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And reports out of australian papers this morning reporting that the hostages are actually being allowed to keep their telephones. they are allowed to text the conditions. some texting that the situation is dire and they need to get out as soon as possible. but there is no doubt there's been a concerted effort to get information out from inside the chocolate store. the propaganda out of the situation in there and with the hostage reportedly -- or actually, the kidnapper reportedly telling one news anchor that he was in part doing this because the news coverage of isis has been unfair to date. ...

Terrorism but we do know that a jihadist flag black with arabic writing was displayed in the window with the hostages are being held. several local media outlets report they were contacted by the hostages. they had two demands. an isis flag and a meeting with the prime minister. here is prime minister tony abbott. >> australia is a peaceful, open and generous society. nothing should ever change that and that's why i would urge all australians today to go about their business as usual. >> and as we watch, this is some of the hostages, at least five of them were able to escape. there are dozens ...

The area is cordoned off. there is massive police presence. snipers, special operations teams are here in addition to regular uniformed officers and people are watching the situation trying to determine what's going to happen next. i would say though that it's all a very calm scene. there have been some media outlets which have been contacted by a number of hostages and they have said some of the demands that the gunman and we know there is at least one gunman. it's not clear as to whether or not there may be another. we know there's one. those demands are being put forward. interestingly thou...

There aren't clear demands. if he took a situation like this saying i want individuals released from prison and australians brought back, just that he wants an isis flag and a chance to speak to the prime minister is enough to make me question a little bit. >> so it's 10:00 p.m. in the night in australia right now. we're not showing live pictures of the chocolate cafe where at least 30 people or about 30 people are being held by a gunman because it is an active crime scene. we have on the phone right now, sara james. what can you tell us? >> at that cafe just a short time ago the lights were t...

Governmentwise, regionally what may be happening and what australia is doing with counterparts around the situation like this. >> there's not much they can do regionally on this particular incident. in the future, they'll talk about the different allies that are working together to confront isis and not only in iraq and syria but capital by capital with intelligence coordination to try to prevent this from happening again. again, if it's a lone wolf, there's not a lot you can do. if this guy is connected to a broader network, they'll cooperate with intelligence services around the region to un...