Wall Street pulls back after recent gain; data disappoints

NEW YORK (Reuters) - Stocks dropped on Monday, pulling back from gains in the prior session that left the S&P 500 at a five-year high and the Dow above 14,000, as factory orders data disappointed and worries about the euro zone crisis resurfaced.


The S&P 500 was on track for its biggest daily percentage decline since December 28. Chevron and Wal-Mart were among the biggest drags on the Dow after analyst downgrades.


"The market is due for a pullback. That's not really a surprise. I think people are looking for an excuse to make sales," said Michael James, senior trader at Wedbush Morgan in Los Angeles.


Spanish and Italian bond yields rose, renewing worries about the euro zone's sovereign debt crisis. Spain's prime minister faced calls to resign over a corruption scandal, while a probe of alleged misconduct involving an Italian bank was expected to widen three weeks before a national election.


Data from the Commerce Department showed overall factory orders for December were below economists' expectations.


The Dow Jones industrial average <.dji> was down 120.19 points, or 0.86 percent, at 13,889.60. The Standard & Poor's 500 Index <.spx> was down 14.65 points, or 0.97 percent, at 1,498.52. The Nasdaq Composite Index <.ixic> was down 40.53 points, or 1.27 percent, at 3,138.57.


The benchmark S&P 500 rose on Friday, leaving it roughly 60 points away from its all-time intraday high of 1,576.09, while the Dow's march above 14,000 was the highest for the index since October 2007.


The S&P index <.spx> is up 5.5 percent for the year, with nearly half of the gains coming after U.S. legislators temporarily sidestepped the "fiscal cliff" of automatic tax increases and spending cuts.


The CBOE Volatility index VIX <.vix>, Wall Street's so-called fear gauge, jumped more than 10 percent to 14.48 by afternoon trade.


Chevron Corp dipped 0.9 percent to $115.50 after UBS cut its rating to neutral, while Wal-Mart Stores Inc shed 1.1 percent to $69.69 after JP Morgan lowered its rating on the world's largest retailer and reduced its price target.


Shares of household products company Clorox rose 1.3 percent to $80.23 after quarterly profit beat analysts' estimates as a severe flu season boosted sales of disinfecting wipes.


According to Thomson Reuters data, of the 256 companies in the S&P 500 that have reported earnings through Monday morning, 68.4 percent have reported earnings above analyst expectations compared with the 62 percent average since 1994 and the 65 percent average over the past four quarters.


S&P 500 fourth-quarter earnings are expected to rise 4.4 percent, according to the data. That estimate is above the 1.9 percent forecast at the start of earnings season, but well below the 9.9 percent fourth-quarter earnings forecast on October 1.


Herbalife Ltd slumped 2.5 percent to $34.16 after the New York Post newspaper reported the seller of weight loss products is facing a probe by the Federal Trade Commission.


(Additional reporting by Angela Moon; Editing by Kenneth Barry and Nick Zieminski)



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High-Level Feud Bares Tensions in Iran





TEHRAN — President Mahmoud Ahmadinejad escalated a bitter political fight this week with Iran’s most influential political family by disclosing secret film recordings of what he purported were fraudulent business deals.




During a Sunday session of Parliament, broadcast on state radio, Mr. Ahmadinejad singled out the head of the Parliament, Ali Larijani, a political rival with strong links to influential Shiite Muslim clerics and one of several brothers who have held top positions in the Iranian government.


His older brother, Sadegh, 52, heads Iran’s judiciary, while another brother, Mohammad Javad, a Berkeley-educated mathematician, is also a judiciary official.


On Monday, Iran’s state newspaper, Kayhan, which is run by an editor appointed by the supreme leader, Ayatollah Ali Khamenei, hinted that Ayatollah Khamenei had been forced to step in to prevent both men from giving potentially damaging news conferences, which were both canceled at the last minute.


This was not the first time Ayatollah Khamenei has been forced to intervene in this feud. In October, he issued an edict aimed at stopping the infighting, saying that those creating divisions in the leadup to the June 14 presidential elections “betray” the country.


