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EMERITUS NEWS CONSUMER

HONDA LOSES SMALL CLAIMS CASE OVER GAS MILEAGE / MUST PAY CIVIC OWNER $9867

More in this article from the LA Times, click here - 02/02/2012

NEW FEDERAL RULES FOR AIRLINES TAKE EFFECT / ALSO INVOLVE AIRFARE PRICING

More from the Emeritus Newsroom- Airline consumer rules issued by the U.S. Department of Transportation in April 2011, are taking effect this week, requiring that airlines and ticket agents include all mandatory taxes and fees in published airfares and that they disclose baggage fees to consumers buying tickets.

“Airline passengers have rights, and they should be able to expect fair and reasonable treatment when booking a trip and when they fly,” U.S. Transportation Secretary Ray LaHood said. “The new passenger protections taking effect this week are a continuation of our effort to help air travelers receive the respect they deserve.”

Also beginning this week, passengers will be able to hold a reservation without payment, or cancel a booking without penalty, for 24 hours after the reservation is made, if they make the reservation one week or more prior to a flight’s departure date.  In addition, airlines will be required to promptly notify passengers of flight delays of over 30 minutes, as well as flight cancellations and diversions, and they will generally be prohibited from increasing the price of passengers’ ticket after it is bought.

The new rules also will make it easier for passengers to determine the full price they will have to pay for air transportation prior to travel.  Currently, airlines and ticket agents are allowed to publish ads that list government-imposed taxes and fees separately from the advertised fare, as long as these taxes and fees are assessed on a per-passenger basis.  However, sometimes the notice of these taxes and fees is not obvious to consumers.  Under the new requirements, all mandatory taxes and fees must be included together in the advertised fare.  The advertising provision takes effect Jan. 26, 2012 while all of the other consumer protections go into effect on Jan. 24 of this year.

The Department of Transportation has already fined four airlines this month for pricing problems. Icelandair was fined $50,000 for violating federal aviation laws and the Department’s rules prohibiting deceptive price advertising in air travel.  The DOT claims Icelandair displayed internet advertisements for flights to Iceland and Europe for $429.  Next to the fare was an asterisk but no further information, and the website contained no information about any additional taxes.  Instead, once consumers clicked on the fare, they were taken to Icelandair’s homepage where they had to select a route before being taken to another page where tax and fee information was finally disclosed.

Icelandair’s website violated DOT rules requiring any advertising that includes a price for air transportation to state the full price to be paid by the consumer, including all carrier-imposed surcharges.  The only exception currently allowed is government-imposed taxes and fees that are assessed on a per-passenger basis, such as passenger facility charges, which may be stated separately from the advertised fare but must be clearly disclosed in the advertisement so that passengers can easily determine the full price they must pay.  Internet fare listings may disclose these separate taxes and fees through a prominent link next to the fare stating that government taxes and fees are extra, and the link must take the viewer directly to information where the type and amount of taxes and fees are displayed. The rules apply to both U.S. and foreign carriers as well as ticket agents.

The DOT fined Asiana Airlines, a carrier based in the Republic of Korea, and LOT Polish Airlines for violating federal aviation laws and the Department’s rules prohibiting deceptive price advertising in air travel.  Asiana was fined $70,000 and LOT $60,000.

The DOT also assessed a civil penalty of $80,000 against Alitalia, an airline based in Italy, for violating an international treaty by limiting reimbursement to passengers whose baggage was lost or delayed on Alitalia flights to and from the United States.

Full text of new airline rules, click here. Full text of Icelandair case, click here. Full text of Asiana and LOT cases, click here. Full text of Alitalia case, click here. 01/24/2012

VOTE ON S-O-P-A DELAYED / PRESSURE MOUNTS OVER INTERNET PIRACY BILL

More from the Emeritus Newsroom- Senate Majority Leader Harry Reid (D-NV), announced today that next week's expected vote on the "Stop Online Piracy Act", will be delayed. A massive online protest by such sites as Google and Wikipedia, blocked some services Wednesday to rally opposition to SOPA.

In his statement released by his office today, Reid said,

"In light of recent events, I have decided to postpone Tuesday's vote on the PROTECT I.P. Act.

"There is no reason that the legitimate issues raised by many about this bill cannot be resolved. Counterfeiting and piracy cost the American economy billions of dollars and thousands of jobs each year, with the movie industry alone supporting over 2.2 million jobs. We must take action to stop these illegal practices. We live in a country where people rightfully expect to be fairly compensated for a day's work, whether that person is a miner in the high desert of Nevada, an independent band in New York City, or a union worker on the back lots of a California movie studio.

"I admire the work that Chairman Leahy has put into this bill.  I encourage him to continue engaging with all stakeholders to forge a balance between protecting Americans' intellectual property, and maintaining openness and innovation on the internet.  We made good progress through the discussions we've held in recent days, and I am optimistic that we can reach a compromise in the coming weeks."

Full text of Reid statement, click here. Thomas listing of SOPA legislation and chronology, click here. 01/20/2012

U-S SUPREME COURT DELIVERS UNANIMOUS REVERSAL OF ATLANTA FEDERAL APPEALS COURT / ALLOWS FEDERAL LAWSUITS AGAINST DEBT COLLECTORS, TELEMARKETERS

More from the Emeritus Newsroom- Harassing phone calls from debt collectors and telemarketers can be taken to federal court as well as state courts. A unanimous U-S Supreme Court decision ruled federal courts can have jurisdiction over such suits relating to violations of federal laws such as the Telephone Consumer Protection Act.

The 11th Circuit Court of Appeals in Atlanta had reversed a lower court ruling which had granted federal jurisdiction to such lawsuits, in addition to state courts.

The case was filed by Marcus Mims of Fort Lauderdale, Florida, who claimed Arrow Financial Services violated the Telephone Consumer Protection Act with repeated recorded phone calls, trying to collect a student loan debt.

The U-S Supreme Court, in their unanimous decision ( MIMS v. ARROW FINANCIAL SERVICES, LLC).written by Justice Ruth Bader Ginsberg, stated,

"In the absence of direction from Congress stronger than any Arrow has advanced, we apply the familiar default rule: Federal courts have jurisdiction over claims that arise under federal law. Because federal law gives rise to the claim for relief Mims has stated and specifies the substantive rules of decision, the Eleventh Circuit erred in dismissing Mims’s case for lack of subject-matter jurisdiction".

The entire case, which remains to be settled on other issues, was remanded back to the 11th Circuit Appeals Court with federal jurisdiction now established.

Full text of actual U-S Supreme Court decision on Mims case, click here. 01/18/2012

FORD RECALLS MINIVANS AND ESCAPE S-U-V

More from the Emeritus Newsroom- Ford is recalling the 2001-2002 Escape SUVs and the 2004-2005 Ford Freestar and Mercury Monteray minivans. The total number of vehicles from the three models is estimated to be nearly 500,000.

Ford says the drive shafts in the Freestar and Monteray may fail causing a sudden loss of power.

The Escape SUV recall is another chapter of one from 2007 to fix a leak in brake system master cylinder, which could cause loss of braking and potentially cause a fire. Ford says some of the SUVs were not properly repaired repaired in the first recall.

Click here for more on the Escape recall. Click here for details of the Freestar and Monteray recalls. 01/13/2012

FOREST SERVICE APPROVES WIND GENERATOR FARM IN VERMONT

More from the Emeritus Newsroom- The U.S. Forest Service has approved the construction of a 15-turbine wind energy facility on the Green Mountain National Forest in Vermont, which will provide enough electricity to power about 13,000 homes annually.

Today’s announcement marks the culmination of an environmental analysis and record of decision for the proposal to construct and operate a commercially viable, utility-scale wind energy facility on the national forest in the towns of Searsburg, and Readsboro next to the Searsburg Wind Facility operated by Green Mountain Power Company on private land. Green Mountain Forest Supervisor Colleen Madrid decided to approve “Alternative 2” (reduced west).

“This permit will bring more jobs and renewable power to the people of Vermont,” said US Forest Service Chief Tom Tidwell. “The project’s selection on the White House Dashboard brought newfound efficiencies to our review process, enabling us to complete our environmental impact statement more expeditiously. We also were given a great opportunity to learn valuable lessons for future wind energy facilities on other National Forest lands around the country."

The facility will consist of 15 state-of-the-art 2.0 megawatt turbines that will stand 389 feet tall, from the ground to blade tip. The turbines are expected to produce approximately 92,506 MWh with a nameplate capacity of 30 megawatts.

The Green Mountain National Forest accepted the formal application from Deerfield Wind, LLC, owned by Iberdrola Renewables, in November 2004. For projects of this magnitude, the Forest Service is required to conduct a National Environmental Policy Act review process, which includes in-depth analysis, scientific studies, and public participation. The environmental impact statement and record of decision – which address various impacts and public concerns that have been raised -- can be viewed at: http://data.ecosystem-management.org/nepaweb/fs-usda-pop.php?project=7838

The Forest Service began the NEPA process for the proposal in July 2005. A similarly required state review process conducted by the Vermont Public Service Board formally began in 2007. The board concluded its review in July 2009, with a decision to approve construction and operation of a 15-turbine configuration, subject to specific conditions. Three other alternatives were considered through the federal NEPA process including:

  • The original proposal presented by the applicant, known as the Proposed Action, was to construct 17 state-of-the-art 2.0 megawatts turbines. Ten turbines would have been constructed on the west ridge and seven would have been constructed on the east ridge, adjacent to the existing Searsburg Wind Facility. The anticipated annual electricity generation for this alternative would have been approximately 99,776 MWh, with a total nameplate capacity of 34 megawatts, enough to meet the annual needs of 14,000 average homes.
  • The other alternative, known as Alternative 3, would have built 7 turbines on the east ridge and no turbines on the west ridge. This alternative would produce approximately 41,084 MWh, with a nameplate capacity of 14 megawatts, enough to meet the annual needs of about 5,800 average homes.  
  • A “No Action” alternative, which is required by law and federal regulation. 

Forest Service press release, click here. 01/14/2012

CHEVY TELLS VOLT OWNERS TO SEE DEALERS FOR REPAIRS / RESPONDS TO BATTERY FIRE POTENTIAL

More from the Emeritus Newsroom- In what Chevrolet is calling "enhancements", the company is offering owners of their new electric car, the "Volt", repairs to avoid the potential for battery fires, which followed an NHTSA investigation into post-severe crash battery performance. As was profiled earlier this month in a Voice of America video report (More in this YouTube video report from Voice of America, click here), there is increasing concern that batteries in the Volt could be vulnerable to fire after accidents.

Chevrolet says "enhancements" to the vehicle structure and battery coolant system in the Chevrolet Volt that would further protect the battery from the possibility of an electrical fire occurring days or weeks after a severe crash.The enhancements come in response to a National Highway Traffic Safety Administration Preliminary Evaluation to examine post-severe crash battery performance. 

NHTSA opened its Preliminary Evaluation on Nov. 25 following a severe-impact lab test on a battery pack that resulted in an electrical fire six days later. The test was conducted to reproduce a coolant leak that occurred in a full-scale vehicle crash test last May that resulted in an electrical fire three weeks later.  

GM claims the Volt is a Top Safety Pick by the Insurance Institute for Highway Safety and has earned other safety awards from key third-party organizations.  Through the first 11 months of 2011, Volt owners accumulated nearly 20 million miles without an incident similar to the results in the NHTSA tests.

“The Volt has always been safe to drive. Now, we will go the extra mile to ensure our customers’ peace of mind in the days and weeks following a severe crash,” said Mary Barra, GM senior vice president of Global Product Development.

GM will conduct a Customer Satisfaction Program to further protect the Volt battery from the possibility of an electrical fire occurring days or weeks after a severe side crash. Modifications will:

  • Strengthen an existing portion of the Volt’s vehicle safety structure to further protect the battery pack in a severe side collision.
  • Add a sensor in the reservoir of the battery coolant system to monitor coolant levels.
  • Add a tamper-resistant bracket to the top of the battery coolant reservoir to help prevent potential coolant overfill.

GM says it conducted four successful crash tests between Dec. 9 and 21 of Volts with the structural enhancement. The enhancement performed as intended. There was no intrusion into the battery pack and no coolant leakage in any of the tests.

“These enhancements and modifications will address the concerns raised by the severe crash tests,” Barra said. “There are no changes to the Volt battery pack or cell chemistry as a result of these actions. We have tested the Volt’s battery system for more than 285,000 hours, or 25 years, of operation. We’re as confident as ever that the cell design is among the safest on the market.”

Volt customers will be individually notified when the modifications are available for their vehicles. The enhancements are being incorporated into the Volt manufacturing process as production resumes this month.

“We’re focused on one thing right now: doing what’s right by our customers,” said GM North America President Mark Reuss. “We’ll live up to our commitment to make sure our customers are delighted with their purchase.”  

Vehicle electrification technologies are important to future of the automotive industry, which is why GM will continue its leadership role in helping the Society of Automotive Engineers develop standards that will help tow truck operators, salvage yards and vehicle recyclers in the proper handling of electric vehicle components. GM will help develop educational materials that can be used by these stakeholders in the future.

Full text of GM statement, click here. 01/06/2012

OBAMA RILES REPUBLICANS / BYPASSES CONGRESS TO SEAT HEAD OF CONSUMER FINANCIAL AGENCY

More from the Emeritus Newsroom- President Obama took a hard line against Republican congressional stalling and has appointed former Ohio Attorney General Richard Cordray as America’s consumer watchdog. According to the White House, he’ll lead the Consumer Financial Protection Bureau and work tirelessly to protect millions of families across the nation from the abuses of bad actors in the financial industry.

The President nominated Mr. Cordray six months ago, but Republicans in the Senate blocked his confirmation. Because the agency did not have a top officer, it was not able to institute many of the duties the previous congress had approved. With Cordray in place, the agency wasted little time announcing measures to regulate the payday loan business.

According to Obama administration officials, nearly 20 million Americans use payday loans, which offer short-term funds at very high interest rates. Studies have found that the average interest charged on a two-week, $100 loan is about $16—a 400 percent interest rate.

Since Cordray's appointment, the Consumer Financial Protection Bureau, or CFPB, launched the nation’s first program for supervising “non-bank” financial services, an extension of their bank supervision program that began last July. (A non-bank is a company that provides consumer financial services, but doesn’t take deposits or have a bank, thrift, or credit union charter.)

Under this new program, non-banks like payday lenders, as well as private mortgage companies and private education lenders, will be regulated and subject to federal oversight to ensure they play by the rules and don’t take advantage of consumers. CFPB will be able to establish regulations that require payday lenders to disclose borrowers’ obligations and responsibilities in clear, easy to understand terms, so that people know what they are agreeing to when taking out a payday loan.

Full text of Obama press release on payday loan regulation, click here. 01/05/2012

TYSON RECALLS 40,000+ POUNDS OF GROUND BEEF FOR POSSIBLE "E COLI" CONTAMINATION

More from the Emeritus Newsroom- Continuing a troublesome trend of announcing major food recalls on Friday nights, the FDA announced that Tyson Fresh Meats Inc., a Dakota City, Neb. establishment, is recalling approximately 40,948 pounds of ground beef products that may be contaminated with E. coli O157:H7. The following products are subject to recall:

  • 10-pound chubs of "CHUCK FINE GROUND BEEF 80/20," packed in cases containing eight chubs.

The products subject to recall have a "BEST BEFORE OR FREEZE BY" date of "11/13/11" and "EST. 245C" on the box label. The products were shipped to institutions and distributors in Alabama, California, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Mississippi, New York, North Carolina, Ohio, South Carolina, Tennessee, West Virginia, and Wisconsin.

The problem was discovered through routine FSIS monitoring which confirmed a positive result for E. coli O157:H7. FSIS and the company have received no reports of illnesses associated with consumption of these products.

E. coli O157:H7 is a bacterium that can cause bloody diarrhea, dehydration, and in the most severe cases, kidney failure. The very young, seniors and persons with weak immune systems are the most susceptible to foodborne illness. Individuals concerned about an illness should contact a health care provider.

FSIS routinely conducts recall effectiveness checks to verify recalling firms notify their customers of the recall and that steps are taken to make certain that the product is no longer available to consumers.

FSIS advises all consumers to safely prepare their raw meat products, including fresh and frozen, and only consume ground beef that has been cooked to a temperature of 160° F. The only way to confirm that ground beef is cooked to a temperature high enough to kill harmful bacteria is to use a food thermometer that measures internal temperature.

Consumers with questions regarding the recall should contact the company at (866) 328-3156. Media with questions regarding the recall should contact the company's Director of Public Relations, Gary Mickelson at (479) 290-6111.

Consumers with food safety questions can "Ask Karen," the FSIS virtual representative available 24 hours a day at AskKaren.gov. The toll-free USDA Meat and Poultry Hotline 1-888-MPHotline (1-888-674-6854) is available in English and Spanish and can be reached from l0 a.m. to 4 p.m. (Eastern Time) Monday through Friday. Recorded food safety messages are available 24 hours a day.

Major food recall announcements, which are released on Friday nights, often go unnoticed by the public since Friday night TV newscasts and Saturday morning newspaper editions, including those online, are the least viewed or read. This may be better for corporate damage control, but it often leaves the public vulnerable to adverse effects from major health risk announcements having less exposure.

Full text of FDA announcement, click here. 12/19/2011

UPDATE: DEFECTIVE VEHICLE RECALL LIST / FORD FUSION, MERCURY MILAN / BLUE BIRD REAR ENGINE BUSES

More from the Emeritus Newsroom- The weekly posting of vehicle defect notices from the National Highway Transportation Safety Administration includes one for Ford Fusion and Mercury Milan cars for possible bolt failures that could cause them to lose wheels and another affecting Blue Bird school buses with fuel system problems that could lead to fires.

According to the NHTSA, FORD IS RECALLING CERTAIN MODEL YEAR 2010-2011 FORD FUSION AND MERCURY MILAN VEHICLES EQUIPPED WITH 17 INCH STEEL WHEELS AND BUILT FROM APRIL 1, 2009, THROUGH APRIL 30, 2009, AND FROM DECEMBER 1, 2009, THROUGH NOVEMBER 13, 2010. THE WHEEL STUDS MAY FRACTURE, POTENTIALLY CAUSING A WHEEL TO SEPARATE. WHILE DRIVING, MULTIPLE STUD FRACTURES COULD OCCUR AT THE WHEEL LOCATION, AND THE OPERATOR MAY EXPERIENCE VEHICLE VIBRATION AND/OR WHEEL SEPARATION, INCREASING THE RISK OF A CRASH. FORD WILL NOTIFY OWNERS, AND DEALERS WILL INSPECT THE REAR BRAKE DISC SURFACE FOR FLATNESS AND REPLACE THE DISCS AS NECESSARY. ADDITIONALLY, THE WHEEL LUG NUTS WILL BE REPLACED ON ALL FOUR WHEELS. THE SAFETY RECALL IS EXPECTED TO BEGIN ON OR ABOUT JANUARY 24, 2012. OWNERS MAY CONTACT THE FORD MOTOR COMPANY CUSTOMER RELATIONSHIP CENTER AT 1-866-436-7332. NHTSA press release, click here.

Also, BLUE BIRD IS RECALLING CERTAIN MODEL YEAR 2007 THROUGH 2012 ALL AMERICAN REAR ENGINE SCHOOL BUSES MANUFACTURED FROM APRIL 12, 2006, THROUGH JUNE 27, 2011, AND EQUIPPED WITH A 60 GALLON FUEL TANK. THE TANK RETURN LINE CAN DEVELOP A LEAK THAT EXCEEDS THE AMOUNT OF FUEL SPILLAGE ALLOWED. ACCORDINGLY, THESE BUSES FAIL TO CONFORM TO THE REQUIREMENTS OF FEDERAL MOTOR VEHICLE SAFETY STANDARD NO. 301, "FUEL SYSTEM INTEGRITY". A FUEL LEAK IN THE PRESENCE OF AN IGNITION SOURCE CAN RESULT IN A FIRE. NHTSA press release, click here.

12/13/2011

FEDS INVESTIGATE FIRE REPORTS ON ELECTRIC POWERED CHEVY VOLT

More in video report below from Voice of America- 12/10/2011

 

UPDATE: DEFECTIVE VEHICLE RECALL LIST / HONDA EXPANDS RECALLS TO 1.7 MILLION DUE TO AIR BAG DEFECT / OTHER RECALLS FOR TOYOTA, SUBARU, NISSAN

More from the Emeritus Newsroom- Server al moderate to large vehicle recalls were reported today by the National Highway Transportation Safety Administration.

The largest involves a recall of Honda vehicles for an airbag problem. According to the NHTSA press release,

THIS RECALL WAS EXPANDED TO INCLUDE AN ADDITIONAL 272,779 VEHICLES AND 640 AIR BAGS SOLD AS REPLACEMENT PARTS. BECAUSE HONDA IS UNABLE TO ASCERTAIN ON WHICH VEHICLES THE 604 REPLACEMENT AIR BAGS WERE INSTALLED, AN ADDITIONAL 603,241 VEHICLES ARE ALSO BEING RECALLED. THE TOTAL NUMBER OF VEHICLES BEING RECALLED IS NOW 1,709,477. THIS RECALL CONCERNS CERTAIN VEHICLES FALLING WITHIN THE FOLLOWING MAKE, MODEL, AND MODEL YEAR POPULATIONS, INCLUSIVE OF THIS EXPANSION: MODEL YEAR 2001-2002 HONDA ACCORD, MODEL YEAR 2001-2003 CIVIC 2-DOOR AND 4-DOOR MODEL, MODEL YEAR 2002-2003 CR-V, MODEL YEAR 2001-2003 ODYSSEY, MODEL YEAR 2003 ACURA CL, MODEL YEAR 2003 PILOT AND MODEL YEAR 2002-2003 ACURA TL VEHICLES. THIS RECALL IS RELATED TO A SERIES OF RECALLS ON THESE VEHICLES IN WHICH HONDA IS REPLACING THE INFLATORS WITHIN THE DRIVER'S SIDE AIR BAG TO ADDRESS A DEFECTIVE CONDITION. THIS RECALL ADDRESSES BOTH AIR BAGS THAT WERE ORIGINALLY INSTALLED IN THE VEHICLES, AS WELL AS REPLACEMENT AIR BAGS THAT MAY HAVE BEEN INSTALLED AS REPLACEMENT SERVICE PARTS. A REPLACEMENT AIR BAG MAY HAVE BEEN INSTALLED, AS ONE EXAMPLE, IF A VEHICLE HAD BEEN IN A CRASH NECESSITATING THE REPLACEMENT OF THE DRIVER'S AIR BAG. IN THE EVENT OF A CRASH NECESSITATING DEPLOYMENT OF THE DRIVER'S AIR BAG, THE INFLATOR COULD PRODUCE EXCESSIVE INTERNAL PRESSURE THAT COULD CAUSE THE INFLATOR TO RUPTURE WITH METAL FRAGMENTS STRIKING AND INJURING THE DRIVER OR OTHER OCCUPANTS. Click here for NHTSA press release.

TOYOTA IS RECALLING 210,000 CERTAIN MODEL YEAR 2011 THROUGH 2012 SIENNA VEHICLES FOR FAILING TO COMPLY WITH THE REQUIREMENTS OF FEDERAL MOTOR VEHICLE SAFETY STANDARD NUMBER 110, "TIRE SELECTIONS AND RIMS." THESE VEHICLES DO NOT MEET THE REQUIREMENT FOR DISPLAYING THE CORRECT VEHICLE CAPACITY WEIGHT AS THE RATED LOAD FOR THE COMBINATION OF CARGO AND OCCUPANTS. INCORRECT INFORMATION ON THE VEHICLE PLACARD MAY LEAD TO TIRE OVERLOADING AND POSSIBLY CAUSE TIRE FAILURE INCREASING THE RISK OF A CRASH. Click here for NHTSA press release.

SUBARU IS RECALLING 31,959 CERTAIN MODEL YEAR 2012 IMPREZA SEDANS AND WAGONS (EXCEPT WRX/STI MODELS), MANUFACTURED FROM APRIL 21, 2011, THROUGH NOVEMBER 15, 2011, AND LEGACY AND OUTBACK VEHICLES MANUFACTURED FROM OCTOBER 17, 2011, THROUGH NOVEMBER 23, 2011. THESE VEHICLES MAY BE EQUIPPED WITH A BRAKE MASTER CYLINDER THAT COULD MALFUNCTION AND CAUSE AN INCREASE IN THE AMOUNT OF BRAKE PEDAL TRAVEL DISTANCE REQUIRED TO SLOW OR STOP THE VEHICLE.THE DRIVER MIGHT MISJUDGE THE AMOUNT OF BRAKE PEDAL TRAVEL REQUIRED TO ACHIEVE THE DESIRED STOPPING DISTANCE. THIS COULD OCCUR UNEXPECTEDLY AND WITHOUT PRIOR WARNING, INCREASING THE RISK OF A CRASH. NHTSA press release, click here.

NISSAN IS RECALLING 7,365 CERTAIN MODEL YEAR 2011 ROGUE VEHICLES MANUFACTURED FROM AUGUST 17, 2010, THROUGH OCTOBER 30, 2010. THE CIRCUIT BOARD MAY NOT HAVE BEEN INSTALLED IN THE CORRECT POSITION ON CERTAIN ELECTRIC POWER STEERING (EPS) ASSIST CONTROL UNITS. THIS MAY CAUSE ADDITIONAL STRESS ON THE SOLDER OF THE TERMINAL TO THE CIRCUIT BOARD RESULTING IN THE SOLDER CRACKING AND SEPARATING COMPLETELY FROM THE CIRCUIT BOARD. AS THE CIRCUIT BOARD FAILS, THE POWER STEERING ASSIST FEATURE WILL STOP FUNCTIONING, INCREASING THE FORCE NEEDED TO STEER THE VEHICLE AND INCREASING THE RISK OF A CRASH. Click here for Nissan recall NHTSA press release.

HONDA IS RECALLING 126,000 CERTAIN MODEL YEAR 2001-2010, AND MODEL YEAR 2012 GL1800 GOLDWING MOTORCYCLES. UNDER CERTAIN CONDITIONS, THERE IS A POSSIBILITY THAT THE COMBINED BRAKING SYSTEM'S SECONDARY MASTER CYLINDER MAY CAUSE THE REAR BRAKE TO DRAG. UNEXPECTED BRAKING INCREASES THE RISK OF A CRASH, AND RIDING THE MOTORCYCLE WITH THE REAR BRAKE DRAGGING MAY GENERATE ENOUGH HEAT TO CAUSE THE REAR BRAKE TO CATCH FIRE. Click here for Honda braking recall NHTSA press release.

12/05/2011

AMERICAN EAGLE AIRLINES FIRST TO BE FINED UNDER NEW FEDERAL RULES / MUST PAY MORE THAN $600,000

More from the Emeritus Newsroom- The U. S. Department of Transportation (DOT) this week, fined American Eagle Airlines $900,000 for lengthy tarmac delays that took place at Chicago O’Hare International Airport on May 29, 2011.

This is the first fine for a violation of the Department’s rule, which took effect in April 2010, setting a three-hour limit for tarmac delays on domestic flights.  It also represents the largest penalty to be paid by an airline in a consumer protection case not involving civil rights violations.

“We put the tarmac rule in place to protect passengers, and we take any violation very seriously,” said U.S. Transportation Secretary Ray LaHood.  “We will work to ensure that airlines and airports coordinate their resources and plans to avoid keeping passengers delayed on the tarmac.”

Under DOT rules, U.S. airlines operating aircraft with 30 or more passenger seats are prohibited from allowing their domestic flights to remain on the tarmac for more than three hours at large-, medium-, small- and non-hub U.S. airports without giving passengers an opportunity to deplane.  Exceptions to the time limits are allowed only for safety, security or air traffic control-related reasons.   The rules require carriers to include the three-hour provision in their tarmac delay contingency plan commitments to passengers.

On May 29, 2011, American Eagle had tarmac delays of more than three hours on 15 flights arriving at O’Hare.  Those 15 flights had tarmac delays of up to 225 minutes, which was 45 minutes beyond the limit.  A total of 608 passengers were aboard the affected flights.  An investigation by DOT’s Aviation Enforcement Office concluded that while the airline had a procedure in place to bring passengers subject to a tarmac delay back to the gate, the carrier was late in implementing its procedure, resulting in violations of the rule.

Under the consent order, which reflects a settlement by DOT’s Aviation Enforcement Office with the carrier, American Eagle is ordered to cease and desist from future violations of the tarmac delay rule and is assessed a $900,000 civil penalty.  A total of $650,000 must be paid within 30 days, and up to $250,000 can be credited for refunds, vouchers, and frequent flyer mile awards provided to the passengers on the 15 flights on May 29, as well as to passengers on future flights that experience lengthy tarmac delays of less than three hours.

Between May 2010 and April 2011,  the first 12 months after the three-hour limit was in effect, the larger U.S. airlines required to file tarmac delays reported 20 tarmac delays of more than three hours, none of which was more than four hours long.  In contrast, during the 12 months before the rule took effect, these carriers had 693 tarmac delays of more than three hours, and 105 of the delays were longer than four hours.

Under an expansion of the tarmac delay rule that took effect Aug. 23, 2011, international flights at covered U.S. airports are now prohibited from remaining on the tarmac for more than four hours without permitting passengers the opportunity to deplane, subject to the same safety, security and air traffic control-related exceptions as the rule for domestic flights.

Full text of Department of Transportation press release, click here. 11/14/2011

TOYOTA RECALLS 400,000 TOYOTA AND LEXUS MODELS FOR STEERING PROBLEM

More from the Emeritus Newsroom- Toyota has announced a voluntary safety recall involving approximately 283,200 Toyota and 137,000 Lexus vehicles to replace the crankshaft pulley on the V6 engine.

There is a possibility that the outer ring of the crankshaft pulley may become misaligned with the inner ring, causing noise and/or illumination of the discharge warning light. If this condition is not corrected, the belt for the power steering pump may become detached from the pulley and the driver may notice a sudden increase in steering effort. There are no reports of accidents or injuries related to this condition.

The vehicles involved are certain:

  • 2004 Avalon
  • 2004 and 2005 Camry, Highlander, Sienna, and Solara
  • 2006 Highlander HV
  • 2004 and 2005 ES330 and RX330
  • And 2006 RX400h
No other Toyota or Lexus vehicles or these Toyota models with 4 cylinder engines are involved.

Toyota is currently working on obtaining the necessary replacement parts. Once the replacement parts have been produced in sufficient quantities, Toyota will send an owner notification by first class mail advising owners to make an appointment with an authorized Toyota or Lexus dealer to have the crankshaft pulley inspected and if necessary, replaced at no charge. The owner notifications will be mailed by first class mail beginning in January, 2012.

In the meantime, if an abnormal noise is heard coming from the engine compartment, the owner is asked to make an appointment with any Toyota or Lexus dealer to have the vehicle inspected for this condition.

Detailed information and answers to questions are available to customers at www.toyota.com/recall and the Toyota Customer Experience Center (1 800-331-4331) or www.lexus.com/recall and Lexus Customer Satisfaction (1 800-255-3987).

Full text of Toyota announcement, click here. 11/09/2011

NEW FCC PROGRAM TO PROVIDE LOW COST COMPUTERS AND HIGH SPEED INTERNET SERVICE TO LOW INCOME FAMILIES

More from the Emeritus Newsroom- In an effort to bridge the digital divide for seniors and low income families, the FCC announced a major project to offer low cost computer and high speed internet service.

According to the FCC, Low-income Americans, rural Americans, seniors, and minorities disproportionately find themselves on the wrong side of the digital divide and excluded from the $8 trillion dollar global Internet economy.
o 80%+ of Fortune 500 companies require online job applications (including major employers such as Wal-
Mart, Target, Costco, and ExxonMobil). A Federal Reserve study found that students with a PC and broadband at home have six to eight percentage point higher graduation rates than similar student who don’t have home access to the Internet. Consumers with broadband at home can save more than $7,000 a year.

The commission and participating cable internet providers, such as Comcast, Verizon, Time Warner and others, have agreed to a program which will,

* Offer all eligible families two-years of $9.95 + tax broadband cable Internet, with a no installation/activation fee option and no modem rental fees (with an option to purchase a $10 modem). In-kind value of more than $2.5 billion if all eligible families take offer on average, a 70% discount off monthly broadband services charges.

In addition, the program will offer two programs to get computers into low income households.

Redemtech, a technology refurbishment company, has committed to offer a refurbished $150 + tax powerful laptop, or
desktop with LCD monitor, to all eligible school lunch families, shipped to the home. PC offer includes:
* Free shipping, 90 days phone PC tech support, one year software tech support, 90 day extendable warranty
* Leading OS and productivity suite: Windows 7 Home Premium and MS Office 2007 ($250 software value)
* Powerful minimum specs: Core 2 Duo processor; 2 GB Ram 80 GB hard drive; DVD player; wireless card
* Family settings: Preinstalled and activated parental control software that blocks inappropriate content, controls access
to programs, and provides a safe computing experience. Also includes a dedicated Internet safety portal developed by
Common Sense Media and PC based safety tutorials and additional filtering software curated by iKeepSafe.
* Easy setup: Box will include specially designed setup guide for first time PC users
*Relevant content: PC will be preloaded to guide users to educational, informational and job training content. Offer will launch in Phase I areas in spring of 2012 to be expanded to entire footprint by September 2012.

Full text of FCC announcement, click here. 11/09/2011

RECALLS FOR PONTIAC, JEEP OVER AIR BAG SYSTEM PROBLEMS

More from the Emeritus Newsroom- Potential air bag system problems have prompted recalls of Pontiac and Jeep models. According to the National Highway Transportation Safety Administration, more than 38,000 of the 2008-2009 model Pontiac G-8 are being recalled because the front passenger air bag may deploy late in a crash. Chrysler is recalling the 2008-2012, RIGHT HAND DRIVE Jeep Wrangler due to wiring which could cause the airbag system not to deploy at all during a crash. Press release of Pontiac recall, click here. Press release for Jeep recall, click here. 11/08/2011

BMW & CHEROLET RECALL MORE THAN 60,000 VEHICLES

More from the Emeritus Newsroom- BMW and Chevrolet have announced recalls that involve more than 30,000 vehicles each. According to the National Highway Transportation Safety Administration, BMW IS RECALLING CERTAIN MODEL YEAR 2008-2011 5-SERIES, 5-SERIES GRAN TURISMO, 7-SERIES, X5 SAV, AND X6 SAV VEHICLES EQUIPPED WITH 8- OR 12-CYLINDER, TURBOCHARGED, ENGINES BECAUSE THE CIRCUIT BOARD FOR THE ELECTRIC AUXILIARY WATER PUMP CAN OVERHEAT. THIS COULD LEAD TO A SMOLDERING OF THE PUMP OR AN ENGINE COMPARTMENT OR VEHICLE FIRE.BMW WILL NOTIFY OWNERS, AND DEALERS WILL REPLACE THE AUXILIARY WATER PUMP FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN DURING NOVEMBER 2011. OWNERS MAY CONTACT BMW CUSTOMER RELATIONS AND SERVICES AT 1-800-525-7417. OWNERS MAY ALSO CONTACT THE NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION'S VEHICLE SAFETY HOTLINE AT 1-888-327-4236 (TTY 1-800-424-9153), OR GO TO HTTP://WWW.SAFERCAR.GOV .

GENERAL MOTORS (GM) IS RECALLING CERTAIN MODEL YEAR 2012 CHEVROLET EQUINOX AND GMC TERRAIN VEHICLES, MANUFACTURED FROM JULY 18, 2011, THROUGH SEPTEMBER 6, 2011, FOR FAILING TO COMPLY WITH THE REQUIREMENTS OF FEDERAL MOTOR VEHICLE SAFETY STANDARD NUMBER 138, "TIRE PRESSURE MONITORING SYSTEM" (TPMS). THE TIRE PRESSURE MONITORING SYSTEM IS DESIGNED TO ILLUMINATE THE TIRE PRESSURE WARNING LIGHT WHEN THE PRESSURE IN A TIRE IS 25% BELOW THE RECOMMENDED COLD TIRE PRESSURE. ON THESE VEHICLES, THE LIGHT WILL NOT ILLUMINATE UNTIL THE TIRE PRESSURE IS MORE THAN 25% BELOW THE RECOMMENDED COLD TIRE PRESSURE. UNDERINFLATED TIRES CAN RESULT IN TIRE OVERLOADING AND OVERHEATING, WHICH COULD LEAD TO A BLOWOUT AND POSSIBLE CRASH. THE RESULTING CRASH COULD CAUSE SERIOUS INJURY. UNDERINFLATED TIRES CAN ALSO RESULT IN PREMATURE OR IRREGULAR WEAR, POOR HANDLING, AND POOR FUEL ECONOMY. GM DEALERS WILL UPDATE THE BODY CONTROL MODULE FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN DURING OCTOBER 2011. OWNERS MAY CONTACT CHEVROLET AT 1-800-630-2438 AND GMC AT 1-866-996-9463.

Full Text of BMW recall, click here. Full text of Chevrolet announcement, click here. 10/31/2011

GROWING AVALANCHE OF DEBT COLLECTOR COMPLAINTS TO F-T-C / HARRASSMENT MAKES UP NEARLY HALF OF COMPLAINTS

More from the Emeritus Newsroom- In their yearly review as part of the Fair Debt Collection Practices Act, the Federal Trade Commission says it receives more complaints about the debt collection industry than any other specific industry. Complaints about third-party debt collectors and in-house collectors in 2010 (the most recent full statistical year) together totaled 140,036 complaints and accounted for 27% of all complaints the FTC received. This represents an increase in absolute terms and as a percentage of total complaints over 2009, when the agency received 119,609 debt collection complaints, accounting for 22.8% of all complaints to the FTC.

In 2010, 49.7% of FDCPA complaints the FTC received, or 54,147 complaints, claimed that collectors harassed the complainants by calling repeatedly or continuously. This was the most frequent law violation about which consumers complained during 2010, as it was in 2009, when 41,063 FDCPA complaints, representing 46.5% of FDCPA complaints, stated that collectors harassed them by calling repeatedly or continuously.

This week, the FTC shut down an operation, where representatives posed as attorneys and court process servers. According to a statement from the agency, the FTC charged two individuals and seven companies in a Corona, California-based debt-collection operation doing business as Rincon Debt Management.  The court order stops the illegal conduct, freezes the operation's assets, and appoints a temporary receiver to take over the defendants’ business while the FTC moves forward with the case. Operating since March 2009, the defendants have been unjustly enriched by at least $9.4 million, according to documents the FTC filed with the court.The FTC complaint alleges that the defendants targeted both English- and Spanish-speaking consumers.  The defendants called consumers and their employers, family, friends, and neighbors, posing as process servers seeking to deliver legal papers that purportedly related to a lawsuit.  In some instances, the defendants threatened that consumers would be arrested if they did not respond to the calls.  The defendants also posed as attorneys or employees of a law office,and demanded that consumers pay “court costs” and “legal fees.”  However, according to the FTC, the debt collectors making calls to consumers were not actually process servers, attorneys, or their employees, and the defendants did not file lawsuits against consumers.  In addition, in many instances, consumers did not even owe the debt the defendants were trying to collect.The FTC charged that the defendants’ false and misleading claims that they were process servers or attorneys who had filed – or were about to file – a lawsuit against a consumer violated the FTC Act.  In addition, the FTC alleged that the defendants violated the Fair Debt Collection Practices Act by:

  • improperly contacting third parties about consumers’ debts;
  • failing to disclose the name of the company they represented, or the fact that they were attempting to collect on a debt, during telephone calls to consumers;
  • misrepresenting the existence of a debt, the amount, and other facts about the debt; and
  • failing to notify consumers of their right to dispute and obtain verification of their debts. Full text of FTC report, click here. Full text of FTC statement on debt agency closure, click here. 10/27/2011

EXPENSIVE EUROPEAN CARS / MORE AMERICAN CARS OFFER LEAST RELIABILITY IN LATEST CONSUMER REPORTS REVIEW

More from the Emeritus Newsroom- European luxury brands and some new American brands are among the least reliable in the latest survey from Consumer Reports.

The testing organization says European models continue to be a blend of reliable and not so reliable vehicles. Overall, European vehicles’ reliability is slightly below that of domestic models. Of the 58 European models for which Consumer Reports has sufficient data, 37 (64 percent) scored average or better in predicted reliability. Among European brands, Volvo ranked the highest at 10th overall. It was helped by the redesigned S60, which was above average in its first year. Volkswagen was able to hold on to 16th place in the ranking; seven of its 11 models scored average or better. Mercedes-Benz and BMW improved, but results were inconsistent for their various models. BMW’s redesigned X3 SUV did well, for example, but the redesigned 5 Series sedan was well below average. Mercedes’ compact GLK SUV improved, but its flagship S-Class luxury sedan fell to below average. Porsche dropped from being the second-best brand last year to the second-worst. That big shift occurred because CR has data for only two models, one of which, the redesigned Cayenne SUV, had a terrible debut year. Jaguar trails the pack. Its XF and the new XJ were the two least reliable new cars in the survey, but that’s not surprising, given Jaguar’s history.

As for American brands, the new Ford Explorer, Fiesta, and Focus all had below-average reliability in their first year. As a result, Ford’s overall reliability rank among 28 major car makes slipped from the 10th to the 20th spot this year—the biggest drop for any major nameplate in Consumer Reports 2011 Annual Auto Survey.

