Portfolio | June 2015

Portfolio Exclusive to Emirates First Class and Business Class

Green enerGy Power From Waste PlacinG BiG Bets Microsoft’s New Approach skills MisMatch China’s Labour Problem

Margrethe

Vestager The EU Takes On Google

Issue 114 n June 2015

This issue JUNE 2015

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Cover Story 30 Google’s Steely Adversary Margrethe Vestager, former Minister of the Economy for Denmark and now the European Union’s commissioner for competition, has chosen a mighty adversary in Google. But Vestager, the “Iron Lady of Denmark”, is renowned for having the mettle to take on big tasks.

Features 36 China’s Changing Job Market

52 Television’s Kingmakers

A shrinking pool of migrant workers and a shortage of

HBO has been on a winning streak lately, but competitors

white-collar jobs for new college graduates points to a skills

like Netflix and Amazon are nipping at its heels.

mismatch that may affect China’s economy.

42 Turning Food Scraps Into Energy

56 A Far-Out Vision Microsoft, under CEO Satya Nadella, appears to be far more

It is estimated that in the US, food waste amounts to 34

willing to place big bets on new technology such as the

million tons a year. It mainly ends up in landfills, but there are

HoloLens.

now efforts underway to turn it into energy.

36

46 Clinging to a Future Beyond Film Kodak is a cautionary tale of what happens to a tech company when it is slow to change. The company is now mining its history in search of new tech ideas.

46

52

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Essentials 61 The Learned, the Fat and the Red Bologna is described by the three sobriquets, ‘La Dotta’ (learned) ‘La Grassa’ (fat) and ‘La Rossa’ (red) in reference to the city’s famed university, the bountiful culinary tradition and the colour seen in the resplendent architecture.

66 Giving Northern Cuisine Its Due The Northern Chef Alliance is trying to push northern US

61

cuisine to the fore and get rid of the misrepresentations that have grown around it.

70 Cutting In On the ‘Dancing Grannies’ China’s aging population, especially the women, gather in parks and squares for public dancing. But this has provoked the ire of residents and caused a national debate.

74 Teutonic Timepieces Since 1845 the small town of Glashütte has been the

66

cradle of German watchmaking and remains home to the prestigious watch manufactory, Glashütte Original.

76 A Twist to Arranged Marriages in India Online matchmaking, as well as urbanisation and cellphones, have altered the face of India’s arranged marriages.

80 A Modern Threat to Hue’s Heritage Hue’s World Heritage Sites have endured time, weather, modern armies and neglect, but the biggest threat they now

76

face is development.

Departments

84 Lake Nicaragua Under Threat

11 Notebook

The plan to build a $50 billion canal across Nicaragua, 90

World business in a nutshell.

kilometres of which would traverse Lake Nicaragua, could prove to be an environmental disaster.

19 Observer Spotting and analysing business trends.

28 Column: Thomas L. Friedman

88 Other Business Portfolio takes a light-hearted look at the latest business news.

Germany, the Green Superpower

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Portfolio

F O R

S H O P P I N G

L O V E R S

CA S T E L L A N A

S TO R E

S TO R E

M A D R I D / D I AG O N A L

DEPARTMENT STORES SPAIN & PORTUGAL

BA R C E LO N A

11

Notebook B U S I N E S S

N EW S

Eurozone Set for Growth

I N

B R I E F

and the economy, the commission said.

growth of 0.6 per cent, according to the

Lower oil prices, the euro’s depreciation

forecasts. Greece will grow 0.5 per cent

and steady global growth also are

in 2015, the commission projected. That

supporting the European economy.

compares with a 2.5 per cent prediction

A significant weakening in the euro and a decrease in the price of oil has

published in February.

Euro-area consumer prices ended a

The european Commission raised its

also helped the euro area recovery, the

euro-area growth forecast as the impact

commission said. The euro has fallen

four-month streak of declines in April,

of a weaker euro and the unprecedented

more than eight per cent against the

underpinning ECB President Mario

monetary stimulus help the economy

dollar since the start of year. The cost of

Draghi’s claim that his programme

overcome pressure on confidence from

oil decreased by more than half since a

of quantitative easing is already having

the continuing crisis in Greece.

peak in June.

an impact.

Yet while the euro area is slowly

Unemployment in the euro bloc

19-nation currency bloc is forecast to

recovering, France, the bloc’s second-

looks set to “remain intolerably high

increase 1.5 per cent this year, up from

largest economy, will not expand as

for a long time,” according to Marco

1.3 per cent in February, according to

quickly in 2016 as the EU forecast just

Buti, the head of the commission’s

the commission.

three months ago. France will grow by 1.1

economics department. It will gradually

per cent this year while Italy, the third-

decrease from a projected 11 per cent

quantitative-easing programme “is having

largest Eurozone economy, will see its

this year to 10.5 per cent in 2016, the

a significant impact” on financial markets

debt pile get larger this year as it records

commission said.

Gross domestic product in the

Photos: Getty Images, Reuters

in the EU’s most recent forecasts

The European Central Bank’s

June 2015

12

Notebook N u m b e r s

G a m e

The world in figures

60%

of the 41.8

auction. The previous world

million tonnes

record was £90.5million for British

of electronic waste thrown away

painter Francis Bacon’s Three

in 2014 is dominated by kitchen

Studies of Lucian Freud

waste including microwaves

in 2013.

and dishwashers according to a UN report. The report found the US to top the e-waste list by

$22

$1.6

million acquisition

generating 7,072 kilotonnes last

of Colgate-Palmolive’s laundry

year. China came second with

brands in Australia will make

6,032 kilotonnes and Japan third

German consumer goods giant

with 2,200 kilotonnes.

Henkel one of the biggest players in the Australian market with a

12 billion worth of deals struck between China and India is set to boost economic ties between the neighbours. The agreements have a bilateral commercial engagement in sectors such as renewable energy, industrial parks, power, steel, logistics finance and media and entertainment.

€220

-year-old Zuriel Oduwole, recognised as the world’s youngest filmmaker, has made four films and interviewed 14 heads of state including the presidents of Tanzania and Kenya. The young trailblazer was named

by Business Insider as one of the world’s 100 most powerful individuals last year.

portfolio of brands such as Persil, Schwarzkopf, Fa and Loctite. The transaction will be completed in the third quarter of the 2015.

£1.3

billion innovation fund needs to

be drummed up by the global pharmaceutical industry, says a UK government-appointed

trillion in

of the GDP of the continent. Air

financial cost

pollution has long been known to

is borne by Europe every year

be a major environmental burden,

due to air pollution according to

but the costs in human and

Picasso’s Women of Algiers has

people a year worldwide by

the World Health Organisation.

economic terms have not been

set a new record for the most

2050 and cost $100 trillion in

This equates to about a tenth

categorised before.

expensive painting to sell at an

economic output.

research team. The research

£102.6

million

findings warn that drug-resistant

for

microbes could kill 10 million

Gucci Sues Alibaba China’s leading online marketplace Alibaba, is being sued by the owner of Gucci, Yves Saint Laurent, Puma and other fashion brands.

Paris-based Kering has accused the firm of making it possible for US shoppers to order counterfeit goods in bulk from Alibaba’s various websites. The lawsuit follows a failed attempt to resolve the matter outside the courts.

Kering originally took legal action against Alibaba last July, but dropped the case after the two sides agreed

to discuss possible anti-counterfeit measures. Following the breakdown of talks, the French firm has filed a fresh, lengthy complaint with a court in New York.

This is not the first time Alibaba has been criticised over illegal sales made using its platforms. Its Taobao shopping service had appeared on the US Trade Representative’s list of “notorious markets” until 2012, at which point the US authorities recognised it was making efforts to combat the problem.

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Notebook Workers Lack Job Security Only one quarter of workers around the world have permanent jobs, according to a report by the International Labour Organisation (ILO). The remaining three quarters of the workforce are employed on temporary or short-term contracts, along with informal jobs often without a contract.

The ILO also found that many workers without full-time employment have no pensions or benefits.

The UN agency said the study covered about 84 per of the global workforce.

Part-time jobs outpaced full-time ones between 2009 and 2013 in a majority of countries where the data was available. The ILO says flexibility in employment does

widespread insecurity that’s affecting many

have some advantages, but it also adds to

workers worldwide today,” he added.

the risk that workers will be exploited.

The study shows an increasingly

Women were a big part of the current

Meanwhile, the income gap between permanent and non-permanent workers has also increased as benefits such as pensions

trend of rising part-time employment,

and unemployment benefits are still mainly

diversified global workforce, said director-

according to the ILO. They accounted for

available for permanent employees.

general Guy Ryder, with some forms of

24 per cent of people working less than

“non-standard” work helping people get

30 hours per week across 86 countries –

governments to ensure income security

a foothold into the job market. “But these

nearly double the percentage of men at

for all types of workers, not just those on

emerging trends are also a reflection of the

12.4 per cent.

“stable contracts”.

The ILO is calling for policies by

Students Lucrative for UK Economy Analysis by London First and PwC suggests

UK. The students support nearly 70,000

students attending London universities –

international students contribute £2.8

jobs in London. And despite Home Office

making up 18 per cent of the total student

billion each year, while providing them

concerns about international students

population in the capital, and 22 per cent

with public services costs £540 million.

overstaying after completing their studies,

of the 310,000 international students

the report says only 12 per cent stay in the

across the UK.

The report by the business lobby London First and the PricewaterhouseCoopers (PwC) consultancy aims for the first time to quantify the economic costs and benefits

UK after graduating.

According to the report, in 2013/2014 there were almost 67,500 international

Yet more than a third of students surveyed said the complexity of the immigration system had impacted

of non-EU international students studying

negatively on their experiences as UK

at the capital’s universities to both London

students. The report reflects widespread

and the UK economy.

concerns about anti-immigration rhetoric

Far from being a burden to public

surrounding international students who

services such as the NHS, the report says

are currently included in the government's

international students contribute £1.32

net migration target, and fears that

billion in fees; £1.36 billion in subsistence

Britain's higher education sector is losing

spending, and £121 million from their

out to other countries, which are seen as

friends and families who visit them in the

more welcoming.

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+++ ++ + ++++++ +++ + +++Ras + alAjman ++++++ Khaimah Sharjah +++ ++++ +++++++ +++++++++++++++++ Dubai ++++++ ++++ ++++++++++++++++++++ ++++++++ Jebel Ali ++++ ++ +++++++++++++++++++++++ ++ +++++ +++ ++ + ++++++++++++++++++++ ++++++++Fujairah + +++ ++ + + + + + + + + + + + + + + + + + + + ++++++++ +++++ +++ ++ +++++ + ++++ ++++++++ ++++++++++++ + +++++++++++++++++++++ ++ +++++++++++++++++++++++++ + + + + + + + + + + + + + + + ++++++++ ++++++++ +++++++++++++++++ +++++++ +++++++ Dhabi ++++++++ +++++Abu ++++++++++++++++++++++++++ +++++++++ + + + + + + + +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Al Ain ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ ++ +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ +++++++++++++++++++++++++++++++++++++++++++++++++++++ +++++++++++++++++++++++++++++++++++++++++++++++++++++ +++++++++++++++++++++++++++++++++++++++++++++++++++++ +++++++++++++++++++++++++++++++++++++++++++++++++++ 8-10 ++++++++++++++++++++++++++++++++++++++++++++++++ ++ +++++ + + BUILDING HEALTHCARE +++++++++++++++++++++++++++++++++ +++++++ +++++++ ++++++++ + + + + ++++++++++++++ ++++++++ ++++++++ Dubai International Convention & + +++ ++++ ++ +++++ +++++++ +++++++ +++++++ Exhibition Centre + +++++++ + ++ +++++ ++++++++++++++++++++ buildinghealthcare-exhibition.com +++++ ++++++++ D U B A I D I A R Y ++ +++++ ++++++++ This event provides a platform to discuss +++++++ ++++++++ +++++ +++++++ new healthcare projects, share best practice ++++++++ ++ in design and construction, and source ++++

Notebook

UNITED ARAB EMIRATES

June 2015 2-3

MIDDLE EAST EVENT SHOW JW Marriot Marquis Dubai me-eventshow.com Now in its fifth year, this networking event gives visitors the opportunity to source new MICE, as well as entertainment industry suppliers. Management agencies, conference organisers and marketing and public relations agencies will all benefit by comparing hundreds of products and services under one roof and mingling with top suppliers in the event industry. GES (Global Experience Specialists) will be hosting Event Central this year, which is an integral part of the show. GES will enable exhibitors to reach a global audience by providing creative suggestions, technology and hosting talks that will promote an exchange of ideas.

2-4

AUTOMECHANIKA DUBAI Dubai International Convention & Exhibition Centre automechanikadubai.com This leading trade fair for the automotive industry covers the full range of automobile,

accessories and tools. Visitors can find out more about new products, source new suppliers and compare product alternatives.

Last year the show drew 1,696 exhibitors from 59 countries and 28,709 visitors from 130 countries. This edition is even bigger with the launch of new products and attracting world-class auto parts manufacturer including Besf1ts, Spheros and ACDelco.

8-9

iOTX (INTERNET OF THINGS EXPO) Dubai World Trade Centre iotx.ae The region’s first dedicated Internet of Things event will bring together the finest minds in IT, as well as practitioners and innovators from business and government to discuss and create smart ecosystems.

The event will contribute by promoting local and regional firms to explore business opportunities in a society increasingly buying into internet-ready devices, machines and product feature. There will be several seminars, conferences and roundtable session showing how practical issues can be solved using IoT technologies.

technologies and services that will maximise facility operations and improve patient experience. Key topics being discussed involve designing user-friendly facilities, adopting a patient-centred approach to healthcare investment, and successfully using technology. The three-day event will culminate in an awards ceremony with the world’s top builders competing in the toughest category for building exceptional hospital facilities in the Middle East. The ‘People’s Choice Award’ is a new award category introduced this year and will be voted for by visitors at the exhibition.

11-13

INDIAN PROPERTY SHOW Dubai World Trade Centre indianpropertyshow.com Non-resident Indians can catch a first glimpse of brand new commercial and residential projects being unveiled by some of the biggest Indian property developers.

More than 400 projects will go display and there will be plenty of pre-launch offers, discounts on sizeable upfront payment, free to attend investment seminars, free legal advice, and vaastu consultation. There will also be a raffle draw offering buyers a chance of winning amazing prizes such as money and apartments.

Portfolio

Observer BUSINESS NEWS IN BRIEF

A Low-Tech Addition Uber is renowned for its ultramodern car service, but in Delhi it is trying to make auto rickshaws part of its business model, reports Nida Najar.

always there, we are just making it more convenient and more Uber.”

“More Uber” in this case means making do with what exists. Auto rickshaws are a far cry from the Cadillac Escalades and Lincoln Town Cars used to ferry professionals in San Francisco and New York when the company started out. The

© 2015 New York Times News Service

three-wheeled vehicles are light on shock Auto rickshAws Are the mangy

clinging to the sides of the vehicles. Few

absorption to cushion teeth-clattering

donkeys of New Delhi transport, glorified

use their meters without a fight. Now

rides over potholed streets. And seatbelts

golf carts that are a cheaper open-air

Uber, the app-based car service that

are not an option, leaving riders gripping

alternative to taxis, and whose drivers

made its name matching technology

their seats for security. But the company

enthusiastically embrace Delhi’s perpetual,

with luxury, is trying to expand its

is trying, at least, for a new emphasis on

honking traffic chaos.

ultramodern business model from cars

niceties that have rarely been part of the

to Delhi’s auto rickshaws, which are the

auto rickshaw experience.

Some of the green-and-yellow “autos” come equipped with speakers in the back that blare Bollywood hits. Many drivers

definition of retrograde.

