Chevron Hits Rough Patch in Richmond, Calif.

Jim Wilson/The New York Times

COMPANY TOWN Chevron is the biggest employer and taxpayer in Richmond, Calif., and its red oil tanks still dominate the city’s skyline 110 years after the refinery was built.

RICHMOND, Calif. — The Chevron refinery’s massive oil storage tanks sit on the hills overlooking this small, impoverished city in San Francisco’s East Bay. Painted earthen red to blend with the natural surroundings, the tanks cannot help dominating the city’s skyline, much the way the oil giant itself has long shaped Richmond’s identity, economy and politics.

Jim Wilson/The New York Times

At a meeting last month, some residents criticized the company after a fire at the refinery in August.

But Chevron’s grip on Richmond’s politics began to loosen a few years ago after left-wing anticorporate activists seized control of the City Council and mayor’s office. In an area of the country where high-tech companies tend to coexist peacefully with affluent municipalities, perhaps nowhere have locals and a giant corporation rubbed shoulders with such intensity as in Richmond.

If city leaders likened themselves to anti-oil-company fighters in Nigeria, Ecuador and other developing oil-rich nations, Chevron’s response would not have been out of place in the Niger Delta. It has spent millions of dollars on social programs and community-building here, as well as on friendly politicians.

Now, Chevron will get an inkling of whether its new strategy is working as the city weighs the company’s plans to rebuild a critical unit damaged in a major fire in August. Chevron says it wants to complete repairs this month at the refinery, where production has been cut in half since the fire.

Not so fast, the city says.

At a recent raucous public hearing, Mayor Gayle McLaughlin stood up to criticize Chevron, leaning on a pair of crutches after knee surgery. The mayor pointed out that the company had yet to provide documents requested by federal regulators, who are expected to release a report on the cause of the fire early this year. To applause, the mayor said, “In terms of response and transparency, I have concerns.”

At issue is Chevron’s choice of metal to replace a 5-foot-long, 8-inch carbon-steel pipe that became corroded and sprang a leak in August. The resulting fire sent plumes of black smoke into the air, spewing emissions of sulfur dioxide, as the authorities warned Richmond residents to stay indoors. Thousands went to emergency rooms with various health complaints. Chevron says it will compensate residents with valid claims for medical and property expenses, although it has not said how many of the 23,700 claims it has received will qualify.

The selection of a metal alloy called 9 Chrome will make the new pipe resistant to the kind of corrosion that affected the carbon-steel pipe, Chevron says; while the city’s own metal consultants confirm that the material meets industry standards, critics say there could be better choices.

The larger issue is the trust between Chevron and Richmond, which has deteriorated since the fire.

For most of the past century, Richmond was a loyal company town. As Chevron officials invariably point out, the refinery was built 110 years ago, three years before Richmond was incorporated as a city. Richmond grew around the refinery, which has remained the city’s biggest employer and taxpayer.

Then in the 1990s, transplants from nearby Berkeley and San Francisco began gravitating here, drawn to Richmond’s affordable rents and adding a radical tinge to the city’s traditionally moderate Democratic leanings. Ms. McLaughlin, a member of the Green Party, was elected in 2006, making Richmond the largest American city to be led by an official from her party; like-minded candidates grabbed seats on the City Council.

Not surprisingly, Richmond and Chevron became locked in lawsuits over the payment of various taxes. More significant, with the help of allies in environmental groups, Richmond has blocked Chevron’s plans for a major upgrade that the company says is essential to the refinery’s future.

“They went through a period of time when they took a very hard-line, confrontational position with the City of Richmond, and I don’t think it was working for them very well,” said Tom Butt, a councilman who has been critical of Chevron and who won re-election in November, despite the oil company’s support for three other candidates. “They were facing a situation where the majority of the City Council were not their friends, and so they decided to try a different position.”

