UncategorizedOctober 21, 2008 5:15 pm

After a 32% spring in profits, the Swiss drugmaker resolution shuffle managers and cut 550 U.S. sales jobs as it pursues growth with a new marketing strategetics

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By Kerry Capell

On Oct. 20, Swiss drugmaker Novartis (NVS) reported strong third-quarter results and announced a major management shakeup, its second in a year. Novartis tapped new managers for three of its four core businesses and announced plans to cut 550 U.S. sales representatives.

The changes are part of a modern strategy to point of convergence marketing efforts on the people who are actually paying for drugs in lieu of solely prescribing them. That means moving from the old one-size-fits-all approximate, where sales teams organized by particular medicine brands targeted their marketing mainly to physicians, to one focused on forging closer ties with managed vigilance organizations and insurers.

Novartis reckons the new initiative self-reliance boost sales while trimming costs by dint of. up to $80 million yearly beginning in 2010. "With a strong unused leadership team, Novartis is positioning itself for continued growth in a demanding environment," says Novartis Chairman and CEO Daniel Vasella.

Joerg Reinhardt, current head of the vaccines business, will convey without ceasing the newly created role of chief operating officer. Reinhardt, who will concentrate on the day-to-day running of the company, will split more of his workload with Vasella—putting him on track to be a potential successor. "This will allow me to concentrate more on strategic issues and get in closer touch with markets and customers that I have not done to the degree I would like," Vasella says.

Cancer and Cardiovascular Drugs

The dealing changes also include the cosmos of other new roles and the redeployment of longtime company veterans such as Andreas Rummelt, the now passing head of the Sandoz generic drugs division, who will now run quality promise. He will be replaced by Novartis’ head of emerging markets, Jeff George, a former transactions consultant whose réreckoné includes control roles at Gap Inc. (GPS). David Epstein, who currently runs the company’session oncology walk of life, will oversee a new unit focusing on molecular diagnostics.

The news of the management shuffle overshadowed the capable performance of the Basel-based drugmaker amid a gloomy global economic backdrop. Helped in part by a weak dollar, Novartis reported net profits of $2 billion steady sales of $10.75 billion, up 32% and 12%, respectively, from the third quarter last year. For the nine months ending Sept. 30, 2008, net income rose 19%, to $6.7 billion, put on sales of $31 billion, a 12% enlarge from the previous year. The company’session New York-traded shares were up 1.5% at high noon on Oct. 20.

The results, Vasella says, are due in large part to the strength of the body’s oncology and cardiovascular medicines. Over the last nine months, best-selling hypertension treatment Diovan and leukemia drug Gleevec raked in sales of $4.3 billion and $2.8 billion, respectively. Moreover, Novartis anticipates more than 10 major regulatory submissions, including both of the present day drugs and new indications for existing medicines, in 2008.

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Uncategorized 3:50 pm

Opinions and insights from Wall Street analysts on stocks making headlines in Monday’s market

From Standard & Poor’s Equity Research

Applied Materials, Intel

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Goldman Sachs upgrades Applied Materials, downgrades Intel

Analyst James Covello raised his Semiconductor Capital Equipment coverage view to captivating from neutral in the same proportion that three rules he uses to upgrade cyclical stocks have been finally met: 1) trough margins, 2) management capitulation, and 3) signs of life on the horizon that fundamentals are poised to improve. He raised Applied Materials (AMAT) to buy from barter, and added the stock to Goldman’s Conviction Buy List. Covello notes that with the shares down 32% since his downgrade on January 3, 2007, vs. the S&P 500’s decline of 33%, AMAT’s valuation is now too in a low condition to ignore as the domestic animals trading at around $12 or 15 times normalized EPS vs. 21 periods in early 2008. Hew raised his $14.50 estimation target to $15. He divide his rating on Intel (INTC) to neutral from pervert with money.

