Category: News

  • Blumenthal campaign on the Q poll: “Dick is taking nothing for granted”

    Repeating a phrase that has become the campaign mantra, Blumenthal spokeswoman Maura Downes said the campaign takes nothing for granted, not even with a 25 percentage point lead over Republican Linda McMahon.

    “The people of Connecticut know they can count on Dick Blumenthal to stand up for them against even the toughest opponents, and that’s what he’ll do in the U.S. Senate,” Downes said in an email. “Dick is taking nothing for granted in this race — he is focused on listening to people on the issues that matter most to them, like jobs and the economy, and working hard to earn their support.”

     

  • Attorney Tony Buzbee: Don’t Believe A Word BP Said In Congress (BP, RIG, HAL, DRQ, TTI, CAM)

    tony buzbee

    Houston lawyer Tony Buzbee wants you to ignore BP’s handshaking and humble taking of responsibility for the oil spill.

    “BP is a liar, has been a liar for many years,” says the oil rig bloodhound. “Until the checks in the bank and it’s cleared, i wouldn’t take their word that they’ll pay for anything. They will play semantic games, say ‘we’ll pay for all damage’ or ‘all legitimate damage,’ but they always qualify so later they can say ‘we don’t consider that legitimate damage’ or ‘we don’t consider that damage.’”

    There was evidence of semantic games in the hearing when BP spokesperson Darryl Willis at first took responsibility for all oil spill damages, and then refused — under repeated questions — to take confirm or deny liability for damage from chemical dispersants.

    Another problem for BP will be attacks from other defendants.

    Although BP and Transocean are somewhat cordial, a Halliburton spokesperson launched into BP at today’s hearing. Halliburton needs to attack the oil company, Buzbee explains, because Halliburton must indemnify [is contractually obligated to pay] any damages to Transocean. Halliburton couldn’t sue Transocean without suing itself, so they will aim all guns at BP.

    “I’m looking to get the largest verdict in the history of the United States,” Buzbee said.

    Buzbee anticipates this case making its way to the Supreme Court. With scores of evidence against the Deepwater companies already, the attorney thinks he can increase the 1-to-1 ratio for punitive damages established in Exxon Valdez.

    Don’t Miss: Nausea-Inducing Pictures Of Oil Entering The Marsh

    Disclosure: The author owns shares in BP and Transocean.

    Join the conversation about this story »

  • Facebook Launches Android SDK

    Today, Facebook is releasing its first official SDK for Android, offering developers on Google’s mobile OS an easy way to tie their Android native apps to Facebook Platform. As AllFacebook noted last week, this SDK is actually more advanced than the iPhone SDK because it features Facebook’s Graph API, which was unveiled at its f8 developer conference last month.

    According to the post on Facebook’s Developer blog, the SDK also uses OAuth 2.0 for authentication and the ability to publish stories to Facebook using Feed forms.

    I spoke with Facebook’s Steven Soneff about the SDK at Google I/O last week, where Facebook was offering a developer preview. Soneff said that there have been ways to integrate Facebook into Android applications before now, but that these have really been hacked together from the iPhone SDK, and weren’t officially supported by Facebook.

    Hopefully this is a sign that Facebook is taking Android a bit more seriously. Facebook’s iPhone SDK launched over a year ago. And the official Facebook application for Android has always felt inferior to the iPhone version — it has been improving, but it still has a ways to go.
    [crunchbase url=”http://www.crunchbase.com/company/facebook,http://www.crunchbase.com/product/android” name=”Facebook,Android”]


  • Fox news anchors: “We can’t trust BP”

    Five weeks into the worst environmental catastrophe in the history of the United States, even the right-wing Fox networks are turning on BP, the foreign oil behemoth responsible for the undersea oil volcano now fouling the shores of Louisiana.  Brad Johnson has the story in this TP repost.

    On Monday, Fox News anchor Shepard Smith challenged top White House adviser David Axelrod why the administration continues to trust BP, whose CEO Tony Hayward bet the disaster will have a “very very modest” impact on the Gulf of Mexico, claimed BP had “contained” the spill, and complained that Americans are too litigious:

    And this is the chief executive of the company that’s in charge of cleaning up this disaster now? Who calls us litigious? Who makes comments about the comparative volume of oil and then says the environmental impact is very minimal? And this is the guy we as Americans are supposed to entrust with the largest ecological disaster in American history? Tony Hayward?

    On Wednesday, Fox Business Network anchor Liz Claman interviewed John Williams, executive director of the Southern Shrimper Alliance, whose industry is threatened with extinction by the millions of gallons of dispersed oil contaminating the Gulf Coast. Claman noted that “we can’t trust BP”:

    I think one thing we do know is that we can’t trust BP with information at this point. They were the ones, absolutely, you’re correct, who said, “Oh, don’t worry, the oil will not reach the beaches.” Oh, come on!

    Watch a compilation:

    This righteous anger at big oil is a remarkable turnaround for the networks that lied about the oil spills caused by Hurricane Katrina, deny the threat of oil pollution to the planet, and shilled for offshore drilling during the “Drill, Baby, Drill” summer of 2008.

    Update: Various media outlets are reporting that BP’s “top kill” procedure has apparently halted the flow of oil and gas from the well.
    Think Progress repost by Brad Johnson.
  • Still No Schedule For The Most Crucial Stage Of “Top Kill”: The Cement Pour

    The cement stage of the “Top Kill” operation has no time frame, and its engineers are standing by as the mud team has yet to give them the go, according to The Oil Drum’s tweets.

    Right now, the time frame may be within the next couple of hours, but The Oil Drum cannot confirm those details.

    Bloomberg Television showed off a cool touch-screen presentation explaining “Top Kill” earlier, including the transition to the all important cement stage.

    Don’t Miss: Nausea-Inducing Photos Of Oil Entering The Marshes

    Join the conversation about this story »

  • Hollywood Park Race 7 Horse Racing Betting Pick Thursday 5-27-10

    Our free horse racing play for Thursday will come from the 7th race at Hollywood Park.

    The 7th is an optional $25,000 claiming event for Cal Breds three year olds and upward running 1 1/16th of a mile on the Hollywood Park turf course.

    With our free pick we will play on #3 Forthreeforeuclid to win.

    The seventh race at Hollywood Park is scheduled for a post time of 7:07PM Eastern Time and you can watch it on TVG.

    Forthreeforeuclid will be ridden by Rafael Bejarano and is trained by Doug O’Neill.

    This three year old colt is coming off a closing second place finish last time out going 1 mile in a straight Allowance race across town. He produced a field high 92 Beyer in that effort.

    He has produced two wins and a second in 4 tries this year.

    Bejarano has produced 33 victories at this current meet and the drop in class gets Forthreeforeuclid in the winners circle today.

    Play #3 Forthreeforeuclid to win race 7 at Hollywood Park 7-2 on the Morning Line.

    Post Time at 7:07PM Eastern Time televised by TVG

    Courtesy of Tonys Picks

  • Chick-fil-a hot wrap, anyone?

    Hot wrap with sweet potato fries

    Hot wrap with sweet potato fries

    After sampling the new Spicy Chicken sandwich at Chick-fil-a headquarters yesterday, the company’s vice president of brand development, Woody Faulk, escorted me and a colleague from the newspaper to a conference room, where he presented a dozen new products currently in research and development. Some are further along than others, so the chances of seeing these products — even in a test-market situation — are variable.

    For instance, the company currently serves three varieties of “cool wrap” made with cold chicken strips and garnishes. But one day we may see this hot wrap filled with fresh chicken strips, lettuce, tomato and cheese. On the side: some very tasty shoestring sweet potato fries. Yet this product isn’t as far along in the testing and development as some others, so we’ll have to wait.

    photo 4But here are some items that customers may see sooner than later:

    • Flavored iced teas and lemonade: On the right is a snapshot of peach tea: a mixture …
  • What is Memorial Day?

    Memorial Day is a federal holiday in the United States where the U.S. men and women who have died while in military service are being honored. It is scheduled and observed annually on the last Monday of May, and this year it will fall on May 31, 2010.

