Iran hedges on nuclear talks with six powers or U.S.

MUNICH (Reuters) - Iran said on Sunday it was open to a U.S. offer of direct talks on its nuclear program and that six world powers had suggested a new round of nuclear negotiations this month, but without committing itself to either proposal.

Diplomatic efforts to resolve a dispute over Iran's nuclear program, which Tehran says is peaceful but the West suspects is intended to give Iran the capability to build a nuclear bomb, have been all but deadlocked for years, while Iran has continued to announce advances in the program.

Iranian Foreign Minister Ali Akbar Salehi said a suggestion on Saturday by U.S. Vice President Joe Biden that Washington was ready for direct talks with Iran if Tehran was serious about negotiations was a "step forward".

"We take these statements with positive consideration. I think this is a step forward but ... each time we have come and negotiated it was the other side unfortunately who did not heed ... its commitment," Salehi said at the Munich Security Conference where Biden made his overture a day earlier.

He also complained to Iran's English-language Press TV of "other contradictory signals", pointing to the rhetoric of "keeping all options on the table" used by U.S. officials to indicate they are willing to use force to keep Iran from obtaining a nuclear weapon.

"This does not go along with this gesture (of talks) so we will have to wait a little bit longer and see if they are really faithful this time," Salehi said.

Iran is under a tightening web of sanctions. Israel has also hinted it may strike if diplomacy and international sanctions fail to curb Iran's nuclear drive.

In Washington, Army General Martin Dempsey, the top U.S. military officer, said in an interview broadcast on Sunday that the United States has the capability to stop any Iranian effort to build nuclear weapons, but Iranian "intentions have to be influenced through other means."

Dempsey, chairman of the Joint Chiefs of Staff, made his comments on NBC's program "Meet the Press," speaking alongside outgoing Defense Secretary Leon Panetta.

Panetta said current U.S. intelligence indicated that Iranian leaders have not made a decision to proceed with the development of a nuclear weapon.

"But every indication is they want to continue to increase their nuclear capability," he said. "And that's a concern. And that's what we're asking them to stop doing."

The new U.S. secretary of state, John Kerry, has said he will give diplomacy every chance of solving the Iran standoff.

THE BEST CHANCE

With six-power talks making little progress, some experts say talks between Tehran and Washington could be the best chance, perhaps after Iran has elected a new president in June.

Negotiations between Iran and the six powers - Russia, China, the United States, Britain, France and Germany - have been deadlocked since a meeting last June.

EU officials have accused Iran of dragging its feet in weeks of haggling over the date and venue for new talks.

Salehi said he had "good news", having heard that the six powers would meet in Kazakhstan on February 25.

A spokesman for EU foreign policy chief Catherine Ashton, who coordinates the efforts of the six powers, confirmed that she had proposed talks in the week of February 25 but noted that Iran had not yet accepted.

Kazakhstan said it was ready to host the talks in either Astana or Almaty.

Salehi said Iran had "never pulled back" from the stuttering negotiations with the six powers. "We still are very hopeful. There are two packages, one package from Iran with five steps and the other package from the (six powers) with three steps."

Iran raised international concern last week by announcing plans to install and operate advanced uranium enrichment machines. The EU said the move, potentially shortening the path to weapons-grade material, could deepen doubts about the peaceful nature of Iran's nuclear program.

Prime Minister Benjamin Netanyahu said on Sunday that Israel's mission to stop its arch-enemy from acquiring nuclear weapons was "becoming more complex, since the Iranians are equipping themselves with cutting-edge centrifuges that shorten the time of (uranium) enrichment".

"We must not accept this process," said Netanyahu, who is trying to form a new government after winning an election last month. Israel is generally believed to be the only country in the Middle East with nuclear weapons.

(Additional reporting by Myra MacDonald and Stephen Brown in Munich, Dmitry Solovyov in Almaty, Yeganeh Torbati in Dubai and Jim Wolf in Washington; Editing by Kevin Liffey and Will Dunham)

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Football: Returning Carroll steers West Ham past Swansea

LONDON: On-loan striker Andy Carroll scored only his second goal of the season as West Ham United won 1-0 at home to Swansea City on Saturday to end a run of four Premier League games without victory.

