Fwd: Overseas Press Summary + Alex Cartoon

[arthur ndowora]

---------- Forwarded message ----------
From: "Zfn (Zimbabwe)" <z...@yoafrica.com>
Date: Mon, 10 Dec 2012 09:00:06 +0200
Subject: Overseas Press Summary + Alex Cartoon
To: "Zfn (Zimbabwe)" <z...@yoafrica.com>

Zfn
Realtime financial intelligence
__________________________________________________________________________________




Headlines
Financial & Global Economy
*Wall Street finish mixed as Apple drags down techs - CNNMoney

*Britain's FTSE buoyed by U.S. jobs data - Reuters

*Oil advances on China crude processing; OPEC to meet in Vienna - Bloomberg

*Gold steady above $1,700/oz; eyes on Fed meeting - Reuters

*After Apple, Foxconn eyes U.S. expansion - CNNMoney

*Chinese investors buy 80% of AIG plane unit for $4.2 billion - Bloomberg

*China sees both industrial output and retail sales rise - BBC News

*30 bln euros for Greek debt buyback - AFP

*BofA said to consider new Hong Kong lease as vacancies rise - Bloomberg

*Tax not 'voluntary', Alexander tells firms - BBC News

*Even billionaires pay farmworkers badly - Saturday Star



International
*As Tibetan self-immolations rise, Beijing tightens grip - Reuters

*Royal prank radio hosts to break silence - AFP

*Obama meets with Boehner privately at White House - Bloomberg

*Pioneering surgery repairs girl's spine with leg bone - BBC News

*PSY apologizes for viral anti-American lyrics - CNN News

*Berlusconi launches improbable comeback - AFP

*Elephant dung used to make black ivory coffee - Sky News

*We all have hundreds of DNA flaws, UK geneticists say - BBC News

*Special Report: The FBI visits; the jihad begins - Jane's Jihad - Reuters

*Proposal for global regulation of web - CNN News

*Dad kills son in accidental shooting - AFP

*RVP breaches City fortress, Reds win - Super Sport



News from the Axis
*Chavez names loyalist heir as Venezuela eyes succession - Bloomberg

*U.S. Navy SEAL killed in operation to rescue American doctor in
Afghanistan - CNN News

*Iran warships dock in Sudan: witness - AFP

*Bahrain opposition hails crown prince's call for talks - Reuters

*U.N. envoy: Political solution to Syria crisis 'necessary and still
possible' - CNN News

*Myanmar sorry for monks' injuries - AFP



Political and General
*SADC reaffirms need for reforms before elections - New Zimbabwe

*Mugabe shows no signs of slowing down - AFP

*MDC-T eyes electoral pact to unseat Mugabe - New Zimbabwe

*Mugabe threatens to call Zimbabwe election before new constitution - Reuters

*Grace thanks Mugabe 'every day' - New Zimbabwe

*Zimbabwe minister sees no election before mid-2013 - Reuters



Regional
*Swaziland poverty is set to deepen - IMF - Business Report

*Sudan police teargas protesters after student deaths - Reuters

*South Africa's Nelson Mandela 'looks well' in hospital - BBC News

*Cash-strapped Swaziland urged to hike witch-doctor tax - Reuters

*NUM celebrates 30 years - Sapa

*Nigerian finance minister's mother kidnapped - Reuters

*Egypt opposition rejects planned referendum - Al Jazeera

*Ghana's Mahama wins election, opposition cries foul - Reuters





Financial & Global Economy
Wall Street finish mixed as Apple drags down techs

CNNMoney

Friday December 7



New York-The Nasdaq snapped a two-week winning streak Friday, dragged
down by a nearly 9% sell-off in Apple shares. But the S&P and Dow
managed to eke out a third straight week of modest gains.

U.S. stocks ended Friday in mixed territory as euphoria
from better-than-expected jobs numbers faded in the wake of a report
showed waning consumer confidence.

The Dow Jones industrial average gained 0.6%, helped by shares of
JPMorgan Chase (JPM, Fortune 500) and Bank of America (BAC, Fortune
500), while the S&P 500 moved up 0.3%. The Nasdaq dropped by 0.4%,
after Apple (AAPL, Fortune 500) fell 2.5%.

Investors learned ahead of the opening bell that the U.S.
economy added more jobs than expected in November, and the
unemployment rate fell to a four-year low.

But the latest consumer sentiment reading from Thomson
Reuters/University of Michigan served as a stark reminder that
consumers still are nervous The index unexpectedly fell to 74.5 in
December, coming in way below forecasts and down from 82.7 in
November.

On top of that, worries about the fiscal cliff and ongoing
back-and-forth wrangling in Washington continue to keep investors on
edge. If lawmakers fail to strike a deal before the end of the year to
avert scheduled tax increases and spending cuts, they risk pushing the
U.S. economy into recession.

Looking at individual stocks, Netflix (NFLX) CEO Reed Hastings is
under investigation by the Securities and Exchange Commission for
posting information about the company on his Facebook page that he
hadn't disclosed to the SEC. Shares dipped slightly.

Shares of Smith & Wesson Holding Corp. (SWHC) dropped
nearly 9% even though the gun maker reported strong quarterly earnings
and boosted its full-year outlook.

Shares of publisher McGraw-Hill (MHP, Fortune 500) rose nearly 4%
after the company announced that it would pay a one-time special
dividend before year-end.

Western Gas Equity Partners (WGP) rose nearly 28% in its IPO Friday.

Fear & Greed Index

European markets were mixed after Germany's Bundesbank cut
its growth forecasts and warned there was a risk of Europe's biggest
economy dipping into recession in early 2013.

Asian markets also ended mixed. The Shanghai Composite performed best,
adding 1.6%.

The dollar was firmer against the euro, the British pound
and the Japanese yen.

Oil prices for January delivery rose slightly to $85.93 a barrel. Gold
prices for February delivery edged up to $1,704.00. The price on the
10-year Treasury fell, pushing the yield up to 1.63% from 1.58% late
Thursday.



Britain's FTSE buoyed by U.S. jobs data

Reuters

Friday December 7



London-Britain's top share index closed a touch higher on Friday,
helped by a robust U.S. jobs report, although weak consumer confidence
data from the world's biggest economy and a grim UK economic outlook
knocked sentiment.

The FTSE 100 closed up 12.98 points, or 0.2 percent, at
5,914.40, having hit a high of 5,923.11 after data showed U.S.
non-farm employment increased by a better-than-expected 146,000 jobs
last month.

But the market trimmed gains after a separate report showing U.S.
consumer confidence plunged in early December to its lowest since
August.

"You take the sugar rush from the payrolls data, and then
you take the flipside of that with the confidence data... and
basically now we're looking at the FOMC next week, and we're back
where we were when we started," Michael Hewson, senior analyst at CMC
Markets, said.

A meeting next week of the Federal Open Market Committee (FOMC) will
be closely watched to see if U.S. policymakers decide to keep pumping
money into the economy.

"We're going to try and push higher, but we really need
something much more positive and much more conclusive given the
newsflow that we've had today," Hewson said.

Gloomy UK economic data dampened the mood, with British industrial
production unexpectedly falling in October after factory output posted
its biggest drop since June, fuelling fears the economy will shrink
again at the end of this year.

Retailers, inextricably linked to the state of the UK
economy, were out of favour, with high street stalwart Marks & Spencer
the worst off, down 1.1 percent.

Goldman Sachs downgraded its rating for M&S to "sell", with the
investment bank deterred by a lack of focus on online operations.

"Given Marks & Spencer's strategy of focusing its
investment on a capital-intensive store base over the past six years,
rather than investing in capital-light online operations, we believe
the company will continue to experience declining returns on
investment in the medium term," Goldman analysts said in a UK retail
sector review.

As part of the review, Goldman also hiked its rating for Next to
"neutral", noting that through high returns of its online business, it
has markedly stepped up capital returns to shareholders.

Next slipped 0.2 percent, having hit a new all-time high
on Thursday, with its 14-day relative strength index near to 70 in a
sign it might be getting overvalued.

The rally of more than 5 percent seen since mid-November on the FTSE
100, fuelled by an easing of worries over the euro zone and hopes for
a solution to the U.S. "fiscal cliff", has left the index at the top
of a range established since September.

"(The fiscal cliff) is a long drawn out process rather
than a quick swift decision. Quick swift decisions tend to see quick
swift market reactions on the back of them, whereas something more
drawn out like this will have a more diluted reaction," said Alastair
McCaig, Market Analyst at IG.

On the upside, housebuilder Berkeley Group was among the top mid cap
gainers, rising 4.7 percent to a record peak after the company
unveiled a 41 percent rise in pre-tax profit for the six months to
end-October and declared its first dividend since 2008.

Richard Curr, head of dealing at Prime Markets said: "(We)
believe the scale of the success here will continue to drive the
shares higher into Q1 2013, and we expect our initial target of 1,750
pence to be hit in the coming 7-10 days. Buy."



Oil advances on China crude processing; OPEC to meet in Vienna

Bloomberg

Monday December 10



New York-Oil rose from the lowest level in three weeks in New York
after China's crude processing climbed to a record and industrial
output beat estimates. OPEC meets in Vienna this week to discuss its
production quota.

Futures advanced as much as 0.4 percent after falling the
past four days. China's refining climbed 9.1 percent in November from
a year ago to 10.2 million barrels a day and industrial production
jumped 10.1 percent, the National Bureau of Statistics in Beijing said
yesterday. Oil briefly pared gains after customs data today showed
China's exports rose less than estimated. Saudi Arabia is content with
current crude prices, the country's petroleum minister said before the
Organization of Petroleum Exporting Countries meets on Dec. 12.

"It's encouraging to see further evidence that the Chinese economy is
bottoming out and looks as though it can, at least in the medium-term,
sustain growth rates in the 7.5 percent to 8.5 percent region," said
Ric Spooner, a chief market analyst at CMC Markets in Sydney. "The
most likely outcome is that OPEC's production quota will be left at 30
million barrels a day."

Crude for January delivery rose as much as 34 cents to
$86.27 a barrel and was at $86.19 in electronic trading on the New
York Mercantile Exchange at 12:42 p.m. Singapore time. The contract
decreased 33 cents on Dec. 7 to $85.93, the lowest close since Nov.
15. Prices slid 3.4 percent last week and are down 13 percent this
year.

Brent for January settlement gained 46 cents, or 0.4 percent, to
$107.48 a barrel on the London-based ICE Futures Europe exchange. The
European benchmark contract was at a premium of $21.29 to West Texas
Intermediate futures.

Upward Trend

Oil is rebounding in New York after settling for a second
day above technical support along an upward-sloping trend line,
according to data compiled by Bloomberg. This line, connecting the
lows of June and November, is around $85.60 a barrel today. Buy orders
tend to be clustered near chart-support levels.

Retail sales in China, the world's second-biggest crude consumer,
increased 14.9 percent last month from a year ago, the statistics
bureau also said yesterday. Economists surveyed by Bloomberg forecast
industrial production would gain 9.8 percent and retail sales would
climb 14.6 percent.

China's exports rose 2.9 percent in November, compared
with a median estimate of 9 percent, data from the the customs
administration in Beijing showed today.

OPEC Quota

OPEC will probably leave its group production quota of 30
million barrels a day of oil unchanged, according to a Bloomberg News
survey of 18 analysts. "Prices are fine and customers are happy," Ali
Al-Naimi, Saudi Arabia's petroleum minister, said in an interview on
Dec. 7.

"The Saudis don't want prices to go up much from here," Robin Mills,
the head of consulting at Dubai-based Manaar Energy Consulting and
Project Management, said yesterday. "Some members like Iran may want a
cut in production, but the oil price is still healthy so it's
difficult for OPEC members to claim there's oversupply."

Money managers increased net-long positions, or wagers on rising
prices, in WTI by 13,434 futures and options combined, or 12 percent,
to 129,530, according to the Commodity Futures Trading Commission's
Dec. 7 Commitments of Traders report.



Gold steady above $1,700/oz; eyes on Fed meeting

Reuters

Sunday December 9



Singapore-Gold traded steady above $1,700 an ounce on Monday, as a
drop in the U.S. unemployment rate did little to dampen the outlook
for easy monetary policy, which is expected to be reaffirmed at a
Federal Reserve meeting later this week.

Investors are watching progress in the U.S. fiscal talks
and potential political uproar in Italy, which could jolt the market
where liquidity is starting to thin as traders close books before the
end of the year.

The slow improvement in the U.S. job market and prospects for more
cash printing by the Federal Reserve kept sentiment buoyant in gold,
which has risen about 9 percent this year, mostly on the Fed's
stimulus measures.

Investors await a U.S. Federal Reserve policy meeting on

Tuesday and Wednesday, after which the central bank is expected to
announce fresh bond purchases of $45 billion a month to replace
Operation Twist, the Fed's program of buying longer-dated bonds with
sale proceeds from shorter date holdings, due to expire at the end of
the year.

"Market expectation is that there could be more
quantitative easing towards the end of the month, and this will be
supportive of gold," said Lynette Tan, an analyst at Philip Futures in
Singapore.

But Tan said gold was likely to remain trapped in a range between
$1,680 and $1,750 an ounce as many investors have moved to the
sidelines watching the progress of talks in Washington to avert the
"fiscal cliff", $600 billion worth of tax hikes and spending cuts due
to kick off next year that is feared would trigger another recession.

Spot gold was little changed at $1,705.59 an ounce by 0312
GMT, trying to stand firm above the 100-day moving average at
$1,702.64. U.S. gold was almost flat at $1,704.20.

Hedge fund and money managers cut their bullish bets on U.S. gold last
week to the lowest level since late August, and also reduced silver
longs, data from the U.S. Commodity Futures Trading Commission showed.

But some investors continued to pile into gold-backed
exchange-traded funds.

Holdings of gold ETFs hit a record high of 76.129 million ounces on
Dec. 7, despite stagnant gold prices in recent weeks.

The brightened economic outlook in China after data over the
weekend showed eight-month highs in factory output and retail sales in
November helped support platinum group metals.

Platinum and palladium are widely used in producing exhaust-reducing
autocatalysts.

Spot platinum hit a more than one-week high of $1,612.50, and
spot palladium gained 0.4 percent to $695.87, close to a near
three-month high of $698.50 hit in the previous session.



After Apple, Foxconn eyes U.S. expansion

CNNMoney

Friday December 7



New York-Foxconn Technology Group said Friday it was considering an
expansion of its operations in the United States. The move comes just
one day after Apple CEO Tim Cook's splashy announcement that Apple
will begin making some Macs in the United States.

Foxconn plays a key role in Apple's supply chain in China,
but its reputation has suffered in recent years as details of poor
working conditions at its factories have emerged.

"We can confirm that as a part of its long-term global expansion
plans, Foxconn is exploring the opportunity to expand its existing
manufacturing operations in the U.S., which have always been a part of
our global manufacturing operations, to meet the needs of our
customers and to leverage the high-value engineering talent that is
available in that important market," the company said in a statement.

Foxconn already operates plants in Texas and Indiana
through its Q-Edge subsidiary.

Louis Woo, a Foxconn spokesman, told Bloomberg earlier Friday that the
expansion was being made to accommodate the wishes of its customers.

"In general, customers want more to be done there," Woo said.

Foxconn does not usually comment on specific clients. But it is known
that Foxconn supplies parts to Apple and other manufacturers,
including Intel (INTC, Fortune 500), Microsoft (MSFT, Fortune 500) and
Cisco (CSCO, Fortune 500).

Apple (AAPL, Fortune 500) outsourced most of its Macintosh
manufacturing to China in the late 1990s. But news that some
production will be brought back to the United States should boost
Apple's public image after countless damaging reports of unsavory
working conditions at Chinese manufacturing plants.

Several of Apple's suppliers, including Foxconn, have limited U.S.
operations. Woo told Bloomberg that Foxconn's U.S. operations
primarily make "partially-assembled products," including servers.

Many have speculated that the timing of Foxconn's
announcement is no coincidence, and the company will likely
manufacture Apple's made-in-the-U.S.A. Macs. In an interview with
Bloomberg Businessweek, Tim Cook said Apple's commitment to make some
Macs in the United States "doesn't mean that Apple will do it
ourselves, but we'll be working with people."

Choosing Foxconn as its third-party U.S. manufacturer would be a
relatively seamless transition, since Apple currently contracts its
Mac production to Foxconn in China.

With the U.S. desperate for well-paying jobs, an
announcement from the world's most valuable company that some
production is coming home couldn't have been better timed.

Still, it's not exactly clear what Foxconn's planned expansion will look like.

Unlike U.S. plants, Foxconn and other manufacturing
operations in China house employees in dormitories and can send
hundreds of thousands of workers to the assembly lines as soon as they
are needed. On the lines, workers are subjected to what most Americans
would consider unbearably long hours and tough working conditions.

That system gives tech companies like Apple the efficiency needed to
race products out the door. In addition, most of the component
suppliers for Apple and other tech giants are also in China or other
Asian countries. That geographic clustering gives companies the
flexibility to change a product design at the last minute and still
ship on time.



Chinese investors buy 80% of AIG plane unit for $4.2 billion

Bloomberg

Monday December 10



New York-A Chinese group agreed to buy an 80.1 percent stake in the
plane-leasing unit of American International Group Inc. (AIG) for
$4.23 billion, the largest acquisition by that nation's investors in
the U.S.

The investors in International Lease Finance Corp. include
New China Trust Co., China Aviation Industrial Fund and P3 Investments
Ltd., New York-based AIG said today in a statement. The buyers have an
option to take an additional 9.9 percent stake, according to the
statement. The deal values ILFC at $5.3 billion, and eclipses China
Investment Corp.'s $3 billion purchase of a stake in Blackstone Group
LP (BX) in 2007.

ILFC is the largest aircraft lessor in China, with a 30 percent market
share and more than 175 aircraft leased to 16 airlines in the Greater
China region, according to the company. AIG, the insurer that counts
the U.S. government as its largest investor, is selling the Los
Angeles-based business as Chief Executive Officer Robert Benmosche
focuses on insurance operations and works to reduce debt.

"AIG has made a strategic decision to be really an
insurance company," Paul Newsome, an analyst at Sandler O'Neill &
Partners LP, said in an interview before the deal was announced. "Most
investors in AIG and potential investors in AIG would like to see AIG
be a simpler company."

'Different Company'

AIG will record a $4.4 billion non-operating loss, which
includes a $1.8 billion non-cash charge tied to tax assets, when the
transaction meets criteria for "held for sale" accounting treatment,
according to the statement. The deal is subject to approval by U.S.
and Chinese regulators.

The new owners would be poised to expand in China and other emerging
markets in Asia, Latin America, the Middle East and Eastern Europe,"
Benmosche, 68, said in a memo to staff. The sale will help AIG narrow
its focus on global property-casualty coverage and U.S. life
insurance.

"AIG is a different company today than it was four years
ago," Benmosche, 68, said in a memo staff. "We're leaner, more
focused."

ILFC CEO Henri Courpron and President Frederick S. Cromer will
continue to manage the business, which will remain a U.S. corporation
and be registered with the Securities and Exchange Commission, the
company said. The firm plans to appoint a new board, which will
include Benmosche, when the deal is completed, according to the
statement.

Hiring Staff

ILFC had stockholders' equity of $7.9 billion at the end
of the third quarter, the company said last month in a filing. The
unit employs about 560 people, with more than 450 in the U.S., where
it plans to hire more staff to replace AIG-supported operations,
according to today's statement.

AIG filed for an initial public offering of the plane- leasing unit
last year, and said as recently as last month that an initial public
offering may take place in 2013. The insurer had considered selling
ILFC in 2009 to raise funds to repay a $182.3 billion U.S. bailout
that saved the firm from collapsing amid the financial crisis. The
company sold more than $60 billion in assets, including Asian
insurers, a U.S. consumer lender, and its Japanese headquarters, to
help repay the rescue.

AIG has gained 47 percent this year through Dec. 7,
compared with a 13 percent advance for the Standard & Poor's 500
Index.

A sale may boost AIG's shares and help the insurer reduce debt, Newsome said.

AIG acquired ILFC in 1990 for $1.16 billion, data compiled
by Bloomberg show. Under AIG's ownership, the plane-leasing unit
originally benefited from the ability to borrow money at low rates, an
advantage that evaporated when the insurer was hobbled by losses tied
to subprime mortgages.

Citigroup Inc. (C), JPMorgan Chase & Co. (JPM) and Morgan Stanley (MS)
are advising AIG on the transaction, with New York-based Citigroup
providing a fairness opinion to the insurer, and Credit Suisse Group
AG is representing the investor group, Jon Diat, an AIG spokesman,
said in an e-mail. Debevoise & Plimpton LLP is providing AIG with
legal advice, and Simpson Thacher & Bartlett LLP is doing so for the
investors.



China sees both industrial output and retail sales rise

BBC News

Sunday December 9



Beijing-China's economic growth rate may be gathering pace again, as
the government released strong industrial output and retail sales
figures.

Industrial production rose by 10.1% in November, compared
with a year earlier, according to the official data from the National
Bureau of Statistics.

This was better than expected, and the strongest performance since March.

At the same time, China's retail sales increased by 14.9%.
This was also the best showing for eight months.

'Sweet spot'

The official economic data are the first to be released
since the Communist Party appointed its new leaders last month.

The figures will be good news for them, but also for the world
economy, as China's factory output is indicative of global demand for
the country's consumer products.

Until the end of September, China had seen seven
consecutive quarters of a slowing economic growth rate, due to both
falling exports and weak domestic demand.

The data for the current three months from October to December will be
released in the new year. For July to September, the rate of growth
was 7.4%, down from 7.6% in the first quarter the year, and 9.2% for
2011 as a whole.

Other data released on Sunday showed that Chinese
inflation rose slightly to 3% in November - from 2.7% in October.

"The Chinese economy is in the sweet spot now with rebounding GDP
growth, rebounding earning growth and low inflation," said Lu Ting,
China economist at Bank of America Merrill Lynch.



30 bln euros for Greek debt buyback

AFP

Saturday December 8



Athens-Greece is set to purchase back about half of its debt owned by
private investors, broadly succeeding in a bond buyback that is key to
the country's international bailout, a Greek government official said
on Saturday.

Greek and foreign bondholders offered the targeted 30
billion euros ($38.8 billion) in the deal, which is central to efforts
by Greece's euro zone and International Monetary Fund lenders to cut
its debt to manageable levels.

"The buyback went well in broad terms. The amount offered by investors
was within the range expected, about 30 billion euros," the official
told Reuters on condition of anonymity. He did not provide more
details.

No formal announcement is expected before Monday, another
official told Reuters.

The buyback accounts for about half of a broader, 40-billion euro
EU/IMF debt relief package for Athens agreed in November. The package
broadly doubles the average maturity of its rescue loans to almost 30
years and cuts its interest rates by one percentage point to a level
far below 1 percent.

Under its terms, Athens will spend up to 10 billion euros
of borrowed money to buy back bonds with a nominal value of about 30
billion euros. This is nearly half the 63 billion euros of Greek debt
held by private investors eligible for the plan.

Since the bonds are to be bought far below their nominal value, the
country's net debt burden would fall by about 20 billion euros.

A successful buyback will ensure that the IMF, which
contributes about a third of Greece's bailout loans, will stay on
board of the rescue. It would also unlock the payment of 34.4 billion
euros of aid later this month.

Athens badly needs that money to refloat its ailing economy by
replenishing the capital of its cash-strapped banks and settle arrears
with government suppliers.

The EU and the IMF have been withholding rescue payments
to Greece for six months because it had fallen short of promises to
shore up its finances, privatise and make its economy more
competitive.

Athens has received 148.6 billion euros in EU/IMF funds since May
2010. It stands to get almost 90 billion euros more by the end of
2014.

But the rescue comes at a heavy price. Austerity measures
taken in exchange for aid have plunged the country into economic
depression. Unemployment hit a record 26 percent in September, the
highest in the euro zone.

The economy is going through its fifth consecutive year of recession
and is expected to have shrunk by 24 percent when recovery begins in
2014.

GREEK BANKS ON BOARD

The buyback was expected to go well after Greek banks,
which hold about 17 billion euros of bonds, announced shortly before a
Friday deadline they would take part. Two Cypriot lenders also said
they would offer their bonds.

Foreign investors have offered between 15 and 16 billion euros worth
of bonds, Greek newspapers reported on Saturday, citing initial
estimates without saying how they got them.

Athens' hopes of drawing enough investors to the scheme
grew after it announced better-than-expected terms on Monday, with
price ranges at a premium over market prices.

The price range varied from a minimum of 30.2 to 38.1 percent and a
maximum of 32.2 to 40.1 percent of the principal amount, depending on
the maturities of the 20 series of outstanding bonds.

Hedge funds, which bought the debt at rock-bottom prices
when it was feared the country would exit the euro, are estimated to
hold a large part of Greek debt and the offer was seen as good enough
to make them a nice profit.

"Athens put forth a reasonable if not generous offer for hedge funds
to participate," Sassan Ghahramani, CEO at New York-based Macro
Advisers, a hedge fund consultancy, said on Friday.

"I expect there will be strong participation from hedge
funds, tendering a substantial portion of their Greek bond holdings,"
he said.

The government also enticed Greek bankers by offering to protect them
from possible shareholder lawsuits stemming from the buyback.

Greek bankers had been reluctant to take part, in the fear
they would book losses on top of the ones they incurred earlier this
year when Athens enforced a debt cut on its bondholders.

But the lenders were nevertheless expected to participate because they
depend on the bailout funds that Athens stands to receive if its
bailout continues smoothly.



BofA said to consider new Hong Kong lease as vacancies rise

Bloomberg

Friday December 7



Hong Kong-Bank of America Corp. is close to agreeing to lease almost
150,000 square feet of prime office space in Hong Kong billionaire Li
Ka-shing's Cheung Kong Center, as competition among landlords in the
city's Central business district increases with rising vacancy rates.

Under the plan, the Charlotte, North Carolina-based bank
will occupy seven floors in Cheung Kong Center, owned by Li's
Hutchison Whampoa Ltd. (13), according to two people familiar with the
transaction, who asked not to be identified because the information
isn't public. The current lease of the bank's Merrill Lynch & Co. unit
in Citibank Plaza will expire in September, said one of the people.

Prime office vacancy rates in Central rose to 4.9 percent at the end
of November from 3.6 percent a year earlier, according to broker Jones
Lang LaSalle Inc. (JLL) PricewaterhouseCoopers LLP last year moved its
operations at Cheung Kong Center to other offices, while Deutsche Bank
AG in 2010 completed its relocation to the International Commerce
Centre in West Kowloon.

"Even with rising vacancies in Central, there aren't that
many choices for tenants looking for such a big space in one
building," said Simon Lo, Hong Kong-based director of research and
advisory at property broker Colliers International. "We're also seeing
signs that the drop in vacancies is stabilizing."

The deal is the biggest by space in Central since at least 2003 when
UBS AG signed a 10-year lease with the International Finance Centre
II, according to figures from CBRE Group Inc., the world's biggest
commercial realtor by value.

Most Expensive

Prime office rents in Central, where Cheung Kong Center is
located, have fallen more than 10 percent in the first 11 months of
the year as banks cut staff and relocate to cheaper districts in the
city, according to Jones Lang LaSalle.

The average rent in Cheung Kong Center is estimated at about HK$105
($14) to HK$110 per square foot a month, compared with HK$100 in the
whole of Central, according to Collier's Lo.

Tenants in the building include Goldman Sachs Group Inc.
and Barclays Plc. Li is Asia's richest man with a net worth of $27.9
billion, according to the Bloomberg Billionaire Index.

Tiffany Chen, a spokeswoman for Bank of America's Merrill Lynch unit
in Hong Kong, declined to comment on the bank's relocation plan, as
did Laura Cheung, a spokeswoman for Hutchison Whampoa. Amy Wong, a
spokeswoman for Champion Real Estate Investment Trust, which owns
Citibank Plaza, declined to comment.

Central is the world's most expensive district to lease
office space, with an annual occupancy cost of $248.83 per square
foot, CBRE said in a July report.

Shares of Champion REIT (2778) fell 1.5 percent to HK$3.83 at the
close in Hong Kong today. Hutchison Whampoa declined 0.4 percent to
HK$80.10.



Tax not 'voluntary', Alexander tells firms

BBC News

Sunday December 9



London-Danny Alexander has told multinational firms that paying tax is
an obligation, not "a voluntary choice" they can make to please their
customers.

The chief secretary to the Treasury was speaking in regard
to Starbucks, which last week said it would voluntarily pay more UK
corporation tax.

Mr Alexander told the BBC's Andrew Marr Show that the government was
continuing efforts to tackle tax avoidance.

He said this work was taking place both in the UK and abroad.

'Responsibility'

"Taxation for big companies, or for anyone in society,
can't be, and mustn't be, a voluntary arrangement," said Mr Alexander.

"Thinking of the tax system as if it is like the church plate going
around on a Sunday morning is completely the wrong way to think about
it."

He added: "Paying tax is not a voluntary choice, it is not
something you can just chose to do willy nilly because you think it
will please your customers, it is an obligation."

Coffee chain Starbucks announced on Thursday of last week that it
would pay about £20m in UK corporation tax [tax on its profits] over
the next two years, following a public outcry over how little it pays.

The company has paid just £8.6m in corporation tax in its
14 years of trading in the UK, and nothing in the last three years,
despite UK sales of nearly £400m in 2011.

Two other multinational companies which have also been criticised for
paying too little corporation tax - Amazon and Google - both said they
would not be following Starbucks' voluntary contribution lead.

London Mayor Boris Johnson on Sunday defended companies,
such as Starbucks, for seeking to minimise the level of tax they paid
in the UK.

In an interview on Sky News, he said: "Imagine that you are the
corporate finance director of one of these companies.

"Your job is to look at the law as it stands. Your
fiduciary duty to your shareholders is to minimise your tax exposure."

Mr Johnson added that Starbucks should be praised for announcing that
going forward it would voluntarily pay UK corporation tax.

"Now that Starbucks has stepped up to the plate and
announced they are going to be making this payment I think rather than
everybody sneering at them, people should welcome that," he said.

"My point is it is a bit unfair to bash the companies and then sneer
at them when they try to do good."

'Play by rules'

Mr Alexander also reiterated that the government had
announced in last week's Autumn Statement that it was giving HM
Revenue & Customs more funds to tackle tax avoidance and evasion.

He said the aim was to get an additional £9bn in tax revenues per year.

Mr Alexander added that the government, together with
Germany and France, was putting additional funds into the Organisation
for Economic Co-operation and Development, to aid work on establishing
global agreements to prevent companies avoiding tax by moving profits
from one country to another with a lower tax rate.

"At a time of austerity, everyone has an obligation to to play by the
tax rules," he added.



Even billionaires pay farmworkers badly

Saturday Star

Saturday December 8



Johannesburg-South Africa's billionaire wine farm owners Tokyo Sexwale
and Johann Rupert pay their workers the same as farmers across the
board - described as "slave wages" by Cosatu.

The Saturday Star established from interviews this week
with farmworkers at Sexwale's wine estate Bloemendal in Durbanville
and Rupert's L'Ormirans in Franschhoek that seasonal workers earn a
minimum of R80 a day, or an average R1 733 a month.

Rupert, the second-richest person in South Africa and third-richest in
Africa, is reportedly worth R44.26bn. He made his money from
Richemont, the Swiss luxury group that owns Cartier, Dunhill, Chloe
bags and MontBlanc pens.

Sexwale, South Africa's human settlements minister, is
reportedly worth R16.7bn.

The wages their workers said they earned are the same as those earned
by the lowest-skilled and seasonal farmworkers in towns such as De
Doorns, where farmworkers burnt down vineyards, and in Ceres, where
they burnt down storage facilities and machinery during recent violent
strikes over their demand for a R150 a day minimum wage.

The majority of farmers pay R80 a day for seasonal
workers, about R11 more than the minimum wage set down by the
government of R69 a day (about R1 481 a month).

Permanent farmworkers on all the farms, including on those belonging
to Sexwale and Rupert, earn slightly more.

A discussion with a group of tractor drivers at Bloemendal
revealed they earn R560 a week (R112 a day, or about R2 420 a month).

Bloemendal tractor driver Roger September said workers used to receive
all the wood pieces cut from trees on the farm, which they sold to
help pay school fees and buy uniforms. They were upset this privilege
was taken away six months ago, he said.

Peter Presence, national treasurer of CSAAWU, the
commercial stevedoring, agricultural and allied workers' union, which
represents Bloemendal farmworkers, said permanent workers were paid
from R110 to R140 a day, a 13th cheque and long service bonus.

At L'Ormirans, irrigation assistants said they earned R2 898 a month
(R133 a day or R667 a week).

On the neighbouring Antonij Rupert wine estate, also owned
by Johann Rupert, a worker at a bottling plant said he earned R3 500 a
month.

The Saturday Star understands from interviews with farmworkers and
CSAAWU that farmworkers at Sexwale and Rupert's farms protested
peacefully at the beginning of the strike, but not again this week.
They were also not involved in any violence during the strike.

Strike action started early in November and spread to 15
towns in the Western Cape. It has been put on hold over the holiday
season, with plans to see it resumed on January 9.

The highest-paid workers on Sexwale and Rupert's farms said they would
be astonished, but very happy, if the strikers' demand for a R150 a
day minimum was granted as it would push up their earnings
considerably.

Like most farmworkers in the Western Cape, those on the
billionaires' farms get free accommodation, water and electricity.
Transport and crèche facilities are also provided.

Rupert's accommodation for farmworkers, Dennegeur, looks like an
upmarket security estate.

L'Ormirans farmworkers own their own piece of land inside
the Dennegeur complex, where they grow mealies, beans, pumpkins, sweet
melons and watermelons.

Rupert said he paid each worker R2 000 as an end-of-year bonus.

At Sexwale's Bloemendal, workers receive two free chickens a week,
and transport to doctors and hospitals.



International
As Tibetan self-immolations rise, Beijing tightens grip

Reuters

Sunday December 6



Beijing-As the number of self-immolations in restive Tibetan regions
rises sharply, Beijing appears to be tightening rules against the
anti-China protests despite hopes the new leadership may take a softer
line against Tibet.

Some experts have said Communist Party chief Xi Jinping --
whose former vice premier father had a close bond with exiled Tibetan
spiritual leader the Dalai Lama -- might adopt a more reformist
approach to the troubled mountainous region when he takes over as
president in March.

But so far, the anti-China protests, including 81 burning cases this
year, have only been met with an intensified crackdown by Chinese
security forces.

Beijing has defended its iron-fisted rule in Tibet, saying
the remote region suffered from dire poverty, brutal exploitation of
serfs and economic stagnation until 1950 when Communist troops
"peacefully liberated" it.

The country's top court and public security authorities have now
issued a directive that allows for criminal charges, including
intentional homicide, to be filed against self-immolators and anyone
who "organizes, plots, incites, coerces, entices, abets, or assists
others" in such protest.

An official southwestern Gansu province newspaper
explained the order on its website last week, saying authorities
should prevent people from gathering to mourn a self-immolator or
collect money for family members.

State media reported on Sunday that police in Sichuan province
detained a Tibetan monk and his nephew for "inciting" eight people to
set themselves on fire since 2009.

There has been a steep increase in cases of self
immolation this year, and in November alone -- when Xi was named the
new head of the Party -- 29 people set themselves on fire.

In all, there have been 94 burnings to protest Chinese rule since
2009, according to the Tibet-government-in-exile. At least 77 people
have died from their injuries.

Few people know what Xi thinks of Tibet or the Dalai Lama,
but his liberal-minded father's thinking is certain to be influential.

The Dalai Lama has never met Xi but his fondness for his father is,
for some, a sign that China's next leader may take a different line on
Tibet. Some expect him to be more tolerant of Muslim Uighurs in the
western region of Xinjiang, and also of Taiwan, the independently
ruled island that China has vowed to take back, by force if necessary.

INTERNATIONAL RESPONSE

While the steep rise in cases of people setting themselves
on fire appears to be strengthening solidarity among Tibetans, the
grisly protests have drawn only a muted response from the
international community and -- until very recently -- dwindling media
coverage.

"The international community should be doing a lot more," Tibet's
Prime Minister in-exile Lobsang Sangay told Reuters in Dharamsala,
India, adding that the Tibetans are "definitely" dying in vain.

Last week, Washington did step up the pressure when Maria
Otero, U.S. Special Coordinator for Tibetan Issues, said tensions in
Tibetan areas, including self-immolations, had been exacerbated by
tough Chinese policies and controls.

China's Foreign Ministry lashed back, calling the comments
"disgusting" and saying it had prompted a formal diplomatic complaint
with Washington.

The United States and several other countries have made
calls for China to negotiate with the Dalai Lama and end repressive
policies.

But Nicholas Bequelin, a researcher at Human Rights Watch, said the
international community has failed in its response by not uniting to
put multilateral pressure on Beijing.

"Nobody is going to cut trade relations with China. But
decades of inactivity have been detrimental," he said.

INCREASED SOLIDARITY

Advocacy groups say the new wave of self-immolations mark
an intensifying phase of the Tibet protests, with people increasingly
setting themselves on fire in small groups or within short spans of
time.

All but one of the protests since 2009 have come after the March 2011
self-immolation of a 20-year-old monk, Phuntsog, at the Kirti
monastery in a Tibetan part of Sichuan province.

Months of sporadic self-immolations by sympathetic monks
and nuns followed, all in the name of opposing Chinese rule and
calling for the return of the Dalai Lama, who fled to India after a
failed 1959 uprising.

As sentiment spread, lay people in scattered villages in eastern parts
of the Tibetan plateau in Sichuan, Qinghai and Gansu provinces began
to self-immolate as well.

Internationally, a single self-immolation appears to have
lost the impact it once had.

"Appalling as it is to recognize, it now seems that these kinds of
deaths become a politically effective tool only when they are done in
clusters," said Robbie Barnett, a Tibetologist at Columbia University
in New York.

Self-immolations have historically only been effective in
achieving political concessions when carried out under weak
governments, but they have increased solidarity within parts of the
Tibetan community, Barnett said.

"It hasn't been effective in getting any change in policy, but it has
been effective in mobilizing sentiment within the Tibetan community
inside Tibet," he said.

The long lines of people going to pay respects and donate
money to the families of people who have immolated are evidence of
this, Barnett said. China's new regulations aim to suppress this
practice.

But Barnett said Tibetans, including the exiled government in India,
are playing the "politics of sympathy", a tactic that makes powerful
symbolic statements, but does little to articulate coherent and urgent
policy demands.



Royal prank radio hosts to break silence

AFP

Monday December 10



Sydney-The two presenters who made a prank call to a London hospital
treating Prince William's wife Kate are set to break their silence on
Monday in a "raw and emotional" interview with Australian television.

Mel Greig and Michael Christian, from Sydney radio station
2Day FM, have been in hiding and undergoing counselling since their
hoax sparked global outrage following the death of the nurse who
fielded their call.

Australia's Nine Network said it would air an interview with the pair
at 6.30pm on its news discussion programme "A Current Affair".

"First interview with the #2dayfm djs just recorded with
(at)TracyGrimshaw. It's raw & emotional. The full uncut interview at
6.30 tonight," the network said on Twitter.

Host Grimshaw added: "Let me say clearly that our interview with the
2Day FM hosts for tonight's A Current Affair was NOT paid for. Neither
asked nor offered."

Commercial rival the Seven Network said it had also
interviewed Greig and Christian and would broadcast its piece at the
same time.

"On #TodayTonight at 6:30. #2DayFM pranksters tell all on the royal
hoax that went horribly wrong & how their lives have changed forever,"
Seven tweeted.

The hoax call, with Greig and Christian posing as Queen
Elizabeth II and Prince Charles, was taken by mother-of-two Jacintha
Saldanha, 46, at London's King Edward VII Hospital.

With no receptionist on duty early in the morning, she put them
through to a colleague who divulged details of the pregnant Kate's
recovery from severe morning sickness.

Indian-born Saldanha was subsequently found dead, believed
to have taken her own life, although British police have refused to
confirm that ahead of an inquest.

The nurse's death has sparked uproar in the British media and online,
with some accusing the Australian hosts of having blood on their
hands.

The station's owners have vowed to cooperate with any
investigations, but said that nobody could have reasonably foreseen
the consequences of what the hospital says was an "appalling" hoax.



Obama meets with Boehner privately at White House

Bloomberg

Monday December 10



Washington-President Barack Obama and House Speaker John Boehner met
today at the White House to discuss the dispute over the U.S. budget,
representatives of both said.

"This afternoon, the president and Speaker Boehner met at
the White House to discuss efforts to resolve the fiscal cliff," Amy
Brundage, a White House spokeswoman, and Michael Steel, a spokesman
for Boehner, said in identical statements. Both said no details of the
conversation would be provided "but the lines of communication remain
open."

The meeting was the first known face-to-face conversation between the
two leaders since Nov. 16, when Boehner and other congressional
leaders sat down with Obama at the White House. They have talked on
the telephone since then. Obama met with Nancy Pelosi, the House
Democratic minority leader, on Dec. 7.

Obama and Boehner, an Ohio Republican, are trying to reach
an agreement that would prevent more than $600 billion in spending
cuts and tax increases from taking effect in January.

Disputes over tax rates, spending cuts and the debt ceiling are among
the barriers to a deal.

House Republicans insist on broadening the tax base to
generate revenue rather than raising rates, Representative Kevin
McCarthy said earlier today, signaling no softening in the chamber's
standoff with Obama.

Republican Offer

Republicans have offered $800 billion in additional
revenue over the next decade, achieved in a way that would be less
damaging to the economy than higher rates, McCarthy, the third-
ranking Republican in the House, said today on NBC's "Meet the Press."

"The best way to get that is through closing special loopholes," the
California congressman said.

The optimal strategy for Republicans might be to let the
tax rates on top earners expire, Senator Bob Corker, a Tennessee
Republican, said today on "Fox News Sunday."

"There's a growing group of folks looking at this and realizing that
we don't have a lot of cards," he said. "Go ahead and give the
president this 2 percent increase and all of a sudden the shift goes
back to entitlements and maybe that puts us in a place where we can do
something."

Inevitable Recession

If no deal is reached, Republicans will "own" the
recession that will inevitably follow, Senator Richard Durbin of
Illinois, the second-ranking Democrat in the Senate, said while
appearing with McCarthy on the NBC program.

Senator Tom Coburn of Oklahoma and Representative Jeb Hensarling of
Texas, both Republicans, said on ABC's "This Week with George
Stephanopoulos" that Democrats needed to accept significant changes in
entitlement programs.

"This talk of taxes is almost irrelevant to the trillions
and trillions of debt," said Hensarling, who will become chairman of
the House Financial Services Committee in January.

Durbin said he was open to charging high-income retirees more money
for Medicare to help reduce spending. He said he is less willing to
consider increasing the eligibility age for Medicare to 67 from 65.

"What happens to that early retiree?" he asked. "What
about that gap in coverage between their workplace and Medicare?"

Higher Rates

Obama, who has called for higher rates on income of
individuals above $200,000 and married couples above $250,000, wants
$1.6 trillion in additional revenue, double what Republicans have
offered. He said in a Bloomberg Television interview Dec. 4 that
limits on tax breaks could generate only $300 billion to $400 billion.

Each side's argument on tax rates has gaps. Obama's own budget calls
for more than $750 billion in revenue from top earners without raising
rates, and he said last year that achieving $1.2 trillion without
higher rates was possible.

Higher rates are necessary, Durbin said.

"The American people spoke on this issue in the election," he said.

Republicans, meanwhile, haven't specified which tax breaks
they would limit. The costliest breaks are among the most popular,
such as those for mortgage interest, charitable contributions, capital
gains and employer-provided health insurance.

If Congress doesn't act by the end of the year, income taxes at all
levels will go up, and the top tax rate will reach 39.6 percent, up
from 35 percent now.

Automatic spending cuts, half in defense programs, will begin
taking effect. The Congressional Budget Office estimates that inaction
would lead to a recession in the first half of 2013.



Pioneering surgery repairs girl's spine with leg bone

BBC News

Sunday December 9



Birmingham-A five-year old girl has had pioneering surgery to repair a
large gap in her spine using bone taken from her legs. Before the
operation, Rosie Davies, from Walsall in the West Midlands, was
"basically a timebomb", her family said.

Missing bones in her spine meant her upper body weight was
unsupported and her inner organs were being crushed.

The lifesaving surgery came at the cost of her lower legs, which she
had always been unable to move.

Rosie was born with a very rare disorder called spinal
segmental dysgenesis. Five bones which made up part of her spine were
missing, leaving a 10cm gap in her backbone. Her legs were also
contorted up against her belly and she had very little feeling in
them.

She was slowly running out of space in her chest - and running out of
time. Eventually the internal crush would have led to Rosie's organs
failing, which would have killed her.

In her last scan before the operation there was evidence
of her kidneys being crushed.

Leg-to-spine

Rosie's legs were amputated from the knee down and a
section of bone was taken to bridge the gap in her spine.

Two metal rods were then bolted to the upper spine and the hips to
provide extra support.

The operation at Birmingham Children's Hospital took 13 hours.

Her dad Scott said: "Before she was basically a timebomb - we never
knew how long it would take to go off, we never knew how long we
actually had with her.

"Since having the op she's now had her life expectancy
increased to that of a normal child."

Since the surgery there have been early signs of sensation returning
to her legs, which means it may be possible for Rosie to one day walk
with prosthetic legs.

Her mum Mandy said: "Rosie is such a strong character. You
give her the equipment to use and she'll do it, whether it's sticks or
artificial legs or her hands - she'll make a way of walking.

"All she has ever wanted to do is be like her sister. All she's wanted
to do is ride her bike like her sister, run like her sister."

Rosie's parents said she now had more confidence.

An operation of this scale has never been attempted in Europe before.
The only similar procedure took place 10 years ago in New Zealand.

Mr Guirish Solanki, one of the consultant neurosurgeons
who operated on Rosie, said: "We are delighted with the results of
this operation.

"This is only the second time in the world that a surgical team has
attempted to fix the thoracic spine to the hip side bones for a
condition as rare as Rosie's.

"This case was very complicated as normally children with this
condition do not have a working spinal cord or nerves but Rosie did.
So in carrying out this procedure we had to be extremely careful not
to damage her nerves."



PSY apologizes for viral anti-American lyrics

CNN News

Monday December 10



Washington-Is this the end of "Gangnam Style" mania?

Korean pop star PSY -- who rose to fame through his
YouTube record-breaking video "Gangnam Style" -- apologized Friday for
anti-American lyrics he rapped back in 2004.

That performance resurfaced on CNN's iReport and then circulated
widely online. It included lyrics calling for the death of American
troops serving in Iraq, not long after news of the brutal slaying of a
South Korean hostage by Iraqi insurgents -- an incident which sparked
anti-American sentiment in South Korea.

In his apology, PSY said his performance had been
emotionally charged and was a response to events in the war in Iraq.

"I understand the sacrifices American servicemen and women have made
to protect freedom and democracy in my country and around the world,"
he said in a statement.

He said the song "was part of a deeply emotional reaction
to the war in Iraq and the killing of two Korean schoolgirls that was
part of the overall anti-war sentiment shared by others around the
world at that time."

The girls were struck and killed by a U.S. military vehicle.

PSY continued: "While I'm grateful for the freedom to
express one's self, I've learned there are limits to what language is
appropriate and I'm deeply sorry for how these lyrics could be
interpreted. I will forever be sorry for any pain I have caused by
those words.

"While it's important that we express our opinions, I deeply regret
the inflammatory and inappropriate language I used to do so."

The lyrics of the song, titled "Dear America," were
written by the South Korean rock band N.E.X.T., and PSY was one of
three performers rapping out the lyrics on stage.

The lyrics were posted on a then-unvetted CNN iReport in October. The
English translation of the Korean lyrics has picked up steam online
since then, drawing thousands of views, and then exploding on blogs
and social media this week. CNN reached out to the iReporter who
brought attention to PSY's anti-American lyrics, but did not receive a
response.

CNN was able to translate the lyrics as saying," Kill
those f--ing Yankees who have been torturing Iraqi captives and those
who ordered them to torture," and going on to say, "Kill them all
slowly and painfully," as well as "daughters, mothers,
daughters-in-law and fathers."

PSY is scheduled to perform as planned with stars such as Diana Ross
and Demi Lovato at the event, Christmas in Washington, said TNT, which
is airing the event. President Barack Obama is also planning on
attending the event.

The lyrics led to a petition on whitehouse.gov demanding
that he be dropped from the concert, as conservative websites picked
up the story. But the petition was deleted later in the day. The White
House website claimed that it violated terms of participation.

Commenters on the original CNN iReport responded with varying
viewpoints on the lyrics.

Some expressed outrage over the Korean pop star's alleged
call for the slaying American troops. Commenter shin000 said on
October 31: "Whatever the reason is, the fact that PSY insulted
American Army and their family is changeless. He sang this song
because of that accident and public opinion?"

Others praised PSY for speaking up and expressing his anti-war
sentiments. Commenter SavvyMike said on October 30: "As an American,
this makes me like Psy even more. Glad to see he has the balls to call
out America when we are doing evil."

Other commenters lashed out at the iReporter, saying that
he misrepresented PSY in his iReport contribution. Commenter jsong9172
said on October 30, 2012: "He is criticizing the US Army, not the
country. Do a thorough background research before you scribble
something otherwise you'd ruin one's life."

After the lyrics from the 2004 performance surfaced, there was an
often vitriolic response on Twitter:

"So Mr. 'Gangnam Style' @psy_oppa made a song before about
America and how all U.S. soldiers should be killed....guy should flee
the US now," said @TheOfficialTate.

Fashion publicist/reality star Kelly Cutrone said his "words against
the women in my country" were "disgusting," and referred to him as a
"poseur faker freak."

@eclecticbrotha defended him saying, "Oh look, we're
supposed to hate Psy because he once joined protests against American
imperialism."

As for PSY's handling of the criticism, Matt J. Duffy, a journalism
teacher from Atlanta, tweeted, "His statement is lesson in good crisis
PR."

It's unclear what the fallout of the revelation of these
anti-American lyrics will be.

But it has us wondering -- what do you think the consequences should
be? Should a rapper be held accountable for what he said in 2004?
Let's talk about it in the comments on this story. You can be sure
we'll continue this conversation on CNN for the next few days.



Berlusconi launches improbable comeback

AFP

Sunday December 9



Rome-Silvio Berlusconi on Sunday began gearing up for elections, a day
after the three-time prime minister and playboy tycoon announced he
would run again even though observers say his chances are slim.

The 76-year-old billionaire, best known internationally
for his buffoonish antics and sex scandals, remains a formidable
campaigner, however, and has signalled he will campaign against
unpopular austerity measures and taxes.

"Berlusconi's latest crusade is highly destabilising for the political
scene," said Stefano Folli, columnist for business daily Il Sole 24
Ore.

"His opponents are not so much afraid of Berlusconi
himself but of a campaign built against Europe, Germany and economic
austerity," Folli said.

Following Berlusconi's announced comeback, another dramatic political
move caught many off guard Saturday as Prime Minister Mario Monti
revealed he would resign once the budget is approved as expected in
the next few days.

That move will plunge Italy into early election, most
likely in February or March.

As Berlusconi prepares for his sixth bid to become prime minister in a
tumultuous political career spanning two decades, he plans to hold
talks with leaders of his newly-invigorated People of Freedom party
later on Sunday.

The party has been riven by infighting ever since
Berlusconi stepped down in November 2011 following a parliamentary
revolt and a wave of panic on the financial markets that pushed Italy
to the brink of bankruptcy.

The party's announcement last week that it was withdrawing its support
for Berlusconi's successor, Monti, a former high-flying European
commissioner, and his technocratic cabinet appears to have given it
some new energy.

Still, several party members have broken with Berlusconi
after he kept the centre-right waiting for weeks over whether he would
run and cancelled primaries that had been scheduled.

Giorgia Meloni, a leader of the party's youth wing, called
Berlusconi's candidacy a "mistake".

Mario Mauro, head of the PDL deputies in the European
Parliament, said that a Berlusconi campaign "takes us back 20 years."

Polls indicate the PDL is running a distant second to the main
centre-left Democratic Party, or even third after the Internet-based
grassroots Five Star Movement of former comedian and populist blogger
Beppe Grillo.

"Berlusconi is a formidable salesman," said Eugenio
Scalfari, a columnist for La Repubblica daily and a long-time opponent
of the flamboyant magnate.

"He is unrivalled at this and that is why millions of Italians have
voted for him in five elections, believing in him even when the
country was plunging.

"Is it possible that they will believe him again?" he
asked, adding: "The people will give their answer. The prediction is
that this time they will choose responsibly in favour of the parties
of democracy, of change, of realism."

A successful media and construction tycoon, Berlusconi first entered
politics in 1994 with his "Forza Italia" ("Go Italy") party after a
series of corruption scandals wiped out much of the country's former
ruling class.

His control of Italy's three main private television
stations, his image as an entrepreneur fighting the establishment and
his knack for connecting with ordinary people first propelled him to
power in elections later that year.

But many Italians have become weary of Berlusconi's election promises.
He once signed a "contract with Italians" on live television only to
go back on his vows - and his private life has been a constant source
of embarrassment.

"The polls show that Silvio Berlusconi's return will not
change the outcome of the match," Renato Mannheimer, director of the
ISPO polling institute, was quoted as saying by Il Mattino daily.

"But with elections, I've learnt that you can expect anything," he added.

Berlusconi was convicted of tax fraud for his business
dealings in October and handed a one-year prison sentence as well as a
five-year ban from holding public office, although both measures are
suspended pending an appeal.

He is also a defendant in an ongoing trial for having sex with an
underage prostitute and for abusing the powers of his office by
putting pressure on the police to have her released from custody when
she was arrested for theft.

Monti has retained a high degree of public support despite
rising opposition to some of his policies. His popularity ratings
reached a peak of 62 percent after he took office and in a poll in
September they were still at 52 percent.

Many Italians are aware of the image that Berlusconi has given Italy
abroad and say they want to maintain the country's newfound
credibility.

"Berlusconi should retire like everyone else!" said one
middle-aged Italian in Rome. "He blames Europe, he blames (German
Chancellor Angela) Merkel, he blames everyone. He only sees his
personal interests."

Many people also took to Twitter to express their dismay, with
thousands tweeting under the hashtag #nonlovoto ("I won't vote for
him").

One user with the handle "Lallaxs" commented: "I have a long
memory and the man who pushed the country to ruin should disappear
from circulation!"



Elephant dung used to make black ivory coffee

Sky News

Friday December 7



London-A herd of elephants is being used to produce some of the
world's most expensive coffee. The exotic new brew, trumpeted as
earthy in flavour and smooth on the palate, is made from beans eaten
by a herd of 20 Thai elephants and plucked a day later from their
dung.

A gut reaction inside the elephant creates what the
founder of Black Ivory Coffee calls the coffee's unique taste.

"When an elephant eats coffee, its stomach acid breaks down the
protein found in coffee, which is a key factor in bitterness," said
Blake Dinkin, a 42-year-old Canadian who has spent just under £190,000
developing the coffee.

"You end up with a cup that's very smooth without the
bitterness of regular coffee.

"My theory is that a natural fermentation process takes place in the
elephant's gut," said Mr Dinkin.

"That fermentation imparts flavours you wouldn't get from
other coffees."

The result is reported to be similar in civet coffee, or Kopi Luwak,
another hugely expensive variety extracted from the excrement of the
weasel-like civet. But the elephants' massive stomach provides a
bonus.

At the jungle retreat where the herd is kept,
conservationists were initially sceptical about the idea.

"My initial thought was about caffeine - won't the elephants get wired
on it or addicted to coffee?" said John Roberts, director of elephants
at the Golden Triangle Asian Elephant Foundation, a refuge for rescued
elephants.

"As far as we can tell there is definitely no harm to the
elephants."

It now earns 8% of the coffee's total sales, which go towards the
herd's healthcare.

Before presenting his proposal to the foundation, Mr
Dinkin said he worked with a Canadian-based veterinarian that ran
blood tests on zoo elephants showing they don't absorb any caffeine
from eating raw coffee cherries.

"I thought it was well worth a try because we're looking for anything
that can help elephants to make a living," said Mr Roberts, who
estimates the cost of keeping each elephant is about £625 a month.

The coffee costs £312 per pound, which makes it among the priciest
in the world - for now, only the wealthy or well-travelled have access
to the cuppa which was launched last month at a few luxury hotels in
remote corners of the world.



We all have hundreds of DNA flaws, UK geneticists say

BBC News

Friday December 7



London-Everyone has on average 400 flaws in their DNA, a UK study
suggests. Most are "silent" mutations and do not affect health,
although they can cause problems when passed to future generations.

Others are linked to conditions such as cancer or heart
disease, which appear in later life, say geneticists.

The evidence comes from the 1,000 Genomes project, which is mapping
normal human genetic differences, from tiny changes in DNA to major
mutations.

In the study, 1,000 seemingly healthy people from Europe,
the Americas and East Asia had their entire genetic sequences decoded,
to look at what makes people different from each other, and to help in
the search for genetic links to diseases.

The new research, published in The American Journal of Human Genetics,
compared the genomes of 179 participants, who were healthy at the time
their DNA was sampled, with a database of human mutations developed at
Cardiff University.

It revealed that a normal healthy person has on average
about 400 potentially damaging DNA variations, and two DNA changes
known to be associated with disease.

"Ordinary people carry disease-causing mutations without them having
any obvious effect," said Dr Chris Tyler-Smith, a lead researcher on
the study from the Wellcome Trust Sanger Institute, Cambridge.

He added: "In a population there will be variants that
have consequences for their own health."

The research gives an insight into the "flaws that make us all
different, sometimes with different expertise and different abilities,
but also different predispositions in diseases," said Prof David
Cooper of Cardiff University, the other lead researcher of the study.

"Not all human genomes have perfect sequences," he added.
"The human genome is packed with pervasive, architectural flaws."

Personalised medicine

It has been known for decades that all people carry some
genetic mutations that appear to cause little or no harm.

Many are only damaging if they are passed on to children who inherit
another copy of the faulty gene from the other parent.

In others - around one in ten of those studied - the
mutation causes only a mild condition, appears to be inactive, or does
not manifest itself until later life.

Databases of human mutations, like the one at Cardiff University, will
have increasing importance in the future, as we move into the era of
personalised medicine.

More people have access to genetic information about
themselves, with various companies offering screening of selected gene
changes via the internet.

Meanwhile, the cost of sequencing a whole genome is dropping rapidly.

In the case of the 1,000 genomes study, samples were
anonymous, and participants will not be given information about any
gene changes linked with disease.

But as DNA sequencing becomes more widespread, ethical dilemmas will
arise about what to tell people about their genes, especially when
many risks are uncertain.

Dr Chris Tyler-Smith said: "All of our genomes contain
flaws; some of us will carry deleterious variants but will not be at
risk of acquiring the associated disease for one reason or another.

"For others, there will be health consequences, and early warning
could be useful, but might still come as an unwelcome surprise to the
participant."



Special Report: The FBI visits; the jihad begins - Jane's Jihad

Reuters

Sunday December 9



Philadelphia-Colleen LaRose answered the door of her duplex near
Philadelphia to find an FBI agent standing on the porch. He had
questions about her interest in Islamic websites.

For LaRose, whose online name was Jihad Jane, it was the
second time the FBI had questioned her that summer. Weeks earlier,
she'd spoken with an agent by phone and offered a series of lame lies:
She had denied any interest in jihadist forums, denied wiring money
overseas, denied that she went by Jihad Jane.

This time, on August 21, 2009, LaRose lied less.

Yes, she visited Muslims websites, she said. As a recent
convert to Islam, she wanted to learn as much as possible. Yeah, she
said, maybe her political views had angered others online. But she
denied raising money for al-Qaeda or having any connection with
extremists.

Lying to the FBI is a crime, the agent told her.

OK, she said.

Then he asked if she planned to travel to Holland.

She was thinking about it, she told the agent, but there
had been a death in the family - a heart attack had just taken her
boyfriend's father. His funeral was the next day.

When the agent asked for a way to keep in touch, LaRose gave him her
cell number. Call anytime next week, she told him.

A day later, LaRose attended the funeral. The day after
the service, August 23, she pulled the hard drive from her computer
and stashed it in a box. She gathered $2,000 in cash and packed three
suitcases. With a bargain plane ticket to Amsterdam in hand, LaRose
persuaded an acquaintance to drive her to the airport.

She was moving ahead with the plan conceived by the al-Qaeda operative
in Pakistan, the man she knew only as Eagle Eye. Already, she had
pledged to kill the Swedish artist Lars Vilks. He had blasphemed Islam
by drawing the Prophet Mohammad's head on a dog.

As she headed to Europe with plans to murder in the name
of Allah, LaRose left her boyfriend and mother with the impression she
was running a quick errand.

MARY RICHARDS

Landing in Amsterdam, Colleen LaRose felt euphoric. She
had shed her old life - 46 years scarred by rapes, prostitution, drugs
and failed marriages - for this new one full of promise.

At the airport, LaRose donned a full burka for the first time. More
firsts awaited: She would meet her first jihadist, enter her first
mosque and learn how to pray.

She gave the taxi driver the name of the mosque, and as
the cab pulled away from the airport, a song from childhood popped
into her head.

Who can turn the world on with her smile? Who can take a nothing day,
and suddenly make it all seem worthwhile?

It was the theme from the 1970s TV series, "The Mary Tyler
Moore Show." LaRose imagined herself as the lead character, Mary
Richards. If she had been wearing a hat instead of a burka, LaRose
thought, she would have stepped from the cab with a huge smile and
acted out the show's classic opening, twirling around and tossing her
hat in the air.

'Well, it's you girl and you should know it! With every glance and
every little movement, you show it..

