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Show CPCs e ew H ems DAILY Netflix HERALD ’ Mentoringth malarsantasrt-ravavarapem. . Continuedfrom Dé BiGGigsel i in Continued from D6 $ . = Morethannine tentals per month alerts system. pe 7 seme menue renters aneey 0 encour shipping delays and ess likely sosmaneciote besenttheir top cues Few customers have : ~ SOURCE: Netflix "$17.00 por mont Itmastpopular option Steet ..,,, Netflix isn’t well within its rights to throttle nigi users. They say unlimited 3 rentals. They are liars.” anonymous user on fe www.hackingnetflix.com ers feel like Netflix is an incred- ible value.” The service’s rapid growth supportshis thesis, Netflix addshret theee ee » .2 million sul ‘sthrough December. During the final three months of 2005,just 4 percent ofits customers canceled the service, the lowest rate in the’company’s six-year history. Aftercollecting consumer opinions about the Web's 40 largest retailers last year, Ann Arbor, Mich., research firm ForeSeeResults rated Netflix as “the cream of the crop in customersatisfaction. ! Once considered a passing fancy, Netflix has changedthe way many households rent ently movies and spawned several copycats,including a mailservice from BlockbusterInc. Netflix’s most popular rental plan lets subscribers check out uptothree DVDs at atime for $17.99 per month. After watcha movie, customers return the DVD in a postage-paid envelope. Netflix then sends out To prove the point, one customer even set up a Web site — http//www.dvd-rent-test. _dreamhost.com — to show that _the service listed different wait times for DVDs requested by subscribers living in the same 0 , Netflix’s throttling techni havealso prompted incensed Trade twoor three years ago. aid el US. monthly trade Continued from D6 . from 2004, marking the fourth straight record. on WallStreet, the Dow nes industrial average customers to share their out- age o i nns ferment niches eee hepdewiss goods services Sessonelly acjusted Netflix subscribers bef a 82005, re thecompany cated raat to noedown DVD deliveries to frequent renters and site. “They say unlimited rentals. Theyare most “annoyed” ina posting on the producers in the Midwest. But Floyd said their distance from a the Seen aS,sacerealion beies: s Daneel,so high that we still have not been able to meet it with our current facility,” cana oeeae dogseeee is i a te year to disadvantage. The biodiesel mark« ing, with state and federal programs offering incentivesto'producers. state is considering bill _—_rrequiring thatall diesel motor sateao SSA Dlarion certain criteria are met. The ensure quicker shipmentsof the movies toits in—and most profitable of use. er production facilities near lie Nelson, who Irons,28, of Seattle, has no plans to cancelhis service because he figures he is still getting a good value from the eight movies he typically receives each month. “My own personal experience has not been bad,” he said,“but (the throttling)is certainly annoying whenit happens.” : key markets on the coasts made sense to Floyd, whose biodieselfuel galled BioWillie — also is drivinginterest. . facility in North Carolina,sai 110 105 i“ government on basic research, extend tax breaks for onsandsreserchend are thou of new math and science Install an Energy Efficient Furnace Today! tactical choices that will hurt our economy,” Gutierrez said. Last year, imports rose by 12.9 percent to an all-time high tenchers for the nation’s high a Be4 of$2 trillion, Sera: scl percentincrease in export: Many in Congress want a which reached a record high of tougher spproact. Legisla$1.27 trillion. tion with broad support in cheeDeen, the trade defithe House and Senate would light 1.5 percent a ee impose across-the-board tarthe third highBi Brat bil iffs of 27.5 percent on Chinese est monthly figure on record. imports unless China st U.S.trade $201.6billion The blatant whatcritics chargeis a ion ofits currency to deficit with China was the high| est ever recorded with any gain trade advantages. country.It was up 24.5 percent Otherlegislation introduced abovethe previous recorddefion Thursday by Sens. Byron cit of $161.9 billion with China Dorgan, D-N.D., and Lindsey set in 2004. Graham, R-S.C., would make China's currentlow tariffs subThe United States ran up re_corddeficits with muchof the Conby review annual to ject gress tomake sure the country rest of the world including Jais following global trade rules. pan, the European Union, OPEC Dorgan said the new deficit nations, Canada, Mexico and figures showed that U.S. “trade Central and South America. policy is an unbelievable failure ———-—________ _that is selling out sraoksoad aes Associated Press reporter Steve Hartsoe in Raleigh also and