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ABC News Breakfast -

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(generated from captions) This Program is Captioned Live. An Air France passenger

plane disappears from an

Atlantic storm with 228 people

on board. The US Government

steps in as General Motors

files for bankruptcy protection

while Holden says its

Australian jobs are safe. The

debate and backroom dealing

begins in Canberra as the Rudd

Government tries to get its

emissions trading bill passed.

And Samantha Stosur becomes the

first Australian woman to make

it through to the quarterfinals

of the French Open in two decades.

Good morning, it's Tuesday 2

June, I'm Tamara Oudyn. And I'm

Joe O'Brien. The top story on

News Breakfast, an Air France

plane is believed to have

crashed into the Atlantic ocean

with 216 passengers and 12 crew

member on board. The Airbus

A-330 was flying from Rio de

Janeiro to Paris, there's

speculation it was heat by

lightning. French and Brazilian

rescue planes have been

searching the Atlantic. Nicolas

Sarkozy says the chances of

finding any survivors rr small.

Europe correspondent Philip

Williams reports. Arriving at

Charles default airport the

face of friends and relate Vivs

fold a story of deep anxiety.

They were taken to a crisis

centre.. Your attention please.

Passengers waiting for Airbus

flight, 447, coming from Rio to

proceed at the Air France

information desk. When the

plane left Rio de Janeiro there

was nothing unusual reported.

It tracked up the Brazilian

coast and left radar range at

248 but at 3:14 an automatic message was sent that there

were faults. The speculation

that the plane heb hit by a

violent storm common to the area.

TRANSLATION: Around 7 Paris

time, it was clear that the

plane was in deep trouble. And

we contacted the military

authorities to find out what

could be done to find the

aircraft. As the hours passed

hope faded. There was no place

the plane could have safely

landed, French and Brazilian

aircraft were scrambled to join

the search. The problem was

were. Air France even asked the

US military to use its spy

satellites to help. The French

President warned things looked

back. With the passengers from

many different countries,

officials were reluctant to

release details. They want to

get it right. Desperate friends

and relatives must onow wait and pray that somehow their

loved ones survived. And for

more on that Bill Voss is the

CEO of the Flight Safety

Foundation and he joins us now

live from Washington. Bill Voss

good morning? Good

morning. What's the latest

information you have about the

search and investigation? Well,

the latest information is still

that we don't have very much

information on this crash yet.

Clearly, this aircraft did ep

counter some significant

weather, that was wilding up

off the coast. And it's we have

to go by are the series of Mems

that were sent out as alert,

automatically by the aircraft

that it was experiencing some

difficulties. But we're still

standing by and see if we can

get a location on the aircraft,

and for search and rescue to

find some evidence of where it

might have gone down. What more

can you tell about those automatic mentals that were

sent out by the aircraft, what

does that tell you? The automatic messages are

something that are common place

nowadays, especially in these

very recent aircraft. This

aircraft was only four years

old. These messages are used to

alert the airline as to

problems that might exist on

the aircraft for routine

things, so the mechanic is

waiting at the gate with the

right part, but this this case

they may give us important

clues as to what happened. The

fact that the aircraft hit

severe turbulence and then some

minutes later started showing a

series of problems related to

electrical systems could be an

important hint in this investigation. Does it surprise

you that no contact was made by

the pilot? The particularly

where this seems to have

occurred is in an area that's

very much in the mid-Atlantic

between where the Brazilian air

krafk controllers would have

been handed off to the

Senegalese. As such, the

aircraft is at the very limits

of communications for both of those air traffic control

service providers, so it's not

really surprising that we

didn't hear any voice

communications from the pilot.

They're in an area where voice

communications would have been

very difficult What more can

you tell about that particular

area or that flight path? Well,

the flight path goes through an

area called the intertropical

convergent design on either

side of the equator and that's

an area where there is rapid

development of thunderstorms.

Throos been a lot of talk about

the possibility of light nipg

which certainly has to stay on

the table with all the other possibilities but these

aircraft nowadays are really

designed to survive light nipg

strike very easily. How does

this particular type of plane

though usually fare in a

lightic situation? Well, being

a very modern aircraft with all

the recent design features, it

is built with lightning in

mind. The lightning is channels

around the skin of the aircraft

as opposed to going through it,

normally no Daniel is done if

there is damage, it's off a

hole the size of your thumb. On

the wing tip of an aircraft or

something like that. Also, the

electronic systems are

specifically hardened for this

type of event because we know

they're going to be operating

in difficult circumstances,

lightning strikes are a

possibility so this has been

taken into account when they do

back-up systems are designed. Thank you, we

appreciate your time this

morning. Happy to do it. Thank

you. The other major story

we're covering today - US carmaker General Motors has

filed for bankruptcy

protection. It's the largest industrial bankruptcy case in

American history and will cost

around 20,000 jobs. The US

Government is giving General

Motors $62 billion and taking a

60% stake in a new

reaccordinged company. US

Chapter 11 protection will

shield the firm from treaders

while it restructures its

fientss. Despite GM's woes

there's good news for Holden's 6,000 Australian and New

Zealand workers. Holden says

its operations will remain

unchanged after it US parent

company filed for bankruptcy

protection. The firm says there

will be no direct impact on

local manufacturing,

engineering and design. Debate

over the Federal Government's revised Emissions Trading

Scheme begins in part today.

