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James Murdoch steps down from News International post

James Murdoch is stepping down as executive chairman of News International, News Corp.'s U.K. newspaper unit. He had held the post since March 2011.

Murdoch will retain his title as deputy chief operating officer of News Corp. His father, News Corp. chairman and CEO Rupert Murdoch, announced that James will handle "essential corporate leadership mandates" focusing on the company's pay television businesses and international operations, Bloomberg reported. James Murdoch has moved his office to News Corp.'s headquarters.

In July, James Murdoch relinquished his post as News International CEO after reports surfaced that journalists at News Corp.'s U.K. tabloids intercepted voice mails from a variety of individuals. James and Rupert Murdoch have appeared before Parliament to answer questions about how much they knew about the phone hacking. An Associated Press report noted that James Murdoch twice changed his story about what he knew and when he knew it after his initial testimony was contradicted by former News Corp. executives and a printout of a 2008 e-mail was made public.

James Murdoch will also continue as chairman of satellite broadcaster BSkyB. News Corp., which holds a 39% stake in BSkyB, abandoned its plans to take full control of the company in the wake of the phone hacking scandal.

Parliament's Culture Committee chairman, John Whittingale, said on Sky News, "If News International wanted to move on and start afresh, then [James Murdoch's] presence was always going to be a problem for them," according to the Bloomberg report. "They want to demonstrate that they are making a fresh start with fresh personnel. That doesn't necessarily mean that James Murdoch was guilty."

Louis Ureneck, a journalism professor at Boston University, told the Associated Press, "James's resignation was inevitable. He either condoned the hacking or was irresponsibly unaware, Neither is acceptable in a top executive of a media company."

Media analyst Charlie Beckett told the AP that the announcement is an attempt by the Murdoch family "to reassert some kind of control." Beckett pointed out that James Murdoch continues to oversee a major portion of News Corp.'s business. "He's not losing his job, he's being given an important role," Beckett told the AP. (Sources: Bloomberg, Feb. 29, 2012; Associated Press, Feb. 29, 2012.)

Family reunion marks Bacardi’s 150th anniversary

Nearly 600 members of the Bacardi family gathered in Puerto Rico over the weekend if February 4 and 5 to mark the company's 150th reunion, Caribbean Business reported. Bacardi is the world's largest privately owned spirits company.

The family, whose youngest members represent the eighth generation, gathered for a photo during the festivities. A bust of Bacardi founder Don Facundo Bacardi Masso, sculpted by family member Helena Bacardi, was unveiled at company headquarters, the article said.

Bacardi Limited Chairman Facundo L. Bacardi, a great-great grandson of the company founder, led other family members in the planting of a coconut palm to commemorate the original "el coco" that stood at the entrance of the first Bacardi distillery in Cuba and has long symbolized the Bacardi family's perseverance over adversity.

Puerto Rico Gov. Luis Fortuño proclaimed February 4 "Bacardi Day."

The company was founded in Santiago, Cuba, on Feb. 4, 1862. It now employs nearly 6,000 people and sells its products in more than 150 countries, according to the report. (Source: Caribbean Business, Feb. 6, 2012.)

Questions raised about Stryker CEO’s departure

Questions have arisen about the departure of Stryker Corp. CEO Stephen P. MacMillan, who resigned Feb. 8 after "apparently losing the confidence of some key board members," the Wall Street Journal reported.

The article cited an anonymous source who said the board members were troubled by news that MacMillan had a romantic relationship with an ex-employee while he was involved in divorce proceedings. His divorce isn't final, the article said. The Journal noted that it could not independently confirm the alleged affair.

MacMillan's resignation was initially said to be for "family reasons," according to the report. The Journal article said that an hour after the announcement, senior Stryker officials told stock analysts that MacMillan was involved with a former company employee.

Stryker was founded in 1941 by Dr. Homer Stryker. Members of the Stryker family own about 15% of the company. (Source: Wall Street Journal, Feb. 28, 2012.)

Peugeot discussing sale of 7% stake to GM

PSA Peugeot Citroen is negotiating a development alliance with General Motors Co. in which GM would acquire a 7% stake in the French automaker, Bloomberg reported.

Under the terms of the deal, GM would not acquire a larger stake without permission, although Peugeot may offer additional shares through a rights issue, the article said.

The two companies may develop engines and build vehicles together, according to the report. "GM, the world's largest carmaker, is looking for ways to turn around its unprofitable Opel brand, while Peugeot is seeking to stem a growing debt load," the report noted.

