Flu more widespread in US; eases off in some areas

NEW YORK (AP) — Flu is more widespread across the nation, but the number of hard-hit states has declined, health officials said Friday.

Flu season started early this winter, and includes a strain that tends to make people sicker. Health officials have forecast a potentially bad flu season, following last year's unusually mild one.

The latest numbers, however, hint that the flu season may already have peaked in some spots.

Flu was widespread in 47 states last week, up from 41 the week before, the Centers for Disease Control and Prevention said on Friday. Many cases may be mild. The only states without widespread flu are California, Mississippi and Hawaii

The hardest hit states dropped to 24 from 29. Those are states where large numbers of people have been treated for flu-like illness.

Those with less activity include Florida, Arkansas and South Carolina in South, the first region hit in the current flu season.

Nationally, 20 children have died from the flu. There is no running tally of adult deaths, but the CDC estimates that the flu kills about 24,000 people in an average year.

Flu vaccinations are recommended for everyone 6 months or older. Health officials are still recommending vaccinations, even in areas with widespread flu reports.

Nearly 130 million doses of flu vaccine were distributed this year, and at least 112 million have been used, according to CDC officials.

Vaccine is still available, but supplies may have run low in some locations, health officials say.

Also on Friday, CDC officials said a recent study of more than 1,100 people has concluded the current flu vaccine is 62 percent effective. That's in line with how effective the vaccine has been in other years.

The flu vaccine is reformulated each year, and officials say this year's version is a good match to the viruses going around.

Flu usually peaks in midwinter. Symptoms can include fever, cough, runny nose, head and body aches and fatigue. Some people also suffer vomiting and diarrhea, and some develop pneumonia or other severe complications.

Most people with flu have a mild illness. But people with severe symptoms should see a doctor. They may be given antiviral drugs or other medications to ease symptoms.

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Online:

CDC flu: http://www.cdc.gov/flu/index.htm

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Seattle bankruptcy hearing to decide Tully's sale

SEATTLE (AP) — The auction for beleaguered coffee company Tully's will likely conclude Friday in federal bankruptcy court, with an ownership group led by actor Patrick Dempsey in position to take over the chain. But Starbucks isn't' out of the running.

Dempsey — dubbed "McDreamy" in the "Grey's Anatomy" hospital TV drama — claimed victory last week after an auction.

But a company that teamed up with Starbucks to bid for the Tully's chain filed an objection Wednesday. AgriNurture Inc. says it's still willing to proceed with its combined bid with Starbucks of about $10.6 million. The bid from Dempsey's company, Global Baristas LLC, was for $9.2 million.

Tully's has 47 shops in Washington and California with more than 500 employees. It filed for Chapter 11 bankruptcy protection in October.

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U.S. to review Boeing 787 design, safety

Two new incidents involving the Boeing 787 Dreamliner have been reported in Japan -- a crack in the cockpit and an oil leak. Norah O'Donnell reports.

The U.S. Federal Aviation Administration said Friday it will launch a high-priority and comprehensive review of Chicago-based Boeing's new 787's critical systems, following a rash of malfunctions this week, such as a battery fire and fuel leaks. However, federal transportation officials also supported Boeing, saying repeatedly that the plane is safe.

"We are confident about the safety of this aircraft," said Federal Aviation Administrator Michael Huerta, adding that a priority in the review will be the plane's electrical systems. He said he would not speculate on how long the review would take.

The review, an unusual move for the FAA that will not ground planes or halt production of new 787s, will examine the plane's design, manufacture and assembly, said U.S. Transportation Secretary Ray LaHood.

"Through it, we will look for the root causes of recent events and do everything we can to make sure these events don't happen again," he said. "I believe this plane is safe and I would have absolutely no reservation of boarding one of these planes and taking a flight."

Boeing shares were down 2.5 percent in midday trading to $75.15.

The announcement comes amid yet more reports Friday of problems with the highly anticipated "Dreamliner" jet, including a cracked cockpit window and another oil leak on a Japanese carrier. They add to a rash of other reported problems this week, most seriously a battery fire on a parked 787 in Boston, an incident under investigation by the National Transportation Safety Board.