The Government has delayed the

sort of the ETS until 2011 but

the Opposition doesn't want the

bill passed until next year

after the Copenhagen climate

talks in December. And Greens

Senators say they won't vote

for it because emissions

reduction targets are too weak.

There's a push on for cash

incentives for people to adopt

healthier lifestyles. A Federal

parliamentary inquiry into

obesity says tax incentives

should be considered to make

fresh food and gym mountains

more affordable. It also

recommended an increase in

public funding for people to

have lap band surgery. The

inquiry found obesity cost the

economy $50 last year. And

Reserve Bank board members are

expected the leave official

interest rates on hold when

they meet today, economic

analysts expect the RBA may cut

rates toward the end of the year if the global financial

crisis deepens, the cash rate

is at a 49-year low of 3%. And

as Joe just mentioned the US

Government will take a 60%

stake in a new revamped General

Motors. American President

Obama says the deal will help

the ionic car manufacturer to get back on it feet. Understand, we're making these investments not because I

want to pend the American

people's tax dollars but

because I want to protect them.

Instead of taking so much stock

in General Motors we could have

simply offered the company more

loans but for years General

Motors has buried under a

mountain of deep and piling an

irresponsibly larm debt on top

of the new GM would mean simply

repeatling the mistakes of the

past. This new General Motors

will be built from the

strongest parts of our

business. Including our best

brands, and our very finest

products. We will have far less

debt, fully competitive labour

costs and the ability to

generate sustained and positive

bottom line performance. The

new GM will have a

significantly stronger and healthier balance sheet which

will allow us to better support

our brands and products through

investment a increase our

investment in new technology,

and be able to weather

difficult times. The General Motors CEO Fritz Henderson

speaking there from the States

a short time ago. The ABC's

North America correspondent Kim

Landers joins us now from

Washington. Good morning. Take

us through the structure of

this and how this will

work? Well, it's been a long

road to GM's bankruptcy filing,

although it has been expected

for some time, a few could

imagine that this American

industrial icon has got into

this position. What this

bankruptcy filing means is that

GM will try to restructure

under the approval and under

the protection of a bankruptcy

court in New York, what GM is

hoping to do is shed some of it

unprofitable brands, re-emerge

as a smaller leaner company,

shed tens of thousands of

workers, either close or idle

up to 14 plants, shed some of

its senior executive staff as

well and all statement as

taking in about another 37

billion US dollars from the

Obama Administration to try to

keep this between afloat as it

goes through this restructuring

process. And GM has typically

been the producer of the gas

guszler, the Obama

Administration is all about the

green car. Is there much

optimism that this is going to

work, this marriage? Rnts well,

the American car industry is

undergoing a huge upheaval. The

Obama Administration is

imposing new controls on

emissions and fuel efficiency

standards, General Motors is

quite confident that it will be

able todom out on the other

side of bankruptcy and be

profitable, and be competitive,

it thinks that the restructure

willing only take 60 to 90

days. They're saying that it

doesn't want to is stay in the

car business forever. It's

trying to get in and out of GM as quickly as possible so it

will eventually sell off its

shares, this is really the last

road for General Motors to

take, without this the President says the company

would have gone bust and that would have been catastrophic

for the United States . Kim

Landers in Washington, thank

you. Returning to Federal

politics and the Rudd

Government's plans to begin

debate on its controversy

Emissions Trading Scheme today.

For more Kerryn joins us live

from Canberra. The Greens have made their position quite clear

on this. It doesn't really look like they're prepared to

budge? It certainly doesn't.

The Green leader Bob Brown says

they won't even consider voting

for the ET S unless the

Government considers a 25% cut

in carbon emissions. The

Government has a five to 20%

cut op the table, so it seems

to me that any talks between Penny Wong, the climate change

Minister and the Greens leader

this week,, I just can't see

how they're going to get an

agreement out of these. One

Greens Senator yesterday said

that you know this Emissions

Trading Scheme is a dud and

they're not going to help green

up a dud so it appears to me

that talks could well be cooled. Why persevere in that

case? Of course the Government

is pushing ahead with its

deadline to get this

legislation through parliament

by June. Of course, we're in

June now so get it through this

month. They had hoped to deal

with the Coalition on this issue but of course the

Coalition has made it stance

clear, it won't vote for an

Emissions Trading Scheme until

after world climate change

talks in Copenhagen in

December, so the Government

really has no choice but to

negotiate with the cross

negotiate with the cross

benches The latest news ds poll

is out, what's it telling us

about the deficit talk? It

appears that despite the

Coalition hammerling the

Government on its debt and

deficit levels, over the past

few week, ever since the budge

yet was brought down, it

appears to have had very little

impact in the opinion polls at

all.. On a two party preferred

basis Labor has slid one point

to 55% so of course the

Government still has a very

comfortable lead over the

Coalition. In the preferred PM

stakes, Kevin Rudd is slowly

edging away from his incredibly

high popularity that we've been

seeing ever since he was

elected as PM. He's down to

57%, that's just a 1 point drop but interestingly, Malcolm

Turnbull hasn't bunled at all.

