A cruise ship with 1,000 people on board that was disabled by a fire and was drifting in southern Philippine waters has been repaired and is headed towards Malaysia, the Philippine coast guard has said.

The death toll from storm-triggered flash floods in the southern Philippines has risen to more than 120, with over 100 people missing.

A top Philippines military spokesman said today that officials believe American hostage Guillermo Sobero is dead.

The leader of a group of Muslim extremists who took 20 tourists hostage in the Philippines today claimed his men beheaded three soldiers and that an American missionary was wounded during a clash.

A Muslim extremist group that snatched 20 people, including three Americans, from an island resort in the Philippines threatened today to kill all the hostages if the military moves attempt to rescue them.