weakening our economy.” contributedto this report. Sen. Charles Schumer, D. “That has prevented the company from assessing the pension plan would provide posals,” Lewis said. savings, “yet they propose to credit us with less than 10 percentof those savings.” Moak said Thursdaythat Delta has told the union thatit believes the pension plan willbe termi- _itspilots reached an agreement oninterim wagecutsof14 percent andother cuts equal to an additional 1 percent wagereduction, which would be worth about $143 million to sienmil- the airline has made nodecisign about the pension. Delta, whichfiled for bankruptcy protection in September, has said repeatedly that it needs $325 million in new concessions from its Ley aspart ofits turnaround pilots’ latest offerfale for $115 in annual concessions. Lewis said in his memo that the company’slatest offer reduces the total amount of concessions it is seeking from purpose was to give the sides time to reach a permanent comprehensive agreement. Deltapilots were earning on average $169,393 annually priorto the interim pay cuts two months ago,according to papersfiled by the companyin bankruptcy court. Delta has reported $11.6 billionin losses since January 2001. It is scheduled to report its fourth-quarter and year-end 2005 results on Tuesday. the company with massive Two months ago,Delta and nated. A Delta spokesman said lion on an annual basis. The a en TE RRAS Ai ibe ie Wieoh Eee Seat] Sos fos Les BROOKS DDS x . © 768-9471 Dy y Mountainland Applied Technology College Every family has a crazy aunt. Help thousandsfind theirs MOUNTAIN COSMETOLOGY for your next salon appointment MATC 763-0324 MyFamily.com Now Hirinc! MATC Mountain West Foot ¢ ‘Turn to the Experts oy and Far Choch...980 «ree Bei Coreen. weSTD Sa nest negotiating,” Moak wrote, Moak also said in the letter Looking for a hair salon? Look no further, contact ey INSTALLED! at $1,375 Haro ik men Continued from D6 $325 million to $315 million, despite the risk that would add to Delta’s restructuring plan. Moak said Thursday that Delta was still stuck at $325 million. Lewis accused the union, the Air LinePilots Association, of failing to share with the company the union’s ownfinancial analysis of whatit believes the company requires for a successful reorganization. ~ 801-705-7676 www myfamilyine.com FNRI Hare Heating Air Conditioning en a Pilots that the termination of the pilot financial basis for ALPA’spro- ofa loss of Gulf Coast production following Hurricane Katrina. The U.S. foreignoil bill soared to a record $251.6 billion, up 39.4 percent from 2004. Importsofother consumer foreign autos goods inch hit recordlevels as well, a developmentthatis causing major woes for U.S. automakers. Analystspredicted that the 2006 trade gap will be even worse, with Global Insight forecasting it could hit $810 ‘ing lagging ecobillion,r nomic growth overseas that could hold back U.S.exports. “Trade is far and away the largest weight on the U.S. economyatpresent,” said Mark Zandi, chief economist at Moody's Economy.com. “This is a riskytime.” The record amountsof dollarsthat are flowing into foreign hands to pay forpe are being invested in U. stocks, bonds and aadinvestments. Economists worry that if foreigners suddenly decide they wantto hold fewer U.S. assets, they could send the value of the dollar, stocks and bonds all pl The record ‘of foreign goods into this country has given consumers a wide array of choices at low prices, helping to keep a lid on inflation. But critics contend the trade deficits have contributed to the loss of nearly 3 million manufacturing jobs since mid-2000 as U.S. companies moved production overseas to lower-waged nations. Many economists believe those manufacturing jobs will never come back. “America’s gargantuan trade deficit is a weight around American workers’ that is pulling them into a Ghee of debt, bankruptcy and ot service jobs,” said Trumka, secretarypease of the AFL-CIO, Inan effort to counter economic anxiety, Bush included in his new budget an American itiveness Initiativeto is marketing a losa touring an IBM cally for the United States.” Commerce Secretary Car- Richard Trumka secretary-treasurer, AFL-CIO 10 Trade balance Se ae SOURCE: Department of Commerce AP Solutions. workers’ necks thatis Exports $101.5 60 “The standardis 2 percent, going up to 5 percentlater,” Mazza said.“That guaranteed market is re: oing to hel Seattle Bobet is ee) ingto create incentives to produce biodieselin the state.” Biodiesel legislation has been adopted in otherstates, including Illinois and Minnesota. And a federal biodiesel excise tax, which wentinto effect a year ago and was recently extended to 2008, has boosted demand thtoughout the country. The involvement of celebrities in the biodiesel crusade — including country singer Wil- N.Y., who is pushing the curreneylegislation, aa the rising deficit amounted to “a slow bleeding at the wrists economi- wre ‘ition. 