"I have written a letter to the three bank managers of the central bank where I have requested that we would come to an agreement about their retirement as soon as possible," Ms Sigurdardottir said on Icelandic television.

"We will present a bill to the government tomorrow regarding changing laws about the central bank. Those changes include that there will be only one bank manager in the central bank and that his position will be advertised for applications."

Speculation has been rampant in Iceland that the top governor, David Oddsson, would be asked to leave as leaders of the new government had publicly said they wanted changes. There are two other governors on the central bank's top policymaking board.

In a stroke, the governor of Zimbabwe's Reserve Bank slashed the street value of the Zimbabwean dollar from $250 trillion to one US dollar to 250, because the computers, calculators and people could no longer cope with all the zeros. To counter an inflation rate that economists now estimate to be 5,000,000,000,000,000,000,000 (five sextillion) per cent, Mr Gono has now struck 25 zeros from the plunging national currency since August 2006. One American dollar would now buy Z$2,500,000,000,000,000,000,000,000,000 (2.5 octillion) had he not done so.

Mr Gono's announcement came just weeks after the introduction of a Z$100 trillion note, the latest and biggest of 35 denominations that he has brought in since January last year but only enough yesterday to buy half a loaf. "THE ZEROS ARE TOO MANY FOR OUR MACHINES TO HANDLE," said Obert Sibanda, the chairman of the Zimbabwe National Chamber of Commerce.

In effect, Zimbabwe now has two parallel economies, one using foreign exchange and the other using the increasingly irrelevant national currency. This is exacerbating the problems facing Mr Mugabe's faltering regime because his security forces and the civil service are paid in Zimbabwean dollars. Soldiers have rioted on the streets of Harare, and most of the public sector – teachers, doctors, nurses, municipal workers – are on strike, demanding to be paid in foreign currency.

Criticism following the Pope's January 24 announcement has been particularly cutting in Germany, where denying the Holocaust is a crime punishable with a jail sentence. "IF THE POPE WANTS TO DO SOME GOOD FOR THE CHURCH, HE SHOULD LEAVE HIS JOB," eminent liberal Catholic theologian Hermann Haering told the German daily Tageszeitung.

"That would not be a scandal, a bishop has to relinquish his position at 75 years, a cardinal loses his rights at 80 years," he said. Pope Benedict is 81. Meanwhile, a senior Vatican official acknowledged the Vatican administration may have made "management errors" with the decision to lift excommunication against four bishops, including Richard Williamson, whose comments sparked the controversy.

Belgian daily La Libre Belgique slammed the Vatican's "blindness" and "deafness," drawing links between Williamson and Iranian President Mahmoud Ahmadinejad. "Apparently no one can make the Iranian president and his henchman see reason" when they deny the "truth" of the Holocaust, and it is the same with the "bishop recently anointed by the highest authority of the Catholic Church," it said. For the Pope, the "blunder is extraordinary, especially given that his willingness for a dialogue with Judaism is indisputable," said French daily Liberation.

By all accounts, Holder is among the most credentialed lawyers ever to become attorney general. He began his career as a public corruption prosecutor before serving as U.S. attorney in the District and as a Superior Court judge. Holder later operated as second in command at the Justice Department during the later years of the Clinton administration.

But his service in the Clinton years invited criticism from GOP lawmakers, who also questioned his approach to hot-button terrorism policies. At a grueling seven-hour hearing last month, flanked by his wife and three young children, Holder labeled as "torture" the simulated drowning technique called waterboarding and vowed to make national security his top priority.

Holder vowed to revitalize the department's civil rights division, which is supposed to enforce voting and employment laws for minorities. The Justice Department inspector general in January issued a report detailing hiring abuses and racial epithets that proliferated among some former officials there.

The EU ambassador in Washington said that if approved, the measure would set a "dangerous precedent". The $800bn (£567bn) rescue plan package is under discussion in the US Senate this week. The White House has said it is reviewing the "Buy American" part of the stimulus bill, although Vice President Joe Biden said last week that it was legitimate to have some portion of Buy American in the final measure.

EU Ambassador John Bruton said that if passed, the measure could sap global public confidence. "If we have a series of protectionist measures introduced, then the possibility of real global leadership is put at risk," he said. "WE REGARD THIS LEGISLATION AS SETTING A VERY DANGEROUS PRECEDENT at a time when the world is facing a global economic crisis."

In a letter to Senate leaders, the Canadian ambassador in Washington, Michael Wilson, said that if "Buy American" was in the final legislation, it would set a negative precedent with global repercussions. "The United States will lose the moral authority to pressure others not to introduce protectionist policies," he wrote.

