Tag Archives: SE

Exclusive: Brands blast Twitter for ads next to child pornography accounts

Sept 28 (Reuters) – Some major advertisers including Dyson, Mazda, Forbes and PBS Kids have suspended their marketing campaigns or removed their ads from parts of Twitter because their promotions appeared alongside tweets soliciting child pornography, the companies told Reuters.

DIRECTV and Thoughtworks also told Reuters late on Wednesday they have paused their advertising on Twitter.

Brands ranging from Walt Disney Co (DIS.N), NBCUniversal (CMCSA.O) and Coca-Cola Co (KO.N) to a children’s hospital were among more than 30 advertisers that appeared on the profile pages of Twitter accounts peddling links to the exploitative material, according to a Reuters review of accounts identified in new research about child sex abuse online from cybersecurity group Ghost Data.

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Some of tweets include key words related to “rape” and “teens,” and appeared alongside promoted tweets from corporate advertisers, the Reuters review found. In one example, a promoted tweet for shoe and accessories brand Cole Haan appeared next to a tweet in which a user said they were “trading teen/child” content.

“We’re horrified,” David Maddocks, brand president at Cole Haan, told Reuters after being notified that the company’s ads appeared alongside such tweets. “Either Twitter is going to fix this, or we’ll fix it by any means we can, which includes not buying Twitter ads.”

In another example, a user tweeted searching for content of “Yung girls ONLY, NO Boys,” which was immediately followed by a promoted tweet for Texas-based Scottish Rite Children’s Hospital. Scottish Rite did not return multiple requests for comment.

In a statement, Twitter spokesperson Celeste Carswell said the company “has zero tolerance for child sexual exploitation” and is investing more resources dedicated to child safety, including hiring for new positions to write policy and implement solutions.

She added that Twitter is working closely with its advertising clients and partners to investigate and take steps to prevent the situation from happening again.

Twitter’s challenges in identifying child abuse content were first reported in an investigation by tech news site The Verge in late August. The emerging pushback from advertisers that are critical to Twitter’s revenue stream is reported here by Reuters for the first time.

Like all social media platforms, Twitter bans depictions of child sexual exploitation, which are illegal in most countries. But it permits adult content generally and is home to a thriving exchange of pornographic imagery, which comprises about 13% of all content on Twitter, according to an internal company document seen by Reuters.

Twitter declined to comment on the volume of adult content on the platform.

Ghost Data identified the more than 500 accounts that openly shared or requested child sexual abuse material over a 20-day period this month. Twitter failed to remove more than 70% of the accounts during the study period, according to the group, which shared the findings exclusively with Reuters.

Reuters could not independently confirm the accuracy of Ghost Data’s finding in full, but reviewed dozens of accounts that remained online and were soliciting materials for “13+” and “young looking nudes.”

After Reuters shared a sample of 20 accounts with Twitter last Thursday, the company removed about 300 additional accounts from the network, but more than 100 others still remained on the site the following day, according to Ghost Data and a Reuters review.

Reuters then on Monday shared the full list of more than 500 accounts after it was furnished by Ghost Data, which Twitter reviewed and permanently suspended for violating its rules, said Twitter’s Carswell on Tuesday.

In an email to advertisers on Wednesday morning, ahead of the publication of this story, Twitter said it “discovered that ads were running within Profiles that were involved with publicly selling or soliciting child sexual abuse material.”

Andrea Stroppa, the founder of Ghost Data, said the study was an attempt to assess Twitter’s ability to remove the material. He said he personally funded the research after receiving a tip about the topic.

Twitter’s transparency reports on its website show it suspended more than 1 million accounts last year for child sexual exploitation.

It made about 87,000 reports to the National Center for Missing and Exploited Children, a government-funded non-profit that facilitates information sharing with law enforcement, according to that organization’s annual report.

“Twitter needs to fix this problem ASAP, and until they do, we are going to cease any further paid activity on Twitter,” said a spokesperson for Forbes.

“There is no place for this type of content online,” a spokesperson for carmaker Mazda USA said in a statement to Reuters, adding that in response, the company is now prohibiting its ads from appearing on Twitter profile pages.

A Disney spokesperson called the content “reprehensible” and said they are “doubling-down on our efforts to ensure that the digital platforms on which we advertise, and the media buyers we use, strengthen their efforts to prevent such errors from recurring.”

A spokesperson for Coca-Cola, which had a promoted tweet appear on an account tracked by the researchers, said it did not condone the material being associated with its brand and said “any breach of these standards is unacceptable and taken very seriously.”

