At least one American dead in Algerian hostage crisis

Updated at 6:41 p.m. ET

An American in the Algerian hostage standoff in the Algerian desert has been killed, CBS News has learned.

Fredrick Buttaccio from Katy, Texas near Houston, was an employee of the oil company BP. It is unknown how he died, but U.S. government sources tell CBS News his body has been recovered and his family has been notified.

Who are the terrorists that Islamic militants want freed?

Meanwhile, a U.S. military plane has landed in Amenas, Algeria to pick up nine passengers - one American and eight foreign nationals - to be transported to Landstuhl, Germany, a military source told CBS News.

The flight, which contains an air medical evacuation team, was expected to have departed Algeria by Thursday afternoon.

It's not clear exactly how many total casualties have resulted from the fighting, but Algeria's state news agency reported that 12 foreign and Algerian workers had died since the start of the operation, citing an unidentified security source. That information could not be independently confirmed.

As CBS News correspondent Mark Phillips reported, the freed hostages told of how they fled in the confusion as the Algerian army attacked. Many were injured, some badly. One person said: "It happened so fast."

But it hasn't ended quickly, reported Phillips. The Algerians say they've freed nearly a hundred foreigners. And as they were being bused away, many thanked their rescuers. "They kept us all nice and safe and fought off the bad guys," said another person.

Also, more detail of the ordeal has emerged with the freed hostages. Some say they had explosives hung around their necks as they were placed in a convoy of vehicles by their captors. When the cars began to move, the Algerian Army units surrounding the site feared the captives were being taken out of the compound -- and opened fire.

The al Qaeda-linked Masked Battalio, led from afar by Mukhtar bil Mukhtar, may still be holding some of the roughly 30 foreigners still unaccounted for.

U.S. Secretary of State Hillary Clinton did not get into specifics on the crisis Friday afternoon, but described it as an "extremely difficult and dangerous situation" and called on the Algerian government to "preserve innocent life" in their efforts to fully resolve the crisis. Clinton spoke after the State Department said that Americans were still being held hostage.

The desert siege erupted Wednesday when the militants attempted to hijack two buses at the plant, were repulsed, and then seized the sprawling refinery, which is 800 miles south of Algiers. They had claimed the attack came in retaliation for France's recent military intervention against Islamist rebels in neighboring Mali, but security experts have said it must have taken weeks of planning to hit the remote site.

Since then, Algeria's government has kept a tight grip on information about the siege.

The militants had seized hundreds of workers from 10 nations at Algeria's remote Ain Amenas natural gas plant. The overwhelming majority were Algerian and were freed almost immediately.

Algerian forces retaliated Thursday by storming the plant in an attempted rescue operation that left leaders around the world expressing strong concerns about the hostages' safety.

Militants claimed 35 hostages died on Thursday when Algerian military helicopters opened fire as the Islamists transported the hostages around the gas plant. While Algerian officials acknowledged some hostage deaths, the number could not be independently confirmed.

On Friday, trapped in the main refinery area, the militants offered to trade two American hostages for two prominent terror figures jailed in the United States. Those the militants sought included Omar Abdel Rahman, the blind sheikh who was convicted of plotting to blow up New York City landmarks and considered the spiritual leader of the 1993 World Trade Center bombing, and Aafia Siddiqui, a Pakistani scientist convicted of shooting at two U.S. soldiers in Afghanistan.

But U.S. Defense Secretary Leon Panetta said there would be "no place to hide" for anyone who looks to attack the United States.

"Terrorists should be on notice that they will find no sanctuary, no refuge, not in Algeria, not in North Africa, not anywhere," Panetta said Friday.

Workers kidnapped by the militants came from around the world — Americans, Britons, French, Norwegians, Romanians, Malaysians, Japanese, Algerians.

World leaders have expressed strong concerns in the past few days about how Algeria was handing the situation and its apparent reluctance to communicate.

Terrorized hostages from Ireland and Norway trickled out of the plant. BP, which jointly operates the plant, said it had begun to evacuate employees from Algeria.

A U.S. military C-130 transport plane flew a number of people including former Ain Amenas hostages from the Algerian capital of Algiers to a U.S. facility in Europe, a U.S. official said. He declined to be specific about the destination, their nationalities or the extent of the wounds that he said some had.

A flood of foreign energy workers were being evacuated from the North African nation amid security concerns.

BP evacuated one U.S. citizen along with other foreign energy workers from Algeria to Mallorca and then London. The oil giant said three flights left Algeria on Thursday, carrying 11 BP employees and several hundred energy workers from other companies.

A fourth plane was taking more people out of the country on Friday, BP said.

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One American Confirmed Dead in Algeria

U.S. officials told ABC News that at least one American has been killed in the hostage standoff at an Algerian gas plant, and the family of the deceased American has been notified.

An al Qaeda-linked group called the Masked Brigade and led by the one-eyed jihadi Mokhtar Belmokhtar raided the BP joint venture facility in In Amenas on Wednesday, taking an undetermined number of hostages from more than half a dozen nations, including at least two Americans.

