Toyota to pay big to settle suits









Toyota Motor Corp., moving to put years of legal problems behind it, has agreed to pay more than $1 billion to settle dozens of lawsuits relating to sudden acceleration.


The proposed deal, filed Wednesday in federal court, would be among the largest ever paid out by an automaker. It applies to numerous suits claiming economic damages caused by safety defects in the automaker's vehicles, but does not cover dozens of personal injury and wrongful-death suits that are still pending around the nation.


The suits were filed over the last three years by Toyota and Lexus owners who claimed that the value of their vehicles had been hurt by the potential for defects, including floor mats that could cause the vehicles to surge out of control.





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In addition, Toyota said it is close to settling suits filed by the Orange County district attorney and a coalition of state attorneys general who had accused the automaker of deceptive business practices. The costs of those agreements would be included in a $1.1-billion charge the Japanese automaker said it will take against earnings to cover the actions.


"We concluded that turning the page on this legacy legal issue through the positive steps we are taking is in the best interests of the company, our employees, our dealers and, most of all, our customers," Christopher Reynolds, Toyota's chief counsel in the U.S., said in a statement.


Toyota's lengthy history of sudden acceleration was the subject of a series of Los Angeles Times articles in 2009, after a horrific crash outside San Diego that took the life of an off-duty California Highway Patrol officer and his family.


Under terms of the agreement, which has not yet been approved in court, Toyota would install brake override systems in numerous models and provide cash payments from a $250-million fund to owners whose vehicles cannot be modified to incorporate that safety measure.


In addition, the automaker plans to offer extended repair coverage on throttle systems in 16 million vehicles and offer cash payments from a separate $250-million fund to Toyota and Lexus owners who sold their vehicles or turned them in at the end of a lease in 2009 or 2010. The total value of the settlement could reach $1.4 billion, according to Steve Berman, the lead plaintiff attorney in the case.


The lawsuits, filed over the last several years, had been seeking class certification.


News of the agreement comes scarcely a week after Toyota agreed to pay a record $17.35-million fine to the National Highway Traffic Safety Administration for failing to report a potential floor mat defect in a Lexus SUV. Those come on top of almost $50 million in fines paid by Toyota for other violations related to sudden acceleration since 2010.


The massive settlement does not, however, put Toyota's legal woes to rest. The automaker still faces numerous injury and wrongful death claims around the country, including a group of cases that have been consolidated in federal court in Santa Ana, and other cases awaiting trial in Los Angeles County.


The first of the federal cases, involving a Utah man who was killed in a Camry that slammed into a wall in 2010, is slated for trial in mid-February.


The California cases are set to begin in April, among them a suit involving a 66-year-old Upland woman who was killed after her vehicle allegedly reached 100 miles per hour and slammed into a tree.


Edgar Heiskell III, a West Virginia attorney who has a dozen pending suits against Toyota, said he is preparing to go to trial this summer in a case that involved a Flint, Mich., woman who was killed when her 2005 Camry suddenly accelerated near her home.


"We are proceeding with absolute confidence that we can get our cases heard on the merits and that we expect to prove defects in Toyota's electronic control system," he said.


Toyota spokesman Mike Michels said the settlement would have no bearing on the personal injury cases.


"All carmakers face these kinds of suits," he said. "We'll defend those as we normally would."


The giant automaker's sudden acceleration problems first gained widespread attention after the August 2009 crash of a Lexus ES outside San Diego.


That accident set off a string of recalls, an unprecedented decision to temporarily stop sales of all Toyota vehicles and a string of investigations, including a highly unusual apology by Toyota President Akio Toyoda before a congressional committee. Eventually Toyota recalled more than 10 million vehicles worldwide and has since spent huge sums — estimated at more than $2 billion, not including Wednesday's proposed settlement — to repair both its automobiles and public image.





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Shootings across city wound at least 3 on Christmas















































A woman is in critical condition after getting shot in the neck Tuesday night, according to police, one of at least three people shot since 2 p.m. Christmas day.


The 22-year-old was shot inside an apartment on the 1900 block of South Harding Street in the Lawndale neighborhood about 9:40 p.m., police said. She was taken to Mount Sinai Hospital.


The woman was shot by her boyfriend during a fight inside the apartment, police said.








About 7 p.m., an 11-year-old boy was grazed in the arm in the 6200 block of South Michigan Avenue and taken to Comer Children's Hospital, according to police. He was walking in a group when he heard shots and felt pain.


