Critics seek to delay NYC sugary drinks size limit

NEW YORK (AP) — Opponents are pressing to delay enforcement of the city's novel plan to crack down on supersized, sugary drinks, saying businesses shouldn't have to spend millions of dollars to comply until a court rules on whether the measure is legal.

With the rule set to take effect March 12, beverage industry, restaurant and other business groups have asked a judge to put it on hold at least until there's a ruling on their lawsuit seeking to block it altogether. The measure would bar many eateries from selling high-sugar drinks in cups or containers bigger than 16 ounces.

"It would be a tremendous waste of expense, time, and effort for our members to incur all of the harm and costs associated with the ban if this court decides that the ban is illegal," Chong Sik Le, president of the New York Korean-American Grocers Association, said in court papers filed Friday.

City lawyers are fighting the lawsuit and oppose postponing the restriction, which the city Board of Health approved in September. They said Tuesday they expect to prevail.

"The obesity epidemic kills nearly 6,000 New Yorkers each year. We see no reason to delay the Board of Health's reasonable and legal actions to combat this major, growing problem," Mark Muschenheim, a city attorney, said in a statement.

Another city lawyer, Thomas Merrill, has said officials believe businesses have had enough time to get ready for the new rule. He has noted that the city doesn't plan to seek fines until June.

Mayor Michael Bloomberg and other city officials see the first-of-its-kind limit as a coup for public health. The city's obesity rate is rising, and studies have linked sugary drinks to weight gain, they note.

"This is the biggest step a city has taken to curb obesity," Bloomberg said when the measure passed.

Soda makers and other critics view the rule as an unwarranted intrusion into people's dietary choices and an unfair, uneven burden on business. The restriction won't apply at supermarkets and many convenience stores because the city doesn't regulate them.

While the dispute plays out in court, "the impacted businesses would like some more certainty on when and how they might need to adjust operations," American Beverage Industry spokesman Christopher Gindlesperger said Tuesday.

Those adjustments are expected to cost the association's members about $600,000 in labeling and other expenses for bottles, Vice President Mike Redman said in court papers. Reconfiguring "16-ounce" cups that are actually made slightly bigger, to leave room at the top, is expected to take cup manufacturers three months to a year and cost them anywhere from more than $100,000 to several millions of dollars, Foodservice Packaging Institute President Lynn Dyer said in court documents.

Movie theaters, meanwhile, are concerned because beverages account for more than 20 percent of their overall profits and about 98 percent of soda sales are in containers greater than 16 ounces, according to Robert Sunshine, executive director of the National Association of Theatre Owners of New York State.

___

Follow Jennifer Peltz at http://twitter.com/jennpeltz

Read More..

In Vegas, Abrams gives few hints about 'Star Wars'

LAS VEGAS (AP) — A newly announced "Star Wars" sequel was on everyone's mind when J.J. Abrams took the stage Wednesday at a Las Vegas video game conference, but he made only a sideways mention of the film he has been hired to direct.

The reference was a throw-away joke from his last franchise reboot.

Talking about the importance of embroidering films with subtle detail, the science fiction director played a scene from his 2009 "Star Trek" film and freeze-framed to reveal a familiar "Star Wars" robot peeking out from amid the space junk.

"So they're looking at all the debris that's out there, and curiously, it's R2D2," he said, drawing a roar of laughter.

Gabe Newell, president of video game developer Valve, shared a stage with Abrams at the Design, Innovate, Communicate, Entertain Summit at the Hard Rock Hotel & Casino.

"So now I have to go back through your movies looking at all the debris to figure out what movie you're going to direct next?" Newell asked.

Abrams has given die-hard fans few clues about his vision for the seventh live-action "Star Wars" film since he was announced as its director in January.

He has become a trusted steward of beloved fantasy universes after directing well-received additions to the "Star Trek" and "Mission: Impossible" franchises.

"Star Wars" creator George Lucas opened the door to the latest round of spin-offs when he sold his Lucasfilm empire to The Walt Disney Co. for $4.05 billion last fall. The company is planning three sequels and two peripheral movies focusing on characters.

"Episode VII" is tentatively scheduled for release in the summer of 2015.

