As the sun rises, hundreds gather in Westchester to see Endeavour

L.A. NOW

SOUTHERN CALIFORNIA — THIS JUST IN

As sun rises, hundreds gather in Westchester to see Endeavour

October 12, 2012 |  7:45 am

Crowds at shuttle
Early morning light bathed Endeavour’s weathered body in a pink glow Friday morning as more than 500 people, many from the neighborhood, gathered in a Westchester parking lot to catch a glimpse of the space shuttle on the first leg of its final journey.

A chattering crowd of hundreds converged at the intersection of Sepulveda Boulevard and La Tijera Boulevard. As the sun began to rise, some thrust phones into the air to snap a picture. Others stood on stepladders and folding chairs, hunting for any elevation gain that would give them a better view.

Other crowds spilled into local businesses along Sepulveda Boulevard, including a Coffee Co. facing south toward the shuttle’s parking spot. Owner Gus Kazemi, 56, pulled tables off a raised concrete platform at the entrance to the café, where more than two dozen people leaned over the metal railings toward the shuttle.

“I feel like a part of a larger community, not just the United States,” said Matthew Lucy, 34, who gathered with his wife, Katinka, and daughters Sofia, 6, and Madeleine, 4, inside the Coffee Co. café.

In the parking lot, crews were working to widen the computerized transporters carrying Endeavour so they can travel over medians on Manchester Boulevard.The shuttle will continue east down Manchester, passing into Inglewood city limits at Glasgow Avenue, where it will again stop for several hours for more power line work. There, crews will also move the orbiter onto the dolly system that will tow it over the 405 Freeway beginning about 10 p.m. Friday.As the crowd grew, onlookers stayed quiet and orderly behind the police barricades erected to create a boundary for the shuttle. Officials said the crowd had been orderly all night, but are concerned that as more people arrive during the day, the sizes could get unmanageable.

Sidewalks will remain closed for much of the remaining route, said Los Angeles Fire Department Battalion Chief Michael Bowman.

“We just said, ‘Let’s keep it open, let people enjoy it,’ but we may not have that opportunity again,” Bowman said.

Many people wore hoodies and pajamas. Parents held hands with children wearing school uniforms and backpacks, stopping to see the shuttle on the way to school.

“When else do you get to see something like this in your own backyard?” said Jennie DiPaolo, 49, whose two sons, Luke and Matthew, were wearing red St. Anastasia Catholic School sweat shirts. “We can go see it in the museum, but this is our neighborhood. We drive by here every day.”

– Christine Mai-Duc and Andrew Khouri in Westchester

Photo: Folks gathered on the corner of Westchester Parkway and McConnell Avenue on Friday to see the space shuttle Endeavour leaving LAX for the streets of Westchester. Credit: Lawrence K. Ho / Los Angeles Times.

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Debate leaves some taxing questions about housing unresolved

Commentary: Obama and Romney need to provide more details on their positions

BY KEN HARNEY, WEDNESDAY, OCTOBER 10, 2012.

Inman News®

Mitt Romney and Barack Obama images via MittRomney.com and WhiteHouse.govMitt Romney and Barack Obama images via MittRomney.com and WhiteHouse.gov

Anybody who watched it knows that Mitt Romney scored a technical knockout of President Obama in last week’s debate. But are there some potential future costs and concerns for housing that have to be looked at in the wake of that victory?

On the one hand, Romney surprised Obama with sharp criticism over an issue that has plagued homebuyers and refinancers: the super-strict underwriting and documentation that banks are requiring for home loans, in part because they’re worried about forthcoming “qualified mortgage” federal rules under the Dodd-Frank financial reform legislation.

“It’s been two years,” Romney said to Obama at the Denver debate, “We (still) don’t know what a ‘qualified mortgage’ is. So banks are reluctant to make mortgages … It’s hurting the housing market.”

There’s no question that regulators have proceeded at a frustratingly glacial pace since the passage of Dodd-Frank in July of 2010, and we don’t know what the Consumer Financial Protection Bureau will come out with on this issue in early 2013.

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Sales of New U.S. Homes Hover Near a Two-Year High

Purchases of new U.S. homes hovered in August near a two-year high, adding to signs that the housing market is on the way to recovery.

Ty Wright/Bloomberg
New home construction in Lancaster, Ohio.

Sales of New U.S. Homes Hovered in August Near Two-Year High

Sales of new homes, tabulated when contracts are signed, are considered a timelier barometer than purchases of previously owned dwellings, which are calculated when a contract closes. Photographer: Ty Wright/Bloomberg

Sales fell 0.3 percent to a 373,000 annual pace following a revised 374,000 rate in July that was higher than previously estimated and the strongest since April 2010, figures from the Commerce Department showed today in Washington. The median estimate of 71 economists surveyed by Bloomberg called for a rise to 380,000.

Record-low borrowing costs continue to attract buyers, lifting demand for homebuilders, while a drop in the supply of foreclosed homes is easing downward pressure on prices. Federal Reserve policy makers have targeted the housing market with further accommodation measures in order to spur growth and reduce unemployment.

“Builders are a little more optimistic about future sales and buyer traffic and the mortgage environment is favorable,” said Anika Khan, an economist at Wells Fargo Securities LLC inCharlotte, North Carolina. “New homes sales will continue to improve over the next few months and in the coming year.”

Stocks held earlier losses after the report. The Standard & Poor’s 500 Index fell 0.3 percent to 1,437.17 at 10:15 a.m. in New York amid concern Europe’s debt crisis is worsening. Treasury securities rose, sending the yield on the benchmark 10- year note down to 1.63 percent from 1.67 percent late yesterday.

