May 9, 2024

Archives for February 2013

After a Tease, Stocks End Lower

Resisting expectations of a correction, Wall Street stocks traded higher for most of Thursday, with the Dow Jones industrial average within striking distance of a record high, but at the end of the session the major indexes retreated into slightly negative territory.

Investors found reasons to keep pushing markets higher following a sharp two-day rally, despite a read on economic growth that was weaker than expected.

But at the close, the Dow Jones industrial average was down 0.2 percent, the Standard Poor’s 500-stock index fell 0.1 percent and the Nasdaq composite index lost 0.1 percent.

Earlier, the Dow had risen 0.5 percent, taking it about 16 points shy of its October 2007 closing high.

The Commerce Department said Thursday that the economy grew 0.1 percent in the fourth quarter, a weaker pace than expected, although a slightly better performance in trade led the government to scratch an earlier estimate of a contraction in gross domestic product.

Separately, the number of Americans filing new claims for unemployment benefits fell more than expected last week, suggesting the labor market recovery was gaining some traction.

“The G.D.P. revision is positive but nothing to write home about, especially since it missed estimates,” said Adam Sarhan, chief executive of Sarhan Capital in New York.

While markets suffered steep losses earlier in the week on concerns over European debt, they have since recovered, with the gains fueled by strong data and comments from Federal Reserve chairman, Ben S. Bernanke, that showed continued support for the Fed’s economic stimulus policy.

“Bulls are still leading the market with the pullback bought up quickly, but we’re in a wait-and-see period after the big move we’ve had,” Mr. Sarhan said.

So far in February, the S.P. 500 has gained 1.2 percent, the Dow is up 1.6 percent and the Nasdaq has added 0.6 percent.

Investors will also be keeping an eye on the debate in Washington over government budget cuts that will take effect starting Friday if lawmakers fail to reach an agreement on spending and taxes. President Obama and Republican Congressional leaders arranged to hold last-ditch talks to prevent the cuts, but expectations were low that any deal would be produced.

“Investors have come to the realization that sequestration isn’t the end of the world and that it will eventually be fixed,” said Oliver Pursche, president of Gary Goldberg Financial Services in Suffern, N.Y. “But going into March, the risk is that the economy slows down and disappoints investors.”

J.C. Penney shares slumped 20.9 percent after the department store reported a steep drop in sales on Wednesday. Groupon also slumped on weak revenue, with the stock off 24 percent.

Sears Holdings started the day higher, after its earnings and sales beat expectations, but then fell 3 percent.

European shares ended modestly higher, while Asian markets closed sharply ahead.

Article source: http://www.nytimes.com/2013/03/01/business/daily-stock-market-activity.html?partner=rss&emc=rss

Uncertainty Mounts Ahead of Hungarian Bank Chief Selection

FRANKFURT — The change coming at the top of the Hungarian central bank has raised fears that monetary policy could soon be subverted to politics, with the government resorting to printing money to revive its slumping economy.

The results of looser money, many economists say, could pose risks not just for the country but for Eastern Europe and even the euro zone.

Prime Minister Viktor Orban is expected to appoint a successor to Andras Simor, whose term as governor of the Hungarian central bank is expiring, as early as Friday. The front-runner appears to be Gyorgy Matolcsy, the Hungarian economics minister, a maverick who is close to Mr. Orban and whose statements often cause the forint, the country’s currency, to gyrate on money markets.

Mr. Orban might also turn to Mihaly Varga, a former finance minister and ally who led Hungary’s negotiations with the International Monetary Fund for financial support.

Whoever gets the job is expected to be in step with Mr. Orban and pursue unorthodox policies designed to jolt the Hungarian economy out of recession in time to help the government win re-election next year.

The appointment would also consolidate Mr. Orban’s control of one of the nation’s last independent institutions.

“There is no doubt that the last institution in Hungary that has been able to withstand Orban’s pressure is the central bank,” said Peter Rona, an economist and senior fellow at Oxford University who is a member of the Hungarian central bank’s supervisory board. “If that goes under his control, the last point of resistance is gone.”

