Citing Affair, Petraeus Resigns as C.I.A. Director

WASHINGTON — David H. Petraeus, the director of the Central Intelligence Agency and one of America’s most decorated four-star generals, resigned on Friday after an F.B.I. investigation uncovered evidence that he had been involved in an extramarital affair.

Mr. Petraeus issued a statement acknowledging the affair after President Obama accepted his resignation and it was announced by the C.I.A. The disclosure ended a triumphant re-election week for the president with an unfolding scandal.

Government officials said that the F.B.I. began an investigation into a “potential criminal matter” several months ago that was not focused on Mr. Petraeus. In the course of their inquiry into whether a computer used by Mr. Petraeus had been compromised, agents discovered evidence of the relationship as well as other security concerns. About two weeks ago, F.B.I. agents met with Mr. Petraeus to discuss the investigation.

Administration and Congressional officials identified the woman as Paula Broadwell, the co-author of a biography of Mr. Petraeus. Her book, “All In: The Education of General David Petraeus,” was published this year. Ms. Broadwell could not be reached for comment.

Ms. Broadwell, a graduate of the United States Military Academy at West Point, spent 15 years in the military, according to a biography that had appeared on her Web site. She spent extended periods of time with Mr. Petraeus in Afghanistan, interviewing him for her book, which grew out of a two-year research project for her doctoral dissertation and which she promoted on a high-profile tour that included an appearance on “The Daily Show With Jon Stewart.”

Married with two children, she has described Mr. Petraeus as her mentor.

Senior members of Congress were alerted to Mr. Petraeus’s impending resignation by intelligence officials about six hours before the C.I.A. announced it. One Congressional official who was briefed on the matter said that Mr. Petraeus had been encouraged “to get out in front of the issue” and resign, and that he agreed.

As for how the affair came to light, the Congressional official said that “it was portrayed to us that the F.B.I. was investigating something else and came upon him. My impression is that the F.B.I. stumbled across this.”

The Federal Bureau of Investigation did not inform the Senate and House Intelligence Committees about the inquiry until this week, according to Congressional officials, who noted that by law the panels — and especially their chairmen and ranking members — are supposed to be told about significant developments in the intelligence arena. The Senate committee plans to pursue the question of why it was not told, one official said.

The revelation of a secret inquiry into the head of the nation’s premier spy agency raised urgent questions about Mr. Petraeus’s 14-month tenure at the C.I.A. and the decision by Mr. Obama to elevate him to head the agency after leading the country’s war effort in Afghanistan. White House officials said they did not know about the affair until this week, when Mr. Petraeus informed them.

“After being married for over 37 years, I showed extremely poor judgment by engaging in an extramarital affair,” Mr. Petraeus said in his statement, expressing regret for his abrupt departure. “Such behavior is unacceptable, both as a husband and as the leader of an organization such as ours. This afternoon, the president graciously accepted my resignation.”

Mr. Petraeus’s admission and resignation represent a remarkable fall from grace for one of the most prominent figures in America’s modern military and intelligence community, a commander who helped lead the nation’s wartime activities in the decade after the Sept. 11 attacks and was credited with turning around the failing war effort in Iraq.

Mr. Petraeus almost single-handedly forced a profound evolution in the country’s military thinking and doctrine with his philosophy of counterinsurgency, focused more on protecting the civilian population than on killing enemies. More than most of his flag officer peers, he understood how to navigate Washington politics and news media, helping him rise through the ranks and obtain resources he needed, although fellow Army leaders often resented what they saw as a grasping careerism.

 Reporting was contributed by Peter Baker, Helene Cooper, Michael S. Schmidt, Eric Schmitt and Scott Shane.

This article has been revised to reflect the following correction:

Correction: November 9, 2012

An earlier version of this article incorrectly stated that David H. Petraeus was expected to remain in President Obama’s cabinet. The C.I.A. director is not a cabinet member in the Obama administration.

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Bits Blog: On Twitter, Steve Jobs Is Immortal

Steve Jobs is gone, but on Twitter his @name lives on. And on.

The chief executive of Apple, who died in 2011, is memorialized on Twitter by about a thousand fans, parodists, traffic seekers, unrepentant haters and crypto-historians, among others. The accounts use his name as either as a title or, with many variations, as an address.

The copycats include @FakeSteveJobs, @FauxSteve and @SteveJobsFalso, a collection of admitted imposters who are following in the footsteps of a parody Web site that was active from 2006 to 2011. Other versions include @RememberSteve, @PulseonJobs and @RealSteveJobs. There are a couple of @BlackSteveJobs, plus Twitter accounts by various articles of clothing and body parts.

Several of the accounts are operated by start-ups hoping to generate attention for themselves. Their tweets contain links to corporate Web pages. Some of the accounts are in languages like Arabic, Thai or Japanese. Many others use Mr. Jobs’s name for the account but have a different address.

Searching the name “Steve Jobs” on Twitter yields about 1,080 accounts, some of which are unrelated to the Apple co-founder; there are people on Twitter who are really named Steve Jobs.

Twitter does not keep score of how many of its 140 million accounts are fakes, but it generally supports the idea of parody accounts. “It’s very helpful for political dissidents, who can’t write under their own name,” said Rachael Horwitz, a company spokeswoman. She also noted that Dick Costolo, Twitter’s chief executive, has a parody account. Jack Dorsey, the chairman of the company’s board, is likewise roasted.

Possibly for his close identification with technology, Mr. Jobs does appear to be the most popular identity on Twitter to leverage. President Obama has about 600 versions of his name, either through the “@” address, or in the name of the account. Given much of the venom of the recent election, several of these accounts are remarkably ugly, certainly worse than the treatment afforded Mr. Jobs. Michelle Obama, who like the president has an official and verified Twitter account, has about 500 copycats.

Bill Gates, Mr. Jobs’s longtime nemesis and eventual frenemey, does better than the president and first lady, with about 840 imitators and parodists. There is also a Klingon version of him, which to date Mr. Jobs’s name does not appear to share. There also appear to be a lot more people on Twitter who are simply named “Bill Gates,” a characteristic that must fill their lives with a lot of predictable humor.

Justin Beiber gets a mere 240 people hoping for a bit of his lustre. John Lennon, Mr. Jobs’ idol, has fewer than 100.

Twitter will take down parody accounts, but usually when it is not clear that they are parodies. That is not a problem in the case of most public figures. “It’s a form of speech,” Ms. Horwitz said. On the Internet, everyone needs a thicker skin. The situation does come up enough that the company has published formal policies on acceptable parody and fan accounts , along with impersonation.

There are parody accounts for Oracle’s chief executive, Larry Ellison; for Larry Page, the chief executive and co-founder of Google; and for Mark Zuckerberg, the chief of Facebook. With so many parody accounts around, some technology chief executives may worry if they are not being parodied.

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The New Old Age Blog: More Time to Enroll in Medicare If You Live in Storm Areas

Medicare beneficiaries battered by Hurricane Sandy have one fewer problem to worry about: Federal officials have extended the Dec. 7 deadline to enroll in a private medical or drug plan for next year for those still coping with storm damage.

The Centers for Medicare and Medicaid Services “understands that many Medicare beneficiaries have been affected by this disaster and wants to ensure that all beneficiaries are able to compare their options and make enrollment choices for 2013,” Arrah Tabe-Bedward, acting director for the Medicare Enrollment and Appeals Group, wrote in a Nov. 7 letter to health insurance companies and state health insurance assistance programs.

Beneficiaries hit by the storm can still enroll after the Dec. 7 midnight deadline if they call Medicare’s 24-hour information line: 1-800-MEDICARE (1-800-633-4227). Representatives will be able to review available plans and complete the enrollment process over the phone.

“We are committed to giving people with Medicare the information and the time they need to make important decisions about their coverage,” a Medicare spokeswoman, Isabella Leung, said in an e-mail message. Medicare officials have not set a new deadline but have encouraged beneficiaries to make their decisions soon if possible.

People currently in a plan will be automatically re-enrolled for next year in the same plan.

The extra time also applies to any beneficiaries who normally get help from family members or others to sort through dozens of plans, but who have been unable to do so this year because they live in areas affected by the storm. Neither beneficiaries nor those who provide them assistance will be required to prove that they experienced storm damage.

“This is a really important recognition by CMS to accommodate Medicare enrollees affected by Hurricane Sandy,” said Leslie Fried, director for policy and programs at the National Council on Aging, an advocacy group in Washington.

After the hurricane, the Obama administration declared Connecticut, New Jersey, New York and Rhode Island “major disaster areas,” according to the Federal Emergency Management Agency. In addition, FEMA issued emergency declarations for parts of Delaware, the District of Columbia, Maryland, Massachusetts, New Hampshire, Pennsylvania, Virginia and West Virginia.

More than four million older people in those states are enrolled in drugs-only plans, and more than 2.8 million have Medicare Advantage policies, which includes medical and drug coverage.

