Puerto Rico Races to Rescue Its Pension Fund

Puerto Rico is fighting to stay afloat in a rising sea of debt.

Its economy is sputtering. Its population is shrinking. Its recent election is disputed. Its public pension fund is perilously low on cash. The American territory has just been through a brutal five-year recession, something not experienced in the United States as a whole since the 1930s.

Desperate to raise cash, Puerto Rican officials have been selling off anything they can: two toll roads and the main airport so far.

To bring in tax revenue, they are trying to lure people out of the underground economy. Coffee shops, hairdressers, even outdoor market stalls are being required to issue printed receipts with every sale. The receipts carry a lottery number, with a chance to win cars or cash, as an incentive to get shoppers to pay the island’s 7 percent sales tax.

Though many of Puerto Rico’s problems are reminiscent of Greece’s — tax noncompliance, a stagnant economy, years of issuing long-term debt to cover short-term payments — investors have had a nearly insatiable appetite for its bonds.

But now their support is dwindling. Some big investors are pruning their holdings. That is beginning to widen the cost of borrowing for Puerto Rico relative to other states and municipalities, which are benefiting from a big decline in borrowing costs. The interest rate its 30-year bonds now pay is about 2.5 percentage points higher than other municipal borrowers’, up from a difference of just 1.5 percentage points at the beginning of 2012, according to Municipal Market Data.

The possibility of a credit downgrade also hangs in the air, something that could lead to more selling.

“There is no specific event looming on the horizon,” said Alan Schankel, a managing director at Janney Capital Markets in Philadelphia. “But it’s a problem of immense magnitude, and it’s very challenging to sit here and see how they work their way out of it.”

Puerto Rico needs to be able to issue bonds at attractive rates to cover its short-term financing needs. Perhaps more important, it has to figure out how to salvage its retirement funds. After shortchanging them for years, it now has the weakest major public pension system in America.

The main fund, which serves about 250,000 government workers, past and present, is only 6 percent funded — a small percentage of what is considered the minimum needed for a marginally healthy pension plan — and could run out of money as soon as 2014. Another fund, for about 80,000 teachers, which is 20 percent funded, will last just a few years longer if nothing is done. Police officers and teachers in Puerto Rico have opted out of Social Security and rely entirely on their pensions.

“For now, I’m not totally shaken about the possibility of the fund going broke,” said Jorge Ramón Román, a 78-year-old retired instructor for the island’s Civil Air Patrol. “But I do fear for the future, when I’ll be an even older person, more infirm and with less of a pension.”

Héctor M. Mayol Kauffman, the executive director of the pension system, said it would be impossible to cut the benefits of people who are already retired, citing court precedent.

Puerto Rican officials were racing this fall to put together a rescue plan for the pension fund. Voters, though, pushed out Gov. Luis Fortuño, who had tried austerity measures that included cutting tens of thousands of government workers along with a revamping of the fund.

They elected Alejandro García Padilla, who promised to create 50,000 new jobs in the next 18 months. But the margin was razor-thin and Mr. Fortuño has requested a recount. Mr. García Padilla’s party had dropped out of the retirement overhaul effort, but the governor-elect says he will deal with the looming pension crisis with “diligence and promptness” and has put together a task force of economists and financial advisers.

“We will not leave retired government workers stranded at a bus stop in their older years,” he said.

Since the election, yields on the island’s 30-year bonds have continued to widen.

“I don’t think that there’s a default that’s about to happen, but a default isn’t the only bad thing that can happen when you’ve got bonds,” Mr. Schankel said. Puerto Rico’s bonds are just a notch or two above junk status. If they fall to that level, at least some institutions would be forced to sell, potentially setting off a chain reaction. And individual investors could get a jolt if they saw the value of their holdings fall. Many people own Puerto Rican debt without knowing it, through their mutual funds.

“The concern is that Puerto Rico is a systemic risk to the municipal bond market because it’s so widely held,” said Robert Donahue, a managing director with Municipal Market Advisors.

Rafael Matos contributed reporting from San Juan, P.R.

Read More..

Survey finds lots of unused vacation time

As an information technology supervisor at Pitzer College in Claremont, Dennis Crowley had so much work to do last year that he finished 2011 without using nearly five days of paid vacation.

"And to be frank, I was too busy to even realize I was losing time," he said.

Crowley's situation is not unusual. A survey by Harris Interactive Inc. found that by the end of 2012, Americans will leave an average of 9.2 days of vacation unused, up from the average of 6.2 days in 2011.

