In May , in a nearly empty basement ballroom at the Hotel du Pont in Wilmington , Del . , Robert L . Nardelli , the chairman and chief executive of Home Depot , stood between huge timers , intended to limit questions from the handful of shareholders present .

After dismissing questions about his compensation or the independence of the board , Mr. Nardelli abruptly ended the meeting after only 30 minutes .

Time ran out on Mr. Nardelli on Tuesday , after the board , at a hastily arranged meeting , decided that he should go -- with a $ 210 million exit package .

It was a surprising turnaround for Home Depot 's board , which had publicly supported Mr. Nardelli as recently as two weeks ago even as questions about his compensation , business strategy and autocratic management style mounted .

What ultimately divided the board and its chief executive appeared to have been Mr. Nardelli 's compensation .

Over six years as chief executive , he had taken home $ 64 million and was on track to earn hundreds of millions more .

In recent months , people close to the board say , directors sought to rein in the compensation under the terms of his current contract .

Mr. Nardelli , these people said , had challenged that effort .

`` He was brought down by his compensation , '' a person close to the board said .

`` It was an erosion of relationships over several months .

He lost the confidence of the board . ``

In the end , the debate over cutting Mr. Nardelli 's pay may not have revolved around large numbers .

It would have been possible , for example , for the board to give Mr. Nardelli a minimum bonus of $ 3 million under the terms of his contract , rather than the $ 7 million he received in 2005 .

A director , however , speaking on the condition of anonymity , insisted that compensation was not the reason for Mr. Nardelli 's departure and that there was no `` smoking gun '' behind his resignation .

The fall of Mr. Nardelli is the latest illustration of chief executives and boards coming under pressure when rich executive pay yields few apparent returns in the form of a rising stock price or improving profits .

Outsize executive pay has increasingly become a flash point for investors , lawmakers and regulators .

Still , critics of executive pay practices were incensed by Mr. Nardelli 's gold-plated exit , the terms of which were largely laid out in his 2000 contract .

The pay package includes severance and retirement pay , restricted stock , stock options and other forms of deferred compensation .

The package is `` further confirmation of the need to deal with a pattern of C.E.O. pay that appears to be out of control , '' said Representative Barney Frank , Democrat of Massachusetts , who will be chairman of the House Financial Services Committee .

When he was hired , Mr. Nardelli was a prized former manager under John F . Welch Jr . at General Electric , running its $ 15 billion power systems division .

Since he became chief executive , however , Home Depot 's stock price has languished and the company has lost market share to its chief rival , Lowe 's .

But the seeds of Mr. Nardelli 's ouster were sown that day in May , according to several people close to the board .

The angry outcry over how Mr. Nardelli conducted the annual meeting was compounded by the humiliation board members felt because they had been persuaded to stay away from the May meeting , departing from usual practice .

That discontent grew in recent months as large shareholders threatened a revolt at Home Depot 's annual meeting this spring .

Yesterday , Home Depot , the nation 's largest home-improvement chain , named Frank Blake as its new chairman and chief executive .

Mr. Blake , another former General Electric executive , joined Home Depot in 2002 and helped develop business strategy at the company .

Mr. Blake already appears to be distancing himself from Mr. Nardelli and his rigid style .

In an address to Home Depot employees over an internal television system yesterday , Mr. Blake advised them to `` lighten up '' and `` have fun again , '' according to one worker .

Mr. Blake 's current employment agreement is in force , Home Depot said , and the board is working out details of a new employment contract .

Shares of Home Depot rose 2.3 percent , or 91 cents , to $ 41.07 yesterday .

Messages for Mr. Nardelli were not returned yesterday .

For Kenneth G . Langone , a director and co-founder of Home Depot , Mr. Nardelli 's resignation carries a particular sting .

A onetime member of the G.E. board , Mr. Langone played an instrumental role in bringing Mr. Nardelli to Home Depot .

And when it became clear that Mr. Nardelli would come aboard only as chief executive , he persuaded his old friend , Arthur Blank , then the chief executive , to step aside .

Mr. Nardelli was the first chief executive plucked from outside of Home Depot since its founding in 1978 .

He immediately drew fire over his lack of retail experience .

Inside the company , his hands -on , severe management style rubbed against a more casual culture that gave store managers autonomy .

By contrast , Mr. Nardelli was an obsessive workaholic who rose at 4 a.m. , logged 14-hour days and routinely worked through the weekend , splitting his time between Home Depot 's headquarters in Atlanta and shuttling from store-to-store in a chauffeured black Chevy Suburban .

He earned the nickname `` general '' -- and , as if to underscore the point , he hired dozens of former military officers to run stores , a recruitment strategy he introduced at G.E.

Mr. Nardelli never won over the chain 's store managers , current and former company executives said .

After touring stores , he frequently inflamed managers by sending critical e-mail messages about cluttered aisles and poorly lighted displays .

The result was a high level of manager turnover .

In the last 18 months , three senior merchandise executives -- Tom Taylor , John Costello and Carl C . Liebert III -- left the company , leaving Mr. Nardelli with very few experienced retail executives in his top ranks .

`` The long-term retailers never felt he integrated himself into the retailing piece of the business , '' said Harold Reiter , chairman and chief executive with Herbert Mines Associates , an executive recruitment firm .

Outside of the company , many shareholders , angry at how the annual meeting in May was conducted , struggled to embrace the bold strategic course Mr. Nardelli was setting for Home Depot that steered it further away from its bread-and-butter business of selling hammers and nails to consumers .

For instance , Mr. Nardelli was betting big on Home Depot Supply , a new unit that supplied professional contractors with lumber , cement and pipes .

He spent $ 7 billion in recent years to buy about 40 companies , turning Home Depot Supply into a $ 12 billion business , whose sales now account for 13 percent of the company 's $ 90 billion in revenue .

Mr. Nardelli also planned to move aggressively overseas , particularly into China , where the company acquired a retail chain in December .

During his tenure , Home Depot doubled its sales and sharply increased its earnings per share .

Yet while the board backed his vision for the company , shareholders were less enthused .

The stock has barely budged over his tenure .

Because of that lackluster performance , critics sought to make Mr. Nardelli Exhibit A for chief executives who receive millions and millions of dollars in pay for weak performance .

Many of those critics took aim at Home Depot 's board , which they argued was cozy and tight-knit , with close ties between one another and with G.E. Sitting at the center of Home Depot 's board is Mr. Langone , who has been the longstanding chairmanof the board 's nominating committee and who some critics say has loaded up the board with many of his friends and former business associates .

A proponent of paying chief executives well for their performance , Mr. Langone has long supported Mr. Nardelli 's generous contract .

As chairman of the compensation committee at the New York Stock Exchange , Mr. Langone also signed off on Richard A . Grasso 's largest pay days as chairman and he remains embroiled in a civil suit over Mr. Grasso 's $ 139.5 million pay package .

Mr. Langone did not return calls for comment .

The lawyer who represented the New York exchange was the same lawyer who represented the board of Home Depot : Martin Lipton , the takeover lawyer who founded Wachtell , Lipton , Rosen & Katz .

Mr. Lipton , a longtime friend of Mr. Langone , was originally hired to help defend Mr. Nardelli and the board against Relational Investors , an owner of Home Depot shares that has challenged Mr. Nardelli 's strategies in regulatory filings .

Mr. Lipton has often found himself in the middle of sticky situations where the chief executive is ousted and paid an enormous golden parachute .

Mr. Lipton also worked for Morgan Stanley 's board when Phillip Purcell was fired .

He did the same for Disney when Michael D . Eisner was terminated .

While many of Home Depot 's critics were elated that Mr. Nardelli was leaving the company , they expressed shock at the size of his departure pay package .

`` We 're aghast at the level of compensation that Nardelli is walking away with -- this is money directly out of shareholders ' pockets , `` said Richard Ferlauto , the director of pension investment policy for the American Federation of State , County and Municipal Employees , whose pension fund owns shares in the company .

Furthermore , if Home Depot is trying to distance itself from Mr. Nardelli , Mr. Blake is a strange choice , some Wall Street analysts said .

Like Mr. Nardelli , Mr. Blake has little retail experience .

He spent much of his career at G.E. and helped develop the Home Depot supply business .

`` There will be some pushback to his appointment , '' said Stephen C . Chick , an analyst with J . P . Morgan Securities .

Analysts said the performance of Home Depot 's retail business , which has lagged behind that of its main rival , Lowe 's , for several years , lay at the heart of Mr. Nardelli 's troubles .

Mr. Nardelli 's original strategy of sharply cutting costs -- by reducing employees ' hours and hiring more part-timers -- alienated loyal customers , who relied on experienced store staff for advice .

`` Home Depot was managing the company for Wall Street 's earnings expectations and that came at the expense of the investment needed in their retail business , `` Mr. Chick said .

Mr. Nardelli `` has to take the blame for that , '' Mr. Chick said .

Far from cooling down shareholders angry over Mr. Nardelli 's pay and other corporate governance issues , Mr. Nardelli 's departure seems to have instead inflamed them .

`` It 's not enough to shuffle the deck chairs .

They have n't changed their strategy and there is n't any fresh blood on the board , `` said Ralph Whitworth , who heads Relational Investors , which owns about $ 1 billion of Home Depot 's stock , or about a 1.2 percent stake .

About three weeks ago , Mr. Whitworth notified Mr. Nardelli in a letter that he was intending to call on shareholders to create a committee to study Home Depot 's direction and performance and planned to submit at least two candidates for the board .

Yesterday , Mr. Whitworth said those plans had not changed .