West Ham were largely dominant at Upton Park but could find no way past Swansea's inspired goalkeeper Gerhard Tremmel until Carroll powered home a header from a corner with 13 minutes to play.

Victory lifted West Ham two places to 11th in the table, while League Cup finalists Swansea remain eighth after a first defeat in eight games.

Eager to prevent Swansea from settling into their usual passing rhythm, West Ham snapped into their tackles from the off and Ricardo Vaz Te was booked for a lunge at Wayne Routledge in the eighth minute.

Carroll, on loan from Liverpool, was making his first West Ham start since November 28 and the hosts looked for him at every opportunity as they began to impose themselves on the game.

Tremmel did brilliantly to prevent Kevin Nolan putting West Ham ahead from close range in the 21st minute after Joey O'Brien left Routledge for dead with a step-over on the right flank.

A second contest between Nolan and Tremmel in the 37th minute produced the same result, with the German saving superbly after the home skipper took aim from a Carroll knock-down.

Tremmel came to his side's rescue again shortly before half-time when he diverted a 25-yard shot from Vaz Te around the post.

The hosts remained on the front foot in the second period, with Tremmel repelling Vaz Te again and Carroll hoisting the ball wastefully over the Swansea crossbar from a Matt Jarvis cut-back.

Belatedly, Swansea reacted, Pablo Hernandez testing Jussi Jaaskelainen from a free-kick and top scorer Michu nodding a cross from Hernandez over the top.

Tremmel unleashed yet another fine save to thwart Carroll before the visitors' resistance finally subsided in the 77th minute.

Carroll cleverly shook off the attentions of Ashley Williams inside the Swansea box before planting a header past Tremmel from a corner.

In response, Jaaskelainen saved from Ki Sung-Yueng and then sprang to his feet to block Ben Davies' follow-up effort, while the hosts also survived a desperate scramble inside their own area in the dying stages.

English Premier League results:
Arsenal 1 Stoke 0
Everton 3 Aston Villa 3
Fulham 0 Manchester Utd 1
Newcastle 3 Chelsea 2
QPR 0 Norwich 0
Reading 2 Sunderland 1
West Ham 1 Swansea 0
Wigan 2 Southampton 2

- AFP/de

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Ten killed in road accident near Barmer

JAISALMER: Ten people including two children died while two others were injured in an accident between a jeep and a dumper on Saturday near Barmer in Rajasthan.

All the deceased were returning home after a marriage party. The accident happened at 3am on Saturday. Barmer SP Rahul Barhat and other administrative officers rushed to the spot immediately.

Barhat said 10 persons died in in collision between a jeep and a trolley on National Highway 15. The deceased include two children too.

He said around 2 am on Saturday, the jeep collided with trolley. The collision was so severe that the jeep was shattered to pieces. There were 12-13 people travelling in jeep. While nine died on the spot, one person died in hospital. The injured are in critical condition. The bodies were handed over to family members after post-mortem.

Police have ordered a probe. The reason for the accident is yet to be ascertained. After the accident, the locals put up a blockade on NH15 for two hours.

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New rules aim to get rid of junk foods in schools

WASHINGTON (AP) — Most candy, high-calorie drinks and greasy meals could soon be on a food blacklist in the nation's schools.

For the first time, the government is proposing broad new standards to make sure all foods sold in schools are more healthful.

Under the new rules the Agriculture Department proposed Friday, foods like fatty chips, snack cakes, nachos and mozzarella sticks would be taken out of lunch lines and vending machines. In their place would be foods like baked chips, trail mix, diet sodas, lower-calorie sports drinks and low-fat hamburgers.

The rules, required under a child nutrition law passed by Congress in 2010, are part of the government's effort to combat childhood obesity. While many schools already have improved their lunch menus and vending machine choices, others still are selling high-fat, high-calorie foods.

Under the proposal, the Agriculture Department would set fat, calorie, sugar and sodium limits on almost all foods sold in schools. Current standards already regulate the nutritional content of school breakfasts and lunches that are subsidized by the federal government, but most lunchrooms also have "a la carte" lines that sell other foods. Food sold through vending machines and in other ways outside the lunchroom has never before been federally regulated.

