The World

1 | France Every Country for Itself? Detroit's automakers aren't the only ones getting a helping hand. French President Nicolas Sarkozy has proposed loans of $3.9 billion each to Peugeot Citroën and Renault in exchange for promises that the companies won't enact layoffs in France. The proposal drew charges of protectionism from other E.U. members, who say the plan could force the carmakers to cut workers in other countries. Other recent E.U. auto-assistance deals:

BRITAIN Carmakers will have access to $3.2 billion in loans, some of which is intended to encourage more fuel-efficient vehicles

ITALY The government will offer payments of $1,900 to consumers who trade in older models to buy new vehicles

GERMANY People who trade in a car that's at least nine years old will get $3,200 toward the purchase of a new one

PORTUGAL A $1.2 billion stimulus package was approved for the auto industry, including loans for car and parts exporters

2 | Pakistan Movement On Mumbai Attacks In a leaked report from Pakistan's government about last November's terrorist attacks in Mumbai, officials purportedly admitted that at least five of the 10 gunmen who killed more than 160 people during the three-day rampage were of Pakistani origin. Although investigators in Islamabad had previously confirmed that the lone surviving gunman (in Indian custody) is Pakistani, they had repeatedly denied that the others were from their country. The report, which was expected to be made public by Feb. 13, also says the plot was hatched via the Internet in Dubai and an unnamed European country.

3 | Tehran Khatami Makes a Comeback Former two-term Iranian President Mohammed Khatami announced that he plans to run again, in upcoming elections scheduled for June. The liberal leader and respected cleric was criticized for his inability to follow through on his reformist agenda while in office. Khatami said he considers running against the incumbent, Mahmoud Ahmadinejad, a "duty," claiming that drastic political changes are needed to prevent further harm to Iran's economy and international image.

4 | Australia Engulfed in Flames With no mandatory evacuation system in place, the deadliest wildfires in Australia's history have killed at least 181 people and destroyed more than 750 homes. Some 1,100 sq. mi. (2,850 sq km) have burned. Authorities say at least one of the fires, which began near Melbourne on Feb. 7, was arson. Prime Minister Kevin Rudd called the act "mass murder."

5 | California Decrowding The Prisons A federal panel has tentatively ruled that California's prison population--about 153,000 inmates spread over 33 facilities--must be reduced by as many as 55,000 within three years. The decision is the culmination of a long-running attempt to remedy the state prison system's problems with overcrowding and poor medical care:

July 2005 Federal Judge Thelton Henderson takes control of the state's prison health-care system, placing it under the control of a federal receiver or health-care czar.

JUNE 2006 Governor Arnold Schwarzenegger convenes a special legislative session to discuss overcrowding and recidivism. He proposes a $6 billion plan to build more prison space.