Volume 7 Issue 11 - March 22, 2011

Stillman News

Ethics

Study Abroad experience explores history and business See p. 6 in Ireland.

Are Prescription Drug Monitoring programs ethical?

See p. 8

Domestic News South Dakota governor “inclined to sign” strict abortion bill amendments.

See p. 14

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TUESDAY, MARCH 22, 2011 - VOL. 7 NO. 11

Ja p an R eelin g f rom Eart h q u ak e A f t erm at h

By Morgan Tornetta, Domestic News Editor Lydia Porter is an American teaching English conversation classes in Saitama, a part of Tokyo. On March 11, Porter was teaching a class when her students asked, “Did you feel the earthquake?”

Porter asked them what they were talking about. “And then I felt it. It lasted such a long time it was bizarre. All the Japanese people said they had never felt an earthquake last so long.”

“It slowly just got stronger, and then stronger, and then even stronger and we left the classroom to run into the lobby where other classes were going.”

According to Japanese reports, the strong shaking of the 9.0 magnitude earthquake lasted three to five minutes, just long enough to cook a meal in the microwave.

The time residents of Sendai, the epicenter of the earthquake, had to prepare for the ensuing tsunami was only slightly longer than the quake that caused it. The warning sirens began to blare seven to ten minutes before the wave hit.

Later, power outages caused by these disasters threatened nuclear reactors in Fukushima Daiichi and Daini. For the next week the story developed—explosions, radioactive vapor clouds, and cooling systems failure.

In a March 15 statement, Prime Minister Naoto Kan told the Japanese, “As I explained previously, the reactor at the Fukushima Daiichi Nuclear Power Station

BMW Lo o k s to Mo ve Pro d u ct io n in to Brazil

By Ben Canning, International Business Writer BMW looks forward to beginning its first ever manufacturing operations in Latin America as it sets eyes on Brazil and its rapidly expanding car market, which has surpassed Germany in total sales volume.

Along with BMW’s own 51 percent market growth in the region, the probability of placing an assembly plant in Brazil is quite high.

BMW already sells roughly 10,000 units per year in the nation, but it is the speed of its growth that stands out. In 2010, the firm recorded an all-time high sales figure of 22,235 BMW and MINI cars in Latin America and the Caribbean Region.

The company believes that profitability will be hitting a peak over the next couple of years as the newest versions of the manufacturer’s most important and popular cars hit the market. BMW predicts that Brazil’s standard of living is rising due to its hosting

INDEX Money & Investing.............. 2 Stillman News...................... 6 Ethics ................................... 8 Editorials ............................. 9 Sports................................... 10 Domestic News..................... 13 International News.............. 15 International Business........ 16 Image courtesy of Reuters, Kim Kyung-Hoon

of the 2014 World Cup and the 2016 Olympic games, which can be a reason for the increased sales.

Reuters received input from Chief Executive Norbert Reithofer who said, “As a next strategic step, we are considering the set-up of further [manufacturing] sites, for instance in South America. Final decisions have not been made yet but our credo has always been that production follows the market. So it is a matter of course that we observe all emerging markets closely.”

Continued on page 16...

was shut off following the earthquake and tsunami, but none of the diesel engines that would normally power the emergency cooling system are in a functioning state….The

concentration of radioactivity being leaked into the vicinity of the station has risen considerably following hydrogen explosions.”

The Prime Minister also confirmed a fire in one reactor and a “heightened risk of even further leakage of radioactive material.”

Kan said residents have evacuated beyond the 12 mile radius from Daiichi, and should remain indoors if they live within 18 miles of the site.

Countermeasures released by the Prime Minister and his cabinet also warn residents about chain-emails, which they claim have been providing false information about the earthquake.

Elsewhere in Fukushima, companies are threatened by nuclear concerns as well as damage from the earthquake itself.

Companies such as Fujitsu, Texas Instruments and Cabot Corporation, that have plants located in Fukushima prefecture, have sustained damage from the earthquake.

Boston-based Cabot, which produces carbon black, fumed silica and inkjet colorants among other products, said in a corporate press release that they have had no personnel injuries and only minimal damage to its Fukushima facilities from the earthquake. However, “transportation and infrastructure disruptions have impacted operations.”

Continued on page 14...

U . S . Hou s eh old s Grow in g in N u m b er o f Million aries

By Douglas Demarco, Money & Investing Writer Americans received some positive news last week. According to the Spectrem Group, a premier U.S. consulting firm, the total population of millionaires in the United States increased by eight percent in 2010.

There are now a total of 8.4 million U.S. households that are worth at least $1 million, up from the 7.8 million households observed in 2009. This increase is linked to several different factors. One major reason is noted specifically in the report: the stock market’s recent success has resulted in many households seeing increases in their investment portfolios which results in an increase in overall wealth.

Despite an increase in the number of millionaire households, the figure reported is still below the peak year experienced in 2007, when 9.2 households were worth at least $1 million. This drop can be con-

tributed to the housing market, which still has not recovered back to the levels experienced in 2007.

In 2008, the number of households with net worth of at least $1 million dropped by 27 percent. An upward trend of 16 percent was realized in 2009.

A similar increase was seen in households with a net worth of at least $5 million; households in this category increased by 12 percent to 1.1 million. Households with a net worth of at least $500,000 also increased by six percent to 13.5 million.

Despite the reduction in growth between 2009 and 2010, the continuing increase in the number of millionaires is a positive sign. However, George H. Walper Jr., President of Spectrem Group, said “While investors are feeling positive about their own portfolios, they are not convinced that the economy has recovered.”

Continued on page 5...

Lockout has Catastrophic Effect for NFL and Fans

By Tony Cramond, Sports Business Writer The question on everyone’s mind is will there be a NFL season this year? NFL owners and the NFL players are now in legal battles to try and gain an edge against the other side in negotiations. The prize that they are all fighting for is the biggest piece of the $9.3 billion dollar pie that the league generates in annual revenue. These legal battles have led many fans to believe that both sides are very far apart in their negotiations.

The NFL and the NFL Players

Association, after multiple extensions of the old collective bargaining agreement, finally ended their negotiations March 11 and the NFL locked out the players from all football-related activities. After that meeting, a series of legal maneuvers began to come from both sides. The Players Association decertified and the players were able to file an antitrust law suit against the NFL. This action asked for the court to stop the lockout.

The NFL then made its legal move by filing a complaint against the NFL Players Association with the National Labor Relations Board. The NFL claimed that the

Players Association was not negotiating in good faith and wanted to file its lawsuit against the NFL. The Players Association denied the claim.

Still, all of these legal rulings will take time and that is something that the NFL and the Players Association do not have. The official offseason workouts for the teams start in July and that will be the first official football event that would be canceled if there is no new collective bargaining agreement in place.

Continued on page 11...

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TUESDAY, MARCH 22, 2011

Money & Investing

Company Comparison

This Week’s Poll Question:

Graph courtesy of Google Finance

Do you believe nuclear power plants in the U.S. should be shut down because of what is happening in Japan?

A: Yes, they are too dangerous B: Yes, they should be moved to remote locations C: No, it was an unlikely accident D: No, they should update older power plants

Last Weeks Poll Question: Graph courtesy of Google Finance

Do you think that revolutions around the world will continue to spread?

Yes, peacefully (19%) Yes, but they will get violent (41%) No, governments will regain control (15%) No, it will begin to settle down (26%)

Sector Summary

NEWS BRIEFS

Courtesy of Google Finance

Earnings Stock to Watch: EV Energy Partners, L.P. Graph courtesy of Yahoo! Finance

• A new assessment of President Barack Obama's budget, released Friday, states that the White House underestimated future budget deficits by more than $2 trillion over the upcoming decade.

• DuPont Co.’s Chairwoman and CEO, Ellen Kullman, received compensation valued at $11.3 million last year, a 36 percent jump from what she received in 2009, according to an Associated Press review of data filed with regulators.

• Yum Brands Inc., the company that owns KFC, Taco Bell and Pizza Hut chains, gave Chairman, President and CEO, David Novak, a pay package worth nearly $12.6 million in 2010, according to an Associated Press analysis of data filed with regulators.

• IBM Corp. has agreed to pay $10 million to settle allegations that it bribed South Korean and Chinese government officials for more than a decade to win contracts.

World Currencies Courtesy of Google Finance

THE STILLMAN EXCHANGE

Money Funny Corner

Charlie Sheen “Winning” As Presidential Candidate

By Danny Jones, Money & Investing Writer Just two days ago, the man who has been “winning” all his life, Charlie Sheen, will run for the presidency of the United States.

When asked if he will be running as a Democrat or Republican, Sheen replied “Neither, I’m both. Yeah, I could say I’m a Democrat, but I’m really Republican. And what really is a Republican than just a Democrat?”

Our expert analysts could not decipher this convoluted sentence, so we will assume he’s running as an independent.

The news came as quite a shock to the world, because of how abruptly he has made this decision. “I have one speed; it’s ‘Go!’ you know?” Sheen stated, “If I didn’t make split second decisions, I’d be a loser, and Charlie Sheen ain’t no loser.”

With the sudden decision to run for President, other celebrities that are in the process of losing their sanity, along with Sheen, have also decided to consider running for president. Gary Busey, Michael Cera, the weird frog guy from “Gulla Gulla Island” and Shia LaBeouf are also considering the electoral process.

When we asked LaBeouf how he plans on digging our economy out of the ground, he looked at us with a puzzled, confused face, tried to act his way out of the answer and then ran away. Michael Cera responded by standing in the most awkward stance ever seen and started sweating profusely when a woman walked by. He also declined to finish the interview.

Charlie Sheen’s insanity, lack of understanding of social norms, and demanding confidence may just be what this country needs.

Yes, he has lost his mind, and yes, he has taken so many drugs that his mind is constantly misfiring, but this may be the change our country needs.

When Sheen was asked the same question that we asked LaBeouf, he replied “I would get this economy out of the giant hole we’re in simple. Kick all the losers out.”

He also said, “Let me ask you a question: how could a country fail if it were full of absolute winners? I’ll tell you how, they wouldn’t be. If we force all the losers to Canada, where losing is a national past time, we will make our country the ‘most winningest’ country in our galaxy.”

The current president, Barack Obama, will have a lot of competition if he plans on running for a second term in the White House.

Although the commander-in-chief certainly has an impressive political background, going up against the “Wild Thing” on the mound might stir some interesting debates.

Contact Danny at daniel.jones@student.shu.edu

All information contained in this publication is not intended to substitute for the advice of a professional financial planner. It is meant only for informational purposes. The Stillman Exchange assumes no liability for any investment losses incurred as a result of information provided in this publication. Readers should consult a professional financial planner.

THE STILLMAN EXCHANGE

Money & Investing

TUESDAY, MARCH 22, 2011

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48 Percen t o f A m erican s Have Les s Th an $50 ,000 S aved f or R et irem en t

By Amanda Bronson, Money & Investing Writer

More than half of Americans over the age of 45 are unsure that they will be able to retire without worrying about their financial status. The state of the economy has burdened many low income families and has halted retirement of workers over the age of 60.

The Washington-based organization, AARP, which is responsible for lobbying the interests of older Americans, have found that most people have less than $25 thousand saved, and 48 percent have less than $50 thousand saved. It is no surprise that recent surveys have shown increased worry over the issue of retirement when 16 percent of Americans have no retirement savings at all.

Due to the financial hardships as a result of a sluggish economy, many people are forced to scale back their retirement savings in order to make ends meet. This problem has affected low-income families most dramatically.

“While the recession has been devastating for many older Americans, this recent data indicates lower-income folks are being hit particularly hard,” said Jo Ann Jenkins,

Photo courtesy of youngmillionairegroup.com

The number of people who have had to sacrifice their retirement funds in order to keep food on the table is staggering.

AARP Foundation president.

About 40 percent of older adults with low incomes confirmed to have delayed medical care for up to six months. Many of these people are now reliant on Social Security to retire.

Based on these statistics, retirement confidence has dwindled to an all time low.

The number of people who are less confident in their retirement plans has gone up from 22 percent to 27 percent in just one year, according to the Employee Benefit Research Institute and Matthew Greenwald

& Associates Inc. The EBRI says these statistics are a good wakeup call, and this should be a warning for Americans to start saving more.

The cost of living is growing and, “People are increasingly recognizing the level of savings realistically needed for a comfortable retirement,” says EBRI research director, Jack VanDerhei. Many people in the past years have underestimated the amount of savings and investments needed for retirement.

Lack of confidence in savings has more

than doubled to 43 percent for workers with savings of less than $25,000. Not only are less people confident in their savings, but an estimated 33 percent of workers and retirees are forced to dip into their savings accounts before retirement. People with low income are having even harder times staying on top of expenses and payments.

Now many adults are forced to keep working and retire later. Many people cannot afford to retire early because they have already depleted their savings due to rising prices.

Half of the retiring population does so early because of disability or other health problems. Faith in Social Security provided by the government is virtually nonexistent.

Over 70 percent of workers now wish to continue working past retirement to make ends meet.

Companies, such as AARP, are now increasingly encouraging workers to be more frugal with their spending and to start saving now. Investing today, with the expectations that prices will continue to go up, will better prepare individuals for future retirement.

Contact Amanda at amanda.bronson@student.shu.edu

D eb it C a rd s Migh t S ee R eg u la t o ry Fee D ecrea s es

By Stephanie Gonzalez, Money & Investing Writer Debit cards are now in the spotlight on radios, news papers, and even buses!

According The Boston Globe, the Federal Reserve “under the mandate of the DoddFrank regulatory overhaul,” proposed a 12 cent limit for debit card fees.

Debit card fees are small fees paid to your bank by businesses each time you swipe your card. This means that in order for a store to offer the service of accepting your card, they must accept this cost as a reduction in revenues.

However, this payoff is beneficial to the business because more and more people

are using their cards as opposed to cash. For large businesses, this is not problematic because these fees are miniscule relative to their large sales. However, this is not the case for small businesses.

Since there are fewer costumers and lower revenue, 44 cents per transaction, the average according to CNN Money, adds up quickly.

