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ABC News -

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(generated from captions) Allen. Jon Lord. Deep Purple.

This Program is Captioned Live.

Tonight - Ford in focus. Job

slashed just months after a

multi million-dollar bailout.

Hopelessly divided. The United

Nations remains powerful less

to stop the escalating violence

in Syria. Too many vacancies

capital's office block not enough tenants. The

oversupply. And if he's

nervous, he's not showing it.

If people back in Australia

could say James Magnussen's

race is coming on TV, it is a

sure thing, you know, I think

that's a pretty special

thing. Good evening, Craig

Allen with saying news. There

are serious questions over the

future of Australia's car

industry with news that

hundreds more jobs are to go.

Ford is slashing 440 positions

from two Victorian plants.

Despite earlier this year

receiving a multi million-dollar bailout package.

The car manufacturer is blaming

falling sales of its flagship

Falcon for the dramatic scale

back of its production.

Frances Bell reports. More

upheaval for the car industry.

It is not the thin end of the

wedge because the wedge is

nearly all wait in. There's

not much left. More workers

faced with losing their

jobs. I'm working with meme who

have been here for 42 years.

They're devastated. Ford is

shedding 440 disgrobs at

Broadmeadows and Geelong and

cutting back production of its

Territory and Falcon models

from 209 vehicles a day to

148. Unfortunately, the job

cuts today are a result of

continued decline in the demand

for large vehicles or large

cars in particular. Voluntary

redundancies will be offered

from November but if the target

isn't reached, it's likely

workers will be sacked. Today's

announcement by Ford is a kick

in the guts to 440 workers and

their families today. The

latest round of job cuts come

just six months after Ford

received a $103 million

lifeline from its US parent

company and the trickian and

funded about half of the Federal Governments. Taxpayers

assistance package which was

announced with great fanfare in Detroit. We're here to fight

for Australian jobs. We're

here to fight for new investment in the Australian automotive industry. Both the

Prime Minister and the

Victorian Premier say they're

disappointed by the job losses

but they both maintain the

assistance package was money

well spent. It was struck to

ensure that Ford continued to produce motor vehicles here

until 2016 at least. The

industry's going through very

difficult times and each of the

manufacturers is seeking to

adjust. The commitments that

we've made are around assisting

that transition. I think

today's announcement will have

a lot of taxpayers' confused

and quite a few taxpayers'

angry. Unions will hold talks

with Ford management

tomorrow. The Syrian capital

Damascus has until now been spared some of the worst

fighting seen elsewhere. But

as the violence intensifies

there, western load leaders are

end broiled in a battle to get

Russia to support a new

strategy to try to end the

blood shed. Anne Barker reports. The fighting in

Damascus continues to worsen.

Violent clashes have rage

forward a second day since the

Syrian army began sending

armoured personnel carriers in

to drive out rebel forces.

Amateur video shows rebels

hiding in a Damascus alleyway

firing rocket propelled

grenades and machine-guns in a

battle with government troops.

Local residents say it is the

fiercest fighting so far in

Damascus since the uprising in

Syria began. As the fighting

spread across parts of the capital, protesters continued

their blockade of one of the

main highway into town, burning tyres in the middle of the

road. The violence comes as

the UN prepares to debate

tougher measures against Syria.

Britain is backing a new

resolution that could allow

anything from harsher economic

sanctions to military present

intervention. The situation

in Syria continues to

deteriorate alarmingly and the

UK believes it is imperative to

have a chapter 7 resolution of

the United Nations Security

Council. The Special Envoy,

Kofi Annan, was last night in

Moscow to lobby for Russia's

support, but Russia has accused

West of using blackmail by

threatening to end the UN

mission in Syria if it doesn't

support tougher sanctions.

TRANSLATION: I consider this

an absolutely counterproductive and dangerous approach because

it is unacceptable to use

monitors as a bargaining

chip. The latest tensions

between Russia and the West

look set to reach a head on

Friday when UN has to decide

whether to extend its Syrian

mission. Anne Barker, ABC

News. The crisis in Syria drags

on not just because of the infective international

response but because there's no

cohesive opposition to

President Bashar Al-Assad.

