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Pre-Winter Wallop; Saudi Rape Victim Pardoned; Holiday Surprise: What's in That Video Game?

Aired December 17, 2007 - 11:02   ET

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


HEIDI COLLINS, CNN ANCHOR: Want to head into the Great White North now. CNN meteorologist Reynolds Wolf has been brave. He's been out in the cold and snow all weekend. He keeps calling in and telling us what a difficult assignment this is.
He is in Syracuse, New York, for us now this morning.

Hey there, Reynolds.

REYNOLDS WOLF, CNN METEOROLOGIST: Hi there, Heidi.

It is over. It is over for the time being. The heavy snow has now moved out. We still have plenty of snow on the ground.

In fact, in Syracuse they had over 17 inches of snowfall in the city, and they're still working through it. In fact, we see some cars right here behind me just going through some of the streets that are well-plowed at this time, and thankfully the heavy snow is gone. But this was actually one tiny part of a tremendous storm system that affected millions of people.

(BEGIN VIDEOTAPE)

WOLF (voice-over): The furious storm blew from Michigan to Maine. Ten inches of snow in Michigan, up to 18 inches expected in New England. Hundreds of flights canceled in Chicago and over 100,000 without power in Pennsylvania. A roof of a drugstore in Boston collapsed into the weight of the snow.

UNIDENTIFIED MALE: I saw the exterior wall start to buckle, and then everything was just like a domino coming down.

WOLF: In Cleveland, the Browns battle the Buffalo Bills in the middle of a blizzard, while snowplows were out in full force in Vermont. At least three traffic deaths were blamed on the storm and in some places, visibility was so bad you couldn't see the car in front of you. You couldn't see many Christmas shoppers either.

Earlier reports suggest that blizzard dealt the holiday sales a heavy blow. But fans of teen singer Hannah Montana were not disappointed. The concert in Rochester, New York, went on as planned.

UNIDENTIFIED FEMALE: We would go through a snowstorm to see her.

(END VIDEOTAPE) WOLF: Heidi, nothing will stop the fans of Hannah Montana. That's one thing you have got to remember, not even this heavy snowfall.

The snow, as I mentioned, is gone. Things are going to look better for Syracuse for the rest of the week.

What we do anticipate though, is as we get towards the tail end of the week, there's a chance of another system, a weak clipper system passing just the northern half of the Great Lakes, and that could bring a few more information of some fresh snowfall.

Reporting from, well, becoming sunnily, mostly sunny Syracuse, let's send it back to you.

COLLINS: All right, Reynolds. Very good. Thank you.

Want to let you know the severe weather also heading to the South over the weekend. A tornado with wind gusts up to 109 miles an hour hit Pasco County, Florida.

The twister hit metal-framed tents at a jail. As you can see, it destroyed one of them. More than 200 inmates were there just before the storm, but no injuries were reported. The storm knocked out power for several hours for thousands of Tampa-area customers.

Three possible tornadoes struck south Georgia. Trees were downed, the roofs ripped from some of the homes, but fortunately no injuries reported there either.

A reminder though. If news is happening where you are weather- wise, that would be good if you could send us your video or photos. Just go to CNN.com and click on "I-Report," or type ireport@CNN.com into your cell phone. Just make sure you stay safe.

Country first, party second. The message from Senator John McCain. A short time ago he got an endorsement from across the aisle. Connecticut senator Joe Lieberman endorsed McCain in his Republican presidential bid. You saw it live on CNN this morning.

(BEGIN VIDEO CLIP)

SEN. JOSEPH LIEBERMAN (I), CONNECTICUT: I have seen John time and time again rise above the negativism and smallness of our politics to get things done for America, and I have seen him time and time again work with people on the other side of the aisle to make America stronger and safer.

(END VIDEO CLIP)

COLLINS: That endorsement was made in New Hampshire, where the country's first presidential primary happens next month.

Ron Paul on a money roll. His campaign says the Republican presidential candidate raised an astounding $6 million in a one-day Internet drive on Sunday. The latest fund-raising feat called "Money Bomb." Paul's campaign brought in $4.2 million in his last online fund-raiser.

On the Democrat side now, John Edwards set to pick up an endorsement today. Iowa's first lady, Mary Culver, expected to announce she's endorsing Edwards' bid for the presidential nomination.

Edwards is locked in a tight three-way contest with senators Barack Obama and Hillary Clinton in Iowa. State caucuses are January 3rd there. Culver's husband, Iowa governor Chet Culver, is making it clear he will remain neutral.

