I was outraged this morning when my local news station broadcast the results from last night's "American Idol" -- Melinda Doolittle was voted off.

Simon Cowell made his preferences clear on Tuesday night. He wanted Jordin Sparks off and expected two finalists: Doolittle for her consistently excellent singing and Blake Lewis for his risk taking. I am guessing he thought those two had the best chance to make him money through record sales. I would have preferred to see Lewis go since I find him a mediocre singer who uses -- what I find very annoying "beatboxing" -- to make up the difference.

So why did Doolittle lose? There is no way to find out why she got fewer votes but my hunch is that she lacks charisma. Lewis probably took up the Sanjaya Malakar slack with the 12 year old girls and 17-year old Sparks exudes confidence and talent. While Doolittle lacks that magical quality, there is no doubt that she can sing better than the two finalists.

And if her post-Idol career is anything like last season's #4, Chris Daughtry's, Doolittle will be fine. However, with Doolittle off the show, it may hurt the ratings a bit for Idol owner, CKX Inc. (NASDAQ: CKXE) and News Corp.'s (NYSE: NWS) Fox.

Peter Cohan is President of Peter S. Cohan & Associates, a management consulting and venture capital firm. He also teaches management at Babson College and edits The Cohan Letter. He has no financial interest in CKX or News Corp.

American Idol didn't just jump the shark last night. It transformed itself into a nauseating celebration of corporate sponsorship and celebrity self-indulgence that was breathtaking to behold.

Though AIDS in Africa and hunger in America are serious issues that deserve the public's attention and charitable donations, I had trouble taking "Idol Gives Back" seriously. Then again, my cynicism kicks into high gear whenever I see a gaggle of celebrities trying hard to convince me that I should care about something. Actors and corporations have a right under the first amendment to express their political views, but I have just as much of a right to ignore them.

"Idol Gives Back" was all about the close bonds between Hollywood and Wall Street.

American Idol makes big money from the advertising that's integrated into its show such as the glasses on the judges' table that have the Coca-Cola Co. (NYSE: KO) logo on them and those idiotic Ford Motor Co. (NYSE: F) commercials featuring the contestants doing renditions of pop hits that have as much musicality as a high school rendition of "Grease."

As an Idol viewer, I can live with all of that stuff. Heck, I even put up with the hapless Sanjaya Malakar, who was in the audience last night.

But host Ryan Seacrest took America's top-rated program into new territory last night with his prodigious thanking of all of the sponsors, including Fox's parent News Corp. (NYSE: NWS) and ExxonMobil Corp. (NYSE: XOM). He made these multi-billion corporations sound almost saintly at times.

News Corp. (NYSE: NWS) Chief Executive Rupert Murdoch probably was the no. 1 fan of the most hapless "American Idol" contest in history Sanjaya Malakar ,whose time on the top-rated show mercifully came to an end last night.

Love him or hate him, Malakar made this season interesting. Otherwise, people would have grown tired of dishing out superlatives to Melinda Doolittle, who is the best singer in the competition's history, or trying to figure out half the things said by judge Paula Abdul.

Dave Della Terza, the creator of the snarky Vote for the Worst Web site that "championed" Malakar along with shock jock Howard Stern, aptly described "American Idol" as a "carefully crafted reality show."

When the 17-year-old Malakar walked into the audition room, the producers knew exactly what they were getting. Even as Malakar sung his heart out badly, his goofy earnestness somehow made him likeable. In other words, he was pure television gold.

Last night's American Idol yielded two big shockers this morning: Sanjaya Malakar can sing and J.Lo may be splitting with her husband.

As J.Lo said at the beginning of the show "I think the key to any Latin thing is passion." Malakar, who sang "Bésame Mucho" delivered on that premise -- particularly with the Spanish vocals. And I guess that J.Lo is not getting that Latin thing from her husband -- Marc Anthony. MSNBC reports that she blames Anthony for her stalled career and his "controlling ways" -- and plans to divorce him.