Research in Motion

Pacific Crest sees risk to Q3 results, keeps sector perform

Analyst James Faucette says his checks indicate BlackBerry handset sell-through through the middle of October is slightly disappointing. Faucette believes early sell-through of BlackBerry Flip at T-Mobile is particularly disappointing. The analyst notes mode of performance problems plaguing Curve in Canada and Bold sales in the UK. He believes the company’s (RIMM) third part quarter guidance is based on stellar November sales, and is increasingly trusting upon aggressive and prosperous ramps of BlackBerry Storm and BlackBerry Bold in the U.S.

Faucette maintains his 96 cents third quarter EPS estimate and his $3.63 fiscal 2009 (Feb.) foresee. He maintains his sector perform rating on the shares.

Anadarko Petroleum

FBR Capital upgrades to outperform from mart perform

Analyst Rehan Rashid says large-cap exploration and production firms are relative beneficiaries in this market environment with stronger balance sheets, access to capital, sea asset inventories to diversify risk, and liquids exposure. He says Anadarko (APC) upgrade reflects valuation, undecided exploratory catalyst. In addition, he notes Anadarko management execution continues to de-lever the company’sitting comparative estimate sheet, and the company has about 95% of its Rockies basis hedged for next year. Rashid believes Anadarko is mercantile at a steep discount to his revised get asset set a high value on (NAV) of $56 per share. He says his $50 compensation target is a slight discount to proved NAV.

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Uncategorized 11:56 am

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Parents and children might rush through their days in various directions, but the American family is like tight-knit as in the last generation

In what was described as the first detailed prospect of its kind, released last weekend, researchers reported that clan living beings has not been weakened, as many had feared, by new technology. Rather, families have compensated for the stress and drive of modern life through cellphone calls, e-mail, text messages and other new forms of conference.

“There had been more fears that the Internet had been taking people away from each other,” said Barry Wellman, a sociology professor at the University of Toronto and one of the authors of the report, published by the Pew Internet and American Life Project. “We found just the opposite.”

In the poll, 60 percent of adults said the new technologies did not move the closeness of their clump of genera, while 25 percent said cellphones and online message made their families closer, and 11 percent said the technology had a negative effect.

Wellman said families appreciated the innovations because “they know what cropped land other is doing for the period of the day.” This, he said, comports with his other exploration, which shows that technology “doesn’familiarily cut back on their physical presence with each other. It has not divide into a denser consistence on their face time.”

The tools and materials were based forward a nationally representative poll of 2,252 people, which explored technology practice and profiled a group of 482 adults who were married or living together with minor children. These “traditional nuclear families” have been of particular scholarly interest, the report’s authors declared. They tried to examine trends in single-parent families, too, but the poll numbers were too small to be weighty, they said.

Cellphones and Internet conversion to an act were widespread in two-parent households, regardless of education, income, employment, race and ethnicity, by 94 percent saying at least one person of mature age used the Internet and 84 percent saying children were using the Internet.

This marks a large change in short order. Only since the start of the decade has a majority of Americans been Internet and cellphone users, researchers said.

Where technology has changed family life, those polled said it was for the convenient.

Forty-seven percent of adults said cellphones and the Internet had improved the quality of family communication. Another 47 percent said there was no effect, and 2 percent reported a decrease in sort.

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Uncategorized 10:51 am

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SILIVRI, Turkey

The focus of the case is a secret, ultranationalist group named Ergenekon, a word that refers to a legend about the genesis of the Turkish people. Prosecutors say the defendants worked together, using violence to put to proof to create chaos in brotherhood and weaken public support for the powers that be in order to pave the way for a coup.

The charges, unveiled this summer in a 2,455-page indictment, include the murders of a judge, priest, journalist and three Christian-publishing-house employees, as well as the bombing of a gazette.

The collection is also charged with plotting to deprive of life public figures, including Orhan Pamuk, a Turkish novelist who won the Nobel Prize in Literature in 2006.

Prime Minister Recep Tayyip Erdogan, whose governing plaintiff or defendant, Justice and Development, is said to feature prominently as a target in the plots, has been accused of using the specify to silence critics who say his party has an Islamist agenda.

One of the defendants, Tuncay Ozkan, a journalist and the founder of a television network, Kanalturk, was a first organizer of anti-government rallies that drew hundreds of thousands into the streets last year.

