Weekday NEWS to Comfort the Disturbed and Disturb the Comfortable.
Thursday 06.24.2010
California welfare cards can be used in many casino ATMs
By Jack Dolan, Los Angeles Times
Times review finds that in more than half of the state's casinos and gaming rooms, welfare recipients can get cash from state-issued EBT cards. Officials say they're moving to block such transactions.
Gov. Arnold Schwarzenegger, who learned of the issue when asked to comment for this story, promised to take immediate action.
"We have instructed our vendors to prohibit these cards from being accepted at ATMs located in casinos and card rooms," Schwarzenegger spokesman Aaron McLear said Wednesday. "It is reprehensible that anyone would use taxpayer money for anything other than its intended purpose."
Fannie Mae Will Deny New Loans to Homeowners Who Walk Away
By Lorraine Woellert
June 23 (Bloomberg) -- Fannie Mae, the mortgage guarantor 80 percent owned by the U.S. government, will temporarily deny new loans to borrowers who deliberately default and walk away from their homes.
Borrowers who have the means to make mortgage payments and don't work with lenders to restructure loans will be banned from obtaining new mortgages backed by Fannie Mae for seven years from the date of foreclosure, the company said today in a statement. Washington-based Fannie Mae, along with McLean, Virginia-based rival Freddie Mac, own or guarantee more than half of the $10.7 trillion U.S. mortgage market.
Business leaders say Obama's economic policies stifle growth
By Lori Montgomery - Washington Post
The chairman of the Business Roundtable, an association of top corporate executives that has been President Obama's closest ally in the business community, accused the president and Democratic lawmakers Tuesday of creating an "increasingly hostile environment for investment and job creation."
Ivan G. Seidenberg, chief executive of Verizon Communications, said that Democrats in Washington are pursuing tax increases, policy changes and regulatory actions that together threaten to dampen economic growth and "harm our ability . . . to grow private-sector jobs in the U.S."
Mortgage crisis could damp consumer consumption for years to come
By Gail MarksJarvis - LATimes.coom
Borrowers who defaulted could have low credit scores for years, crimping their spending. And changes in scoring and how it's applied could dramatically affect all Americans' ability to borrow.
For countless Americans struggling to make their mortgage payments, the problems have just begun.
Although a loan modification or foreclosure might allow them to put their housing problems behind them, millions will be dogged for years by the aftermath - a credit score so tarnished by the housing debacle that lenders will avoid them. And if they are able to obtain loans, high interest rates are likely to strain their budgets.
Why analysts see Gold at $10,000
By Lorimer Wilson - CommodityOnline.com
My first reaction when I read an article on this site by Arnold Bock - articulating why gold would go to $10,000 - by 2012 no less - was amazement. Who in their right mind would suggest that gold would eventually reach $2,500, let alone $5,000 or even $10,000? Well, I did some investigation and, believe it or not, Bock is in lofty company. Many respected individuals, such as David Rosenberg, Peter Schiff, Harry Schultz, Rob McEwen and many others, have come to the same conclusion. Below is a partial list of such individuals with sound reasons to substantiate their views.
What The Economist Doesn't Know About Gold
By: Adrian Ash, - GoldSeek.com
Two things happen to cash savers (meaning pretty much everyone) when real interest rates get stuck below zero... HOW HAS GOLD reached and breached new all-time highs in the absence of strong 1970s-style inflation?
The Buttonwood column in last weekend's Economist is only the latest analysis to miss the point, and despite tripping right over it, too.
"Owning gold is traditionally seen as offering protection against inflation. And inflation is very bad news for owners of government bonds.
Fed Sees Recovery Weakening but Uses No New Economic Tools
By CHARLES WALLACE - DailyFinance.com
The Federal Reserve issued a somewhat downbeat assessment of the state of the economy Wednesday but didn't outline any new tools to help the country get back to work.
The Federal Open Market Committee said in a statement that it is leaving interest rates unchanged at between 0% and 0.25%. The FOMC, which is headed by Fed Chairman Ben S. Bernanke, said information gathered since the last meeting in April suggests that "the economic recovery is proceeding and that the labor market is improving gradually."
It said household spending is increasing but "remains constrained by high unemployment, modest income growth, lower housing wealth and tight credit."