Peugeot has cooperated with BMW on engines for BMW's Mini brand, the Bloomberg article said. German analyst Juergen Pieper told Bloomberg that Peugeot is now in talks with GM because "Peugeot's dream partner, BMW, clearly wasn't interested."

Peugeot is 30% owned by the Peugeot family. Thierry Peugeot, great-grandson of co-founder Eugene Peugeot, is chairman. His relatives Roland, Robert and Jean-Philippe Peugeot and Marie-Helene Roncoroni serve with him on the board. The second-largest investor, with 5%, is Blackrock Inc. (Source: Bloomberg, Feb. 28, 2012.)

Seattle Times owner hopes to sell real estate

Frank Blethen, publisher of the family-owned Seattle Times is putting two real estate blocks up for sale, the Seattle Times reported.

Blethen told employees in an e-mail that the company would prefer to hold on to the property but is "testing the market" because real estate values in the area have rebounded, the article said.

Blethen also said the recession taught The Times Co. the value of liquidity, and the company may need more cash to make required payments into its employee pension plans.

The company's asking price totals $80 million, according to the Seattle Times report. One block contains a parking lot. The other includes a building that was the newspaper's headquarters for 80 years before the company moved into rented space, the article said.

Last year, the Times Co. sold two nearby properties, known as the Troy Laundry block and the 1000 Denny building, for a total of $54 million; the company is now the Denny building's tenant, the Seattle Times article said.

Blethen's e-mail to employees, which media blogger Jim Romenesko posted on his site, said:

Going into the Grat Recession, The Times had one significant liability -- our onerous bank debt. Thanks to each of you, our senior management team, and the Blethen family's willingness to sell the Troy block and the 1000 Denny building, we paid off most of this debt and refinanced a small portion of it on much more favorable terms.

(Sources: Seattle Times, Feb. 22, 2012;, Feb. 24, 2012.)

Akio Toyoda leads recovery from crises

recent profile of Toyota Motor Co. president Akio Toyoda in Fortune magazine noted that Toyoda, the grandson of the company's founder, "had coped remarkably well" in the aftermath of the devastating 2011 tsunami that halted production of its cars in Japan, and that the massive recalls of the company's cars in 2009, shortly after he took over, "had served as a wake-up call for a company grown complacent."

Author Alex Taylor III noted that Toyota, previously the world's largest automaker, in 2011 fell to third place in production behind General Motors and Volkswagen but is "connecting with customers again." He cited studies showing that Toyota cars are regaining a good reputation for quality and value.

Jeffrey Liker of the University of Michigan told Taylor that Toyoda "has reenergized the company."

Taylor reported that Toyoda frequently travels to the U.S. to meet with dealers and has personally taken charge of the Lexus brand, which has underperformed in Europe and is losing market share in the U.S.

The article said that Toyoda has revamped the company's management structure so that Japanese managers no longer tightly control all decisions. Toyoda also has reduced by half the number of directors on the board and removed layers of management. In addition, Taylor reported, Toyoda works closely with a group of five top executives.

Under Toyoda, the company no longer rotates its top executives among areas of the company; now they stay within their area of expertise, Taylor's report said. (Source: Fortune, Feb. 27, 2012.)

Ferrara Pan Candy in merger talks

Ferrara Pan Candy Co. of Forest Park, Ill., the maker of Lemonheads and Atomic Fireballs, is in merger discussions with Farley's & Sathers Candy Co. Salvatore Ferrara II, CEO of Ferrara, would head the combined company, Crain's Chicago Business reported.

Ferrara would sell a majority stake in the company to Farley's, according to the report. Farley's, which is based in Round Lake, Minn., is owned by private equity firm Catterton Partners Corp. Its brands include Brach's, Fruit Stripe gum and Chuckles.

A Chicago Tribune report noted:

The deal would come after a tumultuous year at Ferrara. In May 2011, three police officers responded to a disturbance call at Ferrara Pan's headquarters. After about 20 minutes, Ferrara willingly left the premises. No charges were filed, and there was no police report.

The Crain's article said that the disturbance resulted from "a family and board dispute." A Crain's report at the time of the incident said:

In an industry hard-hit by the recession, and in a family company that has seen shareholders multiply with the generations, some shareholders aren't happy with the amount of dividends they're seeing.

