Facebook helps FBI bust cybercriminals blamed for $850 million losses






SAN FRANCISCO (Reuters) – Investigators led by the Federal Bureau of Investigation and aided by Facebook Inc, have busted an international criminal ring that infected 11 million computers around the world and caused more than $ 850 million in total losses in one of the largest cybercrime hauls in history.


The FBI, working in concert with the world’s largest social network and several international law enforcement agencies, arrested 10 people it says infected computers with “Yahos” malicious software, then stole credit card, bank and other personal information.






Facebook’s security team assisted the FBI after “Yahos” targeted its users from 2010 to October 2012, the U.S. federal agency said in a statement on its website. The social network helped identify the criminals and spot affected accounts, it said.


Its “security systems were able to detect affected accounts and provide tools to remove these threats,” the FBI said.


According to the agency, which worked also with the U.S. Department of Justice, the accused hackers employed the “Butterfly Botnet”. Botnets are networks of compromised computers that can be used in a variety of cyberattacks on personal computers.


The FBI said it nabbed 10 people from Bosnia and Herzegovina, Croatia, Macedonia, New Zealand, Peru, the United Kingdom, and the United States, executed numerous search warrants and conducted a raft of interviews.


It estimated the total losses from their activities at more than $ 850 million, without elaborating.


Hard data is tough to come by, but experts say cybercrime is on the rise around the world as PC and mobile computing become more prevalent and as more and more financial transactions shift online, leaving law enforcement, cybersecurity professionals and targeted corporations increasingly hard-pressed to spot and ward off attacks.


(Reporting By Edwin Chan; Editing by Matt Driskill)


Social Media News Headlines – Yahoo! News


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Spice Girls take stage at musical premiere






LONDON (Reuters) – The Spice Girls took to the stage on Tuesday after the world premiere of a new musical loosely based on their meteoric rise to fame in the 1990s, earning huge cheers from an audience that only really got going at the encore.


“Viva Forever!” was the brainchild of producer Judy Craymer, whose “Mamma Mia!” musical based on the hits of ABBA has earned nearly $ 2 billion worldwide and spawned a hit movie starring Meryl Streep.






She teamed up with British comedian Jennifer Saunders to create a story about the central character Viva, a sprightly teenager who, along with her friends, gets into the final stages of a TV singing contest closely resembling “The X Factor”.


To boost flagging audience figures – a nod to “The X Factor”s real-life ratings woes in Britain this season – their “mentor” springs a surprise and throws out three members of the band to leave Viva on her own.


What follows is part morality tale examining what is more important – friends, family or fame – and part satire on reality television, including a callous, Simon Cowell-like producer.


“We love you Judy!” said Geri Halliwell at the end of the show, which closed with a romp through some of the Spice Girls‘ biggest hits including “Spice Up Your Life”.


“Thank you for making the Spice Girls‘ dream come true,” Halliwell added.


Halliwell was joined on stage by Victoria Beckham, Melanie Brown, Emma Bunton and Melanie Chisholm, who together stormed the charts in the 1990s and put “girl power” on the map.


Beckham, who arrived at the London premiere after her ex-bandmates, sat with her soccer star husband David and three sons, who clapped along to the music during the final medley.


NATIONAL TREASURES


Now all young mothers in their late 30s and early 40s, The Spice Girls are still affectionately known by the nicknames they adopted in the band – Posh (Beckham), Scary (Brown), Baby (Bunton), Sporty (Chisholm) and Ginger (Halliwell).


They were hailed as modern-day feminists by some and dismissed as vacuous pop princesses by others, but their success is beyond doubt. They sold 55 million records, had nine British No. 1 singles and three back-to-back Christmas No. 1s.


The band broke up around 12 years ago, and internal bickering among the members was long the delight of Britain’s celebrity-obsessed tabloids.


Perhaps surprisingly, given the bust-ups and hissy fits, the group has been united in its backing of the new musical, and underlining the Spice Girls‘ lasting popularity they played a major part in the closing ceremony at the London Olympics.


Paul Taylor, writing in the Independent newspaper, gave the musical two stars out of five in his review.


The Spice Girls‘ songs, with their clever hooks and catchy rhythms, are better at projecting an attitude than fleshing out a dramatic situation,” he wrote, describing Saunders’ story as “charmless”, “messy” and “lackluster”.


