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ABC News (Sydney) -

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Live. Tonight, a Sydney

school bus crash, two dead and

dozens injury. We are just

shocked. You just hope it's not

your child. The winners and

losers in the new-look

ministry. It also reflect,

quite frankly, my strong desire

for loyalty. Striking jockeys

back in the saddle, for now.

Instep - the communist China's

60th birthday bash. Good

evening, Jeremy Fernandez with

ABC News. It was a terrifying

ordeal for a group of Sydney

schoolchildren, their bus

collided head-on with a car

morning, slamming them into a

rock face at Lucas Heights.

Some had to be pulled to safety

through broken windows. The

driver of the car and his

passenger died. The crash

sparked a call for seatbelts to

be mandatory in school buses.

A deadly combination, a car, a

packed school bus and a busy

stretch of road. A car

travelling east, for no

apparent reason seemed to go on

to the other side of the road

and went directly into the side

of the bus. Nothing could be done to save the man driving

the car. The front of his

vehicle was completely

crushed. A woman travelling

with him was flown to St George

Hospital but later died. The

crash sparked a massive

response from emergency

services We decided to

transport all children to

hospital to be assessed. They

had to be rescued through a

side window. It was an anxious

wait for parents from the

Sutherland Shire Christian

School. My first concern was

for the students on the bus and

the feelings that would be

going through their mind as

they were part of a traumatic

episode. When we heard, we

were shocked. You hope it's not

your child. Two children were

flown to Westmead Children's Hospital while others were

flown to hospitals across the

city. Some suffered sore necks

and who bloody noses. The bus

is not fitted with passenger

seatbelts and they are not

required by law in New South

Wales. It reiterates to us our

motivation in having the policy

within the federation of

parents and citizens to have

every child in every school bus

with a seatbelt. The road was

blocked for hours. This was not

the first serious accident is

has seen. Heathcote Road is a

may your thoroughfare for

trucks and vehicles, we have

had some incidents on the

road. It is likely to be some

time before police know what caused the accident. Nathan

Rees has punished his Cabinet

members who tried and failed to

oust him as leader The

Premier has stripped Tony Kelly

of the police portfolio and

taken energy duties from Ian MacDonald. The move was forced

by the exit of John Della

Bosca, who resigned from health

after revelation of an affair

with a young woman. He has

been talking vengeance for

months. Today the Premier walk

the walk: We are paid to work

by the people of New South

Wales, not to engage in internal ructions and

back-biting. Twoin Kelly and

Ian MacDonald were key backers

of John Della Bosca for the

leadership. When he quit over

an affair with a woman, they

were left exposed. It reflects

my strong desiretor loyalty,

discipline and cohesion in my

Cabinet. Mr Kelly loses police

with you keeps the lands

portfolio while Mr MacDonald

has been stripped of energy,

their places in Cabinet only

saved because of the backing of

heavy weights.. He if had the

guts he would have sacked the

plotters. Nathan Rees has

taken on the job as Minister

for Central Coasts, meaning he

will spend more time in the

areament I have a quarter

share in it a property, I have

been going there for 30 years

and I am delighted to take it

on. Deputy Premier Carmel

Tebbutt has been promoted to

health. She chose this

portfolio herself. Carmel

Tebbutt Carlton in health,

someone who was believed to be

on a lighter workload to suit

the lifestyle is hardly the

person you need in health. Her old climate change and

environment duties have been

given to John Robertson, who

also gets the energy

department, despite his role in

defeating the government's

privatisation plans as a union

boss. David Campbell takes on

roads and Michael Daley moves

to police. The Cabinet will be

sworn in on Monday. New South

Wales has topped the class in

the latest school literacy and

numeracy tests. The state's

students are officially the

best spellers in the country.