On Friday, the group demanded the release of two convicted terrorists held in U.S. prisons, including the "blind sheikh" who helped plan the first attack on New York's World Trade Center, in exchange for the freedom of two American hostages, according to an African news service.

The terror group reportedly contacted a Mauritanian news service with the offer. In addition to the release of Omar Abdel-Rahman, who planned the 1993 World Trade Center bombing, they demanded the release of Aifia Siddiqui, a Pakistani scientist who shot at two U.S. soldiers in Afghanistan in 2008.

Asked about the unconfirmed report of a proposed swap, State Department spokeswoman Victoria Nuland said firmly, "The United States does not negotiate with terrorists." She repeated the statement again when questioned further. She also said she was not prepared to get into any details about the status of Americans in "an ongoing hostage situation."

At least three Americans were being held hostage by the militants when the Algerian military mounted a rescue operation at the facility Thursday that reportedly resulted in casualties.

Five other Americans who were at the facility when it was attacked by the terrorists are now safe and believed to have left the country, according to U.S. officials.

Algeria Hostage Situation: Military Operation Mounted Watch Video

Reports that dozens of hostages were killed during the Algerian military's attempt to retake the compound have not been confirmed, though Algeria's information minister has confirmed that there were casualties. It's known by U.S. and foreign officials that multiple British, Japanese and Norwegian hostages were killed.

According to an unconfirmed report by an African news outlet, the militants said seven hostages survived the attack, including two Americans, one Briton, three Belgians and a Japanese national. U.S. officials monitoring the case had no information indicating any Americans have been injured or killed, but said the situation is fluid and casualties cannot be ruled out.

On Friday, a U.S. military plane evacuated between 10 and 20 people in need of medical attention, none of them American, from In Amenas and took them to an American medical facility in Europe. A second U.S. plane is preparing to evacuate additional passengers in need of medical attention.

British Prime Minister David Cameron told parliament today that the terror attack "appears to have been a large, well coordinated and heavily armed assault and it is probable that it had been pre-planned."

"The terrorist group is believed to have been operating under Mokhtar Belmokhtar, a criminal terrorist and smuggler who has been operating in Mali and in the region for a number of years," said Cameron.

Cameron said Algerian security forces are still in action at the facility. On Thursday, he said that the situation was "very bad … A number of British citizens have been taken hostage. Already, we know of one who has died. ... I think we should be prepared for the possibility for further bad news, very difficult news in this extremely difficult situation."

The kidnappers had earlier released a statement saying there are "more than 40 crusaders" held "including 7 Americans."

U.S. officials had previously confirmed to ABC News that there were at least three Americans held hostage at the natural gas facility jointly owned by BP, the Algerian national oil company and a Norwegian firm at In Amenas, Algeria.

"I want to assure the American people that the United States will take all necessary and proper steps that are required to deal with this situation," said Panetta. "I don't think there's any question that [this was] a terrorist act and that the terrorists have affiliation with al Qaeda."

He said the precise motivation of the kidnappers was unknown.

"They are terrorists, and they will do terrorist acts," he said.

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Did Scientology ad cross line?

The Church of Scientology is also at fault for thinking the advertorial would survive The Atlantic readers' scrutiny, Ian Schafer says.

STORY HIGHLIGHTS

• The Atlantic published and pulled a sponsored Scientology "story"


• Ian Schafer: On several levels, the ad was a mistake


• He says the content was heavy-handed and comments were being moderated


• Schafer: Experimenting to raise revenue makes sense, but standards should be clear

Editor's note: Ian Schafer is the founder and CEO of a digital advertising agency, Deep Focus, and the alter ego of @invisibleobama. You can read his rants on his blog at ianschafer.com.

(CNN) -- "The Atlantic is America's leading destination for brave thinking and bold ideas that matter. The Atlantic engages its print, online, and live audiences with breakthrough insights into the worlds of politics, business, the arts, and culture. With exceptional talent deployed against the world's most important and intriguing topics, The Atlantic is the source of opinion, commentary, and analysis for America's most influential individuals who wish to be challenged, informed, and entertained." -- The Atlantic 2013 media kit for advertisers

On Monday, The Atlantic published -- and then pulled -- a story titled "David Miscavige Leads Scientology to Milestone Year." This "story" went on to feature the growth of Scientology in 2012.

Ian Schafer

Any regular reader of The Atlantic's content would immediately do a double-take upon seeing that kind of headline, much less the heavy-handed text below it, shamelessly plugging how well Scientology's "ecclesiastical leader" Miscavige has done in "leading a renaissance for the religion."

This "story" is one of several "advertorials" (a portmanteau of "advertising" and "editorials") that The Atlantic has published online, clearly designated as "Sponsor Content." In other words, "stories" like these aren't real stories. They are ads with a lot of words, which advertisers have paid publications to run on their behalf for decades. You may have seen them in magazines and newspapers as "special advertising sections."

