Danny Puff

JOHANNESBURG (Reuters) - Former South African President Nelson Mandela has recovered from a lung infection and surgery to remove gallstones that kept him in hospital for nearly three weeks, the government said on Sunday.

Mandela, 94, who has been in frail health for several years, spent most of December in a Pretoria hospital - his longest stay for medical care since his release from prison in 1990.

He has been receiving treatment at his Johannesburg home after he left hospital on December 26.

"President Mandela has made steady progress and clinically, he continues to improve," the Office of the Presidency said in a statement.

Mandela had recovered from his surgical procedure and the lung infection, it said, citing his medical team. He has made steady progress and was slowly returning to his daily routine.

Nobel Peace Prize laureate Mandela has a history of lung problems dating back to when he contracted tuberculosis as a political prisoner. He spent 27 years in prison, including 18 years on the windswept Robben Island off Cape Town.

He became South Africa's first black president after the first all-race elections in 1994 brought an end to apartheid.

MORAL COMPASS

Mandela has been mostly absent from the political scene for the past several years due to poor health, while questions have been raised as to whether his ruling African National Congress (ANC) has lost the moral compass he bequeathed it.

Under such leaders as Mandela, Walter Sisulu and Oliver Tambo, the ANC gained wide international respect as it battled white rule. Once the yoke of apartheid was thrown off, it began ruling South Africa in a blaze of goodwill from world leaders who viewed it as a beacon for a troubled continent and world.

Close to two decades later, this image has dimmed as critics accuse ANC leaders of indulging in the spoils of office, squandering mineral resources and engaging in power struggles.

Mandela's "Rainbow Nation" of reconciliation has come under strain under President Jacob Zuma, a Zulu traditionalist with a history of racially charged comments, including a statement in December where he reportedly said dog ownership was for whites and not part of African culture.

Mandela has spent much of the past year at another home in Qunu, his ancestral village in the poor Eastern Cape province.

His poor health has prevented him from making public appearances for about two years, although he has continued to receive high-profile visitors, including former U.S. President Bill Clinton.

(Editing by Angus MacSwan)

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MOSCOW (Reuters) - French film star Gerard Depardieu received a hug from President Vladimir Putin and a new Russian passport on Sunday after abandoning his homeland to avoid a new tax rate for millionaires.

Putin signed a decree on Thursday granting Russian citizenship to Depardieu, who has fumed over French President Francois Hollande's plan to impose a 75 percent tax rate.

The two men were shown on state television shaking hands and hugging in the Black Sea resort of Sochi on Sunday during what the Kremlin said was a private visit by the actor to Russia.

"A brief meeting between the president and Depardieu took place," Kremlin spokesman Dmitry Peskov said. "On the occasion of his visit to Russia, he was handed a Russian passport."

Peskov did not say if Putin personally gave him the passport. Depardieu also told Putin about his career plans, he said.

Depardieu's best known international film is "Green Card", about a poor French immigrant who enters a sham marriage so he can stay in the United States.

Putin said last month that Depardieu would be welcome in Russia, which has a flat income tax rate of 13 percent, compared to the 75 percent on income over 1 million euros ($1.30 million) that Hollande wants to levy in France.

He offered Depardieu the Russian passport saying he had developed warm ties with the actor - even though they had rarely met.

BIG IN RUSSIA

Depardieu is popular in Russia, where he has appeared in many advertising campaigns, including for ketchup. He also worked there in 2011 on a film about the Russian monk Grigory Rasputin, which he discussed with Putin at their meeting.

Depardieu waved his new Russian before media cameras when he arrived in Saransk, a provincial town in the Mordoviya Republic, southeast of Moscow, to celebrate the Orthodox Christmas.

He was greeted on the airport tarmac by local officials and women dressed in traditional Russian gowns who offered him bread and salt as well as "blini" pancakes.

The governor suggested he settled down in Mordoviya, Itar-Tass reported. Residents also presented him with two kittens.

Depardieu bought a house in Belgium last year to avoid the French income tax increase, a move French Prime Minister Jean-Marc Ayrault called pathetic and unpatriotic.