Estimates of economists surveyed ranged from 360,000 to 400,000. July’s reading was previously reported as 372,000.

Regional Breakdown

Purchases fell in only one of four regions as demand in the South dropped 4.9 percent. Sales jumped 20 percent in the Northeast, rose 1.8 percent in the Midwest and 0.9 percent in the West.

The drop in sales in the South, where median prices are generally lower, paired with the surge in the Northeast, where property values tend to be higher, caused the median costs nationally to jump. The median price of all sales last month was $256,900, up 17 percent from August 2011. The 12-month advance was the biggest since December 2004. The 11 percent gain from July was the largest one-month increase in records going back to 1963.

Sales of new houses were up 28 percent from a year ago, today’s report from the Commerce Department showed

The supply of homes at the current sales rate held at 4.5 months. There were 141,000 new houses on the market at the end of August, matching July’s record low.

Record Low

A lack of supply may also be playing a role in limiting sales. The number of completed houses on the market dropped to a record-low 38,000 last month, today’s report showed.

Sales of new homes, tabulated when contracts are signed, are considered a timelier barometer than purchases of previously owned dwellings, which are calculated when a contract closes. Newly constructed houses accounted for 6.7 percent of the residential market in 2011, down from a high of 15 percent during the boom of the past decade.

Existing home sales rose more than forecast to a 4.82 million annual rate in August, a two-year high, from a 4.47 million pace the prior month, the National Association of Realtors reported last week.

The NAR figures also showed distressed sales, comprised of foreclosures and short sales, in which the lender agrees to a transaction for less than the balance of the mortgage, accounted for 22 percent of the total, the lowest since at least October 2008 when record keeping began.

Builder Outlook

Improving demand is bolstering homebuilders such as Miami- based Lennar Corp. (LEN) and allowing for longer-term construction strategies.

“Simply put, the housing market is recovering, not only are our sales margins and backlogs improving, but the beginnings of a sense of visibility are coming back to underwriting land acquisition and planning for the future,” Chief Executive Officer Stuart Miller said on a Sept. 24 earnings call.

“The home building business is beginning to revert to normal and that’s positive for the U.S. economy in general, which is in turn good for a sustained recovery in the housing market,” Miller said.

Toll Brothers Inc. (TOL), the largest U.S. luxury-home builder, reported a better-than-estimated profit and an increase in revenue for its third quarter ended July 31. The average price of the homes that the Horsham, Pennsylvania-based company delivered in the quarter climbed to $576,000 from $557,000 in the previous three months.

Revenue Climbs

KB Home (KBH) of Los Angeles reported on a Sept. 21 earnings call that third-quarter revenues increased 16 percent over the same period last year.

Borrowing costs continue to boost housing demand. The average rate on a 30-year fixed mortgage dropped to 3.49 percent in the week ended Sept. 20, matching a reading two months ago as the lowest in records dating to 1972, according to McLean, Virginia-based Freddie Mac.

Among other signs of progress, builders began work in August on the most one-family homes since April 2010, figures from the Commerce Department showed last week. The National Association of Home Builders/Wells Fargo index of builder confidence climbed in September to the highest level since June 2006.

Home prices in 20 U.S. cities climbed more than forecast in July from a year earlier, a report from S&P/Case-Shiller showed yesterday.

The Fed has committed to purchasing $40 billion of mortgage debt a month to lower borrowing costs, helping the housing market that Chairman Ben S. Bernanke called “one of the missing pistons in the engine.”

“Our mortgage-backed securities purchases ought to drive down mortgage rates and put downward pressure on mortgage rates and create more demand for homes and more refinancing,” Bernanke said in a Sept. 13 press conference after the central bank announced the debt-buying plans.

To contact the reporters on this story: Michelle Jamrisko in Washington at mjamrisko@bloomberg.net

By Michelle Jamrisko - Sep 26, 2012 7:11 AM PT

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Inaugura Eddie D Stakes — Autumn Meet Opens THIS FRIDAY at Santa Anita Racetrack!

ARCADIA, Calif. (Sept. 25, 2012)—Santa Anita’s 24-day Autumn Meet will get underway in style on Friday, as a near-capacity field of 13 have signed up to contest the inaugural Grade III, $100,000 Eddie D Stakes, for 3-year-olds and up at about 6 ½ furlongs down the Camino Real Turf Course.

“The race proved to be just as popular as Eddie D.,” said Santa Anita Racing Secretary and Vice President of Racing Rick Hammerle. “Let’s hope this is a good omen for the entire meet.”

Formerly run as the Morvich Stakes, the Eddie D is named in honor of retired Hall of Fame jockey Eddie Delahoussaye, who will be on hand to sign autographs from 11 a.m. to 1 p.m. and he will also present the trophy for the race named in his honor later in the afternoon.

Comma to the Top, a hard-hitting 4-year-old gelding trained by Peter Miller, figures to get plenty of pari-mutuel attention and is expected to show his customary early zip in the Eddie D. The Kentucky-bred son of Bwana Charlie is in top form, having prevailed by 1 ¾ lengths over 10 rivals in the 6 ½ furlong Pirate’s Bounty Stakes at Del Mar on Sept. 5.

Prior to the Pirate’s Bounty, Comma to the Top was a close-up fourth in the Grade I Bing Crosby Stakes going six furlongs at Del Mar on July 29.

