Ex-baseball star Lenny Dykstra sentenced in bankruptcy fraud case

LOS ANGELES (Reuters) - Lenny Dykstra, the 1980s World Series hero who pleaded guilty earlier this year to bankruptcy fraud, was sentenced on Monday to six months in federal prison and ordered to perform 500 hours of community service.
The 49-year-old former ballplayer - who is already serving time in state prison for grand theft auto, lewd conduct and assault with a deadly weapon - was also ordered to pay $200,000 in restitution.
In the federal case, Dykstra pleaded guilty in July to bankruptcy fraud and other charges.
According to the written plea agreement, he admitted defrauding his creditors by declaring bankruptcy in 2009, then stealing or destroying furnishings, baseball memorabilia and other property from his $18.5 million mansion.
He also admitted giving false or misleading testimony about the property he removed from the Los Angeles-area home, which he had purchased from hockey great Wayne Gretzky, according to the court documents.
Dykstra, nicknamed "Nails" during his playing days, spent 11 years in the major leagues, mostly as an outfielder for the Mets and Philadelphia Phillies.
He is perhaps best remembered by Mets fans for the 1986 season, when he struck a walk-off game-winning home run in Game 3 of the National League Championship Series.
And in Game 3 of the World Series, he hit a key lead-off home run, sparking a comeback by the Mets from a 2-0 series deficit to win the championship over the Boston Red Sox.
But in recent years Dykstra has become embroiled in a series of criminal cases.
In March of this year, he was sentenced to three years in state prison after pleading no contest to grand theft auto in what Los Angeles County prosecutors said was a scheme to lease cars using phony business and credit information.
And in April, the former athlete was sentenced to 270 days in jail and 36 months probation after pleading no contest to lewd conduct and assault with a deadly weapon.
Those charges stemmed from accusations that Dykstra exposed himself to women who answered his Craigslist ad for an assistant and housekeeper. One of the women told authorities the former athlete held a knife and forced her to massage him.
A no contest plea is the legal equivalent to pleading guilty under California law.

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Giants agree deal to keep playoff hero Scutaro

(Reuters) - National League Championship Series MVP Marco Scutaro has agreed a $20 million three-year deal to stay with the San Francisco Giants, the World Series winners said on Tuesday.
The 37-year-old second baseman was acquired by San Francisco in a mid-season trade with Colorado and he paid great dividends down the stretch as the Giants claimed their second World Series in three years.
Scutaro batted .362 with 44 RBIs in his 61 regular season games with the Giants, then he raised his game when it mattered most during the post-season.
Scutaro is the third free agent retained by San Francisco as they keep their championship core intact.
The team also agreed to contracts with pitcher Jeremy Affeldt and outfielder Angel Pagan.

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Reds land Korean Choo in trade with Indians, D-Backs

(Reuters) - The Cincinnati Reds acquired South Korean outfielder Choo Shin-soo from the Cleveland Indians on Tuesday in a three-team trade that involved nine players.
The 30-year-old Choo, entering the final year of his contract, declined to sign an extension with the Indians and will now give the Reds a potential lead-off hitter who batted .283 with 16 home runs last season.
"He fills the one big void that we had and that was a lead-off hitter and someone with the ability to get on base," Reds General Manager Walt Jocketty told MLB.com.
The Reds also picked up infielder Jason Donald and $3.5 million from Cleveland.
In exchange, the Indians receive outfielder Drew Stubbs and 21-year-old pitching prospect Trevor Bauer from the Reds along with pitchers Matt Albers and Bryan Shaw from the Arizona Diamondbacks.
The Diamondbacks get shortstop Didi Gregorius from Cincinnati along with pitcher Tony Sipp and infielder Lars Anderson from the Indians.

