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ABC News Breakfast -

View in ParlView

(generated from captions) This Program is Captioned Live. Simon Crean's trade

mission to China takes a

backseat as the PM says the

Stern Hu affair is more important. Former Liberian President Charles Taylor goes

on trial and denies he

committed war crimes. The

Federal Environment Minister is

under fire about the approval

of another uranium mine in

South Australia. And Queensland

goes for a clean sweep in the

last Origin match in Brisbane.

Good morning. It's Wednesday

15 July. I'm Virginia Trioli.

And I'm Barrie Cassidy. The top

story on News Breakfast - the

PM has defended his handling of

a Rio Tinto executive detained

in China. The Opposition says

Kevin Rudd doesn't want to get

involved for fear of upsetting

commercial relations with China. Australian Trade

Minister Simon Crean is in the

country on a trade mission but

the Stern Hu spy affair has overshadowed talks as Tom

Iggulden reports. Simon Crean's

timing couldn't have been

worse. His mission to China is

meant to strengthen ties,

instead he's been embroi

broiled in the widening Chinese

investigation into the

activities of senior Rio Tinto

executive Stern Hu. I couldn't

come here on an issue to deal

with trade and not also raise

with the most senior officials

that we could get the issue. But the Chinese Government still not saying

what that's got on the Rio

Tinto executive it arrested

aweek ago. Mr Crean's been

granted ... The person in

question is number three in the

Government in terms of those

authorised to talk with

foreigners. Mr Crean's

itinerary has included a

meeting with one of China's

wiggest steelmakers and a major

Rio Tinto customer. When the

closed door meeting finished we

asked Wuhan Iron and Steel

meeting about the case but got

no response. Along with Mr Hu several executives from Chinese

steelmakers have been arrested

as the probe into ire ore price

negotiations widens. Mr Deng

Qilin wouldn't say whether his

executives are among them. The

Stern Hu controversy is now

overshadowing the Trade

Minister to China just as it's

threatening to swamp all of

official's official relations

with Beijing. In other news the

former Liberian President

Charles Taylor has denied war

crime charges against him at

his trial at the Hague. Charles

Taylor is accused of directing

rebel groups from Liberian to

seize control of Sierra Leone

diamond mines. He's charged

with murder, terrorism rape and

the torture of thousands of

civilians in Sierra Leone. The Federal Environment Minister

has defended the Government's

approval of a any uranium mine

in South Australia. The

Opposition has accused Peter

Garrett of contradicting his

past messages against uranium

mining in Australia. The four

mile uranium mine will be built

about 500 kilometres north of

Adelaide. It's expected to open

early next year. Months of being rocked by Wall Street's

worst financial crisis, US

banking giant Goldman Sachs has

completed a stunning turn

around. It's announced a second

quarter profit of more than $4 billion, the global financial

crisis last year forced the

company to accept almost $1 p

billion in Government loans.

That debt has now been paid

off. The country's Chief

Medical Officer says he's

alarmed at how swine flu is

affecting young healthy

Australians. Six people under

the age of 40 are on life

support in a Sydney hospital.

The who's has reveal prod

duction of the swine flu

vaccine is behind schedule. The

Federal Government has order 21

million doses of the drug

expected to arrive in October.

Two French officials have been

kidnapped in Somali. They were

working as security advisors to

the Government. The French

Foreign Minister says the men

were on an official conduct

when they were taken from their

hotel in Mogadishu. Returning

now to our stair on the Rio

Tinto executive detained in

China. Kevin Rudd says the

interests of Stern Hu are more important than Australia's

economic relations with China.

Nick Harmsen, good morning,

take us through what the PM has

had to say on this, he's

sounding a little tougher

now? Well Virginia yesterday he

went on ABC Radio essentially

to come out and slap down the

Opposition which for the past

week has been saying that the

PM should use his Mandarin and

pick up the phone and speak to

the Chinese Government about

Stern Hu. Kevin Rudd in his

interview yesterday revealed he

had spoken to a Chinese

Government official when he was

in Italy last week. He spoke to

a vice Foreign Minister in

Italy. He also revealed that

the Foreign Affairs Minister

to another vice Foreign Stephen Smith will be speaking

Minister at a conference in

Egypt he's attending this

week. Another story that seems

to be capturing headlines is

the fact that the Government

has now approved a fourth

uranium mine and the job of

approving that and announcing

it fell to one Peter

Garrett? That's right. Making

headlines, he's given the

headline writers plenty of

material, Peter Garrett, blue

sky mine amoved, power and less

passioning I saw this morning,

that's right, the former one

time head of the Australian

Conservation Foundation and the

founder of the nuclear

disarmament party has approved

Australia's fourth uranium mine

in outback South Australia.

It's interesting to note that

only two years ago when Labor

overturned it three mine

policy, Peter Garrett was

campaigning against uranium

mining, he is now bound by

party policy so it's up to the

Greens to say what Peter

Garrett once would have said

and here is what Bob Brown had

to say. There is no good point

to this arrangement. It's a

mine that's going ahead in a

particular already beautiful

part of South Australia which

is going to contaminate for an

incredibly long period of time

that environment, particularly

the akyer if under it which ices technology that's not

allowed in the company's home

country of the United States

and which is going to export

the profits out of this

country. That is a terrible

deal. That one is yet to play

out and we'll have a debate on

the matter here on the News

Breakfast this morning.

