'Anonymous' threatens Justice Department




A screenshot at 3:35 a.m. ET on January 26, 2013, of the homepage of the United States federal sentencing website after it had been hacked by a group that identified itself as "Anonymous."




STORY HIGHLIGHTS


  • NEW: The FBI is handling the incident as a "criminal investigation"

  • Hackers say they have a file of incriminating information ready to launch

  • Anonymous is believed to be the loosely defined collective of so-called "hacktivists."

  • The threat note cited anger over the death of Internet activist Aaron Swartz




(CNN) -- In anger over the recent death of an Internet activist who faced federal charges, hackers claiming to be from the group Anonymous threatened early Saturday to release sensitive information about the U.S. Department of Justice.


They claimed to have one such file on multiple servers ready for immediate release.


The hackers apparently hijacked the website of the U.S. government agency responsible for federal sentencing guidelines, where they posted a message demanding the United States reform its justice system or face incriminating leaks to select news outlets.


The lengthy, eloquently written letter was signed "Anonymous."


Richard McFeely, executive assistant director of the FBI's Criminal, Cyber, Response, and Services Branch, said the bureau was immediately aware of the threat and is "handling it as a criminal investigation."


"We are always concerned when someone illegally accesses another person('s) or government agency's network," he said.


The suicide of Internet activist Aaron Swartz on January 11 triggered the posting of the hackers' message to the web address of the United States Sentencing Commission, they said.


His death, which they blamed on the justice system, "crossed a line," the letter said.


How Aaron Swartz helped build the Internet


A YouTube video accompanied the message, and made use of images from Cold War nuclear scenarios and games of strategy. The letter contained nuclear metaphors to refer to chunks of embarrassing information.


The hackers said they have obtained "enough fissile material for multiple warheads," which it would launch against the justice department and "its associated executive branches."


It gave the "warheads" the names of U.S. Supreme Court justices, such as Thomas.Warhead1 after Justice Clarence Thomas or Ginsburg.Warhead1 after Justice Ruth Bader Ginsberg.


'Anonymous' threatens Westboro Baptist


Anonymous accused the FBI of infiltrating its ranks and claimed the federal government is applying "highly disproportionate sentencing" to ruin the lives of some of its members.


Swartz, 26, was facing federal computer fraud charges and could have served 35 years in prison. Anonymous said he "was killed," because he "faced an impossible choice."


His family has issued a statement saying that federal charges filed over allegations that he stole millions of online documents contributed to Swartz's decision to take his own life. The files were mostly scholarly papers from the Massachusetts Institute of Technology.


Opinion: Why the Net grieves Aaron Swartz


Swartz's suicide has inspired a flurry of online tributes and mobilized Anonymous, the loosely defined collective of so-called "hacktivists" who oppose attempts to limit Internet freedoms. Both Swartz and Anonymous have been stark proponents of open access to information and open-source programming.


A review of a cached version of the USSC.gov website showed the Anonymous message on its homepage since at least 1:40 a.m. ET. Efforts to get to the website were unsuccessful by some by 6 a.m. E.T.


Anonymous also posted an editable version of the website, inviting users to deface it as they pleased. Multiple pages -- not only the home page -- appeared to allow users to alter them.


The "warhead" names appeared as links, most leading to 404 error messages of pages not found, but some leading to pages of raw programming code.


CNN has left multiple messages with the U.S. Sentencing Commission requesting a response to the hack.


The hackers said they chose the commission's website because of its influence on the doling out of sentences they consider to be unfair.


CNN's Carol Cratty, Jason Moon, AnneClaire Stapleton contributed to this report






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Hackers take over gov't website

This screenshot shows the website of the U.S. Sentencing Commission after it was hijacked by the hacker-activist group Anonymous, early Saturday, Jan. 26, 2013, to avenge the death of Aaron Swartz, an Internet activist who committed suicide. The website of the commission, an independent agency of the judicial branch, was replaced with a message warning that when Swartz killed himself two weeks ago "a line was crossed." / AP Photo

Last Updated 12:47 p.m. ET

WASHINGTON The hacker-activist group Anonymous says it hijacked the website of the U.S. Sentencing Commission to avenge the death of Aaron Swartz, an Internet activist who committed suicide.