You're gonna make it after all....'

When the taxi driver found the mosque, no one was waiting for LaRose.
For nearly an hour, she stood outside in a full hijab with her
luggage. Then it began to rain.

Finally, another Muslim woman arrived and took LaRose to
see her contact, a man named Abdullah. LaRose had expected him to
introduce her to fellow jihadists, to train her for her mission, to
teach her the ways of Islam.

None of that happened. Now that LaRose had actually arrived and it was
time for action, Abdullah the terrorist was suddenly hedging, dodging,
equivocating, pleading for patience.

Two weeks into her visit to Amsterdam, LaRose concluded
that Abdullah was a poseur. It was time for her to leave, she told
him, and Abdullah quickly agreed. He suggested that she visit his
associate in Waterford, Ireland, the man who called himself Black
Flag.

LaRose packed her bags.

CALLING 911

Back in the United States, one of LaRose's most trusted
allies was struggling, too.

Mohammed Hassan Khalid had lost access to his primary weapon of jihad:
his computer. His parents took it away.

It happened a few weeks into the boy's junior year in high
school, after Khalid's parents confronted him about the long stretches
he spent alone in his bedroom with his laptop. They suspected he was
trolling for porn.

When Khalid refused to explain what he was doing, his parents grabbed
his computer. Khalid threw a tantrum but they wouldn't give it back.

Then, this aspiring jihadist, who knew that his friend
LaRose had twice been visited by the FBI, made an odd and impulsive
choice: He dialed 911 and invited law enforcement into his home. His
parents, he told the dispatcher, were abusive.

When police arrived, the officers backed the parents. Only after
authorities left and Khalid gave his parents his password would they
begin clicking through his computer. They discovered his al-Qaeda
translation projects and jihadi videos.

As the teenager later wrote to a friend, they "saw the
beheadings, which scared the crap out of them."

Stripped of access to his online life, Khalid soon became despondent.
He refused to eat. He slept all day. After a few days, his parents
dialed 911 themselves and had Khalid admitted overnight to a
psychiatric facility.

The boy told no one about Eagle Eye, Jihad Jane, Black
Flag, or the stolen passports LaRose had sent him for safekeeping -
including the one he had forwarded to Black Flag in Ireland.

'NO MATTER THE RISK'

Waterford seems an unlikely place to launch a jihad.

Founded by Vikings and renowned for its crystal, the southern Irish
city is far more tranquil than Dublin or Cork. Only a few hundred
Muslims live there, many who immigrated for jobs at the regional
hospital. To create a mosque, local Muslims converted a suburban home
near the hospital.

Yet the city became the confluence of the Jihad Jane
conspiracy. Here, in September 2009, Black Flag met his two prized
recruits in person for the first time: LaRose and Jamie Paulin
Ramirez, the lonely Colorado woman whom he had persuaded to come by
telling her that Allah had willed it in a dream.

Both women were Americans - white, blonde, and recent converts to
Islam. And though they had often chatted online, neither knew that the
other was coming.

Short but thin and handsome, Black Flag was known in
Waterford by his given name, Ali Damache. Born in Algeria in 1965,
Damache grew up in central France. After high school, he sold perfume
and cosmetics in the women's section of a Paris department store for
many years. Around 2001, he moved to southern Ireland.

Damache bounced from sales job to sales job - he worked at a drug
store, a telephone call center, a real estate agency and an insurance
firm. To comply with Irish welfare and immigration law, each time he
lost a job he enrolled in computer-training programs, giving him
access to computers and a reason to spend a lot of time online.

He wed an Irish Catholic woman, a marriage that lasted
about seven years. In 2007, Damache began regularly going to mosque
and, about a year later, wearing Muslim attire.

By 2009, Damache was calling himself Black Flag. Online, he made
contact with Eagle Eye, LaRose, Ramirez, Khalid, Abdullah and others
whom the FBI has linked to al-Qaeda cells.

Throughout the summer, even after LaRose tipped him that
the FBI was watching, Damache continued to send online messages that
U.S. authorities say place him at the hub of the conspiracy.

"The job is to knock down some individuals that are harming Islam,"
Damache explained to a friend in Europe. He was busy building "an
organization," he wrote, divided into a "planning team. research team.
action team. recruitment team. finance team."

Damache wrote breathlessly of his plans for LaRose. "We
have already organized everything for her. We are will to die in order
to protect her no matter what the risk."

'SO CLOSE'

LaRose and Ramirez each landed in Ireland within days of
the other, during the second week of September. On the day she
arrived, Ramirez married Damache.

There would be no honeymoon.

Instead, with Ramirez's young son, they all stayed in a
one-bedroom apartment Damache rented in the heart of Waterford. The
flat stood steps from upscale Italian and Chinese restaurants and the
city archives, on a neat, narrow street close to the central shopping
mall, riverfront and Catholic church.

The sleeping arrangements proved awkward. At times, the women stayed
with the boy in the living room; Damache took the bedroom for himself.

Despite the unorthodox accommodations, LaRose remained
committed to the notion of killing the Swedish artist. With little
direction, she was doing what she could, tracking her target the only
way she knew how: online.

To try to learn more about Vilks, for example, she signed up for a
virtual community he had created. Filling out the online form, LaRose
typed a false name - Sally Jones -- and created a new Gmail account.

She also left a clue that underscored her sloppiness. In
the postal code section of the online form, she typed 48174 -- the zip
code for Romulus, Michigan, her childhood home.

Damache gave LaRose a key to the Waterford apartment, and she was free
to come and go. Ramirez focused on supporting her new husband's
activities, whatever they were. She didn't get a key and was
instructed to remain at home, to cook and to clean.

Local Muslim women took LaRose to the mosque and taught
her how to pray. The first time she rose after praying, LaRose
experienced what she believed to be a minor miracle. A persistent pain
in her stomach, one that had bothered her for years, simply vanished.
LaRose was astonished. What more proof did she need that Islam could
heal her?

Her faith in the jihad was another story. In the weeks that followed,
nothing materialized the way Damache had promised. No training, no
planning, no brothers and sisters waiting to join her in
assassination. To LaRose, the great Black Flag seemed nearly as
unmoored as she was - chronically unemployed, spouting verses from the
Koran to justify whatever he chose to do, hiding his cowardice behind
his beard.

LaRose still refused to give up her jihad. On the last day
of September, she emailed Eagle Eye to let him know she remained on
task and that it would be "an honor & great pleasure to kill" the
artist.

"Only death will stop me here," LaRose wrote. "I am so close to the target!"

She hadn't trained as an assassin and she hadn't traveled
to Sweden. But she was back on Muslima.com, the Islamic dating site,
hoping to find someone who might put her up in Sweden -- should she
ever get there.

THE EPIPHANY

Two weeks after promising that "only death" would stop her
plans to kill for Allah, Jihad Jane decided to head home.

The epiphany came while she waited with a Muslim woman in a delivery
truck outside a grocery in Waterford. The two women were covered head
to toe. Only their eyes showed. The woman's husband was inside
shopping.

Sitting in the truck, LaRose considered the woman's life.
She had a husband, children, a family and a bond with Allah. The woman
seemed happy, LaRose thought. And she wanted that sort of happiness,
too.

LaRose considered Damache and Abdullah again. Online, the men were
aggressive, tough-talking jihadists, romantic, almost heroic. In
person - in reality - they were tentative, chauvinistic, and, perhaps
most telling, hobbled by pedestrian struggles like finding enough cash
to pay the electric bill.

LaRose asked the woman waiting with her in the truck what
she thought of Damache. The woman replied that her husband believed
LaRose was a lost soul and that Damache had misled her. Perhaps Vilks,
the Swedish artist, did deserve to die, but that was up to Allah, not
Damache, to decide, she said.

The woman and her husband were the first Muslims LaRose had met who
did not advocate violence. They were wonderful, deeply religious
people, and they held a starkly different version of Islam than the
likes of Eagle Eye and Black Flag.

LaRose considered all this, sitting in the truck. Again,
she felt torn. She wanted to please Eagle Eye, but nothing, not a
single thing she had been promised, had worked out.

She was also growing lonely and missed her longtime boyfriend back in
Pennsylvania. She wondered who was caring for her elderly mother. She
thought about her cats, Fluffy and Klaus.

Jihad Jane was homesick.

She emailed her boyfriend with her new Irish mobile number. A short
while later, he called. Come home, he urged. Your mother is ill, near
death.

Today, LaRose insists that she wasn't abandoning her
jihad, only pausing to visit a sick relative.

If so, what this budding terrorist did next is perplexing: She visited
the FBI's website, located the send-a-tip section and let agents know
she was heading home.

The reason? She hoped the FBI would pay for her flight.
When LaRose got no response, she called her boyfriend back and he
bought her ticket.

Damache tried to talk her out of leaving. He pleaded for patience, but
LaRose insisted she needed to return to care for her sick mother.

LaRose said goodbye to Ramirez and her son, and
reluctantly, Damache agreed to drive her to the airport in Cork. It
was a two-hour trip along scenic and often rural roads.

Unannounced, Damache brought a husky friend along for the ride, a man
LaRose had never met.

As the car left Waterford, LaRose grew suspicious. They
were never going to let her go back to the United States, she thought.
She knew too much - where they lived, what they were planning,
everything.

They weren't driving her to the airport, she thought. It was all a setup.

They were going to make Jihad Jane disappear.

TOMORROW: 'It's my destiny'

HOW THIS SERIES WAS REPORTED

JANE'S JIHAD is based on six months of reporting in Pennsylvania,
Texas, Maryland, Colorado, Washington, D.C., and Ireland. The
accounts, including the thoughts and actions of characters in the
stories, are based on court records and other documents, many of them
confidential, as well as interviews with people involved in the case.
Reporter John Shiffman gained exclusive access to those documents and
individuals. Many spoke only on condition of anonymity. In Ireland,
the law forbids the government and defense lawyers from commenting
until court proceedings are completed. In the United States,
prosecutors do not typically comment before sentencing. The Reuters
interview with Colleen LaRose, the woman who called herself Jihad
Jane, is the only one she has granted.

In this exclusive four-part serial narrative, Reuters reconstructs
the story of Colleen LaRose, the American woman whom authorities call
the new face of terrorism.



Proposal for global regulation of web

CNN News

Monday December 10



Dubai-An unexpected new proposal for international regulation of the
internet drew warnings over the weekend of a spread of online
censorship and left a global conference on the issue on the edge of
collapse.

The deep divisions over treatment of the internet came
after a group of Arab states put forward a plan late on Friday that
would require countries around the world to explicitly regulate
internet companies. The proposal, made at a conference in Dubai to
agree a new international telecoms treaty, has also won the backing of
Russia and China, along with a group of other countries.

The pitch for direct regulation came as an unwelcome surprise to
delegations from the US and other countries that have supported the
current light system of regulation for the internet.

"The conference has been hijacked by a group of countries
that want to extend regulation of the internet," said one person
familiar with the US position. "This is completely unacceptable to the
US point of view."

Although countries are already free to impose national regulations,
the US and its allies argue that enshrining the approach in a treaty
would extend international legitimacy to repressive regimes that want
to limit internet communications, while also making it easier for
countries to co-operate on censorship and other restrictive practices.

Tariq al-Awadhi, head of the Arab states delegation, said
that it made sense for internet companies to be included in the
regulations since this would help force them to work together with
network operators.

"They need to come to commercial agreements with one another anyway," he said.

A number of countries in the Arab world and in Africa have
argued that internet companies should hand over more of their revenues
to the communications networks that carry their traffic in other
countries. Traffic agreements are currently reached through direct
negotiations between internet and network companies, an approach that
the US maintains already allows for rates to be set at a fair level.

The call for new regulation could lead to a break-down in the talks,
according to people involved in the discussions. The US delegation
will refuse to support anything that extends regulation in a way that
damages internet freedom and has full backing from Washington to walk
out on the talks if necessary, said the person familiar with the US
position.

The division has set the stage for tense talks in the
early part of this week, with a final treaty due to be completed by
Friday.

"We are going to sit together, and maybe we can come to a solution,"
said Mr Awadhi. "Maybe the US has misunderstood our intentions, so we
can explain and hear from their side why they have fear from this one,
and we can maybe change our wording."



Dad kills son in accidental shooting

AFP

Sunday December 9



Washington-An American man getting into his truck while holding a gun
accidentally shot and killed his seven-year-old son on Saturday,
police said.

The tragedy occurred in East Lackawannock Township, about
100km north of Pittsburg, Pennsylvania.

The father was identified as Joseph Loughrey, 44, and his son, who was
shot in the chest, was named Craig, according to a statement from the
Pennsylvania State Police.

The father and son were getting back into their truck
after visiting a gun store called Twigs Reloading Den.

Loughrey told police he had emptied the magazine of his handgun but
did not realise there was still a bullet in the chamber, the
Pittsburgh Tribune-Review reported.



RVP breaches City fortress, Reds win

Super Sport

Sunday December 9



London-Robin van Persie scored a stoppage-time winner as Manchester
United clinched a dramatic 3-2 away victory over Manchester City to
extend their lead at the top of the Premier League to six points on
Sunday.

United looked to have squandered a chance to claim the
Manchester derby bragging rights when Pablo Zabaleta's equaliser with
four minutes remaining completed a brave comeback from City, who had
been given a lifeline by Yaya Toure's second half goal after trailing
to a first half brace from Wayne Rooney.

But Alex Ferguson's side underlined their determination to wrestle the
title back from City with a sensational response through van Persie,
whose deflected free-kick handed the champions their first Premier
League defeat of the season and their first home league loss since
Everton won at Eastlands in December 2010.

"Today was a special one simply because they haven't lost
at home for two years, both of us are contending at the top of the
league," said Ferguson, who was angry that Ashley Young had a goal
ruled out before City pulled one back.

"I thought we should have finished the game off. It should have been
3-0, the goal was perfectly onside, then they go up and score.

"Football can kick you in the teeth that way. They came
back, were fighting like hell. But up to that point I thought we were
far better than them.

"I think we can be proud of the fact that, opposed to last year when
we gave them far too much respect, the players were determined to win
it."

City manager Roberto Mancini added: "We didn't deserve to
lose this game. We played very well.

"For 20 minutes they didn't touch the ball and the first chance they
got they scored a goal.

"We recovered very well and we dominated the second half.
We have showed we are a really strong team and we can win this title
again."

United only had three attempts on target in the entire match, but they
made them all count, starting in the 16th minute.

Young picked out Rooney and the United striker scuffed a
low shot past wrong-footed City goalkeeper Joe Hart into the corner of
the net.

City were rocked by that setback and Rooney netted again in the 29th
minute, this time meeting Rafael da Silva's cross with a fine,
first-time finish that gave Hart no chance.

That made Rooney the youngest player to reach 150 Premier
League goals at 27 years and 46 days.

Young then had his goal harshly ruled out for offside in the second
half when he fired home after van Persie's shot hit the bar.

Then Ivorian midfielder Toure slotted home from Carlos
Tevez's pass in the 60th minute and City thought they had escaped when
Argentine defender Zabaleta smashed in a low shot after United failed
to clear a corner.

But there was a sting in the tale as United won a free-kick deep into
stoppage-time and van Persie curled in a shot that deflected off Samir
Nasri and flashed past Hart.

The remarkable finale was marred however when United
defender Rio Ferdinand was hit by a coin thrown from the crowd as he
celebrated the winner, while Hart had to stop another supporter who
ran onto the pitch to try to reach Ferdinand.

Elsewhere, Nikica Jelavic and Steven Pienaar grabbed late goals to
complete a remarkable fightback as Everton beat Tottenham 2-1 at
Goodison Park to go fourth in the table.

Clint Dempsey struck for Tottenham in the 76th minute with
the help of a deflection off Everton defender Sylvain Distin.

But David Moyes' men snatched a deserved victory thanks to an
equaliser from South Africa midfielder Pienaar in the 90th minute and
Croatia striker Jelavic's winner in the second minute of
stoppage-time.

In the day's late game, Liverpool came from behind to win
3-2 against West Ham at Upton Park.

Former West Ham defender Glen Johnson fired the Reds into the lead
with a brilliant strike into the top corner in the 11th minute.

Mark Noble equalised with a 36th minute penalty after
referee Lee Probert ruled that Liverpool midfielder Joe Allen had
handled Guy Demel's shot.

Steven Gerrard's own goal, a header from Matt Jarvis's cross, put West
Ham in front in the 43rd minute.

But Liverpool substitute Joe Cole levelled against his old club
before Hammers defender James Collins turned Jordan Henderson's cross
into his own net under pressure from Jonjo Shelvey three minutes
later.



News From The Axis
Chavez names loyalist heir as Venezuela eyes succession

Bloomberg

Monday December 10



Caracas-Venezuelan President Hugo Chavez named a longtime ally with
close ties to Cuba his heir apparent as the cancer-stricken leader
prepares for a potential departure after almost 14 years in power.

Chavez, in a nationwide address over the weekend, said he
was throwing his "irrevocable, absolute" support behind Vice President
Nicolas Maduro to lead his 21st century socialist revolution should he
be unable to carry out his duties. Chavez made the comments as he
prepared to fly to Cuba for surgery, his fourth in 18 months, to treat
an undisclosed form of cancer that he said reappeared in exams after
winning re-election Oct. 7.

Maduro, a former bus driver and union leader, has been one of Chavez's
closest civilian allies since the then tank commander first attracted
national attention by leading a failed 1992 coup. While the
president's endorsement carries weight with Chavez's base among the
poor, a succession battle involving the more business-friendly,
military wing of his movement and against a revitalized opposition is
only beginning as the strongman's grip on power weakens.

"In the short-term, Maduro is empowered but we don't know
what will happen afterwards," Luis Vicente Leon, president of
Caracas-based polling firm Datanalisis, said in a telephone interview.
"It's one thing for Chavez, alive and in power, to exorcize internal
arguments, but we'll have to see how the infighting can be covered up
without him there."

Call for Unity

Maduro, 50, is one of Chavez's longest-serving aides,
having been the president of the National Assembly before becoming
Foreign Minister in 2006. As Venezuela's top diplomat, he traveled
frequently to Cuba while building Chavez's anti- American alliance
with countries including Iran and Nicaragua. He continues to hold that
post even after Chavez named him his vice president following his
larger-than-expected victory over opposition presidential candidate
Henrique Capriles Radonski.

"It's my firm opinion, clear like a full moon, irrevocable, absolute,
total, that in a scenario that would oblige new presidential elections
that you should elect Nicolas Maduro," Chavez said Dec. 8, while
calling upon Venezuelans to show "unity, unity, unity" in the days and
weeks ahead.

While the 58-year-old Chavez didn't reveal any plans to
cede power, investors are increasingly convinced he will. Yields on
the dollar debt of South America's biggest oil producer fell to 9.4
percent on Dec. 6, the lowest since February 2008, as investors bet a
change in government would augur a reversal of nationalizations and
currency and price controls that have stoked 18 percent inflation and
driven away investment.

Chavismo Rival

In addition to Capriles, who was favored to defeat any
pro- government candidate in polls taken earlier this year, Maduro
also faces a potential challenge from another key Chavez ally:
National Assembly President Diosdado Cabello. A former lieutenant who
fought alongside Chavez in the 1992 army rebellion against
then-President Carlos Andres Perez, the 49- year-old is in line to
become caretaker president should Chavez fail to take the oath for a
third, six-year term on Jan. 10. Under the constitution, he'd have 30
days to hold elections.

Chavez's decision to break a 21-day silence and return last week from
Cuba, where he's been undergoing hyperbaric oxygen therapy, may have
been prompted by a need to rein in Cabello, said Vladimir Villegas,
who served as Maduro's deputy foreign minister between 2006 and 2007
before leaving the government in protest over Chavez's policies.

Cabello's military connections afford him "a lot of power
although he's more feared than loved both within and outside the
government," Villegas, who writes a column for the Caracas- based
daily El Nacional, said in phone interview.

Threat of Violence

In a sign of unity, Cabello sat next to Chavez and Maduro
as the president announced his endorsement over the weekend. Still,
underscoring how messy any succession battle could become in the
polarized country, he held out the prospect of violence should Chavez
step down.

"Even the opposition should be praying that Chavez gets better,"
Cabello said on state television after Chavez's address. "He is the
guarantee of peace in the country."

Thousands of Chavez supporters gathered in squares across
Caracas yesterday to pray for their president as he prepares to leave
for Cuba, while leaders across the political spectrum in Latin America
sent message wishing him a quick recovery. Of the 100 or so people
gathered at Plaza Bolivar downtown, most said they would support
Maduro if the president's health forces him to step down. Chavez has
reduced his public appearances since being re-elected, fueling rumors
that his health was worse than he was letting on after he claimed
during the campaign he was "totally free" of cancer.

"If Chavez said it's Maduro then that's the order," said Orlando
Herrera, a 66-year-old retired bus driver carrying a cardboard sign
with an image of Chavez and the slogan "Onward, Comandante." "Whatever
he says, that's what we desire."

Opposition Chances

Chavez's decision to name a successor also increases the
importance of regional elections Dec. 16, where the man Maduro
replaced as vice president, Elias Jaua, is pitted against Capriles for
the governorship of Miranda state. A win for Capriles would boost his
chances of holding together an unruly anti-Chavez alliance and
mounting a successful presidential bid, while a defeat would be
"disastrous" for the opposition's chances, said Leon.

Polls before this weekend's announcement showed mixed results, with
one taken Nov. 21 to 26 by Caracas-based polling companying Ivad
predicting a landslide win for Capriles and another taken this month
by Hinterlaces favoring Jaua by 49 percent to 44 percent.

Capriles, while wishing Chavez a swift recovery yesterday,
questioned his decision to name a would-be replacement.

"Venezuela doesn't have succession," Capriles, 40, said in comments
broadcast on Globovision. "This is not Cuba nor is it a monarchy that
has a king. Here in Venezuela, when someone leaves a position, the
people get the last word."

Constitutional Change

One way Chavez may try to solidify backing for Maduro is
by pushing for a constitutional amendment to allow him to serve out
the remainder of his third term, said Leon. All depends on how his
health holds up, he added. Under the nation's charter, elections must
be held within 30 days if Chavez steps down within the first four
years of his new term. Chavez before going to Cuba last month ruled
out any constitutional reform.

"Maduro is a guy with lots of political experience and it would be a
mistake to underestimate him -- that's why Chavez chose him," said
Villegas, who as a teenager attended the same high school as Maduro in
southern Caracas. "Chavez wants someone who can guarantee continuity
to his fundamental ideas for the country but also a person who as a
former union leader is capable of negotiating."

Idealism vs. Pragmatism

While Maduro could scale back some of Chavez's more
radical policies he's unlikely to be market-friendly and will likely
spook investors, said Bret Rosen, a Latin America debt strategist at
Standard Chartered Bank in New York. Bank of America-Merrill Lynch
expects Venezuela's economy to contract 3.6 percent next year as a
result of an expected devaluation of the bolivar needed to close a
fiscal gap widened by Chavez's pre-election spending boom.

"Maduro is not Chicago School of Economics by any stretch," Rosen said
in a phone interview. "Sometimes the devil you know is better than the
one you don't."

By contrast, business leaders see Cabello as more of a
pragmatist than members of the civilian, pro-Cuban wing of the
government that Maduro leads. In 1999, as Chavez's chief
telecommunications regulator, he ended Cia. Anonima Nacional Telefonos
de Venezuela's monopoly on fixed-line phone service.

Whoever has the upper hand, the time for Chavez to step aside appears
to be nearing.

"Whatever happens with the operation, Chavez is clearly signaling
that he won't be able to complete his term," said Villegas. "Everyone
is starting to see that Chavez is becoming a thing of the past."



U.S. Navy SEAL killed in operation to rescue American doctor in Afghanistan

CNN News

Monday December 10



Kabul-An elite U.S. special forces team rescued an American doctor who
had been abducted in Afghanistan, but lost one of their own members in
the mission, officials said.

Dr. Dilip Joseph was freed 11 hours after his captors
released two other kidnapped staffers of his nonprofit agency, Morning
Star Development, the organization said Sunday.

Hours later, U.S. Defense Secretary Leon Panetta announced that "a
U.S. service member was killed in the operation."

A U.S. official said the man who was shot dead belonged to
the Navy's Special Warfare Development Group, more commonly known as
SEAL Team Six. The elite unit is the same one that took part in the
raid that killed al Qaeda leader Osama bin Laden, but the official
didn't know if the fallen service member was involved in that
operation.

While he did not delve into detail, Panetta said, "the special
operators who conducted this raid knew they were putting their lives
on the line to free a fellow American from the enemy's grip."

The NATO-led International Security Assistance Force said
Joseph was believed to be in imminent danger of injury or death when
the rescue mission was launched.

"He gave his life for his fellow Americans, and he and his teammates
remind us once more of the selfless service that allows our nation to
stay strong, safe and free," President Barack Obama said of the slain
U.S. service member, who was not immediately identified.

There were conflicting reports about who was behind the
kidnappings. ISAF said it was Taliban insurgents, while two local
Afghan officials told CNN it was smugglers.

The kidnapping of Joseph and the two other Morning Star staff members
occurred around 3:30 p.m. Wednesday (6 a.m. ET), as the three men were
returning from a rural medical clinic in eastern Kabul province.

"They were stopped and captured while driving, by a group
of armed men," according to the agency, which sponsors community and
economic initiatives in Afghanistan.

"They were eventually taken to a mountainous area about 50 miles from
the Pakistan border."

Tribal leader Malik Samad and district chief Muhammad
Haqbeen told CNN that Joseph and an Afghan doctor were abducted near
the village of Jegdalek in the Sarobi district, just outside Kabul.

Morning Star said negotiations began "almost immediately" between the
captors, the hostages and the agency's crisis management team in Kabul
and Colorado Springs, Colorado. In addition to U.S. and Afghan
authorities, the agency thanked "Afghan residents (including) elders
and local leaders who made visits and appeals to the captors
advocating for the release of the hostages."

The "on-again, off-again" negotiations lasted three days
into Saturday night, when two of the three were released.

Morning Star did not release the identities of the two men, citing
safety concerns "because they live and work in the general region."
The group said one of them belonged to its medical staff and the other
was part of the organization's support staff.

The two men got out of the area and eventually were taken
to a police station, at which time Morning Star and their families
learned they'd been released.

The Afghan doctor's family paid $12,000 to the smugglers, who later
released him, Haqbeen and Samad said. For its part, Morning Star
stated "categorically that we paid no ransom, money or other
consideration" to anyone in securing any of its staffers' release.

Sometime Saturday night, military forces rescued Joseph in
a mission ordered by Gen. John Allen, commander of U.S. forces in
Afghanistan. Samad and Haqbeen, the two Afghan officials, said the
operation took place in Laghman province.

"Today's mission exemplifies our unwavering commitment to defeating
the Taliban," Allen said in a statement. "I'm proud of the American
and Afghan forces that planned, rehearsed and successfully conducted
this operation. Thanks to them, Dr. Joseph will soon be rejoining his
family and loved ones."

Joseph has worked with Morning Star for three years. He
serves as its medical adviser, and travels frequently to Afghanistan,
the agency said.

The doctor appeared to be in "good condition and uninjured" at Bagram
Airfield after his abduction. Morning Star said "he will receive
precautionary examinations and debriefing before returning to his
Colorado Springs home, probably within a few days."

His family issued a statement Sunday acknowledging
"harrowing" uncertainty in recent days and extending its "deepest
condolences to the family of the American sailor who died during
Dilip's rescue."

"We are incredibly grateful for the multiple agencies of the U.S.
government that have supported us in this difficult time, and
especially the quick response by our military and partner allies to
rescue Dilip," the family said. "They showed great heroism and
professionalism."

Despite the kidnappings of Joseph and its two other staffers,
Morning Star reiterated its "commitment to continue its work" in
Afghanistan.



Iran warships dock in Sudan: witness

AFP

Saturday December 8



Khartoum-Two Iranian warships docked in Port Sudan on Saturday, a
witness said, marking the second port call by the Iranian navy in
Sudan in five weeks.

The Sudanese military said it was a "normal" port call but
Israeli officials have expressed concern about arms smuggling through
Sudan.

They have long accused the African country of serving as a base of
support for militants from the Palestinian Islamist movement Hamas
which rules the Gaza Strip.

Sudanese army spokesman Sawarmi Khaled Saad had initially
announced the warship visit for November 30.

"It is part of diplomatic and military exchanges between the two
countries," and will last for three days, he told reporters on Friday
night.

A pair of Iranian navy vessels, the supply ship Kharg and
corvette Admiral Naghdi, spent about two days at Port Sudan in late
October.

The port call was accompanied by Sudanese press criticism of Saudi
Arabia which lies across the Red Sea and has had tense relations with
Iran for years.

Sudan's links with Iran have come under scrutiny after
Khartoum accused Israel of an October 23 strike against the Yarmouk
military factory in the capital, which led to speculation that Iranian
weapons were stored or manufactured there.

Israel refused all comment on Sudan's accusation about the factory blast.

But a top Israeli defence official, Amos Gilad, said Sudan
"serves as a route for the transfer, via Egyptian territory, of
Iranian weapons to Hamas and Islamic Jihad terrorists."

Eight days of fighting between Israel and Hamas ended on November 21
with an Egyptian-mediated truce after 174 Palestinians and six
Israelis were killed.

The Jewish state has accused Iran of supplying Hamas with
its Fajr 5 missile, used to target Tel Aviv during the conflict.

Khartoum said Israel was spreading "fabricated information" about
links between the Yarmouk military factory, Hamas and Iran.

Sudan's foreign ministry denied Iran had any involvement
in the plant.

On Tuesday, Foreign Minister Ali Karti said Sudan welcomes the navies
of any country, "except Israel." A Pakistani frigate visited Port
Sudan in late November.



Bahrain opposition hails crown prince's call for talks

Reuters

Sunday December 9



Manama-Bahrain opposition groups welcomed a government appeal for
dialogue to break a deadlock in the restive kingdom, saying they were
prepared to meet without any pre-conditions, but called for the
results of talks to be put to a referendum.

The Gulf Arab state, which hosts the U.S. Fifth Fleet, has
been convulsed by unrest since February last year following mass
demonstrations led by majority Shi'ites demanding democratic change in
the Sunni-led monarchy.

The ruling Al Khalifa family brought in Gulf Arab troops, mainly from
Saudi Arabia, and imposed over two months of martial law to end the
uprising. Small-scale clashes between police and protesters now happen
almost daily.

Prince Salman bin Hamad bin Issa al-Khalifah told a
conference on Middle East security in Manama on Friday that real
progress can only come through face-to-face negotiations.

Wefaq, the leading opposition group in Bahrain, said in a statement it
was willing to take part in talks but the outcome should "be approved
by the people".

The group's leader Sheikh Ali Salman told Reuters he would
push for a referendum, an idea first aired before a failed attempt at
dialogue last year. But he said a referendum was a not a condition of
starting talks.

"We have clear opinion about that. We are looking for a dialogue
without any precondition and it is the same for the government - don't
put any precondition," he said in an interview in Manama.

Bahrain, where the Fifth Fleet is based as a bulwark
against Iran, accuses Tehran of encouraging the unrest. Iran, which is
led by Shi'ite clerics, has denied meddling in Bahrain's affairs.

Some Sunni Bahrainis argue against democracy in the kingdom citing
what they describe as the influence of Iran's Shi'ite clerics over
Bahrain's Shi'ite majority.

"People vote for religious figures. Their mentality is to
follow the religious leader," said a prominent Bahraini Twitter user
who styles himself Ateekster and asked for his real name not to be
used in a phone interview.

Pro-government members of parliament and advisers to the authorities
have complained that it is not clear whether Wefaq could speak for the
whole opposition and that it has shifted position before on possible
talks.

Other groups, including the secular Waad, also welcomed
the call for new dialogue.

In his speech on Friday, Crown Prince Salman urged all political
figures to condemn street violence.

King Hamad last year called for talks "without
preconditions", but that initiative quickly stalled when Wefaq pulled
out, saying its views were not being taken seriously.

Salman said he had been indirectly contacted by the authorities but
did not have any information on when talks would take place.

The two sides have appeared to softened their positions in
recent days. In his speech the crown prince said Bahrain needed to
work harder on judicial reform and to ensure policing was equally
applied to all Bahrainis.

On Friday Wefaq's leader chastised protesters chanting slogans
directly attacking the king and ruling family.

The authorities have banned protests, saying they often
lead to confrontations that block the streets, and revoked the
nationality of 31 activists. Opposition groups say brutality and
repression used to put down last year's revolt, which embarrassed
Bahrain's Western allies, continues.

"We demand that the authorities stop using excessive and systematic
force against citizens," the opposition statement said.



U.N. envoy: Political solution to Syria crisis 'necessary and still possible'

CNN News

Monday December 10



Damascas-After 21 months of bloodshed and a failure by the
international community to do anything to stop it, the U.N.-Arab
League point man on the Syrian crisis expressed confidence Sunday that
a political resolution is possible.

Lakhdar Brahimi's optimism followed talks in Geneva with
Russian Deputy Foreign Mikhail Bogdanov and U.S. Deputy Secretary of
State William Burns, which he called "constructive and held in a
spirit of cooperation."

Getting Russia on board any international plan is seen as key because
it has been an ally of Syria's government and blocked tough measures
against President Bashar al-Assad in the U.N. Security Council.

In a statement, Brahimi said the diplomats "explored
avenues to move forward a peaceful process and mobilize greater
international action in favor of a political solution."

"All three parties reaffirmed their common assessment that the
situation in Syria was bad and getting worse," said Brahimi, who was
appointed a joint special representative in August, according to a
story on the U.N. news website. "They stressed a political process to
end the crisis was necessary and still possible."

This conviction comes at a time when violence in Syria
continues to rage.

U.N. Secretary-General Ban Ki-moon said Friday that more than 40,000
people have been killed, with half a million seeking refuge in other
countries and nearly 3 million internally displaced.

The grim toll grew yet again on Sunday, with the opposition Local
Coordination Committees reporting at least 116 deaths nationwide,
including 10 children and four women. Forty-one of those deaths were
in and around Damascus, and 32 were in Aleppo, including 20 burned
near a Syrian Air Force Intelligence facility.

In addition to civilians caught in the crossfire, Sunday
saw more skirmishes involved organized fighting forces on both sides.

The LCC said there were 97 clashes Sunday between Syrian troops and
rebel Free Syrian Army members, who have made inroads around the
Middle Eastern country in recent weeks.

Opposition fighters have also taken steps of late to unify their
ranks, with disparate Free Syrian Army units agreeing Friday to
appoint a civilian rebel council leader and a military council leader
for each Syrian province. The commanders will be under the leadership
of a newly named chief of staff, Gen. Salim Idris, Free Syrian Army
spokesman Louay Almokdad said.

The united military front follows the creation of the
National Coalition for Syrian Revolutionary and Opposition Forces, a
new coalition of groups opposed to al-Assad's leadership. The United
States, in particular, has pushed for opposition factions to unite.

Another diplomatic focus has been trying to find a common
international approach to Syria, in hopes that shared thinking --
especially involving friends of al-Assad -- can hasten an end of the
war.

U.S. Secretary of State Hillary Clinton and Russian
Foreign Minister Sergey Lavrov joined Brahimi last Thursday in
Belfast, Northern Ireland, to discuss Syria.

Clinton said that meeting didn't produce a "breakthrough," but it was
a start. She called for all facets of Syrian society -- except for
al-Assad -- to be part of any transition. Russia said the countries
should brainstorm with Brahimi on a peaceful transition and a
political settlement.

The possibility that Syrian forces could employ deadly
chemical weapons -- something Damascus has denied -- has heightened
the sense of urgency.

Syrian forces began combining chemicals that would be used to make
deadly sarin gas for use in weapons to attack rebel and civilian
populations, a U.S. official told CNN last week. That possibility
triggered international outcry, including from Russia, which sent
strong messages to al-Assad warning him he'd lose their support if he
used chemical weapons.

The United States and some European allies are using
defense contractors to train Syrian rebels on how to secure chemical
weapons stockpiles in Syria, a senior U.S. official and several senior
diplomats told CNN Sunday.

The training, which is taking place in Jordan and Turkey, involves how
to monitor and secure stockpiles and handle weapons sites and
materials, according to the sources. Some of the contractors are on
the ground in Syria working with the rebels to monitor some of the
sites, according to one of the officials.



Myanmar sorry for monks' injuries

AFP

Saturday December 8



Yangon-Myanmar's government has apologised to senior Buddhist clerics
over injuries sustained by monks in a police crackdown on a rally at a
Chinese-backed copper mine, state media said Saturday.

Religious Affairs Minister Myint Maung said the incident
at the mine in Monywa, northern Myanmar, in which at least 99 monks
and 11 others suffered wounds including severe burns, was a "great
grief" to the government, amid efforts to dampen public anger over the
injuries.

At a ceremony with some of the country's top clerics, he "begged the
pardon of wounded monks and novices", blaming the "incompetency" of
the authorities, according to a report in state newspaper New Light of
Myanmar.

But he stopped short of apologising for the crackdown
itself, saying the demonstration had a "political" element and that
the government was treating the wounded with a "clear conscience".

The pre-dawn raid on protest camps at the mine last month was the
toughest clampdown on demonstrators since a reformist government came
to power last year.

Photographs of the protesters' injuries have stirred
outcry across Myanmar, reminding the public of brutal junta-era
security tactics including the notorious crackdown on mass monk-led
rallies in 2007 known as the "Saffron Revolution".

About 100 police apologised to a group of monks in Monywa soon after
the recent crackdown, but the move failed to calm the public mood.

Around 150 people and 40 monks marched through Yangon on
Saturday to protest the Monywa violence, the latest in a string of
street demonstrations in the country's commercial hub and in the
second largest city Mandalay in recent days.

"The monks are denouncing the brutal crackdown," Ye Min Oo, an
activist at the rally told AFP.

"Many monks welcome the officials' apologies. But they
also want them to say sorry in person to the injured monks," he said.

Opposition leader Aung San Suu Kyi has been appointed by the
government to lead a probe into the incident, as well as claims of
evictions and pollution at the mine.

Earlier this week she said it was not yet clear what had
caused the demonstrators' injuries, but suggested tear gas could be to
blame.

The dispute at the Monywa mine centres on allegations of mass
evictions and environmental damage caused by the project Ä a joint
venture between Chinese firm Wanbao and military-owned Myanmar
Economic Holdings.

Activists are calling for work at the project to be
suspended to allow impact studies to be carried out, but China insists
that the contentious points have already been resolved.

Several people are being held without bail at Yangon's infamous Insein
prison over their involvement in other protests against the mine.

According to the New Light of Myanmar, Bhaddanta Kumarabhivamsa,
one of the country's most senior monks, called upon all parties to
ensure such incidents do not happen again "and try their utmost to
behave themselves".



Political and General
SADC reaffirms need for reforms before elections

New Zimbabwe

Sunday December 9



Dodoma-SOUTHERN African leaders have concluded a regional strategic
meeting in Tanzania with a call for "responsive political will" from
Zimbabwe's unity government partners and a vow not to "rest until
peace is restored in eastern DRC."

Heads of the Southern African Development Community (SADC)
had gathered for a weekend extraordinary summit to deliberate on the
unfolding DRC conflict and review mediation efforts in Zimbabwe and
Madagascar.

SADC pledged to mobilise 4,000 troops for a neutral force that will be
deployed in DRC where M23 rebels have over the past months mounted a
vicious onslaught against the government of President Joseph Kabila.

Tanzania promised to contribute a battalion of soldiers
while other SADC nations said they will "activate" a standby brigade
of 3,000 soldiers by mid-December. It was not immediately clear if
Zimbabwe will also be contributing towards the force.

"I want to inform SADC that we will not rest until peace is restored
in eastern DRC," said Tanzanian President Jakaya Kikwete, chairman of
the SADC Troika on Peace, Defence and Security.

South Africa weighed in with a logistical support pledge
for the standby force.

President Jacob Zuma said: "The Summit has reaffirmed the commitment
of our region to collectively pursue regional peace and stability,
particularly with regard to the security situation in the eastern
DRC."

And on the long-drawn Zimbabwean question, SADC urged Zanu
PF and MDC politicians to expedite the constitution revision process
and put the new draft charter to a national referendum ahead of
elections that President Robert Mugabe insists should be held in
March, even without any major reforms.

"We should continue to appeal for responsive political will [in
Zimbabwe]," Kikwete said.

SADC commended Zuma - regional facilitator in Harare - for
his ongoing mediation efforts and urged him to continue pushing for
resolution of all outstanding issues in the Global Political
Agreement, including political and electoral reforms.

The power-sharing government's pursuit for a new democratic
constitution has stalled, and the charter's completion is in jeopardy
as Zanu PF and MDC continue to haggle over its contents.

Although the two MDC formations have endorsed the draft -
crafted by a parliamentary committee after gathering public opinion -
Zanu PF has rejected it, objecting to various governance issues
including devolution of power from central government to provinces.

The party argues that devolution is a divisive concept, adding that it
might be exploited by separatists to push a cessationist agenda. Zanu
PF has also protested the whittling down of presidential executive
powers, among other issues.



Mugabe shows no signs of slowing down

AFP

Saturday December 8



Harare-Robert Mugabe, who has ruled Zimbabwe since independence 32
years ago and eying another term in office, wants full control of
foreign firms, showing no sign of seeking to redeem his image as an
international pariah.

Once a darling of the West, the 88-year-old who is
Africa's oldest ruler, once said in jest that he would rule until he
turns 100.

At home his championing of a controversial equity law, which forces
foreign-owned firms to cede their majority shares to local people, has
cemented his hero status among his ZANU-PF party faithful.

On Friday he told the party's last conference before 2013
polls that he plans to increase the foreign firm's takeover from 51
percent to 100 percent - in an apparent move to garner support ahead
of the vote.

"I think now we have done enough of 51 percent. Let it be 100
percent," he told the delegates.

Known for his long-winded political speeches, punctuated
with stinging criticism of his opponents, particularly Western
countries, Mugabe's road to the top office has been marred with
bloodshed.

In June 2008 he was re-elected to a sixth term after entering a
presidential runoff uncontested.

His arch-rival Morgan Tsvangirai withdrew from the race
citing state-sponsored violence against his supporters, including
torture and killings. The two later formed an uneasy power-sharing
government.

Born on February 21, 1924, at Kutama Mission northwest of the capital
Harare, Mugabe was described as a studious child and a loner and
qualified as a teacher at the age of 17.

An intellectual who initially embraced Marxism, he took
his first steps in politics when he enrolled at Fort Hare University
in South Africa, where he met many of southern Africa's future black
nationalist leaders.

He then resumed teaching, moving to Northern Rhodesia (now Zambia) and
later Ghana Ä where he was profoundly influenced by the country's
founder president Kwame Nkrumah.

As a member of various nationalist parties which were
banned by the white-minority government, Mugabe was detained with
other nationalist leaders in 1964 and spent the next 10 years in
prison camps or jail.

But he used his incarceration to gather three degrees, including a law
degree from London, by correspondence courses.

He also used that period to consolidate his position in
the Zimbabwe African National Union and emerged from prison in
November 1974 as ZANU-PF leader. He then left for Mozambique, from
where his banned party conducted a guerrilla war.

Economic sanctions and war forced Rhodesian leader Ian Smith to negotiate.

After that ZANU, which drew most of its support from the
ethnic Shona majority, swept to power in the 1980 election.

Mugabe also crushed dissent among the minority Ndebele people with his
North Korean-trained Fifth Brigade in a campaign that killed an
estimated 20,000 suspected "dissidents".

In 2000 he launched controversial land reforms, driving
out white farmers and seizing their land. Some white farmers were
accused of joining forces with his Western foes in a campaign to
topple him using the opposition as a front.

"Our present state of mind is that you (white farmers) are now our
enemy because you really behave as enemies of Zimbabwe," he said at
independence celebrations in 2000, months after hordes of militant
supporters began invading white-owned farms.

The implementation of land reform laws saw productive
commercial farms re-distributed to his cronies, army veterans and
family members.

The chaotic process plunged the former regional breadbasket into a
decade-long crisis, with most rural dwellers relying on food handouts.

Under pressure to end the crushing economic decline, which
reduced the exchange rate to nothing and caused inflation to gallop to
over 230 million percent, Mugabe entered into an agreement with
Tsvangirai to form a unity government.

But since its formation last year the unity government has been
hampered by disagreements over key economic policies and the slow
progress of human rights reforms.



MDC-T eyes electoral pact to unseat Mugabe

New Zimbabwe

Saturday December 8



Harare-MORGAN Tsvangirai is not the President of Zimbabwe because
talks aimed at reunifying the two MDC factions collapsed in 2008 -
just months before general elections, according to his party's
secretary general Tendai Biti.

Biti said the decision by the MDC-T - which won a larger
share of the electoral vote compared to the splinter party now led by
the party's founding secretary general Welshman Ncube - to go it alone
had aided President Robert Mugabe's Zanu PF party.

The talks collapsed over the distribution of parliamentary seats
between the two parties.

Biti, who had advocated for the reunification of the
parties, says he became so despondent after the failed talks that he
would not want to be involved again.

Yet the Finance Minister, speaking in Manchester, England, on Friday
insisted that he had no doubt Mugabe would lose against a coalition of
determined Zimbabwean opposition leaders.

"For me personally, I did my best to see the reunification
of the two MDCs and I was really shattered when our talks broke down
on February 2, 2008," Biti told New Zimbabwe.com.

"I think it was a disaster, and to prove that those of us who were
preaching unity were vindicated, the presidential run-off election was
caused by the 9 percent that we theoretically lost to Simba Makoni."

Makoni, a former Zanu PF official and leader of the then
newly-formed Mavambo-Kusile party, stood as an independent with the
support of Ncube's MDC.

Tsvangirai polled 1,195,562 votes (47.9 percent) to Mugabe's 1,079,730
votes (43.2 percent) which fell shy of the 50.01 percent which would
have secured him the presidency.

Makoni's 8.3 percentage share of the vote meant there was
no outright winner, triggering a run-off election between Mugabe and
Tsvangirai in June 2008 which the MDC-T leader opted out of, citing
the widespread intimidation and killing of his supporters.

Mugabe later agreed to share power with Tsvangirai and Ncube's MDC,
then led by Deputy Prime Minister Arthur Mutambara, after regional
countries refused to recognise his lopsided run-off victory.

Biti admits the two MDC parties are unlikely to reunite,
but he still hopes an electoral pact can still be possible to unseat
the 88-year-old Mugabe who has been in power since 1980.

He said: "I pray that there will be maturity at the relevant time not
for the reunification of the parties, I think that will never happen,
but for some kind of electoral pact.

"I hope the leaders of all the democracy loving political
parties in Zimbabwe - Simba Makoni, Dumiso Dabengwa, Welshman Ncube,
Morgan Tsvangirai and others - will come together for some kind of
pact.

"One thing I can assure you is that I hope not to be involved in the
negotiations because the way they collapse is very painful, and I
still have a hangover from the collapse of the 2008 talks."



Mugabe threatens to call Zimbabwe election before new constitution

Reuters

Friday December 7



Gweru-Zimbabwe's President Robert Mugabe threatened on Friday to call
an election before the completion of constitutional reforms if his
rivals in a power-sharing government dragged their feet over the
charter-drafting process.

Addressing an annual conference of his ZANU-PF party,
Mugabe also said he would also press ahead with a drive to force
foreign-owned firms including mines and banks to sell majority shares
to local black people.

Mugabe, 88, one of Africa's longest serving rulers and accused of
hanging on to power through vote-rigging, has called for an election
in March in the southern African country.

But coalition partners including Prime Minister Morgan
Tsvangirai, Mugabe's old rival, first want a new constitution and
electoral and media reforms after a violent and disputed poll in 2008
that was condemned by much of the world.

Mugabe told party members he would not wait forever to call elections,
putting pressure on Tsvangirai's Movement for Democratic Change (MDC).

"If they do not (agree), I am going to declare sooner or
later the day of an election," he said, to applause. "Enough is
enough. We cannot continue to drag our feet on this."

However Finance Minister Tendai Biti, secretary general of the MDC,
told Reuters that Zimbabwe would not be ready for a presidential
election until at least June because it needed the reforms to ensure a
fair and undisputed poll.

"It's impossible to have an election in March," he said
during a visit to Manchester, England, on Thursday. He said the new
constitution and reforms were needed first to ensure the poll result
was "credible, legitimate and sustainable".

HEALTH QUESTIONS

ZANU-PF is expected to endorse Mugabe as its presidential
candidate in elections which must be held by next September, under a
power-sharing deal agreed after the 2008 poll, despite his advanced
age, reported ill health and disastrous economic record.

ZANU-PF and the MDC are haggling over presidential powers in the new
constitution. Mugabe accused his opponents of delaying tactics to
avoid elections.

Mugabe has run the former British colony since
independence in 1980 but is facing increasing questions about his
health.

He has travelled to Singapore several times in the last two years for
medical treatment. In April his aides angrily denied reports he was
fighting for his life in a Singapore hospital.

Mugabe showed no visible signs of ill-health on Friday,
spending more than an hour at the podium in front of 5,000 delegates
inside a new Chinese-built conference centre outside the central city
of Gweru.

Mugabe, who wore a yellow shirt printed with his face and a yellow
baseball cap, said black local ownership rules for foreign investors
applied across the board.

"Even our Chinese friends, we are saying to them: 'In your
country we do not just come'. They have to respect the rules here," he
said.

Analysts say Mugabe's March election call is meant to keep his
supporters ready for battle although some senior ZANU-PF officials
have cast doubt on this timeline, given that a referendum on a new
constitution should also precede any election, under the power-sharing
deal.

A referendum on the new charter, which has been delayed by two
years, is only likely in the first quarter of next year.



Grace thanks Mugabe 'every day'

New Zimbabwe

Sunday December 9



Harare-GRACE Mugabe thanks President Robert Mugabe for making her
First Lady EVERY DAY, she said on Saturday while revealing a few
family secrets. The First Lady, 47, worked as Mugabe's secretary
before his first wife, Sally, died of kidney failure in 1992.

The couple married in 1996 and have three children
together - Bona, Robert Junior and Chatunga.

The First Lady, speaking after donating food items to the Midlands
Children's Home, also told how:

# Religious Mugabe carries a rosary in his pocket at all times

# Their sons regularly cook for the family despite having a team of servants

She said: "I was very young when I started living with
President Mugabe, but he was patient with me and took time to groom me
into the woman that I am now.

"VaMugabe is very supportive of women because he knows kuti musha
mukadzi (a woman makes a home).

"Every day, I make it a point to thank VaMugabe for making
me the First Lady of Zimbabwe. There are a lot of beautiful women in
Zimbabwe, but he chose me, a village girl, and made me his wife."

She praised the 88-year-old Mugabe's "ability to remain calm even when
everything appears to be going wrong".

"I believe that calmness is divine because my husband is
very religious. He prays the Catholic way and always moves with his
rosary in his pocket, even when he changes clothes he makes sure that
rosary is in his pocket," she said.

Mugabe had learnt the practice from his mother who "taught him that
protection comes from God".

"That's the reason why he always takes principled and
God-fearing positions even when everyone is on the other side," she
explained.

Robert Junior and Chatunga were also being groomed to be "fine
gentlemen just like their father".

"They might be members of the family, but my sons cook
meals for the family. I have one daughter, so, I realised that the
workload of household chores would suffocate me and decided to come up
with a plan that sees them cook for the family regularly," she said,
according to the official Sunday Mail newspaper.

"I must say they are good at it. Making them cook even when the family
has helpers is my way of making them appreciate life and prepare them
to be husbands who appreciate their wives.

"As women, we teach men almost everything, including how to
dress, but it seems we have not done much in teaching them that they
can also cook and help with household duties."



Zimbabwe minister sees no election before mid-2013

Reuters

Friday December 7



Manchester-Zimbabwe will not be ready for a presidential election
until at least June because it needs a new constitution and democratic
reforms to ensure a fair and undisputed poll, Finance Minister Tendai
Biti said in an interview.

President Robert Mugabe, one of Africa's longest serving
rulers and accused of hanging on to power through vote-rigging, has
called for a new election in March.

But coalition partners including Prime Minister Morgan Tsvangirai,
Mugabe's old rival, want a new constitution and electoral and media
reforms after a violent and disputed poll in 2008 that was condemned
by much of the world.

"Zimbabwe clearly is not ready for an election," Biti told
Reuters late on Thursday during a visit to the University of
Manchester in northern England.

"It's impossible to have an election in March," he said, arguing that
the newly drafted constitution, as well as electoral and media
reforms, would need to be introduced first to ensure the result of the
poll was "credible, legitimate and sustainable".

Mugabe, 88, has been in power since independence from
Britain in 1980, pushing through policies including the seizure of
white-owned farms and forcing foreign firms to hand over majority
stakes to local blacks.

His party, ZANU-PF, is due to endorse him again as presidential
candidate at its annual congress on Friday.

Biti, secretary general of Tsvangirai's Movement for
Democratic Change (MDC) party, said he hoped a referendum on the
constitution could be held in the first quarter of 2013, paving the
way for an election between June and August.

"We will limp our way to some form of acceptable agreement," he said.
"Our people are tired. They want a solution. They want peace. So I
think we will reach an agreement because everyone is exhausted."

Biti called on Zimbabwe's neighbors and international
partners - starting with South African President Jacob Zuma - to play
an active role in ensuring the process goes smoothly and help support
the cost of the referendum and election, estimated at between $150
million and $250 million.

DIAMONDS NOT YET THE COUNTRY'S BEST FRIEND

Zimbabwe's economy is recovering after a decade of
agricultural decline and hyperinflation, which led the coalition
government to drop the worthless local currency in 2009 in favor of
the U.S. dollar and South African rand.

This has brought annual inflation below 5 percent from an eye-popping
500 million percent four years ago.

But many fear a disputed election could trigger a new
crisis for a country that has been struggling to pay back a $10
billion debt and whose $3.8 billion annual budget is cannibalized by
government wages, leaving little room for investments in
infrastructure and growth policies.

Biti has already slashed his 2012 economic growth forecasts twice in
recent months, down to 4.4 percent, from 9.3 percent in 2011,
reflecting the impact of a poor agricultural season and depressed
commodity prices.

For next year, he forecasts 5 percent GDP growth, a figure
he said was "very conservative" and took into account the risk of a
disputed election.

Should Zimbabwe have "a decent election", Biti said, growth could
reach 7.2 percent, helped by rising prices of platinum, chrome and
gold, all of which Zimbabwe produces.

Mining, which currently represents 23 percent of GDP, will
be the key driver of growth and the Treasury will "zero in" on diamond
revenues to make sure they are collected, Biti said.

Diamond revenues have been a source of conflict within the coalition
government.

A gem watchdog last month said at least $2 billion of diamonds from
Zimbabwe's Marange fields - one of the world's largest deposits - had
been smuggled by people linked to Mugabe's party.

When asked about the issue, Biti said: "I don't have
evidence of that.

The evidence I have is that diamonds are being mined and we are not
getting the revenue."

Diamond output has more than doubled since 2011 and
diamond exports reached $600 million in October, but the government
only received $41 million of diamond revenues this year, Biti said.

"If these were to be accounted openly, we'd at least be entitled to 50
percent of those $600 million. $300 million would make a lot of
difference in my life as finance minister."



Regional
Swaziland poverty is set to deepen - IMF

Business Report

Sunday December 9



Mbabane-Swaziland has the worst-performing economy in sub-Saharan
Africa, and if not for Sudan would have the world's worst economic
track record, according to new data from the International Monetary
Fund (IMF).

The IMF projections for through 2017 show Swaziland will
be untouched by rising global prosperity and is set to sink further
into poverty.

"One way or the other, South Africa will pick up part or all of the
cost when the imminent failed state of Swaziland collapses into final
financial destitution, as forecast by all reasonable and neutral
economic prognosticators," said Charles Maphanga, a Mpumalanga-based
financial consultant who advises Swazis where to convert their savings
in lilangeni, the Swaziland currency, into South African rand-based
investments.

Indeed, gross domestic savings as percentage of GDP will
be halved from this year's 10.6 percent to 5.6 percent in 2013.
Swaziland's 2012 GDP of $12.85 billion (R112bn), which was down 3
percent from last year when it stood at $13.23bn, is expected to drop
again, to US $12.72bn, in 2013, for a GDP growth rate of negative 0.09
percent.

With a worsening economy and less cash on hand in savings, slackening
consumer demand will reduce inflation from 7.8 percent in 2012 to 6.8
percent in 2013.

Lower inflation and marginally better GDP growth, compared
to Sudan, for now spares Swaziland from having the world's worst
economy. However, those advantages will have disappeared by 2014.

With FDI flat-lining in the country, industries shutting and remaining
businesses struggling, government revenues are expected to drop from
40 percent of GDP in 2012 to 32 percent of GDP in 2017.

King Mswati's government has refused to implement its own
fiscal recovery act, based on IMF advice, which calls for a drastic
cut in government spending and a reduction in the number of civil
servant jobs, the highest per capita in Africa.

However, Johannes Mongardini, the head of the IMF team that visited
the country last month, said public sector jobs need not be sacrificed
if less money was spent on the police and army and "very generous"
payouts to top government officials.

Mongardini said the IMF expected the royal family also to
take cutbacks. The IMF urged government spending policy to be directed
toward pro-poor and economy-building initiatives.

Swaziland's Finance Minister Majozi Sithole, an appointee of King
Mswati, responded with a blistering broadside against the IMF's
projections last month, calling them "pessimistic".



Sudan police teargas protesters after student deaths

Reuters

Sunday December 9



Khartoum-Police in Sudan used teargas and batons to repel
rock-throwing students on Sunday as tension simmered over the deaths
of four students following a protest against tuition fees.

The police moved in as more than 400 students marched from
the University of Khartoum through the center of the capital shouting
"The people want to overthrow the regime" and "Killing a student is
killing a nation".

The students pelted police cars with rocks for more than an hour.
Heavy traffic made it harder for the security forces to break up the
protesters, who scuffled with riot police for hours and burned a
government bus.

Sudan has avoided the mass protests that unseated rulers
in Tunisia, Egypt and Libya last year, but rising food prices and
other grievances have inspired smaller demonstrations.

On Saturday, activists blamed authorities for the deaths of four
students whose bodies were discovered in a canal in a farming region
south of Khartoum after a protest earlier in the week.

Students from Sudan's war-torn western region of Darfur
had staged a sit-in at a university there to demand they be exempted
from tuition fees, as a presidential decree allowed, according to a
member of a Darfur student association.

He said some students had disappeared after supporters of Sudan's
ruling National Congress Party broke up the protest.

Sudan's justice ministry decided to form a committee to
investigate the deaths at Gezira University, state news agency SUNA
reported on Sunday.

Police in Gezira state said late on Friday that two students had been
found dead in a canal and a third was missing. They said there were no
signs of violence.

Small demonstrations erupted across Sudan in June after
the government scaled back fuel subsidies and took other austerity
measures to contain an economic crisis brought on by the secession of
oil-producing South Sudan last year.

Those protests mostly petered out after a security crackdown and the
start of the Muslim fasting month of Ramadan.

An insurgency in Darfur has lasted almost a decade. Rebels took up
arms there complaining the government had neglected the region.



South Africa's Nelson Mandela 'looks well' in hospital

BBC News

Sunday December 9



Pretoria-South African President Jacob Zuma has visited Nelson Mandela
in hospital and says he "looks well after a restful night", Mr Zuma's
spokesperson said.

The president has been reassured that Mr Mandela is in the
hands of a competent medical team at the hospital in Pretoria, Mac
Maharaj told the BBC.

The 94-year-old was admitted to hospital on Saturday to undergo tests.

South Africans have been waiting for word on Mr Mandela's
condition amid messages of hope for a speedy recovery.

'Great person'

Mr Mandela was taken from his home in the rural village of
Qunu, in Eastern Cape province, to hospital in the capital on
Saturday.

Local media report that the decision to move him was taken so quickly,
some family members and his own foundation were initially unaware it
had happened.

Mr Zuma's office said on Saturday that Mr Mandela was
doing well and that there was "no cause for alarm", but did not give
details about the reasons for his admission.

Mr Mandela needs medical attention "from time to time which is
consistent with his age," the statement added.

The authorities are keen to respect Mr Mandela's privacy
and control any information about his health, the BBC's Andrew Harding
in Johannesburg reports.

Nelson Mandela's health scares

Feb 2012: In hospital for minor procedure to treat abdominal pain

Jan 2011: In hospital for a few days with serious chest infection

2001: Diagnosed with prostate cancer, of which he was cured

1994: Underwent cataract surgery soon after becoming president

1988: Diagnosed with early-stage tuberculosis while in prison

1985: Surgery for an enlarged prostate gland

But there is enormous public concern here for the man widely revered
as the father of democratic South Africa, he adds.

Prayers were held for the former leader at the Regina
Mundi Catholic church in the Soweto area of Johannesburg, once the
centre of protests and funerals during apartheid.

"Yes, it really worries us because he is a great person," churchgoer
Shainet Mnkomo told Associated Press. "He did so many things to the
country, he's one of those persons who we remember most."

The Congress of South African Trade Unions said it hoped
the government's statement about his condition was true, and urged Mr
Mandela to: "Get well and continue to inspire us".

Good spirits

Mr Mandela retired from public life in 2004 and has been
rarely seen in public since.

File picture taken on June 17, 2010 shows former Nelson Mandela at the
funeral of his great-granddaughter in Sandton, north of Johannesburg
Nelson Mandela is rarely seen in public

He served as South Africa's first black president between
1994 and 1999, and received the Nobel Peace Prize in 1993.

That was after spending more than two decades in jail under the white
minority apartheid regime.

Mr Mandela was last in hospital in February, when he
underwent a minor procedure to investigate the causes of abdominal
problem.

