Top Kurdish Militant Is Among Three Slain in Paris

Thomas Samson/Agence France-Presse — Getty Images

Members of the Kurdish community in France protested on Thursday near the institute in Paris where three Kurdish women were found killed.

PARIS — Three Kurdish women, including a founding member of a leading militant group fighting for autonomy in Turkey, were shot to death at a Kurdish institute in central Paris, police officials said on Thursday, potentially jeopardize fragile efforts to negotiate a cease-fire in the decades-old conflict.

News reports identified one of the women as Sakine Cansiz, a founder of the Kurdistan Workers’ Party, known by the initials P.K.K. Another was identified as Fidan Dogan, the head of the institute and a representative of the Kurdistan National Committee. The third woman was Leyla Soylemez, a youthful Kurdish activist.

The women’s bodies were discovered shortly before 2 a.m. on Thursday, according to Agnès Thibault-Lecuivre, a spokeswoman for the Paris prosecutor’s office, and the antiterror department of the prosecutor’s office will oversee the investigation.

“No hypothesis can be excluded at this stage" about the motive for the killing, she said, declining to confirm the identities of the victims.

Earlier, a police official said the circumstances of the killings “could lead to the conclusion that this was an execution but inquiries will determine the precise nature of this drama.” Visiting the institute on Thursday, French Interior Minister Manuel Valls called the killings “intolerable” and said they were “without doubt an execution.”

Berivan Akyol, an employee at the Kurdish Institute of Paris, located in the 10th district of the city near the Gare du Nord railroad station, was quoted as saying the killings — which opened a new chapter in the often murky annals of Kurdish exile life — were “politically motivated.”

While Kurdish militants blamed Turkey, Turkish officials said the women could have been killed because of feuding within the P.K.K. Huseyin Celik, the deputy chairman of the ruling party in Turkey, said the shootings seemed to be part of “an internal feud,” but offered no evidence to support the claim, The Associated Press reported.

Police officials said a murder investigation had been opened. The bodies and three shell casings were found in a room at the institute. The women were all said to hold Turkish passports.

The P.K.K. has been fighting a bitter guerrilla war against the Turkish authorities for almost three decades to reinforce demands for greater autonomy. The conflict has claimed some 40,000 lives. But, recently, Turkish officials have acknowledged that the authorities in Ankara have negotiated a tentative peace plan with the imprisoned P.K.K. leader, Abdullah Ocalan.

Turkey, the United States and the European Union have labeled the P.K.K. a terrorist organization, but sympathy for the group and its goals remains widespread in many towns in Turkey’s rugged southeast.

Restive Kurdish minorities span a broad region embracing areas of Turkey, Syria, Iraq, Iran and parts of the former Soviet Union. Regional turmoil in recent years has emboldened Kurdish separatists inspired by the example of Iraqi Kurds who control an autonomous zone. Turkey also fears that the civil war in neighboring Syria could strengthen the separatist yearnings of Kurds there, feeding Kurdish activism in Turkey.

The killings, which apparently took place Wednesday, inspired hundreds of Kurdish exiles to gather outside the institute onb Thursday, chanting “We are all P.K.K.” and accusing Turkey of assassinating the three women, abetted by the French president, François Hollande.

The bodies were first discovered in the early hours of Thursday by Kurdish exiles who had become concerned about the whereabouts of the women.

  The victims had been alone in the building on Wednesday and could not be reached by telephone in the late afternoon, according to Leon Edart, who manages the center. Mr. Edart, speaking to French reporters, suggested the victims may have opened the door to their killer or killers.

An organization called the Federation of Kurdish Associations in France, representing many of the estimated 150,000 Kurdish exiles in the country, said in a statement that the women might have been killed on Wednesday afternoon with weapons equipped with silencers.

Scott Sayare reported from Paris, Alan Cowell from London and Sebnem Arsu from Istanbul.

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Could Alex Jones’s “revolution” actually happen?

Piers Morgan had it easy. Radio show host and author Alex Jones threatened the rest of us with a ”revolution” if the government decides to confiscate guns from the homes and glove compartments of law-abiding Americans. It’s almost too easy to dismiss Jones as a fringe figure, especially since fringe ideas make their way into the mainstream with (exciting? alarming?) frequency these days. So let’s take him seriously.

