DealBook: Deutsche Bank Posts Surprise $3 Billion Loss

FRANKFURT – Deutsche Bank, Germany’s largest lender, reported a surprise net loss of 2.2 billion euros ($3 billion) for the fourth quarter of 2012 on Thursday, hurt by the diminished value of some assets as well as costs related to numerous legal proceedings.

The results underline the task ahead for Jürgen Fitschen and Anshu Jain, the co- chief executives who took over the bank less than seven months ago and have declared their intention to deal more severely with the legacy of the financial crisis.

“This is the most comprehensive reconfiguration of Deutsche Bank in recent times,” Mr. Fitschen and Mr. Jain said in a statement. They warned that “deliberate but sometimes uncomfortable change” lay ahead, adding that “this journey will take years not months.”

Deutsche Bank avoided a government bailout during the financial crisis, but has faced numerous lawsuits and official investigations, including a tax-evasion inquiry that led to a raid on company headquarters last month by German police.

“Significant” charges related to legal proceedings contributed to the loss, Deutsche Bank said, without providing specifics.

Analysts consider the bank to be among the most highly leveraged in Europe, and bank management has promised to reduce the number of risky activities, a process that sometimes requires it to recognize the reduced value of assets and book losses.

Despite the loss, Deutsche Bank said fourth-quarter revenue rose 14 percent, to 7.9 billion euros, from the period a year earlier. The bank also said it had increased the amount of capital held as insurance against risk, and reduced the amount of money it needed to set aside to cover possible bad loans. The bank said it had reduced total employee pay to the lowest level in years.

The bank had warned in December that it would incur major charges in the quarter, without saying how much.

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SciTimes Update: Recent Developments in Science and Health News

NASA

Researchers tracked the movement of carbon monoxide molecules orbiting a black hole within the galaxy NGC 4526 to determine its mass.

Thursday in science, possible advances in cancer diagnosis, weighing black holes, shocking photos from space and good news for a breed of penguins. Check out these and other headlines from around the Web.

How Heavy Is That Black Hole?: Concerned about the weight of black holes? ScienceNews.org reports that astrophysicists associated with the European Southern Observatory have developed a new technique to more accurately measure the masses of supermassive black holes.

A New Cancer Test?: Invasive tests to diagnose cancer could soon be a thing of the past, Scientific American reports. Researchers at Massachusetts General Hospital have been looking at whether RNA fragments, called exosomes, which are shed from cancer tumor cells and can be detected in cerebral spinal fluid, blood and urine, can be analyzed to diagnose cancer types and evaluate the disease’s progression.

False Claims About Flu Relief: Flu sufferers are often desperate for relief, but the Food and Drug Administration is warning that scams abound. USA Today reports that the F.D.A. issued a warning letter about one flu-relief product, GermBullet, accusing its manufacturers of making a “false and misleading promotional statement” by claiming the substance reduces bacteria and viruses.

Tainted Steriods Law Suits: The first lawsuit has been filed in Nashville against a clinic where hundreds of people received spinal injections of a tainted steroid that caused meningitis and other side effects in 693 people nationwide and 45 deaths as of Monday. The Tennessean said that Wayne Reed, who suffers from Lou Gehrig’s disease and was being cared for by his wife, Diana Reed, is suing the Saint Thomas Outpatient Neurosurgery Center and its owners, seeking $12.5 million in damages for Diana’s death from fungal meningitis. Denise Grady wrote about the family in October.

More Baby Penguins: There’s been a baby boom among white-flippered penguins ever since a farming couple in New Zealand turned much of their land into a safe haven for the birds, Scientific American reports. The birds, also known as korora, have nearly doubled their population in the last decade, and credit is being given to the farmers Francis and Shireen Helps.

The Storm From Above: And while strong winds and heavy rains were jolting many people across the eastern United States out of their sleep Wednesday night, a satellite was snapping images of the lightning flashes from the storm. The cool photos were published on LiveScience.

Science With a Side of Fries: Finally, science is alive and well, perhaps at your local bar or restaurant, where Americans are more frequently gathering to hear or join in scientific talks. As Reuters reported on Wednesday: “Want a beer with that biology? Or perhaps a burger with the works to complement the theory of everything?”