Government Insiders: Get Ready for the Gulf "Dead Zone"
Written by Wayne Madsen - OilPrice.com
Bad news concerning the Gulf oil disaster continues to come from WMR's federal government sources in the Federal Emergency Management Agency (FEMA) and the US Army Corps of Engineers. Emergency planners are dealing with a prospective "dead zone" within a 200 mile radius from the Deepwater Horizon disaster datum in the Gulf.
BP: Now less popular than Goldman Sachs
BY ALEX PAREENE - Salon.com
Felix Salmon has been monitoring the BrandIndex scores of Toyota, BP and Goldman Sachs. BrandIndex polls people daily on whether what they've heard about a particular brand is negative or positive.
Exciting news: Goldman Sachs, which has been in the toilet, brand-wise, for a year, is finally more popular than another corporation. With a score of -47.6 in the latest BrandIndex poll, BP is now semi-scientifically the most reviled company in the United States.
General McChrystal and the militarization of US politics
by Simon Tisdall - guardian.co.uk
America has settled into being a nation perpetually at war. In this climate it's no surprise generals sometimes get out of control
Barack Obama has a problem with America's generals that is unlikely to be solved quickly or easily, whatever the outcome of the Stanley McChrystal affair. The disrespectful behaviour of the US commander in Afghanistan and his aides was symptomatic of a more deeply rooted, potentially dangerous malaise, analysts suggest. This week's events might thus be termed a very American coup.
One reason for Obama's difficulty lies in his own inexperience. As a greenhorn commander-in-chief and a Democrat to boot, Washington watchers say Obama has had scant opportunity to win the military's respect, let alone its affection. His unease with his violent inheritance in Afghanistan and Iraq is evident.
How McChrystal sabotaged counterinsurgency
BY MARK BENJAMIN - Salon.com
The man who co-wrote the bible on fighting insurgents says the general and "nincompoop" aides flouted its tenets
Throughout the Rolling Stone article that brought him down, Gen. Stanley McChrystal is described as "America's leading evangelist for counterinsurgency" -- a leader who surrounded himself with a crack team of "counterinsurgency experts" devoted to using that strategy to win the war in Afghanistan. But the man who co-wrote the military's 2006 counterinsurgency manual with Gen. David Petraeus says McChrystal didn't appear to understand or embrace that strategy's cornerstone: full military partnership with civilian government allies.
"If you look at Iraq, Petraeus and [former Iraq Ambassador Ryan] Crocker were joined at the hip and closely coordinated State Department and military activities," said Conrad Crane, the leading author of what has become the counterinsurgency bible. "From the reports, it appears that the close cooperation in Afghanistan was not there."
BP removes oil cap after submarine crash
PhysOrg.com
The containment system capturing oil from the Gulf of Mexico spill had to be removed Wednesday, leaving crude gushing unchecked, after a collision involving a robotic submarine, US officials said. "We had an incident earlier today, they noticed that there was some kind of a gas rising," said Admiral Thad Allen, pictured on June 17, the US official coordinating the response to the disaster.
Oil gushed unchecked Wednesday from the leaking well in the Gulf of Mexico after BP's containment system was removed for repairs following a submarine crash, US officials said.
G-20 unity fades along with global crisis Leaders will spar over deficits, bank rules and global rebalancing
By Rex Nutting, MarketWatch
WASHINGTON (MarketWatch) -- Leaders of the biggest economies managed to put their differences aside at the height of the global financial panic, but the unity of 2008 and 2009 will be replaced by strong differences of opinion when the Group of 8 and the Group of 20 leaders meet this weekend in Canada.
The problems of the global economy haven't gone away, but the sense of urgency to act as one has faded.
Soros tells Germany to step up to its responsibilities, or leave EMU
By Ambrose Evans-Pritchard, International Business Editor - Telegraph.co.uk Legendary investor George Soros has called on Germany to leave the euro unless it willing to embrace a growth strategy, describing Berlin's austerity doctrine as a threat to democracy and political stability in Europe.
"German policy is becoming a danger that could destroy the European Project. A collapse of the euro cannot be excluded," he told the German weekly Die Zeit.
"Unless Germany changes policy, its withdrawal from the currency union would be helpful for the rest of Europe. At the moment Germany is pushing its neighbours into deflation: this threatens a long phase of stagnation, leading to nationalism, social unrest, and zenophobia. It endangers democracy," he said.