Last month, Abrams told a group of reporters that he wanted to make sure the sequel was "something that touches people."

On Wednesday, he did give his audience of nerds and gamers one revelation when he announced his intention to collaborate on movies and videos with Newell— the man behind the gaming hits "Portal," "Half-Life" and "Counter-Strike."

"There's an idea that we had for a game that we'd like to develop," he said.

Abrams' development company Bad Robot Interactive has released several apps related to his movies.

Newell said his company would like to work with Abrams on a movie adaptation of "Portal" or "Half-Life."

___

Hannah Dreier can be reached at http://twitter.com/hannahdreier

Read More..

Chicago sees surge in foreclosure auctions

More than 35,000 homes and small multifamily buildings in the Chicago area completed the foreclosure process last year, the highest number since the housing crisis began, and the vast majority of them became bank-owned.

An increase in foreclosure auctions was expected since lenders shelved many foreclosure cases while state and federal authorities investigated allegations of faulty foreclosure processes. Still, the heightened level of auctions — 35,244 in 2012, compared with 20,281 in 2011 — along with an increase in initial foreclosure filings, shows the local housing market has a long road to recovery, according to the Woodstock Institute.

"There's going to be pain in the housing market in the short term," said Katie Buitrago, senior policy and communications associate at Woodstock. "There's still high levels of filings. Five years into it, there is still work to be done to help people save their homes."

The Chicago-based public policy and research group is expected to release its report on 2012 foreclosure activity Wednesday.

The year-end numbers show that, with few exceptions, all Chicago neighborhoods and suburban communities saw high double-digit percentage gains in auctions last year. Across the six-county area, 91.3 percent of the foreclosed properties were repossessed by lenders. At the same time, notices of initial default sent to homeowners, the first step in the foreclosure process, increased by 2.9 percent last year, to 66,783.

Real estate agents have worried for more than two years about a glut of foreclosed properties — a shadow inventory — that banks would list for sale en masse and cause home values to plunge. That largely has not happened, but the vast number of distressed properties in the market has kept a lid on local home values.

On Tuesday, for instance, Fannie Mae and Freddie Mac's websites listed 2,415 Cook County homes for sale that the two agencies had repossessed.

Chicago-area home prices, including distressed sales, fell 2.3 percent in December from a year ago, housing analytics firm CoreLogic said Tuesday. Illinois was one of only four states to see home-price depreciation.

The increase in auctions "is a mixed blessing," Buitrago said. "We've been having a lot of trouble in the region with vacant properties that have been languishing for years. The longer they're vacant, the more likely they are to be a destabilizing force in their communities."

Woodstock found that within the city of Chicago, there were 20 communities where more than 1 in 10 owner-occupied one- to four-unit residential buildings and condos went through foreclosure from 2008 to 2012. Five of those neighborhoods are included in the city's 18-month-old Micro-Market Recovery Program, a coordinated effort to stabilize neighborhoods and property values hit hard by foreclosures and vacant buildings.

Also designed to benefit hard-hit areas are the recent establishment of a Cook County Land Bank and legislation waiting for Gov. Pat Quinn's signature that will fast-track the foreclosure process for vacant, abandoned homes while providing financial resources to foreclosure prevention efforts.

mepodmolik@tribune.com

Twitter @mepodmolik

Read More..

Father saw 'horrifying' accident injure son during opera rehearsal

A fire-breathing stilt walker burned when flames flared up on his face during a dress rehearsal at the Lyric Opera of Chicago is expected to be released from the hospital Thursday, his father told the Chicago Tribune.

“It’s horrifying,” said Clifton Truman Daniel, 55, who was in the audience watching his son Wesley when the mishap occurred late Monday afternoon. “You don’t believe it. At first, everything’s fine. You’re proud of him. You’re amazed at what he’s learned to do, and suddenly he’s in trouble.”

The 24-year-old actor was taken in serious-to-critical condition to Northwestern Memorial Hospital suffering burns to his throat and second-degree burns to his face, fire officials said. Initially, it was thought Daniel was not suffering breathing problems, but he apparently was and was transferred to Loyola University Medical Center in critical condition, officials said.

