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NASA Troubles; NFL Star In Court; Train Derailed In Ohio; Gerri's Mail Bag

Aired July 27, 2007 - 10:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

HEIDI COLLINS, CNN ANCHOR: A report says astronauts were DUI on their ride into space.
And new this morning, blasts by Pakistan's Red Mosque. A deadly explosion near the sight of a bloody uprising.

It is Friday, July 27th. You are in the CNN NEWSROOM.

Unfolding this hour, were they plastered when they blasted off? A report about drunken astronauts causing new problems for NASA. The report does not say when the two incidents allegedly took place. CNN's John Zarrella has been working this story, live now from Kennedy Space Center.

So, John, what is NASA saying about all of this?

JOHN ZARRELLA, CNN CORRESPONDENT: Right now they're not saying a word. Nothing at all. There will be a news conference at 1:00 this afternoon out of Washington where some of the members of this panel that was set up in the wake of the Lisa Nowak incident back in February, the love triangle involving the two astronauts and another employee of the Air Force.

Now that panel was set up to look at psychological and mental screening processes that NASA had in place to screen astronauts. And as a result of this, and out of this investigation, has surfaced apparently this incident where two astronauts, at least on two occasions, were allowed to fly inebriated even though warnings were put out by the flight surgeons and other astronauts said, hey, these guys pose a flight risk.

But NASA is not saying anything about it. And what they are saying is that apparently some of this information may have come from anonymous interviews and be unsubstantiated. So I'm really not sure what more we're going to get out of this news conference when it actually does take place.

COLLINS: Yes, certainly, it will be interesting. And there's another incident that they are going to be talking about, dealing with a case of sabotage to a computer. Fill us in on this now.

ZARRELLA: Yes, that's right, a double whammy, Heidi, for NASA yesterday. Following the flight readiness review here at the Kennedy Space Center for the shuttle Endeavor, which is scheduled to lift off on the 7th of August. NASA's officials came out and said, look, we've also had an incident of apparent tampering, sabotage, with a piece of computer hardware that was scheduled to fly up on board the shuttle Endeavor. Wires were cut.

And it was not a computer that was going to be instrumental or be used for any kind of navigational issues, on the shuttle or on the International Space Station. It was being carried up to the Space Station for other purposes. So it never posed a flight safety risk.

But, none the less, it apparently was sabotage. NASA is not saying on this case either who the subcontractors were involved in building this computer. But they are saying the incident is being investigated as a case of deliberate tampering.

COLLINS: Boy, it's just really, really strange. All right. John Zarrella, live from Kennedy Space Center this morning. And just as a reminder, NASA will respond to the report of astronauts flying under the influence. The space agency is going to be holding a news conference 1:00 p.m. Eastern. You will see it live right here in the NEWSROOM.

On Wall Street now, are investors getting any release after yesterday's plunge? Susan Lisovicz at the New York Stock Exchange to bring us up to speed. We keep watching those numbers this morning.

Susan.

(STOCK MARKET REPORT)

COLLINS: And we are learning more this hour about a bombing in Pakistan. A deadly blast at a restaurant near the Red Mosque in Islamabad. It happened just a short time ago. Ten people dead, 39 injured.

Today marked the first time worshipers were allowed inside the mosque since a bloody siege there earlier this month. Dozens of people were killed then. Muslim students have been clashing with police. Many want to impose a Taliban-style Islamic government. We'll watch that story for you.

And in Alabama early today, a terrifying head-on collision between an SUV and a Greyhound bus packed with people. Police say the sports utility vehicle was going the wrong way on the interstate in Montgomery when it slammed into the bus. The SUV driver was killed. At least 13 people on the bus were hospitalized with moderate to serious injuries.

Want to get a look at the weather situation now.

Rob, we keep talking about Texas, a little bit more about Arizona. I always like to ask, is there anything good happening?

(WEATHER REPORT)

COLLINS: Reality star Nicole Richie playing an all too real role of defendant. She heads to court today to answer charges in her DUI case. Richie was arrested last December after allegedly driving the wrong way on a California highway. The TMZ Web site says she will plead guilty or no contest to driving while under the influence. The site says a court commissioner will sentence Richie immediately. Sources tell TMZ, Richie will serve a minimum of five days in jail since this reportedly would be her second DUI convention.

A toddler tumbles six floors and he's just fine.

Police searching an accused sex offenders's home, walk into a potentially hazardous situation. Neighbors are terrified.

Just women behind the wheel. Just women in the back. New taxi companies taking fares and faring well.