Soros Warns That Germany's Austerity Policy Endangers Europe
By MELLY ALAZRAKI - DailyFinance.com
The business community has no shortage of people who love to cause a stir with their comments. From Alan Greenspan to Nouriel Roubini to Paul Krugman, these gurus say what's on their minds, often engendering no small amount of controversy. George Soros is one such prominent commenter, and his latest remarks that Germany's fiscal policy could cause the euro to fail and undermine the European Union have more than struck a nerve.
The billionaire investor made his fortune speculating on currencies, most famously betting against the British pound in 1992, a gamble that made him $1 billion and forced the Bank of England to withdraw from the European Exchange Rate Mechanism. Over the past couple of years, as the world has undergone a financial crisis and economic recession, Soros has often been quoted in the media.
Shilling Says Yuan Policy Shift Timing May Be 'Terrible'
Beijing Keeps a Tight Rein on Currency's Rise
By BETTINA WASSENER - NYTimes.com
HONG KONG - The Chinese central bank set a reference rate for the renminbi on Wednesday at a level that signaled Beijing was engineering only a very gradual appreciation of the Chinese currency.
The daily reference rate for the renminbi has become a focus of attention in the financial markets since Beijing announced on Saturday that it would allow more currency flexibility. Analysts are trying to gauge how rapidly, and when, the government will allow the currency to gain in value against the dollar - a critical issue in relations between the United States and China.
DEFICIT TERRORISTS STRIKE IN THE UK - USA NEXT?
Ellen Brown - WebOfDebt.com
....Banks advance the principal but not the interest necessary to pay off their loans; and since bank loans are now virtually the only source of new money in the economy, the interest can only come from additional debt. For the banks, that means business continues to boom; while for the rest of the economy, it means cutbacks, belt-tightening and austerity. Since more must always be paid back than was advanced as credit, however, the system is inherently unstable. When the debt bubble becomes too large to be sustained, a recession or depression is precipitated, wiping out a major portion of the debt and allowing the whole process to begin again. This is called the Òbusiness cycle,Ó and it causes markets to vacillate wildly, allowing the monied interests that triggered the cycle to pick up real estate and other assets very cheaply on the down-swing.
Volcker Rule Attacked as Lawmakers Seek Fund Loophole
By Yalman Onaran
June 23 (Bloomberg) -- Senate negotiators will probably offer changes today to the financial overhaul bill to soften the Volcker rule by allowing banks to sponsor hedge funds and invest their own money, within limits, alongside that of clients.
The compromise, designed to win the support of at least three Republican senators, comes as lawmakers struggle to reach agreement on financial reform this week. To appease Democrats in favor of stronger regulation, negotiators also plan to make it harder for regulators to undermine the rule, according to lobbyists and congressional aides involved in the discussions.
Lincoln Intervenes for Arkansas Bank
By DAMIAN PALETTA - WSJ.com
Sen. Blanche Lincoln, one of the chief architects of the financial-regulation overhaul nearing completion in Congress, is pushing for a change that would benefit a bank in her home state of Arkansas.
The bank, Arvest Bank Group Inc., of Bentonville, Ark., is predominantly owned by the Walton family, of Wal-Mart Stores Inc. fame, perhaps the most influential family in the state and one of the richest in the U.S.
On Wall Street, So Much Cash, So Little Time
By JULIE CRESWELL - NYTimes.com
Only on Wall Street, in the rarefied realm of buyout moguls, could you actually have too much money.
Private equity firms, where corporate takeovers are planned and plotted, today sit atop an estimated $500 billion. But the deal makers are desperate to find deals worth doing, and the clock is ticking.
Dollar Falls to 6-Week Low Against Pound as Fed to Hold Rates
By Ron Harui
June 24 (Bloomberg) -- The dollar fell to a six-week low against the pound as traders increased bets the Federal Reserve will keep interest rates near zero for longer in order to support a recovery in the world's largest economy.
The U.S. currency weakened versus 13 of its 16 most-active counterparts after Fed officials said in their statement that falling prices for energy and other commodities were undercutting inflation. The pound traded near a 19-month high against the euro after a report showed U.K. policy makers were split on whether to raise interest rates this month.
Pimco's Loss Is a Win for Wall Street Crooks
Commentary by Jonathan Weil
June 24 (Bloomberg) -- Crime didn't pay for Joseph Collins, a former corporate lawyer who received a seven-year prison sentence in January for securities fraud. It just has cost him a lot less money than it should have.
