Citigroup Plans Big Bonuses Despite Rules Against Them

AIG isn't the only bailed-out financial firm paying big bucks to managers who helped steer their company to near collapse. Citigroup has pledged millions of dollars in bonuses to senior executives for the next few years, despite lawmakers efforts to eliminate such payments.

It's not clear whether the bonuses, which Citigroup says are for 2008 but won't start paying out until 2010, will be allowed. Under compensation rules passed by Congress in mid-February, cash bonuses are barred for top executives at bailed-out banks.

But Citi finalized its bonus program shortly before the new rules were introduced. That might make the payments permissible, though they could be made almost worthless by new tax rules just passed by the House of Representatives and headed for consideration in the Senate. Even so, Citigroup's move in January to set in place bonus payments for years to come raises questions about whether it was trying to evade compensation rules it knew were coming.

"If an executive legitimately earns a bonus, then paying it out over a number of years makes a lot of sense,' says Paul Hodgson, a senior research associate at the Corporate Library, which examines issues of corporate governance. "But I find it hard to believe that any top executive at a bailed-out bank would have had the performance in 2008 to generate a multimillion-dollar bonus.

Suspects threw more than $17,000 from car

SAN DIEGO, March 20 (UPI) -- Authorities in San Diego said drug suspects threw more than $17,000 out of a vehicle during a police chase on a highway in the evening commute hours.

Eileen Zeidler, a spokeswoman for the U.S. Drug Enforcement Administration, said the chase began at about 5 p.m. Thursday when two men who were under surveillance as part of "a significant drug investigation" drove off in a pickup truck and were pursued by San Diego police and DEA agents, the San Diego Union-Tribune reported Friday.

The passenger in the vehicle began throwing money out the window of the vehicle, causing passersby to rush to recover the money. Agents and officers recovered more than $17,000 thrown from the vehicle and a 16-year-old boy later gave police $570 that he had picked up.

Zeidler didn't say how much money the suspects were carrying before they began throwing the cash. She said the suspects were arrested but didn't give any further information on the arrests or the investigation, the Union-Tribune said.UPI

Nissan's GT-R hit the sports-car scene last year

Nissan's GT-R hit the sports-car scene last year with a tremendous bang, but not even a year after the first car was delivered, there's already controversy. Web-savvy car enthusiasts have no doubt read about the GT-R's issue with the "launch control" system. It was something I had to bring up with GT-R project chief Kazutoshi Mizuno. Over a cup of green tea, I asked for an explanation...well, he did more than that. He threw me the keys to a 2010 Nissan GT-R and said, "I'll explain as you drive."

Mizuno said that the major difference between the 2010 model GT-R and its predecessor is the launching system. ("Please don't call it launch control!" he kept reminding me.) Nissan was forced to make revisions to this technology after dozens of busted transmissions (by folks who abused the system by using it repeatedly over a short period of time). The issue became so publicized that it led to a highly viewed You Tube parody starring an evil German dictator, which at the time of this writing had 204,900 views.

Mizuno and his team claim that this device was never intended for setting fastest quarter-mile times at your local drag strip. Its main function was to efficiently pop out of slippery driving surfaces, such as snow or mud. Yeah, right. I gave him a questioning stare. He pulled out the car's original owner's manual and said, "See for yourself."

Okay, he had a point. It did state that the system was to be used only when getting out of snow or mud.

But Mizuno said that because there was so much made about the system in its current state, he has made sure there will be no controversy next year. The "leave-the-line-efficiently-out-of-slippery-surfaces control" has been reprogrammed to launch the car at 3000 rpm instead of 4500. This dramatically eases the stress on the drivetrain, allowing the driver to use it repeatedly without worrying about breaking anything. Unfortunately, it also means the end of super-quick wheel-chirping snaps off the line. Still, even with this mellower version, the car is plenty fast.

The 2009 version now comes with the same reprogrammed software as the 2010. First, we tested the 2009 model. The car's original 0-60-mph using the launching system was 3.3 seconds. We recorded 3.4 sec. with the new software. There's much less drama when releasing the brake pedal, but it doesn't take long for all four tires to hook up. Now Mizuno asked me to launch "normally" — by using only one foot. So when I was ready, I took my right foot off the brake pedal and then mashed the throttle with the same foot. Again, no real drama when leaving the line, but the result was surprising. I recorded a 3.5-sec. 0-60-mph run. This means that you really don't need to initiate the launching mode anymore, unless for some crazy reason, you really savor that extra fraction of a second. This held true for the 2010 model as well.

