Here are the key headlines you may have missed yesterday.

BN capitalises on PKR-DAP squabble

Jailed de facto PKR leader Anwar Ibrahim, after attending a court case, managed to speak briefly to journalists and urged PKR and DAP to negotiate in order to avoid clashing against each other in the May 7 Sarawak election.

DAP offered to stand down in Batu Kitang if PKR pulls out in five other seats but not all PKR leaders think it's a good deal .

DAP said PKR stood in the seats despite a survey they commissioned showed the former had a better winning chance while PKR accused DAP of refusing to negotiate .

Meanwhile, Prime Minister Najib Abdul Razak capitalised on the squabble, stating the bickering opposition cannot rule .

Sarawak BN also unveiled its manifesto for the Sarawak election. Themed 'Give Team Adenan a Chance', it promises, among others, to uphold the rights of Sarawakians.

1MDB in default as bailout alarm bells ring

1MDB goes into default after failing to pay a US$50 million interest payment, sending the ringgit into a nosedive.

The state-owned company said it has another payment due on May 11 and is considering its options.

Petaling Jaya Utara MP Tony Pua pointed out this has triggered cross-defaults and warned Malaysians taxpayers may have to brace themselves for a RM20 billion bailout of 1MDB.

Meanwhile, attorney-general Mohamed Apandi Ali insisted that he had instructed further probe into 1MDB but had yet to receive any response from investigators.

Despite the controversy, Sarawak Chief Minister Adenan Satem is adamant that 1MDB has no relevance to the state ahead of the May 7 election.

Najib on the offensive

Prime Minister Najib Abdul Razak went on the offensive on live television, describing the Citizens' Declaration which is petitioning for his ouster as " wrong in law ".

Najib's aide Tengku Sariffuddin Tengku Ahmad also joined the attack, accusing former premier Dr Mahathir Mohamad of trying to court the Chinese through DAP veteran Lim Kit Siang after losing Umno's support.

The Citizens' Declaration was initiated by 45 eminent persons including Mahathir.

Other Kini bites

Inspector-general of police Khalid Abu Bakar warned parties against using the Sabah kidnap case in the Sarawak election campaign.

He also reiterated that the man caught vandalising a Hindu temple in Ipoh was mentally disturbed and advised all quarters not to speculate on the incident.

Puchong MP Gobind Singh Deo is the latest opposition parliamentarian barred from entering Sarawak.

Attorney-general Mohamed Apandi Ali expressed surprise that he had survived nine months into his job despite having to handle investigations relating to the prime minister.

Former opposition leader Anwar Ibrahim failed to challenge the Pardons Board decision not to grant him his freedom .

Police are investigating Selangor Menteri Besar Mohamad Azmin Ali under the Sedition Act 1948 for allowing billboards calling for Anwar's freedom to go up in the state.

Looking ahead

All eyes are on Terengganu for new developments amid speculation that the state's menteri besar could be replaced after upsetting the royal palace.

Also, Sarawak enters is third day of campaigning.