Finally, some interesting

analysis has been done on the

number and the amount of

donations given to Malcolm

Turnbull and the

Opposition? That's right. You

might remember in the lead-up

to the last election there was

a locate focus on the fact that

Labor was raising a lot more

money than the Coalition, but

it seems that Malcolm Turnbull

himself in his own campaign did

OK, since 2007 he's raised $1.4

million in his Wentworth forum

which is basically the

fundraiser for him in his

electorate. Some of thedomors,

some big name, Kerry Stokes,

Ros Packer, this analysis was

done by an am deckic in NSW.

Most of the donations it seems

were before the last election.

Interesting to see how he's

travelling now. Nick Harmsen,

thank you so much. That's the

question - to what extent the

donors have returned to the

Coalition. Any insight

there? There was plenty of

money around before the last

election and that was spent in

Wentworth of course and he won

Wentworth. It's going to be a

constant battle for him though.

He can't assume with a seat

like Wentworth that you can

just spend your time around the

rest of the country. John Howard discovered that at the

last election. Even if you do have very wealthy

neighbours. Returning now to our story on swine flu - there

are fresh concerns that swine

flu is having a devastating

effect on young previously

healthy people. Six young

people are now on life support

in one Sydney hospital alone.

Michael Troy reports. The world

health organisation now

describes the H 16789 N 1

pandemic as unstoppable. An

ominous warning as severe cases

fill intensive carry cases

across the country. It's been a

surprise to us that quite a few

of those patients with

catastrophicry spiritory

failure have in fact been young

healthy individuals whose only

obvious problem is that they be

a little bit overweight. New

research on animals shows the

virus can penerate deep into

the lung, causing severe

damage. In the normal X-ray

after lungs the black area

represents healthy air Sachs

but for a 20-year-old swine flu

patient flown to Sydney last

night it's a very different story. With that whiteness representing fluid in the air

sacs and hence the difficulty

with our ventulators getting

oxygen into that patient's oxygen into that patient's

lungs. In self-cases

ventulating patients hasn't

worked and the blood had to be

pumped out of their body,

artificially reoxygenated and

returned. So we can keep them

alive to buy time. Ventilators

are in short smie and elective

originary is being postponed to

free them up. Production of the

vaccine too much slower than

anticipated leaving people

unprotected for now. If only 1

in 100,000 people die for

instance, in 2 million people get infected that's still 20

people who will die from this.

We need to stop the spread as

much as we can. Worldwide

that's proving a challenge. In

England, panic is growing as

its - as 70 have died. The

latest victims are Bedfordshire

doctor and a 6-year-old school

from this school in north-west

land. It's an exceptional sit

of cicrumstances. This is a

little girl unwho until a few

days ago in all our minds was a

child that was perfectly healthy, so everybody here is

in a deep state of

shock. Authorities remain

focussed on the positive,

saying the virus has not

mutated a from past experience

no more than 35% of the population will be

infected. The more exposure one

has to a virus that's even

distantly related, the more

chance you'll have some degree

of immunity. Older people like

myself may well have some

resistance to this virus. The

Australian Government is

drawing up a priority list for

vaccine distribution when

supplies become available

around October. We'll take a

look at the front pages of the

major up ins now. Than is says

small businesses are angry

about the slow rollout of the

Government jobs fund. It also reports on a recommendation to

lift import restrictions on books. The 'Financial Review'

reports on a looming wage patle

as the State and Territories

try to cap wage increases for

public vervants. The the 'Age' reports on news that environment Minister Peter

Garrett has approved a new

nuclear mine in South

Australia. The 'Herald Sun'

says parents and AFL identities

are outraged that criticism of

an under 10 footy side has been

published on a club website.

The paper also has picks of two

orphaned Wallabies. The 'Sydney

Morning Herald' says overseas

trade students are being forced

to work free as part of their

course. It also has a story

about wealthy contributors

supporting Malcolm Turnbull's

electorate fund. The 'Daily

Telegraph' says the Federal

Government is planning to sell

off large chunks of real estate

now being used as school ovals.

It has also a large pirkt of NSW State of Origin player

Craig Wing. The South

Australia's. The 'Advertiser'

also reports the highest July

rainfalls in 20 years.

Overburdened docialgs are

resorting to quick clinic

consultations to cope with

increasing swine flu cases

according to the 'Canberra

Times'. The 'Courier-Mail' says

the State Government is being

forced to redraft its gambling

laws. The 'Mercury' has a story

about bad drivers with a

picture of one mother who was

clocked doing 9 #km/h in a 50

zop with her children in the

back. And that's one hell of a

photograph there on page one of

the 'Mercury' and the 'Northern

Territory News' shus pick of a

crocodile circumstanceling a

submerged four-wheel drive. The

tourist driver managed to bail

out safely. This is a story

that turned up everywhere

yesterday didn't it, whenever

you looked at any website

anywhere, this story of a

tourist who managed to submerge

the four-wheel drive in a krork

infested river,. She thought

she'd found a low river

crossing but in fact was a boat

ramp, so went straight into the

water. She swam out through the

window and didn't realise till

afterwards that the waters were

infested with crocodiles. And

she made it out alive. If you'd

like to send us your feedback

on any news stories -

The top stories on News

Breakfast - the PM has defended

his handling of a Rio executive

detained in China accused of

spying. Simon Crean has raised

the issue of Stern Hu while on

the trade mission to China. The former Liberian President

Charles Taylor has denied war

crimes charges against him

during his trial at the Hague.

