Kerry in Egypt to press for political consensus

CAIRO: US Secretary of State John Kerry was in Cairo on Saturday to push for a way out of Egypt's violence-wracked political impasse, underlining the need for a consensus to overcome a crippling economic crisis.

As Kerry arrived from Turkey, protesters torched a police station in the canal city of Port Said which is entering its third week of civil disobedience, reflecting the size of the task facing the secretary of state in Egypt, which has been rocked by months of unrest.

Kerry is due to hold talks with Islamist President Mohamed Morsi during the visit, which saw him sit with political parties and civil society groups.

In a meeting with Egyptian business leaders, Kerry stressed the importance of a US$4.8-billion IMF loan, which is partly conditioned on a measure of agreement between Egypt's divided factions.

"It is paramount, essential, urgent that the Egyptian economy gets stronger, that it gets back on its feet," Kerry said. "It is clear to us that the IMF arrangement needs to be reached. So we need to give the marketplace the confidence."

He also met Arab League chief Nabil al-Arabi, who said he was "very satisfied" with the meeting, before evening talks with his Egyptian counterpart Mohammed Kamel Amr.

Outside the foreign ministry, dozens of protesters burned pictures of Kerry as they chanted against perceived US support for Morsi. The opposition criticises Washington for urging it to reconsider a boycott of upcoming parliamentary elections.

The top US diplomat met former Arab League chief Amr Mussa and spoke with Mohamed ElBaradei by telephone. ElBaradei and Hamdeen Sabahi from the opposition coalition National Salvation Front (NSF) had refused to meet Kerry in person.

All three are leading figures in the NSF, a coalition of liberal and leftist parties opposed to Morsi, which has announced a boycott of elections that begin in April.

Egypt has been deeply divided since Morsi, elected in June as part of the transition that followed Hosni Mubarak's ouster in early 2011, issued a decree in November expanding his powers and paving the way for the adoption of an Islamist-drafted constitution.

Morsi rescinded the decree under intense pressure, but the political turmoil has fuelled weeks of unrest and clashes that have left dozens dead, with protesters denouncing the president for failing to address political and economic concerns.

During his visit, Kerry will stress the "importance of building consensus," a State Department official said, after the NSF call for an election boycott.

He would emphasise that "if they want to engage, if they want to ensure that their views are taken into account, the only way to do that is to participate," the official said.

"They can't sit aside and just assume that somehow by magic all of this is going to happen. They have got to participate."

A political consensus would pave the way for the crucial loan from the International Monetary Fund, which in turn will unlock several pledges of aid for Egypt's battered economy.

Egyptian officials have said they will continue talks with the IMF on the loan, which has been delayed amid political unrest and might possibly be signed after a parliament is in place in July.

Morsi has called for staggered parliamentary elections to start on April 22. The NSF, which groups mainly liberal and leftist parties and movements, said it would boycott the polls, expressing doubts over their transparency.

The opposition, less organised than the Muslim Brotherhood, insists that the president appoint a new government before the election. The presidency says the new parliament should have the right to appoint the cabinet.

Meanwhile, in Port Said, the interior ministry said 500 protesters threw stones and petrol bombs at the police station, setting it on fire, and then blocked fire engines from approaching the site of the blaze.

The official MENA news agency said protesters also stormed a police building in the Nile Delta city of Mansura, where overnight clashes left one person dead and dozens injured.

- AFP/jc

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Online note service Evernote latest firm to get hacked

Yet another company has fallen victim to a hack, with attackers breaking into systems at Evernote, maker of a Web-based note-taking application used by about 50 million people.

The company said in a security notice that some user data had been accessed and that Evernote was requiring all users to reset their passwords. Apparently, though, no sensitive financial info was stolen, and no user content was affected:

"In our security investigation, we have found no evidence that any of the content you store in Evernote was accessed, changed or lost," the company said in the statement, which was e-mailed to users and posted online. "We also have no evidence that any payment information for Evernote Premium or Evernote Business customers was accessed."

What was accessed, the company said, were usernames, e-mails addresses associated with Evernote accounts, and encrypted passwords. The company emphasized in the notice that "the passwords stored by Evernote are protected by one-way encryption. (In technical terms, they are hashed and salted.)"

The notice goes on to walk users through the password-reset process and to give tips on how to create an effective password.

