Attorney: Poisoned lottery winner's widow has 'nothing to hide'









The widow of a West Rogers Park man who died of cyanide poisoning weeks after winning a $1 million lottery jackpot was questioned extensively by Chicago police last month after the medical examiner's office reclassified the death as a homicide, her attorney told the Tribune on Tuesday.


Authorities investigating the death of Urooj Khan also executed a search warrant at the home he had shared with his wife, Shabana Ansari, according to Steven Kozicki, her attorney. Ansari later was interviewed by detectives for more than four hours, answering all their questions, the attorney said.


"She's got nothing to hide," Kozicki said.





The mystery surrounding Khan's death — first reported by the Tribune in a front-page story Monday — has sparked international media interest.


Cook County authorities said Tuesday that they plan to go to court in the next few days for approval to exhume Khan's remains at Rosehill Cemetery. In a telephone interview Tuesday, Medical Examiner Stephen J. Cina said he sent a sworn statement to prosecutors laying out why the body must be exhumed.


"I feel that a complete autopsy is needed for the sake of clarity and thoroughness," Cina said.


Sally Daly, a spokeswoman for the state's attorney's office, confirmed that papers seeking the exhumation would be filed soon in the Daley Center courthouse.


Khan, who owned a dry cleaning business on the city's North Side, died unexpectedly in July at 46, just weeks after winning a million-dollar lottery prize at a 7-Eleven store near his home. Finding no trauma to his body and no unusual substances in his blood, the medical examiner's office declared his death to be from natural causes and he was buried without an autopsy.


About a week later, a relative told authorities to take a closer look at Khan's death. By early December, comprehensive toxicology tests showed that Khan had died of a lethal amount of cyanide, leading the medical examiner's office to reclassify the death a homicide and prompting police and prosecutors to investigate.


While a motive has not been determined, police have not ruled out that Khan was killed because of his big lottery win, a law enforcement source has told the Tribune. He died before he could collect the winnings — about $425,000 after taxes and because he decided to take a lump-sum payment.


According to court records obtained by the Tribune, Khan's brother has squabbled with Ansari over the money in probate court. The brother, Imtiaz, raised concern that because Khan left no will, his 17-year-old daughter from a previous marriage would not get "her fair share" of her father's estate. Khan and Ansari did not have children.


Al-Haroon Husain, an attorney for Ansari in the probate case, said the money was all accounted for and the estate was in the process of being divided up by the court. Under Illinois law, the estate typically would be split evenly between the surviving spouse and Khan's only child, he said.


Kozicki, Ansari's criminal defense attorney, said his client adored her husband and had no financial interest in seeing harm come to him.


"Now in addition to grieving her husband, she's struggling to run the business that he essentially ran while he was alive," Kozicki said. "Once people analyze it, they (would) realize she's in a much worse financial position after his death than she was before."


Reached by phone Tuesday evening at the family dry cleaners, Ansari denied reports that she had fed her husband a traditional Indian meal of ground beef curry before he died. She said he wasn't feeling well after awakening in the middle of the night. She said he sat in a chair and soon collapsed. She then called 911.


Chicago police Superintendent Garry McCarthy, speaking Tuesday at an unrelated news conference, remarked that he had never seen a case like this in 32 years in law enforcement.


"So I'll never say that I've seen everything," he told reporters.


jmeisner@tribune.com


jgorner@tribune.com



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Samsung’s big push for 2013: content, corporates






LAS VEGAS (Reuters) – Samsung Electronics, the global leader in consumer smartphones, is planning two major thrusts in 2013: bulking up mobile content and moving faster into the corporate market dominated by Research in Motion.


The South Korean electronics company is investing in devices that enterprise users like corporations will endorse, with a higher level of security and reliability than general users need. In doing so, Samsung is capitalizing on doubts about the longevity of the BlackBerry as its Canadian maker struggles to revive growth.






Samsung’s corporate market ambitions have advanced as the Galaxy SIII, its popular flagship smartphone, won the requisite security certifications from companies, said Kevin Packingham, chief product officer for Samsung Mobile USA.


