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Israeli Troops to Withdraw from Southern Lebanon; Search Planes Spot Wreckage of Passenger Jet in Amazon Jungle; Baghdad under a city-wide Curfew after Discovery Plot to Bomb Green Zone; House Republican Mark Foley of Florida has Resigned; Air Force Thunderbird Pilot Major Nicole Malikowski Interview; Military Recruiters Often Accused Of Sexual Misconduct, Other Inappropriate Behavior; Money Tips For Women; Democrats Cautiously Optimistic About Regaining Majority In Congress
Aired September 30, 2006 - 12:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: "Now in the News," a new scandal rocks Capitol Hill, prominent House Republican Mark Foley of Florida has resigned. It happened after revelations that he allegedly exchanged inappropriate e-mail with a male teenage page. The House voted unanimously for the ethics committee to investigate the matter.
Baghdad still shaking after the discovery of a major plot to bomb the Green Zone, the heart of the Iraqi government and coalition force. The plot was foiled yesterday with the arrest of the one of the plot planners who allegedly is a member of al Qaeda in Iraq.
Baghdad also under a city-wide military curfew. The move by American and Iraqi troops carried out because of increased attacks over the past two weeks. The curfew went into effect yesterday and runs until 6:00 a.m. tomorrow.
In Brazil, search planes have spotted the wreckage of a passenger jet that crashed in the Amazon jungle yesterday. Rescue teams are trying to reach the wreckage. Brazil's defense minister says it appears the pilot was forced to make an emergency landing. No word on the fate of the 155 people on board.
And Israeli troops will completely withdraw from Southern Lebanon by tomorrow. That's what Lebanese officials say they've been told by U.N. peacekeepers. The army is not confirming that. The U.N. cease- fire resolution that ended the fighting between Israel and Hezbollah calls on Israel to withdraw from Lebanon, but doesn't give a deadline.
You're in the "Newsroom" on this Saturday where the news unfolds live. This is the last day of the month of September. I'm Fredricka Whitfield.
New reaction today to the sudden resignation of a popular congressman because of e-mails he allegedly sent to a page.
Next, a top gun pilot who's breaking sound barriers and sex barriers. Meet this one of a kind Thunderbird.
And no more excuses. How to wake up and manage your money from a woman who made all the mistakes and is rich enough to tell you how to do it now. You're in the "Newsroom."
An alleged bomb plot targets the heart of Baghdad, the Green Zone under a strict curfew and a suspected member of al Qaeda in Iraq is arrested at the home of a prominent Sunni Arab leader.
Also a terror tactic used to spread fear, death and destruction in Iraq emerges in Afghanistan claiming the lives of women and children.
We begin in the Green Zone, where we are learning new details about an alarming plot to blow up Baghdad's seat of power. Our Arwa Damon is there.
ARWA DAMON, CNN CORRESPONDENT: Hello, Fredericka. Well, if we want to speak about that attack, what happened was the U.S. military has detained a man who they believe is part of an insurgent cell that was in the final stages of planning an attack against Baghdad's international zone.
This information coming in the U.S. military press release. They say that the cell was in the final stages of launching an attack which involved multiple suicide bombings, multiple suicide car bombings as well as possibly suicide vests.
The suspect was detained in an overnight raid that happened in the home of a prominent Sunni politician, Adnan al-Dulaimi, he is a very influential figure here in Iraq's political circles. They say that they went to his home, he says that when the U.S. military arrived, he exited his house, greeted them, they did not search his home. They searched the premises, searched the guardhouse and detained one of his bodyguards who is believed to be, by the U.S. military, part of this cell -- Fredericka.
WHITFIELD: Arwa, what will happen to this Sunni politician?
DAMON: Well, essentially nothing. The U.S. military has made it very clear that he is no way suspected of being involved nor is he involved nor was the target of this raid. It was the individual they were looking for was one of his bodyguards -- Fredericka.
WHITFIELD: Arwa Damon in Baghdad, thanks so much for that update.
Sirens wailing, the bodies of women and children strewn in the streets. This is Kabul Afghanistan, where a bloody form of terrorism has moved into town. Journalist Tom Coughlan is on the phone with us from the Afghan capitol. What can you tell us, Tom?
TOM COUGHLAN, JOURNALIST: Well, I can tell you that this morning around 8:00 Local Time, had a suicide bomb attack just outside the interior ministry, here in Kabul. Now, that bomb targeted crowds of government workers cueing up to go into that ministry. The death toll in that attack is 13 so far and 42 injured. Now, this is the fifth suicide bomb we've had in Kabul in September, a Marked increase in bombings of that type in the city during the month -- Fredericka. WHITFIELD: How does this modify the way people do their business on a day to day basis? Meaning this is fairly new this wave of suicide attacks.
