Recalibrate your expectations of how good an in-ear headphone can sound

I've been listening to Jerry Harvey's custom-molded in-ear headphones for years. The very first one, the UE10, was a game changer; in 2006 it was the best sounding in-ear headphone I'd heard. Now with his new Freqphase JH13 and JH16 in-ears, Harvey's done it again. The performance gains in clarity, detail, resolution, and stereo imaging are huge -- the adrenaline-pumping sound of the music you love over a set of Harvey's headphones can't be matched by any other in-ear 'phones.

The Jerry Harvey JH13 Freqphase in-ear headphone.

(Credit:
Steve Guttenberg/CNET)

Years before he made headphones, Harvey mixed stage monitor sound for Kiss, Van Halen, David Lee Roth, The Cult, KD Lang, Linkin Park, and many others, and that background led to his inventing the in-ear stage monitor/headphone. He founded Ultimate Ears, but now runs Jerry Harvey Audio. The man's passion for great sound knows no bounds, and he still makes time to hit the road. Harvey was on the Van Halen tour from January through June of 2012. Perfecting in-ear headphone design balanced with working with live music keep Harvey in the game.

The new $1,099 "Freqphase" JH13 and $1,149 JH16 headphones use the same types of balanced armature drivers that were in the older JH Audio models, but everything else has been redesigned. There's a new crossover network for the separate bass, midrange, and treble drivers, and the silicone tubes that direct the sound out to your ears are tuned in a new way. My photo comparing the old and new JH13 shows how different the two headphones are.

The new JH13 nails the sound of drums' dynamic attack and punch like no other in-ear I've tested. I don't spend a lot of time listening to very loud music, but I will say the Freqphase headphones sound amazing when cranked way up. The sound never turns harsh or aggressive. Listening at saner levels, the resolution is still quite extraordinary. Classical music was well served by the new headphones' sound.

The new JH13 (left), compared with the original JH13 (right).

(Credit:
Steve Guttenberg/CNET)

I'm hearing finer details of the mixes of favorite old recordings that I've heard hundreds of times, which makes the recordings sound fresher and sometimes better than I thought they were. The Freqphase JH16's sound is similar, but it has more low bass punch and impact than the JH13. The original JH16's bass could sometimes be overwhelming and too thick for my taste, but the new '16's bass definition is excellent.

I did the bulk of my listening for these tests with the headphones plugged into my
iPod Classic, listening to Apple Lossless files. I also tried the Freqphase headphones with my ALO Rx-Mk3B portable headphone amp and AlgoRhythm Solo digital-to-analog converter. The gains in see-through transparency and sheer believability of the sound were impressive, but I didn't want to get side-tracked by what the separate amp and DAC brought to the sound, so I continued with just the
iPod Classic.

Sure, the better universal-fit in-ear headphones, such as the $400 Ultimate Ears UE 900, which also use separate bass, midrange and treble balanced armature drivers can sound great. It's the best-sounding universal fit I've heard for the money, but it pales in comparison to the JH13. The UE 900 doesn't block external noise as effectively; it has limited dynamics and bass definition/power, and reduced high-frequency extension and "air" so the Black Keys' raunchy blues are scaled back. The JH13 lets the 'Keys rock out more; the difference is far from subtle. I still love the UE 900 and recommend it in its price point, but if you can afford a great custom like the JH13 or JH16 you won't be sorry.

JH Audio offers only headphones that are custom-molded to your ear canals -- they don't make universal-fit headphones. To have a set of customs made you need to first visit an audiologist to have "impressions" of your ear canals made and sent to JH Audio's factory in Apopka, Florida. Custom headphones block external noise better than universal-fit models, so you can turn down the volume when listening in noisy environments. Customs are as effective as battery-powered noise-canceling headphones, and sound better.

The JH13's sound is a revelation, but how does it compare with full-size audiophile headphones, like the $1,000 Sennheiser HD 700? The JH13 was really good, but the HD 700 was more relaxed, richer, fuller, and even more open sounding. Still, I'd never use the HD 700 in the subway, plugged into my iPod.

My $2,000 UE Personal Reference Monitors (PRM) were "designed" by me, and built with the equalization curves I selected. My PRMs sound absolutely amazing, but the JH13s' clarity and soundstage accuracy trumps those of the PRMs. Harvey knows a lot more about what it takes to make great sound than I do!

The JH13 and JH16 Freqphase in-ear headphones advance the state of the art. They're highly recommended.