“Autos are pretty much the lifeline of

“They tell us to say ‘namaste,’” a common Indian greeting, said Baljeet

will allow more than the legal maximum

Delhi,” said Gagan Bhatia, the general

Kumar, 35, a driver or “autowallah”

of three riders, leaving some passengers

manager of Uber Delhi. “The product was

who recently sat through an hour-long

June 2015

19

20

Observer Uber training course. Until now, his

Kumar said that most of the drivers in

job demands had less to do with polite

his training class of 60 had no idea how to

chitchat than with the cunning it takes to

use the app on the Samsung smartphones

navigate streets filled not only with cars

they were given. “It’s all in English and

and buses, but also cows, stray dogs and

many of them are illiterate,” he said.

peddlers who rush up to vehicles caught in

Ola has its driver interface in Hindi and

traffic to thrust their wares at riders.

other regional languages. Plus, many auto

Uber encourages drivers to use their meters, and pays its drivers an additional

drivers he knows are reluctant to sign up, wondering how Uber makes money.

40 rupees (just over 60 cents) per ride

“A lot of them are innocent, and they

on top of the fare, according to drivers.

are scared,” he said. They wonder if Uber

It also encourages drivers to live by the

will one day take their vehicles, he said.

three-rider limit and to use GPS on the

“They are perplexed. Where is Uber

smartphones it provides rather than the

getting their earnings from?”

usual method of finding directions to an

For the moment, the company is not

unknown address – shouting to passers-by

making money from the auto rickshaws

to see if they know the way.

in Delhi, putting its emphasis for now

his smartphone from Uber, which he

on signing up new drivers. Bhatia would

mounted just above a bronze miniature of

free of certain inconveniences that typify

not divulge the number of auto rickshaws

the Hindu monkey god Hanuman.

an April afternoon auto ride in Delhi: the

that have joined the service, other than

oppressive heat, made worse by occasional

to say “not enough.” Indeed, several

some successes. On three recent auto

gusts of rancid-smelling air, and the

recent attempts to book Uber autos were

rickshaw rides booked through Uber,

nuisance of a mattress-laden wagon

unsuccessful because there were none

the drivers did not attempt the normal

attached to a bicycle moving slowly down

available in the area.

litany of reasons for not turning on their

Still, the drive with Kumar was hardly

the road.

Pawan Kumar, 30, who has signed on

Despite its difficulties, Uber has had

meters (“Madam, there’s lot of traffic.” Or,

as a driver with Uber, said so far he books

“Madam, it’s Sunday.” Or, “I won’t find a

in April, is part of an effort to expand

just two or three passengers a day through

passenger at the other end of the ride.”)

quickly in a country that it says is already

the app, compared with about 15 a day

its second largest market, but where it

from the road and up to 10 from Ola.

clicking on their meters, then puttered

faces stiff competition. Ola, an app-based

On a ride last week, he navigated using

into traffic.

For Uber, the new service, which started

Instead, they started the ride by quietly

competitor that operates in 100 Indian cities to Uber’s 11, offered auto rickshaw rides months ago.

Uber is also fighting its way back from a public relations disaster. Last year, a passenger in Delhi alleged that her Uber driver raped her, and the company faced criticism for its licensing and screening procedures. The city promptly banned app-based taxi services, but Uber has continued to operate by offering rides in Delhi without taking a commission, until what they describe as the regulatory ambiguity is resolved.

Even apart from that episode, the marriage of Uber and auto rickshaw has had its share of problems.

Portfolio

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Observer

22

O N E

2

w a t c h

Text: Hilda D’Souza

as network gear maker Meraki for $1.2 billion in 2012.

Analysts say Robbins faces the formidable task of steering the networking giant through disruptive industry changes, as well as transitions within his own company. Robbins will need to steer Cisco as it moves into emerging areas such as the Internet of Things, new private Cloud deployments that is estimated to be a $50 billion business, and next-generation online security and new architectural plays such as software defined networking that offers a whole new way to build networks that makes them faster, cheaper and easier to manage.

Chuck Robbins CEO, Cisco Systems

Robbins is looking to leverage from these emerging technology, including the “Internet of Things” that he believes could expand the market opportunity for Cisco tenfold.

Robbins said that, “The opportunity that lies

Cisco Systems, the US computer network

ahead for Cisco is enormous, and the ability

giant, has elected company veteran Chuck

to lead this next chapter is deeply humbling

Robbins as its new chief executive officer.

and incredibly exhilarating.” Talking of his

Robbins is currently Cisco’s senior vice

future plans he added, “I am focused on

president of worldwide sales. He succeeds

accelerating the innovation and execution

long-serving head, John Chambers, who

that our customers need from us. Their

will still be involved with the company

success will continue to drive us. At a

as executive chairman. Robbins will

time when our industry is on the cusp

assume the CEO position from Chambers

of more disruption than we’ve ever

on July 26.

encountered, I couldn’t be more confident

Robbins, 49, has steadily risen through the ranks at Cisco for the past 17 years,

Photos: Getty Images

working mostly on sales. In his most recent

in our ability to win, or more honoured to lead this great company”.

That said, the challenges for Robbins to

role as vice president of worldwide field

keep Cisco relevant are significant. “It’s not

operations he led the company’s global

smooth sailing from here,” said a senior

sales and has been responsible for driving

analyst at Needham. “At the end of the

annual sales revenues of $47 billion. He

day, there are lots of challenges. They’re

is also credited with helping grow the

a low-growth company and struggling to

company in the commercial business

sustain margins. They’ve got a lot of work

segment, that now makes up 25 per cent

in front of them to stay relevant. The trends

of revenue, by playing a key role in recent

of open source and open environment fly in

acquisitions such as security company

the face of Cisco’s business model over the

Sourcefire for $2.7 billion in 2013, as well

last decade.”

++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ Fossil Fuel ++++++++++++++++++ ++++++++++++++++++ Subsidies ++++++++++++++++++ ++++++++++++++++++ Fossil fuel companies are benefitting ++++++++++++++++++ from global subsidies of $5.3 trillion ++++++++++++++++++ a year, equivalent to $10 million ++++++++++++++++++ ++++++++++++++++++ every minute of every day, according ++++++++++++++++++ to a startling new estimate by the ++++++++++++++++++ ++++++++++++++++++ International Monetary Fund. ++++++++++++++++++ The IMF calls the revelation ++++++++++++++++++ ++++++++++++++++++ “shocking” and says the figure is an ++++++++++++++++++ “extremely robust” estimate of the true ++++++++++++++++++ ++++++++++++++++++ cost of fossil fuels. The $5.3 trillion ++++++++++++++++++ subsidy estimated for 2015 is greater ++++++++++++++++++ than the total health spending of all the ++++++++++++++++++ ++++++++++++++++++ world’s governments. ++++++++++++++++++ The vast subsidy derives largely ++++++++++++++++++ ++++++++++++++++++ from polluters not paying the costs ++++++++++++++++++ imposed on governments by the burning ++++++++++++++++++ ++++++++++++++++++ of coal, oil and gas. These include the ++++++++++++++++++ harm caused to local populations by ++++++++++++++++++ ++++++++++++++++++ air pollution as well as to people ++++++++++++++++++ across the globe affected by the floods, ++++++++++++++++++ droughts and storms being driven by ++++++++++++++++++ climate change. ++++++++++++++++++ The IMF, one of the world’s most ++++++++++++++++++ ++++++++++++++++++ respected financial institutions, said that ++++++++++++++++++ ending the subsidies to fossil fuels would ++++++++++++++++++ ++++++++++++++++++ cut global carbon emissions by 20 per ++++++++++++++++++ cent. That would be a giant step towards ++++++++++++++++++ ++++++++++++++++++ taming global warming, an issue on ++++++++++++++++++ which the world has made little progress ++++++++++++++++++ to date. ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ ++++++++++++++++++ Portfolio

24

Observer Japan’s Economy Gains Pace Japan’s economy grew faster than

Japan’s economy is facing some

expected between January and March,

headwinds though. Wages have remained

boosting hopes that the economy is

stagnant for several years, which

recovering from last year’s recession.

combined with a weaker yen, makes

The economy expanded 0.6 per cent in the period compared to the previous quarter, marking its second consecutive

imported goods more expensive for consumers on the home front.

On the upside however, the weaker

quarter of growth. The result was also far

yen does give a boost to the country’s

better than the 0.4 per cent analysts had

big exporters, like Toyota, as it makes

expected. On an annualised basis, the

their goods cheaper to buy overseas. It

economy grew 2.4 per cent in the period

also helps their bottom line when they

against forecasts of 1.5 per cent.

repatriate money made from overseas

Japan relies on domestic consumption for about 60 per cent of its economy,

operations.

The Bank of Japan’s current easing

but it has been recovering from a sales

programme is designed to stimulate

tax hike which has dampened spending.

the country’s economy by encouraging

Private consumption and capital spending

more lending, which in turn should see

were both up 0.4 per cent in the quarter,

increased consumer spending. It also

but capital spending was expected to rise

hopes to drive greater investment activity

chances of further near-term easing

by 0.8 per cent.

and boost inflation.

has diminished.

The latest growth figures mean the

Scottish Housing Boom The centre of Britain’s house price boom has shifted to Scotland, according to official figures which show the annual

cent, the UK Office for National Statistics said.

The average sale price for a home in the UK was £273,000,

rate of increase there accelerated to 14.6 per cent in the year to

and for first-time buyers it was £206,000, raising fresh

March 2015.

concerns about affordability.

Price growth in the Scottish market is significantly outpacing that in London, where prices are increasing at a rate of 11.2 per

Separate figures from the Council of Mortgage Lenders showed a mild recovery in lending during March – but led by increases in lending to landlords, with fewer loans advanced to first-time buyers, who borrowed £9 billion in the first quarter of 2015, down twelve per cent on the same period last year. Buy-to-let lending soared to £7.8 billion, up 28 per cent on the first quarter of 2014.

The marked bounce in Scottish house prices comes after a prolonged period in which the country enjoyed lower price inflation than London and the south-east.

Prices in Edinburgh fell markedly after the credit crunch hit the city’s major employers particularly hard – especially RBS and Bank of Scotland.

The figures suggest expectations that the falling oil price would send prices spiralling downwards were wide of the mark, although some of the increase may be down to stamp duty changes.

Portfolio

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26

Observer T H E

W O R L D

toP Text: Hilda D’Souza

1o

uBs Pays $545 million settlement

AMERICA’S MOST EXPENSIVE ZIP CODES Rank

addRess

1.

94027 Atherton CA

PRice $ 9,026,885

2.

11962 Sagaponack NY

6,433,077

3.

10013 New York NY

6,054,610

4.

10065 New York NY

5,931,289

5.

10075 New York NY

5,368,191

6.

7620 Alpine NJ

5,025,423

7.

81656 Woody Creek Co

4,953,269

8.

10011 New York NY

4,902,866

9.

10014 New York NY

4,859,972

10

10012 New York NY

4,773,818

Source: Forbes

MOST INNOVATIVE COUNTRIES Rank

countRies

1.

South Korea

scoRe 96.30

2.

Japan

90.58

3.

Germany

88.41

4.

Finland

88.38

Swiss bank UBS has paid US authorities a total of $545 million to settle an investigation into the manipulation of foreign exchange rates. The total includes a $203 million fine after

5.

United States

86.92

UBS pleaded guilty to a charge it rigged Libor benchmark

6.

Sweden

86.52

interest rates.

7.

Singapore

84.92

US and UK authorities are expected to hand out penalties

8.

France

84.66

9.

United Kingdom

83.90

to major banks totalling about $5 billion related to the foreign

10

Denmark

83.82

Source: Bloomberg

aRtist

1.

Andy Warhol

Banks have sought to avoid criminal charges, which can add complications to their businesses. UBS rival Credit Suisse Group

WORLD’S TOP SELLING ARTISTS Rank

exchange investigation.

total sales ($m)

AG, pleaded guilty last year to a charge of aiding US tax evasion

653.21

by providing undeclared Swiss bank accounts to American

2.

Pablo Picasso

448.74

clients. Credit Suisse has experienced some wrinkles in its US

3.

Fracis Bacon

306.05

businesses as a result of the plea, related to its ability to manage

4.

Gerhard Richter

294.68

5.

Mark Rothko

281.05

money for pension funds and to quickly raise capital.

6.

Qi Baishi

252.62

French bank BNP Paribas SA pleaded guilty last year to dealings with sanctioned countries.

7.

Claude Monet

252.07

8.

Alberto Giacometti

235.24

UBS is expected to be one of a handful of big banks that are

9.

Zhang Daqian

226.97

soon to settle foreign-exchange rigging probes with the Justice

10

Jean-Michel Basquiat

172.19

Department. Barclays PLC, J.P. Morgan Chase & Co., Citigroup

Source: Bloomberg

Inc., and Royal Bank of Scotland are expected to enter guilty pleas related to the foreign-exchange probes.

Portfolio

Commentary

28

Thomas L. Friedman how about national power? Two generations after World War II, Germany’s reticence to project any power outside its borders is deeply ingrained in the political psyche here. That is a good thing, given Germany’s past. But it is not sustainable. There is an impressive weight to Germany today – derived from the quality of its governing institution, its rule of law and the sheer power of its economy built on midsize businesses – that is unique in Europe.

When you talk to German officials about Greece, their main complaint is not Photo: Corbis

about Greek fiscal policy, which is better lately, but about the rot and corruption in Greece’s governing institutions. The

Germany, the Green Superpower

Greeks “couldn’t implement the structural

A week At the American Academy in

make them mainstream, affordable options.

institutions are a mess.

Berlin leaves me with two contradictory

And, in that, the Energiewende has been an

With the United States less interested in

feelings: One is that Germany today deserves

undiluted success. With price drops of more

Europe, Britain fading away both from the

a Nobel Peace Prize, and the other is that

than 80 per cent for solar, and 55 per cent for

European Union and the last vestiges of its

Germany tomorrow will have to overcome its

wind, zero-carbon energy is now competitive

being a global military power, France and

deeply ingrained post-World War II pacifism

with fossil fuels here.

Italy economically hobbled and most NATO

and become a more serious, activist global

German financial official said to me. Athens’

members shrinking their defence budgets,

happily, as the price fell, the subsidies for

I don’t see how Germany avoids exercising

new installations also dropped. The Germans

more leadership. Its economic sanctions

done in converting almost 30 per cent of

who installed solar ended up making money,

are already the most important counter to

their electric grid to renewable energy from

which is why the programme remains

Russian aggression in Ukraine. And in the

near zero in about 15 years has been a great

popular, except in coal-producing regions.

Mediterranean Sea, where Europe faces a rising

contribution to the stability of our planet and

Today, more than 1.4 million German

tide of refugees (and where Russia and China

its climate. The centrepiece of the German

households and cooperatives are generating

just announced that their navies will hold a

Energiewende, or energy transformation,

their own solar/wind electricity. “There

joint exercise in mid-May), Germany will have

was an extremely generous “feed-in tariff”

are now a thousand energy cooperatives

to catalyse some kind of EU naval response.

that made it a no-brainer for Germans to

operated by private people,” said energy

install solar power (or wind) at home and

economist Claudia Kemfert.

power. And I say both as a compliment.

On the first point, what the Germans have

receive a predictable high price for the energy

And it has created so much pushback

The relative weight of German power visà-vis the rest of Europe just keeps growing, but don’t say that out loud here. A German

against the country’s four major coal/

foreign policy official put their dilemma this

nuclear utilities that one of them, E.On,

way: “We have to get used to assuming more

the feed-in tariff was expensive. The subsidies

just split into two companies – one focusing

leadership and be aware of how reluctant

cost billions of euros, paid for through a

on squeezing the last profits from coal, oil,

others are to have Germany lead – so we have

surcharge on everyone’s electric bill. But the

gas and nuclear, while the other focuses on

to do it through the EU.”

goal was not simply to buy more renewable

renewables. Germans jokingly call them

energy: It was to create demand that would

“E.Off” and “E.On.”

generated off their own rooftops. © 2015 New York Times News Service

This is a world-saving achievement. And,

reforms they needed, if they wanted to,” one

There is no denying that in the early days

drive down the cost of solar and wind to

So if that’s the story on renewable power,

Here’s my prediction: Germany will be Europe’s first green, solar-powered superpower.