French Budget Minister Jerome Cahuzac said on Sunday he regretted Depardieu's decision to move to Russia and was disappointed the actor was shirking his patriotic duty to help the country during tough economic times.

"I find it a little ridiculous that for tax reasons, this man has gone into exile so far to the East," Cahuzac told Europe 1 radio.

Some of Putin's critics said the passport move was a stunt and pointed out that the president announced last month a campaign to prevent rich Russians keeping their money offshore.

(Reporting By Alexei Anishchuk, additional reporting by John Irish in Paris; Editing by Angus MacSwan)

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CARACAS/MILAN (Reuters) - Venezuelan air and sea rescue services were searching on Saturday for a plane carrying fashion executive Vittorio Missoni, his wife and four others which went missing off the coast of Venezuela.

The plane carrying Missoni, 58, his wife, Maurizia Castiglioni, another couple and two Venezuelan crew members disappeared after taking off from the resort of Los Roques, an archipelago off the coast, the company said in a statement.

"It disappeared yesterday. They have been looking for it with helicopters and ships, but have not found anything yet. They are still searching for it this morning," the Italian consul in Venezuela, Giovanni Davoli, told Reuters by phone.

Missoni is the oldest son of the founders of the fashion house famous for its exuberantly colored knits, featuring bold stripes and zigzags. He is co-owner with siblings Luca and Angela, who handle the technical and design sides of the firm.

"The Missoni family has been informed by the Venezuelan consulate that Vittorio Missoni and his wife are missing, but we don't know any more," said Missoni spokeswoman Maddalena Aspes.

Other members of the Missoni family are travelling back to Italy from a holiday in France, Aspes said.

Vogue Italia editor Franca Sozzani posted a banner headline on the magazine's website saying "bring Vittorio Missoni home".

Expressions of sympathy and support for the family flooded onto social media site Twitter.

Missoni and his siblings took over managing the company from their parents Ottavio and Rosita in 1996, aiming to relaunch the brand to a larger, younger market as rivals Gucci and Burberry have done. Under Vittorio's tenure, Missoni has opened hotels in Edinburgh and Kuwait and launched the Missoni Home collection.

By 2011, the brand's appeal was wide enough for U.S. mass-market retailer Target to ask it to design a collection.

The brand will celebrate its 60th anniversary this year.

(Reporting by Jennifer Clark and Andrew Cawthorne; Editing by Louise Ireland)

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LOS ANGELES (Reuters) - Oscar-winning actress Helen Mirren finally got her wish on Thursday, receiving a star along the Hollywood Walk of Fame right next to dashing fellow Briton Colin Firth.

"I couldn't be prouder and more happy that I'm actually going to finally lie next to Colin Firth, something I've been wanting to do for a very long time," Mirren said wryly.

Mirren, 67, who won the best actress Oscar for her portrayal of Queen Elizabeth in 2006's "The Queen," was honored with the iconic terrazzo and brass star along Hollywood Boulevard in the historical heart of the U.S. film industry.

Mirren's star, the 2,488th since the Walk of Fame began in 1958, serves as a de facto lifetime achievement award for those in the entertainment industry.

Firth, who received his Walk of Fame star in 2011, won an Oscar as best actor for his portrayal of Britain's King George VI in 2010's "The King Speech."

"Well I'm very pleased and proud and I think it's very good for the British monarchy that here on Hollywood Boulevard, the King and the Queen are going to actually sleep together, for the rest of history," said Mirren said at the unveiling.

The actress posed for photographers lying on her side next to her star and blew kisses to the crowd.

Writer and director David Mamet introduced Mirren.

"Helen's performances reap higher praise than being praised, they're loved," Mamet said.

"And by one who's had the absolute kick of working with her, I want to say as (British poet) Rupert Brooke said, somewhere there will be a little piece of foreign ground that is always a bit of England, and that's right there," Mamet said.

Mirren is starring alongside Al Pacino in Mamet's upcoming TV film about troubled music producer Phil Spector's murder trial.

