Keen Limited http://www.keenlimited.com Thu, 17 May 2012 23:26:55 +0000 en hourly 1 http://wordpress.org/?v=3.3.2 Get started ‘On’ May 11: US trade deficit widens significantly, unemployment … http://www.keenlimited.com/archives/1425 http://www.keenlimited.com/archives/1425#comments Thu, 17 May 2012 23:26:55 +0000 Admin http://www.keenlimited.com/?p=1425

Posted at 06:30 AM ET, 05/11/2012



Get started ‘On’ May 11: U.S. trade deficit widens significantly, unemployment claims slide
By J.D. Harrison

Our daily blend of the latest news, trends and tips for the small business community.

What’s going ‘on’:

U.S. trade deficit widens: Despite a solid gain in exports, the country’s trade deficit grew in March at the fastest pace in nearly a year to $51.8 billion, according to a report released Thursday by the Commerce Department. Overall, imports rose 5.2 percent on increased demand for foreign oil, cars, cell phones and clothes.

House OKs alternative to automatic Pentagon cuts: On Thursday, the House voted 218-199 to approve a measure that would replace upcoming budget cuts at the Pentagon with a series of reductions in funding for food stamps, Medicaid and regulation of the financial sector; however, Democrats in the Senate are largely opposed to the bill.

Unemployment claims dip: Claims for jobless benefits declined last week to 367,000, their lowest level in a month, according to the latest data from the Labor Department. A decline in dismissals also suggests a brighter labor market that could help sustain consumer spending after payroll growth slowed last month.

Vienna exec wins national small business award: The Small Business Council of America has awarded its 2012 Small Business Person of the Year award to Tony Jimenez, president and chief executive of technology firm MicroTech in Vienna. The award recognizes those who promote a more favorable climate for U.S. small businesses.

Keep an eye ‘on’:

Bernanke sees business borrowing getting easier:On Thursday, Federal Reserve Chairman Ben Bernanke said that many businesses and consumers are starting to find it easier to borrow, noting that large firms are selling bonds at historically low rates and that people with strong credit have access to credit card and auto loans.

Helpful advice ‘on’:

How to approach business liability insurance (Mashable)

How to better motivate your employees (Fox Business)

How execute a successful business pivot (Fast Company)

How to tear down communication barriers (Open Forum)

How to keep your marketing messages out of your customers’ spam folders (Entrepreneur)

By J.D. Harrison
 | 
06:30 AM ET, 05/11/2012

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]]> http://www.keenlimited.com/archives/1425/feed 0 The TPP Trade Negotiations Need More Japan and Less Detroit http://www.keenlimited.com/archives/1423 http://www.keenlimited.com/archives/1423#comments Thu, 17 May 2012 07:32:42 +0000 Admin http://www.keenlimited.com/?p=1423 If you harbor any doubts that the parameters of US trade policy are defined by a few politically-important domestic industries, take a look at the debate over whether Japan should be allowed to join the Trans-Pacific Partnership trade negotiations.

Did you miss it? That’s because there really hasn’t been much debate; there has been near-unanimous support for the idea in theUnited States.

In December 2011, the Office of the US Trade Representative requested comments from the public about Japan’s expression of interest in joining the TPP talks. In response, 115 submissions were filed on behalf of various US interests (small to large companies, trade associations, unions, and other NGOs). Five of the responses flat out rejected the idea of Japan’s participation; five expressed a willingness to support Japan’s participation with conditions, and 105 expressed no-strings-attached support for Japan joining the talks. In other words, 91 percent of the respondents were unequivocally in favor of Japan’s participation in the negotiations.

Yet, four months after reviewing those comments, the Obama administration is equivocal about the matter.

With 91 percent in favor, the only formula that could produce executive equivocation is one that weights extremely heavily the views of those expressing opposition to Japan’s participation. Which of these five dissenters’ views are likely to be getting extra special consideration from the administration on this matter: Humane Society International, the National Marine Manufacturers Association, the Maine Citizen Trade Policy Commission, the Central Union of Agricultural Cooperatives, or the American Automotive Policy Council (hint: the lobbying arm of the “Detroit 3″ – Ford, GM, and Chrysler)?

Yes, the same GM that American taxpayers bailed out and are still involuntarily vested in to the tune of $27 billion has interest in seeing those same taxpayers denied the enormous benefits of liberalizing trade with the world’s third largest economy. And yes, this is the same Chrysler that masquerades as an American company (remember the Clint Eastwood Super Bowl ad), but is owned by the Italian automaker Fiat. Add that little detail to the fact that GM produces more cars in China than it does in the United States and one has to question how, exactly, the process of US trade policy formulation is reality-based.