COUGHLAN: Yes, this is a new thing. And particularly this targeting of government workers is new. We had an attack actually in the south last week on a bus carrying construction workers, working on a government contract. That attack killed 19 construction workers. We had an attack on -- from the women politician in the south last week as well.
These attacks on people associate with the government are a new phenomenon. In Kabul there's a real concern and pessimism at the moment. You can see actually in things like the house prices here, there's a huge housing boom in, you know, the three years since 2001, at the moment house prices have suddenly dipped. There's real concern amongst ordinary people, particularly private sector investors that the capitol is becoming a target and that civilians are going to be caught up in this violence.
WHITFIELD: Tom Coughlan, thanks so much, we know you're on top of the story, we'll check back with you as news warrants. Thanks so much.
Well, Al Qaeda strikes again with a new videotape slamming President Bush and Pope Benedict. Al Qaeda's deputy leader, Ayman al Zawahiri branded President Bush a lying failure and the pope an imposter in a video released yesterday.
Much of Ayman al-Zawahiri's venom was directed at Mr. Bush for holding senior al Qaeda members in secret CIA prisons and recently transferring them to the U.S. base at Guantanamo Bay, Cuba. His attack focused on Pope Benedicts focused on the pontiff's recent controversial comments about Islam.
Turning now to political scandal and the November elections, Republicans are in containment mode following abrupt resignation of Florida Congressman Mark Foley, the House of Representatives has asked its Ethics Committee to look into allegations about e-mails that Foley allegedly sent to a teenage boy. Our John Zarrella has details.
(BEGIN VIDEOTAPE)
JOHN ZARRELLA, CNN CORRESPONDENT (voice-over): Six-term Republican Congressman Mark Foley called it quits as word began spreading of an e-mail correspondence he had with a former male page. Foley issued a statement announcing his resignation and apologized. The statement concluded, "I am deeply sorry and I apologize for letting down my family and the people of Florida I have had the privilege to represent."
A spokesman for the congressman, who is single, has maintained the e-mail was taken out of context in an attempt to smear Foley and there was nothing inappropriate about it.
The e-mail was reportedly sent from Foley in August 2005 to the former congressional page who was then 16 years old. The teenager was no longer in Washington when the correspondence took place. According to ABC News, the teen called the e-mail called the email "sick, sick, sick." House Speaker Dennis Hastert said the matter will be looked at carefully.
DENNIS HASTERT, SPEAKER OF THE HOUSE: As of now, he's done the right thing. I've asked John Shimkus, who is the head of the page board, to look into this issue regarding Congressman Foley. We want to make sure the pages are safe and the page system is safe.
QUESTION: (INAUDIBLE).
HASTERT: Well, none of us are very happy about it.
ZARRELLA: Foley, whose district includes West Palm Beach, was considered a virtue lock for re-election. He was running against Democrat Tim Mahoney, a political newcomer. Foley's office is charging Mahoney with leaking the e-mails, an accusation denied by Mahoney who had this to say about his now former opponent.
TIM MAHONEY (D), FLORIDA: The challenges facing Congressman Foley make this a difficult time for the people of the 16th District. The families of all those involved -- the families of all those involved are in our thoughts and in our prayers.
ZARRELLA: According to congressional source, Foley decide not to seek re-election because there may be other politically damaging e- mails out there.
(on camera): The Republicans will be able to replace Foley with a new candidate, but it's too late to get that person's name on the ballot. The only way to vote for the new candidate is to cast a ballot for Foley.
John Zarrella, CNN, Miami.
(END VIDEOTAPE)
WHITFIELD: And now more details about who Mark Foley is. The former Republican congressman represented Florida's 16th Congressional District which includes West Palm Beach. He was first elected in 1994 and he was co-chairman of the House Missing and Exploited Children's caucus can. He is single and seeking his seventh term in Congress.
Foley's Democratic challenger, now facing better odds in November, is Tim Mahoney, as you just saw in John Zarrella's peace.
The lawmaker in charge of the House page program says he became concerned about an e-mail exchange between Mark Foley and a former House page last year after Hurricane Katrina. Congressman John Shimkus says at the time Foley told him he was simply acting as a mentor to the boy who was concerned about his well-being.