Another man was left in serious condition after someone shot him in the back in the Hermosa neighborhood about 2 p.m. That happened in the 4300 block of West Armitage Avenue on the Northwest Side.


No one is in custody for the shootings and Area North and Area Central detectives are investigating.


pnickeas@tribune.com
Twitter: @peternickeas






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Samsung Elec seeks U.S. sales ban on some Ericsson products


SEOUL (Reuters) - Samsung Electronics said on Wednesday it had filed a complaint against Ericsson with the U.S. International Trade Commission (ITC), requesting a U.S. import ban and sales ban on some of the Swedish telecoms equipment maker's products.


The action taken on Friday by the world's top smartphone maker, which accused Ericsson of breaching seven of its patents, came after Ericsson requested an ITC U.S. import ban on Samsung products and sued the South Korean firm for patent infringement.


"We have sought to negotiate with Ericsson in good faith. However, Ericsson has proven unwilling to continue such negotiations by making unreasonable claims, which it is now trying to enforce in court," Samsung Electronics said in a statement.


"The accused Ericsson products include telecommunications networking equipment, such as base stations," Samsung said.


With Ericsson suffering a big drop in sales at its network unit, down 17 percent in the third quarter, it is turning to the courts to maintain its patent income, part of a wider trend where big technology names are fiercely protecting intellectual property as global sales of tablets and smartphones boom.


Ericsson is facing a growing challenge from Samsung Electronics, a smaller player in the network equipment market.


"I'm sure that at this point, no one in the industry would underestimate Samsung's ability to become a significant player, if not the leader, in a new segment of the overall market for telecommunications hardware," Florian Mueller, a patent expert, said in a blog posting on Monday.


"This certainly adds a more strategic dimension to the Ericsson-Samsung dispute."


Samsung Electronics and its arch smartphone rival Apple Inc have been also locked in patent disputes in at least 10 countries as they vie to dominate the mobile market and win over customers with their latest gadgets.


The European Commission on Friday charged Samsung Electronics with abusing its dominant position in seeking to bar rival Apple from using a patent deemed essential to mobile phone use.


Samsung Electronics shares were trading up 1.3 percent, outperforming the wider market's 0.7 percent gain as of 0037 GMT.


(Reporting by Hyunjoo Jin; Editing by Robert Birsel)



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Lakers beat Knicks 100-94 to get to .500


LOS ANGELES (AP) — The pieces of the puzzle that have been the Lakers' confounding season so far are starting to fall into place.


Kobe Bryant engineered a second-half comeback, the defense stepped up, and Los Angeles beat the New York Knicks 100-94 on Tuesday, extending its winning streak to five games.


"We're .500," a smiling Dwight Howard said. "We did it on Christmas, too. I knew this day would come."


Bryant scored 34 points in his NBA-record 15th Christmas Day game and Metta World Peace added 20 points and seven rebounds while defending Carmelo Anthony, whose 34 points led the Knicks. Anthony said he hyperextended his left knee, but expects to play on Wednesday in Phoenix.


Bryant, the league's leading scorer, has topped 30 or more points in nine straight games.


"If you're going to play on Christmas, it's always better to win. Makes it all worthwhile," said Bryant, who would soon hop a flight to Denver, getting there ahead of the Nuggets, who played the Clippers in the other half of the holiday doubleheader at Staples Center.


The Lakers improved to 14-14 — 9-9 under new coach Mike D'Antoni — and upped their holiday record to 21-18, including 13-9 at home. They returned to .500 for the first time since they were 8-8 on Nov. 30.


"It's so early in the season to have turned a corner," Bryant said. "We have everybody in the lineup and we're starting to see how we want to play."


The Knicks controlled most of the game behind Anthony and J.R. Smith, who had 24 points. But they struggled offensively in the fourth, when Anthony was limited to seven points and Smith had five as the Lakers' defense clamped down. World Peace fouled out with 1:58 to play and the Lakers ahead by four.


World Peace credited his defense on Anthony to "old-school basketball."


"I'm back in shape and it's a little tough to guard me," he said.


Steve Nash said: "This is what he's been doing all year. He gets his hands on a lot of balls, pounds on the other team's best guy. You can't win without that type of effort."


Smith's 3-pointer pulled New York to 96-94. After Pau Gasol made one of two free throws, Smith missed another 3 that would have tied the game at 97 with 32 seconds left.


