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Daily Flog: Celebrity roast of Lehman on Capitol Hill

Posted by Harkavy at 7:52 AM, October 6, 2008

box%20Fuld-cash-for-trash-NU-400.jpg

What did he know? When did he know it? While Lehman was assuring everyone last year that it had everything under control and its share price hadn't started its final fall into oblivion, CEO Richard Fuld sold big chunks for big cash, according to SEC records.

Passing through the four stages of our grief with lightning speed, Wall Street became Fall Street, then Wail Street, and now Bail Street.

But there's never enough money to satisfy these self-proclaimed victims. Late last week, the Wall Street Journal's Robert Frank reported, in "Wealthy Are Afraid They'll Run Out of Money":

According to a new survey from American Express Publishing and the Harrison Group, nearly half of respondents with incomes of $250,000 or more agreed with the statement that "I worry that at some point I could run out of money." That's up from about a third in April.

Fully 69 percent agreed with the statement that "The recent real estate and banking crisis has affected my sense of financial security."

Of course, $250,000 is only "Obama wealthy." And running out of money "at some point" is a long time horizon. Yet the survey suggests that even high-income earners are cutting back their spending for fear of what the financial future might bring. Fully two-thirds say that they are "looking closely at every spending category to see where I can save."

Now it's time for others to look closely. Who will lose the blame game? Setting up today's scheduled grilling of ex-Lehman's ex-CEO Richard Fuld by Henry Waxman's House committee, this morning's Wall Street Journal peers into the what exactly happened at the bankrupt investment bank's HQ on Avenue of the Americas.

We were fooled, yes, but we won't get Fuld again — assuming he even shows up. As of late last week, Waxman was still stonewalled on his September 18 request for Fuld's and Lehman's e-mails and memos. Check out the PDF of Waxman's scathing September 26 letter to Fuld.

But others already have some details on who and what moved in Lehman's bowels.

In "The Two Faces of Lehman's Fall: Private Talks of Raising Capital Belied Firm's Public Optimism," Carrick Mollenkamp, Susanne Craig, Jeffrey McCracken, and Jon Hilsenrath reveal inside dealings and double-talk at the investment bank's HQ.

That story's just a biopsy. There's enough blood and garbage on the Street to keep crime-scene investigators enthused for years. Is there a forensic proctologist in the house?

For one thing, despite this weeper from the WSJ — 'The Lehman Stock Slide Hits Home: Employees Face $10 Billion in Losses' — Fuld and others have stashed cash where the sunshine laws don't shine.

There's a big difference between money on paper and cash in the wallet. Yes, the value of Fuld's stock cache has bottomed out. But Fuld cashed in for more than $50 million during only two days of insider sales of Lehman stock before it began its last precipitous slide in 2007, according to SEC records (see illustration above).

Wonder if Waxman will bring up that profit-taking with Fuld later today. As Reuters noted yesterday:

Waxman has a reputation for raking high-profile corporate executives over the coals as cameras roll.

Fuld is scheduled to appear before the committee on Monday in what would be his first public appearance since Lehman filed for bankruptcy

Don't expect that hearing to be televised, so instead of browsing porn, watch Lehman's jerkoff CEO on the live stream on C-SPAN.

But first . . .

NO PARTICULAR ORDER:

Reuters: 'British commander says war in Afghanistan cannot be won'

Bloomberg: 'Fuld May Blame Confidence Crisis for Lehman's Fall at Hearing'

Agence France Presse: 'JPMorgan blamed for Lehman collapse in court documents: report'

Wall Street Journal: 'Bailout's Bid to Limit Executive Pay Will Be Tough to Realize'

N.Y. Times: 'Full of Doubts, U.S. Shoppers Cut Spending'

Reuters: 'Spermicide Coke, stale chips research wins Ig Nobels'

House Committee on Oversight and Government Reform: 'Chairman Waxman Announces Hearings on Financial Meltdown'
Oct. 6: Lehman bankruptcy and AIG bailout, Day One
Oct. 7: Lehman bankruptcy and AIG bailout, Day Two
Oct. 16: Regulation of hedge funds
Oct. 22: Breakdown of credit rating agencies
Oct. 23: Role of federal regulators

Washington Post: 'Artful Dodging Trumps Open Evasion, Studies Show: Palin Criticized After Avoiding Questions'

IOL (South Africa): 'Racism: the elephant in the US polling booth'

L.A. Times: 'Frank talk of Obama and race in Virginia'

BBC: 'Saudi cleric favours one-eye veil'