An NFL star facing federal charges and public outrage. We'll get a unique perspective. An attorney who successfully guided his NFL client through a murder trial. That's next in the CNN NEWSROOM.

(COMMERCIAL BREAK)

COLLINS: Welcome back, everybody. I'm Heidi Collins. You're in the CNN NEWSROOM.

Building the U.S. embassy in Baghdad. Forced labor or unfounded accusations?

(COMMERCIAL BREAK)

COLLINS: NFL star Michael Vick. The clock's now ticking toward his November trial on dogfighting charges. The federal prosecutors say they could seek more charges and more defendants in the dogfighting case.

CNN's Kyung Lah is in Richmond, where the case is on the docket.

Good morning to you, Kyung.

KYUNG LAH, CNN CORRESPONDENT: Good morning, Heidi.

What you're talking about is something the prosecutors announced they would be filing as soon as the end of August, is called a super ceding indictment. A second indictment, if you will, that could name some new defendants, some new charges and for the public, it could also give them more details about exactly what happened inside the Vick home -- what's alleged to have happened inside the Vick home. The government clearly continuing to build its case against Michael Vick.

(BEGIN VIDEOTAPE)

LAH, (voice over): This is not the sort of crowd NFL pro Michael Vick is used to. Ignoring the cheers and jeers, the quarterback walked into the federal courthouse. One of his attorneys, appearing with Vick's mother, read a statement from the football star after he entered his plea.

BILLY MARTIN, VICK'S ATTORNEY: I pleaded innocent to the allegations made against me. It has caused pain to my family and I apologize to my family. I also want to apologize to my Falcon teammates.

LAH: At the Atlanta training camp, protesters held up signs outside while the team practiced on their opening training day. Vick's teammates say it was a tough day without their team leader.

WARRICK DUNN, FALCONS PLAYER: He has to go through his situation, due process, right now, in the courts. And hopefully he's back. But if not, we have to go on.

LAH: The indictment detailed allegations of dog fighting at Vick's Virginia home. Brutal, bloody fights between dogs and the execution of underperforming animals by electrocution, gunshots and hanging. Gruesome details that drove animal lovers to line the streets of the courthouse, does in toe, some dressed with a message.

ALLISON DREZEK, DOG OWNER: People like -- who do this are pitting their dogs, you know, they're treating them -- they're children. You know, they're acting like they're pitting children against each other.

LAH: But in the crowd, there were Vick supporters.

WILLIE WILLIAMS, VICK SUPPORTER: Let this man be innocent until proven guilty and then we'll see.

(END VIDEOTAPE)

LAH: No bail was set. Vick was released with restrictions until his trial begins on November 26th.

Heidi.

COLLINS: Any restrictions that Vick is going to be facing until that trial actually begins?

LAH: There are a number of restrictions he's going to be facing. He was, first of all, ordered to hand over his passport. He was ordered to hand over his dog breeding license. And he was also -- and this is quite curious for an NFL football player to deal with -- he was told that he cannot leave the district of his primary residence without court approval. So that's certainly going to be a challenge for him if the NFL decides that he can, indeed, play. But remember, the NFL, right now, is conducting its own investigation of his conduct.

COLLINS: All right, Kyung Lah, we appreciate that, updating us on the case of Michael Vick.

And now our next guest successfully represented an NFL star in a double murder case. Atlanta Attorney Ed Garland worked out a plea agreement for Ravens linebacker Ray Lewis. Murder charges were dropped halfway through the trial. And joining us now with a pretty unique perspective on this.

I wanted to beginning, Ed, with a little bit more about this superseding indictment that we just learned about from Kyung Lah. Does this actually look like it would be good news for Michael Vick or bad?

EDWARD GARLAND, CRIMINAL DEFENSE ATTORNEY: Well, Heidi, I don't think it is good or bad news. What will happen probably is the trial will probably be delayed. And people will come out of the woodwork in this high-profile case with allegedly new information. A lot of people are looking for a ticket out of jail and they'll look up and see that Michael Vick is that ticket.

So there will be new information. A lot of it may be lies. The government will try to analyze that. There will be new defendants, new facts, more investigation. So it's a probable delay and can go either way.

COLLINS: Yes. All right. Well, let's listen to some of the defense strategy, or at least what people are talking about could be involved in a defense strategy. This is Mickey Sherman, a very well- known defense attorney. Let's listen for just a moment.