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SciTimes Update: Recent Developments in Science and Health News

NASA

Researchers tracked the movement of carbon monoxide molecules orbiting a black hole within the galaxy NGC 4526 to determine its mass.

Thursday in science, possible advances in cancer diagnosis, weighing black holes, shocking photos from space and good news for a breed of penguins. Check out these and other headlines from around the Web.

How Heavy Is That Black Hole?: Concerned about the weight of black holes? ScienceNews.org reports that astrophysicists associated with the European Southern Observatory have developed a new technique to more accurately measure the masses of supermassive black holes.

A New Cancer Test?: Invasive tests to diagnose cancer could soon be a thing of the past, Scientific American reports. Researchers at Massachusetts General Hospital have been looking at whether RNA fragments, called exosomes, which are shed from cancer tumor cells and can be detected in cerebral spinal fluid, blood and urine, can be analyzed to diagnose cancer types and evaluate the disease’s progression.

False Claims About Flu Relief: Flu sufferers are often desperate for relief, but the Food and Drug Administration is warning that scams abound. USA Today reports that the F.D.A. issued a warning letter about one flu-relief product, GermBullet, accusing its manufacturers of making a “false and misleading promotional statement” by claiming the substance reduces bacteria and viruses.

Tainted Steriods Law Suits: The first lawsuit has been filed in Nashville against a clinic where hundreds of people received spinal injections of a tainted steroid that caused meningitis and other side effects in 693 people nationwide and 45 deaths as of Monday. The Tennessean said that Wayne Reed, who suffers from Lou Gehrig’s disease and was being cared for by his wife, Diana Reed, is suing the Saint Thomas Outpatient Neurosurgery Center and its owners, seeking $12.5 million in damages for Diana’s death from fungal meningitis. Denise Grady wrote about the family in October.

More Baby Penguins: There’s been a baby boom among white-flippered penguins ever since a farming couple in New Zealand turned much of their land into a safe haven for the birds, Scientific American reports. The birds, also known as korora, have nearly doubled their population in the last decade, and credit is being given to the farmers Francis and Shireen Helps.

The Storm From Above: And while strong winds and heavy rains were jolting many people across the eastern United States out of their sleep Wednesday night, a satellite was snapping images of the lightning flashes from the storm. The cool photos were published on LiveScience.

Science With a Side of Fries: Finally, science is alive and well, perhaps at your local bar or restaurant, where Americans are more frequently gathering to hear or join in scientific talks. As Reuters reported on Wednesday: “Want a beer with that biology? Or perhaps a burger with the works to complement the theory of everything?”

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Chinese Hackers Infiltrate New York Times Computers

A Cyberattack From China:
TimesCast: Chinese hackers infiltrated The New York Times’s computer systems, getting passwords for its reporters and others.

SAN FRANCISCO — For the last four months, Chinese hackers have persistently attacked The New York Times, infiltrating its computer systems and getting passwords for its reporters and other employees.

After surreptitiously tracking the intruders to study their movements and help erect better defenses to block them, The Times and computer security experts have expelled the attackers and kept them from breaking back in.

The timing of the attacks coincided with the reporting for a Times investigation, published online on Oct. 25, that found that the relatives of Wen Jiabao, China’s prime minister, had accumulated a fortune worth several billion dollars through business dealings.

Security experts hired by The Times to detect and block the computer attacks gathered digital evidence that Chinese hackers, using methods that some consultants have associated with the Chinese military in the past, breached The Times’s network. They broke into the e-mail accounts of its Shanghai bureau chief, David Barboza, who wrote the reports on Mr. Wen’s relatives, and Jim Yardley, The Times’s South Asia bureau chief in India, who previously worked as bureau chief in Beijing.

“Computer security experts found no evidence that sensitive e-mails or files from the reporting of our articles about the Wen family were accessed, downloaded or copied,” said Jill Abramson, executive editor of The Times.

The hackers tried to cloak the source of the attacks on The Times by first penetrating computers at United States universities and routing the attacks through them, said computer security experts at Mandiant, the company hired by The Times. This matches the subterfuge used in many other attacks that Mandiant has tracked to China.