The hope is that because you are already reading the publication, hey, maybe you'll read what the advertiser has to say, too -- instead of the "traditional" ad that they may have otherwise placed on the page that you probably won't remember, or worse, will ignore.

There's nothing wrong with this tactic, ethically, when clearly labeled as "sponsored" or "advertising." But many took umbrage with The Atlantic in this particular case; so many, that The Atlantic responded by pulling the story from its site -- which was the right thing to do -- and by apologizing.

At face value, The Atlantic did the right thing for its business model, which depends upon advertising sales. It sold what they call a "native" ad to a paying advertiser, clearly labeled it as such, without the intention of misleading readers into thinking this was a piece of journalism.

But it still failed on several levels.

The Atlantic defines its readers as "America's most influential individuals who wish to be challenged, informed, and entertained." By that very definition, it is selling "advertorials" to people who are the least likely to take them seriously, especially when heavy-handed. There is a fine line between advertorial and outright advertising copywriting, and this piece crossed it. The Church of Scientology is just as much at fault for thinking this piece would survive The Atlantic readers' intellectual scrutiny. But this isn't even the real issue.

Bad advertising is all around us. And readers' intellectual scrutiny would surely have let the advertorial piece slide without complaints (though snark would be inevitable), as they have in the past, or yes, even possibly ignored it. But here's where The Atlantic crossed another line -- it seemed clear it was moderating the comments beneath the advertorial.

As The Washington Post reported, The Atlantic marketing team was carefully pruning the comments, ensuring that they were predominantly positive, even though many readers were leaving negative comments. So while The Atlantic was publishing clearly labeled advertiser-written content, it was also un-publishing content created by its readers -- the very folks it exists to serve.

It's understandable that The Atlantic would inevitably touch a third rail with any "new" ad format. But what it calls "native advertising" is actually "advertorial." It's not new at all. Touching the third rail in this case is unacceptable.

So what should The Atlantic have done in this situation before it became a situation? For starters, it should have worked more closely with the Church of Scientology to help create a piece of content that wasn't so clearly written as an ad. If the Church of Scientology was not willing to compromise its advertising to be better content, then The Atlantic should not have accepted the advertising. But this is a quality-control issue.

The real failure here was that comments should never have been enabled beneath this sponsored content unless the advertiser was prepared to let them be there, regardless of sentiment.

It's not like Scientology has avoided controversy in the past. The sheer, obvious reason for this advertorial in the first place was to dispel beliefs that Scientology wasn't a recognized religion (hence "ecclesiastical").

Whether The Atlantic felt it was acting in its advertiser's best interest, or the advertiser specifically asked for this to happen, letting it happen at all was a huge mistake, and a betrayal of an implicit contract that should exist between a publication of The Atlantic's stature and its readership.

No matter how laughably "sales-y" a piece of sponsored content might be, the censoring of readership should be the true "third rail," never to be touched.

Going forward, The Atlantic (and any other publication that chooses to run sponsored content) should adopt and clearly communicate an explicit ethics statement regarding advertorials and their corresponding comments. This statement should guide the decisions it makes when working with advertisers, and serve as a filter for the sponsored content it chooses to publish, and what it recommends advertisers submit. It should also prevent readers from being silenced if given a platform at all.

As an advertising professional, I sincerely hope this doesn't spook The Atlantic or any other publication from experimenting with ways to make money. But as a reader, I hope it leads to better ads that reward me for paying attention, rather than muzzle my voice should I choose to interact with the content.

After all, what more could a publication or advertiser ask for than for content to be so interesting that someone actually would want to comment on (or better, share) it?

(Correction: An earlier version of this article incorrectly said native advertising accounts for 59% of the Atlantic's ad revenue. Digital advertising, of which native advertising is a part, accounts for 59% of The Atlantic's overall revenue, according to the company.)

Follow @CNNOpinion on Twitter.

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The opinions expressed in this commentary are solely those of Ian Schafer.

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Euro gains despite US economic data; yen loses

NEW YORK: The US dollar slipped against the euro Thursday despite encouraging US data on housing and jobs, while the yen slumped to new multi-year lows on speculation of new easing.

The euro benefited from more positive remarks from regional leaders and solid results of a Spanish bond auction, analysts said.

"The Euro rallied to 1.3376 as the European Central Bank and European Union President Herman Van Rompuy stirred hopes of seeing the euro-area return to growth in 2013, but optimism surrounding the single currency may fail to materialize as the debt crisis continues to drag on the real economy," said David Song of DailyFX.

Also helping was strong investor enthusiasm at a US$4.5 billion Spanish bond auction, pushing the troubled government's borrowing costs lower.

At 2200 GMT the euro was at US$1.3375, compared to US$1.3286 late Wednesday.

The US dollar failed to get a boost from a strong fall in weekly jobless claims, a sign of the pace of layoffs, and a rebound in housing starts in December, showing sustained strength in the housing sector.