There is nothing wrong with companies investing across borders and producing wherever they can to serve demand across the globe. Indeed, freedom of capital, trade, and labor should be the rule, not the exception that it is today. Likewise, it is to be expected that companies will respond to incentives and if policy is perceived as malleable, the incentive to influence favorable outcomes will motivate companies to lobby. And as entities beholden to the fiduciary duty to maximize profits for shareholders, these companies try to influence the rules to their own advantages. But who’s watching over the henhouse here? Policymakers have a responsibility to the public interest, not to specific industries or companies.

What is proper, democratic, or civic-minded about US policy formulated with the views of a few politically-favored companies – companies that are lobbying foreign governments on some of the very same issues – trumping the opinions of a diverse 91 percent of respondent interests? If the goal of trade policy is to deliver the benefits of trade liberalization to a broad cross-section of Americans, then why is there this egregious imbalance of influence on the process? What is the point of collecting comments from the public on such matters, if not just to create the illusions of policy accessibility and transparency? The whole exercise renders trade policy indistinguishable from corporate welfare and gives trade a bad name.

Consider the realpolitik of the matter. The Chinese government sees the TPP negotiations as a US-led effort to counter China’s growing influence, a perception the administration has not been shy about helping to cultivate. Presumably, the Chinese government would like to see those efforts fail, and one way to undermine the TPP is to ensure that Japan stays out. How might China accomplish that? GM and Ford have big and growing stakes in a Chinese auto marketthat has been subject to various regulations to control rapid demand growth and stifling traffic congestion. Might GM’s and Ford’s adamant opposition to Japan’s joining the TPP negotiations be animated by these considerations? The argument put forward by the American Automotive Policy Council thatJapan should be excluded from even negotiating because it has allegedly impermeable non-tariff barriers seems to miss the whole point that negotiations are where those barriers are discussed and, ultimately, dismantled. It’s like disqualifying someone for a haircut because he wears his hair too long. To my mind (and I neither offer nor have any proof), the adamancy of AAPC’s opposition whiffs of their trying to uphold their end of a bargain with Beijing.

Another explanation put forth for official USequivocation over Japan is that the administration wants to proceed quickly, but the Japanese government itself has not decided whether it even wants to join the negotiations. Even if Japan were entirely committed to the negotiations and had no domestic opposition to overcome, the process would be slower. But there is domestic opposition in Japan, so, in fairness, the Obama administration’s concern for Detroit’s feelingsdoesn’t present the only obstacle.

Getting the deal done quickly is a valid reason to oppose Japan’s participation if the administration sees the TPP only as a means to a political end: having a deal – a relatively minor one, no doubt – to tout before November. But this isn’t going to be done before November 2013, let alone November 2012. And the economics of a Japan-less deal are, frankly, underwhelming.

Japan is the world’s third largest economy and the fourth largest trading partner of the United States. The $6 trillion Japanese economy is more than double the size of the economies of the eight current US negotiating partners combined. The $200 billion in two-way trade between the United States and Japan equals that of trade between the United States and all of the eight current negotiating partners combined – and theUnited States already has free trade agreements with four of them. If there are good reasons for pursuing a trade agreement with the eight, the reasons are much stronger if Japan is included.

]]> http://www.keenlimited.com/archives/1423/feed 0 Liberty Media Reports First Quarter 2012 Financial Results http://www.keenlimited.com/archives/1421 http://www.keenlimited.com/archives/1421#comments Wed, 16 May 2012 23:10:28 +0000 Admin http://www.keenlimited.com/?p=1421

ENGLEWOOD, Colo., May 08, 2012 (BUSINESS WIRE) –
Liberty Media Corporation (“Liberty Media”)

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today
reported first quarter 2012 results. Highlights include(1):

–
Increased STARZ and ENCORE subscriptions by 7% and 2%, respectively

–
Concluded season two of Spartacus: Vengeance, the STARZ
Original series, on March 30, with strong, sustained viewership
throughout the season

–
Debuted Magic City, the STARZ Original series, with the first
three episodes available for sampling on multiple linear and digital
platforms

–
Extended Starz affiliation agreements with DIRECTV and Cox
Communications

–
Barnes & Noble announced a strategic investment by Microsoft in its
digital and college businesses

–
Entered into a forward purchase contract for 302 million shares of
SiriusXM, with a forward price of $2.15 per share for a total notional
amount of $650 million. If physically settled, will increase Liberty’s
ownership to 45.2% on an as-converted basis

–
Repurchased $120 million of Liberty Media stock from February 1
through April 30, 2012

“Starz again posted impressive subscriber gains and accelerated its
slate of STARZ Original content with the debut of its new series, Magic
City,” stated Greg Maffei, Liberty Media President and CEO. “We are
very pleased that Microsoft announced an investment in Barnes & Noble’s
digital and college businesses. This is validation of their strategy and
provides a strong partner to help grow the eBook business both
domestically and internationally on multiple platforms. We also entered
into a forward purchase contract covering 302 million shares of
SiriusXM, which is scheduled to close early in the third quarter. These
shares will increase Liberty’s ownership to 45.2% on an as-converted
basis.”