The attackers first installed malware — malicious software — that enabled them to gain entry to any computer on The Times’s network. The malware was identified by computer security experts as a specific strain associated with computer attacks originating in China. More evidence of the source, experts said, is that the attacks started from the same university computers used by the Chinese military to attack United States military contractors in the past.

Security experts found evidence that the hackers stole the corporate passwords for every Times employee and used those to gain access to the personal computers of 53 employees, most of them outside The Times’s newsroom. Experts found no evidence that the intruders used the passwords to seek information that was not related to the reporting on the Wen family.

No customer data was stolen from The Times, security experts said.

Asked about evidence that indicated the hacking originated in China, and possibly with the military, China’s Ministry of National Defense said, “Chinese laws prohibit any action including hacking that damages Internet security.” It added that “to accuse the Chinese military of launching cyberattacks without solid proof is unprofessional and baseless.”

The attacks appear to be part of a broader computer espionage campaign against American news media companies that have reported on Chinese leaders and corporations.

Last year, Bloomberg News was targeted by Chinese hackers, and some employees’ computers were infected, according to a person with knowledge of the company’s internal investigation, after Bloomberg published an article on June 29 about the wealth accumulated by relatives of Xi Jinping, China’s vice president at the time. Mr. Xi became general secretary of the Communist Party in November and is expected to become president in March. Ty Trippet, a spokesman for Bloomberg, confirmed that hackers had made attempts but said that “no computer systems or computers were compromised.”

Signs of a Campaign

The mounting number of attacks that have been traced back to China suggest that hackers there are behind a far-reaching spying campaign aimed at an expanding set of targets including corporations, government agencies, activist groups and media organizations inside the United States. The intelligence-gathering campaign, foreign policy experts and computer security researchers say, is as much about trying to control China’s public image, domestically and abroad, as it is about stealing trade secrets.

This article has been revised to reflect the following correction:

Correction: January 31, 2013

An earlier version of this article misstated the timing of a cyberattack that caused damage at Iran’s main nuclear enrichment plant. Evidence suggests that the United States and Israel released a computer worm around 2008, not 2012.

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Hagel Offers Endorsement of U.S. Military Might

Brendan Hoffman for The New York Times

Chuck Hagel arrived for his confirmation hearing before the Senate Armed Services Committee on Thursday.

WASHINGTON — Chuck Hagel, President Obama’s nominee to be secretary of defense, engaged in a sharp exchange with his old friend, Senator John McCain, at the opening of his confirmation hearing on Thursday when Mr. McCain, Republican of Arizona, pressed him on his opposition to the escalation, or surge, of American forces in Iraq in 2007.

Mr. Hagel dodged a direct answer as Mr. McCain asked him repeatedly if history would judge whether Mr. Hagel was right or wrong to oppose the surge in forces when he was a Republican senator from Nebraska. The escalation, along with other major factors, is credited in helping quell the violence in Iraq at the time. When Mr. Hagel said he wanted to explain, Mr. McCain bore in.

“Are you going to answer the question, Senator Hagel, the question is whether you were right or wrong,” Mr. McCain said.

“I’m not going to give you a yes or no answer,” Mr. Hagel replied.

Mr. McCain did not let up.

"I think history has already made a judgment about the surge sir, and you’re on the wrong side of it,” Mr. McCain said, then seemed to threaten that he would not vote for Mr. Hagel if he did not answer the question.

It took the next questioner, Senator Bill Nelson, Democrat of Florida, to draw out Mr. Hagel out on the subject. “I did question the surge,” Mr. Hagel said. “I always asked the question, is this going to be worth the sacrifice?” He said 1,200 American men and women lost their lives in the surge. “I’m not certain it was required,” Mr. Hagel said. “Now, it doesn’t mean I was right.”

Mr. McCain, like many Republicans, was furious at Mr. Hagel’s skepticism about the Iraq War. It led to a falling-out between the two men, both Vietman veterans, that appeared to have been patched up when the two met last week after Mr. Hagel was nominated for the Pentagon job. Mr. McCain described their discussion as a “frank and candid” exchange between two “old friends.”

But Mr. McCain was only one of the Republicans who pressed Mr. Hagel at hearing of the Senate Armed Services Committee.

