DealBook: Office Depot and OfficeMax Announce Plans to Merge, After Erroneous Release

9:40 a.m. | Updated

Office Depot and OfficeMax announced their plans to merge on Wednesday, just hours after an erroneous release about the deal briefly surfaced.

Under the terms of the deal, Office Depot said it would issue 2.69 new shares of common stock for each share of OfficeMax. At that level, the transaction would value OfficeMax at $13.50, or roughly $1.19 billion, a premium of more than 25 percent to the company’s closing price last week.

The deal has been anticipated, as the companies face an increasingly difficult competitive environment. Both companies, which are burdened with big real estate footprints, have struggled against lower-priced rivals like Amazon.com and Costco. By uniting, the two companies should be able to cut costs and better negotiate prices.

“In the past decade, with the growth of the internet, our industry has changed dramatically,” Neil Austrian, chairman and chief executive officer of Office Depot, said in a statement. “Combining our two companies will enhance our ability to serve customers around the world, offer new opportunities for our employees, make us a more attractive partner to our vendors, and increase stockholder value.”

While the deal has been years in the making, it was initially announced prematurely. A news release announcing the merger of the two office supply retailers was posted early Wednesday morning on Office Depot’s Web site, but it quickly disappeared.

Several news organizations reported the terms disclosed in the errant news release for Office Depot’s earnings. The details were buried on page four of the release under the header “Other Matters.”

As the details filtered through the market, shares of the companies jumped. In premarket trading, Office Depot’s stock rose more than 7 percent, while OfficeMax shares were up more than 8 percent.

The episode is reminiscent of other times that companies’ earnings releases were published prematurely. Last fall, Google’s third-quarter earnings were published three hours early, which the technology giant blamed on a mistake by R.R. Donnelley & Sons, the company’s printer.

Representatives for Office Depot and OfficeMax were not immediately available for comment on the erroneous release.

Strategically, the deal makes sense, as the companies deal with a changing competitive environment.

Combined, the companies reported about $4.4 billion in revenue for their third quarter of 2012; in comparison, Staples disclosed $6.4 billion in revenue for the same period.

Office Depot has also been under pressure from an activist hedge fund, Starboard Value, which sent a letter to the retailer’s board last fall. In it, Starboard called for more cost cuts and a greater focus on higher-margin businesses like copy and print services. With a 14.8 percent stake, Starboard is the company’s biggest investor.

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Oscar Pistorius denies charge of premeditated murder









PRETORIA, South Africa -- As his girlfriend, Reeva Steenkamp, cowered behind a locked door in a tiny bathroom, Oscar Pistorius strapped on his prosthetic legs, grabbed his pistol, strode seven yards to the door and fired through it four times, killing her, prosecutors alleged Tuesday as they laid out their case against the double-amputee Olympic runner in Pretoria Magistrate’s Court.


According to prosecutor Gerrie Nel, Pistorius’ actions amounted to premeditated murder.


But in an affidavit read in court, Pistorius said he was deeply in love with Steenkamp and denied any intent to kill her. “I know she felt the same way," he said in the document.








As the affidavit was read, Pistorius wept so bitterly that Chief Magistrate Desmond Nair had to halt the proceedings to allow the athlete time to compose himself.


But in a major blow for Pistorius, Nair agreed with the prosecution, ruling that for the purposes of Tuesday's bail hearing the charge against Pistorius was premeditated murder, a decision that will make it difficult for him to be granted bail.


Under South African law, those charged with a category six offense, the most serious category, must show exceptional circumstances as to why they should be released on bail.


Pistorius may now face months in jail before his trial. If convicted of premeditated murder, the 26-year-old Pistorius, who inspired the world by overcoming adversity to compete in the Olympic Games in London last year, faces life in jail.


The hearing took place at the same time as Steenkamp's family was holding a private funeral for the model.


Though Tuesday’s proceedings were a bail hearing, some of the main contentions of the prosecution and defense cases were aired.


Pistorius wept through much of the hearing, while his brother, Carl Pistorius, put his hand on the athlete’s back in a gesture of comfort. Asked by Nair if he understood the arguments being made, Pistorius replied in a soft, clear voice, "Yes."