Recently, the 12 cent limit on fees has been the subject of debate. According to Bloomberg News, this debate is no small matter for either businesses or credit companies, such as Visa (NYSE: V), MasterCard (NYSE: MA) and the large banks that back them. This includes Bank of America Corp. (NYSE: BAC) and

JPMorgan Chase and Co (NYSE: JPM). In fact, the fees add up to 12 billion dollars in revenue for the firms.

Therefore, it comes as no surprise that companies are spending millions running ads in various media to sway both the public and the legislators. CNN Money pulled out a particular ad on a Washington D.C. Metro subway car that states “Where does Washington’s $12,000,000 gift to retailers come from?”

Right now, the burden of transaction fees is largely carried by the merchant—the store accepting your card. CNN Money reports that lawmakers are arguing that for small businesses, the weight of these fees is strangling profit margins.

The limit would increase profitability and help boost an economy that is heavily dependent on small-business activity. Small companies are arguing that the large credit organizations will not feel a significant hit as a result.

These same credit and banking institutions are spreading the message that the loss of fees revenue will translate into more fees for the cash strapped consumer. In the coming weeks, lawmakers must decide who will take up the tab for the income that fees supply.

Contact Stephanie at stephanie.gonzalez@student.shu.edu

D eva s t a t io n in J ap a n S en d s S h ock w a v es Th rou g h t h e Tech I n d u s t ry Photo courtesy of Hermannmonews

The destruction in Japan has crippled trade and left many of the factories that produce equipment for the tech industry inoperable.

By John Ceniza, Money & Investing Writer In lieu of the natural disasters that have struck Japan, analysts are now predicting that it may take the tech industry as long as six months to return to their normal flow of

operations.

Daniel Heyler, the Head of Global Semiconductor Research at Bank of America Merrill Lynch, said that world technology hardware supplies might take six months to return to regular levels.

Oppenheimer analyst, Ittai Kidron,

wrote that “global activity could be compromised … at a minimum, a few weeks of disruption are possible, but it could be months or more before normalcy returns.”

The main concern, according to Heyler, is how this disaster will affect the prices of memory chips, which already have increased dramatically since Japan was struck. He believes that the crisis will affect NAND flash chips used in cameras and smartphones. This could cause PC and electronic makers to use fewer chips to keep shipments on schedule but sacrifice performance.

Wells Fargo analyst David Wong wrote, “It would appear that it is the Toshiba/SanDisk facilities that are the main fabs (semiconductor fabrication plant) which may have suffered production disruptions.”

Toshiba reported on Friday, March 11, that “there are indications that the Iwate factory has been affected by a power outage.

All factories are being inspected for damage.”

On Monday, March 14, SanDisk issued a statement saying that the two fabs were “down for a short period of time” as a result of the earthquake but were immediately back up and operational. The company claims that there has been “minimal impact on wafer output due to the earthquake.”

In addition to this disaster heavily impacting memory chips, it also profoundly affected the supply chain for liquid crystal displays.

On Friday, March 18, Toshiba Corp. said that its factory near Tokyo will be closed for a month, halting production of small LCDs. The plant supplies smartphone makers and the automobile industry with small LCDs to use with their products. Toshiba shares dropped over 30 percent this week.

PC maker, Lenovo Group, is also worried about a shortage in notebook batteries.

As Lenovo Chief Executive Yang Yuanqing puts it, “In the short term there won’t be much impact. We are more worried about the impact in the next quarter.”

Supply for notebook PC batteries are under pressure since key suppliers such as Sony Corp. (NYSE:SNE) have shut down six factories in Japan.

Sony Corp. said that their plants that make Blu-ray discs and lithium-ion batteries will remain closed as of Friday, March 18.

Contact John at johnalex.ceniza@student.shu.edu

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TUESDAY, MARCH 22, 2011

Money & Investing

THE STILLMAN EXCHANGE

Ohio Governor Slashes $8 Billion from State Budget

By Dhara Patel, Money & Investing Writer On Tuesday, March 15, the Governor of Ohio, John Kasich, revealed a budget plan that will slash $8 billion in state spending.

This plan, titled: “The Jobs Budget,” is Kasich’s two-year spending plan that will cut funding for local governments by 25 percent in fiscal year 2012. In this plan, Kasich proposes to cut spending for many agencies and privatize certain governmental functions.

On a whole, state reform is expected to save $1.4 billion over a two-year period and cut $8 billion from Ohio’s current deficit.

The budget plans to restructure several agencies and their functions. For example, the Department on Aging would lose 90 percent of its support but would also transfer the responsibility of long-term care and other items on its agenda to other departments under the governor’s health transformation initiative.

The budget proposes leasing the state’s wholesale liquor distribution system to fund the state’s economic development plans. In addition, Governor Kasich proposes the privatization of several prisons, in order to put

Photo courtesy of Washington Examiner

Ohio’s governor, John Kasich, slashed a total of $8 billion from the state’s budget for fiscal year 2012. Included in the budget are the merging of governmental agencies in a bid to save money.

over $50 million of the proceeds into the fiscal year 2012 revenue fund.

Despite multiple cuts in spending, not all departments are going to be hurt by this plan. The state’s Board of Career Colleges and Schools will receive a 12 percent increase in state funding so it can improve

Federal Reserve Says Future Economic Aid is Unlikely

its support for training and education at its institutions.

Also, as promised by Governor Kasich, the budget plan will not increase taxes. The governor plans to preserve an $800 million income tax cut that went into effect earlier this year and offers $34 million in tax incen-

By Vincent LoVasco, Money & Investing Writer

After the Federal Reserve gave $600 billion to the Economic Recovery program, they say that it is unlikely that they will give any more, even though the economic recovery is in its infancy. According to the notes from the closed meetings, the Federal Reserve is confident that the global recovery will continue to gain momentum.

The economy is on a “firmer footing, and overall conditions in the labor market appear to be improving gradually,” said the Federal Open Market Committee in a recent statement.

According to Bloomberg, a recent Fed statement explained a plan to buy Treasury securities that would help the economy expand at a self-sustaining pace, said Josh Feinman, Global Chief Economist for Deutsche Bank Advisors.

Federal Reserve Chairman, Ben S. Bernanke, seems more optimistic about the economy by dropping phrases such as, “disappointingly slow” and “tight credit” from an earlier statement released in January.

He also took out references to “modest income growth” and “lower housing wealth”.

Although some aspects of Bernanke’s statements seem positive, he also addressed some negative issues. The unemployment rate is very high and may still increase, and we should “pay close attention” to the inflation rates.

The Gross Domestic Product rose at a rate of 2.6 percent in the third quarter, a good pace, but not good enough to help the U.S.’s 9.8 percent unemployment rate.

With concerns over the global supply of commodities, the prices for crude oil have also gone up. For instance, gas prices

Electronic Arts (NASDAQ: ERTS) and Activision claim that NDP Group’s recent reports are both misleading and insignificant.

These video game giants are displeased with the newly released sales data provided

by NDP Group.

NDP is retail sales tracker and has followed the video game industry for years.

Ken Sweet has reported, “That video game software sales fell 8 percent in February.”

However this data does not cover the industry’s digital sales through outlets of Microsoft’s Xbox Live, Sony’s Playstation Network, and Apple’s iTunes.

This lack of information greatly alters the image painted by NDP regarding where the video game industry is truly headed.

Electronic Arts reported that digital revenues were up 49 percent and projected to reach $750 million by March 31.

Almost half of Activision’s revenues come from its monthly subscriptions for their World of Warcraft series. EA corporate communications executive Tiffany Steckler told reporters, “Using NPD data for video game sales is like measuring music sales and ignoring something called iTunes.”

This seems like a huge discrepancy in

Fed Chairman Bernanke comments on the state of the economy.

in the U.S are back to $3.56 per gallon, their highest since 2008.

The Atlanta Federal Reserve President, Dennis Lockhart, does not predict price inflation to increase because of the rise in food and energy prices. He also does not rule out the possibility that mayhem in Africa and the Middle East are slowing down the U.S economy.

“They certainly understand what the risks are out there and the risks are greater than they were 60 days ago: from the Middle East and oil prices to Japan and how that could affect financial markets and regional growth. It’s not a surprise they’re going to keep their powder dry and see how things play out,” said Paul Ballew, former Federal Reserve economist and Senior Vice President at Nationwide Mutual Insurance.

Federal Reserve officials specified a rather high threshold for reevaluating the $600 billion in purchases, and some noted that more time was needed before any kind of reassessment could be held.

Contact Dhara at dhara.patel@student.shu.edu

Dispute over Direction of Video Game Industry

By Christian DiCarlo, Money & Investing Writer

Photo courtesy of News Quest

tives for 2012. courtesy of bossip.com As noted Photo

by CNN Money, Governor Kasich says that “economic growth is the only way to return Ohio to financial health.

Since Ohio is already one of the highesttaxed states,” companies will not want to relocate there if taxes are raised further.

“Too many of our successful entrepreneurs flee the state to escape high taxation,” he said in his State of the State address last week.

However, Ohio residents are not happy with the governor’s tactic. CNN Money states that, “53 percent of residents surveyed by the University of Cincinnati in early March said they would like to see the budget balanced through a combination of tax increases and state spending reductions.

In addition, 35 percent said “they want the deficit eliminated only through reductions in state spending on programs and services.”

Despite mixed feelings within the state about the proposed budget, the plan will now go to the state legislature, where lawmakers will decide on Kasich's proposals.

terms of financial reporting. Yet, video game publishers never had a problem with the reporting when information released strong numbers for the industry.

It appears that publishers have a problem with sales tracker companies when the numbers are negative, but praise companies like NDP Group when reports are more complimentary. Sweet has reported, “NPD and the video game industry have a lovehate relationship, using the data in commercials when sales go well, and dismissing the data when it doesn’t.” Sweet also reports, “NDP Group’s analyst Anitz Frazier noted that NPD releases a quarterly report that addresses the digital side of industry.”

The reports that are being focused on do not tell the whole story, and the additional reports should be consulted when assessing the video game industry’s growth. Still not all analysts agree with the video game publishers’ argument. Some believe that the complete opposite is true.

Michael Pachter of Wedbush Morgan told reports, “It’s a ‘gross overstatement’ to call NPD’s data irrelevant, saying the industry is still heavily dependent on selling physical games.” The digital portion is contingent upon the sales of physical units.

A direct proportion existing would mean a decrease in physical games sold would also decrease digital sales as well.

Pachter also told Sweet, “EA saying physical game sales don’t matter is like Best Buy saying television sales don’t matter.”

Analysts like Pachter believe there is some validity to NDP Group’s reports because of this relationship, and the information should not be dismissed as publishers claim.

Contact Vincent at vincent.lovasco@student.shu.edu

Contact Christian at christian.dicarlo@student.shu.edu

U.S. Households Growing in Number of Millionaries … continued from page 1 The report also indicates that 55 percent of households earning less than $1 million are more concerned with protecting themselves from potential economic problems rather than growing their net worth.

“Overall attitudes are not the same as in 2007. Many households no longer believe their home is a stable asset.”

There are other signs that suggest improvements in the U.S. economy. In addition to an increase in the number of million dollar households, the number of house-

holds with a net worth of over $100,000 also increased.

For 2010, 36.2 million households were in this category compared to 34.6 million at the end of 2009. This suggests that households of multiple socioeconomic categories are experiencing economic growth.

This general increase in household wealth is a positive sign for a recovering economy that is heavily dependent on consumer spending.

Contact Doug at doug.demarco@student.shu.edu

THE STILLMAN EXCHANGE

Money & Investing

TUESDAY, MARCH 22, 2011

5

Rising Price Index Rental Prices Projected to Rise by 10 Percent Annually Warns of Rising Inflation

By Jennifer Crowe, Money & Investing Assistant Editor Demand for rental housing is on the rise, increasing rental prices by as much as 10 percent annually in select locations.

Although the housing market has been in decline, more and more people are looking for rental housing as an alternative to home purchases. Higher qualification requirements on mortgages are leading more people to continue renting as an alternative to buying.

Rental prices rarely fluctuate and have not increased by more than one percent per year over the last ten-year period.

Current predictions by CNN Money suggest that rental prices will increase by as much as seven percent in the next two years alone, and the national average for rent is expected to increase to over $800 per month.

Leslie Deutch, a Real Estate consultant with John Burns Real Estate Agency, states that San Diego could see rental prices jump by as much as 31 percent by 2015, Seattle as much as 29 percent and Boston as much as 30 percent, respectively.

Renting is the next big thing for the housing market. In New York City, 80 percent of the real estate market is rentals. In Los Angeles, about 60 percent of the housing market is rentals.

Photo courtesy of World of Stock

80 percent of the real estate market in New York City is rentals.

CNN Money reports, “There’s one factor that could rein in rent increases: the huge number of foreclosed homes that could hit the market over the next few years.” This may reverse the current market trend of increasing rental prices, and create another buyer’s market.

With such a large increase in rental prices, and the large number of deals for foreclosed homes, buying may be well worth looking into.

Contact Jennifer at jennifer.crowe@student.shu.edu

By Jeffrey Aiello, Money & Investing Writer With the economy on the rise, a new fear of inflation has struck the U.S. economy. This past month, wholesale prices have increased, putting heavy pressure on companies to raise prices on consumer goods.

Major products have been affected by this, especially clothes, tires, plastics and shoes. Raw materials have seen a considerable increase in prices, which increase company costs. Even companies, such as Abercrombie & Fitch (NYSE: ANF), will need to raise their retail prices this coming summer because of the increased cost of purchasing cotton.

The Producer Price Index, a benchmark that measures wholesale inflation, has even alarmed officials at the Federal Reserve, who fear a continuing trend in inflation. The index rose 0.5 percent this past month and 1.6 percent in February, which was the largest increase since October 2008.

Although the federal government and the Fed have been actively using fiscal and monetary policy to stimulate economic growth, it is likely that they will tighten their expansionary policies as concern over inflation increase.

Although a low level of inflation is acceptable, excessive inflation can be prob-

lematic for a growing economy.

Therefore, many economists are worried that these trends will negatively affect the U.S. economy in the coming months.

The most substantial jump in the Producer Price Index came from wholesale food prices, which rose 3.9 percent, and a rise in energy prices, which jumped 3.3 percent. Oil prices have also risen significantly, which some economists believe is a large obstacles that the U.S. economy has to face in its journey back to economic prosperity.

As a result, these price increases are weighing heavily on many corporations and businesses.

