Syrian rebels attack military airport in northwest


BEIRUT (Reuters) - Syrian rebels, some from Islamist units, fired machineguns and mortars at helicopters grounded at a northern military air base near the main Aleppo-Damascus highway on Wednesday, a monitoring group said.


The al Qaeda-linked al-Nusra Front, Ahrar al-Sham Brigade and other units operating in Syria's northwestern province of Idlib were attacking the Afis military airport near Taftanaz, the pro-opposition Syrian Observatory for Human Rights said.


There was no immediate account of the fighting around the air base from Syrian state media.


Insurgents trying to topple President Bashar al-Assad see his air power as their main threat. They hold swathes of eastern and northern provinces, as well as a crescent of suburbs around the capital, Damascus, but have been unable to protect rebel-held territory from relentless attack by helicopters and jets.


In recent months, rebel units have besieged several military installations, especially along Syria's main north-south artery from Aleppo, its most populous city, to Damascus.


The Observatory's director, Rami Abdelrahman, said Wednesday's attack was the latest of several attempts to capture the base. A satellite image of the airport shows more than 40 helicopter landing pads, a runway and aircraft hangars.


An estimated 45,000 people have been killed in the Syrian conflict, which began in March 2011 with peaceful protests against four decades of Assad family rule but turned into an armed revolt after months of government repression.


In Damascus, Assad's forces fired artillery and mortars at the eastern districts of Douma, Harasta, Irbin and Zamlaka, where rebels have a foothold, activists living there said.


Syria's civil war is the longest and deadliest conflict to emerge from uprisings that began sweeping the Arab world in 2011 and has developed a significant sectarian element.


Rebels, mostly from the Sunni Muslim majority, confront Assad's army and security forces, dominated by his Shi'ite-derived Alawite sect, which, along with some other minorities, fears revenge if he falls.


U.N.-led diplomatic peace efforts have stumbled. Western and many Sunni Arab states demand Assad's immediate removal, an idea resisted by Russia, China and Syria's Shi'ite ally Iran.


The rebels say they will not negotiate unless Assad, who has vowed to fight to the death, leaves power.


More than 110 people, including at least 31 of Assad's soldiers and militiamen, were killed in Syria on the first day of 2013, according to the Observatory, which tracks the conflict from Britain using a network of contacts inside the country.


(Editing by Peter Graff and Alistair Lyon)



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Thai arrested over death of Briton at New Year party






BANGKOK: Police in Thailand said Wednesday they had arrested a Thai man over the death of a British tourist shot during New Year celebrations at one of the Southeast Asian nation's most popular islands.

The 26-year-old suspect is alleged to have opened fire during an argument with a group of other Thai men at a bar on the southern resort of Koh Phangan, killing holidaymaker Stephen Ashton who was dancing on the beach.

"He was charged with murder, even though he said he did not aim to kill a tourist. Firing the gun, no matter at whom, was aiming to kill," said Surat Thani province police commander Kietpong Khaosa-ard.

The man, who was arrested late Tuesday near his home on the island, was also charged with illegal possession of a weapon.

The British Foreign Office on Tuesday said it was providing consular assistance to Ashton's family.

Phangan is a resort island in the Gulf of Thailand near Koh Samui and draws thousands of backpackers to its famous full moon parties.

- AFP/de



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Vadra probe panel is cover up to 'gargantuan land scams': Ashok Khemka

CHANDIGARH: Senior IAS officer Ashok Khemka has termed Haryana's decision to set up a panel to probe his orders to cancel mutation of a land deal between Robert Vadra and DLF as a "cover up to the gargantuan land scams", and sought relevant file notings from the state government.


Four days after the high-level panel submitted its inquiry report into the cancellation of mutation of 3.5 acre of land in Gurgaon, Khemka stood his ground on his findings in the controversial deal.