Mr. Matolcsy’s past statements suggest he would be willing to throw out the rule book of central banking if he got the job.

“He is wholly inappropriate for this position, as he has neither the professional background nor the temperament to guide the bank,” Mr. Rona said.

Mr. Matolcsy, or another Orban appointee, is expected to try to emulate the quantitative easing used by the U.S. Federal Reserve or Bank of England. But policies designed to stimulate growth in big countries like the United States or Britain could be disastrous when applied to a small country like Hungary that cannot finance itself without foreign capital, economists said.

Dismay about Mr. Orban’s economic policies have already contributed to the flight of capital from the country. Funds equal to 2 percent of gross domestic product, or about €4 billion, left Hungary in the third quarter of 2012, according to the European Bank for Reconstruction and Development.

Along with Slovenia, which is in the middle of a banking crisis, Hungary suffered the worst capital flight of any country in Eastern Europe or the Balkans.

Since becoming prime minister in 2010, Mr. Orban has used his two-thirds majority in Parliament to expand his control over the judiciary and the media.

That he would do the same to the central bank has raised concerns because it would violate the fundamental principle that monetary policy should not be dictated by politics.

“A key prerequisite for a credible monetary policy is the independence of the central bank,” Mario Draghi, the president of the European Central Bank, said in Budapest in December, in a clear expression of his concern about developments there.

But foreign central bankers may have little room to criticize unorthodox policies by the Hungarian central bank when they have themselves stretched the boundaries of monetary policy.

People loyal to Mr. Orban already hold a majority on the central bank committee that sets monetary policy. They have cut the benchmark interest rate to 5.25 percent from 7 percent last year. That is still well above the E.C.B. benchmark rate of 0.75 percent.

Though wary of criticizing Mr. Matolcsy directly, local bankers have expressed concern.

“Will he stick to the fundamental objectives of the central bank, or will he try to get out of this box to get more in alignment with the government?” asked Heinz Wiedner, head of the Hungarian unit of Raiffeisen Bank, an Austrian lender. “We have to see.”

Mr. Matolcsy, 57, has already created plenty of controversy as economics minister. He helped impose the highest bank levy in Europe and nationalized private pension funds.

Those steps helped push the government deficit below 3 percent of gross domestic product, allowing Hungary to sell $3.25 billion in 5-year and 10-year government bonds this month.

Article source: http://www.nytimes.com/2013/03/01/business/global/uncertainty-mounts-ahead-of-hungarian-bank-chief-selection.html?partner=rss&emc=rss

E.U. Leader Suggests Europe Will Not Change to Satisfy Critics

BRUSSELS — The man who represents the 27 leaders of the European Union warned Thursday of widespread opposition to steps that may be necessary to keep Britain as a member of the bloc.

Herman Van Rompuy, the president of the European Council, said he saw “no impending need to open the E.U. treaties” to address the complaints of countries like Britain that are outside the euro zone and which object to “federal Euroland” rules governing the Union.

“Nor do I feel much appetite for it around the leaders’ table,” Mr. Van Rompuy said, according to the text of a speech he delivered Thursday evening in London at the Policy Network, a center-left research organization.

An aide to Mr. Van Rompuy said the comments were meant to underline that there was no immediate need to change E.U. treaties to ensure the stability of the euro, and that the comments were not referring to any demands for treaty change that Britain may seek in the future.

Still, Mr. Van Rompuy’s remarks appeared to be a pointed warning to Prime Minister David Cameron, who in January promised British voters a referendum within the next five years on whether to stay in the Union on revised membership terms, or to leave.

Mr. Cameron’s stance is widely regarded as a bet that his country is big and important enough to win concessions from the bloc, including a change in the E.U. treaty if necessary. But a number of European leaders, as well as critics in Britain, have also warned that Mr. Cameron could lose that gamble and end up overseeing the country’s voluntary exclusion from the Union.

Mr. Van Rompuy also faulted the British approach as overly confrontational in a Union that has a long tradition of consensual decision-making.