Nick Grimm explains. The

current unrest in Syria was

sparked in March last year when

protesters took to the streets emboldened by the Arab Spring

spreading across the region.

It's become the greatest

challenge to the Assad family's

four decade long grip on power.

But politically the protesters

have struggled to unite

themselves into a cohesive

force. The Syrian National

Council has tried but it's

distrusted by some Syrians to

see it as dominated by Islamist

groups such as the Muslim

Brotherhood. The other main

opposition group is the National Coordination

Committee. It's made up of

more left-leaning political

parties and activists. Then

there's the Free Syrian Army

mainly made up of defectors

from the Syrian Ahmed forces.

Their exact strength, though,

is unknown. The Syrian

Government itself draws support

from a shadowy militia movement

called the Shabiha, which

loosely translates to mean

crooks and thugs. They've been

accused of committing

atrocities on behalf of the

Assad regime. By some

estimates 25,000 people have

already died in Syria since the

uprising began. But now the

conflict may have reached a new

and dangerous turning point.

Rebel attacks are striking at

the very heart of the Assad

regime with heavy fighting now

taking place in and around the

capital Damascus. The Syrian

Government has vowed it will

not let the city fall. The

Federal Opposition has stoked

the contentious debate over teaching standards arguing

school kids should have better

teachers, not smaller classes. The coalition says it is too

easy to get into the teaching

profession and that higher

calibre candidates should

apply. Government is facing

pressure to commit to school

funding reforms, but the Prime

Minister spent the day deflecting renewed questions

about her leadership. Melissa

Clarke reports. As school kids

sit down to their classes, the

Opposition is worrying about

who is standing up the front.

We're not attracting the

highest calibre people to the

teaching profession that we

should be. The remedy, more

practical classroom training

for teachers and giving

principals greater powers to

hire and fire. And the

Opposition says there's no need

to be so hung up on how many

kids are in the classroom. There's no evidence

that smaller class sizes

somehow produce better student

youse comes. It is fine by the

coalition if more kids have to

be squeezed into classrooms and

get less of the teachers' time.

That's fine by him. The

Education Union is similarly

scornful. Class sizes do

matter for every parent across

Australia stew din and teach

alike. It is ensuring every child has more individual lies

add tension. The union says

the problem is funding and

wants politician to adopt the

findings of the Gonski review

which recommends pouring

billions more into public

schools. We need the

additional resources and

teachers, we need the

additional specialist teachers. The Gonski funding

recommendations are politically

tricky for the Government

because of the cost involved

and the charged emotions surrounding government funding

of public and private schools.

The Prime Minister would have

preferred to fight that battle

today rather than face yet another round of questions

about her leadership. The Government's chief whip has

today the hornet's nest.

Populism matters in politic.

No matter what political party

you're talking about, if

leaders remain unpopular long

enough, they'll inevitably stop

leading the party. We all know

fill gill is about as popular

as anthrax in Australia right

now and, therefore, he was

saying that it is time for

Julia Gillard to go. There we

are. There's no mounting

challenge. Kevin's made his

position very clear in terms of

his intentions. That remains

the position. But the talk is nonetheless frustrating Julia

Gillard's efforts. We dealt

with the question question of

leader in February and it was

resolved then. She's hoping it

stays that way. Melissa Clarke,

ABC News, Canberra. Build it

and they will come. Well, that was theatrery at the height of

the commercial building boom in

Canberra. Now a growing number

of office blocks sit empty,

waiting for tenants although

that's hardly been a deterrent

for developers. Filling

Canberra's office space is a

tricky business. More than 10%

of them stand empty, but new

office blocks are still popping

up around the city. Economic forecaster BIS Shrapnel has

inspected the market. We're

talking about a very weak

market here and it is basically

not very good for the property

industry to have so much

vacancy sitting around. Most of

those empty offices are sitting

around Canberra Airport. The

oversupply is also thanks to Oy

a building boom last decade and

new government buildings and

some older buildings are no

longer fit for tenants. There

are many that can be converted quite easily because when you

look at it, the fact that

they're already hooked up to power, sewerage and water it is

a matter of a refit. Some of

those able office blocks have

been given a new lease on life

as student accommodation. But

many developers are opting to

start from scratch. Over the

next two years, another 140,000

square metres of office space

will open up. BIS Shrapnel

predicts vacancy rates will

remain above 10% for several

years. In a city full of public

servants, a lot will depend on

decisions made at the top.

