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EU officials seek more private investment in jobs

Written By Unknown on Sabtu, 13 April 2013 | 22.27

DUBLIN — With many of the European Union's economies mired in stagnation, EU officials are seeking to emulate part of the U.S. model for creating growth and jobs by fostering more private investment in businesses.

Irish Finance Minister Michael Noonan said Saturday that in the United States banks account for only 25 percent of external financing for businesses. In Europe, he said, the proportion is the opposite — 70 to 75 percent of business financing comes from banks. He spoke at the conclusion of a two-day meeting of EU finance ministers in Dublin.

"There was a shared view that we must begin to take tangible action to assist in developing a more balanced financial system in which banks, institutional investors and public authorities all play a role in supporting long-term investment in growth and jobs," Noonan said.

This is important, he said, as many small and medium-sized businesses in the EU lack access to capital. Because Ireland currently holds the EU's rotating six-month presidency, Noonan chaired the meeting.

In January, unemployment across the 17 EU countries that use the euro hit a record 11.9 percent, with nearly 19 million people out of work. The unemployment rate for young people was 24.2 percent. And the European Commission, the EU's executive arm, predicts the unemployment rate will rise further this year.

The finance ministers also agreed to push for completion of a banking union that would create a single set of rules for banks in the union, a single supervisory mechanism and uniform procedures for winding down banks that fail. And they renewed their pledge to work together to fight tax evasion — a practice they said many people found particularly galling at a time when government cutbacks and tax increases are wreaking havoc with their personal finances.

___

Don Melvin can be reached at https://twitter.com/Don_Melvin


22.27 | 0 komentar | Read More

Adjunct faculty to discuss forming union in Boston

BOSTON — Adjunct faculty members from across the Boston area are planning to meet to discuss the possibility of forming a union.

Adjunct faculty are hired on a temporary basis and typically do not have the benefits of tenured faculty or those on a track to become tenured.

They argue that they're playing an increasingly important role at universities despite facing low pay, few benefits and a lack of institutional support for research projects.

They are planning to hold a symposium to discuss forming a union Saturday at the John F. Kennedy Presidential Library in the Dorchester neighborhood of Boston.

The symposium is being organized with the Service Employees International Union.

The union says it's already home to 15,000 unionized adjunct faculty members who have won improvements in pay, job security and access to retirement benefits.


22.27 | 0 komentar | Read More

Medicare increase could ding some in middle class

WASHINGTON — Retired city worker Sheila Pugach lives in a modest home on a quiet street in Albuquerque, N.M., and drives an 18-year-old Subaru.

Pugach doesn't see herself as upper-income by any stretch, but President Barack Obama's budget would raise her Medicare premiums and those of other comfortably retired seniors, adding to a surcharge that already costs some 2 million beneficiaries hundreds of dollars a year each.

Due to the creeping effects of inflation, 20 million Medicare beneficiaries also would end up paying higher "income related" premiums for their outpatient and prescription coverage over time.

Obama administration officials say Obama's proposal will help improve the financial stability of Medicare by reducing taxpayer subsidies for retirees who can afford to pay a bigger share of costs. Congressional Republicans agree with the president on this one, making it highly likely the idea will become law if there's a budget deal this year.

But the way Pugach sees it, she's being penalized for prudence, dinged for saving diligently.

It was the government, she says, that pushed her into a higher income bracket where she'd have to pay additional Medicare premiums.

IRS rules require people age 70-and-a-half and older to make regular minimum withdrawals from tax-deferred retirement nest eggs like 401(k)s. That was enough to nudge her over Medicare's line.

"We were good soldiers when we were young," said Pugach, who worked as a computer systems analyst. "I was afraid of not having money for retirement and I put in as much as I could. The consequence is now I have to pay about $500 a year more in Medicare premiums."

Currently only about 1 in 20 Medicare beneficiaries pays the higher income-based premiums, which start at incomes over $85,000 for individuals and $170,000 for couples. As a reference point, the median or midpoint U.S. household income is about $53,000.

Obama's budget would change Medicare's upper-income premiums in several ways. First, it would raise the monthly amounts for those currently paying.

If the proposal already were law, Pugach would be paying about $168 a month for outpatient coverage under Medicare's Part B, instead of $146.90.

Then, the plan would create five new income brackets to squeeze more revenue from the top tiers of retirees.

