Quest: U.S. economy to dominate Davos




The US and the sorry state of the country's political and budgetary process will be the center of attention at Davos, writes Quest




STORY HIGHLIGHTS


  • Quest: Davos is a chance to see where the political and economic landmines are in 2013

  • Quest: People will be speculating about how dysfunctional the US political process has become

  • Quest: Davos has been consumed by eurozone sovereign debt crises for three years




Editor's note: Watch Quest Means Business on CNN International, 1800pm GMT weekdays. Quest Means Business is presented by CNN's foremost international business correspondent Richard Quest. Follow him on Twitter.


(CNN) -- It is that time of the year, again. Come January no sooner have the Christmas trees been taken down, as the winter sales are in full vicious flood the world of business start thinking about going to the world economic forum, better known as Davos.


For the past three years Davos has been consumed by the eurozone sovereign debt crises.


As it worsened the speculation became ever more frantic.....Will Greece leave the euro? Will the eurozone even survive? Was this all just a big German trick to run Europe? More extreme, more dramatic, more nonsense.


Can China be the biggest engine of growth for the global economy. Round and round in circles we have gone on these subjects until frankly I did wonder if there was anything else to say short of it's a horrible mess!


This year there is a new bogey man. The US and in particular the sorry state of the country's political and budgetary process will, I have little doubt, be the center of attention.


Read more: More 'cliffs' to come in new Congress


Not just because Congress fluffed its big test on the fiscal cliff, but because in doing so it created many more deadlines, any one of which could be deeply unsettling to global markets... There is the $100 billion budget cutbacks postponed for two months by the recent agreement; postponed to the end of February.


At exactly the same time as the US Treasury's ability to rob Peter to pay Paul on the debt ceiling crises comes to a head.


Read more: Both Obama, GOP set for tough talks ahead


The Treasury's "debt suspension period" is an extraordinary piece of financial chicanery that if we tried it with our credit cards would get us locked up!! Then there is the expiration of the latest continuing resolution, the authority by which congress is spending money.


There is the terrifying prospect that all these budget woes will conflate into one big political fist fight as the US faces cutbacks, default or shutdown!!


I am being alarmist. Most rational people believe that the worst sting will be taken out of this tail....not before we have all been to the edge...and back. And that is what Davos will have on its mind.


People will be speculating about how dysfunctional the US political process has become and is it broken beyond repair (if they are not asking that then they should be...)




They will be pondering which is more serious for risk...the US budget and debt crises or the Eurozone sovereign debt debacle. A classic case of between the devil and the deep blue sea.




The official topic this year is Resilient Dynamism. I have absolutely no idea what this means. None whatsoever. It is another of WEF's ersatz themes dreamt up to stimulate debate in what Martin Sorrell has beautifully terms "davosian language" In short everyone interprets it as they will.




What I will enjoy, as I do every year, is the chance to hear the global players speak and the brightest and best thinkers give us their take on the global problems the atmosphere becomes febrile as the rock-stars of finance and economics give speeches, talk on panels and give insight.




Of course comes of these musings, it never does at Davos. That's not the point. This is a chance to take stock and see where the political and economic landmines are in 2013. I like to think of Davos as the equivalent of Control/Alt/Delete. It allows us to reboot.


We leave at least having an idea of where people stand on the big issues provided you can see through the panegyrics of self congratulatory back slapping that always takes place whenever you get like minded people in one place... And this year, I predict the big issue being discussed in coffee bars, salons and fondue houses will be the United States and its budgetary woes.







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Fiji's military ruler drops draft constitution






SUVA: Fiji's military government has announced it will dump a draft constitution prepared by an academic panel and prepare its own version, a move New Zealand labelled a "backward step" for the Pacific nation.

Military leaders in the coup-plagued island state commissioned a panel led by Kenyan academic Yash Ghai to draw up a constitution last year but took issue with some recommendations put forward in the document.

President Ratu Epeli Nailatikau said Ghai's blueprint risked reigniting racial tensions in Fiji, where divisions exist between the indigenous population and ethnic Indians brought to the country in the colonial era.

He said it also threatened to undo reforms introduced by Prime Minister Voreqe Bainimarama, who seized power in a 2006 coup and has pledged to hold elections in 2014 after the new constitution has been adopted.

"The Ghai draft (constitution ) can lead to financial and economic catastrophe and ruin," Nailatikau said in a nationally televised address on Thursday night.

While the draft has not been officially released, leaked copies indicate Ghai wanted the military, a key player in the four coups the Pacific nation has endured since 1987, to stay out of politics after the 2014 elections.

