"Cliff" concerns give way to earnings focus

NEW YORK (Reuters) - Investors' "fiscal cliff" worries are likely to give way to more fundamental concerns, like earnings, as fourth-quarter reports get under way next week.


Financial results, which begin after the market closes on Tuesday with aluminum company Alcoa , are expected to be only slightly better than the third-quarter's lackluster results. As a warning sign, analyst current estimates are down sharply from what they were in October.


That could set stocks up for more volatility following a week of sharp gains that put the Standard & Poor's 500 index <.spx> on Friday at the highest close since December 31, 2007. The index also registered its biggest weekly percentage gain in more than a year.


Based on a Reuters analysis, Europe ranks among the chief concerns cited by companies that warned on fourth-quarter results. Uncertainty about the region and its weak economic outlook were cited by more than half of the 25 largest S&P 500 companies that issued warnings.


In the most recent earnings conference calls, macroeconomic worries were cited by 10 companies while the U.S. "fiscal cliff" was cited by at least nine as reasons for their earnings warnings.


"The number of things that could go wrong isn't so high, but the magnitude of how wrong they could go is what's worrisome," said Kurt Winters, senior portfolio manager for Whitebox Mutual Funds in Minneapolis.


Negative-to-positive guidance by S&P 500 companies for the fourth quarter was 3.6 to 1, the second worst since the third quarter of 2001, according to Thomson Reuters data.


U.S. lawmakers narrowly averted the "fiscal cliff" by coming to a last-minute agreement on a bill to avoid steep tax hikes this weeks -- driving the rally in stocks -- but the battle over further spending cuts is expected to resume in two months.


Investors also have seen a revival of worries about Europe's sovereign debt problems, with Moody's in November downgrading France's credit rating and debt crises looming for Spain and other countries.


"You have a recession in Europe as a base case. Europe is still the biggest trading partner with a lot of U.S. companies, and it's still a big chunk of global capital spending," said Adam Parker, chief U.S. equity strategist at Morgan Stanley in New York.


Among companies citing worries about Europe was eBay , whose chief financial officer, Bob Swan, spoke of "macro pressures from Europe" in the company's October earnings conference call.


REVENUE WORRIES


One of the biggest worries voiced about earnings has been whether companies will be able to continue to boost profit growth despite relatively weak revenue growth.


S&P 500 revenue fell 0.8 percent in the third quarter for the first decline since the third quarter of 2009, Thomson Reuters data showed. Earnings growth for the quarter was a paltry 0.1 percent after briefly dipping into negative territory.


On top of that, just 40 percent of S&P 500 companies beat revenue expectations in the third quarter, while 64.2 percent beat earnings estimates, the Thomson Reuters data showed.


For the fourth quarter, estimates are slightly better but are well off estimates for the quarter from just a few months earlier. S&P 500 earnings are expected to have risen 2.8 percent while revenue is expected to have gone up 1.9 percent.


Back in October, earnings growth for the fourth quarter was forecast up 9.9 percent.


In spite of the cautious outlooks, some analysts still see a good chance for earnings beats this reporting period.


"The thinking is you need top line growth for earnings to continue to expand, and we've seen the market defy that," said Mike Jackson, founder of Denver-based investment firm T3 Equity Labs.


Based on his analysis, energy, industrials and consumer discretionary are the S&P sectors most likely to beat earnings expectations in the upcoming season, while consumer staples, materials and utilities are the least likely to beat, Jackson said.


Sounding a positive note on Friday, drugmaker Eli Lilly and Co said it expects profit in 2013 to increase by more than Wall Street had been forecasting, primarily due to cost controls and improved productivity.


(Reporting By Caroline Valetkevitch; Editing by Kenneth Barry)



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Manziel leads A&M to Cotton Bowl rout of Sooners


ARLINGTON, Texas (AP) — At one point early in the Cotton Bowl, with "Johnny B. Goode" blaring through the stadium speakers, Heisman Trophy winner Johnny Manziel peeked up at the accompanying highlights on the huge video board hanging over the field.


Texas A&M's exciting dual-threat quarterback known as Johnny Football sure puts on a show worth watching.


"Best player I've ever played. He does so many good things. He's got magic," Oklahoma defensive coordinator Mike Stoops said. "He'll have a chance to win four (Heismans) if he stays healthy."


