Showing posts with label New York Times. Show all posts
Showing posts with label New York Times. Show all posts

November 23, 2009

Ask NY Times for a Fact Check

Some people have questioned whether or not US has actually invested $53 billion for relief and reconstruction in Iraq since 2003, as recently reported by the NY Times. We've all read articles about government auditors reporting billions of missing funds, overcharges, etc. So, GLH Blog questions whether the NY Times has done its fact-checking when reporting this $53 billion.

Here's a simple thing we can do together:

Send a letter to the editor of the NY Times asking them to do the following:

1) publish a summary cost accounting of the $53 Billion in projects and

2) make available the backup documentation on-line.

For Your Convenience:

Letters@NYTimes.com

Sources:

GLH Blog

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May 13, 2009

Good Byebee

Torture memo attorney Jay Bybee is pretty far gone on his way toward resignation or impeachment from his federal judgeship. This is reflected in the "LIBERAL" NYTimes Editors calling for Bybee's impeachment on April 18. They wrote in reference to the torture memos,

"These memos make it clear that Mr. Bybee is unfit for a job that requires legal judgment and a respect for the Constitution."

I think it's over for him..... Good Byeee Bee.

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December 9, 2008

New York Times Complicit

Did you hear that White House National Security Adviser Stephen Hadley disputed the accuracy Monday morning of an editorial that ran in the Sunday New York Times?

The Times had written,

The truth is that Mr. Bush, Mr. Cheney and Defense Secretary Donald Rumsfeld had been chafing to attack Iraq before Sept. 11, 2001... They justified that unnecessary war using intelligence reports that they knew or should have known to be faulty. And it was pressure from the White House and a highly politicized Pentagon that compelled people like Secretary of State Colin Powell and George Tenet, the Central Intelligence director, to ignore the counter-evidence and squander their good names on hyped claims of weapons of mass destruction.

The White House response should have been, "We were simply stating what the The New York Times was reporting. In fact, Mr. Cheney regularly quoted the New York Times reporters Judith Miller and Michael Gordon on Sunday talk shows."

The establishment media is as rotten as the establishment financial system. We can only hope it collapses along with the corrupt speculators.

Update: No longer had the words left my keyboard and DemocracyNow reported the following headline news.

Tribune Company Declares Bankruptcy

In media news, Monday was a turbulent day for the newspaper industry. The Tribune Company filed for bankruptcy. The company’s holdings include the Los Angeles Times, Chicago Tribune, Baltimore Sun, twenty-three television stations and the Chicago Cubs. Meanwhile, the McClatchy Company has put the Miami Herald up for sale, and the New York Times Company has announced plans to borrow up to $225 million against its mid-Manhattan headquarters building to ease a potential cash flow squeeze.


More...
Psssst... Do Something

Sources:

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December 7, 2008

Counting Those Who Have Given Up on Employment

The following is a revised version of my June 7, 2008 post.

Peter Goodman writes...

The unemployment rate does not count people who have given up looking for work. Over all, the percentage of working age Americans employed dropped to 62.6 percent in May from 63 percent a year earlier.

That means nearly 40% are unemployed. Even if one argues that 10% of these unemployed people are unemployable, due to health or other legitimate reasons, the real unemployment figure in the US is closer to 30% not 5% as we are lead to believe.

The figure below, which shows the percentage of adults employed, verifies the rough 40% figure. Some might be thinking, "How can these numbers be so different than the government statistics?" Kevin Phillips' book Bad Money: Reckless Finance, Failed Politics and the Global Crisis of American Capitalism explains how. Chapter 3, entitled, "Bullnomics: Favoratism and Fictions," outlines the manipulation of key economic indicators and the implications. For example, many cost-of-living adjustments are tied to government inflation statistics. By keeping the inflation statistic artificially low, retired people's cost-of-living adjustments are suppressed.



Goodman's Article is worth reading. The in the New York Times publication of his article is a rare example of the establishment media acknowledging a distinction between the Main Street economy and the Wall Street economy. (Rembember comment was written in June 2008 before the meltdown).

Psssst... Do Something

Sources:

New York Times, Job Losses and Surge in Oil Spread Gloom on Economy, Peter S. Goodman, June 7, 2008.

Lead to St. Louis Fed graphic: Paul Krugman's December 6, 2008 blog post.