Ford’s drop can also be attributed to problems with new technologies: the new MyFord Touch infotainment system and the new automated-manual transmission used in the Fiesta and Focus. Lincoln finished above Ford, although the freshened MKX, a cousin of the Edge, suffered from the MyLincoln Touch system. On the bright side, the Ford Fusion Hybrid sedan remained outstanding, and other Fusion versions were above average.

While Ford’s star has fallen, in the recent Consumer Reports reliability rankings, Chrysler’s has risen. Jeep has moved up seven spots to 13, becoming the most reliable domestic brand, and all its models for which Consumer Reports has sufficient data scored average in predicted reliability. Chrysler and Dodge moved up 12 and three spots in ranking, respectively. Chrysler had better results with its new models, including the  freshened  Chrysler  200  (formerly Sebring) sedan and the redesigned Dodge Durango and Jeep Grand Cherokee SUVs. The Chrysler brand moved up in Consumer Reports survey, but its rank is based on just two models: the 200, which was well above average, and the freshened Town & Country minivan, which tanked. The remaining model, the 300, is too new for Consumer Reports to have sufficient data.

Consumer Reports press release, click here. CR car reliability page, click here. 10/25/2011

MASSIVE RECALL FOR 250,000 HARLEY-DAVIDSON MOTORCYCLES

More from the Emeritus Newsroom- Due to a potential crash hazard, the National Highway Traffic Safety Administration says HARLEY-DAVIDSON IS RECALLING CERTAIN MODEL YEAR 2009-2012 TOURING, CVO TOURING AND TRIKE VEHICLES MANUFACTURED FROM JUNE 6, 2008, THROUGH SEPTEMBER 16, 2011. SEE THE ABOVE LIST FOR THE MODELS INCLUDED IN THE RECALL. THE REAR BRAKE LIGHT SWITCH MAY BE EXPOSED TO EXCESSIVE HEAT FROM THE EXHAUST SYSTEM.

According to the NHTSA announcement, THE EXCESSIVE HEAT MAY CAUSE THE SWITCH TO NOT ACTIVATE THE BRAKE LAMP OR ACTIVATE THE BRAKE LAMP WHEN NO BRAKE IS APPLIED AND/OR CAUSE A BRAKE FLUID LEAK AT THE BRAKE LIGHT SWITCH, AFFECTING REAR BRAKE PERFORMANCE. EITHER CONDITION MAY INCREASE THE RISK OF A CRASH. HARLEY-DAVIDSON WILL NOTIFY OWNERS, AND DEALERS WILL A INSTALL A REAR BRAKE LIGHT SWITCH KIT, FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN ON OR ABOUT OCTOBER 31, 2011. OWNERS MAY CONTACT HARLEY-DAVIDSON AT 1-414-343-4056.

Full text of NHTSA announcement, including specific model listing , click here. 10/24/2011

LISTERIA TAINTED CANTALOUPE TRACED TO STORAGE BARN

More from the Emeritus Newsroom- A joint investigation by several federal agencies has traced the listeria outbreak in cantaloupes to a storage facility at a Colorado farm. Jensen Farms whole cantaloupes on Sept. 14 in response to the multi-state outbreak of listeriosis. At least 25 people died. Cantaloupes from other farms have not been linked to this outbreak.

FDA has successfully audited the majority of Jensen Farms’ direct and secondary accounts. The recalled cantaloupes were produced from the end of July to September 10, 2011. Given that the Jensen Farms’ recall has been in effect for more than a month and that the shelf life of a cantaloupe is approximately two weeks, it is expected that all of the recalled whole Jensen Farms cantaloupes have been removed from the marketplace.

FDA has verified that the following states received recalled cantaloupes directly from Jensen Farms: Arizona, Arkansas, Colorado, Idaho, Illinois, Indiana, Kansas, Louisiana, Minnesota, Missouri, Montana, Nebraska, New Jersey, New Mexico, New York, North Dakota, Oklahoma, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Wisconsin and Wyoming. There is no indication of foreign distribution.

The Food and Drug Administration says that on September 10, 2011, FDA, along with Colorado state officials, conducted an inspection at Jensen Farms during which FDA collected multiple samples, including whole cantaloupes and environmental (non-product) samples from within the facility, for laboratory culturing to identify the presence of Listeria monocytogenes. Of the 39 environmental samples collected from within the facility, 13 were confirmed positive for Listeria monocytogenes with pulsed-field gel electrophoresis (PFGE) pattern combinations that were indistinguishable from three of the four outbreak strains collected from affected patients. Cantaloupe collected from the firm’s cold storage during the inspection was also confirmed positive for Listeria monocytogenes with PFGE pattern combinations that were indistinguishable from two of the four outbreak strains.

As a result of the isolation of outbreak strains of Listeria monocytogenes in the environment of the packing facility and whole cantaloupes collected from cold storage, and the fact that this is the first documented listeriosis outbreak associated with fresh, whole cantaloupe in the United States, FDA initiated an environmental assessment in conjunction with Colorado state and local officials. FDA, state, and local officials conducted the environmental assessment at Jensen Farms on September 22-23, 2011. The environmental assessment was conducted to gather more information to assist FDA in identifying the factors that potentially contributed to the introduction, growth, or spread of the Listeria monocytogenes strains that contaminated the cantaloupe. 

FDA identified the following factors as those that most likely contributed to the introduction, spread, and growth of Listeria monocytogenes in the cantaloupes:

  • There could have been low level sporadic Listeria monocytogenes in the field where the cantaloupe were grown, which could have been introduced into the packing facility
  • A truck used to haul culled cantaloupe to a cattle operation was parked adjacent to the packing facility and could have introduced contamination into the facility
  • There could have been low level sporadic Listeria monocytogenes in the field where the cantaloupe were grown, which could have been introduced into the packing facility
  • A truck used to haul culled cantaloupe to a cattle operation was parked adjacent to the packing facility and could have introduced contamination into the facility
  • The packing facility’s design allowed water to pool on the floor near equipment and employee walkways;
  • The packing facility floor was constructed in a manner that made it difficult to clean
  • The packing equipment was not easily cleaned and sanitized; washing and drying equipment used for cantaloupe packing was previously used for postharvest handling of another raw agricultural commodity.

There was no pre-cooling step to remove field heat from the cantaloupes before cold storage. As the cantaloupes cooled there may have been condensation that promoted the growth of Listeria monocytogenes.

There was no pre-cooling step to remove field heat from the cantaloupes before cold storage. As the cantaloupes cooled there may have been condensation that promoted the growth of Listeria monocytogenes.

Full text of FDA statement, click here. 10/20/2011

FEDERAL RESERVE REPORTS CONSUMER SPENDING UP SLIGHTLY IN SEPTEMBER

More from the Emeritus Newsroom- The Beige Book report from the Federal Reserve shows consumer and business spending continues to trickle up, not in amounts significant enough to keep the economy from retreating. According to the Fed, consumer spending was up slightly in September. The majority of Districts reported increases in auto sales, with the largest improvements in San Francisco and New York. Several Districts noted a greater availability of new vehicles as the supply disruptions that had plagued auto dealerships in the aftermath of the Japanese disaster subsided. Contacts in the Cleveland, New York, Philadelphia, and Dallas Districts indicated that demand for used cars remained high and that some models were still scarce. A large number of Districts reported that non-auto retail sales were flat to down in September; but a few, such as Philadelphia, Richmond, and Dallas noted an increase in customer traffic late in the month and into early October. Back-to-school sales were described as being fairly strong in New York and satisfactory in Richmond. In addition, Boston, Chicago, Kansas City, and Dallas cited some strength in the sales of big-ticket or luxury items, while Minneapolis and Chicago noted that more consumers were trading down to value products at grocery stores.

The report also noted that business spending increased somewhat from the previous report. However, contacts in a number of Districts reported that a weaker and more uncertain economic outlook had increased caution and was weighing on future spending plans. Philadelphia, Richmond, and Chicago indicated that many retailers were reluctant to build inventories ahead of the holiday season, pointing to recent declines in consumer confidence. Auto dealers were an exception, as they continued to replenish inventories that ran low in the aftermath of the production disruptions caused by the Japanese disaster. Capital spending continued as planned in most Districts. Respondents in Cleveland, Atlanta, and Chicago noted increased purchases of equipment in the manufacturing, mining, and transportation industries. Boston and Minneapolis indicated that some manufacturers planned to expand capacity either through mergers and acquisitions or the building of additional facilities. Atlanta cited a pick-up in corporate expansion and relocation interest, and Chicago noted an increase in mergers and acquisitions activity among middle-market firms.

Full text of Fed statement, click here. 10/19/2011

SONY RECALLS 1.6 MILLION BRAVIA TV SETS

More from Bloomberg News, click here- 10/12/2011

OPEC SLOWS SUPPLY AS OIL DEMAND SHRINKS

More from the Voice of America- The oil-producing OPEC cartel has for the fourth straight month trimmed its estimate of world demand for oil for the rest of this year and in 2012.

The 12-nation Organization of the Petroleum Exporting Countries said Tuesday that the demand for oil will still grow this year and next, but not by as much as it had projected earlier. OPEC said the world demand will slow as global economies continue to weaken.

OPEC said its demand estimate is being reduced because of the sluggish U.S. economy, the world's largest, as well as Europe's governmental debt crisis and efforts by China and India to curb fuel consumption.  

OPEC, which produces about a third of the world's oil, said it now sees oil demand this year growing by less than a million barrels a day to just under 88 million barrels a day. That cuts 180,000 barrels a day from OPEC's estimate a month ago. It cut 70,000 barrels a day from its 2012 estimate, but still predicts that the overall demand will increase by 1.2 million barrels.

With reduced demand, the price of oil has fallen in recent months -- to about $84 a barrel on the New York market on Tuesday, down from a high this year of more than $116 in April. 10/11/2011

VW RECALLS 168,000 JETTA, GOLF AND AUDI A3 MODELS

More from the Emeritus Newsroom- Volkswagen says it is recalling 168,275 2009-2012 JETTA AND JETTA SPORTWAGEN VEHICLES, MANUFACTURED FROM MAY 2008 THROUGH SEPTEMBER 2011, MODEL YEAR 2010-2012 VOLKSWAGEN GOLF VEHICLES, MANUFACTURED FROM MAY 2009 THROUGH SEPTEMBER 2011, AND MODEL YEAR 2010-2012 AUDI A3 VEHICLES, MANUFACTURED FROM SEPTEMBER 2009 THROUGH SEPTEMBER 2011.

The recall involves the 2.0 Litre diesel engines, which could vibrate to the point of damaging the fuel lines. Due to the potential for damage, fuel lines may leak increasing the potential for a fire. The company says it will install vibration dampers to si the problem.

Full text of recall notice, click here. 10/07/2011

BANKS START CHARGING FOR DEBIT CARD USE / RESULT OF LIMITS PLACED ON CARD COMPANY FEES PAID BY MERCHANTS

More from the New York Times, click here- 09/30/2011

REEBOK AGREES TO $25 MILLION SETTLEMENT OVER UNPROVEN SHOE ADVERTISING CLAIMS

More from the Emeritus Newsroom- A $25 million settlement has been reached in an FTC advertising claims case against Reebok. According to the FTC, that the company deceptively advertised “toning shoes,” which it claimed would provide extra tone and strength to leg and buttock muscles.  Reebok will pay $25 million as part of the settlement agreement.  The funds will be made available for consumer refunds either directly from the FTC or through a court-approved class action lawsuit.   The FTC says advertisers should understand that they must exercise some responsibility and ensure that their claims for fitness gear are supported by sound science,” said David Vladeck, Director of the FTC’s Bureau of Consumer Protection. 

Reebok’s EasyTone walking shoes and RunTone running shoes have retailed for $80 to $100 a pair, while EasyTone flip flops have retailed for about $60 a pair.  Ads for the shoes claimed that sole technology featuring pockets of moving air creates “micro instability” that tones and strengthens muscles as you walk or run.

According to the FTC complaint, Reebok made unsupported claims in advertisements that walking in its EasyTone shoes and running in its RunTone running shoes strengthen and tone key leg and buttock (gluteus maximus) muscles more than regular shoes.  The FTC’s complaint also alleges that Reebok falsely claimed that
walking in EasyTone footwear had been proven to lead to 28 percent more strength and tone in
the buttock muscles, 11 percent more strength and tone in the hamstring muscles, and 11 percent more strength and tone in the calf muscles than regular walking shoes.

Beginning in early 2009, Reebok made its claims through print, television, and Internet advertisements, the FTC alleged.  The claims also appeared on shoe boxes and displays in retail stores.  One television ad featured a very fit woman explaining to an audience the benefits of Reebok EasyTone toning shoes.  She picks up a shoe from a display and points to a chart showing the muscles that benefit from use of the shoes, while a video camera continues to focus on her buttocks.  She says the shoes are proven to strengthen hamstrings and calves by up to 11 percent, and that they tone the buttocks “up to 28 percent more than regular sneakers, just by walking.”             

Under the settlement, Reebok is barred from:

  • making claims that toning shoes and other toning apparel are effective in strengthening muscles, or that using the footwear will result in a specific percentage or amount of muscle toning or strengthening, unless the claims are true and backed by scientific evidence;
  • making any health or fitness-related efficacy claims for toning shoes and other toning apparel unless the claims are true and backed by scientific evidence; and 
  • misrepresenting any tests, studies, or research results regarding toning shoes and other toning apparel.

Ftc.gov/reebok gives consumers the basic facts about the Reebok settlement and
directs them to apply for a refund if they are eligible.   

Consumers who bought Reebok toning shoes or toning apparel can submit a claim here. Consumers should carefully evaluate advertising claims for work-out gear and exercise equipment.  For more information see:  How's that Work-out Working Out?  Tips on Buying Fitness Gear. FTC press release, click here. Video of Reebok TV ad, click here. 09/28/2011

ILLNESSES LINKED TO LISTERIA TAINTED CANTALOUPE RECALL, STILL RISING

More from the Emeritus Newsroom- The Centers fo Disease Control says the recall, earlier this month, of cantalope sold by Jensen Farms, of Holly, Colorado, is suspected in at least 13 deaths and a total of 72 illnesses.

According to the agency,

  • As of 11am EDT on September 26, 2011, a total of 72 persons infected with the four outbreak-associated strains of Listeria monocytogenes have been reported to CDC from 18 states.  All illnesses started on or after July 31, 2011. The number of infected persons identified in each state is as follows: California (1), Colorado (15), Florida (1), Illinois (1), Indiana (2), Kansas (5), Maryland (1), Missouri (1), Montana (1), Nebraska (6), New Mexico (10), North Dakota (1), Oklahoma (8), Texas (14), Virginia (1), West Virginia (1), Wisconsin (2), and Wyoming (1).
  • Thirteen deaths have been reported: 2 in Colorado, 1 in Kansas, 1 in Maryland, 1 in Missouri, 1 in Nebraska, 4 in New Mexico, 1 in Oklahoma, and 2 in Texas.
  • Collaborative investigations by local, state, and federal public health and regulatory agencies indicate the source of the outbreak is whole cantaloupe grown at Jensen Farms’ production fields in Granada, Colorado.

The FDA published a recall notice on the cantaloupe on September 14th, reporting,

The FDA is warning consumers not to eat Rocky Ford Cantaloupe shipped by Jensen Farms and to throw away recalled product that may still be in their home.Jensen Farms is voluntarily recalling Rocky Ford Cantaloupe shipped from July 29 through September 10, 2011, and distributed to at least 17 states with possible further distribution. The recalled cantaloupes have the potential to be contaminated with Listeria and may be linked to a multi-state outbreak of listeriosis.The CDC reports that at least 22 people in seven states have been infected with the outbreak-associated strains of Listeria monocytogenes as of September 14. Patients reported eating whole cantaloupes they purchased from grocery stores marketed from the Rocky Ford growing region of Colorado. While all people are susceptible to Listeria, older adults, persons with weakened immune systems and pregnant women are at particular risk.

What is the Problem? The FDA is warning consumers not to eat Rocky Ford Cantaloupe shipped by Jensen Farms of Granada, Colo. The majority of the patients reported eating cantaloupe marketed from the Rocky Ford growing region. FDA’s traceback data from the State of Colorado about their confirmed cases of Listeria monocytogenes have identified a common producer of Rocky Ford cantaloupes. That producer is Jensen Farms. Although the investigation is ongoing, no other Rocky Ford cantaloupe producer has been found in common in the Colorado traceback.

Jensen Farms is voluntarily recalling Rocky Ford Cantaloupe. The recalled cantaloupes were shipped from the Rocky Ford growing region of Colorado from July 29 through September 10 and are potentially linked to a multi-state outbreak of listeriosis. The recalled cantaloupes were distributed to at least 17 states with possible further distribution.

What are the Symptoms of Listeriosis? Listeriosis is a rare and serious illness caused by eating food contaminated with bacteria called Listeria. Persons who think they might have become ill should consult their doctor. A person with listeriosis usually has fever and muscle aches.

Who is at Risk? Listeriosis can be fatal, especially in certain high-risk groups. These groups include older adults, people with compromised immune systems and certain chronic medical conditions (such as cancer), and unborn babies and newborns. In pregnant women, listeriosis can cause miscarriage, stillbirth, and serious illness or death in newborn babies, though the mother herself rarely becomes seriously ill.

FDA recall, click here. CDC update on case illnesses, click here. 09/28/2011

SCHOOL BUS SEAT MAKER C.E. WHITE RECALLS 19,467 POTENTIALLY FAULTY SEATS WHICH COULD INJURE PASSENGERS / MICRO BIRD BUSES AMONG THOSE AFFECTED.

More from the Emeritus Newsroom- The Micro Bird Bus is recalling an, as yet, undetermined number of their Micro Bird mini buses, used as daycare and small group transport school buses for a problem with seats manufactured by C.E. White. It just one of the manufacturers which installed the seat from C.E. White.

The Micro Bird recall, listed with the National Highway Traffic Safety Administration states,

MICRO BIRD IS RECALLING CERTAIN 2010 AND 2011 MICRO BIRD G5 AND MICRO BIRD MBII SCHOOL BUSES MANUFACTURED FROM APRIL 14, 2010, THROUGH JUNE 7, 2011, EQUIPPED WITH A C. E. WHITE SEAT CUSHION. THE SEAT CUSHION SELF-LATCHING MECHANISM DOES NOT ACTIVATE WHEN A 48.4 POUND MASS IS PLACED ON THE CENTER OF THE SEAT CUSHION AND ACCORDINGLY, THESE SEATS FAIL TO CONFORM TO THE   REQUIREMENTS OF FEDERAL MOTOR VEHICLE SAFETY STANDARD NUMBER 222, "SCHOOL BUS PASSENGER SEATING AND CRASH PROTECTION."
Consequence:
 IF THE SEAT CUSHION IS NOT FULLY LATCHED TO THE SEAT STRUCTURE, IT COULD FLIP UP OUT OF POSITION IN THE EVENT OF A CRASH. THIS COULD INCREASE THE RISK OF INJURY TO THE VEHICLE OCCUPANTS.
Remedy:
 MICRO BIRD WILL NOTIFY OWNERS AND WILL REPAIR THE SEATS FREE OF CHARGE. THE MANUFACTURER HAS NOT YET PROVIDED THE AGENCY WITH A NOTIFICATION SCHEDULE. OWNERS MAY CONTACT MICRO BIRD AT 1-819-477-2012.

So far Micro Bird, a joint venture between Blue Bird and Canadian school bus maker Girardin, has not stated how many of their buses are affected by the recall. However, also today, a separate recall for the seats was issued by the manufacturer, C.E. White, claiming that the number of seats involved with various school bus manufacturers is 19,467. Being as Micro Bird, as of this posting, was the only manufacturer issuing a notice through the National Transportation Safety Administration, other bus manufactures are expected to make announcements.

School buses have come under increased scrutiny the past year due to the number of safety recalls involving Micro Bird and other manufacturers.

Micro Bus recalls include one last month involving certain model year 2010 and 2011 MICRO BIRD G5 AND MB II SCHOOL BUSES made from October 1 2009 to March 16, 2011 for inadequate wiring that can overheat and cause the 8 way flasher light systems to fail. Last year, Micro Bird had another recall involving seats which were installed without any reinforcement under the floor, which could potentially injure the passenger. Click here for full text of 2010 seat recall notice.

Also last month, Navistar was forced to recall more than 15,000 of the model 2007-2012 IC, CE and BE school buses made from June 27, 2006 to March 23, 2011, due to wiring from the engine to the alternator which could fail and cause a fire.Full text of Navistar recall, click here.

Full text of C.E. White recall, click here. Full text of today's Micro Bird recall, click here. 09/26/2011

GAS, FOOD, SHELTER, CLOTHING SEND CONSUMER PRICE INDEX UP .5% / REAL EARNINGS DOWN

More from the Emeritus Newsroom- The Consumer Price Index for All Urban Consumers (CPI-U) increased
0.4 percent in August on a seasonally adjusted basis, the U.S. Burea of Labor Statistics reported today. Over the last 12 months, the all items index increased 3.8 percent before seasonal adjustment.

The seasonally adjusted increase in the all items index was broad- based, with continuing increases in the indexes for gasoline, food, shelter, and apparel. The gasoline index rose for the 12th time in the last 14 months and led to a 1.2 percent increase in the energy index, while the food index rose 0.5 percent, its largest increase since March.

The index for all items less food and energy increased 0.2 percent in August, the same increase as the previous month. Shelter and apparel were the biggest contributors, though the indexes for most of its
major components posted increases, including used cars and trucks, medical care, household furnishings and operations, recreation, tobacco, and personal care. The new vehicles index, unchanged for the
second month in a row, was an exception.

The 12-month change in the all items index edged up to 3.8 percent after holding at 3.6 percent for three months, while the 12-month change for all items less food and energy reached 2.0 percent for the
first time since November 2008. The energy index has risen 18.4 percent over the last year, while the food index has increased 4.6 percent.

Real earnings were down, amplifying the cost squeeze on consumers. According to the Labor Department,Real average hourly earnings for all employees fell 0.6 percent from July to August, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This decrease stems from a 0.1 percent decrease in average hourly earnings and a 0.4 percent increase in the Consumer Price Index for All Urban Consumers (CPI-U). Real average weekly earnings fell 0.8 percent over the month, as a result of the 0.3 percent decrease in the average workweek and the decrease in real average hourly earnings. Since reaching a recent peak in October 2010, real average weekly earnings have fallen 2.2 percent.

Real average hourly earnings fell 1.9 percent, seasonally adjusted, from August 2010 to August 2011. This decrease combined with unchanged average weekly hours resulted in a 1.8 percent decrease in real average weekly earnings during the same period.

Production and nonsupervisory employee Real average hourly earnings for production and nonsupervisory employees fell 0.6 percent from July to August, seasonally adjusted. This decrease stems from a 0.1 percent decrease in average hourly earnings and a 0.4 percent increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).

Real average weekly earnings fell 0.8 percent over the month, as a result of the 0.3 percent decrease in the average workweek and the decrease in real average hourly earnings. Since reaching a recent peak in October 2010, real average weekly earnings have fallen 2.4 percent.

Real average hourly earnings fell 2.3 percent, seasonally adjusted, from August 2010 to August 2011. The decrease in real average hourly earnings combined with unchanged average weekly hours resulted in a 2.4 percent decrease in real average weekly earnings during this period.

Press release on weekly unemployment, click here. Real earnings press release, click here. 09/15/2011

HONDA, SUBARU, SAAB, VOLVO ON LATEST VEHICLE DEFECT RECALL LIST

More from the Emeritus Newsroom- Several vehicles were included today in a defects notice today from the National Higway Traffic Safety Administration. Click on the blue campaign number for specifics on each defect recall.

NHTSA Campaign ID Number : 11V469
Manufacturer : SUBARU OF AMERICA, INC.
Make / Model Years : SUBARU / 2010-2011
Subject : WIPER MOTOR BOTTOM COVER MELTING
NHTSA Campaign ID Number : 11V468
Manufacturer : HONDA (AMERICAN HONDA MOTOR CO.)
Make / Model Years : HONDA / 2009-2011
Subject : SEATBELT STITCHING
NHTSA Campaign ID Number : 11V466
Manufacturer : VOLKSWAGEN OF AMERICA, INC
Make / Model Years : VOLKSWAGEN / 2011
Subject : ACCESSORY STAINLESS STEEL EXHAUST TIPS
NHTSA Campaign ID Number : 11V464
Manufacturer : SUBARU OF AMERICA, INC.
Make / Model Years : SAAB / 2005-2006
SUBARU / 2002-2008
Subject : FRONT LOWER CONTROL ARM/TRANSVERSE LINK
NHTSA Campaign ID Number : 11V462
Manufacturer : VANTAGE MOBILITY INTERNATIONAL, LLC
Make / Model Years : VMI / 2011
Subject : FAULTY LINES ENGINE COMPARTMENT/FUEL TANK
NHTSA Campaign ID Number : 11V461
Manufacturer : MACK TRUCKS, INC
Make / Model Years : MACK / 2011-2012
Subject : FIFTH WHEEL LOCK/FONTAINE
NHTSA Campaign ID Number : 11V460
Manufacturer : VOLVO TRUCKS NORTH AMERICA
Make / Model Years : VOLVO / 2011-2012
Subject : FIFTH WHEEL LOCK/FONTAINE
NHTSA Campaign ID Number : 11V459
Manufacturer : THOR MOTOR COACH
Make / Model Years : THOR / 2011-2012
Subject : EXHAUST TOO CLOSE TO STORAGE COMPARTMENT
NHTSA Campaign ID Number : 11V458
Manufacturer : HONDA (AMERICAN HONDA MOTOR CO.)
Make / Model Years : HONDA / 2011
Subject : ENGINE STALL PREVENTION ASSIST SOFTWARE
NHTSA Campaign ID Number : 11V456
Manufacturer : HONDA (AMERICAN HONDA MOTOR CO.)
Make / Model Years : HONDA / 2006
Subject : DRIVER SIDE POWER WINDOW SWITCH
NHTSA Campaign ID Number : 11V455
Manufacturer : DAIMLER TRUCKS NORTH AMERICA
Make / Model Years : FREIGHTLINER / 2005-2012
STERLING / 2005-2012
THOMAS BUILT BUSES / 2005-2012
Subject : GRID HEATER/POSSIBLE FIRE
NHTSA Campaign ID Number : 11V453
Manufacturer : SPARTAN CHASSIS, INC.
Make / Model Years : UTILMASTER / 2008-2011
Subject : OVERHEATING BATTERY SEPARATOR/POSSIBLE FIRE
NHTSA Campaign ID Number : 11V452
Manufacturer : TIFFIN MOTORHOMES, INC.
Make / Model Years : TIFFIN / 2007-2011
Subject : ADJUSTABLE BRAKE PEDAL PIN
NHTSA Campaign ID Number : 11V451
Manufacturer : ALTEC INDUSTRIES INC.
Make / Model Years : ALTEC / 2011
Subject : UNINTENTIONAL BOOM FUNCTION/MECHANICAL INTERLOCK
NHTSA Campaign ID Number : 11V450
Manufacturer : ROUSH PERFORMANCE PRODUCTS, INC.
Make / Model Years : FORD / 2009-2011
Subject : ROUSH PROPANE CONVERSION KITS

Recalls Subscription Team
Office of Defects Investigation (ODI)
National Highway Traffic Safety Administration (NHTSA)
U.S. Department of Transportation (DOT)

09/12/2011

HONDA RECALLS 1.5 MILLION ACCORDS, CR-V AND ELEMENTS FOR POSSIBLE TRANSMISSION DEFECT

More from the Emeritus Newsroom- A possible problem with Honda transmissions could cause certain models to stall, then not work to hold the vehicle in "park". According to a recall published this morning by the National Highway Traffic Safety Administration, HONDA IS RECALLING CERTAIN MODEL YEAR 2005-2010 ACCORD, 2007-2010 CR-V, AND 2005-2008 ELEMENT PASSENGER CARS MANUFACTURED FROM JULY 1, 2004, THROUGH AUGUST 4, 2010. THE OUTER RACE OF THE SECONDARY SHAFT BEARING MAY BE BROKEN DURING CERTAIN DRIVING STYLES. A BROKEN OUTER RACE MAY CAUSE ABNORMAL NOISE, THE MALFUNCTION INDICATOR LIGHT TO TURN ON, AND ALLOW CONTACT BETWEEN THE TRANSMISSION IDLE GEAR AND AN ELECTRONIC SENSOR HOUSING WITHIN THE TRANSMISSION.

THIS COULD RESULT IN A SHORT CIRCUIT CAUSING THE ENGINE TO STALL. ADDITIONALLY, BROKEN PIECES OF THE OUTER RACE OR BALL BEARING FROM THE SECONDARY SHAFT MAY BECOME LODGED IN THE PARKING PAWL RESULTING IN THE VEHICLE ROLLING AFTER THE DRIVER HAS PLACED THE GEAR IN THE PARK POSITION. ENGINE STALL AND UNEXPECTED VEHICLE MOVEMENT INCREASES THE RISK OF A CRASH OR PERSONAL INJURY TO PERSONS WITHIN THE PATH OF A ROLLING VEHICLE.
Remedy:
 HONDA WILL NOTIFY OWNERS AND DEALERS WILL UPDATE THE AUTOMATIC TRANSMISSION CONTROL MODULE SOFTWARE FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN ON OR ABOUT AUGUST 31, 2011. OWNERS MAY CONTACT HONDA AUTOMOBILE CUSTOMER SERVICE AT 1-800-999-1009.

Full text of NHTSA press release, click here. 08/08/2011

CHRYSLER RECALLS 300,000 MINI-VANS FOR AIR BAG PROBLEM

More from the Emeritus Newsroom- This recall involves airbags that could accidentally deploy and injure occupants of the vehicles. The National Highway Traffic Safety Administration claims, in a press release, that CERTAIN MODEL YEAR 2008 CHRYSLER GRAND VOYAGER, TOWN AND COUNTRY AND DODGE GRAND CARAVAN VEHICLES MANUFACTURED FROM JUNE 24, 2007, THROUGH JULY 30, 2008. THESE VEHICLES MAY EXPERIENCE A HEATING AND AIR CONDITIONER (HVAC) CONDENSATE LEAK FROM THE HVAC DRAIN GROMMET ONTO THE OCCUPANT RESTRAINT CONTROL (ORC) MODULE, WHICH CAN LEAD TO THE ILLUMINATION OF THE AIRBAG WARNING LIGHT AND A POTENTIAL INADVERTENT AIRBAG DEPLOYMENT WITHOUT WARNING.

AN INADVERTENT AIRBAG DEPLOYMENT COULD RESULT IN INJURY TO THE SEAT OCCUPANT IN FRONT OF THE DEPLOYING AIRBAG AND/OR A VEHICLE CRASH.
Remedy:
 DEALERS WILL REPLACE THE AFFECTED AIR BAG MODULE FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN DURING AUGUST 2011. OWNERS MAY CONTACT CHRYSLER AT 1-800-853-1403.
Notes:

Full text of NHTSA press release, click here. 08/08/2011

CARGILL RECALLS MORE THAN 36 MILLION POUNDS OF GROUND TURKEY

More from the Emeritus Newsroom- In another of the largest meat recalls ever initiated, Cargill today issued a statement saying it was recalling approximately 36 million pounds of fresh and frozen ground turkey products produced at the company’s Springdale, Ark., facility from Feb. 20, 2011, through Aug. 2, 2011, due to possible contamination from Salmonella Heidelberg.

Cargill claim is initiating this recall as a result of its internal investigation, Centers for Disease Control and Prevention (CDC) information that became available on Aug. 1, 2011, as well as an ongoing USDA Food Safety and Inspection Service (FSIS) investigation into multiple illnesses from Salmonella Heidelberg.

Additionally, Cargill has suspended production of ground turkey products at its Springdale, Ark., turkey processing facility until it is able to determine the source of the Salmonella Heidelberg and take corrective actions. Other turkey products produced at Springdale are not part of the recall. Cargill owns four turkey processing facilities in the U.S. and no products from the other three are involved in the recall.

“While facts continue to be gathered, and currently there is no conclusive answer regarding the source of Salmonella Heidelberg contamination, given our concern for what has happened, and our desire to do what is right for our consumers and customers, we are voluntarily removing our ground turkey products from the marketplace,” said Steve Willardsen, president of Cargill’s turkey processing business. “Additionally, we have suspended ground turkey production at our Arkansas facility until the source can be pinpointed and actions to address it are taken. Public health and the safety of consumers cannot be compromised. It is regrettable that people may have become ill from eating one of our ground turkey products and, for anyone who did, we are truly sorry. We go to great lengths to ensure the food we produce is safe and we fully understand that people expect to be able to consume safe food, each serving, every time.”

“Suspending production until we can determine the source of the Salmonella Heidelberg at our Arkansas facility, and take corrective action, is the right thing to do,” stated Willardsen. “We are closely examining every aspect of our production process and have identified enhancements to our procedures in our efforts to ensure safe food. Eliminating food borne illness is always our goal.”

Salmonella is a common bacteria with approximately 2,400 different strains, the vast majority not harmful to humans. Salmonella is commonly found in plants, animals, water, soil and humans. “We all need to remember bacteria is everywhere, and we must properly handle and prepare fresh foods wherever they are served,” explained Willardsen. “USDA food safety guidelines for safely handling and preparing food can be found on the USDA Internet website and serve as helpful food safety reminders.”

So far the Salmonella Heidelberg outbreak has sickened 79 people in 26 states, an increase of two patients from the initial outbreak report. The outbreak is also linked to the death of a California resident, according to the CDC.

Earlier in the week the FSIS said it didn't have enough evidence to link the illnesses to a specific producer or facilitiy.

The federal government doesn't classify Salmonella as an adulterant in meat, and microbiologic testing that found the outbreak strain in at least three ground turkey samples was done as part of routine surveillance for antibiotic-resistant strains and not prompted by illness reports.

Cargill is contacting its customers to make certain they know which of their ground turkey products are affected by this recall. Consumers are urged to return any opened or unopened packages of ground turkey items listed on Cargill’s website (www.cargill.com/turkey-recall) to stores where they were purchased for a full refund. A complete list of the products involved in the recall is attached. Cargill is working closely with its U.S. customers to make certain as much of the product is retrieved as possible. Consumers with questions about recalled ground turkey products may contact Cargill’s consumer relations toll free telephone number (1-888-812-1646).

For food safety inquiries, consumers may contact the USDA’s “Ask Karen” virtual representative available 24 hours a day at AskKaren.gov (http://www.askkaren.gov/). The toll-free USDA Meat and Poultry Hotline 1-888-MPHotline (1-888-674-6854) is available in English and Spanish and can be reached from l0 a.m. to 4 p.m. (Eastern Time) Monday through Friday. Recorded food safety messages are available 24 hours a day.

Full text of the Cargill statement, click here. 08/03/2011

1.1 MILLION FORD PICKUPS RECALLED FOR RUNAWAY GAS TANKS THAT CAUSE FIRES

More from the Emeritus Newsroom- The National Highway Traffic Safety Administration says rusting gas tank holding straps have prompted more recalls of Ford pickups. Ford is recalling 1997-2004 Ford F-150 , F-250, And Lincoln Blackwood pickup models. The tanks can separate from the body, then explode.

Just last week, Ford issued another recall of 20,000 pickups due to an electrical switch. The recall includes Excursions from 2002 to 2005, F-series trucks from 2002 to 2007, and Rangers built between 2004 and 2011. The automaker told the NHTSA that certain trucks and service parts may have a defect that does not comply with the "lamps, reflective devices and associated equipment" safety standard.

The multi-functional electrical switch has a sliding subcomponent that could be defective. This issue can cause the taillights, turn signals and hazard flashers to malfunction, which could increase the risk of crashes.

08/01/2011

MASSIVE BEEF RECALL BY OHIO PROCESSOR / INVOLVES NEARLY 229,000 POUNDS

More from the Emeritus Newsroom- The United States Agriculture Department's Food Safety Inspection Service, late tonight, announced Tri State Beef, a Cincinnati, Ohio, establishment, is recalling approximately 228,596 pounds of beef products that may be contaminated with E. coli O157:H7, the U.S. Department of Agriculture’s Food Safety and Inspection Service (FSIS) announced today. The following product is subject to recall:

Combo bins of "TRI-STATE BEEF CO., INC BONELESS BEEF."

Each bin bears the establishment number "EST. 1750" inside the USDA mark of inspection. The products subject to recall were produced between July 19, 2011 and July 22, 2011, and sold to federally-inspected establishments for further processing and distribution in Chicago, Ill., Cincinnati and Columbus, Ohio, Iowa and Va.

The problem was discovered through routine FSIS testing which confirmed a positive result for E. coli O157:H7. It should be noted that these products were distributed to facilities where they were cooked and as a result received full-lethality treatment, which would effectively kill the E.coli O157:H7 pathogen in the products.

Because the products were shipped into commerce they are subject to recall, even though they were shipped to other federally-inspected establishments where they received full-lethality treatment and would no longer be considered adulterated.

FSIS and the company have received no reports of illnesses associated with consumption of these products. Individuals concerned about an illness should contact a healthcare provider.

FSIS routinely conducts recall effectiveness checks to verify recalling firms notify their customers of the recall and to ensure that steps are taken to make certain that the product is no longer available to consumers.

E. coli O157:H7 is a potentially deadly bacterium that can cause bloody diarrhea, dehydration, and in the most severe cases, kidney failure. The very young, seniors and persons with weak immune systems are the most susceptible to foodborne illness.

FSIS advises all consumers to safely prepare their raw meat products, including fresh and frozen, and only consume ground beef that has been cooked to a temperature of 160° F. The only way to confirm that ground beef is cooked to a temperature high enough to kill harmful bacteria is to use a food thermometer that measures internal temperature.

Consumers and media with questions regarding the recall should contact the company’s attorney, Mark Fitch, at (513) 731-8459.

Full text of USDA statement, click here. 07/27/2011

REAL AVERAGE EARNINGS DOWN 1.4% SINCE OCTOBER 2010 / CONSUMER PRICES DOWN IN JUNE

More from the Emeritus Newsroom- Wage earners have lost an estimated 1.4 percent of their real average wages since October 2010. The index, from the Bureau of Labor Statistics in the Department of Labor, is determined primarily by wages and the cost of living. Since both consumer price and real average wages statistics for June were both released today, it offers an extended data base to understand why average wages have declined.

Real average hourly earnings for all employees rose 0.2 percent from May to June, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This change stemmed from a 0.2 percent decrease in the Consumer Price Index for All Urban Consumers (CPI-U), while average hourly earnings remained unchanged.Real average weekly earnings fell 0.1 percent over the month, as a result of the increase in real average hourly earnings combined with a 0.3 percent decrease in average weekly hours. Since reaching a recent peak in October 2010, real average weekly earnings have fallen 1.4 percent.

Also worth noting is the seasonally adjusted calculation provided more evidence that Americans are working more for less. According to the BLS, Real average hourly earnings fell 1.5 percent, seasonally adjusted, from June 2010 to June 2011. A 0.6 percent increase in average weekly hours combined with the decrease in real average hourly earnings resulted in a 0.9 percent decrease in real average weekly earnings during this period.

Real average hourly earnings fell 1.5 percent, seasonally adjusted, from June 2010 to June 2011. A 0.6
percent increase in average weekly hours combined with the decrease in real average hourly earnings resulted in a 0.9 percent decrease in real average weekly earnings during this period.

Full text of Consumer Price Index stats from BLS, click here. Full text of Real Average Wages Index stats from BLS, click here. 07/15/2011

MYSTERY CELL PHONE FEES TARGET OF NEW FCC PROPOSAL

More from the Emeritus Newsroom- Escalating complaints over, so called, "mystery fees" on cell phone bills, has prompted the Federal Communications Commission to propose new rules. The FCC announced the proposed rules today in a press release, says the move was needed, to eliminate "mystery fees" and "cramming," which is the illegal placement of an unauthorized fee onto a consumer's monthly phone bill. The FCC recently approved a settlement with Verizon Wireless over “mystery fees” totaling over $50 million that were placed on bills by Verizon itself. (Not all cases of cramming involve third parties.) Under the settlement, Verizon Wireless agreed to refund the overcharges to its customers and made a $25 million voluntary payment to the U.S. Treasury.  Last month, the FCC issued four Notices of Apparent Liability proposing $11.7 million in forfeitures against four telecommunications companies that appear to have engaged in widespread cramming.

The proposed rules would help landline telephone consumers detect unauthorized charges that may come from third parties by keeping all third-party charges separate from all telephone company charges, and would also help consumers block those charges. Most landline phone companies now allow consumers to block third-party charges, but may only tell consumers about that option after they have complained about an unauthorized charge. Because many consumers complain that it is difficult to get unauthorized charges resolved, the new rule on FCC contact information would let consumers know they can come to the agency for help if they need it. In addition, today’s FCC Notice of Proposed Rulemaking (CG Docket No. 11-116; Notice of Proposed Rulemaking) seeks comment on several other measures that could help consumers detect, rectify, and prevent cramming.  This Notice asks whether landline telephone companies should be: (1) required to offer subscribers the option to block third-party charges from appearing on their telephone bills; (2) required to notify consumers that they do not offer blocking service if they do not do so; (3) prohibited from assessing an additional fee for blocking services; and/or (4) prohibited from including third-party charges on telephone bills altogether. 

