12/31/2011 (1:52 pm)

Stocks ending flat for year after big ups, downs

Filed under: banks, market |

The stock market is ending a tumultuous year right where it started.

The Standard & Poor’s 500 index closed 2011 a fraction of a point below where it started the year. The S&P closed at 1,257.60, up 5.42 points or 0.4 percent. It ended 2010 at nearly the exact same level, at 1,257.64. Its loss for the year is 0.04 point.

The Dow Jones industrial average lost 69 points, or 0.6 percent, at 12,218. The Dow is up 5.5 percent for the year. The Nasdaq composite index fell 9 points, or 0.3 percent, to 2,605. It lost 1.8 percent for the year.

McDonald’s Corp. was the biggest winner in the Dow this year with a gain of 31 percent. Bank of America Corp. was the worst, down 58 percent.

The conventional wisdom is the more risk, the greater the potential rewards. But the opposite is proving true this year: Investors playing it safe have gained the most.

The most dull and conservative of stocks _ utilities _ gained 15 percent, the largest gain of the ten industry sectors in the S&P 500 index. Other winning groups are consumer staples and health care companies, up 11 percent and 10 percent in 2011 respectively.

In Europe, many of the biggest markets ended down for the year. Britain’s FTSE 100 lost 5.6 percent, Germany’s DAX 14.7 percent.

Trading has been quiet this week with many investors away on vacation. Volume on the New York Stock Exchange has been about half of its daily average pay day loans. Markets will be closed Monday in observance of New Year’s Day.

Better news on the job market and home sales lifted stocks Thursday, pushing the Dow up 135 points. On Friday Ford reported that its sales topped 2 million this year for the first time since 2007. Ford fell 0.1 percent.

Rising and falling stocks were about even on the New York Stock Exchange. Volume was just 2.2 billion shares, about half of the recent daily average.

In other corporate news:

_ Sears Holdings Corp. fell 3 percent to $31.78 after Fitch Ratings downgraded the company’s credit rating to “junk.” Sears has plunged 30 percent this week after disclosing that it would close more than 100 Sears and Kmart stores because of weak holiday sales.

_ Diamond Foods Inc. jumped 2.4 percent to $32.27. Rumors have been circulating that the hedge fund manager David Einhorn has acquired a stake in the food company that makes Emerald Nuts.

_ AMR Corp., the parent company of American Airlines, fell 17 cents to 35 cents. The company filed for bankruptcy protection last month. Late Thursday the company said its stock would be delisted from the New York Stock Exchange next week.

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12/30/2011 (6:04 pm)

Thailand

Filed under: houses, marketing |

Thailand

12/29/2011 (4:32 am)

U.K. Seen Facing Toughest Employment Market in Two Decades, Lower Earnings - Bloomberg

Filed under: management, usa |

Britain faces the

12/25/2011 (11:40 am)