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April 24, 2008

Shareholders Seek Compensation from Tainted Military Analysts

Some General Electric shareholders are questioning whether CNBC should sue for cost recovery from military analysts who knowingly portreyed Pentagon talking points as their own independent views. This misrepresentation has seriously damaged the credibility of the company, as exemplified in this letter to the editor of the Seattle Times.

Shareholders of News Corporation, owner of Fox News, have greater concerns; Fox is being tied to by far the most number of tainted military analysts.

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April 23, 2008

Americans: Target of Military Psychological Warfare

[This blog entry is still under development]

It's more than a scandal. It's military psychological operations (psyops) illegally directed at American citizens. The Pentagon's use of biased retired military officers on television is a deliberate effort to undermine civilian rule, which constitutes a threat to our democracy. (MORE).

Below are brief profiles and photos of the participants in this military propaganda campaign. They include the so-called the "military analysts," bush administration officials, and media executives.

Thanks to the liberal newspaper, the New York Times, we now know many details about what we already knew was happening. Former military officers were hand-picked by the White House to attend invitation-only briefings. Afterwards they knowingly spread Bush administration talking points via the corporate media, and continue to do so:
From the start, interviews show, the White House took a keen interest in which analysts had been identified by the Pentagon, requesting lists of potential recruits, and suggesting names. [Pentagon assistant secretary of defense for public affairs] Victoria Clarke's team wrote summaries describing their backgrounds, business affiliations and where they stood on the war.

The hand-picked TV "military analysts" were invited to take Pentagon-funded trips, following which they echoed Pentagon talking points on TV as paid "experts." The success of this domestic propaganda operation is exemplified in the following correspondence:

“We’re hitting a home run on this trip,” a senior Pentagon official wrote in an e-mail message to Richard B. Myers and Peter Pace, then chairman and vice chairman of the Joint Chiefs of Staff.
“Rumsfeld ultimately cleared off on all invitees,” said senior Clarke aide Brent Krueger, who left the Pentagon in 2004.

As exemplified in the personal narratives below, the vast majority of the hand-picked Pentagon pundits often had conflicting business interests profiting from the war.

Beyond the miss-conduct of many of these these analysts as individuals, Pentagon officials might have violated fundamental laws. US laws prohibit the use of US military propaganda on Americans. The rationale for these laws rests on the basic democratic principle of ensuring civilian primacy over the military.

Kenneth Allard, a former NBC military analyst who has taught information warfare at the National Defense University, said the campaign amounted to a sophisticated information operation. “This was a coherent, active policy,” he said.





Robert S. Bevelacqua, a retired Green Beret, is one of the Fox News participants who is speaking out against the Pentagon's domestic propaganda operation. “It was them saying, ‘We need to stick our hands up your back and move your mouth for you.’ ” More: Bevelacqua comments on WMD.



James T. Conway, then director of operations for the Joint Chiefs, presided over a conference call with analysts following the death of 14 Marines on August 3, 2005. He urged them, a transcript shows, not to let the marines’ deaths further erode support for the war.

“The strategic target remains our population,” General Conway said. “We can lose people day in and day out, but they’re never going to beat our military. What they can and will do if they can is strip away our support. And you guys can help us not let that happen.”

William V. Cowan, a Fox analyst and retired Marine colonel, was the chief executive of a new military firm, the wvc3 Group (More). At the time, the company was seeking contracts worth tens of millions to supply body a
armor and counterintelligence services in Iraq. (See Carlton Sherwood)


Wayne A. Downing (deceased), one of NBC’s most prominent analysts, was on the advisory board of the Committee for the Liberation of Iraq, an advocacy group created with White House encouragement in 2002 to help make the case for ousting Saddam Hussein. He also had his own consulting firms and sat on the boards of major military contractors.

Timur J. Eads, a retired Army lieutenant colonel and Fox analyst who is vice president of government relations for Blackbird Technologies, a fast-growing military contractor. Mr. Eads said he had at times held his tongue on television for fear that “some four-star could call up and say, ‘Kill that contract.’ ” For example, he believed Pentagon officials misled the analysts about the progress of Iraq’s security forces. “I know a snow job when I see one,” he said. He did not share this on TV.

John C. Garrett is a retired Marine colonel and unpaid analyst for Fox News TV and radio. He is also a lobbyist at Patton Boggs who helps firms win Pentagon contracts, including in Iraq. His promotional materials state he “is privy to weekly access and briefings with the secretary of defense, chairman of the Joint Chiefs of Staff and other high level policy makers in the administration.” Mr. Garrett displayed an eagerness to be supportive with his television and radio commentary. “Please let me know if you have any specific points you want covered or that you would prefer to downplay,”

David L. Grange, a retired Army general and CNN analyst.