He's accused of directing rebel

groups from Liberian to seize

control of sloep's diamond mines.

The - seize of - control of

sloep's diamond mines. Of

Sierra Leone's diamond

mines. The cost of books could

fall after the productivity

commiltion recommended that the

Government end a ban on importing books published

overseas. The commission

rejected claims by authors Tim Winton, Bryce Courtney and

Peter Carey that restrictions

protect Australian writing and

culture. Michael Vincent

reports. It's a fight between

buyers budgets and writers

wages. The Australian

publishing industry say thest

is success of future authors

now hangs in the balance. I

think it's quite an

extraordinary report given the

commissions of the Productivity

Commission received on this

question, almost every book

seller in the country, all of

Australia's writers, all of Australian publishers argued

against the abolition of

territorial copyright and we

discover now that all of that

discussion and debate and

information that was shared with the Productivity Commission has come to

nought. But the self-titled

Coalition for cheaper books

which argued for the change

isn't happy either. The

commission recommended that cheaper imports be allowed

after three years grace. The

report suggesting to Government

that they remove the parallel

importation restrictions, we think that's critically important but for the Australian consumers to have to

wait three years for it to

happen, is unreasonable. The

Productivity Commission has

decided buying a book off the

shelf is too expensive. Long

time consumer advocates

agree. Australians have been

paying through the nose for

books for years, about 20%

higher on average. It's about

as bad as it can get because completely opening the market

will have a savage knock-on

effect to local writers,

particularly developing writers. If parallel impores

were allowed, they'd be allowed

to dump them back here, sell

them at a discounted price, pay

the author potentially no

royalties or maybe up to 25% of

the normal. Australian rights

are fundamental to the

maintenance of our literary

culture, our publishing, our

plipting, our writing and

teaching, god help me even our

revowing. For writers this is

the cornerstone of our fair

go. But all is fair in this war

of words. Costs from the UK to

my home $14.95 Australian. Book

shop cost - $24.95. 66%

higher. Where is the voice for

the consumer? The average book

sale is $35. Now that's a

significant commitment from an

Australian family. Writers

believe this is not about

cheaper books but bigger margins. In the English speaking world New Zealand is

the only country to have

abolished its protections, the

US, UK and Canada have kept

theirs. We've seen the case in New Zealand, New Zealand

market's been open for 12

months, sorry, for ten years,

and authors have continued to

prosper and publishing has as

well. How many New Zealand

writers under 50 have you been

reading lately? It's a lot

harder to get published there, when the New Zealand

Government's equivalent of the

Productivity Commission

reviewed that five years later

they found that the onlier ises

of the market that were thrive

wrg coffee table books with

landscape pictures and books on

rugby. We can't have that. The

Government will now have to

decide if it accepts the

challenges. If it does the

upcoming PM's literary awards

ceremony could be a much less

jovial affair. Consumers

shouldn't get too excited

because the changes don't kick

in for another three years..

That's quite some delay. The

only contradiction I can see in

what the Productivity

Commission is recommending is

that this territorial copyright

is abolished but at the same

time in order to keep the

pushing industry in alive

subsidy also remain in police

place. The publishing industry

says look, you're subs diedzing

so what we really wanted was to

retain copyright. That is

better for us.

Though from the consumer's

point of view a better approach to directly subsidise the industry and then halve the

price of a book. That's

effectively what will happen.

Most books will be half price. The price differential

is really astonishing,

particularly if you ever go online and have a

look. Cochlear was one of the

few stocks to be punished

yesterday after downgrading it

profit guidance for the year to

June. The company blames the

result on foreign exchange

losses and a drop in sales to China. Neal Woolrich

rors. Cochlear has been one of

Australia's export success

stories over several years but

even it is feeling pain from

the economic slowdown. The

hearing implant maker is

forecaster core earnings of

$137 million for the financial

year to June, up 12% on 2008.

But that's below the company's

February guidance of 15 to 20%

growth. Cochlear says the

downgrade was caused by $17

million in foreign exchange

losses and the failure to make

a sale this financial year

under its highly volatile

contract to supply donated

products to China. The fact

that we've seen slower unit

sales growth really comes as no

surprise. We saw that in the

first half and we certainly

expected that to come into the

second half. Which is exactly

what's occurred so I think the

rp for the downgrade are much

more mechanical that than

that UBS health care analysts

have placed a buy

recommendation on the stock and

expect solid revenue growth

from its product launches in

the 2010 financial year. The

new Cochlear implant system is

launching in Europe right now,

we do expect it to launch in

the US sometime before the end

of this calendar year. We've

been doing a bit of a look

around the industry and talking

to people around the industry

and been able to note genuine

excitement and enthusiasm for

these new products. However

other investors were not

impressed with the revised

guidance and pushed the price

down 4% compared to a gain of

3% across the wider

market. No-one has been really

expecting a strong financial

year 0 # results, I think our

buy recommendation is in spite

of the 0 # are result rather

than because it. It's the old

thing this the market. You always think bad new social

security priced in until it

happens. We're seeing some good

indicators in the domestic

economy suggesting that other

asset classes could be

performing a bit better than

originally expected. While

Cochlear felt an investor back

lash the health care sector has

held up better than most during

the 18 month adjourn turn. The

All Ords has lost 44% from its

2007 peak, but leading health

care stocks have registered

less severe falls. Darren Grubb

says hell care stocks are

viewed as less exposed to the

economic cycle The key factor

that's allowed the stock price

of some of these companies to

perform has not been so much

the revenues that they could

Johnny Depperate, but the

amount of capital that that -

that they could generate. But

credit remains tight and those

smaller biotech firms that are

a long way from completing

complainical trial could stale

face tough times ahead. To the

figures now -

Vanessa O'Hanlon will join us

shortly for a hook at the

national weather.. And also

ahead we'll have a review of

the some of the newspapers.