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Star stock analyst Mahaney to lead Internet coverage at RBC

SAN FRANCISCO (Reuters) - Mark Mahaney, a top-rated Internet stock analyst who was fired from Citigroup in October after one of his staffers improperly shared research with a news website, has been hired by RBC Capital Markets.
Mahaney will oversee coverage of the Internet sector for RBC, the firm announced on Monday. RBC did not state which companies Mahaney will cover. He will be based in San Francisco.
Rated the top Internet analyst for the past five consecutive years by Institutional Investor, Mahaney is among the most well-known and respected analysts covering the online industry.
His research notes of companies including Google Inc, Amazon.com Inc and Facebook Inc, were considered must-reads among many investors, who praised his stock picks and his perspective on the fast-moving Web business.
One such report, which was being prepared ahead of the high-profile initial public offering of Facebook last year, led to Mahaney's exit from Citigroup, although Mahaney was only indirectly involved in the incident.
Mahaney failed to supervise a junior analyst who improperly shared Facebook research with the TechCrunch news website, according to a settlement that Citigroup struck with Massachusetts regulators in October.
Citigroup paid a $2 million fine to Massachusetts regulators to settle charges that the bank improperly disclosed research on Facebook ahead of its $16 billion IPO earlier in May. Last year, Reuters reported that Facebook had pre-briefed analysts for its underwriters ahead of its IPO, advising them to reduce their profit and revenue forecasts.
The settlement agreement also outlined an incident in which Mahaney failed to get approval before responding to a journalist's questions about Google - and told a Citigroup compliance staffer that the conversation had not occurred - even after being warned about unauthorized conversations with the media.
RBC said in a statement that Mahaney is "a well-known asset in the investing community and is widely-regarded as one of the most influential research analysts covering the Internet, as confirmed by our extensive due diligence." The firm declined to comment further.

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Lawyers in Ohio football rape case want trial moved

(Reuters) - Attorneys for two Ohio teenage football players accused of raping a 16-year-old student have asked that the trial be moved because potential witnesses are afraid to come forward in defense of the boys, one of the lawyers said on Monday.
Walter Madison, the attorney for one of the accused rapists, Ma'lik Richmon, said social media efforts to bring the alleged rape into the national spotlight have led to an atmosphere of intimidation and coercion.
"This has a chilling effect on witnesses who could come forward to be part of this process so my client can get a fair and full proceeding," he told Reuters. "So, we're left without the opportunity to make our case. That's pretty serious."
Richmond and Trenton Mays, both 16 and members of the Steubenville High School football team, are charged with raping a 16-year-old fellow student at a party last August.
The two students are set to be tried as juveniles in February in Steubenville, a city of 19,000 about 40 miles west of Pittsburgh.
Madison said his client's mother has had to change her cell phone number multiple times due to threats and harassment.
Last week, the online activist group Anonymous made public a picture allegedly of the rape victim, being carried by her wrists and ankles by two young men, and of a video that showed several other young men joking about an alleged assault.
Madison said that Richmond is not seen in the video.
A county sheriff under fire for how he has handled the high school rape investigation faced down a crowd of protestors on Saturday and said no new charges will be brought against anyone involved in the case.
Activists say there had been a cover-up by local officials to protect the integrity of the high school's football program.
Meanwhile, a petition to the White House calling for the two rape suspects to be tried as adults reached 25,000 signatures Monday, the threshold required to receive a response from the Obama Administration.
Moving the case to the adult court system would allow for a jury trial and a more severe penalty, the petition says.
"This is a serious offense and this needs to be an example for everyone that this type of behavior should not, and will not be tolerated in our society," it says.
The petition, created December 25, more than doubled its number of supporters overnight. It had 11,000 signatures on Sunday.
It was submitted to the White House through its online petition website, We The People. Now that it has the required 25,000 signatures, the Obama Administration will give an official statement at some point in the future. The petition has no legal impact.

