Attorney: Poisoned lottery winner's widow has 'nothing to hide'

The widow of a West Rogers Park man who died of cyanide poisoning weeks after winning a $1 million lottery jackpot was questioned extensively by Chicago police last month after the medical examiner's office reclassified the death as a homicide, her attorney told the Tribune on Tuesday.

Authorities investigating the death of Urooj Khan also executed a search warrant at the home he had shared with his wife, Shabana Ansari, according to Steven Kozicki, her attorney. Ansari later was interviewed by detectives for more than four hours, answering all their questions, the attorney said.

"She's got nothing to hide," Kozicki said.

The mystery surrounding Khan's death — first reported by the Tribune in a front-page story Monday — has sparked international media interest.

Cook County authorities said Tuesday that they plan to go to court in the next few days for approval to exhume Khan's remains at Rosehill Cemetery. In a telephone interview Tuesday, Medical Examiner Stephen J. Cina said he sent a sworn statement to prosecutors laying out why the body must be exhumed.

"I feel that a complete autopsy is needed for the sake of clarity and thoroughness," Cina said.

Sally Daly, a spokeswoman for the state's attorney's office, confirmed that papers seeking the exhumation would be filed soon in the Daley Center courthouse.

Khan, who owned a dry cleaning business on the city's North Side, died unexpectedly in July at 46, just weeks after winning a million-dollar lottery prize at a 7-Eleven store near his home. Finding no trauma to his body and no unusual substances in his blood, the medical examiner's office declared his death to be from natural causes and he was buried without an autopsy.

About a week later, a relative told authorities to take a closer look at Khan's death. By early December, comprehensive toxicology tests showed that Khan had died of a lethal amount of cyanide, leading the medical examiner's office to reclassify the death a homicide and prompting police and prosecutors to investigate.

While a motive has not been determined, police have not ruled out that Khan was killed because of his big lottery win, a law enforcement source has told the Tribune. He died before he could collect the winnings — about $425,000 after taxes and because he decided to take a lump-sum payment.

According to court records obtained by the Tribune, Khan's brother has squabbled with Ansari over the money in probate court. The brother, Imtiaz, raised concern that because Khan left no will, his 17-year-old daughter from a previous marriage would not get "her fair share" of her father's estate. Khan and Ansari did not have children.

Al-Haroon Husain, an attorney for Ansari in the probate case, said the money was all accounted for and the estate was in the process of being divided up by the court. Under Illinois law, the estate typically would be split evenly between the surviving spouse and Khan's only child, he said.

Kozicki, Ansari's criminal defense attorney, said his client adored her husband and had no financial interest in seeing harm come to him.

"Now in addition to grieving her husband, she's struggling to run the business that he essentially ran while he was alive," Kozicki said. "Once people analyze it, they (would) realize she's in a much worse financial position after his death than she was before."

Reached by phone Tuesday evening at the family dry cleaners, Ansari denied reports that she had fed her husband a traditional Indian meal of ground beef curry before he died. She said he wasn't feeling well after awakening in the middle of the night. She said he sat in a chair and soon collapsed. She then called 911.

Chicago police Superintendent Garry McCarthy, speaking Tuesday at an unrelated news conference, remarked that he had never seen a case like this in 32 years in law enforcement.

"So I'll never say that I've seen everything," he told reporters.

jmeisner@tribune.com

jgorner@tribune.com

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AP Exclusive: Richardson pressing NKorean test ban

PYONGYANG, North Korea (AP) — Former New Mexico Gov. Bill Richardson said Wednesday that his delegation is pressing North Korea to put a moratorium on missile launches and nuclear tests and to allow more cell phones and an open Internet for its citizens.

Richardson told The Associated Press in an exclusive interview in Pyongyang that the group is also asking for fair and humane treatment for an American citizen detained in North Korea.

“The citizens of the DPRK (North Korea) will be better off with more cell phones and an active Internet. Those are the three messages we’ve given to a variety of foreign policy officials, scientists” and government officials, Richardson said.