The website of the commission, an independent agency of the judicial branch, was taken over early Saturday and replaced with a message warning that when Swartz killed himself two weeks ago "a line was crossed."

The message read in part:

Citizens of the world,
Anonymous has observed for some time now the trajectory of justice in the United States with growing concern. We have marked the departure of this system from the noble ideals in which it was born and enshrined. We have seen the erosion of due process, the dilution of constitutional rights, the usurpation of the rightful authority of courts by the "discretion" or prosecutors. We have seen how the law is wielded less and less to uphold justice, and more and more to exercise control, authority and power in the interests of oppression or personal gain."

The hackers say they've infiltrated several government computer systems and copied secret information that they now threaten to make public.

Family and friends of Swartz, who helped create Reddit and RSS, say he killed himself after he was hounded by federal prosecutors.

Officials say he helped post millions of court documents for free online and that he illegally downloaded millions of academic articles from an online clearinghouse.

By mid-morning Saturday the website was offline.

The FBI's Richard McFeely, executive assistant director of the Criminal, Cyber, Response, and Services Branch, said in a statement that "we were aware as soon as it happened and are handling it as a criminal investigation. We are always concerned when someone illegally accesses another person's or government agency's network."

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Cops Using More Private Cameras to Nab Suspects













Philadelphia detectives were able to quickly make an arrest in the murder and burning of a female pediatrician by viewing surveillance video of nearby stores and a hospital that captured the suspect entering the doctor's home and later getting into his truck.


In the hours after Dr. Melissa Ketunuti's body was found strangled and burning in her basement, city's Homicide Task Force collected surveillance footage from a coffee shop, drug store and hospital overlooking Ketunuti's block. It was footage taken from Ori Feibush's coffee shop that allowed cops to identify Smith.


The suspect, an exterminator named Jason Smith, soon confessed to detectives, police said.


Lately a range of crimes have been solved by the seemingly ubiquitous security videos maintained by private companies or citizens, and investigators have been able to quickly apprehend suspects by obtaining the video, deftly turning private cameras into effective police resources.








Philadelphia Police Arrest Suspect in Doctor's Killing Watch Video









Pa. Doctor Killing: Person of Interest in Custody Watch Video







Private surveillance cameras have become so pervasive that the face of a suspect who allegedly shot a Bronx, N.Y., cab driver in a botched robbery on Jan. 14 was splashed throughout the media within days because the cabbie had rigged his vehicle with a camera.


The New York Police Department arrested Salvatore Perrone after he was caught on surveillance video recorded near two of three shopkeeper slayings in Brooklyn, N.Y., in November. He has since been charged with murder.


And in Mesa, Ariz., surveillance footage taken in November by resident Mitch Drum showed a man rolling on the ground trying to extinguish flames that had engulfed his shirt, which had caught fire while he was allegedly siphoning gas from a car by Drum's house. The man was arrested.


Though surveillance cameras have been a staple of security since a network of government operated cameras dubbed the "ring of steel" was introduced in London in the early 1990s, police have recently launched programs to partner with more businesses.


In Philadelphia, police have launched a program for businesses to register private cameras with the department. According to the SafeCam website, businesses will only be contacted when there is a criminal incident in the vicinity of the security camera. At that point, police will request a copy of the footage for their investigation.


"Businesses are saying, 'I have a camera at this location, and it may or may not be of use to you. It's a registration to say, 'feel free to call me,'" Sgt. Joseph Green told ABCNews.com






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US scholar urges dramatic rethink on Taiwan






WASHINGTON: With Beijing growing in strength, a US scholar is calling for a major rethink on Taiwan in which the island would cut its troop numbers in half and rebrand its army as a self-defence force.