In a letter to Haryana Chief Secretary P K Chaudhery on Monday, Khemka, who had as Director General of Consolidation of Holdings, cancelled the mutation of land deal between businessman Robert Vadra and real estate giant DLF, wrote that his orders under Sec 42 of East-Punjab Holdings (Consolidation and Prevention of Fragmentation) Act, 1948, were "quasi- judicial and final."


Currently MD of Haryana Seeds Development Corporation, Khemka has also sought a copy of the government order constituting the inquiry committee, its terms of reference and relevant file noting pages constituting the panel.


On being contacted, Khemka said the committee is a "sham to justify possible action against me as a cover to the gargantuan land scams".


"All this kind of humiliation and mental torture is to break me down psychologically," he claimed, adding that "vested interests" in the government have "pre-judged" the matter.


He said he is surprised that the affected individual or the corporate house is "not ostensibly aggrieved."


In his letter Khemka said, "the remedy for the affected party is to challenge the order by way of filing a writ petition in the high court".


Khemka has cited a case in which the Punjab and Haryana High Court had on September 6 last year directed the Hooda government to compile all orders of the DG consolidation, where precious panchayat lands were transferred to influential realtor companies.


"One of my orders pertaining to Chirsi village (Faridabad district) is also under challenge," he wrote.


The probe panel had submitted its report to the state Chief Secretary on December 28.


Congress president Sonia Gandhi's son-in-law Vadra had sold 3.53 acre of land at Shikohpur village in Gurgaon district to DLF.


As DG Consolidation, Khemka had on October 15, last year set aside the mutation on the grounds that the assistant consolidation officer who had sanctioned it was not authorised to do so.


Chaudhery, meanwhile, said he was "examining" the probe panel's report.

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Brain image study: Fructose may spur overeating


This is your brain on sugar — for real. Scientists have used imaging tests to show for the first time that fructose, a sugar that saturates the American diet, can trigger brain changes that may lead to overeating.


After drinking a fructose beverage, the brain doesn't register the feeling of being full as it does when simple glucose is consumed, researchers found.


It's a small study and does not prove that fructose or its relative, high-fructose corn syrup, can cause obesity, but experts say it adds evidence they may play a role. These sugars often are added to processed foods and beverages, and consumption has risen dramatically since the 1970s along with obesity. A third of U.S. children and teens and more than two-thirds of adults are obese or overweight.


All sugars are not equal — even though they contain the same amount of calories — because they are metabolized differently in the body. Table sugar is sucrose, which is half fructose, half glucose. High-fructose corn syrup is 55 percent fructose and 45 percent glucose. Some nutrition experts say this sweetener may pose special risks, but others and the industry reject that claim. And doctors say we eat too much sugar in all forms.


For the study, scientists used magnetic resonance imaging, or MRI, scans to track blood flow in the brain in 20 young, normal-weight people before and after they had drinks containing glucose or fructose in two sessions several weeks apart.


Scans showed that drinking glucose "turns off or suppresses the activity of areas of the brain that are critical for reward and desire for food," said one study leader, Yale University endocrinologist Dr. Robert Sherwin. With fructose, "we don't see those changes," he said. "As a result, the desire to eat continues — it isn't turned off."


What's convincing, said Dr. Jonathan Purnell, an endocrinologist at Oregon Health & Science University, is that the imaging results mirrored how hungry the people said they felt, as well as what earlier studies found in animals.


"It implies that fructose, at least with regards to promoting food intake and weight gain, is a bad actor compared to glucose," said Purnell. He wrote a commentary that appears with the federally funded study in Wednesday's Journal of the American Medical Association.


Researchers now are testing obese people to see if they react the same way to fructose and glucose as the normal-weight people in this study did.


What to do? Cook more at home and limit processed foods containing fructose and high-fructose corn syrup, Purnell suggested. "Try to avoid the sugar-sweetened beverages. It doesn't mean you can't ever have them," but control their size and how often they are consumed, he said.


