Initially when I=0 and j=0 if(j==i) break; is executed and so control breaks out of the inner loop. In the next iteration of the outter loop, we have i=1 and j=0, this time the first if will not get exeuted and control proceeds to execute the System.out.println()
Output at this point is Element[1, 0]: 2
And the value of sum is 2, which is less than 10, so second if is not executed
Now moving to next iteration of outter loop i=2 and j=0, this time also the first if will not get exeuted and control proceeds to execute the System.out.println()
Output at this point is Element[2, 0]: 9
Now sum is 9+2 =11 greater than 10, so the second if gets executed and comes out of the scope defined by the label outer:
Hope this helps :-)
Only those who will risk going too far can possibly find out how far one can go !!!