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10/13/08

Posted 10/13/08 at 4:30 PM

Party Lines

Waiting in Line to See Prince

We had a healthy set of celebrity sightings as we waited in line to get to the roof of the Gansevoort Hotel on Friday night. We were there to see Prince play one of two secret shows. We'd missed Howard Stern and Spike Lee, who went to the earlier show (they apparently had to get home before midnight or they turned even more pumpkinlike than they are now). Tom Green and Dennis Rodman rolled up first, looking a little out of place (they're on Celebrity Apprentice together or some such). Someone said to Green, "Are you here for Prince?" "Huh? He's playing?" the comedian asked. "That's cool." We think they didn't get in — we didn't see them upstairs. Later that night, Rodman was all light-headed drunk at Carnegie Deli in the company of two drunk hicks he met at a bar. Ha!

Top Chef almost-winner Sam Talbot jumped to the head of the outdoor queue. We boarded an elevator with him (the elevators at the Gansevoort hold maybe five skinny coked-up ladies — any more and it beeped madly and wouldn't close). The crowd couldn't seem to understand. "I was stuck in an elevator a week ago for an hour," Talbot told us. "Now whenever I'm in one, I look around and wonder who's going to be the one that freaks out." The door beeped. Talbot pointed surreptitiously at a short man. "He's going to be the one to freak out." The short man near the front didn't leave.

Upstairs, Anderson Cooper dined with a friend who is a boy. »

Posted 10/13/08 at 3:45 PM

Sex Diaries

The Former New Yorker, in Town for a Weeklong Booty Call

Once a week, Daily Intel takes a peek at what your friends and neighbors are doing behind doors left slightly ajar. Today, the Former New Yorker, in Town for a Weeklong Booty Call: 27, female, straight, art director, single.

DAY ONE
12:30 p.m.: Back! Flight from the Midwest lands. I'm planning on seeing three guys on this trip: the Ex-Boyfriend's Friend (XBFF), the Art Director, and potentially the Love of My Life. It's never the right time for a relationship for me, but I have a lot of these in-betweens. I met the Art Director a few months ago, but I was too heartbroken over the Love of My Life. And I felt fat. Every time I'm over the LOML and meet someone else, he's into me again. I've been avoiding calling him.
3:30 p.m.: Can't wait to see the XBFF. We always liked each other. Hoping we can maybe talk about a possible long-distance pseudo-relationship. I wish I were skinnier for this trip.

Read more »

Posted 10/13/08 at 3:20 PM

The Quotable Greatest Depression

‘As Long As I Have Money for Cat Food and Cigarettes, I’m Fine’

Did anyone happen to make it through the epic story in the "City" section of yesterday's Times about Rubyfruit, the lesbian bar in the Village? It goes on forever, as though the writer originally filed it in May but just kept on adding to it as the editors held it all summer long, and it contains all kinds of weird awesome details, like that the owner and her associates shop for supplies at Western Beef and have called the Mexican dishwasher the wrong name for years. And then comes the money quote, from Annette Marino, a faithful employee who's worked there for years for almost no pay: "As long as I have money for cat food and cigarettes, I'm fine," she says. A heroine for our time. [NYT]

Posted 10/13/08 at 3:00 PM

Party Lines

Anne Slowey Thinks Sarah Palin Could Use a Little Airbrushing

Anne Slowey Thinks Sarah Palin Could Use a Little Airbrushing

Photo: Getty Images

Since soon-to-be Stylista star and Elle Fashion News Director Anne Slowey was holding court among the "media elite" at the Fashion Unites for Obama fund-raiser at Talavera studios on Friday, we ducked the glass of wine she was swinging wildly around and asked what she thought of Fox's claims that Sarah Palin's Newsweek cover was under-Photoshopped. "I don't think anybody should be airbrushed, myself included," the notoriously food-averse fashionista said between bites of actual sushi. "I feel like reality is so much more interesting than illusion." But!

Not on her face, anyway. »

Posted 10/13/08 at 2:40 PM

Neighborhood Watch

Enter the Park Slope ‘Updos for Obama’ Contest!

Our favorite picture of our dearly departed grandmother is from the late fifties and shows her rocking a hairdo she would fondly recall as an "updo." And now, the Medusa Hair Salon (love that name!) in Park Slope has a thing going where you can get a Sarah Palin upswept hairdo for $75 and the proceeds will go to Obama's campaign. You will also be entered in a Palin look-alike contest, and if you win, $25 will go to Planned Parenthood in Palin's name. [Only the Blog Knows Brooklyn]

Posted 10/13/08 at 2:15 PM

Early and Often

Is It Really Over for McCain?

With three weeks left until Election Day, and with Obama maintaining a steady seven-point lead (according to RealClearPolitics), do you think John McCain is preparing to concede defeat? Hell no. In a comeback-themed speech later today in Virginia he'll proclaim, maverick-ly, "We’ve got them just where we want them.” Oookay. That kind of confident optimism might be a necessary posture for McCain to take at this point, but political pundits are debating whether Barack Obama already has a landslide locked up, and if there's anything McCain could possibly do to stop it.

Certainly, something unexpected. »

Posted 10/13/08 at 1:30 PM

The Sports Section

Hockey Fans Boo Sarah Palin, But She Shouldn’t Take It the Wrong Way

As a general rule, sports fans do not like it when politics intersects with their games. If I am a scientist and you believe dinosaurs and humans used to hang out together, but we are both fans of the Jets, our differences will not matter. Which is why it’s always a shaky proposition for any politician to make an appearance at a sporting event. When Sarah Palin showed up to drop the first puck Saturday before the Rangers-Flyers game in Philadelphia, her very presence probably reminded fans of the economic crisis, or attack ads, or any number of things that they went to this hockey game to escape from. So she was booed. Partisans may make something out of this, but the audience just wanted to watch their game in peace. Plus, as we pointed out before, they’re from Philadelphia — they boo everything.

A brief history of booed politicians. »

Posted 10/13/08 at 12:45 PM

Early and Awesome

Tina Fey: If Palin Wins in November, ‘I’m Leaving Earth’

When we first heard that Sarah Palin might go on Saturday Night Live, we weren't sure if it would really happen because it seems like the gang that's been spoofing her so pricelessly this season (Tina Fey most of all) really actually loathes her. Well, as many of our commenters pointed out, even if they do hate her, Palin would be ratings gold. So Palin will go on this weekend and we will all find our own ways to laugh about it.

But today we learned two things — one, several political experts think that Fey's biting impressions of the Alaska governor probably took a very real political toll on the Republican ticket. And two, we learned that Tina Fey, as we suspected, totally does loathe Palin. "That lady is a media star. She is a fascinating person, she’s very likable. She’s fun to play," Fey told TV Guide. As for whether she'll keep playing the role, she might until November. "If she wins, I’m done. I can’t do that for four years," she said. "And by ‘I’m done,’ I mean I’m leaving Earth."

Wait, is there a spaceship leaving Earth in November? And will Tina Fey be the onboard entertainment?? Where do we get tickets?!

Posted 10/13/08 at 12:00 PM

Party Lines

Darren Aronofsky Used to Drive a Cab in Brooklyn

Lately, the economic downturn is never far from our minds, and at last night's premiere of The Wrestler — a story about a pro wrestler looking for his last shot — we found ourselves wondering if super-successful people, like director Darren Aronofsky, had ever been laid off or otherwise down on their luck. "I've been fired many, many times, and I've been told no many, many times, but I don't think layoffs were happening when I was first working," he told us as wife Rachel Weisz and Naomi Watts chatted behind him. What was his first job? "I was working in the eighties for $3 or $4 [an hour]," he said. "My big job — I drove a gypsy cab in Brooklyn for a long time and that's how I used to make a lot of money as a kid," he said, smiling at the memory. Then he trailed off, prompting us to ask what happened. "I got fired," he said. Wait, isn't the whole thing about gypsy cabs that they're unregulated? Why would they have fired him? "I can't talk about that," he said. "You know, I felt oppressed a little bit." Oh, artists.

Posted 10/13/08 at 11:30 AM

Gossipmonger

Peter Lied to Christie About Not Taking the Kids on a Single-Engine Plane

Christie Brinkley thought she got Peter Cook not to take their two kids on a single-engine plane, but he faked her out and did so anyway, which is mean. Also, so not necessary for us to know about. Cindy Adams wonders if Bloomberg will run for that third term as an independent. Cindy also reminds us that today commemorates the moment when "Chris and his guys came over on the Nina, the Pinta and the Santa Maria." Thanks, Cindy! Courtney Love wants to move into an East Village walk-up, but friends like Gwyneth and ScarJo tell her she should get a doorman building, probably because her life is messy. Robert De Niro wants Jean-Georges Vongerichten to succeed Mirco del Vecchio as top chef at his restaurant Ago. Gisele and Tom ate an insane amount of food at the Kobe Club. Diddy and oil heir Brandon Davis got in a shoving match last month at Butter.

Read more »

Posted 10/13/08 at 11:20 AM

The Greatest Depression

Neel Kashkari Speaks
Neel Kashkari Speaks

Newly minted Interim Assistant Secretary for Financial Stability and Intel pinup Neel Kashkari gave a speech outlining the Treasury Department’s progress in implementing the Troubled Asset Relief Program (TARP) to the Institute of International Bankers in D.C. at some ungodly hour this morning. The Wall Street Journal has the whole thing online, but eyes started to bleed soon after he said, "Let me begin with our strategy, which is clear and focused." Why are the cute ones always boring? [WSJ]

Posted 10/13/08 at 11:00 AM

Early and Often

McCain’s Bad Weekend: A Catch-up

This morning, the Washington Post tells us that Obama is up ten points nationally over John McCain. The Republican nominee's likability numbers are also dropping. But like so many of these polls, it was taken a week ago. And a lot has happened since then. Unfortunately for McCain, most of it is also good news for Obama. Below, we've rounded up the news bits you need to know about since you tuned out on Friday.

• Sarah Palin was found to have unlawfully abused her power in an effort to get her former brother-in-law fired as a state trooper. Palin then alleged that she had actually been cleared by the probe. [AP]

• Conservative Times columnist William Kristol caught up with many other Republican pundits on Sunday and realized that McCain is in disaster territory. "Fire the campaign!" he urged. [NYT]

Read more »

Posted 10/13/08 at 10:30 AM

The Greatest Depression

John Mack Is Totally Doing the Victory Dance Right Now

It's not yet noon, but you know who's already well into the Cristal on this fine Columbus Day morning? Morgan Stanley CEO John Mack, that's who. Faced with snowballing rumors about the firm's capitalization and collapsing stock, Mack managed to get Mitsubishi to close on its $9 billion equity investment in the firm on National Health Day — a day earlier than expected, and on exceedingly good terms. He couldn't resist writing some self-congratulation into the press release:

The MUFG investment further bolsters Morgan Stanley's already strong capital position. Morgan Stanley's Tier 1 Capital Ratio is now estimated to be more than 15.5 percent on a pro-forma basis as of August 31, 2008. This is far in excess of the 6 percent required by the Federal Reserve to be treated as well-capitalized and is one of the highest Tier 1 Capital Ratios among bank holding companies peers.

In other words, all y'all haters can suck it, because the Mack is back.

Mitsubishi UFJ Financial Group Closes $9 Billion Equity Investment in Morgan Stanley as Part of Global Strategic Alliance [Deal Journal/WSJ]
Earlier: Morgan Stanley CEO John Mack's Very Bad Day
John Mack's Big Night

Posted 10/13/08 at 9:50 AM

Geniuses

Paul Krugman Wins Nobel Prize for Economics

Times columnist and Princeton professor Paul Krugman was awarded the Nobel Prize in economics today, for his work on international trade and economic geography. "It’s been an extremely weird day, but weird in a positive way," he said this morning. We're not sure what he means by "weird." Maybe that the prize for helping the world comes with $1.4 million? Or, more likely, he just meant, "I'm an effing Nobel Prize–winning genius, and my column appears on the same page as William Kristol's." It is weird, when you think about it. [Economix/NYT]

Posted 10/13/08 at 9:40 AM

The Greatest Depression

U.S. Decides ‘Sticking Capital in Banks’ Not Such a Bad Idea After All

Way back two weeks ago, when lawmakers were facing a decision on whether to pass the $700 bailout bill, “some said we should just stick capital in the banks, take preferred stock in the banks," Treasury Secretary Hank Paulson told the Senate Banking Committee. But the U.S. wasn't going to that. Why? Because nationalizing banks is for losers. "That’s what you do when you have failure," Paulson explained patiently. "This is about success." Or, um, not.

After a long, hard week, this past weekend the Bush administration decided that "sticking capital in banks" wasn't such a bad idea after all. After meeting with finance ministers from G7 countries (otherwise known as the Coalition of the Ailing), they basically chucked over Paulson's original plan of buying troubled assets from banks in favor of taking equity stakes in banks, as the U.K. and Germany did this morning. Awkward.

Barney Frank is appreciating the irony. "We took a proposal from the secretary, and frankly, it was the Congress that explicitly added the right to buy the equity," he told ABC's This Week. "Frankly, the Treasury was not too crazy about that."

The Wall Street Journal also reminds us that "more broadly, Mr. Paulson didn't see a need for any type of government rescue plan until last month. As recently as May, Mr. Paulson was predicting that the 'worst is likely to be behind us.'" Ahem.

While markets are closed here for Columbus Day, Dow futures are up and banking stocks worldwide jumped on promise of the new capital. But is Paulson's stock plummeting?

Dow Futures Climb Almost 350 After Horrible Week [NYT]
White House Overhauling Rescue Plan [NYT]

Posted 10/13/08 at 9:06 AM

The Third Terminator

Bloomberg Gets Boost from Christine Quinn

Christine Quinn made a move to shore up her own political future yesterday when she urged New Yorkers to support a change in New York's term-limit rules. The announcement was made after Mayor Bloomberg's proclamation that he'd seek a third term. It's pretty much the opposite of what she's said before — and Quinn conceded that she's had a "change in [her] position." Though it was a flip-flop, the move was anticipated on her part because Quinn has her own mayoral ambitions. Unlike her fellow Democratic aspirants, like Comptroller Bill Thompson, she is likely to benefit from another four years in the wings. A change in term limits will mean she's able to run for City Council speaker again, and therefore put even more time between herself and the slush-fund scandal that scarred her reputation earlier this year. Now it's up to Quinn to bring the necessary Council votes to change the limits rule. If not, as Elizabeth Benjamin pointed out, her position could be weakened to the extent that a mayoral run next year might be out of the question for herself. Looks like the players on Wall Street aren't the only high-stakes gamblers downtown this week.

Quinn Is Gambling for Her Political Life [NYDN]

10/10/08

Posted 10/10/08 at 6:30 PM

It Happened This Week

Hold Your Breath

Hold Your Breath

Photo: Brendan McDermid / Reuters

It was a week of waiting to see if things could get any worse. John McCain continued to lose ground against Democratic nominee Barack Obama, a.k.a. “That One,” despite a new strategy of linking his opponent to Weather Underground radical William Ayers (infamous locally for his fellow Weathermen’s real-estate crime of blowing up a Greenwich Village townhouse in 1970). Lehman Brothers CEO Richard Fuld took a thrashing on Capitol Hill. The Fed slashed interest rates by a half-point, and Wall Street reacted by plunging to new lows. (The week’s only sure investment were tickets to the Bruce Springsteen and Billy Joel fund-raising concert for Obama at Hammerstein Ballroom, which scalpers marked up 150 percent.)

Read more »

Posted 10/10/08 at 6:00 PM

Party Lines

Sarah Silverman Defends Her ‘Great Schlep’
Sarah Silverman Defends Her ‘Great Schlep’

We ran into several Jews at the Project A.L.S. Benefit Gala this week. A few of them were even old — the perfect people to ask about Sarah Silverman's "Great Schlep," her plan for Jewish grandkids to urge their grandparents in Florida to vote for Obama. Matthew Broderick was skeptical: "I don’t know how you can convince an old person in Florida about anything." But when we complained to Silverman that our friend signed up for the Schlep but never got a response, she wasn't having it. "Why doesn’t he just go to fucking Florida?" she steamed. "What does he need? A Website?" Hear more criticism from Chris Rock, Jerry Stiller, and Gina Gershon in our Party Lines slideshow.

Posted 10/10/08 at 5:50 PM

The Greatest Depression

Wall Street Titans Get Together for Lunchtime Bitch Session

The New York Stock Exchange pulled together five of Wall Street's biggest power brokers — Blackstone's Steve Schwarzman, BlackRock CEO Larry Fink, Goldman CEO Lloyd Blankfein, JPMorgan CEO Jamie Dimon, and Silver Lake co-founder Glenn Hutchins — for a panel that seems to have devolved into a kind of Sex and the City–ish bitch sesh, per the WSJ's Deal Journal.

Sayeth Fink:

“What we’re hearing from the candidates is politics as usual. I think Secretary Paulson is doing everything he can, and the government is actually working with” — subtle sarcasm creeps into his voice — “the ‘Evil Empire’ [of Wall Street] to fix it. After Nov. 4, the rhetoric will abate. It is just rhetoric.” He notes, “as an industry we had cover stories on how good we are, and now we have cover stories on how bad we are.”

Schwarzman, too, is tired of the haters.

“The anger is substantial and it has legs,” he says.He rounds out the pro-Street chorus: “I don’t see corruption in this room….every bad actor in this drama has washed away. There’s no one left in place.” Does this mean that all the corruption was at Lehman and Bear Stearns and Fannie and Freddie and AIG? He says Wall Street has to do a better job of marketing. “TARP wasn’t a bailout for fat cats; it was a stabilization fund for the country. We’re using rescue techniques that may turn a profit for society.”

Then, afterward, they all went out for Cosmos and hugged and told each other how thin they were.

Stewards of Capital Gather at NYSE. What Happens Next? Who Knows? [Deal Journal/WSJ]

Posted 10/10/08 at 5:00 PM

The Greatest Depression

Betsy Perry, Voice of a Generation

John Steinbeck's Grapes of Wrath characterized the bitter, restless mood of poor sharecroppers during the Great Depression. Now, a voice for the Greatest Depression has emerged: Betsy Perry, Bloomberg's Commissioner for Women's Issues and Main Street's former "Spy on the Upper East Side," has a column on the Huffington Post today in which she sums up the mood of restless excitement among non-poor Manhattanites as the country goes to to hell and drags the rest of the world down with it. Quoth Perry:

Michael's was beyond frenetic with table hopping I'd not witnessed before and I felt as if I was dining on the Titanic before the ship went down. Only thing missing was playing of "Nearer my God to Thee"; Joy Behar was being applauded for her view against Elizabeth Hasselbeck and Star Jones was seated at the front table — like who cares about her anymore? There was too much celebration and even with Cobb Salads going for $35 a half portion, it had the feeling of the Last Supper if in fact that supper was fun.

After lunch she goes to her "pink and green pad-let in South Beach," where she eschews purchase of a $450 Dior leopard-print bag but allows herself to indulge in a treat from the "old order": a $13 Mojito, all the while never taking her eyes off the stock market where history is unfolding. Exhilarating!

Is There a 12-Step Program for CNBC Addicts? Nowhere to Hide [HuffPo]

Posted 10/10/08 at 4:50 PM

Early and Often

Meet the Adviser Stabbing at McCain’s Self-destruct Button

Want the most destructive assessment you can get of a John McCain policy proposal? Just ask McCain’s own senior policy adviser, Douglas Holtz-Eakin, a formerly serious economist who has turned himself into a genuine political disaster. For months, the McCain campaign implied its health-care plan would be budget-neutral. But last weekend, Douglas Holtz-Eakin admitted to The Wall Street Journal that to fill the gap between the tax deductions McCain wants to end and the tax credits he wants to offer, a new Republican administration will have to cut something like $1.3 trillion from Medicare and Medicaid over the next ten years. Missed that bombshell? Democrats working Florida didn't.

Iraq timetable? Sure! »

Posted 10/10/08 at 4:35 PM

Early and Often

‘Barack Osama’ on Hundreds of Upstate Absentee Ballots

Barack Obama has had it up to here with his own weird names!

Barack Obama has had it up to here with his own weird names!Photo: Getty Images

This week, hundreds of absentee ballots were sent out to voters who are registered in Rensselaer County with the names of two presidential candidates on them: John McCain and Barack Osama. Yep, that's right, Osama.

Both Democratic and Republican officials insist this is a typo, but according to the Albany Times-Union, everyone feels pretty embarrassed. Roughly 300 voters received the ballots. "Is it a Freudian slip, intentional act or a mistake?" asks the paper. "Voters are sure to have opinions, and one pol pointed out that the letters 's' and 'b' are not exactly keyboard neighbors."

Is it weird that during this freakishly contentious week, a minor screwup like this seems kind of fun?

Barack 'Osama' on Rensselaer County ballots
[Times-Union via VV]

Posted 10/10/08 at 3:40 PM

The Greatest Depression

Neel Kashkari Got Ahead Because of Sexy Baldness?
Neel Kashkari Got Ahead Because of Sexy Baldness?

Greatest Depression pinup boy Neel Kashkari, the ex-Goldman banker in charge of the country's $700 billion bailout, was hired at Goldman because he brought something special to the firm: "'Academically, Kashkari was not outstanding,' said a person familiar with the matter, but he appealed to Goldman’s recruiters because, as a former engineer, he was different than the usual aspiring investment banker. Kashkari’s head — shaved bald even then — also differentiated him from the reigning Goldman aesthetic.…'Everyone at Goldman has a full head of hair and went to prep school and Dartmouth and played lacrosse. That’s not Neel,' said an investment banker who knew him." Oh, okay. At least it wasn't because he was Indian or something. [WSJ]

Posted 10/10/08 at 3:20 PM

Early and Often

What Obama Needs to Know for His Pre-Election Infomercial

As you may have heard, the Obama campaign has purchased 30 minutes of prime-time television on CBS and NBC for Wednesday, October 29. He's expressed interest in buying the same amount of time on Fox. The cash-flush campaign will produce what, by all reports, seems to be an infomercial-like advertisement to be aired less than one week before Election Day. The last candidate to make such a buy was Ross Perot, sixteen years ago. Now, most of you readers probably have better things to do during the day, but your Daily Intel editors have sat through their fair share of infomercials, and we have a little bit of advice. Here are some tips for Obama.

Posted 10/10/08 at 3:00 PM

The Greatest Depression

Morgan Stanley CEO John Mack’s Very Bad Day

Mack has been tormented by Christopher Columbu, and the healthy Japanese.

Mack has been tormented by Christopher Columbu, and
the healthy Japanese.Photo: Getty Images, iStockphoto

Morgan Stanley CEO John Mack is so on edge right now, you have no idea. Shares plummeted nearly 26 percent, the lowest closing price in a decade, after the shorts swept in the last hour of trading. Moody’s Investors Service said it was putting Morgan Stanley’s credit rating on review. Then today all hell broke loose, and stock dropped 40 percent from yesterday's close, to $7.57 at last look, putting the total market cap at $8.4 billion, which, as Clusterstock points out, is under the $9 billion Mitsubishi promised to give them for only 20 percent of the company. Why, God, why? an anguished cry inside Mack's brain startles him. Why did this happen! Of course he knows it's the rumors. The rumor-a-minute fearmongering marketplace. How many times did he and Mitsubishi say the deal is going to go through? How many times? But really, it's the Federal Reserve's fault, for saying the deal could not officially close until Monday. Monday is Columbus Day, geniuses! Also, in Japan it is National Health Day, whatever the fuck that is — Mack is going to have a coronary just thinking about it. He already has angina from the spicy-tuna roll he ate last night with the guys from Mitsubishi. His fingernails are bitten down so far that his fingers are bloody stumps. There is only one thing bringing him joy right now.

Read more »


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