(BEGIN VIDEO CLIP)

MICKEY SHERMAN, DEFENSE ATTORNEY: I would be making a deal as quickly as possible. I would be doing what they call a mea culpa. I would admit responsibility. I would be asking for mercy, for forgiveness and just explaining how incredibly student my client was and how he is going to make amends to society.

(END VIDEO CLIP)

COLLINS: Always blunt works from Mickey Sherman. Do you think that's a good plan, to do a plea deal here? This is what you did with Ray Lewis.

GARLAND: I think it's too early to say that. It depends on what the facts are. Mere presence at the scene of a crime is not a crime. Merely owning a house is not a crime. The real question is, was he in the conspiracy? Is he guilty? And I don't think anyone who is not his attorney and has the facts could make that judgment at this point.

COLLINS: Yes, nobody knows just yet. Is there any way to, though, to turn the tide here in Vick's favor at this point?

GARLAND: I think the way to turn the tide is to develop, through his counsel, a path to victory. And that's how you handle the press, how you handle the investigation, how you master the law in facts, how you deal with the judge, the prosecutors, and see, is there a way to win the case? After that determination is made and you know how you're going to go and control the case and control what's happening around you, then the decision could be made. But no one now can be an armchair quarterback and say how this case should be handled. Billy Martin's got a great responsibility and a hard job in front of him.

COLLINS: Yes, in fact, let's talk about Billy Martin for just a moment. Because when you talk about control, a lot of that ends up being the media and how this is seen in a media when you're defending a case. He read a prepared statement from Michael Vick yesterday, some of which we just heard in Kyung Lah's actual piece. Is that enough or do you think that Vick should actually go to the microphone and speak up for himself?

GARLAND: I think at this stage, that's enough. I think Billy Martin is trying to control what is a caldron of information. And he is having to gather facts. At some point, however, he may want to present Michael Vick.

COLLINS: What do you think Vick would say at this point in his defense if he were to take the stand? I mean does he immediately start apologizing? Does he say, yes, I did do it? Or -- it's a tough call.

GARLAND: It will be a very tough call whether he takes the stand. Certainly the key fact here, was he part of the conspiracy or was he a bystander? Did he just have some connections to it? Was he in this conspiracy? And was there a conspiracy? So he'll have to be prepared to answer that question.

COLLINS: You know, I often wonder, too, as a defense attorney, what do you say, if anything, to the fans or the kids who look up to Michael Vick, who are wearing his jersey around town at their little football practices? Anything?

GARLAND: Well, yes, he will have to at some point. If he ultimately admits guilt and says he's guilty, he's going to have to come forward and say, as we have done for clients, I made a mistake. You learn from your mistakes. You take your punishment and move on. If he is acquitted, he talks about what it's like to go through the ordeal and the greatness of the American system of justice.

COLLINS: And it's going to be a long, long proceeding. I think we've already determined that. Ed Garland, we appreciate your time here today.

GARLAND: Certainly. Thank you.

COLLINS: Thank you.

GARLAND: I enjoyed being here, Heidi.

COLLINS: Thank you.

GERRI WILLIS, CNN CORRESPONDENT: I'm Gerri Willis.

Do you have an adjustable rate mortgage? And is the interest rate going up? What can you do? "Top Tips" is next in the NEWSROOM.

(COMMERCIAL BREAK)

COLLINS: Some news just coming into us here in the NEWSROOM about an overturned train in Ohio. Fredricka Whitfield is working this story.

Fred, what do we know?

FREDRICKA WHITFIELD, CNN CORRESPONDENT: Right, in Hamilton, Ohio. Not far from Cincinnati. And it really looks worse than it is. Looks worse meaning, thankfully, no reported injuries.

But you're looking at a couple of the trail cars right there that derailed. In all, 20 train cars derailed. Grain on the train, now grain off the train. Grain, as well as soybeans that was being carried by this train are just spilled out there in the grassy area. You're looking at live pictures thanks to our affiliate there out of the Cincinnati area.

It's unclear exactly what caused this train to derail, but it's a real nightmare, at least for those who expecting that grain delivery there. And as I said, fortunately, no reports of injuries. Just right now really is something to see, especially when you're driving alongside the road, which is just to the right of this live picture. As we pull out here, you'll get a chance to see the onlookers as they drive by to see this train that has run into some problems there on the tracks there in Hamilton.

Heidi.

COLLINS: Boy, yes, that is quite a sight.

WHITFIELD: Yes, it is.

COLLINS: The train's now gluten-free, no grain on board.

WHITFIELD: No grain on the train.