Robert L. Maginnis, a retired Army lieutenant colonel who works in the Pentagon for a military contractor, recalled feeling “very disappointed” after being shown satellite photographs purporting to show bunkers associated with a hidden weapons program. Mr. Maginnis said he concluded that the analysts were being “manipulated” to convey a false sense of certainty about the evidence of the weapons.

James Marks, a retired Army general and analyst for CNN from 2004 to 2007, pursued military and intelligence contracts as a senior executive with McNeil Technologies.

Barry R. McCaffrey, one of NBC’s most prominent analysts, was on the advisory board of the Committee for the Liberation of Iraq, an advocacy group created with White House encouragement in 2002 to help make the case for ousting Saddam Hussein. He also had his own consulting firms and sat on the boards of major military contractors. He was also involved with the Committee for the Liberation of Iraq.


Jeffrey D. McCausland, appears on CBS TV and radio. He is a defense industry lobbyist. He has been a frequent commentator on the war in Iraq and Afghanistan for CBS since 2003. In this capacity he has been quoted in the New York Times, Washington Post, Boston Globe, and Christian Science Monitor. He has appeared on the CBS Evening News, Morning Show, and Up to the Minute. He has also appeared on CNN Morning Show, CSPAN Booknotes, MSNBC, and Al Jazeera. [1]

“Good work,” Thomas G. McInerney, a retired Air Force general, consultant and Fox News analyst, wrote to the Pentagon after receiving fresh talking points in late 2006. “We will use it.”







Montgomery Meigs, a retired Army general and NBC analyst, appeared on “Today” after being flown to Guantanemo by the Pentagon. “There’s been over $100 million of new construction,” he reported. “The place is very professionally run.”






William L. Nash, a retired Army general and ABC analyst, with no defense industry ties, and no fondness for the administration, was reluctant to be critical of military leaders, many of whom were friends. “It is very hard for me to criticize the United States Army,” he said. “It is my life.” However, in April 2006, after an emergency briefing of seventeen analysts with Secretary of Defense Donald Rumsfeld in the midst of the "Generals' Revolt," Nash was repulsed. “I walked away from that session having total disrespect for my fellow commentators, with perhaps one or two exceptions."

Joseph W. Ralston is a retired Air Force general. Soon after signing on with CBS, General Ralston was named vice chairman of the Cohen Group, a consulting firm headed by former defense secretary William Cohen.






Carlton A. Sherwood executive vice president the wvc3 Group. At the time, the company was seeking contracts worth tens of millions to supply body armor and counterintelligence services in Iraq. (See William Cowan)





Robert H. Scales Jr., a retired Army general and analyst for Fox News and National Public Radio, heads a consulting company that advises several military firms on weapons and tactics used in Iraq. He exchanged e-mail messages with the Pentagon that reveal an implicit trade of privileged access for favorable coverage. “Recall the stuff I did after my last visit,” he wrote. “I will do the same this time.”

Donald W. Shepperd, a retired Air Force general, was flown to Guantanamo Cuba to tour the prison after abuse claims were raised. He reported live on CNN by phone from Guantánamo stating that “The impressions that you’re getting from the media and from the various pronouncements being made by people who have not been here in my opinion are totally false.”






Paul E. Vallely, a Fox News analyst from 2001 to 2007. A retired Army general who had specialized in psychological warfare. “We lost the [Vietnam] war — not because we were outfought, but because we were out Psyoped,” he wrote. He urged a radically new approach to psychological operations in future wars — taking aim at not just foreign adversaries but domestic audiences, too. He called his approach “MindWar” — using network TV and radio to “strengthen our national will to victory.” (At least he's willing to admit we lost the Vietnam War.)



... and on the Government Side

Victoria (Torie) Clarke, the former public relations executive who oversaw the Pentagon’s dealings with the analysts as assistant secretary of defense for public affairs, had come to her job with distinct ideas about achieving what she called “information dominance.”




Lawrence Di Rita, one of Mr. Rumsfeld’s closest aides, said in an interview that a “conscious decision” was made to rely on the military analysts to counteract “the increasingly negative view of the war” coming from journalists in Iraq.




