OfficeMax, Office Depot may merge

U.S. office supply chains Office Depot Inc. and Naperville-based OfficeMax Inc. are in advanced discussions for a merger, a person familiar with the matter said on Monday.

A deal could come as soon as this week, that person said, adding that the talks were ongoing and could still fall apart.

Currently, the deal is expected to be structured as a stock-for-stock transaction, the person said.

Neither company responded to requests seeking comment.

One of OfficeMax's top shareholders, Neuberger Berman, said it would support a merger with Office Depot depending on terms of the deal, according to a portfolio manager at the firm.

Responding to media reports, Benjamin Nahum of Neuberger Berman, told Reuters in an interview that his preference would be for OfficeMax to declare a special dividend before merging with Office Depot. "In our view this would facilitate a fair deal."

Neuberger Berman said OfficeMax shareholders should be compensated for "the balance sheet strength that we bring to this combined entity."

The news came months after the investment firm called on the third-largest U.S. office supply chain to return money to shareholders in the form of a dividend or share repurchases and raised the specter of a proxy fight next year if the retailer fails to comply.

According to Thomson Reuters' data, Neuberger Berman owns 4.76 percent of OfficeMax, making it the third-largest shareholder of the Naperville company.

OfficeMax is expected to report its quarterly earnings on Thursday.

While the pair up had been rumored for years, one analyst said Monday that he believed a deal was less likely after a report last week that Office Depot is in talks to sell its remaining 50 percent stake in its Mexican operations.

Scott Tilghman, an analyst with investment firm B. Riley & Co. said that similarities in the pair’s U.S. and Mexican operations were thought to be a cornerstone of the consideration to combine.

But even if Office Depot does sell its Mexican stake, Tilghman said a deal would still make sense as both companies struggle to gain traction against competitor Staples Inc. and sites like Amazon.com.

By combining, the pair could cut costs by shedding stores and streamlining operations without having to raise prices. Tilghman estimates the companies could get rid of 20 percent of their combined stores and still hold onto customers.

Both companies have struggled in recent years from declining revenue in their retail stores. In OfficeMax’s most recent quarter, it was able to grow net income by cutting costs despite lower revenue. Slumping retail sales were somewhat offset by OfficeMax’s U.S. contract business, where it works directly with businesses to help operate more efficiently and reduce office expenses.

If combined, OfficeMax and Office Depot, the world’s second and third largest office products companies by revenue, would still not eclipse the segment’s largest business, Staples Inc.

Office Depot, based in Boca Raton, Florida, has 1,675 stores world-wide, annual sales of about $11.5 billion and some 39,000 employees, the Journal said. OfficeMax, operates roughly 900 stores in the United States and Mexico, generates about $7 billion in annual sales and has 29,000 employees, the Journal said.

Shares of OfficeMax closed at $10.75 on Friday on the New York Stock Exchange. Shares of Office Depot closed at $4.59. Both are approaching their respective 12-month highs.

- Samantha Bomkamp and Reuters contributed to this report

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Blackhawks keep rolling with 3-2 win over Kings

CAPTIONS

Blackhawks 3, Kings 2
Dave Bolland reacts after being pushed down on the ice by the Kings' Rob Scuderi during the third period. (Nuccio DiNuzzo, Chicago Tribune /February 17, 2013)

By Chris Kuc, Chicago Tribune reporter

7:42 p.m. CST, February 17, 2013

A couple of hours after taking a slap shot directly below the belt, Brent Seabrook sat in the victorious Blackhawks dressing room and put it simply: "Whatever it takes, I guess."

The Hawks continued to throw themselves in front of pucks, dive headfirst into net-front scrums and scrap and claw their way to keep their streak of games without a regulation loss alive.

On Sunday afternoon at the United Center, the Hawks extended that run to 15 contests with a 3-2 victory over the Kings in front of 21,843. Seabrook and Jonathan Toews each had a goal and an assist and Patrick Sharp also scored as the Hawks improved to 12-0-3 and moved within one of the Ducks' NHL record of 16 games to start the 2006-07 season without a regulation defeat. Duncan Keith added two assists and goaltender Ray Emery improved to 5-0-0 on the season with a 25-save effort.

"It hurts to look at your teammate and see how much pain they're in when they take a shot like that, but it motivates you and gets everyone into the right frame of mind of what we need to do to win," Toews said of the shot Seabrook took off the stick of the Kings' Trevor Lewis late in the first period. "When you've got a teammate like that laying himself on the line, it inspires your teammates."

Seabrook left the ice for the rest of the period but returned to help the Hawks keep rolling. In the second, fellow defenseman Johnny Oduya took a stick to the face while diving to make a save on a Jeff Carter chance in the slot. Oduya also went to the dressing room but returned in the third period to help stave off a Kings rally as the defending Stanley Cup champions scored twice to trim the Hawks' lead to a goal.