As RIM prepares to launch its next-generation BlackBerry 10 this quarter, the company’s future remains shaky. Corporate technology officers have begun to explore other smartphones, such as those by Apple Inc or Samsung.


“The enterprise space has suddenly become wide open. The RIM problems certainly fueled a lot of what the CIOs are going through, which is they want to get away from a lot of the proprietary solutions,” Packingham said in an interview at the Consumer Electronics Show in Las Vegas. “They want something that integrates what they are doing with their IT systems. Samsung is investing in that area.”


“It’s been a focus for a long time but the products have evolved now that we can really take advantage of that,” he added. “We knew we had to build more tech devices to successfully enter the enterprise market. What really turned that needle was that we had the power of the GS3.”


Samsung in 2012 overtook Apple as the world’s largest maker of smartphones, with a vastly larger selection of cellphones that attacked different price points and proved popular in emerging markets.


German business software maker SAP provides employees with Samsung’s Galaxy S III, the larger Galaxy Note and the Galaxy Tab, SAP Chief Information Officer Oliver Bussmann said in an interview.


“The one clear trend in enterprise is the shift away from one device to multiple devices,” said Bussman, who makes 10 devices available to SAP employees for official use. The list includes Apple’s iPhone and iPad, Nokia Lumia and RIM’s Blackberry.


“Because of the fragmentation of the Android software, we decided to go with just one Android company and we went with Samsung,” he added.


Now, the Korean hardware specialist is beefing up its software – an area in which it has lagged arch-enemy Apple, which revolutionized the mobile phone from 2007 with its content-rich, developer-led iPhone ecosystem.


Packingham sees an area ripe for innovation – combining the mobile phone with Samsung’s strength, the TV, which has barely evolved in the past decade.


Still, the U.S.-based executive remained cagey about Samsung’s plans for content and enterprise.


“You are going to see from content services, we’ll start to integrate what’s happening on the big screen, what’s happening on the tablet,” he said.


“We know now that people like to explore content that they are watching on TV while they have a tablet in their lap, and that’s going to be a big theme for this year.”


(Editing by Richard Chang)


Tech News Headlines – Yahoo! News





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Founder of Montreux jazz fest in coma after ski fall






GENEVA (Reuters) – Claude Nobs, founder of the Montreux Jazz Festival, one of Europe’s most prestigious summer music festivals, is in a coma after a cross-country skiing accident during the holidays, festival organizers revealed on Monday.


The 76-year-old Swiss, who has lured some of the world’s greatest artists to Montreux – including Miles Davis, Ray Charles and Prince – was operated on in a Swiss hospital after his fall, it said.






“He has remained to date in a state of unconsciousness. His condition requires further additional tests,” the festival board said in a brief statement.


The accident occurred on Christmas Eve while skiing near his home in the village of Caux overlooking Montreux and Lake Geneva, festival secretary-general Mathieu Jaton told Reuters.


Nobs launched the festival in 1967 while working at the resort’s tourism office. He became known as “Funky Claude”, from a line in the song “Smoke on the Water” by Deep Purple, about a fire which burned down Montreux casino during a Frank Zappa concert in 1971.


Despite heart surgery some six years ago, he remains festival director, a position he shared during the 1990s with American producer Quincy Jones who returns each year from Los Angeles to introduce new talent.


Nobs often joined musicians on stage, playing harmonica, sometimes accompanied by his dogs.


Sold-out highlights last July included concerts by Bob Dylan, American chanteuse Lana Del Rey and British actor and musician Hugh Laurie.


Jaton is assuming Nob’s responsibilities and will ensure smooth management of the 47th edition of the festival set for July 5-20, the statement said.


(Reporting by Stephanie Nebehay, editing by Paul Casciato)


Music News Headlines – Yahoo! News





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Recipes for Health: Cauliflower and Tuna Salad — Recipes for Health


Andrew Scrivani for The New York Times







I have added tuna to a classic Italian antipasto of cauliflower and capers dressed with vinegar and olive oil. For the best results give the cauliflower lots of time to marinate.