Doctors intubated Daniel as a precaution to help him breathe, his father said. But there was no damage to his lungs or airway and the tube was removed Monday night, according to his father.

"Doctors likened them to a severe sunburn and he will heal,” his father said of the burns. “He shouldn’t have any scarring.”

Clifton Daniel said he was happily sitting in the audience of the Lyric Opera, watching his son walk on stilts and spit fire out of his mouth.

He watched as Wesley Daniel picked up a torch and a little jar of fluid and blew two fire balls. Then suddenly his son’s mask was on fire and he started patting his neck and chest before walking across the stage toward stagehands who were carrying fire extinguishers.

Daniel said he ran to his son backstage, where he was being treated with compresses. Paramedics had already been called and his son was upbeat, even giving a thumbs-up, the father said.

Clifton Truman Daniel said he is the grandson of former President Harry S. Truman and Wesley Daniel is the president's great-grandson.

Wesley Daniel said his son graduated from Roosevelt University and has been acting for about three years. He was hired as a back-up for the opera “Die Meistersinger von Nurnberg” in case someone called in sick or didn’t show up. Wesley Daniel stepped in when an actor was injured last week, his father said.

Tribune photographer Jason Wambsgans, who was at the rehearsal, said it appeared Daniel had spilled propellant "on his chin or his chest or something. It kind of consumed him, and he was staggering across the stage and then fell off his stilts on the opposite side of the stage.”

Wambsgans said he arrived at the rehearsal at the beginning of the third act to take pictures for an upcoming Tribune review of the opera “Die Meistersinger von Nurnberg.”

The first scene of the third act took about an hour. It was in the second scene when Wambsgans pulled out a long-angle lens to take pictures of the busy stage full of extras, in this case, circus performers. Daniel was one of them.

When it appeared that Daniel, on stilts, was ready to put some sort of propellant in his mouth to shoot fireballs, Wambsgans said he started snapping and captured the flames flaring up on Daniel.

Wambsgans said he saw people in the wings of the stage spraying Daniel with fire extinguishers. “Half of the extras were transfixed by that,” Wambsgans said.

It took about 15 more seconds before the rest of the extras stopped singing and acting, realizing what had happened, he said.

After a 30-minute break, a visibly distressed crew was back rehearsing, Wambsgans said. But the rehearsal was cut short, ending about 6 p.m.

Daniel was wearing a flame-proof costume and mask, a spokeswoman for the Lyric said in an email.  The dress rehearsal was interrupted, but it later resumed and was in the last act of “Die Meistersinger von Nurnberg” by about 5:30 p.m.

Daniel was performing a stunt that had been approved by the Fire Department, according to the Lyric.

The Occupational Safety and Health Administration opened up an investigation into the incident after hearing about Wesley’s accident through the media, said spokesman Scott Allen. A compliance officer went to the Lyric Opera House this morning and talked to witnesses and employees to find out what may have caused the accident and if the opera house violated any OSHA regulations, he added.

Drew Landmesser, the Lyric’s deputy general director who focuses on backstage activities, said the company is still trying to determine the accident’s cause.

“We don’t exactly know the cause of the accident, just that it was a terrible accident and he seems to be doing well,” Landmesser said.

He stressed that Daniel was experienced with such a fire-spitting stunt, which he characterized as routine in the entertainment world.

“You’ve seen this a thousand times: at carnivals, at Renaissance fairs, at kids parties,” Landmesser said. “It’s a common routine for a performer like this.”

That said, Daniel was the replacement for a previous performer who was removed after a mishap involving the same stunt.

“He had a handlebar mustache, and handlebar mustaches and fire-spitting don’t go well together,” Landmesser said, noting that the mustache “got singed, but there was no injury.”

Landmesser said Daniel’s mask never caught fire; nor did his costume.

“The fuel he was spitting was the only thing that was on fire,” he said, adding that the stunt has been removed from the production mostly so audience members won’t become distracted during one of the opera’s climatic scenes. “I think that frankly the press made something hysterical that was a rather calm event, but why upset people, let anyone misunderstand what happened or how safe it is?”

jdelgado@tribune.com

lford@tribune.com

ehirst@tribune.com

Read More..