“Not only does her script rarely give you that necessary gleeful sense of expectancy about where the songs are going to be shoe-horned in, but it’s embarrassingly derivative of ‘Mamma Mia!’ and looks way past its sell-by date in its utterly surprise-free satiric swipe at ‘X Factor’.”


Saunders said before the show that she considered herself the “sixth” Spice Girl.


“We used to travel around everywhere to see them and they were so great with my kids,” said the 54-year-old, best known for playing a self-absorbed, eccentric mother in the popular British comedy series “Absolutely Fabulous”.


“The thought of a Spice Girls musical written by somebody else was not acceptable,” she told the Daily Mirror newspaper. “Because I was so close to them, I couldn’t let it slip through my fingers.”


(Reporting by Mike Collett-White, editing by Jill Serjeant)


Music News Headlines – Yahoo! News


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Rate of Childhood Obesity Falls in Several Cities


Jessica Kourkounis for The New York Times


At William H. Ziegler Elementary in Northeast Philadelphia, students are getting acquainted with vegetables and healthy snacks.







PHILADELPHIA — After decades of rising childhood obesity rates, several American cities are reporting their first declines.




The trend has emerged in big cities like New York and Los Angeles, as well as smaller places like Anchorage, Alaska, and Kearney, Neb. The state of Mississippi has also registered a drop, but only among white students.


“It’s been nothing but bad news for 30 years, so the fact that we have any good news is a big story,” said Dr. Thomas Farley, the health commissioner in New York City, which reported a 5.5 percent decline in the number of obese schoolchildren from 2007 to 2011.


The drops are small, just 5 percent here in Philadelphia and 3 percent in Los Angeles. But experts say they are significant because they offer the first indication that the obesity epidemic, one of the nation’s most intractable health problems, may actually be reversing course.


The first dips — noted in a September report by the Robert Wood Johnson Foundation — were so surprising that some researchers did not believe them.


Deanna M. Hoelscher, a researcher at the University of Texas, who in 2010 recorded one of the earliest declines — among mostly poor Hispanic fourth graders in the El Paso area — did a double-take. “We reran the numbers a couple of times,” she said. “I kept saying, ‘Will you please check that again for me?’ ”


Researchers say they are not sure what is behind the declines. They may be an early sign of a national shift that is visible only in cities that routinely measure the height and weight of schoolchildren. The decline in Los Angeles, for instance, was for fifth, seventh and ninth graders — the grades that are measured each year — between 2005 and 2010. Nor is it clear whether the drops have more to do with fewer obese children entering school or currently enrolled children losing weight. But researchers note that declines occurred in cities that have had obesity reduction policies in place for a number of years.


Though obesity is now part of the national conversation, with aggressive advertising campaigns in major cities and a push by Michelle Obama, many scientists doubt that anti-obesity programs actually work. Individual efforts like one-time exercise programs have rarely produced results. Researchers say that it will take a broad set of policies applied systematically to effectively reverse the trend, a conclusion underscored by an Institute of Medicine report released in May.


Philadelphia has undertaken a broad assault on childhood obesity for years. Sugary drinks like sweetened iced tea, fruit punch and sports drinks started to disappear from school vending machines in 2004. A year later, new snack guidelines set calorie and fat limits, which reduced the size of snack foods like potato chips to single servings. By 2009, deep fryers were gone from cafeterias and whole milk had been replaced by one percent and skim.


Change has been slow. Schools made money on sugary drinks, and some set up rogue drink machines that had to be hunted down. Deep fat fryers, favored by school administrators who did not want to lose popular items like French fries, were unplugged only after Wayne T. Grasela, the head of food services for the school district, stopped buying oil to fill them.


But the message seems to be getting through, even if acting on it is daunting. Josh Monserrat, an eighth grader at John Welsh Elementary, uses words like “carbs,” and “portion size.” He is part of a student group that promotes healthy eating. He has even dressed as an orange to try to get other children to eat better. Still, he struggles with his own weight. He is 5-foot-3 but weighed nearly 200 pounds at his last doctor’s visit.


“I was thinking, ‘Wow, I’m obese for my age,’ ” said Josh, who is 13. “I set a goal for myself to lose 50 pounds.”


Nationally, about 17 percent of children under 20 are obese, or about 12.5 million people, according to the Centers for Disease Control and Prevention, which defines childhood obesity as a body mass index at or above the 95th percentile for children of the same age and sex. That rate, which has tripled since 1980, has leveled off in recent years but has remained at historical highs, and public health experts warn that it could bring long-term health risks.