Wall Street Journal: 'The Lehman Stock Slide Hits Home: Employees Face $10 Billion in Losses'

Haaretz: 'Israeli investment bankers find Wall St. tumble ruins Rosh Hashanah'

N.Y. Times: '11 Die as U.S. Force Raids House in Iraqi City and Man Detonates a Suicide Vest'

IRIN: 'IRAQ: Move to allow doctors to carry guns provokes mixed reaction'

L.A. Times: 'Mishaps mark John McCain's record as naval aviator'

BBC: 'Somalia is 'most ignored tragedy'

Washington Post: 'Registration Gains Favor Democrats: Voter Rolls Swelling in Key States'

New York: 'Wall Street, Fall 2009: Things look grim at the moment, but where will we be a year from now? That depends on who’s president.'

BBC: 'Two Black Hawks down in Baghdad'

Caucasian Knot (Moscow): 'Authorities in Ingushetia terrorize the population'

BBC: ' "Milkshake murderer" loses appeal'

N.Y. Times: 'Microwaved Chicken Isn't Necessarily Cooked Chicken'

Wall Street Journal: 'China to Allow Short Selling on Trial Basis'

The Age (Australia): 'OJ Simpson isolated in jail "for his own safety" '

N.Y. Daily News: 'Friends of Mayor Bloomberg make contributions to a third party'

Jurist: 'Fraud charges laid against USAID subcontractor in Afghanistan'

China Digital Times: 'Chinese Cities Wake up to a New Superfood: Yak Milk'

N.Y. Post: 'SUIT SLAMS DONUT-COP "CRULLER-TY" '

N.Y. Daily News: 'Brad Pitt, Angelina Jolie seem happy together in NYC'

Daily Flog: Race colored; Wall Street red-faced; Bloomberg white-knighted; future black

Posted by Harkavy at 9:18 AM, September 23, 2008

We crown New York's mayor, but first . . .

NO PARTICULAR ORDER:

CNN: 'Race could play big role in election, poll suggests'

McClatchy: 'Poll: Most Americans think U.S. is losing war on terrorism'

New York: 'The Rage of the Previously Rich'

N.Y. Post: 'ATT'Y TAKES A SWIPE AT CAT KILLER'

New Yorker: 'Sarah Palin is my kind of gal'

N.Y. Daily News: 'Historian questions 'Bling Bandit' medal claims'

Jurist: 'Second Circuit rules government must release photos of Iraqi, Afghan prisoners'

N.Y. Daily News: 'Rikers brass axed before big scandal'

New York: 'The Great Shakeout: Good-bye, Masters of the Universe. Hello, Ron Hermance of Paramus, New Jersey'

Bloomberg: 'Oil Falls as Stock Losses Signal Concern Over U.S. Bailout Plan'

Financial Times (U.K.): 'Fears emerge over $700bn rescue'

McClatchy: 'Democrats battling to add restrictions to $700 billion bailout'

N.Y. Post: ' "SHORT" ATTACK MAY SPUR HEDGE FUNDS TO SUE'

McClatchy: 'Can you trust a Wall Street veteran with a Wall Street bailout?'

Financial Times: 'New York to regulate credit derivatives'


Running down the press:

You'd think that after watching The '08 That Ate New York the press would stop bowing and scraping at the feet of billionaires. (See Jon Friedman's "Wall Street Coverage Makes Me Cringe.")

But the Daily News insists on anointing a rich guy who has yet to display one iota of sympathy for, or understanding of, those of us less fortunate to bail us out of this mess created by rich guys.

The paper's City Hall reporter, Erin Einhorn, cranked out a clueless puff piece Monday, "Warren Buffett: Let's hire Mayor Bloomberg to save the economy."

That's one reporter who's sure to get first crack at the City Hall press releases.

Einhorn didn't include even one dissenting voice to puncture this trial balloon. (She did call Henry Paulson — as if he would say anything substantive about it.)

Tucked in up high in her piece is a link to a Daily News editorial ("Run, Mike, Run") pleading with Bloomberg to run for a third term as mayor. The paper reasons that he's done such a great job and has such supposed business acumen that he needs to remain our leader so he can pull us out of this chasm.

If he has such vast business knowledge, why didn't he, as mayor, use his connections to the Wall Street execs to try to halt their march toward oblivion?

Bloomberg made his billions selling financial software to Wall Street — number-crunching software and hardware that gave Merrill Lynch (one of his early partners) and others the tools to create increasingly sophisticated ways of playing the market.

How do you think they figured out how to create such now-discredited instruments as credit default swaps and collateralized debt obligations?