He is accompanied by Google Executive Chairman Eric Schmidt and Google Ideas think tank Director Jared Cohen on what Richardson has called a private, humanitarian trip. Schmidt, who is the highest-profile U.S. business executive to visit North Korea since leader Kim Jong Un took power a year ago, has not spoken publicly about the reasons behind the journey to North Korea.

The high-profile visit comes just weeks after North Korea launched a long-range rocket to send a satellite into space. Washington has condemned the launch as a banned test of missile technology.

Schmidt, who oversaw Google‘s expansion into a global Internet giant, speaks frequently about the importance of providing people around the world with Internet access and technology. Google now has offices in more than 40 countries, including all three of North Korea’s neighbors: Russia, South Korea and China, another country criticized for systematic Internet censorship.

He and Cohen have collaborated on a book about the Internet’s role in shaping society called “The New Digital Age” that comes out in April.

Using science and technology to build North Korea’s beleaguered economy was the highlight of a New Year’s Day speech by leader Kim Jong Un.

New red banners promoting slogans drawn from Kim’s speech line Pyongyang’s snowy streets, and North Koreans are still cramming to study the lengthy speech. It was the first time in 19 years for North Koreans to hear their leader give a New Year’s Day speech. During the rule of late leader Kim Jong Il, state policy was distributed through North Korea’s three main newspapers.

___

Follow AP’s bureau chief for Pyongyang and Seoul at www.twitter.com/newsjean.

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No joke: Obama to screen TV comedy “1600 Penn” at White House

WASHINGTON (Reuters) – A “trophy wife” as first lady, a hapless college-aged son who burns down a fraternity house, and a daughter frantically taking pregnancy tests in a White House bathroom – this TV comedy had better be funny.

On Wednesday, President Barack Obama is slated to hold a private screening at the White House with the cast and crew of “1600 Penn,” an NBC series about a dysfunctional first family.

The show, co-created by Jon Lovett, a former speechwriter for Obama, stars Bill Pullman as U.S. President Dale Gilchrist and Jenna Elfman as his first lady, and is named after the street address of the White House, 1600 Pennsylvania Avenue.

A preview of the show, which premieres on Thursday, features first son “Skip,” played by the show’s co-creator Josh Gad, being rescued by the Secret Service after starting a fire at his college fraternity house.

“‘Meatball’ is in the oven,” an agent says into his lapel microphone, using the code name for the hapless Skip as he is hustled into a waiting black SUV.

But the show, which is apolitical, aims lower than other recent television dramas about the White House, like Aaron Sorkin’s drama series “The West Wing” or HBO’s dark satire “Veep.”

“We really wanted to dissect what it meant to be a family in the most extraordinary of circumstances – and what’s more extraordinary than being the first family?” Gad told reporters last month.

So will Obama laugh?

The screening in the White House’s family theater is “closed press,” meaning pool reporters won’t be there to document whether the comedy hits home.

(Reporting by Roberta Rampton; Editing by Eric Beech)

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Gaps Seen in Therapy for Suicidal Teenagers

Most adolescents who plan or attempt suicide have already received at least some mental health treatment, raising questions about the effectiveness of current approaches to helping troubled youths, according to the largest in-depth analysis to date of suicidal behaviors in American teenagers.

The study, in the journal JAMA Psychiatry, found that 55 percent of suicidal teenagers had received some therapy before they thought about suicide, planned it or tried to kill themselves, contradicting the widely held belief that suicide is due in part to a lack of access to treatment.

The findings, based on interviews with a nationwide sample of more than 6,000 teenagers and at least one parent of each, linked suicidal behavior to complex combinations of mood disorders like depression and behavior problems like attention-deficit and eating disorders, as well as alcohol and drug abuse.

The study found that about one in eight teenagers had persistent suicidal thoughts at some point, and that about a third of those who had suicidal thoughts had made an attempt, usually within a year of having the idea.

Previous studies have had similar findings, based on smaller, regional samples. But the new study is the first to suggest, in a large nationwide sample, that access to treatment does not make a big difference.

The study suggests that effective treatment for severely suicidal teenagers must address not just mood disorders, but also behavior problems that can lead to impulsive acts, experts said. According to the Centers for Disease Control and Prevention, 1,386 people between the ages of 13 and 18 committed suicide in 2010, the latest year for which numbers are available.