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Fiery Orioles manager Earl Weaver dead at 82

BALTIMORE Earl Weaver, the fiery Hall of Fame manager who won 1,480 games with the Baltimore Orioles seemingly was engaged in nearly as many arguments with umpires, has died. He was 82.

Dick Gordon, Weaver's marketing agent, said Saturday that Weaver died while on a Caribbean cruise sponsored by the Orioles. Gordon said Weaver's wife told him that Weaver went back to his cabin after dinner and began choking between 10:30 and 11 Friday night. Gordon said a cause of death has not been determined.

The Duke of Earl, as he was affectionately known in Baltimore, took the Orioles into the World Series four times over 17 seasons but won only one title, in 1970. His .583 winning percentage ranks fifth among managers who served 10 or more seasons in the 20th century.

"Earl Weaver stands alone as the greatest manager in the history of the Orioles organization and one of the greatest in the history of baseball," Orioles owner Peter Angelos said. "This is a sad day for everyone who knew him and for all Orioles fans. Earl made his passion for the Orioles known both on and off the field. On behalf of the Orioles, I extend my condolences to his wife, Marianna, and to his family."

Weaver was a salty-tongued manager who preferred to wait for a three-run homer rather than manufacture a run with a stolen base or a bunt. While some baseball purists argued that strategy, no one could dispute the results.

"He was an intense competitor and smart as a whip when it comes to figuring out ways to beat you," said Davey Johnson, who played under Weaver in the minor leagues and with the Orioles from 1965 to 1972.

Weaver had a reputation as a winner, but umpires knew him as a hothead. Weaver would often turn his hat backward and yell directly into an umpire's face to argue a call or a rule, and after the inevitable ejection he would more often than not kick dirt on home plate or on the umpire's shoes.

He was ejected 91 times, including once in both games of a doubleheader.

Asked once if his reputation might have harmed his chances to gain entry into the Hall of Fame, Weaver admitted, "It probably hurt me."

Those 91 ejections were overshadowed by his five 100-win seasons, six AL East titles and four pennants. Weaver was inducted into the Hall in 1996, 10 years after he managed his final game with Baltimore at the end of an ill-advised comeback.

In 1985, the Orioles' owner at the time, Edward B. Williams, coaxed Weaver away from golf to take over a struggling squad. Weaver donned his uniform No. 4, which had already been retired by the team, and tried to breathe some life into the listless Orioles.

Baltimore went 53-52 over the last half of the 1985 season, but finished seventh in 1986 with a 73-89 record. It was Weaver's only losing season as a major-league manager, and he retired for good after that.

"If I hadn't come back," Weaver said after his final game, "I would be home thinking what it would have been like to manage again. I found out it's work."

Weaver finished with a 1,480-1,060 record. He won Manager of the Year three times.

"I had a successful career, not necessarily a Hall of Fame career, but a successful one," he said.

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Inauguration to Cost Millions But Total Price Unclear

How much will all the inaugural events cost? It's hard to say.

While most events that occur in the capital have a hard-and-fast budget, the inauguration's many moving parts, safety concerns and large geographic reach make it hard to quantify – especially before the main event.

In 2009, ABC reported the total cost of Obama's first inauguration was $170 million. While incumbent presidents historically spend less on a second inauguration, it's unclear what the total bill will be this time around. Analysis of some of the known appropriations so far puts the total at $13.637 million, but it will no doubt be a much larger price tag when everything is accounted for.

RELATED: 12 Things You Didn't Know About the Inauguration

One of the main chunks missing from this year's tab is the budget for the Presidential Inaugural Committee – the group responsible for using donated money to put together this year's celebrations, including National Day of Service, the Kids' Inaugural Concert, the Parade and the Inaugural Balls.

In 2009, the PIC collected more than $53 million in donations, according to a report filed with the Federal Elections Commission 90 days after the inauguration.

Saul Loeb/AFP/Getty Images

Politically Dressed: Inauguration First Daughters Watch Video

While enthusiasm for the inauguration was running higher that year, it is possible the PIC will haul in more money this time around, as they have eliminated some of the self-imposed regulations on the kinds of donations they can accept. For his first inauguration, President Obama did not take money from corporations or gifts that exceeded $50,000.

In 2013, his committee did away with those rules. PIC spokesman Brent Colburn would not say why the change took place, insisting that each committee operates independently from the precedent set by the inaugurations before – even if staff like Colburn are repeats on the committee from 2009.