Evernote is just the latest company to suffer at the hands of hackers. Microsoft, Apple, Facebook, and Twitter have all been victimized recently. And of course there were the high profile hacks at The New York Times, The Washington Post, and The Wall Street Journal that helped prompt President Obama to sign an executive order on cybersecurity.

There has been speculation that the Chinese military was behind the hacks at the newspapers -- though the Chinese government denies this -- and that the Apple, Facebook, and Twitter hacks may have been the work of Eastern European cybercriminals.

In a statement sent to CNET, an Evernote representative said the breach of the company's systems "follows a similar pattern of the many high profile attacks on other Internet-based companies that have taken place over the last several weeks." The rep also addressed our question about what Evernote is doing to reassure current and potential users about the safety of its products. Here's the rep's statement in full:

Our operations and security team caught this at what we believe to be the beginning stages of a sophisticated attack. They are continuing to investigate the details. We believe this activity follows a similar pattern of the many high profile attacks on other Internet-based companies that have taken place over the last several weeks.

At this time we believe we have blocked any unauthorized access, however security is Evernote's first priority. This is why, in an abundance of caution, we are requiring all users to reset their Evernote account passwords before their next Evernote account log-in. We are actively communicating to our users about this attack through our blog, direct e-mails, social media, and support. This simple step of users creating strong, new passwords will help ensure that user accounts remain secure.

As you point out, attacks like this are becoming more commonplace for all Internet-related companies and services. Evernote's ops and security team ensures we are using the latest and strongest security protocols. In addition, the team continuously and aggressively monitors for unusual activity patterns. This allows us, as was the case in this instance, to catch new and novel attack types as soon after they begin as possible.

Update, 10:45 am PT:
Adds statement sent to CNET from Evernote representative.

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Sequester blame game goes on as shutdown looms

President Obama on Saturday called for a "caucus of common sense" to step forward and stop the sequester, which began cutting $85 billion of federal spending out of the economy on Friday.

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Sequester to affect all federal agencies

"I know there are Republicans in Congress who would rather see tax loopholes closed than let these cuts go through," he said in his weekly address. "And I know there are Democrats who'd rather do smart entitlement reform than let these cuts go through. There's a caucus of common sense. And I'm going to keep reaching out to them to fix this for good."

The deadline to avoid the across the board cuts outright came and went on Friday evening, as Mr. Obama officially signed the sequester into effect. Both parties blamed each other for the failure to secure a deal before the deadline, and the finger-pointing continued Saturday.

The sequester "took effect because President Obama and Senate Democrats failed to act," Rep. Cathy McMorris Rodgers, R-Wash. and a member of House GOP leadership, said in the Republicans' weekly address. "In the last year, the House of Representatives has passed two proposals to replace the president's sequester with smarter spending cuts," but that the president's desire to "continue singling Americans out for tax increases" prevented Democrats from passing a "responsible plan to replace" the sequester.

"The president must stop using this debate as an excuse to raise taxes," she said, "and start seizing this opportunity to cut spending."

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Americans to feel sequester cuts in few weeks

Mr. Obama, for his part, pinned the blame squarely on Republican obstinacy, accusing the GOP of protecting tax loopholes for the rich at the expense of middle-class families.

"None of this is necessary," the president said. "It's happening because Republicans in Congress chose this outcome over closing a single wasteful tax loophole that helps reduce the deficit. Just this week, they decided that protecting special-interest tax breaks for the well-off and well-connected is more important than protecting our military and middle-class families from these cuts."

And "while not everyone will feel the pain of these cuts right away," Mr. Obama said, "the pain will be real."

Instead of submitting to the "perpetual partisanship and brinksmanship," the president suggested, "we can and must replace these cuts with a balanced approach" that combines targeted spending cuts with entitlement reform and closes tax loopholes.

"This is America," he said, "and in America, we don't careen from one manufactured crisis to another. We make smart choices."

Bipartisan leaders from the House and Senate met with President Obama at the White House Friday to continue negotiations before he officially signed the cuts into effect.

No agreement emerged, but both parties forged on, already looking ahead to the next fiscal fight. A temporary budgetary measure funding the government expires March 27, and if the parties cannot reach an agreement on continued funding by then, the government will shut down.

Despite the potential for another bout of budgetary drama, the president and House Speaker John Boehner each signaled after their meeting on Friday that a government shutdown looks unlikely.

