Asia to get almost 10,000 planes over 20 years: Airbus






SINGAPORE: Asia-Pacific carriers will take delivery of 9,870 new passenger and cargo aircraft valued at US$1.6 trillion over the next 20 years, European plane manufacturer Airbus said Monday.

The region will account for 35 percent of aircraft deliveries worldwide and 40 percent of the market in terms of value during the period, putting it ahead of Europe and North America, Airbus said in a statement.

Airbus expects a total of 28,200 new aircraft deliveries globally with a market value of US$4.0 trillion in the next 20 years.

"Everything is going to grow, but the shift to Asia-Pacific in terms of market share and market presence is going to be enormous," said Airbus chief operating officer John Leahy.

"Growing economies, bigger cities and increasing wealth will see more people flying, driving the need for larger and more efficient aircraft," he told journalists in Singapore.

Emerging markets like China and India as well as the growing middle class in the region are powering demand for new aircraft, Leahy said, with Asia-Pacific carriers favouring wide-body models.

The size of the middle class in the Asia-Pacific region is expected to increase fivefold from 746 million in 2011 to 3.4 billion in 2031, according to estimates cited by Airbus.

In contrast, the number of people making up the middle class in North America is expected to drop while a modest increase is predicted for Europe during the 20-year period.

Domestic travel in the United States, which currently holds the largest share of world passenger traffic, is also expected to be matched by travel within China in 2031 at 10.4 percent of the global total.

-AFP/fl



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FDA approves new targeted breast cancer drug


WASHINGTON (AP) — The Food and Drug Administration has approved a first-of-a-kind breast cancer medication that targets tumor cells while sparing healthy ones.


The drug Kadcyla from Roche combines the established drug Herceptin with a powerful chemotherapy drug and a third chemical linking the medicines together. The chemical keeps the cocktail intact until it binds to a cancer cell, delivering a potent dose of anti-tumor poison.


Cancer researchers say the drug is an important step forward because it delivers more medication while reducing the unpleasant side effects of chemotherapy.


"This antibody goes seeking out the tumor cells, gets internalized and then explodes them from within. So it's very kind and gentle on the patients — there's no hair loss, no nausea, no vomiting," said Dr. Melody Cobleigh of Rush University Medical Center. "It's a revolutionary way of treating cancer."


Cobleigh helped conduct the key studies of the drug at the Chicago facility.


The FDA approved the new treatment for about 20 percent of breast cancer patients with a form of the disease that is typically more aggressive and less responsive to hormone therapy. These patients have tumors that overproduce a protein known as HER-2. Breast cancer is the second most deadly form of cancer in U.S. women, and is expected to kill more than 39,000 Americans this year, according to the National Cancer Institute.


The approval will help Roche's Genentech unit build on the blockbuster success of Herceptin, which has long dominated the breast cancer marketplace. The drug had sales of roughly $6 billion last year.


Genentech said Friday that Kadcyla will cost $9,800 per month, compared to $4,500 per month for regular Herceptin. The company estimates a full course of Kadcyla, about nine months of medicine, will cost $94,000.


FDA scientists said they approved the drug based on company studies showing Kadcyla delayed the progression of breast cancer by several months. Researchers reported last year that patients treated with the drug lived 9.6 months before death or the spread of their disease, compared with a little more than six months for patients treated with two other standard drugs, Tykerb and Xeloda.


Overall, patients taking Kadcyla lived about 2.6 years, compared with 2 years for patients taking the other drugs.


FDA specifically approved the drug for patients with advanced breast cancer who have already been treated with Herceptin and taxane, a widely used chemotherapy drug. Doctors are not required to follow FDA prescribing guidelines, and cancer researchers say the drug could have great potential in patients with earlier forms of breast cancer


Kadcyla will carry a boxed warning, the most severe type, alerting doctors and patients that the drug can cause liver toxicity, heart problems and potentially death. The drug can also cause severe birth defects and should not be used by pregnant women.


Kadcyla was developed by South San Francisco-based Genentech using drug-binding technology licensed from Waltham, Mass.-based ImmunoGen. The company developed the chemical that keeps the drug cocktail together and is scheduled to receive a $10.5 million payment from Genentech on the FDA decision. The company will also receive additional royalties on the drug's sales.


Shares of ImmunoGen Inc. rose 2 cents to $14.32 in afternoon trading. The stock has ttraded in a 52-wek range of $10.85 to $18.10.