Liberty Media’s revenue decreased 55% to $440 million in the first
quarter, adjusted OIBDA decreased 77% to $110 million and operating
income decreased 81% to $89 million. The decrease in revenue, adjusted
OIBDA and operating income was a direct result of a significant
recognition of deferred revenue and costs in the previous year at our
subsidiary TruePosition, Inc.

Starz, LLC

“The first quarter of 2012 continued the solid performance of the Starz
businesses, highlighted by the flagship STARZ channel hitting an
all-time high of 20.1 million subscribers and ENCORE at 33.6 million,”
said Chris Albrecht, Starz, LLC, CEO. “We were very pleased to renew
distribution agreements with DIRECTV and Cox Communications, with both
deals including TV Everywhere rights for multiplatform access to premium
subscribers of our channels and services. Starz continues to build on
its original programming strategy to create cinematic, spectacle
television that works well for both domestic and international
audiences. Our franchise series, Spartacus, concluded its second
season with strong viewership, and Magic City is performing well
both domestically and abroad. Starz is working with visionary filmmakers
for its future original programming series, including David Goyer for Da
Vinci’s Demons and Michael Bay for the recently announced Black
Sails.”

Starz’s revenue increased 4% to $405 million for the first quarter. The
increase in revenue for the first quarter was primarily a result of
increases in revenue for the Starz Channels and Starz Distribution
businesses which were partially offset by a decrease in revenue for the
Starz Animation business.

Starz’s adjusted OIBDA decreased 3% to $127 million for the first
quarter. The decrease was primarily as a result of a decrease in the
Starz Distribution business which more than offset improved results by
the Starz Channels business. Adjusted OIBDA for the Starz Distribution
business was negatively impacted by higher production and acquisition
costs associated with films distributed for The Weinstein Company which
is a lower margin product as compared to the Overture titles previously
distributed.

Share Repurchases

From February 1, 2012 through April 30, 2012, 1.4 million shares of
Series A Liberty Capital common stock

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were purchased at
an average cost per share of $86.53 for total cash consideration of
$120.1 million. Since the reclassification of the original Liberty
Capital tracking stock on March 4, 2008 through April 30, 2012, 56.4
million shares have been repurchased at an average cost per share of
$30.26 for total cash consideration of $1.7 billion. These repurchases
represent 43.7% of the shares outstanding at the time of the
introduction of the original Liberty Capital stock. Liberty Media has
approximately $1.0 billion remaining under its current stock repurchase
authorization.

Liberty Media Corporation owns interests in a broad range of media,
communications and entertainment businesses. Those interests include its
subsidiaries Starz, LLC, Atlanta National League Baseball Club, Inc.,
and TruePosition, Inc., interests in SiriusXM and Live Nation and
minority equity investments in Barnes & Noble, Time Warner Inc. and
Viacom.

FOOTNOTES

1) Liberty Media’s President and CEO, Gregory B. Maffei, will discuss
these highlights and other matters in Liberty Media’s earnings
conference call which will begin at 11:45 a.m. (ET) on May 8, 2012.
For information regarding how to access the call, please see
“Important Notice” later in this document.
2) For a definition of adjusted OIBDA and applicable reconciliations
see the accompanying schedules.

NOTES

Unless otherwise noted, the foregoing discussion compares financial
information for the three months ended March 31, 2012 to the same period
in 2011.

The following financial information is intended to supplement Liberty
Media's condensed consolidated statements of operations to be included
in its Form 10-Q.

Fair Value of Public Holdings
--------------------------------
(amounts in millions) 12/31/2011 3/31/2012
-------------------------------- ---------- ---------
SiriusXM debt and equity(1) $ 5,092 6,368
Live Nation debt and equity(2) 350 392
Barnes & Noble investment(3) 253 232
Non-strategic public holdings(4) 1,187 1,175
---------- ---------
Total Liberty Media $ 6,882 8,167
-------------------------------- - ---------- ---------

(1) Represents the fair value of Liberty Media's debt and equity
investments in SiriusXM. The fair value of Liberty Media's
convertible preferred stock is calculated on an as-if-converted
basis into common stock. In accordance with GAAP, Liberty Media
accounts for the convertible preferred stock using the equity method
of accounting and includes this in its consolidated balance sheet at
historical carrying value.
(2) Represents the fair value of Liberty Media's debt and equity
investments. In accordance with GAAP, Liberty Media accounts for its
investment in the equity of Live Nation using the equity method of
accounting and includes it in its consolidated balance sheet at its
historical carrying value.
(3) Represents the carrying value of Liberty Media's preferred equity
investment in Barnes & Noble, which is accounted for at fair value
on Liberty Media's balance sheet.
(4) Represents Liberty Media's non-strategic public holdings which are
accounted for at fair value.

Cash and Debt

The following presentation is provided to separately identify cash and
liquid investments and debt information.

