Panasonic may sell Sanyo digital camera business: source

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TOKYO (Reuters) – Panasonic Corp may sell its Sanyo digital camera business to Japanese private equity fund Advantage Partners by the end of March, a source familiar with the plan said.


A final decision on the sale will be made by the end of the year, the source said on condition he was not identified.






Advantage Partners will pay several hundreds of millions of yen for the business, which makes digital cameras for other companies, including Olympus Corp, the Nikkei business daily reported earlier.


Panasonic declined to comment saying it had not announced the plan.


The Japanese company aims to sell 110 billion yen ($ 1.34 billion) of assets, including buildings and land by the end of March to boost free cashflow to 200 billion yen for the business year. The company expects an annual net loss of close to $ 10 billion as it writes off billions in deferred tax assets and goodwill.


Panasonic acquired rival Sanyo, a leading maker of lithium ion batteries and solar panels, in 2010. Sales of compact digital cameras are under pressure from increasingly powerful smartphones.


Panasonic’s shares gained as much as 4 percent in early trading in Tokyo, compared with a 0.5 percent rise in the benchmark Nikkei 225 index. ($ 1 = 82.3900 Japanese yen)


(Reporting by Reiji Murai; Writing by Tim Kelly; Editing by Jeremy Laurence)


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Panasonic may sell Sanyo digital camera business: source

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TOKYO (Reuters) – Panasonic Corp may sell its Sanyo digital camera business to Japanese private equity fund Advantage Partners by the end of March, a source familiar with the plan said.


A final decision on the sale will be made by the end of the year, the source said on condition he was not identified.






Advantage Partners will pay several hundreds of millions of yen for the business, which makes digital cameras for other companies, including Olympus Corp, the Nikkei business daily reported earlier.


Panasonic declined to comment saying it had not announced the plan.


The Japanese company aims to sell 110 billion yen ($ 1.34 billion) of assets, including buildings and land by the end of March to boost free cashflow to 200 billion yen for the business year. The company expects an annual net loss of close to $ 10 billion as it writes off billions in deferred tax assets and goodwill.


Panasonic acquired rival Sanyo, a leading maker of lithium ion batteries and solar panels, in 2010. Sales of compact digital cameras are under pressure from increasingly powerful smartphones.


Panasonic’s shares gained as much as 4 percent in early trading in Tokyo, compared with a 0.5 percent rise in the benchmark Nikkei 225 index. ($ 1 = 82.3900 Japanese yen)


(Reporting by Reiji Murai; Writing by Tim Kelly; Editing by Jeremy Laurence)


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Indian sitar virtuoso Ravi Shankar dies at 92

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NEW DELHI (AP) — Ravi Shankar, the sitar virtuoso who became a hippie musical icon of the 1960s after hobnobbing with the Beatles and who introduced traditional Indian ragas to Western audiences over a 10-decade career, died Tuesday. He was 92.


A statement on the musician's website said he died in San Diego, near his Southern California home. The musician's foundation issued a statement saying that he had suffered upper respiratory and heart problems and had undergone heart-valve replacement surgery last week.


Indian Prime Minister Manmohan Singh also confirmed his death and called Shankar a "national treasure."


Labeled "the godfather of world music" by George Harrison, Shankar helped millions of classical, jazz and rock lovers discover the centuries-old traditions of Indian music.


He also pioneered the concept of the rock benefit with the 1971 Concert For Bangladesh. To later generations, he was known as the estranged father of popular American singer Norah Jones.


His last musical performance was with his other daughter, sitarist Anoushka Shankar Wright, on Nov. 4 in Long Beach, California; his foundation said it was to celebrate his 10th decade of creating music. The multiple Grammy winner learned that he had again been nominated for the award the night before his surgery.


As early as the 1950s, Shankar began collaborating with and teaching some of the greats of Western music, including violinist Yehudi Menuhin and jazz saxophonist John Coltrane. He played well-received shows in concert halls in Europe and the United States, but faced a constant struggle to bridge the musical gap between the West and the East.