A second study in the journal suggests that only severe obesity carries a high death risk — and that a few extra pounds might even provide a survival advantage. However, independent experts say the methods are too flawed to make those claims.


The study comes from a federal researcher who drew controversy in 2005 with a report that found thin and normal-weight people had a slightly higher risk of death than those who were overweight. Many experts criticized that work, saying the researcher — Katherine Flegal of the Centers for Disease Control and Prevention — painted a misleading picture by including smokers and people with health problems ranging from cancer to heart disease. Those people tend to weigh less and therefore make pudgy people look healthy by comparison.


Flegal's new analysis bolsters her original one, by assessing nearly 100 other studies covering almost 2.9 million people around the world. She again concludes that very obese people had the highest risk of death but that overweight people had a 6 percent lower mortality rate than thinner people. She also concludes that mildly obese people had a death risk similar to that of normal-weight people.


Critics again have focused on her methods. This time, she included people too thin to fit what some consider to be normal weight, which could have taken in people emaciated by cancer or other diseases, as well as smokers with elevated risks of heart disease and cancer.


"Some portion of those thin people are actually sick, and sick people tend to die sooner," said Donald Berry, a biostatistician at the University of Texas MD Anderson Cancer Center in Houston.


The problems created by the study's inclusion of smokers and people with pre-existing illness "cannot be ignored," said Susan Gapstur, vice president of epidemiology for the American Cancer Society.


A third critic, Dr. Walter Willett of the Harvard School of Public Health, was blunter: "This is an even greater pile of rubbish" than the 2005 study, he said. Willett and others have done research since the 2005 study that found higher death risks from being overweight or obese.


Flegal defended her work. She noted that she used standard categories for weight classes. She said statistical adjustments were made for smokers, who were included to give a more real-world sample. She also said study participants were not in hospitals or hospices, making it unlikely that large numbers of sick people skewed the results.


"We still have to learn about obesity, including how best to measure it," Flegal's boss, CDC Director Dr. Thomas Frieden, said in a written statement. "However, it's clear that being obese is not healthy - it increases the risk of diabetes, heart disease, cancer, and many other health problems. Small, sustainable increases in physical activity and improvements in nutrition can lead to significant health improvements."


___


Online:


Obesity info: http://www.cdc.gov/obesity/data/trends.html


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Marilynn Marchione can be followed at http://twitter.com/MMarchioneAP


Mike Stobbe can be followed at http://twitter.com/MikeStobbe


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Obama Hails 'Cliff' Deal, Warns of Next Fiscal Fight













Minutes after the House of Representatives approved a bipartisan Senate deal to avert the "fiscal cliff" and preserve Bush-era tax cuts for all Americans making less than $400,000 per year, President Obama praised party leaders and wasted little time turning to the next fiscal fight.


"This is one step in the broader effort to strengthen our economy for everybody," Obama said.


Obama lamented that earlier attempts at a much larger fiscal deal that would have cut spending and dealt with entitlement reforms failed. He said he hoped future debates would be done with "a little less drama, a little less brinksmanship, and not scare folks quite as much."


But Obama drew a line in the sand on the debt ceiling, which is set to be reached by March.


"While I will negotiate over many things, I will not have another debate with this Congress over whether they should pay the bills for what they've racked up," Obama said. "We can't not pay bills that we've already incurred."


An hour after his remarks, Obama boarded Air Force One to rejoin his family in Hawaii, where they have been since before Christmas.






AP Photo/Charles Dharapak















'Fiscal Cliff' Negotiations: Congress Reaches Agreement Watch Video





House Republicans agreed to the up-or-down vote Tuesday evening, despite earlier talk of trying to amend the Senate bill with more spending cuts before taking a vote. The bill delays for two months tough decisions about automatic spending cuts that were set to kick in Wednesday.


