RPT-BHP may delay at least two mega projects to rein in spending
By Sonali Paul
MELBOURNE May 17 (Reuters) – BHP Billiton, the
world’s biggest miner, is likely to delay signing off on at
least two mega projects after its chairman put the brakes on an
$80 billion plan to grow the company’s iron ore, copper and
energy operations, analysts say.
Slumping commodity prices and escalating costs have squeezed
cash flows, pushing BHP to join rival Rio Tinto
in reconsidering the pace of their long-term expansion in
countries such as Australia and Canada.
“The major message is: ‘We can’t approve anything right now.
We don’t have a spare cent to spend,’” UBS analyst Glyn Lawcock
said.
In BHP’s bleakest outlook yet, Chairman Jacques Nasser said
on Wednesday the company expects commodity markets to
deteriorate further and that investors have lost confidence in
the longer-term health of the global economy.
Nasser stopped short of announcing a spending cut, but said
BHP was re-thinking its expansion plans “everyday” and that the
company won’t spend $80 billion over five years as outlined by
Chief Executive Marius Kloppers in 2011.
The miner was planning to finance the expansion with its
cash flows, which analysts forecast may fall 20 percent to
around $24 billion in the year ending June.
BHP has long maintained that it is committed to keeping its
single-A credit rating, another constraint on spending. As of
December, the company had net debt of $21.5 billion.
Three projects are vulnerable: the Outer Harbour development
at Port Hedland in Western Australia crucial to its iron ore
growth, the expansion of the Olympic Dam copper and uranium mine
in South Australia, and its Jansen potash project in Canada.
BHP has said it plans to take all three projects to
the board later this year and has not backed away from that yet.
Boart Longyear, the world’s largest exploration
drilling services contractor, said it has yet to see any
pullback from its major customers, which include BHP.
“Our bookings have remained constant over the last 12 to 18
months,” Chief Executive Craig Kipp told Reuters, but said he
expected the global environment to remain unstable for some
time.
“We’re being very cautious, keeping a conservative balance
sheet,” he said, echoing the view of major miners.
IRON ORE EXPANSION
Analysts and investors expect BHP to proceed with the Outer
Harbour development as the company’s iron ore operations are the
most profitable in its suite.
“Iron ore’s not vulnerable because they’re making very, very
good margins on that,” said Prasad Patkar, a portfolio manager
at Platypus Asset Management in Sydney, which owns BHP shares.
The Outer Harbour project is crucial if BHP was to double
iron ore production to 440 million tonnes a year.
BHP has stuck to its bullish view on China’s iron ore demand
in all its presentations. But this week, Kloppers said the
window of opportunity for miners to cash in on Chinese iron ore
demand growth would only last until 2025.
Given that it will take about three years to build the Outer
Harbour, if BHP starts construction in 2013, it will have about
a nine-year window to reap the benefits of a project that
analysts estimate will cost more than $20 billion.
Any delay to that will narrow the period for generating
returns, and if BHP’s forecast for Chinese demand turns out to
be overly rosy, that window will be even narrower.
“It’s difficult for them to delay the Outer Harbour
materially,” Lawcock said.
If the company did not go ahead with the Outer Harbour
expansion, UBS said in a note that its valuation on the company
would drop by $15 billion, or A$3 per share.
BHP shares closed at A$32.77 in Sydney on Thursday, just off
a near three-year low hit on Wednesday.
OLYMPIC DAM DELAY
BHP’s plan to get into the potash business by building the
$5 billion Jansen mine in Canada may be put on hold and the $10
billion initial expansion of Olympic Dam may be stretched out
over a longer period, analysts and investors said.
But no one expects the projects to face the axe.
“They’ll just limit how much they spend each year,” said
CLSA analyst Hayden Bairstow.
BHP would have to seek an extension from the South
Australian state government if it fails to commit to the Olympic
Dam project by December, or else it would lose its approvals for
the project.