"Parents and teachers work hard to instill healthy eating habits in our kids, and these efforts should be supported when kids walk through the schoolhouse door," Agriculture Secretary Tom Vilsack said.

Most snacks sold in school would have to have less than 200 calories. Elementary and middle schools could sell only water, low-fat milk or 100 percent fruit or vegetable juice. High schools could sell some sports drinks, diet sodas and iced teas, but the calories would be limited. Drinks would be limited to 12-ounce portions in middle schools and to 8-ounce portions in elementary schools.

The standards will cover vending machines, the "a la carte" lunch lines, snack bars and any other foods regularly sold around school. They would not apply to in-school fundraisers or bake sales, though states have the power to regulate them. The new guidelines also would not apply to after-school concessions at school games or theater events, goodies brought from home for classroom celebrations, or anything students bring for their own personal consumption.

The new rules are the latest in a long list of changes designed to make foods served in schools more healthful and accessible. Nutritional guidelines for the subsidized lunches were revised last year and put in place last fall. The 2010 child nutrition law also provided more money for schools to serve free and reduced-cost lunches and required more meals to be served to hungry kids.

Sen. Tom Harkin, D-Iowa, has been working for two decades to take junk foods out of schools. He calls the availability of unhealthful foods around campus a "loophole" that undermines the taxpayer money that helps pay for the healthier subsidized lunches.

"USDA's proposed nutrition standards are a critical step in closing that loophole and in ensuring that our schools are places that nurture not just the minds of American children but their bodies as well," Harkin said.

Last year's rules faced criticism from some conservatives, including some Republicans in Congress, who said the government shouldn't be telling kids what to eat. Mindful of that backlash, the Agriculture Department exempted in-school fundraisers from federal regulation and proposed different options for some parts of the rule, including the calorie limits for drinks in high schools, which would be limited to either 60 calories or 75 calories in a 12-ounce portion.

The department also has shown a willingness to work with schools to resolve complaints that some new requirements are hard to meet. Last year, for example, the government relaxed some limits on meats and grains in subsidized lunches after school nutritionists said they weren't working.

Schools, the food industry, interest groups and other critics or supporters of the new proposal will have 60 days to comment and suggest changes. A final rule could be in place as soon as the 2014 school year.

Margo Wootan, a nutrition lobbyist for the Center for Science in the Public Interest, said surveys by her organization show that most parents want changes in the lunchroom.

"Parents aren't going to have to worry that kids are using their lunch money to buy candy bars and a Gatorade instead of a healthy school lunch," she said.

The food industry has been onboard with many of the changes, and several companies worked with Congress on the child nutrition law two years ago. Major beverage companies have already agreed to take the most caloric sodas out of schools. But those same companies, including Coca-Cola and PepsiCo, also sell many of the non-soda options, like sports drinks, and have lobbied to keep them in vending machines.

A spokeswoman for the American Beverage Association, which represents the soda companies, says they already have greatly reduced the number of calories that kids are consuming at school by pulling out the high-calorie sodas.

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Follow Mary Clare Jalonick on Twitter at http://twitter.com/mcjalonick

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Obama Clings to Shotgun in WH Photo

(Official White House Photo by Pete Souza)

After a week of speculation over the authenticity of claims by President Obama that he regularly participated in skeet shooting at Camp David, the White House released a photograph today showing him firing a shotgun.

The photo shows Obama targeting clay pigeons at the presidential retreat last August, according to the White House. In an interview published Sunday the president said he shoots skeet “all the time” during stays at the compound. The comment was a response to a question of whether he had ever held a gun.

PHOTOS: Presidents and Their Guns

“Not the girls, but oftentimes guests of mine go up there. And I have a profound respect for the traditions of hunting that trace back in this country for generations. And I think those who dismiss that out of hand make a big mistake,” he said.

READ: Skeet-Shooter Obama Has ‘Respect’ for Hunters

But amid a White House-backed push for stronger gun-control in the U.S., some questioned whether the claim was an embellishment or even true. Politicians who regularly use firearms often advertise the fact to gun owners, but ABC News has not found a quote from Obama referencing his own use before the statement on Sunday.