Describing an early Shankar tour in 1957, Time magazine said. "U.S. audiences were receptive but occasionally puzzled."


His close relationship with Harrison, the Beatles lead guitarist, shot Shankar to global stardom in the 1960s.


Harrison had grown fascinated with the sitar, a long necked, string instrument that uses a bulbous gourd for its resonating chamber and resembles a giant lute. He played the instrument, with a Western tuning, on the song "Norwegian Wood," but soon sought out Shankar, already a musical icon in India, to teach him to play it properly.


The pair spent weeks together, starting the lessons at Harrison's house in England and then moving to a houseboat in Kashmir and later to California.


Gaining confidence with the complex instrument, Harrison recorded the Indian-inspired song "Within You Without You" on the Beatles' "Sgt. Pepper's Lonely Hearts Club Band," helping spark the raga-rock phase of 60s music and drawing increasing attention to Shankar and his work.


Shankar's popularity exploded, and he soon found himself playing on bills with some of the top rock musicians of the era. He played a four-hour set at the Monterey Pop Festival and the opening day of Woodstock.


Though the audience for his music had hugely expanded, Shankar, a serious, disciplined traditionalist who had played Carnegie Hall, chafed against the drug use and rebelliousness of the hippie culture.


"I was shocked to see people dressing so flamboyantly. They were all stoned. To me, it was a new world," Shankar told Rolling Stone of the Monterey festival.


While he enjoyed Otis Redding and the Mamas and the Papas at the festival, he was horrified when Jimi Hendrix lit his guitar on fire.


"That was too much for me. In our culture, we have such respect for musical instruments, they are like part of God," he said.


In 1971, moved by the plight of millions of refugees fleeing into India to escape the war in Bangladesh, Shankar reached out to Harrison to see what they could do to help.


In what Shankar later described as "one of the most moving and intense musical experiences of the century," the pair organized two benefit concerts at Madison Square Garden that included Eric Clapton, Bob Dylan and Ringo Starr.


The concert, which spawned an album and a film, raised millions of dollars for UNICEF and inspired other rock benefits, including the 1985 Live Aid concert to raise funds for famine relief in Ethiopia and the 2010 Hope For Haiti Now telethon.


Ravindra Shankar Chowdhury was born April 7, 1920, in the Indian city of Varanasi.


At the age of 10, he moved to Paris to join the world famous dance troupe of his brother Uday. Over the next eight years, Shankar traveled with the troupe across Europe, America and Asia, and later credited his early immersion in foreign cultures with making him such an effective ambassador for Indian music.


During one tour, renowned musician Baba Allaudin Khan joined the troupe, took Shankar under his wing and eventually became his teacher through 7 1/2 years of isolated, rigorous study of the sitar.


"Khan told me you have to leave everything else and do one thing properly," Shankar told The Associated Press.


In the 1950s, Shankar began gaining fame throughout India. He held the influential position of music director for All India Radio in New Delhi and wrote the scores for several popular films. He began writing compositions for orchestras, blending clarinets and other foreign instruments into traditional Indian music.


And he became a de facto tutor for Westerners fascinated by India's musical traditions.


He gave lessons to Coltrane, who named his son Ravi in Shankar's honor, and became close friends with Menuhin, recording the acclaimed "West Meets East" album with him. He also collaborated with flutist Jean Pierre Rampal, composer Philip Glass and conductors Andre Previn and Zubin Mehta.


"Any player on any instrument with any ears would be deeply moved by Ravi Shankar. If you love music, it would be impossible not to be," singer David Crosby, whose band The Byrds was inspired by Shankar's music, said in the book "The Dawn of Indian Music in the West: Bhairavi."


Shankar's personal life, however, was more complex.


His 1941 marriage to Baba Allaudin Khan's daughter, Annapurna Devi, ended in divorce. Though he had a decades-long relationship with dancer Kamala Shastri that ended in 1981, he had relationships with several other women in the 1970s.


In 1979, he fathered Norah Jones with New York concert promoter Sue Jones, and in 1981, Sukanya Rajan, who played the tanpura at his concerts, gave birth to his daughter Anoushka.