Portfolio

CASHMERE, SILK & CROCODILE CONCEPT

Profile

30

G O O G L E ’ S S

T

E

E

L

Y

A D V E R S A R Y MARGRETHE VESTAGER, FORMER MINISTER OF THE ECONOMY FOR DENMARK AND NOW THE EUROPEAN UNION’S COMMISSIONER FOR COMPETITION, HAS CHOSEN A MIGHTY ADVERSARY IN GOOGLE. BUT VESTAGER, THE “IRON LADY OF DENMARK”, IS RENOWNED FOR HAVING THE METTLE TO TAKE ON BIG TASKS, REPORT NATASHA SINGER AND JAMES KANTER. Portfolio

31

June 2015

Profile

32

Margrethe Vestager, the European

grudge, we have no fight with Google,”

toughness in a phone interview recently,

Union’s commissioner for competition,

she told an audience after a speech at

Vestager acted taken aback. “I don’t think

who recently took on the colossus that is

the Peterson Institute for International

of it as toughness,” Vestager said.

Google, has a reputation for toughness.

Economics. “We have a focus on a certain

She is also an accomplished knitter. Last

Of her approach to her new job, she

conduct, a certain behaviour, which, if our

added: “Consumers depend on us to make

year, as Vestager was leaving her job as

doubts are going to be proven, we would

sure that competition is fair and open, and

Denmark’s minister of the economy, she

like to change because we believe that it

it’s my responsibility to make that happen.”

gave her successor a hand-knit toy elephant

hampers competition.”

– she often works on them during staff

The charges Vestager levelled against Google jump-start an antitrust case against

meetings – noting that the animals “bear

Vestager took oVer as the

the company that had been percolating

no grudge, but they remember well.”

European antitrust chief last autumn after

in Brussels for more than five years. The

having served as Denmark’s minister for

overarching issue is whether Google abused

Vestager, who was recently in Washington

the economy and the interior. The fact

its market dominance. In some countries in

meeting with government officials,

that she had the mettle to take on Google

Europe, Google has a 90 per cent or larger

making television appearances and public

comes as no surprise to her political

market share, giving it greater dominance

speeches – and being barraged with

colleagues and rivals back home. In

than in the United States.

questions about Google.

certain circles, she is known as the “Iron

That is something of a motto for

In Brussels recently, she filed formal antitrust charges against the company,

Lady of Denmark.”

As minister of the economy, for instance,

Vestager’s predecessor, Joaquín Almunia, had pursued a wide-ranging investigation into the company’s

saying that the search engine giant

she pushed for changes to Denmark’s

practices. But he tried and failed three

had abused its market dominance

generous social welfare benefits, including

times to reach a settlement with Google.

by systematically favouring its own

substantially curtailing unemployment

She has taken a narrower and more

comparison shopping service over those

benefits. Subsequently, a group of jobless

assertive approach. “It was obvious that a

of its rivals. If Google fails to refute the

builders presented her with a gift: a life-size

negotiated solution was not a possibility,”

charges, the company could face a fine of

sculpture of a hand with a raised middle

Vestager said in the phone interview. “So I

more than ¤6 billion.

digit. She keeps the artefact prominently

felt we should go in another direction.”

On a recent Thursday afternoon, Vestager, 47, was sitting with notably confident bearing on a stage in

displayed on a coffee table at her office in the European Commission.

“You can accuse Margrethe Vestager

That direction was filing formal charges, called a statement of objection, accusing Google of favouring its own comparison

Washington and listening to an audience

of many things,” said Bo Lidegaard, the

shopping service, called Google Shopping.

of policy wonks and technology trade

editor-in-chief of Politiken, a Danish

In practical terms, the commission found

group executives challenge that decision.

newspaper, “but not of being afraid.”

that when a consumer used Google to

Why pursue Google for anti-competitive

When asked about her reputation for

search for shopping-related information,

practices, her American interrogators wanted to know, when antitrust regulators in the United States had closed a similar inquiry without formally finding wrongdoing? And why bother with the online shopping sector at all, they asked, when Google was competing with the likes of Amazon?

Vestager delivered her standard, steely, it’s-not-personal rebuttals. “We have no

Right: The commission found that when a consumer used Google to search for shopping-related information, the site systematically displayed the company’s own comparison product at the top of the search results.

Portfolio

33

The facT ThaT she had The meTTle To Take on GooGle comes as no surprise To her poliTical colleaGues and rivals back home. in cerTain circles, she is known as The “iron lady of denmark.” the site systematically displayed the company’s own comparison product at the top of the search results – “irrespective of whether it is the most relevant response to the query,” Vestager said in a commissionissued statement about the charges.

Google has 10 weeks to respond, she said, and has the right to call a hearing to present the company’s views. In a recent blog post, Amit Singhal, senior vice president for Google Search, disputed the charges. “While Google may be the most used search engine, people can now find and access information in numerous different ways – and allegations of harm, for consumers and competitors, have proved to be wide of the mark,” he wrote.

Vestager may have a wider agenda. In addition to the formal complaint related to Google Shopping, Vestager said her office was still looking into accusations that Google had restricted its advertising partners from using rival platforms and that it scraped online content from competitors. She also announced a separate “in-depth investigation” into accusations of anti-competitive company practices regarding Google’s relationships with device manufacturers that rely on its Android operating system.

In a recent blog post, a Google executive said the company’s partnerships with manufacturers that relied on Android were voluntary and offered June 2015

Profile

34

If Vestager preVaIls agaInst google It could make It easIer for her to brIng a case agaInst gazprom, the russIan natIonal gas behemoth, a company whose market power her offIce Is also InVestIgatIng. benefits to consumers and manufacturers.

Long-time observers of Vestager

form a coalition government in 2011,

well as with Google executives. After that,

she insisted that her counterpart, Helle

she decided that the case had merit.

theorised that she had chosen to initially

Thorning-Schmidt, the leader of the

pursue a narrow case in which she had the

centre-left Social Democrats who is now

most confidence, while keeping pressure

Denmark’s prime minister, agree to major

on her adversary to settle by opening

budget reforms.

parallel lines of inquiry.

“When they emerged” from the talks,

“It was my responsibility to take the case forward,” Vestager said.

But tackling Google first was also a strategic move. If Vestager prevails against Google, some antitrust experts say, it

Lidegaard, the newspaper editor, said,

could make it easier for her to bring a case

it’s about how much power she has

“there were countless points on which

against Gazprom, the Russian national

and how much power her adversary

you could accuse Helle and the Socialists

gas behemoth, a company whose market

has,” says Martin Krasnik, the host of

of giving up promises and not one major

power her office is also investigating.

a late-night current affairs show on

point where Margrethe had lost, or where

Danish national television who describes

she said she had to compromise.”

“It’s about power. Any deal she makes,

“There is a new marshal in town,” says Christian Bergqvist, an associate professor of competition law at the University of

Vestager as the most impenetrable

Vestager says there’s no mystery to why

politician he has ever interviewed.

she chose to grapple with Google. After she

Copenhagen. “She wants to send a signal

arrived in Brussels, she says, she simply

that she is tough on crime.”

“She’s totally unsentimental,” he said.

asked the commission’s staff to update the

Among antitrust regulators, Vestager

Vestager came to prominence in

files on the Google case and then she met

may be the only marshal self-assured

Denmark as the leader of the centrist

executives at companies who had accused

enough to carry around half-knitted

Social Liberal Party. During talks to

Google of anti-competitive practices, as

elephants in her purse.

Portfolio

Employment

36

China’s Changing Job Market A shrinking pool of migrant workers and a shortage of white-collar jobs for new college graduates points to a skills mismatch that may affect China’s economy, reports Neil Gough.

Portfolio

37

The job market – and its lopsided pockets of supply and demand – presents a critical test for policymakers. For more than a decade, China’s urban workforce swelled and incomes rose in the double digits, matching or exceeding the heady economic growth rates in those years.

is booming, driving job creation across the entire economy. Around 300 million people now work in services in China, accounting for nearly 40 per cent of the world’s largest workforce. But workers are not easily making the switch. Unskilled or semiskilled workers like Wang can be a bit choosier now as growth of the pool of migrant workers slows. At the same time, soaring university enrolment means new graduates often struggle to find the high-paying white-collar jobs they were expecting.

The job market – and its lopsided

W

pockets of supply and demand – presents ang Junping worked as a farmer in his native Hebei

a critical test for policymakers. For more

Agriculture jobs have been declining

than a decade, China’s urban workforce

for years, the result of urbanisation

swelled and incomes rose in the double

miner in Inner Mongolia. But on a recent

and the country’s continuing economic

digits, matching or exceeding the heady

afternoon, Wang, 49, smartly dressed in

transformation. And China’s huge

economic growth rates in those years.

a suit jacket, was awaiting lessons at an

manufacturing sector is showing

Now, the nation’s economic outlook is

employment agency on the proper way to

new signs of stress, as some

slowing. Gross domestic product rose

use a broom and mop to clean Beijing’s

companies struggle with rising debt

seven per cent in the first quarter, which

sprawling subway system.

and rampant overcapacity.

represents the slowest quarterly growth

province and as a coal

A high school graduate, Wang quit his © 2015 New York Times News Service

China has a job market mismatch.

China’s services business, which

job at a mine last year after his pay was

includes industries like logistics, retail,

cut in half. Still, he decided against the

information technology and sanitation,

importance of the GDP growth target,

low, at around $320 a month. “Beijing cultural and political exchange,” Wang said. “I believed it would be easy to find jobs. But actually it’s not that easy.”

June 2015

China’s premier, Li Keqiang, recently sought to play down the

cleaning job because the salary was too is the capital city and the window for

since early 2009.

Opposite page: Chinese graduates look for scarce job openings at a recruitment fair.

Top: The head of a real estate agency explains the sales pitch to a team of sales people in Beijing.

saying instead that he preferred to focus on whether the economy was expanding in a way that created new jobs. And so far, it appears to be doing that. China added

Employment

38

the service sector’s ability to continue to

“Risks is not the right term, but there are some imponderables,” Conrad added. “if you look at the magnitude of the structural changes going on, it’s not always easy to predict the outcomes, including for employment.”

create jobs.

Instead, shifts in the health of the job

“If people, including migrant workers,

market tend to show up more clearly

were used to salary increases of 15-20 per

in wage and recruiting trends. Here,

cent every year, and all of a sudden they

two overarching factors have emerged

are down to 10 or even eight per cent, how

in recent years: the pool of migrant

will they respond?” said Jurgen F. Conrad,

workers is tightening as the returns from

head of the China economics unit at the

urbanisation diminish, while a shortage of

Asian Development Bank in Beijing.

white-collar jobs for new college graduates

“Risks is not the right term, but

points to a skills mismatch.

there are some imponderables,” Conrad

“It is difficult to hire workers, even if

added. “If you look at the magnitude of

the economy is not doing that well,” said

the structural changes going on, it’s not

Juble Lu, a manager at the Zhihua kitchen

13.2 million new urban jobs last year,

always easy to predict the outcomes,

cabinet accessories factory in the southern

surpassing Li’s official target of 10 million

including for employment.”

city of Guangzhou.

Data on China’s job market lack

China’s migrant workforce of 175 million.

It does not factor in jobs that were

the frequency and general quality of

But this pool of labourers is growing today

eliminated. And more important, income

figures in more developed markets.

at about only one per cent a year, much

growth is decelerating, down from double

For example, the official urban

digits to around eight per cent last year.

unemployment rate, published quarterly,

Any resulting pullback in consumer

has ranged from four to 4.3 per cent for

spending would have a direct effect on

the last decade, a level of stability that

Factories like Lu’s rely largely on

such jobs.

But Li’s jobs target is a gross figure.

Photos: Getty Images

economists say is hard to achieve.

Top: Workers manufacture blue jeans at Yilin textile factory in Dongguan, Guangdong province.

Portfolio

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Employment

40

Clockwise: Suntech employee He Chunyu checks the printing process of solar cells; Prospective employees are given lessons in how to clean Beijing’s subway system; Unskilled labourers are more employable than China’s new graduates.

According to official data, about 88 jobs

“The reality is that a taxi driver in

requiring graduate-level education are

Beijing, unskilled, can make more money

slower than the broader economy. That

available for every 100 such job seekers.

than a new university graduate, at

tighter market tends to give bargaining

For those with only vocational high school

least initially,” said Conrad of the Asian

power to workers and push up wages. For

qualifications, the ratio climbs to 104 jobs

Development Bank. “This is of course

skilled workers, Lu said, wages could rise

for every 100 candidates.

shocking for these young people.”

China’s new graduates have traditionally

by as much as 20 per cent a year.

Contrast this with the situation at the other end of the job market. Having prevailed in the country’s ultracompetitive entrance examinations, new university graduates, usually from one-child families, have high expectations as they seek their first jobs. But the realities of the market quickly set in. At nearly seven million a year, China today produces twice as many university graduates as it did 10 years ago. The supply appears to be outpacing the demand from prospective employers.

“The reality is that a taxi driver in Beijing, unskilled, can make more money than a new university graduate, at least initially,” said Conrad of the Asian Development Bank. “This is of course shocking for these young people.”

shied away from working in factories, seeing this as a sign of lower status. But, perhaps because of the slowdown, there are signs this is changing. Dai Chaoyang, general manager of Shanghai Kadun Power Tools, says his company, which manufactures power drills, has started hiring new graduates in managementtrainee positions.

“They do not mind working in a factory environment,” Dai said, “as long as they are not working on the assembly line.”

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Energy

42

Turning Food Scraps Into Energy

Top: Solid organic material is loaded onto a truck.

Below: A belt press turns liquid organic material into a solid at the Quasar Energy Group’s Collinswood plant.

It is estimated that in the US, food waste amounts to 34 million tons a year. It mainly ends up in landfills, but there are now efforts underway to turn it into energy, reports Diane Cardwell.

disposal maker, the machine grinds all types of food waste, including skin, fat, flesh and bone, into a slurry that is later transformed into energy and fertiliser at a plant operated by the renewable energy company Quasar.

As governments and industry seek to reduce emissions of methane – a more powerful heat-trapping gas than carbon dioxide – by limiting the amount

© 2015 New York Times News Service

of organic waste in landfills, large

W

food processors are looking for new

Cleveland, as players warmed up on the

Protection Agency’s most recent figures, is

jewel-green field, it was business as usual

the largest component of landfills, which

in the garage behind left field for C.L.

are responsible for roughly 18 per cent of

Gholston, a dishwasher.

the nation’s methane emissions.

ell before the start of a

ways to get rid of their leftovers. Food

Cleveland Indians game

waste, an estimated 34 million tons a

at Progressive Field in

year, according to the Environmental

He had wheeled down grey bins full

Here in Cleveland, the Indians began

of kitchen scraps – pineapple and melon

using the process last year, following

rinds, carrot shavings and tomato ends –

the Browns, who started in 2013,

that were all part of the mix he fed into a

and a casino has recently joined the

contraption he calls the energy machine.

effort. InSinkErator’s system, called

Built by InSinkErator, the garbage

Grind2Energy, is winning customers Portfolio

43

Left: A food worker at Progressive Field prepares vegetables, whose scraps are recycled.

Above: C.L. Gholston, preparing bins of food scraps that will be fed into a grinder.

elsewhere as well, including at some

producers to a digester for years as part

of the Washington State University

Whole Foods stores in Boston.

of a federal pilot programme, and some

Centre for Sustaining Agriculture and

cities have experimented with similar

Natural Resources, chief among them

Smith, Quasar’s chief financial officer.

diversion efforts. Harvest Power, a startup

that it increases methane production.