The May 2011 Crain's report cited lavish spending by Salvatore Ferrara II on luxury boxes at sporting events and parties for industry executives.

At the time of the board dispute, Ferrara denied any plans to sell, merge or add partners to the company, Crain's noted. That evidently changed after the death of his father, Nello Ferrara, on Feb. 3 at age 93, the article said. (Sources: Chicago Tribune, Feb. 22, 2012; Crain's Chicago Business, Feb. 22, 2012 and May 20, 2011.)

New Pritzker Group hire will oversee PE investments

The Pritzker Group, the Pritzker family's investment firm, has hired Paul Carbone, a managing partner at Baird Private Equity, to manage its private equity investments, the Chicago Tribune reported. The Pritzker Group is expected to invest more than $1 billion in PE funds in the next few years, the article said.

Tony Pritzker and J.B. Pritzker lead the Pritzker Group's private equity team, which focuses on mid-market buyouts of North American companies valued between $50 million and $400 million, the Tribune article said.

The report noted that while most PE firms' limited partners want to cash out at some point, "the Pritzker Group's private equity business manages only the family's money, so it isn't bound by any fund structure. That means that Carbone won't have to spend a significant amount of time trying to raise money from outside limited partners, rather focusing on making investments. And the Pritzker Group takes an uncommonly long time horizon, sometimes decades, for their investments." (Source: Chicago Tribune, Feb. 22, 2012.)

Analysts: Ackermans should loosen control over Pick n Pay

Analysts and fund managers say Australia's Ackerman family should loosen control over Pick n Pay Stores, Bloomberg reported. Pick n Pay is South Africa's second-largest supermarket chain and faces competition from Wal-Mart Stores. Pick n Pay is traded on the Johannesburg Stock Exchange.

The Ackerman family controls the company through its majority stake in Pick n Pay Holdings Ltd., the report noted. Gareth Ackerman became CEO in 2010. He succeeded his father, Raymond Ackerman, who founded the company in 1967.

Nick Badminton, who has been with Pick n Pay for 32 years and has been its CEO for five years, is leaving his position. The company said its search for a successor will include internal and external candidates, according to the report.

Analyst Syd Vianello told Bloomberg, "Pick n Pay's dividend policy has been unhealthy to the point where the company has struggled to fund normal growth."

Gareth Ackerman told Bloomberg the family has no plan to change the ownership structure.

The Public Investment Corp., which owns a 10.2% stake and is the largest shareholder after the Ackermans, has discussed corporate governance at the company, according to the Bloomberg report. The PIC operates on behalf of the Government Employees Pension Fund. No other shareholder owns more than 2%, the article said.

Fund manager David Couldridge of Element Investment Managers in Cape Town told Bloomberg that Pick n Pay's managers would have been more proactive in addressing the company's underperformance if the Ackermans did not have the "perpetual assurance" of retaining control. (Source: Bloomberg, Feb. 16, 2012.)

Fung brands buys Sonia Rykiel

Fung Brands, a luxury investment firm started by Hong Kong's Fung family, will acquire 80% of French fashion house Sonia Rykiel, the New York Times reported. The Rykiel family will own the remaining 20%.

Nathalie Rykiel, daughter of founder Sonia Rykiel, will be vice chariwoman of the board, the article said.

Sonia Rykiel founded the fashion house in 1968. Fung Brands, which is based in London, is a unit of the private investment arm of the families of brothers Victor and William Fung, who control the Li and Fung trading group. (Source: New York Times, Feb. 20, 2012.)

Phila. restaurant family in legal feud

The DiStefano family, owners of the Victor Café in Philadelphia, have been embroiled in a lengthy legal feud, the Philadelphia Inquirer reported. The restaurant, a South Philadelphia landmark, is known for its opera-singing waiters. It was founded in 1920 by John and Rose DiStefano as an RCA Victor franchise that sold phonographs and evolved into a restaurant for opera lovers. Opera stars such as Mario Lanza and Luciano Pavarotti have sung there.

In July 2009, matriarch Lola DiStefano -- John DiStefano's daughter-in-law -- revoked the power of attorney she had given her eldest daughter, Patricia DiStefano, a year and a half earlier, according to the Inquirer report. Patricia had returned to Philadelphia from California to help her mother with the restaurant. The feud began when Patricia wanted her mother to move to a retirement facility, the article said.