    On a message from LtCol Oliver North, he stated that Memorial Day is a time to remember America’s freedom that was secured by Soldiers, Sailors, Airmen, Guardsmen and Marines who bravely risked their lives in the service of the country. Throughout the history, he said, many of these heroes have made a sacrifice – the ultimate sacrifice. This day is the time to honor their memory.



    On May 36, 1986, President Ronald Reagan said on a speech at Arlington Cemetery that Memorial Day is the day that we put aside in order to remember the fallen heroes and to remember the ’splendor’ of the country and those of the country’s children who rest in that cemetery and others.

    Countless people observe this holiday by visiting cemeteries and memorials of those who passed away while fighting for the country. A tradition of flying the flag of the United States is held at half-staff from dawn until noon local time.

    Related posts:

    1. May 26th is the Start of The 2010 Fleet Week
    2. Shore up! Today is Arbor Day!
    3. Survivor: Heroes vs. Villains – Survivor 2010

  • Speed Of Sound: The X51A Waverider

    speed of soundThis is definetely something cool you should know. An experimental aircraft named the X51a Waverider is set to break the record for hypersonic flight. At an astonishing speed of more than three times at Mach 6. Its unbelievable six times faster than sound travels.

    Speed of sound, thats what the x51a waverider is. It was released Wednesday morning from a B-52 Stratofortress off southern California coast. According to the Air Force, on their website, they wrote about speed of sound and that it accelerated the monster to Mach 6, and according to sources it flew autonomously for 200 seconds after it finally gave in and slowly lost acceleration. This whole test had stopped when the x51a started to loose acceleration.

    The last record for a hypersonic scramjet was 12 seconds and what the Air Force had to say was this:

    “We are ecstatic to have accomplished many of the X-51A test points during its first hypersonic mission,” said Charlie Brink, an X-51A program manager with the Air Force Research Laboratory at Wright-Patterson Air Force Base, Ohio.

    “We equate this leap in engine technology as equivalent to the post-World War II jump from propeller-driven aircraft to jet engines,” Brink said.

    Its amazing how technology advances and everything becomes better. But at this point i think its better if we keep our feet on the ground. What do you think of the new x 51a waverider that goes beyond the speed of sound?

    Related posts:

    1. F.C.C. Releases Free Internet Speed Test Tool at www.broadband.gov
    2. A New Faster Router CRS-3 Announced by Cisco!
    3. Air Force Launches X-37B Space Plane

  • Reply to article from Dr. Roy Spencer: Interview With A Global Warming Skeptic: Dr. Roy Spencer by Cameron J English

    Article Tags: Reply To Article, Roy Spencer

    We posted the article Interview With A Global Warming Skeptic: Dr. Roy Spencer by Cameron J English from scientificblogging.com. Cameron has now posted the follow up from Dr. Roy Spencer as there was some criticism made to the interview.

    We thank Cameron for sending in this additional article for us to display at this site.

    Are Clouds The Main Cause Of Climate Change? by Cameron J English

    Two weeks ago, I interviewed Dr. Roy Spencer from the University of Alabama, Huntsville. Spencer is a trained atmospheric scientist and actively publishes in peer-reviewed journals – he is also a global warming skeptic. Given his background and contrarian views, I asked Spencer what evidence there is to suggest that a majority of the climate science community is wrong about global warming.

    Read in full with comments »   


  • Evo 4G’s front-facing camera shoots images in reverse

    Notice anything unusual in this picture? (Besides the obvious, of course — I didn’t do a thing with my hair today.) That’s right, the front-facing 1.3MP camera on the Sprint HTC Evo 4G records things backward, at the moment. (Our pal Andrew from Androinica broke the news in a much cooler test.)

    As to if and when it’ll be fixed, we caught up with HTC, which told us the following: "We are looking into whether this is strictly a software issue, if, and how soon it can be corrected." Let’s hope it’s sooner rather than later. I’m not getting any prettier up there.

    This is a post by Android Central. It is sponsored by the Android Central Accessories Store

  • Google Buzz for Mobile Now Works on All Android Handsets

    Google has announced today that their Google Buzz service is now available on all Android handsets.  Up until now Buzz was only available to users with 2.0 or higher.  While this might not be the same as having a handy widget available on your desktop, it’s a big step forward.  Simply point your Android phone to buzz.google.com and you’re off!  View streams of buzz posts, post messages and comments, and more.

    Might We Suggest…


  • Hedge Funds Don't Deserve a Special Tax Break

    Normally, jobs bills don’t raise the ire of Wall Street. But these aren’t normal times.

    The $150 billion Senate stimulus bill that extends unemployment insurance and multiple tax cuts will try to recoup some of that money taxing hedge fund managers — not by raising the income tax, but by applying the income tax.

    Private equity and hedge fund managers tend to get paid according to what’s known as the principle of 2 and 20. They charge 2% annual fees for managing the portfolio of assets, and they collect 20% of the fund’s annual profits.

    There’s nothing strange about this arrangement. It makes sense to align managers’ financial interests with their clients’. There is something strange about the way the government taxes these revenue streams. The 2% fees are considered income, so they’re taxed up to the 35% marginal rate. The 20% profit returns are considered capital gains, so they’re taxed at the long-term capital gains rate of 15%.

    This amounts to quite the tax break for private equity managers. Their primary source of income is taxed at half rate as long-term capital gains, even if the managers’ own capital contributed little or nothing to the gains.*

    The Senate stimulus provision would tax three-quarters of this carried interest as income, bringing in billions of dollars to pay for unemployment benefits and COBRA extensions for the poor. Wrangling over the bill has come to resemble a crucible of class warfare. We’re taxing the rich to pay the poor jobless. From a political standpoint, that’s the point.

    From a policy standpoint, it’s confusing the debate by making senators sound like Robin Hood wannabes rather than sound policy architects. The carried interest loophole has long had critics from across the political spectrum, and Warren Buffet famously rails against it. It’s symptomatic of a financial industry that has cleverly learned to build its revenue streams around rules and taxes and defended the existing rules and taxes with aggressive lobbying.

    Hedge fund managers aren’t evil, they’re just playing by a different set of rules. This is a loophole worth closing.
    _________
    *As Chuck Marr at CBPP notes, “there’s no logical reason why a leveraged buyout (LBO)
    specialist at a private equity firm should be taxed differently than a
    mergers and acquisitions expert at an investment bank (who pays as much
    as 35 percent in taxes), since both people are doing basically the same
    kind of work.”





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  • “Sex And The City 2″ Cocktails: A Step-By-Step Guide

    The reviews are bad enough to make you pivot for the exit in your favorite Manolos, nonetheless moviegoers will be packing midnight showings of Sex And The City 2 in their best Carrie Bradshaw outfits. On the eve of the chick flick’s eagerly-anticipated opening, mixologist Gage Cass teaches us how to make the new Sex cocktails that are already causing a stir among devoted fans of the franchise.

    Anyone planning to check out the movie this Memorial Day weekend?

    Instructions For Making Sex And The City 2 Cocktails:

    The Glamour Gal:

    2 oz Skyy vodka
    0.5 oz Fresh lemon juice
    0.5oz Fresh lime juice
    0.5 oz Simple syrup or 1 tsp. sugar
    Drop of Creme de Cassis

    Rim a martini glass with Creme de Cassis and sugar. Combine all ingredients in a cocktail shaker with ice. Shake vigorously and strain into the martini glass. Finish the cocktail with a drop of Creme de Cassis on top.

    To rim the martini glass, first dip rim of glass in a shallow dish filled with Creme de Cassis and immediately place rim in another shallow dish with sugar, rotating the glass to ensure the whole rim is covered.

    The Mr. Manhattan:

    2 oz Skyy Infusions cherry vodka
    0.5 Wild Turkey 101 bourbon
    0.75 oz Cola

    Combine Skyy Infusions cherry vodka, Wild Turkey bourbon and cola in a cocktail shaker with ice and stir. Pour into a double rocks glass and garnish with maraschino cherry….