"We were blocking shots, getting in the way of things (and) Ray was making stops," Seabrook said. "They're the defending champs for a reason. They have a lot of the same roster they had last year and they can put the puck in the net. I thought the guys did a real nice job of keeping things in front of us and trying to limit their better shots."

Up until that third period, the Hawks were in complete control, but Mike Richards scored a power-play goal early and another one late to make things uncomfortable.

"We were fortunate to give ourselves the lead and we kept that lead even though it got a bit closer than we'd have liked it to," Emery said.

Added Hawks coach Joel Quenneville: "We had a great first 40 minutes. They got some momentum off that power-play goal early in the third period. They had a great third period. We had 40 (minutes) and they had a great 20. (Then) the clock ran out, which was nice."

ckuc@tribune.com

Twitter @ChrisKuc

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“Die Hard” action beats love stories at box office

(Reuters) – The fifth movie in the Bruce Willis “Die Hard” franchise scored the biggest box-office action over the U.S. holiday weekend, beating out love story “Safe Haven,” which came in third for the Friday-through-Sunday period.

“A Good Day to Die Hard,” with Willis returning as the tenacious, wisecracking hero John McClane, pulled in $ 25 million at U.S. and Canadian theaters over the three days, according to studio estimates.

The tally was expected to approach a total of $ 40 million for the five days that began with Thursday’s Valentine’s Day and ends with Monday’s Presidents Day holiday in the United States.

“Die Hard” beat “Safe Haven,” an adaptation of a Nicholas Sparks novel that was aimed at luring couples during the week of Valentine’s Day. The film, which stars Julianne Hough and Josh Duhamel, pulled in $ 21.4 million over the three days.

Last weekend’s box office winner, the Melissa McCarthy comedy “Identity Thief,” stayed strong and ended up taking second place with $ 23.4 million from Friday to Sunday.

Willis prevailed with his reprisal of a role he played four previous times starting with the original “Die Hard” in 1988. Those movies grossed $ 1.1 billion around the world and made Willis a global action star.

In the new movie, McClane travels to Russia to help his estranged son, a CIA operative played by Jai Courtney, in a fight to prevent a nuclear weapons heist.

Chris Aronson, president of domestic distribution at 20th Century Fox studio, said the film performed “right on par with our expectations,” which was near $ 40 million for the five-day period.

Audiences were about 55 percent male and 45 percent female, with just over one-third under the age of 25 and two-thirds 25 and older, which Aronson said was in line with the franchise’s last installment.

“It just shows the consistency of the fan base,” he said.

The opening was nearly double the total of the original “Die Hard,” adjusted for inflation, but down significantly from the previous three films in the franchise, according to figures from boxofficemojo.com.

The film added another $ 61 million to its total at international box offices, performing especially well in Russian, Japan and the United Kingdom.

‘BEAUTIFUL CREATURES’ MISSES AUDIENCE

News Corp’s 20th Century Fox spent about $ 92 million to produce the latest “Die Hard” sequel. It hit theaters on Valentine’s Day, and, in addition to “Safe Haven,” faced another romance movie in “Beautiful Creatures.” Fox promoted “Die Hard” with commercials encouraging moviegoers to “get some action” on Valentine’s Day.

“Safe Haven” stars “Dancing with the Stars” alum Hough as a young woman who meets a widower played by Duhamel. Privately held Relativity Media produced the film for $ 28 million.

The studio said “Safe Haven” was on track to finish second for the Thursday-to-Monday period, with total sales of $ 34 million, beating industry projections.

“Beautiful Creatures,” the supernatural love story about a teenage girl with magical powers, made its debut with $ 7.5 million at the box office to rank sixth in the three-day tallies.

The film was another of several Hollywood films aiming to capture the “Twilight” and “Hunger Games” audiences of teenage girls with adaptations of popular young adult novels.

Jeff Goldstein, Warner Bros. executive vice president of theatrical distribution, said “Beautiful Creatures,” produced by Alcon Entertainment for about $ 60 million, had a number of competitors on a busy weekend and the studio had hoped for a bigger turnout. “It just missed the audience,” he said.

In fourth place, family film “Escape from Planet Earth,” pulled in $ 16.1 million over the three days. The $ 40 million animated movie features the voices of Brendan Fraser and Sarah Jessica Parker in the story of an astronaut who finds trouble when he responds to a distress call from an alien planet.

Zombie romance “Warm Bodies,” in its third weekend of release, took the No. 5 slot with $ 9 million over the three days.

“Identity Thief” was released by Universal Pictures, a unit of Comcast Corp. The privately held Weinstein Co released “Escape from Planet Earth.” Lions Gate Entertainment’s Summit studio released “Warm Bodies.” “Beautiful Creatures” was produced by Alcon Entertainment and distributed by Warner Bros., a unit of Time Warner Inc.

