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If I said heaven knows not a day goes

This program is captioned live. This morning -
the election date wait continues as Kevin Rudd prepares
to unveil more spending cuts. Essendon coach James Hird
slams the AFL over its handling
of the drugs crisis. And mass of millions - a spectacular end to
the World Youth Festival in Brazil.

VOICEOVER: This is Seven News,
morning edition, with Ann Sanders.

Good morning. The Rudd Government's razor gang
is meeting today as the Prime Minister
prepares to unveil billions of dollars in spending cuts
before calling the election. The money is needed
to fill a huge revenue hole and cover cost blowouts
on issues such as asylum seekers.

A huge Antonov freight plane
arrives in Papua New Guinea. (ENGINE ROARS) On board, 10 shipping containers
of equipment for the rapid expansion of
the Manus Island detention centre.

Another four flights are scheduled
in coming days as the Government vows
to send asylum seekers there by the end of the week. Almost 1,400 have already arrived
since the policy was announced. I'm not working to a deadline of how quickly
I need to get people across. My deadline is when health checks
are complete. The Prime Minister's admitted
his PNG policy will be expensive but hasn't revealed the full cost. That will be contained in an
economic statement to be released, possibly this week. The funding has to vary based on the number of people
who test our resolve. The Government's razor gang
is meeting today to finalise the statement. It'll contain widespread
spending cuts, not just to cover the cost
of expensive policies. Treasury is also facing at least
a $6 billion revenue shortfall due to the slowing economy. This is a government of waste,
debt and deficit. The Government needs
to make the cuts because it remains committed
to returning the Budget to surplus in three years time. But Labor also doesn't want to
upset voters by slashing handouts just before the election. Mr Rudd needs to call it today
for an August 31 election. It's more likely he'll nominate
a date in September.

An emergency declaration
remains in place around an Ipswich property
west of Brisbane where several explosive devices
were found last week. Police returned to the house
this morning. It's believed more explosive
material was found inside the house. A 43-year-old man has been charged
over an explosion at the property on Thursday.

He appeared in court this morning
and was remanded in custody. Sydney father Steven Hume
remains on the run as police investigate claims the family of his ex-partner
has been threatened. He allegedly abducted his former
girlfriend and baby son from their home on Thursday night. Gabrielle Boyle joins me now. Good morning, Gabby.
Do police have any leads?

Good morning. There had been hopes the 24-year-old Steven Hume would hand himself in to police to tell his side of the story. Unfortunately that has not happened as yet. This began last Thursday night when he allegedly abducted his ex-girlfriend and there are young baby from their western Sydney homes. The girlfriend and the baby were released some hours later. Steven Hume has remained on the run since then. It has sparked a massive police investigation involving around 1000 police officers. So far they have been unable to track him down. They are warning members of the public not to approach him. If he is spotted, called 000. There are reports he made some threats to his ex- girlfriend's family members and that is being investigated by police. of leaking information
about the ASADA investigation into the club's supplements program. The report is expected to be handed
down in the next few weeks. Tom Browne joins me now. Good morning, Tom.
James certainly appears frustrated?

Good morning. There is absolutely

no doubt that James Hird is frustrated with the AFL and in particular, you would think, Andrew Demetriou. The full extent of a rift has been revealed with suggestions James Hird warned the AFL about perceived breaches of confidentiality but so jesters the AFL was looking to undermine James Hird. The AFL has said there has been no such leaks. James heard this morning broke his silence following David Evans's shock resignation on Saturday night. He has emphasised he is the best person to coach Essendon and that David's resignation is a travesty. He has not denied that he is upset with the AFL. I've spoken to David, yeah, I think
he's going to take a short break. It's a travesty, a big travesty
what's happened to David and we all wish him well.

There is certainly a perception that James Hird is

There is certainly a perception
that James Hird is naive in regard to the extent of the problems in Essendon. He thinks some kind of defence could emerge. There is some concern this morning about the timing of Andrew Demetriou cars trip to the United States. There is a perception that he should be in Australia. The report has already been written, probably, and there is not much he can do. The Essendon board is expected to meet this afternoon and endorse Paul little. He might be able to take Essendon to court to clear as London's name and James Hird. It'll be interesting to see if Little speaks this afternoon. We will have the

interesting to see if Little speaks
this afternoon. We will have the latest as the news comes to hand in Updates and at 4:30pm in the knees.

The rugby league community
is remembering coach Graham Murray as a wonderful human being who was
deeply respected across the game. The 58-year-old's family
made the decision to turn off his life support at Brisbane's Princess
Alexandria Hospital yesterday. He coached several teams
including the Blues origin side. And he took the Roosters
and Cowboys to grand finals.

It's obviously a very sad day
for the club. Graham had a remarkable role
in our club and took us from basically
second last to a grand final. Fantastic guy, very popular. He was admitted a few weeks ago after suffering
a suspected heart attack. Queensland police
don't expect to lay any charges against a mother who left her
newborn baby outside a Logan house. The baby boy was found in a basket
on the doorstop of the house early Saturday morning.