Read More..

FDA approves new targeted breast cancer drug


WASHINGTON (AP) — The Food and Drug Administration has approved a first-of-a-kind breast cancer medication that targets tumor cells while sparing healthy ones.


The drug Kadcyla from Roche combines the established drug Herceptin with a powerful chemotherapy drug and a third chemical linking the medicines together. The chemical keeps the cocktail intact until it binds to a cancer cell, delivering a potent dose of anti-tumor poison.


Cancer researchers say the drug is an important step forward because it delivers more medication while reducing the unpleasant side effects of chemotherapy.


"This antibody goes seeking out the tumor cells, gets internalized and then explodes them from within. So it's very kind and gentle on the patients — there's no hair loss, no nausea, no vomiting," said Dr. Melody Cobleigh of Rush University Medical Center. "It's a revolutionary way of treating cancer."


Cobleigh helped conduct the key studies of the drug at the Chicago facility.


The FDA approved the new treatment for about 20 percent of breast cancer patients with a form of the disease that is typically more aggressive and less responsive to hormone therapy. These patients have tumors that overproduce a protein known as HER-2. Breast cancer is the second most deadly form of cancer in U.S. women, and is expected to kill more than 39,000 Americans this year, according to the National Cancer Institute.


The approval will help Roche's Genentech unit build on the blockbuster success of Herceptin, which has long dominated the breast cancer marketplace. The drug had sales of roughly $6 billion last year.


Genentech said Friday that Kadcyla will cost $9,800 per month, compared to $4,500 per month for regular Herceptin. The company estimates a full course of Kadcyla, about nine months of medicine, will cost $94,000.


FDA scientists said they approved the drug based on company studies showing Kadcyla delayed the progression of breast cancer by several months. Researchers reported last year that patients treated with the drug lived 9.6 months before death or the spread of their disease, compared with a little more than six months for patients treated with two other standard drugs, Tykerb and Xeloda.


Overall, patients taking Kadcyla lived about 2.6 years, compared with 2 years for patients taking the other drugs.


FDA specifically approved the drug for patients with advanced breast cancer who have already been treated with Herceptin and taxane, a widely used chemotherapy drug. Doctors are not required to follow FDA prescribing guidelines, and cancer researchers say the drug could have great potential in patients with earlier forms of breast cancer


Kadcyla will carry a boxed warning, the most severe type, alerting doctors and patients that the drug can cause liver toxicity, heart problems and potentially death. The drug can also cause severe birth defects and should not be used by pregnant women.


Kadcyla was developed by South San Francisco-based Genentech using drug-binding technology licensed from Waltham, Mass.-based ImmunoGen. The company developed the chemical that keeps the drug cocktail together and is scheduled to receive a $10.5 million payment from Genentech on the FDA decision. The company will also receive additional royalties on the drug's sales.


Shares of ImmunoGen Inc. rose 2 cents to $14.32 in afternoon trading. The stock has ttraded in a 52-wek range of $10.85 to $18.10.


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Abe vows to revive Japanese economy, sees no escalation with China


WASHINGTON (Reuters) - Japanese Prime Minister Shinzo Abe told Americans on Friday "I am back and so is Japan" and vowed to get the world's third biggest economy growing again and to do more to bolster security and the rule of law in an Asia roiled by territorial disputes.


Abe had firm words for China in a policy speech to a top Washington think-tank, but also tempered his remarks by saying he had no desire to escalate a row over islets in the East China Sea that Tokyo controls and Beijing claims.


"No nation should make any miscalculation about firmness of our resolve. No one should ever doubt the robustness of the Japan-U.S. alliance," he told the Center for Strategic and International Studies.


"At the same time, I have absolutely no intention to climb up the escalation ladder," Abe said in a speech in English.


After meeting U.S. President Barack Obama on his first trip to Washington since taking office in December in a rare comeback to Japan's top job, he said he told Obama that Tokyo would handle the islands issue "in a calm manner."


"We will continue to do so and we have always done so," he said through a translator, while sitting next to Obama in the White House Oval Office.


Tension surged in 2012, raising fears of an unintended military incident near the islands, known as the Senkaku in Japan and the Diaoyu in China. Washington says the islets fall under a U.S.-Japan security pact, but it is eager to avoid a clash in the region.


