F R O M T H E PA G E S O F
Friday
October 30, 2009
Midnight in New York
Nine pages © 2009 The New York Times
Economy Grew but Worries Linger
The United States has emerged
from the longest economic con-
traction since World War II.
The nation’s gross domestic
product expanded at an annual
rate of 3.5 percent in the quarter
that ended in September, match-
ing its average growth rate of
the last 80 years, according to
the Commerce Department. But
government programs to encour-
age consumer spending on things
like cars and houses are expiring,
and employers remain reluctant
to hire more workers, suggesting
the recovery may not last, econo-
mists say.
“The big-picture perspective is
that things have improved,” said
Jan Hatzius, chief United States
economist at Goldman Sachs.
“The question is, how sustainable
is this growth going forward?”
For most people, the recov-
ery will not feel real until jobs
are more plentiful and the hous-
ing market improves. Jobs may
still be hard to find well into 2010,
economists say. A government
report to be released next week is
expected to show that unemploy-
ment rose again this month.
Experts Fear Flu Will Join the Trip to Mecca
Every year, the single largest
gathering on the planet is the an-
nual pilgrimage to Mecca: 2.5
million people from 160 countries
packed into a small city for five
days. This year, some will be
bringing swine flu.
The Saudi authorities, fearing
that the hajj could turn their holy
city into a petri dish for viral mu-
tations and a hub for spreading
a new pandemic, are working to
head that off. They have asked
some worshipers, including preg-
nant women and the elderly, not
to make this year’s trip, which
is scheduled for the last week of
November.
“The hajj is a central ritual
of Islam, and our country tries
to make it easy for everyone to
come,” said Dr. Ziad A. Memish,
the country’s assistant deputy
minister for preventive medi-
cine. “We’ve said we won’t turn
Still, Wall Street welcomed
the news of renewed economic
growth, with major stock indexes
ending the day about 2 percent
higher. The Dow Jones industrial
average rose 200 points, to close at
9,962.58.
Before the third quarter, the
gross domestic product — the
broadest measure of the govern-
ment’s total goods and services
produced — had been shrinking
for a year. It bottomed out with a
6.4 percent rate of decline in the
first three months of this year, the
steepest fall since 1982.
The trend was halted last quar-
ter primarily because of consum-
ers, who drove most of the eco-
nomic gains.
The government’s “cash for
clunkers” program spurred con-
sumers to spend more on durable
goods, orders of which grew at an
annual rate of 22.3 percent in the
third quarter after a decline in the
previous quarter. Similarly, the
$8,000 federal tax credit for first-
time home buyers helped revive
housing sales, which rose at an
annual rate of 23.4 percent in the
third quarter. Housing sales had
away anyone who arrives at our
borders. But we are recommend-
ing to other countries whom they
should let come.”
Although the Saudis have
turned to the World Health Orga-
nization and other health agen-
cies for help in previous public
health threats to the hajj, this
year the U.S. Centers for Disease
Control and Prevention is more
deeply involved because it has so
much experience with this new
flu strain. Consultants for the cen-
ters have gone back and forth to
Riyadh, flu experts at American
medical schools have been called
in and the U.S. Navy’s medical
laboratory in Cairo is prepar-
ing to help with any complex flu
testing that is beyond what Saudi
laboratories can do.
There have been several out-
breaks of meningitis in Mecca
since 1987, and in 2004, Muslim
Visit The Times on the Web: www.nytimes.com
actually fallen by a comparable
amount in the previous three
months.
The $787 billion stimulus pack-
age, which was passed last winter
and is still being distributed, is
also credited with strengthening
economic activity, although the
precise contribution is contested.
Still, withering consumer confi-
dence and concerns about a weak
recovery have left companies
wary of hiring more employees.
The jobless rate reached 9.8 per-
cent in September, its highest in
26 years.
Initial jobless claims fell by
1,000 in the latest week, to 530,000,
according to a Labor Department
report also released Thursday.
The number has been heading
down but is still well above the
levels historically associated with
job creation, according to John
Ryding, chief economist at RDQ
Economics.
Concerns about rising unem-
ployment may pressure the ad-
ministration to look for additional
ways to stimulate the economy.
Proposals include another ex-
tension in unemployment ben-
pilgrims spread polio from north-
ern Nigeria across Africa to Sau-
di Arabia and from there outward
to Yemen and Indonesia.
The hajj offers many oppor-
tunities to a virus that spreads
through the air and lingers on
surfaces: Pilgrims crowd into
planes, boats, buses and tent cit-
ies. The endless ranks of the faith-
ful praying shoulder to shoulder
touch their hands to the floors
around the Kaaba, and handrails
as they run between the hills Safa
and Marwah, and cups of water
from the Zamzam Well.
Islamic law requires washing
the hands and face five times a
day before prayers. But women
on the hajj — even those who wear
chadors at home — are forbidden
to cover their faces. Also, since Is-
lam forbids alcohol, some believ-
ers reject most hand sanitizers.
DONALD G. McNEIL Jr.
Tehran Rejects
Nuclear Accord,
Officials Report
WASHINGTON — Iran told the
U.N. nuclear watchdog on Thurs-
day that it would not accept a
plan its negotiators agreed to last
week to send its stockpile of ura-
nium out of the country, accord-
ing to diplomats in Europe and
U.S. officials briefed on Iran’s
response.
The apparent rejection of the
deal could unwind President
Obama’s effort to buy time to re-
solve the nuclear standoff.
In public, neither the Iranians
nor the watchdog, the Interna-
tional Atomic Energy Agency,
revealed the details of Iran’s ob-
jections, which came only hours
after Iran’s president, Mahmoud
Ahmadinejad, insisted that “we
are ready to cooperate.”
But the European and U.S. of-
ficials said that Iranian officials
had refused to go along with the
central feature of the draft agree-
ment reached on Oct. 21: a provi-
sion that would have required
the country to send about three-
quarters of its current known
stockpile of low-enriched ura-
nium to Russia to be processed
and returned for use in a reactor
in Tehran used to make medical
isotopes.
If Iran’s stated estimate of
its stockpile of nuclear fuel is
accurate, the deal that was ne-
gotiated in Vienna would leave
the country with too little fuel to
manufacture a weapon until the
stockpile is replenished with ad-
ditional fuel.
American officials said they
thought that the accord would
give them a year or so to seek a
broader nuclear agreement with
Iran.
The Obama administration
anticipated that Iran would seek
to back out of the deal, and in re-
cent days the head of the nuclear
agency, Mohamed ElBaradei,
traveled secretly to Washington
to talk about what to do if that
happened, according to several
U.S. officials. (NYT)
International
Clinton Is Critical of Pakistan on Terrorism
LAHORE, Pakistan — Sec-
retary of State Hillary Rodham
Clinton, on a visit meant to im-
prove relations with Pakistan,
strongly suggested Thursday
that Pakistani officials bore re-
sponsibility for allowing Al Qae-
da terrorists to operate from safe
havens.
“I find it hard to believe that no-
body in your government knows
where they are, and couldn’t get
to them if they really wanted to,”
she said to a group of Pakistani
journalists on her second day
here. “Maybe that’s the case;
maybe they’re not gettable. I
don’t know.”
It is rare for an official of Clin-
ton’s rank to say publicly what
U.S. politicians and intelligence
officials have said in more guard-
ed ways for years. The remarks
upset her hosts, who have seen
hundreds of soldiers and civilians
killed as Pakistan has taken on a
widening campaign against mili-
tant groups.
Police and Soldiers Are Arrested in Iraq Bombing
BAGHDAD — Iraq announced
Thursday that it had arrested
dozens of police officers and sol-
diers responsible for security
in the neighborhood where car
bombs killed and wounded hun-
dreds of people outside govern-
ment buildings this week.
The attacks on Sunday, aimed
at the Justice Ministry and the
Baghdad provincial council
buildings, occurred in a heav-
ily protected section of the capi-
tal, prompting accusations that
Iraq’s security forces had been
complicit in the bombings.
The twin suicide attacks killed
155 people and wounded more
than 500.
Pirates Hold British Couple Off the Coast of Somalia
NAIROBI, Kenya — Somali pi-
rates said Thursday that they had
moved a British couple seized
from their sailboat last week to
a container ship, and that they
would “protect” the captives until
a ransom was delivered.
“We have the British couple,
and they are safe,” said a spokes-
man for the pirates, who identi-
fied himself as Farah Abdi. He
said he was a member of the gang
that hijacked the couple and
But the remarks gave voice to
the longtime frustration of U.S.
officials with what they see as the
Pakistani government’s lack of
resolve in rooting out not only Al
Qaeda but also the Taliban lead-
ership based in Quetta, and a host
of militant groups that use the
border region to stage attacks on
U.S. and NATO forces in Afghani-
stan.
Clinton’s statement was only
one of several pointed remarks
on issues including security and
poor tax collection during a day
in which she ran into a wall of
distrust and mostly hostile ques-
tioning in public appearances