NBCUniversal said it has asked Twitter to remove the ads associated with the inappropriate content.

CODE WORDS

Twitter is hardly alone in grappling with moderation failures related to child safety online. Child welfare advocates say the number of known child sexual abuse images has soared from thousands to tens of millions in recent years, as predators have used social networks including Meta’s Facebook and Instagram to groom victims and exchange explicit images.

For the accounts identified by Ghost Data, nearly all the traders of child sexual abuse material marketed the materials on Twitter, then instructed buyers to reach them on messaging services such as Discord and Telegram in order to complete payment and receive the files, which were stored on cloud storage services like New Zealand-based Mega and U.S.-based Dropbox, according to the group’s report.

A Discord spokesperson said the company had banned one server and one user for violating its rules against sharing links or content that sexualize children.

Mega said a link referenced in the Ghost Data report was created in early August and soon after deleted by the user, which it declined to identify. Mega said it permanently closed the user’s account two days later.

Dropbox and Telegram said they use a variety of tools to moderate content but did not provide additional detail on how they would respond to the report.

Still the reaction from advertisers poses a risk to Twitter’s business, which earns more than 90% of its revenue by selling digital advertising placements to brands seeking to market products to the service’s 237 million daily active users.

Twitter is also battling in court Tesla CEO and billionaire Elon Musk, who is attempting to back out of a $44 billion deal to buy the social media company over complaints about the prevalence of spam accounts and its impact on the business.

A team of Twitter employees concluded in a report dated February 2021 that the company needed more investment to identify and remove child exploitation material at scale, noting the company had a backlog of cases to review for possible reporting to law enforcement.

“While the amount of (child sexual exploitation content) has grown exponentially, Twitter’s investment in technologies to detect and manage the growth has not,” according to the report, which was prepared by an internal team to provide an overview about the state of child exploitation material on Twitter and receive legal advice on the proposed strategies.

“Recent reports about Twitter provide an outdated, moment in time glance at just one aspect of our work in this space, and is not an accurate reflection of where we are today,” Carswell said.

The traffickers often use code words such as “cp” for child pornography and are “intentionally as vague as possible,” to avoid detection, according to the internal documents. The more that Twitter cracks down on certain keywords, the more that users are nudged to use obfuscated text, which “tend to be harder for (Twitter) to automate against,” the documents said.

Ghost Data’s Stroppa said that such tricks would complicate efforts to hunt down the materials, but noted that his small team of five researchers and no access to Twitter’s internal resources was able to find hundreds of accounts within 20 days.

Twitter did not respond to a request for further comment.

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Reporting by Sheila Dang in New York and Katie Paul in Palo Alto; Additional reporting by Dawn Chmielewski in Los Angeles; Editing by Kenneth Li and Edward Tobin

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Fourth leak found on Nord Stream pipelines, Swedish coast guard says

OSLO, Sept 29 (Reuters) – Sweden’s coast guard discovered a fourth gas leak on the damaged Nord Stream pipelines earlier this week, a spokesperson told the Svenska Dagbladet newspaper.

The European Union suspects sabotage was behind the gas leaks on the subsea Russian pipelines to Europe and has promised a “robust” response to any intentional disruption of its energy infrastructure.

“Two of these four are in Sweden’s exclusive economic zone,” coast guard spokesperson Jenny Larsson told the paper late on Wednesday. The other two breaches are in the Danish exclusive economic zone.

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The coast guard did not immediately respond to a Reuters request for comment on Thursday.

While neither pipeline was in use at the time of the suspected blasts, they were filled with gas that has been spewing out in the Baltic Sea since Monday’s ruptures.

The fourth leak was on the Nord Stream 2 pipeline, in close proximity to a larger hole found on the nearby Nord Stream 1, the Swedish coast guard said.

This week, Danish authorities reported one hole in each of the two pipeline sections in their waters.

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Reporting by Terje Solsvik; Editing by Stine Jacobsen and Clarence Fernandez

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Gas leaks in Russian pipelines to Europe trigger sabotage probe

  • Polish PM blames sabotage, without citing evidence
  • Russia say leaks threaten Europe’s energy security
  • Footage shows gas bubbles churning sea surface
  • Operator says damage to Nord Stream 1 ‘unprecedented’
  • Crisis over Russian gas has sent prices soaring

STOCKHOLM/COPENHAGEN, Sept 27 (Reuters) – Europe was investigating major leaks in two Russian pipelines that spewed gas into the Baltic Sea on Tuesday as Sweden launched a preliminary probe into possible sabotage to infrastructure at the centre of an energy standoff.