The proposal marks a rare break from the conventional view of American and Taiwanese policymakers that the island needs to close the military gap with Beijing, but its author said an opposite course could strengthen Taipei.

Scott Bates, president of the Washington-based Center for National Policy, said the balance was "irretrievably shifting" in China's favor and it was politically and economically unrealistic that Taiwan would commit enough to close the gap.

Instead, Taipei can take the lead by halving the size of its army, rebranding it as a Self-Defence Force in the style of Japan and renouncing any military action on mainland China's soil, he argued.

"If Taiwan were to take a bold step like this, that would change perceptions on the mainland and perhaps win some popular support for the Taiwanese position," said Bates, a former congressional aide.

"If there were a showdown, it might make (Beijing) think twice."

Taiwan should turn the new force into a disaster response team ready to deploy throughout Asia and also highlight the island's democracy through a major initiative that supports civil society across the continent, Bates said.

And instead of waging a battle to preserve a dwindling number of nations' recognition of Taipei instead of Beijing, Taiwan can use its diplomatic resources to seek solutions on Asia's bitter territorial disputes, he said.

The new Taiwanese approach would give the island the moral high ground, winning over global opinion and ensuring that China would appear to be the aggressor if it attacked, he argued.

"Mainland Chinese public opinion is beginning to matter more. The Chinese Communist Party cannot ignore its own people without repercussions," Bates said.

China considers Taiwan to be a territory awaiting reunification, by force if necessary. China's defeated nationalists fled to Taiwan after defeat by the communists in 1949, with the island developing into a self-ruling democracy.

The United States switched recognition from Taipei to Beijing in 1979 but at the same time Congress passed the Taiwan Relations Act, which requires Washington to provide the island with means to defend itself.

Bates said that his proposal would complement efforts by Taiwan President Ma Ying-jeou, who has sought to ease tensions with China by expanding economic ties, though domestic critics accuse Ma of jeopardising the island's de facto independence.

Bates supported the continuation of the Taiwan Relations Act, saying the island needed a credible deterrent. While cutting its army, Bates called for Taiwan to launch a major upgrade of its air defences and navy to show that any effort to gain supremacy over the island would be costly.

The Taiwan Relations Act enjoys virtually unanimous support in the US Congress, where lawmakers have pressed President Barack Obama to sell to the island new F-16 jets - a step that China strongly opposes.

Bates' ideas, however, are unlikely to win quick support.

Joseph Bosco, a former Pentagon official, sharply criticised the proposal, saying it went against accepted concepts of deterrence and that Taiwan already had the moral high ground.

"Taiwan does not need to disarm unilaterally in order to prove its moral or political legitimacy," Bosco said on Wednesday at an event where Bates presented his proposal.

Bates, who spoke last year at Taiwan's National Defence University and wrote an opinion piece in the Taipei Times, said he wanted to start a debate.

"It doesn't have to be my plan, but there does have to be a strategic rethink," he said.

- AFP



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Ship that hit reef too damaged to tow




The USS Guardian sits aground on the Tubbataha Reef earlier this week.




STORY HIGHLIGHTS


  • The USS Guardian has several holes in its hull, admiral says

  • The 1,300-ton minesweeper will have to be lifted onto a barge

  • The ship damaged more than 10,000 square feet of the Tubbataha Reef

  • The reef is a UNESCO World Heritage Site




(CNN) -- The U.S Navy minesweeper that grounded on a Philippine reef last week has taken on water and sustained too much damage to be towed off, the Navy says.


"It's got hull penetrations in several places, and there is a significant amount of water inside the ship," Rear Adm. Tom Carney said at a briefing Thursday.


The Navy said it will use ship-borne cranes and heavy-lift vessels to lift the minesweeper, the USS Guardian, off the Tubbataha Reef.


"As the crane ships arrive, we will take items off the Guardian to lighten the weight of the ship so we are able to remove it from the reef," Carney said. "The option that we had hoped to tow the ship off the reef is not available. The ship is too badly damaged."