The plane model is in use in Chicago for temporary United Airlines flights between Chicago O'Hare and Houston. Chicago-based United has five other 787s in service domestically. "We continue to have complete confidence in the 787 and in the ability of Boeing, with the support of the FAA, to resolve these early operational issues," a United spokeswoman said. "We will support Boeing and the FAA throughout their review."

Next week, LOT Polish Airlines plans to begin operating the region's first regular flight on a 787 between O'Hare and Warsaw, Poland. That inaugural flight is still planned for Wednesday, a spokeswoman said. All told, Boeing has delivered 50 Dreamliners to customers around the world, many to Japanese carriers.

Aviation experts have said the planes are safe and that glitches are common on new models of planes, especially ones as revolutionary as the 787, which uses mostly composite materials instead of metals to create an aircraft that's more lighter, more fuel-efficient and more comfortable for passengers. However, other observers have said the concentration of problems in a short period and the media attention they garner is damaging the reputation of Boeing, which was already under scrutiny for delivering the Dreamliner to customers more than three years late. The plane's list price is about $207 million.

The latest problems came Friday, when Japanese carrier All Nippon Airways said a domestic flight from Tokyo landed safely at Matsuyama airport in western Japan after a crack developed on the cockpit windscreen, and the plane's return to Tokyo was cancelled.

"Cracks appear a few times every year in other planes. We don't see this as a sign of a fundamental problem" with Boeing aircraft, a spokesman for the airline said. The same airline later on Friday said oil was found leaking from an engine of a 787 Dreamliner after the plane landed at Miyazaki airport in southern Japan. An airline spokeswoman said it later returned to Tokyo after some delay. No one was injured in either incident.

Boeing said Friday the 787 logged 50,000 hours of flight, with more than 150 flights occurring daily, and that its performance has been on par with the Boeing 777, which it calls "the industry's best-ever introduction" of a new airplane. "More than a year ago, the 787 completed the most robust and rigorous certification process in the history of the FAA," Boeing said in a statement. "We remain fully confident in the airplane's design and production system."

Ray Conner, president and chief executive officer of Boeing Commercial Airplanes, said Friday that the recent problems were not caused by Boeing's outsourcing of production or by ramping up production too quickly.

"We are fully committed to resolving any issue that affects the reliability of our airlines," he said.

gkarp@tribune.com

Reuters contributed
 

BA data by YCharts

BA data by YCharts

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'Lincoln' leads Academy Award contenders with 12 nominations

With a conspicuous diss of Kathryn Bigelow, the un-nominated director of “Zero Dark Thirty,” the Academy Awards nominations were announced Thursday morning.

“Zero Dark Thirty” was one of nine films given the best picture nomination nod. The others: “Beasts of the Southern Wild”; “Silver Linings Playbook”; “Lincoln”; “Les Miserables”; “Life of Pi”; “Amour”; “Django Unchained”; and “Argo.” With 12 nominations total, director Steven Spielberg’s “Lincoln” led this year’s pack, unusually full of films that have reached a broad mainstream audience. “Life of Pi” came in with 11 nominations; “Silver Linings Playbook” and “Les Miserables” received eight.

The best actress Oscar nominees include the oldest-ever performer in that category (Emmanuelle Riva, 85, for “Amour”) as well as the youngest (Quvenzhane Wallis, 9, “Beasts of the Southern Wild”). They’ll compete for the Feb. 24 Oscars against Naomi Watts (“The Impossible”), Jessica Chastain (“Zero Dark Thirty”) and Jennifer Lawrence (“Silver Linings Playbook”).

To the surprise of no one on this planet or any other, Daniel Day-Lewis led the best actor competition for “Lincoln.” His fellow nominees: Denzel Washington, “Flight”; Hugh Jackman, “Les Miserables”; Bradley Cooper, “Silver Linings Playbook”; and in the year’s most unsettling performance, Joaquin Phoenix, “The Master.”