Pistorius' defense attorney, Barry Roux, denied there had been any murder, and the runner’s family has made it clear that he will plead not guilty when his trial begins.


Roux argued that the killing was not premeditated. "It’s not even murder. There's no agreement there, not even concession that this is murder," he said, adding that there were many cases of men shooting their wives through doors, mistaking them for robbers.


In the affidavit, Pistorius said, "I deny the allegation in the strongest terms. Nothing can be further from the truth. I fail to understand how I could be charged with murder, let alone premeditated ... as I had no intention to kill my girlfriend."

According to his version of events, the couple had a quiet dinner on Valentine's Day, and he watched TV with his prosthetic legs off while she did yoga. Then, they turned in.


During the night, he said, he went outside to the balcony to get a fan -- without his prosthetic legs -- and heard noises in the bathroom. It was pitch black, and assuming a robber had gained entry, he felt horror and fear sweep through him, he said.


Feeling vulnerable without his prosthetic legs, he said, he grabbed his gun from under his bed, screamed out at the intruder and opened fire through the toilet door, yelling at Steenkamp to phone the police.


It was only after he returned to the bedroom and saw that she was not in bed that he realized it must be her in the toilet, he said.


According to Pistorius, he broke down the bathroom door with a cricket bat and carried her downstairs.


“She died in my arms,” he said.


Nel said there was no evidence available that supported the athlete’s contention that he thought Steenkamp was a burglar and shot and killed her by mistake.


"There is no possible information to support his version that it was a burglar," the prosecutor said.





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Same-Day Delivery Darling Shutl Takes on Amazon's Ground Game


Imagine ordering something online, but instead of the store telling you when your package will arrive, you tell them. A few million U.S. residents will soon have that option as same-day delivery darling Shutl prepares for its stateside launch within about a month.

The U.K.-based company has already received a lot of love from startup watchers and investors, including UPS, which has put $2 million behind Shutl. Already widely available in its home country, the hotly contested race among the biggest online retailers to make same-day delivery workable has created a lot of anticipation around whether Shutl can deliver on its ambitious promises in the U.S.


Shutl partners with specific retailers, who offer two Shutl delivery options during online checkout. If you choose the first option, “now,” Shutl promises to get you your order within 90 minutes. The second option, “when,” lets buyers pick any one-hour delivery window they want—any day, any time, Shutl founder and CEO Tom Allason says.


The only catch: You have to live within 10 miles of the store you’re ordering from.


At a time when Amazon offers millions of products at next-day delivery speed, such a limitation might seem like a tough sell.


But Allason says seamless same-day, name-your-own-time delivery gives brick-and-mortar stores an advantage against Amazon they didn’t have before—and an advantage Amazon can’t match.


Because its inventory lives at massive distribution centers at a distance from big cities, Amazon can’t avail itself of the efficiencies afforded by urban density, Allason says. In other words, Amazon’s trucks have to drive farther, and they all have to start at the same place.


Shutl’s software platform, on the other hand, finds the nearest brick-and-mortar store to the buyer and the nearest courier to the store.


“Their idea of local distribution is at state level,” Allason says of Amazon. “Our idea of local distribution is at street level.”


To be clear, Shutl is not a trucking company. It doesn’t have its own fleet. It’s a software company (Allason says two-thirds of his employees are engineers) that plugs store ordering and inventory systems into one end of its platform and the extra capacity of existing courier companies into the other end. Retailers pay Shutl a fee for each delivery they coordinate. The cost of a Shutl delivery for the buyer is typically under $10.


Other same-day startups such as Postmates do something similar, though Postmates functions as a stand-alone app that offers to pick up and ferry any item from any store. Its closest cousin here is likely eBay Now, which also offers one-hour delivery from local branches of national chain stores, though eBay employs its own dedicated couriers.


Allason says Shutl cannot yet reveal which retailers his company is working with in the U.S. In the U.K., stores offering Shutl as an option include Argos, one of that country’s largest online retailers after Amazon. And in that country at least, Shutl appears to be taking off: Allason says Shutl now reaches about 75 percent of the British populace and handles about 30,000 orders every day.