Second in last year’s Santa Anita Derby and last in the Kentucky Derby, Comma to the Top has a 4-2-0-1 record on turf, but has never run down Santa Anita’s unique hillside layout.

Owned by Gary Barber, Roger Birnbaum and Kevin Tsujihara, Comma to the Top sports a lifetime record of 21-9-2-1, with earnings of $916,096.

Trainer Steve Asmussen sends out perhaps the biggest question mark in the 13-horse field in Unbridled Note, who will try turf for the first time Friday and comes off a troubled third in Saratoga’s Grade I King’s Bishop Stakes for 3-year-olds at seven furlongs on Aug. 25.

The Kentucky-bred colt by Unbridled’s Song has an impressive 2 ¾-length win over a sloppy track to his credit three starts back at Churchill Downs on June 17, which could be an indication that he’ll take to the grass. Owned by Mike McCarty, Unbridled Note has a 6-2-0-2 record and $135,741 in earnings.

While contention runs deep in the 13-horse field, California-bred Red Sun would appear to rate a solid chance for trainer Carla Gaines. The 6-year-old Harris Farms homebred gelding by Redattore overcame a one-year layoff to finish second, beaten a half-length while attending the pace in a first-condition allowance at 1 1/16 miles on turf at Del Mar Aug. 30.

Lightly raced, Red Sun is a perfect two for two down Santa Anita’s hillside layout and has an impressive overall record of 9-5-2-2 with earnings of $227,988. He too figures to be on or near the lead Friday.

In addition to Red Sun, Gaines will also saddle Shrug, a winner of the $93,000 Green Flash Handicap at five furlongs on the turf at Del Mar on Aug. 15. Although he has never run down the hill, he possesses a versatile style that should serve him well. The 4-year-old Kentucky-bred colt by Medaglia d’Oro is one for two on turf and has an overall record of 15-4-2-1 with earnings of $190,380.

Trainer John Sadler will also send out a pair, Koast, who was fourth, beaten only a half-length in Del Mar’s Green Flash and Calimonco, who never threatened while running fifth in the Grade II Del Mar Mile (turf) Handicap on Aug. 26.

Koast, who retains the services of top rider Rafael Bejarano, is a 3-year-old Kentucky-bred colt by Lawyer Ron. He’s two for two over the course and has the necessary speed to attend and/or make the early pace. Koast is owned by Hronis Racing and has a career record of 8-3-0-2, with earnings of $128,566.

Calimonco is a turf veteran, who at age six will be making his 34th career start on Friday. Reunited with jockey Martin Garcia, who guided him to a second-place finish two starts back in Del Mar’s one mile Wickerr Stakes on July 25, Calimonco was third in his only start down the hill on Jan. 9, 2010. Bred in Kentucky by Pam and Martin Wygod, he is owned by the Wygods and Ballena Vista Farm.

The complete field for the Eddie D Stakes, carded as the eighth on a nine-race race program, with jockey and weights in post position order: Crimson Giant, Modesto Linares, 115; Chosen Miracle, Alonso Quinonez, 118; Calimonco, Martin Garcia, 118; Koast, Rafael Bejarano, 118; Shrug, Victor Espinoza, 118; Comma to the Top, Martin Pedroza, 118; Boxeur des Rues, Mario Gutierrez, 118; Octane, David Flores, 118; Red Sun, Joe Talamo, 118; Tale of a Champion, Garrett Gomez, 118; Mensa Heat, Juan Hernandez, 118; Canuletmedowneasy, Edwin Maldonado, 115; Unbridled’s Note, Corey Nakatani, 115.

First post time on Friday is 1 p.m. For additional information, visit www.santaanita.com or call (626) 574-RACE.

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The Door Is Now Open to Home Builders

Housing is hot again.

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It was a sign of renewed investor enthusiasm last week when real-estate-information firm Trulia Inc.’s TRLA -4.04% share price rose more than 40% on Thursday following its initial public offering. So was the surge Friday in KB Home KBH +16.40% shares after KB reported an unexpected quarterly profit. Although home prices turned the corner just this past spring, shares of home builders have more than tripled on average since their 2009 nadir.

Next up is Lennar Corp., LEN +2.49% which is slated to report fiscal third-quarter earnings Monday. Analysts expect earnings of 28 cents a share for the period ending in August, up sharply from 11 cents a year earlier.

For a while this spring it was possible to debate whether the long-awaited turn had come in house prices, as some measures turned positive while the widely followed S&P/Case-Shiller Home Price Index lagged behind. Now that measure, due Tuesday, is pointing up as well, although its originator, Robert Shiller, says he isn’t convinced we have hit the bottom yet.

In any case, there is cause for at least short-term cheer, particularly for home builders that rallied after last week’s housing-starts data. Single-family housing starts rose at the quickest pace since April 2010—a period artificially boosted by a tax credit for first-time home buyers. Lennar’s share price broke above $37 Friday for the first time since June 2007, ending at $38. Is it deserved? In its last reported quarter, the company sold 3,222 houses, up 20% year on year. But in 2006 it sold nearly 50,000 in a year. Even though its operating margin nearly doubled to 9.2% in the second quarter, that is still shy of the mid-to-low teens Lennar enjoyed in its heyday.

image

Bloomberg NewsKB Home shares surge Friday after the company reported an unexpected quarterly profit.

In a way, that is encouraging, because there should be more upside even with the stock trading at nearly 27 times 2013 earnings estimates. Housing starts have slumped mightily since their peak, and pent-up demand is significant. Between 1992 and 2007, single-family starts averaged nearly 1.3 million a year, while they averaged just 500,000 the following four years. The Fed’s recent steps to further boost housing by buying mortgage-backed securities bode well, too.