Let’s accept his premise. Actually, let’s dismiss it first but then turn around and accept it for the sake of argument. The government has not the means nor the mechanism nor the credibility to confiscate 100,000 guns, much less 600,000,000. And those in the government doing the confiscating would be neighbors and relatives of the confiscatory victims: police officers, national guard members, Army reservists. Of course, Jones might say that their intent is bad enough. But “they” — the Obama administration, I assume — have no such intentions, and never did.

But OK. Let’s say that the government tries to confiscate guns and “the people” attempt to revolt.  No doubt that civil disobedience can spring up rather spontaneously and even be organized very quickly, but if rioting were to somehow break out in American cities, it would be isolated and theoretically containable. Organizing a “revolt” would require extensive planning, including the massive transportation of citizens from their homes to wherever the rally points were, a communications infrastructure, and leaders. The same Open Source culture that would make it difficult for the government to plan a confiscation in secret makes it just as unlikely for citizens to plan a feasible response to that confiscation in secret.

One of Jones’s obsessions, which, I confess, I share, is the militarization of the American homeland, and he is not promulgating a conspiracy here. The military has expanded its presence on American soil, and crucially, has expanded the way it is organized to respond to mass contingency events of any kind, including natural disasters and rioting. The U.S. Northern Command does receive intelligence briefings about domestic disturbances from the FBI and DHS, so commanders would be somewhat prepared to deploy troops. Thousands would come from the standing Army, but the bulk would be drawn from state National Guard detachments. It is exceedingly difficult to picture weekend warriors following blind orders en masse to detain or harm U.S. citizens when local police resources are stretched. The government has the power of command and control, but the people have the power of fellow-feeling. The government’s response to any real revolt would probably be quite restrained. There’d be too much attention paid to every movement of every tank to act harshly. The strategy to contain any “revolt” might therefore depend on a period of people letting out their energies and then returning to their normal business. 

Ah, but what if the government controls the communication nodes?  Well, corporations do; I assume Jones would have them immediately bend to a secret executive order shutting down serves and clouds and services like Twitter, but even if corporations agreed to do this, together, it would take days to get even a fraction of the telecom infrastructure offline. Maybe the government would order a mass power outage. But that’s why so many Americans have generators in the first place!  Although government “boards” comprising major telecom and infrastructure executives do exist, the most they’ve ever contemplated doing is to shut down a narrow slice of an infected communications node. These days, they’re focused on the cyber threat.  In the early days of civil defense planning, when there were a few television networks an AT&T had its monopoly, the threat of a government takeover of TV, radio and telephones was technically feasible. Today it is not. Actually, it does not make sense. What’s turned on really cannot be turned off.

But wait. if Jones’s “revolution” is to succeed, he needs to take over the government, because he’d need to dominate communications as well, unless he assumes that his movement would be organic and immune to arguments from elected officials asking for stability and calm.

An objective of anyone who wants to take over the government would be a seizure of the Emergency Broadcast System, which allows the President to speak to the nation through almost any mechanism of communication at any time. The EBS lives at Mt. Weather, the massive FEMA bunker in Virginia, but it can be activated and controlled from at least a dozen other places, including the briefcase of the Emergency Actions officer who travels with the President.  A coordinated violent action to seize control of this key portal would require an incredible amount of prior planning.

Assuming even that the government’s response to isolated-turned-mass rioting is uneven, the President would be able to address Americans anytime he wants. In theory, Jones’s followers could try to take over every broadcast entity in America, or could try and jam the broadcasts using sophisticated electronic warfare technology available to the military, but once again, the practicalities are not possible.

Because there will be no revolt over gun control, because there will not be and cannot be a mass confiscation of guns, playing with these ideas is fanciful and fodder for a sequel to Seven Days in May. Heck, we haven’t even addressed the FEMA concentration camps (which don’t exist).  But that isn’t to say that nothing discussed above will ever be relevant. It is much easier to imagine a small-scale revolt, a series of pre-planned violent protests against the powers that be, perhaps because the political system seems so non-responsive to the worries of people who listen to Alex Jones.  It would not take much to make Americans nervous about the government’s ability to restore law and order. And that frission itself is probably the most unknowable of all these factors.

Patriotic citizens aren’t supposed to speculate about these extremely unlikely events, but the government certainly thinks about them. So maybe we should too.