In a just released statement Shimkus says, "It has become clear to me today, based on information I only now have learned, that Congressman Foley was not honest about his conduct. As chairman of the House Page Board, I am working with the clerk to fully review this incident and determine what actions need to be taken."
And we'll be following this story throughout the day.
Coming up in the "Newsroom" at 2:00 Eastern, NPR's political editor Ken Rudin will join us to talk about the potential fallout from this scandal and its effect on the midterm elections.
A mother's trust results in a daughter's pain.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: There was a lot of guilt. I handed her to him. I signed permission slips for her to go with him. I thought she was safe.
(END VIDEO CLIP)
WHITFIELD: The person she was talking about, an attacker, he wore a military uniform and had easy access to his victim.
Plus -- spinach, are you ready to eat it? Well, it's back on the shelves. But is it safe to eat?
And she's proven her air combat skills in Iraq and Kosovo, meet the first female pilot on any elite U.S. fighter jet demonstration team.
(COMMERCIAL BREAK)
WHITFIELD: Some other stories making headline across America. Fresh spinach on its way back to your dinner plate, perhaps. The ban on most fresh spinach is now lifted. Now the ban only applies to packaged spinach that had been recalled because of the E. coli contamination. The FDA said it's safe to eat spinach grown anyway outside three counties in California's Salinas Valley.
Well, what goes up must come down. In Atlanta, a 12-story building comes crashing down in a cloud of smoke, right there. Of course it was done on purpose to make way for a new development. The building near Atlanta's historic Fox Theatre had stood there since 1959. It is the first building implosion in Georgia's capitol city in six years.
Alabama authorities hope to have the suspect in the shooting of a police officer in their custody soon. An extradition hearing for Mario Woodward is being held today in Georgia. A Montgomery police officer was gunned down Thursday during a traffic stop. Right now is in critical condition with a severed spine. Woodward was arrested yesterday just south of Atlanta. Authorities say he is fighting extradition to Alabama.
Last night, a vigil in Colorado for a girl killed at her high school. And later this morning, a memorial service is scheduled for Emily Keyes, she is the 16-year-old student killed Wednesday by a gunman who took six high school girls hostage. In southern California, firefighters finally had that stubborn blaze under control and it could be fully contained by Monday. The fire in the Los Padres National Forest broke out on Labor Day and since then the flames have scorched more than 250 square miles, it's one of the biggest wildfires ever in the state of California.
And the wind certainly did not help in those firefighters trying to contain it. Reynolds Wolf in the weather center, but you know, they're very optimistic now.
(WEATHER REPORT)
WHITFIELD: And it is easy to join the world's most powerful news team on I-report. If you've got a picture or video you'd like to share, just like that beautiful one you just saw. Just log on to CNN.com and click on I-report.
Well, no more excuses like: I'm just not good with numbers. Jean Chatzky joins me on how to manage your money and this:
Forget fighter jock, meet fighter Jill. Air Force Thunderbird pilot, Major Nicole Malachowski broken the glass barrier and the sound barrier. You'll meet her right after this.
(COMMERCIAL BREAK)
WHITFIELD: Well talk about an inspiration, this story is about a woman who regularly breaks the sound barrier and throughout her entire career as an Air Force fighter pilot has broken plenty of other barriers, as well.
CNN's Alex Quade went to great heights to tell us all about her.
(BEGIN VIDEOTAPE)
ALEX QUADE, CNN CORRESPONDENT (voice-over): The F-16 fighter jock who gets the girl's attention at air shows.
UNIDENTIFIED MALE: Stand by.
QUADE: Is a fighter Jill. Major Nicole Malachowski, Air Force Thunderbird number three, right wing.
MAJOR NICOLE MALACHOWSKI, U.S. AIR FORCE PILOT: When were we're flying here in this really close formation, I am focused on one thing and on thing only and that's the lead aircraft missile.
QUADE: She's the first female on any U.S. military fighter jet team in history.
MALACHOWSKI: People talk about glass ceilings or breaking barriers, et cetera. I don't even like understand those concepts, those words have actually never existed in my life since I was 5- years-old when I decided to be a firefighter pilot.
Is everything going OK for you guys? UNIDENTIFIED MALE: Yes, ma'am.
LT. COL. KEVIN ROBBINS, U.S. AIR FORCE: She's proven herself and that's why she's here. You know, it really has nothing to do about whether not she's female or not.
QUADE: Malachowski's flown nearly 200 hours in combat, providing close air support for U.S. soldiers in and Marines in Iraq...making her presence known.