In one way, reaching an audience of that scale in the U.S. shouldn’t be hard. The first 12 metro areas Shutl is targeting here have twice the population of all 60 cities Shutl serves in the U.K. combined. The first three Shutl plans to serve in its debut—New York, San Francisco and Chicago—are all large enough and dense enough to provide a serious testing ground for same-day.


But beating Amazon in this country’s wide-open spaces won’t likely happen, Allason acknowledges. The economics of same-day delivery break down when stores and customers are too spread out. For rural residents, getting something the same day will still mean what it has for decades now: Getting into the vehicle and going to Walmart.


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Daniel Day-Lewis as Abe Lincoln makes unstoppable Oscar force






LOS ANGELES (Reuters) – If there is one sure bet in this roller coaster movie awards season, it is that Daniel Day-Lewis will take home the Best Actor statuette at the Oscars on Sunday.


Day-Lewis, known for his meticulous preparation, would become the first man to win three Best Actor Oscars, and awards pundits say it’s not hard to see why.






The tall, intellectual actor has swept every prize in the long Hollywood awards calendar for his thoughtful, intense portrayal of U.S. President Abraham Lincoln in Steven Spielberg‘s movie “Lincoln.”


“No-one has emerged to take him on. I don’t think he has lost a single (pre-Oscar) race. We have 25 experts and every single one is betting on Daniel Day-Lewis,” said Tom O’Neil of awards website Goldderby.com.


More surprising perhaps is that Day-Lewis will also be the first person to win an Oscar for playing a U.S. president. And it has taken a Briton with dual Irish citizenship, portraying one of America’s most revered leaders, to do it.


Although “Lincoln” started the Oscar race with a leading 12 nominations, its Best Picture front-runner status has dimmed in recent weeks with the ascendance of Iran hostage drama “Argo.”


But Day-Lewis’s star has only risen with Golden Globe, Screen Actors Guild and British BAFTA trophies, along with a slew of honors from film critics.


LINCOLN FOR A NEW GENERATION


Day-Lewis, 55, plays Lincoln in the last few months of a life cut short by his 1865 assassination in a film that focuses on the president’s personal commitment to abolish slavery and end the bloody four-year U.S. Civil War.


He’s not the first actor to play Lincoln on screen. Yet his quiet assurance, his adoption of a high-pitch voice rather than the booming tones associated with Lincoln, and the movie’s focus on complex political debates have shone new light on a man that many Americans thought they already knew well.


“It’s a performance that is subtle. It’s not the Lincoln you expect. It’s a different interpretation of Lincoln than we have seen and we feel, wow! This could be the way Lincoln was,” said Pete Hammond, awards columnist at Deadline.com.


“We are seeing a real human being played out here for the first time and that is extraordinary. Day-Lewis is bringing the character to life in a way we haven’t seen in years,” Hammond told Reuters.


It took Spielberg three attempts to convince Day-Lewis to play the role. Explaining his decision last month to take the part, Day-Lewis noted that “it was an actor that murdered Abraham Lincoln. Therefore, somehow it’s only fitting that every now and then, an actor tries to bring him back to life again.”


The London-born actor threw himself into the role with the same devotion that marked his Best Actor Oscar-winning performance as quadriplegic Irish writer Christy Brown in “My Left Foot” in 1989, when he spent weeks living in a wheelchair.


In “Gangs of New York,” he sharpened knives on sets between takes to capture the menace of Bill “The Butcher” Cutting, earning another Oscar nomination, and in 2008 he won his second Best Actor Award at the Oscars for his turn as a greedy oil baron in “There Will Be Blood.”


TEXTING LIKE LINCOLN


Sally Field, who plays his screen wife Mary Todd Lincoln, said Day-Lewis sent her text messages that were completely in character and in 19th century vernacular over a seven-month period prior to shooting “Lincoln.”


Joseph Gordon-Levitt who plays Lincoln’s son Robert, said he didn’t get to know Day-Lewis until after production wrapped.


“I never met Daniel in person,” Gordon-Levitt told reporters. “I only ever met the president, only ever heard the president’s voice. I called him sir, and he called me Robert.”