Although the extra costs companies are experiencing can be passed onto the consumer, the implementation of these price increases can be problematic. In a period of lower wages and widespread unemployment, companies realize people are already strapped for cash.

However, not all hope is lost, according to Nigel Gault, chief U.S. economist at IHS Global Insight. Gault says “it’s too early to panic about inflation. There won’t be an inflationary spiral unless wage inflation picks up.”

Contact Jeff at jeffrey.aiello@student.shu.edu

Price of Oil Volatile as Crisis in Libya Continues

By Dylan Mortensen, Money & Investing Writer The price of oil tumbled Friday morning following a statement by Foreign Minister Moussa Koussa to cease-fire on Libyan rebels. The message came in respond to the U.N decision to approve a “no-fly zone” of Libya.

The U.S and Europe experienced the most dramatic changes early Friday when markets opened. The New York Mercantile Exchange saw Benchmark crude dive $2.51 in less than 20 minutes, while West Texas Intermediate oil dropped 79 cents for April futures. Brent crude in London dropped $1.16 to $113.49 per barrel.

Prices began to rally by midday, as the market remained unstable. The rebel commander stated that Libyan leader Gadhafi was “bluffing” and the cease-fire was not important to his people. The comment concerned many Western allies, which signaled doubts regarding the future of the fighting in the African country.

The U.S continues to mull over the best way to end the civil war. Bill O’Grady, chief market strategist at Confluence Investment Management in the U.S, said “Any thought that this cease-fire is going to lead to some peaceful resolution is ludicrous… Gadhafi

Photo courtesy of Hofstra Unviersity

The New York Mercantile Exchange, the world’s largest commodity futures exchange, has seen significant volatility in oil prices as a result of the Libyan conflict.

is not going to meet the rebels’ demands.”

Middle-Eastern oil exports have sharply declined as tensions continue to worsen. Libyan exports are down, which were recently reported to be 1.3 million barrels per day. Neighboring oil producers,

Bahrain and Yemen, have also experienced dramatic downfalls as protesting and violence continues.

This past month, the demand for oil and gas has taken a steep dive. According to the Energy Information Administration, the

total demand for Petroleum in the U.S. fell nearly 200,000 barrels per day within the first two weeks of March.

Yet, economic problems could worsen if oil remains at $100 per barrel, according to Moody’s Investors Services. Airliners and food prices have gone up, since the price of fuel has increased in correlation to recent oil prices.

Car sales could also see a decline due to the higher fuel prices. While Japan continues to deal with their recent disaster, the price of oil and coal can continue to rise as oil becomes a substitute for their damaged nuclear reactors.

“The market is very volatile at the moment, it’s really being driven by the headline at the moment,” said analyst Amrita Sen from Barclays Capital in London.

Americans nationwide are experiencing the rise in oil prices firsthand at their nearest gas stations. According to AAA, the national average per gallon price for gasoline is $3.54, which are 41 cents higher than February and 74 cents higher than just a year ago.

Contact Dylan at dylan.mortensen@student.shu.edu

Report Shows Low Levels of New Construction and Permits

By Steven Paramo, Money & Investing Writer The February residential construction report showed that new housing construction rates dropped 22.5 percent since January 2011 to an annual rate of 479,000, according to Bloomberg.

This is approximately 20.8 percent below levels seen a year ago, and is at levels not seen since April 2009. This drop is the largest experienced since 1984.

According to the Columbia Tribune, the drop in home construction activity affected all regions, including a 48.6 percent drop in the Midwest, a 37.5 percent drop in the Northeast, a 28 percent drop in the West and a 6.3 percent drop in the

South.

This report is another stifling blow for the struggling US economy, as unemployment remains high and rising costs of goods sold continue to exacerbate low levels of consumer spending.

When discussing possible reasons why these numbers have drastically dropped, chief economist of the National Association of Home Builders, David Crowe, plainly stated that “It’s consumer nervousness. It’s a fragile recovery to begin with, and then you throw in high energy costs, new uncertainties about Congress, and it is just enough to spill over the glass again.”

Building permits dropped 8.2 percent to an all-time low annual rate, going back to the 1960s, of 517,000 permits. The

Photo courtesy of Flickr

Home construction in many regions, such as those in Modesto, CA, have come to a halt.

Northeast saw a 28 percent decrease, which is the lowest on record, and the West dropped 14 percent.

According to the Associated Press, Dan Greenhaus, chief economic strategist with Miller Tabak & Co., states, “This is a multi-

year buildup in the housing market that is going to take more than several months or several quarters to get through.”

Patrick Newport, U.S. economist for IHS Global Insight, commented that for any housing construction market recovery to take place, the job market needs to recover, and a wider range of credit must be available for builders.

The National Association of Home Builders states that each new home that is constructed creates an average of three jobs, according to the Columbia Tribune, showing the drastic effect that the construction market has on economic productivity.

Contact Steven at steven.paramo@student.shu.edu

6

TUESDAY, MARCH 22, 2011

Stillman News

THE STILLMAN EXCHANGE

SHU PRSSA Seeks Success in Bateman Competition

By Ryan Garrity, Stillman News Editor In today’s economy, one of the hardest parts of making a business successful lies in doing the right public relations. Many companies rely on the right public relations campaign to get their name out there, and to make sure consumers have all the information they need. One of the ways that students interested in this field can gain experience is by joining the Public Relations Student Society of America (PRSSA).

Seton Hall has a very successful chapter, and this year, they will be competing in PRSSA’s Bateman Case Study Competition.

PRSSA is the youth branch of PRSA, the adult professional organization. It is an academic, pre-professional club. SHU PRSSA aims to prepare students for life in public relations and to compliment their schoolwork and internship experiences.

They offer panel discussions, networking opportunities, professional tips and resume help. So far, they have helped clients on campus such as Pirate TV and the Theatrein-the-Round.

The Bateman Case Study Competition is PRSSA’s premier national case for public relations students. It grants participants the opportunity to apply classroom education and internship experience to create and implement a full public relations campaign for a national client.

This year’s sponsor is SmartEdge by GMAC, a subsidiary of Ally Financial. This company offers students the opportunity to learn about corporate social responsibility, an increasingly important trend in public relations, while encouraging financial literacy among low to moderate income communities.

Grouped into teams of four or five, students are tasked with researching, planning, implementing and evaluating a comprehensive public relations campaign. Research and planning are completed in November through January. Teams implement their strategies in February, and final entries are due to PRSSA Headquarters in March.

Melissa Piccinich, PRSSA’s Liaison to the Career Center, is one of SHU PRSSA’s representatives in the Bateman Competition this year. Her position within PRSSA is a

brand new one, instituted in lieu of a historian. She works to expose members to the benefits offered by the Career Center and the professionals who work there.

In addition to Piccinich, the team consists of PRSSA President Lauren Cerra, PRSSA Treasurer Ned Hopf and PRSSA Secretary Besi Henriquez. These standout students were chosen by associate professor and PR Advisor Dr. Rennie.

The team, Progress IMC, is using the financial literacy notebook provided by SmartEdge and are going to Newark High Schools to give interactive presentations.

The presentations are being themed after game shows, and using the tagline “Don’t play games with your credit, be Smart.

SmartEdge.”

Using templates from popular game shows, the team has created Wheel of Finance, Financial Jeopardy and Financial Feuds. They hold assemblies or special class sessions at these high schools, and after a preliminary overview of facts, students are put into teams and must use the aforementioned workbooks to answer questions.

Piccinich said that the target for Progress IMC’s campaign is 17 to 21 year old students, but there is a heavy focus on high school seniors in Newark. “Because of the current economy and economic issues facing all us all, it is important that these students learn about the importance of good credit and budget habits before entering into college or professional life,” stated Piccinich.

Piccinich went on to state that throughout the course of their research, they have learned that the seven large credit giving banks are targeting this demographic specifically in order to build brand loyalty. In addition, starting next year, the state of New Jersey mandates that all freshman high school curriculums must include a financial literacy program.

“We hope through our campaign that SmartEdge not only spreads its message, but also learns about the benefits of sponsoring this future initiative in New Jersey high schools,” says Piccinich.

Contact Ryan at ryan.garrity@student.shu.edu

Study Abroad Trip Explores History and Business in Ireland

By Andrew Weinstein, Stillman News Writer Two weeks ago, sixteen Stillman students departed for Dublin, Ireland as a part of a study abroad program over Spring Break. The trip was taken by the students as a replacement for the Global Business requirement.

Upon departing for Dublin Friday night, the students arrived in Ireland Saturday morning and consequently took a tour around the city. The tour included a stop at Trinity College, the oldest and one of the largest universities in Ireland, dating back to 1592.

The following day, the students experienced a significant part of the Irish culture and business, with a tour of the Guinness Storehouse in Dublin. It was mentioned that each year, the Guinness Storehouse attracts over two million visitors.

According to Sophomore Christine Wotton, “the Guinness factory was an amazing experience starting off with the self guided walking tour, and ending with the incredible view from the gravity lounge.”

Throughout the week, the students participated in discussions with representatives from different businesses in Ireland. These

Photo courtesy of Andrew Weinstein

The Guinness Storehouse in Dublin, Ireland was a favorite destination among students who participated in the Business in Ireland trip.

visits included Forfás, the national policy advisory board for enterprise, trade, science, technology and innovation in Ireland, the U.S. embassy, where the students met Dan Rooney, the U.S. ambassador to Ireland, Microsoft, Yahoo, Smurfit Kappa Group, a world player in paper based packaging, Topaz, Ireland’s newest and largest

fuel and convenience brand, Ogilvy Group, a marketing communication company and Bolton Trust, a company that encourages and promotes new business enterprises in Ireland.

Sophomore Andrew Kriner explained that “the meetings we had with the companies gave us interesting insight into how

international companies operate.”

While not attending meetings, the students were often walking around Dublin, exploring the city and seeing its many attractions. They also took a day trip to the city of Kilkenny, an hour and a half drive from Dublin. Once they arrived in Kilkenny, the group went on a tour of Kilkenny Castle, a castle dating back to the thirteenth century. The castle became the principal Irish residence of the powerful Butler family for almost 600 years, starting in 1391 all the way until 1967 when the castle was donated to the town.

When asked about his experiences, Kriner said that “the cultural experiences with the Irish showed how even during a rough economic time they are still able to have fun and keep a positive attitude.”

The trip to Ireland provided the group of students with an experience that none of them will ever forget. From meeting with business representatives to experiencing the Irish culture firsthand, the study abroad trip was a journey well worth taking.

Contact Andrew at andrew.weinstein@student.shu.edu

Epsilon Nu Tau Expands Stillman Entrepreneurship

By Rory Manning, Stillman News Writer Epsilon Nu Tau is not a name that many students in the business school will recognize, but it is certainly one that is growing in name.

With the Stillman School’s interest in expanding entrepreneurship and the newly opened center dedicated to the study of innovation, it was only a matter of time before a student organization dedicated to entrepreneurial studies was formed.

Juliet Payseur, a Senior Finance and Management Major first heard about Epsilon Nu Tau when she decided to do some digging online. “I was browsing the internet to see if an entrepreneurship fraternity existed, and I happened to come across the ENT website,” Payseur said.

Epsilon Nu Tau is the nation’s first coed entrepreneurship fraternity, founded in

2008 in Ohio at the University of Dayton.

Last September, Julie, along with cofounders Nicole Wallace, Martha Rooney, Francesca LaRaque and Megan Peason saw that there was an entrepreneurial void in the Stillman School, and decided that this would be the perfect organization to fill it.

In order to get ENT off the ground, founding members were able to attend a conference in November of last year. This conference gathered ENT members from all across the nation and engaged them in team building sessions, networking events, an elevator pitch competition and culminated with each attending school developing a strategic marketing plan for a unique, highgrowth BBQ franchise.

Seton Hall representatives were also able to observe how an established chapter functions, and get all the information and advice necessary to run a successful chapter.

Growth and interest in the organization has been fantastic—the group began last semester with only the co-founders involved, and recently inducted a pledge class of approximately 15 students. Paysuer also has lofty goals for the organization this semester.

“ENT’s goals for this semester are to make sure that all majors get a chance to know what we are about and to prepare the underclassmen in the Fraternity for the leadership positions that they will be taking over soon.”

Epsilon Nu Tau will put on a variety of events this semester. They will host two dinners with a CEO, a goal setting workshop and a resume/interview workshop. They are also co-sponsoring the Pirates Pitch Competition and the “Masters of Disaster” turnaround event with the Entrepreneurial Studies Department.

Additionally, the group will be forming

a team to enter a global competition called Students in Free Enterprise, where they will make a 25 minute presentation in New York City about the benefits of entrepreneurship at Seton Hall.

It is clear that Epsilon Nu Tau is slowly but surely building a reputation on campus, and Payseur believes that this will bring great things to the Stillman community.

“I believe the most important thing that ENT will accomplish is building a network not only within the Stillman School, but also with the other entrepreneurial spirited student throughout the rest of the Seton Hall community.”

Contact Rory at rory.manning@student.shu.edu

THE STILLMAN EXCHANGE

Stillman News

TUESDAY, MARCH 22, 2011

7

Students Awarded at the Integrity & Professionalism Luncheon

By Rory Manning, Stillman News Writer Integrity and professionalism are two words that every Stillman student hears during their time at Seton Hall. Some students exemplify and truly take on the meaning of those words by putting them into action.

On Wednesday March 16, 2011, Stillman School students were honored for all of their hard work at the Integrity & Professionalism Luncheon.

Students from every major and class were honored through various scholarships and awards for their achievements. The event was hosted by Acting Dean Joyce Strawser and was organized by members of the Stillman administration.

Green honor cords and certificates were handed to those who received awards as appreciation for all of their hard work.

Prizes and awards ranged from the Outstanding Senior Assessment Prize, presented to the team consisting of Tarik Ancrum, Briana Dominguez, Arifa Kayoon, Caitlin Moran, and Dana Servido, to the

Photo courtesy of Mike Reuter

The Integrity and Professionalism Luncheon celebrated standout students and faculty members for their achievements inside and outside the classroom.

Mills Prize for Academic Excellence, given out to students who have achieved a 4.0 GPA through their academic studies at

Seton Hall.