Draghi Says There

Filed under: business, technology |

+%3Cp%3EEuropean+Central+Bank+President+Mario+Draghi+said+there+is+no+%93external+savior%94+for+countries+that+don%92t+implement+structural+reforms+to+restore+confidence+to+debt+markets.+%3C%2Fp%3E+%3Cp%3E%93There+is+no+external+savior+for+a+country+that+doesn%92t+want+to+save+itself%2C%94+Draghi+said+in+a+speech+in+Berlin+today.+%93I+will+never+tire+of+saying+the+first+response+should+come+from+the+countries.%94+%3C%2Fp%3E+%3Cp%3EThe+ECB+is+buying+the+bonds+of+debt-strapped+nations+such+as+Italy+and+Spain+after+they+agreed+to+implement+austerity+measures+to+improve+their+finances.+Draghi+nevertheless+reiterated+today+that+the+ECB%92s+bond+program+is+%93neither+eternal+nor+infinite.%94+%3C%2Fp%3E+%3Cp%3EHe+said+an+%93unavoidable%94+short-term+economic+contraction+in+the+euro+area+may+be+mitigated+by+a+return+of+confidence+if+governments+implement+budget+consolidation+plans.+%3C%2Fp%3E+%3Cp%3E%93In+the+medium+term%2C+sustainable+growth+can+be+achieved+only+by+undertaking+deep+structural+reforms+that+have+been+procrastinated+for+too+long%2C%94+he+said.+%3C%2Fp%3E+Bank+Measures++%3Cp%3EWhile+the+ECB+has+pushed+back+against+calls+for+it+to+step+up+its+bond+purchases%2C+Draghi+said+measures+taken+last+week+to+give+banks+greater+access+to+liquidity+will+soon+be+felt.+%3C%2Fp%3E+%3Cp%3EOn+Dec.+8%2C+the+ECB+established+refinancing+operations+with+a+maturity+of+three+years%2C+allowed+banks+to+use+their+own+loans+as+collateral%2C+and+cut+the+required+reserves+ratio+to+1+percent+from+2+percent.+%3C%2Fp%3E+%3Cp%3E%93The+current+package+should+be+felt+tangibly+in+the+financial+sector+and+the+real+economy+over+the+coming+months%2C%94+Draghi+said.+%3C%2Fp%3E+%3Cp%3EHe+said+banks+face+%93headwinds%94+as+they+try+to+meet+new+Europe-wide+capital+ratios.+%3C%2Fp%3E+%3Cp%3E%93The+plan+to+strengthen+their+capital+bases+is+an+attempt+to+reinforce+their+standing+in+financial+markets%2C+but+this+is+not+an+easy+process%2C%94+he+said.+%93Raising+capital+levels+is+expensive+in+a+depressed+market+and+faces+resistance+from+shareholders.+Selling+assets+is+less+preferable+and+curtailing+credit+to+the+real+economy+is+even+worse.%94+%3C%2Fp%3E+%3Cp%3EBanks+should+consider+restraining+dividends+and+ad+hoc+compensation+to+strengthen+buffers%2C+Draghi+said.+%3C%2Fp%3E++%3Cp%3E%3Ca+href%3D%27http%3A%2F%2Fwww.bloomberg.com%2Fnews%2F2011-12-15%2Fdraghi-says-there-s-no-external-savior-for-euro-countries-that-fail-to-act.html%27+rel%3D%27nofollow%27%3ESource%3C%2Fa%3E%3C%2Fp%3E+

12/17/2011 (6:12 am)

Judge dismisses $1B lawsuit against Microsoft

Filed under: economics, houses |

A federal judge on Friday dismissed a Utah company’s $1 billion federal antitrust lawsuit against Microsoft Corp. after a jury failed to reach a unanimous verdict.

Novell claims Microsoft duped it into developing the once-popular WordPerfect writing program for Windows 95 only to pull the plug so Microsoft could gain market share with its own product. Novell says it was later forced to sell WordPerfect for a $1.2 billion loss.

The trial has been ongoing in Salt Lake City for two months. Jurors got the case Wednesday morning, but by Friday told the judge they were “hopelessly deadlocked.”

They had expressed confusion to the judge about the complicated case throughout deliberations, even bringing one question to the court that could not be answered. The judge told jurors to simply disregard the question.

Earlier Friday, the judge denied a request from one juror to be removed from the case.

Microsoft lawyers have argued that Novell’s loss of market share was its own doing because the company didn’t develop a compatible WordPerfect program until long after the rollout of Windows 95. WordPerfect once had nearly 50 percent of the market for word processing, but its share quickly plummeted to less than 10 percent as Microsoft’s own Office programs took hold.

Microsoft co-founder Bill Gates testified last month that he had no idea his decision to drop a tool for outside developers would sidetrack Novell. Gates said he was acting to protect Windows 95 and future versions from crashing.

Novell could have worked around the problem but failed to react quickly, he said.

Novell has argued that Gates ordered Microsoft engineers to reject WordPerfect as a Windows 95 word processing application because he feared it was too good.

Novell’s lawsuit is the last major private antitrust case to follow the settlement of a federal antitrust enforcement action against Microsoft more than eight years ago. The trial began in October in federal court in Salt Lake City.

Novell is now a wholly owned subsidiary of The Attachmate Group, the result of a merger that was completed earlier this year.

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12/14/2011 (1:04 am)

Euro crisis simmers with banks under stress

Filed under: houses, usa |

Further signs of stress emerged Tuesday to indicate that Europe’s most recent summit agreement to get the euro countries to tighten rules against excessive government spending has only made limited progress in pulling the continent out of its debt crisis.