He also called for a transitional government to take over ahead of the 2014 vote, meaning Bainimarama would have to cede power.

New Zealand Foreign Minister Murray McCully said the government had effectively "trashed" the work of Ghai's Constitutional Commission, which completed its draft after receiving more than 7,000 public submissions.

He said the international community would be watching closely to ensure the new constitution allowed for free and fair elections, rather than providing a blueprint for the military's version of democracy.

"This is not flash, it's a backward step of some proportions," McCully told Radio New Zealand.

"But it's been the history of this whole process. This is not going to be a simple straight line towards elections and international credibility, there are always going to be steps forward and steps back."

He added that the move by the military to draw up its own draft constitution was "rather larger a step back than any of us feel comfortable with, but it's what we've got to work with".

The new draft constitution is expected to be completed by the end of the month.

- AFP/al



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Beheading exposes exploitation




(File photo) Sri Lankan women protest outside the Saudi Arabia embassy in Colombo on November 9, 2010.




STORY HIGHLIGHTS


  • Saudi authorities beheaded Rizana Nafeek, a Sri Lankan woman

  • She was convicted of killing a baby of the family employing her as a housemaid

  • This was despite Nafeek's claims that the baby died in a choking accident

  • Becker says her fate "should spotlight the precarious existence of domestic workers"




Jo Becker is the Children's Rights Advocacy Director for Human Rights Watch and author of 'Campaigning for Justice: Human Rights Advocacy in Practice.' Follow Jo Becker on Twitter.


(CNN) -- Rizana Nafeek was a child herself -- 17 years old, according to her birth certificate -- when a four-month-old baby died in her care in Saudi Arabia. She had migrated from Sri Lanka only weeks earlier to be a domestic worker for a Saudi family.


Although Rizana said the baby died in a choking accident, Saudi courts convicted her of murder and sentenced her to death. On Wednesday, the Saudi government carried out the sentence in a gruesome fashion, by beheading Rizana.



Jo Becker

Jo Becker



Read more: Outrage over beheading of Sri Lankan woman by Saudi Arabia


Rizana's case was rife with problems from the beginning. A recruitment agency in Sri Lanka knew she was legally too young to migrate, but she had falsified papers to say she was 23. After the baby died, Rizana gave a confession that she said was made under duress -- she later retracted it. She had no lawyer to defend her until after she was sentenced to death and no competent interpreter during her trial. Her sentence violated international law, which prohibits the death penalty for crimes committed before age 18.


Rizana's fate should arouse international outrage. But it should also spotlight the precarious existence of other domestic workers. At least 1.5 million work in Saudi Arabia alone and more than 50 million -- mainly women and girls -- are employed worldwide according to the International Labour Organization (ILO).


Read more: Indonesian maid escapes execution in Saudi Arabia






Again according to the ILO, the number of domestic workers worldwide has grown by more than 50% since the mid-1990s. Many, like Rizana, seek employment in foreign countries where they may be unfamiliar with the language and legal system and have few rights.


When Rizana traveled to Saudi Arabia, for example, she may not have known that many Saudi employers confiscate domestic workers' passports and confine them inside their home, cutting them off from the outside world and sources of help.


It is unlikely that anyone ever told her about Saudi Arabia's flawed criminal justice system or that while many domestic workers find kind employers who treat them well, others are forced to work for months or even years without pay and subjected to physical or sexual abuse.




Passport photo of Rizana Nafeek



Read more: Saudi woman beheaded for 'witchcraft and sorcery'


Conditions for migrant domestic workers in Saudi Arabia are among some of the worst, but domestic workers in other countries rarely enjoy the same rights as other workers. In a new report this week, the International Labour Organization says that nearly 30% of the world's domestic workers are completely excluded from national labor laws. They typically earn only 40% of the average wage of other workers. Forty-five percent aren't even entitled by law to a weekly day off.


Last year, I interviewed young girls in Morocco who worked 12 hours a day, 7 days a week for a fraction of the minimum wage. One girl began working at age 12 and told me: "I don't mind working, but to be beaten and not to have enough food, this is the hardest part."


Many governments have finally begun to recognize the risks and exploitation domestic workers face. During 2012, dozens of countries took action to strengthen protections for domestic workers. Thailand, and Singapore approved measures to give domestic workers a weekly day off, while Venezuela and the Philippines adopted broad laws for domestic workers ensuring a minimum wage, paid holidays, and limits to their working hours. Brazil is amending its constitution to state that domestic workers have all the same rights as other workers. Bahrain codified access to mediation of labor disputes.