Abe said he and Obama "agreed that we have to work together to maintain the freedom of the seas and also that we would have to create a region which is governed based not on force but based on an international law."


Abe, whose troubled first term ended after just one year when he abruptly quit in 2007, has vowed to revive Japan's economy with a mix of hyper-easy monetary policy, big spending, and structural reform. The hawkish leader is also boosting Japan's defense spending for the first time in 11 years.


"Japan is not, and will never be, a tier-two country," Abe said in his speech. "So today ... I make a pledge. I will bring back a strong Japan, strong enough to do even more good for the betterment of the world."


'ABENOMICS' TO BOOST TRADE


The Japanese leader stressed that his "Abenomics" recipe would be good for the United States, China and other trading partners.


"Soon, Japan will export more, but it will import more as well," Abe said in the speech. "The U.S. will be the first to benefit, followed by China, India, Indonesia and so on."


Abe said Obama welcomed his economic policy, while Deputy Chief Cabinet Secretary Katsunobu Kato said the two leaders did not discuss currencies, in a sign that the U.S. does not oppose "Abenomics" despite concern that Japan is weakening its currency to export its way out of recession.


The United States and Japan agreed language during Abe's visit that could set the stage for Tokyo to join negotiations soon on a U.S.-led regional free trade agreement known as the Trans-Pacific Partnership.


In a carefully worded statement following the meeting between Obama and Abe, the two countries reaffirmed that "all goods would be subject to negotiations if Japan joins the talks with the United States and 10 other countries.


At the same time, the statement envisions a possible outcome where the United States could maintain tariffs on Japanese automobiles and Japan could still protect its rice sector.


"Recognizing that both countries have bilateral trade sensitivities, such as certain agricultural products for Japan and certain manufactured products for the United States, the two governments confirm that, as the final outcome will be determined during the negotiations, it is not required to make a prior commitment to unilaterally eliminate all tariffs upon joining the TPP negotiations," the statement said.


Abe repeated that Japan would not provide any aid for North Korea unless it abandoned its nuclear and missile programs and released Japanese citizens abducted decades ago to help train spies.


Pyongyang admitted in 2002 that its agents had kidnapped 13 Japanese in the 1970s and 1980s. Five have been sent home, but Japan wants better information about eight who Pyongyang says are dead and others Tokyo believes were also kidnapped.


Abe also said he hoped to have a meeting with new Chinese leader Xi Jinping, who takes over as president next month, and would dispatch Finance Minister Taro Aso to attend the inauguration of incoming South Korean President Park Geun-hye next week.


(Additional reporting by Jeff Mason and Doug Palmer; Editing by David Brunnstrom and Paul Simao)



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Chavez "working" from hospital, aide says






CARACAS: Venezuelan President Hugo Chavez is able to work on government issues and is "very energetic" despite being hospitalised and breathing through a tube, a top aide said Saturday.

The 58-year-old president has not been seen or heard from since Monday, when he returned to Caracas from cancer surgery in Cuba.

"The president continues to breathe through a tracheal tube, but he is able to communicate with us through written notes and give us instructions," Vice President Nicolas Maduro told local television.

He said he spent more than five hours with Chavez in his hospital room on Friday, and was able to discuss several issues, specifically military affairs and the economy.

"He was very energetic, had a lot of spirit and vitality, and that's what we wanted to tell the people despite the late hour," Maduro said.

"We have reviewed a number of subjects, and he told us about being extremely happy to be in Caracas, the city of his heart."

Since his last surgery, the only photos released of Chavez came out almost a week ago. He was seen bed-ridden but smiling, looking through a newspaper with two of his daughters at his side.

At the Caracas military hospital where Chavez is said to be continuing his convalescence, soldiers are on guard outside to keep out journalists and curious onlookers.

Chavez had declared himself free of cancer after earlier rounds of surgery and went on to win another six-year term in October elections.

But he later suffered a relapse and after the latest surgery in Havana on December 11, he was too sick to return to Venezuela for his scheduled inauguration on January 10.

The inauguration has been postponed indefinitely, prompting the opposition to cry foul. Vice President Nicolas Maduro, Chavez's handpicked heir, has essentially been running the country in Chavez's absence.

-AFP/fl



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Akbaruddin Owaisi asked to appear before court on March 1

BANGALORE: A city court today directed Majlis-e-Ittehadul Muslimeen legislator Akbaruddin Owaisi to appear before it on March 1 in connection with a criminal case filed against him for alleged hate speech.