The FCC noramally allows at least 30 days from notification for a public comment period. After the comment period closes, the commission then can evaluate the comments and may choose to make changes before final approval of the rulemaking.

Full PDF text of FCC press release, click here. 07/12/2011

SOUTH CAROLINA MEAT PROCESSOR RECALLS 18,000+ POUNDS OF HAM PRODUCTS

More from the Emeritus Newsroom- Carolina Pride Foods, Inc., a Greenwood, S.C. establishment is recalling approximately 18,416 pounds of boneless, fully cooked ham products that may be contaminated with Listeria monocytogenes, the U.S. Department of Agriculture's Food Safety and Inspection Service (FSIS) announced today.

All the ham products were produced on May 13, 2011 and then distributed throughout the southeastern U.S. to retail outlets or for institutional use. The following products are subject to recall: [View Label]

  • "10-ounce vacuum packages of "CAROLINA PRIDE Smoked Diced Ham" with the sell by date of Sept. 23, 2011 stamped on the package. The packages also bear "EST. 242" inside the USDA mark of inspection and were sent to retail locations in Alabama, Florida, Georgia, North Carolina, South Carolina and Tennessee. The label on 10-pound cases of this product would be stamped "4218."
  • "10-pound cases containing five, 2-pound vacuum packages of "CAROLINA PRIDE Diced Ham." The label on cases of this product would be stamped "3804" and shipped to locations in North Carolina, South Carolina and Georgia.
  • "12-pound cases containing 8-ounce vacuum packages of "HARDEE's Smoked Diced Ham" with the use through date of Nov. 9, 2011 stamped on the package. The shipping label on cases of this product would be stamped "4181" and shipped to locations in Florida, Georgia, North Carolina and South Carolina.

The problem was discovered through third-party microbiological sampling contracted by Carolina Pride Foods. FSIS and the company have received no reports of illnesses associated with consumption of these products.

FSIS routinely conducts recall effectiveness checks to verify recalling firms notify their customers of the recall and that steps are taken to make certain that the product is no longer available to consumers. When available, the retail distribution list(s) will be posted on the FSIS Web site at: www.fsis.usda.gov/ FSIS_Recalls/ Open_Federal_Cases/ index.asp. USDA press release, click here. 07/06/2011

SPECULATION ON WORLD MARKETS DRIVING UP THE COST OF FUEL / DISCONNECTING LINKS BETWEEN SUPPLY AND DEMAND

More in this report from Robert Pollin and James Heintz, Political Economy Research Institute, University of Massachusetts, Amherst, click here - 07/04/2011

ATLANTA MAN CONVICTED FOR MILLIONS OF DOLLARS IN BANK CARD FRAUD AND I-D THEFT / LEADER OF L-A FRAUD CASES SENTENCED

More from the Emeritus Newsroom- The massive bank card and ID theft case against an Atlanta man has ended with a federal court jury conviction. According to the FBI, 37 year old, Jean Danile Perkins, purchased information needed to make credit cards, such as account numbers, from a source in the Ukraine. He then encoded credit cards with the data and used the cards. The dozen credit cards PERKINS gave to the FBI agent were in fact coded with information bought from the source in the Ukraine.The evidence at trial also showed that from February 2009 through February 2010, PERKINS engaged in another fraud scheme in which he gained internal SunTrust account information and impersonated the account holders, resulting in the transfer of money from victim accounts to accounts under his control. In one instance involving an account held by a local construction company, PERKINS impersonated the company’s president, signed up for online banking services from SunTrust, and authorized transfers of over $3,500,000 from the company’s account to approximately 100 accounts under his control. Fortunately, SunTrust was able to recover the transferred money before PERKINS spent it. In yet another fraud scheme, PERKINS set up numerous fictitious merchant accounts with American Express. The evidence at trial showed that PERKINS set up the merchant accounts at American Express to allow him to accept American Express credit cards as payment for nonexistent goods and services. Full text of FBI press release, click here.

In two other cases involving internet data theft and bank card fraud, federal judges have imposed sentences totaling 13 years in prison against a Los Angeles man who was the leader of the domestic arm of an international “phishing” operation that used spam e-mails and bogus websites to collect personal information that was used to defraud American banks.Kenneth Joseph Lucas, II, 27, was sentenced this afternoon in the second case, which involved an indoor marijuana grow at his residence in the Baldwin Hills district of Los Angeles.In relation to the narcotics case, United States District Judge Gary A. Feess sentenced Lucas this afternoon to five years in prison—with two years of that sentence to run consecutively to an 11-year sentence imposed last week in the phishing case. Judge Feess observed that Lucas’ conduct spanning both cases was “astonishing” and that Lucas caused “great harm to many people.”In the case stemming from the phishing scheme, United States District Judge Valerie Baker Fairbank sentenced Lucas on Friday to 11 years in prison after he pleaded guilty to 49 counts of bank and wire fraud, aggravated identity theft, computer fraud, and money laundering conspiracy charges.During Friday’s sentencing hearing, Judge Fairbank said that Lucas’ role in the phishing scheme was “deliberate and ongoing,” and that his actions showed an “extreme disregard for the law and the community.” Lucas was a “key and active player in the bank fraud” that extended from Southern California to Nevada, North Carolina, Maryland, and overseas in Egypt, Judge Fairbank said.In total, Lucas has been sentenced to 156 months in federal prison.Lucas was the lead defendant in a 53-defendant indictment returned in the fall of 2009 as part of Operation “Phish Phry,” a multinational investigation conducted in the United States and Egypt that led to charges against 100 individuals—the largest number of defendants ever charged in a cybercrime case. As a result of Operation Phish Phry, 47 people have been convicted in federal court in Los Angeles.Operation Phish Phry revealed how Egyptian hackers obtained bank account numbers and related personal identification information from an unknown number of bank customers through phishing—a technique that involves sending e-mail messages that appear to be official correspondence from banks or credit card vendors. Bank customers who received the spam e-mails were directed to fake websites purporting to be linked to financial institutions, where the customers were asked to enter their account numbers, passwords and other personal identification information. Because the websites appeared to be legitimate—complete with bank logos and legal disclaimers—the victims did not realize that the websites were not related to legitimate financial institutions. Armed with the bank account information, members of the conspiracy hacked into accounts at two banks. Once they accessed the accounts, the individuals in Egypt coordinated transfers of funds from the compromised accounts to newly created fraudulent accounts and other accounts used as part of the scheme.The United States part of the ring was directed by Lucas and two others, who directed associates to recruit runners to set up and use bank accounts where stolen funds could be held. A portion of the illegally obtained funds were transferred via wire services to the Egyptian co-conspirators. Judge Fairbank determined the total amount of intended loss was more than $1 million.In the narcotics case, Lucas oversaw the construction of an indoor marijuana grow operation at his residence in 2009. After installing an irrigation system, ventilation equipment, indoor lights and fans, Lucas posted videos on YouTube that showcased the grow operation. On October 7, 2009, authorities found 100 marijuana plants in the grow room, and Lucas admitted to having grown and sold a prior crop, which netted him $45,000. Full text of FBI press release on phishing cases, click here. Top FBI cases of the week, click here. 07/01/2011

OHIO ATTORNEY GENERAL SUES DEFUNCT NATIONAL DENTAL CHAIN

More from the Emeritus Newsroom- Ohio Attorney General Michael DeWine says he has filed suit against Allcare Dental of Williamsville, New York, for failure to perform promised dental services to customers who purchased services from them.

DeWine, in a statement issued today, explained that Allcare was a national dental chain, which until January this year, provided dentures and other dental services to consumers in several states, including 16 offices in Ohio. Consumers who could not pay cash for Allcare's services could apply for third-party financing that was arranged by Allcare but was provided by separate companies. Most consumers were required to pay in advance for a year of service. About January 1, 2011, Allcare closed all its Ohio offices and canceled all scheduled appointments with no advance notice to consumers. Most Allcare employees also had no prior knowledge of the closure. After the closing, the Ohio Attorney General's Office received more than 940 complaints against Allcare, mostly involving failure to deliver. In their complaints, consumers disputed about $2 million in payments to Allcare. Although consumers have not received refunds from Allcare, some have received money from the third-party financing companies, and some have successfully disputed the charges with their credit card providers. The Attorney General's lawsuit charges Allcare with violating the Consumer Sales Practices Act by failing to provide promised products and services and failing to provide refunds. The lawsuit seeks injunctive relief, $25,000 in civil penalties per violation, and full restitution for consumers. Variousmedia outlets have called the former headquarters of the company with no response.

Full text of Attorney General DeWine's statement, click here. 06/17/2011

MAY 2011 CONSUMER PRICE INDEX HIGHEST MONTHLY INCREASE SINCE 2008

More from Emeritus Newsroom- The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.2 percent in May on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months,
the all items index increased 3.6 percent before seasonal adjustment. The index for all items less food and energy increased 0.3 percent in May, its largest increase since July 2008. The indexes for apparel, shelter, new vehicles, and recreation all contributed to the acceleration, rising more in May than in April. These increases more than offset declines in the indexes for airline fare, tobacco, and personal care. The food index rose in May as well. The food at home index repeated its April increase of 0.5 percent as four of the six major grocery store food group indexes increased, with the index for meats, poultry, fish, and eggs rising the most. In contrast, the energy index, which had been rising sharply, declined in May. The gasoline index decreased for the first time since last June, although the index for household energy increased. The upward trend among the 12 month increases of major indexes continued in May. The 12 month change in the all items index, which was 1.1 percent as recently as November, reached 3.6 percent in May. The energy index has increased 21.5 percent over the last 12 months, the food index has risen 3.5 percent and the index for all items less food and energy has increased 1.5 percent. All of these figures have been rising in recent months.

Real average hourly earnings for all employees rose 0.1 percent from April to May, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This change stemmed from a 0.3 percent increase in average hourly earnings, partially offset by a 0.2 percent increase in the Consumer Price Index for All Urban Consumers (CPI-U).
Real average weekly earnings rose 0.1 percent over the month, as a result of the increase in real average hourly earnings combined with the unchanged average workweek. Since reaching a recent peak in October 2010, real average weekly earnings have fallen by 1.4 percent. Full text of CPI press release, click here. Full text of Real Earnings press release, click here. 06/15/2011

PRODUCER PRICES FOR FOOD DOWN / EVERYTHING ELSE UP DUE TO FUEL COSTS

More from the Emeritus Newsroom- The Producer Price Index for finished goods rose 0.2 percent in May, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This advance followed increases of 0.8 percent in April and 0.7 percent in March. At the earlier stages of processing, prices received by manufacturers of intermediate goods climbed 0.9 percent in May, and the crude goods index declined 4.1 percent. On an unadjusted basis, prices for finished goods moved up 7.3 percent for the 12 months ended May 2011, the largest year-over-year gain since an 8.8-percent advance in September 2008.

In the catagory of finished goods ready for sale to the public, the May advance in the finished goods index can be traced primarily to prices for finished energy goods, which rose 1.5 percent. The index for finished goods less foods and energy moved up 0.2 percent. By contrast, prices for finished consumer foods fell 1.4 percent in May.
Finished energy: The index for finished energy goods increased 1.5 percent in May, the eighth straight
monthly advance. Prices for gasoline moved up 2.7 percent and accounted for about three-quarters of the
May rise. Increases in the indexes for residential electric power and finished lubricants also were major
factors in the advance in finished energy goods prices.
Finished core: The index for finished goods less foods and energy moved up 0.2 percent in May, the
sixth consecutive rise. A 1.2-percent increase in prices for plastic products led the May advance. Higher
prices for converted paper and paperboard products also contributed to the rise in the finished core
index.
Finished foods: The index for finished consumer foods fell 1.4 percent in May, the largest decrease since a 2.4-percent drop in June 2010. Almost forty percent of the May decline can be attributed to prices for fresh and dry vegetables, which moved down 12.2 percent. Intermediate goods. Full text of Bureau of Labor Statistics Press release, click here. 06/14/2011

OAKLAND MEAT PACKER RECALLS 84,000 LBS. OF BEEF AND PORK MEATBALLS

More from the Emeritus Newsroom- The U-S Department of Agriculture says Kim Son Food Co., an Oakland, Calif., establishment is recalling approximately 84,000 pounds of cooked beef and pork meatball products because of misbranding and an undeclared allergen. The products contain a known allergen, wheat, which is not declared on the label.

The products subject to recall include: [View Labels (PDF Only)]

  • 12-oz. packages of KIM SON COOKED BEEF MEAT BALLS WITH CHICKEN & ANCHOVY FLAVORED FISH SAUCE ADDED�
  • 12-oz packages of KIM SON COOKED PORK MEAT BALLS ANCHOVY FLAVORED FISH SAUCE ADDED�
  • 5-lb packages of KIM SON COOKED BEEF & TENDON MEAT BALLS WITH CHICKEN & ANCHOVY FLAVORED FISH SAUCE ADDED.�

Each package bears the establishment number EST. 18862 inside the USDA mark of inspection.

The products were produced on December 9, 2010 through June 9, 2011, and shipped to retail establishments, including restaurants, in California's San Francisco Bay as well as Pennsylvania, Texas and Virginia.

The problem was discovered by FSIS inspection personnel during a routine label review and occurred because of a change in ingredients as a result of the establishment changing suppliers. FSIS and the company have received no reports of adverse reactions due to consumption of these products. Anyone concerned about a reaction should contact a healthcare provider.

FSIS routinely conducts recall effectiveness checks (including at restaurants) to verify recalling firms notify their customers of the recall and that steps are taken to make certain that the product is no longer available to consumers.

Full text of Department of Agriculture statement, click here. 06/11/2011

DELTA AIRLINES CHANGES BAG FEE POLICY FOR SERVICEMEMBERS AFTER P-R DEBACLE

By Lisa Daniel
American Forces Press Service

6/9/2011 - WASHINGTON (AFNS) -- Military members traveling on orders on several major U.S. air carriers can check four, and in some cases, five bags without charge based on new policies the airlines instituted in recent days.

Delta Air Lines, American Airlines, United Airlines and Continental Airlines announced the new policies after Army reservists returning from Afghanistan had to pay more than $2,800 to cover the costs of their fourth checked bags on a Delta flight. Two members of the unit en route to Fort Polk, La., complained of their plight on a YouTube video that went viral.

Delta apologized for the situation and is working with the soldiers individually "to make this situation right for each of them," a Delta spokeswoman said. "We regret that this experience caused these soldiers to feel anything but welcome on their return home," she said. "We honor their service and are grateful for the sacrifices of our military service members and their families."

Delta's new policy allows U.S. service members traveling on orders to check up to four bags in economy class and five bags in first and business class at no charge, she said. Each bag can weigh up to 70 pounds and measure up to 80 linear inches.

Due to weight and space constraints, travelers on Delta Connection carriers, regardless of their seating class, can check up to four bags without charge.

"We hope these changes to our policies reflect the true respect we hold for our servicemen and women and again demonstrate our appreciation as both a company and as individuals who benefit from the freedom our troops defend," the spokeswoman said.

Other airlines are following Delta's lead.

American Airlines is in the process of increasing its baggage policy for military members to check five bags without cost, spokesman Tim Smith reported. "Full implementation of that policy, and further details, should be completed in the next few days," he said.

One of the checked bags can weigh up to 100 pounds and measure up to 26 linear inches, but others are subject to the regular 50-pound, 62-linear-inch restrictions.

The previous American policy allowed service members to check three bags without cost. "But given the potential confusion, with different military units carrying different amounts of bags depending on their mission, we have elected to proceed with our five-free-bag limit," Mr. Smith said. "We think it just makes good sense and eliminates possible confusion."
The new policy will apply whether the military members are traveling on official orders or on personal travel, Smith said.

United Airlines and Continental Airlines, which merged last fall, also announced that they will now waive the fee for military personnel traveling on orders to check a fourth bag.
The decision was made, according to spokeswoman Christen David, "in recognition of their sacrifice and service to our country."

Service members traveling for official business, including deployments, are entitled to receive full reimbursement for reasonable, authorized excess baggage fees, defense officials said.

Click on picture below for video story from Pentagon Channel - 06/10/2011

 

CITBANK SAYS CARD ACCOUNTS WERE HACKED

More in this article from the New York Times, click here- 06/09/2011

SUV'S NOW SAFEST VEHICLES

More in this article from the Wall Street Journal, click here - 06/09/2011

U-S SENATE STANDS BY LIMITS ON DEBIT CARD CHARGES PAID BY RETAILERS TO BANKS

More from the Emeritus Newsroom- The U-S Senate today turned down a proposal, to delay limits, on what banks charge retailers for processing consumer debit card transactions. The vote today in the Senate was 54-45, six votes short of the 60 votes needed to provide a year delay for restricting bank debit transaction fees to 12 cents. Those fees today range from 40-45 cents, per transaction, which provided banks an estimated 12+ billion a year income. So, the original Dodd-Frank Act deadline of , July 21st, 2011, will stay in place, limiting per transaction debit card fees to no more than 12 cents. The Federal Reserve still has a chance to change the enforcement of the rule before July 21st. Act co-author Barney Frank supported a six month delay to study the effects of the cap on debit card charges, but Democrats in the Senate have long targeted the charges, which according to most major retailers, are nothing more than price gouging. Banks say the limits will result in fewer conveniences for customers. Senate Amendment 392, bill summary, click here. 06/08/2011

SALMONELLA CASES RISE IN U-S FOOD SUPPLY ACCORDING TO C-D-C

More from the Emeritus Newsroom- Salmonella infections, according to statistics released by the Centers for Disease Control, increased by 10 percent in recent years, as revealed in a new Vital Signs report. During the same time period, illnesses from the serious Shiga toxin-producing E. coli O157 have been cut nearly in half and the overall rates of six foodborne infections have been reduced by 23 percent, the report said.The Vital Signs report summarizes 2010 data from CDC's Foodborne Diseases Active Surveillance Network (FoodNet), which serves as America's report card for food safety by tracking whether nine of the most common infections transmitted through foods are increasing or decreasing.

"Although foodborne infections have decreased by nearly one-fourth in the past 15 years, more than 1 million people in this country become ill from Salmonella each year, and Salmonella accounts for about half of the hospitalizations and deaths among the nine foodborne illnesses CDC tracks through FoodNet," said CDC Director Thomas R. Frieden, M.D., M.P.H. "Salmonella costs hundreds of millions of dollars in direct medical costs each year. Continued investments are essential to detect, investigate, and stop outbreaks promptly in order to protect our food supply."

Salmonella, which is responsible for an estimated $365 million in direct medical costs each year in the United States, can be challenging to address, according to the CDC, because so many different foods like meats, eggs, produce, and even processed foods, can become contaminated with it and finding the source can be challenging because it can be introduced in many different ways.

In response to that challenge, the U.S. Food and Drug Administration, which regulates eggs, produce and many processed foods, has developed new rules for the egg industry to follow under its recently expanded regulatory authorities.

Full text of CDC press release on salmonella infections, click here. MP3 download file for audio of CDC news conference on the salmonella infection survey. 06/08/2011

HIGHER LEVELS OF UNAPPROVED PESTICIDES FOUND IN FRUITS AND VEGETABLES IN U-S-D-A TESTING / BUT RESEARCHERS SAY FOOD STILL "SAFE"

More from the Emeritus Newsroom- Researchers say the nations fruit and vegetable supplies are safe, however, a report from the United States Department of Agriculture has raised concerns over increasing unapproved pesticide residues detected in the most recent comprehensive survey, that from 2009. The USDA uses the herb Cilantro as one of the better examples, with over 90% of the samples tested, to have residues of at least one unapproved pesticide, which cannot be washed off. And of those fruits and vegetables with unapproved pesticide residues, most came from imported produce.

Another factor noted in the survey, is the cumulative existence of pesticides no longer used, but still found in soils used to produce fruits and vegetables.

HOWEVER, THE USDA SURVEY STATES, "These differences are captured by PDP (Pesticide Data Program) data which reflect actual residues present in food grown in various regions of the U.S. and overseas. Thus, in evaluating consumer exposure to pesticides through the diet, EPA uses all available information provided by registrants, the PDP, and others to verify that tolerances meet the safety standards set by FQPA. The reporting of residues present at levels below the established tolerance serves to ensure and verify the safety of the Nation’s food supply".

Full PDF download of USDA report, click here. 06/01/2011

WORLD HEALTH ORGANIZATION SAYS CELL PHONES POTENTIAL HEALTH HAZARD / USE OF EARPIECES ADVISED

More from the Emeritus Newsroom- Conflicting studies and potential health effects from cell phones prompted the World Health Organization to conduct one of their own, with the results, released today, finding cellphones a, "carcinogenic hazard". In a press release, the WHO's International Agency for Research on Cancer, states,

"The evidence was reviewed critically, and overall evaluated as being limited2 among users of wireless telephones for glioma and acoustic neuroma, and inadequate3 to draw conclusions for other types of cancers. The evidence from the occupational and environmental exposures mentioned above was similarly judged inadequate. The Working Group did not quantitate the risk; however, one study of past cell phone use (up to the year 2004), showed a 40% increased
risk for gliomas in the highest category of heavy users (reported average: 30 minutes per day
over a 10‐year period). Conclusions: Dr Jonathan Samet (University of Southern California, USA), overall Chairman of the Working Group, indicated that "the evidence, while still accumulating, is strong enough to support a conclusion and the 2B classification. The conclusion means that there could be some risk, and therefore we need to keep a close watch for a link between cell phones and cancer risk." "Given the potential consequences for public health of this classification and findings," said IARC Director Christopher Wild, "it is important that additional research be conducted into the longterm, heavy use of mobile phones. Pending the availability of such information, it is important
to take pragmatic measures to reduce exposure such as hands‐free devices or texting. " The Working Group considered hundreds of scientific articles; the complete list will be published in the Monograph. It is noteworthy to mention that several recent in‐press scientific articles resulting from the Interphone study were made available to the working group shortly before it was due to convene, reflecting their acceptance for publication at that time, and were included in the evaluation. A concise report summarizing the main conclusions of the IARC Working Group and the
evaluations of the carcinogenic hazard from radiofrequency electromagnetic fields (including
the use of mobile telephones) will be published in The Lancet Oncology in its July 1 issue, and in
a few days online.

Link to the audio file posted shortly after the briefing: http://terrance.who.int/mediacentre/audio/press_briefings/.

Full PDF text of press release from WHO International Agency for Research on Cancer, click here. More including video report from Dr, Sanjay Guptda from CNN, click here. 05/31/2011

AFTER APPROVING COMCAST-NBC MERGER, FCC COMMISSIONER WILL QUIT TO WORK FOR COMCAST

More in this article from the Washington Post, click here- 05/12/2011

COMCAST DEFENDS BASIC CABLE RATES

More in this article from the Boston Globe, click here- 05/10/2011

2.7 MILLION FORD F-150s TARGET OF FEDERAL PROBE FOR POTENTIAL LOSS OF GAS TANK

More from the Emeritus Newsroom- Federal officials have expanded their probe of 2.7 million Ford F-150 trucks, for model years, 1997-2011. The National Highway Traffic Safety Administration investigators say the metal straps, which hold the tanks, can rust or corrode, causing the tanks to separate from the vehicle, or drag on the pavement, creating sparks which could cause the tanks to explode. The NHTSA originally started the probe last September and decided to expand their probe this month, which could eventually lead to all the vehicles being recalled . The agency has not indicated when a final decision will be announced. 05/10/2011

CITY OF BOSTON TAKES ON COMCAST FOR PRICE INCREASES

More from the Emeritus Newsroom- Boston Mayor Tom Menino claims Comcast has increased basic cable subscription rates 60 percent in the last three years. So he has asked the Federal Communications Commission to see what it can do. The City of Boston no longer has authority to regulate cable rate increases and cable deregulation foes point to Boston and other examples of virtual monopoly providers taking advantage of consumers. As of this posting, Comcast has not responded to the Mayor's statement. 05/09/2011

GM ISSUES THREE RECALLS AND $3.2 BILLION PROFIT ANNOUNCEMENT

More from the Emeritus Newsroom- GM says it is recalling more than 154, 000 Chevy Cruze models for possible steering problems, which the company considered an isolated problem. Of those, more than 120,000 will also be checked for possible improper installation of the transmission shift linkage. Another recall was issued last month, for 2,500 Cruze models, for a possible steering problem that was also considered to be isolated. the company also recalled 8,723 of the 2011 Chevrolet Express models and GMC Savana vans for possible brake fluid leaks. Of the total, 7,593 of the vans in the United States might be out of compliance with the applicable requirements. GM says no crashes or injuries are associated with this issue. GM is also recalling 6,303 of its 2011 Chevrolet Colorado and GMC Canyon pickups, including 4,674 in the United States. A nut on the windshield wiper motor crank arm might not be tightened to specification. A loose nut could make the wipers inoperative, which could reduce driver visibility. There are no known crashes or injuries according to GM.

Despite the recalls, GM reported a first quarter profit of $3.2 billion dollars. According to the GM press release, net income attributable to common stockholders includes gains of $1.6 billion and $0.3 billion respectively related to the sales of the company’s ownership interest in Delphi Automotive LLP and Ally Financial Inc. preferred stock. It also includes a $0.4 billion goodwill impairment charge at GM Europe (GME) resulting from a change in accounting standards and charges totaling $0.1 billion at GM International Operations (GMIO) related to revised tax regulations affecting the company’s India joint venture. Combined, these special items increased net income attributable to common stockholders by $1.5 billion or $0.82 per fully-diluted share. Earnings before interest and tax (EBIT) were $3.5 billion. EBIT adjusted to exclude special items was $2.0 billion compared with $1.7 billion in the first quarter of 2010. GM earnings press release, PDF download, click here. 05/05/2011

TWO MAJOR FOOD RECALLS / SALAD MIX & FLAVORED PORK LOINS / AGENCY RELEASES REPEAT VIOLATORS LIST

More from the Emeritus Newsroom- Two major food recalls have been announced by the United States Department of Agriculture. Some of the products are marketed under retailer names, not from the originating company.

Taylor Farms Pacific, a Tracy, Calif., establishment, is recalling approximately 22,000 pounds of ready-to-eat fresh salad products that contain meat and poultry because the grape tomatoes used in these products may be contaminated with Salmonella.The problem was discovered when Taylor Farms Pacific was notified by its tomato supplier, Six L's, that a specific lot of grape tomatoes was being recalled due to potential Salmonella contamination. Taylor Farms Pacific, in conjunction with the Food and Drug Administration, announced the recall of products containing the grape tomatoes on May 2, 2011. Some of the USDA-regulated products may have already been identified in that release (http://www.fda.gov/Safety/Recalls/ucm253580.htm).

Smithfield Packing Company of Clinton, NC and Tar Heel, NC is recalling approximately 216,238 pounds of Portobello Mushroom flavored pork loins because some of the product may contain an undeclared allergen. The product was prepared using an ingredient blend that contained whey (from milk), a known allergen, which was not declared on the label.The products subject to recall bear the USDA mark of inspection on the label and EST. 413 or EST. 18079 inside the mark of inspection. Affected products from EST. 413 bear a use by date ranging from 12/26/10 to 6/03/11. Affected products from EST. 18079 bear a use by date ranging from 1/16/11 to 4/24/11. These products were distributed in retail outlets in Ala., Fla., Ill., Ky., Md., Mass., Miss., N.C., N.J., N.Y., Pa., S.C., Tenn., Texas, and Va. While the sell-by dates for many of these products has passed, FSIS and the establishment are aware that consumers may also freeze the product before use and there is concern that some product may still be frozen and in consumers’ freezers. When available, the retail distribution list(s) will be posted on FSIS’ website at www.fsis.usda.gov/FSIS_Recalls/ Open_Federal_Cases/index.asp.

The USDA also released today, a list of repeat violators in agency inspections. It is an extensive PDF download of 39 pages, listing the producer and their location. Click here. 05/05/2011

SONY REVEALS PERSONAL DATA BREAK ON PLAYSTATION INTERNET SITE WORSE THAN FIRST REPORTED

More in this article from Yahoo Games, click here- 05/03/2011

HONDA EXPANDS AIR BAG RECALL AGAIN

More from the Emeritus Newsroom- Continuing problems with over inflation in Honda airbag systems have prompted the company to recall more models. According to a company statement,

Honda has expanded a previously announced recall of certain 2001 through 2003 model-year Honda and Acura vehicles to include vehicles that may have had the original driver's airbag module replaced with an affected service part. These vehicles were not included in the earlier safety recalls because the driver's airbag modules originally installed in them were not affected by the potential safety issue. However, Honda has now determined that a number of affected service part airbags were installed in these vehicles in the process of a collision repair or other vehicle service. Owners of all potentially affected vehicles are being notified because Honda has not been able to determine which specific vehicles received one of those parts. The replacement driver's airbag inflators in affected vehicles may deploy with too much pressure, which can cause the inflator casing to rupture and could result in injury or fatality.

This recall includes certain 2001 and 2002 Accord and Civic, 2002 Odyssey; 2002 and 2003 CR-V, selected 2002 and 2003 Acura 3.2 TL and 2003 Acura 3.2 CL vehicles. To ensure that all 2,430 recalled airbag inflator service parts are replaced, the recall is being expanded to include approximately 833,000 vehicles that may require inspection.

Honda is aware of several incidents related to the earlier recall and expansions, and is announcing this new recall expansion to encourage all owners of included vehicles to take their vehicle to an authorized dealer as soon as they receive mailed notification from Honda. Notification to the expanded group of customers will begin in late May 2011.

The registered owners of the affected vehicles will be notified of this safety recall by mail. If an owner is confident that the driver's airbag in their vehicle never has been replaced, they can inform Honda by signing and returning a postage-paid postcard that will be included with the recall notice. All others are encouraged to have their vehicle inspected by an authorized Honda or Acura dealer.

When Honda identifies concerns of this nature, nothing is more important to the company than fulfilling our obligation and responsibility to alert our customers. To this end, in addition to contacting customers by mail, in late May, owners of these vehicles will be able to determine if their vehicles require repair by going on-line or calling. Honda owners can go to www.recalls.honda.com or call (800) 999-1009 and select option 4; Acura owners can go to www.recalls.acura.com or call (800) 382-2238 and select option 4.

Full text of Honda press release, click here. 05/03/2011

FORD, GM AND HONDA S-U-V'S CENTER OF FEDERAL PROBE OVER FRAGILE REAR GATE GLASS

More from Reuters News, click here - 05/02/2011

CONSUMER ALERT / PROCESSOR RECALLS 188,000 POUNDS OF CHICKEN NOODLE SOUP

More from the Emeritus Newsroom- Bay Valley Foods, LLC, a Pittsburgh, Pa., establishment is recalling approximately 188,181 pounds of Reduced Sodium Chicken Noodle Soup because it may contain an undeclared allergen. The product label indicates that the can contains Chicken Noodle Soup; however, it may contain Cream of Chicken Soup. The product was prepared using an ingredient blend that contained milk, a known allergen, which was not declared on the label, the U.S. Department of Agriculture's Food Safety and Inspection Service (FSIS) announced today.

The product subject to recall is: [View Labels]

  • 10.5-oz. cans of "GREAT VALUE REDUCED SODIUM CHICKEN NOODLE CONDENSED SOUP."

The products subject to recall bear the USDA mark of inspection on the label, and the establishment number "P-51," and best-by date of "09 29 12" ink-jetted on the bottom of each can. These products were produced on September 29, 2010, and were distributed to a retail establishment nationwide. When available, the retail distribution list(s) will be posted on FSIS' website at www.fsis.usda.gov/FSIS_Recalls/
Open_Federal_Cases/index.asp
.

The problem was discovered after Bay Valley Foods, Inc. received a customer complaint that the product was incorrectly labeled. FSIS and the company have received no reports of adverse reactions due to consumption of these products. Anyone concerned about a reaction should contact a healthcare provider.

FSIS routinely conducts recall effectiveness checks to verify recalling firms notify their customers of the recall and to ensure that steps are taken to make certain that the product is no longer available to consumers.

Consumers with questions about the recall should contact the company's Consumer Response Department at (800) 983-0823. Media with questions about the recall should contact Ron Bottrell of Hill & Knowlton, Inc. at (312) 446-6595.

Full text of USDA press release, click here. 05/02/201

SONY ADMITS HACKERS GOT PERSONAL INFORMATION FROM "PLAYSTATION" INTERNET SITE

More from the Emeritus Newsroom- Sony executives are not ruling out that hackers may have obtained customers credit card information from their "Playstation" website. The episode stems from a catastrophic failure of the site, during which, hackers apparently obtained the information. In typical textbook corporate public relations minimization, the Sony announcement appears on the company website's game support section, not in the more appropriate press release area, as of this posting (direct link to copy below).

The Sony statement reads:

We have discovered that between April 17 and April 19, 2011, certain PlayStation Network and Qriocity service user account information was compromised in connection with an illegal and unauthorized intrusion into our network. In response to this intrusion, we have:

  1. Temporarily turned off PlayStation Network and Qriocity services
  2. Engaged an outside, recognized security firm to conduct a full and complete investigation into what happened
  3. Quickly taken steps to enhance security and strengthen our network infrastructure by re-building our system to provide you with greater protection of your personal information.

We greatly appreciate your patience, understanding and goodwill as we do whatever it takes to resolve these issues as quickly and efficiently as practicable.


Although we are still investigating the details of this incident, we believe that an unauthorized person has obtained the following information that you provided: name, address (city, state, zip), country, email address, birth date, PlayStation Network/Qriocity password and login, and handle/PSN online ID. It is also possible that your profile data, including purchase history and billing address (city, state, zip), and your PlayStation Network/Qriocity password security answers may have been obtained. If you have authorized a sub-account for your dependent, the same data with respect to your dependent may have been obtained. While there is no evidence at this time that credit card data was taken, we cannot rule out the possibility. If you have provided your credit card data through PlayStation Network or Qriocity, out of an abundance of caution we are advising you that your credit card number (excluding security code) and expiration date may have been obtained.


For your security, we encourage you to be especially aware of email, telephone, and postal mail scams that ask for personal or sensitive information. Sony will not contact you in any way, including by email, asking for your credit card number, social security number or other personally identifiable information. If you are asked for this information, you can be confident Sony is not the entity asking. When the PlayStation Network and Qriocity services are fully restored, we strongly recommend that you log on and change your password. Additionally, if you use your PlayStation Network or Qriocity user name or password for other unrelated services or accounts, we strongly recommend that you change them, as well.


To protect against possible identity theft or other financial loss, we encourage you to remain vigilant, to review your account statements and to monitor your credit reports. We are providing the following information for those who wish to consider it:


  • U.S. residents are entitled under U.S. law to one free credit report annually from each of the three major credit bureaus. To order your free credit report, visit www.annualcreditreport.com or call toll-free (877) 322-8228.
  • We have also provided names and contact information for the three major U.S. credit bureaus below. At no charge, U.S. residents can have these credit bureaus place a “fraud alert” on your file that alerts creditors to take additional steps to verify your identity prior to granting credit in your name. This service can make it more difficult for someone to get credit in your name. Note, however, that because it tells creditors to follow certain procedures to protect you, it also may delay your ability to obtain credit while the agency verifies your identity. As soon as one credit bureau confirms your fraud alert, the others are notified to place fraud alerts on your file. Should you wish to place a fraud alert, or should you have any questions regarding your credit report, please contact any one of the agencies listed below.
    • Experian: 888-397-3742; www.experian.com; P.O. Box 9532, Allen, TX 75013
    • Equifax: 800-525-6285; www.equifax.com; P.O. Box 740241, Atlanta, GA 30374-0241
    • TransUnion: 800-680-7289; www.transunion.com; Fraud Victim Assistance Division, P.O. Box 6790, Fullerton, CA 92834-6790
  • You may wish to visit the web site of the U.S. Federal Trade Commission at www.consumer.gov/idtheft or reach the FTC at 1-877-382-4357 or 600 Pennsylvania Avenue, NW, Washington, DC 20580 for further information about how to protect yourself from identity theft. Your state Attorney General may also have advice on preventing identity theft, and you should report instances of known or suspected identity theft to law enforcement, your State Attorney General, and the FTC. For North Carolina residents, the Attorney General can be contacted at 9001 Mail Service Center, Raleigh, NC 27699-9001; telephone (877) 566-7226; or www.ncdoj.gov. For Maryland residents, the Attorney General can be contacted at 200 St. Paul Place, 16th Floor, Baltimore, MD 21202; telephone: (888) 743-0023; or www.oag.state.md.us.

We thank you for your patience as we complete our investigation of this incident, and we regret any inconvenience. Our teams are working around the clock on this, and services will be restored as soon as possible. Sony takes information protection very seriously and will continue to work to ensure that additional measures are taken to protect personally identifiable information. Providing quality and secure entertainment services to our customers is our utmost priority. Please contact us at 1-800-345-7669 should you have any additional questions. Full text of Sony statement, click here. 04/26/2011

TOYOTA RECALLS MORE THAN 300,000 RAV-4 AND HIGHLANDER MODELS FOR AIRBAG PROBLEM

More from the Emeritus Newsroom- Toyota motors is recalling more than 214,000 2007-2008 Rav-4 and 94,000 2008 Highlander and Highlander HV models due to a pentially faulty airbag sensor system. The company says, in the roll sensing curtain shield airbag system of the subject vehicles, there are two sensors in the airbag sensor assembly which are designed to detect vehicle roll angle. If one of these sensors malfunctions, the airbag warning light (malfunction indicator light) will illuminate and the roll detection system will be suspended; however, the airbag remains available in the event of a side collision. If both sensors fail nearly simultaneously after initial airbag system check, the seat belt pretensioner and the curtain shield airbag could be inadvertently activated.  The recalls are to begin next month. Toyota statement on the recalls, click here. 04/22/2011

NEW RULES FOR AIRLINES / MORE RIGHTS FOR PASSENGERS

More from the Washington Post, click here- 04/20/2011

TWO MORE AIR CONTROLLERS SUSPENDED / ONE FOR SLEEPING / ANOTHER FOR WATCHING MOVIE

More from Associated Press, click here- 04/19/2011

FBI ARRESTS MAJOR ONLINE GAMING FRAUDSTERS / DOMAINS SEIZED BY THE FEDS / UTAH BANK INVOLVED

More from the Emeritus Newsroom-The Federal Bureau of Investigation has charged 11 defendants, including the founders of the three largest Internet poker companies doing business in the United States—PokerStars, Full Tilt Poker, and Absolute Poker (the “Poker Companies”)—with bank fraud, money laundering, and illegal gambling offenses. The United States also filed a civil money laundering and in rem forfeiture complaint (the “Civil Complaint") against the Poker Companies, their assets, and the assets of several payment processors for the Poker Companies. In addition, restraining orders were issued against more than 75 bank accounts utilized by the Poker Companies and their payment processors, and five Internet domain names used by the Poker Companies to host their illegal poker games were seized. FBI Assistant Director in Charge JANICE K. FEDARCYK said: “These defendants, knowing full well that their business with U.S. customers and U.S. banks was illegal, tried to stack the deck. They lied to banks about the true nature of their business. Then, some of the defendants found banks willing to flout the law for a fee. The defendants bet the house that they could continue their scheme, and they lost".

As alleged in the Indictment, to accomplish their fraud, the Poker Companies worked with an array of highly compensated “payment processors"—including defendants RYAN LANG, IRA RUBIN, BRADLEY FRANZEN, and CHAD ELIE—who obtained accounts at U. S. banks for the Poker Companies. The payment processors lied to banks about the nature of the financial transactions they were processing, and covered up those lies, by, among other things, creating phony corporations and websites to disguise payments to the Poker Companies. For example, a PokerStars document from May 2009 acknowledged that they received money from U.S. gamblers through company names that “strongly imply the transaction has nothing to do with PokerStars," and that PokerStars used whatever company names “the processor can get approved by the bank".

By late 2009, after U.S. banks and financial institutions detected and shut down multiple fraudulent bank accounts used by the Poker Companies, SCHEINBERG and BITAR developed a new processing strategy that would not involve lying to banks. PokerStars, FullTilt Poker, and their payment processors persuaded the principals of a few small, local banks facing financial difficulties to engage in such processing in return for multi-million-dollar investments in the banks. For example, in September 2009, ELIE and others approached defendant JOHN CAMPOS, the Vice Chairman of the Board and part-owner of SunFirst Bank, a small, private bank based in Saint George, Utah, about processing Internet poker transactions. While expressing “trepidations," CAMPOS allegedly agreed to process gambling transactions in return for a $10 million investment in SunFirst by ELIE and an associate, which would give them a more than 30 percent ownership stake in the bank. CAMPOS also requested and received a $20,000 “bonus" for his assistance. In an e-mail, one of ELIE’s associates boasted that they had “purchased" SunFirst and that they “were looking to purchase" “a grand total of 3 or 4 banks" to process payments.

The indictment and civil complaint seek at least $3 billion in civil money laundering penalties and forfeiture from the Poker Companies and the defendants. The District Court issued an order restraining approximately 76 bank accounts in 14 countries containing the proceeds of the charged offenses. Pursuant to a warrant for arrest in rem issued by the U.S. District Court, the United States also seized five Internet domain names used by the Poker Companies to operate their illegal online businesses in the United States. Full text of FBI press release, click here. 04/17/2011

FORD RECALLS MORE F-150 MODEL TRUCKS DUE TO AIRBAG PROBLEM

More in this article from CNN, click here- 04/14/2011

HEAD OF FAA TRAFFIC CONTROL RESIGNS FROM POST

More from the Emeritus Newsroom- Conflicting reports suggest the head of the traffic control division of the Federal Aviation Administration has been fired, though the official word is he resigned. The latest move by Transportation Secretary Ray LaHood comes in the wake of another incident (story below) of an air traffic controller falling asleep in the control tower. Hank Krakowski submitted his resignation today to FAA Administrator Bruce Babbitt. He had been COO since 2007.

