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STEVENS CONCEDES: Alaska Sen. Ted Stevens conceded defeat Wednesday in a re-election bid shadowed by his felony conviction. The longest-serving Republican in Senate history said not enough ballots remain uncounted for him to catch Democrat Mark Begich.

HOUSE CHANGE?: Rep. Henry Waxman of California won backing from a House Democratic leadership panel Wednesday to replace veteran Michigan Rep. John Dingell as chairman of the committee with oversight of energy and global warming. A final vote by all House Democrats will be Thursday. Dingell, 82, is an important ally of automakers.

BIRTHDAY BOY: It apparently isn’t all hard work at the presidential transition office in the Loop. Aides said President-elect Barack Obama surprised Vice President-elect Joe Biden on Wednesday, a day before the Delaware senator’s 66th birthday, by bringing cupcakes and other gifts to their weekly lunch in Chicago. Obama lit candles on the dozen cupcakes and brought them to Biden, joking that his running mate was “12 years old.” Aides said Biden responded, “Maybe in dog years!” The president-elect led singing of “Happy Birthday” and gave Biden a White Sox cap, a Bears cap and a bucket of Garrett popcorn.