While figures showed that Europe’s banks parked more money at the European Central Bank than they have at any other time this year, Italy’s borrowing rates traded at levels not far from those that forced Greece, Ireland and Portugal into seeking financial bailouts.

The news that overnight deposits by banks to the ECB hit a year high are a sign of distress and mistrust in the system, and come just days after the continent’s banking regulator warned that they need to raise much more capital to plug potential losses from shaky European government debt.

The ECB said banks left euro346.4 billion ($458 billion) with the ECB at a low 0.25 percent interest rate rather than lend it to other banks, indicating they were concerned they might not be paid back. That topped a previous high from Friday of euro334.9 billion.

The rise in their deposits comes in the wake of an agreement by European leaders to forge a new treaty among the 17 members of the eurozone and as many as nine other EU members to toughen rules against accumulating excessive government debts. The treaty won’t be completed until March and tries to address long-term issues, while markets are questioning governments’ ability to pay their debts in the shorter term of the next several months.

“Market sentiment remains cautious regarding the strains in European debt markets,” said Nick Bennenbroek, an analyst at Wells Fargo Bank.

Fears of default have led to elevated yields on bonds issued by Italy, the latest focus of the crisis. Yields on Italian 10-year bonds traded at an elevated 6.66 percent on Tuesday, close to the 7 percent levels that led to the bailed-countries giving up on bond market borrowing. Italy is considered too large to bail out.

Banks have also been under strain because they hold government bonds and could suffer losses in case of a default. They are also being pressed by the European Union to find money to increase their financial buffers against losses.

Shares in Germany’s Commerzbank AG fell over 5 percent Tuesday amid speculation the bank might need more government support after the European Banking Authority last week said it was euro5.3 billion short of new capital requirements. The bank has said it won’t take more government help.

Italy did manage to raise euro7 billion ($9 online cash advance.4 billion) in a bond auction Monday, though the relatively strong demand was boosted by a bank association promotion waiving fees to buy the bonds.

Investors remain worried about the future of both Italy and the wider 17-nation eurozone despite an EU deal last week to tighten controls on spending. While that deal will boost longer-term budget discipline, it does little to lower current debt and exposed deepening political division.

Last Friday’s deal also does not fix the deeper imbalances within the eurozone, such as wide gaps between countries with competitive economies and trade surpluses and those which have poor business environments that limit growth and ability to pay debt.

The impact of the agreement to work out a new debt treaty has been blunted by Britain’s decision not to join and questions about how it would be enforced. EU officials sought an accord among all 27 EU states, but Britain did not join the agreement after its request to shelter its financial services sector from what Britain considers burdensome regulation was rejected.

European Commission President Jose Manuel Barroso urged British Prime Minister David Cameron not to block EU institutions such as the European Court of Justice for supporting and helping enforce the treaty.

Barroso said “it is the European institutions that are the best guarantee that the interest of all European states, including the U.K., will be fully respected.”

There are other potential hitches. Through the new intergovernmental treaty, the participating countries can agree to go beyond the rules in the current EU Treaty _ but can’t sign up to new rules that contradict existing ones.

That is set to cause problems for one of the central summit decisions _ creating more automatic sanctions for budget sinners.

Under the current EU Treaty, the European Commission can declare a country to be in excessive deficit _ a move that forces the country to spell out in detail how it will bring down its deficit and debt or face sanctions _ only if a qualified majority of EU countries agree.

The summit decisions aim to simplify this procedure, by giving the commission the right to declare a state to have an excessive deficit unless a qualified majority of countries vote against it.

__

Steinhauser contributed from Brussels. Frances D’Emilio contributed from Rome.

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12/07/2011 (11:36 am)

Shoppers say ‘ho-hum’ not ‘ho-ho-ho’ to sales

Filed under: Loans, online |

Sale, schmale.

Used to be, customers would come running when stores cut prices. But these days, more Americans are becoming blase about bargains.

Jennifer Beasley recently left a Toys R Us in Cary, N.C., unimpressed by the retailer’s offers that day of 50 percent discounts on things like a $150 Sylvania tablet computer and a $45 My Baby Alive Doll.