Another daughter, Pamela Packer, moved Lola DiStefano out of the retirement home and introduced her mother to an attorney. Shortly thereafter, Lola DiStefano signed documents giving control of the restaurant to the lawyer and placing her assets in an irrevocable trust that gave the attorney control over her holdings and a lucrative fee.

Shortly thereafter, Patricia DiStefano sued to overturn the documents. Witnesses called by her attorney said the restaurant had suffered financial difficulties before she returned from California, when it was being run by her brother Gregory DiStefano. The other siblings said Patricia was a manipulator who wanted to take the restaurant from their mother and keep them away from it. Another sibling, Claudia Rudner, claimed Patricia had fired her.

A judge overturned the trust and a power of attorney. Lola DiStefano, 89, who had been videotaped as she signed the documents, appeared "misinformed and confused" on the tape, the article said.

A settlement has been arranged in which the restaurant will be sold to Gregory DiStefano and Lola DiStefano will be ensured a steady income strain, the Inquirer article said. (Source: Philadelphia Inquirer, Feb. 20, 2012.)

Dassault seen as hindering industry consolidation in France

India's air force recently chose France's Dassault to make its fighter jets. But competitors and analysts say the company's family-controlled status is hindering consolidation in the country's defense industry, the Financial Times reported. The French government "has long acknowledged that its arms industry must consolidate," the article said.

Dassault also owns Le Figaro newspaper.

An aerospace analyst at Société Générale told the FT that the India contract "clearly gives Dassault a deeper hold over France."

"Rivals say the family is motivated more by profit than by what makes sense for the French state," the article said. (Source: Financial Times, Feb. 16, 2012.)

Empire State Building family plans IPO

Empire State Realty Trust Inc., the company that controls the Empire State Building, plans to list its shares on the New York Stock Exchange, Crain's New York Business reported. The company plans to raise up to $1 billion by selling shares and plans to form a real estate investment trust by consolidating a group of closely held companies as part of the IPO, the article said.

Malkin Holdings is the supervisor of the company that holds the title to the tower. The company supervises property-owning partnerships led by Peter Malkin and his son Anthony Malkin. Malkin Holdings owns the Empire State Building in conjunction with the estate of Leona Helmsley, the article said. (Crain's New York Business, Feb. 13, 2012.)

Samsung chairman sued by his brother

Lee Kun-Hee, chairman of Samsung, is being sued by his brother over an inheritance from their father, BBC News reported.

Lee Maeng-Hee, 80, filed suit against Lee Kun-Hee, 70, for 700 billion Korean won ($623 million), the article said.

Lee Kun-Hee is accused of keeping the inheritance -- 8 million shares in Samsung Life Insurance and 20 shares in Samsung Electronics -- for himself, according to the BBC report.

Court documents filed by Lee Maeng-Hee said "the stocks ... were assets put in a trust under the name of non-heirs, and they should have been apportioned to the heirs according to law." (Source: BBC News, Feb. 14, 2012.)

Murdoch’s senior lawyer added to team investigating Sun

Gerson Zweifach, Rupert Murdoch's senior lawyer, has been added to News Corp.'s internal management and standards committee, the Financial Times reported. The move follows the arrests of nine journalists at The Sun, a Murdoch newspaper, on charges of bribery.

The article said that Murdoch has no plans to close or sell The Sun. It also noted that tensions are brewing between Murdoch and his reporters, who had viewed him as a champion of his newspapers.

Observers have speculated that News Corp.'s board might press Murdoch to close or sell the newspapers or spin off News International, the company's U.K. newspaper unit. But the FT report said the company's independent directors were not advocating such steps. (Source: Financial Times, Feb. 15, 2012.)

Bakries: Rothschild can stay on Bumi board

Indonesia's Bakrie family and their partner, Samin Tan, have withdrawn their demand for a meeting to remove financier Nat Rothschild and other directors from the board of PT Bumi Resources, the Financial Times reported. They said Rothschild can remain on the board if he steps down as co-chairman and stops being a "disruptive influence." They plan to make their proposal at a board meeting scheduled for March 26, the article said.

Rothschild's relationship with the Bakries soured after he called for a shakeup of the company, the FT report noted. (Source: Financial Times, Feb. 15, 2012.)

Liliane Bettencourt leaves L’Oreal board

Liliane Bettencourt, daughter of the founder of L'Oréal, has stepped down from the board of the cosmetics company. Her 25-year-old grandson Jean-Victor Meyers will replace her.