(amounts in millions) 12/31/2011 3/31/2012
---------- ---------
Cash and liquid investments(1) (2) $ 2,369 2,234
Less: Short-term marketable securities 299 319
---------- ---------
Total Liberty Media Cash (GAAP) $ 2,070 1,915
- ---------- ---------
Debt:
Bank investment facility $ 750 --
Starz bank facility 505 505
Other 40 39
---------- ---------
Total Liberty Media Debt (GAAP) $ 1,295 544
= ========== =========

(1) Includes $299 million and $319 million of short-term marketable
securities with an original maturity greater than 90 days as of
December 31, 2011 and March 31, 2012, respectively.
(2) Excludes $660 million of restricted cash on December 31, 2011
associated with the bank investment facility which matured in March
2012.

Total Liberty Media cash and liquid investments decreased $135 million,
primarily as a result of stock repurchases made during the quarter and
payments related to financial instruments. These outflows were partially
offset by cash provided by operating activities. Total Liberty Media
debt decreased by $751 million as a result of the debt repayment on the
bank investment facility and capital lease payments.

Important Notice: Liberty Media Corporation

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President and CEO, Gregory B. Maffei will discuss Liberty Media's
earnings release in a conference call which will begin at 11:45 a.m.
(ET) on May 8, 2012. The call can be accessed by dialing (877) 723-9523
or (719) 325-4771 at least 10 minutes prior to the start time. Replays
of the conference call can be accessed until 12:15 p.m. (ET) May 15,
2012, by dialing (888) 203-1112 or (719) 457-0820 plus the pass code
7075453#. The call will also be broadcast live across the Internet and
archived on our website. To access the webcast go to
http://www.libertymedia.com/events .
Links to this press release will also be available on the Liberty Media
website.

This press release includes certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995,
including statements about business strategies, market potential, future
financial prospects, new service and product launches including original
content programming, new distribution platforms for our programming, the
continuation of our stock repurchase plans, the potential physical
settlement of our forward contract on SiriusXM stock and other matters
that are not historical facts. These forward-looking statements
involve many risks and uncertainties that could cause actual results to
differ materially from those expressed or implied by such statements,
including, without limitation, possible changes in market acceptance of
new products or services, competitive issues, regulatory matters
affecting our businesses, continued access to capital on terms
acceptable to Liberty Media, changes in law and market conditions
conducive to stock repurchases. These forward-looking statements speak
only as of the date of this press release, and Liberty Media expressly
disclaims any obligation or undertaking to disseminate any updates or
revisions to any forward-looking statement contained herein to reflect
any change in Liberty Media's expectations with regard thereto or any
change in events, conditions or circumstances on which any such
statement is based. Please refer to the publicly filed documents of
Liberty Media, including the most recent Forms 10-Q and 10-K, for
additional information about Liberty Media and about the risks and
uncertainties related to Liberty Media's business which may affect the
statements made in this press release.

SUPPLEMENTAL INFORMATION

As a supplement to Liberty Media's consolidated statements of
operations, to be included in its Form 10-Q, the following is a
presentation of quarterly financial information and operating metrics on
a stand-alone basis for the largest privately held business (Starz, LLC)
owned by Liberty Media at March 31, 2012, which Liberty Media has
identified as a reportable segment.

Please see below for the definition of adjusted OIBDA and a discussion
of why management believes the presentation of adjusted OIBDA provides
useful information for investors. Schedule 2 to this press release
provides a reconciliation of adjusted OIBDA for Starz, LLC to its
operating income for the same period, as determined under GAAP.

QUARTERLY SUMMARY
---------------------------
(amounts in millions) 1Q11 2Q11 3Q11 4Q11 1Q12
-------- ---- ---- ---- ----
Starz, LLC
Revenue $ 391 403 389 432 405
Adjusted OIBDA 131 118 107 93 127
Operating income 124 112 101 87 120
Subscription units - Starz 18.8 19.0 19.0 19.6 20.1
Subscription units - Encore 33.1 32.9 32.8 33.2 33.6
---- ---- ---- ---- ----

NON-GAAP FINANCIAL MEASURES

This press release includes a presentation of adjusted OIBDA, which is a
non-GAAP financial measure, for Liberty Media and Starz LLC, together
with a reconciliation to that entity's operating income, as determined
under GAAP. Liberty Media defines adjusted OIBDA as revenue less
operating expenses, and selling, general and administrative expenses
(excluding stock and other equity-based compensation) and excludes from
that definition depreciation and amortization, restructuring and
impairment charges and legal settlements that are included in the
measurement of operating income pursuant to GAAP.