`` There 's clearly some big , big corporate governance issues here and I do n't expect that to change without fresh blood on the board , `` he said .

A CHAIRMAN 'S FALL Correction : January 6 , 2007 , Saturday A picture in Business Day on Thursday of the home of Robert L . Nardelli , who was ousted as chairman and chief executive of Home Depot , carried an incorrect credit .

It was by Chris Rank of Bloomberg News , not by Home Depot .

Summary: Home Depot board dismisses chairman and chief executive Robert L Nardelli with $ 210 million exit package .

Summary: Surprise move comes only two weeks after board publicly supported him amid mounting questions about his compensation , business strategy and autocratic management style .

Summary: Nardelli reportedly challenged efforts of directors who sought in recent months to rein in his compensation under terms of his current contract .

Summary: Over six years as chief executive , he has taken home $ 64 million and was on track to earn hundreds of millions more .

Summary: His fall is latest illustration of chief executives and boards coming under pressure when rich executive pay yields few apparent returns in form of rising stock price or improving profits .

Summary: Outsize executive pay has increasingly become flash point for investors , lawmakers and regulators .

Summary: In Nardelli 's case , critics are also incensed by his gold-plated exit .

Summary: Photos .


Drivers crossing the George Washington Bridge must contend with 18-wheelers , infuriating delays and noxious exhaust .

Soon , they will also have advertisements from Geico .

The Port Authority of New York and New Jersey is expected to announce an arrangement with Geico , the auto insurance giant , that will include the posting of a huge billboard on top of the toll plaza in Fort Lee , N.J. , that says `` Geico Drive Safely . ''

Drivers will also see Geico signs with the company 's mascot , a gecko , on the tollbooths and electronic signs on the approach roads .

Geico 's message will also be integrated into the Port Authority 's direct mailings and its Web site , and costumed gecko mascots will appear at Port Authority bus stations .

The arrangement , first reported in The Wall Street Journal , will provide the agency with $ 3.2 million over two years .

It is the first of its kind for the Port Authority , which has been trying to find new sources of revenue to offset rising costs , said Stephen Sigmund , the agency 's chief of public and government affairs .

Geico is not the first company to think about buying a bridge -- or at least the advertising rights to one .

And other public agencies have been exploring unconventional ways to bring in more money , even if it means toying with long-held taboos about commercializing public spaces .

The Golden Gate Bridge , Highway and Transportation District , for instance , is exploring how to sell sponsorships in San Francisco .

Mr. Sigmund said the Port Authority had been looking for the right advertisers since at least 2005 , adding that Geico was a natural since it is one of the country 's largest and best-known auto insurers .

In a world where consumers can fast-forward through television advertisements , subscribe to commercial-free satellite radio and block pop-up ads on the Internet , companies like Geico are continually looking for fresh ways to get in front of consumers .

In that context , getting in front of about 57 million eastbound drivers who cross the George Washington Bridge each year could amount to a gold mine , especially because it is not uncommon for cars to spend 15 or more minutes creeping toward the toll plaza in New Jersey .

`` This is more than just eyeballs .

It 's about reinforcing a message about a bridge that people have an endearing feeling to , `` said Drew Sheinman , chief executive of Axcess Partners Worldwide , a marketing company hired by the Port Authority to develop new advertising .

Mr. Sheinman said that under the agreement , no other signs can compete with Geico 's at the bridge , which may allay fears that the toll plaza will become overrun with ads .

`` This is not going to be left field at Yankee Stadium , '' he said .

Still , the new signs could irritate drivers who view their cars as a refuge from media messages , as well as preservationists who see the bridge , a landmark , as unfit for commercial advertisements -- even if they appear only on the tollbooths .

`` It 's a city icon that should not be tampered with in this way , `` said Vanessa Gruen , of the streetscape committee at the Municipal Art Society , which deals with street and sidewalk advertising .

`` It 's not really worth the amount of money they 'll get out of it to block the view of the span . ``

Brand experts also questioned whether Geico , which has won plaudits for its imaginative advertising campaigns , may turn off customers and dilute its name by making it too prominent .

`` Since advertisers have generally lost some degree of control over what messages get into people 's lives , consumers resent getting them foisted on them , `` said Robert Passikoff , the president of Brand Keys , a brand consultant .

But , Mr. Passikoff added , consumers may warm to the Geico ads as well as others on prominent public buildings and bridges if they know the proceeds are being used to improve service .

The Port Authority has set a goal of generating $ 100 million in advertising and sponsorships , about three times more than it currently brings in , Mr. Sigmund said .

He said , though , that the new advertising must match the surroundings and not jeopardize safety .

Last month , for instance , the Port Authority announced an agreement with Samsung , the electronics giant , to install power outlets at Kennedy International Airport that travelers with laptop computers will be able to use .

Summary: Auto insurer Geico will sign advertising deal with Port Authority of New York and New Jersey to post billboard at toll plaza on New Jersey side of George Washington Bridge and electronic signs on approach roads .

Summary: Deal is worth $ 3.2 million over two years .

Summary: It is agency 's first attempt to find new sources of revenue .

Summary: Agreement permits no other signs to compete with Geico 's .

Summary: Photo .


Gov . Eliot Spitzer vowed yesterday to make health insurance available to all children and enroll all eligible adults in Medicaid .

If carried out fully , his pledges would cut the number of uninsured New Yorkers in half .

But those promises may not turn out to be as ambitious as described .

How far they go will depend on details the governor and his staff said would not be made public until late this month .

At their most far-reaching , the governor 's plans would give New York the lowest percentage of uninsured people in the country , and would mark a sharp increase in coverage for the poor .

Even so , such promises would not be as hard or as expensive to carry out as most people would guess , according to people who study the politics and economics of health care .

People who have no health insurance tend to be young and healthy , cheaper to care for and cheaper to cover than those who are currently covered .

As a result , the United Hospital Fund , a policy research group , has estimated that covering all of the uninsured in New York would cost $ 4.1 billion a year -- less than one-tenth of what the state already spends on Medicaid , the health plan for the poor .

Most of the uninsured are also poor , and already qualify for Medicaid or a similar program , Child Health Plus , so experts said that easier enrollment and more aggressive recruitment in those programs would almost certainly be at the center of Mr. Spitzer 's plans .

The biggest obstacle , they said , could be new federal requirements that people signing up for Medicaid produce birth certificates or other proof of citizenship .

In his first address to the Legislature , Mr. Spitzer said , `` We will introduce a budget that in the very first year , guarantees access to health insurance for all of New York 's 500,000 uninsured children . ``

But to guarantee access to insurance and to guarantee actual coverage could be two very different things .

Many people have access to government programs , at least in theory , but do not take advantage of them .

Again , the governor did not say precisely what he meant by his promise .

In New York , children qualify for free health insurance through either Medicaid or Child Health Plus , in households that earn up to 160 percent of the federal poverty line -- about $ 21,000 a year for a family of four .

Above that limit , up to 250 percent of the poverty line -- about $ 33,000 for a family of four -- they are eligible for Child Health Plus for a premium of $ 15 a month or less .

About two-thirds of New York 's uninsured children already qualify for one of the programs on those terms .

Danielle Holahan , senior health policy analyst at the United Hospital Fund , said , `` That , plus the fact that children are pretty cheap to insure , '' suggests that getting most of them enrolled `` is something we could tackle pretty easily . ''

State law also says that any child , no matter how high the family income , can be enrolled in Child Health Plus by paying a premium that averages less than $ 200 a month , much less than a commercial insurance policy .

Officials in the Pataki administration argued that that means New York already guarantees access to coverage for all children .

Ms. Holahan said the state could draw middle-income children into Child Health Plus by putting the premiums on a sliding scale as incomes rise , rather than having an abrupt jump up from $ 15 a month .

Mr. Spitzer said that within four years , `` we will enroll the 900,000 Medicaid-eligible adults '' by simplifying the paperwork .

That promise could be tougher to keep , experts said , because he is promising not mere access but actual coverage .

Each year , about one-third of the people on Medicaid in New York fail to renew their enrollment , though they remain eligible , so policy analysts say that an easier renewal process would keep some people enrolled .

They also proposed tying Medicaid enrollment to food stamps , welfare , schools and other public services .

But some people are reluctant to sign up , particularly immigrants who mistrust the government or just can not be bothered .

`` The only way you ever get to really universal coverage is with some sort of individual mandate requiring people to enroll , '' said Diane Rowland , executive director of the Kaiser Commission on Medicaid and the Uninsured .

Almost 14 percent of New Yorkers are uninsured , according to the Census Bureau , below the national average of nearly 16 percent but well above Minnesota , with the lowest rate , less than 9 percent .

If Mr. Spitzer succeeds in insuring all children and all people eligible for Medicaid , the number of uninsured in New York would drop below 7 percent .

Medicaid spends more than $ 45 billion a year to insure 4.2 million New Yorkers , but most of those costs are spent on older and disabled patients .

An estimated 1.2 million people qualify for Medicaid or Child Health Plus but are not enrolled .

They are disproportionately healthy young adults and children .

`` Low-income people who have serious health needs end up in a hospital emergency room , and they enroll in Medicaid at that time , if they 're not enrolled already , `` Ms. Rowland said .

`` So the remaining uninsured tend to be healthier than those who are insured . ''

CHANGEOVER IN ALBANY .

Summary: New York Gov Eliot Spitzer vows to make health insurance available to all children and enroll all eligible adults in Medicaid .

Summary: United Hospital Fund , policy research group , estimates that covering all uninsured people in state would cost $ 4.1 billion annually , less than one-tenth what is already spent on Medicaid .