Manziel tiptoed down the sideline for a 23-yard TD on the game's opening drive and went on to an FBS bowl record for quarterbacks with 229 yards rushing on 17 carries. He also set a Cotton Bowl record with 516 total yards as the 10th-ranked Aggies beat No. 12 Oklahoma 41-13 on Friday night to wrap up their first SEC season.


With first-year coach Kevin Sumlin and their young star quarterback after leaving the Big 12 for the SEC, the Aggies (11-2) overwhelming won the only bowl game matching teams from those two power conferences. They won 11 games for the first time since 1998, their only Big 12 title season.


The Aggies never trailed while winning their last six games and became the first SEC team with more than 7,000 total yards — 7,261 after gaining 633 in the Cotton Bowl.


"It's huge for this program, and for me especially, with the kind of woes A&M has had over the past decade or however long it's been since they had 11 wins," Manziel said. "For us to get up tonight and watch them battle back, it's good when we strike first. That's what we like to do. It was good to do that and not really look back."


Texas A&M led by only a point at halftime, but scored on its first three drives of the second half — on drives of 91 and 89 yards before Manziel threw a short pass to Ryan Swope on fourth-and-5 that turned into a 33-yard TD and a 34-13 lead.


Oklahoma (10-3), which like the Aggies entered the game with a five-game winning streak, went three-and-out on its first three drives after halftime in what was quarterback Landry Jones' 50th and final career start.


"Feel just disappointed that he's going out this way, getting beat like that," Sooners center Gabe Ikard said.


Jones completed 35 of 48 passes for 278 yards with a touchdown and an interception. He won 39 games and three bowls for the Sooners, in a career that started on the same field in the 2009 season opener when he replaced injured Heisman winner Sam Bradford in the first college game at Cowboys Stadium.


But Jones missed out becoming only the third NCAA quarterback to go 4-0 as a starter in bowl games.


"It was obvious tonight that we didn't play the way we should have played," said Jones, whose frustration was evident when he yelled at a teammate after a failed fourth-down play. "We couldn't run it. We couldn't throw it. It happens, you know."


SEC teams have won the last five Cotton Bowls, all against Big 12 teams, and nine out of 10. That included Texas A&M's loss to LSU only two years ago.


It had been six weeks since the Aggies played their last game, and four weeks since Manziel became the first freshman to win college football's highest individual award.


Manziel got it started with an electrifying 24-yard run on third down on the opening drive. Then on a third-and-10, Manziel rolled to his left and took off, juked around a defender and got near the sideline. He tiptoed to stay in bounds and punctuated his 23-yard score with a high-step over the pylon for a quick lead.


Officials reviewed the play to make sure he did stay in bounds, and the replays showed clearly that he did.


"There is too much talk about how you perform after the Heisman and about the layoff and all of that," said Manziel, who set an SEC record with 4,600 total yards in the regular season. "There wasn't anything holding us back. No rust, there was no nothing. We played as a unit."


The chants of "S-E-C! S-E-C!" began after Swope's TD catch with 4 minutes left in the third quarter. They got louder and longer after that, and Manziel spread both his arms out and ran off the field like he was flying.


Oklahoma was in the Cotton Bowl for only the second time. It was the first bowl matchup between the former Big 12 rivals, but the 17th consecutive season they have played each other.


The Sooners had won 11 of 13 in the series since Bob Stoops became their coach. That included a 77-0 Oklahoma win in 2003 that was the most-lopsided loss in Texas A&M history.


Sumlin was the A&M offensive coordinator in 2002 when the Aggies upset the top-ranked Sooners. The next year, Sumlin was hired by Stoops as an assistant, and he stayed there five seasons before going to Houston as head coach and now the Aggies.


"I think tonight was really indicative of this season," Sumlin said. "It's one of the teams I thought in the country that truly got better every week."


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Secret to Fish’s Waterfall-Climbing Ability Found






A waterfall-climbing fish in Hawaii uses the same muscles to both rise and feed, researchers have discovered.


Scientists looked at the Nopoli rock-climbing goby (Sicyopterus stimpsoni), also known in Hawaiian as o’opu nopili. This plant-eating fish is found throughout Hawaii, and was once greatly relished as food, apparently being a favorite snack among priests.