The state remained optimistic on Thursday that BHP would go
ahead with the project, where it has already committed to spend
$1.2 billion to prepare for the expansion.
The project is designed to increase copper output more than
fourfold to 750,000 tonnes a year.
“We have always understood this is a big decision for them,”
state premier Jay Weatherill said in an e-mailed statement to
Reuters. “We are in regular contact with BHP and those
discussions remain positive.”
The government would be hard-pressed to deny BHP an
extension for starting the development, given that no one else
would be in a better position to take over the project, expected
to cost as much as $30 billion to fully develop.
“If the economics are not working for BHP, it’s unlikely to
work for Rio, Anglo or Xstrata,” said Patkar,
referring to BHP’s main copper rivals.
BHP wants to expand into potash for agriculture eventually,
but sees that as a longer-term prospect as places like China and
India move away from rapid industrial expansion to
consumer-driven growth.
Analysts said any delays on Olympic Dam or Jansen would not
affect their forecasts for the company as they have not included
those projects in their numbers yet.
STOCKS NEWS THAILAND-Lam Soon surges on crude palm oil quota report
Shares in cooking palm oil producer Lam Soon (Thailand)
gained as much as 10.3 percent to their highest in almost a year
after a report that it was among a list of firms receiving
allocation of the government’s low price crude palm oil import.
Lam Soon was up 9.36 percent at 4.44 baht ($0.14), climbing
at one point to 4.48 baht ($0.14).
The government had imported low-price crude palm oil and
allocated it to 10 cooking palm oil producers to sell to
consumers at a controlled price, Thansettakij newspaper quoted a
source as saying.
Lam Soon was not available for comment.
1401 (0701 GMT)
(Reporting by Viparat Jantraprap in Bangkok; Editing by
Nick Macfie;)
************************************************************
13:07 STOCKS NEWS THAILAND: Aira raises Bangkok Chain
Hospital target price
Aira Securities raised its target price on hospital firm
Bangkok Chain Hospital Pcl KH.BK to 9.80 baht ($0.31) from 9.2
baht ($0.29), reflecting a better-than-expected quarterly
earnings and an earnings upgrade for the year.
The broker reiterated a speculative buy rating on the stock.
At the midsession break of 0530 GMT, Bangkok Chain shares were
up 1.1 percent at 9.2 baht ($0.29).
The broader SET index .SETI was up 0.62 percent.
Its January-March net profit rose by half to 224 million
baht ($7.12 million), 13 percent above the broker’s estimate,
thanks to strong earnings from patients insured under the
government’s social security scheme.
“To reflect the profitability from the social security
section, we revise up 2012 and 2013 earnings forecasts to 864
million baht ($27.5 million) and 1 billion baht ($31.8 million),
up 28 percent and 16 percent, respectively,” Aira said in a
report.
For the company statement, click (nSETlVk8pa)
1258 (0558 GMT)
(Reporting by Viparat Jantraprap in Bangkok; Editing by
Jacqueline Wong; viparat.jantraprapaweth@thomsonreuters.com)
($1 = 31.48 baht)
After Sentence to Write Sentences, Man Ends Legal Chapter
By PETER LOFTUS
When former pharmaceutical executive Andrew G. Bodnar pleaded guilty to white-collar crime in 2009, the judge didn’t throw the book at him—he ordered him to write one.
Reflect upon “the criminal behavior in this case so that others similarly situated may be guided in avoiding such behavior,” said the judgment from U.S. District Judge Ricardo M. Urbina in Washington. And make it 75,000 words.
The finished book, written during Dr. Bodnar’s two-year probation, has been submitted into the court record. His lawyer—who says he had never heard of such a punishment for a crime—says the former Bristol-Myers Squibb executive has now completed his sentence, in a case in which he was accused of providing false information to regulators. The charge stemmed from negotiations with a generic drug company seeking to copy Bristol’s blockbuster blood thinner, Plavix.