With four Academy Award nominations and two wins before “Lincoln,” Day-Lewis appears to have barely set a foot wrong in his 30-year career. Yet there have been missteps, including the box-office flop of star-laden musical “Nine” in 2009.


“He was sorely miscast as Guido, the adorable gigolo, and he was not convincing at all. He brought the whole film down,” recalled O’Neil. “‘Lincoln’ is a spectacular career rally for him after that disaster.”


While others are betting on Day-Lewis to take home a third Academy Award on Sunday, the actor has been modest about his chances.


“Members of the Academy love surprises, so about the worst thing that can happen to you is if you’ve built up an expectation. I think they’d probably be delighted if it was anybody else,” he told reporters after winning the Screen Actors Guild trophy in January.


Those “anybody elses” in the running are Bradley Cooper for “Silver Linings Playbook,” Denzel Washington’s alcoholic pilot in “Flight,” Joaquin Phoenix for “The Master” and Hugh Jackman in musical “Le Miserables.”


(Reporting By Jill Serjeant; Editing by Todd Eastham)


Movies News Headlines – Yahoo! News





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National Briefing | South: Abortion Curbs Clear Senate in Arkansas



The State Senate voted 25 to 7 on Monday to ban most abortions 20 weeks into a pregnancy. The measure goes back to the House to consider an amendment that added exceptions for rape and incest. The legislation is based on the belief that fetuses can feel pain 20 weeks into a pregnancy, and is similar to bans in several other states. Opponents say it would require mothers to deliver babies with fatal conditions. Gov. Mike Beebe has said he has constitutional concerns about the proposal but has not said whether he will veto it.


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Wall St. Shares Inch Ahead


Shares on Wall Street inched higher in early trading on Tuesday, putting the Standard & Poor’s 500-stock index on track to extend its seven-week winning streak.


Shortly after the opening bell, the S.&P. 500 was up 0.3 percent, while the Dow Jones industrial average was up 0.1 percent. The Nasdaq composite rose 0.2 percent.


The strong start to the year has been helped by legislators in Washington, who temporarily averted a series of automatic spending cuts and tax increases, as well as by better-than-expected earnings and economic data. The Federal Reserve’s stimulus policy has also been a major factor.


But further gains for the benchmark S.&P. index have been a struggle as investors look for new catalysts to lift the index, which hovers near five-year highs.


The compromise by lawmakers on across-the-board spending cuts, known as sequestration, only postponed until March 1 a resolution to the Congressional budget fight.


The faster pace in merger-and-acquisition activity, a sign of optimism about the outlook on Wall Street, has resulted in more than $158 billion in deals announced so far in 2013.


“The firm market tone continues," said Andre Bakhos, director of market analytics at Lek Securities in New York, "fueled by a lack of negative surprises as well as an increase in M.&A. activity, adding confidence to market valuations.”


“The market has been able to shrug off minor negatives as it looks ahead to a potential bigger hurdle in the sequestration,” he said. “Until then, the situation looks stable.”


The No. 2 office supply retailer in the United States, Office Depot, surged 24 percent. The company is said to be in merger talks with a smaller rival, OfficeMax. OfficeMax shares jumped 30 percent.


The computer maker Dell reports fourth-quarter results on Tuesday, and it is expected to show earnings per share fall to 39 cents from 51 cents a year earlier. Analysts will have their first chance to question management on a buyout deal struck earlier this month by its chief executive, Michael Dell, private equity firm Silver Lake and Microsoft.


According to the Thomson Reuters data through Friday, of the 388 companies in the S.&P. 500 that have reported results, 69.8 percent have exceeded analysts’ expectations, compared with a 62 percent average since 1994 and 65 percent over the last four quarters.


Fourth-quarter earnings for S.&P. 500 companies are estimated to have risen 5.6 percent, according to the data, above a 1.9 percent forecast at the start of the earnings season.


European shares rose on Tuesday, lifted by gains at food group Danone and fresh signs of a German economic recovery, although broader market sentiment remained cautious ahead of Italian elections this weekend.