Nearly 90% of those questioned said they would take more leisure trips on their vacation if they had the time and money to do so, according to the survey of more than 2,000 U.S. adults that was commissioned by travel website Hotwire.

Hotwire has a selfish reason for pointing out the survey results: The travel website says vacationers can save lots of money by traveling between Thanksgiving and Christmas. During the holiday gap, hotel rates drop 33% in Boston, 28% in San Francisco and 26% in Seattle, compared with the peak summer travel season, according to the website.

Crowley has learned his lesson. He said he is keeping closer tabs on his vacation time this year. But instead of using his accrued vacation time to travel, he said is spending more time with his children.

Airline food getting more healthful

On the nation's airlines, the days of free lunch are long over. That also goes for breakfast, dinner and snacks. Once complimentary, most airline food now comes with a price tag.

But there is some good news about what you get to eat on commercial airlines: It is getting more healthful.

That's the assessment of Charles Platkin, a professor of nutrition at the City University of New York's Hunter College who has tested and ranked airline foods off and on since 2000. With few exceptions, Platkin said most airlines now offer at least one healthful meal alternative on their menu.

"It's actually moving in a good direction," he said. "It's been an ebb and flow, but the overall trend is positive."

Platkin gave the top ranking this year to Virgin America, noting that the airline based in California offers low-calorie options such as roasted pear and arugula salad, a "protein plate" with hummus and whole wheat pita bread, plus oatmeal for breakfast. He gave the airline 41/4 stars out of a maximum of five stars.

At the bottom of the list was Allegiant Air, with a rating of only one and a half stars. Platkin said the Las Vegas airline "made it clear that their foods were not healthy. It shows."

The airline's snacks include M&Ms, Oreo Brownies and Pringles chips.

Air Canada and Alaska Airlines came in second and third, respectively, in Platkin's ranking. The other big airlines — including United, American, Delta and US Airways — ranked in the middle of the list.

Platkin does not eat the food on every airline. "I don't have that kind of time," he said. "I have classes to teach."

Instead, he collects and reviews lists of food items, including the ingredients and calorie numbers, from the airlines.

TSA defends stopping traveler over watch

A traveler was stopped by federal security officers at the Oakland International Airport this month because of an unusual wristwatch he was wearing.

When word got out about the incident, critics of the Transportation Security Administration blasted the agency, saying it was another example of the TSA overreacting.

In hopes of stifling the uproar, the TSA released a photo of the watch last week. This is no ordinary timepiece. It includes a toggle switch, wires and what look like tiny fuses attached to the wristband.

A TSA explosives detection team determined that the watch was not an explosive device. Still, the Alameda County sheriff's deputies, who were called by the TSA to investigate, arrested the watch owner, Geoffrey McGann, a teacher and artist from Rancho Palos Verdes. He was jailed on suspicion of possession of components to make a destructive device, according to news reports.

The Alameda County district attorney's office declined last week to file charges against McGann.

McGann's attorney accused the TSA of being "hyper-vigilant."

The TSA responded in its blog last week, saying, "Terrorists take everyday items and attempt to manipulate them to make improvised explosive devices. Our officers are trained to look for anomalies such as this one."

hugo.martin@latimes.com

Read More..

A Google-a-Day Puzzle for Nov. 26

Our good friends at Google run a daily puzzle challenge and asked us to help get them out to the geeky masses. Each day’s puzzle will task your googling skills a little more, leading you to Google mastery. Each morning at 12:01 a.m. Eastern time you’ll see a new puzzle posted here.

SPOILER WARNING:
We leave the comments on so people can work together to find the answer. As such, if you want to figure it out all by yourself, DON’T READ THE COMMENTS!

Also, with the knowledge that because others may publish their answers before you do, if you want to be able to search for information without accidentally seeing the answer somewhere, you can use the Google-a-Day site’s search tool, which will automatically filter out published answers, to give you a spoiler-free experience.

And now, without further ado, we give you…

TODAY’S PUZZLE:

Note: Ad-blocking software may prevent display of the puzzle widget.

Ken is a husband and father from the San Francisco Bay Area, where he works as a civil engineer. He also wrote the NYT bestselling book "Geek Dad: Awesomely Geeky Projects for Dads and Kids to Share."

Read more by Ken Denmead

Follow @fitzwillie and @wiredgeekdad on Twitter.