Chief metropolitan magistrate Rajashekhar V Patil directed Owaisi to appear before the court on March 1 after he kept aside the application filed by him seeking exemption from appearing before the court on health grounds.

Owaisi's counsel Mohammad Jaffer Shah sought two weeks time for appearing before the court as his client has been advised bed rest. "He is carrying bullet injuries which he suffered a long time back. One bullet is still in his body and doctors have advised him bed rest due to mental stress," he argued.

On January 23, Patil had issued summons to Owaisi on two complaints lodged by advocates K Dilip Kumar and Dharmapal praying for prosecuting Owaisi for his hate speech in Andhra Pradesh last year.

The court had directed Andhra Pradesh DGP to produce the Majlis-e-Ittehadul Muslimeen leader before it on February 23.

Owaisi, the All India Majlis-e-Ittehad-ul Muslimeen's (MIM) floor leader in the Andhra Pradesh assembly, was arrested by the police in Hyderabad on January 8 and was lodged jail in Adilabad district.

On February 15 the First additional sessions court in Adilabad granted conditional bail to Owaisi.

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FDA approves new targeted breast cancer drug


WASHINGTON (AP) — The Food and Drug Administration has approved a first-of-a-kind breast cancer medication that targets tumor cells while sparing healthy ones.


The drug Kadcyla from Roche combines the established drug Herceptin with a powerful chemotherapy drug and a third chemical linking the medicines together. The chemical keeps the cocktail intact until it binds to a cancer cell, delivering a potent dose of anti-tumor poison.


Cancer researchers say the drug is an important step forward because it delivers more medication while reducing the unpleasant side effects of chemotherapy.


"This antibody goes seeking out the tumor cells, gets internalized and then explodes them from within. So it's very kind and gentle on the patients — there's no hair loss, no nausea, no vomiting," said Dr. Melody Cobleigh of Rush University Medical Center. "It's a revolutionary way of treating cancer."


Cobleigh helped conduct the key studies of the drug at the Chicago facility.


The FDA approved the new treatment for about 20 percent of breast cancer patients with a form of the disease that is typically more aggressive and less responsive to hormone therapy. These patients have tumors that overproduce a protein known as HER-2. Breast cancer is the second most deadly form of cancer in U.S. women, and is expected to kill more than 39,000 Americans this year, according to the National Cancer Institute.


The approval will help Roche's Genentech unit build on the blockbuster success of Herceptin, which has long dominated the breast cancer marketplace. The drug had sales of roughly $6 billion last year.


Genentech said Friday that Kadcyla will cost $9,800 per month, compared to $4,500 per month for regular Herceptin. The company estimates a full course of Kadcyla, about nine months of medicine, will cost $94,000.


FDA scientists said they approved the drug based on company studies showing Kadcyla delayed the progression of breast cancer by several months. Researchers reported last year that patients treated with the drug lived 9.6 months before death or the spread of their disease, compared with a little more than six months for patients treated with two other standard drugs, Tykerb and Xeloda.


Overall, patients taking Kadcyla lived about 2.6 years, compared with 2 years for patients taking the other drugs.


FDA specifically approved the drug for patients with advanced breast cancer who have already been treated with Herceptin and taxane, a widely used chemotherapy drug. Doctors are not required to follow FDA prescribing guidelines, and cancer researchers say the drug could have great potential in patients with earlier forms of breast cancer


Kadcyla will carry a boxed warning, the most severe type, alerting doctors and patients that the drug can cause liver toxicity, heart problems and potentially death. The drug can also cause severe birth defects and should not be used by pregnant women.


Kadcyla was developed by South San Francisco-based Genentech using drug-binding technology licensed from Waltham, Mass.-based ImmunoGen. The company developed the chemical that keeps the drug cocktail together and is scheduled to receive a $10.5 million payment from Genentech on the FDA decision. The company will also receive additional royalties on the drug's sales.


Shares of ImmunoGen Inc. rose 2 cents to $14.32 in afternoon trading. The stock has ttraded in a 52-wek range of $10.85 to $18.10.


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Cyberattacks Bring Attention to Security Reform











Recent accusations of a large-scale cyber crime effort by the Chinese government left many wondering what immediate steps the president and Congress are taking to prevent these attacks from happening again.