He's still on 24%. So he's got

his work cut out for him if

he's going to move at all in

this opinion polls. Thank you

for joining us. And she was

just mentioning there,000 he

finds it hard to understand how

these negotiation will go ahead

and we'll be interviewing the

Climate Change Minister Penny

Wong later on the program but

now let's take a look at the

front pages of the newspapers

around the country. And the

Adelaide advertisest says a

parliamentary committee has

remed free lap band summerary

to cure Australia's obes tie

problem. The 'Herald Sun' calls

it a 'fat afact'. The 'Daily

Telegraph' says taxpayers would

fund the war on obesity.

The'Canberra Times' reports

that authorities fear the worst

as the search continues for the

missing Air France jet. The

'West Australian' is also

running a story on the Air

France plane crash. The

'Australian' reports banks are

furious at Julia Gillard's

backdown on award modernisation. The 'Financial

Review' says ASIC plans to get

tough on companies and their

auditors as the annual

reporting season approaches and

it also has a major piece there

on the General Motors pruptsy. The 'Sydney Morning Herald'

says NSW roads have lost out in

the Rees Government's State budget. The 'Courier-Mail' reports that Anna Bligh will

today announce a selloff of

State a-accelerates. The 'Age'

says Victorian may soon have

now hate crime laws in response

to a recent spate of attacks on

Indian students. Bullies may

soon face criminal charges in

Tasmania, reports the'Mercury'.

And the'Northern Territory

News' says Top End students

suffer the worst bullying in Australia. If you'd like to

send us your feed back on any

of the stories we're covering

you can sent emails to:

The top stories on News

Breakfast this morning, an Air

France passenger plane is

believed to have crashed into

the Atlantic ocean with 228

people on board. The Airbus A-330 was flying from Rio de

Janeiro when it reported

electrical problems. It's

believed to have been hits by

lightning. The US carmaker

General Motors has filed for

bankruptcy protection as part

of a plan that will see the US

Government take a 60% stake in

the firm. The move will cost

around 20,000 jobs in the US,

but Holden says no Australian

jobs will be affected. Debate

for the Federal Government's

revised emissions trading

scream gyps in parliament

today. The Opposition doesn't

want the bill passed until next

year while Greens Senators say

they won't vote for it because

emissions reduction targets are

too weak. General Motors may

have filed for bankruptcy

protection in the United States

but in China it's a very

different story. The company is

actually opening new factories

and employing more workers on

the back of stringing sales as

China correspondent ugg ugg ugg

reports Since the depining of

the year, China's overtaken the

US as the world's biggest car

mark market. A healthy economy

is one reason why sales have

held up during the global

recession, another is the

market's lack of dependence on

credit. China customers... Buy

with cash so there are a low

depentdence on the car loan and

they're only 10% of people in

China buy their cars with autofinancing?? In Australian

where just 2% of people own

their own car, most new car

sales are to first time buyers. If you're looking for evidence

of the booming car market look

no further than here. This is

one of the world's biggest

driving schools, up to 300

students graduate from here

every day.

TRANSLATION: The number of

drivers is increasing at the

speed of 400,000 per year. GM's

opening new state of the art

factories like this one to help

keep up with the 50% rise in

sales it expects in China this

year. The company has around 1

# 2% market share which it

hopes to increase. We think

that there's a few more

percentage points to be gained.

There's some segments of the

market we don't compete in

yet The real winners in the

market are localmakerers like

BYD which are more popular than

GM's bigger more expensive

models. GM could soon be

competing overseas too.

Analysts say the booming

domestic market provides an

ideal platform for Chinese made

cars to compete in the global

market. In finance news US

carmaker Chrysler has received

court approval to sell most of

its assets to a consortium led

by Fiat. The judge ruled that

it was the only way to save the

business. Fiat has not

committed to the keel, says it

could still back out if the

transaction is not completed by

June 15. Most economists are

tipping the Reserve Bank to

leave rates on hold when it

meets today. The industry is

also expecting Wednesday's GDP

figures to reveal Australia is

now in a teblingical recession.

Neal Woolrich reports. There's

more proof if any was needed

that use's economy continued to

go backwards in the early part

of this year. The bureau of

statistics say s -?

Manufacturing and mining firms

reported the steepest declines

in March, while retailers

posted a surprisingly strong

bounce. Ip ventories also fell

which more than 1% during the

match quarter, suggesting that

companies are running down

stockpiles to increase

demand. Perhaps because those

businesses were experiencing

uncertainty and were unable to

renew order so they were

drawing down on strok

levels The strong profit rise

reported by retailers in the

March quarter was followed by a

further pick up in trade during

April. Retail sales rose by

0.3% for the month, following a

drop in February and a rebound

in March of around 2% in each

month. We're seeing some good

returns from NSW, coming back,

which is fantastic, but other

states are finding it a little difficult, Western Australia in

particular but in terms of

categories, it's a bit patchy,

people have been financially

hieberrating for the last six

months or so and we're seeing

them coming back which is good

news. He says retailers are

expecting the return to solid

growth in the September quarter

and consumer also re-enter the

retail market so long as

unemployment remains below

7%. What we're seeing from

consumers and our own research

of consumers is that the

negativity associated with

political commentary and indeed

the so-called experts saying

how bad things are going to get

in two or three years time is not helping consumer confidence And confidence

remains brittle among

manufacturers, despite the

Australian Industry Group's

performance of manufacturing

index reporting its biggest

monthly jump in may. However,

the survey shows that

manufacturing activity

continues to contract at a

sharp rate. Sentiment does seem

to be improving in kurpsy

markets though. At least as far

as the Australian dollar is concerned. The local currency

has jumped 26% since the start

of March, to over 81 US

cents. The Aussie dollar tends

to be a bell weather for global

growth so increase confidence

in the global economy in green

shoots in the economic data are

supporting the Aussie dollar.