1 large or 2 small or medium cauliflowers, broken into small florets


1 5-ounce can water-packed light (not albacore) tuna, drained


1 plump garlic clove, minced or pureéd


1/3 cup chopped flat-leaf parsley


3 tablespoons capers, drained and rinsed


1 tablespoon fresh lemon juice


3 tablespoons sherry vinegar or champagne vinegar


6 tablespoons extra virgin olive oil


Salt and freshly ground pepper


1. Place the cauliflower in a steaming basket over 1 inch of boiling water, cover and steam 1 minute. Lift the lid for 15 seconds, then cover again and steam for 5 to 8 minutes, until tender. Refresh with cold water, then drain on paper towels.


2. In a large bowl, break up the tuna fish and add the cauliflower.


3. In a small bowl or measuring cup, mix together the garlic, parsley, capers, lemon juice, vinegar, and olive oil. Season generously with salt and pepper. Add the cauliflower and toss together. Marinate, stirring from time to time, for 30 minutes if possible before serving. Serve warm, cold, or at room temperature.


Yield: Serves 6 as a starter or side dish


Advance preparation: You can make this up to a day ahead, but omit the parsley until shortly before serving so that it doesn’t fade. It keeps well in the refrigerator for up to 5 days.


Nutritional information per serving: 188 calories; 15 grams fat; 2 grams saturated fat; 2 grams polyunsaturated fat; 10 grams monounsaturated fat; 10 milligrams cholesterol; 8 grams carbohydrates; 3 grams dietary fiber; 261 milligrams sodium (does not include salt to taste); 9 grams protein


Martha Rose Shulman is the author of “The Very Best of Recipes for Health.”


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Rosenthal: New Sears boss hopes to be a new kind of merchant








He's been a big-time investor in the retail sector for more than 15 years and was chairman of Kmart after it emerged from bankruptcy about a decade ago. A few years later, he paired it with once-dominant Sears.


Yet even as Eddie Lampert is poised next month to add the role of chief executive to that of chairman at retail giant Sears Holdings, he's still characterized generally as just a hedge fund guy.


This, Lampert suggested in a rare interview Tuesday, fails to acknowledge changes in the 21st century retail industry as well as the Hoffman Estates-based company he seeks to revive.






"The most successful guy in retail right now is Jeff Bezos, and he was a (Wall Street) hedge fund guy," Lampert, 50, said by phone. "I think a lot of times when people talk about merchants it's almost a nostalgic look back at the time where the world moved at a very different pace and information was very different."


Lampert has decided to succeed Lou D'Ambrosio, who is leaving to tend to a family health issue. Critics complain that this is just the latest missed opportunity to have a world-class merchandiser run the struggling company.


"So it's Eddie Lampert who's going to be there, and he's a smart guy and insightful when it comes to doing deals, but he doesn't have a track record at running a retail operation," said Evan Mann, an analyst with Gimme Credit.


Lampert argues that a new kind of sales, one that encompasses e-commerce, traditional bricks-and-mortar, mobile and more, requires a new kind of merchant.


"Trying to move the volume of products we're talking about from place to place to get it ultimately into the customer's hands, to price these items, to market these items, I think the retail business is incredibly complex," Lampert said. "But if you get it right, it's a beautiful thing."


"I'm not denying that there are still great merchants," he said. "But to operate a company of the size of Sears Holdings or Wal-Mart or Target or Home Depot or Lowe's, you need a combination of skills, and each of those skills needs to be sufficiently strong."


Lampert can make the case that he is a modern-day merchant. He still hasn't proved he's a good one. For six successive years, Sears Holdings has seen no top-line growth, due to slipping sales and store closings.


"I understand and I appreciate people looking at same-store sales as an indicator," D'Ambrosio said during the call. "I think when you look at the financial shape of the company, there's clear progress."


D'Ambrosio noted four consecutive quarters of EBITDA growth and the fact the company raised $1.8 billion of liquidity in 2012 while reducing net debt by $400 million.


Overshadowed in Monday's news of the leadership change were other glimmers of hope: Sears' domestic comparable-store sales for the nine weeks ended Dec. 29 were up 0.5 percent.


Meanwhile, the strategy of technological convergence, which included a loyalty program, has yielded a wellspring of consumer data and changed customers' relationship with the retailer. Kmart and U.S. Sears' online sales are up 20 percent.