intended to soothe relations, sug-
gesting she was no longer willing
merely to listen to Pakistan’s
grievances.
The shift in tone came after a
meeting with university students
in which she expressed regret
about past injustices in the U.S.-
Pakistani relationship, as well
as about the disputed U.S. presi-
Among the 61 people in secu-
rity jobs arrested Thursday were
the commanders of local police
posts and the soldiers and police
officers responsible for security
checkpoints in downtown Bagh-
dad near the buildings.
The arrest order was an-
nounced by the Baghdad Opera-
tions Command, which is respon-
sible for security in the capital
and reports directly to Prime
Minister Nuri Kamal al-Maliki.
On Thursday, Parliament
failed again to approve a law to
govern national elections sched-
uled for January. The session was
canceled for lack of a quorum af-
ter Kurdish members boycotted
spoke by cellphone from the pi-
rate stronghold of Xarardheere,
on the central Somali coast.
“They are really very tired; we
will give them rest.”
The British ITV News said
it had made contact with Paul
Chandler, one of the kidnapping
victims. He described how he
and his wife, Rachel, had been
taken captive early Friday as
they sailed near the Seychelles
islands. “I was off watch,” he told
Friday, October 30, 2009
dential election in 2000, which she
said showed that all democracies
are flawed.
“We have to decide if we want
to move beyond the past in your
country and in our country,” Clin-
ton declared. “We are now at a
point where we can chart a differ-
ent course.”
Pakistani officials rejected her
assertions.
At times during this visit, Clin-
ton has sounded less like a diplo-
mat than a marriage counselor.
But her approach has won her
few friends. She got tepid ap-
plause from students here, some
of whom groaned when she de-
fended U.S. policies.
Two weeks ago, by contrast,
Clinton challenged the Russian
government to open up its politi-
cal system, allow more dissent
and strengthen its legal system in
a speech at Moscow State Univer-
sity. She got a standing ovation
from the nearly 2,000 students.
 MARK LANDLER
it to protest a proposal for voting
rules in Kirkuk.
Under Saddam Hussein, many
Kurds were driven out of the area
and replaced by Arabs, a process
that was reversed after the U.S.
invasion. The proposal calls for
combining the 2004 and 2009 voter
registration rolls, but the Kurds
say Arabs would be overrepre-
sented under this plan.
The dispute over the law threat-
ens to delay the elections in Iraq,
a setback that could also post-
pone the planned withdrawal of
American forces out of concern
about resulting instability.
TIMOTHY WILLIAMS
and MOHAMMED HUSSEIN
the station. “I was asleep and men
with guns came aboard.”
Chandler told the station that
he and his wife were being held in
the captain’s quarters of the Kota
Wajar, a Singaporean ship seized
by pirates in mid-October, and
that the ship was anchored about
a mile off the Somali coast.
British officials said that a Roy-
al Navy ship found the couple’s
yacht bobbing in the middle of the
ocean, empty.  (NYT)
2
in brief
Zimbabwe Bars
U.N. Investigator
A U.N. torture investigator
who was supposed to meet Zim-
babwe’s prime minister, Mor-
gan Tsvangirai, was instead
detained under guard at the
airport overnight and ejected
from Zimbabwe on Thursday.
Manfred Nowak, the U.N.’s spe-
cial rapporteur on torture, said
his treatment by the party of
Zimbabwe’s president, Robert
Mugabe, was “totally unheard
of behavior” and illustrated
Tsvangirai’s lack of power in a
government he ostensibly runs
with Mugabe.  (NYT)
Mongolia Leader
Mongolia’s Parliament con-
firmed one of the country’s
wealthiest men as the new
prime minister on Thursday.
Sukhbaatar Batbold, a former
foreign minister, pledged to con-
tinue the pro-business policies
of his predecessor, Sanjaagiin
Bayar, who stepped down af-
ter seeking treatment for liver
problems.  (AP)
U.N. Responds
To Afghan Attack
Most U.N. workers in Kabul
were confined to their living
quarters on Thursday in the af-
termath of a deadly assault on a
U.N. guesthouse, and some were
moved to more secure housing.
Gunmen entered the compound
on Wednesday and killed eight
people. The authorities said the
gunmen would have killed far
more people had they not been
held off by U.N. guards.  (NYT)
Mozambique Vote
President Armando E. Gue-
bueza of Mozambique’s govern-
ing party, Frelimo, appeared to
be on his way to re-election in
a landslide, according to early
results announced Thursday.
The election commission is not
expected to provide an official
tabulation for at least a week.
The election on Wednesday was
controversial because one of the
opposition parties, the Mozam-
bique Democratic Movement,
was kept from the ballot in 9 of
13 voting constituencies. (NYT)
national
Senate Naysayer Is Spoiling for a Fight
WASHINGTON — Sen. Tom
Coburn’s office is the rare Capi-
tol Hill workspace without a “me
wall” — a display of photographs
of the lawmaker standing beside
presidents, foreign leaders and
other dignitaries.
Instead, hanging above Co-
burn’s desk is a large framed
print of the word “no.”
Known as Dr. No, Coburn, a
family practice physician from
Oklahoma, views legislative
battle less in terms of Democrats
versus Republicans than as a
matter of yes versus no.
He sees himself as a one-man
treatment center helping Con-
gress beat its addiction to mis-
guided spending.
“I’ve always considered myself
an opposition within the opposi-
tion,” said Coburn, whose willing-
ness to block, delay or neuter bills
through procedural measures
has made him an effective nui-
sance during his five years in the
Senate.
U.S. Officials Favor Asylum for Abused Woman
The Obama administration has
recommended political asylum
for a Guatemalan woman fleeing
horrific abuse by her husband,
the strongest signal yet that the
administration is open to a vari-
ety of asylum claims from foreign
women facing domestic abuse.
The government’s assent,
lawyers said, virtually ensures
that the woman, Rody Alvarado
Peña, will be allowed to remain in
the United States. Immigration
lawyers said the administration
had taken a major step toward
clarifying a murky area of asy-
lum law.
After 14 years of indecision,
during which immigration courts
History on the Line in Tight Race for Houston Mayor
HOUSTON — Annise Parker
does not talk much about her sex-
ual orientation on the campaign
trail. She prefers to focus on is-
sues like drainage and balancing
the budget.
But it has escaped no one’s no-
tice here in the nation’s fourth
largest city that Parker, a Dem-
ocrat and the current city con-
troller, stands an even chance
of becoming the first openly gay
woman to be elected mayor of a
As the health care overhaul
heads to the Senate floor, Coburn
is preparing for what he consid-
ers a career pinnacle of havoc.
Enacting the proposal, he says,
would be catastrophic. He is ex-
pected to try to thwart that pos-
sibility with every tool in his ar-
senal: filing amendments (he has
done that 508 times since joining
the Senate, second only to John
McCain’s 542 in that period), un-
dertaking filibusters and object-
ing strenuously.
“When it comes to obstructing
bills, he is part of a very tiny pan-
theon in the history of the Senate,”
said Ross Baker, a Senate histo-
rian at Rutgers University.
To Coburn, charges of obstruc-
tionism are a mark of honor.
“My mission is to frame this
health care debate in terms of the
fiscal ruin of this country,” said
Coburn, 61, who recently railed
on the Senate floor that the fed-
eral debt was “waterboarding”
his five grandchildren. “I have
and three attorneys general con-
sidered Alvarado’s case, the De-
partment of Homeland Security
cleared the way for her in a docu-
ment filed on Wednesday in im-
migration court in San Francisco.
Alvarado, the department found,
“is eligible for asylum and merits
a grant of asylum as a matter of
discretion.”
An immigration judge’s order
is still required, but Alvarado’s
lawyer, Karen Musalo, said it was
likely that the judge would ap-
prove her claim. Musalo, director
of the Center for Gender and Ref-
ugee Studies at Hastings College
of the Law at the University of
California, said Alvarado’s “has
major U.S. metropolis.
“Over the years it has become
less and less of an issue for Hous-
tonians, because I really believe
Houstonians judge people based
on what we can do,” Parker said.
Then she added: “I always told
voters the truth. There is an ele-
ment of, ‘Well, if she will tell us
the truth about her sexual ori-
entation she will tell us the truth
about anything.’ ”
Parker, 53, is in a close three-
Friday, October 30, 2009
instructed my staff to clear my
schedule for every minute that
bill is on the floor.”
After inflicting migraines in
Washington, Coburn goes home
on weekends to Muskogee, where
he treats patients on Mondays.
His rhetoric, conservatism and
seeming indifference to whether
or not people like him have drawn
a lot of attention. “If we wiped out
the entire Congress and sent com-
mon people who have no political
experience, we would get far bet-
ter results than we have today,”
he said in a remark typical of how
he views the institution.
Coburn was elected with a rep-
utation for social conservatism.
He denounced the “homosexual
agenda” and said he favored the
death penalty “for abortionists.”
These issues remain meaning-
ful to him personally, but “none of
these things are important right
now,” he said, compared with the
“fiscal ruin” he sees the country
facing. MARK LEIBOVICH
been the iconic case of domestic
abuse as a basis for asylum.”
After enduring a decade of
violence by her husband, Fran-
cisco Osorio, Alvarado came to
the United States in 1995. She had