It also seems to move quite

closely with equity and

commodity markets, both of

which have rallied in recent

months. This man says higher

interest rates in Australia are

also playing a part. Most

economists and the markets are

tipping rates to stay on hold

when the Reserve Bank board

meets again. The TD securities

Melbourne institute inflation

gauge fell by 0.3% in May,

taking the annual rate to

taking the annual rate to 1.5%.

And that suggests flation would

not be an impediment to further

rate cuts in the Reserve Bank

was so inclined. Neal Woolrich

reporting there. To the firs

now. US stocks are trading

higher on Wall Street.?

In a few minutes we'll take a

look at the weather with

Vanessa O'Hanlon, and also

ahead we'll have a ve view of

some of the newspapers, this

morning we'll be joined by a radio Australia

broadcaster. Now with sport and

some good news from perhaps for Australians. Australian

Samantha Stosur has won through

to the quarterfinals at Rolland

Garros after an easy fourth

round match against Virginie

Razzano, 6-1, 6-2. She'll now

play teenage Romanian Sorana

Cirstea ranked number 41 in the

world. I'll have more on that

in a moment. Roger Federer had

a big scare in his fourth round

match. He came from two sets

down to beat American Tommy

Haas, 6-7, 5-7, 6-4, 6-0, 6-2.

And wasn't he relieved at the

end of that match? He's chasing

his dream of a French Open

title and perhaps the title of

greatest male tennis player. In

the NRL preparations are being finalised for State of Origin

to be played in Melbourne

tomorrow but last night the

raid ersz belted the Rabbitohs

in a high scoring match, 34-18.

The Raiders didn't miss Terry

Campese. A bit more on Samantha

Stosur - it really was a quick match. It was over really

quickly, 6-1, 6-2 her serve has

been a real string for her at

this French Open and her

previous opponent dementia, the

number four seed, said that her

fitness and serve have really

made her a tough opponent, so

she's seeded number Po 30 but

she's playing much better than

at the moment, Virginie Razzano

was no match for her. It's really the case that she's

hitting her straps rather than

opponents aren't playing stronger? Definitely. She said

herself that she's gone into

this with really really - in a

good mental head space. She's

got a really good attitude and

she's feeling really

strong About six months ago,

she went and sat down with the

great surfer Layne Beachly and

talked about getting that

winning edge and it seems that

she has. The other good news is

that the number five seed who

would have played Stosur if she

had of got through this match,

she lost in a marathon three

set match, 8-6, was the score

at the end and that's the

19-year-old Romanian, Sorana Cirstea. Does she pose much of

a threat? I think so. She's

going to be a tough opponent.

She's ranked h 1, an up and

comer, although she's a

teenager... She seems pretty popular with the European crowd

too? That was a really long

game and even the last couple

of games tweept to deuce and

advantage, so it was a really

teps game and great to watch. I

guess she'd rather be playing

the 19-year-old than JankovicH.

She can go through to the

semifinals and who knows what

can happen. She's only two

games away from winning a

froch Any perspective on twals

'depoorture from Richmond

yesterday?. It was all dig

anied the way it finished.

These things can get messy and

of course apologised belatedly

to the werption for how messy

it was - Western Bulldogs for

how messy it was the last time

he left a club. His high

heights at the five years from

Richmond, one was moving

Matthew Richardson to the wing

and the other was recruiting

Ben Cousins but I would have

thought that recruiting Ben

Cousins was the beginning of

the end for Wallace because it

was such a disruption to the

club this year and got them off

on the wrong foot and they

started losing games, the

meantum was just against them

but it's a shame when you have

a I go about 50, he said that

he's been in the game for 3 #

years, that he has to bow out

of coaching now, because he'll

have to take his skills

elsewhere and rumour has it

this morning that he's sniffing

around the Gold Coast franchise. Thank you, Paul.

News Breakfast can be watched

live on the web from

anywhere. Just visit:

Now with the weather here is

Vanessa O'Hanlon and there have

been some good falls around NSW

and Queensland?. That's right.

Some inland areas received

their highest falls in two

months, similar conditions

today with the heaviest falls

expected in the same region. That will be over the central

parts of Queensland and NSW

over the border and owner in

Western Australia, there will

also be about 10mm of rain in

the south-west. As we take a

look today and the cloud over

in the east in a trough is

widespread and it will cause

more rain, most of it over the

southern parts of Queensland

and also throughout NSW and

Victoria. Lighter rain is

expected over the east coast,

in Western Australia, the patchy cloud is extending from

the Pilbara all the way down to

the south-west, triggering

thunderstorms and with a high

in the Tasman Sea the conditions will be similar to

as yesterday for the east coast

as the easterly winds drive up

the coast and cause a few

showers. An inland surface

trough will bring further

patchy rain to the east before

weakening and sending showers

further east, for Tasmania and

South Australia, just a few

light showers and a trough

along the west coast will move

further east causing showers.

In Queensland, cloudy with

drizzle and thundary rain in

the south. For central inland

areas, moderate near the NSW

border. For NSW, rain over

central districts, momoderate

falls likely over the

Queensland border. Vish - patchy light rain throughout

the whole state. Most of the

rain throughout the lower half.