  • Rove finally admits Bush really blew it during Katrina

    Today in the Wall Street Journal, Karl Rove pens an op-ed titled: “Yes, the Gulf Spill is Obama’s Katrina.” He predictably places blame on Obama for a supposedly inadequate response to the BP oil spill. But the real significance of the op-ed is not what conservative-strategist Rove has to say about Obama; rather, it’s that Rove is implicitly acknowledging that Bush screwed up the response to Katrina. Rove is essentially trying to make the case that Obama mismanaged a disaster almost as terribly as he and Bush did.  TP explains why this op-ed is news, but not the way Rove thinks.

    This is breaking news because, for years, despite all the evidence to the contrary, Rove has defended his administration’s disastrous response to Hurricane Katrina. As recently as March, Rove told ABC News:

    The federal government’s responsibilities were met under Katrina which were to provide the immediate assistance, to pluck people off of the roofs.

    And in his recently released memoir, Rove “staunchly defends” Bush’s handling of the disaster, and praises former FEMA administrator Michael “Heck of a job, Brownie” Brown.

    It’s refreshing to see Rove finally concede his own failures, albeit in a roundabout way. After all, it was he who “was in charge” of the botched reconstruction effort. In his book, Rove touted, “I’m one of the people responsible” for the administration’s response to Katrina.

    Rove’s analysis would be sharper if he noted that “Obama’s Katrina” actually highlights some very real Bush and Cheney failures. By filling the Minerals Management Service — the government agency responsible for regulating off shore oil drilling — with industry shills who took drugs and had sex with the officials they were supposed to be policing, the Bush administration dangerously eroded the regulatory regime, and missed warnings that could have helped prevent the BP disaster.

    Reposted from Think Progress.

    JR:  I would add that in the case of Katrina, the Bush administration ignored its own administration’s weather forecasts for days.   In the case of the spill, the reverse is true.  BP basically misled everybody about the size of the spill — by a factor of 5 — and hence their ability to control it.  It was NOAA — which is to say the Obama administration — that realized BP was lowballing the leak, that the problem was beyond the company’s resources, and that much broader action was needed (see “Looks like BP stands for Burning Petroleum; worst spill since ExxonValdez heads for LA coast“).

  • Taco Bell To Begin Plaguing The Bowels Of England This Summer

    The people of England may need to upgrade their plumbing — Taco Bell is coming to the UK later this summer.

    As part of parent company Yum Brands’ plan to increase their foothold in Jolly Ol’ England, it is attempting to slowly insinuate the not-exactly-Mexican taco chain into the fast food fabric there. Yum has already expanded the numbers of their KFC and Pizza Hut stores in the UK in recent months.

    “This is a major step in our international expansion, and Lakeside is just the start of our plans in this country,” said Nick Dawson, general manager, Taco Bell UK and Europe.

    In the late ’80s, Yum made an unsuccessful bid to bring Taco Bell to England, opening up four eateries, all of which closed within a few years.

    But, pointing out that the market for Mexican food in the UK has increased by 9% in just the last two years, Yum thinks the timing is right for a Taco Bell invasion.

    “UK consumers are looking for choice and value for money,” said Mr Dawson. “Taco Bell, whose offerings are priced between 79p and £3, offers both.”

    Taco Bell to open in the UK [FT.com]

  • BlackBerry Partners Fund Expands To China With $100 Million To Burn


    Blackberry Curve

    The BlackBerry Partners Fund has expanded to China with a $100 million fund through a new joint venture with China Broadband Capital Partners, a four-year-old investment firm.

    The two companies said The BlackBerry Partners Fund China will invest exclusively in opportunities supporting “the emerging mobile ecosystem in China,” which is considered the world’s largest mobile market. The fund is expected to officially close at the end of August.

    No word on whether the Chinese start-ups must have a BlackBerry component or not, but it likely won’t be a requirement. Back in May 2008, the original $150 million BlackBerry Partners Fund was launched for the purpose of investing in mobile applications and services for BlackBerry and other mobile platforms.


  • Mazda3 replaces Honda Civic as best-selling passenger car in Canada

    2010 Mazdaspeed3

    The Mazda3 has replaced the Honda Civic has the best-selling passenger car in Canada. The model was the best-selling passenger-car in April and is also the top-selling car of the year so far. As for the light-truck side, the Ford F-Series holds on to its top spot.

    Click here for our review of the 2010 Mazda3.

    While Chrysler Canada put out a huge push to increase sales of the Dodge Ram, the F-Series still remains on top by a wide margin. However, Ram pickup sales were up 87.8 percent in April and are up almost 90 percent for 2010.

    Ford’s F-Series was up 24.7 percent while GM’s GMC Sierra and Chevrolet Sivlerado were up almost 25 percent and 23 percent, respectively.

    All around, commercial-use vehicles were up 25.1 percent so far this year.

    Click here for our review of the 2010 Mazdaspeed3.

    Review: 2010 Mazdaspeed3:

    All Photos Copyright © 2010 Omar Rana – egmCarTech.

    – By: Kap Shah

    Source: The Global and Mail


  • Obama on BP oil spill: “I’m fully engaged.” Press conference transcript

    Transcript courtesy of Federal News Service…..

    PRESS CONFERENCE WITH PRESIDENT BARACK OBAMA SUBJECTS INCLUDING GULF OIL SPILL, IMMIGRATION, AFGHANISTAN

    THE WHITE HOUSE, WASHINGTON, D.C.
    12:50 P.M. EDT, THURSDAY, MAY 27, 2010

    PRESIDENT OBAMA: Good afternoon, everybody.

    Before I take your questions, I want to update the American people on the status of the BP oil spill, a catastrophe that is causing tremendous hardship in the Gulf Coast, damaging a precious ecosystem, and one that led to the death of 11 workers who lost their lives in the initial explosion.

    Yesterday the federal government gave BP approval to move forward with a procedure known as a top kill, to try to stop the leak. This involves plugging the well with densely packed mud to prevent any more oil from escaping. And given the complexity of this procedure and the depth of the leak, this procedure offers no guarantee of success; but we’re exploring any reasonable strategies to try and save the Gulf from a spill that may otherwise last until the relief wells are finished, and that’s a process that could take months.

    The American people should know that from the moment this disaster began, the federal government has been in charge of the response effort. As far as I’m concerned, BP is responsible for this horrific disaster, and we will hold them fully accountable on behalf of the United States as well as the people and communities victimized by this tragedy.

    We will demand that they pay every dime they owe for the damage they’ve done and the painful losses that they’ve caused. And we will continue to take full advantage of the unique technology and expertise they have to help stop this leak.

    But make no mistake: BP is operating at our direction. Every key decision and action they take must be approved by us in advance. I’ve designated Admiral Thad Allen, who has nearly four decades of experience responding to such disasters, as the national incident commander. And if he orders BP to do something to respond to this disaster, they are legally bound to do it.

    So, for example, when they said they would drill one relief well to stem this leak, we demanded a backup and ordered them to drill two. And they are in the process of drilling two.

    As we devise strategies to try and stop this leak, we’re also relying on the brightest minds and most advanced technology in the world. We’re relying on a team of scientists and engineers from our own national laboratories and from many other nations, a team led by our Energy secretary and Nobel-Prize-winning physicist, Steven Chu. And we’re relying on experts who’ve actually dealt with oil spills from across the globe, though none this challenging.

    The federal government is also directing the effort to contain and clean up the damage from the spill, which is now the largest effort of its kind in U.S. history. In this case, the federal, state and local governments have the resources and expertise to play an even more direct role in the response effort. And I will be discussing this further when I make my second trip to Louisiana tomorrow.

    But so far we have about 20,000 people in the region who are working around the clock to contain and clean up this oil. We have activated about 1,400 members of the National Guard in four states. We have the Coast Guard on site. We have more than 1,300 vessels assisting in the containment and cleanup efforts.

    We’ve deployed over 3 million feet of total boom to stop the oil from coming onshore. And today, more than 100,000 feet of boom is being surged to Louisiana parishes that are facing the greatest risk from the oil.

    So we’ll continue to do whatever is necessary to protect and restore the Gulf Coast. For example, Admiral Allen just announced that we’re moving forward with a section of Governor Jindal’s barrier- island proposal that could help stop oil from coming ashore. It will be built in an area that is most at risk and where the work can be most quickly completed.