The Hollywood Walk of Fame is administered by the Hollywood Chamber of Commerce.

(Reporting by Alan Devall, writing by Eric Kelsey, editing by Jill Serjeant and Sandra Maler)

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LOS ANGELES (Reuters) - British singer Adele's Grammy-winning "21" scored a rare feat in 2012 as it topped U.S. album sales for a second straight year, beating out U.S. country-pop star Taylor Swift's "Red, Nielsen Soundscan said on Thursday.

It was the first time a single album had been a top-seller for two years in a row since Nielsen began tracking album sales in 1991, the organization said.

But U.S. album sales overall fell 4 percent in 2012 to 315.96 million albums, after 2011 saw a rare 3 percent bump in sales.

Adele's "21" sold 4.41 million units in the United States in 2012 to top Swift's "Red," which sold 3.11 million copies. In 2011, "21" sold 5.82 million units.

"It's a sort of a once-in-a-lifetime album," Keith Caulfield, associate director of charts at Billboard, told Reuters of "21." "Only a few of these albums come along in history."

The heartbreak record, with hits like "Rolling in the Deep" and "Someone Like You," earned Adele six Grammy Awards in early 2012, boosting the profile of the 24-year-old singer and songwriter, who records on indie label XL Recordings.

The album sold at a furious pace, reaching the 10 million albums-sold plateau in the span of two years, Caulfield noted. The last album to achieve that feat was boy band 'N Sync's "No Strings Attached," which was released in 2000.

"It's really the right combination of artistry and hit singles," Caulfield said of "21's" success.

"She really crossed over from pop to Latin to adult contemporary to dance," he added. "Young and old consumers bought it, and because of its mixture of fans, she was able to sell it as well as she did."

Adele's success came despite the drop in 2012 U.S. album sales.

"Last year (2011) was a fluke," Caulfield said. "A year gain in album sales is a mega achievement. ... It's the way the market works now, people buy songs and not albums."

Indeed, digital song sales rose 5 percent in 2012 to a record high 1.336 billion downloads.

The year's best-selling albums in the United States had a particularly British flavor as Swift was the lone American in the top five. Swift records for the independently owned Nashville-based Big Machine, distributed by Universal Music Group.

British boy band One Direction's "Up All Night," released in 2011 on Sony Music Entertainment's SYCO/Columbia label, placed third with 1.62 million units sold, while their 2012 follow-up, "Take Me Home," took the fifth spot with 1.34 million units sold.

Britain's folk revivalists Mumford & Sons, on indie record label Glassnote, placed fourth with their album "Babel" selling 1.46 million units.

(Reporting by Eric Kelsey; Editing by Jill Serjeant and Peter Cooney)

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PARIS (Reuters) - Former French screen goddess Brigitte Bardot on Friday threatened to follow Gerard Depardieu in asking for a Russian passport, in protest not at tax hikes, but at the treatment of two circus elephants.

The animals, named Baby and Nepal and owned by a touring circus, are thought to be carrying tuberculosis and were ordered to be put down by a court in Lyon, southern France, on Friday as a precautionary measure.

Bardot's threat comes a day after fellow actor Depardieu caused a storm in France by becoming a Russian citizen in protest at high tax rates proposed by the Socialist government, which he accuses of penalizing success.

"If those in power are cowardly and impudent enough to kill the elephants... then I have decided I will ask for Russian nationality to get out of this country which has become nothing more than an animal cemetery," Bardot said in a statement.

Owners Cirque Pinder also said on Friday they would appeal to save the elephants, which first tested positive for tuberculosis in 2010 but have since been kept in a zoo in Lyon away from the general public.

Bardot, who first rose to fame as a screen siren in the 1956 Roger Vadim film "And God Created Woman", has become an increasingly controversial figure with her outbursts on animal rights, but also on gays, immigrants and the unemployed.

Since retiring from the screen in the 1970s she has become a semi-recluse, devoting herself to her Brigitte Bardot Foundation for animal rights, and has frequently taken aim at Eid al-Adha festivities when Muslims ritually slaughter sheep.