Tasmania - showers in the east

will extend to the north coast

later in the day. Local morning

fros and fog. For South

Australia, morning fog patches,

isolated showers in the

south-east, light rain or

drizzle expected on or east of the ranges N Western Australia,

the showers are about the

south. Rain will increase in

the far south-west with a late

cold change as a low develops

south of the area. Fine for the

Territory apart from a shower

or two over the Top end's north

east coast and cloudy at first

over Alice Springs. Showerses

for Brisbane, 14 in Hobart and

17 for both Melbourne and

Adelaide. I'll see you in half

an hour.

The top story on News

Breakfast, the French President

Nicolas Sarkozy says there's

only a very small chance of

finding any survivors from an

air France plane believed to

have crashed into the Atlantic.

The A-330 was flying from Rio

de Janeiro to Paris with 228

people onboard when it hit bad

weather. The plane reported a

technical fault four hours

after take-off. And there's

speculation it was hit by lightning. For more Europe correspondent Philip Williams

joins us now from London. And

we've seen this morning some

pretty upsetting pictures of

family and friends waiting in

Paris for any news. What level

filtering through to them at of information would be

this moment? Well, really

there's no extra information

other than that the big search

is on at the moment. There are

planes in the air as we speak.

Both French and Brazilian and

boats have been warped in the

area where they think it might have gone down. Unfortunately

there is no other conclusion

than it has done and it's gone

down in the ocean. The chances

of survival are very slim.

Nicolas Sarkozy, the President,

French President, say said as

much himself. He's spoken to

some of those who he fears will

have lost loved ones and said

that, look, I said to them very

honestly, the chances of

survival is very slim indeed.

At this statement, although

there is still some hope, it

will be a rescue orps, it may

well turp out to be a recovery

operation and who knows when

they'll find the wreckage or

find perhaps survivors, because

it's a vs area, that this plane

may have gone down in. They

were out of radar range, so

there's no specifics quompbts

exactly where it was when it

went down and the circumstances

of it disappearing are sill as

mysterious as they were a few

hours ago. There were reports

sent back relayed by the plane

automatically that there were

troubles with the electrics but

there was no mayday call from

the pilot, no warning, no call

for help at all. So, whatever

happened was catastrophic, it

was quick quick, clearly the

plane - the pilots had no

chance to call for help and

they certainly it looks as

though had no chance of finding

anywhere to land. And given all

of those chamgs that you just outlined, how many resources

have been thrown at the

recovery or the search

evident? Well, the French

navy, the French air force, the

Brazilian armed forces are out

devoting as much as they can to

this remote area and they have

had to scramble people to get

those resources into that space, and at the moment there

are three French planes combing

the air, combing that area and

I think about two to three

Brazilian planes, of course

they can't stay up forever,

they need refueling so that

will be a complicated operation

because we are talking such a

vast area and of course on the

ground then, sorry, on the sea,

the ships of course will be

notified, all the shipping in

the area, will be notified and

there no doubt be warships,

hopefully rescue operation,

continuing there, but that

takes time to get those boats

in that area, and we still

don't know exactly where to pip

point that where that plane

might have ditched. The French

Government has actually asked

the US Government, "can you

please apply your technology

from your spy satellites to

help us pip point where this

wreckage may be, where we may

find some survivors?" It's an

extremely difficult operation

and in stark contrast to the

successful operation, that

landing in the Hudson where you

had all those resources right

there of a major city, it

couldn't be anymore different n

a rough sea, hundred of

kilometres from land, it's

going to be very very difficult

to stretch the imagination to

think that anyone survived

this. Thank you very much for

the updater, Philip Williams in

London. . Thank you. Here is how you can contribute to News

Breakfast, you can send email

to:

The other major story we're

covering today, General Motors

has filed for bankruptcy

protection. It's the largest industrial bankruptcy case the

American history and will cost

around 20,000 jobs. The US

Government is expected to give

GM $6 # billion and take a 60%

stake in a new reorganised

company, US Chapter 11

bankruptcy protection will

shield the firm from cred ors

while it restructures its

finances. There's good news for

Holden's 6,000 Australian and

New Zealand workers. Holden

says its operations will remain

unchanged after its US parent

company filed for bankruptcy

protection. The firm says there

will be no direct impact on

local manufacturing,

engineering and design. Debate

for the Federal Government's

revised ET S gyps in parliament

today. The Government has

delayed the start of the ET S

until 2011 but the Opposition

doesn't want the bill passed

until next year, after the

Copenhagen climate talks in

December. And Greens Senators

say they won't vote for it

because emissions reduction

targets are too weak. There's a

push on for cash incentives for

people to adopt healthier lifestyles. A Federal parliamentary inquiry into

obesity says tax incentives

should be considered to make

fresh food and gym mountains

more affordable. It also

recommended an increase in

public funding for people to

have lap band surgery. The

inquiry found obesity cost the

economy $50 billion last year.