Summary: Health care experts say Spitzer plan will include easier enrollment and more aggressive recruitment for Medicaid and Child Health Plus program .

Summary: Say biggest obstacle would be federal requirement that people seeking Medicaid produce proof of citizenship .


The 20-year building boom on Staten Island , long the city 's fastest-growing borough , is decelerating drastically , thanks largely to a reining-in of the island 's freewheeling zoning laws , officials say .

According to city figures released yesterday , permits for new buildings plunged by 43 percent last year .

So substantial was the decline that Staten Island almost single-handedly accounted for a 10 percent dip in building permits citywide last year , which was the first drop in the city in a decade .

In the other four boroughs , permits fell by 1.6 percent , the figures from the City Buildings Department show .

Of course , the real estate market has been cooling all over the city and the country , but city officials and real estate professionals attributed the disproportionate chill on Staten Island to zoning and tax changes .

New zoning rules passed in 2004 , which were aimed at stemming a flood of town house developments that residents complained were disfiguring communities and overloading streets with traffic , require larger lots and yards and more parking .

A tax abatement for new one - and two-family homes was also rescinded last year , further discouraging construction .

`` It 's one of these perfect-storm situations , `` said Sandy Krueger , chief executive officer of the Staten Island Board of Realtors .

`` Everything kind of came together at once : the downzoning , the tax abatement removal and the change in the market .

I think everybody is sort of taking a breath here and waiting this out a little bit to see what happens . ``

Last year , 826 permits for new buildings were issued in Staten Island , compared with 1,441 in 2005 and nearly 2,000 in 2003 .

Permits for new units of housing also declined more than 40 percent through November , compared with a 1 percent drop elsewhere in the city , according to census statistics .

The downturn was broadly welcomed in a place where for years development appeared to proceed with pile driver and shoehorn .

A one-acre parcel where 18 units of housing could once be built is limited to 7 .

`` I do n't want Staten Island to stop growing , `` said the borough president , James P . Molinaro , who helped lead the drive for the zoning changes , '' but I want proper growth . ``

The decline in new housing permits issued on Staten Island affected multifamily dwellings as well as smaller buildings .

Permits for one-family homes fell 49 percent .

City officials pointed to several developments planned for the island that they said would be more carefully managed , including a 700-unit waterfront complex in Stapleton , north of the Verrazano-Narrows Bridge , which is expected to bring new life to a vacant port .

As for the slight citywide drop in new building and housing permits outside of Staten Island , the city 's deputy mayor for economic development , Daniel L . Doctoroff , said he saw little cause for concern .

New housing construction is slowing dramatically across the country , he said , and total construction spending in New York City is increasing as builders focus on commercial projects .

`` Particularly relative to the overall national housing market , '' Mr. Doctoroff said , `` and taking into account the fact that through much of the year interest rates were rising , I think by every indicator the market here was very resilient . ''

Frank Naso , one of Staten Island 's biggest builders and the former president of the Building Industry Association of New York City , a trade group , said that zoning changes had been long overdue .

`` We needed some kind of reform , '' he said .

`` We 'll continue to build , but instead of building 10 you might build 6 .

It 's not the end of the world . ``

Mr. Naso was more upset about the loss of the tax abatement , which cut a homeowner 's property taxes for the first eight years after purchase and allowed many first-time buyers into the market .

Jeff Gallo , an opponent of sprawl and a member of the Preservation League of Staten Island , who lives in a turn-of-the-century Victorian house in Stapleton , said he had noticed a slight calming in the air .

`` There 's a feeling out in Staten Island now that you just ca n't get away with everything , `` said Mr. Gallo , a real estate broker who works in Brooklyn .

Ever since the Verrazano-Narrows bridge was completed in 1964 , linking Staten Island to the rest of New York City , people have flocked to the island , developers have worked frenetically to accommodate them , and longtime residents have bemoaned the disappearance of open space and the strain on the island 's infrastructure .

During the 1990s , Staten Island 's population grew by 17 percent and civic discontent skyrocketed .

Eventually the clamor brought results .

Before the zoning change , you were permitted to build a house with a 4-foot backyard , `` Mr. Molinaro said .

`` Now you have to have a minimum of 30 feet .

You were able to buy a house on Staten Island where your bottom step was the street -- there was no sidewalk .

That was legal ! You ca n't do it no more . ``

Staten Island , still by far the least-populous borough in the city , was the fastest-growing county in the state , according to the 2000 census .

It is not even the fastest-growing borough in the city anymore , having fallen into a virtual tie with Manhattan .

From 2003 to 2005 , the population in both boroughs grew by about 0.9 percent , according to census estimates .

Helen Siegel , 52 , a schoolteacher who lives in New Springville , in the center of the island , thought back yesterday to the days when cows and pigs from nearby farms used to stroll across her yard .

`` It might have been better had they done this sooner , '' she said .

`` It 's all built up on every spare inch of land already . `` .

Summary: New York City officials say 20-year building boom on Staten Island has drastically declined , with new building permits falling by 43 percent in 2006 .

Summary: Say Staten Island decline accounted for 10 percent drop in building permits citywide .

Summary: Declines in other boroughs noted .

Summary: Officials attribute Staten Island decline to zoning and tax abatement changes .

Summary: Graph .


PATTI LuPONE was playing Mrs. Lovett in `` Sweeney Todd '' early last year when she looked out from the stage of the Eugene O'Neill Theater and saw something she had never seen before in a Broadway theater : a popcorn war .

`` There were two people in the front row sharing a bag of popcorn , '' she said recently .

`` When she stuck her hand in , he immediately stuck his hand in .

They were wrestling for the last few kernels of popcorn while we were performing .

Everyone around them was distracted . ``

While eating at your seat at a Broadway theater used to be universally forbidden , theaters are increasingly allowing patrons to take their drinks , candy and even crunchy munchies to their seats during a show .

This let-them-eat-snacks philosophy has been embraced at the Helen Hayes , Hilton , New Amsterdam , Eugene O'Neill and Walter Kerr Theaters , as well as at all nine houses owned by the Nederlander Organization -LRB- the Brooks Atkinson , Gershwin , Lunt-Fontanne , Marquis , Minskoff , Nederlander , Neil Simon , Palace and Richard Rodgers -RRB- .

`` It 's a reflection of changing audience habits , `` said Jim Boese , the organization 's vice president .

`` As the audience for Broadway expands , there are changing audience needs .

This is part of a broader attempt to enhance the audience experience . ``

It also helps the bottom line for theater owners , who profit from sales at the concession stands .

And when people can eat at their seats , they tend to buy more .

To make purchases easier , machines to process credit-card sales -- provided by Visa as part of its sponsorship of Broadway -- were recently installed at bars in the New Amsterdam and Nederlander Theaters .

There are also plans to create cafe areas with tables and chairs and higher-end products , like high-quality chocolates , in some theaters .

One has just been constructed at the Minskoff .

Rosa Hires , the general manager of concessions for the Hilton Theater , owned by Live Nation , said most audience members seemed delighted by the new rules .

`` If anything , people want more food , '' she said .

`` They 're asking for wraps and salads `` to be available at the concession stands , she added .

`` Recently we 've had people asking for hot dogs . ``

Concession sales there have more than doubled since the Hilton began allowing products other than bottled water to the theater 's seats about three years ago , Ms. Hires said .

The other theaters mentioned above have seen significant increases as well .

Some of them have taken steps to minimize distractions and guard against spills .

The New Amsterdam , home to `` Mary Poppins , '' serves all drinks -- even Champagne -- in spillproof keepsake plastic cups that muffle the sound of clinking ice , Some Nederlander theaters have begun using similar items , though at these you have to pay for the privilege of taking beverages back to your seat .

Wine at the Richard Rogers , where `` Tarzan '' is playing , costs $ 7 if you drink it in an open cup in the lobby , but is $ 12 for a spillproof commemorative cup that you are allowed to take back to your seat .

All the theater owners whose houses serve food said they were investigating packaging that would reduce wrapper noise .

There is no hiding the smell and sound of freshly popped popcorn at the the Neil Simon or the Hilton however .

In West End of London , where eating and drinking in the theater has long been allowed , quieter foods , including ice cream , are on the menu .

Baz Bamigboye , an arts writer for The Daily Mail , said in an e-mail message that in his experience London theatergoers `` try and be considerate , '' while New York audience members often take a contrasting stance .

`` I think the view is , ' If we 're paying $ 100 or so for a ticket , we can do what we like , ' `` he said of Broadway 's audiences .

At a recent performance of the child-friendly musical `` Hairspray , '' most of the 50 people interviewed said they were unaware of the rule change .

They thought bringing food to a seat had always been allowed .

Theatergoers at `` Grey Gardens , '' which attracts a metropolitan crowd , were more familiar with past rules and did n't like the present ones .

Only 4 out of 50 audience members surveyed said they thought allowing food inside the theater was a good idea .

`` I came to hear Christine Ebersole , not a Skittles wrapper , '' Jacquelyn Zimbowne of Newark said after the show .

Gerald Schoenfeld , the chairman of the Shubert Organization , agreed with Ms. Zimbowne .

`` It annoys many patrons , '' he said .

`` It causes a refuse problem .

It damages our carpets .

It can be disconcerting to the performers . ``

No midshow snacking is allowed at any of the Shuberts ' 17 Broadway theaters .

They restrict drinks and snacks to the lobby area .

And that 's the way it should be , Ms. LuPone said .

`` Broadway is about a theatrical experience , '' she said .