Dr. Bodnar, 64 years old, didn’t serve any jail time. He was ordered to pay a $5,000 fine and serve two years of unsupervised probation, with a “special condition” that he write the book.
Upon reflection, the former Harvard English major isn’t so sure his experience could serve as a cautionary tale for others.
“This hell is so particular, that no judge’s order could ever generalize it,” writes Dr. Bodnar in his tome.
Setting out to tell his tale, he contemplated the literary works of several greats. In a prologue he writes that he considered “Call me a Schlemiel.” Or, “It was the worst of times,” as opening lines.
In the book, Dr. Bodnar describes reading Dickens’ “David Copperfield” as a child. At Harvard, he wrote his honors thesis on “The End of Life in Dickens.” Other literary influences, says his lawyer, include Dostoevski, Joseph Conrad and John Updike.
The sweeping 253-page manuscript details Dr. Bodnar’s life from his escape from his native Hungary after the Soviet invasion of 1956, to his dust up with law enforcement over Plavix’s patent.
The Justice Department had a “mistaken belief that I had made a statement to the government that I knew to be false,” wrote Dr. Bodnar, who declined to be interviewed for this article. He wrote that the Justice Department “was not averse to destroying an innocent life.”
A Justice Department spokeswoman declined to comment on the contents of Dr. Bodnar’s book, or to say whether prosecutors had read it.
The book includes colorful characters like “a tough U.S. Attorney” named Chris Christie, who questioned Dr. Bodnar in connection with the Plavix case. The exchange took place just a few years before Mr. Christie would rise to national political stardom as the governor of New Jersey. Dr. Bodnar describes undergoing “animated and intensive questioning” from Mr. Christie.
A spokesman for Mr. Christie said Dr. Bodnar’s description of their interaction was accurate.
The book is told in a series of third-person flashbacks to his immigrant success story—as an eight-year-old he hid in a hay cart and dashed across a bridge to escape Hungary to Austria—juxtaposed with a first-person, behind-the-scenes account of the Plavix case.
The manuscript was electronically entered into the court docket in October, making it available through the federal court system’s Public Access to Court Electronic Records.
Dr. Bodnar currently has no plans to find a publisher, according to his lawyer.
It isn’t uncommon for judges to mete out unconventional sentences.
In April, an Alabama circuit court judge ordered a man accused of receiving stolen property to serve three days in jail for contempt of court for wearing sagging pants during a hearing. In 2008, a housing-court judge in Cleveland, Ohio, ordered a landlord accused of building-code violations to serve six months of house arrest in one of his dilapidated rental properties.
Since the 1990s, a municipal judge in Fort Lupton, Colo., has sounded off on teenagers accused of blasting too-loud music. His prescription calls for them to listen to the ballads of crooners like Barry Manilow.
Still, compelled authorship strikes some legal experts as highly unusual. “I’ve never seen anyone be ordered as a condition of probation to write a book,” says Brien O’Connor, a former federal prosecutor who is now a white-collar criminal defense attorney. Mr. O’Connor, who isn’t involved in Dr. Bodnar’s case, sees an element of “public shaming” to the sentence.
Judge Urbina declined to comment.
Plavix, used to ward off heart attacks and strokes in people with cardiovascular disease, is one of the best-selling drugs in history. The drug’s $6.8 billion in U.S. sales last year, as tallied by IMS Health, ranked second behind Pfizer Inc.’s Lipitor cholesterol pill. But Plavix will lose U.S. patent protection on May 17, which will trigger competition from generic drug makers.
Dr. Bodnar’s story hearkens to a time when Plavix’s success was in peril.
Another drug maker, Apotex, wanted to sell a generic copy of Plavix years before the patent was to expire. Dr. Bodnar, then a senior vice president at Bristol-Myers, helped negotiate a proposed agreement of patent litigation in 2006.