“Silver Linings Playbook” fared well, against some predictions, scoring a supporting actor nomination for Robert De Niro and a supporting actress nod for Jacki Weaver. Other supporting actors nominated include Christoph Waltz for “Django Unchained”; Philip Seymour Hoffman, “The Master”; Alan Arkin, “Argo”; and Tommy Lee Jones,” Lincoln.” All have won Oscars before.

Along with Weaver, Sally Field received a supporting actress nomination, hers for “Lincoln.” The competition: Anne Hathaway, singing her guts out all the way to the podium on Feb. 24 (I’m guessing) for “Les Miserables”; Helen Hunt for “The Sessions” (more of a leading role, in fact); and Amy Adams as the Lady Macbeth of the action in “The Master.”

It’s a huge showing for “Beasts of the Southern Wild,” whose director, Benh Zeitlin, goes toe to toe against his fellow directing nominees David O. Russell (“Silver Linings Playbook”), Ang Lee (“Life of Pi”), Michael Haneke (“Amour”) and Spielberg. Along with “Zero Dark Thirty” director Bigelow, “Argo” helmer Ben Affleck, widely expected to be nominated ... wasn’t.

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Lumia sales lift Nokia results and turnaround hopes

HELSINKI (Reuters) - Nokia said strong sales of Lumia smartphones helped its mobile phone business achieve underlying profitability in the fourth quarter, raising hopes the struggling handset maker may be past the worst.

The Finnish company, which has been losing market share to Samsung and Apple, said the better-than-expected result was also helped by cost cuts, a stronger-than-expected performance from its Nokia Siemens Networks unit and 50 million euros ($65.2 million) in patent royalties.

The surprise announcement lifted the shares to nine-month highs and eased pressure on Chief Executive Stephen Elop, who has been trying to prove his February 2011 decision to switch to Microsoft Windows software was the right one.

Elop was seen to be running out of time after saying that the transition would take two years. Success of the high-end Lumia smartphones has been considered crucial for the company's survival, and investors had said Elop would need to quit or change strategy if sales did not pick up by early 2013.

"We're very pleased with the Lumia response," Elop told analysts, although he added that sales of the latest 920 models, which use the new Windows Phone 8 software, had been constrained by a shortage of supplies.

Nokia estimated fourth-quarter operating margin in its mobile phone business was between break-even to 2 percent. It previously forecast the margin to be around minus 6 percent.

Official results, including more details on its profit and cash position, are due on January 24.

Fourth-quarter net sales in devices and services were about 3.9 billion euros ($5.09 billion), Nokia said. It sold a total of 86.3 million devices. Smartphones accounted for 6.6 million units, of which 4.4 million were the Windows-based Lumia handsets.

Nokia shares rose 10.8 percent to 3.32 euros as some investors cheered the rare positive announcement from Nokia and traders scrambled to cover their short positions.

Nokia had 17 percent of shares out on loan, according to Markit data, making it one of the most "shorted" stocks in Europe.

STILL NEED EVIDENCE

The company said that conditions remained tough despite the stronger-than-expected fourth quarter, and forecast its margin to be around minus 2 percent in the first quarter of this year.

"We continue to operate in a competitive environment with limited visibility," Elop said.

Some analysts were skeptical about the success of the Lumia strategy. Nokia would not say how many of the Lumias it sold were the newest models rather than the heavily discounted ones launched earlier.

Many also noted Lumias sold in the fourth quarter still make up a small portion of global smartphone sales in the same period, estimated at over 200 million.

"4.4 million Lumias sold is not yet a promise of a turnaround," said Inderes analyst Mikael Rautanen, who had just downgraded the shares to "sell" on Tuesday.

Bernstein analyst Pierre Ferragu said he was still negative about the shares, rating them "underperform".

"Last year, in order to sustain Lumia volumes, Nokia had to cut prices very rapidly, driving gross margins close to zero. We believe this will repeat this year," he said.

Redeye analyst Greger Johansson said it was too early to call it a turnaround.

