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CNN Saturday Morning News

Travel Delays in the Skies and on the Roads; No Rest on the Campaign Trail; Iraq Vet Gets Early Discharge to Help Grieving Family; People Still in Trailers After Hurricane Rita

Aired December 22, 2007 - 07:00   ET

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


T.J. HOLMES, CNN ANCHOR: Hey, there. Good morning, everybody. From the CNN Center in Atlanta, Georgia. It's Saturday, December 22nd, it is about that time -- Christmas.
RANDI KAYE, CNN ANCHOR: Coming up.

HOLMES: Yes. I'm T.J. Holmes. Good morning to you all.

KAYE: And hello. I'm Randi Kaye in for Betty Nguyen this morning. I'm happy I made it down here. I have a little bit of a delay getting down here from New York, but thanks so much for starting your day with us.

HOLMES: It's the always the case, right?

KAYE: Always.

HOLMES: Coming from New York, you have some issues but glad to see you here. Happy you'd be here with us.

All right, everybody. You know the drill, it happens around this time of year, every year. Hurry up and wait. That's what's happening in the skies right now, but not just the skies, the roads, the rails, the shopping malls, everything expected to be packed today. We've got the information you need before you head out the door, so stay here.

KAYE: Also, a busy on the campaign trail. No rest for the presidential candidates or the best political team on television. We are live this hour in New Hampshire.

HOLMES: Also, an Iraq vet gets an early discharge for a very good reason. This dog -- home from the battlefield, will help heal the grieving family. It's the story you do want to miss. Trust us on this, you want to see this story and that's coming up ahead for you on the CNN SATURDAY MORNING.

But we are going to begin with that annual mass migration, also known as holiday travel. About a quarter of the U.S. on the move this weekend before Christmas. That's 65 million people, according to AAA. That's about the size of a population of France. So, just consider the entire country of France shifting around right now.

Now, for air travelers like these folks in Boston, long lines pretty typical. Well, pretty much anytime at airports these days it seems like you have long lines but certainly, this time of year. Logan Airport's Web site reports no significant delays, whatever their definition of significant is. We don't know.

KAYE: And in the Midwest, fog has been the biggest problem at Chicago's O'Hare Airport. It has caused about 200 flight cancellations. The delays separated the veteran travelers, of course, from the occasional ones.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I've got it down to a science because I actually travel for a living, and so, you know, I've got everything real planned and real organized. So you know, it's not stressful for me.

UNIDENTIFIED FEMALE: I freaked out. My daughter, she called me and tell me how you got to take this stuff out, (INAUDIBLE). I was running around the house like a nut.

(END VIDEO CLIP)

KAYE: I love that. I freak out. Many people do.

HOLMES: A lot of folks do.

KAYE: I've seen it happened.

HOLMES: Yes.

KAYE: Well, for me. Airline passengers trying to get anywhere this time of year, often feels like hurry up and wait.

HOLMES: Watch, help could be on the way. CNN's Jeanne Meserve explains how the changes of the airline industry should speed things up a bit.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: We sat for three hours on a plane, and then we sat for two more hours in an aisle.

JEANNE MESERVE, CNN CORRESPONDENT (voice over): If the summer of 2007 brought us air travel hell, the summer of 2008 promised to be air travel hell part two, bigger and badder. Anticipating another howling chorus of complaints from the traveling public, the federal government and the airlines have agreed to limit the number of flights at New York's JFK Airport to 82 or 83 per hour starting next March. It will not reduce the number of flights per day, just space them out more evenly to avoid runway and air space traffic jams at rush hour.

MARY PETERS, U.S. TRANSPORTATION SECRETARY: We'll still be able to get as many planes in and out of there but here, in a much more orderly, dependable pattern.

MESERVE: In fact, Peters predicts the cap could ultimately create more capacity at JFK. Any new slots will be auctioned to the highest-bidding airline. Still in the works, a similar cap for Newark and a long-term solution under the guidance of a newly appointed czar for New York aviation issues.

JIM MAY, AIR TRANSPORT ASSOCIATION: We want a real czar with real power and real authority. We want somebody who can do more than just throw sharp elbows. We want somebody that can cross across jurisdictional lines and get these changes made that are so necessary.

MESERVE: The reaction from Congress was mixed. One air passenger group was ecstatic.

KATI HANNI, PASSENGER BILL OF RIGHTS ADVOCATE: And I believe that this is a really great day for airline passengers.

MESERVE: And one aviation expert said it was about as good a temporary solution as you're going to get.

(on camera): If you are worried about travel next week rather than next summer, over the holidays, military air space will be opened for civilian use on the east and west coast, giving aircraft more flexibility to avoid bad weather and the Lord forbid, delays.

Jeanne Meserve, CNN, Washington.

(END VIDEOTAPE)

KAYE: People driving into the U.S. from Canada or Mexico or coming in by boats by the Caribbean should take note. A provision that would have required passports for those travelers could now be delayed until June 2009, if President Bush signs the bill. That's one year later than the Department of Homeland Security had wanted. Language to delay the passport rule was put in the Omnibus Spending Bill passed this week in Congress. Passports are still required for anyone flying into the U.S.

