By Eric Ward and Ron Aiken

Most of South Carolina’s middle schools (61 percent) and close to half of its elementary schools (41 percent) received a D or F on their latest annual state report cards, which reflect standardized test scores, graduation rates and other data. — RA

No need to wait for a carbon cap for higher energy costs. With SCE&G planning a huge rate increase for two nuclear reactors, Santee Cooper said it also wants to hike rates. Meanwhile, the parent of SCE&G, Fortune 500 SCANA Corp., increased its stock dividends. — EW

A bill was filed to increase South Carolina’s lowest-in-the-nation, 7-cents-per-pack cigarette tax by 50 cents. Most of the money the tax hike would generate would go toward health care. Gov. Mark Sanford vetoed a 50-cent increase last year, saying it wasn’t revenue neutral. — EW

S.C. Attorney General Henry McMaster said a lawsuit he filed against North Carolina for that state withdrawing water from the Catawba River could be crippled if the General Assembly does not allocate $2.2 million to his office to continue the case. — EW

A federal judge ruled that minorities are discriminated against in elections for Lexington School District 3 board members, the ACLU announced. In 1994, the date of the elections was moved from February to November, diluting the voting power of minorities, according to the ACLU. The judge ordered the district to level the playing field. — EW

Wal-Mart employees in South Carolina, in a class-action lawsuit against their employer, won preliminary approval for a $49 million settlement with the retail giant over a wages and hours dispute, likely ending more than six years of litigation, The Associated Press reported. — RA

Rejoice, ye victorious Yankees, rejoice: Citing a downturn in the always volatile Confederate memorabilia market, S.C. Senate President Pro Tempore Glenn McConnell told the Charleston Post and Courier that he will close the 20-year-old CSA Galleries gift store he operates with his brother, Sam, in March. — RA