The UBS Critical Thinking Award and Investors Savings Bank Award were pre-

sented to students for their teamwork abilities, while the Sophomore Achievement Certificate, Mutual Benefit Life Scholarship and First Fidelity Work-Study Prize were awarded to star students in all majors of the Stillman School for their success in their concentration.

Alumni and organization-funded scholarships were made available to students in multiple majors as well. Winners of the Recruiting Effectiveness and Course Design essay competitions were showcased as well.

The John M. Pocher Memorial Scholarship was awarded to Bradley Childs.

The scholarship is in memory of Pocher who died on September 11, 2001. Mr. Pocher’s family and friends established this scholarship to honor his memory, and his family was present at the luncheon to present the award.

Congratulations to all the award winners who are shining examples of the dedicated students at the Stillman School.

Contact Rory at rory.manning@student.shu.edu

Stillman Senior Kerry Magro Raises Awareness for Autism Photo courtesy of Kerry Magro

takes initiatives to get things done. I believe I would be able to implement these skills in the sporting world very well. Stillman and the Leadership Development Honors Program have prepared me to be an asset to any sports organization.

BM: How did you go about receiving your internship with CBS Sports? What did your position entail?

Kerry Magro meets with New Jersey Senator Robert Menedez in Washington D.C.

By Beverly Makarios, Stillman News Assistant Editor This week’s featured Stillman Standout is senior Kerry Magro. Magro is studying Sport Management and Accounting at the Stillman School. In addition to his membership in The National Society of Collegiate Scholars, he is also a member of the Stillman School’s Leadership Development Honors Program, president of Student Disability Awareness, vice president of fellowship for Alpha Phi Omega, member of Alpha Chi Lambda Sports Management Honor Society and blog writer for Autism Speaks. In the following interview, Magro shares with the Stillman Exchange his accomplishments as an undergraduate, his internship experiences, and his projects to spread autism awareness.

Beverly Makarios: What do you hope to accomplish with a career in Sport Management?

Kerry Magro: When I found out that Seton Hall had an undergraduate Sport Management program, I was hooked. I have always been passionate about all aspects of sports! My main goal for my career with Sports Management is to do something in regards to Sport Marketing or Event Planning. In college, I’ve always been someone who stays very organized and

KM: First, what an amazing experience! I first applied for CBS Sports through an online application from the Career Center. I received a strong recommendation from Professor Rick Gentile, my Sports TV professor, who used to be a Vice President at CBS. About six weeks later, after they reviewed my application, I was asked to do a phone interview and they accepted me as a research intern for the company. When I got there, I found out they only took two interns per semester. Incredibly, I had the opportunity to work on both the Super Bowl and March Madness events during spring 2010. It’s great to actually be in the thick of it and they actually used some of my research during the broadcasts!

BM: This spring break, you had the opportunity to meet the U.S. Senator for New Jersey, Robert Menendez. What was this experience like for you?

KM: I’ve had several surreal moments that have happened in my life. One of them happened last week when I got to spend a day at the Capitol in Washington D.C. speaking to New Jersey Senator Robert Menendez about several Autism-related topics including the Light It Up Blue for World Autism Day, which is a movement to get major buildings worldwide to turn blue all throughout April in order to raise autism awareness.

As someone on the spectrum, I have been advocating for Autism Rights for the past several years by sharing my experiences, along with doing consulting work, for families with individuals on the spectrum. This, however, was a new test for me as it was the first time that I was speaking to a U.S. Senator. To say that I was nervous would be been an understatement but I was really privileged to be able to speak with an amazing individual on these issues.

BM: What is your role in Autism Speaks?

KM: I started the Student Disability Awareness organization here on campus as

a freshman. So the internship with Autism Speaks was a natural progression from that activity here at Seton Hall. As someone on the spectrum, I got this position as an advocate for autistic students and disability rights. My role in Autism Speaks is a Social Marketing Intern. Ironically, this internship has presented amazing opportunities for me as a Stillman Sport Management Major. As part of the fundraising aspects of the job, I’ve been to events such as the Young Professionals at the New York Stock Exchange, the Temple of Dendur with the NBA, the Dover Downs Nascar Race with Jamie McMurray, and the Basketball Hall of Fame Induction in Springfield, Massachusetts, all representing Autism Speaks! I’ve interviewed college students in Washington Square Park about what the word autism meant to them and I was even in a short video that Bruce Springsteen introduced at Carnegie Hall last spring.

BM: You’re currently in the works of writing a book focused on students with learning disabilities. How did this idea come about? How are you making progress?

KM: The book I’m writing, called “Autism: College on the Spectrum”, is a story of my college life here at Seton Hall along with

helpful tips for individuals with autism, or learning disabilities, to help them succeed in college. You might be surprised to find out that three percent of on-campus students at Seton Hall are registered with disability services. I’m doing this project to raise awareness and pave the way in order to make it easier for these individuals and other students all over the country to attend live on campus and succeed. I also hope to let the faculty understand more of what our challenges are so they can help.

The idea of writing the book came about during an Autism Society of America Conference in 2007 that I attended. One of the sponsors said to me that it would be great if I could write a book about my experience with autism by keeping a journal of what it was like as I went through it. I’m happy to say that I just got word that I will be going to Orlando right after graduation to present my college experiences here at Seton Hall to over 2000 attendees. I also intend to highlight the book which should come out in 2012.

Contact Beverly at beverly.makarios@student.shu.edu

8

TUESDAY, MARCH 22, 2011

THE STILLMAN EXCHANGE

Ethics Is the Prescription Drug Monitoring Program Ethical?

The planned Prescription Drug Monitoring program in Florida will track the purchase and usage of prescription drugs. Many individuals are suspicious that the information gathered could be leaked for the benefit of prescription drug companies. Others feel that this program will be a failure.

Joan Orejuela, Junior Political Science Major

Start from Square One The widespread problem of prescription drug abuse in Florida is an epidemic that has not been able to be subdued, even with the countless legislative tactics created to do so.

The Prescription Drug Monitoring Program that Florida Representative Rob Schenck would eliminate, through two new bills that passed the House Committee, was originally created as a database that would track the usage of controlled substances throughout Florida.

However, the primary problem with the program is that it has yet to be implemented so Floridians still see prescription drug abuse increasing at an alarming rate.

Furthermore, to add insult to injury, the Prescription Drug Monitoring Program abuses the privacy of certain areas and individuals being monitored, resulting in an invasion of privacy for Floridians that offers no concrete results and absolutely no real change.

As a result, there is currently no worthwhile tactic to resolve prescription drug abuse in Florida. Rep. Schenck has, through these new bills, confronted the situation on

a micro level; one of the two bills “aims to eliminate or reduce a doctor’s ability to distribute medicines.”

Those against this proposal argue that such legislation will be harmful to “the neediest” of the state of Florida, as health care options will be even more limited.

However, this effort to reduce a doctor’s ability to distribute medicine is the best option to eliminating the act of “doctorshopping,” an addict’s visits to various doctors in order to acquire their drug of choice.

If these new bills are passed, Florida’s prescription drug habit will be placed on hold. In my opinion, this proposal is the most ethical option available–to offensively combat the abuse of prescription drugs instead of just tracking its sale and usage.

Therefore, the effectiveness of the plan greatly outpaces that of the PDMP. After all, it is Florida’s prescription drug abuse epidemic. The reasoning behind this legislation is simple; the tactics currently in place to resolve the prescription drug abuse problem of Florida are not producing results, and the best way to start some kind of resolution is to start over.

Contact Joan at joan.orejuela@student.shu.edu

Chart courtesy of the Florida PDMP

The database access diagram for the Prescription Drug Monitoring Program shows how it meets all the security requirements required of the Florida Department of Health.

Garrett Stainbrook, Freshman Economics Major

Up the Ante on Drug Suppliers Prescription addiction is a growing problem throughout the U.S., not just in Florida. The governmental tracking of who uses prescription drug is not going to prevent the problem. Although well intentioned, the government should scratch the Prescription Drug Monitoring program altogether.

What we need is a grass-roots approach targeting the doctors, drug-dealers and addicts directly, and not simply “tracking” them. In essence, through this three pronged attack, the government can “up the ante” and create positive change by attacking prescription drug addiction at its source, the users and the suppliers.

Tracking becomes just a pointless inva-

sion of privacy that accomplishes nothing.

The only beneficiary from tracking that I see would be prescription drug companies that would use this gathered information to better target their advertising strategies.

Cities and towns could be classified using statistical data. As a hypothetical example, data shows that 67 percent of individuals in Bobsville receive a prescription for Claritin-D. The drug’s manufacturer could react accordingly by increasing or decreasing advertising to fit the market, or Claritin-D’s competition would increase advertising in Bobsville.

Regardless of the effects of prescription drug monitoring, the program is not addressing the real problems of addicts and suppliers. Only if we address this issue will we be able to inflict real positive change on this growing epidemic.

Contact Garrett at garrett.stainbrook@student.shu.edu

Photo courtesy of The Untrained Housewife

Prescription drug monitoring is a hot topic in Florida, where politicians are battling over whether or not to implement the legislation passed in 2009.

Gary Iannorone, Junior Finance Major

The Government Guard The Prescription Drug Monitoring Program that currently exists in Florida may not be the best option for battling prescription drug addiction, but that does not mean that we should drop the program altogether.

As Americans, we need to band together and battle this rising epidemic of addiction. This fight needs to be a full-on community effort. Many have stated that the PDMP is an invasion of privacy, but it is one I am willing to accept. In essence, the benefits far outweigh the costs.

This program is the prime example of good government in action; it was created to save lives. The government does not care if you take Lipitor, but when you have repeatedly refilled a prescription for oxycodone in two continuous years with four different doctors, then a problem is clear.

As Americans, we trust that our elected officials and government agencies will not “leak” this information to the public, or to prescription drug companies that are seeking profits. Of course, the government isn’t perfect, but nothing in life is.

What is ethical here is the intentions of the program: to save lives from the dangers of prescription drug addiction. It is not just the hardcore addicts that are of concern here; it is also those who have been unknowingly and casually addicted because of other medical procedures.

For example, if you recently had surgery, whether it is knee replacement or tonsil removal, you are sent home with a prescription for some form of pain-killers.

You take them on a regular basis, but once your prescription runs out, you have a craving for more. You tell yourself that you are still in pain, and you create an imaginary scenario rationalizing a need for more.

Unknowing of this growing addiction, you get more from the doctor’s office, and before you know it, you are continuously searching for prescription drugs.

It is this sort of behavior that the government is trying to protect us from! They are here to help, and we need to accept that help. The PDMP is not a perfect program; the implementation of the program will do this for our own good.

Contact Gary at gary.iannarone.@student.shu.edu

Map courtesy of the Florida PDMP

The Stillman Exchange proudly offers students, faculty, and administration the opportunity to write about their views on controversial topics.

These opinions are to be read as the opinions of individuals and not the views of the newspaper as a whole.

THE STILLMAN EXCHANGE

Editorials

TUESDAY, MARCH 22, 2011

9

Students’ Stress Caused by Pursuit of What?

By Lee Duan, Managing Editor Students today think about only one thing: what do I need to do to get what I want. For some, this need for attainment is what drives us to do well in college or join university organizations. For others, this need compels us to want closure and association with people, resulting in the building of relationships and the creation of social groups.

This culturally accepted motivator of human behavior is neither good nor bad.

Yet, when needs drive behavior in a society where standards of achievement create anxiety and neuroticism, what students want results in behavior that can be damaging, resulting in a generation of competitiveness that takes priority over personal wellbeing.

If Plato was correct in his assumption that human beings strive for the Good and the Good is synonymous with what makes us happy, then it is clear that our behavior is driven by this desire to be happy. A problem arises for students when we are striving for something that we believe will make us happy, not because it will actually result in happiness, but because society has implanted this idea into our very identity.

Our underlying perception of what is expected of us by others, whether it is our parents, popular culture, or society in general, has made the attainment of specific

Photo courtesy of Skoola

Competition and stress has become a dominant component of student life.

goals, gradually embedded in us since we were children, the only motivation that drives our behavior.

Even today’s prominent intellectuals and writers affirm this need for achievement. For example, Pulitzer Prize winning author Thomas Friedman argued that the globalization of world economies creates a necessity for the U.S. to become a more highly educated nation relative to other countries, further enforcing a culture of competitiveness.

The Stillman Exchange The Official Business Publication of Seton Hall University

Executive Board Managing Editors Lee Duan Margaret Reilly Assistant Managing Editor Rich Kimsey

Editorial Board Money and Investing Bryan Murawski Stillman News Ryan Garrity Ethics David Guzik Editorials Anthony Crisci Sports Business Travis Tosoni Domestic News Morgan Tornetta International News Kaitlin Tonti International Business Alex Cohen

Assistant Editors Money & Investing Jennifer Crowe Stillman News Beverly Makarios Sports Business Tony Bonkalski Domestic News Alina Fernandez International News Raphael Baseman International Business Alexandra Hauenstein

Faculty Advisers Michael Reuter, M.B.A. E-ma il stillmanexchange@shu.edu Website www.stillmanexchange.com Twitter stillmanXchange Fa cebook The Stillman Exchange

About The Stillman Exchange is the first undergraduate published business newspaper in the United States. The Stillman Exchange is published on a bi-weekly basis from the Center for Securities Trading and Analysis in the W. Paul Stillman School of Business at Seton Hall University.

Nancy Kalish of The New York Times recently commented that “stress levels of our students have reached a crisis point.”

The roots of this stress are this increase in competition and societal expectations.

The drive to achieve greater results than those around us, to be in positions of power and to move through the structured hierarchy of education, marriage and career growth, is how we are judged by others, but most importantly by ourselves.

I am the first to acknowledge that I am

guilty of this need to realize these expectations. My desire to achieve academic excellence, to be in leadership positions and to attain the most prestigious career prospects creates in me a feeling of self-worth even though this drive results in pressure that is unhealthy and unproductive.

Yet, I realize that this satisfaction is not authentic. It is satisfaction of a weak inner character, and cannot be the foundation for human life. I hope that those of you who have great ambitions and goals make this personal examination when contemplating how one should live.

We are so caught up in the pursuit of something while we forget that the pursuit itself is actually more important. Our behavior results in stress that we ignore, because we believe that the expected result is the only thing that matters.