HOLMES: All right. We'll turn to the weather now, and Reynolds Wolf here usually has his eyes on the skies, looking at clouds, but this time you're looking at planes, this time. Hey, there. Good morning to you, sir.

REYNOLDS WOLF, METEOROLOGIST: Good morning.

We are watching the skies above. We've got one major delay to talk about right now, that would be on O'Hare Airport where we have a 55-minute wait at the gate, 55 minutes. That's not bad. You have to put things in perspective. I mean, there were people yesterday that had waits as long as two hours, some flights were cancelled all together. It could be far worse.

So, 55 minutes, that's why they have coffee and that's why they have themselves on the flat-screen monitors inside the airport. Sit down, why just enjoy. Well, you'll get your flights and then you get to spend time with your relatives. Good time.

Here's what we have, guys. Let's take a look what we have around the nation, not a whole lot of action on the eastern seaboard at this time, but as you make your way to the central plains, we're talking about an entirely different scenario. We're looking some blowing snow. We've got whiteout conditions, a blizzard warning for parts of southwest Kansas. That could affect people traveling along parts of I-35. It could really rough for you there so you really need to be careful.

But fear not. If you happen to have the -- if you're driving along, make sure you stay tuned to CNN radio, of course, that's available on satellite radio, but at the same time if you're watching us, take a look at the screen. On both sides, we've got all kinds of information for you. On one side, you're going to see your airport delays, and on the bottom, your favorite cities, you can have all kinds of information there about your holiday week.

But a lot of that will include places like the twin cities where we had delays yesterday and we've got the trifecta. We've got rain, sleet, and snow moving from west to east in the twin cities goes to new season backups as far south of Chicago.

Now, taking a look at not the small picture but the big picture for the holiday weekend. Looks like it's going to be very wet in the eastern third of the nation as well as the southeast along the gulf coast, but when you get right into the central plains, you can see the blowing snow back into the great lakes. Same story, Pacific Northwest an rain, sleet, and snow with the highest elevations. But guys, check this out. For places in Montana and into North Dakota, wind-chill factors this weekend, 40 degrees below zero. Just brutal conditions there.

Let's send it back to you where it's nice and warm.

KAYE: That doesn't sound very good, 40 degrees below zero.

HOLMES: No, it doesn't.

WOLF: You and I both have to believe it.

KAYE: Thank you.

HOLMES: You bet. Talk to you soon.

KAYE: Seventeen days and counting for voters in New Hampshire, just over two more weeks of seeing candidates crisscrossing through state.

HOLMES: New Hampshire and Iowa might be tired of seeing them crisscross the states.

KAYE: I bet they are.

HOLMES: But you see them stump speeches and town hall meetings and try to sway those undecided voters. CNN's Mary Snow in Manchester, New Hampshire and Mary, I talked to you last week. I might have jinx to you because this time last week I was talking to you from Florida where you were enjoying nicer temperatures but good morning to you in New Hampshire now.

MARY SNOW, CNN CORRESPONDENT: Good morning, T.J. I didn't want to say that you might be the jinx, but since you already said it, it was 81 degrees when I checked in with you last weekend, and pretty cold here this morning. But as you said, you know, the candidates, there's no rest for them this holiday season. Senator Hillary Clinton is here in Manchester today. She's really trying to make a push for women voters.

One of her events today is moms and daughters making history. Her daughter and mother are both here with her. It's all part of the softer side of Hillary Clinton.

(BEGIN VIDEOTAPE)

SNOW (voice over): Call it Senator Hillary Clinton's likeability blast. With her daughter, Chelsea, and her mother, Dorothy Rodham making their first appearance in New Hampshire, meeting and greeting voters, trying to win over their support.

SCOTT SPRADLING, WMUR POLITICAL DIRECTOR: This is the Hillary Clinton love me soft-sell advantage. She's bringing out testimonials; she's bringing the family into New Hampshire. This is totally intended to show a softer side of her.

SNOW: But it's not all about family. Senator Clinton is also trying to portray herself as the politician who can work across party lines.

SEN. HILLARY CLINTON (D), PRESIDENTIAL CANDIDATE: You know, as president, I will do something that George Bush has failed to do -- work with the other party to get things done.

SNOW: Getting accessible healthcare is among the major issue she stresses along with energy independence and ending the war in Iraq. Reporters covering her in the state say, she's been resonating with voters on issues, but ...

SPRADLING: The problem is in the believability, the likeability, the trust factors which is exactly what this type of event is focused on.

SNOW: And it's not just likeability but electability. Senator Clinton touts experience. Her main Democratic rival, Senator Barack Obama, told a New Hampshire crowd, he's the one who's most electable against Republicans.

SEN. BARACK OBAMA (D), PRESIDENTIAL CANDIDATE: I'm not going to mention names, but, I mean, the notion that -- you know, that a viability or electability argument is being made by somebody who starts off with almost half the country not being willing to vote for them -- doesn't make much sense.

(END VIDEOTAPE)

SNOW: Now, Senator Obama didn't name names, but it's obvious he's referring to Senator Clinton. And T.J., the fact that both of the candidates are really stressing that they are electable really just speaks to the fierce competition for independent voters here in New Hampshire -- T.J.?