The current efficiency measures

or the austerity by the current

Canberra government has led to

a drastic fall in demand for

office space. And a change of

government would only inflict

more pain on an already

struggling March market. The

Federal Government's much

anticipated e-health system is

off to a troubled start in

Canberra. The new system

allows residents to have an

online health record that's

easily shared between medical

practices. Two weeks after its

launch, Canberra doctors say

they still can't add any

information to the records. They're going to have

to get the software up, their

administrative processes up,

their staff aregic to be trained, there are so many

steps involved before they're

going to be signed up. You can

make token gesture and it would

be a empty gesture. That could

explain the slow take up rates

in the ACT with a quarter of GP practices showing an

interest. A new national food

plan is aiming to position

Australia to help satisfy the

world's insashable appetite.

It maps out how mark farmers

and manufacturers can boost

food production to feed both Australians and our neighbours.

Simon Palan report. Global food

demand is tipped to jump 77% by

2050. The Federal Government

wants Australia ready to

capitalise. We do need to

think how we can do more.

That's why the graen paper is

there to draw some of that

information out so we I'm Prue

what we currently do. As

Australia's manufacturing sector struggles, the Federal

Government is bringing together

farmers, manufacturers and

retailers to work out how to

increase food exports,

particularly to Asia. But as

control of the country's

largest poultry producer looks

set to go offshore, Government

wants more foreign investment

to help our food industry grow.

The foreign investment has

fuelled growth in Australia

over a long period of time. Foreign investment is welcome

in Australia. As part of the

green paper, the Federal

Agriculture Minister says he'll

be gauging views on whether Australia's big supermarkets

are misusing market power when

dealing with suppliers.

Farmers are very reluctant to

speak publicly about it. They

need to get access to markets. Farmers also say the

Government need to ensure land

allocated for food production

doesn't have to make way for

mining. We need to be in a

position to know that decisions

we're making now in regard to

mining or coal seam gas what

that impact on agricultural production is going to

be. There are concerns that

plans to increase food exports

will lead to greater production

of untheltty processed foods

because they are the most

profitable. The economics at

the moment almost push manufacturers into unhealthier

foods. What we have to do in a

national food plan like this is

to use it to move towards

healthier foods, Hellyer die

its, less obesity. The Federal

Government hopes to release its

White Paper with its final

policy framework by the end of

the year. Simon Palan, ABC

News. NSW farmers are furious

and they're not backing down.

They say the State's controversial native vegetation

laws are insulting and unworkable. Where permission

has to be given to cut down a

single tree in a paddock. The

State Government says it is all

done in the name of conservation. Sally Sara

reports from Walgett in

north-west NSW. The paddocks

around Walgett are full of potential but some haven't been

developed because of native vegetation laws. Local farmers

want to open up more land.

I'm fourth generation, I've no

interest in making a mess of

this landscape. Unnative

vegetation rules even removing

a single tree in a paddock like

this one requires approval. Theoretically under the

proposal, a Farmer would be

required. They're an important

part of our landscape. They

provide the hollows for a lost

our woodland birds and mammals

and that sort of thing. In a

lot of cases. The Government is

consulting with fomnifina

farmers to change the

regulations. This issue has

generated a lot of frustration

and concern. Farmers have walked out of some of the

consultation meetings at towns

in other parts of the State.

It is hope primary producers

and the State Government can

reach some sort of workable agreement. Land holders Walgett say the introduction of

the native vegetation laws 17

years ago was a big mistake.

