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Casino Queen buyer revealed

Tuesday, 10 December 2013 09:29 Published in Local News

 EAST ST. LOUIS, Ill. (AP) - A Pennsylvania-based real estate investment trust is buying the Casino Queen's real-estate assets in East St. Louis for $140 million.

The St. Louis Post-Dispatch reports that the properties being bought by Gaming and Leisure Properties Inc. include the 38,000-square-foot casino, 157-room hotel and the park for recreational vehicles.

Based in Wyomissing, Pa., Gaming and Leisure Properties was spun off last month by Penn National Gaming Inc.

The employee-owned Casino Queen will lease the property back from the Gaming and Leisure Properties for about $14 million a year.

The Illinois Gaming Board must approve of the sale, which is expected to be finalized early next year.

 

WORLD LEADERS, SOUTH AFRICANS HONOR MANDELA

Tuesday, 10 December 2013 07:41 Published in National News

JOHANNESBURG (AP) — World leaders and joyous, singing South Africans honored Nelson Mandela on Tuesday at a rainy Soweto soccer stadium where U.S. President Barack Obama praised him as a "giant of history" and the last great liberator of the 20th century.

"Over thirty years ago, while still a student, I learned of Mandela and the struggles in this land. It stirred something in me. It woke me up to my responsibilities — to others, and to myself — and set me on an improbable journey that finds me here today." said Obama, who like Mandela became the first black president of his country. Those in the stadium gave roars of approval to Obama's speech.

South African President Jacob Zuma, however, was booed. Many South Africans are unhappy with Zuma because of state corruption scandals, though his ruling African National Congress, once led by Mandela, remains the front-runner ahead of elections next year.

Amid heavy rains, crowds came to FNB Stadium in Soweto, the Johannesburg township that was a stronghold of support for the anti-apartheid struggle that Mandela embodied as a prisoner of white rule for 27 years and then during a peril-fraught transition to the all-race elections that made him president. But the weather and public transportation problems rain kept many people away. The 95,000-capacity stadium was only two-thirds full.

Some of the dozens of trains reserved to ferry people to the stadium were delayed due to a power failure. A Metrorail services spokeswoman, Lilian Mofokeng, said more than 30,000 mourners were successfully transported by train.

The mood was celebratory. A dazzling mix of royalty, statesmen and celebrities was in attendance.

As Obama walked to the podium, he and Cuban President Raul Castro shook hands.

Thabo Mbeki, the former South African president who succeeded Mandela, got a rousing cheer as he entered the stands. French President Francois Hollande and his predecessor and rival, Nicolas Sarkozy, arrived together. United Nations Secretary-General Ban Ki-moon waved and bowed to spectators who sang praise for Mandela, seen by many South Africans as the father of the nation.

"I would not have the life I have today if it was not for him," said Matlhogonolo Mothoagae, a postgraduate marketing student who arrived hours before the stadium gates opened. "He was jailed so we could have our freedom."

Rohan Laird, the 54-year-old CEO of a health insurance company, said in the stadium that he grew up during white rule in a "privileged position" as a white South African and that Mandela helped whites work through a burden of guilt.

"His reconciliation allowed whites to be released themselves," Lair said. "I honestly don't think the world will see another leader like Nelson Mandela."

Workers were still welding at a VIP area as the first spectators arrived amid an enormous logistical challenge of organizing the memorial for Mandela, who died Dec. 5 in his Johannesburg home at the age of 95.

Mandela's widow, Graca Machel, and former wife Winnie Madikizela-Mandela were at the stadium, and gave each other a long hug before the ceremonies began. So were actress Charlize Theron, model Naomi Campbell and singer Bono.

Tuesday was the 20th anniversary of the day when Mandela and South Africa's last apartheid-era president, F.W. de Klerk, received the Nobel Peace Prize for their efforts to bring peace to their country. De Klerk, a political rival who became friends with Mandela, was also in the stadium.

Mandela said in his Nobel acceptance speech at the time: "We live with the hope that as she battles to remake herself, South Africa will be like a microcosm of the new world that is striving to be born."

The sounds of horns and cheering filled the stadium. The rain, seen as a blessing among South Africa's majority black population, enthused the crowd.

"In our culture the rain is a blessing," said Harry Tshabalala, a driver for the justice ministry. "Only great, great people are memorialized with it. Rain is life. This is perfect weather for us on this occasion."

People blew on vuvuzelas, the plastic horn that was widely used during the World Cup soccer tournament in 2010, and sang songs from the era of the anti-apartheid struggle decades ago.

"It is a moment of sadness celebrated by song and dance, which is what we South Africans do," said Xolisa Madywabe, CEO of a South African investment firm.

The soccer venue was also the spot where Mandela made his last public appearance at the closing ceremony of the World Cup. After the memorial, his body will lie in state for three days at the Union Buildings in Pretoria, once the seat of white power, before burial Sunday in his rural childhood village of Qunu in Eastern Cape Province.

Police promised tight security, locking down roads kilometers (miles) around the stadium. However, the first crowds entered the stadium without being searched.

John Allen, a 48-year-old pastor from the U.S. state of Arkansas, said he once met Mandela at a shopping center in South Africa with his sons.

"He joked with my youngest and asked if he had voted for Bill Clinton," Allen said. "He just zeroed in on my 8-year-old for the three to five minutes we talked."

___

Follow Jon Gambrell on Twitter at www.twitter.com/jongambrellAP.