The company, he said, repurposes

backed by Waste Management and

But without an infrastructure in place

“material that is either being landfilled,

Kleiner Perkins and based in Waltham,

to handle, transport and process the

incinerated – that’s not good for the

Massachusetts, has been operating a

material, building that kind of energy

economy – and we extract the energy and

facility in Orlando, Florida, since 2013

system has been too difficult and

concentrate the nutrients, and we have

that turns waste from Disney World into

expensive to spread widely.

water at the back end.”

fuel and fertiliser.

“We’re a wasteful nation,” said Steven

Both InSinkErator and Quasar see

In theory, adding food to digesters

“We’ve kind of stalled out on some of these issues,” he said. “That said, the

potential in their system, which uses

processing manure or sewage has

industry, the composters, in particular the

naturally occurring bacteria to speed up

advantages, said Chad Kruger, director

bigger ones, are really set on this – they

the decomposition process. Less than

think it’s the right thing to do.”

five per cent of American food waste is recovered and recycled, but it can be a potent source of energy for electricity, heat and transportation fuel.

As government policies shift to encourage extracting the energy from organic trash, the United States is beginning to catch up. The East Bay Municipal Utility District in California, for example, has been funnelling food waste from restaurants and other large June 2015

The partnership between Quasar and

“We’ve kind of stalled out on some of these issues,” he said. “That said, the industry, the composters, in particular the bigger ones, are really set on this – they think it’s the right thing to do.”

InSinkErator follows years of research and development at both companies.

Managers at InSinkErator had been looking into the potential of anaerobic digestion and energy production at wastewater treatment plants. They came upon Quasar, a fast-growing company that was incubating its business at Ohio State University’s agricultural research campus in Wooster and was aiming to

Energy

44

Left: InSinkErator produces clean feedstock of organic material that is converted into energy.

that it is full, Quasar is alerted to send a

any independence you can get from the

“One of the things that they basically

truck to take the mass to its plant, where

Middle East is best.”

were looking for was a clean feedstock of

it is put into giant anaerobic digesters full

organic material that was consistent and

of bacteria that break down the slurry.

Saiter, 60, and her brother Bob, 63, also

low in contamination but had high energy

The system captures the released gas,

welcomed the approach.

content in terms of methane potential,”

which is then converted into electricity

“Using it as an energy source – that

said Matt Whitener, general manager of

for the grid or transportation fuel. The

works,” she said. He agreed: “Too many

the Grind2Energy business at Emerson,

leftover solids become fertiliser.

people waste – it’s a throwaway society.”

“On-site, point-of-generation grinding

For now, workers are feeding

trips to the energy machine during games

technology was kind of the missing piece

only pre-consumer waste to the machine,

and took roughly six minutes to process

to make an efficient model where the

except for food from the Terrace Club,

about nine kilograms of food scraps, said

food waste generator has a mechanism to

where workers scrape plates and can

it had changed his habits. “It made me

convert their food scraps into a slurry.”

keep contaminants like paper napkins or

think about being green at home,” he said,

At Progressive Field, Gholston and the

plastic wrappers out of the mix. Indians

as hundreds of Progressive Insurance

other dishwashers feed loads of food waste

fans dining there were largely unaware

employees wearing aprons like their

into the grinder, which is about 13 to 20

of the fate of their leftover fried pickles

pitchwoman, Flo, prepared nearby for

times as powerful as home models. The

and uneaten cheeseburgers, but expressed

pregame festivities.

milkshake-consistency slurry that results

support for the programme.

build a digester network nationwide.

And Gholston, who makes about eight

the parent company of InSinkErator.

from the discarded fruit and vegetable

At a table just below them, Barb

“That’s better than going to the landfill

He and his wife recycle more now, but he is also simply fond of the

peelings, uneaten pasta, used cooking

– reuse, energy, that’s all cool,” said Jim

contraption. “I enjoy big machines,” he

grease or leftover hot dogs that cannot

Vanco, 57, a commercial real estate broker

said, pointing out how the slurry moves

go to a food bank is then pumped into a

who was eating wings, calamari and

from the grinding apparatus up through

11,350-litre tank.

crab dip with his son John, 27, and their

tubes into the tank. “I’m just a guy that

friend Roger Riachi, 49. “Wind, solar –

likes any machine.”

Once the tank signals to Grind2Energy

Portfolio

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Innovation

46

Clinging to a Future Beyond Film Kodak is a cautionary tale of what happens to a tech company when it is slow to change. The company is now mining its history in search of new tech ideas, reports Quentin Hardy.

Portfolio

47

O

f the roughly 200 buildings that once stood on the 525-hectare campus of Eastman Kodak’s business park in

Rochester, New York, 80 have been demolished and 59 others sold off. Terry Taber, bespectacled, 60, and a loyal Kodak employee of 34 years, still works in one of the remaining Kodak structures, rubble from demolition not far from its doors.

Taber oversees research and development at Kodak. Many people might be surprised to know that Kodak is still in business at all, much less employing someone in the hopeful-sounding enterprise of developing new technology ideas. But if the film company, which emerged from bankruptcy in 2013, has any light in its future, Taber is likely to have something to do with it.

In a warren of basement labs, some of the 300 scientists and engineers who work for Taber are studying nanoparticle wonder inks, cheap sensors that can be embedded in packaging to indicate whether meats or medicines have spoiled, and touch screens that could make smartphones cheaper. Much of this is old stuff, left over from the company’s glory days. But Taber’s boss hopes that somewhere in those projects there might be a nugget of gold.

“I’m mining the history of this company for its underlying technologies,” said Jeff Clarke, 53, who became Kodak’s chief executive last year.

Clarke has no delusions that Kodak could bring those technologies to market on its own; it will need corporate partners to make actual products.

“We’ll never be able to prosecute the value of our intellectual property with Kodak-branded sales,” he said in an office in the same tower where George Eastman once looked out on his global tech empire.

What happens after a tech company is left for dead but the people left behind refuse to give up the fight?

At Kodak the answer is to dig deep into a legacy of innovation in the photography business and see if its remaining talent in optics and chemistry can be turned into new money in other industries.

Once a household name as big in its day as Apple

© 2015 New York Times News Service

and Microsoft have been for later generations, Kodak

June 2015

was part of everyday life, its film – sold in a yellow box – recording births, vacations, weddings. And then Kodak became a cautionary tale about what happens when a tech company is slow to change.

For Kodak, the advent of digital photography was ruinous. Today it has $2 billion in annual sales, compared with $19 billion in 1990 when consumer

Innovation

48

Top: Kodak researchers develop nextgeneration touch-screen sensors.

Right: Jeff Clarke, the new chief executive of Kodak, at his home in San Francisco.

Below: Chemicals used in the manufacture of touch screen sensors at Kodak’s Eastman Business Park in Rochester.

count mesh of silver wires, thinner than a credit card, in one second. That technology could be the basis of a new kind of phone screen, cheaper and more useful than the touch screen. It is work that Taber and his veteran team are clearly proud of. “People ask me why I’m still here,” he said. “It’s

film was king. It now has 8,000 employees worldwide; it had 145,000 at its peak. Since

because I see the possibilities.”

Clarke is impatient. He came to Kodak

emerging from bankruptcy, the company

a year ago and says he was shocked that

the industry through several periods of

has mostly served niche film markets –

the company had done so little to capitalise

upheaval. Clarke started at the Digital

there are still a few die-hard directors

on the work of its scientists. Kodak’s

Equipment Corp., another tech giant

who refuse to shoot digital – and provides

technology for packaging sensors, he

doomed to miss a big technology change,

equipment for printing newspapers, on

noted, was developed years ago. No one

the PC boom of the 1990s. DEC eventually

packaging and the like.

figured out what to do with it. “We missed

merged with Compaq Computer, a PC

enormous opportunities,” he said. Kodak

maker, in 1998. When Compaq then

legacy businesses. For Kodak’s new chief

currently has a market capitalisation of

merged with Hewlett-Packard in 2002,

executive, along with veterans like Taber,

about $800 million.

Clarke, by then a well-regarded financial

Much of its revenue comes from

the key to survival is in its research legacy,

Clarke was raised in Hamilton, New

manager, was one of two people in charge

thousands of patents and a coterie of

York, not far from Rochester, and got an

of the merger and of shedding 15,000 of

scientists who are making new discoveries.

economics degree from the State University

145,000 combined employees.

At the research lab, a laser prints a 256-

of New York at Geneseo. He has seen

The merger created years of internal strife, but saved $2.5 billion and gave HP a commanding market share in personal computers and computer servers. In line to become HP’s chief financial officer, Clarke left the company abruptly in 2003, saying he was tired of waiting for the job. HP termed his exit “mutually agreed to and appropriate.” He came to Kodak last March, having been contacted by a headhunter retained by the private equity groups that bought most of Kodak’s debt.

Kodak reappeared on the public markets in September 2013, though the bulk of the company is still owned by private equity and investment firms. With about $750 million in cash, a 2014 net loss of $114 million and possibly more losses this year, the company needs to find partners to help develop and Portfolio

Innovation

50

Left: The Kodak Tower in downtown Rochester, where the now-faded tech giant once occupied roughly 200 buildings.

Below: A worker processes chemicals used in manufacturing.

pricing. They might never get to profitability on the new stuff.”

In 2013, Kodak sold 1,100 patents related to digital image capture to a group of 12 companies, including Apple, Samsung and Facebook, for $527 million. Kodak retained the same access to the patents as the bidders, should it wish to compete sell what Clarke thinks Kodak can offer.

“We have invisible inks that people

in, say, photography once again. And it

Among his partners for future business is

could use in anti-piracy or counterfeiting,

kept about 7,000 other patents, largely

Bobst, a $1.3 billion Swiss company that

sensors for smart packaging, maybe

connected to the chemistry and physics of

makes machinery to manufacture cardboard

antimicrobial threads for medicine that

creating images.

boxes. Bobst is interested in using Kodak’s

use silver,” said Eric-Yves Mahe, Kodak’s

Clarke says the culture George Eastman

digital printing technology to personalise

head of software and the head of Kodak

created is a problematic legacy. At an October

packaging, said Jean-Pascal Bobst, the chief

Technology Solutions.

meeting of 80 employees, he was asked when

executive. “It could be revolutionary for

Spend much time around Kodak, and the

Kodak’s 20-plus years of layoffs would end.

corrugated boxes.” Other partners include a

company’s faded glory is apparent. Clarke

“My answer, of course, was ‘Never,’” Clarke

printing company in Utah and a machinery

emphasises the power that history still gives

recalled. “No individual company can say

company in Rochester that is owned by a

the Kodak brand. But the odds are stacked

that things aren’t going to change.”

refugee from the old Kodak and is working

against his salvage job.

on the touch screens.

“The question isn’t tech-related, it’s

Some people thanked him for the candour, after years of promises that

competition,” said Amer Tiwana, an analyst

this cut would be the last. In December,

packaging sensors, existed inside

at CRT Capital Group. “Kodak’s intellectual

Clarke made good on his word, with more

Kodak long before Clarke arrived. Last

property seems to be slightly better, but the

restructuring and layoffs.

summer, Clarke created a new division,

hazard is that their competitors, eight or

Kodak Technology Solutions, to incubate

10 strong ones in each market, kill them on

Much of the technology, like the

There is, indeed, no sign that the changes will stop coming.

more businesses.

In a warren of basement labs, some of the 300 scientists and engineers who work for Taber are studying nanoparticle wonder inks, cheap sensors that can be embedded in packaging to indicate whether meats or medicines have spoiled, and touch screens that could make smartphones cheaper.

Portfolio

Entertainmnet

52

Television’s Kingmakers HBO has been on a winning streak lately, but competitors like Netflix and Amazon are nipping at its heels, report John Koblin and Emily Steel.

overlooking Bryant Park. Plepler, 56, was on his couch, his legs propped up on a coffee table strewn with newspaper clippings. He would never admit that

© 2015 New York Times News Service

the network is taking a victory lap, but it

I

certainly looks like one. n 2007, just as Tony Soprano faded

network as “HB-Over.” That seems like

to black, HBO fell into a deep

ages ago.

slump. Forgettable shows like John

“Anybody who was writing our epitaph

“Interesting, isn’t it,” he said, “that at a time that’s been called the most competitive moment in our industry’s

From Cincinnati and Tell Me You Love

was obviously doing so erroneously,”

history, we have, in my opinion, the best

Me did poorly, each lasting only a season.

Richard Plepler, the chief executive of

array of content in our history.”

Its content cupboard was bare, and rival

HBO, said recently, sitting in his corner

TV executives openly referred to the cable

office on the Avenue of the Americas

That morning, the comedian John Oliver made headlines after landing an Portfolio

53

Opposite page: Richard Plepler, chairman and chief executive of HBO. Centre: Andrew Jarecki directed the critically acclaimed The Jinx: The Life and Deaths of Robert Durst for HBO. Left: Chairman and CEO Jeffrey Bewkes said that HBO’s success is vital to Time Warner’s business.

on the case or the evidence presented in the series. So why was he on the phone?

“What’s happening at HBO right now is extraordinary, and I want to endorse the choices that they are making and the risks that they take,” Jarecki said.

Taking those risks is necessary. Competitors like Netflix and Amazon are pouring money into original the arrest of the real estate scion Robert Durst. And the new season of the most

critically acclaimed and popular shows

watched show in HBO’s history, Game

of their own. And within HBO’s parent

interview with Edward Snowden that

of Thrones, premiered, a few weeks after

company, Time Warner, which last year

aired on his HBO show the night before.

the network gave a party for it in San

rejected an $80 billion takeover bid from

That evening, Plepler was at Gotham

Francisco, an event so lavish that Andrew

Rupert Murdoch’s 21st Century Fox, the

Hall celebrating the new season of Veep,

Jarecki, director of The Jinx, said it looked

network’s profits – $1.8 billion last year –

mixing with Julia Louis-Dreyfus and

like “a coronation.”

are now taking on an outsize importance.

Katie Couric. The next day, he would Photos: Getty Images

programming, creating

That is the same Andrew Jarecki

Time Warner has spun off numerous

launch HBO Now, the network’s stand-

who cancelled interviews with the press

businesses in recent years, making growth

alone streaming service he introduced last

after the finale of The Jinx. Because he

at HBO critical.

month on stage at an Apple event. Around

is expected to be called as a witness at

Indeed, the Time Warner chief

that time, HBO aired the acclaimed six-

Durst’s trial, Jarecki has been asked by

executive, Jeffrey Bewkes, said that

part documentary, The Jinx, that led to

law enforcement officials not to comment

HBO’s success is vital to Time Warner’s

June 2015

Entertainmnet

54

want HBO,’” Plepler said. “Why is that

business and that HBO Now – a standalone service for $15 a month that doesn’t require a traditional TV subscription – will create a blueprint not only for the future of the network but also for the entire industry.

“We are building a foundation for the transformation of television networks, so that they will be available on demand and on mobile devices with a seamless interface for search,” he said. “This is leading the way for everybody.”

With the new service, Time Warner and HBO have to tread carefully so as not to jeopardise their core businesses.

With the new service, Time Warner and HBO have to tread carefully so as not to jeopardise their core businesses.

Both HBO and the other networks owned by Time Warner, including TNT and TBS, receive billions of dollars from cable and satellite companies for their programming.

not a win-win-win-win for everybody?

Nobody’s been able to give me a good answer to why it isn’t.”

A day after Plepler announced HBO Now, CBS unveiled its own streaming service, and one for Showtime, which CBS owns, is also in the works. CBS chief executive Les Moonves said the timing of his network’s announcement was a coincidence, but he did not have what Apple offered to Plepler months later: An invitation to introduce HBO Now on the same stage where Apple unveiled its new watch.

