As Trump stresses ‘America First’, China plays the world leader

Xi Jinping, China's President

By Ben Blanchard

BEIJING (Reuters) – China is calmly mapping out global leadership aspirations from trade to climate change, drawing distinctions between President Xi Jinping’s steady hand and new U.S. President Donald Trump, whose first days have been marked by media feuds and protests.

Just days ahead of Trump taking office, a self-assured Xi was in Switzerland as the keynote speaker at the World Economic Forum in Davos, offering a vigorous defense of globalization and signaling Beijing’s desire to play a bigger role on the world stage.

Even on the thorny issue of the South China Sea, Beijing did not rise to the bait of White House remarks this week about “defending international territories” in the disputed waterway. Instead, China stressed its desire for peace and issued a restrained call for Washington to watch what it says.

“You have your ‘America first’, we have our ‘community of common destiny for mankind’,” Retired Major-General Luo Yuan, a widely read Chinese military figure best known for his normally hawkish tone, wrote on his blog this week.

“You have a ‘closed country’, we have ‘one belt, one road’,” he added, referring to China’s multi-billion dollar new Silk Road trade and investment program.

And while China has repeatedly said it does not want the traditional U.S. role of world leadership, a senior Chinese diplomat accepted this week it could be forced upon China.

“If anyone were to say China is playing a leadership role in the world I would say it’s not China rushing to the front but rather the front runners have stepped back leaving the place to China,” said Zhang Jun, director general of the Chinese Foreign Ministry’s international economics department.

STEPPING UP

That message was reinforced this week when Trump formally withdrew the United States from the Trans-Pacific Partnership trade deal, distancing America from its Asian allies. Several remaining TPP members said they would now look to include China in a revised pact, or pursue Beijing’s alternative free trade agreements.

“At many important multilateral forums, China’s leader has put forward Chinese proposals, adding positive impetus to world development,” Su Xiaohui a senior researcher at the Foreign Ministry-backed China Institute of International Studies, wrote of the U.S. TPP decision in the overseas edition of the People’s Daily.

“In the economic integration process of the Asia Pacific, compared to certain countries who constantly bear in mind their leadership role, what China pays even more attention to is ‘responsibility’ and ‘stepping up’,” Su said.

China’s hosting of an international conference on its “One Belt, One Road” initiative in May is one opportunity for Beijing to showcase its leadership of global infrastructure and investment.

A diplomatic source familiar with preparations said China was likely to hold it at the same glitzy convention center used to host the Asia Pacific Economic Cooperation summit in 2014, setting the stage for Xi’s most high profile diplomatic event of the year.

“China’s pretty much inviting everyone,” the diplomat said.

Another area where China is keen to be seen as leading the way is climate change. Trump has in the past dismissed climate change as a “hoax” and vowed during his presidential campaign to pull the United States out of the Paris Climate Agreement.

Li Junhua, head of the Chinese Foreign Ministry’s Department of International Organizations and Conferences, said world was worried about climate change and whether countries would honor their Paris commitments.

“As far as China is concerned, my president has made it extremely clear, crystal clear, China will do its part,” Li told reporters.

LEARNING PROCESS

It’s not always been this way. China has been through a long, tough learning process to become a more responsible power.

In 2013, China, angered with Manila over the long dispute on the South China Sea, only stumped up meager aid to the Philippines after it was hit by Super Typhoon Haiyan, prompting rare dissent in the influential Chinese state-run tabloid the Global Times that Beijing’s international image would be hit.

It also will not be plain sailing. On certain key core issues including the self-ruled island of Taiwan, China will not back down.

In its first official reaction to Trump taking office, China’s Foreign Minister urged his administration to fully understand the importance of the “one China” principle, which Trump has called into doubt and under which Washington acknowledges China’s position of sovereignty over Taiwan.

China also expects that under the Trump administration it will be left alone on one issue that has long dogged ties with Washington – human rights.

The WeChat account of the overseas edition of the ruling Communist Party’s official People’s Daily noted with approval on Saturday that Trump’s inaugural speech neither mentioned the words “democracy” nor “human rights”.

“Perhaps looking back, these things have been hyped up too much” by U.S. politicians, it added.