Susan Jaffe is a writer for Kaiser Health News, an editorially independent program of the Henry J. Kaiser Family Foundation, a nonprofit, nonpartisan health policy research and communication organization not affiliated with Kaiser Permanente.

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The New Old Age Blog: More Time to Enroll in Medicare If You Live in Storm Areas

Medicare beneficiaries battered by Hurricane Sandy have one fewer problem to worry about: Federal officials have extended the Dec. 7 deadline to enroll in a private medical or drug plan for next year for those still coping with storm damage.

The Centers for Medicare and Medicaid Services “understands that many Medicare beneficiaries have been affected by this disaster and wants to ensure that all beneficiaries are able to compare their options and make enrollment choices for 2013,” Arrah Tabe-Bedward, acting director for the Medicare Enrollment and Appeals Group, wrote in a Nov. 7 letter to health insurance companies and state health insurance assistance programs.

Beneficiaries hit by the storm can still enroll after the Dec. 7 midnight deadline if they call Medicare’s 24-hour information line: 1-800-MEDICARE (1-800-633-4227). Representatives will be able to review available plans and complete the enrollment process over the phone.

“We are committed to giving people with Medicare the information and the time they need to make important decisions about their coverage,” a Medicare spokeswoman, Isabella Leung, said in an e-mail message. Medicare officials have not set a new deadline but have encouraged beneficiaries to make their decisions soon if possible.

People currently in a plan will be automatically re-enrolled for next year in the same plan.

The extra time also applies to any beneficiaries who normally get help from family members or others to sort through dozens of plans, but who have been unable to do so this year because they live in areas affected by the storm. Neither beneficiaries nor those who provide them assistance will be required to prove that they experienced storm damage.

“This is a really important recognition by CMS to accommodate Medicare enrollees affected by Hurricane Sandy,” said Leslie Fried, director for policy and programs at the National Council on Aging, an advocacy group in Washington.

After the hurricane, the Obama administration declared Connecticut, New Jersey, New York and Rhode Island “major disaster areas,” according to the Federal Emergency Management Agency. In addition, FEMA issued emergency declarations for parts of Delaware, the District of Columbia, Maryland, Massachusetts, New Hampshire, Pennsylvania, Virginia and West Virginia.

More than four million older people in those states are enrolled in drugs-only plans, and more than 2.8 million have Medicare Advantage policies, which includes medical and drug coverage.

Susan Jaffe is a writer for Kaiser Health News, an editorially independent program of the Henry J. Kaiser Family Foundation, a nonprofit, nonpartisan health policy research and communication organization not affiliated with Kaiser Permanente.

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A Transfer of Power Begins in China

Military delegates arrived for the 18th Communist Party Congress at the Great Hall of the People in Beijing on Thursday. The weeklong meeting precedes the naming of China’s top leader, who will replace Hu Jintao. The meeting also introduces a new generation of party leaders.

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Bits Blog: The Obama Campaign's Technology Is a Force Multiplier

Technology doesn’t win political campaigns, but it certainly is a weapon — a force multiplier, in military terms.

Both sides in the presidential contest mined click-stream data as never before to target messages to potential voters. But a real edge for the Obama campaign was in its use of online and mobile technology to support its much-praised ground game, finding potential supporters and urging them to vote, either in person or by phone, according to two senior members of the Obama technology team, Michael Slaby, chief integration and innovation officer for the Obama campaign, and Harper Reed, chief technology officer for the Obama campaign.

A program called “Dashboard,” for example, allowed volunteers to join a local field team and get assignments remotely. The Web application — viewable on smartphones or tablets — showed the location of field workers, neighborhoods to be canvassed, and blocks where help was needed. “It allowed people to join a neighborhood team without ever going to a central office,” said Mr. Slaby.

Another ground-game program was a tool for telephone canvassing from people’s homes instead of having to travel to a campaign office and work from a telephone bank. The call tool was a Web program that let people sign up to make calls and receive a list of phone numbers, names and a script to use, noted Mr. Reed.

Often, the profiles of volunteer callers and the lists they received were matched. So the callers were people with similar life experiences to those being called, and thus more likely to be persuasive. Here is a YouTube video of a 91-year-old World War II veteran, who joined the Obama phone corps.

In 2008, there were some remote callers in the Obama campaign. But this year, there were ten times as many, Mr. Slaby said.

The sheer scale of the online outreach and data collection dwarfed the effort four years ago. For example, the Barack Obama Facebook site had 33 million “likes,” compared with 2 million for the previous campaign. A Facebook like, Mr. Slaby noted, is the “just the first rung on a ladder of engagement” but it is a starting point.

Another truly important change was in the technology itself. “Cloud computing barely existed in 2008,” Mr. Slaby said.

This time, the Obama campaign’s data center was mainly Amazon Web Services, the leading supplier of cloud services. The campaign’s engineers built about 200 different programs that ran on the Amazon service including Dashboard, the remote calling tool, the campaign Web site, donation processing and data analytics applications.

Using mainly open-source software and the Amazon service, the Obama campaign could inexpensively write and tailor its own programs instead of using off-the-shelf commercial software.

“It let us attack and engineer our own approach to problems, and build solutions for an environment that moves so rapidly you can’t plan,” Mr. Slaby said. “It made a huge difference this time.”

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Living With Cancer: It’s About Time

It’s time to renew my driver’s license! I never thought I would live to see the day. Back in 2008, when pressed to disclose my life expectancy, my oncologist estimated three to five years. Figuring that I was an average patient, I split the difference and believed I had four years left. Yet here I am, about to celebrate my fourth “cancerversary” with a trip to the dreary and backlogged bureau of motor vehicles, elated by the conviction that even if I expire within the next year or so, my license won’t.

This sort of wacky calculation reflects the oddity of cancer temporality. Every facet of cancer and its treatments transforms time, from its smallest to its larger increments. Of course, waiting takes the most time in the smallest units. Its ticktock can be interminable, especially when you are anxiously waiting for test results or fasting for a dreaded operation or when you are going through preparations for a procedure requiring that you drink vials of what looks like Kool-Aid every half-hour for two hours. Any period spent in the hospital requires killing time. Time, in fact, sometimes seems to stop, to stand still. The afternoon after an operation, as one fitfully wakes and sleeps, sleeps and wakes, can feel like an eternity. I surface with effort, muttering, “It can’t still be Thursday,” only to be told, “Yes, it’s still Thursday.”

While you’re waiting, fear or pain elongates minutes and hours and days. Chemotherapy divides into intervals the weeks and months that begin with its slow drip-drip. Just when I determine that I have no time to waste and must relish the change of the seasons, the timetable of chemo-time nudges them aside.

Each of my cycles of chemotherapy included six sessions, given every three weeks. I might not have known whether it was spring or fall, but I always knew that there were, say, two down and four to go. And then I began counting not the sessions but the cycles, though I could not remember the start-and-finish of all three cycles, for the past blurred. I had to draft a sort of chemo-history. Now that I am in a clinical trial, the nurse in charge provides me with a monthly schedule on which all the blood draws, pill dispensations and scans are recorded so I can track the present and the near future. Its rhythms trump those of the Gregorian and lunar calendars.

The zones of remissions and recurrences — registered for many people in years, for me, unfortunately, in months — can also be hard to gauge. Do I date remission at the last chemotherapy session, recurrence at the start of the next chemotherapy cycle? Or do I go by blood tests or scans? I am just as uncertain about the exact date of my cancerversary. Is it the day on which I heard the diagnosis, or the day of the initial operation? I wonder, should either of these time bombs be celebrated?

The limits of time stir me to enumerate constantly. I am always counting on my fingers: remissions and recurrences, the months used up, the months left, the relatives and friends I cherish. I count my steps down to the mailbox, my steps dragging the garbage can back to the garage, the number of my husband’s underpants in the laundry, the hours until the next pill, the number of days in which I must change or flush surgical implants, the weeks until I see my oncologist, the people on whom I count.

If my oncologist is right, and all of her other predictions have been spot on, I am approaching the last year of my life: final time. In the immortal words of Dr. Seuss, “How did it get so late so soon?” Without much of a future, surely time will again change. A lot can happen in a year — think of the helpless infant becoming a walking, talking toddler in 9 or 10 months. Time moves more slowly for small children, since a year of a 2-year-old’s life is 50 percent of that life. A terminal diagnosis may also slow down time. The next year might be 100 percent of what’s left of my existence.

Sometimes the time left seems too long; too many catastrophes could injure those I love. Sometimes it seems too short; there are so many suspenseful stories unfolding around me, and I want to see how they will turn out. Those for whom time’s chariot is indeed winged often attest to a heightened appreciation of their fast-fading prospects. And then there is always the dream of borrowed time, that numinous period beyond the predicted end, like a stay of execution, which must be fraught with its own blessings and curses.

But during apocalyptic times, when natural forces obliterate the precious places of my origins, even the dream of borrowed time can sink under the rising waters, as I brood on the widespread suffering and struggling of others.