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Mary Jo White could face conflicts of interest as SEC chairwoman









NEW YORK — As a lawyer in private practice, Mary Jo White worked for Wall Street all-stars: banking giant JPMorgan Chase & Co., auditor Deloitte & Touche, former Bank of America Corp. chief Ken Lewis.


White, President Obama's pick to lead the U.S. Securities and Exchange Commission, even did legal work for former Goldman Sachs Group Inc. director Rajat Gupta, the highest-profile catch in the federal government's crackdown on insider trading, according to disclosures White filed ahead of her U.S. Senate confirmation hearing.


If she wins approval to lead the country's top financial watchdog, government ethics rules could force White to sit out of some SEC decisions. Potential conflicts of interest — or the appearances of conflicts — could arise from her work at the high-powered New York law firm Debevoise & Plimpton, and that of her husband John White, a partner at the prestigious firm Cravath, Swaine & Moore.





Obama's appointment of White, a former U.S. attorney in Manhattan known for high-profile prosecutions of mobsters and terrorists, was seen as a signal the administration was getting tougher on Wall Street. Her confirmation hearing in the Senate has not yet been scheduled but is expected in the next several weeks.


"She would have quite a minefield to navigate," said Robert Kelner, an attorney who is an expert in government ethics rules at the law firm Covington & Burling in Washington. "But this is not unusual for a senior-level appointee coming out of a law firm."


White could have to abstain from votes on matters involving former clients at a time when the SEC has been struggling to regain investor confidence among regulators and financial markets.


Government ethics rules generally prevent commissioners from participating in matters in which they or their spouses have any financial stake, or have any interest that could raise questions about their impartiality, Kelner said.


These rules generally restrict commissioners from taking part in cases they worked on while in the private sector — whether to bring a securities fraud lawsuit against a former client, for example, Kelner said.


White could still be involved in other matters dealing with former clients, just as long as she hasn't previously worked on the other side of particular cases before the SEC, Kelner said.


What could also complicate White's tenure at the SEC is an ethics pledge Obama has required executive-branch appointees to sign since he took office.


Aiming to limit the effects of the "revolving door" between government officials and the private sectors they regulate, the ethics pledge precludes appointees from participating in any matter involving "specific parties that is directly and substantially related" to their "former employer or former clients." Kelner said the pledge generally would not apply to broad regulations or policies.


The White House could grant White a waiver from the ethics pledge.


White did not respond to an email request for comment. Nominees typically do not speak publicly ahead of their confirmation hearings.


White would take over the SEC at a time when the agency faces major regulatory issues, aside from enforcement issues. The five-member commission, under former Chairwoman Mary Schapiro, failed to pass a sweeping overhaul of money-market funds, which federal officials say remain a weak link in the financial system.


Also before the SEC are rules governing high-speed stock trading and how the increasingly fragmented stock market is structured. The agency still must mete out myriad regulations called for by the Dodd-Frank financial overhaul of 2010.


John Coffee, a securities law expert at Columbia University in New York, said White has no apparent conflicts involving the marquee regulatory matters facing the SEC.


"There is just a forest of bayonets waiting out there if she looked like she was protecting a former client from an enforcement action," Coffee said. "I think she's also too smart to put herself in that kind of position."


andrew.tangel@latimes.com


Times staff writer Jim Puzzanghera in Washington contributed to this report.





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Pondering the Point of Snow Bikes While Riding With Wolves


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Hollywood actors face new worry as reality commercials rise






LOS ANGELES (Reuters) – For a recent TV commercial, H&R Block’s advertising agency passed on using actors and instead chose Riley Holmes, who works at the tax preparer’s Chicago office, to pitch the company’s free “second look service” that claims it can find new deductions from prior returns.


“People bring in old tax returns and I’m like, ‘Who did this to you?’” says Holmes in the 30-second TV commercial.






With hit reality shows luring viewers to just about every channel, H&R Block is among a growing number of companies, including Bayer, Best Buy Co Inc and Ford Motor Co, which are jumping on the trend and casting their own “real housewives” and other folks who don’t act for a living in spots.


Advertisers’ growing use of “real” folks in commercials is among a growing list of challenges facing actors as the union representing 165,000 actors and media professionals, begins bargaining on Thursday on a new three-year-contract. Industry negotiators are expected to resist efforts to raise actors’ rates for the increasing number of commercials that appear online.