(Editing by Lincoln Feast)

Trump to choose Supreme Court justice nominee on Feb. 2

Supreme Court building

WASHINGTON (Reuters) – U.S. President Donald Trump said on Wednesday he will make his choice to fill the vacancy on the U.S. Supreme Court on Feb. 2 as he seeks to restore the conservative majority on the Supreme Court.

Trump announced the date in Twitter message one day after meeting with key U.S. senators and promising to unveil his nominee to fill the vacancy left by the death of conservative Justice Antonin Scalia nearly a year ago.

Three U.S. appeals court judges are among those under close consideration by Trump, who took office last Friday and had said he would act on a nominee next week.

Appointment as a Supreme Court justice requires Senate confirmation for the lifetime post. Trump’s fellow Republicans control the Senate with a 52-48 majority, but Democrats could potentially try to block the nomination using procedural hurdles.

On Tuesday, Senate Democratic Leader Chuck Schumer said he told Trump in the meeting that Democrats would fight any nominee they consider to be outside the mainstream.

Trump is in position to name Scalia’s replacement because the Republican-led U.S. Senate last year refused to consider Democratic President Barack Obama’s nominee, appeals court judge Merrick Garland.

The current frontrunners include three conservative jurists who were appointed to the bench by Republican former President George W. Bush: Neil Gorsuch, a judge on the Denver-based 10th U.S. Circuit Court of Appeals; Thomas Hardiman, who serves on the Philadelphia-based 3rd U.S. Circuit Court of Appeals; and William Pryor, a judge on the Atlanta-based 11th U.S. Circuit Court of Appeals.

(Reporting by Lawrence Hurley, Susan Heavey and Doina Chiacu; Editing by Chizu Nomiyama and Frances Kerry)

U.S. governors want say on Trump’s infrastructure plan

President Donald Trump

CHICAGO (Reuters) – U.S. governors are flagging hundreds of “shovel-ready” projects they regard as high-priority for President Donald Trump’s plan to fix the nation’s infrastructure.

Scott Pattison, executive director of the bipartisan National Governor’s Association, said on Monday his group, at the request of the White House, has assembled a list of 300 projects costing billions of dollars from 43 states and territories, with more expected to come.

“The good part from a bipartisan standpoint is there seems to be full consensus that we have a lot of infrastructure problems in the U.S., a lot of maintenance issues, also things that need building,” he said in an interview.

In his inaugural address Friday, the Republican president said the nation’s infrastructure “has fallen into disrepair and decay.”

“We will build new roads, and highways, and bridges, and airports, and tunnels, and railways all across our wonderful nation,” Trump said.

White House Press Secretary Sean Spicer on Monday told reporters that “infrastructure continues to be a huge priority.”

The American Society of Civil Engineers’ infrastructure report card has estimated the United States needs to invest $3.6 trillion by 2020.

Pattison said while it was still early in the process, disagreements are likely over how to fund infrastructure. He added that governors want “all the tools” to be made available, including cash, municipal bonds, public-private partnerships and federal matching programs.

“One of the biggest issues that has to be faced is that the gas tax has been primarily the way in which we funded a lot of our transportation projects, and that’s a declining revenue source,” Pattison said.

Governors also want to make sure their project priorities are immune from congressional earmarking, Pattison said, adding that states have developed “robust” prioritization programs.

(Reporting by Karen Pierog; Editing by Matthew Lewis)

Trump calls for more U.S. auto jobs, factories ahead of CEO meeting

Ford logo

By David Shepardson

WASHINGTON (Reuters) – U.S. President Donald Trump on Tuesday will push the chief executives of General Motors Co, Ford Motor Co and Fiat Chrysler Automobiles NV to increase production in the United States and boost American employment.

“I want new plants to be built here for cars sold here!” Trump said in a tweet ahead of the breakfast meeting with automakers, saying he would discuss U.S. jobs with the chief executives.

Trump has criticized automakers for building cars in Mexico and elsewhere and has threatened to impose 35 percent tariffs on imported vehicles.

The meeting is the latest sign of Trump’s uncommon degree of intervention for a U.S. president into corporate affairs as he has repeatedly jawboned automakers and other manufacturers to “buy American and hire American.”

It will be the first time the CEOs of the big three automakers meet jointly with a U.S. president since a July 2011 session with then-president Barack Obama to tout a deal to nearly double fuel efficiency standards to 54.5 miles per gallon by 2025. Fiat Chrysler is the Italian-American parent of the former Michigan-based Chrysler.