"It's never a good time for a transition, but what I would tell you is, five years ago, we put in place a more distributed leadership structure," Lampert said. "Despite what people may have said or written, there is a difference between a chairman role and a CEO role, and I've never been in the CEO role in this company."


D'Ambrosio predicted Lampert will offer strategic continuity. But handicappers have long questioned whether the old horse had any giddy-up left in its step to catch up to and keep pace with Wal-Mart, Target and Amazon.


And not to beat a dead metaphor, but the suspicion among many all along has been that Lampert saw neither a thoroughbred nor tireless workhorse in the parent of Sears and Kmart as so many parts to be cut up, boiled down and sold off.


"I was very clear why we put these companies together and what our goals were," Lampert said. "It was really to allow both Sears and Kmart to compete in what I thought was going to be a more challenging but evolving industry. The framework which was placed upon me and the company was: 'OK, this was all about real estate. It's about selling real estate.' Then when we didn't sell real estate, it became: 'Well, they missed the opportunity in 2006, 2007 to sell the real estate.'


"I've never denied there was substantial real estate value in the company," he said. "Suffice it to say that … the most value can be created if we actually transform it."


Fortune in 2006 called Lampert "the best investor of his generation." A Forbes contributor last year ranked him No. 2 on a list of the worst CEOs, and while acknowledging Lampert was Sears Holdings' chairman and not CEO, the contributor argued that "Lampert has called the shots, he's missed every target" and that he had "destroyed Sears."


D'Ambrosio said he doesn't recognize the Lampert he sometimes sees described by critics.


"I've never worked with somebody who understands business models and how to re-imagine a business model and has a view on the way buying will change going forward better than Eddie," D'Ambrosio said.


It turns out, his image is the thing he's least interested in selling at Sears Holdings.


"I do think what we've been trying to do at the company has been very clear," Lampert said. "If people want to doubt it or put a spin on it, they're entitled to do it. We just have to perform."


philrosenthal@tribune.com


Twitter @phil_rosenthal






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Magical run for Irish ends in rout

Notre Dame lost 42-14 on Monday.









MIAMI GARDENS, Fla. — On a flawless South Florida night, Notre Dame players saw a legend emerge in present time. To their bone-deep disbelief, it was not them.


The eruption of streamers and confetti and joy surrounded them, and their shock and desolation filled the spaces in between. A program lost for a quarter-century might not be directionless, but the top looked far away from here.


A moment the Irish believed they were meant to have ended in a quiet walk out of sight and into another year of what might be. Alabama is the national champion, again, the SEC's marauding run extended to a seventh straight year with a 42-14 humiliation of Notre Dame in the BCS title game Monday, the Irish's first loss also their most excruciating.








Most left the field with distant gazes as the Crimson Tide hoisted newspapers with headlines blaring, "BAMA AGAIN." Nose guard Louis Nix limped off slowly. Tailback Theo Riddick pulled a towel over his head to hide his tears, which then burst forth by his locker stall. Across the room, freshman cornerback KeiVarae Russell tried to laugh through crying he couldn't stop.


Twenty-four years since that last title in 1988, wandering through losses and death and empty promise. When everyone saw the light at the end of it all, what they saw was that crystal football hoisted skyward. It remained far, far beyond their grasp at Sun Life Stadium and claimed by a different reborn college football dynasty.


"They're back-to-back national champs," Irish coach Brian Kelly said. "So that's what it looks like. Measure yourself against that, and it was pretty clear across the board what we have to do."


It was an oppressive deluge of unprepared and nerve-racked play from the start, the most yards (529) surrendered by Notre Dame (13-1) all year and the most points ever surrendered by Notre Dame in a bowl game. Eddie Lacy rampaged for 140 yards, AJ McCarron threw for 264 and four touchdowns and Alabama (13-1) did, basically, whatever it wanted.


Alabama players called a meeting shortly after their arrival in Florida, and some mused that it reflected a fracture in the focus of the defending champs. But the stoicism they demonstrated all week turned out to be determination to kick the ever-loving tar out of the nation's No. 1 team.