“If he is a skeet shooter, why have we not heard of this?” asked Rep. Marsha Blackburn, R-Tenn. “Why have we not seen photos? Why has he not referenced it at any point in time as we have had this gun debate that is ongoing?”

PHOTOS: From 2009 to Now: Obama Since His First Inauguration

Appearing on CNN this week, the congresswoman challenged Obama to a skeet shooting contest.

The Associated Press reported in 2010 a second-hand reference to the activity. After a visit with the Texas Christian University rifle team, a student reportedly told the AP that Obama told her he’d practiced shooting with the Secret Service.

This is the only known image of Obama holding a gun.

Asked Monday about the president’s interview, Press Secretary Jay Carney responded to reporters about how often the president participates in shooting.

“I would refer you simply to his comments,” he said. “I don’t know how often. He does go to Camp David with some regularity, but I’m not sure how often he’s done that.”"

On Wednesday, Carney addressed the issue again, telling press that when the president travels to “Camp David, he goes to spend time with his family and friends and relax, not to produce photographs.”

White House officials and some Obama supporters have compared skeet-doubters to “skeeters” or “birthers,” the label fixed to those who deny Obama was born on U.S. soil in his home state of Hawaii, and therefore is ineligible for the Oval Office.

“Attn skeet birthers. Make our day — let the photoshop conspiracies begin!” senior adviser David Plouffe wrote on Twitter this morning, referencing the popular photo-editing software.

In January, Obama signed several executive orders strengthening gun regulation and revealed proposals that, if enacted, would include bans on assault weapons and high capacity magazines. The move began in response to the December mass-shooting of 20 first graders and six adults at a Newtown, Conn., elementary school.

INFOGRAPHIC: Guns in America: By The Numbers

A recent ABC News/Washington Post poll found 53 percent of Americans viewed Obama’s gun control plan favorably, 41 percent unfavorably.

The photo’s release comes two days before Obama travels to Minneapolis for a speech continuing his push for tougher gun control, where he is expected to appear alongside local law enforcement officials.

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Turkey says tests confirm leftist bombed U.S. embassy

ISTANBUL (Reuters) - A member of a Turkish leftist group that accuses Washington of using Turkey as its "slave" carried out a suicide bomb attack on the U.S. embassy, the Ankara governor's office cited DNA tests as showing on Saturday.

Ecevit Sanli, a member of the leftist Revolutionary People's Liberation Army-Front (DHKP-C), blew himself up in a perimeter gatehouse on Friday as he tried to enter the embassy, also killing a Turkish security guard.

The DHKP-C, virulently anti-American and listed as a terrorist organization by the United States and Turkey, claimed responsibility in a statement on the internet in which it said Turkish Prime Minister Tayyip Erdogan was a U.S. "puppet".

"Murderer America! You will not run away from people's rage," the statement on "The People's Cry" website said, next to a picture of Sanli wearing a black beret and military-style clothes and with an explosives belt around his waist.

It warned Erdogan that he too was a target.

Turkey is an important U.S. ally in the Middle East with common interests ranging from energy security to counter-terrorism. Leftist groups including the DHKP-C strongly oppose what they see as imperialist U.S. influence over their nation.

DNA tests confirmed that Sanli was the bomber, the Ankara governor's office said. It said he had fled Turkey a decade ago and was wanted by the authorities.

Born in 1973 in the Black Sea port city of Ordu, Sanli was jailed in 1997 for attacks on a police station and a military staff college in Istanbul, but his sentence was deferred after he fell sick during a hunger strike. He was never re-jailed.

Condemned to life in prison in 2002, he fled the country a year later, officials said. Interior Minister Muammer Guler said he had re-entered Turkey using false documents.

Erdogan, who said hours after the attack that the DHKP-C were responsible, met his interior and foreign ministers as well as the head of the army and state security service in Istanbul on Saturday to discuss the bombing.

Three people were detained in Istanbul and Ankara in connection with the attack, state broadcaster TRT said.

The White House condemned the bombing as an "act of terror", while the U.N. Security Council described it as a heinous act. U.S. officials said on Friday the DHKP-C were the main suspects but did not exclude other possibilities.