`` It 's not about pulling out Marie Callender 's chicken pot pie and a Sterno .

Would you go to church and pull out a ham sandwich .

I do n't think so .

Then why would you do it at the theater .

Summary: Many Broadway theaters have changed rules to allow audience members to bring food to their seats as attempt to cater to changing audience desires and also bring in more profit for theater .

Summary: Actors and many seasoned theatergoers object .

Summary: Chart of snacks with ratings on package noise , chewing noise and odds of dropping on floor .

Summary: Drawings .


`` Mothers of America , let your kids go to the movies ! '' Always good advice , but the exhortation has dated a bit since 1960 , when Frank O'Hara made it the first line of his poem `` Ave Maria . ''

`` Going to the movies '' has a quaint ring in the age of the plasma-screen home entertainment system , the iPod and video-on-demand .

The movies are more than willing to come to us , which has inspired some sages , in and outside the film industry , to prophesy the obsolescence , or at least the increasing marginality , of paper tickets , bags of popcorn and big dark rooms lighted by a projector beam : the cultural ritual known dispassionately in the business as `` theatrical distribution . ''

According to this vision , children are leading the slow exodus from the theaters .

From an essay in the current issue of The New Yorker , for example , one learns that , when it comes to visual entertainment , kids these days are `` platform agnostic , '' perfectly happy to consume moving pictures wherever they pop up -- in the living room , on the laptop , in the car , on the cellphone -- without assigning priority among the various forms .

David Denby , the author of the article and one of The New Yorker 's film critics , is an unapologetic adherent to the old-time religion , as am I , and his survey of the current technological landscape is colored by nostalgia for the old downtown movie palaces and the studio system that fed them .

Of course , as Mr. Denby acknowledges , children have hardly disappeared from the movie audience .

On the contrary , adolescents and their younger siblings are the most sought-after segments of the demographically segmented universe of potential viewers .

The movies that make the most money , and therefore those on which the most production and advertising money is spent , are the ones that simultaneously reach down into the primary grades and up into the ranks of young adults .

And there is special commercial potency in those movies that parents will be eager to see -- sometimes more than once -- with their children .

Usually animated , always featuring big stars and wholesome lessons , these films are the ones pointedly aimed at the whole family : cute animals -LRB- and product tie-in toys -RRB- for the little ones , semi-naughty humor and exciting action for their older brothers and sisters , enough in the way of topicality or sophistication to keep mom and dad from losing their minds .

In many ways the ascension of these movies is an encouraging development .

Because entertainment aimed at children occupies a bigger share of the marketplace , the level of quality tends to be higher than it was , say , back in the heyday of Walt Disney live-action comedies .

And the phenomenon of family viewing -- the mothers and fathers of America taking their children to the movies -- has become a central cultural activity consistent with the highly participatory style of parenthood currently in vogue .

I would not wish it otherwise , but I also worry that the dominance of the family film has had a limiting , constraining effect on the imaginations of children .

The point of Mr. O'Hara 's poem is that the movies represent a zone of mystery and cultural initiation : `` it 's true that fresh air is good for the body , `` he writes , '' but what about the soul / that grows in darkness , embossed by silvery images `` .

Never mind that he also reminds his mothers that their offspring `` may even be grateful to you for their first sexual experience , which only cost you a quarter and did n't upset the peaceful home . ``

How are they going to grow , if the images they see are carefully vetted for safety and appropriateness by the film industry .

In other words : Parents of America , take your children to the movies you want to see ! Within reason , naturally .

I cringe at the sight of strollers at `` Apocalypto '' or `` Saw III . ''

But I also cringe at the timidity and cautiousness -- the hypersensitivity -- that confines family viewing to movies with a plush toy or fast food advertising tie-in .

At their best , movies not only offer glimpses of fantastic imaginary worlds , but also inklings of what is , for children , the most intriguing and enigmatic world of all : the world of adulthood .

For the last six months or so , in the guise of a civilian moviegoer , I have been conducting -LRB- with the sometimes unwitting assistance of my wife -RRB- a cautious , intermittent experiment .

Ignoring the advice of the Motion Picture Association of America and the studio marketing departments about what my children , who are 10 and 7 , should see , I have taken them to revival houses and museums as well as to multiplexes .

To musicals and subtitled films as well as to risqué action blockbusters and not-too-explicit love stories .

This experiment has proceeded along two tracks , with two distinct but complementary intentions .

I want them to learn to appreciate the varieties of this incomparably rich art form , which means learning to endure and even enjoy being occasionally bored , confused or scared .

I also hope they will develop a taste for the act of moviegoing .

The recent releases they have seen include `` Casino Royale , '' `` The Illusionist '' and `` The Pursuit of Happyness , '' none of which bored them or troubled their sleep and all of which seemed to me to be much better suited for their age cohort than mine .

`` The Illusionist , '' in particular , with its star-crossed romance , its theatrical effects and its carefully turned plot twists , struck me as the kind of thing that would delight a bookish , intellectually curious fourth or fifth grader , and I was startled to see it in a theater full of adults .

But I was gratified to hear my own children , on the subway ride home , puzzling out the intricacies of the plot and arguing about its ambiguities , just as the grownups did .

Our house is full of DVDs , many of them acknowledged classics , reissued and remastered for rediscovery .

And we have watched Charlie Chaplin and John Wayne , `` Casablanca '' and `` Frankenstein . ''

But we also comb through the weekend movie listings in search of those dwindling numbers of screens that will show us old movies the old-fashioned way .

On Saturdays we frequently find ourselves in sparsely peopled rooms staring at ancient shadows .

Some adjustment of expectations is required : in the old movies people frequently talk faster and move more slowly .

They burst into song without self-consciousness .

There are fewer cuts , longer scenes and occasional visual anomalies .

`` Why is he purple .

`` my daughter asked in the middle of '' West Side Story , `` noticing the effects of an aging Technicolor print on Tony 's face .

In `` The Man Who Shot Liberty Valance '' the tint would periodically switch from sepia to silver and back again .

My son , noting each shift , wanted to know why it was happening : a question about aesthetics that I could only answer with a whispered lecture about chemistry .

Most of the old movies he had seen were delivered by means of new technology .

This one was old in the physical as well as the cultural sense .

What he made of it I do n't know .

-LRB- He was amused that Lee Marvin , as the titular villain , calls Jimmy Stewart 's character `` dude . '' -RRB-

But he watched with an unusual intentness , the same quality of attention he brought to `` Monty Python and the Holy Grail , '' `` Oliver '' and `` Samurai Rebellion , '' some of the other stops on our haphazard tour of movie history .

I 'm convinced that these films ' beguiling strangeness was magnified by the experience of seeing them away from home and its distractions , with the whir of the projector faintly audible in the background and motes of dust suspended in the path from projector to screen .

Moviegoing , though unlikely to disappear , will probably never again be the universal rite it once was .

This is not a catastrophe , just a change of habit .

Going to the movies may survive as an acquired taste , and also , therefore , as an activity through which taste is acquired .

FILM .

Summary: A O Scott encourages bringing children to films other than family friendly movies approved by Motion Picture Association .

Summary: Asserts that allowing children to view adult films , within reason , aids in cultivation of their imagination and helps them to become life-long moviegoers .

Summary: Describes experience of taking his children to film The Illusionist and screenings of West Side Story and The Man Who Shot Liberty Valance .

Summary: Photos .


A survey by researchers at Villanova University has found that 85 percent of Roman Catholic dioceses that responded had discovered embezzlement of church money in the last five years , with 11 percent reporting that more than $ 500,000 had been stolen .

The Catholic Church has some of the most rigorous financial guidelines of any denomination , specialists in church ethics said , but the survey found that the guidelines were often ignored in parishes .

And when no one is looking , the cash that goes into the collection plate does not always get deposited into the church 's bank account .

`` As a faith-based organization , we place a lot of trust in our folks , '' said Chuck Zech , a co-author of the study and director of the Center for the Study of Church Management at Villanova .

`` We think if you work for a church -- you 're a volunteer or a priest -- the last thing on your mind is to do something dishonest , `` Mr. Zech said .

`` But people are people , and there 's a lot of temptation there , and with the cash-based aspect of how churches operate , it 's pretty easy . ``

Specialists in church ethics said they believed this was the first study to assess the extent of embezzlement in a denomination .

Officials at the United States Conference of Catholic Bishops said they had seen the study , which was released just before Christmas and was first reported in the National Catholic Reporter , and were considering ways that parishes could tighten their financial controls .

`` The Villanova study does not come as a surprise , '' said Bishop Dennis M . Schnurr , treasurer of the bishops ' conference .

`` This is something that the bishops in this country have been looking at for some time .

They are aware of a need to look for mechanisms that can assist parishes in accountability and transparency . ``

Mr. Zech and his co-author , Robert West , a professor of accounting at Villanova , did not set out to look for embezzlement .

They were conducting a study of internal financial controls in Catholic dioceses and sent a battery of questions to chief financial officers in the nation 's 174 Catholic dioceses .

78 responded .

Mr. Zech said he was surprised that so many dioceses had detected embezzlement .

In 93 percent of those cases , police reports were filed .

He said the survey did not ask who stole the church money .

But it did ask who detected the theft , and found that it was most often the parish priest , followed by the bookkeeper , an internal auditor or the parish finance council .

In October alone , three large cases of embezzlement surfaced , including one in Delray Beach , Fla . , where two priests spent $ 8.6 million on trips to Las Vegas , dental work , property taxes and other expenses over four decades .

In the survey , 29 percent of the dioceses reported thefts of less than $ 50,000 .

