Italy and New Zealand were drawing 1-1 at halftime of their World Cup group match after the defending champion equalized with a penalty by Vincenzo Iaquinta.
Shane Smeltz gave New Zealand a shock lead in the seventh minute of the Group F match when he tapped in after Simon Elliott's free kick to the back post deflected off Italy captain Fabio Cannavaro.
Italy stepped up the pressure and Riccardo Montolivo hit the inside of the post with a curling shot from 20 yards (meters) before Tommy Smith was penalized for a foul on Daniele De Rossi.
Iaquinta sent goalkeeper Mark Paston the wrong way from the resulting penalty in the 29th.
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