“The sales just aren’t as good this year,” says Beasley, 30, who has three children. “It’s almost not worth getting up.”

People have been shopping more than ever this holiday season, largely because of a flood of sales. But Americans have become so used to deep discounts that they expect each sale to be bigger and better than the last. That means retailers will likely have to keep slashing prices, which could hurt their bottom line.

“I think they’re going to have to continue to do the kind of `come on’ pricing that you saw on Black Friday,” or the day after Thanksgiving, says Alison Paul, head of consulting firm Deloitte’s U.S. retail practice.

Merchants already are rolling out big holiday sales. The Body Shop is letting customers spin a wheel of chance to win different discounts, including offers of “buy three, get three.” The Gap is selling many of its pajamas, kids’ hoodies and men’s cardigans for 50 percent off. And Target has Barbie, Thomas the Tank Engine and many of its other toy brands for “buy one, get one half off.”

But shoppers are yawning at deals that once excited them.

“The ads and the sales _ I think it’s all hype,” says Karen Finch of Gresham, Ore., who is waiting to buy a tablet for her son until closer to Christmas Day because she thinks the discounts on Amazon.com _ 48 percent off a $500 Blackberry version, for instance _ aren’t good enough. “There’s no substance.”

To be sure, consumers’ perceptions of deals don’t always jibe with reality. Most retailers decline to discuss their pricing strategy because of competitive reasons, but research by analysts at Jefferies & Co. and other firms found that many deals this year are as good as _ if not better than _ last year’s.

For instance, American Eagle offered 40 percent off everything all day on Black Friday _ better than the 20 percent off until noon that it offered for the past two years, according to Jefferies analysts. The average discount at Best Buy on Black Friday was almost 45 percent, up from about 34 percent last year. The average discount at Wal-Mart was about 47 percent, better than last year’s average of 43 percent.

And anyway, what shoppers say and do often are two different things. Consumers told Deloitte in September that they planned to spend about 5 percent less on Christmas this year. But the reality so far is different: Americans spent $52.4 billion over the Thanksgiving holiday weekend, the highest total ever recorded for that period and 16 percent greater than last year, according to the National Retail Federation.

“You can’t always listen to what they say,” says Allen Adamson, managing director at the branding company Landor Associates. “What counts is what they do at checkout.”

Indeed, Atty Zschau of Portland, Ore., has been disappointed with the holiday sales she’s seen so far this year. But instead of going home empty-handed on Black Friday, she shelled out $800 _ full price _ for a Dell laptop that will be shared among her family.

“We’re normally `deal’ people,” says Zschau, an acupuncturist. But, “All the stuff that was on sale was not what we wanted.”

The discontent with discounts comes at a time when many Americans are struggling with job losses and stagnant wages. Many shoppers simply have less money to spend this holiday season: The median U.S. household income was $49,445 last year, down from $50,303 two years before.

And deals just don’t seem as good if the iPad tablet computer you want is still outside of your budget. A $1,000 TV marked down 20 percent might seem like a good deal for a shopper who has $800 to spend. But it’s not such a fab find for someone with only $700 in his pocket.

“Discounts are supposed to mean, `I can get it,’” says Michael Norton, a Harvard Business School professor specializing in consumer psychology. “So if you can’t get it, it doesn’t feel like a very good discount.”

Cost-conscious shoppers also have a long memory about the better sales they’ve seen in the last few years, says Alison Jatlow Levy, retail strategist with consulting firm Kurt Salmon. For instance, teen retailer Aeropostale offered discounts on Black Friday of 50 percent off everything and another 20 percent off until mid-afternoon. But that may not have been enough for Aeropostale shoppers who remember that the chain slashed prices up to 70 percent all day in previous years.

“Customers probably remember that last year things were 60 percent off, and this year maybe they’re only 25 or 40 percent off,” Levy says of some store discounts. “But those things probably weren’t 60 percent off until closer to Christmas.”

Rebecca Walden of Birmingham, Ala., learned that lesson the hard way. Last year, she and her husband stayed up late on Thanksgiving night buying Christmas gifts online for their daughter, who was then one-years-old. They were patting themselves on the back about the discounts of 10 to 20 percent off they got on toys like a rocking horse, a play kitchen and a set of 150 building blocks. That is, until they found many of those same items on sale for half off later in the season.