But it remained far from clear who might be behind any foul play, if proven, on the Nord Stream pipelines that Russia and European partners spent billions of dollars building.

“We have established a report and the crime classification is gross sabotage,” a Swedish national police spokesperson said.

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Poland’s prime minister blamed sabotage for the leaks, without citing evidence. The Danish premier said it could not be ruled out.

Russia, which slashed gas deliveries to Europe after the West imposed sanctions over Moscow’s invasion of Ukraine, also said sabotage was a possibility and that the leaks undermined the continent’s energy security.

A senior Ukrainian official, meanwhile, called the incident a Russian attack to destabilise Europe, without giving proof.

“We see clearly that it’s an act of sabotage, related to the next step of escalation of the situation in Ukraine,” Polish Prime Minister Mateusz Morawiecki said at the opening of a new pipeline between Norway and Poland.

Seismologists in Denmark and Sweden registered powerful blasts in the vicinity of the leaks on Monday, Sweden’s National Seismology Centre told public broadcaster SVT. German geological research centre GFZ also said a seismograph on the Danish island of Bornholm had twice recorded spikes on Monday.

The Nord Stream pipelines have been flashpoints in an escalating energy war between capitals in Europe and Moscow that has damaged major Western economies, sent gas prices soaring and sparked a hunt for alternative supplies.

Denmark’s armed forces on Tuesday released a video showing bubbles boiling up to the surface of the sea. The largest gas leak had caused a surface disturbance of well over 1 km (0.6 mile) in diameter, the armed forces said. read more

Sweden’s Maritime Authority issued a warning about two leaks in the Nord Stream 1 pipeline the day after a leak on the nearby Nord Stream 2 pipeline was discovered that prompted Denmark to restrict shipping and impose a small no fly zone.

European leaders and Moscow say they can not rule out sabotage. Map of Nord Stream pipelines and locations of reported leaks

‘RISK OF EXPLOSIONS’

The leaks were very large and it could take perhaps a week for gas to stop draining out of the Nord Stream 2 pipeline, the head of Denmark’s Energy Agency Kristoffer Bottzauw said.

Ships could lose buoyancy if they entered the area.

“The sea surface is full of methane, which means there is an increased risk of explosions in the area,” Bottzauw said.

Danish Prime Minister Mette Frederiksen said sabotage could not be ruled out. “We are talking about three leaks with some distance between them, and that’s why it is hard to imagine that it is a coincidence,” she said.

Kremlin spokesperson Dmitry Peskov called it “very concerning news. Indeed, we are talking about some damage of an unclear nature to the pipeline in Denmark’s economic zone.” He said it affected the continent’s energy security.

Neither pipeline was pumping gas to Europe at the time the leaks were found amid the dispute over the war in Ukraine, but the incidents will scupper any remaining expectations that Europe could receive gas via Nord Stream 1 before winter.

Operator Nord Stream said the damage was “unprecedented”.

Both pipelines contained gas although they were not in operation.

Gazprom (GAZP.MM), the Kremlin-controlled company with a monopoly on Russian gas exports by pipeline, declined comment.

“There are some indications that it is deliberate damage,” said a European security source, while adding it was still too early to draw conclusions. “You have to ask: Who would profit?”

CUTTING SUPPLIES

Russia reduced gas supplies to Europe via Nord Stream 1 before suspending flows altogether in August, blaming Western sanctions for causing technical difficulties. European politicians say that was a pretext to stop supplying gas.

The new Nord Stream 2 pipeline had yet to enter commercial operations. The plan to use it to supply gas was scrapped by Germany days before Russia sent troops into Ukraine, in what Moscow calls a “special military operation”, in February.

“The multiple undersea leaks mean neither pipeline will likely deliver any gas to the EU over the coming winter, irrespective of political developments in the Ukraine war,” Eurasia Group wrote in a note.

European gas prices rose on the news, with the benchmark October Dutch price climbing almost 10% on Tuesday. Prices are still below this year’s peaks but remain more than 200% higher than in early September 2021.

Norway’s Petroleum Safety Authority (PSA) had urged oil companies on Monday to be vigilant about unidentified drones seen flying near Norwegian offshore oil and gas platforms, warning of possible attacks.

The Swedish Maritime Administration (SMA) said two leaks on Nord Stream 1, one in the Swedish economic zone and another in the Danish zone, were northeast of Denmark’s Bornholm.

“We are keeping extra watch to make sure no ship comes too close to the site,” an SMA spokesperson said.

The Danish authorities asked that the level of preparedness in Denmark’s power and gas sector be raised after the leaks, a step that would require heightened safety procedures for power installations and facilities.