(Reporting By Lisa Richwine in Los Angeles and Chris Michaud in San Francisco; Editing by Bill Trott and Eric Beech)

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Cuomo Bucks Tide With Bill to Lift Abortion Limits

ALBANY — Bucking a trend in which states have been seeking to restrict abortion, Gov. Andrew M. Cuomo is putting the finishing touches on legislation that would guarantee women in New York the right to late-term abortions when their health is in danger or the fetus is not viable.

Mr. Cuomo, seeking to deliver on a promise he made in his recent State of the State address, would rewrite a law that currently allows abortions after 24 weeks of pregnancy only if the pregnant woman’s life is at risk. The law is not enforced, because it is superseded by federal court rulings that allow late-term abortions to protect a woman’s health, even if her life is not in jeopardy. But abortion rights advocates say the existence of the more restrictive state law has a chilling effect on some doctors and prompts some women to leave the state for late-term abortions.

Mr. Cuomo’s proposal, which has not yet been made public, would also clarify that licensed health care practitioners, and not only physicians, can perform abortions. It would remove abortion from the state’s penal law and regulate it through the state’s public health law.

Abortion rights advocates have welcomed Mr. Cuomo’s plan, which he outlined in general terms as part of a broader package of women’s rights initiatives in his State of the State address in January. But the Roman Catholic Church and anti-abortion groups are dismayed; opponents have labeled the legislation the Abortion Expansion Act.

The prospects for Mr. Cuomo’s effort are uncertain. The State Assembly is controlled by Democrats who support abortion rights; the Senate is more difficult to predict because this year it is controlled by a coalition of Republicans who have tended to oppose new abortion rights laws and breakaway Democrats who support abortion rights.

New York legalized abortion in 1970, three years before it was legalized nationally by the Supreme Court in Roe v. Wade. Mr. Cuomo’s proposal would update the state law so that it could stand alone if the broader federal standard set by Roe were to be undone.

“Why are we doing this? The Supreme Court could change,” said a senior Cuomo administration official, who spoke on the condition of anonymity because the governor had not formally introduced his proposal.

But opponents of abortion rights, already upset at the high rate of abortions in New York State, worry that rewriting the abortion law would encourage an even greater number of abortions. For example, they suggest that the provision to allow abortions late in a woman’s pregnancy for health reasons could be used as a loophole to allow unchecked late-term abortions.

“I am hard pressed to think of a piece of legislation that is less needed or more harmful than this one,” the archbishop of New York, Cardinal Timothy M. Dolan, wrote in a letter to Mr. Cuomo last month. Referring to Albany lawmakers in a subsequent column, he added, “It’s as though, in their minds, our state motto, ‘Excelsior’ (‘Ever Upward’), applies to the abortion rate.”

National abortion rights groups have sought for years to persuade state legislatures to adopt laws guaranteeing abortion rights as a backup to Roe. But they have had limited success: Only seven states have such measures in place, including California, Connecticut and Maryland; the most recent state to adopt such a law is Hawaii, which did so in 2006.

“Pretty much all of the energy, all of the momentum, has been to restrict abortion, which makes what could potentially happen in New York so interesting,” said Elizabeth Nash, state issues manager at the Guttmacher Institute, a research group that supports abortion rights. “There’s no other state that’s even contemplating this right now.”

In most statehouses, the push by lawmakers has been in the opposite direction. The past two years has seen more provisions adopted at the state level to restrict abortion rights than in any two-year period in decades, according to the Guttmacher Institute; last year, 19 states adopted 43 new provisions restricting abortion access, while not a single significant measure was adopted to expand access to abortion or to comprehensive sex education.

“It’s an extraordinary moment in terms of the degree to which there is government interference in a woman’s ability to make these basic health care decisions,” said Andrea Miller, the president of NARAL Pro-Choice New York. “For New York to be able to send a signal, a hopeful sign, a sense of the turning of the tide, we think is really important.”

Abortion rights advocates say that even though the Roe decision supersedes state law, some doctors are hesitant to perform late-term abortions when a woman’s health is at risk because the criminal statutes remain on the books.

“Doctors and hospitals shouldn’t be reading criminal laws to determine what types of health services they can offer and provide to their patients,” said M. Tracey Brooks, the president of Family Planning Advocates of New York State.

For Mr. Cuomo, the debate over passing a new abortion law presents an opportunity to appeal to women as well as to liberals, who have sought action in Albany without success since Eliot Spitzer made a similar proposal when he was governor. But it also poses a challenge to the coalition of Republicans and a few Democrats that controls the State Senate, the chamber that has in the past stood as the primary obstacle to passing abortion legislation in the capital.

