Showing posts with label Business. Show all posts
Showing posts with label Business. Show all posts

'Like finding lost Rembrandts'









Peter Mullin cracks open the door of a 1935 Voisin Type C25 Aerodyne at the back of the auto museum bearing his name. He points out the intricate details of a vibrant Art Deco interior, restored to its original luster.

A small ashtray hangs on the inside of each door — made from etched Lalique crystal.

Light streams into the car through three small glass windows in the fully retractable roof. A bold black and white patterned fabric covers the doors, seats and roof, sourced from the same French textile mill that wove the original fabric more than seven decades ago.

"You can see why this one is kind of the favorite," Mullin says of the C25 with a smile.

Once relegated to the scrap heap of automotive history, the Voisin brand has undergone a renaissance within the classic car world. The cars, which cost as much as a Bugatti in the 1920s and 30s, are worth millions of dollars today. They were the creation of Gabriel Voisin, a colorful yet fastidious French architect and engineer who made a fortune selling airplanes during World War I.

Mullin's navy blue and grey C25 won Best of Show at the 2011 Pebble Beach Concours d'Elegance, arguably the most prestigious prize in the classic car world. Another Voisin, a 1934 C15 ETS Saliot-bodied Roadster, won Best of Show in 2002.

When Pebble Beach Concours hosted Voisin as the featured marque in 2006, it provoked a frenzied reaction among collectors.

"It was like finding the lost Rembrandts," said Richard Adatto, an expert in classic French cars and a member of the classic car show's selection committee.

Prior to 2006, he said, no Voisin had sold for more than $1 million. After that, prices nearly doubled. Peter Mullin's C25 could be worth as much as $5 million today, said David Gooding, president and founder of the Gooding & Co. auction company. Most experts estimate there are 250 to 300 known Voisin automobiles, though they are starting to turn up as barn finds throughout Europe.

Fortunately for Mullin, he got into the brand early.

"I fell in love with the Art Deco nature of Voisin a number of years ago," Mullin said. "One by one, they found their way into the collection."

In addition to his prize-winner, Mullin owns 15 other exceptionally rare and valuable Voisin models on display at the Mullin Automotive Museum in Oxnard until the end of April. The museum is also home to dozens of gleaming prewar cars from other French marques like Bugatti, Delahaye and the odd Talbot-Lago.

Mullin, the man, owns nearly everything in the building. But the Voisin cars have become his favorite, not just for their intricate details, but because they embody the values of the man behind their nameplate.

Gabriel Voisin was a colorful figure who made a name for himself in the early 1900s as an aviation pioneer. Despite being in their mid-20s, Voisin and his younger brother Charles started the world's first aircraft company. Their early planes set several European flight records.

Gabriel Voisin kept the company open after his brother was killed in a 1912 car crash, and sold several thousand fighter planes to the French military and its allies for use in World War I.

After the war ended, a glut of planes and little demand for new ones pushed Voisin to build a machine with a more benevolent purpose. He spent roughly the next 20 years building some of the most elaborate and expensive cars of the era. The rigors of aviation engineering and attention to detail carried into Voisin's forward-thinking automobiles.

"Everything was designed all the way out," Adatto said. "Even the taillights were handmade."

Many of Voisin's cars have struts connecting the front wheel fender to the grille — like the wing struts common on aircraft from the era. The cars were largely built from lightweight materials such as aluminum or magnesium. Most cars from that time — and even today — were built from heavier steel.

Inside, the dashboard of many Voisin vehicles had gauges to show oil pressure and temperature in an era when most cars didn't even have a fuel gauge, Adatto said. A complex engine design used sleeve valves rather than the standard overhead poppet valves found on engines today.

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Stocks waver as incomes fall and budget cuts loom












The stock market turned mixed Friday, erasing an early loss, after a report showed a rise in manufacturing.

U.S. manufacturing expanded in February at the fastest pace since June 2011, helped by new orders and rising production. The Institute for Supply Management said its manufacturing index reached 54.2, up from January's reading of 53.1. Any reading above 50 signals growth.

The Dow Jones industrial average edged up 24 points to 14,078 at 12:13 p.m. It was down as much as 117 points in early trading and was wavering between small gains and losses around midday.

The Standard & Poor's 500 index was up two points at 1,514. The Nasdaq composite rose one point to 3,161

The Dow nearly hit its record close of 14,164 Thursday afternoon, before sliding back in late trading, leaving the index lower for the day.

The stock market has surged in recent weeks even in the face of $85 billion automatic across-the-board spending cuts that start kicking in Friday in the absence of a deal to avert them. The cuts are part of a 10-year, $1.5 trillion deficit reduction plan that was designed to be so unpalatable to both Democrats and Republicans that they would be forced to drum up a longer-term budget deal.

President Barack Obama summoned the top congressional leadership to the White House for a meeting designed to give all sides a chance to stake out their positions, though there are no expectations of a breakthrough on Friday.

Any agreement between the White House and Congress on the spending cuts could drive the market up next week, regardless of whether investors consider it a good deal or not, said Stephen Carl, head equity trader at The Williams Capital Group in New York. It's the uncertainty that unsettles investors.

“The lack of clarity is the problem,” he said. “I think it will be a positive for the market just as long as there's concrete news.”

U.S. consumers increased spending modestly in January but cut back on major purchases, the Commerce Department said Friday. The report suggests that the expiration of tax cuts on Jan. 1 may have made consumers more cautious.

