Police identify Portland mall shooter

PORTLAND, Ore. (AP) — The gunman who killed two people and himself in a shooting rampage at an Oregon mall was 22 years old and used a stolen rifle from someone he knew, authorities said Wednesday.

Jacob Tyler Roberts had armed himself with an AR-15 semiautomatic rifle and had several fully loaded magazines when he arrived at a Portland mall on Tuesday, said Clackamas County Sheriff Craig Roberts.

The sheriff said the rifle jammed during the 22-year-old's attack, but he managed to get it working again. He later shot himself. Authorities don't yet have a motive but don't believe he was targeting specific people.

Two people — a 54-year-old woman and a 45-year-old man — were killed, and another, Kristina Shevchenko, whose age could not be confirmed, was wounded and in serious condition on Wednesday.

Roberts, wearing a hockey-style face mask, parked his 1996 green Volkswagen Jetta in front of the second-floor entrance to Macy's and walked briskly through the store, into the mall and began firing randomly, police said.

He fatally shot Steven Mathew Forsyth of West Linn and Cindy Ann Yuille of Portland, the sheriff said.

Roberts then fled along a mall corridor and into a back hallway, down stairs and into a corner where police found him dead from an apparent self-inflicted gunshot, authorities said.

People at the mall were heroic in helping get shoppers out of the building, including medical personnel who rendered aid, Roberts said.

In response to previous mass shootings elsewhere, the first arriving officers were trained to form teams and go inside instead of waiting for SWAT. Employees at the mall also received training to handle such a situation.

"This could have been much, much worse," Roberts said.

The first 911 call came at 3:29 p.m. Tuesday and officers arrived a minute later. By 3:51 p.m., all the victims and the gunman and rifle had been found. Four SWAT teams spent hours clearing the 1.4 million square-foot mall, leaving shoppers and workers to hide in fear.

Roberts rented a basement room in a modest, single-story Portland home and hadn't lived there long, said a neighbor, Bobbi Bates. Bates said she saw Roberts leave at 1:30 p.m. Tuesday wearing a dark jacket and jeans, carrying a guitar case. An occupant at the house declined to comment.

The mall Santa, Brance Wilson, was waiting for the next child's Christmas wish when shots rang out, causing the mall to erupt into chaos.

About to invite a child to hop onto his lap, Wilson instead dove for the floor and kept his head down as he heard shots being fired upstairs in the mall.

"I heard two shots and got out of the chair. I thought a red suit was a pretty good target," said Wilson, 68. Families waiting for Santa scattered. More shots followed, and Wilson crept away for better cover.

Witnesses heard the gunman saying, "I am the shooter," as he fired rounds from a semi-automatic rifle inside the Clackamas Town Center, a popular suburban mall several miles from downtown Portland.

Some were close enough to the shooter to feel the percussion of his gun.

Kayla Sprint, 18, was interviewing for a job at a clothing store when she heard shots.

"We heard people running back here screaming, yelling '911,'" she told The Associated Press.

Sprint barricaded herself in the store's back room until the coast was clear.

Jason DeCosta, a manager of a window-tinting company that has a display on the mall's ground floor, said when he arrived to relieve his co-worker, he heard shots ring out upstairs.

DeCosta ran up an escalator, past people who had dropped for cover and glass littering the floor.

"I figure if he's shooting a gun, he's gonna run out of bullets," DeCosta said, "and I'm gonna take him."

DeCosta said when he got to the food court, "I saw a gentleman face down, obviously shot in the head."

"A lot of blood," DeCosta said. "You could tell there was nothing you could do for him."

He said he also saw a woman on the floor who had been shot in the chest.

Austin Patty, 20, who works at Macy's, said he saw a man in a white mask carrying a rifle and wearing a bulletproof vest. There was a series of rapid-fire shots in short succession as Christmas music played. Patty said he dove for the floor and then ran.

His Macy's co-worker, Pam Moore, told the AP the gunman was short, with dark hair.

Kira Rowland told KGW-TV that she was shopping at Macy's with her infant son when the shots started.

"All of a sudden you hear two shots, which sounded like balloons popping," Rowland told the station. "Everybody got on the ground. I grabbed the baby from the stroller and got on the ground."

Rowland said she heard people screaming and crying.

"I put the baby back in the stroller and ran," Rowland said.

Kaelynn Keelin was working two stores down from Macy's when the gunfire began. She watched windows of another store get shot out. She and her co-workers ran to get customers inside their own store to take shelter.

"If we would have run out, we would have run right into it," she said.

Shaun Wik, 20, was Christmas shopping with his girlfriend and opened a fortune cookie at the food court. Inside was written: "Live for today. Remember yesterday. Think of tomorrow."

As he read it, he heard three shots. He heard a man he believes was the gunman shout, "Get down!" but Wik and his girlfriend ran. He heard seven or eight more shots. He didn't turn around.

"If I had looked back, I might not be standing here," Wik said. "I might have been one of the ones who got hit."

Clackamas Town Center is one of the Portland area's biggest and busiest malls, with 185 stores and a 20-screen movie theater.

Holli Bautista, 28, was shopping at Macy's for a Christmas dress for her daughter when she heard pops that sounded like firecrackers. "I heard people running and screaming and saying 'Get out, there's somebody shooting,'" she told the AP.

She said hundreds of shoppers and mall employees started running, and she and dozens of other people were trying to escape through a department store exit.

Tiffany Turgetto and her husband were leaving Macy's through the first floor when they heard gunshots coming from the second floor of the mall. They were able to leave quickly through a Barnes & Noble bookstore before the police locked down the mall.

"I had left my phone at home. I was telling people to call 911. Surprisingly, people are around me, no one was calling 911. I think people were in shock," she said.

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Associated Press writers Steven DuBois, Nigel Duara, Anne M. Peterson, Tim Fought and Sarah Skidmore in Portland, Michelle Price in Phoenix, Pete Yost in Washington, Manuel Valdes in Seattle and researcher Rhonda Shafner contributed to this report.

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Michigan passes right-to-work bills

LANSING, Michigan (Reuters) - Michigan legislators on Tuesday approved laws that ban mandatory membership in public and private sector unions, dealing a stunning blow to organized labor in the home of the U.S. auto industry.

Republican Governor Rick Snyder was poised to sign the bills into law within days. That would make Michigan the 24th U.S. state with so-called right-to-work laws that prohibit unions from establishing a "closed shop" requiring employees to join unions and contribute dues.

As more than 12,000 unionized workers and supporters protested at the capitol in Lansing, the Republican-dominated House of Representatives gave final approval to the bills. In less than a week, Michigan was transformed from a bastion of union influence to the verge of joining states, mostly in the South, that have weakened legal protections for unions.

While labor leaders decried the legislation, Republican Representative Lisa Lyons said during the debate in the House that the right-to-work laws are not an attack on unions.

"This is the day Michigan freed its workers," she said.

Opponents argue that they undermine a basic union tenet of bargaining collectively with employers for better wages, benefits and working conditions. They also allow workers to opt out of a union, potentially reducing membership.

By weakening unions, Republicans also could hurt the Democratic Party, which traditionally receives a significant portion of its funding and grassroots support from labor unions.

Supporters of right-to-work say some unions have become too rigid and workers should be given a choice of whether to join. They also say that a more flexible labor market encourages businesses to invest and open plants in right-to-work states.

CRIES OF "SHAME"

Right-to-work was approved to cries of "shame" from protesters inside the Capitol building, which was closed to visitors when it reached capacity of 2,200, Michigan State Police Inspector Gene Adamczyk said.

An estimated 10,000 more people demonstrated outside in cold and snowy conditions, including members of the United Auto Workers union, and teachers, who shut down several schools in the state to attend the rally.

A few protesters were ejected from the Capitol after they chanted slogans from the gallery during the debate. Protesters tore down two tents set up for supporters of right-to-work on the grounds of the Capitol but Adamczyk said two people were arrested after scuffling with officers.

The show of force by unionized workers recalled huge rallies in Wisconsin two years ago when Republicans voted to curb public sector unions.

Teamsters union national president, Jim Hoffa Jr., whose father Jimmy Hoffa Sr. was one of the nation's most famous labor leaders and disappeared in 1975 in Michigan, denounced Republican leaders in a speech to the protesters.

"Let me tell the governor and all those elected officials who vote for this shameful, divisive bill - there will be repercussions," Hoffa said. "Some day soon, they will face the voters of Michigan and they will have to explain why they sided with the billionaires to back this destructive legislation."

Unions have accused Snyder of caving in to wealthy Republican business owners who wanted right-to-work passed.

The right-to-work movement has grown in the United States in recent years. Indiana earlier this year became the first state in the industrial Midwest to approve right-to-work and several other states are watching the Michigan action closely.

LEGAL CHALLENGES LOOM

Wisconsin Republicans in 2011 passed laws severely restricting the power of public sector unions. While Wisconsin did not attempt to pass right-to-work, the success of Republicans there in curbing powerful unions such as teachers and state workers encouraged politicians in other states to follow suit.