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Reporting by Reuters bureaus; Writing by Matthias Williams, Jan Harvey and Alexander Smith; Editing by Edmund Blair and Emelia Sithole-Matarise

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Russia, Ukraine announce major surprise prisoner swap

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KYIV/RIYADH, Sept 21 (Reuters) – Russia and Ukraine carried out an unexpected prisoner swap on Wednesday, the largest since the war began and involving almost 300 people, including 10 foreigners and the commanders who led a prolonged Ukrainian defence of Mariupol earlier this year.

The foreigners released included two Britons and a Moroccan who had been sentenced to death in June after being captured fighting for Ukraine. Also freed were three other Britons, two Americans, a Croatian, and a Swedish national.

The timing and magnitude of the swap came as a surprise, given Russian President Vladimir Putin had announced a partial troop mobilisation earlier in the day in an apparent escalation of the conflict that began in February. Pro-Russian separatists had also said last month that the Mariupol commanders would go on trial. read more

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President Volodymyr Zelenskiy said the swap – which involved help from Turkey and Saudi Arabia – had been under preparation for quite a long time and involved intense haggling. Under the terms of the deal, 215 Ukrainians – most of whom were captured after the fall of Mariupol – were released.

In exchange, Ukraine sent back 55 Russians and pro-Moscow Ukrainians and Viktor Medvedchuk, the leader of a banned pro-Russian party who was facing treason charges.

“This is clearly a victory for our country, for our entire society. And the main thing is that 215 families can see their loved ones safe and at home,” Zelenskiy said in a video address.

“We remember all our people and try to save every Ukrainian. This is the meaning of Ukraine, our essence, this is what distinguishes us from the enemy.”

Zelenskiy thanked Turkish President Tayyip Erdogan for his help and said five senior Ukrainian commanders would remain in Turkey until the end of the war.

Kyiv had a long and difficult fight to secure the release of the five, he said.

They include Lieutenant Colonel Denys Prokopenko, commander of the Azov battalion that did much of the fighting, and his deputy, Svyatoslav Palamar. Also freed was Serhiy Volynsky, the commander of the 36th Marine Brigade.

The three men had helped lead a dogged weeks-long resistance from the bunkers and tunnels below Mariupol’s giant steel works before they and hundreds of Azov fighters surrendered in May to Russian-backed forces.

“We’re proud of what you’ve done for our nation, proud of each and every one of you,” Zelenskiy said in a video call with the five which was released by his office.

There was no immediate comment from Moscow about the deal and why it had freed men who Russian-backed separatists said would go on trial later this year.

Saudi Arabia brokered an arrangement whereby the 10 foreigners were flown to Saudi Arabia. The mediation involved Saudi Crown Prince Mohammed bin Salman, who has maintained close ties with Putin.

The freed prisoners included U.S. citizens Alexander Drueke, 39, and Andy Huynh, 27, both from Alabama, who were captured in June while fighting in eastern Ukraine.

Also freed were Britons Aiden Aslin and Shaun Pinner and Moroccan Brahim Saadoun, who were all sentenced to death by a court in the self-proclaimed Donetsk People’s Republic.

Large numbers of foreigners have travelled to Ukraine to fight since Russia’s Feb. 24 invasion.

The head of the U.N. human rights mission in Ukraine said earlier this month that Russia was not allowing access to prisoners of war, adding that the U.N. had evidence that some had been subjected to torture and ill-treatment that could amount to war crimes. read more

Russia denies torture or other forms of maltreatment of POWs.

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Reporting by Valentyn Ogirenko in Kyiv, Aziz El Yaakoubi in Riyadh and David Ljunggren in Ottawa
Editing by Rosalba O’Brien

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Swedes head to polls in close-run election

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  • Social Democrat PM Andersson facing right-wing opposition
  • Moderates’ Kristersson has allied with Sweden Democrats
  • Campaigns focus on crime, cost-of-living crisis
  • Opinion polls show blocs running neck-and-neck
  • Polling stations close at 1800 GMT

STOCKHOLM, Sept 11 (Reuters) – Swedes voted on Sunday in an election pitting the incumbent centre-left Social Democrats against a right-wing bloc that has embraced the anti-immigration Sweden Democrats in a bid to win back power after eight years in opposition.

With steadily growing numbers of shootings unnerving voters, campaigning has seen parties battle to be the toughest on gang crime, while surging inflation and the energy crisis in the wake of the invasion of Ukraine have increasingly taken centre stage.