Read more: Convicted killer beheaded, put on display in Saudi Arabia


Perhaps most significantly, eight countries acted in 2012 to ratify -- and therefore be legally bound by -- the Domestic Workers Convention, with more poised to follow suit this year. The convention is a groundbreaking treaty adopted in 2011 to guarantee domestic workers the same protections available to other workers, including weekly days off, effective complaints procedures and protection from violence.


The Convention also has specific protections for domestic workers under the age of 18 and provisions for regulating and monitoring recruitment agencies. All governments should ratify the convention.


Many reforms are needed to prevent another tragic case like that of Rizana Nafeek. The obvious one is for Saudi Arabia to stop its use of the death penalty and end its outlier status as one of only three countries worldwide to execute people for crimes committed while a child.


Labor reforms are also critically important. They may have prevented the recruitment of a 17 year old for migration abroad in the first place. And they can protect millions of other domestic workers who labor with precariously few guarantees for their safety and rights.


Read more: Malala, others on front lines in fight for women


The opinions expressed in this commentary are solely those of Jo Becker.






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Sheriff: Calif. teen planned attack on classmates

Updated at 9:40 p.m. ET

TAFT, Calif. A 16-year-old student armed with a shotgun walked into a rural California high school on Thursday, shot one student and fired at others and missed before a teacher and another staff member talked him into surrendering, officials said.

The teen victim was in critical but stable condition, and the suspect, whose pockets were stuffed with ammunition, was still being interrogated, Kern County Sheriff Donny Youngblood said at a news conference Thursday evening.

The suspect used a shotgun that belonged to his brother and went to bed Wednesday night with a plan to shoot two fellow students, Youngblood said.

Surveillance video shows the alleged shooter trying to conceal the gun as he nervously entered Taft Union High School through a side entrance after school had started Thursday morning.

When the shots were fired, teacher Ryan Heber tried to get the more than two dozen students out a back door and engaged the shooter in conversation to distract him, Youngblood said. Campus supervisor Kim Lee Fields responded to a call of shots fired and also began talking to the teen.

"They talked him into putting that shotgun down. He in fact told the teacher, `I don't want to shoot you,' and named the person that he wanted to shoot," Youngblood said.

"The heroics of these two people goes without saying. ... They could have just as easily ... tried to get out of the classroom and left students, and they didn't," the sheriff said. "They knew not to let him leave the classroom with that shotgun."

The shooter didn't show up for first period, then interrupted the class of 28 students.

Youngblood said the suspect alleges the two students he targeted had bullied him for more than a year, but the sheriff couldn't confirm the allegations.

"Certainly he believed that the two people he targeted had bullied him, in his mind. Whether that occurred or not we don't know yet," Youngblood said.

Youngblood did not release the student's disciplinary record, saying he didn't have it.

The shotgun is believed to belong to the boy's brother and was in the boy's home, Youngblood said.

The Sheriff's Department did not release the boy's name because he was a juvenile and had yet to be charged. But many students and community members said they knew the boy and said he was often teased, including Alex Patterson, 18, who went to Taft with the suspect before graduating last year.

"He comes off as the kind of kid who would do something like this," Patterson said. "He talked about it a lot, but nobody thought he would."

Trish Montes, who lived next door to the suspect, said he was "a short guy" and "small" who was teased about his stature by many, including the victim.

"Maybe people will learn not to bully people," Montes said. "I hate to be crappy about it, but that kid was bullying him."

Montes said her son had worked at the school and tutored the boy last year, sometimes walking with him between classes because he felt sorry for him.

"All I ever heard about him was good things from my son," Montes said. "He wasn't Mr. Popularity, but he was a smart kid. It's a shame. My kid said he was like a genius. It's a shame because he could have made something of himself."

The wounded student was flown to a hospital in Bakersfield and was listed in stable but critical condition Thursday evening. Officials said a female student was hospitalized with possible hearing damage because the shotgun was fired close to her ear, and another girl suffered minor injuries during the scramble to flee when she fell over a table.

Officials said there's usually an armed officer on campus, but the person wasn't there because he was snowed in. Taft police officers arrived within 60 seconds of first reports.

Bakersfield television station KERO reported receiving phone calls from people inside the school who hid in closets. About 900 students are enrolled at the high school, which includes ninth through 12th grades.

Wilhelmina Reum, whose daughter Alexis Singleton is a fourth-grader at a nearby elementary school, got word of the attack while she was about 35 miles away in Bakersfield and immediately sped back to Taft.

"I just kept thinking this can't be happening in my little town," she told The Associated Press.