Many gobies can inch their way up waterfalls with the aid of a sucker on their bellies formed from fused pelvic fins. The Nopoli rock-climbing goby, on the other hand, can climb waterfalls as tall as 330 feet (100 meters) with the aid of a second mouth sucker, which develops after their mouthparts move from a forward-facing position to under the body during a two-day-long metamorphosis into adulthood.


“For a human to go the equivalent distance based on body size, it’d be like doing a marathon, some 26 miles (42 kilometers) long, except climbing up a vertical cliff-face against rushing water,” researcher Richard Blob, an evolutionary biomechanist at Clemson University in South Carolina, told LiveScience. Indeed, an old Hawaiian saying is that as the Nopili clings, so will luck.


The goby, which can grow up to 7 inches (18 centimeters) long as an adult, feeds by cyclically sticking the tip of its upper jaw against rock to scrape food off surfaces. This behavior is quite distinct from other Hawaiian gobies, which feed by sucking in food from the water. Given the apparent similarity of the climbing and feeding behaviors of the S. stimpsoni species, researchers thought one might have developed from the other. [See Video of Waterfall-Climbing Fish]


“The fish gave us an opportunity to see how unusual behaviors evolved,” Blob said.


To see if these behaviors really were as similar as they looked, the scientists captured Nopoli rock-climbing gobies from a stream on the island of Hawaii by net while snorkeling and kept them in aquaria. They next filmed the gobies’ jaw-muscle movements as the fish climbed and ate, either scraping food off glass microscope slides or climbing up angled plastic boards. They found that overall movements were indeed similar during both activities.


It remains uncertain whether feeding movements were adapted for climbing, or vice versa.


“To understand the sequence of steps in the evolution of this extreme behavior, we want to look at closely related species that do one of the behaviors, but not the other,” Blob said. “This fish has relatives in many oceanic islands, such as the Caribbean.”


The scientists detailed their findings online Jan. 4 in the journal PLOS ONE. They will also present their findings Jan. 6 at the Society for Integrative and Comparative Biology annual meeting in San Francisco.


Follow LiveScience on Twitter @livescience. We’re also on Facebook & Google+.


Copyright 2013 LiveScience, a TechMediaNetwork company. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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Storm over Depardieu's 'pathetic' move






STORY HIGHLIGHTS


  • Russian President Vladimir Putin has bestowed Russian citizenship on actor Gérard Depardieu

  • For Depardieu, a public war of words erupted, with many in France disgusted by his move

  • Depardieu more than anyone, represents the Gallic spirit, says Agnes Poirier

  • Majority of French people disapprove of his action but can't help loving him, she adds




Agnes Poirier is a French journalist and political analyst who contributes regularly to newspapers, magazines and TV in the UK, U.S., France, Italy. Follow her on Twitter.


Paris (CNN) -- Since the revelation on the front page of daily newspaper Libération, on December 11, with a particularly vicious editorial talking about France's national treasure as a "former genius actor," Gérard Depardieu's departure to Belgium, where he bought a property just a mile from the French border, has deeply divided and saddened France. Even more so since, as we have learnt this week, Russian President Vladimir Putin has bestowed the actor Russian citizenship.


Back in mid-December, the French media operated along political lines: the left-wing press such as Libération couldn't find strong enough words to describe Depardieu's "desertion" while right-wing publications such as Le Figaro, slightly uneasy at the news, preferred to focus on President François Hollande's punishing taxes which allegedly drove throngs of millionaires to seek tax asylum in more fiscally lenient countries such as Belgium or Britain. Le Figaro stopped short of passing moral judgement though. Others like satirical weekly Charlie hebdo, preferred irony. Its cover featured a cartoon of the rather rotund-looking Depardieu in front of a Belgian flag with the headline: "Can Belgium take the world's entire load of cholesterol?" Ouch.


Quickly though, it became quite clear that Depardieu was not treated in the same way as other famous French tax exiles. French actor Alain Delon is a Swiss resident as is crooner-rocker Johnny Halliday, and many other French stars and sportsmen ensure they reside for under six months in France in order to escape being taxed here on their income and capital. Their move has hardly ever been commented on. And they certainly never had to suffer the same infamy.