Consumer spending rose 0.2 percent in January compared with December. The gain was driven by an increase in spending on services, partly reflecting higher heating bills. Spending on durable goods, such as cars and appliances, fell 0.8 percent. Spending on non-durable goods, such as clothing, was essentially flat.

The government also reported that American incomes plunged in January at the fastest pace in two decades. American incomes fell 3.6 percent in January, the biggest drop since January 1993. That followed a solid 2.6 percent rise in December.

The Dow is up 7 percent this year and the S&P 500 index is up 6 percent.

The yield on the 10-year Treasury note, which moves inversely to its price, fell to 1.85 percent. That's down from 1.88 percent late Thursday.

Among other stocks making big moves:

— Gap jumped $1 to $33.92. The retailer said late Thursday that its quarterly profits jumped 61 percent, topping analysts' estimates, helped by better sales at its Old Navy stores. Gap also raised its quarterly dividend to 15 cents.

— Best Buy Co. rose 33 cents to $16.74 after the retailer said that its fourth-quarter loss narrowed as better sales in the U.S. helped offset weakness abroad, particularly China and Canada.

— Groupon rose 35 cents to $4.88 following news that CEO Andrew Mason was fired. The online deals company's stock plunged 24 percent Thursday after the company delivered a weak revenue forecast for the current quarter.

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Homes in foreclosure process decline in January









The number of homes mired in the foreclosure process fell again last month, according to a new report, the 15th consecutive month of year-over-year declines.
 
Irvine-based CoreLogic said Thursday that roughly 1.2 million homes nationwide, or 2.9% of all homes with a mortgage, were in some stage of foreclosure in January. That's a 3.3% drop from December and a 21% decline from January 2012.

Although the foreclosure inventory shrank, the number of completed foreclosures rose 10.5% from revised December figures. Still, the 61,000 foreclosures completed in January were down 17.8% from a year earlier. 

“The backlog of distressed assets continues to fade as the foreclosure inventory has fallen to a level not seen since mid-2009, with less than 3% of all mortgages in foreclosure,” Mark Fleming, chief economist for CoreLogic, said in a statement.

The improvement was widespread, Fleming said. Only six states and 13 of the largest 100 metro areas had foreclosure rate increases compared to a year ago.


California saw its foreclosure inventory drop 1.2% from January 2012.

Before the housing crash, completed foreclosures averaged 21,000 per month nationwide between 2000 and 2006, CoreLogic said. CEO Anand Nallathambi said the firm forecasts foreclosures to decline as the year progresses amid a stabilizing housing market and increased purchase activity.

ALSO:


One-third of U.S. homeowners have no mortgage





Fewer Americans are stuck in underwater mortgages 


Pending home sales rise in January, industry group reports





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Hyundai is nearing settlement on inflated fuel economy litigation









Hyundai Motor America is inching closer to a settlement of claims it inflated the fuel economy ratings of its vehicles.


Details of the deal are still to be worked out, but the automaker is expected to reach a settlement in 38 lawsuits on the fuel economy mislabeling, which have been combined and are being heard in U.S. District Court in Los Angeles.


Its corporate sister, Kia Motors America, is expected to also settle the litigation.





Photos: Vehicles with overstated fuel economy claims


In November, the South Korean automakers said they overstated the fuel economy on nearly 1 million late-model vehicles after the discrepancy was discovered by the U.S. Environmental Protection Agency, which monitors the fuel economy tests by automakers.


The car companies said they would issue owners special debit cards to reimburse the extra money they are paying for fuel. But some consumers objected and a series of lawsuits seeking class-action status were filed against the automakers.


Hyundai and Kia blamed “procedural errors” at joint testing operations in Korea for the problem. They share automotive components and testing facilities.


Overall, they had overstated fuel economy ratings for about 900,000 vehicles, or 35% of the 2011-13 model year vehicles.  The Hyundai vehicles include the Accent, Elantra, Veloster and Veloster Turbo, Sonata Hybrid, Azera, Genesis, Tucson and Santa Fe Sport.


Kia vehicles affected include Rio, Sportage, Sorento, Soul and Optima hybrid.


ALSO:


Lexus tops Consumer Reports rankings



Hyundai expands shattering sunroof recall


Follow me on Twitter (@LATimesJerry), Facebook and Google+.





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Macy's targets Millennials, Saks blames Sandy in Q4 earnings









Brick-and-mortar is not enough for Macy’s Inc. and Saks Inc.


It’s all about the so-called omni-channel shopping experience for both the department store chain and the luxury retailer. The tactic tries to lure consumers by offering buying opportunities through an inter-connected network of physical locations, online websites, mobile devices, televisions and more.


Macy’s, which also owns the high-end Bloomingdale’s brand, saw online sales soar 47.7% during the fourth quarter, which ended Feb. 2 for both businesses. Saks added iPads to stores, tested “buy online, ship from store” deals and added “store only” inventory to saks.com displays.





Such efforts helped both companies score positive sales this holiday season at stores open for more than a year, according to their earnings announcements Tuesday.  


During the quarter, Macy’s enjoyed a 3.9% same-store sales boost from the same period a year earlier. Overall revenue boomed 7.2% to $9.4 billion.


Macy’s net income sank 2% to $730 million from $745 million, but earnings per share rose to $1.83 from $1.74 during the fourth quarter last year, when there were more shares outstanding.