But the deal required antitrust clearance from the U.S. Federal Trade Commission and state regulators. That is when Dr. Bodnar entered a new chapter of his life.
Dr. Bodnar signed a certification verifying with the FTC certain aspects of the proposed settlement. Later the Justice Department alleged Dr. Bodnar had made oral representations to an Apotex executive that weren’t spelled out in the written agreement—contradicting the signed certification.
In the book, Dr. Bodnar writes that he learned during a business trip in July 2006 that FBI agents were raiding his office at Bristol-Myers’s Park Avenue headquarters.
“Chaos reigns but, as I will soon learn, this is as nothing compared to the vacuum that is about to suck the air from my every breath for years to come,” Dr. Bodnar writes of that day.
A Bristol-Myers spokeswoman declined to comment on the contents of Dr. Bodnar’s book. An Apotex spokesman also declined to comment.
The proposed Plavix patent settlement fell apart. Dr. Bodnar left Bristol-Myers in 2007, shortly before the company pleaded guilty to providing false statements to the government and paid a $1 million fine.
In 2009, Dr. Bodnar pleaded guilty to providing a false certificate to the government.
Dr. Bodnar reiterates in his book that he believed the certification to be true at the time he signed it.
The process of writing the book triggered “intensive introspection” for Dr. Bodnar, says his lawyer Elkan Abramowitz.
Indeed, the last line of the book flirts with destiny: “I have my brief ready for submission to my next judge.”
A version of this article appeared May 16, 2012, on page A1 in the U.S. edition of The Wall Street Journal, with the headline: After a Sentence to Write Sentences, Dr. Bodnar Ends a Legal Chapter.
Too Easy on the Queen?
By RICHARD HOLLEDGE
London
To celebrate her 21st birthday in April 1947, the British magazine Punch commissioned a cartoon of Princess Elizabeth. Drawn by E.H. Shepard, better known for his whimsical illustrations of Winnie the Pooh, she is in a summery dress, clutching a bouquet from her grateful subjects—an array of fairies with messages reading Happiness, Peace, Prosperity. In its sweet way it was a breakthrough. It was the first depiction of the future queen in cartoon form and reflects a respect for the monarchy that would be inconceivable today.
Or does it?
As one of the many events to celebrate Elizabeth II’s Diamond Jubilee, London’s Cartoon Museum is staging “Her Maj: 60 Years of Unofficial Portraits of the Queen,” which displays work by 30 members of that most independent-minded, left-leaning, antiestablishment bunch: British newspaper and magazine cartoonists. Many would see themselves in the tradition of James Gillray and Thomas Rowlandson, who traduced politicians and monarchs alike with boisterous savagery in the 18th and 19th centuries. Kenneth Baker, one of Margaret Thatcher’s ministers (himself cruelly satirized as an obsequious snail) and now an avid cartoon collector, notes with considerable relish: “The King Georges were shown fornicating, vomiting and defecating. There was no quarter.”
But as the museum’s curator Anita O’Brien says: “Even before the queen came to the throne, caricatures of the royal family had become out of bounds. In 1923, when the queen’s father and mother married, Punch depicted them taking off in a plane—but only from behind. When George VI became king in 1936, the magazine reproduced the same cartoon. It had published nothing else of the royal couple in between.
Her Maj: 60 Years of Unofficial Portraits of the Queen
The Cartoon Museum
Through April 8
“That tradition stayed with the queen,” says Ms. O’Brien. “She does not appear at all in the early cartoons. She would be hidden in a coach or shown from behind or, at best, in profile.”
In a Michael Cummings sketch of the coronation in 1953, an American is seen daydreaming about its panoply of horses, carriages and guards—but of the new queen, not a glimpse. In fact, the drawing tells us more about British stereotyping of Americans and their predilection for the Royal Family.
“Stop, Elmer, stop!” says his wife. “You’re dreaming that un-American dream again.”