If any mayor should be able to spot dangerous trends on Wall Street, it's the guy who made his billions furnishing info to Wall Street during its boom-bust-boom-bust cycles.

So why didn't he? I dunno, ask his chauffeur. Why didn't Bloomberg use his bully pulpit to bully his pals into at least tempering their greed lest it bury themselves (temporarily) and the rest of us (for generations)?

Instead of trying to rein in Wall Street, Bloomberg as mayor has chosen to rein in the city's smallest businessmen: those scruffy street vendors and their ilk.

His performance as the mayor who has been overseer of Wall Street qualifies him to be either the country's or the city's financial savior?

At least Warren Buffett has an excuse for touting Bloomberg: It's true that Buffett is maybe more compassionate than the average rich guy. (See my June 2007 story, "Even a Caveman Can Do the Math," about Buffett attacking greed.) But he wouldn't want to see anyone with a built-in animus toward Wall Street's basic functioning step in as a czar. And Bloomberg definitely has no animus toward Wall Street's profit-taking practices.

The Daily News has no excuse. Oh, wait, the paper does have an excuse: It's owned by rich real estate guy Mort Zuckerman, whose fortune is based on leasing office space to financial wizards in America's big cities.

These huzzahs for Bloomberg remind me of how Bhagwan Shree Rajneesh was treated by his acolytes (before his Oregon-based empire dissolved in chaos). The '80s guru, you may recall (and as I witnessed first-hand as a reporter), used to drive his Rolls-Royces slowly through his yuppie followers while they showered flowers, song, and pledges of obedience on the bhagwan ("blessed one").

And we want to do the same with Wall Street's blessed bagman?

Daily Flog: In NYC, the end of the houses that Ruth and ruthlessness built

Posted by Harkavy at 8:51 AM, September 22, 2008

History was unmade this weekend in New York City: In the Bronx, the closing of the House That Ruth Built, and in lower Manhattan, the closing of the houses that ruthlessness built.

A double dose of tears for those Wall Street investment bankers in their skyboxes at Yankee Stadium.

A double dose of publicly subsidized bailouts for both the Yankees and the investment banks.

But first . . .

NO PARTICULAR ORDER:

MarketWatch: 'End of capitalism as we know it'

Telegraph (U.K.): 'Islamabad hotel blast 'was Pakistan's 9/11'

N.Y. Post: 'COPS: JEW GUYS NEED TO TALK!'

The Register (U.K.): 'Sockpuppeting civil servant Wikifiddles himself'

McClatchy: 'Congress' fiscal conservatives declare free market "dead" '

Jurist: 'Former Special Forces officer wins transgender discrimination lawsuit'

Financial Times (U.K.): 'Taxpayers shoulder trillion-dollar deficit'

N.Y. Times: 'Foreign Banks Hope Bailout Will Be Global'

Wall Street Journal: 'Goldman, Morgan Scrap Wall Street Model, Become Banks in Bid to Ride Out Crisis'

Financial Times (U.K.): 'Obama Targets Wall Street Greed'


Running down the press:

The closing of Yankee Stadium prompted a bevy of retired baseball players to hitch up their belts over their big bellies and weigh in, but the best quote in the past few days came from former Detroit Tigers pitcher Jim Bunning:

"The free market for all intents and purposes is dead in America."

McClatchy's James Rosen, in his Friday story "Congress' fiscal conservatives declare free market 'dead,' " called that offering from the flame-throwing right-hander-turned-right-winger-Kentucky-senator a "knockdown pitch."

And that was before the monumental news over the weekend that Wall Street's investment bankers committed harakiri.

How did the press cover the news that Goldman sacks itself?

Sufferin' seppuku! Pretty darn well! And with surprisingly large doses of reality, like this piece from the Financial Times (U.K.): "Taxpayers shoulder trillion-dollar deficit." And this one from the Washington Post: "A Sense of Resentment Amid the 'For Sale' Signs."

If Barack Obama weren't black, he'd now be a shoo-in. After all, John McCain had pushed the GOP's scheme (hare-brained even before Wall Street's meltdown) to privatize Social Security. And the GOP (McCain included) has always preached deregulation. See this Wall Street Journal story for details: "Crisis Draws Attention to McCain Social Security Plan." And then look at this one from the Financial Times (U.K.): "Obama targets Wall Street greed."

If we had a parliamentary democracy, McCain and Obama would be duking it out on the floor of Congress, and not only would the fur fly but there would actually be meat on the killing floor. Instead, we'll have to put up with the lame-ass, tame-ass TV "debates" moderated, massaged, and manipulated by the mainstream media. But the first debate, Friday, ought to be more interesting in light of Wall Street's collapse.