“I think one of the take-aways here is that treatment for depression may be necessary but not sufficient to prevent kids from attempting suicide,” said Dr. David Brent, a professor of psychiatry at the University of Pittsburgh, who was not involved in the study. “We simply do not have empirically validated treatments for recurrent suicidal behavior.”

The report said nothing about whether the therapies given were state of the art or carefully done, said Matt Nock, a professor of psychology at Harvard and the lead author, and it is possible that some of the treatments prevented suicide attempts. “But it’s telling us we’ve got a long way to go to do this right,” Dr. Nock said. His co-authors included Ronald C. Kessler of Harvard and researchers from Boston University and Children’s Hospital Boston.

Margaret McConnell, a consultant in Alexandria, Va., said her daughter Alice, who killed herself in 2006 at the age of 17, was getting treatment at the time. “I think there might have been some carelessness in the way the treatment was done,” Ms. McConnell said, “and I was trusting a 17-year-old to manage her own medication. We found out after we lost her that she wasn’t taking it regularly.”

In the study, researchers surveyed 6,483 adolescents from the ages of 13 to 18 and found that 9 percent of male teenagers and 15 percent of female teenagers experienced some stretch of having persistent suicidal thoughts. Among girls, 5 percent made suicide plans and 6 percent made at least one attempt (some were unplanned).

Among boys, 3 percent made plans and 2 percent carried out attempts, which tended to be more lethal than girls’ attempts.

(Suicidal thinking or behavior was virtually unheard-of before age 10.)

Over all, about one-third of teenagers with persistent suicidal thoughts went on to make an attempt to take their own lives.

Almost all of the suicidal adolescents in the study qualified for some psychiatric diagnosis, whether depression, phobias or generalized anxiety disorder. Those with an added behavior problem — attention-deficit disorder, substance abuse, explosive anger — were more likely to act on thoughts of self-harm, the study found.

Doctors have tested a range of therapies to prevent or reduce recurrent suicidal behaviors, with mixed success. Medications can ease depression, but in some cases they can increase suicidal thinking. Talk therapy can contain some behavior problems, but not all.

One approach, called dialectical behavior therapy, has proved effective in reducing hospitalizations and suicide attempts in, among others, people with borderline personality disorder, who are highly prone to self-harm.

But suicidal teenagers who have a mixture of mood and behavior issues are difficult to reach. In one 2011 study, researchers at George Mason University reduced suicide attempts, hospitalizations, drinking and drug use among suicidal adolescent substance abusers. The study found that a combination of intensive treatments — talk therapy for mood problems, family-based therapy for behavior issues and patient-led reduction in drug use — was more effective than regular therapies.

“But that’s just one study, and it’s small,” said Dr. Brent of the University of Pittsburgh. “We can treat components of the overall problem, but that’s about all.”

Ms. McConnell said that her daughter’s depression had seemed mild and that there was no warning that she would take her life. “I think therapy does help a lot of people, if it’s handled right,” she said.

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Dreamliner glitches giving Boeing a black eye

Boeing's 787 Dreamliner could become a public relations nightmare for Chicago-based Boeing Co. and some of its airline customers.

Electrical problems and fuel leaks have plagued the new Boeing plane model recently. On Monday, an empty Japan Airlines 787 in Boston caught fire. On Tuesday, a fuel leak forced a different Japan Airlines 787 to cancel takeoff and return to the gate before ultimately completing its trip to Tokyo.

"We're getting to a tipping point, where they go from needing to rectify problems to doing major damage control to the image of the company and the plane," said Richard Aboulafia, a defense and aerospace analyst with Teal Group, a consulting firm based in Fairfax, Va. "While they delivered a large and unexpected number of 787s last year, it's possible that they should have instead focused on identifying glitches and flaws, rather than pushing ahead with volume production."

The fire, in particular, prompted Chicago-based United Airlines — it's the only North American carrier so far to operate 787s — to inspect its six new Boeing 787 airplanes overnight.

United reportedly found improperly installed wires in one plane's auxiliary power unit, the same system involved in the Japan Airlines electrical fire Monday, said The Wall Street Journal, citing an unnamed source.