Most denominations have had cases of embezzlement , sometimes by top officials .

In June , the Presbyterian Church U.S.A. fired its second-ranking financial officer , Judy Golliher , after she admitted stealing money that church officials put at more than $ 132,000 .

Many nonprofit organizations that accept cash donations experience theft , and churches are particularly vulnerable , said John C . Knapp , director of the Southern Institute for Business and Professional Ethics , at Georgia State University in Atlanta .

`` Churches have a tendency to be in denial about the potential for this conduct in their midst , '' Mr. Knapp said .

`` When ethics seminars or ethics codes are proposed in churches , they are often met with resistance from people who say , ' Why in the world would we need this .

After all , this is the church . '

Whereas in business , people readily recognize that this sort of thing can happen . ``

The Salvation Army is widely considered exemplary among nonprofits in handling cash collections .

The red buckets in which bell ringers collect donations are covered and locked , and all buckets must be returned to a central location , where at least two people count the number and type of bills , coins and checks , said Major George Hood , the charity 's national spokesman .

The money must be deposited in the bank within 24 hours , and different people reconcile the initial tallies with bank records , Major Hood said .

In the Catholic Church , parishes and high schools handle many cash transactions , making them vulnerable to theft , the Villanova report notes .

Canon law requires each parish to have a finance council to provide oversight .

But Bishop Schnurr , who heads the diocese in Duluth , Minn . , said there were no standards for how finance council members were chosen or whether they should have any expertise in accounting or finance .

Only 3 percent of the dioceses said they annually conducted an internal audit of their parishes , and 21 percent said they seldom or never audited parishes , the survey found .

This lack of scrutiny is at the core of the problem , said Francis J . Butler , president of Foundations and Donors Interested in Catholic Activities , a nonprofit organization independent of the church .

`` You 're taking a lot of risk , `` Mr. Butler said , '' and these days the church can not afford to take these kinds of risks . ``

Bishop Schnurr said the study 's findings on lack of parish oversight contradicted his experience .

But both he and Kenneth W . Korotky , chief financial officer for the bishops ' conference , said a committee could soon consider writing guidelines for the composition of parish finance councils and how often dioceses should audit parishes .

But they cautioned that the bishops ' conference could not make guidelines mandatory , because each bishop was in charge of administering his own diocese .

Jack B . Siegel , a tax lawyer and expert on nonprofit management who has commented on church fraud on his blog , charitygovernance.com, said he kept a tally of church frauds and was surprised by how many occurred at Catholic churches .

`` I got interested because I thought , wait , I 've heard a lot about pedophilia , why are n't I hearing about these financial problems , `` Mr. Siegel said .

He said he was impressed with the guidelines that the bishops ' conference and other Catholic organizations have offered .

But he said , `` How those standards and guidelines get put into practice is what really matters . '' .

Summary: Survey by researchers at Villanova University finds 85 percent of Roman Catholic dioceses that responded discovered embezzlement of church money in last five years , with 11 percent reporting more than $ 500,000 had been stolen .

Summary: Specialists in church ethics claim Catholic Church has some of most rigorous financial guidelines of any denomination .

Summary: But survey finds guidelines were often ignored in parishes .

Summary: Officials at United States Conference of Catholic Bishops say they are considering ways that parishes could tighten their financial controls .

Summary: Survey did not ask who stole money .


Book publishers braced themselves for a financial blow this week after a bankruptcy filing by Advanced Marketing Services , a book distributor .

The company filed for bankruptcy protection last Friday , reporting more than $ 200 million in debt to dozens of publishing companies .

Its creditors included publishers large and small , among them Random House , which is owed $ 43.3 million , and Good Books of Intercourse , Pa . , which specializes in books about the Amish and the Mennonites and is owed nearly $ 1 million .

A publishing executive said that while authors and readers were unlikely to be affected by the bankruptcy filing , many publishers might not recover much of what they were owed .

`` This is a huge disruption in this business , '' said the executive , who declined to be further identified because he was not authorized to speak for his company .

`` The publishers are going to end up taking a big loss . ''

According to the bankruptcy filing , Advanced Marketing Services has been looking for additional financing or a buyer for the last 18 months , enlisting the investment bank Jeffries & Company in the search .

Advanced Marketing Services also owns Publishers Group West , a distributor for a consortium of publishers including Grove / Atlantic , which may be hit hardest by the bankruptcy filing .

`` It 's a mess , `` said Morgan Entrekin , the publisher of Grove / Atlantic , adding that he had been meeting with lawyers for days and was scrambling , trying to figure out how to deal with the situation .

Advanced Marketing Services was granted $ 75 million of debtor-in-possession financing by creditors so it could continue to function for the next several months .

Simon & Schuster immediately suspended shipments to Advanced Marketing Services , a Simon & Schuster spokesman , Adam Roth-berg , said .

Publishers would not give details on their business relationships with Advanced Marketing Services , but the company accounts for as much as 10 percent of some publishers ' sales .

`` We 're exploring ways to keep working with them , `` a spokeswoman for HarperCollins , Erin Crum , said .

A spokesman for Random House declined to comment .

The bankruptcy filing came over the New Year 's weekend , catching many publishing executives by surprise .

The book industry is largely shut down the week between Christmas and New Year 's Day , and some executives were still trickling back to work late this week .

Advanced Marketing Services , founded in 1982 , has headquarters in San Diego .

It acts as a middleman between publishers and booksellers , obtaining books directly from the publishers and distributing them to retailers like Sam 's Club , Costco and BJ 's Wholesale Club .

The company operates three distribution centers , in Indianapolis .

Hanover , Md .

And Woodland , Calif .

Advanced Marketing Services ' financial difficulties were widely known in the industry , after an accounting scandal in 2003 resulted in the ouster of several senior managers .

A lawyer for the company did not return calls seeking comment .

The distributor has near-exclusive access to the discount retailers known as price clubs , including Costco and Sam 's Club .

The price clubs can produce lucrative returns for the right books , like cookbooks and mass-market reading , and can allow publishers to reach people who do not shop at bookstores .

Books are a relatively small part of the price clubs ' total business , but they have one attribute that retailers love : the suggested retail price is printed directly on the book jacket .

Because the books are then discounted by at least 20 or 30 percent , this promotes the feeling among buyers that the stores are offering them a bargain .

Summary: Bankruptcy filing by book distributor Advanced Marketing Services deals financial blow to book industry .

Summary: Advanced reports more than $ 200 million in debt to dozens of publishers , both large and small , such as Random House and Good Books .

Summary: Filing means that publishers might not recover much of what is owed .

Summary: Photo .


One of the biggest proposed law firm mergers of the last year has been called off , the victim of too many insurmountable issues .

The two firms , Dewey Ballantine and Orrick , Herrington & Sutcliffe , announced the news yesterday .

The two had been in talks since last fall to join their specialties in mergers and acquisitions and debt financing .

The new firm would have been one of the nation 's largest legal advisers , with 1,500 lawyers based in New York and San Francisco .

Unlike most merger talks , which are conducted in secrecy , the firms announced in October that their top committees had given preliminary approval to the proposal .

At every step in the process after that , the firms expressed confidence that the deal would go through .

The two had already decided upon the name Dewey Orrick for the combined firm .

Dewey 's chairman , Morton A . Pierce , and Orrick 's chairman , Ralph H . Baxter Jr . , would have served as co-chairmen , with Mr. Baxter taking on the additional title of presiding partner .

Partners were to have voted on the deal last month .

But as several obstacles proved intractable , those elections were postponed to this month .

`` While both firms tried their best to work through these challenges , we were unable to bring the merger to completion , '' the two firms said in a statement .

`` No one issue led us to this point . ''

Among the most visible distress signals was the departure of 10 partners from Dewey since merger talks began .

Most ominous were the exits of three lawyers from Dewey 's mergers and acquisitions team , including Michael J . Aiello and Jack S . Bodner , who had been considered protégés of Mr. Pierce .

People familiar with the negotiations said the talks had continued as recently as last weekend .

The chairmen of both firms said in interviews that the decision to part ways was mutual .

`` We reached a point where we decided it was in the best interest of both organizations to go our separate ways , '' Mr. Pierce said .

Both chairmen said that they would look for future growth opportunities , but that neither was looking for another merger partner right now .

`` When you look at how law firms grow , while mergers have great advantages , it 's the statistically least likely way to do it , `` Mr. Baxter said .

Unlike mergers in other sectors , law firm consolidation involves the joining of companies whose main assets are their people .

Orrick is acquainted with such situations , having undertaken merger talks with several firms in recent years , including Coudert Brothers in 2005 and Donovan , Leisure , Newton & Irvine in the late 1990s .

None of those talks came to fruition , though Orrick subsequently hired lawyers from those firms .

The dilution of brand names , unclear lines of authority and unfunded pensions are among some of the issues that may have played a role in the talks ' demise , said Peter Zeughauser , a law firm consultant who did not work on the deal .

Unfunded pensions have long been a concern in the merger of law firms because partners inevitably bristle at taking a pay cut to help new colleagues ' retirement plans .

Several consultants and lawyers at other firms previously questioned whether Dewey 's unfunded pension system would pose problems for the deal .

`` It 's not at all uncommon for an unfunded retirement plan to be a deal breaker , `` Mr. Zeughauser said .

A person familiar with the negotiations also pointed to questions over management authority .

Though the deal had been labeled a merger of equals , it was clear that Orrick would retain control over crucial matters , the person said .

Both Dewey and Orrick have long histories .