He grew estranged from Sue Jones in the 80s and didn't see Norah for a decade, though they later re-established contact.


He married Rajan in 1989 and trained young Anoushka as his heir on the sitar. In recent years, father and daughter toured the world together.


When Jones shot to stardom and won five Grammy awards in 2003, Anoushka Shankar was nominated for a Grammy of her own.


Shankar, himself, has won three Grammy awards and was nominated for an Oscar for his musical score for the movie "Gandhi." His album "The Living Room Sessions, Part 1" earned him his latest Grammy nomination, for best world music album.


Despite his fame, numerous albums and decades of world tours, Shankar's music remained a riddle to many Western ears.


Shankar was amused after he and colleague Ustad Ali Akbar Khan were greeted with admiring applause when they opened the Concert for Bangladesh by twanging their sitar and sarod for a minute and a half.


"If you like our tuning so much, I hope you will enjoy the playing more," he told the confused crowd, and then launched into his set.


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Ravi Nessman reported from Bangkok.


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DA investigating Texas' troubled $3B cancer agency

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AUSTIN, Texas (AP) — Turmoil surrounding an unprecedented $3 billion cancer-fighting effort in Texas worsened Tuesday when its executive director offered his resignation and the state's chief public corruption prosecutor announced an investigation into the beleaguered agency.


No specific criminal allegations are driving the latest probe into the Cancer Prevention and Research Institute of Texas, said Gregg Cox, director of the Travis County district attorney's public integrity unit. But his influential office opened a case only weeks after the embattled agency disclosed that an $11 million grant to a private company bypassed review.


That award is the latest trouble in a tumultuous year for CPRIT, which controls the nation's second-largest pot of cancer research dollars. Amid the mounting problems, the agency announced Tuesday that Executive Director Bill Gimson had submitted his letter of resignation.


"Unfortunately, I have also been placed in a situation where I feel I can no longer be effective," Gimson wrote in a letter dated Monday.


Gimson said the troubles have resulted in "wasted efforts expended in low value activities" at the agency, instead of a focused fight against cancer. Gimson offered to stay on until January, and the agency's board must still approve his request to step down.


His departure would complete a remarkable house-cleaning at CPRIT in a span of just eight months. It began in May, when Dr. Alfred Gilman resigned as chief science officer in protest over a different grant that the Nobel laureate wanted approved by a panel of scientists. He warned it would be "the bomb that destroys CPRIT."


Gilman was followed by Chief Commercialization Officer Jerry Cobbs, whose resignation in November came after an internal audit showed Cobbs included an $11 million proposal in a funding slate without a required outside review of the project's merits. The lucrative grant was given to Dallas-based Peloton Therapeutics, a biomedical startup.


Gimson chalked up Peloton's award to an honest mistake and has said that, to his knowledge, no one associated with CPRIT stood to benefit financially from the company receiving the taxpayer funds. That hasn't satisfied some members of the agency's governing board, who called last week for more assurances that no one personally profited.


Cox said he has been following the agency's problems and his office received a number of concerned phone calls. His department in Austin is charged with prosecuting crimes related to government officials; his most famous cases include winning a conviction against former U.S. House Majority Leader Tom DeLay in 2010 on money laundering charges.


"We have to gather the facts and figure what, if any, crime occurred so that (the investigation) can be focused more," Cox said.


Gimson's resignation letter was dated the same day the Texas attorney general's office also announced its investigation of the agency. Cox said his department would work cooperatively with state investigators, but he made clear the probes would be separate.


Peloton's award marks the second time this year that a lucrative taxpayer-funded grant authorized by CPRIT instigated backlash and raised questions about oversight. The first involved the $20 million grant to M.D. Anderson Cancer Center in Houston that Gilman described as a thin proposal that should have first been scrutinized by an outside panel of scientific peer-reviewers, even though none was required under the agency's rules.


Dozens of the nation's top scientists agreed. They resigned en masse from the agency's peer-review panels along with Gilman. Some accused the agency of "hucksterism" and charting a politically-driven path that was putting commercial product-development above science.


