Doing the College Bowl Game Shuffle

In 1997, when the Arizona-based Copper Bowl was rechristened the “Insight.com Bowl”—and billed as “the first bowl game to be sponsored by an electronic commerce Web site”—it touched a nerve. Sports columnists called the tech suffix “ridiculous.” To echo one cantankerous newspaper writer: “What next? A flag game matching sororities, sponsored by AirTouch?”

Be careful what you wish for. More than a decade later, the Peach Bowl and the Citrus Bowl have been replaced by the Chick-fil-A Bowl and the Capital One Bowl (COF), respectively. The Humanitarian Bowl is no more—it’s now the Famous Idaho Potato Bowl. Teams from the Big East and Conference USA conferences duke it out in the Beef ‘O’ Brady’s Bowl, located in St. Petersburg, Fla. Speaking of which, the Gator Bowl, hosted every year in Jacksonville, Fla., is now the Taxslayer.com Gator Bowl. And starting this year, the once controversial Insight Bowl (the “.com” was dropped in 2002 after the bubble burst) will be known as the Buffalo Wild Wings Bowl (BWLD), named after the Minneapolis-based chain of sports bars.

Some fear the bowl market is getting saturated. “I understand the financial considerations of getting those [sponsorship] checks,” says Kevin Adler, president of Engage Marketing. “But I think some of these bowls devalue themselves with the type of brands they associate with.”

Regardless, this year marks the introduction of three newly renamed bowl games to the mix. What they pay for the title sponsorships is just as mutable as the ever-shape-shifting bowl landscape. “The agreements are always changing,” says Doug Shabelman of Burns Entertainment & Sports Marketing. “With the economy, you’re seeing these bowls and marketers getting as creative as possible. The marketer might pay $ 350,000 to be the title sponsor, but they’ll guarantee exposure in other advertising. It’s like a combination of marketing efforts. Everyone is looking to see where they can get added value.”

Here’s a quick rundown of the NCAA’s newest postseason sponsorships, as well as a rough estimate of what they paid for the title rights:

The Russell Athletic Bowl
Estimated title sponsorship value: $ 350,000 to $ 550,000
This summer, the Kentucky-based sports-apparel manufacturer Russell Athletic partnered with Florida Citrus Sports on a deal to be the title sponsor of the Orlando-based game through 2015. The previous title sponsor from 2004 to 2011 was Champs Sports. The agreement makes Russell Brands (no relation to this guy) the sole apparel provider for this game, the nearby Capital One Bowl, and the Fresh From Florida Parade. Last year’s Champs Sports Bowl, between Florida State and Notre Dame, drew 68,305 ticket holders and 6 million viewers on ESPN.

Heart of Dallas Bowl
Estimated title sponsorship value: $ 350,000 to $ 550,000

In 2010, the AT&T Cotton Bowl Classic (T) was relocated from the Cotton Bowl, a stadium in downtown Dallas, to the gleaming Cowboys Stadium in nearby Arlington. Last year, the contest that took place in the actual Cotton Bowl was the TicketCity Bowl. This year, the game will bear the name Heart of Dallas, a new nonprofit group that will direct funding to a local homeless charity. The “presenting sponsor” is PlainsCapital Bank (HTH), “with additional support from MetroPCS (PCS), Dallas Convention and Visitors Bureau, Omni Hotels and Hyatt (H).” The payout to participants is $ 1.1 million. According to an editorial in the Dallas Morning News, locals are pleased—mostly with the name. “Simple and descriptive, the name also carries potentially great meaning,” the editorial board wrote.

Buffalo Wild Wings Bowl
Estimated title sponsorship value: “$ 2 million plus”
This year, Arizona’s Fiesta Bowl, which had operated the Insight Bowl, announced that it had entered into a multi-year deal with the Minnesota-based sports-bar chain after Insight Enterprises (NSIT), based in Tempe, Ariz., didn’t re-up its title sponsorship. The payout to participants in the game is $ 3.35 million. According to filings with the U.S. Securities and Exchange Commission, it’s estimated that Insight paid roughly $ 2 million for the last two bowl games.

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North Korea’s new leader burnishes credentials with rocket

SEOUL/TOKYO (Reuters) – North Korea successfully launched a rocket on Wednesday, boosting the credentials of its new leader and stepping up the threat the isolated and impoverished state poses to its opponents.