RELATED: Inauguration Weekend: A Star-Powered Lineup

The PIC also won't say how much they have already collected or even what their goal was. Colburn explained that these are "moving budgets," which won't stabilize until after the inauguration.

They have, however, released the names of donors on their website weekly. As of Friday afternoon, they were up to 993 donors.

Another leg of the costs is covered by the Joint Congressional Committee on Inaugural Ceremonies. They take care of the swearing-in ceremony and the Congressional luncheon. For those events they have a total budget of $1.237 million, down by about $163,000 from 2009. Whereas the PIC budget comes from donations, the American taxpayers foot the bill for the JCCIC.

Beyond those two inauguration-focused groups, there are a myriad of broader organizations that spend money on the inauguration as well.

RELATED: Plenty of Room at the Inns for 2013 Inauguration

A Congressional Research Service report from December says the government spent $22 million reimbursing local and state governments and the National Park Service for their participation in the 2009 inauguration, but that figure is low. The D.C. government alone received twice that amount, according to the mayor's office. Officials from D.C., Maryland and Virginia estimated their total need to be $75 million.

NPS got an appropriation from Congress of $1.2 million so far this year, according to communications officer Carol Johnson, and another $1.4 million went to the U.S. Park Police.

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Algerian army stages "final assault" on gas plant

ALGIERS/IN AMENAS, Algeria (Reuters) - The Algerian army carried out a dramatic final assault to end a siege by Islamic militants at a desert gas plant on Saturday, killing 11 al Qaeda-linked gunmen after they took the lives of seven more foreign hostages, the state news agency said.

The state oil and gas company, Sonatrach, said the militants who attacked the plant on Wednesday and took a large number of hostages had booby-trapped the complex with explosives, which the army was removing.

"It is over now, the assault is over, and the military are inside the plant clearing it of mines," a source familiar with the operation told Reuters.

British Defence Secretary Philip Hammond said the hostage situation had been "brought to an end" by the Algerian army assault on the militants.

The exact death toll among the gunmen and the foreign and Algerian workers at the plant near the town of In Amenas remained unclear, although a tally of reports from various sources indicated that several dozen people had been killed.

The Islamists' attack on the gas plant has tested Algeria's relations with the outside world, exposed the vulnerability of multinational oil operations in the Sahara and pushed Islamic radicalism in northern Africa to centre stage.

Some Western governments expressed frustration at not being informed of the Algerian authorities' plans to storm the complex. Algeria's response to the raid will have been conditioned by the legacy of a civil war against Islamist insurgents in the 1990s which claimed 200,000 lives.

HOSTAGES FREED

As the army closed in, 16 foreign hostages were freed, a source close to the crisis said. They included two Americans and one Portuguese. Britain said fewer than 10 of its nationals at the plant were unaccounted for and it was urgently seeking to establish the status of all Britions caught up in the crisis.

The base was home to foreign workers from Britain's BP, Norway's Statoil, Japanese engineering firm JGC Corp and others.

BP's chief executive Bob Dudley said on Saturday four of its 18 workers at the site were missing. The remaining 14 were safe.

The crisis at the gas plant marked a serious escalation of unrest in northwestern Africa, where French forces have been in Mali since last week fighting an Islamist takeover of Timbuktu and other towns.

The captors said their attack on the Algerian gas plant was a response to the French offensive in Mali. However, some U.S. and European officials say the elaborate raid probably required too much planning to have been organized from scratch in the week since France launched its strikes.

Scores of Westerners and hundreds of Algerian workers were inside the heavily fortified gas compound when it was seized before dawn on Wednesday by Islamist fighters who said they wanted a halt to the French intervention in neighboring Mali.

Hundreds escaped on Thursday when the army launched a rescue operation, but many hostages were killed.

Before the final assault, different sources had put the number of hostages killed at between 12 and 30, with many foreigners still unaccounted for, among them Norwegians, Japanese, Britons and Americans.

The figure of 30 came from an Algerian security source, who said eight Algerians and at least seven foreigners were among the victims, including two Japanese, two Britons and a French national. One British citizen was killed when the gunmen seized the hostages on Wednesday.

The U.S. State Department said on Friday one American, Frederick Buttaccio, had died but gave no further details.

U.S. Defense Secretary Leon Panetta said nobody was going to attack the United States and get away with it.

"We have made a commitment that we're going to go after al Qaeda wherever they are and wherever they try to hide," he said during a visit to London. "We have done that obviously in Afghanistan, Pakistan, we've done it in Somalia, in Yemen and we will do it in North Africa as well."