And in January 2011 he was treated for a serious chest infection. Mr
Mandela spends the majority of his time in Qunu, which is close to
where he was born.

Our correspondent says he is known to be frail and his memory is
fading, but visitors have repeatedly said he is in good spirits.



Cash-strapped Swaziland urged to hike witch-doctor tax

Reuters

Friday December 7



Mbabane-A Swazi Member of Parliament has urged the government to hike
taxes on traditional healers and soothsayers to help solve a funding
crisis in Africa's last absolute monarchy.

The mediums, known as sangomas in the landlocked southern
African nation, pay an annual 10 emalangeni ($1.15) license fee, but
MP Majahodvwa Khumalo said they had jacked up their fees fourfold in
the last few years and should pay more.

"A majority of our people consult traditional healers but the money
they pay to government falls far too short of the money they make," he
told parliament.

Swaziland's budget deficit ballooned to 15 percent of its
annual economic output in 2010 but the government managed to keep
itself afloat by running through central bank reserves and delaying
payment of wages to civil servants.

The International Monetary Fund (IMF) declined to launch a bailout
because of reluctance by King Mswati III, who has at least a dozen
wives and a personal fortune estimated at $200 million, to cut royal
or military spending.

The IMF has continued to press for reductions to what is
officially Africa's most bloated bureaucracy. In an in-depth
assessment of the economy published in February, it rated the scope
for raising more taxes as "small".

($1 = 8.6745 South African rand)



NUM celebrates 30 years

Sapa

Sunday December 9



Free State-Crowds sang at the James Motlatsi stadium in Orkney, in the
Free State, in celebration of the 30th anniversary of the National
Union of Mineworkers (NUM).

The union was founded on December 4, 1982, in Klerksdorp,
which is now known as Matlosana.

"The rally is going very well," said NUM spokesman Lesiba Seshoka.

He estimated that between 7000 and 10,000 people were at
the stadium.

"We've always been hoping to get around 10,000... We are within our
expectations," he said.

Some were still entering the stadium, while others were singing.

NUM president Senzeni Zokwana, Congress of SA Trade Unions general
secretary Zwelinzima Vavi, and SA Communist Party second deputy
general secretary Solly Mapaila were expected to speak.

"NUM has throughout the years become the only voice of the
voiceless mineworkers, construction and energy workers in the
country," the union said in a statement.

"It is through its gallant fight that miners who have for many years
of service taken only a helmet and a pair of boots on retirement have
retirement benefits today."



Nigerian finance minister's mother kidnapped

Reuters

Sunday December 9



Abuja-Kidnappers snatched the mother of Nigerian Finance Minister
Ngozi Okonjo-Iweala from her home in southeast Nigeria on Sunday,
security sources and the minister's senior aide said.

The abductors took the septuagenarian Kamene Okonjo from
the family home in Ogwashi-Uku, Delta State, the minister's special
adviser Paul Nwabuikwu said in a statement. Okonjo is the wife of the
traditional ruler of Ogwashi-Uku.

"At this point, it is difficult to say whether those behind this
action are the same people who have made threats against the
Coordinating Minister (Okonjo-Iweala) in the recent past or other
elements with hostile motives," he said.

"No possibility can be ruled out at this point."

A security source said it was not clear whether the motive was
political or ransom-seeking. The source in Abuja said three people had
already been arrested in connection with the kidnapping. He had no
further details.

Nigeria is one of the worst countries in the world for
kidnapping, a lucrative criminal enterprise worth millions of dollars
a year. Abductions are most rife in the oil states, especially Delta
state, where Okonjo-Iweala's family is from, but they are also common
throughout the south, including in the commercial capital Lagos.

Kidnapping for political reasons is less common, though it does occur.
Gangs operate throughout the Niger Delta, which is home to Africa's
largest oil industry. The majority of people abducted are Nigerians
but foreign oil and construction workers have also been frequent
targets.

Local newspapers carry a story about a new kidnapping
almost every day, often of professionals or relatives of politicians,
but rarely anyone as high profile as the finance minister's mother.

"This is obviously a very difficult time for the entire Okonjo family.
But the family is hopeful of a positive outcome as it fervently prays
for the quick and safe return of the matriarch," Nwabuikwu said.



Egypt opposition rejects planned referendum

Al Jazeera

Sunday December 9



Cairo-A major Egyptian opposition group has said that President
Mohamed Morsi's decision only to rescind a decree that gave him
sweeping powers and not scrap a referendum on a controversial draft
constitution has "fallen short of expectations" required to defuse
tensions in the country.

In an announcement on Sunday, the National Salvation
Front, the main umbrella group for opposition parties, said it
rejected the planned December 15 referendum, and warned that it would
lead to "more division and sedition."

"We do not recognise the draft constitution because it does not
represent the Egyptian people," said Sameh Ashour, who spoke on behalf
of the coalition.

The opposition is planning large rallies on Tuesday to
protest the decree. Supporters of the Muslim Brotherhood are also
organising their own rallies on Tuesday in Cairo, Alexandria and
Assiut.

Late on Saturday Morsi annulled the November 22 decree that also made
all his decisions immune to judicial review, but insisted that the
vote will go ahead as planned.

The opposition has repeatedly said that the constitution,
drafted by a Muslim Brotherhood-led constituent assembly, disregards
the rights of women and ignores personal freedoms.

"I cannot imagine that after all this they want to pass a constitution
that does not represent all Egyptians," Ahmed Said, another member of
the National Salvation Front coalition and the head of the liberal
Free Egyptians Party, told Reuters news agency.

He said the Front would meet later on Sunday to make a
formal response to Morsi's decision to scrap the decree.

Selim al-Awa, an official who attended Saturday's meeting between
Morsi and politicians from smaller opposition groups, said that,
legally, Morsi was unable to change the date of the referendum on the
draft charter.

He said that if the draft was voted down in the December
15 referendum, Morsi would call for an election within three months to
pick a new constituent assembly.

The main opposition groups had boycotted the talks, which lasted over
10 hours, and called on their supporters to step up protests.

Sameh Ashour, from the opposition National Salvation
Front, was among those calling on Egyptians to protest on Tuesday to
refuse the constitution.

"The National Salvation Front announces its total rejection of the
referendum and will not legitimise this referendum which will
definitely lead to more strife," he said.

"The Front invites Egypt's great people to protest
peacefully in various liberation squares in the capital this coming
Tuesday to show dissatisfaction at the president's disregard of the
people's demands and in refusal of the constitution that infringes on
rights and freedoms."

Annulment 'meaningless'

Khaled Dawood, spokesperson for the National Salvation
Front, said annulling the decree was "relatively meaningless".

"The key issue of securing the process of adopting of the constitution
is done," he told Al Jazeera.

Asked whether the opposition's goal was to unseat Morsi,
Dawood said: "This is definitely not in our agenda at all. Our agenda
is basically limited to having a new draft constitution that everybody
is satisfied about before going to a referendum.

"We respect he was elected with 51.7 per cent of the vote, but 48 per
cent did not vote for him.

"That means that he has to compromise, he has to build consensus."

On Sunday, a day after Morsi appeared to bow to political and public
pressure, a wall is being built around his presidential palace.

The barricade blocks any attempt by anti-government
protesters from reaching the palace gates.

Egypt has been hit by angry protests in the past two weeks to push
Morsi to reverse his expanded powers and suspend the constitutional
vote. The crisis has been the country's worst since Morsi took office
in June.



Ghana's Mahama wins election, opposition cries foul

Reuters

Sunday December 9



Accra-Ghana's electoral authorities said on Sunday incumbent leader
John Dramani Mahama won a new term as president in the West African
state in an election the opposition claimed was marred by tampering.

Mahama, who replaced former president John Atta Mills
after his death in July, took 50.7 percent of the ballots cast - just
enough to avoid a run-off with his chief rival Nana Akufo-Addo.

"Based on the results, I declare President John Dramani Mahama
president elect," Ghana Electoral Commission President Kwadwo
Afari-Gyan told a news conference in the capital Accra.

In a brief speech at his residence following the results,
an exhausted-looking Mahama said his win was a "victory for all
Ghanaians", and urged the leaders of rival parties to "respect the
voice of the people".

Supporters of Mahama drove through the streets of the sprawling
seaside capital playing loud music, shouting, and honking their horns
after the results.

The election is seen as a test of whether Ghana can
maintain more than 30 years of stability and progress in a region
better known for coups, civil wars and corruption.

A cliff-hanger election in 2008, in which Akufo-Addo lost by less than
1 percent, pushed the country to the brink of chaos, with disputes
over results driving hundreds of people into the streets with clubs
and machetes.

This year's election was fraught with delays after
hundreds of newly-introduced electronic fingerprint readers - used to
identify voters - failed on Friday and forced some polling stations to
reopen on Saturday to clear the backlog.

Security forces used teargas to disperse hundreds of supporters of the
Akufo-Addo's New Patriotic Party protesting in front of the electoral
commission building shortly before the results were declared.

NPP Chairman Obetsebi-Lamptey said earlier in the day that
he had evidence of electoral workers conspiring to rig tallies and
added the party asked the electoral commission for an audit before
full results are released.

Mahama has vowed to use rising oil revenues in Ghana, which started
oil production in late 2010, to jumpstart development, create jobs,
and combat poverty.

Akufo-Addo, a British-trained lawyer, had criticized the
ruling party for failing to root out government graft and promised to
provide free primary and secondary school education.

But in a country where campaign messages rarely influence voting
choices, many believe most of Ghana's 14 million voters cast their
ballots based on ethnic, social or regional ties.

Ghanaians are also electing a parliament, in which
Mahama's party has enjoyed a slim majority. Results were not yet
available for those races.

An oil-driven economic boom has brought more wealth to the country,
but also fears that it could suffer the graft and turmoil that often
plagues energy-rich developing nations.

TROUBLED POLLS

An NPP official was not immediately available to comment
on the results, but observers said an official dispute was likely,
raising fears of street unrest in the normally tranquil nation.

Ghana television stations aired long infomercials on Sunday, between
election updates, showing clips of wars that have erupted in
neighboring countries interspersed with testimonials from Ghanaians
about the importance of maintaining peace.

"This election has been hard, but we must remember
Ghanaians are one and we must love each other and remain peaceful,"
said Wellington Dadzie, 69, a former soldier who lives on the
outskirts of the capital Accra, before the results.

Ghanaian authorities deployed some 41,000 police and soldiers to
secure the election process.

Ghana has had five peaceful and constitutional transfers
of power since its last coup in 1981. Its residents like to say "Ghana
in peace, not in pieces".

Neighboring Ivory Coast tipped into civil war last year after a
disputed 2010 poll and regional neighbors Mali and Guinea-Bissau have
both suffered coups this year.

Oil production in Ghana - which is also a big cocoa and
gold producer - started two years ago and oil field operator Tullow
Oil says it expects to boost output further in 2013.

"These elections are important not just to Ghana but for the growing
number of states and actors seeking to benefit from increasing
confidence in Africa," said Alex Vines, Africa Research Director at
Chatham House.



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---------- Forwarded message ----------
From: "Zfn (Zimbabwe)" <z...@yoafrica.com>
Date: Tue, 11 Dec 2012 08:38:33 +0200
Subject: Overseas Press Summary + Alex Cartoon
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Zfn
Realtime financial intelligence
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*Rich gain as companies seek to beat Obama tax increases - Bloomberg

*Eskom to boost coal mining juniors - Reuters

*Standard Chartered fined $327 million for violating sanctions - CNNMoney

*Lawyer says Goldman failed speech software "geniuses" - Reuters

*Singapore tops HK as residence for mobile rich in Asia - Bloomberg

*General Motors to close Opel plant in Bochum - BBC News



International
*Strauss-Kahn reaches legal settlement with hotel maid - BBC News

*Life-sized Noah's Ark replica launched - AP

*Radio personalities apologize for prank call to duchess's hospital - CNN News

*Radio prank nurse: Post-mortem examination due - Sky News

*Who's living past 100 in the U.S.? Mostly white women - Reuters

*Museum denounces blasphemy investigation - Sapa

*U.S. intelligence agencies see a different world in 2030 - Bloomberg

*DNA mapping for cancer patients - BBC News

*Madoff trustee still pursuing assets - AP

*Singer, reality TV star Jenni Rivera dies in plane crash - CNN News

*Mexican president confident of key reforms in 2013 - Reuters

*Marijuana officially legal in Colorado with stroke of governor's pen
- CNN News

*Teacher suspended over suicide essay - AFP

*Champions League pain lingers for Torres - Super Sport



News from the Axis
*Syria rebels hope arms will flow to new fighter command - Reuters

*Navy identifies SEAL killed in Afghanistan rescue - CNN News

*Chavez faces cancer surgery in Cuba, vows he'll be back - Reuters



Political and General
*Resolutions of 2012 Zanu PF conference - New Zimbabwe

*ZANU PF admits millions owed to displaced farmers - SW Radio Africa

*My sister has found rest: Makone daughter - New Zimbabwe



Regional
*Mandela faces more tests in hospital after "good night's rest" - Reuters

*Now Bank of Zambia demands K 4 billion from MMD over the two
collapsed commercial banks - Lusaka Times

*Rhino poaching: South Africa and Vietnam sign deal - BBC News

*Kidnappers urged to release Nigerian minister's mother - Reuters

*Mozambique's 'growth corridor' hopes to tackle poverty and turn a
profit - The Guardian

*Mali prime minister arrested as he tries to leave country - Reuters





Financial & Global Economy
Wall Street edges up

AFP

Monday December 10



New York-US stocks were modestly higher on Monday, helped by
stronger-than-expected sales from McDonald's, but gains were
constrained as investors awaited any sign of progress in talks to
avert the so-called fiscal cliff.

Developments in Europe also tempered sentiment after
Italian Prime Minister Mario Monti said he would resign once the 2013
budget is approved.

The move added to uncertainty about reducing euro zone debt and drove
Italy's borrowing costs higher.

US President Barack Obama met with Republican House Speaker John
Boehner on Sunday to negotiate a deal for avoiding the "fiscal cliff"
that is set to go into effect in the new year.

The two sides declined to provide details about the
unannounced meeting. Obama is expected to make remarks at 2 p.m.
(21:00 SA time) from Michigan where he is touring an auto plant.

The fiscal cliff talks have kept markets on edge in the last month as
investors worry the scheduled measures could send the economy into
recession if politicians do not reach a deal.

While the negotiations are at the forefront of investors'
minds, most have adopted the position that a deal will be reached,
even if it is at the last minute, said Ryan Detrick, senior technical
strategist at Schaeffer's Investment Research in Cincinnati, Ohio.

"We haven't had any 'progress' the last two weeks or so, yet all in
all equity markets have continued to hang tough," said Detrick.

"The rhetoric from Washington is strong, but Wall Street is betting
something probably will get done."

The Dow was helped by a gain in McDonald's Corp. The fast
food chain's stronger-than-expected November sales marked a rebound
after a decline in October.

The stock was up 1 percent at $89.33.

The Dow Jones industrial average gained 32.64 points, or 0.25 percent,
to 13,187.77. The Standard & Poor's 500 Index added 1.09 points, or
0.08 percent, to 1,419.16. The Nasdaq Composite Index rose 9.90
points, or 0.33 percent, to 2,987.95.

Ingersoll-Rand Plc said it will spin off its security
division and announced a $2 billion share buyback, sending its shares
up 2.4 percent at $49.86.

Cisco Systems boosted the Nasdaq after it laid out its midterm growth
strategy on Friday. Its shares were up 2 percent at $19.72.



Britain's FTSE falls as Italian woes hit banks

Reuters

Monday December 10



London-Britain's benchmark share index edged lower on Monday, led by
financial stocks which fell on worries over Italy's economy after the
country's prime minister said he would resign.

Traders had mixed views over whether the fall would be
temporary, with some still expecting a traditional year-end rally,
while others backed selling equities in case the stock market fell
further.

The blue-chip FTSE 100 was down by 0.3 percent, or 17.63 points lower,
at 5,896.77 points by around midday, halting a three-week rally, with
the index having risen more than 5 percent from a low of around 5,600
points in mid-November.

Italian Prime Minister Mario Monti said on Saturday that
he would resign after the 2013 budget is approved, increasing
political uncertainty in the heavily indebted country and probably
bringing forward elections to February.

Hartmann Capital trader Basil Petrides said the uncertain outlook
meant investors should book profits on the back of recent gains on
equities, with the FTSE 100 up around 6 percent so far since the start
of 2012.

"If you've got profit on the table, it should be banked.
At the moment, I have a short-term negative bias. The market could
gently trickle lower," he said.

Banks and insurers, which are exposed to the euro zone's debt crisis
due to their sovereign bond holdings, were among the worst-performing
sectors, and Petrides said he had "short" positions out on that sector
to bet on further falls.

The FTSE 350 banking index <,FTNMX8350> was down by 0.8
percent, with HSBC accounting for much of the FTSE 100's fall as it
slipped 0.7 percent.

Worries over a deterioration in the euro zone crisis also hit
insurers, with Aviva falling 2.5 percent to make it the
worst-performing FTSE 100 stock.

"I am 'short' on Barclays and Aviva," said Petrides.

YEAR-END RALLY?

Securequity sales trader Jawaid Afsar had a more positive
outlook, expecting the market to have the year-end rally it
traditionally experiences, despite the problems in Italy.

The FTSE 100 is also trading above the 50-day and 200-day simple
moving average levels, which lie at around 5,800 points and 5,700
points, respectively, and which is often used as a sign by technical
traders that the index could rise further.

Oriel Securities strategist Darren Winder said UK miners
could be on track for a strong 2013, and Afsar also backed buying
shares in that sector.

Afsar added he was considering buying shares in Barclays following the
dip in the bank's share price. He said he could buy the stock at
around the 240-245 pence level, with Barclays down 1 percent on Monday
at around 249 pence.

Afsar said fund managers would still look to put money
into shares ahead of the year-end, with stocks offering better returns
via dividend payments than cash or sovereign bonds, where returns have
suffered due to interest rates at historic lows.

"There are a lot of fund managers who are underweight on equities, and
they'll be looking to put their money to work," he said.



Gold halts three-day advance before Fed meeting; ETPs set record

Bloomberg

Monday December 10



Singapore-Gold dropped for the first time in four days as some
investors sold the metal after prices climbed to a one-week high amid
speculation the U.S. Federal Reserve will expand monetary stimulus to
boost the economy.

Spot gold fell as much as 0.4 percent to $1,706.95 an
ounce before trading at $1,708.05 at 11:58 a.m. in Singapore.

Bullion rallied to $1,717.36 yesterday, the most expensive since Dec.
3, as the dollar weakened.

The Federal Open Market Committee meets today and tomorrow
for the last time this year.

The Fed may consider expanding purchases of assets after its so-called
Operation Twist of swapping $45 billion a month in short-term
Treasuries for long- term debt expires this month. Gold increased 9.2
percent this year as investors sought a haven from weakening
currencies after central banks around the world took steps to spur
growth.

"Much will hinge on the FOMC and its decision on what to
do once Operation Twist comes to an end," Nick Trevethan, a senior
commodities strategist at Australia & New Zealand Banking Group Ltd.,
wrote in a note today. "Momentum is on the side of the market. The
next test for gold will be whether it can break $1,721 resistance."

Gold for February delivery slipped 0.3 percent to $1,708.70 an ounce
on the Comex in New York. Holdings in exchange-traded products, up 12
percent this year, expanded to a record 2,629.315 metric tons
yesterday, data compiled by Bloomberg show.

Cash silver fell 0.8 percent to $32.99 an ounce, also
dropping for the first time in four days.

The metal climbed to a one-week high of $33.435 an ounce yesterday.

Spot platinum declined 0.3 percent to $1,619 an ounce, snapping a
three-day advance. The metal rallied to $1,627.32 an ounce yesterday,
the highest price since Oct. 19. Palladium dropped 0.2 percent to $700
an ounce after climbing to $705 yesterday, the highest since Sept. 14.



Oil gains on China data

AFP

Monday December 10



London-Brent North Sea crude for January added won $1.05 to $108.07
per barrel in late morning deals in London.

New York's main contract, light sweet crude for delivery
in January, or West Texas Intermediate (WTI), won 50 cents to $86.43 a
barrel.

"Crude oil prices found some well-needed support and climbed higher,
supported by fairly strong economic data from China, including robust
retail sales and factory orders, despite the fairly weak trade data,"
said Sucden analyst Myrto Sokou.

The National Bureau of Statistics on Sunday released data
showing production at China's factories, workshops and mines rising
10.1 percent year-on-year in November.

Also on Sunday the statistics bureau said retail sales, China's main
gauge of consumer spending, rose 14.9 percent year-on-year in
November.

The result, an improvement from October's gain of 9.6
percent, has led to optimism that the worst of a slowdown in China -
the world's second biggest economy - may be over.

However, data released on Monday showed Chinese exports rose 2.9
percent in November and imports were flat, while the trade surplus
sank to $19.6 billion from October's $32.0 billion, and well below
expectations for $27.8 billion.

"Oil is up, it's really reacting to the positive economic
news out of China," said Victor Shum, managing director for downstream
energy consulting at IHS Inc.

"It looks like China has turned the corner and the economy is
recovering with their latest manufacturing data," he told AFP.

Across in Vienna this week, meanwhile, OPEC will gather
for a ministerial meeting to decide on the cartel's oil production
ceiling, as a predicted drop in demand risks weighing on high crude
prices despite Middle East unrest.

The Organization of Petroleum Exporting Countries (OPEC), which pumps
out 35 percent of the world's oil, may also finally decide on a new
head after a vote to appoint a successor to Secretary-General Abdullah
El-Badri was postponed in June.

The 12-nation cartel, which includes the world's biggest
oil exporter Saudi Arabia and Iran - currently under an oil embargo -
was to hold a regular output meeting at OPEC's headquarters in the
Austrian capital on Wednesday.

At its last meeting in June, OPEC opted to keep its oil output ceiling
at 30 million barrels per day (mbpd) - after agreeing on the level a
year ago - and vowed to eliminate over-production.



HSBC 'to pay $1.9bn' in US money laundering settlement

BBC News

Tuesday December 11



London-HSBC is to pay US authorities $1.9bn (£1.2bn) in a settlement
over money-laundering, say reports, the largest ever in such a case.
The UK-based bank was alleged to have helped launder money belonging
to drug cartels and states under US sanctions.

Earlier this year HSBC admitted having poor money
laundering controls following a US Senate investigation.

Last month announced it had set aside $1.5bn to cover the costs of any
settlement or fines.

The deal could be announced as early as Tuesday, the Wall
Street Journal reports.

It follows the announcement of a similar but much smaller settlement
with UK-based Standard Chartered bank, which will pay $300m in fines
for violating US sanction rules.

The cases are seen as part of a crackdown on money
laundering and sanctions violations being led by federal government
agencies and New York state authorities.

The $1.9bn sum in the HSBC settlement is expected to include around
$1.25bn forfeited by HSBC - the largest amount ever paid out in such a
case - and a $650m civil fine.

The bank will also admit charges of violating bank secrecy
laws and the Trading With the Enemy Act, reports suggest.

Senate criticism

The settlement had been widely expected following a report
by the US Senate, published earlier this year, that was heavily
critical of HSBC's money laundering controls.

The report suggested HSBC accounts in Mexico and the US were being
used by drug barons to launder money.

It cited examples including the transfer of $7bn between
HSBC's Mexican and US subsidiaries between 2007 and 2008, made despite
Mexico's reputation as a centre of drug smuggling.

It also said HSBC regularly circumvented restrictions on dealings with
Iran, North Korea, and other states under US sanctions.

HSBC admitted its money laundering controls were not
strong enough following the Senate report.

On Tuesday the London-based multinational announced it had appointed a
former US official to work as its head of financial crime compliance -
a new position.

Bob Werner was previously the head of the US Treasury's
Office of Foreign Assets Control (OFAC) - the agency responsible for
enforcing the US sanctions on countries including Iran.

He will be responsible for beefing up HSBC's anti money laundering and
sanctions compliance systems.

It is unclear what impact the case will have on HSBC's business.
The bank is the biggest in Europe by market capitalisation, and made
pre-tax profits of $12.7bn for the first six months of 2012.



BoE's King warns of growing currency competition

Reuters

Monday December 10



New York-The head of the Bank of England warned on Monday that too
many countries were trying to weaken their currencies to offset the
impact of the slow global economy and the trend could grow next year.

"You can see, month by month, the addition to the number
of countries who feel that active exchange rate management, always to
push their exchange rate down, is growing," Mervyn King said in a
speech.

"My concern is that in 2013, what we will see is the growth of
actively managed exchange rates as an alternative to the use of
domestic monetary policy," he told the Economic Club of New York. King
did not identify any countries.

He also criticized what he said was backtracking by the
Group of 20 leading economies to fix the imbalance between countries
with trade surpluses and those with deficits, despite vows by the
group to make rebalancing the world economy a priority after the
financial crisis erupted.

Central banks, including the Bank of England, have kept interest rates
very low and used unprecedented policies such as massive asset
purchases to try to stir growth.

Pumping so much money into developed economies, however,
can put upward pressure on currencies of emerging economies, hurting
those countries' exports.

Brazil and China, as well as more economically developed Japan and
Switzerland, have taken steps to push down the value of their
respective currencies in recent years.

The BoE has so far bought 375 billion pounds ($603
billion) mostly in government bonds to help lift the British economy
out of the doldrums.

Countries with trade surpluses are often reluctant to boost domestic
spending that would allow deficit countries to rebalance by exporting
more.

"This is a problem which has to be tackled," King said,
citing a divide between some surplus and deficit countries within the
euro zone.

CURRENCY WARS

The warnings by King, who is set to step down in July,
echo those made in October by U.S. Federal Reserve Chairman Ben
Bernanke, who delivered a blunt call for certain emerging economies to
allow their currencies to rise.

The back and forth of monetary stimulus and foreign-exchange
intervention has complicated any coordinated efforts to recover from
the Great Recession.

"It is fair to say a recovery of a durable kind is proving
elusive," King said in his speech.

Fielding questions later, he said he had "great confidence" that the
United States will avoid the worst-case effects of the so-called
fiscal cliff of automatic tax hikes and spending cuts due to come into
force in January.

It "will find a way, if not avoiding going over the cliff,
then hanging on by the finger tips" on the other side, he said.

Some political analysts predict the Republicans and Democrats will
fail to agree on raising taxes and cutting spending before January 1
but might do so soon afterwards.

THE GOVERNOR'S WIFE

Britain recorded economic growth of 1.0 percent in the
third quarter, marking an end to nine months of recession - its second
since the 2008-09 financial crisis. But most of the rebound was driven
by a technical bounce due to the London Olympics and extra public
holidays in the preceding quarter.

The euro zone debt crisis, high inflation and fiscal austerity have
weighed heavily on the economic recovery.

The address may be one of King's last in the United
States. Mark Carney, currently the head of Canada's central bank, is
set to be the first non-Briton to lead the BoE next summer.

King recalled the day his wife saw the surprising news that Carney was
named to the post.

"She said, 'You know Mervyn, they'll miss you, or six
months down the road they'll miss you,'" King told the audience.

"And then she looked at the TV screen and said: 'He's very young, he's
very good looking, he's immensely charming and he's very charismatic.'
I think he'll do a great job and they won't miss me at all."

($1 = 0.6221 British pound)



Italian politics returns to haunt Europe

CNNMoney

Monday December 10



London-Italy's return to political instability is a stark reminder for
investors that Europe faces a long uphill battle to emerge from its
economic crisis.

European shares, the euro and Italian government bonds all
sold off Monday after Prime Minister Mario Monti said he would resign
later this month.

The announcement follows the withdrawal of support for Monti's
technocrat government by former premier Silvio Berlusconi and his
People of Freedom party, which ended an uneasy political truce.

Spanish bonds also suffered as investors sought to reduce
their exposure to other heavily-indebted eurozone countries.

Monti, a former European Commissioner, has been credited with
restoring confidence in Italy, as well as with its eurozone partners
and investors, thanks to his commitment to reduce government borrowing
and introduce economic and political reforms.

While yields on 10-year Italian government bonds have
risen to nearly 5% from 4.5% over the past week, they remain way below
the 7% level Monti inherited a year ago, when he succeeded
scandal-ridden Berlusconi, who resigned under pressure for failing to
reign in borrowing.

"These latest political developments should remind investors that
there is currently not much political stability in Italy, and its bond
market should reflect this," Nomura economists said in a research
note.

Italy has also benefited this year from the European
Central Bank's announcement that it is prepared to buy bonds of ailing
nations, provided they sign up for a formal bailout -- a move Monti
has insisted the eurozone's third-biggest economy does not need.

Monti's technocrat government, which until last week was backed by a
broad coalition of Italian political parties, has raised taxes, cut
spending and introduced reforms in a bid to control Italy's soaring
debt, which stands at some 130% of gross domestic product.

Fiscal tightening, weak confidence and tight credit supply
have kept Italy deep in recession for the past five quarters.

The economy is expected to shrink by about 2.4% this year, and
continue to contract in 2013.

Unemployment hit 11% in October and is forecast to rise
even further next year.

The OECD and some private forecasters believe Monti's fiscal targets
are overly optimistic, and that further austerity measures will be
needed in 2014 to wipe out the structural budget deficit. Political
instability may also delay the implementation of product and labor
market reforms, making a return to growth harder.

Berlusconi's announcement last week suggests he will use
the campaign to launch a populist attack on Monti's record, austerity,
and Europe.

"All this will hardly appease financial markets," noted UBS economist
Matteo Cominetta.

"Investors should therefore prepare for a volatile couple of months
in the run up to the elections."

BNP Paribas' co-head of European economics Luigi Speranza
said investors have been underestimating the risk of an intense debate
leading up to Italy's elections early next year, but that the outcome
would ultimately be positive.

Others analysts agree that recent events have changed little for
Italy's longer term outlook, with opinion polls pointing to victory
for a centre-left coalition broadly supportive of Monti's plans.

But the instability could complicate further efforts to
push forward reform at a European level. Finance ministers, then heads
of state, meet later this week to try to hammer out details of a
common system of banking supervision in the eurozone, seen as a
critical first step to stop failing banks tipping member states into
insolvency.

Monti, a strong advocate of European integration, will be a less
influential voice at the table.

Berlusconi said late Monday that he's ready to advocate for a
stronger union. 'I've always been a convinced Europe believer and I've
always fought for a less bureaucratic Europe and a stronger political
union, a common monetary union, and a common foreign policy, with a
common defence policy, and there fore for a Europe that carries a
heavier weight on the international field," he said in a press
communique that appeared in Italian daily La Republica.



Rich gain as companies seek to beat Obama tax increases

Bloomberg

Tuesday December 11



Washington-The wealthy look set to enjoy a windfall in the closing
weeks of the year as companies push money out the door to beat the
higher tax rates advocated by President Barack Obama.

Americans working on the production line are not seeing
the kinds of gains the rich are enjoying. Average hourly earnings for
production workers rose 1.3 percent in the 12 months to November after
a 1.2 percent increase the prior month, the weakest since Labor
Department records began in 1965. Photographer: Scott Eells/Bloomberg

More than 150 companies, from Costco Wholesale Corp. to Las Vegas
Sands Corp. (LVS), have declared special dividends totaling about $20
billion this quarter to avoid anticipated tax increases in 2013,
according to data compiled by Bloomberg. Others, including law and
private-equity firms, probably will pay bonuses, partnership
distributions and commissions early for tax reasons, according to Lou
Crandall, chief economist at Wrightson ICAP LLC in Jersey City, New
Jersey.

"We're going to have a big jump in household income in the
fourth quarter" said Crandall, whose company is a subsidiary of ICAP
Plc, the world's largest broker of transactions between banks. "It's
going to be in excess of $50 billion."

Much of that will go to upper-income Americans, the very people Obama
has targeted to pay higher taxes, including Las Vegas Sands
controlling shareholder and Chief Executive Officer Sheldon Adelson.

Of the $123.6 billion in qualified dividends reported to
the government for 2009, about 52 percent was received by those making
more than $250,000 for the year, according to the latest data
available from the Internal Revenue Service.

Americans working on the production line are not seeing the kinds of
gains the rich are enjoying. Average hourly earnings for production
workers rose 1.3 percent in the 12 months to November after a 1.2
percent increase the prior month, the weakest since Labor Department
records began in 1965.

'Less Equal'

"This is just another indication of how incredibly unequal
the income distribution has become over the past 28 years," said Josh
Bivens, research and policy director at the Economic Policy Institute,
a Washington group that says it focuses on the economic condition of
low- and middle-class Americans. "Wages are less equal than they used
to be and capital income is less equal than it used to be, and there's
been a shift from labor income to capital income."

The money won't have much impact on consumer spending or economic
growth because the wealthy are more likely to save rather than spend
it, said Michael Feroli, chief U.S. economist for JPMorgan Chase & Co.
in New York.

"If they really wanted to spend, they would have spent by
now," the former Federal Reserve economist said.

Casino Dividend

Costco's dividend of about $3 billion was the largest
announced in the fourth quarter as of Nov. 28, exceeding a $2.3
billion payment from Las Vegas Sands, according to a report by
Citigroup Inc. strategist Erin Lyons. The payment from Las Vegas Sands
would give Adelson $1.2 billion, according to Bloomberg calculations.

Adelson and his wife, Miriam, contributed $33 million to two
super-political action committees in the last three weeks of the
presidential election campaign in an unsuccessful effort to defeat
Obama, Federal Election Commission filings show.

U.S. stocks rose today, after the longest weekly rally in
the Standard & Poor's 500 Index since August, as economic data in
China beat estimates and investors watched the latest developments in
American budget talks. The S&P 500 rose less than 0.1 percent to
1,418.55 at 4 p.m. New York time.

China's industrial output climbed 10.1 percent in November from a year
earlier and retail sales growth accelerated to 14.9 percent, while
inflation was 2 percent, the statistics bureau said yesterday.

Business Confidence

Reports in Europe today showed French business confidence
and industrial production unexpectedly declined as President Francois
Hollande grapples with a budget deficit and an economy that is on the
verge of recession.

U.S. households probably will have their incomes squeezed next quarter
as a temporary payroll-tax cut expires and emergency unemployment
benefits are scaled back, Feroli said.

And unlike the year-end boost to incomes, the hit to
paychecks in 2013 will affect spending and the economy -- for the
worse -- because cash-strapped Americans will feel the pinch, he
added. He reckons that budget belt-tightening on the federal, state
and local levels will shave two percentage points off growth next
year. The economy will expend 1.7 percent in 2013, after climbing 2.2
percent this year, according to Feroli.

Automatic Cuts

Obama has said an increase in tax rates on income above
$200,000 for individuals and $250,000 for married couples must be part
of a deal to prevent the rest of the more than $600 billion in
automatic spending cuts and tax increases from taking effect in 2013.

Under the president's proposal, the top statutory tax rate on ordinary
income would reach 39.6 percent, up from 35 percent, and the top rate
on capital gains would be 23.8 percent, up from 15 percent. The
maximum rate on dividends would go to 43.4 percent from 15 percent.

The government stands to benefit from higher revenue in
the short run as companies and investors position themselves ahead of
the end of the year. In the long run, the government might suffer,
said Eric Toder, co-director of the Tax Policy Center in Washington.

The IRS will collect taxes on dividends that might not have otherwise
been paid out when 2012 tax returns are filed. The Treasury Department
also will enjoy higher revenue from capital gains taxes as investors
unload shares to lock in profits before a possible rate rise in 2013.

Selling Securities

More than two out of five U.S. investors surveyed last
month said they are selling securities that have appreciated in price
ahead of the end of the year, according to the latest Bloomberg Global
Poll.

What may be lost is the ability of the government to tax that income
at a higher rate in the future, Toder said.

"You could see a tax windfall in year one," said Chris
Philips, a senior analyst at Vanguard Group Inc.'s Investment Strategy
Group in Valley Forge, Pennsylvania. "But the knock-on effects in
years two through whatever are questionable."

Wal-Mart Stores Inc., the world's largest retailer announced on Nov.
19 that it was moving the payment of its fourth-quarter dividend to
Dec. 27 instead of the previously scheduled Jan. 2.

"Wal-Mart's board recognized that there are complex fiscal
and federal tax-rate issues that may not be resolved in the next few
weeks," Randy Hargrove, a spokesman for the Bentonville,
Arkansas-based retailer, wrote in an e-mailed statement.

Limited Impact

The impact on the economy of the fourth-quarter lift to
income will be limited, if history is any guide.

In December, 2004, Microsoft Corp. offered a $32 billion special
dividend. The payout helped boost personal income by 3.3 percent from
the prior month, the largest gain in the last 19 years, according to
the Commerce Department in Washington.

Consumer-spending growth slowed in the first quarter of
2005 as Microsoft investors saved the money they received, Commerce
statistics show.

A similar pattern was evident in the early 1990s as companies brought
forward payments of bonuses and other compensation in anticipation of
tax increases by incoming President Bill Clinton in 1993 and a payroll
tax rise in 1994.

Personal income surged 3.4 percent in December of 1992 and
of 1993, the largest jumps since 1950.

Yet the growth of spending the following month slowed in both cases,
according to Commerce Department data.

"If you're a high-income person, whether you get cash in
December or January isn't going to make much difference," Toder said.

Except in this case, they'll be paying lower taxes, he added.



Eskom to boost coal mining juniors

Reuters

Monday December 10



Johannesburg-South African power utility Eskom plans to set up a fund
to assist black-owned junior coal producers develop new mines to
secure future supplies for its power plants, it said on Monday.

Eskom is keen to diversify its supply base away from
majors such as BHP Billiton, Xstrata and Anglo American and to buy
more product from black-owned firms, in line with government policy to
redress apartheid's legacy.

"We would want to see that more than the majority of our suppliers
would be (black-owned) companies," Eskom Chief Executive Brian Dames
said.

South Africa produces around 250 million tonnes of coal
each year, with 130 million of that procured by Eskom. More than 60
percent of that coal is bought from mining majors.

Junior mining companies in South Africa have struggled to get their
projects off the ground, lacking technical expertise and capital.

Eskom has an urgent need to spur development of new mines,
with 85 percent of the electricity it generates coming from coal-fired
plants.

PowerLines

The utility has already contracted 80 percent of the coal
it needs up to 2018, but there is a major shortfall after that.

"We have a shortfall, particularly from 2018 onwards, that is
significant," Dames said. "To have the mines operating by 2018 we need
to start immediately."

The utility will work with development financing
institutions to set up the fund and hopes for some consolidation in
the industry to create new mines of scale.

Eskom is also collaborating with logistics group Transnet to develop
railway links to the Waterberg coal fields, touted to become the
country's key coal hub as reserves in the Witbank area east of
Johannesburg are nearing depletion.

In the past, Eskom has complained about the quality of
coal received from mining companies, saying producers had been
favouring more lucrative exports over supplies to the utility. Eskom
says this hurts its performance.

South Africa suffered a major power crisis in 2008, which shut mines
and smelters for days, costing the economy billions of dollars in lost
output.

Eskom's push to secure long-term coal supplies is part of its
desire to avoid a repeat of the shutdown.



Standard Chartered fined $327 million for violating sanctions

CNNMoney

Monday December 10



New York-U.K. bank Standard Chartered agreed to pay $327 million to
U.S. authorities Monday to settle charges it violated international
sanctions on transactions with Iran, Burma, Libya and Sudan.

The U.S. Treasury Department said the bank's London and
Dubai offices illegally stripped critical information from financial
transaction records between 2001 and 2007. The bank took names of
customers from these countries, and replaced them with special
characters, so other banks were not able to see where the transactions
were coming from or where they were going.

In a statement, Standard Chartered admitted it had handled $24 million
of transactions on behalf of entities in Iran and a total of $109
million in the other nations against which the U.S. had imposed
sanctions.

While not a household name in the United States, Standard
Chartered is a major global bank.

It is based in London, but has offices in the United States,
subjecting it to U.S. banking laws and regulations.

Standard Chartered said it had since done a review to
comply with sanctions.

"In the more than five years since the events giving rise to today's
settlements, the bank has completed a comprehensive review and upgrade
of its compliance systems and procedures," it said.

In August, the bank had agreed to pay a $340 million civil
penalty to settle money-laundering charges brought by the New York
Department of Financial Services. At the time, Benjamin Lawsky, the
superintendent of New York's top banking authority, came under fire
for acting unilaterally.

The New York agency was not party to Monday's settlement. Other
agencies that were part of Monday's agreement were the Federal
Reserve, the U.S. Attorney's Office for the District of Columbia, the
Department of Justice and the New York District Attorney's Office. The
Fed will get $100 million of the fines, while law enforcement agencies
will get the remaining $227 million. Treasury's share of the fines
will go to the Justice Department.

The Treasury Department has imposed more than $2 billion
in fines since 2005 on a number of foreign banks for violating U.S.
sanctions, including a $617 million criminal fine against ING Bank
(ING) in June. Lloyds Bank (LYG), Credit Suisse (CS), Barclays (BCS)
have also been fined for laundering money for Iran, North Korea, Sudan
and other nations under U.S. sanctions. HSBC (HBC) was accused in July
by Senate investigators for failing to prevent billions of dollars in
transfers for drug cartels and terrorist groups.

Shares of Standard Chartered (SCBFF) were only slightly lower in New
York trading Monday following the announcement, and were slightly
higher in London trading.



Lawyer says Goldman failed speech software "geniuses"

Reuters

Monday December 10



Boston-Goldman Sachs bankers failed to raise red flags about Lernout &
Hauspie's accounting irregularities more than a decade ago, costing
speech recognition software pioneers at Dragon Systems nearly all of
their life's work and about $600 million, a lawyer told a jury on
Monday in federal court.

"They were relying on Goldman to take care of them and
whether or not they should be worried about these questions,"
plaintiffs' lawyer Alan Cotler said in his opening statement.

He kicked off what is expected to be a two-month courtroom battle in
U.S. District Court in Boston.

The trial pits Janet and James Baker, a suburban Boston
husband-and-wife team that launched Dragon from the living room of
their home with $30,000, against Goldman Sachs, the iconic Wall Street
bank whose reputation has been tarnished in more recent years on
allegations it has treated some clients shabbily.

In the case brought by the Bakers, Goldman Sachs Group Inc denies
civil claims that include gross negligence and breach of fiduciary
duty. Opening statements from Goldman's legal team could come later on
Monday or early Tuesday when the trial resumes.

In 2000, just months after Belgium-based Lernout & Hauspie
acquired Dragon for $580 million in an all-stock deal, the company
collapsed in an accounting scandal that sent it reeling into
bankruptcy.

The Bakers owned 51 percent of Dragon, but only sold a few million
dollars worth of their stock because of restrictions, Cotler told a
jury. He added that the couple later received a $70 million settlement
from a group of companies that advised Lernout & Hauspie in the
transaction with Dragon.

The Bakers and two other early Dragon employees are
seeking at least several hundred million dollars in damages.

In 1999, Dragon Systems hired Goldman as its financial adviser. The
company, started in 1982 in West Newton, Massachusetts, was struggling
and Lernout & Hauspie emerged as a buyer when another suitor decided
not to pursue a deal, according to Goldman's defense in the case.

Cotler said a team of four Goldman bankers, led by Richard
Wayner, gave favorable and positive advice about Lernout & Hauspie in
the weeks before the deal closed. Goldman was about to earn $5 million
for its work, court papers show.

Goldman's team, however, had concerns about L&H's exponential revenue
growth in Asia. Cotler said Goldman did not even take one of most
preliminary steps in vetting L&H's revenue claims -- contacting L&H
customers in Asia.

In fact, the Goldman team internally was not satisfied
with the answers it was getting from L&H on deal-critical red flag
issues, particularly the company's Asia revenue growth, Cotler said.

Still, during a conference call with Goldman's Lernout & Hauspie
expert in London, further positive assurances were given to Dragon's
leadership, Cotler said.

Only years later did the Goldman analyst from that call
admit he wasn't aware of the extent of Lernout & Hauspie's Asian
revenue growth. Had he known, he would have been skeptical, Cotler
said.

"These were salt of the earth people who are geniuses at what they
do," Cotler said, describing the key figures at Dragon. But the world
of Wall Street and high finance was unfamiliar terrain for them. It
was the reason why they put their faith in Goldman, the best and
biggest investment bank in the world, he added.



Singapore tops HK as residence for mobile rich in Asia

Bloomberg

Tuesday December 11



Hong Kong-Singapore topped Hong Kong as the most desired place in Asia
for so-called mobile millionaires to reside, with quality of life
cited as the main attraction, a RBC Wealth Management (RY) survey
showed.

Almost a third of the millionaires in Asia who live, work
or spend more than half their time outside their countries of origin
prefer Singapore, while 24 percent pick Hong Kong, the second most
popular in the region, RBC and The Economist Intelligence Unit said in
a joint research report yesterday.

Singapore topped Hong Kong as the most desired place in Asia for so
called mobile millionaires to reside, with quality of life cited as
the main attraction, a RBC Wealth Management survey showed.

Real estate led the list of preferred assets for the
internationally mobile wealthy, according to the survey, which showed
23 percent of those in Singapore reporting a "high propensity" for
property investment, compared with 7 percent in North America. The
island's home prices climbed to a record in the third quarter,
prompting the government to restrict home loans and cap property
development.

"Singapore always has this quality as a safe haven, not just for your
money, but also for your family," said Wai Ho Leong, a senior regional
economist at Barclays Plc in Singapore.

For mobile millionaires who moved to Singapore, 89 percent
ranked quality of life as important and 83 percent cited the country's
political stability as important, the survey showed. Infrastructure
and educational opportunity were also given as reasons to live there.

Most Millionaires

Singapore posted a 14 percent increase in millionaire
households to 188,000 last year, when the Asia-Pacific region
countered a decline in wealth in Western Europe and the U.S.,
according to a Boston Consulting Group report published May 31.

The proportion of millionaire homes in the city was 17 percent, the
highest in the world, followed by Qatar and Kuwait, according to
Boston Consulting Group. Singapore has a population of 5.3 million, of
which about 2 million are foreigners.

"High net worth individuals with global outlooks for their
businesses and families are choosing Singapore to live and invest in,"
Barend Janssens, the Singapore-based head of RBC's wealth-management
unit for emerging markets, said in a statement.

The city-state is grappling with the elevated inflation that comes
with years of economic growth and population expansion on an island
smaller than New York City, with rising demand fueling record property
and car prices.

Property Boom

In the three months ended Sept. 30, the island's private
residential property price index rose 0.6 percent to a record 208.2
points, according to government data. In prime districts, apartment
prices gained 0.2 percent, compared with a 1 percent increase in the
suburbs.

The Monetary Authority of Singapore told lenders on Oct. 5 to restrict
home-loan maturities "to curb continued upward pressure on residential
property prices," in an attempt to avert a housing bubble. The
government said in September it plans to cap the number of homes that
can be developed in suburban projects as it seeks to curb the
increasing trend of so-called shoebox apartments.

The cost of a permit to own a small car for 10 years rose
to an unprecedented S$78,523 ($64,300) on Dec. 5 from S$46,889 at the
start of the year. That excludes the cost of buying a car. The
government auctions limited vehicle permits to control congestion and
pollution.

"Only if you're very young and highly qualified would you want to
rough it out in Hong Kong for a few years," Leong said. "But once you
have kids, the pollution gets to you, the lack of greenery gets to
you, the crowdedness gets to you."

Price Controls

The country has tightened monetary policy this year, while
neighbors from Thailand to the Philippines cut interest rates,
spurring gains in the currency even as the government predicts gross
domestic product will rise at the slowest pace in three years.

Price gains in Singapore have reached 4 percent or more every month
bar one since November 2010, more than double the 1.9 percent average
in the past two decades. Inflation is forecast by the central bank to
average more than 4.5 percent this year.

"A wider range of services has been developed, catering to
high-end needs," Leong said. "We've won the battle as the destination
to live in because we've focused on the non- financial aspects of
growth, meaning we've invested in greening Singapore, making it easy
for families to live here."

RBC Wealth Management, part of Toronto-based Royal Bank of Canada, and
EIU, a London-based unit of The Economist Group, surveyed 558
individuals who have at least $1 million of investable assets through
June to October.



General Motors to close Opel plant in Bochum

BBC News

Monday December 10



Bochum-Opel has said it will end car production at its Bochum
manufacturing plant in Germany in 2016 after production of its Zafira
Tourer car ends. General Motors' European subsidiary said the decision
was a response to a slump in car sales in Europe.

The decision might help safeguard the future of Opel's
Ellesmere Port plant in the UK, where it trades as Vauxhall.

Opel employs 3,300 people at the Bochum plant, though some jobs might be saved.

The carmaker said it might manufacture components at the
plant after 2016, and that its warehouse in Bochum will remain
operational.

GM estimates it stands to lose more than $1.5bn (£935m; 1.2bn euros)
on its European operations this year.

It aims to return Opel and Vauxhall to profit by 2015, but
the brands are heavily dependent on the European market where industry
wide new car sales fell by 7.3% in the first 10 months of the year,
according to data from the European Automobile Manufacturers'
Association.

'Enormous overcapacity'

Talks with the unions about closing Bochum, which is one
of Opel's four manufacturing plants in Germany, had been taking place
since June.

"Despite rigorous efforts, there was no success in changing the
situation," Opel said in a statement.

"The main reasons are the dramatic declines in the
European car market and the enormous overcapacity in the entire
European auto industry."

Opel has decided it needs to reduce its manufacturing capacity in
Europe, having lost money 12 years running.

Bochum is one of Opel's four manufacturing plants in
Germany, where it employs some 20,000 people.

"It's a severe blow that affects a lot of people and their families
and the Bochum region as well," said government spokesman Georg
Streiter.

"The workforce's anger is understandable because there
have been some decisions by GM in the past that certainly weren't
helpful, for example the lack of access to certain markets but also
the treatment of employees, which has been anything but exemplary,

"The German government ... has the expectation that the parent company
General Motors will do everything possible to find socially acceptable
solutions."

A union official representing the workers at the Bochum
plant said they had not given up the fight.

"We have at least four years to make clear that we want to continue
building cars in the following years," said Rainer Einenkel, head of
the factory's employee council.



International
Strauss-Kahn reaches legal settlement with hotel maid

BBC News

Monday December 10



New York-Former International Monetary Fund chief Dominique
Strauss-Kahn has signed a settlement with a hotel maid who accused him
of sexual assault, a New York judge says.

Details of the 63-year-old's agreement with Nafissatou
Diallo will remain confidential, the judge added.

Mr Strauss-Kahn was held in New York in May 2011 after Ms Diallo, 33,
said he assaulted her in his hotel suite.

Prosecutors later dropped charges amid concerns about her
credibility.

The incident was widely seen as having ruined Mr Strauss-Kahn's chance
of becoming the Socialist presidential candidate in his native France.

New York State Supreme Court Justice Douglas McKeon
announced on Monday that after lengthy negotiations, the parties "came
together and put terms of a settlement on the record".

Now that there has been a settlement, we will probably never know
exactly what transpired between the head of the IMF and the immigrant
hotel maid from Guinea at the hotel Sofitel in Manhattan. There was
forensic evidence of a sexual encounter of some kind. Mr Strauss-Kahn
insisted it was consensual, Ms Diallo said he attempted to rape her.

The criminal case collapsed after the prosecution said Ms
Diallo had credibility issues. Now her attempt to bring a civil case
has been settled for an undisclosed amount. Two very different lives
have been turned upside down by the encounter, and Mr Strauss-Kahn's
ambitions to be president of France lie in ruins.

The amount of the settlement was kept confidential.

Mr Strauss-Khan did not attend the hearing, but Ms Diallo
was in court.

After the settlement, the judge thanked all parties and said it was a
"privilege to work with all of you".

Outside the courtroom, Ms Diallo made a short statement:
"I thank everybody all over the world and everybody at the court, and
God bless you all."

Her lawyer, Kenneth Thompson, said afterwards that she was "ready to move on".

In May 2011, Ms Diallo, a Guinean immigrant with a teenage
daughter, said Mr Strauss-Kahn had forced her to perform oral sex when
she went to clean his hotel room.

He was arrested, charged with attempted rape and forced to resign from
his post at the International Monetary Fund.

Mr Strauss-Kahn had previously admitted to a "moral
failing", but insisted their sexual encounter was consensual.

In the wake of Ms Diallo's accusations, other women came forward with
sexual assault allegations against him.



Life-sized Noah's Ark replica launched

AP

Monday December 10



Dordrecht-A full-scale replica of Noah's Ark has opened its doors to
the public in the Netherlands.

Stormy weather Monday could do nothing to dampen the good
mood of its creator, Dutchman Johan Huibers. In fact, the rain was
appropriate.

In the Biblical story, God orders Noah to build a boat big enough to
save animals and Noah's family while Earth is covered in an enormous
flood.

Johan interpreted the description given in Genesis to
build his ark. It measures in at a whopping 130 meters (427 feet)
long, 29 meters (95 feet) across and 23 meters (75 feet) high.

Huibers says he realized a 20-year dream to educate people about
history and faith. The ark has received permission to receive up to 3
000 visitors a day.



Radio personalities apologize for prank call to duchess's hospital

CNN News

Monday December 10

Sydney-The two Australian radio personalities who made the prank phone
call to a British hospital caring for the pregnant Duchess of
Cambridge made tearful apologies Monday for making the call, which may
have led to the suicide of a nurse who spoke to the pair.

Mel Greig and Michael Christian, both crying at times,
told two Australian television shows Monday that their thoughts are
with the family of Jacintha Saldanha, the 46-year-old nurse who put
the prank call through to the ward where the duchess was.

Saldanha apparently committed suicide Friday.

"I'm very sorry and saddened for the family, and I can't
imagine what they've been going through," Greig said on the program
"Today Tonight."

Christian described himself as "gutted, shattered and heartbroken."

"For the part we played, we're incredibly sorry,"
Christian said on "Today Tonight."

The pair said the idea for the call came out of a production meeting
before their 2DayFM show, the idea being to capitalize on what was the
hottest topic in the news, Catherine's pregnancy.

The prank has drawn public outrage, which has snowballed
since the nurse's death.

"This death is on your conscience," reads one post on 2DayFM's
Facebook page. Several posters accused Greig and Christian of having
"blood on your hands."

But in their interviews Monday, both stressed that while
they made the call to King Edward VII Hospital, they did not have a
say on whether it went to air. The call was recorded and then went
through a vetting process at their network, Southern Cross Austereo,
before it was broadcast, they said.

"This was put through every filter that everything is put through
before it makes it to air," Christian said in an interview with the
program "A Current Affair."

But Christian said he did not know what that vetting
process entailed.

"I'm certainly not aware of what filters it needs to pass through," he
said. "Our role is just to record and get the audio," Christian said.

Greig and Christian said they never expected the prank
call to be successful.

Posing as Queen Elizabeth and Prince Charles, the pair said they
thought their bad accents would give them away and whoever answered
the phone at the hospital would hang up on them.

"We wanted to be hung up on with our silly voices," Greig said.

"We assumed that we'd be hung up on, and that would be that,"
Christian said. But they were put through to the duchess's ward and
given some details of her medical condition.

"It was never meant to go that far. It was meant to be a
silly little prank that so many people have done before," Greig said.

It was Saldanha who put the call through.

"If we played any involvement in her death, then we're
very sorry for that," said Greig, who described how she found out
about Saldana's apparent suicide.

"It's the worst phone call I've had in my life," she said, fighting tears.

"There's not a minute that goes by that we don't think
about her family and what they must be going through, and the thought
that we may have played a part in that is gut-wrenching," Greig said.

The pair have been taken off the air by their network, which has not
said when they might return.

"I don't even want to think about going back on air, to be
honest," Greig said.

"I'm still trying to make sense of it all," Christian said. "We're
shattered. We're people, too." Greig said she'd willingly face
Saldanha's family if it would help bring them closure.

"If that's gonna make them feel better, then I'll do what
I have to do," she said.

"I've thought about this a million times in my head, that I've wanted
to just reach out to them and just give them a big hug and say sorry,"
Greig said. "I hope they're OK, I really do."



Radio prank nurse: Post-mortem examination due

Sky News

Tuesday December 11



London-A post-mortem examination is due to be held later on the nurse
who apparently took her own life after she fell victim to a prank call
made to the hospital treating the Duchess of Cambridge.

Tributes have been paid to Jacintha Saldanha, who was
found dead on Friday days after she was tricked by two Australian
radio hosts who called the King Edward VII Hospital in central London.

She transferred the presenters, believing they were the Queen and the
Prince of Wales, to a colleague who divulged details about Kate's
treatment for severe morning sickness.

Ms Saldanha, 46, from Bristol, was found dead in a block
of nurses' flats close to the hospital, where she stayed while working
in London.

MP Keith Vaz met her family on Monday and said they had been
"devastated" by the loss of a "loving mother and a loving wife".

Flanked by Ms Saldanha's husband Benedict Barboza and her
two teenage children, Mr Vaz said: "They miss her every moment of
every day but they are really grateful to the support of the British
public and to the public overseas for the messages of support and
kindness."

Mr Vaz has called for the hospital to provide the family with more
support and to hold an inquiry.

His criticism came after the DJs behind the call, Mel
Greig and Michael Christian, broke their silence about the nurse's
death.

Interviewed on Australian TV networks, the 2Day FM presenters said
there had been "a tragic turn of events no-one could have predicted or
expected".

A tearful Greig told Today Tonight on Australia's Channel
Seven: "There's nothing that can make me feel worse than what I feel
right now. And for what I feel for the family."

Police in London have contacted their Australian counterparts with a
view to interviewing the pair ahead of an inquest into Ms Saldanha's
death.

In response to Mr Vaz's criticism the hospital said its
chief executive John Lofthouse had spoken to the nurse's husband on
Friday by phone and offered to meet him whenever he wanted.

Southern Cross Austereo, the parent company of 2Day FM, has suspended
advertising on the Sydney radio station until further notice, ended
Greig and Christian's Hot 30 show and suspended prank calls across the
company.

Radio Djs Michael Christian and Mel Greig talk on
australian tv show 'today tonight' about the telephone prank they
played on now deceased nurse Jacintha Saldahna. Mr Christian and Ms
Greig have spoken emotionally about the tragedy

Rhys Holleran, chief executive of the firm, has said the station
called the hospital five times to discuss what it had recorded before
going to air.

Under Australian regulations, the permission of anyone on
the receiving end of a radio prank must be sought before the call can
be broadcast.

But the hospital denied on Monday that anyone within its senior
management or media unit was contacted.

Mr Holleran insisted the appropriate checks were conducted
before the pre-recorded item was broadcast, and defended the
presenters in an interview late on Monday with Australia's Ten
Network.

Asked if anyone in authority above the hosts was at the station when
the call was made, he said: "I think that it is important that these
two individuals did not recklessly just decide to put something to
air."

He said the "went through a process", without going into details.

Ms Saldanha was originally from Mangalore in southwest India,
according to reports, and her teenage children are said to be daughter
Lisha, 14, and son Junal, 16.

Scotland Yard said the post-mortem examination would be held at
Westminster Mortuary and it was likely an inquest would be opened and
adjourned at Westminster Coroner's Court later this week.



Who's living past 100 in the U.S.? Mostly white women

Reuters

Monday December 10



Washington-Women have long been known to live longer than men, but
when it comes to hitting the century mark the difference is stark:
just 2 out of 10 Americans who live to 100 or longer are male.

Of the 53,364 Americans age 100 and older, more than 80
percent are women, a U.S. Census Bureau report released on Monday
showed.

The agency's findings, based on data collected from its 2010 census,
also found those who make it past 100 are also more likely to be white
city-dwellers in the Northeast and Midwest.

"Due to sex differences in mortality over the lifespan,
the proportion of females in the population increases with age. This
is especially true in the oldest ages, where the percentage female
increases sharply," Census researchers wrote.

"For every 100 centenarian females, there were only 20.7 centenarian
males," they added.

While reaching 100 years of age may not attract as much
fanfare as it did a few decades ago, the public still marvels at those
who reach "super centenarian," status.

Guinness World Records, which certifies the oldest living person, said
the title was held by Besse Cooper, an American woman who died last
week at age 116 in a Georgia nursing home soon after having her hair
done.

Guinness announced on its website that the new person to
certified to be the oldest anywhere on the globe is 115-year-old Dina
Manfredini, an immigrant from Pievepelago, Italy, who has lived in Des
Moines, Iowa, since 1920. She is just 15 days older than Japan's
Jiroemon Kimura, Guinness World Records said.

Although still rare, the number of people living past 100 can have an
impact as policymakers consider and plan services and programs that
affect older adults, Census said in its report.

The findings are not necessarily all rosy for women.

Living longer can mean greater medical and retirement expenses, among
other issues.

And the number of those living past 100 continues to grow.
Just 32,194 Americans reached 100 or older in 1980, far below the
current level, according to the Census Bureau.

Still, centenarians in the United States remain relatively rare
compared to those in other developed countries.

There were 1.73 centenarians per 10,000 people in the United States
in 2010 compared to 1.92 per 10,000 people in Sweden, 2.70 per 10,000
in France and 3.43 per 10,000 people in Japan, Census said.



Museum denounces blasphemy investigation

Sapa

Monday December 10



Moscow-The head of Russia's renowned Hermitage Museum accused Russian
authorities on Monday of fostering "mob rule" in taking up complaints
by Russian Orthodox Christians over a British exhibit they said
injured religious feelings.

The row coincides with a surge in religious, nationalist
sentiment in Russia, with President Vladimir Putin moving closer to
the Orthodox Church to consolidate his support after facing the
biggest protests since he rose to power nearly 13 years ago.

The display, entitled "The End of Fun" and launched in the St
Petersburg museum in October, includes figurines draped with Nazi
insignia and a crucified Ronald McDonald, the mascot of the McDonald's
fast-food restaurant chain.