In 2008 she was convicted for a fifth time in 11 years for incitement to religious hatred, over a 2006 tract on Eid al-Adha in which she said the Muslim community in France was "destroying our country by imposing its acts'.

(Reporting By Vicky Buffery, editing by Paul Casciato)

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CARACAS/MILAN (Reuters) - Venezuelan air and sea rescue services were searching on Saturday for a plane carrying fashion executive Vittorio Missoni, his wife and four others which went missing off the coast of Venezuela.

The plane carrying Missoni, 58, his wife, Maurizia Castiglioni, another couple and two Venezuelan crew members disappeared after taking off from the resort of Los Roques, an archipelago off the coast, the company said in a statement.

"It disappeared yesterday. They have been looking for it with helicopters and ships, but have not found anything yet. They are still searching for it this morning," the Italian consul in Venezuela, Giovanni Davoli, told Reuters by phone.

Missoni is the oldest son of the founders of the fashion house famous for its exuberantly colored knits, featuring bold stripes and zigzags. He is co-owner with siblings Luca and Angela, who handle the technical and design sides of the firm.

"The Missoni family has been informed by the Venezuelan consulate that Vittorio Missoni and his wife are missing, but we don't know any more," said Missoni spokeswoman Maddalena Aspes.

Other members of the Missoni family are travelling back to Italy from a holiday in France, Aspes said.

Vogue Italia editor Franca Sozzani posted a banner headline on the magazine's website saying "bring Vittorio Missoni home".

Expressions of sympathy and support for the family flooded onto social media site Twitter.

Missoni and his siblings took over managing the company from their parents Ottavio and Rosita in 1996, aiming to relaunch the brand to a larger, younger market as rivals Gucci and Burberry have done. Under Vittorio's tenure, Missoni has opened hotels in Edinburgh and Kuwait and launched the Missoni Home collection.

By 2011, the brand's appeal was wide enough for U.S. mass-market retailer Target to ask it to design a collection.

The brand will celebrate its 60th anniversary this year.

(Reporting by Jennifer Clark and Andrew Cawthorne; Editing by Louise Ireland)

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(Reuters) - Hulu Chief Executive Jason Kilar will leave the streaming TV company this quarter, he wrote in a blog post on the company's website on Friday, raising more questions about its future path under multiple owners.

Kilar has long been rumored to be exiting the company as it faces stiff competition from Netflix Inc, Amazon.com Inc as well as Google Inc and Apple Inc.

Hulu chief technology officer Rich Tom is also leaving, according to the post.

Kilar gave no reason for his departure or indicate his future plans. Hulu did not name a replacement for the executives.

Kilar, Hulu CEO since July 2007, last year steered the company to $700 million in revenue and grew subscribers to 3 million. More than 200,000 new subscribers have signed up with the service in the last seven days, he noted.

"My decision to depart has been one of the toughest I've ever made," Kilar wrote. "The things that have clearly brought the most joy to my heart (and what I believe to be the most important inputs in our business) have been this team and the values and principles we hold dear."

Still, the popular service, which started primarily as a free site for people to catch up on television shows they might have missed, has had a rocky path over the last five years.

Part of the problem stems from its complicated ownership structure involving media conglomerates Walt Disney Co, News Corp and Comcast NBC Universal, and how much content each should make available to Hulu.

The owners face a dilemma: The success of Hulu could potentially eat away at the lucrative business of getting cable companies to pay for programming. Furthermore, it is now building out its own stable of original content exclusive to Hulu.

Disney CEO Bob Iger said in a statement that Kilar had been "an integral part of the Hulu story, transforming it from an interesting idea into an innovative business model that continues to evolve... We appreciate what he's built, and we share his confidence in his team's ability to drive Hulu forward from here."

A statement from News Corp CEO Rupert Murdoch said Kilar had helped build Hulu into one of the leading online video services and called the company "incredibly well positioned for the road ahead."

BTIG analyst Richard Greenfield expects News Corp's Fox to buy out its partners in the venture this year.