While not home-free, home builders have given investors some grounds to justify recent gains.

By Spencer Jakab

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Nation remembers 9/11 attacks

by Laura Petrecca, Natalie DiBlasio and Oren Dorell, USA TODAY

  • New York City firefighters of Engine 33, Ladder 9, observe a moment of silence during ceremonies for the 11th anniversary of the terrorist attacks in Lower Manhattan at the World Trade Center on Tuesday in New York City.Mario Tama, Getty ImagesNew York City firefighters of Engine 33, Ladder 9, observe a moment of silence during ceremonies for the 11th anniversary of the terrorist attacks in Lower Manhattan at the World Trade Center on Tuesday in New York City.

New York City firefighters of Engine 33, Ladder 9, observe a moment of silence during ceremonies for the 11th anniversary of the terrorist attacks in Lower Manhattan at the World Trade Center on Tuesday in New York City.

NEW YORK — Victims’ families and others gathered Tuesday at Ground Zero, the Pentagon and near Shanksville, Pa., to remember the terrorist attacks that devastated the nation 11 years ago.

In New York City, remembrances marked one of the city’s most tragic days.

“It is extremely important that people never forget what happened on Sept. 11,” said New York City Fire Commissioner Salvatore Cassano, who is attending many events to commemorate those who lost their lives that day.

Security was tight as police officers in crisp, blue uniforms stood among men in suits with badges attached to their belt buckles. Police cars with flashing lights parked just off the West Side Highway near the World Trade Center site. A giant flag on the Freedom Tower unfurled early as cops stood nearby watching.

Family members read the names of their loved ones who died in the attacks and held pictures as waterfalls from the two memorials babbled in the background. One man held high a sign that had the name Danielle Kousoulis on it with pictures of the young woman and the words: “We miss you” and “We love you.”

“We lost 11 that day. Everyone who was working,” said Ladder 35 Capt. John Miles, who was with other firefighters early Tuesday morning setting up their annual breakfast for active and retired members as well as family members of those who died.

OPINION: The 11-year-old war: Forgotten but not gone

He said that even as the years pass, most of the families still come.

“It’s good for us that they (the family members) are here and it’s good for them that we are here,” he said.

The official commemoration began at 8:39 a.m. ET at the National September 11 Memorial plaza, an area that once held the twin towers but now hosts two memorial pools dedicated to attack victims.

There was a moment of silence at 8:46 a.m. ET to mark when the first commercial plane struck the north tower. Houses of worship across New York City rang their bells in remembrance.

Throughout the morning, family members of those who perished recited the victims’ names. The names of all 2,983 victims from the twin towers and Pentagon attacks, and those on Flight 93, as well as those who died in the 1993 World Trade Center bombing, will be read aloud.

There was a moment of silence for each time a hijacked plane hit its target and one for when Flight 93 crashed in Somerset County, Pa. There also were moments of silence at the times that each of the twin towers fell.

President Obama was among the speakers Tuesday at an invitation-only remembrance for victims and family members of those killed at the Pentagon.

“But no matter how many years pass, no matter how many times we come together on this hallowed ground, know this, that you will never be alone. Your loved ones will never be forgotten,” Obama said. “They will endure in the hearts of our nation, because through their sacrifice, they helped us make the America we are today, an America that has emerged even stronger.”

Afterward, he shook hands with many of the family members attending the event.

“Eleven years ago, on a morning very much like this, terrorists attacked our symbols of our strength … and took the lives of people from more than 90 countries,” said Defense Secretary Leon Panetta at the Pentagon. “Every year on 9/11, all of us take a moment to remember again where we were at that fateful moment,” as well as those who died at the World Trade Center, at the Pentagon and in a Pennsylvania field.

To the families, he said, “We are with you today and honored to be here today to remember your loved ones.”

Before Obama headed for the Pentagon, he and the first lady joined hundreds of White House staff members gathered on the South Lawn in the shade of the portico and in patches of sun. Most stood with their hands crossed in front of them.

A full Marine color guard emerged taking up a place on each side of a wide aisle for the president and Michelle Obama, who walked down the grassy strip as three bells tolled. They stood with heads bowed, facing the National Mall in the distance.

Obama and Mitt Romney will temporarily pull their largely negative campaign commercials off TV on Tuesday.

The Pentagon ceremony was held across from the National 9/11 Pentagon Memorial, where 184 metal benches memorialize the 59 crewmembers and passengers and 125 others at the Pentagon who were killed.

The ceremony will be similar to ceremonies in past years, though now there’s a new project to look forward to, said Jerry Mullins, spokesman for the Pentagon Memorial Fund, which raised money and developed the memorial.

The fund is preparing for a visitor education center that organizers hope to complete by early 2015, Mullins said. Fundraising has already begun.

“The families are very proud of the memorial,” Mullins said. “The recognition, and the pledge that was made 11 years ago — ‘Never forget’ — is a great comfort to the families.”

Outside Shanksville, Pa., people slowly started filing into the memorial plaza, including servicemembers in uniform and others wearing red, white and blue.

Vice President Biden spoke during the remembrance ceremony at the Flight 93 Memorial, where a hijacked plane crashed during the 2001 attacks.

Biden told families that he hopes with every passing year “you are able to sing more than you weep.”

“What they did for the country is still etched in the minds of not only you, but millions of Americans,” he said.