“I’m fearing very much a repressive, very right-wing government coming,” said Malin Ericsson, 53, a travel consultant outside a voting station in central Stockholm.

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Opinion polls show the centre-left running neck-and-neck with the right-wing bloc, where the Sweden Democrats look to have recently overtaken the Moderates as the second biggest party behind the Social Democrats. read more

Paediatrician Erik George, 52, said he thought the election campaign had been marked by a rise in populism.

“I think that times are really tumultuous and people have a hard time figuring out what’s going on,” he said outside the voting station.

While law and order is home turf for the right, gathering economic storm clouds as households and companies face sky-high power prices may boost Social Democratic Prime Minister Magdalena Andersson, seen as a safe pair of hands and more popular than her own party. read more

“My clear message is: during the pandemic we supported Swedish companies and households. I will act in the exact same way again if I get your renewed confidence,” she said this week in one of the final debates ahead of the vote.

Andersson was finance minister for many years before becoming Sweden’s first female prime minister a year ago. Her main rival is Moderates’ leader Ulf Kristersson, who sees himself as the only one who can unite the right and unseat her.

Kristersson has spent years deepening ties with the Sweden Democrats, an anti-immigration party with white supremacists among its founders. Initially shunned by all the other parties, the Sweden Democrats are now increasingly part of the mainstream right. read more

“We will prioritize law and order, making it profitable to work and build new climate-smart nuclear power,” Kristersson said in a video posted by his party. “Simply put, we want to sort Sweden out.”

For many centre-left voters – and even some on the right – the prospect of Jimmie Akesson’s Sweden Democrats having a say on government policy or joining the cabinet remains deeply unsettling.

Kristersson wants to form a government with the small Christian Democrats and, possibly, the Liberals, and only rely on Sweden Democrat support in parliament. But those are assurances the centre-left don’t take at face value.

Uncertainty looms large over the election, with both blocs facing long and hard negotiations to form a government in a polarised and emotionally-charged political landscape.

Andersson will need to get support from the Centre Party and the Left, who are ideological opposites, and probably the Green Party as well, if she wants a second term as prime minister.

“I have pretty few red lines,” Annie Loof, whose Centre Party split with Kristersson over his embrace of the Sweden Democrats, said in a recent SVT interview.

“One red line I do have is that I will never let through a government that gives the Sweden Democrats influence.”

Voting closes at 1800 GMT with a preliminary official result expected around 2100 GMT.

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Additional reporting by Janis Laizans, Isabella Ronca, Terje Solsvik and Anna Ringstrom, Editing by William Maclean, Elaine Hardcastle

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Private Cessna aircraft crashes off coast of Latvia

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VILNIUS, Sept 4 (Reuters) – A private Cessna plane crashed off the coast of Latvia on Sunday evening, Sweden’s rescue service said, after NATO scrambled jets to follow its erratic course.

The Austrian-registered Cessna 551 aircraft was flying from Jerez in southern Spain, from where it took off at 1256 GMT without a set destination, according to FlightRadar24 website.

It turned twice, at Paris and Cologne, before heading straight out over the Baltic, passing near the Swedish island of Gotland. At 1737 GMT it was listed on the flight tracker as rapidly losing speed and altitude.

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“We’ve learned that the plane has crashed (in the ocean) north-west of the town of Ventspils in Latvia,” a spokesperson for Sweden’s rescue service said. “It has disappeared from the radar.”

German and Danish war planes had earlier been sent to inspect the aircraft as it passed through those countries’ airspace, but were unable to make contact, Johan Wahlstrom of the Swedish Maritime Administration said.

“They could not see anyone in the cockpit,” he said.

German newspaper Bild reported that the plane was carrying the pilot, a man, a woman, and a person it described as a daughter, without sourcing the information.

A Lithuanian air force helicopter was dispatched to the crash site for search and rescue at neighbouring Latvia’s request, a Lithuanian air force spokesperson said. Latvia said it had sent ships to the scene.

“Our ships are on the way to the position where the plane crash happened,” said Liva Veita, spokesperson of the Latvian Navy.

A Stena Line ferry travelling from Ventspils to Norvik in Sweden was also redirected to the crash site, according to the MarineTraffic website. The website showed a Swedish search and rescue helicopter and airplane at the site as well.

The Lithuanian air force spokesperson said earlier that fighter aircraft from the NATO Baltic Air Police mission in Amari airfield in Estonia had taken off to follow the plane, without giving any more details.

The company listed as the aircraft’s owner in Austria’s aircraft register, Cologne-registered GG Rent, could not immediately be reached for comment.