“How can you possibly convince a room full of people when you keep your hand on the door handle?” said Mr. Van Rompuy, without naming Mr. Cameron, according to the advance copy of his speech.

“How to encourage a friend to change, if your eyes are searching for your coat?” he added.

In the speech, Mr. Van Rompuy said that “leaving the club altogether, as a few advocate, is legally possible” but that such a move “would be legally and politically a most complicated and unpractical affair.”

Mr. Van Rompuy’s remarks got underway shortly after Mario Monti, the outgoing Italian prime minister, warned during a speech in Belgium of renewed dangers to the Union on its southern fringe.

Mr. Monti was roundly defeated during the weekend in elections that left no party with a majority in the new Parliament in Rome. The ballot also saw the emergence of the anti-establishment Five Star Movement, founded just three years ago by the comedian Beppe Grillo, and the resurgence of Silvio Berlusconi, who was forced from office in November 2011 amid a collapse in confidence in his ability to run the country.

In his speech, Mr. Monti, who described himself as a fervent supporter of budgetary discipline, said that one of the key problems the Union faced was that reforms associated with such policies took a long time to bear fruit.

“If the gains from virtue are not seen, the insistence on virtue may be short-lived,” he told an audience of antitrust lawyers at a conference in Brussels, where he formerly served as the European Union’s commissioner for competition policy.

Mr. Monti said that “strategy at the E.U. level” was in danger of being undermined by “the most simplistic, some would say populistic” trends, adding the caveat that he was not referring to the elections in Italy.

Article source: http://www.nytimes.com/2013/03/01/business/global/eu-leader-suggests-europe-will-not-change-to-satisfy-critics.html?partner=rss&emc=rss

Economix Blog: Labs for Testing Fiscal Policy Positions

Owen Zidar, a doctoral student in economics at the University of California, Berkeley, was previously a staff economist at the Council of Economic Advisers and an analyst at Bain Capital Ventures.

Owen Zidar, a doctoral student in economics at the University of California, Berkeley, was previously a staff economist at the Council of Economic Advisers and, in 2008-9, an analyst at Bain Capital Ventures.

Many of the fiercest disagreements about fiscal policy today stem from disagreements about the causes of the slow recovery – whether government-induced uncertainty and excessive spending or low aggregate demand and insufficient government spending.

Because of the economic, political and social differences between the United States and other countries, or even the altered circumstances today in comparison with past American recoveries, there may seem to be little evidence from which to project the likely outcomes of such policy choices. But as it happens, economists have increasingly been using regions within the United States as labs of democracy, measuring contrasting approaches in various states to determine both why the recovery is sluggish and what to do about it.

This regional analysis about different types of economic medicine and their effects on job creation points to some useful insights for policy makers and Congress as they struggle through another standoff on fiscal policy. The findings on the effects of government spending in hard economic times strongly suggest, for example, that cutting spending today will hurt growth and reduce job creation.

Here are a few instances in which this research approach has been fruitful.

UNCERTAINTY: In a study published this month, AtifMian of Princeton and Amir Sufi of the University of Chicago pointed out that if uncertainty about prospective government regulation and taxes is the primary reason for the sluggish recovery, then states where policy uncertainty is high should tend to have lower job growth. Using state-level data from National Federation of Independent Businesses, however, they found almost no relationship between job growth and the share of small businesses that cite regulation and taxes as their top concern. (Rather, they found a strong correlation between weak job growth and complaints of a lack of demand.) Their results do not provide much support for idea that apprehensiveness about regulation and taxation is holding back the recovery.

FISCAL RELIEF: Gabe Chodorow-Reich of the University of California, Berkeley, and three colleagues used similar methods to investigate whether fiscal relief during the Great Recession increased employment. In an article published last August in the American Economic Journal, they looked at how much faster employment grew in states that received more fiscal support (for Medicaid because of mechanical and predetermined reasons). The findings showed that focused fiscal relief during hard times can effectively stimulate employment. An important and timely implication of this finding is that the contrary policy of cutting spending during hard times can reduce employment. Nonpartisan private forecasters, like Macroadvisers, agree – in an analysis last week of the prospective impact of the mandatory spending cuts known as sequestration, it estimated that the spending cuts due to the sequester will result in 700,000 lost jobs by the end of next year.