White House spokesman Sean Spicer on Monday said Trump “looks forward to hearing their ideas about how we can work together to bring more jobs back to this industry.”

U.S. and foreign automakers have been touting plans to boost American jobs and investments in the face of Trump’s comments. The Republican president made attacks on Ford’s Mexico investments a cornerstone of his campaign.

Automakers have praised Trump’s policies, but emphasized that the recent employment moves were the result of business, not political decisions, that had mostly been in the works for a long period.

(Reporting by David Shepardson; Additional reporting by Susan Heavey; Editing by Jeremy Gaunt)

Powerful storm hammers eastern United States with heavy snow, wind gusts

residents survey damage of tornado that struck Georgia

(Reuters) – A powerful storm that killed at least 21 people in the southern United States over the weekend was expected on Tuesday to bring heavy snow and wind gusts to the Northeast, causing school closings, treacherous driving conditions and power outages.

The storm, known as a nor’easter, was forecast to bring snowfalls of up to 9 inches (23 cm) along with icy rains and wind gusts of 40 mph (65 kph) to northern Pennsylvania through central New York and into Maine on Tuesday morning, the National Weather Service said.

“Only travel in an emergency,” it said in an advisory.

School districts across the region canceled or delayed the start of classes on Tuesday due to the icy road conditions. Local news outlets showed early-morning footage of vehicles covered with a thick glaze of ice and snow-covered roads.

“I didn’t want a snow day but I didn’t want to drive in this mess either,” Lauren Piechota, a teacher in Vermont, said on Twitter.

Flood advisories and watches were also in effect for coastal areas throughout New England until midday as rain totals for the last couple of days were expected to reach 3 inches (8 cm), the weather service said.

About 15,000 customers were without power early on Tuesday morning, according to online reports by utility companies in the region.

“Scattered power outages are expected as the slushy accumulations and ice will weigh down trees and power lines,” the weather service said.

The storm unleashed deadly twisters in Mississippi and Georgia over the weekend before turning cooler as it advanced on the Northeast on Monday and into Tuesday. It was expected to head into Canada by Wednesday, the service said.

The weather system killed 16 people on Sunday in Georgia, according to a tally by the Storm Prediction Center in Oklahoma.

Georgia Governor Nathan Deal extended a state emergency declaration to 16 counties and said President Donald Trump had called him on Sunday and promised he would be “ready and willing to respond” to an expected request for federal disaster relief.

(Reporting by Brendan O’Brien in Milwaukee; Editing by Raissa Kasolowsky)

Dollar steadies after stumble, Brexit ruling saps sterling

woman walks past electronic board with stock market numbers on it

By Marc Jones

LONDON (Reuters) – The dollar and world stocks tip-toed higher on Tuesday, as signs of a revival of worldwide economic activity helped ease some of the caution triggered in recent days by U.S. President Donald Trump’s focus on protectionism over fiscal stimulus.

Talk of trade wars rumbled in the background but was offset as Japanese manufacturing showed the fastest expansion in almost three years and a 5-1/2 year peak in French business activity provided the latest proof of a nascent euro zone recovery.

European stocks made modest gains as the data helped bolster a 2-1/2 year high in commodity stocks and as merger talk swirling around two of Italy’s big insurers fueled a 1 percent jump in shares in Milan.

There was also the expected confirmation that Britain’s parliament will have to approve the start of the Brexit process, though sterling dropped on news that assent will not be needed from pro-EU Scotland or Northern Ireland.

It was largely fine-tuning however, with both the pound and the euro, as well as the Japanese yen already pushed back by the dollar as its index clawed its way back above the 100 point threshold breach on Monday.

“Most of the PMIs around the world have been quite strong so there is no bad news here, but the protectionism above stimulus story (from Trump) has given the dollar bulls reason for pause,” said Saxo bank’s head of FX strategy John Hardy.

“The dollar rally needs to find some support pretty soon otherwise we are facing a potentially serious correction.”

U.S. futures also pointed to another flat start for Wall Street’s S&P 500, Dow Jones Industrial and Nasdaq ahead of U.S. manufacturing data and what should be more activity in Washington from Trump’s new administration.

Sentiment had taken a knock on Monday when U.S. Treasury Secretary nominee Steven Mnuchin told senators that he would work to combat currency manipulation but would not give a clear answer on whether he thought China was manipulating its yuan.