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Audit of Canada native band casts cloud on protest movement

OTTAWA (Reuters) - A Canadian native band that successfully pressured the prime minister to hold a special meeting on aboriginal grievances cannot account for millions of dollars in federal funding, according to an audit that critics say was leaked to discredit a growing protest movement.
Angry native activists, fed up with poor living conditions they blame on decades of neglect from Ottawa, have blockaded rail lines and threatened to close Canada's borders with the United States in a campaign they call Idle No More.
Attawapiskat Chief Theresa Spence has been on a hunger strike for almost a month near Parliament Hill in Ottawa to demand better treatment for natives.
But the August 2012 report from accounting firm Deloitte said Spence's Attawapiskat First Nation in northern Ontario had shown "no evidence of due diligence" in accounting for how it spent federal money intended to improve housing and health. The audit was leaked to some media organizations over the weekend, and released on Monday.
A spokesman for Spence said she would address the audit on Friday when she and other aboriginal leaders will discuss social and economic issues with Conservative Prime Minister Stephen Harper. The leak was designed to discredit Spence, he added.
"They're trying to undermine the process here, the movement of the people. The people are speaking out," Danny Metatawabin told reporters.
Successive Canadian governments have for decades struggled to improve the life of natives, who want more federal money and a greater say over what happens to resources on their land.
Ottawa spends around C$11 billion ($11.1 billion) a year on an aboriginal population of 1.2 million, yet living conditions for many are poor, particularly for those on reserves with high rates of poverty, addiction, joblessness and suicide.
Critics say bands do not have to show enough evidence of how they spend the money they receive, and some groups insist on living in remote regions with few jobs or prospects.
Deloitte, which surveyed the Attawapiskat First Nation's expenditures from April 1, 2005 to Nov 30, 2011, said a probe of 505 transactions showed 81 percent of files did not have adequate supporting documents and more than 60 percent did not document the reason for payment. The band received C$109 million in federal funding over the period.
"We were unable to determine if the funds were spent for their intended purpose. There is no evidence of due diligence in the use of public funds," Deloitte said in a letter to Spence, recommending better financial controls.
"The independent audit ... speaks for itself, and we accept its conclusions and recommendations," said Jan O'Driscoll, a spokesman for federal Aboriginal Affairs Minister John Duncan.
Ontario Finance Minister Dwight Duncan, a Liberal, accused the federal government of trying to discredit aboriginal leaders. "Tough love the rallying cry of the cowards who 'leak' these 'audits'. Too much tough, not enough love, for our aboriginal brothers and sisters," he said on Twitter.
As part of the Idle No More campaign, protesters blocked a Canadian National Railway Co line in Sarnia, Ontario, in late December and early January. CN went to court to obtain an injunction on December 21, but local police did not enforce it until January 2.
The judge in the case, Justice David Brown, expressed his frustration at the failure of the police to act, saying "local police agencies cannot ignore judicial orders under the guise of contemplating how best to use their tactical discretion."
Brown granted CN another injunction on January 5 to clear a separate group of protesters blocking the main rail line from Toronto to Montreal.
Sarnia police were not immediately available for comment. A CN spokesman declined to say how much money the blockades had cost the company.
($1=$0.99 Canadian)

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US pending home sales jump to nearly a 6-year high