The retailer is currently in court over J.C. Penney’s product deal with Martha Stewart, arguing that the agreement violates Macy’s exclusive contract with the domestic diva.


Saks had a more muted quarter, with a 0.7% same-store bump following a 7.7% surge the year before.


Profit tanked 45% to $20.4 million, or 13 cents a share, even as revenue swelled 5.6% to $976.6 million.


The results were “negatively impacted by Hurricane Sandy, which caused significant disruption to our very important Northeastern markets and to saks.com,” said Saks Chief Executive Stephen I. Sadove in a statement. The retailer was also bedeviled during a “challenging year” by “continued macroeconomic concerns, election and fiscal cliff distractions,” he said.


Going forward, Sadove said omni-channel investments will pressure profitability. The company, however, still expects same-store sales to grow 3% to 5% over the next fiscal year.


Macy’s said it expects the gauge to increase 3.5% over the same period.


The chain is adapting its strategy of offering exclusive products, locally tailored merchandise and increased digital integration as it woos Millennials, the young shoppers that Chief Executive Terry J. Lundgren calls “America’s largest generation.”


Home Depot Inc. also reported earnings. Sales bumped up 13.9% to $18.2 billion. Net income soared 31.9% to $1 billion, or 68 cents a share.


The company’s stock was up more than 5% to $67.50 a share in late morning trading in New York. Macy’s was riding a 2.5% boost to $39.50 a share. Saks was down less than a percent to $11.01.


ALSO:


Southern California malls target Asian shoppers


Millennials reducing debt at fast pace, study says


Barnes & Noble Chairman Riggio plans retail bookstore buyout





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GM will roll out 4G LTE-embedded cars, trucks, SUVs in 2014


Used Cars


Dealer and private-party ads










Make:

Model:

Price Range:

to


Search within:

miles of ZIP




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Jason Bateman gives Ernest Borgnine's estate a new identity

Markus Canter and Cristie St. James, who share the title luxury properties director at Prudential in Beverly Hills, like Jason Bateman's real estate sense. The actor got privacy, potential and a knoll location for $3 million.









Actor Jason Bateman and his wife, actress Amanda Anka, are dropping anchor in the Beverly Crest area with the purchase of the estate of Ernest Borgnine for $3 million.


The gated country English compound sits on a half-acre knoll. The 6,148-square-foot home features a formal entry hall, a grand staircase, a paneled library, an office, a den, six bedrooms and seven bathrooms. There is a guesthouse and a swimming pool.


Bateman, 44, stars in the comic film "Identity Thief," released this month. He is known to generations of TV viewers for his roles in "Arrested Development" (2003-present) and "Valerie," later retitled "The Hogan Family" (1986-91). Anka, 44, has appeared in "Bones" (2008), "Notes From the Underbelly" (2007) and "Beverly Hills, 90210" (1996).








Borgnine, who died last year at 95, is remembered for his Oscar-winning performance in "Marty" (1955) and his work in the title role as commander of a madcap crew in the sitcom "McHale's Navy" (1962-65). Until 2011 he was the voice of Mermaidman on "SpongeBob SquarePants."


The estate came on the market in October for the first time in 60 years priced at $3.395 million.


Billy Rose, Paul Lester and Aileen Comora of the Agency in Beverly Hills were the listing agents. Richard Ehrlich of Westside Estate Agency represented the buyers.


Where pair spent days of their lives


Soap star Peter Reckell and his wife, singer Kelly Moneymaker, have sold their custom-built, eco-friendly home in Brentwood for $3.35 million.


Before building the 3,345-square-foot house, the couple had the existing home on the site torn down, crated and shipped to Mexico for reuse by Habitat for Humanity. Then they designed and built a three-bedroom, four-bathroom contemporary that uses solar power.


Green elements include a photovoltaic system with battery backup, skylights, recycled glass terrazzo floors with radiant heating, recycled denim and organic cotton insulation, bamboo cabinets and doors, a roof garden and a water reclamation system.


A temperature-controlled wine cave and a recording studio are among other features.


Along with an indoor/outdoor koi pond, a meditation fountain and a solar infinity pool, outdoor amenities include a 16th century East Indian temple that was turned into a pavilion.


"This is my sanctuary," Reckell said. It frames views of the Santa Monica Mountains Conservancy.


Reckell, 57, played Bo Brady on "Days of Our Lives" from 1983 through last year. The show began in 1965. He also appeared in "Knots Landing" (1988-89). He is an avid environmentalist and bikes to work.


Moneymaker, 42, is a former member of the music group Exposé. She was inspired to build an environmentally friendly home because the carpet and other elements in the old house bothered her allergies and affected her voice.


Public records show they bought the property in 2003 for $1.14 million.


Daniel Banchik of Prudential's West Hollywood office was the listing agent. Scott Segall of John Aaroe Group represented the buyer.


Another rock owner for home


Hard Rock Cafe co-founder Peter Morton has made his mark on L.A.'s real estate scene of late, buying the old Elvis Presley estate in Beverly Hills at year-end for $9.8 million.


But flying under the radar was his bigger off-market purchase midyear for a property in Bel-Air at $25 million, public records show. Area real estate agents not involved in the transaction say Morton plans to take down the existing home and build another on the site. The estate had belonged to Joseph Farrell, who founded National Research Group Inc. in 1978 and brought market testing to Hollywood. Farrell died in December 2011.