    We’re also doing whatever it takes to help the men and women whose livelihoods have been disrupted and even destroyed by this spill — everyone from fishermen to restaurant and hotel owners. So far, the Small Business Administration has approved loans and allowed many small businesses to defer existing loan payments. At our insistence, BP is paying economic-injury claims. And we’ll make sure that, when all is said and done, the victims of this disaster will get the relief that they are owed. We’re not going to abandon our fellow citizens. We’ll help them recover, and we will help them rebuild.

    And in the meantime, I should also say that Americans can help by continuing to visit the communities and beaches of the Gulf Coast. I was talking to the governors just a couple of days ago, and they wanted me to remind everybody that, except for three beaches in Louisiana, all of the Gulf’s beaches are open, they are safe and they are clean.

    Now, as we continue our response effort, we’re also moving quickly on steps to ensure that a catastrophe like this never happens again. I’ve said before that producing oil here in America is an essential part of our overall energy strategy. But all drilling must be safe. In recent months, I’ve spoken about the dangers of too much — I’ve heard people speaking about the dangers of too much government regulation. And I think we can all acknowledge there have been times in history when the government has overreached.

    But in this instance, the oil industry’s cozy and sometimes corrupt relationship with government regulators meant little or no regulation at all.

    When Secretary Salazar took office, he found a Minerals and Management Service that has been plagued by corruption for years. This was the agency charged with not only providing permits but also enforcing laws governing oil drilling. And the corruption was underscored by a recent inspector general’s report that covered activity which occurred prior to 2007, a report that can only be described as appalling. And Secretary Salazar immediately took steps to clean up that corruption.

    But this oil spill has made clear that more reforms are needed. For years there’s been a scandalously close relationship between oil companies and the agency that regulates them. That’s why we’ve decided to separate the people who permit the drilling from those who regulate and ensure the safety of the drilling.

    I also announced that no new permits for drilling new wells will go forward until a 30-day safety and environmental review was conducted. That review is now complete. Its initial recommendations include aggressive new operating standards and requirements for offshore energy companies, which we will put in place.

    Additionally, after reading the report’s recommendations with Secretary Salazar and other members of my administration, we’re going to be ordering the following the actions.

    First, we will suspend the planned exploration of two locations off the coast of Alaska.

    Second, we will cancel the pending lease sale in the Gulf of Mexico and the proposed lease sale off the coast of Virginia.

    Third, we will continue the existing moratorium and suspend the issuance of new permits to drill new deepwater wells for six months.

    And four, we will suspend action on 33 deepwater exploratory wells currently being drilled in the Gulf of Mexico.

    What’s also been made clear from this disaster is that for years, the oil and gas industry has leveraged such power that they have effectively been allowed to regulate themselves.

    One example: Under current law, the Interior Department has only 30 days to review an exploration plan submitted by an oil company. That leaves no time for the appropriate environmental review. The result is, they’re continually waived.

    And this is just one example of a law that was tailored by the industry to serve their needs instead of the public’s. The Congress needs to address these issues as soon as possible. And my administration will work with them to do so.

    Still, preventing such a catastrophe in the future will require further study and deeper reform. That’s why last Friday, I also signed an executive order establishing the National Commission on the BP Deepwater Horizon Oil Spill and Offshore Drilling.

    While there are a number of ongoing investigations including an independent review the National Academy of Engineering, the purpose of this commission is to consider both the root causes of the disaster and offer options on what safety and environmental precautions are necessary.

    If the laws on our books are inadequate to prevent such a spill, or if we did not enforce those laws, then I want to know. I want to know what worked and what didn’t work, in our response to the disaster, and where oversight of the oil and gas industry broke down.

    Let me make one final point. More than anything else, this economic and environmental tragedy, and it’s a tragedy, underscores the urgent need for this nation to develop clean, renewable sources of energy.

    Doing so will not only reduce threats to our environment. It will create a new homegrown American industry that can lead to countless new businesses and new jobs.

    We’ve talked about doing this for decades, and we’ve made significant strides over the last year when it comes to investing in renewable energy and energy efficiency. The House of Representatives has already passed a bill that would finally jump-start a permanent transition to a clean-energy economy. And there is currently a plan in the Senate, a plan that was developed with ideas from Democrats and Republicans, that would achieve the same goal.

    If nothing else, this disaster should serve as a wake-up call that it’s time to move forward on this legislation. It’s time to accelerate the competition with countries like China who’ve already realized the future lies in renewable energy. And it’s time to seize that future ourselves. So I call on Democrats and Republicans in Congress, working with my administration, to answer this challenge once and for all.

    And I’ll close by saying this. This oil spill is an unprecedented disaster. The fact that the source of the leak is a mile under the surface where no human being can go has made it enormously difficult to stop. But we are relying on every resource and every idea, every expert and every bit of technology, to work to stop it. We will take ideas from anywhere, but we are going to stop it.

    And I know that doesn’t lessen the enormous sense of anger and frustration felt by people on the Gulf and so many Americans. Every day I see this leak continue, I am angry and frustrated as well. I realize that this entire response effort will continue to be filtered through the typical prism of politics. But that’s not what I care about right now. What I care about right now is the containment of this disaster and the health and safety and livelihoods of our neighbors in the Gulf Coast. And for as long as it takes, I intend to use the full force of the federal government to protect our fellow citizens and the place where they live. I can assure you of that.

    All right. I’m going to take some questions. I’m going to start with Jennifer Loven.

    Q Thank you, Mr. President. This is on, right?

    PRESIDENT OBAMA: Yeah.

    Q You just said that the federal government is in charge, and officials in your administration have said this repeatedly. Yet how do you explain that we’re more than five weeks into this crisis and that BP is not always doing as you’re asking; for example, with the type of dispersant that’s being used?

    And if I might add one more: To the many people in the Gulf who, as you said, are angry and frustrated and feel somewhat abandoned, what do you say about whether your personal involvement, your personal engagement, has been as much as it should be, either privately or publicly?

    PRESIDENT OBAMA: Well, I’ll take the second question first, if you don’t mind. The day that the rig collapsed and fell to the bottom of the ocean, I had my team in the Oval Office that first day. Those who think that we were either slow on our response or lacked urgency don’t know the facts. This has been our highest priority since this crisis occurred.

    Personally, I’m briefed every day, and have probably had more meetings on this issue than just about any issue since we did our Afghan review. And we understood from day one the potential enormity of this crisis, and acted accordingly.

    So when it comes to the moment this crisis occurred moving forward, this entire White House and this entire federal government has been singularly focused on how do we stop the leak and how do we prevent and mitigate the damage to our coastlines.

    The challenge we have is that we have not seen a leak like this before. And so people are going to be frustrated until it stops, and I understand that. And if you’re living on the coasts and you see this sludge coming at you, you’re going to be continually upset. And from your perspective, the response is going to be continually inadequate until it actually stops. And that’s entirely appropriate, and understandable. But from Thad Allen, our national incident coordinator, through, you know, the most junior member of the Coast Guard, or the under — under — undersecretary of NOAA, or any of the agencies under my charge, they understand this is the single most important thing that we have to get right.

    Now, with respect to the relationship between our government and BP, the United States government has always been in charge of making sure that the response is appropriate. BP, under the Oil Pollution Act of 1990, is considered the responsible party, which basically means they’ve got to pay for everything that’s done to both stop the leak and mitigate the damage. They do so under our supervision, and any major decision that they make has to be done under the approval of Thad Allen, the national incident coordinator.

    So this notion that somehow the federal government is sitting on the sidelines and for the last three or four or five weeks we’ve just been letting BP make a whole bunch of decisions is simply not true.

    What is true is that when it comes to stopping the leak down below, the federal government does not possess superior technology to BP.

    This is something, by the way — going back to my involvement, two or three days after this happened, we had a meeting down in the Situation Room, in which I specifically asked Bob Gates and Mike Mullen, what assets do we have that could potentially help, that BP or other oil companies around the world do not have? We do not have superior technology, when it comes to dealing with this particular crisis.