BURNED BODIES

Earlier on Saturday, Algerian special forces found 15 unidentified burned bodies at the plant, a source told Reuters.

The field commander of the group that attacked the plant is a fighter from Niger called Abdul Rahman al-Nigeri, according to Mauritanian news agencies. His boss, Mokhtar Belmokhtar, a veteran of fighting in Afghanistan in the 1980s and Algeria's civil war of the 1990s, appears not to have joined the raid.

Britain, Japan and other countries have expressed irritation that the army assault was ordered without consultation and officials grumbled at the lack of information.

But French President Francois Hollande said the Algerian military's response seemed to have been the best option given that negotiation was not possible.

"When you have people taken hostage in such large number by terrorists with such cold determination and ready to kill those hostages - as they did - Algeria has an approach which to me, as I see it, is the most appropriate because there could be no negotiation," Hollande said.

The apparent ease with which the fighters swooped in from the dunes to take control of an important energy facility, which produces some 10 percent of the natural gas on which Algeria depends for its export income, has raised questions over the value of outwardly tough Algerian security measures.

Algerian officials said the attackers may have had inside help from among the hundreds of Algerians employed at the site.

Security in the half-dozen countries around the Sahara desert has long been a preoccupation of the West. Smugglers and militants have earned millions in ransom from kidnappings.

The most powerful Islamist groups operating in the Sahara were severely weakened by Algeria's secularist military in the civil war in the 1990s. But in the past two years the regional wing of al Qaeda gained fighters and arms as a result of the civil war in Libya, when arsenals were looted from Muammar Gaddafi's army.

France says the hostage incident proves its decision to fight Islamists in neighboring Mali was necessary. Al Qaeda-linked fighters, many with roots in Algeria and Libya, took control of northern Mali last year.

(Additional reporting by Balazs Koranyi in Oslo, Estelle Shirbon and David Alexander in London, Brian Love in Paris; Writing by Giles Elgood; Editing by Mark Trevelyan and Rosalind Russell)

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Badminton: Lee Chong Wei reaches Malaysia Open finals

KUALA LUMPUR: World number one Lee Chong Wei dropped his first game of the tournament Saturday as he overcame Denmark's Jan O Jorgensen to secure a place in the finals of the Malaysia Badminton Open.

The home favourite, bidding for record ninth Malaysia Open title, dropped the second game to the determined and energetic 26-year-old emerging Dane, but eventually won through 21-13, 17-21, 21-12.

"It was indeed a tough match and Jan pushed me hard," said Lee, 30, who will now face Indonesia's Sony Dwi Kuncoro in the final.

"I haven't faced him in over a year but he has bounced back from his injuries to break into the top five in the world. So I'm expecting another tough match."

Kuncoro, a three-time Asian champion, was ranked as low as number 79 in the world ten months ago but is now in top form after battling back from back and leg injuries.

The 29-year-old, a bronze medallist in the 2004 Athens Olympics, will move up to number four when the new world rankings are announced next week.

Kuncoro advanced to the final by beating Japan's Kenichi Tago 21-12, 19-21, 23-21.

"I'm delighted to be back in the mix of a Superseries final. A year ago, my career was in jeopardy due to all my injuries but I've buckled down and I'm happy with my progress," he said.

In the women' singles, China's Yao Xue will be in her first Superseries final after beating South Korea's Bae Yeon-Ju 21-15, 21-18 in 34 minutes.

Yao, who turned 22 on Thursday, will take on 18-year-old Tai Tzu-ying of Taiwan, who stunned Indian top seed Saina Nehwal 22-20, 21-14.

"I never expected to come this far in this tournament. I had to come through the qualifying rounds and to reach the final is a big bonus for me," Yao said.

Chinese pair Bao Yixin/Tian Qing beat Indonesia's Lejarsar Variella Aprilsasi Putri/Marissa Vita 21-13, 21-17 to book a berth in the women's doubles finals.

The Chinese pair will face Japan's Misaki Matsutomo and Ayaka Takahashi. The Japanese players had earlier defeated Singapore's Shinta Mulia Sari and her partner Yao Lei 22-20, 21-14.

- AFP/de

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Facebook unveils new search tool (week in review)

He who controls the graph, controls the world.

(Credit:
James Martin/CNET)

Facebook unveiled a new tool this week it touts as helping find people, photos, places, and interests that are most relevant to Facebook users.