“I admired the theatricality of

Both HBO and the other networks owned by Time Warner, including TNT

who refuse to pay for cable or satellite TV.

it,” Moonves said. “It made the

and TBS, receive billions of dollars from

Yet some cable and satellite executives

announcement more important. It

cable and satellite companies for their

complain that HBO Now has the potential

was show business. It got the attention

programming. Bewkes and Plepler argue

to undercut their offerings. For some

they both wanted. I mean that positively.

that the new service is complementary to

smaller cable operators, the cost of HBO

I was jealous.”

their existing business, appealing to those

Now is cheaper than the rate they charge for HBO packages.

Below: Game of Thrones has been a huge hit for HBO. It is currently the world’s most pirated television show.

“What we’re saying to our partners, old

To the people at Apple, its first partner on HBO Now, the invitation was a no-brainer. “I think they have the best

and new, is, ‘Join us, use us in going to get

content on the planet,” said Eddy Cue,

all those people in the consumer base who

the senior Apple executive in charge of

Portfolio

55

brokering deals with media companies.

And at a time when many media companies want to be known as technology businesses (tech companies

quality with the best sound, then the

rid of it. “That’s just a large and growing

closest thing to that in the home is HBO,”

audience that didn’t have an opportunity

he said.

to get HBO, and that’s a shame.”

But in a world where people

But before too long, Plepler is back

command higher valuations from

increasingly watch TV on their laptops

to talking about his shows like Game of

investors), Plepler remains focused on

and smartphones, Jarecki sounds almost

Thrones, True Detective or the network

talent and content. Technology? The tech

quaint. HBO Now is targeting those

having “more half-hour comedies across

backbone for HBO Now was farmed out

viewers who pay for internet access but

a range of genres – from Girls to Silicon

to the media-technology arm of Major

not TV subscriptions.

Valley to Veep – than we’ve ever had in our

League Baseball. Shortly after that, the

“It’s no secret that millennials

history,” he said.

company’s chief technology officer, Otto

disproportionately will make up cord-

Berkes, who had been working on HBO

nevers and cord-cutters,” Plepler said,

sauce,” he continued. “It goes right back

Now, resigned from the company.

referring to those who have never

to its essence: Where does the talent want

subscribed to cable and those getting

to paint?”

But Plepler has been forced to turn toward the West Coast because that is where the competition is. Netflix, which has its origins in Silicon Valley, has pushed aggressively into content. It is expected to spend more than $450 million on original programming this year, from $243 million in 2014, according to the MoffettNathanson research firm. HBO will spend about $1 billion this year on programming and sports, the research firm said.

“The goal is to become HBO faster than HBO can become us,” said Ted Sarandos, Netflix’s chief content officer, two years ago.

Some in Hollywood have complained that the network has overdeveloped in recent years, meaning it has bought rights to programmes that it has not ended up creating. Meanwhile, streaming outlets like Netflix and Amazon are wooing talent with big paycheques and promises to get their shows distributed more quickly and in a format viewers can binge watch.

Jarecki, whose past projects have debuted with theatrical releases, explained why he chose HBO. “As a filmmaker, if your history is to see your work on the big screen in a movie theatre where it won’t be subject to distractions and interference and where it will be shown in the highest Clockwise: HBO Now is aimed at millennials who have internet connections but no TV subscriptions; Veep and Silicon Valley are just two of HBO’s successful comedy shows.

June 2015

“The content remains the secret

Technology

56

L

ast June, in the basement of

augmented reality product had the

cutting measures and mass layoffs, would

the Microsoft visitor centre in

potential to be the next big thing in

kill it for being too risky and far-out.

Redmond, Washington, Todd

consumer technology, as groundbreaking

Nadella didn’t flinch.

Holmdahl, a Microsoft hardware guru,

as the PC and the smartphone. But

and others nervously walked Satya

this was Microsoft, the company that

that we’re going to do,’” Holmdahl said.

Nadella, the new chief executive, through

had managed, time and again, to take

“We are going to create a new product

a demonstration of a secret project.

ingenious innovation and bungle it on

category, and this is the type of thing that

the way to store shelves. Microsoft had

Microsoft should be working on.”

© 2015 New York Times News Service

More than a hundred people had

“He said right away, ‘This is something

toiled for several years on the ambitious

its software on smartphones years before

effort, which would eventually be called

Apple released the iPhone. Few cared.

reshaped Microsoft that Nadella envisions

HoloLens. At the time, the HoloLens

A full decade before the Apple Watch,

– one with fewer internal fiefs and with

headset was a clunky web of straps, wires

Microsoft introduced its own computer on

more willingness to favour big bets

and electronics. But it was able to project

a wrist. It did not take off.

on new technologies over protecting

images onto lenses in front of people’s eyes,

The HoloLens team members were

That response says a lot about the

legacy cash cows. Part of that rebuilding

adding virtual landscapes and objects on

confident in their creation. But they

occurred at a Microsoft conference

top of the view of the natural world.

worried that Nadella, a two-decade

recently in San Francisco, where he sought

Microsoft employee then looking at cost-

to mend Microsoft’s frayed relationship

The team leaders thought this

Portfolio

57

A Far-Out Vision Microsoft, under CEO Satya Nadella, appears to be far more willing to place big bets on new technology such as the HoloLens, reports Nick Wingfield.

with software developers, making it easier

wearables and other devices. To better translate Microsoft’s innovation into

and Google’s mobile operating systems to

a different place from the infamously

products people want to buy, he has

run on Windows.

balkanised one Nadella inherited from

directed the company’s research group,

Steven Ballmer in February 2014. Not

the biggest in the technology industry, to

he and the company had learned from

long ago, the company had about a half-

work more closely with product engineers.

its mistakes. His Microsoft understands,

dozen internal systems for managing

he says, the discipline needed to build

the development of software; Nadella is

Nadella told the team how he wanted

products that look and feel polished.

pushing everyone to use a single one, in

the project to proceed. It was not going

Every part, from hardware to software to

the belief that top-notch internal tools will

to be organised like Xbox, the company’s

online services, must work in harmony.

help it create top-notch products.

In a recent interview, Nadella, 47, said

“One lesson learned is you’ve got to Photos: Getty Images

creation of categories.”

In some ways, Microsoft is already

for them to convert apps written for Apple

He has taken up an effort started under

finish the scenario with excellence,”

Ballmer to end the factional strife inside

Nadella said. “You just cannot stop.

Microsoft, making the 118,000-strong

You have to complete this, and I think

workforce nimbler. He has rallied them

that’s where Apple has taught us all

around mantras, like making personal

what experience excellence means in the

computing more personal through

June 2015

At the meeting about HoloLens,

Opposite page: The HoloLens augmented reality headset was demonstrated at the Microsoft Developers Build Conference in April.

Above: Steven Bathiche, a Microsoft researcher who works on the firm’s Surface tablet, demonstrates new stylus technology, in Redmond, Washington.

Technology

58

video game system, which developed as a semiautonomous republic. He wanted the group to be fully integrated into Microsoft.

That meant collaborating with people developing Skype, the company’s online voice and videoconferencing service, as well as the

A big part of Microsoft’s fate rests

Windows and video games teams. The

with its research arm, the quasi-

HoloLens group had already started

academic group responsible for conjuring

moving in this direction even before the

breakthroughs that will keep Microsoft

meeting with Nadella, but his orders

relevant for generations to come.

galvanised them. Microsoft says HoloLens

On a recent Monday, Harry Shum, the

will go on sale “in the time frame” when

Microsoft executive vice president who

Windows 10, its new operating system, is

oversees the research operation, was

released this summer.

bursting with pride while demonstrating

In other words, the HoloLens is only

Skype Translator, a new product that

a crucible for the new borderless

incorporates years of work by researchers

Microsoft that Nadella is seeking to

to convert voice conversations from one

create. No pressure.

language to another in real time.

Clockwise: Chief executive Satya Nadella at the headquarters of Microsoft; Researcher Steven Bathiche and engineer Falvio Ribeiro work together on the latest technological innovations; Harry Shum, a Microsoft vice president, overseeing research and development; A Microsoft employee demonstrates the new PixelSense technology; The Visitor’s Centre at Microsoft Headquarters campus in Redmond.

opportunities. He has pushed researchers

Nadella is trying to avoid missed Inside the old Microsoft, the translation

and product engineers to work closer

technology could easily have languished

than ever before. He invited Shum to

as a cool demo and nothing more. Product

attend a regular Wednesday-afternoon

groups would have been slow to embrace

meeting of a small group called the

an experimental technology that could

product leadership team; Shum is the first

introduce new costs not to mention

representative from Microsoft Research to

uncertainty into their release schedules.

participate in the sessions.

HoloLens, too, is jammed with Portfolio

59

technologies that started in Microsoft

explore finished architecture while on a

their initial cost. One current Microsoft

Research, including the display technology

project still in construction.

executive said HoloLens would cost

Those examples fill nice niches, but they

used to paint virtual images on lenses in front of people’s eyes. It uses cameras

certainly don’t scream mass market. For

developed by Microsoft researchers and

that, Microsoft is turning partly to games.

In September, Microsoft paid $2.5

first used in Kinect, an Xbox accessory,

significantly more than a game console, which runs more than $400.

Even Nadella hints at uncertainty when discussing the kind of impact HoloLens

to map a person’s surroundings so virtual

billion for Minecraft, the video game

will have. “I don’t want to overhype it like

objects stay where they’re supposed to.

played by tens of millions of people. By

Google Glass and say this is the next,”

January, the logic behind the purchase

he says, trailing off. “I want us to be

Slick hardware, though, will

started to become a little clearer when the

deliberate about what it is.”

go only so far. If HoloLens has any chance

company showed the game on HoloLens.

of becoming a breakout hit, it will need

In Minecraft, players can build and

appears to be skating to where the puck

must-have applications – add-ons that

destroy structures, sort of like playing

could be headed in technology, rather

will do for augmented reality what wildly

virtual Legos.

than where it has been. Brad Silverberg,

At least one thing is certain: Microsoft

popular services like Instagram and

At least with HoloLens, Microsoft

a venture capitalist in Seattle and a

will have a lot of competition. And

former senior executive at Microsoft, said

doubters have already lined up with

he was encouraged that the company was

Francisco, the company showed examples

HoloLens, certain that Microsoft will

doing that rather than playing catch-up

of how HoloLens will be used. In one, a

once again trip over itself. The product

in smartphones.

medical school expects to adopt HoloLens

looks as if it will be far more expensive

to let students learn anatomy. In another,

than smartphones, which benefit from

lost,” Silverberg said. “You’ve got to

a building developer plans to have clients

subsidies from wireless carriers that lower

change the game.”

Snapchat have done for smartphones.

At the Microsoft conference in San

“That battle is already fought and

Make sure you're in the elite www.elitetravelconnectivity.com UK · Elite Connectivity Ltd ID 9235452 / ES · Elite Connectivity SL CIF B54831847

June 2015

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Essentials

THE BEST OF LEISURE AND LIFESTYLE

The Learned, the Fat and the Red

Photos; Corbis, Arabian Eye

Bologna is described by the three sobriquets, ‘La Dotta’ (learned) ‘La Grassa’ (fat) and ‘La Rossa’ (red) in reference to the city’s famed university, the bountiful culinary tradition and the colour seen in the resplendent architecture reports Nick Rice.

June 2015

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Travel

condition of the piazzas and palazzos

ample starting points. The university

(squares and palaces). In the late 70s a

area is clustered around Via Zamboni,

meticulous conservation and restoration

the colourful heart of current student life

policy was implemented to rectify the

today. The university is the oldest in the

damage caused by war and urban decay.

Western world and dates back to 1088.

The successful scheme has resulted in one of Italy’s most unspoiled historical centres.

The cityscape is given unique character by the elegant and extensive porticos (covered porches supported by columns)

T

for which the city is famous. In total there

he ancient city of Bologna can

are 45 kilometres of porticos, with the large

be overshadowed by nearby

majority found in the city centre. So not

destinations – such as the famous

to worry if it rains, you can still go out for

and flamboyant sisters of Florence, Milan and Venice. Millions of visitors also flock

hours and avoid getting wet.

There are enough museums, landmarks

each year to the Adriatic coast and Tuscany,

and tourist attractions to keep any visitor

but their trips could only be enhanced with

busy for weeks, but some are essential.

a detour to this splendid city.

The various faculties and museums that

Capital of the Emilia-Romagna region,

Arriving in the city centre, one is immediately struck by the well-preserved condition of the piazzas and palazzos (squares and palaces). In the late 70s a meticulous conservation and restoration policy was implemented to rectify the damage caused by war and urban decay.

comprise the University of Bologna provide

which is one of the most developed and affluent places in Europe, Bologna has the strongest economic growth rate in all of Italy and tops the tables for the country’s ‘quality of life’ surveys. Besides the sturdy

Photos: © Comune di Bologna

economy, the reasons the city thrives are simple – a rich cultural history, stunning architecture, amazing food, and vibrant social scenes encapsulating a broad range of sciences and arts. What’s not to like?

Arriving in the city centre, one is immediately struck by the well-preserved

Above: Marco Fadiga Bistrot.

Left: Flower shop on Via delle Pescherie, the market district, in Bologna.

Below: (L-R) Via dell’Indipendenza; Bologna University’s Anatomical Theatre.

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The actual word ‘university’ was coined at the institute’s foundation. As the first degree-awarding institute in Europe, the university’s legacy continues to inspire.

Former students include Dante, Erasmus and Copernicus, and among the professors were lauded scientists such as Luigi Glavani, Marcello Malpighi and Ulisse Aldrovandi. In the present day, the likes of Umberto Eco, world-famous novelist and philosopher, are among those teaching.

The Palazzo dell’Archiginnasio is one of the most important buildings not only of the university, but also in Bologna

Right: The two Due Torri towers dominate Bologna’s skyline.

Below: Side altar and ceiling fresco in the Church of San Bartolomeo.

June 2015

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Essentials

Travel

itself. With its lower porticos, large inner

museums covering the history of the

courtyard and walls filled with seven

university, plus physics, astronomy, natural

thousand coats of arms of former students,

science, oriental art and much more…

it is imbued with a scholastic ambience.

something for all interests.

The Anatomical Theatre housed within is

Above: (L-R) University students study in the library at Palazzo Archiginnasio; Bologna is famed for its food; Finely decorated portico in Cavour Square.

To get some air and wonder about how

a stunning amphitheatre that makes the

much you’ll never know, visit the city’s

ravages of earthquakes, fires and warfare...

mind reel at the thought of a millennia

two iconic inclined towers, the ‘Due Torri’.

but you’ll still be glad to get your feet back

of education. Ercole Lelli’s Gli Spellati

Comprised of the Asinelli and Garisenda

down from the nearly one-hundred-metre

(skinned ones) – two statues of skinless

towers, these two leaning landmarks

high viewing platform.

men – crowns the ornate seat where a long

dominate the centre of Porta Ravegnana

line of professors has taught throughout

Square and are a popular symbol of

is the centre-point of the city, the vast

the ages.

Bologna. Climb the 498 steps of the

expanse of the Piazza Maggiore.

For even more pedagogic immersion

Asinelli tower, which shows ample sign of

A short walk from the base of the towers

The square is lined with grandiose

visit the University Library of Bologna

being 906 years old, for heart-pounding

buildings that display the coexistence of

at 35, Via Zamboni. Opened to the

views. Although seemingly ramshackle

dominant powers. The Palazzo Comunale

public in 1756, this spectacular institute

and age-worn, the tower has survived the

and Palazzo del Podesta are the seats

is a monumental source of printed and written heritage and houses over 1.25 million volumes, many of which are unique. The library also displays an art collection that includes more than 400 portraits of illustrious figures. The 16th century frescoes, only recently restored, are the icing on the cake. Less grand but still worth a visit for library lovers is the Salaborsa library in the Accursio Palace.

A more modern establishment and a multimedia centre – it is also a visual treat and a treasure trove of knowledge.