Walden, 33, decided not to repeat that mistake. So she’s done virtually none of her Christmas shopping yet. She’s waiting it out for a deal on a few items, like a sale on a Wiggles guitar, which generally runs at least $65.

“I’m not convinced they’ve hit rock-bottom prices yet and Christmas is still several weeks away,” Walden says. “I think the phrase is `playing chicken.’”

____

Sarah Skidmore reported from Portland, Ore. Christina Rexrode reported from New York.

Follow AP retail coverage at http://www.twitter.com/AP_Retail.

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12/02/2011 (1:48 pm)

After tent cities fade, Occupy turns to specifics

Filed under: market, online |

For more than two months, they were open-air communes where people came to rebuild society and start a nationwide discussion on how to close the wide gap between the rich and the poor. But as Occupy Wall Street tent cities fade away, a growing number of protesters are pushing to put a clear message ahead of the movement.

Alan Collinge has his list ready _ return bankruptcy protection to student loans. Bring back regulations that were removed from the Glass-Steagall Act. End corporate personhood.

“They should come up with a short term list of no brainer agenda items,” said Collinge, wearing a huge sign in the rain at New York’s Zuccotti Park calling for student loan reforms.

More than a dozen other protesters interviewed by The Associated Press also came up with a wish list of specifics to address what they say is corporate greed and economic inequality. The list of demands ranged from the simple _ get corporate money out of politics _ to the ethereal (make sure Washington politicians act with a moral conscience).

Asking Occupy protesters what, exactly, they would do to reform government and the financial system is a loaded question and a source of internal conflict. Collinge, 41, of Tacoma, Wash., said he has unsuccessfully lobbied Occupy’s general assembly meetings in New York to develop a strong platform, but has been rebuffed.

“A lot of people, they think that this should be sort of a catchall” for every issue, he said, the goal being to expose the economic problems in the country, not solve them.

Other cities’ movements have held meetings of committees with titles like “cohesive messaging” to discuss strategy, but haven’t agreed on listing specifics as a movement. The greater purpose isn’t to influence the government or the financial system through classic demands, but to foster broad cultural changes that will gradually empower people to stop depending on big corporations and Wall Street money.

“All the energy has gone into an outcry over economic conditions, with the hope that others will join us and pick up issues they care about,” says Bill Dobbs, press liaison for Occupy Wall Street in New York. “Our best hope is inspiring other people to take action to bring economic justice.”

Some observers and experts predict that Occupy groups may spend the next few months focusing on smaller actions while waiting for the summer when the Republican and Democratic conventions would give Occupiers a world-wide audience.

But ask around, and protesters who spent weeks living in encampments and talking about the country’s woes have a clear idea of what they want.

A number have called for limiting campaign donations and getting big money out of politics. Some Occupy members want to limit the amount of money a person is allowed to give a politician. Others want to ban corporate donations specifically, or the number of campaign ads.

“How did Abraham Lincoln ever become president without a television set?” asked Ryan Peterson, an entertainment company worker from Chicago who lived for weeks in Zuccotti Park. Paul Lemaire, a 20-year-old visual arts student from Brooklyn, wants the two-party system eliminated.

The influence of money in politics is one of the greatest factors behind the gap between the superrich and the poor, said James Parrott, chief economist at the Fiscal Policy Institute in New York, which published a report last year on economic disparity. It shows “that they’re very focused in understanding the root causes” of the country’s economic issues, he said.

The call for tighter regulation of campaign contributions won’t gain traction anytime soon. The Supreme Court, in its landmark Citizens United decision in January 2010, cleared the way for corporations to spend unlimited funds to influence elections, often using money from anonymous donors paperless payday loans. The court struck down most of the so-called McCain-Feingold law that had set tight restrictions on such donations, arguing that government did not have the right to regulate political speech.

Campaign regulation, stopping wars that strain resources, halting corporate personhood _ the spending power given to corporations in the 2010 Supreme Court ruling _ and addressing higher education costs have emerged as key goals of the Occupy movement in Los Angeles. Organizers say they are now focusing on sharpening their objectives, as police moved in to shut down the two-month-old encampment this week.