SPENDING CUTS VS. TAX INCREASES: Many Republicans say that spending cuts from the sequester would have a less damaging effect on the economy than increasing taxes on upper-income earners. But some of my own recent research uses regional variation to show that this belief is at odds with the evidence. I find that modestly sized tax increases on upper-income taxpayers have a negligible to small impact on job creation. These magnitudes are much smaller than those of cutting government spending in hard times, which suggests that using modest upper-income tax increases to offset some required spending cuts would help cushion the impact of the sequester on the labor market.

Article source: http://economix.blogs.nytimes.com/2013/02/28/labs-for-testing-fiscal-policy-positions/?partner=rss&emc=rss

Dow Nears Record as Investors Find Reasons to Buy

Resisting expectations of a correction, Wall Street stocks traded higher for most of Thursday, with the Dow Jones industrial average within striking distance of a record high, but at the end of the session the major indexes retreated into slightly negative territory.

Investors found reasons to keep pushing markets higher following a sharp two-day rally, despite a read on economic growth that was weaker than expected.

But at the close, the Dow Jones industrial average was down 0.2 percent, the Standard Poor’s 500-stock index fell 0.1 percent and the Nasdaq composite index lost 0.1 percent.

Earlier, the Dow had risen 0.5 percent, taking it about 16 points shy of its October 2007 closing high.

The Commerce Department said Thursday that the economy grew 0.1 percent in the fourth quarter, a weaker pace than expected, although a slightly better performance in trade led the government to scratch an earlier estimate of a contraction in gross domestic product.

Separately, the number of Americans filing new claims for unemployment benefits fell more than expected last week, suggesting the labor market recovery was gaining some traction.

“The G.D.P. revision is positive but nothing to write home about, especially since it missed estimates,” said Adam Sarhan, chief executive of Sarhan Capital in New York.

While markets suffered steep losses earlier in the week on concerns over European debt, they have since recovered, with the gains fueled by strong data and comments from Federal Reserve chairman, Ben S. Bernanke, that showed continued support for the Fed’s economic stimulus policy.

“Bulls are still leading the market with the pullback bought up quickly, but we’re in a wait-and-see period after the big move we’ve had,” Mr. Sarhan said.

So far in February, the S.P. 500 has gained 1.2 percent, the Dow is up 1.6 percent and the Nasdaq has added 0.6 percent.

Investors will also be keeping an eye on the debate in Washington over government budget cuts that will take effect starting Friday if lawmakers fail to reach an agreement on spending and taxes. President Obama and Republican Congressional leaders arranged to hold last-ditch talks to prevent the cuts, but expectations were low that any deal would be produced.

“Investors have come to the realization that sequestration isn’t the end of the world and that it will eventually be fixed,” said Oliver Pursche, president of Gary Goldberg Financial Services in Suffern, N.Y. “But going into March, the risk is that the economy slows down and disappoints investors.”

J.C. Penney shares slumped 20.9 percent after the department store reported a steep drop in sales on Wednesday. Groupon also slumped on weak revenue, with the stock off 24 percent.

Sears Holdings started the day higher, after its earnings and sales beat expectations, but then fell 3 percent.

European shares ended modestly higher, while Asian markets closed sharply ahead.

Article source: http://www.nytimes.com/2013/03/01/business/daily-stock-market-activity.html?partner=rss&emc=rss

Media Decoder Blog: The Breakfast Meeting: A Video Campaign Pushes Paper, and Denmark’s Unexpected Advocates of Free Speech

A giant paper maker, Domtar Corporation, has added four video clips with commercials to a campaign called “Paper because” that emphasize paper’s importance in a digital world, Stuart Elliott writes. The first batch of videos was released in 2010 and featured over-the-top vignettes in an office where a crusade to go paperless becomes extreme. The latest releases expand the theme to other situations, like dealing with tech support at home or an overconfident waiter. The videos are only one part of the “Paper because” campaign, which includes, of course, print advertisements.