Patrick White, the president of Families of Flight 93, said having the permanent memorial allows people to feel a closer connection to the 40 passengers and crew members who were killed in the attack.

“Being able to put your hand on the gleaming white walls and touch the names of the one that we lost is something that is just very real and tangible,” he said.

White lost his cousin, Louis J. Nacke II, on Flight 93.

Of the four planes that terrorists hijacked, Flight 93 was the only one that did not hit its target. The plane was traveling from Newark to San Francisco when it was hijacked.

The 9/11 Commission said the terrorists likely wanted to crash the plane in Washington, D.C., targeting the White House or the U.S. Capitol, but passengers and crew fought back.

Instead of hitting a national landmark, the plane went down in a western Pennsylvania field killing everyone on board.

“Those 40 heroes kept the terrorists from their target,” White said. “If it did hit the U.S. Capitol, it would have been so much more devastating to our psyche and our ability to be come back from such a tragedy.”

The service included a reading of the 40 names of the Flight 93 passengers and crew, a ringing of the Bells of Remembrance and a wreath-laying.

Musical tributes and additional activities continued through the afternoon.

New York’s ceremony followed a last-minute breakthrough on a financial dispute that had halted progress on the Sept. 11 museum, and the commemoration itself was to be different: For the first time, elected officials did not speak at an occasion that has allowed them a solemn turn in the spotlight. There were also questions about the lines separating the 9/11 that is about personal loss from the 9/11 that reverberates through public life.

For former New York governor George Pataki, this year’s change ends a 10-year experience that was deeply personal, even as it reflected his political role. He was governor at the time of the attacks.

“As the names are read out, I just listen and have great memories of people who I knew very well who were on that list of names. It was very emotional,” Pataki reflected by phone last week. Among his friends who were killed was Neil Levin, the executive director of the Port Authority of New York and New Jersey.

But Pataki supports the decision not to have government figures speak.

“It’s time to take the next step, which is simply to continue to pay tribute,” Pataki said.

The National Sept. 11 Memorial and Museum — led by Mayor Michael Bloomberg as its board chairman — announced in July that this year’s ceremony would include only relatives reading victims’ names.

The point, memorial President Joe Daniels said, was “honoring the victims and their families in a way free of politics” in an election year.

Some victims’ relatives and commentators praised the decision. “It is time” to extricate Sept. 11 from politics, the Boston Globe wrote in an editorial.

But others said keeping politicians off the rostrum smacked of … politics.

The move came amid friction between the memorial foundation and the governors of New York and New Jersey over financing for the museum. That friction abruptly subsided Monday, when Bloomberg and New York Gov. Andrew Cuomo announced an agreement that paves the way for finishing the $700 million project “as soon as practicable.”

On Tuesday, Obama’s motorcade made an unscheduled stop at National Cemetery after the Pentagon ceremony. The president and Michelle Obama walked among the chalk-white markers in the bright sun and shade, pausing to place a “challenge coin” on one of the first graves.

The medallion is given by commanders as motivation to soldiers or to honor achievement. The Obamas talked for several minutes over the grave, which marked a collective memorial for victims of an Oct. 26, 2009, helicopter crash in Afghanistan.

After Obama placed several more coins on graves along the walk, the motorcade rolled back to the White House.

Gordon Felt, who lost his brother, Edward Felt, on Flight 93, said anniversary ceremonies like the ones on Tuesday give families the opportunity to come together.

“One of the passengers, Toshiya Kuge, was from Japan, and his mother comes every year. We only see her once a year on the anniversary. We have families from the West Coast, Florida, all over the country,” he said. “They gather here every anniversary. It gives us a time of peace to be together, to talk about our loved ones, to mourn together. There is a wonderful connection with the families. We didn’t know each other, much like the passengers and crew.”

Contributing: Carolyn Pesce in McLean, Va.; the Associated Press

 

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Regulator Vows New Rules to Repair Mortgage Markets

In a move aimed at making it easier for consumers to get mortgages, the federal regulator for Fannie Mae and Freddie Mac FMCC -2.12% said Monday the mortgage giants would address a big controversy of the housing bust: who gets stuck with bad loans.

Fannie and Freddie have forced banks to repurchase billions of mortgages that have defaulted over the past few years. To protect themselves from facing similar demands, banks have raised their lending standards beyond what the two mortgage companies require, scrutinized appraisals, and demanded extensive documentation of a borrower’s income and assets.

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ReutersA bank-owned home for sale in Encinitas, Calif., in a file photo from 2009.

To ease lenders’ concerns, the Federal Housing Finance Agency said on Monday it would issue guidance that would detail steps that could limit their risk of having to buy back defaulted mortgages in costly loan “put-backs.”

For example, banks will be released from having to buy back a loan under certain conditions if the mortgage has a record of on-time payments for the first 36 months, or for the first 12 months on loans that are part of an existing refinancing initiative. Those changes will take effect next year.

It isn’t clear how far the latest guidance will go toward making it easier for consumers to get a mortgage. While mortgage rates have fallen by a full percentage point over the last 18 months, demand for new loans remains nearly unchanged from one year ago.

“For the market to reclaim the strength it once had—and to provide a cornerstone for the mortgage market of the future—it is vital we consider ways to improve” the loan review process, Edward DeMarco, the acting director of the Federal Housing Finance Agency, told an industry conference Monday.

Fannie and Freddie don’t make loans, but instead acquire or guarantee those made by banks and other lenders. Those banks make certain “representations and warranties” to Fannie and Freddie when they sell loans, and the mortgage giants can force banks to take back any loans found to run afoul of those standards. Over the past year, banks have charged that Fannie and Freddie are putting back more loans that defaulted for reasons that had nothing to do with an underwriting defect.