Republicans in Michigan also were emboldened by the defeat in the November election of a ballot initiative backed by unions that would have enshrined the right to collective bargaining in the state constitution.

Michigan is home of the heavily unionized U.S. auto industry, with some 700 manufacturing plants in the state. The state has the fifth highest percentage of workers who are union members at 17.5 percent. Only New York, Alaska, Hawaii and Washington state are more heavily unionized.

The Detroit area is headquarters for General Motors Co, Ford Motor Co and Chrysler, which is majority owned by Fiat SpA.

The UAW was founded in Michigan after a 1932 protest at a Ford plant in Dearborn left five people dead, increasing public sympathy for industrial workers during the Great Depression and leading to national legislation protecting unions.

Democrats and unions have vowed to challenge the new laws in the courts, to try to overturn them in a ballot initiative and possibly oust some Republicans who voted for right-to-work through recall elections.

Democratic Representative Douglas Geiss said right-to-work laws would lead to a resumption of the protests that led to unions some 70 years ago.

"There will be fights on the shop floor if many workers announce they will not pay union dues," Geiss said.

(Additional reporting by Robert Carr and David Bailey; Editing by Greg McCune and Bill Trott)

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States anxious over debt talks stalemate

JEFFERSON CITY, Mo. (AP) — A plunge over the federal "fiscal cliff" may sound like a terrifying risk for many state officials anxiously watching as Washington struggles to avert automatic tax hikes and spending cuts set to start with the new year. Yet their greatest angst may stem not from the potential loss of billions of dollars, but the confusion surrounding it all.

The longer the White House and Congress remain at odds, the more difficult it becomes for governors and lawmakers who are trying to piece together their own budgets. Many states depend on federal grants to help finance education, environmental and community programs that are on the chopping block. Their economies are powered by military bases and defense contractors that could get whacked. And their state income tax revenues could rise or fall as a direct result of federal tax hikes.

All that of that is to say that states have a lot riding on the strained negotiations between national Democrats and Republicans over some way of raising revenues and reducing spending that would avoid a more drastic deficit-reduction plan, known as the "fiscal cliff" because it could send the country back into an economic recession.

"From a general economic standpoint, the sooner they could do something the better," said Missouri budget director Linda Luebbering in a bit of understatement.

If nothing is done, states stand to lose $7.5 billion in federal funding for 161 grant programs subject to automatic spending cuts, according to the Federal Funds Information for States, a Washington-based organization that tracks the effects of policy decisions on states. The biggest of those cuts could come to federal aid for schools that teach large numbers of low-income students. Funding for special education, early childhood programs and food subsidies for women and children also could take sizable cuts.

If nothing is done, state economies could get jolted by an automatic $33.6 billion of spending cuts for defense contracting and military wages — hitting especially hard in places such as Virginia, California and Texas, according to the FFIS report.

And if nothing is done, state budgets also would feel the ramifications of federal tax increases, though not necessarily in a negative way. Because of how their tax codes are linked to federal regulations, more than half the states could see an increase in state income tax collections if cuts are made to federal income tax deductions and credits.

But that potential boost in state revenues could be wiped out if the plunge over the fiscal cliff were to result in another recession, said Ingrid Schroeder, a research director at the Pew Center on the States. Rising unemployment could mean more people qualifying for Medicaid and other government services, costing states additional money.

This past week, bipartisan groups of governors and state lawmakers met with President Barack Obama to urge a solution that doesn't pass the buck to local governments.

"Don't make the states pay the lion's share of whatever this medicine is that we've all got to swallow," said Arkansas Gov. Mike Beebe.

As governors pressed for resolution, state financial directors churned out dire predictions.

New York Comptroller Thomas DiNapoli warned that state and local governments may have to consider additional tax hikes to counter a projected $5 billion reduction in federal funding over nine years. The burden would fall on some residents who "are literally digging out from (Superstorm) Sandy's devastation," he said.

A report prepared for the Texas Senate estimated that nearly 4,000 jobs could be lost as a result of a projected $565 million cut in federal funds for child care, job training, cancer and AIDS screenings and other services affecting nearly 2 million Texas residents.

Oklahoma Gov. May Fallin said the state could lose as many as 8,000 jobs in the aerospace and defense industries, and Minnesota state economist Tom Stinson forecast "ultimate gloom" under a fiscal-cliff induced downturn that he said could cost 115,000 jobs in 2013-2014 and hundreds of millions of dollars of lost state tax revenues.

In California, letters have been sent to 360,000 jobless residents warning that a federally funded extension of their benefits could expire.

Even through the federal spending cuts and tax hikes have yet to kick in, some state officials believe they already are suffering the effects. Massachusetts Gov. Deval Patrick ordered spending cuts this past week to help close a projected $540 million budget hole that he blamed largely on the federal stalemate. Businesses are reluctant to make capital investments without knowing what will happen, he said.

"By all accounts, that uncertainty and the resulting slowdown in economic growth is the direct cause of our budget challenges," Patrick said.

In many states, confusion reigned. Governors often must present a budget to legislators early in 2013. That means their financial experts are working now on estimates of how much tax revenue they'll receive and how much federal funding they can rely upon. The ongoing negotiations in Washington are forcing some to leave question marks in their calculations.

"States have already had to make really tough budget decisions over the last couple of years," said Schroeder, of the Pew Center. "This uncertainty about exactly what their revenue is going to be makes an already difficult process that much more difficult."

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Associated Press writers Chuck Bartels in Little Rock, Ark; Thomas Beaumont in Des Moines, Iowa; Patrick Condon in St. Paul, Minn.; Michael Gormley in Albany, N.Y.; Carla Johnson in Chicago; Judy Lin in Sacramento, Calif.; Bob Salsberg in Boston; Tim Talley in Oklahoma City; and Will Weissert in Austin, Texas.

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Syria's civil war spills into Lebanon, 4 dead

BEIRUT (AP) — Syria's civil war spilled over into neighboring Lebanon once again on Sunday, with gun battles in the northern city of Tripoli between supporters and opponents of President Bashar Assad's regime that left four dead.

Nine Syrian judges and prosecutors also defected to the opposition. It was the latest setback for the regime, which appears increasingly embattled with rebels making gains in northern Syria and near Damascus, the capital.

Germany's Federal Intelligence Service chief Gerhard Schindler predicted the Assad regime would not survive.

"Signs are increasing that the regime in Damascus is in its final phase," he was quoted as telling the daily Frankfurter Allgemeine Sonntagszeitung.

In Geneva, the United Nation's Special Representative for Syria and the Arab League, Lakdhar Brahimi, met with Russian Deputy Foreign Minister Mikhail Bogdanov and U.S. Deputy Secretary of State William Burns to discuss the crisis in Syria. They said in a joint statement that the situation in Syria was "bad and getting worse," adding that a political process to end the conflict was "still necessary and still possible."

Russia and the United States have argued bitterly over how to address the conflict, which began with peaceful protests against Assad in March 2011 and escalated into a civil war that has killed an estimated 40,000 people. Activists said another 45 were killed on Sunday.

The U.S. has criticized Russia for shielding the Assad regime, while Moscow has accused Washington of encouraging the rebels and being intent on regime change.

In Moscow, Russian Foreign Minister Sergey Lavrov said that Russia agreed to take part in the Geneva talks on condition there would be no demand for Assad to step down. Washington and its allies, including Turkey, have repeatedly called on the Syrian president to leave power to help stop the bloodshed.

"We are not conducting any negotiations on the fate of Assad," Lavrov said, adding that the Americans were wrong to see Moscow as softening its position on Syria. "All attempts to portray things differently are unscrupulous, even for diplomats of those countries which are known to try to distort the facts in their favor."

Addressing fears that Assad could use chemical weapons in a last-ditch effort to save his regime, Lavrov once again said the Syrian government has given assurances that it has no intention of ever using the weapons of mass destruction. He said the greatest threat is that they would fall into the hands of militants.

Lavrov met last week with Brahimi and U.S. Secretary of State Hillary Rodham Clinton in Dublin. Afterward, Clinton said the United States and Russia were committed to trying again to get both sides in the Syrian conflict to talk about a political transition. Clinton stressed that the U.S. would continue to insist that Assad's departure be a key part of that transition.

Russia's foreign minister said that after he agreed to a U.S. proposal to have his and Clinton's deputies "brainstorm" on Syria, the Americans began to suggest that Russia was softening its position.

"No such thing," Lavrov said. "We have not changed our position."

He urged the international community to come together and "with one voice" to demand a cease-fire, return U.N. observers in bigger numbers and begin a political dialogue. Lavrov repeated that Russia was not wedded to Assad but believed that only the Syrians have the right to choose their leaders.

In Lebanon, fighting between pro-and anti-Assad gunmen flared as bodies of three Lebanese, who were killed after crossing into Syria to fight in the civil war were brought back home for burial, the state-run National News Agency said.

Four people were killed and 12 were wounded in the gunfights, the agency said. Two Lebanese soldiers were also injured, the Lebanese Armed Forces command said.