Mr. Ahmadinejad, who went to the Parliament in a failed attempt to head off the impeachment of his labor minister, Abdolreza Sheikholeslami, said Mr. Larijani and his fellow lawmakers had obstructed the government, stepped beyond their constitutional boundaries and written letters ordering the annulment of government decisions.


Instructed by Mr. Larijani to stick to the subject of the impeachment, Mr. Ahmadinejad said, “Don’t order me to close my mouth because you say it’s the law.”


With that, Mr. Ahmadinejad, who for years has threatened to reveal the names of corrupt officials, played a video clip of a conversation in which another of Mr. Larijani’s brothers, Fazel, appeared to discuss the purchase of a state company under favorable terms, the semiofficial Tabnak Web site reported. While Fazel Larijani used to head a medical association in Iran, his current position is unclear.


The public naming, rare in Iran, could signal a new phase in an already intense scrum between Mr. Ahmadinejad, who represents a powerful group of young, ambitious politicians, and Mr. Larijani, who is the official representative of the holy city of Qum, the center of Shiite scholarship in Iran.


Mr. Ahmadinejad said his associate, Saeed Mortazavi, 45, was also present at the taped meeting. In January, Mr. Mortazavi was dismissed as the head of Iran’s enormous social welfare organization under pressure from Parliament. Some days later, however, he was rehired by the president in the same position, this time as official caretaker.


During the conversation, read out in part by Mr. Ahmadinejad to astonished lawmakers, Fazel Larijani appears to try to use his family connections to buy a factory from the social welfare organization. He promises leniency for Mr. Mortazavi, who faces several criminal proceedings over assertions that he played a role in the deaths of three protesters in a substandard prison in 2009.


“These are audio and video, and the tape is clear,” Mr. Ahmadinejad is quoted as saying by the Iranian Students’ News Agency. “If the honorable Parliament speaker sees fit, we can turn over the 24 to 25 hours to you,” he said of the recordings. On Monday, Iran’s Islamic Republic News Agency, a mouthpiece for Mr. Ahmadinejad, deepened the split by publishing the audio tape on its Web site.


Ali Larijani, cheered on by the Parliament, which has lost nearly each serious political battle with the president, silenced the room, saying, “Let him tell his words. If there is anything about my family, then let him talk about it.”


Mr. Larijani said it was a “mafia film” and recalled how he had a meeting with Mr. Ahmadinejad’s estranged brother, Davoud. “He said many things against you,” Mr. Larijani told the president, “about economic corruption, about your inner circle and your relations with foreign countries.”


For his part, Fazel Larijani strongly denied any wrongdoing, saying that while he did appear in the clip, the words were not his, but rather had been added in a voiceover. Calling Mr. Ahmadinejad and Mr. Mortazavi “mafialike individuals,” he said he would sue them both for “spreading lies and disturbing public opinion.”


On Monday, several officials criticized Mr. Ahmadinejad and Ali Larijani, accusing them of lacking self-control and bringing shame on the country. “They broke the leader’s heart and gave the friends of the Islamic republic almost a seizure,” said Mojtaba Zolnour, a special consultant to the supreme leader, Ayatollah Khamenei, the semiofficial Iranian Labor News Agency reported. “They provided ammunition for the foreign media on the eve of our election.”


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Kuwait says backs free speech but must protect ruling emir






KUWAIT (Reuters) – Kuwait supports free speech but must act against illegal comments made about the Gulf state’s ruler, the government said on Monday, after a Twitter user was jailed for five years.


A Kuwaiti court sentenced a man to prison on Sunday for insulting the emir on the social networking site, a rights lawyer and news websites said, in the latest prosecution for criticism of authorities via social media.






“Kuwait has a longstanding proud tradition of open debate and free speech,” the Ministry of Information, which regulates the media, said in a statement to Reuters addressing the case.


“We are a country led by the rule of law and our constitution holds our Emir to be inviolable. If our citizens wish to amend the constitution there is a straightforward legal way to do this, but we will not selectively enforce our laws.”