"I was afraid I was going to get hurt," Alexis said. "I just wanted my mom to get here so I could go home."

Taft is a community of fewer than 10,000 people amid oil and natural gas production fields about 120 miles northwest of Los Angeles.

The attack there came less than a month after a gunman massacred 20 children and six women at Sandy Hook Elementary School in Newtown, Conn., then killed himself.

That shooting prompted President Barack Obama to promise new efforts to curb gun violence. Vice President Joe Biden, who was placed in charge of the initiative, said he would deliver new policy proposals to the president by next week.

Sen. Dianne Feinstein, D-Calif., said in a statement that her father had attended Taft Union and she has visited the school over the years.

"At this moment my thoughts and prayers are with the victims, and I wish them a speedy recovery," Feinstein said. "But how many more shootings must there be in America before we come to the realization that guns and grievances do not belong together?"

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China's 2012 trade surplus surges 48%






BEIJING: China's trade surplus surged 48.1 percent to $231.1 billion in 2012 from the previous year, though total trade volume grew at a much slower pace, official data showed on Thursday.

Exports from the world's second-largest economy rose 7.9 percent to $2.05 trillion, while imports increased 4.3 percent to $1.82 trillion, the national customs bureau said.

China's trade volume, or the total of exports and imports, grew 6.2 percent in 2012, well below the government's target of about 10 percent.

Customs spokesman Zheng Yuesheng said 2012's performance came "despite a sharply slowing world economic recovery, weak international market demand and rather big downside pressure on the domestic economy".

Zheng told reporters: "China's foreign trade continued to grow steadily and made further progress in improving quality, increasing profits and optimising structure."

- AFP/al



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Latino should have played lead in 'Argo'




Ben Affleck plays the lead role of Tony Mendez in "Argo," which he also directed.




STORY HIGHLIGHTS


  • Oscar nominations on Thursday, and Ben Affleck expected to get one for "Argo"

  • Affleck plays real-life Latino who helped diplomats escape in Iran hostage crisis

  • Ruben Navarrette: Affleck should have used a Latino actor to play role

  • He says it cheats actor out of a job, and the Latino community out of a hero's story




San Diego, California (CNN) -- The upcoming Oscars are no stranger to causes or controversy. And this year, there is a strong dose of both surrounding the film "Argo" -- and its star and director, Ben Affleck.


This controversy bubbled up when the buzz started that Affleck could get an Academy Award nomination for best director when the announcements are made Thursday.


"Argo" tells how an ingenious and daring CIA agent helped orchestrate the rescue of six U.S. diplomats from Tehran during the Iran hostage crisis of 1979-1980. In November 1979, about 300 Islamic students stormed the U.S. Embassy and 66 Americans were taken hostage. But six U.S. diplomats escaped and were hidden at the Canadian Embassy by the Canadian ambassador and his wife.



Ruben Navarrette Jr.

Ruben Navarrette Jr.



The CIA agent -- Antonio "Tony" Mendez, played by Affleck -- successfully led the mission to evacuate the Americans, which involved Mendez and his associates posing as a Canadian film crew that was eager to make a movie in Iran.


The real Tony Mendez was awarded the Intelligence Star for Valor, and other honors, for leading the rescue. He later wrote a memoir, detailing the events in Tehran.








"Argo" is loosely based on Mendez's book. Better make that, very loosely based. As movie critics and others have pointed out since the movie opened a few months ago, the filmmakers took lots of dramatic license with the story. Mendez's role is played up, while that of the Canadians who helped hide and protect the Americans is played down. Some scenes depicted in the film never happened. Some characters are composites of several real people.


In other words, it's what you would expect from a Hollywood feature film based on a historical event. It's not a documentary. It's meant to be taken with a grain of salt, and to be entertaining.


Still, there are some Latinos -- in and out of Hollywood -- who think that, in this case, the filmmakers, and especially Affleck, pushed the concept of creativity too far. They say Affleck missed an opportunity to put more Latinos on screen. Moreover, they say, Affleck improperly claimed, for himself, the choice role of Mendez when he should have cast a Latino actor instead. They insist that the director didn't just cheat a Latino out of an acting job but the Latino community out of a feel-good story about one of their own who won acclaim for a heroic deed.


The critics are right, and their cause is just. Affleck should have tried to cast a Latino to play Mendez. That's common sense, and it would have made "Argo" a better movie. Affleck also didn't do himself any favors by trying to dismiss the criticism with a glib remark that essentially said that it really doesn't matter that the actor playing Mendez isn't Latino since Mendez himself isn't, shall we say, overtly Latino.