The latest shake-up at CPRIT caught Gilman's successor off-guard. Dr. Margaret Kripke, who was introduced to reporters Tuesday, acknowledged that she wasn't even sure who she would be answering to now that Gimson was stepping down. She said that although she wasn't with the agency when her predecessor announced his resignation, she was aware of the concerns and allegations.


"I don't think people would resign frivolously, so there must be some substance to those concerns," Kripke said.


Kripke also acknowledged the challenge of restocking the peer-review panels after the agency's credibility was so publicly smeared by some of the country's top scientists. She said she took the job because she felt the agency's mission and potential was too important to lose.


Only the National Institutes of Health doles out more cancer research dollars than CPRIT, which has awarded more than $700 million so far.


Gov. Rick Perry told reporters in Houston on Tuesday that he wasn't previously aware of the resignation but said Gimson's decision to step down was his own.


Joining the mounting criticism of CPRIT is the woman credited with brainstorming the idea for the agency in the first place. Cathy Bonner, who served under former Texas Gov. Ann Richards, teamed with cancer survivor Lance Armstrong in selling Texas voters in 2007 on a constitutional amendment to create an unprecedented state-run effort to finance a war on disease.


Now Bonner says politics have sullied an agency that she said was built to fund research, not subsidize private companies.


"There appears to be a cover-up going on," Bonner said.


Peloton has declined comment about its award and has referred questions to CPRIT. The agency has said the company wasn't aware that its application was never scrutinized by an outside panel, as required under agency rules.


___


Follow Paul J. Weber on Twitter: www.twitter.com/pauljweber


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Argentine mom rescues hundreds of sex slaves in search for daughter

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LA PLATA, Argentina (AP) — Susana Trimarco was a housewife who fussed over her family and paid scant attention to the news until her daughter left for a doctor's appointment and never came back.


After getting little help from police, Trimarco launched her own investigation into a tip that the 23-year-old was abducted and forced into sex slavery. Soon, Trimarco was visiting brothels seeking clues about her daughter and the search took an additional goal: rescuing sex slaves and helping them start new lives.


What began as a one-woman campaign a decade ago developed into a movement and Trimarco today is a hero to hundreds of women she's rescued from Argentine prostitution rings. She's been honored with the "Women of Courage" award by the U.S. State Department and was nominated for the Nobel Peace Prize on Nov. 28. Sunday night, President Cristina Fernandez gave her a human rights award before hundreds of thousands of people in the Plaza de Mayo.


But years of exploring the decadent criminal underground haven't led Trimarco to her daughter, Maria de los Angeles "Marita" Veron, who was 23 in 2002 when she disappeared from their hometown in provincial Tucuman, leaving behind her own 3-year-old daughter Micaela.


"I live for this," the 58-year-old Trimarco told The Associated Press of her ongoing quest. "I have no other life, and the truth is, it is a very sad, very grim life that I wouldn't wish on anyone."


Her painful journey has now reached a milestone.


Publicity over Trimarco's efforts prompted Argentine authorities to make a high-profile example of her daughter's case by putting 13 people on trial for allegedly kidnapping Veron and holding her as a sex slave in a family-run operation of illegal brothels. Prostitution is not illegal in Argentina, but the exploitation of women for sex is.


A verdict is expected Tuesday after a nearly yearlong trial.


The seven men and six women have pleaded innocent and their lawyers have said there's no physical proof supporting the charges against them. The alleged ringleaders denied knowing Veron and said that women who work in their brothels do so willingly. Prosecutors have asked for up to 25 years imprisonment for those convicted.


Trimarco was the primary witness during the trial, testifying for six straight days about her search for her daughter.


The road to trial was a long one.


Frustrated by seeming indifference to her daughter's disappearance, Trimarco began her own probe and found a taxi driver who told of delivering Veron to a brothel where she was beaten and forced into prostitution. The driver is among the defendants.


With her husband and granddaughter in tow, Trimarco disguised herself as a recruiter of prostitutes and entered brothel after brothel searching for clues. She soon found herself immersed in the dangerous and grim world of organized crime, gathering evidence against police, politicians and gangsters.