The governor has said that his Reproductive Health Act would be one plank of a 10-part Women’s Equality Act that also would include equal pay and anti-discrimination provisions. Conservative groups, still stinging from the willingness of Republican lawmakers to go along with Mr. Cuomo’s push to legalize same-sex marriage in 2011, are mobilizing against the proposal. Seven thousand New Yorkers who oppose the measure have sent messages to Mr. Cuomo and legislators via the Web site of the New York State Catholic Conference.

A number of anti-abortion groups have also formed a coalition called New Yorkers for Life, which is seeking to rally opposition to the governor’s proposal using social media.

“If you ask anyone on the street, ‘Is there enough abortion in New York?’ no one in their right mind would say we need more abortion,” said the Rev. Jason J. McGuire, the executive director of New Yorkers for Constitutional Freedoms, which is part of the coalition.

Members of both parties say that the issue of reproductive rights was a significant one in November’s legislative elections. Democrats, who were bolstered by an independent expenditure campaign by NARAL, credit their victories in several key Senate races in part to their pledge to fight for legislation similar to what Mr. Cuomo is planning to propose.

Republicans, who make up most of the coalition that controls the Senate, have generally opposed new abortion rights measures. Speaking with reporters recently, the leader of the Republicans, Dean G. Skelos of Long Island, strenuously objected to rewriting the state’s abortion laws, especially in a manner similar to what the governor is seeking.

“You could have an abortion up until the day the child would be born, and I think that’s just wrong,” Mr. Skelos said. He suggested that the entire debate was unnecessary, noting that abortion is legal in New York State and saying that is “not going to be changed.”

The Senate Democratic leader, Andrea Stewart-Cousins of Yonkers, who is the sponsor of a bill that is similar to the legislation the governor is drafting, said she was optimistic that an abortion measure would reach the Senate floor this year.

“New York State’s abortion laws were passed in 1970 in a bipartisan fashion,” she said. “It would be a sad commentary that over 40 years later we could not manage to do the same thing.”

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U. of C. Medicine's leader gears up for challenges

Nearly every morning, before 7 a.m., Dr. Kenneth Polonsky is dropped off near the Lakefront Trail on Chicago's South Side, a few steps from Lake Michigan.

He carries no briefcase, wears no suit and has no cup of coffee, the standard trappings of his executive contemporaries.

Instead — at least in the winter — he's covered in high-tech running gear, leaving only a small patch of skin around his eyes exposed to the weather. The outfit, he muses, must raise suspicions among cab drivers.

"It's 6:30 in the morning, it's dark and can be, maybe, 10 degrees outside," he says. "When I ask the driver to drop me by the side of (the road), they must think, 'What's going on with this guy? There's something funny here.'"

Twelve months a year, through heat waves, cold snaps, rain, sleet and snow, the top official at University of Chicago Medicine starts most mornings running 5 miles to work.

It's a routine that reflects lessons learned from decades of studying diabetes and treating patients with the disease and one he pairs with watching his diet "like a hawk." The daily run also is a vehicle for the cerebral 62-year-old M.D. to contemplate the challenges that lie ahead.

There are many, starting with the massive transformation of the way medical care is paid for and delivered as part of President Barack Obama's 2010 health care overhaul.

Polonsky also faces cuts to research funding that flows to the Pritzker School of Medicine through the National Institutes of Health and growing financial pressure from Illinois' Medicaid program, the federal-state health insurance program that serves a substantial percentage of the hospital's South Side patients.

All this while christening and trying to pay for a $700 million, 1.2 million-square-foot new hospital, a 10-story, boxy, modernist structure that towers above a campus better known for its ubiquitous, early-20th-century red-roofed Gothic buildings.

The hospital, dubbed the Center for Care and Discovery in the absence of a donor willing to lay down $50 million for naming rights, is scheduled to open Saturday.

With 240 private patient rooms, 28 supersize operating rooms and seven advanced imaging rooms, the hospital will specialize in neuroscience and the treatment of cancer and gastrointestinal diseases.

But even what is supposed to be a celebratory, clink-the-glasses moment for Polonsky and the university has been sullied by controversy.

An estimated 50 protesters entered the hospital on a Sunday afternoon in January, holding placards and using a megaphone to voice their displeasure that such a costly facility was not outfitted with a trauma unit.

University police with batons were videotaped shoving protesters to the ground. Four were arrested in the melee.

Polonsky said the system is re-evaluating its role in trauma care, "a legitimate question for discussion and debate and one we are looking at again in detail."

Managing this issue will be a major test of Polonsky's leadership in 2013 and will occur against the backdrop of the largest upheaval to the health care industry in a generation.

"We're in a really vulnerable situation at the moment; there's no question about it," Polonsky said of the shift under way in health care. "But that's one of the reasons I'm interested in my job. I believe I can impact a series of big issues."

Many people, he said, go through life wondering whether what they're doing is worthwhile or significant in the big picture of things.

"I'm very fortunate to never, ever have had that problem," Polonsky said.