In any case, New York's days as the world's financial capital may be numbered, but ruthlessness hasn't disappeared. Wall Street's self-destruction heralds the true end of U.S. domination of the financial world. That's probably true, but the private-equity folks who control billions of dollars will find other ways to pick at our carcasses.

Last week at least, the private-equity types were licking their chops. In Friday's edition of Private Equity Online, a handmaiden to the vultures smugly wrote:

'Cleaning up the carnage'

Buyout titans have said publicly the situation is unlike anything they've ever seen. However, there's also a certain amount of calm present in the private equity industry, where nerves are less frazzled than in other corners of the financial world.

This is to do largely, of course, with private equity's core principle: long-term investment horizons are less susceptible to public market volatility and periods of short-term distress.

But it's also to do with the opportunities available to cash-flush firms, considering the more than $60 billion (€42 billion) in pure private equity assets that are now in play as a result of the meltdown.

"Core principle," my dying ass. Drool and slobber are their principles. The newsletter's anonymous author gets down to it:

The collapse of Lehman Brothers makes the sale (or spin-out) of all or parts of its investment management division even more imminent. The sale of Merrill Lynch to Bank of America has suddenly put a question mark over its private equity division. And AIG's new US government owner could indeed decide to unwind the firm's sizable alternative platform, which is sure to include attractive assets despite the prospect of cumbersome government-run auctions.

Secondaries firms are already rubbing their hands in anticipation – one secondaries specialist told PEO his recent meetings in New York made him feel like “a kid in a candy shop”. And many big buyout shops are reportedly interested in buying the franchises outright.

Some of the private-equity scumbags (my word, not theirs) have already started infiltrating the "normal world" — at the request (insert shudder here) of Hank Paulson's rescue team:

David Zweiner, who joined The Carlyle Group little over a year ago to co-head its nascent financial services group, was selected last week as chief financial officer for struggling US bank Wachovia.

This week, the US government asked Clayton Dubilier & Rice operating partner Edward Liddy to take the helm at AIG. It also selected American Capital director John Koskinen for the board chairman role at troubled mortgage giant Freddie Mac, after having earlier in the month asked Carlyle senior advisor David Moffett to become chief executive.

And who knows where the lobbying for further corporate welfare will lead? Check out this morning's Times harbinger, "Big Financiers Start Lobbying for Wider Aid":

Even as policy makers worked on details of a $700 billion bailout of the financial industry, Wall Street began looking for ways to profit from it.

Financial firms were lobbying to have all manner of troubled investments covered, not just those related to mortgages.

At the same time, investment firms were jockeying to oversee all the assets that Treasury plans to take off the books of financial institutions, a role that could earn them hundreds of millions of dollars a year in fees.

Nobody wants to be left out of Treasury's proposal to buy up bad assets of financial institutions.

So don't start singing "The Internationale" just yet.

Go ahead, though, and download the global lefty anthem here, in any of 80 or so languages, including Billy Bragg's and Pete Seeger's versions. Or Maxx Klaxon's version.

If you can find it, you can even hum along to Tuli Kupferberg's "The New Internationale," which encourages we "prisoners of stagnation" to arise.

Daily Flog: Smears and schmears; meltdowns on Wall Street and in the Arctic

Posted by Harkavy at 9:28 AM, September 10, 2008

Running down the press:

Post: 'HOLY SOW! BAM'S LIPSTICK BUNGLE: TAKES A PIG AND A POKE AT PALIN'

This'll teach Barack Obama to stick a fork in the other white meat:

Barack Obama stuck his foot in his mouth yesterday when he said "you can put lipstick on a pig, but it's still a pig"- which the angry McCain campaign immediately denounced as an out-of-bounds attack on running mate Sarah Palin.

The U.S. has made at least some progress: Only 60 years ago, he would have been lynched for talking like that about a white gal.

Obama wasn't directly referring to Palin as a pig — he was talking about the GOP's braying about how it stands for "change." But as the L.A. Times notes, his using that simile on the heels of Palin's "lipstick" comment — not to mention the mentioning of the sensitive word "pig" anywhere even near a female candidate — left him wide open.

Palin presents a potentially big problem for the Democrats. With only a short time before the election, how are they going to reveal her as a know-nothing, religious-right wingnut? Etiquette, unfortunately, precludes them from simply laughing at her. Joe Biden is a hard-working pragmatic pol, but his tight little smile and penchant for chattering on and on aren't made for TV. Besides, the Republicans know that any hard attack on Palin will only stir up the anti-intellectual reverse snobbery that gave two full terms to such an uninterested-in-issues moron as George W. Bush.

