2015 02 10 cmyk NA 04

Post on 06-May-2022

1 views 0 download

Transcript of 2015 02 10 cmyk NA 04

YELLOW

* * * * * * TUESDAY, FEBRUARY 10, 2015 ~ VOL. CCLXV NO. 33 WSJ.com HHHH $3 .00

President Barack Obama saidhe wouldn’t decide whether tosupply weapons to Ukraine untilEuropean leaders exhaust onelast diplomatic effort to resolvethe conflict there, setting asidefor now trans-Atlantic differ-ences on the best way to getRussia to relent.

Mr. Obama announced his de-cision after a White House meet-ing Monday with German Chan-cellor Angela Merkel thatfollowed days of sometimes testyexchanges between U.S. and Ger-man officials.

The two leaders acknowl-edged at a joint news conferencethat while they are united intheir demand for Russian Presi-dent Vladimir Putin to rein in the

pro-Moscow separatists in east-ern Ukraine, they differ on thebest steps to achieve that goal.

“The alliance between theUnited States and Europe willcontinue to stand, will continueto be solid, even though on cer-tain issues we may not alwaysagree,” Ms. Merkel said.

While expressing doubtsabout Mr. Putin’s willingness topursue peace, Mr. Obama sig-naled a reluctance to inject U.S.arms into the nearly year-oldconflict, which has flared againin recent weeks. The leadershave set a Wednesday deadlinefor their efforts to secure acease-fire.

Both he and Ms. Merkel em-phasized their commitment tomaintaining pressure on Russiathrough economic sanctions andstressed a deal with Mr. Putinwas possible, though far fromcertain.

PleaseturntopageA6

By Carol E. Lee andColleen McCain Nelson inWashington and AntonTroianovski in Munich

Obama Delays DecisionOnWeapons for Ukraine

In the latest sign that theseven-month selloff in crude-oilprices may be nearing a bottom,an energy watchdog said that arecovery seems “inevitable” andthe glut that has driven downprices by more than 50% sinceJune could start to ease as soonas the second half.

A wave of spending cuts byoil producers and a sharp de-cline in the number of rigs drill-ing for crude in the U.S. likely

will slow the nation’s oil-outputgrowth, spurring a rebound inprices, the International EnergyAgency said in a report releasedTuesday U.K. time. The bench-mark U.S. oil price rose 2.3% to$52.86 a barrel on Monday andis up 19% from a nearly six-yearlow hit last month.

The IEA, which coordinatesenergy policy among industrial-ized countries, is adding itsvoice to the chorus of expertswho say that the global glut isabating.

The IEA said its report,

which presents a view of the oilmarkets five years out, aims toshed light on how a recoverywill proceed, adding that a“price rebound…seems inevita-ble.”

Stabilization in oil priceswould spell relief across finan-cial markets, which have beenrocked by concerns that oil’splunge signaled softness inglobal growth. The plunge haspummeled share prices of oilproducers and currencies of oil-dependent economies.

If sustained, rising oil prices

would curb the boon U.S. con-sumers have reaped from lowergasoline prices. A spike in crudeprices could also create head-winds for a global economy al-ready struggling with fragilegrowth in some corners. Theaverage price of regular gaso-line at the pump was $2.18 agallon on Monday, according tomotor club AAA. While that isup from the nearly six-year lowof $2.03 a gallon reached on

Pleaseturntothenextpage

BY SARAH KENTAND BENOÎT FAUCON

Oil-Price Rebound PredictedGlobal Monitor Cites Spending Cuts by Crude Producers, Decline in U.S. Drilling

As Allies Rally, Obama to Ask Congress to Back Islamic State Fight

Muh

ammad

Ham

ed/R

euters

In December, representatives ofthe U.S., China and Afghanistan metfor private talks in London, thefirst time the three countries con-vened to seek ways to forge peacein Afghanistan, a senior U.S. officialsaid.

The previously undisclosed meeting, whichcame within days of a visit by the Afghan Talibanto Beijing, was a step on a path long resisted byChina, wary of the U.S. military presence in Af-ghanistan and reluctant to meddle in its neighbor’saffairs. The three countries met again last monthat an international meeting on Afghanistan in theUnited Arab Emirates, one participant said.

China’s move toward the role of mediator sig-nals a foreign policy shift in Beijing—for decades

DIPLOMATIC TEST

As U.S. Exits, ChinaTakes On Afghanistan Role

focused on domestic issues—thatcould recalibrate the geopolitics ofCentral Asia and test China’s capac-ity as a regional leader, Western of-ficials said.