HOLMES: Yes. I really can't tell there who Obama was talking about. He didn't really make it clear who he was talking about there. Well ...

KAYE: Maybe you could tell.

HOLMES: Yes. But Mary, of course we know who he's talking about. We talk about Obama, we talk about Clinton there and the push but the other candidates, are they stumping around and running around New Hampshire today, as well?

SNOW: You know, Rudy Giuliani is going to be back on the campaign trail. This is the first time he's really had a campaign event since he was hospitalized in St. Louis earlier this week. You might remember at Wednesday night he was there. He had left, and they turned the plane around because he said -- the campaign said he had flu-like symptoms, but he got a clean bill of health.

Yesterday, he had a fund raiser in New York. He told reporters there that he was feeling good. He did go to see his personal physician in New York before heading out to the campaign trail. But he is expected to be here all weekend long as well as Mitt Romney, his Republican rival for the presidential nominee.

HOLMES: All right. Our Mary Snow of course in New Hampshire. We will see you; I'm sure, at the Florida primary. Mary, thank you so much this morning.

Well, of course, many of the candidates are on the campaign trail today in Iowa, as well, despite the bad weather in the midwest. We'll check in with some of their campaigns later this morning. Also this hour, Josh Levs, keeping it real for us. Just how many people in Iowa and New Hampshire will actually be voting in the upcoming caucus and primary? He's got those numbers for us.

Also, do you want the most up-to-the-minute political news anywhere available? CNNPolitics.com, your one-stop shop, the Internet's premiere destination for political news. That's CNNPolitics.com.

KAYE: Christmas in Iraq. We will salute the men and women spending holidays on the front lines. A soldier joins us live from Iraq in just a few minutes.

And I'm sure you remember little Youssif, the born Iraqi boy who came to America for the life changing surgery. There he is. We'll show you his remarkable progress right after this.

(COMMERCIAL BREAK)

HOLMES: We're going to look now at stories making headlines. Now, in our Quick Hits. His wife's body parts are found at the garage and in the nearby park. And now, a jury in Michigan has convicted Stephen Graham of second-degree murder. He initially denied any involvement in his wife's disappearance when he reported her missing in February.

KAYE: Police in West Virginia think they found the body of a Marshall University student. Leah Hickman has been missing for more than a week. The body was found in a basement crawl space in her apartment building. Police say they are confident that it is her. No comment on the cause of death.

HOLMES: Two roadside bombs went off in northern Iraq and a U.S. soldier is killed, 11 others wounded happening in Kirkuk. The soldier was the 17th U.S. service member killed in Iraq this month.

KAYE: Two stories have resonated with CNN viewers as much as that as young Youssif.

HOLMES: Yes, he's a five-year-old Iraqi boy severely scarred by attackers who set him on fire with gasoline. Now, in the United States, he's begun a series of surgeries to undo the damage.

KAYE: CNN chief medical correspondent, Dr. Sanjay Gupta tells Youssif's story in a documentary airing this Christmas eve. Here's a preview.

(BEGIN VIDEOTAPE)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT (voice over): Dr. Grossman let me scrub in to observe. He showed me how he hopes to undo much of what an unspeakably cruel act has done to this five-year- old boy.

DR. GROSSMAN: We'll basically be excising this thickened scar tissue around here.

GUPTA: He planned to remove the scar tissue from around Youssif's nose and insert tissue expanders, small balloons under the healthy skin in Youssif's cheek and neck. Over time, Dr. Grossman hoped to stretch the healthy skin so it could replace the heavy scars on Youssif's chin, jaw line, and next to his ear.

GROSSMAN: Now, it's time to operate.

GUPTA: All right.

Dr. Grossman took Youssif's case for free and expected to perform half a dozen or more operations over the next year. How Youssif fared in his initial operation would play an enormous role in how well the boy healed and how much evidence remained of the attack that disfigured his young face. For me, it was a fascinating, close-up view of state-of-the-art burn surgery. For Youssif's parents, it was an ordeal of waiting.

GROSSMAN: This is not a sure thing.

(END VIDEOTAPE)

HOLMES: And Youssif's life-altering surgery was made possible because of an outpouring of donations and support from you, our viewers. The whole story from Baghdad to Southern California premieres Christmas Eve night at 10:00 eastern in CNN's first "Impact Your World" special that's "Rescuing Youssif."

KAYE: Joshua Levs is Keeping Them Honest for us this morning. He is going to look at just how many or actually how few people will be voting in the early test stage. Josh?

JOSH LEVS, CNN CORRESPONDENT: Hey, yes. Good morning. Good to have you here. It is so few people, folks. When I tell you the number, you're not going to believe how tiny this group of Americans is that can ultimately determine who the two major party candidates are. So, two questions. One, does your vote even really count? And two, is this even really a national race? We're going to have the answers for you coming up. T.J.?

HOLMES: All right, Josh. We'll see shortly. Also, we're reaching out to an injured Iraq war veteran.

(BEGIN VIDEO CLIP)

JEROME LEE, ADOPTED LEX: He's been through a lot, and we just want to get Lex home.

(END VIDEO CLIP)

HOLMES: Now, one family finally able to get an early discharge for a marine dog who stuck by his handler the day he was killed in Iraq. That story minutes away.