Brent T. Krueger, a senior aide to Victoria Clarke, was the point person for a small group of political appointees analysts who catered to they analysts. He indicated he was well aware that some analysts viewed their special access as a business advantage. “Of course we realized that,” Mr. Krueger said. “We weren’t naïve about that.” “They have taken lobbying and the search for contracts to a far higher level,” Mr. Krueger said. “This has been highly honed.”

Don Meyer, an aide to Ms. Clarke, said a strategic decision was made in 2002 to make the analysts the main focus of the public relations push to construct a case for war. Journalists were secondary. “We didn’t want to rely on them to be our primary vehicle to get information out,” Mr. Meyer said. (So compliant corporate journalists were a secondary way for the Pentagon to use push propaganda onto American citizens).

Bryan Whitman, a Pentagon spokesman.






Active Military Officers involved in the propaganda operation:

Richard B. Myers

Peter Pace

Update:

Pentagon, House to Investigate Propaganda Program:

The Pentagon’s inspector general office has announced an internal probe into the military’s domestic propaganda program. Last month, the New York Times revealed the Pentagon has used retired military officers to generate positive news coverage and push for the war in Iraq. The move comes one day after the House approved a measure ordering investigations by both the inspector general and the congressional investigative body, the Government Accountability Office. The House probe will focus on whether the program violates laws barring government funding of domestic propaganda.


February 12, 2008

You Are What You Spend

Letter to the New York Times

A friend wrote the following letter.

To the editor:

W. Michael Cox and Richard Alm (“You Are What You Spend”, Feb. 10, 2008) do an admirable job of proving the very point they wish to skewer. Those of means, by the authors' very own measures, spend far less of their worth on what have come to be seen as life’s necessities. Moreover, using consumption as a surrogate for wealth is flawed logic; many of our society’s problems, whether related to health, economy, national security or environment, stem from our insatiable appetite. Equating consumption to wealth while ignoring savings and security is simply absurd.

I'm not sure what ticked off my friend, but it might have been this bizzare line:

Looking at a far more direct measure of American families’ economic status — household consumption — indicates that the gap between rich and poor is far less than most assume, and that the abstract, income-based way in which we measure the so-called poverty rate no longer applies to our society.

By their own measures, the rich are getting richer and the poor are getting poorer:

It’s true that the share of national income going to the richest 20 percent of households rose from 43.6 percent in 1975 to 49.6 percent in 2006, the most recent year for which the Bureau of Labor Statistics has complete data. Meanwhile, families in the lowest fifth saw their piece of the pie fall from 4.3 percent to 3.3 percent.

Cox and Alm go from bizzare to absurd. First they inform us that

The bottom fifth earned just $9,974, but spent nearly twice that — an average of $18,153 a year.

and ask "How could this be?" Most of us immediately think, "Debt" as in credit cards, and "No Money Down" sales. But NOoooo. Cox and Alm inform us these poor people are splurging via

sales of property, like homes and cars and securities that are not subject to capital gains taxes, insurance policies redeemed, or the drawing down of bank accounts.

Most poor people don't have cars. They don't have bank accounts. They live paycheck to paycheck, getting ripped of by check cashers and payday loan sharks.

Then based on the foundation of that logic, we are given the not so brilliant conclusion of Cox and Alm:

if we compare the incomes of the top and bottom fifths, we see a ratio of 15 to 1. If we turn to consumption, the gap declines to around 4 to 1.

The logic is sick. Besides, anyone who is familiar with comparisons of rich and poor know that "income" is not the correct measure to use. The more proper measure is "wealth." Rich individuals often don't have, or need, "incomes." They live off the returns on investments, capital gains, which Cox and Alm point out is not counted as "income" and which is taxed at a lower rate than income (can you say, "the system is rigged by the wealthy?"). Furthermore, the rich accumulate wealth over time. The poor are lucky to have a job and live paycheck to paycheck, no accumulated wealth.

Cox and Alm should be ashamed of themselves, but I doubt they have any clue what shame is. There is a time honored solution for this. It's called the guillotine; some heads are going to roll unless people like Cox and Alm wake up and do something to narrow the wealth gap.

For those who are serious about the subject of wealth inequality, I direct you to Edward N. Wolff, economics proffessor at New York University. According to Wolff

The bottom 20 percent basically have zero wealth. They either have no assets, or their debt equals or exceeds their assets. The bottom 20 percent has typically accumulated no savings.[2]

Whereas

The top 1 percent of families hold half of all non-home wealth. The richest 10 percent of families own about 85 percent of all outstanding stocks. They own about 85 percent of all financial securities, 90 percent of all business assets. These financial assets and business equity are even more concentrated than total wealth.