And to the swine flu outbreak

and as the number of people

infected increases, the Federal

Government is assessing whether

to upgrade its response. It

currently stands at contain,

the next level is sustain. 401

people have now tested positive

to the virus with

three-quarters of the cases in

Victoria. Tension on the Korean

peninsula is threatening to

poil out be reports that pong

pong is plans to test fire

another long range missile

designed to reach the United

States. North Korea's recent

aggression has provokeding aer from the United Nations and

will dominate a meeting in

Singapore next month. It

appears to be testing its

relations in the Asia Pacific

region to the limit. South

Korean media has relocated its

relocated its missiles to the

West Coast in preparations for

a test fire. It claims the

missile is similar to one

tested two months ago which it

insisted was a satellite launch.

TRANSLATION: If we stand firm

then no-one can look don on us.

We want peace but we will stand

up to threats. Adding to the

south's discomfort are

reporting North Korea has

banned ships from passing along

its west coast until the end of July. Speculation is mounting

North Korea could fire the

rocket within the next two

weeks and time it to inside

with the meeting of the two

leader in Washington.

TRANSLATION: Our military

forces are fully prepared on

the tactical level for early

intervention in the face of any

kind of provocation. South

Korea's increasingingly hard

saps is being mirrored by its

regional neighbours. The common

objective of course is peace,

security and the denuclearsation in the

peninsula. We want everybody to

respect the security Security

Council resolutions and we

think that the six party nation

should really resume their

talks and as far as we're

concerned we have the Asian

regional forum, 46 countries

are present there so we do what

we coto make sure the talks

resume. Regret very much that

they have no respect... And the

respect the UN security

resolution. Asian leaders say

they plap to use a meeting of

leader to find a way of

reopening the utalk s.. 20

years on from the Tiannanmen

Square that stinted the

perception of China in the

international community,

million of young Chinese have

little idea of the events which

shocked the world. For the

generation born since Tiannanmen Square there's no

evidence of the events of June

41989 in their history bookser

local websites. While his

parents consider him special,

this boy is perhaps a typical

Chinese university student. He

was born on the day that the

Chinese leadership ordered

tamps and troops to clear

Tiannanmen Square of thousands

of student protesters who were

calling for reform and

democracy but he knows or cares

little ul about what happened?

TRANSLATION: My father told me

that students had some kind of

activity, to petition the

Government that year which led

to some conflict but I'm not

sure about the details because there is nothing on the

Internet either. In China,

Tiannanmen Square is that boo.

It's also as if the deaths of

hundred in the bloody crack

youn did not happen. It's hard

to tell whether today's young

people are being shallow or shrewd. TRANSLATION: Maybe their

parents worked so hard to give

them so much, so now they've

become numb, only concerned

with lifestyle and what to eat

tomorrow, etc, so what we have

now is sliddism, materialism

and he'donism. There are also

200 million post 19 80's yupg

people in China. Offspring of

the one-child policy. Aged

between 20 and 30 they are web

savvy, worldly and fashion

conscious. When Chinese youth

raise their voices in protest,

they are more likely to defend

China's image as they did

occurring the lead-up to the

Olympic Games last year.. They

try to present China in a way

that they think is the China,

rather than the kind of older

generation's perception about

China or even a foreigner's perception. China hopes the

spoils of capital I'm provide

enough distractions to keep

their young people from digging

into their nation's buried

past. The runner up in the UK

television contest Britain's

got talent has been admitted to

a psychiatric hospital in

London. She's now said to be

suffering from exhauston and

stress. Susan Boyle became an

international celebrity after

her first appearance on the

program was broadcast on the

Northern Ireland. Sing sing I

dream the treatment in time

gone by. In the seven week

since she first appeared on the

British talent quest, Susan

Boyle has gone from small

screen star to smaller screen

superstar. Thanks to the

Internet, more than 150 million

people have now heard her sing.

(Sings). Her success on the

show made headlines around the

world, fans couldn't get enough

of this modern day parabol, a

Scottish spinster who a has

learning difficulties, lives

alone with her cat and admits

she's never been kissed. But

the story had an unexpected

twist. The winner of Britain's

got talent, 2009, is - D I

canners havity.Some she looked

relieved afterbeing told she'd

come second in the shows time

but after after this appearance

she was admitted to a mental

health clinic after reports she

was acting strangely. She's not

trained in the media. Been in

the middle of this storm. It's a very difficult thing to

do One of the judges talked to

the American media about Susan

Boyle's staid of mind. First of

all, let me tell everyone that

she's fine. I spoke to Susan

for half an hour yesterday and

she's just emotionally and

physically exhausted. She's had

no sleep for a week, not been

eating, I think she's found the

whole pressure of becoming the

global phenomenon increasing

difficult to deal with Most

people expect the Susan Boyle

will still make millions from

her singing career, a recording

contract, a book deal, there's

even talk of a movie based on the

the story of her life. Dismantled pianos, rocks suspended in the air and ghost-like dolls are all hall

marks of one of Australia's

most celebrated sculpt oors.