The yen meanwhile fell to a fresh 30 month low. The dollar topped the 90 yen level briefly before slipping back to 89.86 yen, compared to 88.37 a day earlier.

The euro rose to 120.20 yen, its best level since April 2011, up from 117.42 Wednesday.

David Gilmore of Foreign Exchange Analytics, said speculation was rising that the Bank of Japan could add to stimulus measures in its next policy meeting on January 21-22.

The British pound fell to US$1.5992 from US$1.6006, while the US dollar gained to 0.9322 Swiss francs from 0.9309 francs.

- AFP/jc

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His 2nd term, America's 2nd chance?

STORY HIGHLIGHTS

• Reeling from the turmoil of the last four years, the country may be ready to regroup


• President Obama, adopting a more assertive posture, will need to still persuade a divided country to get things done


• The economy is improving, the nation's demographics are shifting and a new America is emerging

Washington (CNN) -- On the eve of the inauguration, President Barack Obama's second term may also be America's second chance.

The country, in the last four years, has been battered by an economic earthquake while trying to reconcile a debt load threatening to cripple the next generation.

It has been pulled apart by political extremism and the inability to compromise in Washington. The people have been divided -- by demographic shifts, cultural battles and clashes between the rich and the poor, the haves and the have-nots.

So, days before the president's second inaugural, the nation, too, is set to regroup. What it does differently this time around and the decisions the people make, experts say, will speak to the kind of America that emerges during the next four years.

"The enormous promise that everyone felt four years ago, it isn't completely gone but we have diminished our horizons," said Robert Schmuhl, an American studies professor at the University of Notre Dame. "We have learned that we are now living in an era of limits." Obama is perhaps more keenly aware of this than most.

Hope and hurdles

The 44th President was ushered into the Oval Office by a wave of seemingly limitless optimism and buoyed by the historic nature of his presidency as the first African American elected to the lead the free world.

But once in office, he found his efforts to right an economy hobbled by high unemployment -- 10% at its worse in 2009 -- and home foreclosure rates -- one in 29 homes were in foreclosure between 2007 and 2012 -- were limited by the magnitude of the problem and the political realities of a partisan Congress.

His plan to reform the nation's healthcare system further expanded political divides in Washington and helped lead to huge losses among his party's moderates in the 2010 election.

His re-election this fall — due in no small part to demographic shifts that included large numbers of minorities and women — was quickly followed by a protracted and deeply partisan showdown over trimming the nation's debt.

"I think Obama has learned some things," said Curtis Gans, director of American University's Center for the Study of the American Electorate. "He's going to be unlike most second term presidents in that he will be far more assertive than he was in his first term. He will be stronger on pushback against some of the most extreme elements in the Republican House. He's willing to go to battle on the whole concept of getting the economy moving."

The public saw hints of that assertiveness on Monday during a surprise news conference, where he lashed out at Republicans in Congress for playing politics with the debt ceiling.

"We are not a deadbeat nation," Obama said during a nearly hour-long briefing from the East Room of the White House. It a newly combative tone, he called it "absurd" for the federal government not to pay "bills that have already been racked up" and said he will not negotiate "with a gun at the head of the American people."

From Obamacare to the economy to Sandy Hook

Over the next four years, the country will also get a chance to see whether the Affordable Care Act -- or "Obamacare" -- is a positive or negative step for the nation. In 2014, many of the most controversial provisions, including requiring individuals to either participate in a health insurance program or pay a penalty, take effect.

"We will see whether or not we have the strength within ourselves to figure out how we should deal with entitlement programs," Schmuhl said. "In a way, it's a period when the administration will be dealing with problems that are in process."

Obama's ability -- or failure -- to navigate all of this while coming off as a strong, levelheaded leader could help set the nation's tone for years to come.

"If the economy becomes more robust you will have no doubt he will point back and say see that's what I was doing," said Julian Zelizer, a professor of history and public affairs at Princeton University and CNN contributor.

Reagan, Clinton faced similar issues

It's what happened when former President Ronald Reagan, who led the nation at a time when the country was reeling from a tough economy and just starting to get over the Vietnam War. In his second term "there was a sense America was moving in the right direction in terms of how it was doing around the globe," Zelizer said.

When former President Bill Clinton took office the economy wasn't doing well, but by the second term the economy was picking up, allowing him to deliver a balanced budget and ultimate surplus by the end of his presidency.

"There was clearly a shift in the mood," Zelizer said. "In both cases, the presidents were good at claiming credit for it."

Mood matters in the age of austerity

Everyday folks have learned to cut back and suck it up—some after finding themselves underwater on mortgages they could not afford to pay; others after losing jobs that their companies could no longer afford to keep.

So, Americans have been using their credit cards less and paying down debt more -- household debt as a percentage of disposable personal income is at its lowest rate in almost 30 years, according to the Federal Reserve and credit card balances had reached their lowest level in more than a decade.