"We missed a lot of easy shots, a lot of little chippers around the basket, shots that we normally make," Anthony said. "There were some plays that we thought should have went our way down the stretch, but for the most part, we fought. I'll take this effort any night. If we continue to play with this effort, we'll win a lot of games."


With Bryant double-teamed, Nash passed to Gasol, who dunked with 12 seconds to go, punctuating a win that sent Lakers fans, frustrated by the team's struggles and coaching change, home happy. The Lakers avenged a 116-107 loss in New York on Dec. 13.


A smiling Howard called Gasol's driving slam "a submarine dunk because he was very low to the ground."


Gasol responded, "I don't dunk as often as I used to so it felt good. I took it right down the lane and finished strong."


Nash had 16 points, 11 assists and six rebounds in his second game in nearly two months. He missed 24 straight games while recovering from a small fracture in his lower left leg. Howard had 14 points and 12 rebounds, and Gasol had 13 points and eight rebounds.


"It was an important win for us as we were a little bit desperate," Nash said. "We've gone through a lot since Mike Brown — new coach, new offense. It's been a difficult transition."


Bryant had eight of the Lakers' first 10 points to open the fourth during a run that provided their first lead since the opening quarter in a game matching the two teams that have played the most on Christmas Day.


They took the lead for good on Bryant's basket with 7:38 remaining. Anthony and Tyson Chandler were in foul trouble in the fourth, with Chandler fouling out late.


"They just were a little bit more aggressive," Anthony said. "Kobe got it going and Steve Nash hit some big shots down the stretch. When you have a guy like Nash doing that, it's kind of tough. Those guys know how to play. They've been waiting for Steve Nash to get back, so it's just a matter of then sticking it out until he did."


The Knicks opened the third on a 15-5 run, with Anthony setting up on the perimeter and hitting two 3-pointers as part of his 10 points that stretched their lead to 61-53. His jumper provided the Knicks' largest lead of the game, 69-60.


Bryant and Nash ignited the quiet atmosphere by leading a 17-9 run that drew the Lakers to 78-77 going into the fourth. They combined to score 15 points, although Bryant missed two free throws to end the third that would have given the Lakers their first lead since early in the game.


The Knicks' earlier roll dissolved in missed shots and a technical on Chandler for arguing a call.


"We were more determined, fought for everything," Nash said about the second half.


World Peace scored 16 points in the second quarter, including eight in a row, when the Lakers played catch-up most of the way. His 3-pointer gave the Lakers their first lead of the period with 1:10 remaining. Smith tied it up with a free throw before Nash's jumper sent the Lakers into halftime leading 51-49.


"We're playing really well together," World Peace said. "Kobe is really playing excellent now. He's still being aggressive on the offensive end, but he's giving everybody a chance to be aggressive. Pau is making strong, aggressive moves."


Bryant scored the Lakers' final nine points of the first quarter to give them a 25-23 lead. D'Antoni's plan of having Darius Morris guard Anthony didn't last long after he scored five of the Knicks' first seven points.


"I thought he'd get warmed up before he started firing," World Peace said.


NOTES: Bryant surpassed Oscar Robertson as the league's all-time Christmas Day scorer with 383 points. Robertson had 377. ... Knicks F/C Amare Stoudemire shot some before the game. He's been out all season after left knee surgery. "I'm not quite there yet, but I'm making progress," he said. "I've just got to stay patient and stay ready. We've been doing extremely intense work, as far as cardio." ... Knicks C Marcus Camby had four points and four rebounds in 8 minutes. He's been sidelined by a sore left foot and barely played this season. ... Asked about Bryant as an MVP candidate, D'Antoni said, "You can't put anybody MVP if you're below .500." ... In their only other Christmas Day meeting in 1963, the Lakers beat the Knicks 134-126 behind 47 points by Jerry West and 27 from Elgin Baylor. ... Nash said the gift bags in their lockers with the tag, "From Kobe Merry Xmas 2012" contained headphones. "Can't ever have enough," he said. ... The Lakers were all in white, while the Knicks were all in orange down to their socks in a color similar to Syracuse. ... Among the celebs holidaying at Staples Center were Rihanna and Chris Brown, Adam Levine, Samuel L. Jackson, George Lopez and Richard Lewis. Vanessa Bryant and her two young daughters sat courtside opposite the Lakers bench.


