South Korea unveils missile it says can hit North's leaders

SEOUL (Reuters) - South Korea unveiled a cruise missile on Thursday that it said can hit the office of North Korea's leaders, trying to address concerns that it is technologically behind its unpredictable rival which this week conducted its third nuclear test.

South Korean officials declined to say the exact range of the missile but said it could hit targets anywhere in North Korea.

The Defence Ministry released video footage of the missiles being launched from destroyers and submarines striking mock targets. The weapon was previewed in April last year and officials said deployment was now complete.

"The cruise missile being unveiled today is a precision-guided weapon that can identify and strike the window of the office of North Korea's leadership," ministry spokesman Kim Min-seok said told reporters.

North Korea has forged ahead with long-range missile development, successfully launching a rocket in December that put a satellite into orbit.

The North's ultimate aim, Washington believes, is to design an intercontinental ballistic missile capable of carrying a nuclear warhead that could hit the United States.

North Korea, which accuses the United States and its "puppet", South Korea, of war-mongering on an almost daily basis, is likely to respond angrily to South Korea flexing its muscles.

North Korea, technically still at war with the South after their 1950-53 conflict ended in a truce, not a peace treaty, carried out its third nuclear test on Tuesday, drawing condemnation from around the world including its only major ally China.

The test and the threat of more unspecified actions from Pyongyang have raised tensions on the Korean peninsula as the South prepares to inaugurate a new president on February 25.

"The situation prevailing on the Korean peninsula at present is so serious that even a slight accidental case may lead to an all-out war which can disturb the whole region," North Korea's official KCNA news agency said.

(Reporting by Ju-min Park; Editing by Nick Macfie)

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Chavez in 'tough' alternative treatment: Maduro

CARACAS: Venezuela's President Hugo Chavez is undergoing "tough and complex" alternative medical treatment in Cuba, his handpicked successor Nicolas Maduro said Wednesday.

"Our comandante is undergoing additional treatments," Maduro told state-owned VTV television after returning from a previously unannounced visit to Cuba to check up on the ailing president.

"The treatments are extremely tough and complex."

Declining to provide details about the therapy, the vice president insisted that Chavez was facing his medical travails with a "fighting spirit" despite more than two months of absence from the public eye.

Maduro said Chavez's brother Adan accompanied him on his trip to Havana, and that he met there with other relatives of the president, as well as his medical team.

National Assembly President Diosdado Cabello was due to visit Chavez in Cuba in the coming days, according to Maduro.

Chavez, 58, has not been seen or heard from since his last cancer operation on December 11 in Havana, and any news about his health is closely monitored by the Venezuelans. Chavez is said to be still recovering at a hospital in Cuba's capital.

The fiery Venezuelan leader was too sick to attend his own inauguration to a third term on January 10, prompting the government to delay the swearing-in indefinitely under an interpretation of the constitution that was heavily criticized by the opposition.

Throughout his illness, first detected in June 2011, Chavez has refused to relinquish the powers of the presidency.

- AFP/ck

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Hackers can easily breach Emergency Alert Systems

Hackers broke into several television stations' Emergency Alert Systems this week and broadcast that zombies were "rising from their graves" and "attacking the living."

While a comical hoax, security consultancy firm IOActive warns that this type of behavior is dangerous and not that hard for hackers to do, according to Computerworld. This week it's zombies, but next time it could be something that might make people really panic, such as an anthrax or terrorist attack.

IOActive says that devices used by TV and radio stations to air emergency alerts have critical vulnerabilities that make them susceptible to cyberattacks. If these devices are breached, hackers could feasibly broadcast anything they like to millions of viewers and listeners.

"We found some devices directly connected to the Internet and we think that it's possible that hackers are currently exploiting some of these vulnerabilities or some other flaws," chief technology officer of IOActive Cesar Cerrudo told Computerworld.

Cerrudo says that at least two types of Emergency Alert System devices are especially vulnerable to attacks. "We contacted CERT [U.S. Computer Emergency Readiness Team] almost a month ago and CERT is coordinating with the vendor to get the issues fixed," he said.

The hacker that got into the television stations' systems for the zombie hoax reportedly used a "back door" attack.