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Whoa! Check Out Taylor Swift’s Sexy Breakover!

Stylewatch
Style News Now

01/09/2013 at 09:30 PM ET

Steve Granitz/WireImage

Don’t worry about changing your relationship status on Facebook, Taylor, since this dress sends the message loud and clear.

For her first official appearance after breaking up with One Direction’s Harry Styles, the newly single star showed a side of her we’ve never seen at the People’s Choice Awards in L.A. on Tuesday night.

Clad in a plunging white gown with cap sleeves, plus turquoise danglers and an intense smoky eye, Swift created quite a buzz when she hit the red carpet.

PHOTOS: SEE MORE PEOPLE’S CHOICE AWARDS RED CARPET STYLE!

Swift has been venturing away from her signature sparkly princess dresses and taking more fashion risks lately, but this is her most revealing look yet.

Now if only she could stay sans boyfriend long enough to keep up this sexy style streak … Tell us: Do you like Swift’s hot new look?

–Jennifer Cress

RELATED: TAYLOR SWIFT GETS KANYE’D … AGAIN!

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Irvine City Council overhauls oversight, spending on Great Park

Capping a raucous eight-hour-plus meeting, the Irvine City Council early Wednesday voted to overhaul the oversight and spending on the beleaguered Orange County Great Park while authorizing an audit of the more than $220 million that so far has been spent on the ambitious project.

A newly elected City Council majority voted 3 to 2 to terminate contracts with two firms that had been paid a combined $1.1 million a year for consulting, lobbying, marketing and public relations. One of those firms — Forde & Mollrich public relations — has been paid $12.4 million since county voters approved the Great Park plan in 2002.

"We need to stop talking about building a Great Park and actually start building a Great Park," council member Jeff Lalloway said.

The council, by the same split vote, also changed the composition of the Great Park's board of directors, shedding four non-elected members and handing control to Irvine's five council members.

The actions mark a significant turning point in the decade-long effort to turn the former El Toro Marine base into a 1,447-acre municipal park with man-made canyons, rivers, forests and gardens that planners hoped would rival New York's Central Park.

The city hoped to finish and maintain the park for years to come with $1.4 billion in state redevelopment funds. But that money vanished last year as part of the cutbacks to deal with California's massive budget deficit.

"We've gone through $220 million, but where has it gone?" council member Christina Shea said of the project's initial funding from developers in exchange for the right to build around the site. "The fact of the matter is the money is almost gone. It can't be business as usual."

The council majority said the changes will bring accountability and efficiencies to a project that critics say has been larded with wasteful spending and no-bid contracts. For all that has been spent, only about 200 acres of the park has been developed and half of that is leased to farmers.

But council members Larry Agran and Beth Krom, who have steered the course of the project since its inception, voted against reconfiguring the Great Park's board of directors and canceling the contracts with the two firms.

Krom has called the move a "witch hunt" against her and Agran. Feuding between liberal and conservative factions on the council has long shaped Irvine politics.

"This is a power play," she said. "There's a new sheriff in town."

The council meeting stretched long into the night, with the final vote coming Wednesday at 1:34 a.m. Tensions were high in the packed chambers with cheering, clapping and heckling coming from the crowd.

At one point council member Lalloway lamented that he "couldn't hear himself think."

During public comments, newly elected Orange County Supervisor Todd Spitzer chastised the council for "fighting like schoolchildren." Earlier this week he said that if the Irvine's new council majority can't make progress on the Great Park, he would seek a ballot initiative to have the county take over.

And Spitzer angrily told Agran that his stewardship of the project had been a failure.

"You know what?" he said. "It's their vision now. You're in the minority."

mike.anton@latimes.com

rhea.mahbubani@latimes.com

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In Old Taliban Strongholds, Qualms on What Lies Ahead

LOY BAGH, Afghanistan — The battle against the Taliban in Helmand Province was so fierce two years ago that farmers here say there were some fields where virtually every ear of corn had a bullet in it.

Now it is peaceful enough that safety concerns were an afterthought during this year’s harvest. In districts of Helmand like Marja and Nad Ali that used to be Taliban strongholds, life has been transformed by the American troop surge that brought in tens of thousands of Marines three years ago. Over several recent days, a reporter was able to drive securely to places that in the past had been perilous without a military escort, and many of the roads were better paved, too.