The latest incident involved a medivac plane with a seriously ill patient, trying to land at the Reno, Nevada, airport. After reaching no one in the tower, and repeatedly circling the airport, the frustrated pilot landed plane. The patient is said to be doing well in a Reno area hospital. Transportation Secretary Ray LaHood and Federal Aviation Administration (FAA) Administrator Randy Babbitt announced yesterday that, effective immediately, the FAA will place an additional air traffic controller on the midnight shift at 27 control towers around the country that are currently staffed with only one controller during that time.

The FAA also announced today U.S. airlines carried 53.7 million scheduled domestic and international passengers in January 2011. This is a 2.2 percent increase from January 2010 (Table 1). The January 2011 passenger total was 3.7 percent above that of two years ago in January 2009 but still remained 6.9 percent below the early recession level of 57.7 million in January 2008.

FAA press release on additional controller, click here. FAA passenger counts press release, click here. 04/14/2011

FBI AND JUSTICE DEPARTMENT RAID BOTNET CREATORS WHO TOOK OVER MORE THAN 2 MILLION COMPUTERS / OBTAINED PERSONAL AND FINANCIAL INFO

More from the Emeritus Newsroom- Investigators are not saying where or who is involved, however, Connecticut officials privately confirm suspects are being rounded up, as officials investigate one of the biggest cases of data stealing from personal computers. According to the New Haven office of the FBI, the filing of a civil complaint, the execution of criminal seizure warrants, and the issuance of a temporary restraining order as part of the most complete and comprehensive enforcement action ever taken by U.S authorities to disable an international botnet. The botnet is a network of hundreds of thousands of computers infected with a malicious software program known as Coreflood, which installs itself by exploiting a vulnerability in computers running Windows operating systems. Coreflood allows infected computers to be controlled remotely for the purpose of stealing private personal and financial information from unsuspecting computer users, including users on corporate computer networks, and using that information to steal funds.

The U.S. Attorney's Office for the District of Connecticut has filed a civil complaint against 13 "John Doe" defendants, alleging that the defendants engaged in wire fraud, bank fraud, and illegal interception of electronic communications. In addition, search warrants were obtained for the command and control servers in Arizona, Georgia, Texas, Ohio, and California. A seizure warrant was issued in Connecticut for 29 Internet domain names used by the thieves. Finally, the government obtained a temporary restraining order (TRO), authorizing the government to respond to signals sent from infected computers in the United States in order to stop the Coreflood software from running, thereby preventing further harm to hundreds of thousands of unsuspecting users of infected computers in the United States. According to court filings, Coreflood is a particularly harmful type of malicious software that records keystrokes and private communications on a computer. Once a computer is infected with Coreflood, it can be controlled remotely from another computer, known as a command and control (C & C) server. A computer infected by Coreflood and subject to remote control is referred to as a "bot," short for "robot." According to information contained in court filings, the group of all computers infected with Coreflood is known as the Coreflood botnet, which is believed to have been operating for nearly a decade and to have infected more than two million computers worldwide.

Full text of New Haven FBI press release, click here. 04/14/2011

FAA ORDERS MORE AIRPORTS WITH TWO OVERNIGHT CONTROLLERS AFTER ONLY ON DUTY CONTROLLER FALLS ASLEEP IN RENO / DELAYED LANDING OF MEDIVAC PLANE

More in this article from CNN, click here- 04/14/2011

U-S TRADE IMBALENCE WORSENS WITH IMPORTED FUEL PRICE INCREASES / FOOD PRICES ALSO TAKE STEEP CLIMB

More from the Emeritus Newsroom- The Bureau of Labor Statistics says March 2011 was an expensive month for imported products sold in the U-S. The cost gap between what Americans buy in imported products and what other countries spend for our products, continues to widen.

According to the BLS, U.S. import prices rose 2.7 percent in March, the U.S. Bureau of Labor Statistics reported today, following a 1.4 percent advance in February. The March increase was driven by both higher fuel and nonfuel prices. The price index for U.S. exports increased 1.5 percent in March after rising 1.4 percent the previous month.

The increase was the largest one-month advance since a similar 2.7 percent rise in June 2009. Prices of imports rose 9.7 percent for the year ended in March, the largest 12-month rise since April 2010. Rising fuel and nonfuel
prices each contributed to the increase over the past year. Fuel Imports: The price index for import fuel jumped 9.0 percent in March, the largest monthly rise since a 16.0 percent advance in June 2009. Fuel prices increased 28.7 percent for the year ended in March, driven by a 36.6 percent advance over the past six months. Higher petroleum prices drove both the March increase in fuel prices and the rise over the past 12 months, increasing 10.5 percent in March and 31.3 percent over the past year. In contrast, natural gas prices declined 14.0 percent in March and fell 11.6 percent over the past 12 months. All Imports Excluding Fuel: Nonfuel import prices rose 0.6 percent in March following a 0.5 percent advance the month before. Rising prices for nonfuel industrial supplies and materials, and foods, feeds, and beverages each contributed to the March increase. Import prices, excluding fuel advanced 4.2 percent for the March 2010-11 period, the largest 12-month increase since a 4.8 percent rise for the year ended October
2008. A 14.2 percent increase in nonfuel industrial supplies and materials prices and an 18.9 percent rise in foods, feeds, and beverage prices led the recent 12 month advance in nonfuel prices.

Full text of BLS press release, click here- 04/12/2011

SOUTHWEST AIRLINES GROUNDS 80 PLANES AFTER METAL SKIN FAILURE ON PHOENIX-SACRAMENTO FLIGHT / SIX FOOT HOLE BLOWN THROUGH CABIN

More from the Emeritus Newsroom- Investigators say a 15 year old Southwest Airlines 737-300 jet bound from Phoenix to Sacramento yesterday, made an emergency landing in Yuma, Arizona, after a an outer metal skin failure blew a six foot long hole through the cabin in the overhead storage area. Only minor injuries on the flight were reported. More than half of similar models in the Southwest fleet have had their out skins replaced, leaving 80 jets yet to be re-skinned. Those 80 planes have been grounded for inspections. Southwest had to cancel more than 300 flights on Saturday.

A statement this afternoon from Southwest says The 118 passengers on board Flight 812 have received a full refund along with an apology and two complimentary roundtrip passes on Southwest for future flights. Preliminary reports indicated the aircraft lost pressure and oxygen masks were deployed shortly after takeoff from Phoenix. After the plane landed safely in Yuma, the crew confirmed a hole in the top of the aircraft, approximately mid-cabin. One flight attendant was treated at the scene for a minor injury, as was at least one passenger. No injuries required transport to the hospital. The Company arranged for a Southwest Airlines aircraft to transport the Customers on Flight 812 from Yuma to Sacramento last night.

Full text of Southwest Airlines press release, click here. 04/02/2011

MASSIVE RECALL OF JENNIE-O TURKEY BURGERS

More from the Emeritus Newsroom- More than 54,000 pounds of Jennie-O turkey burgers have been recalled for possible salmonella contamination. According to a press release from the United States Department of Agriculture, Jennie-O Turkey Store, a Willmar, Minn. establishment, is recalling approximately 54,960 pounds of frozen, raw turkey burger products that may be contaminated with Salmonella. As FSIS continues its investigation of illnesses related to this recall, additional raw turkey products may be recalled. As a result, FSIS is alerting consumers to take extra care when preparing all raw turkey products. As of this posting, the USDA says 12 people in Arizona, California, Colorado, Georgia, Illinois, Mississippi, Missouri, Ohio, Washington, and Wisconsin have been diagnosed with salmonella.

To prevent salmonellosis and other foodborne illnesses, wash hands with warm, soapy water for at least 20 seconds before and after handling raw meat and poultry, and cook poultry including ground turkey burgers to 165° F, as determined with a food thermometer. The products subject to recall include:

  • 4-pound boxes of Jennie-O Turkey Store® "All Natural Turkey Burgers with seasonings Lean White Meat". Each box contains 12 1/3-pound individually wrapped burgers. The Wisconsin Department of Health and Family Services notified FSIS of a patient diagnosed with salmonellosis caused by Salmonella serotype Hadar. The investigation expanded to include 12 people in Arizona, California, Colorado, Georgia, Illinois, Mississippi, Missouri, Ohio, Washington, and Wisconsin who also have been diagnosed with Salmonella Hadar infection, with illnesses occurring between December 2010 and March 2011. Working in conjunction with the Centers for Disease Control and Prevention (CDC) and state public health partners, FSIS determined that three of the patients in Colorado, Ohio, and Wisconsin specifically reported eating this product prior to illness onset and hospitalization; the last of these illnesses was reported on March 14, 2011.

    As a result of the epidemiologic investigation, FSIS determined that there is a link between the Jennie-O ground turkey products and this illness outbreak. FSIS is continuing to work with CDC, affected state public health partners, and the company on the investigation. FSIS will continue to provide information as it becomes available, including information about any related recall activity. Individuals concerned about an illness should contact a physician.
    04/01/2011

EPA SAYS LOW LEVEL RADIATION FROM JAPAN NUCLEAR PLANT SHOWING IN NORTHWEST MILK

More from the Emeritus Newsroom- Monitoring by the U-S Environmental Protection Agency has shown more evidence of low level radiation from the nuclear crisis in Japan. According to a statement released today, the EPA reports a screening sample taken March 25 from Spokane, Wash. detected 0.8 pCi/L of iodine-131, which is more than 5,000 times lower than the Derived Intervention Level set by the U.S. Food and Drug Administration. The EPA tempered the statement by emphasizing such findings are to be expected in the coming days and are far below levels of public health concern, including for infants and children. Iodine-131 has a very short half-life of approximately eight days, and the level detected in milk and milk products is therefore expected to drop relatively quickly.

“Radiation is all around us in our daily lives, and these findings are a minuscule amount compared to what people experience every day. For example, a person would be exposed to low levels of radiation on a round trip cross country flight, watching television, and even from construction materials,” said Patricia Hansen, an FDA senior scientist.

EPA’s recommendation to state and local governments is to continue to coordinate closely with EPA, FDA and CDC. EPA will continue to communicate our nationwide sampling results as they come in. Full text of EPA statement, click here. 03/30/2011

IS FOOD COLORING TO BLAME FOR ADHD IN CHILDREN? FOOD ADVISORY COMMITTEE HOLD HEARINGS

More from the Emeritus Newsroom- Two days of hearings begin today in Washington DC on the effects of food coloring on children with ADHD. Specifically, the debate centers around food color additives and whether their effects violate the Food Additives Amendment of 1958. According to the Food and Drug Administration, the concept of safety used in this legislation involves the question of whether a substance is hazardous to the health of man or animal. Safety requires proof of a reasonable certainty that no harm will result from the proposed use of an additive. It does not—and cannot—require proof beyond any possible doubt that no harm will result under any conceivable circumstances.

the hearing is being held by the Food Advisory Committee, an arm of the FDA, which makes recommendations to the FDA for use in future agency rulings. Committee recommendations need not be rubber stamped by the FDA into a rulemaking, However, the agency usually follows most of the decisions of the advisory group.

According to a background document from the FDA, a study released in 2007, synthetic color additives again came under scrutiny in research by the University of Southampton (Southampton study) in the United Kingdom (U.K.) and published in The Lancet. This six-week study was commissioned by the U.K. Food Standards Agency (FSA). The study was intended to investigate whether certain color additive mixtures and the preservative, sodium benzoate, when consumed in a beverage, cause hyperactivity in three-year-old and eight and nine- year-old children1.
The following additives were evaluated in the Southampton study:
 Quinoline Yellow: In the U.S., this color (primarily monosulfonated quinoline yellow) is certifiable as D&C Yellow No. 10 and is approved for use in coloring drugs, cosmetics, and contact lenses, but not food.
 Ponceau 4R: This color additive has not been approved by FDA for any use.
1 FDA notes that three of the individual color additives used in the Southampton study are not approved for food use in the U.S. The others are approved only if batch certified. Batch certification ensures the purity of the color additive prior to use in a FDA-regulated product.
FDA/CFSAN March 30-31, 2011 Food Advisory Committee Meeting Materials
Background Document 2
 Allura Red: In the U.S., this color is certifiable as FD&C Red No. 40 and is approved for use in coloring food, drugs, and cosmetics.
 Azorubine (carmoisine): This color was listed in 1939 as Ext. D&C Red No. 10 for use in externally applied drugs and cosmetics and provisionally listed for these uses in 1960, but was delisted in 1963 because no party was interested in supporting the studies needed to establish safety. This color additive has never been approved by FDA for use in food.
 Tartrazine: In the U.S., this color is certifiable as FD&C Yellow No. 5 and is approved for use in coloring food, drugs, and cosmetics. This color additive is known to cause allergic-type reactions (e.g., hives) in a small subset of the population and, as a condition of use, must be declared as an ingredient when used to color food.
 Sunset Yellow: In the U.S., this color is certifiable as FD&C Yellow No. 6 and is approved for use in coloring food, drugs, and cosmetics.
 Sodium benzoate, a preservative, was included with the color additive mixtures. In the U.S., sodium benzoate is affirmed as generally recognized as safe (GRAS) for use as an antimicrobial agent at a level not to exceed 0.1 percent in food. Adding sodium benzoate to foods inhibits growth of bacteria, yeasts, and molds.

Full text of FDA background document, click here. 03/30/2011

INITIAL PROBE OF SLEEPING AIR CONTROLLER REVEALS STRAIN OF SHORT STAFF / TRANSPORTATION SECRETARY LAHOOD ORDERS 2 CONTROLLERS ON OVERNIGHT SHIFT AT D-C AIRPORT

More from the Emeritus Newsroom- Part of the cost of every airline ticket purchased, goes to airport fees that airlines pay to help support things such as airport traffic control systems and staffing. In an attempt to save money, many airports, including Washington D-C Reagan National Airport, often have only one controller handling incoming and outgoing air traffic during the hours of midnight to 3 or 4 AM.

Details gradually evolving about an incident Wednesday, point to an air control tower supervisor, who admitted he fell asleep, forcing at least two airliners to land without control tower support. The pilots of the jets and a regional air control center were not able to get an answer from the Reagan tower to give clearance for the landings, despite repeated radio and phone calls. Cutbacks have forced supervisors to man control towers by themselves in order to cover for those sick or off for one reason or another. in additional to their regular supervisory duties. Officials with the FAA and with the flight controllers union privately admit it's just another symptom of the larger problem as agency spending cutbacks put more pressure on controllers who face an increasing number of flights and security duties. The supervisor had worked his fourth consecutive overnight shift, though other details of his schedule remain unclear.

Pilots of the planes involved Wednesday, have taken criticism for landing without clearance. However, aviation experts say the pilots did follow proper procedures, under the circumstances, with the help of a regional air controller who took over.

Transportation Secretary Ray LaHood ordered at least two air controllers to be on duty at Reagan around the clock. LaHood promised an investigation and recommendations to avoid other such problems at Reagan and other airports. Of additional concern, is the function of the tower, if the only controller on duty becomes ill or disabled for any reason.

Full text of statement from FAA Administrator Randy Babbitt, click here. Statement from Transportation Secretary Ray LaHood, click here. 03/25/2011

SUPREME COURT RULING GIVES STOCKHOLDERS THE RIGHT TO SUE COMPANY FOR HIDING DAMAGING INFORMATION ON PRODUCTS

More from the Emeritus Newsroom- In a case related to the disastrous withdrawal of Zicam Cold Remedy Swabs and Zicam Cold Remedy Gel from the market in June 2009, the Supreme Court, in a unanimous decision, has ruled that companies cannot withhold damaging product information from stockholders. The case arose after the Food and Drug Administration told consumers they should stop using Zicam Cold Remedy Swabs and Zicam Cold Remedy Gel made by Scottsdale, Arizona based, Matrixx, because the products may permanently damage the sense of smell. Stockholders of the company sued, claiming the company had prior knowledge of potential problems with the products, but chose not tell stockholders. The company responded it had no conclusive proof, at the time, that the products would damage a user's sense of smell.

In her opinion for the the majority, Justice Sonya Sotomayor wrote, '"Respondents initiated a securities fraud class action against Matrixx on behalf of individuals who purchased Matrixx securities between October 22, 2003, and February 6, 2004. The action principally arises out of statements that Matrixx made during the class period relating to revenues and product safety. Respondents claim that Matrixx’s statements were misleading in light of reports that Matrixx had received, but did not disclose, about consumers who had lost their sense of smell (a condition called anosmia) after using Zicam Cold Remedy". Sotomayor noted, "It is substantially likely that a reasonable investor would have viewed this information “‘as having significantly altered the “total mix” of information made available.’” Basic, 485 U. S., at 232 (quoting TSC Industries, 426 U. S., at 449). Matrixx told the market that revenues were going to rise 50 and then 80 percent. Assuming the complaint’s allegations to be true, however, Matrixx had information indicating a significant risk to its leading revenue-generating product. Matrixx also stated that reports indicating that Zicam caused anosmia were “‘completely unfounded and misleading’” and that “‘the safety and efficacy of zinc gluconate for the treatment of symptoms related to the common cold have been well established.’” App. 77a–78a. Importantly, however, Matrixx had evidence of a biological link between Zicam’s key ingredient and anosmia, and it had not conducted any studies of its own to disprove that link. In fact, as Matrixx later revealed, the scientific evidence at that time was “‘insufficient . . . to determine if zinc gluconate, when used as recommended, affects a person’s ability to smell"'.

The ruling therefore, affirmed the that from the Ninth Circuit Court of Appeals, and sends the case back to the district court involved, allowing the securities fraud case, filed by the stockholders, to continue. Actual Supreme Court decision on Matrixx case, click here- 03/23/2011

AT&T BUYOUT OF T-MOBILE / NOT GOOD NEWS FOR CONSUMERS

More from this article in the New York Times, click here- 03/22/2011

EXPERTS PRESS NEW GUIDLINES FOR CHILD CAR SEATS

More from the Emeritus Newsroom- Primarily based on a 2007 University of Virginia study, the American Association of Pediatrics said today it is issuing new guidelines,advises parents to keep their toddlers in rear-facing car seats until age 2, or until they reach the maximum height and weight for their seat. It also advises that most children will need to ride in a belt-positioning booster seat until they have reached 4 feet 9 inches tall and are between 8 and 12 years of age. The previous policy, from 2002, advised that it is safest for infants and toddlers to ride rear-facing up to the limits of the car seat, but it also cited age 12 months and 20 pounds as a minimum. As a result, many parents turned the seat to face the front of the car when their child celebrated his or her first birthday.

“Parents often look forward to transitioning from one stage to the next, but these transitions should generally be delayed until they’re necessary, when the child fully outgrows the limits for his or her current stage,” said Dennis Durbin, MD, FAAP, lead author of the policy statement and accompanying technical report.

“A rear-facing child safety seat does a better job of supporting the head, neck and spine of infants and toddlers in a crash, because it distributes the force of the collision over the entire body,” Dr. Durbin said. “For larger children, a forward-facing seat with a harness is safer than a booster, and a belt-positioning booster seat provides better protection than a seat belt alone until the seat belt fits correctly.”

While the rate of deaths in motor vehicle crashes in children under age 16 has decreased substantially – dropping 45 percent between 1997 and 2009 – it is still the leading cause of death for children ages 4 and older. Counting children and teens up to age 21, there are more than 5,000 deaths each year. Fatalities are just the tip of the iceberg; for every fatality, roughly 18 children are hospitalized and more than 400 are injured seriously enough to require medical treatment.

New research has found children are safer in rear-facing car seats. A 2007 study in the journal Injury Prevention showed that children under age 2 are 75 percent less likely to die or be severely injured in a crash if they are riding rear-facing.

“The ‘age 2’ recommendation is not a deadline, but rather a guideline to help parents decide when to make the transition,” Dr. Durbin said. “Smaller children will benefit from remaining rear-facing longer, while other children may reach the maximum height or weight before 2 years of age.”

Children should transition from a rear-facing seat to a forward-facing seat with a harness, until they reach the maximum weight or height for that seat. Then a booster will make sure the vehicle’s lap-and-shoulder belt fit properly. The shoulder belt should lie across the middle of the chest and shoulder, not near the neck or face. The lap belt should fit low and snug on the hips and upper thighs, not across the belly. Most children will need a booster seat until they have reached 4 feet 9 inches tall and are between 8 and 12 years old.

Children should ride in the rear of a vehicle until they are 13 years old.

Although the Federal Aviation Administration permits children under age 2 to ride on an adult’s lap on an airplane, they are best protected by riding in an age- and size-appropriate restraint.

“Children should ride properly restrained on every trip in every type of transportation, on the road or in the air,” Dr. Durbin said.

. Full text of car seat guide, click here. Full text of press release, click here. 03/21/2011

AT&T BUYING T-MOBILE FOR $39 BILLION

More from the Emeritus Newsroom- Another major player in the domestic cell phone market will be purchased by AT&T for $39 million. T-Mobile brings AT&T another nearly 34 million customers. The combined company will give T-Mobile's current owner, Deutsche Telekom AG, an 8 percent stake in the company. According to a statement from AT&T,With this transaction, AT&T commits to a significant expansion of robust 4G LTE (Long Term Evolution) deployment to 95 percent of the U.S. population to reach an additional 46.5 million Americans beyond current plans – including rural communities and small towns.  This helps achieve the Federal Communications Commission (FCC) and President Obama’s goals to connect “every part of America to the digital age.” T-Mobile USA does not have a clear path to delivering LTE.

“This transaction represents a major commitment to strengthen and expand critical infrastructure for our nation’s future,” said Randall Stephenson, AT&T Chairman and CEO. “It will improve network quality, and it will bring advanced LTE capabilities to more than 294 million people. Mobile broadband networks drive economic opportunity everywhere, and they enable the expanding high-tech ecosystem that includes device makers, cloud and content providers, app developers, customers, and more. During the past few years, America’s high-tech industry has delivered innovation at unprecedented speed, and this combination will accelerate its continued growth”. 

Competitor Sprint, which was in the bidding war for T-Mobile, objected to the sale, claiming that AT&T's combination with T-Mobile constitutes a monopoly.

Whether the AT&T, T-Mobile merger is approved by Federal government agencies remains a question. So far, there has been no comment about the deal from federal regulators. Full text of AT&T press release, click here.  03/20/2011

PRODUCER PRICES FOR FINISHED GOODS UP MOST IN A YEAR

More from the Emeritus Newsroom- The Bureau of Labor Statistics today released the March Producer Price index showing the cost of finished goods was highest in a year, reflecting a higher cost of materials, manufacturing and retailers prices. The BLS report lists the PPI increased 1.6 percent in February, seasonally adjusted. This rise followed advances of 0.8 percent in January and 0.9 percent in December, and marks the largest increase in finished goods prices since a 1.9-percent advance in June 2009. At the earlier stages of processing, prices received by manufacturers of intermediate goods moved up 2.0 percent, and the crude goods index climbed 3.4 percent. On an
unadjusted basis, prices for finished goods advanced 5.6 percent for the 12 months ended February 2011, the largest 12-month increase since a 5.9-percent rise in March 2010. Prices for finished energy goods climbed 3.3 percent in February, the fifth straight monthly increase. Accounting for over forty percent of the February advance, prices for gasoline rose 3.7 percent. Also contributing to higher prices for finished energy goods were increases in the indexes
for home heating oil and residential electric power. The index for finished consumer foods surged 3.9 percent in February, the largest increase since a 4.2-percent climb in November 1974. About seventy percent of the February rise can be traced to higher prices for fresh and dry vegetables, which jumped 48.7 percent. Advances in the indexes
for meats and dairy products also were major factors in the increase in the finished consumer foods index.

At the other end of the price spectrum, the BLS reported the Producer Price Index for the net output of total traditional service industries moved down 0.2 percent in February, subsequent to a 0.7-percent advance a month earlier. Leading the February decline, prices received by the commercial banking industry fell 4.8 percent. Lower prices received by general medical and surgical hospitals and by wired telecommunications carriers also contributed to the February decrease in the total traditional service industries index. Full text of BLS press release, click here. 03/16/2011

S. CAROLINA COMPANY RECALLS 10,260 POUNDS OF FROZEN SPAGHETTI DINNERS FOR FOREIGN MATERIALS

More from the Emeritus Newsroom- The US Department of Agriculture today announced Nestle Prepared Foods Company, Gaffney, S.C., is recalling approximately 10,260 pounds of frozen spaghetti and meatball entrees that may contain foreign materials.

The products subject to recall include: [View Label]

  • 9.5-oz. packages of �Lean Cuisine Simple Favorites, Spaghetti with Meatballs.

The packages bear the establishment number , P-7991, and the case code, 0298595519P, and a best before date of November, 2011 printed on the side of the package, underneath the ingredient listing. The spaghetti and meatball products were packaged on Oct. 25, 2010, and shipped to distributors and retail stores east of the Rocky Mountains.

The problem was discovered after the company received complaints from consumers in Minn., S.D. and Wisc., upon finding hard plastic in the product. FSIS has not received any reports of injury at this time. Anyone concerned about an injury from consumption of this product should contact a healthcare professional.

Full text of USDA press release, click here. 03/15/2011

TSA TO RELEASE RESULTS OF RADIATION TESTING AT AIRPORT SCREENINGS

More in this article from Aviation News Net, click here- Direct link to TSA reports site, click here. 03/14/2011

OBAMA WARNS HE WILL TAP NATION'S RESERVES TO STABILIZE OIL PRICES / WARNS CONVERSION TO ALTERNATIVE ENERGY CRITICAL TO COUNTRY'S RECOVERY

More from the Emeritus Newsroom- During a news conference this morning, President Obama said he is willing to use the nation's oil reserves to fight off speculation in the market, which has caused oil prices to increase. The President underscored that the US must continue its conversion to alternative fuels to be less vulnerable to wild price swings which appears to have a disconnect with real demand. Notable for the last two days in that oil prices have ducked below $100 dollars a barrel after spending months above that price. The potential for a slowing recovery due to high oil prices has also injected fear in other commodity markets related to stock and services which depend on transportation, such as airlines and food distribution. Obama stressed the administration will move forward with investments in green technology to eventually separate the country from the political and financial instability linked to the need for oil. Obama also pressed the point that the U-S oil production in the Gulf of Mexico has reached a record, but repeated a saying from oil magnate T. Boone Pickens that, "We can't drill ourselves out" of the crisis. Gas prices have risen nationwide for the last 17 days, with the national average price up 37 cents to $3.542 per gallon today, according to AAA. The U.S. Energy Information Administration said Wednesday that it now expects the average price for a gallon of regular gas to average $3.56 this year. That is about 77 cents more than the average cost in 2010, and 40 cents more than the previous forecast. Based on current market prices, the EIA said there is a 25% probability that retail gas prices will spike above $4 a gallon this summer. During peak driving season, from April through September, the EIA expects gas prices will average $3.70 a gallon.

Market analysts also say the fastest growing economies, such as China, which last year displaced Japan as the second largest economy, is facing an inflation rate of 4.6%, fueled in part, by rising oil prices. But some Chinese officials fear any attempt to tighten the money supply there would provide a double attack on their economic recovery. China's situation has also fueled fears on Wall Street since a reduction in orders from China would also dampen the recovery in the U-S. The U-S Commerce Department reported today that consumer confidence wa the lowest point in five months due to quickly rising oil prices. YouTube video ( 48 Minutes) of news conference below. 03/11/2011

 

POTENTIAL FOR SALMONELLA IN LATEST SKIPPY PEANUT BUTTER RECALL / UNRELATED RECALL FOR DEFRANCO NUTS

More from the Emeritus Newsroom- Makers of Skippy peanut butter, fearing some of its product may be tainted, has recalls SOME of the product with certain ID numbers. According to the Company, the product is in 16.3-ounce plastic jars of Skippy Reduced Fat Creamy Peanut Butter Spread and Skippy Reduced Fat Super Chunk Peanut Butter Spread, which may be contaminated with salmonella. The organism can cause fever and abdominal problems in healthy people and serious and even fatal infections in the young, old and frail. The jars were sent to stores in in Arkansas, Connecticut, Delaware, Illinois, Iowa, Maine, Minnesota, Missouri, Nebraska, New Hampshire, New Jersey, New York, North Dakota, Pennsylvania, Virginia and Wisconsin. The affected jars have UPC numbers 048001006812 and 048001006782 and have "best if used by" dates of MAY1612LR1, MAY1712LR1, MAY1812LR1, MAY1912LR1, MAY2012LR1, and MAY2112LR1. Details: by phone at 800-453-3432.

In another peanut product recall, bulk and packaged hazelnut and mixed-nut products containing hazelnuts from DeFranco and Sons of Los Angeles that may be contaminated with E. coli bacteria. The nut products have been linked to seven illnesses in Michigan, Minnesota and Wisconsin, though the company says that so far no E. coli has been found in the nuts. The nuts were distributed nationwide and in Canada from Nov. 2 to Dec. 22, 2010.

Skippy recall press release, click here. DeFranco nut recall, click here. 03/06/2011

CHRYSLER RECALLS 250,000 MINIVANS FOR STALLING / MAZDA RECALLS 50,000 CARS DUE TO SPIDER WEBS

More from the Emeritus Newsroom- Customer reports of engine stalling have prompted Chrysler to recall more than 250,000 minivans for repairs. According the the National Highway Traffic Safety Administration, Chrysler is recalling 2010 DODGE JOURNEY, GRAND CARAVAN, AND CHRYSLER TOWN & COUNTRY, which were manufactured from August 3, 2009 to June 17th, 2010. Some of the vehicles have unexpected engine stalls due to ignition key displacement or malfunction. Full text of NHTSA announcement, click here and scroll down to announcement.

In what can only be described as among the most bizarre recalls in recent memory, Mazda is recalling about 52,000 of its 2009-2010, 6 series cars, that were made between April 8th of 2008 and February 8th of 2010 due to spider infestations which may occur in a fuel vent system. This may cause the vent system to be blocked to the point the gas tank could crack and cause a fire. Owners can contact dealers after March 25 to have the problem corrected free. . Full text of NHTSA announcement, click here and scroll down to announcement. 03/03/2011

TOYOTA ADDS ANOTHER 2.17 MILLION VEHICLES TO FLOOR MAT & CARPETING RECALL

More from the Emeritus Newsroom- Toyota issued another recall today. This one, involving more than 2.17 million of their vehicles, for floor mats and carpeting, which could interfere with accelerator pedals. The company has now recalled a total of more than 14 million vehicles since 2009 due to sudden acceleration complaints. The Department of Transportation has already ruled out electronic problems as the cause. Today's recall involves:

2006 and early 2007 Model Year GS 300 and GS 350 All-Wheel Drive vehicles to modify the shape of the plastic pad embedded in the driver’s side floor carpet.  In the event that the floor carpet around the accelerator pedal is not properly replaced in the correct position after a service operation, there is a possibility that the plastic pad embedded into the floor carpet may interfere with the operation of the accelerator pedal.  If this occurs, the accelerator pedal may become temporarily stuck in a partially depressed position rather than returning to the idle position.  Owners of the involved GS 300 and GS 350 All-Wheel Drive vehicles will receive a notification by first class mail beginning in early March 2011.  

2004 through 2006 and early 2007 RX 330, RX 350, and RX 400h vehicles, and approximately 397,000 2004 through 2006 Highlander and Highlander HV vehicles to replace the driver’s side floor carpet cover and its two retention clips.  If the forward retention clip used to secure the floor carpet cover, which is located in front of the center console, is not installed properly, the cover may lean toward the accelerator pedal and interfere with the accelerator pedal arm.  If this occurs, the accelerator pedal may become temporarily stuck in a partially depressed position rather than returning to the idle position.  Owners of the involved RX and Highlander vehicles will receive an interim notification by first class mail beginning in the near future, explaining how to inspect for this condition or that they may contact their local dealer to perform the inspection. Owners will receive a second notification once the replacement covers are available. 

Separately, Toyota has amended its recall from November 2009, adding three models to address the potential for unsecured or incompatible floor mat entrapment of the accelerator pedal.  The models added include:  • Approximately

2003 through 2009 4Runner
• Approximately 17,000 2008 through 2011 Lexus LX 570; and
• Approximately 761,000 2006 through 2010 RAV4  Owners of the involved 4Runner, LX 570, and RAV4 vehicles will receive an interim notification by first class mail beginning in the near future, informing them of the condition.  Owners will receive a second notification once the recall preparations are complete. Toyota and Lexus dealers will implement the newly announced and amended recall remedies at no charge to the vehicle owners.  

Full text of Toyota press release, click here. 02/24/2011

FEDS SAY RUNAWAY TOYOTA PROBLEM NOT ELECTRONIC / FINDINGS FROM TEN MONTH PROBE

More from the Emeritus Newsroom - A congressional requested study of accelerator problems with vehicles made by Toyota Motors has produced no evidence of systematic electronic problems as was first feared. According to the Department of Transportation, NASA engineers with expertise in areas such as computer controlled electronic systems, electromagnetic interference and software integrity conducted new research into whether electronic systems or electromagnetic interference played a role in incidents of unintended acceleration.

NASA engineers found no electronic flaws in Toyota vehicles capable of producing the large throttle openings required to create dangerous high-speed unintended acceleration incidents. The two mechanical safety defects identified by NHTSA more than a year ago – “sticking” accelerator pedals and a design flaw that enabled accelerator pedals to become trapped by floor mats – remain the only known causes for these kinds of unsafe unintended acceleration incidents. Toyota has recalled nearly 8 million vehicles in the United States for these two defects.

U.S. Transportation Secretary Ray LaHood said, “We enlisted the best and brightest engineers to study Toyota’s electronics systems, and the verdict is in. There is no electronic-based cause for unintended high-speed acceleration in Toyotas.”

In conducting their report, NASA engineers evaluated the electronic circuitry in Toyota vehicles and analyzed more than 280,000 lines of software code for any potential flaws that could initiate an unintended acceleration incident. At the Goddard Space Flight Center in Maryland, NASA hardware and systems engineers rigorously examined and tested mechanical components of Toyota vehicles that could result in an unwanted throttle opening. At a special facility in Michigan, NHTSA and NASA engineers bombarded vehicles with electromagnetic radiation to study whether such radiation could cause malfunctions resulting in unintended acceleration. NHTSA engineers and researchers also tested Toyota vehicles at NHTSA’s Vehicle Research and Test Center in East Liberty, Ohio to determine whether there were any additional mechanical causes for unintended acceleration and whether any of the test scenarios developed during the NHTSA-NASA investigation could actually occur in real-world conditions.

“NASA found no evidence that a malfunction in electronics caused large unintended accelerations,” said Michael Kirsch, Principal Engineer at the NASA Engineering and Safety Center (NESC).

While NASA and NHTSA have identified no electronic cause of dangerous unintended acceleration incidents in Toyota vehicles or any new mechanical causes beyond sticking pedals and accelerator pedal entrapment, NHTSA is considering taking several new actions as the result of today’s findings, including:

  • Propose rules, by the end of 2011, to require brake override systems, to standardize operation of keyless ignition systems, and to require the installation of event data recorders in all passenger vehicles; 
  • Begin broad research on the reliability and security of electronic control systems

 According to DOT, research the placement and design of accelerator and brake pedals, as well as driver usage of pedals, to determine whether design and placement can be improved to reduce pedal misapplication.

NHTSA and NASA will also brief the National Academy of Sciences panel currently conducting a broad review of unintended acceleration and electronic throttle control systems on the reports released today.

DOT press release on Toyota study, click here. 02/08/2011

TOYOTA ORDERS ANOTHER MAJOR RECALL

More from the Emeritus Newsroom- Toyota says it is recalling more than 1.5 million Lexus vehicles for fuel pipe and sensor system problems. The company says it involves two separate recalls. The first, involving approximately 245,000 2006 through 2007 Lexus GS300/350, 2006 through early 2009 Lexus IS250, and 2006 through early 2008 Lexus IS350 vehicles sold in the U.S. to inspect the fuel pressure sensor installation. Due to insufficient tightening of the fuel pressure sensor connected to certain engine fuel delivery pipes (those with Nickel Phosphorus plating), there is a possibility that the pressure sensor could loosen over time.  If loosening occurs, fuel could leak past a gasket used in the connection between the sensor and the delivery pipe and through the threaded portion of the sensor. Lexus dealers will inspect the vehicle for fuel leakage and if no leakage is found, will tighten the fuel pressure sensor with the proper torque.  If a fuel leak is confirmed, the gasket between the sensor and the delivery pipe will be replaced and the sensor will be tightened with the proper torque.  The inspection and possible gasket replacement will be conducted at no charge to the vehicle owner. Owners of the involved vehicles will receive a safety recall notification by first class mail once the parts that may be needed have been obtained. Lexus will also post this information on its website.  Detailed information about this recall is available through Lexus Customer Satisfaction at 1-800-25 LEXUS or 1-800-255-3987 or at www.lexus.com/recall.

Toyota Motor Corporation (TMC) today announced a separate recall involving 1.3 million vehicles worldwide to remedy a different condition on a different fuel delivery pipe and a high pressure fuel pump check valve.  TMC’s recall announcement does not involve vehicles sold in North America. Full text of Toyota press release, click here. 01/26/2011

FOOD INDUSTRY MOUNTS AGGRESSIVE CAMPAIGN TO HEAD OFF FDA LABELING RULES / ALSO PUSHES TV ADS TO PREVENT MORE TAXES ON FOOD

More from the Emeritus Newsroom- Food manufacturers and retailers unveiled a two front attack against federal government regulations and taxes. First, the Grocery Manufacturers Association revealed a front label nutrition proposal, in an event to head off more restrictive FDA labeling. And the Americans Against Food Taxes, supported largely by food makers and retailers, mounted a television campaign to stop the government from "telling us what to eat" and stop taxing food. The AAFT has been running the ads on cable news outlets and other channels (See You Tube playback below). Various state and federal government proposals have targeted foods high in fat and other ingredients for higher taxes, in order to close budget gaps. This would likely bring additional taxes on items such as snack food and beverages. The Grocers Manufacturers Association this week revealed a proposal to provide nutritional information on the front of products, but critics argue it's only a ruse to promote nutritional aspects of foods whose ingredients present dubious or no health benefits. Press release from GMA with proposed labels and text, click here. 01/25/2011

 

EPA APPROVES 15% ETHANOL BLENDS FOR SOME CARS AND TRUCKS MADE 2001-2006

More from the Emeritus Newsroom- The Environmental Protection Agency has approved the use of gasolines blended with 15% ethanol in cars and light duty trucks made from 2001-2006. The EPA had already approved the use of so called, "Flex Fuel", or "E85" in the same vehicles made sine 2007.

The EPA decision effectively waives a limitation on selling gasoline that contains more than 10 percent ethanol for model year (MY) 2001 through 2006 passenger vehicles, including cars, SUVs, and light pickup trucks. The waiver applies to fuel that contains up to 15 percent ethanol – known as E15. EPA Administrator Lisa P. Jackson made the decision after a review of the Department of Energy’s thorough testing and other available data on E15’s effect on emissions from MY 2001 through 2006 cars and light trucks.

“Recently completed testing and data analysis show that E15 does not harm emissions control equipment in newer cars and light trucks,” said EPA Administrator Lisa P. Jackson. “Wherever sound science and the law support steps to allow more home-grown fuels in America’s vehicles, this administration takes those steps.”

On October 13, 2010, EPA approved a waiver allowing the use of E15 for MY 2007 and newer cars and light trucks. At that time, EPA denied a request to allow the use of E15 for MY 2000 and older vehicles and postponed its decision on the use of E15 in MY 2001 to 2006 cars and light trucks until DOE completed additional testing for those model years.

The Agency also announced that no waiver is being granted this year for E15 use in any motorcycles, heavy-duty vehicles, or non-road engines because current testing data does not support such a waiver. Full text of EPA press release, click here. 01/22/2011

NEW JERSEY FIRM EXPANDS RECALL TO UNDETERMINED AMOUNT OF ADULTERATED BURGERS

More from the Emeritus Newsroom- A recall of more than 226,000 pounds of hamburgers has been expanded to include more, yet to total amount has not been determined. The original recall on January 10th detailed possible adulteration of Winn-Dixie beef patties from New Jersey based One Great Burger. Now the USDA says its FSIS (Food Safety and Inspection Service) became aware of additional consumer complaints of discoloration and off-odors in the products. FSIS has determined that this ground beef is also adulterated and should not be consumed. There have been no reports of illnesses associated with consumption of these products. Individuals concerned about an illness should contact a physician.

The following products are additionally subject to recall:

  • 4 lbs. boxes of "Winn Dixie beef patty 100% BEEF." Each box contains 16 frozen patties weighing ¼ lb. each. [View Label (PDF Only)]

Each box bears establishment number "EST. 34575" within the USDA mark of inspection. The products have "Sell by" dates of "01/01/11" through "02/27/11" printed on the bottom of each box, followed by the lot code "204110." Similar products with later "Sell by" dates are not subject to this recall. The products were produced between April 2010 and May 2010 and were distributed to grocery stores in Alabama, Florida, Georgia, Louisiana, and Mississippi. While the products listed above have been unavailable for purchase since May 2010, consumers who may have purchased them are urged to remove them from their freezers and discard them.