"We knew one team would break," Alabama defensive end Damion Square said, "and it wasn't going to be us."


It required only five plays for Alabama to find the end zone. Lacy was the sledgehammer, and it was 7-0 after the longest touchdown drive and the first first-quarter touchdown allowed by Notre Dame all season.


The curb-stomping didn't end. McCarron threw a touchdown pass, then set up a T.J. Yeldon score with 25- and 28-yard passes, then dumped a short toss to Lacy that the junior hauled into the end zone. It was a 28-0 lead, arrived at brutally, with special indifference to destiny and fortune.


"They did not dominate us," Nix said. "We just didn't play our ballgame, man. We didn't make tackles. Everything we did or had lined up should have worked."


In whatever context or interpretation, Alabama was destroying everything Notre Dame built over a brilliant season, stomping validation into a million little pieces.


"It felt like we were sinking in quicksand," guard Chris Watt said. "We couldn't get out of it."


It was 35-0 before Notre Dame at last responded with an 85-yard drive to an Everett Golson 2-yard option keeper, ending the Tide's 108-minute shutout streak in BCS championship appearances. When McCarron answered with another scoring toss to Amari Cooper, all that was left was getting out alive and figuring where to go from here.


After that last title in 1988, the pall descended. Lou Holtz left, and then it was Bob Davie and George O'Leary's resume and Tyrone Willingham and Charlie Weis' decided schematic advantage. Then Kelly arrived, and there was no definable reason to expect a title run to happen this year, and then it did.


It seemed, regardless of the outcome, Notre Dame might be a fully functional college football leviathan humming along. Then came the mighty Tide and a dent in the validation.


So, yes, the Irish making it this far proved a great deal.


"Nobody had us in this position to start the season," said receiver DaVaris Daniels, a bright spot with 115 receiving yards, "and look how far we've come, so quick."


And yet the Irish absorbing such a bracing setback means they must prove so much more.


"At Notre Dame, you're expected to win national championships," Watt said. "A lot of the things we did this season were just unbelievable. Those were all wonderful things. But it doesn't really mean anything when you don't win a national championship. You can't really win anything else here."


So off they went, dazed and empty-handed. All around them the new college football dynasty celebrated. All around them, Notre Dame saw what it desperately wanted to become.


Off they went, into the tunnels, a brilliant season ending well short of legend. And the Irish would do what everyone before them had done for a quarter-century, and wake up in the morning just waiting to get back.


bchamilton@tribune.com


Twitter @ChiTribHamilton





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181,354 People on Twitter Think They’re Experts at Twitter






Do you tweet a lot? Do you post everything on Facebook? Do you #hashtag #complete #sentences #like #this? Do you describe yourself, variously, as a social media “maven”, “master”, “guru”, “freak”, “warrior”, “evangelist” or “veteran”? (Yes, a social media veteran. As if Tumblr were a deadly war you narrowly survived.) Well: you’ve got company! There are more than 181,000 such individuals on Twitter, people who adorn their profiles with credentials like “social media freak” and “social media wonk” and “social media authority.”


RELATED: Teens Hacking Their Friends’s Twitter Accounts Is All the Rage






B.L. Ochman at Advertising Age, whose heroic research produced the final tally, first noted the trend three years ago — when she recorded, among other distinctions, 68 “social media stars” and 79 “social media ninjas” on Twitter alone — and has been keeping track ever since. This isn’t just the stuff of legitimate Twitter news-breakers like Anthony DeRosa and Andy Carvin — Ohman provides a helpful breakdown of the terms she looked for — you know, like “social media warrior.” (We’re tempted to argue that such diligence makes Ochman something of a social media warrior herself.) Ochman also warns of using “guru” — a Sanskrit term — to describe oneself:



While a great many of these self-appointed gurus are no doubt taking the title with tongue firmly planted in cheek, the fact remains: a guru is something someone else calls you, not something you call yourself. Scratch that: let’s save “guru” (Sanskrit for “teacher”) for religious figures or at least people with real unique knowledge.


I’d argue, in fact, that “social media” and “guru” should never appear in the same sentence.