“People want the real cancer survivor, the real doctor, real fire eater,” said Carol Lynn Sher, who works for the CESD Talent Agency in Los Angeles. “Fewer actors being used for those roles and its taking away jobs.”


Many already chafe as they watch a growing number of A-List actors – Robin Williams in a Snickers bar commercial or Sofia Vergara for Pepsi – take jobs that used to go to them.


“My 13-year-old daughter Francesca has been auditioning for commercials for five years, and it’s harder than ever because now they want kids to be real ballerinas, real violinists or real gymnasts,” said Toni Farina, mother of a Los Angeles-based young actress.


The issue of real life people taking actors jobs isn’t likely to be formally addressed in the Screen Actors Guild (SAG) and American Federation of Television and Radio Artists (AFTRA) advertising negotiations.


Those talks, the first since the two guilds merged, will be focused mostly on higher pay for ads shown online and larger contributions to the union’s health and pension funds.


SAG-AFTRA declined to comment on the negotiations.


Still, the trickle of real folks in commercials has intensified, since actors signed their last contract in 2009.


In better days, actors used to get as much as $ 50,000 in residuals for a commercial that played nationally for a year, said Mike Abrams, partner with AKA Talent Agency in Los Angeles.


The appeal – not to mention price tag – of some actors are driving ad agencies elsewhere, especially as reality stars like Bethenny Frankel from “The Real Housewives of New York City” or “Jersey Shore” star Nicole Elizabeth “Snooki” Polizzi start showing up on magazine covers and hawking products.


Walt Disney Co’s ESPN went even one step further and searched for real “dead” people for a campaign last summer of 15 to 30 second commercials titled, “It’s Not Crazy, It’s Sports” featuring real-life stories about fans who took their love of their sports teams with them to the grave.


“We did a nationwide search of funeral parlors for sports fan stories and how people took their love of their teams to the grave with them,” said Dan Bell, a Los Angeles casting director who specializes in real people casting.


Chuck Kaczorowski, chairman of Kaczorowski Funeral Home in Dundalk, Maryland, was among the stars in the ad campaign, in which he talks about a Baltimore Orioles casket his funeral home offers.


Many companies now even want “real life” couples and families to make their ads authentic, said Bell. The downside is that sometimes they clam up. Other times, they catch the acting bug, and start performing for the cameras.


Bell said he also helped find a real mother and her special needs child for a Mass Mutual ad that aired last summer as part of its campaign to drive awareness of challenges facing families with children with special needs.


As negotiators for actors and advertisers gather around the table for talks, LA actors likely have their attentions divided.


“I don’t think anyone’s worried about a strike at this point, but they are worried about this trend to more reality commercials,” said Sher, the talent agent from CESD, which is a major talent agency for young television and commercial actors.


(Reporting By Susan Zeidler and Frank Simons in Los Angeles; Editing by Lisa Shumaker)


TV News Headlines – Yahoo! News





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Well: Health Effects of Smoking for Women

The title of a recent report on smoking and health might well have paraphrased the popular ad campaign for Virginia Slims, introduced in 1968 by Philip Morris and aimed at young professional women: “You’ve come a long way, baby.”

Today that slogan should include: “…toward a shorter life.” Ten years shorter, in fact.

The new report is one of two rather shocking analyses of the hazards of smoking and the benefits of quitting published last month in The New England Journal of Medicine. The data show that “women who smoke like men die like men who smoke,” Dr. Steven A. Schroeder, a professor of health and health care at the University of California, San Francisco, wrote in an accompanying editorial.

That was not always the case. Half a century ago, the risk of death from lung cancer among men who smoked was five times higher than that among women smokers. But by the first decade of this century, that risk had equalized: for both men and women who smoked, the risk of death from lung cancer was 25 times greater than for nonsmokers, Dr. Michael J. Thun of the American Cancer Society and his colleagues reported.