But United would not confirm that finding.

"We continue to work closely with Boeing on the reliability of our 787s," United spokeswoman Mary Ryan said.

The rash of recent incidents, including those this week and inspections for fuel leaks ordered by the Federal Aviation Administration last month, add to the problems of Boeing, which had already endured criticism for delivering 787s to customers more than three years late because of design and production problems.

Investors were not pleased. Boeing's stock price dropped 2 percent Monday and an additional 2.6 percent Tuesday.

Boeing said in a statement it was premature to discuss details of Monday's fire but "nothing that we've seen in this case indicates a relationship to any previous 787 power system events."

Boeing said it is cooperating with the National Transportation Safety Board in investigating the fire, which was discovered when Japan Airlines reported smoke coming from the 787 at Boston's Logan International Airport, where passengers had disembarked and the plane was being cleaned. The fire was traced to the battery used to start the auxiliary power unit.

"Before providing more detail, we will give our technical teams the time they need to do a thorough job and ensure we are dealing with facts, not speculation," Boeing said.

Aviation experts say glitches are to be expected early in an aircraft's life cycle, especially one as revolutionary as the 787. The highly anticipated Dreamliner is touted as offering greater passenger comforts and fuel efficiency, largely because of its construction of light composite materials rather than metals.

"These types of issues are not uncommon," said Timothy O'Neil-Dunne, managing partner of aviation and travel consulting firm T2Impact. "The electrical (systems) on a 787 are incredibly complex." He cited early production problems with other aircraft models, including the Airbus A380, "when they basically had to rewire the whole plane."

"I won't want people to rush to conclusions that the aircraft is not safe," he said. "However, the level of complexity and the early production problems suffered by Boeing … reflects on the company's eagerness to ramp up production to a very fast rate."

Aboulafia said there is no indication the plane itself is flawed.

"It's just a question of how quickly they can get all the onboard technologies right, and whether or not the 787 and Boeing brands will be badly damaged," he said.

Reuters contributed.

gkarp@tribune.com

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3rd Q: Alabama 35, Notre Dame 7

The big game features college football¿s top two teams and millions of dollars to go around.

The intersection of dreams and reality finally crossed Monday night when No. 1 Notre Dame and No. 2 Alabama met for college football's national championship at Sun Life Stadium in Miami Gardens, Fla.

Alabama was seeking its third title in four years, while Notre Dame sought its first championship since 1988.

Alabama made it 42-7 witih 11:27 to play in the game.

Trailing by five touchdowns, Notre Dame finally got on the board on a two-yard TD run by quarterback Everett Golson to make it 35-7 with 4:08 to play in the third quarter.

Alabama had increased its lead to 35-0 with 7:34 left in the third quarter as AJ McCarron hit a wide-open Amari Cooper for a 34-yard touchdown pass. It gave the Crimson Tide 406 yards of offense, an average of eight yards per play.

Alabama roared out to a 28-0 lead shortly before halftime when McCarron hit Eddie Lacy on an 11-yard touchdown pass. It capped a nine-play, 71-yard drive and the Crimson Tide led by four touchdowns at intermission.

Notre Dame's vaunted defense was ineffective in the first half, missing numerous tackles. Meanwhile, McCarron found all of the holes in the Irish secondary. Lacy had 96 yards rushing in the first half. Alabama was credited with 73 yards after contact in the first half.

McCarron completed 12 of 18 passes for 156 yards and two touchdowns in the first half. Golson was 8 for 16 for 93 yards.

Alabama had 309 total yards at the intermission, compared to 124 for Notre Dame. The Tide had 15 first downs to Notre Dame's five.

Alabama scored on its first three possessions, as T.J. Yeldon finished off an eight-play, 80-yard drive with a one-yard run on the first play of the second quarter to put the Crimson Tide ahead 21-0.

Notre Dame's defense yielded 202 yards in the first quarter. The Irish gained only 23 total yards in the quarter.

Alabama boosted its lead to 14-0 on a 3-yard TD pass from McCarron to tight end Michael Williams with 6:14 left in the first quarter. It capped a 10-play, 61-yard drive.