Obese children are more likely to be obese as adults, creating a higher risk of heart disease and stroke. The American Cancer Society says that being overweight or obese is the culprit in one of seven cancer deaths. Diabetes in children is up by a fifth since 2000, according to federal data.


“I’m deeply worried about it,” said Francis S. Collins, the director of the National Institutes of Health, who added that obesity is “almost certain to result in a serious downturn in longevity based on the risks people are taking on.”


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Michigan Governor Signs Laws Limiting Unions


Fabrizio Costantini for The New York Times


Protesters argued on the steps of the Michigan Capitol on Tuesday as state lawmakers considered right to work legislation. More Photos »







LANSING, Mich. — With Democrats and labor leaders vowing retribution at the ballot box and beyond, the Republican-dominated Michigan Legislature on Tuesday approved sweeping, statewide changes to the way unions will be financed, substantially reducing their power in a state that has long been a symbol of union might and an incubator for the American labor movement.




As thousands of incensed union members filled the Capitol rotunda and poured out onto its lawn chanting “shame, shame,” labor leaders and Democrats said they would immediately mount an intense, unceasing campaign to regain control of the Legislature and the governor’s office by 2015.


But advocates of the legislation, which outlaws requirements that workers pay fees to unions as a condition of employment, lauded the day as a historic turning point for economic health in Michigan, and some Republicans predicted that their victory here would embolden other states to enact similar measures.


The legislation, which Gov. Rick Snyder, a Republican, signed almost immediately, is the latest in series of setbacks to organized labor in states where it has traditionally been strong, like Indiana and Wisconsin. National labor leaders predicted a backlash and said they were weighing options in the courts and in future elections.


“We are not going to end it today,” said Lee Saunders, the president of the American Federation of State, County and Municipal Employees. “We will be in the streets,” he said, adding, “If we have to work it through 2014 and change the makeup of the legislatures, that’s what we’ll do.”


Some were talking about calling for some sort of ballot initiative, aimed at accomplishing what union supporters had in Ohio in 2011 after efforts to sharply limit collective bargaining there. Other recent history suggests that such efforts can be difficult. In Wisconsin, a push to recall the governor over cuts to collective bargaining failed this year.


Though Republicans control the Legislature, Mr. Snyder, a former businessman who had not held public office before his election in 2010, had regularly sidestepped the most divisive issues, including legislation restricting unions, with talk of “relentless positive action.” This chapter came as a surprise to many here and seemed to open a gulf.


Some lawmakers grew tearful as they argued over the matter on the House floor. Outside, exchanges between demonstrators on each side turned tense, leaving some screaming curses and jabbing fingers into the air.


By evening, two large canopies belonging to the opposing camps lay crumpled on the Capitol lawn, the police said. At least two people were arrested, they said, after trying to press past one of the large clusters of state troopers that stood guard at the George W. Romney Building, which houses the governor’s office. And at least one police officer had used a substance similar to pepper spray during the protests.


“Today is a game changer for Michigan, for its workers and for our future,” said Speaker Jase Bolger, a Republican who helped lead the efforts to make Michigan the nation’s 24th state — and only the second one, along with Indiana, in the traditional Midwestern manufacturing belt — to ban requirements that workers pay fees for union representation.


The legislation here, which will go into effect next year, bans any requirement that most public and private sector employees at unionized workplaces be made to pay dues or other fees to unions. In the past, those who opted not to be union members were often required to pay fees to unions that bargained contracts for all employees at their workplace.


But the change means vastly different things to the two sides. Advocates say that it is attractive to businesses looking to move and that it allows workers to make choices about unions.


“This is the day when Michigan freed its workers,” Lisa Posthumus Lyons, a Republican state representative who said her family included union members, told colleagues during the intense debate on Tuesday, which ended with votes along largely party lines. Last week, the Senate passed the package — one bill dealing with public workers, the other with employees of private companies.


Critics say the legislation encourages workers not to pay union dues (but still gain contract benefits through them), weakens unions and tends to drive down wages.


Steven Greenhouse contributed reporting from New York, Mary M. Chapman from Lansing and Steven Yaccino from Chicago.



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L.A. Archdiocese personnel files could be released next month









After five years of legal wrangling, confidential personnel files of at least 69 priests accused of sexually abusing children in the Los Angeles Archdiocese could be ordered released as early as January, a Los Angeles County Superior Court judge said Monday.