Read More..

Tourists visit Southfork to remember Larry Hagman

PARKER, Texas (AP) — Tourists and locals flocked to Southfork Ranch on Saturday, bringing flowers in memory of Larry Hagman, who played the infamous J.R. Ewing on the TV show “Dallas.”

Hagman died in Dallas on Friday at age 81 due to complications from his battle with cancer.

Southfork, a ranch north of Dallas, was known to millions of viewers as the Ewing family home. Exterior shots of the house and pool were shown when the series aired from 1978 to 1991, although the show wasn’t filmed there.

The ranch has been open for tours since the mid-1980s, and now sees more than 100,000 visitors each year. Each room of the house has a theme for each character.

On Saturday, J.R. Ewing’s room had flowers and a card for tourists to sign.

“Today is about Larry Hagman and his family,” said Janna Timm, a Southfork Ranch & Hotel spokeswoman. “He was such a wonderful person, and we will really miss him.”

“Dallas” was recently revived on TNT this summer, and all of the scenes were filmed at Southfork or other places in the Dallas area. Hagman had revised his role as the scheming oilman who would even double-cross his own son.

Linda Sproule of Peterborough, Ontario, had been traveling through the U.S. the past couple of weeks and heard about Hagman’s death Friday while in Dallas. She said she didn’t know where Southfork was but wanted to come because she was a fan of the show in the 1980s.

“I remember on Friday nights we watched it, and J.R. was bigger than life in some ways,” she said after taking the Southfork tour Saturday morning. “This ranch is beautiful. Being here is kind of emotional in a way.”

Barbara Quinones and her husband were in town for their daughter’s soccer tournament and had already planned to visit Southfork when they heard news of Hagman’s death.

“We loved him because he was so ruthless,” said Quinones, of Albuquerque, N.M. “This is a sad day, but I’m glad we’re here.”

Some of the show’s stars, including Hagman, came to Southfork for the series’ 25th anniversary. The Fort Worth-born actor also had visited several times before the show was revived.

“He was definitely a gentleman, a class act,” said Jim Gomes, vice president of resorts at Southfork Ranch & Hotel. “He loved the fans as much as they loved him.”

Entertainment News Headlines – Yahoo! News

Read More..

Agency Investigates Deaths and Injuries Associated With Bed Rails

Thomas Patterson for The New York Times

Gloria Black’s mother died in her bed at a care facility.

In November 2006, when Clara Marshall began suffering from the effects of dementia, her family moved her into the Waterford at Fairway Village, an assisted living home in Vancouver, Wash. The facility offered round-the-clock care for Ms. Marshall, who had wandered away from home several times. Her husband Dan, 80 years old at the time, felt he could no longer care for her alone.

Thomas Patterson for The New York Times

Gloria Black, visiting her mother’s grave in Portland, Ore. She has documented hundreds of deaths associated with bed rails and said families should be informed of their possible risks.

But just five months into her stay, Ms. Marshall, 81, was found dead in her room apparently strangled after getting her neck caught in side rails used to prevent her from rolling out of bed.

After Ms. Marshall’s death, her daughter Gloria Black, who lives in Portland, Ore., began writing to the Consumer Product Safety Commission and the Food and Drug Administration. What she discovered was that both agencies had known for more than a decade about deaths from bed rails but had done little to crack down on the companies that make them. Ms. Black conducted her own research and exchanged letters with local and state officials. Finally, a letter she wrote in 2010 to the federal consumer safety commission helped prompt a review of bed rail deaths.

Ms. Black applauds the decision to study the issue. “But I wish it was done years ago,” she said. “Maybe my mother would still be alive.” Now the government is studying a problem it has known about for years.

Data compiled by the consumer agency from death certificates and hospital emergency room visits from 2003 through May 2012 shows that 150 mostly older adults died after they became trapped in bed rails. Over nearly the same time period, 36,000 mostly older adults — about 4,000 a year — were treated in emergency rooms with bed rail injuries. Officials at the F.D.A. and the commission said the data probably understated the problem since bed rails are not always listed as a cause of death by nursing homes and coroners, or as a cause of injury by emergency room doctors.

Experts who have studied the deaths say they are avoidable. While the F.D.A. issued safety warnings about the devices in 1995, it shied away from requiring manufacturers to put safety labels on them because of industry resistance and because the mood in Congress then was for less regulation. Instead only “voluntary guidelines” were adopted in 2006.