(COMMERCIAL BREAK)

KAYE: The Iowa caucuses are just around the corner followed quickly by test votes in New Hampshire, Michigan, Nevada, South Carolina, and Florida.

HOLMES: Yes. These early contests will begin the process of separating the viable candidates from -- lack of a better word -- the losers. Is that OK? Josh says, we keep it real here.

LEVS: You said it, folks.

HOLMES: No, you keep it real. They're the losers. All right. Joshua Levs, here with us. Good morning to you, sir.

LEVS: He never does hold back. OK, here's the deal. As we know, there are three states everybody's fixating on and we know this -- Iowa, New Hampshire, and South Carolina. That's where everyone is thinking of that's being a make-or-break contest, those are three major states. Well, even when you put those states together, it's still a tiny group of Americans doing the deciding.

(BEGIN VIDEOTAPE)

MIKE HUCKABEE (R), PRESIDENTIAL CANDIDATE: I want to say thanks so much for coming. This is incredible. LEVS (voice over): We know why the candidates fight so hard in the early states. So many Americans follow their lead and early victory in these states can lead to the nomination. But you may not know how few voters actually determine who wins the early states. Keep in mind; we're a nation of 300 million people. Now, here are the numbers.

SEN. JOHN KERRY: Thank you all very much. Thank you.

LEVS: In 2004, the Democratic caucuses in Iowa drew a whopping 124,000 people, a fraction of the state's voting age population, and that was considered big.

TERRY MCAULIFFE, FMR. DNC CHAIRMAN: We had a record turnout in Iowa, the biggest in the history of the state.

GEORGE BUSH, PRESIDENT OF THE UNITED STATES: Thank you all very much.

LEVS: The last big Republican contest was in 2000 when Bush won the Iowa caucuses, 87,000 people took part. No one knows how many will take part this time around with open races on both sides, but a few hundred thousand would be huge.

UNIDENTIFIED MALE: First ballot, thank you.

LEVS: New Hampshire: In 2004, when the big race was on the Democratic side, nearly 300,000 people total voted. Four years earlier, when the bigger contest was among Republicans, nearly 400,000. And the third early state getting a lot of attention --

OPRAH WINFREY, CELEBRITY: South Carolina.

LEVS: Nearly 300,000 Democrats took part in the 2004 primary. Nearly twice that number took part in the Republican primary in 2000. So, when we put these three states together, how many people are the candidates clamoring for. The total number is sure to be less than one percent of the U.S. population.

(END VIDEOTAPE)

LEVS: But of course, it's a very powerful and influential fraction of a percent. Now, I'll tell you, there have been debates over the idea of a national primary date, but there's been no movement in that direction. So, guys, for now we can expect the process, just like it is, to repeat every four years.

KAYE: What would be some of the arguments then for a national primary day if there has been some discussion?

LEVS: Well, in the national primary -- yes, I mean, it's good to mention that because some people think it's great the way it is with a small number.

One of the biggest ones is if it was everyone voting on the same day then it would only be run on the major issues. You would only hear, immigration, health care, Iraq, whatever the top issues are. This way, the person who wants to become the leader of the free world has to actually care about the needs of farmers in Iowa or individual nurses in Michigan that -- it becomes microcosmic and that's good in choosing a president.

But I'll also tell that there are people pushing, such as on this site, Nationalprimary.net. They are pushing for a national primary day because they say, look, the whole country should be involved in this huge decision and there some leaders who talked about it before. At CNN, we reported Mel Martinez at Republican national committee, several months ago, said, maybe it would be a good idea.

So, that debates going to continue. We'll keep hearing both sides. But in the meantime, it's just not happening anywhere in the near future.

KAYE: It's amazing though, how few people are actually making the decision for everybody.

LEVS: Why, less than one percent

KAYE: All right. Josh, thanks so much.

LEVS: Thanks.

KAYE: More than two years after hurricane Rita, people in Texas still waiting for the money to rebuild.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Do you think the state has done a decent job of getting money in this ...

UNIDENTIFIED FEMALE: So far right now, no. I think within two years something should have been done by now for us in this little community.

(END VIDEO CLIP)

KAYE: Where is all that money going? We are keeping them honest.

HOLMES: Hey, we're trying to keep Reynolds Wolf honest this morning as well. Reynolds, what've you got going on over there?

WOLF: Sometimes reality with the weather is tough business. Talking about it is not an easy task. You know folks, if you're just about to drop the kids into the minivan and make that drive to grandma's house, I can let you know if it's going be a screaming nightmare or smooth sailing. Be sure you stay tuned for that one.

Plus, the road ahead in the air. Is it a crying day for you? If you sure looks that way, we'll talk about delays we have now and what we can anticipate through the rest of the day. This coming up right here on CNN SATURDAY. Don't go anywhere, really.

(COMMERCIAL BREAK)

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Keep your driveway and walkway slip free during winter months. Shovel as much snow as possible, shovel early, and shovel often. Only use salt on icy spots that can't be removed with a shovel. Use calcium chloride rather than sodium chloride salt. It's less harmful and you can easily find it in most home supply and hardware stores. While calcium chloride costs three times as much as standard sack, you'll only need one-third as much to get the job done. You can also mix salt with sand or kitty litter so you use less of it.