Want the most up-to-the-minute political news anywhere available? Well, check out CNNPolitics.com. It's the Internet's premiere destination for political news, CNNPolitics.com.

A special delivery for Iran -- nuclear fuel. Russia sent the first batch over yesterday as part of a $1 billion contract to help Iran build a nuclear power plant. But the U.S. and others are worried that Iran could eventually build nuclear weapons. Russia says Iran has promised in writing the fuel will only be used at this site.

And the International Atomic Emergency Agency is watching closely. Two weeks ago, a U.S. intelligence report said Iran stopped working to develop nuclear weapons in 2003.

They really wanted out. Two inmates chiseled through concrete for a daring escape.

(COMMERCIAL BREAK)

COLLINS: A grieving mother wants justice for her dead son. The 3-year-old died Saturday at an indoor play place in Washington State. Police say two adults landed on top of him while they were all playing on an inflatable jumping toy. The boy's mother says the play place didn't have enough supervision.

(BEGIN VIDEO CLIP)

REBECCA PIERCE, MOTHER: It's been an absolute shock. You know, you want to wake up from the nightmare, and the nightmare you'll never wake up from. There will be more charges filed, as far as I'm concerned. My son was taken from me. To tell with everybody else.

(END VIDEO CLIP)

COLLINS: The coroner ruled the death an accident. The play place does include an all-ages jump time and requires users to sign a liability waiver. The company has offered condolences to the family.

Some called it barbaric. A rape victim sentenced to prison and 200 lashes. But Saudi Arabia's king stepped in this morning.

CNN's Isha Sesay is in Mecca, Saudi Arabia, now for the beginning of the Hajj pilgrimage.

(BEGIN VIDEOTAPE) ISHA SESAY, CNN CORRESPONDENT: A Saudi newspaper is reporting that Saudi King Abdullah has issued a pardon for that female gang rape victim who was sentenced to 200 lashes and six months in prison for being alone with a man who is not her relative. Now, this is a case that has sparked widespread international criticism and really shone the spotlight of the treatment of women under Saudi Arabia's strict Islamic law.

(INAUDIBLE) widespread global media coverage of the story, last month it was reported that Saudi authorities would review the verdict. Now, according to media reports here in the kingdom, the justice minister is quoted as saying this move by the king does not mean he doesn't have faith in his judges, in the justice system. Rather, it is a move he's taken because he's looking after the well-being of his subjects. And so that is the view on that situation.

Now, we haven't heard from the victim herself, the woman at the center of this storm, but we have heard from her husband. She tells -- he tells CNN, rather, that he hasn't received an official letter from anyone in the government, but bearing in mind this pardon was reported in what is considered to be an official newspaper, he considers the situation to be confirmed, that his wife has now been pardoned.

He also wanted to express thanks to the king on his behalf and his wife's behalf, saying that this pardon really does lift the emotional and psychological stress that had been laying heavily on his family since this case, you know, really got out there into the public domain. But some people that we have spoken to have said that the move by the king does not go far enough.

There are concerns that this move is really a pardon, it's not an overturning of the verdict. And concerns that for other victims of sexual assault in the future, they, too, may face equally harsh treatment under Saudi law.

Isha Sesay, CNN, Mecca, Saudi Arabia.

(END VIDEOTAPE)

(NEWSBREAK)

(COMMERCIAL BREAK)

COLLINS: How do you greet people this time of year? Think hard because it could be worth some money, at least at one store in Tennessee.

Here is Anna Marie Hartman of affiliate WMC.

(BEGIN VIDEOTAPE)

ANNA MARIE HARTMAN, REPORTER, WMC (voice over): When Christmas rolls around stores in downtown Collierville are decked out with decorations. The local banners say "Happy Holidays." But inside the Hewlett and Dunne (ph) boot barn... UNIDENTIFIED FEMALE: Merry Christmas.

HARTMAN: ... "Merry Christmas" is the holiday greeting of choice.

DONNA BUCKNER, SALES ASSOCIATE: We got tired of everyone saying "Happy Holidays" when "Merry Christmas" is really what it's all about. It's about Christ, and so we wanted to make a stand on that.

HARTMAN: Here, Christmas is about more than selling boots and belt buckles. For the second year in a row, Hewlettt and Dunne (ph) they are encouraging customers to say "Merry Christmas."

UNIDENTIFIED FEMALE: Thank you. Merry Christmas and come back and see us.

HARTMAN: Collierville native Milton Mann appreciates the sentiment and the incentive to say it.