Some teachers say the tests

don't provide an accurate

picture of students'

performance. You have all done

brilliantly. The State

Education Minister couldn't

contain her enthusiasm. We are

the undisputed champions when

it comes to spelling. At every

year level tested, our students

topped the country in New South

Wales. For the second year

running, years 3, 5, 7 and 9

students across the country sat

the literacy and numeracy tests

in May. New South Wales and

Victoria perform the best,

while the Northern Territory

came bottom of the class:

These results indicate that as we deliver the Education

Revolution there continues to

be more to do. Teachers and

principals say the tests are

not thorough or totally

reliable and education experts

question whether they have any

real value. I'm not sure they

are giving us any more

information that teachers and education departments don't

already know. From Monday,

parents will receive a report

on their child's performance

and by the end of the year, for

the first time, profiles comparing schools will be

available online. But laws in

New South Wales mean that

information can't be published

in newspapers. The Liberal

Party in New South Wales, where

they continue to block the

ability of newspapers in New

South Wales to cover

information on schools that

parents want to know. The

Education Minister says the results will help the

government better target

resources to struggling

schools. Rebecca Barrett, ABC

News. Australia has recorded

its first case of swine flu

that is resist act to the main

anti-viral drug Tammy flu. A

Perth man developed a

resistance. There are only 13

similar cases in the worldment

A swine flu vaccine could be

rolled out in the next few

weeks. The clinical trials

show it is effective against

strainment Australia would be the pan demonstratic

one of the first countries to

use a vaccine. Health

authorities have been dealing

with the first flu pan demonstratic in more than 40

years. The hope is to develop

an effective vaccine to stop

its spread. Australian doctors

now have it. This is

promising, we are pleased to

see it. 240 healthy adults

were given a single dose of the

swine flu vaccine. Almost 97% developed antibodies to the

virus. A single standard dose

of the vaccine is protective in

the vast majority of cases

against infection with this

type of flu. The vaccine was

effective after two weeks, side

effects were similar to normal injections. You may have a

sore arm, but not the majority,

or muscle ache or pain, but the

minority of people would get

that. Flu experts say the

findings are encouraging and as

good as they could have hoped

for. The findings will be given

to the therapeutic good

administration and will be

reviewed before the vaccine is

registeredment The first phase

will be rolled out to people

with chronic illnesses,

pregnant women, health workers

and indigenous people We have

delivered 2 million doses to

the federal and State

governments and are delivering'

rate of 1 to 1.5 million a

week. Authorities will wait

for the results of trials in

children before it is approved

for their use. The legacy of

Bernie Banton keeps growing.

The late asbestos campaigner

has had a foundation opened in

his name in Western Sydney,

dedicated to researching

asbestos related disease. The

aim is to find a cure for

mesothelioma. We have to have

in ourselves, in our hearts and

mind and the way we finance

these things a belief we can

get there. That's what it's all

about. The foundation will

create Bernie's angels, a group

of volunteers to support those

suffering the illness. The

murdered businessman Michael

McGurk has been farewelled by

more than 400 mourners streets

away from where he was killed.

Police blocked the street for

the funeral. His closest

family members described him as

a loving fearingment His sons

and daughters wrote Michael

McGurk was the best dad in the

world and a good businessman.

Friends and members of his

extended family escorted the

coffin -- from the church with

a lone bagpiperment The police investigation into the killing

is continuing. Jockeys have

called off threats to strike

for the time being. Racing is

set to go ahead tomorrow but

discontent over new whipping

rules continues to hang in the

air. It is likely to come to a

head on Monday when the jockeys

deliver an ultimatum to

authorities to relax

restrictions. The Australian

Racing Board is adamant it

won't back down. Jockeys were

back in the saddle and saying

they would honour their

commitments to ride in

tomorrow's fixtures. After yesterday's sudden withdrawal

from races in four states, they

weren't backing down. Strikes

are still on the cards next

week. We want to be able to

use the whip at our discretion

over the last 100, so we get

the best possible result for

our owners, train yes, punters

and our. The Australian Racing

Board is not backing down

either. The days of

unrestricted use of the

whipened on 1 August. The decision the Australian Racing

Board has arrived at is what we

believe is in the best

interests of the racing

industry. That doesn't change

just because someone wants to

hold a gun to our head.

Jockeys in Tasmania today gave

their support to yesterday's

action in New South Wales,

Victoria, Queensland and

Western Australia. But the

RSPCA too is standing firm.