It has drawn over 100 complaints and state prosecutors are
checking whether it violates a law against incitement to hatred, under
which two members of the Pussy Riot punk protest band opposed to
President Vladimir Putin were jailed.

"This (investigation) is an attempt to dictate conditions to us by mob
rule and we should not allow this," said Mikhail Piotrovsky, the
director of Hermitage, one of the world's oldest and biggest museums.

Prosecutors acted after receiving complaints from visitors
who said the exhibition by British artists Jake and Dinos Chapman
offended the feelings of Russian Orthodox Christians.

"You can't force a celebrated actor to cancel his show just because
someone would come and make a noise ... about someone's feelings,"
Piotrovsky told Reuters on the sidelines of a conference in Moscow.
"Art has its own language, one needs to understand it. If you don't
get it, just step aside."

The Hermitage Museum is housed in buildings including the
Winter Palace, a former residence of the Russian emperors, and is now
owned by the state.

WASTIKA IMAGE

The Hermitage website describes the centrepiece of the
Chapman brothers' display as a "three-dimensional collage consisting
of miniature plastic figures ... arranged in such a way that it
resembles a (Nazi) swastika from above".

"In the display cases, a single landscape of hell unfolds in which the
figures ceaselessly kill one another with diabolical cruelty ... By
placing cruelty in seal museum display cases or dioramas, the artists
strive to cure society of that cruelty."

The museum's website said the exhibit belonged to a
"Disasters of War" genre and that it was not suitable for viewing by
anyone younger than 18.

Traditional religious conservatism has revived markedly in public
since Pussy Riot members burst into a Russian Orthodox cathedral in
Moscow in February and, dressed in short dresses and colourful ski
masks, performed a protest song against Putin's close ties with the
church.

The two-year prison sentences handed down to two members
of the all-women collective were criticised in the West, but the
protest outraged many Russian Orthodox Christians and stirred a debate
over the state of society in Russia.

Since the Pussy Riot trial this summer, Russian lawmakers allied to
Putin have called for the introduction of jail sentences for people
found guilty of offending religious feelings.

Critics say the law would blur the line between the state
and the church. They regard the move as part of what they see as a
clampdown on dissent and civil liberties since Putin began a new
six-year term in May. He denies launching a crackdown.

Among other prominent instances of conservative Russians trying to
protect their beliefs in court, American pop singer Madonna was sued
by a group of Russians for spreading gay "propaganda" when she gave a
concert in St Petersburg in August. The case was eventually thrown
out.

The launch of patrols in Moscow by cossacks has also been widely
interpreted as a result of Putin's calls for patriotism and his
promotion of Russian traditions.



U.S. intelligence agencies see a different world in 2030

Bloomberg

Monday December 10



Washington-New technologies, dwindling resources and explosive
population growth in the next 18 years will alter the global balance
of power and trigger radical economic and political changes at a speed
unprecedented in modern history, says a new report by the U.S.
intelligence community.

What sets the next quarter century apart is the way seven
"tectonic shifts" are combining to drive change at an accelerating
rate, said NIC Counselor Mathew Burrows, the report's principle
author. One of the factors is U.S. energy independence. Photographer:
Patrick T. Fallon/Bloomberg

The 140-page report released today by the National Intelligence
Council lays out dangers and opportunities for nations, economies,
investors, political systems and leaders due to four "megatrends" that
government intelligence analysts say are transforming the world.

Those major trends are the end of U.S. global dominance,
the rising power of individuals against states, a rising middle class
whose demands challenge governments, and a Gordian knot of water, food
and energy shortages, according to the analysts.

"We are at a critical juncture in human history, which could lead to
widely contrasting futures," Council Chairman Christopher Kojm writes
in the report.

Leading the list of the "game-changers" -- factors the
report says will shape the impact of the megatrends -- is the
"crisis-prone" global economy, which is vulnerable to international
shocks and to disparities among national economies moving at
significantly different speeds.

The future is "malleable," according to Kojm. "Our effort is to
encourage decision-makers, whether in government or outside, to think
and plan for the long term so that negative futures do not occur and
positive ones have a better chance of unfolding."

'Tectonic Shifts'

The report reflects the consensus judgments of all 16 U.S.
intelligence agencies, who consulted or contracted with academics,
research institutes, political leaders and corporations in 14
countries and the European Union.

While technological advances, migrations, wars and other factors drove
change in earlier periods, what sets the next quarter century apart is
the way seven "tectonic shifts" are combining to drive change at an
accelerating rate, said NIC Counselor Mathew Burrows, the report's
principle author. Those factors are: the growth of the middle class,
wider access to new technologies, shifting economic power, aging
populations, urbanization, growing demand for food and water, and U.S.
energy independence

"It's hard to wrap your mind around it, to tell you the
truth; it's just been happening at great velocity," Burrows said in an
interview with Bloomberg News discussing the 18-month research
project.

'Black Swans'

That velocity is a function of several mutually
reinforcing dynamics, the report found. One is what the report calls a
"definitive shift of economic power to the East and South" as the
U.S., European and Japanese share of global income is projected to
fall from 56 percent today to well under half by 2030.

The report envisions an international economy that remains prone to
potential "black swans" such as the collapse of the euro and the
European Union, a pandemic, a Chinese economic collapse, a nuclear war
or a debilitating cyberattack.

Even absent such events, it says: "A return to pre-2008
growth rates and previous patterns of rapid globalization looks
increasingly unlikely, at least for the next decade," in part because
total non-financial debt across G-7 countries has doubled since 1980
to 300 percent of GDP.

Population Growth

The key question, the report says, is whether divergent
growth rates and increased volatility "will result in a global
economic breakdown or whether the development of multiple growth
centers will lead to resiliency."

A world population that's projected to rise to 8.3 billion from 7.1
billion today by 2030 will add to the strains, the report says. More
people will join the middle class, especially in the developing world,
and even conservative estimates forecast the global middle class
doubling to more than 2 billion in 18 years.

The education sector will both drive and benefit from this
growth in the middle class, the report projects, and economic success
will be closely tied to educational levels. In the Middle East and
North Africa, average levels of schooling are expected to rise from
7.1 years to 8.7 years. Education for women -- a driver of both
economic growth and social health and welfare -- will rise from 5
years to 7 years in the region, according to the report.

Cities Grow

Much of this growing middle class will flock to cities,
increasing the world's urban population from roughly 50 percent of the
world's total to nearly 60 percent by 2030. Rising incomes will fuel
their appetite for food -- especially protein from meat and fish --
water and energy, which will be in shorter supply, the report says, in
part because climate change and water shortages will alter patterns of
arable land and greater demand for energy could curb the amount of
fuel available to make fertilizers and other products.

Demand for food will rise 35 percent by 2030 as global gains in
agricultural productivity decline, the report says. Worldwide water
requirements will reach 6,900 billion cubic meters in 2030, 40 percent
more than current sustainable water supplies, making water a likely
cause of regional conflicts, particularly in South Asia and the Middle
East, the report says.

Climate Change

Climate change will complicate resource management,
particularly in Asia, where monsoons are crucial to the growing season
and decreased rainfall could disrupt the region's ability to feed its
growing population.

Changes in temperature and precipitation patterns are happening faster
than expected, Burrows said. When his researchers updated their
section on climate change, the new figures showed the rate of change
was even greater than it was 18 months before, when they started the
project.

New communications technologies and expanding educational
opportunities, meanwhile, will empower the growing middle classes to
make greater demands on their governments for services, a scenario
that's already part of the Arab Spring movements in countries such as
Egypt.

"You have a huge problem on the resource side," Burrows said. "How do
you manage all this prosperity that is putting a lot of strain on the
resources?"

'Bad Scenario'

The solution to resource shortages will have to be public
and private sector cooperation, Burrows said. "You have to have
collaboration on the technology, you have to have a big energy or
water project the world is really geared up for, because otherwise it
turns into a bad scenario," he said.

At the same time, though, communications technology is shifting
political power from nations "toward multifaceted and amorphous
networks that will form to influence state and global actions," the
report says.

"Those nations with some of the strongest fundamentals --
GDP, population size, etc. -- will not be able to punch their weight
unless they learn to operate in networks and coalitions in a
multipolar world," according to the report

The same technologies will also allow groups to to attack electrical
grids or computer networks, Burrows said. While enormous caches of
data eventually will enable governments to "figure out and predict
what people are going to be doing" and "get more control over
society," he said, for now "the scales tip more in favor of the
individual than the state."

Asia Rising

At the same time, power will shift from North America and
Europe to an Asia with GDP, population, military spending and
technological investment that will surpass the West's, the report
projects.

China will surpass the U.S. economically a few years before 2030, and
regional players such as Colombia, India, Nigeria and Turkey will
become increasingly important to the global economy.

The U.S. role in this new world order is hard to predict
because the degree to which it continues to dominate the international
system could vary widely, the report says.

"The 'unipolar' moment is over and Pax Americana -- the era of
American ascendancy in international politics that began in 1945 -- is
fast winding down," the report says.

Despite that, the U.S. most likely will remain "first
among equals" in 2030, the report says.

The U.S. will remain the only power "that can really orchestrate these
coalitions, including non-state actors and state actors, to really
manage, deal with these huge challenges and changes" the world faces,
Burrows said.

While the report envisions the end of a unipolar world, and "the
U.S. can't dictate," Burrows said, "you can't see any other power out
there that can organize it."



DNA mapping for cancer patients

BBC News

Monday December 10



London-Up to 100,000 patients with cancer and rare diseases in England
are to have their entire genetic code sequenced. The Prime Minister
will announce £100m has been set aside for the project over the next
three to five years.

The aim is to give doctors a better understanding of
patients' genetic make-up, condition and treatment needs, and help
develop new cancer treatments.

One human genome contains three billion base pairs - the building blocks of DNA.

Sequencing the code produces a huge amount of data.
Although the price is falling fast, it currently costs £5,000 to
£10,000 - which explains why no country in the world has embarked on
mass DNA mapping on this scale.

When it will start - who will do the genome sequencing and analysis -
has not been worked out - nor which patients will be eligible for the
voluntary testing.

But the hope is by comparing genetic profiles of huge
numbers of patients, it will allow scientists to understand why some
do far better than others - and help in the quest for new treatments.

Privacy campaigners are concern such a move could allow personal data
to be passed on to private companies, such as insurance companies.

Dr Kat Arney from Cancer Research UK: ''There could be
very big benefits for cancer patients in the future''

But ministers insist the project is for medical research alone.

For existing patients, DNA mapping may lead to better
targeting of medicines.

The power of this type of genetic analysis was demonstrated earlier
this year when a study of 2,000 breast cancers showed the cancer
should be thought of as 10 completely separate diseases.

Personalised therapies

There are already a handful of targeted treatments - for
breast, lung, bowel and blood cancers - where tests for a single gene
can reveal whether a patient is likely to respond.

For example, breast cancer patients are tested to see if their tumour
is positive for 'Her2', a protein that can accelerate the growth of
malignant cells. If so they can benefit from Herceptin, a drug which
works on patients with high levels of the Her2 protein.

Whole genome mapping may yield more of these personalised therapies.

Speaking ahead of the announcement David Cameron said: "By unlocking
the power of DNA data, the NHS will lead the global race for better
tests, better drugs and above all better care."

The chief medical officer for England, Prof Dame Sally
Davies, said: "Single gene testing is already available across the NHS
ranging from diagnosing cancers to assessing patients' risk of
suffering side effects from treatment.

"At the moment, these tests focus on diseases caused by changes in a
single gene. This funding opens up the possibility of being able to
look at the three billion DNA pieces in each of us so we can get a
greater understanding of the complex relationship between our genes
and lifestyle."

Stratified medicine

Cancer Research UK launched it 'stratified medicine' project last
year. It aims to group, or 'stratify' patients into those who will
respond best to particular treatments. DNA samples of 9,000 patients
with breast, bowel, prostate, lung and ovarian cancer, and melanoma
are being collected at seven centres across the UK. The genetic
make-up of the cancer will be analysed and the key mutations noted.
The information will be stored as a guide to help future research.

There are a number of existing projects seeking to improve
understanding of the genetics of cancer, such as Cancer Research UK's
'stratified medicine' programme.

The UK is part of the International Cancer Genome
Consortium which is planning to sequence 50 different cancers and
catalogue their different mutations.

There are more than 200 types of cancer - it is a complex and highly
resistant disease - the talk among specialists is less of cures and
more of improved long-term outcomes.

So most of the benefits from these ambitious projects are likely
to be among the next generation of cancer patients.



Madoff trustee still pursuing assets

AP

Monday December 10



New York-When he was first told in 2008 about Bernard Madoff's epic
pyramid scheme, attorney David Sheehan had a response that now sounds
inconceivable.

"Who," he wondered, "is Bernie Madoff?"

Four years after Madoff's arrest, Sheehan would end up earning the
equivalent of a doctorate on the disgraced financier.

Irving Picard, the trustee appointed to recover funds for
Madoff victims, and a battalion of lawyers headed by Sheehan have
spent long days untangling Madoff's fraud. On the fourth anniversary
of Madoff's December 11, 2008, arrest, it's an international effort
that shows no signs of slowing.

So far, they have secured nearly $9.3 billion of the estimated $17.5
billion that thousands of investors put into Madoff's sham investment
business. In a recent interview, Sheehan said his team at the
Manhattan law firm of BakerHostetler is hopeful it can recover at
least $3 billion more, cutting investors' losses to around $5 billion.
Of the money collected so far, about $3 billion has been approved for
redistribution to victims through an ongoing claims process.

It's an outcome that neither Sheehan nor Picard thought
possible at the outset.

"I don't think either of us thought we could achieve these results,"
Sheehan said. "There's never been any case like this."

Sheehan described the task first faced four years ago as
daunting: It required cracking the code on a secret Ponzi scheme that
spanned decades and victimized thousands of customers on a scale never
seen before. Madoff, 74, pleaded guilty and is serving a 150-year
sentence.

"We had to reconstruct this from ground zero and put it back together
again," Sheehan said.

After examining the books at Bernard L. Madoff Investment
Securities LLC, lawyers quickly realized that statements showing
investors held more than $60 billion in securities were fiction.

Madoff made no investments. Instead, principal was simply being paid
out bit by bit to other investors.

Having to hammer home that reality - over and over - to
disbelieving investors was one of the first major hurdles, Sheehan
said. Win or lose, Madoff clients were only entitled to what they put
in.

Investors who had reaped fake profits had to accept they had "someone
else's money," Sheehan said. "We had no choice but to get it back."

Last year, an appeals court concluded the trustee's
calculation was "legally sound" and that a bankruptcy court was
correct when it rejected arguments from lawyers for investors who said
their clients should receive more than what they initially gave to
Madoff.

Picard couldn't be expected "to step into the shoes of the defrauder
or treat the customer statements as reflections of reality," the court
said.

Most of the conflicts over what's owed to the burned
clients have been resolved without a serious fight. But in scores of
other cases, the trustee has sued wealthy individuals and
institutions, claiming the defendants knew or should have known their
returns were fraudulent and asking a judge or bankruptcy judge to
force them to return them.

The litigation has resulted in a series of settlements, including a
historic $7.2 billion deal with the estate of Jeffry Picower, a close
Madoff associate who drowned in 2009 after suffering a heart attack in
the swimming pool of his Palm Beach, Florida, mansion.

A lawsuit against the owners of the New York Mets was
settled last spring in a deal that called for them to pay up to $162
million after four years. The deal was structured so that the owners
will likely pay much less than the maximum depending on what happens
to their own claims against Madoff's estate.

Picard is "a very aggressive advocate of the people who were scammed,"
said Richard Roth, a Manhattan securities lawyer.

"While his aggressiveness has been a topic of controversy,
as several institutions object to it, in light of the extent of the
fraud, he has been a strong, positive advocate for those individuals
whose money was stolen by Madoff," Roth added.

Still, Picard has had to fend off accusations that he's dragging out
the process because it's a windfall for his firm. He's so far sought
more than $600 million in fees for work done between September 15,
2008, and September 30 of this year - money that comes from a
federally-authorized nonprofit, not from Madoff victims.

Sheehan said the critics are ignoring the true magnitude
of the fraud and the work still needed to get what's recoverable, some
of it overseas. The trustee is involved in Madoff-related
"litigations, investigations and proceedings" in Britain, Spain and
Israel and is chasing customer money throughout the Caribbean, Sheehan
wrote recently on a Madoff victim-information website.

On balance, Picard "is doing a good job" with a recovery process that
usually fails to satisfy fraud victims, said Jeffrey Klink, a former
federal prosecutor who runs his own private investigative firm that
researches the safety of potential investments and performs fraud
probes.

With most investment swindles, once "the money is gone, the odds
of getting most of it back are almost zero," Klink said. "The
investors end up holding the bag."



Singer, reality TV star Jenni Rivera dies in plane crash

CNN News

Tuesday December 11



Los Angeles-Millions of fans on both sides of the U.S.-Mexico border
are mourning the death of Jenni Rivera, whose performances of soulful
ballads sold out concert halls and made the singer a household name
for many.

Crews searched for the remains of Rivera and six others
Monday amid the wreckage of a plane that crashed in a remote,
mountainous area in northern Mexico on Sunday.

"The plane was totally destroyed. ... It is a great tragedy," her
brother, Gustavo Rivera, told CNN en Español.

There were no survivors, and the singer's publicist,
lawyer and makeup artists were among those killed, he said. Family
members were planning to travel to Mexico on Monday as investigators
work to determine what caused the crash.

Another brother, Juan Rivera, seemed to hold out hope at a news
conference Monday evening, saying: "In our eyes we will have faith
that our sister will be OK. We have no confirmation of her body being
recovered, dead or alive."

The small Learjet plane that Rivera was flying in was 43
years old, the state-run Notimex news agency reported, citing the
director of civil aviation for Mexico's Transportation Ministry.

Collecting evidence at the scene could take up to 10 days, Alejandro
Argudin said, according to Notimex. The wreckage, which includes
personal items that belonged to the singer, was spread out over an
area that spans up to 300 meters (more than 320 yards), officials
said.

The U.S. National Transportation Safety Board said Monday
that it was dispatching a team to help with the investigation.

According to records from the U.S. agency, the airplane was
substantially damaged during a 2005 accident when it struck a runway
marker near Amarillo, Texas. At the time, the plane's pilot reported
losing the ability to steer the twin-engine turbojet.

As the investigation into Sunday's crash continued, fans,
family members and entertainers said they were devastated to learn of
Rivera's death.

"The world rarely sees someone who has had such a profound impact on
so many," Universal Music Group said in a statement. "From her
incredibly versatile talent to the way she embraced her fans around
the world, Jenni was simply incomparable. "

Known to fans as "La Diva de la Banda" or The Diva of
Banda Music, Rivera was well-established as a musical powerhouse with
her Spanish-language performances of regional Mexican corridos, or
ballads. For fans, the nickname captured her powerful voice and the
personal strength many admired.

CORRECTION

An earlier version of this article incorrectly identified
the singer commemorated by Jenni Rivera's 2003 album "Farewell to
Selena." The album was a tribute to Tejano star Selena Quintanilla.

In recent years, she had been working to crack the English-language
U.S. market and was reportedly on the verge of a crossover with a
sitcom inspired by the success of "I Love Jenni," a Spanish-language
reality TV show on Telemundo's mun2 network.

Speaking on the U.S. Senate floor Monday afternoon, Sen.
Marco Rubio described Rivera as "a real American success story."

"She was a singer in a genre of music that's largely dominated by
males, and she brought a powerful voice to that genre where she sung
frankly about her struggles to give her children a better life in this
country," the Florida Republican senator said.

Rivera sold 15 million records, according to Billboard,
and recently won two Billboard Music Awards, including favorite
Mexican music female artist.

But she started out small.

In an interview with CNN en Español in 2010, Rivera spoke
about how she once sold cans for scrap metal and hawked music records
at her family's stand at a Los Angeles flea market.

"It is very flattering when they tell me that I'm a great artist, a
great entertainer, that when I'm on stage I can get in the recording
studio and come up with a great production," she said. "But before all
of that, I was a businesswoman. I'm primarily business-minded."

Rivera eventually became the owner of several companies,
including Jenni Rivera Enterprises, which produced and marketed her
music, a fragrance brand, a jeans factory and a television production
company.

Rivera was nominated for Latin Grammy Awards in 2002, 2008 and 2011.

In October, People en Español named her to its list of the 25 most
powerful women.

She was beloved by fans as much for her music as her
over-the-top lifestyle that was chronicled in "I Love Jenni" on
Telemundo.

Born in Long Beach, California, to Mexican immigrant parents, Rivera
released her debut album in 1999, according to her website.

She followed that up with two more albums, including the
2003 album "Farewell to Selena" -- a tribute to slain Tejano star
Selena Quintanilla -- that increased her popularity.

Her father, Pedro, and two of her brothers also are well-known
performers in Mexico and portions of the southwestern United States.

Famous for her music, she is also known for her tumultuous
personal life. The singer was a single mom at the age of 15 and is the
mother of five, her website said.

In 2009, she made headlines when she was detained at the Mexico City
airport with tens of thousands of dollars in cash.

A year later, she made headlines again with the marriage
to former baseball pitcher Esteban Loaiza, who played for the New York
Yankees and the Los Angeles Dodgers. In October, she announced she was
filing for divorce after less than two years of marriage. It was her
third marriage.

She told CNN in 2010 that she wouldn't let scandals or personal
tragedy stop her.

"Staying defeated, crying and suffering was not an
option," she said. "I had to get off my feet, dust myself off and
press on. That's what I want to teach my daughters."

"I Love Jenni," which began airing on mun2 last year, featured her
life on the road, balancing the duties of motherhood and stardom as
she toured Mexico and the United States.

Rivera's openness about the problems she faced won her a
devoted fan base, said Raul Molinar, a Dallas-based radio DJ who
interviewed the star several times.

"She was a real woman," he said, "and she would express her feelings
-- onstage, off stage, anywhere,"

Rivera also was a judge on the popular TV show, "The
Voice, Mexico," which was scheduled to air Sunday night. In its place,
Televisa aired a special report about the singer.

A fellow judge on the show took to Twitter after news of Rivera's disappearance.

"My heart is devastated," wrote Beto Cuevas. "All my
prayers are with you, Jenni, and your family."

Fans and celebrities took to social media to mourn the singer and
television star.

"Spent some time with Jenni Rivera recently. What an
amazing lady ... Cool, smart, funny & talented. Such a travesty ...
God Bless her family," actor Mario Lopez tweeted.

Rivera performed at a concert in Monterrey on Saturday night before
boarding the Learjet, which took off early Sunday and lost contact
with air traffic controllers about 60 miles into the trip.

Just hours before she died, Rivera opened up to reporters
about her divorce and the inner strength she found, thanks to her
family.

"I'm so happy. So many strong things have happened in my life. I can't
get up in the negative, which destroys you," she said.

"I have brothers. I have children. I have nephews. And they keep me
from focusing on the negative."



Mexican president confident of key reforms in 2013

Reuters

Monday December 10



Mexico City-Mexican President Enrique Pena Nieto said on Monday he is
confident that reforms to shake up state oil giant Pemex and the
country's tax regime, key planks of his drive to accelerate economic
growth, will be approved in 2013.

"Next year will be the time for all of it to happen from
scratch: presenting the initiative, the necessary consensus to back it
up and make them happen, and get the required approval," Pena Nieto,
who took office on December 1, told Reuters in an interview.

Mexico depends on income from state oil giant Pemex to fund nearly a
third of the federal budget, and it has struggled for years to get
major tax reforms through a divided Congress.

The country has one of the smallest tax takes in Latin
America, collecting revenues worth only about 11 percent of gross
domestic product, excluding oil income.

Pemex has struggled to make the most of Mexico's crude oil reserves,
and Pena Nieto has pledged to open up the company to more private
investment.

To make it worthwhile for investors, Pena Nieto believes a
constitutional change is needed.

Mexico's constitution stipulates that the right to exploit
crude oil belongs to the state, and the new government must find a way
of allowing private investors to help find the crude without
surrendering control of its natural resources.

"I believe constitutional reform is what enables us to generate the
legal certainty for the opportunities of getting Mexico more private
investment to develop its energy infrastructure," Pena Nieto added.

He believes the tax and energy reforms are vital to his
goal of growing the economy by around 6 percent per year.

That would be virtually triple the average growth rate Mexico saw in
the years the conservative National Action Party (PAN) was in power
between 2000 and 2012.

Created when Pena Nieto's Institutional Revolutionary
Party, or PRI, nationalized the oil industry in 1938, Pemex became a
symbol of Mexican self-sufficiency, and many attempts to reform the
company have foundered in the past.

Pena Nieto's predecessor, Felipe Calderon of the PAN, failed to win
support in Congress for a major reform of Pemex, but did take the
first steps towards opening the company up to outside investment,
putting out contracts to private firms.

Output at Mexico's largest oil fields fell sharply between 2004 and
2009, although it has since stabilized.



Marijuana officially legal in Colorado with stroke of governor's pen

CNN News

Tuesday December 11



Colorado-The recreational use of marijuana officially became legal
Monday in Colorado, a little more than a month after voters in the
state passed an amendment in favor of the measure.

"Voters were loud and clear on Election Day," Gov. John
Hickenlooper, a Democrat, said in a statement, as he signed an
executive order to officially legalize the personal use and limited
growing of marijuana for those 21 or older. Amendment 64, as it's
called, is now a part of the state's constitution.

It is still illegal, however, to buy or sell marijuana "in any
quantity" in Colorado or to consume it in public.

Hickenlooper, who opposed the amendment in the run-up to
Election Day, announced the start of a 24-member task force that would
"begin working immediately" to help the state navigate federal laws
and establish how citizens can legally purchase and sell cannabis.

Washington, the other state to pass the legalization of marijuana in
November, officially made the practice legal last week. It could take
a year, however, before rules are set for growing and selling pot.

Shortly after Colorado voters passed the amendment on
November 6, Hickenlooper cautioned it was too soon to "break out the
Cheetos," saying state authorities must work to implement the new
measure and prevent individuals from being prosecuted by the federal
government, which classifies marijuana as an illegal substance.

In a statement Monday, U.S. Attorney John Walsh said that the
Department of Justice is "reviewing" the initiatives passed in both
states and that the department's "responsibility to enforce the
Controlled Substances Act remains unchanged."

"Regardless of any changes in state law, including the
change that will go into effect on December 10 in Colorado, growing,
selling or possessing any amount of marijuana remains illegal under
federal law," Walsh said.

When Hickenlooper opposed the amendment, he warned that legal
marijuana use could "increase the number of children using drugs" and
would "detract from efforts to make Colorado the healthiest state in
the nation."

"It sends the wrong message to kids that drugs are OK," he
added in a statement.

However, with the amendment, Hickenlooper said he would work to
enforce the law and make sure that Colorado operates in accordance
with the federal government.

"As we move forward now with implementation of Amendment
64, we will try to maintain as much flexibility as possible to
accommodate the federal government's position on the amendment,"
Hickenlooper said.

The task force holds its first public meeting on December 17 and must
report its recommendations to the governor's office no later than
February 28.



Teacher suspended over suicide essay

AFP

Monday December 10



Bordeaux-A French teacher who asked her students to write an essay in
which they imagined themselves as a suicidal teenager has been
suspended pending an investigation, education officials said Monday.

The teacher, who works at the Montmoreau-Saint-Cybard
secondary school in the Charente region of western France, will
discover next week if she is to face disciplinary action following an
outcry among parents over a composition she reportedly set for her
class of 13- and 14-year-olds.

According to local newspaper La Charente Libre, the teacher asked the
pupils to imagine themselves as an 18-year-old who had taken an
irrevocable decision to end his or her life.

"You decided at the last minute to explain your reasons,"
she said. "Drawing a self-portrait, you will describe your
self-disgust.

Your text will go over the events in your life that created this feeling."

The teacher was suspended following an anonymous letter from parents
which asked: "What will be the next subject - how do you feel when you
shoot up?"

Jean-Marie Renault, the academic director of the Charente
region, confirmed the teacher had been suspended and would be asked to
explain what she was trying to do.

"If it is true that the question of suicide was posed in the terms
reported, one could only be surprised, to say the least," he told AFP.



Champions League pain lingers for Torres

Super Sport

Tuesday December 11



Champions League-Spanish striker Fernando Torres says winning the Club
World Cup would not make up for the disappointment of Chelsea's
embarrassingly early exit from the Champions League.

The English giants, preparing for Thursday's semifinal in
Japan, last week became the first defending champions in Champions
League history to crash out at the group stage the following season.

It capped a miserable spell for Chelsea during which they slipped off
the pace in the Premier League and popular manager Roberto Di Matteo
was sacked.

"It wouldn't make up for the Champions League, they are
different things," said Torres in comments published on the Chelsea
website, referring to the Club World Cup.

"It was a dream to win it last season and we wanted to do it again
this time to be the first team to do two in a row, and it's a big
disappointment to go out in the group stage.

"But now we must forget the Champions League, because we
are out, and focus on this instead. There are not many chances to play
in this competition, so we have to take it. Who knows if we will play
in another one?"

And Torres, who won the World Cup with Spain in 2010, insisted the
showpiece tournament offered the 2012 Champions League winners the
chance to call themselves world champions despite the mixed bag of
quality of show.

"How many people don't take this tournament seriously, or
don't think it is like the real World Cup?" the 28-year-old said.

"It is for the clubs. You ask the South American people. (Defender)
David Luiz showed me a video of Corinthians fans at the airport. It
was full of fans cheering the team and travelling to Japan to support,
so it is important.

"In Europe maybe we don't give it as much attention, and
to some people it might not mean much, but to me it does, so this is
not a holiday or a break, this is a world cup.

"It's nice to be involved, and maybe to be able to say you are a world
champion," Torres said.

The much-maligned Torres has struggled for goals since his
big-money move from Liverpool two years ago but has netted four times
in two games, including a brace in Chelsea's morale-boosting weekend
victory over Sunderland.

The Blues, taking part in their first Club World Cup, take on Mexican
side Monterrey in Yokohama in their last-four clash on Thursday.

Victory would likely set up a mouthwatering tie with Brazilian
giants Corinthians, who face Egypt's Al Ahly on Wednesday in the other
semifinal in the tournament, which has also featured part-timers
Auckland City and J-League winners Sanfrecce Hiroshima.



News From The Axis
Syria rebels hope arms will flow to new fighter command

Reuters

Monday December 10



Beirut-Syrian rebels expect greater military help from Gulf Arab
states after they announced a new command structure which aims finally
to unite President Bashar al-Assad's armed opponents, rebel commanders
said on Monday.

Rebel fighters have made gains across the country in the
last month, seizing military bases and taking on Assad's better-armed
forces on the fringes of his powerbase in Damascus.

Activists said fighting raged on Monday in southern Damascus near the
international airport and reported clashes in the northern Damascus
districts of Rukneddine and Salhiyeh - the heaviest there since the
uprising began 20 months ago.

Despite using more effective battlefield tactics and
acquiring more arms, the mainly Sunni Muslim fighters have so far
lacked the firepower to deliver a decisive blow to Assad, from the
Alawite minority linked to Shi'ite Islam.

Abu Moaz al-Agha, a leader and spokesman of the powerful Gathering of
Ansar al Islam which includes many Islamist rebel brigades, said the
new, Islamist-dominated military command elected in Turkey over the
weekend could change that.

"What we need now is the heavy weapons and we expect to
get them after the formation of this.

The anti-armor and anti-aircraft weapons are what we are expecting,"
he told Reuters by Skype from Turkey before heading to the Gulf.

"The Qataris and the Saudis gave us positive promises. We will see
what will happen," he said, adding that officials from Western
countries, who also attended the meeting in Turkey, had not mentioned
arming the rebels but talked about "sending aid".

At least 40,000 people have been killed in Syria's
uprising, which started with street protests which were met with
gunfire by Assad's security forces, and spiraled into the most
enduring and destructive of the Arab uprisings.

Stalemate between major powers, particularly the United States and
Russia, has paralyzed the wider international response to the
violence, leaving regional Sunni Muslim states such as Turkey and the
Gulf Arab countries helping the rebels and Shi'ite Iran providing
support to Assad.

Washington and Moscow sent their deputy foreign ministers
to talks with international envoy Lakhdar Brahimi on Sunday, but a
statement after the meeting showed little sign of breakthrough,
although they agreed a political solution was possible in Syria.

German Foreign Minister Guido Westerwelle announced on Monday that
four Syrian embassy staff were expelled from Berlin, to send a "clear
message that (Germany is) reducing relations with the Assad regime to
an absolute minimum".

"REAL HOPES"

The new rebel command brings together most existing rebel
entities including brigades which formed an Islamist front two months
ago and "provincial military councils" which operated under the
umbrella of the Free Syrian Army.

A commander in an Islamist brigade in the northern province of Aleppo,
which also had a strong presence in the new body, said it would ensure
proper supervision of weapons supplies.

"This time people have real hopes. We believe that weapons
will be delivered," he said. "One of the main reasons for the
formation of this body is so that thefts (of weapons) are controlled,
and each one will get their rights and put the control in the hands of
those inside and not outside Syria."

Rebels of the al Qaeda-linked Nusra Front, one of the most efficient
fighters in Syria, are not part of the new body.

"They have their own leaders and their own structure, they
fight side by side with the Free Syrian Army. We have only seen good
things from them and they are good fighters," said Abdul Jabbar
al-Oqaidi, a senior commander in the new group.

Activists said rebels strengthened their hold on Monday over a
military base in the Sheikh Suleiman region of Aleppo, Syria's biggest
city, which they overran a day earlier.

The Syrian Observatory for Human Rights, which monitors
violence across the country, said rebel fighters had been trying to
seize the site for two weeks, after they captured a special forces
base in the region last month.

The group also reported clashes in northern Damascus, where residents
said parents rushed to pick up children early from school.

One elementary school bus had only three students in it - one of
them told the bus supervisor that all the others were collected early
by their parents.

At a nearby girls' high school, the headmistress was
trying to dissuade a mother from pulling out her 16-year-old daughter
before the day's end. "If we keep letting parents pick up their kids
anytime something happens, they'll be in a constant state of panic,"
she said.

The mother tried to explain that even though she was trying to keep a
calm household, her husband was "really freaking out when we heard
gunshots in our own street" earlier today.

In another sign of the sectarian and violent nature of the
conflict, a video which activists said was filmed in the central city
of Homs showed what appeared to be a youth with a long knife
decapitating a man, identified as an Alawite officer. It was not
possible to verify the video.

SHRINKING ECONOMY

A global finance association said on Monday that the
combined impact of civil war and international sanctions will shrink
Syria's economy by a fifth in this year. Syria's entire foreign
reserves could also be spent by the end of 2013, the Institute for
International Finance said.

Since the revolt started in March 2011, inflation has risen to 40
percent and the Syrian pound's official exchange rate against the
dollar has fallen by 51 percent, the IIF said.

As well as financing the war, Assad's government has spent
billions of dollars of hard currency reserves on wages, fuel subsidies
and propping up the pound, bankers in Damascus say.

International measures to pressure Assad to step down have also
affected the economy. "The sanctions by the Arab League introduced in
late 2011 and the September 2011 U.S. and EU sanctions have meant more
economic hardships," said Garbis Iradian, IIF deputy director of the
Africa and Middle East.



Navy identifies SEAL killed in Afghanistan rescue

CNN News

Tuesday December 11



Kabul-The U.S. Defense Department on Monday identified the SEAL killed
during a successful raid to free a captive doctor in Afghanistan.

Petty Officer 1st Class Nicolas D. Checque, 28, of
Monroeville, Pennsylvania, died Saturday during the effort to free Dr.
Dilip Joseph, the Navy said. NATO commanders believed Joseph was in
imminent danger from his captors when the raid took place.

While the Defense Department announcement said only that Checque
belonged to an "East Coast-based Special Warfare Unit," a U.S.
official said the man was a member of the Navy's Special Warfare

Development Group, more commonly known as SEAL Team Six. The elite
unit is the same one that took part in the raid that killed al Qaeda

leader Osama bin Laden.

The official didn't know if the SEAL who died was involved
in that operation.

"He gave his life for his fellow Americans, and he and his teammates
remind us once more of the selfless service that allows our nation to
stay strong, safe and free," President Barack Obama said of the slain

SEAL before his identity was made public.

Armed men kidnapped Joseph and two other staff members for
the international aid group Morning Star on Wednesday as they returned

from a rural medical clinic in eastern Kabul province.

Tribal leader Malik Samad and district chief Muhammad Haqbeen told CNN
that Joseph and an Afghan doctor were abducted near the village of
Jegdalek in the Sarobi district, just outside Kabul.

The International Security Assistance Force said Taliban
insurgents kidnapped the men. Samad and Haqbeen identified the
kidnappers as smugglers.

Morning Star said negotiations began "almost immediately" with the
captors and went on sporadically into Saturday night, when two of the
three were released.

The Afghan doctor's family paid $12,000 to the smugglers,

Haqbeen and Samad said. Morning Star denied paying any "ransom, money
or other consideration" to win the release of its staffers, and the
raid to free Joseph came 11 hours later after the other two were
released.

U.S. officials provided few details about the rescue effort, but
Secretary of Defense Leon Panetta said the SEALs "knew they were

putting their lives on the line to free a fellow American from the
enemy's grip."

Checque joined the Navy in 2002 after graduating from high
school, according to a brief service record provided by the Defense
Department. After attending recruit training in Illinois and advanced
training in Virginia, he entered the seal program in April 2003.

He was assigned to his first SEAL unit in August 2004, and transferred
to a second unit, presumably SEAL Team Six, in September 2008.

He received the Bronze Star and several other awards
during his 10-year Naval career.

His former high school superiors and classmates at Norwin High School
in North Huntington, Pennsylvania, remembered him as diligent and
enthused about joining the military.

"He worked hard everyday and never complained," his former
wrestling coach Rich Ginther told CNN affiliate WPXI. "I remember his
senior year him basically telling us what he was training for, and it
was to get in special forces."

The current vice principal, who graduated two classes ahead of
Checque, called him a role model for the current students.

"It's scary to hear these kind of stories that come out,"
said Micheal Choby, "but I'm going to testament to the kind of man
Nick built himself to be for these kids who are here aspiring to be in
the military."

Former classmate Stefanie Stewart told CNN she sat next to Checque on
the school bus almost every day.

"He always knew he wanted to go into the military," she
said. "He was a very driven individual, had a very keen sense of mind.
A strong-minded person. But underneath that, you could tell he had a
good heart."

The rescued doctor has worked with Morning Star for three years. He

serves as its medical adviser, and travels frequently to Afghanistan,
the agency said.

Morning Star did not release the identities of the other
two men, citing safety concerns.

Joseph is expected to return home to Colorado Springs, Colorado,
within a few days, after medical examinations and debriefings, the
agency sad.

On Sunday, his family extended condolences to the slain
sailor's family.

"We are incredibly grateful for the multiple agencies of the U.S.
government that have supported us in this difficult time, and
especially the quick response by our military and partner allies to
rescue Dilip," the family said. "They showed great heroism and
professionalism."

Despite the kidnappings of Joseph and its two other staffers,
Morning Star reiterated its "commitment to continue its work" in
Afghanistan.

Chavez faces cancer surgery in Cuba, vows he'll be back

Reuters

Monday December 10



Caracas-Venezuelan President Hugo Chavez flew to Cuba on Monday for
cancer surgery, with a vow to return quickly despite conceding for the
first time that the disease could end his 14-year rule of the South
American OPEC nation.

"I leave full of hope. We are warriors, full of light and
faith," the ever-upbeat Chavez said before boarding the flight to
Havana. "I hope to be back soon."

Chavez, 58, pumped a fist in the air as he set off for the latest
chapter of a tumultuous rule that has included a brief coup,
persistent acrimony with the United States and frequent
nationalizations, as well as wildly popular anti-poverty programs.

The socialist president first suffered an undisclosed form
of cancer in the pelvic region in mid-2011. He had appeared to improve
and easily won re-election in October but now faces a fourth round of
surgery for a second cancer recurrence in the same area.

The news sparked a rally in Venezuela bonds on Monday, given many
investors' preference for more a business-friendly government in
Caracas.

Chavez stunned Venezuelans over the weekend with his
nationally televised announcement that more malignant cells had been
found, despite twice having declared himself cured.

END OF AN ERA?

Chavez's re-election in October was helped by heavy
government spending on social programs and his intense emotional
connection to followers who view him as a larger-than-life figure.

He is due to start a new six-year term on January 10.

His departure would mark the end of an era given his
flamboyant leadership of Latin America's hard left and self-appointed
role as Washington's main provocateur in the region.

Chavez has named Vice President and Foreign Minister Nicolas Maduro as
his preferred successor, urging supporters to vote for Maduro in the
event of an election. The constitution stipulates a vote within 30
days should he be incapacitated.

In his first appearance following his anointment, Maduro
wept as he vowed the country would remain faithful to Chavez and carry
on his self-styled revolution.

"We are going to accompany President Chavez in prayer and in action,"
Maduro said at a campaign rally for state governors. "We've been with
(him) in the good times and bad times."

Allies including former Vice President Elias Jaua and Oil
Minister Rafael Ramirez came forward with good wishes for the
president. Ramirez read a statement from oil workers vowing unbending
loyalty to Chavez and promising to support Maduro.

State media promoted a Twitter campaign for the president by splashing
hashtags including #ElmundoestaconChavez (the world is with Chavez).
By midday, it was one of the microblogging site's top global trending
topics.

The health saga has once again eclipsed major national
issues such as state elections on Sunday, a widely expected
devaluation of the bolivar currency and a proposed amnesty for
Chavez's jailed and exiled political foes.

If a new election were needed, the opposition could be in its best
position to win since Chavez took power in 1999. Many voters have
overlooked the government's failings because of their deep emotional
connection with the president.

But the opposition's prospects may hinge on the result of
the vote for Miranda state governor on Sunday. A loss there for
Governor Henrique Capriles could fracture the coalition that backed
him as a unity presidential candidate and spark a return to an era of
infighting that benefited Chavez and his allies.

Capriles, 40, lost to Chavez in October but got 44 percent of the vote
- a record 6.5 million votes for the opposition in the Chavez years.

Opposition leaders say Chavez's condition is serious
enough that he must officially step aside and temporarily designate
the vice president to lead the country while he is in treatment.

Failure to do so, they say, could paralyze decision-making and lead to
fighting within the ruling Socialist Party.

Chavez's backing of Maduro was seen as a snub to Congress
head Diosdado Cabello, who is widely considered Maduro's rival despite
their public statements to the contrary. Chavez pointedly called for
unity and "no intrigue" before leaving.

The opposition also has criticized the secrecy surrounding the details
of his medical condition and his snubbing of local doctors in favor of
those in Cuba.

"Hiding information for partisan gain without regards for
the good of the country is not democratic," said Ramon Guillermo
Aveledo, the leader of Venezuela's Democratic Unity coalition.

Venezuela's heavily traded global bonds rallied 2.81 percent in price,
according to returns tallied by the J.P. Morgan Emerging Markets Bond
Index Plus (EMBI+).

INTERNATIONAL IMPACT

Chavez's health has major implications for the region.

A handful of Latin American and Caribbean neighbors - from Cuba and
Nicaragua to Bolivia and Ecuador - have come to depend on his
oil-fueled largesse to bolster their fragile economies. OPEC member
Venezuela has the world's largest oil reserves.

War-torn Syria, which is facing tightening sanctions by
the United States and the European Union, has received much-needed
shipments of diesel from the sympathetic Chavez government.

Despite Chavez's selection of Maduro, his "Chavismo" movement could
disintegrate without him given rumored rivalries among the main
players. Goldman Sachs analyst Alberto Ramos warned in a research note
of "a possibly noisy, and not necessarily short, political transition
in Venezuela."

Maduro, a 50-year-old former bus driver and union leader,
is the most popular of the senior "Chavistas" among the president's
working-class supporters, thanks to his affable manner, humble
background and close ties to Chavez.

His six years as foreign minister have also given him good contacts in
countries such as China and Russia. He has an easygoing style but is a
firm believer in Chavez's leftist policies and has often led fierce
criticism of the United States.

Supporters have been holding vigils for Chavez around the
country, and even though he was absent on Monday, his image was
everywhere on state media and in public squares.

Messages of support also have poured in from abroad, and Ecuadorean
President Rafael Correa, a fellow socialist, joined Chavez in Cuba.

"We've come in solidarity," Correa said. "He is a historic
president, a great friend ... and most of all an extraordinary human
being. You are not alone in your struggle."



Political and General
Resolutions of 2012 Zanu PF conference

New Zimbabwe

Monday December 10



Harare-Resolutions of the 2012 Zanu PF Annual National People's
Conference held in Gweru:

Preamble

The Zimbabwe African National Union Patriotic Front held its 13th
Annual National People's Conference in Gweru, Midlands Province at the
Gweru Convention and Exhibition Centre from 5th-9th December 2012.

The conference was officially opened by the President and
First Secretary, Cde R. G. Mugabe. Each District sent one delegate
drawn from the Main Wing or Women's League or Youth League. The rest
of the delegates were drawn the provincial leadership upwards as well
as the Zanu-PF Johannesburg District in South Africa.

The conference received solidarity messages from ANC (South Africa),
represented by Cde Jeff Radebe, member of the National Executive
Council, Chama Cha Mapinduzi (Tanzania) was represented by its
Secretary for External Relations, Dr Rose Asha Migiro, Frelimo
(Mozambique) was represented by Cde Sergio Quantinho, member of the
Central Committee. Politburo Member, Cde Theodore Quarter represented
MPLA (Angola) while Swapo party (Namibia) was represented by Central
Committee member, Cde Hilma Nican as well as from local affiliate
organisations.

1. Party mobilisation

Whereas the people's revolutionary party is committed to
safeguarding, defending, promoting, widening and deepening the ideals
and values of Zimbabwe's heroic liberation struggle for the benefit of
all Zimbabweans today and in posterity;

Impelled by the imperatives of Zimbabwe's current
"Chimurenga Moment" to indigenise the national economy, empower the
indigenous population and its communities, develop and grow the
economy to generate new wealth and income and to create employment
opportunities especially for the youth who make up the majority of the
economically active community;

Noting that the GPA and the Inclusive Governme-nt, legally and
constitutionally, ought to have come to their end after the expiry of
the two years reckoned from the inception of the Inclusive Government
;

Determined to defend Zimbabwe's national sovereignty
to ensure peace and the holding of free and fair elections in 2013;

Resolutely opposed to the use of any form of political violence
for electoral or any other purpose whether physical or otherwise and
whether instigated or perpetrated by elements internally and
externally inspired.

Driven and guided by the imperatives of national
unity, national cohesion and the wellbeing of all Zimbabweans;

Committed to the promotion of regional and international
solidarity among progressive forces;

Aware of the geopolitical intrigues, plots,
manoeuvrings and regime-change agendas of imperialist and neo-colonial
forces to resolve their crippling economic crises by seeking to
recolonise developing countries to exploit their natural resources
under the guise of economic market reforms, democracy, good governance
and human rights;

Congratulating the party's Midlands Province, the Midlands
Development Association, consulting architects and engineers and their
cooperating partners for the construction of the magnificent Gweru
Convention and Exhibition Centre;

Alarmed by the unrelenting covert machinations by
Western imperialist forces and their proxies;

Now therefore, Conference resolves;

(a) To confirm the President and First Secretary, Cde R.G. Mugabe, as
elected at the last congress to be the party's Presidential candidate
in the harmonised elections to be held in 2013.

(b) To direct all structures of the party to earnestly and
immediately prepare for a resounding victory in the forthcoming
elections by adopting a "Bhora Mugedhi"/ "Ibhola Egedhini" posture.

(c) That the guidelines for the selection of party candidates for the
conduct of primary elections must provide for free and fair primary
elections in the spirit of the founding principles of Zanu-PF and to
prohibit the imposition of candidates .

(d) Exhorts every member of the party to be guided,
instructed and bound by the vision, direction, ideals, values and the
imperative for unity paying due regard to the enduring principle that
we are our own liberators under the banner; "Iwe neni tinebasa"/"Wena
lami silom'sebenzi".

(e) To urge the party to revive and develop a cadreship policy that
nurtures a broad human resource base for deployment by the party and
to introduce structured compulsory ideological programmes.

(f) To call upon the party to develop innovative, robust
and relevant mobilisation strategies to attract and maintain the
support of women, youths, people with disabilities including
encouraging organisations and associations for the young, professional
and other special interest groups to affiliate with it.

(g) To urge the party to continue working towards the realisation of
50-50 gender representation in all decision-making institutions.

(h) To urge the party to make provisions for the adequate
funding of all its programmes, including the impending primary
elections and harmonised elections.

(i) To discourage the use of money for personal political benefit.

(j) To urge the party to utilise local talent and
resources to identify projects for income generation and employment
creation for the benefit of the party and the community.

(k) Instructs the party to ensure that Government enforces the
de-registration of errant NGOs deviating from their mandate.

2. National economy indegenising & empowerment.

Whereas the fountain and foundation of sustainable
economic development for the benefit of all Zimbabweans is the
ownership of and control over the country's God given natural
resources by the indigenous population;

Commending Zimbabweans for their revolutionary resilience,
vigilance and total commitment which are now showing tangible evidence
of irreversible success in all the 14 key sectors of the economy which
are the target of the party's indigenisation and economic empowerment
thrust, most notably in the areas of agriculture mining and tourism
sectors;

Encouraged that at long last justice has prevailed
following the clearance and endorsement of the unfettered sale of
Zimbabwe's diamonds by the Kimberly Process Certification Scheme
(KPCS) notwithstanding the continuation of the illegal and evil
economic sanctions imposed against Zimbabwe by the UK, US, EU and the
White Commonwealth countries to the detriment of the wellbeing of
ordinary Zimbabweans;

Satisfied that through the historic Indigenisation and Economic
Empowerment programmes, at least seven Community Share Ownership
Trusts, namely, Chegutu-Mhondoro-Ngezi-Chivero-Zvimba in Mashonaland
West, Marange-Zimunya in Manicaland, Zvishavane and Tongogara-Shurugwi
in the Mildlands, Gwanda in Matabeleland South, Bindura in Mashonaland
Central and Hwange in Matabeleland North have been launched and 148
Employee Share Ownership Trusts have been established;

Noting that according to the United Nations Zimbabwe
is among the top five countries with the highest sun intensity in the
world, acknowledging the use and importance of solar energy;

Now therefore, Conference resolves;

(a) That all the sectors of the economy must fully comply with the
Indigenisation Act.

(b) That all investment related laws that are in conflict
with the Indigenisation Act are amended to align with the
Indigenisation Act.

(c) That De Beers be investigated for illegal mining operations
carried out by the company in Marange under the guise of exploration.
The investigation to establish the quantity of the diamond bearing
soil scooped out of the Marange area and transported to South Africa
as well as determining the actual value of the diamonds thus illegally
smuggled out of the country.

(d) To urge the party to spearhead the decriminalisation
of mining operations undertaken by the gold panners ("makorokoza") and
implores Government to give them mining licences so that they operate
lawfully.

(e) To urge the party to spearhead the adoption of currencies of the
BRICS countries and other emerging economies as legal tender in
Zimbabwe alongside the US Dollar.

(f) That the party should intensify and apply the
community based cattle herd rebuilding intervention programme and the
Zanu-PF cattle breeding project in all provinces.

(g) That Government should prohibit the externalisation of the
peoples' bank deposits.

(h) That the artisanal and small scale miners be
incorporated into mainstream mining through support such as provision
of equipment and training in modern mining. This will create massive
employment.

(i) That the party takes a leading role in the establishment of an
Agricultural Commodity Exchange that should provide a vibrant market
to drive the agriculture sector.

(j) To urge the party to push for legislation for banks to
lend to key sectors of the economy at affordable rates and to offer
substantive real rates of return on deposits so as to mobilise and
encourage savings.

(k) To call upon Government to set a Zimbabwe's Minerals Exchange as a
vehicle to ensure that there is no external listing of Zimbabwe's
mineral assets.

(l) To instruct Government to work out modalities for the
re-introduction of domestic currency alongside the multi-currency
system in order to address the current liquidity crisis and to enable
our people to carry out their transactions.

(m) That all export receipts should be banked in Zimbabwe with
national local financial institutions.

(n) Encourages Foreign Direct Investment to compliment
domestic investment and calls upon Government to ensure that foreign
investors do not fund their investments through local borrowings.

(o) Applauds the party for intensifying the indigenisation and
empowerment programmes as the basis of creating a new breed of
employers who are conscious of the national interest to create wealth
and provide more employment.

(p) Recognising that the shortage of power is the single
biggest inhibiting factor to economic growth and cognisant of our
abundant coal reserves, coal bed methane deposits and Zimbabwe's
strategic position within the Southern African Power Pool and the
growing demand for energy in the region, calls upon the party to
spearhead the development of a power generation industry by promoting
favourable investment opportunities in solar, ethanol, hydro, biogas
and wind energy sectors.

(q) To call upon the party to urge Government to promote nationwide
utilisation of solar energy and to develop solar energy capacity.

(r) To condemn the MDC formations for promoting neo-
liberal, anti- people financial policies that have stunted
agricultural production, starved funds to key economic enablers like
water and sanitation, energy and the social services sectors and
denied liquidity to the national economy.

3. Social services

l Appalled by the rampant corruption in urban councils
that are under the control of the MDC formations across the country
and which have resulted in abominable service delivery, particularly
in areas such as education, health, water, power and urban roads that
have led to periodic outbreaks of cholera, typhoid and all manner of
water borne diseases.

Noting the acute food deficit across the country, especially in rural areas;

Now therefore, Conference resolves;

(a) To call for the unconditional lifting of the illegal sanctions to
facilitate the restoration and access to sound social services
infrastructure.

(b) To exhort the party to restore full service delivery
after the elections.

(c) Urges the party to ensure that Government through the responsible
ministry and Government departments to attend to the construction and
rehabilitation of roads in both rural and urban areas.

(d) To direct the party to urgently take remedial measures
to redress the rapid decline in the quality of the education system
alongside the deterioration of national sport and recreational
facilities.

4. Regional and international relations

Encouraged by the growing spirit of regional solidarity within
Sadc demonstrated by the continuous engagement and interaction through
the forum of secretaries general of liberation movements in the region
whose regular meetings have created new networking opportunities
between and among the liberation movements and their countries;

Alarmed by the escalating instability in the eastern
part of the Democratic Republic of Congo and its geopolitical
implications that threaten to destabilise the wider Great Lakes and
Southern African regions;

Concerned about the involvement of external players in the Eastern
part of the Democratic Republic of Congo and their wanton disregard of
the sovereignty of the DRC in violation of international law;

Disturbed by the continued abuse of multilateral
institutions by NATO countries in pursuit of their neo-liberal
unilateralism and foreign policy interests in search of elusive
solutions to their crippling financial crises as exemplified by the
Eurozone crisis that threatens to collapse the EU;

Now therefore, Conference resolves;

(a) To express gratitude for the messages of solidarity conveyed to
the conference and the unanimous condemnation of the illegal economic
sanctions imposed on Zimbabwe.

(b) To congratulate the Palestinian State for becoming an
observer member state of the United Nations.

(c) To call upon the United Nations to expedite the process of
granting self determination to the Saharawi people.

(d) To congratulate Dr Nkosazana Dhlamini -Zuma on her
election as AU chairperson.

(e) To congratulate Xi Jingin upon his election as Secretary General
of the Chinese Communist Party.

(f) To note the re-election of president Barack Obama and
call upon him to repeal ZIDERA and unconditionally lift the illegal
sanctions against Zimbabwe.

6. Media, science and technology

Noting the strategic importance of Information
Communication Technologies (ICTs) and the comparative advantage of
connectivity in political mobilisation and as critical tools for
advancing the development of a knowledge based economy;

Concerned about the widespread abuse of the social media by
regime-change seeking countries for purposes of negative propaganda to
fan disunity, hatred and engender instability;

Dismayed by the continuing violation of international
law which has undermined the GPA through the sponsorship of pirate
radio stations by the British, American and Dutch governments that
respectively sponsor SW Africa, Studio Seven and VOP;

Encouraged by the party's new thrust to apply ICTs in its internal
management systems demonstrated by the introduction of its Electronic
Card;

Now therefore, Conference resolves;

(a) Condemns the American, British and Dutch governments,
for violating international law and undermining the GPA guaranteed by
Sadc and the AU, through sponsorship of pirate radio stations in aid
of their political proxies with intention to effect illegal regime
change.

(b) Condemns EU, America and white Commonwealth countries for
supplying ICT gadgets, such as cellphone, decoders, radios to
communities to create conditions for the broadcast and spread of
falsehoods to distort so as to undermine confidence in the electoral
process and trigger Arab-style civil unrest.

6. Women's Affairs

Recognising the crucial role that women played during the liberation
struggle and continue to do so and paying special tribute to past
heroines, like Mbuya Nehanda;

Cognisant of the leading role that the party continues to play in
championing the cause of women towards the realisation of gender
equality in all socio-economic and political spheres;

Grateful for the role women play in sustaining
livelihoods of families under the harsh and illegal economic sanctions
imposed on our country by imperialist forces;

Concerned by the ever increasing cases of gender based violence
perpetrated against women ;

Acknowledging that women continue to be under
represented in positions of decisions making institutions;

Now therefore, Conference resolves;

(a) That the party should spearhead and take the leading role in
ensuring greater representation of women in all decision making
institutions so as to attain the 50/50 ratio set by Sadc and AU in its
protocols.

(b) That the party calls on all its members to be involved
in the campaign against gender based violence and commits to advocate
for the deterrent punishments of perpetrators.

(c) Calls upon the party to implement deliberate policies to empower
the rural women so as to reduce their chores.

(d) To adopt more systematic, sustainable, continuous
education and training policies for women to facilitate their skills
development and empowerment.

(e) To urge the party to encourage young women, professional women and
women in special interest groups to integrate and affiliate with the
party.

(f) Urges the party to develop and institute a mechanism
for the utilisation of Community Share Ownership Trust and the
Sovereign Wealth Fund facilitate value addition.

7. Youth Affairs

Recognising that the youth constitute the majority of the population;

Acknowledging that the youth are a significant
national resource and play a pivotal role in the national economy;

Noting that unemployment is a major concern and challenge
negatively affecting the wellbeing of the youth;

Cognisant that the youth represent the future
leadership of the country in all spheres of society;

lApplauding the adoption of a new Youth National Policy to be launched soon;

Now therefore, Conference resolves;

(a) To reaffirm past resolutions that called for the acceleration of
provision of land to youths and call for concrete steps for their full
implementation.

(b) To call for a deliberate policy advocating for a quota
system in all leadership positions in both parliamentary and council
seats for the youth.

(c) To call for the appointment and deployment to strategic positions
in Government, Diplomatic Services, Parastatals and state enterprises.

(d) To call for speedy disbursement of youth empowerment
funds to districts and wards by the responsible Government Ministry to
facilitate the much needed development capital to the jobless youths.

(e) To condemn the harassment and arrests of youth in small scale
mining deemed to be illegal panners.

8. Religion, culture and liberations war gherirage

Whereas the vagaries of cultural imperialism and Westernisation
continue to threaten Zimbabwe's heritage, values and traditions;

Noting that the primacy of Zimbabwe's cultural heritage is the moral
basis of indigenisation and economic empowerment;

Celebrating Zimbabwe as an African country, multi-cultural;
multi-religious, multi-lingual and modern, whose strength lies in the
unity of its people;

Respectful of the institution and role of traditional
leadership and aware of its historic function as the first line of
defence in the struggle against colonialism, cultural imperialism and
Westernisation;

Now therefore, Conference resolves;

(a) That the party takes a leading role in identifying historic places
and locations where major battles took place during the First and
Second Chimurenga and to build shrines and museums at those places to
commemorate and immortalise heroic sacrifices.

(b) To urge the party to review and broaden the
educational curriculum in primary and secondary schools to include the
teaching of the history of the Liberation Struggle.

(c) That the party should institute research programmes to design ways
and means of protecting and enhancing the African cultural heritage.

(d) That the party should promote the design and
implementation of the teaching of a curriculum from Kindergatten to
tertiary education to promote core values that underpin the African
way of life.

(e) That the party should promote cultural dialogue with religions of
all faiths.

(f) That the party should establish cultural centres from
district to national level for cultural education and the holding of
arts workshops.

9. Constitution-making process

Whereas on September 15, 2008 the party signed the Global
Political Agreement (GPA) with the two MDC formations whose main
objectives included the making of a new constitution based on the
views of the people and subject to a referendum within 18 months of
the start of the process;

And whereas a Select Committee (Copac) was set up in
April 2009 under Article VI of the GPA to spearhead the Constitution
Making Process and produce a draft constitution within 18 months after
which there would be a referendum on the draft to be immediately
followed by the holding of harmonised elections;

Now therefore, Conference;

(a) Deplores the delaying tactics employed by the MDC formations which
have caused a constitution-making process that was supposed to take 18
months to last but has so far taken 44 months and is still going on
with no certainty as to when it would be concluded.

(b) Is outraged that the draft constitution produced by
Copac on July 18, 2012 deviated in serious material respects from the
views of the people expressed during the Copac outreach exercise and
which are contained in the National Statistical Report.

(c) Reiterates that any draft constitution emanating from the Copac
constitution making process must adhere to and conform with the views
of the people expressed during the Copac outreach exercise and
repeated at the Second All Stakeholders' Conference.

(d) Calls upon the party to resist all attempts and
machinations by some international forces and their local proxies to
smuggle nefarious values and practices onto the proposed new
constitution.