Judge Emilie H. Elias set a hearing for Jan. 7 to hear objections to the release of what a church attorney said were five or six banker's boxes of files relating to the archdiocese's handling of child molestation claims, which could include internal memos, Vatican correspondence and psychiatric reports.


The public release of the files was agreed to as part of a record $660-million settlement reached in 2007 between the archdiocese and 562 people who alleged that they were molested as children by clergy members. The process, overseen by a retired judge, was beset by delays and faced objections from an attorney representing at least 30 of the priests, who contends that his clients' constitutional rights to privacy are at stake.





The retired judge, Dickran Tevrizian, also ordered that all names of church leaders, including Cardinal Roger M. Mahony, who retired as archbishop last year, be blacked out in the files, saying the information should not be used to embarrass the archdiocese. Attorneys for The Times on Friday filed a motion opposing the redaction of church officials' names, contending that the public has a right to know who in the hierarchy knew of molestation allegations and what they did about it.


"Without this information," lawyers for the newspaper wrote, " the public will not be able to assess the extent of institutional or individual knowledge of the abuse."


At a hearing Monday, an attorney representing abuse victims accused the church of going beyond the judge's rulings in their redactions and withholding of files. "The archdiocese is trying to drive a truck through the exceptions Judge Tevrizian is setting," attorney Ray Boucher told Elias.


Church attorney J. Michael Hennigan said his staff complied with Tevrizian's order "literally and expansively." He said that he wanted a "very short fuse" on the process of individual priests' objections to the files and that the archdiocese is eager to complete the document release, possibly by mid-January.


Elias ordered church attorneys to submit to her for review both the redacted and unredacted versions of the documents.


Donald Steier, an attorney for the priests, said he would file legal papers by late December objecting to the files being made public. At the hearing, Steier accused archdiocese officials of failing to defend the priests' rights.


"They have a duty to help protect those files, and they've already breached that," he said.


victoria.kim@latimes.com


harriet.ryan@latimes.com


ashley.powers@latimes.com





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Massive HP conference draws 10,000 attendees to ogle products, speakers, presentations






By Suzy Hansen


More than 10,000 customers, partners and attendees flocked to the Hewlett-Packard Discover conference in Frankfurt, Germany, this week to learn about HP’s latest products, exchange ideas, swap business cards and basically examine whether HP can improve the way their companies are run. The event was held at Messe Frankfurt, one of the world’s largest trade exhibition sites.






CEO Meg Whitman acknowledged in her speech on Tuesday that HP has gone through some rough times this past year. HP’s stock price has been nearly halved during her tenure. Whitman, however, pointed out that HP has $ 120 billion in revenue and is the 10th-largest company in the United States. In Q4, HP has generated $ 4.1 billion in cash flow.


“We are the No. 1 or No. 2 provider in almost every market,” Whitman told the crowd in Frankfurt.


Whitman emphasized  executives’ increasing concerns about security and said that it will be addressed by “a new approach”: HP’s security portfolio, with Autonomy and Vertica, which helps “analyze and understand the context of these events.” Executive Vice President of Enterprise Dave Donatelli spoke about converged infrastructure, or bringing together server, network and storage; their software-defined data centers; and their new servers, which “change the way servers have been defined.” George Kadifa, executive vice president of software, said 94 of the top 100 companies use HP software. HP is the sixth-largest software company in the world, with 16,000 employees in 70 countries, Kadifa added.


Also at the conference was Jeffrey Katzenberg, CEO of DreamWorks and an old friend of Whitman’s from their Disney days, who roused the crowd with a fun speech about his long relationship with HP. Katzenberg showed an old video of himself onstage with a lion, which nearly mauled him. This time, he appeared onstage with a guy in a lion suit. The lesson was to learn from past mistakes and move on.


“If I am smart enough to say ‘scalable multicorps processing,’ I am smart enough to not put myself onstage with a real lion again,” he joked.


The Discover conference is a key vehicle for HP to show off products it’s offering in the coming year. Among them were the latest ProLiant and Integrity servers, the 3PAR StoreServ 7000 and the StoreAll and StoreOnce storage systems. At the HP Labs section of the conference, attendees could learn about the cloud infrastructure or test HP’s new ElitePad 900.