WASHINGTON (AP) — An index measuring the number of Americans who signed contracts to buy homes in October jumped to nearly its highest level in almost six years. Steady job gains and record-low mortgage rates have made home buying more attractive.
The National Association of Realtors said Thursday that its seasonally adjusted pending home sales index rose 5.2 percent to 104.8 in October. Excluding a few months when the index spiked because of a homebuyer tax credit, that is the highest level since March 2007.
The increase points to healthy sales increases of previously occupied homes in the months ahead. There's generally a one- to two-month lag between a signed contract and a completed sale.
The rise in sales adds to evidence of a steady housing recovery. Builders are more confident in sales and are starting construction on more homes. Home prices are rising on a consistent basis, which encourages more potential buyers to come off the sidelines and purchase homes. And more people may put their homes on the market if they gain confidence that they can sell at a good price.
The report is "another indicator suggesting that the recovery in housing has broadened and has sustained momentum," Michael Gapen, an economist at Barclays Capital, said in a note to clients.
Signed contracts jumped 15.6 percent in the Midwest and rose 5.5 percent in the South. But they fell 1.1 percent in the West and dipped 0.1 percent in the Northeast.
Superstorm Sandy lowered pending sales in the Northeast, the Realtors' group said. The West was hurt by low inventories of available homes.
Mortgage rates remained near record lows this week. The average rate on the 30-year loan was 3.32 percent, mortgage buyer Freddie Mac said, just above 3.31 percent last week, which was the lowest on records dating to 1971.
A big reason for the rebound in housing is that the excess supply of homes that built up before the housing crisis has finally thinned out. The number of previously occupied homes available for sale has fallen to a 10-year low. The inventory of new homes is also near the lowest level since 1963.
At the same time, more people are looking to buy or rent a home after living with relatives or friends during and immediately after the Great Recession.
Those trends are also pushing up home sales and construction. Sales of previously occupied homes are near five-year highs, excluding temporary spikes in 2009 and 2010 when a homebuyer tax credit boosted purchases.
Builders, meanwhile, are more optimistic that the recovery will endure. A measure of their confidence rose to the highest level in six and a half years this month. And builders broke ground on new homes and apartments at the fastest pace in more than four years last month.

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US home sales jump to highest level in 3 years

WASHINGTON (AP) — U.S. sales of previously occupied homes jumped to their highest level in three years last month, bolstered by steady job gains and record-low mortgage rates.
The National Association of Realtors said Thursday that sales rose 5.9 percent to a seasonally adjusted annual rate of 5.04 million in November. That's up from 4.76 million in October.
Previously occupied home sales are on track for their best year in five years. November's sales were the highest since November 2009, when a federal tax credit that was soon to expire spurred sales. Excluding that month, last month's sales were the highest since July 2007.
Sales are up 14.5 percent from a year ago, though they remain below the roughly 5.5 million that are consistent with a healthy market.
Job growth and low home-loan rates have helped drive purchases. Prices are also rising, which encourages more potential buyers to come off the sidelines and purchase homes. And more people may put their homes on the market if they feel confident they can sell at a good price.
In addition, the excess supply of homes that built up during the housing bubble has finally thinned out. The number of previously occupied homes available for sale fell to a 10-year low in October. The supply of new homes is also near its lowest level since 1963.
At the same time, more people are looking to buy or rent a home after living with relatives or friends during and immediately after the Great Recession.
These trends have supported a steady recovery in housing. Builder confidence rose in December for a seventh straight month to the highest level in more than 6½ years, according to a survey released Tuesday by the National Association of Home Builders/Wells Fargo.
The pace of home construction slipped in November, but it was still nearly 22 percent higher than a year earlier. Builders are on track this year to start work on the most homes in four years.
Economists note that the increase in building should lead to more construction jobs, though it hasn't yet done so. That could mean more construction hiring is coming.

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US home sales surge to highest level in 3 years