Alabama struck first on a 20-yard touchdown run by Lacy to cap a five-play, 82-yard opening drive with Jeremy Shelley tacking on the extra point.

More than bragging rights were at stake for both teams. Notre Dame coach Brian Kelly knew he had an opportunity to permanently etch his name in the already-rich lore of Irish football, along with coaches such as Ara Parseghian and Lou Holtz.

Alabama coach Nick Saban is already in the conversation with Bear Bryant. Another title could cement that notion.

Despite all of the exotic pregame analysis, the outcome of the game figured to come down to the winner at the line of scrimmage, where Alabama featured one of the most formidable offensive fronts in the nation. The Fighting Irish countered with one of best front seven defenses in all of the land.

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Intel bets big on thin PCs and phones at Las Vegas show

LAS VEGAS (Reuters) – Top chipmaker Intel Corp on Monday announced shipments of a new low-power chip and showed off next-generation ultra thin laptops and convertible tablets in its latest bid to prove that the struggling PC industry still has a bright future.

At the 2013 Consumer Electronics Show in Las Vegas , Intel said new energy-efficient processors for tablets and laptops are available now, and it outlined features like voice recognition and drastically improved battery life on future PCs.

“Absolutely all-day battery life where you just don’t have to bring your power brick at all anymore,” Kirk Skaugen, corporate vice president and general manager of Intel’s PC Client Group, said of laptops built with the company’s upcoming Haswell processor.

While macroeconomic troubles have weighed on sales for several quarters, the growing popularity of tablets and smartphones is seen as an existential threat to the PC industry.

Anxious to breathe new life into PCs and prove a recent slump in sales is not permanent, Intel and PC manufactures in Las Vegas this week will display a range of ultra thin laptops, dubbed Ultrabooks, and hybrid devices that convert into tablets.

On a stage flanked by dozens of tablets and laptops with rotatable and detachable screens, Skaugen said Intel’s newly available chip based on its current Ivy Bridge architecture sips just 7 watts of energy, more efficient than a previously planned 10 watts of power.

NO-EXCUSES PHONE

The Santa Clara, California-based company has long been king of the PC chip market, particularly through its historic “Wintel” alliance with Microsoft Corp, which led to breathtakingly high profit margins and an 80 percent market share.

But it has struggled to adapt its powerful PC processors for battery-powered smartphones and tablets, a fast-growing market led by Qualcomm Inc, Samsung Electronics Co Ltd, ARM Holdings Plc and others.

Mike Bell, who co-heads Intel’s mobile and wireless business, introduced a new processor platform, code named Lexington, targeted at low-priced smartphones in emerging markets like Latin America and Asia.

“It’s designed to be a no-excuses multimedia phone,” he said.

Acer, Safaricom and Lava have already agreed to use the new chips in future phones, Bell said.

A handful of manufacturers and telecom carriers in Europe and Asia have already launched smartphones using Intel’s Medfield processors this year. Google’s Motorola Mobility in September launched the Razr i in Europe and Latin America as the first handset of a multi-device agreement between the two groups.

But Intel is fighting an uphill battle in a market where chips made using technology from ARM Holdings have become ubiquitous. Intel also has yet to release a chip for 4G telephone networks, keeping it out of the running for major smartphone design wins in the United States.

Sales of smartphone processors soared 58 percent in the third quarter, but Intel had just 0.2 percent of that market, according to a recent report from Strategy Analytics.

By comparison, worldwide PC shipments fell 8.6 percent in the third quarter, according to IDC.

Intel said 3D cameras would be integrated in future Ultrabooks to allow consumers to use gestures and facial recognition to control their devices. Upcoming Ultrabooks will also include voice interaction, Skaugen said.

“We’re basically going to give the PC the same human senses we’ve all had,” he said.

Intel and other tech companies are increasingly looking for ways to let PCs and other devices use cameras, GPS chips, microphones and other kinds of sensors to predict their users’ needs.

“It’s this combination of computer devices doing things before you ask them to do it, in that they’re smart enough to know based on their sensors,” said Patrick Moorhead, principal analyst at Moor Insights & Strategy.

