P2JW284000-8-A00100-10FEEB7178F CMYK Composite CL,CX,DL,DM,DX,EE,EU,FL,HO,KC,MW,NC,NE,NY,PH,PN,RM,SA,SL,SW,TU,WB,WE BG,BM,BP,CC,CH,CK,CP,DN,DR,FW,HL,HW,KS,LG,LK,MI,ML,NM,PA,PI,PV,TD,TS,UT,WO IN TODAY’S PAPER THE CAPITALIST CURE FOR TERRORISM REVIEW WSJ. MAGAZINE THE TRAVEL ISSUE VOL. CCLXIV NO. 87 WEEKEND ******** HHHH $2.00 SATURDAY/SUNDAY, OCTOBER 11 - 12, 2014 i Qatar’s U.S. Ties Strain Coalition Even in Death, Ebola Isolates Victims From Loved Ones What’s News i WSJ.com i World-Wide R epublicans sharply criticized the White House’s efforts to find a way to close the Guantanamo Bay detention facility. A4 BY JAY SOLOMON n The president of the World Bank faulted the slowness of the global response to the Ebola outbreak. A6 PAINFUL PARTING: In Monrovia, Liberia, a woman reaches for the body of her sister as it is taken away for cremation. The special handling of Ebola victims is proving traumatic in a country with strong funeral customs. On Friday, Brazil reported its first possible case of the virus. A6. n Lawsuits challenging the tightening of state voting rules will come to a head before midterm elections. A4 n Obama’s approval rating has kept his midterm campaign appearances low key. A4 Dow Erases Gains for the Year n The Supreme Court cleared the way for same-sex marriages to begin in Idaho, lifting a temporary hold. Tumultuous Week Shatters Market Calm as Global Growth Fears Rattle Investors n Some wealthy Russians are moving their money into dollars as the ruble falls to record lows. A7 BY E.S. BROWNING Global stocks tumbled on Friday, dragging the Dow Jones Industrial Average into negative territory for 2014 and shaking the confidence that many investors had clung to despite lackluster growth around the world. A wave of selling in the final hour of trading on Friday left the Dow at 16544.10, down 115.15 points, or 0.7%. The blue-chip index fell 466 points, or 2.7%, for the week, its worst weekly performance since August. The Dow rose or fell at least n Hong Kong residents are growing frustrated as student protesters have blocked roads throughout the city for nearly two weeks. A9 i i i Business & Finance n Gilead Sciences won U.S. approval for a new drug that builds on the company’s blockbuster Sovaldi treatment for hepatitis C. B1 n Stocks fell amid fears about global growth and disappointing tech-sector earnings, with the Dow tumbling into negative territory for the year. A1, B5 1% on three separate days, a sign of the stomach-churning worries now spreading through global financial markets. As big U.S. companies begin reporting third-quarter results, many investors fear that some firms will say weakening foreign markets and the strengthening U.S. dollar held down sales and could hurt future performance. Another problem: Because stock-price valuations are high, many investors believe low interest rates and inflation, strong earnings and steady economic growth are needed to keep push- ing stocks higher overall. The technology-laden Nasdaq Composite Index fell 4.45% for the week, while the small-stock Russell 2000 index slumped 1.4% on Friday. It is down 13% from its March high. This week’s most troubling news came largely from Europe, where surprisingly soft economic reports again raised the specter of recession. Germany announced unexpected weakness in manufacturing and exports. Meanwhile, falling oil and industrial-metals prices are fueling fresh worries that China, a buyer Peace Prize to Children’s Advocates n J.P. Morgan’s Dimon said the bank would double cybersecurity spending. B2 n Bernanke pushed back against assertions that the rescue of AIG was designed to punish the company. B2 n The oil-price slump is denting the budgets of some crude-producing countries. A8 n Tesla plans to offer hands-free driving in its Model S sedans in 2015. B4 n Nielsen blamed a software glitch for incorrectly attributing some fall TV ratings. B3 Inside NOONAN A13 Is ‘Worthy Fights’ Worthy? CONTENTS Books........................ C5-10 Corporate News... B3-4 Eating.......................... D5-7 Heard on Street.......B14 In the Markets.......... B5 Letters to Editor.... A12 Opinion................... A11-13 Sports............................ A14 Stock Listings........... B13 The Week...................... C4 U.S. News................ A2-4 World News........... A7-9 Wknd Investor...... B7-9 > s Copyright 2014 Dow Jones & Company. All Rights Reserved Getty Images (left); Xinhua/Zuma Press n Darden Restaurants shareholders voted to replace its entire board with a slate nominated by Starboard. B3 MOSCOW—Russian rock icon Andrei Makarevich was working the crowd between songs at the House of Music one evening last month when five roughlooking men hurled fruit at him, sprayed pepper gas and yelled: “Makarevich is a traitor to the motherland!” The incident capped the 60-year-old’s unintended transformation from the frontman of one of the foremost Soviet rock bands loved by millions of Russians to a blacklisted dissident. The tipping point: playing a concert for refugees in a town controlled by Ukrainian government troops. With his middle-of-the-road songs and boyish grin, Mr. Makarevich is a most unlikely character to COMMON STRUGGLE: Malala Yousafzai, left, a Pakistani teenager shot by Taliban militants after campaigning for girls’ education, and Kailash Satyarthi, an Indian children’s rights activist, shared the Nobel prize. A9 Seizing Loot Proves Tough In Foreign Fraud Probes  Turkey offers limited support.... A8  Low prices hit OPEC members.. A8 Russian Rock Stars Run Afoul Of Kremlin Over Ukraine BY JAMES MARSON have concerts canceled and be smeared on Russian TV as the “fascist” face of opposition to the Kremlin’s invasion of Ukraine. For years the clean-cut member of Russia’s rock scene, he sat next to President Vladimir Putin at a Paul McCartney concert on Red Square in 2003, when it seemed Russia was opening up to the West. Now, the campaign against Mr. Makarevich shows how the Ukraine crisis has transformed the atmosphere inside Russia, fueling a crackdown on critics and even the merely skeptical. Pro-Kremlin channel NTV labeled Mr. Makarevich one of 13 “friends of the junta,” as it refers to the Please turn to page A10  Worried Russians move funds into dollars............. A7 Canadian Fishermen See Red In Battle Over Lobster Size i i i Prince Edward Island, New Brunswick Have Locked Claws Over 10 Millimeters BY JAMES V. GRIMALDI BY DAVID GEORGE-COSH One of the Justice Department’s biggest efforts to seize property in the U.S. from allegedly corrupt foreign leaders is ending with a settlement for less than half of what the government sought. Teodoro Nguema Obiang Mangue, the vice president of Equatorial Guinea and son of the impoverished but oil-rich African country’s longtime president, has agreed to sell a Malibu, Calif., mansion, Ferrari and six life-size Michael Jackson statues. In return, the Justice Department will allow the 45-year-old Mr. Obiang to keep assets that include a Gulfstream jet, a luxury boat and most of his collection of Michael Jackson memorabilia. It includes a white, crystal-encrusted glove from the late singer’s “Bad” tour in the late 1980s. U.S. officials accused Mr. ObiPlease turn to the next page TIGNISH, Prince Edward Island—In Atlantic Canada, a few millimeters of lobster shell have some people seeing red. Fishermen in the provinces of Prince Edward Island and New Brunswick are at loggerheads over how big a lobster’s carapace must be for a lobster to be harvested. Fishermen in Prince Edward Island are fighting to keep the minimum carapace at 72 millimeters, or about 2.8 inches, while their counterparts in New Brunswick would like to see fishing restricted to lobsters with larger shell sizes—as much as 10 millimeters longer. That is .39 inch. At stake is tiny Prince Edward Island’s lock on the global market Composite n Morgan Stanley said its sale of certain businesses to Rosneft may fall apart. B2  Jason Zweig: Economist Shiller not deterred by market ........... B1  Tech sector’s tumble drags stocks lower ................................... B5 WASHINGTON—The Obama administration’s alliance with Qatar is shaking the international coalition against extremist group Islamic State, according to U.S. and Arab officials who say the Gulf emirate’s ties to powerful militant and Islamist groups in the Middle East are a problem. Qatar’s links with the main al Qaeda affiliate in Syria, Nusra Front, as well as with Hamas and the Taliban in Afghanistan, are heightening concerns in Washington and Arab capitals about the long-term intentions of the monarchy. Diplomats from Washington’s closest Arab allies, including Saudi Arabia, the United Arab Emirates and Jordan, have been warning the White House that Qatar is playing a double game in the region—publicly supporting U.S. policies while aiding its enemies. These countries have been pressing Washington to more forcefully reprimand Doha over those relationships. Qatari officials declined to comment on the allegations. Qatar is a critical cog in the latest U.S.