In recent months Kuwait has penalized several Twitter users for criticizing the emir, who is described as “immune and inviolable” in the constitution.


Kuwait allows the most dissent in the Gulf Arab region and boasts a lively press and critical political debate. But the U.S. ally and OPEC member has been clamping down on politically sensitive comments aired on the internet in recent months.


Twitter is extremely popular in the country of 3.7 million inhabitants and well-known figures can have hundreds of thousands of followers.


In January, a court sentenced two men in separate cases to jail time for insulting the emir on Twitter.


In June last year, a man was sentenced to 10 years in prison after he was convicted of endangering state security by insulting the Prophet Mohammad and the Sunni Muslim rulers of Saudi Arabia and Bahrain on social media.


Two months later, authorities detained a member of the ruling family over remarks on Twitter in which he accused authorities of corruption and called for political reform.


Kuwait has avoided the kind of mass unrest that has spread across the Arab region in the past two years but in 2012 tension escalated between authorities and opposition groups ahead of a parliamentary election.


(Reporting by Sylvia Westall; Editing by Mark Heinrich)


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Kim Richards: 'My Whole Life Today Is Amazing' Because I'm Sober



Kim Richards is in a good place.

Following a stint in rehab about a year ago, the Real Housewives of Beverly Hills star, 48, tells PEOPLE, "It hasn't been easy, but my whole life today is amazing, and I owe it all to my sobriety."

Part of what has contributed to her new outlook is her newly mended relationship with her sister, Kyle.

"When I came home from treatment, I thought it was going to be great," Kim says. "I just didn’t expect the response I wasn't getting from Kyle. You'll see [this season], my sister and I have these moments, these bonding moments. And then they go away and then you see more. It's so up and down the whole season for Kyle and I. And then Kyle and I really were able to put it together this Christmas."

Adds the reality star, "I haven't had a drink since – it was a year in December. I feel so strong, determined, healthy and happy. I have a great relationship with my children [and] with both of my sisters."

Thanks to her role on Housewives, Richards's progress has been acknowledged by more than just her family.

"You have no idea how many people out there have said, 'You have saved me. Because of you, I have 30 days [of sobriety],' " she says. "I cry. It makes me smile. It makes me cry-smile. I smile-cry. It's so rewarding."

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New rules aim to get rid of junk foods in schools


WASHINGTON (AP) — Most candy, high-calorie drinks and greasy meals could soon be on a food blacklist in the nation's schools.


For the first time, the government is proposing broad new standards to make sure all foods sold in schools are more healthful.


Under the new rules the Agriculture Department proposed Friday, foods like fatty chips, snack cakes, nachos and mozzarella sticks would be taken out of lunch lines and vending machines. In their place would be foods like baked chips, trail mix, diet sodas, lower-calorie sports drinks and low-fat hamburgers.


The rules, required under a child nutrition law passed by Congress in 2010, are part of the government's effort to combat childhood obesity. While many schools already have improved their lunch menus and vending machine choices, others still are selling high-fat, high-calorie foods.


Under the proposal, the Agriculture Department would set fat, calorie, sugar and sodium limits on almost all foods sold in schools. Current standards already regulate the nutritional content of school breakfasts and lunches that are subsidized by the federal government, but most lunchrooms also have "a la carte" lines that sell other foods. Food sold through vending machines and in other ways outside the lunchroom has never before been federally regulated.


"Parents and teachers work hard to instill healthy eating habits in our kids, and these efforts should be supported when kids walk through the schoolhouse door," Agriculture Secretary Tom Vilsack said.


Most snacks sold in school would have to have less than 200 calories. Elementary and middle schools could sell only water, low-fat milk or 100 percent fruit or vegetable juice. High schools could sell some sports drinks, diet sodas and iced teas, but the calories would be limited. Drinks would be limited to 12-ounce portions in middle schools and to 8-ounce portions in elementary schools.