TECH FIRMS VIE TO PROTECT PERSONAL DATA, PROFITS

Tuesday, 10 December 2013 07:40 Published in National News

SAN FRANCISCO (AP) — Even as Silicon Valley speaks out against the U.S. government's surveillance methods, technology companies are turning a handsome profit by mining personal data and peering into people's online habits.

The industry's profit machine has become tarnished by revelations that the National Security Agency trolls deep into the everyday lives of Web surfers. As a result, companies including Apple, Facebook, Google, Microsoft and Yahoo are becoming more aggressive in their attempts to counter any perception that they voluntarily give the government access to users' email and other sensitive information.

Microsoft's general counsel, Brad Smith, warned in a blog post last week that the U.S. government's online surveillance efforts "threaten to seriously undermine confidence in the security and privacy of online communications."

"Indeed, government snooping potentially now constitutes an 'advanced persistent threat,' alongside sophisticated malware and cyber-attacks," Smith wrote.

The industry's latest salvo came Monday with the release of an open letter to President Barack Obama and the introduction of a new website calling for more stringent controls on electronic espionage.

The public relations maneuver escalates a battle that Silicon Valley has waged since early June, when media reports based on internal documents revealed the NSA had fashioned an elaborate system to vacuum up some of the user data that U.S. technology companies collect.

"The entire tech industry has been implicated and is now facing a global backlash," says Daniel Castro, a senior analyst for the Information Technology and Innovation Foundation, a Washington D.C. think tank.

As part of the tech industry's crusade, companies are also going to court and to Congress in an effort to force the government to de-classify details of its online investigations. They believe data will show that, in the past five years, information turned over to the government under court order has only affected a small fraction of the more than 1 billion people who use their products.

At stake is the trust of massive online audiences that attract digital advertising. As companies collect personal data and learn more about each user's interests and habits, advertising becomes easier to sell. The marketing campaigns are particularly important to Google, Yahoo and Facebook, all of which make most of their money from ads. And although Microsoft and Apple make billions from the sale of software and devices, the two companies are also hitching their fortunes to Internet services.

"We are now entering a new phase of the Internet that I call 'data wars,'" says Ethan Oberman, CEO of Internet privacy specialist SpiderOak. "It's all about who can amass the most personal data because that data has become so valuable that whoever accumulates the most is going to win. If these companies are going to engage in these data wars, the security and privacy of this data becomes of critical significance."

The battle pits U.S. national security agencies against an industry that has been a bright spot in the country's dreary economy. More than $1.3 trillion in shareholder wealth is tied up in Apple, Google, Microsoft, Facebook and Yahoo alone, and the companies collectively employ more than 243,000 people while running services that create thousands of other jobs.

In a study for his think tank, Castro predicted that the U.S. government's online surveillance will divert $21.5 billion to $35 billion in revenue from U.S. technology companies that host services over the Internet and sell remote data storage — a concept broadly known as "cloud computing." The estimate, which covers the next three years, is based on the assumption that many companies outside the U.S. will buy services in other countries rather than risk copies of their data being turned over to the U.S. government. The prediction doesn't include possible losses in online ad revenue.

Without quantifying the company's potential losses, a Google lawyer recently warned a Senate subcommittee that the government's online espionage could have "severe unintended consequences," including increased business costs, less data security and alienated Web surfers.

"The impact on U.S. companies, and the broader U.S. economy, could be significant," said Richard Salgado, Google's director of law enforcement and information security, during a Nov. 13 appearance before the Senate Judiciary Subcommittee on Privacy, Technology and the Law.

In a worst case scenario, Forrester's James Staten initially theorized that global cloud computing services could lose as much as $180 billion over the next three years if corporate customers become worried about their crucial data falling into the hands of any government.

That dire figure has been widely circulated by media outlets, but Staten told The Associated Press he now believes chances are remote that losses will surpass $20 billion. That's because he is convinced most companies around the world are already encrypting the vital information they store on the computers of outside vendors.

"The reality is no enterprise is going to be naive," Staten says. "They are going to take the security into their own hands because they realize we live in a regulated world where every government is watching."

Wary of the U.S. government's electronic espionage, Brazil's president ordered a series of measures aimed at greater online independence and security for a country that boasts Latin America's largest economy. Other countries and international regulators are considering strict rules for data-handling by U.S. tech companies. If that were to happen, it could cripple the companies' crucial drive to grow in overseas markets, and could fracture the Internet's seamless inner-workings.

"Try and compete in Europe when the Europeans think that their data is not secure with you," said Rep. Zoe Lofgren, a California Democrat who is a key standard bearer for Silicon Valley in Congress.

The NSA says it only retrieves online data tied to people outside the U.S., a limitation that is of little solace to companies such as Google and Facebook that generate most of their revenue overseas and see the ripest opportunities for growth in Latin America, Asia, the Middle East and Africa.

"Wonderful. That's really helpful to companies that are trying to serve people around the world and really inspire confidence in American Internet companies," said Facebook CEO Mark Zuckerberg at a San Francisco technology conference in September.

While Zuckerberg and other executives protest government's intrusions on privacy, industry critics point out that technology companies continue to store and analyze troves of personal information in pursuit of more profit. That is raising questions about the motives of their crusade to curb the government's Internet surveillance.

Google and its rivals "just want to be the exclusive spying source for their customers' data," said American Civil Liberties Union senior analyst Christopher Soghoian in a tweet last week.

Crisis communications expert Gene Grabowski believes the companies clearly regret their initial decision to cooperate with the government's personal data demands, rather than picking a legal fight. "It appears to more than a few people that they betrayed their customers," said Grabowski, an executive vice president for the public relations firm Levick.

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