And many expect the same discipline from their government.

"Americans will be realistic, just as those in government need to be realistic," Schmuhl said of citizens' likely approach to their own finances over the next four years.

But, as Obama enters his second term, both the housing and job markets have been on a slow and steady uptick. Housing sales were up 6% in 2012 -- the biggest gain since 2005, according to CoreLogic -- and the unemployment rate had dropped to 7.8% in December, although there are still 4.8 million Americans -- or 39.1% of the jobless -- classified as long-term unemployed, according to the Bureau of Labor Statistics.

"Going into the second term, the fiscal situation will continue the agenda and the discussion," he said. "It will say a lot about us and where not only the government but the nation might be going. If it is difficult and, shall we say, fractured and there's a sense coming out of it that things are not working as they should my guess is that the public will begin saying: 'When will Washington work on our behalf?'"

Governing on a deadline

That sentiment was foreshadowed in the frustration over the down-to-the-wire, partisan political maneuvering as the last Congress sought to avert the fiscal cliff's steepest domestic spending cuts.

Obama appeared to prevail on that skirmish, delivering on a promise to raise tax rates on wealthy Americans -- although he shifted his definition of "wealthy" from those making $250,000 or more to those making $400,000 and up.

According to Pew Research Center and Gallup polls, Americans were none too impressed with how lawmakers handled the negotiations or the deal that was struck.

Some 41% of those polled disapproved of the deal, according to Pew, and 52% thought the deal would hurt people like them. In the Gallup poll, 67% - disapproved of congressional Republicans' handled the negotiations while 55% disapproved of how Democrats performed.

Still, partly due to deliberate redistricting to protect -- or create -- more partisan congressional districts, American voters continued to elect or re-elect safe representatives to do their bidding in Congress. For instance, most of the 435 members of the House of Representatives -- Republicans and Democrats -- faced little real opposition on Election Day in 2012.

Other battlegrounds: Sequester, gun control, immigration

But the next battle looms. Just weeks after Obama takes his oath of office, a new Congress will be tasked with addressing the automatic spending cuts, or sequester, that were kicked down the road in order to pass a smaller deal at the end of the year.

The new Congress will also consider raising the nation's debt ceiling, or the ability of the U.S. Treasury to borrow money to pay America's bills. Most agree that defaulting on the nation's obligations would be disastrous for America and the global economy, but some Republicans in Congress are starting to hint that they may be prepared to let that happen anyway if large spending cuts are not secured.

And after that, the fight over gun control, a high priority for the White House in the aftermath of the Connecticut school massacre, will pit the president against many members of the House and Senate from safe districts with high ratings and big-dollar donations from gun rights advocates.

The president and vice president unveiled a major plan on Wednesday that included 23 executive actions the president has ordered on his own, while urging the new Congress to take on the meaty issues of an assault weapons ban, limits on the number of bullets a gun magazine can hold, and other sweeping reforms the gun lobby and others say would gut the constitutional right to bear arms.

Immigration reform, another White House priority, will also stoke ideological differences and test the demographic shifts in Congress. For the first time, the House Democratic caucus is dominated by women and racial minorities, while the Republican caucus in that chamber is largely composed of white men. In the Senate, 20 women — the largest number in history — currently hold office.

But women and minorities are far outnumbered and outranked by white males on some of the most powerful congressional committees. And despite several high-ranking exceptions, Obama's Cabinet -- so far -- is shaping up to be largely male and white.

"The first thing we learned is that we're not post-race. That was a lot of willful imagining in '08 that his election would allow us to transcend these questions of race," said Mark Anthony Neal, a cultural and Black studies professor at Duke University. "The American electorate is looking different in terms of race and ethnicity and young folks being engaged. In 2016 our political realities will look more like our demographic realities."

And that's where the nation's shift over the next four years may be most visible.

But look first to the 2014 midterms and then the 2016 presidential election to see if the people signal continued frustration with the current regime -- in Congress and in the White House -- or demonstrate through the power of their vote that they feel the nation has finally turned the corner.

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Manti Te'o kept girlfriend myth alive after revelation

SOUTH BEND, Ind. Not once but twice after he supposedly discovered his online girlfriend of three years never even existed, Notre Dame All-American linebacker Manti Te'o perpetuated the heartbreaking story about her death.

13 Photos

Manti Te'o

An Associated Press review of news coverage found that the Heisman Trophy runner-up talked about his doomed love in a Web interview on Dec. 8 and again in a newspaper interview published Dec. 11. He and the university said Wednesday that he learned on Dec. 6 that it was all a hoax, that not only wasn't she dead, she wasn't real.

On Thursday, a day after Te'o's inspiring, playing-through-heartache story was exposed as a bizarre lie, Te'o and Notre Dame faced questions from sports writers and fans about whether he really was duped, as he claimed, or whether he and the university were complicit in the hoax and misled the public, perhaps to improve his chances of winning the Heisman.

