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A San Francisco jury foundthat prominent Silicon Valleyventure-capital firm KleinerPerkins didn’t sexually dis-criminate or retaliate againstformer partner Ellen Pao. A1 Intel is in advanced talksto buy Altera, a move thatwould represent the chip giant’sbiggest-ever acquisition. B1 Yellen laid out a road mapfor what happens after theFed lifts short-term interestrates later this year. A2 The strengthening dollarand weak global demandknocked down profits at U.S.corporations last year. A2 China’s sovereign-wealthfund is stepping up invest-ments in long-term global as-sets, with a focus on the U.S. B2 U.S. stocks rose with helpfrom technology and biotech-nology shares. The Dow closedup 34.43 points at 17712.66. B5BlackBerry’s CEO said thefirm’s turnaround plan is ontrack, even though revenuefell below expectations. B3Dow Chemical said it wouldspin off a significant piece ofits chlorine business to Olin ina deal valued at $5 billion. B3 Citadel Securities plansto shut down its Apogee“dark pool” in the U.S. B2 Brazil nominated the CEOof mining giant Vale as thenext chairman of embattledstate oil firm Petrobras. B4

What’sNewsWorld-Wide

CONTENTSBooks........................ C5-10Food........................... D8,10Business News...... B1-4Heard on Street..... B14Gear & Gadgets D11-13Letters to Editor.... A12

Opinion................... A11-13Sports........................... A10Stock Listings........... B13Style & Fashion.... D2-4Travel........................ D1,6,7Weather Watch...... B13Wknd Investor...... B7-9

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InsideNOONAN A13

Too-SmoothTed Cruz

The co-pilot who crasheda Germanwings airliner

into a French mountainsidewas being treated for depres-sion, a fact he concealedfrom his employer. A1 The U.S. applied new pres-sure against Israel by leavingopen the possibility of let-ting the U.N. set a deadlinefor a Palestinian state. A1With Iran nuclear talksnearing a critical deadlineTuesday, diplomats raiseddoubts that a meaningful dealcould be reached in time. A6 The U.S. military is pre-paring to expand aid toSaudi Arabia’s air campaignagainst rebels in Yemen. A7 Iraqi forces are resumingtheir push to expel IslamicState from Tikrit, without thehelp of Iran-backed fighters. A7 Sen. Harry Reid won’t seekre-election in 2016, ending athree-decade career in theSenate and setting off a shuffleof Democratic leadership. A4The Senate passed its firstRepublican budget in nearly adecade, in a vote infused withGOP presidential jockeying. A4 The White House issuedthe most extensive plan everto fight drug-resistant bacte-ria known as superbugs. A3Nigeria’s presidential voteSaturday is shaping up to be areferendum on security in Af-rica’s largest democracy. A7 Amanda Knox’s murderconviction was overturned byan Italian appeals court. A5

Business&Finance

U.S. RaisesPressure onIsrael OverPalestiniansWhite House suggestsit could let U.N. set adeadline to form a stateaftersplitwithNetanyahu

Father of His County? PlacesCompete for Bragging Rights

i i i

Washingtons around U.S. battle over claimof first to be named after founder

websites, road signs and monu-ments. While there isn’t exactly afeud raging among the Washing-ton counties, they haven’t allshown great interest in fact-checking.

“Sounds like Mary-land may have it,” saidDeborah Montanti, whodirects a preservationgroup in WashingtonCounty, Tenn., and con-siders herself a histori-cal myth buster. Still,she predicted, “themonument in front ofthe courthouse isn’t go-ing to change.”

The stone slab pro-claims Tennessee’s

Washington District, forerunnerto the county of the same name,to be “the first governmental di-vision ever named in honor of

Please see COUNTY page A9

HAGERSTOWN, Md.—GeorgeWashington may have slept inyour town, but Maryland’s Wash-ington County has a more com-pelling link to the fa-ther of our country: Itwas the first U.S.county to be named af-ter him.

Or so they say.Washington County,

Ga., makes the sameclaim, as does Wash-ington County, Pa. DittoWashington County,Tenn. In WashingtonCounty, Va., officialsclaimed the distinctionfor many years.