The rocket, which North Korea says put a weather satellite into orbit, has been labeled by the United States, South Korea and Japan as a test of technology that could one day deliver a nuclear warhead capable of hitting targets as far as the continental United States.

“The satellite has entered the planned orbit,” a North Korean television news-reader clad in traditional Korean garb triumphantly announced, after which the station played patriotic songs with the lyrics “Chosun (Korea) does what it says”.

The rocket was launched just before 10 a.m. Korea time (9 p.m. ET on Tuesday), according to defense officials in South Korea and Japan, and easily surpassed a failed April launch that flew for less than two minutes.

The North American Aerospace Defense Command (NORAD) said that it “deployed an object that appeared to achieve orbit”, the first time an independent body has verified North Korean claims.

North Korea followed what it said was a similar successful launch in 2009 with a nuclear test that prompted the United Nations Security Council to stiffen sanctions that it originally imposed in 2006 after the North’s first nuclear test.

The state is banned from developing nuclear and missile-related technology under U.N. resolutions, although Kim Jong-un, the youthful head of state who took power a year ago, is believed to have continued the state’s “military first” programs put into place by his deceased father Kim Jong-il.

North Korea lauded Wednesday’s launch as celebrating the prowess of all three Kims to rule since it was founded in 1948.

“At a time when great yearnings and reverence for Kim Jong-il pervade the whole country, its scientists and technicians brilliantly carried out his behests to launch a scientific and technological satellite in 2012, the year marking the 100th birth anniversary of President Kim Il Sung,” its KCNA news agency said.

Washington condemned Wednesday’s launch as a “provocative action” and breach of U.N. rules, while Japan’s U.N. envoy called for a Security Council meeting. However, diplomats say further tough sanctions are unlikely to be agreed at the body as China, the North’s only major ally, will oppose them.

“The international community must work in a concerted fashion to send North Korea a clear message that its violations of United Nations Security Council resolutions have consequences,” the White House said in a statement.

Japan’s likely next prime minister, Shinzo Abe, who is leading in opinion polls ahead of an election on December 16 and who is known as a North Korea hawk, called on the United Nations to adopt a resolution “strongly criticizing” Pyongyang.

BEIJING BLOCK

China had expressed “deep concern” prior to the launch which was announced a day after a top politburo member, representing new Chinese leader Xi Xinping, met Kim Jong-un in Pyongyang.

On Wednesday its tone was measured, regretting the launch but calling for restraint on possible counter-measures, in line with previous policy when it has effectively vetoed tougher sanctions.

“China believes the Security Council’s response should be cautious and moderate, protect the overall peaceful and stable situation on the Korean peninsula, and avoid an escalation of the situation,” Chinese Foreign Ministry spokesman Hong Lei told journalists.

Bruce Klingner, a Korea expert at the Heritage Foundation, told a conference call: “China has been the stumbling block to firmer U.N. action and we’ll have to see if the new leadership is any different than its predecessors.”

A senior adviser to South Korea’s president said last week it was unlikely there would be action from the U.N. and that Seoul would expect its allies to tighten sanctions unilaterally.

Kim Jong-un, believed to be 29 years old, took power when his father died on December 17 last year and experts believe the launch was intended to commemorate the first anniversary of the death.

The April launch was timed for the centennial of the birth of Kim Il Sung, the grandfather of its current ruler.

Wednesday’s success puts the North ahead of the South which has not managed to get a rocket off the ground.

“This is a considerable boost in establishing the rule of Kim Jong-un,” said Cho Min, an expert at the Korea Institute of National Unification.

There have been few indications the secretive and impoverished state, where the United Nations estimates a third of the population is malnourished, has made any advances in opening up economically over the past year.

North Korea remains reliant on minerals exports to China and remittances from tens of thousands of its people working on labor projects overseas.

The 22 million population often needs handouts from defectors who have escaped to South Korea in order to afford basic medicines.

Given the puny size of its economy – per capita income is less than $ 2,000 a year – one of the few ways the North can attract world attention is by emphasizing its military threat.

Pyongyang wants the United States to resume aid and to recognize it diplomatically, although the April launch scuppered a planned food deal.