Yahoo sports columnist Dan Wetzel said the case has "left everyone wondering whether this was really the case of a naJive football player done wrong by friends or a fabrication that has yet to play to its conclusion."

Gregg Doyel, national columnist for CBSSports.com, was more direct.

"Nothing about this story has been comprehensible, or logical, and that extends to what happens next," he wrote. "I cannot comprehend Manti Te'o saying anything that could make me believe he was a victim."

On Wednesday, Te'o and Notre Dame athletic director Jack Swarbrick said the player was drawn into a virtual romance with a woman who used the phony name Lennay Kekua, and was fooled into believing she died of leukemia in September. They said his only contact with the woman was via the Internet and telephone.

Te'o also lost his grandmother — for real — the same day his girlfriend supposedly died, and his role in leading Notre Dame to its best season in decades endeared him to fans and put him at the center of college football's biggest feel-good story of the year.

Relying on information provided by Te'o's family members, the South Bend Tribune reported in October that Te'o and Kekua first met, in person, in 2009, and that the two had also gotten together in Hawaii, where Te'o grew up.

Te'o never mentioned a face-to-face meeting with Kekua in public comments reviewed by the AP. And an AP review of media reports about Te'o since Sept. 13 turned up no instance in which he directly confirmed or denied those stories — until Wednesday.

Among the outstanding questions Thursday: Why didn't Te'o ever clarify the nature of his relationship as the story took on a life of its own?

Te'o's agent, Tom Condon, said the athlete had no plans to make any public statements Thursday in Bradenton, Fla., where he has been training with other NFL hopefuls at the IMG Academy.

Notre Dame said Te'o found out that Kekau was not a real person through a phone call he received at an awards ceremony in Orlando, Fla., on Dec. 6. He told Notre Dame coaches about the situation on Dec. 26.

Play Video

Manti Te'o's girlfriend hoax: How did it happen?

The AP's media review turned up two instances during that gap when the football star mentioned Kekua in public.

Te'o was in New York for the Heisman presentation on Dec. 8 and, during an interview before the ceremony that ran on the WSBT.com, the website for a South Bend TV station, Te'o said: "I mean, I don't like cancer at all. I lost both my grandparents and my girlfriend to cancer. So I've really tried to go to children's hospitals and see, you know, children."

In a story that ran in the Daily Press of Newport News, Va., on Dec. 11, Te'o recounted why he played a few days after he found out Kekau died in September, and the day she was supposedly buried.

"She made me promise, when it happened, that I would stay and play," he said.

On Wednesday, Swarbrick said Notre Dame did not go public with its findings sooner because it expected the Te'o family to come forward first. But Deadspin.com broke the story Wednesday.

Reporters were turned away Thursday at the main gate of IMG's sprawling, secure complex. Te'o remained on the grounds, said a person familiar with situation who spoke on condition of anonymity because neither Te'o nor IMG authorized the release of the information.

"This whole thing is so nutsy that I believe it only could have happened at Notre Dame, where mythology trumps common sense on a daily basis. ... Given the choice between reality and fiction, Notre Dame always will choose fiction," sports writer Rick Telander said in the Chicago Sun-Times.

"Which brings me to what I believe is the real reason Te'o and apparently his father, at least went along with this scheme: the Heisman Trophy.

Chicago Tribune columnist John Kass blasted both Te'o and Notre Dame.

"When your girlfriend dying of leukemia after suffering a car crash tells you she loves you, even if it might help you win the Heisman Trophy, you check it out," he said.

He said the university's failure to call a news conference and go public sooner means "Notre Dame is complicit in the lie."

"The school fell in love with the Te'o girlfriend myth," he wrote.

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Officials: 5 Americans Escaped from Algeria Terrorists

Five Americans who were at an Algerian natural gas facility when it was raided by al Qaeda linked terrorists are now safe and believed to have left the country, according to U.S. officials. At least three Americans, however, were being held hostage by the militants when the Algerian military mounted an rescue operation earlier today that reportedly resulted in casualties.

Reports that as many as 35 hostages and 15 Islamist militants at a BP joint venture facility in In Amenas have been killed during a helicopter raid have not been confirmed, though Algeria's information minister has confirmed that there were casualties. According to an unconfirmed report by an African news outlet, the militants say seven hostages survived the attack, including two Americans, one Briton, three Belgians and a Japanese national.

British Prime Minister David Cameron said that Algerian forces had attacked the compound, and that the situation "was ongoing."

"We face a very bad situation at this GP gas compound in Algeria," said Cameron. "A number of British citizens have been taken hostage. Already we know of one who has died. ... I think we should be prepared for the possibility for further bad news, very difficult news in this extremely difficult situation."

An unarmed U.S. Predator drone is now above In Amenas and is conducting surveillance. A U.S. official says the U.S. was not informed in advance by the Algerians of the raid they launched today.

In a statement, BP, a joint owner of the facility, said it had been told by both the British and Algerian governments that "the Algerian Army is attempting to take control of the In Amenas site."