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Predicting who's at risk for violence isn't easy


CHICAGO (AP) — It happened after Columbine, Virginia Tech, Aurora, Colo., and now Sandy Hook: People figure there surely were signs of impending violence. But experts say predicting who will be the next mass shooter is virtually impossible — partly because as commonplace as these calamities seem, they are relatively rare crimes.


Still, a combination of risk factors in troubled kids or adults including drug use and easy access to guns can increase the likelihood of violence, experts say.


But warning signs "only become crystal clear in the aftermath, said James Alan Fox, a Northeastern University criminology professor who has studied and written about mass killings.


"They're yellow flags. They only become red flags once the blood is spilled," he said.


Whether 20-year-old Adam Lanza, who used his mother's guns to kill her and then 20 children and six adults at their Connecticut school, made any hints about his plans isn't publicly known.


Fox said that sometimes, in the days, weeks or months preceding their crimes, mass murderers voice threats, or hints, either verbally or in writing, things like "'don't come to school tomorrow,'" or "'they're going to be sorry for mistreating me.'" Some prepare by target practicing, and plan their clothing "as well as their arsenal." (Police said Lanza went to shooting ranges with his mother in the past but not in the last six months.)


Although words might indicate a grudge, they don't necessarily mean violence will follow. And, of course, most who threaten never act, Fox said.


Even so, experts say threats of violence from troubled teens and young adults should be taken seriously and parents should attempt to get them a mental health evaluation and treatment if needed.


"In general, the police are unlikely to be able to do anything unless and until a crime has been committed," said Dr. Paul Appelbaum, a Columbia University professor of psychiatry, medicine and law. "Calling the police to confront a troubled teen has often led to tragedy."


The American Academy of Child & Adolescent Psychiatry says violent behavior should not be dismissed as "just a phase they're going through."


In a guidelines for families, the academy lists several risk factors for violence, including:


—Previous violent or aggressive behavior


—Being a victim of physical or sexual abuse


—Guns in the home


—Use of drugs or alcohol


—Brain damage from a head injury


Those with several of these risk factors should be evaluated by a mental health expert if they also show certain behaviors, including intense anger, frequent temper outbursts, extreme irritability or impulsiveness, the academy says. They may be more likely than others to become violent, although that doesn't mean they're at risk for the kind of violence that happened in Newtown, Conn.


Lanza, the Connecticut shooter, was socially withdrawn and awkward, and has been said to have had Asperger's disorder, a mild form of autism that has no clear connection with violence.


Autism experts and advocacy groups have complained that Asperger's is being unfairly blamed for the shootings, and say people with the disorder are much more likely to be victims of bullying and violence by others.


According to a research review published this year in Annals of General Psychiatry, most people with Asperger's who commit violent crimes have serious, often undiagnosed mental problems. That includes bipolar disorder, depression and personality disorders. It's not publicly known if Lanza had any of these, which in severe cases can include delusions and other psychotic symptoms.


Young adulthood is when psychotic illnesses typically emerge, and Appelbaum said there are several signs that a troubled teen or young adult might be heading in that direction: isolating themselves from friends and peers, spending long periods alone in their rooms, plummeting grades if they're still in school and expressing disturbing thoughts or fears that others are trying to hurt them.


Appelbaum said the most agonizing calls he gets are from parents whose children are descending into severe mental illness but who deny they are sick and refuse to go for treatment.


And in the case of adults, forcing them into treatment is difficult and dependent on laws that vary by state.


All states have laws that allow some form of court-ordered treatment, typically in a hospital for people considered a danger to themselves or others. Connecticut is among a handful with no option for court-ordered treatment in a less restrictive community setting, said Kristina Ragosta, an attorney with the Treatment Advocacy Center, a national group that advocates better access to mental health treatment.


Lanza's medical records haven't been publicly disclosed and authorities haven't said if it is known what type of treatment his family may have sought for him. Lanza killed himself at the school.


Jennifer Hoff of Mission Viejo, Calif. has a 19-year-old bipolar son who has had hallucinations, delusions and violent behavior for years. When he was younger and threatened to harm himself, she'd call 911 and leave the door unlocked for paramedics, who'd take him to a hospital for inpatient mental care.


Now that he's an adult, she said he has refused medication, left home, and authorities have indicated he can't be forced into treatment unless he harms himself — or commits a violent crime and is imprisoned. Hoff thinks prison is where he's headed — he's in jail, charged in an unarmed bank robbery.