Whatever the term, social media seems to be a growth industry: there were only 15,740 “mavens” (or whatever) in 2009 — less than a tenth of those represented today.


Social Media News Headlines – Yahoo! News





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Matt Dallas comes out as gay






LOS ANGELES (TheWrap.com) – Matt Dallas appeared to come out of the closet on Sunday night. The star of the former ABC Family series “Kyle XY” (2006-2009) said on his Twitteraccount that he was engaged to marry his boyfriend musician Blue Hamilton.


In addition to a picture of Hamilton lounging on a couch with a dog, Dallas tweeted the following: “Starting off the year with a new fiancé, @bluehamilton. A great way to kick off 2013!”






Dallas’ publicist did not immediately respond to TheWrap’s requests for comment.


The actor does not appear to have commented publicly on his sexuality before, but the gay news blog “After Elton” reports that Dallas was the target of Perez Hilton, who openly speculated about his sexual orientation. Hilton reportedly dubbed the star “Kyle KY,” in reference to the lubricant.


Hilton did not immediately respond to an email requesting comment on Dallas’ announcement.


Dallas’ tweet follows a string of similar low-key announcements by the likes of Frank Ocean, Zachary Quinto and Jim Parsons, who said they were gay or had relationships with men in personal blogs or as a casual aside in interviews. This trend is a sign of shifting attitudes towards homosexuality. It is in marked contrast to the media-blitz that greeted Ellen DeGeneres more than a decade ago when she announced on the cover of Time that she was a lesbian.


In addition to the supernatural show “Kyle XY,” Dallas appeared on the 2009 TV series “Eastwick” and recently joined the cast of ABC Family’s “Baby Daddy.”


Celebrity News Headlines – Yahoo! News





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Health Spending Growth Stays Low for 3rd Straight Year





WASHINGTON — National health spending climbed to $2.7 trillion in 2011, or an average of $8,700 for every person in the country, but as a share of the economy, it remained stable for the third consecutive year, the Obama administration said Monday.




The rate of increase in health spending, 3.9 percent in 2011, was the same as in 2009 and 2010 — the lowest annual rates recorded in the 52 years the government has been collecting such data.


Federal officials could not say for sure whether the low growth in health spending represented the start of a trend or reflected the continuing effects of the recession, which crimped the economy from December 2007 to June 2009.


Kathleen Sebelius, the secretary of health and human services, said that “the statistics show how the Affordable Care Act is already making a difference,” saving money for consumers. But a report issued by the Centers for Medicare and Medicaid Services, in her department, said that the law had so far had “no discernible impact” on overall health spending.


Although some provisions of the law have taken effect, the report said, “their influence on overall health spending through 2011 was minimal.”


The recession increased unemployment, reduced the number of people with private health insurance, lowered household income and assets and therefore tended to slow health spending, said Micah B. Hartman, a statistician at the Centers for Medicare and Medicaid Services.


In the report, federal officials said that total national spending on prescription drugs and doctors’ services grew faster in 2011 than in the year before, but that spending on hospital care grew more slowly.


Medicaid spending likewise grew less quickly in 2011 than in the prior year, as states struggled with budget problems. But Medicare spending grew more rapidly, because of an increase in “the volume and intensity” of doctors’ services and a one-time increase in Medicare payments to skilled nursing homes, said the report, published in the journal Health Affairs.


National health spending grew at roughly the same pace as the overall economy, without adjusting for inflation, so its share of the economy stayed the same, at 17.9 percent in 2011, where it has been since 2009. By contrast, health spending accounted for just 13.8 percent of the economy in 2000.


Health spending grew more than 5 percent each year from 1961 to 2007. It rose at double-digit rates in some years, including every year from 1966 to 1984 and from 1988 to 1990.


The report did not forecast the effects of the new health care law on future spending. Some provisions of the law, including subsidized insurance for millions of Americans, could increase spending, officials said. But the law also trims Medicare payments to many health care providers and authorizes experiments to slow the growth of health spending.


“The jury is still out whether all the innovations we’re testing will have much impact,” said Richard S. Foster, who supervised the preparation of the report as chief actuary of the Medicare agency. “I am optimistic. There’s a lot of potential. More and more health care providers understand that the future cannot be like the past, in which health spending almost always grew faster than the gross domestic product.”