So why, then, was it so difficult to find an optimist in Helmand Province?

In conversations with dozens of tribal elders, farmers, teachers and provincial officials, three factors loomed large: dissatisfaction with the Afghan government, the imminent departure of Western troops and recognition that the Taliban are likely to return. Few expressed much faith in the ability of the Afghan government and security forces to maintain the security gains won by the huge American and British military effort here.

Although some people said they believed that areas near the provincial capital would remain secure, beyond that there was little confidence, and many voiced worries that much of the province would drift back under Taliban control after the NATO combat mission ends in 2014.

Even now, with at least 6,500 Marines still in Helmand after a peak of 21,000 troops last year in Helmand and neighboring Nimroz Provinces, local people say the Taliban have begun “creeping back.” Residents report that threats from nearby militant commanders have increased, and that the Taliban are sending in radical mullahs to preach jihad in the mosques and woo the young and unemployed to their cause.

As fearful as residents may be of a resurgent Taliban, they are also angry at the government for what they see as widespread corruption and hypocrisy. Some of that anger focuses on bribery connected with government services, and some on policies relating to the opium trade, which still thrives here. Helmand is the supplier of more than 40 percent of the world’s opium, according to United Nations statistics, and the poppy crop is still the most profitable one by far. Even farmers who are willing to grow other crops are angry at officials who have eradicated poppy but failed to provide enough help with alternatives. Farmers say some of those same officials profit from the drug trade they profess to be fighting.

“Before the surge, the government in Helmand did not control even a single district,” said Hajji Atiqullah, a leader of the powerful Barakzai tribe in the Nawa district of central Helmand. “They had a presence in the district centers, a very small area, but the Marines cleared many districts, and they expanded the presence of the central government.”

Afghan forces now control his district, he said, but will not be able to hold it unless “the foreigners manage to get rid of corruption in the Afghan government, in the districts and the province levels.”

Local elders fear that many farmers, especially those impoverished by the government’s strict poppy eradication policies, will return to opium cultivation and look to the Taliban or other criminals for protection because the government has not offered them a satisfactory substitute livelihood.

“Before the Marines launched this big offensive, Marja was the center of the opium trade,” said Ahmad Shah, the chairman of the Marja development shura, a group of elders that works with the government to try to bring change here. “Millions and millions of Pakistani rupees were being traded every day in the bazaar. People were so rich that in some years a farmer could afford to buy a car.

“We were part of the eradication efforts by the government, and if they had provided the farmer with compensation, we could have justified our act. But the government failed to provide compensation, and unless it does so, the people will turn against us or join the insurgency and be against development, as they were during the Taliban.”

Part of the government’s rationale for poppy eradication was to starve militants of the opium profits that have been important to their finances. As opium cultivation was pushed away from the centers of the American troop surge, the Taliban made new allies by providing protection for farmers who moved their poppy cultivation to outlying deserts. Over the past few years, militants and opium farmers have increasingly found common cause.

A largely British-financed alternative crop program made significant headway at first in persuading farmers to switch crops, but few farmers could do as well as they had with opium.

Habib Zahori contributed reporting from Kabul, Afghanistan.

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Brooke Burke-Charvet Reveals Thyroid Cancer Surgery Scar

01/09/2013 at 07:25 AM EST

Brooke Burke-Charvet put on a brave face Tuesday morning, recounting the emotional distress she endured leading up to her thyroidectomy.

Managing to stay smiling, the typically upbeat Dancing with the Stars co-host, 41, told Good Morning America her initial diagnosis was "shocking," adding, "I never thought I'd hear the word 'cancer' in relation to myself. The [thought] in my mind when I [heard the news] is that I'm a mother, I've got four children, I've got a family counting on me."

Burke-Charvet's brood was very supportive of her health condition, but it was especially tough for her older daughter.

"It was in the news, and her friends had to come to her and say, 'Oh, we heard about your mom. We're so sorry,' " Burke-Charvet said. "She cried."

Now healthier, the TV personality has a permanent reminder of that tough time in her life.

"[There's] no makeup [on my scar]," she said, revealing her bare neck. "This is a first for me. I've been scarfing it up."

But a little scarring is now the least of her concerns.

"It's fresh, it's a month old and I think scars tell a story," she said. "And I think I'm so fortunate."