MILTON MANN, COLLIERVILLE, TENNESSEE, RESIDENT: You go in and say "Merry Christmas," and anything you purchase, you get a five percent discount.

HARTMAN: And a free button to boot.

BUCKNER: And they say it's all right to say "Merry Christmas."

HARTMAN: The "Merry Christmas" campaign has become a holiday tradition.

BUCKNER: We want people to know that it's not all about spending money.

HARTMAN: It's about preserving a holiday message with a phrase that's been around longer than 85-year-old Milton Mann.

MANN: And I'm glad to see the tradition carried on now. I think it's excellent.

(END VIDEOTAPE)

COLLINS: The store's owner says he wasn't looking to boost sales with the promotion, and he hasn't.

Video games, well, you know your kids want them this holiday season. But parents, do you really know what you're buying?

CNN's Fredricka Whitfield takes a look.

(BEGIN VIDEOTAPE)

FREDRICKA WHITFIELD, CNN CORRESPONDENT (voice over): Flying off the shelves, PlayStation, Wii, and Halo. When you buy any one of the hottest items on America's holiday wish list...

UNIDENTIFIED FEMALE: The orange box game. UNIDENTIFIED FEMALE: Halo and the heavenly game.

UNIDENTIFIED MALE: Well, it's the Mario.

UNIDENTIFIED FEMALE: I don't remember the names. I just know it's something, something rabbit.

WHITFIELD: Is it clear to you the images and the messages on these video games before the purchase?

(on camera): This is pretty overwhelming, yes?

UNIDENTIFIED FEMALE: Oh yes.

UNIDENTIFIED FEMALE: Especially for us.

WHITFIELD: Why is that?

UNIDENTIFIED FEMALE: Well, we don't play video games.

UNIDENTIFIED MALE: I mean, that's why they have the ratings and stuff like that, I guess, on them, so that you know what to get, right?

UNIDENTIFIED FEMALE: When I purchase a game, I'll either let my brother or their dad watch the game, actually, or they will play the game first and make sure it's not X-rated or anything.

WHITFIELD (voice over): A national poll indicates 72 percent of parents don't know what's inside the packaging of these games.

Fingers firmly on the controller, 12-year-old Reginald Miller (ph), along with his 9-year-old sister, Diamond (ph), are hooked. The reason? Shockingly clear.

(on camera): So tell me about this game. Why do you like it?

UNIDENTIFIED MALE: Because you get to kill people.

WHITFIELD: Speaking of making a killing, this is an $8 billion- a-year industry, outpacing the movie business. Game editor for "Paste" magazine, Jason Killingsworth -- no kidding, Killingsworth -- says this is hugely popular among all ages.

JASON KILLINGSWORTH, "PASTE" MAGAZINE: They Entertainment Software Association did a demographic test a little while back and they found that the average gamer age is 33. The people who are making these games are, you know, older, and they're -- you get the sense that they're making them for their peers. You know, that they're not necessarily making them for their, you know, younger nephew per se.

WHITFIELD: He showed me...

(on camera): All right. This is video gaming for the novice one. That would be me. (voice over): ... why it's all so in demand.

KILLINGSWORTH: Some of these games are so realistic, it's incredible.

WHITFIELD (on camera): Oh, my.

KILLINGSWORTH: Yes, that was...

WHITFIELD: That was rough.

KILLINGSWORTH: You can learn a lot just by looking at the rating on the game.

WHITFIELD (voice over): Oh, yeah? Labels, mostly on front, marked E for everybody, M for mature, and T for teens. It sounds simple enough.

KILLINGSWORTH: In some of the games you can actually turn the gore on and off. And a lot of parents, you know, probably don't realize that. With "Assassin's Creed," you know, probably the most popular game this holiday season, you can actually turn the blood off.

WHITFIELD (on camera): But you won't know that until you make the purchase and open the package.

KILLINGSWORTH: Right. I mean, it's true. It's not advertised.

WHITFIELD (voice over): Despite some of the fail safes, there are still a few kinks to work out. But for now, choosey consumers can still deliver this holiday without anyone calling them a video killjoy.

Fredricka Whitfield, CNN, Atlanta.

(END VIDEOTAPE)

COLLINS: Want to get you to the president now, there making his way to the podium. Going to be talking a little bit about the economy today and the state of small businesses and how they should be reacting to it.

He is just south of Washington, D.C., in Fredericksburg, Virginia. Going to be talking to the Rotary Club of Stafford, Virginia, in just a couple of minutes.