    Now, one of the legitimate questions that I think needs to be asked is, should the federal government have such capacity? And that’s part of what the role of the commission is going to be, is to take a look and say, do we make sure that a consortium of oil companies pay for specific technology, to deal with this kind of incident when it happens?

    Should that response team that’s effective be under the direct charge of the United States government or a private entity? But for now, BP has the best technology, along with the other oil companies, when it comes to actually capping the well down there.

    Now, when it comes to what’s happening on the surface, we’ve been much more involved in the in situ burns, in the skimming. Those have been happening more or less under our direction. And we feel comfortable about many of the steps that have been taken. There have been areas where there have been disagreements. I’ll give you two examples.

    Initially on this top kill, you know, there were questions in terms of how effective it could be. But also what were the risks involved? Because we’re operating at such a pressurized level, a mile underwater, and at such frigid temperatures that the reactions of various compounds and various approaches had to be calibrated very carefully.

    That’s when I sent Steven Chu down, the secretary of Energy, and he brought together a team — basically, a brain trust, some of the smartest folks we have at the national labs and in academia — to essentially serve as a oversight board with BP engineers and scientists in making calculations about how much mud could you pour down, how fast, without risking potentially the whole thing blowing.

    So in that situation, you’ve got the federal government directly overseeing what BP is doing, and Thad Allen is giving authorization when finally we feel comfortable that the risks of attempting a top kill, for example, are — are sufficiently reduced that it needs to be tried.

    I already mentioned the second example, which is, they wanted to drill one relief well. The experience has been that when you drill one relief well, potentially, you keep on missing the mark. And so it’s important to have two to maximize the speed and effectiveness of a relief well.

    And right now Thad Allen’s down there because I think he and — it’s his view that some of the allocation of boom or other efforts to protect shorelines hasn’t been as nimble as it needs to be. And he said so publicly. And so he will be making sure that in fact the resources to protect the shorelines are there immediately.

    But here — here’s the broad point. There has never been a point during this crisis in which this administration, up and down the line, in all these agencies, hasn’t, number one, understood this was my top priority — getting this stopped and then mitigating the damage — and number two, understanding that if BP wasn’t doing what our best options were, we were fully empowered to instruct them to tell them to do something different.

    And so if you take a look at what’s transpired over the last four to five weeks, there may be areas where there have been disagreements, for example, on dispersants. And these are complicated issues. But overall, the decisions that have been made have been reflective of the best science that we’ve got, the best expert opinion that we have, and have been weighing various risks and various options to allocate our resources in such a way that we can get this fixed as quickly as possible.

    Okay. Jake Tapper.

    Q Thanks, Mr. President.

    PRESIDENT OBAMA: Yeah.

    Q You say that everything that could be done is being done. But there are those in the region and those industry experts who say that’s not true. Governor Jindal obviously had this proposal for a barrier. They say that if that had been approved when they first asked for it, they would have 10 miles up already. There are fishermen down there who want to work, who want to help, haven’t been trained, haven’t been told to go do so. There are industry experts who say that they’re surprised that tankers haven’t been sent out there to vacuum, as was done in ’93 outside Saudi Arabia. And then, of course, there’s the fact that there are 17 countries that have offered to help, and the — it’s only been accepted from two countries, Norway and Mexico.

    How can you say that everything that can be done is being done, with all these experts and all these officials saying that’s not true?

    PRESIDENT OBAMA: Well, let me distinguish between — if the question is, Jake, are we doing everything perfectly out there, then the answer is, absolutely not.

    We can always do better. If the question is, are we, each time there is an idea, evaluating it and making a decision is this the best option that we have right now based on how quickly we can stop this leak and how much damage can we mitigate, then the answer is yes.

    So let’s take the example of Governor Jindal’s barrier islands idea. When I met with him when I was down there two weeks ago, I said I will make sure that our team immediately reviews this idea, that the Army Corps of Engineers is looking at the feasibility of it; and if they think — if they tell me that this is the best approach to dealing with this problem, then we’re going to move quickly to execute. If they have a disagreement with Governor Jindal’s experts as to whether this would be effective or not, whether it was going to be cost-effective given the other things that needed to be done, then we’ll sit down and try to figure that out.

    And that essentially is what happened, which is why today you saw an announcement where, from the Army Corps’ perspective, there were some areas where this might work, but there are some areas where it would be counterproductive and not a good use of resources.

    So the point is, on each of these points that you just mentioned, that the job of our response team is to say, okay, if 17 countries have offered equipment and help, let’s evaluate what they’ve offered, how fast can it get here, is it actually going to be redundant or will it actually add to the overall effort — because in some cases more may not actually be better; and decisions have been made, based on the best information available, that says here’s what we need right now; it may be that a week from now or two weeks from now or a month from now, the offers from some of those countries might be more effectively utilized.

    Now, it’s going to be entirely possible in a operation this large that mistakes are made, judgments prove to be wrong; that people say in retrospect, you know, if we could have done that or we did that, this might have turned out differently — although in a lot of cases, it may be speculation.

    But the point that I was addressing from Jennifer was, does this administration maintain a constant sense of urgency about this? And are we examining every recommendation, and every idea is out there, and making our best judgment as to whether these are the right steps to take, based on the best experts that we know of?

    And on that answer, the answer is yes. Or on that question, the answer is yes.

    Chuck Todd.

    Q I just want to follow up on the question, as it has to do with the relationship between the government and BP. It seems that you’ve made the case on the technical issues.

    But onshore, Admiral Allen admitted the other day in a White House briefing that they needed to be pushed harder. Senator Mary Landrieu this morning said, it’s not clear who’s in charge, that the government should be in charge.

    Why not ask BP to simply step aside on the onshore stuff, make it an entirely government thing? Obviously BP pays for it. But why not ask them to just completely step aside on that front?

    And then also can you respond to all the comparisons that people are making about this with yourself?

    PRESIDENT OBAMA: Well, the — I’ll take your second question first.

    I’ll leave it to you guys to make those comparisons and make — and make — and make judgments on it, because — because what I’m spending my time thinking about is, how do we solve the problem?

    And when the problem is solved and people look back and do an assessment of all the various decisions that were made, I think people can make a historical judgment. And I’m confident that people are going to look back and say that this administration was on top of what was an unprecedented crisis.

    In terms of shoreline protection, the way this thing has been set up, under the oil spill act of 1990 — Oil Pollution Act — is that BP has contracts with a whole bunch of contractors on file, in the event that there’s an oil spill. And as soon as the Deep Horizon (sic) well went down, then their job is to activate those and start paying them. So a big chunk of the 20,000 who are already down there are being paid by BP.

    The Coast Guard’s job is to approve and authorize whatever BP is doing. Now, what Admiral Allen said today, and the reason he’s down there today, is that if BP’s contractors are not moving as nimbly, as effectively, as they need to be, then it is already the power of the federal government to redirect those resources; I guess the point being that the Coast Guard and our military are potentially already in charge, as long as we’ve got good information and we are making the right decisions. And if there are mistakes that are being made right now, we’ve got the power to correct those decisions.

    We don’t have to necessarily reconfigure the setup down there. What we do have to make sure of is, is that on each and every one of the decisions that are being made about what beaches to protect, what’s going to happen with these marshes, if we build a barrier island how’s this going to have an impact on the ecology of the area over the long term — in each of those decisions, we’ve got to get it right.

    Q (Off mike) — you understand the credibility of these teams seems to be so bad that folks on — (off mike) — there’s almost no — (off mike)?

    PRESIDENT OBAMA: Right. I understand. And — and part of the purpose of this press conference is to explain to the folks down in the Gulf that ultimately it is our folks down there who are responsible. If they’re not satisfied with something that’s happening, then they need to let us know, and we will immediately question BP and ask them, why isn’t XYZ happening?

    And those skimmers, those boats, that boom, the people who are out there collecting some of the oil that’s already hit shore, they can be moved and redirected at any point. And — and so understandably people are frustrated, because, look, this is a big mess coming to shore. And even if we’ve got a perfect organizational structure, spots are going to be missed. Oil’s going to go to places that maybe somebody thinks it could have been prevented from going. There’s going to be damage that is heartbreaking to see. People’s livelihoods are going to be affected in painful ways. The best thing for us to do is to make sure that every decision about how we’re allocating the resources that we’ve got is being made based on the best expert advice that’s available.