COLLINS: Fredricka Whitfield, thanks so much for that. We'll continue to watch that.

WHITFIELD: OK.

COLLINS: Meanwhile, still watching this, of course, and we're loving that plus sign right there. The Dow Jones Industrial averages up about 25 points. Also can report to you, the Nasdaq also up three points. S&P also up three points. See, just good news here, people. That's what we like to see. But we'll continue to watch it. It's a long day ahead, of course.

The value of the dollar and adjustable rate mortgages. Just some of the topics from you, the viewers. We always love to hear from you. Here to answer the e-mails, CNN's personal finance editor Gerri Willis.

Gerri, good morning to you.

WILLIS: Hey, Heidi. Good to see you.

COLLINS: Yes, why don't you go ahead and get to the first one for us. Let's put it on the screen, if we could.

WILLIS: Yes. There we go.

COLLINS: "Are mutual funds or retirement plans protected if bankruptcy and/or a foreclosure occurs?" Coming in to us from someone who wanted to remain anonymous. WILLIS: And, well, it's a great question. And you should know an investment that's in your name, like a mutual fund, is not protected from creditors in cases like bankruptcy or foreclosures. It's treated like any other asset. Retirement plans, like pensions and 401(k)s are safe from creditors. IRAs are also safe, in most cases, although the law varies from state to state. So you have to check that out. And just as an aside, you should know the IRS can take assets that other creditors can't.

COLLINS: All right. Great information there.

Eric, now, from Virginia is writing in. He wants to know about his adjustable rate mortgage. This is an ARM,. obviously. He says that "we have an ARM mortgage that is again going up. How can someone refinance with bad credit? We have been working on this, but we still get turned down. What else can we do?

WILLIS: This is frustrating. A lot of people are in this situation right now. It's a problem we've been seeing for quite some time. If you really want to refinance, you're going to have to focus on improving your credit score. Pay your bills on time. It's back to basics. The longer you do this, the better your score. Don't carry large balances on credit cards. And apply for new credit cards only when you have to. Remember, past credit problems impact your score less as time goes on.

And in the short term, if you think you're going to have trouble making your payments, you should contact your lender to see what arrangements you can work out. And, Heidi, as we know, lenders are a lot more forgiving right now because of what's going on in the market.

COLLINS: Yes. Yes. Certainly.

We've got the last one here from Tracy in New York. She wants to know, "since the U.S. dollar is doing so poorly against the euro, do you think we should convert our vacation money early before it gets worse or when we arrive in France?" Does it make a difference?

WILLIS: Tracy should be playing the market. You've really got a gambling fever there. Look, nobody can predict moves in foreign exchange markets. If you could, you would own an island somewhere. But we can tell you the daily shifts of the dollar against the euro, they're not too much to worry about.

If your trip is a few months out, it may be more prudent to wait to convert your money in case, hey, there's an emergency and you need to cancel your trip. If you want to make the most of your money while on vacation, make sure you avoid changing money at U.S. airports or European hotel desks. The rates there aren't favorable. You'll also want to avoid those buradashon (ph) kiosks, if you can. Instead, use foreign ATMs to get cash.

Otherwise, your bigger ticket items are on your credit card. That's the best way to pay. And your issuer may only charge you 2 percent to 3 percent. Call ahead to your credit card company and find out what the conversion rate is. And no matter how careful, Heidi, we try to be with our money, everybody makes mistakes. We want to hear about your money bloopers so we can help other viewers avoid the same kind of mistake. So send us your stories to toptips@cnn.com. We'll report on them. We'll get back to you. And we always love getting your e-mails.

Heidi.

COLLINS: Money bloopers. I like that.

WILLIS: We like money bloopers.

COLLINS: All right. I bet there's a lot of them that everybody can make everybody else feel better because they, too, have made those mistakes.

CNN personal finance editor Gerri Willis.

Thanks, Gerri.

WILLIS: Thank you.

COLLINS: A toddler tumbles six floors. And, believe it or not, he's just fine. We'll tell you that story.

And Michael Moore says he's been served. Subpoena watch in the filmmaker's White House feud.

(COMMERCIAL BREAK)

COLLINS: Good morning once again, everybody, 10:30 Eastern time now.

The White House defending Attorney General Alberto Gonzales. Earlier this week, he testified the president's secret terrorist surveillance program was not the topic of a hospital room dispute between administration officials, but FBI Director Robert Mueller indicates it was.

