MADRID (AP) — After another brutal year of economic hardship, Spaniards across the country are hoping for relief when the country's famed Christmas lottery — the world's richest — pays out €2.5 billion ($3.3 billion) in tax-free awards on Saturday.
Almost everyone in the country of 46 million people will be glued to live TV to watch school children sing out the winning numbers for the lottery that pays out maximum prizes of €400,000 ($529,840) and many more for smaller amounts. The top prize is dubbed "El Gordo" ("The Fat One") and is likely to be won by hundreds if not thousands of players.
Unlike other big lotteries that generate just a few big winners, Spain's lottery — now in its 200th year — has always aimed for a share-the-wealth-system rather than a single jackpot, and thousands of numbers yield at least some kind of return.
The Christmas lottery is so popular that there are frequently three €20 ($26) tickets sold for every Spaniard, and the lottery itself is the unofficial kickoff of the holiday season.
"A lot of people win," said Pablo Foncillas, a marketing professor at the IESE Business School in Madrid. "It's really common even if you don't win to get a free ticket. So many people win that people just keep on playing. Everyone knows someone who's won, even if it's only a little bit."
Hundreds of players lined up daily to buy tickets this week outside the Dona Manuelita lottery store in Madrid, which has often sold winning tickets. Before Spain's property-led economic boom collapsed in 2008, they had hoped to win so they could buy a small apartment or a car. Now people said they need the money just to hang on to what they have and avoid being evicted or having cars repossessed.
Betting that tickets from Dona Manuelita stood a better chance of winning, unemployed construction company office manager Miguel Angel Ruiz drove 165 kilometers (102 miles) to buy for a pool of players including his wife and relatives.
"We're buying more hoping we'll hit it so we can emerge from poverty," said Ruiz, 39. "Before the crisis, lottery winnings were to buy an apartment or a car, and now it's to pay debts."
Diego Sanbrano, let go from his waiter's job two months ago, said the Spanish lottery isn't about getting rich and never working again.
"It's to pay off debts and straighten out your life," he said. "You pay the mortgage and make the car payment, and then maybe you have a little left over to go somewhere on vacation."
Since so many people chip in to buy tickets in groups, the top prizes frequently end up being handed out in the same small town or in one city neighborhood. Last year's top winning number hit for 1,800 tickets in the northern town of Granen, population 2,000. Townspeople shared about €700 million ($925 million), and the rest of the €1.8 billion ($2.4 billion) was doled out in smaller prizes around Spain.
The Dec. 22 lottery began in 1812 and last year sold an estimated €2.7 billion ($3.6 billion) in tickets with per-capita spending of about €70 ($92) just for the Christmas lottery.
Spain holds another big lottery Jan. 6 to mark the Feast of the Epiphany. It is known as "El Nino" (The Child), in reference to the baby Jesus.
But the crisis will hit El Nino and all lotteries going forward. Until now, lottery winnings have been free from taxation. Waves of austerity measures imposed by the government this year to prevent Spain from asking for public finances bailout like those for Greece, Ireland and Portugal have translated into higher taxes. Lottery winnings above €2,000 ($2,640) will face a 20 percent tax in 2013.
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Hurting Spaniards celebrate Christmas lottery wins
Labels: BusinessMADRID (AP) — Winners of Spain's cherished Christmas lottery — the world's richest — celebrated Saturday in more than a dozen locations where the top lucky tickets were sold, a moment of uplift for a country enduring another brutal year of economic hardship.
The lottery sprinkled a treasure chest of €2.5 billion ($3.3 billion) in prize money around the country. Champagne corks popped and festive cheer broke out in 15 towns or cities where tickets yielding the maximum prize of €400,000 ($530,000), known as "El Gordo" ("The Fat One,)" had been bought.
A total of €520 million ($687 million) was won in the eastern Madrid suburb of Alcala de Henares alone. Among the top-prize winners were 50 former workers at metal parts factory Cametal who had formed a pool to buy tickets. Their company had filed for bankruptcy and ceased paying wages five months ago.