___


Online:


American Academy of Child & Adolescent Psychiatry: http://www.aacap.org


___


AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner


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Jessica Simpson's Christmas gift: She's pregnant


NEW YORK (AP) — Jessica Simpson's daughter has the news all spelled out: "Big Sis."


Simpson on Tuesday tweeted a photo of her baby daughter Maxwell playing in the sand, the words "Big Sis" spelled out.


The 32-year-old old singer and personality has been rumored to be expecting again. The tweet appears to confirm the rumors.


"Merry Christmas from my family to yours" is the picture's caption. Simpson used a tweet on Halloween in 2011 to announce she was pregnant with Maxwell. She is engaged to Eric Johnson and gave birth to Maxwell in May.


One possible complication regarding her pregnancy: She is a spokeswoman for Weight Watchers.


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Corporate tax rate overhaul may be part of a 'fiscal cliff' deal









WASHINGTON — Amid the wrangling over the so-called fiscal cliff, President Obama and congressional Republicans can agree on something: They want to lower the corporate tax rate.


The U.S. has the highest overall rate of any of the world's developed economies. It took the top spot in March after Japan reduced its rate, mimicking other countries that have lowered taxes to lure new businesses and keep existing companies from leaving.


Negotiations to avert automatic income tax increases and federal spending cuts scheduled to kick in Jan. 1 could provide the impetus for U.S. policymakers to tackle an overhaul of the corporate tax code next year.





The White House wants to put a corporate tax overhaul, along with changes to the individual income tax system, on a fast track as part of any deal to avoid the "fiscal cliff."


The centerpiece of an overhaul would be slashing the 35% corporate tax rate, a goal long sought by corporate executives and lobbyists.


Quiz: How much do you know about the 'fiscal cliff'?


"In the name of global competitiveness, I think that has largely been agreed to," Jim McNerney, chief executive of Boeing Co., said about how both parties view the need for major corporate tax changes.


In February, Obama proposed lowering the federal rate to 25% for manufacturing companies and to 28% for other firms. Rep. Dave Camp (R-Mich.), chairman of the House Ways and Means Committee, has been pushing a plan to lower the rate to 25% for all corporations.


In both cases, the rate cuts would be accompanied by the elimination of some of the numerous tax breaks that allow many companies to pay a much lower effective tax rate — and sometimes to avoid paying any corporate taxes at all.


"The administration's position on this is very much in sync with what Republicans say they want, which is a lower rate and a broader base," said Jared Bernstein, a senior fellow at the Center on Budget and Policy Priorities and the former chief economist for Vice President Joe Biden.


But there still are some obstacles to a deal.


Some Democrats want to use an overhaul to increase the amount of tax revenue coming from corporations, while Republicans want to keep the amount the same. The White House and congressional Republicans also differ on how the U.S. should treat money earned abroad.


And the business community itself is divided. Many small companies file taxes as individuals. They're opposed to any "fiscal cliff" deal that would raise their rates while giving corporations a rate reduction.


Analysts said the obstacles could be overcome because there is consensus around the broader point that the U.S. needs to bring its corporate tax rate in line with other developed nations.


"Regardless of your political persuasion, it is unquestionably the case that the nominal U.S. corporate tax rate is much higher than that of peer countries," said Edward Kleinbard, a USC law professor and former chief of staff of Congress' Joint Committee on Taxation.


The case for corporate tax reform got a boost when the overall U.S. rate of 39.1%, which includes federal, state and local corporate taxes, became the highest this year among the 34 nations in the Organization for Economic Cooperation and Development. Two decades ago, the U.S. was 13th.


"At one time in the '80s, we had a competitive corporate tax rate," said Dorothy Coleman, vice president of tax and domestic economic policy for the National Assn. of Manufacturers. "We've fallen behind by standing still."


Quiz: The year in business


But the rate in the tax code isn't what many companies pay because of a host of deductions and tax credits. In 2011, the effective corporate tax rate in the U.S. was 29.2%, roughly in line with the 31.9% average of the six other largest developed economies, the Obama administration said.


The White House said that parity does not mean the statutory rate shouldn't be reduced. It simply means that many tax breaks should be eliminated, allowing the rate to be lowered without adding to the deficit.





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6 shot within hours; 5 seriously hurt









Six people were hurt, five seriously, in shootings on the South and West sides late Monday.