It is time for us to examine why we are on the path that we are on. Why is it that we keep competing and striving to attain even at our own detriment?

I am not advocating that students stop working hard and that they ignore a healthy dose of competition. In fact, I am not proposing any reduction in individual productivity. I would only like students everywhere to be aware of what it is that we are doing and why it is that we are doing it.

Contact Lee at li.duan@student.shu.edu

NFL Lockout Bad for Everyone with Interests in Pro Football

By Ryan Garrity, Stillman News Editor As an avid fan of the National Football League, the thought of a fall season without watching my beloved New York Giants take the field is a thought that I had hoped to never have. Early in the season, I never really gave any thought to the lockout talk.

Sure, it was always looming overhead, but I had faith that the powers would be able to smooth everything out.

Then the off season hit. Owners and players met to renegotiate the Collective Bargaining Agreement, and fans sat, fingers crossed, hoping that some agreement would be reached, and we would all be able to enjoy football on Sundays for another year.

For those of you who are confused about the whole labor situation, as was I at first, the main issue centers around the amount of money that the owners want to take from the $9 billion revenue pool. In the previous CBA, the owners took $1 billion, but they are now trying to increase that number to $2.4 billion, citing “the economic realities of the era” as their reason.

Effectively, this would cut the players share of revenues by a whopping 18 percent. The players are not in agreement and are fighting tooth and nail to prevent this.

There is also a second topic of concern—the split of the overall revenue. The players have been fighting for a 50-50 split with the owners, and the owners have turned that right back around and offered a 51-49 split for the owners, and this was denied by the NFLPA. Talks went on and on for quite some time, constantly being extended. Many fans, including myself, took this as a good sign that we would still see football next year. About a week ago, the biggest blow hit.

After talks continuously failed, the

NFLPA officially filed for decertification.

This in effect opened the door for the union to pursue litigation against the NFL on grounds of anti-trust violation.

The owners promptly fired back by imposing a lockout on the players, effectively canceling the 2011 NFL season. The players have filed for an injunction to block the lockout. If this is granted, the NFL will most certainly appeal it, which means things will drag out even longer.

The time frame for a solution does not look promising either. It could take up to a month for the courts to rule on the injunction request—just because this is a highprofile case does not mean that it will get any special treatment. As in all litigation requests, there is a backlog of cases, and the NFL will have to wait in line. While it seems that there is still time remaining before the next season, time waiting for and spent in court will further deteriorate any possibility of an already unlikely season.

I know that I may seem like an aggravated fan by saying this, but I am actually fed up with all of the lockout talk at this point in time. It is truly baffling to me that these two sides are not able to come together and do what is right for both of them— not only will a total lockout prevent players from getting paid and doing what they love, it will also prevent the owners from seeing all the revenue that a typical season would bring.

It will also bring about something brand new—the first lockout in the history of the National Football League. This would be heartbreaking to all of the fans of this great sport. Yet, all they can do right now is sit glued to the television, hoping for the light at the end of the tunnel.

Contact Ryan at ryan.garrity@student.shu.edu

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TUESDAY, MARCH 22, 2011

Sports Business

THE STILLMAN EXCHANGE

Ticket Prices at the Garden Set to Grow Next Season

By Robert Szeluga, Sports Business Writer Starting next year, it will cost fans a few extra dollars to find a seat in “The World’s Greatest Arena”. Madison Square Garden, the famed New York venue, has announced that it will increase season ticket prices for both the Knicks and the Rangers for the 2011-2012 seasons. This follows the recent success of both clubs as well as scheduled renovation for the next three years.

The Knicks, who currently find themselves in prime position for a playoff berth, will increase the average ticket price by 49 percent. Seats will now range from 20 different prices starting at $35 and going up to $3600, the second highest average ticket price in the league. Officials say that the recent Carmelo Anthony deal was not a factor in the decision, rather the anticipated performance of the team in years to follow. The Rangers will also increase their average ticket prices by 23 percent, offering a total of 17 different prices.

The upcoming renovation is also a major factor in the decision to raise prices. Madison Square Garden is scheduled to undergo a three-year renovation process beginning

this year. Renovation will take place over a twenty week period during the next three summers, once the Knicks and Rangers seasons come to an end. A postseason run by either team can create a potential problem, forcing either a halt in construction or the Rangers would have to play on the road during the first month of the season. The Liberty, New York’s WNBA team will be forced to find another venue to play.

The project is estimated to cost around $850 million by its completion and will feature an entire new look to the already famed arena. This summer, construction will focus on improving the lower bowl of the arena, the main concourse, event level suites, the Delta Sky360 Club, and the locker rooms.

By the three year completion the arena will be completely transformed, including state-of the art bridges that hover over the seating bowls. Despite all the renovations, the number of available seats will remain the same.

Though ticket prices will significantly increase, Madison Square Garden will not require fans to purchase personal seat licenses. Personal seat licenses, also known as PSLs, give the holder the right to buy a ticket for a specific seat. The New Meadowlands Stadium currently charges

Photo courtesy of MSG.com The proposed renovation will cost approximately $850 million.

such licensing fees to ticketholders of both Jets and Giants games. PSLs, however, are not as common for NBA or NHL venues as they are for NFL stadiums.

Contact Robert at robert.szeluga@student.shu.edu

Under Armour Becomes Apparel Provider for EPL’s Tottenham Hotspur

By Tony Bonkalski, Assistant Editor Under Armour, a U.S. leader in sports apparel, signed a deal with Tottenham Hotspur that allows the company to make the team’s playing kit during their five year agreement.

Under Armour took over the current supplier for the team, Puma, and begins its kit supply deal at the start of the 2012-13 season. The agreement also represents the biggest deal for a U.S. company in Europe to date. This is Under Armour’s first deal with an English Premier League team.

Mark Dowley, Under Armour’s executive vice president commented on the deal.

“This allows us to create a media vehicle in a market where we are under-penetrated,” Dowley said.

Chairman of Tottenham Hotspur, Daniel Levy added his opinion.

“We are delighted that Under Armour will become our new technical partner from 2012 onwards, said Levy. “They are an extremely ambitious brand with global aspirations, making them ideal partners for Tottenham Hotspur."

Even though this is Under Armour’s first Barclays Premier League agreement, players in the league already wear the company’s cleats during the matches. Under Armour also has an athletic partnership with the Welsh Rugby Union and Hannover 96 of

the Bundesliga.

This is another move in Under Armour’s busy year. The company exceeded $1 billion in annual sales for the first time last year. Recent years have shown that Under Armour is expanding its agreements with various sports teams and athletes, and now are helping their market share in other countries.

Some of the athletes that Under Armour is sponsoring recently include Tom Brady, New England Patriots quarterback, and Olympic athletes Lindsey Vonn and Michael Phelps.

Under Armour is a Baltimore based company founded in 1996 by Kevin Plank, who remains the current President, Chief

Greenberg Steps Down as Rangers’ CEO

By Anna Negron, Sports Business Writer On March 11, the Texas Rangers announced that Nolan Ryan would become the team’s CEO as he replaces Chuck Greenberg, who resigned from the position.

The resignation may come as a surprise, but there were many accumulated problems within the organization that may have triggered Greenburg’s resignation. A location change of the Rangers minor league team, Greenberg’s excessive involvement in discussion during winter meetings, and the very public debate of general manager Jon Daniels’s extension were some of the few discrepancies that the Rangers faced with Greenberg as CEO. Despite the front office controversy, the Texas Rangers had their most successful season in franchise history as the 2010 American League champions. However, the Rangers could not manage to keep their competitiveness going as they lost their star pitcher Cliff Lee in free agency to the Philadelphia Phillies. One cannot help but wonder if Greenberg’s involvement had anything to do with Lee’s departure.

Nonetheless, the team and players stated that they plan to move forward despite the loss, and the shift in the front office will have no effect on the performance of the team.

Davis and Simpson, the largest investors of the Rangers ownership group, said “Chuck’s departure will have no effect on the team's operation and we look forward to working with Nolan Ryan as this organi-

Photo courtesy of Associated Press

Executive Officer, and Chairman of the company. This company is the first company to bring performance apparel to the sports world, and is recognized as the fastest growing U.S. performance brand.

Tottenham Hotspur is one of the world’s most successful soccer teams in the English Premier League and the world. The club finished in fourth place of the rigid league in the 2009-2010 season, leading them to Champions League qualification.

The terms of the deal were not disclosed.

Contact Tony at Antonio.bonkalski@student.shu.edu

N FL Lock s Ou t Players , Prep ared f or Figh t … continued from page 1

Nolan Ryan will now add CEO to his already lengthy managerial resume.

zation continues to grow and prosper,” according to ESPN. Greenberg sold his interest back to group and decided it would be better to just “move on,” as he expressed his disappointment that they were not able to settle their differences.

ESPN reported that most of the players, including David Murphy, were unaware of the situation until the statement was released early Friday morning.

"Things like this aren’t going to affect us on the field," Murphy said. "I don't know details, but the time that Chuck was here, he

was an awesome guy. He seemed like he was going to steer the franchise in the right direction. We’ll miss him, but in this profession, whether it's the front office or ownership or players, it's a constant revolving door. We’re used to people coming and going."

With this resignation, Nolan Ryan will be reporting to the board of directors, as well as overseeing all baseball and business operations. The Texas Rangers open their 2011 season on April 1 against the Boston Red Sox. Contact Anna at anna.negron@student.shu.edu

However, the NFL is already prepared if the season does not start in September. The league has set aside $4 billion in the event that there is no 2011 season.

The Players Association says that since the NFL was setting money aside, it was obviously planning on locking out the players.

The NFL argues that this move was done as a precautionary measure just in case the season does not occur.

Nonetheless, it is not only the players and the NFL that are affected by the lockout. If there is no season, the NFLPA estimates that 3,739 NFL workers will not have jobs, and that does not include the business around the stadiums that rely heavily on the games to generate income. The NFLPA also says that an average of $160 million will be lost in every NFL market if there is no regular season.

This number is troubling to everyone that relies on these games to help their business. One can only hope that the two sides are able to come together and settle their differences for the sake of the people that love the NFL. Contact Tony at anthony.cramond@student.shu.edu

Sports Business

THE STILLMAN EXCHANGE

TUESDAY, MARCH 22, 2011

11

Garnett Signs Endorsement Deal with Newcomer Zico

By Nick Costa, Sports Business Writer When you walk into a supermarket looking to stock up on your favorite sports drink, you may usually seek out Gatorade, Powerade, or Vitamin Water on the shelves, but very soon you may actually grabbing something you have never tried before: coconut water.

Coconut water brand Zico, a company in which Coca Cola invests, has recently signed a long time believer and basketball super star Kevin Garnett to a deal that includes both paying him in cash and giving him an equity stake in the up and coming company. For Garnett, it has always been about doing what is best for his body and he swears by it, “It allows me to play 34 minutes in a game with some of the young stars in the league without cramping,” Garnett said.

But what makes coconut water so good for you is that it is high in electrolytes but

NHL Concerned About Player Safety

By Travis Tosoni, Sports Business Editor Over the past two months the National Hockey League has been plagued with multiple incidents that involved illegal and dangerous body checks that have resulted in injuries to players.

The major concern with the league is the deliberate contact that players are making to the heads of other players while delivering checks. Since January, there have been numerous players that have suffered serious concussions; the most notable being Pittsburgh Penguins superstar Sidney Crosby and Montreal Canadiens forward Max Pacioretty.

Last week, all 30 NHL general managers met in Boca Raton, Florida at the annual GM Meetings. This meeting is held towards the end of every season for general manages and league executives to discuss current issues and evaluate the game on the whole. The topic at the center of attention at this year’s meeting was of course the issue of player safety and the growing amount of dangerous hits being administered.

Gary Bettman, commissioner of the league, along with other top officials presented their evaluation on concussions. The league determined that 44 percent of concussions incurred this season have been the result of “legal” hits, 26 percent from accidental collisions, 17 percent from what are deemed “illegal” hits, and the remaining eight percent from fighting. The final five percent was unable to be determined because the league was unable to locate footage from every confirmed incident.

“There’s no one single thing causing concussions,” said Bettman. “There is no magic bullet to deal with this. I know that it’s an emotional, intense subject, particularly for our fans.”

Bettman is referring to the reactions of fans across the league after the controversial Max Pacioretty hit. Pacioretty was skating along the boards before being driven into a glass stanchion by Zdeno Chara of the Boston Bruins. Pacioretty suffered a severe concussion along with fractured vertebrae in his neck.

The league is tired of seeing some of its best players sustain injuries due to illegal or reckless hits, and is currently creating a plan to curb the amount of concussions and questionable checks.

Contact Travis at travis.tosoni@student.shu.edu

low in calories. The coconut water business is also heading in the right direction, grow-

Like Coca-Cola, Pepsi will partner up with GNC to release their own coconut

Photo courtesy of Zico Zico coconut water offers athletes high amounts of electrolytes and a low number of calories.

ing by 150 percent in each of the past five years. Many experts in the industry feel that it will not be long before you see coconut water making a major splash on sidelines throughout professional sports.

water versions called Phenom, set to come out later in the year. However, what makes Zico so prominent is that along with the fact they were able to sign a premiere athlete as their endorser, they also have the right peo-

ple at the head of the company. CEO Mark Rampolla says people with stake in the company are guys like the founders of Nantucket Nectars, Honest Tea, and one of the former presidents of Snapple.

Though it may have the right people on board, the bottom line in deciding whether or not coconut water will be a hit is taste, and experts say that it will be something that Americans will need to get used to. Zico has added a number of “natural” flavors, with a chocolate flavor coming soon.

So the next time you are playing ball with your friends and it is time to take a break, it might not be your normal “water break.” It may very well be that you are reaching for some coconut water to rehydrate and get you ready to finish the game strong.

Contact Nick at nicholas.costa@student.shu.edu

ECHL’s Condors “Winning” with Marketing

By Matt Bartel, Sports Business Writer He has the blood of a tiger running through his veins. He has winning on his mind. He is on a drug, a drug called Charlie Sheen. And the ECHL’s Bakersfield Condors looked to profit from the recently embattled actor’s massive wave of popularity.