Nearby on Via Zamboni is the Palazzo Poggi which houses a collection of

of the municipal authority, Palazzo dei

For even more pedagogic immersion visit the University Library of Bologna at 35, Via Zamboni.

Opened to the public in 1756, this spectacular institute is a monumental source of printed and written heritage and houses over 1.25 million volumes, many of which are unique.

Notai and Palazzo dei Banchi house the medieval guilds, and the imposing Basilica San Petronio is the symbol of religious tradition. As well as being the civic, political and religious heart of Bologna, Piazza Maggiore is also a great place to people-watch and enjoy a variety of events.

Choose from any of the surrounding cafés and trattorias (small informal restaurants) and watch the world go by over a real Italian pizza and a cappuccino.

The Piazza Maggiorre is also a good starting point for those who wish to expend some energy by walking to the Basilica Portfolio

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de San Luca, a beautiful landmark that can always be seen above the city and is a handy navigation point. The walk is along the Portico de San Luca – a roofed arcade spanning nearly four kilometres and ascending from the city centre to the top of a high hill. Start on foot from the Porta Saragozza or cheat a little and take

Clockwise: Customer shopping at a green grocer on Via delle Pescherie; Parmigiano-Reggiano or Parmesan cheese is universally known; Bologna has a large student population.

the No. 20 bus from Piazza Maggiore to the Meloncello Arch – the base of the portico and where it starts to rise. Passing under

in the city and for over a century it has

fun to assemble your own picnic of local

666 archways and up 300 steps, it’s a good

hosted a long line of illustrious guests. Old

produce. For this visit the Quadilatero

urban trek to get the blood flowing. As well

world refined service is allied with precious

neighbour – a warren of narrow

as greeting old ladies steadily plodding

paintings, draperies, silk walls and four-

cobblestone streets in a quadrilateral

upwards you’ll also be passed by plenty of

poster beds. Do not miss dining beneath

taking in Via Rizzoli, Via Castiglione, Via

joggers zipping by. The unique porticos and

the recently restored Carracci frescoes in

Farini and Piazza Maggiore. This is the old

the rewarding view at the end make this

the hotel restaurant, which serves regional

medieval market and has been in the same

two-hour jaunt very much worth the effort.

haute cuisine.

place since Roman times.

When it’s time for some well-earned

the highest rated restaurant in Bologna

and buy manifold culinary delights. The

food and rest, Bologna does not disappoint.

according to the Michelin Guide – the I

Tamburini delicatessen at 1 Via Caprarie

The Bologna Art Hotels Group has four

Portici, within the hotel of the same name.

is recommended – it’s a local institution

properties in the heart of the city, each

In comparison to the rest of the city, the

and is still managed by the same family

with distinct character and charm. The

I Portici hotel and restaurant embrace

that gives the shop its name. Also not to be

Novocento, just a stone’s throw from Piazza

modernity. The lobby is a calm zone of

missed is the Ambassador bookshop and

Maggiore, is where the Italian President

sleek white lines and contemporary art and

café where you can educate yourself, eat

and First Lady stay. It is comfortable and

the restaurant continues the red thread by

well and enjoy the good life – as Bologna

understated with warm and friendly service

serving classic Bolognese dishes but with

demands you should.

and the reception will reveal all the best

an unmistakably modern twist.

Further down Via Indipendenza is

Wander into any of the stores to browse

As Giorgia Zabbini from the Bologna

Eating out in Bologna is a real pleasure,

tourist board concludes, “Bologna is more

with wonderful meats and cheeses, sublime

and more an attractive city for visitors for

pizza, lasagne, and the popular Bolognese

its history, art, style, good living and for its

in itself. Less than two minutes walk

sauce of course – known by Bolognesi

important Guglielmo Marconi Airport and

from the Piazza Maggiore at 8, Via

simply as ‘ragù’ and served with tagliatelli

Railway station, which make Bologna an

Indipendenza, it is the only five-star hotel

pasta as opposed to spaghetti. But it’s also

easily reachable destination”.

trattorias and restaurants tucked away in the vicinity.

The Majestic Grand Hotel is a destination

June 2015

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Essentials

Cuisine

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67

Giving Northern Cuisine Its Due The Northern Chef Alliance is trying to push northern US cuisine to the fore and get rid of the misrepresentations that have grown around it, reports Jeff Gordinier.

J

eremy Charles tipped a frying pan over a flame and spooned hot butter on some scallops. “Got a bit of thyme

with you?” he asked. Someone passed him an herb bouquet. He dropped it into the pan, and the air was filled with the intoxicating scents of fresh shellfish, hot tea, thyme, butter and wood smoke.

Above him, tantalised gulls hovered.

No, this culinary display did not take place in a gleaming restaurant kitchen. Charles, the chef at the acclaimed Raymonds in nearby St. John’s on Newfoundland, and a leader in a growing movement to celebrate the cuisine of the North, was so determined to show off the essence of his cooking that he, a fellow chef and two scuba divers had taken a small boat out to an isolated beach covered with rocks, weatherbleached logs and stubborn patches of snow.

In summer, the water here is cold enough

© 2015 New York Times News Service

to harbour icebergs that drift south from

June 2015

Greenland, and summer was still a couple of months away. Still, the skin-blueing temperatures could not dissuade the divers from jumping into the water to gather scallops from the bottom of the bay.

“I don’t want to go back to civilisation,” Charles, 37, said as those scallops, freshly

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Essentials

Cuisine

knifed out of their shells, simmered over the

like Sean Brock, who has restaurants in

not?” he said. The Townsman rendition,

driftwood fire. “I miss my children and my

Charleston, South Carolina, and Nashville,

topped with black, crumbly squid-ink

wife, but every time I go hunting or fishing

Tennessee, have drawn customers and

crackers and suffused with cream from

like this, I never want to go home.”

critical acclaim by giving traditional

Mapleline Farm in Hadley, Massachusetts,

Southern-food tropes a fresh spin.

and country ham, manages to be lighter

Both at sea and far inland, chefs from some of the chillier regions of North

But despite centuries of practice,

than its clam-shack antecedents, yet deepened with extra fathoms of flavour.

America are making an effort to dive deeper

Northern food seems harder to pin down.

into their habitat. From New England up

Is it poutine in Montreal? Chowder in

through the Maritime Provinces of Canada

Boston? Fried clam bellies? Can such a vast

tower of molasses-hued bread that looks as

and west to Montreal and Toronto, they are

stretch of gustatory territory have much in

if it has been baked in a can. It has. Before

doing culinary work that poses questions

common? Dixie does, but few people talk as

opening the restaurant, Jennings asked his

without simple answers: What exactly is

romantically about Northern cooking.

pastry chef, Meghan Thompson, to recreate

Every table at Townsman gets a little

and refine this far-from-chic New England

Northern cooking? And how do you make that identity clear and compelling to diners?

“The mosT imporTanT thing

staple, which he had grown up eating with

Just think of shrimp and grits, jambalaya,

I have learned is that it’s completely

franks and beans. Her version, served with

pimento cheese and pecan pie, and you

misrepresented,” said Matt Jennings, 38,

maple-and-honey butter scattered with

will recognise that Southern food has done

who opened a Boston restaurant called

handmade togarashi, gets an undercurrent

a bang-up job of branding itself. Chefs

Townsman in February and who serves

of funk from a decidedly un-Puritan

as the de facto leader of a loose group of American and Canadian chefs known as the Northern Chefs Alliance. “We still have this stigma that New England food is creamy and heavy and bad for you. It’s so much more than that.”

At Townsman, Jennings and his team counter some of those clichés by reinventing them.

“I thought it was my duty to put a chowder on the menu, because why the hell

Clockwise: Jeremy Charles, the acclaimed chef of Raymonds in St. John’s, Newfoundland, Canada, cooks cod and scallops on a nearby beach; Charles knives scallops off their shells; and cooks them; Evelyn Wu and Wayne Morris in the kitchen at Boralia in Toronto; Charles, a growing leader of the Northern cuisine movement, in the kitchen at Raymonds.

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ingredient: the Korean soybean paste known as doenjang.

The Northern Chefs Alliance, which Jennings helped start about four years ago mostly because he wanted to hang out with Canadian friends like Matty Matheson of Parts & Labour in Toronto and Derek Dammann of Maison Publique in Montreal, meets every summer for a public event in which the members celebrate local

produce from close by. Jason Bond, 44, the

ingredients, raise money for charity and

chef at Bondir, likes to rhapsodise about Boothby’s blond cucumbers and Waldoboro

(with a suitably Yankee lack of ceremony) heighten awareness of Northern cooking.

The next such gathering, hosted by

something else, too: “We have wildness.”

That wildness is evident on menus

green-neck turnips and the deep flavour of Randall Lineback beef.

“Those are the cattle that George

Charles, will take place in July in the moose-

throughout Canada and New England. At

teeming reaches of Labrador, an area of

Restaurant Manitoba in Montreal, Chris

Washington used to pull cannons up to

Canada so rustic it makes Cape Cod look

Parasiuk, 25, is honing what he referred to

Dorchester Heights,” he said. “I think it’s

like Hong Kong. The invitation promises

in a phone interview as “deluxe campfire

pretty cool we still have them.”

“whale watching & icebergs.”

cooking.” He deploys ingredients like

If the new interest in Northern food has

deer kidneys, cod collars, Canadian dwarf

an ultimate avatar, it’s surely Charles, who

cuisine here for hundreds of years,”

cornel berries and Labrador tea jelly, while

with his thick beard, squinty eyes and knit

Dammann, 38, said, Canadian gastronomy

Manitoba’s website declares, “We wanted

cap even looks like a hardtack-chomping,

remains a huge blank for the same global

a taste of the forest in our plates, a taste of

harpoon-wielding whaler from the 19th

diners who flock to cold-climate restaurants

nature in our glasses, wood, rock, wind.”

century. Newfoundland is one of the few

Even though “we’ve had indigenous

places in North America where a restaurant

like Noma in Denmark. “It has a stereotype,” he said. “It doesn’t have a defined cuisine.”

For many cheFs, defining Northern

can legally serve wild game, which means

At Maison Publique, he likes to serve

food also involves rediscovering relatively

that when you find moose, arctic hare and

a Mediterranean fixture like boquerones,

obscure ingredients. Whelk crops up on the

partridge on your plate at Raymonds, the

signified by anchovies in Spain, but he

menu at Boralia, as it does at Raymonds

meat does not hail from some government-

swaps in capelin, a North Atlantic baitfish

in Newfoundland, where some locals have

regulated farm. It comes from a hunt, and

famous for coming ashore to spawn and

been known to refer to whelks as “tire plugs”

your server will warn you not to chip your

being collected by hungry humans.

before shipping them off to Asia.

teeth on buckshot.

“We have all the resources here to do

Restaurants across New England (Bondir

“We shoot a moose, and a week later it’s

everything they do in Spain and Italy and

in the Boston area, for example, as well as

on the menu,” Charles said. “We’re actually

all those great food countries,” Dammann

New Rivers, North and Birch in Providence,

doing what we say we’re doing,” he added

said. Expanses of Canada, he added, have

Rhode Island) are stressing their Northern-

later. “We’re out there. On the water. In

ness simply by remaining mindful of the

the woods.”

seasons and by cooking with meat, fish and Top: (L-R) Matt Jennings with a platter of New England shellfish and house-made charcuterie, at Townsman in Boston; A snack plate featuring cod, mackerel and moose at Raymonds, a fine dining restaurant.

Left: (L-R) Lightly-charred beets with sweet and pickled onions, popped sorghum and herbs, served at North in Providence; Maple-burnt bone marrow with roasted black radish, swiss chard and elderberry, served at Restaurant Manitoba in Montreal.

June 2015

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Culture

Cutting In On the ‘Dancing Grannies’ China’s aging population, especially the women, gather in parks and squares for public dancing. But this has provoked the ire of residents and caused a national debate, reports Andrew Jacobs.

T

he offenders usually emerge at dusk, occupying prime real estate in public plazas or parks as they

sashay to treacly Chinese pop tunes with their synchronised dance moves.

In recent years, these cardigan-clad packs of “dancing grannies,” as they are known, have descended on tranquil neighbourhoods across the country, occasionally provoking virulent responses from local residents who object to their amplified music.

In 2013, a Beijing man seeking to chase off retirees dancing near his home was arrested after he fired a shotgun into the air and set three Tibetan mastiffs on the group. That same year in the city of Wuhan, angry neighbours dumped trash from the upper floors of a building onto a troupe of grey-haired women below.

Last year, in Wenzhou, residents pooled $42,300 to buy a sound system to blare warnings to dancers about violating noise pollution laws.

Recently, the Chinese government stepped into the breach, issuing rules that aim to regulate the ad hoc public

© 2015 New York Times News Service

dancing that has become hugely popular in recent years and has pitted neighbour against neighbour. The regulations, developed after a joint study by the General Administration of Sport and the Ministry of Culture, are intended to foster “healthy, watchable, scientific and wideranging” dancing, according to the state Portfolio

71

Opposite page: Women do Tai Chi on Singapore’s Bund. This gentle martial art has known health benefits.

Left: Loud music, monopolising public spaces and questionable health benefits has raised the ire of Chinese officials.

Below: Men and women of all ages take part in a mass dance in downtown Beijing.

retirees but some much younger – flock to parks and plazas after dutifully serving their families dinner, reaction to the news was met with disdain.

“That’s ridiculous,” said Xiao Kai, 50, taking a break from dancing at an office complex that drew more than 100 women and a smattering of men. “This isn’t a business. Dancing is free and voluntary, so why does the government need to get involved?”

The governmenT’s decision to intervene in one of the nation’s few unregulated public activities comes at a time when the Communist Party is seeking to impose its vision of popular culture, intellectual discourse and civic behaviour on this nation of 1.3 billion people. Censors have increased their vigilance online, educators have been warned against teaching nefarious “Western” ideas and functionaries have declared war on what they see as excessive cleavage on television. news media. To that end, an expert panel

Xinhua said that in the future public

has developed 12 model routines that will

dancing would no longer vary from place

be taught nationwide by instructors who have received official training.

“Dancing in public squares represents the collective aspect of Chinese culture, but now it seems that the overenthusiasm of participants has dealt it a harmful blow with disputes over noise and venues,” Photos: Getty Images, Reuters, Corbis

Liu Guoyong, chief of the General Administration of Sport’s mass-fitness department, told the state-run China Daily newspaper. “So we have to guide it with national standards and regulations.”

In Beijing, the nation’s capital, where tens of thousands of women – mainly June 2015

“dancing in public squares represents the collective aspect of chinese culture, but now it seems that the overenthusiasm of participants has dealt it a harmful blow with disputes over noise and venues,” Liu guoyong, chief of the general Administration of sport’s mass-fitness department, told the staterun China Daily newspaper.

to place, but would become “a nationally unified, scientifically crafted new activity that brings positive energy to the people.”

Although the Chinese news media frequently lampoon the “dancing grannies” – especially the social disharmony they sometimes provoke – the new regulations appear to have hit a nerve.

Recently, newspaper commentaries and social media chatter responded to the news with ridicule, with many complaining that the regulations had largely sidestepped the issue of noise that is at the heart of many complaints.

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Culture

“What the grannies need are venues, not

during the Korean War, and scores of low-

of China Culture Daily, the official

regulated routines,” the online news portal

impact routines that detractors call the

newspaper of the Ministry of Culture.

RedNet wrote. “Only an increase of public

“zombie dance” because their participants

sports venues can satisfy urban and rural

tend to shuffle along with arms held in

that were posted online prompted a

residents’ need for fitness routines such as

front of them.

torrent of derision, with some people

Recent videos of the new dances

saying the routines were too challenging

football and square-dancing, and lessen

for amateurs.

the phenomenon where square-dancing

Asked About noise complaints, one

disturbs residents and takes up all the

58-year-old retired public servant threw

parks and public spaces.”

her head back with a laugh and did a little

grannies hurt themselves doing these?”

jig. “The louder the music, the more fun it

asked someone on the microblog account

is,” she said.

of the national broadcaster, CCTV.

