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ABC News Breakfast -

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Another night of protests in

Sydney's west as Indian students call for better

protection from police. The

first Guantanamo Bay terror

suspect to face a US civil

court arriving in New York. The

WHO poised to declare the

global spread of swine flu a

pandemic. And the scroos to

celebrate their World Cup berth

when they face Bahrain in front

of a home crowd in Sydney

tonight.

Good morning. It's Wednesday

10 June. I'm Tamara Oudyn. And

I'm Joe O'Brien. The top story

on News Breakfast - Indian

students have called for

greater police protection after

a second night of protests in

Sydney's west. Two men were

arrested when 70 people

demonstrated for a second night

at Harris Park. The praurz were

angry about a spate of attacks

on Indian students. Members of

the Indian community in

Melbourne have written to

India's PM calling on him to

intervene. We should be mindful

of their interests and by

creating the situation, will

these citizens of Australia, of

Indian Origin, become the

target of racist

intolerance. Unfortunately this

has been going on for some time

serious matter which I hope and security and safety is a

will be addressed as quickly as

policy.. The police need to

step forward to address this

law and order situation before

it escalates into something

more dangerous. In other news -

an al-Qa'ida suspect has been

moved to New York where he'll

become the first Guantanamo Bay

prisoner to face justice in an

American civil court. Ahmed

Ghailani is accused of helping

organise bomb attacks on US

embassy in Kenya and Tanzania

in 1998. He's due in court in

the next now hours and faces 2

# 4 count of murder. Two

formers are among 11 people

killed in a bomb attack on a

luxury hotel in the Pakistani

city of Peshawar. Dozens of

others were injured when gunmen

reportedly stormed the Pearl

Continental Hotel and then set

off a bomb. It's the 7th deadly

bombing to hit the city in a

month. The WHO says swine flu

appears to have reached

pandemic proportions. There are

more than 1200 confirmed cases

in Australia, most of them are

in Victoria, where a Grand Prix swimming meet has been

cancelled. The nation's chief

health officer also meet in

Sydney today to kfr raising

Australia's alert level to

sustain to match Victorias. Access Economics has warned

that retailers are in for a

tough 18 months as the effects

of the Government's cash

handouts wear off. The

economics forecaster predicts

retail sale also fall by 0.3%

next financial year. The slump

will come as a result of rising

unemployment and a shift in

focus of stimulus spending

towards infrastructure

projects. And thousands of home

owners will miss out on an

$8,000 solar panel rebate after the Rudd Government scrapped

the plan three weeks early. The

system will be replaced from

today with an alternative

scheme, the renewable energy

sector and Opposition says the

move will throw the industry

into chaos. Returning to the US

where the first Guantanamo Bay

inmate to face a US civilian

court has arrived in New York.