Mike, Dick: It's not about "income" or "consumption." It's about "wealth."

Let Cox and Alm, of the Dallas Federal Reserve, know how you feel by contacting the Community Affairs office:
Dal.CommunityAffairs@dal.frb.org

Let Cox and Alm know that you think they need remedial education in "economics" by contacting the Dallas Federal Reserve Director, Economic Education and Special Projects Sherry Kiser:
sherry.kiser@dal.frb.org

Let the New York Times know your views too:
letters@NYtimes.com

The Fellowship of the Pen lives.

Sources:

1. New York Times, Opinions, You are What you Spend, W. MICHAEL COX and RICHARD ALM
Published: February 10, 2008.

W. Michael Cox is the senior vice president and chief economist and Richard Alm is the senior economics writer at the Federal Reserve Bank of Dallas. With "chief" economists like Cox, it's no wonder the US is facing a financial sector melt down.

2. The Multinational Monitor, The Wealth Divide: The Growing Gap in the United States Between the Rich and the Rest, Interview with Edward N. Wolff, May 2003 - VOLUME 24 - NUMBER 5.

February 3, 2008

Chilling Effect on Reporters Tightened by Regime

Maybe my blog entry title is the headline Dan Eggan of the Washington Post would really have liked to use for his recent article. He and his editors settled on the title "Grand Jury Subpoenas Times Reporter Over Book Sources."
A federal grand jury in Alexandria has issued a subpoena seeking information about the confidential sources of a newspaper journalist who wrote in a 2006 book about alleged CIA efforts to infiltrate Iran's nuclear program.

The Iranian intelligence probably knew of the CIA's infiltration attempt before NY Times Report James Risen wrote about it; it failed. So, who does the Bush Regime want to keep in the dark?

You guessed it, Hillary Clinton. But, now that they've launched a grand jury, and it's been splashed all over the the Washington Post, everyone knows. Doh! Bush should have just snatched the Times reporter and sent him to an undisclosed location. All of this might have been avoided if Bush & Co. hadn't blown the cover on Valarie Plame-Wilson.

Sources:

Washington Post, Grand Jury Subpoenas Times Reporter Over Book Sources, Dan Eggan, February 2, 2008.

April 26, 2007

Inside the NYC Beltway Mentality



It's not every day I blog from NYC. It occurs to me that there's an "inside the beltway" analogy for New York City. You see it in the devolution of the quality of information in the New York Times. You also see it at CBS (See "Update").

Example. Does Jeffrey Gettleman and his editors at the Times recognize the irony of the front page piece from April 25, 2007 entitled "People Who Feed Off Anarchy in Somalia Are Quick to Fuel It"? The US has fueled it and feeds off of it. The US has opened another front in the Mid-east War, See the Map. The US is now operating under the cover of Chaos; they couldn't do that with the Islamic Courts maintaining order in Somalia.

The coalition Islamic Courts, who were not all fundamentalists, had begun to bring a sense of order to Somalia before the US covert operations, supported by Ethiopia, created the current chaos. Prior to that, the US CIA had backed the Somali war lords who fostered the kinds of things Gettleman describes in his article. Note the "Oil Factor In Somalia," a 1993 article.

The US-installed Somali Prime Minister, Ali Mohammed Ghedi, recently told the Dow Jones News Network that Somalia is welcoming back multi-national oil compaines with similar oil production sharing agreements that the Bush Administration is pushing for in Iraq. Companies seeking new or renewed contracts include Conoco-Phillips and Royal Dutch Shell. Ghedi said,
The [Somali] parliament will approve the new oil laws in two months.

I recall arriving in Washington DC in the mid-1980s to discover that stacks of resumes from Ivy League schools were a common feature of congressional offices. Few of these people were hired, but those that were spent much of their time angling for career advancement, and had little interest in the issues of the day (Star Wars and the US covert war in Central America). Very few of these people had any honest understanding of the atrocities being committed in Central America at the time by US backed death squads. Naive, superficial and as a result, dangerous, because they effectively run Congress.

The same holds in New York City. Of course, I didn't have to come up here to recognize this. It's just that being here heightens my awareness to it.

This phenomenon can be generalized: The political and economic elite are, for the most part, uniformed. True, there are insiders who are fully informed, who call the shots on the use of force to advance and maintain power, but they are the minority.