"I'm bursting with joy, I haven't fully taken it in yet," said local resident Josefina Ortega. "When others win you think to yourself it'll never happen to you, but it has."
Unlike lotteries that generate a few big winners, Spain's version — now celebrating its 200th anniversary — has always shared the wealth more evenly instead of concentrating on vast jackpots, so thousands of tickets yield some kind of return.
Almost all of Spain's 46 million inhabitants traditionally watch at least some part of the live TV coverage showing school children singing out winning numbers for the lottery
It is so popular that frequently three €20 ($26) tickets are sold for every Spaniard and many consider lottery day as the unofficial kickoff of the holiday season.
Before Spain's property-led economic boom collapsed in 2008 ticket buyers often yearned to win so they could buy a small apartment by the beach or a new car. Now people said they needed money just to get by, or to avoid being evicted from their homes.
Though ticket sales were down 8.3 percent on last year, according to the National Lottery, in the days preceding the draw hundreds of people lined up to buy tickets outside outlets that have sold winning tickets before.
Dolores Perez and Teresa Palacio, two lottery outlet workers in north Madrid who sold a top-prize ticket celebrated with sparkling wine as curious neighbors gathered. The fortunate winner had yet to make an appearance.
"I had never sold a Christmas 'Gordo' before; I almost thought it didn't exist," said Perez, smiling broadly. "I'm so happy, I've worked here for 30 years and never before sold a 'Gordo,' until now."
Since so many people chip in to buy tickets in groups, top prizes frequently end up being handed out in the same small town or in one city neighborhood.
Last year's top winning number hit for 1,800 tickets in the northern town of Granen, population 2,000. Townspeople shared about €700 million ($925 million), and the rest of the €1.8 billion ($2.4 billion) was doled out in smaller prizes around Spain.
Spain holds another big lottery Jan. 6 to mark the Feast of the Epiphany. It is known as "El Nino" (The Child), in reference to the baby Jesus.
But the crisis will hit El Nino and all lotteries going forward. Until now, lottery winnings have been free from taxation, but now prizes above €2,000 ($2,640) will be liable to a 20 percent tax in 2013.
The government has imposed stinging austerity measures this year in a bid to prevent Spain from asking for a full-blown bailout like those granted to Greece, Ireland, Portugal and Cyprus. Spain's unemployment stands at 25 percent and its economy is sinking into a double-dip recession.
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Working-class neighborhood in Madrid wins "El Gordo" lottery
Labels: BusinessMADRID (Reuters) - Unemployed Spaniards in a highly indebted commuter town in the outskirts of Madrid celebrated with joy after sharing the top prize in "El Gordo", the world's biggest lottery.
The 200-year-old Christmas draw doled out more than 2.5 billion euros ($3.3 billion) in prizes, with a top individual prize of 4 million euros. The smallest ticket, known as a "decimo" wins a tenth of the prize and costs 20 euros.
Millions of Spaniards living through tough economic times had hoped to pocket part of "The Fat One" although spending in the Christmas lottery dipped heavily this year.
Winning in 2012 was particularly sweet, not just because Spain is suffering its second recession in three years and one in four of the workforce is jobless, but also because 2012 is the last year winners will pay no tax on their takings.
Spain's centre-right government, which has introduced austerity measures this year to shrink its public deficit, ruled that from next year those who win over 2,500 euros will pay 20 percent to the state.
Javier Hernando, a middle-aged owner of a bar in Alcala de Henares, 35 km (20 miles) northeast of Madrid, said the prize would allow him to look at life differently, as European authorities press countries on the periphery of the euro zone to raise the age of retirement.
Luis, a 28-year-old unemployed electrician, said he would spend the money on buying a flat.
The lottery tickets are sold in thousands of official kiosks across Spain and local bars and shops often sell decimos. This year over 27 million individual prizes will be awarded.
The lottery, which dates back to 1812, is an important Christmas tradition in Spain, with many families, offices and bar regulars clubbing together to buy a full ticket for 200 euros.
Sales dipped 8 percent this year to 2.47 billion euros compared to a 0.5 percent drop in 2011.