Agnes Poirier

Agnes Poirier



For Depardieu, a public war of words erupted. It started with the French Prime Minister Jean-Marc Ayrault, and many members of his government, showing their disdain, and talking of Depardieu's "pathetic move." In response the outraged actor penned an open letter to the French PM in which he threatened to give back his French passport.


The backlash was not over. Fellow thespian Phillipe Torreton fired the first salvo against Depardieu in an open letter published in Libération, insulting both Depardieu's protruding physique and lack of patriotism: "So you're leaving the ship France in the middle of a storm? What did you expect, Gérard? You thought we would approve? You expected a medal, an academy award from the economy ministry? (...)We'll get by without you." French actress Catherine Deneuve felt she had to step in to defend Depardieu. In another open letter published by Libération, she evoked the darkest hours of the French revolution. Before flying to Rome to celebrate the New Year, Depardieu gave an interview to Le Monde in which he seemed to be joking about having asked Putin for Russian citizenship. Except, it wasn't a joke.


In truth, French people have felt touched to their core by Depardieu's gesture. He, more than anyone, represents the Gallic spirit. He has been Cyrano, he has been Danton; he, better than most, on screen and off, stands for what it means to be French: passionate, sensitive, theatrical, and grandiose. Ambiguous too, and weak in front of temptations and pleasures.



In truth, French people have felt touched to their core by Depardieu's gesture. He, more than anyone, represents the Gallic spirit
Hugh Miles



For more than two weeks now, #Depardieu has been trending on French Twitter. Surveys have showed France's dilemma: half the French people understand him but there are as many who think that paying one's taxes is a national duty. In other words, a majority of French people disapprove of his action but can't help loving the man.


Putin's move in granting the actor Russian citizenship has exacerbated things. And first of all, it is a blow to Hollande who, it was revealed, had a phone conversation with Depardieu on New Year's Day. The Elysées Palace refused to communicate on the men's exchange. A friend of the actor declared that Depardieu complained about being so reviled by the press and that he was leaving, no matter what.


If, in their hearts, the French don't quite believe Depardieu might one day settle in Moscow and abandon them, they feel deeply saddened by the whole saga. However, with France's former sex symbol Brigitte Bardot declaring that she too might ask Putin for Russian citizenship to protest against the fate of zoo elephants in Lyon, it looks as if the French may prefer to laugh the whole thing off. Proof of this: the last trend on French Twitter is #IWantRussianCitizenship.


The opinions expressed in this commentary are solely those of Agnes Poirier.






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Escaped convict was using cane and beret as disguise

Chicago Tribune reporter Jason Meisner on the recent arrest of Kenneth Conley, a convicted bank robber who escaped from federal jail in December. (Posted on: Jan. 4, 2013.)









Kenneth Conley was last seen by authorities making a daring escape down the side of a high-rise federal jail under the cover of night.


Friday afternoon, he was found hobbling down a Palos Hills street with a cane, one part of a flimsy disguise that included a bulky overcoat and a beret pulled low over his face.


An 18-day manhunt for the escaped bank robber ended after a maintenance employee working at a residential building in the southwest suburb called 911 about a suspicious man.








Conley, as it turns out, had not gone very far from places he used to live and homes where friends and family still reside.


But law enforcement sources said Friday that he apparently had no help — the former strip club employee was sleeping in the building's basement.


Conley was scheduled to appear in federal court at 10:30 a.m. Saturday.


The spectacular jailbreak — the first at the Metropolitan Correctional Center in almost 30 years — embarrassed federal authorities and seemed to be meticulously planned. Conley and Joseph "Jose" Banks rappelled to freedom using a rope fashioned from bedsheets. But like Banks, who was arrested two days after the escape in the North Side neighborhood where he was raised, Conley had no apparent plan for life on the run and was found holed up in an area where he had known ties.


Palos Hills police said a maintenance worker at a building in the 10200 block of South 86th Terrace called police about 3:30 p.m. to report the "suspicious person" who might be sleeping at the premises. Officers arrived to find a man walking down the street in an overcoat and pretending to use a cane. He appeared to be trying to look older than his actual age, police said.


"Our officers stopped to talk to him and he said he was just visiting," Deputy Chief James Boie told the Tribune. "He gave them a phony name, and while they're trying to run the information, he got wise that they were going to figure it out, and he pushed one of the officers down and took off running."