This morning we'll be joined by Nicole Brady, the Editor of the Green Guide at the 'Age' newspaper. For now for all the

sport here is Paul Kennedy. Thank you. Good

morning. Preparations for State

of Origin 3 are almost

complete, Queensland will

tonight try to sweep the series

for the first time since 19t t

95. The Blues are playing for

pride and insist they can cause

an upset. The coaches have had

their final say about the

upcoming game, Craig Bellamy

was asked whether Kurt Gidley

would play and whether the Blues would risk being driven

to the game past the catch

tonne hotel, rugby league's

version of running with the

bulls. We'll give him to game

time. We're pretty confident he'll have an injection were

the game, again, we'll give

them the right to go up to

warm-up. Don't think we're too

far away from them. Just a

couple of tweaks here a there

and hopefully we'll be a bit

better in the tough times. We

have the bus driver takes uses

a long as he getses through on

time. What about past the catch

tonne, obviously it's pretty

emotional moment. That's up to

the bus driver. He's a very

important part of our team. A

bit nervous. We know that NSW

can be very committed, we know

it's going to be a fairly

physical encount er. I'm a bit

nervous on the evening of a big

match for us. It's nice to come

to the home field and home

state to be successful and hold

the shield up tomorrow night,

being winners, so it's a bit

nervous about our prep, but

been fairly relatched. The

Hockeyroos tied 2-2 with China

in the Champions Trophy last

night. It leaves the hosts

struggling in a tournament they

had hoped to win. Here are the goals. COMMENTATOR: Perhaps lucky to

get away with that rifted ball.

Very, very good cross and

Ashley Nelson... Runs at the

circle on her he verse will

take the shot and he's put it

in. Ping ling, off the post. A

touch and finally goes in. The

Chinese player is... Sprint star Mark Cavendish won the

tenth stage of the Tour de

France this morning. Tafls a

flat stage so the overis all

sandings haven't changed. Let's

look at the race to the

line. That was a wide corner

and he didn't make the bend,

somebody shot off to the left

on a very sharp right-hander.

They let Cavendish go. If he

gets the lead, nobody ever

passes him. He's gone again,

now he's kick again and look at

the face of Hushovd. He's

beaten. He's trying to hang for

second place as Mark Cavendish

crosses the line followed by

Hushovd. It was OK actually. I

needed a rest day yesterday. It

was good. Everyone was fresh

today. You saw my team rode

well again, they were

determined after the pir knees

and that was for the reason to

come and win more statements.

We took the race on again today

and a tough little finish, but

they delivered me perfect. I

was off to hold Hushovd off.

Nice. It's always nice to hold

the god of thunder off, wasn't

fast enough to beat Mark

Cavendish, that's his third

stage win of the tour and looks

a dead set favourite for the

green jersey now. They did that

with the ear pieces

yesterday. They did. There was

no dramas at all. No reason

controversy to come out of last

night, just that minor crash

towards the end as they raced

to the lean. Supervisorer - to

the line. State of Origin

tonight, if NSW lose, that

would be their lowest point

since the series began in 1980

because they will have been

swept clean in the series and

four series losses on the

trot? Starting to fall behind

that win-loss ratio that used

to be a seesawing thing. Used

to be line ball but starting to

fall behind now although I

think the Blues have nothing to

lose tonight. They go into

hostile territory and they can

probably play with a freedom

that they didn't have in game

one and two. Interesting to

hear Darren Lockyer talking

about the hosting of the State

of Origin again. Now that

there's a bit of time between

when Melbourne hosted the game

one and now game three he said

it really should be kept

between Sydney and Brisbane

from now on. Of course, he's

looking forward to playing a

home Origin game and might be

his last, who knows. It's the

best promotional tool they have

and that's why what I they go

to Melbourne occasionally. That's right. News Breakfast can be watched

live on the web from

anywhere. Now Vanessa O'Hanlon

joins us for the weather. Good

morning. Statistically this is

the coldest week of the year,

certainly living up to its

expectations. A couple of very

cold days ahead. From the

satellite we can see some

patchy cloud and also showers

for inland NSW. Cloud is moving

over the southern coasts in

onshore winds causing a few

showers and the odd storm and

with a belt of high pressure, a

mostly dry day for the north

and also the west after a cold

and wet few days in South

Australia a ridge of high

pressure will start to ease the

showers and cold south-westerly

winds, a trough and cold pool

is moving further into the east

causing patchy rain and there

is if chance of some warmer

temperatures until the cold

front moves through on

Saturday. For Western Australia

cold front will approach from

the west this afternoon

developing showers,.