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Report: Death rates from cancer still inching down

WASHINGTON (AP) — Death rates from cancer are continuing to inch down, researchers reported Monday.

Now the question is how to hold onto those gains, and do even better, even as the population gets older and fatter, both risks for developing cancer.

"There has been clear progress," said Dr. Otis Brawley of the American Cancer Society, which compiled the annual cancer report with government and cancer advocacy groups.

But bad diets, lack of physical activity and obesity together wield "incredible forces against this decline in mortality," Brawley said. He warned that over the next decade, that trio could surpass tobacco as the leading cause of cancer in the U.S.

Overall, deaths from cancer began slowly dropping in the 1990s, and Monday's report shows the trend holding. Among men, cancer death rates dropped by 1.8 percent a year between 2000 and 2009, and by 1.4 percent a year among women. The drops are thanks mostly to gains against some of the leading types — lung, colorectal, breast and prostate cancers — because of treatment advances and better screening.

The news isn't all good. Deaths still are rising for certain cancer types including liver, pancreatic and, among men, melanoma, the most serious kind of skin cancer.

Preventing cancer is better than treating it, but when it comes to new cases of cancer, the picture is more complicated.

Cancer incidence is dropping slightly among men, by just over half a percent a year, said the report published by the Journal of the National Cancer Institute. Prostate, lung and colorectal cancers all saw declines.

But for women, earlier drops have leveled off, the report found. That may be due in part to breast cancer. There were decreases in new breast cancer cases about a decade ago, as many women quit using hormone therapy after menopause. Since then, overall breast cancer incidence has plateaued, and rates have increased among black women.

Another problem area: Oral and anal cancers caused by HPV, the sexually transmitted human papillomavirus, are on the rise among both genders. HPV is better known for causing cervical cancer, and a protective vaccine is available. Government figures show just 32 percent of teen girls have received all three doses, fewer than in Canada, Britain and Australia. The vaccine was recommended for U.S. boys about a year ago.

Among children, overall cancer death rates are dropping by 1.8 percent a year, but incidence is continuing to increase by just over half a percent a year. Brawley said it's not clear why.

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Charlie Sheen downplays Baja encounter with L.A. mayor

Los Angeles Mayor Antonio Villaraigosa found himself sucked deeper into the Charlie Sheen-TMZ-Hollywood gossip vortex Tuesday, with the actor speaking out again about the night they met up at a hotel in Mexico over the holidays.

Sheen made news last month after he tweeted a picture of himself with his arm around Villaraigosa the night of Sheen's bar opening in Baja California, Mexico. The former star of "Two and a Half Men" praised the mayor as a man who "knows how to party." But Villaraigosa downplayed the significance of the image, telling KNBC's Conan Nolan over the weekend that he had only "bumped into" Sheen and engaged in a three-minute conversation.

On Tuesday, Sheen challenged Villaraigosa's account, telling celebrity website TMZ that the mayor was drinking in Sheen's hotel suite in a room full of beautiful women, including at least one porn star. "I memorize 95 pages a week, so the last thing that I am is memory challenged," Sheen told the website. "We hung out for the better part of two hours."

Hours later, Sheen issued a more muted account, saying the mayor had spoken to many other people at the opening of the bar. "I am a giant fan of the mayor's and apologize if any of my words have been misconstrued," the statement said.

By then, however, Villaraigosa found himself fending off related questions at a news conference meant to be devoted to billionaire Eli Broad's new downtown art museum. "Can you just set the record straight for us?" asked one reporter. "What was it? Two hours or three minutes?" asked another. Then came the zinger: "Does what happens in Cabo stay in Cabo?"

Villaraigosa cackled at the Cabo crack but refused to take the bait. "I've said what I'm going to say on that, everybody," Villaraigosa declared. "You had fun. Let's talk about the important things, like a thousand jobs today" — a reference to construction work going on at Broad's museum.

Villaraigosa has frequently bristled at media questions about his personal life, going silent on some occasions and becoming visibly angry on others. Last week, he told KNBC's Nolan that Nolan had asked a "bozo question" about the Sheen photograph. He also noted that Nolan and other newsroom staffers have, like Sheen, asked the mayor to pose for pictures with them.