The attitude changed in 1968 when Prince Philip persuaded a reluctant queen to let the television cameras behind palace doors for a fly-on-the-wall program. What mystique the family had was lost overnight as it was revealed in all its splendor—and its ordinariness.
The anarchic Ralph Steadman immediately portrayed the royals as the dysfunctional family next door for the satirical magazine Private Eye. The queen is in an apron; a lank-haired Charles is hunched over a guitar; his lumpy sister, Anne, looks on grumpily while their brother Andrew picks his nose. Carl Giles of the Sunday Express felt he could now show the royal couple at home in vast, separate four-poster beds or at breakfast in their bathrobes.
Despite this liberation the queen remains a passive figure, sought out only if there is a crisis in the Commonwealth, a row over royal finances or a controversial state occasion such as the visit of the much-reviled Japanese Emperor Hirohito in 1971. At the formal dinner, Mac of the Daily Mail has a manservant placing a boot on Hirohito’s plate. Philip says to him: “I don’t care what you ate during the war, Perkins, the Emperor will have venison like the rest of us.”
We don’t know how the queen reacts, because her back is to the observer.
Come the 1990s, the press and the public turned against the royals as they became mired in financial woes and riven by the divorce of Charles and Diana. But even then, the monarchy—the institution rather than the erring royals—was portrayed more in sorrow than satire. Nicholas Garland showed its members as an Endangered Species, bereft in long grass like hunted animals poised on extinction.
Surprisingly perhaps, unkind images of the queen are few. Trog, aka Wally Fawkes, has her as a jolly knockabout figure with tombstone teeth pulling pints in the bar of the TV soap “EastEnders,” but the angry brigade, Martin Rowson and Steve Bell of the Guardian and Dave Brown of the Independent, emphasize the grotesque. Mr. Rowson shows the queen in 1987 with curling lips and a bulbous nose receiving Margaret Thatcher, but the target is not Her Majesty but the then prime minister—a sharp-nosed harpy with Cruella de Vil talons. Even the royal pet corgi is snarling at her as if a surrogate for its mistress’s irritation.
Peter Brookes of the London Times, perhaps the cleverest of the contemporary lot, says: “It is when the queen is involved with politics that the stories crop up. That’s why the Gillrays and Rowlandsons had a go—the monarchy was political in those days and a fair target. I am ambivalent about the monarchy. My head tells me that it is a nonsense but my heart completely disagrees. That’s why I don’t actively seek reasons for drawing her, because I know I shall be pulling my punches.”
One of his contributions to the exhibition has Queen Elizabeth and Prince Philip dressed to the nines in a song-and-dance parody of Irving Berlin’s “We’re a Couple of Swells.”
“I know it’s gentle,” he says, “but there is nothing to be vicious about. There’s no point in putting an exhibition together of attacks on the queen, because you’d just have bare walls.”
Maybe the attitude to Her Maj is summed up by Martin Honeysett, who portrayed the Queen Elizabeth and Prince Philip heroically line dancing during the state visit to Ireland in 2011.
An onlooker says: “Well, I think the Queen is trying really hard.”
Mr. Holledge is a freelance arts writer based in the U.K.
A version of this article appeared February 22, 2012, on page D5 in the U.S. edition of The Wall Street Journal, with the headline: Too Gentle on the Queen?.
Consultant Beefs Up His Résumé
By EILEEN GUNN
Bored with management consulting, Gabriel Turner turned his love for his native Uruguay’s beef into a passionate, more entrepreneurial career.
Mr. Turner, who was born in Uruguay but moved to the U.S. as a toddler, started out at a large consulting firm after college. After a few years, he found he wasn’t getting the breadth of experience he’d expected. “I wasn’t passionate about it, and it wasn’t something I saw myself doing forever,” he says.
By March 2007, he was having serious second thoughts. Around the same time, he also had a steak dinner that would seal his second act. The San Francisco restaurant where he dined had posted a sign saying it served Uruguayan grass-fed beef from a company called Estancia.