Liberty Media believes adjusted OIBDA is an important indicator of the
operational strength and performance of its businesses, including each
business' ability to service debt and fund capital expenditures. In
addition, this measure allows management to view operating results and
perform analytical comparisons and benchmarking between businesses and
identify strategies to improve performance. Because adjusted OIBDA is
used as a measure of operating performance, Liberty Media views
operating income as the most directly comparable GAAP measure. Adjusted
OIBDA is not meant to replace or supersede operating income or any other
GAAP measure, but rather to supplement such GAAP measures in order to
present investors with the same information that Liberty Media's
management considers in assessing the results of operations and
performance of its assets. Please see the attached schedules for
applicable reconciliations.

SCHEDULE 1

The following table provides a reconciliation of adjusted OIBDA for
Liberty Media to operating income calculated in accordance with GAAP for
the three months ended March 31, 2011, June 30, 2011, September 30,
2011, December 31, 2011 and March 31, 2012, respectively.

QUARTERLY SUMMARY
-------------------------------
(amounts in millions) 1Q11 2Q11 3Q11 4Q11 1Q12
-------- ------- ------- ------- -------
Liberty Media
Adjusted OIBDA $ 484 124 129 323 110
Depreciation and amortization (21) (20) (15) (13) (13)
Stock compensation expense (11) (10) (3) (8) (8)
Gain (loss) on legal settlement 7 -- -- (9) --
--- --- --- --- -- ---
Operating Income $ 459 94 111 293 89
= === === === === ===

SCHEDULE 2

The following table provides a reconciliation of adjusted OIBDA for
Starz, LLC to its operating income calculated in accordance with GAAP
for the three months ended March 31, 2011, June 30, 2011, September 30,
2011, December 31, 2011 and March 31, 2012, respectively.

QUARTERLY SUMMARY
-----------------------------
(amounts in millions) 1Q11 2Q11 3Q11 4Q11 1Q12
-------- ------- ------- ------ -------
Starz, LLC
Adjusted OIBDA $ 131 118 107 93 127
Depreciation and amortization (5) (4) (4) (5) (4)
Stock compensation expense (2) (2) (2) (1) (3)
--- - --- -- --- -- -- -- --- --
Operating Income $ 124 112 101 87 120
= === === === == ===

LIBERTY MEDIA CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEET (unaudited)
3/31/2012 12/31/2011
---------------- ------------
amounts in millions
ASSETS
Current assets:
Cash and cash equivalents $ 1,915 2,070
Trade and other receivables, net 272 288
Program rights 524 442
Short term marketable securities 319 299
Restricted cash 29 709
Financial instruments 220 --
Deferred income tax assets 44 61
Other current assets 57 45
----------- -----
Total current assets 3,380 3,914
----------- -----
Investments in available-for-sale securities and other cost 1,831 1,859
investments
Investments in affiliates, accounted for using the equity method 550 567
Property and equipment, at cost 506 504
Accumulated depreciation (297) (289)
--------- ---- ----- ----
209 215
----------- -----
Intangible assets not subject to amortization 475 475
Intangible assets subject to amortization, net 131 135
Program rights 323 320
Other assets, at cost, net of accumulated amortization 223 238
----------- -----
Total assets $ 7,122 7,723
==== ===== =====
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable $ 12 15
Accrued liabilities 322 313
Current portion of debt 4 754
Deferred revenue 133 63
Other current liabilities 76 85
----------- -----
Total current liabilities 547 1,230
----------- -----
Long-term debt 540 541
Deferred income tax liabilities 427 411
Other liabilities 287 290
----------- -----
Total liabilities 1,801 2,472
----------- -----
Equity:
Total stockholders' equity 5,327 5,261
Noncontrolling interests in equity of subsidiaries (6) (10)
--------------- ----- ----
Total equity 5,321 5,251
----------- -----
Commitments and contingencies
Total liabilities and equity $ 7,122 7,723
==== ===== =====

LIBERTY MEDIA CORPORATION
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (unaudited)
Quarter ended
3/31/2012 3/31/2011
--------- -----------
amounts in millions
REVENUE:
Communications and programming services $ 440 973
OPERATING COSTS AND EXPENSES:
Operating 246 393
Selling, general and administrative, including stock-based 92 107
compensation
Legal settlement --- (7)
Depreciation and amortization 13 21
--------- -----
351 514
--------- -----
Operating income 89 459
OTHER INCOME (EXPENSE):
Interest expense (7) (7)
Share of earnings (losses) of affiliates, net (9) (28)
Realized and unrealized gains (losses) on financial instruments, net 113 122
Other, net 26 23
--------- -----
123 110
--------- -----
Earnings (loss) from continuing operations before income taxes 212 569
Income tax (expense) benefit (74) (237)
--------- - ----- -
Net earnings (loss) 138 332
Less net earnings (loss) attributable to the noncontrolling interests 1 1
--------- -----
Net earnings (loss) attributable to Liberty Media Corporation $ 137 331
shareholders
= ========= = ===== ===== =
Net earnings (loss) attributable to Liberty Media Corporation
shareholders:
Liberty Capital common stock $ 137 279
Liberty Starz common stock NA 52
--------- -----
$ 137 331
= ========= =====