On Wednesday, the White House released the administration's Strategy on Mitigating the Theft of U.S. Trade Secrets as a follow-up to the president's executive order. The strategy did not outwardly mention China, but it implied U.S. government awareness of the problem.


"We are taking a whole of government approach to stop the theft of trade secrets by foreign competitors or foreign governments by any means -- cyber or otherwise," U.S. Intellectual Property Enforcement Coordinator Victoria Espinel said in a White House statement.


As of now, the administration's strategy is the first direct step in addressing cybersecurity, but in order for change to happen Congress needs to be involved. So far, the Cyber Intelligence Sharing and Protection Act (CISPA) is the most notable Congressional legislation addressing the problem, despite its past controversy.


Last April, CISPA was introduced by House Intelligence Committee Chairman Mike Rogers, R-Mich., and Rep. Dutch Ruppersberger, D-Md. The act would allow private companies with consumer information to voluntarily share those details with the NSA and the DOD in order to combat cyber attacks.






Peter Parks/AFP/Getty Images







The companies would be protected from any liabilities if the information was somehow mishandled. This portion of the act sounded alarm bells for CISPA's opponents, like the ACLU, which worried that this provision would incentivize companies to share individuals' information with disregard.


CISPA passed in the House of Representatives, despite a veto threat from the White House stemming from similar privacy concerns. The bill then died in the Senate.


This year, CISPA was reintroduced the day after the State of the Union address during which the president declared an executive order targeting similar security concerns from a government standpoint.


In contrast to CISPA, the executive order would be initiated on the end of the government, and federal agencies would share relevant information regarding threats with private industries, rather than asking businesses to supply data details. All information shared by the government would be unclassified.


At the core of both the executive order and CISPA, U.S. businesses and the government would be encouraged to work together to combat cyber threats. However, each option would clearly take a different route to collaboration. The difference seems minimal, but has been the subject of legislative debates between the president and Congress for almost a year, until now.


"My response to the president's executive order is very positive," Ruppersberger told ABC News. "[The president] brought up how important information sharing is [and] by addressing critical infrastructure, he took care of another hurdle that we do not have to deal with."


Addressing privacy roadblocks, CISPA backers said the sharing of private customer information with the government, as long as personal details are stripped, is not unprecedented.


"Think of what we do with HIPAA in the medical professions; [doctors do not need to know] the individual person, just the symptoms to diagnose a disease," Michigan Gov. John Engler testified at a House Intelligence Committee hearing in an attempt to put the problem into context.






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Syrian opposition says Assad cannot be part of deal


CAIRO (Reuters) - The opposition Syrian National Coalition is willing to negotiate a peace deal to end the country's civil war but President Bashar al-Assad must step down and cannot be a party to any settlement, members agreed after debating a controversial initiative by their president.


The meeting of the 70-member Western, Arab and Turkish-backed coalition began on Thursday before Syrian Foreign Minister Walid al-Moualem is due for talks in Moscow, one of Assad's last foreign allies, and as U.N. mediator Lakhdar Brahimi renews efforts for a deal.


After an angry late night session in which coalition president Moaz Alkhatib came under strong criticism from Islamist and liberal members alike for proposing talks with Assad's government without setting what they described as clear goals, the coalition adopted a political document that demands Assad's removal and trial for the bloodshed, members said.


A draft document seen by Reuters that was circulated for debate said Assad cannot be party to any political solution and has to be tried, but did not directly call for his removal.


"We have adopted the political document that sets the parameters for any talks. The main addition to the draft is a clause about the necessity of Assad stepping step down," said Abdelbasset Sida, a member of the coalition's 12 member politburo who has criticized Alkhatib for acting alone.


"We removed a clause about a need for Russian and U.S. involvement in any talks and added that the coalition's leadership has to be consulted before launching any future initiatives," he added.


Still, the agreement marked a softening of tone by the coalition because previously it had insisted that Assad must step down before any talks with his government could begin.


In an indication that Syria's strongman remains defiant, Brahimi said Assad had told him he will remain president until his term ends in 2014 and then run for re-election.


Brahimi told al-Arabiya television he wants to see a transitional government formed in Syria that would not answer to any higher authority and lasts until U.N.-supervised elections take place in the country.


"I am of the view that U.N. peacekeepers should come to Syria as happened in other countries," Brahimi said.