More warnings are needed, experts say, but there is a technical question over which regulator is responsible for some bed rails. Are they medical devices under the purview of the F.D.A., or are they consumer products regulated by the commission?

“This is an entirely preventable problem,” said Dr. Steven Miles, a professor at the Center for Bioethics at the University of Minnesota, who first alerted federal regulators to deaths involving bed rails in 1995. The government at the time declined to recall any bed rails and opted instead for a safety alert to nursing homes and home health care agencies.

Forcing the industry to improve designs and replace older models could have potentially cost bed rail makers and health care facilities hundreds of million of dollars, said Larry Kessler, a former F.D.A. official who headed its medical device office. “Quite frankly, none of the bed rails in use at that time would have passed the suggested design standards in the guidelines if we had made them mandatory,” he said. No analysis has been done to determine how much it would cost the manufacturers to reduce the hazards.

Bed rails are metal bars used on hospital beds and in home care to assist patients in pulling themselves up or helping them out of bed. They can also prevent people from rolling out of bed. But sometimes patients — particularly those suffering from Alzheimer’s — can get confused and trapped between a bed rail and a mattress, which can lead to serious injury or even death.

While the use of the devices by hospitals and nursing homes has declined as professional caregivers have grown aware of the dangers, experts say dozens of older adults continue to die each year as more rails are used in home care and many health care facilities continue to use older rail models.

Since those first warnings in 1995, about 550 bed rail-related deaths have occurred, a review by The New York Times of F.D.A. data, lawsuits, state nursing home inspection reports and interviews, found. Last year alone, the F.D.A. data shows, 27 people died.

As deaths continued after the F.D.A. warning, a working group put together in 1999 and made up of medical device makers, researchers, patient advocates and F.D.A. officials considered requiring bed rail makers to add warning labels.

But the F.D.A. decided against it after manufacturers resisted, citing legal issues. The agency said added cost to small manufacturers and difficulties of getting regulations through layers of government approval, were factors against tougher standards, according to a meeting log of the group in 2000 and interviews.

Read More..

Libel Case That Snared BBC Widens to Twitter

PARIS — The Internet, it is sometimes said, turns every citizen into a journalist. If that is the case, some Twitter users in Britain are discovering one of the downsides of the business.

As many as 10,000 Twitter users reportedly face the threat of legal action because of comments posted on the Internet or forwarded to others in which they referred to a BBC report wrongly linking a former Conservative Party official to the sexual abuse of a child. The official, Alistair McAlpine, was not named in the Nov. 2 BBC report, but enough clues were provided that Twitter users were able to identify him — which they did, in great numbers.

The BBC quickly settled a libel claim, paying Mr. McAlpine £185,000, or nearly $300,000, and apologized for the error as a case of mistaken identity. Another British television broadcaster, ITV, agreed on Thursday to pay Mr. McAlpine £125,000 to settle another claim, this one over a subsequent broadcast in which a list purporting to show Conservative figures linked to sex abuse accusations had been visible to viewers.

Mr. McAlpine did not stop with the mainstream media. On Friday, a spokeswoman for the politician told The Guardian newspaper that his lawyers had identified 20 “high-profile tweeters” from whom they were seeking libel damages. Among them were a comedian, Alan Davies; Sally Bercow, the wife of John Bercow, the speaker of the House of Commons; and George Monbiot, a Guardian columnist.

There have been previous libel suits over comments posted on Twitter, a site that lets users write short messages to their followers. In March, a New Zealand cricket player, Chris Cairns, was awarded £90,000 by the High Court in London over a Twitter post by an Indian cricket official in which he falsely accused Mr. Cairns of match-fixing.

But the campaign by Mr. McAlpine appears to be the broadest yet, and it employs some novel tactics.

“Many people have had their reputations trashed on Twitter before, but nobody has decided to take action on this scale,” said Tim Lowles, a media lawyer at Collyer Bristow in London.

In addition to the prominent figures, Mr. McAlpine is reportedly pursuing action against thousands of other Twitter users, including people who had merely repeated to their own followers comments made by others.

Twitter users with fewer than 500 online followers who are “wishing to apologize and make contact” can use a Web site created by Mr. McAlpine’s law firm, R.M.P.I., to try to settle their cases.

“It is not this firm or Lord McAlpine’s intention to create any hardship,” a letter posted on the site states.