Our message is to knuckle under

the new rules and understand

that the health and welfare of

horses should be the number 1

thing they are interested in.

But jockeys say their own

safety is on the line. We are

putting our lives at risk, we

are the ones that take the

biggest ultimate risk. The

racing is set for tomorrow but

perhaps with a touch of

self-interest on the part of

the jobbies, the big money is

riding on the metropolitan

races. If there is strike

action next week it may be left

to the country jockeys to take

will run also. As for the

spring carnival, the Victorian

Racing Minister is trying to

drag outline sides to the

negotiating table I'm

absolutely confident the spring

racing carnival will go ahead,

there is no issue with the

spring carnival. Until there

is agreement, the arguments

just go round and round. The

White House is tonight expected

to announce a new US ambassador

to Australia, 8 months after

the former ambassador returned

home. The appointment will

coincide with the 8th anniversary of the September 11

terrorist attacks. American and

Australian officials joined a

low key memorial at the embassy

in Canberra to honour nearly

3,000 people who died at New

York's twin towers, the

Pentagon and in Pennsylvania.

We remember a day of fear and

of great sadness. A day of

shock and disbelief and grief. Hundreds of services will be

held across the US tonight to

mark the anniversary. Five

Australian soldiers have been

wounded in Afghanistan. They

suffered bruising, concussion

and shrapnel wound when an

improvised bomb exploded on a

patrol near Tarin Kowt. All

soldiers will be able to return

to work home. Results from

dozens of polling station have

been anulled. Ball lots from

83 stations have been flown out

because of clear and convincing

flawed. The United States

special envoy has stopped short

of criticising the poll. As I

have said many times before the

election, there are imperfect

elections throughout the west

and holding elections under

these conditions is a brave

thing to could. Let's see what

happens before we jump to any conclusions. Before the

commission unveiled its findings President Hamid Karzai

officially had more than 50% of

the vote, avoiding a need for a

run-off. His main challenger Abdullah Abdullah has accused

him of fixing result, At least

five girls were killed and

dozens of students injured at a

stampede in a school in new

deli. Parents gathered outside

a hospital awaiting news of the children. Six students are

said to be in a critical

condition. There are reports

the statement speed happened as

hundreds of students tried to

flee when a heavy storm

triggered fears of an

electrical short-circuit. The

largest indigenous art

exhibition to leave Australia

has been unveiled in

Washington. The 10 artists

have been showered with praise. Lisa Millar reports

from the US capital. It's a

long way from Aurukun to the

White House but nothing could

dissuade these ageing artists

from making the journey. The

family said, it's too far for

you, you can't go. Then they

said, he shook his head, we

want to go. One artist is 73

and cancer has taken his joy.

Jean Baptist is feeling the

effects of her trip from the

Tiwi Islands. Too far to

travel from my home to here.

Tonight in DC was not only her painting that thrilled the

crowd but also her dance.

Cult you are warriors was first

shown at the Narda Gilmore,

getting it and the artists to

DC has been a mammoth

undertaking. The art ranges

from the spiritual to the

political. Some is grim but

there is also humourment almost

all of it is delivering a message. Indigenous creativity

is vital and alive and

continues to give in really

profound ways. It can be hard

to impress Washington, which is

not short of great art and

grand productions. Seeing the

colours and the stories that go

with it are so powerful. It

remind me of tribal art in a

lot of countries, but you can

see the uniqueness of the

Australian culture. The

curators are hoping snapshot of

indigenous culture will capture

America's imagination.

Tonight's top story: A Sydney

school bus crash has renewed calls for mandatory seatbelts

for students. Still to come,

the South African runner Caster

Semenya outed as a

hermaphrodite by the media.