Islamist radicals, extreme left-wing groups, ultra-nationalists and Kurdish militants have all carried out attacks in Turkey in the past.

SYRIA

The DHKP-C statement called on Washington to remove Patriot missiles, due to go operational on Monday as part of a NATO defense system, from Turkish soil.

The missiles are being deployed alongside systems from Germany and the Netherlands to guard Turkey, a NATO member, against a spillover of the war in neighboring Syria.

"Our action is for the independence of our country, which has become a new slave of America," the statement said.

Turkey has been one of the leading advocates of foreign intervention to end the civil war in Syria and has become one of President Bashar al-Assad's harshest critics, a stance groups such as the DHKP-C view as submission to an imperialist agenda.

"Organizations of the sectarian sort like the DHKP-C have been gaining ground as a result of circumstances surrounding the Syrian civil war," security analyst Nihat Ali Ozcan wrote in a column in Turkey's Daily News.

The Ankara attack was the second on a U.S. mission in four months. On September 11, 2012, U.S. Ambassador Christopher Stevens and three American personnel were killed in an Islamist militant attack on the U.S. Consulate in Benghazi, Libya.

The DHKP-C was responsible for the assassination of two U.S. military contractors in the early 1990s in protest against the first Gulf War, and it fired rockets at the U.S. consulate in Istanbul in 1992, according to the U.S. State Department.

It has been blamed for previous suicide attacks, including one in 2001 that killed two police officers and a tourist in Istanbul's central Taksim Square. It has carried out a series of deadly attacks on police stations in the last six months.

Friday's attack may have come in retaliation for an operation against the DHKP-C last month in which Turkish police detained 85 people. A court subsequently remanded 38 of them in custody over links to the group.

(Writing by Nick Tattersall; Editing by Mark Heinrich)

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Oil prices rise after upbeat US, China data

NEW YORK: Oil prices finished higher Friday in New York, buoyed by greater optimism about global growth following encouraging indicators from the US and China.

A barrel of West Texas Intermediate, the US benchmark, settled 28 cents higher at US$97.77 on the New York Mercantile Exchange.

Even stronger was the price of European oil benchmark Brent futures, which closed at US$116.76 a barrel on the Intercontinental Exchange, up US$1.21. The close was Brent's highest level since May 2012.

Oil prices got a lift from Friday's monthly US nonfarm labour payroll data.

Although the number of net jobs added in January came in below expectations, markets were heartened by a significant upward revision in the 2012 monthly figures.

The Labor Department reported employers added 157,000 jobs in January and upped its estimate for December jobs growth to 196,000.

After a sweeping annual revision of earlier data, the department also said monthly job growth averaged 181,000 in 2012, well above the prior estimate of 153,000 jobs.

The US jobs report was not the only strong data point released Friday, said Dominick Chirichella, an analyst with the Energy Management Institute. There was also strong manufacturing data in the US and China, the world's two biggest energy consumers.

"Pretty much everything across the board was positive," Chirichella said.

The one exception was Wednesday's report on the US economy for the 2012 fourth quarter, which showed gross domestic product shrank 0.1 per cent, the first contraction since the 2009 recession.

But the oil and equity markets "ignored" the GDP reading, Chirichella added.

"Crude is being lifted with all the other markets, even though the underlying fundamentals do not necessarily justify that," said Matt Smith, an analyst with Schneider Electric. "Demand is relatively flat and supply is at a 20-year high."

Oil prices have also been supported by the fall in the US dollar against the euro. Because oil is traded in US dollars, it becomes cheaper for consumers who use other currencies to purchase the commodity.

Still, prices of US benchmark WTI continued to be weighed down by problems at the Seaway pipeline.

The pipeline has encountered operational problems that have limited the flow of oil from the Cushing, Oklahoma-based trading hub to refineries on the US Gulf Coast, producing a glut of oil at landlocked Cushing that has pressured prices.

- AFP/jc

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India irked as China gets Pakistan's strategic Gwadar port

NEW DELHI: Pakistan's cabinet formally agreed to hand over the operation of its strategically located Gwadar port to China on Wednesday. This puts in place China's famed "string of pearls" strategy which may have significant implications for India.