We are learning that, once again, he'll be talking about the state of the economy, what small businesses are doing to deal with some of the challenges that are out there. Of course, we're talking about the subprime mortgage rates, and his thoughts that really the economy is doing just fine. Makes reference to continuing growth and job creation.

So we'll keep our eye on that for you and bring it to you as soon as the president gets to the microphones.

(NEWSBREAK)

COLLINS: Want to take you back now to Fredericksburg, Virginia, where we told you the president would be coming to the microphones. And there he is. Going to be making some comments about the economy.

Let's listen in for just a moment.

UNIDENTIFIED MALE: Mr. President, we have a gift here for you. It's made from wood of a tree from a tree that George Washington planted at Ferry Farm here in Stafford County, his boyhood home.

GEORGE W. BUSH, PRES. OF THE UNITED STATES: Thank you all. Please be seated.

Ralph, thanks for the invitation. Thanks for the gift as planted by the first George W.

(LAUGHTER)

I'm glad to be here at the Rotary Club. I have spent some quality times at Rotary Clubs, whether it was asking for votes or selling baseball tickets.

(LAUGHTER)

I could never get admitted to any of the clubs in Texas because my voice wasn't good enough.

(LAUGHTER)

But I'm proud to be with you. Thanks for letting me come by and share some thoughts with you about our economy, what's happening in Washington. And, if time permits, I'll be glad to answer some questions if you have any.

I also want to thank the chamber for having me as well. I appreciate what you're doing.

People say -- they're probably wondering why would -- "Old George W.'s got something important to say, why would he bother to come to a place out in the country?" And the answer is, because this is where jobs are created. This is where dreams are lived. This is where values are upheld.

And so I'm proud to be with you.

Kind of reminds me of being in Texas, to come to a place where there's just down-to-Earth people that are trying to do what's best for their families and their communities. And so I'm honored to be with you.

I appreciate you letting me come by.

Ralph, thanks for the invitation.

I also want to thank Bob Hagen (ph). And I'm proud to be here with Congressman Eric Cantor from Richmond, Virginia, as well as newly elected Congressman Rob Wittman.

Appreciate you being here. Good luck. Looking forward to working with you.

I want to thank the speaker of the House of Delegates. You call them delegates, right? Yes.

(LAUGHTER)

Bill Howe (ph) is a good man.

Good to see you, Mr. Speaker. Appreciate you being here.

Senator-elect Richard Stewart (ph). Is that right? Yes. Appreciate you, Richard. Thanks for coming as well.

John Lacy (ph), past president at Rotary International, has bothered to come over.

Mr. Lacy (ph), thank you for serving.

You know, I tell the people of our country every time I can that the great strength of America is not our military -- although I intend to keep it strong -- or the size of our wallets. But the great strength of America are the hearts and souls of our fellow citizens who take time out of their everyday lives to love a neighbor like they would like to be loved themselves. That's what Rotaries mean to me.

People saying, "Well, how can we best foster the well-being of the community in which we live? What can we do as loving human beings to, you know, to work with our youth?" like you do at this -- here at this Rotary Club.

So I want to thank you for what you're doing.

I thank you for adding to the great compassion of our country.

You know, it's -- societies change one heart and one soul at time. And I hope you have found what others have found: that if you're part of that helping somebody's live (sic) improve, it improves your own.

Laura sends her very best. She's doing just fine. She's -- she's a fabulous wife, great mother and a wonderful first lady. And she is -- she and I are having the great joy of welcoming people to the White House during the holiday season.

It's a pretty spectacular place, when you -- when you see the trees and all the great garlands. And they do a fine job of decorating the White House. I just put on the lights on the trees.

(LAUGHTER)

Well, we're having a joyous time.

And I want to talk a little bit about our economy and some of the challenges we face, and then ask for some questions.

First of all, I -- I put forth what some would consider a controversial proposal, that's in Washington, D.C. -- at least those in Washington consider it controversial, and that is cutting taxes on people helps the economy.

There's quite an appetite for your money in Washington. People can figure out all kinds of ways to spend the taxpayers' money.

My attitude was, particularly in the face of recession and after a terrorist attack, that the best way to help this economy recover was to let people keep more of their own money. And so, I worked with the Congress to cut taxes on everybody who pays taxes.

Now, sometimes in the nation's capital, they'll say, "Well, some people get tax cuts and others don't."

That's not my attitude. My attitude was, if you're paying taxes, you ought to get tax relief.

And so, we cut taxes. And, I mean, we cut them on everybody. And when you cut them on individuals, it turns out you also are cutting taxes on small-business owners.