    So I’ll — I’ll take one last stab at this, Chuck. The problem I don’t think is that BP is off running around doing whatever it wants and nobody’s minding the store. Inevitably, in something this big, there are going to be places where things fall short. But I want everybody to understand today that our teams are authorized to direct BP, in the same way that they’d be authorized to direct those same teams if they were technically being paid by the federal government.

    In either circumstance, we’ve got the authority that we need; we’ve just got to make sure that we’re exercising it effectively.

    All right. Steve — (inaudible surname).

    Q (Off mike.) (Soft laughter.)

    Q (Off mike) — me.

    Q Thank you, sir. On April 21st, Admiral Allen tells us, the government started dispatching equipment rapidly to the Gulf, and you just said, on day one, you recognized the enormity of the situation.

    Yet here we are, 39, 40 days later. You’re still having to rush more equipment, more boom. There are still areas of the coast unprotected. Why is it taking so long? And did you really act from day one for a worst-case scenario?

    PRESIDENT OBAMA: We did. Part of the problem you’ve got is — let’s take the example of boom. The way the plans have been developed — and I’m not an expert on this, but this is as it’s been explained to me — pre-deploying boom would have been the right thing to do, making sure that there’s boom right there in the region at various spots where you could anticipate if there was a spill of this size, the boom would be right there, ready to grab.

    Unfortunately, that wasn’t always the case. And so, you know, this goes back to something that Jake asked earlier. When it comes to the response since the crisis happened, I am very confident that the federal government has acted consistently with a sense of urgency.

    When it comes to prior to this accident happening, I think there was a lack of anticipating what the worst-case scenarios would — would be, and that’s a problem.

    And part of that problem was lodged in MMS and the way that that agency was structured. That was the agency in charge of providing permitting and making decisions in terms of where drilling could take place, but also in charge of enforcing the safety provisions. And as I indicated before, the IG report — the inspector general’s report that came out was scathing in terms of the problems there.

    And when Ken Salazar came in, he cleaned a lot of that up; but more needed to be done and more needs to be done, which is part of the reason why he separated out the permitting function from the functions that involve enforcing the various safety regulations. But I think on a whole bunch of fronts, you had a complacency when it came to what happens in the worst-case scenario.

    I’ll give you another example, because this is something that some of you have written about, the question of how is it that oil companies kept on getting environmental waivers in getting their permits approved.

    Well, it turns out that the way the process works, first of all there is a thorough environmental review as to whether a certain portion of the Gulf should be leased or not. That’s a thoroughgoing environmental evaluation. Then the overall lease is broken up into segments for individual leases, and again there’s an environmental review that’s done.

    But when it comes to a specific company with its exploration plan in that one particular area — you know, they’re going to drill right here in this spot — Congress mandated that only 30 days could be allocated before a yes-or-no answer was given. That was by law. So MS — MMS’s hands were tied.

    And as a consequence, what became the habit predating my administration was, you just automatically gave the environmental waiver because you couldn’t complete an environmental study in 30 days.

    So what you’ve got is a whole bunch of aspects to how oversight was exercised, in deepwater drilling, that were very problematic. And that’s why it’s so important that this commission moves forward and examines, from soup to nuts, why did this happen? How should this proceed in a safe, effective manner? What’s required when it comes to worst-case scenarios, to prevent something like this from happening?

    I continue to believe that oil production is important, domestic oil production is important. But I also believe, we can’t do this stuff if we don’t have confidence that we can prevent crises from — like this from happening again.

    And it’s going to take some time for the experts to make those determinations. And as I said, in the meantime, I think it’s appropriate that we keep in place the moratorium that — that I’ve already issued.

    Okay, Chip Reid.

    Q Thank you, Mr. President.

    First of all, Elizabeth Birnbaum resigned today. Did she resign? Was she fired? Was she forced out? And if so, why? And should other heads roll as we go on here?

    Secondly with regard to the Minerals Management Service, Secretary Salazar yesterday basically blamed the Bush administration for the cozy relationship there.

    And you seemed to suggest that when you spoke in the Rose Garden a few weeks ago when you said, for too long, a decade or more — most of those years, of course, the Bush administration — there’s been a cozy relationship between the oil companies and federal agency that permits them to drill.

    But you knew as soon as you came in, and Secretary Salazar did, about this cozy relationship. But you continued to give permits — some of them under questionable circumstances. Is it fair to blame the Bush administration? Don’t you deserve some of that?

    PRESIDENT OBAMA: Well — well, let — let me just make the point that I made earlier, which is, Salazar came in and started cleaning house, but the culture had not fully changed in MMS. And absolutely, I take responsibility for that. There — there wasn’t sufficient urgency in terms of the pace of how those changes needed to take place.

    There is no evidence that some of the corrupt practices that had taken place earlier took place under the current administration’s watch, but a culture in which oil companies were able to get what they wanted, without sufficient oversight and regulation, that was a real problem. Some of it was constraints of the law, as I just mentioned. But we should have busted through those constraints.

    Now, with respect to Ms. Birnbaum, I found out about her resignation today. Ken Salazar had been in testimony throughout the day, so I don’t know the circumstances in which this occurred.

    I can tell you what I’ve said to Ken Salazar, which is that we have to make sure, if we are going forward with domestic oil production, that the federal agency charged with overseeing its safety and security is operating at the highest level. And I want people in there who are operating at the highest level, and aren’t making excuses when things break down, but are intent on fixing them. And I am confident that Ken Salazar can do that.

    Q And his job is (safe ?)?

    PRESIDENT OBAMA: Yes.

    Julianna.

    Q Thank you, Mr. President. We’re learning today that the oil has been gushing as much as five times the initial estimates. What does that tell you and the American people the — about the extent to which BP can be trusted on any of the information that it’s providing, whether the events leading up to this spill, any of their information?

    PRESIDENT OBAMA: Right. Well, BP’s interests are aligned with the public interest to the extent that they want to get this well capped. It’s bad for their business; it’s bad for their bottom line. They’re going to be paying a lot of damages, and we’ll be staying on them about that.

    So I think it’s fair to say that they want this thing capped as badly as anybody does. And they want to minimize the damage as much as they can.

    I think it is a legitimate concern to question whether BP’s interests in being fully forthcoming about the extent of the damage is aligned with the public interest. I mean, they — their interest may be to minimize the damage and, to the extent that they have better information than anybody else, to not be fully forthcoming.

    So my attitude is, we have to verify whatever it is they say about the damage.

    This is an area, by the way, where I do think our efforts fell short. And I’m not contradictoring (sic) my prior point that people were working as hard as they could and doing the best that they could on this front. But I do believe that, when the initial estimates came, that there were — it was 5,000 barrels spilling into the ocean per day.

    That was based on satellite imagery and satellite data that would give a rough calculation.

    At that point, BP already had a camera down there but wasn’t fully forthcoming in terms of what did those pictures look like, and when you set it up in time lapse photography, experts could then make a more accurate determination.

    The administration pushed them to release it, but they should have pushed them sooner. I mean, I think that it took too long for us to stand up our flow tracking group that — that has now made these more accurate ranges of calculation.

    Now keep in mind that that didn’t change what our response was. As I said from the start, we understood that this could be really bad. We’re hoping for the best but preparing for the worst.

    And so there aren’t steps that we would have taken in terms of trying to cap the well or skimming the surface or the in situ burns or preparing to make sure when this stuff hit shore that we could minimize the damage. All those steps would have been the same even if we had information that this flow was coming out faster.

    And eventually we would have gotten better information because by law the federal government, if it’s going to be charging BP for the damage that it causes, is going to have to do the best possible assessment.

    But there was a lag of several weeks that I think — that I think shouldn’t have happened.

    Okay. Helen Thomas.

    Q Mr. President, when are you going to get out of Afghanistan? Why are we continuing to kill and die there? What is the real excuse? And don’t give us this Bushism, if we don’t go there, they’ll all come here.