"It has been determined that a 'back door' attack allowed the hacker to access the security of the EAS equipment," station manager for ABC 10, one of the stations affected, Cynthia Thompson wrote in a blog post. "The nature of the message Monday night was not necessarily dangerous, but the fact that the system was vulnerable to outside intrusion is a danger."

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Source: American, US Airways merger approved

Updated 8:13 PM ET

(MoneyWatch) CBS News has learned that the boards of American Airlines and US Airways (LCC) have approved a merger that would create the world's biggest carrier.

Under the deal, which is expected to be unveiled Thursday if the timeline isn't moved up sooner and there are no last-minute snags, the combined airline would keep the "American" name. It would still require federal approval, although that is virtually ensured. US Air CEO Doug Parker is expected to lead the combined company.

A merger of US Air and American would surpass a 2010 tie-up between United Airlines (UAL) and Continental and a 2008 deal joining Delta (DAL) and Northwest. The merged American would be the largest carrier and sport a market valuation of roughly $10 billion.

Although airlines tout such consolidation as a way to cut costs and expand service amid intense competition, whether industry mergers raise fares is an open question. Many analysts say yes because reduced competition in any business often results in higher prices. One study found that ticket prices went up more than 20 percent between Detroit and Atlanta after Delta bought Northwest. Fares went up more than 30 percent on routes between Chicago and Houston, as well as Newark to San Francisco, after the United-Continental deal.

In seeking to run more efficiently, merging airlines also often cut capacity and eliminate routes. 

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American close to merger with U.S. Airways

Other analysts are more optimistic about the potential benefits to travelers. They say the three largest U.S. airlines still must compete with discount carriers such as Southwest (LUV), which has flourished for years by offering low-cost flights and no-frills service.

The consolidation trend is largely blamed on the price of fuel. Oil now costs so much more per barrel than it did 10 years ago that one analyst says the margin of profit on many flights has shrunk to the value of a single seat. That means an airline can lose money if it flies with one single empty middle seat. The days of elbow room are over.

American Airlines has been operating under court supervision since declaring bankruptcy in November 2011.

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Ship Stranded: Love Boat to Horror Honeymoon

A Texas couple's fantasy wedding quickly turned into a nightmare honeymoon when the fire-damaged Carnival Cruise ship carrying them became stranded in the Gulf of Mexico.

Rob Mowlam, 37, and Stephanie Stevenson, 27, of Nederland, Texas, got married on the Carnival Triumph on Saturday. The four-day cruise was meant to be back to shore on Monday, but was left disabled by an engine fire on Sunday.

The ship is being slowly towed to shore and is expected to dock in Mobile, Ala., on Thursday if weather permits. The vessel is without air conditioning, many working toilets and some restaurant service. Passengers, many who are sleeping in tents on deck, have told ABC News the smell on the ship is foul.

That is the honeymoon setting for Mowlam and Stevenson.

"[Rob Mowlam] had been with his girlfriend, or fiance, for a long period of time and they just took the next step," Mowlam's brother James Mowlam III told ABCNews.com. "The captain is the king of the world when they're on the boat and he hitched them up."

James Mowlam said he was shocked when he heard about the stranded boat and the increasingly dire conditions on the ship.

"It is an atrocious scene to be subjected to," he said.

Mowlam said he has not been able to communicate with his brother, but that his father has had sporadic communication with him.

"It would be my guess that this would probably not be on anyone's great list of memorable wedding experiences," Mowlam said with a laugh. "Although, my mom told him that she was hoping they had a memorable wedding and I think this would classify as a memorable wedding experience."

Lt. Cmdr. Paul McConnell/U.S. Coast Guard/AP Photo

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The bride's brother, Justin Davis, told ABCNews.com that his sister works for a doctor's office and the cruise was a gift from the doctor to the staff.

Davis has not been able to speak to Stevenson but said that her two young sons are being cared for by her mother. He said his sister is tough and he guesses she's probably not scared.

"She might be a little aggravated at the situation, but I'd say she's [probably] handling it really well," he said.

Others on the ship do not seem to be handling the situation so well.

Elderly and disabled passengers aboard the ship are struggling to cope with the worsening conditions, according to at least one passenger.

"Elderly and handicap are struggling, the smell is gross," passenger Ann Barlow text-messaged ABC News overnight. "Our room is leaking sewage."