Syria civil war has often spilled into neighboring countries including Turkey, Lebanon and Israel, raising concerns of a wider war in the volatile region.

Lebanon, which Syria dominated for decades, is particularly vulnerable to getting sucked into the crisis. The two countries share a porous border and a complex web of political and sectarian ties.

Syria's opposition is dominated by members of the Sunni Muslim minority. Assad's regime is predominantly Alawite, an offshoot of Shiite Islam.

Tripoli has been the scene of frequent sectarian clashes between the Alawite and Sunni Muslim communities. Last week, the Lebanese army sent additional troops to Tripoli to try to prevent clashes that broke out over reports that 17 Lebanese men were killed after entering Syria to fight alongside the rebels.

In Syria, fighting between opposition fighters and regime troops was concentrated in northern Idlib province, in the Damascus suburbs and in Aleppo, Syria's largest city, according to the Britain-based opposition activist group Syrian Observatory for Human Rights. At least 45 people were killed in fighting Sunday, said the group, which relies on reports from activists on the ground.

The defecting judges posted a joint statement online urging others to join them and break ranks with Assad's regime. There have been a series of high-level defections over the past year, including Assad's former prime minister. The Observatory said the latest defectors came from the northern city of Idlib.

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Associated Press writers Jamal Halaby in Amman, Jordan, Lynn Berry in Moscow, John Heilprin in Geneva, Switzerland, and Geir Moulson in Berlin contributed to this report.

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Storm that killed 600 threatens Philippines again

NEW BATAAN, Philippines (AP) — A typhoon that had left the Philippines after killing nearly 600 people and leaving hundreds missing in the south has made a U-turn and is now threatening the country's northwest, officials said Saturday.

The weather bureau raised storm warnings over parts of the main northern island of Luzon after Typhoon Bopha veered northeast. There was a strong possibility the disastrous storm would make a second landfall Sunday, but it might also make a loop and remain in the South China Sea, forecasters said. In either case, it was moving close to shore and disaster officials warned of heavy rains and winds and possible landslides in the mountainous region.

Another calamity in the north would stretch recovery efforts thin. Most government resources, including army and police, are currently focused on the south, where Bopha hit Tuesday before moving west into the South China Sea.

With many survivors still in shock, soldiers, police and outside volunteers formed most of the teams searching for bodies or signs of life under tons of fallen trees and boulders swept down from steep hills surrounding the worst-hit town of New Bataan, municipal spokesman Marlon Esperanza said.

"We are having a hard time finding guides," he told The Associated Press. "Entire families were killed and the survivors ... appear dazed. They can't move."

He said the rocks, mud, tree trunks and other rubble that litter the town have destroyed landmarks, making it doubly difficult to search places where houses once stood.

On Friday, bodies found jammed under fallen trees that could not be retrieved were marked with makeshift flags made of torn cloth so they could be easily spotted by properly equipped teams.

Authorities decided to bury unidentified bodies in a common grave after forensic officials process them for future identification by relatives, Esperanza said.

The town's damaged public market has been converted into a temporary funeral parlor. A few residents milled around two dozen white wooden coffins, some containing unidentified remains.

One resident, Jing Maniquiz, 37, said she rushed home from Manila for the wake of two of her sisters, but could not bring herself to visit the place where her home once stood in Andap village. Her parents, a brother and nephew are missing.

"I don't want to see it," she said tearfully. "I can't accept that in just an instant I lost my mother, my father, my brother."

She said that at the height of the typhoon, her mother was able to send her a text message saying trees were falling on their house and its roof had been blown away.

Maniquiz said her family sought refuge at a nearby health center, but that was destroyed and they and dozens of others were swept away by the raging waters.

"We are not hopeful that they are still alive. We just want to find their bodies so that we will have closure," she said.

Mary Joy Adlawan, a 14-year-old high school student from the same village, was waiting for authorities to bury her 7-year-old niece.

Her parents, an elder sister, five nieces and a nephew are missing.

"I don't know what to do," she said as she fixed some flowers on the coffin.

Esperanza said heavy equipment, search dogs and chain saws were brought by volunteers from as far away as the capital, Manila, about 950 kilometers (590 miles) to the north.

Nearly 400,000 people, mostly from Compostela Valley and nearby Davao Oriental provinces, have lost their homes and are crowded inside evacuation centers or staying with relatives.

The typhoon plowed through the main southern island of Mindanao, crossed the central Philippines and lingered over the South China Sea for the past two days. It made a U-turn Saturday and is now threatening the northwestern Ilocos region.

President Benigno Aquino III, after visiting the disaster zone, declared a state of national calamity late Friday to speed up rescue and rehabilitation, control prices of basic commodities in typhoon-affected areas and allow the quick release of emergency funds.

In Bangkok, Thailand, U.N. humanitarian chief Valerie Amos said the Philippines had appealed for international aid. She said many countries have already provided assistance, but did not specify the amounts.

Officials say 276 people were killed in Compostela Valley, including 155 in New Bataan, and 277 in Davao Oriental. About 40 people died elsewhere and nearly 600 are still missing, 411 from New Bataan alone.

Davao Oriental Gov. Corazon Malanyaon told the AP that clean water and shelter were the biggest problem in three towns facing the Pacific Ocean. She said she imposed a curfew there and ordered police to guard stores and shops to stop looting.

The Philippines is also counting economic losses. Banana growers reported that 14,000 hectares (34,600 acres) of export banana plantations, equal to 18 percent of the total in Mindanao, were destroyed. The Philippines is the world's third-largest banana producer and exporter, supplying international brands such as Dole, Chiquita and Del Monte.

Stephen Antig, executive director of the Pilipino Banana Growers and Exporters Association, said losses were estimated at 12 billion pesos ($300 million), including 8 billion pesos ($200 million) in damaged fruits that had been ready for harvest, and the rest for the cost of rehabilitating farms, which will take about a year.

At the Vatican, Pope Benedict XVI expressed closeness to the people hit by the typhoon. "I pray for the victims, for their families and for the many homeless," the pontiff said Saturday, addressing pilgrims and tourists from his studio window overlooking St. Peter's Square.

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Associated Press writers Oliver Teves and Hrvoje Hranjski in Manila, Francisco Rosario in Bangkok, Thailand, and Frances D'Emilio in Rome contributed to this report.

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Obama accepting corporate cash for inaugural

After the most expensive campaign in U.S. history, President Obama is dropping his principled objection to some forms of political fundraising to help pay for the post-election party.

ABC News has learned that the Presidential Inaugural Committee will accept unlimited corporate donations to help fund Obama's inauguration festivities next month, reversing a voluntary ban on the money he imposed on the inaugural four years ago and during the 2012 Democratic National Convention.

Obama will also allow individuals to contribute up to the legal maximum for the 2013 inauguration - $250,000 - lifting a $50,000 cap he voluntarily imposed in 2008, sources said.

The shift appeared to be driven by fundraising challenges in the wake of a multi-billion dollar campaign. Obama and GOP nominee Mitt Romney each raised north of $1 billion for the election cycle - historic highs - according to Federal Election Commission filings released Thursday.

Obama's 2009 inaugural celebration cost $47 million.

Officials said cost considerations for the 2013 festivities would mean less elaborate events than four years ago. There will not be a star-studded concert on the National Mall, for example, and there will be fewer inaugural balls.

A spokeswoman for the committee said Obama will still not accept donations from lobbyists or PACs, or allow any individuals or corporations to formally sponsor specific inaugural events, such as the parade.

"Our goal is to make sure that we will meet the fundraising requirements for this civic event after the most expensive presidential campaign in history," said Addie Whisenant. "To ensure continued transparency, all names of donors will be posted to a regularly updated website."

Whisenant told ABC News that the Inaugural Committee will "fully vet" all individual and corporate donors and that "contributions from those not meeting the vetting standard will not be accepted." Among those barred by law are foreign nationals and corporations; the committee says it will also reject funds from companies that have outstanding TARP payments.

Obama's reversal is not the first time he has dropped self-imposed campaign financing rules meant to "change business as usual in Washington." Earlier this year, Obama dropped his long-standing opposition to super PACs, giving his approval for top aides to support Priorities USA Action. During the 2008 campaign, he broke a standing promise to accept public financing for the general election.

The Inaugural weekend will kick off on Saturday, Jan. 19, with a National Day of Service that will include participation from the First Family, Vice President Biden, and members of the Cabinet - a tradition started by the Obamas in 2009.

On Jan. 20, as is constitutionally required, Obama will be sworn in during a private ceremony. A public-swearing in, parade and inaugural balls will take place on Monday, Jan. 21.

Leading the fundraising effort for inauguration are four of Obama's most loyal surrogates and financiers: Former ambassador Matt Barzun, the Obama campaign's national finance chair and a top bundler; actress Eva Longoria, an Obama campaign co-chair and bundler; Jane Stetson, finance chairwoman of the DNC; and businessman Frank White.

News of Obama's shift on inaugural financing was first reported by Politico's Donovan Slack.