But none of this matters. What's really important is that if Malakar can sing, he's no longer the worst. And who will Howard Stern pick to replace him?

Arguably the most polarizing issue in American pop culture since Rachel and Ross, Sanjaya Malakar is loathed by millions, beloved by millions more, and ironically supported by Howard Stern and others hoping to summarily squash the six-seasons-old American Idol franchise in one fell swoop. But one thing is certain ... while the kid may not have the pipes of Melinda Doolittle, the charm of Chris Richardson, or the inventiveness of Blake Lewis, he is certainly a marketable commodity.

To this end, the president of KFC - a division of Yum! Brands (NYSE: YUM) - has made an offer to Sanjaya in an attempt to raise awareness of its KFC Famous Bowls. According to PostChronicle.com, a letter reportedly penned last week offers: "If you don a bowl hairdo during one of your next nationally televised performances, KFC will grant you a free lifetime supply of KFC Famous Bowls. We're sure America will be as 'bowled-over' by your take on this classic look as they are by our KFC Famous Bowls."

When I first heard about the rumored $50 billion Dow Chemical Co. (NYSE: DOW) buyout, I thought it was speculative nonsense stirred up by a U.K. tabloid. It turns out my skepticism was justified.

Late yesterday, Dow flatly denied that it was having discussions about a leveraged buyout. Wall Street analysts thought a buyout was unlikely. The U.K.'s Sunday Express, which reported the story, first disclosed these rumors in February.

Whenever investors see reports about mergers, acquisitions or buyouts, they need to consider the source. News organizations such as The Wall Street Journal, New York Times, Bloomberg News or the Financial Times are very careful about printing stories about potential mergers and acquisitions. I don't remember a situation where a story where a story from these sources was flatly denied.

Remember that investment bankers use the business press all of the time to promote deals that they are working or would like to work on. This is like the child's game Whisper Down the Lane. Someone talks to someone else about a possible deal which becomes a potential deal than a likely deal. Eventually. people aren't sure how the rumor started in the first place.

But before you discount this story entirely, remember that the Sunday Express didn't come up with this idea by itself. Maybe this was a trial balloon floated by a banker or public relations person. I have no idea whether Dow management has ever spent one second even considering a buyout.

But as the hapless American Idol contestant Sanjaya Malakar shows week after week, anything is possible.

Okay now, I've kept quiet on the subject thus far even though it has given me cause to question the validity of music appreciation and of "reality" television in general. This week, however, I find it impossible to keep my thoughts to myself. American Idol was blessed this week to be graced by the presence of Tony Bennett, the man who put the "B" in ballad and an icon of music history who is probably as responsible for as many loving moments as Issac Hayes.

For me, it shapes up like this: I don't care what Sanjaya Malakar looks like, how he dresses, how his hair is done, where he comes from, his race, religion, sexual leanings, culture or favorite muppet. The sad fact of the matter is that by now the marginally talented kid has no business occupying a spot on a stage where he could even consider the possibility of looking a man like Tony Bennett in the eye. At this point in the game it's wrong, just plain dead wrong.

You may play games with this kid if that's what you'd like to do America but think for a moment about the message you're sending to the world with your votes. You have no taste. You have no guts. You'd rather opt for humorous shenanigans over an exercise of honest conscience. You have taken the futures of at least a half dozen seriously talented people and tossed them at the dumpster because you thought it an appropriate joke to vote against what you knew to be the truth. Jim Cramer must be proud of you.

My greatest sorrow with this situation is the recollection of the passing of that other divine crooner Frank Sinatra. I really wish that Frank was still around to have witnessed this all going on. The reason being, Frank and his Rat Pack would have put an early end to all this nonsense without America being any the wiser. This is no longer a case of bad judgment. It has become a inexcusable display of gut twisting bad taste. Please America restore my faith in your recognition of talent. Reaffirm the proposition of "May the best one win".

Vote for the Worst enjoys being a fly around the Tyrannosaurus Rex that is "American Idol."