Dell to go private in landmark $24.4 billion deal

(Reuters) - Michael Dell will take Dell Inc private for $24.4 billion in the biggest leveraged buyout since the financial crisis, a deal that allows the billionaire chief executive officer to revive the fortunes of his computer company without Wall Street scrutiny.

The deal - announced on Tuesday and financed with cash and equity from Michael Dell, cash from private equity firm Silver Lake, and a $2 billion loan from Microsoft Corp - will end a rocky 24-year run on public markets for a company conceived in a college dorm room.

To many investors, Dell's decline in market share since its peak in the early 2000s symbolizes the rapidly dwindling prospects of the personal computer industry.

The world's No. 3 PC maker, which Michael Dell began in 1984 as a computer-sales outfit while he was still a 19-year-old pre-med student at the University of Texas, is now going through a painful transition from a pure PC maker to a one-stop provider of enterprise computing services. Sales of PCs still make up the majority of its revenue.

Analysts say the restructuring may entail job cuts and more costly acquisitions, as the company arms itself to do battle with larger and more established rivals like Hewlett-Packard Co and IBM Corp.

"We recognize this process will take more time," Chief Financial Officer Brian Gladden told Reuters. "We will have to make investments, and we will have to be patient to implement the strategy.

"And under a new private company structure, we will have time and flexibility to really pursue and realize the end-to-end solutions strategy."

Gladden said the company's strategy would "generally remain the same" after the deal closed, but "we won't have the scrutiny and limitations associated with operating as a public company."

Michael Dell and private equity firm Silver Lake are paying $13.65 per share in cash for the world's No. 3 computer maker. Michael Dell's MSD Capital investment firm will also provide cash financing for the deal. Bank of America Merrill Lynch, Barclays, Credit Suisse and RBC Capital Markets will offer debt financing.

Shares of Dell were up 0.8 percent at $13.38 in morning trading.

Dell, whose fairy-tale rise throughout the 1990s and the early part of the next decade once made it a Wall Street darling, has ceded market share in recent years to nimbler rivals such as Lenovo Group. That is in spite of Michael Dell's efforts in the five years since he retook the helm of the company following a brief hiatus during which its fortunes waned.

As of 2012's fourth quarter, Dell's share of the global PC market had slid to just above 10 percent from 12.5 percent a year earlier as its shipments dived 20 percent - the fastest quarterly pace of decline in years, according to research house IDC.

While analysts said Dell could be more nimble as a private company, it will still have to deal with the same difficult market conditions. International Business Machines Corp last decade underwent what is considered one of the most successful transformations of a hardware company, all while trading on public markets.

"This is an opportunity for Michael Dell to be a little more flexible managing the company," said FBN Securities analyst Shebly Seyrafi. "That doesn't take away from the fact they will have challenges in the PC market like they did before."

RECORD BUYOUT

The deal would be the biggest private equity-backed leverage buyout since Blackstone Group LP's takeout of the Hilton Hotels Group in July 2007 for more than $20 billion, and is the 11th-largest on record.

The parties expect the transaction to close before the end of Dell's 2014 second quarter, which ends in July.

News of the buyout talks first emerged on January 14, although they reportedly started in the latter part of 2012. Michael Dell had previously acknowledged thinking about going private as far back as 2010.

The $13.65-per-share price is a premium of about 24 percent to the average $11 price of Dell stock before news of the deal talks broke and is far below the $17.61 that the shares were trading for a year ago.

"The key question here is will shareholders approve this deal, because there is practically no premium where the stock is trading," Sterne Agee analyst Shaw Wu said.

J.P. Morgan and Evercore Partners were financial advisers, and Debevoise & Plimpton LLP was the legal adviser to the special committee of Dell's board. Goldman Sachs was financial adviser, and Hogan Lovells was legal adviser to Dell.

Wachtell, Lipton, Rosen & Katz was legal adviser to Michael Dell. BofA Merrill Lynch, Barclays, Credit Suisse and RBC Capital Markets were financial advisers to Silver Lake, and Simpson Thacher & Bartlett LLP was its legal adviser.