Before he even made his opening statement, Mr. Hagel faced a blast of objections from the ranking Republican on the committee, Senator James M. Inhofe of Oklahoma, who told Mr. Hagel that he would not vote for him because of his position of “appeasing” America’s adversaries.

“His record demonstrates what I view as a steadfast opposition to policies that diminish U.S. power and influence throughout the world, as well as a recent trend of policy reversals that seem based on political expediency rather than on core beliefs,” Mr. Inhofe said.

But even a reliable yes vote, Senator Carl Levin, the Michigan Democrat who serves as the committee’s chairman, said in his opening statement that Mr. Hagel had made “troubling” statements about Israel and had expressed a willingness to negotiate on Iran on issues that Mr. Levin viewed as nonnegotiable. Mr. Levin said he expected Mr. Hagel to address those issues during the hearing.

Under aggressive but at times disjointed questioning from Mr. Inhofe, Mr. Hagel was asked why he thought the Iranian Foreign Ministry so strongly supported his nomination as defense secretary. Mr. Hagel swiftly replied, “I have a difficult time enough with American politics.” He then said, “I have no idea.”

Under more gentle but persistent questioning from Mr. Levin, Mr. Hagel said that he had voted against some unilateral American sanctions against Iran in 2001 and 2002 because it was a different era. “We were at a different place with Iran at that time,” he said.

Mr. Hagel faltered at one point, saying shortly before noon that he strongly supported the president’s policy on “containment” of Iran. He was quickly handed a note, which he read and then said to correct himself, “Obviously, we don’t have a position on containment.”

At that point Mr. Levin interjected, “We do have a position on containment, which is we do not favor containment.” The Obama administration’s policy on Iran remains prevention of its efforts to obtain nuclear weapons. Iran says its nuclear program is for peaceful purposes.

In his opening statement, Mr. Hagel said that the United States must lead other nations in confronting threats, use all tools of American power in protecting its people and “maintain the strongest military in the world.”

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Today's Economist: Casey B. Mulligan: The Health Care Law and Retirement Savings

Casey B. Mulligan is an economics professor at the University of Chicago. He is the author of “The Redistribution Recession: How Labor Market Distortions Contracted the Economy.”

Because of its definition of affordability, beginning next year the Affordable Care Act may affect retirement savings.

Employer contributions to employee pension plans are exempt from payroll and personal income taxes at the time that they are made, because the employer contributions are not officially considered part of the employee’s wages or salary (employer health insurance contributions are treated much the same way). The contributions are taxed when withdrawn (typically when the worker has retired), at a rate determined by the retiree’s personal income tax situation.

Employees are sometimes advised to save for retirement in this way in part because the interest, dividends and capital gains accrue without repeated taxation. In addition, people sometimes expect their tax brackets to be lower when retired than they are when they are working.

These well-understood tax benefits of pension plans will change a year from now if the act is implemented as planned. Under the act, wages and salaries of people receiving health insurance in the law’s new “insurance exchanges” will be subject to an additional implicit tax, because wages and salaries will determine how much a person has to pay for health insurance.

While much about the Affordable Care Act is still being digested by economists, they have long recognized that high marginal tax rates lead to fringe benefit creation. And the Congressional Budget Office has concluded that the act will raise marginal tax rates.

Were an employer to reduce wages and salaries (or fail to increase them) and compensate employees by introducing an employer-matching pension plan, the employee is likely to benefit by receiving additional government assistance with his health-insurance costs. The pension contributions will add to the worker’s income during retirement, except that the income of elderly people does not determine health-insurance eligibility to the same degree, because the elderly participate in Medicare, most of which is not means-tested.

Take, for example, a person whose four-member household would earn $95,000 a year if his employer were not making contributions to a pension plan or did not offer one. He would be ineligible for any premium assistance under the Affordable Care Act because his family income would be considered to be about 400 percent of the poverty line.

If instead the employer made a $4,000 contribution to a pension plan and reduced the employee’s salary so that household income was $91,000, the employee would save the personal income and payroll tax on the $4,000 and would become eligible for about $2,600 worth of health-insurance premium assistance under the act. (The employer would come out ahead here, too, by reducing its payroll tax obligations).