In October, a judge ruled that Bettencourt, 89, was unfit to run her own affairs and ordered her to be placed under the guardianship of her daughter, Françoise Bettencourt-Meyers, and her two grandsons. According to the Financial Times, a medical report said she had "modestly severe" Alzheimer's disease and "mixed dementia."

Bettencourt-Meyers and her husband, Jean-Pierre Meyers, serve on L'Oréal's board. The family, which owns a 31% stake in the company, are the largest shareholders, the FT report noted.

Bettencourt and her daughter had been engaged in a legal feud that escalated into a political scandal. A French prosecutor has announced that President Nicolas Sarkozy's former party treasurer is under investigation for alleged influence peddling as part of an inquiry into Bettencourt's role in political funding, the FT article said. (Source: Financial Times, Feb. 14, 2012.)

Bulgari family reduces its stake in LVMH

Brothers Paolo and Nicola Bulgari and their nephew Francesco Trapani have sold a 558 million euro stake in LVMH, the Financial Times reported.

The Bulgari family acquired the stake when they sold their Italian jewelry company to LVMH in March 2011. Trapani is now head of LVMH's watches and jewelry division.

The FT report said the family "decided to reduce their stake after a strong rise in the shares in the past year and a strong set of results" for LVMH. (Source: Financial Times, Feb. 7, 2012.)

Gordon Food Service acquires Perkins

Gordon Food Service, a family company that is the U.S.'s fourth-largest foodservice distributor, will acquire the Perkins restaurant supply business, a 97-year-old family firm based in Taunton, Mass.The Patriot Ledger reported that the acquisition enables Gordon Food Service to increase its presence in the New England market. Gordon will keep the Perkins name, at least for the time being, and has no immediate plans to cut jobs, according to the report.

The Michigan website said third-generation members Gary and Larry Perkins will continue to lead Perkins' 635-member workforce.

Perkins began in 1915 as a clothing store and then branched out into the supply business by selling paper and twine to other local merchants. Perkins entered the food service market in the 1980s when the Mister Donut chain, later sold to Dunkin' Donuts, asked the company to deliver food ingredients, the Patriot Ledger article said.

Perkins had acquired more than 20 companies in the past decade, the Patriot Ledger article said. (Sources: Patriot Ledger, Feb. 2, 2012;, Feb. 6, 2012.)

Bakrie family seeking to oust Rothschild from Bumi board

Indonesia's Bakrie family and their partner, businessman Samin Tan, have demanded a meeting of shareholders in coal mining firm Bumi to oust Nat Rothschild and four other directors, the Financial Times reported. The Bakries and Tan together control a 29.9% voting stake in the company. Rothschild, a member of the legendary banking family, owns nearly 12% of Bumi.

The Bakrie Group, the family's conglomerate, was forced to sell a stake in Bumi to Tan's company last November to avoid default on a $1.35 billion loan, the report noted. Rothschild had never met Tan, a subsequent FT report noted.

In November 2010 Vallar, a Rothschild shell company, bought into the Bakrie family's PT Bumi Resources in a reverse takeover. Vallar was renamed Bumi plc, the article said.

The Bakries and Tan want a Bakrie family associate, Nalinkant Amratlat Rathod, to replace Ari Hudaya, CEO of PT Bumi Resources and Bumi plc. They also want Tan and Indra Bakrie, leader of the family conglomerate, to be co-chairman of the company and are seeking the removal of the CFO and of a Rothschild associate, the article said.

The FT report said that relations between the Bakries and Rothschild began to sour last year when Rothschild called for a "radical cleaning up" of corporate governance at PT Bumi Resources.

The FT cited an anonymous source who said the most of the Bakries' and Tan's demands were uncontroversial and could have been approved without a shareholder vote, but the idea of ousting Rothschild from the board was more contentious. "The remarks suggest that the Indonesians could face unexpected resistance in seeking to extend their representation on the Bumi board," the article said. (Sources: Financial Times, Feb. 4-5, 2012; Feb. 6, 2012.)


Australian mining heiress increases stake in media firm

Gina Rinehart, Australia's richest person and the daughter of the founder of Hancock Prospecting, has paid A$146 million (U.S. $156 million) to increase her stake in Fairfax Media, publisher of the Sydney Morning Herald, from 4.9% to 12.6%, the Financial Times reported.

The report noted that Rinehart is a climate change skeptic and was active in the mining industry's successful effort to stop a tax on the industry.