But its biggest impact would come through inflation.

The administration is proposing to extend a freeze on the income brackets at which seniors are liable for the higher premiums until 1 in 4 retirees has to pay. It wouldn't be the top 5 percent anymore, but the top 25 percent.

"Over time, the higher premiums will affect people who by today's standards are considered middle-income," explained Tricia Neuman, vice president for Medicare policy at the nonpartisan Kaiser Family Foundation. "At some point, it raises questions about whether (Medicare) premiums will continue to be affordable."

Required withdrawals from retirement accounts would be the trigger for some of these retirees. For others it could be taking a part-time job.

One consequence could be political problems for Medicare. A growing group of beneficiaries might come together around a shared a sense of grievance.

"That's part of the problem with the premiums — they simply act like a higher tax based on income," said David Certner, federal policy director for AARP, the seniors lobby.

"Means testing" of Medicare benefits was introduced in 2007 under President George W. Bush in the form of higher outpatient premiums for the top-earning retirees. Obama's health care law expanded the policy and also added a surcharge for prescription coverage.

The latest proposal ramps up the reach of means testing and sets up a political confrontation between AARP and liberal groups on one side and fiscal conservatives on the other. The liberals long have argued that support for Medicare will be undermined if the program starts charging more for the well-to-do. Not only are higher-income people more likely to be politically active, but they also tend to be in better health.

Fiscal conservatives say it makes no sense for government to provide the same generous subsidies to people who can afford to pay at least some of the cost themselves. As a rule, taxpayers pay for 75 percent of Medicare's outpatient and prescription benefits. Even millionaires would still get a 10 percent subsidy on their premiums under Obama's plan. Technically, both programs are voluntary.

"The government has to understand the difference between universal opportunity and universal subsidy," said David Walker, the former head of the congressional Government Accountability Office. "This is a very modest step toward changing the government subsidy associated with Medicare's two voluntary programs."

It still doesn't sit well with Pugach. She says she's been postponing remodeling work on her 58-year-old house because she's concerned about the cost. Having a convenient utility room so she doesn't have to go out to the garage to do laundry would help with her back problems.

"They think all old people are living the life of Riley," she said.


22.26 | 0 komentar | Read More

Ex-AP writer McArthur, who covered Vietnam, dies

Born in the Deep South and caught up in the romance of journalism at an early age, George McArthur was not one to let social taboos or politics interfere with a good story.

As a campus reporter for the local newspaper, covering civil rights and racial tensions at the University of Georgia, he was called a "communist" by the state's segregationist governor, Herman Talmadge. McArthur replied, with typical sarcasm, that he felt honored.

Later, while reporting for The Associated Press from Seoul during the Korean War, and from the Arab world and Indochina, McArthur cultivated Soviet and other communist-state reporters as friends, and the trust paid off with exclusive bits of inside information from the ongoing peace talks at Panmunjom.

In one case, McArthur recalled recently, his source made the deal in exchange for a box of condoms from the PX.

For nearly three decades, McArthur was the quintessential foreign correspondent as he reported from the boulevards of Paris to the sands of the Middle East and jungles of Vietnam, for the AP and later the Los Angeles Times. He died Friday night at age 88 in a hospice in Fairfax County, Va., of complications from a stroke 17 days earlier, his wife, Eva Kim McArthur, said.

When Australian journalist Wilfred Burchett, an avowed communist, hosted American anti-war advocate Tom Hayden at his home in Cambodia, his friend McArthur was the only western reporter invited to their news conference.

"As I left," McArthur recalled years later, other reporters were standing outside, asking: "'What did he say? What did he say?' I went past them and headed for the phone."

Born July 15, 1924, in Valdosta, Ga., George A. McArthur III said he was first inspired to become a foreign correspondent at age 9, when he read a book by Richard Harding Davis, a famous globe-trotting reporter in the early 20th century.

At age 20 in October 1944, McArthur served aboard the Navy hospital ship USS Bountiful, witnessing from a distance the World War II Battle of Leyte Gulf in the Philippines.

While the Japanese military was notorious during World War II for mistreatment of enemy prisoners and otherwise ignoring the rules of war, he said the mercy ship — operating alone, and painted white with large red crosses illuminated at night to mark its non-combat status — was never attacked or threatened by the Imperial Navy.