He was wrapped in a blanket with a change of clothes,
nappies and formula. There was a note written in Samoan asking the family
to look after the child. Police found the birth mother late
yesterday and took her to hospital. The family who found the child
hope to adopt it.

Authorities are monitoring an
oil spill at the Port of Brisbane. The spill was detected
just after midnight but clean-up crews
had to wait for daybreak to determine its full extent. Large globs of heavy oil
have been spotted in the water. A boom has been placed
around the worst affected area. It's hoped much of the oil
will disperse naturally. Maritime Safety Queensland
has launched an investigation into the spill. The port remains open to shipping. There've been extraordinary scenes
in Brazil for the final day
of the World Youth Festival. Millions of pilgrims packed
onto Rio's famous Copacabana beach to hear the Pope's farewell mass.

There wasn't a spare patch of sand on the 4km crescent
of Copacabana beach. 3.5 million pilgrims from 180
countries had camped out overnight. This was the climax
of Pope Francis' first trip back to his native Latin America. (CHEERING) The reception was ecstatic. Huge crowds cheered as the pontiff made his way through
the streets on his Popemobile. This teenager
was simply overwhelmed.

Sunday Mass began with what
will probably go down in history as the world's largest
flash mob dance ever attempted. Throughout his visit, the Pope's message
has been one of unity - bridging the divide between
young and old, rich and poor, the church and the faithful.

"What has god been trying to tell
us?" he asked. "Serve without fear."

It's really incredible,
all different nations doing this. Not many people get to say that. I get to say
I was standing 5 feet from the Pope. With the famous statue of Christ
looking down on the massive crowd, the Argentine seemed to cement
his reputation as the people's pope. The Catholic Church
is counting on his popularity to stop the exodus of believers
to rival churches.

In breaking news, we have learnt that two former staff members from the Cronulla Sharks have won their legal battle after being sacked over the ASADA drugs scandals. The team doctor and physiotherapist had lost their jobs after they were accused of withholding information about the supplements program. Now the NOLL club's board has apologised to them and offered financial compensation. The coach was also has done down but reappointed after he was cleared of wrongdoing. Cronulla will release a full statement later today.

The service and sacrifice
of Australians who fought in the Korean War is being remembered,
60 years after the conflict ended. Nick McCallum joins me now from the
UN Memorial Cemetery in South Korea. Hello, Nick. Some veterans have returned
to the graves of their fallen mates?

Yes, they have. As

Yes, they have. As you can see behind me, the Australian veterans have arrived back at the hauntingly beautiful cemetery. For many of them this is the first time they haven't visited the graves of their fallen mates. Yesterday one man came to visit the grave of his good friend. They trained together and his friend died right alongside him. He was just 20. He said he never forget anything like that. He said he had a sense of duty to come here to visit his friend. Let's have a listen. I'll always remember.
I'll never forget. How can you forget a mate alongside him when he gets killed. You never forget him. It's a great honour
to see his grave.

Also on a mission, Bill and Bob, two old pilates who came to visit the grave of a friend of theirs who died in the final days of the Korean War in a plane crash. Bill was the pallbearer at the funeral. He says after 60 years you still miss your mates. This tour winds up to tomorrow. The Australian veterans say the appreciation of the South Korean people have shown them and the fact they have been able to see that South Korea is now an economic powerhouse in Asia, that shows to them that the sacrifices and service was worthwhile. Thanks, Nick McCallum
in South Korea. Next in Seven News -
business and finance. A brazen jewel heist in Cannes. Also, a severe hailstorm causes
millions of dollars damage in Germany.


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An elderly couple is being treated
in hospital for burns and smoke inhalation after fire destroyed
their Sydney home. The blaze at the Marrickville house was started by a candle
just after 9:00 last night and spread quickly.

Neighbours were evacuated
from their homes To finance now and joining me is Westpac's
global head of economics Bill Evans. Good morning, Bill. The US will be a key driver
of markets this week. What are you expecting?

Good morning. Yes, we will hear about US housing, the US Federal Reserve, the results of their latest meeting. We will hear about the US pay rolls story, inflation and confidence as well. All of those numbers will be important as to whether they begin these tapering that the market seems confident they will be doing in September. My view is that the data will disappoint and indicate there is no rush to start tapering. That will give a boost to the Australian dollar and to the outlook for the equity market. What about the interest rate outlook for Australia? I am even more confident about that. I think we will see a speech to tomorrow from the Governor. Most of the important data is behind us. The case has been made for an interest rate cut next Tuesday, 25 basis points. I do not expect to see anything changing that story over the course of this week.

Thank you, Bill.