The department store Myer is

launching a sale with a

difference. It's planning a multibillion dollar share

market float to capitalise on

an improving bottom line and a

strengthening economy. Australia's largest department

store chain is adding a new

product to its catalogue, its

own shares. My piece of Myer

with the Myer share offer,

preregistration open now. The

private equity group running

Myer has unveiled a public

float, a listing that could be

worth $2 billion. The company

won't release a prospectus

until the end of the month but

is whetting investor appetite

with news of a 15% jump in

annual profit. It's a big

turnaround for a company that

has been long a financial

basket case. It was the

leading Australian retail brand

and it is restored to its

correct position after many

years in the wilderness. Myer

float will be Australia's

biggest since the global

economic crisis erupted and is

a further sign share market

conditions are improfks The

share market has increased 46%

in the last three months. If

you need a green flag for

initial public offerings it's

share prices going up. Myer is confident the Australian

economy is on the rebound, with

consumer confidence improving,

and this will translate into

stronger sales growth without

government help. The talk of

the stimulus package being the thing that drove the business is not the case because there

is no stimulus for the last six

weeks and our sales have

continued to be buoyant. Myer

is likely to be on the stack

exchange in time for the

Christmas sales rush. Strong

economic news out of China

pushed both the local share

market and the Australian

dollar higher. Koehler core

has the details. All the

punters who have been betting

Kerry Stokes would make a bid

for James Packer's Foxtel

holding company Consolidated

Media Holdings tore up their

betting slips and the share

slumped 9%, after they agreed

to be friend. Go that was a

side show. There was action

among regional banks, Bendigo

and Queensland went up 5% and

3% and ANZ did best among the

leaders. Today there was a

series of strong economic data

out of China. Exports to the

rest of the world were still

down. Gold went back above

1,000 on the spot market but it

is currently trading just under

that. The graph proves that

gold is not being treated like

other commodities. It shows the

gold price and the broad CRB

commodity price index rebased

to a year ago. Gold up 30%,

commodities down 30%,

difference is 60%. The other

reason shares went up is that Wall Street rose for the Firth

day in a row, thanks to a fall

in unemployment. The

Australian dollar went back up

today against the US dollar but

flat against other countries.

Why did the great

depresentation become great? In

1931 interest rates were raised prematurely and squeezed the

life out of the economy. On

Sunday in Inside Business, a

discussion about the impact of the collapse of Lehman Brothers

with a doyen of the North

American credit market Tony

Beck. Don't miss it. The

stage is set for the NRL finals

series which kicks off tonight

in Melbourne with a clash

between the Sea Eagles and the

Storm. Manly will be without

Glenn Hall, who has had to

return to Sydney after a family

tragedy. The Bulldogs and

Dragons host home finals over

the weekend, while South-East

Queensland is gearing up for

tomorrow night's local derby

between the Titans and the

Broncos. The Titans have an

imposing record on their home

ground and they will be even

tougher to beat with a fit Matt

originalers. He's a big piece

of the puzzle, it's great that

he got through the session, he

ran quite freely. The Broncos

will start as favourites even

though they finished below the

Titans on the ladder. They are a successful organisation. You

don't finish third in the

competition by fluking it. The

Eels went into camp early in

the week to prepare for their

match with the drag onds.

While the dress rehearsal dent

go well, they will welcome back

Nathan Hindmarsh on Sunday. It

was a good indication of what

we can expect in the semifinal,

we have to shrift our game.

The Storm hopes to get revenge

for last year's grand final

loss in Melbourne tonight. The

team seems to enjoy the pressure. As long as we

prepare properly and the

coaching staff are thorough,

and the players do what we plan

to do on the training paddock,

we are confident. They have

class players, freakish

players, and they are very well

coached. The Sea Eagles will

wear black arm bands, Glenn

Hall returned home to be with

his wife after the death of

their unborn baby. Argentina's

Juan Martin del Potro is

through to the semifinals of

the US Open. He will meet either Rafael Nadal or Fernando

Gonzales. Rain halted the

Nadal Gonzalez match late in

the second set. Earlier, Juan

Martin del Potro beat Marin

Cilic. Juan Martin del Potro

is one of the rising stars of

the tour. The 20-year-old who

also reached the French Open

semifinals lost the first set

against Andy Murray's conqueror

Marin Cilic but dominated the

next three sets to reach the

last four of the grand slam for

a second time. What skill!