(e) Implores the GPA parties to conclude the constitution making
process before Christmas this year, failing which the Head of State
and Government and Commander-in-Chief of the Defence Forces should in
terms of the law issue the relevant Proclamation dissolving Parliament
and fixing a date for the holding of the harmonised elections under
the current Constitution.



ZANU PF admits millions owed to displaced farmers

SW Radio Africa

Monday December 10



Harare-ZANU PF has admitted that it does have an obligation to pay
compensation to farmers forced off their properties in the land grab
campaign, also admitting it illegally seized many farms.

This was revealed in a Central Committee report tabled
before the ZANU PF Annual Conference over the weekend. The report said
that farms covered by Bilateral Investment Promotion and Protection
Agreements (BIPPAs) were seized, in contravention of those agreements.
These include properties belonging to citizens from Denmark, Germany,
Italy, Malaysia, the Netherlands and Switzerland. The report detailed
that out of 153 BIPPA protected farms, 116 were taken over under the
land grab.

"The agreements require that Government pays fair compensation in
currency of former owner's choice for both land and improvements for
acquired BIPPA farms. In this regard, Government has an outstanding
payment of 16 million Euros awarded to Dutch farmers," the report
states.

The Dutch compensation claim was filed by farmers who lost
land in Zimbabwe between 2000 and 2002. The group of farmers took
their case to the International Centre for the Settlement of
Investment Disputes (ICSID), which ruled in their favour in 2009 and
ordered Zimbabwe to pay them 8.8 million euros compensation, with an
additional 10% interest for every year since the farms were seized.

The Central Committee report meanwhile said there was no money to pay
compensation.

"The Dutch farmers who took the country to the
International Court for Settlement of Investment Disputes and won have
not been paid. In addition, a German family, the Von Pezolds, has also
taken us to the ISCID for their farm which we acquired and partly
resettled. We are framing our defence with the Attorney General's
Office. The Von Pezolds claim is in the region of US$600 million."

The takeover of farms has also continued unabated with the ZANU PF
report saying that more than 200 farmers are being prosecuted for
"refusing" to give up their land.

Former commercial farmer Ben Freeth said the campaign will
not end while there is no outcry from key sectors of Zimbabwean
society, namely the MDC parties in government. He warned that ZANU PF
is carrying out "ethnic cleansing."

"This is racist. This is apartheid. Zimbabwe will remain hungry and
remain poor so long as this backwards, feudal system is able to
persist and no one does anything about it," Freeth said.

Meanwhile ZANU PF has finally taken over the farm that used to
belong to Ian Smith, with the Land Ministry handing the property to a
college. The remaining portion of Gwenoro farm was the final part of
the property not to be taken over in over a decade of land seizures.



My sister has found rest: Makone daughter

New Zimbabwe

Monday December 10



Harare-TANETA, the eldest daughter of Home Affairs Minister Teresa
Makone and her husband, Ian, an advisor to Prime Minister Morgan
Tsvangirai, has paid tribute to her sister, Nyarai, who committed
suicide on Saturday after battling "depression for a little more than
eight years".

Nyarai - who was laid to rest on Monday - was found dead
at her family home in Domboshava while her parents were attending the
Orange Democratic Movement's Convention with the Prime Minister in
Kenya.

"Suicide is never the answer to any problem and I wish she had not
taken this extreme way out," Taneta said.

"But she had been welded to an unbearable wall of
suffering for eight years with no respite, an agony whose depth became
abundantly clear when we found her body... lifeless but incredibly at
peace.

"Visually at least, my baby sister appears to have found the rest she
so desperately sought for eight years."

Taneta said everyday of those eight years was a struggle
in handling a regime of countless medicines "to manage the extremes of
her condition, visiting psychologists, psychiatrists, general
practitioners, relying also on extensive prayer, fasting, retreats,
music, art and design and virtually anything to restore herself to a
sense of equilibrium."

She added: "There are so many living angels amongst us who did all
they could to help my sister. Some took her into their homes abroad
for respite and change of scenery, others involved her in community
outreach programmes that she was passionate about and anything to help
lift the dark cloud of despair and doubt that hovered over her."

Nyarai is reported to have left a note apologising to her
family and her devastated mother said: "This is so difficult for us.
Nyarai was an articulate, intelligent and caring young woman. Lately
she has been very happy and doing really well.

"Nyarai was not just my daughter, she was my best friend. I have dealt
with people who have been bereaved but until something awful like this
happens to you, you can never understand how it feels."

Several key meetings scheduled for Monday including the
weekly meeting between President Robert Mugabe, Prime Minister Morgan
Tsvangirai and Deputy Prime Minister Arthur Mutambara were cancelled
to allow senior government officials to attend the 32 year-old's
burial at Glen Forest Cemetery in Harare.

Tsvangirai's spokesman, William Bango, said the principals may meet
Tuesday after the weekly cabinet session.

Tsvangirai - a long-time family friend of the Makones -
told mourners at Nyarai's burial she was just like his own daughter.

"I am mourning an assertive daughter. Nyarai was a unique girl and I
can tell you that she was very brilliant. But unfortunately, all that
brilliance has gone.

"Nyarai represents a generation of Zimbabwean youths,
whose expectations we should strive to fulfil. The gap between their
expectations and what we are delivering as a country is so wide. Every
youth here expects to have a job, to have a family."

Youth Minister Saviour Kasukuwere also attended the burial along with
a host of ministers and MPs.



Regional
Mandela faces more tests in hospital after "good night's rest"

Reuters

Monday December 10



Pretoria-Nelson Mandela, the 94-year-old former South African
president and revered anti-apartheid leader, is to undergo more tests
in hospital on Monday after having a good rest on his second night in
the facility, the government said.

A statement from the office of President Jacob Zuma, who
visited the Nobel Peace laureate on Sunday, gave no details other than
to say, "President Mandela had a good night's rest" and was "in good
hands". It also thanked members of the public for their messages of
support.

Defence Minister Nosiviwe Mapisa-Nqakula told reporters after paying
Mandela a visit in Pretoria's "1 Military" hospital that he was doing
"very, very well".

The military is responsible for the health of sitting and former South
African presidents.

Mandela, South Africa's first black president and a global
symbol of resistance to racism and injustice, spent 27 years in
apartheid prisons, including 18 years on the windswept Robben Island
off the coast of Cape Town.

He was released in 1990 and went on to be elected president in the
historic all-race elections in 1994 that ended white-minority rule in
Africa's most important economy.

He used his unparalleled prestige to push for
reconciliation between whites and blacks, setting up a commission to
probe crimes committed by both sides in the anti-apartheid struggle.

Mandela's African National Congress has continued to govern since his
retirement from politics in 1999, but has been criticized for
perceived corruption and slowness in addressing apartheid-era
inequalities in housing, education and healthcare.

When Mandela was admitted on Saturday, officials stressed
there was no cause for concern although domestic media reports
suggested senior members of the government and people close to him had
been caught unawares.

The City Press newspaper said both the Nelson Mandela Foundation and
his ex-wife, Winnie Madikizela-Mandela, had not known about his
transfer to the capital from his home in the remote village of Qunu in
the Eastern Cape province.

"I wish Mr Mandela a quick recovery from his sickness so
we can be with him all the time. He was a good president, a good
leader, so he must be with us," said John Sekiti, a petrol station
attendant in Pretoria.

Mandela remains a hero to many of South Africa's 52 million people and
two brief stretches in hospital in the last two years made front page
news.

He spent time in a Johannesburg hospital in 2011 with a
respiratory condition, and again in February this year because of
abdominal pains. He was released the following day after a keyhole
examination showed there was nothing serious.

He has since spent most of his time in Qunu.

His fragile health prevents him from making any public appearances
in South Africa, although he has continued to receive high-profile
domestic and international visitors, including former U.S. President
Bill Clinton in July.



Now Bank of Zambia demands K 4 billion from MMD over the two collapsed
commercial banks

Lusaka Times

Tuesday December 11



Lusaka-Bank of Zambia (BOZ) has now joined the bandwagon of
institutions demanding money from former ruling party, Movement for
Multi-Party Democracy (MMD). BOZ is seeking to recover over K4 billion
which the former ruling party owes.

The Central Bank has on numerous occasions written to the
MMD demanding the settlement of a total K4, 044,049,420 but the former
ruling party has not responded to the demand.

This is according to a letter obtained by the Times of Zambia dated
October 18, 2011, by BoZ Assistant Director - Regulatory Policy and
Liquidation Norbert Mumba and addressed to the MMD National Secretary.

The BoZ is demanding for the K4, 044,049,420 owed to it in
respect of MMD and MOPED Investments Limited, Commerce Bank Zambia
Limited (CBL) and Meridien BIAO Bank Zambia Limited (MBBZ) both in
liquidation.

"We write to demand settlement of outstanding debt owed by your party
amounting to K4 billion. The breakdown is as follows, MBBZ K
2,801,150,684.93, Moped Investment Limited debt (MBBZ) K
798,348,493.15, CBL K444, 550,242.37," the later read.

The BoZ is demanding for the K4, 044,049,420 owed to it in
respect of MMD and MOPED Investments Limited, Commerce Bank Zambia
Limited (CBL) and Meridien BIAO Bank Zambia Limited (MBBZ) both in
liquidation.

The letter was also copied to the Deputy Governor Operations, Director
Bank Supervision, Liquidation Coordinator-Meridien BIAO Bank Zambia
Limited and Liquidation Coordinator-Commerce Bank Zambia Limited.

The letter further stated that the MMD needed to make a
prompt settlement of the debts and that it could call on Mr Mumba the
BoZ official.

"You are no doubt aware that the Bank of Zambia and the former
Liquidation Managers have on several occasions written and contacted
your party seeking settlement of the debt but to no avail," official
correspondence between the BoZ and MMD further read.

But MMD vice president in charge of politics Michael
Kaingu said he was not in receipt of the demand letter and charged
that the Government wanted to ensure that the former ruling party was
wiped out.

It was not clear whether the MMD would settle the over K4 billion debt
as it had struggled to pay K400 million it owed the Registrar of
Societies. It had so far only paid K300 million towards the debt.

Last week, the National Pension Scheme Authority (NAPSA)
filed a law suit demanding the payment of over K90 million for failure
to refurbish its former headquarters at the NAPSA Lusaka House.

The party had since been given a seven-day ultimatum in which to
settle the outstanding amount.



Rhino poaching: South Africa and Vietnam sign deal

BBC News

Monday December 10



Pretoria-South Africa has signed a deal with Vietnam to help curb the
rising number of illegally slaughtered rhinos, officials announced on
Monday.

The price of rhino horn - used in traditional medicine in
Asian countries - has soared.

Rhino poaching is already banned under international conventions but
figures show the number of rhinos killed in 2012 was nearly double the
2010 figure.

South Africa is home to about 85% of Africa's estimated
25,000 rhinos.

Conservation groups have welcomed the move as the first official
co-operation between the two nations on the issue.

The trade in rhino horn has been banned by the Convention
on International Trade in Endangered Species (Cites) since 1980.

At least 618 rhinos have been poached in South Africa in 2012, nearly
double the number of those killed in 2010, latest official figures
show.

Most of the killings took place in the world-famous Kruger
National Park.

Turning point?

"The continued slaughter is a cause for immense concern,"
South Africa's environmental minister, Edna Molewa said after signing
the new agreement in the Vietnamese capital Hanoi.

"We believe that this latest development at an international level is
crucial for South Africa to effectively deal with the current scourge
of poaching, and with the illegal hunting largely driven by the
international demand for the rhino horn."

Buyers in Vietnam are willing to pay a high prize for the
commodity, believed to help reduce toxins in the body, treat fever and
even cure cancer.

The black market price of rhino horn is now in the region of $65,000
(£40,000) per kg - more than gold.

Since 2003, Vietnamese hunters are estimated to have paid
more than $22m to hunt rhinos in South Africa, according to a recent
report by the World Wildlife Fund (WWF).

The new deal will focus on seven key areas of cooperation, including
the protection of South Africa's biodiversity and compliance with
internationally binding conventions like Cites.

Each nation will appoint a co-ordinator to help implement
the agreement, which will remain in force for five years.

The deal could mark a turning point in efforts to protect rhinos
because it represents the first official pact signed by both
countries, WWF spokesman Richard Thomas told the BBC.

"Its implementation will of course be down to political will but
the chances are much better if the orders come from high enough in the
government," he said.



Kidnappers urged to release Nigerian minister's mother

Reuters

Monday December 10



Abuja-The family of Nigeria's finance minister made an emotional
appeal for kidnappers to free her 82-year-old mother on Monday, saying
the elderly woman was in fragile health.

Kamene Okonjo, mother of Finance Minister Ngozi
Okonjo-Iweala, was abducted from her home on Sunday in Nigeria's
oil-producing Delta state where kidnapping is rife.

"Around lunch time yesterday, some gunmen came to the compound and
forced the gate open and took my mother away. The family is upset and
traumatized," the minister's younger brother Onyema Okonjo told
Reuters at the house.

"To abduct a grandmother more than 80 years old is sad. We
appeal to them to release her as soon as possible because her health
condition is not good," Onyema added.

Other members of the family sat outside in the sweltering heat as
dozens of people arrived to offer support. The compound was surrounded
by police.

Police said someone purporting to be one of the kidnappers
had phoned on Monday to make some demands, but it was impossible to
say whether the call was genuine.

"We have to identify the source of the call ... Anybody can make
spurious calls and demands," said Delta state police spokesman Sergie
Ezegam, without giving details of who was contacted or what was
demanded.

"We still don't know the reason for her abduction. What we
know is that this is a crime, the woman's life is in danger and we are
making frantic efforts to rescue her," he added.

REGULAR KIDNAPPINGS

Criminal gangs regularly kidnap people for ransom in
Nigeria, but it is rare for them to target members of the political
elite.

Minister Ngozi Okonjo-Iweala has received threats in the past, her
special adviser Paul Nwabuikwu said on Sunday.

Her drive to reform a corrupt and closed economy has made
the economist popular with Western powers and Nigerians hoping for
change.

But the former World Bank director has also made enemies along the
way, especially among fuel marketers benefiting from a corrupt state
subsidy scheme.

News of the kidnapping came as Okonjo-Iweala was locked in
negotiations with parliament over the budget. It was not clear whether
the abduction would affect her schedule.

Delta state Governor Emmanuel Uduaghan told journalists he had ordered
security forces to rescue her within 24 hours.

Abductions are most common in oil-producing areas like
Delta state. The majority of people abducted are Nigerians, but
foreign oil and construction workers have also been targets.

Abductions spiked during years of militancy in the Delta, until an
amnesty in 2009, but they remain commonplace.

The father of Chelsea soccer club player John Obi Mikel was
kidnapped in central Nigeria last year and later freed. Authorities
declined to comment on how he was released.



Mozambique's 'growth corridor' hopes to tackle poverty and turn a profit

The Guardian

Monday December 10



Beira-The marriage of capitalism and poverty reduction is being
consummated in a freshly-painted office on the first floor of a block
of flats in the centre of Maputo, the Mozambican capital, . "If we do
not invest in our smallholder farmers, then poverty will always be
around us. I believe you can have a vibrant small farming sector
underpinned by the commercial sector," said Emerson Zhou, the
executive director of the Beira Agricultural Growth Corridor (BAGC),
the umbrella body tasked with building a relationship between
smallholder farmers and big food purchasers, like the World Food
Programme (WFP) and brewer SABMiller.

But activists such as those in the Mozambican National
Peasants' Union (Unac)are weary. They warn that large "corridor"
projects, signed off in capital cities, covering millions of hectares
and affecting the lives of thousands of small-scale farmers, have a
history of handing too much influence to agro-industry at the expense
of local needs. Expropriation, resettlement and monoculture loom, they
warn, in any setting where powerful agro-industry interests gain the
ear of decision-makers.

The Beira corridor is strip of land running from the Indian Ocean port
of Beira, Mozambique's second city, to Zimbabwe's eastern border. Its
road and rail lines are crucial to the survival of landlocked
countries such as Zambia, Malawi and Zimbabwe. But its 10m hectares of
fertile agricultural land remain largely undeveloped.

After Zimbabwe's president, Robert Mugabe, threw out most
of his country's white commercial farmers in the late 1990s, around
100 of them moved into the Beira corridor, where they tried
horticulture and tobacco farming alongside Mozambican small-scale and
subsistence farmers. But because all land in Mozambique is
government-owned, they could not raise bank loans to establish viable
farming businesses. Nor did they have access to any of the technology
- such as soil sampling - that had been available in Zimbabwe.

"Less than 10 of them remain in the corridor," said Zhou, an economist
and former leader of the Mozambican Smallholder Farmers' Union.

"Financing was the killer. The only ones who succeeded were those
willing to work as outgrowers for the tobacco industry.''

Zhou argues that the failed commercial farming experiment
served to inform the creation of the new project two years ago. Set up
with Norwegian funds and aimed at reaching 50,000 smallholders, it is
funded by Department for International Development (DfID) to the tune
of £6.5m over five years. It also receives support from the Dutch
government.

Zhou's BAGC runs a DfID-supported $20m "catalytic fund" which pays
grants and offers loans to farmers.

It also has four field staff and claims to be intending to recruit
50 more. BAGC also runs a marketing company, Empresa de
Comercialização Agrícola (ECA), which acts as the produce broker for
the Beira corridor smallholders, who are encouraged to work as
outgrowers for agro-business. ECA counts SABMiller, the Tongaat
Hullett sugar company and the WFP among its customers. The BAGC
"catalytic fund " consists of so called "social venture capital"
raised by a London-based company called AgDevCo. It raises money from
governments and foundations but also from private investors.

Zhou claims the catalytic fund is not replacing commercial
banks, rather that it is stepping in where farmers cannot access
funds. He believes that the Beira corridor experiment he heads, if
successful, will spawn the growth of a commercial farming services
sector that will ultimately do away with the need for government to
distribute inputs - such as seed and fertiliser - to smallholders. He
claims it will have the reach to transform subsistence farmers into
smallholders.

Nigel Fairbrass, a spokesman for SABMiller, said the company's link to
the BAGC makes commercial sense. "We do not get a subsidy from anyone
to buy our maize from the ECA. Building a local supply chain makes
sense. Given the US drought, the poor European harvest this year and
the grain crisis a few years ago in Russia, we are heeding predictions
that climate change could make supply more volatile.'' Zhou sees his
role as spearheading "an experiment the donors want to try. This is
the first public-private partnership of its kind in Mozambique."

He adds: "We believe we can take a bite out of poverty. We will
emphasise cash crops. Maize and soya are cash crops. We want a
smallholder agriculture sector that is interested in making money. We
are not interested in the social angle."



Mali prime minister arrested as he tries to leave country

Reuters

Monday December 10



Bamako-Malian soldiers arrested Prime Minister Cheick Modibo Diarra
late on Monday, accusing him of blocking efforts to stabilize a nation
divided by a coup in the capital and the Islamist takeover of the
desert north.

"He was arrested ... as he tried to leave for France,"
said Bakary Mariko, a spokesman for the group of soldiers who seized
power in a March coup. The group remains powerful despite officially
handing power back to civilians earlier this year.

Diarra's arrest was confirmed by a diplomat in Mali.

The move will complicate efforts to stabilize the West
African nation, where soldiers and politicians remain divided since
the coup in March and where the north of the country is occupied by al
Qaeda-linked Islamist fighters.

Residents in Bamako said the town was quiet in the early hours of
Tuesday morning.

Mariko said Diarra had been taken to Kati, the military
barracks town just outside the capital which still serves as the
former junta's headquarters.

"The country is in crisis but he was blocking the institutions,"
Mariko said. "This is not a coup. The president is still in place but
the prime minister was no longer working in the interests of the
country."

Officials from Diarra's office were not available for comment.

There have been divisions for months between the former junta, interim
President Diouncounda Traore and Diarra, a former NASA scientist and
Microsoft chief for Africa.

Diarra was made prime minister in April after the military
officially handed power back to civilians. As the son-in-law of Moussa
Traore, a former Malian coup leader and president, he appeared to have
good ties with the military.

However, tensions became particularly acute in recent weeks, with
analysts saying Diarra, a relative newcomer to Malian politics after
years abroad, seemed keen to establish a political base of his own
ahead of any future elections.

West African leaders and Western nations have warned that
Mali's north has become a safe haven for terrorism and organized
crime, but they have struggled to draw up plans to help the country
because of the deep divisions in the capital.

Some of Mali's politicians support the idea of a foreign-backed
military operation to retake control of the north. Others, including
much of the military, say they need only financial and logistical
support and insist that Mali can carry out the operation itself.

[arthur ndowora]

---------- Forwarded message ----------
From: "Zfn (Zimbabwe)" <z...@yoafrica.com>
Date: Wed, 12 Dec 2012 08:15:47 +0200
Subject: Overseas Press Summary + Alex Cartoon
To: "Zfn (Zimbabwe)" <z...@yoafrica.com>

Zfn
Realtime financial intelligence
__________________________________________________________________________________




Headlines
Financial & Global Economy

*Big tech boosts S&P 500 to best close since election - Reuters

*FTSE 100 closes in on year highs - FT

*Gold holds near $1,710 - Reuters

*Oil rise on hopes of fresh US stimulus - AFP

*HSBC blasted for 'stunning failures over oversight' - BBC News

*Wal-Mart CEO says "fiscal cliff" affects U.S. shoppers - Reuters

*Goldman says due diligence 'not our job' in Dragon sale - Bloomberg

*World Bank chief expect eurozone growth - DPA

*Yahoo Mail finally gets a revamp and new apps - CNNMoney

*Cosmetic giant Avon will cut 1,500 jobs globally - Reuters

*Delta to buy Virgin Atlantic stake from Singapore Airlines - BBC News

*Mazda leads diesel comeback as dirty-clunker stigma fades - Bloomberg

*German investor confidence jumps - DPA

*Basel III rules set to be delayed by up to a year: Bank of Italy - Reuters

*First arrests in Libor manipulation case - CNNMoney



International
*Gunman kills two at Oregon mall before taking own life - Reuters

*North Korea launches long-range rocket - Al Jazeera

*Sugar 'comforts babies during immunisations' - BBC News

*Fears for Christmas tree's safety - AFP

*Monti in talks to run for Italian PM - CNN News

*Toothy prehistoric lizard named Obamadon after smiling president - Reuters

*Philippine typhoon toll passes 700 - Al Jazeera

*UK to propose same sex civil ceremonies - AFP

*Vigilante cop executed over 1986 killing spree - Sky News

*Light smoking 'doubles sudden heart death risk in women' - BBC News

*Mexico's ruling party chooses new leader - Reuters

*Four more arrests made over Dutch linesman death - CNN News

*'If United fail, we'll be sacked' - Super Sport



News from the Axis
*Chavez undergoing cancer surgery today, minister says - Bloomberg

*From bus driver to president-in-waiting - Reuters

*Iran shuts Afghan consulate - AFP

*Obama recognizes Syrian opposition coalition - CNN News

*Standoff over Yemen Scud missiles - Reuters



Political and General
*Air Zimbabwe braces for crucial IATA test - New Zimbabwe

*Cathy Buckle on Christmas in Zimbabwe - Nehanda Radio

*MDC blasts Charumbira for 'Zanu PF, chiefs inseparable' remarks - New Zimbabwe



Regional
*Majors court kingpin Eni on Mozambique gas bonanza - Reuters

*Mandela's wife says his 'sparkle, spirit fading' - New Zimbabwe

*Nelson Mandela has lung infection - BBC News

*Ghana's bright future depends on fair share from resources - Mahama - Reuters

*Opposition to challenge Ghana poll - AFP

*Egypt crisis: Morsi supporters and opponents rally - BBC News





Financial & Global Economy
Big tech boosts S&P 500 to best close since election

Reuters

Tuesday December 11



New York-Stocks rose on Tuesday, led by gains in technology companies,
helping the S&P 500 end at its highest level since Election Day.

A 2.2 percent gain to $541.39 in Apple's (AAPL.O) stock
lifted the Nasdaq, as the largest U.S. company by market value
rebounded from a week in which investors took profits before a
possible tax rise next year. Prior to Tuesday's trading, Apple shares
had lost 25 percent from an all-time intraday high hit in September.

Stocks pared some gains by late afternoon as more news on the "fiscal
cliff" negotiations emerged. U.S. Senate Majority Leader Harry Reid
said it will be difficult to reach agreement resolving the cliff tax
hikes and spending cuts before Christmas.

"There's been a real explosion in anxiety over this thing.
Because markets have become the way they are, you've got people just
stepping back," said James Dailey, portfolio manager of TEAM Asset
Strategy Fund in Harrisburg, Pennsylvania.

"There's a tremendous absence of liquidity in the market," he said.

The S&P 500 had lost 5.3 percent in the seven sessions
following Election Day as investors refocused on the threat posed to
the economy by the fiscal cliff, a series of automatic spending cuts
and tax increases. Markets have mostly recovered those losses, but
volume has been thin, suggesting investors are not betting
aggressively due to the uncertainty.

The Dow Jones industrial average .DJI was up 78.56 points, or 0.60
percent, at 13,248.44. The Standard & Poor's 500 Index .SPX was up
9.29 points, or 0.65 percent, at 1,427.84. The Nasdaq Composite Index
.IXIC was up 35.34 points, or 1.18 percent, at 3,022.30.

Volume was roughly 6.43 billion shares traded on the NYSE,
the Nasdaq and the NYSE MKT, compared with the year-to-date average
daily closing volume of roughly 6.5 billion.

Other major tech stocks also rose. Texas Instruments (TXN.O) gained 4
percent to $31.01 after bumping up its profit target late Monday. That
helped other chipmakers rally, with the PHLX Semiconductor index .SOX
up 1.9 percent. Microsoft (MSFT.O) rose 1.4 percent to $27.32.

The lack of demonstrable progress in the fiscal cliff
negotiations has kept investors from making aggressive bets in recent
weeks.

Republican House Speaker John Boehner called on President Barack Obama
to propose a counter-offer on Tuesday.

Retailers like luggage maker Tumi Holding Inc (TUMI.N) and
Michael Kors Holding (KORS.N) gained on Tuesday after a positive
report from Goldman Sachs Equity Research. Tumi was up 4.7 percent to
$21.92 and Michael Kors gained 2.4 percent, reaching $50.92.

By contrast, discount retailers Dollar General (DG.N) and Family
Dollar (FDO.N) declined. Dollar General, whose shares fell 7.8 percent
to $42.94, said it sees margins under pressure in 2013.
[ID:nL1E8NB0QB] Family Dollar shares dropped 8.4 percent to $64.68.

SPX Corp (SPW.N) shares fell 9.1 percent to $62.07 and the
stock was the biggest percentage decliner on the New York Stock
Exchange after sources said the company is in exclusive talks to buy
rival Gardner Denver (GDI.N), in a merger that could create an
industrial machinery conglomerate with a market value over $7 billion.

The U.S. Treasury is selling its remaining stake in insurer American
International Group Inc (AIG.N). AIG's shares were up 5.7 percent at
$35.26.

The Fed began a two-day policy-setting meeting on Tuesday.
The central bank is expected to announce a new round of Treasury bond
purchases when the meeting ends on Wednesday to replace its "Operation
Twist" stimulus, which expires at the end of the year.

Advancers outnumbered decliners on the NYSE by about 2 to 1, and on
the Nasdaq by nearly 9 to 4.



FTSE 100 closes in on year highs

FT

Tuesday December 11



London-Some mixed performances from London's heavily weighted oil and
mining stocks on Tuesday, left the FTSE 100 lacking momentum but the
index still managed its fifth-successive positive session.

Closing at its best level since March, and within sight of
its year-highs, London's benchmark added 3 points to 5,924.97 after
better data from the eurozone and some well-received earnings.

Resource stocks, however, which are crucial to the globally-focused
FTSE 100, ended mixed as a number of brokers turned cautious on some
stocks in the sector.

Eurasian Natural Resources fell 3.7 per cent to 266.1p
after Citigroup cut its rating to sell from neutral and lowered its
target price to 170p from 350p. Meanwhile, ENRC's compatriot Kazakhmys
fell 0.6 per cent to 749.25p after Nomura cut to reduce from neutral
and its target price to 700p from 800p.

Nomura was positive, however, on BHP Billiton, whose target price it
lifted to £23.50 from £20, while maintaining a buy rating.

"We examined the growth profiles of each of the companies
under our coverage to determine which has the most reliable and
attractive growth," said Sam Catalano at Nomura. "If we had to choose
one stock in which to invest in this sector, BHP Billiton stands out."

Shares in BHP gained 1.6 per cent to £20.55, while Rio Tinto, which
Nomura also named as one of its sector preferences, rose 1 per cent to
£33.09.

Evraz, the Russian steelmaker also stood out, up 2.5 per
cent to 252.35p.

Tullow Oil made the biggest loss on the top tier, falling 8.4 per cent
to £11.50 after the oil explorer announced plans to acquire Norway's
Spring Energy and dispose of its North Sea operations.

The group said the $372.3m deal with private equity group
HitecVision, which could also trigger further payments of $300m
depending on the outcome of explorations at four specific sites, was
part of its plan to concentrate on lighter, more easily refined crude.
The sale of its UK and Dutch operations will be handled by Jefferies,
and is expected to complete by the end of 2013.

"Spring's portfolio contains two discoveries," said Richard Griffith,
analyst at Oriel Securities.

Tullow's net share of [Spring's] resources in these assets implies a
purchase price of US$15.5/barrel of oil equivalent, although clearly
part of Tullow's purchase price is reflecting expectations for the
exploration portfolio. Spring has a 16-well exploration programme
planned for 2013-14."

But Whitbread, the owner of the Costa Coffe and Premier
Inn chains, climbed on the FTSE 100 after well received third-quarter
numbers.

Group like-for-like sales rose 3.3 per cent, energised by a 7.1 per
cent rise in like-for-like sales at Costa.

Wyn Ellis, analyst at Numis Securities called Whitbread's numbers
"very solid", and raised the broker's price target on the stock from
£26.50 to £27.00. The stock rose 2.5 per cent to £24.91.

HSBC took confirmation of its payment of a record $1.9bn
fine to US regulators to settle money laundering allegations in its
stride.

Shares in the bank, seen as having one of Europe's best capitalised
balance sheets, rose 0.6 per cent to 644.9p.

A sense of caution was not far away as eyes across global markets were
also watching Washington, where talks to avert the automatic
introduction of $600bn in tax rises and spending cuts threaten to send
the US economy over its fiscal cliff unless legislators agree to
unwind the measures.

There were heavy losses for mid-cap Domino Printing
Sciences after it reported a 10 per cent fall in annual profit of
£53.7m.

Shares in the barcode printer, which has struggled with falling sales
in Europe and China, lost 6.4 per cent to 571.25p.

Overall, London's second-tier index was 0.1 per cent higher at
12,190.58, a rise of 12 points. Housebuilders, among the best
sector-level performers of 2012, continued to underpin the gains,
while investment stocks continued to slow the rally.



Gold holds near $1,710

Reuters

Tuesday December 11



New York-Gold held near $1,710 an ounce on Tuesday, little changed
from the previous session, ahead of a US Federal Reserve meeting where
policymakers are expected to announce more potentially
bullion-supportive stimulus measures.

Many economists expect the Fed to announce monthly bond
purchases of $45 billion after its meeting on Tuesday and Wednesday.

Gold benefits from an easy monetary policy as investors fear that
repeated cash printing will damage the value of currencies, prompting
them to seek safety in hard assets such as bullion.

Spot gold was down 0.1 percent at $1,709.50 an ounce at
13:19 SA time, after hitting a one-week high of $1,717.20 in the
previous session. US gold dropped 0.2 percent to $1,711.20 an ounce.

Gold has risen more than 9 percent so far this year amid monetary
easing policies by the world's central banks, especially the Fed and
European Central Bank.

"If the Fed comes out with $45 billion of bond purchases,
it could be the spark we need for another gold rally," Mitsubishi
analyst Matthew Turner analysts.

"Previous episodes of quantitative easing (QE) have seen a gold rally.
The policy should increase inflationary expectations, and gold acts as
a hedge against inflation."

"If there were no new stimulus, I think the gold price
would fall quite sharply," he added. "If they announce, say $20
billion, it could have a neutral effect. It all depends on how much
the market is pricing in."

On other financial markets, European shares rose in mid-morning trade
and the euro hit a session high against the dollar after data showed
German investor confidence unexpectedly rose in December after a sharp
fall in the previous month.

German Bund futures also retreated after the data, while
Italian government bond yields reversed an early rise, nudging lower
on the day as concern at the long-term impact of Prime Minister Mario
Monti's early resignation ebbed.

HONG KONG GOLD PREMIUMS HIT 5-MONTH HIGH

Gold premiums in Hong Kong rose to their highest in about
five months on Tuesday as Chinese banks stocked up on bullion to avoid
a supply crunch when refineries close shop for the year-end holidays.

"Chinese buying has been picking up," Dick Poon, general manager of
Heraeus Metals Hong Kong Limited, said. "The banks want to keep some
inventory and prepare for the holiday demand around the Lunar New
Year."

China is currently vying with India as the world's number
one gold consumer, after Indian demand fell 24 percent in the first
three quarters of the year.

South Africa's gold output nearly halved in October from the same
period last year, highlighting the impact of a wave of wildcat strikes
that swept the sector, data showed on Tuesday.

Both platinum and palladium hit multi-month highs in the
previous session, encouraged by strength in base metals and a bright
outlook for the Chinese economy.

"Since the beginning of the year, a total of 17.5 million cars, trucks
and buses have been sold in China, 4 percent up on last year,"
Commerzbank said in a note. "It is estimated that next year will at
least see car sales growing by a further 10 percent or so."

"Platinum and palladium are used to manufacture
autocatalysts and should profit from the increased demand in China,"
it said. "The platinum price has also found support from ETF investors
in recent weeks."

Spot platinum was up 0.1 percent at $1,619.30, off Monday's peak of
$1,625.00, its highest since mid-October.

Spot palladium, which hit a three-month high of $702.50 on
Monday, was down 0.2 percent at $695.50. The metal is in overbought
territory after rising around 15 percent in the last month,
outstripping gains in other precious metals.

Silver was down 0.3 percent at $33.08 an ounce



Oil rise on hopes of fresh US stimulus

AFP

Tuesday December 11



New York-World oil prices rose Tuesday on expectations of fresh
stimulus measures from the Federal Reserve to perk up the struggling
US economy, and on the eve of a key OPEC output decision, analysts
said.

Brent North Sea crude for January added 70 cents to
$108.07 per barrel in early afternoon deals in London.

New York's main contract, light sweet crude for delivery in January,

or West Texas Intermediate (WTI), won 41 cents to $85.97 a barrel.

The US central bank's policy-setting Federal Open Market
Committee (FOMC) is expected to announce new measures to stimulate the
economy at the end of a two-day meeting that starts late Tuesday.

"Tonight the Fed begins a two-day love-in, which could see the
announcement of more bond-buying ... which could give markets another
leg up this month," said a report from trading firm IG Markets.

Stubborn high unemployment in the world's largest economy
and oil consumer as well as the looming fiscal cliff, give the FOMC
every reason to expand its stimulus efforts, analysts said.

Traders are keeping an eye on what the Fed will do as the end
approaches of its "Operation Twist" programme, under which it has sold
short-term debt to buy longer-term debt.

There are signs that bank policymakers will replace it
with more outright bond purchases, or "quantitative easing", aimed at
lowering interest rates to encourage businesses to invest and hire.

Meanwhile, traders digested the latest demand forecasts from OPEC on
the eve of the cartel's latest production meeting.

OPEC kept its forecast for growth in world oil demand
unchanged for 2012 and 2013 as ministers gathered in Vienna.

World oil demand this year was expected to reach 88.80 million barrels
per day (mbpd), up from 88.04 mbpd in 2011, the Organisation of
Petroleum Exporting Countries said in its monthly report, repeating
the same figures given in November.

Next year, global demand is set to grow to 89.57 mbpd,
OPEC forecast.

The report comes a day before ministers of the 12-nation cartel meet
in Vienna to decide on its oil production ceiling.

OPEC, which pumps 35 percent of the world's oil, said much
of its demand growth this year came from Japan, which has turned to
oil after shutting down nuclear power plants in the wake of the
Fukushima disaster in 2011.

For 2013, OPEC was more optimistic, citing an improving economy in the
United States and a potential return to growth in the eurozone, though
it cautioned that "this might prove challenging."

At its last meeting in June, OPEC opted to keep its oil output

ceiling at 30 million barrels per day - after first agreeing on the

level a year ago - and vowed to eliminate over-production.

HSBC blasted for 'stunning failures over oversight'

BBC News

Tuesday December 11

London-The US said "dangerous practices" at HSBC allowed the bank to
pass money to "drug kingpins and rogue nations", as it fined it $1.9bn
(£1.2bn).

HSBC agreed the fine, the largest of its kind, earlier on Tuesday.

A US Senate investigation said the UK-based bank had been a conduit
for drug barons and nations such as Iran against which it had
sanctions, making it illegal to do business there.

HSBC admitted having poor money laundering controls and apologised.

Money laundering is the process of disguising the proceeds of crime so
that the money cannot be linked to the wrongdoing.

US Assistant Attorney General Lanny Breuer said in a
statement: "HSBC is being held accountable for stunning failures of
oversight - and worse - that led the bank to permit narcotics
traffickers and others to launder hundreds of millions of dollars
through HSBC subsidiaries.

Another official said it was implicated in "wilful and dangerous" practices.

'Sorry'

"We accept responsibility for our past mistakes," said
HSBC group chief executive Stuart Gulliver in a statement.

"We have said we are profoundly sorry for them, and we do so again."

The bank said it had spent $290m on improving its systems
to prevent money laundering and clawed back some bonuses paid to
senior executives in the past.

It also said it expected to reach an agreement with the UK's Financial
Services Authority shortly. Last month it announced it had set aside

$1.5bn to cover the costs of any settlement or fines.

The news followed the announcement of a similar but much

smaller settlement with UK-based Standard Chartered bank, which will

pay $300m in fines for violating US sanctions.

The cases are seen as part of a crackdown on money laundering and
sanctions violations being led by federal government agencies and New
York state authorities.

Senate criticism

The settlement had been widely expected following a report
by the US Senate, published earlier this year, that was heavily
critical of HSBC's money laundering controls.

The report alleged that:

HSBC in the US had not treated its Mexican affiliate as high risk,
despite the country's money laundering and drug trafficking challenges

The Mexican bank had transported $7bn in US bank notes to HSBC in
the US, more than any other Mexican bank, but had not considered that
to be suspicious

It had circumvented US safeguards designed to block transactions
involving terrorists drug lords and rogue states, including allowing
25,000 transactions over seven years without disclosing their links to
Iran

Providing US dollars and banking services to some banks in Saudi
Arabia despite their links to terrorist financing

In less than four years it had cleared $290m in "obviously
suspicious" US travellers' cheques for a Japanese bank, benefiting
Russians who claimed to be in the used car business

The report suggested HSBC accounts in Mexico and the US were being
used by drug barons to launder money.

BBC business editor Robert Peston said that as big as the
$1.9bn penalty looks, it could have been much worse.

"HSBC has signed a Deferred Prosecution Agreement for breaches of the
US Bank Secrecy Act, the Trading with the Enemy Act and assorted money
laundering offences. This is in effect putting the bank on probation,"
he said.

"But if HSBC had been indicted for these offences, that
would have meant that the US government and others could no longer
have conducted business with it, which would have been humiliating and
highly damaging."

'Failures'

The bank stressed that it had taken on new senior
management since the time the problems happened.

Lord Green was chairman of HSBC from 2006 until late 2010 and is now
Minister of State for Trade and Investment.

In a statement, his department said: "The report by the US
Senate Sub-Committee sets out in detail the evidence submitted to it,
and the action taken by HSBC to ensure compliance with US regulations
at the time that Lord Green was group chairman. It is for HSBC to
respond to this report."

HSBC has announced it has appointed a former US official to work as
its head of financial crime compliance, which is a new position.

Bob Werner was previously the head of the US Treasury's
Office of Foreign Assets Control (OFAC) - the agency responsible for
enforcing the US sanctions on countries including Iran.

He will be responsible for beefing up HSBC's anti-money laundering and

sanctions compliance systems.

It is unclear what impact the case will have on HSBC's business.
The bank is the biggest in Europe by market capitalisation, and made
pre-tax profits of $12.7bn for the first six months of 2012.

Wal-Mart CEO says "fiscal cliff" affects U.S. shoppers

Reuters

Tuesday December 11



New York-A large portion of American consumers now know about the
"fiscal cliff" and a sizeable number of them expect the debate over it
to curb their holiday spending, according to the chief executive of
Wal-Mart Stores Inc.

In the week before last month's U.S. presidential
election, only 25 percent of its core U.S. shoppers knew what the term
"fiscal cliff" meant, CEO Mike Duke told a gathering on Tuesday in New
York.

"One week after the election it was up to 75 percent," said Duke,
adding that 15 percent of those customers said the debate in
Washington would affect what they spend for Christmas.

Wal-Mart, the largest retailer in the United States and
the world, polls its shoppers regularly.

The latest poll could bode poorly for retailers like Wal-Mart, which
rely on the year-end holiday shopping season for an outsized portion
of their annual revenue.

The "fiscal cliff" refers to the automatic steep tax hikes
and spending cuts set for January 1 that the White House and members
of Congress have been negotiating to avoid. Fears about the cliff
stand to weaken consumer spending, which accounts for some two-thirds
of U.S. economic activity and is already being hurt by lingering
unemployment.

Duke's appearance at the Council on Foreign Relations attracted
protesters, many of whom blasted the company's wages and labor
practices. Criticism has increased since a factory fire in Bangladesh
last month that killed 112 garment workers making clothes to be sold
by retailers including Wal-Mart.

ENFORCING STANDARDS

Duke admitted that Wal-Mart still had work to do in terms
of enforcing its own standards and discipline on its global supply
chain and setting an example for others in the industry.

"It takes work every day. We will never be there completely," Duke said.

Wal-Mart has done extensive work in Bangladesh, he said,
to improve the safety of factories. In 2010 he said Wal-Mart stopped
doing business with 94 factories that didn't meet the company's
standards and helped raise standards in 23 others. Some 3,000
factories went through training, he said.

When asked if Wal-Mart's need for low retail prices and profitability
was at odds with safe working conditions, Duke said there was no
conflict.

"We will not buy from an unsafe factory. This is not a
price discussion," he said. "If a factory is not going to operate with
high standards then we would not purchase from that factory. There's
no discussion about pricing."

Duke was also asked about an investigation into allegations of bribery
being overseen by the audit committee of its board of directors, which
is working with U.S. authorities. He said he did not know when it
would end.

"I think these things are intended to be very, very
thoughtful, deliberate, well-done and very, very complete."

The company became the subject of a probe over potential violations of
the Foreign Corrupt Practices Act, a U.S. law that forbids bribing
foreign officials, earlier this year after a New York Times story
alleged that its Mexican unit used a campaign of bribery to grab
market dominance.

Duke was responsible for the company's international
operations from 2005 to 2009.

The New York Times reported that a senior Wal-Mart lawyer received an
email from a former executive at the Mexican division in September
2005 describing how the Mexican affiliate had paid bribes to obtain
permits to build stores in Mexico.

The paper said senior Wal-Mart officials stymied an internal
investigation into the alleged bribery, which involved suspect
payments worth $24 million.



Goldman says due diligence 'not our job' in Dragon sale

Bloomberg

Wednesday December 12



New York-A lawyer for Goldman Sachs Group Inc. (GS) said it wasn't the
firm's job to do financial due diligence for its client, Dragon
Systems Inc., in the company's 2000 sale to a Belgian competitor that
collapsed in an accounting scandal.

John Donovan Jr., a lawyer for the New York-based bank,
told a jury in federal court in Boston today that Goldman Sachs was
hired to negotiate the terms of the transaction for Dragon, not to
uncover the fraud at the acquirer, Lernout & Hauspie Speech Products
NV.

The founders of Dragon sued Goldman Sachs claiming its bad advice led
to a disastrous $580 million all-stock transaction.

"Financial accounting diligence was not Goldman's job,"
Donovan, a partner in the Boston law firm Ropes & Gray LLP, told six
jurors and six alternates today in his opening statement. "You turn to
auditors and accountants to ask questions about auditing and
accounting."

Jim and Janet Baker, pioneers in computer speech recognition, claim
Goldman Sachs's failure to pursue red flags cost them their company
and access to technology they spent their professional lives creating,
including the rights to Dragon NaturallySpeaking, the company's
popular dictation software.

Within months of the sale's June 2000 close, Lernout &
Hauspie, based in Ieper, Belgium, filed for bankruptcy after an
investigation found the firm fabricated customers and reported phony
revenue. Several executives were prosecuted and jailed.

Cooked Books

"Lernout & Hauspie was a fraud," Donovan argued. "They
cooked the books and it was a highly sophisticated scheme that took
years to unravel."

Donovan told jurors that Goldman Sachs urged Dragon to get its
accountants at Arthur Andersen LLP to probe Lernout & Hauspie's
financial statements. Goldman Sachs didn't owe a duty to the Bakers as
shareholders because it was hired to advise Dragon, not them, he said.

"Goldman Sachs was to interact with the board and the
management, not the shareholders," Donovan said.

Donovan told jurors that the four-man Goldman Sachs team assigned to
the Dragon transaction did a good job of bringing the deal to
completion.

When Goldman Sachs was hired by Dragon in 1999, the
company was badly managed, had poor finances and was overly dependent
on a single product, Dragon NaturallySpeaking, which accounted for 85
percent of revenue, he said. The company had few alternatives to the
Lernout & Hauspie sale, he said.

Offer Changed

The Bakers agreed to let Lernout & Hauspie change their
offer from a half-stock, half-cash deal to one that was all stock
without Goldman Sachs's input, Donovan said. And Dragon's owners
failed to demand a collar on the deal, to protect them if the shares
declined, because the Bakers thought the Lernout & Hauspie shares
would increase in value, he said.

"Goldman did the job that Dragon expected," Donovan told the jurors.
"That's what the evidence will be."

The Bakers, who started Dragon with $30,000 in their West
Newton, Massachusetts, home, owned 51 percent of the company. They are
joined in the suit by Paul Bamberg and Robert Roth, Dragon co-founders
who held a minority of its shares.

The trial started yesterday, with jury selection and opening
statements by lawyers representing the Dragon founders.

Judge Saris

U.S. District Judge Patti Saris yesterday told jurors that
it may last until Jan. 25.

After Donovan's opening statement this morning, the Bakers' lawyer,
Alan Cotler of Reed Smith LLP, called Jim Baker as the first witness
in the trial. Cotler immediately asked his client a series of
questions to try to rebut the claims Donovan had made.

"What was Goldman hired to do?" Cotler asked Baker.

"They were hired to be our financial adviser for finding a suitable
acquirer," Baker answered. "And part of finding a suitable acquirer
was to do due diligence, or what a layman might call 'to kick the
tires.'"

Dragon had "lots of other options" if it had been advised
to reject the sale to Lernout & Hauspie, Baker said, including a
possible sale to Visteon Corp. (VC), a former Ford Motor Co. unit.

Dragon's Origins

After a break, Baker testified about the origins of
Dragon, starting with his graduation in 1967 from Princeton
University, as class valedictorian, and graduate studies in
mathematics at Rockefeller University and in computer science at
Carnegie Mellon University. He met Janet MacIver, a graduate student
in biophysics, in 1970 and they married the next year, he told jurors.

After a series of positions in which they researched computer speech
recognition, the Bakers, with physicists Bamberg and Roth, started
Dragon Systems Inc.

"We had to be profitable, because that's what we were
living on," Baker said of the company's early years. Later, Dragon
sold a minority share in the company to computer disk drive maker
Seagate Technology PLC (STX), he said.

The introduction in 1997 of Dragon NaturallySpeaking, the first
large-vocabulary dictation program that could distinguish words as
they were spoken at a natural rate, rather than with pauses between
words, caused Dragon to grow to a company with more than 300 employees
and offices in Newton, Massachusetts, the U.K., Germany and Japan, he
said.

Acquisition Offers

When the company hired Goldman Sachs, it was fielding
unsolicited acquisition offers, he said. It was seeking the money to
pursue company-developed technologies including speech- recognition
for cars and for telephones and other handheld devices.

Baker told jurors that Dragon's technology and the people who
developed it made the company valuable. The Goldman Sachs team had
said Dragon was worth as much as $1 billion, he told jurors.

Baker's testimony is scheduled to continue tomorrow.

The case is Baker v. Goldman Sachs & Co., 09-cv-10053, U.S. District
Court, District of Massachusetts (Boston).



World Bank chief expect eurozone growth

DPA

Tuesday December 11



Brussels-World Bank President Jim Yong Kim said Tuesday that reforms
undertaken by eurozone countries were expected to lead to growth in
the "near future," and expressed hopes for a solution to US fiscal
cliff negotiations.

"I think the discussions and achievements of European
countries over the past six months have been very real," Kim told
reporters in Stockholm.

"I think that the progress that has been made is very real and I fully
expect that the reforms continue and expect to see it back to growth
in the near future."

On the United States, he said "we remain hopeful that the
discussions on the fiscal cliff will be resolved soon," referring to
tough austerity measures due in January if Congress fails to solve a
deadlock.

Kim was visiting Sweden for a meeting of Nordic and Baltic World Bank governors.

Both Kim and Swedish Finance Minister Anders Borg
highlighted that Africa and Latin America were regions with strong
economic growth. Kim said reforms that the two regions earlier
underwent "are now paying off."

"So the one thing we would encourage everyone to do is to look less on
the short term, and really think about what we can do today to put in
place the drivers for long-term growth," Kim said.



Yahoo Mail finally gets a revamp and new apps

CNNMoney

Tuesday December 11



New York-Yahoo on Tuesday rolled out an entire suite of email apps for
every major relevant platform: all-new Apple iOS and Windows 8 apps,
plus redesigned clients for Android and the Web.

Yes, Yahoo Mail still exists. The update is one of the
first major product overhauls released by new CEO Marissa Mayer, who
pledged to revamp Yahoo's languishing collection of Web sites and
apps.

Yahoo (YHOO, Fortune 500) once dominated search and email, and it was
one of the earliest players in instant messaging and online news
aggregation. Then, of course, it all went south. By the time Yahoo
lured Mayer away from Google, it was barely even a shell of its former
self.

With her hiring came promises to restructure the sprawling
company, remake the products, and transform Yahoo into an innovator
that can compete with the Googles, Facebooks, Microsofts, Apples and
Twitters of the world.

Yahoo Mail general manager Vivek Sharma says Mayer was actively
involved in the email revamp.

"She's played an unbelievably pivotal role in product
direction and design," Sharma said. "She has an unbelievably intuitive
understanding of what users want and need."

The new suite of email apps aren't life changing, but they at least
offer a good experience for dedicated Yahoo users and show that the
company is aware of what it needs to do to not only hang around, but
actually make people care.

Following in the footsteps of Google (GOOG, Fortune 500)
and Microsoft's recent redesigns of Gmail and Hotmail/Outlook, Yahoo's
apps now have a cleaner look, though Yahoo's overall use of color and
texture in its user-interface design feels a few years behind what its
competitors are doing. A big part of the company's goal was to make
its products simpler (there are fewer visible elements and a more
intuitive layout) and more consistent across platforms. All of the
mobile apps and the Web client now have the same general features and
layout.

Among Yahoo's new apps, the iOS app for Apple devices is probably the
most modern in look and feel, though much of that comes from the
baked-in iOS tools that Google, Twitter and Facebook already use in
their apps (including the "pull" gesture to refresh and "swipe" for
options). Most importantly: It's fast, renders emails properly, and
works offline. One drawback is that it only allows one account at a
time to be logged in.

The Web client is also an improvement, with less visual
noise and an easier path to firing off emails, but it still looks a
generation behind as far as design trends go. Yahoo's Windows 8 app
can't help but feel modern since it follows the Windows 8 design
language, but -- much like the default Metro email app -- the tragic
flaw is that it lacks an expanded view for individual emails. That
forces you to view messages in a single corner of the screen.

Merely being good might not cut it. Email is no longer a novel thing,
and it's not hard to find better alternatives. Unlike Google and
Microsoft (MSFT, Fortune 500), Yahoo lacks a widely used instant
messaging service, offers no cloud services, and doesn't have little
perks like a "priority inbox" setting.

Sharma says that he hasn't dismissed the value of those
features. In addition to looking into developing new clients for other
iOS products (read: iPad), the company has its eye on ways to improve
the utility of Yahoo Mail, he said.

These apps won't attract an army of converts, but if Yahoo follows
through on its promise to treat this as a first step, there may be
hope yet for the embattled company.



Cosmetic giant Avon will cut 1,500 jobs globally

Reuters

Tuesday December 11



Brasilia-Avon Products Inc (AVP.N) said it will cut about 1,500 jobs
globally and will exit the South Korea and Vietnam markets as part of
a turnaround plan announced in November.

Last month, the world's largest direct seller of cosmetics
slashed its dividend by nearly 74 percent and announced measures to
cut hundreds of millions of dollars in costs in the next few years as
the company continued to face difficulties in key markets.

Avon estimated the latest round of restructuring would cost in the
range of $80-$90 million before taxes, of which about $50-$60 million
is expected to be recorded in the fourth quarter of 2012. The company
expects these steps will account for about 20 percent of the total
targeted savings.

Higher product costs, unfavorable exchange rates and
ongoing difficulties in key markets like Brazil, the United States and
Russia, continued to bedevil Avon in the third quarter and it reported
a sharp plunge in profit for the period.

Avon said expects to communicate additional steps toward the cost
savings goal as it progresses.



Delta to buy Virgin Atlantic stake from Singapore Airlines

BBC News

Tuesday December 11

Singapore-Delta Air Lines has agreed a deal to buy Singapore Airlines'
49% stake in Virgin Atlantic for $360m (£224m).

Virgin Group and Sir Richard Branson will retain their 51%
shareholding, and the Virgin brand will remain in place, the new
partners said in a joint statement.

The deal is subject to regulatory approval in the US and Europe.

Investors in Delta shrugged off any concerns over that and
closed up 5.1% in New York trading.

It follows a spat between Sir Richard and Willie Walsh, boss of
BA-owner International Airlines Group, over the future of Virgin
Atlantic.

Earlier, Mr Walsh offered to wager a "knee in the groin"
in a bet with Sir Richard over whether the Virgin brand would still be
around in five years.

He was responding to a £1m bet offered by Sir Richard on Monday.

'Exciting day'

Virgin and Delta said the deal would allow allow them to
"overcome slot constraints" and offer more flights from Heathrow.

The carriers will operate 31 peak-day round trips between the UK and
North America.

"Our new partnership with Virgin Atlantic will strengthen
both airlines and provide a more effective competitor between North
America and the UK, particularly on the New York-London route," said
Delta boss Richard Anderson.

Sir Richard said it was an "exciting day" in Virgin's history.

"It signals the start of a new era of expansion, financial
growth and many opportunities for our customers and our business."

Singapore Airlines says it is selling its stake, which it has owned
since 1999, because of increased competition in its local market,
where it wants to keep its focus.

Loizos Heracleous, professor of strategy and organization
at Warwick Business School, said the airline had always faced this
issue and that the move really reflected Singapore Airline's
disappointment with its investment.

"Singapore Airlines has made it known years ago that it was
considering options with respect to its Virgin stake. Virgin Atlantic
has not been very profitable, posting a loss for the most recent
financial year and slim returns in the years where it did make
profits.

Singapore Airlines has itself launched a low-cost carrier, Scoot,
and has been putting money into its regional service, SilkAir.



Mazda leads diesel comeback as dirty-clunker stigma fades

Bloomberg

Wednesday December 12



Tokyo-Thirteen years after Tokyo's governor killed Japanese interest
in diesel cars by barring many of them from his city, the technology
is making a comeback as manufacturers adopt innovations that improve
its sooty image.

Mazda Motor Corp. (7261) is betting big on cleaner
diesels, creating a challenge to imports and hybrids as government
incentives spur demand for fuel-efficient vehicles.

The new cars compete with sport utility vehicles from Nissan Motor Co.
(7201) and Mitsubishi Motor Corp. (7211) and models that Bayerische
Motoren Werke AG and Daimler AG ship from Europe, where half of new
cars use the engine and most automakers -- including the Japanese --
offer diesels.

Improved filters, turbochargers and fuel injection have
helped make the motors quieter and cleaner than in 1999, when Governor
Shintaro Ishihara waved a bottle of black soot at reporters as he
campaigned to bar them from Tokyo streets.

"I remember the diesel car I used in driving school 22 years ago -- a
noisy, dirty one that produced smoke and soot," said Atsuo Ito, a
39-year-old advertising executive who bought a new Mazda Diesel CX-5
crossover. "This car is quiet, clean, and most important, it cut my
monthly fuel expense by half."

'Brisk Demand'

The national government this year introduced subsidies of
as much as 180,000 yen ($2,200) for diesels. By 2020, the government
wants 5 percent of new passenger vehicles to use the technology, up
from 0.4 percent last year. As of October, sales of diesels had
tripled from last year to 31,425 units in Japan, according to the
Japan Automotive Dealers Association.

"The idea younger people have of diesel cars is quite different from
the elder generation, who were influenced by Ishihara," said Yoshiaki
Kawano, an analyst with IHS Automotive in Tokyo. "Their impression is
that the cars are environmentally friendly and popular in Europe."

Mazda said 80 percent of orders for its CX-5 sport utility
vehicle and Mazda6 sedan in Japan this year are powered by diesel
engines even though they cost about 20 percent more than comparable
gasoline versions. A diesel CX-5 gets 43.7 miles per gallon, 16
percent more than the comparable gasoline version, according to Mazda.

"We have been surprised to see such brisk demand," Mazda President
Takashi Yamanouchi said last month. Customers are "convinced that they
want diesels."

Global sales of diesel cars will rise 66 percent between
2010 and 2018, to 22 million, making up about 18 percent of total
vehicle deliveries in 2018, according to LMC Automotive. Growth will
come mainly from North America, Eastern Europe and Asia, while
diesel's share in Western Europe will decline due to regulatory
standards and market saturation in some countries, the researcher
said.

American Renaissance

Diesel engines can be more efficient because the fuel
burns at a higher temperature than gasoline. But diesel's higher
energy density means it can also emit more soot. In recent years,
manufacturers have improved catalytic converters to burn soot and have
added filters to capture more of the emissions.

Reviving the engine in Japan may help the nation's automakers break
into the U.S. LMC Automotive expects diesel sales there to more than
triple to 1.3 million in 2018 from 408,344 last year as stricter
federal fuel efficiency standards are phased in starting in 2017.

"Clean diesel cars and light-duty trucks are in the early
stages of a renaissance in America," said Allen Schaeffer, Executive
Director of Diesel Technology Forum, an industry group whose members
include car and component makers.

Biggest Commitment

The diesel Mazda6 will be introduced in the U.S. next
year. That will make Mazda the first Asian carmaker to sell a
passenger car using the engine in the American market, where European
makers such as Volkswagen AG (VOW) set the pace.

"If the Mazda6 is priced below the Passat TDI and has great fuel
economy, it can be a hit," said Mike Omotoso, senior manager of global
powertrain research at LMC Automotive in Troy, Michigan.

Mazda, which this year ended 45 years of rotary engine
production, is making the biggest commitment to diesel among its
Japanese rivals. It has increased advertising and is pairing the CX-5
and Mazda6 with its SkyActiv, an umbrella term for technologies that
help it comply with stricter emission standards such as lighter
vehicle bodies.

The company "has spent hugely on TV commercials and advertising to
raise people's awareness and change the public image," said Masahiro
Fukuda, an analyst with Fourin Inc. in Nagoya, Japan.

In the revamped models' first year on the market, Mazda
expects worldwide sales of 240,000 for the Mazda6 and 190,000 for the
CX-5. The company, based in Hiroshima, doesn't release separate
forecasts for diesel sales.

Tokyo Ban

Japanese diesel vehicle sales peaked in the 1980s,
accounting for as much as 6 percent of new car deliveries, according
to the transport ministry. In 2003, Tokyo started requiring diesel
owners to install exhaust gas purifiers and barred those that didn't
from driving their cars in the city. In 2001, Japanese carmakers
produced 24 diesel models. By the end of 2007, there were none made at
home.

Nissan was the first Japanese carmaker to reintroduce diesel into the
nation's passenger market with the X-Trail SUV in 2008. Mitsubishi
followed with a diesel variant of its Pajero. Last year, the two were
the only diesel cars produced by domestic carmakers for their home
market.

Toyota, the world leader in hybrids, agreed last year to
use diesel engines supplied from BMW starting in 2014 to expand its
European lineup. The carmaker offers no diesel cars in Japan.

Different Smell

BMW, which ended a two-decade hiatus on diesel imports to
Japan this year, says it's bringing six models to the country.
Mercedes in 2010 became the first foreign producer to reintroduce
diesel cars in Japan and now says it has three vehicles in the market.

Ishihara, who resigned as Tokyo governor in October and is running in
the Dec. 16 lower house national election, changed his opinion of
diesels after a trip to Europe.

"I found cars on the roads were almost all diesel-powered,
but the smell was completely different from what we used to have in
Japan," the former governor said at a press conference in March.
"Diesel cars will make a comeback in Japan, which is a good thing."



German investor confidence jumps

DPA

Tuesday December 11



Berlin-German investor confidence has risen sharply on hopes Europe's
biggest economy will dodge a recession amid a global upswing next
year, a new survey said Tuesday.

The ZEW Indicator of Economic Sentiment for Germany rose
by a better-than-expected 22.6 points in December to return to
positive territory and a seven-month high of 6.9 points.

The rise in the forward-looking indicator shows that financial market
experts see economic activity stabilising by early summer 2013, said
the ZEW Center for European Economic Research.