Full text of USDA press release, click here. 01/15/2011

TREASURY DEPARTMENT ANNOUNCES DEBIT AND PAYROLL CARDS FOR LOW AND MIDDLE INCOME TAX REFUNDS

More in this press release from the National Consumer Law Center, click here. Treasury Department press release, click here. 01/15/2011

MEAT PROCESSOR RECALLS 226,000 POUNDS OF BURGERS

More from the Emeritus Newsroom- The United State Department of Agriculture today announced, One Great Burger, an Elizabeth, N.J., establishment, is recalling approximately 226,400 pounds of ground beef products that may have become spoiled.

USDA says the problem was discovered by the the USDA's Food Safety and Inspection Service during an investigation into customer complaints of discoloration and off-odors in the products. The review uncovered evidence to show that the establishment repackaged and recoded returned products and sent them out for further distribution to institutional customers. Therefore, FSIS must consider the products to be adulterated and has acted to remove the products from commerce. FSIS is continuing to investigate the product subject to recall in commerce. FSIS has received no reports of illnesses associated with consumption of these products. Individuals concerned about an illness should contact a physician.

The following products are subject to recall: [View Labels (PDF Only)]

  • 20 lbs. boxes of "ONEGREAT HAMBURGERS" with "ITEM #02044" labeled on the front as well as "KEEP FROZEN."
  • Each box bears establishment number "EST. 34575" within the USDA mark of inspection. The products were produced between Jan. 2010 and May 2010 and contain "PACKED ON" dates ranging from July 2010 to Nov. 2010. The products were distributed to institutions in California and Oregon. Full text of USDA press release, click here. 01/11/2011

 

UNITED NATIONS AND AMERICAN FARM BUREAU SHOW DOUBLE DIGIT FOOD PRICE INCREASES / MORE TO COME IN 2011 /FARMERS CONTINUE TO GET LESS

More from the Emeritus Newsroom- Reports released by the United Nations and the American Farm Bureau reveal a costlier 2011 for food buyers worldwide, especially in third world and developing countries. According to the U-S Farm Bureau market basket report, The total average price for the regularly surveyed 16 items was up $4.07 (about 10 percent) in the fourth quarter of 2010, compared to a year earlier. Bacon, eggs, whole milk, sliced deli ham and bread increased the most in dollar value compared to the third quarter. Six foods decreased slightly in price compared to the prior quarter: boneless chicken breasts, down 34 cents to $3.10 per pound; flour, down 16 cents to $1.99 for a 5-pound bag; Russet potatoes, down 13 cents to $2.50 for a 5-pound bag; ground chuck, down 10 cents to $2.83 per pound; and bagged salad, down 6 cents to $2.69 per pound. Orange juice remained the same in price at $2.97 for a half-gallon.

A report issued by the United Nations Food Agency (FAO) projects a steep climb in food prices for 2011, making for even tougher conditions in countries already short of food. The FAO says food prices hit a record high last month, moving beyond levels of 2008 when riots broke out in countries as far afield as Egypt, Cameroon and Haiti. World Bank President Robert Zoellick urged governments in a newspaper opinion column to avoid protectionist measures as food prices rose and called upon the Group of 20 leading economies to take steps to make sure the poor get adequate food supply. The fear is that food shortages will lead to further destabilization for third world and other developing countries, including China. The UN claims that most experts expect upwards price pressure to continue, particularly if countries slap on export bans and further squeeze supply and short-term investors again begin buying into agricultural commodities as they did in 2008.Last year, wheat futures prices rose 47 percent, buoyed by a series of weather events including drought in Russia and its Black Sea neighbors. U.S. corn rose more than 50 percent and U.S. soybeans jumped 34 percent. Alongside bad weather in Australia, Europe, North America and Argentina, rising Asian demand is at the heart of the spike. China, for example, is expected to buy 60 percent of globally traded soybeans in 2011/12, double its purchase of four years ago.

“In the mid-1970s, farmers received about one-third of consumer retail food expenditures for food eaten at home and away from home, on average. Since then, that figure has decreased steadily and is now just over 20 percent, according to Agriculture Department statistics,” said AFB's Economist John Anderson. .

Using the “food at home and away from home” percentage across-the-board, the farmer’s share of this quarter’s $46.97 marketbasket would be $9.39.

According to USDA, Americans spend just under 10 percent of their disposable annual income on food, the lowest average of any country in the world. A total of 92 shoppers in 29 states participated in the latest survey, conducted in late October/early November.

Full text of American Farm Bureau 4th Qtr. price report, click here. United Nations report on world food prices for 2011, click here. 01/06/2011

OBAMA SIGNS NEW FOOD SAFETY LAW PASSED IN LAME DUCK CONGRESS / WHAT IT MEANS TO CONSUMERS

More from the Emeritus Newsroom- The new Food Safety Modernization Act, passed in the lame duck congress at the end of the year, was signed Tuesday by President Obama. The act forces processors of all types of food to evaluate the hazards in their operations, implement and monitor effective measures to prevent contamination, and have a plan in place to take any corrective actions that are necessary.  Also, FDA will have much more effective enforcement tools for ensuring those plans are adequate and properly implemented, including mandatory recall authority when needed to swiftly remove contaminated food from the market. According to a statement from the White House, the act establishes science-based standards for the safe production and harvesting of fruits and vegetables to minimize the risk of serious illnesses or death, and we will set standards for the safe transportation of food. 

The act provides $1.4 billion dollars to bolster staffing of food inspections as well as update equipment being used to test food. Full text of FDA press release on the Food Safety Modernization Act, click here. White House statement on President's signing of new act, click here. 01/04/2011

INSPECTOR GENERAL PROBES ROLL OF FORMER INTERIOR SECRETARY IN SHELL OIL FEDERAL LAND LEASE FAVORS

More from the Emeritus Newsroom- An Inspector General probe into preference given Royal Dutch Shell Oil for oil drilling on federal land has expanded to the role former Interior Secretary Gale Norton may have had. Norton became employed by Shell after leaving her job with the Interior Department. In a report prepared for current Interior Secretary Ken Salazar, the inspector general report states,

"We found that Norton was very interested in the RDD program during her tenure as Secretary, but we did not find evidence to conclusively determine that Norton violated conflict of- interest laws, either pre- or post-employment with Shell. We discovered that BLM appeared to give preferential treatment to Shell in two specific issues regarding these leases. We found that two of Shell's bid proposals included acreage amounts in excess of the allowable amount specified in the Federal Register notice, and that someone in BLM changed the amount to comply with the requirements. BLM did not disqualify Shell's bids. We also found that Shell submitted three bids, while other prospective bidders were
allowed to submit only one bid. Shell was awarded leases on all three bids. No other company received more than one lease. We did not find evidence that Shell committed any criminal violation, but we did discover that someone in BLM provided Shell with information, which allowed Shell to submit a complete bid document on the same day that the Federal Register notice soliciting applications for leases was published. The next bid that BLM received came in 82 days later.

The report also listed 12 meetings or briefings that Norton was involved with related to Shell leases of federal land, but investigators found no evidence where Norton's actions directly influenced Shell's preferential treatment. Full text of IG report, click here. 01/04/2011

INSURANCE INSTITUTE SAYS AUTOMAKERS IMPROVING SAFETY

More from the Emeritus Newsroom- For the model year 2011, the Insurance Institute says there are now more than 60 models of cars and SUV's that earned the honor of "Top Picks" for safety. That's up from 27 last year. The Institute says that's because automakers are acting quickly to fix weak spots in design and production.

The group released their latest list of automotive safety ratings and some of the previous worst performer are among the best. For example, the Hyundai Tucson and Kia Sportage were rated "Poor" in 2009 because of weak roofs. The companies responded and the two are now "Top Picks". Chrysler has also made big strides in product safety over the last two years, according to the Insurance Institute.

To determine crash worthiness — how well a vehicle protects its occupants in a crash — the Institute rates vehicles good, acceptable, marginal, or poor based on performance in high-speed front and side crash tests, a rollover test, plus evaluations of seat/head restraints for protection against neck injuries in rear impacts. To earn Top Safety Pick for 2011 a vehicle must have good ratings in all four Institute tests. In addition, the winning vehicles must offer electronic stability control. See past winners. Click on specific models below for model performance details.

LARGE CARS

Buick LaCrosse

Buick Regal

BMW 5 series
(except 4-wheel drive and V8)

Cadillac CTS sedan

Ford Taurus

Hyundai Genesis

Infiniti M37/M56
(except M56x 4-wheel drive)

Lincoln MKS

Mercedes E class coupe

Mercedes E class sedan

Toyota Avalon

Volvo S80

 

SMALL CARS

Chevrolet Cruze

Honda Civic
4-door models (except Si)
with optional ESC

Kia Forte sedan

Kia Soul

Mitsubishi Lancer sedan
(except 4-wheel drive)

Nissan Cube

Scion tC

Scion xB

Subaru Impreza
(except WRX):
sedan | wagon

Toyota Corolla

Volkswagen Golf
4-door models

Volkswagen GTI
4-door models

MINICARS

Ford Fiesta
built after July 2010:
sedan | hatchback

 

MIDSIZE CARS

Audi A3

Audi A4 sedan

Chevrolet Malibu

Chrysler 200
4-door models

Dodge Avenger

Ford Fusion

Hyundai Sonata

Kia Optima

Lincoln MKZ

Mercedes C class

Subaru Legacy

Subaru Outback

Volkswagen Jetta sedan

Volkswagen Jetta SportWagen

Volvo C30

 

MINIVAN

Toyota Sienna

 

LARGE SUV

Volkswagen Touareg

MIDSIZE SUVs

Audi Q5

Cadillac SRX

Chevrolet Equinox

Dodge Journey

Ford Explorer

Ford Flex

GMC Terrain

Hyundai Santa Fe

Jeep Grand Cherokee

Kia Sorento
built after March 2010

Lexus RX

Lincoln MKT

Mercedes GLK

Subaru Tribeca

Toyota Highlander

Toyota Venza

Volvo XC60

Volvo XC90

 

SMALL SUVs

Honda Element

Hyundai Tucson

Jeep Patriot
with optional side torso airbags

Kia Sportage

Subaru Forester

Volkswagen Tiguan


More on specific vehicle ratings from the Insurance Institute, click here. 12/22/2010

FOOD SAFETY BILL PASSES THE HOUSE / PASSED SENATE EARLIER / PRESIDENT WILL SIGN

More from the Emeritus Newsroom- By a vote of 215-144, the House today passed the beleaguered food safety bill, which had to be passed by the Senate twice due to language issues. with the House approval today, the FDA Food Safety Modernization Act now goes to President Obama for his signature. Obama has already promised to sign it.

Even after it is signed, the FDA has a tough road ahead paying for the extra food inspectors called for in the bill. More in this must read article from the LA Times, click here. 12/21/2010

TOYOTA AGREES TO $32.4 MILLION MORE IN FINES FOR RECALL MESS

More from the Emeritus Newsroom- The fallout continues for Toyota Motors as it agrees to pay additional fines for failing to comply with the requirements of the National Traffic and Motor Vehicle Safety Act for reporting safety defects. According to the DOT, Toyota Motor Corporation has agreed to pay an additional $32.425 million in civil penalties as the result of two separate investigations into the automaker's handling of auto recalls. Toyota will pay the maximum fines allowable under the law - $16.375 million in one case and $16.050 million in the other.

The first investigation completed today resulted in a $16.375 million fine and involved Toyota’s recall of nearly five million vehicles with accelerator pedals that can become entrapped by floor mats. As its initial remedy, Toyota recalled 55,000 all-weather floor mats on September 26, 2007. In August 2009, a fatal crash in Santee, California occurred as the result of pedal entrapment in a loaner Lexus equipped with an all-weather floor mat intended for another Lexus model. After the fatal crash, NHTSA reviewed crash evidence and other data, and found that removing floor mats was insufficient and that there was a need to redesign the accelerator pedal. At NHTSA's urging, Toyota then conducted a recall for 3.8 million Toyota and Lexus vehicles for floor mat entrapment on October 5, 2009. The October recall was expanded on January 27, 2010, to include another 1.1 million vehicles.

In February 2010, NHTSA launched an investigation to determine when Toyota first learned of the pedal entrapment defect and whether the company notified NHTSA in a timely manner. Federal law requires all auto manufacturers to notify NHTSA within five business days of determining that a safety defect exists and to promptly conduct a recall. NHTSA's investigation led the agency to believe that Toyota had not fulfilled its obligation to report a known safety defect within five days, as is required under the law.

The defects involving pedal entrapment by floor mats and "sticking" accelerator pedals are currently the only two known causes of unintended acceleration in Toyota vehicles, although NHTSA continues to explore other possible causes. The agency has enlisted the expertise of researchers and engineers from the prestigious National Academy of Sciences and NASA for a pair of studies that seek to get to the bottom of unintended acceleration.

The second investigation completed today resulted in a $16.050 million fine. In that case, NHTSA investigated whether Toyota properly notified the agency of a safety defect in several Toyota models that could result in the loss of steering control. In 2004, Toyota conducted a recall in Japan for Hilux trucks with steering relay rods prone to fatigue cracking and breaking, causing the vehicle to lose steering control. At that time, Toyota informed NHTSA that the safety defect was isolated to vehicles in Japan and that the company had not received similar field information within the United States. In 2005, however, Toyota informed NHTSA that the steering relay rod defect was present in several models sold in the U.S. and conducted a recall for nearly one million vehicles. Then, in May 2010, NHTSA was alerted to additional information, including complaints from U.S. consumers, that Toyota had not disclosed when Toyota initially notified NHTSA that a U.S. recall was unnecessary.

Full text of DOT press release on Toyota fines, click here. 12/21/2010

FCC SETS RULES TO PRESERVE INTERNET NEUTRALITY / COMMISSION TARGETS PROVIDERS FAVORING CERTAIN INTERNET SITES

More from the Emeritus Newsroom- Another clear shot was fired today by the Federal Communications Commission toward internet providers to protect, what is the sacred cow of internet service, "internet neutrality".

The FCC announced new rules covering practices of internet providers. In a statement issued before the meeting, FCC Commissioner Mignon Clyburn stated,

“The open Internet is a crucial American marketplace, and I believe that it is appropriate for the FCC to safeguard it by adopting an Order that will establish clear rules to protect consumers’ access.  The Commission has worked tirelessly to offer a set of guidelines that, while not as strong as they could be, will nonetheless protect consumers as they explore, learn, and innovate online.  As such, I plan to vote to approve in part and concur in part the Open Internet Order during the FCC’s open meeting tomorrow.

“I appreciate the hard work of my colleagues, and I am especially grateful for the commitment and dedication of Commissioner Copps, who has worked many years on behalf of consumers to ensure an open Internet.  I also want to thank the many stakeholders who have worked diligently on these issues and took the time to call, write, and visit me to convey their concerns.  I am also grateful to Chairman Genachowski, his staff, and the many others at the Commission who worked around-the-clock on this proceeding.

“As a Commissioner whose task is to safeguard consumers and the public interest, I will continue to watch the growth of the Internet and will applaud industry advances and milestones.  I will also seek out and facilitate any collaboration between myself, my colleagues, corporate stakeholders, and public interest representatives, as there can be no better path forward than that which is achieved through consensus.”

Later in the day the FCC commissioners voted 3-2 to adopt the rules. Some opponents, including Texas Senator Kay Bailey Hutchinson vowed to overturn the commission's decision they consider to be over reaching.

According to the the trade publication, TV NewsCheck, the new rules,

"Prohibit phone and cable companies from favoring or discriminating against Internet content and services, such as those from rivals.The rules require broadband providers to let subscribers access all legal online content, applications and services over their wired networks - including online calling services, Internet video and other Web applications that compete with their core businesses. But the rules give broadband providers flexibility to manage data on their systems to deal with problems such as network congestion and unwanted traffic including spam as long as they publicly disclose their network management practices.The regulations prohibit unreasonable network discrimination - a category that FCC officials say would most likely include services that favor traffic from the broadband providers themselves or traffic from business partners that can pay for priority. The rules do, however, leave the door open for broadband providers to experiment with routing traffic from specialized services such as smart grids and home security systems over dedicated networks as long as these services are separate from the public Internet.In addition, the regulations prohibit wireless carriers from blocking access to any websites or competing applications such as Internet calling services on mobile devices, and require them to disclose their network management practices, too. But the rules give wireless companies would get more leeway to manage data traffic because wireless systems have more bandwidth constraints than wired networks".

TV Newscheck also reported that Genachowski believes the rules will prohibit broadband providers from abusing their control over the on-ramps that consumers use to get onto the Internet. He said the companies won't be able to determine where their customers can go and what they can do online. Full text of excellent article on the rules from TV NewsCheck report, click here.

The first salvo, over net neutrality, was fired by former FCC Commissioner Kevin Martin against Comcast for limiting customers to less bandwidth than promised. That 2008 controversy was prompted by bulk file sharing applications, such as "BiTorrent". Comcast and other providers claimed, limiting what are privately called in the industry as , "bandwidth hogs", was the only way to fairly manage internet bandwidth service for everyone. But, the commission, at the time, saw Comcast and others as, "rebels without a cause", believing, if providers could subjectively apply when customers were able to use their promised amount of bandwidth, they could give favorable treatment to some, while allowing more for customers considered more profitable to serve. Former Commissioner Martin then spearheaded charges against Comcast that it had "significantly impeded consumers" ability to use file sharing applications and bandwidth promised by the company, and imposed new rules against arbitrary bandwidth limits.

However, a federal appeals court in Washington ruled in April 2010 , that the FCC did not have the authority to stop internet service providers, such as Comcast, from interfering with its customers' file sharing. It was a win for Comcast, which had filed the appeal. At that point, the commission decided to develope specific rules in order to support their authority over the issue. 12/21/2010

MORE THAN 600,000 VEHICLES RECALLED BY CHRYSLER AND V-W

More from the Emeritus Newsroom- Chrysler and Volkswagen have informed the National Highway Traffic Safety Administration they are recalling hundreds of thousands of vehicles.

In Chrysler's case, the recall involves more than 367,000 minivans. Specifically, the 2008 model Chrysler Town and Country and the Dodge Grand Caravan.

Chrysler reports:

     THESE VEHICLES MAY EXPERIENCE A WATER LEAK AT THE HEATING AND AIR CONDITIONER (HVAC) DRAIN GROMMET WHICH CAN LEAD TO ILLUMINATION OF AIRBAG WARNING LIGHT AND A POTENTIAL INADVERTENT AIRBAG DEPLOYMENT.
AN INADVERTENT AIRBAG DEPLOYMENT COULD RESULT IN INJURY TO THE SEAT OCCUPANT IN FRONT OF THE DEPLOYING AIRBAG AND/OR A VEHICLE CRASH. Remedy:
 DEALERS WILL REPLACE THE HVAC DRAIN GROMMET FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN DURING FEBRUARY 2010. OWNERS MAY CONTACT CHRYSLER AT 1-800-853-1403.

For Volkswagen, the recall involves more than 228,000 vehicles:

VOLKSWAGEN / GOLF     2007-2009
VOLKSWAGEN / JETTA     2007-2009
VOLKSWAGEN / JETTA SPORTWAGEN     2007-2009
VOLKSWAGEN / NEW BEETLE     2006-2010
VOLKSWAGEN / RABBIT     2007-2009

The NHTSA notice claims:

VEHICLES MAY HAVE A SMALL PLASTIC TAB LOCATED ON THE WINDSHIELD WASHER FLUID RESERVOIR THAT MAY CHAFE AGAINST AN UNDERHOOD FUEL SUPPLY LINE. THE NEW BEETLE AND THE NEW BEETLE CONVERTIBLE VEHICLES MAY HAVE A FASTENING CLAMP ON A HYDRAULIC HOSE OF THE POWER STEERING SYSTEM THAT MAY BE LOCATED IN AN IMPROPER POSITION WHICH COULD CAUSE CHAFING AGAINST AN UNDERHOOD FUEL SUPPLY LINE. Consequence:
 IF CHAFING OCCURS, THERE IS THE POTENTIAL FOR A FUEL LEAK TO DEVELOP. FUEL LEAKAGE, IN THE PRESENCE OF AN IGNITION SOURCE, COULD RESULT IN A FIRE
 DEPENDING ON THE VEHICLE MODEL, DEALERS WILL EITHER REMOVE THE PLASTIC TAB FROM THE WINDSHIELD WASHER FLUID RESERVOIR, OR INSPECT THE POSITION OF THE FASTENING CLAMP AND ADJUST THE RELATED FASTENING CLAMP INTO THE CORRECT POSITION. THIS SERVICE WILL BE PERFORMED FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN ON OR BEFORE JANUARY 31, 2011. OWNERS MAY CONTACT VOLKSWAGEN AT 1-800-822-8987.

NHTSA notices on Chrysler and Volkswagen, click here, then scroll to December 7, 2010 for Chrysler, scroll to December 14, 2010, for the Volkswagen announcement. 12/15/2010

DESPITE RISE IN PRODUCTIVITY, AMERICAN WORKERS WAGES CONTINUE TO LOSE GROUND

More from the Emeritus Newsroom- American businesses continue to increase the output of those employees they have. However, this has proven to have little affect on their purchasing power and general economic fortunes. the index most closely related to the financial fortunes of middle America continues its lackluster to losing trend. The Bureau of Labor Statistics says real earnings fell 0.1 percent from October to November, seasonally adjusted. This decrease stems from a 0.1 percent increase in the Consumer Price Index for All Urban Consumers (CPI-U), while average hourly earnings remained unchanged. Real average weekly earnings fell 0.1 percent over the month, as the average workweek remained
unchanged and combined with the decline in real average hourly earnings. Over the past 6 months, real average weekly earnings have changed little.

Perhaps more telling of the situation is the fact that, real average weekly earnings fell 0.3 percent over the month, as a result of a 0.3 percent decrease in the average work week combined with the decrease in real average hourly earnings. Over the past 6 months, real average weekly earnings have changed little. This, in contrast to an earlier report today showing industrial production had risen slightly, continuing a trend upward over most of the year.

The figures do show an improvement over last year, during the depth of the recession. Real average hourly earnings rose 0.8 percent, seasonally adjusted, from November 2009 to November2010. The increase in real average hourly earnings combined with a 0.9 percent increase in the average work week, resulted in a 1.7 percent increase in real average weekly earnings during this period.

BLS press release, click here. 12/15/2010

FUEL AND FOOD PUSH CONSUMER PRICE INDEX

More from the Emeritus Newsroom- The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.1 percent in November on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 1.1 percent before seasonal adjustment. The indexes for food, energy, and all items less food and energy all increased slightly in November. The index for food at home rose in November after being unchanged in October, with the indexes for eggs and nonalcoholic beverages both rising notably. Although the index for gasoline rose, the index for household energy declined and the increase in the energy index was the smallest in five months. The index for all items less food and energy rose in November after being unchanged the previous three months. Increases in the indexes for shelter and airline fares accounted for most of the rise, while the indexes for new vehicles, used cars and trucks, and household furnishings and operations all declined. Over the last 12 months, the index for all items less food and energy has risen 0.8 percent. The energy index has risen 3.9 percent over that span with the gasoline index up 7.3 percent but the household energy index down 0.2 percent. The food index has risen 1.5 percent, with the food at home index up 1.7 percent. Bureau of Labor Statistics press release, click here. 12/15/2010

FLO-TV SERVICE ENDING / QUALCOMM TV SET OWNERS GET REFUNDS

More from the Emeritus Newsroom- Two months ago, Qualcomm signaled it would be ending support of the FLO-TV format and would be giving refunds to set owners who purchased the special TV sets, actually produced by Audiovox, as well as the subscription service. The company has now made that official, as it was unable to sell the service to others, according to media reports. The company stated in its quarterly report two days ago, that it lost $132 million dollars on the FLO-TV service in the latest quarter and that service would end March 27th, next year. See details on refunds in this link to the FLO-TV press release, click here. 12/10/2010

LOWE'S RECALLS 6 MILLION ROMAN SHADES AND 5 MILLION ROLLUP SHADES FOR STRANGULATION HAZARD

More from the Emeritus Newsroom- Lowe's home improvement stores are asking customers to return millions of window shades sold by the company after two reports of near strangulations involving the products. According to the Consumer Product Safety Commission, strangulations can occur with the Roman blinds when a child places his/her neck between the exposed inner cord and the fabric on the backside of the blind or when a child pulls the cord out and wraps it around his/her neck. the same type of potential hazard exists the with the roll up shades if the lifting loop slides off the side of the blind and a child's neck becomes entangled on the free-standing loop or if a child places his/her neck between the lifting loop and the roll-up blind material.

This recall involves all styles and sizes of Roman shades and roll-up blinds sold by Lowe's. Roman shades with repair kits and roll-up blinds with release clips right below the head rail on the backside of the blind are not included in this recall (see pictures below).

The shades were sold at Lowe's stores, other retail stores and at www.lowes.com since at least 1999 through June 2010 (Roman shades) and between at least 1999 and January 2005 (roll-up blinds) for between $10 and $1,800. There were made in China, United States, Mexico and Taiwan

Consumers should stop using the recalled Roman shades and roll-up blinds immediately and contact the Window Covering Safety Council (WCSC) for free repair kits at (800) 506-4636 anytime or visit www.windowcoverings.org

This recall involves all styles and sizes of Roman shades and roll-up blinds sold by Lowe's. Roman shades with repair kits and roll-up blinds with release clips right below the head rail on the backside of the blind are not included in this recall.

Full text of CPSC press release and pictures of product, click here. 12/01/2010

FDA GETS MORE CONTROL OVER NATION'S FOOD SUPPLY AS SENATE APPROVES SAFETY BILL

More from the Emeritus Newsroom- By a 73-25 vote, the Senate today approved new rules, Senate Bill 510, giving the Food and Drug Administration sweeping new powers to get unsafe food off the market. The FDA has been hampered by years of lobbying to protect food producers interests and prevent early detection of contaminated food supplies that would single out violators. Much has changed since 2008 when a contaminated peanut butter processor continued to ship product, when it knew the product was contaminated with salmonella. Similar offenses by other producers have provoked the ire of Democrat and Republican lawmakers alike, producing a steamroller reaction over the last two years to give the FDA more control. Today's approval of the proposed law still faces obstacles since the house passed version will have to be reconciled between congressional leaders, who hope to get it through the short lame duck session of congress.

Among the main points of the bill,

"It amends the Federal Food, Drug, and Cosmetic Act (FFDCA) (Sec. 101) to expand the authority of the Secretary of Health and Human Services (HHS) to inspect records related to food, including to: (1) allow the inspection of records of food that the Secretary reasonably believes is likely to be affected in a similar manner as an adulterated food; and (2) require that each person (excluding farms and restaurants) who manufactures, processes, packs, distributes, receives, holds, or imports an article of food permit inspection of his or her records if the Secretary believes that there is a reasonable probability that the use of or exposure to such food will cause serious adverse health consequences or death.

(Sec. 102) Authorizes the Secretary to suspend the registration of a food facility if the food manufactured, processed, packed, or held by a facility has a reasonable probability of causing serious adverse health consequences or death to humans or animals.

(Sec. 103) Requires each owner, operator, or agent in charge of a food facility to: (1) evaluate the hazards that could affect food; (2) identify and implement preventive controls; (3) monitor the performance of those controls; and (4) maintain records of such monitoring. Deems facilities required to comply with certain food-specific standards to be in compliance with this section. Requires the Secretary to promulgate regulations to establish science-based minimum standards for conducting a hazard analysis, documenting hazards, implementing preventive controls, and documenting such implementation.

Prohibits the operation of a facility that manufactures, processes, packs, or holds food for sale in the United States if the owner, operator, or agent in charge of such facility is not in compliance with this section".

Full text of Thomas directory summary of S.510, the FDA Food Safety Modernization Act, click here. 11/30/2010

NETFLIX CUSTOMER DOWNLOADS FACE FEE PRESSURE FROM COMCAST / FCC HEARS PROTESTS

More in this article from Reuters, click here - 11/30/2010

JOHNSON AND JOHNSON RECALLS MORE CHILDREN'S PRODUCTS

More from the Emeritus Newsroom- the McNeil subsidiary of Johnson and Johnson has ordered another recall for some of its children's products. the most recent recalls involve, Children's Benadryl allergy tablets, in cherry and grape flavors and Junior Strength Motrin Caplets, 24 count, that were distributed in the United States. The company considers it a wholesale and retail level recall, and that no action was required by consumers or healthcare providers.

"This recall is not being undertaken on the basis of adverse events,"according to a company statement.

Full text of company statement, with pictures and codes of affected products, click here. 11/23/2010

FDA ORDERS PAINKILLERS DARVON AND DARVOCET OFF THE MARKET

More from the Emeritus Newsroom- After a more than 30 year controversy, the maker of pain killers Darvon and Darvocet, Xanodyne Pharmaceuticals, has agreed to pull the drugs from the market under pressure from the FDA. The action, announced by the FDA today, also involves the generic manufacturers of propoxyphene-containing products.

According to the agency's press release, the FDA sought market withdrawal of propoxyphene after receiving new clinical data showing that the drug puts patients at risk of potentially serious or even fatal heart rhythm abnormalities. As a result of these data, combined with other information, including new epidemiological data, the agency concluded that the risks of the medication outweigh the benefits.  

“The FDA is pleased by Xanodyne’s decision to voluntarily remove its products from the U.S. market,” said John Jenkins, M.D., director of the Office of New Drugs in the FDA’s Center for Drug Evaluation and Research (CDER). “These new heart data significantly alter propoxyphene’s risk-benefit profile. The drug’s effectiveness in reducing pain is no longer enough to outweigh the drug’s serious potential heart risks.”

The FDA is advising health care professionals to stop prescribing propoxyphene to their patients, and patients who are currently taking the drug should contact their health care professional as soon as possible to discuss switching to another pain management therapy.

Propoxyphene is an opioid used to treat mild to moderate pain. First approved by the FDA in 1957, propoxophene is sold by prescription under various names both alone (e.g., Darvon) or in combination with acetaminophen (e.g., Darvocet).

Since 1978, the FDA has received two requests to remove propoxyphene from the market. Until now, the FDA had concluded that the benefits of propoxyphene for pain relief at recommended doses outweighed the safety risks of the drug.

In January 2009, the FDA held an advisory committee meeting to address the efficacy and safety of propoxyphene. After considering the data submitted with the original drug applications for propoxyphene, as well as subsequent medical literature and postmarketing safety databases, the committee voted 14 to 12 against the continued marketing of propoxyphene products. In making this recommendation, the committee noted that additional information about the drug’s cardiac effects would be relevant in weighing its risks and benefits.

In June 2009, the European Medicines Agency (EMEA) recommended that the marketing authorizations for propoxyphene be withdrawn across the European Union. A phased withdrawal of propoxyphene is underway.

In July 2009, the FDA decided to permit continued marketing, but required that a new boxed warning be added to the drug label alerting patients and health care professionals to the risk of a fatal overdose. In addition, the agency required Xanodyne to conduct a new safety study assessing unanswered questions about the effects of propoxyphene on the heart.

The agency now has reviewed the data from that study, which show that, even when taken at recommended doses, propoxyphene causes significant changes to the electrical activity of the heart. These changes, which can be seen on an electrocardiogram (ECG), can increase the risk for serious abnormal heart rhythms that have been linked to serious adverse effects, including sudden death. The available data also indicate that the risk of adverse events for any particular patient (even patients who have taken the drug for many years) is subject to change based on small changes in the health status of the patient, such as dehydration, a change in medications, or decreased kidney function.

Full test of FDA press release, click here. 11/19/2010

FDA SAYS MALE PERFORMANCE SUPPLIMENT "UNSAFE" / BANS "VIGOR-25"

More from the Emeritus Newsroom- The Food and Drug Administration's latest target in their campaign against male performance supplements is "Vigor-25", which the FDA claims, has the same active ingredient as "Viagra". With Vigor-25" being sold without a prescription, the FDA says consumers may not be aware it has the same side effects, which can be potentially fatal for those on nitrate based medications. The order comes during an investigation into the death of a 26 year old man, who is suspected to have consumed the supplement.

In general, the agency says that sexual enhancement products promising rapid effects (e.g., claim to work in minutes to hours) or long-lasting effects (e.g., claim to last 24-72 hours) are likely to contain a contaminant. Because "Vigor-25" contains an ingredient which is only to be sold through prescription, the FDA advises consumers who have experienced any negative side effects from sexual enhancement products to stop using them, consult a health care professional and safely discard the product. The FDA urges health care professionals and consumers to report adverse events or side effects from use of Vigor-25 to the FDA’s MedWatch Adverse Event Reporting program either online, by regular mail or by fax:

         Complete and submit the report online: www.fda.gov/MedWatch/report.html.     Download form or call 800-332-1088 to request a reporting form, then complete and return to the address on the pre-addressed form or submit by fax to 800-FDA-0178

Full text of FDA press release on "Vigor-25". 11/19/2010

FEDS THREATENS TO ORDER ALCHOLIC BEVERAGES WITH CAFFEINE OFF SHELVES

More from the Emeritus Newsroom- Giving producers of caffeinated alcoholic beverages 15 days to act. the Food and Drug Administration today called the drinks, "Unsafe"and warned that product seizures are possible. The FDA announcement follows a scientific review by the Agency.  FDA says it examined the published peer-reviewed literature on the co-consumption of caffeine and alcohol, consulted with experts in the fields of toxicology, neuropteran, emergency medicine, and epidemiology, and reviewed information provided by product manufacturers.  FDA claims it also conducted independent tests.

“FDA does not find support for the claim that the addition of caffeine to these  alcoholic beverages is ‘generally recognized as safe,’ which is the legal standard,” said Dr. Joshua M. Sharfstein, Principal Deputy Commissioner.  “To the contrary, there is evidence that the combinations of caffeine and alcohol in these products pose a public health concern".

The companies receiving Warning Letters and their products are:

• Charge Beverages Corp.: Core High Gravity HG, Core High Gravity HG Orange, and Lemon Lime Core Spiked
• New Century Brewing Co., LLC: Moonshot
• Phusion Projects, LLC (doing business as Drink Four Brewing Co.): Four Loko
• United Brands Company Inc.: Joose and Max

Phusion Projects, maker of the drink, "Four Loko", says it will reformulate the drink, eliminating the caffeine. The company takes issue with those who blame the drink for the hospitalizations of nine Central Washington University students who attended a party. They were treated at a local hospital emergency room. Some of them were reported to have alcohol poinsoning. Michigan and Washington have already banned formulations of the drinks. The company said in an October 26th press release,

"...placing blame for the incident squarely on Four Loko when the police report, toxicology reports and witness testimony all show that other substances, including beer, hard liquors like vodka and rum, and possibly illicit substances, were consumed as well". 

The company added, "In fact, while our product is mentioned only twice in the 44-page police report, hard liquor, vodka, rum or other alcohol is mentioned at least 19 times; beer is mentioned at least 3 times; and illegal drugs or roofies are mentioned at least 14 times – including twice in connection with an individual attending the party with the intention of bringing drugs with him and once in connection with smoking marijuana.

Officers on the scene reported disposing of the alcohol they found in the house, yet none of these officers described doing this by singling out one product or type of product.

In addition, the ages of the students involved have been redacted from the report, meaning there is no way to determine if any of the partygoers were of-age. Read the police report here.

In addition, the ages of the students involved have been redacted from the report, meaning there is no way to determine if any of the partygoers were of-age. However, in a letter to the U.S. Food and Drug Administration, Washington Attorney General Rob McKenna states that all of the students sickened were in fact underage – meaning these young men and women were illegally consuming alcohol". Read his letter here. . Full text of FDA statement, click here. Full text of the Phusion Projects press release, click here. 11/17/2010

FUEL PRICES BLAMED FOR RISE IN CONSUMER PRICE INDEX

More from the Emeritus Newsroom- Inflation rose at an annual rate of 1.2% in October , before seasonal adjustment, due to fuel price increases. According to the Department of Labor's Bureau of Labor Statistics, an increase in the energy index was the major factor in the all items seasonally adjusted increase. The gasoline index rose for the fourth month in a row and accounted for almost 90 percent of the all items increase; the household energy index rose as well. The food index rose slightly in October with the food at home index unchanged. The index for all items less food and energy was unchanged in October, the third month in a row with no change. The indexes for shelter and medical care rose, but these increases were offset by declines in an array of indexes including new vehicles, used cars and trucks, apparel, recreation, and tobacco. Over the last 12 months, the index for all items less food and energy has risen 0.6 percent, the smallest 12-month increase in the history of the index, which dates to 1957. The energy index has risen 5.9
percent over that span with the gasoline index up 9.5 percent. The food index has risen 1.4 percent, with both the food at home index and food away from home index rising the same 1.4 percent. BLS Consumer Price Index press release, click here. 11/17/2010

FEDERAL TRADE COMMISSION STOPS ANOTHER DEBT RELIEF SCAM

More from the Emeritus Newsroom- Customers paid at least $995 on the promise they would get lower interest rates on their credit cards. the Federal Trade Commission obtained a Chicago Federal Co rut order to shut down defendants who allegedly used at least 10 different company names, including AFL Financial Services, using an international rob o-calling ring when pitching the service. The agency has brought several other cases in the past year against the marketers of worthless credit card interest rate reduction services. The FTC complaint charges that the misrepresentations violated the FTC’s Telemarketing Sales Rule and the FTC Act. It also charges that the defendants called consumers whose numbers are on the National Do Not Call Registry and made illegal protocols. Full text of FTC press release, click here. 11/17/2010

13,000+ CHILD SAFETY SEATS RECALLED BY EVENFLO

More from the Emeritus Newsroom- Evenflo has ordered a recall of of their Maestro child seats with model numbers beginning with 310. Those include 3101198; 3101980; 31011048; 31011049; 31011059 produced between November 24, 2009, and April 9, 2010. The model number and the manufacture date are located on a label on the side of the car seat/carrier.

The company claims that in the event of a crash, a crack could form at the front of the seat, adjacent to the harness adjuster, causing the child to be improperly restrained. To fix the problem, Evenflo is providing consumers with a metal reinforcement plate to provide additional structural support in the area of the harness adjuster. Owners of the affected seats should contact Evenflo at (1-800-233-5921) immediately to obtain a free reinforcement plate. The seat should not be used with children weighing under 40 pounds without the repair bracket. Children who weigh more than 40 pounds can continue to use the seat as a belt-positioning booster until the remedy kit arrives. Full text of National Consumer Product Safety Commission press release of Evenflo recall, click here. 11/15/2010

TROUBLED EGG PACKER RECALLS MORE THAN 280,000 EGGS

More from the Emeritus Newsroom- An Ohio company implicated with an Iowa egg packing company for the Spring 2010 massive egg recalls, finds itself the focus of another. According to Cal-Maine Foods, a company subsidiary, Ohio Fresh Eggs accidentally shipped eggs potentially containing salmonella to food wholesalers and retailers in Arkansas, California, Illinois, Iowa, Kansas, Missouri, Oklahoma and Texas, between October 9 and 12, 2010 (see codes of affected shipments below). In a statement released today, the company said, "Ohio Fresh Eggs sincerely regrets the error made on our farm, and we apologize to our customer and to consumers who may have purchased the eggs. We are redoubling our efforts to ensure thorough and ongoing training of our workers so that this situation is not repeated".

Austin"Jack" DeCoster, owns Wright County Eggs and Hillandale Farms , the Iowa egg packers involved in a 550 million egg recall earlier this year. He is also an investor in the Ohio Fresh Eggs packing facility.

The Ohio Fresh Eggs recall was ordered after FDA inspectors found salmonella tainted eggs from the company, which allegedly came from a farm in Croton, Ohio. According to a report from Associated Press, Ohio officials said DeCoster hid behind other farmers to get permits for the company in 2004. The permits listed two men who had put up just $10,000 apiece while DeCoster had pumped $126 million into the four farms, according to testimony in an administrative proceeding there. At the time, DeCoster had already been labeled a "habitual violator" of environmental laws in Iowa. Ohio officials yanked the permits after learning about that, but an environmental appeals panel overturned that decision has often tangled with the government. He has paid millions of dollars in state and federal fines over at least two decades for health, safety, immigration and environmental violations at his farms. Full text of Cal-Maine press release with affected shipment codes, click here. Associated Press story, click here. 11/08/2010

PFIZER ORDERS THIRD RECALL ON LIPITOR

More from the Emeritus Newsroom- Pfizer is recalling two more lots of its cholesterol drug "Lipitor", which has been the subject of two other recalls, in August and earlier this month, due to a type of moldy oder. The latest recall involves Lipitor 40 mg tablets (atorvastatin calcium) distributed in the U.S.

According to Pfizer, a medical assessment found the risk of health consequences to patients appears to be minimal.

The company says, in a statement, the odor is consistent with the presence of 2, 4, 6 tribromoanisole (TBA), which was found at a very low level in a complaint sample bottle during the investigation leading to the first product recall. Research indicates that a major source of TBA appears to be 2, 4, 6-tribromonophenol (TBP), a chemical used as a wood preservative. Although TBP often is applied to pallets used to transport and store a variety of products, Pfizer prohibits the utilization of TBP-treated wood in the shipment of its medicines.