At a recent forum intended to publicize the film, Affleck responded to a question from the audience about the controversy by noting that "Tony does not have, I don't know what you would say, a Latin/Spanish accent" and that "You wouldn't necessarily select him out of a line of 10 people and go 'This guy's Latino.' "


Ouch. At least Affleck didn't slip and say "line up."


"So I didn't feel as though I was violating something," he said, "where, here's this guy who's clearly ethnic in some way and it's sort of being whitewashed by Ben Affleck the actor."


Johnny Depp set a better example. Several months ago, Depp turned down the role of Mexican revolutionary Francisco "Pancho" Villa in another film. He said that the role should go to a Latino. I praised Depp at the time for showing that, besides being a great actor, he is also a person of character.


The exclusion of Latinos from Hollywood is an old story. This is still a black and white world, where Latinos rarely get cast in the leading role. We're the gardeners and housekeepers, the gang leader and drug dealers, the nannies and farm workers. That's it. There has been some progress, of course. But not enough -- not when you have a Latina in the Supreme Court, three Latinos in the U.S. Senate, and Latinos heading Fortune 500 companies.


I could blame the environment of Southern California, in which most Hollywood writers, producers and directors live and spend most of their time. When they get up in the morning and drive to work, most Latinos they encounter are subservient. We clean their homes, cook their breakfast, trim their hedges, park their cars and otherwise help them get through the day.


Still, you can push this argument too far, and wind up going down a dangerous path -- one that ultimately sets back the greater cause of trying to get television networks and film studios to create a broader range of meatier roles for Latino actors and actresses.


After all, it's a short walk from saying that a director should have cast a Latino to play a Latino to arguing that only Latinos can play Latinos. And, if that's the argument, then on what moral high ground do Latinos stand to also push -- as we should -- for Latino actors and actresses to be considered for generic and mainstream roles that could have gone to white actors? We can't have it both ways.


Even if Latinos succeed in making their point about this one director and this one movie, it could backfire. We could win this battle, and still lose the war.


But before Latinos can be fully integrated into America and not considered outsiders, we have to take every opportunity to push for inclusion and fairness. And acknowledging that Latinos have the skills to play themselves is a good start.


Follow us on Twitter @CNNOpinion


Join us on Facebook/CNNOpinion


The opinions in this commentary are solely those of Ruben Navarrette.






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Mom who shot intruder inspires gun control foes

LOGANVILLE, Ga.A Georgia mother who shot an intruder at her home has become a small part of the roaring gun control debate, with some firearms enthusiasts touting her as a textbook example of responsible gun ownership.

Melinda Herman grabbed a handgun and hid in a crawl space with her two children when a man broke in last week and approached the family at their home northeast of Atlanta, police said. Herman called her husband on the phone, and with him reminding her of the lessons she recently learned at a shooting range, Herman opened fire, seriously wounding the burglary suspect.

The National Rifle Association tweeted a link to a news story about the shooting, and support poured in from others online, hailing Herman as a hero. The local sheriff said he was proud of the way she handled the situation.

"This lady decided that she wasn't going to be a victim, and I think everyone else looks at this and hopes they have the courage to do what she done," Walton County Sheriff Joe Chapman said Wednesday.


Herman was working from home Friday when she saw a man walk up to the front door. She told police he rang the doorbell twice and then over and over again. He went back to his SUV, got something out and walked back toward the house, a police report said.

Herman took her 9-year-old son and daughter into an upstairs bedroom and locked the door. They went into bathroom and she locked that door, too. She got her handgun from a safe, the report said, and hid with her children. At some point, she called her husband, who kept her on the line and called 911 on another line.

In a 10-minute 911 recording released by the Walton County Sheriff's Office, Donnie Herman calmly explained what was happening to a dispatcher. His part of the conversation with his wife was also recorded.

"Is he in the house, Melinda? Are you sure? How do you know? You can hear him in the house?" Donnie Herman said.

His wife told him the intruder was coming closer.

"He's in the bedroom? Shh, shh, relax. Just remember everything that I showed you, everything that I taught you, all right?" Donnie Herman told his wife, explaining later to the dispatcher that he had recently taken her to a gun range.

It wasn't clear from the recording exactly when they went to range and Donnie Herman told The Associated Press on Wednesday the family didn't want to talk about the shooting.

After Donnie Herman told his wife police were on the way, he started shouting: "She shot him. She's shootin' him. She's shootin' him. She's shootin' him. She's shootin' him."

"OK," the dispatcher responded.