Kep Ken has chosen Sydney's Cockatoo Island for his first

exhibition in five years. It's

a tribute to the wife he loved

and lost. Art's reporter Maria

Nicholson behind the walls of

the old hall, Ken Unworth has

created another world. His

exhibition a ringing glass,

combines all manner of weird

and wonderful sights and

sounds. I've always done either

consciously or unconsciously is

to bring about a sort of

environment an atmosphere,

that's created with objects and sound and light and movement. The self-taught art

itself has always been a crowd

pleaser and the pie anno is

often featured. It partly

reflects his love of music but

mostly because because his wife

was good. After 50 years of

marriage the music stopped.. I

think it's to too with that

moment, that last horizon

before you enter the vast

limitless space of

forgetfulness. He's a real

renaissance man. We don't have

any others so he absolutely

stands out. Nobody would

attempt to do anything as

ambitious as this. At the heart

of this exhibition is a love

story. Ken Unworth created this

ballroom and invited all his

friends to a grand opening

party to honour the memory of

his wife. It was the party of a

life time, staged by a loving

husband. Elizabeth Uns ds worth

died last year but her for

instance is felt every y. To

honour her hief and the gift

she's gave to me and to other

people. The exhibition is free

and open every day to those who

want to experience the strange

new world. You're watching nez,

the stop stories this morning, an Air France passenger plane believed to have crashed into

the Atlantic ocean with 228

people on board. The Airbus

A-330 was flying from Rio de

Janeiro when it reported

electrical problems and is

believed to have within hit by

light nipg. US carmaker General

Motors has filed for bankruptcy

protection as part of a plan

that will see the US Government

take a 60% stake in the firm.

The move will cost around

20,000 jobs in the US but

Holden says no Australian jobs

will be affected. Debate for the Federal Government's

revised Emissions Trading

Scheme gyps in parliament

today. The Opposition doesn't

want the bill passed until next

year while Greens Senators say

they won't vote for it. Because

emissions reduction tarts are

too low. - targets are too

low. For a look at the national

papers today we're joined by

the radio Australia broadcaster

Phil, good morning Phil. Hello. Of course, the front pages of

the papers today, surprisingly,

very fast on that missing

plane, many of the papers have

that already Because that only

happened at 2 o'clock this

morning our time. Extraordinary, till

midnight. I think it dropped at

about 9 last night? OK. But

they got it very very quickly.

That's very good work on their

part too but the flopt pages today are to do with General

Motors. We'll get to that in a

just a second but I want to

start with what's in the the 'Australian' this morning.

Again, front page, let's have a

look at the latest poll, know

that we had polls yesterday, we

talked about it last week, how

there was a poll in one set of

media, the Fairfax media, about

Kevin Rudd and then there was

the me-to polls the next day .

This is another me-to poll,

sorry about this Newspoll, but

you can see that there what

happened is that Kevin Rudd has

weathered the attack from

Malcolm Turnbull, according to

the front page of the paper. If

we look at some of the figures,

there Labor has actually moved

a little bit, it has gone down

but just 1%. The Coalition has

gone up 1%. This Sunshine Coast

the attack on the deficit. This is Malcolm Turnbull who has put

a very spirited attack on Kevin

Rudd, probably the most

spirited attack we've seen

since the election. And launched this advertising

campaign this week. So he's

really put all the guns going.

He's still 10% behind, Labor

is. The couple of other

factors. Kevin Rudd

satisfaction rating has cropped

from 58 to 56. Last week we set

it went to a stupidly high

level. This time he's still at

a reasonably stupid high level.

56%. Not too bad, sit? Malcolm

Turnbull unfortunately hasn't

been able to get his own rating

up. Lease still at 40%,

although for an Opposition

Leader in the history of this

country, it's not too bad. I've

got to say, he seems to be more

confident in parliament, and in

the ad he's quite strong as

well, so I think he's got a bit

of a spring in his step from

the marmgal increase in the

polls that he has had.. Just

that whole off the cuff

unscripted aspect to that

advertisement. I've noticed

that. He does seem to be going

for it. He's got nothing to

lose of course. If he looks

nervous, that's the end for any

Opposition Leader. He's not in

Government. Got nothing to be

nervous about You'll also raise

the Indian riots? Yes,. Here, we saw yesterday what was

happening with that protest in

the city of Melbourne, Swanson

Street and Flinders Street.

Front page of the 'Australian'

there, we've got an effigy, see

someone being burnt then and at

first look it looks as though

there's some self-imlation

happening here. Unfortunately

for Kevin Rudd it's an effigy

of Kevin Rudd and there is a

group of Hindus who in Indian are burning his every is

there. It's a very small group

of people and there seems to be

a tendency in India to burn

effigies as well when there are

sporting stories we see them

doing that as well.. It's a

horrible thing to think, when

you become a PM of a country to

think that there are people

across the world who are

burning likenesses of you, it's

pretty tough. This is a story

that started with some attacks

as we've been hearing, they're

opportunistic attacks, the

police are saying part of

reason is not racial based,

it's because some of the people

are on trains or walking at

night alone, they're geared up,

they're obviously seen as

people who will not fight back,

and that's why they're being

attacked and why Thai sent a

police officer over there The

victims have said that while

some of these attacks may have

been opportunistic there was a

real rasht tone to the attacks,

so obviously there's been some

kind of verbal stoush or what

have you been before they've

been physically tack i

tacked. It's propertied Kevin

Rudd and Malcolm Turnbull to

stand up in question time yesterday and deliver statements deannouncing it.