Full text of Pfizer Lipitor recall statement, click here. Special website for Pfizer Lipitor recalls, click here. 10/30/2010

VERIZON WIRELESS TO PAY $77.8 MILLION FOR BOGUS DATA CHARGES / REFUND ORDERED AFTER PROBE BY FEDERAL COMMUNICATIONS COMMISSION

More from the Emeritus Newsroom- An agreement reached with the Federal Communications Commission has yielded a total $77.8 million to be paid by Verizon Wireless. Customers had complained they were charged for data fees even though they had not used data services, or had mistakenly pressed the button for data services, disconnecting before any specific request was completed. The FCC intervened in the case.

According to the FCC, the settlement is the largest in FCC history and concludes the agency’s ten-month investigation into these overcharges. In addition to Verizon Wireless’s $25 million violation fee payment to the Treasury, the company will immediately refund a minimum of $52.8 million to approximately 15 million customers and ensure that consumers are no longer charged the mystery fees. 

“Mystery solved: today's settlement with Verizon Wireless is about making things right and putting consumers back in the driver’s seat,” said Michele Ellison, Chief of the FCC’s Enforcement Bureau. “Today’s settlement requires Verizon Wireless to make meaningful business reforms, prevent future overcharges, and provide consumers clear, easy-to-understand information about their choices. I am gratified by the cooperation of the Verizon Wireless team in the face of these issues, and pleased they are taking the high road.”

The Enforcement Bureau began investigating Verizon Wireless in January 2010 after large numbers of consumer complaints and press reports about unexplained data charges.  The investigation focused on “pay-as-you-go” data fees -- charges of $1.99 per megabyte that apply to Verizon Wireless customers who do not subscribe to a data package or plan.

The investigation found that approximately 15 million “pay-as-you-go” customers were or may have been overcharged for data usage over the course of three years, from November 2007 to the present. According to the settlement, the erroneous mystery fees from Verizon Wireless were caused by:

Unauthorized data transfers initiated automatically by applications (like games) built into certain phones;accessing certain web links that were designated as free-of-charge (e.g., the Verizon Wireless Mobile Web homepage); unsuccessful attempts to access data when there was insufficient network coverage to complete the requested data transfer; an unwanted data transfer initiated by third parties and affecting customers who had content filters installed on their phones.

Full text of FCC press release, click here. Direct links to actual FCC order and agreement with Verizon, click here, then scroll to 10/28/2010 announcement. 10/28/2010

TARGET STORES BATTLE COUPON SCANNING FIASCO / CUSTOMERS ELIGIBLE FOR REFUNDS

More from the Emeritus Newsroom- Target stores company wide will be offering refunds to customers whose coupons did not scan the proper amount. The glitch has plagued Target scanning systems since at least August. Target spokesperson Jenna Reck told Emeritus News today that customers are entitled to refunds and may claim them by presenting their receipts to the Customer Service desks at each store. "We do apologize for the inconvenience", Reck said. The company admits it has known about the coupon scanning problem since August and has been working to fix it. Remaining unanswered is just how much the company might gain from being paid full coupon value by various companies while scanning less than stated coupon values for customers. Reck says all cashiers have been alerted to the problem and that customers should pay close attention to the value of the coupon, how much is reflected at checkout and on their receipts. As of this posting, there was no press release regarding the issue on the company website. 10/28/2010

EUROPEAN LUXURY CARS TAKE BEATING IN RELIABILITY SURVEY / BMW ORDERS RECALL OF SOME 2007-2010 MODELS

More from the Emeritus Newsroom- It was a bad day for BMW. Not only did the automaker show up with one of the worst reliability ratings according to Consumer Reporters magazine, it ordered a recall of some of its 2007 through 2010 model vehicles.

In the Consumer Reports reliability ratings, the european luxury cars had a particularly lackluster finish. BMW, Mercedes Benz and Jaguar models registered among the lowest scores. The best included the Toyota Yaris, Toyota's cheapest model, with Ford the leading American car maker for reliability, scoring the top family sedan with the Fusion Hybrid.

Asian automakers continue to dominate. Honda, Hyundai and Toyota all have higher than average reliability ratings.

AS FOR THE BMW RECALL, THE COMPANY ANNOUNCED TODAY IT WAS RECALLING 130,000 of its model-years 2007 to 2010 135i, 335i and 535i sedans, coupes and other vehicles equipped with its twin-turbo inline six-cylinder engines because they may experience a failure of the high-pressure fuel pump and suffer from reduced performance.

According to a statement issued by the company today, symptoms include long-crank engine starting times along with the illumination of the “Service Engine Soon” light. In certain cases, the driver may experience reduced engine performance in a Safe Mode accompanied by a tone and the illumination of the “Engine Malfunction” light.

Based on the individual service history of the vehicle, the action will entail replacement of the high-pressure fuel pump and/or a software update.

Consumer Reports reliability survey press release, click here. BMW recall statement, click here. 10/26/2010

USDA EXPECTS HIGHER FOOD PRICE INFLATION IN 2011

More from the Emeritus Newsroom- 2011 will bring higher food cost inflation according to the latest survey from the U-S Department of Agriculture. The USDA says their analysis shows the Consumer Price Index (CPI) for all food is projected to increase 0.5 to 1.5 percent—the lowest annual food inflation rate since 1992. Food-at-home (grocery store) prices are also forecast to increase 0.5 to 1.5 percent, while food-away-from-home (restaurant) prices are forecast to increase 1 to 2 percent.The all-food CPI increased 1.8 percent between 2008 and 2009. Food-at-home prices increased by 0.5 percent—the lowest annual increase since 1967—with dairy prices declining 6.4 percent and fresh produce prices dropping 4.6 percent, while food-away-from-home prices rose 3.5 percent in 2009. Although inflation has been relatively weak for most of 2009 and 2010, higher food commodity and energy prices are now exerting pressure on wholesale and retail food prices. So, food inflation is predicted to accelerate during the final months of 2010 and the first half of 2011, leading to a forecast of 2 to 3 percent food price inflation in 2011.

As for price analysis for September 2010, the USDA says the CPI for all food increased 0.3 percent from August to September 2010, increased 0.2 percent from July to August 2010, and is now 1.4 percent above the September 2009 level. The food CPI has now returned to a positive annual growth rate, following 6 consecutive months—September 2009 to February 2010—of annual declines in food prices (a first since 1959). The food-at-home CPI increased 0.4 percent in September 2010 and is up 1.4 percent from last September, while the food-away-from-home index was up 0.3 percent in September 2010 and is also 1.4 percent above last September. The all-items CPI was up 0.1 percent in September and is 1.1 percent above the September 2009 level.

Full text of USDA press release, click here- 10/26/2010

FIVE DEATHS IN FDA ORDERED LETTUCE RECALL / TEXAS PRODUCE PLANT ALSO ORDERED CLOSED

More from the Emeritus Newsroom- Four deaths have been reported from contaminated lettuce processed at a texas plant, which was ordered closed according to an announcement from the Food and Drug Administration. The FDA says the Texas Department of State Health Services ordered Sangar Fresh Cut Produce in San Antonio to stop processing food and recall all products shipped from the plant since January. The order was issued after laboratory tests of chopped celery from the plant indicated the presence of Listeria monocytogenes, a bacterium that can cause severe illness. State law allows DSHS to issue such orders when conditions exist that pose "an immediate and serious threat to human life or health. "The recalled products – primarily cut fresh produce in sealed packages – were distributed to restaurants and institutional entities, such as hospitals and schools, and are not believed to be sold in grocery stores. The testing was done as part of a DSHS investigation into 10 listeriosis cases, including five deaths, reported to the department over an eight-month period. Six of the 10 cases have been linked to chopped celery from the Sangar plant. The illnesses occurred in Bexar, Travis and Hidalgo counties. All of the illnesses were in people with serious underlying health problems. Health officials said pinpointing a Listeria source is often difficult due to the small number of cases, the illness' long incubation period and difficulty collecting complete information about what people ate.

DSHS inspectors also found sanitation issues at the plant and believe the Listeria found in the chopped celery may have contaminated other food produced there. The department found a condensation leak above a food product area, soil on a preparation table and hand washing issues. DSHS food safety personnel are contacting distributors, restaurants and institutions believed to have received the recalled products to ensure they are taking appropriate action to protect consumers.

DSHS continues to investigate possible sources of contamination and where the products were distributed. Sangar's customers are advised to discard or return the products. Cooking the products is not recommended. Symptoms of listeriosis can include fever, muscle aches, diarrhea and vomiting. People with these symptoms should consult a physician. Symptoms typically occur three to 70 days after exposure. The disease affects primarily older people, pregnant women, newborns and people with weakened immune systems.The order prohibits the plant from reopening without DSHS approval.

Full text of FDA announcement, click here. 10/23/2010

TOYOTA RECALLS 740,000 VEHICLES FOR POSSIBLE BRAKE CYLINDER PROBLEMS / CHRYSLER AND VOLVO ALSO ORDER RECALLS

More from the Emeritus Newsroom- Possible problems with master brake cylinders have prompted Toyota to recall the 2005 through 2006 Avalon, 2004 through 2006 Highlander (non Hybrid) and Lexus RX330, and 2006 Lexus GS300, IS250, and IS350 vehicles sold in the United States. The company says the Toyota genuine brake fluid used during vehicle assembly for vehicles sold in the United States contains polymers. The polymers act as lubricants for certain brake system components. If during vehicle maintenance, brake fluid is used that does not contain such polymers or only small amounts, a part of the internal rubber seal (brake master cylinder cup) located at the end of the brake master cylinder piston may become dry and may curl during movement of the piston. If this occurs, a small amount of the brake fluid could slowly leak from the brake master cylinder into the brake booster, resulting in illumination of the brake warning lamp.

If the brake warning lamp has illuminated and the vehicle continues to be operated without refilling the master cylinder brake fluid reservoir, the driver will begin to notice a spongy or soft brake pedal feel and braking performance may gradually decline.

Owners of the involved vehicles will be notified by first class mail beginning in early November 2010. Toyota and Lexus dealers will replace the brake master cylinder cup with a newly designed one at no charge to the vehicle owners.

CHRYSLER AND VOLVO ALSO ISSUED RECALLS TODAY.

According to a notice on the National Highway Transportation Administration website, VOLVO IS RECALLING CERTAIN MODEL YEAR 2010-2011 S80, XC70, MODEL YEAR 2011 XC60 AND MODEL YEAR 2010 V70 VEHICLES. THERE MAY BE AN INTERMITTENT FAULT IN THE DRIVER'S AIRBAG CLOCKSPRING WIRING CONNECTOR FOR THE SUPPLEMENTAL RESTRAINT SYSTEM.IN THE EVENT OF A CRASH, THE DRIVER'S FRONTAL AIRBAG MAY NOT DEPLOY AS INTENDED OR AT ALL, AND THEREFORE WILL NOT BE ABLE TO PROPERLY PROTECT THE DRIVER, INCREASING THE RISK OF INJURIES.DEALERS WILL INSTALL A METAL SHIM IN THE DRIVER'S AIR BAG CLOCKSPRING WIRING CONNECTOR. THIS SERVICE WILL BE PERFORMED FREE OF CHARGE. THE RECALL IS EXPECTED TO BEGIN ON OR BEFORE OCTOBER 29, 2010. OWNERS MAY CONTACT VOLVO AT 1-800-458-1552

VOLVO IS RECALLING NEARLY 2,000 TRUCKS FOR FAILING TO COMPLY WITH THE REQUIREMENTS OF PART 567, "CERTIFICATION." THE TIRE DESCRIPTION MAY BE INCORRECT ON THE VEHICLE'S CERTIFICATION LABEL. THE MISINFORMATION ON THESE LABELS COULD LEAD TO A VEHICLE OVERLOADING THAT CAN INCREASE RISK OF A CRASH. DEALERS WILL INSPECT AND REPLACE THE LABELS FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN ON OR BEFORE DECEMBER 1, 2010.

The Volvo trucks affected are:

VOLVO / VHD     2008-2011
     VOLVO / VNL     2008-2011
     VOLVO / VNM     2008-2011
     VOLVO / VT     2008-2010

VOLVO TRUCK OWNERS MAY CONTACT VOLVO AT 1-800-458-1552.

As for the Chrysler recall, it involves the following models:

CHRYSLER / 300   2010
         CHRYSLER / SEBRING   2010
         DODGE / AVENGER   2010
         DODGE / CHALLENGER   2010
         DODGE / JOURNEY   2010
         DODGE / RAM   2011

According to the filing with NHTSA,CHRYSLER IS RECALLING CERTAIN MODEL YEAR 2010 CHRYSLER SEBRING, 300, CHARGER (LX) AND DODGE CHALLENGER (LC), AVENGER (JS), AND JOURNEY (JC), AS WELL AS MODEL YEAR 2011 DODGE RAM LIGHT DUTY PICKUP (DS) VEHICLES. SOME OF THESE VEHICLES MAY EXPERIENCE A SEPARATION AT THE CRIMPED END OF THE POWER STEERING PRESSURE HOSE ASSEMBLY. LEAKED POWER STEERING FLUID ONTO HOT ENGINE COMPONENTS COULD CAUSE A FIRE. DEALERS WILL INSPECT AND REPLACE AS NECESSARY THE POWER STEERING PRESSURE HOSES FREE OF CHARGE. THE SAFETY RECALL IS EXPECTED TO BEGIN DURING OCTOBER 2010. OWNERS MAY CONTACT CHRYSLER AT 1-800-853-1403.

Full text of the Toyota press release, click here. NHTSA notice on the Chrysler recall, click here. NHTSA notice on Volvo cars recall. click here. NHTSA notice on the Volvo Trucks recall, click here. 10/21/2010

FOUR DEATHS REPORTED IN GRACO STROLLER RECALL

More from the Emeritus Newsroom- Four deaths have been reported in connection with a potential entrapment problem with certain models of Graco strollers. According to the Consumer Product Safety Commission, Graco Children’s Products Inc., of Atlanta, Ga., is announcing the recall of about 2 million Graco strollers due to risk of entrapment and strangulation. CPSC and Graco have received four reports of infant strangulations that occurred in these strollers between 2003 and 2005. In addition, CPSC is aware of five reports of infants becoming entrapped, resulting in cuts and bruises, and one report of an infant having difficulty breathing.

Entrapment and strangulation can occur, especially to infants younger than 12 months of age, when a child is not harnessed. An infant can pass through the opening between the stroller tray and seat bottom, but his/her head and neck can become entrapped by the tray. Infants who become entrapped at the neck are at risk of strangulation.

The recall involves older versions of the Graco Quattro Tour™ and MetroLite™ strollers and travel systems manufactured prior to the existence of the January 2008 voluntary industry standard which addresses the height of the opening between the stroller’s tray and the seat bottom. This voluntary standard requires larger stroller openings that prevent infant entrapment and strangulation hazards.

This recall involves Graco Quattro Tour™ strollers and travel systems manufactured prior to November 2006 and MetroLite™ strollers and travel systems manufactured prior to July 2007. The strollers and travel systems were distributed between November 2000 and December 2007. The model numbers are printed on a label at the lower portion of the rear frame, just above the rear wheels or underneath the stroller. See full text link to CPSC announcement below for specific models.

Full text of CPSC announcement, click here. 10/20/2010

FAA STUDY SAYS FLIGHT DELAYS COST PASSENGERS $16.7 BILLION A YEAR

More from the Emeritus Newsroom- Airline passengers paid more than $16.7 billion dollars due to airline flight delays, according to a study team led by Mark Hansen, a civil and environmental engineering professor at the University of California at Berkeley. The study was conducted on behalf of the Federal Aviation Administration and concluded that passengers paid about half of $32.9 billion delays cost the American economy.

Hansen says the results were calculated based on lost passenger time due to flight delays, cancellations and missed connections, plus expenses such as food and accommodations that are incurred from being away from home for additional time.

"This is the most comprehensive study done to date analyzing the monetary cost of airline flight delays," said Hansen. He claims most studies have focused on the cost to airlines. The new study analyzed the complex relationship between flight delay and passenger delay, and considered how degraded service quality affects the demand for air travel.

"Before this work, no one actually analyzed the data to see how flight delay affects airline cost or passenger lateness," said Hansen. "While there are a lot of widely available data on flight delays, passenger itineraries and airline costs, this is the first attempt to fully exploit that information to measure the impacts of delay."

Hansen said previous estimates of these costs relied on assumptions and expert opinion, while the research team's results are largely driven by the actual data.

The $8.3 billion direct cost to airlines included increased expenses for crew, fuel and maintenance, among others. Nearly half this cost is due to padded schedules, the hidden delays that are built into schedules because the airlines anticipated them.

In addition to the direct costs to the airline industry and its customers, flight delays have indirect effects on the U.S. economy, the report said. The authors noted that inefficiency in the air transportation sector increases the cost of doing business for other sectors, making the associated businesses less productive. The study estimated that air transportation delays reduced the 2007 U.S. gross domestic product (GDP) by $4 billion.

Full text of UC press release on study, click here. 10/19/2010

FACEBOOK APPLICATIONS TARGETED BY CONSUMER/PRIVACY ADVOCATES / HOW MUCH PRIVATE DATA IS SHARED? / FACEBOOK SAYS IT IS TAKING ACTION

More in this article from the Wall Street Journal, click here . 10/18/2010

CHINESE DRYWALL MAKER AGREES TO REMOVE TOXIC DRYWALL IN HUNDREDS OF HOMES

More from the Emeritus Newsroom- As part of a pilot project that likely will be extended to homeowners affected in others states, Knauf Drywall and its drywall production facility in China, agreed to replace drywall that deteriorated and/or became toxic in more than 300 homes in Louisiana. Some homeowners complained the drywall turned plumbing fixtures black and caused breathing problems to the point families were forced to move out their homes. The agreement, approved by U-S District Court Judge Eldon Fallon, will first address homes in Louisiana, Florida, Alabama and Mississippi, with homes in Texas, North Carolina and Virginia to be added later. The settlement, so far, only covers property damage due to the drywall with the court yet to decide medical compensation for those making medical claims. Scores of similar lawsuits against other chinese drywall manufacturers and local contractors remain unresolved. Although the Knauf Drywall case represents a potential settlement involving around 3,000 homes, an estimated 15,000 homes could have been affected by the defective drywall. Full text of actual agreement filing in US District Court, click here. PLEASE NOTE!!! Settlement filing also includes names of the property owners covered by the settlement. More in this article from the Washington Post, click here. 10/15/2010

EPA APPROVES E15 FUEL FOR 2007 AND NEWER VEHICLES / EXPANDS USE OF ETHANOL

More from the Emeritus Newsroom- A long awaited decision from the Environmental Protection Agency provides a big boost to the ethanol industry in the U-S. The decision was reached months after it was promised due to increased controversy over the expansion of ethanol markets. Some critics claim ethanol is not the energy payoff that supporters claim, forcing up grain prices and taking more energy for processing than other alternatives to reduce dependence on oil imports.

The decision, announced by EPA Administrator Lisa Jackson, means the agency has waived a limitation on selling fuel that is more than 10 percent ethanol for model year 2007 and newer cars and light trucks. The waiver applies to fuel that contains up to 15 percent ethanol – known as E15 – and only to model year 2007 and newer cars and light trucks. This represents the first of a number of actions that are needed from federal, state and industry towards commercialization of E15 gasoline blends.

The EPA says a decision on the use of E15 in model year 2001 to 2006 vehicles will be made after EPA receives the results of additional DOE testing, which is expected to be completed in November. However, no waiver is being granted this year for E15 use in model year 2000 and older cars and light trucks – or in any motorcycles, heavy-duty vehicles, or non-road engines – because currently there is not testing data to support such a waiver. Since 1979, up to 10 percent ethanol or E10 has been used for all conventional cars and light trucks, and non-road vehicles.

Additionally, several steps are being taken to help consumers easily identify the correct fuel for their vehicles and equipment. First, EPA is proposing E15 pump labeling requirements, including a requirement that the fuel industry specify the ethanol content of gasoline sold to retailers. There would also be a quarterly survey of retail stations to help ensure their gas pumps are properly labeled.

Full text of EPA press release, click here. 10/14/2010

PRESSURE MOUNTS FOR FORECLOSURE MORATORIUM

More from the Emeritus Newsroom- While Obama administration officials seem weary of a total moratorium on foreclosures, growing demands are surfacing from Democratic lawmakers and consumer advocacy groups. The Obama administration fears a moratorium will cause further damage to an already troubled housing market and would also halt closings for homeowners who are trying to renegotiate their mortgages to avoid foreclosure. However, the depth of the problem, involving thousands of foreclosures with bogus documentation has prompted organizations such as the National Community Reinvestment Coalition to call for a total moratorium, saying nothing less will hurt homeowners and neighborhoods. NCRC President and CEO, John Taylor, said in a statement ,

“The rights of consumers have been treated as an afterthought by the financial industry,” said John Taylor, president & CEO of the National Community Reinvestment Coalition. “Allowing the industry to rubber stamp foreclosures, and continue with sloppy, extralegal practices promotes a ‘moral hazard’ that encourages abusive behavior. Not intervening to investigate and ensure that consumers are adequately protected in the foreclosure process sends a message that mortgage lending and servicing continues to be the Wild West, wherein the industry is free to do what they want, without consideration for the borrower.”

“We need to end the voluntary reliance on the industry to do the right thing with respect to homeowners. Three years of following this approach on the foreclosure crisis has largely failed. Congress and the Administration should take this opportunity to finally put in place something that puts an end to unnecessary foreclosures, rather than delaying them,” said Taylor.

Senate Majority Leader Harry Reid welcomed a decision last week by Bank of America to temporarily halt all foreclosures pending review of documents submitted by servicers. Reid called on the nation's other banks to follow suit.

Full text of NCRC press release, click here. Full text of Sen. Harry Reid statement, requesting all banks establish a foreclosure moratorium. More in this article from the New York Times, click here.- 10/12/2010

GOOGLE, OTHER INVESTORS PLAN MASSIVE EASTERN SEABOARD WIND FARMS

More in this article from the New York Times, click here- 10/12/2010

OBAMA POCKET VETOES BILL THAT EASES REQUIREMENTS FOR FORECLOSURES

More in this article from the Washington Post, click here- 10/07/2010

FEDERAL TRADE COMMISSION SHUTS DOWN TAX RELIEF COMPANY / FTC CLAIMS FIRM BILKED CUSTOMERS OUT OF $60 MILLION

More from the Emeritus Newsroom- Most Americans remember the blaring and urgent sounding commercials of American Tax Relief. To Federal Trade Commission investigators, the company should be remembered as one that bilked customers out of $60 million dollars, promising to cut their tax debts. In reality, American Tax Relief lost its business license in California last year because it had not paid its own taxes. But, the company kept operating until this week, when the FTC got a court order to shut them down.

The FTC claims American Tax Relief charges up-front fees ranging from about $3,200 to $25,000 for the purported tax relief services. The company’s ads include a toll-free number for consumers to call for a “free consultation.” After speaking briefly with commission-based sales people who are supposedly “tax consultants,” virtually all consumers are told that they “qualify” for a tax relief program, and that American Tax Relief can help them significantly reduce their tax debts, the FTC complaint alleges.

In reality, very few of the company’s customers qualify for the promised tax relief programs, which are available only in very limited circumstances.

The company website has been shut down and replaced with this message,

"The Federal Trade Commission ("FTC") has filed a lawsuit against American Tax Relief LLC alleging that it has engaged in deceptive practices relating to the advertising, marketing, promotion, offering for sale, or sale of tax relief services. The United States District Court for the Northern District of Illinois has issued a temporary restraining order prohibiting the alleged practices. You may obtain additional information directly from the FTC at www.ftc.gov".

Calls to the advertised phone numbers are not being answered or have recordings telling callers the numbers are not working.

Full text of the FTC press release, click here 10/06/2010

AUTOMAKERS INVOLVED IN LATEST RECALLS DO BEST ON CRASH TESTS

More from the Emeritus Newsroom- BMW and Hyundai, most recently involved in recalls, get good news from recent crash test results. According to the National Highway Traffic Safety Administration, new tougher standards for 2011 models resulted in the BMW 5 Series and the Hyundai Sonata (later release) as the only cars to get a five star rating. The ratings, ranging from 1 through 5, found most cars tested received an overall 4 rating. The Toyota Camry got three stars. Nissan's Versa got two stars but still finished at the bottom.

New criteria for the crash tests include side collisions with poles, and a variety of crash test dummies to test results on different body sizes including female dummies. Full text of the NHTSA press release, click here. 10/05/201

CREDIT CARD COMPANIES SUED BY JUSTICE DEPARTMENT FOR PREVENTING BUSINESSES FROM OFFERING DISCOUNTS ON NON-CARD PURCHASES

More from the Emeritus Newsroom- Alleged anti- competitive practices on the part of the three major credit card companies has prompted the Justice Department to file suit in Federal Court in New York City. Although the government has reached a tentative deal with Visa and Mastercard, American Express has decided to duke it out with the Justice Department. At stake is whether card companies contracts which can prevent businesses from giving discounts for non card purchases.

During a news conference this afternoon, Attorney General Eric Holder said,

"The companies put merchants and consumers in a no-win situation:   accept our card, pay our fees, and don’t even think about trying to get a discount. These restrictive rules prevent price competition among credit card networks, which means merchants face increased business costs and consumers pay higher prices.   With today’s lawsuit we are sending a clear message:   we will not tolerate anti competitive practices.   We want to put more money in consumers’ pockets, and by eliminating credit card companies’ anti competitive rules, we will accomplish that. 

Now, even as we file today’s lawsuit, I’m pleased to announce that we have reached a proposed settlement with Visa and MasterCard that resolves our antitrust concerns with their use of these rules.If the settlement with Visa and MasterCard is approved, companies and retailers will be able to provide their customers with more options and cost saving incentives.   And more consumers will be able to receive discounts and, ultimately, enjoy the benefits of lower prices. For example: if you use a preferred, lower-cost credit card, an airline could offer you more miles or a merchant could provide you with a rebate.   Merchants will also be able to inform consumers which cards will lower business costs the most, allowing these savings to be passed on to consumers. 

Today’s settlement will enable some Visa and MasterCard customers to receive the benefits of competition right away.   But while it is an important step forward, as long as one credit card company continues to impose anti competitive rules, there is more work to do".

Full text of Attorney General Holder's statement, click here. 10/04/2010

MERCEDES RECALLS 85,000 CARS FOR STEERING PROBLEMS

More from Emeritus Newsroom- You won't see the recall on the company's website, but it does appears on the website of the National Highway Transportation Safety Administration. Mercedes Benz is recalling the 2010 and 2011 Class C and Class E vehicles due to a problem with the power steering, which can leak hydrolic fluid. Dealers will check the power steering free of charge or can check the company consumer line at 1-800-367-6372. Full text of recall from NHTSA web site, click here and scroll to October 4 2010 announcement. 10/04/2010

BAD CREDIT SCORES KEEP NEARLY A THIRD OF POTENTIAL HOME BUYERS ON THE SIDELINES

More in this article from the Las Vegas Review-Journal, click here- 10/04/2010

VERIZON WIRELESS CUSTOMERS IN LINE FOR $50-$90 MILLION IN REFUNDS / ERRONEOUS CHARGES FOR DATA ACCESS FEES

More from the Emeritus Newsroom- Verizon Wireless says millions of customers will be getting an average of $2 to $6 refunds due to erroneous data access charges on their bills. The announcement was made by the company today in an attempt to settle scores of complaints against the company for charging customers who either accidentally hit the data access button or had no data transmissions. The Federal Communications Commission had been urging Verizon to refund the money. In their statement released today, Verzion explained:

"In October and November, we are notifying about 15 million customers, through their regular bill messages, that we are applying credits to their accounts due to mistaken past data charges. We will mail former customers refund checks. In most cases, these credits are in the $2 to $6 range; some will receive larger credits or refunds.

As we reviewed customer accounts, we discovered that over the past several years approximately 15 million customers who did not have data plans were billed for data sessions on their phones that they did not initiate. These customers would normally have been billed at the standard rate of $1.99 per megabyte for any data they chose to access from their phones. The majority of the data sessions involved minor data exchanges caused by software built into their phones; others included accessing certain web links, which should not have incurred charges. We have addressed these issues to avoid unintended data charges in the future". Full text of Verizon Wireless press release, click here. 10/03/2010

ELECTRONIC FOOD TRACKING FROM FARM TO FAMILY SPLITS GROWERS, PROCESSORS

More in this article from the LA Times, click here- 10/03/2010

198,000 BMW MODELS RECALLED FOR BRAKE PROBLEM

More from the Emeritus Newsroom- Because of possible brake system fluid leaks, BMW is recalling about 198,000 BMS and Rolls Royce vehicles. According to a press release from the company's U-S division, the model affected are:


* 2002-08 BMW 745i/Li, 750i/Li, and 760i/Liz
* 2007-08 BMW Alpina B7
* 2004-10 BMW 645i and 650i
* 2004-10 BMW 545i and 550i

Affected Rolls-Royce Motor Cars models include:
* 2003-2010 Rolls-Royce Phantom models
(does not include Rolls-Royce Ghost)

According to BMS there have been no reported injuries or deaths related to the problem. Full text of BMW press release, click here. 10/01/2010

HEARING REVEALS DETAILS OF JOHNSON AND JOHNSON EFFORT TO AVOID RECALL ON "MOTRIN" / COMPANY HIRED CONTRACTORS TO GET MOTRIN OFF SHELVES RATHER THAN A RECALL

More in this article from Congressional Quarterly, click here- 09/30/2010

FISHER-PRICE RECALLS 10 MILLION TRIKES, TOYS AND HIGH CHAIRS

More from the Emeritus Newsroom- Sales of Fisher-Price Trikes and Tough Trikes have been halted and the company urges buyers of the products to stop using them. The Consumer Product Safety Commission says the company has issued a recall for the trikes due to the potential for injury. The problem is a protruding ignition key which toddlers can fall on causing injury including genital bleeding. At least 7 million of the trikes have been sold in the U-S and another 150,000 in Canada. the trikes were sold from January of 1997 through September 2010. For model numbers check full text of Fisher Price trikes press release, click here.

Fisher-Price also recalled three other products today. They include:

The Little People Wheelies Stand and Play Rampway, due to a choking hazard. Full text of press release, click here.

The Healthy Care, Easy Clean and Close to Me High Chairs Due to Laceration Hazard. Full text of press release, click here.

And Infant Toys with Inflatable Balls Due to Choking Hazard. These toys include the Baby Playzone™ Crawl & Cruise Playground™, Baby Playzone™ Crawl & Slide Arcade™ , Baby Gymtastics™ Play Wall, Ocean Wonders™ Kick & Crawl™ Aquarium (C3068 and H8094), 1-2-3 Tetherball™, Bat & Score Goal™. Full text of press release, click here. 09/30/2010

CONSUMER PRODUCT SAFETY COMMISSION AND FDA ISSUE WARNINGS ABOUT BABY SLEEP POSITIONERS

More from the Emeritus Newsroom- Twelve infants deaths associated with baby sleep positioning products have convince the CPSC and FDA to issue warnings. According to the two agencies, The most common types of sleep positioners feature bolsters attached to each side of a thin mat and wedges to elevate the baby’s head. The sleep positioners are intended to keep a baby in a desired position while sleeping. They are often used with infants under 6 months old.To reduce the risk of Sudden Infant Death Syndrome (SIDS), the American Academy of Pediatrics recommends infants be placed to sleep on their backs on a firm surface free of soft objects, toys, and loose bedding.

The FDA and the CPSC are advising parents and caregivers to:

STOP using infant positioning products. Using this type of product to hold an infant on his or her side or back is dangerous and unnecessary.

NEVER put pillows, sleep positioners, comforters, or quilts under the baby or in the crib.

ALWAYS place a baby on his or her back at night and during nap time.

REPORT an incident or injury from an infant sleep positioner to the Consumer Product Safety Commission by visiting FDA's MedWatch program or calling 800-638-2772.

Full text of baby sleep positioner warning press release, click here. 09/29/2010

FDA SAYS MOUTHWASH CLAIMS UNTRUE / ORDERS COMPANIES TO STOP ADS

More from the Emeritus Newsroom- Three companies that make and/or market mouthwash have been ordered by the FDA to stop claims that their products remove plaque or fight gum disease. The FDA says it sent warning letters to, Johnson & Johnson (Listerine Total Care Anticavity Mouthwash), CVS Corporation (CVS Complete Care Anticavity Mouthwash), and Walgreen Company (Walgreen Mouth Rinse Full Action).These mouth rinse products contain the active ingredient sodium fluoride. The FDA has determined that sodium fluoride is effective in preventing cavities but has not found this ingredient to be effective in removing plaque or preventing gum disease.“It is important for the FDA to take appropriate enforcement action when companies make false or unproven product claims to ensure that consumers are not misinformed or misled,” said Deborah Autor, director of the Office of Compliance in FDA’s Center for Drug Evaluation and Research.Under federal law, a company cannot claim its product is effective in treating a disease unless those claims have been reviewed and approved by the FDA in a new drug application or the active ingredient has been generally recognized as safe and effective for these claims in an over-the-counter (OTC) drug monograph.The FDA actions are part of the agency’s effort to curtail an increasing number of Federal Food Drug and Cosmetic Act (FFDCA) violations among the makers/marketers of mouthwashes concerning unproven claims of therapeutic benefits.To date, the FDA is unaware of any injuries or adverse health effects related to the use of these mouth rinse products. Consumers who have these products may continue to use the products for cavity prevention without risk of injury but should be aware that the FDA has no data to show that these products can prevent gum disease.

Full text of FDA press release, click here. 09/29/2010

SOUTHWEST AIRLINES PROPOSES BUYOUT OF AIRTRAN / WHAT IT MEANS FOR AIR TRAVELERS

More from the Emeritus Newsroom- Southwest Airlines has proposed a $1.4 billion dollar buyout of AirTran Airways. For Southwest, the purchase of their biggest discount competitor could have pricing implications for passengers. Southwest denies it is anti competitive. Undeniably, it gives Southwest more access to markets where AirTran's presence will give it more gate slots. The company will remain in Dallas meaning that the AirTran corporate headquarters in Atlanta would eventually be closed. Gary Kelly, Chairman and President of Southwest, in a statement released by the company today, said,

"The acquisition also allows us to expand our presence in key markets, like New York La Guardia, Boston Logan, and Baltimore/Washington. It presents us the opportunity to extend our service to many smaller domestic cities that we don't serve today, and provides access to key near-international leisure markets in the Caribbean and Mexico. Finally, this accelerates our goal to boost profits and achieve our financial targets."

When Southwest completes the sale the company will have nearly 43,000 employees and serve more than 100 million customers annually from more than 100 different airports in the U.S. and near-international destinations. In addition, the combined carriers' all-Boeing fleet consisting of 685 active aircraft would include 401 Boeing 737-700s, 173 Boeing 737-300s, 25 Boeing 737-500s, and 86 Boeing 717s, with an average age of approximately 10 years, one of the youngest fleets in the industry, according to Southwest.

The airline passengers blog called, "The Ticket" notes the big differences between the two airlines.

"While AirTran charges fees for checked baggage, Southwest does not charge for the first or second  bag and has said this policy will remain in effect. Many frequent travelers have come to know and love AirTran’s business class product.It offered relatively easy and cheap upgrades to some big seats at the front of the plane. Southwest offers ONLY coach seating, and has said that it will continue to offer only a one-class product. That means we’ll have to kiss those big seats goodbye. Too bad.If you’ve enjoyed discounted first class fares on Delta on routes to the West Coast (or elsewhere) where it competed with AirTran, you can expect those to evaporate. For example, AirTran charged about $1000 round trip for a business class seat to LAX, SFO and SEA and Delta matched it for its first class. I would not be surprised to see those premium fares climb up to $2000+ without a competitive product in the market".Must read article from "The Ticket", click here.

Full text of Southwest Airlines press release, click here. 09/27/2010

HYUNDAI RECALLS NEARLY 140,000 SONATAS FOR POTENTIAL STEEERING FAILURE

More from the Emeritus Newsroom- A steering defect has prompted Hyundai Motors to recall 139,500 Sonata 2011 models built from last December through September 10th. According to the National Highway Traffic Safety Administration, the steering columns can fail, leaving the driver unable to steer the vehicle. NHTSA had announced a review of the problem in August. Today the company ordered the recall. Dealers will start examining the cars for potential problems starting next month and the problem will be corrected free of charge. No accidents, injuries or deaths have been reported from the problem, as of this posting. Full text of Hyundai recall from NHTSA, click here, then scroll down to Sept. 23 Hyundai announcement. 09/27/201

CONNECTICUT ORDERS GMAC TO STOP FORECLOSURES / OTHER STATES MAY FOLLOW AS PROBE WIDENS

More from the Emeritus Newsroom- GMAC today was accused by Connecticut Attorney General Richard Blumenthal of "defective foreclosure documents" and ordered the company to stop foreclosures in the state pending a special investigation. Blumenthal claims the documents have caused, "horrendous, illegal harm" to its customers. According to a statement released by Blumenthal today, “The bank’s apparent failure to follow basic legal procedure -- a potential fraud on the court -- is appalling and unacceptable. Our investigation will enable strong legal action against GMAC/Ally, if warranted by the facts and the law. I will fight to assure that banks comply with clear legal requirements that protect homeowners from unfair foreclosures of their homes. My office will investigate whether other banks engaged in such practices because these failings involve much more than mere technicalities, as GMAC/Ally has claimed. As a consumer advocate and attorney, I am dismayed and shocked that the bank blatantly skirted legal requirements and procedural safeguards to increase the volume and pace of foreclosures".           

            Blumenthal says he acted after a GMAC/Ally Financial employee recently admitted signing thousands of foreclosure affidavits a month without verifying their accuracy or having them properly notarized, as required by law.

During court testimony in Florida last December, Jeffrey Stephan, a GMAC foreclosure team leader confessed to have signed more than 10,000 foreclosure documents without seeing any of the original paperwork to determine their validity.

Blumenthal’s office has confirmed, that Jeffery Stephan, signed foreclosure affidavits filed in Connecticut.

Other states are probing GMAC's practices, including California, where Attorney General Jerry Brown demanded the company prove its practices were legal or cease foreclosures. Other states with actives probes include Florida, Iowa, Illinois and Texas.

GMAC, a subsidiary of Ally Financial and majority owned by the federal government due to the TARP loan to the company, was reported last week to have halted all foreclosures in 23 states where it operates, BUT THE COMPANY LATER DENIED THAT IT HALTED FORECLOSURES. THE COMPANY ISSUED A STATEMENT THAT IT HAD HALTED EVICTIONS, NOT FORECLOSURES.

In a more specific statement published by the South Florida Business Journal, GMAC Mortgage spokesman James Olecki acknowledged the following problems with the affidavits may have been executed without direct personal knowledge of all of the information stated in the affidavit. In a number of cases, the affidavit was not signed in the physical presence of a notary public. Olecki, who did not specifically identify Stephan as the person signing affidavits, said whoever signed them relied on the personal knowledge and information of other GMAC Mortgage personnel, and was known to the notary. Olecki also said the facts of the affidavits are correct, and that GMAC would be working to clear up any problems.
Read more: Affidavit problem stalls GMAC foreclosures - South Florida Business Journal
.

Blumenthal and other state Attorneys General believe the same practices were going on in all 23 states where GMAC offered mortgages.

GMAC statement denying moratorium on foreclosures, click here. GMAC statement on problems related to the mortgage process, click here. Statement by Connecticut Attorney General Richard Blumenthal, click here. 09/27/2010

STATES CLAIM GMAC ILLEGALLY FORECLOSED ON SOME HOMEOWNERS / SOME STATE ATTORNEYS GENERAL MAY FILE SUIT

More in this article from the New York Times, click here- 09/24/2010

POSSIBLE INSECT CONTAMINATION FORCES RECALL OF SIMILAR BABY FORMULA POWDER

More from the Emeritus Newsroom-Baby formula producer Abbott is voluntary recall of certain Similac-brand, powder infant formulas in the U.S., Puerto Rico, Guam and some countries in the Caribbean.

Abbott is recalling these products following an internal quality review, which detected the remote possibility of the presence of a small common beetle in the product produced in one production area in a single manufacturing facility. The United States Food and Drug Administration (FDA) has determined that while the formula containing these beetles poses no immediate health risk, there is a possibility that infants who consume formula containing the beetles or their larvae, could experience symptoms of gastrointestinal discomfort and refusal to eat as a result of small insect parts irritating the GI tract. If these symptoms persist for more than a few days, a physician should be consulted.

The recall of these powder infant formulas includes:

  • Certain Similac powder product lines offered in plastic containers.
  • Certain Similac powder product lines offered in sizes such as 8-ounce, 12.4-ounce and 12.9-ounce cans.

To immediately find out if the product in your possession is included in this recall, parents and caregivers should visit www.similac.com/recall. 09/23/2010

FCC APPROVES SUPER WI-FI COVERAGE USING VACANT SPACES BETWEEN TV CHANNELS

More in this article from the Chicago Tribune, click here- 09/23/2010

FEDERAL TRADE COMMISSION ORDERS MILLIONS IN REFUNDS FROM CREDIT CARD SCAMS AND PAYDAY LOAN WAGE GARNISHMENTS

More from the Emeritus Newsroom- Notable cases this month at the Federal Trade Commission include two credit card scams and another involving payday loan businesses. Ecash and GeteCash, offered loans to be repaid from borrowers’ upcoming paychecks. Online loan applicants checked a box indicating their agreement with loan terms, including an inconspicuous “wage assignment” clause that said that their wages would be garnished to cover delinquent loan payments. Then, using the name LoanPointe, the defendants attempted to collect on the offered payday loans.