"With respect to the budget and keeping the government open," Mr. Obama said, "what's called the continuing resolution, which is essentially just an extension of last year's budget into this year's budget to make sure those basic government functions continue - I think that's the right thing to do to make sure that we don't have a government shutdown. And that's preventable."

Boehner said, "The House is going to move a continuing resolution next week to fund the government past March 27th, and I'm hopeful that we won't have to deal with the threat of a government shutdown while we're dealing with the sequester at the same time. The House will act next week, and I hope the Senate will follow suit."

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Rescuers Search for Man as Fla. Sinkhole Grows

Rescuers early Saturday morning returned to the site where a sinkhole swallowed a Florida man in his bedroom after the home's foundation collapsed.

Jeff Bush was in his bedroom when a sinkhole opened up and trapped him underneath his home at 11 p.m. Thursday night.

While the sinkhole was initially estimated to be 15 feet deep on Thursday night, the chasm has continued to grow. Officials now estimate it measures 30 feet across and up to 100 feet deep.

MORE: How Sinkholes Can Develop

Rescue operations were halted Friday night after it became too dangerous to approach the home.

Bill Bracken, an engineer with Hillsborough County Urban Search and Rescue team said that the house "should have collapsed by now, so it's amazing that it hasn't."

RELATED: Florida Man Swallowed by Sinkhole: Conditions Too Unstable to Approach

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Using ground penetrating radar, rescuers have found a large amount of water beneath the house, making conditions even more dangerous for them to continue the search for Bush.

"I'm being told it's seriously unstable, so that's the dilemma," said Hillsborough County administrator Mike Merrell. "A dilemma that is very painful to them and for everyone."

Hillsborough County lies in what is known as Florida's "Sinkhole Alley." Over 500 sinkholes have been reported in the area since 1954, according to the state's environmental agency.

The Tampa-area home was condemned, leaving Bush's family unable to go back inside to gather their belongings. As a result, the Hillsborough County Fire Rescue set up a relief fund for Bush's family in light of the tragedy.

Officials evacuated the two houses adjacent to Bush's and are considering further evacuations, the Associated Press reported.

Meanwhile, Bush's brother, Jeremy Bush, is still reeling from Thursday night.

Jeremy Bush had to be rescued by a first responder after jumping into the hole in an attempt to rescue his brother when the home's concrete floor collapsed, but said he couldn't find him.

"I just started digging and started digging and started digging, and the cops showed up and pulled me out of the hole and told me the floor's still falling in," he said.

"These are everyday working people, they're good people," said Deputy Douglas Duvall of the Hillsborough County sheriff's office, "And this was so unexpected, and they're still, you know, probably facing the reality that this is happening."

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Obama blames Republicans for "dumb" cuts

WASHINGTON: President Barack Obama on Friday blamed Republican refusal to compromise on deficit cutting for "dumb" and "unnecessary" spending cuts about to slam into the fragile US economy.

The arbitrary and automatic $85 billion dollar cuts, known as the "sequester" will begin later Friday, in a self-inflicted wound brought about by deep ideological polarization between the president and his foes in Congress.

"I am not a dictator. I'm the president," Obama said, warning he could not force his Republican foes to "do the right thing", which he sees as raising revenues to combine with targeted spending cuts in a deal to cut the deficit.

"These cuts will hurt our economy, will cost us jobs and to set it right both sides need to be able to compromise," Obama said.

Appearing irritated after meeting top congressional leaders including Republican House speaker John Boehner and top Republican Mitch McConnell, Obama denied blame in the showdown.

"If Mitch McConnell or John Boehner say, we need to go to catch a plane, I can't have Secret Service block the doorway, right?" he said, when asked why talks on averting sequestration had broken up.

"I'm presenting a fair deal. The fact that they don't take it means that I should somehow, you know, do a Jedi mind meld with these folks and convince them to do what's right?"

Boehner emerged from the talks with the president to tersely signal to reporters that Republicans would not budge on Obama's key demand for a deal which be partly based on raising extra tax revenues.

"Let's make it clear that the president got his tax hikes on January 1. This discussion about revenue in my view is over," Boehner said, alluding to the outcome of the so-called 'fiscal cliff' showdown late last year.

"It is about taking on the spending problem in Washington."