But, even some of those closest to the execution of that power fail to realize what they are doing. They are the pawns and those in denial. It's not hard to fall into that trap, particularly when you're isolated as people become when wrapped up in the fast pace of NYC upper rank activities, like reporting for the Times.

I could go on with examples, but will use just one. Richard Khanlian of Santa Fe, NM questions whether the US "success" in Iraq can be any different than the Iraq of Saddam Hussein in light of US military complicity, and participation in similar behavior. Khanlian was prompted by the NY Times April 22 front page article, "3 Suspects Talk After Iraqi Soldiers Do Dirty Work."

In general, those "inside the beltway," "inside the Manhattan buzz zone," what I call the inside crowd, are swept up in a dangerous current. They need to step back and ask themselves some sobering questions and act on their basic values.

Update:

High Tech Parent, Jadegreen, provides another example. Remember the Katie Couric plagiarism espose'? Jadegreen followed up the follow-up. In doing so, Jadegreen refelects on the following comment by Katie Couric:
this was a very unfortunate incident because the person who did this is a lovely person, but clearly inexperienced about the tenets of basic journalism.
Jadegreen points out the obvious, if one stops to think about it; how is it that a person who attains the privilage of writing for the CBS anchorperson is "inexperienced about the tenets of basic journalism"? The answer lies in the thesis that America is in decline, which was my initial reaction to the Couric scandal and the general point of this essay, with superficial NYC insiders providing more evidence.

Sources:

DemocracyNow, April 27, 2007, "The Most Lawless War of Our Generation" - Former UN Spokesperson on Somalia.


DemocracyNow, Tuesday, April 3, 2007, 400 Die in Mogadishu's Worst Fighting in 15 years.

DemocracyNow, Tuesday, January 9, 2007,
U.S. Launches Targeted Assassination Air Strikes in Somalia, Many Reported Killed.

DemocracyNow, hursday, December 28, 2006,
Conflict in Somalia: Islamic Courts Abandon Mogadishu as UN Warns of Humanitarian Crisis.

Flashpoints Radio, Knight Report, April 26, 2007: Somalia oil information.
~

April 15, 2007

Couric Debacle Prompts CBS to Increase Web Quality Control

According to the New York Times, CBS news will be taking a closer look at its web content. This is a result of the Katie Couric library card plagiarism Video Notebook fiasco, which has spawned intense scrutiny by bloggers and others.

This site recently highlighted other video notebook entries that are questionable, including a background on Barack Obama, and Couric's undercount of Iraqi civilian deaths.

The CBS action was brought to my attention by The New York State of Mind blog site.

My original response to the Couric plagiarism incident
was to view it as just one more example of the slow devolution of American culture. I've probably spent too much time on this issue. However, it is worth people voicing their opinions to CBS News on this general state of affairs. To that end, here's a link to contact CBS News.

Contact CBS News:

Web E-Mail Form for All CBS News Programs

Evening News E-Mail: evening@cbsnews.com

CBS News
524 W. 57 St., New York, NY 10019
Phone: 212-975-4321
Fax: 212-975-1893

LINK to Media Contacts in General

Sources:

After Couric Incident, CBS News to Scrutinize Its Web Content

By BILL CARTER
Published: April 12, 2007

CBS News said yesterday it planned to install a new level of editorial oversight to its Web site since revelations that the CBS anchor Katie Couric read a plagiarized commentary on the site last week.

CBS has fired the producer who wrote the piece for Ms. Couric, and said yesterday it was investigating to see if the producer, whose name CBS has not disclosed, had written any previous commentaries for Ms. Couric that had been plagiarized.

The commentary, about how children use libraries in a world increasingly dominated by the Internet, was clearly inspired by a piece written the previous month in The Wall Street Journal. A Journal editor called the similarities to the attention of CBS News on Monday, and executives there, reading the two pieces, immediately concluded that they were basically identical.

CBS News executives said they were stunned that anyone would so blatantly copy someone else’s work. The incident is an embarrassment for the news division, and comes at a time of continuing struggle for Ms. Couric’s newscast to be competitive with NBC and ABC in the evening-news ratings.

The videotaped commentary, which was used in a section of the CBS News Web site called “Katie Couric’s Notebook,” but which also was sent out for use by CBS television and radio stations, was removed from the CBS site, and the network issued what it called a correction, saying it should have noted that “much of the material” had come from the newspaper.