BOMB, AIR STRIKES


The opposition front convened in Cairo on a day when a car bomb jolted central Damascus, killing 53 people, wounding 200 and incinerating cars on a busy highway close to the Russian Embassy and offices of the ruling Baath Party.


Syrian state television blamed the suicide blast on "terrorists". Central Damascus has been relatively insulated from the 23-month conflict that has killed around 70,000 people, but the bloodshed has shattered suburbs around the capital.


In the southern city of Deraa near the border with Jordan, activists said warplanes bombed the old quarter for the first time since March 2011, when the town set in a wheat-growing plain rose up against Assad, starting a national revolt.


A rebel officer in the Tawheed al-Janoub brigade which led an offensive this week in Deraa said there were at least five air strikes on Thursday. The Syrian Observatory for Human Rights said 18 people were killed, including eight rebel fighters.


Coalition member Munther Makhos, who was forced into exile in the 1970s for his opposition to Assad's father, the late President Hafez al-Assad, said supplies from Iran and Russia were giving government forces an awesome firepower advantage.


"It would be surreal to imagine that a political solution is possible. Bashar al-Assad will not send his deputy to negotiate his removal. But we are keeping the door open," Makhos said.


Makhos is the only Alawite in the Islamist-dominated coalition. The Alawite sect, an offshoot of Shi'ite Islam which accounts for about 10 percent of Syria's population but makes up most of the intelligence apparatus and dominates the army and the political system, has generally remained behind Assad.


With Alawites feeling increasingly threatened by a violent Sunni backlash, Alkhatib, a cleric from Damascus who played a role in the peaceful protest movement against Assad at the beginning of the uprising in 2011, has been calling on Alawites to join the revolution, saying their participation will help preserve the social fabric of the country.


Alkhatib's supporters say the initiative has popular support inside Syria from people who want to see a peaceful departure of Assad and a halt to the war that has increasingly pitted his fellow Alawites against Syria's Sunni Muslim majority.


But rebel fighters on the ground, over whom Alkhatib has little control, are generally against the proposal.


The Syrian Islamic Liberation Front, which represents armed brigades, said in a statement it was opposed to Alkhatib's initiative because it ignored the revolt's goal of "the downfall of the regime and all its symbols".


"We are demanding his accountability for the bloodshed and destruction he has wreaked. I think the message is clear enough," said veteran opposition campaigner Walid al-Bunni, who supports Alkhatib.


Alkhatib formulated the initiative in broad terms last month after talks with the Russian and Iranian foreign ministers in Munich but without consulting the coalition, catching the umbrella organization by surprise.


Among Alkhatib's critics is the Muslim Brotherhood, the only organized group in the political opposition.


A Brotherhood source said the group will not scuttle the proposal because it was confident Assad is not interested in a negotiated exit, which could help convince the international community to support the armed struggle for his removal.


"Russia is key," the source said, speaking on condition of anonymity. "We are showing the international community that we are willing to take criticism from the street but the problem is Assad and his inner circle. They do not want to leave."


PLAY FOR RUSSIA


Russia hopes Alkhatib will visit soon in search of a breakthrough. Bunni said Alkhatib would not go to Moscow without the coalition's approval and that he would not be there at the same time as Moualem.


"In my opinion Alkhatib should not go to Moscow until Russia stops sending arms shipments to the Assad regime," Bunni said.


Formal backing by the coalition for Alkhatib's initiative gives it more weight internationally and undermines Assad supporters' argument that the opposition is too divided to be considered a serious player, opposition sources said.


Coalition members and diplomats based in the region said Brahimi asked Alkhatib in Cairo last week to seek full coalition backing for his plan, which resembles the U.N. envoy's own ideas for a negotiated settlement.


One diplomat in contact with the opposition and the United Nations had said a coalition approval of Alkhatib's initiative could help change the position of Russia, which has blocked several United Nations Security Council resolutions on Syria.


The diplomat said only a U.N. resolution could force Assad to the negotiating table, and a U.N. "stabilization force" may still be needed to prevent an all-out slide into a civil war.


"Brahimi has little hope that Assad will agree to any serious talks," the diplomat said. "Differences are narrowing between the United States and Russia about Syria but Moscow remains the main obstacle for Security Council action."


(Editing by Paul Taylor and Mohammad Zargham)



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Uncertainty as Italian election campaign wraps up






ROME: Italy held its final day of campaigning on Friday ahead of crucial elections, as international investors warned an unclear outcome could shake the economy and set off shockwaves through the Eurozone.