Suspicion fell on Denmark’s Muslim community shortly after an unsuccessful assassination attempt of Lars Hedegaard, an anti-Islam polemicist, earlier this month, Andrew Higgins reports. But Muslim groups in Denmark took an unexpected stance after a man posing as a mail carrier shot at, and missed, Mr. Hedegaard: they condemned the attack and supported Mr. Hedegaard’s right to express himself, even though his views are a combination of conspiracies and anti-Muslim rhetoric. Defending a man they detest suggests a change in attitude, or at least strategy, for Muslim groups at the center of a debate on whether they can adapt to the values of their adopted home.

There is a critical filmmaking profession that remains snubbed in the Oscars ceremony: music supervisors, the people who choose existing music to augment films, are not eligible for an Academy Award, Steve Chagollan writes. Supervisors bemoaned this state of affairs at their third-annual awards ceremony a few weeks ago in West Hollywood, especially because outside music played an important role in films like “Silver Linings Playbook” and “Django Unchained.” The Academy might be given pause by the fact that directors often work with music supervisors to find the perfect fit, and that music supervisors do not exactly create anything. Charles Fox, the chairman of the Academy’s music branch, said originality was the Oscar’s foremost concern. “In all of our categories — best song, best score — music has to be created specifically for that motion picture,” he said.

It’s been a parlor game among Hollywood types to figure out why “Lincoln,” despite having all the hallmarks of an Oscar-dominating film, lost best picture to “Argo,” Melena Ryzik reports. Insiders said part of the reason may have been that the team behind “Lincoln” overcampaigned, and made voters feel as if they had been force-fed a history lesson. The same overreach could be seen in Sunday’s broadcast itself, Ms. Ryzik writes, which lost coherence in an attempt to push boundaries and appeal to a critical age demographic. The Oscar does not always go to the best movie and the funniest comedian is not always the best host. The also-rans must content themselves with other Hollywood prizes: record-breaking ticket sales and higher ratings.

A senior White House official yelled at journalist Bob Woodward for nearly half an hour last week after Mr. Woodward told him that he planned to question, in a Washington Post article, President Obama’s account of how the budget cuts known as sequestration came to be, Mike Allen and Jim VandeHei write in Politico. The official later sent an e-mail that offered apologies but also said Mr. Woodward would “regret staking out that claim.” Mr. Woodward saw the phrase as a veiled threat, though the White House later said none was intended. “They become defensive,” Mr. Woodward said. “This could be a huge issue if the economy takes a hit.”

Article source: http://mediadecoder.blogs.nytimes.com/2013/02/28/the-breakfast-meeting-a-video-campaign-pushes-paper-and-denmarks-unexpected-advocates-of-free-speech/?partner=rss&emc=rss

Media Decoder Blog: Barnes & Noble Reports Big Falloff in Nook Unit

Barnes Noble experienced a drop in revenue in all three of its major divisions – retail, college and Nook – for its fiscal third quarter, the company reported on Thursday morning. But the 26 percent falloff in the Nook segment, which includes digital tablets and e-readers, was particularly steep.

The company said earnings before interest, taxes, depreciation and amortization were $55 million for the quarter ended Jan. 26, compared with $150 million for the period a year earlier, while consolidated net losses were $6.1 million, compared with net earnings of $52 million.

Barnes Noble, the nation’s largest bookstore chain, had warned earlier in the month that Nook sales were disappointing, and executives had hinted that the company’s strategy of competing in the highly competitive tablet space had run its course.

“The Nook is not a failure, not technically,” said James McQuivey, an anaylst at Forrester Research. “If you go back two years and ask the Nook product managers how many Nooks they would want to sell by now, I bet they have blown past that number. The problem is not the Nook’s success or failure, it’s the fact that the overall tablet market has actually blown way past the Nook’s performance. This puts the Nook in a dim light at a time when the traditional retail business is already facing a cliff of its own.”