"The financial market experts forecast the development of
the economic activity in 2013 with pre-Christmas optimism," said ZEW
president Wolfgang Franz.

"Although the cooling down of the economic activity will last until
the beginning of 2013, Germany will not have to face a recession.

However, this only applies if the crises in the eurozone do not deepen
once again."

The indicator measures analysts' outlook for the next six
months. The figure is the difference between positive and negative
assessments. ZEW interviewed 278 analysts for the December survey.

ZEW said that the optimistic assessment came after recent positive US
economic data which "may have spurred the hope that the global economy
will gain momentum."

While the analysts' outlook was bright, views on Germany's
current economic state were almost unchanged in December, with the
indicator up just 0.3 points to reach 5.7 points.

With the indicator just above zero, "the German economy is rather
likely to bottom out instead of already experiencing an upswing within
the next six months," said ZEW in its statement.

Economic expectations for the eurozone also rose, by 10.2 points to
7.6 points. On the current economic situation, however, the indicator
nudged up just 0.4 points to the minus 79.9 points-mark.



Basel III rules set to be delayed by up to a year: Bank of Italy

Reuters

Tuesday December 11



Rome-The introduction of tougher banking standards in Europe is set to
be delayed by up to a year, Bank of Italy Director General Fabrizio
Saccomanni said on Tuesday.

"We are going towards a postponement of Basel III to the end of
2013, January 2014 at the latest," Saccomanni told a meeting of
business leaders.



First arrests in Libor manipulation case

CNNMoney

Tuesday December 11



London-British police have made their first arrests in an
investigation into attempts by banks to manipulate the global
benchmark interest rate Libor, detaining three men after their homes
were searched.

Three U.K. citizens, ages 33, 41 and 47, were taken to a
London police station for interviews "in connection with the
investigation into the manipulation of Libor," the Serious Fraud
Office said in a statement.

The office, a government agency that investigates serious or complex
fraud and corruption, began its inquiry in July after Barclays
(BCLYF)admitted rigging Libor and agreed to pay $453 million to settle
with U.S. and U.K. authorities. The scandal cost Barclays' chief
executive Bob Diamond his job.

Libor is short for the London Interbank Offered Rate, a
measure of the cost of borrowing between banks. It's a collection of
rates generated for 10 currencies across 15 different time periods,
ranging from one day to one year.

An estimated $300 trillion in derivatives products around the world is
tied to Libor.

Authorities in the United States and elsewhere are
investigating at least 16 banks. The U.S. Commodity Futures Trading
Commission launched a probe in October 2008.

Other banks involved in setting Libor -- including JP Morgan (JPMPRD),
UBS, Citigroup (C, Fortune 500), and HSBC -- have said they are
cooperating with investigators, and further settlements could come
soon.

UBS and Royal Bank of Scotland are reported to be close to
a settlement.

Barclays, UBS and Royal Bank of Scotland declined to comment on
whether any current or future employees were among those arrested.

The rate-setting process has enormous implications for
global financial markets, and consumers. Roughly $10 trillion in loans
worldwide -- including credit card rates, car loans, student loans and
adjustable-rate mortgages -- are linked to Libor.

The scandal has further eroded the reputation of the banking industry,
already shaken by the financial crisis of 2008 and a series of massive
trading losses, revelations of money laundering and sanctions busting
by some of its biggest players.

It also led to scrutiny of other financial benchmarks, including
those underpinning much of the physical trade in oil markets.



International
Gunman kills two at Oregon mall before taking own life

Reuters

Wednesday December 12



Oregon-A gunman opened fire inside an Oregon shopping mall on Tuesday
in the middle of the busy Christmas season, killing at least two
people and terrorizing holiday shoppers before shooting himself to
death, police said.

The afternoon shooting rampage at the crowded Clackamas
Town Center in the Portland suburb of Happy Valley touched off panic
inside the mall, with shoppers streaming out as police and fire crews
arrived on the scene.

"I can confirm that we believe at this point that there was one and
only one shooter involved and that that shooter is deceased,"
Clackamas County Sheriff's spokesman Lieutenant James Rhodes told a
press briefing.

"In addition to that, we have at least one patient who was
taken from the mall with a traumatic injury and at least two that were
deceased in addition to the shooter," he added.

Rhodes said later that the suspect died from a self-inflicted gunshot
wound and that police had not fired a single shot inside the mall. The
wounded victim was taken by helicopter to a hospital where a
spokeswoman said she was in serious condition.

The incident marked the latest in a string of shooting
rampages this year that included the killing of 12 people and wounding
of 58 others at a midnight screening of "The Dark Knight Rises" in
Colorado.

In Oregon, police evacuated terrified shoppers, who were reported by
local media and via Twitter to have hidden in the back rooms of shops
as gunshots rang out in the mall.

"Shooting in the middle of clackamas town center. I'm
stuck in the back room of build a bear!" one person tweeted.

High school student Hannah Baggs, 14, told the Oregonian newspaper
that she got a close look at the gunman before he entered the mall and
opened fire.

"He was, like, 10 feet away from us, wearing a white mask
and carrying something heavy with both hands," Baggs said in remarks
carried on the newspaper's website. "He went running into the store."

MAN IN SANTA SUIT 'HIT THE FLOOR'

The Oregonian also said on its website that the gunman had
used a semi-automatic rifle and may have also been wearing body
armour, but police did not immediately confirm that. The paper said
the shooting occurred near the mall's food court.

"All of a sudden I heard something similar to a .22 popping, probably
eight times, and people dropping everywhere, people screaming,"
witness Christina Fisher said in an interview aired on CNN. "It was
chaos."

A man dressed in a red Santa suit and beard who said he
greets children at the mall told local KGW-TV that he heard some 15
gunshots and realized that there was a gunman on the loose.

"So I hit the floor," the man told KGW-TV in an interview outside the
mall. "My crew that was working with me must have left and everybody
that was in the (Christmas) set must have left, because when I got up
there was nobody in the set but myself."

Police and SWAT teams established a perimeter around the
scene and worked to evacuate the mall as they searched for the gunman.
Video footage from inside the mall, aired on CNN, showed shoppers
heading toward exits with their arms raised above their heads.

The identities of the dead and wounded were not immediately released.

A mall spokeswoman directed calls to law enforcement authorities.

"My thoughts and prayers are with the victims and their families,"
Oregon Governor John Kitzhaber said in a statement released by his
office. "I appreciate the work of the first responders and their quick
reaction to this tragic shooting."



North Korea launches long-range rocket

Al Jazeera

Wednesday December 12



N. Korea-North Korea has launched a long-range rocket, in defiance of
critics who believe it is seeking to develop technology that will
enable it to deliver a nuclear warhead.

The official Korean Central News Agency said it had
succeeded in its mission of placing a satellite in orbit.

"The launch of the second version of our Kwangmyongsong-3 satellite
from the Sohae Space Centre... on December 12 was successful," KCNA
said. "The satellite has entered the orbit as planned."

South Korea's Yonhap news agency also said the launch
appeared to have been a success, with all three stages performing as
planned.

"The rocket stages fell on areas in line with its earlier announcement
and the launch appears to be successful," the agency quoted military
officials as saying.

The rocket was launched just before 10am Korea time (01:00
GMT), according to defence officials in South Korea and Japan.

The UN Security Council will meet on Wednesday to discuss the launch
in defiance of threats of sanctions, a Western diplomat said.

"The Japanese and the Americans have requested a Security
Council meeting, which will take place late Wednesday morning" around
11:00am (17:00 GMT), the diplomat said.

Technical problems

Al Jazeera's Harry Fawcett, reporting from Seoul, said the
launch came as "something of a surprise" as there had been serious
problems with the rocket.

"Yesterday, South Korea said it had detected that technicians were
taking apart some of the rocket," he said.

The latest launch comes after a failed attempt in April
when the rocket fell apart just minutes after blast-off.

North Korea says the launch was aimed merely at putting a weather
satellite in orbit. It is banned from conducting missile and
nuclear-related tests under UN sanctions imposed after its 2006 and
2009 nuclear tests.

Japan said on Wednesday it "cannot tolerate" the launch of
a rocket that Tokyo believes was a disguised ballistic missile test.

"It is extremely regrettable that North Korea went through with the
launch despite our calls to exercise restraint," chief government
spokesman Osamu Fujimura said. "Our country cannot tolerate this. We
strongly protest to North Korea."

North Korea under new leader Kim Jong-un has pledged to
bolster its nuclear arsenal unless Washington scraps what Pyongyang
calls a hostile policy.

Tensions are high between the rival Koreas. The Korean Peninsula
remains technically at war, as the 1950-53 conflict ended in a truce,
and Washington stations nearly 30,000 troops in South Korea as a
buttress against any North Korean aggression. Tens of thousands more
are in nearby Japan.



Sugar 'comforts babies during immunisations'

BBC News

Wednesday December 12



London-It appears that sugar really may help the medicine go down -
studies suggest a few drops can comfort babies who are having their
jabs. The Cochrane team reviewed 14 studies involving more than 1,500
infants going for routine childhood immunisations or a heel-prick
blood test.

Babies given a sugary solution to suck as they were about
to be injected cried far less than those given water.

While sugar may pacify, it is unclear if it also relieves pain.

Experts say more research is needed to explore this.

A small study published a couple of years ago in The Lancet medical
journal looked at the responses of 44 infants given either sugar or
water as they had a heel-prick blood test.

The sugar did not appear to make a difference to pain -
all babies similarly grimaced and had comparable electrical activity
measured with EEG readings in areas of the brain that process pain.

The lead researcher in the Cochrane review, Dr Manal Kassab of the
Jordan University of Science and Technology in Irib, Jordan, said:
"Giving babies something sweet to taste before injections may stop
them from crying for as long.

"Although we can't confidently say that sugary solutions
reduce needle pain, these results do look promising."

Dr David Elliman of the Royal College of Paediatrics and Child Health
said sugar solution was not used routinely in practice.

"Generally, doctors recommend that the mother holds the
baby and comforts it while they have their immunisation. If she is
breastfeeding still, she might want to breastfeed her baby at the same
time.

"With older children we try to distract them. If you do the usual
holding and comforting, I'm not sure how much sucrose would add.

"What we do know is that using a shorter needle tends to
be more painful, even though this might seem counterintuitive. That's
because the injections need to go into the muscle."

By the time a child has reached its second birthday it should have had
around 10 different injections to protect against various infectious
diseases, including measles, mumps and rubella.



Fears for Christmas tree's safety

AFP

Tuesday December 11



Brussels-Brussels will remove a controversial electronic Christmas
tree in the main square early for fear that New Year's Eve revellers
will seek to climb on it or vandalise it.

The city placed a 24-metre high light installation broadly
in the form of a Christmas tree in the city centre instead of the
usual authentic tree, a move that has so far led 25,000 people to sign
an online petition against it.

Some critics have said the electronic tree was chosen so as to avoid
offending non-Christians. The city itself says the choice was in
keeping with its theme this year of light.

Nevertheless, the structure will not be left until early
January as was the case with its traditional predecessors, but will be
dismantled on December 28.

"It's because the electronic tree takes up too much space and is
difficult to secure, taking into account the crowd that will be in the
Grand Place," said Olivier Mees, director of the organisation
responsible for the square, on Tuesday.



Monti in talks to run for Italian PM

CNN News

Wednesday December 12



Rome-Mario Monti is in talks with centrist groups urging him to stand
in Italy's elections early next year it emerged on Monday as pressure
mounted on the technocrat prime minister from the financial markets,
fellow European leaders and the Church to stay in politics to
safeguard his reforms.

Italy's government borrowing costs rose and its stock
market fell sharply after his surprise decision over the weekend to
stand down earlier than expected rekindled uncertainty over one of the
eurozone's more vulnerable economies.

Mr Monti, whose economic reforms have steered Italy out of the centre
of the eurozone's sovereign debt crisis in the past year, said he
would step down when the budget is passed, possibly as early as this
month, triggering an election in February.

Amid revived concern in Brussels and among investors that
Italy could forsake its recent reforms, centrist politicians were in
talks with him encouraging him to stand as a candidate. He was said to
be in discussions with Luca Cordero di Montezemolo, the head of
Ferrari who launched a political movement last month, and Pier
Ferdinando Casini, leader of the centrist Catholic UDC party.

Centrist politicians said they expected Mr Monti to give his answer
within a week.

If he decided to run as their candidate he would make a formal
declaration after parliament approves the 2013 budget law, possibly in
the week before Christmas.

Mr Monti played down suggestions he was about to leap from
unelected technocrat to campaigning politician.

"I am not considering this particular issue at this stage," he said in
Oslo where the EU was collecting the Nobel peace prize. "All my
efforts are being devoted to the completion of the remaining time of
the current government, which appears to be a rather short time, but
still requires an intensive application of my energies."

Market reactions to his weekend decision "should not be dramatised", he added.

He was confident that whatever government came to office after
elections would be in line with Italy's "great efforts" of the past
year, he said.

Italy's influential Catholic establishment weighed in on
Monday, with Archbishop Angelo Bagnasco of Genoa delivering thinly
veiled criticism of the former prime minister Silvio Berlusconi for
triggering Mr Monti's resignation by withdrawing his party's support
in parliament last week.

"What leaves one aghast is the irresponsibility of those who think of
fixing themselves when the house is still burning," he told the daily
Corriere della Sera, adding that "it would be a mistake in the future
not to make use of those who have contributed in a rigorous and
competent way to the credibility of our country."

Francois Hollande, the French president who was also
attending the ceremony in Oslo, appeared confident Mr Monti would
still play a role in politics.

"It's a pity for the short term, but in one month or two months, it
will appear that Mr Monti is able to join a coalition or to go forward
to stabilise Italy," he told Reuters news agency.

Herman van Rompuy, president of the European Council, said he did not
want to interfere in Italian politics, then added: "Mario Monti was a
great prime minister of Italy and I hope the policies he put in place
will continue after the elections."

Mr Berlusconi on Monday night slammed European politicians
and some foreign newspapers for their "offensive" reaction to his
comeback and the freedom of Italians to choose in elections. Such
responses were the "umpteenth speculative move" to weaken Italian
companies and make them "easy prey" for foreign buyers, he said in a
statement.

Opinion polls at present point to a fragmented parliament emerging
from elections, with the centre-left Democratic party taking around 30
percent of the vote, followed by the anti-establishment Five Star
Movement and Mr Berlusconi's centre-right party. Supporters of a
centrist alliance with Mr Monti say they could capture 15 to 25
percent of the vote.



Toothy prehistoric lizard named Obamadon after smiling president

Reuters

Tuesday December 11



Montana-Researchers have named a newly discovered, prehistoric lizard
"Obamadon gracilis" in honour of the 44th president's toothy grin.

The small, insect-eating lizard was first discovered in
eastern Montana in 1974, but a recent re-examination showed the fossil
had been wrongly classified as a Leptochamops denticulatus and was in
fact a new species, researchers told Reuters on Tuesday.

Obamadon gracilis was one of nine newly discovered species reported on
Monday in the Proceedings of the National Academy of Sciences.

In naming the new species, scientists from Yale and
Harvard universities combined the Latin "Obamadon" for "Obama's teeth"
and "gracilis," which means slender.

"The lizard has these very tall, straight teeth and Obama has these
tall, straight incisors and a great smile," said Nick Longrich, a
palaeontologist at the school in New Haven, Connecticut.

It was believed to have lived during the Cretaceous
period, which began 145.5 million years ago. Along with many dinosaurs
from that era, the lizard died out about 65 million years ago when a
giant asteroid struck earth, scientists say.

Longrich said he waited until after the recent U.S. election to name the lizard.

"It would look like we were kicking him when he's down if
he lost and we named this extinct lizard after him," he said in an
interview.

"Romneydon" was never under consideration and "Clintondon" didn't
sound good, said Longrich, who supported Hillary Clinton's failed run
against Obama in the 2008 Democratic primary.

Obama is not the first politician whose name has been used
to help classify organisms. Megalonyxx jeffersonii, an extinct species
of plant-eating ground sloth, was named in honour of President Thomas
Jefferson, an amateur palaeontologist who studied the mammal.

Earlier this year, researchers announced they had named five newly
identified species of freshwater perch after Obama, Bill Clinton, Al
Gore, Jimmy Carter and Theodore Roosevelt.

In 2005, entomologists named three species of North
American slime-mould beetles agathidium bushi, agathidium cheneyi and
agathidium rumsfeldi in honour of George W. Bush, Dick Cheney, and
Donald Rumsfeld - the U.S. president, vice president and secretary of
defence at the time.

Other celebrity names also have been used to name new species. A small
Caribbean crustacean has been named after reggae icon Bob Marley, an
Australian horsefly has been named in honour of hip-hop star Beyonce,
and an endangered species of marsh rabbit has been named after Playboy
magazine founder Hugh Hefner.



Philippine typhoon toll passes 700

Al Jazeera

Tuesday December 11



Mindanao-The death toll of Typhoon Bopha in the Philippines has
exceeded 700 and hundreds of people are still missing, the government
has said.

Typhoon Bopha unleashed floods and landslides across the
main southern island of Mindanao on December 4, obliterating entire
communities.

At least 714 people were killed, making the typhoon the deadliest
natural disaster in the Philippines since a tropical storm killed more
than 1,200 people last year.

The civil defence office said that around 115,000 houses
have been destroyed, and more than 116,000 people remain in government
shelter as they are likely to wait months for new housing to be
constructed.

The government said that a total of 890 people remain missing, many of
them include at least 313 deep sea fishermen who are feared lost at
sea.

Al Jazeera's Marga Ortigas reporting from the Compostela
Valley, one of the worst affected areas in the country's south, said
that people there were "overwhelmed" by the typhoon.

She said that evacuation warnings were sounded, but because the area
was not used to experiencing typhoons as strong as Bopha, "many people
did not understand what the warnings meant".

"By the time many of the people thought to evacuate their
homes, it was too late."

On Monday, the Philippines government and the United Nations launched
a $65m global appeal for help, as at least 5.4 million people
desperately need food and water.

Luiza Carvalho, country officer for the UN Office for the
Co-ordination of Humanitarian Affairs, said that the funds would
initially help provide food, water and emergency shelter to 480,000
people in the worst-hit areas.

Unprecedented scale

"This is a scale the Philippines has not previously seen,
we're talking about tens of thousands of homes destroyed across
southeast Mindanao," Joe Curry of Catholic Relief Service told Al
Jazeera.

Nearly 400,000 people, mostly from Compostela Valley and nearby Davao
Oriental province, have lost their homes and are crowded inside
evacuation centres or staying with relatives.

"In my 15 years of service to the Red Cross, I have not
seen such great destruction and devastation," Gwendolyn Pang,
secretary general of the Philippine Red Cross, told Al Jazeera.

"Almost everyone there is homeless, there is no clean water ... there
is very limited medical care."

Families and fishing companies reported losing contact
with more than 313 fishermen at sea.

The fishermen from southern General Santos city and nearby Sarangani
province left a few days before Bopha hit the main southern island of
Mindanao.

The fishermen were headed to the Spratly Islands in the South
China Sea and to the Pacific Ocean and there had been no contact from
them for a week.



UK to propose same sex civil ceremonies

AFP

Tuesday December 11



London-The British government said Tuesday it was proposing to allow
same-sex couples to marry in civil ceremonies, but would ban the
established Churches of England and Wales from conducting ceremonies.

Culture minister Maria Miller said the proposed law would allow
other religious institutions to "opt-in" to conduct ceremonies.



Vigilante cop executed over 1986 killing spree

Sky News

Wednesday December 12



Flotrida-A former police officer who murdered nine people during a
1986 crime spree has been executed. Manuel Pardo was pronounced dead
at Florida State Prison about 16 minutes after the lethal injection
process began.

His lawyers had tried to block the execution by arguing
that he was mentally ill.

Reporters could not hear his final statement because of an apparent
malfunction in the death chamber's sound system.

During a 92-day period in early 1986, Pardo committed a
series of robberies, killing six men and three women.

He took photos of the victims and recounted some details in his diary,
which was found along with newspaper cuttings about the murders.

He was linked to the killings after using credit cards
stolen from the victims.

Officials said most of the 56-year-old's victims were involved with
drugs. Pardo contended that he was doing the world a favour by killing
them.

"I am a soldier, I accomplished my mission and I humbly
ask you to give me the glory of ending my life and not send me to
spend the rest of my days in state prison," Pardo told jurors at his
1988 trial.

He was dubbed the "Death Row Romeo" after he corresponded with dozens
of women and persuaded many to send him money.

The former Navy veteran joined the Florida Highway Patrol
in the 1970s but he was fired in 1979 for falsifying traffic tickets.

He then joined the police department in Sweetwater, a small city in
Miami-Dade County.

In 1981, Pardo was one of four Sweetwater officers charged
with brutality, but the cases were dismissed.

He was fired four years later after he flew to the Bahamas to testify
at the trial of a Sweetwater colleague who was accused of drug
smuggling.

Pardo lied, telling the court they were international undercover agents.



Light smoking 'doubles sudden heart death risk in women'

BBC News

Tuesday December 11

London-Women who are light smokers - including those who smoke just
one cigarette a day - double their chance of sudden death, a large
study suggests.

The research tracked the health of 101,000 US nurses over
three decades.

Light-to-moderate smokers were twice as likely to die of sudden heart
problems than those who had never smoked.

But those who quit smoking saw their risk begin to go back
down within years, a journal of the American Heart Association
reports.

Raised risk

During the study, there were 315 sudden cardiac deaths -
where the heart unexpectedly stops working.

In people aged 35 or younger, this is usually because of a heart
condition that runs in the family.

But in people who are older than this - as most of the
nurses in the study were - it can be the first sign of coronary heart
disease, where the heart's arteries become blocked by fatty deposits.

Of the 315 sudden deaths in the study, 75 were among current smokers,
148 were among recent or past smokers and 128 occurred in people who
had never smoked.

Reason to quit

After taking into account other heart risk factors, such
as high blood pressure, high cholesterol and family history of heart
disease, Dr Roopinder Sandhu and colleagues found the women who smoked
were twice as likely to die suddenly even if they smoked
"light-to-moderate" amounts - between one and 14 cigarettes a day.

For every five years of continued smoking, the risk went up by 8%.

But women who quit saw their risk fall to that of someone
who had never smoked, after 20 years of cessation.

Dr Sandhu, of the the University of Alberta, Canada, said: "What this
study really tells women is how important it is to stop smoking. The
benefits in terms of sudden cardiac death reduction are there for all
women, not just those with established heart disease.

"It can be difficult to quit. It needs to be a long-term
goal. It's not always easily achievable and it may take more than one
attempt."

Ellen Mason, senior cardiac nurse at the British Heart Foundation,
said: "This study shows that smoking just a couple of cigarettes a day
could still seriously affect your future health.

"As we approach the new year, many of us will be making
resolutions and giving up smoking will be top of the list for lots of
people.

"If you're thinking of quitting and need a nudge, this research adds
to the wealth of evidence that stopping smoking is the single best
thing you can do for your heart health."

A recent study in the Lancet of 1.2 million women found
those who gave up smoking by the age of 30 would almost completely
avoid the risks of dying early from tobacco-related diseases.

Latest figures suggest a fifth of women in England smoke.



Mexico's ruling party chooses new leader

Reuters

Wednesday December 12



Mexico City-Mexico's ruling Institutional Revolutionary Party (PRI)
picked a new chairman on Tuesday, handing the task of steering the
centrist party through a series of key reforms to a close ally of
President Enrique Pena Nieto.

Cesar Camacho, like Pena Nieto a former state of Mexico
governor, will lead the party that recaptured the presidency after 12
years on the sidelines, pledging to curb drug violence and enact
economic reforms in Latin America's second biggest economy.

"We decide to be guided by principles, not obedient to dogmas,"
Camacho said in speech to party members in Mexico City following his
selection.

The PRI ruled Mexico from 1929 to 2000, often becoming a
byword for corruption and heavy-handed governance.

The 53-year-old Camacho's selection came as Pena Nieto, who took
office on December 1, aims to enact ambitious economic reforms,
especially sweeping changes could significantly boost private
investment in the country's lumbering energy sector.

Camacho replaces Pedro Joaquin Coldwell, who was named by Pena
Nieto to be the country's new energy ministry earlier this month.



Four more arrests made over Dutch linesman death

CNN News

Tuesday December 11

Amsterdam-Four more arrests have been made in connection over the
death of a Dutch volunteer soccer official who was allegedly beaten by
teenage players at an amateur game earlier this month.

Dutch police said Tuesday they had arrested two
16-year-olds, a 17-year-old and a 50-year-old man.

The latter is the father of a player of the Amsterdam junior side
Nieuw Sloten that played in the match against SC Buitenboys, for whom
41-year-old Richard Nieuwenhuizen had volunteered to act as linesman
for the December 2 game.

There are now a total of eight people in custody following
the arrest of four teenagers last week, and Dutch police have asked
for anyone with photos or video recordings of the attack to come
forward.

If convicted of charges of manslaughter and assault, the two
15-year-olds in detention would serve a maximum sentence of one year
in a youth prison -- while the 16-year-olds could be jailed for up to
two years, unless judges rule that they should be treated as adults.

Nieuwenhuizen's son was playing for Buitenboys when the
incident occurred in the city of Almere. The linesman reportedly fell
into a coma after he was beaten, and he died the next day.

Last weekend, 33,000 amateur football games across the Netherlands
were canceled in tribute to Nieuwenhuizen, who was buried on Monday.

Nieuwenhuizen's death has resonated across the globe, with
FIFA president Sepp Blatter among those extending condolences.

"Football is a mirror of society, and sadly the same ills that afflict
society -- in this case violence -- also manifest themselves in our
game," the head of world soccer said in a statement on FIFA's website.

"Nevertheless, I remain convinced that football -- through
the example set by the tireless efforts of people like Mr.
Nieuwenhuizen -- is a force for good, and we must continue to use its
positive example to educate people against these wrongs."

Despite a relatively small population of 17.5 million, Holland has
built an outstanding reputation for developing young footballers over
the years, with its amateur youth clubs providing a strong breeding
ground for the country's professional clubs.



'If United fail, we'll be sacked'

Super Sport

Tuesday December 11

Manchester-Manchester United players cannot afford to blow their
six-point lead in the Premier League because manager Alex Ferguson
would sack them, according to defender Patrice Evra.

United pulled clear of defending champions and cross-town
rivals Manchester City with a 3-2 win in a tempestuous derby at the
Etihad Stadium on Sunday.

Last season, City capitalised to take the title when United let an
eight-point lead slip over the final six games but Evra said there was
no chance of a repeat in 2013.

"I think Ferguson is going to sack everyone if we did
that," the French left-back was quoted as saying in a number of
British newspapers on Tuesday. "I'm serious. It would not be funny,
for the fans, for the players, for everyone.

"I remember what happened last year. We were eight points clear and in
the end we lost the league, so a six-point lead means the league is
not finished yet.

"There is a long way to go but I really mean now we have to make
sure we are ready for Sunderland on Saturday."



News From The Axis
Chavez undergoing cancer surgery today, minister says

Bloomberg

Wednesday December 12



Caracas-Venezuelan President Hugo Chavez is recovering after six hours
of surgery for cancer yesterday, his vice president said, while
calling on the nation to pray for the leader's health.

Nicolas Maduro, in a nationally televised address
surrounded by members of the nation's Cabinet, said Chavez is
convalescing following a "complex" operation and will take a few days
to recuperate.

"These have been several hours of worry, but the operation was carried
out as planned and with success," Maduro said yesterday. "This moment
should serve to unite us in love for Chavez."

The 58-year-old self-declared socialist named longtime
ally Maduro, who has close ties to Cuba, as his heir apparent before
traveling to the communist island for a fourth operation in 18 months.
Chavez has urged Venezuelans to vote for Maduro in the event he's
unable to remain in office.

Maduro said Chavez is being attended by Cuban and Venezuelan doctors
and experts from other countries he didn't name. Chavez's family is by
his bedside along with National Assembly President Diosdado Cabello
and Oil Minister Rafael Ramirez, he said.

The vice president led a late-night vigil attended by
hundreds in downtown Caracas yesterday, asking Venezuelans to light
candles for Chavez to give him strength.

'Good Hands'

Before departing for Cuba on Dec. 10, Chavez said he was
delegating and leaving the country in the "good hands" of Maduro.
Chavez won re-election to a third six-year term in October.

Under Venezuelan law, if Chavez is too ill to serve during the first
four years of the term, the vice president assumes the presidency for
30 days while elections are held. If he can't serve the final two
years, the vice president can finish out the term. If Chavez is unable
to assume power in an inauguration ceremony scheduled for Jan. 10,
Congress President Cabello would assume power while elections are
arranged.

Chavez first told Venezuelans he had cancer in June 2011
after undergoing surgery in Cuba to drain an abscess from his pelvic
area during which he said doctors discovered a baseball- sized tumor
in the same area. The tumor was excised in a subsequent operation,
Chavez said, without specifying the exact location or type of cancer.

After four bouts of chemotherapy, he returned to Cuba in February for
a third operation after his medical team discovered a second tumor and
underwent several rounds of radiation therapy over the following
months. While campaigning for re-election in July, he said he was
"free, totally free" of illness, echoing words he said in October 2011
after completing chemotherapy treatment.

Bond Yields

While Venezuela's president hasn't yet ceded power,
investors are increasingly convinced he will stand down. Yields on the
dollar debt of South America's biggest oil producer plunged to the
lowest since November 2007 as investors bet a change in government

would augur a reversal of nationalizations and currency and price
controls that have stoked 18 percent inflation and driven away
investment.

Maduro called on Venezuelans to unite and pray for their president and
said they shouldn't be deterred by the hatred "anti-imperialists" hold
for Chavez. He said he'll give daily updates on the leader's health
and said Chavez had "overcome the first obstacle."

"Comandante, we're waiting for you here, you need to return,"
Maduro said. "The sadness of the hour is giving us strength."



From bus driver to president-in-waiting

Reuters

Tuesday December 11



Caracas-After rising from bus driver to union leader to vice president
of Venezuela, Nicolas Maduro could soon be at the helm of the South
American OPEC nation if a third bout of cancer pulls President Hugo
Chavez out of office.

Anointed as the former soldier's successor, Maduro is the
most popular of Chavez's inner circle and the most qualified to carry
on his oil-financed socialism.

Maduro, who is seen as a moderate who has developed alliances around
the world during six years a s foreign minister, would assume power if
Chavez has to step aside. He would then have to run as the Socialist
Party's candidate in an election against the opposition.

Because he has stuck so closely to Chavez's official line,
it is difficult to know what Maduro's policies might be if he were
leading the country on his own.

His experience as a union leader taught Maduro the importance of
dialogue, suggesting he could begin mending fences with business
leaders and the opposition after a decade of hostility.

But he will face intense pressure from ideological
radicals and self-interested profiteers who h ave enriched themselves
under Chavez's government to extend the state's grip over the economy
and private enterprise.

Maduro's first speech after being named successor indicated he is
likely to assume Chavez's blustering rhetoric while presenting himself
as a disciple of the cancer-stricken leader.

"We are eternally grateful to Chavez ... we will be loyal
to Chavez beyond this lifetime," a tearful Maduro said during a rally
for state governors in a speech in which he invoked independence
heroes, shouted triumphant slogans and then lowered his voice for
dramatic effect in hallmark Chavez style.

"We are the children of Chavez."

TRANSITION IN MOTION

For the first time since his 2011 diagnosis for an
unspecified type of cancer, Chavez has suggested his illness could
keep him from continuing his 14-year self-styled revolution. O n
Tuesday he underwent his fourth operation for cancer after twice
declaring himself completely cured.

The possible transition generated optimism for a more moderate
government after years of intransigent socialism.

Wall Street investors drawn to Venezuela's highly traded
bonds, as well as oil companies seeking greater access to the world's
largest crude reserves, are watching closely.

Maduro survived Chavez's mercurial micro-management and became one of
the longest-lasting ministers in the frequently rotating Cabinet by
executing orders and repeating anti-U.S. rhetoric around the world.

He often appeared as a towering sidekick over Chavez's
shoulder in television broadcasts.

In 1992, when Chavez was jailed for a failed coup that made him
famous, Maduro took to the streets to demand his release alongside his
partner Cilia Flores, who led the legal team that helped get Chavez
freed within two years.

Maduro and Flores are considered a "power couple" in
Chavez's government.

Maduro gained notoriety as a rabble-rousing legislator during the
tumultuous early years of Chavez's rule. He was at the front lines of
efforts to defeat a failed coup and a crippling oil strike in 2002 and
a recall referendum in 2004.

Upon rising to head of Congress, Maduro swapped the blue
jeans and plaid shirts of a union leader for sharp suits. Even in his
high-toned attire, he still could be seen elbowing through reporters
to get to the appetizer table before presidential press conferences.

EXPERIENCE IN NEGOTIATION

As foreign minister, Maduro has trotted the globe
denouncing U.S. foreign policy and cultivating allies in emerging
markets such as Russia and China, which would become a key financier.

One of Maduro's offices includes a large portrait of the late Indian
spiritual guru Sai Baba, who he and Flores, who also is a former head
of Congress, visited in 2005.

Maduro has often been at Chavez's side during his cancer
treatments in Havana.

"Nicolas is a person who can talk to anyone," said Jose Albornoz, who
worked alongside him as a legislator for a party allied with the
government that later split with Chavez.

"His work with unions taught him to communicate with his
adversary. I think he could open a dialogue with (opposition leaders)
to make sure his government is successful."

Maduro could face tough economic decisions including a widely expected
currency devaluation, a price hike for heavily subsidized fuel and
cuts in state spending after Chavez's lavish campaign that helped him
win re-election in October.

The idea of transition from Chavez to Maduro may well have
come from Cuba's Fidel Castro, Chavez's political mentor who six years
ago handed over power to his younger brother Raul after falling ill
himself. The younger Castro has since begun a slow transition away
from centrally planned communism.

More pragmatic leadership from Maduro could help tackle problems
including crime, inflation and unemployment that critics say have gone
unchecked because of Chavez's rigid ideological approach to them.

While Chavez has a reputation for choosing government
officials on the basis of loyalty and political views, people who have
worked with Maduro commend him for prioritizing credentials and hard
work.

"He's a real man of the people," Ecuadorean Ambassador Ramon Torres
told Reuters.



Iran shuts Afghan consulate

AFP

Tuesday December 11



Dubai-Iran has shut its consulate in the western Afghan city of Herat
after anti-Iranian protests outside the compound, a foreign ministry
official told state news agency IRNA on Tuesday.

The demonstrators were protesting against the alleged
killing of Afghan migrants by Iranian police. The official made a
formal complaint to the Afghan government over the incident, the
agency said, without naming the official.

"The Islamic Republic of Iran is asking Afghan officials to be
vigilant in preventing similar incidents in the future," IRNA quoted
the official as saying.

The Afghan Interior Ministry said in November that Iranian
police had killed 13 Afghan migrants after crossing the border in
Herat, adding to 10 killed in August.

The Iranian official denied this, calling the accusation "baseless",
IRNA reported.



Obama recognizes Syrian opposition coalition

CNN News

Wednesday December 12



Washington-President Barack Obama on Tuesday recognized the leading
Syrian opposition coalition as the legitimate representative of the
country's people, marking a "big step" in U.S. engagement with the
nearly two-year-old crisis.

"We've made a decision that the Syrian Opposition
Coalition is now inclusive enough, is reflective and representative
enough of the Syrian population that we consider them the legitimate
representative of the Syrian people in opposition to the Assad
regime," Obama told ABC's Barbara Walters.

"So we will provide them recognition and obviously with that
recognition comes responsibilities on the part of that coalition," he
said. "It is a big step."

The United States joins Britain, France, Turkey and the
Gulf Cooperation Council in recognizing the opposition.

The move will be a major psychological boost for the rebels, but it
doesn't mean Washington will be arming them anytime soon.

The U.S. announcement had been anticipated to occur at
some point this week with a major meeting of governments supporting a
transition away from Syrian President Bashar al-Assad scheduled.

Secretary of State Hillary Clinton, who was supposed to attend the
Friends of Syria meeting in Morocco along with more than 100
delegations from the United States, the European Union, Arab nations
and representatives of the Syrian opposition, canceled her trip due to
a stomach flu that hit her and a number of her staff.

Deputy Secretary of State William Burns will attend in
Clinton's place.

"I think what you'll see is a political decision to morally boost them
(the Syrian opposition) and provide more political and moral support
for their efforts. And look at how we can financially assist the
opposition moving forward," according to an official who spoke to CNN
before Obama's announcement, but declined to be identified because of
the diplomatic sensitivity of the issue.

"But again, I think you're going to see a political
recognition, not a legal recognition."

Legally recognizing the Syrian Opposition Coalition would carry more
weight because the United States would treat the opposition like an
alternative government, said Andrew J. Tabler, an expert on Syria and
a senior fellow at The Washington Institute.

In order to do that, the United States would have to
determine that the opposition controls a majority of Syrian territory
and has taken over the country's treaty obligations from al-Assad's
government, neither of which has happened.

Even as it agrees to recognize Syria's opposition politically,
Washington will still continue to deal with the Assad government in
certain capacities.

"It's more of a political shot in the arm for the Syrian
opposition," Tabler said. "And it's hoped that by doing that, it will
straighten their backs and strengthen them and encourage them to come
together and work together more effectively."

Speaking before Obama's annoucement, Frederic Wehrey, senior associate
in the Middle East Program at the Carnegie Endowment for International
Peace, called the expected upgrade in relations with the opposition
"overwhelmingly political," a step that is "an attempt to encourage
this positive trend, while at the same time isolating more radical
actors in the opposition."

As part of Washington's effort to isolate extremist groups
in Syria while boosting the new political coalition, the U.S. Treasury
on Tuesday imposed sanctions on leaders of the jihadist al-Nusra Front
in Syria, after the State Department moved to blacklist the rebel
group as a foreign terror organization linked to al Qaeda in Iraq.

Burns plans to meet with the Syrian opposition during his trip to Marrakech.

The intent is to "hear from them ... about how they see
things going forward both in terms of their own internal organization
about their connectivity with Syrians inside Syria, about their
transitional planning, about the needs that they see for external
support, how they would have us best direct the non lethal support and
humanitarian support that we are providing," State Department
spokeswoman Victoria Nuland said on Monday.

The United States has been looking for the opposition to establish a
leadership structure, Nuland has previously told reporters.

Officials said they have seen progress and that Clinton
"has been clear that we'd like to offer them more support," Nuland
said.

That support, which already totals more than $200 million in funding
and humanitarian aid, could be increased even more with this
announcement.

But would "support" include lifting the arms embargo on
Syria, an idea that France supports?

Nuland stuck this week with what the United States has been saying for
months: "We are maintaining our current posture of providing
non-lethal support and not going beyond that."

The United States is not ready to arm the rebels due to
continued concern about extremist elements within their ranks. Other
countries, like Qatar, are providing some weapons.

Any recognition of the opposition, however, raises issues with Russia,
a crucial player in the Syrian equation. The Russians were invited to
participate at the Marrakech meeting but declined, according to the
State Department.

Moscow has been highly critical of actions by the Syrian
armed opposition, even while expressing support for a political
solution. The listing of al-Nusra Front as a foreign terror
organization is a step that Moscow could welcome.

U.S. recognition of the opposition could anger Moscow but it also
could have a positive effect. Russia has warned that chaos could ensue
if al-Assad is deposed. The United States could use this recognition
as a signal to Russia that the opposition council is moving toward
becoming a viable government should al-Assad leave.

The next steps in dealing with the Syrian opposition
leadership depend to a large extent on how that opposition continues
to develop.

Nuland pointed to the process of recognizing the opposition in Libya
as a template.

Recognition is just part of the process of trying to
create a political solution for the Syrian conflict. At the same time,
the United States is trying to urge Russia to use its influence with
Damascus to help bring about a political solution.

That was the focus of recent meetings between the two countries
facilitated by the joint special representative of the United Nations
and Arab League for Syria, Lakhdar Brahimi.

In a statement, Brahimi said the diplomats "explored
avenues to move forward a peaceful process and mobilize greater
international action in favor of a political solution."

Nuland said on Monday the question now is whether there are figures in
the opposition who could come together.

"Perhaps there are folks who are currently in the
government without blood on their hands who could support those kinds
of democratic principles and form the basis of a transitional
structure going forward," Nuland said.

"Mr. Brahimi thinks it is worth a try," she added. "We want to support
his efforts and we'll have to see where that goes."



Standoff over Yemen Scud missiles

Reuters

Tuesday December 11



Sanaa-The commander of Yemen's Republican Guards has refused orders
from the president to hand long-range missiles over to the Defence
Ministry, political sources said, raising the risk of a showdown
between the country's two most powerful figures.

The standoff between Brigadier General Ahmed Saleh, son of
ousted former president Ali Abdullah Saleh, and President Abd-Rabbu
Mansour Hadi could delay an overhaul of armed forces that split last
year during a mass uprising, worsening disorder.

Restoring security in Yemen is a priority for the United States and
Gulf allies because al Qaeda militants are entrenched in parts of the
country, posing a potential threat to top oil exporter Saudi Arabia
next door and nearby shipping lanes.

"Brigadier General Ahmed Ali Abdullah Saleh rejected the
president's instructions to hand over Scud missile formations in the
possession of the Republican Guards to the Defence Ministry," a
presidential palace source told Reuters.

"This has caused a crisis between the two sides."

A second presidential palace source confirmed this
information and added: "The president was so angry at the rejection of
his orders and threatened to revoke the immunity given to the former
president and expose corruption worth billions of rials in the armed
forces."

The Republican Guards, the best equipped wing of the Yemeni armed
forces, have been seen as crucial to containing al Qaeda.

Hadi, elected in February for a two-year interim period
with a mandate to restructure the military, has been gradually trying
to loosen the Saleh family's grip on the armed forces in a country
where the former president's legacy still looms large.

U.S. INFORMED OF STAND-OFF

Revamping the armed forces, which entails removing
powerful relatives of Saleh from key positions, is a pivotal part of a
U.S.-backed power transfer deal signed in Saudi Arabia that brought
Hadi to power and aims to hold the country together.

The sources said Hadi had discussed the Scud dispute with senior U.S.
officials, including Assistant Secretary of State Andrew Shapiro and
General James Mattis, chief of the U.S. Central Command, at a meeting
in the capital Sanaa on Monday.

Officials at Ahmed Saleh's office were not available for
comment. But his father's press secretary said the threats made by
Hadi violate the terms of the power transfer deal signed in Saudi
Arabia last year which granted the ex-president immunity from
prosecution for any crimes committed during his rule.

"The comments attributed to President Hadi are serious and contradict
the political settlement accord which was prepared by Gulf Arab states
and backed by U.N. Security Council members and the European Union,"
Ahmed al-Soufi said in a statement.

A leader in Saleh's General People's Congress party said
that it inquired about the comments attributed to Hadi and were told
that they were inaccurate.

The pro-Saleh al-Ayyam newspaper quoted Hadi as saying that what he
meant was that no immunity would be granted to anyone who carries out
any sabotage action in Yemen.

"I did not mean any person in particular and certainly not
the immunity granted by parliament in line with the political
settlement," the Arabic language daily quoted Hadi as saying.

In April, Hadi removed about 20 top commanders, including a half
brother of Saleh and other relatives.

In August, he began chipping away at General Ahmed's power base
by transferring units from the Republican Guards to a new force under
his command or under different regional commands.



Political and General
Air Zimbabwe braces for crucial IATA test

New Zimbabwe

Tuesday December 11



Harare-AIR ZIMBABWE is bracing for a high-stakes safety audit next
week that will determine its readiness to resume international
flights.

The struggling national carrier was suspended from the
International Air Transport Association (IATA) sometime ago for
failing to meet global safety standards.

Authorities say they are hoping to pass the test and start exploring
international markets ahead of a scheduled re-launch next year.

"With IATA, we are being assessed next week and this will
be a step in the right direction towards acquiring the airline's
market share," said acting chief executive Innocent Mavhunga.

Air Zimbabwe's afflictions came to a head last year when creditors
impounding one of its aircraft at London's Gatwick Airport, forcing
officials to pull out of the company's lucrative London route. Another
plane was briefly seized in South Africa.

The government has since intervened and taken over the
company's crippling debt burden, ordering it to slash its oversized
workforce and implement viable revival strategies.

Mavhunga says since resuming its regional flights three weeks ago, Air
Zimbabwe has seized 70 percent of the Harare-Johannesburg route market
share.

"We started at 10 percent market share three weeks ago and
we are now at 70 percent," he said. "We hope this will continue as we
are running a promotion that will also shrug off competition from
other airlines in the region."

The company is reeling from a massive debt of more than US$140 million
and it is under pressure to get its act together ahead of the United
Nations World Tourism Organisation (UNWTO) showcase to be co-hosted by
Zimbabwe and Zambia next year.

Economist Prosper Chitambara commented that if properly
restructured, Air Zimbabwe could reclaim its lost shine.

"There is consensus among the various stakeholders about need for
restructuring," Chitambara said, "and the manner of that restructuring
is a matter of negotiation between the shareholders which are
principally the government and company employees."

The government is currently looking for a strategic
partner for the beleaguered airline.

Chitambara said while he agreed that Air Zimbabwe has had better
moments since its return, he had reservations about its 70 percent
claims.

"Yes, I think they have regained some of their lost market share
owing to their competitive fares, I understand they are charging $317
return fare from Harare to Johannesburg. And because of that, I think
they have captured a significant share, but am not sure about the
percentage they are touting," he added.



Cathy Buckle on Christmas in Zimbabwe

Nehanda Radio

Tuesday December 11



Harare-Christmas in Zimbabwe is the time of soft sweet litchis, plums,
mangoes and peaches. It's the time to eat small, sweet purple grapes
straight from the vines and to take turns with the birds for pawpaws
and figs.

It's the time when its hazardous to sit, stand or put
anything under avocado trees as the high up, unreachable fruits ripen
and crash to the ground at the most unexpected times.

Christmas in Zimbabwe means towering purple rain clouds, sausage flies
and flying ants.

It means rhino beetles and chongololos, large spiders and
even larger snakes. Christmas is that alluring time when flashes of
red, crimson and scarlet tempt you into the ever thickening bush to
discover wild and beautiful flame lilies.

It's the time of year for mahobohobo fruits: sweet, juicy and oh so
more-ish and for mushrooms of all shapes and sizes - so tempting to
pick but so lethal to eat.

Christmas in Zimbabwe is that first green maize cob
scalding hot from the pot: soft, tender and sweet leaving butter
running down your fingers and dripping onto your chin. For some it is
chicken and rice, for others turkey and ham and everywhere meat
sizzles on braai fires.

Christmas in Zimbabwe means reunion. It's the time of year when
everyone's on the move.

Transport is a nightmare, lifts are like gold and everyone is
weighed down with bus bags and bulging luggage.

The roads are chaotic, buses and kombis overloaded and
impromptu police road blocks appear every ten to fifteen kilometres.
The queues outside the passport offices and the borders grow longer
while the bribes get bigger to match people's desperation.Instead of
more people staffing home affairs and immigration offices there are
less and the looks on people's faces change from anger and despair to
disgust and resignation.

Zimbabwe's new tradition, thanks to a decade of political and economic
mayhem, is the great, international, annual migration to reunite with
families scattered all over the globe. To the disapora and from the
diaspora hundreds of thousands of Zimbabweans try to get together and
be normal families, just for a few weeks.

Christmas in Zimbabwe means school leavers.

A couple of hundred thousand O and A level students pour out onto the
roads, waiting for results, drinking too much, playing head banging
music and all the while knowing that there is almost no chance they
will find a job in a country where unemployment hovers around 90%.

Those that can will have no choice but to join the estimated three and
a half million other Zimbabweans living and working outside the
country.

Those that can't will set up roadside stalls under trees,
wheel and deal, sell airtime, become cross border traders and spend
their days looking for ways to use the education their parents
struggled so hard to get them.

Christmas for MP's in Zimbabwe this year is the car loans of US$30,000
that were given to each legislator which have been written off by the
Treasury at a cost of US$9 million. And on the other hand, for the
vast majority of us, Christmas 2012 is a time when the shops are full
but the pockets empty as we juggle the bills, chase every dollar and
wonder if, by this time next year, our country will have finally
become the new Zimbabwe we so desperately need and want.



MDC blasts Charumbira for 'Zanu PF, chiefs inseparable' remarks

New Zimbabwe

Tuesday December 11



Harare-CHIEFS council president Fortune Charumbira has drawn the ire
of the MDC after declaring that traditional chiefs and Zanu PF are
"inseparable."

Charumbira told the Zanu PF national conference in Gweru
at the weekend that traditional leaders will actively campaign for the
party in the forthcoming elections.

The Global Political Agreement (GPA) proscribes political involvement
by traditional leaders and demands that they not "engage in partisan
political activities at national level as well as in their
communities."

Yet, the chiefs' council has never veiled its inclinations
towards Zanu PF, and at times expressed outright contempt for the MDC
and other political parties.

MDC-T spokesman Douglas Mwonzora condemned Charumbira's statements
calling him a "sycophant."

"Chief Charumbira is simply being sycophantic, and is
trying to ingratiate himself with Zanu PF," said Mwonzora. "It's a
cheap publicity-seeking stunt. He is a victim of Zanu PF paternalism.
Chiefs are supposed to be impartial and apolitical; there is no need
to append them to a political party."

He added: "The problem with making chiefs political is that an
individual political subject will not look at a chief as such, but
will look at a chief as a political opponent, either as Zanu PF, a
representative of Mugabe or of a system they may or may not like, so
it is unfair, it is not right."

Nhlanhla Dube, spokesman for the MDC wing of Welshman
Ncube also dismissed Charumbira as a desperate Zanu PF surrogate whose
views are not representative of all traditional leaders in the
country.

"The comments are emanating from a Zanu PF functionary, they are not
comments that will emanate from all the other chiefs whom we know are
nonpolitical, whom we know want to subject Zimbabwe to fairness and
transparency, honesty and democratic system," Dube said.

"What chief Charumbira has said is obvious of a man that
could not succeed in anything in life except in those spaces where he
sings for his supper and unfortunately his supper comes from Zanu PF.

So he must cock-crow for his supper at any given opportunity.

"It is a sad reality of how chiefs have been abused by
those that seek to speak on their behalf, but we know certainly that
there are many more chiefs that do not think in the same way as
Charumbira."

Zanu PF has managed over the years to buy the loyalty of some village
heads and chiefs with expensive handouts including luxury cars,
monthly allowances and free maize seed.



Regional
Majors court kingpin Eni on Mozambique gas bonanza

Reuters

Tuesday December 11



Milan-A year after Eni announced the largest discovery in its
exploration history, a giant gas find in Mozambique, rival oil
companies are falling over each other to get a piece of the action.

"It was clear from the start it was a major discovery that
changed the ball game," a source close to the Milan-based company told
Reuters.

And the find is getting bigger by the day, drawing interest from some
of the world's largest energy players, many of which are coming late
to the party in the world's most prolific area for new discoveries.

"Eni is in early talks with a few large players like Shell
and Exxon, and, interestingly, a few large LNG buyers that could cover
production and help speed final investment decisions," a source
familiar with the matter said.

The Maputo government says the Rovuma field, home to the prospects
discovered by Eni and Houston-based Anadarko off Mozambique's northern
coast, boasts an estimated 150 trillion cubic feet (tcf) of gas.

Energy consultancy Wood Mackenzie classifies it as one of
the world's biggest three gas basins.

The giant gas fields have showcased a part of the world some are
calling the new Middle East. The pickings are so rich that East
Africa's "new frontier" is now expanding north past Tanzania to Kenya,
Ethiopia and even war-ravaged Somalia.

But it's Mozambique that has captured the imagination. Its
deep waters are already peppered with rigs, and shiny new liquefied
natural gas (LNG) plants will soon dot the coast to feed gas-starved
Asian markets.

Four of the five largest oil and gas discoveries in the world this
year have been made off Mozambique, including three b y Eni, according
to Wood Mackenzie.

"We reckon Eni and Anadarko are sitting on 85 tcf of
recoverable gas, enough for multiple LNG trains, and we're probably
only at the half-way stage," says Martin Kelly, head of the
consultant's Sub-Sahara Upstream Research team.

The two LNG trains scheduled to be built in a first phase will liquefy
10 million tonnes per year, enough to meet almost 10 percent of gas
demand in Japan, one of the biggest Asian markets.

"There's going to be a lot of competition and jostling for
position and Eni with its size and experience could be a kingpin,"
says Kelly.

WAKE-UP CALL

Most of the world's big energy players have been late in
waking up to East Africa and are now faced with the choice of either
splashing out on new concessions or buying into operations that
gambled on big finds.

France's Total, a deepwater specialist, recently bought into a Rovuma
venture led by Malaysia's Petronas, while Shell lost out to Thailand's
PTT in a $1.9 billion bid for Cove Energy, a partner of Anadarko in
Mozambique.

"I remember this used to be a counter-consensus
exploration play until the big finds came in last year. Just goes to
show you can have all the right skills and a big budget and still miss
the train," Bernstein energy analyst Rob West said.

Eni, Africa's biggest foreign operator, has 70 percent of the Mamba
field it operates with Galp Energia, Korea's KOGAS and Mozambique's
state-owned ENH in the Rovuma basin.

The field lies close to the Prosperidade acreage operated
by Anadarko and junior partner Cove.

Both operators insist they won't know how much gas they've got until
appraisal is complete next year. But already they are gearing up to
sell down stakes to fund big investment plans and limit country risk
in one of the poorest parts of the world.

Eni, which sees a long-term need for 10-12 LNG trains, has
slapped a ballpark number on investments of around $50 billion.

Anadarko, with no LNG credentials of its own, is looking to sell a
third of its 36.5 percent stake, while Eni is expected to sell off at
least 20 percent of its holding for cash or assets.

"One option Eni is playing with is the idea of creating
two sub-blocks - selling a majority stake in one and keeping a
majority in the other," a source close to the situation said.

Milan broker Mediobanca says that, based on the Cove deal, Eni's 70
percent stake in Mamba field is worth $17.2 billion.

CHINA SUPPLY CHAIN

Mozambique's remoteness and lack of infrastructure means
heavy spending will be needed on roads, railways and ports even before
the new and expensive LNG terminals are built to liquefy the first gas
expected in 2018-2019.

Finding skilled workforce will also be a challenge.

"If I were Eni I'd be looking at the emerging national oil
companies. The Chinese can provide a supply chain and help boost
returns," Banco Santander oil analyst Jason Kenney said.

Former BP head Tony Haywood has said a key benefit of his group's
teaming up with China's CNPC in Iraq was access to the Chinese supply
chain. China can deliver just about anything cheaper than elsewhere
and not just rigs.

Together with India, Beijing is targeting Africa for
natural resources to fuel its economy, and bypassing the volatile
Middle East for energy supplies is particularly appealing.

Yet one banana skin for Eni could be what in the industry is known as
"unitisation".

A lot of the gas discovered is thought to be one enormous
field straddling the prospects of Eni and Anadarko. Eni has said a
third of its 75 tcf of gas is exclusively within its block, while the
rest is in a communicating area.

What that means is the two will have to sit down with the Maputo
government to decide who is in charge and agree a plan to bring the
gas to shore and build LNG plants and infrastructure.

"The challenge is that all of these projects have a lot of
participants, and just coordinating between the operators and the
participants within one consortium is probably quite a challenge,"
said Anne Fruhauf, director for Africa energy at consulting firm
Horizon Client Access.

Talks are already under way, and while Eni and Anadarko claim
relations are good, some are concerned the spoils at stake could
create trouble.

"I've heard that Eni wasn't keen on working with Anadarko at
all," one industry source said.



Mandela's wife says his 'sparkle, spirit fading'

New Zimbabwe

Tuesday December 11



Pretoria-THE WIFE of ailing former South African president Nelson
Mandela has intimated the hospitalised icon may be in his final days,
telling the media that "his sparkle is fading."

Mandela, 94, is suffering from a recurring lung infection
and is responding to medical treatments, the presidency said Tuesday.

He has been hospitalized since Saturday for medical tests at a
military hospital near Pretoria.

"I mean, this spirit and this sparkle, you see that
somehow it's fading," Mandela's wife Graça Machel told eNews Channel
Africa. She said watching her husband ageing has particularly been
agonizing for her.

His granddaughter Ndileka said he was handling the situation as best
as he could.

"I think he takes it in his strides, he has come to accept
that it's part of growing old, and it's part of humanity as such," she
told the Telegraph. "At some point you will dependent on someone else,
he has come to embrace it."

A statement issued by the presidency said "doctors have concluded the
tests and these have revealed a recurrence of a previous lung
infection, for which Madiba is receiving appropriate treatment and he
is responding to the treatment."

The announcement ended speculation about what was
troubling anti-apartheid icon.

Government officials had declined repeatedly to say what caused the
nation's military, responsible for Mandela's care, to hospitalize the
leader over the last few days.

That caused growing concern in South Africa, a nation of
50 million people that largely reveres Mandela for being the nation's
first democratically elected president who sought to bring the country
together after centuries of racial division.

In January 2011, Mandela was admitted to a Johannesburg hospital for
what officials initially described as tests but what turned out to be
an acute respiratory infection.

The chaos that followed Mandela's stay at that public
hospital, with journalists and the curious surrounding it and entering
wards, saw the South African military take charge of his care and the
government control the information about his health.

In recent days many in the press and public have complained about the
lack of concrete details that the government has released about
Mandela's condition.

Mandela has had a series of health problems in his life.
He contracted tuberculosis during his years in prison and had surgery
for an enlarged prostate gland in 1985. In 2001, Mandela underwent
seven weeks of radiation therapy for prostate cancer, ultimately
beating the disease.

In February, Mandela spent a night in a hospital for a minor
diagnostic surgery to determine the cause of an abdominal complaint.

Mandela was a leader in the struggle against racist white
rule in South Africa and for preaching reconciliation once he emerged
from prison in 1990 after 27 years behind bars. He won South Africa's
first truly democratic elections in 1994, serving one five-year term.

The Nobel laureate later retired from public life to live in his
remote village of Qunu, in the Eastern Cape, and last made a public
appearance when his country hosted the 2010 World Cup soccer
tournament.

Mandela disengaged himself with the country's politics fairly
successfully over the last decade and has grown increasing frail in
recent years.



Nelson Mandela has lung infection

BBC News

Tuesday December 11

Pretoria-South Africa's first black President Nelson Mandela is being
treated for a lung infection, the president's office has said. This is
the first time officials have revealed why Mr Mandela, 94, was rushed
to a military hospital in the capital, Pretoria, on Saturday.

Tests showed a "recurrence of a previous lung infection",
presidential spokesman Mac Maharaj said.

Mr Mandela is responding to his treatment, Mr Maharaj added.

News of the hospital stay has prompted much concern in South Africa.

Lung infections can be caused by bacteria and viruses. They can be
spread by coughs and sneezes and contact with infected surfaces like
taps and door handles.

There are different names for different infections,
depending on the cause and where in the airways they occur.

Pneumonia is usually caused by bacteria (called Streptococcus
pneumoniae) and affects the tiny air sacs at the end of the breathing
tubes in your lungs.

Bronchitis is an infection of the main airways, usually
caused by common cold or flu viruses.

Elderly people tend to be more prone to lung infections, as do people
with existing lung conditions or a weakened immune system.

Mr Mandela has been treated in the past for the early
stages of TB - an infectious disease that can damage the lungs.

Most lung infections can be treated with drugs, rest and fluids, but
at the age of 94, Mr Mandela is frail and his doctors will want to
keep a close eye on how his condition progresses.

Pneumonia can lead to serious complications, including
respiratory failure, which can be fatal.

The former president is regarded by most South Africans as the father
of the nation, having inspired them to fight for democracy.

He led the struggle against white-minority rule before
being elected the first black president in democratic elections in
1994.

Despite being imprisoned for 27 years by the apartheid government,
after his release he forgave his former enemies and urged South
Africans of all races to work together and seek reconciliation.

He was awarded the Nobel Peace Prize in 1993.

The BBC's Andrew Harding in Johannesburg says news that the frail Mr
Mandela has another lung infection is likely to generate considerable
anxiety.

The officials who have visited Mr Mandela in hospital
since Saturday have all said he is doing well.

He was flown to hospital on Saturday from his home in Qunu village in
Eastern Cape province by the military, which is responsible for his
healthcare.

Local media reported that the decision to move him was
taken so quickly that some family members and his own foundation were
initially unaware of it.

But Mr Maharaj has repeatedly said that Mr Mandela is doing well in
hospital and there is no cause for alarm.

Mr Mandela was last admitted to hospital in February when
he was treated for abdominal pain.

In January 2011, he was treated for a serious chest infection.

While in prison in the 1980s, Mr Mandela was also
diagnosed with tuberculosis - his lungs are said to have been damaged
when he worked in a prison quarry.

Mr Mandela retired from public life in 2004 and has been rarely seen
in public since.

Ghana's bright future depends on fair share from resources - Mahama

Reuters

Wednesday December 12



Accra-Ghana's President John Dramani Mahama said on Tuesday he will
press foreign energy and mining firms for more revenue during his new
term, won in elections he said proved the strength of democracy in the
West African state.

He said the cocoa, oil and gold-exporting country would
respect existing contracts, but would seek to convince companies to
agree changes to boost the state take from taxes and royalties.

"There is a lot of work to do in the next four years to consolidate
Ghana's transition into a middle-income country, and that's where I
will focus," he told Reuters in an interview.

"We're partners in this and we abide by all international
agreements we've signed," he said.

Mahama - who served as vice president to John Atta Mills and replaced
Mills after his death in July - narrowly beat his opposition rival
Nana Akufo-Addo in December 7 polls plagued by technical problems and
marred by an opposition allegation the results were rigged.