The Vatican announced Saturday that the Rev. Gerhard Maria Wagner, 54, would be auxiliary bishop in Linz, the capital of Upper Austria province. A 2005 report by Kath.Net, a Catholic Austrian news agency, said WAGNER HAD CHARACTERIZED KATRINA AS DIVINE RETRIBUTION IN A SHORT ESSAY IN A PARISH NEWSLETTER.

Wagner wrote that people should ask themselves whether the "NOTICEABLE" INCREASE OF NATURAL DISASTERS SUCH AS KATRINA WAS A RESULT OF POLLUTION CAUSED BY HUMANS OR THE RESULT OF "SPIRITUAL POLLUTION," according to a copy of the essay published Sunday on Kath.Net's website.

"This was not the sinking of just any city but that of a people's dream city with the 'best brothels and prettiest prostitutes,'" he wrote. Wagner told The Associated Press on Sunday he had "never talked about divine retribution" per se, describing his 2005 writing as simply an attempt to lay out the connections between events.

The Vatican infuriated many Jews last month by reinstating a bishop who publicly denied 6 million Jews were killed during the Holocaust.

Josef Ackermann, the CEO of Deutsche Bank, likes to come across as generous. A few days ago in Berlin, he said that he is by no means too proud to take advantage of the government bailout program for banks, and that all he wants is to see it benefit those banks that truly need it. "We are a long way from that," he said.

But the competition is skeptical, especially when the industry leader is having trouble hiding the fact that it lost about €4 billion ($5.2 billion) in 2008. In addition, both competitors and politicians have noted with interest Ackermann's behind-the-scenes involvement in the development of a "bad bank," that is, a sort of government dumping ground for unmarketable, high-risk securities. Industry insiders suspect that Deutsche Bank hopes to shift its own toxic waste into this new entity - saving face in the process because, after all, everyone else will be doing the same thing.

Nevertheless, the government is not abandoning all responsibility. Should the healthy parts of the banks lack equity, the government will provide the necessary funds. This would make it a major shareholder in the German banking sector, TURNING THE FEDERAL GOVERNMENT INTO A SILENT POWER IN THE SKYSCRAPERS OF FRANKFURT'S BANKING DISTRICT. Experts at the Finance Ministry anticipate that the stripped-down banks will require up to €200 billion in additional capital.

Six million bus passengers were left in the lurch as all London's bus services were halted because of dangerous driving conditions, and every Tube line except the Victoria line was at least partially suspended. Many mainline commuter rail services were also cancelled or seriously delayed, and flights at London's airports were decimated, with both of Heathrow's runways shut, Luton and London City closed, and Gatwick and Stansted flights subject to delays and short-notice cancellations.

Millions of commuters stayed at home rather than brave the conditions, as an estimated one in five people either worked from home or took the day off, costing industry hundreds of millions of pounds. The South East of England and the Pennines bore the brunt of the snowfall which began yesterday afternoon, with some of the hardest-hit areas reporting up to 1ft of snow. By the morning the heavy showers had extended as far north as southern Scotland.

Forecasters are predicting that during the rest of the day and tomorrow the snow will continue to extend northwards and westwards across the UK, with a wave of even heavier falls due to reach Britain on easterly winds this afternoon.

A BBC correspondent at the summit says Col Gaddafi was seen to be the obvious choice, but some delegates are uneasy about his nomination. AU spokeswoman Habiba Mejri-Sheikh said Col Gaddafi was elected "by the heads of state in a closed-door session, for a one-year period. He is currently addressing the assembly as president, to outline his programme and his intentions," she said. Col Gaddafi replaces the Tanzanian president, Jakaya Kikwete.

On Sunday, the summit debated a Libyan-backed proposal to set up a single government - THE UNITED STATES OF AFRICA. In a compromise, the summit agreed to transform the African Union Commission, which oversees the body, into an AU Authority that would have a broader mandate, Mr Kikwete said. "In principle, we said the ultimate is the United States of Africa. How we proceed to that ultimate - there are building blocks," Mr Kikwete said.

He wants a single African military force, a single currency and a single passport for Africans to move within the continent. Last August, a meeting of MORE THAN 200 AFRICAN KINGS AND TRADITIONAL RULERS BESTOWED THE TITLE "KING OF KINGS" ON THE LIBYAN LEADER.

She now faces disciplinary action, even though the patient involved did not make a formal complaint. The case has outraged the Christian community, which warns its members are becoming 'the most discriminated against people in society'.

They cited previous instances including that of Heathrow check-in worker Nadia Eweida, who in 2006 was banned from wearing a cross around her neck at work. Last night Mrs Petrie, 45, insisted she was not trying to force her beliefs on others, but was simply offering a little spiritual help. Yesterday Mrs Petrie said that she tried to ask every patient if they would like her to pray for them, except if it seemed they may be of a different faith. 'Many of them want me to pray for them. I can't believe that I've been suspended over this,' she said. Her husband Stewart Petrie, 48, a telecom engineer said: 'It seems ridiculous to me that it has come to this. I hope commonsense will prevail.'