Mr. Turner had vacationed on his uncle’s Uruguayan cattle ranch, and held his native country’s beef in high esteem. He’d also taken classes in food science and international food policy as an undergrad at the University of California at Berkeley, sparking his interest in sustainable food. He believed Uruguay’s free-range ranching techniques fit that trend; he’d even brought the idea up to his dad, seeking fatherly advice. But his father said he couldn’t see the concept working. So when Mr. Turner saw the restaurant’s sign, he was intrigued that someone else had found a way to do it.
He spent the next several weeks trying to track down Estancia’s owner, Bill Reed, leaving numerous voice mails in the hopes of landing a meeting. Finally, Mr. Reed agreed to meet for coffee in early April. Amid a conversation touching on everything from Mr. Reed’s expansion plans, to their mutual interest in eco-food writer Michael Pollan, to sustainable food, Mr. Turner became convinced that he wanted to work with Mr. Reed. “He told me he didn’t have a job [open], but I walked away thinking if I pushed, maybe there could be one,” Mr. Turner recalls.
The two kept in touch. And a month later in one of their chats, Mr. Reed mentioned that he wanted to persuade customers that beef from free-range cows in South America had a smaller environmental impact as beef from industrial U.S. farms — despite the greater shipping distances. Mr. Turner offered to crunch the numbers for him free.
Mr. Reed was impressed. “I finally realized that his understanding of the industry and our product would help him sell our program to often skeptical butchers and chefs,” Mr. Reed says. In July 2007, Mr. Reed offered him a job in Los Angeles. Saying yes meant major changes for Mr. Turner — including a 60% pay cut and leaving behind his life in San Francisco.
He set to work peddling beef to restaurants and gourmet grocery stores, while also staging cooking demonstrations, talking with the local food press, and helping to organize educational trips to Uruguay for chefs. In consulting, “I didn’t get to know the big picture of what a department or company was doing,” he says. “Here, I have my hands in everything.”
He visited butchers to learn from them so he would be able to speak more knowledgeably about different cuts of meat. He read up on sustainable agriculture. And he had to learn how to crack a new market. That wasn’t always easy; after a particularly bad day chasing fruitless leads, he recalls thinking, “I’m not a good salesperson.”
Today, 30 Los Angeles restaurants and specialty markets carry Estancia beef, says Mr. Turner. Meanwhile, Mr. Turner has enrolled at Harvard Business School to hone the skills he needs to continue on his career path and to learn about sustainable business more formally.
He is keeping in close touch with Mr. Reed while he is at school. For starters, he is expanding on the first project he did for Mr. Reed, developing a detailed carbon-footprint report for Estancia. And when Mr. Reed brings his product to the East Coast, something he hopes to do in 2009, Mr. Turner plans to help with the marketing and business development.
Mr. Turner, now 25, says he might stay with Estancia, but “could see starting my own company,” after graduation. “The more I think about it, the more I’d like it to be in the sustainable foods industry and working with Uruguay if possible.”
Printed in The Wall Street Journal, page D5
When Old Stars Try to Be New Again
By ERIC FELTEN
The end of March saw two new albums by well-established (which is nicer than saying long-in-the-tooth) pop artists—Madonna’s “MDNA,” and Lionel Richie’s “Tuskegee.” Madonna’s disc of new rave electronica debuted at No. 1 on the Billboard album chart. Mr. Richie’s disc—a collection of his old hits, but now country-fried with Nashville stars—came in at No. 2. Then something remarkable happened. Madonna achieved a notoriety even more embarrassing than her commodified sexuality—her disc took one of the biggest tumbles ever for an album opening at the top. Second-week sales collapsed by more than 86%. And in the weeks since, the decline has only deepened, with “MDNA” now languishing at No. 34 on the chart. Mr. Richie’s record, by contrast, climbed to No. 1, where it has held pride of place for the last two weeks.