Sean Comey, a Chevron spokesman, said the company felt the need to adopt a new strategy toward Richmond, though he did not go as far as to acknowledge that it was a direct response to the city’s changing politics.

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Obama claims victory, heads back to Hawaii

WASHINGTON -- Even as he claimed victory and praised leaders for walking back from the edge of economic danger,  President Obama looked ahead to his next round of sparring with Republicans in Congress over deficits, taxes and government spending.

Speaking to reporters in the White House moments after the House passed a deal averting the so-called fiscal cliff, Obama declared his intention to keep chipping away at deficit reduction efforts.

"I think we all recognize that this law is just one step in the broader effort to strengthen our economy and broaden opportunity for everybody," Obama said late Tuesday night. "The fact is that the deficit is still too high, and we're still investing too little in the things we need for the economy to grow as fast as it should."

The House passed the tax deal, 257-167, winning more support from the chamber’s Democrats than the majority Republicans. The measure keeps income taxes from resetting to higher rates for 99% of American taxpayers, while allowing rates to climb for the wealthiest. It also delays automatic spending cuts that were scheduled Wednesday to start phasing in.

Immediately after his remarks, Obama boarded Marine One en route to Andrews Air Force Base, for an overnight flight to Hawaii to rejoin his family.

Obama had interrupted his holiday visit to his birth state after five days to return to Washington on Dec. 27. He's expected to stay there through the weekend.

When he returns, he will greet a new Congress and a new set of fiscal crises. The deal passed Tuesday ensures that the next round of deficit brinkmanship will build to a new deadline, probably at the end of February, when Congress will be asked to increase the nation’s debt limit, pass legislation funding the government and address the automatic spending cuts.

Obama stressed that he would seek new tax revenue in any future deal, saying we can’t "simply cut our way to prosperity." He also repeated his assertion that he would not negotiate with Republicans over whether Congress will vote to increase the debt limit, as he did in 2011. A failure to raise the limit prevents the Treasury from borrowing more to pay its bills and could result in a U.S. default.

Obama said that such a fight would be "catastrophic" for the global economy.

"While I will negotiate over many things, I will not have another debate with this Congress over whether or not they should pay the bills that they’ve already racked up through the laws that they’ve passed," he said. "We can’t go down that path again."

kathleen.hennessey@latimes.com

Twitter: @khennessey

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The Future Is Now: What We Imagined for 2013 — 10 Years Ago

Predicting the future is hard, but that doesn’t stop us from trying. We’re Wired, after all.

Ten years ago, we boldly declared that we’d be living with phones on our wrists, data-driven goggles on our eyes and gadgets that would safety-test our food for us. Turns out, a lot of the things Sonia Zjawinski conceptualized in our “Living in 2013” feature way back in 2003 were remarkably close to what we’ve seen. We even got the iPhone right (sort of).

And so, as we look back on life in 2013 circa 2003, we’re going to spin it forward once again to tell you what life will be like in 2023.

Predicted for 2003 (above):

Apple redefined the desktop, laptop, and MP3 player. The next insanely great thing: an LCD arm cuff that includes a PDA, wireless Internet, a mini iPod, and, of course, a phone. The iPhone bracelet's motion sensor allows you to scroll through apps and files with the flick of a wrist, its clasp holds a digicam for use during video calls, and its wireless ear clip lets you listen and speak to callers. And everything can be done via voice recognition or touchscreen. Talk about the right call. Illustration: Kenn Brown.

Delivered in 2013:

Hey, it turns out, Apple gave us an iPhone after all! We got the name right, and even seemed to know about FaceTime. But the form factor details? Not so much. While you can wear an iPod nano as a watch, or make a call with your iPhone, if you want the watch-plus-phone combination that we teased you with 10 years ago, for now you'll need to pick up a secondary gadget that can transmit to your phone, like this Pebble. Photo: Ariel Zambelich/Wired.