MALACHOWSKI: It was enough to get the enemy to disengage from our American troops.
QUADE: She led the first fighter jet team providing security for Iraq's historic elections. She's also flown Mach II, that's twice the speed of sound.
MALACHOWSKI: You're like "Wow! I'm faster than the speed of sound. I'm kind of cool."
QUADE: To really see her moves, I suit up.
MAJOR PAT CLARK, U.S. AIR FORCE: And roll upside-down now.
QUADE (on camera): Woo!
(LAUGHTER)
QUADE (voice-over): And Major Pat Clark shows me.
CLARK: And here we go. There's one, two, three and four.
QUADE: Then.
CLARK: Looking down at the ground to the left and looking to the sky up at the right.
QUADE: A move Malachowski's used in combat.
CLARK: I'd be able to look at the ground, roll up the jet, look down, visually pick up a particular target perhaps, put a bomb on there or visually identify troops in contact, maybe people on the ground that need help.
QUADE (on camera): So close air support.
CLARK: Close air support, exactly. Some of the maneuvers that Nicole does when she's 18 inches from another aircraft.
QUADE (on camera): Malachowski now uses the skills of aerial combat for aerial acrobatics.
MALACHOWSKI: I don't think it's a big deal, you know, to be a female fighter pilot, again, there's a lot like me and a lot that came before me.
QUADE: The Air Force now has 4m400 male fighter pilots, a mere 85 female fighter pilots, but only one female Thunderbird.
MALACHOWSKI: To me, it's really just me doing my job. There is no way that any one person could do this job alone. It is an absolute team effort. You're here to look at the man or woman to your left and right to applaud their strength, to work together to bet a single mission done.
UNIDENTIFIED MALE: It's not she's the best female officer out there -- she's the best officer out there for this job.
MALACHOWSKI: I'm so glad that I live in a country where at 5- years-old, I could say hey, I'm going to I grow up and be a fighter pilot and here it is, it's true. And it's pretty cool. I is me, isn't it?
QUADE: Which is why Major Nicole Malachowski goes out of her way to inspire future fighter pilots.
MALACHOWSKI: I think you'd be a really good fighter pilot someday.
To be considered a role model and just see that twinkle in their eyes when they look at you is extremely rewarding. It's also extremely humbling.
Hey, maybe someday you'd be a great Thunderbird and I'll get your autograph.
UNIDENTIFIED FEMALE: Thank you.
(END VIDEOTAPE)
WHITFIELD: Wow, what an inspiration. She definitely is.
Alex Quade here with us now. How lucky you were to get a chance to ride along with her. But you know, I guess what's so sweet about that is see that she really embrace being that role model.
QUADE: She really does and she takes it very seriously. She knows she's meeting all these young men, young women and that she's meeting them at air shows, going out to high schools, she's letting them know that you can do whatever you want, you just have to work hard. So, se really takes here role seriously.
WHITFIELD: And she comes across so sweet, yet at the same time you know she's tough because, you know, she's one of just 83, you said, 83 female pilots -- but the only Thunderbird pilot.
QUADE: There are only 85 female fighter pilots in the U.S. Air Force and there's 4,400 male fighter pilots and there's only one female Thunderbird. So, she has come a long way. She has worked very, very hard to get where she's at. And her teammates, they say, you know, this is not about her being a female on our team. She deserves to be here, she has flown in combat, she deserves to be here.
WHITFIELD: And she really does seem to be one of the guys. You know, you just hear her delivery, you know, her countdown, her nonchalant three, two, one, you know, just like the other guys are doing. Yet, at the same time, they know that she is something special and they have to respect her, don't they?
QUADE: They really do. And I mean, she's flown in combat. She's more than 200 hours in combat over Iraq providing close air support for America troops on the ground, Marines and soldiers. And her crew, after every flight she gets out of the plane and she thanks her crew, her crew chiefs on the ground for letting her borrow their plane. So she's very gracious, as well.
WHITFIELD: So only the elite -- the real elite get to be selected or do they vie for that position to be a Thunderbird pilot?
QUADE: Every position that opens up wit the Thunderbirds there are about 150 to 200 applications every year for these slots that open up. And so, and this from Air Force-wide, so for here to get one of these slots, she's worked very hard to get one of these.
WHITFIELD: Very impressive and great story. Thanks For bringing it to us, Alex.
QUADE: Thank you.
WHITFIELD: Well, how about this lady right here, she's pretty remarkable, too. Oprah seems to think so. She's her personal financial guru. Jean Chatzky, she joins with tips on managing your money. And stop making excuse.