Obama was bound by law to initiate the automatic, indiscriminate cuts, which could wound the already fragile economy, cost a million jobs and harm military readiness, by 11.59 pm in the absence of an deficit cutting agreement.

The hit to military and domestic spending was never supposed to happen, but was rather a device seen as so punishing that rival lawmakers would be forced to find a better compromise to cut the deficit.

But such is the dysfunction in gridlocked Washington that neither side tried very hard to get a deal.

The drama instead evolved into the latest philosophical standoff over the size, role and financing of government between Obama, who won re-election vowing to protect the middle class, and fiscally conservative Republicans.

Obama, in effect extending the campaign that won him re-election in November, has mounted a fierce public relations offensive designed to maximize his leverage by pouring blame on Republicans for the cuts.

He acknowledged Friday that the impact of the cuts would not be immediate, but would nevertheless hurt middle class Americans in a "slow grind" squeeze which he said could cost more than half a point of economic growth.

"So every time that we get a piece of economic news over the next month, next two months, next six months, as long as the sequester's in place, we'll know that economic news could have been better if Congress had not failed to act."

Republicans accuse Obama of inflating the impact of the sequester and of using scare tactics, and believe he has painted himself into a political corner.

Although the cuts trim significant amounts from domestic and defense spending, they do not touch entitlements -- social programs like Medicare health care for the elderly and pension schemes.

Many budget experts believe that only cuts to those programs will be able to restore the prospect of long-term fiscal stability.

Obama says he is ready to make painful choices on such funding, but says he will not allow Republicans to preserve tax breaks for the rich and saddle the most needy with the bill for tackling the deficit.

Republicans simply say that Obama is not serious about cutting spending, and is unwilling to take on his own party, which views entitlement programs as an almost sacred trust.

The White House warns that the indiscriminate cuts are written into law in such a way that their impact cannot be alleviated.

It says 800,000 civilian employees of the Defense Department will go on a mandatory furlough one day a week and the navy will trim voyages. The deployment of a second aircraft carrier to the Gulf has been canceled.

About 70,000 children less than five years old will be cut from the Head Start preschool program, resulting in the elimination of 14,000 teaching positions. Services for special needs kids will also take a hit.

Authorities warn that average wait times for passengers at US immigration will increase by 30-50 percent and may exceed four hours during peak times.

-AFP/ac

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What's up with the sun? Plenty.

High-resolution image of a sunspot taken at the Sacramento Peak Observatory of the National Solar Observatory in New Mexico.

We're currently in the midst of what scientists say is the sun's 11-year solar weather cycle and it's making for quite the show. Over the last few months, NASA and the European Space Agency have been recording solar flares as they erupt, tracking solar storms that send charged particle's in Earth's direction at roughly 1.8 million miles per hour. In case you were tempted to do the math, radiation from solar flares make it to Earth within eight minutes.

What's more, the frequency of the storms is expected to increase and reach its peak later this year in a weather cycle referred to as Solar Cycle 24. The latest eruptions came during a 48 hour stretch between Feb. 19 and Feb. 20 when solar magnetic fields formed a couple of gigantic sunspots estimated at more than six Earth diameters across. So far, we've experienced relatively few disruptions but scientists are far from giving the all clear sign. In fact, some researchers believe that the aftermath of a solar superstorm might cause temporary blackouts and put one in 10 satellites out of action.

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Man feared dead in 100-foot sinkhole near Tampa

Last Updated 1:15 p.m. ET

SEFFNER, Fla. A man was missing and feared dead early Friday after a large sinkhole opened under the bedroom of a house near Tampa.

His brother says the man screamed for help before he disappeared.

The 36-year-old man's brother, Jeremy Bush, told rescue crews he heard a loud crash around 11 p.m. Thursday, then heard his brother screaming for help.

"When he got there, there was no bedroom left," Hillsborough County Fire Rescue spokeswoman Jessica Damico said. "There was no furniture. All he saw was a piece of the mattress sticking up."

The brother called 911 and frantically tried to help his brother. He said he jumped into the hole and dirt was quickly up to his neck.

"The floor was still giving in and the dirt was still going down, but I didn't care. I wanted to save my brother," Jeremy said. "But I just couldn't do nothing."

An arriving deputy pulled the brother from the still-collapsing house.