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Jason Bateman gives Ernest Borgnine's estate a new identity

Markus Canter and Cristie St. James, who share the title luxury properties director at Prudential in Beverly Hills, like Jason Bateman's real estate sense. The actor got privacy, potential and a knoll location for $3 million.









Actor Jason Bateman and his wife, actress Amanda Anka, are dropping anchor in the Beverly Crest area with the purchase of the estate of Ernest Borgnine for $3 million.


The gated country English compound sits on a half-acre knoll. The 6,148-square-foot home features a formal entry hall, a grand staircase, a paneled library, an office, a den, six bedrooms and seven bathrooms. There is a guesthouse and a swimming pool.


Bateman, 44, stars in the comic film "Identity Thief," released this month. He is known to generations of TV viewers for his roles in "Arrested Development" (2003-present) and "Valerie," later retitled "The Hogan Family" (1986-91). Anka, 44, has appeared in "Bones" (2008), "Notes From the Underbelly" (2007) and "Beverly Hills, 90210" (1996).








Borgnine, who died last year at 95, is remembered for his Oscar-winning performance in "Marty" (1955) and his work in the title role as commander of a madcap crew in the sitcom "McHale's Navy" (1962-65). Until 2011 he was the voice of Mermaidman on "SpongeBob SquarePants."


The estate came on the market in October for the first time in 60 years priced at $3.395 million.


Billy Rose, Paul Lester and Aileen Comora of the Agency in Beverly Hills were the listing agents. Richard Ehrlich of Westside Estate Agency represented the buyers.


Where pair spent days of their lives


Soap star Peter Reckell and his wife, singer Kelly Moneymaker, have sold their custom-built, eco-friendly home in Brentwood for $3.35 million.


Before building the 3,345-square-foot house, the couple had the existing home on the site torn down, crated and shipped to Mexico for reuse by Habitat for Humanity. Then they designed and built a three-bedroom, four-bathroom contemporary that uses solar power.


Green elements include a photovoltaic system with battery backup, skylights, recycled glass terrazzo floors with radiant heating, recycled denim and organic cotton insulation, bamboo cabinets and doors, a roof garden and a water reclamation system.


A temperature-controlled wine cave and a recording studio are among other features.


Along with an indoor/outdoor koi pond, a meditation fountain and a solar infinity pool, outdoor amenities include a 16th century East Indian temple that was turned into a pavilion.


"This is my sanctuary," Reckell said. It frames views of the Santa Monica Mountains Conservancy.


Reckell, 57, played Bo Brady on "Days of Our Lives" from 1983 through last year. The show began in 1965. He also appeared in "Knots Landing" (1988-89). He is an avid environmentalist and bikes to work.


Moneymaker, 42, is a former member of the music group Exposé. She was inspired to build an environmentally friendly home because the carpet and other elements in the old house bothered her allergies and affected her voice.


Public records show they bought the property in 2003 for $1.14 million.


Daniel Banchik of Prudential's West Hollywood office was the listing agent. Scott Segall of John Aaroe Group represented the buyer.


Another rock owner for home


Hard Rock Cafe co-founder Peter Morton has made his mark on L.A.'s real estate scene of late, buying the old Elvis Presley estate in Beverly Hills at year-end for $9.8 million.


But flying under the radar was his bigger off-market purchase midyear for a property in Bel-Air at $25 million, public records show. Area real estate agents not involved in the transaction say Morton plans to take down the existing home and build another on the site. The estate had belonged to Joseph Farrell, who founded National Research Group Inc. in 1978 and brought market testing to Hollywood. Farrell died in December 2011.





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Higher gas prices not putting a damper on February auto sales









February is turning out to be another good month for auto sales.


"All signs of the industry’s health are positive right now," said John Humphrey, senior vice president of the global automotive practice at J.D. Power and Associates. "Average transaction prices are up, incentives are stable, leasing is at a healthy level and newly redesigned models continue to make an impact on the marketplace."


The auto research firm estimates that February auto sales will reach nearly 1.2 million, about a 7% increase from the same month a year earlier.  It will be the fourth consecutive month with the annual selling rate at or above 15.2 million vehicles. 





The retail segment of the market remains strong.


"Demand is increasing, but the automakers deserve credit for doing a much better job of keeping alignment of production and demand,"  Humphrey said. "This has led to new-vehicle transaction prices that are averaging nearly $1,000 more in February than the same period in 2012 while incentives have remained relatively flat year over year.”


Fleet sales -- to car rental companies, commercial customers and government agencies -- will make up about 21% of the market in February.


Other analysts are forecasting a similar outlook for the month. Auto information company Edmunds.com has a higher forecast, estimating the annual sales pace will hit 15.5 million this month.


"Car sales are persevering despite economic factors on people’s minds like rising gas prices and the implementation of the payroll tax," says Jessica Caldwell, an Edmunds analyst. "Pent-up demand and widespread access to credit are keeping up car sales momentum."


Edmunds is projecting that Ford Motor Co. and Chrysler Group will have the biggest percentage sales gains compared to February of 2011.


ALSO:


Record gas price increase


Auto repossessions continue decline


Chinese car companies interested in Fisker


Follow me on Twitter (@LATimesJerry), Facebook and Google+.