Sheen, once a top billed movie star, has spent his recent years on the Emmy award winning television series “Two and a Half Men”, which has made him the richest man in television. After a contract dispute, Sheen went on numerous interview tirades filled with vulgar content about his wild home life and illicit drug use.

This led to his firing by Warner Brothers, and resulted in an internet fueled cult following.

With over one million followers on Twitter and his various videos racking up views on YouTube and other sites Sheen has possibly become more famous than ever. For its promotion, attendees of the March 12 game in Bakersfield had many opportunities to show their “winning” ways and save money as well.

Condors fans received free admission with a clean drug test, or only had to pay two and a half dollars for admission if they arrived dressed as Sheen’s character from “Two and a Half Men.” The first 1,000 men that arrived received Sheen’s face on a stick masks to

wear and treasure as a keepsake of the memorable promotion.

Though this may seem unorthodox, it was not the Condors first attempt at holding a themed night to help attendance.

In recent years the team has held several of these events such as Sarah Palin and Michael Jackson nights. The Condors also extended an offer to Sheen to attend that evening’s game, to which he did not respond. The willingness to market it not something the Bakersfield based team is afraid of, despite catching heat for choosing a controversial figure to host a themed night for.

Team president Matt Reilly sees no shame or harm in such events, defending the Sheen promotion when he told sportsbusinessdaily.com’s Erik Swanson, “We don’t take ourselves too seriously and hope that other people don’t either, said Reilly. We think this can help us sell some tickets and get us some publicity.”

The Condors look at nights like this to increase attendance and help keep their team in operation during the tough economic times.

In the true spirit of Sheen’s recent popularity, the team can consider itself to be “winning” at the box office and in the stands.

Contact Matt at matthew.bartel@student.shu.edu

NASCAR Sees Fast Start to 2011 Season

By Brianna Young, Sports Business Writer The 2011 NASCAR season is off to a strong start. The chairman of NASCAR, Brian France, is very pleased with the results. While it is acknowledging the immediate success of this season, NASCAR has no plans to slow down and hopes to keep the string of success going for the entire season.

After the first three races of the season, the ratings are already up and the tickets for the upcoming two races are sold out.

NASCAR has been adjusting to the different format of its racing schedule this season, which started a week earlier and also saw an off-weekend on March 13.

This early start has brought concerts for some people who feel it could hurt NASCAR even more because ratings under the old schedule were poor already. In a 30minute national conference call, France spoke about the current state of his sport. He noted that the success of the first three races have been great.

The Daytona 500 gained tremendous attention after 20-year-old Trevor Bayne came out with a surprising win and became the youngest racer ever to score a victory in the historic race. Bayne became an immediate star and he generated national attention for himself and the sport.

The other two races this season are also something to talk about for NASCAR. At Phoenix, Jeff Gordon made a breakthrough

Photo courtesy of the Associated Press

Trevor Bayne’s win at Daytona is one of the more memorable moments in the early part of 2011.

by finally breaking his 66 losing streak, and Carl Edwards earned a thrilling win in Las Vegas. NASCAR also saw a historic feat made by its only female racer. Danica Patrick who finished in fourth place in the Nationwide Series, achieved the highestever finish by a woman, as well as earning the highest finish in her career.

With this streak of success for some of NASCAR’s youngest and most popular drives, hopes are this will attract more viewers in the 18-34 year-old demographic.

NASCAR has seen a steady decline in this age group over the past several years.

The parity in race results and increased race sponsorships has also been good news for NASCAR this season. Everything that could go right for NASCAR has so far this season, and it is determined to keep this momentum going.

Contact Brianna at brianna.young@student.shu.edu

12

Sports Business

TUESDAY, MARCH 22, 2011

THE STILLMAN EXCHANGE

Vikings Stadium Proposition Faces Opposition from the Public

By Brittany Hammer, Sports Business Writer

Photo courtesy of Getty Images

The Minnesota Vikings have experienced their share of tough luck in the past – including no victories in their four chances at a Super Bowl victory and what seems like an endless flow of scandal surrounding the purple and gold. Now, as the organization begins its hunt for a new home, support seems hard to find.

The Vikings have been pushing for the construction of a new stadium for the past several years, mainly because their lease with the Metrodome was coming to a close. Now, with the Metrodome severely damaged from a violent December snowstorm, the team’s plea for a new home has become even more desperate.

The problem – taxes. State legislators may have a hard time promoting such a proposition to their respective communities when taxpayers would be expected to fund over half of the new stadium’s construction. Minnesota communities and their citizens refuse to watch their taxes increase, especially if their money is only going to pay for the building of a $1 billion stadium to replace the 29-year-old Metrodome.

The primary organizers behind this proposal have yet to release any concrete plans for stadium construction.

Stadium plans will be released along with any funding

XIX Entertainment Group Lands Formula 1 Driver Lewis Hamilton

By Anthony Crisci, Editorials Editor Sport agencies around the world compete with each other every day to sign the most famous and successful athletes.

Simon Fuller recently put his management agency on the top of the competitive heap.

Fuller owns the XIX Entertainment group that already represents superstars David Beckham and Andy Murray. Fuller started his fame by managing the successful careers of the Spice Girls in the early 1990’s.

Fuller is known as one of the most powerful and flourishing men in the entertainment business.

Last week the agency made another move to raise the price of their stock by signing Formula 1 driver Lewis Hamilton.

Not only does this group represent all star athletes but they are also working with entertainment superstars such as Jennifer Lopez and Robert Pattinson. This lineup is one of the greatest an entertainment industry has ever seen with very respectable stars.

Hamilton signed with the agency a year after splitting with his last manager, his father Anthony.

“It was important that I took my time to make this decision as it had to be right for my career and my long-term future,” Hamilton speaking of his decision last week.

“I spoke to many interested companies in recent months but I felt Simon Fuller along with his team not only wanted to help me become an even better racing driver, but they also shared my ambitions for the longer term,” the F1 driver went on to say.

Hamilton is probably one of the least known players in this agency, as he is a Britain star, but does have some hardware to prove is validity.

He was the 2008 F1 World Champion under his belt as well as two very successful seasons following that championship.

Hamilton was F1’s youngest champion ever and is set to become the first Britain sports billionaire.

Contact Anthony at anthony.crisci@student.shu.edu

The collapsing roof is the last straw for the Vikings old stadium.

sources, including various sales taxes on team-related merchandise and other purchases.

Legislative supporters are also on the hunt for a local partner to endorse the project as primary tax contributor.

But finding that one county willing to build the stadium, even if it means raising taxes, has proved a ‘taxing’ chore in itself.

Ramsey County, home to the state capital of St. Paul, is the only county that has publicly embraced the potential sta-

dium construction. Board members have suggested a possible site for the new stadium, located about 10 miles from the Metrodome, in place of a former ammunition plant. The small county would also plan on implementing a countywide half-cent sales tax to help fund the Vikings’ new home.

Even so, Ramsey County is not in total accord when it comes to the matter. Several county representatives objected to the proposition, suggesting that Ramsey County could fund various other improvements with the tax revenue, rather than the building of a $1 billion stadium.

Other sites in contention for the Vikings’ new stadium include the current Metrodome site, as well as another site in Hennepin County near Target Field – home of the Minnesota Twins. So far, officials representing both Minneapolis and Hennepin County are reluctant to support the project.

There is no doubt that the state bleeds purple and gold, as the team expects to receive sufficient support from the Twin Cities and greater Minnesota as the situation progresses. The Vikings and Minnesota legislature now need to find which county is willing to bleed a little more in tax dollars in order to house its beloved Vikings.

Contact Brittany at brittany.hammer@student.shu.edu

Sporting Kansas City Kicks the Norm by Signing with Nonprofit Foundation Livestrong

By Anthony Holesworth, Sports Business Writer The sports industry is one of the most lucrative industries in the world. Some of the biggest contracts in sports, aside from player contracts, are naming rights deals.

These deals consist of an organization or business paying a sports franchise in exchange for getting its name on the team’s stadium or arena. These deals are usually large, multi-million dollar deals.

Kansas City’s MLS team, who was recently re-named Sporting KC, made American sports history just days ago by signing a non-profit naming rights deal with the Livestrong foundation. With this deal, Sporting KC becomes the first American sports team to sign a naming rights deal with a non-profit organization.

Naming rights deals provide sports teams with a significant source of income, while providing organizations an effective avenue for advertising their company.

According to Askmen.com, professional sports teams in America make an average of around $3 million a year from their respective naming rights deals.

Sporting KC’s deal with Livestrong is a six-year deal. This means that for the next six years, Sporting KC is forgoing the

Photo courtesy of SportingKC

Sporting KC’s proposal for Livestrong Sporting Park.

opportunity to make any sponsorship money for their brand new stadium and its name.

The stadium will be called Sporting Livestrong Park. This deal is notable in many ways. First of all, it is rare for any company in today’s economy to pass up the opportunity to make millions of dollars.

Secondly, the deal is commendable in that Sporting KC is passing up on a for-profit naming rights deal in favor of promoting a non-profit aimed at fighting cancer. Thirdly, Sporting KC is going a step above and beyond by setting a target to try and raise $7.5 million for Livestrong over the six-year contract.

Livestrong president Doug Ulman had this to say about the deal: “Sports are a unifying force in bringing people together.

Livestrong Sporting Park is more than just a stadium it’s the first athletic venue in the world with a social change mission and offers an ideal arena to champion the cancer cause.”

Sporting KC has recognized that this social change mission is, in many ways, a higher cause than a pursuit of monetary profit. Maybe this move will lead the way for many teams to consider non-profit naming rights deals. Either way, we tip our hats to Sporting KC for their philanthropic effort toward bringing positive change to one of the world’s biggest problems.

Contact Anthony at anthony.holesworth@student.shu.edu

In the Midst of a Playoff Push, Maple Leafs Majority Owner Announces Interest in Selling Ownership

By Robert Szeluga, Sports Business Writer A last surge attempt at the playoffs may not be the only thing on the minds of the Toronto Maple Leafs in the next few weeks.

The Ontario Teachers’ Pension Plan, a group that owns two-thirds majority of Maple Leafs Sports and Entertainment, has announced interest in selling its ownership rights.

The Ontario Teachers’ Pension Plan is an independent organization that is the largest single-profession pension fund in Canada.

It currently serves over 289,000 active and retired teachers. In 1994, the pension fund purchased majority ownership of Maple Leaf Sports and Entertainment for $102 million. Now, the fund is expected to receive an estimated $1.5 billion for the sale.

Talks of the sale surfaced back in December, but a deal seems evident within

the near future. One potential buyer is Rogers Communications, a company that already owns the Toronto Blue Jays. Maple Leaf Sports and Entertainment, also known as MLSE, has also reported to have contacted investment bank Morgan Stanley to assist in the potential transaction.

Larry Tanenbaum and TD Capital are the other two primary shareholders of MLSE. Both have already said that they have no intention of selling their shares of the company. Both, however, can buy a portion equal to the percentage it currently owns.

Therefore, Tanenbaum would have a controlling share of 60.3 percent and TD Capital would own the other 39.7 percent if they were to choose such a path.

For now, both will be a part of the decision process regarding potential buyers.

The deal will not only affect the Maple Leafs, but other local sports clubs as well.

MLSE is a Toronto company that owns the

Maple Leafs, the NBA’s Toronto Raptors, the MLS’s Toronto FC, and the Leaf’s AHL team.

The Maple Leafs is one of the NHL’s most followed clubs, and a member of the original six. Forbes estimates the Maple Leafs alone is worth an estimated $505 million, the highest value in the entire NHL. It is interesting to note that the sale comes at a low point in performance for all clubs involved.

The Maple Leafs has missed the playoffs five of the past six years, and has not won a Stanley Cup since 1967.

In addition, the Raptors has only appeared in 11 total playoff games since the team’s inception 15 years ago, and Toronto FC has yet to clinch a playoff berth in its short life span.

Contact Robert at robert.szeluga@student.shu.edu

THE STILLMAN EXCHANGE

Domestic News

TUESDAY, MARCH 22 , 2011 13

S ou t h D ak ot a Govern or “I n clin ed t o S ig n ” St rict A b o rt ion Bill A m en d m en t s

By Fred DeRitis and Alina Fernandez, Domestic News Writer, Assistant Editor A new set of proposed abortion guidelines has renewed debate about the rights of patients and the rights of fetuses.

South Dakota’s HB 121 contains strict guidelines for women who seek to obtain an abortion in the state.

South Dakota Gov. Dennis Daugaard has said that he is “inclined to sign” into law a new set of guidelines that would require a woman to attend counseling sessions intended to dissuade her from seeking an abortion.

The bill would also extend the period of time a woman would need to wait to have an abortion performed from 24 to 72 hours.

The Guttmacher Institute reports that if the extension goes into action it would be the longest waiting period in the country. The American Civil Liberties Union of South Dakota reports that no other state requires women to attend counseling.

Dauguaard said his motivation for signing the bill is his belief that women should have more time and counseling to help them make their decisions. He told the Associated Press, “I think these decisions are certainly very important decisions. A decision of this significance warrants that [time and counseling].”

Several groups including the ACLU’s South Dakota chapter have expressed displeasure over the bill. Robert Doody, the state’s director of the ACLU said, “The South Dakota legislature should be ashamed of this demeaning and destructive

Photo courtesy of Getty Images Protestors demonstrate in front of the Supreme Court during the March for Life. South Dakota’s proposed bill contains some of the strictest regulations in the country.

law.”

Opponents of the bill have deemed it intrusive and a violation of the rights of abortions seekers because it would obstruct their access to medical care.

When asked about possible lawsuits, which South Dakota’s legislative research council estimates would cost from 1.75-4 million dollars, Dauguaard said it would be a “one-time expense”.

This controversial bill comes just after the South Dakota legislature voted to table indefinitely a bill that would expand the

News Briefs Pakistan Pulls Out of Talks on Afghanistan Relations between the U.S. and Pakistan, a nation whose alliance with the U.S. has been questioned in previous months, have been stretched even further. On Friday March 18, Pakistan left talks on the Afghanistan war. This was a reaction to a U.S. drone strike which killed a group of civilians who had gathered on the Afghan-Pakistan border. The attack, which took place in a stronghold of insurgents, has U.S. and Pakistani officials disagreeing over who was actually killed in the attack. Pakistani Foreign Secretary Salaman Bashir told U.S. Ambassador Cameron Munter that U.S. drone strikes are “a flagrant violation of humanitarian norms and law.”