Boie said two additional officers responding to the scene caught Conley about a block away as he was trying to force his way into the Scenic Tree apartment complex, which is across the street from the police headquarters. He was wrestled down but did not offer any other resistance. Conley and one officer were taken to Palos Community Hospital for observation, he said.


Police found a BB pistol in Conley's pocket. He had no cash or other weapons, Boie said.


Residents in the sprawling, low-rise apartment complex where Conley was apprehended said they had seen a lot of police activity in the area earlier in the day, including K-9 units.


Chris Stevens, who has lived in the complex for a decade, said FBI agents knocked on her door at about 7 a.m., showed her a photo of Conley and asked if she had seen him. The agents told her he had been spotted in the area.


By the afternoon, Stagg High School junior David Griffith, 16, said he was with a friend taking out the garbage at the complex when he heard shouting and saw an officer run past him into a grassy area behind his building.


"We ran back in my house, opened the patio door, looked in the back and just saw a whole bunch of police officers just tackle (Conley)," Griffith said. "It was crazy. Nothing ever happens over here."


According to court records, Conley once lived in an apartment near the scene of his arrest. Boie said Conley was known to Palos Hills police because he'd had multiple resisting and obstructing arrests in 2004. Even still, they were surprised when they realized whom they had just arrested.


"I'm sure they were a little surprised that they had the guy standing in front of them,'' Boie said.


A law enforcement source told the Tribune that U.S. marshals and FBI agents met this week to discuss the hunt for Conley and went to Palos Hills on Friday morning to canvass specific addresses where he had ties. Some of the doors they knocked on were in the same block where Conley was found later in the day, the source said.


Conley, 38, was awaiting sentencing for a single bank holdup when authorities said he and Banks removed a cinder block from their cell wall and scaled down about 15 stories of the sheer wall of the jail early on Dec. 18. The cellmates were last accounted for during a routine bed check, authorities said. About 7 a.m. the next day, jail employees arriving for work saw the bedsheets dangling from a hole in the wall down the south side of the facade.


The FBI said a surveillance camera a few blocks from the jail showed the two wearing light-colored clothing hailing a taxi at Congress Parkway and Michigan Avenue about 2:40 a.m. They also appeared to be wearing backpacks, according to the FBI.





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Chavez swearing-in can be delayed: Venezuelan VP


CARACAS (Reuters) - President Hugo Chavez's formal swearing-in for a new six-year term scheduled for January 10 can be postponed if he is unable to attend due to his battle to recover from cancer surgery, Venezuela's vice president said on Friday.


Nicolas Maduro's comments were the clearest indication yet that the Venezuelan government is preparing to delay the swearing-in while avoiding naming a replacement for Chavez or calling a new election in the South American OPEC nation.


In power since 1999, the 58-year-old socialist leader has not been seen in public for more than three weeks. Allies say he is in delicate condition after a fourth operation in two years for an undisclosed form of cancer in his pelvic area.


The political opposition argues that Chavez's presence on January 10 in Cuba - where there are rumors he may be dying - is tantamount to the president's stepping down.


But Maduro, waving a copy of the constitution during an interview with state TV, said there was no problem if Chavez was sworn in at a later date by the nation's top court.


"The interpretation being given is that the 2013-2019 constitutional period starts on January 10. In the case of President Chavez, he is a re-elected president and continues in his functions," he said.


"The formality of his swearing-in can be resolved in the Supreme Court at the time the court deems appropriate in coordination with the head of state."


In the increasing "Kremlinology"-style analysis of Venezuela's extraordinary political situation, that could be interpreted in different ways: that Maduro and other allies trust Chavez will recover eventually, or that they are buying time to cement succession plans before going into an election.


Despite his serious medical condition, there was no reason to declare Chavez's "complete absence" from office, Maduro said. Such a declaration would trigger a new vote within 30 days, according to Venezuela's charter.


RECOVERY POSSIBLE?


Chavez was conscious and fighting to recover, said Maduro, who traveled to Havana to see his boss this week.


"We will have the Commander well again," he said.


Maduro, 50, whom Chavez named as his preferred successor should he be forced to leave office, said Venezuela's opposition had no right to go against the will of the people as expressed in the October 7 vote to re-elect the president.


"The president right now is president ... Don't mess with the people. Respect democracy."