CNN White House Correspondent Suzanne Malveaux has more.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, WHITE HOUSE CORRESPONDENT (voice-over): President Bush and Pennsylvania Republican, Congressman Arlen Specter, friends on the ground in Philadelphia, but aboard Air Force One, the respected member of his own party goes to the back of the president's plane to talk to the press and slam his Attorney General Alberto Gonzales. Tells reporters the hearings focusing on Gonzales have been devastating and that Mr. Bush's basis for keeping him is out of loyalty.

Back in Washington, Senate Democrats formally call for an investigation into whether Gonzales committed perjury.

SEN. CHARLES SCHUMER, (D-NY) JUDICIARY COMMITTEE: He tells the half-truth, the partial truth, and everything but the truth.

SEN. DIANNE FEINSTEIN, (D-CA) JUDICIARY COMMITTEE: Obfuscation, prevarication, and untruths.

MALVEAUX: Despite Specter's complaints about Gonzales aboard Air Force One, later back in Washington, he threw him a lifeline.

SEN. ARLEN SPECTER, (R-PA) JUDICIARY COMMITTEE: I think that Senator Schumer has made a practice of politicizing this matter.

MALVEAUX: On the same day, the president's top political strategist, Karl Rove, was subpoenaed by the Senate Judiciary Committee to provide testimony about his role in the controversial firings of nine U.S. attorneys. President Bush is standing by his man. Press Secretary Tony Snow.

TONY SNOW, WHITE HOUSE PRESS SECRETARY: Members of the Senate, in each and every state, seemed to have been inclined toward confrontation.

MALVEAUX: With 18 months left in office and his approval ratings hovering in the low 30s, some political analysts believe the president needs to compromise.

DAVID GERGEN, FMR. PRESIDENTIAL ADVISER: I understand why the White House may feel if we give in a little bit, they'll open the floodgates, but you know, the floodgates are already open.

MALVEAUX (on camera): Republican strategists say look to September for everything to come to a head as members of Congress return from their August recess to focus on the next Iraq progress report and the attorney general.

Suzanne Malveaux, CNN, the White House.

(END VIDEOTAPE)

COLLINS: Lucky to be alive. A 2-year-old falls from a six-story apartment window and suffers only minor injuries. It happened in Colonie, New York. The boy's father says his son landed in some shrubs and he has no broken bones. According to police, the mother was in another room when the boy climbed up on some toys and fell.

What was supposed to be a routine search of an alleged sex offender's home turns into a potentially hazardous situation in Ohio.

Tacoma Newsome of our affiliate station WCMH explains.

(BEGIN VIDEOTAPE)

TACOMA NEWSOME, WCMH REPORTER (voice-over): All of the commotion in this rural part of Pataskala started after 3:00 with police vehicles lining Main Street.

UNIDENTIFIED MALE: At first, I thought it was a drug bust. NEWSOME: But it was actually a routine search warrant being served at the home of Stanley Elliott (ph), who was indicted on charges of rape, gross sexual imposition, and kidnapping. And after police began searching the home, they found much more than they expected.

CHIEF CHRIS FORSHEY, PATASKALA POLICE DEPARTMENT: As we were conducting the search warrant, we found other items of interest, potentially mixtures that could be used in explosives and/or possibly some poisons of interest.

NEWSOME: That's when Pataskala P.D. obtained a second search warrant and called in the experts. Officials from the State Fire Marshal's office, Columbus Bomb Squad, FBI, Ohio National Guard and the Joint Terrorism Task Force all suited up to determine the risk. As a precaution, the road was shut down and some homes were evacuated. And while officials tried to assess the situation and secure the area, neighbors say the unknown was unsettling.

TIM DEAN, NEIGHBOR: You don't really know what he does have in the house. If it's big enough to affect your home, he's only three houses down, so, yes, it's very scary.

NEWSOME: Hazmat officials have not said what chemicals or explosives were found, but they say they are ensuring everyone in the vicinity is safe.

UNIDENTIFIED MALE: And it's better to, I wouldn't say overreact, but just to be very cautious, and take these precautions that we are.

(END VIDEOTAPE)

COLLINS: Altogether, WCMH reports seven local, state, and federal agencies responded to that scene.

Your tax dollars at work, allegations of trafficking and abuse of workers by the company building the U.S. Embassy in Baghdad.

CNN's Zain Verjee has that.

(BEGIN VIDEOTAPE)

ZAIN VERJEE, STATE DEPT. CORRESPONDENT (voice-over): Behind the walls of the Green Zone in Baghdad, charges of slave labor, allegations the new U.S. Embassy compound is being built by trafficked workers from Asia and Africa who were beaten and subjected to squalid living conditions.