In written answers to a Senate Finance Committee, Mnuchin also reportedly said an excessively strong dollar could be negative in the short term.

The dollar duly skidded as far as 112.52 yen in its biggest fall since July though it was back up at 113.40 yen by 1300 GMT. It had also hopped up to $1.0745 to the euro and almost a full cent to $1.2440 per pound.

SCEPTICISM GROWS

While Trump promised huge cuts in taxes and regulations on Monday, he also formally withdrew from the Trans-Pacific Partnership (TPP) trade deal and talked of border tariffs.

“It’s interesting that markets did not respond positively to a reaffirmation of lower taxes and looser regulation, reinforcing the impression that all the good news is discounted for now,” wrote analysts at ANZ in a note.

“As week one in office gets underway, there is a growing sense of scepticism, not helped by the tone of Friday’s inaugural address and subsequent spat with the media.”

Doubts about exactly how much fiscal stimulus might be forthcoming had helped Treasuries rally. Yields on 10-year notes steadied at 2.42 percent in European trading, having enjoyed the steepest single-day drop since Jan. 5 on Monday.

Two-year yields were around 1.16 percent, narrowing the dollar’s premium over the euro to 183 basis points from a recent top of 207 basis points.

Europe’s moves included the second dip in a row for Italian yields as its highest court began deliberations on the legality of the country’s latest electoral law with the decision likely to influence the timing of elections there.

An unambiguous ruling offering a simple solution to Italy’s electoral tangle could open the way for an early ballot by June. A more nuanced, convoluted reading would almost certainly leave parliament in place until the legislature ends in early 2018.

Spain and France clocked up impressive demand of almost 50 billion euros between them in new 10- and 22-year bond sales.

The upbeat global data boosted industrial metals including copper and iron ore, while gold was near two-month high at $1,212 an ounce.

Oil prices edged up too as signs that OPEC and non-OPEC producers were on track to meet output reduction goals largely overshadowed a strong recovery in U.S. drilling.

U.S. crude futures added 45 cents to $53.19, while Brent crude climbed 42 cents to $55.65 a barrel. [O/R]

(Additional reporting by Wayne Cole in Sydney; Editing by Andrew Heavens)

Trump pulls U.S. out of Pacific trade deal, loosening Asia ties

President Donald Trump holds up executive order

By Roberta Rampton and Steve Holland

(Reuters) – U.S. President Donald Trump formally withdrew the United States from the Trans-Pacific Partnership trade deal on Monday, distancing America from its Asian allies as China’s influence in the region rises.

Fulfilling a campaign pledge to end American involvement in the 2015 pact, Trump signed an executive order in the Oval Office pulling the United States from the 12-nation TPP.

“Great thing for the American worker,” Trump said as he signed the order on his third full day in office. The Republican says the trade deal would have damaged U.S. manufacturing.

The accord, backed heavily by U.S. business, was negotiated by former President Barack Obama’s administration but never approved by Congress. It had been the main economic pillar of the Obama administration’s “pivot” to the Asia-Pacific region to counter China.

Trump has sparked worries in Japan and elsewhere in the Asia-Pacific with his opposition to the TPP and his campaign demands for U.S. allies to pay more for their security.

Harry Kazianis, Director of Defense Studies at the Center for the National Interest think tank in Washington, said Trump must now find an alternative way to reassure allies in Asia.

“This could include multiple bilateral trade agreements. Japan, Taiwan and Vietnam should be approached first as they are key to any new Asia strategy that President Trump will enact,” he said.

U.S. BUSINESS LEADERS

The new president also met with a dozen American manufacturers at the White House on Monday, pledging to slash regulations and cut corporate taxes, but warning them he would take action on trade deals he felt were unfair.

Trump, who took office on Friday, has promised to bring manufacturing plants back to the United States – an issue he said helped him win the Nov. 8 election. He has not hesitated to call out by name companies that he thinks should bring outsourced production back home.

He said those businesses that choose to move factories outside the country would pay a price. “We are going to be imposing a very major border tax on the product when it comes in,” Trump said.

Trump asked the group of chief executives from companies including Ford, Dell Technologies, Tesla and others to make recommendations in 30 days to stimulate manufacturing, Dow Chemical CEO Andrew Liveris told reporters.