Evidence of the new emphasis can be seen in a series of articles published in The Archives of Internal Medicine, now known as JAMA Internal Medicine, under the title “Less Is More.” The series highlights cases in which “the overuse of medical care may result in harm and in which less care is likely to result in better health.”


Total spending for doctors’ services rose 3.6 percent in 2011, to $436 billion, while spending for hospital care increased 4.3 percent, to $850.6 billion.


Spending on prescription drugs at retail stores reached $263 billion in 2011, up 2.9 percent from 2010, when growth was just four-tenths of 1 percent. The latest increase was still well below the average increase of 7.8 percent a year from 2000 to 2010.


Federal officials said the increase in 2011 resulted partly from rapid growth in prices for brand-name drugs.


Prices for specialty drugs, typically prescribed by medical specialists for chronic conditions, have increased at double-digit rates in recent years, the government said. In addition, spending on new brand-name drugs — those brought to market in the previous two years — more than doubled from 2010 to 2011, driven by an increase in the number of new medicines.


“In 2011,” the report said, “spending for private health insurance premiums increased 3.8 percent, as did spending for benefits. Out-of-pocket spending by consumers increased 2.8 percent in 2011, accelerating from 2.1 percent in 2010 but still slower than the average annual growth rate of 4.7 percent” from 2002 to 2008.


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Sears CEO D'Ambrosio to step down









Sears Holdings Corp. said Monday night that Chief Executive Officer Louis D'Ambrosio will step down Feb. 2, due to family health matters, and Chairman Edward Lampert will add the role of CEO.


The surprise move fuels uncertainty at the Hoffman Estates-based company, which has struggled for years to re-establish itself as a department store in an ultracompetitive retailing industry dominated by low-price giant Wal-Mart and big box and specialty stores.


The decision by Lampert, a hedge fund operator who is the company's biggest shareholder, to take over day-to-day control represents a reversal from his naming of D'Ambrosio as chief executive nearly two years ago after operating with an interim CEO.





"In light of Lou's decision to step down, the board feels it is important that there is continuity of leadership during this important period of transformation and improvement at Sears Holdings," Lampert said in a statement. "I have agreed to assume these additional responsibilities in order to continue the company's recovery and sustain the momentum we are experiencing, as well as further the development of the management team under the distributed leadership model, which provides our business unit leaders with greater control, authority and autonomy."


Sears Holdings, which operates Sears and Kmart, also updated its fourth-quarter earnings outlook Monday night. The company said it expects to report a net loss $280 million to $360 million, or $2.64 to $3.40 per diluted share, for the quarter ending Feb. 2. The loss includes a charge of about $450 million because of pension settlements and an additional $42 million in pension expenses.


Excluding pension expenses, Sears said it expects to earn $132 million to $212 million, or $1.25 to $2 per share.


Analysts polled by Bloomberg had been expecting adjusted net income of about $137 million.


For the fiscal year, Sears said it expects to lose $721 million to $801 million, or $6.80 to $7.56 per diluted share, which includes pension-related costs and other adjustments reported late last year. Excluding those items, the company said it expects to lose $123 million to $203 million, or $1.16 to $1.92 per share.


D'Ambrosio became CEO after working for the company as a consultant. The 16-year veteran of IBM Corp. had been CEO of a telecommunications company before joining Sears.


"I have worked very closely with Eddie over the past two years. I can say this: there is simply no one in the world that cares more about Sears Holdings and has thought more deeply about our company than Eddie," D'Ambrosio wrote to employees.


Lampert gained control of Sears in 2005 after engineering the merger between Kmart and Sears Roebuck & Co. For years, speculation about Lampert's intentions for the company focused on the value of its real estate, but under D'Ambrosio, Sears appeared to pay more attention to retail aspirations.


The company reported improved performance — it beat Wall Street expectations — in the previous quarter, but Sears stock has lost more than 35 percent of its value since November, closing Monday at $42.92, up 1.7 percent.


 Crshropshire@tribune.com

Twitter: @corilyns 





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