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Peanut Corp. officials indicted in salmonella outbreak









Several officials at the now-defunct Peanut Corp. of America knew their products may have harbored salmonella bacteria, but they covered up the evidence and sold the food anyway, alleged a 76-count federal indictment unsealed this week.

Peanut butter, roasted peanuts and other items prepared at PCA’s Blakely, Ga. plant were linked to a 2009 salmonella outbreak that sickened more than 700 people across 46 states and may have contributed to nine deaths.


One of the largest food-based recalls in history resulted, affecting thousands of products made since 2007, including cookies, cereal and even pet treats, according to the Food and Drug Administration.





This week’s indictment pins much of the blame on four former PCA officials, accusing them of engaging “in multiple schemes to defraud the company’s customers.”


The four allegedly failed to keep rodents and insects out of the Blakely plant, continuing to ship products even when testing showed salmonella contamination, fabricating quality assurance labels and lying to and misleading investigators once the outbreak occurred, according to the Justice Department.


“These indictments will have a far-reaching impact on the food industry,” said food safety attorney William D. Marler. “Corporate executives and directors of food safety will need to think hard about the safety of their product when it enters the stream of commerce."


"Felony counts like this one are rare, but misdemeanor charges that can include fines and jail time can and should happen,” he said.


Stewart Parnell, his brother Michael Parnell and Samuel Lightsey face charges of mail and wire fraud, conspiracy and introduction of adulterated and mis-branded food into interstate commerce with the intent to defraud or mislead. Stewart Parnell, PCA’s president, is also facing obstruction of justice charges, as are Lightsey and Mary Wilkerson.


Michael Parnell was a food broker working on PCA’s behalf. Lightsey was the operations manager at the Blakely plant. Wilkerson served in several positions, including that of the plant’s quality assurance manager.


The Justice Department “will not hesitate to pursue any person whose criminal conduct risks the safety of Americans who have done nothing more than eat a peanut butter and jelly sandwich,” said Stuart F. Delery, who heads the department’s Civil Division, in a statement.


ALSO:


Apocalypse then: The great peanut-butter shortage is over


Spam maker Hormel to buy Skippy peanut butter from Unilever


Peanut butter recall expands to 76 products on salmonella fears





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Herbalife CEO confirms discussions with investor Carl Icahn









Herbalife Ltd. Chief Executive Michael Johnson said the company has had "short discussions" with billionaire investor Carl Icahn, who last week disclosed that he had purchased 13% of the company's stock and would consider efforts to take the company private.


Johnson, speaking to analysts in a conference call Wednesday morning, did not elaborate.


"Yes, we’ve had short discussions with Mr. Icahn but beyond that nothing concrete to discuss," Johnson said.





Icahn and hedge fund manager Bill Ackman have engaged in a public battle about the value of Herbalife, a Los Angeles maker of weight loss and nutritional products.


In December, Ackman accused Herbalife of operating a fraudulent pyramid scheme in which about 90% of its independent distributors make no money while a fortunate few at the top of the pyramid get rich from commissions of those they brought into the business. He said his fund, Pershing Square Capital Management, had a $1-billion short against Herbalife shares. If the stock falls, Ackman and his investors profit.


Icahn said he thinks Ackman's attacks were misguided. He disclosed last week that he had gone long on the stock, buying nearly 13% of the company's shares and planned to discuss bringing the company private, a move that could drive up its share price.


In his call with analysts, Johnson said Ackman's attacks were "unprecedented, untrue and unfair." He noted that many of the company's independent distributors do not get into the business to profit, but instead to obtain the opportunity to buy its products at wholesale prices for personal consumption.


In response to Ackman's allegations, the company has decided to include a new compensation disclosure to all potential distributors, Johnson said. The disclosure will note that about 90% of distributors make little or no income.


On top of that, Johnson said, the company intends to create a new job title for distributors who buy for personal use, a title that would make it more clear that they're not selling the product for a profit.


Herbalife said it sells its weight-loss shake mixes, supplements and vitamins through a network of independent distributors who counsel consumers about their health needs while selling them appropriate products.


In a regulatory filing Tuesday, Herbalife said it achieved record sales of $4.1 billion in 2012. The company also raised its guidance for 2013, but disclosed that it planned to spend $10 million to $20 million fighting Ackman's allegations.


Herbalife also said the Securities and Exchange Commission was reviewing the company's business model and it's possible that regulatory agencies from other countries might also get involved.


Herbalife shares were down 93 cents, or 2.3%, in morning trading.


ALSO:


Herbalife fires back at hedge fund giant


Herbalife fourth-quarter sales, profit beat Wall St. forecasts


Hedge fund manager alleges Herbalife is 'pyramid scheme'



Follow Stuart Pfeifer on Twitter







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Samuel Adams beer now in a can















Samuel Adams


Cans of Samuel Adams Boston Lager will be available in 12-packs nationwide by early summer.
(Boston Beer Co.)





































































Add Samuel Adams to the growing list of beers available in cans.


The Boston Beer Co. said it will start selling its popular Samuel Adams Boston Lager in cans for the first time this summer, the Associated Press reports.


The move will allow beer fans to take the popular lager places where glass bottles may not be allowed, such as pools, parks, beaches and sporting events.





Once considered to impair the taste of fine beers, cans are now used by more than 180 craft breweries, according to the website ontaponline.com.  