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NATO moving missiles, troops to Syria-Turkey border

BEIRUT (AP) — As fears grow in the West that Syrian President Bashar Assad will unleash chemical weapons as an act of desperation, NATO moved forward Thursday with its plan to place Patriot missiles and troops along Syria's border with Turkey to protect against potential attacks.

Assad's regime blasted the move as "psychological warfare," saying the new deployment would not deter it from seeking victory over rebels it views as terrorists.

The missile deployment sends a clear message to Assad that consequences will follow if he uses chemical weapons or strikes NATO member Turkey, which backs the rebels seeking his ouster. But its limited scope also reflects the low appetite in Western capitals for direct military intervention in the civil war.

The U.S. and many European and Arab countries called for Assad to step down early in the uprising but have struggled to make that happen. Russia and China have protected Assad from censure by the U.N. Security Council, and the presence of extremists among the rebels makes the U.S. and others nervous about arming them.

In Dublin, Ireland, U.S. Secretary of State Hillary Rodham Clinton joined Russia's foreign minister and the U.N. peace envoy to the Arab country for three-way talks that suggested Washington and Moscow were working toward a common strategy as the Assad regime weakens.

The diplomatic efforts to end the civil war come days after NATO agreed to post Patriot missiles and troops along Turkey's southern border with Syria after mortars and shells from Syria killed five Turks.

Germany's Cabinet approved the move on Thursday, and German Defense Minister Thomas de Maiziere told reporters that the overall mission is expected to include two batteries each from the Netherlands and the United States, plus 400 soldiers and monitoring aircraft.

"Nobody knows what such a regime is capable of and that is why we are acting protectively here," said German Foreign Minister Guido Westerwelle.

In Washington, U.S. Defense Secretary Leon Panetta said Thursday that intelligence reports raise fears that an increasingly desperate Assad is considering using his chemical weapons arsenal — which the U.S. and Russia agree is unacceptable.

The Assad regime said the NATO deployment would not make Assad change course, calling the talk of chemical weapons part of a conspiracy to justify future intervention.

"The Turkish step and NATO's support for it are provocative moves that constitute psychological warfare," Syria's Deputy Foreign Minister Faisal Mekdad said in an interview with Lebanon's Al-Manar TV. "But if they think this will affect our determination and work for a decisive victory in this fight against terrorism, they are very wrong."

Syria has not confirmed it has chemicals weapons, while insisting that it would never use such arms against its own people.

"I repeat for the hundredth time that even if such weapons exist in Syria, they will not be used against the Syrian people," Mekdad said. "We cannot possibly commit suicide."

Analysts say the missile deployment sends a message to Assad to keep the war in his own country.

"There is an element there of deterrence, of coercive diplomacy," said Yezid Sayigh of the Carnegie Middle East Center in Beirut. "We won't go further if you don't go further."

Sayigh said it is possible that Syria, too, moved its chemical weapons to send a counter-message to the West.

Still, the missile deployment does not appear to be a step toward military intervention, he said, noting that no NATO member nations want to enter the war.

NATO officials said the Patriots will be programmed only to intercept Syrian weapons that enter Turkish airspace and will not be fired into Turkey preemptively. This means they would not target Syrian military activities that remain inside Syria.

The German Parliament is expected give its final approval in mid-December, and the Dutch are also expected to approve the move soon, allowing the plan to go ahead. Due to the complexity and size of the Patriot batteries, they will probably have to travel by sea and won't arrive in Turkey for another month.

In Syria, government forces shelled rebellious suburbs around the capital, Damascus. They also clashed with rebels in Damascus as well as in the northern city of Aleppo and elsewhere. Anti-regime activists say more than 40,000 have been killed since the country's crisis started with political protests in March 2011.

The fighting in Syria has enflamed tensions in neighboring Lebanon, where security officials said the toll in clashes between two neighborhoods in the northern city of Tripoli had risen to eight dead and more than 60 wounded.

The clashes between the two communities, which support opposite sides in Syria's civil war, started Monday, following reports that 17 Lebanese men were killed after entering Syria to fight alongside the rebels.

The officials spoke on condition of anonymity because they were not authorized to brief the media.

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Associated Press writers David Rising in Berlin and Matthew Lee in Washington contributed to this report.

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Dems call Republicans 'hostage takers' on debt talks

Screen shot from GOPHostageTakers.com

House Democrats on Wednesday launched a new microsite, GOPHostageTakers.com, criticizing Republican leaders for not holding a vote to exclusively extend middle-income tax rates for another year as part of avoiding the so-called fiscal cliff.

Current tax rates for all income levels are set to automatically increase in 2013 unless Congress takes action this year. Most Republicans want to extend the current rates for all income levels, while Democrats want taxes to increase for households earning more than $250,000 annually.

The Democratic Congressional Campaign Committee launched the site as part of a larger messaging effort to goad Republicans into voting on a bill that excludes those earning more than $250,000 from the rate extension.

This week, House Minority Leader Nancy Pelosi, a California Democrat, submitted a "discharge petition" that would force a vote on a bill to extend rates only for middle-class taxpayers, but only if she can persuade 218 members of the Republican-led House to sign it. (Realistically, it's unlikely.) On the microsite, House Democrats list the names of some Republicans they consider "vulnerable" who have declined to sign Pelosi's petition.

Earlier this year, the Republican-led House approved a bill to extend tax rates for all income brackets while the Democrat-controlled Senate passed a measure that extends them for households under the $250,000 level.

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Conservative Republicans booted from House budget panel

WASHINGTON (Reuters) - Two of the most conservative Republicans in the House of Representatives have been kicked off the House Budget Committee, a rare move that could make it easier for the panel to advance a deal with Democrats to cut fiscal deficits.

Representatives Tim Huelskamp of Kansas and Justin Amash of Michigan - both favorites of the anti-tax Tea Party movement - are among those Republicans voting most often against House Speaker John Boehner.

Huelskamp and Amash, who both will begin second terms in the House next month, voted against last year's deal to raise the federal debt limit and staunchly oppose any tax increases. Boehner has now included new revenue in his latest offer to avert the "fiscal cliff" of year-end tax hikes and automatic spending cuts. Given their voting records, winning support from Huelskamp and Amash for such a compromise seemed an uphill battle.

Huelskamp released a statement saying the Republican leadership "might think they have silenced conservatives but removing me and others from key committees only confirms our conservative convictions.

"This is clearly a vindictive move and a sure sign that the GOP establishment cannot handle disagreement," he said.

Huelskamp and Amash had said that despite sweeping changes to the Medicare and Medicaid healthcare programs, committee chairman Paul Ryan's budget did not make deep enough cuts to entitlement programs and military spending.

Boehner spokesman Michael Steel declined to be specific on the reasons for their ouster by the House Republican Steering Committee, which occurred Monday in a closed-door meeting.

"The Steering Committee makes decisions based on a range of factors," Steel said.

Huelskamp said he was given "limited explanation" for his removal from the Budget Committee, a move he called "vindictive." A spokesman for Amash could not be immediately reached for comment.

Huelskamp and Amash cast the only House Budget Committee votes against Ryan's budget plan earlier this year.

While there is often wrangling over committee chairmanships just before a new Congress takes office, it is rare for rank-and-file committee members to be stripped of their assignments.

The 34-member Republican steering committee is headed by Boehner and includes members of House leadership, committee chairs and other lawmakers representing different regions of the country.

The same group last week recommended that Ryan, the conservative former Republican vice presidential candidate, be renewed as Budget Committee chairman.

(Editing by Bill Trott)

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Duchess of Cambridge expecting a baby

ABC News' Christina Ng and Carolyn Durand report:

Kate Middleton is pregnant.


The most eagerly awaited pregnancy was announced today by St. James Palace on behalf of Middleton and her husband Prince William.

The child, whether boy or girl, will eventually be heir to the British
throne according to new legislation awaiting final approval.

The duchess was admitted to King Edward VII Hospital today in central
London with hyperemesis gravidarum, an acute morning sickness which
requires supplementary hydration and nutrients, the palace said.

Click here for photos of Kate through the years.

"As the pregnancy is in its very early stages, Her Royal Highness is
expected to stay in hospital for several days and will require a period
of rest thereafter," the statement said.

The royal family was clearly delighted with the news.

"Their Royal Highnesses The Duke and Duchess of Cambridge are very
pleased to announce that The Duchess of Cambridge is expecting a baby,"
the palace said in a statement today. "The Queen, The Duke of Edinburgh,
The Prince of Wales, The Duchess of Cornwall and Prince Harry and
members of both families are delighted with the news."

The baby will be the queen's third great-grandchild.

Robert Lacey, author of the definitive book "Majesty" said, "The British
public and indeed the whole world will be delighted for the same, it
keeps the monarchy going. The royal wedding brought a magic back to the
monarchy and people are fascinated by William and Catherine."

The announcement follows relentless public and media speculation about
when Prince William and his wife would have an heir. The guessing game
began almost immediately after the couple said, "I do."

VOTE: What Should They Name the Baby?