Plus, Donald Rumsfeld may be running the war, but is he losing support from the public?
(COMMERCIAL BREAK)
WHITFIELD: Half past the hour, here's what's happening right now in the news. The House of Representatives has asked its Ethics Committee to look into allegations against Mark Foley. The Florida Republican Congressman resigned yesterday after questions about some e-mail messages he allegedly sent to a teenage boy. The boy is a former congressional page.
The U.S. military says it has foiled a suspected al Qaeda plot to bomb Baghdad's fortified Green Zone. A guard for the leader of Iraq's largest Sunni party is in custody.
The streets of Baghdad are unusually empty today. Iraq's government has imposed a curfew this weekend, Iraqi and U.S. troops are deemployed across the city enforcing the security clampdown.
And in Afghanistan, a suicide bombing at a crowded shopping area in Kabul killed at least 13 people today. It was the capital's fifth suicide bombing this month.
Two investigations have uncovered dozens of accusations that military recruiters raped or sexually assaulted young females who wanted to join the armed forces. CNN's Randi Kaye investigates in a report that was a joint project with the Associated Press and "ANDERSON COOPER 360."
(BEGIN VIDEOTAPE)
RANDI KAYE, CNN CORRESPONDENT (voice-over): Shedrick Hamilton was a Marine sergeant, a popular and respected recruiter.
JILL GIUNTA, RAPE SURVIVOR: He had that uniform on, and everybody trusted him.
KAYE: Yet, he had a terrible secret.
TRISH GIUNTA, JILL'S MOTHER: I had no idea. I didn't ever think anything happened. I vouched for this man when my husband questioned why, why was he calling all the time? It's Hamilton. Everybody -- the kids loved him.
KAYE: Especially Trish Giunta's daughter, Jill, until ...
J. GIUNTA: He threw me in the back of the car. And, you know, again, like, I kept saying, no, like, you know what I mean? I didn't want to do it.
KAYE: Sergeant Shedrick Hamilton first raped Jill Giunta on Valentine's Day nearly three years ago. She was just 16 years old. Sergeant Hamilton was 34, married, with two children.
T. GIUNTA: I woke her to go with him.
KAYE (on camera): As a mother, do you feel -- am I seeing guilt? Is that what that is?
T. GIUNTA: There's a lot of guilt. I handed her to him. I signed permission slips for her to go with him. I thought she was safe.
KAYE (voice-over): The sergeant drove Jill to Marine Corps physical training, a program to involve kids in the Marines in hopes they will join. Nearly every week, he picked up Jill at her home in his government car and drove her to this New York recruiting center, until, one day, he made a sharp turn down this deserted road, not even a mile from Jill's home.
J. GIUNTA: He just started doing what he wanted to do. And, you know, I would just, like, sit there and just, like, you know, look off. And tears would just come down my face and stuff like that, and he just would finish up what he wanted to do.
KAYE (on camera): Help me understand why, after the first incident, or even the second incident, why didn't you run home and say, Mom, help me. This guy is attacking me?
J. GIUNTA: He kept making sure that I knew, and he would repeatedly tell me that nobody would find out about this, nobody would believe me. KAYE (voice-over): As disturbing as it is, Jill's story is not unique. An investigation by the Associated Press found last year at least 35 Army recruiters, 18 Marine Corps recruiters, 18 Navy recruiters and 12 Air Force recruiters were disciplined for sexual misconduct or other inappropriate behavior with potential enlistees.
MARTHA MENDOZA, THE ASSOCIATED PRESS: In 2005, 80 recruiters were disciplined for sexual misconduct, with more than 100 victims.
KAYE: A.P. Reporter Martha Mendoza found across all services one out of 200 recruiters, those who deal directly with young people, was disciplined for sexual misconduct. The abuse ranged from inappropriate touching to rape.
In Pennsylvania, an Army recruiter pleaded guilty to having sex with a 14-year-old girl. In Wisconsin, a Marine Corps recruiter was recently charged with sexual assault and false imprisonment of a potential female enlistee. He has pleaded not guilty.
In Indiana, a National Guard recruiter was indicted for allegedly assaulting eight different potential recruits outside schools, in cars, and in recruiting stations. He's out on bail, pending trial.
(on camera): Why are there so many cases of sexual misconduct among recruiters? Remember, the No Child Left Behind Act was passed in 2001, in part to help grow the military's ranks.
No Child Left Behind guarantees schools federal funding, as long as they grant recruiters access to students on campus. Unlike the rest of us, who have to show ID, recruiters can walk right in, no questions asked.