It was legalised rob robbery.

That's what it was. As a part

of the State I would like to

move this Act be immediately

repealed. The farmers reject

the Government's assurances

that the process will be

streamlined. I feel like a

child that's been read a

bedtime story and that's an

insult to our intelligence.

Further to that (APPLAUSE). In

this whole State has had an

absolute gutful of people like

yourself stampeding up in front

here and tell us how to run our farms. The Government says the

Act is needed to protect

valuable flora and fauna.

Catchment official are urging

farmers to be constructive.

Unless the Government decides

to scrap the Act we have to

work within that frame

work. NSW farm ertion say the

Government need to start

again. Is Australia's economy

heading for a shock? An OECD

analyst believes the country's

reliance on China means it is

likely that it is. He was

commenting after the International Monetary Fund

again trimmed its world growth

forecast warning the European

turmoil remains as threatening as ever. Here's Phillip

Lasker. First, the good news.

The global recovery

continues. But the IMF has

shaved its global growth

forecast to 3.5% and growth expectations for every major

economy, including the US,

Europe and China. There were

warnings of much worse to come

if Spain or Italy's problems

deepened and they were locked

out of world markets unable to

borrow. And the implications

of such an event could easily

derail the world recovery. But

Treasurer Wayne Swan chose not

to emphasise the risks. Here

in our region the economic

prospects are bright, but we're

not immune from the fall pout

of what is happening in

Europe. A visiting OECD

official today suggested Asia

and Australia could be very

vulnerable because of China

haef dependence on exporting to the developed world. Adrian

Blundell Wignal warned of a

possible major shock because

investment has poured into the

region counting on that strong

export growth which now won't

happen. If you go back

through the history of economic

history, when there's something

called overinvestment that's a

major problem. The question

that I'm asking you to think

about is has there been a major overinvestment boom in China?

That level of anxiety was

nowhere to be seen in the

Reserve Bank board minutes

outlining why the RBA chose to

keep interest rates on hold

this month. I got from the

minutes today that the Reserve

Bank is very comfortable

sitting where they are at the

moment. Sitting and waiting to

see whether those risks become

a reality. Phillip Lasker, ABC

News. To finance now and the

Australian dollar hit 103 US

cents today for the first time

in two months. The local

sharemarket also closed higher

after the Reserve Bank took a more optimistic view of the

economy. Alan Kohler has the

details. It was all about the

banks today and other defensive

stocks like Telstra and CSL.

The bank index has outperformed

the resourceses index by 40%.

Over the past two months the

All Ordinaries has been flat

but banks went up 6% and

resources went down 6%. Money

is pouring into bonds and cash

as well because the usual gap between their returns and

shares has disappeared. This

chart shows the rolling 10-year

returns from cash, bonds and

equities or shares. For the

first 90 years of the 20th

century shares usually produced

double the returns of fixed

interest. To compensate for

the extra risk N the past 10

years the returns have con surgeried soy you're not

getting any compensation to the

risk of invest ing inshares

which is why stockbrokers are

going broke. Here's what

happened month global markets

these past 24 hours. Not much

is the answer. There's a very interesting gap in the

performance of Chinese and

American shares over past three

years. US companies in the S&P

500 have gone up 44% while Chinese companies have gone

down by nearly as much. Hang

on, China is supposed to be the

growth market and US is mired

in debt and all washed up.

Chinese labour and energy costs

are rising ran piddly whereas

in a America labour costs have

been flat and energy costs have

been falling because of all the

shale gas they've found. On

commodity market wheat and

other crops are continuing to

surge because of the big

American dry. Oil seems to be

heading back to 90 dollars a

barrel and base metals were

mixed. The Australian dollar

is sitting right on 103 US

cents which it hasn't seen

since early May. That's

finance. His distorted Hammond

organ sound helped provide one

of rock music's most memorable

riffs. Overnight founding

member of Deep Purple, Jon

Lord, died from cancer. The

classically trained keyboardist

formed the band in 1968. He

co-wrote many of Deep Purple's

hit including smoke on the

water with that unforgettable

hook. Deep Purple was one

listed by the Guinness Book of

Records as the world's loudest

band. Lord had been receiving

treatment for pancreatitis

cancer since last August. He

was 71. The operation to handle the arrival of thousands of

Olympic athletes and officials

in London has shifted into Top

Gear. Heathrow Airport has

just experienced its busiest

day on record and like all

Olympics past, there's a glitch

or two in the days leading up

to the games. Philip Williams

reports. Coming ready or not.