(Writing by Ben Berkowitz and Edwin Chan; Editing by Gerald E. McCormick and Lisa Von Ahn)

Read More..

Lindsey Vonn tears knee ligaments, out for season

SCHLADMING, Austria (AP) — Lindsey Vonn will miss the rest of the ski season after tearing knee ligaments and breaking a bone in her leg in a high-speed crash Tuesday at the world championships. The U.S. team expects her to return for the next World Cup season and the 2014 Sochi Olympics.

Vonn lost balance on her right leg while landing a jump in the super-G. She flipped in the air, landed on her back and smashed through a gate before coming to a halt.

The four-time overall World Cup winner and 2010 Olympic downhill champion received medical treatment on the slope for 12 minutes before being taken by helicopter to a hospital in Schladming.

The 28-year-old star tore her anterior cruciate ligament and medial collateral ligament in her right knee. U.S. team medical director Kyle Wilkens said in a statement. The broken bone in her lower leg was described as a "lateral tibial plateau fracture."

Christian Kaulfersch, the assistant medical director at the worlds, said Vonn left the Schladming hospital Tuesday afternoon and will have surgery at another hospital.

"She first wanted to go back to the team hotel to mentally deal with all what has happened," Kaulfersch said.

Team physician William Sterett was with Vonn but declined to offer any more information when contacted by The Associated Press.

This is the sixth straight major championship in which Vonn has been hit with injuries. The crash in the opening event of the championships came almost exactly a year before the Olympics.

"She will be out for the remainder of this season but is expected to return to racing for the 2013-14 ... World Cup season and the 2014 Olympic Winter Games in Sochi," the team said.

Vonn returned to the circuit last month after an almost monthlong break from racing to fully recover from an intestinal illness that put her in a hospital for two days in November.

The start of Tuesday's race was delayed by 3½ hours because of fog hanging over the course and the skiers began in waning light at 2:30 p.m. Even before Vonn's crash, a course worker fell and also had to be airlifted. He was reported to have broken his nose.

All the delays made for flat light when Vonn raced.

"Lindsey did a great job on top and Lindsey has won a lot of races in flat light so the flat light was definitely not a problem," U.S. Alpine director Patrick Riml told the AP.

"We are upset obviously with what happened, but if you don't know the facts and why they decided to start and what the weather forecast was it's hard to say without any reasoning," Riml said. "And they probably had a reason, otherwise they wouldn't have started."

It was difficult to pinpoint when Vonn lost control as she came off a left turn into the jump.

"She jumped a little bit in the wrong direction and started to correct that a little bit in the air and put a lot of pressure on the outside ski exactly in the landing and she couldn't hold the pressure and then (she crashed)," International Ski Federation women's race director Atle Skaardal said.

Skaardal defended the decision to race.

"I can confirm that the visibility was great, there were no problems, and the course was also in good shape," he said. "I don't see that any outside factors played a role in this accident. ... The other factors were like they were supposed to be for ski racing."

Two years ago, Vonn pulled out midway through the last worlds in Garmisch-Partenkirchen, Germany, because of a mild concussion. At the 2010 Vancouver Olympics, Vonn skied despite a severely bruised shin to win the downhill and take bronze in the super-G.

At the 2009 worlds in Val d'Isere, France, she sliced her thumb open on a champagne bottle after sweeping gold in the downhill and super-G, forcing her out of the giant slalom. At the 2007 worlds in Are, Sweden, Vonn injured her knee in training and missed her final two events.

And at the 2006 Turin Olympics, she had a horrific crash in downhill training and went directly from her hospital room to the mountain to compete in four of her five events.

Having regained her form in recent weeks, Vonn trailed eventual race winner Tina Maze of Slovenia by just 0.12 seconds at an intermediate interval shortly before Tuesday's crash.

The conditions varied from racer to racer.

Former overall winner Maria Hoefl-Riesch of Germany started immediately after Vonn and skied off course.

"It's not a very difficult course but in some parts you couldn't see anything," said Fabienne Suter of Switzerland, who finished fifth.

However, Vonn teammate Julia Mancuso thrived in the difficult conditions and won the bronze medal.