I'm Gerri Willis. And that's your Tip of the Day. For more ideas, strategies and tips to save you money and protect your house, watch "OPEN HOUSE" today at 9:30 a.m. Eastern right here on CNN.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

HOLMES: Good morning and welcome back, everybody. I'm T.J. Holmes.

KAYE: I'm Randi Kaye in for Betty Nguyen getting you caught up with the all-important news this morning. Here are some of your Quick Hits.

HOLMES: Here on first: a sexual predator on the loose in one Los Angeles suburb. He was caught on surveillance tape. Check this out. He's trying to abduct a four-year-old girl.

Now, there he is in the picture there walking through to some of the surveillance tape, then it cuts to another shot showing him actually carrying the four-year-old, her kicking and screaming. You see it there in the middle of your screen. Then there's another little boy that comes up and he's yelling and screaming and scares the guy and he dropped the little girl when that small boy chased after him.

KAYE: And police believe this man has groped or touched at least three women in the Mission Hills area. Women are being warned not to walk alone at night.

American Eric Volz is released from custody in Nicaragua. Four days after a judge overturns his murder conviction. Court officials blame a paper mix-up for the delay. Volz was found guilty in 2006 of murdering his girlfriend despite witness testimony. His mother spoke to CNN yesterday about his ordeal.

(BEGIN VIDEO CLIP)

MAGGIE ANTHONY, MOTHER OF ERIC VOLZ: It's horrific. It's the most painful, agonizing, dark period of my life. It's just been insane, absolutely insane.

(END VIDEO CLIP) HOLMES: His mom says right now her son is in hiding. He's afraid for his life. Prosecutors in Nicaragua are appealing his release.

We'll turn now to French president, Nicholas Sarkozy who's in Afghanistan this morning. He's meeting with Afghan president, Hamid Karzai. He's going to be speaking with some of the French troops deploy there as part of the NATO force. France has about 2,000 service members committed to Afghanistan. The new Australian president, Kevin Rudd, also in Afghanistan right now.

Well, we talked about the travel season and the holidays mean travelers can expect some delays -- weather delays. But today, it's not the white stuff, it's the soupy stuff that's getting folks in Chicago. That area has been packed and with dense fog, more than 200 flights cancelled at O'Hare yesterday. And low visibility is expected to continue through this morning.

The clouds were also a problem for air travelers in the northeast. We can kind of see that here from this picture in Boston. Arriving flights into New York area airports were delayed as usual late yesterday.

KAYE: And of course the big question this morning is where are those delays? Right now, meteorologist, Reynolds Wolf is here with all the answers.

WOLF: Well, believe it or not, we don't have too many delays to speak of at this time, but it's inevitable. It's going to happen. When you have this many airplanes, check them out. I mean, every single white blip you happen to see on the map that indicates an airplane that's in the air. It is going to be an absolute mess and gives you good reason why, being an air traffic controller is one of the most stressful occupations. Can you imagine trying to keep up with all these planes? Especially on the eastern seaboard into the Midwest, it is a crowded sky and should be through a good part of the day.

Now, let's talk about delays for a just moment. Could the O'Hare area, Chicago O'Hare maybe midway, could we have backups there? Well, already we have a delay at O'Hare, a grand delay of 55 minutes. That is going to be pretty much what we'll deal with for a good part of the morning. But as the morning goes on, we may be dealing with a little more.

Here's the reason why. We do see this boundary drifting its way from west to east. Already, we've got some backups in terms of traffic in parts of Kansas, we've got whiteout conditions, a blizzard warning, also in Minneapolis and St. Paul, it's a combination of rain, sleet and snow. You could see some backups at that airport throughout the morning. That's the latest we've got for you.

Let's send it right back to you guys with more.

KAYE: All right. Thank you, Reynolds. It is important to remember the U.S servicemen and women deployed overseas, especially during the holidays. Army Private First Class Sarah Halik joins us from Iraq to talk about what troop there are doing to get ready for Christmas. Good morning.

PFC SARAH HALIK, U.S. ARMY: Good morning.

KAYE: Well, tell me, what is the mood there in Iraq as we approach Christmas this year? Are people getting ready to celebrate? Will you be celebrating?

HALIK: Oh, definitely. They've done a really good job. Everybody here is taking part and trying to decorate and keeping everyone's spirits up. They've done a really good job trying to keep everyone happy around here. And everyone wants to be home, of course, but, you know, I have a lot of friends here, and we're doing pretty well.

KAYE: And tell me what you miss most, Sarah, about being home on Christmas.

HALIK: Other than my dog, I miss the snow. Right now, I think they have about a foot of snow at home, so something I definitely miss.

KAYE: Hey, when was the last time you spoke with your family, and what would you want to say to them on Christmas?

HALIK: I try and talk to my mom quite a bit. I know they miss me right now. I miss them like crazy. I just hope they have a safe Christmas and that they have fun even though I'm not there with them.

KAYE: Well, you know, I happen to have had a conversation with your mom and your sister. They apparently really miss you, too, so much so they decided to come into our studios here in Atlanta and speak with you this morning. And we want welcome Christine Halik and Jenna Halik. Good morning to both of you.