The head of Carnival Cruise Lines said the British-U.S.-owned company was working hard to ensure the thousands of passengers stranded on the disabled ship were as comfortable as possible while the vessel was being towed to a port in Alabama.

"I need to apologize to our guests and to our families that have been affected by a very difficult situation," Carnival Cruise Lines president and CEO Gerry Cahill said at a news conference Tuesday evening.

It was the first time since a fire erupted in Triumph's engine room Sunday, knocking out its four engines, that a company representative had spoken publicly. The Triumph, with roughly 4,200 people on board, was left bobbing like a 100,000-ton cork for more than 24 hours. Giant sea-faring tugboats then hooked up to the ship and began towing the nearly 900-foot-long ship to land.

Carnival spokeswoman Joyce Oliva told The Associated Press Tuesday that a passenger with a pre-existing medical condition was taken off the ship as a precaution. Everyone else will likely have to weather conditions such as scarce running water, no air conditioning and long lines for food.

Back on land, passenger Barlow's 11-year-old twins told ABC News Tuesday they are worried as more passengers continue to talk about living with limited power and sanitation.

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North Korean nuclear test draws anger, including from China

SEOUL (Reuters) - North Korea conducted its third nuclear test on Tuesday in defiance of U.N. resolutions, drawing condemnation from around the world, including from its only major ally, China, which summoned the North Korean ambassador to protest.

Pyongyang said the test was an act of self-defense against "U.S. hostility" and threatened stronger steps if necessary.

The test puts pressure on U.S. President Barack Obama on the day of his State of the Union speech and also puts China in a tight spot, since it comes in defiance of Beijing's admonishments to North Korea to avoid escalating tensions.

The U.N. Security Council held an emergency meeting at which its members, including China, "strongly condemned" the test and vowed to start work on appropriate measures in response, the president of the council said.

North Korean leader Kim Jong-un, the third of his line to rule the country, has presided over two long-range rocket launches and a nuclear test during his first year in power, pursuing policies that have propelled his impoverished and malnourished country closer to becoming a nuclear weapons power.

North Korea said the test had "greater explosive force" than those it conducted in 2006 and 2009. Its KCNA news agency said it had used a "miniaturized" and lighter nuclear device, indicating it had again used plutonium, which is suitable for use as a missile warhead.

China, which has shown signs of increasing exasperation with the recent bellicose tone of its reclusive neighbor, summoned the North Korean ambassador in Beijing and protested sternly, the Foreign Ministry said.

Foreign Minister Yang Jiechi said China was "strongly dissatisfied and resolutely opposed" to the test and urged North Korea to "stop any rhetoric or acts that could worsen situations and return to the right course of dialogue and consultation as soon as possible".

Analysts said the test was a major embarrassment to China, which is a permanent member of the Security Council and North Korea's sole major economic and diplomatic ally.

Obama called the test a "highly provocative act" that hurt regional stability.

"The danger posed by North Korea's threatening activities warrants further swift and credible action by the international community. The United States will also continue to take steps necessary to defend ourselves and our allies," Obama said.

U.S. Ambassador to the United Nations Susan Rice said Washington and its allies intended to "augment the sanctions regime" already in place due to Pyongyang's previous atomic tests. North Korea is already one of the most heavily sanctioned states in the world and has few external economic links that can be targeted.

Japanese Prime Minister Shinzo Abe said the test was a "grave threat" that could not be tolerated.

Russian Foreign Minister Sergei Lavrov urged North Korea to abandon its nuclear arms program and return to talks. NATO condemned the test as an "irresponsible act."

South Korea, still technically at war with North Korea after a 1950-53 civil war ended in a mere truce, also denounced the test. Obama spoke to South Korean President Lee Myung-bak on Tuesday and told him the United States "remains steadfast in its defense commitments" to Korea, the White House said.

MAXIMUM RESTRAINT

North Korea's Foreign Ministry said the test was "only the first response we took with maximum restraint".

"If the United States continues to come out with hostility and complicates the situation, we will be forced to take stronger, second and third responses in consecutive steps," it said in a statement carried by the official KCNA news agency.

North Korea - which gave the U.S. State Department advance warning of the test - often threatens the United States and its "puppet", South Korea, with destruction in colorful terms.