Former employees of First Kuwaiti General Trading and Contracting Company, the contractor building the 600 million dollar embassy, are making some of the charges. John Owens, who's now suing the company, says he resigned in protest.

JOHN OWENS, FORMER FKTGC EMPLOYEE: The conditions were deplorable beyond even what a working man should tolerate. Foreign workers were packed into trailers very tight. There was insufficient equipment and basic needs like shoes and gloves.

VERJEE: Rory Mayberry says he was fired from the company for complaining about the conditions. He says the workers were told they were going to Dubai, but ended up in Baghdad.

RORY MAYBERRY, EX-SUBCONTRACT EMPLOYEE, FKTGC: I believe these men were kidnapped by First Kuwaiti to work on the U.S. Embassy. They had no passports, because they were confiscated at the Kuwait airport. When the airport -- when the airplane touched down in Baghdad, they were loaded onto buses and taken away.

VERJEE: In a statement, First Kuwaiti denied the allegations, calling them absolutely ludicrous and accusing both men of having a personal interest in making false charges. The State Department's Inspector General traveled to Baghdad last year, and after what he calls an extensive investigation, reported, "Nothing came to my attention evidencing any trafficking in persons or human rights abuses."

HOWARD KRONGARD, STATE DEPT. INSPECTOR GENERAL: I see some of the allegations that were made. They were contrary to what I saw and experienced.

VERJEE: A separate investigation by the U.S.-led coalition in Iraq cleared First Kuwaiti of wrong-doing. First Kuwaiti is still a U.S. contractor and working on embassy projects in Asia and Africa.

(on camera): Some officials at the State Department are still worried that First Kuwaiti may be treating its employees like trafficked workers. The Justice Department says it's launching a preliminary investigation to see if these allegations warrant further investigation.

Zain Verjee, CNN, Washington.

(END VIDEOTAPE)

COLLINS: A third person has died from an explosion in California's Mojave Desert. The blast happened yesterday at the Mojave Air and Spaceport during a test involving nitrous oxide. The site is used be an aerospace firm that built the first private man- rocket sent into space. Thursday's explosion initially killed two people at the scene and critically injured four others, all employees of the aerospace company.

Just women behind the wheel, just women in the back. New taxi company taking fares and faring well.

More trouble for the director of "Sicko." Michael Moore says the Bush administration has subpoenaed him.

(COMMERCIAL BREAK)

COLLINS: Want to update you on that story that we've been telling you about out of Ohio, a train derailment there.

Fredricka Whitfield is working that story, had a little bit more information for us.

Hi there, Fred.

FREDRICKA WHITFIELD, CNN ANCHOR: Hello to you.

All right, this in Hamilton, Ohio, just outside of Cincinnati. You're looking at taped pictures right now. Grain on the train has been spilled as a result of 20 of the train cars derailing. It's still unclear exactly why they derailed, but this railroad taking place right alongside a pretty busy roadway, so a lot of rubbernecking going on today this morning.

It happened about 7:00 local time there in Hamilton. And fortunately, no reports of injuries. Just for now, it's going to be a real nightmare trying to clean it all up and get the railway back rolling again -- Heidi.

COLLINS: Yes, boy, it looks like it. All right, Fred, thanks for that.

Want to also show you this. Once again, we are watching these numbers closely for you today. The DOW Jones Industrial averages down about five points now. It is a roller coaster, isn't it? NASDAQ's also down three points. Last time we checked, everything was on the positive side of things, so, we'll continue to watch it very closely.

Meanwhile, men need not apply or ride, for that matter. It's a women-only -- it's women only, at a new taxi company. Want to show you the report from CNN's Aneesh Raman.

(BEGIN VIDEOTAPE)

ANEESH RAMAN, CNN CORRESPONDENT (voice-over): It's a sight rarely seen in Iran, not just two women trying to fix a car, but two drivers for a new cab company. Their motto is simple: only women cabbies, only women passengers.

ELAHEH GHOLI, FEMALE TAXI DRIVER (through translator): There are still men who will not allow their wives to go outside unless it's with another woman, so they trust us.

RAMAN: The company is six months old, and there are still lessons to be learned. Our driver unsuccessfully tried to help. But the real help came back at headquarters where prospective drivers face a series of classes, from mechanics, to working a GPS navigation system. These women are the first taxi drivers in the country to use the device.