In the meantime, I discover that it is now possible to bypass the motor vehicle bureau by renewing a driver’s license online. Voilà, it will appear in the mail — sporting the photograph on the license issued six years ago, before my diagnosis. On the license, at least, the passage has been reversed. It’s about time.

---

Susan Gubar is a distinguished emerita professor of English at Indiana University and the author of “Memoir of a Debulked Woman,” which explores her experience with ovarian cancer.

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Living With Cancer: It’s About Time

It’s time to renew my driver’s license! I never thought I would live to see the day. Back in 2008, when pressed to disclose my life expectancy, my oncologist estimated three to five years. Figuring that I was an average patient, I split the difference and believed I had four years left. Yet here I am, about to celebrate my fourth “cancerversary” with a trip to the dreary and backlogged bureau of motor vehicles, elated by the conviction that even if I expire within the next year or so, my license won’t.

This sort of wacky calculation reflects the oddity of cancer temporality. Every facet of cancer and its treatments transforms time, from its smallest to its larger increments. Of course, waiting takes the most time in the smallest units. Its ticktock can be interminable, especially when you are anxiously waiting for test results or fasting for a dreaded operation or when you are going through preparations for a procedure requiring that you drink vials of what looks like Kool-Aid every half-hour for two hours. Any period spent in the hospital requires killing time. Time, in fact, sometimes seems to stop, to stand still. The afternoon after an operation, as one fitfully wakes and sleeps, sleeps and wakes, can feel like an eternity. I surface with effort, muttering, “It can’t still be Thursday,” only to be told, “Yes, it’s still Thursday.”

While you’re waiting, fear or pain elongates minutes and hours and days. Chemotherapy divides into intervals the weeks and months that begin with its slow drip-drip. Just when I determine that I have no time to waste and must relish the change of the seasons, the timetable of chemo-time nudges them aside.

Each of my cycles of chemotherapy included six sessions, given every three weeks. I might not have known whether it was spring or fall, but I always knew that there were, say, two down and four to go. And then I began counting not the sessions but the cycles, though I could not remember the start-and-finish of all three cycles, for the past blurred. I had to draft a sort of chemo-history. Now that I am in a clinical trial, the nurse in charge provides me with a monthly schedule on which all the blood draws, pill dispensations and scans are recorded so I can track the present and the near future. Its rhythms trump those of the Gregorian and lunar calendars.

The zones of remissions and recurrences — registered for many people in years, for me, unfortunately, in months — can also be hard to gauge. Do I date remission at the last chemotherapy session, recurrence at the start of the next chemotherapy cycle? Or do I go by blood tests or scans? I am just as uncertain about the exact date of my cancerversary. Is it the day on which I heard the diagnosis, or the day of the initial operation? I wonder, should either of these time bombs be celebrated?

The limits of time stir me to enumerate constantly. I am always counting on my fingers: remissions and recurrences, the months used up, the months left, the relatives and friends I cherish. I count my steps down to the mailbox, my steps dragging the garbage can back to the garage, the number of my husband’s underpants in the laundry, the hours until the next pill, the number of days in which I must change or flush surgical implants, the weeks until I see my oncologist, the people on whom I count.

If my oncologist is right, and all of her other predictions have been spot on, I am approaching the last year of my life: final time. In the immortal words of Dr. Seuss, “How did it get so late so soon?” Without much of a future, surely time will again change. A lot can happen in a year — think of the helpless infant becoming a walking, talking toddler in 9 or 10 months. Time moves more slowly for small children, since a year of a 2-year-old’s life is 50 percent of that life. A terminal diagnosis may also slow down time. The next year might be 100 percent of what’s left of my existence.

Sometimes the time left seems too long; too many catastrophes could injure those I love. Sometimes it seems too short; there are so many suspenseful stories unfolding around me, and I want to see how they will turn out. Those for whom time’s chariot is indeed winged often attest to a heightened appreciation of their fast-fading prospects. And then there is always the dream of borrowed time, that numinous period beyond the predicted end, like a stay of execution, which must be fraught with its own blessings and curses.

But during apocalyptic times, when natural forces obliterate the precious places of my origins, even the dream of borrowed time can sink under the rising waters, as I brood on the widespread suffering and struggling of others.

In the meantime, I discover that it is now possible to bypass the motor vehicle bureau by renewing a driver’s license online. Voilà, it will appear in the mail — sporting the photograph on the license issued six years ago, before my diagnosis. On the license, at least, the passage has been reversed. It’s about time.

---

Susan Gubar is a distinguished emerita professor of English at Indiana University and the author of “Memoir of a Debulked Woman,” which explores her experience with ovarian cancer.

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Preparing to Step Aside in China, Hu Jintao Warns of Challenges

Changing of the Guard in China:
The New York Times’s Beijing correspondents discuss the challenges ahead for China as the country begins its once-in-a-decade leadership transition.

BEIJING — Capping 10 careful years at the helm of the Communist Party, China’s top leader, Hu Jintao, on Thursday boasted of successes during his tenure while issuing a blunt warning against unrest and political reform.

Mr. Hu, 69, is to step down as the party’s general secretary next week, handing over power to his designated successor, Xi Jinping. His speech at the opening here in Beijing of the Communist Party’s 18th Congress was likely to be his last major address — a chance to write his own eulogy while also setting the course for Mr. Xi.

“He’s worried about how history will view him,” said Qian Gang, who works with the China Media Project of Hong Kong University. “On the whole, he is against reform.”

Formally, Mr. Hu nodded to almost every manner of reform: economic, social, political and environmental. But, in the fashion of his predecessors, this was balanced with warnings of the need to guard against a rise in unrest. It was an unusual admission for a man whose signature slogan is creating for China a “harmonious society.”

“Social contradictions have clearly increased,” said the formal 64-page document issued at the congress. (Mr. Hu’s speech, even at 100 minutes, was only a summary.)

“There are many problems concerning the public’s immediate interests in education, employment, social security, health care, housing, the environment, food and drug safety, workplace safety, public security and law enforcement.”

The solution, Mr. Hu said, was “reform and opening up,” a policy initiated by the man who chose him for the job nearly two decades ago, the paramount leader Deng Xiaoping.

Mr. Hu also lauded his own contribution to Communist Party ideology: “Scientific Development.” Most of his predecessors have had their own ideologies enshrined as guiding state doctrines. His repetition of the phrase — which means that the party should be pragmatic and follow policies that are demonstrably effective — implied that he, too, would be so honored.

But his caveats to reform were many.

According to Mr. Qian, a leading expert on textual analysis of Chinese leaders’ speeches, Mr. Hu’s speech hit on almost every anti-reform phrase used by Chinese Communist leaders.

He referred to Communist China’s founder three times with the phrase “Mao Zedong Thought,” and said the party must “resolutely not follow Western political systems,” something not mentioned at the last party congress five years ago.

“They don’t say these terms lightly,” Mr. Qian said. “When they mention it, it matters.”

Mr. Hu also coined a new term, pledging that the party will not to follow the “wicked way” of changing the party’s course.

Mr. Hu’s speech is thought to have been drawn up in cooperation with his successor, Mr. Xi. While Mr. Xi is widely thought to be consulting with liberal members of China’s intelligentsia, he either did not oppose Mr. Hu’s direction or was not able to change it.

That is important, observers say, because Mr. Xi will not exercise unrestrained power when he takes over. Besides the other half-dozen members on the Standing Committee of the party’s Politburo, he will also have to listen to the advice of Mr. Hu, Mr. Hu’s own predecessor, Jiang Zemin, and an estimated 20 other “senior leaders.” As if to emphasize their role, these men were seated on the dais next to Mr. Hu. Many of them are in their 70s and 80s and have exercised power for decades.

“Xi Jinping certainly won’t be a Gorbachev,” said Yao Jianfu, a former official and researcher who closely follows Chinese politics and advocates democratic change. “Every aspect of reform has an important precondition — that the Communist Party remains in charge.”

Even though Mr. Hu’s speech was broadcast live on national television and on screens in Beijing subway cars, gauging popular opinion was difficult.

Microbloggers, who are mostly urban and fairly well educated, at times cast scorn on the rhetoric. One blogger listed the Marxist terminology that Mr. Hu used and wrote simply “madness.” Others used laughing emoticons, while some delved closely into the speech for clues to new policies — some noted his fleeting mention of China’s unpopular single-child policy.

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Advertising: Companies Try a Personal Touch Seen by Thousands

IT was while shopping recently at a farmer’s market in Raleigh, N.C., that Andrea Chiz Plyler realized she was being followed by an enormous mushroom.

The mushroom was, in fact, Mel, the mascot from the Mellow Mushroom Pizza Bakers chain, but Ms. Plyler, who was with her mother-in-law, did not recognize him as such. When she turned around to look at Mel, he stood motionless, and it unsettled her.