For more we're joined by Mark

Simkin from Washington. Good

morning, Mark. Ahmed Ghailani

has been scroibed by US

authorities as a high value

de-Tynee. What are the

allegations about him The

allegation is that he started

out as something of an

al-Qa'ida delivery boy, using

his bicycle to ferry bomb parts

to people over there in Africa,

and was there for, involved in

the bombing of the US embassies

in Tanzania and Kenya that

killed hundreds of people. He

has around in close door

proceedings acknowledged that

he was involved in ferriling ox

jip cappisters and other

explosive parts to al-Qa'ida

operatives but that he didn't

know these items would be used

to build a bomb. He's also

accused of having left Africa

and working for directly for

the al-Qa'ida leadership in a

bodyguard role. The case

against him compared to some of

the other cases against people

down there in Guantanamo Bay is

thought to be very strong and

that's why he's the very first

person to be brought from

Guantanamo Bay to the United

States and tried in the civil

courts. There's a lot of uncertainty surrounding how

this case will play out, how

long it will last, what the

result will be, but I guess the

Obama administeration, it's

highly crucial? Yes,, Ahmed

Ghailani is the git moguinea

pig I suppose. I don't think

it's a coips dense that he's

the first person chosen because

he is going to be the ultimate

test case for Barack Obama's

plans to close down at the

prison at Guantanamo Bay and

bring as many of those people

as possible that need to face

charges to the US and try them

in the civilian courts. There

is a growing backlash against

this idea already, Republicans

are saying today, this is the

first terrorist to be brought

to American soil. If the

prosecution against him falls

apart, if evidence can't be

presented in court, if the

civilian courts prove

themselves incapable of putting

this gentleman on trial and if

indeed the prosecution fails to

get a successful prosecution,

fails to get a conviction, then

those calls for a re-think on

the git dmo close willing get louder. What's the public

sentiment on this case? I think

it's divided. Most people here

in America don't know too much

about this guy. Certainly

though, there are different

schools of thought. There is a

large and growing number of

Americans who have the complex,

they don't like this idea of

so-called worst of the worst

terrorists being brought to

America. But there are other

people for example family

members and relatives of the

victims of the American embassy

bombings who are welcoming the

fact that many years after

those bombings, finally someone

is being put on trial and being

potentially held accountable

for the bombings. So it will be

interesting to see how this

plays and out and I think the

ultimate sergt h depend on the

local sector in the case. Mark

Simkin in Washington. Thank

you. In Burma, a court has

agreed to let Aung San Suu Kyi

call another witness in her defence. The democracy leader

is accused of letting an

American man stay in the House

where she was been detained by

the military junta for six

years. The ABC's Shane Mcleod

travelled to Burma to file this

ex-christive report. Burma's

citizens are free to pray, but

not to call for the freedom of

the nation's most recognised

pletion. Democracy leader Aung

San Suu Kyi is facing five

years in jail. She's accused of

letting an American man stay in

the Rangoon house where she's

been under house arrest for six

years. The man allegedly swam

across this lake to reach Miss

Suu Kyi's house. Up usually

Burmese diplomats have been given access to the triex

pressure from key backers like

China and other South-East

Asian nations appears to have

put the military regime in a

difficult position. It's

reacted angrily to suggestions

that trial is a sham. There's

no doubt that Aung San Suu Kyi

has committed a cover up of the

truth by her failure to report

an illegal immigrant to the

authorities concerned. After

pro democracy demonstrations

were brutally suppressed two

years ago most Burmese are

reluctant to speak out

publicly. This man agreed to

talk only if the ABC disguised

his identity.

TRANSLATION: People are watching at the moment now.

They are moving. But once you

make a mistake, you will be in

the lockup. The case is

expected to resume on Friday,

but most believe the verdict

has already been determined.

The real goal people believe is

to keep the democracy leader

out of the public arena, at

least until after next year's

scheduled elections. The polls

would cement the military's

stranglehold on power and

without the involvement of the

Opposition Leader or her party,

the rest of the world will not

be convinced that democracy has

taken root. The PM has again

been talking up Australia's

handle of the economic crisis.

This time it was at a gathering of business leaders in

Melbourne last night. Kevin

Rudd says the latest figures on

the world's biggest economies

show Australia is in better

shape than most. Australia now

has the fastest growing economy

in the OECD group of developed

economies. There are 30 of

them. And we are the only major

advanced economy not to have

fallen into recession at this

point. Australia is not out of

the woods, just because we

avoided a technical recession.

There will be more bad news to

come w growth continuing to be

slow and unemployment

continuing to rise. But the

bottom line is this - as the data demonstrates - Australia

has faired better than most

because wes a Australia

Government and business, acted

and we acted early and we acted

decisively. For more, Hayden

Cooper joins us from Canberra.

Good morning. The PM there was

speaking up Australia's

response to the global

financial crisis, but there are

still mixed signals about

what's to come? Yes,. Mixed

signals and the truth is that

no-one including perhaps the PM

knows what is to come.

Yesterday, there was a positive

sign with business confidence

increasing according to one

measure. Today, though, from

Access Economics, there's a

warning and that warning is

directed at retailers, access

believes that the retail sector

will have a very tough time of

it in the next 18 months and

the reason for that is because

the cash handouts have mostly been spent and the Government

has now switched focus to

infrastructure spending. So Access believes that while

there will be a small increase

in retail spending this

financial year, next year

there'll be a contraction, and

growth won't return to that

sector until the unemployment

rate peaks and that's not until

the end of next year at least,

so a few negative signs ahead

there. And in the context of

all that concern about the

economy, the new ministry was

sworn in yesterday or the

slightly altered ministry with

that emphasis on

infrastructure? Yes,, it was.

And it wasn't long after they

left Government House of course

the ministers donned their

uniforms which these days is an

ugly vest and a hard hat, and

Mark Arbib was sent straight

off to a construction site at

Queanbeyan and he was out there

doing what he does best and

that apparently is talking up

the infrastructure spend. While

he dps it, Mark Arbib is

someones with very close to the

PM, and he was on Lateline last

night and was questioned about

whether Australia would head to

an early election and proving

once and for all that this man

does have a one track mind, the

answer on that too related to

infrastructure. Let's have a

look? I would be advising not

to go to an election. I think

we've got a stimulus package

that will roll out over the

next 18 months and there are

projects under way now that

need time to get moving. We've

got construction workers on

sites now so I think we should

go long and get that work done so we can go to the electorate

and say, "This is what we have

done to bolster the country, to

cushion the country, from the

global recession, infrastructure, not just for

the short-term to protect jobs

but for the long-term, to

actually make the country more

productivity, more competitive,

so I think we've got a very

good long-term story to tell

but yomg I need to tell the PM

that buzz I think the PM knows

that and he's a very

conservative prepare and I

think the next election will be

in 18 months." I'm surprised he

didn't turn up to that with a

hard hat on, Hayden! In light

of that though, the union

relationship with the

Government over the next 12, 18

months will be very interesting

in the run-up to the next

election? That's true. And

Kevin Rudd will take a hardline

with the unions because he

doesn't want anyone to think

that the unions rule the roost

in this Labor Government. And

yesterday, he did come out

fairly strongly on this

question of whether the

Government should get rid of

some of the coercive powers of

the building watchdog, and

Kevin Rudd simply said that

that wouldn't be happening and

he, too, like Julia Gillard,

pointed to some of the mob tactics and some of the

negative stories in the past

related to the unions. I think,

Joe, the unions have been more

politically active at the

moment than h they have been since the election and there's

another story about today which

will confirm that, that is that

the union movement in NSW is

going into high schools under

what they call education of the

workplace, but others suggest

they're simply in the high

schools to try and recruit

young members and that they're

offering students as young as

14 the chance to join up with a

union for about $10 a month, so

the motive there seems to be

get them early and get them

young. I can't see the Opposition enduring that for

any length of time. Hayden

Cooper, thank you for that. Now

to the front pages of the major

newspapers appear the country.