Even though the Affordable Care Act is known as a health-insurance law, in effect it could be paying for a large portion of employer contributions to pension plans. This has the potential of changing retirement savings and the relative living standards of older and working-age people.

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SciTimes Update: Recent Developments in Health and Science News

Charles A. Nelson Lab, University of Minnesota

Studying the infant brain. From the book:  "Raising America: Experts, Parents and a Century of Advice About Children" by Ann Hulbert.

Wednesday in Science, babies who know what’s on your mind, a sinkhole in China, coral reefs in crisis and a soldier who can now talk with his hands. Check out these and other headlines from around the Web.

Baby Mind Readers: Even babies as young as 1 ½ can guess what other people are thinking, LiveScience.com reports. Previously, scientists thought this ability to understand other people’s perspectives emerged much later in children.

Time Wasters: An explosion in technology aimed at helping people manage their time and tasks may actually be making it harder, reports The Wall Street Journal. Many people choose something that doesn’t fit the way they think and work, or they jump from one tool to another, wasting time and energy.

More Housework, Less Sex: Married men who spend more time doing traditionally female chores, like cooking, cleaning and shopping, report having less sex than husbands who don’t do as much, reports The Houston Chronicle. Conversely, men who did more manly chores, such as yard work, paying bills and auto repairs, reported having more sex.

Roman Tag Artists: A facelift of the Colosseum in Rome that began last fall has revealed centuries of graffiti, National Geographic reports.

Sinkhole Swallows Building: An enormous sinkhole opened up under a building complex in China’s southern city of Guangzhou Tuesday, swallowing five shops and one building. Watch the video from The Christian Science Monitor.

Sandwiched Generation: More middle-aged adults are caring for both children and aging parents, reports USA Today. About 15 percent of American adults in their 40s and 50s provided financial support to both an aging parent and a child in 2012, according to a survey of 2,511 adults from the Pew Social and Demographic Trends Project.

Misleading Trials: A rare peek into drug company documents reveals troubling differences between publicly available information and materials the company holds close to its chest, reports ScienceNews.org. In comparing public and private descriptions of drug trials conducted by the pharmaceutical giant Pfizer, researchers discovered discrepancies,including changes in the number of study participants and inconsistent definitions of protocols and analyses.

Reuters

A diver swam past a healthy colony of Caribbean elkhorn coral near Molasses Reef, Florida, in 2009.

Coral in Crisis: Coral reefs are producing less calcium carbonate and growth rates have slowed dramatically, reports Science News.

Severe Flu Cases Among Chinese: A genetic variant commonly found in Chinese people may help explain why some got seriously ill with swine flu, reports The Boston Globe. The discovery could help pinpoint why flu viruses hit some populations particularly hard and change how they are treated.

Video by AssociatedPress

Double-Arm Transplant Recipient: Feels Amazing

Double-Arm Transplant Soldier Speaks: Brendan Marrocco, a soldier who lost all four limbs in Iraq and then received a double-arm transplant said he hated living without arms. “Not having arms takes so much away from you. Even your personality, you know. You talk with your hands. You do everything with your hands, and when you don’t have that, you’re kind of lost for a while,” the 26-year-old New Yorker told reporters Tuesday at Johns Hopkins Hospital, reports The Associated Press.

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SciTimes Update: Recent Developments in Health and Science News

Charles A. Nelson Lab, University of Minnesota

Studying the infant brain. From the book:  "Raising America: Experts, Parents and a Century of Advice About Children" by Ann Hulbert.

Wednesday in Science, babies who know what’s on your mind, a sinkhole in China, coral reefs in crisis and a soldier who can now talk with his hands. Check out these and other headlines from around the Web.

Baby Mind Readers: Even babies as young as 1 ½ can guess what other people are thinking, LiveScience.com reports. Previously, scientists thought this ability to understand other people’s perspectives emerged much later in children.

Time Wasters: An explosion in technology aimed at helping people manage their time and tasks may actually be making it harder, reports The Wall Street Journal. Many people choose something that doesn’t fit the way they think and work, or they jump from one tool to another, wasting time and energy.