Throughout the three-day event, which saw attendance grow by 30 percent this year, attendees wandered the enormous halls, milling around displays, watching videos, listening to speeches and participating in workshops. People gathered on clustered couches and chatted with new acquaintances, frequently stopping to plug in their various devices and recharge themselves with coffee. With people coming from all over the world, you could hear many languages spoken, from Arabic to French to the most bewildering of them all: the language of technology. Despite the large crowds, it was hard not to notice there were very few women among the thousands in attendance. In fact, when asked about this phenomenon, one female HP employee said, “Trust me, you aren’t the first person who has come up to me asking about this.”


Indeed, the Discover conference was like a forest of men in suits. The few women stood out like rays of sunlight. 


Regardless of their presence at this conference, women are making big strides in information technology. Among the leaders are HP CEO Whitman, who also led eBay; Carly Fiorina, who ran HP before Whitman; Yahoo! CEO Marissa Mayer; and Facebook COO Sheryl Sandberg. Were the women at the Discover conference surprised by the low female turnout?


“No, for IT this is standard,” said Stefanie, a 30-year-old product manager from Germany. “Many are afraid of all the technical stuff, and you have to prove that you are capable of it. You get more women in retail and distribution but not in high-tech areas, at least not in Europe. In America there are more women in management positions and in general.”


Americans might assume that Europe, with its generous social programs that include free daycare, enables more women to ascend the corporate ladder. But that still doesn’t mean that a woman trying to balance a high-tech career and a family is always accepted in European society.


“There is still a lot of emphasis on the family,” Stefanie said. “It’s easier to move up in the U.S., where there is a culture of ‘having it all.’ It’s quite a fight to get there here.”


Still, the IT industry might seem inhospitable to women. Could this male-dominated profession be male-dominant because women have a hard time breaking in?


Stefanie disagreed. “No, they actually like working with women,” she said. “They want to.”


One male conference attendee, who asked not to be named, was less certain.


“There’s a lot of ego and testosterone,” he said. “It can’t be easy” for women.


Tech News Headlines – Yahoo! News


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“X Factor” castoff Cheryl Cole files $2.3 million lawsuit against producers






LOS ANGELES (TheWrap.com) – Cheryl Cole, who was originally hired as a judge for the American version of “The X Factor” but was replaced by Pussycat Doll Nicole Scherzinger before the show premiered, is now suing the producers of the show for $ 2.3 million dollars, according to court papers obtained by TheWrap.


In the complaint against Blue Orbit Productions, filed in Los Angeles Superior Court, Girls Aloud singer Cole claims that she entered a pay-or-play agreement with Blue Orbit Productions in April 22, 2011, that guaranteed her $ 1.8 million for the first season of the show, and $ 2 million for the second.






The suit also says that Cole was also due to receive other expenses for housing, wardrobe, styling and general living expenses.


Cole claims that she received the $ 1.8 million for the first season, but the producers didn’t pony up for the wardrobe/styling allowance, housing allowance (which, according to the suit, was $ 15,000 per month) or living allowance.


She also didn’t receive her guaranteed $ 2 million for the second season, the suit claims.


Now Cole wants damages “in excess of $ 2.3 million,” plus interest at the legal rate, and court costs.


TheWrap was unable to reach Blue Orbit Productions for comment.


(Pamela Chelin contributed to this report)


TV News Headlines – Yahoo! News


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Rate of Childhood Obesity Falls in Several Cities


PHILADELPHIA — After decades of rising childhood obesity rates, several American cities are reporting their first declines.


The trend has emerged in big cities like New York and Los Angeles, as well as smaller places like Anchorage, Alaska, and Kearney, Neb. The state of Mississippi has also registered a drop, but only among white students.


“It’s been nothing but bad news for 30 years, so the fact that we have any good news is a big story,” said Dr. Thomas Farley, the health commissioner in New York City, which reported a 5.5 percent decline in the number of obese schoolchildren from 2007 to 2011.


The drops are small, just 5 percent here in Philadelphia and 3 percent in Los Angeles. But experts say they are significant because they offer the first indication that the obesity epidemic, one of the nation’s most intractable health problems, may actually be reversing course.


The first dips — noted in a September report by the Robert Wood Johnson Foundation — were so surprising that some researchers did not believe them.