Most small-businesses in America are sub-chapter S corporations, or limited liability partnerships, which means that the owners of the companies pay individual taxes. In other words, the company is subject to individual tax rates.

And so cutting individual taxes not only helps consumers and families but it also helps small businesses.

And the plan worked. If you think about where we were, coming out of 2001, and where we are today, you can't help but say the plan worked. Cutting taxes helped stimulate economic growth.

Why? Because most new jobs are created by small-business owners. And if you let a small-business owner have more money to save or invest or spend, it means he or she is more likely to hire somebody.

And so we've had a pretty good economic run here in the country, six years of growth. We've had 51 straight months of increased job employment. It's the largest -- longest period of uninterrupted job growth in the nation's history. People are working.

Productivity is high. In other words, our economy is becoming more productive as a result of the advent of new technologies. And that means people are more likely to get paid more.

And yet there's some challenges. There's a credit issue and a housing issue. In other words, what I'm about to tell you is is that the Congress cannot take economic vitality for granted.

There's some positive things Congress can do to make sure that the economy continues to grow and people are working and realizing dreams, and there's some negative things they can do. And the most negative thing the Congress can do in the face of some economic uncertainty is to raise taxes on the American people.

If you want to figure out a way to slow this economy down, just start taking money out of people's pockets or make it harder for small business to grow and invest.

So, one thing I want to share with you today is I'll veto any tax increase. I don't think Congress needs more money. I think they need to learn how to set better priorities.

And that's what you're watching play out here in Washington. The president submits a budget and then the Congress can either accept it, run over it, ignore it, and then the Congress -- or the Constitution, wisely, gives the president veto power in order to make sure the president stays involved in the process.

And I'm pleased to report that we're making some pretty good progress toward coming up with a fiscally sound budget, one that meets priorities, helps on some emergencies and enables us to say that we've been fiscally sound with the people's money.

Next couple of days will be interesting to watch. As I say, I'm hopeful, and I appreciate those on Capitol Hill who are working hard to come up with a good appropriations package.

And that appropriations package, by the way, must also include funding for our troops in harm's way.

Now, I understand people in Washington and people around the country may not have agreed with my decisions on how to protect America; I know that and that's fair. That's what democracy should be all about. When people have a difference of opinion with the president, they ought to feel comfortable expressing that difference. And it turns out quite a few citizens are willing to do that.

(LAUGHTER)

But there should be no difference of opinion when it comes to making sure our troops have the funding they need. And there should be no difference of opinion about whether our commanders ought to be those who decide -- or those who recommend to the president and the Congress the best way to proceed.

And so we'll be -- I'll be watching very carefully as the Congress works through how to spend your money coming down the stretch here before Christmas. They can't have any gimmicks -- accounting gimmicks in there. Or, you know, sometimes they'll use the appropriations process to pass law that otherwise didn't make it to the floor of the House or the Senate.

I'm sure that doesn't happen, Mr. Speaker, in...

(LAUGHTER)

Sometimes it happens in Washington, though. (LAUGHTER)

And so, I'm looking forward to working with them to come up with a good bill.

But they need to fund these troops. And they don't need to be putting artificial timetable for withdrawal on the money that we're asking to make sure the men and women who courageously serve the United States of America have what it takes to do the job they've been asked to do.

I -- if the Congress can't get the job done...

COLLINS: All right, there you have President Bush making comments on the state of the economy right now. He's in Fredericksburg, Virginia, talking to the Rotary Club of Stafford there, saying that he will veto any tax increase. He does make comments also about some of the challenges facing people, and that would be the credit crisis and the housing crisis as well. So once again, President Bush addressing the folks in Fredericksburg, Virginia. for us today.

Well, it's not a white Christmas. It's more like a snowy nightmare. Look at some of these pictures. The latest on an ugly start to the workweek.

(COMMERCIAL BREAK)

COLLINS: For much of the country today, varying degrees of misery. Frigid temps roll in, snow tapers off, but problems still pile up. Snow from the Great Lakes to the Atlantic Coast, about a foot of it in Chicago, even more in parts of New York and New England. Travel has been snarled both by ground and air, except if you have a sled like those folks there. A jet liner actually skidded off a runway near Providence, Rhode Island. No one was hurt, but across the nation there were at least four deaths being blamed on the storm.

In Chicago, a snowplow driver is being praised now for pulling a woman from her burning car.

