CNN 2009-05-29

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Hello everyone, I'm Catherine Callaway at the CNN Center in Atlanta with a look at what's happening NOW IN THE NEWS.

US and South Korean troops are all on the highest alert in three years because of North Korea. That means reconnaissance operations are increasing over North Korea and more troops are being deployed¹ to heavily fortified² border areas. Tensions are soaring after North Korea's nuclear and missile test this week. US Secretary of State Hillary Clinton is slamming North Korea's actions.

It has ignored the international community. It has abrogated³ the obligations it entered into through the Six-Party Talks and it continues to act in a provocative⁴ and belligerent⁵ manner toward its neighbors. There are consequences to such actions.

And from hope to dire⁶ straits, General Motors now is all but certain to file for Chapter 11 bankruptcy⁷ Monday. GM's bondholders rejected a swap⁸ of 10% of the company's stock for 27 billion dollars in unsecured debt. And that's likely the final nail in the coffin⁹. Meanwhile, Chrysler will continue to make its case to a bankruptcy judge that a merger¹⁰ with Italy's Fiat¹¹ is the best way to avoid all-out liquidation¹².

At least three people were killed and 40 others injured when an earthquake struck Honduras. Honduran officials say two of the victims died when a wall collapsed¹³ on top of them. The magnitude 7.1 hit about 27 miles from one of the country's bay islands that is a very popular destination for tourists to scuba¹⁴ dive and snorkel¹⁵. A tsunami¹⁶ watch was issued for Honduras and two other Central American countries but that has / been canceled.

An Iranian news agency reports that at least 20 people were killed and 55 others wounded after an explosion struck a mosque¹⁷ in southeastern Iran. The blast took place in a Mosque near Iran's borders with Pakistan and Afghanistan. Now the news agency attributed the explosion to a terrorist incident but said that no claim of responsibility was ever received. And those are the headlines for you this hour. Stay with CNN for more on these stories.