married when she was 16 and be-
came pregnant soon afterward.
In a beating that he apparently
hoped would induce an abor-
tion, Osorio dislocated her jaw
and kicked her. He also “pistol-
whipped Ms. Alvarado, broke
windows and mirrors with her
head, punched and slapped her,
threatened her with his machete
and dragged her down the street
by her hair,” a court filing states.
 JULIA PRESTON
way race. Mayor Bill White, who
is stepping down to run for the
U.S. Senate, is so popular that
there is little anger at City Hall,
and the three Democrats in the
race differ little on the issues. The
Republican is trailing badly.
Few pollsters or strategists ex-
pect anyone to win a majority on
Election Day, so the new mayor
is likely to be chosen in a runoff in
December.
 JAMES C. McKINLEY Jr.
3
in brief
Enrollment Record
Almost 40 percent of the na-
tion’s 18- to 24-year-olds in 2008
were enrolled in college, a re-
cord number, according to a
Pew Research Center report
released Thursday. The rise
was driven almost entirely by
a surge in students attending
community colleges. Richard
Fry, a senior research associ-
ate, said, “What’s behind this
is that we have the biggest pool
of young adults we’ve ever had
who’ve finished high school.”
The new report, using data from
the Census Bureau’s Current
Population Survey, found that
a record 84.9 percent of 18- to
24-year-olds had completed high
school as of October 2008, up a
full percentage point from the
previous year. (NYT)
Ethics Inquiries
The House ethics commit-
tee announced Thursday that it
would begin full investigations
into two House members from
California, Maxine Waters and
Laura Richardson, over accu-
sations of improper conduct in
their financial dealings. (NYT)
House Health Bill
House Democrats on Thurs-
day unveiled their bill to re-
make the health care system
and said they had the votes to
pass it. But Republicans said
gimmicks had been used to hide
the measure’s long-term costs.
With introduction of the bill,
both houses of Congress are
now poised for a momentous
floor debate on the legislation.
 (NYT)
Cases Dismissed
The Pennsylvania Supreme
Court dismissed thousands
of juvenile-offender convic-
tions handed down by a judge
charged in a corruption scandal.
The judge, Mark A. Ciavarella
Jr. of the Luzerne County Court
of Common Pleas, and Michael
T. Conahan, who was the chief
of that court, are charged with
taking more than $2.6 million
in kickbacks from the owner of
two youth detention centers in
exchange for their sending teen-
agers there. (NYT)
business
DJIA 9,962.58 U 199.89
NASDAQ 2,097.55 U 37.94
BP Faces a Record Fine for ’05 Explosion
The Occupational Safety and
Health Administration will an-
nounce the largest fine in its his-
tory on Friday, $87 million in pen-
alties against the oil giant BP for
failing to correct safety problems
identified after a 2005 explosion
that killed 15 workers at its Texas
City, Tex., refinery, federal offi-
cials said Thursday.
The fine is more than four times
the size of any previous OSHA
sanction.
The officials, who insisted on
anonymity because the fines were
not scheduled to be announced
until Friday, said the penalty was
the result of BP’s failure to com-
ply in hundreds of instances with
a 2005 agreement to fix safety
hazards at the refinery, the na-
tion’s third-largest.
According to documents ob-
Hints of a Missed Chance to Pursue Galleon Case
The first tip from inside Intel
reached Raj Rajaratnam more
than a decade ago — from the
same source who has now turned
against him in the biggest insider-
trading case in a generation.
As far back as 1998, before he
rose to prominence in the rar-
efied world of hedge funds, Raja-
ratnam was passed confidential
information from an Intel em-
ployee who, the authorities now
say, went on to play a crucial role
in a vast insider-trading scheme
involving some of the nation’s
largest technology companies.
That source, Roomy Khan, is
a central government witness
in the case against Rajaratnam,
Lawmakers Clash Over Plan to Regulate Big Firms
WASHINGTON — Senior
regulators and some lawmak-
ers clashed once again with the
Obama administration on Thurs-
day, finding fault with central ele-
ments of the White House’s latest
plan to unwind large financial
companies when their troubles
imperil the financial system.
Testifying before the House
Financial Services Committee,
Treasury Secretary Timothy F.
Geithner emphasized that the
plan would give officials the tools
to more tightly supervise the
Dollar/YEN 91.49 U 0.70
10-yr treasury 3.50% U 0.09
tained by The New York Times,
OSHA issued 271 notifications to
BP for failing to correct hazards
at the Texas City refinery over
the four-year period since the ex-
plosion. As a result, OSHA, which
is part of the Labor Department,
is issuing fines of $56.7 million.
In addition, OSHA identified 439
“willful and egregious” violations
of industry-accepted safety con-
trols at the refinery. Those viola-
tions will lead to $30.7 million in
additional fines.
BP said Thursday night that it
was disappointed with the OSHA
citations. “We continue to believe
we are in full compliance with
the settlement agreement, and
we look forward to demonstrat-
ing that before the review com-
mission” which has the power to
modify OSHA penalties, BP said
who maintains his innocence.
Years before the current case
erupted, Khan was caught pass-
ing information to a representa-
tive of the Galleon hedge fund,
who, according to a person with
knowledge of the case, was Raja-
ratnam.
Khan was prosecuted in federal
court in 2000, but the authorities
did not pursue Rajaratnam or his
firm, Galleon.
Jack Gillund, a spokesman for
the U.S. attorney’s office in San
Francisco, declined to answer
questions about why the Galleon
representative’s identity has re-
mained a secret or if prosecutors
ever considered a case against
largest financial companies. The
government would also have the
authority to order companies to
shed risky assets or limit trading
activities if they posed a threat to
the companies’ stability.
But significant parts of the
plan were challenged by Sheila C.
Bair, chairwoman of the Federal
Deposit Insurance Corp.
“The oversight council de-
scribed in the proposal currently
lacks sufficient authority to effec-
tively address systemic risks,”
Bair said.
Friday, October 30, 2009
gold (ny) $1,047.00 U 18.90
crude oil $79.87 U 2.41
in a statement.
BP says that since the explosion
it has spent more than $1 billion to
upgrade production and improve
safety at the refinery.
A series of investigations at-
tributed the March 23, 2005, ex-
plosion to overzealous cost-cut-
ting on safety, undue production
pressures, antiquated equipment
and fatigued employees — some
who worked 12 hours a day for 29
straight days.
The proximate cause of the ex-
plosion was a broken gauge and
flammable hydrocarbons that
were overflowing from an octane
processing tower, which lacked a
flare system to burn off volatile
vapors. Those escaping vapors
were ignited by the backfire of a
nearby truck.
 STEVEN GREENHOUSE
Galleon or its employees in the
matter. A spokesman for the Se-
curities and Exchange Commis-
sion declined to answer the same
questions.
Neither Rajaratnam nor any-
one else at Galleon was contacted
by the authorities regarding the
1998 incident, according to a per-
son briefed on the matter.
Prosecutors have established
that Khan and Rajaratnam like-
ly met in 1996 when Khan worked
at Intel as a product marketing
engineer. Rajaratnam followed
Intel as a securities analyst for
Needham & Co., an investment
bank. ASHLEE VANCE
 MICHAEL J. de la MERCED
The testimony of Geithner,
and the skeptical questions from
the committee, reflected the sig-
nificant political obstacles for
the legislation, which is part of
a broader package of measures
proposed in response to the mar-
ket crisis. While the provisions of
the too-big-to-fail policy are con-
sidered the most complex and dif-
ficult, senior lawmakers say they
are the most urgent for Congress
to enact because of widespread
taxpayer anger over the bailouts.
 STEPHEN LABATON
4
nikkei 9,891.10 D 183.95
ftse 100 5,137.72 U 57.30
N.Y.S.E. Most Active Issues
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Citigrp 4115036 4.31 + 0.23
BkofAm 1964695 15.73 + 0.72
SPDR 1769157 106.65 + 2.24
SprintNex 1324155 3.09 – 0.15
SPDR Fncl 1120558 14.74 + 0.59
iShEMkts 943901 39.41 + 1.67
DirFBear rs 882980 20.39 – 2.54
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28431
27693
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+
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Foreign Exchange
Fgn. currency Dollars in
in dollars fgn.currency
Thu. Wed. Thu. Wed.
Australia .9175 .8989 1.0899 1.1125
Bahrain 2.6538 2.6528 .3768 .3770
Brazil .5786 .5688 1.7282 1.7580
Britain 1.6548 1.6413 .6043 .6093
Canada .9379 .9268 1.0662 1.0790
China .1464 .1464 6.8303 6.8292
Denmark .1994 .1977 5.0150 5.0582
Dominican .0277 .0277 36.10 36.12
Egypt .1828 .1829 5.4705 5.4670
Europe 1.4845 1.4719 .6736 .6794
Hong Kong .1290 .1290 7.7503 7.7502
Japan .01093 .01102 91.49 90.79
Mexico .07653 .07508 13.068 13.320
Norway .1774 .1744 5.6376 5.7342
Singapore .7155 .7124 1.3976 1.4038
So. Africa .1296 .1276
So. Korea .00084 .00084
Sweden .1436 .1416
7.7185 7.8361
1198.0 1190.5
6.9638 7.0621
Switzerlnd .9823 .9745 1.0181 1.0261
Sprint Slows Defections
Sprint Nextel reported Wednes-
day that fewer customers were
fleeing its cellphone service, sug-
gesting that the company’s turn-
around efforts were having an im-
pact. Sprint said that during the
third quarter, it lost 801,000 of its
most profitable customers, those
who sign contracts. But the losses
were considerably lower than in
previous quarters.  (NYT)
Business Friday, October 30, 2009 5