The 'Australian' reports on

union argues on the strength of

the powers of the building

industry watch dough. The

'Financial Review' warns of a

double figure fall in the value

of superannuation funds this

financial year. The 'Age' says

there have been an afterlarge

of submissions after the

Federal Government yesterday

announced an early ento its

solar panel rebate scheme. In today's 'Herald Sun',

Australia's PMed a his pimpl of

salt criticising chef Gordon

Ramsay for unkind comments

about TV host Tracy Grimshaw.

The 'Sydney Morning Herald'

reports that the Anglican di

sees is tightening its belt,

while police short list

suspects for two underworld

shootings. The 'Daily

Telegraph' says the unions are

planning to halt plummeting

memberships by recruits young

students. The 'Advertiser'

gives a glimpse of Lleyton and Bec Hewitt's new Bahamas home

while a magistrate refuses to

impose control orders on Finks

motor cycle gang members. In

the 'Northern Territory News',

lucky escape for a teacher and

four passengers when their

four-wheel drive rolled into

you guessed it a crocodile-infested river. The'Canberra Times' reports

that the ACT and NSW have come

on board the national grading

system for tertiary entrants. The 'West Australian' newspaper

reports that a chicken tycoon

has been sentenced to life for

the strongling murder of his

long time boyfriend. And

finally, the Hobart'Mercury'

reports the end of rail

services in Tasmania, the

state's soul operator, Pacific

National yesterday sent letters

to its major freight users says

it will close the State's last

operating rail system in three

weeks. In you'd like to send

us your feedback on any of the stories we're covering today:

The stop stories on News

Breakfast this morning - Indian

students have statemented

another overnight protest in

Sydney's west calling for

greater police protection. One

person was charged with carrying an offencive weapon

during a demonstration of 70

people at Harris Park.

Protesters are angry about

attacks on Indian students in

Sydney and Melbourne An

al-Qa'ida suspect has been

moved to New York where he'll

become the first Guantanamo Bay

prisoner to face justice in an

American civil court. Gl fwal

gal is accused of helping

organise bomb attacks on US

embassy in Kenya and Tanza in 1998. The World Health

Organisation says the global

swine flu pandemic appears to

have reached pandemic

proportions. There are more

than 1200 confirmed cases in

Australia. The nation's chief

health officers meet in Sydney

today to consider raising

Australia's alert level to

sustain.

A court this Melbourne has

heard that the company behind

the controversial arthritis

drug Vioxx allegedly tried to

alleviate the drug's impact on heart disease. The Federal

Court has been told the move

came as claims surfaced that

Vioxx could cause cardiovascular problems. Vioxx

became part of the biggest and

most expensive drug recall in

history when it was withdrawn

from worldwide sale in 2004

over health concerns. Rafael

Epstein reports. In 2000, US

drug regulators were aware of possible cardiovascular

problems with Vioxx. Yet in

1999, 2000 and 2001, the

company that made Vioxx

supplied for a patent to

compliep the drug with other agents. Chemical compounds that could help prevent problems

like heart attacks and strokes.

The very concerns that later

forced Vioxx off the shelves.

The patent showed that the

company privately thought about

reformulating Vioxx so reduce

its sidesques while publicly

laying down a study that

highlighted its potential heart

attack risks but the patents

are news to this doctor, vup

for research at a US will be

aatories. She told the court

she'd never seen any of the

patent applications. The

company did not end up making

the drug and has said that the

patents did not reflect the

company's view of the drug's safety. Ask your doctors if

Vioxx is right for you. Vioxx,

for every day victories During cross-examination dr the doctor

did clarify a 19 # 97 email

discussing the drug's sidesques

when she said:

Today she said she was just

being a little bit dramatic.

The law firm Slater and

Gordon Brownon says they're

suing on behalf of everyone in

Australia who suffered

cardiovascular problems while

the drug Vioxx was on sale here

and it's the first case like

this outside the United States.

In America, they faced

thousands of claims and they

agreed to settle paying out

more than $4 billion but as

part of that settlement they

did not have to agree that

they'd done anything wrong.

Julian Burnside is acting for

those suing. In the late 90s

the drug's risks were regarded

by the company as a marketing

problem. In her evidence, the

research scientist disagreed.

She said:

Mr Burnside told the court

marketing documents for Merck

Australia indicated significant

problems associated with the

drug and he said the company

thought that could be a

problem. In response, the

doctor said:

The case is expected to run

for two more weeks. For more

now on that bomb blast in

Pakistan which has kal killed

at least 11 people and injured

many more South Asia

correspondent joins us on the

phone f what details do you

have about this attack? The

police in Peshawar are saying

that it was a two staged

attack, that terrorists opened

fire at security guards outside the Pearl Continental Hotel in

Peshawar. They forced their way

in with a delivery truck which

was carrying up to 500kg of explosives. They got as close

as they could to the entrance

of the hotel and then detonated

the exmosives which have torn

part of the front off the hotel

and left a very large crater

also, so an extremely

significant blast, a very large

attack. This has horrible echo

of last year's Marriott Hotel

bombing in Islam bad?. It is

and comparisons are being made

to that. That was also a truck

bomb, there have been an

increasing number of attacks

particularly over the past

week. There have been search

already this month, and this

hotel which is a five star

hotel, very well known,

frequented by a lot of

foreigners, by officials,

Government fecials as well, is

a very iconic target, a very

high value target even in a

city such as Peshawar. The

death toll at the moment Sally

sits at 111. Will we will

expecting that to rise? There

are rescue teams now at the

site going through the rubble

where the front of the hotel

has collapsed. This are

obviously concerns that the

death toll will increase and

they're still trying to account

for all of the hotel guests,

many of whom fled in the

darkness and in the smoke directly after the blast

occurred. Early reports are

suggesting that some foreigners

are among the dead. What

details do you know about that? We haven't had the nationalities of those

foreigners released at this

stage. Local officials are

saying a short time ago that they believe that two formers

were among the dead, possibly a

UN staffer was one of the

victims, but still those tallies are being put together

and there are fears that more

foreigners could have been

affected by this blast, because

fs such a well known international hotel in the

city. And just very briefly.

Has there been any early claims

of responsibility for this

attack? It's still unclear as

to exactly who carried it out.

The Government has already

condemned the attack and obviously there are concerns

that this attack again has been

carried out by mes of the

Taliban in Pakistan. Sally Sara

in. Ten major US Basques have

been cleared to repay $10

billion they received at the

peak of financeal crisis. The Morgan Stanley, American banks include JP Morgan Chase,

Express and Goldman Sachs.

Observers say the move shows

stability might be returning to

the US financial system. To the figures now -

Now on a very chilly morning

over some of the southern state, Vanessa O'Hanlon will be

us to take a look at the national weather soon. Nkt but

also ahead, we'll have a ve

view of some of the newspapers.

This morning we'll be joined by

School of International Dr Scott Burchill from the

Relations and Political Studies

at Deakin University. But now

with sport here is Paul Kennedy. Thank you. Good

morning. The scroos will use

the World Cup qualifier against

Bahrain tonight to celebrate

their entry into South Africa

2010. Coach Pim Verbeek says

it's not a friendly and his

team should play with

intensity. But injuries to

players including Josh Kennedy

and the sus pntion of captain

Lucas Neill will force up to

five changes. The Netterlands

couldn't match Ireland's feet

of making the Twenty20

super-8s. This is despite the

opening bowler becoming the

fastest bowler in the

tournament, that delivery at

150km/h. Pakistan made 175 and

the Dutch could only make 93 in

reply. And we've got some

vision of a game that has just

been completed. New Zealand was

chasing South Africa's totally

of 12 #. They needed 8 off the

last two balls, there's Jacob

Oram hitting a four down to

fine leg and so they needed a

boundary off the last ball.

They couldn't do it, they made

only two, India, Ireland,

England, Pakistan, West Indies,

Sri Lanka, South Africa and New

Zealand, are all through to the

super-8s. There's only a couple

of other matches that don't

matter to be completed tonight.

Australia of course missed out

there. The Wallabies have

selected teenage star Neil

Connery to start against Italy

on the weekend. The coach has

challenged the Western Force

fullback to earn his place in

the team full time. O'Connor

earned wit this try against the

bash bash and he's the future

of rugby union in this country.

With that sorof pace. Tutu Tu

and Phil Waugh didn't even make

the squad of 22 for the Test

this week. They're veterans,

been around a while but they're

yet to turn 30 but Robbie Deans

has already said that they may

not even play a Test for the

entire year but I am wrapped

that James O'Connor will be in

that team. He's only 19.

Rumours are that he may to to

ACT next year but he really is

an up and comer. He debuted for

Australia, for the Wallabies,

against the Barbarians at the

end of the spring tour last

year. The Wallabies have a busy

program over the next few

months?. They have. Italy and

France first and then the Tri

Nations, and then they've got

the big grand slam tour at the

end of the year. There's plenty

of Tests to be played. Tutu and

Waugh will be hopeful to get a

call-up or perhaps juniors

might allow them to play, but

fingers crossed that those

young guns can step up and take

their place. Quickly, Cadel

Evans has lost the

leader'siersy in France. We'll

talk more about that

later. News Breakfast can be

watched live on the web from

anywhere. Just going to our

website and click on the watch

live icon. If breaking news,

the first detainee transferred

from Guantanamo Bay for a

civilian trial in US has been

pleaded not guilty to charges

of conspiracy in the 1998

bombles of US embassy in Tanza

and Kenya that killed 224

people. We bring you more on

that later. Now with the

weather, it was cold over the

south-east yesterday. Even

Kohler this morning. Hor is

Vanessa O'Hanlon. That's right.

We're in for for cold water

today as we move further up

into the south of NSW and

withisy roads road weather alerts are current for

Canberra, Tasmania and parts of

Victoria. Showers, small hail

and snow as cloud crosses NSW,

Victoria and also Tasmania and

cold westerly winds. A few

light showers are expected over

South Australia with a

south-west Western Australia, scattered cloud and also over

some clouds clipping that

region and the showers of up to

10mm hey around the Perth area.

Another cold day for the

south-east as a front crosses

the region. It is carrying icy

cold westerly winds and causing

snow to fall on low ground on

the NSW, Victoria and Tasmanian

ranges a high will continue to

keep Queensland and the

Northern Territory dry while

clearing most of the showers

from South Australia. For

Queensland today -

I'll see you in half an hour.