"Shoot him again! Shoot him!" Donnie Herman yelled. He told the dispatcher he heard a lot of screaming, but he seems to get increasingly worried when he doesn't hear anything from his wife.

Melinda Herman told police she started shooting the man when he opened the door to the crawl space. The man pleaded with her to stop, but she kept firing until she had emptied her rounds, she told police. She then fled to a neighbor's house with her children.

The man drove away in his SUV. Police found the SUV on another subdivision street and discovered a man bleeding from his face and body in a nearby wooded area. Police identified the suspect as 32-year-old Paul Slater of Atlanta.

Chapman said the hospital asked him not to comment on Slater's condition, but he said he is not certain Slater will survive.

CBS Atlanta affiliate WGCL-TV reports Slater is on a ventilator.

Authorities have a warrant but haven't formally arrested Slater yet. They plan to charge him with burglary, possession of tools for the commission of a crime and aggravated assault, Walton County sheriff's Capt. Greg Hall said.

A phone number for Slater was not listed and it was not clear whether he has an attorney.

Authorities believe Slater targeted a home in another local subdivision but left when confronted by the homeowner, Chapman said.

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Flu Kills 4 Seniors, Sickens 700 in Boston













An early and nasty flu season has prompted a public health emergency in Boston, where health officials say 700 people have been diagnosed with the cold-weather virus. Four Bostononians -- all elderly -- have died from flu.


"This is the worst flu season we've seen since 2009, and people should take the threat of flu seriously," Boston Mayor Thomas Menino said in a statement.


This time last year the city had seen only 70 cases of influenza, The Associated Press reported. And with flu activity likely to extend into March or even April, the number will only grow.


Menino said the city is working with health care centers to offer free flu vaccines, and he urged anyone with flu-like symptoms to stay home from work or school.


"This is not only a health concern, but also an economic concern for families," he said in the statement. "I'm urging residents to get vaccinated if they haven't already."


Eighteen people have died from flu in Massachusetts, one of 41 states battling widespread influenza outbreaks. Emergency rooms across the country have been overwhelmed with flu patients, turning away some of them and others with non-life-threatening conditions for lack of space.


The proportion of people seeing their doctor for flu-like symptoms jumped to 5.6 percent from 2.8 percent in the past month, according to the CDC.








U.S. Emergency Rooms Inundated With Flu Patients Watch Video









Earliest Flu Season in a Decade: 80 Percent of Country Reports Severe Symptoms Watch Video







Northwestern Memorial Hospital in Chicago reported a 20 percent increase in flu patients every day. Northwestern Memorial was one of eight hospitals on bypass Monday and Tuesday, meaning it asked ambulances to take patients elsewhere if they could do so safely.


Dr. Besser's Tips to Protect Yourself From the Flu


Most of the hospitals have resumed normal operations, but could return to the bypass status if the influx of patients becomes too great.


"Northwestern Memorial Hospital is an extraordinarily busy hospital, and oftentimes during our busier months, in the summer, we will sometimes have to go on bypass," Northwestern Memorial's Dr. David Zich said. "We don't like it, the community doesn't like it, but sometimes it is necessary."


A tent outside Lehigh Valley Hospital in Salisbury Township, Pa., was set up to tend to the overflowing number of flu cases.


A hospital in Ohio is requiring patients with the flu to wear masks to protect those who are not infected.


State health officials in Indiana have reported seven deaths. Five of the deaths occurred in people older than 65 and two younger than 18. The state will release another report later today.


Doctors are especially concerned about the elderly and children, where the flu can be deadly.


"Our office in the last two weeks has exploded with children," Dr. Gayle Smith, a pediatrician in Richmond, Va., said


It is the earliest flu season in a decade and, ABC News Chief Medical Editor Dr. Besser says, it's not too late to protect yourself from the outbreak.


"You have to think about an anti-viral, especially if you're elderly, a young child, a pregnant woman," Besser said.


"They're the people that are going to die from this. Tens of thousands of people die in a bad flu season. We're not taking it serious enough."



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Case of Wall Street greed gone too far




Goldman Sachs CEO Lloyd Blankfein was one of the executives whose stock award was accelerated to beat higher tax rate.




STORY HIGHLIGHTS


  • Goldman Sachs granted $65 million in stock to execs before new tax rates began

  • Susan Antilla says the firm's CEO had endorsed higher rates, called for entitlement cuts

  • She says Goldman benefits from the implicit promise that U.S. will bail it out

  • Antilla: It was unseemly for Goldman to rush the payments to shield execs from new rates




Editor's note: Susan Antilla is a columnist at Bloomberg View and a contributor to TheStreet.com. She has written about finance for more than 30 years. She is author of "Tales From the Boom-Boom Room: The Landmark Legal Battles That Exposed Wall Street's Shocking Culture of Sexual Harassment." Follow her on Twitter @antillaview.