Resistance to a Driller’s Plans in Colorado in brief

RIFLE, Colo. — Standing in a
canyon, Ken Neubecker cast his
fly into a stream. Minutes later he
had a bite.
Neubecker was fishing on the
Roan Plateau, a high stretch of
terrain beloved by hunters, fish-
ermen and hikers for its clear
streams, herds of deer and elk,
and rugged beauty.
“There just aren’t many places
like this in the West,” Neubecker
said. “It’s a real gem.”
Energy companies are looking
at the Roan Plateau, too. Vast de-
posits of natural gas are believed
to lie beneath the stretch on which
Neubecker was fishing.
“What is really special about
the Roan Plateau, these lands
in particular, is the incredible
energy density beneath it,” said
Duane Zavadil, vice president of
Bill Barrett Corp., a Denver en-
ergy company that holds drilling
rights to the Roan.
The company’s plans are at the
center of a battle over the future
of the plateau.
A last-minute leasing push by
the Bush administration put ex-
tensive federal lands in Utah and
Colorado into the hands of oil and
gas companies, including 36,000
acres of the Roan Plateau. The
Obama administration has inher-
ited the touchy question of what to
do with those leases.
As one of his first decisions,
Ken Salazar, the Coloradan who
is President Obama’s interior
secretary, scrapped a series of
disputed leases in Utah. Last
week, he announced he would
seek an investigation into other
leases that granted favorable
terms and low royalty rates for
experimental projects to extract
oil from shale.
But so far, Salazar has decided
against canceling leases on the
Roan, saying that he must uphold
the buyers’ rights.
Sporting and environmental
groups are suing the government
in federal court, demanding that
the leases be thrown out, and a
preliminary ruling is expected
this fall.
The desire to preserve more
wild land is running up against a
powerful economic incentive to
develop new supplies of oil and
gas. In particular, the nation is
undergoing a boom in natural gas
drilling. New production tech-
niques have expanded the coun-
try’s known reserves of gas by 40
percent in the last few years.
Expanded gas output offers po-
tential environmental benefits.
Burning natural gas emits less
carbon dioxide than burning oth-
er fossil fuels, and many experts
argue that substitution of gas for
dirtier fuels should be a major
strategy to reduce the nation’s
contribution to global warming.
But some of the methods of get-
ting at the gas — like fragmenta-
tion, which breaks up the shale to
get to gas pockets — can pollute
water supplies, critics say.
 SEAN PATRICK FARRELL
Outlook Improves
For Colgate and P&G
Colgate-Palmolive reported a
rise in profit on Thursday after
it and other companies raised
prices in the past year to cover
higher ingredient costs.
Procter & Gamble, mean-
while, reported a slight drop in
profit, but the results were bet-
ter than analysts had expected.
It also forecast a better outlook
after a year in which house-
holds cut spending and traded
down to cheaper brands. (AP)
Drywall Testing
Federal investigators report-
ed Thursday that imported Chi-
nese drywall that homeowners
have linked to health problems
and odors has levels of chemi-
cals, elemental sulfur and con-
centrations of strontium that
are not found in their domes-
tic counterparts. The investi-
gators, however, were unable

Oil Giants’ Profits Reflect Decline in Energy Prices
After posting record profits last
year, major oil companies have
struggled to adapt to a world of
lower prices and slower economic
growth. They have slashed costs,
shed employees and pared high-
cost investments.
As oil prices have fallen, so
have corporate earnings. Exxon
Mobil, the world’s biggest public-
ly traded oil company, and Royal
Dutch Shell, the top European
company, both reported sharp
declines in third-quarter earn-
ings on Thursday. The plunge in
profits occurred amid a recovery
in oil prices, which had fallen as
low as $34 a barrel in December
from their peak of $147 a barrel
last summer. On Thursday, oil
closed at $79.87 a barrel in New
York trading, up $2.41.
The rebound has been a relief
for producers. The industry has
been squeezed because of invest-
ment decisions made while the
price of oil was rising.
Today, few petroleum execu-
tives imagine returning to a world
where oil trades at $20 a barrel,
the average throughout the 1990s.
In fact, a level of $65 to $75 a bar-
rel is increasingly viewed as a
new minimum for the industry.
If prices settle below that range,
many oil executives say they will
find it difficult to expand produc-
tion or invest in new projects.
While most of its big competi-
tors have been cutting expenses,
Exxon said it would stick with its
plans to spend $25 billion to $30 bil-
lion a year over the next few years
to develop new energy supplies.
 JAD MOUAWAD
to link them to the health prob-
lems and smells in thousands of
homes built during the recent
housing boom, and said further
testing was under way. (NYT)
Kellogg’s Profits
The Kellogg Co. posted a
quarterly profit on Thursday
that topped Wall Street fore-
casts, helped by lower commod-
ity costs and curbs on expenses.
Like many food companies, Kel-
logg has benefited as its pric-
es rose and as consumers ate
more meals at home instead of
at restaurants. (Reuters)