In some ways, Palin is more dangerous than Bush. Both are proud of not being brainy, and that's clearly no handicap these days — them East Coast big shots aren't going to tell us how to run our country. But she has the zeal of her extremely conservative convictions, like any number of other anti-Darwinists whose presence on the planet actually proves their own point that humans haven't evolved.

Poke the pig at your own peril.


Post: 'RANGEL HAS A BAD CHAIR DAY'

Charlie's provocative musing about reinstating the draft? Now there's a draft afoot to oust him from his powerful job:

Embattled Harlem Congressman Charles Rangel is facing possible ouster from his powerful committee chairmanship as he scrambles to file new tax returns in a desperate bid to hold on to his job.

The amended returns will reflect years of income he never bothered reporting from renting out his beachfront Caribbean villa, his lawyer said yesterday.

House Republicans yesterday pushed Speaker Nancy Pelosi (D-Calif.) to dump Rangel as head of the Ways & Means Committee, which writes the nation's tax laws.


Post: 'DAVE AND MIKE PUT TAX HIKES ON TABLE'

The last thing you want to hear is moaning from the state and city governments about their budget problems. What this and every other story doesn't tell you is that there's plenty of money in Manhattan; it's just being diverted, with little or no regulation, into the pockets of the Wall Streeters who churn money from your mortgage payments, bank fees, and pension funds to their own benefit.


Times: 'Across Country, New Challenges to Term Limits'

Good puff for Mike Bloomberg's attempt make himself into NYC's version of Turkmenbashi and other presidents-for-life:

A decade after communities around the country adopted term limits to force entrenched politicians from office, at least two dozen local governments are suffering from a case of buyer’s remorse, with legislative bodies from New York City to Tacoma, Wash., trying to overturn or tweak the laws.


Post: 'BEATLE GAL PAL'S EX IN MAYOR RUN'

Free advertising from David Seifman for a former stooge of the fabled Nassau County GOP machine:

Add another name to the list of mayoral contenders - Republican Bruce Blakeman, whose estranged wife is hot and heavy with Paul McCartney.

After months of sounding out would-be supporters and pondering his chances in this overwhelmingly Democratic city, Blakeman told The Post yesterday: "I am going to be running for mayor."

Here's more from the press release that poses as a story:

A 52-year-old former presiding officer of the Nassau County Legislature, Blakeman said he intends to follow in the mold of both Mayor Bloomberg and his predecessor, Rudy Giuliani, and to build upon their accomplishments.

"I think there's a real desire for continuity," said Blakeman.

Great quote!

Blakeman was one of the top officials spawned by the Nassau GOP, which was long controlled by Al D'Amato and responsible for George Pataki's ill reign. Until only a few years ago, the Nassau GOP (headquartered, fittingly, in a former bank building) was the most hilariously crooked local political machine in the country that was still controlling a sizeable population.

That background — not even a sanitized version — isn't in Seifman's story.


Wall Street Journal: 'Lehman Faces Mounting Pressures'

The head may not mean too much, but the story contains a frightening description of the U.S. economy:

Lehman Brothers Holdings Inc. came under mounting pressure Tuesday after hopes faded for an investment deal with a Korean bank, helping to trigger a 45% fall in the firm's shares.

Lehman's troubles mark the latest installment in the worst financial-system crunch in decades, coming just two days after the U.S. government announced its plan to take over the two giants of the mortgage business. U.S. stocks fell Tuesday, giving back gains that had greeted the weekend bailout of Fannie Mae and Freddie Mac.

Yes, "the worst financial-system crunch in decades."

Forget that Toyota "sales event." If you really want a smokin' deal, bring your checkbook to Lehman's HQ at 745 Seventh Avenue — it's a closeout, clearance, fire sale! As the Financial Times (U.K.) notes this morning:

The bank said it would spin off the majority of its commercial real estate assets into a public company by the first quarter of next year, a move which will vastly reducing its exposure to the troubled sector.

It also intends to sell a majority interest in its asset management division.

Any second now, Lehman will be changing its corporate history, which now describes the company as "an innovator in global finance."

Soon to be a major non-player in global finance, Lehman does have a fascinating history. The Lehman boys immigrated from Europe and founded their company in 1850 in Montgomery, Alabama. The company made its fortune trading cotton in that slave-based economy.