CHRISTINE HALIK: Good morning.

KAYE: You want to say something to your daughter?

C. HALIK: I miss you, Sarah.

S. HALIK: Oh mom, I miss you too. Hi.

KAYE: Jenna, you want to say something to your sister?

JENNA HALIK: Hi, Sarah. We've missed you.

KAYE: Well, the funny thing is that your mom was telling me that you were texting her last night telling her to watch CNN, there's going to be some big surprise. Well, who really is the surprise on?

S. HALIK: I can't believe this. She's never surprised me like this. Usually, we're so anxious to give each other Christmas presents, it's like I just got you something really nice, but just open it out of play. I can't believe she kept this a secret.

KAYE: Yes, it's hard for moms to keep secrets for sure. Well, Sarah, why don't say something to your mom and tell us what you would like to wish for your family this Christmas.

S. HALIK: I just hope you guys have a good time. And I miss you like crazy. Travis misses you like crazy. And just know that I'm safe and that I'll be coming home soon, hopefully, in the next couple months. It will go by fast, and I promise to get home safe.

KAYE: And if there was one thing that you would want for Christmas, Sarah, what would that be?

S. HALIK: I would definitely like to be home. I know my mom does a great job with Christmas. She's always decorated a lot. She's always cooked huge meals even though there are only five of us to feed. She'd make enough for about 25 people. And I really miss that, I miss the atmosphere, I miss that feeling of being at home.

KAYE: And we know that you miss your dog as well.

S. HALIK: If I have to be out here -- if I have to be out here, I wish I had my dog.

KAYE: Yes, I'm sure. And of course, you know, we're pretty good at linking folks together here at CNN, but one person who we weren't able to get with us this morning, Sarah is your brother. Tell us, if you would, Chris, where he's serving and how he's doing.

C. HALIK: He's with the Marine Corps, he's now in (INAUDIBLE) and he's also home sick, I believe, from when I talked to him. I've sent several care packages to them -- and there's a great picture. Sarah went to the marine ball with her brother. So, yes, I've sent him things and found out they were already peeking at the presents. They did not wait for Christmas. They were already starting to ...

KAYE: You can't blame them there.

C. HALIK: No.

KAYE: Well, I'm sure it's nice at least to know that your children are safe even if they can't be home this holiday. So ...

C. HALIK: Yes. I'm ...

KAYE: Thank you all. Sarah, we wish you the best holiday there that you can possibly have, and Jenna and Chris, thank you both for coming in.

C. HALIK: Thank you.

J. HALIK: Thank you.

KAYE: We were happy to make this work out for you.

C. HALIK: Thank you very much. I love you, Sarah. S. HALIK: I love you, too, mom.

KAYE: T.J., how about that?

HOLMES: Oh, my goodness, are you kidding me? That is so nice to see around the holidays. So sad they have to be apart, but glad we could link them up this morning. That marine ball looked like a blast, didn't it, Randi?

KAYE: Sure did.

HOMES: Well, we're going to go on here to talk about the millions of dollars sent to Texas to rebuild after hurricane Rita, but not much has been spent. Why? Why is this taking so long? What's the hold up here? We're Keeping Them Honest.

And also, David Beckham, you know, it seems like we just couldn't get enough of Beckham and his Posh Spice, I believe it is, this year. Well, who else made the top sports stories of 2007? We'll find out.

(COMMERCIAL BREAK)

KAYE: Still waiting: that is the story for thousands of victims of Hurricane Rita. More than two years now, after the storm slammed into the Texas coast, they still have not received the money to rebuild. Keeping Them Honest, we went to find out why.

(BEGIN VIDEOTAPE)

KAYE (voice over): The numbers are staggering. After Hurricane Rita, nearly $500 million federal dollars targeted for rebuilding were sent to Texas, but only a fraction, $1.1 million, has actually been spent on rebuilding homes.

HELENA SAUNDERS, SABINE PASS RESIDENT: This is my little house.

KAYE: This 69-year-old grandmother from Sabine Pass has been living in this FEMA trailer since the storm.

(on camera): So, your house used to be right out there?

SAUNDERS: Yes, yes, yes. It used to be right out there in the front.

KAYE (voice over): Helena Saunders can't afford to rebuild on her own. In all this time, she hasn't gotten a single dollar from the state.

(on camera): Do you think the state has done a decent job of getting money to folks?

SAUNDERS: So far right now, no. I think within two years something should have been done by now for us in this little community.

KAYE (voice over): It's not all of the state. Most federal money didn't reach Texas until this year. But the state did get $43 million a year and a half ago, and it's only spent $1 million, a big chunk of that on administration. Meanwhile, the state audit shows as of September only 13 of more than 4,000 applicants had received homes. Keeping Them Honest, we asked the state what gives?

(on camera): These are the neediest people. How do you justify more than two-year wait to get emergency funding, as they call it?

MICHAEL GERBER, TEXAS HOUSING COMMUNITY AFFAIRS DIR.: There's just intensive rules that you have to work through, and it's very intensive case work.

KAYE (voice over): Michael Gerber says the pace has quickened. One hundred twenty homes now built or bid out. Not enough for people here.