More Housework, Less Sex: Married men who spend more time doing traditionally female chores, like cooking, cleaning and shopping, report having less sex than husbands who don’t do as much, reports The Houston Chronicle. Conversely, men who did more manly chores, such as yard work, paying bills and auto repairs, reported having more sex.

Roman Tag Artists: A facelift of the Colosseum in Rome that began last fall has revealed centuries of graffiti, National Geographic reports.

Sinkhole Swallows Building: An enormous sinkhole opened up under a building complex in China’s southern city of Guangzhou Tuesday, swallowing five shops and one building. Watch the video from The Christian Science Monitor.

Sandwiched Generation: More middle-aged adults are caring for both children and aging parents, reports USA Today. About 15 percent of American adults in their 40s and 50s provided financial support to both an aging parent and a child in 2012, according to a survey of 2,511 adults from the Pew Social and Demographic Trends Project.

Misleading Trials: A rare peek into drug company documents reveals troubling differences between publicly available information and materials the company holds close to its chest, reports ScienceNews.org. In comparing public and private descriptions of drug trials conducted by the pharmaceutical giant Pfizer, researchers discovered discrepancies,including changes in the number of study participants and inconsistent definitions of protocols and analyses.

Reuters

A diver swam past a healthy colony of Caribbean elkhorn coral near Molasses Reef, Florida, in 2009.

Coral in Crisis: Coral reefs are producing less calcium carbonate and growth rates have slowed dramatically, reports Science News.

Severe Flu Cases Among Chinese: A genetic variant commonly found in Chinese people may help explain why some got seriously ill with swine flu, reports The Boston Globe. The discovery could help pinpoint why flu viruses hit some populations particularly hard and change how they are treated.

Video by AssociatedPress

Double-Arm Transplant Recipient: Feels Amazing

Double-Arm Transplant Soldier Speaks: Brendan Marrocco, a soldier who lost all four limbs in Iraq and then received a double-arm transplant said he hated living without arms. “Not having arms takes so much away from you. Even your personality, you know. You talk with your hands. You do everything with your hands, and when you don’t have that, you’re kind of lost for a while,” the 26-year-old New Yorker told reporters Tuesday at Johns Hopkins Hospital, reports The Associated Press.

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Bits Blog: For Rent: The New Microsoft Office

Office is one of the great gushers of profits in the software industry, so it is noteworthy when Microsoft starts fiddling with how it charges for its suite of productivity applications.

On Tuesday, the company began what it called a reinvention of its Office product for consumers. Users will now subscribe to the software for a $100 annual fee, rather than buying it outright as they have for years. While Microsoft is still offering the more conventional option of buying a “perpetual” version of Office for the home — prices start at $140 — it’s clearly betting that it can get most of its customers to move to the new model over time.

“I would say in 10 years, the majority of customers, perhaps all customers, will be in a subscription relationship as opposed to a perpetual,” Kurt DelBene, president of Microsoft’s Office division, said in an interview.

Why fork over $100 for Office each year, rather than make one payment of $140? Perhaps more pointedly, why pay anything at all when Google offers online alternatives to Word, Excel and PowerPoint that are free for basic versions and cost only $50 a year for versions with extra features?

Microsoft justifies the price for the subscription version of Office, called Office 365 Home Premium, by adding some flexibility for households with multiple computers. A subscription comes with the rights to install the software on up to five Windows and Mac computers. If you’re using a computer outside the home that doesn’t have Office on it, you can download a version of the software from Microsoft’s site that deletes itself from the computer when you’re finished.

Office subscribers also get extra online storage through Microsoft’s SkyDrive service and 60 minutes of free Skype phone calls. Microsoft also says it will update the subscription version of software with new features before it updates the version that people buy the old-fashioned way.

There is one glaring omission in the new Office offering: support for the iPad. Although Microsoft has a hush-hush development effort to bring its major Office apps to Apple’s tablet, the company hasn’t done so yet. The company has released one Office app, OneNote, for the iPad and says people can do light editing of Office documents through versions of the Office apps that run through the iPad’s Web browser.

Still, there are undoubtedly many users who would love to have an authentic version of Office on their devices, given how popular the iPad is becoming in the workplace.