The Guardian would be removed from the area on a barge or other ship, Carney said.


"The ship cannot move on its own, and it is not operational," he said.


The 224-foot-long,1,312-ton ship was on its way from Subic Bay, Philippines, to its next port call in Indonesia when it struck the reef, about 80 miles (130 kilometers) east-southeast of Palawan Island in the Sulu Sea, on January 17.


Initial efforts to free the Avenger-class mine countermeasures ship at high tide were unsuccessful. Its crew of 79 was evacuated to other vessels, and the ship was battered by waves that pushed it farther onto the reef.


Carney said the Guardian now rests about 20 to 30 meters (22 to 33 yards) from the edge of the reef. Originally, only its bow was on the reef, but waves have now pushed the entire ship onto it.


Lt. Cmdr. James Stockman, a Navy spokesman in Manila, said Friday that the heavy-lift vessels would arrive at the grounding site in about a week. The guided missile destroyer USS Mustin, the oceanographic survey ship USNS Bowditch and the rescue and salvage ship USNS Salvor, as well as tugboats and Philippine navy and coast guard vessels, are on station, he said in an e-mail to CNN.


"Extracting the ship safely, while minimizing further damage to the reef, is a very complex process that requires careful and detailed planning and specialized equipment," Stockman said. "Although we are moving as expeditiously as possible, we want to ensure it is done safely while minimizing damage to the reef and surrounding environment."


It could take two weeks to remove the Guardian from the reef, Carney said.


"We are committed to moving the ship from the reef as soon as possible. ... That is the focus of all our efforts," he said.


The Navy said Friday that the ships on station have removed about 15,000 gallons of diesel fuel from the Guardian.


Carney said there have been no signs of oil or fuel leaking into the waters above the reef, which is a Philippine national park and UNESCO World Heritage Site.


The reef is home to a vast array of sea, air and land creatures, as well as sizable lagoons and two coral islands. About 500 species of fish and 350 species of coral can be found there, as can whales, dolphins, sharks, turtles and one of the last surviving colonies of breeding seabirds in the region, according to UNESCO.


Philippine officials said this week that the Philippines would seek compensation for damage to the reef. About 1,000 square meters (about 10,760 square feet) of the reef have been damaged.


"It's a damage to a world heritage site. It's a damage to our natural resources. It's a damage to an important site. We cannot but put emphasis on the importance of this reef as a heritage site," presidential spokesman Edwin Lacierda said.


He said the salvage operation must ensure that the reef sustains no further damage.


As to how the ship got stuck on the reef in the first place, Stockman said the Navy is looking at a number of factors.


He said the U.S. National Geospatial-Intelligence Agency, which prepares the digital navigation charts used by the Navy, has reported the location of the reef was misplaced on a chart by nine miles.


"The U.S. Navy investigation will review what charts Guardian was using. While this erroneous navigation chart data is important information, no one should jump to conclusions," Stockman said. "It is critical that the U.S. Navy conduct a comprehensive investigation that assesses all the facts and circumstances surrounding the Guardian grounding."







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Court: Obama appointments are unconstitutional

President Barack Obama violated the Constitution when he bypassed the Senate to fill vacancies on a labor relations panel, a federal appeals court panel ruled Friday.

A three-judge panel of the U.S. Court of Appeals for the D.C. Circuit said that Obama did not have the power to make three recess appointments last year to the National Labor Relations Board.

The unanimous decision is an embarrassing setback for the president, who made the appointments after Senate Republicans spent months blocking his choices for an agency they contended was biased in favor of unions.

The ruling also throws into question Obama's recess appointment of Richard Cordray to head the Consumer Financial Protection Bureau. Cordray's appointment, also made under the recess circumstance, has been challenged in a separate case.

Obama claims he acted properly in the case of the NLRB appointments because the Senate was away for the holidays on a 20-day recess. But the three-judge panel ruled that the Senate technically stayed in session when it was gaveled in and out every few days for so-called "pro forma" sessions.