"They will have to prove a lot more until you can say that," he said. "I'm not still convinced that they are going to manage to succeed with those new smartphones. They have to sell a lot more in volumes until you can say that."

($1 = 0.7667 euros)

(Additional reporting by Terhi Kinnunen and Sudip Kar-Gupta; Editing by David Goodman and Sophie Walker)

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Jaguars fire Mularkey after team's worst season

JACKSONVILLE, Fla. (AP) — The Jacksonville Jaguars fired coach Mike Mularkey on Thursday after just one season, the worst in franchise history.

New general manager David Caldwell made the announcement two days after he was hired, giving him a clean slate heading into 2013. Caldwell said he wants to immediately explore every avenue possible to turn the Jaguars around.

"For that to happen as seamlessly as we want, and as quickly as our fans deserve, I feel it is in everyone's best interests for an immediate and clean restart," Caldwell said.

Mularkey, who went 2-14 this season, became the eighth head coach fired since the end of the regular season. He looked like he would be one and done when owner Shad Khan parted ways with general manager Gene Smith last week and gave Mularkey's assistants permission to seek other jobs. Even though Khan ultimately hired Mularkey, Smith directed the coaching search last January that started and ended with the former Atlanta Falcons offensive coordinator.

"Mike Mularkey is leaving our organization with my utmost respect," Khan said. "Mike gave the Jaguars everything he had on and off the field, and his efforts as our head coach will always be appreciated."

Mularkey's brief tenure — he didn't even last a year — was filled with mistakes. His biggest one may have been his loyalty to Smith, who assembled a roster that lacked talent on both sides of the ball.

Mularkey probably stuck with Smith's franchise quarterback, Blaine Gabbert, longer than he should have. And the coach's insistence that the team was closer than outsiders thought and his strong stance that he had the roster to turn things around became comical as the losses mounted. The Jaguars lost eight games by at least 16 points, a staggering number of lopsided losses in a parity-filled league.

Mularkey would have been better served had he said publicly what he voiced privately: that the Jaguars didn't have enough playmakers or a starting-caliber quarterback.

Instead, he never conceded that Jacksonville was a rebuilding project that needed time.

Mularkey signed a three-year contract on Jan. 11, 2012, getting a second chance to be a head coach six years after resigning with the Buffalo Bills.

His return was shaky from the start.

His best player, running back Maurice Jones-Drew, skipped offseason workouts as well as training camp and the preseason in a contract dispute. His first draft pick, receiver Justin Blackmon, was arrested and charged with aggravated DUI in June. And his team was riddled with injuries, including key ones to linebacker Daryl Smith and Jones-Drew.

Even things he had control over went awry.

He had to backtrack after saying Chad Henne would compete with Gabbert for the starting job in March. He created a stir by threatening to fine players up to $10,000 for discussing injuries. He initially played rookie receiver Kevin Elliott over Cecil Shorts III early on. And he really irked some players with tough, padded practices late in a lost season.

Throw in the way he handled injuries to receiver Laurent Robinson (four concussions before going on IR) and Jones-Drew (admittedly should have had foot surgery sooner), and there were reasons to doubt whether Mularkey was cut out to be a head coach. Dating back to his final season in Buffalo, Mularkey has lost 20 of his last 23 games.

Nonetheless, if Khan really wanted to fire Mularkey, he would have done after the season finale along with Smith.

So this was Caldwell's call.

Caldwell and Mularkey spent four years together in Atlanta, getting to know each other well enough that Caldwell didn't need a sit down with Mularkey after he got the GM job Tuesday.

Caldwell and Khan have a news conference scheduled for Thursday afternoon.

Potential replacements for Mularkey include former Chicago Bears coach Lovie Smith, Indianapolis Colts offensive coordinator Bruce Arians, St. Louis Rams offensive coordinator Brian Schottenheimer and San Francisco 49ers offensive coordinator Greg Roman.

Schottenheimer was up for the Jacksonville job last season, and Roman has been linked to the Jaguars since Caldwell became the leading candidate to replace Smith.

Roman and Caldwell were teammates and roommates in the 1990's while attending John Carroll University.