“I am deathly terrified of people in mascot-type uniforms, and he was really creepy because he has almost like this blank stare like he was staring right through you,” Ms. Plyler said in a telephone interview.

It turns out that Ms. Plyler, 25, a law student at the North Carolina Central University School of Law, had recently begun to follow Mellow Mushroom on Twitter. And Mellow Mushroom, which like many businesses reciprocally follows consumers on Twitter, had decided as a promotional stunt to follow some of those consumers in the literal sense — and to bring a film crew.

Six hidden cameras, in places like a portable toilet, a van and inside the mushroom costume, documented Ms. Plyler’s reaction as she was followed around the market.

On Oct. 22, Mellow Mushroom posted the video featuring Ms. Plyler on YouTube. The ominous score of a horror movie plays as Mel lurks behind her. When he gets to within arm’s reach, she turns around, and Mel slowly raises an arm and slowly extends and lowers each of his fingers in succession in an oddly menacing wave.

The video cuts to Ms. Plyler happily sharing a slice of pizza with Mel at a table set up in a parking lot. It closes with the text, “Follow us and we’ll follow you,” and directs viewers to FollowMellow.com, a tab on the company’s Facebook page that features several more videos of other Twitter users being stalked by Mel and a second mushroom mascot, Dude.

The videos are by Fitzgerald & Company in Atlanta, part of McCann Worldgroup, which is owned by the Interpublic Group of Companies. Production is by Arts and Sciences and direction is by Adam Brodie and Dave Derewlany.

In early October, the crew secretly filmed about 20 Twitter users being followed by the mascots, and Mellow Mushroom continues to add new videos to YouTube from the outings. The agency used social networks, especially Facebook, to contact relatives and friends to act as confederates — in Ms. Plyler’s case, her mother-in-law — to help coordinate the stunt.

“We have such an irreverent brand that we thought it would be cool and interesting to really follow consumers not just on Twitter but in a real-world way,” said Annica Kreider, vice president of brand development at Mellow Mushroom, which was founded in 1974 in Atlanta and has about 130 restaurants across the country. “Part of why we do things like this is to say that we are a different brand and we aren’t going to give you the same old sales propaganda.”

Brands typically use social networks as extensions of their customer service departments, monitoring Twitter and Facebook for complaints, and mollifying consumers before they get so fed up that they do something like post negative online reviews or rant in a YouTube video.

But brands also increasingly are using social networks in more idiosyncratic ways to win over fans through acts of whimsy.

On Oct. 8, for example, Richard Neill, a Facebook user, jokingly posted on the wall for Bodyform, a feminine care brand sold by SCA Personal Care in Britain. Euphemistic Bodyform commercials Mr. Neill saw as a child, he wrote, gave him warped expectations.

“As a child I watched your advertisements with interest as to how at this wonderful time of the month that the female gets to enjoy so many things,” wrote Mr. Neill, saying that he had been jealous he could not also partake in a monthly flurry of activity that included bicycling, roller coaster riding, dancing and parachuting.

But Mr. Neill continued that, far from such activities and from innocuous product demos using blue fluid, when he finally had a girlfriend and that “time of the month” arrived, she changed from “loving” and “gentle” to “the little girl from the exorcist with added venom and extra 360 degree head spin.”

Bodyform has fewer than 7,500 followers on Facebook, and Mr. Neill has only about 415 friends on the social network, but the post was shared so often that more than 100,000 users have read it and clicked the “like” icon.

On Oct. 16, eight days after Mr. Neill’s post, Bodyform posted a video on YouTube and Facebook that responded to Mr. Neill directly.

In the video, an actress who identifies herself as the Bodyform chief executive sits at a desk and pours herself a glass of blue liquid from a pitcher.

“We lied to you Richard, and I want to say ‘Sorry,’ ” she says. “What you’ve seen in our advertising so far isn’t a factual representation of events.”

After admitting that during periods some women get cramps, mood swings and “blood coursing from our uteri,” she takes a sip of the blue fluid. A sound comes from her chair, and she adds, “Ooh, sorry Richard, you did know that we do that too, didn’t you?”

The video has garnered more than 3.2 million views on YouTube. It is by Carat, London, part of Aegis Group, with production by Rubber Republic, also in London.

“I don’t think we could have done that with above-the-line advertising,” said Anne McCreary, digital strategy director at Carat, referring to the provocative humor in the video. “But for brands to be relevant to consumers, they have to develop a new way of interacting with consumers that is much more about responding to them.”

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After Loss, Fight to Label Modified Food Continues

LOS ANGELES — Advocates for the labeling of genetically modified food vowed to carry their fight to other states and to the federal government after suffering a defeat in California on Tuesday.

A ballot measure that would have made California the first state in the nation to require such labeling was defeated, 53.1 percent to 46.9 percent. Support for the initiative, which polls said once was greater than 60 percent, crumbled over the last month under a barrage of negative advertisements paid for by food and biotechnology companies.

The backers of the measure, known as Proposition 37, said on Wednesday that they were encouraged it had garnered 4.3 million votes, even though they were outspent about five-to-one by opponents. They are now gathering signatures to place a similar measure on the ballot in Washington State next year.

Declaring that more than four million Californians are “on record believing we have a right to know what is in our food,” Dave Murphy, co-chairman of the Proposition 37 campaign and executive director of Food Democracy Now!, an advocacy group, said on Wednesday: “We fundamentally believe this is a dynamic moment for the food movement and we’re going forward.”

Still, there is no doubt the defeat in California has robbed the movement of some momentum. Until Tuesday’s vote, labeling proponents had been saying that a victory in California, not a defeat, would spur action in other states and at the federal level.

The defeat greatly reduces the chances that labels will be required, according to L. Val Giddings, a senior fellow at the Information Technology and Innovation Foundation, a Washington organization supporting policies that favor innovation. “I see little potential that the defeat in California could result in any increase in pressure for labels. ”

Dr. Giddings, who is a supporter of biotech crops, said it would now be more difficult for labeling proponents to raise money. “What justification can they present to their funders to pour more money down this drain?” he said.

The election in California was closely watched because it had national implications. It could have led to a reduction in the use of genetically modified crops, which account for more than 80 percent of the corn, soybeans and sugar beets grown in the United States. That is because food companies, fearing that some consumers would shun products labeled genetically engineered, would instead reformulate their products to avoid such ingredients.

With so much at stake, food and biotechnology companies amassed $46 million to defeat the measure, according to MapLight, an organization that tracks campaign contributions. Monsanto, the largest supplier of genetically engineered seeds, contributed $8.1 million. Kraft Foods, PepsiCo and Coca-Cola each contributed at least $1.7 million.

The backers of Proposition 37 raised only $9.2 million, mainly from the organic and natural foods business.

The proponents argued that people have a right to know what is in their food. They said that genetically engineered crops have not been adequately tested and that dozens of countries require labeling.

The Food and Drug Administration does not require labeling of a food just because it is genetically modified, saying there is no material difference between such foods and their conventional counterparts.

The big food and biotechnology companies argued that numerous expert reviews have shown the crops to be safe. For the most part, they did not directly attack the notion of consumers’ right to know. Rather they said Proposition 37 was worded in a way that would lead to red tape, increases in food prices and numerous lawsuits against food companies and supermarkets.

Some backers of labeling will shift their focus to Washington, hoping to get the F.D.A. to change its mind and require labeling.

“We think that attention is now going to shift back to Washington, with a whole lot more to discuss and a whole lot more people interested,” said Gary Hirshberg, the chairman of Stonyfield, an organic yogurt company.

Mr. Hirshberg is also chairman of Just Label It, a group that submitted a petition with more than one million signatures to the F.D.A. asking it to require labeling. So far, however, the F.D.A. has shown little propensity to overturn its policy. And bills in Congress to require labeling have failed to gain much support.

Proposition 37 has no doubt raised awareness, however, which might prompt some consumers to seek foods that do not contain genetically engineered ingredients.

“Everything you buy in the grocery is a vote,” said Sara Hadden of Hermosa Beach, who organized street-corner rallies in favor of Proposition 37. “That’s the vote that really counts.”

One question is whether food firms, having narrowly escaped a disruption of their business on Tuesday, will make changes on their own — like voluntarily labeling or reducing their use of genetically modified crops.

If that is being considered, the food companies are not letting on. In a statement Wednesday, the Grocery Manufacturers Association, which represents big food companies, called the defeat of Proposition 37 “a big win for California consumers, taxpayers, businesses and farmers.”

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DealBook: On Wall Street, Time to Mend Fences With Obama

Del Frisco’s, an expensive steakhouse with floor-to-ceiling windows overlooking the Boston harbor, was a festive scene on Tuesday evening. The hedge fund billionaires Steven A. Cohen, Paul Singer and Daniel Loeb were among the titans of finance there dining among the gray velvet banquettes before heading several blocks away to what they hoped would be a victory party for their presidential candidate, Mitt Romney.