A boy in South Africa

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Bob Brenly: 'It was unbelievably tough to leave'

Former Chicago Cubs TV analyst Bob Brenly talks about how he was set to return to the Cubs until a last-minute snag in negotiations.

MESA, Ariz. – Former Chicago Cubs TV analyst Bob Brenly said he was planning to return to the team’s broadcast booth last year until a snag in negotiations led to his new job with the Arizona Diamondbacks.

The D’backs quickly signed Brenly to a five-year deal after the Cubs’ deal fell through.  

“It was unbelievably tough to leave,” Brenly said Saturday during a visit to Cubs camp, where his son, Michael is a non-roster invitee. “Long story short, we thought we had a deal done, and actually went out and celebrated with my family and ran up a pretty good tab at Joe’s (Stone Crabs).

“Woke up the next morning and there were some issues with the contract. One thing led to another and that kind of opened up negotiations with the Diamondbacks and it rolled downhill quickly. The Diamondbacks were willing to give me the years and the money that WGN and Comcast (Sports Net) could just not guarantee. Not a bad Plan B.”

The Cubs could not guarantee Brenly more than two years because they plan to open up bidding rights to games next year. The contract with their longtime home, WGN-TV expires after 2014, and the Cubs figure to cash in after the Los Angeles Dodgers reportedly reached an agreement with Time Warner Cable on a deal expected to be worth $7 billion to $8 billion over 25 years.

“There were some last-minute technical issues, a lot of financial maneuvering going on with the Tribune Co. and WGN," he said. “And their contract expires after next season with the Cubs. And with the money that’s there for the TV rights now, there was no guarantee who was going to get the contract.

“I certainly understand their position. They certainly did not want to guarantee me a contract when they might not even be carrying the games. It was just one of those things that happen in the game of baseball. It happens in broadcasting. It happens in just about every livelihood. But, like I said, a real good plan B.”

Brenly, who managed the D’backs to then 2001 championship, said he’s no longer thinking about the possibility of getting back in the manager’s seat down the road. He took himself out of consideration for the job that eventually went to Mike Quade in 2011.  

“I think that boat has sailed,” Brenly said. “There’s always a chance that some of the older people in the game may recall what we did back here in ’01 in Arizona, but I’m content. I like my job. Working with Len (Kasper) for eight years was as good as it gets. Going to Wrigley and traveling with the club… I’m breaking in a new partner this year in Steve Berthiaume, who just has a tremendous amount of energy and enthusiasm for the game.

“I think it’s going to be a lot of fun to get back in the booth. I think the Diamondbacks are going to have a really good team this year, so I’m looking forward to it.”

The Cubs later signed Astros analyst Jim Deshaies to a four-year deal to replace Brenly in the booth.

psullivan@tribune.com

Twitter @PWSullivan

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Kate Upton says body shut down after Antarctic bikini shoot

(Reuters) – Swimsuit model Kate Upton said on Tuesday her body shut down after she posed in a skimpy bikini in Antarctica for Sports Illustrated magazine.

Upton, wearing only a white bikini bottom and an unzipped white parka, was picked as the cover girl for the annual Sports Illustrated swimsuit issue, unveiled on Monday, for the second consecutive year.

“It was freezing,” Upton, 20, told NBC’s morning TV show “Today” on Tuesday. “I’m from Florida, so it wasn’t easy for me.

“When I came back, I was losing my hearing and eyesight. My body was shutting down because it was working so hard to keep me warm.”

Upton joins celebrity models including Elle Macpherson, Christie Brinkley and Tyra Banks to appear more than once on the swimsuit issue‘s cover.

M.J. Day, a senior editor for Sports Illustrated, told Reuters that Upton braved temperatures as low as 24 degrees Fahrenheit (-4 Celsius) and wind chills as low as -20 Fahrenheit (-29 Celsius).

“We should name a passageway after her down there,” said Day, who accompanied Upton on the frigid shoot. “She braved six days in a bikini while we were head-to-toe in jackets … No one will ever accuse her of being a whiny model, ever.”

This year’s 17 models were part of photo shoots that stretched across all seven continents.

(Reporting by Eric Kelsey in Los Angeles; Editing by Jill Serjeant and Mohammad Zargham)

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Livestrong Tattoos as Reminder of Personal Connections, Not Tarnished Brand

As Jax Mariash went under the tattoo needle to have “Livestrong” emblazoned on her wrist in bold black letters, she did not think about Lance Armstrong or doping allegations, but rather the 10 people affected by cancer she wanted to commemorate in ink. It was Jan. 22, 2010, exactly a year since the disease had taken the life of her stepfather. After years of wearing yellow Livestrong wristbands, she wanted something permanent.

A lifelong runner, Mariash got the tattoo to mark her 10-10-10 goal to run the Chicago Marathon on Oct. 10, 2010, and fund-raising efforts for Livestrong. Less than three years later, antidoping officials laid out their case against Armstrong — a lengthy account of his practice of doping and bullying. He did not contest the charges and was barred for life from competing in Olympic sports.