The FT article cited Sydney Morning Herald columnist Adele Ferguson, who wrote, "Rinehart has extreme views on the future of Australia and like her father, the late Lang Hancock, she believes the media is the most effective way to influence change."

Gerard Henderson, executive director of the Sydney Institute, told the FT that a minority owner has little chance to influence editorial policy and that someone of Rinehart's wealth has significant political influence even without ownership of a media outlet. (Source: Financial Times, Feb. 6, 2012.)

Benetton family seeks to take the company private

The Benetton family is seeking to take the Benetton Group private by buying the shares it doesn't already own, the New York Times' DealBook column reported.

Edizione Holding, the family's investment company, plans to offer 277 million euros ($363 million) for the 33% of the Italian fashion chain it doesn't already own, DealBook reported, citing a statement issued by Edizione. Benetton is based in Ponzano, in Northern Italy.

"The step follows a recent profit warning by the company for last year and speculation that the Benetton Group could be acquired by the Spanish clothing giant Inditex, which owns the Zara brand," the DealBook article said.

Benetton was founded by Luciano Benetton and three siblings in 1965 and is now run by Luciano's son Alessandro Benetton. (Source: DealBook, New York Times, Feb. 2, 2012.)

Menasha Packaging acquires Chicago-based family firm

Menasha Packaging Company LLC has acquired The Strive Group, a Chicago-based, family-owned integrated merchandising supply chain company, according to BizTimes Daily of Milwaukee and Southern Wisconsin.

The acquisition makes Menasha the largest independent U.S. provider of in-store promotions to retailers and consumer packaged goods, according to the report.

Both Menasha and Strive focus on the food, household and personal care markets and provide design, manufacturing, fulfillment and logistics services, the article said. (Source: BizTimes Daily, Feb. 1, 2012.)

Mukesh Ambani’s company launches $2 billion share buy-back

Reliance Industries, Mukesh Ambani's oil, gas and petrochemicals group, launched a $2 billion share buy-back, the Financial Times reported.

The report called it "the largest share buy-back in Indian corporate history" and said the move was made "to stem investor concerns about sagging performance and wayward management focus." The article said the group's share price fell by 35% in 2011.

Behind this lie deeper concerns that Mr. Ambani may be straying from his plan of building India's first global oil and gas major, amid persistent speculation about tie-ups with his younger brother Anil Ambani's half of the divided Reliance empire.

(Source: Financial Times, Feb. 2, 2012.)

Third-generation restaurateur receives award

Hans Schuler, third-generation chairman and CEO of Schuler's Restaurant & Pub in Marshall, Mich., has been named the inaugural recipient of the National Restaurateur of the Year award, presented by Independent Restaurateur magazine.

The restaurant is now in its 103rd year. The magazine noted, "In a challenging economy and changing marketplace, the iconic restaurant continues to thrive while evolving with the times." (Source: Independent Restaurateur, Feb. 1, 2012.)

News Corp. lawyers: E-mail was deleted

Lawyers for News Corp. said that an e-mail to James Murdoch that mentioned widespread phone hacking was deleted from his computer less than two weeks before a police investigation into the hacking.

The law firm, Linklaters, said in a letter to the House of Commons committee investigating the hacking scandal that the deletion was part of an "e-mail stabilization and modernization program," the New York Times reported.

Murdoch has said that he received and answered the e-mail but did not scroll all the way through the e-mail chain and thus did not read everything in it.

The Times article said that "new intimations that the company may have purposely destroyed evidence are raising questions about whether the company might be investigated for obstruction of justice."

The Wall Street Journal, which is owned by News Corp., reported that "Parliament had asked the company for more information about the e-mail after a printed copy of it surfaced last year." The law firm said there were copies of the e-mail on two of Murdoch's laptops and on his personal assistant's computer, the Journal article reported.

The lawyers also said that an electronic copy of the e-mail was deleted from the inbox of former News of the World editor Colin Myler "in a hardware failure," according to the Journal report. (Sources: New York Times, Feb. 1, 2012; Wall Street Journal, Feb. 2, 2012.)

McGraw-Hill considering sale of education business

McGraw-Hill is exploring the possibility of selling its education business, the Financial Times reported. The company previously announced that it would split the division form its Standard & Poor's financial unit. After that announcement, private equity groups expressed interest in the education business, according to the FT report. (Source: Financial Times, Feb. 1, 2012.)

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