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Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL

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Architecture writer Ada Louise Huxtable, awarded first Pulitzer for criticism, dead at 91

LOS ANGELES (TheWrap.com) – Ada Louise Huxtable, the architecture critic who was awarded the first Pulitzer Prize for criticism, has died. She was 91.

Huxtable, who was the architecture critic for the New York Times from 1963 to 1982 and, later, the Wall Street Journal, died Monday at Memorial Sloan-Kettering Cancer Center in New York, the Journal reported.

Huxtable was a firm believer in the power of tall buildings to enhance a city and decried the cookie-cutter suburban developments springing up around New York in the 1960s.

“The promise of… a new, improved suburbia in the greater metropolitan area, the dreams of beauty and better living are mire in mud,” Huxtable wrote in Newsweek magazine. She added that these suburban landscapes – including those in Staten Island “could not be better calculated to destroy the countryside if….planned by enemy action.”

In her final piece for the Journal – a look at the renovation plans for the landmark New York Public Library, dated December 3, 2012 – Huxtable wrote: “Buildings change; they adapt to needs, times and tastes. Old buildings are restored, upgraded and converted to new uses. For architecturally or historically significant buildings with landmark protection, the process is more complex; subtle, subjective and difficult decisions are often required. Nothing, not even buildings, stands still.”

A native New Yorker, Ada Louise Landsman was born March 14, 1921, the daughter of a doctor. She graduated from Hunter College in 1941. A year later, she married L. Garth Huxtable, an industrial designer, and together they produced tableware for the Four Seasons Hotel.

Throughout the 1940s, she continued graduate school at New York University but was more interested in her work as a curatorial assistant for architecture and design at the Museum of Modern Art.

From 1950 to 1963, she contributed articles to “Progressive Architecture” and “Art in America.” She became the first architecture critic of the Times in 1963. She wrote more than 10 books. Her early essays were collected in the book “Will They Ever Finish Bruckner Boulevard?”

She was awarded the first Pulitzer Prize for criticism in 1970. In 1981 she was awarded a MacArthur genius grant.

She also served for a time a juror for the Pritzker Prize, architecture’s highest honor.

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'Lincoln' leads Oscars with 12 nominations

BEVERLY HILLS, Calif. (AP) — Steven Spielberg has matched his personal best at the Academy Awards: 12 nominations for his Civil War saga "Lincoln," including best picture, director and acting honors for Daniel Day-Lewis, Sally Field and Tommy Lee Jones.

That ties the 12 nominations for his 1993 drama "Schindler's List," which won seven Oscars, including best picture and director.

Also among the nine nominees for best picture Thursday: the old-age love story "Amour"; the Iran hostage thriller "Argo"; the independent hit "Beasts of the Southern Wild"; the slave-revenge narrative "Django Unchained"; the musical "Les Miserables"; the shipwreck story "Life of Pi"; the lost-souls romance "Silver Linings Playbook"; and the Osama bin Laden manhunt chronicle "Zero Dark Thirty."

"Life of Pi" surprisingly ran second with 11 nominations, ahead of "Zero Dark Thirty" and "Les Miserables," which had been considered potential front-runners.

"I thought we'd get a few, so this is really great for us," said "Life of Pi" director Ang Lee. "Eleven really surprised me. But it's a good surprise. I'm very happily surprised."

More surprising were snubs in the directing category, where three favorites missed out: Ben Affleck for "Argo" and past Oscar winners Kathryn Bigelow for "Zero Dark Thirty" and Tom Hooper for "Les Miserables." Bigelow was the first woman ever the win the directing Oscar for 2009's "The Hurt Locker," while Hooper won a year later for "The King's Speech."

The best-picture category also had surprising omissions. The acclaimed first-love tale "Moonrise Kingdom" was left out and only got one nomination, for original screenplay. Also snubbed for best-picture was "The Master," a critical favorite that did manage three acting nominations, for Joaquin Phoenix, Amy Adams and Philip Seymour Hoffman.