It is believed to be some years away from developing a functioning nuclear warhead although it may have enough plutonium for around half a dozen nuclear bombs, according to nuclear experts.

The North has also been enriching uranium, which would give it a second path to nuclear weapons as it sits on vast natural uranium reserves.

“A successful launch puts North Korea closer to the capability to deploy a weaponized missile,” said Denny Roy, a senior fellow at the East-West Center in Hawaii.

“But this would still require fitting a weapon to the missile and ensuring a reasonable degree of accuracy. The North Koreans probably do not yet have a nuclear weapon small enough for a missile to carry.”

Pyongyang says that its development is part of a civil nuclear program, but has also boasted of it being a “nuclear weapons power”.

(Additional reporting by Jumin Park and Yoo Choonsik in SEOUL; David Alexander, Matt Spetalnick and Paul Eckert in WASHINGTON; Linda Sieg in TOKYO; Sui-Lee Wee in BEIJING; Rosmarie Francisco in MANILA; Writing by David Chance; Editing by Raju Gopalakrishnan)

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Luke Bryan cleans up at ACAs with 9 awards

Luke Bryan didn’t want the American Country Awards to end.

He cleaned up during the fan-voted show, earning nine awards, including artist and album of the year. His smash hit “I Don’t Want This Night To End” was named single and music video of the year.

Miranda Lambert took home the second most guitar trophies with three. Jason Aldean was named touring artist of the year. Carrie Underwood won female artist of the year, and a tearful Lauren Alaina won new artist of the year.

Bryan, Aldean, Keith Urban, Lady Antebellum and Trace Adkins with Lynyrd Skynrd were among the high-energy performances.

The third annual ACAs were held at Mandalay Bay in Las Vegas Monday night.

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Online: http://www.theACAs.com

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Novo bets on high-price niche for obesity drug

LONDON (Reuters) – Denmark’s Novo Nordisk is sizing up a high-price niche market for its drug liraglutide as a weight-loss treatment, with the United States the prime opportunity.

The premium-price approach could turn it into a multibillion-dollar-a-year product, the company believes.

Novo is studying the injected drug – already on the market as a treatment for type-2 diabetes under the brand name Victoza – as a therapy for the seriously obese, with pivotal clinical trial results due in the first half of next year.

While some in the industry are sceptical about using so-called GLP-1 diabetes drugs such as liraglutide to fight obesity, Novo’s Chief Science Officer Mads Krogsgaard Thomsen believes the approach can offer cost-effective benefits.

Glucagon-like peptide-1, or GLP-1, drugs work by stimulating insulin release when glucose levels become too high. Their ability to induce weight loss is an added benefit, since type-2 diabetes is linked to obesity.

What is more, the willingness of the U.S. Food and Drug Administration to license new obesity pills from Vivus and Arena Pharmaceuticals last summer shows the door is open to such new medicines, Thomsen said.

“It’s positive. More physicians are now knowledgeable that pharmacotherapy can make a difference and the political establishment in the U.S. now knows that behavior change alone is not enough,” he said in an interview in London.

More than a third of American adults, or some 100 million people, are obese and the figure is rising fast, posing a growing threat to the nation’s health.

Among this population group, liraglutide may help the severely obese, including those with related problems like interrupted breathing during sleep and pre-diabetes, who might otherwise receive stomach surgery.

“We are not going out to treat the 100 million … We see this as solving a problem in a niche of maybe a few million patients,” Thomsen said.

“If you took one million patients and gave them liraglutide at 3.0 milligrams (a day) at the U.S. price that would be a $ 6 billion market.”

When used in diabetes as Victoza, liraglutide is given at daily doses of either 1.2 or 1.8 mg. Novo is betting on a higher dose to produce greater weight-loss in the obese. A key unknown is whether this will produce unacceptable side effects – and Thomsen admits this makes it something of a “joker” in the company’s line-up of new products.

The main adverse effect of Victoza is nausea in some patients, although this is not strong enough in itself to account for the weight loss seen with the drug and Thomsen does not see nausea as a hurdle to regulatory approval.

More worrying, would be any evidence that high-dose liraglutide is linked to pancreatitis.

Given the high safety bar required for a new obesity drug, analysts are currently divided as to whether liraglutide will make it for weight loss – especially given past disappointments with diet drugs such as Sanofi’s Acomplia.