"In our case, the Japanese respected the laws of war and left us alone," he said.

After the war, McArthur attended the University of Georgia while working for a local newspaper. He was hired by the AP in Atlanta in 1949 to cover sports and write radio news copy — a typical start for a wire service career path that could lead anywhere.

In his case, that was Korea. In 1951, McArthur was one of several youthful AP staffers who volunteered to replace the aging ex-World War II retreads first dispatched to Seoul after communist North Korea's invasion of South Korea in July, 1950.

It was a new experience for McArthur and his colleagues, who were dubbed the "boy correspondents." But he recalled the remark of a veteran United Press reporter, Bob Vermillion, that "if you can't cover war, you can't cover anything."

Rewarded after Korea with a choice of AP assignments, McArthur opted for Paris, where he spent six years, then moved to Cairo as AP's bureau chief, living in a houseboat on the Nile. In 1963, he moved from there to Manila, Philippines, again as bureau chief.

McArthur polished an elegant writing style in those years that he said was patterned after that of his boyhood hero Davis, and lived the life of a foreign correspondent and bon vivant, a heady, Hemingway-esque mix of glamor, drama and danger.

Sent to cover a Paris news conference by visiting U.S. Vice President Lyndon Johnson, McArthur took along a comely French girlfriend named Domino. "LBJ immediately spotted her, pumped her hand and rattled on for about 60 seconds before realizing she didn't speak a word of English," McArthur recalled in a 2005 interview. "Afterward, Domino asked, 'Who was that man?'"

He later survived a tense moment in Sudan when a street demonstration flared out of control. McArthur said he fled to the U.S. embassy, scrambling under the front security gate seconds before it slammed down.

In 1964, McArthur began making reporting trips from Manila to Vietnam and a year later joined the AP Saigon staff full-time. He was named bureau chief in 1968, and in late 1969 he left the AP to join the Los Angeles Times, continuing to cover the Vietnam war.

He also met, and later married, Eva Kim, a diplomatic secretary to U.S. ambassador Ellsworth Bunker and his successor, Graham Martin.

When Saigon fell to invading North Vietnamese troops on April 30, 1975, Martin and key aides were on one of the last Marine helicopters to leave the U.S. embassy roof. Martin carried the embassy's folded flag; McArthur, accompanying his wife Eva, carried the ambassador's tiny terrier, Nit Noy, on his lap, having saved it from being left behind.

In later years, McArthur and his wife lived in Washington and northern Virginia.

In a 2005 interview, McArthur said his career had been more rewarding than he could have imagined as a small town boy in south Georgia.

Going on home leave from Paris, he crossed the Atlantic on the ocean liner United States, and was invited to dine at the captain's table.

"Nobody from Valdosta, Ga., dresses for dinner or eats at the captain's table," he said in the interview.

___

Pyle, a former Saigon bureau chief for The Associated Press, reported from New York.


22.26 | 0 komentar | Read More

Federal budget cuts poised to hit Mass. unemployed

BOSTON — Tens of thousands of Massachusetts residents who are out of a job and collecting unemployment benefits for more than 26 weeks will see their federal unemployment insurance assistance cut by nearly 13 percent as the automatic federal budget cuts bite deeper into the economy.

The Massachusetts Department of Unemployment Assistance announced Saturday that it is notifying residents who receive federal Emergency Unemployment Compensation that their benefits will be cut beginning the week ending May 4.

The Emergency Unemployment Compensation program benefits workers who had exhausted their state benefits.

The cuts will hit about 45,000 Massachusetts residents who currently receive the benefits. Each beneficiary receives an average of $402 a week, but those payments will be trimmed to about $351.

The U.S. Department of Labor mandated the cuts under a federal law that requires across-the-board cuts to all discretionary federal programs.


22.26 | 0 komentar | Read More

The Ticker

Written By Unknown on Jumat, 12 April 2013 | 22.27

Pfizer shifts workers to Kendall Square

Drug maker Pfizer Inc. will relocate a majority of its 530 Cambridge North workers from Alewife to Kendall Square. The company will also sell or sub-lease its buildings at 87, 200, and 35 CambridgePark Drive, and 620 Memorial Drive.

The employee shift is expected to occur early next year, but the company said it expects there will be minimal impact to the size of Pfizer's workforce in Massachusetts.