“In a certain sense, they’re com-peting with the U.S. for success in

Afghanistan. They want to prove they can do itbetter,” said David Sedney, a former U.S. diplomatin Beijing and Kabul and deputy assistant secre-tary of defense for Afghanistan, Pakistan and Cen-tral Asia from 2009 to 2013.

U.S. officials declined to discuss the outcome ofthe talks. But China’s participation is seen as partof a broader diplomatic effort that began aroundthe time Chinese President Xi Jinping took power

PleaseturntopageA8

BATTLING MILITANTS: Jordan’s King Abdullah, left, arriving to welcome Bahrain’s king to Amman Monday, has pledged to widen his nation’s fightagainst Islamic State. President Obama plans to ask Congress to authorize a framework for U.S. military operations against the militant group. A12

DJIA 17729.21 g 95.08 0.5% NASDAQ 4726.01 g 0.4% NIKKEI 17711.93 À 0.4% STOXX600 370.55 g 0.7% 10-YR. TREAS. g 3/32 , yield 1.948% OIL $52.86 À $1.17 GOLD $1,240.80 À $6.90 EURO $1.1327 YEN 118.63

CONTENTSArts in Review.......... D5CFO Journal................. B7Corporate News... B2-6Global Finance............ C3Health & Wellness D1-4Heard on the Street C8

In the Markets........... C4Money & Investing C1,2Opinion..................... A9-11Sports............................. D6U.S. News................. A2-4Weather Watch........ B7World News...... A5-7,12

s Copyright 2015 Dow Jones & Company.All Rights Reserved

>

What’sNews

i i i

World-Widen The Supreme Courtcleared the way for same-sexmarriage in Alabama and sig-naled it may overturn gay-marriage bans nationwide. A1n Obama said he wouldn’tdecide whether to arm Ukraineuntil European leaders exhausta final diplomatic effort toresolve the conflict. A1n Greece said it would cancelabout a third of austerity mea-sures it agreed to, as Germanyinsisted on current terms. A5n The U.S. won’t approveanother extension of Irannuclear talks if negotiationsremain at an impasse thisspring, Obama said. A12nU.S. and allied warplanesconducted airstrikes in sup-port of Kurdish fighters in Iraqwho retook main routes intoMosul from Islamic State. A12nTheWhite House is set topropose to Congress an autho-rization for military opera-tions against Islamic State. A12nMalaysia’s top court rejectedopposition leader Anwar’s fi-nal appeal against his convic-tion on sodomy charges. A5n The Secret Service’s No. 2official is stepping down, justdays before he was set to tes-tify before Congress. A4nFed officials criticized pro-posed legislation to expandcongressional oversight of thecentral bank’s rate decisions.A2n The number of U.S. measlescases for the year has risen to121 in 17 states, the CDC said.A3

i i i

The IEA said a recovery inoil prices seems “inevita-

ble.” The energymonitor citedspending cuts by oil producersand a decline in U.S. drilling. A1 Oil drillers are weighingstrategies to deal with U.S.crude prices expected tohover around $50 a barrel. B4n Qualcomm agreed to paya $975 million fine as part ofa settlement with Chineseantitrust authorities. B1n The FHAmay ease banks’liability for mortgage errorsin an effort to encourage lend-ing to weaker borrowers. A3n U.S. stocks fell amid con-cerns about the deepeningGreek debt standoff. The Dowlost 95.08 points to 17729.21. C4nDeloitte named Cathy En-gelbert as its new CEO, makingher the first woman to head aBig Four accounting firm. C1n Inflation in China fell to afive-year low last month, likelyleading to more steps to coun-ter deflationary pressure. A7n A former HSBC employeeprovided fresh details abouthow the Swiss bank allegedlysheltered secret accounts. C3nMcDonald’s said same-store sales fell 1.8% in Janu-ary, hurt by steep declines inJapan and China. B1nMicrosoft sold $10.75 billionin debt, the largest U.S. corpo-rate-bond sale this year. C1nTrian and other investorsare raising questions aboutstock sales by DuPont’s CEO. B1

Business&Finance

By Jeremy Page inBeijing,MargheritaStancati in Kabuland Nathan Hodge

in Islamabad

DÜSSELDORF, Germany—In atest-bathroom here filled withdozens of commodes from aroundthe world, experts atconsumer-product giantHenkel AG realized theyfaced a problem. Afteryears of overuse, germ-killing material was los-ing its effectiveness.

As a way to sell toiletcleaners, that is.

For ages, marketers ofbathroom sanitationproducts tried to scareconsumers about thedangers lurking beneaththeir bottoms. Baritone announc-ers described bacteria in ominousterms. Before long, all the adsseemed similar.