(BEGIN VIDEO CLIP)

DEMETRIUS DUPLESSIS, SNOW PLOW HERO: I got out of the truck, and I ran over to the young lady in the car, and she was on the cell phone. So when I -- I kept yelling, get out of the car, get out of the car! The car on fire! She just looked at me and started to lock the door. So I smashed the door open and snatched her out!

(END VIDEO CLIP)

COLLINS: The woman, who was on her way to take a college exam, said she didn't realize her car had caught fire.

More on the flight delays from all of that wind and snow. Meteorologist Bonnie Schneider is live in the Severe Weather Center. Bonnie, I know you have been keeping your eye on this very closely for us.

BONNIE SCHNEIDER, AMS METEOROLOGIST: You know what's interesting, Heidi? Even where we don't have the snow falling, we still have some serious delays. Like in Chicago, it's overcast skies and low cloud ceilings that's what is slowing you down there. All of the planes you see here on Flight Explorer, they're all headed to O'Hare Airport. Lined up, some are circling around waiting for clearance to land because there's such a backup at the airport due to the weather there.

And weather is causing delays across the country, especially in New York where delays are two hours. It's been like that all morning long. We have long delays in New Jersey as well for Newark, New Jersey. In San Francisco some ground delays. And speaking of the West, we are watching for a series of storms to work their way across the West coast. You could already see overcast skies in and around northern California.

Let's take a look at Washington state because we can actually zoom in on Google earth and show you a live picture, an actual live picture, of what the road looks like in certain areas. We're going to move across into Washington. Some of the higher elevations, at the summit, there's been quite a lot of snow in some of these areas. We are going to zoom in, courtesy of weatherbonk.com. There it is, this is summit East at Heyak near Snoqualmie looking West. That's what it looks like. Wow. A lot of snow on top of the cars there. We have had reports of heavy snow throughout this region and you can see why at the higher elevations.

About an inch and a half, maybe more so far this morning. Snow advisories continue for this region, with good reason, straight through the noon hour. And we're actually looking for more snow across areas into the West for the entire week. But right now, there's a winter storm warning for the next day or so. One to two feet in the higher elevations. And I mentioned, Heidi, an active week, an active jet stream bringing a series of storms that will kick up the winds, bring rain and snow. Especially areas in purple here, this indicates where we will have a foot plus of snow. So it's going to be a pretty rocky ride out West this week.

COLLINS: Wow, yes, sounds very rocky. All right. Thanks so much, Bonnie.

Want to get back to T.J. Holmes now. He's in the NEWSROOM for us and has been watching a story for us this morning. Something happening over at the Fox building there in Manhattan. T.J., what's going on?

T.J. HOLMES, CNN CORRESPONDENT: It's been described to us as a chemical explosion at the Fox building there at 1211 Sixth Avenue in midtown, between 47th and 48th streets there in New York. Confirmed to us by the New York -- by the fire officials up there, that in fact it was a chemical explosion and they have evacuated four floors. The 42nd, 43rd, 44th and 45th floors of that building. This is where Fox News is housed, the network there. Well the affiliate there for Fox News in New York, WNYW is reporting that in fact 700 people have been evacuated and that in fact one man has been burned in a chemical explosion there at the Fox News Headquarters. Again, that information coming to us from the WNYW Fox affiliate, reporting on their Web site that in fact 700 people evacuated after a chemical explosion and that one man has been burned.

However, the Fox News, the network itself, the broadcast has not been interrupted at this point, but certainly a developing story. Trying to get more on what exactly, type of a chemical explosion this was. So we're keeping an eye on it. When we get more, we will bring it to you, Heidi.

COLLINS: Boy, wow. Sounds really scary. All right, thanks so much, T.J. We'll check back later on should you learn anything else. Appreciate it.

Saudi Arabia's King Abdullah steps in. A pardon today for a rape victim who was sentenced to six months in prison and 200 lashes. The court found her guilty of being alone with a man who wasn't a family member. An appeal by her attorney led to a harsher sentence. The country's justice minister says King Abdullah granted the pardon in the interest of the Saudi Arabian people. But the justice minister is quoted in the Al Jazeera newspaper as saying the king, "is convinced and sure the verdicts were fair."

Independence day, a blue state senator wants a red state president. Joementum for John McCain?

(COMMERCIAL BREAK)

COLLINS: "YOUR WORLD TODAY" is next and Jim Clancy is here now with a preview of what they're working on.

Hey there, Jim.

JIM CLANCY, CNN ANCHOR: Hi, heidi.