J. GIUNTA: I would be sitting in class and then my teacher is like, tapping me on my shoulder saying that -- to go outside the classroom, that somebody needs to speak to me and it was him.
KAYE (voice-over): No Child Left Behind also mandates recruiters be provided with students' home phone numbers and addresses.
J. GIUNTA: I definitely feel like he was stalking me. There were times where he would call the house, and he would tell me to look out my bedroom window. And he would be sitting in the government van right on the corner of the street.
SHEDRICK HAMILTON, FMR. RECRUITER, CONVICTED RAPIST: I'm sorry.
KAYE: Shedrick Hamilton pleaded guilty. He was convicted of rape and endangering the welfare of a child and sentenced to prison. At sentencing, the judge called Hamilton a "child molester" and a "disgrace to his country and his uniform."
Sergeant Hamilton spoke with the Associated Press from jail.
HAMILTON: I ended up putting myself into a position to where I sought out comfort in a young lady that I shouldn't have done. I allowed myself to get caught up into the wrong situation at the wrong time and I have no one to blame but myself.
KAYE: The Department of Defense declined our request for an on- camera interview, but issued this statement to CNN. "All military recruiters are briefed in regard to the conduct and ethics required of them and receive training. The Department of Defense has zero tolerance for misconduct by military recruiters."
The Pentagon says it is now monitoring its recruiters and will evaluate whether it needs to change its policy. But that comes only in response to the A.P. report and a Congressional Accountability Office study which found the DOD does not track all allegations of recruiter wrongdoing.
In January, having served two years for rape, Shedrick Hamilton is expected to be released.
T. GIUNTA: This is my child. He hurt my child. So, I'm going to watch him.
KAYE: Jill Giunta, now 19, has decided not to join the military, but to go to college and become a police officer instead. And she's made a promise to herself, when she puts on that police uniform, never to abuse her authority.
Randi Kaye, CNN, Monroe, New York.
(END VIDEOTAPE)
WHITFIELD: And that story comes to us from "ANDERSON COOPER 360." Join "A.C. 360" weeknights at 10:00 Eastern.
Secretary of Defense Donald Rumsfeld may have the relentless support of President Bush, but is he losing ground with the public? Some numbers from our latest CNN poll. Fifty-seven percent say that Rumsfeld's military planning has hurt the U.S. mission in Iraq. Forty-seven percent now think Rumsfeld should step down.
This weekend, CNN is taking a special look at the U.S. defense secretary and his role in the Iraq war. An hour-long special, "DONALD RUMSFELD: MAN OF WAR" airs tonight and tomorrow at 8:00 Eastern right here on CNN.
And Monday night, Bob Woodward discusses his new book, "State of Denial," with Larry on "LARRY KING LIVE," and you can catch that at 9:00 p.m. Eastern.
The best way to invest your money? Stock market, real estate, perhaps? Well, Jean Chatzky has all the answers. My interview with her coming up next.
And what's at stake for Democrats and Republicans on Capitol Hill after the upcoming elections?
(COMMERCIAL BREAK)
WHITFIELD: And now a brief look at some of the most popular videos on CNN.com. Number one is a report from CNN's Ryan Chilcote on the impressions of the first female space tourist now that she has returned from the International Space Station.
And in second place, a report from Jeanne Moos on an unusual comedian and by why the Republic of Kazakhstan isn't laughing.
And also drawing hits, an investigation in to whether the recent lower gas prices are tied to politics.
You can check out those stories yourself at CNN.com.
Well, in our "Dollars & Deals" today, you've heard all the excuses about investing your money or saving it. Maybe you've made a few of them yourself. I don't time. It's too intimidating, or I'm not a numbers person.
Well, Jean Chatzky has a reply to all of that. It's fact, it's the title of her new book. It's called "Make Money, Not Excuses: Wake Up, Take Charge and Overcome Your Financial Fears Forever." I spoke with her earlier.
(BEGIN VIDEOTAPE)
JEAN CHATZKY, "MAKE MONEY, NOT EXCUSES": If you're making excuses for yourself, then you're not in the game. And if you're not game, you're not getting rich and that's particularly a problem for women because we have more responsibility for our finances than we've ever had before. Corporations, the government, nobody is going to step in and take care of you when you're 70 or 80 years old. You've got to do it yourself and you're better off starting young.
WHITFIELD: And these are the excuses that really everyone can identify with.
CHATZKY: That's right.