How Can Wall Street Pay Be Reined In? Start by Reining In Wall Street
Those who want to do some- tions a generation ago charged went over 60 percent.” in recent years. Some they pushed
thing about bringing down Wall fees that seem tiny by today’s Evading taxes and rules: Many out to others via derivatives that
Street pay ought to focus on why standards. To generate invest- of the financial innovations of often were badly priced. But oth-
there has been so much money in ment returns high enough to recent years were not designed ers were kept. When things went
the financial sector in re- justify their fees, for ex- to increase operating profits for well, the profits rolled in. When
cent years. High and ample, hedge funds use customers. Instead, they sought they went badly, we got to bail
The money was there Low Finance a lot of leverage. That to avoid taxes, or make account- them out.
in recent years as never borrowed money cre- ing statements look prettier, or If those are the reasons for
before. And unfortunate-
Floyd ates financial industry get around regulations seeking the profits, then perhaps regula-
ly, there is little evidence Norris revenue. financial safety. At their worst, tory attention should focus on the
that the financial indus- Concentration: “In they boiled down to an offer to causes, not the effect. Rather than
try’s success has done much for 1990, the 10 largest financial insti- charge a customer a dime for let- have a pay czar try to determine
the rest of us. Let me suggest a tutions had 10 percent of financial ting him evade 20 cents in taxes. fair compensation for bailed-out
few contributors to the financial assets in the United States,” says Such transfers do nothing for the banks while others can do as they
industry’s success: Henry Kaufman, author of a new larger society. please, Congress could look at
Higher charges: The people book, “The Road to Financial Ref- Excessive risk-taking: The changing the environment that
who managed money for institu- ormation.” “Last year, the figure banks took more and more risks produced this mess.
journal Friday, October 30, 2009 6

This Halloween, Some Schools Are Discouraging Scary Costumes

LOS ANGELES — Little Bo Peep would In Texas, a school has issued suggestions • They should not depict gangs or horror

make the cut at the Halloween parade here for “positive costumes” for the annual Hal- characters or be scary.
on Friday at Riverside Drive Elementary loween dance. At Riverside Drive, a public • Masks allowed only during parade.

School, but the staff she used to viciously school in the San Fernando Valley, the Hal- • Costumes may not be demeaning to any

prod her sheep would probably have to go. loween parade is being defanged right down race, religion, nationality, handicapping con-
Guns, daggers and other toy weapons have to its jagged fingertips. dition or gender.
long been excised from costumes at many “We’re balancing a tradition here with • Fake fingernails should not be part of the

school Halloween celebrations. But in some the times we live in,” said Tom Hernandez, costume.
classrooms, the interpretation of what is too a spokesman for District 202 in Plainfield, • No weapons, even fake ones.

scary — or offensive, gross or sad — is also Ill., where costumes depicting animals and • Shoes must be worn.

leading to prohibitions. food (preferably carrots or pumpkins) are Joel Bishoff’s children will make the cut
At a school in Illinois, students are being in favor. at Riverside Drive. His second-grader will
encouraged to dress up as historical charac- The bullet points from a costume appropri- be Dorothy (not the witch!) from the Wizard
ters or delicious food items rather than vam- ateness memo sent home recently by River- of Oz. His fifth-grader will wear a costume
pires or zombies. side Drive’s principal are as follows: depicting a box of Wheaties.
“I’m not sure what is driving this memo,”
crossword Edited By Will Shortz Bishoff said. “But perhaps it is reaction to
years past. Sometimes kids will have those
PUZZLE BY DAVID LEVINSON WILK
scream masks, but usually not too blood and
ACROSS 41 Maisonette 1 2 3 4 5 6 7 8 9 10 11 12 13
1 It no longer
gutsy. I mean, can’t parents have discre-
45 Cartoonish cry
circulates around 14 15 16 tion? The fact is, if parents are too stupid to
46 Behind
the Seine not send kids to school with hockey masks as
47 “___ Town Too”
6 Skate part
(1981 hit)
17 18 19
Jason they are probably too stupid to read
9 Must, informally 20 21 22 23 this memo.”
48 André Gide
14 Rite reading for
novel whose Jennifer Kessler, the principal of the
some 13-year-
olds title comes from
24 25 26 27
school, did not return calls to explain the poli-
Matthew 7:14 cy. But parents and other educators said that
15 ___ state 28 29 30