"It's the same for everybody," U.S. speed coach Chip White said. "Everyone had to wait for a long time and that's always difficult. And the holds were every 15 minutes so it really doesn't give you a chance to go and do something else. You're always kind of on edge at the ready. It's a difficult situation but everybody had the same difficult situation."

Read More..

Critics seek to delay NYC sugary drinks size limit

NEW YORK (AP) — Opponents are pressing to delay enforcement of the city's novel plan to crack down on supersized, sugary drinks, saying businesses shouldn't have to spend millions of dollars to comply until a court rules on whether the measure is legal.

With the rule set to take effect March 12, beverage industry, restaurant and other business groups have asked a judge to put it on hold at least until there's a ruling on their lawsuit seeking to block it altogether. The measure would bar many eateries from selling high-sugar drinks in cups or containers bigger than 16 ounces.

"It would be a tremendous waste of expense, time, and effort for our members to incur all of the harm and costs associated with the ban if this court decides that the ban is illegal," Chong Sik Le, president of the New York Korean-American Grocers Association, said in court papers filed Friday.

City lawyers are fighting the lawsuit and oppose postponing the restriction, which the city Board of Health approved in September. They said Tuesday they expect to prevail.

"The obesity epidemic kills nearly 6,000 New Yorkers each year. We see no reason to delay the Board of Health's reasonable and legal actions to combat this major, growing problem," Mark Muschenheim, a city attorney, said in a statement.

Another city lawyer, Thomas Merrill, has said officials believe businesses have had enough time to get ready for the new rule. He has noted that the city doesn't plan to seek fines until June.

Mayor Michael Bloomberg and other city officials see the first-of-its-kind limit as a coup for public health. The city's obesity rate is rising, and studies have linked sugary drinks to weight gain, they note.

"This is the biggest step a city has taken to curb obesity," Bloomberg said when the measure passed.

Soda makers and other critics view the rule as an unwarranted intrusion into people's dietary choices and an unfair, uneven burden on business. The restriction won't apply at supermarkets and many convenience stores because the city doesn't regulate them.

While the dispute plays out in court, "the impacted businesses would like some more certainty on when and how they might need to adjust operations," American Beverage Industry spokesman Christopher Gindlesperger said Tuesday.

Those adjustments are expected to cost the association's members about $600,000 in labeling and other expenses for bottles, Vice President Mike Redman said in court papers. Reconfiguring "16-ounce" cups that are actually made slightly bigger, to leave room at the top, is expected to take cup manufacturers three months to a year and cost them anywhere from more than $100,000 to several millions of dollars, Foodservice Packaging Institute President Lynn Dyer said in court documents.

Movie theaters, meanwhile, are concerned because beverages account for more than 20 percent of their overall profits and about 98 percent of soda sales are in containers greater than 16 ounces, according to Robert Sunshine, executive director of the National Association of Theatre Owners of New York State.

___

Follow Jennifer Peltz at http://twitter.com/jennpeltz

Read More..

Prosecutor wants redo on Chris Brown sentence

LOS ANGELES (AP) — There is no credible evidence that Chris Brown completed the community service he was required to do in the beating of Rihanna, and he should be forced to repeat six months of manual labor in Los Angeles, prosecutors told a judge Tuesday.

A motion by the Los Angeles County District Attorney's Office says the records submitted to prove Brown finished the community labor sentenced by Virginia authorities contain numerous discrepancies and that the R&B singer was essentially unsupervised.

Brown was ordered to serve five years on probation and perform six months of community labor after he pleaded guilty in the February 2009 assault on his then-girlfriend, Rihanna.

Investigators from Los Angeles traveled to Virginia to try to verify that Brown had worked all the hours as reported by the Richmond Police Department, but they were unable to confirm it, the motion said.

"This inquiry provided no credible, competent or verifiable evidence that defendant Brown performed his community labor as presented to this court," Deputy District Attorney Mary Murray wrote.

The records submitted by Richmond Police Chief Bryan Norwood are "at best sloppy documentation and at worst fraudulent reporting."

Richmond Police spokesman Gene Lepley had no immediate comment on the allegations.