Brewers have long been using a thin, plastic lining inside cans to reduce the dreaded metallic taste.


There are other benefits: Brewers appreciate that cans are lighter and more compact than bottles, reducing shipping costs, and they won’t shatter into a thousand pieces if dropped, ontaponline.com noted.


Sierra Nevada Brewing Co. in Chico, Calif., already sells its Torpedo Extra IPA in cans. Redhook Ale Brewery in Woodinville, Wash., recently started offering Long Hammer IPA in cans.


The Boston Beer Co. says cans of Samuel Adams lager will be available in 12-packs nationwide by early summer. It suggests a price range of $14.99 to $17.99.


Shares of Boston Beer Co. were up $4.19, or 2.8%, in trading Tuesday morning.


ALSO:


Marc Jacobs sexes up new Diet Coke cans


Josh Hamilton's arrival won't change Angels' clubhouse beer policy


What's the secret of America's most sought-after beer? Pliny arrives



Follow Stuart Pfeifer on Twitter








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Burger King's Twitter account hacked, made to look like McDonald's









Hackers have taken over Burger King's Twitter account and changed it to look like it belongs to McDonald's. The account's profile photo has been changed to the McDonald's logo, and the cover photo and background have been changed to images of McDonald's food.


The account appears to have been taken over Monday morning, when hackers tweeted out "We just got sold to McDonalds! Look for McDonalds in a hood near you."


PHOTOS: Tech we want to see in 2013





The hackers also clarified that "For the record, our password was not "whopper" or anything!"


Burger King last seemed to be in control of the account on Sunday, and as of this writing, its Facebook and Google+ accounts are still under control. Burger King could not be reached for comment.


The hackers claim to be a part of the LulzSec group, which since 2011 has gone after a number of high-profile targets including Sony and several government agencies.


Based on a tweet retweeted by the account, it appears the group may have waited for Presidents Day to pull off the hack in order to catch the company on a day its employees may be not working.


ALSO:


Google to open its own retail stores this year, report says


Picture rumored to be of Sony PlayStation 4 controller hits Web


Facebook tax refund sparks outrage, but company did pay taxes






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A secret agent reveals her secrets of success









The prospect of a business book written by a former CIA officer fills one with dread at the inevitable 007 anecdotes and labored corporate parallels.

But "Work Like a Spy: Business Tips From a Former CIA Officer," published by Portfolio, turns out to be rather different. There are no gadgets, few cloaks and fewer daggers: Instead it is a bracingly realistic book about people at work. It is short. It is sharp. Better still, it is sensible.

It is also about spying, though only enough to lend a sprinkle of glamour and danger. The book jacket photo shows author J.C. Carleson, an undercover agent for eight years, looking like a real-life Carrie from "Homeland" — without the blond hair and the bipolar disorder.








Yet her stories from the field are as much blunder as conspiracy. The book opens with the heroine as a young case officer in an armed convoy in Iraq. It is 2003 and she is going to inspect a plant that the U.S. is convinced makes biological weapons. They disarm the guards and terrify everyone — only to discover it is a salt factory.

"Salt. (Insert your own expletive of choice here.) Salt!" she writes.

Carleson assures us that not all CIA work is suitable for general adoption: The threatening, lying, trapping, cheating, misleading and detaining that go with the territory should not be tried in the office.

But the spy can teach the general manager about human nature. Spies are simply better at observing people because they have spent more time practicing and because the stakes are too high to screw it up.

By comparison, the rest of us are pretty hopeless, only we don't know it. Reluctantly, I have started to reappraise my own view of myself as a brilliant judge of character and admit that such a belief is a liability.

I've just tried the following exercise: Pick a stranger and try to guess their education, profession, religion, income bracket, marital status and hobbies. Disaster: I was wrong on every score.

Because we cling to this idea that our gut instincts are reliable, we make a lot of avoidable mistakes. We make bad hiring decisions. We talk vaguely about wanting passion and creativity rather than setting to work corroborating resumes and seeking out references. Employers should make a short, precise list of the traits a job requires and hire to fill it. It is all obvious. Yet it takes a spy to point it out.

Less obvious but no less valuable is her tip for job candidates: Get the interviewer to do most of the talking and then hang on their every word. Since hardly anyone can resist talking about themselves to a rapt audience, a job offer is almost bound to follow.

To the public speaker and the salesman, Carleson has further good advice: Never rely on a script and never learn what you are going to say by heart. When you do this you use a different tone of voice, go on to autopilot and all trust is lost in an instant. Carleson is right. I have done this, but never again.

I also liked the observation about newly minted CIA officers (for which read new Harvard MBAs and so on) who emerge from the yearlong training process all swagger and irritating charm. This doesn't wash in the agency, any more than it does elsewhere. More seasoned colleagues slap them down. "Don't try to case officer me," they say.

Not everything from the book can be copied. The CIA keeps its best staff by doing sensible things such as moving people around, giving them interesting work and letting lone wolves be lone wolves.

Yet the perks of being an undercover agent also involve wearing disguises, learning how to crash cars and jump out of aircraft — all of which are big pluses, but not terribly transferable.

The main lesson from "Work Like a Spy" is that we are much more likely to get what we want if we watch other people carefully. It helps to identify the other person's weaknesses, and for this there are some common denominators: "… ego, money, ego, ego … ego, ego, ego."

Lucy Kellaway is a columnist for the Financial Times of London, in which this review first appeared.