Looking ahead to 2023:

Here's the thing, the screen on a watch is simply too small to display lots of data. And as an input device? Forget it. Yet keeping your phone out of sight means you often can't interact with your data on the go. The obvious answer is a variable size display. Samsung has already demonstrated a pretty convincing foldable OLED display prototype. Given 10 more years, we can easily see one screen serving multiple purposes by taking on multiple form factors, depending on whether you wanted to simply glance at it to read a message, or unfold it to write your reply. Illustration: Simon Lutrin/Wired

Mat Honan is a senior writer for Wired's Gadget Lab and the co-founder of the Knight-Batten award-winning Longshot magazine.

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Heartwarming moments defy chill at Rose Parade

PASADENA, Calif. (AP) — A couple who became husband and wife on the “Love Float,” a surprise reunion between a returning soldier and his little boy, and a grand marshal famed globally for her chimpanzee research were among the highlights of the 124th Rose Parade on Tuesday.

The parade’s spectacular 42 floral floats brightened an otherwise cloudy New Year’s morning and boosted the spirits of a chilled crowd estimated at some 700,000 spectators lining the 5-mile route.

“The only way that you’re going to experience the Rose Parade is to be here in person,” said Los Angeles resident Gineen Alcantara-Nakama, who camped out Monday night to save front row sidewalk spots.

“Growing up, I watched it on television, but it’s not the same — the smell, the atmosphere, smelling the flowers as they come down the street. And the energy. It’s like being with family all night long.”

Spectators rose to a standing ovation when Army Sgt. First Class Eric Pazz, who was riding on the Natural Balance Pet Foods float along with other service members, got off the float and walked over to his surprised wife Miriam and 4-year-old son Eric Jr., who came running out of the stands into the arms of his 32-year-old father.

Miriam Pazz had been told she had won a contest to attend the parade and did not know her husband, who is deployed in Afghanistan, would be there. A native of Clio, Mich., Pazz is a highly decorated soldier who has also served in Iraq. The family, who currently lives in Germany, climbed aboard the float for the rest of the route.

Cheers also went up for a Chesapeake, Va., couple who tied the knot aboard Farmers Insurance “Love Float.”

Gerald Sapienza and Nicole Angelillo were high school classmates who reconnected 10 years later and won the parade wedding over three other couples in a nationwide contest. They received a trip to Pasadena, a wedding gown, tuxedo, rings, marriage license fees, Rose Bowl game tickets and hair and makeup for the bride.

The parade’s theme this year was “Oh the Places You’ll Go!” named in honor of the Dr. Seuss book. It served as a fitting slogan for grand marshal British primatologist Jane Goodall, who has spent much of her life in Tanzania studying chimpanzees.

Goodall chose conservation as her message for the parade

“My dream for this New Year’s Day is for everyone to think of the places we can all go if we work together to make our world a better place,” said Goodall, 78.

“Every journey starts with a step and I am pleased to see the Tournament of Roses continue to take steps toward not only celebrating beauty and imagination, but also a cleaner environment.”

This year’s parade also saw the first-ever float entered by the Defense Department.

The $ 247,000 military float was a replica of the Korean War Veterans Memorial in Washington to commemorate the veterans from that conflict.

The float that scooped up the parade’s grand “Sweepstakes” prize for the most beautiful floral presentation and design was “Dreaming in Paradise” by fruit and vegetable producer Dole.

According to parade rules, every inch of the floats must be covered with flowers or plant material, most of it applied by volunteers in the last weeks of December.

Besides floats, the parade also featured 23 marching bands and 21 equestrian units from around the world.

Banda El Salvador, a 200-plus member marching band and folkloric dance troupe, played sassy Latin rhythms and paid homage to their Central American country by dressing in the national colors of blue and white and shouting “Arriba El Salvador!”

The Aguiluchos band from Puebla, Mexico, earned cheers for their fancy footwork and vaquero rope tricks. Colorful dancers from Costa Rica and South Korea were other crowd pleasers.

