BEIJING - DOZENS of American high school students quarantined in central China after some of their classmates were diagnosed with H1N1 flu will be released on Thursday, said an employee at the hotel where they have been held.

The 33 students and teachers quarantined at the Ruihao Hotel in Yichang city will go to Shanghai, said a hotel receptionist who declined to give her name. The Americans could not be reached by phone, and the US Embassy in Beijing had no immediate comment.

The spread of the H1N1 virus THE virus has continued to spread across the region. In New Zealand, the Roman Catholic Church imposed a ban on priests placing communion wafers on the tongues of worshippers and on the sharing of communion wine. It also asked parishioners to avoid bodily contact at services, including shaking hands. The country reported 28 new cases of swine flu on Wednesday, bringing its total to 127. Hong Kong reported 54 more cases, bringing its total to 172. The new cases included 26 students at the Australian International School, which suspended classes for two weeks on Tuesday. ... more

Seven others in the group of 42 people from the private Pacific Ridge School in Carlsbad, California, tested positive for swine flu and were hospitalised in stable condition. The status of two others was not immediately clear, but a school spokesman on Wednesday night said some were in the hospital with other illnesses.

The Hubei provincial swine flu command center, which oversees Yichang, had no immediate comment on Thursday.

In South Korea, the Health Ministry said on Thursday that an Australian lacrosse team was released after a five-day quarantine, put in place after a player tested positive on arrival in the country.

The American students, who left for China on June 2, visited Beijing and Xi'an and embarked on a river cruise to the Three Gorges Dam when a handful of students and one teacher started feeling sick.

When the boat docked, they were taken to a nearby hospital.

The total number of cases on the mainland rose to 264, but no deaths have occurred, the Health Ministry said.

China plans to conduct regular health checks at schools, nurseries, homes for the aged and construction sites in the event of a swine flu outbreak at the community level, according to a new work plan released on Wednesday. Further steps in a worsening outbreak include shutting schools, nurseries and entertainment venues and cancelling large gatherings.

The World Health Organization has warned countries to prepare for a second wave of infections once their outbreaks have peaked, saying the virus could mutate. -- AP