Despite insisting Chavez remains president and there is hope for recovery, the government has acknowledged the gravity of his condition, saying he is having trouble breathing due to a "severe" respiratory infection.


Social networks are abuzz with rumors he is on life support or facing uncontrollable metastasis of his cancer.


Chavez's abrupt exit from the political scene would be a huge shock for Venezuela. His oil-financed socialism has made him a hero to the poor, while critics call him a dictator seeking to impose Cuban-style communism on Venezuelans.


Should Chavez leave office, a new election is likely to pitch former bus driver and union activist Maduro against opposition leader Henrique Capriles, the 40-year-old governor of Miranda state.


Capriles lost to Chavez in the October presidential election, but won an impressive 44 percent of the vote. Though past polls have shown him to be more popular than all of Chavez's allies, the equation is now different given Maduro has received the president's personal blessing - a factor likely to fire up Chavez's fanatical supporters.


His condition is being watched closely by Latin American allies that have benefited from his help, as well as investors attracted by Venezuela's lucrative and widely traded debt.


"The odds are growing that the country will soon undergo a possibly tumultuous transition," the U.S.-based think tank Stratfor said this week.


(Additional reporting by Marianna Parraga; editing by Christopher Wilson)



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Wall Street opens a tad higher after jobs data


NEW YORK (Reuters) - Stocks opened slightly higher after a key U.S. jobs report showed the pace of hiring by employers had eased slightly in December but gave signals of some momentum in the labor market's recovery since the 2007-09 recession.


Though the data showed lackluster economic growth was unable to make a dent in the still-high U.S. unemployment rate, it calmed fears about the possibility of the U.S. Federal Reserve ending its highly stimulative monetary policy.


The Dow Jones industrial average <.dji> was up 17.12 points, or 0.13 percent, at 13,408.48. The Standard & Poor's 500 Index <.spx> was up 1.49 points, or 0.10 percent, at 1,460.86. The Nasdaq Composite Index <.ixic> was up 0.75 points, or 0.02 percent, at 3,101.32.


(Editing by Bernadette Baum)



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Oregon runs past K-State 35-17 at Fiesta Bowl


GLENDALE, Ariz. (AP) — As Oregon coach Chip Kelly was about to receive the massive Fiesta Bowl trophy, Ducks fans inside University of Phoenix Stadium started a chant of "We want Chip!"


Whether he returns or not is up in the air.


If Kelly does head to the NFL, this was a great send off.


Sparked by De'Anthony Thomas' 94-yard touchdown return on the opening kickoff, No. 5 Oregon turned the Fiesta Bowl into a track meet from the start and bolted past No. 7 Kansas State 35-17 Thursday night in what could be Kelly's final game with the Ducks.


"This wasn't going to be a distraction," Kelly said of reports that he was headed to the NFL. "It wasn't a distraction for me — I think it's an honor. But I think it's an honor because of the players we have in this program that people want to talk to me."


Teams that had their national title aspirations end on the same day, Oregon and Kansas State ended up in the desert for a marquee matchup billed as a battle of styles: The fast-flying Ducks vs. the methodical Wildcats.


With Kelly reportedly talking to several NFL teams, Oregon (12-1) was too much for Kansas State and its Heisman Trophy finalist, Collin Klein, who were playing catch-up from the start.


Thomas followed his before-everyone-sat-down kickoff return with a 23-yard touchdown catch, finishing with 195 total yards.


Kenjon Barner ran for 143 yards on 31 carries and scored on a 24-yard touchdown pass from Marcus Mariota in the second quarter. Mariota later scored on a 2-yard run in the third quarter, capped by an obscure 1-point safety that went in the Ducks' favor.


Even Oregon's defense got into the act, intercepting Klein twice and holding him to 30 yards on 13 carries.


"We got beat by a better team tonight, combined by the fact that we let down from time to time," coach Bill Snyder said after Kansas State's fifth straight bowl loss.


Last year's Fiesta Bowl was an offensive fiesta, with Oklahoma State outlasting Stanford 41-38 in overtime.


The 2013 version was an upgrade: Nos. 4 and 5 in the BCS, two of the nation's best offenses, dynamic players and superbly successful coaches on both sides.


Oregon has become the standard for go-go-go football under Kelly, its fleet of Ducks making those shiny helmets — green like Christmas tree bulbs for the Fiesta Bowl — and flashy uniforms blur across the grassy landscape.