(on camera): Walk down any street here in Sabine Pass and you're going to find people living in FEMA trailers. This family right here is so big, they needed two trailers. Right here, you have another family in a trailer, across the street another trailer, and I can see even more trailers down there in the distance. All of these people just waiting, wondering, will there money ever come?

(voice over): Gerber points to multiple federal requirements -- environmental testing, historical preservation clearances, and more. But, he concedes, the state also moves slowly to avoid fraud. And there are other problems. Gerber's agency asks local counsel to determine eligibility, but the audit says counsels didn't do the job right and the state didn't catch that, much less fix it. Some eligible families were told they were not eligible.

(on camera): Has your agency failed or been a success in this process?

GERBER: I think it's been mixed results.

KAYE (voice over): The audit also says there weren't enough workers to handle the caseload.

(on camera): These people have nowhere to live and part-time employees are being used to handle their case loads. How can that be OK? How can that be allowed?

GERBER: I think that's really unfair.

KAYE: If you lost your home, would you not want full-time employees on your case to get this done?

GERBER: Well, there are lots of full-time employees that are involved in this.

KAYE: But from what I understand, they're doing this work in addition to doing their full-time jobs.

GERBER: There are some employees who do a myriad of things. KAYE (voice over): Helena Saunders' application shows she applied for aid December 6, 2006. Her son tells me, they've heard nothing back.

ADAM SAUNDERS: It's been over a year since the applications have been done and we've just been sitting and waiting.

KAYE: From the back of Adam Saunders' pickup, we got to see the progress for ourselves.

(on camera): How do you feel when you drive around and see that your town is still not put back together?

A. SAUNDERS: Yes. It's really sad, you know. I mean, it's a place that's home and that you love, and to see that we're still suffering and haven't come back yet. It's really difficult at times.

KAYE: We've been driving around here all day, and the need is apparent. $12 million has been set aside for Sabine Pass. The state has the money, but hasn't spent a penny of it. Residents here tell us they don't expect to know if they even qualify for that money until spring of next year.

(voice over): Back at Helena Saunders' trailer, hope is running low.

(on camera): Are you confident you'll get this money anytime, soon?

H. SAUNDERS: I feel like I won't. I feel like I won't get it. And that's a bad way to feel.

KAYE (voice over): It makes you wonder why they call it "Emergency Funding" in the first place.

(END VIDEOTAPE)

HOLMES: Yes. That's the point. We need emergency funds. Here you go.

KAYE: Two years later.

HOLMES: Use it. I mean, did I hear that right? It doesn't make any sense. You've got this money, you're not able to spend it, so, let's give you some more money. Am I hearing that right? So, why they've been given the money they can't spend the first batch of money that they've got.

KAYE: Right. They've got a lot of money in 2006 and they got more money in April, actually, of this year, and they still haven't been able to spend that because what they've done now is hired this outside company out of Dallas to work with dispensing all this money, which is like $266 million.

HOLMES: Wow. KAYE: And they still haven't signed the paperwork with that company. They don't want to use these local councils this time around because it didn't go so well the first time around. So now, they're going to use this other company which they still haven't signed the contracts with. So, that's another delay. And meanwhile, these people are now about to spend their third Christmas in these trailers.

HOLMES: And these people you're talking about, is there anything that you heard down there that should make them feel better that this money is about to get used? And it's not. OK.

KAYE: No. I wish I could tell them that it's going to get better real soon, but nothing that I've heard yet.

HOLMES: Keeping Them Honest. Wow, that's just shocking to hear. All right. We will move on.

Let's turn to our top sports stories of the year now. It's been a crazy, crazy year in college football with upsets happening pretty much every week. How will the topsy-turvy football season rank among the top sports stories of the year? Stick around for that.

Also, with all of the last-minute shoppers ...

KAYE: That would be me. I'm a last-minute shopper. I'm going to try and save this holiday season. And we are going to tell you why retailers are banking on all those last-minute shoppers like me and you.

HOLMES: Speak for yourself.

(COMMERCIAL BREAK)

HOLMES: Well, hi. So, what sport story stands out in your mind for 2007? Chances are it's not a feel-good sports story. Michael Vick, Marion Jones, Barry Bonds. All right. It just goes on and on and on. Some of the athletes caught in the middle of incredible sports stories this year. CNN sports analyst, Rick Horrow, pretty Rick with the collar. He joins us from West Palm Beach, Florida.

Sir, really, there are not that many feel-good stories this year, but, we will start with the list. The top five at least that you've identified for us. Number five: the Beckhams.

RICK HORROW, CNN SPORTS ANALYST: Number five: Beckham coming to America. Well, soccer finally catches on. The next generation, the next, the next, the next. Well you know what? Beckham signs from Real Madrid here, quarter of a billion dollar contract with AIG, plays with great fanfare, unfortunately, he gets injured.

The only good thing about all of this right now, is Victoria, his wife, buys a $35 million mansion in So Cal and does a reality series. So, at least they contribute to the economy even if the team isn't worth the leg the playing of the games. That will turn around.

HOLMES: But Beckham ended being a bust, would you agree? HORROW: Well, short term, challenged, how's that?