The standards will cover vending machines, the "a la carte" lunch lines, snack bars and any other foods regularly sold around school. They would not apply to in-school fundraisers or bake sales, though states have the power to regulate them. The new guidelines also would not apply to after-school concessions at school games or theater events, goodies brought from home for classroom celebrations, or anything students bring for their own personal consumption.


The new rules are the latest in a long list of changes designed to make foods served in schools more healthful and accessible. Nutritional guidelines for the subsidized lunches were revised last year and put in place last fall. The 2010 child nutrition law also provided more money for schools to serve free and reduced-cost lunches and required more meals to be served to hungry kids.


Sen. Tom Harkin, D-Iowa, has been working for two decades to take junk foods out of schools. He calls the availability of unhealthful foods around campus a "loophole" that undermines the taxpayer money that helps pay for the healthier subsidized lunches.


"USDA's proposed nutrition standards are a critical step in closing that loophole and in ensuring that our schools are places that nurture not just the minds of American children but their bodies as well," Harkin said.


Last year's rules faced criticism from some conservatives, including some Republicans in Congress, who said the government shouldn't be telling kids what to eat. Mindful of that backlash, the Agriculture Department exempted in-school fundraisers from federal regulation and proposed different options for some parts of the rule, including the calorie limits for drinks in high schools, which would be limited to either 60 calories or 75 calories in a 12-ounce portion.


The department also has shown a willingness to work with schools to resolve complaints that some new requirements are hard to meet. Last year, for example, the government relaxed some limits on meats and grains in subsidized lunches after school nutritionists said they weren't working.


Schools, the food industry, interest groups and other critics or supporters of the new proposal will have 60 days to comment and suggest changes. A final rule could be in place as soon as the 2014 school year.


Margo Wootan, a nutrition lobbyist for the Center for Science in the Public Interest, said surveys by her organization show that most parents want changes in the lunchroom.


"Parents aren't going to have to worry that kids are using their lunch money to buy candy bars and a Gatorade instead of a healthy school lunch," she said.


The food industry has been onboard with many of the changes, and several companies worked with Congress on the child nutrition law two years ago. Major beverage companies have already agreed to take the most caloric sodas out of schools. But those same companies, including Coca-Cola and PepsiCo, also sell many of the non-soda options, like sports drinks, and have lobbied to keep them in vending machines.


A spokeswoman for the American Beverage Association, which represents the soda companies, says they already have greatly reduced the number of calories that kids are consuming at school by pulling out the high-calorie sodas.


___


Follow Mary Clare Jalonick on Twitter at http://twitter.com/mcjalonick


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"Great Rotation"- A Wall Street fairy tale?

NEW YORK (Reuters) - Wall Street's current jubilant narrative is that a rush into stocks by small investors has sparked a "great rotation" out of bonds and into equities that will power the bull market to new heights.


That sounds good, but there's a snag: The evidence for this is a few weeks of bullish fund flows that are hardly unusual for January.


Late-stage bull markets are typically marked by an influx of small investors coming late to the party - such as when your waiter starts giving you stock tips. For that to happen you need a good story. The "great rotation," with its monumental tone, is the perfect narrative to make you feel like you're missing out.


Even if something approaching a "great rotation" has begun, it is not necessarily bullish for markets. Those who think they are coming early to the party may actually be arriving late.


Investors pumped $20.7 billion into stocks in the first four weeks of the year, the strongest four-week run since April 2000, according to Lipper. But that pales in comparison with the $410 billion yanked from those funds since the start of 2008.


"I'm not sure you want to take a couple of weeks and extrapolate it into whatever trend you want," said Tobias Levkovich, chief U.S. equity strategist at Citigroup. "We have had instances where equity flows have picked up in the last two, three, four years when markets have picked up. They've generally not been signals of a continuation of that trend."


The S&P 500 rose 5 percent in January, its best month since October 2011 and its best January since 1997, driving speculation that retail investors were flooding back into the stock market.


Heading into another busy week of earnings, the equity market is knocking on the door of all-time highs due to positive sentiment in stocks, and that can't be ignored entirely. The Standard & Poor's 500 Index <.spx> ended the week about 4 percent from an all-time high touched in October 2007.