The top story on News

Breakfast - Indian students

have been on the street pros

testing for a second night in

Sydney and calling for greyer

place protection. One person

aboffensive weapon during a was charged with carrying

demonstration of 70 people at

Harris Park. The protesters

were angry about a spate of

attacks on Indian students.

Members of the Indian community

in Melbourne have written to

India's PM calling on him to intervene. We should be mindful

of their interests and a wide -

creating the situation, these

citizens of Australia of Indian

origin become the target of racist... Thufl has been going

on for some to imand security

and safety is a serious

mare. The police need to step

forward to ensure they can

address this law and order

situation before it escalates into something more

dangerous If you've got any

views or opinions on what's

happening in terms of Indian

students in Australia, you

students in Australia, you can:

In other new, an al-Qa'ida

suspect has been moved to New

York where he'll become the

first Guantanamo Bay prisoner

to face justice in an American

civil court. Ahmed Ghailani has

pleaded not guilty to charges

of conspireing to organise bomb

attacks on US embassy in Kenya

and Tanzania in 1998. He faces

a raft of charges including 224

councils of murder. Two

foreigners are reportedly among

at least 11 people killed in a

box attack on a hotel in the

Peshawar. Dozens of others were

injured when Germanmen

reportedly stormed the five

star Pearl Continental Hotel,

then set off a truck bomb

outside. It's the everyoneth

World Health Organisation says deadly bombing in a month. The

swine flu appears to have

reached pandemic proportions.

There are more than 1200

confirmed cases in Australia,

most of them are in Victoria

where a Grand Prix swimming

meet was cancelled last night

due to the outbreak. The

nation's chief health officers

meet in Sydney today to

consider raising Australia's

alert level to sustain, so

match Victoria's. Access

Economics has warned retailers

are in for a tough 18 months as

the effects of the Government's

cash handouts wear off. The

economics forecaster prebs

retail sales to fall by 0.3%

next financial year. The slump

will come as a result of rising

unemployment and a shift in

focus of stimulus spending towards infrastructure projects. Thousands of home

owners will miss out on an

$8,000 solar panel rebate after the Rudd Government scrapped

the plan three weeks early. The

system will be replaced from

today with an alternative

scheme, the renewable energy

sector and Opposition says the

movie will flow the industry

into chaos. The British PM

Gordon Brown has been showing

off his new Cabinet in the wake

of his disastrous European

election results. But one new European parliamentarian has

been given a less than warm

welcome, dozen of protesters

disrupted a press conference by

the British National Party

leader Nick Griffin. A our

correspondent Philip Williams

reports. Fresh from European electoral success, the British

National Party leader had just

started his press conference

outside the parliament when the

protesters suddenly

appeared. The zat ors who come

are from a group threw egg and

shouted anti-BMN slogans. They

vowed to confront Nick Griffin

wherever hears. The organise

serious osupported by trade

unions and MPs from all the

major political parties. Nick

Griffin had his own security

men bundling him towards a

waiting car, but the police

didn't appear to intervene. In

the space of three days, Nick

Griffin has gone from the

leader of a fringe far right

wing party with no MPs to one

of two BNP members of the

European parliament. He says

the disruption was a deliberate

attack supported which his

political opponents. Absolute

disgrace. We're there to have a

press conference and to answer

the awkward questions that the

media are entitled to ask and

people are entitled to hear the

answers to and to have that

stopped way mob is a great shame. Protesters say they'll

continue to demonstrate against

a man and a party they say is fascist, racist and anti-immigration. Half a

million pounds of funding, 2

million pounds of founds

however you get for being a

MEP. There's a list on the WNP

website of what they have now,

they're online, kind of

campaign has stepped up and we

need to step up ours too. The

BNP's electorate success ensurs

there'll be more clashes to

come as they try to spread

their word and the

demonstrators attempt to stop

them. Angry protesters have

taken to the streets of Seoul

demanding the release of two American journalists being held

in North Korea. The United

States is stepping up

diplomatic efforts to prove

vent the pair from serving 12

years hard labour in a North

Korean gulag. Fwreg preg Greg

reports. South Korea says

there's widespread concern

about Pyongyang's decision to sentence two American

journalists to 12 years hard

labour.. The feeling is also

clear on the streets of the

capital. Members of the

conservative krific group

chanted slogans and burnt

pictures of the North Korean

leader. They also burnt North

Korean flag as they demanded

the pair's immediate release.

TRANSLATION: It will never be

approved by nearly human rights

law and it is an act of

brutality committed by the

dictatorship. We strongly

uranium North Korea to immediately release Laura Ling

and Euna Lee and return them to

fair family in the United

States. The US is turning its

attention to diplomacy as a

mean of obtaining the women's

release, it's hoping to send an

envoy to negotiate with

Pyongyang.. Their detainment is

not something that we've linked

to other issues and we hope the

North Koreans don't do that

either. I think this is a

humanitarian issue. And these

women are innocent and should

be released to fair family. We

continue to seek the release of

the two detained journalists,

the two detained journalists,

on humanitarian grounds. Laura

Ling and Euna Lee were arrested

in March near North Korea's

border with China, where they

were reporting about the

trafficking of women. They've

been found guilty of hostile

acts and illegally entering

nork. The harsh sentence hand

down to the women is a now

challenge for the US President broom.

broom. - It's now feared the

military regime could use the

women as bargaining chips as

the United Nations debates a

new resolution toPyongyang. And

the results from this beak's European elections have shown,

the global financial crisis is

having a severe impact on

European economies. One country

that's been particularly hard

hit is the tiny Baltic state of

Latvia which embraced the free

market after the fall of the

Soviet Union. At one stage it

boasted the fastest growth rate

in Europe but now the bubble

has well and truly burst. MUSIC

Everybody's speak about

crisis. That's probably the

most common world in Latvia at

the moment. For many throughout

eastern Europe, it's a word

that's changing their life.