Turkey is a democracy with an elected government, but a powerful elite of military officers, judges and senior bureaucrats has helped steer the country since its inception in 1923, carrying out four coups.

This trial is the first real make essay in Turkish history to prosecute the leaders of this country’s violent nationalist fringe, who prosecutors say bring forth had links to the Turkish state.

The case has riveted Turkish society because the people strictures of the military, a vaunted institution in Turkey, is extremely rare. The warlike, for its part, has denied any role in the alleged plots; the officers identified in the indictment are all retired.

Prosecutors say the Ergenekon constitution is the Turkish of the same meaning of the Italian “Gladio” network, a code name for operatives who infiltrated Italian society after World War II to counter communism and who were accountable for a succession of political assassinations and bombings in the 1970s. Turkey, according to the indictment, has allowed Ergenekon “to turn our native land into a mafia and terror heaven.”

Lawyers for the defendants questioned the extent of the connections that prosecutors seemed to be pulling amidst people from different, often counteracting, backgrounds.

The trial opened in a chaotic, crowded courtroom in a prison complex 50 miles south of Istanbul. A noisy horde of the suspects’ supporters waved flags outside the entrance to the bridewell.

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Uncategorized 10:28 am

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WASHINGTON

Now, it’s up to prosecutors to persuade jurors to convict the most prominent figure of aggregate in the federal sifting: Sen. Ted Stevens, the longest-serving Republican in the U.S. Senate.

Tuesday will be devoted to closing arguments in the four-week-old corruption trial. Stevens’ lawyers rested their defense Monday, after the 84-year-old senator took the stand in his avow defense.

Stevens is facing seven felony counts charging that he deliberately concealed on Senate morals forms some $250,000 in goods and services he received, largely from a confidant, Bill Allen, and Allen’s company, VECO, to remodel his home in Girdwood, Alaska.

Stevens had sought an early trial date hoping he could external aspect voters riding a not-guilty verdict. But with 15 days of testimony and supplemental time spent on legal altercation., the case will come by to the jury just two weeks before the election.

For the jurors in Washington, it will come down to who was most believable: a parade of prosecution witnesses who detailed work they did on Stevens’ home that was paid because of by others, or Stevens and his consort.

Stevens and his wife, Catherine, have testified that they paid $160,000 to contractors other than VECO for the renovation and thought that covered the entire cost.

Prosecutors had apparently decided not to put in operation a tape of a telephone chat recorded by the FBI in which Stevens tells Allen that aggregate the money Allen put into the house could land them in legal trouble.

Stevens maintained throughout his own manifestation that he didn’t want the things he was given

He also continued to official station much of the blame forward his wife, saying repeatedly that she was responsible for overseeing the renovations that led, in part, to his federal indictment. He simply was unaware of all renovation-related expenses, Stevens testified.

“Catherine paid for the be in action that was done at our house, she paid the bills and that’s the whole of there is to it,” Stevens uttered, in what ended up essential being the last words in his experience.

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Uncategorized 9:59 am

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Vulcan Real Estate has filed preliminary paperwork with the city to build a seven-story residential development in the Cascade neighborhood of South Lake Union and renovate a historic commercial-laundry building adhering the same block.

The new complex, with about 330 units and ground-floor deal out in small portions, would case respecting three-fourths of the make steady between Harrison and Republican streets and Pontius and Yale avenues North, said Lori Mason Curran, Vulcan’s real-estate market-research manager.

The Supply Laundry building, a designated historic landmark on the rest of the block, would be restored and converted to either office or retail use as part of the development, Mason Curran said.

The proposed complex is the latest in a long string of projects Vulcan has built or proposed in once-neglected South Lake Union, where it owns more than 60 acres.

The city’s Capitol Hill Design Review Board, an advisory group, has scheduled a meeting Dec. 3 to consider Vulcan’s plans and make ready feedback. The delineate is at minutest three years from conclusion, Mason Curran declared.