Dewey is a storied New York adviser whose name comes from Gov . Thomas E . Dewey .

Orrick is one of San Francisco 's oldest law firms , founded in 1863 .

Both have prominent corporate deal-making and litigation practices .

Dewey , a 550-lawyer firm , is known as a specialist in mergers and acquisitions , having advised on major deals like the hospital operator HCA 's $ 33 billion leveraged buyout .

And Orrick , with more than 950 lawyers , is considered a leader in debt financing and capital market transactions and restructurings .

Last year proved profitable for the two firms , with both claiming profits of about $ 1.4 million per equity partner .

Dewey earned $ 408 million in gross revenue and Orrick pulled in $ 666 million for the 2006 fiscal year , both showing improvement over 2005 .

Summary: Law firms Dewey Ballantine and Orrick , Herrington & Sutcliffe end talks for proposed merger .

Summary: New firm would have been one of country 's largest legal advisors , with 1,500 lawyers .

Summary: Firms say they could not agree on variety of issues and were unable to agree on terms of merger .


For deal makers , does it get any better than this .

A heady cocktail of rapidly growing emerging markets , floods of private equity and hedge fund money , buoyant chief executive confidence and a hungry debt market that seems willing to snap up nearly everything that banks can dish out has created an environment so fertile that mergers in 2006 surpassed all records .

Globally , there were $ 3.79 trillion worth of deals last year , up 38 percent from 2005 , according to data from Thomson Financial .

Deals were even up 11 percent from the heights of 2000 , the year of the AOL-Time Warner merger that has come to symbolize the dangers of a mergers and acquisitions bubble .

Many of the deals of that year left a hangover of bad debt and broken companies .

Records were also broken last year for hostile deals and European deals .

Dealogic , a competing statistics firm , says that 2006 deal flow was even higher , at $ 3.98 trillion .

Gavin MacDonald , head of European mergers and acquisitions at Morgan Stanley , acknowledged that he had `` seen a few cycles '' in more than 20 years as a banker , but never one like this .

`` We thought in 2000 we might not see its like again , but we 've surpassed even that , `` he said .

No one can agree on what happens next .

Steven A . Baronoff , the global head of mergers and acquisitions at Merrill Lynch , said , `` The question a lot of people are asking themselves is , ' Last time it ended relatively badly , so will we see the same kind of problems in the future .

' `` Many bankers , perhaps not surprisingly , insist the answer is no .

After all , deals during this boom have been happening throughout many industries , not concentrated in just telecommunications and new media as they were in 2000 .

They are being financed by fast-growing cash flows and forgiving capital markets , not overpriced stock .

`` This time around it is a very different environment , '' Mr. Baronoff said .

`` It 's a much more balanced boom . ``

And although deal volume is up , the prices that companies are paying are still well below what they were in 2000 , said David Kirshenbaum , chief operating officer for global mergers and acquisitions at Citigroup .

`` We 're seeing lower premiums and much higher identifiable synergies , and a positive reaction from the stock market , `` he said .

Others , however , see a slowdown in deals coming this year .

Phil Isherwood , an equity strategist with Dresdner Kleinwort , said to `` prepare for a peak in 2007 . ''

One of the symptoms , he said , is the prevalence of cash deals .

Through mid-December , some 70 percent of announced mergers were cash instead of stock , he said , compared with a 10-year average of 40 percent .

`` This use of cash is a symbol and symptom of a bubble , not an argument against it , '' he said .

Too much money is chasing too few deals , driving up prices , Mr. Isherwood said .

`` Bigger deals , bigger borrowing and bigger prices equals bigger risk , not bigger fun . ''

Indeed , the ever-bigger buyouts of 2006 have raised concerns about the amount of debt used to do the deal .

`` Given current leverage levels and recent developments in the economic / credit cycle , the default of a large private equity backed company or a cluster of smaller private equity backed companies seems inevitable . ''

the Financial Services Authority , the British markets regulator , said in a November report .

Private equity buyers accounted for nearly a fifth of all deals in 2006 , according to Thomson .

The volume of these deals doubled in the United States in 2006 , as they aggressively outbid corporate buyers .

For example , a group including Blackstone and the Texas Pacific Group bought the medical device company Biomet for $ 10.9 billion last month , snatching it from the jaws of a larger rival , Smith & Nephew of Britain , which had courted the company for months .

To win the day , they are taking out larger and larger loans .

Over all , $ 183.3 billion in high-yield debt was issued in 2006 , according to Thomson , up 52 percent from a year before .

The key to keeping the merger mania going is liquidity -- or the willingness of banks to lend money .

So far , the door has been wide open for most borrowers , thanks in part to the exponential growth of new products like credit derivatives and credit default swaps , which allow lenders lay off some of the risk to other buyers .

That door , of course , could slam shut if a deal goes sour , predict bankers and investors .

But so far , there is no sign the party is ending : Private equity funds raised about $ 400 billion in 2006 , and as of December had about $ 700 billion available to do deals .

Morgan Stanley predicts that 2007 will bring even more large leveraged buyouts , including some huge European deals in the $ 25 billion to $ 35 billion range .

If there is a slowdown on the horizon , many bankers predict it will not happen until at least the second half of the year .

`` You 've seen a lot of activity in the fourth quarter , and that is a good harbinger for the first half of 2007 , `` Mr. Kirshenbaum of Citigroup said .

There will continue to be a lot of activity in buyouts , emerging markets , and in Japan and the Middle East , he added .

New market participants are adding to the trend , helping to smooth the way for hostile deal makers .

`` Hedge funds have become the kingmakers , '' deciding at what price they will sell out , Mr. MacDonald of Morgan Stanley said .

Chief executives can no longer rebuff takeover offers easily , because once one is made , their stock is often snapped up by hedge funds looking for a quick buck .

This impact has been keenly felt in Europe , where such investors helped Mittal Steel take over a reluctant Arcelor , and may be pushing the London Stock Exchange into the hands of Nasdaq .

That may not be the case in 2007 , though .

`` The hedge funds have a lot of money , but it is yet unclear that they are getting great returns out of this , '' Mr. Baronoff of Merrill Lynch said .

`` If they find other higher return activities , maybe they will focus a little less on activism , '' he said .

Yet as Michael Tory , head of British investment banking at Lehman Brothers , said : `` As long as the liquidity is there and the sources of liquidity remain healthy , there is no reason this ca n't continue . ``

STREET SCENE Correction : January 11 , 2007 , Thursday A chart on the Street Scene page of Business Day last Thursday that listed the leading merger and acquisition advisers misstated the value of the deals in 2006 .

For Goldman , Sachs , the sector leader , it was $ 1.088 trillion , not $ 108.8 trillion .

For the industry as a whole , the value of the deals was $ 3.805 trillion , not $ 380.5 trillion .

A corrected chart can be found at nytimes.com/ business .

Summary: Thomson Financial reports that 2006 mergers surpassed all records with $ 3.79 trillion worth of deals , up 38 percent from 2005 .

Summary: Deals were up 11 percent from heights of 2000 mergers and acquisitions bubble that left much bad debt and many broken companies .

Summary: Analysts are uncertain what future holds for fast-growing markets , but insist current boom is more balanced .

Summary: Photo .

Summary: Graphs .


Democrats realized their political and legislative dream Thursday .

Now they must face reality .

As they take control of the House and Senate , members of the new majority must reconcile diverse ideological factions within their ranks and make a fundamental choice .

They can spend their energy trying to reverse what they see as the flaws of the Bush administration and a dozen years in which conservative philosophy dominated Congress .

Or they can accept the rightward tilt of that period and grudgingly concede that big tax cuts , deregulation , restrictions on abortion and other Republican-inspired changes are now a permanent part of the legislative framework .

The competing drives were on display amid the constitutional hoopla Thursday and the emotion surrounding Representative Nancy Pelosi 's election as speaker , a position filled until now by the likes of Sam Rayburn , Joseph Cannon and Nicholas Longworth -- men whose names adorn nearby House office buildings .

`` We have broken the marble ceiling , '' Mrs. Pelosi said after she was handed the gavel .

In a meeting with the Congressional Black Caucus earlier in the day , Mrs. Pelosi made her own allusions to the competing tugs on Democrats , noting the party was rooted in its traditions but not hostage to the past .

She promised a new direction `` for all the people , not just the privileged few , '' a reflection of the leadership 's political and policy calculation that Democrats need to champion the average guy .

`` The agenda we have is about restoring economic security to a very vulnerable middle class , '' said Representative Rahm Emanuel of Illinois , chairman of the Democratic Caucus .

`` The real activity will be in those areas . ''

Yet many Democrats contend that President Bush and the Republican-led Congress that was his partner moved the dial too far to the right in many cases .

And they believe it will be the work of Democrats to make a significant course correction .

`` I think there are a lot of things the people of America want changed , '' said Senator Patrick J . Leahy , Democrat of Vermont , the new chairman of the Judiciary Committee and a tough critic of some Bush policies .

Mr. Leahy and others made clear that the new direction had to begin with American policy in Iraq .

But their domestic legislative agenda suggests that they are picking selected fights rather than going for wholesale change .

On the economy , they will move swiftly to increase the minimum wage .

On social policy , they will challenge Mr. Bush by calling for expanded stem cell research .

They will try to pass legislation increasing college aid for the middle class .

All of those issues have the twin advantages of broad popular appeal tied to measurable economic impact on individuals .

But Democrats are in no rush to engage in a fight with Mr. Bush over the ideological centerpiece of his domestic policy , his tax cuts .

And they have showed no inclination to wade back into the abortion issue , despite its potency among many of their supporters .