The top story on News

Breakfast - the PM has defended

his handling of a Rio executive

detained in China accused of

spying. The Opposition says

Kevin Rudd doesn't want to get

involved for fear of upsetting

commercial relations with China. Australian Trade Minister Simon Crean is in the

country, in China, on a trade

mation but the Stern Hu spy

affair has overshadowed talks

as Tom Iggulden reports. Simon

Crean's timing couldn't have

been worse. His mission to

China's meant to strengthen

ties to Australia's most

important trade partner,

instead he's been embroiled in

the widening Chinese

investigation into the

activities of senior Rio Tinto

executive Stern Hu. I couldn't

come here on an issue to deal

with trade and not also raise

with the most senior officials

that we could get the

issue. But the Chinese

Government say not saying what

it's got on the Rio executive

who it arrested a week ago. Mr

Crean's only been granted

within audience with low level

officials about the case since

then but denies he's been

fobbed off. The person in

question is number three in the

Government in terms of those

authorised to talk with

foreigners. Mr Crean's

itinerary has included a

meeting with one of China's

biggest steelmakers and a major

Rio Tinto customer. When the

closed door meeting finished we

asked Wuhan Iron and Steel's

executive about the meeting

through an interpreter but not

no response. Along with Mr Hu

several executives from Chinese

steelmakers have been arrested

as the probe into iron ore

price negotiations widen t, Mr

Deng wouldn't say whether his

executives are among them. The

Stern Hu controversy is now

overshadowing Simon Crean's

trade mission to China just as

it's threatening to swamp all

of Australia's official

relations with Beijing. Here is

now you can contribute to News

Breakfast - you can send an

email to -

In other news this morning

the former Liberian President

Charles Taylor has denied war

crimes charges against him at

his trial at the Hague. Charles

Taylor is accused of directing

rebel groups from Liberian to

seize control of Sierra Leone's

diamond mines. He's charged

with murder, terrorism, rape,

and the torture of thousands of

civilians in Sierra Leone. The

Federal Environment Minister

has defended the Government's

approval of a new uranium mine

in South Australia. The Opposition has accused Prague

of contra diting his past

messages about uranium mining

in Australia. The four mile uranium mine will be built

about 500 kilometres north of

Adelaide and it's expected to

open early next year. Months

after being rocked by Wall

Street's worst financial

crisis, US banking giant

Goldman Sachs has completed a

stunning turn around. It's

announced a second quarter part

of more than $4 billion. The global financial crisis last

year forced the company to

except almost $13 billion in

Government lopes and that dent

has now been repaid. The cup's

Chief Medical Officer says he's

alarmed at how swine flu is

affecting young, healthy

Australians. Six people under

the age of 40 are on life

support in a Sydney hospital.

The WHO has revealed production

of the swine flu vaccine is behind screeld. The Federal

Government has ordered 21

million doses of the drug which

is expected to arrive in

October. And two French

officials have been kidnapped

in Somali. They were working as

security advisers to the Somali Government. The French Foreign

Minister says the men were on

an official mission when they

were abducted by a group of

armed men. They were taken from their hotel in a Government

held part of the capital,

Mogadishu. The bodies of eight

British soldiers killed in

Afghanistan have returned home

to the UK. Crowds lined the

streets to pay their respects

to the soldiers who died in the bloodiest period for British

forces since the conflict

began. In the skies over RAF

Lyneham the plane carrying the

bodies of eight British

soldiers. Making a final

journey home. All died in the

army's bloodiest day in Helmand

since the campaign began. Then,

the last post rang out. As on

the tarmac the cough yips of

the eight men draped in the

union flag were lifted gently

from the plane by their

comrades. The first, the coffin of corporal Lee Scott,

26-year-olds old. Described by

his wife Nicky as her best

friend and father who will live

on through his two children, Ky

and Brook. Then, private John

Blackpool. He was 27 and also

leaves a young son. His

comrades remember his smile.

And the man who kept them going

when times got tough. He'd

volunteered to two to

volunteered to two to Helmand.

And corporal John than Horn, he

was 18 and leaves a widow and

two children. He died leaving

his four young comrades doing a

job he loved.. He was proud to

lead them, he said he was the

dad and I was his children

because he was so Geelong but

that was his pride. He had to

look after them, just like his

family how he looked after us

back at home. And rifleman Dan

ill simpson, just 20 when he

dad, leaving his girlfriend and

8-month-old son Alfie.. Such a

lovely lad. He's sadly missed

by all of us, by the whole

family and we are typical South

London family, we are very very

close. The effect has affected

us all. Rivalman Joseph Murphy,

Ann an 18-year-old. Rifleman

William Aldrich who ha only

just turned 1 in May. He used

to walk in the class room in

the smart suits and say I've

just within for my interview,

went real good and tell us all

about it. Rifle man James

Becomehou, lun one of four

brothers - James Backhouse. The

only - just be proud. Nothing

else you can think of him. And

rifle man Daniel Hulme killed

by a Taliban bomb. He was just

22 when he died and his friends

turned out in force to bid him

farewell.. He was loved by so

many people. North Korea has

released new pictures of leader

Kim Jong Il a day after it was

reported that he had pang attic

cancer. The pictures are being

seen as an attempt to convey a

sense of normalsy in the

Stalinist state. Pyongyang has

refused to confirm or deny South Koreian media reports

that the already ailing health

of North Korea's leader has

been dealt another major blow.

After apparently suffering a

stroke last year, the latest

report suggesting the

67-year-old is suffering pang

attic cancer. In response the

North has released images of

his touring a factory in Pyongyang.