-led Middle East war. It hosts the al-Udeid Air Base from where the Pentagon is launching many of its bombing strikes on Islamic State targets in Iraq and Syria. Qatar is one of five Arab countries formally taking part in the American-led coalition. Its air force has provided surveillance and logistical support for Please turn to page A8 ‘FRIENDS OF THE JUNTA’ n Sears said the paymentdata systems at Kmart stores were breached, compromising some card numbers. B3 n Blackstone Group said its corporate-advisory unit will be spun off and combined with PJT Partners. B1 of vast quantities of raw materials, might be slowing down more than previously thought. “It is the dollar and exposure to foreign economies that are weighing on the market here right now,” said Robert Pavlik, chief market strategist at Banyan Partners, which oversees $4.5 billion. Still, the Dow is down only Please turn to page A4 for so-called canner lobsters, younger and smaller lobsters that are prized for their sweeter taste and sought after by major customers, including casinos and cruise ships. The lobster market is worth about 144.2 million Canadian dollars ($130 million) a year to the province, which has a population of just 145,000. Across the Northumberland Strait in New Brunswick, lobster catchers say tastes have changed and that most customers prefer larger, older lobsters. Those bigger lobsters currently bring in around C$3.75 a pound—or 50 Canadian cents more than canners. Processors in their province also like them larger, in part because bigger tails mean bigger profits. Please turn to page A6 The best value in wireless. Now you can get the best value in wireless. Introducing the new Sprint Simply Unlimited Plan. It’s just $50/mo for unlimited data, talk, and text on America’s Newest Network. $ 50 plan exclusively for non-discounted iPhone 6 and iPhone 6 Plus. Other monthly charges apply.** Visit a Sprint store | 800-SPRINT-1 | sprint.com **Monthly charges exclude taxes & Sprint Surcharges [incl. USF charge of up to 16.1% (varies quarterly), up to $2.50 Admin. & $0.40 Reg./line/mo.) & fees by area (approx. 5%–20%)]. Surcharges are not taxes. See sprint.com/taxesandfees. Activ. Fee: $36/line. Sprint Simply Unlimited Plan: Offer ends 1/15/15. Available only for iPhone 6 and iPhone 6 Plus. Includes unlimited domestic Long Distance calling, texting and data. Third-party content/downloads are add’l charge. Int’l svcs are not included. Pricing may vary based on number of lines or device purchase type; 10 lines max. After 10 lines, an additional $10/mo./line max. line srv. charge applies. Line must remain activated on an iPhone 6 or iPhone 6 Plus. Usage Limitations: Other plans may receive prioritized bandwidth availability. To improve data experience for the majority of users, throughput may be limited, varied or reduced on the network. Sprint may terminate service if off-network roaming usage in a month exceeds (1) 800 min. or a majority of min. or (2) 100MB or a majority of KB. Prohibited network use rules apply—see sprint.com/termsandconditions. iPhone for Life Plan: Service plan rates and availability subject to change. Req. good standing. Other Terms: Offers and coverage not available everywhere or for all phones/networks. Available at participating Sprint stores. No discounts apply. May not be combined with other offers. Restrictions apply. See store or sprint.com for details. P2JW284000-8-A00100-10FEEB7178F n Malala Yousafzai of Pakistan and India’s Kailash Satyarthi were awarded the Nobel Peace Prize for their children’s rights activism. A9 John Moore/Getty Images n Qatar’s links to militant groups are straining the U.S.-led international coalition against Islamic State. A1 n Turkey has agreed to support an effort led by the U.S. to train and equip moderate Syrian rebels. A8 MAGENTA BLACK CYAN YELLOW