If all goes according to plan, however, Novo aims to file for approval at the end of next year, implying a potential U.S. launch in late 2014 or early 2015 for a product that would add a new string to the bow of the world’s biggest maker of insulin.

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Northern Rock will repay £270m

11 December 2012 Last updated at 08:19 ET

Some 152,000 Northern Rock Asset Management customers will receive hundreds of pounds each in compensation owing to mistakes made in paperwork.

Customers who took out personal loans of less than £25,000 will receive an average of £1,770 each.

Bank staff failed to include key details on annual statements about loans, including the original amount which had been borrowed.

Refunds of the interest paid by customers will now be made.

‘Right thing’

Many of the loans were provided on top of Northern Rock’s Together mortgage which was popular before the credit crunch, and allowed homebuyers to borrow more than their homes were worth.

The rules on loan paperwork changed, but this was not implemented properly on these loans after the bank was nationalised in 2008.

All of the interest charged on these loans since 2008 will be refunded.

The £270m bill for the refunds will have to come from the taxpayer, as this section of the bank has been owned by the government since 2008.

The problems with the paperwork arose as a result of an investigation by UK Asset Resolution (UKAR), which looks after rescued banks for the government.

Continue reading the main story

Where redress is required, this will be made by correcting a customer’s account balance”

End Quote Sajid Javid Economic secretary to the Treasury

“Northern Rock Asset Management is acting in accordance with its legal responsibilities and we are determined to do the right thing for customers and the taxpayer,” said UKAR chief executive, Richard Banks.

“We will be writing to all customers who are affected and advising them on next steps. We have not received any complaints or claims as a result of this matter and as far as we are aware it has not resulted in financial loss for customers.”

Letters

Affected customers would be refunded for all the interest they paid after the mistakes were made in 2008, economic secretary to the Treasury Sajid Javid confirmed in a written statement.

Customers did not need to do anything at this stage. They will receive a letter in the next few days.

There are 107,000 accounts which remain live and so the balance will be altered to take the refunds into account.

“Where redress is required, this will be made by correcting a customer’s account balance to reverse the consequences of them being charged any interest over the period in which the documentation is non-compliant,” Mr Javid said in the statement,

An additional 45,000 customers have paid back their loans and will receive a refund of the interest charged.

The mistakes pre-date the separation of Northern Rock plc and Northern Rock Asset Management.

The bill would not delay the repayment of government funding, which stood at £19.6bn in June. The Treasury said it would fully recover the whole of the taxpayer support for the bank.

This part of the bank is being wound down, while the mortgage lending and savings arm, Northern Rock plc, was sold to Virgin Money in 2011.

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Australian prank call radio to donate profits to nurse’s family

CANBERRA (Reuters) – The Australian radio station behind a prank call to a British hospital will donate its advertising revenue until the end of the year to a fund for the family of the nurse who apparently took her own life after the stunt, the company said on Tuesday.

Southern Cross Austereo, parent company of Sydney radio station 2Day FM, said it would donate all advertising revenue, with a minimum contribution of A$ 500,000 ($ 525,000), to a memorial fund for the nurse, Jacintha Saldanha, who answered the telephone at the hospital treating Prince William’s pregnant wife, Kate.

The company has suspended the Sydney-based announcers, Mel Greig and Michael Christian, scrapped their “Hot 30″ programme and suspended advertising on the station in the wake of the Saldanha’s death. Southern Cross said it would resume advertising on its station from Thursday.

“It is a terrible tragedy and our thoughts continue to be with the family,” Southern Cross Chief Executive Officer Rhys Holleran said in a statement.

“We hope that by contributing to a memorial fund we can help to provide the Saldanha family with the support they need at this very difficult time.”

(Reporting by James Grubel; Editing by Robert Birsel)

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BlackBerry Messenger 7 adds free Wi-Fi voice calling, split-screen multitasking and more

Research in Motion (RIMM) updated its BlackBerry Messenger to version 7 on Monday, adding a new key feature called “BBM Voice” that “will allow customers to make free voice calls to their BBM contacts around the world over a Wi-Fi connection.” BBM 7 also introduces multitasking with split-screen, which allows users to BBM, check email, or use other apps while on a BBM Voice call; new compatibility with Bluetooth headsets and accessories, 16 new emoticons; direct BBM Update Notification that provides in-app alerts when new versions of an app are available and an easier way to synchronize BBM profiles; Groups; and Contacts with BBIDs for simpler backup and restores. BBM 7 is available as a free update for all BlackBerry smartphones running BlackBerry 6 OS or higher. Users on BlackBerry OS 5 will get BBM Voice “early next year.”