Fannie and Freddie have asked that banks buy back nearly $75 billion in loans that lenders sold to the mortgage giants since 2005, according to Inside Mortgage Finance, an industry newsletter.

The new rules won’t have any impact on the current battle over who winds up with the bad loans made during the boom years.

In exchange for shielding banks against put-backs on certain loans, Fannie and Freddie will step up screening for potential loan defects of new mortgages. Officials said Monday that a more robust data-collection system implemented in recent years has made it possible to increasingly review loans as they are acquired, as opposed to reviewing them after they default.

Because buying back one bad loan can wipe out the profit on 30 or 40 good loans, lenders have become extremely cautious in approving mortgages. “If there’s a question at some point, it’s the safer move to deny” the loan, said Bob Walters, chief economist at Quicken Loans.

An April survey of senior loan officers by the Federal Reserve showed that the risk of put-backs had become a leading factor preventing banks from easing credit standards for mortgages, even as they have eased standards for other loans, such as cars and credit cards.

“Lenders have pulled back because they don’t know what their future exposure around repurchases is going to be…. Ultimately that has limited the availability of mortgage credit,” said Maria Fernandez, associate director for housing and regulatory policy at the FHFA.

The agency’s goal, she added, “is to be very clear with lenders what our expectations are so we can help facilitate more liquidity.”

Industry analysts said the impact of the new rules would rest largely on the details of the rules issued by Fannie and Freddie, and how they enforce those rules. “If you have written guidance from these quasi-government agencies what their terms are, they can’t really walk away from that,” said Laurence Platt, a banking-industry lawyer at K&L Gates in Washington.

At the same time, banks face new regulation in the coming year that could keep them in a defensive position. One provision of the Dodd-Frank financial-overhaul law, for example, carries potentially steep penalties if banks don’t properly ensure a borrower has the capacity to repay a loan.

Some large banks are also facing subpoenas from federal prosecutors as part of an effort by the FHFA’s inspector general to determine whether the U.S. could recoup money from banks that sold defaulted loans to Fannie and Freddie, according to people familiar with the investigation.

“It’s one step forward, two steps back,” said Mr. Platt. “You have a bunch of different legs that aren’t walking in unison.”

By NICK TIMIRAOS

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Is this the end of a 25-year run for stainless steel?

Is this the end of a 25-year run for stainless steel?

Stainless has been the big word in kitchen appliances for years. What’s next? Two major appliance manufacturers are going head-to-head with difference finishes, as Ellen Byron explains on Lunch Break. Photo: David R. Lutman for The Wall Street Journal

Major manufacturers are placing bets on different potential successors to the shiny, upscale appliance finish, which surprised everyone with its resilience.

It is a pivotal moment in kitchen design: While stainless steel is still the dominant look, there are clear signals it has outworn its welcome, even with no clear successor in place.

The appliance industry has tried to promote new looks before. In recent years, manufacturers have pitched “oiled bronze,” “antique copper” and a gray hue called “meteorite,” as well as aluminum and other look-alikes, but none has been able to unseat stainless steel.

Whirlpool Corp., WHR +3.34% the world’s largest home-appliance maker, recently introduced its “Ice Collection” of appliances, including glossy white. “White is the new stainless,” a Whirlpool news release says.

“Black is the new stainless steel,” Wolf Appliance says in a news release for black glass ovens introduced this spring.

(t-b) Whirlpool; Wolf; GE (2)

Last weekend, General ElectricGE +3.20% introduced refrigerators, ovens, microwaves and dishwashers in a muted gray called “slate.” Miele says it will roll out new high-gloss finishes for the U.S. in the near future, refusing to divulge details.

The new colors and materials, though not as vibrant as the avocado-green and harvest-gold of previous eras, try to blend in with their surroundings, rather than stand out like a trophy of technology the way shiny stainless steel tends to do.

Introducing a new finish is a gamble. Development takes a year or more. Stores sometimes grant extra space to new ideas, but typically manufacturers have to work within an allotted number of slots, so an unsuccessful product can put the company’s overall sales at risk.

No manufacturer is writing stainless steel off completely. It is too durable and versatile for that. Whirlpool, mindful of consumers’ devotion to it, played it safe and included a stainless-steel option in the new Ice Collection line. Still, there is a growing sense that stainless steel’s popularity is running into overtime.

BIG MOMENTS IN KITCHEN APPLIANCES | It’s All About the Finish

[image]GE1925: All-white enameled ranges, like this Hotpoint model, become widespread.

Whirlpool1950s:KitchenAid dishwasher. Petal pink, canary yellow and turquoise were kitchen hits.

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GE1960s:Nature-inspired finishes such as avocado, harvest-gold and ‘coppertone,’ are popular as kitchen appliances continue to be a color source.

GE1976:Softer shades, including almond, coffee and ‘fresh avocado,’ appear.

[image]Viking1980s: Viking Range Corp. launches its iconic stainless-steel open-burner range in 1987, a pioneer among expensive, high-performance ‘trophy’ appliances.

2000s: Stainless-steel’s popularity surges, as foodie culture takes off and consumers aspire to cook like the pros.
Today: Mainstream manufacturers continue to experiment with alternatives to stainless steel, whose elegance and versatility are proving hard to beat.

The new appliances reflect, in part, the kitchen’s changing role in the home. In an open floor plan, the kitchen functions as the hub of relaxing and entertaining—a return to its historic role as the center of family life.