LIBERTY MEDIA CORPORATION
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (unaudited)
Quarter ended
3/31/2012 3/31/2011
-------------- ----------
amounts in millions
CASH FLOWS FROM OPERATING ACTIVITIES:
Net earnings $ 138 332
Adjustments to reconcile net earnings to net cash provided by
operating activities:
Depreciation and amortization 13 21
Amortization of program rights 179 155
Cash payments for program rights (216) (142)
Stock-based compensation 8 11
Cash payments for stock-based compensation (27) (3)
Share of (earnings) losses of affiliates, net 9 28
Realized and unrealized (gains) losses on financial instruments, net (113) (122)
Losses (gains) on disposition of assets, net --- 2
Change in tax accounts from Liberty Interactive, net --- 36
Deferred income tax expense 35 177
Other noncash charges (credits), net --- (375)
Changes in operating assets and liabilities
Current and other assets (29) (92)
Payables and other liabilities 97 237
------------ -----
Net cash provided (used) by operating activities 94 265
------------ -----
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash proceeds from dispositions 87 ---
Proceeds (payments) on financial instruments, net (183) ---
Investments in and loans to cost and equity investees (2) (19)
Repayment of loans by cost and equity investees 21 134
Capital expended for property and equipment (2) (3)
Net sales (purchases) of short term investments (20) 165
Net (increase) decrease in restricted cash 680 (79)
Reattribution of cash to Liberty Interactive --- (264)
Other investing activities, net --- 3
------------ -----
Net cash provided (used) by investing activities 581 (63)
------------ ----- ---
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of debt --- 1
Repayments of debt (751) (19)
Repurchases of Liberty common stock (79) (80)
Other financing activities, net --- 4
------------ -----
Net cash provided (used) by financing activities (830) (94)
------------- ----- ---
Net increase (decrease) in cash and cash equivalents (155) 108
Cash and cash equivalents at beginning of period 2,070 2,090
Cash and cash equivalents at end of period $ 1,915 2,198
===== =====

SOURCE: Liberty Media Corporation

Liberty Media Corporation
Courtnee Ulrich, 720-875-5420

Copyright Business Wire 2012

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LMCA

Liberty Media Corp. Capital Cl A

US

: U.S.: Nasdaq


$
84.11

-0.32
-0.38%

Volume: 760,043
May 16, 2012 4:00p

P/E Ratio6.35
Dividend YieldN/A

Market Cap$10.20 billion
Rev. per Employee$39.27M

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LMCB

Liberty Media Corp. Capital Cl B

US

: U.S.: Nasdaq


$
84.18

-0.50
-0.59%

Volume: 900.00
May 16, 2012 2:02p

P/E Ratio6.36
Dividend YieldN/A

Market Cap$10.20 billion
Rev. per Employee$39.27M

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LMCA

Liberty Media Corp. Capital Cl A

US

: U.S.: Nasdaq


$
84.11

-0.32
-0.38%

Volume: 760,043
May 16, 2012 4:00p

P/E Ratio6.35
Dividend YieldN/A

Market Cap$10.20 billion
Rev. per Employee$39.27M

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LMCA

Liberty Media Corp. Capital Cl A

US

: U.S.: Nasdaq


$
84.11

-0.32
-0.38%

Volume: 760,043
May 16, 2012 4:00p

P/E Ratio6.35
Dividend YieldN/A

Market Cap$10.20 billion
Rev. per Employee$39.27M

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LMCB

Liberty Media Corp. Capital Cl B

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$
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Volume: 900.00
May 16, 2012 2:02p

P/E Ratio6.36
Dividend YieldN/A

Market Cap$10.20 billion
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]]> http://www.keenlimited.com/archives/1421/feed 0 EU Seeks U.S. Trade Agreement by Mid-2014, De Gucht Says http://www.keenlimited.com/archives/1419 http://www.keenlimited.com/archives/1419#comments Wed, 16 May 2012 09:29:11 +0000 Admin http://www.keenlimited.com/?p=1419 (Corrects headline to delete reference to free trade.)

The European Union and the US,
which have the world’s largest bilateral economic relationship,
are making progress on a trade accord that may be spelled out by
mid-2014, EU Trade Commissioner Karel De Gucht said.

Tariffs, services, procurement and regulatory issues top
the agenda for the proposed agreement, which is taking shape
this year. An interim report on the deal’s potential scope is
due in June with a final document by the end of 2012, and
negotiations could start soon after.

“I propose we negotiate for no longer than 18 months,” De
Gucht said today in remarks prepared for a speech in Hamburg.
Any accord must be “ambitious enough to include all areas of
economic importance, and realistic enough to be successful
within a limited period of time.”

Trade negotiators have their work cut out for them. The
US and the EU — which have trade flows between them of $4.4
trillion annually, according to the German Marshall Fund — have
often pressed for closer trade ties, only to run into roadblocks
in reaching agreement. Any trade deal would face a lengthy and
difficult approval process within the governments.