A majority of the Republicans in the GOP-majority House voted against the fiscal cliff deal. About twice as many Democrats voted in favor of the deal compared to Republicans. One hundred fifty-one Republicans joined 16 Democrats to vote against the deal, while 172 Democrats carried the vote along with 85 Republicans.


The Senate passed the same bill by an 89-8 vote in the wee hours of New Year's Day. If House Republicans had tweaked the legislation, there would have been no clear path for its return to the Senate before a new Congress is sworn in Thursday.


The vote split Republican leaders in the House. House Speaker John Boehner, R-Ohio, voted yes, and so did the GOP's 2012 vice presidential candidate, Rep. Paul Ryan, R-Wis.


But House Majority Leader Eric Cantor, R-Va., the No. 2 Republican in the House, voted no. It was his opposition that had made passage of the bill seem unlikely earlier in the day.


The deal does little to address the nation's long-term debt woes and does not entirely solve the problem of the "fiscal cliff."


Indeed, the last-minute compromise -- far short from a so-called grand bargain on deficit reduction -- sets up a new showdown on the same spending cuts in two months amplified by a brewing fight on how to raise the debt ceiling beyond $16.4 trillion. That new fiscal battle has the potential to eclipse the "fiscal cliff" in short order.


"Now the focus turns to spending," said Boehner in a statement after the vote. "The American people re-elected a Republican majority in the House, and we will use it in 2013 to hold the president accountable for the 'balanced' approach he promised, meaning significant spending cuts and reforms to the entitlement programs that are driving our country deeper and deeper into debt."


Republicans hope that allowing the fiscal cliff compromise, which raised taxes without an equal amount of spending cuts, will settle the issue of tax rates for the coming debates on spending.






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North Korean leader seeks end to confrontation with South


SEOUL (Reuters) - North Korean leader Kim Jong-un called for an end to confrontation between the two Koreas, technically still at war in the absence of a peace treaty to end their 1950-53 conflict, in a surprise New Year speech broadcast on state media.


The address by Kim, who took over power in the reclusive state after his father, Kim Jong-il, died in 2011, appeared to take the place of the policy-setting New Year editorial published in leading state newspapers.


But North Korea has offered olive branches before and Kim's speech does not necessarily signify a change in tack from a country which vilifies the United States and U.S. ally South Korea at every chance it gets.


Impoverished North Korea raised tensions in the region by launching a long-range rocket in December that it said was aimed at putting a scientific satellite in orbit, drawing international condemnation.


North Korea, which considers North and South as one country, the Democratic People's Republic of Korea, is banned from testing missile or nuclear technology under U.N. sanctions imposed after its 2006 and 2009 nuclear weapons tests.


"An important issue in putting an end to the division of the country and achieving its reunification is to remove confrontation between the north and the south," Kim said in the address that appeared to be pre-recorded and was made at an undisclosed location.


"The past records of inter-Korean relations show that confrontation between fellow countrymen leads to nothing but war."


The New Year address was the first in 19 years by a North Korean leader after the death of Kim Il-sung, Kim Jong-un's grandfather. Kim Jong-il rarely spoke in public and disclosed his national policy agenda in editorials in state newspapers.


"(Kim's statement) apparently contains a message that he has an intention to dispel the current face-off (between the two Koreas), which could eventually be linked with the North's call for aid (from the South)," said Kim Tae-woo, a North Korea expert at the state-funded Korea Institute for National Unification.


"But such a move does not necessarily mean any substantive change in the North Korean regime's policy towards the South."


The two Koreas have seen tensions rise to the highest level in decades after the North bombed a Southern island in 2010 killing two civilians and two soldiers.


The sinking of a South Korean navy ship earlier that year was blamed on the North but Pyongyang has denied it and accused Seoul of waging a smear campaign against its leadership.


Last month, South Korea elected as president Park Geun-hye, a conservative daughter of assassinated military ruler Park Chung-hee whom Kim Il-sung had tried to kill at the height of their Cold War confrontation.