TRANSLATION: Another report of

Kim Jong Il going out on a

field guidance came out

yesterday through the Korean

central news agency. The report

says Kim Jong Il paid a visit

to the new by built tile

factory and due to the report,

Kim Jong Il made a total of 82

field trips. The number of

public outings would seem to go

against South Korea's reports

suggesting Kim Jong Il is grave

Ily ill but it would still

prefer a sect opinion.

TRANSLATION: Comparing this

with 57 visits he made during

the same period last year, the

number has increased by

1.5. North Korea has ramped up

its image as a military power

this year. It's long been

suspected the show of strength

is being used by Kim Jong Il to

enable a smooth handover of

power to his son. The people of

the Pacific territory of... Are

among the most isolated in the

world. The only way to get to

and from the island is by boat

but the main mode of transport

is in danger of falling apart.

New Zealand correspondent

reports. To look at, it takes

your breath away but to get

there, it could take your life.

There's no air strip, so the

only way to and from is by sea.

And according to locals, the

one and only boat in operation

is a death trap. Sometimes when

it's really rough you just bow

your head and prayer that

you'll get home. It's a New

Zealand administered territory.

It's 1200 or so residents are

New Zealand citizens. In the

70s the New Zealand Government

presented them with this boat,

the MV. It's now a bit worse

for wear. New Zealand's Maori

affairs Minister and his

children took a trip and he was

terrified. The waves are so

big, they're - you can see at

night, all you see is a really

big green wall and then

suddenly it's black and you

look way and you're way down

there. I got sick, my wife got

sick and our kids got sick. We

were all on our knees and the

smells on the boat are so

bad. He believes those living

in Australia and New Zealand

are choosing to stay away

rather than risk the journey

and are losing touch with their

current. The New Zealand PM

agrees the boat must be

replaced, he just has to find

the money. At the moment it's

costing about $2 million a year

to support the boat. It would

be multiples of that for a new

boat. John cap key estimates a

25 year lease on - he's hoping

for a sifer form of transport. I think it's

unlikely they put me on that

boat but maybe the HM. AS

'Canterbury'. John Key social

security really getting about.

Choon's Foreign Minister has

demanded turkey retract its

- Turkey's PM made the claim in

the wake of last weeks riots in

the wake of... Xinjiang's 8

million Uighurs have long

complained about discrimination

under Chinese rule. Last week

tensions with the Han community

woil boiled over into deadly

riots. More than 180 people and

more than 1600 were woundedment

witnesses say the unrest began

when Uighurs attacked hap

Chinese and thousands of Han

retaliated. Now heavily armed

troops are out in force the

Xinjiang Rhyce regional expect

especially near where police

shot dead two men. The Foreign

Ministry says the extra troops

are there to keep the peace,

roundly rejecting turkey's

genocide accusations. 60 years

ago there were 3 million igs in

Xinjiang, now that population

has swed to about 10 million.

It's nearly three times what it

was in 1694 #. I want to ask

what kind of genocide is this?

Where in the world would you

call this genocide? Regional

farnls say the search for those responsible for last week's

violence is still going on. We

will firmly protect the dignity

of the law and make all

evidents to thrak down the vile

ent criminals who took part in

the beating, smashes looting and burning, put them on trial

andthem with the utmost

severity. Meantime in Taiwan,

Christians have gathered to

pray for an topd ethnic

tensions in Xinjiang and to express support for better

human rights for all ethnic minorities across

minorities across China. You're

watching News Breakfast - the

top stories now - the PM has

defended his handle of a Rio

Tinto executive detained in

China accused of spying. Simon

Crean has raised the issue of

Stern Hu while on a trade

mission to China. The former

Liberian President Charles

Taylor has denied war crimes

charged against him at his

trail at the Hague. He's accused

accused of... The Federal

environment Minister has

defended the Government's

approval of a new uranium mine

in South Australia. The Opposition has accused Prague

of contradicting his past

messages about uranium mining

in Australia. For a look at the

national papers today we're

joined by Nicole Brady, the Editor of the Green Guide at

the 'Age' newspaper. Good morning. Morning. You starting

off with what might be a

sideline story to the Stern Hu

matter but China gets itself

into these troubles all the

time. It's a a fascinate ing

sideline, the fact that there's

a documentary that has been

selected to be screened at the

Melbourne film festival about a

Chinese act vis -

Chinese act vis - activist. The

Chinese consulate was on the

phone to the director saying

"please don't run this film.

Pull the film, we don't want

you screening it at the film

festival". It's a delicate

situation. There's no way they

won't run the film but it's

going to make things more

tricky for what's happening in

China at the moment. Think

they'd do their home work

before they put in the request.

They have no chance of having

that film pulled.. In fact,

it's going to draw attention to

the film and it's more likely

to depater an audience. - to

gather an audience. Maybe they're thinking in the context

of what's happening this might

give them weight. It's that clumsiness that I think always

makes stories like this and

we've had many of them from

time to time about Chinese

officials ringing to complain

various organisations about

what they're doing outside of

China, in Australia in

particular, that clumsiness in

their approach and that rather

guileless view that some how

their view will work is a

wonderful thing? Is this just

some consular officials acting

on their own of the

understanding of this is the

way we do things or how much

Beijing is involved in these

kind of "let's have a go here

and see if we can have an

influence here." They have

strong concerns in China about

the activism. You wonder how

high up it goes in terms of the

influence peddling they're

trying to chief. That's really

curious and I imagine nothing

will be extracted from it. I

think they owe us one around

about now. This is a big

subject that you're really

interested in On the

Productivity Commission and

their decision on books. Finally handed down

their report to Government says they should give Australia

three year grace for the

Australian publishers and

import copyright being

protected. Let's look at the

front page of the the

'Australian'. They've got their

picture story on it. All the

usual suspects quoted in

that? The 'Australian' takes it

a step further, the age and the 'Financial Review' are just reporting that the report has

come down and it's now up to Government the 'Australian'

taken the fact that the

Government will accept the

report and within three years

they say book price also come

down which is what the book

sellers lobby has always said.