"Sadly, there have been some reports of casualties but we are still lacking any confirmed or reliable information," said the statement. "There are also reports of hostages being released or escaping."

Algerian troops had surrounded the compound in the Sahara desert, where hostages from the U.S., Algeria, Norway, Japan, France and other countries are being held by terrorists who claim to be part of Al Qaeda and are led by a one-eyed smuggler known as Mr. Marlboro.

SITE Intel Group/AP Photo

Leon Panetta on Americans Held Hostage in Algeria Watch Video

Defense Secretary Leon Panetta told ABC News that as many as 100 hostages are being held, and that there may be seven or eight Americans among them. "Right now, we just really don't know how many are being held," said Panetta, who said information about the situation, including the total number of hostages and where they are being held, is "pretty sketchy." The kidnappers have released a statement saying there are "more than 40 crusaders" held "including 7 Americans."

U.S. officials had previously confirmed to ABC News that there were at least three Americans held hostage at the natural gas facility jointly owned by BP, the Algerian national oil company and a Norwegian firm at In Amenas, Algeria.

"I want to assure the American people that the United States will take all necessary and proper steps that are required to deal with this situation," said Panetta. "I don't think there's any question that [this was]a terrorist act and that the terrorists have affiliation with al Qaeda." He said the precise motivation of the kidnappers was unknown. "They are terrorists, and they will do terrorist acts."

The terror strike came without warning Wednesday morning when an estimated 20 gunmen first attacked a bus carrying workers escorted by two cars carrying security teams.

At least one worker was killed. The terrorists moved on to the residential compound where they are now holed up with the American and other western hostages, including Norwegian, French, British, and Japanese nationals.

There is growing concern this morning about the fate of the hostages, and intelligence officials say the situation is tense. Without the element of surprise, they say, a raid to free them will be very dangerous.
"They are expecting an attack and therefore, it's going to be very, very difficult for Algerian special forces to sneak in without being seen," said Richard Clarke, a former White House counter terrorism advisor and now an ABC News consultant.

Mr. Marlboro: Kidnapper, Smuggler

Intelligence officials believe the attack was masterminded by Mokhtar Belmokhtar, a rogue al Qaeda leader who also runs an African organized crime network that reportedly has made tens of millions of dollars in ransom from kidnappings and smuggling. He is known as Mr. Marlboro because of his success smuggling diamonds, drugs and cigarettes. Officials think it unlikely that Belmohktar would actually be in the middle of the hostage situation, but would be calling the shots from his base in Mali more than 1,000 miles away.

Belmokhtar fought in Afghanistan alongside the mujahideen against the Soviets in the 1990s, and lost an eye. He was formerly associated with al Qaeda's North African affiliate, al Qaeda in the Islamic Maghreb (AQIM), and was said to be a liaison with al Qaeda's international leadership. Belmokhtar split with AQIM late last year over what other Islamist militants considered his preference for lucre over jihad. He remains affiliated with al Qaeda, however, heading a breakaway group that calls itself the "Signers with Blood Brigade" or the "Veiled Brigade."

According to a Canadian diplomat who was held hostage by Belmokhtar, Mr. Marlboro is "very, very cold, very businesslike."

Robert Fowler was a UN diplomat in Africa when he was kidnapped and held hostage by Belmokhtar for four months in 2009.

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Gruesome toll of cluster bombs in Syria

STORY HIGHLIGHTS

• Human Rights Watch says cluster bombs were used on Syrian town of Latamneh


• Cluster bombs release dozens of smaller bombs, which can maim or kill long after impact


• Syrian regime has previously denied cluster bombs on civilians

Editor's note: Mary Wareham is the Arms Division's Advocacy Director for Human Rights Watch and chief editor of 'Cluster Munition Monitor 2012.'

(CNN) -- It was cloudy the afternoon of January 3 when residents say the cluster bombs fell on the Syrian town of Latamneh.

Three rockets containing the cluster munitions fell in nearby fields, apparently doing no harm, but a fourth landed on the street between residential buildings. Its impact was devastating.

One man was driving down the street when submunitions from the rockets exploded, killing him instantly, residents said. Fifteen civilians walking down the street or in their homes were wounded, including women and children, according to two residents and video evidence. Residents said that an hour after the attack, a submunition that had failed to detonate on impact killed a man who tried to remove it from his yard. It exploded in his hands.

Mary Wareham

Since mid-2012, Human Rights Watch and others have reported several times on civilian casualties caused by Syrian use of air-dropped cluster bombs, but Latamneh and other recent attacks are the first known instances of Syrian use of ground-based cluster munitions. The rockets were apparently launched from the vicinity of nearby Hama airport, which is under government control.