Brown was allowed to perform his community labor in his home state of Virginia. Richmond police submitted paperwork last year indicating Brown had completed his sentence, but the logs showed the singer performing double shifts in the city and at a day care center where his mother once worked.

A phone and email message for Brown's attorney Mark Geragos was not immediately returned.

___

Anthony McCartney can be reached at http://twitter.com/mccartneyAP

Read More..

Federal deficit hits 5-year low, but cuts drag economy

WASHINGTON -- The federal deficit will drop to less than $1 trillion for the first time in five years, but massive spending cuts that have improved the budget outlook are also slowing the economy, according to a report released Tuesday by the Congressional Budget office.

The nonpartisan arbiter of federal budgets said the combination of new tax revenue from the "fiscal cliff" deal as well as looming cuts that kick in March 1 will push the deficit down to $845 billion for fiscal 2013. Deficits have topped $1 trillion in recent years.

The projections will fuel the coming budget debates, which started Tuesday as President Obama was calling on Congress to steer around the coming budget cuts.

The budget office said the cuts will contribute to an economy that lags in 2013. The unemployment rate likely will remain above 7.5% through the year. It predicted that the gross domestic product will be well below its potential, growing by just 1.4%, more than half a percentage point slower than would happen if the spending cuts were averted.

At the same time, the nation's debt load is expected to fluctuate but ultimately rise to record levels this decade, largely because of increased spending on healthcare and the federal safety net for older Americans with the aging of the baby boom population.

Additionally, the outlook shows how difficult it will be for House Republicans to accomplish their goal of balancing the budget in 10 years with potentially deep austerity measures.

Even though revenue is rising and spending is decreasing, the overall budget outlook remains stark. By the end of the decade, public debt is set to rise to 77% of GDP, a decade of highs on par with debt levels in World War II.

"The projected path of the federal budget remains a significant concern," the CBO wrote.

Follow Politics Now on Twitter and Facebook

Lisa.mascaro@latimes.com

Twitter: @LisaMascaroinDC

Read More..

Super Bowl power outage under investigation

NEW ORLEANS—

The National Football League was still working with New Orleans officials on Monday to determine what caused the power outage at Sunday's Super Bowl at the Superdome, so far dismissing any connection with the Beyonce halftime show.

With a record U.S. television audience watching along with viewers in 180 countries, about half the stadium lights went dark early in the second half of the game, in which the Baltimore Ravens defeated the San Francisco 49ers, 34-31.

NFL commissioner Roger Goodell told reporters on Monday an investigation was under way to determine the cause of the 35-minute disruption but one possible explanation had already been eliminated.

"There's no indication at all that this was caused by the halftime show," Goodell said. "I know that's out there, that Beyonce's halftime show had something to do with it. That is not the case from anything we have at this point."

Entergy Corp, the utility providing power to the Superdome, said its distribution and transmission feeders were serving the Superdome at all times.

Early indications were that the outage resulted from an abnormality in the Superdome's power system but it was too early to speculate on what went wrong, said Doug Thornton, senior vice president of the Superdome's management company, SMG.

A piece of equipment designed to monitor electrical load sensed an abnormality in the system where the Superdome equipment intersects with Entergy's feed into the building, triggering an automatic cut in power, SMG and Entergy said in a joint statement.

There was never any concern the power could not be restored, but it took time because of the size of the stadium and the complexities of the power system, Thornton said.

"We had people in place that could quickly work to restore power. We had experts on site, as we normally do when we have big events like this, our electrician, our electrical consultants were there and we were able to quickly work on that," Thornton said.

"There were no injuries, people remained calm, we had a pre-programmed announcement that was actually played. These are things that we actually drilled for."

None of the players or coaches said the stoppage had any impact on the game, and Goodell said the power problem would not adversely affect future bids by New Orleans to stage the Super Bowl, the United States' most-watched sports event.

"I fully expect that we will be back here for Super Bowls," Goodell said. "I hope we will be back. We want to be back ... I don't think this will have any impact at all on what I think will be remembered for one of the greatest Super Bowl weeks."

(Editing by Daniel Trotta and Dale Hudson)

Read More..