But observers praised the vote as free and fair, and
lauded Ghanaians for remaining peaceful - burnishing the country's
record as an island of stability in a region known for coups and civil
wars.

Mahama said the election made Ghana an "example for the rest for the
continent" - in stark contrast to crisis-stricken regional neighbours
like Mali and Ivory Coast.

"I don't think Ghana can get into the kind of fratricidal
conflict that we've seen elsewhere," he said sitting in the shade of a
mango tree in the yard of his sprawling villa in a posh neighbourhood
of the capital Accra.

"Because of the stability of our politics and security, and also
because of the stable macroeconomic environment, I think that (Ghana)
is attractive to investors," he said.

Ghana was Africa's fastest growing economy in 2011, its
first full year of oil production from the offshore Jubilee field
operated by British-based firm Tullow Oil, earning it a reputation as
a 'growth gem'.

BRIGHTER PROSPECTS, TOUGHER TERMS

Mahama said he would seek to leverage the country's appeal
to wrest better terms from resource companies.

"With regards to the oil, our main problem is with income taxes," he
said, pointing out that Tullow's contract allowed it to avoid income
tax payments until it has recovered the costs of bringing a field into
production.

"We could use that revenue, so if we had a way of getting
some payments on income taxes, on account even, that is something we
would want to look at," he said.

Tullow missed a plateau target of 120,000 barrels per day by a wide
margin in 2012, but aims to reach that target in 2013 aided by a $1.2
billion (744.6 million pounds) extension to Jubilee, according to
state-run Ghana National Petroleum Corporation.

Mahama said he also expects new oil fields to come on line
by late 2014 or early 2015, further brightening the outlook for
production in one of Africa's newest oil exporters.

Tullow submitted a development plan for its Tweneboa, Enyenra and
Ntomme (TEN) project in November after positive drilling results, but
has yet to release the timing of bringing it online.

Mahama said Ghana was reviewing a contract with Chinese
firm Sinopec to build a $700 million processing plant for natural gas
after widespread criticism of the project's cost. The plant is meant
to come online next year.

"I have asked for a technical audit to be done and we need to see the
results," he said.

Ghana is in the midst of discussions with gold-mining
companies to improve terms. Mahama said the state was seeking to
loosen up so-called 'stability agreements' held by some firms that
lock in royalty and tax rates.

Ghana this year raised royalties on gold to five percent from three
percent, a change that did not apply to miners like AngloGold Ashanti
and Newmont protected by stability agreements.

"There has been a committee working with them to see how
we can refine those stability agreements so that Ghana can also
benefit and get its proper share," he said.

Ghana floated the idea of a windfall profits tax on gold miners
earlier this year, but the effort has stalled under pressure from the
industry.

OLIVE BRANCH

Mahama's victory has been tainted by an opposition
complaint of result rigging. Top rival Akufo-Addo said on Tuesday his
party would bring their complaint to the Supreme Court.

Mahama said he would seek to ease tensions by ensuring his policies
benefit all Ghanaians by improving infrastructure along with access to
electricity, education and jobs.

"One of my core focuses is to ensure Ghanaians, no matter
their political or ethnic affiliation, have equal access to any
economic opportunity that this country has to offer."

"What brings the kind of surprise you saw in Mali is the problem of
exclusion. I love Ghana," he said.

Mahama has said he aims to raise average income in the
country to $2,300 per year, double the level in 2009.

Mahama, a 54-year-old historian with a background in communications,
received congratulations from African leaders, the United States and
the European Union for his win. He will be sworn in January.

"I think that overall Ghana has been the winner, Ghanaians are the
heroes of this election," he said.



Opposition to challenge Ghana poll

AFP

Tuesday December 11



Accra-Ghana's main opposition party said on Tuesday it will challenge
in court the results of a December 7 poll in which incumbent president
John Dramani Mahama was declared winner with 50.7 percent of the vote.

The New Patriotic Party, whose leader Nana Akufo-Addo,
lost to Mahama, has said the vote was marred by irregularities.

"We are contesting the results, so we are going to court," Nana Asante
Bediatuo, the party's legal adviser, told Reuters.

"We believe we have enough evidence of malfeasance during
the voting, and we are filing as soon as possible after putting them
together," Bediatuo said.

The disputed poll in the gold, oil and cocoa producing nation has
raised fears of unrest in a country which has managed 30 years of
successful democratic changes of power despite its location in the
heart of west Africa's so-called "coup belt".

Several hundred NPP supporters took to the streets in the
capital Accra on Tuesday to protest the results.

A contested election in 2008, in which Akufo-Addo lost by less than 1

percent, pushed the country to the brink of chaos, with disputes over
results driving hundreds of people into the streets with clubs and
machetes.

Egypt crisis: Morsi supporters and opponents rally

BBC News

Tuesday December 11

Cairo-Thousands of demonstrators in the Egyptian capital Cairo have
joined rival rallies as emotions run high ahead of a planned
referendum.

The opposition breached a barrier outside the presidential
palace but there was no violence.

Islamist President Mohammed Morsi, who called the vote on Saturday to
ratify a new constitution, has called on the army to maintain
security.

Egypt has asked the IMF to delay a loan because of
political turmoil.

Egypt requested the delay to the $4.8bn (£3.6bn) loan after President
Morsi suspended a programme to increase taxes, Prime Minister Hisham
Qandil told a news conference.

The International Monetary Fund says it "stands ready to
continue supporting Egypt during the ongoing transition and to consult
with the authorities on the resumption of discussions regarding the
[loan]".

The Egyptian economy has been hard hit by nearly two years of
political upheaval since the protests which toppled ex-President Hosni
Mubarak in February 2011.

Opposition marches from different parts of Cairo converged
on the presidential palace, which has been walled off with concrete
blocks and ringed with tanks.

Hundreds of soldiers are guarding the palace perimeter.

Opposition protesters breached the temporary wall, but the
BBC's George Alagiah, who was at the scene, said the Republican Guard
allowed the demonstrators through. Several thousand were in the
presidential compound on Tuesday evening.

The military is allowed to arrest civilians but clearly decided not to
use those powers, our correspondent said.

Islamist protesters who support President Morsi and the
draft constitution are gathering around Tahrir Square.

There were also protests in the cities of Alexandria and Assiut.

The head of Egypt's Judges' Club has said 90% of judges
are refusing to oversee the referendum. Under Egyptian law, judges are
required to supervise the vote at each polling station.

Meanwhile the head of the military has called for a national dialogue
to resolve the crisis.

Saying he was speaking only in a personal capacity, Abdel
Fatah El-Sissi invited the opposition, along with judges, media
leaders and Muslim and Christian clerics to an informal gathering on
Wednesday.

"We will only sit together," he said on state television. "For the
sake of every Egyptian, come and disagree. But we won't be cross with
one another or clash."

Public anger

At least nine people were hurt early on Tuesday when shots
were fired at opposition protesters in central Cairo.

The opposition wants the referendum scrapped, arguing that the
constitution was drafted by an Islamist-dominated assembly, weakens
human rights and fails to guarantee women's rights.

The president has tried to calm public anger by annulling
a 22 November decree boosting his powers, but has given the army
powers to arrest civilians until the results of Saturday's referendum
are announced.

Saturday will be a national holiday to allow state employees to vote
in the referendum, the state-run Mena news agency reported.

However, some rulings of the controversial decree - which
stripped the judiciary of any right to challenge his decisions - will
stand.

The general prosecutor, who was dismissed, will not be reinstated, and
the retrial of former regime officials will go ahead.

Petrol bombs were thrown and shots fired at opposition
demonstrators camping in Tahrir Square in the early hours of Tuesday.

Ten people were injured, the Al-Misri al-Yawm newspaper reported.

Pro-Morsi demonstrators from an umbrella group calling
itself the Alliance of Islamist Forces - made of Muslim Brotherhood
and Salafist groups - were also said to have gathered at two mosques
in Nasser City, a suburb of Cairo.

Hundreds of Islamist demonstrators staged a sit-in outside a Cairo
media complex that hosts the studios of several private TV channels,
which pro-Morsi protesters accuse of bias.

Seven people died and hundreds more were wounded in
clashes between rival protesters outside the palace last Wednesday
night.

Weakened force

President Morsi granted the army powers of arrest until
the results of Saturday's referendum were announced, calling on the
military to co-ordinate with the police in maintaining security.

Egypt's crisis

22 Nov: Presidential decree gives Mr Morsi sweeping new powers

30 Nov: Islamist-dominated constituent assembly adopts draft constitution

1 Dec: Mr Morsi sets 15 December as date for constitutional referendum

2 Dec: Judges go on strike

5 Dec: Clashes outside presidential palace

7 Dec: Protesters breach palace cordon

8 Dec: Mr Morsi rescinds his presidential decree but remains firm
on referendum

The police, seen as a weakened force since the fall of ex-President
Hosni Mubarak, failed to intervene when anti-Muslim Brotherhood
protesters ransacked the Islamist movement's Cairo headquarters last
week.

By pressing ahead with a referendum on the constitution,
the president says he is trying to safeguard the revolution that
overthrew the former president last year.

However, critics calling for large turnouts at Tuesday's protest
accuse him of acting like a dictator.

The opposition National Salvation Front has said it will
not recognise the draft constitution, as it was drafted by an assembly
dominated by Mr Morsi's Islamist allies.

Meanwhile, Mohamed Soudan, foreign relations secretary of the Muslim
Brotherhood's Freedom and Justice Party, said Mr Morsi was
constitutionally bound to go ahead with Saturday's vote because the
date had been announced by the constituent assembly.

[arthur ndowora]

[arthur ndowora]

---------- Forwarded message ----------
From: "Zfn (Zimbabwe)" <z...@yoafrica.com>
Date: Fri, 14 Dec 2012 08:31:38 +0200
Subject: Overseas Press Summary + Alex Cartoon
To: "Zfn (Zimbabwe)" <z...@yoafrica.com>

Zfn
Realtime financial intelligence
__________________________________________________________________________________




Headlines
Financial & Global Economy

*Wall street fall on fiscal finger pointing - CNNMoney

*FTSE 100 slips back on renewed US 'cliff' worries - Telegraph

*Oil heads for weekly gain on China, U.S. manufacturing outlook - Bloomberg

*Gold falls in line with stocks - Reuters

*Obama meets Boehner at White House for budget talks - Bloomberg

*Dreamliner faults attacked by Qatar Airways chief – BBC News

*Bank of America claims MBIA in default on senior notes - Reuters

*SolarCity IPO shines - CNNMoney

*IATA increases airline profit forecasts - AFP

*Apple infringes three patents with the iPhone, Jury says - Bloomberg

*Prosecutors seek 10-year prison term for Madoff brother – Reuters

*Japan Tankan survey shows business sentiment worsening – BBC News

*Standard Bank to sell assets to ICBC - AFP



International
*Italy's Monti faces pressure to run in election - Reuters

*Barcode co-inventor dies aged 91 – Al Jazeera

*Olympian lifespan 'possible for all' – BBC News

*Spain seizes Mubarak assets - AFP

*Court: Prank call nurse found hanging by co-workers – CNN News

*Susan Rice withdraws name to replace Clinton – Al Jazeera

*Third of road crossers distracted by mobiles – BBC News

*Litvinenko: Russia 'was involved' in death – Sky News

*Obama's cabinet: Who's in, who's out? - CNNMoney

*N.Korean leader wants more rocket launches - AFP

*Vatican denies free Christmas crib linked to corruption scandal - Reuters

*John McAfee says he faked heart attack to avoid deportation to
Belize – CNN News



News from the Axis
*Hugo Chavez 'recovering from cancer surgery bleeding' – BBC News

*Syrian rebels say foreign forces not needed - AP

*Iran hails progress in nuclear talks – Al Jazeera

*U.S., rebels urge gloomy Moscow to help oust Assad - Reuters



Political and General
*Madhuku backs Mugabe election call – New Zimbabwe

*One arrest after police raid on ZimRights – SW Radio Africa

*Zuma denies Mugabe rift claims – New Zimbabwe



Regional
*South Africa's Motlanthe takes on Zuma for ANC top spot - Reuters

*SA suspends Brazil beef imports - AFP

*Mozambique set for a coal boom - Reuters

*Illegal border crossing lucrative – The Star

*Nigeria arrests 63 in hunt for minister's kidnapped mother - Reuters

*Hillary to testify on Benghazi report - Reuters





Financial & Global Economy
Wall street fall on fiscal finger pointing

CNNMoney

Thursday December 13



New York-U.S. stocks tumbled Thursday as uncertainty over the nation's
fiscal policy trumped upbeat economic data and moves by global central
banks.

The Dow Jones industrial average fell 0.5%, the S&P 500
shed 0.6% and the Nasdaq lost 0.7%.

Stocks have been stuck in a rut for weeks as investors remain
unwilling to take risks before President Obama and lawmakers reach an
agreement on tax hikes and spending cuts set to kick in automatically
on Jan. 1.

The standoff in Washington overshadowed upbeat economic
news and new stimulus policies by the Federal Reserve.

Initial jobless claims fell more than expected during the latest week,
while retail sales bounced back in November. Producer prices fell 0.8%
last month.

The Fed, along with four other central banks, extended an
existing policy that makes it cheaper for banks around the world to
borrow U.S. dollars -- a staple of global financial transactions --
through February 2014. Previously, the policy was set to expire in
February 2013.

The moves follow the Fed's widely-expected announcement Wednesday to
extend its bond buying program and to maintain low rates until the
unemployment rate falls to 6.5% or inflation exceeds 2.5% a year.

"The so-called Bernanke put is in place," said Doug
Roberts, chief market strategist for Channel Capital Research. "But
for the market to rally, we need the fiscal cliff to be resolved, even
if it's temporary."

While many investors expect a last-minute compromise, the latest
rhetoric suggests the negotiations are far from over.

House Speaker John Boehner criticized Obama for not being
"serious" about spending cuts, which Republicans say should be the
main priority.

"It is clear that the president is just not serious about cutting
spending, but spending is the problem," said Boehner. "I've been
pushing all year for us to address this problem but here we are at the
eleventh hour, and the president still isn't serious about dealing
with this issue right here."

Obama has argued that Republicans are holding middle class
tax breaks "hostage" in order to prevent taxes from going up on
wealthy Americans.

On the corporate front Thursday, shares of Best Buy (BBY, Fortune 500)
surged following a report that said the company's founder Richard
Schulze will make an offer to purchase the electronics company by the
end of the week.

Swiss banking giant UBS (UBS) could face a fine of $1
billion to settle charges it manipulated a key interest rate,
according to several news reports, citing unnamed sources.

Sprint (S, Fortune 500) has offered to buy the 49% of wireless
broadband provider Clearwire (CLWR) it doesn't already own, which
would make the nation's third-largest wireless carrier the largest
spectrum holder in the United States.

CVS Caremark (CVS, Fortune 500)shares were higher after
the company boosted its quarterly dividend, announced a $4 billion
share buyback and raised its 2013 outlook.

Pier 1 Imports (PIR) also upped its dividend and announced a share
repurchase program of $100 million. The home furnishings retailer also
reported better-than-expected third-quarter earnings and sales, and
lifted its forecast for the year.

Hovnanian (HOV) reported a net loss of 59 cents per share
in the third quarter, although the homebuilder said it made a profit,
excluding various charges, for the first time in 25 quarters.

Nasdaq said it had canceled trades in nine stocks that took place the
minute before the market opened. The stocks, which included Goldman
Sachs (GS, Fortune 500), Citigroup (C, Fortune 500), Sprint (S,
Fortune 500), Wells Fargo (WFC, Fortune 500), Western Union (WU,
Fortune 500), AT&T, (T, Fortune 500) Kroger (KR, Fortune 500) and
Ventas (VTR), all moved more than 10% from the prior day's closing
price in what Nasdaq said appeared to be erroneous trades.

Fear & Greed Index

In Europe, finance ministers said Thursday they had
reached a deal that will bring the continent's banks under a single
supervisor. The measure is the latest attempt to alleviate pain caused
by the region's debt crisis, and could help standardize the oversight
of banking operations.

Meanwhile, eurozone finance ministers agreed to release the next
installment of Greece's bailout. The cash-strapped country is slated
to receive €49.1 billion through the first quarter of 2013, with €34.3
billion of that being paid out in the coming days.

European markets ended lower.

Meanwhile, Asian markets ended mixed. Japan's Nikkei closed up 1.7% as
the nation's elections approach.

Gold prices sank 1% in early trading, while oil prices were also
off. Bond prices fell, with the yield on the 10-year U.S. Treasury
note rising to 1.72%. The U.S. dollar weakened against the euro and
British pound, but gained against the Japanese yen.


FTSE 100 slips back on renewed US 'cliff' worries

Telegraph

Thursday December 13



London-Investor optimism over the state of the US economy proved
short-lived, with concerns over the "fiscal cliff" weighing on
London's blue-chips a day after the Federal Reserve met market
expectations by boosting stimulus measures.

The FTSE 100 slipped 15 points this morning after gaining
20.88 points on Wednesday when traders bet that Ben Bernanke, the Fed
chairman, would expand quantitative easing.

While the central bank yesterday announced a further $45bn (£28bn) of
monthly government bond repurchases after markets in London closed, Mr
Bernanke warned that the Fed could not avert the impact of looming tax
increases and spending cuts, the so-called "fiscal cliff" that is due
to kick-in next year unless politicians can negotiate a compromise.
The cliff threatens to plunge the US into recession.

Among individual stocks on the blue-chip index,
AstraZeneca was a heavy faller after revealing disappointing clinical
test results for its experimental arthritis drug Fostamatinib. The
shares fell 2.3pc in early deals.

On the mid-cap FTSE 250, which slid 24 points this morning, Egyptian
gold miner Centamin plunged 41pc on the news the company was
suspending operations at its Sukari mine, its main asset, following a
dispute over fuel and problems with gold exports.

The group's operations in Egypt came under threat earlier
this year after a court ruled its right to dig at Centamin was
invalid, a judgement the company is appealing.

"It appears to be suffering a run of very bad news, which highlights
the difficulties of operating in Egypt, where the political
environment remains volatile," said analysts at Investec.

"We do question, however, how well political issues are being
managed by Centamin and how long they fester before reaching a
critical point."



Oil heads for weekly gain on China, U.S. manufacturing outlook

Bloomberg

Friday December 14



New York-Oil rose in New York, extending a weekly gain, as a report in
China signaled manufacturing may expand at a faster pace this month in
the world’s second-biggest crude consumer.

Futures advanced as much as 0.8 percent and headed for the
fifth weekly increase in six. A preliminary purchasing managers’ index
for China by HSBC Holdings Plc and Markit Economics showed a reading
of 50.9, higher than the 50.8 median estimate in a Bloomberg survey. A
number above 50 indicates an expansion. U.S. industrial production
probably grew 0.3 percent in November, according to a separate
Bloomberg survey before Federal Reserve data today.

“The latest PMI, slightly ahead of the market expectation, suggests
that China is maintaining the economic recovery momentum,” said Gordon
Kwan, the head of regional energy research for Mirae Assets Securities
Ltd. in Hong Kong who predicts West Texas Intermediate crude will
average $95 a barrel next year. “Improved economic headlines from
China will provide firm support to oil prices in 2013.”

Crude for January delivery climbed as much as 64 cents to
$86.53 a barrel in electronic trading on the New York Mercantile
Exchange and was at $86.48 at 11:43 a.m. Singapore time. The contract
fell 88 cents to $85.89 yesterday. Prices are up 0.7 percent this week
and down 12 percent this year.

Brent for January settlement, which expires today, rose 37 cents to
$108.28 a barrel on the London-based ICE Futures Europe exchange. The
more actively traded February contract was up 39 cents at $106.85. The
European benchmark contract was at a premium of $21.81 to New
York-traded WTI. Front-month prices have gained 0.8 percent in 2012.

China Demand

Oil in New York has technical support along an upward-
sloping trend line on the daily chart, around $85.88 a barrel today,
according to data compiled by Bloomberg. Futures yesterday halted
their decline after reaching this line, which connects the intraday
lows of June and November. Buy orders tend to be clustered near chart
support while losses may accelerate with a sustained drop below it.

The December purchasing managers index by HSBC and Markit follows a
reading of 50.5 in November, which was the first expansion in 13
months. China will consume 9.9 million barrels a day of oil, 115,000
more than earlier projected, in the final three months of this year,
the International Energy Agency said in its Dec. 14 monthly market
report.

The nation’s net crude imports rose to the highest level
in six months in November and its refineries processed more than 10
million barrels a day of oil for the first time, government data
showed this week.

Fiscal Cliff

Oil may drop next week in New York after the White House
and congressional officials said no progress had been made on federal
budget talks, according to a Bloomberg survey. Twelve of 31 analysts
and traders, or 39 percent, forecast crude will decrease through Dec.
21. Eight respondents, or 26 percent, predicted a gain.

WTI fell 1 percent yesterday as Democratic and Republican lawmakers
expressed renewed pessimism about the prospect of reaching a deal
before more than $600 billion in tax increases and spending cuts known
as the fiscal cliff start in January.



Gold falls in line with stocks

Reuters

Thursday December 13



Singapore-Gold prices fell more than 1 percent in Europe on Thursday,
failing to sustain gains made after the Federal Reserve unveiled a
fresh round of bond purchases, as investors switched focus to the
prospect of a looming US fiscal crisis.

The precious metal hit a two-week high late on Wednesday
after the Fed said it planned to buy $45 billion in longer-term
Treasuries each month on top of the $40 billion monthly purchase of
mortgage-backed securities it announced in September.

But Fed chairman Ben Bernanke also warned that monetary policy would
not be enough to offset the damage to growth if talks to close the
fiscal deficit in Washington failed, triggering mandatory tax
increases and spending cuts.

Gold quickly dropped in line with other markets as the new
stimulus measures were overshadowed by concerns that the budget talks
might fail to head off what would be a crushing blow to growth.
Traders cashed in gains ahead of the year-end, with the statement
containing few surprises to justify a stronger rise.

Spot gold was down 1.2 percent at $1,691.90 an ounce at 15:28 SA time,
while US gold futures for December delivery were down 1.4 percent at
$1,694.20.

The Fed's decision to explicitly link easing with
unemployment also raised some concerns that future economic stimulus
could be limited.

“A difference between previous rounds of QE, and the latest monetary
stimulus announcement, is that US unemployment was rising or flat
before, but has been falling lately,” Mitsubishi analyst Matthew
Turner said.

“One could extrapolate that the threshold set by the Fed
could be reached by 2014. However, the Fed said this was only a
guidepost to when it would consider raising rates, and of course
unemployment trends could slow or even reverse again.”

Last month the US unemployment rate dropped to a near four-year low of
7.7 percent, although the better number was the result of a lower
number of job-seekers.

LOCKING IN PROFITS

Gold benefits from easy monetary policy as it keeps up
pressure on longer term interest rates, fans fears over inflation, and
can undermine confidence in paper currencies. The precious metal has
risen nearly 9 percent so far this year.

“The temptation to lock-in profits as we near year-end was strong, and
gold sold off,” said UBS in a note. “But despite the decline... we
don't think the sentiment towards gold has actually turned negative.

“There is hardly any follow-through selling interest in
early European hours, and we would expect market participants to
hesitate chasing the market lower after the Fed has essentially just
doubled the pace of money-printing.”

Gold is likely to remain rangebound, as many investors are closing
books for the year, while the difficult US budget talks keep them away
from big bets.

The negotiations could drag on past Christmas given sharp
differences between congressional Republicans and the White House on
how to avert steep tax hikes and budget cuts.

Dealers anticipated physical buying interest in gold would kick in
below the psychological $1,700 per ounce. Buying in India increased on
Thursday as local prices hit a one-week low.

“Volumes are good as (the) rupee has appreciated, and gold
is facing correction after (the) FOMC,” one dealer with a Mumbai-based
private bank importing bullion, said. India is vying with China this
year as the world's biggest gold market.

Among other precious metals, silver was down 2.3 percent at $32.63 an
ounce, while spot platinum was down 2 percent at $1,602.99 an ounce.
Spot palladium was down 2 percent at $678.00 an ounce.

Palladium, which has outperformed other precious metals this
month after lagging for much of the year, hit a one-week low at
$676.60 an ounce in earlier trade.



Obama meets Boehner at White House for budget talks

Bloomberg

Friday December 14

Washington-President Barack Obama and House Speaker John Boehner met

for 50 minutes today at the White House on the budget stalemate.

Treasury Secretary Timothy Geithner also attended the
meeting, according to an administration official who sought anonymity.
The White House and Boehner’s office released almost identical
statements that said the meeting was “frank” and that “the lines of
communication remain open.”

Earlier today, Boehner repeated his insistence that the president’s
budget proposal is “anything but” balanced, and accused Obama of not
being serious about cutting spending.

Still, the speaker, during his weekly news conference,
didn’t rule out allowing a House vote on extending tax cuts for income
up to $250,000 a year for married couples, as Obama has demanded, if a
broader tax-and-spending deal isn’t reached soon.

“The law of the land today is that everyone’s income taxes are going
to go up on Jan. 1,” Boehner said when asked by reporters if he would
rule out such a vote. “I have made it clear I think that is
unacceptable. Until we get this issue resolved, that risk remains.”

Obama and Boehner have been stymied in negotiations over
how to avert more than $600 billion in spending cuts and tax
increases, the so-called fiscal cliff, scheduled to start taking
effect in January.

Also today, Senate Majority Leader Harry Reid said the Senate won’t
consider a limited bill to avoid an expansion of the alternative
minimum tax or a cut in Medicare reimbursements to physicians if a
broader budget deal isn’t reached.

Top 2 Percent

Reid, a Nevada Democrat, said the Senate won’t address tax
or spending provisions that expire at year’s end unless Republicans
agree to let tax rates rise for the top 2 percent of earners.

“As long as they do something on rates, I am happy to talk to them
about anything,” Reid said in an interview. Pressed on whether he
would refuse to advance a smaller-scale bill if Republicans won’t
budge on rates, Reid said, “That’s right.”

Reid spoke by telephone with Obama earlier today,
according to a Senate Democratic aide who spoke on condition of
anonymity because negotiations are private.

House Minority Leader Nancy Pelosi, a California Democrat, said talk
of deeper spending cuts demanded by Republicans should await
discussions on a tax-code overhaul next year.

“Don’t even think about using” an increase in the Medicare
eligibility age to reduce spending, Pelosi said. Democrats won’t throw
“America’s seniors over the cliff to give a tax cut to the wealthiest
in America,” she said.

Market Response

U.S. stocks retreated, snapping a six-day advance in the
Standard & Poor’s 500 Index. The S&P 500 fell 0.6 percent to 1,419.59
at 4 p.m. New York time. Treasuries fell for a third day. Yields on
the benchmark 10-year note rose three basis points to 1.73 percent.
They touched 1.74 percent, the highest since Nov. 7.

Obama this week reduced his demand for new tax revenue to $1.4
trillion from $1.6 trillion. Boehner said the plan wouldn’t pass the
Republican-controlled House.

The alternative minimum tax, a parallel tax system created
to ensure that wealthy individuals couldn’t avoid all taxes, is
scheduled to affect about 28 additional million households for tax
year 2012, up from about 4 million otherwise.

Without legislation to prevent that, the Internal Revenue Service has
said it would delay tax filing scheduled to start in January until at
least late March for more than 60 million filers. Action isn’t
required, though inaction would cost taxpayers $92 billion in early
2013, according to the nonpartisan Joint Committee on Taxation.

Medicare Payments

If Congress doesn’t act by Jan. 1, Medicare payments to
physicians will drop by 26.5 percent. Lawmakers regularly act to
prevent the cut or restore it retroactively in what has become known
as the “doc fix.”

Senator Dick Durbin of Illinois, the chamber’s second- ranking
Democrat, told reporters that Democratic leaders met today with
doctors who were concerned about the cut in reimbursement rates.

House Majority Leader Eric Cantor, a Virginia Republican,
said the House next week will consider several “expiring provisions”
without offering details.

Cantor was referring to the possibility the House could extend current
farm programs and take up legislation to prevent a drop in physician
reimbursements from Medicare, said three Republican leadership aides
who weren’t authorized to speak publicly.



Dreamliner faults attacked by Qatar Airways chief

BBC News

Thursday December 13



London-The head of Qatar Airways has criticised Boeing over several
manufacturing faults that have resulted in the grounding of one of its
three 787 Dreamliner aircraft.

Qatar's grounded 787 has electrical problems similar to
those in a United flight that was recently forced to have an emergency
landing. Chief executive Akbar Al Baker said he was "disappointed" by
the situation.

Boeing's Sir Roger Bone said he understood Mr Baker's "frustration".

Qatar Airways has long been one of the fastest growing
airlines in the world, having gone from operating just four aircraft
to service a global flight network to more than 100 destinations in
just 15 years.

Yet, to Mr Baker the expansion has not been fast enough. "We're
already falling behind on our expansion programme due to delayed
deliveries of aircraft and technical problems with the aeroplanes."

UK ambitions

"I'm disappointed because we have an aircraft that has
just been delivered to us and for the last five days we can't fly it,"
Mr Baker told the BBC.

Dreamliner deliveries are already several years behind schedule, so "I
don't think there's any excuse for these problems anymore", Mr Baker
said.

Mr Baker was speaking at London's Heathrow airport, having
just arrived from Doha on the first-ever commercial long-haul flight
in a Dreamliner to the UK.

"London is a very important destination for us in Europe," he said.
"We have other destinations in mind in the UK, but due to the shortage
of aircraft we've not been able to realise these ambitions yet."

Sir Roger, the president of Boeing UK, told the BBC: "Of
course, I understand his frustration, and of anybody in that position,
who is delayed in getting the aircraft they need.

"We work extremely hard to mitigate things like that and to put things
right. It's something we attach enormous importance to."

Paying compensation?

The electrical problems that forced the United flight to
land and resulted in the grounding of the Qatar Dreamliner were
discovered on the same day as the discovery of a separate risk.

On Tuesday, the US Federal Aviation Administration said it had
identified fuel-line assembly errors in the Dreamliner that could
result in leaks onto hot engine parts and thus start a fire, cause
engine failure, or simply see the plane run out of fuel.

Mr Baker said he was far from convinced that these were
simply teething problems.

"Well, I don't know - two aircraft having major problems so quickly?"
he said, referring to the electrical faults in the United and the
Qatar planes.

When asked by the BBC whether Boeing would be paying
compensation to Qatar Airways, he responded: "They will have to if
they deliver aeroplanes that can't fly. We are not buying aircraft to
put in museums, we're buying them to fly."

Sir Roger declined to respond to a question about how much this could
cost Boeing. "That's not something I would ever talk publicly about at
all," he said. "Those are contractual arrangements between Boeing and
a customer."

The Boeing 787 Dreamliner is one of the most advanced
aeroplanes ever created. Much of it is made from very strong, light
carbon-fibre composite material.

In spite of the current problems with the plane, Mr Baker said the
Dreamliner was a "fine machine" and insisted that Qatar should have 10
787s in operation within a year.



Bank of America claims MBIA in default on senior notes

Reuters

Thursday December 13



New York-Bank of America Corp (BAC.N) raised the stakes in its ongoing
legal battle with bond insurer MBIA Inc (MBI.N) on Thursday, saying
MBIA was in default on some of its debt and filing a lawsuit related
to changes in that debt.

In a statement, Bank of America said it purchased $136
million worth of the 5.70 percent senior notes due 2034 in a tender
offer and that it had issued a notice of default to the company and
the trustee for the notes.

According to Thomson Reuters data, there are $329.1 million in notes
outstanding from the bond issue in question.

"MBIA believes that Bank of America's purported notice of
default is meritless and as a result has no force and effect under the
terms of the indenture," an MBIA spokesman said in an emailed
statement. He termed the move "a transparent attempt to gain leverage
to force MBIA Corp. to accept a discounted settlement of the over $4.5
billion that BofA owes MBIA Corp. for fraudulent and misrepresented
mortgage loans."

A source familiar with the matter, speaking on condition of anonymity,
said Bank of America also filed suit against MBIA in a New York state
court, alleging MBIA interfered in Bank of America's offer to buy the
bonds. As of Thursday evening the suit was not yet publicly available.

At issue is a change MBIA sought to make to the terms of
the bonds to eliminate the risk that it might be considered in default
if a troubled unit were put into rehabilitation or liquidation by New
York regulators.

MBIA said in early November that if there were a default, it would
have insufficient liquidity to make good on the notes and would
probably pursue other actions, including bankruptcy.

Bank of America countered with an offer to buy the bonds,
saying it believed the changes would increase the risk of MBIA's
insurance unit being placed in rehabilitation or liquidation, which
could jeopardize all policyholder claims.

On November 26, MBIA said it won the necessary consent to make the
changes, but Bank of America said on Thursday it issued the default
notice because of "the purported adoption of a proposed amendment in
violation of the terms of the Indenture."

The legal wrangling is a major cloud hanging over both
companies, which have struggled to recover from mortgage-related
troubles from the financial crisis.

MBIA claims that Bank of America owes it billions of dollars over
soured mortgages that it wants the bank to buy back. Bank of America
says the insurer owes it billions over certain credit default swap
transactions.

The two sides are currently in court in pretrial hearings in MBIA's
2008 breach of contract lawsuit against Bank of America subsidiary
Countrywide for misrepresenting the quality of loans it insured.



SolarCity IPO shines

CNNMoney

Thursday December 13



New York-SolarCity (SCTY) is shining on its first day of trading. In
its debut on Nasdaq (NDAQ) Thursday, SolarCity closed 47% above its
$8-a-share initial public offering price.

To get that pop, SolarCity was forced to scale back its
expectations. The company had originally tried to price its offering
between $13 and $15, which would have given it a valuation close to $1
billion, and raised $141 million.

Even though the company upped the number of shares it offered, the IPO
raised only $92 million, giving SolarCity a market cap around $600
million.

The company, which installs solar panels, said it plans to
use the proceeds for working capital and to expand the business
through acquisitions or investments.

SolarCity is the first clean technology company to brave the public
markets since Enphase Energy (ENPH) went public in March. Enphase
Energy, which makes products to help improve solar efficiency, has
seen its stock price slashed in half. BrightSource Energy, another
solar company that had planned to go public in April, canceled its
IPO.

"Investors have been burned so badly from the solar
sector. We've faced that stigma while selling our company to
investors," said SolarCity CEO Lyndon Rive.

Companies seeking to harness the power of the sun have struggled in
recent years, as U.S. firms face competition from cheaper solar panels
manufactured in China. Solyndra, which received a $535 million loan
from the U.S. government, has been the highest-profile casualty. The
company declared bankruptcy in September 2011 and laid of all its
employees.

But SolarCity has been able to sidestep some of those cost
challenges because they don't manufacture the panels.

They install them and help consumers finance them. Demand appears to
be relatively robust so far.

"We told investors that we sell energy not equipment," said Rive.

Since the company's 2006 founding, it has provided systems or services
for more than 45,000 buildings. The company more than doubled its
revenue during the first nine months of the year, but its losses
continued to mount. SolarCity lost $78 million during the first three
quarters of the year, compared with a loss $57 million during the same
time period of 2011.

SolarCity garnered the attention of investors at least
partially because its chairman, Elon Musk, runs Tesla Motors (TSLA).
Tesla manufactures electric cars and has been one of the few clean
tech success stories. The company's shares have risen more than 20%
this year.

And things may be looking up for solar stocks, which have gotten a
nice post-election boost. Despite the issues surrounding Solyndra's
bankruptcy and the government's investment in the company, investors
think the Obama administration will be friendly to the clean tech
space. Shares of First Solar (FSLR), which are down 5% in 2012, have
surged 35% since Election Day.



IATA increases airline profit forecasts

AFP

Thursday December 13



IATA-Global airlines on Thursday revised upwards widely watched
industry profit forecasts for 2012 and 2013, but said that carriers
remain vulnerable to risks including the euro zone crisis and the
threat of a US fiscal cliff.

The International Air Transport Association (IATA), which
represents 240 airlines, said that airlines were set to make a
collective profit of $6.7 billion in 2012, up from a previous forecast
of $4.1 billion.

For 2013, it predicted an industry profit of $8.4 billion, up from its
previous estimate of $7.5 billion.



Apple infringes three patents with the iPhone, Jury says

Bloomberg

Friday December 14



San Francisco-Apple Inc. (AAPL) lost an infringement case brought by
patent-licensing firm MobileMedia Ideas LLC when a federal jury
decided the maker of the iPhone misappropriated protected technology
for the handheld devices.

Jurors in Wilmington, Delaware, deliberated about four
hours after a weeklong trial before also concluding today that the
three patents aren’t invalid.

“We’re very pleased,” MobileMedia Chief Executive Officer Larry Horn
said in a courtroom interview after the trial. “We think it’s
justified.”

The Apple iPhone is the No. 1 smartphone in the U.S.,
outselling all handsets using Google Inc. (GOOG)’s Android software
combined in the 12 weeks through Oct. 28, according to Kantar
Worldpanel ComTech. The device, once offered exclusively by AT&T Inc.
in the U.S., is offered by Verizon Wireless, Sprint Nextel Corp. (S)
and beginning in 2013, T-Mobile USA Inc.

U.S. District Judge Sue L. Robinson hasn’t yet scheduled a trial on
damages, which Horn said could be “substantial.”

Apple declined to comment on the verdict, spokeswoman
Kristin Huguet said in an e-mail.

MobileMedia, based in Chevy Chase, Maryland, sued Cupertino,
California-based Apple in 2010 contending it infringed 14 patents for
electronics. Robinson took the case to trial after the number of
patents was whittled to three.

‘Irreparable Injury’

In its complaint, MobileMedia contended it would suffer
“irreparable injury” if Apple was allowed to use the patented
inventions in its iPhone without paying royalties.

“We’re not in the litigation business” and just want to license the
patents, Horn said. The patents in the suit were originally owned by
Sony Corp. and Nokia Oyj, according to court filings.

Horn said one patent is for the camera phone and others
cover call handling and call rejection. He said MobileMedia has a
portfolio of about 300 patents.

MobileMedia told Robinson in a court disclosure statement that 10
percent or more of its stock is owned by Nokia, Sony Corp. (6758) of
America and MPEG LA, a patent-licensing authority.

“This was a very difficult case,” Steve Bauer, a partner
at Proskauer Rose LLP, said in an e-mailed statement. “It required us
to take the jury back to 1994-1998, when these technologies were first
invented.”

Apple fell $9.31, or 1.7 percent, to $529.69 today in Nasdaq Stock
Market trading.

The case is MobileMedia Ideas LLC v. Apple Inc., 10-cv-258, U.S.
District Court, District of Delaware (Wilmington). To see the patents,
click: 6,070,068; 6,253,075; and 6,427,078.



Prosecutors seek 10-year prison term for Madoff brother

Reuters

Thursday December 13



New York-Prosecutors in New York asked a federal judge to sentence
Bernard Madoff's younger brother to 10 years in prison for the role he
played in the multibillion-dollar Ponzi scheme, according to court
papers filed Thursday.

Peter Madoff pleaded guilty in Manhattan federal court in
June to criminal charges including conspiracy to commit securities
fraud and making false filings with the U.S. Securities and Exchange
Commission.

As part of Peter Madoff's June plea deal, he agreed not to seek a
sentence other than 10 years, according to the filing.

Peter Madoff "committed very serious crimes that served to
conceal and perpetuate a multi-billion dollar fraud scheme" and
"engaged in a vast fraud scheme by which tens of millions of dollars
were transferred within the Madoff family" to avoid paying taxes and
enrich himself and his family, the filing said.

Peter Madoff is scheduled to be sentenced on December 20, 2012.

Bernard Madoff is serving a 150-year prison term and was
ordered to forfeit $170.8 billion.

Peter Madoff served as the chief compliance officer and senior
managing direct of Bernard L. Madoff Investment Securities. At his
plea hearing, he denied knowing about Bernard Madoff's decade-long
fraud until his brother confessed to him in December 2008.

In October, attorneys for Madoff asked that his
sentencing, which was then scheduled for November 9, be delayed to
allow him time to file accurate, amended tax returns for 1998-2008.
The plea agreement required that he file the amended returns.

An attorney for Peter Madoff was not immediately available for comment.

The case is U.S. v. O'Hara et al, U.S. District Court, Southern
District of New York, No. 10-cr-00228.



Japan Tankan survey shows business sentiment worsening

BBC News

Thursaday December 13



Tokyo-Sentiment among Japanese businesses worsened in the three months
to December, the Bank of Japan's Tankan survey has indicated,
underlining the weakness in the country's economy.

The survey's large manufacturers' index deteriorated to
minus 12, from minus three in the previous quarter.

Japanese manufacturers have been hurt by slowing export demand, a
strong yen and subdued domestic consumption.

The index plays a role in driving the central bank's
monetary policy.

"We can see sentiment is worsening across the board, whether in
manufacturing or services," said Hiroshi Miyazaki, chief economist at
Shinkin Asset Management in Tokyo.

"There are not any signs that sentiment will recover
quickly," he added.

Stimulus boost?

The index, which measures sentiment among large
manufacturers, has remained negative for five successive quarters.

The latest number comes after revised growth figures earlier this week
suggested the world's third-largest economy was in recession.

Japan said its economy shrank by 0.9% between July and September.

At the same time, the April to June quarter was revised from 0.1%
growth to show a contraction of 0.03%, making it two successive
quarters of contraction, or a technical recession.

A shrinking economy, slowing demand for exports and
sluggish domestic consumption have all contributed to calls for
policymakers to implement new measures to help revive growth.

Japan has unveiled some initiatives, including a stimulus boost worth
880bn yen ($10.7bn; £6.7bn), announced last month, to create
employment and support small businesses.

However, there have been calls for the central bank to
ease its policies further. Analysts said given the sharp decline in
sentiment, the bank may announce some measures soon.

"If the Bank of Japan was leaning toward easing policy, this Tankan
survey will give them a nudge in that direction," said Mr Miyazaki.



Standard Bank to sell assets to ICBC

AFP

Thursday December 13



Johannesburg-South Africa's Standard Bank may sell 60 percent of its
UK commodities and foreign exchange trading businesses to the
Industrial & Commercial Bank of China for at least $600 million, the
Wall Street Journal reported.

In a couple of years, the ICBC will also have the right to
increase its stake to 80 percent, the Journal reported on Thursday,
citing people with direct knowledge of the matter.

China's biggest bank by assets already has a 20 percent shareholding
in Standard Bank, Africa's most valuable lender.

Standard Bank said it would not comment on the rumours but
that it would continue co-operating with the Chinese bank.

“Following the acquisition of a 20 percent stake in Standard Bank by
ICBC announced in October 2007, a formal co-operation agreement was
signed, and which is underpinned by several workstreams including
Resource Banking,” it said in a statement.

“As part of this agreement, Standard Bank continues to
deepen all areas of co-operation as originally envisaged.”

The ICBC also declined to comment.

Standard Bank shares were up 0.28 percent at 13:11 SA time,
outperfoming a 0.16 percent drop by Johannesburg's Top-40 index. ICBC
shares were down 1.25 percent.



International
Italy's Monti faces pressure to run in election

Reuters

Thursday December 13



Rome-Italian Prime Minister Mario Monti faced increasing pressure on
Thursday to stand as a candidate in next year's election after Silvio
Berlusconi's surprise offer to drop his bid for a fifth term as
premier.

At a meeting of the European People's Party in Brussels,
an umbrella group of centre-right parties, Berlusconi repeated the
offer to stand aside if Monti agreed to run against the centre-left,
who are tipped to win the election.

Monti's attendance at the meeting alongside Berlusconi and German
Chancellor Angela Merkel came as a surprise to many as he was not on
the guest list or agenda.

Monti was brought in a year ago to head a technocrat
government to save Italy from financial crisis, but opinion polls
suggest he would have little chance of winning an election if he were
to run as a candidate.

He would also face many hurdles within the center-right, which is
highly fragmented and includes his most entrenched critic, the
Northern League.

"There were a lot of expressions of support for a Monti
candidacy," a member of the European parliament told Reuters. "But
Monti didn't resolve the dilemma."

Berlusconi center-right People of Freedom (PD) party withdrew support
from Mont's government in parliament last week, prompting him to
resign.

On Saturday, Berlusconi declared he would lead the PD into
an election expected early next year.

With memories fresh of the financial crisis which prompted the end of
Berlusconi government last year, his mooted return to frontline
politics alarmed Italy's European partners and rattled financial
markets.

The media magnate's call for Monti to stand has aroused
skepticism in Italy because it came only two days after he had blamed
Italy's deep recession on austerity policies he said had been dictated
to Monti by Germany and the European Central Bank.

Opinion polls suggest Berlusconi has no real chance of winning the
election, and markets have calmed. In an auction of three-year bonds
on Thursday the Treasury paid the lowest borrowing costs since late
2010.

Monti is widely credited with restoring Italy's
international credibility after the scandal-plagued Berlusconi era and
he has given no clear indication of his intentions.

He has said only that he would like to continue playing a role in
influencing ideas.

Asked about Berlusconi's offer ahead of a European Union
summit in Brussels, Monti said it was neither the time nor place to
respond. He said he was committed to leading the government in the
brief time remaining before the 2013 budget is approved and he resigns
- probably before Christmas.

BERATING SEEN WINNING

Berlusconi latest volte-face increases the likelihood that
he will pull out of the election. He has been struggling to hold his
People of Freedom party (PD) together.

Opinion polls, meanwhile, show a commanding lead for the center-left
Democratic Party and its leader Pier Luigi Bersani, said Roberto
D'Alimonte, a politics professor at Rome's Luis university and an
expert on electoral systems.

"The only certainty about the upcoming election is that
Bersani is going to win hands down," D'Alimonte said.

Bersani has supported the technocrat government in parliament but has
been cool on the idea of Monti running at the election, saying to do
so would put at risk his position as a universally respected
independent.

It could also prevent Monti from becoming president of the
Republic, a position which would give him considerable influence over
the government and the political scene in general.

On Thursday, Bersani repeated that he expected the former European
Commissioner to continue playing some role when his term in office
ends.

"The day after the elections, the first person who I would
like to have a conversation with is Monti," Bersani said.

Ferrari's chairman, Luca Cordero di Montezemolo, whose recently formed
centrist group has been regarded as a potential vehicle for a Monti
candidacy, said on Thursday he hoped he would throw his hat into the
ring.

"I'm optimistic. I think Monti is the first to realize how
much there is left to do," he told RAI state television.

Berlusconi's hopes have faded of securing an alliance with the
regionalist Northern League party that could have given him a strong
position in the Senate.



Barcode co-inventor dies aged 91

Al Jazeera

Friday December 14



New York-Norman Joseph Woodland, the co-inventor of the barcode that
labels billions of products in stores around the world, has died at
his New Jersey home at the age of 91.

Woodland's death was confirmed by his daughter, Susan
Woodland, who told the New York Times he died on Sunday from effects
of Alzheimer's disease and complications of advanced age.

Woodland and co-inventor Robert Silver were students at Philadelphia's
Drexel University when Silver overheard a grocery-store executive
asking an administrator to support research on how product information
could be captured at checkout.

The pair earned a patent in the US in 1952 with Woodland's
idea to create a shape of concentric circles. The patent was later
sold for just $15,000.

The technology did not catch on until the 1970s, when Woodland's
employer IBM promoted a rectangular barcode that was adopted as the
standard.

The modern-day barcode is estimated to be scanned more than five
billion times every day.



Olympian lifespan 'possible for all'

BBC News

Friday December 14



London-The longevity Olympians enjoy is within the reach of everyone,
experts say. Research published on the British Medical Journal (BMJ)
website suggests athletes live 2.8 years longer on average than the
average lifespan.

The research indicated those who took part in non-contact
sports such as cycling, rowing and tennis enjoyed the longest life of
all.

But the general population could have a similar "survival advantage"
by doing a little more exercise, experts said.

The conclusion by two public health professors came after
they reviewed two studies of Olympic athletes published by the BMJ
website.

The studies looked at the lifespan and health of 25,000 athletes who
competed in Games dating back to 1896.

Those taking part in contact sports such as boxing had the
least advantage, while cyclists and rowers enjoyed the best health.

But the researchers also found those who played lower intensity sports
such as golf enjoyed a boost.

'Public health failure'

Possible explanations put forward for the finding included
genetic and lifestyle factors and the wealth and status that comes
with sporting success.

However, the findings prompted public health experts Prof Adrian
Bauman, from Australia's Sydney University, and Prof Steven Blair,
from South Carolina University in the US, to suggest others could live
as long as Olympic athletes.

The recommended level of physical activity for adults is
150 minutes of moderate to vigorous exercise each week.

Studies suggest people who manage that amount or more live for up to
several years longer than those that do not.

Writing for the BMJ website, the professors said:
"Although the evidence points to a small survival effect of being an
Olympian, careful reflection suggests that similar health benefits and
longevity could be achieved by all of us through regular physical
activity.

"We could and should all award ourselves that personal gold medal."

But they said governments were still not doing enough to promote
the benefits of physical activity, calling it a "public health
failure".



Spain seizes Mubarak assets

AFP

Thursday December 13



Madrid-Spanish police have found 28 million euros ($36.5 million) in
assets owned by ousted Egyptian president Hosni Mubarak and people
close to him, including Marbella beach properties and luxury cars, the
government said on Thursday.

Egypt had asked Spain to track down assets in the country
belonging to the former president and more than 100 people with ties
to him, including family members, people who held high-level posts in
his government and business leaders.

Spain's interior ministry said it had frozen 18.4 million euros worth
of the assets, but did not say whether it would also freeze the
remainder.

The properties include two houses in La Moraleja, a
wealthy neighbourhood of Madrid, seven properties in the Mediterranean
beach resort of Marbella, financial products in three banks and also
luxury vehicles, the ministry said in a statement.

“The assets could come from crimes such as embezzlement or
corruption,” the government statement said.

Egypt has asked several countries in Europe and elsewhere
to locate assets of Mubarak and people close to him. S witzerland has
also frozen assets of the former Egyptian president.

Mubarak, who ruled Egypt for three decades, was forced out in February
2011 after a popular uprising.

In June, he was sentenced to life in prison for his role in
killing protesters during the uprising. He is currently in a military
hospital because of health problems.



Court: Prank call nurse found hanging by co-workers

CNN News

Thursday December 13



London-A nurse who took a prank call from an Australian radio station
apparently hanged herself using a scarf, but her reasons for pursuing
that tragic course remain unclear.

Jacintha Saldanha was found last Friday by work colleagues
hanging from a wardrobe door at her hospital living quarters, a
coroner's court in London heard Thursday.

The nurse, who was married with two teenaged children, left three
notes, two at the scene and a third with her belongings, Westminster
Coroner's Court heard.

The content of the notes was not disclosed.

There were also "some injuries to her wrist," Detective Chief
Inspector James Harman said.

The nurse put through the prank call December 4 to a nurse
on the ward where Prince William's wife, Catherine, was being treated
for acute morning sickness.

Some details of her condition were given to the radio DJs, who
impersonated Prince Charles and Queen Elizabeth II.

The details around the circumstances of Saldanha's death
emerged as an inquest -- a proceeding usually held in Britain when a
death is sudden, unexplained or violent -- was opened.

The coroner's court was told that Saldanha's body was formally
identified Tuesday by her husband, Benedict Barboza.

Police are looking at e-mails and telephone records,
Harman said, and will speak to Saldanha's friends and co-workers about
what could have led to her death.

At this time there are no suspicious circumstances, he said.

Police will also be in touch with Australian police to
find out what would be the best way of gathering evidence, Harman
said. This could involve either going to Australia or collecting
evidence remotely.

Saldanha, whose tragic death triggered wide public anger against the
radio station involved, Sydney-based 2Day FM, was represented at the
coroner's court by co-workers from the hospital.

The Australian Communications and Media Authority, the
country's media watchdog, on Thursday opened a formal investigation
into 2Day FM's broadcast of the prank call.

"The ACMA will be examining whether the licensee has complied with its
broadcasting obligations," said chairman Chris Chapman.

The station's owner, media network Southern Cross
Austereo, pledged Tuesday to donate at least 500,000 Australian
dollars (US$524,000) to a fund for the nurse's family.

It lifted a moratorium on advertising Thursday, with all profits to
the end of the year to go to the fund.

The 46-year-old nurse, who moved to the UK from India a
decade ago, had worked at King Edward VII's Hospital, where Catherine
was being treated, for the past four years

The coroner adjourned the inquest until a provisional date of March 26.



Susan Rice withdraws name to replace Clinton

Al Jazeera

Friday December 14



Washington-Susan Rice, the US ambassador to the UN, has withdrawn her
name for consideration for the position of US secretary of state. Rice
was in the running to replace current Hillary Clinton who will step
down from her post in January.

The envoy, who is close to US President Barack Obama, had
been the target of Republican attacks on the administration's handling
of the raid on the US consulate in Benghazi, Libya on September 11
this year.

"Those of you who know me know that I'm a fighter, but not at the cost
of what's right for our country," Rice wrote on Twitter on Thursday.

'Passionate public servant'

In a letter to Obama on Thursday, Rice said: "If
nominated, I am now convinced that the confirmation process would be
lengthy, disruptive and costly to you and to our most pressing
national and international priorities".

Rice said she was saddened by the partisan politics surrounding her prospects.

Obama said in a statement: "Today, I spoke to Ambassador
Susan Rice, and accepted her decision to remove her name from
consideration for Secretary of State.

"For two decades, Susan has proven to be an extraordinarily capable,
patriotic, and passionate public servant."

He added that Rice's decision to withdraw her name had
reflected her strength of character and an ability to rise above
politics.

Al Jazeera's Alan Fisher, reporting from Washington said Obama has a
series of appointments and also negotiations over the looming fiscal
cliff which all have to be agreed with the Republicans.

"Obama, by accepting the withdrawal of Rice, shows the
President is choosing his battles carefully with the Republicans,"
said our correspondent.

Rice, 48, has been the US Permanent Representative to the UN since
2009, her withdrawal leaves Senator John Kerry as a possible candidate
for the job.



Third of road crossers distracted by mobiles

BBC News

Thursday December 13



Florida-Almost one in every three pedestrians crossing the road are
using their mobile phone, a US study suggests.

Of more than 1,000 people crossing 20 different roads in
Seattle, 10% were listening to music, 7% were texting and 6% were
having conversations, on phones the journal Injury Prevention reports.

The texters were four times more likely to ignore red lights or fail
to look both ways before crossing.

And they took almost two seconds longer to cross a three
to four lane junction.

Listening to music speeded up the time taken to cross the road, but
those that were doing it were less likely to look both ways before
crossing.

Kevin Clinton, from the Royal Society for the Prevention
of Accidents, said: "Looking properly when you are walking is as
important as when you are driving, so take care not to be dangerously
distracted, whether by mobile phones, listening to music or being
caught up in conversations with other people.

"Being able to use all of your senses while you are on the road is
important and using mobile phones can, of course, be distracting. It
is important to be aware when interacting with traffic."

The Department of Transport estimates there was a 5% rise
in the numbers of pedestrian casualties in the year from June 2011.

Edmund King, from the AA, said: "There have been tragic deaths through
people forgetting their immediate spatial environment.

"This study confirms that millions of pedestrian, cycling
and driving mobile device zombies can be tuned into the wrong thing at
the wrong time - road users need to be tuned into what's a happening
around them."

The authors of the study, from the Harborview Injury Prevention and
Research Center in Seattle, said: "Ultimately a shift in normative
attitudes about pedestrian behaviour, similar to efforts around
drunk-driving, will be important to limit the risk of mobile device
use."



Litvinenko: Russia 'was involved' in death

Sky News

Thursday December 13



London-The UK has evidence the Russian state was involved in the
murder of Alexander Litvinenko, who was working for MI6 when he died,
a coroner has heard.

The pre-inquest review was told the former KGB spy had
been hired by MI6 for a number of years and was also working with
Spain to investigate the Russian mafia shortly before his death.

Mr Litvinenko was poisoned with polonium-210 after allegedly drinking
tea at a meeting with two former Russian colleagues - Andrei Lugovoy
and Dmitry Kovtun - in London's Millennium Hotel in November 2006.

Russia has refused to extradite the prime suspects, Mr
Lugovoy and Mr Kovtun, both of whom deny involvement.

The hearing revealed for the first time that Mr Lugovoy - now a
Russian MP - was double-crossing his government and helping with an
investigation into the Russian mafia's links with the Kremlin and
Russian President Vladimir Putin.

Hugh Davies, counsel to the inquest into Mr Litvinenko's
death, said assessments of confidential material submitted by the
British Government had "established a prima facie case as to the
culpability of the Russian state in the death of Alexander
Litvinenko".

After the hearing, Mr Litvinenko's wife Marina said she was pleased
the alleged involvement of the Russian government in her husband's
murder would now be considered by the inquest.

"We've been saying this many times but this is the first
time this question has been raised in court," she said.

"I appreciate all that was done today and I'm looking forward to any
decision, which will be taken by the coroner after today's hearing."

It was also heard that Mr Litvinenko would regularly meet
with an MI6 handler, named only as Martin, in central London and was
paid by both the British and Spanish secret services into a joint bank
account he held with his wife, the hearing was told.

Ben Emmerson QC, representing Mrs Litvinenko, said the inquest should
also consider whether MI6 failed in its duty to protect against a
"real and immediate risk to life".

Mr Davies said assessments of confidential material that
was submitted by the British Government showed there was no evidence
to suggest the UK was involved in the poisoning of Mr Litvinenko or
that it failed to take necessary steps to protect him.

The evidence also ruled out the involvement of other parties,
including friend Boris Berezovsky, Chechen-related groups and the
Spanish mafia, he added.

Mr Emmerson said Mr Litvinenko had been asked by MI6 to
work with the Spanish secret service and the inquest should consider
whether "detailed risk assessments" were carried out.

He had been due to travel to Spain with Mr Lugovoy shortly before his
death to provide intelligence in the Russian mafia investigation, Mr
Emmerson said.

The investigation was looking at links between Russian
political parties, organised crime and arms trafficking, he added.

Neil Garnham QC, representing the Home Office, told the hearing he
could "neither confirm nor deny" whether Mr Litvinenko was employed by
British intelligence services.

The Russian Federation has now indicated its wish to
become an interested party in the inquest, which is to be held on May
1.

The inquest will be held before High Court judge Sir Robert Owen, who
has been appointed assistant deputy coroner.

Mr Litvinenko died three weeks after he was poisoned - after
authorising the release of a photo showing the devastating impact of
radiation poisoning on his body.



Obama's cabinet: Who's in, who's out?

CNNMoney

Thursday December 13



Washington-As President Obama prepares to begin his second term in
office, he's expected to make some changes to key positions in his
cabinet. Here's a look at the current cabinet, and who may be under
consideration to serve in the next term.

Obama's former political foe has filled the top diplomatic
post since the beginning of his administration. However, she has
previously said she will not serve another four years, even though she
is open to staying in the job through her replacement's confirmation.
Questions about a future presidential run abound despite her
insistence that her job at the State Department will be her last in
public service.

Secretary of State

Withdrawn: Susan Rice

Rice was considered a front-runner for the top job at the
State Department until she withdrew from consideration after meetings
on Capitol Hill with high-ranking Republican senators intended to
alleviate their concerns raised more questions among them.

Republican Sens. John McCain, Lindsey Graham and Kelly Ayotte
questioned comments Rice made when she served as the administration's
public face after the September 11 attack on the U.S. diplomatic post
in Benghazi, Libya. In multiple TV appearances in the days after the
attack, she cited a hateful video and mob attack as the reason for the
deaths. Officials said she relied on an intelligence assessment for
her assessment. The attack claimed the lives of four Americans,
including the U.S. Ambassador Chris Stevens.

Intelligence disclosed later suggested that the attack was planned.

A knowledgeable Democratic source said of the meetings, "That really
hurt her. She probably underestimated the club."

In a statement released after Rice's withdrawal, Obama
said, "I have every confidence that Susan has limitless capability to
serve our country now and in the years to come, and know that I will
continue to rely on her as an advisor and friend," the statement read.
"While I deeply regret the unfair and misleading attacks on Susan Rice
in recent weeks, her decision demonstrates the strength of her
character, and an admirable commitment to rise above the politics of
the moment to put our national interests first."

Contender: Sen. John Kerry

Rice's withdrawal leaves the door open for Sen. John
Kerry, D-Massachusetts, the Senate Foreign Relations Committee
chairman.

Kerry sits on the Senate Finance, Commerce, and Small Business
committees, as well. Kerry was first elected to the Senate in 1984.
Prior to that, he was Massachusetts' lieutenant governor. Kerry is
also a decorated Vietnam veteran.

It is no secret that Kerry has long wanted to be secretary
of state, but he was also being considered as secretary of defense, a
position that he has said he didn't want. In all likelihood, he would
also experience a smooth and quick transition, which would be welcomed
at the White House.

After news broke of Rice's withdrawal, Senate Minority Leader Mitch
McConnell said that Kerry would be a "popular choice with the Senate."

In response to reports that Kerry was being considered for
a Cabinet position, his spokeswoman, Jodi Seth, said his "only focus
right now is his job as senior senator from Massachusetts and chairman
of the Foreign Relations Committee."

Secretary of the Treasury

In the job: Timothy F. Geithner

Economist Tim Geithner assumed the role at the Treasury
Department in 2009 after serving as president of the Federal Reserve
Bank of New York. Geithner has been a crucial adviser on global
economic woes, U.S. recovery from recession, the auto bailout, and
efforts to toughen Wall Street regulation and deal with shaky credit
and housing markets. Geithner has said that he would step down after
the inauguration.

Contender: Jack Lew

Two Democratic sources say that Lew is likely to be
nominated to replace Tim Geithner, but one knowledgeable source says
that any changes on the economic team are likely to be put on hold
until there is a clearer picture of fiscal cliff negotiations. Lew is
greatly trusted by Obama and would bring with him extensive knowledge
from his time on Capitol Hill, at the State Department and in the
White House.