WASHINGTON (AP) — U.S. sales of previously occupied homes jumped to their highest level in three years last month, bolstered by steady job gains and record-low mortgage rates. The report was the latest sign of a sustained recovery in the housing market.
The National Association of Realtors said Thursday that sales rose 5.9 percent to a seasonally adjusted annual rate of 5.04 million in November. That's up from 4.76 million in October.
Previously occupied home sales are on track for their best year in five years. November's sales were the highest since November 2009, when a federal tax credit that was soon to expire spurred sales. Excluding that month, last month's sales were the highest since July 2007.
Sales are up 14.5 percent from a year ago, though they remain below the roughly 5.5 million that are consistent with a healthy market.
"The report is encouraging, and the positive momentum established in the housing market during 2012 appears likely to continue into 2013," Michael Gapen, an economist at Barclays Capital, said in an email.
Superstorm Sandy delayed some sales in the Northeast, the Realtors' group said. Those delayed purchases will likely close in the coming months, though the increase will be modest, the group said.
Even so, sales rose 6.9 percent in the Northeast last month compared with October. Sales increased 7.2 percent in the Midwest, 7.9 percent in the South and 0.8 percent in the West.
Job growth and low home-loan rates have helped drive purchases. Prices are also rising, which encourages more potential buyers to come off the sidelines and purchase homes. And more people may put their homes on the market if they feel confident they can sell at a good price.
In addition, the excess supply of homes that built up during the housing bubble has finally thinned out. The number of previously occupied homes available for sale fell to nearly an 11-year low in November. The supply of new homes is also near its lowest level since 1963.
At the current sales pace, it would take 4.8 months to exhaust the supply of homes for sale. That's the shortest such span since September 2005.
At the same time, more people are looking to buy or rent a home after living with relatives or friends during and immediately after the Great Recession.
As low supply and rising demand push up prices, builders will likely be encouraged to start work on more homes in coming months, economists said.
"That's a good reason to feel optimistic about housing next year," said Patrick Newport, an economist at IHS Global Insight. "We just don't have enough homes right now, and we need to start building."
Builder confidence rose in December for a seventh straight month to the highest level in more than 6½ years, according to a survey released Tuesday by the National Association of Home Builders/Wells Fargo.
The pace of home construction slipped in November, but it was still nearly 22 percent higher than a year earlier. Builders are on track this year to start work on the most homes in four years.
Economists note that the increase in building should lead to more construction jobs, though it hasn't yet done so. That could mean more construction hiring is coming.

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RG3 to have surgery on torn right knee ligament

WASHINGTON (AP) — Robert Griffin III is having surgery Wednesday on a torn ligament in his right knee — and to see if there's a second ligament that also needs to be repaired.
Baylor coach Art Briles confirmed to USA Today and The Associated Press on Tuesday night that the Washington Redskins rookie has a torn lateral collateral ligament. He said the surgery also will determine whether Griffin has damaged the ACL in that knee.
A person close to Griffin, speaking on condition of anonymity because the Redskins have not made an announcement, also confirmed the details surrounding Griffin's injury to the AP.
A torn LCL requires a rehabilitation period of several months, possibly extending into training camp and the start of next season. A torn ACL is a more severe injury, typically requiring nine to 12 months of recovery, although Minnesota Vikings running back Adrian Peterson make a remarkable return this season some eight months after tearing an ACL — and nearly broke the NFL's single-season rushing record.
Griffin tore his ACL in the same knee while playing for Baylor in the third game of the 2009 season and missed the rest of the year. He was injured on the opening drive against Northwestern State but kept playing until halftime.
Griffin came back to win the Heisman Trophy two years later, and Briles predicted a similar recovery this time.
"RG3 will be good as new, though. I know that!" Briles said in a text message to the AP.
Griffin sprained the LCL last month against the Baltimore Ravens and missed one game. He returned wearing a bulky black brace for subsequent games and reinjured the knee at least twice in Sunday's playoff loss to the Seattle Seahawks, prompting a national debate over whether coach Mike Shanahan endangered his franchise player's career by not taking him out sooner.
The Redskins said an MRI taken after the game was inconclusive, so Griffin flew to Florida on Tuesday for a more detailed examination conducted by orthopedist James Andrews. Andrews will perform the surgery Wednesday.
Griffin, the No. 2 overall pick, was one of several rookie quarterbacks to make an instant impact on the league this season. He set the NFL record for best season passer rating by a rookie QB and led the Redskins to their first NFC East title in 13 years.
But Griffin also had to leave three games early due to injuries — two because of his knee and one because of a concussion — and missed a fourth altogether because of the knee. Shanahan repeatedly said Griffin had clearance from doctors to return to play, but the coach also said he trusted Griffin's own word when deciding that the rookie should continue during Sunday's game — even though Griffin was clearly struggling after reinjuring the knee in the first quarter.
Griffin remained in the game until the fourth quarter, when he hurt the knee again while fielding a bad shotgun snap.