Die-hard parade fans staked out their spots overnight or in pre-dawn hours with folding chairs, hammocks and portable barbeque grills despite frosty temperatures.

Emergency personnel received a number of cold-weather exposure calls, police department spokeswoman Lisa Derderian told City News Service.

As of 8 a.m. Tuesday, police had made a total of 22 arrests along the parade route since 6 p.m. Monday, said police Lt. Rick Aversan. All but one arrest were for suspected public intoxication. The other was for suspected possession of burglary tools that could have been used to break into cars, police said.

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Ground Zero Volunteers Face Obstacles to Compensation

On the day the terrorists flew into the World Trade Center, the Wu-Tang Clan canceled its meeting with a record mixer named Richard Oliver, so Mr. Oliver rushed downtown from his Hell’s Kitchen apartment to help out.

He said he spent three sleepless days at ground zero, tossing body bags. “Then I went home, ate, crashed, woke up,” he said. He had left his Dr. Martens boots on the landing outside his apartment, where he said they “had rotted away.”

“That was kind of frightening,” he continued. “I was breathing that stuff.”

After the Sept. 11 attacks, nothing symbolized the city’s rallying around like many New Yorkers who helped at ground zero for days, weeks, months, without being asked. Now Mr. Oliver, suffering from back pain and a chronic sinus infection, is among scores of volunteers who have begun filing claims for compensation from a $2.8 billion fund that Congress created in 2010.

But proving they were there and eligible for the money is turning out to be its own forbidding task.

The other large classes of people who qualify — firefighters, police officers, contractors, city workers, residents and students — have it relatively simple, since they are more likely to have official work orders, attendance records and leases to back them up. But more than a decade later, many volunteers have only the sketchiest proof that they are eligible for the fund, which is expected to make its first awards early this year. (A separate $1.5 billion treatment fund also was created.)

They are volunteers like Terry Graves, now ill with lung cancer, who kept a few business cards of people she worked with until 2007, then threw them away. Or Jaime Hazan, a former Web designer with gastric reflux, chronically inflamed sinuses and asthma, who managed to dig up a photograph of himself at ground zero — taken from behind.

Or Mr. Oliver, who has a terse two-sentence thank-you note on American Red Cross letterhead, dated 2004, which does not meet the requirement that it be witnessed or sworn.

“For some people, there’s great records,” said Noah H. Kushlefsky, whose law firm, Kreindler & Kreindler, is representing volunteers and others who expect to make claims. “But in some respects, it was a little bit of a free-for-all. Other people went down there and joined the bucket brigade, talked their way in. It’s going to be harder for those people, and we do have clients like that.”

As documentation, the fund requires volunteers to have orders, instructions or confirmation of tasks they performed, or medical records created during the time they were in what is being called the exposure zone, including the area south of Canal Street, and areas where debris was being taken.

Failing that, it will be enough to submit two sworn statements — meaning the writer swears to its truth, under penalty of perjury — from witnesses describing when the volunteers were there and what they were doing.

Proving presence at the site might actually be harder than proving the illness is related to Sept. 11, since the rules now allow a host of ailments to be covered, including 50 kinds of cancer, despite an absence of evidence linking cancer to ground zero.

A study by the New York City health department, just published in the Journal of the American Medical Association, found no clear association between cancer and Sept. 11, though the researchers noted that some cancers take many years to develop.

Unlike the original compensation fund, administered by Kenneth Feinberg, which dealt mainly with people who were killed or maimed in the attack, “This one is dealing with injuries that are very common,” said Sheila L. Birnbaum, a former mediator and personal injury defense lawyer, who is in charge of the new fund. “So it’s sort of a very hard process from the fund’s point of view to make the right call, and it requires some evidence that people were actually there.”

Asked how closely the fund would scrutinize documents like sworn statements, Ms. Birnbaum said she understood how hard it was to recreate records after a decade, and was going on the basic assumption that people would be honest.