Secretary of Defense

In the job: Leon E. Panetta

Leon Panetta assumed his role as defense secretary in 2011
after serving as CIA director at the start of the Obama
administration. A White House chief of staff to former President Bill
Clinton has said he would leave following Obama's re-election, but
recently said he would remain in the job until the question of
military spending cuts, which are part of political wrangling over the
"fiscal cliff," are resolved and a long-term plan is in place for
winding down America's involvement in Afghanistan.

Contender: John Kerry

The defense job would be something of a consolation prize
for Kerry. It is no secret that he has long wanted to be secretary of
state and has said he doesn't want to head the Defense Department. But
his relationships and knowledge could prove invaluable in navigating
Congress during a time of budget austerity. In all likelihood, he
would also experience a smooth and quick transition, which would be a
welcomed at the White House. However, the president does not seem to
award jobs as prizes and has said he would like a bipartisan Cabinet.

In response to reports that Kerry was being considered for a Cabinet
position, his spokeswoman, Jodi Seth, said Kerry's "only focus right
now is his job as senior senator from Massachusetts and chairman of
the Foreign Relations Committee."

Contender: Former Sen. Chuck Hagel

One Democratic source called the former two-term
Republican senator from Nebraska "the frontrunner" for the top Defense
spot. Another Democratic source said Hagel is "very much in the mix."
Part of the appeal of nominating Hagel might be his party
identification, since it would continue a tradition of nominating a
secretary of Defense from the opposing party, like Bob Gates, who
Obama got to stay on after the George W. Bush administration. But
Hagel's reputation for working across the aisle and foreign policy
decisions will no doubt draw questions from Senate Republicans.

During his time in the Senate, Hagel was a vocal opponent of Bush's
foreign policy and the war in Iraq. Hagel also opposed the troop surge
in Iraq in 2007, which was credited with helping to stabilize the
country. In 2012, Hagel continued his pattern of crossing the aisle
when he endorsed Nebraska Democratic Senate candidate Bob Kerrey, who
lost.

Hagel is a decorated Vietnam veteran and served as a
senior member of the Senate Foreign Relations, Banking, Housing and
Urban Affairs, and Intelligence committees. He has remained engaged in
public policy since he retired from the Senate in 2009, currently
serving as the chairman of the Atlantic Council and working as a
professor at Georgetown University. Before his time in the Senate,
Hagel worked as the president of McCarthy & Co., an investment bank in
Omaha.

Attorney General

In the job: Eric Holder

Eric Holder reportedly will stay in his post for the next
year, according to Fox News. The outlet reported that Holder will stay
on at the request of the president to prevent a "mass exodus" of
Cabinet officials at the beginning of his second term.

Following the year, possible replacements for Holder are being circulated.

Contender: Deval Patrick

The two-term Massachusetts governor is often mentioned as
a replacement should Holder leave, but he recently told The Boston
Globe that he intends to keep his promise to his wife that he'll
return to the private sector once he leaves office. He was a former
assistant attorney general in the Clinton administration for the
Justice Department's Civil Rights Division, the top civil rights post
in the country. In the private sector, he earned a partnership in the
Boston law firm of Hill & Barlow and also worked as Texaco's and
Coca-Cola's general counsel.

Contender: Janet Napolitano

Homeland Security Secretary Janet Napolitano has the
credentials, of course. As a U.S. attorney, she helped lead the
domestic terrorism investigation into the Oklahoma City bombing. As
Arizona attorney general, she helped write a law to break up
human-smuggling rings. And her homeland security background is
extensive: In seeking approval for the Department of Homeland
Security's $59 billion budget for fiscal year 2013, Napolitano
stressed the importance of her agency preventing terrorism, securing
the borders, enforcing immigration laws, strengthening aviation
security, safeguarding cyberspace and providing a coordinated response
to disasters.

USA Today, NPR, National Journal and Daily Kos all suggest Napolitano
is in the running.

Secretary of the Interior

In the job: Ken Salazar

Ken Salazar might be stepping down in Obama's second term
but not because the interior chief reportedly threatened to take a
swing at a Colorado reporter (for which he later apologized). Salazar
may be opting instead to take a private-sector job in Colorado, where
he and his wife care for their autistic granddaughter, Politico
reported. If he does leave, his retirement will be one of three
environmentally focused, secretary-level positions to see turnover in
the Obama administration's second term.

Contender: David Hayes

The top spot at the Interior Department could go to Deputy
Interior Secretary David Hayes. In his current position, Hayes
co-chairs the secretary's Energy and Climate Change Task Force. Hayes
also headed the Interior Department's response to the Deepwater
Horizon oil spill by managing day-to-day operational issues. Hayes was
deputy secretary and counselor to the interior secretary in the
Clinton administration and was chairman of the board of the
Environmental Law Institute.

Other reported replacements include former Sen. Byron Dorgan of North
Dakota and former Wyoming Gov. Dave Freudenthal. Washington Gov. Chris
Gregoire also finds her name on the shortlist.

Secretary of Agriculture

Thomas J. Vilsack

During his term as Agriculture Secretary, Vilsack has
committed his time to a variety of issues from food stamps to resource
conservation to first lady Michelle Obama's Let's Move initiative.
Whether the former governor of Iowa continues in his post, however may
turn on his wife, Christie Vilsack, who just lost her bid for an Iowa
congressional seat. When asked if he would stay, Vilsack responded
(http://www.foodsafetynews.com/2012/11/obama-re-election-does-not-mean-everyone-is-staying-for-a-second-term/),
"I love my job." But if the USDA head goes, some of his circulating
successors include former Sen. Blanche Lincoln or Sen. Kent Conrad.
Recently re-elected Montana Sen. John Tester may also be up for the
spot if Vilsack vacates.

Secretary of Commerce

In the job: Rebecca Blank (acting)

John Bryson resigned from the job in June after taking a
medical leave of absence. A seizure caused the former CEO and
president of Edison International to hit two cars in June while in
California. In a letter to the president, Bryson said new leadership
was needed because the events were distracting from the economy.

The post has remained vacant since.

Contender: Sheryl Sandberg

Sheryl Sandberg served as chief operating officer at
Facebook for four years before she was named to the website's board of
directors in June 2012. Her Facebook tenure followed positions as vice
president of global online sales and operations at Google and chief of
staff at the Treasury Department. The D.C. native is frequently the
subject of profiles and tops influential lists and is one of few
prominent women in the technology field. The business leader has said
she would like to be in a position in which she is able to have the
biggest impact, apparently leaving the door open to a position in
government. On the campaign trail, Obama did say he wanted to create
the post of secretary of business and Sandberg could be a contender
for that post, too.

Secretary of Labor

Hilda L. Solis

Solis' career in Washington started when she worked in
Jimmy Carter's White House. Before accepting Obama's nomination for
secretary of labor in 2009, Solis had served as congresswoman for
California's 32nd District since 2001. During Obama's first term,
Solis focused on expanding green jobs and expanding affordable health
care.

There is no sign that Solis, who took on her role as labor secretary
just after the financial meltdown hit, is planning to vacate her
position during Obama's second term.

Secretary of Health and Human Services

In the job: Kathleen Sebelius

If Republicans had their way, Obamacare would be repealed.
And after an HHS rule that mandated insurance companies cover
contraception, Catholic bishops would like to see Kathleen Sebelius
out of a job. But with Obama in office for a second term, it is
probable that Sebelius will stay. Sebelius, a former governor of
Kansas, has been tasked with implementing the Affordable Care Act and
most likely will see it through.

Contender: Lois Quam

Lois Quam is the executive director of the Global Health
Initiative at the State Department and is highly regarded at the White
House, according to the National Journal. She also has worked at the
state level (in Minnesota) to expand insurance access.

Other possibilities include three high-profile Democratic governors:
Maryland's Martin O'Malley, Oregon's John Kitzhaber and Massachusetts'
Deval Patrick, who has also been mentioned for the attorney general's
job. Both O'Malley and Kitzhaber oversaw large state-level health
insurance reform projects.

Secretary of Housing and Urban Development

Shaun L.S. Donovan

Donovan, who was sworn in during the home foreclosure
crisis, has taken an increasingly large role in the administration,
POLITICO reported. And while the publication says that Donovan may be
up for the chief of staff position, that won't happen quite yet.
Donovan was recently appointed the point person for Hurricane Sandy
reconstruction effort after immediate emergency needs are met. Donovan
served as Commissioner of the New York City Department of Housing
Preservation and Development before accepting his current position.

Secretary of Transportation

In the job: Ray LaHood

Ray LaHood recently attended the grand opening of the
first completed high-tech bus shelter in Monterey, California. The
next day he delivered the keynote address at a distracted driving
summit at the Tampa Convention Center in Florida. A few hours later,
he joined New York Gov. Andrew Cuomo and other officials to mark the
reopening of the Hugh L. Carey Tunnel after flooding caused by
Superstorm Sandy.

LaHood doesn't look or sound like a man ready to walk away from the
job he's held for four years. He made headlines in October 2011 when
he announced he would step down after a first Obama term. He said he
expected some "wonderful opportunities" in the private sector.

But in September, he seemed to leave the door open. He
told reporters in Washington, "I'll always be grateful to the
president for giving me this opportunity, and I owe it to him to sit
down and talk after the election and see where it takes us."

The sole Republican in the Obama Cabinet, LaHood spent 14 years as a
U.S. congressman from Illinois before becoming transportation
secretary in 2009. LaHood has made it a priority to push for
distracted driving safety laws. He also has been a strong supporter
for the president's stimulus program.

Possible replacements

Some of the names widely reported as possible replacements
for LaHood include Los Angeles Mayor Antonio Villaraigosa, former
Pennsylvania Gov. Ed Rendell and outgoing U.S. Rep. Steve LaTourette,
an Ohio Republican.

Secretary of Energy

Steven Chu

Steven Chu's career has been dotted by highs like winning
the Nobel Prize for Physics in 1997 and lows like the $527 million
Department of Energy loan to Solyndra, the solar panel maker that went
bankrupt in August 2011, taking more than half a billion dollars of
taxpayer money with it. The Solyndra loan was a political minefield
for the administration.

Contender: Jim Rogers

Rogers was co-chairman of the Democratic National
Convention in Charlotte, North Carolina, the hometown of Duke Energy,
for which he serves as CEO. Rogers will retire next year under an
unusual agreement with state regulators examining the executive
changes from Duke's merger with a rival company.

Contender: Cathy Zoi

No stranger to Washington politics, Zoi served as the
chief of staff in the White House Office on Environmental Policy in
the Clinton administration and as acting undersecretary for energy
efficiency and renewable energy at the Department of Energy. Zoi was
the founding CEO for former Vice President Al Gore's Alliance for
Climate Protection. She currently works on an investment team as a
partner in the Silicon Valley company Silver Lake, an investment firm
that focuses on energy efficient technologies and businesses.

Contender: Kathleen McGinty

McGinty served as chair of the White House Council on
Environmental Quality in the Clinton White House, as secretary of the
Pennsylvania Department of Environmental Protection and as chair of
the Pennsylvania Energy Development Authority. She also founded
Peregrine Technology Partners LLC, a company that specializes in the
production and marketing of clean energy technology. She was
considered as a possible Environmental Protection Agency chief after
Obama was first elected in 2008 and before Lisa Jackson took the post.

Contender: Louis Hay III

Hay, the executive chairman of NextEra Energy Inc., an
energy company focused on renewable energy, was recently elected
chairman of the Edison Electric Institute. Since Hay was just
appointed to EEI in June 2012 and then assumed his role as chairman of
NextEra the following month, that could be reason enough for him to
forego the Energy job if offered.

Secretary of Education

Arne Duncan

Duncan, who served as secretary of education during all of
Obama's first term, will not likely step down at the beginning of
Obama's second term. During his four years in office, Duncan has
worked on initiatives expanding Pell grants and working on reform
efforts like Race to the Top program as well as Investing in
Innovation. Duncan has also worked to improve relations between labor
and management at a time when teaching labor unions have faced public
fights from the right, including the Wisconsin effort to end
collective bargaining. Before taking the top education spot, Duncan
had served as CEO of Chicago Public Schools since 2001.

Secretary of Veterans Affairs

Eric K. Shinseki

Before taking the top job at the VA, Shinseki served in
active duty for the Army from 1965to 2003, when he retired having
reached the Army chief of staff position. Shinkseki, whose highly
decorated Army career spans almost six decades, was nominated for the
secretary's job in 2008, and sworn in at the beginning of 2009. His
role has seen a number of challenges as veterans return from both Iraq
and Afghanistan with a host of needs, ranging from treatment for
physical and mental injuries to job placement as they leave the
service to drug addiction and homelessness.

It is unlikely that Shinseki will step down from his position just yet.

Six days after the election, he pledged an ambitious plan
to eliminate the claims backlog for veterans, as well as end
homelessness by the end of 2015. Shinseki is also working to expand
access to VA health care, according to the Army Times. The news
organization also reported that Shinseki has talked of launching an
aggressive mental health program to combat the high rates of suicide
plaguing veterans.

Secretary of Homeland Security

In the job: Janet Napolitano

The quadrennial game of musical chairs is buzzing with
guesses about whether Janet Napolitano will stay on for Obama's second
term.

How does Attorney General Janet Napolitano sound? It's certainly a
possibility if one reads the tea leaves. Attorney General Eric Holder
has suggested he might be leaving.

Napolitano might be interested in Sen. John McCain's seat
in 2016 or a possible Supreme Court nomination.

Possible replacements

Politico reports Judge Merrick Garland of the U.S. Court
of Appeals for the District of Columbia Circuit and Matthew Olsen,
director of the National Counterterrorism Center, could be in the
running to fill Napolitano's position. The National Journal also
suggested a list of possibilities: New York City Police Commissioner
Ray Kelly, retired Coast Guard Adm. Thad Allen and Bill Bratton, who
ran the New York, Boston and Los Angeles police departments.

White House Chief of Staff

In the job: Jack Lew

Obama's current Chief of Staff, Lew jumped from the White
House budget office to his current role in 2012. He is greatly trusted
by Obama and brings with him extensive knowledge from his time on
Capitol Hill, at the State Department and in the White House. The
administration believes he would have a smooth confirmation.

Contender: Ron Klain

Famously portrayed by Kevin Spacey in the HBO movie
"Recount," Klain most recently landed in the news as the head of
Obama's presidential debate prep team. But before he spent long days
secluded with Obama, he was chief of staff for Vice President Joe
Biden, former Vice President Al Gore and a top lawyer who served as
general counsel to Gore's recount effort following the 2000
presidential election.

Klain is considered someone with profound influence inside the
Beltway, is known for his serious intellect and is a familiar presence
to those inside the current White House. If he doesn't get the nod for
chief of staff, he could get a different senior post in the West Wing.

Contender: Tom Donilon

Tom Donilon assumed his latest role as national security
adviser in October 2010 after serving as deputy assistant to the
president for national security affairs under Gen. James Jones and
assistant secretary of state for public affairs during the Clinton
administration. Out of government, he served in a leadership role at
Fannie Mae and as a partner at a Washington law firm. Donilon is the
one who wakes the president with important national security matters
and is largely tasked with keeping international problems at bay.
Donilon's chances of becoming chief of staff could be tied to Rice's
fortunes. If she returns to NSC, then that would open the door for him
to move up.

Contender: Leon Panetta

Although the chief of staff job might be considered a step
back for the defense secretary, his deep history in Washington at OMB,
the Defense Department and in the chief of staff position under
Clinton could be invaluable to Obama as he navigates a period of
difficult fiscal negotiations with Congress that will likely impact
the areas with which he has the most experience.

Contender: Tom Nides

A Washington veteran, Nides is currently the deputy
secretary of state for management and resources, after serving in
numerous high-level positions on Capitol Hill, at Fannie Mae, Credit
Suisse and Morgan Stanley. His extensive relationships throughout the
capital could be of particular help to the president.

Contender: Denis McDonough

The No. 2 on the NSC staff was also a senior foreign
policy adviser in the 2008 campaign.

McDonough headed communications in the early days of the administration.

He is a former House International Relations Committee aide before
becoming the senior policy adviser to then-South Dakota Sen. Tom
Daschle.



N.Korean leader wants more rocket launches

AFP

Thursday December 13



Seoul-North Korea's leader has ordered more satellite launches, state
media said Friday, two days after Pyongyang's long-range rocket launch
triggered global outrage and UN condemnation.

Kim Jong-Un, who oversaw Wednesday's launch, said its
success underscored the need for “to develop the country's science,
technology and economy”, according to the official Korean Central News
Agency (KCNA).

North Korea says it placed a satellite in orbit for peaceful research,
but critics say the launch amounted to a banned ballistic missile test
that marked a major advance for the communist state's nuclear weapons
programme.

The UN Security Council held emergency talks after the
North, already under international sanctions for nuclear tests in 2006
and 2009, ignored pleas from friends and foes and went ahead with the
launch.

The council warned of possible measures over what the US called a
“highly provocative” act as it and other countries including South
Korea and Japan demanded a new round of sanctions against Pyongyang.

Kim had issued the final written order for the rocket
launch on Wednesday morning and “keenly observed” the whole process,
said KCNA.

By placing a satellite in orbit North Korea had “further consolidated
the status of the DPRK (Democratic People's Republic of Korea) as a
space power and demonstrated that the country has reached the highest
level in terms of cutting-edge science and technology”, it reported
Kim as saying.

The launch “showed at home and abroad the unshakable
stand... to exercise the country's legitimate right to use space for
peaceful purposes”, Kim said, according to KCNA.

Analysts say the symbolism of the launch was a prime motivating factor
for North Korea as youthful Kim, who is not yet 30, shores up his
leadership a year on from the death of his father Kim Jong-Il on
December 17 last year.

A previous launch of North Korea's Unha-3 rocket in April ended in
embarrassing failure, with the carrier exploding shortly after
take-off, and Kim was seen as keen to mark this month's anniversary
with an emphatic success.



Vatican denies free Christmas crib linked to corruption scandal

Reuters

Thursday December 13



Vatican City-The Vatican said on Thursday there was no link between
its decision to accept the gift of a nativity scene in St Peter's
Square and allegations that it had previously paid inflated prices to
have them built.

This year's larger-than-life Christmas tableau depicting
the biblical scene of Jesus' birth, worth about 90,000 euros
($120,000), was donated by the southern region of Basilicata, one of
Italy's poorest.

Some of the documents that sparked this year's 'Vatileaks' scandal
indicated that in 2009 the Vatican paid an Italian company six times
that amount, about 550,000 euros ($720,000), to build its nativity
scene in the square.

The letters, leaked to the media, mentioned the payment as
an example of corruption in the city state's business dealings.

Monsignor Giuseppe Sciacca, deputy governor of the Vatican City, was
asked by reporters whether accepting a donated crib was a response to
the scandal.

"This is exclusively the result of the offer by the
Basilicata region to give us this gift, which, with a minimum of good
sense, has been accepted," he said.

In the leaked documents, Sciacca's predecessor, Archbishop Carlo Maria
Vigano, said the exorbitant cost of the 2009 crib was an example of
how the Vatican was losing money through corruption.

Vigano said he had managed almost to halve the cost of the
2010 crib. He was subsequently transferred to the United States,
despite an appeal to his superiors to be allowed stay in his job, in
what he saw as punishment for doing his work too well.

Two people were convicted by a Vatican court over the leaks of documents.

Paolo Gabriele, the Pope's former butler, is now serving
an 18-month jail sentence in a Vatican jail cell for stealing
sensitive papal documents and leaking them to the media.

A computer expert was given a suspended sentence for obstructing
justice in the case.



John McAfee says he faked heart attack to avoid deportation to Belize

CNN News

Friday December 14



Miami-American technology pioneer John McAfee said he faked a heart
attack while detained in Guatemala to buy time for his attorney to
file a series of appeals that ultimately prevented his deportation to
Belize, hastening the government's decision to send him back to the
United States.

After weeks on the run and days in immigration detention,
McAfee arrived in Miami on Wednesday.

He said Belize authorities in April 2011 accused him of running a
methamphetamine lab, before the November 11 killing of his neighbor,
American businessman Gregory Faull, and have since persecuted him.

"I have absolutely nothing to do with the murder in
Belize," he said Thursday. "This is not about a murder in Belize. This
began on the 30th of April of last year when 42 armed soldiers stormed
my property."

After weeks in hiding, the 67-year-old antivirus software company
founder emerged in Guatemala's capital last week to ask for asylum.

Guatemalan authorities took him into custody on
accusations of entering the country illegally, and his asylum bid was
rejected. McAfee then waged a public battle, requesting asylum and
arguing that police in Belize were after him following his apparent
decision to shed light on corruption in the country.

He also said the breach resulted in Belize soldiers shooting his dog.
CNN cannot independently verify his account.

"He opted to return to his country of origin," said
attorney Telesforo Guerra, who has represented McAfee since he arrived
in Guatemala last week.

On Sunday, McAfee told reporters that he hoped to go back to the United States.

"Our intent is to return to America, if at all possible,
and settle down to whatever normal life we can settle down to under
the circumstances," he said. "There is no hope for my life if I am
ever returned to Belize."

Authorities in Belize, where McAfee had lived since 2008, say they
want to talk to him about Faull's death.

McAfee's home on Ambergris Caye, an island off Belize's mainland,
was raided after Faull's death. National police spokesman Raphael
Martinez said authorities went into the house amid suspicions there
were illicit weapons and drugs inside, but neither were found.



News From The Axis
Hugo Chavez 'recovering from cancer surgery bleeding'

BBC News

Thursday December 13



Caracas-Venezuelan President Hugo Chavez suffered bleeding during
surgery for cancer in Cuba on Tuesday but is recovering well, his
Communications Minister said.

Ernesto Villegas said the 58-year-old president will
require "proper time" to recover because of the complexity of the
surgery and its complications.

This is the president's fourth operation since last year.

Mr Villegas called on Venezuelans to continue praying for
Mr Chavez. President Chavez "suffered bleeding that required the use
of corrective measures", he said in a statement.

But Venezuelan Vice-President Nicolas Maduro says the condition of Mr
Chavez has improved "from stable to favourable".

On Wednesday, Mr Maduro said the president's latest
surgery had been "complex, difficult, delicate" and he faced a
"complex" recovery.

Former bus driver

The president, who was re-elected to a fourth term in
October, is due to take office on 10 January for a six-year term.

The Venezuelan constitution states that, should the president leave
office in the first four years of his term, an election must be held
within 30 days.

Mr Chavez said Venezuelans should vote for Mr Maduro in
fresh elections should his health fail.

The cancer was first detected during initial surgery for a pelvic
abscess in June 2011.

During the weekend, Mr Chavez himself acknowledged the
seriousness of the situation.

"There are risks. Who can deny it?" he said in a televised speech. Mr
Maduro, a former bus driver, is one of the president's closest
advisers.

The Venezuelan government has been giving daily updates on
the president's health, unlike during his previous visits to Cuba.

It may be preparing the Venezuelan people for the possibility of Mr
Chavez's "socialist revolution" having to go on without him, said the
BBC's Sarah Grainger in Venezuela.



Syrian rebels say foreign forces not needed

AP

Thursday December 13



Marrakech, Morocco-The Syrian people no longer need the intervention
of international forces as rebels push towards the heart of the
capital of Damascus to topple President Bashar al-Assad, the new
leader of Syria's opposition told Reuters.

Mouaz al-Khatib, the scion of a Damascene Muslim religious
dynasty, said the opposition would consider proposals from Assad to
surrender power and leave the country, but would not give any
assurances until it saw a firm proposal.

Flanked by bodyguards, al-Khatib was speaking to Reuters on Wednesday
night after a meeting of Western and Arab nations with the Syrian
opposition in the Moroccan city of Marrakech.

“The horrific conditions which the Syrian people endured
prompted them to call on the international community for military
intervention at various times”, al-Khatib said.

“Now the Syrian people have nothing to lose. They handled their
problems by themselves. They no longer need international forces to
protect them. The international community has been in a slumber,
silent and late (to react) as it saw the Syrian people bleeding and
their children killed for the past 20 months,” the eloquent,
soft-spoken opposition leader said.

On Assad, he said: “I only hope that he knows that he has
no role in Syria or in the lives of the Syrian people. The best thing
is that he steps down and stops drinking the blood of the Syrian
people.”

Al-Khatib blamed world and regional powers for the rise of radical
Islam in Syria, which has long prided itself on being a tolerant
mosaic of ethnic groups. He said the world's failure to stop Assad's
forces from killing peaceful protesters at the beginning of Syria's
revolt in March 2011 was the root cause.

“The international community is partly responsible for the
emergence of some disturbing phenomena because of its negligence
towards peoples and nations,” said al-Khatib, who was elected as
president of the Syrian National Coalition for Opposition and
Revolutionary Forces last month.

“When a whole people endure killing for 20 months, then groups emerge
with radical or extremist views.”

At the Marrakech Friends of Syria conference, 114
countries, including the United States and the 27 states of the
European Union, recognised the coalition as the legitimate
representative of the Syrian people, signalling that more than four
decades of Assad family rule over Syria might be nearing an end.

With fighting raging in the capital not far from Assad's palace and
rebels rapidly gaining ground across the country, al-Khatib said a
negotiated exit for Assad may still be possible.

A mainstream Muslim preacher from a family that have long
been the custodians of the ancient Umayyad Mosque in central Damascus,
one of the holiest places of Islam, al-Khatib is widely respected
across Syria's different religious communities.

He first made his mark in the earliest days of the revolt, telling
mourners at the funeral of protesters shot by Assad's forces that
freedom was a natural right.

The 52-year-old bearded former imam, who studied
geophysics and has worked as an oil company geologist, was banned from
preaching for 17 years and imprisoned several times after the speech.
He is now based in Cairo.

Al-Khatib said that even if big powers did not supply fighters pushing
into Damascus with heavy weapons to counter Assad's superior
firepower, the rebels would still win.

“There are promises of military help but, God willing, the
Syrian people will uproot this regime even using their bare knuckles,”
al-Khatib said.

“The Syrian people started (their revolt) in a simple way, and stood
fast not only in the face of the barbaric regime ... but also in the
face of big powers that support the regime,” he said, referring to
Russia, China and Iran, which back Assad.

Moscow has deplored recognition of the Syrian National
Coalition by the United States and its allies, saying it ran “against
agreements to seek political transition in the Middle East”.

But the Kremlin's special Middle East envoy, Deputy Foreign Minister
Mikhail Bogdanov, said on Thursday the rebels might win in Syria and
that Assad's government was “losing control of more and more
territory” - the first such acknowledgement by a major backer of
Assad.

Singling out Moscow, al-Khatib said: “I believe that the
Russians have woken up and are sensing that they have implicated
themselves with this regime, but they don't know how to get out.” The
opposition now hopes that Russia will see sense “so that it won't lose
everything totally (with the Syrian people)”.

“The noose is tightening around the regime, (but) the regime still has
power. People think that the regime is finished, but it still has
power left, but it is demoralised and however long it lasted its end
is clear,” al-Khatib said.

The opposition chief said the anti-Assad coalition was
working to set up the political institutions needed for a post-Assad
era, including the creation of a broad-based transitional government,
but did not give specifics.

He outlined three scenarios under which Assad could fall.

Under the first, Assad would choose to fight on until the
end. “The second option is that something happens inside the regime
itself, either a rift or a change from within, and this could save (us
from) more bloodshed.”

The third option foresees a negotiated exit. “When the regime decides
very clearly to leave, then we can discuss the mechanism of
transition,” he added.

“If Bashar wants (to leave) he could through certain
channels send a clear and strong message ... that he has a certain
idea that could be discussed. Some international mediators from the
U.N. or others could listen to them, but we will not commit until we
study it.”

The opposition chief confirmed Western reports that loyalist forces
had started to use Scud ballistic missiles in northern Syria and said
he would hold Russia “particularly responsible” because it was still
helping Assad.

He warned that Assad could still resort to using his
stocks of chemical weapons, even though this would trigger
international pressure and cost the Syrian president dearly.

Al-Khatib ruled out a Russian proposal suggesting Assad hand over
power to a transitional government while remaining president, saying
it was “disgraceful for a slaughtered nation to accept to have a
killer and criminal at its head”.

He welcomed the international recognition bestowed on the
Syrian opposition in Marrakech. But he called on the United States to
reconsider a decision to designate one group in the opposition
coalition, the Jabhat al-Nusra grouping of Islamist rebels, as a
terrorist organisation.

“We might disagree with some parties and their ideas and their
political and ideological vision,” he said in a speech on Wednesday.
“But we affirm that all the guns of the rebels are aimed at
overthrowing the tyrannical criminal regime.”

The National Coalition leader was invited on Wednesday to visit the
United States. He said he would accept, though prior commitments
prevented him travelling in the immediate future.



Iran hails progress in nuclear talks

Al Jazeera

Friday December 14



Tehran-Iran has said progress was made after talks in Tehran with
senior inspectors from the UN International Atomic Energy Agency
(IAEA).

"Intensive negotiations were held ... There was good
progress made," IRNA news agency quoted Ali Asghar Soltanieh, Iran’s
ambassador to the IAEA, as saying on Thursday.

"The two sides agreed to hold the next round of talks on January 16 in
Tehran," Soltanieh added.

There was no immediate comment from the inspectors after
Thursday’s meeting over Iran's disputed nuclear programme, and no sign
its inspectors would gain access to the Parchin military complex as
requested.

Western governments accuse Iran of seeking to develop atomic weapons
through its nuclear programme and have strengthened sanctions against
it.

Iran insists its programme is for peaceful purposes only.

The IAEA believes Iran has conducted explosives tests with possible
nuclear applications at Parchin facility near Tehran and has
repeatedly asked for access.

The talks were the first between the UN agency and Iran
since August and the outcome could give some indication whether Iran
is willing to address the concerns over its nuclear work.

US toughens sanctions

Earlier on Thursday, the Obama administration announced it
had stiffened penalties on Iran over its nuclear programme by
blacklisting 12 companies and individuals for their work in
transferring sensitive technology and uranium enrichment.

The departments of State and Treasury imposed the sanctions against
seven more companies and five more people, freezing any assets they
may have in US jurisdictions and barring Americans from doing business
with them.

The Treasury Department says they were targeted because
they provide the Iranian government with "unique goods, technology and
services" related to the nuclear programme that violates UN Security
Council resolutions.

"So long as Iran continues to pursue a nuclear programme in defiance
of multiple UN Security Council resolutions, the US will target those
involved in Iran's illicit enrichment activities,'' the Treasury
Department said in a statement.



U.S., rebels urge gloomy Moscow to help oust Assad

Reuters

Thursday December 13



Beirut-Syria's rebel leadership and the United States seized on
Russian pessimism over President Bashar al-Assad's future to urge
Moscow to help push its ally into ceding power and end the battles
closing in around his capital.

"We want to commend the Russian government for finally
waking up to the reality and acknowledging that the regime's days are
numbered," the U.S. State Department spokeswoman said after a senior
Kremlin envoy conceded publicly on Thursday that Assad's opponents
could win the 20-month-old civil war.

"The question now is, will the Russian government join those of us in
the international community who are working with the opposition to try
to have a smooth democratic transition?" U.S. spokeswoman Victoria
Nuland added in Washington.

In Marrakech, where his new coalition won recognition from
other international powers as the legitimate leadership of Syria,
rebel political leader Mouaz al-Khatib said he believed Russia, ally
and arms supplier to the Assad dynasty since Soviet times, was looking
for ways out of its support for a lost cause.

"I believe that the Russians have woken up and are sensing that they
have implicated themselves with this regime, but they don't know how
to get out," al-Khatib told Reuters. He held them "particularly
responsible" for helping Assad with arms but said Moscow need not
"lose everything" in Syria if it changed tack.

Under President Vladimir Putin, wary since last year's
Libyan war of what Russia sees as a Western drive to use the United
Nations to overthrow national leaders it dislikes, Russia has blocked
U.N. efforts to squeeze Assad, who has also had strong support from
his long-time sponsor Iran.

But Mikhail Bogdanov, a deputy foreign minister and the Kremlin's
special envoy for Middle East affairs, was quoted as saying in Moscow:
"One must look the facts in the face."

"Unfortunately, the victory of the Syrian opposition
cannot be ruled out." The Syrian government, he said, was "losing
control of more and more territory" and Moscow was preparing to
evacuate Russian citizens if necessary.

Nuland said Bogdanov's comments demonstrated that Moscow now "sees the
writing on the wall" on Syria and said Russia should now rally behind
U.N. efforts to prevent a wider bloodbath.

"They can withdraw any residual support for the Assad
regime, whether it is material support (or) financial support," she
said. "They can also help us to identify people who might be willing,
inside of Syria, to work on a transitional structure."

DIPLOMACY

International envoy Lakhdar Brahimi, who has met Russian
and U.S. officials twice in the past week, is seeking a solution based
on an agreement reached in Geneva in June that called for the creation
of a transitional government in Syria.

But Russia has repeated warnings that recognition of al-Khatib's
coalition, notably by the United States, is undermining diplomacy, and
rejected U.S. contentions that the Geneva agreement sent a clear
message that Assad should step down.

Nuland said the Brahimi meetings could lay the framework
for a political structure to follow Assad:

"We've said all along to the Russians that we are concerned that the
longer that this goes on, and the longer it takes us to get to an
alternative political path for Syria, the only path is going to be the
military one and that is just going to bring more violence.

"We all ought to be working together."

Bogdanov, whose government has suggested that Assad himself should be
allowed to see through a transition he has promised, suggested the
rebels and their allies were set on a military solution and he gave
little hint of detente with Washington.

"The fighting will become even more intense and (Syria)
will lose tens of thousands and, perhaps, hundreds of thousands of
civilians," Bogdanov was quoted as saying. "If such a price for the
removal of the president seems acceptable to you, what can we do? We,
of course, consider it absolutely unacceptable."

The head of NATO, Anders Fogh Rasmussen, said elsewhere: "I think the
regime in Damascus is approaching collapse."

A U.S. official said: "Assad probably still believes that
Syria is his and illusions can die hard. But Assad and those closest
to him have got to be feeling the psychological strain of fighting a
long war that is not going their way."

DAMASCUS BATTLES

But Al-Khatib, who played down Western concerns of
sectarian Sunni Islamists in rebel ranks, warned that the fighting was
far from over, even as it has begun to rattle the heart of Assad's
power in Damascus. On Wednesday, a car bomb killed at least 16 people
in a nearby town which is home to many military families.

"The noose is tightening around the regime," al-Khatib said.

"(But) the regime still has power. People think that the
regime is finished, but it still has power left, but it is demoralized
and however long it lasted its end is clear."

Day and night, Damascenes can hear the thunderous sound of bombardment
aimed at rebel-held and contested neighborhoods.

The city's streets have now turned into a labyrinth of
checkpoints and road blocks, with several major roads permanently
closed off to traffic by concrete barriers.

"We escape from one place and trouble follows," said one grandmother,
Um Hassan, as she described to Reuters her family's flight from one
neighborhood to another as fighting seeps into the capital. "I don't
know where we can keep running to."

Nonetheless, al-Khatib played down demands for their
allies to provide heavier weaponry - a request long resisted by
governments wary of anti-aircraft missiles and other hardware reaching
Islamist rebels who might turn them against the West.

"The Syrian people ... no longer need international forces to protect
them," he said, not specifying whether he meant a no-fly zone, arms
supplies or other military support.

The opposition chief said he was willing to listen to
proposals for Assad to escape with his life - "The best thing is that
he steps down and stops drinking the blood of the Syrian people" - and
outlined three scenarios for a change of power:

Al-Khatib ruled out the Russian proposal suggesting Assad hand over
power to a transitional government while remaining president, saying
it was "disgraceful for a slaughtered nation to accept to have a
killer and criminal at its head".

The British-based Syrian Observatory said war planes
bombed rebel-held eastern suburbs of Damascus on Thursday and
artillery was hitting Daraya and Moadamiyeh, southwestern areas near
the centre where rebels have been fighting for a foothold.

Syria has relied on war planes and helicopters to bombard rebel
districts but Damascus denied accusations by U.S. and NATO officials
that it had fired Scud missiles in recent days. The foreign ministry
said the long-range missiles were not used against "terrorist groups,"
a term it uses for the rebels.

At least 40,000 people have been killed in Syria's uprising, which

started in March 2011 with street protests which were met with gunfire
by Assad's security forces, and which spiraled into the most enduring
and destructive of the Arab revolts.



Political and General
Madhuku backs Mugabe election call

New Zimbabwe

Thursday December 13



Harare-NATIONAL Constitutional Assembly (NCA) chair, Lovemore Madhuku,
has said elections must be held without a new constitution, backing a
threat by President Robert Mugabe to ditch the stalled constitutional
reform process.

Mugabe recently told supporters in Gweru that he may be
forced to dissolve Parliament and call new polls after accusing rivals
of deliberately blocking the constitutional reform process in order to
delay the elections.

The draft constitution is expected to be put to a referendum leading
to the new polls which Mugabe says will be held in March next year.

But Madhuku, whose NCA has vowed to campaign for a ‘No’
vote during the referendum, told journalists attending an election
reporting workshop in Kadoma Thursday that elections must be held
without the new constitution.

“There is no need for the NCA to keep on talking of Vote NO for the
referendum because there is no referendum to talk about,” he said.

“As NCA we are now saying that elections must be held
without the constitution and deal with the issue later, whoever wins
the elections.

“There is no referendum to talk about because of what is happening.
What we are likely to see is a mock referendum after parties have done
the usual negotiations.”

Mugabe told supporters at a party conference in Gweru that
he would name an election date if the constitutional reforms remain
deadlocked.

Meanwhile, Madhuku also hit out at MDC-T secretary general and Finance
Minister Tendai Biti, accusing him of misleading non-resident
Zimbabweans into believing the draft constitution provides for a
Diaspora vote.

GPA parties agreed to scrap provisions for the millions of
Zimbabweans living outside the country to vote citing logistical
challenges.

But Madhuku claimed Biti has continued to make misleading statements
over the issue.

“There are some lawyers who think that they are the ones
who know,” Madhuku told reporters attending an election reporting
workshop in Kadoma Thursday.

“Tendai Biti (has been lying) to the nation about the Diaspora vote;
he even writes rubbish in the independent media lying to the people.

“Biti forgets that even after he joined the (coalition)
government three years ago there are lawyers who have been produced in
the country who now know that what he is saying is not correct.”

Initially pushed by the MDC formations, the provision for a Diaspora
vote was dropped after spirited opposition from Zanu PF.

Zanu PF negotiator and Justice Minister Patrick Chinamasa said the
logistical challenges made a Diaspora vote impossible adding that
sanctions imposed by the West also blocked his party from campaigning
in countries such as Australia, the UK and the US.



One arrest after police raid on ZimRights

SW Radio Africa

Thursday December 13



Harare-An official from the Zimbabwe Human Rights Association
(ZimRights) is set to spend a night behind bars on Thursday, after he
was arrested during a police raid on the group’s office in Harare.

Five police members stormed the offices and arrested Leo
Chamahwinya, the ZimRights Education and Programmes Manager. He stands
accused of allegedly conducting illegal voter registration, but no
charges have been filed.

One of the Chamahwinya’s lawyers, Tarisai Mutangi, told SW Radio
Africa that his client is still being held at Harare Central Police
station and will likely stay there overnight. He added that
investigations into the allegations are still underway and charges
will only be filed later.

It is understood that Chamahwinya’s arrest is part of a
police operation that has been targeting other ZimRights structures,
involved in pre-election education.

At least two other officials from other parts of the country are
said to have been arrested in recent days.

Phillip Pasirayi, an activist from the Centre for Community
Development, told SW Radio Africa on Thursday that the raid on the
ZimRights offices is part of a “massive crackdown” on the NGO
community in Zimbabwe.

“It is not surprising because ZANU PF is in panic mode and
the arrests are in line with ZANU PF’s resolutions made at their
people’s conference. They are targeting NGOs because of their access
to communities and the education they are conducting about democracy
and human rights,” Pasirayi said.

He added that groups like ZimRights are vocal and critical “and they
will be targeted ahead of elections.”



Zuma denies Mugabe rift claims

New Zimbabwe

Thursday December 13



Harare-IS LIBERATION blood thicker than democratic water? In his
biography, At the Deep End, Prime Minister Morgan Tsvangirai tells how
he was "stunned" by South African president Thabo Mbeki's part in a
"conspiracy" to divide and weaken the Movement for Democratic Change
(MDC).

It is also now a footnote in history that when Julius
Malema, then president of the African National Congress youth league,
turfed a BBC journalist out of a press conference, he had been
extolling the virtues of President Robert Mugabe and mocking the
"Mickey Mouse" opposition for using air-conditioned offices.

Such incidents illustrate how many in the ANC still see Mugabe as a
brother in Africa’s liberation struggle while dismissing the MDC as a
Johnny-come-lately conjured up by western imperialists.

Mbeki's successor, Jacob Zuma, is however broadly seen as
less sympathetic to Mugabe and more neutral in his mediation efforts
ahead of elections expected next year.

Sitting down with Zuma at the Union Buildings in Pretoria, I put to
him bluntly: what went wrong in Zimbabwe? He demurs: "I avoid being
judgmental to other people."

Many have described Mugabe as a dictator, but Zuma
pointedly avoids the word. "I wouldn't because in Zimbabwe Zanu PF
holds its conferences, they elect Mugabe; I don't look at how that
happened.

“They regularly hold elections and that's why you could say these
elections did not go very well. What else do you need? People do
things in different places in different ways.

"If you are telling me there have never been elections in
Zimbabwe, either in the ruling party or the general election, it would
be a different story. How Zimbabweans are influenced in one or the
other is a different matter."

Malema, who has visited Mugabe like an apprentice to a master,
reportedly claimed that Zuma “hates” Africa’s oldest leader.

Zuma denies this, saying of their personal relationship:
"It's good. We were freedom fighters together, we know each other from
way back. So I've known him for a long time."

Does that mean Mugabe receives preferential treatment? "Not
necessarily. I deal with issues as they come as an ANC and as an
individual.

“What we need in Zimbabwe is to ensure that Zimbabwe is
democratic, that's why we talk to all of them, let the Zimbabwean
people decide which party leads them. We can't interfere."

And what of this notion that the MDC is a stooge of British and
American interests? "We don't say that in the ANC.

“Much as it is true that we come from the liberation
movement with Mugabe, but that to us does not give anyone a licence to
mishandle his country, so if at all there was mishandling of the
country we'd be critical.

"We don't say because a person has come from not a liberation
movement, they cannot be democratic. What determines everything is how
people run their affairs in their own countries.

“We are not going to prefer them in terms of their
history, but we are going to prefer them in terms of what they do.

"However, the history will remain the history: the fact that I was a
freedom fighter together with Mugabe is a fact we cannot erase. We
must judge what people do at a given time."



Regional
South Africa's Motlanthe takes on Zuma for ANC top spot

Reuters

Thursday December 13



Johannesburg-South African Deputy President Kgalema Motlanthe will
challenge President Jacob Zuma for leadership of the ruling African
National Congress (ANC) next week, spicing up a one-sided race for the
top political position in Africa's biggest economy.

Motlanthe aide Thabo Masebe ended months of speculation
about the internal ANC election in the city of Bloemfontein, saying
Motlanthe would enter the contest after winning the backing of two of
South Africa's nine provinces.

"I understand he will contest the presidency," he told Reuters on Thursday.

The 70-year-old Zuma remains firm favorite to win
re-election in Bloemfontein as head of the ANC, a position that puts
him in pole position to secure a second five-year term as state
president in an election in 2014.

The ANC, which has run South Africa since the end of apartheid in
1994, retains the strong emotional support of most of South Africa's
80 percent black majority, making a defeat at the ballot box any time
this decade highly unlikely.

Motlanthe has not expanded on why he will oppose Zuma. But
he has spoken of restoring democracy and openness to Nelson Mandela's
100-year-old liberation movement, whose image has suffered under the
scandal-plagued Zuma.

Zuma won wide support from ANC branches in five provinces, meaning
that, barring any last-minute mishaps, he should emerge again as party
leader in Bloemfontein.

The previous ANC election, in the city of Polokwane in
2007, was a riotous affair at which Zuma ousted then-president Thabo
Mbeki, creating rifts that divide the party to this day and hamper its
ability to run a sophisticated emerging economy.

Mindful of the Polokwane chaos, which included delegates throwing
chairs and baring their buttocks at the vanquished Mbeki, the ANC's
overseers are keeping a tight lid on the vote, including even
withholding the names of leadership candidates.

"We're not at liberty to tell you the nominees," party
election commission chairman Mochubela Seekoe told a news conference,
infuriating reporters crammed into the lobby of the ANC headquarters
in downtown Johannesburg.

Motlanthe is also running to retain his current job of deputy leader,
but faces a strong last-minute challenge from Cyril Ramaphosa, an
inspirational anti-apartheid union leader and now South Africa's
second-richest black businessman.

MANDELA'S SHADOW

Apart from the votes, the four-day conference, which
starts on Sunday, will chart a broad policy course for the next five
years, reaffirming the primacy of the state in guiding the economy
with a mixture of direct intervention and regulation.

Nationalization of the mines - championed by expelled ANC youth leader
Julius Malema - has been dropped as a viable course, but the party may
still opt to back a "resource rent" mining tax, already labeled
"unnecessary and unwise" by the outgoing chief executive of the mining
giant Anglo American.

However, the party still appears unwilling to risk
upsetting its grass roots with measures to boost economic growth,
forecast at a lukewarm 2.5 percent this year.

The economy was growing by more than 5 percent in the years leading up
to the 2008 global economic crisis and has struggled to return to
those levels under Zuma. Its industries have been shedding jobs as
labor costs have outstripped those of emerging market peers whose
workers are often much more efficient.

Economists have said for years that the government needs
to ease the regulation of a labor market ranked as one of the most
restrictive in the world, and have urged it to reduce the role of the
state in the economy.

"Overall, the ANC collectively still does not appear to be in the
right place to take the politically very difficult steps to ensure a
boost to potential growth," investment bank Nomura said in a research
note.

Nor are business leaders the only ones worried at the
prospect of seven more years of Zuma, who in recent weeks has been
embroiled in a storm of criticism over a 240 million rand ($28
million) state-funded upgrade to his private home.

This week, the South African Council of Churches, one of the main
players in the struggle against white-minority rule, accused the ANC
of moral decay and abandoning the goal of building a non-racial
democracy from the ashes of apartheid.

Commentators have also noted the coincidence of looming
party in-fighting in Bloemfontein with the 94-year-old Mandela's
admission to hospital last week with a lung infection.

"It is impossible to separate the growing unease about many aspects of
South African politics from the failing health of the universally
loved founding father of the country," Cape Town-based analyst Nic
Borain said.



SA suspends Brazil beef imports

AFP

Friday December 14



Brasilia-South Africa and China have joined Japan in suspending
imports of Brazilian beef meat over an atypical case of mad cow
disease, an official source said on Thursday.

“We received official notification from China and South
Africa announcing the decision,” said an official from the agriculture
ministry who spoke on condition of anonymity.

The ministry earlier this week said the case was detected in an animal
that died in 2010 in the southern state of Parana and posed “no risk
whatsoever to public health or to animal hygiene”.

The ministry official said Brasilia, as it did with Japan
earlier this week, contacted China and South Africa to set the record
straight over the atypical case of bovine spongiform encephalopathy
(BSE).

In its statement issued on Tuesday, the ministry said: “Brazil does
not have cases of BSE” and noted that it launched a “preventive
action” to preempt similar measures by key importers.

“We are in touch with countries to reaffirm that the
atypical case of the disease carries no risk for exports,” the
ministry said then.

Authorities also said the World Organisation for Animal Health had
been notified of the case and in response indicated it was
“maintaining Brazil's status as a country with an insignificant risk
of BSE, the best existing risk classification.”

With nearly 200 million head of cattle, Brazil is a
leading beef exporter.

From January to October, it exported one million tons of beef, mainly
to Russia, the ministry said

Brazil is a member of the BRICS bloc of emerging powers, which also
includes China, India, Russia and South Africa.



Mozambique set for a coal boom

Reuters

Thursday December 13



Maputo-Depressed coal prices, tight capital markets, shoddy railways
and ports have cooled Mozambique's coal bonanza and will delay export
projects aimed at supplying booming demand in Asia.

The former Portuguese colony has been the new darling of
the industry, with its north-central Tete province boasting some of
the world's largest untapped reserves of thermal coal for power
generation and coking coal for steel production.

Some 23 billion tonnes of coal are estimated to lie beneath the
war-scarred state, which would be enough to meet global demand for
three years, and stretching along Africa's southeast coast, Mozambique
is in a prime position for shipments to hungry and growing markets in
Asia.

Generous government incentives have attracted billions of
dollars as mining giants, including Brazil's Vale and Anglo-Australian
Rio Tinto have flocked in, set up mines and shipped their first
cargoes abroad.

But while the government still projects annual exports of around 100
million tonnes by the turn of the decade, producers and financiers now
doubt this will happen anytime soon.

“The boom will be delayed based on two things: rail
infrastructure constraints and the volatility of the coal price,” said
James Maposa, Africa mining programme manager at consulting firm Frost
& Sullivan.

More than 70 coal exploration licences have been issued so far, four
were converted to mining concessions while others are queuing up for
future blocs.

Energy companies are also flocking in to explore vast
natural gas fields discovered off Mozambique's coast.

Analysts say it is all happening too fast for the country to cope
with, as the government suddenly has to cater for huge investments and
meet ambitious expectations for legislation, infrastructure and skills
that will take years to develop in a country scarred by a 15-year
civil war that only ended in 1992.

The mood at a recent coal conference in Maputo was more
subdued than the buzz a year ago, with executives talking about
production delays, export curtailments and the one hurdle that is
affecting them all: logistics.

“It's all very well to have this wonderful resource, but that's no use
if you cannot move it,” said Paul Runge, managing director at
consultancy Africa Project Access.

INFRASTRUCTURE WOES

Infrastructure upgrades are ongoing and some new ports and
rail lines will be built from scratch, but it may take a decade until
they materialise on a scale to meet industry demands.

Brazil's mining giant Vale is investing $4.4 billion to revamp a
railway line from Tete to the deep-water port at Nacala via Malawi,
and another line to Nacala is proposed by Kazakh miner ENRC, but much
more investment is needed.

Rosario Mualeia, chairman of state-owned rail and ports
company CFM, has laid out plans for four new rail and port projects
that together will raise the annual coal export capacity from Tete to
more than 120 million tonnes.

He said all four corridors could be completed within five years at a
total cost of $12 billion, roughly the same size as Mozambique's gross
domestic product, but industry figures say double that may be needed
and a timeline of 10 to 15 years is more realistic.

While Mozambique's economy is still growing at 7 percent
annually, the financial woes in Europe and the United States have
tightened lenders' belts.

“You have less value for minerals, less capital, which is compounded
by the lack of decisions regarding the completion of the
infrastructure to get the coal out,” said Stephan Morais, deputy CEO
at Mozambican investment bank BNI.

Coking coal prices have dropped 25 percent since June to
around $150 a tonne, while thermal coal prices have fallen to their
lowest in three years to around $90 a tonne.

The slump in prices has forced firms to review and delay export projects.

Ncondezi Coal, whose project will mainly yield thermal
coal, plans to build a 300 MW power plant near the mine and has
ditched plans for exports for now.

“The last thing we want to do is destroy value in the deposit by
producing a product and not being able to get it to market,” Ncondezi
Chief Executive Nigel Walls said.

SLOW IMPLEMENTATION

Even if the funding is secured, projects will likely
materialise at a snail's pace.

The reconstruction of the war-damaged Sena railway line from Tete to
the Beira port that will raise the capacity on the line to 6 million
tonnes by the end of this year is a case in point.

The project has been delayed for more than a decade, and
while CFM is now completing the upgrade of the line, the capacity
falls well short of the estimated 20 million tonnes of coal needed to
be moved in the short term, and only around 3-4 million tonnes will be
leaving Tete this year.

Despite the delays, miners active in Mozambique say they remain
committed to Tete, expecting that prices will recover and logistics
will be built, albeit late.

Producers praise Mozambique's investor-friendly policies
and contrast it to other African states that have moved to extract
more taxes and royalties from miners or forced firms to yield majority
stakes.

As CFM's Mualeia put it: “The coal is there, it will come, but people
need to be much more patient.”



Illegal border crossing lucrative

The Star

Thursday December 13



Maseru-A chilly breeze blows over a tiny village entrenched by the
South African border with Lesotho, forcing grown men to clutch their
blankets tightly.

Odd showers sprinkle through the village, sending
villagers scurrying for cover. Cattle herders in gumboots and
traditional Basotho blankets go about their business undeterred by the
drizzling rain – they are used to working in any kind of weather.

But a group of young men dressed in more Western clothes settle
underneath the veranda of a tuck shop by the Van Rooyen’s Gate border
post, shielding themselves from getting soaked.

It is there that they stand huddled together, their eyes
surveying taxis off-loading passengers by the Lesotho side of the
border with South Africa.

They are here to make money; helping those without passports cross the
border is how they make ends meet.

No one swims across a crocodile-infested river here. No
one crawls underneath a barbed wire fence.

It takes less than 10 minutes to cross over into a country alive with
possibilities.

Some are on a job-searching mission. Others are off to
visit relatives, while others are just desperate to meet lovers
employed in various sectors in South Africa.

Business is slow on this particular weekday and as soon as Kheola
Nyaphuli spots a lone woman with a bag full of clothes slung over her
shoulder, he rubs his hands in glee, excited at the prospect of making
his first R150 for the day.

Within five minutes, Nyaphuli disappears with the woman as
they make their way between village houses to get to the back of the
high mesh fence housing migration offices.

It is there that they meet another man who stays behind with the woman
by rows of rusty stainless-steel poles that somehow got left behind
when the fence dividing a South African farm from Lesotho was
stripped.

Nyaphuli takes a few steps on to the South African side
and starts sprinting across the farm to a loose wire fence, which he
jumps easily to get to a main road leading to the border – or away
from it.

He then surveys the stretch of tar for police patrol cars and signals
to the companion left behind with the woman to cross over.

Within minutes, the woman is whisked away by one of the
cabs called Four-Ones after handing Nyaphuli R150.

With the woman gone, the men walk hurriedly through the South African
farm, which, because of the lack of a fence, has now turned into a
grazing field for livestock belonging to Basotho villagers – a
headache for Free State farmers.

They refuse to talk about their illicit activities,
becoming defensive when asked how much they make daily and demanding
that their pictures be deleted.

But the cattle herders shed some light on the illegal cross border
activities, indicating that much more than people get smuggled into
South Africa right under noses of police and custom officials
stationed at the border.

“A whole lot of things happen here. It is just not people
crossing illegally. Some smuggle dagga into South Africa and if you
come at the right time, you might even see a car being driven through
this farm,” one cattle herder says as he leads his flock deeper into
the South African farm.

“The payment is also negotiated, with some people paying as little as
R20 when business is slow.”

The cattle herder smiles and walks off when told he is
also illegally in South Africa.

Porous borders like this have proved to be a huge headache for Free
State farmers, who have taken the government to court to compel it to
address the problem as they have suffered huge losses because of stock
theft, and have noted an increase in livestock diseases and
overgrazing.

Farmers agree that the mountainous terrain makes it
difficult for officers to patrol, but in other areas like Diphiring
there are SANDF soldiers stationed to patrol areas leading into
smaller villages in Lesotho.

On a rocky gravel road dotted with weather-beaten peach trees, a lone
soldier takes a stroll, a firearm slung over his shoulder.

He patrols the deserted dirt road, his eyes fixed over
mountainous terrain usually used to smuggle in dagga.

A few metres down the road two of his colleagues sit huddled around an
open fire while a fourth soldier washes his uniform in a plastic
bucket.

There’s a newly erected fence about 100m away, although a
small pedestrian gate still allows Basotho villagers to cross in and
out to visit a farm labourer working for Danie and Magda Grobler.

A meerkat welcomes us to the Groblers’ home and more stories of
illicit cross-border activities are revealed.

“It is very quiet here these days since we took the
government to court and they got the SANDF soldiers stationed here,”
says Danie.

Among the farmers who have suffered great losses is Zastron resident
Jacques van Tonder, who has a farm along the Makhaleng Bridge, some
230km from Bloemfontein.

“For the past five years we had three instances of stock
theft which involved the border. I lost 11 heifers and about six
cows.”

Kobus Breytenbach, the chairman of Agri SA’s rural safety committee,
says that while they still have problems, the deployment of soldiers
to border patrol duties has made a huge difference.

Free State police spokesman Brigadier Billy Jones admits
that there are illicit operations along the South African border with
Lesotho.

Dagga valued at more than R2.6 million was seized along the border
between July and October.

While there were arrests made in the 24 cases opened over
those three months, there were other cases where 921.7kg of dagga
valued at more than R1.2m was abandoned at the borders.

Jones says they run drug-related crime bust operations daily through
their border post unit commanders.



Nigeria arrests 63 in hunt for minister's kidnapped mother

Reuters

Thursday December 13



OGWASHI-UKU, Nigeria-Nigeria's army said on Thursday that soldiers had
arrested 63 people in raids as they searched for the finance
minister's 82-year-old mother, kidnapped from her home on Sunday.

It was still not known whether the abduction of Kamene
Okonjo, mother of former World Bank director Ngozi Okonjo-Iweala, in
Delta state, was political or for financial gain.

"Yesterday the Four Brigade raided Ogwashi-Ukwu in search of Mama,"
army spokeswoman Roseline Managbe told Reuters.

"Those arrested are being questioned," she added.

Africa's top oil producer has one of the world's most prolific
kidnapping industries, yet Sunday's abduction shocked even residents
of Delta state, thought to be Nigeria's worst.

Managbe said two Lebanese men working for Nigerian
construction company Setraco had been abducted on Tuesday in Delta
state by gunmen who killed a soldier protecting them.

Residents of the Niger Delta oil region, where Okonjo-Iweala's mother
was abducted, live in fear of the near daily abductions that make
millions of dollars in ransoms for gangs.

"It could be my turn tomorrow," said Tony Agwu, who lives
near Okonjo's house.

"It's a terrible situation down here. The security agents in the Delta
are compromised," he added, voicing the widely held view that security
forces are often complicit.

The police said on Wednesday that two policemen have been
arrested on suspicion of helping kidnappers.

CHRISTMAS HOSTAGES

Nigerians say December is the most dangerous month for
kidnapping, when criminals need money to buy Christmas presents. The
delta is no exception.

"Around this time, I start to get worried," said Shopia Oko-Akoko, a
civil servant and mother of two in Bayelsa state, adding that she
often looks over her shoulder entering her car.

"Many times I've seen cars following me. Once someone
followed me on foot and I ran off in terror as he approached."

Okonjo's kidnapping is a risky strategy for the abductors.

"If it's just a kidnap for ransom, then they're not the
smartest boys in the world," said Peter Sharwood-Smith, Nigeria
country manager of security firm Drum Cussac.

"Everybody else learned that you don't pick the most high profile.
It's not worth it. This might not end well for them."

Nigerian forces have little tolerance for kidnappers, whom
they often shoot on sight when they catch them - as they did in
November to 13 people suspected of abducting a Turkish man.

Cases of kidnapping in the Niger Delta exploded in around 2006, during
the years of militancy by armed groups often targeting expatriate oil
workers. An amnesty in 2009 officially ended militant activity, yet
associated crimes, like oil theft from pipelines and abduction, have,
if anything, worsened.

"Kidnapping is worse than during the militancy period, but
it's mostly rich Nigerians who pay up and you never hear about it,"
Sharwood-Smith said.

Political motives have been suggested for the abduction. Ngozi
Okonjo-Iweala's drive to reform a corrupt economy ruffled powerful
vested interests, especially fuel importers.

A security source in Delta state said Okonjo was involved
in local politics and seizing her may have been a scare tactic.

Either way, recruiting kidnappers is easy in a region where oil wealth
sits along side mass unemployment.

"Whatever the motive, the main cause is joblessness," said Felix
Osaduwe, a student in Delta state. "Get them jobs in a bank or a firm,
there's no way they'll turn to kidnapping."



Hillary to testify on Benghazi report

Reuters

Thursday December 13



Washington-US Secretary of State Hillary Clinton will testify on
December 20 before the House of Representatives and Senate foreign
affairs committees on a report on the deadly attack on the US
diplomatic post in Benghazi, Libya, the committees said on Wednesday.

The attack on September 11 killed US Ambassador
Christopher Stevens and three other Americans, and raised questions
about the adequacy of security in far-flung posts.

Republicans have criticised Democratic President Barack Obama's
administration for its flawed early public explanations of the attack.

They have also criticised shifting explanations of why
talking points given to US Ambassador to the United Nations Susan Rice
were changed to delete a reference to al-Qaeda. Some Republicans have
used that criticism to question Rice's suitability as a candidate to
replace Clinton, if Obama were to nominate her.

Clinton has said she planned to retire from her post at State after
Obama's first term.

An accountability review board convened by the State
Department is expected to release a report on the Benghazi attack
before Clinton testifies.

The board, led by veteran diplomat Thomas Pickering, is expected to
consider whether enough attention was given to potential threats and
how Washington responded to security requests from US diplomats in
Libya.

Democratic Senator John Kerry, chairman of the Senate Foreign
Relations Committee, said in a statement: “We ask our diplomats and
development personnel to operate in some of the most dangerous places
on the planet. We owe it to them, and we owe it to the memory of
Ambassador Chris Stevens and his three fellow Americans who lost their
lives in Benghazi to get past the politics and focus on the substance
of what happened and what it tells us about diplomatic security going
forward.”