(This story corrects reported details of people on board, paragraph 7)

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Reporting by Andrius Sytas, Terje Solsvik, Tomas Escritt; Writing by Philippa Fletcher; Editing by Frances Kerry and Hugh Lawson

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Swedish police arrest teenage boy for shopping centre shooting

STOCKHOLM, Aug 19 (Reuters) – Swedish police on Friday arrested a teenage boy for killing one person and injuring another in a shooting at a shopping centre in the southern city of Malmo.

A man died from his injuries and an woman is being treated in the hospital after the incident at the Emporia centre, the police said.

“The immediate danger to the public is judged to be over,” the police said in a statement. “At present, the incident is considered to be connected to the criminal environment.”

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The police were on the scene questioning witnesses and going through material from surveillance cameras.

Murders due to gang violence has been on a rise in Sweden and is topping voters’ concerns ahead of elections next month. read more

So far this year, 44 people have been shot dead in Sweden, almost all of them in connection with suspected gang crime, according to police. That compares to 46 for all of 2021.

Representatives from the police and the city of Malmo will hold a news conference on Saturday morning.

Earlier, police said they had cordoned off the area and asked the public to avoid going to the shopping centre.

The police did not immediately respond to requests for further comment.

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Reporting by Simon Johnson and Supantha Mukherjee in Stockholm
Editing by Gareth Jones and Alistair Bell

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SAS and pilots to resume negotiations on Monday after 14 days of strike

SAS airplanes are parked at the Oslo Airport Gardermoen, as Scandinavian airlines (SAS) pilots go on strike, Norway July 4, 2022. Beate Oma Dahle/NTB via REUTERS

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STOCKHOLM, July 17 (Reuters) – Ailing Scandinavian airline SAS (SAS.ST) and striking pilot unions will resume negotiations on Monday, public broadcaster NRK said, after failing to reach new collective agreements over the weekend.

Most SAS pilots in Sweden, Denmark and Norway walked out on July 4 after talks over conditions related to the carrier’s rescue plan collapsed. The parties returned to the negotiating table in the Swedish capital last Wednesday. read more

“We are now going home after 37 hours to get some sleep,” Henrik Thyregod, head of the Danish pilots’ union, said as he left the Stockholm venue where negotiations are held, NRK reported.

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Norwegian pilot union representative Roger Klokset had said earlier on Sunday that the parties may have come closer to a deal overnight.

“Maybe. But I don’t know whether there will be an agreement yet,” he said.

SAS, the main owners of which are Sweden and Denmark, had been struggling to compete with low-cost competition for years before the pandemic slammed the industry. It needs to attract new investors and secure bridge financing, saying that it must first slash costs to achieve those objectives.

Pilots employed in the 75-year-old carrier’s SAS Scandinavia subsidiary last week said they would agree to limited wage cuts and less favourable terms, but SAS said the concessions offered were not enough for it to carry out a rescue plan announced in February. read more

Unions also demand that pilots axed during the pandemic are rehired at SAS Scandinavia rather than having to compete with external applicants for jobs on less attractive terms at recently created SAS Link and Ireland-based SAS Connect.

On Saturday a mediator said the parties had made progress, but significant issues had yet to be resolved. read more

The airline said on Thursday that the strike had caused 2,550 flight cancellations, affecting 270,000 passengers and costing it between $94 million and $123 million. The Swedish government has said it will provide no more cash.

For Sunday, 164 SAS flights, or 62% of those scheduled, were cancelled, according to flight-tracking platform FlightAware. Pilots at SAS Link and SAS Connect are not on strike.

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Reporting by Helena Soderpalm, Anna Ringstrom and Johan Ahlander,
Editing by David Goodman and Frank Jack Daniel

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Rogers network outage hits millions of Canadians, drawing outrage

  • Rogers dominates Canada’s telecom sector
  • Banking services down, transport disrupted
  • Outage renews criticism over telecom sector competition

TORONTO/OTTAWA, July 8 (Reuters) – A major network outage at one of Canada’s biggest telecom operators shut banking, transport and government access for millions all day on Friday, drawing outrage from customers and adding to criticism over Rogers Telecommunications’ (RCIb.TO) industry dominance.

Nearly every facet of life has been disrupted, with the outage affecting internet access, cell phone connections and landline phone connections. Some callers could not reach emergency services via 911 calls, police across Canada said.

Canadians who work from home crowded into cafes and public libraries that still had internet access and hovered outside hotels to catch a signal. Canada’s border services agency said the outage affected its mobile app for incoming travelers. Retailers’ cashless pay systems went down; banks reported issues with ATM services.