GOP lawmakers used the tactic - as Democrats have in the past as well - to specifically to prevent the president from using his recess power. GOP lawmakers contend the labor board has been too pro-union in its decisions. They had also vigorously opposed the nomination of Cordray.

The Obama administration is expected to appeal the decision to the U.S. Supreme Court, but if it stands, it means hundreds of decisions issued by the board over more than a year are invalid. It also would leave the five-member labor board with just one validly appointed member, effectively shutting it down. The board is allowed to issue decisions only when it has at least three sitting members.

On Jan. 4, 2012, Obama appointed Deputy Labor Secretary Sharon Block, union lawyer Richard Griffin and NLRB counsel Terence Flynn to fill vacancies on the NLRB, giving it a full contingent for the first time in more than a year. Block and Griffin are Democrats, while Flynn is a Republican. Flynn stepped down from the board last year.

Obama also appointed Cordray on the same day.

The court's decision is a victory for Republicans and business groups that have been attacking the labor board for issuing a series of decisions and rules that make it easier for the nation's labor unions to organize new members.

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Mars Rover Celebrates Milestone on Red Planet













It was never supposed to last this long. When the Mars rover Opportunity settled on the Martian surface nine years ago today, mission managers at NASA said they would be pleased if it lasted for 90 days.


Instead, it's been 3,201 days, and still counting. The rover has driven 22.03 miles, mostly at a snail's pace, from one crater to another, stopping for months at a time in the frigid Martian winters. The six motorized wheels, rated to turn 2.5 million times, have lasted 70 million, and are all still working.


"Opportunity is still in very good health, especially considering what it's gone through," said John Callas, manager of NASA's Mars Exploration Rover project. The surface of Mars is a pretty tough place; there can be temperature fluctuations of a hundred degrees each day. That's pretty hard on the hardware."


Video: '7 Minutes of Terror: A Landing on Mars


When Opportunity and its twin rover, Spirit, reached Mars in January 2004, there was a fair bit of sniping that NASA, with all that 90-day talk, was playing down expectations. It escalated when Steve Squyres of Cornell University, the principal investigator for the missions, said things like, "We're on Sol 300 of a 90-Sol mission." (A Sol is a day on Mars, and lasts 24 hours, 39 minutes.) Callas and others have insisted that the prediction was based on engineering, not a nod to public relations.










"There was an expectation that airfall dust would accumulate on the rover, so that its solar panels would be able to gather less electricity," said Callas. "We saw that on Pathfinder," a small rover that landed on Mars in 1997." The cold climate was also expected to be hard on the rovers' batteries, and changes in temperature from night to day would probably pop a circuit or two.


Instead, the temperatures weren't quite as tough as engineers had expected, and the rovers proved tougher. They did become filthy as the red Martian dust settled on them, reducing the sunlight on the solar panels -- but every now and then a healthy gust came along, surprising everyone on Earth by cleaning the ships off.


Click Here for Pictures: Postcards From Mars


Spirit, in hilly territory on the other side of the planet, finally got stuck in crusty soil in 2009, and its radio went silent the next year. But Opportunity, though it's had some close calls, is -- well, you remember those commercials about the Energizer bunny.


So what do you do with an aging rover on a faraway planet? You keep using it. In its first weeks, NASA said Opportunity found chemical proof that there had once been standing water on the surface of Mars -- good news if you're looking for signs that the planet could once have been friendly to life. Since then, it's been sent to other places, with rocks and soil that are probably older, and with clay that may have been left by ancient rivers.


About 20 NASA staff members still work full-time on Opportunity at the Jet Propulsion Laboratory in Pasadena, Calif. Another 60 split their time between Opportunity and other projects, such as the Curiosity rover that landed last August. About 100 scientists, doing research on Mars, pop in and out.


In a few months, Callas said, Opportunity will head to an area nicknamed Cape Tribulation. The clay there could be rich in the minerals suggestive of past life.