“It’s heartbreaking,” Mariash, of Wilson, Wyo., said of the antidoping officials’ report, released in October, and Armstrong’s subsequent confession to Oprah Winfrey. “When I look at the tattoo now, I just think of living strong, and it’s more connected to the cancer fight and optimal health than Lance.”

Mariash is among those dealing with the fallout from Armstrong’s descent. She is not alone in having Livestrong permanently emblazoned on her skin.

Now the tattoos are a complicated, internationally recognized symbol of both an epic crusade against cancer and a cyclist who stood defiant in the face of accusations for years but ultimately admitted to lying.

The Internet abounds with epidermal reminders of the power of the Armstrong and Livestrong brands: the iconic yellow bracelet permanently wrapped around a wrist; block letters stretching along a rib cage; a heart on a foot bearing the word Livestrong; a mural on a back depicting Armstrong with the years of his now-stripped seven Tour de France victories and the phrase “ride with pride.”

While history has provided numerous examples of ill-fated tattoos to commemorate lovers, sports teams, gang membership and bands that break up, the Livestrong image is a complex one, said Michael Atkinson, a sociologist at the University of Toronto who has studied tattoos.

“People often regret the pop culture tattoos, the mass commodified tattoos,” said Atkinson, who has a Guns N’ Roses tattoo as a marker of his younger days. “A lot of people can’t divorce the movement from Lance Armstrong, and the Livestrong movement is a social movement. It’s very real and visceral and embodied in narrative survivorship. But we’re still not at a place where we look at a tattoo on the body and say that it’s a meaningful thing to someone.”

Geoff Livingston, a 40-year-old marketing professional in Washington, D.C., said that since Armstrong’s confession to Winfrey, he has received taunts on Twitter and inquiries at the gym regarding the yellow Livestrong armband tattoo that curls around his right bicep.

“People see it and go, ‘Wow,’ ” he said, “But I’m not going to get rid of it, and I’m not going to stop wearing short sleeves because of it. It’s about my family, not Lance Armstrong.”

Livingston got the tattoo in 2010 to commemorate his brother-in-law, who was told he had cancer and embarked on a fund-raising campaign for the charity. If he could raise $5,000, he agreed to get a tattoo. Within four days, the goal was exceeded, and Livingston went to a tattoo parlor to get his seventh tattoo.

“It’s actually grown in emotional significance for me,” Livingston said of the tattoo. “It brought me closer to my sister. It was a big statement of support.”

For Eddie Bonds, co-owner of Rabbit Bicycle in Hill City, S.D., getting a Livestrong tattoo was also a reflection of the growth of the sport of cycling. His wife, Joey, operates a tattoo parlor in front of their store, and in 2006 she designed a yellow Livestrong band that wraps around his right calf, topped off with a series of small cyclists.

“He kept breaking the Livestrong bands,” Joey Bonds said. “So it made more sense to tattoo it on him.”

“It’s about the cancer, not Lance,” Eddie Bonds said.

That was also the case for Jeremy Nienhouse, a 37-year old in Denver, Colo., who used a Livestrong tattoo to commemorate his own triumph over testicular cancer.

Given the diagnosis in 2004, Nienhouse had three rounds of chemotherapy, which ended on March 15, 2005, the date he had tattooed on his left arm the day after his five-year anniversary of being cancer free in 2010. It reads: “3-15-05” and “LIVESTRONG” on the image of a yellow band.

Nienhouse said he had heard about Livestrong and Armstrong’s own battle with the cancer around the time he learned he had cancer, which alerted him to the fact that even though he was young and healthy, he, too, could have cancer.

“On a personal level,” Nienhouse said, “he sounds like kind of a jerk. But if he hadn’t been in the public eye, I don’t know if I would have been diagnosed when I had been.”

Nienhouse said he had no plans to have the tattoo removed.

As for Mariash, she said she read every page of the antidoping officials’ report. She soon donated her Livestrong shirts, shorts and running gear. She watched Armstrong’s confession to Winfrey and wondered if his apology was an effort to reduce his ban from the sport or a genuine appeal to those who showed their support to him and now wear a visible sign of it.

“People called me ‘Miss Livestrong,’ ” Mariash said. “It was part of my identity.”

She also said she did not plan to have her tattoo removed.

“I wanted to show it’s forever,” she said. “Cancer isn’t something that just goes away from people. I wanted to show this is permanent and keep people remembering the fight.”

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Daley turns focus toward Gary

Richard M. Daley has kept a low profile since leaving office in 2011.

That doesn't mean he has lost interest in urban issues. The former mayor has turned his attention in a surprising direction, beyond Chicago's borders to one of the most intractable urban tragedies in America: the collapse of Gary, Ind.