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BMW recalls 3 Series, 1 Series and Z4 models for stalling









BMW is recalling about 500,000 vehicles in the U.S., including recent model year 3 Series sedans, its most popular vehicle, as well as its 1 Series coupe and the Z4 sports car because a battery cable can fail, causing the cars to stall unexpectedly.


In all, the recall includes 3 Series sedans, wagons, convertibles and coupes from the 2007 through 2011 model years, 1 Series coupes and convertibles from the 2008 through 2012 model years and the Z4 from 2009 through 2011.


The automaker has document a crash in Canada caused by the problem but doesn’t know of any accidents or injuries in the U.S.





In all the recalled cars, the battery is located in the trunk and there is a long battery cable from the battery to the fuse box, located between the glove compartment and the dash panel.


BMW said that both the connector at the end of the cable and the corresponding terminal on the fuse box are coated with tin.


The connection can degrade over time from the relative movements of the cable and the fuse box, which can eventually break the electric connection.


Additionally, BMW said the problem could cause a momentary flickering of the display in the instrument cluster or cause the engine to shut down briefly.


“In an extreme case, the electrical system may be completely interrupted during vehicle operation resulting in engine stalling and a loss of various vehicle systems that could increase the risk of a crash,” the automaker said.


In a filing with the National Highway Traffic Safety Administration, BMW said it believes less than 1% of the recalled vehicles are actually affected by the problem.


BMW has known about the problem since July 2010 as a result of two field cases from the U.S. market involving the failure of the electrical system on a 3 Series vehicle when a customer experienced a "no-start" condition after it was parked. In October and December 2010, additional reports were received pertaining to the same problem.


It issued a service bulletin telling dealers how to fix the problem but has now decided to recall all 504,545 of the cars sold in the U.S.


BMW will notify owners, and dealers will replace the positive battery cable connector and secure it with an improved method, free of charge. The recall is expected to begin in March. Owners may call BMW for more information at (800) 525-7417 or email BMW.


Earlier this week, BMW announced it was recalling more than 30,000 of its eight-cylinder X5 model sport utility vehicles to fix an oil leak that could affect their power brakes. The recall covers X5 SUVs in the U.S. from the 2007 through 2010 model years. The vehicles were made between Sept. 12, 2006, and March 18, 2010.


ALSO:


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New Alfa Romeo sports car coming to U.S.


Lexus, Toyota top JD Power dependability list


Follow me on Twitter (@LATimesJerry), Facebook and Google+.



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Stocks inch higher as finance ministers meet for G20











Stocks were little changed on Wall Street Friday, with the S&P 500 barely holding on to its seventh week of gains.

The Standard & Poor's 500 fell two points to 1,520 as of 12:32 p.m. EST. For the week, the index less than a point higher. It has risen every week so far this year.

The Dow Jones industrial average fell 9 points to 13,963. The Nasdaq composite fell 2 points to 3,196.

Burger King gained 40 cents to $16.98. The company's fourth-quarter earnings nearly doubled after it revamped its menu. Energy stocks fell as the price of crude oil dropped nearly 2 percent to $95.52 a barrel. Chevron dropped 99 cents to $114.70 and Exxon Mobil fell 37 cents to $88.15.

A stock market rally that started in January has slowed in February. Investors piled into stocks at the beginning of the year after lawmakers reached a last-minute deal to avoid the “fiscal cliff” of sweeping tax hikes and spending cuts. The gains continued as investors were encouraged by signs that the housing and jobs markets are recovering.


QUIZ: How much do you know about the stock market?


“We've just had such a fast start to the year,” said John Fox, manager of the FAM value fund. “It just makes sense that you are going to have a leveling or a slowdown.”

Herbalife surged $4.54, or 12 percent, to $42.80 after the billionaire investor Carl Icahn disclosed that he had accumulated a 13 percent stake in the company. The stock of the supplement company slumped last year after Pershing Square Capital Management's William Ackman described it as a massive pyramid scheme and placed bets that it would fall.

Investors are continuing to put money into stocks. Lipper, a unit of financial data provider Thomson Reuters, reported that $2.4 billion flowed into stock funds this week, marking the sixth straight week of increases. In January $37.4 billion went into stock funds, the most in that month since 2000.

The yield on the 10-year Treasury note, which moves inversely to its price, has risen as investors have put more cash into stocks. The yield rose 3 basis point to 2.03 percent today, it started the year at 1.70 percent.






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Freddie Mac: 30-year fixed mortgage holds steady at average 3.53%









Mortgage rates held steady this week, Freddie Mac’s survey of lenders showed, with the 30-year fixed-rate loan at an average of 3.53% for the third week in a row – a great deal for those able to take advantage.


The average rate for a 15-year fixed mortgage was 2.77%, the same as last week, the big mortgage finance company said Thursday.


Freddie Mac, the giant government-supported buyer and guarantor of home loans, asks lenders each week for the terms they are offering to well-qualified borrowers. In the latest survey, these borrowers would have paid 0.8% of the loan amount in upfront fees to lenders.





Quiz: How much do you know about mortgages?


The mortgage rates, up only slightly from their record lows of about 3.35% late last year,  are helping to stimulate demand for housing, pushing home prices higher in a wide variety of markets. The largest fourth-quarter gains were recorded in Phoenix, Detroit and San Francisco, noted Freddie Mac’s chief economist, Frank Nothaft.