Athletes and officials

converged on London's hooith

airport, an operation unlike

any experienced before. We're

expecting a record-breaking

237,000 people to move in or

out of the terminals. New

Olympic only lanes are starting

to come into force, good for

athletes, not so good for

motorists fighting for less

road. One bus load of American

athletes and official

complained their driver was

lost for four hours. At the

Olympic venue performers and

soldiers were rehearsing the

welcome ceremonies for athletes

and officials from 204

countries. It is an honour to

be able for us to show our

skills at this grand

event. Less fulfilling the

military's unexpected role

filling huge security gaps left

by the private company G4S. The company's share price

dropped and according to the

Opposition, the Government's

guard did too. How on earth

could the Minister responsible

for delivering Olympic security

be the only person who didn't

know? When G4S told us they

would be unable to deliver

their contractual obligations

last Wednesday we decided to

deploy extra military personnel

to fill the gap. There's even

more pressure as just 17 of 56

G4S security guards turned up

for work securing a Manchester

hotel. The police had to fill

the hole at short notice. Police officers and

soldiers as well because

they're filling in in London,

we can't not turn up for work. Professional people who want to

do a good job. When the whole

things kicks off, when the Opening Ceremony begins I think

a lot of these issues that were currently now discussing will

melt away. Nobody expected a

hassle free Olympics, there's

never been one, but what

athletes and officials just

want to do now is get down to

the serious business of sport.

Philip Williams, ABC News,

Olympic Park, London. The Australian swimmers are doing

just that as the team begins

its final training camp in the

north of England. James

Magnussen is one of our best

gold medal hopes. The 100

metre freestyler says he's

confident he's got what it

takes to become the fastest man

in the pool. Lisa Millar

reports from the swim team's

base in Manchester. If James

Magnussen is feeling the weight

of expectations, he's not

showing it. The super

confident 21-year-old has

worked how the how to deal with

the growing pressure. Being

Port Macquarie James which is

the guy who's laid up wakes up

at 10 o'clock in the morning

and strolls down to the beach

with his mates, not the guy

that swims 46 seconds for 100

freestyle. In two weeks the

beertd comes off and James

Magnussen is confident he'll

take the world record and take

gold in the 100 metre

freestyle. The a first for

Australia in 40 years. He

wants to be as dependable a

winner as Ian Thorpe. If people

back in Australia could say

James Magnussen's race is

coming on it. Is V, it is a

sure thing. That's a pleasant

thing. That's something

Thorpie was able to sustain and

something I would like to

sustain as well. He's making a difference. He's brought so

much personality to this team.

He's really made it quite

vibrant and quite interesting

and I think certainly has

it. Leisel Jones will make

history herself just by turning

up. The first Australian swim

er to compete in four Olympics.

She's telling younger swimmers

to simply enjoy themselves.

Sisters Bronte and Kate

Campbell need little

encouragement despite the

prospect of facing off in the

50 metres freestyle. It is

not against each other.

Xiementing with my sister against the rest of the

world. They'll stay here for a

week in Manchester training as

a team way from the

distractions of the host city.

It also gives them a chance to

kilometre advertise to the

cooler and wetter English

weather. They'll need all the

help they can get with

predictions the swimmers will

struggle to match their

performance in Beijing. Cadel

Evans failed to make inroads on

the 15th stage of the Tour de

France overnight. The

Australian is still over three

minutes behind the man with the

yellow jersey Bradley Wiggins. Compatriot Brett Lancaster was

forced to retire because of a

leg injury on a day when few

teams pressed for the lead.