“BBM began as a convenient and effective business messaging tool, and today it is an essential part of daily communications for customers around the world,” said T.A. McCann, RIM’s Vice President of BBM and Social Communities. ”Now, with BBM version 7, customers have a new option: they can text and talk with their BBM contacts near and far, for free.”

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Singer feared dead in Mexican plane crash

MONTERREY, Mexico (AP) — Mexico’s music world mourned Jenni Rivera, the U.S.-born singer presumed killed in a plane crash whose soulful voice and openness about her personal troubles had made her a Mexican-American superstar.

Authorities have not confirmed her death, but Rivera’s relatives in the U.S. say they have few doubts that she was on the Learjet 25 that disintegrated on impact Sunday in rugged territory in Nuevo Leon state in northern Mexico.

“My son Lupillo told me that effectively it was Jenni’s plane that crashed and that everyone on board died,” her father, Pedro Rivera told dozens of reporters gathered in front of his Los Angeles-area home. “I believe my daughter’s body is unrecognizable.”

He said that his son would fly to Monterrey early Monday to identify her presumed remains

Messages of condolence poured in from fellow musicians and celebrities.

Mexican songstress and actress Lucero wrote on her Twitter account: “What terrible news! Rest in peace … My deepest condolences for her family and friends.” Rivera’s colleague on the Mexican show “The Voice of Mexico,” pop star Paulina Rubio, said on her Twitter account: “My friend! Why? There is no consolation. God, please help me!”

Born in Long Beach, California, Rivera was at the peak of her career as perhaps the most successful female singer in grupero, a male-dominated regional style influenced by the norteno, cumbia and ranchero styles.

A 43-year-old mother of five children and grandmother of two, the woman known as the “Diva de la Banda” was known for her frank talk about her struggles to give a good life to her children despite a series of setbacks.

She was recently divorced from her third husband, was once detained at a Mexico City airport with tens of thousands of dollars in cash, and she publicly apologized after her brother assaulted a drunken fan who verbally attacked her in 2011.

Her openness about her personal troubles endeared her to millions in the U.S. and Mexico.

“I am the same as the public, as my fans,” she told The Associated Press in an interview last March.

Rivera sold 15 million records, and recently won two Billboard Mexican Music Awards: Female Artist of the Year and Banda Album of the Year for “Joyas prestadas: Banda.” She was nominated for Latin Grammys in 2002, 2008 and 2011.

Transportation and Communications Minister Gerardo Ruiz Esparza said “everything points toward” the wreckage belonging to the plane carrying Rivera and six other people to Toluca, outside Mexico City, from Monterrey, where the singer had just given a concert.

“There is nothing recognizable, neither material nor human” in the wreckage found in the state of Nuevo Leon, Ruiz Esparza said. The impact was so powerful that the remains of the plane “are scattered over an area of 250 to 300 meters. It is almost unrecognizable.”

A mangled California driver’s license with Rivera’s name and picture was found in the crash site debris.

No cause was given for the plane’s crash, but its wreckage was found near the town of Iturbide in Mexico’s Sierra Madre Oriental, where the terrain is very rough.

The Learjet 25, number N345MC, took off from Monterrey at 3:30 a.m. local time and was reported missing about 10 minutes later. It was registered to Starwood Management of Las Vegas, Nevada, according to FAA records. It was built in 1969 and had a current registration through 2015.

Also believed aboard the plane were her publicist, Arturo Rivera, her lawyer, makeup artist and the flight crew.

Though drug trafficking was the theme of some of her songs, she was not considered a singer of “narco corridos,” or ballads glorifying drug lords like other groups, such as Los Tigres del Norte. She was better known for singing about her troubles in love and disdain for men.

Her parents were Mexicans who had migrated to the United States. Two of her five brothers, Lupillo and Juan Rivera, are also well-known singers of grupero music.