As described by Sandy Genelius, the spokeswoman for CBS News, the process of creating the 55-second essays that were included in the “Notebook” feature involved a meeting between Ms. Couric and a group of producers from the Web site and her going over dozens of suggested topics for the daily commentary.

Asked whether Ms. Couric had read the article in The Wall Street Journal, Ms. Genelius said, “I believe she did not.” Ms. Couric was not available for comment.

All television news anchors read scripts for their newscasts that are prepared by staff members, but the anchors almost always rewrite these themselves.

A spokesman for ABC News, Jeffrey W. Schneider, said that on ABC’s Web site commentaries were written only by the contributor whose name was on that commentary.

Allison Gollust of NBC News said she was not aware of any NBC Web contributions that were written by anyone other than the person whose name was attached to it. “We certainly do not have anyone on the staff whose job it is to write something like that for one of our anchors or correspondents,” she said.
~

December 25, 2006

Merry Christmas Bonuses

December 25, 2006
Wall St. Bonuses: So Much Money, Too Few Ferraris
By JENNY ANDERSON

It’s a brisk Wednesday morning in the windy caverns of Wall Street and Sarah Clark’s toes are cold.

Dressed in a purple flight attendant outfit, Ms. Clark, a 26-year-old model, is trying to entice recent bonus recipients at Goldman Sachs into using a charter plane service, handing out $1,000 discount coupons to people in front of the investment bank’s Broad Street headquarters.

“Where am I going?” asks one man, heading toward the Goldman building. “It’s your own private jet,” says Ms. Clark with a smile. “You can go wherever you like.”

For Wall Street’s elite, the sky may well be the limit.

In recent weeks, immense riches have been rained upon the top bankers and traders. After a year of record profits, investment houses like Goldman Sachs, Lehman Brothers and Morgan Stanley are awarding bonuses as high as $60 million. And a select group of hedge fund managers and private equity executives may be taking home even more.

That is serious money. And the serious luxury goods markets are feeling the impact.

Miller Motorcars, in Greenwich, Conn., is fielding more requests for the $250,000 Ferrari 599 GTB Fiorano than it can possibly fill. One real estate broker laments a dearth of listings for two clients trying to spend $20 million on Manhattan properties. Financiers already comfortably settled in multimillion-dollar apartments and town houses are buying $5 million apartments for their children. Vacation homes, usually bought and sold in the spring, are now hot this winter, including ones in private resorts like the Yellowstone Club in Montana near Yellowstone National Park.

“Last year, everybody bought Ducatis,” said one investment banker, referring to the Italian motorcycle. “This year it’s vacations. I’m on my way to St. Barts,” he said, en route to the airport. Like most bankers, he spoke on the condition that he not be identified, because he was not authorized to talk to a reporter by his company.

The 2006 bonus gold rush has re-energized some luxury markets. The Manhattan real estate market, for example, had softened; sales of apartments fell 17 percent in the third quarter this year compared with a year ago, according to the Corcoran Group.

Then came bonus day. Last week, Michele Kleier, president of Gumley Haft Kleier, received a call from a hedge fund manager in his late 30s. He had spent $6 million on an apartment two years ago and, with his bonus, wanted to upgrade. His new price range? “Not more than $20 million.”

Ed Petrie, a broker at Sotheby’s in East Hampton, N.Y., is now fielding two bids for $8 million to $10 million properties in exclusive Georgica Pond — properties that have been on the market since the spring. “The fall was relatively slow and then suddenly, with news on bonuses, there has been quite a bit of activity,” he said.

Many brokers noticed not just the bonus effect, but the bonus-anticipation effect. Buyers who sat on the sidelines in 2006, waiting for real estate prices to come down, saw news of outsized bonuses and started signing deals to pre-empt any price increase driven by new Wall Street payouts.

“Part of our recent increase in sales activity has been buyers not in financial services trying to beat the bonus rush,” said James Lansill, senior managing director at the Corcoran Sunshine Marketing Group.

Once the bonus rush started, Mr. Lansill witnessed a trend he had never seen in his 14 years in the business: people who had signed contracts for apartments under construction 5 to 6 months ago were doubling the size of the properties they were purchasing.

In the last three weeks, the Corcoran Sunshine Marketing group sold the last four apartments in the Richard Meier apartments at 165 Charles Street in Greenwich Village. The last one to go: a two-bedroom, two-bathroom apartment with 2,350 square feet that sold for just under $7 million.