New York Times Changes Online Access Policy The New York Times has decided to test the will of its frequent readers by creating a new policy for its website.

Starting March 28, the newspaper will allow readers to read up to 20 online articles a month. After the twentieth article, users will be prompted to buy one of three packages, including a $15 four-week subscription. Like most websites, the New York Times hoped to have online advertising bring in enough revenue to keep content free. However, Chairman of the New York Times Company, Arthur Sulzberger, Jr. explains in his State of the Times remarks that this new policy will allow the New York Times “to develop new sources of revenue to support the continuation of our journalistic mission and digital innovation.”

Utah Chooses Official State Firearm Utah selected an official state firearm, the M1911, making it the first state to do so. State representative Carl Wimmer (R) got the idea for the proposal after similar legislation failed to pass last year in PA. Despite some questions raised by the measure after the events in Tuscon, it passed in what Wimmer described as a “bipartisan effort.”

The governor’s spokeswoman said “This bill isn’t so much about a weapon as it is about honoring John Moses Browning, who was a Utah inventor and entrepreneur, and he repeatedly gave back to the state.” Browning built the M1911.

state’s definition of justifiable homicide.

The bill itself states that the new definition would allow for murder, “in the lawful defense of ... his or her husband, wife, parent, child, master, mistress, or servant, or the unborn child of any such enumerated person.”

While a spokesman for Gov. Daugaard told the New York Times that the bill “as it’s currently written is a very bad idea,” South Dakota’s Speaker of the House, Val Rausch, has not indicated whether the bill will be voted on, amended, or dropped.

The bill is so controversial, that even members of the anti-abortion movement are criticizing the legislation. The leader of the anti-abortion group Operation Rescue, Troy Newman, said, “The pro-life movement, by definition, is in favor of protecting human life from the moment of conception to natural death, and we reject all forms of violence.”

Supporters of the amendment say that it is being misinterpreted as an anti-abortion measure, when it was actually meant to extend legal protection to unborn children.

Anti-abortion activists are joined by pro-choice activists in questioning the intention of this piece of legislation. The president of the local chapter of Planned Parenthood, Sarah Stoez, said, “It’s a very clear shift in the conversation.”

When Seton Hall students were asked about their reactions to these controversial bills their opinions were divided like those in South Dakota.

Marie Odejar, a speech language pathology major, said “Although I am prolife, the issue is too controversial to have a such a biased law enacted.”

Raey Carandang, a psychology major believes “the law is biased but necessary.”

Contact Fred at fred.deritis@student.shu.edu Contact Alina at alina.fernandez@student.shu.edu

USTA Investigates Improving Air Travel Experience Photo courtesy of Real News Reporter

The USTA suggests implementing a “trusted traveler” system to shorten the long check-in process at airports.

By Tiffani Maddox, Domestic News Writer Travelers have noticed a significant increase in the amount of airport security since the terrorist attacks on 9/11. Travelers were thankful for the security increase for years after 9/11 but now, 10 years after the attack, travelers have become extremely annoyed by the ironclad security of the TSA. To this end, the U.S. Travel Association (USTA) recently conducted an investigation on how the airport experience could be improved for passengers.

The investigation lasted a year and the USTA recently presented their findings. The members of this council include Tom Ridge who served as Secretary of Homeland Security and Jim Turner, former member of the House Homeland Security Committee.

Travelers often complain of unnecessary bodysearches, a long check-in process, and fees on carry-on bags. After 9/11, the TSA was created to help protect passengers against further terrorist threats. They took on a non-discriminatory role which assumed that everyone was a suspect. Due to lengthy body-searches, passengers spend excessive amounts of time waiting to get through

airport security.

The USTA believes that the best way to improve convenience would be to implement a voluntary “trusted traveler” system for frequent fliers. This system would store the passenger’s personal information in order to conduct a background check.

CEO of the USTA, Roger Dow, shares in an interview with USA Today that, “While our government and passengers deserve credit for preventing another terrorist attack like what happened nearly ten years ago on 9/11, each day in the United States roughly two million air travelers are advised to arrive upwards of two hours before a flight in order to be processed through a one-size-fits-all security screening system.”

The USTA believes that their suggestions would significantly reduce the amount of time travelers spend passing through airport security.

The trusted traveler program would eliminate the need for passengers to go through security a second time during layovers. Travelers would still have their bags passed through detectors but the excessive pat down would be eliminated.

The USTA also suggests that the cost of the flight should also include one carry-on bag instead of charging a separate fee.

Passengers may be relieved by the USTA’s proposed system but airline carriers have not been receptive. The Air Transport Association promptly issued a statement speaking out against the USTA’s proposal. They are concerned that the government’s attempt to place regulations on private airline companies violates their rights and could lead to a lack of choices for customers.

The USTA’s proposal must pass through different regulatory systems, including Congress. Unfortunately for travelers, the proposal has a long way to go before we can travel with less hassle.

Contact Tiffani at tiffani.maddox@student.shu.edu

14

TUESDAY, MARCH 22, 2011

Domestic News

THE STILLMAN EXCHANGE

Department of Commerce U.S. Continues Efforts to Aid Proposes Privacy Bill of Rights Japan After Earthquake

By Padmavathy Sonti, Domestic News Writer On Wednesday, March 16, Lawrence Strickling, a high-ranking federal official from the U.S. Department of Commerce, testified before the Senate Commerce Committee and proposed the need for a federal privacy law, specifically comprised of a “privacy bill of rights” to protect consumers.

“The department has concluded that the U.S. consumer data privacy framework will benefit from legislation to establish a clearer set of rules for the road for businesses and consumers, while preserving the innovation and free flow of information that are hallmarks of the internet,” Strickling said.

Many privacy advocate firms, civil liberties organizations, and information technology companies have extended their support for the proposal.

“This is a historic announcement, marking the first time the White House has called for a baseline consumer privacy bill,” Leslie Harris, the president of The Center for Democracy and Technology, said.

Over the past few months, there has been a growing concern regarding the privacy and security of consumer information.

Multiple reports indicate that a majority of websites install tracking software onto internet users’ computers without their permission.

In December, the U.S. Department of Commerce and the Federal Trade Commission released a series of recommendations deemed appropriate for protecting consumer data.

According to the report put forth by the U.S. Department of Commerce, firms ought to seek the permission of consumers before their data is used for alternative purposes.

Additionally, consumers should be entitled to access their personal information and have the ability to store that information safely.

In its proposal, the Federal Trade Commission called for a “Do Not Track” option that would allow internet users to “opt-out” of having their data monitored.

“Do Not Track is no longer just a concept. It is becoming a reality,” Jon Leibowitz, the Chairman of the FTC , said.

“An effective Do Not Track system would go beyond simply opting consumers out of receiving targeted advertisements.”

Currently, Microsoft and Mozilla, the makers of Internet Explorer and Firefox, are working on incorporating the “Do Not Track” feature into their upcoming version upgrades.

The Obama administration intends for the privacy law to remain consistent with the guidelines outlined by the U.S. Department of Commerce and the FTC. Essentially, the FTC would have the power to enforce the law.

“There is an online privacy war going on, and without help, consumers will lose,” Senator Jay Rockefeller (D-W.Va.), said.

“We must act to give Americans the basic online privacy protections they deserve.”

In Congress, Senators John Kerry (DMass.) and John McCain (R-Ariz.) have been working together on their own version of a bill. “We approached this with a real open mind, and I think people will acknowledge a fair amount of reasonableness and flexibility,” Kerry said. “But we can’t let the status quo stand.”

“There’s a window of opportunity here to pass strong consumer privacy legislation — with bipartisan support — in the 112th Congress,” Justin Brookman, a representative at the Center for Democracy & Technology, a non-profit organization, said.

“The administration’s support is a welcome addition to that debate.”

Contact Padma at padmavathy.sonti@student.shu.edu

By Charlotte Lewis and Alina Fernandez, Domestic News Writer, Assitant Editor The U.S. has been sending all types of relief to Japan over the course of the past week, since the disastrous earthquake and tsunami struck on March 11.

A few hours after the 9.0 magnitude earthquake and tsunami hit that Friday, the Japanese government accepted the aid of the U.S. Agency for International Development, which sent two search and rescue teams from Los Angeles County, CA. and Fairfax County, VA Saturday Morning.

U.S.Agency International Development (USAID) spokeswoman Gina Jackson wrote in an email that “The teams remain hopeful that they will make live rescues in the days to come…”

USAID reports these two units, comprised of approximately 150 people and 12 specially trained dogs, joined the search and rescue operations of a team from the United Kingdom to search for victims in Ofunato City, Iwate Prefecture.

USAID’s initial $100,000 in aid was processed through the U.S. Embassy in Tokyo has since been increased in cooperation with the Office of U.S. Foreign Disaster Assistance to $740,600. These funds have been allocated to help with the various facets of the relief effort.

The U.S. military also increased relief efforts. Col. David Lapan, Pentagon spokesman, stated “[U.S. Forces Japan] provided two fire trucks to Fukushima to be operated by Japanese crews.” He also emphasized that the U.S. military was not directly involved in the response. The aid will be used to augment firefighting efforts

at the Fukushima Daiichi nuclear-power plant.

Additionally, U.S. Marines have shifted their efforts to the Japanese mainland. The Japanese reference this effort as Operation Tomadachi, which means “friends”. The Third Marine Expeditionary Force reports that 440 Marines and sailors are participating in the operation.

The U.S. Navy plans to place ships in the Sea of Japan, on the west coast of Honshu, to avoid “radiological and navigation hazards on the eastern coast of Honshu,” according to a Navy Update.

These ships have also been allocated to aid Japan in their humanitarian operations.

Among the efforts of the U.S. Navy is the dispatch of surveillance aircraft to survey the debris field at sea.

Non-profit organizations are also working to help Japan. Text message donations to the Salvation Army totaled almost $93,000 of the $1.7 million raised by the organization, according to Major George Hood, a Salvation Army spokesperson.

Similarly, Josh Kittner, a senior marketing consultant for the Red Cross, stated that the organization has raised $1.6 million dollars for the relief efforts from their texting campaign. Red Cross considers the texting campaign a success despite the fact that last year’s efforts for Haiti raised 5 million dollars.

Contact Charlotte at charlotte.lewis@student.shu.edu Contact Alina at alina.fernandez@student.shu.edu

For more on the impact of the Japanese earthquake and tsunami on the U.S., visit our website at www.stillmanexchange.com

High es t Mo n t h ly I n crea s e in Fo od Prices in 3 7 Years I m p act s St o res , R es t a u ra n t s

By Amanda Genabith, Domestic News Writer

In the United States of America, people are purchasing food that is at its “highest monthly increase in roughly 37 years” says The New York Times.

According to the U.S. Labor Department wholesale food prices rose 0.8 percent to 3.9 percent last month and this trend could last for the rest of the year as well.

If this progression continues food prices will be five percent higher than the end of last year, a stark contrast from the usual annual increase of two percent.

Items like coffee beans, tomatoes, corn, meat, dairy, eggs, and wheat are among a list of global commodities whose prices are rising quickly.

The problems in the Middle East, the growing global population, the use of crops for bio-fuel and the cold weather that damaged crops in many states, are just a few of the factors that contributed to the rise in costs.

The disaster in Japan resulted in a decrease in corn prices. Before this, they were almost double what they were last summer.

While Americans spend ten percent of their yearly income on food, there are other nations where 30 to 70 percent of a household’s annual income is spent on groceries.

Food prices are reaching a peak in the U.S. and around the world.

Prices have been impacted by issues in the Middle East and Japan.

Additionally, there are about 44 million people who cannot afford food, a contributing factor for the unrest in the Middle East.

The high prices are not only impacting grocery stores, but also fast food restaurants.

Wendy’s used to put a tomato on every hamburger that they sold. Now, with tomato prices climbing, tomatoes will need to be

requested.

Similarly, McDonald’s expects that the cost of a Big Mac will rise as a result of an increase in the price of livestock feed, which caused the price of meat to also increase. Dunkin Donuts and Starbucks also had to raise their prices because coffee beans have become more expensive.

Many people are blaming farmers for

the increase in pricing, but the U.S. Department of Agriculture says that for every dollar spent on food, a farmer receives only 11.6 cents of it.

Drovers CattleNetwork, which tracks beef business, reported that “the second largest contributor to high food prices,” is “the processing, packaging, and transportation” of the food, which accounts for 33 cents of every dollar spent.

The CNBC All-American Economic Survey asked 800 Americans, if they felt that the “economy will get worse,” to which 37 percent responded yes, a 15 percent increase since December of 2010.

The survey also reported that 75 percent of Americans have noticed the rising food prices and 61 percent reported an expectation that the rise in food prices will continue throughout the year.

These elevated food and oil prices have many American afraid of an increase in inflation. This is not the case; inflation has not increased substantially over the last few months. In February, inflation rose one-half percent, but if food and oil are removed from this calculation, core inflation rose only two percent.

Contact Amanda at amanda.genabith@student.shu.edu

THE STILLMAN EXCHANGE

TUESDAY, MARCH 22, 2010

International News

15

Situation Worsens Japan Reeling from Earthquake Aftermath in Ivory Coast

By Wesley Satterwhite, International News Writer Amid calls for cease fire, UN peacekeeping action and an eight-year election controversy, the Ivory Coast is slipping closer towards an all out civil war.

Last November a presidential election between incumbent Laurent Gbagbo and opposition leader Alassane Ouattara left the nation divided, in the first election in 10 years. Gbagbo’s term expired in 2003, and he has postponed elections ever since. Outtara is the recognized the winner by the E.U., U.N., and the U.S., all of whom are demanding that Gbagbo step down.

Both men have set up rival governments in the nation’s capital, Abidjan.

Last week the African Union joined the rest of the international community and endorsed Outtara as the legitimate leader of the Ivory Coast. He is now asking for a peace agreement in the form of a unity government. This pact would include a united national army and a truth and reconciliation commission. Gbagbo has yet to respond to this final attempt at peace.