She studied business administration and formally debuted on the music scene in 1995 with the release of her album “Chacalosa”. Due to its success, she recorded two more independent albums, “We Are Rivera” and “Farewell to Selena,” a tribute album to slain singer Selena that helped expand her following.

At the end of the 1990s, Rivera was signed by Sony Music and released two more albums. But widespread success came for her when she joined Fonovisa and released her 2005 album titled “Partier, Rebellious and Daring.”

Besides being a singer, she is also a businesswoman and actress, appearing in the indie film Filly Brown, which was shown at the Sundance Film Festival, as the incarcerated mother of Filly Brown.

She was filming the third season of “I love Jenni,” which followed her as she shared special moments with her children and as she toured through Mexico and the United States. She also has the reality shows: “Jenni Rivera Presents: Chiquis and Raq-C” and her daughter’s “Chiquis ‘n Control.”

In 2009, she was detained at the Mexico City airport when she declared $ 20,000 in cash but was really carrying $ 52,167. She was taken into custody. She said it was an innocent mistake and authorities gave her the benefit of the doubt and released her.

In 2011, her brother Juan assaulted a drunken fan at a popular fair in Guanajuato. In the face of heavy criticism among her fans and on social networks, Rivera publicly apologized for the incident during a concert in Mexico City, telling her fans: “Thank you for accepting me as I am, with my virtues and defects.”

On Saturday night, Rivera had given a concert before thousands of fans in Monterrey. After the concert she gave a press conference during which she spoke of her emotional state following her recent divorce from former Major League Baseball pitcher Esteban Loaiza, who played for teams including the New York Yankees and Los Angeles Dodgers.

“I can’t get caught up in the negative because that destroys you. Perhaps trying to move away from my problems and focus on the positive is the best I can do. I am a woman like any other and ugly things happen to me like any other woman,” she said Saturday night. “The number of times I have fallen down is the number of times I have gotten up.”

Rivera had announced in October that she was divorcing Loaiza after two years of marriage.

There have been several high-profile crashes involving Learjets, known as swift, longer-distance passenger aircraft popular with corporate executives, entertainers and government officials.

A Learjet carrying pro-golfer Payne Stewart and five others crashed in northeastern South Dakota in 1999. Investigators said the plane lost cabin pressure and all on board died after losing consciousness for lack of oxygen. The aircraft flew for several hours on autopilot before running out of fuel and crashing in a corn field.

Former Blink 182 drummer Travis Barker was severely injured in a 2008 Learjet crash in South Carolina that killed four people.

That same year, a Learjet slammed into rush-hour traffic in a posh Mexico City neighborhood, killing Mexico’s No. 2 government official, Interior Secretary Juan Camilo Mourino, and eight others on the plane, plus five people on the ground.

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Associated Press Writer Galia Garcia-Palafox and Olga R. Rodriguez contributed to this report from Mexico City.

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Britain launches genome database to improve patient care

LONDON (Reuters) – Up to 100,000 Britons suffering from cancer and rare diseases are to have their genetic codes fully sequenced and mapped as part of government efforts to boost drug development and improve treatment.

Britain will be the first country to introduce a database of genetic sequences into a mainstream health service, officials say, giving doctors a more advanced understanding of a patient’s illness and what drugs and other treatments they need.

It could significantly reduce the number of premature deaths from cancer within a generation, Prime Minister David Cameron‘s office said in a statement.

“By unlocking the power of DNA data, the NHS (National Health Service) will lead the global race for better tests, better drugs and above all better care,” Cameron said on Monday.

His government has set aside 100 million pounds ($ 160 million) for the project in the taxpayer-funded NHS over the next three to five years.

Harpal Kumar, chief executive of the charity Cancer Research UK, said the work would uncover new information from which doctors and scientists will learn about the biology of cancers and develop new ways to prevent, diagnose and treat them.

He said some targeted, or personalized, cancer treatments such as Novartis’ Gleevec, or imatinib – a drug for chronic myeloid leukemia – are already helping to treat patients more effectively.

Some critics of the project, known as the “UK genome plan”, have voiced concerns about how the data will be used and shared with third parties, including with commercial organizations such as drug companies.

Genewatch, a campaign group fighting for genetic science and technologies to be used in the public interest, has said anyone with access to the database could use the genetic codes to identify and track every individual on it and their relatives.