"I always believe no part of America should be forgotten, and I think Gary has been forgotten," Daley said.

Daley is using his influence at the University of Chicago, where he is a distinguished senior fellow, to push a modest but growing amount of manpower toward Gary Mayor Karen Freeman-Wilson.

With guidance from Daley and Freeman-Wilson, University of Chicago graduate students are trying to figure out what to do with Gary's abandoned buildings and how to promote greater use of technology to help the city accomplish more with less, among other projects.

The hope is that the students will go on to help other cities after graduation. If successful, the U. of C.-Gary partnership could be replicated in other industrial towns grappling with decline.

Gary spans about 55 square miles, nearly a quarter of the size of Chicago. Yet the steel town's population has plummeted to an estimated 80,000, meaning the city has lost about half its people since 1960. The city's problems have mounted, including abandoned buildings and homes, sagging infrastructure and a declining budget to pay for services.

Outsiders have tried to fix Gary since at least the Lyndon B. Johnson administration. Freeman-Wilson, a former Indiana attorney general, judge and Harvard College and Harvard Law School graduate, has reinvigorated Gary's renewal efforts. And she's unafraid to ask for help.

Immediately after winning the 2011 Democratic primary, Freeman-Wilson called Daley for advice. They met, and Daley invited her to be the first guest speaker at his lecture series at the University of Chicago's Harris School of Public Policy, where Daley has a five-year appointment.

This quarter, 11 students from the university's public policy, business and social services schools are getting course credit for working on projects for Gary.

"It was Mayor Daley's idea," Freeman-Wilson said as she rode from a meeting on Chicago's West Side to Gary. "I had always envisioned getting the support and work from (University of Chicago Law School) alums, because there were issues around codes and things of that nature. It was not until the mayor came up with the idea of using students from the (Harris) School of Public Policy that I said, 'Oh yeah, that would work. That would work very well.'"

Daley does not teach a class at the University of Chicago. He runs an occasional lecture series.

Carol Brown, his last policy chief at City Hall, leads the program and the class, which is called the "Urban Revitalization Project: City of Gary, Ind." Grants from the Chicago-based Joyce and MacArthur foundations help pay administrative costs, including Brown's salary and that of a part-time assistant.

Last quarter's class was divided into three project teams. One team is cataloging Gary's abandoned buildings, which are magnets for crime and eyesores that further depress surrounding property values. Another is trying to recruit pro bono legal and consulting services for the city. And a third is trying to craft a strategy to clean up front stoops and empty lots one block at a time. This quarter's class also is tackling untapped funding opportunities and economic development.

Freeman-Wilson said a major benefit of the partnership is the fresh ideas from students "who aren't jaded by the limitations of government, whereas a 20-year employee might say, 'Oh, no, we can't do that in government because we don't have X, Y and Z.'"

Already their work has prompted more widespread use among Gary employees of a technology that stores and analyzes geographic data. City workers are now using the technology to map potholes, fallen tree limbs and illegal dump sites. That way work crews can be dispatched to neighborhoods where the problems are most severe.

"This partnership encourages urban planners to think broadly about regions instead of cities — greater Chicago instead of the city of Chicago," said Stephen Paul O'Hara, a historian at Xavier University who wrote a book about Gary.

The students operate as consultants. They gather best practices and ideas from cities around the country and then recommend a course of action. At the end of each 10-week quarter, students present their recommendations to Daley, Freeman-Wilson and their staffs. Their grades are based on those presentations and supporting reports.

"I will tell you, it never stops getting nerve-wracking," second-year graduate student Jocelyn Hare said of presenting to Daley. "But it gets easier."

Last spring, Hare, 32, responded to an email seeking student volunteers to conduct preliminary research to test the idea of a partnership. Hare then interned for the city of Gary during the summer. The Harris school paid her $15 an hour. She then enrolled in the first class in the fall and again this winter, when it was opened to graduate students outside of Harris for the first time.

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Lawyers: Jackson Jr., wife intend to plead guilty to charges

Jesse Jackson Jr. and his wife Sandi intend to plead guilty to federal charges alleging the former congressman misused $750,000 in campaign funds while she understated their income on  tax returns for six years, their lawyers say.

Jackson Jr., 47, a Democrat from Chicago, was charged in a criminal information today with one count of conspiracy to commit wire fraud, mail fraud and false statements. He faces up to five years in prison, a fine of up to $250,000 and other penalties.

Sandi Jackson was charged with one count of filing false tax returns. She faces up to three years in prison, a fine of up to $250,000 and other penalties.

Jackson Jr. is accused of diverting $750,000 in campaign funds for personal use.

Federal authorities allege that Jackson Jr. used campaign funds to purchase a $43,350 men’s gold-plated Rolex watch, $5,150 worth of fur capes and parkas, and $9,588 in children’s furniture. The purchases were made between 2007 and 2009, according to the criminal information, which authorities noted is not evidence of guilt.