The next morning was a cold, sobering one for these executives.

Few industries have made such a one-sided bet as Wall Street did in opposing President Obama and supporting his Republican rival. The top five sources of contributions to Mr. Romney, a former top private equity executive, were big banks like Goldman Sachs and JPMorgan Chase, according to the Center for Responsive Politics. Wealthy financiers — led by hedge fund investors — were the biggest group of givers to the main “super PAC” backing Mr. Romney, providing almost $33 million, and gave generously to outside groups in races around the country.

On Wednesday, Mr. Loeb, who had supported Mr. Obama in 2008, was sanguine. “You win some, you lose some,” he said in an interview. “We can all disagree. I have friends and we have spirited discussions. Sure, I am not getting invited to the White House anytime soon, but as citizens of the country we are all friendly.”

Wall Street, however, now has to come to terms with an administration it has vilified. What Washington does next will be critically important for the industry, as regulatory agencies work to put their final stamp on financial regulations and as tax increases and spending cuts are set to take effect in the new year unless a deal to avert them is reached. To not have a friend in the White House at this time is one thing, but to have an enemy is quite another.

“Wall Street is now going to have to figure out how to make this relationship work,” said Glenn Schorr, an analyst who follows the big banks for the investment bank Nomura. “It’s not impossible, but it’s not the starting point they had hoped for.”

Traditionally, the financial industry has tended to support Republican candidates, but, being pragmatic about power, has also donated to Democrats. That script got a rewrite in 2008, when many on Wall Street supported Mr. Obama as an intelligent leader for a country reeling from the financial crisis. Goldman employees were the leading source of campaign donations for Mr. Obama, who reaped far more contributions — roughly $16 million — from Wall Street than did his opponent, John McCain.

The love affair between Wall Street and Mr. Obama soured soon after he took office and championed an overhaul in financial regulations that became the Dodd-Frank Act.

Some financial executives complained that in meetings with the president, they found him uninterested and disengaged, while others on Wall Street never forgave Mr. Obama for calling them “fat cats.”

The disillusionment with the president spawned reams of critical commentary from Wall Street executives.

“So long as our leaders tell us that we must trust them to regulate and redistribute our way back to prosperity, we will not break out of this economic quagmire,” Mr. Loeb wrote in one letter to his investors.

The rhetoric at times became extreme, like the time Steven A. Schwarzman, co-founder of the private equity firm Blackstone Group, compared a tax proposal to “when Hitler invaded Poland in 1939.” (Mr. Schwarzman later apologized for the remark.)

Mr. Loeb was not alone in switching allegiances in the recent presidential race. Hedge fund executives like Leon Cooperman who had supported Mr. Obama in 2008 were big backers of Mr. Romney in 2012. And Wall Street chieftains like Jamie Dimon of JPMorgan Chase and Lloyd C. Blankfein of Goldman Sachs, who have publicly been Democrats in the past, kept a low profile during this election. But their firms’ employees gave money to Mr. Romney in waves.

Starting over with the Obama White House will not be easy. One senior Wall Street lawyer who spoke on condition of anonymity said Wall Street “made a bad mistake” in pushing so hard for Mr. Romney. “They are going to pay a price,” he said. “It will soften over time, but there will be a price.”

Mr. Obama is not without supporters on Wall Street. Prominent executives like Hamilton James of Blackstone, and Robert Wolf, a former top banker at UBS, were in Chicago on Tuesday night, celebrating with the president.

“What we learned is the people on Wall Street have one vote just like everyone else,” Mr. Wolf said. Still, while the support Wall Street gave Mr. Romney is undeniable, Mr. Wolf said, “Mr. Obama wants a healthy private sector, and that includes Wall Street.

“If you look at fiscal reform, infrastructure, immigration and education, they are all bipartisan issues and are more aligned than some people make it seem.”

Reshma Saujani, a former hedge fund lawyer who was among Mr. Obama’s top bundlers this year and is planning to run for city office next year, agreed.

“Most people in the financial services sector are social liberals who support gay marriage and believe in a woman’s right to choose, so I think many of them will swing back to Democrats in the future,” she said.

---

This post has been revised to reflect the following correction:

Correction: November 8, 2012

An earlier version of this article misidentified Reshma Saujani as a male.

A version of this article appeared in print on 11/08/2012, on page B1 of the NewYork edition with the headline: On Wall Street, Time to Mend Fences With Obama.

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Divided U.S. Gives Obama More Time

Doug Mills/The New York Times

Americans voted to give President Obama a second chance to change Washington. More Photos »

Barack Hussein Obama was re-elected president of the United States on Tuesday, overcoming powerful economic headwinds, a lock-step resistance to his agenda by Republicans in Congress and an unprecedented torrent of advertising as a divided nation voted to give him more time.

In defeating Mitt Romney, the president carried Colorado, Iowa, Ohio, New Hampshire, Virginia and Wisconsin, a near sweep of the battleground states, and was holding a narrow advantage in Florida. The path to victory for Mr. Romney narrowed as the night wore along, with Mr. Obama winning at least 303 electoral votes.

A cheer of jubilation sounded at the Obama campaign headquarters in Chicago when the television networks began projecting him as the winner at 11:20 p.m., even as the ballots were still being counted in many states where voters had waited in line well into the night. The victory was far narrower than his historic election four years ago, but it was no less dramatic.

“Tonight in this election, you, the American people, reminded us that while our road has been hard, while our journey has been long, we have picked ourselves up, we have fought our way back,” Mr. Obama told his supporters early Wednesday. “We know in our hearts that for the United States of America, the best is yet to come.”

Mr. Obama’s re-election extended his place in history, carrying the tenure of the nation’s first black president into a second term. His path followed a pattern that has been an arc to his political career: faltering when he seemed to be at his strongest — the period before his first debate with Mr. Romney — before he redoubled his efforts to lift himself and his supporters to victory.

The evening was not without the drama that has come to mark so many recent elections: For more than 90 minutes after the networks projected Mr. Obama as the winner, Mr. Romney held off calling him to concede. And as the president waited to declare victory in Chicago, Mr. Romney’s aides were prepared to head to the airport, suitcases packed, potentially to contest several close results.

But as it became increasingly clear that no amount of contesting would bring him victory, he called Mr. Obama to concede shortly before 1 a.m.

“I wish all of them well, but particularly the president, the first lady and their daughters,” Mr. Romney told his supporters in Boston. “This is a time of great challenges for America, and I pray that the president will be successful in guiding our nation.”

Hispanics made up an important part of Mr. Obama’s winning coalition, preliminary exit poll data showed. And before the night was through, there were already recriminations from Republican moderates who said Mr. Romney had gone too far during the primaries in his statements against those here illegally, including his promise that his get-tough policies would cause some to “self-deport.”

Mr. Obama, 51, faces governing in a deeply divided country and a partisan-rich capital, where Republicans retained their majority in the House and Democrats kept their control of the Senate. His re-election offers him a second chance that will quickly be tested, given the rapidly escalating fiscal showdown.

For Mr. Obama, the result brings a ratification of his sweeping health care act, which Mr. Romney had vowed to repeal. The law will now continue on course toward nearly full implementation in 2014, promising to change significantly the way medical services are administrated nationwide.

Confident that the economy is finally on a true path toward stability, Mr. Obama and his aides have hinted that he would seek to tackle some of the grand but unrealized promises of his first campaign, including the sort of immigration overhaul that has eluded presidents of both parties for decades.

But he will be venturing back into a Congressional environment similar to that of his first term, with the Senate under the control of Democrats and the House under the control of Republicans, whose leaders have hinted that they will be no less likely to challenge him than they were during the last four years.

Michael Cooper contributed reporting.

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Social Media Finds a Role in Case Against Zimmerman

MIAMI — When Mark O’Mara agreed to defend George Zimmerman in the Trayvon Martin murder case, one of his first major decisions was to embrace the Internet.

He set up a legal defense Web site for his client, a Twitter page and a Facebook account, all with the purpose of countering what he called the “avalanche of misinformation” about the case and Mr. Zimmerman.

It was a risky move, unorthodox for a criminal defense lawyer, legal experts said, but a bold one. Late last month, the judge in the case, rebuffing the prosecution, allowed Mr. O’Mara to keep the online presence.

In so doing, the judge sanctioned the use of social media in a high-profile murder case that was already steeped in the power of Facebook, Twitter and blogs. Not long after Mr. Martin was shot and killed, protesters took their cues from Facebook and demonstrated across the country. Angry words coursed through Twitter.

Mr. Zimmerman, in hiding, started a Web site to raise money. The Martin family’s lawyers, who made ample use of traditional media, used Twitter to bring attention to Mr. Martin’s death.

Social media is playing a role in the courtroom, too. Mr. O’Mara wants to use Mr. Martin’s Facebook page and Twitter feed to bolster Mr. Zimmerman’s claim of self-defense. But he will most likely face a protracted battle to authenticate the material, in part because Mr. Martin is no longer alive. Last month, the judge allowed Mr. O’Mara to subpoena Twitter and Facebook for the information.