It is a long way to Paris and

we lost Brett today with a

combination of fatigue and injury and wane going to out

about the guys on the front for

a couple of hours. Frenchman

Pierrick Fedrigo went on to

register the second stage win

of his career. The tour

resumes tomorrow night after a

rest day. Rabbitohs fans are

pinching themselves after last

night's dramatic has gasp win

over the Roosters. The

Roosters were leading by 10

pointses with two minutes

remaining but Souths reduced the margin to four when Nathan

Merritt crossed under the posts

and produced the match winner

from 90 metres out. Merritt is

there again. Here he is.

Merritt. Merritt links up with

Luke. Luke for the line. It's

the line. Reynolds. Reynolds. The jubilation has to

be shortlived. South's has a

kickturn around for Saturday's

clash with the Dragons. Also

preparing for sound 20 is Des

Hasler who will return to

Brookvale Oval on Friday for

the first time as the Bulldogs'

coach. It is the tribalism.

I'm sure if I turned up to

their place on a Sunday

afternoon for a bar key they

wouldn't turn me away. It is

about the emotion. It is what

you want. Hasler's new club

lies second while the Sea

Eagles are 7th. On to the

weather now. Canberra awoke to

a very heavy fog this morning

and it was pretty dismal until

it finally cleared when we

struggled to a top of 14

degrees. Around the region

today, just a few isolated snow

showers in the alps but

otherwise it was fine weather.

A lovely 19 degrees down the

coast, Cooma had a pretty cold

night, though, minus 5 to just

11 and Yass had minus 1 to 14.

There have been a few showers

through Queensland with a

trough still lying off the

coast. Hobart and Adelaide had

rain with a cold front but

Sydney was sunny. On to the

cloud chart and the cold front

is bringing a band of cloud.

There's onshore cloud off the

Queensland coast. The tail end

of that cold front will slip to

our south and then a high

pressure ridge will start to

build over the State.

Tomorrow, the southern capitals

will see more wild weather with

that front. Sydney will be

partly cloudy, though, while

there's more showers in store

for Brisbane and up into North

Queensland. Southern parts of

the state will start to feel

just the tail end of that front

as it moves through with a few

showers about but along the

coast it will stay mostly fine

and partly cloudy, with the

temperature range up to 17 or

18 degrees. There will be more

snow in the mountains and

showers but mostly to our west.

In Canberra we're not expecting

much if any rain but with

showers about the ranges, never

say never. It will be a partly

cloudy day tomorrow with a top

of 13 degrees after zero


Before we go a brief recap

of our top stories tonight. Ford is the latest car company

in Australia to announce it's

cutting jobs. 440 positions

will be slashed over the next

few months at two Victorian

plants as the manufacturer

responds to falling Car Sales.

The job losses come just months

after Ford was given a multi million-dollar government

bailout package. The United

Nations is no closer to a

resolution to stop the

escalating violence in Syria.

World powers are heading for a

showdown tomorrow when they

vote on a western open proposal

to impose sanctions on

President Bashar Al-Assad. And

that's the latest from the

Canberra newsroom. Stay with

us now for 7.30 with Leigh

Sales. We'll leave you with a

rare glimpse of a pair of

southern right whales that sent

the day in Sydney Harbour.

I'm Craig Allen, thanks for

your company. Goodnight.

Closed Captions by CSI This Program is Captioned

Live. Welcome to 7:30, I'm

Leigh Sales. Tonight blood

sport - pig dogging is on the

rise but it is pest control or

just brutality. A bit of a rush

with the dog. You've got to get

in there and get amongst them

and that. With a gun you just

like shoot them and it's dead.

And the growing calls to

limit the power of large

supermarkets. The ads on TV by

Coles and Woolworths showing

how wonderful they are and how

well they look after farmers is

a load of baloney really.

They're in it to make as much

money as they can for

themselves. It's called

pigdogging where hunters take

packs of train and sometimes

armoured dogs out to hunt feral

pigs. It started as a way to

control a pest but it's turned