They haven't done much to mark the ninth anniversary or the 3,200th Martian day, just a get-together earlier this week during a previously scheduled science conference. After that, Callas said, it was back to work.


"It's like keeping your car going," he said, "without ever having a chance to change the oil."



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Neanderthal cloning? Pure fantasy




A display of a reconstruction of a Neanderthal man and boy at the Museum for Prehistory in Eyzies-de-Tayac, France.




STORY HIGHLIGHTS


  • Arthur Caplan: It would be unethical to try and clone a Neanderthal baby

  • Caplan: Downsides include a good chance of producing a baby that is seriously deformed

  • He says the future belongs to what we can do to genetically engineer and control microbes

  • Caplan: Microbes can make clean fuel, suck up carbon dioxide, clean fat out of arteries




Editor's note: Arthur Caplan is the Drs. William F and Virginia Connolly Mitty professor and director of the Division of Bioethics at New York University Langone Medical Center.


(CNN) -- So now we know -- there won't be a Neanderthal moving into your neighborhood.


Despite a lot of frenzied attention to the intentionally provocative suggestion by a renowned Harvard scientist that new genetic technology makes it possible to splice together a complete set of Neanderthal genes, find an adventurous surrogate mother and use cloning to gin up a Neanderthal baby -- it ain't gonna happen anytime soon.


Nor should it. But there are plenty of other things in the works involving genetic engineering that do merit serious ethical discussion at the national and international levels.



Arthur Caplan

Arthur Caplan



Some thought that the Harvard scientist, George Church, was getting ready to put out an ad seeking volunteer surrogate moms to bear a 35,000-year-old, long-extinct Neanderthal baby. Church had to walk his comments back and note that he was just speculating, not incubating.


Still cloning carries so much mystery and Hollywood glamour thanks to movies such as "Jurassic Park," "The Boys From Brazil" and "Never Let Me Go" that a two-day eruption of the pros and cons of making Neanderthals ensued. That was not necessary. It would be unethical to try and clone a Neanderthal baby.



Why? Because there is no obvious reason to do so. There is no pressing need or remarkable benefit to undertaking such a project. At best it might shed some light on the biology and behavior of a distant ancestor. At worst it would be nothing more than the ultimate reality television show exploitation: An "Octomom"-like surrogate raises a caveman child -- tune in next week to see what her new boyfriend thinks when she tells him that there is a tiny addition in her life and he carries a small club and a tiny piece of flint to sleep with him.


The downsides of trying to clone a Neanderthal include a good chance of killing it, producing a baby that is seriously deformed, producing a baby that lacks immunity to infectious diseases and foods that we have gotten used to, an inability to know what environment to create to permit the child to flourish and a complete lack of understanding of what sort of behavior is "normal" or "appropriate" for such a long-extinct cousin hominid of ours.


When weighed against the risks and the harm that most likely would be done, it would take a mighty big guarantee of benefit to justify this cloning experiment. I am willing to venture that the possible benefit will never, ever reach the point where this list of horrible likely downsides could be overcome.




Even justifying trying to resurrect a woolly mammoth, or a mastodon, or the dodo bird or any other extinct animal gets ethically thorny. How many failures would be acceptable to get one viable mastodon? Where would the animal live? What would we feed it? Who would protect it from poachers, gawkers and treasure hunters? It is not so simple to take a long dead species, make enough of them so they don't die of isolation and lack of social stimulation and then find an environment that is close enough and safe enough compared with that which they once roamed.


In any event the most interesting aspects of genetic engineering do not involve making humans or Neanderthals or mammoths. They involve ginning up microbes to do things that we really need doing such as making clean fuel, sucking up carbon dioxide, cleaning fat out of our arteries, giving us a lot more immunity to nasty bacteria and viruses and helping us make plastics and chemicals more efficiently and cheaply.


In trying to make these kinds of microbes, you can kill all you want without fear of ethical condemnation. And if the new bug does not like the environment in which it has to exist to live well, that will be just too darn bad.


