast's most coveted trophy raised above their heads.


In fact, the last Stanford team to do what the Cardinal did Tuesday night had a defense known as the Thunderchickens.


Forty years after Stanford's last Rose Bowl victory, the favored Cardinal lived up to the legacy created by Luck, Harbaugh and every Thunderchicken that came before them by winning the bowl game that matters most to any Pac-12 team.


Stepfan Taylor rushed for an early touchdown, Kevin Hogan passed for 123 yards and No. 8 Stanford's defense shut out the Badgers in the second half of a 20-14 victory in the 99th Rose Bowl.


"I had heard that 1972 was our last win," said Hogan, the freshman quarterback who won Stanford's last five games. "It's been too long since we've had one at The Farm. It's a great feeling."


Instead of slipping back off the college football map when their biggest names graduate to NFL glory, the Cardinal (12-2) have just kept getting better under coach David Shaw. After winning the Orange Bowl two years ago and losing the Fiesta Bowl in overtime last season, Stanford followed up with its first conference title and its first trip to the Granddaddy of Them All in 13 years.


Stanford's unique combination of brains and brawn was too much for its opponents during eight straight wins to close the season.


"We've been in BCS games the past two years, but neither of those mean as much as this one did," said Zach Ertz, the tight end who had three catches for 61 yards. "This is the one we play for every year. It shows Stanford is here to stay."


Usua Amanam capped the defensive performance with an interception that stopped Wisconsin's final drive at midfield with 2:30 to play in a grind-it-out game. Stanford allowed the Badgers just 82 yards and four first downs after halftime.


"There's a sense of accomplishment, because we got somewhere we hadn't been yet," said linebacker Shayne Skov, who made eight tackles while leading Stanford's second-half shutout. "If you looked at our goals at the beginning of the season, this was on top of the list, and we got it done. We're extremely satisfied."


The Cardinal finished with 12 victories for just the second time in school history — and the second time in the last three years.


Stanford clamped down on the Big Ten champion Badgers (8-6), who lost the Rose Bowl in heartbreaking fashion for the third consecutive season. Montee Ball rushed for 100 yards and his FBS-record 83rd touchdown, but Wisconsin couldn't score after the final seconds of the first half.


With an impressive defense of its own, Wisconsin stayed in position for an upset in the one-game return of Hall of Fame coach Barry Alvarez, who was back on the Badgers' sideline in his red sweater-vest seven years after hanging up his whistle.


"This group of kids has been through a lot, and they competed extremely hard against a very high-quality team," said Alvarez, who nearly pulled off a stunner while bridging the gap between coaches Bret Bielema and Gary Andersen. "We've played three very good football games (at the Rose Bowl). These guys played hard. In fact, most people would like to get here once. But we just didn't get it done."


Kelsey Young took his only carry 16 yards for a score on Stanford's opening possession, and Taylor scored on the second drive after a big catch by Ertz. Wisconsin kept the Cardinal out of the end zone for the final 51 minutes, holding them to three points in the second half, but Stanford's defense didn't need any more help.


When Bielema abruptly left Wisconsin for Arkansas after winning the Big Ten title game, Alvarez agreed to coach his fourth Rose Bowl before handing off his program to Andersen, who met with Alvarez on the field before the game. But the Badgers' third consecutive January in Pasadena ended in much the same way as the last two: With the offense failing to get the late score the Badgers desperately needed.


"This stings just as much, because we fell extremely short when we had the opportunity to win," Ball said. "We had numerous opportunities to capitalize on big plays, and we fell short. ... This is not the way we want to be remembered. Speaking for the entire senior group, this is not the way we wanted to go out."


Curt Phillips went 10 for 16 for 83 yards passing and that crucial interception for Wisconsin, doing more with 64 yards on the ground. Jordan Fredrick caught his first career TD pass right before halftime, but no Badgers receiver had more than Jared Abbrederis' three catches.