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Cowboys defensive coordinator Ryan not returning

ARLINGTON, Texas (AP) — Dallas defensive coordinator Rob Ryan was fired Tuesday after his injury-depleted unit struggled in a pair of season-ending losses that kept the Cowboys out of the playoffs for a third straight year.
Ryan was let go a day after running backs coach Skip Peete was fired, and less than a week after Cowboys owner Jerry Jones said things were going to get "uncomfortable" at team headquarters in nearby Irving.
"At this time, the decision has been made to move forward in a different direction philosophically on defense," Cowboys coach Jason Garrett said in a statement. "I have an immense amount of respect for Rob as a person and as a football coach."
Ryan spent two seasons with the Cowboys after he was fired two years into the same job in Cleveland. He didn't hide his displeasure over being let go by the Browns before the Cowboys played them this season. He struck a different tone Tuesday.
"I enjoyed my time here," Ryan told The Dallas Morning News. "I have no hard feelings. But it doesn't matter if I coach here or not. I will find another spot."
The Cowboys finished with four defensive starters on injured reserve, including both Sean Lee and Bruce Carter at inside linebacker — a critical position for Ryan's 3-4 scheme. A fifth starter, nose tackle Jay Ratliff, missed all but six games with ankle and groin injuries. Nickel cornerback Orlando Scandrick was sidelined the last five games with a wrist injury.
Several Dallas players reacted with surprise on Twitter.
"It was a privilege to play under Coach Rob Ryan! One of the greatest," defensive end Jason Hatcher wrote. "Sad day. I'm hurting right now."
The Cowboys finished 14th in total defense this season under Ryan, the twin brother of New York Jets coach Rex Ryan, but couldn't stop the New Orleans passing game or the Washington rushing attack when they still controlled their playoff fate in the last two weeks of the regular season.
Drew Brees threw for 446 yards and three touchdowns in a 34-31 overtime win for New Orleans. Dallas still had playoff hopes in the finale against Washington, but rookie Alfred Morris rushed for 200 yards despite quarterback Robert Griffin being limited by a right knee injury in the Redskins' 28-18 win.
The Cowboys were 19th in total defense in Ryan's first year but had one of the worst pass defenses in team history.
Following consecutive 8-8 seasons, Dallas is 128-128 since the start of 1997 season. The Cowboys have just one playoff win in that span.

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Timberwolves overcome lost Love to clip Hawks

(Reuters) - The Minnesota Timberwolves coped with the absence of head coach Rick Adelman and All Star forward Kevin Love to beat Atlanta 108-103 on Tuesday, ending a near seven-year winless run against the Hawks.
Timberwolves coach Adelman missed the game for personal reasons, while Love is out indefinitely after reinjuring his right hand last week, but the home team still had enough beat the Hawks for the first time since April 2006.
Nikola Pekovic scored 25 points and had 18 rebounds, Andrei Kirilenko added 21 for Minnesota (16-15), who had lost 11 straight to the Hawks before Tuesday's game.
"We were really motivated," Pekovic told reporters. "I think everyone wants to step up and show more."
Minnesota led 100-89 with four minutes remaining but Atlanta managed to cut the deficit to one in the final minute. Minnesota's Dante Cunningham made a crucial jump shot with 15 seconds left and the Timberwolves added free throws to put the game away.
Minnesota's Ricky Rubio returned from a four-game absence with back spasms and had eight assists in just 19 minutes of action.
Josh Smith and Louis Williams each scored 21 for the Hawks (20-13), who have lost three straight.
"If this doesn't change there's going to have to be some changes, that's plain and simple," said Hawks coach Larry Drew.
"(To) come out and not be energized to play, that's totally unacceptable."
Atlanta fell behind early, trailing by as much as 17 in the second, but they sprang to life late in the fourth, with Kyle Korver making two straight three-pointers. Al Horford had 19 and 11 rebounds in the defeat.