Economies across the region

have not only ground to a halt,

but are sliding becomewards but

few have fallen so fart and has

fast as Latvia. We are

projected between a 1 # and 15%

drop in GDP this year. Every

day hundreds head not outdoors

but to the state employment

agency sees main office to join

the ever growing queue of the

jobless. I was working for a

year and a half and just lost

it. 23-year-old dove dove dove

says he's keen to find another

job but until that happens he's

doing us more as 120,000 have

done of this country and

registering for unemployment

benefits. It was either that he

says or leave the country to

look for work. A lot of good

friends, have left country, not

so long time ago. USA, UK,

everywhere. Even my dad was trying. Unemployment rates goes

up by days, by weeks, not by

month or quarters as it used

month or quarters as it used to. Maris Ginters has been

tracking the rapid climb of the

job lest rate from less than 5%

a year ago to more than 11% now

and that rate is likely to

continue increasing and those queues will grow longer

still. We are speaking about

12.7% at the end of the year

but of course this is just one

number, we also say that it

could get up to 14%. It's all a

radical turn around for where

Latvia thought it was

headed. When we joined the EU

in 2004, something happened

that many of us maybe silently

hoped for but none of us

expected to such a great

extent, the tsh and the money

that flowed into Latvia in a

sense overwhelmed us. In 2007,

Latvia's GDP grew by an

astonishing 10%, but wages and

prices were way ahead of that,

climbing at an unsustainable

rate. We had it coming. I didn't expect that this would

all coincide with the global

financial crisis. We certainly

made matters much worse by

cutting off the access to

finance As money has dried up a

t predominantly form bampbs in

Latvia have within trying to

collect on loans much of the

country has come to a stand

still. This abandoned like this

are quite a common sight across

the city. Disglt one teatering

towards financial disasters,

and with so much foreign money

tied up here, it's

cash-strapped Government was

given a lifeline. A

given a lifeline. A $7.5 Euro

loan from the International

Monetary Fund. That didn't save

the Government from a severe

public backlash to the crisis.

The political turmoil led to

the collapse of the country's

Coalition Government and the

resignation of the PM. By parliamentarian Krisjanis

Karins, a member of the new

Coalition Government, says what

is more uraniument than ever is

the need to drastically cut

national spending and to

somehow defence the public that

it needs to be done. If a majority of the population

doesn't think that you need to

reduce anything, then it will

be impossible, so it's all a

question of offering up

evidence that we actually need

to do this and we actually do

need to do this Few few vat

vans have been harder hit than

dairy farmers. Toms Knope is up

against the elements, di

mipishing ex port and a plummeting domestic price for

his milk. Good year we have

something, about 22, sometimes

for a litre but anyhow we ge

12.5 here. I need the minimum,

something about 17, 17. So

you're losing money to produce

milk? Yes, of course. But we

can't stop now. And it's left

some farmers wondering with vat

van milk has a place in Europe

and if they themselves have a

future on the land.. We need to

know in the future, we don't live for tomorrow,

live for tomorrow, only. While

former communist countries leer

in Europe have enjoyed varying

degrees of economic success

there's a growing concern that

the crisis could lead to a

split on the continent once

more, creating a new iron

curtain, here in Latvia,

politician Krisjanis Karins is

hopeful that that won't hope,

but he does believe the

turnence will provoke countries

to seriously think about what

it means to be part of

Europe. It will be a question

of how open economies should

be, how unified Europe should

be or shouldn't be. We could

be talking about a very deep

and very long recession. In

this country. And politically

there is a question of whether

the system will stand it.

Moscow correspondent Scott

Bev yap there. You're watching

these, the stop stories this

morning - Indian students have

staged another overnight

protest in Sydney's west,

calling for greater police

protection. One person was

charged with carrying an

offensive weapon during a

demonstration of 70 people at

Harris Park. Protesters are

angry about attack on Indian

students in Sydney and

Melbourne. An al-Qa'ida suspect

has become the first Guantanamo

Bay prisoner to face an

American civil court, Ahmed

Ghailani has pleaded not guilty

to charges of conspireing to

organise bomb attacks on US

embassy in Kenya and Tanzania

in 1998. Two formers are

reportedly among at least 11

people killed in a bomb attack

on a lunchry hotel in the

Pakistani city of Peshawar.

Dozens of others were injured

when gunmen stormed the five star Pearl Continental Hotel

then set off a truck bomb

outside.