Graph Search is the social network's newest way for users to make sense of its massive base of 1 billion users, 240 billion photos, and 1 trillion connections. The tool is meant to provide people the answers to their questions about people, photos, places, and interests. CEO Mark Zuckerberg said Graph Search is launching to a small number of people and is available only on the desktop and in English for the time being.

People can use the structured search tool to resurface old memories, find people in their network, and uncover potential connections. The service incorporates various filters such as "place type," "liked by," and "visited by friends" to make locating things faster. You can refine search queries with more advance filters to get better answers.

Graph Search is so significant in scope and purpose that Zuckerberg anointed the product a "third pillar," which makes it as core to Facebook as Timeline and News Feed. The status also makes Facebook's decision to release an unfinished product quite curious. Lest Zuck forget, the company now has investor expectations to live up to.

The puzzling decision is actually an easily decipherable message that reads like this: Facebook intends to hold true to its risk-taking, ship-early-and-ship-often "Hacker Way" mentality.

•  Facebook might make money from its search tool, analysts say

•  How to sign up for Facebook's Graph Search beta

•  Why Facebook doesn't need its own phone

More headlines

Internet activist Aaron Swartz commits suicide

The 26-year-old hacker and information activist had faced charges for his alleged role in making MIT academic journal articles public.

•  Tech VIPs, family take to Web with sorrow, anger over Swartz

•  MIT to conduct internal probe in wake of Aaron Swartz's suicide

•  U.S. Attorney defends office's conduct in Aaron Swartz case

•  Prosecutor in Aaron Swartz 'hacking' case comes under fire

•  Anonymous hacks MIT after Aaron Swartz's suicide

•  Researchers honor Swartz's memory with PDF protest

Oracle releases software update to fix Java vulnerability

Emergency software update repairs vulnerability that could allow remote attackers to execute arbitrary code.

•  Homeland Security still advises disabling Java, even after update

FAA grounds Boeing's 787 Dreamliner after battery fires

Action comes after two Japanese carriers parked their 787s following a battery fire.

•  FAA seeks to ban pilots' use of personal devices while in the air

Reality check time: Instagram A-OK with 90M monthly active users

Instagram reports monthly active users for the first time and shows that it's doing just fine after December's privacy scandal.

Apple reportedly cuts iPhone screen orders on weak demand

The Cupertino-based tech giant cut orders of the
iPhone 5 screens by roughly 50 percent last month, a possible sign of sagging demand, sources tell the Wall Street Journal.

•  iPhone 5 demand got you worried? Relax, analysts say

•  iPhone market share to peak at 22 percent?


•  In iPhone vs. Galaxy battle, Apple still way on top

•  iPhone 5S, low-cost iPhone 5 to debut this summer, analyst says

•  Ex-CEO Sculley says Apple needs to focus on cheaper iPhone

White House raises petition signature threshold to 100K

We the People platform quadruples the number of signatures required on petitions before they merit the Obama Administration's attention.

•  The Empire gloats over White House Death Star petition

Manti Te'o's fake girlfriend was born and died on social media

The hoax about the death of the famous football player's girlfriend was wholly constructed on the Internet, but it was those same online tools that left a trail and revealed the truth.

Nintendo's Wii gets Amazon Instant Video

Playing catch-up with
Wii U, Nintendo's older gaming console now gets the video-streaming service.

•  How to set up Amazon Instant Video on the Nintendo Wii

A connection between video games and real-world violence?

commentary The Obama administration is asking for another look at the effect of fantasy violence. Let's hope we can tell the difference between what's distasteful and what's dangerous.

Also of note

•  NRA targets iPhone with shooting game

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Deadly, murky hostage crisis in Algeria continues

Last updated at 10:46 a.m. ET

ALGIERS, Algeria About 30 foreign hostages are still unaccounted for three days into a bloody siege with Islamic militants at a gas plant deep in the Sahara, Algeria's state news service said Friday.

The militants, meanwhile, reportedly offered to trade two American hostages for terror figures jailed in the United States, according to a statement received by a Mauritanian news site that often reports news from North African extremists.

It was the latest development in a hostage drama that began Wednesday when militants seized hundreds of workers from 10 nations at Algeria's remote Ain Amenas natural gas plant. Algerian forces retaliated Thursday by storming the plant in an attempted rescue operation that killed at least four hostages and left leaders around the world expressing strong concerns about the hostages' safety.