    PRESIDENT OBAMA: Well, Helen, the reason we originally went to Afghanistan was because that was the base from which attacks were launched that killed 3,000 people —

    Q That’s not what — (off mike).

    PRESIDENT OBAMA: And — I’m — I’m going to get to your question, I promise. But I just want to remind people we went there because the Taliban was harboring al Qaeda, which had launched an attack that killed 3,000 Americans. Al Qaeda escaped capture, and they set up in the border regions between Pakistan and Afghanistan. Al Qaeda has affiliates that not only provide them safe harbor but increasingly are willing to conduct their own terrorist operations, initially in Afghanistan and in Pakistan, but increasingly directed against Western targets, and targets of our allies as well.

    So it is absolutely critical that we dismantle that network of extremists that are willing to attack us. And they are currently —

    Q (Off mike) — to us?

    PRESIDENT OBAMA: Oh — well, they absolutely are a threat to us. They’re a significant threat to us. I wouldn’t be deploying young men and women into harm’s way if I didn’t think that they were an absolute threat to us.

    Now, General McChrystal’s strategy, which I think is the right one, is that we are going to clear out Taliban strongholds; we are going to strengthen the capacity of the Afghan military; and we are going to get them stood up in a way that allows us then to start drawing down our troops but continuing to provide support for Afghan — in its effort to create a stable government.

    It is a difficult process. At the same time, we’ve also got to work with Pakistan so that they are more effective partners in dealing with the extremists that are within their borders.

    And it is a big, messy process, but we are making progress in part because the young men and women under General McChrystal’s supervision, as well as our coalition partners, are making enormous sacrifices, but also on the civilian side we’re starting to make progress in terms of building capacity that will allow us then to draw down within an effective partner.

    Okay. Jackie Calmes, New York Times.

    Q Thank you, Mr. President. Is this on? Okay.

    I want to follow up on something — exchange you had with Chip. Leaving aside the existing permits for drilling in the Gulf, before — weeks before BP, you had called for expanded drilling. Do you now regret that decision? And why did you do so, knowing what you have described today about the sort of dysfunction in the MMS?

    PRESIDENT OBAMA: I continue to believe what I said at that time, which was that domestic oil production is an important part of our overall energy mix. It has to be part of an overall energy strategy.

    I also believe that is insufficient to meet the needs of our future, which is why I’ve made huge investments in clean energy, why we continue to promote solar and wind and biodiesel and a whole range of other approaches, why we’re putting so much emphasis on energy efficiency.

    But we’re not going to be able to transition to these clean- energy strategies right away.

    I mean, we’re still years off and some technological breakthroughs away from being able to operate on purely a clean-energy grid.

    During that time, we’re going to be using oil. And to the extent that we’re using oil, it makes sense for us to develop our oil and natural gas resources here in the United States and not simply rely on imports.

    That’s important for our economy. That’s important for economic growth. So the overall framework — which is to say, domestic oil production should be part of our overall energy mix — I think continues to be the right one. Where I was wrong was in my belief that the oil companies had their act together when it came to worst- case scenarios.

    Now, that wasn’t based on just my blind acceptance of their statements. Oil drilling has been going on in the gulf, including deepwater, for quite some time. And the record of accidents like this, we hadn’t seen before.

    But it just takes one for us to have a wakeup call and recognize that claims that failsafe procedures were in place, or that blowout preventers would function properly, or that valves would switch on a shut things off — that whether it’s because of human error, because the technology was faulty, because when you’re operating at these depths, you can’t anticipate exactly what happens, those assumptions proved to be incorrect.

    And so I’m absolutely — I’m absolutely convinced that we have to do a thoroughgoing scrub of that — that — those safety procedures and those safety records.

    And we have to have confidence that, even if it’s just a one-in-a- million shot, that we’ve got enough technology know-how that we can shut something like this down, not in a month, not in six weeks, but in two or three or four days. And I don’t have that confidence right now.

    Q If I could follow up?

    PRESIDENT OBAMA: Sure.

    Q Do you — are you sorry now? Do you regret that your team had not done the reforms at the Minerals Management Service that you’ve subsequently called for?

    And I’m also curious as — how it is that you didn’t know about Ms. Birnbaum’s resignation/firing before —

    PRESIDENT OBAMA: Well, you’re assuming it was a firing. If it was a resignation, then she would have submitted a letter to Mr. Salazar this morning, at a time when I had a whole bunch of other stuff going on.

    Q So you rule out that she was fired?

    PRESIDENT OBAMA: I’m — (laughs) — Jackie, I don’t know. I’m telling you the — I found out about it this morning, so I don’t yet know the circumstances. And Ken Salazar’s been in testimony on the Hill.

    With respect to your first question, at MMS, Ken Salazar was in the process of making these reforms. But the point that I’m making is, is that, obviously, they weren’t happening fast enough. If they had been happening fast enough, this might have been caught.

    Now, it’s possible that it might not have been caught. All right? I mean, we could have gone through a whole new process for environmental review, you could have had a bunch of technical folks take a look at BP’s plans, and they might have said, “This is — meets industry standards.

    We haven’t had an accident like this in 15 years, and we should go ahead.” That’s what this commission has to discover, is — you know, was this a systemic breakdown? Is this something that could happen once in a million times? Is it something that could happen once in a thousand times or once every 5,000 times? You know, what exactly are the risks involved?

    Now let me make one broader point, though, about energy. The fact that oil companies now have to go a mile underwater and then drill another three miles below that in order to hit oil tells us something about the direction of the oil industry. Extraction is more expensive, and it is going to be inherently more risky.

    And so that’s part of the reason you never heard me say, “Drill, baby, drill,” because we can’t drill our way out of the problem. It may be part of the mix as a bridge to a transition to new technologies and new energy sources, but we should be pretty modest in understanding that the easily accessible oil has already been sucked up out of the ground. And as we are moving forward, the technology gets more complicated, the oil sources are more remote, and that means that there’s probably going to end up being more risk. And we as a society are going to have to make some very serious determinations in terms of what risks are we willing to accept, and that’s part of what the commission, I think, has to — is going to have to look at.

    I will tell you, though, that understanding we need to grow, we — we’re going to be consuming oil in term — for our industries and for how people live in this country, we’re going to have to start moving on this transition.

    And that’s why, when I went to the Republican caucus just this week, I said to them, let’s work together. You’ve got Lieberman and Kerry — who previously were working with Lindsey Graham, even though Lindsey’s not on the bill right now — coming up with a framework that has the potential to get bipartisan support and says, yes, we’re going to still need oil production, but you know what, we can see what’s out there on the horizon.

    And it’s — it’s a problem if we don’t start changing how we operate.

    Okay. Macarena Vidal. Not here? Oh, there you are.

    Q Mr. President, you announced — or the White House announced on — two days ago that you were going to send 1,200 people to — 1,200 members of the National Guard to the border. I wanted to — if you could — precise what their target is going to be, what you’re planning to achieve with that, if you could clarify a bit more the mission that they’re going to have. And also, on Arizona, after you have been — criticized so much the immigration law that has been approved there, would you support the boycott that some organizations are calling towards that state?

    PRESIDENT OBAMA: Okay. I’ve indicated that I don’t approve of the Arizona law. I think it’s the wrong approach. I understand the frustrations of the people of Arizona and a lot of folks along the border that that border has not been entirely secured in a — in a way that is both true our — to our traditions as a nation of law and as a nation of immigrants.

    You know, I’m the president of the United States. I don’t endorse boycotts or not endorse boycotts. That’s something that the private citizens can make a decision about.

    What my administration is doing is examining very closely this Arizona law and its implications for the civil rights and civil liberties of the people in Arizona, as well as the concern that you start getting a patchwork of 50 different immigration laws around the country, in an area that is inherently the job of the federal government.

    Now, for the federal government to do its job, everybody has got to step up. And so I tried to be as clear as I could this week. And I will repeat it to everybody who’s here.

    We have to have a comprehensive approach to immigration reform. The time to get moving on this is now. And I am prepared to work with both parties and members of Congress, to get a bill that does a good job securing our borders, holds employers accountable, makes sure that those who have come here illegally have to pay a fine, pay back taxes, learn English and get right by the law.