The US and EU “are examining a number of options for
expanding transatlantic trade and investment, including a
potential comprehensive trade agreement,” Andrea Mead, a
spokeswoman for the US Trade Representative’s office, said in
an e-mailed statement. De Gucht and Ron Kirk, the US trade
ambassador, lead the group working on the June report and will
discuss its progress with trade ministers from EU states in the
coming weeks, she said.

Political Support

“This has always had more support at the highest political
levels than it has at the negotiating level,” Bill Reinsch,
president of the National Foreign Trade Council, said in a phone
interview. Sticking points will include regulations, product
standards and health protections, he said, noting that the two
sides “have been butting heads on these things for 20 years
without a lot of progress.”

Political support for a new trade accord mounted in
November, when President Barack Obama and EU leaders created a
high-level working group to identify steps to boost economic
growth. The EU is particularly eager to find ways to shake loose
more economic activity, since the sovereign-debt crisis has
forced most members to cut budgets and cope with recessions.

Food Safety

De Gucht said the trade talks will include agriculture,
food safety and a range of industries. The goal should be to get
as close as possible to “full tariff elimination,” with cuts
across a range of industries, he said.

Both sides will seek to lower regulatory barriers that
hinder transatlantic trade, such as long-running disputes over
chemicals, genetically modified foods and chlorinated chicken.
The current push focuses less on investment, where a series of
bilateral deals have helped foster relatively smooth relations,
and more on goods, services and agriculture subsidies.

“Anything they come up with is likely to be symbolic,”
Peter Holmes, an economics professor at the University of
Sussex, said by telephone. “If they really can break a
deadlock, that might trigger something bigger for the future.”

Working to set regulatory standards that overcome regional
differences has proven difficult, because they’re often set by
independent agencies at the national level in the 27-nation EU,
said Gary Hufbauer, senior fellow at the Peterson Institute for
International Economics in Washington. “Reconciling those has
proven to be virtually impossible,” he said by phone, adding
that it’s still not clear how broad a potential trade deal could
be or how much progress can be made before US elections in
November.

‘Living Agreement’

The stalled Doha round of multilateral trade negotiations
has left an opening for a free-trade agreement, with both the
US and EU seeking growth opportunities while struggling to
emerge from a financial crisis, said Peter Rashish, vice
president for Europe and Eurasia at the US Chamber of
Commerce.

“We could achieve a lot” and build a “living agreement”
for further work, he told reporters on May 8.

“It would make sense for us to come up with an ambitious
transatlantic undertaking,” though hurdles remain in areas
including services and agriculture, Susan Schwab, a US Trade
Representative during President George W. Bush’s second term,
said in an interview. “The question is, do you layer it in?”

To contact the reporters on this story:
Rebecca Christie in Brussels at
rchristie4@bloomberg.net;
Brian Wingfield in Washington at
bwingfield3@bloomberg.net

To contact the editors responsible for this story:
James Hertling at
jhertling@bloomberg.net;
Jon Morgan at
jmorgan97@bloomberg.net

Here are a selection of questions and answers from this weeks chat from TradingWithCody.com, a service not affiliated with MarketWatch.

All right, lets rock. You bring the roll.

Q. Hi Cody, whats your updated thought on NUAN ? Not for earnings but looking strategically..are they somehow involved in SIRI/ EVY, etc.? Or, is NUAN knowhow getting less unique than before?
A.Yes, it does appear that Nuance is partly powering SIRI, but I do remain concerned that Apples got other voice recognition resources that they continue to research and develop. That said, a subscriber forwarded me an email he got from e*Trade just this week: New E*TRADE Mobile with Voice Recognition. Our back and forth was: Him: Voice activated etrade? This strikes me as ripe for a financial disaster! Me: Voice recognition/activation is going to be a much bigger part of every facet of our social/financial/technology lives in five and ten years well get used to trading by voice activation too. Nuance is powering it for e*Trade too by the way  http://www.nuancemobilelife.com/etrade-mobile-app-for-iphone-harnesses-the-power-of-dragon-3/. I dont think anybody can touch Nuances turnkey solutions right now though there are plenty of upstarts and older tech companies including Microsoft desperately trying to catch and bypass Nuance. Im keeping a core common position for now. (**UPDATE: I added to my Nuance common stock when it opened this morning.)