Collins, a former partner at the law firm Mayer Brown LLP, was the chief outside counsel for Refco Inc. when the futures- trading firm collapsed in October 2005, two months after its initial public offering. He was convicted last July on five felony counts for helping Refco executives fleece the company's investors and lenders of $2.4 billion. Yet Collins, 60, hasn't been forced to pay compensation to anyone who lost money when Refco went bust.
Gundlach Sees 10-Year Treasury Yield at 2.5% as Economy Slows
By Charles Stein
June 23 (Bloomberg) -- Jeffrey Gundlach, the top-ranked bond manager and founder of DoubleLine Capital LLC, said the yield on the 10-year Treasury note may fall to 2.5 percent as the U.S. economy slows over the next year.
Growth will weaken as the impact of government stimulus programs wears off, Gundlach said in an interview posted on the website of Morningstar Inc., a Chicago-based firm that tracks the mutual-fund industry. He didn't give a forecast for U.S. gross domestic product.
Treasuries Gain on Fed's Statement, Plunge in New Home Sales
By Cordell Eddings and Susanne Walker
June 23 (Bloomberg) -- Treasuries rose, pushing the two- year note's yield to the lowest level this year, as the Federal Reserve signaled that European indebtedness may harm America's growth and a report showed new home sales plunged.
U.S. debt advanced for a second straight day as the central bank reiterated its commitment to an "extended period" of low interest rates. Treasuries earlier pared gains as the government's $38 billion auction of five-year notes drew a higher yield than forecast.
Toshiba to build motors for Ford in Houston
HOUSTON BUSINESS JOURNAL
Toshiba Corp. announced on Tuesday plans to manufacture drive electrified motors for hybrid vehicles for Ford Motor Co. in Houston, marking the first time Toshiba has made such units outside of Japan.
Toshiba said it would produce the automotive propulsion units at an existing facility in the Bayou City. The production will be Toshiba's first overseas manufacturing base for automotive propulsion motors that are currently produced in Mie Prefecture, Japan.
5 states get mortgage help
By Tami Luhby, senior writer
NEW YORK (CNNMoney.com) -- Five states hit hard by the mortgage crisis will soon share $1.5 billion in federal funds to help the unemployed and the underwater who owe more than their homes are worth.
The Treasury Department on Wednesday approved proposals by Arizona, California, Florida, Michigan and Nevada. The states will use the money primarily to subsidize homeowners' monthly mortgage payments and to reduce their principal. Some of the funds will also go to paying off second liens or facilitating short sales.
New home sales plunged 33 percent in May
By Alan Zibel AP - WashingtonTimes.com
WASHINGTON (AP) - Sales of new homes collapsed in May, sinking 33 percent to the lowest level on record as potential buyers stopped shopping for homes once they could no longer receive government tax credits.
The bleak report from the Commerce Department is the first sign of how the expiration of federal tax credits could affect the nation's housing market.
Meredith Whitney
Obama accepts McChrystal's resignation
By Shaun Waterman - WashingtonTimes.com
President Obama said Wednesday he had accepted the resignation of Gen. Stanley McChrystal as commander of U.S. and coalition forces in Afghanistan, bringing to an ignominious end the storied but sometimes controversial career of one of the country's top soldiers.
Mr. Obama, who angrily summoned Gen. McChrystal to Washington after the general and several aides disparaged senior members of the administration in a series of interviews with Rolling Stone magazine, said he had accepted the resignation "with considerable regret, but also with certainty that it is the right thing for our mission in Afghanistan, for our military and for our country.
Barack Obama to replace Gen McChrystal with Gen Petraeus over Rolling Stone comments
By Toby Harnden in Washington - Telegraph.co.uk President Barack Obama has sacked Gen Stanley McChrystal, the US commander in Afghanistan, over comments made in a magazine interview.
In what could become a defining moment for his presidency, Mr Obama said he had accepted Gen McChrystal's resignation "with considerable regret but also with certainty that it is the right thing for our mission in Afghanistan, for our military and for the country".
Gen McChrystal was immediately replaced as commander by Gen David Petraeus, the architect of the successful Iraq surge in 2007.
Napolitano: State and local police may deploy to border
By Stephen Dinan - WashingtonTimes.com
Homeland Security Secretary Janet Napolitano said Wednesday the federal government will move to let state and local police in non-border states rotate down to the border to help local authorities go after smugglers along the U.S.-Mexico line.
In a major policy speech in which she took aim at what she called "bumper sticker" slogans and said the Obama administration has made huge strides on security, Miss Napolitano said the border can be made still more secure and said administration officials are in the middle of "surging" more boots on the ground.