"With full ownership of Hulu, FOX accelerates Hulu's push into original programming and explores adding cable network content to create a virtual MVPD (multichannel video programmer distributor) service," Greenfield said in a January 3 research note.

Comcast, the third partner in the venture declined to comment on Kilar's departure. Unlike Disney and News Corp, Comcast does not have any management control of Hulu, which was a regulatory condition related to its acquisition of NBC Universal in 2011.

Hulu put itself on the block in 2011 with suitors including Google, Amazon, DirecTV Group and Dish Network Corp, Reuters reported at the time. Talks collapsed over the price of the deal.

Private equity firm Providence Equity Partners said in October last year that it had sold its 10 percent stake in Hulu to the remaining owners.

Kilar's name surfaced as a potential candidate for the top job at Yahoo Inc after Scott Thompson resigned last year but Kilar removed himself from consideration.

(Reporting By Jennifer Saba and Liana Baker in New York; Editing by Gunna Dickson and Tim Dobbyn)

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SEATTLE (AP) "Grey's Anatomy" star Patrick Dempsey may be the real "McSteamy."

The actor, who was dubbed "McDreamy" as a star of the hospital drama while his co-star was called "McSteamy," may soon be serving hot, steaming cups of Joe.

Dempsey won a bankruptcy auction to buy Tully's Coffee, a small coffee chain based in Seattle. Among those he beat out is Tully's much bigger Seattle neighbor, Starbucks Corp., which is known for its ubiquitous white cups with a circular green mermaid logo.

Dempsey, whose company Global Baristas LLC plans to keep the Tully's name, declared victory on the social media site Twitter: "We met the green monster, looked her in the eye, and...SHE BLINKED! We got it! Thank you Seattle!

The win for Dempsey deals a rare setback for Starbucks on its home turf. Starbucks has long been both praised for bringing "coffeehouse culture" to the U.S. and criticized for crushing smaller chains. The coffee giant, which had planned to convert the Tully's cafes to its own brand, last month announced plans to expand its global footprint to 20,000 cafes over the next two years, up from the current 18,000.

Dempsey said in an interview on Friday that as the underdog in Seattle, Tully's will need to find its identity.

"It's a much smaller chain that has a lot of potential that hasn't been given the proper care," he said.

But in a statement shortly after the auction on Thursday, Starbucks insinuated that Dempsey shouldn't celebrate just yet.

Starbucks, which wanted to convert the Tully's cafes to its own brand, said that a final determination on the winning bid won't be made until a court hearing on Jan. 11. Starbucks said it's in a "backup" position" to buy 25 of the 47 Tully's cafes, with another undisclosed bidder making an offer for the remainder.

The combined bids of Starbucks and the undisclosed bidder come to $10.6 million, above the $9.2 million Dempsey's company is offering to pay through his company, which was formed in order to purchase Tully's. The other investors in Global Baristas aren't being disclosed.

Tully's Coffee, which is known for serving Joe with a milder taste than Starbucks brand, filed for Chapter 11 bankruptcy protection in October, citing lease obligations and underperforming stores. Tully's wholesale business, which includes Tully's Coffee in bags and single serve K-cup packs that are sold in supermarkets and other stores, is owned separately by Green Mountain Coffee Roasters Inc.

TC Global Inc., the parent company of Tully's, said in a release Friday that it was "encouraged and excited" about Dempsey's commitment to the chain.

Tully's President and CEO Scott Pearson called the deal a "great match" and that the goal is to make sure creditors get paid and to keep as many people employed as possible.

A bankruptcy court document signed late Friday by Pearson and Dempsey said TC Global had determined that Global Baristas submitted the successful bid.

"With this court filing, it's official - our group has been chosen as the successful bidder," Dempsey said in a statement. "We look forward to the court's final approval on Jan. 11."

Earlier in the day, Dempsey said he planned to be very involved in the running of the company, adding that the immediate challenges were to address bookkeeping issues, staff morale and sprucing up the coffee shops. Once the business is stabilized, Dempsey said the long-term goal would be to take the chain national.