In ways large and small, the State of Florida v. George Zimmerman is serving as a modernized blueprint for deploying social media in a murder case.

“The way the whole case has been playing out in social media is typical of our times, but more typical of civil cases than criminal cases,” said Robert Ambrogi, a lawyer and technology expert who writes a blog on the intersection of the legal profession and social media. “It’s not without precedent, but it’s on the cutting edge.”

In civil cases, lawyers routinely dig up Facebook photos of people claiming to have a back injury dancing atop bars or revealing posts from supposedly faithful spouses.

“In the world of electronic information, the amount of potentially relevant information in discovery has exploded,” said Kenneth Withers, the director of judicial education and content for The Sedona Conference, a nonprofit law and policy research organization, referring to the pretrial exchange of information and evidence between lawyers on both sides. “And with social media, there has been an explosion of an explosion.”

It no longer makes sense for criminal defense lawyers who have tread more cautiously into social media to brush it off or avoid it, legal experts said.

Nicole Black, a co-author of “Social Media for Lawyers,” said criminal lawyers are getting crash courses on how to best use social media to help their clients and themselves.

“There is almost hysteria among the lawyers to understand it and how it’s affecting their practice,” said Ms. Black, who is also the director of business development and community relations at MyCaseInc.com.

Mr. O’Mara said as much in court recently when he pressed for access to Mr. Martin’s Facebook page and for the continued use of the legal defense Web site and its Twitter feed. “This is 2012, and I’m sorry, I used to have the books on the shelf, and those days are long gone,” he said. “We now have an active vehicle for information. I will tell you that today, if every defense attorney is not searching for information on something like this, he will be committing malpractice.”

Mr. Zimmerman, a Hispanic neighborhood watch volunteer in Sanford, Fla., is charged with second-degree murder in the shooting death of Mr. Martin, an unarmed black teenager who was killed in February as he walked to a house where he was staying as a guest.

Mr. O’Mara has been careful to hew to ethical requirements on his Twitter feed and Web site, which he uses to post legal documents, react to developments in the case and raise money for his client. He allows comments to be posted so long as they are not inflammatory. When the Facebook page “devolved into people bickering,” he said, he shut it down.

Social media is difficult to control, which for many is precisely its allure. Last month, Mr. Zimmerman’s brother, Robert Zimmerman Jr., fired off an angry post on Twitter at Natalie Jackson, one of the Martin family’s lawyers.

“My Life’s work = you WILL be held accountable for your words/actions. You A’INT seen NOTHIN’ yet ... I will see U disbarred,” he posted on Twitter.

Mr. O’Mara wrote a reaction on his Web site.

“Regarding Robert Zimmerman Jr.’s media campaign and Twitter comments, Robert is acting on behalf of his family, and he is not acting with the approval or the input of the defense team,” he wrote. He noted that, “The Zimmerman family has been through a lot, and they have been frequently misrepresented in the media, so we do not begrudge Robert for wanting to speak out and set the record straight.”

While Mr. O’Mara has become adept at social media, rattling off the number of Google hits on the words Trayvon Martin and the tally of visits to the legal defense site — 267,089 as of Monday — plunging into the world of Twitter, Facebook and blogs is not a welcome development for all in the courtroom.

“I’m new to this, quite frankly; I’m old,” a prosecutor, Bernie de la Rionda, said as the two sides faced off over social media in the courtroom.

Before long, Judge Debra S. Nelson will have to decide how to handle social media during the trial, which is scheduled to begin on June 10. Some jurors in other cases across the country have taken to posting about the proceedings on Facebook or Twitter, posing a risk of mistrials. Judges have cracked down.

Considering the publicity in the case, Judge Nelson may wind up following the lead of the judge in another high-profile Florida murder trial, that of Casey Anthony, who was acquitted of killing her young daughter. She could sequester the jury members, confiscate their cellphones and laptops, and monitor their calls and computer time.

If Judge Nelson does follow suit, she must be prepared to deal with another juror dilemma: extreme withdrawal.

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National Briefing | New England: Massachusetts: House Panel Issues Subpoena in Meningitis Outbreak

The chief pharmacist at the New England Compounding Center in Framingham, the company linked to a deadly meningitis outbreak, has received a subpoena to appear before the House Energy and Commerce Committee. The pharmacist, Barry J. Cadden, is an owner of the company, which surrendered its pharmacy license after the outbreak sickened more than 400 people and killed 30. “Since Mr. Cadden has indicated he will not appear voluntarily, we are left with no choice but to issue a subpoena,” the committee chairman, Representative Fred Upton, Republican of Michigan, and the ranking Democrat, Representative Henry A. Waxman of California, said in a statement on Tuesday.

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National Briefing | New England: Massachusetts: House Panel Issues Subpoena in Meningitis Outbreak

The chief pharmacist at the New England Compounding Center in Framingham, the company linked to a deadly meningitis outbreak, has received a subpoena to appear before the House Energy and Commerce Committee. The pharmacist, Barry J. Cadden, is an owner of the company, which surrendered its pharmacy license after the outbreak sickened more than 400 people and killed 30. “Since Mr. Cadden has indicated he will not appear voluntarily, we are left with no choice but to issue a subpoena,” the committee chairman, Representative Fred Upton, Republican of Michigan, and the ranking Democrat, Representative Henry A. Waxman of California, said in a statement on Tuesday.

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Fiscal Impasse Leads to Pullback After Election

Business leaders and investors on Wall Street reacted nervously to President Obama’s re-election early Wednesday, warning that the focus would quickly shift from electoral politics to the looming fiscal uncertainty in Washington.

Stocks moved sharply lower in early trading in New York, with the Standard & Poor’s 500-stock index down 1.9 percent, while European shares drifted lower and Asian stocks were mixed. While many executives on Wall Street and in other industries favored Mitt Romney, many had already factored in the likelihood of Mr. Obama winning a second term.

“The bottom line is that this looks like a status quo election,” said Dean Maki, chief United States economist at Barclays. “The problem with that is that it doesn’t resolve some of the main sources of uncertainty that are hanging over the economy.”

Companies in some sectors, like hospitals and technology, could see a short-term pop, said Tobias Levkovich, chief United States equity strategist with Citi. Other areas, like financial services as well as coal and mining, could be hurt as investors contemplate a tougher regulatory environment.

In early trading, shares of Alpha Natural Resources, a coal giant, were down more than 8 percent, while Arch Coal was off 10.5 percent. But HCA Holdings, a hospital operator, was up nearly 6 percent. As a result of Mr. Obama’s victory, Goldman Sachs said it upgraded its rating on HCA to buy from neutral, and raised its price target to $39 from $31. It also raised price targets for Tenet Healthcare and Community Health Systems, although both are still rated neutral.

Goldman downgraded shares of Humana, a leading managed care company, to sell, and its shares fell 7.3 percent. Goldman warned that Humana and other managed care providers could be hurt as health care reform moves forward, especially new rules for health insurers that become effective in 2014.

Mr. Levkovich predicted that the market would remain volatile between now and mid-January. If Congress and the president cannot come up with a plan to cut the deficit, hundreds of billions in Bush-era tax cuts are set to expire at the beginning of 2013 while automatic spending cuts will sharply cut the defense budget and other programs.

Known as the fiscal cliff, this simultaneous combination of dramatic reductions in government spending and tax increases could push the economy into recession in 2013, economists fear.

By midmorning Wednesday, it was not just the election results driving shares lower — there was more gloomy economic news out of Europe.

The European Union will experience only a very weak economic recovery during 2013 while unemployment will remain at “very high” levels, according to a set of forecasts issued Wednesday by the European Commission.

This year, gross domestic product will shrink by 0.3 percent for the 27 members of the union as a whole and by 0.4 percent for the 17 countries in the euro area, the commission predicted. Growth in 2013 will be a meager 0.4 percent across the union and only 0.1 percent in the euro area, it said.

Not only is that level of growth far slower than even the tepid pace of the recovery in the United States, it also makes it more difficult for debt-burdened European economies to get their financial house in order. In midday trading, the Euro Stoxx 50 index, a barometer of euro zone blue chips, fell 1.59 percent, while the FTSE 100 index in London was 0.78 percent lower.

The S.&P./ASX 200 in Australia closed up 0.7 percent, as did the Hang Seng Index in Hong Kong. The Nikkei 225 stock average in Japan ended trading little changed.

“There’s a huge question mark hanging over what happens in the next few weeks,” said Aric Newhouse, senior vice-president of policy and government relations at the National Association of Manufacturers. “The fiscal cliff is the 800-pound gorilla out there.”

“We can’t wait,” he said. “We think the idea of going over the cliff has to be taken off the table. We’ve got to get to the middle ground.”

For all the anticipation, some observers said the election still left plenty of unanswered questions.