Two-time winner Spielberg earned his seventh directing nomination, and also in the mix are past winner Lee for "Life of Pi" and past nominee David O. Russell for "Silver Linings Playbook." The other slots went to surprise picks who are first-time nominees: Michael Haneke for his French-language "Amour" and Benh Zeitlin for "Beasts of the Southern Wild."

Oscar directing contenders often are identical or at least usually line up closely with those for the Directors Guild of America Awards. But only Spielberg and Lee made both lists this time. The Directors Guild also nominated Affleck, Bigelow and Hooper, but not Haneke, Russell or Zeitlin.

Haneke's "Amour" also was a best-picture surprise. The film, which won the top prize at last May's Cannes Film Festival, mainly had been considered a favorite in the foreign-language category, where it also was nominated. "Amour" had five nominations, including original screenplay and best-actress for Emmanuelle Riva.

"It is fulfilling to discover that a film has found the audience and critical acclaim that 'Amour' has garnered," Haneke said. "I have been very fortunate on both those fronts, but it is especially rewarding to discover that a film has found favor among one's industry peers who know, in particular, the effort that goes into getting a film — any film — made."

The year's second-biggest box-office hit, "The Dark Knight Rises," was shut out entirely, even for visual effects. The omission of its predecessor, "The Dark Knight," from best-picture consideration for 2008 was largely responsible for the expansion of the Oscar category from five nominees to 10 the following year. "The Dark Knight" had earned eight nominations and won two Oscars.

Chronicling Abraham Lincoln's final months as he engineers passage of the 13th Amendment abolishing slavery, "Lincoln" stars best-actor contender Day-Lewis in a monumental performance as the 16th president, supporting-actress nominee Field as the notoriously headstrong Mary Todd Lincoln and supporting-actor prospect Jones as abolitionist firebrand Thaddeus Stevens.

Joining Day-Lewis in the best-actor field are Bradley Cooper as a psychiatric patient trying to get his life back together in "Silver Linings Playbook"; Hugh Jackman as Victor Hugo's tragic hero Jean Valjean in "Les Miserables"; Phoenix as a Navy vet who falls in with a cult in "The Master"; and Denzel Washington as a boozy airline pilot in "Flight."

Cooper had been a bit of a longshot. John Hawkes, a potential best-actor favorite, missed out for his role as a man in an iron lung aiming to lose his virginity in "The Sessions."

Nominated for best actress are Jessica Chastain as a CIA operative hunting bin Laden in "Zero Dark Thirty"; Jennifer Lawrence as a troubled young widow struggling to heal in "Silver Linings Playbook"; Riva as an ailing woman tended by her husband in "Amour"; Quvenzhane Wallis as a spirited girl on the Louisiana delta in "Beasts of the Southern Wild"; and Naomi Watts as a mother caught up in a devastating tsunami in "The Impossible."

Best actress had a wild age range: Riva is the oldest nominee ever in the category at 85, while Wallis is the youngest ever at 9.

Along with Field, supporting-actress nominees are Adams as a cult leader's devoted wife in "The Master"; Anne Hathaway as an outcast mother reduced to prostitution in "Les Miserables"; Helen Hunt as a sex surrogate in "The Sessions"; and Jacki Weaver as an unstable man's doting mom in "Silver Linings Playbook."

Besides Jones, the supporting-actor contenders are Alan Arkin as a wily Hollywood producer in "Argo"; Robert De Niro as a football-obsessed patriarch in "Silver Linings Playbook"; Hoffman as a dynamic cult leader in "The Master"; and Christoph Waltz as a genteel bounty hunter in "Django Unchained."

"Family Guy" creator Seth MacFarlane, who will host the Feb. 24 Oscars, joined Emma Stone to announce the Oscar lineup, and he scored a nomination himself. He's up for original song for "Everybody Needs a Best Friend," the tune he co-wrote for his big-screen directing debut "Ted."

"That's kind of cool I got nominated," MacFarlane deadpanned at the announcement. "I get to go to the Oscars."