All that Twitter users who think they might have libeled Mr. McAlpine have to do is read the letter, fill out a downloadable form asking them for details of the postings in question, make an apology and send the form back via e-mail. Those who respond are reportedly asked to make donations to charity, and the firm warns that there will also be a “small administrative charge.”

British libel and defamation laws are notoriously friendly to claimants. While a planned overhaul would give publishers a bit more protection, the rise of social media like Twitter has vastly expanded the possibilities for libeling someone.

Some of the Twitter posts in question do not directly mention the offense to which Mr. McAlpine was falsely linked. The posting by Ms. Bercow asked, “Why is Lord McAlpine trending? *innocent face*” She insisted in a subsequent post that her initial comment had not been libelous.

Mr. Lowles said that under British law it was possible to libel someone indirectly or by innuendo, even if the incorrect accusations were not mentioned directly, as long as they were clear from the context.

It is not clear how far Mr. McAlpine intends to go in pursuing Twitter users who commented on the BBC accusations. R.M.P.I. did not return calls.

Some people register on Twitter anonymously or under fake names. British courts have ruled in previous cases that Internet companies like Twitter can be ordered to turn over the personal details of users, but this can be time-consuming and costly. A Twitter spokeswoman in Britain declined to comment on whether the company had received any such requests.

Like other social media companies, Twitter considers itself a conduit for its users but disavows responsibility for the content of the 400 million comments posted daily. The site’s guidelines state that users bear this burden.

“Most people still don’t think when they write something on Twitter that they are actually publishing,” Mr. Lowles said. “Whether or not this will act as a deterrent, I don’t know. People should think before they tweet.”

Could the threat of libel action dissuade Britons from posting on Twitter? By Friday, at least one prominent Twitter account had disappeared — that of Ms. Bercow, who had more than 50,000 followers, and who had followed up her comments on Mr. McAlpine with an apparent mistake in a different case: she appeared to have violated a court order by naming a British teenager who had been abducted by one of her teachers.

“This could have a chilling effect,” Paul Bernal, a lecturer in media law at the University of East Anglia, said of the McAlpine case. “I know people who have said that they are not going to post as much because of this.”

Read More..

L.A.'s revamped teacher evaluation system getting mixed grades

Third-grade teacher Kelly Vallianos wanted to find an engaging way for her students to learn about measuring perimeters. One idea — to have students design a restaurant floor plan — was too difficult, she feared.

But with the help of colleagues, she found a way to tailor that fifth-grade idea to her younger students at Dominguez Elementary School, who excitedly sketched out an imaginary pizzeria.

Vallianos credits the Los Angeles Unified School District's new teacher evaluation system for sparking deeper and more collaborative conversations with administrators, who she said gave her ideas to make the lesson work.

The district's new performance reviews have come under fire by United Teachers Los Angeles, which opposes the controversial element of using student test scores as one factor in measuring teacher effectiveness.

But largely lost in the debate is the fact that the system's centerpiece is a new classroom observation process that, despite some drawbacks, is being praised by many as a better way to help teachers improve.

"It's a more reflective, much more well-rounded process," said Vallianos, who has been teaching for 19 years.

Teachers are ranked on a scale on instruction, lesson plans, classroom environment and dozens of other criteria. A highly effective teacher, for instance, will be able to intellectually engage all students and prompt them to lead their own discussion topics. An ineffective teacher will generate all questions and most answers, involving just a handful of students.

During observations, administrators type notes into their laptops and later rate each of 61 skills. Principals and other administrators conducting the observations must pass a test to ensure they are fairly and accurately scoring instructors. Conferences with teachers before and after the classroom visits are required.

The method is meant to make observations more useful, uniform and objective, using evidence rather than opinions. But it's an elaborate process and has provoked widespread criticism that it takes too long for principals who are already overwhelmed with increasing workloads. And those who can't type well take even longer, administrators say.

"The technology is creating great difficulty and frustration," said Judith Perez, president of the Associated Administrators of Los Angeles. "It feels like an immense amount of pressure on people without alleviating their workload."

Teachers union President Warren Fletcher agrees that a better system is needed; UTLA has designed its own. He said "the jury is still out" on the district's observation process but added that it shares some common elements with the union's proposal.

The new system also includes evidence of student achievement — which could be in the form of test scores — feedback from students and parents, and the teacher's contributions to the school community.

The new observations were tested last year on a voluntary basis with about 450 teachers and 320 administrators; this year, every principal and one volunteer teacher at each of the district's 1,200 schools are expected to be trained.