Bond Defaults Stalk Michigan's Wealthiest as Home Prices Crash
By Darrell Preston and Jeff Green
June 23 (Bloomberg) -- Michigan's auto-industry collapse, which led to the worst home-price drop among U.S. states, has forced some of its wealthiest and fastest-growing communities to seek state aid to prevent municipal bond defaults.
Detroit, slammed by the state's 74 percent housing-price decline, warned of bankruptcy when it borrowed in March to cover part of a $280 million deficit. Now, nearby communities in Livingston County such as Hartland Township and Howell Township may need legislation to help make bond payments.
Sales of U.S. New Homes Plunged in May to Record Low
By Shobhana Chandra and Timothy R. Homan
June 23 (Bloomberg) -- Purchases of U.S. new homes fell in May to the lowest level on record after a tax credit expired, showing the market remains dependent on government support.
Sales collapsed an unprecedented 33 percent from April to an annual pace of 300,000, less than the median estimate of economists surveyed by Bloomberg News and the fewest in data going back to 1963, figures from the Commerce Department showed today in Washington. Demand in prior months was revised down.
Notorious Private Military Company Blackwater up for Sale
Written by Editorial Dept - OilPrice.com
Earlier this month, Xe Services, LLC, the latest re-branded name of the company that was once known as Blackwater Worldwide, announced that the company was up for sale. The announcement that Xe was seeking new ownership came somewhat as a surprise to industry insiders both in favor of and critical of the company, especially considering Blackwater's seemingly amazing ability to withstand the yearly toll of accidents, mishaps and misconduct that has since earned it a highly negative reputation throughout the world.
Magnitude-5.0 earthquake strikes Canada
AP - WashingtonTimes.com
TORONTO (AP) -- A magnitude-5.0 earthquake struck on the Ontario-Quebec border in Canada on Wednesday, shaking houses and businesses from Ottawa into the United States, according to the U.S. Geological Survey.
There were no immediate reports of injuries or damage.
The midday quake was felt in Canada and in a number of U.S. states, including Michigan, Vermont, Ohio and parts of upstate New York.
The USGS said the quake occurred at a depth of about 12 miles. The agency initially said the quake had a 5.5 magnitude but later reduced it to a magnitude-5.0. The quake occurred at 1:41 p.m. EDT, the USGS said.
--------- Gulf Oil news ----------
Judges' hands tied by oil industry interests
By Carol J. Williams, Los Angeles Times
Many presiding in gulf states are heavily invested in the oil and gas industries, creating the possibility of mass recusals in lawsuits and legal challenges stemming from the BP spill.
Federal judges in gulf states have been extensively invested in the oil and gas industries for decades, and those interests threaten to create a logjam for the 150-plus lawsuits and legal challenges prompted by the BP spill.
Seven of the 12 federal judges of the Eastern District of Louisiana already have cited potential conflicts of interest in bowing out of cases brought by fishermen, charter operators, tourist services and families of those killed in the April 20 explosion of the Deepwater Horizon rig in the Gulf of Mexico.
Feinberg to Step Down as Pay Supervisor to Focus on BP Claims
By Ian Katz
June 23 (Bloomberg) -- Kenneth Feinberg, the Obama administration's special master on executive compensation, will step down from the post by the end of August, a Treasury Department spokesman said.
Feinberg will leave to focus on his job as government- appointed administrator of BP Plc's $20 billion fund to pay claims stemming from the Gulf of Mexico oil spill, Treasury spokesman Andrew Williams said today.
BP Removed Cap on Leaking Gulf Well, Allen Says
By Jim Polson
June 23 (Bloomberg) -- BP Plc removed a cap that's been sending oil from its leaking Gulf of Mexico well to one of two ships on the surface for inspection after an underwater remote- operated vehicle collided with it, U.S. Coast Guard Admiral Thad Allen said.
The ROV accidentally closed a vent on the cap, disrupting the system that funnels oil to the drillship Discoverer Enterprise, Allen, the government's national incident commander, said at a press conference today in Washington. Crude isn't spilling "unconstrained" because it continues to flow to a drilling rig that is burning it, he said.
More oil gushing into Gulf after cap problem
By Michael Kunzelman AP - WashingtonTimes.com
NEW ORLEANS (AP) -- Tens of thousands of gallons more oil gushed into the Gulf of Mexico on Wednesday after an undersea robot bumped a venting system, forcing BP to remove the cap that had been containing some of the crude.