Walt Disney predictably dominated the animated-feature category with three of the five nominees: "Brave," ''Frankenweenie" and "Wreck-It Ralph." Also nominated were "ParaNorman" and "The Pirates! Band of Misfits."

"I'm absolutely blown away," ''Wreck-It Ralph" director Rich Moore said. "It is weird at 5:30 in the morning to hear Emma Stone say your name. It's surreal."

"Lincoln" is Spielberg's best awards prospect since his critical peak in the 1990s, when he won best-picture and directing Oscars for "Schindler's List" and a second directing Oscar for "Saving Private Ryan."

Spielberg's latest film could vault him, Day-Lewis and Field to new heights among Hollywood's super-elite of multiple Oscar winners.

A best-picture win for "Lincoln" would be Spielberg's second, while another directing win would be his third, a feat achieved only by Frank Capra and William Wyler, who each earned three directing Oscars, and John Ford, who received four.

"Lincoln" also was the ninth best-picture nominee Spielberg has directed, moving him into a tie for second-place with Ford. Only Wyler directed more best-picture nominees, with 13.

Day-Lewis and Field both have two lead-acting Oscars already, he for "My Left Foot" and "There Will Be Blood" and she for "Norma Rae" and "Places in the Heart." A third Oscar for either would put them in rare company with previous triple winners Ingrid Bergman, Walter Brennan, Jack Nicholson and Meryl Streep. Katharine Hepburn is the record-holder with four acting Oscars.

An Oscar for Jones would be his second supporting-actor prize; he previously won for "The Fugitive."

"Lincoln" composer John Williams — whose five Oscars include three for the music of three earlier Spielberg films, "Jaws," ''E.T. the Extra-terrestrial" and "Schindler's List" — earned his 43rd nomination for best score, extending his all-time record in the category.

The Oscars feature a best-picture field that ranges from five to 10 films depending on a complex formula of ballots from the 5,856 voting members of the Academy of Motion Picture Arts and Sciences.

Nominations in most categories are decided by ballots from members of specific academy branches — such as directors, writers or actors. All members are eligible to vote for best-picture nominees, and the entire academy can vote in every category for the actual Oscars, whose balloting begins Feb. 8.

Winners for the 85th Oscars will be announced Feb. 24 at a ceremony aired live on ABC from Hollywood's Dolby Theatre.

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AP entertainment writers Christy Lemire, Sandy Cohen, Anthony McCartney and Derrik Lang in Los Angeles and AP writer Jill Lawless in London contributed to this report.

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Jewel-Osco stores to be sold to Cerberus group

Jewel-Osco stores will be sold to a consortium of investors led by Cerberus Capital Management, Jewel's parent Supervalu said Thursday.

The deal, valued at $3.3 billion, also includes the Albertsons, Acme, and Shaw stores.

The announcement ends months of speculation that all or parts of the troubled grocery chain would be sold to New York-based Cerberus, an investment firm. Supervalu acquired Jewel in 2006 as part of a larger, complex acquisition of the Albertsons company.

Supervalu also reported earnings of $16 million, or 8 cents per share, in the third quarter ended on Dec. 1, compared with a year-earlier loss of $750 million, or $3.54 per share.

Excluding an after-tax gain related to a cash settlement from credit card companies and after-tax charges primarily related to store closures, it earned $5 million, or 3 cents per share.

As part of the deal, which includes $100 million in cash and $3.2 billion in debt, the five grocery chains will be acquired by AB Acquisition, an affiliate of Cerberus. Other investors in the deal include Kimco Realty Corp, Klaff Realty, Lubert-Adler Partners and Schottenstein Real Estate Group.

Following the sale, which is expected to close in the spring, a newly formed entity called Symphony Investors, led by Cerberus, will purchase up to 30 percent of Supervalu's outstanding shares for $4 each, representing a 50 percent premium over the stock's 30-day average. If Symphony cannot acquire at least 19.9 percent of the outstanding shares at that price, Supervalu must issue additional stock.

Wall Street has long expected Eden Prairie, Minn.-based Supervalu to sell some or all of its assets.