`` We have to keep our eye on the average American family and sort of push aside the interest groups left , right and center , '' said Senator Charles E . Schumer , Democrat of New York .

`` The world has changed , and it demands new solutions , not the old Democrat and Republican nostrums . ''

But there is no dispute that Mr. Bush 's legislative and executive record will get a microscopic examination via a renewed emphasis on oversight , a Congressional function Democrats say was all but abandoned in recent years .

And the results of those inquiries could determine what policies Democrats try to unravel if they uncover a strong case against them .

`` The Bush administration has passed an entire architecture of laws that are going to be reviewed , '' said Representative Dennis J . Kucinich of Ohio , one of the most liberal members of the House .

Republicans are waiting to see what develops , uncertain if Democrats sincerely want to join hands and produce some consensus on public policy .

Or , as one senior Republican asked , will Democrats hostile to the Bush administration be more like the scorpion in the fable with the frog , unable to resist the urge to sting even if they hurt themselves .

Democrats acknowledge that with their minuscule majority in the Senate and one in the House that is not much larger , they lack the political muscle to go too far in reversing Bush policy even if that was their chief goal .

And they already have their hands full with delivering on their own ambitious legislative agenda , following through on their pledges of bipartisanship and ethics overhaul and avoiding anything that costs the party its chance at the White House in 2008 .

Leading Democrats say their best direction is forward , concentrating on establishing a new party legacy rather than obsessing with the perceived failings of Republican rule .

The test for the party 's newly empowered leadership and the Congressional membership will be whether they can stick to that path .

THE 110TH CONGRESS : NEWS ANALYSIS .

Summary: News analysis : Democrats taking control of Congress must reconcile diverse ideological factions and make fundamental choice .

Summary: They can focus new power on undoing Republican policies , or concede that GOP changes are permanent part of legislative framework , and move to set new policies .

Summary: Leading Democrats say best direction is forward , concentrating on establishing new party legacy .


Prime Minister Ehud Olmert met President Hosni Mubarak of Egypt on Thursday evening in an effort to give momentum to the Israeli-Palestinian peace negotiations .

But the meeting was overshadowed by an Israeli raid in the West Bank in which four Palestinians were killed and 20 wounded .

Mr. Mubarak was clearly embarrassed by the timing of the raid , hours before the meeting of the two leaders in an Egyptian Red Sea resort town , Sharm el Sheik .

He called it a hindrance to peace efforts and told Mr. Olmert that Egypt `` rejects and is indignant at the military operation . ''

`` Israel 's security can not be achieved through military force but by serious endeavors toward peace , `` Mr. Mubarak added at his news conference with Mr. Olmert .

Mr. Olmert said that he was sorry that innocent Palestinians were hurt , but that Israel would defend itself and was acting to arrest `` terrorists who had killed Israelis . ''

He gave no explanation for the timing of the daylight raid , a vain attempt to arrest a wanted militant , which used unusual force in normally quiet Ramallah .

He said Israeli troops returned fire , but did not initiate it .

`` Things developed in a way that could not have been predicted in advance , '' he said .

`` If innocent people were hurt , this was not our intention . ''

The Palestinian Authority president , Mahmoud Abbas , with whom Mr. Olmert met last week , condemned the raid , saying in a statement that it `` proved that the Israeli calls for peace and security are fake . ''

Palestinians have been calling for an extension of a Gaza truce with Israel to the West Bank .

`` The continued aggression will only lead to the destruction of all efforts aimed at realizing peace , '' Mr. Abbas said .

Mr. Olmert and Mr. Mubarak said Egypt was continuing its efforts to secure the release of an Israeli corporal captured in June by militants , offering in exchange several hundred Palestinian prisoners held by Israel .

There had been speculation that the two men might be able to announce more concrete progress on the matter , which is blocking more substantive discussions with Mr. Abbas .

Egyptian officials said that they were discussing another Olmert-Abbas meeting with Egyptian and Jordanian leaders present .

Secretary of State Condoleezza Rice is to visit the region this month .

It was an unusual and emotional day for Mr. Olmert , during which he commemorated two legendary Israeli political figures , both of whom he succeeded in their jobs .

Earlier , in Jerusalem , he spoke at the state funeral for the city 's fabled former mayor , Teddy Kollek , who died Tuesday at 95 and was buried in the area of the Mount Herzl cemetery reserved for Israel 's leaders .

Mr. Olmert defeated Mr. Kollek to become Jerusalem 's mayor in a bitter political fight in 1993 .

He said Israel 's first leader , David Ben-Gurion , had declared Jerusalem to be Israel 's capital in 1949 , but `` Teddy Kollek made it so . ''

Thursday also marked a year since Prime Minister Ariel Sharon suffered a second extensive stroke , which left him in a deep coma from which he is not expected to awaken .

Mr. Olmert , Mr. Sharon 's deputy , was chosen to lead the Kadima Party in his stead and became prime minister , and he acknowledged Mr. Sharon 's tragedy at his news conference in Egypt .

In general , Mr. Olmert has been regarded as inferior to Mr. Sharon and Mr. Kollek .

In the latest opinion poll , conducted by the Dahaf Institute and reported Thursday in the newspaper Yediot Aharanot , nearly 70 percent of Israelis polled said they disapproved of Mr. Olmert 's performance as prime minister .

Israelis are unhappy with the way he managed the summer 's war against Hezbollah in southern Lebanon and do not much like his personality , contrasting him with the more stolid and experienced Mr. Sharon .

Still , Mr. Olmert has proved himself a skilled politician , and early on Thursday Parliament quietly passed his $ 68 billion budget , a crucial test of his government 's ability to survive .

The budget battle was always a great drama under Mr. Sharon , but Mr. Olmert , who has expanded his governing coalition to include parties ranging from Labor to the right-wing Israel Beiteinu Party of Avigdor Lieberman , had little difficulty .

Mr. Olmert 's office is being rocked , though , by a new corruption scandal .

He has not been touched by this scandal , though he has been under investigation for smaller cases of improper use of influence .

But his longtime office director , Shula Zaken , has been put under house arrest and ordered not to contact Mr. Olmert as the police investigate whether she and the director of the Tax Authority , Jackie Matza , tried to help Ms. Zaken 's brother and two other businesspeople through the appointment of cronies to key jobs in return for tax breaks .

About 30 people are under some form of detention in the spreading scandal .

The operation in Ramallah by Israeli forces , with armored vehicles , bulldozers and helicopter support , was carried out hours before Mr. Olmert met with Mr. Mubarak .

Palestinians and news reports said the operation was to arrest Rabiah Hamad of Fatah , a senior member of Al Aksa Martyrs Brigades .

The army would not confirm that Mr. Hamad was the target , but said the man it wanted was armed and was wounded , but escaped .

The army arrested four other wanted Palestinians , a spokesman said .

It was a rare incursion into the heart of Ramallah , and it prompted an angry response .

Youths on rooftops threw stones , metal trash barrels , a refrigerator and blocks of concrete at the Israeli Army vehicles .

There were mortars fired at the Israeli soldiers , and an exchange of gunfire .

Palestinian medics said four men -- Yussef Abdel Khader , 23 .

Khalil al-Badawi , 20 .

Jamal Jawela , 29 .

And Ala al-Himran , in his 20s -- died at a Ramallah hospital from gunshot wounds .

In Gaza there was continuing violence , with three more men killed in fighting between Fatah and Hamas .

The fighting centered around the Jabaliya refugee camp in northern Gaza after gunmen surrounded the houses of known political or security figures .

In Beit Lahiya , a senior Fatah commander , Col . Muhammad Gharib , was killed and his wife severely wounded when Hamas militants attacked his home with rifle fire and rocket-propelled grenades .

Two of his bodyguards were also killed .

About 25 others were wounded in Jabaliya , and local radio was filled with appeals to the gunmen to restore calm .

On Wednesday five Palestinians , including a woman who was a passer-by , were killed and 12 wounded in Fatah-Hamas gun battles , which broke a weeklong lull .

Other militant factions arranged a truce overnight and kidnapped members of Hamas and Fatah were released by the other sides , but the truce broke down on Thursday .

The Palestinian prime minister , Ismail Haniya , returned to Gaza on Thursday from hajj , his pilgrimage to Mecca , Saudi Arabia .

His entourage underwent a special inspection in El Arish , Egypt , to ensure that he was not carrying large amounts of cash back to Gaza , which has been deprived of most Western aid since Hamas won parliamentary elections last January .

-LSB- Early Friday , Mr. Haniya said he and Mr. Abbas had agreed at emergency talks to keep gunmen from their parties off Gaza 's streets . -RSB-

For the fourth day there was no word about a kidnapped Peruvian photographer for Agence France-Presse , Jaime Rázuri , 50 , who is said by colleagues to be lacking a required heart medication .

Palestinian security services have warned foreign journalists to keep out of Gaza for now , because of the kidnappings and chaos .

A leader of the Palestinian People 's Party , Bassam al-Salhi , said the security chaos could be resolved only with political agreement .

`` The weakness of the Palestinian political system and the situation of the current Hamas-led government have contributed to this state of lawlessness , '' he said .

Summary: Israeli Prime Min Ehud Olmert 's meeting with Pres Hosni Mubarak of Egypt in effort to advance Israeli-Palestinian peace negotiationsis is overshadowed by Israeli raid in West Bank that kills four Palestinians and wounds 20 others .

Summary: Mubarak , clearly embarrassed by timing of raid , tells Olmert that Egypt ` is indignant ' at military operation .