Officials have not yet announced when the system will be used for every teacher — or when the ratings will begin to count for decisions on layoffs, tenure or pay. But in a video shown at the training sessions, L.A. Supt. John Deasy made the stakes clear.

"We have perhaps no greater responsibility than assuring that every student in this district is taught by an effective teacher in a school led by an effective leader," he said.

Many educators agree that the current evaluation system — known as Stull for the state law that created it — doesn't promote that goal of top-notch teachers for every student. Criticized as a perfunctory checklist of expectations that doesn't help teachers improve, the system awarded 99.3% of L.A. Unified teachers the highest rating in 2009-10 — even though only 45% of district students that year performed at grade level for reading and 56% were proficient in math.

The new system has given teachers like Lisa Thorne a boost. Thorne, a math teacher at Hamilton High School, said the new process is "unwieldy" but far more helpful in homing in on her strengths and weaknesses.

After the self-evaluation part of the process, Thorne chose to focus on improving her work with small groups of students, prompting her to try such techniques as using a three-dimensional pegboard to teach geometry. And she started a new computer-based class to help struggling ninth-graders master algebra. Administrators had seen her use the techniques with older students during a class visit and were impressed enough to give her the green light, she said.

"I would definitely say the new system is an improvement, because it's more specific about what they're looking for," Thorne said. "It helps to get the conversation going with administrators."

Eduardo Solorzano, principal of San Fernando Middle School, agrees. In particular, he said, the focus on careful note-taking has given him specific examples to use in helping teachers improve.

Read More..

A Google-a-Day Puzzle for Nov. 25

Our good friends at Google run a daily puzzle challenge and asked us to help get them out to the geeky masses. Each day’s puzzle will task your googling skills a little more, leading you to Google mastery. Each morning at 12:01 a.m. Eastern time you’ll see a new puzzle posted here.

SPOILER WARNING:
We leave the comments on so people can work together to find the answer. As such, if you want to figure it out all by yourself, DON’T READ THE COMMENTS!

Also, with the knowledge that because others may publish their answers before you do, if you want to be able to search for information without accidentally seeing the answer somewhere, you can use the Google-a-Day site’s search tool, which will automatically filter out published answers, to give you a spoiler-free experience.

And now, without further ado, we give you…

TODAY’S PUZZLE:

Note: Ad-blocking software may prevent display of the puzzle widget.

Ken is a husband and father from the San Francisco Bay Area, where he works as a civil engineer. He also wrote the NYT bestselling book "Geek Dad: Awesomely Geeky Projects for Dads and Kids to Share."

Read more by Ken Denmead

Follow @fitzwillie and @wiredgeekdad on Twitter.

Read More..

Hobbits, superheroes put magic in NZ film industry

WELLINGTON, New Zealand (AP) — A crate full of sushi arrives. Workers wearing wetsuit shirts or in bare feet bustle past with slim laptops. With days to go, a buzzing intensity fills the once-dilapidated warehouses where Peter Jackson‘s visual-effects studio is rushing to finish the opening film in “The Hobbit” trilogy.

The fevered pace at the Weta Digital studio near Wellington will last nearly until the actors walk the red carpet Nov. 28 for the world premiere. But after “The Hobbit: An Unexpected Journey” hits theaters, there’s more work to be done.

Weta Digital is the centerpiece of a filmmaking empire that Jackson and close collaborators have built in his New Zealand hometown, realizing his dream of bringing a slice of Hollywood to Wellington. It’s a one-stop shop for making major movies — not only his own, but other blockbusters like “Avatar” and “The Avengers” and hoped-for blockbusters like next year’s “Man of Steel.”

Along the way, Jackson has become revered here, even receiving a knighthood. His humble demeanor and crumpled appearance appeal to distinctly New Zealand values, yet his modesty belies his influence. He’s also attracted criticism along the way.

The special-effects workforce of 150 on “The Lord of the Rings” trilogy a decade ago now numbers 1,100. Only five of Weta Digital‘s workers are actual employees, however, while the rest are contractors. Many accept the situation because movie work often comes irregularly but pays well. Union leaders, though, say the workers lack labor protections existing in almost any other industry.

Like many colleagues, Weta Digital‘s director, Joe Letteri, came to New Zealand in 2001 to work on the “Rings” trilogy for two years. The work kept coming, so he bought a house in Wellington and stayed.

