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Court Reinstates Libel Case Against NYT (AP via Yahoo!)
Steven Hatfill sued the Times for a series of columns written by Nicholas Kristof that faulted the FBI for failing to thoroughly investigate Hatfill for the anthrax mailings that left five people dead. NYT: A three-member appellate panel overturned a previous decision, noting that a "reasonable reader" of Kristof's columns would have concluded that Dr. Hatfill was responsible for the anthrax attacks.

Lachlan Murdoch Resigns From News Corp. (Guardian)
Long regarded as a potential heir to his father Rupert, Lachlan Murdoch has resigned from the News Corp media empire and will leave his post as deputy chief operating officer.

Fired Miami Herald Reporter Defends Taping (NYT)
Jim DeFede, who was fired for secretly taping his conversation with eccentric politician Art Teele, said his conversation before the man's suicide was so disturbing that he recorded it "out of concern." AP via E&P: Prosecutors looking into whether DeFede violated Florida law.

'Letter' From Harry (BBC)
After 20 years near the heart of U.S. culture, editor and author Sir Harold Evans picks up Alistair Cooke's pento take over the BBC's "Letter From America."

Fox Hires Counsel to Probe Abdul Affair (AP)
Fox Entertainment President Peter Liguori refused to say if American Idol judge Paula Abdul would be fired if the claims by Corey Clark, an unsuccessful contestant on season two, were found to be true. WaPo: The investigation is "winding down," Liguori told critics, but it would not be rushed to be finished before tryouts for the next edition begin on Aug. 18.

How Media Split Under Pressure in Plame Probe (WSJ)
The case presents the biggest test of confidential sources in decades, and has led to the worst split in memory between two media giants in an area where news organizations usually present a united front.

Fuller Due for Paycut? (NYP)
Bonnie Fuller, the editorial director of American Media, who oversees everything from Star to the National Enquirer, is expected to take a whacking on her salary when her contract expires.

Comedy Central Signs Spurlock (Mediaweek)
As part of a two-project deal, Super Size Me auteur Morgan Spurlock will develop and star in a satirical show in which the filmmaker and a team of irreverent social critics take on hot-button issues.

Editor, Reporters at Paper Resign Over Fake Quotes (AP via Yahoo!)
An editor and two reporters at a small North Carolina newspaper resigned after the writers were accused of fabricating quotes published on the front page of their newspaper.

Cheney Spawns Suicide Threat (Drudge Report)
Veteran wire reporter Helen Thomas is vowing to 'kill herself' if Dick Cheney announces he is running for president. "All we need is one more liar," she told The Hill.

All the News That Won't Offend (Washington City Paper)
Erik Wemple: The Post's coverage of the extraordinary story of the Rev. Willie F. Wilson has parts about homosexuality that have been cleaned up and put into cryptic shorthand.

Web Shakes Up Used Book Market (NYT)
Used bookstores have been around for centuries, but the Internet has allowed such markets to become larger and more efficient. And that has upset a number of publishers and authors.

The Sound and the Worry (Folio:)
Hemispheres, the United Airlines custom title, has been accused of censoring an anti-Bush parody in a "Faux Faulkner" contest. The mag's publisher was once Bush's ambassador to Finland.

'Church and State' Less Pronounced at Free Dailies? (Grade the News)
Michael Stoll: Two of the three major free tabloid-size Bay Area daily newspapers allow advertisers to determine some journalistic content and distribution.

The Red-State Times? (The Nation)
Eric Alterman: Under relentless pressure from the right, the machers who run the Times are concerned that their brand of reality-based reporting is increasingly out of step with faith-based red America.

The Sultan of Celebrity Skin (LAT)
David Hans Schmidt, named in the Colin Farrell lawsuit, has emerged over the past decade as one of the nation's leading brokers of celebrity pornography.

Some Readers Baffled by New Tech Terms (Marketwatch)
Google News today has 3,660 stories mentioning RSS and 1,980 with the word podcasting in them. But two research reports say public awareness of these terms is small.

Wenner Staffers Ready for Annual Desk Inspection (Jossip)
It's nearly time for Jann Wenner makes his annual desk inspections for all Wenner Media staffers, and a correspondent writes in to explain the hell Rolling Stone and Us Weekly staffers are about to endure.

—David S. Hirschman

IN YESTERDAY'S MB BLOGS:

ABC Names New Nightline EP: Goldston To Take Over For Bettag [TVNewser]
James Goldston will take over the reigns of ABC's Nightline when executive producer Tom Bettag departs at the end of the year.

Hottest Media Types [FishbowlDC]
We've spent a lot of wasted words writing about the ugly people in Washington, but with over 50 nominations so far in the as-yet-to-be-named "Fishbowl D.C. Top 10 Hottest Media Personalities in Washington" contest, there also appear to be some relatively attractive people in D.C.'s Fourth Estate.

Angelina's Baby: She's just like us, insofar as she wants to know what the hell is up with Karl Rove [FishbowlNY]
Us Weekly ran this picture of Angelina Jolie and brand-new baby Zahara with the question, "What's Zahara wearing?" Not that infant togs aren't very important, but we thought the question "What's Zahara reading?" was far more germane to a discerning media audience. The answer? Scott McClellan's favorite magazine, Newsweek!

Huffington Print- thar she blows! [FishbowlLA]
A while back, I wondered why we hadn't seen the much-ballyhooed syndicated print version of The Huffington Post. Editor & Publisher now reports that HuPo print syndication will begin the week of September 12, and will be offered to papers twice-weekly instead of daily, as originally planned.

We Never Thought We'd Lust After Mylar [UnBeige]
As if the siren song of Silver Lake wasn't strong enough (don't pretend we're the only ones who have skulked past Home praying for a Seth Cohen sighting), today's "Currents: Los Angeles" section in the Times highlights a beautiful new installation at the Materials & Applications gallery on Silver Lake Boulevard. The vortex-shaped canopy is made of translucent, amber-colored mylar, and the pictures in the Times, taken on a brilliantly sunny day, make the open-air space beneath absolutely glow.

The Zoo: Week Four [mbToolbox]
Today is the fourth in a series of posts by San-Diego-based writer named Thomas Shess who has decided to keep a journal on his journey to find a publisher for his novel.