Now, 150 years later, the whole cotton-pickin' conglomerate is about to go under.


Jewish Daily Forward: 'First Criminal Charges Filed Against Agriprocessors Owners'

The only NYC paper to cover the hell out of the slaughterhouse jive in Iowa — one of the most interesting immigration stories unfolding anywhere in the U.S. — is the Forward. Nathaniel Popper continues his fine coverage:

The first criminal charges were filed against the owners of the country’s largest kosher slaughterhouse, Agriprocessors, in connection with a May immigration raid at the plant.

The Iowa attorney general filed more than 9,000 separate child labor charges against the company, its human resources managers and members of the family that owns the plant, including Aaron Rubashkin, CEO of the company, and Sholom Rubashkin, who had overseen operations at its Postville, Iowa, slaughterhouse.

In the immediate aftermath of the charges, the leading kosher certifier in the United States, the Orthodox Union, said it would suspend its certification of Agriprocessors unless the company finds new management within a few weeks.

The Forward doesn't just cover the Jewish angle of this mess — it also explores the exploitation of slaughterhouse workers. Sticking close to home, the paper wades into the labor practices of another big Kosher processor operating right here in NYC. Popper's September 4 piece, "Workers Speak Out at Nation’s New Leading Kosher Producer," is a detailed feature that starts:

Luis Molina lost part of his middle finger to a 2,000-pound food mixer while working at what is now the country’s largest producer of kosher beef, Alle Processing.

Molina, 23, said that the accident, which happened when a fellow employee flipped a power switch, was not a surprise, given that he and others on his team had not received safety training. But he also said that what’s happened since then has added insult to injury.

The company, which operates a plant in Queens, stopped his pay the same hour he got injured, he said, leaving him in the lurch financially. Then, he continued, when he went into the office to talk to his supervisor, he was told that when he returned to work he would be suspended for four weeks without pay, because he used the machine improperly. After three years with the company, Molina said even this was not unexpected.

“They love suspending people there for any little thing,” Molina said while recuperating at his home in Brooklyn as his two children ran around him. “Two weeks, three weeks, they think it’s a joke ’cause they got that little power.”


Jewish Daily Forward: 'With White House at Stake, Ultra-Orthodox Work To Get Out the Vote — in Israel'

More praise for the Forward, which is the only NYC paper to consistently cover (and without doses of political correctness) right-wing Jews' political maneuvering. This one's about the black hats — the Haredi, the most ultra-Orthodox of Orthodox Jews — seeing McCain as the guy with the white hat:

As the American presidential contest between Barack Obama and John McCain heads into its final stretch, a group of leading ultra-Orthodox rabbis in Israel is preparing to release a statement that urges the country’s American expatriates to exercise their voting rights in November by casting absentee ballots.

The statement comes on the heels of a visit to Israel by Haredi lobbyist Rabbi Yehiel Kalish, who is the director of government affairs at Agudath Israel of America, a leading Haredi advocacy organization. Kalish spent a week in Jerusalem and Bnei Brak early this month, meeting with rabbis to request their help in mobilizing Americans living in Israel to register and vote.

Imagine the consternation in the U.S. press if some overseas imam controlling mosques over there and in the U.S. injected himself into our presidential campaign. Anyway, Nathan Jeffay's story gets past the bullshit and right to the heart of matters:

“Every vote cast from Eretz Yisrael comes from someone concerned for the safety and security of people living there, and this will be understood in Washington,” Kalish told the Forward. Aaron Spetner, a Jerusalem-based Agudath Israel activist who is heading the campaign, added that “if thousands of voter registration forms are coming in from Israel, it makes us powerful in Washington — with the president, senators and congressmen.”

There are an estimated 200,000 Americans living in Israel and the Palestinian territories. Only 35,000 are currently registered to vote.

Several experts contacted by the Forward voiced skepticism, however, at the organizers’ claim of nonpartisanship, pointing to conservative leanings among Haredi voters. “While I can’t be sure, Haredim are much more right-wing and want to show McCain that they are capable of delivering the goods,” said Bar-Ilan University sociologist Menachem Friedman, an expert in Haredi culture.

Political activists were more direct. “You would have trouble convincing me that this is not done in support for McCain by people who favor McCain,” said Gershon Baskin, founder and CEO of the dovish Israel/Palestine Center for Research and Information.


Times: 'A New Voice From Within'

Michael Kimmelman's lede strikes just the right note of condescension:

The name Thomas P. Campbell probably won’t ring many bells with the public. Inside the Metropolitan Museum, though, the news of his ascension to director is likely to be greeted by many colleagues with pleasure and relief.