Another commentary posted by the Xinmin Evening News said the government would do better to address

In interviews, many women described

“Who pays the medical bills if the

But in an recent interview, Wang

the yearning for social interaction among

how their lives had been transformed after

Guangcheng, a 29-year-old fitness trainer

the nation’s booming population of

taking up dance.

who choreographed the routines, said they

retirees. “The biggest tragedy is not the

“I used to be quick to lose my temper,

were easier than they looked.

square dance by grannies, but the fact

but now nothing bothers me,” said

“I tested them on several groups of

that grannies have nothing else to do than

Yu Xiuhua, 64, a former paper mill

grannies, and they had no problem,” he

square-dance,” it said.

worker who was prancing to a 1960s-era

said. “Some even asked that the moves be

liberation song. “When I dance, I forget

more complicated.”

Public dancing in China took root in the 1990s, its ranks fed by the growing legion

all my cares. And I can also hike up

of women whom the government forced

mountains with little effort.”

into retirement in their mid-50s.

Guidelines on when and where dance

Wang said many of the popular routines he saw on the streets of Chinese cities provided inadequate exercise. His goal, he

activities should be held, and how loud

said, was to come up with alternatives that

styles to choose from. On a recent Tuesday

the music should be, have yet to be

worked the entire body, while introducing

night, along the landscaped fringe of

developed, but preparations are underway

the dancing public to more up-to-date

highway known as the Second Ring

for a national outdoor dancing association

styles like samba and Zumba. “I want to

Road, there was a waltz group, a troupe

to “strengthen management and promote

see more young people dancing in public

whose participants dressed in green

healthy development” of the activity,

squares,” he said.

fatigues and danced to songs popularised

according to a report on the website

These days, there are scores of dance

Recently, some news outlets took a different tack, suggesting that public dancing not only provoked social strife, but also could be ruinous to the body. The Taiyuan Evening News quoted a sports medicine expert who said that squaredancing, as it is called, was potentially dangerous, especially if practiced for more than an hour at a time. As she took a break from a synchronised line dance on a recent Monday night, Wang He, 47, scoffed at the suggestion that dancing might be unhealthy.

Wang, who wore a spangled blue spandex top, said the alternative was far less healthy. “It’s much better than sitting at home and just watching TV,” she said.

Left: Chinese women holding toy guns dance to a revolutionary song at a square outside a shopping mall in Beijing.

Portfolio

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Essentials

74

Luxury

Teutonic Timepieces Since 1845 the small town of Glashütte has been the cradle of German watchmaking and remains home to the prestigious watch manufactory, Glashütte Original, reports Nick Rice.

of it. If you look at the 170 years of our heritage you will notice so many challenges and obstacles, frequently changing political conditions and craftspeople firmly rooted in their profession and their region. It is absolutely amazing what has been achieved at Glashütte Original during the last years

T

the division of Germany, communist rule

capital ‘S’ when it comes to the

and economic calamity in the aftermath

world’s finest watchmaking. Yes,

right now.”

The indomitable spirit of Saxony and its

of World War II. With the reunification of

technically advanced people kept the brand

there is Swiss-made, but it would be remiss

Germany in 1990 the company Glashütter

alive, and under the auspices of the Swatch

to overlook Saxony – the state in Germany

Uhrenbetrieb GmbH was founded and

Group the future holds more promise. As

where the town of Glashütte is found. This

since 1994 Glashütte Original has been

Gamard adds, “Being part of the Swatch

is where German watchmaking began and

synonymous with technical eminence

Group was and is absolutely essential.

is the base for one of the region’s premier

and bold design. With Swatch, Glashütte

Without the support of the Group, we

brands, Glashütte Original. Which brings us

Original’s journey evolved from being a

couldn’t have opened the German Watch

to another essential ‘S’… that of Swatch.

respected watchmaker from a renowned

Museum or expanded our production

region, into a bonafide global luxury brand.

capacity or our international distribution.

Discussing the long road travelled with

Thanks to the Swatch Group, we now own

Glashütte Original joined the Swatch Photo: Getty Images

and decades… and the story continues

here is more than one important

Group Ltd. (the world’s top producer of finished watches) at the turn of the century.

Yann Gamard, the CEO of Glashütte

our own dial manufactory and could thus

This significant union is part of a fascinating

Original, he says, “I feel intrigued by the

further enhance our production depth.”

history spanning 170 years, which entailed

history of our brand and proud to be part

The German Watch Museum Glashütte Portfolio

75

was established in 2008 to illustrate

– the world’s biggest watch and jewellery

the roots of the watchmaking industry

fair. The brand also announced a global

with the German Bauhaus art school and

in Glashütte within a comprehensive

roadshow at the fair entitled ‘360° – The

the ‘form follows function’ philosophy that

exhibition itinerary that showcases

Facets of Glashütte Original’.

has informed German design for over 80

humanity’s sense of time and the tools we

This event will travel from city to city for

It’s a popular artistic code that is resonant

years. Glashütte Original watches have

use to measure it. And while it’s vital to

the rest of the year unveiling a circular setup

multiple signature style elements, such as

respect and safeguard the details of the past,

based on three pillars: the rich heritage,

substantial size and weight and enlarged

Glashütte Original also embraces the future,

the exciting present and the promising

date apertures on important pieces, but the

focusing on new accomplishments alongside

future of the brand. Visitors can expect to

core characteristic is, “Teutonic”.

the preservation of heritage.

admire Glashütte Original watches from

Founded in 2002, the Glashütte Original

With ever more innovative and

the four collections: ‘Quintessentials’ with

highly desirable timepieces in the

Alfred Helwig School of Watchmaking

its traditional classicism, ‘Art & Technik’ for

pipeline, Glashütte Original continues to

represents such dedication to the survival

extreme innovation, ‘20th Century Vintage’,

consolidate its position as one of the most

and progression of watchmaking in the

which rejuvenates past icons, and ‘Ladies’ for

prestigious and masterful brands in the

region. Without the training of new young

bold and beautiful watches.

luxury watch industry.

its superlative wristwatch creations would

The disTincTive design of all

Yann Gamard concludes, “What I hope for

be halted. With healthy enrolment figures

Glashütte Original watches is, according to

in the next 10 years can be summarised

the school is proving to be a great success.

the Head of Design at Glashütte Original,

in three major points: first, increase our

The guarantee of a job with a Swatch Group

because, “The German design approach

production so that we can satisfy our

Ltd. Company for every successful graduate

is inside out. We start with what the

customers world-wide. Second, manage to

is doubtless very attractive for younger

product is for, how it will be used and

find, train and retain enough young talents

generations in uncertain times.

then build the design from there. Its idea

so that we can continue to grow and thrive.

emerges through the process. It’s not about

We need enough ‘fresh blood’ to allow our

to global financial instability, such as the

making something pretty by putting on

experienced masters and craftspeople to

unpegging of the Swiss franc from the euro

embellishments afterwards.”

pass on their knowledge. Third, I hope

watchmakers the evolution of the brand and

The watch industry is always susceptible

Considering the short-term future, CEO

in January that caused the biggest fall on the Swiss stock market in 25 years, but overall the watch business is in good shape.

Glashütte Original is certainly buoyant after a positive start to the year with increased orders during Baselworld 2015

June 2015

that the love for beautifully manufactured Below left: Yann Gamard, Glashütte Original CEO, and Katarina Witt at the ‘Glashütte Original presents new collection for women’.

Below right: Visitors at the Glashütte Original display at Baselworld 2015.

timepieces and excellent German engineering will continue to grow and that more people around the world will discover Glashütte Original and appreciate its works of art.”

76

Portfolio

Essentials Culture

77

A Twist to Arranged Marriages in India

Online matchmaking, as well as urbanisation and cellphones, have altered the face of India’s arranged marriages, reports Gardiner Harris Harris.

F

or thousands of years, fathers in India have arranged the marriages of their children, and

Garima Pant – like an estimated 95 per cent of her millennial peers – was intent on following this most Indian of traditions.

Her father found a well-educated man in her caste from a marriage website that features profiles of potential mates and presented his choice to her. And that was when her rebellion began. “I don’t think so,” responded Pant, a 27-year-old special education teacher, after seeing a picture of a man with streaks of colour in his hair.

So her father picked another profile. “Are you kidding?” And another. “Ugh.” And dozens more.

tradition yet again, finding the man’s Umbrella in hand, Manas Pant’s father greets his son on his wedding day.

cellphone number and secretly texting him.

Her boldness made the match. By the time the fathers discovered that their families were of the same gotra, or subcaste, generally making marriage taboo,

June 2015

© 2015 New York Times News Service

When a profile of a man who intrigued her finally appeared, Pant broke with

78

their children had texted and emailed enough that they were hooked. Months later, the couple exchanged vows with their fathers’ grudging blessings. Theirs was one of a growing number of “semi-

Under such strains, families have sought

arranged” marriages in which technology

larger networks, increasingly through

has played matchmaker, helping whittle

matchmaking sites.

The websites – India now has more than

away at an ancient tradition, but with a

1,500 – nationalise the pool of prospective

particularly Indian twist.

spouses, giving parents thousands more IN A SOCIETY where marriage is largely

choices while still allowing them to adhere

still a compact between families, most

to long-standing restrictions regarding caste and religion. (Candidates who fail to

parents, especially fathers, are in charge of the search for a mate, including by

time on their wedding day. Refusals can

identify their caste get far fewer responses,

scouring the now ubiquitous marriage

be met with violence and, sometimes,

matchmakers and marriage brokers say.)

websites for acceptable candidates. But

murder. In one case in November, a

a growing number, especially in India’s

21-year-old New Delhi college student

India’s young people remain exceptionally

cities, now allow their children veto

was strangled by her parents for marrying

open to their parents’ input on mates.

power. Even siblings have begun weighing

against their wishes.

in; Pant’s younger brother became an

The shift away from fully arranged

The system works, analysts say, because

“Intergenerational relationships in India aren’t hostile. Our teenagers don’t

early booster of the man she would

marriages is being driven in good part by

have angst. They don’t rebel or misbehave

eventually marry after seeing his profile

simple market dynamics among Indians

with their parents,” said Madhu Kishwar,

photo with a black Labrador retriever.

who have long seen marriage as a guarantor

a prominent feminist author and a

of social status and economic security.

professor at the Centre for the Study of

Human rights activists have welcomed the evolution as a significant change in

For centuries, fathers sought matches

the status of women worldwide and are

among their social connections, often

hoping even poor, rural families begin to

with the help of local matchmakers who

allow marriages based on choice.

carried résumés door to door. But village-

Each year, they note, roughly eight

based kinship networks are fading as

million mostly teenage brides marry men

more families move to cities, and highly

chosen entirely by their parents, with

educated women often cannot find

many meeting their grooms for the first

men of equal standing in those circles.

Developing Societies in Delhi. “And the reason marriages in India are more stable Clockwise from top left: Members of the bridal party watch a henna ceremony; Manas Pant and relatives wait for transport to a wedding ceremony; A bridal party escorts Garima Pant to her wedding ceremony.

Portfolio

Essentials Culture Left: Those urbanised Indians shifting to semi-arranged marriages say the change could not have happened nearly as quickly without the growth of matrimonial websites and the proliferation of cellphones Bottom: Newlyweds Manas Pant, left, and Garima Pant pose for a photo during their wedding ceremony.

prying ears of their families.

As prospective brides and grooms increasingly take a role in their courtships, the marriage websites’ formulas for suggesting possible mates have had to change, said Gourav Rakshit, chief of operations at Shaadi.com, the largest such site. “We have seen marked shifts in people using compatibility factors for their searches instead of only the more restrictive parameters of the past,” like wealth and caste, Rakshit said.

In the end, Garima Pant, whose cellphone became a tool of rebellion, mainly got her way. She insisted on meeting her future husband, Manas Pant, alone before making a decision, a oncerare demand that is now routine in semiarranged marriages.

A date was set for Café Turtle in New Delhi’s upscale Khan Market, and Garima Pant agreed to drive Manas Pant (whose surname was coincidentally the same as hers). Mistake.

“I was 20 minutes late picking him up, and he hates it when people are late,” Garima Pant said.

Manas Pant, 28, a marketing

than those in the West is because families

human rights activists say leaves girls

professional for technology companies,

are actively involved.”

especially vulnerable.

had a slightly different take: “Actually, she

But even as social mores shift, relatively

“Marriage is the single biggest risk to

was 25 minutes late,” he said. “Then she

few young Indians, including those who

Indian girls,” said Joachim Theis, chief

hit a car.” But he was already committed

demand more of a say in their marriages,

of child protection at UNICEF in India,

to marrying her, and she was impressed

are straying too far from tradition. Dating

which says the country has a third of the

by his reaction.

– or at least openly dating with parents’

world’s child brides. “They drop out of

consent – is still relatively rare. And

school; they lose their freedom; they are

she said. “It was a joke, and I thought, ‘OK’

many of those who choose semi-arranged

under the control of their husbands and

I’m not saying I heard bells or anything,

marriages say that romantic love, the

mothers-in-law; they lose their social

but it was the right thing to say.”

head-spinning Bollywood kind, is not

network; and they are more likely to die

their goal. Compatibility is, as is a sense of

than unmarried adolescent girls,” he said.

control over one’s destiny.

“I wouldn’t say that I’m head-over-heels madly in love with my husband,” said Megha Sehgal, a flight attendant. “But

Many of the deaths are linked to

“He said, ‘Well, we’re off to a good start,’”

After a two-hour date, she dropped him off and drove home, where her father, mother and brother were eagerly waiting in the living

disputes over dowries demanded by the

room. That night, Manas Pant texted: “I’m

grooms’ families.

telling my father to go ahead. OK?”

Those urbanised Indians shifting to

It was the equivalent of a man in the West

he gives me a lot of comfort, and I see a

semi-arranged marriages say the change

going down on bended knee. The families

friend in him.”

could not have happened nearly as quickly

would still have to meet, and horoscopes

without the growth of matrimonial

would have to be consulted. But in a

For poor, rural women, the

websites and the proliferation of

monumental change, nothing could happen

notion of even semi-arranged marriage

cellphones, which have given young

without Garima Pant’s approval.

is still mainly out of reach – a fact that

Indians a way to converse away from the

June 2015

She texted back, “Yes.”

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80

Essentials

Heritage

Portfolio

Essentials Heritage

A Modern Threat to Hue’s Heritage Hue’s World Heritage Sites have endured time, weather, modern armies and neglect, but the biggest threat they now face is development, reports Edward Wong.

S

traddling the Perfume River in central Vietnam, Hue was the seat of the last imperial dynasty, and it

All the while, the city’s climate remains as persistent a threat as time.

“The humidity makes it hard to restore,”

has long been known for what the Nguyen

said Truong Dinh Luat, 47, a Hue native,

emperors left behind: the imposing

as he guided visitors around the Citadel

walled Citadel with its former palaces and

on a recent morning. Bullet holes from

pleasure gardens; the ornate royal tombs

1968 still scarred some walls, and the

scattered across the verdant hills; and the

rubble of fallen stonework lay in small

wooden villas of their mandarins.

piles in a few areas. “The workers have a

These buildings have endured the

tough job,” he said.

infamous Hue weather – dank and misty and grey much of the year – and the brutality of

WilliAM logAn, A scholar of heritage

modern armies. Some of the bloodiest urban

and conservation at Deakin University

combat the US Marines have ever faced

in Australia, sounded an alarm over the

took place in the Citadel during the 1968

challenges to preservation last October

Tet Offensive, a battle depicted in Stanley

at a conference on wooden architecture

Kubrick’s Full Metal Jacket.

here. He said that Hue’s monuments were

The monuments have also withstood

at risk of losing the World Heritage Site

decades of rule by the Communist Party,

status bestowed by UNESCO, the United

despite being symbols of the feudal

Nations cultural agency.

traditions the party was trying to exorcise from Vietnam.