Following the deal, Supervalu will consist of its wholesale grocery business, the Save-A-Lot discount chain, and traditional grocery chains like Cub, Shop N' Save and Hornbacher's.

In a call with investors, outgoing CEO Wayne Sales said the deal brings Supervalu "a very strong balance sheet," and the ability to focus on investments in price reductions, fresh produce, and customer experience at its remaining chains. 

The new company is smaller, "with more bandwidth and leadership" to focus on its wholesale business, Save-A-Lot, and its traditional grocery stores, he said.

Sam Duncan, 61, will replace Wayne Sales as CEO. Duncan was CEO of Office Max from 2005 to 2011, and prior to that, was CEO of ShopKo, a Midwestern grocery chain. Five unidentified board members will resign as part of the deal, making room for Duncan, Albertsons CEO Robert Miller, and three new appointees. The size of the board will shrink from 10 to seven.

Concurrent with the announcement, Supervalu announced that it has secured access to a $900 million asset-based credit facility, and a $1.5 billion loan.

This deal ends a long and difficult year for one of the country's largest grocers.

Last April, Supervalu reported a loss of $1.04 billion for fiscal 2012, which included a $519 million operating loss and $509 million in interest expense. Sales also declined 3 percent, to $27.9 billion. In July, the company said it was exploring strategic alternatives, including a sale. Soon after, the company dismissed CEO Craig Herkert, with Chairman Wayne Sales stepping in to helm the troubled grocer.

Cerberus, an investor in the deal to acquire Albertsons in 2006 was long seen as the leading candidate. Last week, rumors that Supervalu was near a deal with Cerberus sent stock soaring nearly 15 percent.

In September, Supervalu said it would 60 underperforming stores, primarily from the Save-A-Lot and Albertsons chains. No Jewel locations were identified at the time. The announcement was particularly troubling to investment community because Save-A-Lot, a hard discount chain, has been Supervalu's primary growth vehicle.

Supervalu has long acknowledged that many of its stores are not price competitive. In 2012, it homed in on Jewel-Osco and the Chicago market. Supervalu surveyed customers and lowered prices throughout the store. When the company reported results for its second fiscal quarter in September, (Supervalu CEO Wayne) Sales said that Jewel had been "competitively priced throughout the store" for about six weeks.

Sales said that the initiative had resulted in "dramatic improvement" in how consumers "think about the quality of products we sell, how they feel about the service they get in various departments" and that the company was pleased with increased unit sales.

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Baseball Hall of Fame to render verdict on Steroid Era

Jon Keller reports

By Dave van Dyck




Tribune reporter

10:12 a.m. CST, January 9, 2013

Rank-and-file members of baseball’s Steroids Era – most notably Barry Bonds, Roger Clemens and Sammy Sosa – finally were facing a jury Wednesday that would decide whether they are worthy of the Hall of Fame. The 2013 induction announcement is set for 1 p.m. Chicago time.

Their inclusion on this year’s ballot overshadowed those who were thought to have the best chance of being voted into baseball’s hallowed shrine in Cooperstown: former Chicago White Sox outfielder Tim Raines, the Houston Astros’ long-time duo of Craig Biggio and Jeff Bagwell and All-Star pitcher Jack Morris.

Also in contention was former Chicago Cubs closer Lee Smith, who was on the ballot for the 11thtime.

This Hall of Fame eligible class has received more attention than most because of the inclusion of Bonds, who won seven MVP awards; Clemens, who won seven Cy Young awards and Sosa, the former Cub who won a National League MVP award after his famous 1998 home run duel with the Cardinals’ Mark McGwire.

McGwire, the only one of those who publicly has acknowledged using performance-enhancing drugs, has failed seven times in his Hall of Fame election bid. Former Cub Rafael Palmeiro, who tested positive for a drug, has failed three times.

The so-called Steroids Era has caused division within the electorate, comprised of 10-year members of the Baseball Writers Association. They historically have been very stingy with their votes, especially considering it takes 75 percent to be included in the summer induction ceremonies.

dvandyck@tribune.com

Twitter @davandyck

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