Sheen has been a TMZ staple, using the website as a platform to talk up his $100,000 gift to celebrity Lindsay Lohan and his porn star "goddesses." And Villaraigosa has glided easily between the world of politics and the entertainment industry since being elected in 2005.

"He's a celebrity mayor. And he's always wanted to be that," said Jaime Regalado, professor emeritus of political science at Cal State L.A. "If you're going to be a celebrity mayor, you have to take the good and the bad and everything in between" when it comes to news coverage.

david.zahniser@latimes.com

kate.linthicum@latimes.com

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Videos of Chávez Promote Stability During Illness

Meridith Kohut for The New York Times

In Caracas on Saturday, Venezuelans showed support for President Hugo Chávez, who is in Cuba after an operation.

CARACAS, Venezuela — They run around the clock on state television, highly polished videos of President Hugo Chávez hugging children, kissing grandmothers, playing baseball and reciting poetry. As supporters around the world hold up hand-lettered signs that say, “I Am Chávez,” the president’s voice is heard in one of them shouting, “I demand absolute loyalty because I am not me, I am not an individual, I am a people!”

In reality, officials say, Mr. Chávez lies in a Cuban hospital bed, struggling through complications from cancer surgery while his country heads toward a constitutional showdown over his absence.

Mr. Chávez’s fragile health has thrown Venezuela into political uncertainty. After being re-elected in October, he is supposed to be sworn in for the start of his new term on Thursday, but the charismatic leader who has dominated every aspect of government here for 14 years may be too ill to return in time, much less continue in office for the next six years. Top government officials insist that the swearing-in is just a formality. The opposition, meanwhile, says the Constitution requires that Mr. Chávez be present or, in his absence, that a process begin that could lead to new elections.

The government’s television barrage seems intent on reassuring loyalists — and anyone who might raise questions — that Mr. Chávez is still very much the head of the nation. By keeping his image front and center, analysts say, the government can bolster its position as the caretaker of his legacy, mobilize its supporters for the battle over interpreting the Constitution and build momentum for itself in elections should Mr. Chávez die or prove too sick to govern.

“They have combined the mechanisms of left-wing struggle with the best marketing team there is,” said J. J. Rendón, a political consultant who opposes the government.

He compared the saga over Mr. Chávez’s illness to a telenovela, one of the popular Latin American soap operas, with its unexpected plot twists that keep viewers on edge. “They are always prepared for different scenarios,” he said of the government.

During past trips to Cuba for cancer treatment over the last year and a half, Mr. Chávez worked to maintain his customary visibility back home, heading televised cabinet meetings, making phone calls to government-run television programs and posting on Twitter.

But this time is different. He has not been seen or heard from since his surgery on Dec. 11.

To fill the void, the government montages combine elements of campaign ads and music videos, sometimes with the feel of a religious revival broadcast.

They are Mr. Chávez’s greatest hits, showing him on the campaign trail or in scenes from happier times during his many years in office, a nostalgic and emotionally charged way for his supporters to connect with their absent leader. Set to rock, rap or folk music, they mine parallels between Mr. Chávez and his hero, the Venezuelan independence leader Simón Bolívar, and resonate with the religious devotion with which some of his followers regard him.

In one, Mr. Chávez is seen reciting a favorite poem exalting Bolívar. Another shows glowing pictures of Mr. Chávez while choirlike voices sing, “Chávez is the triumphant commander, Chávez is pure and noble love.”

“There is a process of converting Chávez into a myth with religious roots,” said Andrés Cañizalez, a communication professor at the Andrés Bello Catholic University.

The television spots, he said, are part of “a political strategy to keep alive this idea that Chávez is not just a political leader but he’s the father of the country, he’s a patriarch, he’s a figure who protects us, who takes care of everything for us, something more than a president.”

Many of Mr. Chávez’s followers already speak of him in religious terms, as a godlike presence, and the campaign seems intended to feed those perceptions.

María Eugenia Díaz contributed reporting.

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Galaxy phones power Samsung to record $8.3 billion profit

SEOUL (Reuters) – Samsung Electronics, the world leader in mobiles and memory chips, said it likely earned a quarterly profit of $ 8.3 billion, as it sold close to 500 handsets a minute and as demand picked up for the flat screens it makes for mobile devices, including those for rival Apple Inc products.