Mr. DelBene said Microsoft had “nothing to announce at this point” when asked when the company will bring the complete version of Office to the iPad.

As for Google, Mr. DelBene said it has not “in any way diminished demand” for Office because Microsoft’s applications are “just so far beyond the capabilities that are in those alternative products.” As an example, he cited a feature in Excel that analyzes a batch of numbers selected by a user and automatically recommends the best way to represent the data in a chart.

Despite Google, Mr. DelBene said, “we think that we’re on track for Office 365 to be one of the fastest-growing businesses in the history of Microsoft.”

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Syrian Opposition Leader Softens Position on Talks with Assad

BEIRUT, Lebanon — Syria’s top political opposition leader expressed willingness for the first time on Wednesday to talk with representatives of President Bashar al-Assad, softening what had been an absolute stand of refusing to negotiate with the government in an increasingly chaotic civil war.

The opposition leader, Sheik Ahmad Moaz al-Khatib, coupled his offer with two demands: the release of what he described as 160,000 prisoners held by Mr. Assad’s government, and the renewal of all expired passports held by Syrians abroad — a gesture apparently aimed at disaffected expatriates and exiled opposition figures who could not return home even if they wanted to.

Sheik Khatib’s offer quickly provoked sharp criticism from others in the Syrian opposition coalition, with some distancing themselves and complaining that the leader had not consulted with colleagues in advance. Nonetheless, the offer still represented a potential opening for dialogue in a nearly two-year-old conflict that has threatened to destabilize the Middle East.

He made the offer as the United Nations was scrambling to raise money to manage the humanitarian crisis caused by the conflict, which has sent at least 700,000 Syrians into neighboring countries and left more than one million displaced inside Syria. A donor conference under way in Kuwait has produced commitments for about $1 billion of the $1.5 billion that the United Nations is seeking.

“I announce that I am willing to sit down with representatives of the Syrian regime in Cairo or Tunisia or Istanbul,” Sheik Khatib said in the offer, published in Arabic on his Facebook page. His motivation to make such an offer, he said, was “to search for a political resolution to the crisis, and to arrange matters for the transitional phase that could prevent more blood.”

There was no immediate Syrian government response to the offer by Sheik Khatib, a respected Sunni Muslim cleric who once had been the imam of the historic Umayyad mosque in Damascus. His unified Syrian opposition coalition, created at a meeting in Qatar two months ago, has been formally recognized by the Arab League, the European Union and the United States.

Sheik Khatib’s offer was made less than a day after the peace envoy for Syria from the United Nations and Arab League, Lakhdar Brahimi, gave the United Nations Security Council a pessimistic prognosis for negotiations.

It also followed a grisly massacre discovered on Tuesday in the contested northern city of Aleppo, from which anti-Assad activists posted videos online of scores of bound victims who had been shot in the head and dumped in a river. Some insurgents said the death toll exceeded 100, mostly abducted men in their 20s and 30s.

Both sides in the conflict blamed the other for those killings, just as they have traded accusations for other atrocities, including two major explosions a few weeks ago that killed more than 80 people at the University of Aleppo. Outside assessments based on video of the university blasts have suggested that a Syrian military missile was responsible.

Sheik Khatib did not hide his contempt for Mr. Assad’s government in his statement, saying, “One can’t trust a regime that kills children and attacks bakeries and shells universities and destroys Syria’s infrastructure and commits massacres against innocents, the last of which won’t be the Aleppo massacre, which is unprecedented in its savagery.”

But he decided to reach out, he wrote, partly because the Syrian government had publicly invited political opposition leaders this week to return to Damascus for what it called a dialogue.

Three weeks ago, Mr. Assad said in a speech that he was open to reconciliation talks but not with political opponents he described as terrorists, the government’s generic term for armed insurgents. At the time, most members of the political opposition dismissed Mr. Assad’s speech as meaningless.

The opposition’s longstanding position has been that Mr. Assad must resign as a precondition for any talks and that he cannot be part of any transitional government. Mr. Assad and his aides have said he has no intention of resigning and may even run for another term in elections next year.

Hania Mourtada reported from Beirut, and Rick Gladstone from New York. Anne Barnard and Hwaida Saad contributed reporting from Beirut.

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