Next week will bring results from insurers Allstate and The Hartford , as well as from Walt Disney , Coca-Cola Enterprises and Visa .


But a comparison of flows in January, a seasonal strong month for the stock market, shows that this January, while strong, is not that unusual. In January 2011 investors moved $23.9 billion into stock funds and $28.6 billion in 2006, but neither foreshadowed massive inflows the rest of that year. Furthermore, in 2006 the market gained more than 13 percent while in 2011 it was flat.


Strong inflows in January can happen for a number of reasons. There were a lot of special dividends issued in December that need reinvesting, and some of the funds raised in December tax-selling also find their way back into the market.


During the height of the tech bubble in 2000, when retail investors were really embracing stocks, a staggering $42.7 billion flowed into equities in January of that year, double the amount that flowed in this January. That didn't end well, as stocks peaked in March of that year before dropping over the next two-plus years.


MOM AND POP STILL WARY


Arguing against a 'great rotation' is not necessarily a bearish argument against stocks. The stock market has done well since the crisis. Despite the huge outflows, the S&P 500 has risen more than 120 percent since March 2009 on a slowly improving economy and corporate earnings.


This earnings season, a majority of S&P 500 companies are beating earnings forecast. That's also the case for revenue, which is a departure from the previous two reporting periods where less than 50 percent of companies beat revenue expectations, according to Thomson Reuters data.


Meanwhile, those on the front lines say mom and pop investors are still wary of equities after the financial crisis.


"A lot of people I talk to are very reluctant to make an emotional commitment to the stock market and regardless of income activity in January, I think that's still the case," said David Joy, chief market strategist at Columbia Management Advisors in Boston, where he helps oversee $571 billion.


Joy, speaking from a conference in Phoenix, says most of the people asking him about the "great rotation" are fund management industry insiders who are interested in the extra business a flood of stock investors would bring.


He also pointed out that flows into bond funds were positive in the month of January, hardly an indication of a rotation.


Citi's Levkovich also argues that bond investors are unlikely to give up a 30-year rally in bonds so quickly. He said stocks only began to see consistent outflows 26 months after the tech bubble burst in March 2000. By that reading it could be another year before a serious rotation begins.


On top of that, substantial flows continue to make their way into bonds, even if it isn't low-yielding government debt. January 2013 was the second best January on record for the issuance of U.S. high-grade debt, with $111.725 billion issued during the month, according to International Finance Review.


Bill Gross, who runs the $285 billion Pimco Total Return Fund, the world's largest bond fund, commented on Twitter on Thursday that "January flows at Pimco show few signs of bond/stock rotation," adding that cash and money markets may be the source of inflows into stocks.


Indeed, the evidence suggests some of the money that went into stock funds in January came from money markets after a period in December when investors, worried about the budget uncertainty in Washington, started parking money in late 2012.


Data from iMoneyNet shows investors placed $123 billion in money market funds in the last two months of the year. In two weeks in January investors withdrew $31.45 billion of that, the most since March 2012. But later in the month money actually started flowing back.


(Additional reporting by Caroline Valetkevitch; Editing by Kenneth Barry)



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Letter From Washington: A Rocky Road to Reforming Immigration







WASHINGTON — Immigration reform is having a “Kumbaya” moment, with support from the White House, a bipartisan contingent in Congress, business and labor.




The Republicans are petrified after their dismal showing among the fastest-growing slices of the electorate, Hispanics and Asians; President Barack Obama wants to reward the loyalty of those voters. Business and labor, as well as many politicians, want to fix a totally dysfunctional system. There are more than 11 million undocumented immigrants, 5 percent of the work force. Many of these people live in fear of discovery, while jobs go unfilled in some areas.


Hold the Champagne. When it comes to immigration laws, the concept is always easier than the reality. Change failed to happen six years ago, despite the push from the high-powered coalition led by President George W. Bush and Senators John McCain and Edward M. Kennedy. The dynamics are more favorable today. Still, the same obstacles persist; the powerful countervailing considerations include these issues:


A predicament on citizenship There’s a fairly broad consensus for ending the illegal status of the undocumented. The White House, Hispanic groups and most Senate supporters insist that any overhaul must lead to a pathway to citizenship.