“We’ve been collecting ideas, seeing what the priorities are, vetting and researching them,” said activist Suzanne O’Keeffe, a member of Occupy LA’s Demands & Objectives Committee.

Los Angeles member Mario Brito said the movement plans to pressure elected and bank officials for a moratorium on foreclosures, and said members would “occupy” bank lobbies, boardrooms and executives’ homes to force the action.

In Minneapolis, five members of the Occupy MN “Cohesive Messaging Committee” gathered to talk strategy this week at a downtown coffee shop, asking that people attending recent General Assembly meetings fill out cards expressing broad themes that were important to them. The group entered the cards into a spreadsheet and found economic justice, democracy, education and campaign finance reform as the common themes.

Collinge, an aerospace engineer who later founded a website about problems with student loans, lists the congressional bill he wants passed to return bankruptcy protections to student loans. The Depression-Era Glass-Steagall Act, which separated commercial banking from investment banking, is another named law cited at the top of protesters’ demands in cities across the country. Most of the restrictions that regulated the two forms of banking were repealed in 1999, and are blamed by many economists for contributing to the financial crisis in 2007.

Kalle Lasn, the co-founder of Adbusters, the Canadian magazine that helped ignite the Occupy movement, supports a 1 percent global “Robin Hood” tax on big financial transactions. Similar taxes and increases have been proposed for years, including the Obama administration’s “financial crisis responsibility fee” tax proposal of last year, intended to raise $90 billion over the next decade.

As individual protesters and movements fashion a platform, experts and organizers warned that defining the movement more broadly keeps everyone in and keeps responsibility in the hands of the power brokers.

“They’ve achieved a lot by having the open ended process that they’ve had so far,” said Parrott, the Fiscal Policy Institute’s chief economist. “They should be selective in that there are some people who are trying to glom onto the stage that they’ve created” with ideas that aren’t part of the main movement.

Will Birney, who left his job as a waiter in Westport, Ct., to join Occupy’s New York movement, has one wish, although it can’t be passed into law or regulated by the Treasury Department.

“I would instill a fair conscience, if people could look to morality,” said Birney, 26.

He knows he’s reaching, but says that’s the point of the movement.

“I’m not even thinking we’re going to get concrete solutions out of this,” he said. “All I want is a change.”

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11/29/2011 (9:40 am)

Blacks hit hard by government job cuts

Filed under: mortgage, term |

Don Buckley lost his job driving a Chicago Transit Authority bus almost two years ago and has been looking for work ever since, even as other municipal bus drivers around the country are being laid off.

At 34, Buckley, his two daughters and his fiancĂ©e have moved into the basement of his mother’s house same day payday loans. He has had to delay his marriage, and his entire savings, $27,000, is gone.

“I was the kind of person who put away for a rainy day,” he said recently. “It’s flooding now.”

Buckley is one of tens of thousands of once solidly middle-class African-American government workers

11/27/2011 (7:40 pm)

Egyptian protests, violence overshadow elections

Filed under: banks, term |

Fresh clashes between security forces and Egyptian protesters demanding the military step down broke out Saturday in front of the Cabinet building, leaving one man dead, as violence threatened to overshadow next week’s parliamentary elections.

Meanwhile, Field Marshal Hussein Tantawi, the head of the ruling military council that took power after Hosni Mubarak was ousted in February, met separately with opposition leader and Nobel Peace laureate Mohamed ElBaradei and presidential hopeful Amr Moussa, who was the former head of the Arab League. Egyptian state TV reported the meetings but gave no details.

The new prime minister, whose appointment by the military on Friday touched off a wave of anger among protesters accusing the army of trying to perpetuate the old regime, also held a series of meetings trying to sway youth groups to his side.

State TV said Prime Minister Kamal el-Ganzouri, who is unpopular in part because he served under Mubarak, offered Cabinet positions and is pondering the formation of an advisory council to be composed of leading democracy advocates and presidential hopefuls.

The suggestion however failed to disperse the protesters, with nearly 10,000 packing into Cairo’s central Tahrir Square as organizers called for another mass rally on Sunday.

Twenty-four protest groups, including two political parties, have announced they are creating their own “national salvation” government to be headed by ElBaradei with deputies from across the political spectrum to which they demanded the military hand over power.