Thomas offered the first flash of speed, picking up a couple of blocks and racing toward a not-so-photo finish at the line.


Thomas hit the Wildcats (11-2) again late in the first quarter, breaking a couple of tackles and dragging three defenders into the end zone for a catch-and-run TD that put the Ducks up 15-0.


It's nothing new for Oregon's sophomore sensation: He had 314 total yards and two long touchdown runs in the 2012 Rose Bowl. The Ducks are used to it, too, averaging more than 50 points per game.


And they kept flying.


Oregon followed a missed 40-yard field goal by Kansas State's Anthony Cantele by unleashing one of its blink-and-you'll-miss-it scoring drives late in the second quarter. Moving 77 yards in 46 seconds, the Ducks went up 22-10 at halftime after Mariota hit Barner on 24-yard TD pass.


Alejandro Maldonado hit a 33-yard field goal on Oregon's opening drive of the third quarter and Mariota capped a long drive with an easy 2-yard TD run to the left. Kansas State's Javonta Boyd blocked the point-after attempt, but even that went wrong for the Wildcats. Chris Harper was tackled in the end zone for a bizarre 1-point safety that put Oregon up 32-10.


It was the first 1-point safety in major college football since 2004 when Texas did it against Texas A&M, STATS said.


"There were so many things that could have changed the outcome of this game," Kansas State linebacker Arthur Brown said.


Kansas State needed a little time to get its wheels spinning on offense, laboring early before Klein scored on a 6-yard run early in the second quarter.


Klein kept the Wildcats moving in the quarter, though not toward touchdowns: Cantele hit a 25-yard field goal and missed from 40 after a false-start penalty.


Klein hit John Hubert on a 10-yard touchdown pass early in the fourth quarter, but all that did was cut Oregon's lead to 32-17.


He threw for 151 yards on 17 of 32 passing.


"It wasn't really complicated," Kelly said of slowing Klein. "He's a great player, one of the greats of college football. I had my heart in my throat a couple of times watching him around, but our guys just made plays when they had to make plays."


By doing so, they may have put a nice exclamation point on Kelly's college career.


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Firm bringing HQ to Chicago









St. Louis-based construction firm Clayco Inc. is moving its headquarters to Chicago, attracted by ease of air travel, proximity to clients, access to young professionals and the potential to land city business as Mayor Rahm Emanuel pushes ahead with public-private partnerships for infrastructure improvements, its top executive said Thursday.

Clayco Chairman and CEO Robert Clark and Emanuel are expected to formally announce the move Friday.

Two-hundred and eighty of the company's 1,000 employees already work in the Chicago area, including 88 who work full time at the Jewelers Building, 35 E. Wacker Drive, which becomes company headquarters.

The company expects to double its Chicago workforce during the next couple of years, in part by increasing its architectural business and expanding its infrastructure business.

Clark said the company is seeking to acquire a municipal engineering company as part of an effort to develop its infrastructure business during the next few years. Now focused on industrial, office and institutional projects, the company would like to add a fourth specialty area that would go after water, sewer, road, bridge and airport work, Clark said.

"In the long run, public-private partnerships are something I'm very intrigued about and interested in pursuing," he said. "I don't think we'll do it overnight. … It may be three years from now, until we have significant traction in the (infrastructure) market."

"We're interested in national projects, not just local," he said. "But hopefully we'll have work in our own backyard."

Clayco donated $50,000 to Emanuel's mayoral campaign in late 2010, and Clark donated an additional $10,000 in September to The Chicago Committee, the mayor's campaign fund, according to the Illinois State Board of Elections. Clark said his contributions to a variety of politicians stem from personal convictions and have no relation to his business endeavors.

Tom Alexander, a spokesman for Emanuel, said: "Clayco is choosing Chicago because Chicago offers them unique access to world-class talent and a location from which they can easily and effectively do business around the world, period. Any type of private-public building project would undergo the city's very strict, competitive procurement process."

Last spring, Emanuel won City Council approval for the formation of the Chicago Infrastructure Trust, which will endeavor to secure private financing for public infrastructure projects.

Clayco's shift into downtown Chicago began in October 2010, when it opened offices in the Jewelers Building. Employees who had been based in Oakbrook Terrace have moved there, as have a handful of executives from St. Louis. Clark relocated to Chicago in September 2010.