North Korea told the U.N. disarmament forum in Geneva that it would never bow to resolutions on its nuclear program and that prospects were "gloomy" for the denuclearization of the divided Korean peninsula because of a "hostile" U.S. policy.

Suzanne DiMaggio, an analyst at the Asia Society in New York, said North Korea had embarrassed China with the test. "China's inability to dissuade North Korea from carrying through with this third nuclear test reveals Beijing's limited influence over Pyongyang's actions in unusually stark terms," she said.

Mark Fitzpatrick of the International Institute for Strategic Studies think tank, said: "The test is hugely insulting to China, which now can be expected to follow through with threats to impose sanctions."

The magnitude of the explosion was roughly twice that of the 2009 test, according to the Vienna-based Comprehensive Nuclear-Test Ban Treaty Organization. The U.S. Geological Survey said that a seismic event measuring 5.1 magnitude had occurred.

U.S. intelligence agencies were analyzing the event and found that North Korea probably conducted an underground nuclear explosion with a yield of "approximately several kilotons", the Office of the Director of National Intelligence said.

Nuclear experts have described Pyongyang's previous two tests as puny by international standards. The yield of the 2006 test has been estimated at less than 1 kiloton (1,000 tons of TNT equivalent) and the second at some 2-7 kilotons, compared with 20 kilotons for a Nagasaki-type bomb.

Initial indications are that the test involved the latest version of a plutonium-based prototype weapon, according to one current and one former U.S. national security official. Both previous tests involved plutonium. If it turns out the test was of a new uranium-based weapon, it would show that North Korea has made more progress on uranium enrichment than previously thought.

The United States uses WC-135 Constant Phoenix "sniffer" aircraft to collect samples to identify nuclear explosions. These would need to be deployed quickly to detect whether highly enriched uranium rather than plutonium was used because uranium decays to undetectable levels within a matter of days. Plutonium takes much longer to decay.

North Korea trumpeted news of the test on its state television channel to patriotic music against a backdrop of its national flag.

"It was confirmed that the nuclear test that was carried out at a high level in a safe and perfect manner using a miniaturized and lighter nuclear device with greater explosive force than previously did not pose any negative impact on the surrounding ecological environment," KCNA said.

North Korea linked the test to its technical prowess in launching a long-range rocket in December, a move that triggered the U.N. sanctions, backed by China, that Pyongyang said prompted it to take Tuesday's action.

The North's ultimate aim, Washington believes, is to design an intercontinental ballistic missile capable of carrying a nuclear warhead that could hit the United States. North Korea says the program is aimed at putting satellites in space.

Despite its three nuclear tests and long-range rocket tests, North Korea is not believed to be close to manufacturing a nuclear missile capable of hitting the United States.

It used plutonium in previous nuclear tests and before Tuesday there had been speculation that it would use highly enriched uranium so as to conserve its plutonium stocks, as testing eats into its limited supply of materials to construct a nuclear bomb.

"VICIOUS CYCLE"

When Kim Jong-un, who is 30, took power after his father's death in December 2011, there were hopes that he would bring reforms and end Kim Jong-il's "military first" policies.

Instead, North Korea, whose economy is smaller than it was 20 years ago and where a third of children are believed to be malnourished, appears to be trapped in a cycle of sanctions followed by further provocations.

"The more North Korea shoots missiles, launches satellites or conducts nuclear tests, the more the U.N. Security Council will impose new and more severe sanctions," said Shen Dingli, a professor at Shanghai's Fudan University. "It is an endless, vicious cycle."

Options for the international community appear to be in short supply. Diplomats at the United Nations said negotiations on new sanctions could take weeks since China is likely to resist tough new measures for fear they could lead to further retaliation by the North Korean leadership.

Beijing has also been concerned that tougher sanctions could further weaken North Korea's economy and prompt a flood of refugees into China.

Tuesday's action appeared to have been timed for the run-up to February 16 anniversary celebrations of Kim Jong-il's birthday, as well as to achieve maximum international attention.

Significantly, the test comes at a time of political transition in China, Japan and South Korea, and as Obama begins his second term. The U.S. president will likely have to tweak his State of the Union address due to be given on Tuesday.

Japanese Prime Minister Shinzo Abe is bedding down a new government and South Korea's new president, Park Geun-hye, is preparing to take office on February 25.