Algerian special forces resumed negotiating Friday with the militants holed up in the refinery, according to the Algerian news service, which cited a security source.

The report said nearly 100 of the remaining 132 had been freed by Friday, but it could not account for the remainder.

Militants on Friday offered to trade two American hostages for two prominent terror figures jailed in the United States: Omar Abdel-Rahman, also known as "the Blind Sheikh," who masterminded the 1993 World Trade Center bombing and Aafia Siddiqui, a Pakistani scientist convicted of shooting at two U.S. soldiers in Afghanistan.

The offer, according to a Mauritanian news site that frequently broadcasts dispatches from groups linked to al Qaeda, came from Moktar Belmoktar, an extremist commander based in Mali who apparently masterminded the operation.

It could not be independently confirmed.

Algeria's government has kept a tight grip on information, but it was clear that the militant assault that began Wednesday with an attempted bus hijacking has killed at least six people from the plant — and perhaps many more.

Play Video

Deaths and survivors in Algerian hostage rescue

Workers kidnapped by the militants came from around the world — Americans, Britons, French, Norwegians, Romanians, Malaysians, Japanese, Algerians. Leaders on Friday expressed strong concerns about how Algeria was handing the situation and its apparent reluctance to communicate.

British Prime Minister David Cameron went before the House of Commons on Friday to provide an update, seeming frustrated that Britain was not told about the military operation despite having "urged we be consulted."

At least one American, Mark Cobb, who had hidden in a meeting room, is known to have gotten out of the gas plant, CBS News correspondent Mark Phillips reports.

One high-ranking source in the U.S. government told CBS News that four Americans had been freed, one of them injured, after the raid.

Defense Secretary Leon Panetta said Friday the U.S. is working with the British and Algerian governments to assess what's happening on the ground. Speaking Friday at Kings College in London, Panetta said the U.S. is "working around the clock to ensure the safe return of our citizens."

Panetta said the terrorists should be on notice that they'll find no sanctuary in Algeria or North Africa.

He said anyone who looks to attack the U.S. will have "no place to hide."

National Security Council spokesman Tommy Vietor said President Obama was receiving regular updates from his national security team and was in constant contact with the Algerian government, stressing that "our first priority is the safety and security of the hostages. "

Terrorized hostages from Ireland and Norway trickled out of the Ain Amenas plant, 800 miles south of Algiers, the capital. BP, which jointly operates the plant, said it had begun to evacuate employees from Algeria.

On Friday, up to around 20 people, including some Americans, were being evacuated from the country, a spokesperson for the U.S. African Command said. AFRICOM said those with injuries would recieve medical treatment en route to Europe, but would not specify the extent of the injuries or the final destination within Europe for the evacuees.

"This is a large and complex site and they are still pursuing terrorists and possibly some of the hostages," Cameron said. He told lawmakers the situation remained fluid and dangerous, saying "part of the threat has been eliminated in one part of the site, a threat still remains in another part."

Algeria's army-dominated government, hardened by decades of fighting Islamist militants, shrugged aside foreign offers of help and drove ahead alone.

The U.S. government sent an unarmed surveillance drone to the BP-operated site, near the border with Libya, but it could do little more than watch Thursday's military intervention. British intelligence and security officials were on the ground in Algeria's capital but were not at the installation, said a British official who spoke on condition of anonymity because he was not authorized to speak to reporters.

A U.S. official said while some Americans escaped, other Americans were either still held or unaccounted for.

El Mokhtar Ould Sidi, editor of the Mauritanian news site ANI, said several calls on Thursday came from the kidnappers themselves giving their demands and describing the situation.

"They were clearly in a situation of war, the spokesman who contacted us was giving orders to his colleagues and you could hear the sounds of war in the background.... He threatened to kill all the hostages if the Algerian forces tried to liberate them," he said.

With the hostage drama entering its second day Thursday, Algerian security forces moved in, first with helicopter fire and then special forces, according to diplomats, a website close to the militants, and an Algerian security official. The government said it was forced to intervene because the militants were being stubborn and wanted to flee with the hostages.

Militants claimed 35 hostages died when the military helicopters opened fire as they were transporting hostages from the living quarters to the main factory area where other workers were being held.

The group — led by a Mali-based al Qaeda offshoot known as the Masked Brigade — suffered losses in Thursday's military assault — but garnered a global audience.

The militants made it clear that their attack was in revenge for the French intervention against Islamists who have taken over large parts of neighboring Mali. France has encountered fierce resistance from the extremist groups in Mali and failed to persuade many Western allies to join in the actual combat.