"We can pull this off. We just have to take steps that are slow and smart," he said. "I'm going to get behind the counter. I'm going to serve coffee...I'm going to give the company a boost of energy."

Although Dempsey lives in Los Angeles, he plans to spend more time in Seattle, the city where "Grey's Anatomy" is set in. Dempsey said he believed there is room in the city for Tully's and the much larger Starbucks; he noted there might be people who are rooting for the underdog.

"In a society where there are so many big corporations that swallow the little guy, we thought, let's not let this happen to this company," he said.

Dempsey made an appearance Friday morning at a Tully's near Pike Place Market, shaking hands with workers and greeting customers before visiting other stores. Several dozen people, mostly women, came into the store.

Patrease Estelle, 45, works nearby, and came in with a small group from her office.

"I will take whatever I can get. A photo, a hug, a 'hey, how you doing,' a wink," said Estelle, who got a picture and handshake with the actor.

___

Blankinship reported from Seattle and Choi from New York.

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SAN FRANCISCO/NEW YORK (Reuters) - At the world's largest technology conference that kicks off on Monday, the most intriguing innovations showcased may be gadgets and technology that turn everyday items into connected, smarter machines.

This year's Consumer Electronics Show in Las Vegas promises a new generation of "smart" gadgets, some controlled by voice and gestures, and technology advancements in cars, some of which already let you dictate emails or check real-time gas prices.

Pundits have long predicted that home appliances like refrigerators and stoves will be networked, creating an "Internet of things." With advancements in chips and the ubiquity of smartphones and tablets, it's now happening.

"We've been talking about this convergence of consumer electronics and computers and content for 20 years. It will actually be somewhat of a reality here, in that your phone, your tablet, your PC, your TV, your car, have a capability to all be connected," said Patrick Moorhead, principal analyst at Moor Insights & Strategy.

Despite the absence of tech heavyweights Apple Inc and Microsoft Corp, CES still draws thousands of exhibitors, from giants like Intel Corp and Samsung Electronics Co Ltd to startups hungry for funding.

Wireless chip maker Qualcomm Inc's CEO, Paul Jacobs, opens the festivities with a keynote speech on Monday, taking a spot traditionally reserved for Microsoft, which decided last year to sever ties with the show.

Jacobs said in a recent interview on PBS that he will show how wireless technology will be pushed way beyond smartphones into homes, cars and healthcare.

SMARTER SMARTPHONES

With venues spanning over 32 football fields across Las Vegas -- more than 1.9 million sq. ft. (176,516 sq. meters) -- CES is an annual rite for those keen to glimpse the newest gadgets before they hit store shelves. The show, which started in 1967 in New York, was the launch pad for the VCR, camcorder, DVD and HDTV.

While retailers prowl for products to fill their shelves, Wall Street investors look for products that are the next hit.

Intel and Qualcomm are expected to highlight improvements in "perceptual computing," which involves using cameras, GPS, sensors and microphones to make devices detect and respond to user activity.

"The idea is that if your devices are so smart, they should be able to know you better and anticipate and react to your requirements," said IDC analyst John Jackson.

This year, snazzier TVs will again dominate show space, with "ultra high-definition" screens that have resolutions some four times sharper than that of current displays. The best smartphones will likely be reserved for launch at Mobile World Congress in February.

There will also be a record number of auto makers showing the latest in-vehicle navigation, entertainment and safety systems, from Toyota's Audi to Ford, General Motors and Hyundai. The Consumer Electronics Association has forecast the market for factory-installed tech features in cars growing 11 percent this year to $8.7 billion.

BMW, for one, already provides speech recognition that is processed instantly through datacenters, converted into text and emailed without drivers taking their hands off the wheel. The luxury carmaker also offers data about weather, fuel prices and other items.

"Automotive has been this backwater of technology for a long time. Suddenly, we're seeing a lot of real innovation in automotive technology," Scott McGregor, CEO of chipmaker Broadcom, told Reuters ahead of the show.

(Editing by Edwin Chan and Leslie Gevirtz)

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