Summary: Olmert voices regret that innocent Palestinians were hurt , but says Israel was acting to arrest ` terrorists who had killed Israelis ' .

Summary: Palestinian Authority Pres Mahmoud Abbas also condemns raid .

Summary: Olmert and Mubarak say Egypt is continuing its efforts to secure release of Israeli corporal captured in June by militants .

Summary: Earlier in day , Olmert speaks at state funeral for Jerusalem 's fabled former mayor Teddy Kollek , who died at age of 95 .

Summary: Photo .


The foot was balanced on a shopping bag after being scooped up off the dirty street by a man in a track suit .

There was no person to go with the limb .

Nearby a charred body was still smoldering , smoke coming off the black corpse 45 minutes after the attack .

For 50 yards , the dead were scattered about , some in pieces , some whole but badly burned .

This violence on Thursday involved two bombs timed to go off one after another in the formerly upscale neighborhood of Mansour , which continues to be ripped apart by sectarian violence .

Thirteen people were killed and 22 wounded , just a small fraction of the civilians killed across the country this week .

The first device went off at 10:15 a.m. , probably a roadside bomb set on a timer , officials said .

The attack was apparently aimed at a gasoline station .

Cars were lined up around the block waiting for fuel , and dozens of people , grasping large plastic jugs , hoped to buy heating fuel .

Just moments after the first explosion , a second , larger , car bomb detonated .

The neighborhood has traditionally been a mixed Sunni and Shiite one .

Although the Abu Jaffar gas station , where the attack was centered , is in what is considered a Sunni area , the method of the attack -- multiple bombs timed to explode in succession -- is usually thought of as a trademark of Al Qaeda in Mesopotamia , a Sunni insurgent group .

An hour after the explosion , there was still a strong stench of burning gasoline and fire .

The road was slick with sludge from the water used to douse the fire .

Blood pooled in areas .

Scores of armed men were running about , including members of the Iraqi Army and the police .

Some of those with machine guns had no uniforms at all .

Shots rang out , mostly in warning .

Neighbors gathered outside , oddly calm and seemingly accustomed to such carnage .

A tanker truck filled with fuel was parked near the station , having escaped the blast .

Not surprisingly , residents living near the area blamed everyone from the government to the Americans to terrorists for what had happened .

`` We are just innocent people , '' said Nafia Abdul Jabbar .

`` The people killed were poor , in need of kerosene that they can not afford to buy on the black market because the price is 10 times more than it is at the station . ''

Elsewhere , a mortar attack was directed at the Shiite neighborhood of Huriya , wounding three people , officials said .

Clashes on the outskirts of the Sunni neighborhood of Ghazaliya left two people dead and 25 people wounded , Iraqi officials said .

A grenade attack in the Amin neighborhood killed five people .

Across the city on Thursday , officials said , 47 bodies were found mutilated -- 4 of them with their heads cut off .

An interview with the family of a man recently mutilated and killed , a prominent sheik considered to be the prince of the Tamim tribes , gives a glimpse into the complicated underworld that is , in part , responsible for the trucks full of bodies collected around this city every day .

The man , Sheik Hamid Mohammed al-Suhail , 75 , was found Wednesday in the Shuala neighborhood of Baghdad , a Shiite redoubt , by members of his tribe , which is mixed Shiite and Sunni , who were searching for him .

He disappeared last Sunday , and his mutilated body was found wrapped in a blanket , covered in blood .

The search party recognized his body by the distinctive way the beard was trimmed .

He had been an outspoken critic of the sectarian fighting and participated in a recent conference in Cairo on national reconciliation .

The kidnappers , whom his relatives hinted they knew but would describe only as `` militiamen '' for fear of reprisal , initially called his family asking for $ 100,000 , said a nephew , Sheik Ali Sammi al-Suhail .

The family told the kidnappers they did not have the money , the nephew said .

`` The body was mutilated in a brutal way , '' he said .

`` They used a drill on him and perhaps other tools . ''

One hand and one leg were almost completely severed .

The nephew said he had been told by people who said they witnessed the killing that after his uncle was tortured , his body was thrown from a two-story building .

He survived the fall but was brutalized further before finally being killed .

Another prominent Iraqi figure , Sheik Akram al-Zubeidi , was killed Thursday in Karbala , a Shiite holy city where there has been little sectarian strife .

Sheik Zubeidi was assassinated when he was stopped at a fake checkpoint , a local hospital official said .

Three other people in the car with him were also killed by the gunmen , whose motive was unclear .

There was continued fallout Thursday from the execution of Saddam Hussein , as Sunnis , from Kashmir to Libya , used his death as a rallying point .

The Libyan government announced that it would erect a statue of him to stand next to one of Libya 's own national heroes , news agencies reported .

At least nine people were hurt in the Indian-controlled part of Kashmir when the police fired rubber-coated bullets to break up a large group of people protesting the execution , Reuters reported .

Two Iraqi officials involved in the investigation of the distribution of a graphic video of the hanging said Thursday that a second guard was being held for questioning .

Officials announced the arrest of the first guard on Wednesday .

There is increasing pressure , including from the White House , on the Iraqi government to proceed with caution in carrying out the execution of Mr. Hussein 's two co-defendants , Barzan Ibrahim al-Tikriti , Mr. Hussein 's half brother , and Awad al-Bandar , a former judge .

Despite the international reaction directed at the government of Prime Minister Nuri Kamal al-Maliki , Mr. Maliki 's popularity among Shiites in southern Iraq seems to have increased .

In Basra , Iraq 's second largest city , hundreds of demonstrators representing Islamist parties rallied in the streets , praising Mr. Maliki and setting photos of Mr. Hussein on fire .

THE STRUGGLE FOR IRAQ .

Summary: Two bombs go off in formerly upscale Baghdad neighborhood of Mansour , killing 13 people and wounding 22 others .

Summary: Method of attack -- multiple bombs timed to explode in succession -- is seen as trademark of Al Qaeda in Mesopotamia , Sunni insurgent group .

Summary: Elsewhere , mortar attack is directed at Shiite neighborhood , wounding three people .

Summary: In Baghdad , trucks full of bodies are being collected every day .

Summary: Photo .


Responding to the shooting death of an unarmed Queens man by police officers nearly seven weeks ago , New York City 's Police Department has commissioned a six-month independent review of its firearms training , of instances in which officers have fired their guns and of the phenomenon of so-called contagious shooting , the department 's top official said yesterday .

The study , which police officials said was the first of its kind commissioned by the department , will be done by the RAND Corporation , a private nonprofit organization that has reviewed police practices in other major cities , Police Commissioner Raymond W . Kelly said .

The announcement came amid continuing bitterness since the death of Sean Bell , who was killed in a hail of 50 police bullets in Jamaica , Queens , hours before his wedding on Nov . 25 .

`` Questions have arisen as to the quality and effectiveness of our training '' Mr. Kelly said at a news conference .

`` We thought it would be appropriate to bring in a recognized world-renowned nongovernment organization to take a look at all of our firearms training . ''

Mr. Kelly said a team from RAND would assess five aspects of firearm use by police officers .

They include initial , continuing and tactical firearms training , investigations of police-involved shootings , and situations in which shots fired by one officer spur other officers to shoot , a phenomenon that may have played a role in Mr. Bell 's death .

The organization will delve into the details of shootings in which the police are involved , examining an officer 's experience , the nature of the threat , the environment in which they fired their guns and other issues .

Comparisons will be drawn to firearms training in other law enforcement agencies , Mr. Kelly said .

RAND will not be looking into the death of Mr. Bell , which is under review by a grand jury in Queens , Mr. Kelly said .

K . Jack Riley , the acting director of the RAND Center on Quality Policing , said the organization had previously evaluated training in the Los Angeles Police Department , investigated racial profiling among Oakland police officers , and examined ways to improve recruitment and retention among the police in New Orleans after Hurricane Katrina .

`` This is a very proactive step the N.Y.P.D. is taking , '' Mr. Riley said .

`` I think there is an honest interest in having a dispassionate third party take an objective look at their training , and see if there 's anything they 're not getting right -- or can improve -- with regards to firearms training . ``

News of the New York study , which will cost about half a million dollars and be paid for by the New York City Police Foundation , a charity that supports the Police Department , drew mixed responses from experts in firearms and police tactics .

Thomas A . Reppetto , a former president of the Citizens Crime Commission , said that bringing in an outside organization like RAND would likely inspire more public confidence , which has wavered of late , than an in-house Police Department review would .

But Dean Speir , who writes about firearms and tactics , asked why the Police Department had not undertaken such a review before , citing the death of Amadou Diallo , the unarmed West African immigrant whom officers shot at 41 times .

Another expert suggested that the money would be better spent on hands -on tactical training .

`` If you talk to cops , they 'll tell you people on the front line are starved for operational training , `` said Eugene O'Donnell , a professor of police studies at John Jay College of Criminal Justice .

But Paul J . Browne , a spokesman for the department , said that one purpose of the review was to determine whether the current training needed to be revamped .

He also noted that Mr. Kelly was not the police commissioner during the Diallo shooting .

`` What the commissioner wants is an independent assessment , '' Mr. Browne said .

`` If the training needs to be improved , he wants an independent assessment of what improvements are needed . '' .

Summary: New York City Police Dept commissions Rand Corp to do $ 500,000 independent review of its firearms training .

Summary: Will study instances when officers fire their guns , focusing on ` contagious shootings , ' or why one officer 's shot spurs others to shoot .

Summary: Police Comr Raymond W Kelly hopes to improve quality and effectiveness of training .

Summary: Photo .