For a look at the national

papers today we're joined by Dr

Scott Burchill from the School of International Relations and

Political Studies at Deakin

University. Good morning. Good

morning. What have you got for

us today? We'll start this

morning with the protests of

Indian students which is

reached the point where Indian

student leaders have now Iran

to the Indian PM, yg to be

rescued from racist attacks. We

might have thought this is an

exaggerated story but I was lag

through Bloomberg news service

last night and this is a major

story on the international

wires ises. Foreign students

are an enormous export, one of

our larmest export markets so

this is a really worrying

development and I think we have

to be very concerned about the

fallout of this for the ability

of Australian universities in

particular to attract foreign

students from India in the future. And what's the article

in particular that you're

looking at there? This is from

the 'Age' and it talks about

the Indian student leader

writing to Indian PM Singh

asking to be rescued from these

racist attacks. There's a

picture of them at the train station last night is

it? That's right. This was - I

think this is in St Albans but

there's also protest in the news this morning from Sydney

last night. We've got protests

not just in Melbourne, and this

is I think a real threat to our

foreign student market, which most universities in Australia

are very dependent on for

foreign revenue How has this

issue been dealt with up to

this point?. There's aye

assurances from our embassies

that these are isolated int

dents and shouldn't be taep as indicating exactly how the

stups from India and Australia

fare here but the universities

are worried. My own university

has tried to reassure its

Indian students that they're

safe and will be treated with

respect. I mam all the other 33

universities in the cup are cog

the same thing. That doesn't

seem to be working at the moment. The tension does seem

to be building and something's

got to be done to try and take

the heat out of this? It does.

The protests in the streets,

particularly the one in

Melbourne, last week, drew a

lot of media attention around

the world and those sort of

things just give terrible

publicity, no matter how

legitimate the protests might

be, it gives the impression

that Indian students are being singled out in Melbourne and

Sydney for attacks and that's

something that we really just

don't need We've heard that

some Indian students are saying

they didn't feel threatened in

Australia up until now but when

they hear of this and see all

these protests they do feel,

have a sense of fear? It

becomes a self-fullfy filling

prophecy doesn't it, that

people think that maybe there

are only a few isolated

incident bus then the pub -

publicity building that. A lot

of students, Indian students

have been exproited by some of

the more dubious educational

authorities, in other areas as

well as the attacks on Indian taxi drivers that we're

familiar with as well so it

call goes into the same mix,

giving a terrible impression,

unfortunately, this is a story

which has reached the outside

world. Not just in domestic news. You're also having a look

a superannuation this

morning? Yes, when we get our

superannuation statements soon

we're going to be very upset.

The report on the front page of

the 'Financial Review' this

morning says that we can expect

upwards of 13% reduced holdings

in superannuation funds as a

result of the global financial

crisis. Now, we're still be

paying our funds managers their

fees for managing these amounts

but we'll watch the amount go

down and down And that cops on

the back of a 7% drop in the

statements last year? Exactly.

We thought that was a worry but

we of course were told to

prepare for even worse

statistics and this is what

we'll get now. Even those funds

where the money's invested very

kons yifrl by the fund's

managers have taken a real

blow. The fefkts are not just people's financial holdings

have gone down, it's going to

delay the time in which people

retire because when they look

at their funds and re-do their calculations they'll realise

they can't afford to retire

yet. This is a real worry and I

think that a lot of people will

get a shock when they get their

statements in the mail over the

next couple of months. Going to

be a lot more people staying in

the workforce

longer. So. Private schools get

their funding? Front page of

the 'Australian' this morning,

the Education Minister Julia

Gillard is happeneding out

money all around the place,

including millions of dollars

to wealthy private schools. As

part of the stimulation package

and saving education revolution

as she calls it. I was always

interested to hear how this

split was going to work out between the private and the

public schools and there is a

bit of a percentage break

council in there as well. You

might have thought that they

have means tested some of, this

they might have adjusted

according to the school wealth.

Some of these private schools

are floating their own accounts

on foreign exchange markets

around the world and stock

exchanges in Hong Kong and t

yet they're getting millions of

dollars for squash courts and

educational facilities that are

already I think at the very top

of the quality scale. Julia

Gillard has indicated she wants

to be at the opening of each

new facility. She'll be

busy? There are 9 h00 of these.

She'll be busy for the next

four or five five years. I can

see why she want want to get

her sound piet on the night

news but, you know, honestly,

this is getting spin according

toing to a ridiculous extent,

isn't it, really The percentage

breakup is 63% is going to

public school, 17 to private it

says and 20 to Kath Crick. I'm

not sure why the Catholics are

different from private, so 63%

to public. It will be

interesting to see what the

actual split is in terms of

totally number of students who

go to public schools as opposed

to prooif.. They've tried to

neutralise the issue by saying

that they're not discriminating

against private schools,

whether they're elite or

Catholic, they're just going to

give everyone a bit of money so

there won't be that social

division or those questions

asked in particular as a result

of Labor's previous policy

under Mr Latham which did

single out elite private

schools for funding cuts. I

think Julia Gillard is kermed

to make sure that is determined

to make sure that there isn't a

repeat of that problem. What

can the schools use the money

for? These are on a needs

basis, but some of these

schools don't actually need the

money, but it will be

beneficial to them to finish

off some building programs and

funds that have been committed

in advance, but with when you

commar the state of some of the

Government schools in inner

suburban Sydney and Melbourne,

with some of the facilities

available at some of the

private schools mentioned in

the article, there's a huge gap

between the two groups and

these fund also help everyone

but they're not going to take

in account the real needs of

each school I think It looks

like we could be headed for

another good old union versus

Labor Party bingle?. Well, the front page of the 'Australian'