"I reached down and was able to actually able to get him by his hand and pull him out of the hole," Hillsborough County Sheriff's Deputy Douglas Duvall said. "The hole was collapsing. At that time, we left the house."

Engineers worked to determine the size of the sinkhole. At the surface, officials estimated it was about 30 feet across. Below the surface, officials believed it was 100 feet wide.

"The entire house is on the sinkhole," Damico said.

Hillsborough County Fire Chief Ron Rogers told a news briefing that extra-sensitive listening devices and cameras were inserted into the sinkhole. "They did not detect any signs of life," he said.

By early Friday, Hillsborough County Fire Rescue officials determined the home had become too unstable to continue rescue efforts.

Neighbors on both sides of the home have been evacuated.

Sinkholes are common in seaside Florida, whose underlying limestone and dolomite can be worn away by water and chemicals, then collapse.

Engineers condemned the house, reports CBS Tampa affiliate WTSP.

From the outside of the small, sky blue house, nothing appeared wrong. There wear no cracks and the only sign something was amiss was the yellow caution tape circling the house.

Hillsborough County Sheriff's Office spokesman Larry McKinnon said authorities asked sinkhole and engineering experts, and they were using equipment to see if the ground can support the weight of heavy machinery needed for the recovery effort.

Jeremy Bush stood in a neighbor's yard across the street from the house Friday and recounted the harrowing collapse.

"He was screaming my name. I could swear I heard him hollering my name to help him," he said of his brother.

Jeremy Bush's wife and his 2-year-old daughter were also inside the house. "She keeps asking where her Uncle Jeff is," he said. "I lost everything. I work so hard to support my wife and kid and I lost everything."

Janell Wheeler told the Tampa Bay Times newspaper she was inside the house with four other adults and a child when the sinkhole opened.

"It sounded like a car hit my house," she said.

The rest of the family went to a hotel but she stayed behind, sleeping in her car.

"I just want my nephew," she said through tears.

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Obama, Congress Fail to Avert Sequester Cuts

President Obama and congressional leaders today failed to reach a breakthrough to avert a sweeping package of automatic spending cuts, setting into motion $85 billion of across-the-board belt-tightening that neither had wanted to see.

Obama met for just over an hour at the White House today with Republican leaders House Speaker John Boehner and Senate Minority Leader Mitch McConnell and his Democratic allies, House Minority Leader Nancy Pelosi, Senate Majority Leader Harry Reid and Vice President Joe Biden.

But the parties emerged from their first face-to-face meeting of the year resigned to see the cuts take hold at midnight.

"This is not a win for anybody," Obama lamented in a statement to reporters after the meeting. "This is a loss for the American people."

READ MORE: 6 Questions (and Answers) About the Sequester

Officials have said the spending reductions immediately take effect Saturday but that the pain from reduced government services and furloughs of tens of thousands of federal employees would be felt gradually in the weeks ahead.

Federal agencies, including Homeland Security, the Pentagon, Internal Revenue Service and the Department of Education, have all prepared to notify employees that they will have to take one unpaid day off per week through the end of the year.

Sequestration Deadline: Obama Meets With Leaders Watch Video

Sequester Countdown: The Reality of Budget Cuts Watch Video

The staffing trims could slow many government services, including airport screenings, air traffic control, and law enforcement investigations and prosecutions. Spending on education programs and health services for low-income families will also get clipped.

"It is absolutely true that this is not going to precipitate the crisis" that would have been caused by the so-called fiscal cliff, Obama said. "But people are going to be hurt. The economy will not grow as quickly as it would have. Unemployment will not go down as quickly as it would have. And there are lives behind that. And it's real."

The sticking point in the debate over the automatic cuts -- known as sequester -- has remained the same between the parties for more than a year since the cuts were first proposed: whether to include more new tax revenue in a broad deficit reduction plan.

The White House insists there must be higher tax revenue, through elimination of tax loopholes and deductions that benefit wealthier Americans and corporations. Republicans seek an approach of spending cuts only, with an emphasis on entitlement programs. It's a deep divide that both sides have proven unable to bridge.

"This discussion about revenue, in my view, is over," Boehner told reporters after the meeting. "It's about taking on the spending problem here in Washington."