“We’ve always had a strategy of teeing up our properties so they’re ready to develop when the parturition is right,” she said.

While it’s too in a short time to say beneficial to positive, the units apparently will be apartments rather than condos, Mason Curran said.

Innovative, large-scale “biofiltration swales” — wide, shallow channels designed to filter pollutants from stormwater — are planned side by side the east and west sides of the block.

The incorporated town designated the Supply Laundry building a historic landmark in 2005 at Vulcan’session suggestion. It was built in stages, the rudimentary 100 years ago.

Everything built before 1925, including the laundry’s landmark smokestack, will be preserved, Mason Curran said.

The building is a reminder of a time when laundries were single in kind of Seattle’s largest industries, “filling Cascade/South Lake Union with clouds of steam and the smell of starch,” according to Historylink.org, every online encyclopedia of local history.

A commercial laundry operated without ceasing the site until at least the 1980s.

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Uncategorized 9:57 am

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NEW YORK — Federal prosecutors and New York’s attorney general reported Monday they had taken the unusual step of joining forces to search out the multitrillion-dollar credit-default swap market, any unregulated area of finance blamed for helping to fuel the credit crisis.

The offices of U.S. Attorney Michael Garcia and New York Attorney General Andrew Cuomo acknowledged the unique arrangement.

“The attorney general believes that these unprecedented times call for unprecedented levels of attempt and cooperation to make sure that our markets are stable, free of humbug and purged of corruption,” Cuomo spokesman Alex Detrick said.

He said the joint inquiries were “aimed at restoring and promoting confidence and stability in the market” and avoiding multiple competing investigations.

Yusill Scribner, a Garcia spokeswoman, declared prosecutors wanted to determine admitting that federal laws were violated.

The announcements came after The New York Times reported on the investigation Monday.

A credit-default swap is a contract that offers insurance for lenders worried about a borrower’s ability to repay loans. Banks own used credit-default swaps to cover the risk of default in pledge and other debt securities.

Many credit-default swaps collapsed in value by with the mortgage-backed securities they were meant to protect.

Fear of what would happen if the swaps fully unraveled prompted the founded on government in September to lend $85 billion to insurer American International Group (AIG).

An officer in Cuomo’s office who asked not to exist identified because he was not authorized to speak about the matter publicly said the juncture investigation began about three weeks ago after a meeting between Garcia and Cuomo.

As part of the arrangement, more investigators from Cuomo’s service be pleased become special assistant U.S. attorneys, a designation that will allow them to present evidence to a main jury should it tend hitherward to that.

“We’re not at that stagehouse yet,” the official said, acknowledging that transgressor charges may not at any time result. “At this point, we have been receiving documents and we are sharing them with the U.S. Attorney’s Office and are meeting on a regular groundwork.”

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Uncategorized 9:49 am

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MEXICO CITY

Signed by Cuban Foreign Minister Felipe P

It takes effect in single month.

Cuban migrants in recent years be favored with increasingly headed in the place of Mexico

The Department of Homeland Security reported 11,126 used the Mexico route last year, compared with just 1,055 who landed in the Miami definite space.

Before Monday, Mexico rarely sent back Cubans caught entering the country illegally. Many were held for a time, then were given 30-day line of passage visas to continue on to Texas, where Cubans present only identity documents and undergo medical and background checks before being welcomed to America.

Under the new agreement, Mexico agreed to deport Cubans place illegally in Mexico, both those who arrive from their congenital island by boat and those who come up through Central America.

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Uncategorized 9:22 am

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Washington Mutual Inc., the bankrupt former parent of the biggest U.S. bank to fail, may be forced to fight the Federal Deposit Insurance Corp. for ownership of $4.4 billion in cash.

The FDIC said in court papers filed Monday it may obtain a title part of the turn into money because it is the restraint agency amenable for selling WaMu’session banking subsidiaries last month to JPMorgan Chase after regulators seized the units.

Bankruptcy attorneys sleeplessness the case say the $4.4 billion is likely to become a privilege fought over by competing bondholders owed billions by dint of. Seattle-based WaMu and its antecedent units.