"It is no wonder that sales have gone down taking into account the economic situation we are going through. We are in crisis, people are out of work and have no income," said a spokeswoman for the National Lottery.
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Florida governor asks Obama to block possible ports strike
Labels: BusinessMIAMI (Reuters) - Florida's Republican governor wants President Barack Obama to invoke federal law and order a cooling-off period if nearly 15,000 longshoremen walk off the job in a looming strike that would be a big blow to the state's economy, according to a letter he sent the president this week.
The International Longshoremen's Association union and the U.S. Maritime Alliance grouping of shippers and ports have been bargaining since March but reportedly remain far from a deal covering cargo handling at 15 ports on the U.S. Gulf and eastern coasts.
In October, when a previous contract expired, the sides agreed to a 90-day extension of terms that runs out on December 29.
Florida ports in Miami and Fort Lauderdale would be directly hit by a strike or lockout but a stoppage would also rattle overall transport and trade, which accounts for 550,000 jobs in the state and $66 billion in economic activity, Florida Governor Rick Scott said in a letter dated Thursday.
"The threat to national safety and security that would result from mass closure of ports cannot be overstated," Scott told Obama.
Scott said Obama had the power under 1947's Taft-Hartley Act to prevent or interrupt a work stoppage at the ports. Presidents Richard Nixon and George W. Bush both used Taft-Hartley, which calls for 80-day cooling-off periods and mediation, Scott said.
"The Taft-Hartley Act provides your administration with tools that can help avoid this threat," Scott said. "On behalf of the State of Florida, I respectfully request that you invoke the act when the contract ... expires at the end of the month."
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Obama starts Hawaiian vacation, leaving Washington on ice
Labels: BusinessKAILUA, Hawaii (Reuters) - Taking what promised to be a very brief Christmas break from the ongoing struggle to avoid the "fiscal cliff" of tax hikes and spending cuts, President Barack Obama relaxed with his family on Saturday at a beach retreat in Hawaii.
Congress was to return to Washington next Thursday and Obama has pledged to work with lawmakers to strike a deal to avoid the economic shock from tax and spending measures set to take effect on January 1 if a deal can't be reached, which many economists say could push the U.S. economy back into recession.
The president is expected to indulge in some of his favorite pastimes on the island where he was born and raised: golf, an expedition for the local treat "shave ice," and an evening out with family and friends. He hit the links at the nearby Marine Corps base under sunny skies on Saturday afternoon.
On Sunday, he is expected to attend funeral services for Senator Daniel Inouye, the long-serving Democrat from Hawaii who died on Monday, but the president has no other public events on his schedule.
On Saturday, Democratic Senate Majority Leader Harry Reid said he had urged Hawaii Governor Neil Abercrombie, a Democrat, to name Inouye's successor "with due haste."
"It is critically important to ensure that the people of Hawaii are fully represented in the pivotal decisions the Senate will be making before the end of the year," Reid, of Nevada, said in a statement.
Obama's idyll was not expected to last more than four days, and he will likely retrace the more than 4,800-mile trip from the Aloha State to Washington after Christmas in a bid to cut a deal with Republicans, who failed on Thursday to agree on competing tax and spending bills of their own.
Before leaving Washington on Friday evening, Obama urged Congress to come up with a stopgap measure to spare the U.S. economy the jolt of $600 billion in tax increases and spending cuts economists say would likely derail the economy.
The president asked lawmakers for a stripped-down deal to continue lower tax rates on middle income earners and extend unemployment insurance benefits to avoid some of the worst effects of the "fiscal cliff" in the new year.
Obama's family holiday, in a quiet beach front community on the other side of the island from bustling Honolulu, should also provide some respite from the somber focus on the Newtown, Connecticut, school massacre and the consequent bitter debate over measures to change America's gun culture and prevent violence.
The president's weekly radio and Internet addresses, which in recent weeks have centered on his argument for extending tax cuts for all but the wealthiest Americans, on Saturday offered holiday greetings to U.S. military forces.