    We have the opportunity to do that. We’ve done — we’ve gotten a vote of a supermajority in the Senate just four years ago. There’s no reason why we shouldn’t be able to recreate that bipartisan spirit, to get this problem solved.

    Now, with respect to the National Guardsmen and women, you know, I have authorized up to 1,200 National Guardspersons, in a plan that was actually shaped last year.

    So this not simply in response to the Arizona law.

    And what we find is, is that National Guardspersons can help on intelligence, dealing with both drug and human trafficking along the borders. They can relieve border guards so that the border guards then can be in charge of law enforcement in those areas. So there are a lot of functions that they can carry out that helps leverage and increase the resources available in this area.

    By the way, we didn’t just send National Guard; we’ve also got a package of $500 million in additional resources because, for example, if we are doing a better job dealing with trafficking along the border, we’ve also got to make sure that we’ve got prosecutors down there who can prosecute those cases.

    But that the key point I want to emphasize to you is that I don’t see these issues in isolation. We’re not going to solve the problem just solely as a consequence of sending National Guard troops down there. We’re going to solve this problem because we have created an orderly, fair, humane immigration framework in which people are able to immigrate to this country in a legal fashion, employers are held accountable for hiring legally present workers.

    And I think we can craft that system if everybody’s willing to step up. And I told the Republican Caucus when I met with them this week, I don’t even need you to meet me halfway; meet me a quarter of the way. I’ll bring in the majority of Democrats to a smart, sensible, comprehensive immigration reform bill, but I’m going to have to have some help, given the rules of the Senate, where a simple majority’s not enough.

    Okay. Last question, Major.

    Q Thank you, Mr. President. Good afternoon.

    PRESIDENT OBAMA: Good afternoon.

    Q Two issues. Some in your government have said the federal government’s boot is on the neck of BP. Are you comfortable with that imagery, sir? Is your boot on the neck of BP? And can you understand, sir, why some in the Gulf who feel besieged by this oil spill consider that a meaningless, possibly ludicrous, metaphor?

    Secondarily, can you tell the American public, sir, what your White House did or did not offer Congressman Sestak to not enter the Democratic senatorial primary? And how will you meet your levels of expressed transparency and ethics to convey that answer to satisfy what appear to be bipartisan calls for greater disclosure about that matter? Thank you.

    PRESIDENT OBAMA: The — there will be an official response shortly on the Sestak issue —

    Q From you?

    PRESIDENT OBAMA: — which I hope will answer your questions.

    Q From you, sir?

    PRESIDENT OBAMA: You will get it from my administration, so — and it will — it will be coming out — when I say shortly, I mean shortly. I don’t mean weeks or months. With respect to the first —

    Q Can you assure the public it was ethical and legal, sir?

    PRESIDENT OBAMA: I can assure the public that nothing improper took place. But as I said, there will be a response shortly on that issue.

    You know, with respect to the metaphor that was used, you know, I think Ken Salazar would probably be the first one to admit that he has been frustrated, angry, and occasionally emotional about this issue — like a lot of people have. I mean, there are a lot of folks out there who see what’s happening and are angry at BP, are frustrated that it hasn’t stopped. And so, you know, I’ll let Ken answer for himself.

    I would say that, you know, we don’t need to use language like that; what we need is actions that make sure that BP is being held accountable.

    And that’s what I intend to do, and I think that’s what Ken Salazar intends to do.

    But look, we’ve gone through a difficult year and a half. This is just one more bit of difficulty. And this is going to be hard, not just right now; it’s going to be hard for months to come. The Gulf — this spill — the Gulf is going to be affected in — in a bad way.

    And so my job right now is just to make sure that everybody in the Gulf understands this is what I wake up to in the morning and this is what I go to bed at night thinking about — the spill. The — and it’s not just me, by the way. You know, when I woke up this morning, and I’m shaving, and Malia knocks on my bathroom door and she peeks in her head and she says, “Did you plug the hole yet, Daddy?” — (soft laughter) — because I think everybody understands that, you know, when we are fouling the Earth like this, it has concrete implications not just for this generation but for future generations.

    I grew up in Hawaii, where the ocean is sacred. And when you see birds flying around with — with oil all over their feathers and turtles dying and — you know, that’s — that doesn’t just speak to the immediate economic quences (sic) — consequences of this; this speaks to, you know, how are we caring for this incredible bounty that we have?

    And so, you know, sometimes when I hear folks down in Louisiana expressing frustrations, I may not always think that their comments are fair.

    On the other hand, I probably think to myself, you know, these are folks who grew up, you know — you know, fishing in these wetlands and, you know, seeing this as an integral part of who they are. And to see that messed up in this fashion would be infuriating.

    So the thing that the American people need to understand is that not a day goes by where the federal government is not constantly thinking about, how do we make sure that we minimize the damage on this, we close this thing down, we review what happened, to make sure that it does not happen again?

    And in that sense, you know, there are analogies to what’s been happening in terms of, you know, in the financial markets and some of these other areas, where big crises happen. It forces us to do some soul searching. And I think that’s important for all of us to do.

    In the meantime, my job is to get this fixed. And in case anybody wonders — in any of your reporting, in case you’re wondering who’s responsible, I take responsibility. It is my job to make sure that everything is done to shut this down.

    That doesn’t mean it’s going to be easy. It doesn’t mean it’s going to happen right away or the way I’d like it to happen. It doesn’t mean that we’re not going to make mistakes. But there shouldn’t be any confusion here. The federal government is fully engaged, and I’m fully engaged.

    All right, thank you very much, everybody.

    END.

  • The Smart Value of Dumb Money for Startups

    Coming off the TechCrunch Disrupt conference this week, one of the interviews that sticks out most in my mind was that of Yuri Milner, CEO of the Russian Internet holding company Digital Sky Technologies, by veteran TV host Charlie Rose. Milner has quickly made a name for himself by investing hundreds of millions of dollars in hot tech properties Facebook, Zynga and Groupon. But it didn’t seem like Milner had any sort of overarching philosophy, agenda or insight into the technology market.

    The only observation he offered that struck me as novel was to measure a company by dividing the age of its founder by its estimated market cap. For Facebook, Milner said, that ratio is close to one, as Mark Zuckerberg is 26 years old and the company is worth $25-$26 billion, in Milner’s opinion. “So for every year of his life Mark Zuckerberg was producing $1 billion of value,” he said. But while Groupon’s CEO is also under 30, Zynga’s Mark Pincus has been around for more than a few decades — so this doesn’t really describe a consistent investment theory. (Maybe Milner was hoping he’ll be able to get a stake in ChatRoulette and its teenage founder to offset his mean age?)

    When Rose asked who his biggest influences were, Milner named Zuckerberg, Pincus, Kleiner Perkins VC John Doerr and Accel VC Jim Breyer, calling them “the smartest people I’ve ever met.” Frankly, I was surprised. I mean, obviously, these are some of the leading thinkers and doers in technology. But to me this seemed a little light — after all, Milner invested in Facebook a year ago today, and wasn’t a significant adviser to the company before then. Shouldn’t he have some deeper and less clubby mentors or models?

    By playing dumb, Milner is making some of the smartest investments possible. It doesn’t serve him to go up on stage and wax about the “third wave of innovation” like Doerr had done before him. Taking a respectful back seat while providing money to allow startups to operate freely, cash out employees and avoid going public — “one to three years of run to really focus on product,” he said — is a valuable and effective approach. It’s how a virtual unknown gets a stake in these companies, unlike Twitter’s last massive round, which came from the likes of Morgan Stanley and T. Rowe Price .

    Still, if Milner is ever going to get a return on this investments, the IPO market has to come back. So it’s a matter of biding his time. Banker Frank Quattrone said at the conference that the public market is hungry for “category-defining, earth-shaking companies,” and cited Facebook, Twitter, Zynga, LinkedIn and Skype as examples.

    But for many entrepreneurs, private funding isn’t the dumbest of dumb money. “We all know what Wall Street’s values are,” said Etsy CEO Rob Kalin on a panel Wednesday. “I don’t want those people owning my company.”



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