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FedEx: cost plan can counter sluggish growth

NEW YORK (AP) — FedEx is more pessimistic about the U.S. economy than it was three months ago, but more assured of its own ability to grow earnings.
The world's second-largest package delivery company lowered its economic forecast for the U.S., saying that there remains a lot of uncertainty for the company and the country.
Its forecast for the current quarter, which incorporates the critical holiday season, falls short of Wall Street expectations.
But FedEx maintained its forecast for the full fiscal year ending in May, counting on a massive cost reduction plan and a slightly more optimistic view of growth overseas. Shares rose 2.6 percent in afternoon trading.
FedEx Corp. posted earnings of $438 million, or $1.39 per share for the quarter that ending in November, compared with $497 million, or $1.57 per share, a year ago. That was below the $1.41 per share that Wall Street was expecting, according to a poll of analysts by FactSet.
Revenue rose to $11.1 billion from $10.6 billion previously, as the company scaled back its operation to better match demand and some of its raised rates. Analysts forecast revenue of $10.84 billion.
Growth in the company's freight and ground operations boosted results, but FedEx reported "persistent weakness" in its core express network. Operating income in that segment fell 33 percent. FedEx and its larger rival UPS Inc. have both seen consumers and businesses opt for slower shipping options to cut costs.
FedEx said on Wednesday that it expects earnings will be between $1.25 and $1.45 per share in the third quarter. Analysts that follow the company were predicting per-share earnings of $1.45.
The company, based in Memphis, Tenn., also said it expects to earn between $6.20 and $6.60 per share for the year ending in May, excluding any charges from the company's buyout plan. Wall Street is looking for $6.34.
Earlier this month FedEx said it will offer some employees up to two years pay to leave, starting next year. The voluntary program is part of an effort to cut annual costs by $1.7 billion within three years. The plan also includes cutting aircraft and underused assets.

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FedEx says it can grow by cutting costs

NEW YORK (AP) — FedEx may be pessimistic about the U.S. economy, but it's confident about growing its earnings.
The world's second-largest package delivery company, a bellwether for economic health because of the vast number and kinds of shipments it handles, lowered its economic forecast for the U.S., saying there remains a lot of uncertainty for the country.
FedEx maintained its earnings forecast for the full fiscal year ending in May, counting on a massive cost reduction plan and a slightly more optimistic view of growth overseas. Shares rose 84 cents to close at $93.20 Wednesday, even though its forecast for the current quarter, which includes the critical holiday season, falls short of Wall Street expectations.
FedEx Corp. posted earnings of $438 million, or $1.39 per share for the quarter that ended in November, compared with $497 million, or $1.57 per share, a year ago. Superstorm Sandy shaved 11 cents per share off of earnings in this year's quarter, as shipping volumes fell and costs rose.
Revenue rose to $11.1 billion from $10.6 billion a year ago, as the company scaled back its operation to better match demand and some of its raised rates.
Wall Street expected $1.41 per share in the recent quarter on revenue of $10.84 billion, according to FactSet.
Growth in the company's freight and ground operations boosted results, but FedEx reported "persistent weakness" in its core express network. Operating income in that segment fell 33 percent. FedEx and its larger rival UPS Inc. have seen consumers and businesses opt for slower shipping options to cut costs. As a result, FedEx is offering buyouts and shedding aircraft and other assets to reduce its costs and adjust to the new normal.
Earlier this month FedEx said it will offer some employees up to two years pay to leave, starting next year. The voluntary program is part of an effort to cut annual costs by $1.7 billion within three years.
FedEx said on Wednesday that it expects earnings of $1.25 to $1.45 per share in the third quarter. Analysts predicted per-share earnings of $1.45.
The company, based in Memphis, Tenn., also estimated $6.20 and $6.60 per share for the year ending in May, excluding charges from the company's buyout plan. Wall Street is looking for $6.34 per share.