Other expenditures listed by prosecutors include $10,105 on Bruce Lee memorabilia, $11,130 on Martin Luther King memorabilia and $22,700 on Michael Jackson items, including $4,600 for a "Michael Jackson fedora."

The government also alleged that Jackson Jr. made false statements to the House of Representatives because he did not report approximately $28,500 in loans and gifts he received.

"He has accepted responsibility for his actions and I can confirm that he intends to plead guilty to the charge in the information," Jackson Jr.'s attorney Brian Heberlig said.

Sandi Jackson is accused of filing incorrect joint tax returns with her husband for calendar years 2006 through 2011, reporting income “substantially less than the amount of income she and her husband received in each of the calendar years,” with a substantial additional tax due.

Her attorneys released a statement saying she has "reached an agreement with the U.S. attorney’s office to plead guilty to one count of tax fraud."

Jackson Jr. stepped down from the House of Representatives on Nov. 21, citing both his poor health and an ongoing federal probe of his activities. In a statement then, he said he was doing his best to cooperate with federal investigators and to accept responsibility for his “mistakes.”

In a statement today, Jackson Jr. said:

“Over the course of my life I have come to realize that none of us are immune from our share of shortcomings and human frailties. Still I offer no excuses for my conduct and I fully accept my responsibility for the improper decisions and mistakes I have made. To that end I want to offer my sincerest apologies to my family, my friends and all of my supporters for my errors in judgment and while my journey is not yet complete, it is my hope that I am remembered for the things that I did right.”

Sandi Jackson's attorneys released a statement saying she "has accepted responsibility for her conduct, is deeply sorry for her actions, and looks forward to putting this matter behind her and her family. She is thankful for the support of her family and friends during this very difficult time."

Jackson's father, the Rev.  Jesse Jackson Sr., said he wanted to attend President Barack Obama's speech Friday at Hyde Park Academy in Chicago but traveled to Washington, D.C., instead, to be with family members while they waited for the federal charges to come down.
 
"This has been a difficult and painful ordeal for our family," the civil rights leader said.
 
The Rev. Jesse Jackson said he would "leave it up to the courts system" to determine his son's fate.

"We express our love for him as a family," he said.

Jackson Jr.’s political fortunes sank beginning late in 2008, when he sought unsuccessfully to have Gov. Rod Blagojevich appoint him to the Senate seat that came open with the election of then-Sen. Barack Obama to the White House.

Jackson Jr. or an emissary reportedly offered to raise up to $6 million in campaign cash for Blagojevich, who now is in federal prison for crimes including trying to sell the Senate seat. Jackson Jr. was never charged in the case, which became the subject of an ethics probe in the House.

Last June, Jackson Jr. began a mysterious leave of absence for what originally was called “exhaustion” but later emerged as bipolar disorder. He spent months in treatment and won re-election Nov. 6 despite never returning to service in the House or staging a single campaign appearance.

A campaign to replace him is being conducted now in the 2nd Congressional District, which includes parts of the South Side and south suburbs.

Jackson Jr. was first elected to Congress in 1995. Sandi Jackson was a Chicago alderman until she resigned her post last month. They have two children.

Sandi Jackson’s firm, J. Donatella & Associates, has been paid at least $452,500 from her husband’s campaign committee since 2002, Federal Election Commission reports show.

The former congressman’s campaign committee reported $105,703 in cash on hand on last Nov. 26, FEC reports show. Leading up to the last election, it reported $1 million in contributions and $1.06 million in operating expenditures, reports show.

Once considered a potential candidate for mayor of Chicago, Jesse Jackson Jr.’s reputation has taken a hit in recent years because of the Blagojevich scandal and also because of news reports in 2010 that a suburban Chicago businessman told federal investigators he twice paid to fly a woman — a hostess from a Washington, D.C. bar — to Chicago at Jackson’s request.

In the wake of the reports, Jackson Jr. issued a statement calling the woman a “social acquaintance” and describing the matter as a  “private and personal matter between me and my wife that was handled some time ago.”

Jackson Jr. subsequently told the Tribune editorial board he had apologized to "my absolute best friend, my wife."

Still, he also acknowledged he asked longtime supporter Raghuveer Nayak to pay to fly the woman from Washington to Chicago. House ethics rules prohibit members from soliciting gifts of personal benefit. Jackson said Nayak’s purchase was "a friendly gesture" by "a close and dear friend of mine, one who knows members of my family, has worked with members of my family, has been a friend of our family's for a number of years."

The woman's travel was "not a personal benefit to me, I don’t believe, under the House rules. A benefit to the person for whom he bought the ticket. He didn't buy tickets for me. Did I direct him? I did."

Tribune reporters Kim Geiger, Rick Pearson and Patrick Svitek contributed.

kskiba@tribune.com

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