On Monday, Leonard Riggio, the company’s largest stockholder and the architect of the company’s ferocious and successful retail expansion in the 1980s and ’90s, announced he was considering buying Barnes Noble’s retail operation. Some analysts cheered this announcement because they felt the digital unit, meant to be the company’s savior, was in fact dragging down the worth of the retail stores, which for now remain a viable operation.

That notion got some support with the earnings report. The company said retail sales decreased more than 10 percent, largely because of store closings. But Barnes Noble had anticipated the lower revenue and, despite the sales decline, retail earnings increased 7.3 percent, to $212 million, “resulting from a higher sales mix of higher margin core products and expense management,” the company said.

Revenue in the Nook unit plunged by 26 percent, to $316 million for the quarter, compared with $426 million in the year-earlier period, while losses more than doubled, to $190 million, from $83 million. The losses were largely a result of lower-than-anticipated sales, inventory charges and higher operating expenses because of advertising costs, the company said.

One bright note was that digital content sales through the Nook unit increased 6.8 percent.

The company said that Nook was already implementing a cost reduction program.

“In terms of the Nook Media business, we’ve taken significant actions to begin to right size our cost structure in the Nook segment, while also taking a large markdown on Nook devices in order to enhance our ability to achieve our estimated sales plans in subsequent quarters,” William J. Lynch Jr., chief executive of Barnes Noble, said in a statement.

Still, Mr. Lynch emphasized that the company was not abandoning the Nook division or the digital devices.

“Nook Media has been financing itself since October of 2012 due to the strong investment partners we’ve been able to attract in Microsoft and Pearson,” he said. “Coming off the holiday shortfall, we’re in the process of making some adjustments to our strategy as we continue to pursue the exciting growth opportunities ahead for us in the consumer and digital education content markets.”

Article source: http://mediadecoder.blogs.nytimes.com/2013/02/28/barnes-noble-reports-big-falloff-in-nook-unit/?partner=rss&emc=rss

Media Decoder Blog: Two reporters, one episode, and a deck of Beltway cards

Welcome back to the “House of Cards” recap where Ashley Parker and David Carr tease apart Netflix’s Washington-based drama as a reflection of the world of politics and media. Spoilers abound, so read at your peril.

Episode Three
Rep. Frank Underwood is busy hammering out an education bill when a seemingly made-up controversy in his home district forces him to hop a plane. Meanwhile, the newspaper reporter Zoe Barnes enjoys her time in the spotlight and contemplates going rogue.

Carr: There are two parables embedded in this episode. The first is an old one, reminding us that all politics, no matter how important the players, are local. And the second seems to take on a more modern dilemma, suggesting that journalism, often thought of as a team sport, is actually morphing into a place where individuals shine. After all, there’s at least one “I” in journalism, right?

Even as he’s dealing with the education bill, Frank returns to his district to deal with a crisis involving a teenage girl’s death. The dual responsibilities give the show the opportunity to show the tension between being a beltway player while keeping the home fires burning. For my money, though, the journalism leg of the episode three is the far more provocative strand of this show. Zoe Barnes, a newly minted It Girl of Beltway journalism, is ushered into the editor’s office and is met by the newspaper’s publisher, a doyenne played by Kathleen Chalfant and clearly meant to evoke Katharine Graham of The Washington Post.

She quizzes Zoe about her source for a story but Zoe refuses to give it up: “Do you want my source or my integrity?” Zoe asks somewhat aphoristically. The publisher, charmed by her insouciance, orders the editor to put the young reporter’s story about a secretary of state nominee on the front page. Those kind of edicts might occur at some newspapers — not the one I work at — but they would never, ever be delivered in front of a reporter.

The publisher’s mandate only increases the friction between the upstart reporter and her very traditional editor, Tom Hammerschmidt. Played in the key of dour by Boris McGiver, Hammerschmidt does a slow burn as he watches Zoe do a television interview and making all manner of broadcast judgments about the state of journalism and The Washington Herald, her mythical paper.

“Your job is to cover the news, not be the news,” he says.

“I was promoting the paper,” she responds.

“You were were promoting Zoe Barnes,” he shoots back, before telling her to reign in her arrogance, along with her television appearances. “No TV for a month,” he says. When she complains, he threatens, “You make it no TV indefinitely?” That conversation rings very true to the father of teenagers like me, but it would not go off that way in any professional setting I have ever worked in.