suggests that the unions in the building industry certainly

want to be rewarded for their

support for getting Mr Rudd elected. You can't blame them I

guess. They campaigned

vigorously against Mr Howard IR

law and would claim a lot of

credit for getting more rudd

over the line and it's now cash

up time. We got you here, now

it's time for you to deliver

not just on IR reforms but on a

further raft of concerns. They

got what they wanted and now

they want more? In particular

the building industry want some

of the restrictions in the

construction industry on

organising to be lifted, Mr

Rudd has said that he won't do

it and I think the right wing

unions in the ACTU have said

that it's a no-brainer, we

won't go there but that won't

be the end of the story. And

Julia Gillard has told unions

to get back in their box as well On the other hand she's

saying thanks for your help but

orpd she's got to say, "Don't

give us any grief." A lot of

that is public relations, not a

lot to do with policy. Scott Burchill thank you for coming

in. Thank you. A remind they're

you can watch all of News

Breakfast streamed live every

morning if you've got the time.

Now with sport and some sock

ro news here is Paul

Kennedy. The Socceroos will use

the World Cup qualifier against

Bahrain tonight to celebrate

their entry into South Africa

2010. Pim Verbeek says it's not

a friendly and his team should

may with intensity but with

injury to players including

Josh Kennedy and the suspension

of captain Lucas Neill will

force up to five changes. The

Netter lanes couldn't match

Ireland's feet of making the Twenty20 super-8les, despite

the opening bowler becoming the

fastest bowler in the tournament. That delivery

150km/h. Pakistan made 175 and

the Dutch could only make 93 in

reply. The Wallabies have

selected James O'Connor to

start against Italy on the

weekend. Robbie Deans has

charged the Western Force

fullback to earn his place in

the team. He thooks foods. And

now, I just want to make a

quick comment on Joel Clinton,

the Brisbane player fined

$50,000 for for taking a woman

into his hotel room the night

before a game. I wonder what

the late George Best would

think of. This George Best who played for Manchester United in

the 60s and 70s, there's

Georgie boy. He once said, "I

spent a lot of much on booze,

birds and fast cars and the

rest ejust squapderred. He had

long standing friendship with

Sir Michael Parkinson. I read a

book by Parkin son on a book he

wrote, it was called an

intimate biography and one day

op Parkin son's show he said to

him, twat what was the near

toast kick-off that you made

love to women." He said, "I

think it was at half-time." He

called his autobiography

'Scoring at half-time'. Georgie

Best would shake his head at

that $50,000 fine. With these

players earning so much money,

if they want to have an impact

with the penalties they impose,

they've got to raise it to that

amount if the players are going

to take notice. That's true.

I'm not criticising the fine,

that's up to the code but I

think if you need to change the

culture of a club or a code,

you need to be really tough.

But it is a sign of the times.

And I just wanted to make

another quick mention - Dirk nannis, he should be playing

for Australia, he bowls faster

than Brett Lee, Fidel Edwards,

he has to play for the Netter lands because Australia didn't

pick him. It was Australia

giving Brett Lee another go

before the ashes but they need

to change their mind set. We'll

just declare that you're a Victorian. That's right. Thank you. Here's Vanessa O'Hanlon

with a look at the

weather. Thank you. There's

some rain at the moment over

Western Australia. Around 1 #mm

has fall yep over Bunbury. We

have showers, small hail and

also westerly winds moving

across the south-east today as

cloud coverage continues

throughout that region of NSW,

Victoria and Tasmania. And with

cloud clipping south-west

Western Australia rg there h

also be a few showers. We have

this cold front moving through,

higher up into NSW along the

south coast and Australiaing

sphou to fall on low ground on

the NSW, Victoria and Tasmania

ranges. A high will continue to

keep Queensland and also the

Northern Territory dry and a

few showers just over South

Australia. For Queensland -

Still ahead on News Breakfast

- we'll be speaking to the

editor of an Indian student

magazine who sent a letter

directly othe PM, Manmoham

Singh. He is asking the PM to rescue Indian students from the

situation in Australia. That's

coming up after this short

break.

Another night of protests in

Sydney's west as Indian

students call for better protection from

police. Foreigners are among at

least 11 people killed in a pom

attack on a luxury hotel in Pakistan. The first Guantanamo

Bayteror suspect to it's a US

civil court arrives in New

York. And the Socceroos to

celebrate their World Cup berth

when they face Bahrain in front

of a home crowd in Sydney

tonight.

Good morning. It's Wednesday

10 June. I'm Tamara Oudyn. And

I'm Joe O'Brien. The top story

- Indian students have called

for greater police protection

after a second night of

protests in Sydney's west. One

person was charged with

carrying an offensive weapon

during a demonstration of 70

people at Harris Park. The

protesters were angry about a

spate of attacks on Indian

students. Members of the Indian

community in Melbourne have

written to India's PM calling

on him to intervene. Should be

mindful of their interests and

a... Creating the situation,

will these citizens of

Australia, of Indian Originin,

become the target of racist

intolerance. Unfortunately this

has been going on for some time

and security and safety is a

serious matter, which I hope

will be addressed as quickly as

possible. The police needs to

step forward to ensure that

they can address this law and

order situation before it

escalates into something m