Tabloids began snapping close-ups of Middleton's stomach for any
indication of a baby bump. Baby rumors abounded when the duchess held a
baby at a press event and when she declined peanut butter at another
event. British physicians are known to warn women against eating peanuts
during pregnancy. When the couple got a dog, Lupo, headlines wondered
if they were practicing for another addition to the family.

The palace, which rarely comments on speculation, took the unusual step
of saying, "We would be the ones to make the announcement, not
Hollywood."

"It is quite strange reading about it, but I try not to let it bother
me," Prince William said in an interview with ABC News' Katie Couric in
May 2012. "I'm just very keen to have a family and both Catherine and I
are looking forward to having a family in the future."

Asked by Couric if there was anything else he wanted to share, he coyly
answered, "You won't get anything out of me. Tight lipped."

Due to a dramatic change in the rules of succession, the royal couple's
first-born will likely be the heir to the throne, regardless of the
baby's gender.

Last year, the heads of 16 Commonwealth countries agreed to a change in
the rules of succession so that first-born children of either gender can
take the throne. Queen Elizabeth II was only eligible to be monarch
because her father had no male children. The British Parliament must
still amend existing law to make the succession change official.

"Put simply, if the Duke and Duchess of Cambridge were to have a little
girl, that girl would one day be our queen," British Prime Minister
David Cameron told reporters in 2011.

Royal babies have typically been born within one year of marriage.
Princess Diana gave birth to William just 11 months after her wedding
and the queen gave birth to Prince Charles six days before her first
wedding anniversary.

PHOTOS: Royal Heirs Around the World

Prince William and Kate were married on April 29, 2011.

Click here for an interactive look at William and Kate's love story.

William, who has long been known for making privacy a priority, will now
be faced with the inevitable fascination with his first child. And the
scrutiny will doubtless be familiar to him.

From his infant trip to Australia with his mother to his graduation from
St. Andrews University, William's life was filled with photo ops.

"We have a paradox here. William loathes the press and exposure to the
publicity. On the other hand, Diana exposed both sons at an early age.
They are immensely assured young men," Lacey said. "While he may want to
keep his children out the limelight, as a modern monarch he knows he
has to deal with the media."


PHOTOS: William and Kate: The College Years

Now, the name guessing game begins.

"They'll stick to traditional names," Lacey predicts. "William has a
great sense of history from working with his grandmother. The queen
would have him over for tea to teach him about history and the workings
of the monarchy."

It's typical for royals to have three or four names. Prince William's full name is William Arthur Philip Louis.

"If it's a girl it's not likely to be called Diana," Lacey said. "But
you're very likely to see Diana in one of the middle names. You might
very likely get Elizabeth Diana something. It shows the bravery with
which he's kept his mother's memory alive, right down to the ring on
Kate's finger."

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Egypt's top court suspends work indefinitely as situation worsens

CAIRO (AP) — Egypt's top court suspended its work indefinitely to protest "psychological and physical pressures" after supporters of the Islamist president prevented judges from entering the courthouse Sunday to rule on the legitimacy of a disputed constitutional assembly.

The decision by the Supreme Constitutional Court is the latest twist in a worsening political crisis pitting President Mohammed Morsi and his allies against the mostly secular opposition and the powerful judiciary. The standoff began when Morsi issued decrees on Nov. 22 that gave him sweeping powers and granted the president — and the constitutional committee — immunity from the courts.

The Islamist-dominated panel drafting the new constitution then raced in a marathon session last week to vote on the charter's 236 clauses without the participation of liberal and Christian members. The fast-track hearing preempted a decision expected from the SCC on whether to dissolve the committee. The judges on Sunday postponed their ruling on that case.

A day earlier, Morsi announced a referendum on the draft charter on Dec. 15 despite opposition protests and questions about the document's legitimacy.

The president's seizure of vast powers has galvanized Egypt's disparate opposition groups, who have united in their demands that Morsi rescind the decrees and create a constituent assembly that is more balanced and inclusive.

Having already held mass rallies last week in Cairo that drew as many as 200,000 people, the opposition parties and activist groups have now called for a march Tuesday on the presidential palace in Cairo's Heliopolis district as a "last warning."

Morsi's supporters countered the opposition rallies with a 100,000-strong rally in Cairo on Saturday to voice their support for the president and the draft constitution. Islamists boasted their turnout showed that the public supports the push by the country's first freely elected president to quickly bring a constitution and provide stability after nearly two years of turmoil.

But the dispute has polarized an already deeply divided Egyptian public, and thrown the country — already suffering from rising crime and economic woes — into its worst turmoil since Morsi took office in June as the country's first freely elected president.

The Supreme Constitutional Court called Sunday "the Egyptian judiciary's blackest day on record," describing the scene outside the court complex, with Islamist demonstrators carrying banners denouncing the tribunal and some of its judges.

Supporters of Morsi, who hails from the Islamic fundamentalist Muslim Brotherhood, claim that the court's judges are loyalists of ousted president Hosni Mubarak, who appointed them. Morsi's backers accuse the judges of trying to derail Egypt's transition to democratic rule.

The court statement said the judges approached the court but decided against entering the building because they feared for their safety.

"The judges of the Supreme Constitutional Court were left with no choice but to announce to the glorious people of Egypt that they cannot carry out their sacred mission in this charged atmosphere," said the statement, which was carried by the MENA state news agency.

The judges also had been expected Sunday to rule to on the legitimacy of the Islamist-dominated upper house of parliament, known as the Shura Council.

By suspending its work, the court joined the country's highest appeals court and its sister lower court in their indefinite strike to protest what they see as Morsi's infringement on the judiciary. Most judges and prosecutors in the country have been on strike for a week.

The strikes by the judges is indefinite and there have been calls within their ranks to extend their action to a boycott of overseeing the Dec. 15 referendum, something that would further question the legitimacy of the entire process. The opposition is likely to call on its supporters to boycott the vote.

The tug of war between the two sides also has spilled into the streets. Tens of thousands of opposition supporters staged two rallies last week to press calls for Morsi to rescind his decrees and for the constitution draft to be tossed out. Islamists responded Saturday with large rallies in Cairo and across much of the country.

Morsi's opponents say his call for a referendum broke an election promise not to do so unless there was consensus on the document, something that is missing as the 88 members of the panel who voted on its clauses included no liberals or Christians. There were only four women, all Islamists.

The panel passed the document in a rushed, 16-hour session that lasted until sunrise Friday. The vote was abruptly moved up to pass the draft before the Constitutional Court's ruling, which was supposed to be issued Sunday.

The draft has a distinctive Islamic bent — enough to worry many that civil liberties could be restricted, though its provisions for enforcing Shariah, or Islamic law, are not as firm as ultraconservatives wished.

The panel's chairman, Islamist Hossam al-Ghiryani, kept the voting at a rapid clip, badgering members to drop disputes and objections and move on. At times the process appeared slap-dash, with fixes to missing phrasing and even several entirely new articles proposed, written and voted on in the hours just before sunrise.

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Two dead after bus crash at Miami airport

MIAMI (AP) — A bus carrying more than 30 people hit a concrete overpass at Miami International Airport, killing two people on board and leaving three others critically injured, officials said Saturday.

The large, white bus was too tall for the 8-foot-6-inch entrance to the arrivals area, said airport spokesman Greg Chin. Buses are supposed to go through the departures area, which has a higher ceiling, he said.

Two large signs warn drivers of large vehicles not to enter beneath the concrete overpass. One attached to the top of the concrete barrier reads: "High Vehicle STOP Turn Left." The other, placed to the left of the driveway several feet in front of the barrier, says all vehicles higher than the 8-foot-6 threshold must turn left.

Three people were at hospitals in critical condition. The other 27 passengers had been hurt, but their injuries were less extensive, authorities said.

Osvaldo Lopez, an officer with Miami-Dade aviation, said he first heard a loud noise Saturday morning and was certain it was some sort of car wreck.

He said he went inside the bus to help and found several passengers thrown into the center aisle. He said the passengers, many of whom were elderly, remained calm after the wreck.

"It was just very bloody," he said of the scene.

After helping the passengers, Lopez suffered some injuries of his own — his left arm and a finger on his right hand were both bandaged.

The body of one dead passenger was pulled from the bus late Saturday morning; the second person died after being taken to a hospital, police said.

Fire trucks and police cars swarmed the area Saturday morning, and the bus was blocked off by yellow police tape. A white cooler that had been filled with water bottles was on its side behind the bus, the front of which remained wedged beneath the overpass Saturday.

The bus was privately owned and typically used for tours, though police believe all the passengers were local residents, not tourists, said Miami-Dade police Lt. Rosanna Cordero-Stutz. The bus' ultimate destination was not yet known, but the driver was unfamiliar with the area near the airport and did not intend to wind up at the arrivals area, Cordero-Stutz said. The driver was being interviewed by investigators, she said.

The bus was going about 20 mph when it hit the overpass Saturday morning, Chin said.