McClatchy: 'Federal deficit soars, but McCain, Obama offer no answers'

Somehow managing to provide news with interpretation and also flaying both presidential candidates, David Lightman and Kevin G. Hall hold the smears and hold the schmears. Instead they write:

Just weeks before the government's fiscal year ends Sept. 30, the nonpartisan Congressional Budget Office on Tuesday projected a near-record federal budget deficit of $407 billion, sharply higher than White House projections six weeks ago and more than double last year's figure.

Mammoth federal-budget deficits feed inflation, make America dependent on foreign lenders, cost taxpayers hundreds of billions of dollars in interest payments on the growing national debt and drain capital savings from more productive investments.

The widening gap between what the government spends and the revenue it brings in is sure to weigh on the next president and impede his efforts to spend on new or larger programs or to cut taxes.

Yet John McCain and Barack Obama show few signs that they're ready to take tough steps to curb deficits, according to budget analysts.


McClatchy: 'Low levels of Arctic sea ice signal global warming's advance'

One great thing about global warming: We don't have to worry about destroying the Arctic ice by drilling into it because it's already gone. Renee Schoof explains:

This year will see the second-biggest loss on record of Arctic sea ice — a sign that the area of ice coverage is shrinking at a pace faster than once expected.

The trend also suggests that global warming is likely to increase, polar bear habitat will decline and previously icebound areas could be opened to oil and gas exploration.


Global Warnings on Palin

Posted by Harkavy at 3:13 PM, September 4, 2008

Stepping back from the hoopla, the planet wonders, "Is he out of his mind?"

It doesn't really matter what the world's lefty sites say about Sarah Palin, unless any of them have some real meat to put on the table.

It does matter, on the other hand, what the conservative, mainstream outlets say if they're the news sources for the people with money who control the planet.

Take, among others, the Economist, the U.K.-based sober magazine that influences the financial world's policy-makers. You'll see that much of the world is practically sneering at John McCain's choice of a Tonya Harding to bust the Democrats' kneecaps.

For a good round-up, see the Financial Times piece "Palin fascinates European media," in which the British counterpart of the Wall Street Journal points out the depth of Palin coverage in France:

What intrigues the secular and still left-leaning French is how the choice of Ms Palin, an anti-abortion, creationist Christian, has pushed the candidacy of Mr McCain to the right and transformed the US presidential contest into a battle of values rather than policies. "The choice of Ms Palin turned the centrist John McCain into the "heir to Bush", Le Monde said in an editorial.

Writing in the conservative Le Figaro, Nicole Bacharan, a French historian, said the arrival of Ms Palin would "trigger the eruption of moral intolerance in the campaign".

The timid U.S. mainstream press has of course generally downplayed Palin's religious-right credentials as a key to her being chosen.

The Economist focuses not on Palin but on what McCain's choice of Palin says about him. Under the headline "The woman from nowhere: John McCain's choice of running-mate raises serious questions about his judgment," the mag says:

The most audacious move of the race so far is also, potentially, the most self-destructive. John McCain's choice of Sarah Palin as his running-mate has set the political atmosphere alight with both enthusiasm and dismay.

Mr McCain has based his campaign on the idea that this is a dangerous world — and that Barack Obama is too inexperienced to deal with it. He has also acknowledged that his advanced age — he celebrated his 72nd birthday on August 29th — makes his choice of vice-president unusually important. Now he has chosen as his running mate, on the basis of the most cursory vetting, a first-term governor of Alaska.

The piece is well worth reading in its entirety — even my lengthy excerpts from it shouldn't stop you — because the Economist's writers clearly aren't brain-dead from having watched hour after hour of the paralyzing spinster vs. spinster drivel emanating from CNN or Fox News. The opinion piece/analysis points out that Palin "was greeted like the reincarnation of Ronald Reagan by the delegates, furious at her mauling at the hands of the 'liberal media,' " but then throws in a heavy dose of reality:

[O]nce the cheering and the chanting had died down, serious questions remained.

The political calculations behind Mr McCain's choice hardly look robust. Mrs Palin is not quite the pork-busting reformer that her supporters claim. She may have become famous as the governor who finally killed the infamous "bridge to nowhere" — the $220m bridge to the sparsely inhabited island of Gravina, Alaska. But she was in favour of the bridge before she was against it (and told local residents that they weren't "nowhere to her"). As mayor of Wasilla, a metropolis of 9,000 people, she initiated annual trips to Washington, DC, to ask for more earmarks from the state's congressional delegation, and employed Washington lobbyists to press for more funds for her town.