The ethical challenge of this kind of synthetic biology is that it can be used by bad guys for bad purposes. Biological weapons can be ginned up and microbes created that only infect people with certain genes that commonly associate with racial or ethnic groups.


Rather than worry about what will happen to real estate values should a new crop of "Flintstones" move in down the street, our public officials, religious groups and ethicists need to get serious about how much regulation the genetic engineering of microbes needs, how can we detect what terrorists might try to use, what sort of controls do we need to prevent accidents and who is going to pay if a bug turns out to cause more harm than good.


We love to think that the key to tomorrow lies in what humanity can be designed or empowered to do. Thus, the fascination with human cloning. In reality, at least for a long time to come, the future belongs to what we can do to design and control microbes. That is admittedly duller, but it is far better to follow a story that is true than one such as Neanderthal cloning that is pure, speculative fantasy.


Follow @CNNOpinion on Twitter.


Join us at Facebook/CNNOpinion.


The opinions expressed in this commentary are solely those of Arthur Caplan.






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Keppel Corp's net profit falls 22% on-year in Q4






SINGAPORE: Falling margins from building oil rigs has hit the bottomline of Keppel Corp.

Net profit for the world's leading rig builder fell 22 per cent on-year to S$305 million in the fourth quarter last year.

Still, full year profit for the conglomerate came in 15 per cent to S$2.24 billion.

Despite lower net profit in the three months ended Dec 31, Keppel Corp still declared a final dividend of 27 cents per share.

As part of its 45th anniversary, Keppel Corp is handing out more goodies to its shareholders.

The company has proposed to distribute one Keppel REIT unit for every five Keppel Corp shares.

That is about 27.4 cents per share based on Keppel REIT's closing price of S$1.37 on Thursday.

Together with the interim dividend of 18 cents, total distribution for 2012 will be 72.4 cents per share.

Keppel Corp said the lower net profit was partly due to lower contributions from its offshore and marine unit.

Offshore and Marine's contribution was 12 per cent lower from a higher base in 2011 when margins were at record highs. It contributes to half of Keppel Corp's net profits.

"Keen rivalry from Chinese and Korean yards have suppressed prices and squeezed margins on newbuilds," said Choo Chiau Beng, chief executive officer at Keppel Corp. "In 2013, we will be completing a record of 22 newbuild units."

Analysts remained upbeat of Keppel's prospects going forward.

They say their financial results still outperformed market expectations.

Keppel Corp expects crude oil prices to stay above US$100 per barrel, supporting the need for more global exploration and production.

But global challenges like the slower US economy and the eurozone crisis from last year will continue to pose uncertainties for Keppel Corp's business.

Keppel Corp's property arm, led by the listed Keppel Land, boosted the group's earnings.

Net profit for the property division was 2.5 times higher than in 2011, offsetting the lower earnings from business in the offshore and marine, and infrastructure.

But Keppel Corp does not expect its property arm to perform better this year.

This is because recognition from sales of completed units at its development Reflections at Keppel Bay is expected to be lower this financial year.

- CNA/xq



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North Korea makes new threats against U.S.


























Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military


Kim Jong Un and his military





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STORY HIGHLIGHTS


  • NEW: North Korea is upset by a recent U.N. security council resolution, an analyst says

  • Pyongyang says it plans a new nuclear test and further long-range rocket launches

  • These are part of an "all-out action" targeting the U.S., it says

  • North Korea has conducted two previous nuclear tests, in 2006 and 2009




Seoul, South Korea (CNN) -- North Korea said Thursday that it plans to carry out a new nuclear test and more long-range rocket launches, all of which it said are a part of a new phase of confrontation with the United States.


The North's National Defense Commission said the moves would feed into an "upcoming all-out action" that would target the United States, "the sworn enemy of the Korean people."


Read more: U.N. Security Council slams North Korea, expands sanctions


Carried by the state media, the comments are the latest defiant flourish from the reclusive North Korean regime, whose young leader Kim Jong Un has upheld his father's policy of pursuing a military deterrent and shrugging off international pressure.