Other changes for the 2010 car, which comes with an MSRP of $80,790 ($83,040 for the Premium Edition), include a new color mentioned above and a new black coating on the forged alloy wheels. But for driving enthusiasts, the only difference worth noting is the leave-the-line-efficiently-out-of-slippery...oh the heck with it, the only difference worth noting is the launch control.

Obama on Tonight Show urges students to study engineering, not finance

Enrollment in computer science is on the rise after six years of decline, and even President Barack Obama is urging students to eschew finance in favor engineering.

Obama's advice was offered on The Tonight Show with Jay Leno (See video). "We need young people, instead of -- a smart kid coming out of school, instead of wanting to be an investment banker, we need them to decide if they want to be an engineer, they want to be a scientist, they want to be a doctor or a teacher," the president said.

Obama didn't specifically cite computer science in his riff on Leno's show, but the message was clear. He would rather see students pursue "things that actually contribute to making things and making people's lives better -- that's going to put our economy on solid footing."

The economy may be helping to reverse a major shift away from computer science that began after the collapse of the dot.com bubble and the rise of offshore outsourcing. The total enrollment in U.S. computer science programs by majors is up 8.1%, according to the annual Taulbee Survey by the Computing Research Association. The survey only looks at a subset of the total computer science enrollments, those students at Ph.D.-granting institutions, but it's the first enrollment data to identify the trend. That subset shows an enrollment change from 28,675 to just over 31,000.

Peter Harsha, CRA's director of governmental affairs, said there's "increased optimism about the continued demand for CS graduates in the workforce. Students, and their parents probably, understand that even in these tough economic times, companies that want to innovate need graduates who can think computationally."

Harsha said, anecdotally, there "seems to be a growing understanding among some of the best students of the intellectual depth and societal benefits of computing. It's an intellectually rich, rewarding place to be." Story

Promiscuous antibody targets cancer

Researchers have challenged an old immunological dogma — that an antibody can bind to only a single target or antigen — by engineering an antibody to bind tightly to two distinct proteins.

The antibody, described in Science1, blocks two proteins: vascular endothelial growth factor (VEGF) and human epidermal growth factor receptor 2 (HER2). VEGF is thought to promote growth in tumours, and HER2 is highly expressed by some aggressive breast tumours.

Separate antibodies that target each protein individually are already used to treat some cancers: trastuzumab tackles HER2, whereas bevacizumab binds to VEGF.

Although researchers frequently come across antibodies that weakly bind to multiple targets, until now no antibodies have been found, or engineered, that specifically bind to two very different antigens.

The results are surprising, says Paul Parren, a senior vice-president of biotechnology company Genmab, which focuses on antibody therapies, based in Utrecht, the Netherlands. "You just didn't think about antibodies that way before. It makes you wonder if such molecules might also exist in nature."

Two-in-one

To create the antibody, Germaine Fuh at Genentech, a biotechnology company in South San Francisco, California, and her colleagues mutated an antibody for HER2 and then screened for mutants that bound to both HER2 and VEGF.

A similar approach is sometimes used to modify antibodies so that they bind a different antigen, and in 2006, researchers reported that they had used the technique to create antibodies that bound to two similar forms of botulinum toxin2. But Fuh's team is the first to use the technique to create antibodies that bind two unrelated proteins. "This could open the door to dual-targeting types of therapy," she says.

The structures of the bound proteins show that they attach to distinct, but overlapping, sites on the antibody. The antibody also slowed tumour growth in mice, but the mouse models used were designed to respond to either one antibody or the other and researchers do not yet know if targeting VEGF and HER2 simultaneously would enhance the cancer-fighting effect in human cancers.

Dosing difficulties

Fuh notes that antibodies which can target two proteins could dramatically reduce the cost of developing a combination therapy, which would normally require clinical trials with each antibody individually as well as in combination. A dual-targeting antibody, however, would be treated as a single drug.

Although it is possible that such antibodies could reduce costs, they could also present practical challenges in the clinic, says Parren. "How do you find the optimal dose for something that binds to two targets?" he says. This could be particularly important if one activity of the antibody is more toxic than the other. Fuh acknowledges that dosing difficulties could be a tricky to overcome, but says that the antibodies could also be engineered to bind their two targets with different efficiencies.

Combining two therapeutic antibodies is not always beneficial, even when both are at their optimal doses. Two studies published in February analysed antibody combinations in the treatment of colorectal cancer, and found that the combinations increased toxicity and reduced survival rates3,4. "Hopefully these cases are just exceptions, but they shows that preclinical research doesn't always tell you what's going to happen in the patient," says Parren. "If you've developed a two-in-one antibody, you will be less flexible at that point."

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