"For the first time, I really understood what was happening to my daughter," she said. "I was with my husband and with Micaela, asleep in the backseat of the car because she was still very small and I had no one to leave her with."


The very first woman Trimarco rescued taught her to be strong, she said.


"It stuck with me forever: She told me not to let them see me cry, because these shameless people who had my daughter would laugh at me, and at my pain," Trimarco said. "Since then I don't cry anymore. I've made myself strong, and when I feel that a tear might drop, I remember these words and I keep my composure."


Micaela, now 13, has been by her grandmother's side throughout, contributing to publicity campaigns against human trafficking and keeping her mother's memory alive.


More than 150 witnesses testified in the trial, including a dozen former sex slaves who described brutal conditions in the brothels.


Veron may have been kidnapped twice, with the complicity of the very authorities who should have protected her, according to Julio Fernandez, who now runs a Tucuman police department devoted to investigating human trafficking. He testified that witnesses reported seeing Veron at a bus station three days after she initially disappeared, and that a police officer from La Rioja, Domingo Pascual Andrada, delivered her to a brothel there. Andrada, now among the defendants, denied knowing any of the other defendants, let alone Veron.


Other Tucuman police testified that when they sought permission in 2002 to search La Rioja brothels, a judge made them wait for hours, enabling Veron's captors to move her. That version was supported by a woman who had been a prostitute at the brothel: She testified that Veron was moved just before police arrived. The judge, Daniel Moreno, is not on trial. He denied delaying the raid or having anything to do with the defendants.


Some of the former prostitutes said they had seen Veron drugged and haggard. One testified Veron felt trapped and missed her daughter. Another said she spotted Veron with dyed-blonde hair and an infant boy she was forced to conceive in a rape by a ringleader. A third thought Veron had been sold to a brothel in Spain — a lead reported to Interpol.


Trimarco's campaign to find her daughter led the State Department to provide seed money for a foundation in Veron's name. To date, it has rescued more than 900 women and girls from sex trafficking. The foundation also provides housing, medical and psychological aid, and it helps victims sue former captors.


Argentina outlawed human trafficking in 2008, thanks in large part to the foundation's work. A new force dedicated to combating human trafficking has liberated nearly 3,000 more victims in two years, said Security Minister Nilda Garre, who wrote a newspaper commentary saying the trial's verdict should set an example.


Whatever the verdict, Trimarco's lawyer, Carlos Garmendia, says the case has already made a difference.


"Human trafficking was an invisible problem until the Marita (Veron) case," Garmendia said. "The case has put it on the national agenda."


But Trimarco wants more. "I had hoped they would break down and say what they'd done with Marita," she said.


"I feel here in my breast that she is alive and I'm not going to stop until I find her," Trimarco said. "If she's no longer in this world, I want her body."


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Google’s Gmail service suffers disruption

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SAN FRANCISCO (Reuters) – Several Google Inc Web products, including the popular Gmail service, appeared to go dark for users on several continents on Monday.


Google confirmed that “service disruptions” had affected Gmail and Google Drive, its online storage service. The two products are part of Google’s Apps suite, a Microsoft Office rival that caters to both consumers and businesses.






By 10:10 a.m. Pacific Time (1.10 p.m. EST), Google’s Apps Dashboard monitoring service reported that Gmail and Drive service had resumed. The company did not specify how many users were affected, or where, but the outage prompted widespread complaints on social media on both coasts in the U.S. and other major markets, from the United Kingdom to Brazil.


Some users additionally reported that the outage had affected Google Docs, the company’s word-processing and spreadsheet programs, while Chrome, Google’s Internet browser, also crashed unexpectedly.


“We are currently experiencing an issue with some Google services,” Google spokeswoman Andrea Freund said in a statement. “For everyone who is affected, we apologize for any inconvenience you may be experiencing.”


Firmly entrenched in the consumer market, Gmail is one of Google’s most popular and important product offerings. The search giant, which has been pushing a corporate version of the email service and its Apps suite to businesses to compete with Microsoft, said this month that the package will no longer be free to business customers.