“People come here because they know it’s their chance to do something really great and to get it up on the screen,” he said in a recent interview. “And you want to do it in these next two weeks, because the two weeks after the movie’s finished are useless.”

Jackson, who declined to be interviewed for this story, launched Weta in 1993 with fellow filmmakers Jamie Selkirk and Richard Taylor. Named after an oversized New Zealand insect, the company later was split into its digital arm and Weta Workshop, which makes props and costumes.

Loving homages to the craft are present in Weta Digital’s seven buildings around the green-hilled suburb of Miramar. There are old-time movie posters, prop skulls of dinosaurs and apes, and a wall of latex face impressions of actors from Chris O’Donnell to Tom Cruise.

Its huge data center, with the computing power of 30,000 laptops, resembles a milk-processing plant because only the dairy industry in New Zealand knew how to build cooling systems on such a grand scale.

Little of Weta’s current work was visible. Visitors must sign confidentiality agreements, and the working areas of the facilities are off-limits. The company is secretive about any unannounced projects, beyond saying Weta will be working solidly for the next two years, when the two later “Hobbit” films are scheduled to be released.

The workforce has changed from majority American to about 60 percent New Zealanders. The only skill that’s needed, Letteri says, is the ability to use a computer as a tool.

Beyond having creativity as a filmmaker, Jackson has proved a savvy businessman, Letteri says.

“The film business in general is volatile, and visual effects has to be sitting right on the crest of that wave,” Letteri says. “We don’t get asked to do something that somebody has seen before.”

The government calculates that feature films contribute $ 560 million each year to New Zealand‘s economy. Like many countries, New Zealand offers incentives and rebates to film companies and will contribute about $ 100 million toward the $ 500 million production costs of “The Hobbit” trilogy. Almost every big budget film goes through Jackson’s companies.

“New Zealand has a good reputation for delivering films on time and under budget, and Jackson has been superb at that,” says John Yeabsley, a senior fellow at New Zealand‘s Institute of Economic Research. “Nobody has the same record or the magic ability to bring home the bacon as Sir Peter.”

“You cannot overestimate the fact that Peter is a brand,” says Graeme Mason, chief executive of the New Zealand Film Commission. “He’s built this incredible reputational position, which has a snowball effect.”

Back in 2010, however, a labor dispute erupted before filming began on “The Hobbit.” Unions said they would boycott the movie if the actors didn’t get to collectively negotiate. Jackson and others warned that New Zealand could lose the films to Europe. Warner Bros. executives flew to New Zealand and held a high-stakes meeting with Prime Minister John Key, whose government changed labor laws overnight to clarify that movie workers were exempt from being treated as regular employees.

Helen Kelly, president of the New Zealand Council of Trade Unions, says a compromise could easily have been reached. She says the law changes amounted to unnecessary union-busting and a “gross breach” of employment laws.

“I was very disappointed at Peter Jackson for lobbying for that,” she says, “and I was furious at the government for doing it.”

Weta Digital’s general manager Tom Greally compared it to the construction industry, where multiple contractors and mobile workers do specific projects and then move on.

Animal rights activists said last week they plan to picket the premiere of “The Hobbit” after wranglers alleged that three horses and up to two dozen other animals died in unsafe conditions at a farm where animals were boarded for the movies. Jackson’s spokesman Matt Dravitzki acknowledged two horses died preventable deaths at the farm but said the production company worked quickly to improve animal housing and safety. He rejected claims any animals were mistreated or abused.

Jackson’s team pointed out that 55 percent of animal images in “The Hobbit” were computer generated at Weta. The People for the Ethical Treatment of Animals (PETA) have asked Jackson in the future to create all his animals in the studio.

Controversies aside, the rise of Weta and the expat American community in and around Miramar is visible in everything from a Mexican restaurant to yoga classes. On Halloween, which in the past was not much celebrated in New Zealand, hundreds of costumed children roamed about collecting candy. Americans gave the tradition a boost here, but the locals have embraced it.

The National Business Review newspaper estimates Jackson’s personal fortune to be about $ 400 million, which could rise considerably if “The Hobbit” franchise succeeds. Public records show Jackson has partial ownership stakes in 21 private companies, most connected with his film empire. He’s spent some of his money on philanthropy, helping save a historic church and a performance theater.

For all his influence, Jackson maintains a hobbit-like existence himself, preferring a quiet home life outside of work. In the end, many say, he seems to be driven by what has interested him from the start: telling great stories on the big screen.