And though Ball became the first player to score touchdowns in three Rose Bowls, the powerful back fell short of Ron Dayne's career Rose Bowl rushing record, swarmed under by waves of tacklers from one of the toughest defenses in the nation — a defense that shut down the top-ranked Ducks in mid-November to pave Stanford's path to Pasadena.


Wisconsin became the first five-loss team to make the Rose Bowl by steamrolling Nebraska in the conference title game, becoming the first Big Ten team in three straight Rose Bowls since Michigan in the late 1970s.


With the Rose Bowl filled with fans wearing the schools' near-identical cardinal-and-white gear, Stanford went up 14-0 on Taylor's 3-yard TD run just 8½ minutes in. Wisconsin briefly got rolling behind Ball, who rushed for 296 yards in his first two Rose Bowls.


Stanford stopped James White inside the 1 on fourth down early in the second quarter, but Ball scored on the next drive. The Badgers then mounted an 85-yard drive in the waning minutes of the first half ending with Fredrick's short TD catch.


After a scoreless third quarter, Wisconsin's personal foul on a fair-catch punt return finally sparked the Cardinal early in the fourth. Stanford got inside the Wisconsin 5 before stalling, and Jordan Williamson's short field goal put the Cardinal up by six points with 4:23 to go.


The Badgers got to midfield, but Phillips threw behind Jacob Pedersen, and Amanam easily made the pick.


"I just happened to be at the right place at the right time," Amanam said. "We were able to kind of seal the game on that one."


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In Theory: Pill Could Join Arsenal Against Bedbugs

THE HYPOTHESIS

A common deworming drug can be used to kill bedbugs.

THE INVESTIGATOR

Dr. Johnathan M. Sheele, Eastern Virginia Medical School

It was a visit to a cousin in New York City two years ago that inspired Thang D. Tran, a medical student at Eastern Virginia Medical School, to volunteer to become a human booby trap in the war on bedbugs.

“She told me everyone in New York was scared of bedbugs,” he said of his cousin. So when Dr. Johnathan M. Sheele, an emergency medicine specialist at his school, asked for volunteers to test a new way of killing the pests, Mr. Tran raised his arm. Soon, it was covered with itchy welts.

Dr. Sheele’s study, released at a tropical medicine convention in November, unveiled a possible new superweapon against Cimex lectularius: a deworming pill.

You take the pill and go to bed — perchance even to sleep, if you can sleep knowing how patiently bedbugs wait in your walls or mattress, sniffing for the sweet stream of your exhaled carbon dioxide and for your warm skin to grow still. You let them bite you. And then — in a few days — they die.

The technique is known as xenointoxication, which sounds like intergalactic beer pong but in medical pathology is Greek for “poisoning the guest.” In Dr. Sheele’s study, over 60 percent of the bedbugs died after volunteers like Mr. Tran took a single pill. Bigger or more regular doses might improve the lethality.

And it’s not as if the drug is rare and dangerous. It’s already in thousands of American households: ivermectin, the active ingredient in the beef-flavored Heartgard Chewables that kill heartworm in dogs.

(For humans, the brand name is Stromectol, and it is available by prescription only, usually for travelers who pick up worms overseas, or toddlers who get them from playing in sandboxes used by dogs.)

Ivermectin is also very safe. Millions of doses have been given to African children to kill the worms that cause river blindness. Many Papua New Guineans get double doses to kill scabies. One early study of the drug found that up to 10 times the normal dose was safe.

Ivermectin attacks a type of “gated chloride channel” in the nerves of insects that does not exist in mammals.

Dr. Sheele is not advising bedbug-tormented Americans to start eating Fido’s worm tablets. With only four volunteers, his study was tiny and preliminary, he emphasized. Neither the Food and Drug Administration nor any medical society has approved using ivermectin this way, and no one yet knows what the ideal antibedbug dose is.

But ivermectin experts say his idea isn’t crazy.