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Rogers said it would provide credits to affected customers. Its shares closed down 73 cents at $61.54 on the Toronto Stock Exchange.

Later on Friday, Kye Prigg, a senior vice president at Rogers, told the CBC the company did not “have an ETA of when the problem will be fixed” and was still working to identify a cause.

“I wouldn’t like to say whether it’s going to be fully online today or not,” he said.

A spokesperson for Public Safety Minister Marco Mendicino said Friday evening that the outage was not the result of a cyber attack.

The disruption also made transport and flight bookings more difficult at the height of the summer travel season.

So far, Transport Canada has not received reports of direct safety or security impacts to any flights, marine or rail services as part of this outage, according to spokesperson Sau Sau Liu.

The interruption was Rogers’ second in 15 months. It began around 4:30 a.m. ET (0830 GMT) and knocked out a quarter of Canada’s observable internet connectivity, said the NetBlocks monitoring group.

“Today we have let you down. We are working to make this right as quickly as we can,” Rogers said in a statement.

With about 10 million wireless subscribers and 2.25 million retail internet subscribers, Rogers is the top provider in Ontario, Canada’s most populous province and home to its biggest city, Toronto. Rogers, BCE Inc (BCE.TO) and Telus Corp (T.TO) control 90% of the market share in Canada.

Canadian Industry Minister François-Philippe Champagne in a tweet called the situation “unacceptable” and said he was in communication with telecom CEOs, including those from Rogers, Bell and Telus, to find a solution.

Canadian financial institutions and banks, including Toronto-Dominion Bank (TD.TO) and Bank Of Montreal (BMO.TO), said the outage disrupted services. Royal Bank of Canada (RY.TO) said its ATMs and online banking services were affected.

General view of the Rogers Building, quarters of Rogers Communications in Toronto, Ontario, Canada October 22, 2021. REUTERS/Carlos Osorio

A spokesperson for Vancouver International airport, among Canada’s busiest, said travelers could not pay for parking, use terminal ATMs or purchase items at airport retailers.

Air Canada (AC.TO), the country’s largest airline, said its call center had been affected. Airlines in Canada, like those in Europe and the United States, have been experiencing high call volume amid flight cancellations and delays due to pandemic staffing shortages. read more

Pop star the Weeknd on Friday evening announced that his tour stop at the Rogers Centre stadium had been postponed due to service outages affecting venue operations.

“I’m crushed & heartbroken. Been at the venue all day but it’s out of our hands because of the Rogers outage,” the singer wrote in a tweet.

COMPETITION

Critics said the outage demonstrated a need for more competition in telecom.

Earlier this year, Canada’s competition bureau blocked Rogers’ attempt to take over rival Shaw Communications (SJRb.TO) in a C$20 billion deal, saying it would hamper competition in a country where telecom rates are some of the world’s highest. The merger still awaits a final verdict. read more

“Today’s outage illustrates the need for more independent competition that will drive more network investment so outages are far less likely,” said Anthony Lacavera, managing director of Globealive, an investment firm that had bid for a wireless provider involved in the Rogers/Shaw deal.

On Friday, some government agencies canceled services after losing internet access, including Canada’s passport offices and the telecoms regulator. The Canada Revenue Agency, the country’s tax collection body, lost telephone service.

‘CASH WILL BE KING’

Shops and restaurants in Toronto put “Cash Only” signs on their doors. Residents crowded into and around a nearby Starbucks coffee shop offering free Wi-Fi on an unaffected network.

“There’s tons of people here with their laptops just working away ferociously, the same as they would at home, because they’ve got no service at home,” said Starbucks customer Ken Rosenstein.

In downtown Ottawa, Canada’s capital, cafes including Tim Hortons were not accepting debit and credit cards and were turning away customers who did not have cash.

Michelle Wasylyshen, spokeswoman for the Retail Council of Canada, said outages would vary from one retailer to the next: “Cash will most certainly be king at many stores today.”

While the disruptions were widespread, several companies and transport points said their services were unaffected. The Port of Montreal reported no disruptions. The Calgary Airport Authority said it had “no major operational impacts.”