Four of the injured were hurt in a single shooting on the Far South Side, and all four were taken to local hospitals in serious-to-critical condition, according to the Chicago Fire Department.

The shooting happened shortly before 7:30 p.m. in the 9400 block of South Justine Street, officials said.


A male shooter opened fire, striking four males as they walked down the sidewalk, Chicago Police Department News Affairs Officer Amina Greer said, citing preliminary information.

A 15-year-old boy and a 22-year-old man were taken to Advocate Christ Hospital in Oak Lawn, a 17-year old man was taken to Mount Sinai Hospital and a 19-year-old man was taken to John H. Stroger, Jr. Hospital of Cook County, police said.





The 15-year-old was shot in the abdomen, and the 17-year-old was shot in the chest, police said.


The other two men were shot multiple times.


Police said the condition of each was stabilized at the hospital.


The shooting happened in the Brainerd neighborhood.


About 9:05 p.m., a 19-year-old man was shot in the head in the West Side's University Village neighborhood, police said. 


The man was taken to Stroger in serious condition from the 1200 block of West Washburne Avenue , Zala said.


Earlier Monday evening, a 37-year-old man was shot in the leg and back in the South Side's Gresham neighborhood, police said.


The shooting happened in the 700 block of West 81st Street about 5:50 p.m., Zala said. The man was taken to an area hospital, where his condition was stabilized.


Check back for more information.

chicagobreaking@tribune.com

Twitter: @ChicagoBreaking





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Instagram furor triggers first class action lawsuit


SAN FRANCISCO (Reuters) - Facebook's Instagram photo sharing service has been hit with what appears to be the first civil lawsuit to result from changed service terms that prompted howls of protest last week.


In a proposed class action lawsuit filed in San Francisco federal court on Friday, a California Instagram user leveled breach of contract and other claims against the company.


"We believe this complaint is without merit and we will fight it vigorously," Facebook spokesman Andrew Noyes said in an e-mail.


Instagram, which allows people to add filters and effects to photos and share them easily on the Internet, was acquired by Facebook earlier this year for $715 million.


In announcing revised terms of service last week, Instagram spurred suspicions that it would sell user photos without compensation. It also announced a mandatory arbitration clause, forcing users to waive their rights to participate in a class action lawsuit except under very limited circumstances.


The current terms of service, in effect through mid-January, contain no such liability shield.


The backlash prompted Instagram founder and CEO Kevin Systrom to retreat partially a few days later, deleting language about displaying photos without compensation.


However, Instagram kept language that gave it the ability to place ads in conjunction with user content, and saying "that we may not always identify paid services, sponsored content, or commercial communications as such." It also kept the mandatory arbitration clause.


The lawsuit, filed by San Diego-based law firm Finkelstein & Krinsk, says customers who do not agree with Instagram's terms can cancel their profile but then forfeit rights to photos they had previously shared on the service.


"In short, Instagram declares that 'possession is nine-tenths of the law and if you don't like it, you can't stop us,'" the lawsuit says.


Kurt Opsahl, a senior staff attorney with the Electronic Frontier Foundation who had criticized Instagram, said he was pleased that the company rolled back some of the advertising terms and agreed to better explain their plans in the future.


However, he said the new terms no longer contain language which had explicitly promised that private photos would remain private. Facebook had engendered criticism in the past, Opsahl said, for changing settings so that the ability to keep some information private was no longer available.


"Hopefully, Instagram will learn from that experience and refrain from removing privacy settings," Opsahl said.


The civil lawsuit in U.S. District Court, Northern District of California, is Lucy Funes, individually and on behalf of all others similarly situated vs. Instagram Inc., 12-cv-6482.


(Reporting by Dan Levine; Editing by Dan Grebler)



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Pagano back to coach Colts after cancer treatment


INDIANAPOLIS (AP) — Chuck Pagano stepped to the podium Monday, hugged his team owner, thanked his family for its support and wiped a tear from his eye.


He might, finally, turn out the lights in his office, too.


Nearly three months to the day after being diagnosed with leukemia, the Colts' first-year coach returned to a team eager to reunite with a boss healthy enough to go back to work.