ElBaradei said in a statement that he would be willing to form a such a government to manage the country’s transition, and that if he were officially asked to put a government together, he would give up the idea of running for president in order to focus on the current phase of transition.

Outside the Cabinet building, hundreds of protesters set up camp, spending the night in blankets and tents to prevent the 78-year-old el-Ganzouri from entering to take up his new post. Early Saturday, they clashed with security forces who allegedly tried to disperse them.

An Associated Press cameraman saw three police troop carriers and an armored vehicle firing tear gas as they were being chased from the site by rock-throwing protesters.

The man who was killed was run over by one of the vehicles, but there were conflicting accounts about the circumstances surrounding the death.

The Interior Ministry expressed regret for the death of the protester, identified as Ahmed Serour, and said it was an accident. Police didn’t intend to storm the sit-in but were merely heading to the Interior Ministry headquarters, located behind the Cabinet building, when they came under attack by angry protesters throwing firebombs, it said in a statement. The ministry claimed security forces were injured and the driver of one of the vehicles panicked and ran over the protester.

One of the demonstrators, Mohammed Zaghloul, 21, said he saw six security vehicles heading to their site.

“It became very tense, rock throwing started and the police cars were driving like crazy,” he said. “Police threw one tear gas canister and all of a sudden we saw our people carrying the body of a man who was bleeding really badly.”

Officials say more than 40 people have been killed across the country since Nov. 19, when the unrest began after a small sit-in by protesters injured during the 18-day uprising that ousted Mubarak was violently broken up by security forces. That sparked days of clashes, which ended with a truce on Thursday. It wasn’t clear whether the melee on Saturday was an isolated incident or part of fresh violence by security forces trying to clear the way for the new prime minister, and protesters frustrated by what they believe are the military’s efforts to perpetuate the old regime.

“El-Ganzouri was pulled out of his grave. He was a dead man,” said a 39-year-old employee Ahmad Anas as chants against the head of the military council filled the air outside the Cabinet building: “Tantawi and el-Ganzouri are choking me.” A banner hanging over the building gates read: “closed until execution of field marshal.”

El-Ganzouri served as prime minister under Mubarak between 1996 and 1999. His name has been associated with failed mega projects including Toshka, an ambitious and expensive scheme to divert Nile water at the southern tip of Egypt to create a second Nile Valley. The project has cost billions and barely gotten off the ground.

The military’s appointment of el-Ganzouri, along with its apology for the death of protesters and a series of partial concessions in the past two days suggest that the generals are struggling to overcome the most serious challenge to their nine-month rule, with fewer options now available to them.

Hala al-Kousy, a 37-year-protester, vowed that protesters will not leave the square until the Supreme Council of the Armed Forces, the formal name of the military’s ruling council, gives up power.

“They are willing to wait and so are we,” al-Kousy said.

Egypt’s first parliamentary elections since Mubarak was replaced by the military council are slated to begin Monday. The vote, which the generals say will be held on schedule despite the unrest, is now seen by many activists and protesters to be serving the military’s efforts to project an image of itself as the nation’s saviors and true democrats.

However, boycotting elections is a hard choice for many youth groups who rose up against Mubarak’s autocratic regime in hopes of ushering in democracy, fair and free elections. Others have been engaged in awareness campaigns or are fielding candidates. Many said that even if they vote, they will continue their sit-in.

Mohammed el-Qassas, one of the founders of The Egyptian Current party, which was born out of the revolution, described the general atmosphere, as “saddening,” but said he will vote just to “put my voice in the ballot.”

A member of another youth group, Injy Hamdi, 27, said “we will all go to the ballot boxes, vote and then come back to the square.”

Mohammed Abdel-Moneim, 38, said the protesters would not allow any election tampering, allegedly widespread during the past regime.

“We protect the ballot boxes with our bodies and lives if we have to. We fought hard for this right to vote,” he said.

The next parliament is expected to be dominated by the country’s most organized political force, the Muslim Brotherhood. The group decided to boycott the ongoing protests to keep from doing anything that could derail the election. However, the outcome of the vote is likely to be seen as flawed given the growing unrest and the suspension by many candidates of their campaigns in solidarity with the protesters.

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