Federal law allows federal agencies to require employers to garnish employees’ wages without a court order when the employees owe the government money. According to the complaint, in letters to employers that sought garnishment of their employees’ wages, GeteCash and LoanPointe tried to pass themselves off as having the same collection rights as the government. The FTC’s complaint also alleges that GeteCash and LoanPointe falsely stated that consumers knew their pay would be garnished and had an opportunity to dispute the debt. In addition, GeteCash and LoanPointe allegedly violated the law when they told employers and co-workers about consumers’ debts without their consent.

Reported credit card scams continue to increase. The FTC halted an operation that deceived consumers into paying for bogus credit cards and charged them illegal fees. The marketers behind this operation agreed to a settlement that will halt their illegal tactics and provide money for consumer redress.

The FTC reached a settlement with six defendants who marketed a credit card that could be used only to buy products from their Low Pay merchandise catalog. According to the FTC’s complaint, the defendants falsely claimed that the card could be used to fully finance purchases; that it would provide access to a no-fee, low cost, or guaranteed cash advance benefit or unsecured line of credit; and that consumers could improve their credit ratings by using it. The defendants failed to disclose clearly that they would debit from consumers’ bank accounts substantial advance fees, a non-refundable annual fee, and 30 percent of a catalog product’s price – which often exceeded the retail price from other sources – plus shipping. In addition, the defendants falsely claimed they would refund a $120 activation fee to consumers who returned the card and catalog in a timely fashion, and illegally charged an advance fee for a guaranteed line of credit.

The FTC has also ordered more than 22,000 refund checks mailed to consumers, mainly targeting Hispanics, who were victims of a deceptive telemarketing operation called Remote Response.

The FTC charged that Remote Response ran ads on Telemundo, Telefutura, Galavision, and other Spanish-language television networks deceptively claiming to offer a pre-approved, guaranteed Amerikash Mastercard and a number of incentive items, including free ATM cards, phone cards, and vacation vouchers. The defendants’ telemarketers also offered a free trial membership in the Amerikhealth discount health plan, which consumers had to cancel before the free-trial period expired to avoid monthly charges. The FTC complaint alleged that in numerous instances, consumers never received a MasterCard, received only some or none of the free items defendants offered, and that the items consumers received often did not work. The complaint also alleged that defendants thwarted consumers’ efforts to cancel during the free trial period, and improperly charged consumers without authorization. The company settled the charges.

The settlements banned the defendants from telemarketing and required them to agree to the entry of a financial judgment.

Another credit card scam has been settled, which involved a payment processing company that racked up more than $200 in bogus charges on consumer bank cards.

The processing company, Your Money Access, and its President, Derrelle Janey, faced charges brought by the FTC and officials in 7 states. According to a 2007 complaint filed by the FTC and the States of Illinois, Iowa, Nevada, North Carolina, North Dakota, Ohio, and Vermont, the company processed unauthorized debits on behalf of deceptive telemarketers and Internet-based schemes that were violating the FTC’s Telemarketing Sales Rule and state and federal consumer protection laws. The company allegedly played a critical role in helping many of its clients carry out these schemes by providing access to the banking system and the means to extract money from consumers’ bank accounts. Between June 23, 2004, and March 31, 2006, Your Money Access processed more than $200 million in debits and attempted debits. More than $69 million of the attempted debits were returned or rejected by consumers or their banks for various reasons, an indication that in many cases consumers had never authorized the charges. In many instances, the merchants either failed to deliver the promised products or services or sent consumers relatively worthless items.

Full text of press release on E-Cash, GeteCash , LoanPointe, click here. Full text of Amerikash MasterCard scam, click here. Full text of RemoteResponse scam, click here. Full text of Your Money Access scam, click here. 09/20/2010

BILL TO IMPROVE FOOD SAFETY IS STUCK IN SENATE / HELD UP BY SMALL FARMS THAT OBJECT TO MORE FED CONTROL

More in this article from the New York Times, click here- 09/20/2010

ELIZABETH WARREN APPOINTED CONSUMER PROTECTION CZAR / WALL STREET OPPOSED HER CANDIDACY

More from the Emeritus Newsroom- Known mostly by her no nonsense oversight on the use of TARP funds, Elizabeth Warren was appointed today by President Obama to lead the newly established Consumer Financial Protection Office. Creation of the office was fiercely opposed by Wall Street and other corporate finance interests which fear her oversight will dampen creation and investments in new financial products. It was those new financial products, which contributed to the meltdown of Wall Street in 2008 when such instruments, such as credit default swaps and those sold by Bernard Madoff, provoked anger and demands to regulate investments, which previously were not.

Warren gained notoriety for her dour assessments tracking funds involved with the Troubled Asset Relief Program, used to save banks and American automakers from financial ruin. She was featured in last year's Michael Murphy film, "Capitalism: A Love Story", which chronicled the declining fortunes of America's middle class. Warren complained to Murphy during the film, she didn't know where some of the money went because of accountability issues with corporations using it.

Now Warren is in a position to make more demands on Wall Street, in order to protect consumers.

Warren was able to get enough Treasury Department backing to solve many of those problems. Though her relationship with Treasury Secretary Tim Geithner was rocky, the pair was able to track down most of the money loaned through TARP.

With the recent passage of the Dodd-Frank financial reform law, the federal government will set up the consumer protection office in charge of supervising financial products offered by banks and Wall Street.

During an announcement in the Rose Garden at the White House today, Warren said,

"President Obama understands the importance of leveling the playing field again for families and creating protections that work not just for the wealthy or connected, but for every American. The new consumer bureau is based on a pretty simple idea:  people ought to be able to read their credit card and mortgage contracts and know the deal.  They shouldn’t learn about an unfair rule or practice only when it bites them—way too late for them to do anything about it.  The new law creates a chance to put a tough cop on the beat and provide real accountability and oversight of the consumer credit market.  The time for hiding tricks and traps in the fine print is over.  This new bureau is based on the simple idea that if the playing field is level and families can see what’s going on, they will have better tools to make better choices.

If the CFPB can succeed at leveling the playing field,  we can go a long way toward repairing a gaping hole in the budgets of millions of families.  But nobody has ever thought or argued that the consumer bureau can fix everything.  Lost jobs, stagnant incomes, rising costs for college, dwindling retirement savings—there’s a lot of work to be done".

Full text of Warren statement, click here. Video of event below. 09/17/2010

 

258,000 POUNDS OF COOKED BEEF RECALLED / PRODUCT FROM BANNED BRAZILIAN PROCESSOR

More from the Emeritus Newsroom- The US Department of Agriculture today announced Sampco, Inc., a Chicago, Ill., establishment is recalling approximately 258,000 pounds of cooked beef products that were imported from an ineligible Brazilian establishment. The beef was used in various name brand products.

  • 12-ounce cans of "Libby Corned Beef" bearing a production code "100315U," "100316U," "100322U," or "100326U." These products were sent to distribution centers in Florida, and Pennsylvania for retail sales.
  • 7-ounce pouches "Brushy Creek Shredded Beef" bearing a production code "100121," "100128," "100129," "100308,"or "100322." These products were sent to distribution centers in Missouri, New Jersey, and Ohio, for retail sales.
  • 10-ounce "Brushy Creek Roast Beef" bearing a production code "100226," "100309," or "100311." These products were sent to distribution centers in California, Missouri, New Jersey, and Texas for retail sales.
  • 12-ounce cans of "Kroger Corned Beef" bearing a production code "100224U." These products were sent to distribution centers in Indiana for retail sales.
  • Each product package bears "BRASIL 337 S.I.F," as well as "Product of Brazil" or "Packed under Brazilian Government Inspection."

USDA press release, click here. 09/13/2010

STUDENT LOAN DEFAULTS CONTINUE RISE

More from the Emeritus Newsroom- Loan default rates at for profit college continue to increase faster than those at private and public colleges. The figures released today, from 2008, are the latest from the U-S Department of Education. the National overall default rate for colleges went up to 7 percent from 6.7 in 2007, with public university default rates 6 percent from 5.9 percent in 2007. Private universities were up to 4 percent from 3.7 percent and for profit colleges were up from 11 percent to 11.6 percent. For profit colleges have come under fire for their default rates and loan arrangements, which some government officials have said, encourage defaults. For profit colleges are trying to keep the Obama administration from putting new rules into effect which would put limitations on loans offered by private colleges. Full text of Department of Education press release on loan defaults, click here. 09/13/2010

CONTAMINATED HEN FEED SUSPECTED IN EGG RECALL

More from the Emeritus Newsroom- Federal investigators announced today they had traced the salmonella outbreak to hen feed at one of the farm suspected of supplying contaminated eggs. And an additional retailer, Cardenas Market in California, was added to the list of retailers in the expanded recall (Cardenas announcement, click here).

According to the CDC, epidemiologic investigations conducted by public health officials in 10 states since April have identified 26 restaurants or event clusters where more than one ill person with the outbreak strain has eaten. Data from these investigations suggest that shell eggs are a likely source of infections in many of these restaurants or event clusters. Preliminary information indicates that Wright County Egg, in Galt, Iowa, was an egg supplier in 15 of these 26 restaurants or event clusters. To date, no new restaurant or event clusters have been reported to CDC. A formal trace back was conducted by state partners in California, Colorado, and Minnesota, in collaboration with FDA and CDC, to find a common source of shell eggs. Wright County Egg in Iowa was found as the common source of the shell eggs associated with three of the clusters. Through trace back and FDA investigational findings, Hillandale Farms of Iowa, Inc. was identified as another potential source of contaminated shell eggs contributing to this outbreak. FDA is currently conducting extensive investigations at both of these firms in Iowa. The investigations involve sampling, records review and looking for potential sources of contamination, such as feed.

Although no one is reported to have died from the outbreak, at least 2,403 people have come down with symptoms matching those of salmonella contamination.

Congressman Henry Waxman has requested the owners of the facilities involved with the recall to testify before his committee next month as the House gears up to investigate. The U-S House has already passed a bill to increase federal control of food inspections.

An inspector general's report, released this spring, pointed to the decreasing number of inspections of food processing facilities in the US and the increasing number of foodborne illnesses. Click here for PDF copy of Inspector General's report. The U-S Senate has not acted on their version of the bill. CDC press release, copy click here. 08/26/201

ENGINE PROBLEMS FORCE TOYOTA'S 15TH RECALL THIS YEAR

More from the Emeritus Newsroom- Complaints from car owners about stalling have prompted Toyota to recall more than 1.13 million cars. The latest recall involves the 2005-2008 Corolla and Matrix hatchback. This problem, according to officials with the National Highway traffic Safety Administration, is not related to the accelerator pedal sticking incidents. In a statement released today by Toyota, the company admits,

"On vehicles equipped with the 1ZZ-FE engine and two-wheel drive, there is a possibility that a crack may develop at certain solder points or on the electronic component used to protect circuits against excessive voltage (varistor), on the ECM’s circuit board. In most cases, if a crack occurs at certain solder points or on certain varistors, the check engine may illuminate, harsh shifting could result, or the engine may not start. In limited instances, if cracking occurs on particular solder points or varistors, the engine could stop while the vehicle is being driven".

"There are three unconfirmed accidents alleged to be related to this condition, one of which reported a minor injury", according to the Toyota statement.

The NHTSA had informed the company, November 30th 2009, that it was investigating complaints related to the problem. NHTSA officials say that probe of 2005-2007 models has widened to include other Toyota models during the same production period.

Owners can expect recall notices in the mail next month with more details and instructions on repairs.

Full text of Toyota press release, click here. Full text of NHTSA defect investigation report, click here. NHTSA summary, click here. 08/26/2010

FINAL PHASE OF NEW LAW ON CREDIT CARDS AND GIFT CARDS, NOW IN EFFECT

More in this article from the Washington Post, click here- 08/22/2010

1,100 HOMEOWNERS SUE FARMERS INSURANCE OVER L-A FIRE PAYOUTS

More from this article in the L-A Times, click here- 08/22/2010

ILLNESSES PROMPT EXPANDED EGG RECALL

More from the Emeritus Newsroom- Because of the number of related illnesses, the United States Department of Agriculture has sounded more warnings about salmonella contamination in shell eggs. The most recent recall involved Wright County Egg of Galt, Iowa. The company ordered a nationwide voluntary recall of shell eggs that it had shipped since May 19, 2010 to food wholesalers, distribution centers and food service companies in California, Illinois, Missouri, Colorado, Nebraska, Minnesota, Wisconsin and Iowa. The company distributes its product nationwide under various product labels. The recalled shell eggs are packaged under the following brand names: Lucerne, Albertson, Mountain Dairy, Ralph’s, Boomsma’s, Sunshine, Hillandale, Trafficanda, Farm Fresh, Shoreland, Lund, Dutch Farms and Kemps. State and local partners are also investigating human Salmonella infections in Arizona, Connecticut, Massachusetts, Maryland, North Carolina, Nevada, Oregon, Pennsylvania, Tennessee and Texas.

CDC received reports of approximately 200 SE (Salmonella Enteritidis) cases every week during late June and early July. Normally, CDC has received an average of some 50 reports of SE illness each week for the past five years. Many states have also reported increases of this pattern since May 2010.  Epidemiologic investigations conducted by public health officials in California, Colorado, and Minnesota have revealed several restaurants or events where more than one person ill with this type of SE has eaten. Preliminary information from these investigations suggests that shell eggs are the likely source of infections in many of these restaurants or events.

Full text of USDA press release, click here. Owners of egg farms battle employment and operations fines and complaints, click here. 08/19/2010

GM RECALLS 243,000 TRAVERSE, ENCLAVE, ACADIA AND OUTLOOK CROSSOVER S-U-Vs

More from the Emeritus Newsroom- More than 243,000 models of the , so called, "crossover SUV" 2009 and 2010 models; the Chevrolet Traverse, Buick Enclave, GMC Acadia and Saturn Outlook, have been recalled to check second row seatbelts which may not latch. Owners will likely be covered for the repair, if needed, through warranties or other still pending arrangements. According to a company statement, released today, some vehicles may have a condition where the second-row seat side trim shield restricts the upward rotation of the seat belt buckle when the seat back is returned to a seating position after being folded flat.  If the buckle makes contact with the seat frame, the buckle may receive cosmetic damage as the seat back is being returned to its upright position.  When this occurs, the customer may notice that additional effort is required to return the seat to a seating position. 

But if sufficient force is applied, the buckle cover could be pushed down the strap, exposing and partially depressing the red release button.  The seat belt release button may not travel as much as designed when depressed. The buckle may not latch or unlatch and may appear to be jammed.  In rare instances, the buckle may appear to latch when the latch mechanism is not fully engaged.

“Because of the potential for a false-latch condition, we want customers to return their vehicles to have the recall repair performed as soon as possible,” said Jeff Boyer, GM executive director of safety.

Full text of GM recall statement, click here. 08/17/2010

MASSIVE GROUND BEEF RECALL EXPANDS / RETAIL OUTLETS NAMED IN RECALL OF MORE THAN 1 MILLION POUNDS

More from the Emeritus Newsroom- A recall of more than an estimated one million pounds of ground beef, with potential e coli contamination, has been expanded to include names of retail establishments which may have sold it. The meat came from Valley Meat Company of Modesto, California. The U-S Department of Agriculture today released this list of retailers.

1 Best Deal Food Company Inc.
widely distributed in CA
2 Del Sol Market
widely distributed in AZ
3 El Sol Market
widely distributed in CA
4 Erickson Supermarket
widely distributed in OR
5 Fairway Stores
widely distributed in CA
6 IGA
widely distributed in AZ, OR, and WA
7 J. Solanki Meat
widely distributed in CA
8 McKays
widely distributed in OR
9 Mi Pueblo San Jose Inc.
widely distributed in CA
10 Safeway
widely distributed in CA, NV, HI
11 Select Markets
widely distributed in WA
12 Super A Foods, Inc.
widely distributed in CA
13 Super Center Concepts, Inc
widely distributed in CA
14 Ukas Big Saver Foods
widely distributed in CA
15 Vons
widely distributed in CA, NV

USDA's Food Safety and Inspection Service (FSIS) became aware of the problem on July 15 when the agency was notified by the California Department of Public Health (CDPH) of a small E. coli O157:H7 cluster of illnesses with a rare strain as determined by PFGE subtyping. A total of six patients with illness onset dates between April 8 and June 18, 2010 were reported at that time. After further review, CDPH added another patient from February to the case count, bringing the count to seven. FSIS is continuing to work with the CDPH and the company on the investigation. Anyone with signs or symptoms of foodborne illness should contact a health care provider.

See specific product ID numbers in this press release from the USDA Food Safety and Inspection Service, click here. 08/11/2010

FTC BUSTS INTERNET DOMAIN REGISTRATION SCAM

More from the Emeritus Newsroom- The Federal Trade Commission has settled its case against Canadian con artists involved with internet domain registration scams. According to the FTC, scores of small businesses, individuals and non-profits were instructed pay bogus bills, leading them to believe they would lose their web site addresses unless they paid. Settlement and default judgment orders signed by the court will bar the deceptive practices in the future.In June 2008, the FTC charged Toronto-based Internet Listing Service with sending fake invoices to small businesses and others, listing the existing domain name of the consumer’s Web site or a slight variation on the domain name, such as substituting “.org” for “.com.” The invoices appeared to come from the businesses’ existing domain name registrar and instructed them to pay for an annual “WEBSITE ADDRESS LISTING.” The invoices also claimed to include a search engine optimization service. Most consumers who received the “invoices” were led to believe that they had to pay them to maintain their registrations of domain names. Other consumers were induced to pay based on Internet Listing Service’s claims that its “Search Optimization” service would “direct mass traffic” to their sites and that their “proven search engine listing service” would result in “a substantial increase in traffic.”

The FTC’s complaint charged that most consumers who paid the defendants’ invoices did not receive any domain name registration services and that the “search optimization” service did not result in increased traffic to the consumers’ Web sites.

A federal district court judge in Chicago, Robert M. Dow, Jr., ordered a temporary halt to the deceptive claims and froze the defendants’ assets, pending trial. The settlement and default judgment orders announced today end that litigation. FTC press release on internet scam, click here. 08/11/2010

NO NEW INFO IN FED PROBE OF TOYOTA SUDDEN ACCELERATION CASES

More from the Emeritus Newsroom- Floor mat entrapment and sticking accelerator pedals are the preliminary findings of a probe conducted by the US Department of Transportation and NASA into sudden acceleration cases. The probe rev lead no other mechanical of electrical problems which may have contributed. Sudden acceleration and other issues have contributed to the recall of more than 10 million Toyota and Lexus models since last fall. Several high profile sudden acceleration cases had fueled speculation that electronic problems were also to blame. The complete investigation including a thorough probe of the, "Black Boxes", of suspected problem vehicles will be completed later this fall. In April, the company agreed to pay a $16.375 million fine – the largest fine permitted by law – for failing to notify The National Highway Traffic Safety Administration of a dangerous pedal defect for almost four months, putting owners at risk, according to NHTSA officials.

Consumer Affairs article, click here. 08/10/2010

WELLS FARGO ORDERED TO PAY CUSTOMERS $203 MILLION FOR MANIPULATING DEBT CARD CHARGES TO FORCE OVERDRAFTS

More from the LA Times, click here- 08/10/2010

FDA SAYS DISPERSANT USED IN GULF OIL DISASTER "SAFER THAN THE OIL" / LINK TO LETTER FROM FDA

More from the Emeritus Newsroom- Responding to a request from Rep. Ed Markey (D) MA, the FDA says the dispersant which has been used to break up oil from the Deepwater Horizon disaster in the Gulf of Mexico, is "safer than the oil" which leaked from the blown well. The FDA gave a conditional clearance to seafood which may have come in contact with the dispersant, stating,

"...when closed federal and state harvest waters are reopened, FDA is confident that, when followed, this protocol (See link to copy of letter at bottom of story) will ensure that seafood harvested from the reopened areas will be fit for consumption".

The FDA also explained this is contingent on harvest areas being reopened when no active oil contamination is present.

PDF full text of FDA letter to Rep. Ed Markey, click here. 08/06/2010

39,000 LEXUS MODELS RECALLED FOR STEERING SHAFT DEFECT

More from the Emeritus Newsroom- In a company press release from parent company Toyota today,

"Lexus intends to conduct a voluntary safety recall of approximately 39,000 2003-2007 Model Year LX 470 vehicles to address a steering shaft condition.  No other Toyota or Lexus vehicles are involved in this safety recall.This action follows an announcement made by Toyota Motor Corporation in Japan on July 29, 2010.Lexus has determined that the construction of the steering shaft on involved LX 470s is such that the snap ring on the shaft may disengage when the vehicle experiences an unusually severe impact to the front wheels, such as striking a deep pothole.  If the snap ring becomes disengaged and the steering wheel is then repeatedly turned to the full locked position, the steering shaft may disengage over time. Lexus is not aware of any accidents related to this condition".

"The remedy for this condition involves replacing the snap ring with a newly designed one and the installation of an additional component to prevent separation of the steering shaft. Lexus will begin sending out notification to owners of involved vehicles by first class mail beginning in mid-August 2010, advising them to bring their vehicles to their local Lexus dealer to have this remedy performed at no charge".

Full text of Toyota press release, click here. Direct link to Toyota recall web page, click here. 07/29/2010

GAO CLAIMS SOME AIRLINES NOT FULLY DISCLOSING FEES / FEES CUT TAXES TO SUPPORT AIRPORT INFRASTRUCTURE

More from the Emeritus Newsroom-The Governmental Accounting Office released a report showing some airline fees for optional services are not fully disclosed to passengers at the time of booking. The GAO report says with the exception of fees for security services, it is not clear if and how these various government-imposed fees are refundable to passengers who do not use their non refundable tickets. The US Department of Transportation, last month, proposed new rules for compensation when passengers are bumped, refunds for bags not delivered on time, and timely notifications for flight changes (see links at story's end). The GAO claims the airlines' increasing reliance on fee revenues reduces the proportion of total passenger revenue that is taxed to help fund FAA. The IRS has determined that many airline-imposed fees are not related to the transportation of a person--the basis for imposing the 7.5 percent excise tax on domestic air transportation--according to applicable Treasury regulations and IRS guidance--and, thus, only a proportion of the total fee revenue is subject to taxation. (3) The imposition of checked baggage fees has contributed to declines in the amount of checked baggage and the rate of mishandled bags per thousand passengers as well as an increase in the amount of carry-on baggage. Since airlines first imposed checked baggage fees, the number of checked bags per passenger has declined, contributing to a decline in the rate of mishandled bags. However, it is unknown whether baggage fees have had an effect on the rate of mishandled bags per thousand passengers as this information is not available. IN A SEPARATE DEVELOPMENT, THE U-S COURT OF APPEALS IN WASHINGTON DEALT ANOTHER BLOW TO THE AIRLINES ON TUESDAY, UPHOLDING A FEDERAL LAW THAT GIVES AIRPORTS AUTHORITY TO CHARGE MORE FOR AIRLINE USAGE FEES DURING PEAK TIMES. GAO report on airline pricing, click here. LA Times review of proposed rules from the US Department of Transportation, click here. Official DOT press release on proposed rules which could go into effect by year's end, click here. US Court of Appeals ruling upholding law allowing airports to charge more for airline use during peak times, click here. 07/15/2010

DRUG "AVANDIA" ESCAPES RECALL DURING BIG WEEK FOR OTHER PRODUCT RECALLS / MAKER OF "AVANDIA" AGREES TO $460 MILLION SETTLEMENT / FTC SETTLES TWO MAJOR FALSE CLAIMS CASES

More from the Emeritus Newsroom- GlaxoSmithKline has reached an out of court settlement to pay nearly a half billion dollars over alleged side effects from the drug, "Avandia". The settlement comes after a decision today by the Food and Drug Administration to ONLY ISSUE NEW WARNINGS FOR the diabetes drug, "Avandia", capped an unusually active seven day period full of recalls. The FDA announcement today will force the manufacturer, GlaxoSmithKline to attach additional warnings when selling Avandia, due to concerns over potential heart side effects. A total of 17 members of the FDA panel voting today, voted for the new warnings, while 12 voted for suspending sales of the drug. Studies revealed a potential 43% increase in the risk for a heart attack related event tied to use of the drug. The FDA agreed to reconsider the safety of the drug after several studies indicated increased risks associated with its use. GlaxoSmithKline responded the research results are nothing new but disagreed with concerns over long term effects. A company statement claims, ' long-term effects have been studied in ADOPT and RECORD; these studies have not shown any effect on cardiovascular mortality".Attorneys representing clients suing GlaxoSmithKline say at least 13,000 patients have suffered from heart failure and heart attacks due to side effects of the drug. GlaxoSmithKline press release, click here. FDA decision press release (when available), click here. Press release from Johnson law firm representing clients suing drug maker, click here. ARTICLE ON AVANDIA SETTLEMENT, CLICK HERE.

Yesterday the FDA issued new requirements for the recall of Baxter Infusion Pumps. The FDA says required Baxter Healthcare Corp. to take specific steps to carry out the April 2010 recall of all Colleague Volumetric Infusion Pumps (CVIP) and to provide customers with a refund, a replacement pump, or lease termination. Baxter is responsible for recalling as many as 200,000 CVIP currently in use in the United States.  Under the FDA’s requirements, Baxter will also provide a transition guide to assist customers affected by the recall. The guide will include a list of FDA-cleared or approved pump alternatives, suggestions to help minimize disruption and patient risk during the transition period, and detailed information on the refund, replacement, and lease termination programs. FDA Baxter press release, click here.

The agency also issued new regulations for egg production, saying that as many as 79,000 illnesses and 30 deaths due to consumption of eggs contaminated with the bacterium Salmonella Enteritidis may be avoided each year with new food safety requirements for large-scale egg producers.The new food safety requirements will become effective on July 9, 2010, through a rule for egg producers having 50,000 or more laying hens – about 80 percent of production. Among other things, it requires them to adopt preventive measures and to use refrigeration during egg storage and transportation. Large-scale egg producers that produce shell eggs for human consumption and that do not sell all of their eggs directly to consumers must comply with the refrigeration requirements under the rule; this includes producers whose eggs receive treatments such as pasteurization. Similarly, those who transport or hold shell eggs must also comply with the refrigeration requirements by the same effective date.Egg-associated illness caused by Salmonella is a serious public health problem. Infected individuals may suffer mild to severe gastrointestinal illness, short-term or chronic arthritis, or even death. Implementing the preventive measures would reduce the number of Salmonella Enteritidis infections from eggs by nearly 60 percent. FDA press release on new egg production regulations, click here“.FDA is requiring Baxter to provide replacements or refunds for these recalled devices,” said Jeffrey Shuren, M.D., director of the FDA’s Center for Devices and Radiological Health. “This action reflects the agency’s commitment to protect patients by removing unsafe infusion pumps and to promote public health through assuring the availability of safe and effective alternatives.”

A day before the Baxter announcement, the FDA warned against the UNAPPROVED use of a malaria drug to treat LEG CRAMPS. The FDA said in an announcement that unapproved use of the malaria drug Qualaquin (quinine sulfate) to treat night time leg cramps has resulted in serious side effects and prompted the manufacturer to develop a risk management plan aimed at educating health care professionals and patients about the potential risks.Qualaquin is not FDA-approved to treat or prevent night time leg cramps. A review of reports submitted to the FDA’s Adverse Event Reporting System (AERS) between April 2005 and Oct. 1, 2008, found 38 U.S. cases of serious side effects associated with the use of quinine, the active drug in Qualaquin.Quinine use resulted in serious and life-threatening reactions in 24 cases, including low level of platelets in the blood (thrombocytopenia), and hemolytic uremic syndrome/thrombotic thrombocytopenic purpura, a blood disorder that results in clots in small blood vessels around the body that can be accompanied by kidney impairment.In some patients, these side effects resulted in permanent kidney impairment and hospitalization. Two patients died. Most of those reporting serious side effects took the drug to prevent or treat leg cramps or restless leg syndrome. FDA press release on unauthorized use of quinine drug for leg cramps, click here.

ALSO, THE PAST WEEK, THE CONSUMER PRODUCT SAFETY COMMISSION ANNOUNCED 82,000 POTTERY BARN DROP SIDE CRIBS WERE RECALLED DUE TO POTENTIAL SAFETY HAZARDS. Pottery Barn Kids drop-side cribs can detach when hardware breaks, creating a space into which a young child can become entrapped, which can lead to suffocation. A child can also fall out of the crib. Drop side incidents also occur due to incorrect assembly and with age-related wear and tear. Consumer Product Safety Commission press release on Pottery Barn cribs , click here. TODAY, THE CPSC ANNOUNCED CHANGES TO RULES INVOLVING CRIBS. The U.S. Consumer Product Safety Commission (CPSC) voted (5 to 0) today to approve proposed new mandatory standards to address the hazards posed by full-size and non-full-size cribs.Serious safety hazards with cribs have ranged from drop-side hardware or other drop-side entrapment issues to failures of the mattress support and detachment or breakage of the crib slats. All of these defects can create hazardous gaps allowing a baby to become entrapped and suffocate or fall out of the crib.The Consumer Product Safety Improvement Act of 2008 (CPSIA) directs CPSC to issue mandatory safety standards for durable infant or toddler products. CPSC’s notice of proposed rulemaking ("NPR") for cribs includes:

  1. a standard for full-size cribs that is substantially the same as ASTM F 1169-10, Standard Consumer Safety Specification for Full-Size Baby Cribs, with one modification . The one modification that CPSC is proposing to the ASTM full-size crib standard would require cribs to be tested without the re-tightening of screws between tests in order to ensure that the tests reflect the lifetime use of the crib; and
  2. a standard for non-full-size cribs that is substantially the same as ASTM F 406-10, Standard Consumer Safety Specification for Non-Full-Size Baby Cribs/Play Yards, with certain modifications. These modifications include adding certain requirements that apply to full-size cribs, such as the mattress support performance requirement, the side-impact test, and the order in which performance tests are to be done, applicable to non-full-size cribs so that the new standard for non-full-size cribs is more stringent. The proposal also would restore movable side latch tests to the non-full-size crib standard and would clarify that the proposal does not extend to play yards.

Through close collaboration with ASTM International, consumer groups, industry and other juvenile product experts, improved consensus standards were approved June 1, 2010, that incorporated key safety requirements recommended by CPSC staff. The ASTM standards and the proposed CPSC standards contain design requirements that essentially prohibit traditional drop sides (up and down movement of an entire side of the crib).

CPSC staff is working to finalize the proposed mandatory crib standards in 2010.

CPSC Commissioner statements attached to this release: Chairman Inez M. Tenenbaum (pdf), Commissioner Nancy A. Nord (pdf), and Commissioner Anne M. Northup (pdf) .OTHER CPSC RECALLS FOR JULY 2010, CLICK HERE

MEANWHILE, THE FEDERAL TRADE COMMISSION TODAY ANNOUNCED THE SETTLEMENT OF TWO MAJOR FALSE CLAIMS CASES. The agency saysA subsidiary of Nestlé S.A., the world’s largest food and nutrition company, has agreed to drop allegedly deceptive advertising claims about the health benefits of its children’s drink BOOST Kid Essentials, as part of a settlement resolving the Federal Trade Commission’s first case challenging advertising for probiotics.The FTC complaint charges that from fall 2008 to fall 2009, Nestlé HealthCare Nutrition, Inc. made deceptive claims in television, magazine, and print ads that BOOST Kid Essentials prevents upper respiratory tract infections in children, protects against colds and flu by strengthening the immune system, and reduces absences from daycare or school due to illness.The ads falsely claimed that BOOST Kid Essentials is clinically shown to reduce illness in children, to protect from colds and flu by strengthening the immune system, and to help children up to age 13 recover more quickly from diarrhea, the FTC charged. FTC press release on Boost Kid, click here. The FTC also announced it had reached a $5.5 million settlement with the maker of Accelis dietary suppliment products. The agency says the $5.5 million settlement will be used for refunds to consumers who purchased Accelis, nanoSLIM, and any Cold MD, Germ MD, and Allergy MD product.  These supplements were sold over the Internet and were widely available at retail stores.  In addition, the settlement requires the marketer to stop making deceptive health claims about the products.The FTC charged Iovate Health Sciences U.S.A. and two affiliated Canadian companies with deceptively advertising their supplements using television ads, Internet websites, and print ads in national magazines. Using photos of white-coated individuals depicted as medical doctors, Iovate’s ads claimed that dietary supplements Cold MD and Germ MD treat or prevent colds and flu, and that Allergy MD treats or prevents allergies and hay fever, according to the FTC complaint.  Some ads also proclaimed that the products’ effectiveness was clinically proven.  The FTC complaint alleges that these claims were false and unsubstantiated.The FTC also charged that Iovate falsely advertised that one of the supplements – Allergy MD Rapid-Tabs – was homeopathic. The Iovate companies also ran ads with deceptive claims that their weight-loss supplements Accelis and nanoSLIM caused weight loss, and were clinically proven to do so, according to the FTC complaint.  The ads said consumers could “Lose 32 lbs. FAST” using nanoSLIM, or one to two pounds per week using Accelis.  The ads falsely claimed that Accelis was scientifically proven to increase the body’s metabolism, and featured testimonials from users claiming they had lost significant amounts of weight, according to the FTC.The settlement bars the Iovate companies from:

  • claiming that any drug or dietary supplement they advertise or sell is effective for diagnosing, curing, mitigating, treating, or preventing any disease unless the claim is approved by the Food and Drug Administration;
  • claiming that Allergy MD Rapid-Tabs is homeopathic unless the claim is truthful, and unless the product is recognized under the Federal Food, Drug, and Cosmetic Act as homeopathic;
  • representing that their products cause weight loss or rapid weight loss unless the claims are truthful and backed by at least two adequate and well-controlled human clinical studies;
  • claiming that their products provide any other health-related benefit unless the claim is supported by competent and reliable scientific evidence; and
  • misrepresenting the results of any test or study. 

Although FDA approval of health-related claims generally is not required for compliance with the FTC Act, in this case, the FTC determined that requiring FDA pre-approval before the defendants make disease claims for dietary supplements and drugs will provide clearer guidance that will facilitate the defendants’ compliance with the FTC order and make the order easier to enforce.

The complaint against Iovate Health Sciences USA also names its Canadian parent company, Iovate Health Science Group, Inc. (now known as Kerr Investment Holding Corp.), and a Canadian subsidiary of that company, Iovate Health Sciences, Inc., as defendants in this case.  The Commission vote to authorize the staff to file the complaint and stipulated final order was 5-0.  The FTC will file its complaint and stipulated final order in the U.S. District Court for the Western District of New York.   FTC Accelis announcement, click here. 07/14/2010

NO CLEAR EVIDENCE YET SHOWING MECHANICAL DEFECTS IN TOYOTA ACCELERATION CASES

More from the Washington Post, click here- 07/14/2010

MORE RECALLS FOR SOME 2006-2008 LEXUS MODELS

More from the Emeritus Newsroom- More than 138,000 Lexus models have been recalled for a problem which may cause the engine to fail while in motion, increasing the potential for a crash. The announcement July 6 2010 from the National Highway Traffic Safety Administration explains the problem is related to particles which may cause engine valve springs to malfunction. See NHTSA press release for details on affected models , click here and SCROLL TO JULY 6 2010 ANNOUNCEMENT ON LEXUS. 07/07/2010

POTENTIAL FUEL LEAKS FORCE RECALL OF LEXUS HYBRID H-S 250

More from the Emeritus Newsroom- The potential for fuel leaks during rear end collisions has forced Toyota to recall 17,000 of the 2010 model Lexus H-S 250 hybrid vehicles. An estimated 4,000 of are still at dealerships, which will not be sold until repaired. The plan for the repairs has not yet been completed. The recall came from the National Highway Traffic Safety Administration today, which stated the problem could "result in a fire". Company officials were not sure yet when the recall of the vehicles would begin. Toyota press release, click here. NHTSA Office of Defects Investigation press release, click here. 06/25/2010

SALMONELLA FORCES FROZEN FOOD & DOG FOOD RECALLS

More from the Emeritus Newsroom-The US Department of Agriculture has announced that ConAgra Foods Packaged Foods, LLC, a Council Bluffs, Iowa establishment is recalling Marie Callender's brand Cheesy Chicken and Rice frozen meals.

The company is recalling all Marie Callender's brand Cheesy Chicken and Rice frozen meals in commerce, regardless of production date. These products are being recalled after the company was informed by the U.S. Centers for Disease Control and Prevention (CDC) of an investigation involving 29 people in 14 states who have been diagnosed with salmonellosis linked to Salmonella serotype Chester. Eight of the case-patients specifically reported eating this product in April and May, 2010, prior to illness onset; the last reported illness was reported on May 22.

FSIS became aware of the problem during the course of an ongoing investigation of a multi-state outbreak of Salmonella serotype Chester illnesses. CDC, the Food and Drug Administration (FDA), FSIS, and state health and agriculture departments are cooperating in this ongoing investigation. FDA Press Release, click here.

SALMONELLA IS ALSO A FACTOR IN THE RECALL OF DOG FOOD FROM NATURAL BALANCE. According to a press release from the company, the voluntary recall involves Natural Balance Sweet Potato & Chicken Dry Dog Food with the "Best By" date of June 17, 2011, in 5-lb. and 28-lb. bags . The company claims the product has the potential to be contaminated with Salmonella.

No illnesses have been reported to date, according to the company. The recall notification is being issued out of an abundance of caution based on an isolated instance in which a product sample with a "Best By" date of June 17, 2011, had a positive result for Salmonella in a random sample test conducted by the U.S.s though anonymous purchases from the company or its dealerships. In its review, Cowers and our partners and are doing everything we can to help protect our borrowers’ identity and personal information,” said Richard Boyle, president and CEO, ECMC Group, Inc.

Full text of ECMC press release and contact information for more assistance, click here. 03/26/2010

OVER A MILLION BABY SLINGS RECALLED / THREE INFANT DEATHS REPORTED / BIG WEEK FOR PRODUCT RECALLS

More from the Emeritus Newsroom-A virtual avalanche of product recalls this week from the Consumer Product Safety Commission . Among the most notable, today's recall of Infantino LLC, of San Diego, Calif. are announcing a free replacement program for the Infantino “SlingRider” and “Wendy Bellissimo” infant slings. One million of these infant slings are being recalled in the United States and 15,000 are being recalled in Canada. CPSC advises consumers to immediately stop using these slings for infants younger than four months of age due to a risk of suffocation and contact Infantino for a free replacement product.

CPSC is aware of three reports of deaths that occurred in these slings in 2009; a 7-week-old infant in Philadelphia, Pa.; a 6-day-old infant in Salem, Ore.; and a 3-month-old infant in Cincinnati, Ohio.

The CPSC says the Infantino “SlingRider,” is a soft fabric baby carrier with a padded shoulder strap that is worn by parents and caregivers to carry an infant weighing up to 20 lbs. “Infantino” is printed on the plastic slider located on the strap. “Infantino,” “SlingRider” and the item number are printed on the instruction/warning label inside the baby sling carrier. “Wendy Bellissimo” branded sling carriers were sold exclusively at Babies “R” Us and have a sewn-in label on the inside of the sling strap that says in part "Wendy Bellissimo Media, Inc." and lists Item numbers 3937500H7 and 3937501H7.

Infantino LLC sold the slings in the United States and Canada from January 2003 through March 2010 at Walmart, Burlington Coat Factory, Target, Babies “R” Us, BJ’s Wholesale, various baby and children’s stores and other retailers nationwide, and on the Web at Amazon.com, for between $25 and $30.

The product was manufactured in China and Thailand.

Consumers should stop using the recalled slings immediately and contact Infantino to receive a free replacement product, with a choice of a Wrap & Tie infant carrier, or a 2 in 1 Shopping Cart Cover, or a 3 in 1 Grow & Play Activity Gym. A Jittery Pals Rattle will also be provided. Contact Infantino toll-free at (866) 860-1361 between 8 a.m. and 4 p.m. PT Monday through Friday, or visit the firm’s Web site at www.infantino.com

Do not attempt to fix these carriers. Full text of Consumer Product Safety Commsion press release, click here.

There were other notable product recalls, from fireplace dampers with a carbon monoxide hazard audio recievers suspected of being fire hazards, and girls hooded sweatshirts with strangulation hazards. Full text of CPSC announcements, click here.03/24/2010

WHAT DOES THE NEW BROADBAND INTERNET PLAN MEAN FOR THE AVERAGE GEEK AND NON-GEEK?

More in this article from the Washington Post, click here- 03/20/2010

ALLEGED COVER UP IN LATEST SALMONELLA FOOD PRODUCT CONTAMINATION / FDA INVESTIGATING

More from the Emeritus Newsroom - At least 101 products ahve been recalled by the manufacturers after one food company and federal investigators traced salmonella contaminated food flavoring from a Nevada company.The FDA today released a growing list of products which may have been contaminated by Hydrolyzed Vegetable Protein used for flavoring everything from snacks to gravy. the flavoring was manufactured by Basic Food Flavors, Inc., in Las Vegas, NV. FDA officials held a news conference today to discuss the incident. Investigators also claimed that the company knew its product was contaminated in January but still shipped it anyway.

Dr. Joshua Sharfstein, Principal Deputy Commissioner for the US Food and Drug Administration told those attending the news conference,

"We became aware of this in February. The report I believe was in the first, end of the first week of February. And then FDA went in and inspected. And the inspection identified that there was contamination in the facility. So it wasn't just one report from a company. We went in and we found contamination in the facility. And we also understood that the company then identified contamination in that lot"..