(on camera): Right now, there are about 250 taxis on the road, but things are going so well, they're set to expand and hit 2,000 in the next six months.

(voice-over): At central dispatch, the calls keep coming in. Here, almost every employee is a woman, except for the boss.

"We'll succeed not just in Iran," he says, "but eventually in Dubai, Turkey, and Syria."

Successes come in part because of the service, but also because of the job opportunity. With so many women eager to make money, these classes are packed, the students all ages. Tajma Hadi (ph) is 63.

TAJMA HADI (through translator): My children have been to university, but they don't have jobs. I need to make money.

RAMAN: Tajma and the others make about $30 a day, but often, those like Masume, try to work overtime.

MASUME (through translator): This has always been a job I wanted to do. I've always loved driving, not just small cars, but big trucks, too.

RAMAN: Masume's dad used to drive big trucks and at 17, gave her a chance to try. She was hooked.

MASUME (through translator): There is nothing bad about this job. You have variety and you see different people every day.

RAMAN: And the one thing the drivers here over and over again, from regulars like Roya (ph), is how important this service is.

ROYA (through translator): At times like when I'm out at night, I would much rather have a woman driver. I feel more comfortable, more at ease.

RAMAN: Which is good news for women cabbies, as more and more are hitting the road.

Aneesh Raman, CNN, Tehran.

(END VIDEOTAPE)

COLLINS: Still ahead, Nicole Richie leading a not so simple life. The reality TV star headed to court next hour, and possibly jail. The story, just ahead.

But first, let's go ahead and check in with T.J. Holmes and Betty Nguyen for a look at what they are working on for tomorrow morning.

(BEGIN VIDEOTAPE)

T.J. HOLMES, CNN ANCHOR: Hello there, this weekend is a scary time for homeowners.

BETTY NGUYEN, CNN ANCHOR: That's right. Sales, they are dropping, home values are falling, and foreclosures are skyrocketing.

HOLMES: Yes, we're going to sort through the mortgage mess and help homeowner's hang on with their hard-earned cash with some tips from our consumer guru, Gerri Willis.

NGUYEN: Also, we want you to take a look at this because Texas still waterlogged, and now the Lone Star state is bracing for even more flooding this weekend. We're keeping an eye on the situation and we'll have the very latest on the extreme weather.

HOLMES: And you coffee lovers out there, we've got one for you. Do you know how many Starbucks there are in Manhattan? We're going to talk to a man who knows very well how many there are, because he visited all of them in a single day. And now, he's turned his caffeine buzz into an Internet sensation.

NGUYEN: Yes, and he hasn't slept since then.

Want to let you know that we've got that, so grab your cup of joe and watch us, 7:00 a.m., starting tomorrow morning.

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COLLINS: You already know to catch us weekday mornings from 9:00 until noon Eastern, but did know that's not all? You can take us with you anywhere on your iPod. The CNN NEWSROOM podcast available 24/7 right on your iPod.

Well, this is one cat you won't want curling up next to you, that's for sure.

CNN's Jeanne Moos on the grim kitty.

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JEANNE MOOS, CNN CORRESPONDENT (voice-over): Talk about a feline fatal attraction.

UNIDENTIFIED FEMALE: Every time this cat shows up, somebody dies.

MOOS: But don't die laughing because this is no joke. Two-year- old Oscar lives on the advanced dementia floor here at Steer House Nursing Center in Providence, Rhode Island. According to an essay in the respected "New England Journal of Medicine," Oscar has an uncanny ability to predict when a patient is about to die.

DR. DAVID DOSA, ESSAY AUTHOR: He does a much better job than any of us.

MARY MIRANDA, NURSE, STEERE HOUSE: It's been about 25 times in the two years.

MOOS: About 25 times that Oscar has walked into a room, sniffed around, and settled in just two to four hours before the patient passed away.

STEVE FARROW, EXEC. DIR., STEERE HOUSE: Oss (ph) just stays, curled up on the bed and stays there until death.

MOOS: In the words of one Internet poster, isn't that Dr. Kevorkian's cat? Now, we've covered plenty of weird cat stories, from the cat with two tongues to the cat who dialed 911 by pressing speed dial.

UNIDENTIFIED FEMALE: 911.

MOOS: Dogs have likewise helped their owners.

911 DISPATCHER: 911. Hello?

MOOS: But getting help is one thing, predicting death another.

MIRANDA: It's one of these things where you just go, you know, go hmm ...