These competing contentionsstretch back decades and longago took root as accepted localtruths posted on government

BY SCOTT CALVERT

George Washington

The U.S. exerted new pressureagainst Israel by leaving open thepossibility of letting the UnitedNations set a deadline for a Pales-tinian state, in what would be adeparture from using Americanveto power to protect its closeMideast ally.

The prospect of a U.N. SecurityCouncil resolution arose Fridaywhen French Foreign MinisterLaurent Fabius said Paris wouldintroduce a measure setting adeadline for a negotiated settle-ment of the conflict and the estab-lishment of a Palestinian statealongside Israel, possibly withintwo years.

On dozens of occasions in re-cent decades, the U.S. has lobbiedagainst approval of such resolu-tions, using its veto authority as apermanent member of the Secu-rity Council as a last resort. In re-sponse to past resolutions con-cerning the Middle East, theWhite House has echoed Israel’scontention that U.N. action cannotsubstitute for direct negotiations.

But the White House took amarkedly different tack on Friday.Press secretary Josh Earnest saidthe Obama administration wasaware of Mr. Fabius’s comments.“But we have not yet actually seena text of a resolution so I’d reserve

Please see ISRAEL page A6

By Joe Lauria at theUnited Nations, Carol E.Lee inWashington and

JoshuaMitnick in Tel Aviv

Democrats Set to Shuffle Leadership

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FINAL TERM: Sen. Harry Reid, left, won’t seek re-election in 2016, andCharles Schumer moved to secure the Senate’s minority leader position. A4

BERLIN—Andreas Lubitz, theGermanwings co-pilot whocrashed an airliner into a Frenchmountainside, was being treatedfor depression, a fact he con-cealed from his employer, accord-ing to a person familiar with theinvestigation.

Mr. Lubitz had been excusedfrom work by his neuropsycholo-gist for a period that included theday of the crash, this person toldThe Wall Street Journal, but hedecided to ignore the advice andreported to work.

The Germanwings tragedyhighlights a broader industry di-lemma: reliance on pilots them-selves to disclose serious physicalor psychological ailments to theiremployer—and what can happen

SAN FRANCISCO—A jury hereon Friday said prominent ven-ture-capital firm Kleiner PerkinsCaufield & Byers didn’t sexuallydiscriminate or retaliate againsta former female partner, in aclosely watched case that raisedquestions about the treatment ofwomen in Silicon Valley.

The trial drew internationalattention because of the highlycharged claim that the firm hadstymied the career of a promis-ing woman, and because it fol-lowed other recent allegations ofunfair treatment at tech firms.

The verdict was a victory forKleiner Perkins, one of the oldestand best-known firms in SiliconValley, and a defeat for Ellen Paoafter a three-year legal fight anda grueling four-week trial.Kleiner Perkins was an earlybacker of Amazon.com Inc.,Google Inc. and many others.

“If I have helped to level theplaying field for women and mi-norities in venture capital, thenthe battle was worth it,” Ms. Pao,45 years old, said outside thecourtroom. She said many peoplehad reached out to say, “Mystory is their story.” She declinedto answer questions.

The six-man, six-woman juryhad to work through 14 pages ofinstructions and a seven-pageverdict form with 30 questionsto formulate its verdict on twocharges of gender discriminationand two charges of retaliation.

Ms. Pao, dressed in a whitelinen jacket, waited in the tensecourtroom as the verdict wasread. Her mother sat behind herin the front row.

“Today’s verdict reaffirmsthat Ellen Pao’s claims have nolegal merit,” Kleiner Perkins saidafter the decision. “There is noquestion gender diversity in theworkplace is an important issue.KPCB remains committed to sup-porting women in venture capital

Please see PAO page A4

BY JEFF ELDER

Silicon ValleyVenture FirmPrevails inSex-Bias Suit

when secrecy urges or privacyconsiderations trump disclosure,safety and medial experts say.

Despite mandatory, regularmedical exams—supplementedby company-specific safeguardsintended to periodically check onaviators’ skills and psychologicalstate—airlines ultimately dependon employees to honestly assessand report when they shouldn’tbe flying.