It's got to that stage. All the

way to the top. Certainly. I

know towards the end of this

program yesterday that Simon

Overland, was making the

comment and certainly I'm sure

you guys had it on the program

where he said that most of that

protest yesterday was peaceful,

it was simply that it got out

of hand, or there were rebel

Rousers. Let's go and look at

what's happening with General Motors, General Motors is being

60% taken over by the US

Government, another $30 billion

being injected into xwm but

this time it's not just money

depern to them, this is money

that is part of the investment

by the US Government. Obama,

20,000 jobs so loss. Now being

dubbed 'Government

motors'. That's right! If we

look at the line being taken in the 'Financial Review'. There

is fallout from this, because

General Motors does have links

to many other countries across

the world, Opel, in Europe,

Vaux ds hall, in Opel what

we've seen is that there will

be a consortium, this is a

yation company, and also an Austrian-Canadian consortium as

well. This has brought some

really problems within the Germany Government, where there

have been attacks between

Angela Merkel and her economics

Minister saying "why are we letting this European company

go to Russia and go to

Canada?". And also Fiat, berl

berl in Italy, is under attack

for not going harder with Fiat

to get into Opel. So Fiat

wanted Opel and of course

criticiseler and they wanted to

be the new General Motors. It

just didn't happen. Also

looking at what happened

withholden too, this is on the

'Age', front page of the age,

down the bottom, "Holden

survives GM wreck." That's good

for hold yep. They've got a new

small car coming out ands that

the reason it's been

saved. There's a comment in

that story as well that the

Government subsidy or the

program of $150 million towards

that new car was what saved the

Holden operation in the

restructure, but we'll with but

we'll be talking to people

later in the program about

whether they believe that or

not? We're talking about $150

million by the Australian

Government to save its national

car, that the US $50 billion so

far. Holden for its part has

taken the unusual step of

releasing a statement with a

list of questions and answers

for people concerned about

what's going to happen to

Holden in Australia saying

there's going to be impact, no

change, no-one will lose their

jobs, everyone here is safe.

It's also interesting that the

markets have Golden Globe right

up. Now the end of this

uncertainty. The Dow is up 2.6%

it closed this morning S & P is

up. Once people know what is

happening, they just start

buying in the market

again. You're also interested

in Terry Wallace? Don't you

believe it. Richmond, coming

second last Surprised? Ied,

what was the big news? Ben

Cousins showing how far he can

count to. Today, we've got the

backpage of the herald. There's

Terry. He's smiling. He has to

spliel. He's got all that

pressure off him. Backpage

today, we see Mick Malthouse,

not going to be taking the job

at Richmond, why would he.

Kevin shooedy is not, maybe

Wayne Campbell. This is typical

Richmond here. Let ''s say to

to the coaches that have

succeeded in different places

but go for someone who has

never coached before. Continued frustration for you Richmond

supporters. Absolutely. The top

headline there they love is a

Terry toweling. Go Terry

Wallace. They've been sitting

on that for a while. Thank you

for coming in. Thank you. A

remind they're you can watch

all of ABC News Breakfast

streamed live every morning if

you like. There is the address. Now with sport here is

Paul. Thank you. Australian

Samantha Stosur has won through

to the quarterfinals at Rolland

Garros after an easy fourth

round match against Virginie

Razzano. 6-1, 6-26789 there she

is winning that M. She'll now play Sorana Cirstea, ranked

number 41 in the world. It's

the first time in more than to

years an women has made it this

far at the French Open. Roger

Federer had a big Skaife if his

first round match. He came from

two sets down to beat Tommy

Haas, 6-7, 5-7, 6-4, 6-0, 6-2.

Federer is chasing his dream of

a French Open crown, and

perhaps the title of greatest

male tennis player. To the NRL

and preparations are being finalised for State of Origin one tomorrow night in

Melbourne, but there was a game

last night, the raid ersz

belted the Rabbitohs in a high

scoring game. The final score

was 34-18. I am interested

Phil, in why you would go for

Kevin Sheedy, would he be your

number one pick as a Richmond

fan? Yeah, would. I saw the

1969 grand final and he was

just so good in that. It's just

an emotional thing. He probably

isn't the best choice but we

love him.. What about Nathen

Buckley. I'm interested in

whether Richmond fans would go

for him as a full-time coach

for next year Only no, but only

because he's had anything to do

with Collingwood? Ha! They may go for someone completely

different for next year, but

for the moment it will be a

care taker coach. My preference

would be Craig McRae, the development coach there from

the Brisbane Lions,

originally. Thank you,

Paul Here is Vanessa O'Hanlon

with the weather. Thank

you.Ied, was pert's warmest

June day in 25 years. Cooler

weather is on the way throw

with a low developing south of

esperance. Patchy cloud is

extending town to the south-west. Anythingering thunderstorms and the clout in

the east in a trough is... A

strong high will remain in the

Tasman Sea for most of the

week, that will continue to

drive the winds up along the

east coast and also about the

ranges. An inland surface

trough will bring further

patchy rain to the east, by

Friday the rain will have

cleared in NSW and Queensland,

the Tasmania and South

Australia, only a few light

showers, a trough along the

west coast will move further

east as wellment for Queensland

today, cloudy with drizzle and

thundary rain in the south.

Moderate near the NSW border.

For NSW, rain over central districts, moderate falls likely closer to the Queensland

board, isolated shoirs in the

far west and for the coast.

Victoria - some patchy light

rain throughout the whole

State. Cool, light to md rit

easterly winds. In Australia,

showers in the east, they'll

extend later in the day. Local

morning frost and fog

particularly for the southern

half, take it easy on the

roads. South Australia, morning

fog patches, isolated showers,

light rain or drizzle on and

east of the ranges. Across to

the west and showers about the

south, rain will increas