The bus resembles others commonly used for charters and tours, with the driver seated low to the ground and passenger seats in an elevated area behind the driver's seat.

Markings on the bus showed it was owned by Miami Bus Service Corp. Federal Motor Carrier Safety Administration records found online show the company has had no violations for unsafe driving or controlled substances and alcohol. It also has not reported any crashes in the two years before Oct. 26, 2012.

The records show it did receive three citations related to fatigued driving in April 2011.

The company owns three motorcoaches, according to the records. Miami Bus Service Corp. officials did not immediately respond to a phone message Saturday.

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Boehner: ‘At a stalemate’ on debt talks

Republican House Speaker John Boehner (Alex Wong/Getty Images)

WASHINGTON—House Speaker John Boehner on Friday said that despite receiving a counterproposal from the White House as part of a deal to avoid a series of automatic tax increases and spending cuts, no progress had been made between Republicans and Democrats.

"There's a stalemate, let's not kid ourselves," Boehner, a Republican from Ohio, told reporters during a news conference on Capitol Hill. "It's not a serious proposal. Right now we're almost nowhere."

The White House on Thursday sent Treasury Secretary Timothy Geithner to deliver a proposal to avoid the so-called fiscal cliff by increasing taxes by $1.6 trillion over the next decade, including $50 billion in stimulus spending for mostly infrastructure and $400 billion in savings in popular entitlement programs such as Medicare.

Republicans rejected it right away. Senate Minority Leader Mitch McConnell reportedly laughed in Geithner's face.

"Our original framework still stands," Boehner said the next day, reiterating his opposition to raising tax rates on any income bracket. He added that he remains open to "closing loopholes [and] getting rid of special interest deductions" within the tax code to raise the same amount of revenue.

"I'm not trying to make this more difficult," he said. "You've watched me over the last three weeks; I've been very guarded in what I have to say. Because I don't want to make it harder for me or the president, or members of both parties to be able to find common ground."

While negotiators continue talks behind closed doors, both parties continue to engage in their own public relations tour to promote their own plans. President Barack Obama on Friday traveled to Pennsylvania, and Republican lawmakers plan to meet with small-business owners over the next few weeks.

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Boehner: ‘No substantive progress’ on fiscal cliff talks

Republican House Speaker John Boehner (Alex Wong/Getty Images)

WASHINGTON—House Speaker John Boehner on Thursday offered a grim portrayal of the progress between Republicans and Democrats on a deal to avoid a series of automatic tax increases next year.

"No substantive progress has been made in the talks between the White House and the House during the past two weeks," Boehner said during a press briefing on Capitol Hill, signaling that little had changed since Republicans presented their framework for a deal earlier this month.

Both parties are currently negotiating behind closed doors to produce a deal to avoid many of the tax increases. Boehner said Thursday that he continues to be open to the Democrats' call for policies that would increase tax revenue, but only in exchange for an overhaul of the federal government's expensive entitlement programs.

"Revenue is only on the table if there are serious spending cuts that are part of this agreement," Boehner said.

Boehner, an Ohio Republican, confirmed that he spoke to President Barack Obama by phone on Wednesday night about the state of the negotiations. While he characterized the conversation as "straightforward," Boehner declined to discuss details.

Moments after Boehner made his remarks, Senate Majority Leader Harry Reid held his own press conference with other Democratic Senate leaders, including Patty Murray of Washington, Dick Durbin of Illinois and Charles Schumer of New York. Reid said Democrats would stick with their proposal to let the Bush-era tax rates expire for families that earn more than $250,000 per year and were waiting for Republicans to respond.

When asked about Boehner's comments that he would do nothing until Democrats put forth a new proposal, Reid replied: "I don't understand his brain."

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#My2K: Obama uses Twitter to prod Congress

President Barack Obama sits in front of a screen displaying a question he tweeted during a "Twitter Town Hall" …

President Barack Obama urged Americans on Wednesday to help him pressure Congress to prevent a Jan. 1 tax hike on the middle class, saying it was up to the public to make sure Washington doesn't "screw this up."

"When the American people speak loudly enough, lo and behold Congress listens," Obama said, flanked by Americans who answered the White House's call to detail what that tax increase would cost them personally.

"We really need to get this right. I can only do it with the help of the American people," the president said. "It's too important for Washington to screw this up."

Obama's remarks were part of a ramped-up public campaign to pressure Republicans in Congress, who have resisted his calls for letting Bush-era tax cuts that chiefly benefit the wealthiest Americans expire. The president wants to extend reductions on income up to $200,000 for individuals and $250,000 for families. But he wants taxes above that level to rise in order to spare popular government programs from the budget-cutter's ax.

Republicans want to extend the tax cuts for higher earners, insisting that a tax hike on that group will reduce investments that generate jobs at a time when the economy is still sputtering and unemployment remains high. The GOP has signaled it would be willing to consider boosting tax revenue as long as Democrats agree to overhaul popular entitlement programs like Medicare or Medicaid. But key Democrats have refused to include those programs in talks on avoiding the "fiscal cliff" of tax increases and spending cuts due to take effect Jan. 1.

"Let's keep middle-class tax low. That's what our economy needs, that's what the American people deserve," Obama said. "And if we get this part of it right, then a lot of the other issues surrounding deficit reduction in a fair and balanced and responsible way are going to be a whole lot easier.

"If we get this wrong the economy's going to go south," the president warned. "It's going to be much more difficult for us to balance our budgets and deal with our deficits because, if the economy's not strong, that means more money's going out in things like unemployment insurance and less money's coming in in terms of tax receipts and it just actually makes our deficit worse."

Obama urged Americans who agree with him to call, write and tweet lawmakers (using the hashtag #My2K), or post messages on their Facebook pages. "Do what it takes to communicate a sense of urgency. We don't have a lot of time. We've got a few weeks to get this thing done."

Still, he said, "I am confident that we will get it done."

The White House says that "a typical middle-class family of four" would pay Uncle Sam an additional $2,200 unless tax cuts are extended for them.

That $2,200 figure is the inspiration for #My2K, part of what the White House describes as an "online push" behind the president's approach. Obama has highlighted Twitter hashtags in past disputes with Republicans: #40dollars in the fight over the payroll tax holiday and #dontdoublemyrate in a feud over student loans.

The president, who spoke to top Republican and Democratic leaders over the weekend, was to make brief public remarks at the top of a meeting with his Cabinet at 3 p.m. before huddling with senior executives from major American corporations.

Here is the list of attendees, as provided by the White House:

• Frank Blake, Chairman and CEO, the Home Depot
• Lloyd Blankfein, Chairman and CEO, Goldman Sachs Group
• Joe Echeverria, CEO, Deloitte LLP
• Ken Frazier, President and CEO, Merck and Co.
• Muhtar Kent, Chairman and CEO, Coca Cola
• Terry Lundgren, Chairman, President and CEO, Macy's Inc.
• Marissa Mayer, CEO and President, Yahoo!
• Douglas Oberhelman, Chairman and CEO, Caterpillar
• Ian Read, Chairman and CEO, Pfizer
• Brian Roberts, Chairman and CEO, Comcast
• Ed Rust, Chairman and CEO, State Farm Insurance Co.
• Arne Sorenson, President and CEO, Marriott
• Randall Stephenson, Chairman and CEO, AT&T
• Patricia Woertz, President and CEO, Archer Daniels Midland

The fiscal cliff refers to an economically painful set of tax hikes and deep spending cuts that come into effect Jan. 1 unless Congress and the president reach a deal.

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GOP senators 'troubled' after Rice meeting

United Nations Ambassador Susan Rice's attempts to "make nice" with a trio of Republican senators who have criticized her response to the Sept. 11 terror attack on the U.S. consulate in Benghazi, Libya, seem to have backfired.

The senators said they left their face-to-face meeting with Rice this morning "more concerned" and "significantly troubled."

The three Republicans, Sens. John McCain of Arizona, Lindsey Graham of South Carolina and Kelly Ayotte of New Hampshire, said not only did Rice, who was joined by Acting CIA Director Mike Morell, not answer all their questions about the attack but did little to assuage their overall worries.

"We are significantly troubled by many of the answers that we got, and some that we didn't get concerning evidence that was overwhelming leading up to the attack on the consulate," McCain said.

"The concerns I have are greater today than before, and we're not even close to getting the basic answers," Graham said.

Today's meeting was seen as part of Rice's Capitol Hill "charm offensive," as her possible nomination to become the next secretary of state has met with some vocal opposition – especially from McCain, Graham and Ayotte, who still seemed to steer clear of questions about whether they would stand in the way if Rice was nominated.

"Before anybody can make an intelligent decision about promoting someone involved in Benghazi, we need to do a lot more," Graham said. "To this date, we don't have the FBI interviews of the survivors conducted one or two days after the attack. We don't have the basic information about what was said the night of the attack ... as of this date."

Graham compared the situation to 2006, when Senate Democrats blocked the nomination of John Bolton, President Bush's choice for U.N. ambassador.