“Until the industrial age, the kitchen was central to the home,” says Victoria Matranga, an industrial-design historian and program coordinator for the International Housewares Association. It lost that role as kids went to their second-floor bedrooms with their own TV, she says, adding “Now there’s a movement to get people together again, in the kitchen.”

Patrick Schiavone, Whirlpool’s vice president of global consumer design, spent two decades as a car and truck designer at Ford Motor Co. F +3.61% before joining Whirlpool in 2010. In the midst of house-hunting near Whirlpool headquarters in Benton Harbor, Mich., he is set against stainless steel for his kitchen appliances. “I’m over it,” he says.

Mr. Schiavone’s first big U.S. project at Whirlpool was the development of the company’s Ice Collection, which aims to remake what Mr. Schiavone saw as the outdated look of black and white appliances on the market. “We wanted to make them as beautiful as stainless steel,” he says. “We want it to feel more like it was meant to be in the space, rather than be some futurist styling of machinery.”

Consumers typically buy a new appliance when an old one breaks after a decade or two of use. They often mix different brands. Mr. Schiavone wants the Ice Collection’s distinctive look to push people to splurge on the whole collection. “We were careful to make a suite that people lusted after,” he says.

The appliance industry needs a boost after several years in which the housing market slump has dampened appliance sales. Manufacturer discounts have eaten into profits.

GE is betting on a metallic matte finish it calls “slate.” Figuring that cost-conscious consumers aren’t likely to replace all their appliances at once, GE revised the new finish several times, making it warmer so as to complement the stainless steel, white or black appliances already found in consumers’ kitchens.

“Not every consumer is ready to completely change out their kitchen appliances,” says Lou Lenzi, director of industrial design for GE Appliances. “They don’t see the need to swap that expensive range they bought a year ago.”

There is a 12- to 15-year life span for an appliance finish to build momentum, peak and decline, Mr. Lenzi says. “For stainless steel to have such a strong run is remarkable.” Still, he says he detects “stainless fatigue” in the market. “Living-room aesthetics are appearing in the kitchen’s cabinetry and flooring,” he says. “Then you have this big piece of industrial steel staring at you. Clearly there is a disconnect.”

Slate’s development was veiled in secrecy. Mr. Lenzi’s team used code names like “Dorian Gray” and “Earl Grey.” The team noted that countertops were becoming less polished and figured a matte appliance finish would complement them better. A muted surface shine also makes appliances resemble the flat-screen TVs and iPads that are increasingly at home in the kitchen.

At the high end, Viking Range Corp., whose iconic open-burner stainless-steel range was one of the first to bring pro-kitchen styling into homes, offers 23 color alternatives to stainless steel, including Cinnamon, Wasabi, Kettle Black and Dijon, launched this spring. Still, stainless steel dominates. “I’d say 80% of our sales are still stainless steel,” says Brent Bailey, design director at Viking Range. “I could add another 100 colors and the percentage wouldn’t change much.”

Wolf, part of Sub-Zero Inc., chose highly reflective black glass for its new E Series line. “Glass is becoming more popular in our society in general, and in architecture the buildings coming up are glass,” says Michele Bedard, vice president of marketing. There won’t be a white counterpart, though. “It’s been debated, but white doesn’t have that lasting power,” Ms. Bedard says. “We test our appliances to last 20 years.”

German maker Bosch, meanwhile, stands by stainless steel in the U.S. “We’ve seen in the last 10 or 15 years alternative finishes on the market, but they’re not enduring,” says Graham Sadtler, industrial design manager for the German company. “Similar to fashion, fads come and go.”

Getting consumers to switch from stainless steel isn’t easy. Jenn-Air launched a line of “oiled bronze” appliances in 2007; it has already dialed back availability of the finish in certain models. “We hoped that oiled bronze would take off,” says Brian Maynard, Jenn-Air’s brand marketing director. “It got a lot of attention and it sold quite well, but we’ve seen it wane a little recently. We’re not disappointed with it, but it just isn’t stainless steel.”

Electrolux ELUX-B.SK -0.18% recently introduced a black-steel finish in markets outside the U.S. but says it thinks stainless won’t go away soon. “People still want that connection between the restaurant experience and their own home,” says Bob Martin, Electrolux’s design director of major appliances in North America. “Stainless steel at the high end will be strong and stay strong for a long time.”

“Other finishes haven’t achieved the same level of sophistication in terms of aesthetic,” says Stefano Marzano, chief design officer for Electrolux. Lately Mr. Marzano has been exploring possibilities made with stone, ceramic and enamel.

Stainless steel’s staying power is partly the result of how Americans approach their kitchens, says David VanderWaal, director of brand marketing for LG’s home appliances. “They start with the cabinets, then it’s flooring, countertops, lighting and then finally it’s their appliances.” LG isn’t offering alternatives, he says. “We don’t see the trend of stainless steel appliances diminishing.”

Written by Ellen Byron

COURTESY OF YOUR NUMBER ONE ARCADIA REAL ESTATE AGENT

We usually go to gardens to unplug. But it turns out your mobile gadget can make a pretty good partner out there.

We usually go to gardens to unplug. But it turns out your mobile gadget can make a pretty good partner out there.

More in Technology

Before you even set foot in the yard, an app can help you figure out what to plant. Landscaper’s Companion, Grow Your Own and GardenID offer reference guides with sowing suggestions, lists of plants native to your area and information about growth rates, bloom times and sun and water needs, among other things.