That run of five straight record quarters may end in January-March on weaker seasonal demand, though a strong pipeline of smartphones – the South Korean group’s biggest earner – and improving chip prices have eased concerns that earnings growth could slow this year, powering Samsung shares to record levels last week.

The stock closed down 1.3 percent on Tuesday, in a Seoul market that fell 0.7 percent.

“Investors are a bit concerned that Samsung’s momentum may slow in the first half. The smartphone market is unlikely to sustain its strong growth as advanced markets are nearing saturation despite growth in emerging countries,” said Kim Sung-soo, a fund manager at LS Asset Management.

Samsung has outpaced Apple – its biggest rival and biggest customer – despite the U.S. firm’s launch of the latest iPhone 5, with sales momentum boosted by its Galaxy Note II phone-cum-tablet, or ‘phablet’, in the fourth quarter. IPhone 5 sales were a little below expectations, analysts said.

While Apple rolled out just a single new smartphone last year globally, Samsung bombarded the market with 37 variants tweaked for regional and consumer tastes, from high-end smartphones to cheaper low-end models. By comparison, Taiwan’s HTC Corp released 18 models, Nokia 9 and LG Electronics 24.

HTC on Monday said its fourth-quarter profit slumped more than 90 percent as its sales continue to trail those of the Galaxy range and the iPhone.

Samsung, valued at close to $ 230 billion, gave its October-December earnings guidance on Tuesday, ahead of the full earnings release expected by January 25.

A HIGH NOTE

Shipments of Samsung’s flagship Galaxy S III, which overtook the iPhone 4S in the third quarter to become the world’s best-selling smartphone, are likely to have slipped to around 15 million in the last quarter from 18 million in July-September, analysts estimate, but sales of around 8 million Galaxy Note II ‘phablets’ should more than make up for that – pushing overall smartphone shipments to around 63 million.

“The Note was selling well, boosting fourth-quarter profit, while iPhone 5 sales were less than expected,” said Song Myung-sub, an analyst at HI Investment & Securities.

“Samsung’s profit will drop in the current quarter because of decreased phone profits. It will launch the Galaxy S IV only in March or April so, without new models, phone sales prices will fall this quarter. For the whole year, Samsung will launch new models faster than Apple and have the upper hand in the smartphone market.”

The new Galaxy, widely expected to be released within months, may have an unbreakable screen and full high-definition quality resolution boasting 440 pixels per inch, as well as a better camera and a more powerful processor.

“Samsung’s smartphone shipments are likely to grow even in a seasonally weak first quarter. The early launch of the Galaxy S IV would drive second-quarter growth momentum,” said BNP Paribas Securities analyst Peter Yu, who predicts Samsung’s 2013 operating profit will grow 25 percent to almost $ 35 billion.

Samsung is expected to increase its smartphone sales by more than a third this year, and widen its lead over Apple as it offers a broader range of mobile devices, said Neil Mawston, executive director at market researcher Strategy Analytics, which forecasts Samsung will sell 290 million smartphones this year, up from a projected 215 million in 2012.

Kim Sung-in, an analyst at Kiwoom Securities, sees Samsung shipping 320 million smartphones this year and doubling sales of its tablets to 32 million.

STRONG NUMBERS

Samsung said its October-December operating profit jumped 89 percent to 8.8 trillion won from a year ago, just ahead of a forecast for 8.7 trillion won by 16 analysts surveyed by Reuters. That is 8.6 percent higher than its previous record of 8.1 trillion won in July-September.

Analysts expect profits from the mobile division to more than double from last year and increase slightly from the previous quarter, to around 5.8 trillion won. A recovery in chip prices and flat screens should also boost component earnings, helped by booming sales of mobiles carrying Samsung’s chips, micro-processors and flat screens.

Reflecting the strong outlook, shares in Asia’s most valuable technology stock last week hit a life high of 1.584 million won ($ 1,500). The stock gained 44 percent last year, topping Apple’s 31 percent increase and easily outpacing a 9 percent rise on the broader Korean market.

Samsung, led by founding family member and chairman Lee Kun-hee, is embroiled in a patent legal battle with Apple globally. Apple won a $ 1.05 billion verdict against Samsung in August, but has failed to win a permanent sales ban on several, mostly older Samsung models.

(Additional reporting by Joyce Lee and Narae Kim; Editing by Ian Geoghegan)

Wireless News Headlines – Yahoo! News

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