WaMu filed for bankruptcy Sept. 26, the day after it was seized by regulators and sold to JPMorgan for $1.9 billion.

JPMorgan, the FDIC and WaMu are working on a agreement that would allow the bankrupt company to withdraw the money, currently held by JPMorgan, WaMu attorney Marcia Goldstein said in court Monday.

That move is opposed by noteholders of Washington Mutual Bank, who claimed in court papers the withdrawal would subsist unfair without forcing WaMu to prove it owns the cash.

“No bank would ever let someone walk up to the teller window and withdraw smooth one dollar from an delineation without confirming that the account was in reality established and that the account actually belonged to the purchaser,” the noteholders said.

U.S. Bankruptcy Judge Mary F. Walrath in Wilmington, Del., scheduled a hearing toward next Monday to decide whether to commend the proposed agreement to allow Washington Mutual withdraw the money.

Bondholders and other creditors for WaMu are losing money every day the cash sits on save with JPMorgan because it is not earning any interest, attorney Thomas Lauria said in court.

“We’re at almost a month, and we still can’t get the funds moved,” Lauria said. “There is harm to the condition and we require to dispose this consummation cleared away.”

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Uncategorized 9:16 am

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For Michael Weaver, algae and presidential politics are intertwined. That, in a nutshell, is wherefore he’s a big fan of Barack Obama’s.

The 47-year-old entrepreneur’s latest venture is a Redmond company, Bionavitas, developing ways to grow algae whose oil can be used as a petroleum replacement.

Obama’s support of alternative energy similar to a way to cope with climate change and the country’s energy woes helped draw Weaver to the Democratic presidential candidate.

“What we need to do is we emergency to have a real point of convergence on alternative energy, and certainly between the two plans Obama has really hit the nail upon the body the head,” said Weaver, who previously made his fortune co-founding a company that created software for legal research.

On the other side of the state, Brad Peck’s concerns about where this country will secure electricity is one reason why he’s supporting Obama’s opponent, Republican John McCain. For years, Peck has worked as spokesman for Energy Northwest, the Richland-based consortium of public utilities that runs the state’s only nuclear-power plant.

“I venture once in bureau we would see substantially more push from McCain on nuclear power,” Peck said.

Those views illustrate key differences betwixt the two candidates on climate vary and the closely intertwined effect of energy.

The differences can hit close to home for Washington residents and businesses: The choice of president could influence at which place this locality gets new power, which potency industries advance and how the state confronts climate change.

Global-warming agreement

When it comes to global warming, what’s most perceptible is how much the sum of two units candidates agree.

Both say meteorological character change is a real, man-made problem that warrants founded on action. And both endorse a pollution-cutting scheme known during the time that “cap and trade.”

Under that system, the body of executive officers would set limits on greenhouse-gas emissions, and companies would have to either divide emissions or buy pollution credits from companies even now in time the head-cover.

Starting in 2000 McCain broke with multiplied in his party and established himself as a leading Republican calling for action. President Bush merely not long ago talked of a belonging to man role in meteorological character change, and opposes federal regulations to shape greenhouse gases as a weight on the economy.

The sum of two units candidates’ positions hearten environmentalists and desire dulled the edge on climate change as a campaign issue.

“If anyone else had been the [Republican] nominee, I design climate change would have been a wedge issue,” said Clifford Traisman, of the environmental group Washington Conservation Voters. “With McCain, you don’t have that as much.”

But the candidates do deviate on how the country should break its confidence put on fossil fuels like coal and oil, major sources of conservatory gases.

McCain’session be nearly equal to new energy sources is largely in step through fellow Republicans. Like Bush, nuclear power is a centerpiece of his plan. He has called for construction of 45 new nuclear-power reactors in the United States by 2030

In his inferior debate with Obama, McCain said “nuclear power is safe, and it’s clean, and it creates hundreds of thousands of jobs.”

In gone global-warming legislation, McCain has pressed for nuclear industry subsidies and loan guarantees worth as much as $3.7 billion, according to estimates from nuclear-power critics.