HVP is a flavor enhancer used in a wide variety of processed food products, such as soups, sauces, chilis, stews, hot dogs, gravies, seasoned snack foods, dips, and dressings. It is often blended with other spices to make seasonings that are used in or on foods. FDA news conference transcript, click here. FDA press release on flavoring recall. FDA list of products affected by the recall , click here. 03/10/2010

OVERDRAFT FEES TO END ON BANK OF AMERICA DEBIT CARDS / CUSTOMERS CAN COMPLETE BUYS WITH OVERDRAFTS

More from the Emeritus Newsroom- With new laws set to take effect in August and pressure from customers to stop charging overdraft fees on debt cards, major publications are reporting Bank of America will end charges on debit and ATM withdrawals, effective June 19th for new accounts, and in August for existing customers. The announcement was reported today to the The New York Times and other major publications. It is not available, as of this posting, on the company's own website. B of A says this means that debit card charges will be denied when a customer has insufficient funds. Customers can still choose to allow charges to be honored, with the understanding they will be charged overdraft fees for each transaction. B of A is the first bank to announce its new overdraft policy in advance of the third stage of the Federal Reserve's implementation of the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act), which was enacted in May 2009.  The provisions in the third stage of the Credit Card Act will go into effect on August 22, 2010. New York Times Story, click here. Full text of Federal Reserve press release on third stage of the Credit Card Act, copy click here. 03/09/2010

ID THEFT FIRM PAYS $12 MILLION SETTLEMENT / FTC SAYS LIFELOCK USED FALSE CLAIMS TO SELL IDENTITY THEFT PROTECTION SERVICE

More from the Emeritus Newsroom - Lifelock, the ID theft protection service, widely advertised the quality of their service by displaying the CEO’s Social Security number on the side of a truck. But, FTC Chairman Jon Leibowitz says, “While LifeLock promised consumers complete protection against all types of identity theft, in truth, the protection it actually provided left enough holes that you could drive a truck through it”. Lifelock agreed to pay the FTC $11 million and another $1 million to be shared by 35 state attorneys general. Since 2006, LifeLock’s ads have claimed that it could prevent identity theft for consumers willing to sign up for its $10-a-month service. According to the FTC’s complaint, LifeLock has claimed:

  • “By now you’ve heard about individuals whose identities have been stolen by identity thieves . . . LifeLock protects against this ever happening to you. Guaranteed.”
  • “Please know that we are the first company to prevent identity theft from occurring.”
  • “Do you ever worry about identity theft? If so, it’s time you got to know LifeLock. We work to stop identity theft before it happens.”

The FTC’s complaint charged that the fraud alerts that LifeLock placed on customers’ credit files protected only against certain forms of identity theft and gave them no protection against the misuse of existing accounts, the most common type of identity theft. It also allegedly provided no protection against medical identity theft or employment identity theft, in which thieves use personal information to get medical care or apply for jobs. And even for types of identity theft for which fraud alerts are most effective, they do not provide absolute protection. They alert creditors opening new accounts to take reasonable measures to verify that the individual applying for credit actually is who he or she claims to be, but in some instances, identity thieves can thwart even reasonable precautions.

New account fraud, the type of identity theft for which fraud alerts are most effective, comprised only 17 percent of identity theft incidents, according to an FTC survey released in 2007.

The FTC’s complaint further alleged that LifeLock also claimed that it would prevent unauthorized changes to customers’ address information, that it constantly monitored activity on customer credit reports, and that it would ensure that a customer always would receive a telephone call from a potential creditor before a new account was opened. The FTC charged that those claims were false.

In addition to its deceptive identity theft protection claims, LifeLock allegedly made claims about its own data security that were not true. According to the FTC, LifeLock routinely collected sensitive information from its customers, including their social security numbers and credit card numbers. The company claimed:

  • “Only authorized employees of LifeLock will have access to the data that you provide to us, and that access is granted only on a ‘need to know’ basis.”
  • “All stored personal data is electronically encrypted.”
  • “LifeLock uses highly secure physical, electronic, and managerial procedures to safeguard the confidentiality and security of the data you provide to us.”

The FTC charged that LifeLock’s data was not encrypted, and sensitive consumer information was not shared only on a “need to know” basis. In fact, the agency charged, the company’s data system was vulnerable and could have been exploited by those seeking access to customer information.

The FTC and state settlements with LifeLock bar deceptive claims, and prohibit the company from misrepresenting the “means, methods, procedures, effects, effectiveness, coverage, or scope of any identity theft protection service.” They also bar misrepresentations about the risk of identity theft, and the manner and extent to which LifeLock protects consumers’ personal information. In addition, the settlements require LifeLock to establish a comprehensive data security program and obtain biennial independent third-party assessments of that program for twenty years.

Full text of FTC press release including states involved, click here- 03/09/2010

CALIFORNIA INVESTIGATORS PROBE ANOTHER RUNAWAY TOYOTA

More in this article from San Diego Union-Tribune (includes video), click here- 03/09/3010

TOYOTA CONFRONTS RESEARCH BLAMING ELECTRONIC PROBLEMS IN SUDDEN ACCELERATION CASES

More from the Emeritus Newsroom - In a drive to diffuse research showing sudden acceleration problems are due to electrical/ electronic malfunctions, Toyota executives and engineering experts held a news conference detailing why, in their view, the research is flawed. Toyota concentrated on research performed by researcher Dave Gilbert from Southern Illinois University who had used a Toyota Avalon to simulate the type of failure he believes may be taking place when sudden uncontrolled acceleration takes place. Gilbert testified last week during a Committee on Energy and Commerce,Sub-Committee on Oversight Investigation hearing on the issue. Today, Toyota countered that Gilbert had rewired the vehicle in a fashion which cannot create the problem Gilbert describes. Toyota's problems are deeper than just an Gilbert's research. The National Highway Traffic Safety Administration is in the middle of a probe of what the company knew about the problems and when. NHTSA also announced last week that it will be examining some of the cars involved in reported sudden acceleration incidents, including one owned by a Tennessee couple, which raced out of control at speeds of 100 miles an hour, before the owner was finally able to stop it. Debate over the issue was amplified after Toyota first addressed the problem as "accelerator entrapment" involving mats and carpet. Toyota press release from today's news conference . Toyota PDF download from today's news conference, click here. More in this article from the Washington Post, click here. Full text of Gilbert testimony before House committee on Feb. 23 2010, click here. 03/08/2010

NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION SAYS TOYOTA OWNERS CLAIM SUDDEN ACCELERATION FIXES ARE NOT WORKING

More from the Emeritus Newsroom- The National Highway Traffic Safety Administration has received more than 60 complaints from Toyota owners who report they are still experiencing sudden unintended acceleration despite having their vehicle repaired by a Toyota dealer. The agency says that it will contact each and every consumer to learn more about what they say is happening. NHTSA has also asked Toyota to provide information about any complaints it has received from customers.

NHTSA says that if the fix by the company is not helping, the agency has the authority to order Toyota to provide a different solution.

"We are determined to get to the bottom of this," said David Strickland,
administrator of the auto safety agency. 

Direct link to filing safety complaint with NHTSA, click here. 03/05/2010

MEAT INSPECTORS CLAIM THEY WERE BULLIED AND THREATENED WITH REPRISALS OVER BAD REPORTS

More from the Emeritus Newsroom- Inspectors claim that under the Bush administration, slaughterhouse violations went without punishment. Dr. Dean Wyatt
FSIS Supervisory Public Health Veterinarian, told the Domestic Policy

MINORITIES ARE DISPROPORTIONATE SHARE OF FORECLOSURES

More from the Emeritus Newsroom- A study released today by the Center for Responsible Lending found minorities had a higher rate of foreclosure than white mortgage holders between 2007 to 2009. White mortgage holders had a 4.5% default rate, while blacks had 7.7% and Latinos had a rate of 7.9% rate. A more detailed breakdown of the figures shows blacks and latinos were 70% more likely to lles have been sold since December 2009.

The GX shares exterior design with the Toyota Land Cruiser Prado. Full text of Toyota press release, click here. Consumer Reports announcement AND VIDEO, click here. 04/13/2010

LOUISIANA MOST EXPENSIVE STATE FOR CAR INSURANCE / "MAZDA TRIBUTE 1" IS CHEAPEST VEHICLE TO INSURE / LATEST INSURANCE SURVEY RESULTS

More from the Emeritus Newsroom - A survey released today by Insure.com shows some of the states you might think to be cheapest for insurance, are not and the same with insuring vehicles. The most costly state for insuring vehicles is Louisiana. Not for the reasons you may think. It is due to the high costs of accident litigation, not Hurricane Katrina or weather, according to the survey. As for the cheapest vehicles to insure, the Mazda Tribute 1 came in first with the average cost at $1,070 per year. Of course, the exact cost for each insured driver depends on their driving record and other factors. Below is a graph of insurance costs ranking by states. Full text of state survey, click here. Full text of vehicle insurance cost survey, click here.

04/12/2010

FCC LOSES TO COMCAST IN APPEALS COURT DECISION / ISSUE STEMMED FROM CUSTOMER COMPLAINTS OVER BANDWIDTH RESTRICTIONS

More from the Emeritus Newsroom- In a decision handed down today by the U-S District Court of Appeals in Washington DC, the Federal Communications Commission was dealt a setback to control internet service providers and public internet access. Comcast had sued the commission claiming it had no authority restrict Comcast's practices of restricting use of Bikes Recalls Bicycle Frame Due to Crash Hazard. Details click here.

The Children's Place Recalls Denim Shorts Due to Choking Hazard; Metal Snaps Could Detach. More details, click here. 05/13/2010

FDA SOUNDS ALARM FOR E. COLI CONTAMINATED LETTUCE

More from the Emeritus Newsroom- Romaine lettuce marketed under the brands "Freshway" and "Imperial Sysco" have been linked to an outbreak of illnesses related to e. coli bacteria. The Romaine lettuce, distributed by Freshway Foods of Sidney, Ohio, has been recalled after being suspected in at least 20 illnesses, three of them with life threatening conditions, with more illnesses expected. Most of the illnesses were reported at Ohio State University, University of Michigan, and Daemon college in Amherst, New York. Although the company distributing the lettuce is in Ohio, the lettuce was grown in Arizona and sold in more than 23 states.

A Freshway Foods press release says the recalled shredded romaine lettuce was sold to wholesalers, food service outlets, and some in-store salad bars and delis in the following areas: Alabama, Connecticut, District of Columbia, Florida, Georgia, Illinois, Indiana, Kansas, Kentucky, Maryland, Massachusetts, Michigan, Missouri, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Virginia, West Virginia, and Wisconsin.

Symptoms of infection with harmful E. coli may range from none to mild diarrhea to severe complications. The acute symptoms include severe abdominal cramps and diarrhea, which may be bloody. Patients may progress to serious complications, such as kidney damage. FDA and CDC encourage anyone with the symptoms listed to contact his or her health care provider immediately.
The recalled shredded romaine lettuce has a “best if used by” date of May 12 or earlier. The Freshway Foods press release advises restaurants, distributors, and retailers to throw out or refrain from using shredded romaine lettuce from Freshway Foods with these “use by” dates. Additionally, Freshway Foods is advising consumers not to eat “grab and go” salads sold in-store salad bars and delis at Kroger, Giant Eagle, Ingles Markets, and Marsh stores.

Shredded romaine lettuce from Freshway Foods with “use by” dates after May 12 are not involved in this voluntary recall. Romaine lettuce and other types of lettuce and leafy greens from other producers are also not affected by this recall. FDA press release, click here. 05/07/2010

UNITED CONTINENTAL MERGER / WHAT WOULD IT MEAN FOR TICKET PRICES?

More from the Emeritus Newsroom- Untied and Continental Airlines have announced plans to merge the two. If the merger is completed, the Continental name would go into aviation history and the merged airline would be called, "United", the nation's largest airline. What it means for hub operations owned by Continental remains to be settled. Two cities with the most to lose in the merger would be Houston, where Continental is now based, and Cleveland, which serves as the airline's major midwest/eastern hub. As for how the proposed merger would impact passengers, it's safe to say that Continental which has strength in Mexico and Latin America, would be added to United, which has strong Domestic and international flight schedules to Europe and Asia. But, those flying from smaller cities served by those airlines could find themselves paying more. During an interview on National Public Radio, Tom Parsons of bestfares.com said,

"The combination means "you'll be able to fly the new United from almost anywhere you live in America. But there will be some downsizing of routes, and fewer opportunities to get premium seats. It's going to be tougher and tougher to cash in on frequent-flier miles."And you better believe that an airport like Chicago where United and Continental have 20 flights between them won't need as many. Where consumers may be most affected could be in places like Eugene, Ore., or Fargo, N.D., or Roanoke, Va. They're already paying a premium today, and, if anything, they'll see fares go higher".

NPR also quotes Terry Trippler of rulestoknow.com saying:

"I think the lower-cost airlines will be increasingly approached by these huge legacy carriers to be feeders into their international gateways," Trippler says. "Already American has cut a deal with JetBlue in New York City. I see us reverting to the way carriers operated in the 1970s before airline deregulation: with the low-cost airlines serving as feeder airlines, bringing passengers to the trunk carriers for the longer flights". Full text of NPR story, click here. 05/03/2010

MORE PROBLEMS FOR JOHNSON & JOHNSON AS RECALL ORDERED FOR CHILDRENS TYLENOL, MOTRIN, ZYRTEC AND BENEDRYL

More from the Emeritus Newsroom- The Food and Drug Administration says McNeill Consumer Health Care has ordered the recall several of its brands of Johnson & Johnson childrens and infants, Tylenol, Motrin, Zyrtec and Benedryl. Some of the products included in the recall may contain a higher concentration of active ingredient than specified; others contain inactive ingredients that may not meet internal testing requirements; and others may contain tiny particles. While the potential for serious medical events is remote, FDA advises consumers who have purchased these recalled products to discontinue use. “We want to be certain that consumers discontinue using these products and that they know what to do if they have concerns about a specific product,” said Commissioner of Food and Drugs Margaret A. Hamburg, M.D. “While the potential for serious health problems is remote, Americans deserve medications that are safe, effective and of the highest quality. We are investigating the products and facilities associated with this recall and will provide updates as we learn more”. Earlier this week, Johnson & Johnson pharmaceutical subsidiaries agreed to an $81 million settlement for illegal marketing of the drug "Topamax" for unapproved uses. See illegal marketing story on Emeritus News Health Care Page from April 29, 2010. Full text of recall announcement for children's and infants medications, click here. 05/01/2010

LATEST MANFACTURER RECALLS: ACURA RECALLS 167,000 TSX CARS / COMARCO POWER ADAPTER FOR LAPTOPS

More from the Emeritus Newsroom- Two major recalls announced today by Acura and computer equipment maker Co marco. First, Acura today announced a recall of approximately 167,000 Acura TSX vehicles to replace a power steering hose. Affected TSX vehicles are 2004-2008 models sold in the United States with the 2.4L inline 4-cylinder engine. The repair involves installing a new power steering hose, o-ring gasket and fluid-- all done at no cost to the vehicle owner.The recall is being conducted due to the potential for premature deterioration of the exterior surface of the hose as a result of prolonged exposure to high under-hood temperatures. In the event of excessive deterioration, a crack in the hose could develop, which could allow power steering fluid to leak or spray on a hot exhaust component potentially generating smoke or a fire. Acura has only received notice of one incident resulting in a fire. Owners of affected vehicles will be informed by mail starting at the end of May. In addition, TSX owners can go to owners.acura.com/recalls or may call (800) 382-2238 for more information.

ALSO, The U.S. Consumer Product Safety Commission, in cooperation with the firm named below, today announced a voluntary recall of the following consumer product. Consumers should stop using recalled products immediately unless otherwise instructed.

(Logo: http://www.newscom.com/cgi-bin/prnh/20030904/USCSCLOGO)

Name of product: Targus Universal Wall Power Adapters for Laptops

Units: About 507,000

Manufacturer: Comarco Inc. of Lake Forest, Calif.

Hazard: Faulty wiring can cause the connector tips to heat and melt the plastic encasing the connector tips, posing a burn hazard to consumers.

Incidents/Injuries: The firm has received 518 incidents of the connector tips heating, 53 of which resulted in the melting of the plastic casings. Eight consumers have reported a finger tip or hand burn. No reports of medical attention were received.

Description: This recall involves the Targus Universal Wall Power Adapters for Laptops. Only models with the following SKU numbers are affected by this recall:  APA23US-02, APA23US-03, APA23US-04, APA63US-03, APA63US-04, APM62US-03 and APM62US-04. The SKU number can be found on the underside of the adapter unit.

Sold at: WalMart, Best Buy, Office Depot, Staples, Amazon.com and other retailers nationwide from June 2009 through March 2010 for between $89 and $109 for adapters for wall outlets only and for between $129 and $149 for adapters for both wall outlets and car/airplane use.  

Full text of CPSC press release, click here. New Balance press release, click here. 06/20/2010

FORD RECALLS MORE THAN 33,000 VEHICLES

Executive Summary of Center for Responsible Lending Report, click here. 06/18/2010

TOY RECALL: STEP 2 RIDING TOYS DUE TO RISK OF INJURY

More from the Emeritus Newsroom- An estimated 2.5 million Push Around and Whisper Ride Buggies are being recalled by Children's toy maker Step 2. An announcement today from the Consumer Product Safety Commission says a pin attaching to the yellow knob on the handle of the buggy can loosen, causing the handle to detach from the buggy. This poses a serious risk of injury to young children. The Streetsboro Ohio company has received 28 reports of the handle detaching; two incidents required professional medical treatment and 26 resulted in minor scrapes and scratches. The recall involves:

The Step2® Push Around Buggy™ and Whisper Ride Buggy™ are ride-on toys. The buggy comes in various colors; such as, orange, red, blue, pink and green. The buggies have a red “Step2” logo on the handle of the buggy. Buggies that have a handle attached by a bolt with a plastic white or black head and nut are not included in this recall.

The toys were sold in the U-S at major retailers and specialty stores from August 1999 through March 2010 for between $29 and $59. CPSC press release, click here.

Some other recent toy recalls include:

46,000“Fly Dragonfly” (also called “Queen Bee”) Remote-Controlled Helicopters, which can catch fire. More details, click here.

Niner aying their creditors, including accounts that were still current. GAO also found that some debt settlement companies provided fraudulent, deceptive, or questionable information to its fictitious consumers, such as claiming unusually high success rates for their programs--as high as 100 percent. FTC and state investigations have typically found that less than 10 percent of consumers successfully complete these programs".

The GAO gave specific examples of how these companies violate the law, adding, "Nearly all of the companies advised GAO's fictitious consumers to stop paying their creditors, including accounts that were still current. GAO also found that some debt settlement companies provided fraudulent, deceptive, or questionable information to its fictitious consumers, such as claiming unusually high success rates for their programs--as high as 100 percent. FTC and state investigations have typically found that less than 10 percent of consumers successfully complete these programs. Other companies made claims linking their services to government programs and offering to pay $100 to consumers if they could not get them out of debt in 24 hours. GAO found the experiences of its fictitious consumers to be consistent with widespread complaints and charges made by federal and state investigators on behalf of real consumers against debt settlement companies engaged in fraudulent, abusive, or deceptive practices. Allegations identified by GAO involve hundreds of thousands of consumers across the country. Federal and state agencies have taken a growing number of legal actions against these companies in recent years".

Chairman Rockefeller told the committee, "This is a serious and growing problem, and I am pleased to report that our state attorneys general and the Federal Trade Commission are fighting these fraudulent companies".

John Ansbach Legislative Director United States Organizations of Bankruptcy Alternatives, told the committee that much of the information which comes from consumer advocacy groups claims that the services the debt settlement companies performs are not as promised. But, Ansbach claims, member companies have collected more than $1.4 billion dollars in unsecured debt over the past few years, and the customers have settled debts through those companies for 47 cents on the dollar. Ansbach also spoke out against what he claims is the Federal Trade Commission attempt to force compliance with a "Telemarketing Sales Rule", which would ban these companies from charging an advance fee for their services, effectively killing it and costing thousands of jobs. Full text of Ansbach statement click here.

Senate Commerce Committee hearing webcast video, click here. GAO summary with direct link to full text of GAO report on debt settlement companies, click here. GAO investigative recordings of fake customers with debt settlement companies, click here. 04/23/2010

SUPREME COURT DEALS BLOW TO ATTORNEYS REPRESENTING DEBT COLLECTORS / COURT SAYS THEY ARE LIABLE FOR MISINTERPRETING THE FAIR DEBT COLLECTION PRACTICES ACT

More from the Emeritus Newsroom- Good news for consumers who find themselves victims of overzealous and illegal debt collection practices. The U-S Supreme Court today ruled that debt collectors and their attorneys do not have a "good faith defense" if they misinterpret the federal Fair Debt Collection Practices Act and are liable for damages payable to victims of those practices. Debt collectors and their attorneys have previously used misinterpretations of statues to shield themselves from lawsuits. The case, KAREN L. JERMAN, PETITIONER v. CARLISLE, MC-
NELLIE, RINI, KRAMER & ULRICH LPA, actually involved Countrywide Mortgage which had filed for a foreclosure auction on a home owned by Karen Jerman of Ashtabula, Ohio. Problem was, Jerman had already paid off the home and Countrywide's Cleveland attorneys, Carlisle, McNellie, Rini, Kramer and Ulrich demanded that if she wanted to contest the foreclosure, she had to do so in writing. As a result, Jerman and her attorneys from the consumer advocate firm, Incove, filed a class action lawsuit, contesting the mistake and that the Fair Debt Collection Practices Act sets no requirement that anyone contesting foreclosure had to do so in writing. Facing bad press and knowing it had made mistakes, Countrywide essentially ran from the lawsuit, but the question over debt collectors defenses continued through the courts. Now that the Supreme Court has ruled on the question, the class action part of the case will be settled in a Cleveland federal court. Full text of the U-S Supreme Court decision, click here. 04/21/2010

YEARLY PER HOUSEHOLD COSTS $90 BY 2012, $550 BY 2030 / PROJECTION BY CONGRESSIONAL BUDGET OFFICE FOR ENVIRONMENTAL CAP AND TRADE LAWS / WOULD BE .4% OF U-S GDP 2012-2050

More from the Emeritus Newsroom- Part of the battle over cap and trade legislation, to limit carbon emissions throughout the world, is the cost for the average household. That equation was addressed by the Congressional Budget Office today in analysis on potential legislation. The CBO says it estimated the loss in households’ purchasing power that would result from the primary cap-and-trade program that would be established by H.R. 2454. CBO projects the loss would equal about 0.1 percent of GDP in 2012, about 0.5 percent in 2030, and about 0.8 percent in 2050, CBO estimates; the average loss per year over the entire 2012– 2050 period would be about 0.4 percent. Measured in terms of the 2010 economy, the average loss per household would be $90 for 2012, $550 for 2030, and $930 for 2050; it would average about $460 per year over the 2012–2050 period. As for household income during much of the same period, the CBO estimates compliance costs would tend to increase faster than GDP over time. In contrast, compensation to households would rise faster than GDP during the next decade, level off as a share of GDP for the following several decades, and then decline relative to GDP in the 2040s. As a result, more than 85 percent of compliance costs would be offset by compensation in 2012, but only 35 percent would be offset by compensation in 2050. In CBO’s estimation, the loss in households’ purchasing power under H.R. 2454 would rise steadily between 2012 and 2031, would then fall slightly for a few years,
and would begin to rise again in 2035. Full text of CBO cap and trade per household cost projections, click here.
04/20/2010

TOYOTA AGREES TO $16 MILLION FINE FOR LATE RECALLS ON ACCELERATION PROBLEMS / WILL RECALL 2010 LEXUS GX 460 LABELED 'UNSAFE' BY CONSUEMR REPORTS

More from the Emeritus Newsroom- Toyota has agreed to pay a more than $16 million dollar fine proposed by the Department of Transportation for late recalls on vehicles with accelerator problems. The company's agreement to pay $16.375 million, to settle the claim, represents the maximum Civil Penalty allowed by law. In a statement released today by the Department of Transportation, Secretary Ray LaHood said, “By failing to report known safety problems as it is required to do under the law, Toyota put consumers at risk”. LaHood added . “I am pleased that Toyota has accepted responsibility for violating its legal obligations to report any defects promptly. We are continuing to investigate whether the company has lived up to all its disclosure obligations”. The company also announced today it was recalling the Luxus GX 460 S-U-V after the vehicle was labeled "unsafe" last week by Consumer Reports magazine. Consumer Reports claimed the 2010 Lexus GX 460 stability system did not react quickly enough as the back end skidded during a test (See the video at right) . The magazine claimed the failure of the stability system to compensate for the skid was among the worst examples of such performance they had found in any similar vehicle. Toyota press release, click here. Consumer Reports announcement AND VIDEO, click here. Dept. of Transportation press release, click here. 04/19/2010

TOYOTA RECALLS 600,000 SIENNA MINIVANS

More from the Emeritus Newsroom- The potential loss of a spare tire has prompted Toyota to recall 600,000 Sienna minivans in what has been a terrible week for the automaker. Earlier in the week the company endured an "Unsafe labeling of its luxury Lexus GX 460 SUV, followed by an announcement that a U-S House committee will hold a hearing next month on the runaway vehicle problem. In a press release today, Toyota explained the models affected by the recall are:

The 1998 through 2010 model year Siennas first- and second-generation Sienna 2WD minivans sold in the United States to address potential corrosion in the spare tire carrier cable.

The vehicles of concern have been operated in cold climate areas with high road salt use. Continued prolonged exposure to road salts may cause excessive corrosion of the carrier cable in some of these vehicles. In the worst case, the carrier cable may fail and the spare tire could become separated from the vehicle, a road hazard for following vehicles that increases the likelihood of a crash.

Toyota says it has not yet arranged for a specific repair procedure and will be contacting owners to bring their vehicles in for an inspection.

It was just last November when Toyota announced a recall of 110,000 Tundra Pickups for excessive corrosion, which could cause the spare tire to release. Owners were asked to remove the tires from the underbody. Full text of NHTSA press release, click here.

Full text of Toyota press release and video, click here. 04/16/2010

LEXUS GX 460 LABELED AS "UNSAFE" BY CONSUMER REPORTS / TOYOTA RESPONDS BY HALTING SALES

More from the Emeritus Newsroom- Consumer Reports magazine claims their tests on the Lexus GX 460 shows the vehicle's stability control system, was not quick enough to prevent the type of rollovers for which it is designed. For that reason the magazine has listed the vehicle as a, "Don't Buy". In response, Toyota Motors, which makes Lexus, announced it was suspending sales of the vehicle until it investigated the magazine's claims. Consumer Reports regularly tests .Full text of Acura press release, click here. 04/30/2010

MAJOR RECALL OF TWO CRIB MODELS

More from the Emeritus Newsroom- The Consumer Product Safety Commission today announced recalls of two models of cribs. The CPSC says the recalls involve LaJobi-manufactured Graco® wood cribs and all Simplicity full-size cribs with tubular metal mattress-support frames.

The Graco full size cribs were sold in cherry, espresso, natural and white finishes. The production date, item number, purchase order number and finish name is printed on a label affixed to the footboard or headboard. "LaJobi" and the crib model name are printed on a product sticker located on the stabilizer bar or bottom rail of the crib.

The Simplicity recall includes fixed-side and drop-side cribs. These cribs pose a risk of serious injury or death due to entrapment, strangulation, suffocation and fall hazards to infants and toddlers.Graco press release from CPSC click here. Simplicy press release, click here. 04/29/2010

TOYOTA RECALLS 2003 SEQUOIA S-U-V MODELS OVER STABILITY CONTROL SYSTEM

More from the Emeritus Newsroom- Stability control problems in some of the 2003 Toyota Sequoia models has prompted a recall from the company. The problem was part of an ongoing probe by the National Highway Transportation Safety Administration. The stability control system is designed to co-ordinate traction of front and back tires to prevent skidding and loss of traction. However, on some of the 2003 Sequoias, an estimated 50,000 of them, this system can engage at low speed for no reason, which can slow acceleration and complicate transmission functions. Toyota says it has already repaired the problem in some of the vehicles dating back to a technical bulletin in the fall of 2003. Toyota has already recalled more than 9 million vehicles since November 2009 and Subcommittee of the House Oversight Committee, that his reports of safety and product quality problems at Seaboard Farms in Guymon Oklahoma. He also found numerous violations of the Humane Slaughter Act by the establishment, in one case reporting the case of a pig on a conveyor belt, which was slaughtered while conscious. Dr. Wyatt told the subcommittee,

"As I continued to raise concerns about problems at the plant, Seaboard began appealing my decisions to both my immediate supervisor and to District Office officials in Springdale, Arkansas who had never met me. FSIS officials who were hundreds of miles away simply took company personnel at their word that the egregious events that I personally witnessed did not justify my actions. A high-ranking FSIS official even went so far as to write a letter to Chairman Kucinich claiming that I was “incompetent” when the Congressman’s office inquired into allegations I had raised". Several more incidents involving violations took place, according to Dr. Wyatt, which were ignored by his superiors. After being transferred to a slaughterhouse in Vermont, he discovered that many of the same violations were going on there. In fact, Dr. Wyatt claimed,

"The plant manager at Bushway Packing in Grand Isle Vermont found out about my experience at Oklahoma and wanted me kicked out of his plant. In the middle of all the humane handling suspension actions at Bushway that I’ve mentioned above, the owner filed formal complaints against me implying that I was harassing him, when I was only doing my job. Suddenly, I was ordered by my FSIS supervisors to go to training for new Public Health Veterinarians, which took me out of the plant for three weeks. Again – an effort at retaliation for doing my job. I strenuously objected to this ridiculous order that was not only an insult but a waste of taxpayer money.
The turning point for me was when The Humane Society of the United States (HSUS), unbeknownst to me, hired an undercover investigator to look into my allegations of wrong doing at Bushway Packing. The video documentation produced by this investigation confirmed the gruesome humane handling violations that I was witnessing and documenting by way of noncompliance reports at Bushway. In fact, the video showed even more egregious events than I had been aware of and, in fact, showed footage of one of my subordinates telling plant personnel to only engage in violations when I was not present because otherwise “Doc (referring to me) would shut the plant down.”Full text of Wyatt testimony, click here.

Dr. Wyatt was joined in his dour assessment of USDA food inspection by others critical of the Department's practices. See hearing page with additional testimony text, click here.

In defense of the USDA, Jerold R. Mande Deputy Under Secretary for Food Safety told tech subcommittee,

"There are a variety of steps that FSIS has recently taken to ensure compliance with HMSA, as well as actions we will be taking in the near future to make our enforcement of HMSA as effective as possible. FSIS continues aggressive hiring and the maximum use of recruitment and retention authorities.
Recent Steps
Consistent with directives established in the fiscal year (FY) 2010 Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, FSIS devoted approximately 140 full-time equivalent (FTE) staff years to the verification and in-plant enforcement of humane handling requirements at slaughter establishments in 2009.
In addition, FSIS recently added an additional 23 inspection positions, and assigned them to higher-risk establishments in order to boost humane handling oversight and verification inspection activities at those locations. FSIS is also working diligently to fill the newly created position of Humane Handling Enforcement Coordinator. The Coordinator is a headquarters-based position, primarily responsible for providing consistent oversight of the field level humane handling activities. In addition, this individual will play a key role in the various humane handling enforcement and verification activities".

03/04/2010

FEDERAL RESERVE ANNOUNCES MORE RULES SOON TO TAKE EFFECT ON CREDIT CARD COMPANIES

More from the Emeritus Newsroom- As the third stage in instituting the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act), which was enacted in May 2009, the Federal Reserve today released more rules that will be used to limit fees and charges. The new rules would, according to the Fed,

  • Prohibit credit card issuers from charging penalty fees (including late payment fees and fees for exceeding the credit limit) that exceed the dollar amount associated with the consumer's violation of the account terms. For example, card issuers would no longer be permitted to charge a $39 fee when a consumer is late making a $20 minimum payment. Instead, the fee could not exceed $20.
  • Ban inactivity fees, such as fees based on the consumer's failure to use the account to make new purchases.
  • Prevent issuers from charging multiple penalty fees based on a single late payment or other violation of the account terms.  
  • Require credit card issuers to inform consumers of the reasons for increases in rates. 
  • Require issuers that have increased rates since January 1, 2009 to evaluate whether the reasons for the increase have changed and, if appropriate, to reduce the rate.
  • The proposed rule represents the third stage of the Federal Reserve's implementation of the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act), which was enacted in May 2009.  The provisions of the Credit Card Act addressed in this proposal will go into effect on August 22, 2010. In July 2009, the Board issued a rule implementing the provisions of the Credit Card Act that went into effect on August 20, 2009. In January 2010, the Board issued a rule to implement the provisions of the Credit Card Act that went into effect on February 22, 2010. Full text of fed press release, copy click here. 03/03/2010

FOOD AND DRUG ADMINISTRATION TAKES AIM AT 18 FOOD COMPANIES FOR MISLEADING CLAIMS

More from the Emeritus Newsroom- The range of food companies getting warning letters from the FDA include well known names such as Nestle and lesser brands such as Want Want Foods. What they all have in common is that they have been warned by the Food and Drug Administration that the claims on their packaging are misleading. The FDA filed warning letters against the following companies regarding specific products. Click on the company names to get specifics involving each company.

Dreyers Grand Ice Cream, Inc1. Nestle Drumstick Classic Vanilla Fudge
Dreyers Dibs Bite Sized Ice Cream Snacks Vanilla Ice Cream with Nestle Crunch Coating
Gorton's, Inc. Gorton's Fish Fillets
Schwan's Consumer Brands3 Mrs. Smith's Coconut Custard Pie
Spectrum Organic Products, Inc. Organic All Vegetable Shortening
Beech-nut Beechnut DHA Plus line of products
Beechnut Whole Grain Oatmeal with mixed fruit
PBM Products Parent's Choice Little Puffs Plus Calcium Blueberry Naturally Flavored
Parent's Choice Little Puffs Made with Whole Grains Peach-Mango Naturally Flavored
Nestle Juicy Juice Brain Development Fruit Juice Beverage (Apple)
Juicy Juice All-Natural 100% Juice Orange Tangerine and Juicy Juice All-Natural 100% Juice Grape
Nestle Nutrition Gerber's 2nd Foods Carrots
Gerber Graduates Puffs
Redco Foods Salada Naturally Decaffeinated Green Tea
Sunsweet Growers Antioxidant Blend Dried Fruit Mix
Fleminger Inc. TeaForHealth Green Tea products Dr. Lee's TeaForHealth 710EGCG in a bottle Green Tea
12Tea For Health 710EGCG Ready-To-Drink Natural Brewed Green Tea
POM Wonderful POM Wonderful 100% Pomegranate Juice
Ken's Foods, Inc. Ken's Healthy Options Salad Dressings
Pompeian, Inc. Pompeian Imported Extra Light Olive Oil
Diamond Food, Inc. Diamond of California Shelled Walnuts
First Juice, Inc. Organic Fruit and Veggie Juice Beverage products
Purple carrot products
Want Want Foods Baby Mum-Mum Original Selected Superior Rice Rusks

Ken's Foods, according to the FDA, labels Ken's Healthy Options™ Parmesan & Peppercorn, Sweet Vidalia® Onion Vinaigrette, and Raspberry Walnut Dressing products with a statement suggesting that the products, because of their nutrient content, may be useful in maintaining healthy dietary practices, and those statements are made in association with claims or statements about a nutrient.
Specifically, your product labels bear the brand name "Healthy Options™,, in association with
statements about the amounts of calories, fat, and sodium in the products. However, these
products do not meet the requirements for the use of the nutrient content claim "healthy" that
are set forth in 21 CFR 101.65(d)(2).

In Nestle's case,the FDA wrotensumer Reports claims,

"In real-world driving, lift-off over steer could occur when a driver enters a highway’s exit ramp or drives through a sweeping turn and encounters an unexpected obstacle or suddenly finds that the turn is too tight for the vehicle’s speed. A natural impulse is to quickly lift off the accelerator pedal. If that were to happen in the GX, the rear could slide around far enough that a wheel could strike a curb or slide off the pavement.

Either of those scenarios can cause a vehicle to roll over. And because the GX is a tall SUV with a high center of gravity, our concern for rollover safety is heightened".

Responding to the report, Toyota Vice President and General Manager, Mark Templin said,

"We are taking the situation with the GX 460 very seriously and are determined to identify and correct the issue Consumer Reports identified,"

The company estimated at least 6,000 of the vehicn="left">More from the Emeritus Newsroom- The National Highway Traffic Safety Administration today announced that Ford was recalling the following 2010 models for seat and headrest safety problems:

The Ford Explorer, Explorer Sport Trac, Fusion and the Mercury Milan and Mountaineer.

According to NHTSA, in the event of a crash, the seat back and head restraint may move rearward, increasing the risk of injury. Dealers will replace the manual recliners for both manual and power seats, free of charge. The recall is expected to begin on or before April 30, 2010. Full text of NHTSA press release, click here. Ford corporate personnel today stated the company would not issue a press release on the recall. 04/23/2010

SENATE COMMITTEE HEARS ILLEGAL ACTIVITIES OF DEBT SETTLEMENT COMPANIES

More from the Emeritus Newsroom - The Governmental Accounting Office was among those taking aim at the debt settlement industry in a hearing before the Senate Commerce Committee. The hearing was called by Committee Chairman Jay Rockefeller (D) W-VA, over complaints the debt settlement industry is illegally taking advantage of consumers and encouraging consumers to violate the law. The hearing included a report from the GAO, which found that,

"...some debt settlement companies engage in fraudulent, deceptive, and abusive practices that pose a risk to consumers. Seventeen of the 20 companies GAO called while posing as fictitious consumers say they collect fees before settling consumer debts--a practice FTC has labeled as harmful and proposed banning--while only 1 company said it collects most fees after it successfully settles consumer debt. (GAO was unable to obtain fee information from 2 companies.) In several cases, companies stated that monthly payments would go entirely to fees for up to 4 months before any money would be reserved to settle consumer debt. Nearly all of the companies advised GAO's fictitious consumers to stop p certain downloading and uploading software, sometimes referred to as "bandwidth hogs", such as BitTorrent and some You Tube applications. Specifically, the argument surrounds a dispute that arose under the Bush administration when internet users complained that Comcast was illegally blocking and/or limiting their use of software, such as, BitTorrent. The FCC ordered Comcast, in a 2008 decision, to stop interfering with such users. In 2007 several subscribers to Comcast’s high-speed internet service discovered that the company was interfering with their use of peer-to-peer networking applications. Full text of FCC press release on 2008 Comcast order, click here.

Peer-to-peer programs allow users to share large files directly with one another without going through a central server. Such programs also consume significant amounts of bandwidth. Comcast challenged the 2008 decision by the commission, which did not change its position on the case as the Obama administration took over. The FCC argued that Comcast had “significantly impeded consumers’ ability to access the content and use the applications of their choice” and that their practices interfered with competing applications such as Vonage (VIOP) internet telephone services. Comcast said it had the right to limit customers using programs, which took too much bandwidth and made it more difficult to manage bandwidth for the rest of their customers. But, IN ANNOUCING TODAY'S DECISION, the Appeals Court found that the FCC's had no statutory foundation for its order.

"..... notwithstanding the “difficult regulatory problem of rapid technological change” posed by the communications industry, “the allowance of wide latitude in the exercise of delegated powers is not the equivalent of untrammeled freedom to regulate activities over which the statute fails to confer . . .
Commission authority.” NARUC II, 533 F.2d at 618 (internal quotation marks and footnote omitted). Because the Commission has failed to tie its assertion of ancillary authority over Comcast’s Internet service to any “statutorily mandated responsibility” Am. Library, 406 F.3d "at 692, we grant the petition for review and vacate the Order". Full text of actual Appeals Court decision, click here.

Comcast issued the following statement from Sena Fitzmaurice, Vice President of Government Communications:

“We are gratified by the Court’s decision today to vacate the previous FCC’s order.  Our primary goal was always to clear our name and reputation. We have always been focused on serving our customers and delivering the quality open-Internet experience consumers want.   Comcast remains committed to the FCC’s existing open Internet principles, and we will continue to work constructively with this FCC as it determines how best to increase broadband adoption and preserve an open and vibrant Internet.” Full text of Comcast press release, click here.

Although the decision is a setback for the FCC, its clear the commission may take the case to the Supreme Court or seek a remedy from congress, where there is bipartisan support for internet neutrality. Federal Communications Commission Spokesperson Jen Howard said, in a statement released by the commission, “The FCC is firmly committed to promoting an open Internet and to policies that will bring the enormous benefits of broadband to all Americans. It will rest these policies -- all of which will be designed to foster innovation and investment while protecting and empowering consumers -- on a solid legal foundation.“Today’s court decision invalidated the prior Commission’s approach to preserving an open Internet. But the Court in no way disagreed with the importance of preserving a free and open Internet; nor did it close the door to other methods for achieving this important end.”  Direct link to call commissioners statements (See April 6 2010 listings), click here. 04/06/2010

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INSTANT PRODUCT RECALL SITE CONNECTIONS

Because of the volume of product recalls, Emeritus News has established the following direct links to special government and manufacturer recall announcements. Just click on the underlined titles.