Italians will cast their ballots on Sunday and Monday as they grapple with the longest recession in two decades and austerity cuts that have caused deep resentment in the euro area's third economy.

The most likely outcome is a centre-left government led by Democratic Party leader Pier Luigi Bersani, a former communist with a down-to-earth manner who now espouses broadly pro-market economic views.

"I am very, very confident of victory although we should not underestimate the right," Bersani said in one of his last television interviews ahead of Saturday, when no campaigning is allowed.

But the result is by no means certain and whether Bersani can form a stable coalition with a majority in both houses of parliament is in serious doubt, putting the financial markets on edge.

The European Commission added further pressure on Friday, downgrading its forecast for the Italian economy to a 1.0-percent contraction this year from its previous forecast of a 0.5-percent shrinkage.

Bersani is due to address his last electoral meeting in Rome later on Friday, while his rival Silvio Berlusconi will address a rally in Naples.

With everything at stake, the campaign has been remarkably underwhelming, with few rallies and a lot of back-and-forth in television interviews with little or no hard detail on electoral promises.

A case in point was Silvio Berlusconi's vow to refund Italians an unpopular property tax levied by Prime Minister Mario Monti in an official-looking letter that prompted some people to queue up at post offices to claim their money straight away.

European capitals and foreign investors will be watching closely as a return to Italy's free-wheeling public finances could spell disaster for the Eurozone.

"We believe that a risk exists that after the February 24-25 elections there may be a loss of momentum on important reforms to improve Italian growth prospects," Standard & Poor's ratings agency said in a report this week.

London-based Capital Economics warned that even with a stable governing majority "huge underlying economic problems suggest that it may only be a matter of time before concerns about the public finances begin to build again."

"And a hung parliament might plunge Italy and the Eurozone back into crisis rather sooner," the economic research company said this week.

Polls open at 0700 GMT on Sunday and close at 1900 GMT. A second day of voting on Monday begins at 0600 GMT and ends at 1400 GMT, after which preliminary results will begin to trickle through late Monday and into Tuesday.

The wild card in the election will be Beppe Grillo, a tousle-haired former comedian whose mix of invective and idealism has appealed to crowds of protest voters fed up with corrupt politicians.

Grillo's last election rally later on Friday in a large square in Rome traditionally associated with the left is expected to be packed with supporters.

Bersani has said he will follow the course set by Monti, a former high-flying European commissioner roped in to replace the scandal-tainted Berlusconi who was forced to step down in November 2011.

But Bersani will come under immediate pressure to row back on austerity and do more to create jobs in an economy where an already record-high unemployment rate of 11.2 percent masks far higher joblessness among women and young people.

A Bersani victory is far from a sure thing mainly because of the rapid rise in the polls of Berlusconi, the irrepressible 76-year-old billionaire tycoon who is still in the game even after 20 tumultuous years in Italian politics.

This is the sixth election campaign for Berlusconi, who has been prime minister three times, has survived multiple court cases, sex scandals and diplomatic gaffes and has turned into something of an international pariah.

One recent poll said he was within 2.5 points of catching up with Bersani.

Berlusconi has pursued a populist campaign, intimating that Italy's social misery can be blamed on a "hegemonic" Germany imposing austerity.

The president of the European Parliament, Martin Schulz, who was once invited to play the role of a Nazi camp guard by Berlusconi, has warned Italians not to vote for the flamboyant tycoon.

Several polls indicate that Bersani may score only a half-victory by managing to secure a stable majority in the lower house of parliament, the Chamber of Deputies, but failing to get one in the upper house, the Senate.

That would give Monti, an economics professor who is running as head of a centrist grouping, a key role as a coalition partner and could bring him back into a government with a ministerial posting.

An average of the most recent polls would give Bersani 34 percent, Berlusconi 30 percent, Grillo 17 percent and Monti around 11 percent of the vote.

Coming after the last polls were made public, Pope Benedict XVI's resignation could boost the church-going Monti and stop Berlusconi in his tracks as it has drawn away the media attention that the showman tycoon has often relied on.

The run-up to the vote has also been marked by a succession of high-profile corruption inquiries against politicians and business leaders in a period similar to one in the early 1990s that brought down Italy's entire political system.

Monti says the scandals mark "the end of an era".

-AFP/fl



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