Park has vowed to pursue engagement with the North and called for dialogue to build confidence but has demanded that Pyongyang abandon its nuclear weapons ambitions, something it is unlikely to do.


Conspicuously absent from Kim's speech was any mention of the nuclear arms program.


(Additional reporting by Sung-Won Shim; Editing by Nick Macfie)



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Festive cheer for online shopping sites






SINGAPORE: More shoppers are buying online during the festive period due to its convenience and wide range of products.

Many have skipped the trip to the malls and avoided the crowds by visiting web stores.

One online bookshop said sales for 2012 jumped by about 40 per cent, compared with the year before.

Its customers are mainly between 30 and 50 years old. It also has a mobile application. Customers need only scan bar codes on books to check the price on the web store.

The store has also introduced electronic gift vouchers.

Group-buying websites are also enjoying brisk business.

Customers visit the websites to buy coupons which will be redeemed for items at the store.

One site - Groupon - said its sales increased by about 30 per cent during the festive period and more than 2,000 people go to its shop every day.

Its best-selling items include electronics and branded accessories.

Groupon's chief operating officer Adrian Tan said: "We've increased the manpower by 40 per cent and at the same time, we extended the operating hours from 7.30pm to 8.30pm now. This is to cope with the increased crowd and increased number of people redeeming items."

- CNA/fa



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Sushilkumar Shinde asks parties to give views on reviewing rape laws

NEW DELHI: The government has asked political parties to give their views on reviewing rape laws to Justice J S Verma Committee, set up to suggest amendments in the statute to provide speedier justice and enhanced punishment in cases of aggravated sexual assault against women.

In letters to leaders of all national and state political parties, home minister Sushilkumar Shinde said in the light of gang rape of a 23-year-old girl in Delhi, the government has given its anxious consideration to the need for reviewing the present laws relating to sexual assault of extreme nature against women.

The government had on December 23 constituted the Committee under the chairmanship of Justice (retd) Verma, former Chief Justice of India, to look into the possible amendments of the criminal law so as to provide for quicker trial and enhanced punishment to criminals in such cases.

"I shall be grateful if you could forward your views on the issue to the committee so that the committee can consider them while making their recommendations. I would urge you to communicate your views as early as possible as the committee has been asked to finalize its recommendations early," he said in the letter, a copy of which was made available today.

The three-member committee has been asked to submit its report to the government in 30 days. The other members of the committee are Justice (retd) Leila Seth, former Chief Justice of Himachal Pradesh high court, and former solicitor general Gopal Subramaniam.

Justice Verma committee has become fully operational and in located in Vigyan Bhavan Annexe in New Delhi and can be contacted at telephone no.- 011-23022031 and through email :- justice.verma@nic.in with suggestions and views.

Under the existing law, the maximum punishment for rape is life term but the nationwide outrage over the December 16 gang rape of the physiotherapy student in a moving bus here has sparked a demand for death penalty to rapists. The girl breathed her last on Saturday in a Singapore hospital.

Congress president Sonia Gandhi has stepped in to make some key suggestions to the government for stricter laws on sex crimes against women and enhanced punishment to the perpetrators.

BJP has favoured death for perpetrators of such heinous crimes and demanded a special session of Parliament for amending the laws.

The government has, however, brushed aside the opposition demand for an immediate special session, saying a decision on the issue could be taken only after the Justice Verma committee gives its report.

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Clinton receiving blood thinners to dissolve clot


WASHINGTON (AP) — Doctors treating Secretary of State Hillary Rodham Clinton for a blood clot in her head said blood thinners are being used to dissolve the clot and they are confident she will make a full recovery.


Clinton didn't suffer a stroke or neurological damage from the clot that formed after she suffered a concussion during a fainting spell at her home in early December, doctors said in a statement Monday.


Clinton, 65, was admitted to New York-Presbyterian Hospital on Sunday when the clot turned up on a follow-up exam on the concussion, Clinton spokesman Phillipe Reines said.