Obama has given nuclear navy a cooler reception. While saying he supports it, he says the nation needs to figure out a way to deal with the radioactive superfluous it produces. He opposes the existing nuclear-waste dispensation plan

Checkered nuclear history

The Columbia Generating Station near Richland is the only skilled in commerce nuclear-power plant operating in Washington. But several Tri-Cities-area companies could see a pass by a leap in commerce with a nuclear resurgence.

French-owned Areva employs 650 people at a Richland plant making the uranium pellets for fuel rods in nuclear reactors. Another company, Energy Solutions, has dozens of people working on decommissioning commercial nuclear reactors and managing their spent fuel.

A cogitation by the Clean and Safe Energy Coalition, a nuclear industry-backed assign places to, estimated that 30 new reactors in the U.S. could appoint up to 21,000 new long-term jobs.

For Jim Buelt, superintendent of the nuclear-energy sector at the Pacific Northwest National Laboratory in Richland, it’session a matter of where the nation can go more “baseload” sovereignty

“I’farrago a huge proponent of it [nuclear] because I perceive the benefits it have power to bring to the nation and the part,” Buelt said.

But Washington also has a history of radioactive pollution and financial catastrophe. The Hanford nuclear reservation approximate to Richland and a former uranium mine northwest of Spokane are both federal Superfund cleanup sites.

The organization that built the Columbia Generating Station, known by the acronym WPPSS, earned the nickname “Whoops” on this account that a $2.25 billion bond default in 1983, after require to be paid overruns forced it to stop building four other nuclear reactors.

“My guess is that at least in this region nobody’sitting going to take the plunge with a view to totally a while,” said Daniel Pope, a University of Oregon history professor, and author of a fresh history of WPPSS.

Renewable force

Obama has placed greater weight than McCain on renewable energy, and sees a bigger role for the federal government to promote it.

He favors tax breaks for renewable power projects, as well as making utilities meet renewable energy quotas.

He has called for a $150 billion initiative to boost research in fuel-efficient cars, renewable manliness and “clean coal” technology. And he’s championed ethanol and biofuels subsidies.

That’sitting a contrast to McCain’s handling of renewable energy. He has opposed several government-driven initiatives, arguing that after greenhouse-gas regulations are established, the familiar market should be left to sort finished winners and losers.

McCain voted against requiring electric utilities to gain a percentage of their sovereignty from renewable sources. He has called for increased fuel efficiency for cars, but hasn’t set a specific target. Unlike nuclear power, he opposes subsidies for domestic ethanol production.

“I oppose subsidies. Not just ethanol subsidies. Subsidies,” McCain told an congregation in Ames, Iowa, late last year.

While the ethanol subsidies Obama supports play well in the corn-growing states of the Midwest, corn-based biofuels have been criticized for the environmental impacts of growing corn, and the potential to drive up the price of food.

Green-power toil

In Washington, a growing thirst for renewable power has given rise to a young bird green-power industry.

Wind turbines are unloaded at Washington ports. Seattle-area companies specialize in forecasting for wind-power companies and provide software that improves the efficiency of the electrical grid.

Nathan Rothman founded human being of those emerging companies. His Seattle-based Optimum Energy sells software that improves the efficiency of heating and cooling systems in big buildings.

He thinks Obama’s plan to pump federal money into choice energy could help make more alluring to in posse investors. And he’s put off by McCain’s promotion of pertaining to home oil drilling as an answer to the energy problem.

“I believe we certainly need the change,” Rothman said. Obama “understands the opportunities there are with green tech.”

Washington and Oregon together could see 41,000 to 63,000 new jobs by 2025 in alternative-energy kindred fields, according to a newly come study by each environmental group, and a clean-energy consulting company.

Obama has a “straightforward sect of policies” on renewable energy that “contrast by McCain pretty clearly,” said Seattle energy consultant Robert Kahn.

But in a nod to the candidate’s similarities, Kahn added that “McCain wouldn’t stand in the progression of some of these policies. I really don’t suppose it’s something he would go deficient in of the way to veto, but it isn’t a priority.”

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