Publishers argue it won't be

bring book prices down and in

fact it's going to prohibit the

publication of younger

Australian authors. It reminds

me of a tree trade Fremantle

when the film and television industry was very concerned

that changes at Federal level

would have a wig impact on their industry and what happens

is you get some very

articulate, photo generalic

people lobbying and you have

your Geoffery Rushes and people

that the media enjoy running

their grabs, lobbying the

Government for a period of

time. I don't think it's as far

gone as the 'Australian' has us

believe does. I get the feeling

now that a lot of people get

the books online anyway because

they're so much cheaper and

when you travel overseas you

really do see the difference

and they're half price? I think

if you go into book shops

they're packed at the moment.

I'm quite surprised still the

way Readings and Borders are

still selling so many books

lolly when you can buy them a

lot cheaper overseas. The music

industry would be crushed as a

result of it. Have your vantage

point - do you see that it had

a deleterious effect on the

music industry in Australia. I

think that came about the with

widespread availability of

music on the Internet. You can

more look at it in contrast.

You're not really comparing apples and oranges with the

film and television industries

but look at where television is

in Australia these days. The

top ratings programs are all

locally made. Some of the

arguments don't stack up. Take

us through this fascinating

Jimmy Carter story in 'Age' so

we can put that up. He's

written an opinion piece for

written an opinion piece for

the Observer and the 'Age' has

picked up up today and how

after 60 years his severed his

ties because he's realised that

churches are very discrimtary

to woman and he's part of this

group which was formed in South

Africa or Nelson Mandela's

birthday a few years ago and it

features former states man and

they talk about big issues,

they say we're no longer

hostage to thement s, we can

talk about the things that

political people can't talk and

we think that churches as well

as - there's a lot of

discrimination against women,

for me for someone like Jimmy

carter who has been such a man

of faith for such a long time

to quit his church is pretty

significant at age of 84. You

didn't see this one coming, any

talk that he was somehow losing

his faith? No. In the United

States it tends to go the other

way. Politicians are very

sensitive about their

relationship with the

church. To think at 84 often

you're strengthening your ties

with your church as you're

heading towards your end but

for him to say he's out now is

pretty significant. Want to

highlight, it's a wonderful

photograph in the 'Australian',

this morning, it's one of those

photographs when I think the

photograph captures an entire

political year. Certainly for

Malcolm Turnbull. Talk us

through that image up there,

because we've got so much going

on,. He's speaking to a group

of retirees in NSW yesterday so

they've got a good headline,

but he just looks terribly sad and I don't think he's bored so

much as just sad. He's got the

weight of the world on his

shoulder. He looks old. I

looked at that and I think what

he's thinking is this is what

it's come to that I'm just

spending my days wandering flu

retirementville ams when I

could be anything. The day that

Goldman Sachs announced a $4

billion to profit, that used to

be my mer chant bank, here I am

drinking lukewarm tea in a

nursesing home. This is why you

have photographers of course on

jobs like this hanging around,

because I know there'll be

those watching this morning

saying "that's so unfair,

that's just one moment and I'm

sure for the rest of the time

he was terribly animated." It's

true but a photograph exists as

a moment in time of that one

moment. Nice to see you. Thank

you so much. You can watch all

of News Breakfast streamed live

every morning. Now, Paul

Kennedy joins us again with the

sport headlines. Thank you.

Origin three will see the usual

courage and commitment from

players tonight. Queensland is

attempting to sweep the series

for the first time in 15 years.

Steve Price is expected to play

and Blues captain Kurt Gidley

will play with a pain killing

injection in his sore ribs. The

Wallabies will try to outrun

the All Black forwards in the

Bledisloe Cup this weekend.

Wycliff Palu is back to add

some pace among the big men and

George Smith is playing his

100th Test, a remarkable achievement. Foot-and-mouth are

the only backs on the Bex. To

an inspirational story. Few AFL

players have made the immediate

impact of Melbourne new comer

Liam Jurrah N just four games

the 20-year-old has booted 8

goals, helped his team to

consecutive wins and captivated

the Demons faithful in the

process. His contribution was

formally recognised with a

rising star nomination, and a

new nickname. The soft dreen of Melbourne's Junction Oval is a

world away from Liam Jurrah's

desert moment. Yuendumu where

he learned to ply his trade is

300 kilometres north-west of

Alice Springs. But match by

match, goal by goal, and now

award by award, the 20-year-old

is feeling more and more at

home. It's pretty amazing and

feel happy that I got rising

star nominee. Jurrah's career

just four games young but his

impact has been astonishing. And Jurrah's done

it again. Made even more

remarkable by the cultural

barriers with which he

contends. I think this is this

is my second language and I

speak in my tribal language

back home and back home at my

grandma and with my

partner. Team-mate Aaron Davey

who has helped Jurrah a I

simulate warns not to be fooled

by the 20-year-old's apparent

shy demeanour. He tap ps the

boys on the shoulders, he

thinks he's a smooth criminal

or whatever. But he's been

good, gets on with the boys and

they all stir them up Like the

players, the Demons fans have

embraced their new star like

few before him. Even flirting with nicknames like the 'The

Jurra-caine' and the Cougar.