Cameron’s office said the genome sequencing would be entirely voluntary and patients would be able to opt out without affecting their NHS care. It said the data would be made anonymous before it is stored.

($ 1 = 0.6242 British pounds)

(Reporting by Kate Kelland; Editing by Stephen Powell and Tom Pfeiffer)

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These Christmas Trees Have Frequent Flier Miles

People are finicky about their Christmas trees. For some, that holiday staple must hail from Wisconsin. That’s where Wayne Raisleger comes in. He’s been FedExing Wisconsin trees from his Windswept Tree Farm to customers across the nation since 1999.

“A lot of my customers are ex-Wisconsin residents,” he says, noting that he’s shipped to at least 40 states. “They’re used to quality Christmas trees but are unable to get them, if they live in, say, Georgia, or Coral Gables, or the Los Angeles area, or what have you.”

Raisleger, who with his 23-year-old daughter runs the site ChristmasTreesNow.com, says orders have tripled over the past two decades. These days he sends out hundreds of trees each holiday season, for $ 75 a pop, plus shipping. Many of his customers are urbanites from Chicago and New York. “For them, it’s a question of convenience,” he says. It’s also among their only options for buying a freshly cut pine. Many Christmas trees sold on city street corners, Raisleger points out, are cut anywhere from six weeks to two months in advance. “I get calls from people who say they bought their tree and within a couple days the needles started falling off,” he says.

Still, the mail-order tree business isn’t for the faint of heart. Raisleger has a good deal of competition, not only in Wisconsin, but also from other big Christmas tree-growing states such as Michigan. There are also some unique challenges. Packaging, for example.

“Every tree is different—just like every person is different—and here I am, I have to package a very nonstandard Christmas tree into a standard-size box,” says Raisleger. He solved the problem by making his own boxes. “We buy huge [cardboard] blanks that are like 100-inch x 100-inch squares, and we start making boxes in early November,” he says. “In packing the trees, you have to be very attuned to the branching, the configuration, the density—and if the tree is too cold, the limbs can snap off.”

The cost of shipping varies from state to state. Shipping a tree via FedEx (FDX) from Wisconsin to Florida or California costs roughly $ 65, while shipping to Texas costs about $ 40. Last minute buyers, of course, pay a lot more. “Invariably I get an order or two around the 20^th, when someone wants a tree air freighted by FedEx,” says Raisleger. “I’m serious. Last year there was a fella in North Carolina. I think the tree was like $ 75 and the FedEx Air was like $ 225.”

Raisleger also keeps his eye out for tree scams. “Every year I have at least one fraudulent order on a stolen credit card,” he says. “This year, one of my first ones, right off the bat, was somebody from New York who ordered a tree to be delivered to Miami.”

A much more serious problem, which affects both online and offline sales, is the weather. This year Wisconsin, along with other Midwest states, suffered the worst drought since 1988. According to Donna Gilson, a spokeswoman for Wisconsin’s Department of Agriculture, Trade & Consumer Protection, thousands of trees were wiped out. “We inspected 212 of our licensed growers this year—that was 446 fields,” she says. “What we found was that 97 fields had drought damage, meaning that that they had 40 percent or more mortality rates.” The trees that did survive, she notes, were typically older trees, with deeper root systems.

Windswept Tree Farm suffered immensely. “I got to tell ya, I have partnerships with a couple growers—and I grow right here too—and we’ve lost everything we planted this spring,” says Raisleger. “We’re talking thousands and thousands and thousands of trees.”

Christmas trees normally take six to eight years to mature, which means we won’t see repercussions from the drought this year. We may, in fact never see any at all, if growers can manage to make up for their loss in coming seasons. “Those farms in Wisconsin, they might plant twice as many trees next year, and they might grow twice as fast in 2015 or 2016,” says Rick Dungey, a spokesman for the National Christmas Tree Association. “The trees also might be ready to harvest at 5 feet tall, or maybe they’re going to wait for them to be harvested at 8 feet tall,” he says.

Raisleger isn’t so sure. “I’m not going to say that there’s going to be a shortage of trees, because there are trees growing in other parts of the country,” he says. “But I think that quality might be diminished somewhat—I was just looking at my home plantation here, and some of the trees are still turning brown, and we’re into December now.”

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