WHITFIELD: I'm just not good with money. I'm going to buy those shoes. After all, you only live once. I don't know where to start. I don't have enough money to make a difference. So for starters, after you've removed all of these thoughts from your mind, what do you do?
CHATZKY: You take one step and you take one step that you know is going to make a positive difference in your financial life. So maybe you call your bank or your brokerage firm and you open an automatic investing plan where you kick in some money every single month so you start to see it adding up fast.
Or if you haven't enrolled in your company's 401(k) and there are matching dollars on the table, you do that. Or if you're paying too much in credit card interest, you pick up the phone, you call your credit card company and you say, hey, I'm a really good customer, I deserve a lower interest rate.
You know, these excuses are ones that I've literally heard on the street corner for so many years. Women come up to me and they say, oh, I can't do numbers, so I can't manage my money. My husband does that. And for a long time, they were the excuses that I was making in my own life. I didn't come to this out of some MBA program. I'm an English major out of college.
WHITFIELD: Really? So you always didn't get it right?
CHATZKY: Oh my god. I made every classic mistake in the book. I botched the 401(k), I had credit card debt, I didn't save for way too long. I let my husband manage the money. I did it all, and finally, I started to say, you know, you are not as rich as you could be. And you need to stop making these excuses an start taking some action in order to build real wealth and it's worked.
WHITFIELD: And so this book really is for the woman, isn't it?
CHATZKY: It is.
WHITFIELD: Because you really do talk about empowering yourself, and you say after doing all those things that you just suggested to get started, why not start talking comfortably about money with other women, like we do in sometimes book clubs. Why not have, like, a money group?
CHATZKY: Have a money group, sit down with your friends, clip an article of a magazine that you're interested in discussing, share your resources. Women are the best resources as far as where to get the best deals in town. Share those things with your friends.
You'll help each other along and more importantly, there is no comfortable place for us, as women, to talk about our money. With a money group, you're giving yourself that forum and so you're giving yourself the freedom to actually do it.
WHITFIELD: You are encouraging people to invest, and perhaps one of the biggest investments that any of us will ever make is in a home. And right now, as we look at perhaps some of the housing -- the market, you know, some of the market value of these homes is dropping.
CHATZKY: That's right.
WHITFIELD: Might that be in the favor of an awful lot of people who thought I may never own a home.
CHATZKY: Yes, buyers are in the drivers seat for the first time in a very long time, and that's terrific. Not only should you be making offers for less than the asking price -- and I'm talking about five to 10 percent less than the asking price.
But there are a significant number of incentives out there for the buyer, particularly when it comes to new construction. You want something for your house? You want the basement finished? You want a swimming pool? You want a home office? Now is the time to ask.
WHITFIELD: Wow. And then last week, the Dow flirting with a high.
CHATZKY: Yes.
WHITFIELD: What do we take away from that? How do we invest, how do we watch the market?
CHATZKY: I am a big believer in the fact that boring investing is going to be best for most people. You want to be putting money into the market at all levels, because I can't call how high or how low this market is going to go. and neither can any of the people who claim that they can.
The trick is regular investing, dollar cost averaging. Do it automatically so you pull the money out of your spending pile and move it over to your saving pile without ever having to think about it.
WHITFIELD: And so we know we can take away some great suggestions from your book, but we also can hear you on a regular basis now on XM Radio. Tell me what that's all about.
CHATZKY: That's right. I've joined Oprah and Friends, XM channel 156. I'm doing a radio show everyday. You can hear it on XM at noon and also it's repeated at 6:00 at night and 6:00 in the morning. And it's been terrific. We take your calls, answer your e- mails and, again, provide a forum to talk about all of these financial things that are on your mind.
(END VIDEOTAPE)
WHITFIELD: All right. Jean Chatzky, aren't we feeling rich already?
All right, well, it is election season. Could Republicans return to a Democratic Congress?
And express yourself this election year. We'll tell you how you can, right here in the NEWSROOM.
(WEATHER REPORT)
(COMMERCIAL BREAK)
WHITFIELD: With members of the House and Senate now headed for the campaign trail, the big question is, will the Republicans return to Capitol Hill as the majority after the midterm elections? With his take on the possible outcome, CNN's senior political analyst, Bill Schneider.
(BEGIN VIDEOTAPE)
WILLIAM SCHNEIDER, CNN SR. POLITICAL ANALYST (voice-over): Democrats are cautiously optimistic about regaining the majority in the House of Representatives, and increasingly hopeful of winning control of the Senate. Right now CNN estimates that 22 House seats could change parties, all in the same direction.