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Cleared Minnesota college coach fights suspension
Labels: SportsMINNEAPOLIS (AP) — A Minnesota college football coach who was cleared of child porn charges is fighting a suspension, his union said Thursday, although neither it nor the university would say what prompted the punishment or shed light on his prospects for reinstatement.
Coach Todd Hoffner received a written notice from Minnesota State University, Mankato late Tuesday afternoon about a 20-day unpaid suspension that begins Jan. 7, the general counsel for the Inter Faculty Organization said in an email to The Associated Press. Connie Howard said the union has filed a grievance challenging the suspension.
Hoffner was put on paid administrative leave after videos of his naked children were found on his university-issued cellphone in August. A judge ruled Nov. 30 that the videos were not pornographic and dismissed the felony charges against Hoffner, accepting his testimony that the videos merely showed his children acting silly after a bath.
"The grievance charges that the university failed to follow progressive discipline and did not have just cause to issue the suspension," Howard wrote. She declined to provide further details and would not say what reason the university gave for Hoffner's suspension, whether it was related to the videos or what his prospects might be for being reinstated as head coach of the Mavericks.
The MnSCU system has a policy prohibiting the use of university-issued cellphones or mobile devices for personal business.
Hoffner was beginning a new four-year contract when he was escorted off a practice field in August, a few days after he returned his malfunctioning phone to the school. University technicians found the videos and notified university officials, who contacted police. Hoffner was not allowed back and had to miss the Mavericks' 13-1 season, including their appearance in the NCAA Division II semifinals Dec. 8. He had a 34-13 record in his first four years at Mankato.
Minnesota State issued a brief statement Wednesday night saying Hoffner's administrative leave ended Monday and he remains on the university's payroll, but Aaron Keen remains acting coach.
"One complaint against the football coach was investigated and the investigation has been completed. One complaint against Mr. Hoffner is pending and is under investigation," the statement said without elaboration.
University spokesman Dan Benson, citing privacy laws, told the AP he couldn't comment on the nature of the complaints.
"The word 'reinstated' would not be accurate," Benson said. "He is no longer on leave. He remains on the payroll ... but he has not assumed duties as the head football coach again at this time."
Hoffner could not be reached immediately for comment Thursday. He does not have a listed phone number. His civil attorney, Chris Madel, was in court and unavailable Thursday. His attorney for the criminal case, Jim Fleming, said he was not directly involved in the personnel case.
Minnesota State athletics director Kevin Buisman did not immediately return a call seeking comment Thursday.
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Coach Todd Hoffner received a written notice from Minnesota State University, Mankato late Tuesday afternoon about a 20-day unpaid suspension that begins Jan. 7, the general counsel for the Inter Faculty Organization said in an email to The Associated Press. Connie Howard said the union has filed a grievance challenging the suspension.
Hoffner was put on paid administrative leave after videos of his naked children were found on his university-issued cellphone in August. A judge ruled Nov. 30 that the videos were not pornographic and dismissed the felony charges against Hoffner, accepting his testimony that the videos merely showed his children acting silly after a bath.
"The grievance charges that the university failed to follow progressive discipline and did not have just cause to issue the suspension," Howard wrote. She declined to provide further details and would not say what reason the university gave for Hoffner's suspension, whether it was related to the videos or what his prospects might be for being reinstated as head coach of the Mavericks.
The MnSCU system has a policy prohibiting the use of university-issued cellphones or mobile devices for personal business.
Hoffner was beginning a new four-year contract when he was escorted off a practice field in August, a few days after he returned his malfunctioning phone to the school. University technicians found the videos and notified university officials, who contacted police. Hoffner was not allowed back and had to miss the Mavericks' 13-1 season, including their appearance in the NCAA Division II semifinals Dec. 8. He had a 34-13 record in his first four years at Mankato.
Minnesota State issued a brief statement Wednesday night saying Hoffner's administrative leave ended Monday and he remains on the university's payroll, but Aaron Keen remains acting coach.