Join Colleen McEdwards and me. We're going to take a closer look. You have heard that story of the rape victim being pardoned by King Abdullah in Saudi Arabia? Well of course, women's rights groups are happy about this, but you know what? they have some serious concerns still about this case. We're going to tell you what those are.

Also, President Vladimir Putin giving a big thumbs up to taking up the post of prime minister after he gives up the presidency. But he also put a thumb in the eye of western states who want to rein in Iran's nuclear program. What Russia sent Tehran and why it matters.

Plus, putting what is arguably the most important legal document in the history of Western civilization on the auction block. What will be the price tag and why. Join us, "YOUR WORLD TODAY" the top of the hour.

Heidi, see you then.

COLLINS: All right sounds great. Thank you, Jim.

Well as you probably know by now, it's the busiest mailing day of the year for the postal service. Susan Lisovicz is at the New York Stock Exchange now with details.

Glad to see that you're there and not at the post office, Susan.

SUSAN LISOVICZ, CNN CORRESPONDENT: Well, but I already did my part with the in-house office delivery. I dropped about 15 cards.

COLLINS: Oh, very good.

LISOVICZ: Yes, we're one week away from Christmas Eve, Heidi. Whoa. This is where the panic mode starts to set in. The postal service expects to handle nearly 1 billion pieces of mail today, and today alone, making it the busiest day of the year. More than a quarter of the pieces will be cards and letters. That's three times the normal volume, and it's a sign that despite the popularity of e- mail, people still like getting a holiday greeting in the mailbox rather than the inbox.

FedEx, meanwhile, expects to break company volume records by shipping more than 11 million packages. Another big shipper, DHL, says this will be its biggest shipping day of the year. UPS and the postal service say Wednesday will be the biggest day for deliveries. In other words, those folks in the shipping sector are working real hard this week, Heidi.

COLLINS: So they're doing very well by way of profits, but what about retailers? Does it mean, because the shipping business is going so well, that retailers are doing well, too?

LISOVICZ: Not necessarily. You know, all of the data is not in obviously, Heidi. We just heard the president, for instance, talking about challenges facing the economy because of the housing crisis and credit crunch. And we continue to see signs consumers are holding back. The latest data coming from Mastercard, which says sales of women's clothing dropped nearly six percent during the first half of the holiday shopping season.

Analysts say, a lack of compelling fashions, only partly to blame. But so are tough economic conditions, which are causing women to cut back on purchases for themselves. And Heidi, you and I know that women make up the majority of retail spending. So that is not a good sign, although a lot of folks still hold off on their spending and they're waiting for retailers to drop prices just a little bit more.

In the meantime, stock prices, well they're dropping. We're not seeing that traditional Santa Claus rally that is so typical around this time of the year. Not yet, anyway. Investors continue to worry about the state of the overall economy. Shares of Caterpillar, that makes all those tractors and earth moving equipment, down more than two percent. Morgan Stanley downgrading the stock, warning CAT could be hurt by a "mild recession."

Checking the numbers. The Dow right now, down 99 points, at three quarters of a percent. The NASDAQ meanwhile is down 32, or about 1.2 percent. So an extension of the selling we saw last week, but St. Nick maybe hasn't dropped by Wall Street just yet, Heidi.

COLLINS: Maybe not. That's it. I'm going with that. All right, Susan, thank you.

LISOVICZ: You're welcome.

COLLINS: Want to get back to the story that we have been following here at CNN. T.J. Holmes is working on it for us. Something going on at the Fox building. There's been some type of chemical explosion.

Do we have the verified there, T.J.?

HOLMES: Yes, that's according to the fire department there in New York. Telling our folks there at the Time Warner center that this in fact has happened, a chemical explosion. But now we have word from the Fox spokesperson about what has happened there. This did happen, according to the Fox spokesperson, on the 45th floor, which is being described by the spokesperson as the mechanical room floor.

One person had minor injuries and has been taken to the hospital. Now, the floors 43, 42, 44 and 45 were evacuated according to the spokesperson as well. But those floors in fact, do not house any of Fox News employees, but several people had to be evacuated from there. Of course the New York Fire Department is still on this, evaluating exactly what happened. But again, one person is injured, several floors of that Fox News headquarters building evacuated.

But the floors evacuated and where this chemical explosion happened did not house any of Fox News employees. So operation still going on, they're still broadcasting there at Fox News. But that is the update we have from now. Still trying to get word on what exactly happened, what this chemical explosion was. But, we do have that update at least.

COLLINS: OK, very good. T.J. thank you.

HOLMES: All right.