But Freddie Mac’s definition of who qualifies for the low rate underscores how unattainable they may be for some would-be home buyers. The survey assumes borrowers have high credit scores and 20% down payments, excluding many Americans who are struggling to get back on a firm footing after the recession.


The traditional provider of low down-payment loans for first-time buyers and those with credit dings has been the Federal Housing Administration. But the FHA, which charges fees to borrowers and insures lenders and investors against losses on their loans, has been tightening its standards in reaction to its losses on housing-bubble loans.


The pendulum has swung too far, said Steve Zuckerman, California managing director for Self-Help, a community development lender that operates credit unions in lower-income neighborhoods.


In 2007, 80% of all FHA home loans were made to people with credit scores under 680, compared to 50% today, Zuckerman said. The FHA theoretically provides loans to people with credit scores in the 500s, but FHA mortgages to folks with scores of 620 or lower have dropped to just 5% of all FHA-insured loans, down from 50% on 2007.


That means the low rates are “affordable but not accessible” to large numbers of Americans, Zuckerman told a housing conference this week in Oakland. “Low-income families are having an incredibly difficult time taking advantage.”  


ALSO


Investors fuel housing gains


Foreclosures plummet as new California laws take hold


Government wins round in lawsuit over Wells Fargo FHA Loans





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Southern California home prices rise; foreclosures fall statewide









Southern California’s housing market in January posted strong median home price gains as new foreclosure starts plummeted dramatically across the state.


The six-county region's median home price rose 23.5% from the same month a year earlier to $321,000, according to real estate research firm DataQuick. Home sales rose 10.6% to 16,058 over the same period.


The rise in home prices came as foreclosure starts in California took a massive tumble. The foreclosure decline came as new state laws aimed at prohibiting certain aggressive bank repossession practices went into effect. 





The real estate website ForeclosureRadar.com reported a 60.5% decline in the number of default notices issued in California in January compared with December. The number of default notices — the first formal step in the state’s foreclosure process — fell 77.7% from December 2011. A total of 4,500 such filings were logged last month, the lowest number since at least September 2006, when the website’s records begin.


The website gave no explanation for the sharp decrease in notices of default, but noted that the drop coincided with a package of tough new laws that provide homeowners with some of the nation's strongest protections from bank repossession practices taking effect in January.


Most notably, the Homeowner Bill of Rights bans the practice of “dual tracking,” in which a lender seizes a home even while negotiating a lower mortgage payment with the owner.


Passed last year, the legislative package was sponsored by California Atty. Gen. Kamala D. Harris and written by 10 Democratic lawmakers.


The laws also outlawed so-called robo-signing -- the improper or faulty processing of foreclosure documents -- and would allow state agencies and private citizens to sue financial institutions, under limited conditions, for economic compensation and for additional civil damages of up to $50,000 if lenders willfully, intentionally or recklessly violate the law.


ALSO:


One-third of homeowners have no mortgage


2012 was a banner year for housing affordability


Justice Department sues S&P over mortgage bond ratings





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Four in 10 Americans are living paycheck to paycheck, study says









More than four in 10 Americans are living paycheck to paycheck and nearly one in 10 doesn’t earn enough to pay for essentials, according to a study released Tuesday.


The survey, conducted for the Allstate insurance company by FTI Consulting Inc., underscored the conflicted emotions and attitudes about personal finances among ordinary people.


It showed the challenges that people are facing in a soft economy and troubled labor market, but it also demonstrated that many people make unwise financial decisions even when they know better.





The survey found that 59% of Americans say they generally know how to handle money and make the right financial decisions. But 47% of respondents said they’re saving less money than they should be.


Underscoring the financial dichotomy in the U.S., half of the survey respondents described their financial situation as “excellent” or "good,” while half said it was “fair” or "poor.”


Though 41% live from one paycheck to the next, 8% can't even make it that far, saying they don't have enough to afford everyday essentials.


On the bright side, 82% of people think they’re financially better off than their friends and 52% say they’re better off than when they were growing up.


The survey of 1,000 Americans age 18 and older was conducted in mid-December. It has a margin of error of plus or minus 3.1% in 95 out of 100 cases.


ALSO:


Financial planning for the average investor


Report: How to make student loans easier and cheaper


College degree is still worth the (very considerable) cost



Follow Walter Hamilton on Twitter @LATwalter





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Chinese Year of the Snake may be bad for the stock market









The Chinese new year, the Year of the Snake, could leave the stock market snake-bitten.


Sunday ushered in the Chinese New Year but, investors may wish it hadn’t. The Year of the Snake is the only one of the 12 Chinese lunar calendar years in which the Standard & Poor’s 500 index has a losing record, according to researcher Capital IQ.


Since 1900, the benchmark index is down an average of 2.9% in the Year of the Snake, according to Capital IQ. It has risen in only three of the nine snake years since 1900, marking the worst performance of the any of the named lunar years.





Investors will miss the just-departed Year of the Dragon, which has a 10.4% average historical return, according to Capital IQ.


The best showing has come during the Year of the Pig. The S&P is up an average of 12.8% in those years and has risen during 78% of them.


ALSO:


Dow Jones industrials close above 14,000


IRS delays issuing tax refunds; fiscal cliff to blame?


How average investors can get professional financial advice


Follow Walter Hamilton on Twitter @LATwalter



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