Liveris said the CEOs discussed the border tax “quite a bit” with Trump, explaining “the sorts of industry that might be helped or hurt by that.”

“Look: I would take the president at his word here. He’s not going to do anything to harm competitiveness. He’s going to actually make us all more competitive,” Liveris said.

At a portion of the meeting observed by reporters, Trump provided no details on how the border tax would work. The U.S. dollar fell to a seven-week low against a basket of key world currencies on Monday and global stock markets declined amid investor concerns about Trump’s protectionist rhetoric.

“A company that wants to fire all of its people in the United States, and build some factory someplace else, and then thinks that that product is going to just flow across the border into the United States – that’s not going to happen,” he said.

CUT TAXES AND REGULATIONS

The president told the CEOs he would like to cut corporate taxes to the 15 percent to 20 percent range, down from current statutory levels of 35 percent – a pledge that will require cooperation from the Republican-led U.S. Congress.

But he said business leaders have told him that reducing regulations is even more important.

“We think we can cut regulations by 75 percent. Maybe more,” Trump told business leaders.

“When you want to expand your plant, or when Mark wants to come in and build a big massive plant, or when Dell wants to come in and do something monstrous and special – you’re going to have your approvals really fast,” Trump said, referring to Mark Fields, CEO of Ford, who sat around the boardroom-style table in the Roosevelt Room.

Fields said he was encouraged by the tone of the meeting.

“I know I come out with a lot of confidence that the president is very, very serious on making sure that the United States economy is going to be strong and have policies – tax, regulatory or trade – to drive that,” he said.

Trump told the executives that companies were welcome to negotiate with governors to move production between states, but Trump was scheduled to hold a meeting later on Monday with labor leaders and U.S. workers, the White House said.

Between winning the presidential election in November and taking office, Trump hosted a number of U.S. CEOs in meetings in New York, including business leaders from defense, technology and other sectors. He also met with leaders of several labor unions, including the AFL-CIO.

(Additional reporting by David Brunnstrom, Doina Chiacu, Susan Heavey, Ayesha Rascoe and David Shepardson)

Trump to talk manufacturing with executives, meet labor leaders

President Donald Trump

WASHINGTON (Reuters) – U.S. President Donald Trump planned to hold meetings on Monday with business and labor leaders at the start of his first full week in office, seeking to work quickly on his campaign promise to boost the American manufacturing sector and deliver more jobs.

The Republican, who took office on Friday after eight years of a Democratic White House, was scheduled to meet with business leaders at 9 a.m. EST (1400 GMT) and then hold an afternoon meeting with labor leaders and U.S. workers, according to his schedule.

The White House, which announced the meetings in a schedule released late on Sunday, did not name company executives or union leaders who would take part. White House officials did not immediately respond to a request for more details.

Trump said on Twitter early on Monday that he planned to discuss U.S. manufacturing with executives but gave no other details.

“Busy week planned with a heavy focus on jobs and national security,” Trump said in a tweet. “Top executives coming in at 9:00 A.M. to talk manufacturing in America.”

The morning gathering will include Dow Chemical Co Chief Executive Officer Andrew Liveris, according to a person briefed on the meeting.

Trump named Liveris in December to lead a private-sector group on manufacturing that will advise the U.S. secretary of commerce. Trump’s designated commerce secretary, billionaire investor Wilbur Ross, is known for backing tariffs and fighting to protect U.S. manufacturers but has also sent jobs abroad.

Before taking office, Trump hosted a number of U.S. CEOs in meetings in New York, including business leaders from defense, technology and other sectors. He also met with leaders of several unions, including the AFL-CIO.

Trump, a real estate developer, has particularly focused on manufacturing, lamenting during his inaugural address on Friday about “rusted-out factories scattered like tombstones across the landscape of our nation” and vowing to boost U.S. industries over foreign ones.

(Reporting by Susan Heavey, Roberta Rampton and David Shepardson; Editing by Angus MacSwan, Lisa Von Ahn and Frances Kerry)

North Korea nuclear threat means South must not delay anti-missile system

Kim Jong Un looking at rocket warhead

By Jack Kim and Christine Kim

SEOUL (Reuters) – Acting South Korean President Hwang Kyo-ahn said on Monday the deployment of a U.S. anti-missile defense system can not be delayed in the face of a growing North Korean nuclear missile threat and despite Chinese hostility to the move.