In his career as a record mixer, Mr. Oliver, 56, has been associated with 7 platinum and 11 gold records, and 2 Grammy credits, which now line the walls of his condominium in College Point, Queens. He said he first got wind of the Sept. 11 attacks from a client, the Wu-Tang Clan. “One of the main guys called me: ‘Did you see what’s on TV? Because our meeting ain’t going to happen,’ ” he recalled.

Having taken a hazmat course after high school, he called the Red Cross and was told they needed people like him. “I left my soon-to-be-ex-wife and 1-year-old son and went down,” he said. “I came back three days later,” after surviving on his own adrenaline, Little Debbie cakes handed out to volunteers and bottled water. After working for three days setting up a morgue, he was willing to go back, he said, but “they said we have trained people now, thank you very much for your service.”

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Used to Hardship, Latvia Accepts Austerity, and Its Pain Eases

RIGA, Latvia — When a credit-fueled economic boom turned to bust in this tiny Baltic nation in 2008, Didzis Krumins, who ran a small architectural company, fired his staff one by one and then shut down the business. He watched in dismay as Latvia’s misery deepened under a harsh austerity drive that scythed wages, jobs and state financing for schools and hospitals.

But instead of taking to the streets to protest the cuts, Mr. Krumins, whose newborn child, in the meantime, needed major surgery, bought a tractor and began hauling wood to heating plants that needed fuel. Then, as Latvia’s economy began to pull out of its nose-dive, he returned to architecture and today employs 15 people — five more than he had before. “We have a different mentality here,” he said.

Latvia, feted by fans of austerity as the country-that-can and an example for countries like Greece that can’t, has provided a rare boost to champions of the proposition that pain pays.

Hardship has long been common here — and still is. But in just four years, the country has gone from the European Union’s worst economic disaster zone to a model of what the International Monetary Fund hails as the healing properties of deep budget cuts. Latvia’s economy, after shriveling by more than 20 percent from its peak, grew by about 5 percent last year, making it the best performer in the 27-nation European Union. Its budget deficit is down sharply and exports are soaring.

“We are here to celebrate your achievements,” Christine Lagarde, the chief of the International Monetary Fund, told a conference in Riga, the capital, this past summer. The fund, which along with the European Union financed a $7.5 billion bailout for the country at the end of 2008, is “proud to have been part of Latvia’s success story,” she said.

When Latvia’s economy first crumbled, it wrestled with many of the same problems faced since by other troubled European nations: a growing hole in government finances, a banking crisis, falling competitiveness and big debts — though most of these were private rather than public as in Greece.

Now its abrupt turn for the better has put a spotlight on a ticklish question for those who look to orthodox economics for a solution to Europe’s wider economic woes: Instead of obeying any universal laws of economic gravity, do different people respond differently to the same forces?

Latvian businessmen applaud the government’s approach but doubt it would work elsewhere.

“Economics is not a science. Most of it is in people’s heads,” said Normunds Bergs, chief executive of SAF Tehnika, a manufacturer that cut management salaries by 30 percent. “Science says that water starts to boil at 100 degrees Celsius; there is no such predictability in economics.”

In Greece and Spain, cuts in salaries, jobs and state services have pushed tempers beyond the boiling point, with angry citizens staging frequent protests and strikes. Britain, Portugal, Italy and also Latvia’s neighbor Lithuania, meanwhile, have bubbled with discontent over austerity.

But in Latvia, where the government laid off a third of its civil servants, slashed wages for the rest and sharply reduced support for hospitals, people mostly accepted the bitter medicine. Prime Minister Valdis Dombrovskis, who presided over the austerity, was re-elected, not thrown out of office, as many of his counterparts elsewhere have been.

The cuts calmed fears on financial markets that the country was about to go bankrupt, and this meant that the government and private companies could again get the loans they needed to stay afloat. At the same time, private businesses followed the government in slashing wages, which made the country’s labor force more competitive by reducing the prices of its goods. As exports grew, companies began to rehire workers.