That approach, however, faces great resistance. Some lawmakers demand that any move toward citizenship must come second to solving the border-security problem, at a minimum. For some, this is a political cover; under the Obama administration, resources for border security have been increased sharply, including the use of drones. And deportations of undocumented immigrants are at a record high.


A border-security trigger is realistic if it includes quantifiable goals, like the number of new Border Patrol agents, the amount of resources allocated and the new technologies utilized. It isn’t reasonable if it requires meeting an amorphous standard like “operational control” of a border that is always changing.


Hispanic groups assert that the real motive for such demands is to unreasonably stretch out any possibility of granting citizenship.


“There would be a backlash if citizenship is delayed for 15 or 20 years,” warns Gary M. Segura, a Stanford University professor and co-founder of Latino Decisions, the leading research organization on Hispanic public opinion.


The future of immigration policy Equally contentious is the question of future flows of immigrants. One proposal would link the number of legal immigrants to economic conditions: More would be let in when times are good, fewer in tougher times. That sounds easier than it is. There will be clashes over how great a priority should be given to those with high-tech skills or to agriculture workers or to family reunification. Small businesses will rebel against any costly verification plan.


Most independent studies show that immigration is a decided economic plus, bringing in revenue and increasing productivity and innovation.


Yet the arguments of the populist right may resonate more as the debate heats up. NumbersUSA, a leading anti-immigration group, is reviving charges that an immigration overhaul would drive down wages for middle- and low- income workers. Kris Kobach, the Kansas secretary of state who authored anti-immigration measures in several states and the Republican Party’s platform position on the issue last summer, charges that taxpayers would be hit with $2.6 trillion in added food stamps, Medicare and Medicaid, which are government health care programs, and in welfare costs. That estimate is refuted by reliable studies; it still cuts.


The House Republican leadership J. Dennis Hastert, a former Republican speaker of the House, decreed that any bill must command majority support among majority party members. Last month, the House speaker, John A. Boehner, waived the rule twice to pass measures, one avoiding the so-called fiscal cliff and another providing aid to victims of Hurricane Sandy.


The speaker, along with most party leaders, understands his party’s serious difficulties with Hispanic voters and fears making matters worse by blocking an overhaul. Two of the most virulent anti-immigration Republicans in the House, Lamar Smith of Texas and Steve King of Iowa, no longer hold important committee chairmanships.


Yet with anti-immigration sentiment still running high among many Republican rank-and-file voters, it’s tough to imagine a majority of the party’s House members backing a comprehensive bill, even if, as is certain, the Senate goes first. Mr. Boehner’s only option might be to let a bill pass primarily with Democratic votes.


To do that, he would need the support of the House majority leader, Eric Cantor, and the whip, Kevin McCarthy; there’s no shrewder politician than Mr. McCarthy, who is always attuned to the party’s base. He’s also from California, where, since Governor Pete Wilson played the anti-immigration card in 1994, the Democrats completely dominate politics.


The lack of a skilled deal maker The successful, if flawed, passage of Mr. Obama’s health care measure probably wouldn’t have been possible without the savvy hand of Rahm Emanuel, who was the White House chief of staff. Congressional Democrats and some outside advocates see no Emanuel counterpart in the current White House; privately, some say they would like the White House to enlist a special envoy — perhaps Henry G. Cisneros, former housing secretary and former mayor of San Antonio, Texas, or Tom Daschle, the former Senate majority leader — to shepherd legislation.


Egos and tensions already are surfacing among supporters of an overhaul; Republicans don’t trust the White House, and some Democrats worry that Marco Rubio, the ambitious young Republican senator from Florida, will look for a reason to peel off as he comes under pressure from his party’s right wing. There is no senator today who possesses Mr. Kennedy’s skill for navigating these shoals.