On Wednesday, the Pakistan cabinet, in one of its last decisions, transferred the operations responsibility of the Gwadar port from Singapore's PSA (Port of Singapore Authority) International to China's Overseas Port Holdings. This had been agreed some time ago as PSA International and Pakistani navy fell out over land transfers, security issues and lack of infrastructure. PSA had asked to withdraw from the contract and Pakistan had agreed.

In 2011, the Pakistani defence minister had announced in Beijing that Islamabad would transfer ownership to a Chinese company. China had demurred then, but despite the worsening security situation in Balochistan, the Chinese have apparently agreed to take it over.

China has already encountered opposition from Baloch people, who have objected to the Chinese taking over their traditional lands. And as the transition in Afghanistan draws near, that region, specially Quetta, which apparently houses top Taliban leaders, is likely to see more violence.

Gwadar was built by China but during its operation by PSA, it barely attracted any commercial traffic. There is also a lot of port development that remains to be built. Pakistan expects China to complete that construction in record time, given its past performance.

More than that, Pakistan expects China to turn Gwadar into a naval base. However, China has its work cut out. A container terminal, rail and road links from the port across Balochistan would need to be built, before China can take advantage of the port itself.

For China, Gwadar could also be a conduit for energy flows into northwestern China, by transporting oil and gas from the port through pipelines that traverse Balochistan and the federal agencies to feed into China's Xinjiang province. As China's oil imports increase, it would prefer to insulate its energy flows from the turbulent waters of the Straits of Malacca and the South China Sea.

Indian ships among others patrol the former as an anti-piracy measure. In the latter, China is involved in a territorial dispute with Vietnam and Philippines among others. In a conflict, it would be easy to shut off China's energy supplies. But not if they can be routed through Gwadar where Pakistan Navy can also add to the security.

According to recent figures, over 60% of China's imported oil travels through the Straits of Hormuz. Having Gwadar under its command would change the security dynamics for China.

As China moves into the Indian Ocean, Gwadar port would be ideal as a staging ground for Chinese ships. China already has a steady presence in Sri Lanka's Hambantota port, it is wooing Maldives, though no port presence is planned yet. China is also building a port in Chittagong, Bangladesh, as well as Sonadiya, near Cox's Bazar.

From the security point of view, India could find itself considerably constrained. It's not for nothing that India has ramped up its relations with Oman, though there is no security presence there yet. India has been pushing to develop the Iranian port of Chahbahar, but that remains a long-term project.

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Obama offers faith groups new birth control rule

WASHINGTON (AP) — Facing a wave of lawsuits over what government can tell religious groups to do, the Obama administration on Friday proposed a compromise for faith-based nonprofits that object to covering birth control in their employee health plans.

Some of the lawsuits appear headed for the Supreme Court, threatening another divisive legal battle over President Barack Obama's health care overhaul law, which requires most employers to cover birth control free of charge to female workers as a preventive service. The law exempted churches and other houses of worship, but religious charities, universities, hospitals and even some for-profit businesses have objected.

The government's new offer, in a proposed regulation, has two parts.

Administration officials said it would more simply define the religious organizations that are exempt from the requirement altogether. For example, a mosque whose food pantry serves the whole community would not have to comply.

For other religious employers, the proposal attempts to create a buffer between them and contraception coverage. Female employees would still have free access through insurers or a third party, but the employer would not have to arrange for the coverage or pay for it. Insurers would be reimbursed for any costs by a credit against fees owed the government.

It wasn't immediately clear whether the plan would satisfy the objections of Roman Catholic charities and other faith-affiliated nonprofits nationwide challenging the requirement.

Kyle Duncan, general counsel for the Becket Fund for Religious Liberty, which is representing religious nonprofits and businesses in lawsuits, said many of his clients will still have serious concerns.

"This is a moral decision for them," Duncan said. "Why doesn't the government just exempt them?"

Neither the Catholic Health Association, a trade group for hospitals, nor the U.S. Conference of Catholic Bishops had an immediate reaction, saying the regulations were still being studied.

Some women's advocates were pleased.

"The important thing for us is that women employees can count on getting insurance that meets their needs, even if they're working for a religiously affiliated employer," said Cindy Pearson, executive director of the National Women's Health Network.

