SAN FRANCISCO -- California Attorney General Bill Lockyer announced Wednesday a $2.6 million settlement with Diebold Inc., resolving a lawsuit alleging that the company sold the state and several counties shoddy voting equipment. Although critics characterized the settlement as a slap on the wrist, Diebold also agreed to pay an undisclosed sum to partially reimburse Alameda, San Diego and other counties for the cost of paper backup ballots, ink and other supplies in last week's election. California's secretary of state banned the use of one type of Diebold machine in May, after problems with the machines disenfranchised an unknown number...