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Reporting by Yuvraj Malik, Eva Matthews, Shubham Kalia and Maria Ponnezhath in Bengaluru; Katharine Jackson in Washington; Divya Rajagopal and Chris Helgren in Toronto; Ismail Shakil in Ottawa; Writing by Rami Ayyub and Aurora Ellis; Editing by Shinjini Ganguli, Jonathan Oatis, David Gregorio and Leslie Adler

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Airline SAS clashes with striking pilots over U.S. bankruptcy filing

  • Airline files for Chapter 11 in the United States
  • Filing comes after pilot strike began on Monday
  • Company says strike accelerated bankruptcy filing
  • Attempts to blame staff “beneath contempt” -union
  • Strike grounding roughly half of airline’s flights

STOCKHOLM, July 5 (Reuters) – Scandinavian airline SAS (SAS.ST) has filed for bankruptcy protection in the United States to help cut debt, it said on Tuesday, piling pressure on striking pilots it blames for deepening its financial woes and sending its shares down 10%.

Wage talks between SAS and its pilots collapsed on Monday, triggering a strike that adds to travel chaos across Europe as the peak summer travel season shifts into full gear.

Chief Executive Anko van der Werff said the strike had accelerated its decision to file for Chapter 11 status. But the negotiator for SAS’ Danish pilots said the scope of the filing showed it had been months in the making and called attempts to blame striking staff for triggering it “beneath contempt”.

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The airline, whose biggest owners are Swedish and Danish taxpayers, said that the strike would have “a negative impact on the liquidity and financial position of the company and, if prolonged, such impact could become material”.

The strike will cost it $10 million to $13 million per day, the company said in its court filing. Sydbank analysts estimated, in a worst-case scenario, it could erase up to half of its cash flow in the initial four to five weeks alone.

“The pilots may well consider themselves pieces in the puzzle that legalizes the management’s Chapter 11 request, and it’s doubtful whether it will bring them back to the negotiating table,” Sydbank analyst Jacob Pedersen said.

“On the other hand, the Chapter 11 request also shows how serious the situation is for SAS.”

Entering Chapter 11 would make it easier for the company to lay off employees, experts say.

Swedish Airline Pilots Association Chairman Martin Lindgren said his members had seen it as inevitable the airline would need to embark on a “reconstruction”.

“It does not affect the strike or our agreements,” he said.

The airline said the U.S. bankruptcy protection filing was aimed at accelerating a restructuring plan announced in February.

“SAS aims to reach agreements with key stakeholders, restructure the company’s debt obligations, reconfigure its aircraft fleet, and emerge with a significant capital injection,” it said.

TALKS WITH LENDERS

View of SAS Airbus A321 and A320neo aircraft at Kastrup Airport parked on the tarmac, after pilots of Scandinavian Airlines went on strike, in Kastrup, Denmark July 4, 2022. TT News Agency/Johan Nilsson via REUTERS

SAS said discussions with lenders regarding another $700 million of financing were “well advanced”.

The strike is grounding roughly half the airline’s flights, affecting some 30,000 passengers per day, it said.

Data from flight tracking website FlightAware showed 232 SAS flights – 77% of those scheduled – had been cancelled on Tuesday, while Oslo’s Gardermoen airport, one of SAS’ hubs, had the world’s highest cancellation rate on the day.

SAS expects to complete the Chapter 11 process in nine to 12 months, it added. SAS shares can be traded as normal during the bankruptcy proceedings.

Wallenberg Investments, SAS’s third biggest shareholder with a 3.4% stake, said it supported the decision and would allow for talks to continue to make the airline competitive.

“For decades, SAS has had too-high costs and too-low productivity compared to its rivals,” it said.

SAS needs to attract new investors and has said to do that it must slash costs across the company, including for leased planes that stand idle because of closed Russian airspace and a slow recovery in Asia. read more

Its finance chief Erno Hilden said in the court filing the airline had so far been unable to renegotiate lease terms, many of which it said were “significantly above” market rates.

SAS had three bonds outstanding , , with a total face value of 5.4 billion Swedish crowns ($519 million). They now trade at deeply distressed levels of around one-third of face value.

The airline predicted its cash balance of 7.8 billion Swedish crowns was sufficient to meet its business obligations in the near term.

Sweden’s government has said no to injecting more cash into the carrier, while Copenhagen has said it may do so if SAS is able attract new investors.

Nordnet analyst Per Hansen said the U.S. application showed SAS needs a fresh start and that it thinks the strike will drag on. “Management and the board want to make it absolutely clear for all stakeholders that the situation is very serious.”

($1 = 10.3216 Swedish crowns)

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Additional reporting by Johan Ahlander in Stockholm, Essi Lehto in Helsinki, Victoria Klesty in Oslo, Agata Rybska in Gdansk, Jamie Freed in Sydney and Karin Strohecker in London; Writing by Niklas Pollard; Editing by Matt Scuffham, Jan Harvey and Emelia Sithole-Matarise

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