(CNN) -- Nobody likes to pay taxes, so can you blame the good folks at Goldman Sachs & Co. for doing what they could to avoid the higher rates that kicked in on January 1?


While the rest of us were donning our party clothes on New Year's Eve, the legal worker bees at Goldman were pushing the send button on 10 regulatory filings to the Securities and Exchange Commission.


By the time the ball dropped in Times Square, regulators had been notified that $65 million in Goldman stock had been granted a month early, helping a cluster of powerful multimillionaire executives trim their tax tab.


Among the 10 who shared that $65 million, Chief Executive Officer Lloyd Blankfein, Chief Operating Officer Gary Cohn and Chief Financial Officer David Viniar wound up with $8.4 million apiece in Goldman stock.



Susan Antilla

Susan Antilla



Blankfein's compensation in 2011 was $16.2 million. Cohn and Viniar that year made $15.8 million. Even Gordon Gekko would be impressed to see that bosses making that much money were able to catch a tax break for a couple hundred thousand.


The 10 executives who skirted 2013's higher rates were not the only Goldmanites who benefited from the "accelerated" vesting. Michael DuVally, a Goldman spokesman, acknowledged there was "a group larger than" the 10 but declined to say how many. DuVally would not comment on who made the decision to grant the shares early.


The shrewd Goldman move is hardly unique among rich business executives or even 99 percenters of more modest means. It was no secret that higher taxes were coming this year, and taxpayers of all shapes and sizes did what they could to ensure that "tax events" would occur in 2012.



Even environmental activist and Nobel Prize winner Al Gore tried, albeit without success, to unload his Current TV to Al Jazeera before the new year dawned.


What makes the Goldman move distasteful is that it wasn't even two months ago that CEO Blankfein was mouthing off in a Wall Street Journal op-ed that he endorsed tax increases "especially for the wealthiest" -- along with a plug to cut entitlements to all you freeloaders out there.








If you're pushing the position that the rich should pay more to help fix the deficit, it doesn't quite follow to employ a tax dodge, says Dennis Kelleher, president of the Washington-based public interest group Better Markets Inc.


"Goldman's quickie year-end tax shenanigans deprived the government of what it otherwise would get," he says. "So they either cause the debt to go up, or cause others to pay more by the taxes they are avoiding."


DuVally, the Goldman spokesman, declined to comment when I asked whether it was inconsistent for Goldman to make a move for its executives to avoid taxes after Blankfein endorsed increases for the wealthy.


I've got to hand it to Goldman. The firm is a master of the "have-your-cake-and-eat-it-too" brand of politics and public relations. One minute, Goldman is cranking out press releases about its devotion to women entrepreneurs in its philanthropic "10,000 women" program. The next, it is announcing its annual list of new partners that includes a paltry 10 women but 60 men.


Goldman was a victim on the defensive when Greg Smith, a former employee, wrote a New York Times op-ed on March 14, blasting the firm for having "morally bankrupt people" who needed to be weeded out. You could almost feel sorry for poor Goldman, which shipped out a memo reminding employees that their estimable employer had been named one of the best places to work in the United Kingdom only weeks before the London-based Smith's "Why I Am Leaving Goldman Sachs" essay.


By the time Smith published a book seven months later, the firm had turned ruthless revenge-seeker, even sharing parts of Smith's self-evaluations with the media. A "best place to work?" Really? Careful what you say in the press -- and in your HR file -- if you get your paycheck from a Goldman-style operation.


The brouhaha over Smith's op-ed and book stirred up debate of the "What did you expect of an investment bank operating in capitalistic society?" type.


Fair enough. Banks are not in the philanthropy business -- even if they spend as much time as Goldman does talking about its good deeds and famous "business principles." ("Our clients always come first" is famously No. 1 on the list.)


At Goldman and other "too big to fail" banks, though, employees walk through the doors each morning knowing that the rest of us will be forced to bail them out again should another crisis ensue. We taxpayers provide the insurance policy that they enjoy without ever sending us premiums. In October of 2008, Goldman got $10 billion in taxpayer money from the Troubled Asset Relief Program, which it ultimately paid back.


Blankfein, like other bank CEOs, would later make the case that Goldman wasn't "relying on" that government help.


But leaf through the tomes of some of the regulators who lived through the crisis, and you start to wonder whether our tax-dodging heroes might be out of jobs today if the public hadn't fronted a bailout.