What explains Madonna’s epic fail and Mr. Richie’s surprise success?
It can’t be entirely a matter of promotion. After all, in the lead-up to her disc’s release, Madonna had no less a showcase than the Super Bowl halftime. In a pageant that could have been choreographed by Caligula in collaboration with the Beijing Olympic committee, she featured the lead single from the new album (a song that enjoyed added attention thanks to the obscene gesture delivered by a guest rapper). Think of the show as an informercial for “MDNA”: Given what advertising time costs during the Super Bowl, it’s been estimated that Madonna’s halftime spot was a promotional opportunity worth more than $80 million.
Mr. Richie’s televised promotion was rather modest by comparison—he appeared for an hour on the Home Shopping Network.
Nor does the quality of the music explain it all. Those who go in for Madge’s sort of stuff haven’t been howling that her newest installment of computer-generated thumping isn’t up to snuff. As for Mr. Richie’s collection, though nothing extraordinary, it’s a pleasant reworking of his standard repertoire. (And before you scoff at an aging soul crooner trying twang on for size, keep in mind that the melodic pop Mr. Richie specializes in translates well to the melody-friendly language of country music.)
So what explains the dramatic divergence in the discs’s fortunes? The answer, I think, can be found in the basic question of old vs. new. Mr. Richie found a way to freshen up his “greatest hits.” Madonna is trying to sell new music. Fans of long-established artists may tolerate new works, may even buy them, but rarely do so with the enthusiasm they reserve for the back catalog. Typical is the friend who bragged to me last month she had scored good seats for a coming Bruce Springsteen concert—who then rolled her eyes and said with resignation, “Though, I hear he’s doing lots of material off his new CD….”
Why is it so hard for veteran stars to sell their abundant fans on new music?
Exceptions are rare—Cher scored No. 1 singles more than 33 years apart (“I Got You Babe” in 1965 and “Believe” in 1999). Louis Armstrong managed to keep adding hits to his catalog throughout his long career. Pops was well into his 60s when, in May 1964, he displaced the Beatles from the top of the Billboard singles chart, a spot they had owned for more than three months. Maybe Madonna should cut a cover of “Hello, Dolly.”
Even a songwriting performer of Duke Ellington’s stature and endurance saw his hit-smithing fizzle. When Ellington’s faltering career was revived at the 1956 Newport Jazz Festival, it was not because of the new suite he had written for the occasion, but thanks to a rollicking performance of a decades-old standby, “Diminuendo and Crescendo in Blue.”
One would think that legendary artists would have every advantage needed to put across new hits—they are brands, after all, with large and loyal consumer bases. So why do they struggle so with new product lines? Is it that performers lose their knack for good new tunes? Or is the fault with us, the listeners, that as we get older we lose our ability to connect with new music? Maybe learning to like a song is like learning a new language—it gets harder as we age.
I suspect both play a part—the muse gets weary and the audience gets diffident. But there could also be a Catch-22 at work: If the established musician does something really fresh, her audience is unhappy she’s strayed from what they know and like. But if she keeps doing new songs in the same vein as the old, why should the listener bother with the new release, the old favorites being the perfect expression of the old style?
Mr. Richie managed to escape the conundrum by doing the old favorites in a new way. We’ll see if Madonna is ultimately driven to adopt the same strategy—though I shudder to think how “Like a Virgin” will sound with fiddle and steel guitar.
A version of this article appeared May 4, 2012, on page D10 in the U.S. edition of The Wall Street Journal, with the headline: When Old Stars Try to Be New Again.
Miami Ranks in Top 25 U.S. Cities with the Most ENERGY STAR Buildings
Release Date: 04/11/2012Contact Information: Dawn Harris-Young, (404) 562-8421, harris-young.dawn@epa.gov
ATLANTA – Today, the city of Miami was listed as 1 of 25 cities with the greatest number of energy-efficient buildings that earned the Environmental Protection Agency’s (EPA) Energy Star certification in 2011.