China too is in the midst of a once-in-a-decade leadership transition to Xi Jinping, who takes office in March. Both Abe and Xi are staunch nationalists.

The longer-term game plan from Pyongyang may be to restart international talks aimed at winning food and financial aid. China urged it to return to the stalled "six-party" talks on its nuclear program, hosted by China and including the two Koreas, the United States, Japan and Russia.

Its puny economy and small diplomatic reach mean that North Korea struggles to win attention on the global stage - other than through nuclear tests and attacks on South Korea, the last of which was made in 2010.

"Now the next step for North Korea will be to offer talks... - any form to start up discussion again to bring things to their advantage," predicted Jeung Young-tae, senior research fellow at the Korea Institute for National Unification in Seoul.

(Additional reporting by Jack Kim, Christine Kim and Jumin Park in SEOUL; Linda Sieg in TOKYO; Louis Charbonneau and Michelle Nichols at the UNITED NATIONS; Fredrik Dahl in VIENNA; Michael Martina and Chen Aizhu in BEIJING; Mette Fraende in COPENHAGEN; Adrian Croft, Charlie Dunmore and Justyna Pawlak in BRUSSELS; Mark Hosenball, Paul Eckert, Roberta Rampton, Tabassum Zakaria and Jeff Mason in WASHINGTON; Editing by Nick Macfie, Claudia Parsons and David Brunnstrom)

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Train services between Marina Bay & Toa Payoh resume

SINGAPORE: SMRT said full train services between Marina Bay and Toa Payoh stations resumed at 11:20am.

In a tweet by SMRT at 11:30am, it said free buses to continue until further notice.

This comes after a cable caught fire in the tunnel at Newton station, causing train services on the North South Line to be disrupted on Wednesday morning.

In an earlier statement, SMRT said the fire has been put out.

The Singapore Civil Defence Force (SCDF) said they were informed of the incident at 9:04am and despatched two red rhinos, two fire engines, two fire bikes, two support vehicles and an ambulance.

SCDF also added that the fire involved electrical wiring about five metres away from the platform of the station.

The fire was extinguished using fire extinguishers and a small quantity of foam.

It added that no injuries have been reported so far.

Investigations into the cause of the fire are ongoing.

SMRT said passengers who could not continue with their journey because of the disruption, or had to exit an SMRT train station without taking a trip but had their fares deducted can get a refund at the Passenger Service Centre in any of SMRT's 83 stations within the next 14 days.

- CNA/ck

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Apple reportedly has 100-person team working on 'iWatch'

Is Apple eyeing an iWatch?

(Credit:
Sarah Tew and Christopher MacManus/CNET)

As the Apple "iWatch" rumor mill gets wound up, a new report holds that Apple already has a team of 100 people working on the rumored smart wristwatch, including some prominent Apple employees.

Following initial reports earlier this week that Apple was developing an iOS-based wristwatch, unnamed sources tell Bloomberg that the team working on just such a device has grown over the past year and includes employees from its marketing, software, and hardware units who had previously worked on the iPhone and
iPad.

Key members of the team are said to include James Foster, Apple's senior director of engineering, and Achim Pantfoerder, a program manager who is credited with 13 Apple patents, including an electronic sighting compass and ambient light sensor.

The report comes on the heels of a New York Times report over the weekend that said Apple was experimenting with wristwatch-like devices that sported curved glass. However, a team of this size and with such prominent membership suggests the company might be farther ahead than the experimental phase.

CNET has contacted Apple for comment and will update this report when we learn more.

Previous reports held that Apple had partnered with Intel to develop an iOS wristwatch that would be Bluetooth-enabled and sport a 1.5-inch OLED screen.

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State of the Union: "Act two" of Obama's 2nd term

When the curtain rises on President Obama's State of the Union speech tonight, the White House wants it viewed as "Act Two" - a follow-up to the national goals and policy objectives of which he spoke 22 days earlier on the West Front of the Capitol.

"The president has always viewed the two speeches, the inaugural address and the State of The Union, as two acts in the same play," said press secretary Jay Carney yesterday.

Though Mr. Obama has given more speeches this year on his proposals to stem gun violence and overhaul immigration policy, the "core emphasis" of his speech tonight is the economy.

"You'll hear from the president a very clear call for the need to take action to help our economy grow and help it create jobs," said Carney.