In return, Germanwings, a unitof Deutsche Lufthansa AG, andmany other airlines around theglobe promise to avoid punishingpilots who comply with that guid-ing principle.

WhileMr. Lubitz, 27, had soughtto conceal his depression, therewas no evidence that the fear oflosing his medical classification asbeing fit to fly—due for renewal inJuly—triggered his actions, though

“this would be a plausible explana-tion,” the person said.

The person said there was noevidence that Mr. Lubitz, whoshared an apartment with hisgirlfriend, was under medicationthat could have clouded his judg-ment in the cockpit.

“When someone makes thesame decision five or six times allleading toward one specific endyou have to assume they are act-ing intentionally,” the personsaid, alluding to Mr. Lubitz’s lackof reaction when urged by the pi-lot to open the cockpit door.

A spokesman for Lufthansa saidFriday that: “All we knowwas thathe had a clean background.” Hesaid earlier that Lufthansa wouldconsider whether it needs tochange its screening procedures.

Lufthansa, like other Europeancarriers, requires pilots to dis-

close conditions inhibiting theirability to fly.

The lead French prosecutorBrice Robin said Thursday thathe suspected Mr. Lubitz lockedthe captain of GermanwingsFlight 9525 out of the cockpit,programmed the A320’s descentand slammed it into an Alpineridge at 400 miles an hour onTuesday, killing all 150 peopleaboard. He said Mr. Lubitzshowed a “willingness to destroythis aircraft.”

The European Aviation SafetyAgency, Europe’s top air-safetyregulator, late Friday recom-mended temporary rules requir-ing two crew members to manthe cockpit at all times. Whilesuch a rule is standard in the

Please see CRASH page A8

BY WILLIAM BOSTONAND ANDREA THOMAS

Co-Pilot Hid His Depression

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Relatives of victims of the Germanwings crash are comforted in Le Vernet, France, an Alpine hamlet near where Flight 9525 went down.

hoc market where the red-hot stocks ofclosely held technology companies tradelargely out of sight of regulators, otherinvestors and the companies themselves.

Because up-and-comers like Uber, dis-appearing-message provider SnapchatInc. and home-rental service Airbnb Inc.haven’t gone public, almost all of theirstock is owned by venture-capital inves-tors and employees, who face tight lim-its on selling their shares.

But some early investors are eager tocash in now. To help them outmaneuvercompany restrictions on stock sales,middlemen are designing derivativesthat deliver payments to employeesbased on a stock’s perceived value.Some financial firms let employeespledge their shares as collateral for aloan.

Buyers sometimes form investment

pools to flip slices of private stock toother investors who are hungry to get inon the action long before an initial pub-lic offering.

Prices used in transactions can bebased on little more than a guess, sinceprivate companies keep almost all theirfinancial information secret.

Mr. Sands, who runs Artist CapitalInc., based in New York, asked invest-ment bank Aldwych Capital Partners tohelp him raise money for the Uber fund.Aldwych, also of New York, turned toRaymond James Financial Inc., a largebrokerage firm in St. Petersburg, Fla.

“We are exclusive on a raise for anUBER SPV - the shares are comingstraight from top management at thelast valuation (40 bln),” one Aldwychemployee told a Raymond James em-

Please see SHARES page A9

Hedge-fund manager Jonathan Sandsgushed in a January email that share-holders of Uber Technologies Inc. couldquadruple their money in two to fouryears. “The numbers behind Uber areastounding,” he wrote.

The email was a sales pitch for an in-vestment fund with $100 million ofstock in the privately owned, smart-phone-based car service, which Mr.Sands said he was getting “directly”from Uber to sell to other investors, mi-nus a management fee and cut of theprofits for himself.

He didn’t actually have any Ubershares to sell. But in a bustling intersec-tion of Silicon Valley and Wall Street,Mr. Sands and other financial middle-men like him are creating a murky, ad

BY SUSAN PULLIAM AND TELIS DEMOS

TECHWORKERS CASH IN EARLYWall Street middlemen spawn a murky market for pre-IPO stocks; touting Uber’s ‘astounding’ earnings

Daunting forensic task.............. A8 Iran nuclear talks go down to

the wire.............................................. A6

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