Deanna M. Hoelscher, a researcher at the University of Texas, who in 2010 recorded one of the earliest declines — among mostly poor Hispanic fourth graders in the El Paso area — did a double-take. “We reran the numbers a couple of times,” she said. “I kept saying, ‘Will you please check that again for me?’ ”


Researchers say they are not sure what is behind the declines. They may be an early sign of a national shift that is visible only in cities that routinely measure the height and weight of schoolchildren. The decline in Los Angeles, for instance, was for fifth, seventh and ninth graders — the grades that are measured each year — between 2005 and 2010. Nor is it clear whether the drops have more to do with fewer obese children entering school or currently enrolled children losing weight. But researchers note that declines occurred in cities that have had obesity reduction policies in place for a number of years.


Though obesity is now part of the national conversation, with aggressive advertising campaigns in major cities and a push by Michelle Obama, many scientists doubt that anti-obesity programs actually work. Individual efforts like one-time exercise programs have rarely produced results. Researchers say that it will take a broad set of policies applied systematically to effectively reverse the trend, a conclusion underscored by an Institute of Medicine report released in May.


Philadelphia has undertaken a broad assault on childhood obesity for years. Sugary drinks like sweetened iced tea, fruit punch and sports drinks started to disappear from school vending machines in 2004. A year later, new snack guidelines set calorie and fat limits, which reduced the size of snack foods like potato chips to single servings. By 2009, deep fryers were gone from cafeterias and whole milk had been replaced by one percent and skim.


Change has been slow. Schools made money on sugary drinks, and some set up rogue drink machines that had to be hunted down. Deep fat fryers, favored by school administrators who did not want to lose popular items like French fries, were unplugged only after Wayne T. Grasela, the head of food services for the school district, stopped buying oil to fill them.


But the message seems to be getting through, even if acting on it is daunting. Josh Monserrat, an eighth grader at John Welsh Elementary, uses words like “carbs,” and “portion size.” He is part of a student group that promotes healthy eating. He has even dressed as an orange to try to get other children to eat better. Still, he struggles with his own weight. He is 5-foot-3 but weighed nearly 200 pounds at his last doctor’s visit.


“I was thinking, ‘Wow, I’m obese for my age,’ ” said Josh, who is 13. “I set a goal for myself to lose 50 pounds.”


Nationally, about 17 percent of children under 20 are obese, or about 12.5 million people, according to the Centers for Disease Control and Prevention, which defines childhood obesity as a body mass index at or above the 95th percentile for children of the same age and sex. That rate, which has tripled since 1980, has leveled off in recent years but has remained at historical highs, and public health experts warn that it could bring long-term health risks.


Obese children are more likely to be obese as adults, creating a higher risk of heart disease and stroke. The American Cancer Society says that being overweight or obese is the culprit in one of seven cancer deaths. Diabetes in children is up by a fifth since 2000, according to federal data.


“I’m deeply worried about it,” said Francis S. Collins, the director of the National Institutes of Health, who added that obesity is “almost certain to result in a serious downturn in longevity based on the risks people are taking on.”


Read More..

Drought and Economic Woes Vex Sheep Farmers


Matthew Staver for The New York Times


Lambs inside pens at the Mountain View Lamb Feeders feedlot in Eaton, Colo. Many ranchers are cutting their flocks and selling at a loss.







SEVERANCE, Colo. — Since he was a boy in western Colorado, John Bartmann seemed destined to become a sheep man. He raised lambs with the local 4-H club and sheared them for elderly German farmers. His office is lined with paintings of sheep and a plaque honoring him for “promoting culinary excellence” in lambs.








Matthew Staver for The New York Times

John Bartmann, a Colorado rancher whose business has been battered by drought and plunging prices for lamb.






Matthew Staver for The New York Times

The wooly main attraction at the Mountain View Lamb Feeders feedlot.






Matthew Staver for The New York Times

A lamb points the way to the office of the Mountain View Lamb Feeders feedlot.






Matthew Staver for The New York Times

Sheep graze at the Mountain View Lamb Feeders feedlot in Eaton, Colo.






Matthew Staver for The New York Times

Farmers say they are still paying near-record prices for corn and hay to feed their livestock through the winter. “We’re feeding as much corn to the sheep as they can eat, and you can imagine how expensive that is, "said Fred Roberts, a Wyoming rancher. "Nothing grew here last year.”






But over the last few years, skyrocketing costs, a brutal drought and plunging lamb prices have battered Mr. Bartmann and the 80,000 ranchers across the county who raise sheep — from a few to several thousand. It is the latest threat to shadow a Western way of life that still relies on the whims of summer rains, lonely immigrant sheep herders and old grazing trails into the mountains.