What the senators seemed to find most problematic was Rice's statement on the Sunday morning news shows days after the attack. At first, she said it was a "spontaneous" attack and not a terrorist attack.

Ayotte said that in today's meeting Rice called the information she first gave to the American people wrong.

"It's certainly clear from the beginning that we knew that those with ties to al Qaeda were involved in the attack on the embassy, and clearly the impression that was given, the information given to the American people, was wrong," Ayotte said,

Rice said in a statement following the meeting: "We explained that the talking points provided by the intelligence community, and the initial assessment upon which they were based, were incorrect in a key respect: There was no protest or demonstration in Benghazi. While, we certainly wish that we had had perfect information just days after the terrorist attack, as is often the case, the intelligence assessment has evolved. We stressed that neither I nor anyone else in the administration intended to mislead the American people at any stage in this process, and the administration updated Congress and the American people as our assessments evolved."

Ayotte said that as the U.N. ambassador, Rice should have stepped up and said that she couldn't go on the Sunday morning news shows and talk about the attack without complete information.

Graham, like Ayotte, said it would have been better not to have given any information at all.

"If you can give nothing but bad information, isn't it better to give no information at all? It was unjustified to give the scenarios as presented by Ambassador Rice and President Obama three weeks before an election."

Rice is expected to meet with outgoing Sen. Joe Lieberman, I-Conn., later today. A close ally of McCain (Lieberman endorsed McCain for president in 2008), Lieberman has not been as quick to criticize Rice.

Also Read

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Fiscal cliff notes for the budget shell game

By Walter Shapiro

It was the political equivalent of discovering more Americans were secretly watching British snooker telecasts than pro football. According to a recent national survey by the Pew Research Center, more Americans claimed to be very closely following the budget negotiations to avert the fiscal cliff than were engrossed in the soap opera that forced CIA director David Petraeus to resign.

A few possible explanations for these anomalous poll results:

1) A sex scandal involving a revered four-star general is inherently boring. 2) Americans mistakenly assume that the fiscal cliff is part of an extreme skateboarding competition, not shorthand for the looming expiration of the Bush-era tax cuts and possible across-the-board spending cuts. 3) Voters have been panicked into believing that the president and Congress must solve the country’s financial problems by the Dec. 31 or we instantly become an international basket case.

In truth, the fiscal cliff is nothing more than an arbitrary deadline created by Congress to be replaced with a dramatic flourish and, yes, another arbitrary deadline set a bit further in the future. It’s a shell game created by political con men who have come to believe their own cons.

So, relax about the over-hyped New Year’s Eve countdown for budget negotiations. Results matter, not the timetable. But even without the Petraeus-related distractions, it’s hard to separate the real from the fake, the legitimate fiscal issues from the political posturing.

So here is my version of Fiscal Cliff Notes:

Fact: All comparisons to Greece, Spain, the Roman Empire or the Duchy of Grand Fenwick are ludicrously exaggerated.

“The Road to Greece” might have been the title of a Mitt Romney campaign biopic since the former GOP presidential hopeful used the imagery so often. And during an interview Sunday with ABC’s “This Week,” South Carolina Republican Sen. Lindsey Graham used the same rhetorical excess about the American economy reduced to offering budget tours of the Acropolis.

In fact, the European fiscal crisis is far different from what the U.S. faces.

Debtor nations like Greece and Spain do not fully control their economies because they are lashed to German austerity policies through the common currency, the Euro. That means those countries do not have their own currencies to devalue, which would spur exports. Nor do they have a central bank like the U.S. Federal Reserve which would provide liquidity for their banking systems.

The United States does have long-term fiscal challenges and years of unsustainable trillion-dollar budget deficits. But our problems are largely due to the fact that we are still groping our way out of the worst economic downturn since the Great Depression. Slow but persistent economic growth (the White House projects that unemployment will not drop below 6 percent until 2017) will reduce many budgetary problems.

Global confidence in the American economy is reflected in the near record low interest rates available on 10-year and 30-year Treasury bonds. Investors around the world are willing to tie up their money for 30 years in Treasuries for the paltry interest rate of 2.8 percent.

Fact: Even if all the Bush tax cuts expire on Jan. 1, no one will instantly be paying higher income tax rates.

The Wall Street Journal ran a story the other day titled “Most Households Face Fiscal Cliff,” suggesting almost every American family would pay more if the Bush tax cuts expired. As an example, the Journal pointed to a married couple making about $25,000 a year whose annual income tax bill would leap from zero to about $1,400.

While the tax calculations are accurate, the likelihood of this happening is about on par with an asteroid destroying the Capitol. No one in government wants the Bush tax cuts to expire for anyone earning less than $250,000 a year, so a hypothetical family scraping by on $25,000 a year would not pay a penny more in income taxes under anyone’s plan.

But what if Congress misses the Dec. 31 deadline to extend the Bush tax cuts?

This is the part of the shell game. The Treasury Department has wide discretion in the pace by which it instructs employers to adjust their income-tax withholding rates. Chances are Treasury would do nothing in January to change the rates for anyone earning less than $250,000, meaning a temporary tax increase for those wage earners would be a fiscal abstraction rather than a real-world wallet pinch. And when Congress and the president cut the inevitable tax deal, the new, lower rates would be retroactive to January 1.

Make no mistake: Some people will see their taxes increase. For the past two years, most Americans have benefited from a 2 percent reduction in their payroll taxes – a cut designed to stimulate the economy in a period of high unemployment. But the payroll tax cut was always supposed to be temporary rather than a permanent rate adjustment. While nothing is certain, chances are payroll taxes will revert to their normal levels next year.

Then there is the so-called “sequester” that is supposed to slash $100 billion from the budget if lawmakers do not reach an epic Grand Bargain on the deficit. For all the alarmist talk that this will reduce the U.S. Navy to bathtub levels and shred the social safety net, the sequester is another easily disarmed fiscal booby-trap.

In fact, Congress will (shocking revelation ahead) probably extend the deadline. And even if lawmakers temporize, don’t expect to see generals and admirals on the unemployment line. The automatic cuts are evenly divided between the Pentagon budget and domestic spending for a total of about $8 billion per month and every federal agency has been preparing for these potential cuts.

Across-the-board cuts, to be sure, are a foolish way to impose budgetary discipline since there is no rational case to reduce funding for embassy security after the Benghazi raid or slash FEMA spending in the wake of Superstorm Sandy. But it is hard to believe that even a delay of a month or two will ultimately matter except at the margins.

Fact: There is no $4 trillion magic number that the president and Congress must hit to prove their long-term deficit reduction plan is credible.

Somehow $4 trillion has become the gold standard to measure deficit hawk seriousness. That was the rough number in the 2010 Simpson-Bowles deficit reduction plan and it carried over into President Obama’s abortive 2011 negotiations with Republican House Speaker John Boehner.

Throughout the 2012 presidential campaign, Obama talked about his own $4 trillion “balanced plan.” But that was partly sleight of hand: The Obama road map includes $1 trillion in savings from a 2011 congressional deal and another mythical $848 billion from the end of the Iraqi and Afghan wars. In short, his plan reflected previous agreements and military spending that had already been discontinued.

Fact: Everyone in Washington wants credit for tackling the deficit but no one wants to be blamed for causing pain.

As recounted by Bob Woodward in “The Price of Politics,” a dramatic moment in the 2011 Obama-Boehner negotiations came when the two men battled over boosting the age to qualify for Medicare. Boehner wanted the age change to take effect in 2017 while Obama wanted to hold out until 2022. 

That is Washington in a nutshell – both men wanted to postpone the pain until after they retired from office. They wanted to bask in the glory of reaching a Grand Bargain on the deficit with all the complications reserved for a future president and House speaker.

In a sense, it is budgetary arithmetic as seen through the prism of Lewis Carroll. In Through the Looking-Glass, the White Queen promised Alice jam every other day. “The rule is,” the Queen explained, “jam tomorrow and jam yesterday – but never jam today.”

Just like budget cuts and tax increases – always tomorrow and yesterday.

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Black Friday sales slip as shoppers opt for Thursday ‘doorbusters’

Security guards break up a fight between shoppers outside a Bowling Green, Ky., Target, Nov. 22, 2012. (AP)

Black Friday, the official kickoff to the holiday shopping season, saw more foot traffic than ever before, according to estimates. But it appears so-called "doorbuster" deals offered the day before dinged sales.

According to ShopperTrak, which tracks retail foot traffic, there were more than 307 million store visits on Friday, up 3.5 percent. But Black Friday shoppers spent an estimated $11.2 billion, down 1.8 percent over 2011, when consumers spent $11.4 billion.

And for once, the sluggish economy is not to blame.

"It is all Black Thursday's fault," ZeroHedge.com said.

[Slideshow: Black Friday madness]

Shopping malls were "less hectic" on Black Friday this year, Bloomberg.com reported, as retailers "have turned Black Friday, once a one-day event after Thanksgiving, into a week's worth of deals and discounts."

And Thursday's deals "attracted some of the spending that's usually meant for Friday," ShopperTrak said.