It's like a dream. My dream is

to win the tournament. I'm so

close. Rafael Nadal also

dreams of winning his first US

Open. First he had to overcome the big hitting Fernando Gonzales in the

quarterfinals. He makes it

this time. The Chilean had his chance toss take the first

set. With a mixture of power

and subtlety Nadal won it in a

tie breaker. The Spaniard had

manipulation from the trainer

and appeared to move well in

the second set. Nadal led 3-2

when rain stopped play of The

match will resume tomorrow.

The Williams sisters have moved

into the final of the women's

doubles, Australian's Samantha

Stosur and Rennae Stubbs play

their semifinal tomorrow.

Newspapers report that gender

tests have revealed Caster

Semenya is a hermaphrodite.

It's claimed Semenya has three

times the level of testosterone

normally found in a woman and

internal testes instead of

ovaries. The 18-year-old won

Athletics Championships last the 800 m at the World

month. Her family is outraged

that such intimate details have

been reported without her

knowledge . The IAAF maintains

the results of its tests have

not p been completed and

Semenya will be informed in November. Athletics South

Africa says it is appalled by

the media reports. It is

unclear whether Semenya will be

stripped of the gold medal.

Premierses are in full swing in

China for next month's

celebration of the 60th

anniversary of the communist

revolution. One vebt is a mass

parade in Beijing. China

correspondent Stephen McDonnell

reports. They have come from

the navy, the Air Force and

army. Many applied but these

were chosen. Here, precision

rules above all. They must

take 128 goose steps in 96m

with each step exactly 75cm.

To achieve this accuracy,

participants have been marching

12 hours every day for three

months. Their commanding

officers say each man and woman

has worn out at least three

pairs of boots, marching

through Beijing's 40 degree

summer heat.

TRANSLATOR: They take pride

in participating in the military parade and regard it

as a once in a lifetime

opportunity. Drill

instructors take them through

their paces. They move

together, stop together and not

a coat tail can be seen out of

place. This purpose-built base

is the size of a small town,

with a supermarket, dining and

wreck creation facilities,

though not everyone here will

make the final parade cut. We

were told it's an honour just

to make it this far.

TRANSLATOR: For a Chinese military staff member to

participate in a parade which

happens only once in a decade

is a great honour. All of us

are very proud and it is

something we will remember for

the rest of our lives. It's a

secret exactly how many people

are preparing for the parade.

As we watched today's practice,

they are coming past in aefs and there are clearly many to

us. Which the real parade

happens, most ordinary Chinese

people will be kept well away

from it. There will have to be

content with the TV coverage.

To the weather, it looks like

we're in for a warm weekend.

Along with temperatures in the

high 20s to low 30s, we will

have strong north-west wind,

with no significant rain in the

foreseeable future. A

north-east sea breeze helped

keep the temperatures to 22

degrees, but up to 25 in the

west. Temperatures milder

tonight than last night, due to

wind shifting back to the

north-west. Weir

Recapping tonight's main

stories, renewed calls for

mandatory seatbelts in school

becauses following a fatal

head-on collision between a car

and a bus in South Sydney.

Nathan Rees has revamped his

Cabinet, demoting two MPs who

backed John Della Bosca.

Carmel Tebbutt has been handed

the health portfolio. Jockeys

have agreed to get back in the

saddle for tomorrow's race

meetings but they are still

threatening to strike over

tightening the use of whips.

That's ABC News, I'll be back

with updates during the

evening. Goodnight. Closed

Captions by CSI. . This Program is Captioned

Live. This week on

Stateline, more on what Mr

Frank Sartor told subtitle last

week, that power is being

concentrated in the Minister's

hand and for the purpose of

facilitating development

approvals. The killing of a

lender of last resort - the


Welcome to Stateline New South Wales, I'm Quentin

Dempster. Who killed Michael

McGurk, the Sydney dealer and

lender of last resort? An

agitated Michael McGurk told

'Sydney Morning Herald' investigative journalist Kate

McClymont the name of the person he believed was planning