It was yet another setback in the nine-week effort to stop the gusher, and it came as thick pools of oil washed up on Pensacola Beach in Florida and the Obama administration tried to figure out how to resurrect a six-month moratorium on deepwater drilling.
More Oil Spewing Into Gulf After Accident at Well
Hugh Collins - AOLNews.com
(June 23) -- An underwater robot bumped into a venting system on the containment dome on the broken oil well in the Gulf of Mexico, forcing the removal of the cap, the Coast Guard said today.
Adm. Thad Allen also announced the deaths of two people involved in the cleanup operation.
The accident came on the day BP's Bob Dudley took over from CEO Tony Hayward as the company's point man for the spill.
BP Puts Gulf Well Manager on Leave Pending Disaster Probes
By Joe Carroll
June 23 (Bloomberg) -- The BP Plc manager who oversaw the well that erupted in April has been placed on leave while at least four federal agencies probe the disaster that killed 11 workers and triggered the worst oil spill in U.S. history.
Donald Vidrine, the well site leader aboard the Deepwater Horizon drilling rig that exploded and sank nine weeks ago off the Louisiana coast, said in an interview today that he has been on administrative leave since the incident.
BP Executive Prepares to Take Over Spill Response
By CLIFFORD KRAUSS and ANDREW E. KRAMER
HOUSTON - Faced with the continuing American furor over its gaffe-prone British chief executive, Tony Hayward, BP is putting a former Mississippi resident in charge of handling the Gulf of Mexico oil spill and its aftermath.
Robert Dudley, who takes charge of BP's spill response on Wednesday, has plenty of experience dealing with a hostile government, unhappy partners and angry citizens.
The former head of BP's joint venture in Russia, TNK-BP, he was expelled from that country in 2008 after a nasty feud with the authorities and BP's business partners. In the end, BP was forced to turn over management control of the venture to the Russians, though it remains highly profitable for both sides.
Gulf oil spill flow increases after accident forces BP to remove cap
Suzanne Goldenberg, US environment correspondent - guardian.co.uk,
'Top hat' damaged by robot vehicle shortly after US interior secretary had praised device
The gusher in the Gulf of Mexico returned to full force today after BP was forced to remove a cap that had been containing some of the oil spewing out of its ruptured wellhead.
Initial reports suggested a robot vehicle had accidently bumped into the "top hat" device and damaged one of the vents. Its failure represented a major setback to efforts to contain the spill, with underwater video showing crude and gas billowing from the ocean floor unchecked for the first time in three weeks.
BP Oil-Containment Effort Threatened
By SUSAN DAKER - WSJ.com
A key component of BP PLC's efforts to control the massive Gulf of Mexico oil spill shut down Wednesday, threatening to derail the company's ambitious plan to nearly double the amount of oil it captures by next week.
An underwater robot collided with a cap placed atop the leaking deepwater well on Wednesday morning, forcing the company to halt the operation of the Discoverer Enterprise, the larger of two vessels currently capturing oil in the Gulf of Mexico.
BP oil flow increases after accident
By Rowena Mason, Telegraph.co.uk
Oil was gushing largely unchecked from BP's stricken Gulf of Mexico well on Wednesday night - after an accident dramatically increased the flow.
The oil giant had to remove a cap that was channelling 16,000 barrels per day to the surface, after a robot crashed into the capturing equipment. The collision raised fears that ice-crystals could have formed on the device.
BP is still piping some oil to the surface and burning it, but it could not confirm when it expects to replace the cap - its largest and most successful containment device to date. The latest blow to BP came as Ken Salazar, the US Interior Secretary, said all preliminary evidence pointed to "reckless conduct" in the run-up to the accident on April 20 that killed 11 men.
BP confirms Bob Dudley in key Gulf cleanup role
LONDON (AP) - BP PLC on Wednesday confirmed that Bob Dudley is now in charge of efforts to clean up the damage caused by the Gulf of Mexico oil spill, replacing Chief Executive Tony Hayward, who has been heavily criticized for his handling of the incident.
Mr. Dudley, who had led BP's operations in the Americas and Asia, will head the Gulf Coast Restoration Organization, effective immediately, and report to Mr. Hayward.
Mr. Hayward had been overseeing the response to the spill but had been accused of an inept response in his public pronouncements.
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