Economic gains have still left 30.9 percent of Latvia’s population “severely materially deprived,” according to 2011 data released in December by Eurostat, the European Union’s statistics agency, second only to Bulgaria. Unemployment has fallen from more than 20 percent in early 2010, but was still 14.2 percent in the third quarter of 2012, according to Eurostat, and closer to 17 percent if “discouraged workers” are included. This is far below the more than 25 percent jobless rate in Greece and Spain but a serious problem nonetheless.

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USC's dreadful performance is perfect way to conclude imperfect season

EL PASO — A football season that once swaggered through the warmth of a No. 1 ranking has curled up and expired in a cold, remote desert, buffeted by a chilled and foreboding wind.

The kid coach is bundled in a black hoodie and wearing sunglasses. He is standing 10 yards from most of his team. He is hunched over a play card, huddled into himself, alone.

The kid quarterback is battered by the wind, perplexed by the defense and wandering the sidelines looking for comfort or instruction. He receives neither and wanders alone.

The athletic director who has said he is "150%" behind this mess is on speed dial, but he cannot be reached for comment, which could mean nothing or everything. In offering his unwavering and unconditional support of the most underachieving team in college football history, he, too, could be alone.

Happy New Year's Eve, USC football fans. Are you ready for the mother of all hangovers?

Playing a losing team from a weakened conference in a secondary bowl game Monday, the Trojans did worse than simply lose. They didn't even show up.

In a 21-7 loss to Georgia Tech, Coach Lane Kiffin was distant, quarterback Max Wittek was despairing, the defense was battered for nearly 300 rushing yards, and even their scarf-swaddled fans finally had enough. In the final minutes of the game, Trojans fans rained boos down upon Georgia Tech for having the nerve to call timeout and extend their agony.

This wasn't just one bad game; this was the end of a season filled with bad games, the last milepost in arguably the most unsightly journey ever taken by a football team in NCAA history.

The Trojans went from No. 1 in the country to out of the rankings entirely, the first time this has happened in 48 years. The Trojans went from talk of an undefeated season to six losses, including five in the last six games. The Trojans went from Hollywood to El Paso to a tiny Sun Bowl conference room in which Kiffin tried to explain it all.

"A very surprising day," he said. "Obviously, it starts with the head coach."

Many believe this should be the end of the head coach. Even though Athletic Director Pat Haden assured me on Nov. 17 that Kiffin was returning next season and that he was "150%" behind the coach, many think he could and should change his mind.

Since that statement — oddly coming on the day of the loss to UCLA — the Trojans suffered through questionable play-calling in a loss to Notre Dame and then experienced an awful week here. Georgia Tech walked out of a Sun Bowl banquet because the Trojans showed up late, two Trojans tweeted nasty things about the city of El Paso, and even a giant Trojans thank-you ad purchased for the back page of the sports section of the El Paso Times couldn't fully make amends.

Although USC claimed bowl officials knew about its late banquet arrival, and although USC players aren't the first kids to tweet dumb things, there are no easy explanations about what happened in the week's culminating event. How on earth does a Trojans team supposedly loaded with NFL prospects gain only 205 total yards against a Georgia Tech team that gave up 510 yards to Middle Tennessee State? Or have only two more first downs than punts? Or commit three turnovers, giving them 34 for the season, the most ever for a team with a winning record?

"We had two great weeks of practice. ... I thought our guys were really into it," said Kiffin, shaking his head, showing again the apparent fraying in his connection with his team.

Kiffin later said he was huddled under the hoodie because he didn't want to wear a ski cap. He also said he was wearing sunglasses to hide a tiny bandage, which he said was covering a scrape caused by some horsing around with linebacker Hayes Pullard.

"C'mon, you know that how I looked is not the reason we lost this game," he said.