“Maybe partially crazy,” said Dr. Peter J. Hotez, dean of the National School of Tropical Medicine at Baylor College of Medicine. “But not entirely crazy.”

Dr. Hotez’s hesitation is mostly that bedbugs, unlike body lice and worms, do not cause disease, so xenointoxication seems heavy-handed.

But many Americans, including many New Yorkers, are so terrified of the bugs that they have spent thousands of dollars fighting them, so ivermectin could be cost-effective.

Brian D. Foy, a virologist at Colorado State University’s veterinary school, has shown that it also kills mosquitoes, and so could be used against malaria. His initial reaction to using it against bedbugs was that he thought it would be easier to clean one’s house and throw out one’s mattress.

“But maybe that’s just my ignorance about bedbugs,” he admitted. “We don’t have them out here in Colorado.”

(Local news reports do not back him up on that.)

“Needless to say,” he correctly pointed out, “this isn’t going to solve the problem of bedbugs in hotel rooms.”

Dr. Sheele speculated that ivermectin might be best used in combination with current measures like pesticides, desiccant powders, mattress covers, heat treatment, steaming and vacuuming. While it might not work alone, it could give exterminators a head start.

Dr. Frank O. Richards Jr., a parasitologist at the Carter Center in Atlanta who has spent years running programs in Africa and Asia that give out ivermectin donated by Merck to fight river blindness, said he was “excited to see how this plays out.” Americans might be initially squeamish about deworming pills, he said, but the country does have “a lot of worried rich people who don’t like bug bites.”

He has tracked women in his river-blindness programs who took ivermectin before realizing they were pregnant, he said, “and all their babies were cool.”Nonetheless, he said, even though one 2002 study found a huge dose to be safe, which theoretically means that multiple small ones also would be, “as a physician, I’d be very concerned about an off-label use like that.”

“If I gave that out, and something happened,” he continued, “I would not have a leg to stand on in court.”

Because each bug feeds only occasionally, he said, “I don’t buy that a week would do the trick. I think you’re going to need two, three, four weeks. And that’s concerning. We don’t have any toxicity data like that.”

Like Dr. Sheele, he favors more testing of multiple doses.

Ivermectin is not cheap. In the United States, a typical adult dose of Stromectol is about $40, and no generic version is sold legally. A year’s supply of Heartgard for a big dog can cost more than $100.

But, Dr. Sheele said, that pales beside the price of multiple visits by a team of exterminators.

He got interested in bedbugs, he said, because they plagued so many of his Norfolk, Va., emergency room patients.

“I even had one patient come in with a baggie full of them,” he said. “As a physician, there’s nothing you can do for them except give them Benadryl and steroids for the itching.”

He knew about ivermectin’s power to kill skin parasites because he had done a fellowship in international emergency medicine, he said.

His school provided financing but was nervous about letting him officially import bedbugs to campus, so he had to borrow the lab of a tick researcher at Old Dominion University. (Mr. Tran remembers it as humid and redolent of lab rats.)

Eastern Virginia Medical School also wanted animal studies before he recruited medical students, so he dosed mice first; in that case, 86 percent of the bedbugs died.

Now he hopes to find support for a full-fledged clinical trial.

And he is working on a new project: If xenointoxication kills bedbugs, he surmised, how about ticks?

The parasite-host relationship isn’t as predictable as it is between bedbugs and their dinner. But the stakes are higher, since ticks carry serious diseases like Lyme and babesiosis.

“It could be interesting for people who have to spend a lot of time in the woods — like soldiers,” he said.

Meanwhile, Mr. Tran and An Teng, another medical student and study participant, are enjoying their new notoriety.

“My friends were completely grossed out that I let myself be bitten,” said Mr. Tran, whose rash from the bites lasted for a month. “But working on something so relevant to society caught my attention.”


In this video from Eastern Virginia Medical School, one of the bedbug study participants demonstrates how he became human bait for bedbugs.

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