OK, you'll say, but that's not looking at her from the perspective of the GOP. But the Economist does:

Nor is Mrs Palin well placed to win over the moderate and independent voters who hold the keys to the White House. Mr McCain's main political problem is not energising his base; he enjoys more support among Republicans than Mr Obama does among Democrats. His problem is reaching out to swing voters at a time when the number of self-identified Republicans is up to ten points lower than the number of self-identified Democrats.

Mr McCain needs to attract roughly 55% of independents and 15% of Democrats to win the election. But it is hard to see how a woman who supports the teaching of creationism rather than contraception, and who is soon to become a 44-year-old grandmother, helps him with soccer moms in the Philadelphia suburbs. A Rasmussen poll found that the Palin pick made 31% of undecided voters less likely to plump for Mr McCain and only 6% more likely.

Can't resist one more clump from the Economist, because it dares to bring George W. Bush into the conversation:

The moose in the room, of course, is her lack of experience. When Geraldine Ferraro was picked as Walter Mondale's running-mate, she had served in the House for three terms. Even the hapless Dan Quayle, George Bush senior's sidekick, had served in the House and Senate for 12 years. Mrs Palin, who has been the governor of a state with a population of 670,000 for less than two years, is the most inexperienced candidate for a mainstream party in modern history.

Inexperienced and Bush-level incurious. She has no record of interest in foreign policy, let alone expertise. She once told an Alaskan magazine: "I've been so focused on state government; I haven't really focused much on the war in Iraq." She obtained an American passport only last summer to visit Alaskan troops in Germany and Kuwait. This not only blunts Mr McCain's most powerful criticism of Mr Obama. It also raises serious questions about the way he makes decisions.

In fact, McCain is usually much more calculating and politically aware than this — or at least I thought so, based on my having covered him off and on for the past 20 years, since his early days as a new Arizona congressman. Nobody can accuse him of being a dumbass, like Bush.

But this episode is only confirmation that McCain's choice of a religious-right, inexperienced woman is little more than a race-based act of desperation. The religious right, after all, has long detested McCain. The Palin move may well win over those voters. But relatively few moderate women, either Republicans or Democrats and especially those who are pro-choice, are likely to fall for this.

White men, however, might still feel threatened enough by the specter of a black man as president that they'll vote for this lightweight hockey mommy.

Daily Flog: Snow jobs and mush after Palin completes her first drilling

Posted by Harkavy at 9:15 AM, September 4, 2008

In a world where a no-name Alaskan could suddenly become an aging heartbeat from the U.S. presidency, as Don LaFontaine might have intoned it if he hadn't died before I could hire him, the stunning desperation of that very move got glossed over by 99 percent of the U.S. media.

Matt Scully's speech at the Republican National Convention — recited by Sarah Palin last night — received the imprimatur from the New York Times: "Palin Assails Critics and Electrifies Party."

Like an ER team using the paddles to jump-start a dead patient.

As if they were reporting on the emperor's new clothes, Elizabeth Bumiller and Michael Cooper pronounced the Republican ticket healthy:

Gov. Sarah Palin of Alaska introduced herself to America before a roaring crowd at the Republican National Convention on Wednesday night as “just your average hockey mom” who was as qualified as the Democratic nominee, Senator Barack Obama, to be president of the United States.

An hour later Senator John McCain, a scrappy, rebellious former prisoner of war in Vietnam whose campaign was resurrected from near-death a year ago, was nominated by the Republican Party to be the 44th president of the United States after asking the cheering delegates, “Do you think we made the right choice” in picking Ms. Palin as the vice-presidential nominee?

What a shock that the delegates said yes.

Of course, Times reporters didn't have to play into the McCain campaign's hands by describing him that way. Closer to the truth is that McCain is an admiral's son who married an Arizona liquor magnate's daughter, carpetbagged into Congress, and built his career by sucking up to the rich and powerful, including financiopath S&L schnook Charles Keating and newspaper publisher/phony war hero Darrow "Duke" Tully.

They got Palin right, however. She really is a hockey mom — even the father of her accidental grandchild is a high-school kid who plays hockey with his buddies.

Is she really a good choice for the ticket? I don't know. Alaska.


A look-see at how the rest of the press handled the GOP's desperate move to offer a Snow White alternative to the Democrats' Negro candidate:

The Wall Street Journal was more rational, steering clear of the kind of glib labeling used by the likes of the Times and me. The lede by Jerry Seib and Laura Meckler: