Cyanide: 'A poison we fear'









If Urooj Khan's remains are exhumed in coming days as expected, authorities will attempt to retrace the devastating course of one molecule through his body.

Cyanide, a toxic combination of carbon and nitrogen, exists throughout nature in trace amounts in certain plants, seeds and soils. It is also produced by some bacteria and fungi.

In its pure solid or gas forms, however, cyanide can be acutely poisonous, earning it an ignoble reputation in human history as an efficient killer — from World War II Nazi death camps to the Jonestown massacre to the Chicago Tylenol murders.

"It is a poison we fear," said Frank Paloucek, a pharmacist and toxicologist at the University of Illinois at Chicago. "It is a really dangerous poison, and once you get enough of it, there is not much we can do."

That appears to be the case for Khan, a West Rogers Park businessman who died of cyanide poisoning in July just weeks after winning a million-dollar lottery jackpot. The Cook County medical examiner's office initially found that Khan died of natural causes, and he was buried in Rosehill Cemetery. But after a relative voiced concern, extensive toxicological tests showed he died of lethal levels of cyanide. Chicago police and Cook County prosecutors are investigating his death as a homicide.

The murder mystery, first revealed in the Tribune on Monday, has sparked worldwide interest. It comes more than 30 years after the murders of seven Chicago-area residents who ingested cyanide-spiked Tylenol capsules spread fear across the country. The FBI reopened its investigation into the killings four years ago, but no one has ever been charged.

"In the rare event of homicidal poisoning, cyanide is not an uncommon (substance) to use," Dr. Gregory Schmunk, a forensic pathologist and president of the National Association of Medical Examiners, said Thursday.

Indeed, just last year, the wife of a former Communist Party leader in China was accused of killing a British businessman after ordering her butler to spike his drink with cyanide.

It is, however, more commonly seen in suicides, such as in the case of an Arizona businessman who poisoned himself in a courtroom with cyanide last year after he was found guilty of arson, according to experts.

The compound kills quickly.

Once inside the human body, it prevents cells from using oxygen. If enough cells absorb cyanide, a person's body and brain will become so oxygen-deprived that their tissues will begin to die.

As the body fights to provide more oxygen, heart and breathing rates rise. Cramping and headaches can occur, followed by loss of consciousness and eventually death.

Death may come in anywhere from 15 minutes to a couple of hours, Paloucek said.

Cyanide is typically detected during a medical examination by a scarlet red discoloration or a "bitter almond" odor emitting from the body, according to experts. But neither is a sure measure — darker pigmentation can mask red skin coloration, and many people can't smell cyanide.

In its powder form, a toxic dose of cyanide may only be about 200 milligrams, roughly the amount of any common pain medication pill, according to Paloucek.

"We are dealing with a poison that has a very fast knockdown rate," said John H. Trestrail III, a clinical and forensic toxicologist who consults with law enforcement agencies on such cases.

For that reason, investigators have been looking closely at the events that happened around the time that Khan died, including the last meal he ate, which his wife acknowledged preparing.

Cyanide can come as a gas or in a solid powder that looks like white sugar. It is commonly used in research laboratories, in mining to extract certain metals and by jewelers. It also used to be widely used in the United States to kill various pests.

"One hundred years ago, you could go into a pharmacy and buy cyanide to kill wasps," Trestrail said. "But you don't do that anymore."

Now cyanide suppliers maintain a "poison register" that would include information like proof of purchase, the name of the buyer and its intended use, according to Trestrail.

Outside the United States, however, cyanide is readily available, according to Paloucek. And even within the U.S., there have been cases of people giving false information to cyanide suppliers to obtain the substance.

"If you're persistent, it is not hard to get your hands on it," Schmunk said.

Local authorities plan to ask a Cook County Circuit Court judge on Friday for permission to exhume Khan's body in the next week or two. The remains would be autopsied by the medical examiner's office, according to its spokeswoman, Mary Paleologos.

Investigators will take samples of Khan's stomach contents to see if and how the cyanide was ingested, Paleologos said. They will also take more fluid and blood samples and look at other organs such as the lungs, to see if it may have been inhaled, she said. Investigators will also try to rule out chronic cyanide poisoning in which long-term exposure to the compound may have contributed to his death.

"A lot depends on if the body is in good or poor condition," Paleologos said. "If it's in good condition, of course (the medical examiner) can get decent samples, but if it's in poor condition, the quality of the samples will be poor as well."

cdizikes@tribune.com

asweeney@tribune.com



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Holiday sales of PCs slide for first time in five years: IDC






SEATTLE (Reuters) – Holiday season sales of personal computers fell for the first time in more than five years, according to tech industry tracker IDC, as Microsoft Corp’s new Windows 8 operating system failed to excite buyers and many opted for tablet devices and powerful smartphones instead of PCs.


PC makers such as Hewlett-Packard Co, Lenovo Group and Dell Inc sold 89.8 million PCs worldwide in the fourth quarter of last year, down 6.4 percent from the same quarter of 2011. That was slightly worse than expected by most.






For all of 2012, 352 million PCs were sold, down 3.2 percent from 2011. That was the first annual decline since 2001, according to IDC. (Reporting By Bill Rigby; Editing by Gary Hill)


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BRIT Awards hand posthumous nomination to Winehouse






LONDON (Reuters) – Scottish singer Emeli Sande joined folk act Mumford and Sons and indie rockers Alt-J with three BRIT Award nominations apiece on Thursday, but the biggest surprise was a posthumous nod for Amy Winehouse 18 months after she died.


Winehouse was included in the “British female solo” category, in which she was up against Sande, Jessie Ware, Paloma Faith and Bat for Lashes.






She was shortlisted for “Lioness: Hidden Treasures”, an album of unreleased songs and demos dating back to 2002 which hit stores in December, 2011 and topped the British charts.


The “Back to Black” singer’s father Mitch Winehouse said he was “delighted” with what he called the first ever posthumous BRIT nomination, adding in a statement:


“It proves that her music still has an enormous effect on the public now and for the generations to come.”


The other surprise package in a list some critics said largely upheld the BRITs’ reputation for rewarding commercial success over musical originality, veteran rockers the Rolling Stones were nominated for British live act.


The ageing quartet returned to the stage for a short, sellout tour at the end of 2012 in London and the United States to mark 50 years in business.


Despite criticism of high ticket prices, the band won critics and audiences over with hit-laden performances that belied their age.


“We all had such a blast, everyone was at the top of their game & the hometown audiences at The O2 were just fantastic…” lead singer Mick Jagger wrote on Twitter. “It’s great to be nominated … we will see you soon.”


The last time the group was nominated was in 1996 and it is the only act to be nominated in both this year’s awards and at the first BRIT Awards in 1977.


OLYMPIC BOOST


Sande took part in the opening and closing ceremonies at the London Olympics, helping to boost sales of her debut album “Our Version of Events” which sold an estimated 1.4 million copies in Britain last year.


She was nominated for best British female, best British single for “Next to Me” and the coveted Mastercard British album of the year prize. Sande also features on another contender for the single prize, Labrinth’s “Beneath Your Beautiful”.


Among the best album contenders are the other acts who each picked up three nominations – Mumford and Sons, who have enjoyed success both in Britain and the United States, and Alt-J, the former for “Babel” and latter for “An Awesome Wave.”


Alt-J walked away with the prestigious Mercury Prize for the same record in November.


Rounding out the album category are rapper Plan B for “Ill Manors” and Paloma Faith for “Fall to Grace”.


Boyband sensation One Direction received a nomination for best British group, and are up against Alt-J, Mumford and Sons, Muse and The xx.


A new award will be introduced at the ceremony on February 20 at London’s O2 Arena.


The BRITs Global Success Award will go to the British act with the highest international sales during the 2012 calendar year excluding the domestic market.


Confirmed to perform on the night were Muse, Robbie Williams, Sande, Mumford and Sons, Ben Howard and One Direction.


This year’s statuettes were designed by artist Damien Hirst and feature his trademark spots on a white background.


(Reporting by Mike Collett-White; Editing by Jason Webb)


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Parental Consent Rule May Proceed for a Circumcision Ritual, a Judge Says





New York City health officials may proceed temporarily with a plan to require parental consent before an infant may undergo a particular Jewish circumcision ritual, a federal judge ruled Thursday.




City officials say 12 cases of herpes simplex virus have likely resulted from the procedure, known as metzitzah b’peh, since 2000, including one Brooklyn case reported this week. Two infants died, and two suffered permanent brain damage. Most Jews no longer practice metzitzah b’peh, in which the circumciser uses his mouth to suck blood from the wound, but it remains common among some ultra-Orthodox communities.


Citing the risk of infection, health officials in September introduced a regulation that would require parents to provide written consent stating that they were aware of the health risks.


But the Central Rabbinical Congress of the United States and Canada, Agudath Israel of America, and the International Bris Association sued in October to stop the rule from taking effect, calling it an infringement of their constitutional rights. They also denied the procedure posed a risk and asked a federal court to put the rule on hold while the litigation proceeded.


In denying the request for a preliminary injunction, Judge Naomi Reice Buchwald of the United States District Court for the Southern District wrote that the risks were clear.


“In light of the quality of the evidence presented in support of the regulation, we conclude that a continued injunction against enforcement of the regulation would not serve the public interest,” she wrote.


City lawyers said they were gratified by the ruling, but Andrew Moesel, a spokesman for the plaintiffs, said the groups would appeal. “We continue to believe that this case is a wrongful and unnecessary intrusion into the rights of freedom of religion and speech,” he said.


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Boeing to cut 40% of jobs, space at Texas plant













Boeing job cuts


Guest are reflected in a Dreamliner fuselage at the jet's debut July 8, 2007, at the Boeing plant in Everett, Wash.
(Robert Sorbo/Reuters / January 10, 2013)



























































Boeing Co. said it will cut a little more than 40 percent of jobs, or 160 positions, at its El Paso, Texas, plant in response to planned U.S. defense budget reductions.

The company said it will trim occupied square footage 50 percent at the plant by moving from three buildings to one. The plant in Texas manufactures electronics for a variety of Boeing products.

The cuts will be completed by the end of 2014, the company said.

Boeing announced a major restructuring of its defense division in November that would cut 30 percent of management jobs from 2010 levels, close facilities and consolidate several business units.

The company's shares closed at $77.09 on the New York Stock Exchange on Thursday.


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New General Assembly to face many old issues









SPRINGFIELD—





— A new Illinois General Assembly was inaugurated Wednesday, but lingering beyond the flowers, family and speeches was a host of unfinished business.

The old Legislature adjourned Tuesday without fixing the state's broken public pension system. Also left unresolved were the divisive issues of same-sex marriage, gun regulation and gambling expansion. It'll be a while before such problems are tackled — the part-time lawmakers are scheduled to go home for a few weeks before returning to the Capitol.

In the House, Speaker Michael Madigan remains in charge, as he has for all but two of the past 30 years. In the Senate, President John Cullerton starts his fifth year running the show. Both Chicago Democrats now wield veto-proof majorities after many voters throughout the state opted against the Republican alternative in November legislative races.

That new Democratic power brings added pressure to perform was not lost on Cullerton, who said his party's 40-19 advantage over the GOP is the largest in the nation and in state history.

"I know a lot of you are thinking, 'This is great. We've got 40 members. I don't have to take any tough votes,'" Cullerton told his Democrats in a decorated Senate chamber as family members were entertained by a rendition of the 1960s tune "Feeling Good."

"But if everybody thought like that, we wouldn't get anything done, would we?" he said.

Madigan, the longest-serving speaker in state history, told House members that key issues remain "terribly contentious, terribly divisive."

"We have to call upon our inner resolves to dedicate ourselves to the solution of these problems, working cooperatively with the other members of the House of Representatives and the Senate," said Madigan, who leads a 71-47 Democratic majority.

Still, Madigan gave a grave assessment of the poorly funded pensions, saying he would "emphasize the absolutely serious nature of the fiscal condition."

In the waning days of the legislative session that concluded Tuesday, Madigan made what he said was a good-faith effort to spur pension talks by lifting a demand that suburban and downstate teacher retirement costs be shifted from the state to local school districts. That's now back on the table for Madigan, who called it a "free lunch."

"Serious, serious problem, and if we're serious about solving the problem, that must be addressed," Madigan said.

The cost-shift provision is adamantly opposed by Republicans and some suburban Democrats who maintain that it will lead to local property tax increases.

After failing to come up with a pension solution before the clock ran out this week, Cullerton said that Senate Bill 1, legislation often symbolizing the top agenda item, would be a pension measure combining aspects of unresolved Senate-passed and House-sponsored plans.

"The finances of our pension system have to be addressed in a fair and constitutional manner. The issue has lingered for generations and threatens to doom future generations if something isn't done," Cullerton said.

"We are on the verge of our state budget being turned into a financial plan that funds pension benefits, not essential services. Our investments in higher, elementary and secondary education and human services are increasingly crowded out — some might say, squeezed — by our pension costs," Cullerton said in a nod to Democratic Gov. Pat Quinn, whose grass-roots pension reform movement used a cartoon mascot, Squeezy, the Pension Python.

Though Cullerton cast a vote for Senate Republican leader Christine Radogno of Lemont for Senate president, as she did for him in a symbolic display of bipartisanship, Radogno said "many people in Illinois really don't have a lot of confidence in us and hopefully we can turn that around."

"We have to come to grips with some of the very real problems that we have," she said. "The underlying pillar that will allow us to begin to address them is solving the pension problem."

House Republican leader Tom Cross of Oswego called for "incredibly bold ideas and incredibly bold solutions."

"We're facing challenges in the state that we probably haven't seen as a General Assembly since the Great Depression," Cross said.

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Samsung sets sights on RIM’s corporate users






Now that Samsung (005930) has bested Apple in the consumer smartphone market, at least where shipment volume is concerned, the company is setting its sights on Research in Motion’s (RIMM) corporate user base. The company is investing heavily in enterprise devices that incorporate a higher level of security and reliability than consumers require. Various government agencies and corporations aren’t fully sold on RIM’s upcoming BlackBerry 10 operating system and are still unsure if will satisfy their needs. As a result, they have begun to explore alternatives for their employees.


[More from BGR: iPhone 5 now available with unlimited service, no contract on Walmart’s $ 45 Straight Talk plan]






“The enterprise space has suddenly become wide open,” Kevin Packingham, chief product officer for Samsung Mobile USA, said in an interview with Reuters. “The RIM problems certainly fueled a lot of what the CIOs are going through, which is they want to get away from a lot of the proprietary solutions.”


[More from BGR: CES has sadly become a complete waste of time]


The executive revealed that Samsung’s corporate market ambitions advanced after its flagship Galaxy S III smartphone gained various security certifications. He noted that companies “want something that integrates what they are doing with their IT systems,” and that “Samsung is investing in that area.” Packingham said that enterprise has been a focus of the company for a long time and its products have finally evolved enough to “really take advantage” of the market.


“We knew we had to build more tech devices to successfully enter the enterprise market,” he said. “What really turned that needle was that we had the power of the GS3.”


This article was originally published on BGR.com


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“Aladdin” coming to Broadway in overhauled version with new creative team






LOS ANGELES (TheWrap.com) – “Aladdin” is taking those three magical wishes to Broadway in a new stage show that will be substantially overhauled from an earlier version that premiered two years ago in Seattle.


The new version of the 1992 Disney animated hit will hit the Great White Way in spring 2014, according to an individual with knowledge of the production plans. It will replace “Mary Poppins” at the Disney-owned New Amsterdam Theater, the individual said. The stage version of P.L. Travers‘ children’s book will close in March 2013 after more than 2,600 performances.






A stage show of “Aladdin” that integrated the movie’s original score by Alan Menken, Tim Rice and Howard Ashman premiered on stage at Seattle’s 5th Avenue Theatre in 2011. Chad Beguelin (“The Wedding Singer”) wrote the book for that production and Casey Nicholaw (“The Book of Mormon”) directed and choreographed the show.


However, the version of “Aladdin” that hits Broadway next year will be substantially overhauled and will not be a transfer of the 5th Avenue production, the individual said. That show was seen as a pilot production, designed to test the new book and additional score material. The Broadway production will involve a major new key player on the creative team, the individual said.


A spokesman for The Disney Theatrical Group did not immediately respond to requests for comment.


Although “Mary Poppins” is closing to make way for “Aladdin,” it remains a moneymaker for Disney. Every year since it opened in 2006, it has ranked among the 10 highest grossing shows and among the five best attended. By the time it closes, it will have grossed more than $ 300 million, putting it on the level of other hits like “Jersey Boys” and “Wicked.” It has also earned more than $ 835 million worldwide.


The North American tour of “Mary Poppins” will end in June 2013 in Anchorage.


The New York Post first reported that “Mary Poppins” will close and be replaced by “Aladdin.”


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Flu Widespread, Leading a Range of Winter’s Ills





It is not your imagination — more people you know are sick this winter, even people who have had flu shots.




The country is in the grip of three emerging flu or flulike epidemics: an early start to the annual flu season with an unusually aggressive virus, a surge in a new type of norovirus, and the worst whooping cough outbreak in 60 years. And these are all developing amid the normal winter highs for the many viruses that cause symptoms on the “colds and flu” spectrum.


Influenza is widespread, and causing local crises. On Wednesday, Boston’s mayor declared a public health emergency as cases flooded hospital emergency rooms.


Google’s national flu trend maps, which track flu-related searches, are almost solid red (for “intense activity”) and the Centers for Disease Control and Prevention’s weekly FluView maps, which track confirmed cases, are nearly solid brown (for “widespread activity”).


“Yesterday, I saw a construction worker, a big strong guy in his Carhartts who looked like he could fall off a roof without noticing it,” said Dr. Beth Zeeman, an emergency room doctor for MetroWest Medical Center in Framingham, Mass., just outside Boston. “He was in a fetal position with fever and chills, like a wet rag. When I see one of those cases, I just tighten up my mask a little.”


Massachusetts General Hospital in Boston started asking visitors with even mild cold symptoms to wear masks and to avoid maternity wards. The hospital has treated 532 confirmed influenza patients this season and admitted 167, even more than it did by this date during the 2009-10 swine flu pandemic.


At Brigham and Women’s Hospital, 100 patients were crowded into spaces licensed for 53. Beds lined halls and pressed against vending machines. Overflow patients sat on benches in the lobby wearing surgical masks.


“Today was the first time I think I was experiencing my first pandemic,” said Heidi Crim, the nursing director, who saw both the swine flu and SARS outbreaks here. Adding to the problem, she said, many staff members were at home sick and supplies like flu test swabs were running out.


Nationally, deaths and hospitalizations are still below epidemic thresholds. But experts do not expect that to remain true. Pneumonia usually shows up in national statistics only a week or two after emergency rooms report surges in cases, and deaths start rising a week or two after that, said Dr. Gregory A. Poland, a vaccine specialist at the Mayo Clinic in Minnesota. The predominant flu strain circulating is an H3N2, which typically kills more people than the H1N1 strains that usually predominate; the relatively lethal 2003-4 “Fujian flu” season was overwhelmingly H3N2.


No cases have been resistant to Tamiflu, which can ease symptoms if taken within 48 hours, and this year’s flu shot is well-matched to the H3N2 strain, the C.D.C. said. Flu shots are imperfect, especially in the elderly, whose immune systems may not be strong enough to produce enough antibodies.


Simultaneously, the country is seeing a large and early outbreak of norovirus, the “cruise ship flu” or “stomach flu,” said Dr. Aron J. Hall of the C.D.C.’s viral gastroenterology branch. It includes a new strain, which first appeared in Australia and is known as the Sydney 2012 variant.


This week, Maine’s health department said that state was seeing a large spike in cases. Cities across Canada reported norovirus outbreaks so serious that hospitals were shutting down whole wards for disinfection because patients were getting infected after moving into the rooms of those who had just recovered. The classic symptoms of norovirus are “explosive” diarrhea and “projectile” vomiting, which can send infectious particles flying yards away.


“I also saw a woman I’m sure had norovirus,” Dr. Zeeman said. “She said she’d gone to the bathroom 14 times at home and 4 times since she came into the E.R. You can get dehydrated really quickly that way.”


This month, the C.D.C. said the United States was having its biggest outbreak of pertussis in 60 years; there were about 42,000 confirmed cases, the highest total since 1955. The disease is unrelated to flu but causes a hacking, constant cough and breathlessness. While it is unpleasant, adults almost always survive; the greatest danger is to infants, especially premature ones with undeveloped lungs. Of the 18 recorded deaths in 2012, all but three were of infants under age 1.


That outbreak is worst in cold-weather states, including Colorado, Washington, Wisconsin, Minnesota and Vermont.


Although most children are vaccinated several times against pertussis, those shots wear off with age. It is possible, the authorities said, that a new, safer vaccine introduced in the 1990s gives protection that does not last as long, so more teenagers and adults are vulnerable.


And, Dr. Poland said, if many New Yorkers are catching laryngitis, as has been reported, it is probably a rhinovirus. “It’s typically a sore, really scratchy throat, and you sometimes lose your voice,” he said.


Though flu cases in New York City are rising rapidly, the city health department has no plans to declare an emergency, largely because of concern that doing so would drive mildly sick people to emergency rooms, said Dr. Jay K. Varma, deputy director for disease control. The city would prefer people went to private doctors or, if still healthy, to pharmacies for flu shots. Nursing homes have had worrisome outbreaks, he said, and nine elderly patients have died. Homes need to be more alert, vaccinate patients, separate those who fall ill and treat them faster with antivirals, he said.


Dr. Susan I. Gerber of the C.D.C.’s respiratory diseases branch, said her agency has not seen any unusual spike of rhinovirus, parainfluenza, adenovirus, coronavirus or the dozens of other causes of the “common cold,” but the country is having its typical winter surge of some, like respiratory syncytial virus “that can mimic flulike symptoms, especially in young children.”


The C.D.C. and the local health authorities continue to advocate getting flu shots. Although it takes up to two weeks to build immunity, “we don’t know if the season has peaked yet,” said Dr. Joseph Bresee, chief of prevention in the agency’s flu division.


Flu shots and nasal mists contain vaccines against three strains, the H3N2, the H1N1 and a B. Thus far this season, Dr. Bresee said, H1N1 cases have been rare, and the H3N2 component has been a good match against almost all the confirmed H3N2 samples the agency has tested.


About a fifth of all flus this year thus far are from B strains. That part of the vaccine is a good match only 70 percent of the time, because two B’s are circulating.


For that reason, he said, flu shots are being reformulated. Within two years, they said, most will contain vaccines against both B strains.


Joanna Constantine, 28, a stylist at the Guy Thomas Hair Salon on West 56th Street in Manhattan, said she recently was so sick that she was off work and in bed for five days — and silenced by laryngitis for four of them.


She did not have the classic flu symptoms — a high fever, aches and chills — so she knew it was probably something else.


Still, she said, it scared her enough that she will get a flu shot next year. She had not bothered to get one since her last pregnancy, she said. But she has a 7-year-old son and a 5-year-old daughter, “and my little guys get theirs every year.”


Jess Bidgood contributed reporting.



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Mortgage lending rules to limit loan options









The Consumer Financial Protection Bureau is planning a Thursday morning announcement of new lending rules that it hopes will move the mortgage market toward a sustainable middle ground, somewhere in between the free-wheeling days of no-documentation loans and the current, restrictive environment.

For most borrowers, the rules will mean no more interest-only mortgages, no more loans where the principal due increases over time, no more loans that carry a balloon payment and no more loan terms of more than 30 years. In addition, would-be borrowers will be less likely to qualify for a mortgage unless their total debts account for no more than 43 percent of their monthly gross income.






These so-called qualified mortgages are expected to be embraced by lenders, because by following the criteria, they will have a better chance of shielding themselves from lawsuits from consumers whose loans go bad.

The provisions of the Ability-to-Repay rule, which follow closely the lines of protections called for in 2010's Dodd-Frank legislation, will take effect in January 2014. Richard Cordray, the bureau's director, is expected to detail the regulations at a public hearing Thursday in Baltimore.

A senior official of the consumer protection bureau, the agency charged with implementing the new mortgage requirements, said the lending standards are not much different than the guidelines currently in place. Still, while the rules might ease uncertainty among lenders who have worried about the scope of the regulations, it could cause additional anxiety for consumers trying to qualify for a home loan.

"It will add some certainty to the mortgage industry about what the rules of the road are going forward," said Guy Cecala, president and CEO of Inside Mortgage Finance, a trade publication. "But it basically says we want everybody to make plain-as-vanilla mortgages.

"The legitimate concern is that this will cement the tight mortgage underwriting standard that we currently have in place, and most people agree, from (Federal Reserve Chairman) Ben Bernanke to the person on the street, that they're too tight."

To not upend the housing market's recovery and assist consumers who can't meet the 43 percent debt-to-income threshold, the agency said it was establishing a second, temporary category of qualified mortgages that meet most of the new guidelines but also would qualify to be purchased, guaranteed or insured by Fannie Mae, Freddie Mac or various other federal agencies. The temporary provision would end as those agencies issue their own qualified mortgage guidelines or if Fannie and Freddie end their government conservatorship or in seven years.

The bureau wanted to give the mortgage market time to adjust to the new standards and ensure that well-qualified people could still buy homes, the agency official said.

For all types of mortgages, to help determine a borrower's ability to repay, lenders must look at eight factors. They include current income and assets, employment status, credit history, the mortgage's monthly payment, other loan payments associated with the property, monthly payments for such things as property taxes, other debt obligations and a borrower's monthly debt-to-income ratio.

Teaser interest rates no longer will be allowed to be used to judge a borrower's creditworthiness. For homebuyers who apply for adjustable-rate mortgages, the monthly payments no longer can be computed using just an introductory rate that might be artificially low. Instead, the monthly payment must be computed using whichever is higher, the fully indexed rate or the introductory rate.

In addition to the other rules defining a qualified mortgage, the bureau also mandated that a qualified loan cannot charge to the consumer points and fees that exceed 3 percent of the total loan amount.

The mortgage lending industry has worried for months about the rules and heavily lobbied for protection from lawsuits brought by borrowers.

Under the new rules, lenders who make qualified mortgages to well-qualified borrowers that carry a lesser chance of defaulting could be shielded from lawsuits from these prime borrowers who say the lender did not satisfy the ability-to-repay requirements. Riskier, subprime borrowers could challenge the lender's assessment of their ability to repay the loan but borrowers would have to prove that a lender didn't adequately factor in living expenses and other debts.

"They appear to favor lenders' interests above consumers," said Diane Thompson, of counsel at the National Consumer Law Center. "You have to prove what's in the creditor's records. It may be that no homeowners are able to challenge it. Otherwise, you're relying on regulatory oversight, and we saw how well that worked."

The rules, in various forms, have been in the works for years. Other agencies continue to formulate their own rules, and one still in development about what constitutes a qualified residential mortgage might increase a consumer's mortgage down payment in order to ensure that borrowers have more "skin in the game."

mepodmolik@tribune.com

Twitter @mepodmolik



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