16 One may be
54 Kind of flakes such restrictions often stemmed from a de-
significant 55 Went nowhere 31 32 33 34 35 36
sire to protect smaller children from freak-
17 Whitney Houston 56 Anthropomorphic 37 38 39 40 ishly scary costumes, to maintain classroom
hit recorded for film villain order (spray-on hair color is often out, for
the 1988 Summer 57 Parisian pronoun
Olympics
41 42 43 44
instance, because kids tend to spray it all day
20 Fat standard,
58 Big newsstand
45 46 47 long) and to keep from demeaning groups
seller for some
say: Abbr. magazines
through costumes that play on stereotypes.
21 One of
62 Looped handles
48 49 50 51 52 53
“I would say our practices emerged out
Steinbeck’s twins of talks about diversity and stereotypes,”
54 55 56 57
22 Salt additive? 63 Teacher’s deg.
said Jennifer Farrington, president of the
23 Turning meas. 64 “I’m Henry VIII, I
am” singer
58 59 60 61
Chicago Children’s Museum, where costume
24 1974 Rolling
Stones hit 65 Some lock 62 63 64 restrictions for staff have been in place for
28 Thread: Fr. changers several years.
29 Long time: Abbr. 66 Deflation
65 66 67
“This is about staying true to our vision
30 Bookie’s charge,
indication
10/30/09 (No. 1030)
and values, and developmentally appropri-
for short 67 Kite relatives ate practice, not about being politically cor-
5 Sweet
little 18 He said “Learn 42 Green land
31 Home for an things with points from the masses, rect,” she said, citing her own memo on the
addax and 43 Hearing aids, topic from 2002. “For that reason, our staff do
DOWN to them and then teach briefly
dorcas gazelle them”
1 Mil. base until 6 Soil water not wear costumes that rely on stereotypes,
37 Tic-tac-toe loser
19 Like some
44 Stewie’s sister on
1994 saturation limits
“Family Guy” such as gender, age, race, or ethnicity. We’re
38 Im-ho-___, Boris candidates: Abbr.
Karloff’s role in 2 Concerto 7 Travel guide
48 “A pity”
about honoring and promoting diversity, not
component listing 25 Slam
“The Mummy” feeding children images of stereotypes.”
8 Country music 26 Canto contraction 49 Like a lion’s coat
39 Celtic sea god 3 Bailiwick JENNIFER STEINHAUER
9 Taken things a 27 French suffix with 50 Cross character
40 Vote in une 4 Site of many ’60s
législature tours bit too far Québec
51 Ate
31 Death, in
10 Diamond figure 52 Odds’ end?
on a 2006 Deutschland
ANSWER TO PREVIOUS PUZZLE 53 German
postage stamp 32 The Astros, on
scoreboards indefinite article 620 Eighth Avenue, New York, NY 10018
A G A S S C O W S H A V E 11 Like
grandchildren 33 Spell 59 Nick, say •
P A C T N O T R E O M I T Tom Brady, Editor
E S T O A R R O W S M I T H 12 A musician might 34 Austrian article 60 Bears make e-mail: digesteditor@nytimes.com
S O U P S P O O N T E T R A pick it up 35 “Bull Durham” them, in brief
•
L A G O O N G R A T E O N 13 Childish director Shelton 61 The Blue Jays, TimesDigest Sales Office
A I R O F F E N S I V E comeback 36 Charge stuff on scoreboards phone: (212) 556-1200
U N I A F R O B E A G L E fax: (646) 461-2364
R E E D S R A M O O D For answers, call 1-900-289-CLUE (289-2583), $1.49 a minute; e-mail: timesdigest@nytimes.com
A S S I S T A L T A I V E or, with a credit card, 1-800-814-5550. •
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opinion
e d i tor i a l s o f t h e t i m e S
The House Health Reform Bill
The Senate should pay attention to the
health care reform bill unveiled Thursday
by House Democratic leaders. The bill would
greatly expand coverage of the uninsured
while reducing budget deficits. It includes a
public option that is weaker than we would
like, but it still deserves to be approved by the
House.
The coverage expansions would carry a net
cost to the federal government of $894 billion
over the next decade, according to the Con-
gressional Budget Office. Yet the bill would
generate enough revenue from new taxes and
from savings in Medicare to offset that cost
and reduce the deficit by $104 billion over the
course of the decade.
The chief source of tax revenue would be
a surcharge on the portion of annual income
above $1 million for couples and $500,000 for
individuals.
The bill requires employers, except for
small businesses, to offer health coverage to
their workers and pay a substantial share of
the premiums or face a big penalty. It would
meet President Obama’s insistence that
health care reform not add to the deficit —
provided Congress holds firm on slowing the
growth rate of payments to health care pro-
viders serving Medicare. This is a fiscally
prudent bill.
Under this bill, the number of uninsured
would plummet. Since Congress is determined
to exclude illegal immigrants, the salient fact
is that by 2019, the bill would provide insur-
ance to 96 percent of all nonelderly citizens
and legal residents, leaving about 12 million of
them uninsured. It would achieve this feat by
making a lot more people eligible for Medic-
The Commander’s Duty
In his midnight mission to honor the return-
ing war dead, President Obama did more than
personally extend the nation’s condolences
to grieving families gathered at Dover Air
Force Base in Delaware. Without uttering a
word, Obama effectively erased President
Bush’s shameful attempts to hide the pain of
war from Americans and to shield himself
from paying public tribute to the thousands
who died in Iraq and Afghanistan.
The long-overdue display of national grati-
tude and regret by the commander in chief re-
kindled a note of most solemn ritual that the
country owes sons and daughters in uniform
sacrificed in war. The president was restor-
ing a post-Vietnam tradition that included the
graphic embraces and wrenching words per-
sonally extended by President Reagan to the
families of the 241 soldiers, sailors and Ma-
rines who perished 26 years ago in the bomb-
ing of the Marines’ camp in Lebanon.
The Bush policy was to prohibit any news
media coverage of the returning war dead
and to never show the president within a cam-
aid and by helping tens of millions of low- and
moderate-income people buy policies on new
insurance exchanges, in which private plans
and possibly a public plan would compete for
people who lack employer-provided insur-
ance or work in small companies.
Speaker Nancy Pelosi wanted a strong,
money-saving public option that would pay
hospitals and doctors based on Medicare
rates, but she could not win over enough con-
servative Democrats. Her fallback is to have
the secretary of health and human services
negotiate rates with health care providers as
private insurers do.
The Congressional Budget Office considers
this so weak that it might attract only 6 mil-
lion of an estimated 30 million people buying
insurance on the exchanges in 2019. Its premi-
ums might exceed the average private plan,
in part because the sickest people might mi-
grate to the public plan.
Still, the House bill has a lot of provisions
for consumers to like. It would require in-
surers to allow young people through age 26
to remain on their parents’ policies. It would
provide immediate help to people who have
been uninsured for several months or denied
coverage because of pre-existing conditions.
It would speed elimination of a gap in drug
coverage for Medicare beneficiaries (the
so-called doughnut hole) and would give the
government power to negotiate drug prices on
behalf of Medicare beneficiaries, a promising
way to reduce costs.
The bill would take a long stride toward
universal coverage while remaining fiscally
responsible. Senate leaders should try to do
as well.
era-lens’ length of the dolorous homecomings.
Under Obama, the Pentagon reversed the no-
coverage policy in February. On Thursday,
the president himself took the necessary next
step.
He silently saluted in the morning dark-
ness as the remains of 18 Americans killed
this week in Afghanistan were transferred
from a military transport. He spent close to
two hours talking in private with stricken
families. One of them gave approval for the
news media to show the nation its loved one’s
arrival before the president and assembled
officers. Within minutes, of course, bloggers
were reacting. Some were grateful. Others de-
nounced Obama for exploitation even as they
demanded he hurry up and decide whether
to send tens of thousands more troops to Af-
ghanistan.
The true cost of war must never be denied
by the nation or its leader. Obama’s visit was
entirely appropriate as he faces the decision
of what comes next in Afghanistan. The pity is
that Bush never dared as much.
Friday, October 30, 2009 7
paul krugman
Defining Moment
O.K., folks, this is it: the defining moment
for health care reform.
Past efforts to give Americans what citi-
zens of every other advanced nation already
have — guaranteed access to essential care —
have usually died in committee without ever
making it to a vote.
But this time, broadly similar health-care
bills have made it through committees in both
houses of Congress. And on Thursday, Nancy
Pelosi, the speaker of the House, unveiled
the legislation that she will send to the House
floor. It’s not a perfect bill, but it’s much stron-
ger than almost anyone expected even a few
weeks ago.
As a result, everyone in the political class
now has to make a choice.
For conservatives, of course, it’s an easy
decision: They don’t want Americans to have
universal coverage, and they don’t want Pres-
ident Obama to succeed.
For progressives, it’s a slightly more diffi-
cult decision: They want universal care, and
they want the president to succeed — but the
legislation falls far short of their ideal.
The people who really have to make up
their minds are those in between, the self-pro-
claimed centrists.
The odd thing about this group is that while
its members are uncomfortable with the idea
of passing health care reform, they’re having
a hard time explaining what their problem is.
They have been attacking proposed legisla-
tion for doing things it doesn’t and for not do-
ing things it does.
Thus, Sen. Joseph Lieberman of Connecti-
cut says, “I want to be able to vote for a health
bill, but my top concern is the deficit.” That
would be a serious objection if the proposals
currently on the table would increase the defi-
cit. But they wouldn’t, according to the Con-
gressional Budget Office, which estimates
that the House bill would actually reduce the
deficit by $100 billion over the next decade.
Or consider the exchange that took place
this week between Peter Orszag, the White
House budget director, and Fred Hiatt, The
Washington Post’s opinion editor. Hiatt had
criticized Congress for not taxing high-cost
insurance plans and failing to establishing
a Medicare commission. Orszag pointed out
that the Senate Finance Committee’s bill ac-
tually includes both of those measures.
I won’t try to psychoanalyze the “naysay-
ers,” as Orszag describes them. I’d just urge
them to take a good hard look in the mirror.
If they really want to kill health reform, so be
it. But they shouldn’t hide behind claims that
they really, truly would support health care
reform if only it were better designed.
For this is the moment of truth. The political
environment is as favorable for reform as it’s
likely to get. The legislation isn’t perfect, but
it’s as good as anyone could reasonably have
expected. History is about to be made and ev-
eryone has to decide which side they’re on.
sports Friday, October 30, 2009 8