“For the sheep industry, it’s the perfect storm,” Mr. Bartmann said, glancing out his office window here at a bleating sea of wool. “The money is just not there.”


Many ranchers are laying off employees, cutting their flocks and selling at a loss, and industry groups said a handful had abandoned the business entirely. Mr. Bartmann has trimmed his flock of 2,000 by one-third. With prices down more than half since last year and higher costs for gasoline and corn, Mr. Bartmann said he expected to lose about $100 for every lamb he sold.


“Even in the good years, you don’t make that much money,” he said. “We can’t take that kind of hit.”


Weather and economics take big shares of the blame. The drought withered grazing grounds, killed off young lambs and dried up irrigation ditches, and a glut of meat and imported lambs from New Zealand helped send prices plummeting.


But some ranchers and officials in Washington believe that the deck was stacked against the sheep ranchers by the small number of powerful feedlots that buy lambs, slaughter them and sell them to grocery stores and restaurants. Even as prices farmers received fell to 85 cents a pound, consumers at supermarkets were paying $7 or more a pound for the same meat.


As cows, pigs, sheep and other animals make their doomed way from the range to kitchen tables, many of them end up in a matrix of feedlots, slaughterhouses and meatpacking facilities where a few companies control a vast share of the market. The top four companies control about 65 percent of the market for lamb and as much as 85 percent of the market for cows.


That kind of concentration makes it easier for a few powerful companies to manipulate prices to their advantage, said Patrick Woodall, the research director at Food and Water Watch, an environmental advocacy group.


This fall, several Western senators and ranchers’ groups wrote to the Agriculture Department saying they suspected that meatpackers had been hoarding sheep in feedlots and keeping prices artificially low. The agency that oversees stockyards said it would investigate.


“We’re going to force a lot of people in the lamb industry out of that business,” said Senator Jon Tester, Democrat of Montana. “You want competition that’s fair. If you have manipulation, that’s a whole different story.”


In Kaycee, Wyo., Lisa Cunningham said she and other sheep ranchers watched with astonishment as their prices soared and then crashed over the course of the last two years. Ms. Cunningham said she was lucky to get $1 a pound for young lambs, down from more than $2.


“You can’t hardly get anyone to buy your lamb,” she said.


Still, even some sheep ranchers do not blame the packers and say they believe that the declines are related to shifts in the market.


Federal insurance has helped blunt the blow, as have government programs to buy lamb from struggling ranchers.


It is the latest twist in a brutal year for thousands of farmers and ranchers across the country. In a slow-motion disaster, a drought covering more than 60 percent of the country scorched corn stalks into parchment, dried up irrigation ponds and turned farm fields into brittle crust. Farmers begged local governments to let them tap aquifers. Scores of ranchers dumped their livestock at drought auctions.


Farmers say they are still paying near-record prices for corn and hay to feed their livestock through the winter. And if abundant snows do not come to replenish streams and coax new grass from the ground, they worry that next summer could be even worse than last.


“The drought plays into everything,” said Fred Roberts, a sheep rancher in Rock Springs, Wyo. “We have absolutely no feed. We’re feeding as much corn to the sheep as they can eat, and you can imagine how expensive that is. Nothing grew here last year.”


Here in the northern Colorado town of Severance, Mr. Bartmann, a man with a Wyatt Earp mustache and a master’s degree in animal production, spends his days managing a lamb feedlot increasingly surrounded by high-end ranch subdivisions.


Even before “the wreck” in prices, he said, his business had been growing increasingly tenuous. A few years ago, he lost big areas of grazing land because it was declared potential habitat for wild bighorn sheep. The summer drought claimed even more grassland. Now, many of his sheep are spending the winter on a Kansas feedlot. A few hundred others are here, munching hay under gray skies. Mr. Bartmann climbed into a battered pickup truck to check on them one recent morning, unsure what the next season would bring.


“It just keeps pulling everything down,” he said. “After a while, you say it isn’t worth it.”


Read More..

Rise in renewable energy will require more use of fossil fuels









The Delta Energy Center, a power plant about an hour outside San Francisco, was roaring at nearly full bore one day last month, its four gas and steam turbines churning out 880 megawatts of electricity to the California grid.