`"American Idol" isn't really a talent competition," said Dave Della Terza, who founded the snarky Web site in 2004, in an interview. "It's a carefully crafted realty show."

Della Terza hasn't made many friends at Fox and its corporate parent News Corp. (NYSE: NWS) or among rabid fans who regularly accuse him of trying to ruin America's most popular television show. Their angry emails on Vote for the Worst are hysterical.

Topic number one on the minds of his readers is Sanjaya Malakar. For those of you who are in a cave or in a coma, Malakar is a hapless young man who has managed to charm his way into the hearts of the American public. Every week, millions of viewers wait to find out what pop song the 17-year-old will butcher next.

In other words, Malakar is perfect for Vote for the Worst.

"It's pretty obvious that he's scared out of his mind," he said. "It's so awkward that the judges never know what to say."

Last night was no exception. Malakar put his long flowing brown hair into a mock Mohawk. His rendition of No Doubt's "Bathwater" was weird. Simon Cowell summed it up perfectly when he said that at this point it doesn't matter what the judges say about Malakar. Cowell is Sanjaya's "favorite" judge because he's "brutally honest," according to the show's Web site.

This season has had a few highlights for Della Terza. Idol contestant Chris Sligh, the chubby guy with the curly hair, gave him a shout out after finishing one of his songs. The site was also mentioned on VH1's "Best Week Ever."

"He understands the humor behind our Web site," he said of Sligh.

Maybe he'll have more time to enjoy Vote for the Worst. Sligh's rendition of "Every Little Thing She Does is Magic" didn't rock the house.

Try as it might, Fox can't ignore Vote for the Worst.

The site gets about one million hits a day and as many as four million hits on show nights. I had trouble getting on Vote for the Worst during last night's broadcast.

Vote for the Worst makes money, but not enough for Della Terza to make a living, he said.

Della Terza took pains to point out that he has a real job. Actually, he's got two of them.

"This is definitely not a job," he joked.

So the controversy continues. I was researching the rules to American Idol in response to a comment I received from someone claiming to be a former employee of Fox TV that suggested there is a disclaimer regarding the voting and selection process at the end of the show in fine print. I could not find the disclaimer but I did find this on Wikipedia:

• American Idol is broadcast to over 100 nations outside of the United States, including many with their own version of Idol; however, it is not a live broadcast and may be tape delayed by several days or weeks (excluding Pakistan, India, Israel, Canada, Indonesia, Malaysia, the Philippines, and the United Arab Emirates in which it is also aired live).
• And this: International networks broadcasting American Idol - In India it airs live on Star World.

Is the Wikipedia info correct? Does AI air live in India? Are all the people cursing me up and down wrong for even suggesting that Indian call centers might be skewing the American Idol vote?

Let me state clearly that upon further thought I believe that this is far fetched, never the less, Sanjaya Malakar is still on the show and more talented singers are gone. Howard Stern, and the vote the worst crowd are having an impact. My original post was followed by Sunday Funnies: American Idol - Indian Idle, sharing some of the comments I received, then American Idol puzzle solved: Market Theory, considering a broader range of factors, and continuing with Amercan Idol or Survivor: It's for real.

From a business perspective, American Idol is probably getting higher ratings with Sanjaya then it would without. Hollywood is not new to controversy and only politics is more corrupt in my view, so who knows the real story? I have been accused of being racist for even suggesting that race is a factor. Well in business, I cannot leave out race or any other considerations that may influence a situation. I am not passing judgment, I am sharing an observation. Can you even discuss racial issues without being a racist in some peoples eyes? Last night Stephanie Edwards, one of the four "black divas" was voted off. She has superior talent to others and I do believe that vote splitting affected her support on the show and that one of the four white males will be in trouble next week for the same reason. This is not racist, but objective analysis of the real world.

Disclosure: I invest in international stocks and one of my favorites is ICICI Bank ADS (NYSE: IBN) one of India's largest private banks.

Sheldon Liber is the CEO of a small private investment company and the vice president for design and research at an architecture & planning firm. Check out his other posts for BloggingStocks here.