It’s still a slightly better bet that a big immigration bill will be enacted in this Congress. Getting there will be ugly, and the measure will seem to die more than once as it battles these cross-pressures.


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Kuwaiti gets five years for insulting ruler






KUWAIT (Reuters) – A Kuwaiti court sentenced a man to five years in prison on Sunday for insulting the emir on Twitter, a rights lawyer and news websites said, in the latest prosecution for criticism of authorities via social media in the Gulf Arab state.


The court gave Kuwaiti Mohammad Eid al-Ajmi the maximum sentence for the comments, news websites al-Rai and alaan.cc reported.






In recent months Kuwait has penalized several Twitter users for criticizing the emir, who is described as “immune and inviolable” in the constitution.


“We call on the government to expand freedoms and adhere to the international (human rights) conventions it has signed,” said lawyer Mohammad al-Humaidi, director of the Kuwait Society for Human Rights, commenting on the case.


Courts in Kuwait generally do not comment to the media.


Amnesty International said in November Kuwait had increased restrictions on freedom of expression and assembly.


It urged Kuwait to ensure protection for users of social media, whether they supported or opposed the government, as long as they did not incite racial hatred or violence.


Kuwait, a U.S. ally and major oil producer, has been taking a firmer line on politically sensitive comments aired on the internet. Twitter is extremely popular in the country of 3.7 million.


In January, a court sentenced two men in separate cases to jail time for insulting the emir on Twitter.


In June 2012, a man was sentenced to 10 years in prison after he was convicted of endangering state security by insulting the Prophet Mohammad and the Sunni Muslim rulers of Saudi Arabia and Bahrain on social media.


Two months later, authorities detained Sheikh Meshaal al-Malik Al-Sabah, a member of the ruling family, over remarks on Twitter in which he accused authorities of corruption and called for political reform.


The recent Twitter cases have been carried out under the state security law and penal code. Last year Kuwait passed new legislation aimed at regulating social media.


Public demonstrations and debates about local issues are common in a state that allows the most dissent in the Gulf, but Kuwait has avoided the kind of mass unrest that unseated four heads of Arab states in 2011.


But tensions intensified between authorities and opposition groups last year ahead of a parliamentary election deemed unfair by opposition politicians and activists.


The opposition movement said new voting rules introduced by Sheikh Sabah by emergency decree in October would skew the December 1 election in favor of pro-government candidates. The emir said the old voting system was flawed and that his changes were constitutional and necessary for Kuwait’s “security and stability”.


(Reporting by Ahmed Hagagy, Writing by Sylvia Westall; editing by Sami Aboudi and Andrew Roche)


Internet News Headlines – Yahoo! News





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Justin Timberlake Kicks Off Super Bowl Weekend By Returning to the Stage















02/03/2013 at 02:30 PM EST



stippled-photo

Justin Timberlake is bringing music back in a major way.

The singer – who says he'll release a new album this year – marked his return to the stage at DirecTV's Super Saturday Night event in New Orleans.

And for those lucky enough to attend, Timberlake, 32, performed his single "Suit & Tie" with Jay-Z.

Paul McCartney and wife Nancy Shevell, Nashville's Hayden Panettiere, Sofia Vergara, David Arquette, Kate Upton, Will Ferrell, Aaron Paul and more were just a few of the A-listers enjoying the show.

John Legend and fiancé Chrissy Teigen posed for photos with Jay-Z and Timbaland and showed them off on Twitter.

Questlove of The Roots also shared his two cents on Timberlake's return by posting on Instagram. "Dude is KILLLIINNNNGGG it," he wrote, sharing a photo of Timberlake at the mic.

But Timberlake wasn't the only one to take the stage – Katy Perry, The Fray performed and Questlove, Jersey Shore's Paul "Pauly D" DelVecchio and Tom Cruise's son, Connor, all played deejay sets.

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New rules aim to get rid of junk foods in schools


WASHINGTON (AP) — Most candy, high-calorie drinks and greasy meals could soon be on a food blacklist in the nation's schools.