"One complaint against the football coach was investigated and the investigation has been completed. One complaint against Mr. Hoffner is pending and is under investigation," the statement said without elaboration.
University spokesman Dan Benson, citing privacy laws, told the AP he couldn't comment on the nature of the complaints.
"The word 'reinstated' would not be accurate," Benson said. "He is no longer on leave. He remains on the payroll ... but he has not assumed duties as the head football coach again at this time."
Hoffner could not be reached immediately for comment Thursday. He does not have a listed phone number. His civil attorney, Chris Madel, was in court and unavailable Thursday. His attorney for the criminal case, Jim Fleming, said he was not directly involved in the personnel case.
Minnesota State athletics director Kevin Buisman did not immediately return a call seeking comment Thursday.
Finding the right footwear a constant challenge for offensive lineman Sewell
Labels: SportsWhen Matt Sewell starts the season with a new pair of football cleats, he'll go to great lengths to make sure they last.
The McMaster Marauders hulking offensive lineman isn't superstitious or especially finicky about his footwear. It's just with size 17 feet, finding shoes that fit is a constant challenge.
So when the six-foot-eight, 340-pound Sewell gets his hands on a suitable pair of shoes, he goes the extra mile to ensure they stand the test of time.
"Shoes in general are hard to find but (football) cleats are probably the hardest," he said with a chuckle. "Once I find a pair I stick with them until they're completely gone.
"I just tape them up and hopefully they don't fall apart during the game because if I wanted a new pair of cleats it would be tough to find in mid-season.''
With size 17 shoes a rarity in the bargain bin, Sewell often surfs the net looking for footwear and orders them online. That will be put on hold shortly as Sewell will spend Christmas with his family in Mexico.
But only for a week. Then Sewell will resume his search ahead of what promises to be a very busy off-season.
Sewell is being considered to play in the 2013 East-West Shrine Game on Jan. 19 at Tropicana Field in St. Petersburg, Fla. If chosen to play, Sewell will receive pro level coaching during the week-long practices and work out under the watchful eye of scouts representing teams on both sides of the border.
CFL teams are very aware of Sewell, who earlier this month was ranked second among the top-15 ranked prospects for this year's Canadian draft by the league's scouting bureau. Not only will Sewell be put through his paces by CFL scouts at the league's annual evaluation camp in Toronto but he'll also spend a lot of time answering questions in head-to-head interviews.
NFL teams have also reportedly taken note of Sewell's size and quick, nimble feet, which could also result in further workouts and interviews.
Add to that regular training sessions and it's shaping up to be a hectic off-season for Sewell as he auditions for the next phase of his football career.
"I'm looking forward to it," he said. "It should be an exciting few months for me and I think things will work out.''
Growing up in Milton, Ont., Sewell said he was more a fan of the sport than a specific team and thus has no real preference as to where he might start his pro career.
Sewell was an all-Canadian in 2012 for a second straight year and helped lead McMaster to another Vanier Cup appearance. The Marauders beat Laval 41-38 in double overtime to win a thrilling 2011 Vanier Cup final at B.C. Place before the Rouge et Or exacted some revenge by downing the Marauders 37-14 in last month's rematch at Rogers Centre.
Sewell played left tackle at McMaster, given the important task of protecting Hec Crighton Trophy-winning quarterback Kyle Quinlan's blind side. It's a position he'd like to line up at in the pro ranks.
"I think I have the body shape more for a tackle," he said. "When I was growing up all the minor coaches would tell me, 'If you're going to play offensive line, play left tackle,' and I've always played that position through my entire career.''
Sewell said working under the guidance of McMaster offensive line coach Jason Riley — a former CFL player with Montreal, Saskatchewan and Hamilton, — he feels he's ready to move up to the next level.
"Coach Riley is a high school teacher by nature so he liked to teach us," Sewell said. "He certainly knows what he's talking about.''
Sewell has also shown he can overcome physical adversity.
During his high school career he suffered a knee injury that forced him to the sidelines. After completing his rehab, Sewell opted to attend a prep school in Massachusetts to not only play another year but make sure all was right with his knee.