“While we have clarity on the players now, we don’t have any more clarity on what will happen in terms of the fiscal cliff,” Mr. Maki said. “We still have a divided government and they haven’t been able to agree on what to do.”

If the full package of tax increases and spending cuts go into effect, that would equal a $650 billion blow to the economy, Mr. Maki said, equivalent to 4 percent of the gross domestic product.

Mr. Maki envisions a partial compromise, with $200 billion in tax increases and spending cuts. Partly because of that, he estimates, the annual rate of economic growth will dip to 1.5 percent in the first quarter of 2013 from 2.5 percent in the fourth quarter. He predicted that if the full fiscal cliff were to hit, the economy would contract in the first half of 2013.

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Egyptian Vigilantes Crack Down on Abuse of Women

Tara Todras-Whitehill for The New York Times

A self-appointed citizens patrol that tries to protect women on Cairo’s streets spray-painted a youth for identification last month.

CAIRO — The young activists lingered on the streets around Tahrir Square, scrutinizing the crowds of holiday revelers. Suddenly, they charged, pushing people aside and chasing down a young man. As the captive thrashed to get away, the activists pounded his shoulders, flipped him around and spray-painted a message on his back: “I’m a harasser.”

Egypt’s streets have long been a perilous place for women, who are frequently heckled, grabbed, threatened and violated while the police look the other way. Now, during the country’s tumultuous transition from authoritarian rule, more and more groups are emerging to make protecting women — and shaming the do-nothing police — a cause.

“They’re now doing the undoable?” a police officer joked as he watched the vigilantes chase down the young man. The officer quickly went back to sipping his tea.

The attacks on women did not subside after the uprising. If anything, they became more visible as even the military was implicated in the assaults, stripping female protesters, threatening others with violence and subjecting activists to so-called virginity tests. During holidays, when Cairenes take to the streets to stroll and socialize, the attacks multiply.

But during the recent Id al-Adha holiday, some of the men were surprised to find they could no longer harass with impunity, a change brought about not just out of concern for women’s rights, but out of a frustration that the post-revolutionary government still, like the one before, was doing too little to protect its citizens.

At least three citizens groups patrolled busy sections of central Cairo during the holiday. The groups’ members, both men and women, shared the conviction that the authorities would not act against harassment unless the problem was forced into the public debate. They differed in their tactics: some activists criticized others for being too quick to resort to violence against suspects and encouraging vigilantism.  One group leader compared the activists to the Guardian Angels in the United States.

“The harasser doesn’t see anyone who will hold him accountable,” said Omar Talaat, 16, who joined one of the patrols.

The years of President Hosni Mubarak’s rule were marked by official apathy, collusion in the assaults on women, or empty responses to the attacks, including police roundups of teenagers at Internet cafes for looking at pornography.

“The police did not take harassment seriously,” said Madiha el-Safty, a sociology professor at the American University in Cairo. “People didn’t file complaints. It was always underreported.”

Mr. Mubarak’s wife, Suzanne, who portrayed herself as a champion of women’s rights, pretended the problem hardly existed. As reports of harassment grew in 2008, she said, “Egyptian men always respect Egyptian women.”

Egypt’s new president, Mohamed Morsi, has presided over two holidays, and many activists say there is no sign that the government is paying closer attention to the problem. But the work by the citizens groups may be having an effect: Last week, after the Id al-Adha holiday, Mr. Morsi’s spokesman announced that the government had received more than 1,000 reports of harassment, and said that the president had directed the Interior Ministry to investigate them.

“Egypt’s revolution cannot tolerate these abuses,” the spokesman quoted Mr. Morsi as saying.

Azza Soliman, the director of the Center for Egyptian Women’s Legal Assistance, dismissed the president’s words as “weak.” During the holiday, she said, one of her sons was beaten on the subway after he tried to stop a man who was groping two foreign women. The police tried to stop him from filing a complaint. “The whole world is talking about harassment in our country,” Ms. Soliman said. “The Interior Ministry takes no action.”

For years, anti-harassment activists have worked to highlight the problems in Egypt, but the uprising seemed to give the effort more energy and urgency.

Asmaa Al Zohairy contributed reporting.

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AOL Beats Expectations on Strong Ad Sales

(Reuters) - AOL Inc reported higher-than-expected revenue and profit on the strongest advertising growth the company has seen in seven years.

AOL said on Tuesday that third-quarter revenue was flat at $531.7 million, ahead of analysts' average estimate of $521.6 million, according to Thomson Reuters I/B/E/S.

Advertising revenue rose 7 percent to $340 million, while subscription revenue for AOL's dial-up services fell 10 percent to $173.5 million.

Subscription revenue had its lowest rate of decline in six years.

AOL shares rose 11 percent to $39.61 in morning trade.

"Things look great," RBC Capital Markets analyst Andre Sequin said. "This company is continuing to make steps in the right direction."

These trends are helping AOL since its turnaround hinges on the success of getting more online advertising dollars and reducing its reliance on the lucrative but moribund dial-up business.

AOL Chief Executive Tim Armstrong said in an interview with Reuters that the main focus next year will be to focus on advertising and video, which tends to command higher prices from marketers.

Still, there are troubling signs in the results. Domestic display advertising, where AOL is making a big effort, including splashy acquisitions such as the Huffington Post, fell 3 percent in the quarter.

That compares with the overall U.S. display ad market estimated to grow more than 20 percent to $14.98 billion, according to research firm eMarketer.

AOL's advertising revenue was lifted by search revenue and double-digit growth in third-party network revenue.

Display ads are big, pricey units on Web pages favored by brand advertisers. Third-party network consists of AOL's Ad.com, which helps sell ads across other properties. These types of ads typically are lower-cost than those ads known in the industry as premium display.

"We weren't exactly 100 percent drilled and focused on the advertising strategy the first half of the year. But we are now," Armstrong said on a call with analysts.

"I think overall, what you're going to see is an operational improvement around advertising as we get into 2013."

The company, however, has taken a number of steps over the year, including selling some of its patents to Microsoft for $1 billion and returning those proceeds to shareholders.

Shares are up 137 percent year-to-date.

Net income was $20.8 million, or 22 cents per share, compared with a year-earlier loss of $2.6 million, or 2 cents per share.

AOL's third-quarter EPS of 22 cents was well ahead of analysts' forecast of 17 cents.

The company raised its estimate for 2012 adjusted OIBDA to about $400 million from $375 million.

(Reporting by Jennifer Saba in New York; Editing by Lisa Von Ahn, Maureen Bavdek, Sofina Mirza-Reid and Dale Hudson)

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Doctor and Patient: The Mental Fallout of the Hurricane

In the small Connecticut town where I grew up, the tornado of 1979 remains the storm, a freak tornado packing 86-mile-per-hour winds that churned through the streets, killing three people, injuring hundreds and destroying several hundred homes and businesses, including many in my neighborhood.

I was 15 at the time, at home alone looking after my 10-year-old sister and 5-year-old brother. For months afterward, like others caught in the surprise storm, we struggled with memories of that afternoon. During the first few days, I kept reliving the moments huddled with my siblings in the corner; later, I had recurring nightmares and became paralyzed with fear whenever I heard a clap of thunder.

Even today, I tend to worry more than most whenever the sky looks odd or when the weather suddenly turns muggy and dark, the slightest hint of what my sister and I have come to call “tornado weather.”

For almost three decades now, health care experts have been studying the psychological effects of natural disasters and have found that disasters as varied as the 1994 earthquake in Northridge, Calif., and Hurricanes Katrina (2005), Andrew (1992) and Hugo (1989) left significant, disabling and lasting psychological scars in their wake. While individuals with pre-existing mental health issues were at particular risk, everyone was vulnerable. In New Orleans a month after Hurricane Katrina, for example, 17 percent of residents reported symptoms consistent with serious mental illness, compared with 10 percent of those who lived in surrounding areas and only 1 to 3 percent in the general population.

Most commonly and most immediately, the survivors suffered post-traumatic stress symptoms like recurrent nightmares, flashbacks, a hair-trigger temper and an emotional “numbing,” much of which could be considered normal in the first couple of months after a disaster. “It’s a pretty natural thing to have nightmares after living through a natural disaster,” said Ronald C. Kessler, a professor of health care policy at Harvard Medical School who has studied the effect of natural disasters on the mental health of survivors. “It would almost be abnormal if you didn’t.”

Over time, when those symptoms abated, survivors were able to move on. When they didn’t, or when other mood disorders like anxiety and depression appeared, mental health issues quickly became a leading cause of disability for survivors, further hampering other efforts at recovery.

But the research has also revealed that we can mitigate the psychological fallout, even after the disaster has occurred. Studies from Hurricanes Katrina and Rita have shown that what communities, governments and even elected officials do in the weeks, months and years that follow can have a significant effect on how individuals fare psychologically.