The driver of last week's
deadly train crash in Spain has been charged
with 79 counts of reckless homicide. Francisco Jose Garzon Amo appeared
before a judge this morning. He admitted taking the corner
too fast, sending the train
careering off the tracks. 79 people died and more
than 100 were injured in the crash. Police in France are hunting a thief who stole more than $57 million
worth of jewels. The daring daylight robbery happened at the luxury Carlton
Intercontinental Hotel on the promenade in Cannes. A lone gunman snatched the diamonds
and other gems from an exhibition, then escaped with them
in a briefcase. Giant hailstones have battered
a town in Germany causing extensive damage. The severe storm destroyed roofs,
broke windows, cracked windscreens
and ruined garden furniture. It also damaged a local solar plant
and the roof of a petrol station.

Next in Seven News - a reality check for Richmond's
AFL finals aspirations. Sonny Bill Williams
facing suspension. And Socceroos young gun Aaron Mooy
makes his mark on the international stage.

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Roosters star Sonny Bill Williams
will almost certainly be suspended by the NRL's match review panel
today, for his shoulder to the head
of Knights prop Willie Mason. League reporter Pat Molihan
is at Roosters headquarters.

A nervous wait

A nervous wait this morning for Sonny Bill Williams and that Roosters. The match review committee is meeting to decide whether or not Sonny Bill Williams will face a

whether or not Sonny Bill Williams will face a charge for making contact at the Willie Mason. They engaged in a running battle and Sonny Bill Williams had been away from rugby league for so many years. There was no assault -- shoulder charge in a rugby union.Hopefully it goes alright. I cannot say too much. I am pretty hopeful of getting off. He head-butted me, mate!It is a sad day for the Roosters as they mourn the loss of their former coach, Graham Murray. He was the coach at the Illawarra. He guided the Roosters to a Grand Final and the North Queensland Cowboys, he took them to their maiden grand final in his time in Townsville. It is a sad, sad day. A great man and a fantastic coach. AFL finals hopefuls Richmond have
copped a serious reality check, losing to the Sydney Swans
by 47 points at the SCG.

The Tigers were outgunned
after the long break. Ty Vickery copped a head knock
and was stretchered off as the reigning premiers
cruised to victory. We got a kick up the backside today
but we certainly march back and look forward to taking
on the Hawks next Saturday. West Coast's finals hopes
are all but over, following a 22-point loss to the
Western Bulldogs at Etihad Stadium. And Port Adelaide
is back in the top eight, after defeating Brisbane
by nine points at AAMI Stadium. Ed Cowan is unlikely to be recalled
for the third Ashes test, despite scoring back-to-back half
centuries against Sussex. Cowan hit an unbeaten 77,
with the match finishing a draw. Mitchell Starc and Jackson Bird bagged two second innings wickets
each, neither man striking
a significant blow in the battle to replace
the injured James Pattinson.

You know, we certainly
weren't treating it as a bowl-off. The third test starts
in Manchester on Thursday.

A piece of magic from Aaron Mooy couldn't save the Socceroos
from defeat in their final East Asian Cup match
against China in Seoul. COMMENTATOR: Oh, what a goal! Absolutely stunning
from Aaron Mooy. An absolute bullet
from long range. Four goals were scored
in a frantic final few minutes, China winning 4-3. The understrength Socceroos finished
last in the 4-team tournament.

Our women's 4x100m freestyle
relay team has won silver at the World Swimming Championships
in Barcelona. A tearful Alicia Coutts had to be
comforted by her team-mates after she was edged out by the
United States on the final lap.

I just feel like I let them down.

The absolutely not. We would not have come second if it wasn't for her. Our men's 4x100m freestyle relay
team just missed out on a medal, finishing fourth behind France. Mark Webber has been forced
to settle for fourth behind Lewis Hamilton at the Hungarian Formula One
Grand Prix. Hamilton pushed Webber off the track
in a fierce skirmish on lap 51. Hamilton's Mercedes team-mate
Nico Rosberg made a fiery exit.

fending off challenges from
Kimi Raikkonen and Sebastian Vettel to notch his first win
of the season.

A lucky escape for spectators
at a Sprint Boat event in the United States. One of the competitors veered off
course and plowed into the crowd. Amazingly,
no-one was seriously injured and fans got the added bonus of being able to see one
of the high-powered boats up close.

Stay with me here
on Seven's Morning News. I'll be back with all the weather
details after this break.

I know. How about a Mexican feast? Mm. Oh, yeah.



You get more holiday
on a Carnival Cruise, where it's all you can taste,
celebrate and just let go.

All you can holiday.

To the weather - Brisbane,
a shower or two. Sunny in
Sydney. Canberra's
expecting showers. A possible late shower
in Hobart. Melbourne should
stay dry. Adelaide,
showers. Perth,
a shower or two. Sunny in
Darwin. And that's Seven News to now. We'll keep you up to date
throughout the day and in our bulletins at 4:30
and tonight at 6:00. I'm Ann Sanders.
Thanks for your company. Goodbye. Supertext captions by
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