What say you, Ashley? Did you like the episode? And do you think that Ms. Barnes push-back against her boss flicked at the growing power of individuals within journalistic enterprises?

Parker: The question of individual brands in journalism is an interesting one. When I graduated from college, in 2005, it was a legitimate question as to whether an aspiring journalist should try to get their foot in the door at the best place possible, or go out into the country and work for a smaller paper, learning the ropes by covering courts or cops for a few years. But now, when I’m occasionally asked to speak to high school or college journalism classes, my advice is totally different. I tell students to seriously consider a start-up or fully online enterprise; it wasn’t too long ago, after all, that places like the Huffington Post and BuzzFeed — now hubs of top-notch talent — seemed like upstart longshots.

Ignoring the larger question of what this means for journalism generally, a just-out-of-college reporter can now, for instance, cover a presidential campaign, with the attendant rewards and risks: do a good job and watch your profile shoot up in a way it never could have just a decade ago, but make a mistake and it will be chronicled in every imaginable sphere (the blogosphere, the Twittersphere and on and on).

But yes, in this way, reporters can become individual brands. That concept is not necessarily a wholly positive development. For starters, it ignores all of the editing and collaboration that goes into almost any story, especially at a newspaper like ours.

What’s interesting to me is how Zoe seems to want to have it both ways, playing the sexism card when it suits her, while simultaneously using her sex appeal to land stories. After a dressing down by Hammerschmidt, she threatens, “So you think when a woman asks to be treated with respect, that’s arrogance?” A fully admirable sentiment, though perhaps she’s not the most credible messenger.

Marin Cogan wrote a fantastic piece Wednesday in The New Republic — aptly titled “House of Cads” — chronicling, as the headline put it, “The psycho-sexual ordeal of reporting in Washington.” The fact that her essay was the buzz in the city today underscores that most female reporters, especially those covering politics, have encountered similarly uncomfortable situations — where professional interest was confused for something more … personal.

Do you think it would be possible for a show like this to explore the actual complexity of reporting while female? Or do we, the viewing public, prefer our female reporters like Zoe — easy to pigeonhole in all the wrong ways?

Carr: This show has as much chance of exploring those complexities as I do of running a marathon. “House of Cards” fans know without looking (ahead) that Zoe is going to make some epic bad choices. And not in the ditzy HBO “Girls” way of “Living the dream, one mistake at a time.” Zoe is not so much bumping into things as running over them headlong. Her neediness, her entitlement, are manifest in all she does. She is all about the Zoe Barnes the brand, but as many of us have found out, the whole Army of One thing is great until you get in a jam and need backing.

But even though our business is full of talented, successful women, it’s a different challenge. On the Poynter site today, there was a post about things “Said to Lady Journos,” which laid out a depressing array of oafishness and sexism. Twitter was alive with the meme.

In the end, Zoe is a necessary figure for the “House of Cards” parable. She must seduce the congressman, less to possess him than to use him, so that she can declare dominion over her corner of the world.

So no, no teachable moments about the lot of working newsies who happen to be women, just two narcissists trying to make the world curve to their every need. Which isn’t bad television, by the way. And at the risk of prolonging a long chat, one last question for you, Ashley. Have you ever met a Zoe on the beat? How did that approach work out for her?

Parker: There is no one quite like Ms. Barnes, as Frank Underwood might say. But on the flip side of the same question, I do know a few political operatives who had a bad (and frankly sexist) habit of assuming a female reporter was pulling a Zoe Barnes, so to speak, when she emerged with a good, scoopy story. But that’s usually all there was to the story: A good scoop, which is plenty juicy enough.

Article source: http://mediadecoder.blogs.nytimes.com/2013/02/28/house-of-cards-what-happens-when-a-reporter-becomes-an-army-of-one/?partner=rss&emc=rss

Media Decoder Blog: Former G.M.A. Chief to Take Charge of CNN’s Planned Morning Show

1:42 p.m. | Updated Jim Murphy, who ran ABC’s “Good Morning America” for five years, will be in charge of CNN’s next attempt to reap morning television glory, people familiar with his hiring said Thursday.