Convinced it was, he returned to Ontario the following year looking to go to school near home and settled upon McMaster.
"I'm very proud of that (overcoming knee injury), I actually put a lot of work into it," he said. "Football has been great at Mac but most important for me was everything outside of football.
"I've been able to accomplish a lot (in football) but the biggest thing for me is I'm going to be able to graduate with a degree in commerce from one of the top business programs in the country. I think that's the greatest achievement from my university career.''
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The McMaster Marauders hulking offensive lineman isn't superstitious or especially finicky about his footwear. It's just with size 17 feet, finding shoes that fit is a constant challenge.
So when the six-foot-eight, 340-pound Sewell gets his hands on a suitable pair of shoes, he goes the extra mile to ensure they stand the test of time.
"Shoes in general are hard to find but (football) cleats are probably the hardest," he said with a chuckle. "Once I find a pair I stick with them until they're completely gone.
"I just tape them up and hopefully they don't fall apart during the game because if I wanted a new pair of cleats it would be tough to find in mid-season.''
With size 17 shoes a rarity in the bargain bin, Sewell often surfs the net looking for footwear and orders them online. That will be put on hold shortly as Sewell will spend Christmas with his family in Mexico.
But only for a week. Then Sewell will resume his search ahead of what promises to be a very busy off-season.
Sewell is being considered to play in the 2013 East-West Shrine Game on Jan. 19 at Tropicana Field in St. Petersburg, Fla. If chosen to play, Sewell will receive pro level coaching during the week-long practices and work out under the watchful eye of scouts representing teams on both sides of the border.
CFL teams are very aware of Sewell, who earlier this month was ranked second among the top-15 ranked prospects for this year's Canadian draft by the league's scouting bureau. Not only will Sewell be put through his paces by CFL scouts at the league's annual evaluation camp in Toronto but he'll also spend a lot of time answering questions in head-to-head interviews.
NFL teams have also reportedly taken note of Sewell's size and quick, nimble feet, which could also result in further workouts and interviews.
Add to that regular training sessions and it's shaping up to be a hectic off-season for Sewell as he auditions for the next phase of his football career.
"I'm looking forward to it," he said. "It should be an exciting few months for me and I think things will work out.''
Growing up in Milton, Ont., Sewell said he was more a fan of the sport than a specific team and thus has no real preference as to where he might start his pro career.
Sewell was an all-Canadian in 2012 for a second straight year and helped lead McMaster to another Vanier Cup appearance. The Marauders beat Laval 41-38 in double overtime to win a thrilling 2011 Vanier Cup final at B.C. Place before the Rouge et Or exacted some revenge by downing the Marauders 37-14 in last month's rematch at Rogers Centre.
Sewell played left tackle at McMaster, given the important task of protecting Hec Crighton Trophy-winning quarterback Kyle Quinlan's blind side. It's a position he'd like to line up at in the pro ranks.
"I think I have the body shape more for a tackle," he said. "When I was growing up all the minor coaches would tell me, 'If you're going to play offensive line, play left tackle,' and I've always played that position through my entire career.''
Sewell said working under the guidance of McMaster offensive line coach Jason Riley — a former CFL player with Montreal, Saskatchewan and Hamilton, — he feels he's ready to move up to the next level.
"Coach Riley is a high school teacher by nature so he liked to teach us," Sewell said. "He certainly knows what he's talking about.''
Sewell has also shown he can overcome physical adversity.
During his high school career he suffered a knee injury that forced him to the sidelines. After completing his rehab, Sewell opted to attend a prep school in Massachusetts to not only play another year but make sure all was right with his knee.
Convinced it was, he returned to Ontario the following year looking to go to school near home and settled upon McMaster.
"I'm very proud of that (overcoming knee injury), I actually put a lot of work into it," he said. "Football has been great at Mac but most important for me was everything outside of football.
"I've been able to accomplish a lot (in football) but the biggest thing for me is I'm going to be able to graduate with a degree in commerce from one of the top business programs in the country. I think that's the greatest achievement from my university career.''
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