But all of it contributed to the perception of a coach who is not a strong leader, which is another reason Haden could ultimately change his mind and make a change. This lack of leadership spread to his players, even quarterback Matt Barkley, who began the season as a Heisman Trophy favorite and ended it as a no-show.

Yes, Barkley's season ended when he suffered a sprained shoulder against UCLA. But where was the quarterback on the sidelines Monday when Wittek could have used his counsel? Where was any veteran to support the redshirt freshman when he was clearly lost while completing 14 of 37 passes for 107 yards with one touchdown and three interceptions? And where were the veterans at the start of the fourth quarter, with the Trojans still trailing by only a touchdown, when USC trudged down the field while the Yellow Jackets bounced and danced in unified excitement?

"I never saw this coming," said senior defensive end Wes Horton. "With the talent and coaches we had, I thought we'd have a much better record."

Statements like that, and games like this, are all damning to Kiffin's cause. But remember, the two things that Haden said he liked about Kiffin are still true. Haden said he loves Kiffin's commitment to academics, and two Trojans were sent home from El Paso for academic reasons. Haden also said he loves Kiffin's recruiting, and the Trojans are still scheduled to have one of the nation's top hauls.

"We'll sign the No. 1 class in the country and go back to work," Kiffin said.

For now, that is true, and I wouldn't be surprised if it remained true. But I also wouldn't be surprised if Haden suddenly changes his mind and changes everything. By now, all shock has been drained from college football's most stunning team, its season ending Monday in the chilliest and most desperate of climes, with an embarrassing loss that was no surprise to anybody.

bill.plaschke@latimes.com

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The Best of Exploration: Top 8 Stories of Space Exploration in 2012

Our recap of the year’s best exploratory exploits continues today with a look at the biggest developments in space exploration. 2012 saw the stunning debut of new spacecraft (Curiosity), the continued contributions of geriatric ones (Voyager), and the first full year since the end of the Space Shuttle program. Casey Dreier of The Planetary Society nominated 8 particularly meaningful developments from the last twelve months.

Image: Dreier’s pick for image of the year, a Cassini photograph of Saturn’s north pole through an infrared filter. (Credit: NASA / JPL / SSI / Emily Lakdawalla)

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Hollywood tops Chinese film market in 2012, first time in four years

SHANGHAI (Reuters) – China‘s 2012 box office was dominated by foreign films for the first time in four years as a deal cemented earlier this year saw more Hollywood film screened on the mainland, squeezing out domestic competition.

China’s box office receipts are expected to reach 16.8 billion yuan ($ 2.7 billion) in 2012 and about 8 billion yuan ($ 1.28 billion), or slightly less than half the receipts, are from domestic films, the official People’s Daily reported on Monday, quoting estimates from the State Administration of Radio, Film and Television.

It is the first time in four years that domestic film receipts totaled less than 50 percent of the market and signals that the February trade agreement to allow more Hollywood movies to be screened in China is having a significant impact on the country’s movie industry.

Last year, domestic films made up 54 percent of box office receipts, down slightly from 56 percent in 2010, local media reported. China agreed in February to open its market to more American movies, permitting 14 premium format films such as IMAX or 3D to be exempt from the annual 20 foreign film quota.

Last month, Tian Jin, China’s vice minister of the State Administration of Radio, Film and Television, said the U.S. film industry was reaping massive profits due to the February concession while domestic producers were under pressure.

However, the best-selling film this year is a low-budget, domestically-produced comedy called “Lost in Thailand” about two rival businessmen. The movie drew a bigger audience in China than James Cameron’s “Avatar”, the People’s Daily said.

($ 1 = 6.2335 Chinese yuan)

(Reporting by Melanie Lee; Editing by Matt Driskill)

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U.S. Birthrate Dips, Especially for Hispanics

ORLANDO, Fla. — Hispanic women in the United States, who have generally had the highest fertility rates in the country, are choosing to have fewer children. Both immigrant and native-born Latinas had steeper birthrate declines from 2007 to 2010 than other groups, including non-Hispanic whites, blacks and Asians, a drop some demographers and sociologists attribute to changes in the views of many Hispanic women about motherhood.