A source close to the current case told the Daily Mail: 'Caroline Petrie is being disciplined under equal opportunities and "diversity" policies - and there is a growing tendency to use such policies to single out for attack our own Judaeo-Christian customs and culture. CHRISTIANS ARE NOW BECOMING THE MOST DISCRIMINATED-AGAINST GROUP OF PEOPLE IN OUR SOCIETY. It's getting quite frightening and out of hand.'

David Jones, Tory MP for Clwyd West, called it "political tokenism". He added, "I can't see any reason why any flag other than the Union Flag and the Red Dragon of Wales should fly outside our police headquarters. This is tokenism and posturing. People want to see their police force focus on fighting crime, not getting involved in political tokenism and gestures."

Assistant Chief Constable Ian Shannon praised the work of the Gay Police Association and added: "Sexuality is a highly emotive and personal matter and I have great respect for those involved with the Gay Police Association who, over the years, have worked selflessly to promote equality within our organisation."

Jenny Porter, community liaison officer for Stonewall Cymru says: "It is a great sign to lesbian, gay and bisexual people in North Wales how much the police has changed and it is encouraging that people have confidence in the police to report homophobic hate crime. The flag signifies that we are celebrating the fact that the world is full of people with differing sexual orientations and that everyone should be treated equally and with respect."

The study, backed by the Archbishop of Canterbury, Dr Rowan Williams, criticises the parents of young children for spending long hours at work and relying on childminders. It describes an increase in the number of mothers going back to work when their babies are less than a year old as a "massive" social change and cites the fact that women are now less dependent on their husbands as a cause of family break-up.

"Compared with a century ago, two changes stand out: first, most women now work outside the home and have careers, as well as being mothers. Seventy per cent of mothers of nine-to-12-month-old babies now do some paid work, this compares with only 25 per cent 25 years ago - a massive change in the way of life. Meantime, the children are cared for by someone other than their parents."

The second change, it says, is a sharp increase in marital break-up in recent decades. "Women's new economic independence contributes to this rise," the report says. "It has made women much less dependent on their male partner, as has the advent of the welfare state. As a result of increased break-up, A THIRD OF 16-YEAR-OLDS IN BRITAIN NOW LIVE APART FROM THEIR BIOLOGICAL FATHER."

Ocala National Bank in Florida and Suburban Federal Savings Bank of Crofton, Maryland, were shut by federal regulators, according to statements sent by the Federal Deposit Insurance Corporation. MagnetBank of Salt Lake City was seized by the Utah Department of Financial Institutions. The banks had total assets of $876.4 million and deposits of $790 million.

Six banks have failed this month as tumbling home prices and a 16-year high in unemployment boost foreclosures. The FDIC classified 171 banks as "problem" in the third quarter, a 46 percent jump from the previous period amid the worst housing crisis since the Great Depression.

The largest institution to fail in US history, Washington Mutual, was sold to JPMorgan Chase & Co September 25 after customers drained $16.7 billion in deposits in less than two weeks. Wachovia Corp was near failure before being bought by Wells Fargo & Co for $12.7 billion.

Scientists with the Alaska Volcano Observatory on Friday flew close to Drift Glacier and spotted vigorous steam emitted from a hole on the mountain. By Saturday, they had confirmed the area was a fumarole, an opening in the earth that emits gases and steam, that was increasing in size at an alarming rate. They also saw water streaming down the glacier, indicating heat from magma is reaching higher elevations of the mountain.

THE SIGNS OF HEAT ADD TO CONCERNS THAT AN ERUPTION IS NEAR, which could send an ash cloud about 100 miles northeast toward Anchorage, the state's largest city, or onto communities on the Kenai Peninsula, which is even closer to the mountain on the west side of Cook Inlet. It would be the first eruption since 1990.

Alaska's volcanoes typically start with an explosion that can shoot ash 50,000 feet high and into the jet stream, but there are warning signs because magma causes small earthquakes as it moves.

Mount Asama, about 90 miles (145 kilometers) northwest of Tokyo, erupted at 1:51 am (0451 GMT) Monday, according to Japan's Meteorological Agency. Chunks of rock from the explosion were found about 3,300 feet (1,000 meters) away from the volcano. The agency said volcanic ash fell on nearby areas as well as parts of Tokyo. TV reports showed neighborhoods sprinkled with white flakes.

An alert level of three, which urges nearby residents to take caution, was kept in place for a 2.5 mile (4 kilometer) radius. With 108 active volcanos, Japan is among the most seismically busy countries in the world. The country lies in the "Ring of Fire" - a series of volcanoes and fault lines that outline the Pacific Ocean.