Energy Star labeled buildings in Miami achieved significant reductions in their energy bills and greenhouse gas emissions. These buildings represent more than 20 million square feet and will save nearly $19 million annually in energy costs while preventing greenhouse gas emissions equal to the emissions of 2,800 homes a year. Energy Star buildings and plants are America’s energy all-stars – they save more, use less and help reduce greenhouse gas emissions.
By the end of 2011, the nearly 16,500 Energy Star certified buildings across America have helped save nearly $2.3 billion in annual utility bills and prevent greenhouse gas emissions equal to emissions from the annual energy use of more than 1.5 million homes.
First released in 2008, the list of cities with the most Energy Star certified buildings continues to show how cities across America, with help from Energy Star, are embracing energy efficiency as a simple and effective way to save money and prevent pollution. Los Angeles has remained the top city since 2008, while Washington, D.C. continues to hold onto second place for the third year in a row. Atlanta moved up from the number six spot in 2010 to third place this year and Boston and Riverside broke into the top ten. Tampa, Fla., Colorado Springs, Colo. and Salt Lake City all are new to the list in 2011. California has six cities on the 2011 list—more than any other state.
Energy use in commercial buildings accounts for nearly 20 percent of U.S. greenhouse gas emissions at a cost of more than $100 billion per year. Commercial buildings that earn EPA’s Energy Star must perform in the top 25 percent of similar buildings nationwide and must be independently verified by a licensed professional engineer or a registered architect. Energy Star certified buildings use an average of 35 percent less energy and are responsible for 35 percent less carbon dioxide emissions than typical buildings. Fifteen types of commercial buildings can earn the Energy Star, including office buildings, K-12 schools, and retail stores.
Launched in 1992 by EPA, Energy Star is a market-based partnership to reduce greenhouse gas emissions through energy efficiency. This year marks Energy Star’s 20th anniversary. Over the past 20 years, with help from Energy Star, American families and businesses have saved about $230 billion on utility bills and prevented more than 1.7 billion metric tons of carbon pollution. Today, the Energy Star label can be found on more than 60 different kinds of products and more than 1.3 million new homes.
More on the 2011 top cities: http://www.energystar.gov/TopCities
More on Energy Star certified buildings: http://energystar.gov/buildinglist
More about earning the Energy Star for commercial buildings: http://energystar.gov/labeledbuildings
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Claim Refunds for 2008
By TOM HERMAN
It’s understandable that many people will look for almost any excuse to put off the mind-numbing task of figuring out their taxes and filing their returns on time.
But some ultra-procrastinators have fallen several years behind—and now are in danger of losing valuable refunds.
The Internal Revenue Service recently estimated that refunds totaling more than $1 billion may be waiting for nearly 1.1 million people who still haven’t filed their federal income-tax returns for 2008.
To collect, these individuals typically must file their return for 2008 no later than April 17 this year. That is only about one month from now. (The tax-filing deadline this year is April 17 because April 15 falls on a Sunday, and April 16 is a holiday in Washington, D.C.)
“In cases where a return was not filed, the law provides most taxpayers with a three-year window of opportunity for claiming a refund,” according to the Internal Revenue Service. “If no return is filed to claim a refund within three years, the money becomes property of the U.S. Treasury.”
If you need prior years’ tax forms and instructions, go to the IRS website (www.irs.gov). Look on the forms and publications page. Or you can call 800-829-3676.
The IRS says taxpayers seeking a 2008 refund may have their checks held if they haven’t yet filed returns for 2009 and 2010. “In addition, the refund will be applied to any amounts still owed to the IRS, and may be used to offset unpaid child support or past due federal debts such as student loans,” the IRS says.
Write to Tom Herman at tom.herman@wsj.com
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