Big box stores like Wal-Mart and Target were open on Thanksgiving night, drawing crowds that were--in some cases--rowdy. (Thankfully, it was nothing like the dystopian version of shopping hell recently envisioned by "Saturday Night Live.")

Another reason for the Black Friday dip: people skipped lines and shopped online. According to comScore, Black Friday online sales topped $1 billion for the first time, jumping 26 percent to $1.04 billion, compared to $816 million last year.

And according to IBM Benchmark, online sales rose 17 percent on Thanksgiving and 21 percent on Black Friday.

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Egypt's top judges slam president's new powers

CAIRO (AP) — Egypt's highest body of judges slammed on Saturday a recent decision by the president to grant himself near-absolute power, calling the move an "unprecedented assault" on the judiciary.

The statement from the Supreme Judicial Council came as hundreds protested outside a downtown courthouse against Thursday's declaration by President Mohammed Morsi. The president's decision means that courts cannot overrule his decrees until a new constitution and parliament is in place, several months if not more in the future.

The judges' condemnation of the president's edicts are the latest blow to Morsi, whose decision set off a firestorm of controversy and prompted tens of thousands of people to take to the streets in nationwide protests on Friday.

Through their statement, carried by the official MENA agency, the judges join a widening list of leaders and activists from Egypt's political factions, including some Islamists, who have denounced the decree.

The Supreme Judicial Council is packed with judges appointed by former President Hosni Mubarak. It regulates judicial promotions and is chaired by the head of the Court of Cassation.

Their move reflects a broader sense of anger within the judiciary against the president. Some judges' groups and prosecutors have already announced partial strikes to protest Morsi's decree.

Morsi has accused pro-Mubarak elements in the judiciary of blocking political progress. In the last year, courts have dissolved the lower house of parliament as well as the first panel drafting the constitution, both led by his Muslim Brotherhood group.

The edicts Morsi issued mean that no judicial body can dissolve the upper house of parliament or the current assembly writing the new constitution, which are also both led by the Brotherhood. Supporters of Morsi feared that courts reviewing cases against these bodies might have dissolved them, further postponing Egypt's transition under the aegis of a new constitution.

They say Morsi has a mandate to guide this process as Egypt's first freely elected president, having defeated one of Mubarak's former prime ministers this summer in a closely contested election.

The judges' council's stand against the president sets the ground for an uneasy alliance between former regime officials and activist groups that helped topple Mubarak's regime and have in the past derided those officials as "felool," or remnants.

The presidents' opponents nonetheless see the judiciary as the only remaining civilian branch of government with a degree of independence, since Morsi already holds executive power and as well as legislative authority due to the dissolution of parliament.

The judges released their statement following an emergency meeting Saturday. They said Morsi's decision is an "unprecedented assault on the judiciary and it rulings" and called on the president to "distance himself from the declaration and all things that touch judicial authority, its specifications or interference in its members or its rulings."

The primary court in Alexandria and the judges' club there announced Saturday they and public prosecutors have suspended all work until the declaration is withdrawn, according to the state news agency MENA.

One of the most controversial edicts states that the president has the right to take any steps to prevent "threats to the revolution," wording that activists say is vague and harkens back to the type of language employed by Mubarak to clamp down on dissent.

Morsi said Friday, before thousands of Brotherhood supports outside his presidential palace in Cairo, that he decision was aimed at protecting the nation from old regime loyalists using the judiciary to "harm the country."

He removed on Thursday the country's longtime attorney general, widely seen as a Mubarak holdover who did not effectively pursue the many cases against former regime officials accused of corruption, and ordered the retrial of former officials if new evidence against them is brought forth.

The ousted attorney general, Abdel Maguid Mahmoud, appeared before a gathering of Egyptian judges on Saturday — his first public appearance since Morsi's decree. He was greeted by raucous applause and cries of "Illegitimate! Illegitimate!" in reference to the president's decision. He read out a statement saying judicial authorities are looking into the legality of the president's decision to remove him.

"I thank you for your support of judicial independence," he told the judges, gathered in a downtown courthouse. The head of Egypt's judges' club, Ahmed el-Zind, declared Morsi's move as "unconstitutional." He was a vocal critic of Morsi during the presidential campaign and warned of a Brotherhood-dominate state if he won.

Morsi had tried once before to fire Mahmoud, in October, but rescinded his decision when judges and the attorney general stood against him, saying that he did not have the authority to do so.

Others gathered outside the courthouse, denouncing the president and chanting "Leave, leave." Police fired tear gas to disperse a crowd of young men who were shooting flares.

"Morsi will have to reverse his decision to avoid the anger of the people," said Ahmed Badrawy, a labor ministry employee protesting at the courthouse. "We do not want to have an Iranian system here," he added, referring to fears that hardcore Islamists may try to turn Egypt into a theocracy.

Several hundred protesters remained in Cairo's Tahrir Square Saturday, where a number of tents have been erected in a sit-in following nearly a week of clashes with riot police. The country's most prominent opposition groups called for another mass rally on Tuesday, saying that the edicts make Morsi a "new pharaoh."

Health ministry officials quoted in state media said more than 200 people were wounded nationwide in the clashes Friday. Security officials said more than 100 police were also wounded in clashes in Cairo near Tahrir Square where protesters have been battling security forces for days to demand retribution for the killing of 42 protesters in November of last year.

____

Brian Rohan contributed to this report from Cairo.

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Shopping like a Democrat, or Republican

Black Friday: It’s a day in which most American citizens put aside politics in pursuit of shopping bargains. But in Washington we can sort almost anything in the US in terms of partisan proclivity, and temples of commerce are no exception. Want to know whether the big box store where you’re waiting in line leans Democratic or Republican? The folks at the invaluable Center for Responsive Politics have compiled a handy guide based on campaign contributions.

Toys R Us, for instance, seems a solidly blue store. Self-identified employees of the store gave $39,000 to political candidates in the 2012 election cycle, and $36,000 of that went to Democrats.

Dig into the numbers though, and you’ll see that Toys R Us is not so much Democratic as Klobucharian. All that $36,000 went to one candidate, Sen. Amy Klobuchar (D) of Minnesota. (That’s kind of odd, isn’t it? The retailer’s corporate headquarters are in New Jersey.) Other than that, Mitt Romney got $1,750 from Toys R Us workers. President Obama got zilch, according to CRP’s Open Secrets blog.

Are you a smart shopper? Take our quiz to find out.

Macy’s employees, on the other hand, were big Obama fans. They donated $28,870 to the president’s reelection campaign, as opposed to $16,390 to GOP nominee Mr. Romney. This Democratic lean was counterbalanced to a certain extent by the store’s corporate political action committee, however. (Toys R Us doesn’t appear to have a central PAC.) Macy’s PAC gave $12,000 to Republicans, and $4,000 to Democrats.

Best Buy seems more of a red retailer. Both it s employees and the company’s PAC had a slight preference for Republicans, according to CRP. Store employees gave $17,662 to Democrats and $22,419 to the GOP, for instance.

But there’s Senator Klobuchar again – she’s the individual candidate to whom Best Buy-related entities donated the most. Yes, she’s chairperson of a Senate Commerce subcommittee on competitiveness, so that might have something to do with it. Maybe the money comes due to her political affiliation with Minnesota’s Gov. Mark Dayton? Governor Dayton is the scion of the Dayton retail empire, which among other things founded Target.

Hmm, we see that Target leaned GOP as well, so maybe that theory isn’t right. Of the store’s $483,777 in individual and PAC contributions, the majority went to the right side of the aisle, according to Open Secrets. And the top recipient is not Sen. Klobuchar, but Rep. Eric Paulsen – a Twin Cities Republican.

Then there’s Wal-Mart. Sam Walton’s empire has a major presence in politics compared with its big box brethren. Its employees and PAC gave $2.7 million to candidates in the 2012 cycle.

Employee donations skewed Republican – which might not be surprising, since Wal-Mart is a big employer in the exurban/rural areas where Romney ran strongly. The firm’s PAC gave roughly equal amounts to candidates of both parties, however. That might be because Wal-Mart lobbies hard in Washington and needs relationships on both sides of the aisle.

In fact, Wal-Mart has spent more than $12 million on lobbyists in the past two years. It has its own Washington office, with 15 employees, and pays hundreds of thousands of dollars in retainers to such top outside lobby firms as Patton Boggs and the Podesta Group.

The firm’s No. 1 issue is sales taxes – specifically, getting states to slap sales taxes on web retail. Rep. Steven Womack (R) of Arkansas, whose district includes Wal-Mart’s Bentonville headquarters, has long pushed national legislation that would force out-of-state online retailers to collect sales tax. He’s one of the top recipients of Wal-Mart campaign contributions.

“The traditional brick and mortar retailer is not asking for special treatment. They know they have to compete against a number of consumer criterion. What they don’t want – and should not compete against – is a disadvantage based on a tax loophole,” said Congressman Womack earlier this year during a Judiciary Committee hearing on the issue.

Are you a smart shopper? Take our quiz to find out.

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