So when Henkel in 2010launched its “Bref Power Balls”toilet cleaner, which hangs inside

the rim and releases cleansers aswater flows over it, the companydebated how to wow potentialbuyers, who are mainly adultwomen, according to market-sur-

vey firm Euromonitor.Their answer was ads

featuring four shirtless,studly crooners gyratingin cages resembling theproduct’s apparatus andbelting out, “Flush it,baby, flush it.”

“We decided to nothave a very bacteria-seatapproach, but to do it ina lighthearted way,” saysAnne Derbès, director ofthe company’s interna-

tional toilet care marketing divi-sion. “We wanted to make womenunderstand that toilet cleaning,this chore, is not necessarily terri-ble.”

In some spots, a wind of changehas swept through bathroommar-

keting. Ads for toilet cleaners, toi-let paper and air fresheners areflush with potty humor. Lavatorylevity is also being used to pro-mote sanitation in developingcountries.

But bathroom jokes—often thedomain of young males—could bea tough sell to their mothers andother consumers.

“After all, it’s not the kind oftopic people like to discuss,” saysJames Intriligator, professor of In-novation and Consumer Psychol-ogy at Bangor University. Toiletsstill have a strong blush-inducingeffect, he says.

In 2009, Ambi Pur, a toiletcleaning brand, ran a series of adsthat resembled perfume commer-cials, featuring a buff young mancaressing an elderly woman hold-ing a toilet brush. The tagline:“Now that’s an eau de toilette.”

A toilet-paper producer in Lis-PleaseturntopageA8

BY ELLEN EMMERENTZE JERVELL

Trying to Clean Up, Marketers Give Bathroom Humor a Goi i i

Cheeky Ads Seek to Relieve Germ Focus, but Not All Are Bowled Over

Journal ReportCybersecurity in the wake ofSony, the software of lifeand more. CIO Network, R1-6

U.S. oil drillers map strategies... B4

The U.S. Supreme Courtcleared the way Monday for gaycouples in Alabama to wed, mak-ing it the 37th state where same-sex marriages are legal and of-fering the latest signal the courtappears headed toward over-turning bans nationwide.

The high court rejected a re-quest by Alabama’s Republicanattorney general to postpone afederal judge’s ruling allowingsame-sex marriages. U.S. DistrictJudge Callie Granade ruled lastmonth that the state’s marriageban violated gay and lesbiancouples’ equal protection anddue-process rights and was un-constitutional.

The Supreme Court’s order al-lowed same-sex couples to beginmarrying in several counties inthe state and intensified a con-frontation between the federaljudiciary and the state’s chiefjustice that had evoked clashesfrom the civil-rights era.

The chief justice of the stateSupreme Court, Roy Moore, hadissued an order Sunday nightforbidding the state’s probatejudges, who oversee the issuanceof marriage licenses, from issu-ing them to same-sex couples,citing a 2006 constitutionalamendment banning gay mar-riage.

Monday’s U.S. Supreme Courtmove comes as the justices arepreparing to hear a landmarkcase this spring to decide ifsame-sex couples have a consti-tutional right to wed. Many legalobservers have speculated thatthe court’s refusal in recentmonths to stop lower-court rul-ings allowing same-sex mar-riages in several states is a signof which way the court will rule.

Pleaseturntothenextpage

BY ARIAN CAMPO-FLORESAND BRENT KENDALL

Same-SexMarriageClearsHurdle

MONEY & INVESTING | C1

Deloitte NamesFirst Female CEO

Cathy Engelbert will be the firstwoman chief executive of one ofthe Big Four accounting andconsulting firms in the U.S.

PERSONAL JOURNAL | D1

The Best AdviceIs Sometimes None

Being there for someone in thedepths of a relationship crisis takesrestraint and listening skills—and

sometimes less is more.

Inside

BryanAnselm

forTh

eWallS

treetJournal

Wealth managementasset management

asset servicing

Drive, meet direction.Mapping your financial future is a complex undertaking. With your personal goals asour guide, our Life Driven Wealth Management approach can help lead you through life’stwists and turns. To learn more, call 866-803-5857or visit northerntrust.com/drive

Advertisement

CM Y K CompositeCompositeMAGENTA CYAN BLACK

P2JW041000-6-A00100-1--------XA CL,CN,CX,DL,DM,DX,EE,EU,FL,HO,KC,MW,NC,NE,NY,PH,PN,RM,SA,SC,SL,SW,TU,WB,WEBG,BM,BP,CC,CH,CK,CP,CT,DN,DR,FW,HL,HW,KS,LA,LG,LK,MI,ML,NM,PA,PI,PV,TD,TS,UT,WO

P2JW041000-6-A00100-1--------XA