The company did not seek or receive any financial incentives for its move, the city said. Clayco will keep its St. Louis office intact, and no layoffs are planned as part of the relocation.

Clark and Emanuel first met when Emanuel worked in the Clinton White House. Clark, who was active with the Young Presidents' Organization, worked with Emanuel on some events at the White House. Their paths have crossed a number of times since then, including during President Barack Obama's campaign in 2008.

A meeting with Emanuel played a role in the decision to relocate company headquarters, Clark said. It occupies the 13th and 27th floors of the Jewelers Building, or 30,000 square feet.

"He asked me to target our national clients and bring them here," Clark recalls. "Quite frankly, I was blown away by that. Most mayors are not that aggressive; they leave that up to their economic development folks."

Clayco has done work for a number of large institutions and corporations, including Dow Chemical, Amazon.com, Caterpillar, and locally, Kraft Foods, Anixter, the University of Illinois, the University of Chicago and Blue Cross Blue Shield.

Started 28 years ago by Clark, the privately held company has annual revenue of $820 million. Subsidiaries include architecture and design firm Forum Studios and Concrete Strategies Inc.

kbergen@tribune.com

Twitter @kathy_bergen



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Damacus blames "terrorists" for petrol station blast


BEIRUT (Reuters) - Syria on Friday said a car bomb at a crowded petrol station in Damascus on Thursday night was set off by "terrorists", a term it uses for rebels seeking to topple President Bashar al-Assad.


The bomb killed 11 people and wounded 40 at a station packed with Syrians queuing for fuel, which has become scarce in the 21-month insurgency against Assad, in the second petrol station attack in the capital this week, opposition activists said.


"Terrorists ... blew up an explosive device at Qassioun Petrol Station near Hamish Hospital in Barzeh, Damascus, martyring several civilians," state news agency SANA said.


The United Nations says more than 60,000 people have been killed in the civil war, the longest, bloodiest conflict born from uprisings across the Arab world in the past two years.


Dozens of people were incinerated in an air strike as they waited for fuel at another Damascus petrol station on Wednesday, according to opposition sources.


The semi-official al-Ikhbariya television station aired its own footage from Barzeh, indicating the attack struck a government-held area. Barzeh's residents include members of the Sunni Muslim majority and religious and ethnic minorities.


The rebels hold a crescent of suburbs on the southern and eastern edges of Damascus, which have come under bombardment by government forces. Rebel forces also seized territory in Syria's north and east during advances in the second half of 2012.


The war pits rebels, mainly from the Sunni Muslim majority, against a government supported by members of Assad's Shi'ite-derived Alawite sect and some members of other minorities who fear revenge if he falls. Assad's family has ruled for 42 years since his father seized power in a coup.


Fighting has forced 560,000 Syrians to flee to neighboring countries, according to the U.N.


Lebanon, a country which has so far tried to distance itself from the conflict next door for fear it will inflame sectarian tensions, approved a plan to start registering 170,000 Syrian refugees and ask international donors for $180 million in aid.


"The Lebanese state will register the refugees...and guarantee aid and protection for the actual refugees in Lebanon," Social Affairs Minister Wael Abu Faour said after a six-hour cabinet session on Thursday night.


Most Sunni-ruled Arab states, as well as the West and Turkey have called for Assad to step down. He is supported by Russia and Shi'ite Iran.


ARMY WITHDRAWAL?


A Lebanese citizen who crossed into Syria through a mountainous frontier region said the army appeared to have withdrawn from several border posts and villages in the area.


Rebels controlled a line of border towns and villages north of the capital Damascus, stretching about 40 km (25 miles) from Yabroud south to Rankus, said the man, who did not want to be named and visited Syria on Wednesday and Thursday.


Rebels in the area reported that some of Assad's forces have pulled back to defend the main north-south highway linking Syria's main cities of Damascus, Homs, Hama and Aleppo, while others were sent to reinforce the northern approach to Damascus.


"The border is controlled by the Free Syrian Army rebels," he said on Friday, adding he had crossed through mountainous terrain, covered in parts by more than a meter of snow.


(Additional reporting by Dominic Evans in Beirut and Khaled Yacoub Oweis in Amman; Editing by Jason Webb)



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