Evidence we have seen suggests that Syrian government forces delivered the 122mm cluster munition rockets containing submunitions using a BM-21 Grad multi-barrel rocket launcher, a truck-mounted system capable of firing 40 rockets nearly simultaneously with a range of 4 to 40 kilometers (2.5 to 25 miles). Grad rocket launchers are notorious for their inability to be accurately targeted due to their lack of a guidance system. This exacerbates the danger from the wide-area effect of the submunitions the rockets contain.

More: Syrian regime denies use of cluster bombs

Many countries, including Lebanon and Cambodia, have experienced civilian casualties from similar types of submunitions, both at the time of attack and from submunitions that didn't explode on initial impact. Each submunition is the size of a D-cell battery with a distinctive white ribbon, and the design of their fuze system makes each one very sensitive and liable to detonate if disturbed.

After years of civilian harm caused by cluster munitions, Israel's massive use of the weapons in southern Lebanon in 2006 helped propel governments into action. Working with civil society groups such as Human Rights Watch and international organizations, a broad-based coalition of like-minded governments sought to do something to reduce the unacceptable harm caused by cluster munitions.

The resulting Convention on Cluster Munitions, adopted May 30, 2008, comprehensively prohibits cluster munitions and requires their clearance and assistance to victims. A total of 111 nations, including many former users, producers, and stockpilers of the weapon, as well as countries contaminated by cluster munition remnants, have embraced the ban convention.

Yet there has been limited interest in the Middle East and North Africa regions, where just three countries—Iraq, Lebanon, and Tunisia—are onboard the treaty banning cluster bombs. Some nations, such as Jordan, say they need more time to study the convention's provisions, while others including Egypt, Iran, and Israel have produced, imported, exported, and stockpiled cluster munitions.

The 122mm cluster munition rockets used by Syria bear the markings of the Egyptian state-owned Arab Organization for Industrialization and an Egyptian company called Sakr Factory for Development Industries. Syria could have bought these cluster munitions from Egypt, received them through military cooperation, or acquired them another way. With no transparency, it is impossible to say how or when they were made or transferred, though it is likely Syria acquired them long ago.

Syria's relentless use of cluster munitions, including in populated areas, is yet another sign of its blatant disregard for international law and the protection of its own civilians. Syria's use of cluster munitions runs counter to the new international standard being created by the Convention on Cluster Munitions, rejecting any use of the weapons.

The preventive impact of the convention and the standard it is establishing can already be seen as countries that have joined the ban rapidly destroy their stockpiles of cluster munitions.

In Syria, every time the government has used cluster munitions and other explosive weapons, a lethal legacy of unexploded ordnance is created. Given the terrible humanitarian impact, all governments, regardless of their position on joining the ban convention, should press Syria to stop using cluster munitions.

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FAA grounds 787 Dreamliner in US

WASHINGTON: The Federal Aviation Administration grounded all US-registered Boeing 787 Dreamliner aircraft Wednesday to address a possible battery fire risk.

"As a result of an in-flight, Boeing 787 battery incident earlier today in Japan, the FAA will issue an emergency airworthiness directive (AD) to address a potential battery fire risk in the 787 and require operators to temporarily cease operations," the regulator said in a statement.

"Before further flight, operators of US-registered, Boeing 787 aircraft must demonstrate to the Federal Aviation Administration that the batteries are safe," it said.

The FAA said it would work with Boeing and carriers to develop a corrective action plan "to allow the US 787 fleet to resume operations as quickly and safely as possible."

United Airlines, the world's biggest airline, is currently the only US airline operating the 787, with six airplanes in service.

The warning was prompted by a battery incident during an All Nippon Airways flight that resulted in an emergency landing in Japan Wednesday, following a January 7 battery incident on an ANA 787 that occurred on the ground in Boston.

"The AD is prompted by this second incident involving a lithium ion battery. The battery failures resulted in release of flammable electrolytes, heat damage, and smoke on two Model 787 airplanes," the FAA said.

"The root cause of these failures is currently under investigation. These conditions, if not corrected, could result in damage to critical systems and structures, and the potential for fire in the electrical compartment."

The FAA said that it also is alerting the international aviation community to the action so other civil aviation authorities "can take parallel action to cover the fleets operating in their own countries."

- AFP/jc

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U.S. regulators ground Dreamliners over fire risk

By CNN Staff

updated 6:24 PM EST, Wed January 16, 2013

Washington (CNN) -- U.S. regulators Wednesday ordered airlines to stop flying their Boeing Dreamliner jets until they can show they've fixed a fire risk linked to battery failures aboard the jets.

The move by the Federal Aviation Administration follows an emergency landing in Japan that prompted that country's two major airlines to ground their fleets of 787s, and a similar problem aboard a Dreamliner on the ground in Boston nine days earlier.

"The battery failures resulted in release of flammable electrolytes, heat damage, and smoke on two Model 787 airplanes," the FAA announced Wednesday evening. "The root cause of these failures is currently under investigation. These conditions, if not corrected, could result in damage to critical systems and structures, and the potential for fire in the electrical compartment."

CNN's Aaron Cooper contributed to this report.

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