(Reporting By Noel Randewich; Editing by Dan Grebler)

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“Downton Abbey” sets PBS record with 7.9 million viewers

LOS ANGELES (Reuters) – British period drama “Downton Abbey” scored rave reviews and a record 7.9 million viewers for public broadcasting channel PBS as viewers tuned in to watch a wedding and financial calamity during the award-winning show’s third season U.S. premiere on Sunday.

Fans witnessed the wedding of Matthew and Lady Mary Crawley, after two seasons in which viewers were kept wondering if they would ever tie the knot.

According to PBS, the ratings for season 3 quadrupled the average viewings for PBS primetime shows, which usually is 2 million viewers, and nearly doubled the premiere of the second season, which kicked off with 4.2 million viewers in January 2012.

The joy over the wedding was offset by news that Lord Grantham, the owner of the grand estate, had lost his fortune to bad investments.

American actress Shirley MacLaine debuted in the role of the feisty Martha Levinson, the mother of Lord Grantham’s American wife Cora. She entertained viewers with her witty exchanges with Downton matriarch Violet Crawley, played by Maggie Smith.

“Downton Abbey,” created by British screenwriter Julian Fellowes, has become both a critical success and a cult favorite among its many U.S. fans.

It has won seven Emmy awards and will be going into Sunday’s Golden Globe awards with three nominations in major television categories including best drama series.

Vanity Fair, which live-tweets humorous comments during the show, leads a strong online following of fans who discuss aspects of the show ranging from dresses and dances to the dramatic twists.

“The Subcommittee on Preventing Edith’s Happiness resolves to kill off her boyfriend, put thumbtacks in her evening shoes,” the magazine tweeted, referring to the unlucky-in-love Lady Edith Crawley.

PBS said that the show garnered nearly 100,000 tweets during its Sunday premiere.

(Reporting By Piya Sinha-Roy; Editing by Patricia Reaney and Eric Walsh)

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Oil Sand Industry in Canada Tied to Higher Carcinogen Level

Todd Korol/Reuters

An oil sands mine Fort McMurray, Alberta.

OTTAWA — The development of Alberta’s oil sands has increased levels of cancer-causing compounds in surrounding lakes well beyond natural levels, Canadian researchers reported in a study released on Monday. And they said the contamination covered a wider area than had previously been believed.

For the study, financed by the Canadian government, the researchers set out to develop a historical record of the contamination, analyzing sediment dating back about 50 years from six small and shallow lakes north of Fort McMurray, Alberta, the center of the oil sands industry. Layers of the sediment were tested for deposits of polycyclic aromatic hydrocarbons, or PAHs, groups of chemicals associated with oil that in many cases have been found to cause cancer in humans after long-term exposure.

“One of the biggest challenges is that we lacked long-term data,” said John P. Smol, the paper’s lead author and a professor of biology at Queen’s University in Kingston, Ontario. “So some in industry have been saying that the pollution in the tar sands is natural, it’s always been there.”

The researchers found that to the contrary, the levels of those deposits have been steadily rising since large-scale oil sands production began in 1978.

Samples from one test site, the paper said, now show 2.5 to 23 times more PAHs in current sediment than in layers dating back to around 1960.

“We’re not saying these are poisonous ponds,” Professor Smol said. “But it’s going to get worse. It’s not too late but the trend is not looking good.” He said that the wilderness lakes studied by the group were now contaminated as much as lakes in urban centers.

The study is likely to provide further ammunition to critics of the industry, who already contend that oil extracted from Canada’s oil sands poses environmental hazards like toxic sludge ponds, greenhouse gas emissions and the destruction of boreal forests.

Battles are also under way over the proposed construction of the Keystone XL pipeline, which would move the oil down through the western United States and down to refineries along the Gulf Coast, or an alternative pipeline that would transport the oil from landlocked Alberta to British Columbia for export to Asia.

The researchers, who included scientists at Environment Canada’s aquatic contaminants research division, chose to test for PAHs because they had been the subject of earlier studies, including one published in 2009 that analyzed the distribution of the chemicals in snowfall north of Fort McMurray. That research drew criticism from the government of Alberta and others for failing to provide a historical baseline.

“Now we have the smoking gun,” Professor Smol said.