Syros takes off with $30M

Syros Pharmaceuticals, a Watertown-based company that harnesses breakthroughs in gene control for the treatment of cancer and other diseases, launched yesterday with a $30 million first round of funding.

The company was co-founded by ARCH Venture Partners and Flagship Ventures. Syros said it will use the capital to speed up the discovery and development of novel gene control medicines.

Bright Horizons acquires UK co.

Bright Horizons of Watertown has acquired kidsunlimited, a company that operates dozens of nurseries throughout England and Scotland, for more than $69 million in cash. The transaction is expected to be neutral to Bright Horizon's earnings for the rest of the year.

Murray touts transportation

Senate President Therese Murray said yesterday a $805 million transportation financing bill might grab Gov. Deval Patrick's attention as both sides have not formally met to discuss the issue in more than three weeks. Murray also chided the governor, whose own $1.9 billion plan remains stalled, for language that criticized the Legislature's proposal.

Houghton acquires Montreal co.

Boston-based Houghton Mifflin Harcourt has acquired educational technology company Tribal Nova of Montreal, Canada, for an undisclosed amount. Tribal Nova is focused on the development of digital games, products and services for preschoolers.

Microsoft to make waves in Natick

A new Microsoft retail store will open at the Natick Mall on June 8. Hit alternative rock band Weezer is expected to perform a concert to celebrate the grand opening.

TODAY

  • The Specialty Coffee Association of America 2013 annual exposition is held at the Boston Convention & Exhibition Center.

THE SHUFFLE 

  • Dean College has promoted Dr. Dawn Poirier, left, to dean of the School of Liberal Arts, effective June 1. A member of the Dean College faculty for 14 years, Poirier most recently served as Dean's department chairman for math, science and sport fitness studies.

22.27 | 0 komentar | Read More

Condos on the rise in Danvers

The Massachusetts condo market is finally warming up.

After several years of slow growth, developers are building again and potential owners are buying from floor plans.

Just a few years ago, real estate developers were converting their condo buildings into rentals because of the downturn in the housing market.

In February 2012, Tina Pizzuti Brzezenski, a partner with Pizzuti Development, had a permitted site in Danvers to build residential apartments.

Brzezenski, a real estate veteran with more than 20 years of experience, was continually monitoring the market and started to notice several industry forecasts that showed stabilizing rents and modest increases in vacancy rates.

"This is typically a trend that starts in the suburbs first, which may be indicative of supply catching up with demand," Brzezenski said.

Brzezenski also knew that inventory levels for homes on the market were dropping and Danvers hadn't seen any new construction of condo development in years.

Currently, there are 40 condos listed for sale in Danvers, 25 percent of them have active offers and 16 condos are presently under contract, according to MLS PIN. It's a far cry from the past few years when there would typically be between 66 and 72 condos on the market in Danvers.

With support from her bank to move forward on a condo project instead of rental development, Brzezenski went back to the town and got the development approved for condos. The result, located on Andover Street in Danvers where the old Natalie's Restaurant used to stand, will be the Residences at Rose Court.

Named after the rose garden that will be featured in the middle of the two residential buildings with elevators, the complex will consist of 71 units, all with individual balconies.

The one-, two- and three-bedroom units, between 1,065 square feet and 1,588 square feet, will be priced from $240,000 to $400,000. Each condo unit will have two parking spaces and indoor parking spaces will be available separately for purchase, at $7,500 to $9,500.

The residences will also have a state-of-the-art fitness center located in Building Two, complete with cardio machines, weight training equipment and a floor exercise area. There is a function room in the main clubhouse that residents can reserve for parties or events.

"In addition, there will also be a community garden where the residents can grow their own flowers, herbs or vegetables as well as a separate playground area," Brzezenski said.

Building Two will be the first to open, likely by Oct. 1, and the other building is expected to be complete by January.

Sales for the units begin tomorrow. There will be an on-site sales office located in the clubhouse with the model of the units' interior.

Interior features will include granite countertops, stainless steel appliances and in-unit washer and dryers. There will also be high-efficiency heating and cooling systems. Owners will be able to customize some unit features.

Jennifer Athas is a licensed real estate broker. Follow her on Twitter @jenathas


22.27 | 0 komentar | Read More

UMass Medical nurses authorize strike

WORCESTER, Mass. — Nurses at UMass Memorial Medical Center in Worcester have authorized union leaders to schedule a one-day strike.