The clot is located in the vein in the space between the brain and the skull behind the right ear. She will be released once the medication dose for the blood thinners has been established, the doctors said.


In their statement, Dr. Lisa Bardack of the Mount Kisco Medical Group and Dr. Gigi El-Bayoumi of George Washington University said Clinton was making excellent progress and was in good spirits.


Clinton's complication "certainly isn't the most common thing to happen after a concussion" and is one of the few types of blood clots in the skull or head that are treated with blood thinners, said Dr. Larry Goldstein, a neurologist who is director of Duke University's stroke center. He is not involved in Clinton's care.


The area where Clinton's clot developed is "a drainage channel, the equivalent of a big vein inside the skull. It's how the blood gets back to the heart," Goldstein said.


Blood thinners usually are enough to treat the clot and it should have no long-term consequences if her doctors are saying she has suffered no neurological damage from it, Goldstein said.


Clinton returned to the U.S. from a trip to Europe, then fell ill with a stomach virus in early December that left her severely dehydrated and forced her to cancel a trip to North Africa and the Middle East. Until then, she had canceled only two scheduled overseas trips, one to Europe after breaking her elbow in June 2009 and one to Asia after the February 2010 earthquake in Haiti.


Her condition worsened when she fainted, fell and suffered a concussion while at home alone in mid-December as she recovered from the virus. It was announced Dec. 13.


This isn't the first time Clinton has suffered a blood clot. In 1998, midway through her husband's second term as president, Clinton was in New York fundraising for the midterm elections when a swollen right foot led her doctor to diagnose a clot in her knee requiring immediate treatment.


Clinton had planned to step down as secretary of state at the beginning of President Barack Obama's second term. Whether she will return to work before she resigns remained a question.


Democrats are privately if not publicly speculating: How might her illness affect a decision about running for president in 2016?


After decades in politics, Clinton says she plans to spend the next year resting. She has long insisted she had no intention of mounting a second campaign for the White House four years from now. But the door is not entirely closed, and she would almost certainly emerge as the Democrat to beat if she decided to give in to calls by Democratic fans and run again.


Her age — and thereby health — would probably be a factor under consideration, given that Clinton would be 69 when sworn in, if she were elected in 2016. That might become even more of an issue in the early jockeying for 2016 if what started as a bad stomach bug becomes a prolonged, public bout with more serious infirmity.


Not that Democrats are willing to talk openly about the political implications of a long illness, choosing to keep any discussions about her condition behind closed doors. Publicly, Democrats reject the notion that a blood clot could hinder her political prospects.


"Some of those concerns could be borderline sexist," said Basil Smikle, a Democratic strategist who worked for Clinton when she was a senator. "Dick Cheney had significant heart problems when he was vice president, and people joked about it. He took the time he needed to get better, and it wasn't a problem."


It isn't uncommon for presidential candidates' health — and age — to be an issue. Both in 2000 and 2008, Sen. John McCain, R-Ariz., had to rebut concerns he was too old to be commander in chief or that his skin cancer could resurface.


Two decades after Clinton became the first lady, signs of her popularity — and her political strength — are ubiquitous.


Obama had barely declared victory in November when Democrats started zealously plugging Clinton as their strongest White House contender four years from now, should she choose to take that leap.


"Wouldn't that be exciting?" House Democratic leader Nancy Pelosi declared in December. "I hope she goes. Why wouldn't she?"


Even Republicans concede that were she to run, Clinton would be a force to be reckoned with.


"Trying to win that will be truly the Super Bowl," Newt Gingrich, the former House Speaker and 2012 GOP presidential candidate, said in December. "The Republican Party today is incapable of competing at that level."