Patricia Warburg Cliff, senior vice president and director for European sales at the Corcoran Group, said that until recently, 2006 had been characterized by calmer, more informed buyers. “Now there’s a feeling, ‘I need to sign because I don’t want it snatched away,’ ” she said.

Adding to the spending spree is a rash of young hedge fund analysts, first big bonus checks in hand, scooping up the $2 million to $3 million starter apartments (most popular features: glass walls, marble bathrooms and kitchens — likely to go unused — with top-flight appliances).

“We love hedge funds, they are our favorite people” Ms. Kleier said. “They don’t feel like the money is real and they don’t mind spending it — they don’t mind going up by $500,000 or $1 million increments.”

Hedge fund analysts are not the only ones celebrating bonus season. Private equity firms like the Blackstone Group and Kohlberg Kravis & Roberts helped fuel a record deal-making year.

Private equity’s deal-making has trickled down to Wall Street in two ways. For one, the banks served as advisers on the deals and financed them, raking in enormous fees. (Kohlberg Kravis is said to pay more than $700 million a year in fees to the Street.)

But bankers also see a pay effect: top executives insist they must pay up because of the danger that their best dealmakers could leave for higher-paying private equity firms or other hedge funds considered more flexible and fun.

Those young, single hedge fund managers are bringing holiday cheer to car dealerships as well. This year, drama surrounds the very limited production of the Ferrari 599 GTB Fiorano, a car with 612 horsepower that can go from zero to 60 miles an hour in 3.6 seconds. “It is the most sought-after car ever made,” said Richard Koppelman, president of Miller Motorcars. With a waiting list of 50, Mr. Koppelman expects to get only one.

Who will be the lucky customer? “It’s very difficult,” he said. “We try to take care of our best clients.”

Private planes, or shares of them, are also on the rise, with demand for charter planes at one company up 40 percent to 50 percent among financial services executives. “There is a noticeable difference this year compared to the past, especially in the financial sector,” said Jeffrey Menaged, founder and head of Chief Executive Air, the company that hired Ms. Clark for the day. A typical price for a charter flight is $30,000.

Sales of “jet cards,” a sort of debit card for private flying, increase during bonus season, Mr. Menaged said, as executives lock in last year’s gains with guaranteed comfort for the new year.

Exotic destinations are also being pitched to the Wall Street ultrarich. Unlimited Speed started Victory Lane in November, a 3,000-acre development in Georgia for motor racing aficionados. Along with a 4.5 mile racetrack, the development also has a 1,600-acre nature preserve, equestrian facilities, a golf course and spa. It already has 27 reservations, a quarter of them coming from Wall Street, said Andrew Goggin, president of Unlimited Speed.

Not everyone on Wall Street is getting multimillion-dollar bonuses. The average managing director — who stands at the top of Wall Street’s hierarchical food chain, but far from rock-star status — will be getting $1 million to $3 million, which will likely be stashed in savings as memories of the 2001 bear market remain fresh.

“I’m putting it in the bank because I know next year I could be out of a job,” said one managing director at a leading bank.

For hedge fund traders and managers, markets were rough in the spring and summer, and some did not make gains until stocks rallied this fall.

“It was a terrible year,” said one young hedge fund professional. “I am going to the movies with my bonus. By myself."

At cocktail parties, comparisons to 1999 abound. That year marked the height of the technology boom and the eve of a painful crash. “It feels a little bit like the top,” said another banker.

The morning Goldman Sachs announced record fourth-quarter and 2006 earnings, Lloyd C. Blankfein, chairman and chief executive, implored his employees — many whom would directly benefit from the bountiful earnings — to avoid excess.

“As stewards of the firm’s reputation, I ask each of you to remember that our actions — inside and outside of the office — reflect on Goldman Sachs. Even a perception of arrogance hurts all of us,” he said in a voice mail sent to the entire firm.

Back handing out vouchers in front of Goldman, Ms. Clark wondered why there weren’t more people coming to work during the early hours.

Then, at 7:30 a.m., a black Mercedes pulled up, depositing Mr. Blankfein in front of Ms. Clark. The night before, he had been awarded a $53.4 million bonus.

She offered him a voucher. “How are you?” he said, smiling quickly but refusing the voucher.

“I guess he didn’t want it,” she lamented.

http://www.nytimes.com/2006/12/25/business/25bonus.html?ei=5090&en=5ced3ca840169e2d&ex=1324702800&partner=rssuserland&emc=rss&pagewanted=print