Even violence-scarred Algerians were stunned by the brazen hostage-taking Wednesday, the biggest in northern Africa in years and the first to include Americans as targets. Mass fighting in the 1990s had largely spared the lucrative oil and gas industry that gives Algeria its economic independence and regional weight.

The official Algerian news agency said four hostages were killed in Thursday's operation, two Britons and two Filipinos. Two others, a Briton and an Algerian, died Wednesday in the initial militant ambush on a bus ferrying foreign workers to an airport. Citing hospital officials, it said six Algerians and seven foreigners were injured.

APS said some 600 local workers were safely freed in the raid — but many of those were reportedly released the day before by the militants themselves.

One Irish hostage managed to escape: electrician Stephen McFaul, who'd worked in North Africa's oil and natural gas fields off and on for 15 years. His family said the militants let hostages call their families to press the kidnappers' demands.

"He phoned me at 9 o'clock to say al Qaeda were holding him, kidnapped, and to contact the Irish government, for they wanted publicity. Nightmare, so it was. Never want to do it again. He'll not be back! He'll take a job here in Belfast like the rest of us," said his mother, Marie.

Dylan, McFaul's 13-year-old son, started crying as he talked to Ulster Television. "I feel over the moon, just really excited. I just can't wait for him to get home," he said.

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Algeria Terrorists Want to Trade US Hostages for Blind Sheikh

The al Qaeda-linked terrorists holding Americans and other Westerners hostage at a gas plant in Algeria have now 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 calling itself the Masked Brigade, which raided the BP joint venture plant in In Amenas early Wednesday, 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.

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.

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.

Mike Nelson/AFP/Getty Images

Algeria Hostage Situation: Military Operation Mounted Watch Video

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 morning, a U.S. military plane evacuated between 10 and 20 people of unknown nationalities from In Amenas.

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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Foreigners still caught in Sahara hostage crisis

ALGIERS (Reuters) - More than 20 foreigners were still being held hostage or missing inside a gas plant on Friday after Algerian forces stormed the desert complex to free hundreds of captives taken by Islamist militants, who threatened to attack other energy installations.

Thirty hostages, including at least seven Westerners, were killed during Thursday's assault, along with at least 18 of their captors, said an Algerian security source.

The attack, which plunged capitals around the world into crisis mode, is a serious escalation of unrest in northwestern Africa, where French forces have been in Mali since last week fighting an Islamist takeover of Timbuktu and other towns.

"We are still dealing with a fluid and dangerous situation where a part of the terrorist threat has been eliminated in one part of the site, but there still remains a threat in another part," British Prime Minister David Cameron told his parliament.

A local Algerian source said 100 of 132 foreign hostages had been freed from the facility. The fate of the other 32 was unclear as the situation was changing rapidly.

Earlier he said 60 were still missing with some believed still held hostage, but it was unclear how many, and how many might be in hiding elsewhere in the sprawling compound.

Two Japanese, two Britons and a French national were among the seven foreigners confirmed dead in the army's storming, the Algerian security source told Reuters. One British citizen was killed when the gunmen seized the hostages on Wednesday.

Those still unaccounted for on Friday included 10 from Japan and eight Norwegians, according to their employers, and a number of Britons which Cameron put at "significantly" less than 30.

France said it had no information on two Frenchmen who may have been at the site and Washington has said a number of Americans were among the hostages, without giving details. The local source said a U.S. aircraft landed nearby on Friday.

Some countries have been reluctant to give details of the numbers of their missing nationals to avoid disclosing information that may be useful to their captors.

As Western leaders clamored for news, several expressed anger they had not been consulted by the Algerian government about its decision to storm the facility.

The sprawling facility housed hundreds of workers. Algeria's state news agency said the army had rescued 650 hostages in total, 573 of whom were Algerians.

"(The army) is still trying to achieve a ‘peaceful outcome' before neutralizing the terrorist group that is holed up in the (facility) and freeing a group of hostages that is still being held," it said, quoting a security source.

MULTINATIONAL INSURGENCY

Algerian commanders said they moved in on Thursday about 30 hours after the siege began because the gunmen had demanded to be allowed to take their captives abroad.

An Irish engineer who survived said he saw four jeeps full of hostages blown up by Algerian troops.

A French hostage employed by a French catering company said Algerian military forces had found some British hostages hiding and were combing the sprawling In Amenas site for others when he was escorted away by the military.