"I told you my best day of my life was July 1, 1989," Pagano said, referring to his wedding date. "Today was No. 2. Getting to pull up, drive in, get out of my car, the key fob still worked. I was beginning to question whether it would or not. When I asked for Bruce to take over, I asked for him to kick some you-know-what and to do great. Damn Bruce, you had to go and win nine games? Tough act to follow. Tough act to follow. Best in the history of the NFL. That's what I have to come back to."


The comment turned tears into the laughter everyone expected on such a festive occasion.


For Pagano and the Colts, Monday morning was as precious as anyone could have imagined when Pagano took an indefinite leave to face the biggest opponent of his life, cancer.


In his absence, all the Colts was win nine of 12 games, make a historic turnaround and clinch a playoff spot all before Sunday's regular-season finale against Houston, which they pegged as the day they hoped to have Pagano back. If all goes well at practice this week, Pagano will be on the sideline for the first time since a Week 3 loss to Jacksonville.


Pagano endured three rounds of chemotherapy to put his cancer in remission.


That Pagano's return came less than 24 hours after Indy (10-5) locked up the No. 5 seed in the AFC and the day before Christmas seemed fitting, too.


"I know Chuck is ready for this challenge. In speaking to his doctor multiple times, I know that the time is right for him to grab the reins, get the head coaching cap on and begin the journey," owner Jim Irsay said. "It's been a miraculous story. It really is a book. It's a fairytale. It's a Hollywood script. It's all those things but it's real."


The reality is that he's returning to a vastly different team than the one he turned over to Arians, his long-time friend and first assistant coaching hire.


Back then, the Colts were 1-2 and most of the so-called experts had written them off as one of the league's worst teams. Now, they're ready to show the football world that they can be just as successful under Pagano as they were under Arians, who tied the NFL record for wins after a midseason coaching change.


Pagano also has changed.


The neatly-trimmed salt-and-pepper hair and trademark goatee that were missing in November have slowly returned, and the thinner man who appeared to be catching his breath during a postgame speech in early November, looked and sounded as good as ever Monday.


He repeatedly thanked fans for their prayers and letters, the organization and his family for their unwavering help and promised to provide comfort and support to other people who are facing similar fights. During one poignant moment that nearly brought out tears again, Pagano even recounted a letter sent to him by a 9-year-old child who suggested he suck on ice chips and strawberry Popsicles in the hospital and advised him to be nice to the nurses regardless of how he felt — and he never even paused.


"I feel great, my weight is back, my energy is back and again, it's just a blessing to be back here," Pagano said.


In the minds of Colts players and coaches, Pagano never really left.


He continually watched practice tape and game film on his computer, used phone calls and text messages to regularly communicate with players and occasionally delivered a pregame or postgame speech to his team.


"He texted me and called me so much, it was like he was standing there in my face every day," said receiver Reggie Wayne, who has been friends with Pagano since the two were working together at the University of Miami.


But the Colts found plenty of other ways to keep Pagano's battle in the forefront.


They began a fundraising campaign for leukemia research, calling it Chuckstrong. Players had stickers with the initials CP on their locker room nameplates, and Arians wore an orange ribbon on his baseball cap during games. Orange is the symbolic color for leukemia. At one point, nearly three dozen players shaved their heads to show their ailing coach they were with him.


That's not all.


Arians and first-year general manager Ryan Grigson decided to leave the lights on in Pagano's office until he returned. Pagano noted the team even installed plastic clips to make sure those lights were not mistakenly turned off while he was gone. Those clips were removed when Pagano arrived Monday morning.


And Arians said nobody sat in the front seat of the team bus.


"He's always been our head coach," Arians said.


So after getting medical clearance from his oncologist, Dr. Larry Cripe, to return with no restrictions, Pagano couldn't wait to get to the office Monday morning.


Arians arrived at 7 a.m., three hours early for the scheduled team meeting. By then, Pagano had already driven past the inflatable Colts player with the words "Welcome Back Chuck" printed on its chest and was back in his office preparing for the Texans.


Players showed up a couple of hours later, and when the torch was passed from Arians back to Pagano, players gave their returning coach a standing ovation that Wayne said was well-deserved.


All Pagano wants to do now is emulate the success Arians and his players have had this season.


"I asked him (Arians) if he would lead this team and this ballclub and this organization and take over the reins," Pagano said. "What a masterful, masterful job you did Bruce. You carried the torch and all you went out and did was win nine ballgames. You got us our 10th win yesterday and you got us into the playoffs. You did it with dignity and you did it with class. You're everything that I always knew you were and more."


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