As a result, in 2011, the American birthrate hit a record low, with 63 births per 1,000 women ages 15 to 44, led by the decline in births to immigrant women. The national birthrate is now about half what it was during the baby boom years, when it peaked in 1957 at 122.7 births per 1,000 women of childbearing age.

The decline in birthrates was steepest among Mexican-American women and women who immigrated from Mexico, at 25.7 percent. This has reversed a trend in which immigrant mothers accounted for a rising share of births in the United States, according to a recent report by the Pew Research Center. In 2010, birthrates among all Hispanics reached their lowest level in 20 years, the center found.

The sudden drop-off, which coincided with the onset of the recession, suggests that attitudes have changed since the days when older generations of Latinos prized large families and more closely followed Roman Catholic teachings, which forbid artificial contraception.

Interviews with young Latinas, as well as reproductive health experts, show that the reasons for deciding to have fewer children are many, involving greater access to information about contraceptives and women’s health, as well as higher education.

When Marucci Guzman decided to marry Tom Beard here seven years ago, the idea of having a large family — a Guzman tradition back in Puerto Rico — was out of the question.

“We thought one, maybe two,” said Ms. Guzman Beard, who gave birth to a daughter, Attalai, four years ago.

Asked whether Attalai might ever get her wish for a little brother or sister, Ms. Guzman Beard, 29, a vice president at a public service organization, said: “I want to go to law school. I’m married. I work. When do I have time?”

The decisions were not made in a vacuum but amid a sputtering economy, which, interviewees said, weighed heavily on their minds.

Latinos suffered larger percentage declines in household wealth than white, black or Asian households from 2005 to 2009, and, according to the Pew report, their rates of poverty and unemployment also grew more sharply after the recession began.

Prolonged recessions do produce dips in the birthrate, but a drop as large as Latinos have experienced is atypical, said William H. Frey, a sociologist and demographer at the Brookings Institution. “It is surprising,” Mr. Frey said. “When you hear about a decrease in the birthrate, you don’t expect Latinos to be at the forefront of the trend.”

D’Vera Cohn, a senior writer at the Pew Research Center and an author of the report, said that in past recessions, when overall fertility dipped, “it bounced back over time when the economy got better.”

“If history repeats itself, that will happen again,” she said.

But to Mr. Frey, the decrease has signaled much about the aspirations of young Latinos to become full and permanent members of the upwardly mobile middle class, despite the challenges posed by the struggling economy.

Jersey Garcia, a 37-year-old public health worker in Miami, is in the first generation of her family to live permanently outside of the Dominican Republic, where her maternal and paternal grandmothers had a total of 27 children.

“I have two right now,” Ms. Garcia said. “It’s just a good number that I can handle.”

“Before, I probably would have been pressured to have more,” she added. “I think living in the United States, I don’t have family members close by to help me, and it takes a village to raise a child. So the feeling is, keep what you have right now.”

But that has not been easy. Even with health insurance, Ms. Garcia’s preferred method of long-term birth control, an IUD, has been unaffordable. Birth control pills, too, with a $50 co-payment a month, were too costly for her budget. “I couldn’t afford it,” she said. “So what I’ve been doing is condoms.”

According to research by the National Latina Institute for Reproductive Health, the overwhelming majority of Latinas have used contraception at some point in their lives, but they face economic barriers to consistent use. As a consequence, Latinas still experience unintended pregnancy at a rate higher than non-Hispanic whites, according to the institute.

And while the share of births to teenage mothers has dropped over the past two decades for all women, the highest share of births to teenage mothers is among native-born Hispanics.

“There are still a lot of barriers to information and access to contraception that exist,” said Jessica Gonzáles-Rojas, 36, the executive director of the institute, who has one son. “We still need to do a lot of work.”

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