Mr. Murphy will be the senior executive producer of whatever show replaces “Starting Point,” the network’s current morning show that is hosted by Soledad O’Brien. The network hasn’t said when exactly “Starting Point” will be retired, but Ms. O’Brien said last week that she expects to leave the time slot sometime this spring.

The network also hasn’t said who will host the new program, either. But last month it hired Chris Cuomo away from ABC with the expectation that he’ll be a co-anchor of it. Mr. Cuomo was the news anchor on “G.M.A.” for three years while Mr. Murphy was the top producer of that program.

The other possible co-anchor is Erin Burnett, who currently helms the 7 p.m. hour on CNN. Her name surfaced more than a month ago, but no deal has been announced yet.

The revamped morning show is a top priority for Jeff Zucker, who took over CNN Worldwide last month. Mr. Zucker is famous for, among other things, turning around the fortunes of NBC’s “Today” show in the 1990s, starting a 16-year winning streak in the ratings race. Mr. Zucker rose up the ranks of NBC in the 2000s, eventually becoming the chief executive of NBC Universal.

Mr. Murphy, after a six-year stint running the “CBS Evening News,” became the senior executive producer of “G.M.A.” in 2006. He was unable to break that “Today” show streak, though he brought “G.M.A” quite close to “Today” on several occasions.

In 2011 Mr. Murphy left “G.M.A.” and helped start “Anderson,” the daytime talk show hosted by the CNN anchor Anderson Cooper. Amid behind-the-scenes turmoil over the ratings of the talk show, he stepped down in early 2012.

Mr. Murphy’s appointment was announced internally on Thursday morning. A CNN spokesman later confirmed that Mr. Murphy would oversee the network’s morning block of programming.

Article source: http://mediadecoder.blogs.nytimes.com/2013/02/28/former-g-m-a-chief-to-take-charge-of-cnns-planned-morning-show/?partner=rss&emc=rss

Media Decoder Blog: Universal Sells EMI Stake in Popular Music Series

The Universal Music Group has made the last of the divestitures ordered by European regulators as part of its $1.9 billion purchase of EMI’s recorded music division, closing a drawn-out process but significantly lowering Universal’s cost in the deal.

Universal announced on Wednesday that it had sold EMI’s share of the long-running pop compilation series “Now That’s What I Call Music!” to Sony Music. The price was not disclosed, but it has been reported at about $60 million.

Universal will retain its share of the “Now” brand, a joint venture by Sony, EMI and Universal, which began in Britain in 1983 and came to the United States in 1998. The series has sold more than 200 million albums around the world.

Universal, now by far the world’s largest music company, made its deal for EMI in November 2011 with Citigroup.

After months of negotiations, European regulators approved the deal in September on the condition that Universal sell about a third of EMI’s recorded music assets. (In a parallel sale, an investor group led by Sony bought EMI’s music publishing side for $2.2 billion.)

Along with the sale of the Parlophone Label Group to the Warner Music Group for $765 million, the Sanctuary and Mute labels to BMG Rights Management for about $72 million, and a number of smaller deals, Universal has reaped just under $900 million on the sales. That is nearly half what it had paid for EMI, although some of the assets, like Sanctuary, were owned by Universal.

This week Universal’s parent company, the French conglomerate Vivendi, reported that Universal had just under $6 billion in revenue in 2012, up 8.3 percent from the year before; excluding revenue from EMI, the gain was 1.6 percent. Universal also had $694 million in earnings before interest, taxes and amortization for the year, up 3.6 percent from 2011, or 1.6 percent without EMI.

In its earnings report, Vivendi said it still expected more than $150 million in annual savings after absorbing EMI.


Ben Sisario writes about the music industry. Follow @sisario on Twitter.

Article source: http://mediadecoder.blogs.nytimes.com/2013/02/28/universal-sells-emi-stake-in-popular-music-series/?partner=rss&emc=rss