STUART ROTHENBERG, ROTHENBERG POLITICAL REPORT: If you look at the most vulnerable 15, 20, 25 congressional districts in the country that are most competitive that could turn, each and every one is a Republican.
SCHNEIDER: "National Journal" rank orders House seats according to how vulnerable they are to changing parties. You have to go all the way down the list to the 24th most vulnerable House seat before you find one currently held by a Democrat. Democrats need a net gain of 15 seats to win a majority in the House.
Fifteen out of 22 sounds tough but it looks increasingly doable. Republicans are in serious trouble in the suburbs, homeland of moderate voters, like the New York suburbs of Connecticut, the Philadelphia suburbs and the suburbs of Denver and Tucson. The Senate looks tougher for Democrats.
ROTHENBERG: I think the Republicans are still narrow favorites to hold the Senate, but there's been a fundamental shift in the way, I think, I and -- the way I view the race, and the way most handicappers view it.
SCHNEIDER: Right now, seven Republican Senate seats are at risk: Rick Santorum in Pennsylvania, Lincoln Chafee in Rhode Island, Mike DeWine in Ohio, Jim Talent in Missouri, Conrad Burns in Montana, George Allen in Virginia, and the Tennessee seat now held by retiring majority leader, Bill Frist.
The Democrats need to win six of those seven seats to control the Senate. That's tough. Five of those seven states voted to reelect President Bush in 2004. That's tougher. Democrats cannot afford to lose the one Senate seat they hold that may be in trouble: New Jersey. They say a week is a long time in politics.
ROTHENBERG: Three weeks from now, we could decide that the Democrats have a better chance in the Senate than the House. Things are shifting. It's -- there are a lot of unknowns.
SCHNEIDER (on camera): What is known is that national conditions favor Democrats. Republicans are borrowing a bit of wisdom from a Democrat, the late House Speaker Tip O'Neill, who said "all politics is local." Which is true, except when it isn't true. Maybe, Democrats hope, this year.
Bill Schneider, CNN, Washington.
(END VIDEOTAPE)
WHITFIELD: And perhaps you've seen it, CNN's Election Express Bus passing through your neighborhood. Well, right now, the Express Bus tour is crisscrossing across the country to find out what's on your mind this election season.
And with the upcoming release of Bob Woodward's latest book, "state of Denial," the future of Defense Secretary Donald Rumsfeld was topic number one. We caught up with some prospective voters at the Los Angeles County Fair, and this what they had to say about the job he's doing.
(BEGIN VIDEO CLIP) UNIDENTIFIED MALE: I personally think he's doing fine, but I'm not in the position to evaluate. You know, other people spend hours researching that kind of stuff. I don't pretend to have that knowledge.
UNIDENTIFIED FEMALE: But your gut feeling?
UNIDENTIFIED MALE: My gut feeling is that he's fine.
UNIDENTIFIED MALE: I think for the most part he's doing the best job that he can with the conditions that he has.
UNIDENTIFIED MALE: I feel that a lot of the decisions they have made have been pretty risky to the American, just way of life, and I would like to see a change.
(END VIDEO CLIP)
WHITFIELD: Well, CNN's Election Express is in L.A. all weekend and then it moves on to Albuquerque, New Mexico next week. So look out for it, the Express Bus.
A famous poet and a newly discovered piece of work. Can it be? A Robert Frost poem found after 88 years with a surprisingly timely topic. That's next in the NEWSROOM.
(COMMERCIAL BREAK)
WHITFIELD: Welcome back to the NEWSROOM this weekend. An unpublished poem by Robert Frost has been rediscovered. Title? "War Thoughts at Home," pretty poignant during this time of war. The poem was first seen in 1918 when Frost inscribed it in a copy of his "North of Boston" collection, but it wasn't seen again until a University of Virginia graduate student spotted it recently while looking through Frost's papers. The poem will appear next week in the "Virginia Quarterly Review."
And a look at the top stories in a moment, but first, a preview of "IN THE MONEY."
JACK CAFFERTY, CNN ANCHOR: Thanks.
Coming up on "IN THE MONEY," selling out versus sitting tight. Find out what the latest numbers can tell us all about buying or selling a home.
And getting under Detroit's hood -- we'll hear from the boss of Renault and Nissan about the state of the U.S. car business. Not as good as it could be.
The box versus the screen -- see which has more political clout for The buck, the independent documentary, or talk radio. Here's a hint. Talk radio.
All that and more right after a quick check of the headlines.
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