That includes the showdown with Congress over the mandatory spending cuts due to take effect starting March 1.

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Valerie Jarrett on SOTU: "An optimistic vision"

The president will urge Congress "not to shoot the economy in the foot," said Carney, by agreeing to his plan to avert the across-the-board spending cuts which the White House portrays as mindless and severe.

The president will again make it clear he wants a "balanced" plan that calls for additional tax revenue from America's top earners.

"My message to Congress is this: let's keep working together to solve this problem," the president said Saturday in his weekly address.

But Republican leaders say Mr. Obama already got his tax hikes as part of the "fiscal cliff" package, and now needs to focus exclusively on reductions in spending.

It'll be Mr. Obama's seventh appearance before a Joint Session of Congress and he'll be taking the rostrum aware that the national unemployment rate still hovers just under 8 percent and economic growth fell into negative territory at the end of 2012.

"The economy is not in a worse place than it was before," said Carney, pointing to the progress made since Mr. Obama's first State of the Union Address. "We were in economic freefall."

He said the president will make the case that "we are at a moment when the economy is poised to continue to grow...to build on the job creation that we've achieved -- over 6.1 million jobs created by our businesses over the past 35 or 36 months."

Carney added the president will propose further steps to grow the economy in a way that makes the middle class more secure and helps those trying to climb the ladder into the middle class.

"That is absolutely going to be his focus in the second term as it was in the first term," said Carney.

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Wanted Ex-Cop Believed in Armed Cabin Standoff

Fugitive former cop Christopher Dorner has barricaded himself inside a mountain cabin near Big Bear, Calif., and exchanged gunfire with police who had pursued him after he broke into a home in the area, authorities said.

Two San Bernadino County Sheriff's deputies injured in the firefight and subsequently airlifted to a nearby hospital. The extent of their injuries is unknown.

Dozens of local, state and federal authorities are at the scene in the San Bernadino Mountains, surrounding the cabin and engaged in an intense standoff with Dorner, a former Navy marksman who swore to kill police and their family members in a manifesto discovered online last week.

Dorner is believed to have broken into another home nearby and taken two women hostage before stealing a car, police said. Officials say Dorner crashed the vehicle and fled on foot, where sheriff's deputies and state Fish and Game officers exchanged fire with him, before he barricaded himself in the cabin.

The two hostages, who were tied up by Dorner but later escaped, were evaluated by paramedics and were determined to be uninjured.

Police have sealed all roads going into the area and imposed a no-fly zone above the cabin, which is in a wooded area that has received several inches of snow in recent days.

Four Big Bear area schools were briefly placed on lockdown.

The San Bernardino County Sheriff's Department stopped all traffic leaving the area and thoroughly searched vehicles, as SWAT team and tactical units could be seen driving toward the cabin, their sirens blaring.

Los Angeles Police Department/AP Photo

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Authorities believer Dorner may be watching reports of the standoff and have asked media not to broadcast images of police surrounding the cabin.

"If he's watching this, the message... is: Enough is enough. It's time to turn yourself in. It's time to stop the bloodshed. It's time to let this event and let this incident be over," said Los Angeles Police spokesman Andy Smith, told reporters at a press conference.

Dorner faces capital murder charges that involve the killing of Riverside police officer Michael Crain, who was gunned down in an ambush last Thursday.

Since then a massive manhunt has been underway, focused primarily in the San Bernardino Mountains, but extending to neighboring states and as far away as Mexico.

A capital murder charge could result in the death penalty if Dorner is captured alive and convicted. Crain was married with two children, aged 10 and 4.

The charges do not involve the slayings of Monica Quan and her fiance, who were found shot to death Feb. 3. Quan was the daughter of former LAPD Capt. Randal Quan, who was mentioned as a target of Dorner's fury in his so-called "manifesto," which he posted on his Facebook page.

PHOTOS: Former LAPD Officer Suspected in Shootings

In the 6,000 word "manifesto," Dorner outlined his anger at the Los Angeles Police Department for firing him, and made threats against individuals he believed were responsible for ending his career with the police force five years ago.

Dorner's grievance with police goes back five years when he was fired after filing a false report accusing other cops of brutality.

The LAPD has assigned 50 protection details to guard officers and their families who were deemed possible targets.

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