COLLINS: Ooh la la, French President Sarkozy cozies up to a former super model and all of Paris is buzzing.

(COMMERCIAL BREAK)

COLLINS: Want to get you back to this story that we've been follwowing this morning out of New York now. Apparently there's been some type of chemical explosion at the Fox News Corps building, there in the middle of Manhattan. This is on the Avenue of the Americas, or 6th avenue in case you're familiar with the area.

CNN producer, Ronni Berke, is standing by outside of the building to tell us more. Ronnie, what have you learned? What are you seeing?

RONNI BERKE, CNN SENIOR PRODUCER: Well, Heidi, I'm outside the News Corps building. There's still about 100 people standing outside waiting to go back into their offices. When I got here a few minutes ago, it was more crowded, but some people have gone back in. There's about a dozen fire trucks, emergency vehicles standing by, but no stretchers with people on them. It doesn't appear to be a serious incident.

We spoke a little while ago to someone in the manager's office of the building at 1211 Avenue of the Americas, who said it happened on the 45th floor, a mechanical room, where there are no offices but machines and computers and things. One person had a minor injury and was transported to the hospital and that the incident appeared to have been more or less over.

The floors that were evacuated were the 42nd, 43rd, 44th and 45th according to the fire department, the New York City Fire Department. And those do not have the Fox News employees, according to a spokesperson for Fox News. And that's what we have. The fire department is still here investigating, but it looks like it may -- we may be out of the woods here.

COLLINS: All right, well that sounds very good, even though I'm sure there are a lot of questions about how this all happened to begin with. So hopefully we will get more information on that as the investigation into all of it goes on.

Ronni Berke, our CNN senior producer. Thanks so much, Ronni.

The leader of the band has died. Singer-songwriter Dan Fogelberg lost his long battle with prostate cancer. He was diagnosed three years ago. Fogelberg had success in the '70s and '80s with soft rock hits. I'm sure you remember "Leader of the Band" or maybe "Same Old Lang Syne." Dan Fogelberg, just 56 years old.

A marine becomes a dad while away at war, but he was able to watch his baby son being born thanks to a video hook-up.

(BEGIN VIDEO CLIP)

KRISTEN STACHOWIAK, MOTHER: I was there, and he was right -- obviously right there -- on the monitor. So he didn't have to see too much gross stuff though.

UNIDENTIFIED FEMALE: It was a side shot, right?

STACHOWIAK: Yes, it was a side shot.

UNIDENTIFIED MALE: We were watching it on TV, kind of like watching a YouTube video.

(END VIDEO CLIP)

COLLINS: The live video feed was provided by Cape Canaveral Hospital and Freedom Calls, that's a group that helps link troops and their families together.

Romance and all of Paris buzzing this morning. French President Nicolas Sarkozy and former model Carla Bruni were seen together at Disneyland Paris this weekend. His office won't say anything about the relationship. Sarkozy and ex-wife Cecilia just divorced in October.

Country first, party second. The message from Senator John McCain. Earlier this morning, he got an endorsement from across the aisle. Connecticut Senator Joe Lieberman endorsed McCain in his Republican presidential bid. You saw it live on CNN this morning.

(BEGIN VIDEO CLIP)

SEN. JOE LIEBERMAN, (D) CONNECTICUT: I have seen John time and time again, rise above the negativism and smallness of our politics to get things done for America. And I have seen him time and time again work with people on the other side of the aisle to make America stronger and safer.

(END VIDEO CLIP)

COLLINS: That endorsement was made in New Hampshire, where the country's first presidential primary happens next month.

On the Democratic side now, John Edwards set to pick up an endorsement today. Iowa's first lady, Mari Culver, expected to announce she's endorsing Edwards' bid for the presidential nomination. Edwards is locked in a tight three-way contest with Senators Barack Obama and Hillary clinton in Iowa. State caucuses are January 3rd. Culver's husband, Iowa governor Chet Culver, making it very clear he will stay neutral.

Ron Paul on a money roll. His campaign, says the Republican presidential candidate, raised an astounding $6 million in a one day internet drive on Sunday. The latest fundraising feet called, "Money Bomb." Paul's campaign brought in $4.2 million in its last on line fundraiser.

Want the most up to the minute political news anywhere available, cnnpolitics.com is your one stop shop. It's the internet's premiere destination for political news. cnnpolitics.com.

CNN NEWSROOM continues just one hour from now. "YOUR WORLD TODAY" is next with news happening across the globe and right here at home.

I'm Heidi Collins. Have a great day, everybody. See you tomorrow.

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