___

Follow Nick Perry on Twitter at http://twitter.com/nickgbperry

Entertainment News Headlines – Yahoo! News

Read More..

Indian Prostitutes’ New Autonomy Imperils AIDS Fight

Kuni Takahashi for The New York Times

Sex workers in Mumbai’s long-established red-light district, where brothels are dwindling.

MUMBAI, India — Millions once bought sex in the narrow alleys of Kamathipura, a vast red-light district here. But prostitutes with inexpensive mobile phones are luring customers elsewhere, and that is endangering the astonishing progress India has made against AIDS.

Indeed, the recent closings of hundreds of ancient brothels, while something of an economic victory for prostitutes, may one day cost them, and many others, their lives.

“The place where sex happens turns out to be an important H.I.V. prevention point,” said Saggurti Niranjan, program associate of the Population Council. “And when we don’t know where that is, we can’t help stop the transmission.”

Cellphones, those tiny gateways to modernity, have recently allowed prostitutes to shed the shackles of brothel madams and strike out on their own. But that independence has made prostitutes far harder for government and safe-sex counselors to trace. And without the advice and free condoms those counselors provide, prostitutes and their customers are returning to dangerous ways.

Studies show that prostitutes who rely on cellphones are more susceptible to H.I.V. because they are far less likely than their brothel-based peers to require their clients to wear condoms.

In interviews, prostitutes said they had surrendered some control in the bedroom in exchange for far more control over their incomes.

“Now, I get the full cash in my hand before we start,” said Neelan, a prostitute with four children whose side business in sex work is unknown to her husband and neighbors. (Neelan is a professional name, not her real one.)

“Earlier, if the customer got scared and didn’t go all the way, the madam might not charge the full amount,” she explained. “But if they back out now, I say that I have removed all my clothes and am going to keep the money.”

India has been the world’s most surprising AIDS success story. Though infections did not appear in India until 1986, many predicted the nation would soon become the epidemic’s focal point. In 2002, the C.I.A.’s National Intelligence Council predicted that India would have as many as 25 million AIDS cases by 2010. Instead, India now has about 1.5 million.

An important reason the disease never took extensive hold in India is that most women here have fewer sexual partners than in many other developing countries. Just as important was an intensive effort underwritten by the World Bank and the Bill and Melinda Gates Foundation to target high-risk groups like prostitutes, gay men and intravenous drug users.

But the Gates Foundation is now largely ending its oversight and support for AIDS prevention in India, just as efforts directed at prostitutes are becoming much more difficult. Experts say it is too early to identify how much H.I.V. infections might rise.

“Nowadays, the mobility of sex workers is huge, and contacting them is very difficult,” said Ashok Alexander, the former director in India of the Gates Foundation. “It’s a totally different challenge, and the strategies will also have to change.”

An example of the strategies that had been working can be found in Delhi’s red-light district on Garstin Bastion Road near the old Delhi railway station, where brothels have thrived since the 16th century. A walk through dark alleys, past blind beggars and up narrow, steep and deeply worn stone staircases brings customers into brightly lighted rooms teeming with scores of women brushing each other’s hair, trying on new dresses, eating snacks, performing the latest Bollywood dances, tending small children and disappearing into tiny bedrooms with nervous men who come out moments later buttoning their trousers.

A 2009 government survey found 2,000 prostitutes at Garstin Bastion (also known as G. B.) Road who served about 8,000 men a day. The government estimated that if it could deliver as many as 320,000 free condoms each month and train dozens of prostitutes to counsel safe-sex practices to their peers, AIDS infections could be significantly reduced. Instead of broadcasting safe-sex messages across the country — an expensive and inefficient strategy commonly employed in much of the world — it encircled Garstin Bastion with a firebreak of posters with messages like “Don’t take a risk, use a condom” and “When a condom is in, risk is out.”

Surprising many international AIDS experts, these and related tactics worked. Studies showed that condom use among clients of prostitutes soared.

“To the credit of the Indian strategists, their focus on these high-risk groups paid off,” said Dr. Peter Piot, the former executive director of U.N.AIDS and now director of the London School of Hygiene and Tropical Medicine. A number of other countries, following India’s example, have achieved impressive results over the past decade as well, according to the latest United Nations report, which was released last week.

Sruthi Gottipati contributed reporting in Mumbai and New Delhi.

Read More..