Policy analyst Sarah Lipton-Lubet of the American Civil Liberties Union said the rule appeared to meet the ACLU's goal of providing "seamless coverage."

Health and Human Services Secretary Kathleen Sebelius said in a statement that the compromise would provide "women across the nation with coverage of recommended preventive care at no cost, while respecting religious concerns."

The birth-control rule, first introduced a year ago, became an election issue, with some advocates for women praising the mandate as a victory but some religious leaders decrying it as an attack on faith groups.

The health care law requires most employers, including faith-affiliated hospitals and nonprofits, to provide preventive care at no charge to employees. Scientific advisers to the government recommended that artificial contraception, including sterilization, be included in a group of services for women. The goal, in part, is to help women space out pregnancies to promote health.

Under the original rule, only those religious groups that primarily employ and serve people of their own faith — such as churches — were exempt. But other religiously affiliated groups, such as church-affiliated universities, Catholic Charities and hospitals, were told they had to comply.

Catholic bishops, evangelicals and some religious leaders who have generally been supportive of Obama's policies lobbied fiercely for a broader exemption. The Catholic Church prohibits the use of artificial contraception. Evangelicals generally accept the use of birth control, but some object to specific methods such as the morning-after contraceptive pill, which they argue is tantamount to abortion, and is covered by the policy.

Obama had promised to change the birth control requirement so insurance companies — and not faith-affiliated employers — would pay for the coverage, but religious leaders said more changes were needed to make the plan work.

Since then, more than 40 lawsuits have been filed by religious nonprofits and secular for-profit businesses contending the mandate violates their religious beliefs. As expected, this latest regulation does not provide any accommodation for individual business owners who have religious objections to the rule.

Questions remain about how the services ultimately will be funded. The Health and Human Services Department has not tallied an overall cost for the plan, according to Chiquita Brooks-LaSure, an HHS deputy policy director.

However, in its new version of the rule, the department argues that the change won't impose new costs on insurers because it will save them money "from improvements in women's health and fewer child births."

The latest version of the mandate is now subject to a 60-day public comment period. The overall mandate is to take effect for religious nonprofits in August.

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Zoll reported from New York. Associated Press writer David Crary in New York contributed.

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Secret Video Shows Bomb Dogs Failing Tests

A new government investigation suggests that the Transportation Security Administration is not collecting enough detailed information to know if its bomb dogs are well trained and capable of finding bombs at the nation's airports, and includes secret video that shows the dogs failing tests to detect explosives.

TSA has been testing bomb dogs in Miami and Oklahoma City and will be testing them at Dulles airport, outside Washington, D.C., this month.

A GAO report released this week, however, says that the passenger-screening canines have not been adequately tested, and included secret video shot over the past year that showed the dogs failing to detect explosives properly at the test airports.

"As part of our review," wrote the GAO, "we visited two airports at which PSC teams have been deployed and observed training exercises in which PSC teams accurately detected explosives odor (i.e., positive response), failed to detect explosives odor (i.e., miss) and falsely detected explosives odor (i.e., non-productive response)."

Miguel Medina/AFP/Getty Images

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The report also said that "TSA could have benefited from completing operational assessments of PSCs before deploying them on a nationwide basis to determine whether they are an effective method of screening passengers in the U.S. airport environment."

In a statement, the TSA said it "acknowledges the need to further examine the data collected over a longer term. To that end, the National Canine Program (NCP) will reestablish annual comprehensive assessments. Beginning in March 2013, TSA plans to expand the Canine Website to improve functionality and reporting capabilities addressing a GAO recommendation."

It also said that this month it would complete effectiveness assessments at Miami, Oklahoma City and Dulles airports, and that it would identify the proper places for the dogs to be deployed at 120 airports by the end of fiscal 2013.

The cost of keeping bomb-sniffing dogs on the government's payroll has almost doubled in the past two years, from $52 million to more than $100 million. Each TSA dog team costs the taxpayers $164,000 dollars a year.

"They want to do the right thing," aviation expert Jeff Price told ABC News, "but the homework hasn't been done. A lot of money gets spent before they know something works."

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Click Here for the Blotter Homepage.

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