Americans admire Clinton more than any other woman in the world, according to a Gallup poll released Monday — the 17th time in 20 years that Clinton has claimed that title. And a recent ABC News/Washington Post poll found that 57 percent of Americans would support Clinton as a candidate for president in 2016, with just 37 percent opposed. Websites have already cropped up hawking "Clinton 2016" mugs and tote bags.


Beyond talk of future politics, Clinton's three-week absence from the State Department has raised eyebrows among some conservative commentators who questioned the seriousness of her ailment after she canceled planned Dec. 20 testimony before Congress on the deadly attack on the U.S. diplomatic mission in Benghazi, Libya.


Clinton had been due to discuss with lawmakers a scathing report she had commissioned on the attack. It found serious failures of leadership and management in two State Department bureaus were to blame for insufficient security at the facility. Clinton took responsibility for the incident before the report was released, but she was not blamed. Four officials cited in the report have either resigned or been reassigned.


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Associated Press writer Ken Thomas in Washington and AP Chief Medical Writer Marilynn Marchione in Milwaukee contributed to this report.


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Senate Approves 'Fiscal Cliff' Deal, Sends to House













Two hours after a midnight deadline for action, the Senate passed legislation early New Year's Day to avert the so-called "fiscal cliff" with an overwhelming vote of 89-8.


Senate passage set the stage for a final showdown in the House, where a vote could come as early as today.


"While neither Democrats nor Republicans got everything they wanted, this agreement is the right thing to do for our country and the House should pass it without delay," President Obama said in a statement shortly after the vote.


"There's more work to do to reduce our deficits, and I'm willing to do it. But tonight's agreement ensures that, going forward, we will continue to reduce the deficit through a combination of new spending cuts and new revenues from the wealthiest Americans," he added.


The bill extends Bush-era tax cuts permanently for people making less than $400,000 per year and households making less than $450,000.


The steep "sequester" budget cuts scheduled to go into effect with the New Year would be postponed for two months.


The deal also would affect taxes on investment income and estates, and extend unemployment benefits for a year.
Officials also decided at the last minute to use the measure to prevent a $900 pay raise for lawmakers due to take effect this spring.








'Fiscal Cliff': Lawmakers Scramble for Last-Minute Deal Watch Video









The failure of a deal to pass Congress by Jan. 1 technically triggers an income tax hike on all Americans and automatic spending cuts, though lawmakers could still prevent a tax hike by making retroactive any legislation that passes in the weeks ahead, experts said.


The deal at hand will not entirely solve the problem of the "fiscal cliff," however. In fact, it could set up a new showdown over the same spending cuts in just two months that would be amplified by a brewing fight over how to raise the debt ceiling beyond $16.4 trillion. That new fiscal battle has the potential to eclipse the "fiscal cliff" in short order.


In addition to extending current tax rates for households making $450,000 or less, the latest plan would raise the estate tax from 35 to 40 percent for estates larger than $5 million; and prevent the alternative minimum tax from hammering millions of middle-class workers.


Capital gains taxes would rise to 20 percent from 15 percent.


The deal would also extend for one year unemployment insurance benefits set to expire today for two million people, and avert a steep cut to Medicare payments for doctors.


"Working though the night and throughout the day we've reached an agreement with Sen. McConnell," Senate Majority Leader Harry Reid, D-Nev., said early Tuesday morning prior to the vote.


"I've said all along our most important priority is protecting middle class Americans, this legislation does that," Reid added.


He said he is "disappointed" they were not able to make the grand bargain and that more work needs to be done in the future.


"But we tried, if we did nothing the threat of a recession is very real," Reid concluded.


Speaking after Reid, Senate Minority Leader Mitch McConnell, R-KY., called the deal an "imperfect solution" and noted this should not be the model on how things get done in the Senate.


McConnell also thanked Vice President Joe Biden, who visited Capitol Hill late Monday night and brokered the deal with McConnell.


The House Democratic leader Nancy Pelosi issued a statement saying that when legislation clears the Senate, "I will present it to the House Democratic caucus."






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