South Korea and the United States say the deployment of the Terminal High Altitude Area Defense (THAAD) system is designed to protect against North Korea’s nuclear and ballistic capabilities.

But China says THAAD’s powerful radar could penetrate its own territory, leading to calls from some South Korean opposition leaders to delay or cancel its deployment.

“(North Korea) has been expanding its nuclear capabilities and developing the technology to create nuclear weapons. They are also miniaturizing nuclear weapons,” Hwang told reporters.

“Right now is not the time to talk to try to resolve North Korea’s nuclear issues.”

North Korea has carried out a series of nuclear and missile tests in defiance of U.N sanctions. North and South are technically still at war because their 1950-53 conflict ended in a truce, not a peace treaty.

Asked about China’s response to THAAD, Hwang said there were “some concerns” and that more time was needed to address these.

“The relationship between South Korea and China was not made in a day. We have engaged in diverse cooperation since the beginning of our diplomatic ties,” Hwang said.

South Korea’s finance and trade ministers have said they suspect China is taking indirect, retaliatory action against THAAD, but have not addressed the issue outright.

Hwang was speaking in place of President Park Geun-hye, who has been impeached by parliament amid an influence-peddling scandal and stripped of her powers as she awaits a court decision on her fate.

(Additional reporting by Ju-min Park; Editing by Nick Macfie and Michael Perry)

Trump invites Netanyahu to Washington for visit: White House

US Embassy in Tel Aviv

By Ayesha Rascoe and Matt Spetalnick

WASHINGTON (Reuters) – President Donald Trump invited Israeli Prime Minister Benjamin Netanyahu to visit Washington in early February during a phone call in which they discussed the importance of strengthening the U.S.-Israeli relationship, the White House said on Sunday.

In his first call with Netanyahu since taking office on Friday, Trump stressed his “unprecedented commitment to Israel’s security.”

“The president and the prime minister agreed to continue to closely consult on a range of regional issues, including addressing the threats posed by Iran,” the White House said in a statement.

Trump also said peace between Israel and the Palestinians could only be negotiated between the two parties, but that the United States would work with Israel to achieve that goal.

Relations between Israel and the Obama administration ended on a contentious note, when the United States declined to veto a U.N. Security Council resolution calling for a halt to Israeli settlement-building.

The readout from the White House did not include any mention of moving the U.S. embassy in Israel to Jerusalem from Tel Aviv, an action that would likely spark anger in the Arab world.

Earlier on Sunday, the White House said it was only in the early stages of talks to fulfill Trump’s campaign pledge to relocate the embassy.

“We are at the very beginning stages of even discussing this subject,” White House spokesman Sean Spicer said in a statement. Aides said no announcement of an embassy move was imminent.

Washington’s embassy is in Tel Aviv, as are most foreign diplomatic posts. Israel calls Jerusalem its eternal capital, but Palestinians also lay claim to the city as part of an eventual Palestinian state. Both sides cite biblical, historical and political claims.

Any decision to break with the status quo is likely to prompt protests from U.S. allies in the Middle East such as Saudi Arabia, Jordan and Egypt. Washington relies on those countries for help in fighting the Islamic State militant group, which the new U.S. president has said is a priority.

The U.S. Congress passed a law in 1995 describing Jerusalem as the capital of Israel and saying it should not be divided, but successive Republican and Democratic presidents have used their foreign policy powers to maintain the embassy in Tel Aviv and to back negotiations between Israel and the Palestinians on the status of Jerusalem.

In early December, then-President Barack Obama renewed the presidential waiver on an embassy move until the beginning of June. It is unclear whether Trump would be able to legally override it and go ahead with relocation of the embassy.

U.S. diplomats say that, despite the U.S. legislation, Washington’s foreign policy is in practice broadly aligned with that of the United Nations and other major powers, which do not view Jerusalem as Israel’s capital and do not recognize Israel’s annexation of Arab East Jerusalem after its capture in the 1967 Middle East war.

Israel approved building permits on Sunday for hundreds of homes in three East Jerusalem settlements in expectation that Trump will row back on the previous administration’s criticism of such projects.

(Reporting by Ayesha Rascoe, Warren Strobel and Matt Spetalnick; Editing by Howard Goller and Paul Simao)