But what weather, war and ideology

“If the province fails to monitor and better manage its preservation of the monuments, the entire complex’s

had not yet undone, a newer threat

overall value will certainly be hugely

may: the economic boom that has

undermined,” Logan said, according to

been transforming the character of this

a report by Tuoi Tre News, a Vietnamese

central Vietnamese city of 340,000

state-run newspaper.

people in recent years. Preservationists

Logan expanded on his remarks in a

are struggling to ensure that officials,

telephone interview. “If the problems aren’t

businesspeople and residents here

addressed, the World Heritage Committee

properly protect Hue’s heritage.

can consider putting the property on the

A freeway now runs through hills facing

World Heritage Endangered List,” he said.

the baroque tomb of Khai Dinh, a Nguyen

“No country likes that. It’s a loss of face. It

emperor, compromising the tomb’s feng

can impact negatively on tourism.”

shui, or geomantic qualities. A tourist

“Heritage is fairly low down on the list for

resort has been built along the Perfume,

governments – they all want development,”

a languid, tree-lined waterway, and there

he added. “It’s hard to convince

is talk of apartment towers being erected

governments they can have heritage and

within sight of the Citadel’s ramparts.

development at the same time.”

June 2015

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82

Tourism in Hue got a boost in 1993 when

– and more modern villas built late in the

the city’s major sites were given World

imperial period. Though not recognised as

Heritage status. No other city in Vietnam is

World Heritage Sites, those houses have

as boastful of this honour as Hue is. Signs

their proud residents.

outside the Citadel and the Nguyen royal

“I still believe in the heritage of Hue,”

Above: Red lacquer doors at Hung Mieu Temple inside the Citadel, built by Nguyen Dynasty emperors.

Vietnam and was on home leave in Hue

tombs declare that last December, officials

said Hoang Xuan Bat, 83, as he sat in

when the Tet offensive began. Truong

recognised the 30 millionth person to visit

the dark living room of a European-style

said his father threw his uniform into the

the city since the designation.

manor dating to 1910. “I respect its history,

Perfume River to avoid repercussions as

and want to tell foreigners about it when

the North Vietnamese and Viet Cong forces

they visit, but I can’t speak English.”

advanced, and then attached himself to the

The Nguyen dynasty made Hue its capital from 1802 to 1945. The Citadel

US Marines as an interpreter when they

was begun by one emperor, Gia Long, and completed 29 years later by his

When it rains in Hue, which is often,

successor, Minh Mang, who was known

some of the challenges to conservation

Much of the Citadel was destroyed

in part for having had 142 children with

become obvious. One wet morning in a

in the fighting, he said, but the former

scores of women. (Numbers vary, but

throne room of the Citadel, pools of water

imperial library was not, so it was possible

some accounts say he had a total of 500

collected on the floor in front of the gold-

to restore it. Its interior has been given

wives and concubines, kept in the Purple

painted throne. More pools could be seen

new wooden beams and doors, and

Forbidden City deep inside the Citadel.)

along a wood-planked hallway.

construction workers were there during a

In lanes near the Citadel are nha ruong

“Every time it rains, water comes down

– wooden garden homes that once housed

from the roof,” said Truong, the tour guide,

mandarins and other personalities of note

whose father was a soldier for South

arrived to retake the city.

recent visit, wearing masks and walking on a layer of sawdust.

Logan said he was concerned that Portfolio

Essentials Heritage property developers might gain permission Top to bottom: Colourful gate at the Citadel; Sunset over the Imperial City in Hue; La Residence, once part of the former colonial governor’s residence and reborn as a luxury hotel in 2005; Carpenters work on support beams for the main entrance of the Citadel.

to build high-rise towers around the Citadel and other sensitive sites. He said nothing should be built there that extends above the treetop canopy.

At the request of the World Heritage Committee, the Hue Monuments Conservation Centre, a government organisation, is drafting a plan to improve conservation of the sites. Phan Thanh Hai, director of the conservation centre, said that “Hue history may be the most impressive” in all of Vietnam because Hue was once the home of “many skilful craftsmen, famous poets and intellectuals.”

But he acknowledged that Hue’s monuments had suffered from “inappropriate management” around the historic sites, as well as “impacts from natural disaster, and from harmful insects, microorganisms as well as fungi on wooden components.”

Logan has suggested that Vietnam try to nominate Hue for UNESCO designation as a Cultural Landscape that would make a whole stretch of the city a protected site. Ideally, he said, the area would include a green wedge of land running southwest from the Citadel as well as the Perfume and the mausoleums in the south.

“It’s the river that binds all the serial sites together,” he said. “Bodies were taken up and down the river to be buried.”

Traditionally, an emperor who died would lie in state at the Citadel, and then would be carried by boat to a tomb that he would have had built during his lifetime. Some emperors even spent leisure time at the tombs they built, drinking wine and composing poetry.

That was the case with Tu Duc, the fourth Nguyen emperor, whose tomb has a small lake with a wooden pavilion.

Officials allowed a two-lane highway to be built toward Tu Duc’s tomb years ago, but construction was halted before it reached the mausoleum. The tomb remains intact, with a symbol made of glazed blue tiles on one wall that means “long life.”

June 2015

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Essentials

84

Environment

© 2015 New York Times News Service

Lake Nicaragua Under Threat

The plan to build a $50 billion canal across Nicaragua, 90 kilometres of which would traverse Lake Nicaragua, could prove to be an environmental disaster, reports Elizabeth Zach.

As the Che Guevara ferry lurched with

go from dazzling to engrossing. The

determination across Lake Nicaragua,

countryside at the foot of the volcanoes

moving toward Isla de Ometepe, it was

is blanketed by generous thickets of

difficult to decide where to train your

bougainvillea, poinsettia, hibiscus, palms

eye. On one end of the island is Volcán

and banana trees. The volcanoes dominate

Concepción, an active stratovolcano whose

the rough island, although 30,000 mostly

frequent eruptions leave in their wake neat

agrarian residents who settled there and a

streams of ash that, when the wind is right,

perpetual parade of tourists wedge their way

resemble the detritus of a giant smokestack.

in. Islanders ride horseback across grassy

On the other is Volcán Maderas,

fields or herd goats, and young northern

Concepción’s smaller, lusher cousin.

European tourists whiz by on mopeds.

Regardless of where your gaze rests,

This pastiche of natural and exotic

the $3 ferry ticket (prices are often quoted

wonder feels a world away from the bustle

in US dollars in Nicaragua) is a bargain,

of mainland Nicaragua. Ometepe sits

considering the staggering view: a span

amid the largest freshwater lake in Central

of deep blue water bookended by two

America, and that is one reason agua

formidable summits, shrouded in

(water) is part of the country’s name.

swirling mist.

Once you make landfall, the views

Ometepe and Lake Nicaragua have remained a respite from occasional Portfolio

85

Right: A monkey along a hiking trail on the slopes of Maderas; Bottom right: A snowy egret spotted among the quiet channels and lagoons of Las Isletas.

15 MILES

NICARAGUA

P

CARIBBEAN SEA

LAKE NICARAGUA

A C

IF IC

O

C

E

A

ISLA DE OMETEPE N

Brito o San Juan nD De Del Sur

The 172-mile canal would run from Brito, through Lake Nicaragua, to the Caribbean Sea.

San Ca Carlos

R E S E R VA B I O L Ó G I C A INDIO MAÍZ

The Panama Canal is about 250 miles southeast.

THE NEW YORK TIMES

political and military flare-ups. In the

Panama Canal, about 725 kilometres

civil war that ended 25 years ago, the

south of the proposed route.

stands in the way of its construction.

I visited Nicaragua in January and went to see Ometepe and the lake,

region saw virtually no combat, because islanders went to the Honduran border or

In late December, workers

where a good portion of the million-

elsewhere on the mainland to fight. The

began building access roads for the

plus international tourists who visit the

beauty of Ometepe and the vast waters

$50 billion canal. It represented enough

country every year go. The island is an

of aNews step Service forward that it sparked protests. of Lake Nicaragua are two immutable N.Y. Times But the future of the project remains constants that Nicaraguans can rely on.Date: 4/28/15 Graphic Slug: NICARAGUA ZACH LSPR in question, not least because of Lake Size: 11.5 x 4.1 (BC--NICARAGUA ZACH LSPR--NYT) Nicaragua itself.

Jing, a Chinese billionaire, has his way. With Story:

That is bound to change if Wang

essential element of a burgeoning ecotourism industry, one whose selling point is the fact that Nicaragua has 0.01 per cent of the world’s land mass but seven per cent of its biodiversity.

A consortium he led won approval last

If the canal is completed, 90 kilometres

year from the Nicaraguan government

of it would cut across the freshwater lake,

The Nicaraguan government has yet

to build a canal across the country. The

transforming its bed and local rivers, but

to commission an environmental impact

plan, which would connect the Atlantic

could also make this main source of the

assessment on the canal plans. The

Ocean to the Pacific and shave about

country’s drinking water no longer potable.

company behind the canal, HK Nicaragua

800 kilometres off the shipping route

This magnificent body of water could

Canal Development Investment Co., or

from New York to Los Angeles, is the

very well be both the inspiration that first

HKND, paid a private British firm,

realisation of a centuries-old dream that

led explorers dating back to Napoleon to

ERM, to do so.

has outlasted the construction of the

dream up the canal and an obstacle that

June 2015

Like most visitors, I first saw Lake

86

Above: Augusto Taylor Jackson, who has worked as a tour guide for 12 years, encounters a starfish while snorkelling in the Pearl Cays.

Top left: Volcan Concepción can be seen from Finca Magdelena, a working coffee plantation and hostel on Ometepe Island.

Left: Concepción, the taller of two volcanoes that form Ometepe Island.

Nicaragua while travelling through the picturesque, vibrant colonial town of Granada, which sits on its northwest shore.

I continued on to the desolate Centro Turistico, a lakefront park, and was gradually accompanied by Santo, a wizened and toothless man on a bike who offered to rent me a kayak as he ushered me along to a shop at the end of the park’s main road. There, I was introduced to Lorenzo, a young man

Nicaragua’s indigenous communities such

from Las Isletas, an archipelago of more than

as the Rama, Garifuna, Mayanga, Miskitu

300 tiny tropical islands scattered about the

and Ulwa. The government maintains

northwest edge of the lake.

that the canal would provide an economic boost to a country sorely in need of one,

After settling into our kayaks

where many earn $1 a day. The canal is expected to provide 25,000 jobs for

on the beach, we maneuvered across the choppy lake, finally reaching the quiet channels and lagoons of Las Isletas.

We paddled around one island with

Nicaraguans, HKND has said, and the

a well-manicured manor house draped

Nicaraguan government projects that

in vines and surrounded by waterside

revenues could lift 400,000 people out

Lorenzo pointed out kingfishers and

gardens and a metal fence. Lorenzo told

of poverty in the next three years.

warblers swooping into the waters,

me it was the vacation home of Violeta

swallows perched on lily pads and egrets

Barrios de Chamorro, Nicaragua’s

line the pockets of interests beyond

gingerly traversing marshes. He grew

president from 1990 until 1996.

Nicaragua by providing a cheaper route

As we glided through Las Isletas,

excited at the yellow-chested oropendolas,

As we headed back to Granada, Lorenzo

The canal would, of course, also help

that accommodates the increasingly large

with their ball-shaped nests dangling

asked me if I knew about the canal. I

ships used to transport goods from the

from tree branches, and then, barely

nodded. “If it’s built,” he said, “the waters

eastern United States to the West Coast,

visible in another tree, an iguana glaring

will go up and they will go down. But

and from Latin America to Asia.

down at us. At one point, he silently led

either way, we don’t know if we will be

me beneath a gargantuan mangrove and

able to fish here like we do now.”

pointed with his oar under a limb before dozens of bats set off toward us.

The canal project threatens not only Las Isletas’ residents, but also several of

the cost, however, is “staggering environmental devastation,” according to Axel Meyer, a professor of zoology and Portfolio

Essentials Environment From top to bottom: Aoife Bruce, 10, hikes with her family amongst the coffee trees growing on the slopes of Maderas, one of two volcanoes that form Nicaragua’s Ometepe Island; A beach house in Pearl Cays, on Nicaragua’s Caribbean coast near the terminus of a proposed trans-oceanic canal; Locals in a spring-fed swimming pool at Ojo de Agua, a natural reserve on Ometepe Island.

evolutionary biology at the University of Konstanz in Germany who has conducted ecological research in Nicaragua for 30 years.

One of the habitats standing to lose much is Ometepe, which relies on the lake for irrigation and is home, Meyer said, to its own unique flora and fauna, including a lungless salamander first discovered and described in just 2008, and Tomocichla tuba, a relatively rare cichlid fish.

My guide on Ometepe was Enoc, who first took me to the coffee plantation at Finca Magdalena, leading me later on a hike among the coffee trees that cover the higher slopes of Volcán Maderas.

Descending the trail, I could hear shrieking. “Monkeys,” Enoc said when he saw my puzzled face. “But if you want to see them, we’ll have to go off trail.”

I followed him through the brush and under barbed-wire fences until we reached a shaded grove, where Enoc motioned for me to be still as he pointed upward at a family of white-faced Capuchin monkeys – some with babies on their backs – clinging to the highest branches, their tails leisurely unfurling downward.

The prospect of Nicaragua’s canal perhaps provides the best reason to visit the country now, adding drama to what might otherwise be a pretty postcard tour of the tropics. I think of this when I recall Enoc on Ometepe, when he pointed to the lake and at the Isla de Quiste, and beyond, two ferries shuttling between the island and the mainland. I took a long moment to absorb the dreamlike view, noticing the particularly tranquil waters stretching toward the horizon.

June 2015

87

Essentials

88

Photo: Reuters

Other Business

At a salon just outside the Brazilian city of Sao Paulo, artistic hairdresser Nariko is offering a stylish option – etching the profiles of the famous onto the sides and back of his clients’ heads.

The 27-year-old has been getting creative for a about a year now, reproducing images of rapper Snoop Dogg, Lionel Messi and even Leonardo Da Vinci’s The Last Supper on scalps.

Clients bring a picture of their favourite celebrity and Nariko gets to work with a hair clipper to cut the image. With the basic outline in place, he then carefully uses a razorblade to cut in smaller details, sometimes adding colour.

A haircut at Nariko Hair Style costs between 20 to 50 reais ($6.55 to $16.40) while the sculpting of a face increases to 120-140 reais.

Photo: Getty Images

Fit for a True Fan

Treasure in Urugay The ancient lure of gold, rum and other treasure is drawing a horde of modern speculators to the salvage of a British warship that sunk in 1763 off the coast of what is now Uruguay.

The wreck of the Lord Clive – which was destroyed by Spanish cannon fire during a botched attack on the city of Colonia del Sacramento – was discovered in 2004, but it was only this year that the Uruguayan government gave permission for the vessel to be recovered.

Whether the wreckage has been looted is unknown, but Argentinean explorer Ruben Collado believes it will still contain the gold coins the captain was given to pay for the intended three-year expedition, thousands of litres of rum, 64 bronze cannons and booty the crew had earlier seized from another ship.

No Anthem for Mobiles Bangladesh’s Supreme Court has banned

on the first 10 lines of a 1905 song

the use of the national anthem as a

written by Rabindranath Tagore, the

ringtone for mobile telephones or for

first non-European to win the Nobel

any other commercial purpose.

Prize for literature. The song was

a business tool,” the Supreme Court said, upholding a 2010 high court ruling.

The national anthem, Amar Shonar Bangla or My Golden Bengal, is based

adopted as the anthem in 1972.

Bangladesh is one of the fastest growing telecom markets in the region, with 124 million mobile phone users.

Photo: Getty Images

“The national anthem can’t be used as

Portfolio