From "Bull by the Horns," by former Federal Deposit Insurance Corp. chairman Sheila Bair: Goldman and Morgan Stanley were "teetering on the edge" in the fall of 2008.


From "Bailout: An Inside Account of how Washington Abandoned Main Street While Rescuing Wall Street," by Neil Barofsky, former special inspector general to oversee the Troubled Assets Relief Program: Federal Reserve chairman Ben Bernanke "confided that he believed that Goldman Sachs would have been the next to go" after Morgan Stanley.


We need to change the conversation here.


Goldman and its too-big-to-fail brethren are banks that accepted welfare and are in debt to U.S. taxpayers for averting disaster. This hasn't been about hard-nosed capitalism since those first TARP wire transfers made their way into Goldman Sachs' coffers.


As for the bank's recent tax-reduction maneuver, it's another reminder that Goldman's management is either clueless about how bad it looks or doesn't care. Sometimes bad PR is a just a cost of doing business.


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The opinions expressed in this commentary are solely those of Susan Antilla.






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Relatives sob as US massacre 911 calls heard in court






CENTENNIAL, Colorado: Relatives wept in court Tuesday as frantic 911 calls were played from a US theater shooting that killed 12 people last year, as prosecutors closed their case for the alleged gunman to face trial.

The court heard how suspected killer James Holmes purchased more than 6,000 rounds of ammunition in the months before last July's shooting in Colorado, and rigged up elaborate booby-traps at his apartment.

Defense lawyers will call witnesses Wednesday, the third day of hearings, to decide if there is enough evidence for Holmes to go on trial. They are expected to highlight his mental instability as a possible reason he should not do so.

In the first of 41 harrowing emergency calls made in a 10-minute period in Colorado, 30 loud booms could be heard in less than half-a-minute, making it difficult for the 911 dispatcher to distinguish what was being said.

In another, six minutes after the first call was logged at 12:38 am, 14-year-old Kaylan Bailey told the emergency operator her two cousins had been shot, and that one of them did not appear to be breathing.

"We need to start CPR (cardio-pulmonary resuscitation) on your cousin who's not breathing," said the operator.

"I can't hear you," responded Bailey, as chaos unfolded in the theater in Aurora, where Holmes -- clad in body armor and a mask -- threw at least one smoke-bomb type device before opening fire in the early hours of July 20.

The hearings opened Monday with officers choking back tears as they recalled scenes after the slaughter, which left 12 dead and 58 injured by gunshots at a packed midnight screening of the Batman film "The Dark Knight Rises."

The Aurora massacre revived the perennial US debate over gun control -- an issue re-ignited even more intensely by last month's shooting of 20 young children at a Connecticut elementary school.

Tuesday's hearing heard testimony from federal firearms supervisor Steven Beggs that Holmes made at least 16 purchases from May to July 2012 including four firearms, incendiary devices and almost 6,300 rounds of ammunition.

Holmes's lawyers could argue that he is mentally unfit to stand trial.

Defense attorney Tamara Brady asked Beggs: "Is there any process in Colorado to screen out purchases by a severely mentally ill person?"

"No," replied Beggs, who detailed the purchases made online and in person by Holmes.

FBI bomb technician Garrett Gumbinner said Holmes told investigators after being arrested that he had booby-trapped his apartment, in an attempt to draw emergency responders away from the theater shooting site.

Officers found a trip wire at the door of his home, rigged to set off flame and sparks that would catch the gasoline-soaked carpet and go on fire.

There were six-inch fireworks shells filled with improvised thermite, a hot-burning explosive.

"You can't put it out with water," Gumbinner told judge William Sylvester. There were also three containers of improvised napalm, 11 bottles of gasoline and other chemicals intended to act as fire accelerants, he said.

There were three systems in the apartment intended to initiate the explosive devices, including one linked to a trash bag near the apartment dumpster by a remote control.

Curious behavior by Holmes during police questioning was also recounted: At one point he tried to stick a metal staple into a power socket. At another he played hand puppets with gloves that had been put on him to preserve evidence.

Prosecutors are trying to build up their case that the shootings were a premeditated act of mass murder, and identifying Holmes as the lone shooter.

Supporting that strategy, Aurora police officer Tom Welton testified that Holmes made postings on two dating websites earlier in July, asking "Will you visit me in prison?"

Prosecutors wrapped up their evidence in the hearing by listing all the victims by name, the injuries they suffered and the charges -- more than 160 in all -- filed on behalf of each.

-AFP/ac



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