(Reporting By Gerry Shih; Editing by Andrew Hay and Nick Zieminski)


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Google’s Gmail service suffers disruption

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SAN FRANCISCO (Reuters) – Several Google Inc Web products, including the popular Gmail service, appeared to go dark for users on several continents on Monday.


Google confirmed that “service disruptions” had affected Gmail and Google Drive, its online storage service. The two products are part of Google’s Apps suite, a Microsoft Office rival that caters to both consumers and businesses.






By 10:10 a.m. Pacific Time (1.10 p.m. EST), Google’s Apps Dashboard monitoring service reported that Gmail and Drive service had resumed. The company did not specify how many users were affected, or where, but the outage prompted widespread complaints on social media on both coasts in the U.S. and other major markets, from the United Kingdom to Brazil.


Some users additionally reported that the outage had affected Google Docs, the company’s word-processing and spreadsheet programs, while Chrome, Google’s Internet browser, also crashed unexpectedly.


“We are currently experiencing an issue with some Google services,” Google spokeswoman Andrea Freund said in a statement. “For everyone who is affected, we apologize for any inconvenience you may be experiencing.”


Firmly entrenched in the consumer market, Gmail is one of Google’s most popular and important product offerings. The search giant, which has been pushing a corporate version of the email service and its Apps suite to businesses to compete with Microsoft, said this month that the package will no longer be free to business customers.


(Reporting By Gerry Shih; Editing by Andrew Hay and Nick Zieminski)


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Luke Bryan cleans up at ACAs with 9 awards

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Luke Bryan didn't want the American Country Awards to end.


He cleaned up during the fan-voted show, earning nine awards, including artist and album of the year. His smash hit "I Don't Want This Night To End" was named single and music video of the year.


Miranda Lambert took home the second most guitar trophies with three. Jason Aldean was named touring artist of the year. Carrie Underwood won female artist of the year, and a tearful Lauren Alaina won new artist of the year.


Bryan, Aldean, Keith Urban, Lady Antebellum and Trace Adkins with Lynyrd Skynrd were among the high-energy performances.


The third annual ACAs were held at Mandalay Bay in Las Vegas Monday night.


___


Online: http://www.theACAs.com


___


Follow http://www.twitter.com/AP_Country for the latest country music news from The Associated Press.


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Surprise: New insurance fee in health overhaul law

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WASHINGTON (AP) — Your medical plan is facing an unexpected expense, so you probably are, too. It's a new, $63-per-head fee to cushion the cost of covering people with pre-existing conditions under President Barack Obama's health care overhaul.


The charge, buried in a recent regulation, works out to tens of millions of dollars for the largest companies, employers say. Most of that is likely to be passed on to workers.


Employee benefits lawyer Chantel Sheaks calls it a "sleeper issue" with significant financial consequences, particularly for large employers.


"Especially at a time when we are facing economic uncertainty, (companies will) be hit with a multi-million dollar assessment without getting anything back for it," said Sheaks, a principal at Buck Consultants, a Xerox subsidiary.


Based on figures provided in the regulation, employer and individual health plans covering an estimated 190 million Americans could owe the per-person fee.


The Obama administration says it is a temporary assessment levied for three years starting in 2014, designed to raise $25 billion. It starts at $63 and then declines.


Most of the money will go into a fund administered by the Health and Human Services Department. It will be used to cushion health insurance companies from the initial hard-to-predict costs of covering uninsured people with medical problems. Under the law, insurers will be forbidden from turning away the sick as of Jan. 1, 2014.


The program "is intended to help millions of Americans purchase affordable health insurance, reduce unreimbursed usage of hospital and other medical facilities by the uninsured and thereby lower medical expenses and premiums for all," the Obama administration says in the regulation. An accompanying media fact sheet issued Nov. 30 referred to "contributions" without detailing the total cost and scope of the program.


Of the total pot, $5 billion will go directly to the U.S. Treasury, apparently to offset the cost of shoring up employer-sponsored coverage for early retirees.