For example, among Hurricane Katrina survivors, there were striking differences in the rates of mental health disorders, depending on how people felt about the difficulties they had finding food and shelter. Survivors who continued to face such adversity because of the government’s slow response had significantly higher rates of mental health problems.

“There’s no question that the best thing the federal, state and municipal governments can do to protect against psychopathology in these kinds of situations is to restore the day-to-day functioning that keeps everyone healthy,” said Dr. Sandro Galea, lead author of the study and chairman of epidemiology at the Columbia University Mailman School of Public Health.

For now, experts are predicting that the psychological fallout from Hurricane Sandy will be less severe than that from Hurricane Katrina. But their optimistic predictions rest in part on the response thus far of government officials and the larger community.

“People pull together at times like this,” Dr. Kessler noted. “To the extent that those affected by Sandy can build on this sense of community and get back to normal, it could be an opportunity for people to grow and even develop a sense of accomplishment because of what they’ve been through.”

What I remember today as clearly as the blinding whiteness of the tornado winds that enveloped our house and the terror that gripped my siblings and me back in 1979 are the state and local officials and rescue workers who appeared almost immediately, the churches and community organizations that organized shelters and fund-raisers, and the neighbors, sleeves rolled up, who cleared debris and cooked for one another.

When the new homes finally began to emerge from the rubble the following spring, it wasn’t the cookie-cutter skyline of raised ranches and colonials that was restored. Instead, the neighborhood became a showplace of modest but quirky family abodes — a brown, modern geometric house on one corner, a yellow, partly subterranean one a few doors down.

From a devastating storm, my neighbors had managed to build new dreams.

Read More..

Doctor and Patient: The Mental Fallout of the Hurricane

In the small Connecticut town where I grew up, the tornado of 1979 remains the storm, a freak tornado packing 86-mile-per-hour winds that churned through the streets, killing three people, injuring hundreds and destroying several hundred homes and businesses, including many in my neighborhood.

I was 15 at the time, at home alone looking after my 10-year-old sister and 5-year-old brother. For months afterward, like others caught in the surprise storm, we struggled with memories of that afternoon. During the first few days, I kept reliving the moments huddled with my siblings in the corner; later, I had recurring nightmares and became paralyzed with fear whenever I heard a clap of thunder.

Even today, I tend to worry more than most whenever the sky looks odd or when the weather suddenly turns muggy and dark, the slightest hint of what my sister and I have come to call “tornado weather.”

For almost three decades now, health care experts have been studying the psychological effects of natural disasters and have found that disasters as varied as the 1994 earthquake in Northridge, Calif., and Hurricanes Katrina (2005), Andrew (1992) and Hugo (1989) left significant, disabling and lasting psychological scars in their wake. While individuals with pre-existing mental health issues were at particular risk, everyone was vulnerable. In New Orleans a month after Hurricane Katrina, for example, 17 percent of residents reported symptoms consistent with serious mental illness, compared with 10 percent of those who lived in surrounding areas and only 1 to 3 percent in the general population.

Most commonly and most immediately, the survivors suffered post-traumatic stress symptoms like recurrent nightmares, flashbacks, a hair-trigger temper and an emotional “numbing,” much of which could be considered normal in the first couple of months after a disaster. “It’s a pretty natural thing to have nightmares after living through a natural disaster,” said Ronald C. Kessler, a professor of health care policy at Harvard Medical School who has studied the effect of natural disasters on the mental health of survivors. “It would almost be abnormal if you didn’t.”

Over time, when those symptoms abated, survivors were able to move on. When they didn’t, or when other mood disorders like anxiety and depression appeared, mental health issues quickly became a leading cause of disability for survivors, further hampering other efforts at recovery.

But the research has also revealed that we can mitigate the psychological fallout, even after the disaster has occurred. Studies from Hurricanes Katrina and Rita have shown that what communities, governments and even elected officials do in the weeks, months and years that follow can have a significant effect on how individuals fare psychologically.

For example, among Hurricane Katrina survivors, there were striking differences in the rates of mental health disorders, depending on how people felt about the difficulties they had finding food and shelter. Survivors who continued to face such adversity because of the government’s slow response had significantly higher rates of mental health problems.

“There’s no question that the best thing the federal, state and municipal governments can do to protect against psychopathology in these kinds of situations is to restore the day-to-day functioning that keeps everyone healthy,” said Dr. Sandro Galea, lead author of the study and chairman of epidemiology at the Columbia University Mailman School of Public Health.

For now, experts are predicting that the psychological fallout from Hurricane Sandy will be less severe than that from Hurricane Katrina. But their optimistic predictions rest in part on the response thus far of government officials and the larger community.

“People pull together at times like this,” Dr. Kessler noted. “To the extent that those affected by Sandy can build on this sense of community and get back to normal, it could be an opportunity for people to grow and even develop a sense of accomplishment because of what they’ve been through.”

What I remember today as clearly as the blinding whiteness of the tornado winds that enveloped our house and the terror that gripped my siblings and me back in 1979 are the state and local officials and rescue workers who appeared almost immediately, the churches and community organizations that organized shelters and fund-raisers, and the neighbors, sleeves rolled up, who cleared debris and cooked for one another.

When the new homes finally began to emerge from the rubble the following spring, it wasn’t the cookie-cutter skyline of raised ranches and colonials that was restored. Instead, the neighborhood became a showplace of modest but quirky family abodes — a brown, modern geometric house on one corner, a yellow, partly subterranean one a few doors down.

From a devastating storm, my neighbors had managed to build new dreams.

Read More..

Antwerp Journal: Antwerp’s Diamond Industry Facing Challenges

Colin Delfosse for The New York Times

Indian businessmen in the diamond district of Antwerp, Belgium.

ANTWERP, Belgium — Step off the train here and you cannot miss the signs on the stores: Diamond World, Diamond Gallery, Diamond Creations or simply, Diamonds. Of late, there are the banners and posters reading simply, “Antwerp Loves Diamonds.”

Though this Belgian port has had a love affair with diamonds for centuries, of late it seems to be losing some of its passion. For years now, much of the lucrative but labor-intensive business of cutting and polishing stones has been drifting to low-wage centers in the developing world, like Mumbai, Dubai and Shanghai.

More ominously, in recent years, diamond traders have been accused of a range of violations, including tax fraud, money laundering and cheating on customs payments when buying and selling stones.

Local business leaders recognize the threat. This year, they embarked on what local newspapers described as a “charm offensive.” In a 160-page program, titled Project 2020, the World Diamond Center, a trade-promotion group, outlined plans to draw business back to Antwerp by simplifying and accelerating trading via online systems. That, the industry hopes, will win back some of the polishing business lost to Asian countries with new technology, like fully automated diamond polishers, and generally burnish the image of the diamond business in the public’s jaded eye.

“This is our strength,” said Ari Epstein, 36, a lawyer who is chief executive of the World Diamond Center and the son of a diamond trader, whose father emigrated from a village in Romania in the 1960s. “We have the critical mass so that every diamond finds a buyer and seller.”

Antwerp has by no means fallen out of love with the gems. In all, the market employs 8,000 people and creates work indirectly for 26,000 others as insurers, bankers, security guards and drivers. Last year, turnover in the local diamond business amounted to $56 billion, Mr. Epstein said, its best year ever.

While total revenues are expected to drop this year because of the troubled world economy, he acknowledged, a stroll along Hoveniersstraat, or Gardner’s Street, leads through the heart of the market, where almost 85 percent of the world’s uncut diamonds are still traded.

“I come here once a month,” said Sheh Kamliss, a trader in his 30s, who travels from his native India to buy uncut stones and sell polished diamonds. “This is the international market,” he added, chatting with fellow Indian traders outside the Diamond Club of Antwerp, one of many locations where deals are struck.

On any given day but Friday or the Jewish holidays, Hoveniersstraat, with its tiny Sephardic synagogue, is liberally sprinkled with Orthodox Jewish traders, many of them Hasidim.

But their once dominant presence has been squeezed by the arrival of traders from new markets, like Mr. Kamliss. Now people from about 70 nations are present, including Indians, Israelis, Lebanese, Russians, Chinese and others. Along neighboring Lange Herentalsestraat, Rachel’s Kosher Restaurant is now flanked by the Bollywood Indian Restaurant and the Shanti Shop Indian supermarket. In the nearby Jewish quarter, Patel’s Cash & Carry recently installed itself right next to Moszkowitz, the butcher.

Some here say this globalization of the business has opened the door to abuse.

Omega Diamonds, a major market maker, came under investigation and its executives fled Belgium when an employee-turned-whistle-blower revealed in 2006 how Omega had traded diamonds out of Africa for years, avoiding taxes by transacting deals through Dubai, Tel Aviv and Geneva, then moving the profits back to Belgium.

“Because of global changes, the trade routes have changed,” said David Renous, 47, the whistle blower, who is now writing a book on the subject. “New hubs, like Dubai, the Singapore of the Middle East, sometimes close their eyes to criminality.”

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