The election has left Gbagbo supported by the national army. Outtara is backed by rebels from the nation’s 2003 civil war, who currently have control of the north of the country. A six year cease fire was broken in the post election violence, when rebels and government troops clashed close to the Liberian border. According to the U.N., an estimated 400 people have died in the violence following the election. An additional 300,000 people have been displaced, surpassing the number of those affected by the Libyan civil war.

Two months ago the Security Council allowed the use of force in the country through the UN Charter’s Chapter VII mandate. Gbagbo and his supporters have called for the U.N. peacekeepers to leave the country. The Gbagbo camp has gone as far as to arm civilians to fight the peacekeeping forces. Charles Ble Goude, a Gbagbo youth leader, says U.N. peacekeepers are waging war on behalf of rebels.

Goude says this is the same thing that happened with U.N. troops in Liberia, Congo and Rwanda. He says the population was killed in the presence of U.N. forces and that he and other Gbagbo supporters will not allow that to happen in the Ivory Coast. Gbagbo has also refused the safe passage of U.N. relief supplies to the nation’s citizens, and broken an international trade embargo to the country by ordering attack helicopters from Belarus. U.N. peacekeepers currently guard the Golf Hotel in Abidjan where Ouattara and his staff work. Supplies are flown in

by U.N. helicopter daily.

“Before, it was clashes between police and protesters. Now if it’s the beginning of fighting between two armed forces, it could have serious consequences for the country or even the region” says Hamadoun Touré, a spokesman for the U.N. The IMF reported that the violence could threaten the projected 4.3 percent growth of the Economic Community of West African states; an eight country body in which the nation is a member.

“With 17 elections in Africa this year, a failure to enforce the will of the Ivorian people would set a terrible precedent” said Kenyan Prime Minister Ralia Odinga.

The violence is already having impacts around the globe. Cocoa prices are at their highest since 1979. The Ivory Coast produces over one third of the world’s supply of the crop.

Contact Wesley at wesley.satterwhite@student.shu.edu

...coninued from page 1 “We are deeply concerned for the people of the region and are committed to providing support where we can,” Cabot’s president, Patrick Prevost said.

Fujitsu released a statement announcing the company would contribute up to $250,000 in relief efforts.

Texas Instruments said in a news release that a manufacturing site in Miho, Japan—located 40 miles northeast of Tokyo— suffered “substantial damage.”

There is a human element to this earthquake that numbers alone cannot convey. Photos have circulated of children being scanned with Geiger counters to check them for radiation exposure. People are without homes, power, water and security. The Japanese government calls this its “biggest test since World War Two.” “It’s such an emotional time,” Troy Teshirogi, a Canadian expatriate living in Aizu Wakamatsu, Fukushima, wrote in a note to her Facebook friends. Teshirogi lives there with her husband and children.

“Aizu is relatively unchanged,” she continued, “and yet just a few hours’ drive to the coast and total towns have disappeared.

There are little aftershocks every little while, but nothing getting knocked over. Worried about the nuclear reactor. I’m going to send this now just in case it stops working again.”

Aizu Wakamatsu is using some of its schools as shelters for those fleeing the nuclear reactors. The city website tells those coming in that they must have a certificate to prove they are not a victim of radiation exposure. They also urge residents to conserve water. Power in the area has been in and out.

“I’ve heard that embassies have been calling foreign residents into the Kanto region to leave because of the radiation fears. It’s so hard to tell what will happen about that,” Porter said, “While experts insist the amount of radiation around Tokyo is not yet harmful to humans, the truth is…if something DOES happen, it’s too late…And that’s what makes it scary.”

She also said that Japanese television has reported over 200 aftershocks, some as high as 6.0 on the Richter scale, and that they may continue through the end of the month. She has also heard the rolling blackouts will likely continue through April.

Foreign media has reported that the Japanese are dissatisfied with the way the government has been handling the disasters.

“This government is useless,” Tokyo office worker Masako Kitajima told Reuters.

Porter said, “No one can prevent something like this from

happening, and while it is important to be trained and prepared for this sort of thing, I think most of them are learning as they go right now, just like everyone else.”

Rachel Rosenstrock, a Seton Hall student currently studying in China, says that the country is worried how the string of incidents in Japan will impact them. “I know that Shanghai is monitoring the radiation levels in Shanghai daily, if not more frequently…I know that many Chinese are wary of buying Japanese products right now.”

While workers search for survivors in Sendai and monitor the reactors in Fukushima, the rest of the country is trying to get back on its feet.

Contact Morgan at morgan.tornetta@student.shu.edu Photo courtesy of Reuters

An emergency worker walks through the rubble of Otsuchi in Iwate Prefecture.

Protestors in Bahrain Try to Remain Peaceful Amid Violent Opposition

By Doug Tatz, International News Writer The Middle East is currently like a long line of dominoes, as more and more countries follow the lead of protesters in Tunisia. Currently, pro-democracy protestors in Bahrain are demonstrating their desire for an end of the oppressive rule.

Although the demonstrator’s protests are peaceful, the government’s reaction is not. Hundreds of citizens have been killed or injured in the brutal attempts to suppress the protestation.

Courtesy of news.com.au

Protestors from Bahrain gather outside the U.S. Embassy for peace.

Bahrain’s King Hamad ibn Isa al Khalifa, declared martial order to more easily control dissenters. Demonstrators in the Pearl Roundabout, the hub of Manama, were forcefully cleared out by soldiers using shotguns and teargas. Influential figures of the opposition movement have been arrested by the army. Soon after the military imposed a curfew, several protestors were also

arrested simply for staying out past the designated time. The Bahrain army has confirmed others have been arrested based on charges of sedition, murders, and illegal contacts with foreign states.

Force has not only been used on active protestors, but also against innocent citizens in hospitals seeking treatment.

According to a UN news report, power to the main hospital in Manama was turned off. Reports also indicated that security forces were committing acts of violence against patients and medical personnel.

Several of Bahrain’s issues are further complicated by the fact that for almost 200 years, the country has been ruled by Sunnis, while almost sixty percent of citizens are Shia. The current monarchy has found difficulty in suppressing the demonstrations and has recently called upon members of the Gulf Cooperation Council, the GCC, to assist. One-thousand troops from Saudi Arabia and 500 troops from the United Arab Emirates invaded Bahrain to help maintain security.

Saudi Arabia is also ruled by a monarchy. Many firmly believe the main reason for the Saudi invasion is to preserve the current monarchy in Bahrain. The Saudi government fears that if the monarchy in Bahrain falls, theirs will too.

The opposition movement has denounced the Saudi and UAE troops in Bahrain. “We consider the arrival of any soldier, or military vehicle, into Bahraini territory.... an overt occupation of the kingdom of Bahrain and a conspiracy against the unarmed people of Bahrain,” said an opposition statement. The opposition has also denounced the use of force to suppress the revolution.

Contact Doug at douglas.tatz@student.shu.edu

16

TUESDAY, MARCH 22, 2011

THE STILLMAN EXCHANGE

International Business

Trade Increases Between Latin America and EU After Ratings

By Earlene Cruz, International Business Writer A recent report published by The Latin Business Chronicle revealed that European Union trade with Latin America has reached an all-time record this year. Perhaps this is a testament to economist Carlo Secchi’s assertion that “ever since the 1999 Rio summit, the European Union has proclaimed that Latin America is a vital strategic political and economic partner.”.

In 2010 alone, trade between Latin America and the EU increased by a full 31 percent reaching US$236.9 billion.

The countries that are primarily involved in this movement towards increased trade with the European Union include Brazil, Columbia, Perú, and Chile.

Brazil, already the top trading partner in Latin America for the European Union, has seen an even greater expansion of trade between the two regions: “Last year, trade between the two regions jumped 34.3 percent to U.S. $85 billion.”

An example of the increased trade between Brazil and the European Union includes Audi’s recent outreach to wealthy Brazilian CEOs: according to The Latin Business Chronicle, “it invited 12 Brazilian CEOs to fly first class to Istanbul, Turkey.

Photo courtesy of Kempinsky

The Çiragan Palace in Istanbul, where Audi recently hosted a consortium of Brazilian CEOs.

Audi treated them like sultans, put them at the legendary Çiragan Palace and, incidentally, let them experience its new A8 model.

It ended up selling four of this new luxury model to its guests.” This push for acquiring market shares in Brazil not only encourages the solidarity between Brazilian and German CEOs, it serves to strengthen the overall economic ties of the nations.

However, it is not only the nations of

the European Union who seek to economically reach outside their borders. According to the U.N. Conference on Trade and Development, in 2009, Brazil invested U.S.$20 billion outside its borders, more than the U.S.$18.8 billion in foreign investment than it received and an increase of 189 percent since 2008.

Brazil, however, is not the only nation experiencing an expansion in trade with the European Union. Smaller Latin American countries like Paraguay have also set a trade record in 2010. Other trade unions include Spain’s involvement with the expansion of the Panama Canal.

The Costa Rican construction company, MECO, the Mexican construction company, ICA, and the Spanish construction company, FCC, have aimed to consolidate their labors in the enlargement of the Panama Canal, ringing in U.S.$268.8 million for the three companies.

The increase in trade between the European Union and Latin America suggests that despite the existence of a deepening recession, the push for global economic expansion and solidarity are some of the keys to economic survival.

In a closely followed survey conducted by the Fraser Institute, South Africa’s rank as a mining investment destination slipped due to obscuring government involvement in the sector. This announcement reflects the effect of political pressures in South Africa despite official efforts by the government to bring investment into the country’s resourcerich mining sector.

As prices for commodities approach historic highs in recent years, South African mining has failed to capitalize. An electricity crisis in 2007 and the subsequent global financial crisis have kept significant output growth from returning. South Africa is a major exporter of coal, gold, and other minerals, and a world leader in platinum and ferrochrome. This influential report of an unfriendly investing climate bodes poorly for the economy.

The Fraser Institute published its annual report at the beginning of this month to give an index of overall policy attractiveness for exploration investment.

The report ranked South Africa just 67 out of 79 among countries such as

Zimbabwe, Venezuela, and the Democratic Republic of the Congo. This dismal ranking comes despite a report by Citibank placing South Africa as a global leader in its natural resource endowment with a value between $2 and 3 trillion. According to the Fraser Institute, the survey was launched, “to examine which jurisdictions provide the most favorable business climates for the industry.”

Political pressures in South Africa have contributed significantly to the deterioration of the business climate in the already troubled mining sector. The ruling African National Congress’s Youth League has demanded that the government take a miniPhoto courtesy of Reuters

The Kimberley Mine in South Africa.

The standard in order to institute complete local production and component sourcing is having an overall production volume of 100,000 units. If BMW’s market share continues to grow in Latin American, a production plant in Brazil would be extremely profitable.

Contact Ben at benjamin.canning@student.shu.edu

Contact Alina at alina.bykovtsevamora@student.shu.edu

Contact Earlene at earlene.cruz@student.shu.edu

mum of 60 percent ownership of all South African mines. Instead of downplaying any possibility of nationalization and assuring investor confidence, according to The Wall Street Journal, the government appointed an independent research group to study the issue of nationalization.

While investors may be disquieted regarding support for nationalization, a government task force was established in June to identify bottlenecks within the mining sector. A new strategy has emerged that intends to resolve ambiguities and restraints and allow the economy to prosper from the next commodities boom.

By creating an online database of mining and prospecting claims, the task force hopes to eliminate uncertainty. In an interview with Business Day, Senior Executive & Chief Economist at the Chamber of Mines, Roger Baxter, said, “We’ll start seeing some good progress in the next six months to a year. Hopefully in the next Fraser rankings we’ll be a bit higher up in the pecking order.”

Contact William at william.suggs@student.shu.edu

Following Market Demand, BMW Looks to Move Production into Brazil ...continued from Page 1 “For us, it is really about the significance and prominence of the market, since we believe it has a big future. The development of Brazil over the past ten years is impressive,” BMW production boss FrankPeter Arndt told Reuters.

BMW is playing it a little safe with humble initial production goals and is pre-

suming to use a “complete knock down” (CKD) assembly plant. All parts and components will be transported from Germany to be assembled locally.

At an annual news conference on March 15, BMW predicted another record year for earnings disclosing that the sales of new model launches, such as the 1-Series MkII, will bolster vehicle sales over 1.5 million.

By Alina Bykovtseva-Mora, International Business Writer European leaders have been striving for several months to end the eurodebt crisis. Almost 640 billion euros has already been spent by the European Union and International Monetary Fund to bail out troubled countries. However, the yields on long-term government bonds in Greece, Ireland, and Portugal remain extremely high with Greece beating all the records.

On March 7, 2011 Moody’s downgraded Greece to B1 from Ba1 rating which sparked great discontent for the Greek Finance Ministry. It said that the decision was “totally unjustified” and “having completely missed the build-up of risk that led to the global finance crisis in 2008, the rating agencies are now competing with each other to be the first to identify risks that will lead to the next crisis.” Moody’s explained its actions

by Greece’s failure to collect as much tax revenue as it planned and “the inevitable resistance to tax compliance among parts of Greek society.”

However, European Leaders appreciated the Greeks’ austerity program and a commitment to a privatization program worth 50 billion euro. As a result, on March 11, 2011 the Eurozone members decided to extend the maturity of 110 billion euro bailout from 3.5 to 7.5 years with the reduction of the interest rate by 100 basis points. On March 14, 2011 the IMF announced the release of 4.1 billion euros, the fourth installment of the 110 billion euro rescue loan from the EU/IMF. The majority of the Executive Board expressed satisfaction with the progress made by Greece despite comments about the need to speed up structural changes in order to successfully implement the stabilization program.

However, some people argue that throwing money around does not solve the problem and Greek horizons do not seem to be very promising. Much of the blame goes toward the Greek government.

Gordon Brown in his memoirs stated that the delay and negligence of the Greek government to act faster (8 months) cost Greece 90 billion euro.

According to Steve Shoursidis, editor of several Greek and American magazines, the situation in Greece is much worse that it seems and the country is actually on the verge of bankruptcy. He says that the Greek government is allergic to use of the word “bankruptcy” and instead calls it the extension of debt or refinancing of debt.

S o u t h A f rica Fin d s I t s elf in a Hole Fo llo w in g Po or Min in g R ep ort

By William Suggs, International Business Writer

Decrease, Mixed Opinions Remain on Greece’s Economic Outlook