The $25 billion fee is part of a bigger package of taxes and fees to finance Obama's expansion of coverage to the uninsured. It all comes to about $700 billion over 10 years, and includes higher Medicare taxes effective this Jan. 1 on individuals making more than $200,000 per year or couples making more than $250,000. People above those threshold amounts also face an additional 3.8 percent tax on their investment income.


But the insurance fee had been overlooked as employers focused on other costs in the law, including fines for medium and large firms that don't provide coverage.


"This kind of came out of the blue and was a surprisingly large amount," said Gretchen Young, senior vice president for health policy at the ERISA Industry Committee, a group that represents large employers on benefits issues.


Word started getting out in the spring, said Young, but hard cost estimates surfaced only recently with the new regulation. It set the per capita rate at $5.25 per month, which works out to $63 a year.


America's Health Insurance Plans, the major industry trade group for health insurers, says the fund is an important program that will help stabilize the market and mitigate cost increases for consumers as the changes in Obama's law take effect.


But employers already offering coverage to their workers don't see why they have to pony up for the stabilization fund, which mainly helps the individual insurance market. The redistribution puts the biggest companies on the hook for tens of millions of dollars.


"It just adds on to everything else that is expected to increase health care costs," said economist Paul Fronstin of the nonprofit Employee Benefit Research Institute.


The fee will be assessed on all "major medical" insurance plans, including those provided by employers and those purchased individually by consumers. Large employers will owe the fee directly. That's because major companies usually pay upfront for most of the health care costs of their employees. It may not be apparent to workers, but the insurance company they deal with is basically an agent administering the plan for their employer.


The fee will total $12 billion in 2014, $8 billion in 2015 and $5 billion in 2016. That means the per-head assessment would be smaller each year, around $40 in 2015 instead of $63.


It will phase out completely in 2017 — unless Congress, with lawmakers searching everywhere for revenue to reduce federal deficits — decides to extend it.


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Obama, Boehner meet face-to-face on 'fiscal cliff'

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For the first time in more than three weeks, President Obama and House Speaker John Boehner met face-to-face today at the White House to talk about avoiding the fiscal cliff.



White House Principal Deputy Press Secretary Josh Earnest would offer no details saying only, "The lines of communication remain open."



Erskine Bowles, the co-creator of a debt reducing plan, who was pessimistic a couple weeks ago, said he likes what he's hearing.



"Any time you have two guys in there tangoing, you have a chance to get it done," Bowles said on CBS's "Face the Nation."



The White House afternoon talks, conducted without cameras or any announcement until they were over, came as some Republicans were showing more flexibility about approving higher tax rates for the wealthy, one of the president's demands to keep the country from the so-called fiscal cliff -- a mixture of across-the-board tax increases and spending cuts that many economists say would send the country back into recession.



"Let's face it. He does have the upper hand on taxes. You have to pass something to keep it from happening," Sen. Bob Corker of Tennessee said on "FOX News Sunday."



This comes after the White House moderated one of its demands about tax rate increases for the wealthy.



The administration was demanding the rate return to its former level of 39.6 percent on income above $250,000. The so-called Bush tax cut set that rate at 35 percent. But Friday, Vice President Joe Biden signaled that rate could be negotiable, somewhere between the two.



"So will I accept a tax increase as a part of a deal to actually solve our problems? Yes," said Oklahoma Republican Tom Coburn on ABC's "This Week."



The problems the senator was referring to are the country's entitlement programs. And there was some progress on that front, too.



A leading Democrat said means testing for Medicare recipients could be a way to cut costs to the government health insurance program. Those who make more money would be required to pay more for Medicare.



"I do believe there should be means testing, and those of us with higher income and retirement should pay more. That could be part of the solution," Sen. Dick Durbin of Illinois said on NBC's "Meet the Press."



But Durbin said he would not favor raising the eligibility age from 65 years old to 67 years old, as many Republicans have suggested.



The White House and the speaker's office released the exact same statement about the negotiating session. Some will see that as a sign of progress, that neither side is talking about what was said behind closed doors.


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