The Gamma Ray Burst (GRB) picked up by MAGIC

Hello,

I've recently read a quite interesting article about a gammy ray burst that the gamma ray telescope MAGIC in spain picked up. The original article was in German, but here is a link to the event published by CERN:
http://www.cerncourier.com/main/article/45/8/1

Well, my problem with it that the original article described the telescope quite alright but did not say much more about the event than saying "It was damn bright!"
The latter article has the problem that I don't quite understand all of it.

Yesterday I saw some images in a newspaper with a description saying that the emission of gamma ray bursts was created by a neutron star colliding with another or a neutron star being absorped by a black hole... now I am trying to find something over the internet that describes that a little in detail. With little success so far. (Googled for "GRB MAGIC" and "gamma ray neutron star")

Well my questions are:
How could a a neutron star falling emit such an extreme amount of energy as desribed in the articles, well beyond quasars, when falling into a black hole? I mean, as soon it passes its event horizon is it over... it could generate much energy at the edge of the event horizon, much like this theory of virtual particles that partly fall inside partly escap, but why would it?
Or does the sudden shift in mass and energy (the kinetic energy of the neutron star I guess) make the black hole be temporaryly unstable expand inside the event horizon and thus make the latter fall back, so it temporarily lights up again?

And if it was two neutron stars? Shouldn't that be quite easisly observable then?

Greeting
Rabenschwinge