The man ims has endorpsed an

alternatively ch The caught

caught is more overseas. This

is the Courtney Walsh right

here. Happy with that? The

Courtney Walsh. I'm the

Courtney Walsh wall. And it

might just

might just stick. It's a great

story. The amazing thing for me

is that a guy, a young kid who

is probably weighs 70 kilos can

come and play AFL footy and

dominate his position the way

he has in the early part of his

career but you've been to his community. I just imagine the

excitement in that community

too when they were watching it

all on cable television. For

those first couple of games .

But football is just - it's

everything in a community like

that for the young kids growing

up. It's so important. The

Northern Territory now have a

team playing in the Queensland

competition, they're not all

Aboriginal but predominantly

and that's a recognition that

they can develop and develop

even further. I suspect - I

said this at the start of the

year - I suspect the AFL will

look at having a Northern

Territory team because they're

doing a lot of things like

that. The off-season Darwin

competition is now played,

there's football played up

there during the winter now, so

slowly things are changing but

you'd have to suggest there's

enough players coming out of

there In terms otravel it's

every bit as far away, probably

not as far as travelling to

Perth for the Western Australia

games The heat is the issue and

when they play the AFL games up

there now some of them row located one with Port and

Melbourne playing games but

that can be overcome. State of

Origin tonight, that will be

the be big one The YouTube down

is on. Can the Blues

is on. Can the Blues recover. Thank you. Vanessa

O'Hanlon now joins us for the

weather. Thank you. Over the

past few days there's been

plenty of rain for southern

parts of South Australia. In

the past 24 hours Mount Lofty

added another 17mm and 11 fell

in Adelaide. Today got a ridge

of high pressure that will

start to ease those showers and cold south-westerly winds with

cloud caped to the southern

coasts in onshore winds and

with pampy cloud over inland

NSW storms and showers. With a

welt of high pressure, mostly

dry for the north and west. A

trough and cold pool is moving

further into the east, it is

causing patchy rain and there

is the chance of storms and

small hail over inland NSW. On

Friday a high will clear the

skies give us us warmer

temperatures until a cold front

moves in on Saturday. For Western Australia, this cold

front is approaching from the

west this afternoon and lit

bring some showers. - and it

will wripg some showers.

We have a lot more ahead for you on News Breakfast - we'll

be hearing from Communications

Minister Stephen Conroy on the

country's digital future. That

has to include some pretty substantially supported

broadband doesn't it Barrie? It

does but it also changes the

media ownership rules. They no

longer apply. The Government's

now looking at that as well which will be quite a contentious political issue

into the future. And the World

Health Organisation's Ticky

Pang will be here to dethey -

explain the delay in the swine

flu vaccine. There's six quite

young and ordinary healthy

people on life support in Sydney hospitals with swine flu. I heard yesterday the

company producing the 21 million vaccines actually went

backwards on the share trading

ed yesterday. . Not a good sign

either. Lots more coming up for

you after this short break on

News Breakfast.

Simon Crean's trade mission

to China takes a backseat as

the PM says the Stern Hu affair

The Federal Environment is more important.

Minister is under fire about

the approval of another uranium

mine in South Australia. Former

Liberian President Charles

Taylor goes on trial and denies

he committed war crimes. And

Queensland goes for a clean

sweep in the last Origin match

in Brisbane.

Good morning, it's Wednesday

15 July. I'm Barrie Cassidy. The top story on News Breakfast

- Kevin Rudd says the interests

of a Rio Tinto executive

detained in China are more

important than Australia's

economic relationship with

Beijing. The Opposition says

the PM has been reluctant to

get involved in the Stern Hu

affair for fear of jeopardising

links with China. Federal Trade

Minister Simon Crean is in

China and he's raised Stern Hu

detention with a top Chinese

official. Simon Crean's timing

couldn't have been worse. His

mission to China's meant to

strengthen ties to Australia's

most important trade partner.

Instead he's been embroied in the widening Chinese

investigation into the

activities of senior Rio Tinto

executive Stern Hu. I couldn't

come here on an issue to deal

with trade and not also raise

with the most senior officials

that we could get the

issue. But the Chinese

Government still not saying

what it's got on the executive

who it arrested a week ago. Mr

Crean's only been granted one

ad wence low level officials

about case since then but

denies he's been fobbed

off? The person in question is

number three in the Government

in terms of those authorised to

talk with foreigners. Mr

Crean's itinerary has included

a meeting with one of China's

biggest steels and a major Rio

Tinto customer. Wh ten closed

door meeting finished we asked

Wuhan Iron and Steel about the

case but got no response. Along

with Mr Hu several executives

from Chinese steelmakers have

been arrested as the problem in

iron ore price negotiations

widens. Mr Deng wouldn't say

whether his executives are

among them. The Stern Hu

controversy is now

overshadowing Simon Crean's

trade mission to China just as

it's threatening to swamp all
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