For the first time, the government is proposing broad new standards to make sure all foods sold in schools are more healthful.


Under the new rules the Agriculture Department proposed Friday, foods like fatty chips, snack cakes, nachos and mozzarella sticks would be taken out of lunch lines and vending machines. In their place would be foods like baked chips, trail mix, diet sodas, lower-calorie sports drinks and low-fat hamburgers.


The rules, required under a child nutrition law passed by Congress in 2010, are part of the government's effort to combat childhood obesity. While many schools already have improved their lunch menus and vending machine choices, others still are selling high-fat, high-calorie foods.


Under the proposal, the Agriculture Department would set fat, calorie, sugar and sodium limits on almost all foods sold in schools. Current standards already regulate the nutritional content of school breakfasts and lunches that are subsidized by the federal government, but most lunchrooms also have "a la carte" lines that sell other foods. Food sold through vending machines and in other ways outside the lunchroom has never before been federally regulated.


"Parents and teachers work hard to instill healthy eating habits in our kids, and these efforts should be supported when kids walk through the schoolhouse door," Agriculture Secretary Tom Vilsack said.


Most snacks sold in school would have to have less than 200 calories. Elementary and middle schools could sell only water, low-fat milk or 100 percent fruit or vegetable juice. High schools could sell some sports drinks, diet sodas and iced teas, but the calories would be limited. Drinks would be limited to 12-ounce portions in middle schools and to 8-ounce portions in elementary schools.


The standards will cover vending machines, the "a la carte" lunch lines, snack bars and any other foods regularly sold around school. They would not apply to in-school fundraisers or bake sales, though states have the power to regulate them. The new guidelines also would not apply to after-school concessions at school games or theater events, goodies brought from home for classroom celebrations, or anything students bring for their own personal consumption.


The new rules are the latest in a long list of changes designed to make foods served in schools more healthful and accessible. Nutritional guidelines for the subsidized lunches were revised last year and put in place last fall. The 2010 child nutrition law also provided more money for schools to serve free and reduced-cost lunches and required more meals to be served to hungry kids.


Sen. Tom Harkin, D-Iowa, has been working for two decades to take junk foods out of schools. He calls the availability of unhealthful foods around campus a "loophole" that undermines the taxpayer money that helps pay for the healthier subsidized lunches.


"USDA's proposed nutrition standards are a critical step in closing that loophole and in ensuring that our schools are places that nurture not just the minds of American children but their bodies as well," Harkin said.


Last year's rules faced criticism from some conservatives, including some Republicans in Congress, who said the government shouldn't be telling kids what to eat. Mindful of that backlash, the Agriculture Department exempted in-school fundraisers from federal regulation and proposed different options for some parts of the rule, including the calorie limits for drinks in high schools, which would be limited to either 60 calories or 75 calories in a 12-ounce portion.


The department also has shown a willingness to work with schools to resolve complaints that some new requirements are hard to meet. Last year, for example, the government relaxed some limits on meats and grains in subsidized lunches after school nutritionists said they weren't working.


Schools, the food industry, interest groups and other critics or supporters of the new proposal will have 60 days to comment and suggest changes. A final rule could be in place as soon as the 2014 school year.


Margo Wootan, a nutrition lobbyist for the Center for Science in the Public Interest, said surveys by her organization show that most parents want changes in the lunchroom.


"Parents aren't going to have to worry that kids are using their lunch money to buy candy bars and a Gatorade instead of a healthy school lunch," she said.


The food industry has been onboard with many of the changes, and several companies worked with Congress on the child nutrition law two years ago. Major beverage companies have already agreed to take the most caloric sodas out of schools. But those same companies, including Coca-Cola and PepsiCo, also sell many of the non-soda options, like sports drinks, and have lobbied to keep them in vending machines.


A spokeswoman for the American Beverage Association, which represents the soda companies, says they already have greatly reduced the number of calories that kids are consuming at school by pulling out the high-calorie sodas.


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Follow Mary Clare Jalonick on Twitter at http://twitter.com/mcjalonick


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