The Massachusetts Nurses Association says 83 percent of the system's more than 2,000 nurses voted in favor of the measure during a secret ballot on Thursday. The result gives union leadership approval to call a strike at a future date if they feel it's necessary.

The nurses are in the midst of contract negotiations over staffing levels and benefits. Negotiations have been going on for longer than a year.

The nurses contend layoffs over the past two years put patient care in jeopardy.

Hospital management says it was "disappointed" in the vote results.

Management says it is committed to maintaining appropriate staffing levels, and it disagrees with the union's mandatory staffing ratio proposal.


22.27 | 0 komentar | Read More

Starbucks cuts suggested price of bagged coffee

NEW YORK — Starbucks is cutting the suggested retail price of its bagged coffee sold in supermarkets, following similar moves by competitors amid falling commodity costs.

The Seattle-based chain says 12-ounce bags of its whole and ground coffee will be $8.99, down from $9.99. The list price of its Seattle's Best coffee will also be slashed to $6.99 a bag, from $7.99. The new prices go into effect May 10.

The list price is just a suggestion and retailers are free to charge their own prices, however, so customers may not see a change. But retailers will pay a lower price, giving them more wiggle room to pass on the savings to shoppers.

The move does not affect the price of Starbucks coffee in its cafes.

In February, J.M. Smucker Co. also lowered the price for most of its Folgers and Dunkin' Donuts packaged coffee sold in the U.S. by an average of 6 percent.

The cut by Starbucks Corp. also reflects the company's ongoing push to accelerate growth in its packaged goods business.

Starting next month, the company is also letting people earn points on its loyalty program from buying its bagged coffee.


22.27 | 0 komentar | Read More

JPMorgan CEO: 'Work to do' on controls, compliance

NEW YORK — JPMorgan Chase, the country's biggest bank by assets, says its first-quarter earnings soared, even as revenue fell slightly.

The bank made $6.1 billion in the first quarter, after stripping out payments to preferred shareholders. That was up 34 percent from the same period a year ago, when it made $4.6 billion.

On a per-share basis, that amounted to $1.59. That blew away the estimates of analysts polled by FactSet, who had been expecting $1.39.

Revenue and profit fell in its retail banking business, but increased in investment banking. JPMorgan funded $53 billion in mortgages, a jump of 37 percent from a year ago. But profits in the mortgage unit fell 31 percent, and the bank said profit margins were lower.

Revenue was $25.8 billion, after stripping out the effect of an accounting charge. That beat analysts' estimates of $25.7 billion, though it was down 3 percent from the same period a year ago.

In many respects, it's been a difficult year for the New York-based bank. A surprise trading loss, which the bank acknowledged about a year ago, has been haunting it, resulting in management shake-ups, increased scrutiny from regulators, scoldings from Congress and a big pay cut for CEO Jamie Dimon.

In a statement, Dimon said the bank has "work to do" to strengthen internal controls and make sure it is in compliance with regulations. He called it the new "top priority" for the bank.

"There is no room for compromise in meeting our obligations to comply with the new regulatory requirements and ensure that our systems, practices, controls, technology and, above all, culture meet the highest standards," he said.

Last month, the Federal Reserve asked the bank to resubmit its capital plan by the end of September, to address the Fed's concerns about unspecified weaknesses. JPMorgan said Friday it is "dramatically increasing the resources deployed" to address the Fed's concerns, and said it "intends to fully address" the Fed's requirements.

Dimon also said he was "very pleased" with the first-quarter results, and painted a picture of an improving economy. He said that consumers are "healthier and more confident," noting that bank reduced the amount it set aside to cover bad loans in its retail banking business. He said the bank was seeing signs of a healing economy, including improved housing prices.

One exception Dimon noted, however, was loan demand. Total loans slipped about 4 percent compared to a year ago, a trend likely to be repeated when the other big banks report their earnings.

"Small businesses remain cautious about the recovery and fiscal uncertainty, and are not investing their capital," Dimon said, though he added that the businesses were "well positioned to invest in growth once they decide to."

JPMorgan's stock was down 12 cents at $49.19 in early trading.


22.27 | 0 komentar | Read More
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