MOOS: Animal behaviorist Dr. Nicholas Dodman has two theories. He notes that, "Cats can read body language like we read books," so Oscar may be picking up cues from the staff. And, "Cats can smell things we can't imagine."

As we die, there are biochemical changes that could change our scent. Maybe you've seen how dogs can be trained to sniff out cancer from breath samples.

UNIDENTIFIED FEMALE: Six times out of six attempts, Kobe (ph) gets it right.

MOOS: And there are anecdotal stories of cats repeatedly pawing at their owner, and cancer being diagnosed at that exact spot, leading to jokes about "Mom's cat scan."

Nurses say most relatives of dying patients seem comforted by Oscar, while the patients themselves are generally unaware, and if relatives object to his presence ...

MIRANDA: We've told them just close the door. He will pace outside that room.

MOOS: Oscar's even received an award from a hospice association. Move over Morris.

UNIDENTIFIED FEMALE: Where were you? I was so worried.

UNIDENTIFIED MALE: Good, always keep owners guessing.

MOOS: But there's no second-guessing at this nursing home when the grim kitty shows up.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

COLLINS: Oh, Oscar.

Still ahead, sports scandals, what do you tell your kids when their idols fall from grace?

Also, plastered during blast off, reports of astronauts flying while intoxicated. More questions for NASA. Today, the space agency responds.

And, what makes a terrorist?

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: The participants themselves are coming from privileged backgrounds. They're not uneducated. They have extreme views, and I think what's motivating them is their twisted ideology, their passion for their cause.

(END VIDEO CLIP)

COLLINS: Willing to kill, willing to die.

You are in the CNN NEWSROOM. We're back in just a moment.

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COLLINS: All eyes on the DOW, seesawing this morning after a huge downer of a day. We are watching those numbers for you.

Meanwhile, doctors, engineers, professionals, and terrorists. But just what makes a terrorist?

CNN's Jill Dougherty asks the man who wrote the book.

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JILL DOUGHERTY, CNN CORRESPONDENT (voice-over): What kind of person would load his car with propane, ram it into an airport terminal, setting off an explosion that almost burned him to death?

PROF. ALAN KRUEGER, PRINCETON UNIVERSITY: I think we often have the view that only someone who has nothing to live for would blow him or herself up in a terrorist attack, yet I think we should think about it as who believes in something so strongly, that they're willing to die for it.

DOUGHERTY: When news broke that most of the terrorists who carried out that attack and another botched one in London were medical professionals, it did not surprise Alan Krueger, a Princeton University economist. His new book, "What Makes a Terrorist?" contradicts the image of terrorists as poor, uneducated, with nothing to lose.

KRUEGER: The participants themselves are coming from privileged backgrounds, they're not uneducated. They have extreme views and I think what's motivating them is their twisted ideology, their passion for their cause, which I think blinds them to the collateral damage that they're causing.

DOUGHERTY: A prime example, Osama bin Laden, an engineer from a wealthy Saudi family. His deputy, Ayman ala Zawahiri (ph), a doctor. And it's not just the people at the top of terrorist organizations, Krueger says. Four young men who set off bombs in cars and on a bus in London in July 2005, killing 52 and injuring more than 700, were educated and middle class. A Princeton study of Palestinian suicide bombers shows they were better educated and better off economically than Palestinians in general.

What motivates many terrorists, Krueger says, is not anger over poverty, but anger over a lack of civil liberties. Timothy McVeigh, the Oklahoma city bomber, for example, was enraged over government restrictions on gun ownership and its bloody crackdown against a heavily armed religious cult in Waco, Texas.

Contrary to the image of irrational rage, Krueger says, terrorists often appear to be acting rationally.

KRUEGER: They seem to be responding to political factors. The timing of their acts seem to be closely connected to when they can have the greatest impact.

DOUGHERTY: Ultimately, Professor Krueger says, even for terrorists, there's a law of supply and demand. Terrorist organizations seeking out people smart enough to successfully carry out terrorist acts and terrorist foot soldiers willing to kill and to die to achieve their goals.

Jill Dougherty, CNN, New York.

(END VIDEOTAPE)

COLLINS: You're with CNN, I'm Heidi Collins. Tony Harris is off today.

Developments coming in to the CNN NEWSROOM on this Friday, July 27th. Here's what's on the rundown.

Wasted on the final frontier? A new report suggests astronauts were drinking more than tang before liftoff.

Also, off-road, into trouble. A truck hydroplanes, then slips. Two teens, two toddlers trapped.

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