Landscaper’s Companion runs $4.99 for its Apple version, from Stevenson Software LLC, and the Android version, from Agile Track Software LLC. Grow Your Own, from the Royal Horticultural Society, and GardenID, from MEDL Mobile Inc., are both free for Apple devices.

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GardenTrackerGarden Tracker lets you map out your garden and track its progress.

You can also check out apps that offer information on specific types of plants, like Vegetable Garden Guides ($1.99 from Primolicious LLC), Fruit Garden ($1.99 for Apple devices and 99 cents for Android from CleverMatrix Ltd.), Herbs+ ($2.99 for Apple devices from EOBear Software) and FlowerPedia ($4.99 for Apple devices from Muli Mobile Ltd.).

It’s a Dirty Job

Once you’ve decided what to put in the ground, apps like Garden Tracker, Garden Plan Pro and Grow Planner let you plot out your plot. You can create a virtual map of your space and then drop in plants to see how they fit.

The apps also help you keep an eye on your garden’s progress. Garden Tracker, for example, lets you record when you water, fertilize and treat your plants and tells you how long you have to wait to harvest them. The app, from Portable Databases, runs $1.99 for iPhones and $3.99 for iPads. Grow Planner, from Ogden Publications Inc.’s Mother Earth News, and Garden Plan Pro, from Growing Interactive, run $19.99 for the iPad.

Grow Your OwnGrow Your Own offers sowing suggestions and info like water needs and growth rates.

If you want just the tracking features without the mapping, Gardening Toolkit and another app simply called Gardening have virtual journals and to-do lists so you can log your findings in the field and know when a plant is ready to be picked. Gardening Toolkit, from Applied Objects, runs $1.99 for iPhones and $3.99 for iPads. Gardening, by developer Jeff Hale, costs 99 cents for Apple devices.

The Fertilizer Calculator, $1.99 for Apple devices from TimesToCome Mobile, lets you record the dates you’ve fed your plants and calculate how much fertilizer you’ll need for your yard. And the Harvest Landscape Calculator, free for Apple devices from Harvest Power, allows you to figure out how many bags of soil to purchase for your plot, among other features. The app also comes with quotes to inspire you, such as John Steinbeck’s line, “There is nothing pleasanter than spading when the ground is soft and damp.”

Still, it’s hard to imagine spading could be pleasant when pests have overtaken your garden. Bugs in the Garden, from developer Justin Davidson, and Natural Guides LLC’s Garden Insects provide lists of common intruders, with information on what plants they affect, the damage they do and how to manage and repel them. You might also find out it’s better to leave them alone: Despite the assassin bug’s menacing name, for instance, it controls a number of pests, including aphids, cabbage worms and Japanese beetles, according to Bugs in the Garden. Both apps are 99 cents; Garden Insects is available only for Apple devices.

Bugs in the GardenBugs in the Garden identifies intruders and tells you how to repel the harmful ones.

Bringing It All Back Home

Assuming you’ve beaten the bugs and watered and fed your plants as necessary, you should have a healthy crop yield. The free Gardening Guide app, from Mother Earth News, offers advice on the best ways to harvest, store and cook your produce, among other things. The Good Food Seasonal Recipes app—$2.99 for Apple devices from BBC Worldwide Ltd.—gives you monthly culinary recommendations based on what’s growing. Similarly, 101 Recipes from Nature’s Garden is a good source for growers who want to find simple, creative ways to prepare their fruits and vegetables. The app, from Aimfire LLC, costs 99 cents for Apple devices.

What if you’ve grown more than you can eat? StoneRaven LLC’s free AmpleHarvest app helps you locate food pantries in your area so you can donate healthful items to hungry people in need.

By MATTHEW KASSEL

COURTESY OF YOUR NUMBER ONE ARCADIA REAL ESTATE AGENT

L.A. County Fair

Aug 31, 2012 - Sep 30, 2012

L.A. County Fair

Location :Fairplex
Celebrate 90 years of Fun with the L.A. County Fair!

The L.A. County Fair, the world’s largest county fair, celebrates its 90th anniversary this year and it’s going to be the biggest party ever! With food, shopping, an adrenaline-pumping carnival, animals, and amazing attractions and exhibits, the Fair offers entertainment for guests of all ages.

From a living library to blue-ribbon worthy cakes to the cutest piglets in our farm, our exhibits and attractions offer amazing entertainment. Don’t miss Mojo, a cute and curious Capuchin monkey, and her friends at Mojo’s African Safari. Feel the rush of winning a medal at the Fair’s salute to the 2012 Olympics and London in the Flower & Garden Pavilion. Ray Cammack Shows carnival returns for its 28th year bringing rides to thrill and chill.

New this year, guests can celebrate prominent American inventors and innovators at Genius – A Celebration of American Innovation, which includes a full-scale replica of the Wright Brothers 1903 Wright Flyer and recreations of the working laboratories of George Washington Carver and Thomas Edison. There are even 30 giant iPhones telling the story of Steve Jobs. Rock to you drop in the Rock of Ages exhibit, all about the history of Rock n’ Roll.

With 21 nights of rock, pop, soul, country and extreme sports entertainment, the End of Summer Concert Series lights up the night sky.

And don’t forget to try the deep-fried, ooey, gooey, on-a-stick, dipped-in-chocolate, covered-with-powdered-sugar treats that you can only find at the L.A. County Fair.

For more information please visit lacountyfair.com

COURTESY OF YOUR NUMBER ONE ARCADIA REAL ESTATE AGENT