With Burnett in Control, Yanks Even Series in brief

The New York Yankees’ $82.5
million investment in A.J. Bur-
nett paid off in a big way in Game
2 of the World Series at Yankee
Stadium.
Burnett handcuffed the Phillies
for seven innings, and Mariano
Rivera finished up a 3-1 victory
that evened the series, one game
apiece. Mark Teixeira and Hideki
Matsui homered off Pedro Marti-
nez, and Rivera struck out Matt
Stairs to end the game with a run-
ner on second. The series shifts to
Philadelphia for Game 3 on Sat-
urday.
The Phillies used Stairs as
designated hitter, a role he filled
more than 400 times as an Ameri-
can Leaguer. Stairs came up with
two out in the second after Raul
Ibanez’s ground rule double, and
he hit a sharp grounder the op-
posite way. Third baseman Alex
Rodriguez moved to his left and
Trainer and His Horses Barred for Six Months
The New York Racing Asso-
ciation will announce Friday that
the trainer Jeff Mullins will be
barred from its racetracks for
six months for giving one of his
horses an unknown substance in
the Aqueduct monitoring barn in
April and repeatedly lying about
it. The association has also made
it clear that, in contrast to past
practices among trainers, Mull-
ins cannot not transfer his horses
to an employee, relative or busi-
ness associate to get around the
suspension in order to run in New
York.
The aggressive punishment of
Mullins in New York comes at
dropped to his knees, but the ball
skipped past him. Ibanez barreled
around third with a 1-0 lead.
Defense stopped a Phillies’
threat in the fourth. Jayson
Werth led off with a single, and
with Ibanez batting, Jose Molina
scooped a curveball from the dirt
and fired to first. Werth had shuf-
fled toward second, and Teixeira
tagged him out.
Teixeira led off the bottom of
the inning and smashed a chan-
geup into the Yankees’ bullpen,
tying the game, 1-1.
Martinez won their next en-
counter, in the sixth, fanning
Teixeira with a curveball. Rodri-
guez was up next, and Martinez
struck him out with a changeup.
It was the fifth strikeout in seven
hitless at-bats for Rodriguez in
the World Series, a meager start
for the most dominant hitter of
the American League playoffs.
a time when horse racing is un-
der intense scrutiny for its use
of illegal drugs, overuse of legal
medications, and lax oversight,
all of which many veterinarians
believe are part of the reason the
United States has the world’s
worst mortality rate for thor-
oughbreds.
Racing officials acknowledged
they were trying to send a mes-
sage, especially in light of Mul-
lins’s public remarks in the wake
of the incident and his cavalier at-
titude during two days of testimo-
ny at an administrative hearing.
“You cannot surreptitiously
bring contraband into our securi-
(He whiffed again in the eighth.)
Matsui was next. With a 1-2
count, Martinez went down and
in with a curveball and Matsui
read it all the way. He lifted the
pitch high over right field, the ball
touching down a few rows beyond
the wall.
The Yankees led, 2-1, and Bur-
nett was merciless. After Carlos
Ruiz’s one-out double in the fifth,
Burnett retired his last eight hit-
ters, half by strikeout.
Martinez had thrown 99 pitch-
es by then. Yet Manager Charlie
Manuel left him in. Jerry Hair-
ston Jr. dumped a single to right.
Brett Gardner ran for Hairston,
and Melky Cabrera singled him
to third. That was it for Martinez,
who struck out eight and allowed
just six hits, but he left with a defi-
cit that grew to 3-1 when Jorge
Posada singled off Chan Ho Park.
 TYLER KEPNER
ty barn and then lie about it,” said
Neil Getnick, whose law firm,
Getnick & Getnick, serves as the
racing association’s independent
integrity counsel.
The punishment will extend
only so far, however. Mullins, one
of the most successful trainers in
the country — and one of the most
notorious for his many medica-
tion violations — is free to run in
any other racing jurisdiction dur-
ing the ban.
That includes Santa Anita in
California, where he intends
to run a horse next week at the
Breeders’ Cup, one of racing’s
richest events.  JOE DRAPE
Referee Allegations
For the second time in two
years, the N.B.A. is being forced
to investigate the conduct of its
officiating staff because of alle-
gations made by disgraced for-
mer referee Tim Donaghy. In
an unpublished book, he accus-
es his former colleagues of ma-
nipulating games and allowing
friendships and grudges to dic-
tate calls.  (NYT)
On Probation
Nascar placed the driver A.J.
Allmendinger on probation until
the end of the year on Thursday
after his arrest on a charge of
drunken driving.  (AP)
Quarterback Switch
The winless Tennessee Titans
are switching from the veter-
an quarterback Kerry Collins
back to Vince Young. Coach Jeff
Fisher announced the move on
Thursday.  (AP)
NBa scores
WEDNESDAY’S LATE GAMES
Denver 114, Utah 105
Phoenix 109, L.A. Clippers 107
Houston 108, Golden State 107
THURSDAY
Chicago 92, San Antonio 85
NHL scores
WEDNESDAY’S LATE GAMES
Colorado 3, Calgary 2
San Jose 2, Los Angeles 1, SO
THURSDAY
Devils 2, Boston 1
Washington 4, Atlanta 2
Tampa Bay 5, Ottawa 2
Nashville 2, Chicago 0
Phoenix 2, St. Louis 0