Today, women who smoke are even more likely than men who smoke to die of lung cancer. According to a second study in the same journal, women smokers face a 17.8 times greater risk of dying of lung cancer than women who do not smoke; men who smoke are at 14.6 times greater risk to die of lung cancer than men who don’t. Women who smoke now face a risk of death from lung cancer that is 50 percent higher than the estimates reported in the 1980s, according to Dr. Prabhat Jha of the Center for Global Health Research in Toronto and his colleagues.

After controlling for age, body weight, education level and alcohol use, the new analysis found something else: men and women who continue to smoke die on average 10 years sooner than those who never smoked.

Dramatic progress has been made in reducing the prevalence of smoking, which has fallen from 42 percent of adults in 1965 (the year after the first surgeon general’s report on smoking and health) to 19 percent in 2010. Yet smoking still results in nearly 200,000 deaths a year among people 35 to 69 years old in the United States. A quarter of all deaths in this age group would not occur if smokers had the same risk of death as nonsmokers.

The risks are even greater among men 55 to 74 and women 60 to 74. More than two-thirds of all deaths among current smokers in these age groups are related to smoking. Over all, the death rate from all causes combined in these age groups “is now at least three times as high among current smokers as among those who have never smoked,” Dr. Thun’s team found.

While lung cancer is the most infamous hazard linked to smoking, the habit also raises the risk of death from heart disease, stroke, pulmonary disease and other cancers, including breast cancer.

Furthermore, changes in how cigarettes are manufactured may have increased the dangers of smoking. The use of perforated filters, tobacco blends that are less irritating, and paper that is more porous made it easier to inhale smoke and encouraged deeper inhalation to achieve satisfying blood levels of nicotine.

The result of deeper inhalation, Dr. Thun’s report suggests, has been an increased risk of chronic obstructive pulmonary disease, or C.O.P.D., and a shift in the kind of lung cancer linked to smoking. Among nonsmokers, the risk of death from C.O.P.D. has declined by 45 percent in men and has remained stable in women, but the death rate has more than doubled among smokers.

But there is good news, too: it’s never too late to reap the benefits of quitting. The younger you are when you stop smoking, the greater your chances of living a long and healthy life, according to the findings of Dr. Jha’s international team.

The team analyzed smoking and smoking-cessation histories of 113,752 women and 88,496 men 25 and older and linked them to causes of deaths in these groups through 2006.

Those who quit smoking by age 34 lived 10 years longer on average than those who continued to smoke, giving them a life expectancy comparable to people who never smoked. Smokers who quit between ages 35 and 44 lived nine years longer, and those who quit between 45 and 54 lived six years longer. Even quitting smoking between ages 55 and 64 resulted in a four-year gain in life expectancy.

The researchers emphasized, however, that the numbers do not mean it is safe to smoke until age 40 and then stop. Former smokers who quit by 40 still experienced a 20 percent greater risk of death than nonsmokers. About one in six former smokers who died before the age of 80 would not have died if he or she had never smoked, they reported.

Dr. Schroeder believes we can do a lot better to reduce the prevalence of smoking with the tools currently in hand if government agencies, medical insurers and the public cooperate.

Unlike the races, ribbons and fund-raisers for breast cancer, “there’s no public face for lung cancer, even though it kills more women than breast cancer does,” Dr. Schroeder said in an interview. Lung cancer is stigmatized as a disease people bring on themselves, even though many older victims were hooked on nicotine in the 1940s and 1950s, when little was known about the hazards of smoking and doctors appeared in ads assuring the public it was safe to smoke.

Raising taxes on cigarettes can help. The states with the highest prevalence of smoking have the lowest tax rates on cigarettes, Dr. Schroeder said. Also helpful would be prohibiting smoking in more public places like parks and beaches. Some states have criminalized smoking in cars when children are present.

More “countermarketing” of cigarettes is needed, he said, including antismoking public service ads on television and dramatic health warnings on cigarette packs, as is now done in Australia. But two American courts have ruled that the proposed label warnings infringed on the tobacco industry’s right to free speech.

Health insurers, both private and government, could broaden their coverage of stop-smoking aids and better publicize telephone quit lines, and doctors “should do more to stimulate quit attempts,” Dr. Schroeder said.

As Nicola Roxon, a former Australian health minister, put it, “We are killing people by not acting.”

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