"I hid in my room for nearly 40 hours, under the bed. I put boards up pretty much all round," Alexandre Berceaux told Europe 1 raid. "I didn't know how long I was going to stay there ... I was afraid. I could see myself already ending up in a pine box."

"When Algerian solders ... came for me, I didn't even know it was over. They were with some of my colleagues, otherwise I'd never have opened the door."

Western governments are trying to determine the degree to which the hostage taking was part of an international conspiracy and was linked, as the captors claimed, to the week-old French military intervention in neighboring Mali.

The Algerian security source said only two of 11 militants whose bodies were found on Thursday were Algerian, including the squad's leader. The others comprised three Egyptians, two Tunisians, two Libyans, a Malian and a Frenchman, he said.

Algeria state news agency APS said the group had planned to take the hostages to Mali.

The plant was heavily fortified, with security, controlled access and an army camp with hundreds of armed personnel between the accommodation and processing plant, Andy Coward Honeywell, who worked there in 2009, told the BBC.

U.S. Defense Secretary Leon Panetta said those responsible would be hunted down: "Terrorists should be on notice that they will find no sanctuary, no refuge, not in Algeria, not in North Africa, not anywhere," he said in London. "Those who would wantonly attack our country and our people will have no place to hide."

MALI WOES

The crisis posed a serious dilemma for former colonial power Paris and its allies as French troops attacked the hostage-takers' al Qaeda allies in Mali, another former colony.

The desert fighters have proved to be better trained and equipped than France had anticipated, diplomats told Reuters at the United Nations, which said 400,000 people could flee Mali to neighboring countries in the coming months.

In Algeria, the kidnappers warned locals to stay away from foreign companies' oil and gas installations, threatening more attacks, Mauritania's news agency ANI said, citing a spokesman for the group.

Algerian workers form the backbone of an oil and gas industry that has attracted international firms in recent years partly because of military-style security. The kidnapping, storming and further threat cast a deep shadow over its future.

Hundreds of workers from international oil companies were evacuated from Algeria on Thursday and many more will follow, BP, which jointly ran the gas plant with Norway's Statoil and the Algerian state oil firm, said on Friday.

The overall commander of the kidnappers, Algerian officials said, was Mokhtar Belmokhtar, a veteran of Afghanistan in the 1980s and Algeria's bloody civil war of the 1990s and one of a host of Saharan Islamists, flush with arms and fighters from the 2011 civil war in Libya. He appears not to have been present.

Algerian security specialist Anis Rahmani, author of several books on terrorism and editor of Ennahar daily, told Reuters about 70 militants were involved from two groups, Belmokhtar's "Those who sign in blood", who travelled from Libya, and the lesser known "Movement of the Islamic Youth in the South".

"They were carrying heavy weapons including rifles used by the Libyan army during (Muammar) Gadaffi's rule," he said. "They also had rocket-propelled grenades and machineguns."

Algeria's government is implacably at odds with Islamist guerrillas who remain at large in the south, years after the civil war through the 1990s in which some 200,000 people died.

Britain's Cameron, who warned people to prepare for bad news and who cancelled a major policy speech on Friday to deal with the situation, said he would have liked Algeria to have consulted before the raid. Japan made similar complaints.

U.S. officials had no clear information on the fate of Americans, though a U.S. military drone had flown over the area. Washington, like its European allies, has endorsed France's move to protect the Malian capital by mounting air strikes last week and now sending 1,400 ground troops to attack Islamist rebels.

The apparent ease with which the fighters swooped in from the dunes to take control of an important energy facility, which produces some 10 percent of the natural gas on which Algeria depends for its export income, has raised questions over the value of outwardly tough security measures.

(Additional reporting by Ali Abdelatti in Cairo, Eamonn Mallie in Belfast, Gwladys Fouche in Oslo, Mohammed Abbas in London and Padraic Halpin and Conor Humprhies in Dublin; Writing by Philippa Fletcher; Editing by Peter Graff)

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Ukraine's Tymoshenko accused of organising 1996 murder

KIEV: Ukrainian prosecutors on Friday accused jailed former prime minister Yulia Tymoshenko of organising the 1996 murder of a lawmaker, saying she could face life imprisonment if found guilty.

Tymoshenko, serving a seven-year jail term for abuse of power, has been informed by prosecutors she is now a formal suspect in the murder of Yevgen Shcherban, Prosecutor General Viktor Pshonka told reporters.

- AFP/de

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