WEATHER
High/low temperatures for the 20 hours ended at 4 p.m.
yesterday, Eastern time, and precipitation (in inches)
for the 18 hours ended at 2 p.m. yesterday. Expected
conditions for today and tomorrow.
Weather conditions: C-clouds, F-fog, H-haze, I-ice, PC-
partly cloudy,R-rain, S-sun, Sh-showers, Sn-snow, SS-
snow showers, T-thunderstorms, Tr-trace, W-windy.
U.S. CITIES
Yesterday Today Tomorrow
Atlanta 74/ 55 0 73/ 56 PC 68/ 60 T
Albuquerque 36/ 27 0 46/ 26 S 61/ 30 S
Boise 38/ 26 0 53/ 35 PC 57/ 40 PC
Boston 49/ 42 0 56/ 41 S 73/ 53 PC
Buffalo 52/ 46 0 66/ 49 C 59/ 54 Sh
Charlotte 72/ 48 0 70/ 54 C 76/ 58 PC
Chicago 60/ 46 0 63/ 57 R 51/ 42 PC
Cleveland 63/ 52 0 70/ 53 C 55/ 51 Sh
Dallas-Ft. Worth 79/ 62 0.05 63/ 47 PC 68/ 45 S
Denver 27/ 24 0.10 39/ 19 PC 51/ 26 PC
Detroit 61/ 45 0 66/ 52 T 54/ 49 Sh
Houston
Kansas City
84/ 75
61/ 55
0.24
0.44
65/ 60 T
53/ 46 PC
70/ 47 S
56/ 36 PC
Los Angeles 71/ 52 0 76/ 51 S 82/ 55 S
Miami 90/ 79 0 89/ 79 PC 87/ 75 PC
Mpls.-St. Paul 53/ 50 0.29 54/ 50 Sh 46/ 34 PC
New York City 57/ 48 0 61/ 49 PC 73/ 56 C
Orlando 90/ 72 0 87/ 70 PC 88/ 69 PC
Philadelphia 57/ 52 0 62/ 48 C 73/ 53 C
Phoenix 63/ 45 0 70/ 47 S 79/ 49 S
Salt Lake City 40/ 29 0 47/ 29 C 53/ 33 PC
San Francisco 67/ 51 0 68/ 53 S 70/ 53 S
Seattle 46/ 42 0.33 58/ 48 Sh 56/ 49 Sh
St. Louis 57/ 48 0.21 57/ 52 Sh 57/ 41 PC
Washington 63/ 57 0 62/ 52 C 76/ 58 PC
FOREIGN CITIES
Yesterday Today Tomorrow
Acapulco 82/ 75 0.08 86/ 77 T 84/ 77 R
Athens 69/ 59 0 68/ 52 PC 63/ 48 R
Beijing 74/ 50 0 50/ 43 C 52/ 41 PC
Berlin 51/ 45 0.24 48/ 36 S 46/ 34 PC
Buenos Aires 90/ 59 0 86/ 59 T 70/ 59 T
Cairo 82/ 72 0 77/ 72 PC 77/ 70 PC
Cape Town
Dublin
69/ 52 0
60/ 46 Tr
75/ 50 PC
61/ 55 R
79/ 55 S
59/ 52 PC
Geneva 60/ 36 0 64/ 41 PC 59/ 46 PC
Hong Kong 87/ 75 0 82/ 73 S 82/ 73 S
Kingston 93/ 79 0.01 88/ 77 S 88/ 77 S
Lima 69/ 63 0 70/ 63 C 72/ 64 C
London 65/ 50 0 63/ 54 C 68/ 55 Sh
Madrid 78/ 50 0 73/ 55 PC 73/ 54 PC
Mexico City 71/ 57 0 75/ 55 R 66/ 52 R
Montreal 45/ 37 0.02 55/ 36 C 63/ 41 R
Moscow 40/ 33 0.02 30/ 26 SS 30/ 25 PC
Nassau 88/ 77 0 90/ 77 S 88/ 75 S
Paris 60/ 43 0 61/ 46 C 63/ 50 C
Prague 53/ 45 0.04 48/ 37 S 48/ 34 S
Rio de Janeiro 79/ 72 0.04 86/ 66 R 88/ 66 S
Rome 68/ 46 0 72/ 54 PC 64/ 48 PC
Santiago 90/ 54 0 86/ 48 PC 81/ 46 C
Stockholm 44/ 34 0 41/ 30 S 43/ 30 S
Sydney 71/ 63 0 81/ 59 S 81/ 61 S
Tokyo 71/ 59 0 75/ 61 PC 73/ 59 S
Toronto 52/ 48 0.05 61/ 50 R 63/ 43 Sh
Vancouver 45/ 41 0.51 59/ 52 R 59/ 46 Sh
Warsaw 45/ 34 Tr 45/ 30 S 43/ 30 PC
sports journal
Phillies Might Want Lee Back on Short Rest
The Yankees have not an-
nounced their rotation past Game
3 of the World Series, but their
plan is fairly obvious. Their quest
for a 27th championship has re-
volved around maximizing how
many times their hulking ace, C.
C. Sabathia, can pitch. They were
smitten by how Sabathia volun-
teered to pitch on short rest for
Milwaukee last season, and en-
riched him with $161 million so he
could bring the same attitude to
the Bronx.
He is on schedule to start Game
4 on short rest and, if necessary,
Game 7, too. The potential pitfall
for the Yankees is that the Phil-
lies are considering the same pro-
gram for Cliff Lee, who outdueled
Sabathia in Game 1 on Wednes-
day and dissected the Yankees in
a 6-1 victory.
Everyone on the Phillies was
willing to praise Lee for his best
outing in a postseason loaded
with them. He has now gone 18?
consecutive innings without al-
lowing an earned run. But no one
— at least those with input on the
matter — was eager to discuss
whether it was tempting to send
him out Sunday night for Game 4.
“We’re not worried about Game
4,” said Rich Dubee, the Phillies’
pitching coach. “That’s a ways
down the road.”
Influence of the N.F.L. on Youth Safety Is Cited
WASHINGTON — The voices
belonged mostly to N.F.L. ex-
ecutives, N.F.L. doctors, N.F.L.
players and U.S. congressmen.
But as they clashed Wednesday
in a House Judiciary Committee
hearing on football brain injuries
and how the league and its play-
ers union have handled the issue,
consensus emerged on one point:
the N.F.L. invariably influences
safety at the youth football level.
More than 1.2 million teenagers
play high school football every
fall, and hundreds are seriously
injured by concussions and other
brain trauma. Many of the inju-
ries occur because the players
are unaware of the seriousness
of brain injuries, because trained
medical personnel are too costly
and because the culture of foot-
ball demands that players play
through pain.
Recent laws in Texas, Washing-
ton and Oregon have mandated
better concussion training and
The Phillies have two days to
decide, and it is possible that the
outcome of Game 2, which the
Yankees won, will play a role
along with Lee’s pitch count in
Game 1, which was 122. But they
have been batting around the
idea for about a week, ever since
clinching the National League
Championship Series in five
games allowed them to align their
rotation as they desired.
Manager Charlie Manuel ac-
knowledged the possibility last
week. Lee has never pitched on
short rest, but that would hardly
prove a deterrent. Just as Chase
Utley would never admit to play-
ing hurt — even if bones were pro-
truding from his leg — Lee is not
the type to shy from a challenge.
In his mind, he is physically capa-
ble of anything and everything, as
his 3-0 record and 0.54 earned run
average this postseason suggest.
“This is the same game I’ve
been playing my whole life, and
this is the stage that I’ve wanted
to get to from a little kid,” Lee
said. “Now that I’m here, I’ve al-
ready put all the work in. There’s
no sense being nervous and wor-
ried. It’s time to go out there and
let my talents and skills take over
and execute pitches.”
The Phillies are happy with
their rotation depth and would
medical services in youth sports.
But several congressmen said
that as the N.F.L. disputes out-
side findings of heightened rates
of dementia and cognitive decline
among league retirees, youth
players and coaches are misled
about football’s health risks.
Rep. Hank Johnson, D-Ga., said
in the hearing, “Walking off the
pain in an N.F.L. game turns into
walking it off in a Little League
game — the trickle-down effects
on high school and college players
are very real and can be fatal.”
N.F.L. Commissioner Roger
Goodell was pressed to create
public-service announcements
to educate the public about the
seriousness of concussions, and
he agreed to do so. Dan Lungren,
R-Calif., asked Goodell to “edu-
cate your commentators so they
don’t make stupid statements”
on television that glorify violent
tackles rather than warn of their
potential consequences.
Friday, October 30, 2009
have no qualms sending out J. A.
Happ or Joe Blanton, who is 0-3
with an 8.18 E.R.A. against the
Yankees, to start Game 4, and
then Lee on normal rest in Game
5. They are also cognizant of Lee’s
mounting workload — 265 innings
and rising — and must balance
the risk and reward of setting him
up for two more starts, not one.
In each of the Yankees’ two
previous World Series appear-
ances, in 2001 and 2003, their op-
ponent gambled — and won — by
bringing back its overpowering
ace on short rest. Bob Brenly, a
rookie manager with Arizona in
2001, made the aggressive move
of starting Curt Schilling on three
days’ rest for Game 4 with the Di-
amondbacks ahead in the series.
Schilling pitched well in an extra-
inning loss and was available to
come back in Game 7, which Ari-
zona won.
Florida Manager Jack McKe-
on employed a similar strategy
for Game 6 in 2003, turning to
Josh Beckett with the Marlins
leading, 3-2. With the series back
at Yankee Stadium, McKeon
prevented the Yankees from
potentially gaining momentum
against a lesser pitcher, and
Beckett clinched the title with a
five-hit shutout.
BEN SHPIGEL
Goodell and doctors on the
league’s concussion commit-
tee testified Wednesday that the
league had set the proper exam-
ple. Dr. Joseph Maroon, neurosur-
geon for the Pittsburgh Steelers,
said that N.F.L. practices “are
exactly what should be passed
on to the youth football,” and that
younger players “need to have
the same protective, preventive
measures in place that are used
for our professional athletes.”
Maroon’s suggestion clashed
with some consensus views on
concussion management of
youngsters, whose brains are not
fully developed and require con-
siderably more care and longer
rest periods after injury. And as
the N.F.L. has defended how it
clears many players who sustain
concussions to return to the same
game, experts in the field consid-
er that doing that with high school
players could be fatal.
 ALAN SCHWARZ
9
N.B.A. Standings
EASTERN CONFERENCE
Atlantic W L Pct GB
Boston 2 0 1.000 —
Toronto 1 0 1.000 {
Nets 0 1 .000 1{
Knicks 0 1 .000 1{
Philadelphia 0 1 .000 1{
Southeast W L Pct GB
Atlanta 1 0 1.000 —
Miami 1 0 1.000 —
Orlando 1 0 1.000 —
Washington 1 0 1.000 —
Charlotte 0 1 .000 1
Central W L Pct GB
Chicago 1 0 1.000 —
Detroit 1 0 1.000 —
Milwaukee 0 0 .000 {
Indiana 0 1 .000 1
Cleveland 0 2 .000 1{
WESTERN CONFERENCE
Southwest W L Pct GB
Houston 1 1 .500 —
San Antonio 1 1 .500 —
Dallas 0 1 .000 {
Memphis 0 1 .000 {
New Orleans 0 1 .000 {
Northwest W L Pct GB
Denver 1 0 1.000 —
Minnesota 1 0 1.000 —
Oklahoma City 1 0 1.000 —
Portland 1 0 1.000 —
Utah 0 1 .000 1
Pacific W L Pct GB
L.A. Lakers 1 0 1.000 —
Phoenix 1 0 1.000 —
Golden State 0 1 .000 1
Sacramento 0 1 .000 1
L.A. Clippers 0 2 .000 1{
A Costly Injury
When the Jets’ Leon Washing-
ton fell to the turf with a bloody
compound fracture of his right
tibia and fibula last Sunday in
Oakland, he lost a calculated
gamble on his financial future.
Washington, 27, is in the last
year of a rookie contract that is
paying him $535,000 this season.
He was anticipating his first big
payday but rejected the Jets’
last offer last summer of a deal
worth at least $5 million annu-
ally. Seeking $6 million or more,
he said in July, “For me not to
get rewarded, I’m not happy
about it.”
After a brief holdout, he re-
ported to training camp. Then,
on a 6-yard running play in a
blowout win by the Jets, Wash-
ington lost millions of dollars.
Alan Herman, Washington’s
former agent, said, “He lost the
value of his contract this year,
and sometimes you can never
make that up.”  (NYT)