The defense commission statement follows a United Nations Security Council resolution on Tuesday that the United States pushed for, condemning a recent recent rocket launch by North Korea and expanded existing sanctions.










Read more: North Korea silences doubters, raises fears with rocket launch


The North's angry statement "should have been the expected outcome" from the U.N. decision, said Daniel Pinkston, senior analyst for the International Crisis Group covering Northeast Asia.


"I think they are completely outraged and insulted by it," he said.


Read more: N. Korea's launch causes worries about nukes, Iran and the Pacific


North Korea, which often issues bellicose statements in its state media, said Thursday that it rejected all Security Council resolutions concerning it.


It described this week's resolution as "the most dangerous phase of the hostile policy toward the DPRK," using the abbreviated version of its official name, the Democratic People's Republic of Korea.


Read more: U.S. official: North Korea likely deceived U.S., allies before launching rocket


Analyst: Threat meant as a deterrence


The threats toward the United States, a constant theme in the North's propaganda, have more to do with deterrence than a desire for full conflict, Pinkston said.


"I don't believe they have the capability, the intention or the will to invade or destroy the United States," he said. "They wish to deter interference from the U.S. or any outside powers."


Read more: North Korea's rocket launches cost $1.3 billion


North Korea's successful rocket launch last month nonetheless changed the strategic calculations for the United States, showing that the North's missile program is advancing despite an array of heavy sanctions imposed on it.


Analysts say it still has a lot of work to do to master the technology necessary to mount a nuclear warhead on missile or accurately target it.


Read more: South Korean officials: North Korean rocket could hit U.S. mainland


At the same time, Pyongyang has been hinting for a while that a new nuclear test could be in the cards.


Just before the North sent out its latest hostile statement Thursday, a U.S. State Department official was telling reporters in Seoul that Washington hoped that Pyongyang wouldn't go ahead.


Read more: Huge crowds gather in North Korean capital to celebrate rocket launch


"We think that that would be a mistake, obviously," said Glyn Davies, the U.S. special envoy on North Korea. "We call on North Korea, as does the entire international community, not to engage in any further provocations."


North Korea has carried out two previous nuclear tests, in 2006 and 2009, both of which were condemned by the U.N.


Pyongyang didn't say Thursday when exactly it would carry out a third test, but it could happen "at any time," according to Pinkston.


He said that it was hard for anybody outside the North Korean nuclear sector to know if the country is technically ready to carry out the test, but that politically, "it seems an appropriate time."


Demands unlikely to sway North


South Korean defense officials said last year that they believed the North had been in a position to carry out a new test whenever leaders in Pyongyang gave the green light.


North Korea's nuclear program is "an element of threat to peace not only for Northeast Asia but also for the world," Park Soo-jin, deputy spokeswoman for the South Korean Unification Ministry said Thursday.


"North Korea should immediately stop its nuclear test and other provocation and should choose a different path by cooperating with the international community," Park said.


That appears unlikely at this stage, though.


After a failed long-range rocket launch in April, North Korea ignored international condemnation and carried out a second attempt last month. That one succeeded in putting a satellite in orbit, Pyongyang's stated objective.


But the launch was widely considered to be a test of ballistic missile technology. And it remains unclear if the satellite, which the North insists is for peaceful purposes, is functional.


Both North Korea's previous nuclear tests took place weeks or months after long-range rocket launches.


Those tests were carried out under the rule Kim Jong Il, the father of the current leader, and the man who channeled huge amounts of money into North Korea's nuclear and missile development programs.


Kim Jong Il died in December 2011 after 17 years in power, during which the North Korean people became increasingly impoverished and malnourished.


Economically, the country relies heavily on trade with its major ally, China.


CNN's K.J. Kwon reported from Seoul, and Jethro Mullen from Hong Kong. CNN's David Hawley in Seoul contributed to this report.






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