50 environmental group Climate cost of a barrel of biodiesel. “It is hugely expensive,” Floyd said. By shifting tolocally produced canola oil, TTobisshopes to oe abetter handle on costs and help Washington farmers discover a new cash crop. Canola oil also produces a higher grade offuel. “The corporategoal is to make biodiesel r than petroleum diesel,” said’Tobias, who ran his VW Beetle on Washington canola oil last summer. “Weneed to invest a lot in process technology and scale in orderto do that.” The idea ofsetting up small-_ Ly America’s gargantuan ray . trade deficit isa weight a approachof emphasizing such things as expanded access for US.exports in countries such as China was the better approach. “Wecan't overreact and make 0 tor at the nonprofit Seattle director Nancy Floyd saidcan posted on the union Website Friday, said is one thatis playing hardball. “It is in management's best interest to understand thatit is time to ene their’demand return to the time-honored practice of ear- Friday that the administration's 40 Biodiesel, the largest producer _in the Pacific Northwest, said Patrick Mazza,research direc- past threeyears,a trendits . a 2 the biodiesel be derived ee crops grownin the state. That could be a huge boost , for companies such as Seattle management expectsto continue in 2006 with projected . earningsof atleast $29 million on revenue of $960 million. Netflix’s stock price has more than tripled since its 2002initial ess offering. A September 2004 lawsuit cast a spotlight on the throttling issue. The complaint, filed of debt, bankruptcy and aces n low-wage service jobs. : _a “predominantportion add as much as 50 cents tothe Pulling them into a-cycle DJ FMAMJ JASOND 2008 2004 bit aiey rue eee a that Nth Power Netflix denied the allegations, of use to acknowledge itsdifferent treatment of frequent renters. Without acknowledging wrongdoing, the company agreed to provide a one- _ month rental upgrade and pay Chavez's attorneys $2.5 million, but the settlement sparked protests that prompted the two _sides to reconsider. A hearing on a revised settlement proposal is for Feb. 22 in San Francisco Superior Court. Netflix subscribers such as NathanielIrons didn’t believe the company was purposely delaying some DVDshipments until he read the revised terms 155 190 ie 135 130 125 Q , Seattle Biodiesel imports soybean oil fromthe Midwest, a costly endeavor in Washington contain at least 2 percent biodiesel if but eventually revised its terms is so bein Eastern ion, where Seattle Bi hopestotransform canola, a variety of the rapeseed plant,intooil. ata — renters to keep them happy. limit on rentals, 10,919.05 Friday after being downas much as 63 points earlier in the session. The chief culprit in pushing thedati uplast year was record global oil prices and {7 ’s new crush- ingfecy — puts Hastingsssaid the company you should expect to get 10,000 a month.” Inits terms of use, Netflix says most subscribers check out two to 11 DVDs per month. Managementhas previously acknowledged to sabes that it risks money on relatively small percentage of frequent renters. Therisk has increased since Netflix reduced the price of its most popular subscription plan by $4 per month in 2004 and the U.S. Postal Service recently raised firstclass mailing costs by 2 cents. Netflix’s approach haspaid off so far. The company been profitable in each fis the rose 35.70 points to close at increased U.S. demand because provide up to a action pate of biodiesel tothe Port of Se. _places such as Seattle and but “‘unlimited’ doesn't mean around American ; . $173 m0n FO re eee hittp/Awww.Iecaee eee “Netflix isn’t well within its rights to throttle users,” comacustomer identified as has no ee the next available DVD onthe cman online wish list. a use everyone pays a _fee, Netflix makes more money from customers who only watch four or five DVDs per month. Customers who quickly return their movies in order to get more erode the company’s profit margin because each DVD sent out and returned _costs 78 cents in postage alone. Alt ‘h Netflix consistently promoted its service as the DVDequivalent of an all-youcan eat smorgasbord, some heavy renters began to suspect they were being treated differ- ap Sahepomimens are large biodiesel y Tobias dectitiedtocomment on the new rn oe thoughhe said it would «* D5 ‘ . UEEN QWINTERSALE| Fun is where the Farm is! Orem wage ----->i Store 1032 S State 3700 N hae me UL) 800-371-0819 ‘WeWillOptimize What You Were Born With J keel Haagar’s Mattress |