On the horizon, across an industrial shipping channel on the Sacramento-San Joaquin River Delta, scores of wind turbines stood dead still. The air was too calm to turn their blades — or many others across the state that day. Wind provided just 33 megawatts of power statewide in the midafternoon, less than 1% of the potential from wind farms capable of producing 4,000 megawatts of electricity.


As is true on many days in California when multibillion-dollar investments in wind and solar energy plants are thwarted by the weather, the void was filled by gas-fired plants like the Delta Energy Center.





One of the hidden costs of solar and wind power — and a problem the state is not yet prepared to meet — is that wind and solar energy must be backed up by other sources, typically gas-fired generators. As more solar and wind energy generators come online, fulfilling a legal mandate to produce one-third of California's electricity by 2020, the demand will rise for more backup power from fossil fuel plants.


"The public hears solar is free, wind is free," said Mitchell Weinberg, director of strategic development for Calpine Corp., which owns Delta Energy Center. "But it is a lot more complicated than that."


Wind and solar energy are called intermittent sources, because the power they produce can suddenly disappear when a cloud bank moves across the Mojave Desert or wind stops blowing through the Tehachapi Mountains. In just half an hour, a thousand megawatts of electricity — the output of a nuclear reactor — can disappear and threaten stability of the grid.


To avoid that calamity, fossil fuel plants have to be ready to generate electricity in mere seconds. That requires turbines to be hot and spinning, but not producing much electricity until complex data networks detect a sudden drop in the output of renewables. Then, computerized switches are thrown and the turbines roar to life, delivering power just in time to avoid potential blackouts.


The state's electricity system can handle the fluctuations from existing renewable output, but by 2020 vast wind and solar complexes will sprawl across the state, and the problem will become more severe.


Just how much added capacity will be needed from traditional sources is the subject of heated debate by utility officials, government regulators and policy experts. The concerns are expected to come to a head next year when the state must adopt a 10-year plan for its energy needs.


"This issue is someplace between a significant concern and a major problem," said electricity system expert Severin Borenstein, a professor at UC Berkeley's Haas School of Business. "There is definitely going to be a need for more reserves."


Borenstein said state legislators and the governor did not consider all of the details, such as unleashing this new demand for fossil fuel generators, when they set the 33% mandate for renewable energy. The state now gets 20% of its power from renewables, in part from older hydro and geothermal energy. Gov. Jerry Brown has advocated upping the goal to 40%.


The cost to consumers in the years ahead could be in the billions of dollars, according to industry experts. California's electricity prices are already among the highest in the nation and are projected to rise sharply in coming years. At the moment, the need for reserve power isn't considered a cost of renewable power, though consumers have to bear its costs as well.


The California Independent System Operator, the nonprofit company that runs the grid, estimates that by 2020 the state will need to double its reserve capacity. California now maintains a margin of 7% to 8% above projected daily demand, in case a nuclear power plant goes offline or outages occur. But when 33% of the state's power comes from renewables, that margin will have to rise to 15%, said Stephen Berberich, the firm's chief executive.


Nobody knows whether Berberich's estimate is right or how much the added capacity will cost. The California Energy Commission, which has responsibility for licensing new power plants and forecasting future power demand, said it doesn't have the analytical tools necessary to know how much reserve power will be needed.


"It is frankly in the development stage," said Mike Jaske, the commission's senior policy analyst for electricity supply.


The independent system operator is warning that by 2017 the state will be short by about 3,100 megawatts of flexible power that it can dedicate to meeting reserve needs — about what three nuclear reactors produce. The company is pushing the state Public Utility Commission to require that capacity. The commission has been noncommittal so far.


Solar and wind advocates reject those concerns. They say renewables can provide their own reserve cushion because solar and wind generators will be spread across vast areas of the state. If wind power is down in one region, it might be up in another. If wind power is down statewide, desert sunshine might boost solar.


On the day last month when wind energy provided just 33 megawatts of power statewide, a brilliant sun spiked solar plant output.


The independent system operator "likes to show these frightening graphs for shock value," said Nancy Rader, executive director of the California Wind Energy Assn.


Edward Randolph, director of the Public Utility Commission's energy division, said the independent system operator understandably wants more reserves because its primary focus is on the reliability of the system. The PUC is focused on cost. If there is an immediate problem with reserves, the PUC can order utilities to make more available. And in three to five years, batteries, flywheels or other new technology can provide storage that would make reserves much less necessary, he said.





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