He said he was not surprised that the analysis found a rise in PAH deposits after the industrial development of the oil sands, “but we needed the data.” He said he had not entirely expected, however, to observe the effect at the most remote test site, a lake that is about 50 miles to the north.

Asked about the study, Adam Sweet, a spokesman for Peter Kent, Canada’s environment minister, emphasized in an e-mail that with the exception of one lake very close to the oil sands, the levels of contaminants measured by the researchers “did not exceed Canadian guidelines and were low compared to urban areas.”

He added that an environmental monitoring program for the region announced last February 2012 was put into effect “to address the very concerns raised by such studies” and to “provide an improved understanding of the long-term cumulative effects of oil sands development.”

Earlier research has suggested several different ways that the chemicals could spread. Most oil sand production involve large-scale open-bit mining. The chemicals may become wind-borne when giant excavators dig them up and then deposit them into 400-ton dump trucks.

Upgraders at some oil sands projects that separate the oil bitumen from its surrounding sand are believed to emit PAHs. And some scientists believe that vast ponds holding wastewater from that upgrading and from other oil sand processes may be leaking PAHs and other chemicals into downstream bodies of water.

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Sears CEO D'Ambrosio to step down

Sears Holdings Corp. said Monday night that Chief Executive Officer Louis J. D’Ambrosio will step down at the end of its fiscal year on Feb. 2, due to family health matters. Chairman Edward S. Lampert will step into the role of CEO.

The surprise move adds new uncertainty for the Hoffman Estates-based company, which has struggled for years to re-establish itself as a department store in an ultra-competitive retailing industry dominated by the low-price giant Walmart and big box and specialty stores.

The decision by Lampert, a hedge fund operator who is the company’s biggest shareholder and driving force, to reassert day-to-day control represents a reversal from his the naming of D’Ambrosio, an outsider, as chief executive nearly two years ago after operating with an interim CEO previously.

“In light of Lou's decision to step down, the Board feels it is important that there is continuity of leadership during this important period of transformation and improvement at Sears Holdings,” Lampert said in a statement. “I have agreed to assume these additional responsibilities in order to continue the company's recovery and sustain the momentum we are experiencing, as well as further the development of the management team under the distributed leadership model, which provides our business unit leaders with greater control, authority and autonomy.”

Sears Holdings, which operates Sears and Kmart, also updated fourth quarter earnings outlook Monday night. The company said it expects to report a net loss of between $280 million and $360 million, or $2.64 and $3.40 per diluted share, for the quarter ending Feb. 2. The loss includes a non-cash charge of roughly $450 million due to pension settlements and an additional $42 million in pension expenses.

Excluding pension expenses Sears said it expects to earn between $132 million and $212 million, or between $1.25 and $2.00 per share. Analysts polled by Bloomberg had been expecting adjusted net income of $137 million.

Excluding interest, taxes and other items, Sears said it expects its adjusted earnings to be between $365 million and $465 million, compared to $351 million at the same time last year. For the year, it expects to adjusted earnings to be between $560 million and $660 million compared to $277 million last year. 

For the year, Sears said it expects to lose between $721 million and $801 million, or between $6.80 and $7.56 per diluted share, which also includes pension-related costs and other adjustments reported in regulatory filings late last year. Excluding those items, the company said it expects to lose between $123 million and $203 million or between $1.16 and $1.92 per share.

D’Ambrosio became CEO after working for the company as a consultant. The 16-year veteran of IBM Corp. had been CEO of a telecommunications company before joining Sears.

“I have worked very closely with Eddie over the past two years. I can say this: there is simply no one in the world that cares more about Sears Holdings and has thought more deeply about our company than Eddie,” D’Ambrosio wrote in a memo to employees.

Lampert gained control of Sears in 2005 after engineering the merger Kmart and Sears Roebuck & Co. For years speculation about Lampert’s intentions for the company focused on the value of its real estate, but under D’Ambrosio Sears appeared to pay more attention to its aspirations as a retailer.

The company reported improved performance in the last quarter that beat Wall Street expectations, but Sears stock still has lost more than 35 percent of its value since November, closing Monday at $42.92.

 Crshropshire@tribune.com

Twitter: @corilyns 

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