Boehner: No New Taxes to Avert Sequester

Boehner says any elimination of tax loopholes or deductions should be part of a broader tax code overhaul aimed at lowering rates overall, not to offset spending cuts in the sequester.

Obama countered today that he's willing to "take on the problem where it exists, on entitlements, and do some things that my own party doesn't like."

But he says Republicans must be willing to eliminate some tax loopholes as part of a deal.

"They refuse to budge on closing a single wasteful loophole to help reduce the deficit," Obama said. "We can and must replace these cuts with a more balanced approach that asks something from everybody."

Can anything more be done by either side to reach a middle ground?

The president today claimed he's done all he can. "I am not a dictator, I'm the president," Obama said.

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WikiLeaks: Manning says he wanted "public debate" on war

WASHINGTON: US Army private Bradley Manning told a military tribunal on Thursday that he leaked incident logs from the wars in Iraq and Afghanistan to WikiLeaks in order to start a "public debate."

"For me they represent the underground realities of the conflicts of Iraq and Afghanistan," Manning told the court, after his lawyer said he plans to plead guilty to some of the charges leveled against him over the leaks.

The 25-year-old, who is being held in military custody pending trial, said he would plead guilty to ten of the less serious of the 22 charges against him, but would deny aiding America's enemies, a crime which carries a life term.

Even if the court agrees to pursue only the lesser allegations, Manning still faces 20 years in military custody for leaking classified material to Australian activist Julian Assange's WikiLeaks whistle-blower website.

Reading a statement to the tribunal, Manning said he had initially attempted to contact traditional media outlets -- the Washington Post, the New York Times and Politico -- before deciding to pass the documents to WikiLeaks.

He sent the organization, which campaigns against government secrecy and publishes leaked information on a secure website, two military logs of daily incidents during the US campaigns in Iraq and Afghanistan.

"At the time I believed, and I still believe, these are two of the most significant documents of our time," he said, adding that he wanted to "spark a domestic public debate about our foreign policy and the war in general."

He also provided a vast trove of US diplomatic cables and cockpit video from a US helicopter gunship involved in an incident in which Iraqi civilians died.

Manning explained that he had chosen to work with WikiLeaks as it seemed to him, from what he had read, that the group "exposed illegal activities and corruption" and was "almost academic in nature."

Manning's plea offer was presented to a military tribunal at Fort Meade in Maryland by his lawyer David Coombs, and the young soldier confirmed to the court that he understood the implications of his offer.

He intends to plead guilty to "unauthorized possession and willful transmission" of the video and of documents recounting civilian deaths during US operations Iraq and Afghanistan.

He will also admit "knowingly, intelligently and voluntarily" providing WikiLeaks with the classified diplomatic cables.

Judge Denise Lind asked Manning whether he understood the implications of his plea offer: "Do you understand this? Do you have questions about this? Do you still want to go forward with this?"

"Yes, your honor," he replied, before reading out a 35-page statement of his own attempting to outline his motivation in leaking the material.

-AFP/ac

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Google testing new navigation design borrowed from Chrome

Google tests a new navigation system for its services that dumps the controversial black bar.

(Credit:
Google Operating System)

Google is testing a new version of its home page that eliminates the controversial navigation bar that has sat atop its services for two years, the company said.

The version now being tested requires users to click a grid icon borrowed from Chrome OS for links to Gmail, Google Maps, YouTube, and other products. The design, which was first spotted by blog Google Operating System, appears to be in an early stage of testing -- screenshots show the grid icon includes a redundant link to Google search, even when accessed from the search page.

"We're always experimenting with the look and feel of our home page," a Google rep told CNET.

If it tests well, the grid would replace the prominent black bar that has served as the company's site navigation tool since 2011. The nav bar has always polarized design-minded users: Some like the unified look it brings to Google products, while others think the interface could be improved. Among those who think that: Google itself, which has eliminated the navigation bar in the past only to bring it back later.

In November 2011, Google moved its list of services into a drop-down menu that descended from the Google logo. But some users criticized the move for making those services harder to find, and the experiment was dropped six weeks later.

A similar criticism might be levied at the new design, which buries the services under an icon in exchange for a cleaner overall look. And with the company putting greater emphasis on Chrome OS this year than ever before, perhaps we shouldn't be surprised to see elements from the operating system migrating into more and more Google services.

The test hasn't shown up for us yet. For more pictures, check out Google Operating System.

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