Q. Im curious about FIO. I bought an opening position on yesterdays decline. I feel the company has excellent prospects for the future but I worry about other competitors in an ever changing technology. FIO seems to have the current edge and have been received strong press from the DEMO conference. Any thoughts? Are you a buyer here or at all?
A. As Id noted in the Trade Alert post Id sent out earlier this week, I nibbled some more FIO common recently. Ive been dead right about this stock being a wildly volatile stock, but the mid $20s bottom I thought itd stick near has been fallen by already. Ive explained before that we need to consider ourselves as venture capitalist investors in this one because its such a new company thats not yet trying to focus on profits but rather trying to establish itself as the leader in a multi-billion dollar industry that hardly exists at this point. As the price per bit for Flash continues to fall past that of the price per bit for hard drives over the next couple years, the business opportunity for FIO to displace the HPs and Dells in the server world is huge. But the company has to execute a highly competitive and cut-throat industry and we are very, very early investors in it, so it will continue to be wildly volatile as it also cant be valued at on any kind of P/E or normal public-company valuation metric.

Q. Hi Cody, can you give any thoughts on ALU please? Near 52 week lows but is it as great a buying opportunity as I hope it is?
A. Oh, the Lucent. Do you remember when Lucent was first spun out of ATamp;T and it was so powerful that there were conspiracy theorists who thought that Lucent was something derived from Lucifer? Or when Lucent was vendor-financing tens of billions of dollars of theirs and other equipment for their customers back in 2000 at the top of the telecom bubble? Or when Lucent invested hundreds of millions of dollars in real-hard cash in a free space optics company (what was that company calledTel-Air, I think?) and then eighteen months later with their stock down 90% Lucent had to issue a death-spiral convertible that is still haunting their shareholders today? Lucent survived because it had a government-forced monopoly for decades that gave it legacy products to service and a giant customer base to sell to, but they are a classic stock that became a great short opportunity as the government-enforced advantages theyd enjoyed for so long went away as the Internet displaced traditional telecom and competition with wireless and VoIP hit hard. They are to telecom what Apollo will likely be to education in five years from now. And no, I have no idea in buying a lottery ticket-priced share of stock in ALU at under $2 a share today in the hopes that they somehow fix their finances and their company. Id rather own ZNGA with my lottery ticket-priced money.

Q. Whats your advise on PCLN as you know they report after market today?
A. Ive told readers before that PCLN is blacklisted on my own trading screens. Ive never gotten that stock right when Ive traded it and I basically hate myself when I see a stock quote for that thing and I know that I havent been a part of its success. Ugh. Good luck, but I cant help you on Priceline. Side note the only person Ive ever been to intimidated/didnt-want-to-pop-the-bubble to meet in my life was William Shatner when he came by the Fox Business studios in the green room while I was getting make up. I hid. I literally couldnt bring myself to meet Captain Kirk in real life because in my mind, that guy in the Priceline commercials and who does hilarious rock n roll covers and stars on a CBS sit com isnt really Captain Kirk. I love me some Star Trek to this day and I make no apologies for that. Live long and prosper.

Q. Cody do you have any gauge of what a bottom level on AAPL might be on this pullback? Ive been gradually adding as its been dropping. Also, it looks like short term call options have picked up on STX. Any thoughts?
A. I had this discussion with an old friend who was one of the earlier employees at Google on Gchat yesterday: David: man is it time to buy some aapl? me thinks yes. theres a sale going on. even dougie kass is bullish. Me: uh oh i think u and i have discussed what a great contrarian indicator kasss bullishness can be. Id rather he be puking too. how long ago did he get bullish? 5% ago? That might be enough! Too easy to just load up on aapl here David: what does that last statement mean? 12:22 PM me: i woudnt do more than add maybe 1/3 to my existing position now. David: got it. i may do nothing 12:23 PM I like what I got. All that said, Trying to guess where and when a bottom for any individual stock thats being traded by millions of people around the world every day is a fools game to the poor house. Ill add to AAPL gently if and when it falls and Ill likely trim some if and when it spikes. Same playbook Ive been using for AAPL for nine years now.

Q. Is ZNGA a good play at this price? Will Facebook add any value to ZNGA stock?
A. I like ZNGA here for a trade, not sure Im convinced about the long-term prospects for ZNGA although Im warming up to them more as I research the company further. I like the platform that ZNGA is building for games and I like the fact that some of the major video game console software companies are moving to the ZNGA platform. Read this for more on the importance of Platform:http://blogs.marketwatch.com/cody/2012/05/08/wake-up-call-for-apple-investors/.

Q. Your opinion on LVLT please.
A Nothings changed with our LVLT investment either. Its a long-term play on the idea that the companys finally going to grow sales and margins as theyve consolidated the Internet backbone industry.

Okay guys, thats it. 90 minutes of Live Qamp;A about these deep topics leaves my brain cramped. Ever seen this video, by the way:http://youtu.be/MTn1v5TGK_w Sian Welch amp; Wendy Ingraham The Crawl 1997 Go out there and get past the finish line, folks.

Sign up and join us you next week at 2pm EST at http://tradingwithcody.com/chat for more Qamp;A where you can ask me anything.

Cody Willard writes Revolution Investing for MarketWatch and posts the trades from his personal account at TradingWithCody.com. At time of publication, Cody was net long Apple, Fusion-IO, Level 3, Zinga, and Nuance.

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