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Burundi tea earnings rise 27 pct in November on high prices

UJUMBURA (Reuters) - Burundi's tea export revenues rose 27 percent in November from the same month last year thanks to a stronger regional market, a tea board official said on Thursday.
The state-run tea board (OTB) said it collected $1.80 million from the sale of 589,907 kg, up from $1.42 million earned in November 2011 from the export of 563,140 kg.
"Supplies of the commodity in the region were low following a fall in overall production, especially with Kenya," Joseph Marc Ndahigeze, OTB's export official, told Reuters.
"This has boosted prices and earnings for Burundi's tea."
Kenya is the top tea producer in the East African region and landlocked Burundi exports 80 percent of its tea through a weekly auction held in Kenya's Indian Ocean port city of Mombasa.
Ndahigeze said the export average price per kg jumped to $3.06 from $2.54 the previous year.
OTB said total export earnings between January and November reached $24.7 million, exceeding the $22.2 million collected in 2011.
Tea is Burundi's second largest hard currency earner after coffee and employs some 300,000 small holder farmers in a nation of 8 million people.

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Violence in Syria rages ahead of Assad speech

Fighting between Syrian rebels and government forces raged across the country hours before President Bashar Assad is expected to address the nation on Sunday in his first public appearance in two months, activists said.
The Britain-based Syrian Observatory for Human Rights said rebels fighting to topple the Assad regime have clashed with troops in the southern province of Daraa, the birthplace of the uprising in March 2011. Violence also raged in opposition strongholds in the suburbs of Damascus, which rebels are using as bases to assail the government's heavy defenses in the capital. The regime has responded with a withering assault including barrages by artillery and warplanes.
Assad last spoke publicly in November, vowing to Russia Today TV that he won't step down despite continued opposition to his rule and international sanctions aimed at isolating his regime. In the Nov. 8 interview, the embattled president dismissed suggestions that he will leave his country as civil war is approaching his seat of power in Damascus, saying he would "live and die in Syria."
It was not clear what new initiative, if any, Assad could announce during his speech. In each of his previous speeches and interviews, the president has dug in his heels saying his regime is fighting a war against terrorists.
Diplomatic efforts to end the Syrian crisis have failed so far to bring an end to the bloodshed, although the international community continues to push for a peaceful settlement.
The president of the U.N. Security Council said Thursday there are important developments in efforts to find a diplomatic solution to the 21-month conflict in Syria and there could be another U.S.-Russia meeting with international envoy Lakhdar Brahimi next week.
Brahimi and Russian Foreign Minister Sergey Lavrov both said after their meeting last week that the Syrian crisis can only be settled through talks, while admitting that neither the government nor the opposition has shown a desire to compromise. Neither official hinted at a possible solution that would persuade the two sides to agree to a ceasefire and sit down for talks about a political transition.
But Lavrov said Syrian President Bashar Assad has no intention of stepping down — a key opposition demand — and it would be impossible to try to persuade him otherwise. Russia is a close ally of the Syrian government, and has shielded it from punitive measures at the U.N.
The revolt started with peaceful protests but morphed into a civil war that has killed more than 60,000 people, according to a recent United Nations recent estimate.

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Syrian president says he is fighting jihadists

 Syrian President Bashar Assad says his country is being subjected to an unprecedented attack and says the conflict can only be solved through a popular movement.
Assad spoke Sunday in a rare speech addressing the nation, his first since June.
As in previous speeches, he said his forces were fighting groups of "murderous criminals" and jihadi elements and denied there was an uprising against his family's decades-long rule.
He struck a defiant tone, saying Syria will not take dictates from anyone.
He called on all Syrians to take part in an initiative that would end the nearly 22-month old conflict, but did not give any details on the plan.

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Assad outlines new Syria peace initiative

 Syrian President Bashar Assad has outlined a new peace initiative that includes a national reconciliation conference and a new constitution.
Assad, however, says the initiative can only take roots after regional and Western countries stop funding what he called militant extremists fighting to overthrow him.
Assad spoke Sunday in a rare speech addressing the nation, his first since June.
As in previous speeches, he said his forces were fighting groups of "murderous criminals" and jihadi elements and denied there was an uprising against his family's decades-long rule.
He struck a defiant tone, saying Syria will not take dictates from anyone.
His initiative is likely to be rejected by opposition forces and rebels, who insist he must step down.

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