HOLMES: Wow. Oh, the kinder, gentler Rick Horrow, for this 2008, maybe. Alright. Number four, tell us what this was?

HORROW: Well, number four is really kind of interesting because it's a combination of rule breakers. So, it's not just on the field, although Belichick caught with spygate, the NFL fines him nearly a billion bucks, takes away playoff games. If a draft pick didn't go to the playoffs. Playoffs, patriots, they're undefeated. Tim Donahue, official, scandals, NBA may be looked at differently. Off the field, Bobby Petrino by the way, bolts Atlanta to go to your alma mater.

HOLMES: Yes, sir.

HORROW: And Nick Saban leaves Miami where I am to go to Alabama. He writes a championship behavior book. I've covered it up. Here, I don't want people to see the cover of it. By the way, it's not selling very well. I guarantee you that.

HOLMES: As I imagine. Let's move on quickly now to number three, the only I guess feel-good, something to feel good about the top five list of sports stories, the college football season.

HORROW: Cinderella on campus, what we call it, OK? Appalachian state beats Michigan beginning of the year on their way to the division two championships. Seventeen teams in the top five get knocked off by unranked opponents, the most ever. And look who's in the BCS final game, Ohio State, LSU, and two other teams, Hawaii and Kansas, have never been there before. A $5 billion business, indeed.

HOLMES: It was an absolutely fun year. We should have known with Appalachian state starting the year off at first week beating Michigan, that it's going to be a fun one. Well, move on to number two quickly, and Michael Vick.

HORROW: Number two: Vick behind bars. He goes from the number- one jersey seller, 13 corporations, big-time contract, 23 months in prison, and indictment, arraignment, sending the NFL into a tizzy. Now, the prison system is rumored to be fielding an all-world football team for Michael Vick to play on.

HOLMES: Oh, my God. You've got jokes this morning. All right. And the number one story. We could probably break this down into several different facets, but you're going to just lump it all together and tell us the number one sports story we had of the year.

HORROW: Drum roll, number one, Marion Jones, Barry Bonds, George Mitchell, steroids, steroids, and steroids. You know, Bonds breaks the home run record, Jones, the most prolific Olympian, maybe she gives back her medals. He's indicted. The bottom line is 77 percent of the California school children surveyed agreed with the survey that says you need to cheat to be recognized. And unfortunately, that's the biggest sports story of 2007. Other than your razorbacks and everybody else that's going to go down during your new year holiday, pal. HOLMES: Wow. I was trying to wrap up the year. I have to say something positive to you to wrap up '07. Never mind, now. Pretty Ricky, always good to see you. But still, merry Christmas to you, happy new year. I can't wait to see you in '08, buddy.

HORROW: Yes, sir. You, too.

KAYE: A fallen hero in Iraq leaves behind a partner. He is Lex, the marine dog, and now he's all set for civilian life after a hard fight to get the canine an early discharge.

(COMMERCIAL BREAK)

KAYE: Lex is a bomb-sniffing German shepherd and a veteran of Iraq. And Lex's handler in Iraq was Marine Corporal Dustin Jerome Lee until a mortar attack killed him last March.

HOLMES: And the dog was also wounded in that attack. CNN's Rusty Dornin now has the story of what happened next.

(BEGIN VIDEOTAPE)

RUSTY DORNIN, CNN CORRESPONDENT (voice over): An old pro going through his paces for the last time, at least for his military career. This 8-year-old German shepherd, Lex, was the canine bomb-snipping companion of Marine Corporal Dustin Lee. Lex was at Lee's side when his handler was killed in an attack last March in Iraq that also wounded the dog.

2ND LT. CALEB EAMES, U.S. MARINES: Corporal Lee was found on the ground and Lex was right beside him. In fact, Lex had to be pulled away from Corporal Lee in order for the medical staff to attend to him.

DORNIN: When Lee's body came home to Quitman, Mississippi, it was a welcome worthy of a hero. Tearful townspeople lined the streets for a young man known to be a patriot. When the marines brought Lex to see the family, Lee's younger brother, Cameron, played for hours with the dog. This was then the family began its fight to get an honorable discharge for Corporal Lee's faithful companion.

JEROME LEE, FATHER: Since his death, we've been trying to get his dog, Lex, home from the Marine Corps and, needless to say we've had difficulty there.

DORNIN: Lex still had two years of service left until his mandatory retirement at age 10. That was a problem for the marines. Lex was an active-duty dog. The request went from the base colonel to the commandant of the Marine Corps, and even had to go through the Air Force, which controls all military dogs. It took nine months and finally the marines relented.

EAMES: This is the first time that a family of a handler has been allowed to adopt a working military dog prior to his retirement.

DORNIN: Marine Corps officials say it cost thousands of dollars and man-hours to train dogs like Lex. Often the dogs are adopted by their handlers after retirement or given to local police departments. To the Lee family, Lex is a priceless gift whose leash was handed over to them in a ceremony at the marine base Friday. But for the Lees, Lex is not just a dog.

RACHEL LEE, MOTHER: A spiritual connection knowing that Dustin would be very proud.

DORNIN: The brother and sister of the fallen marine wasted no time taking advantage of their newfound friend.

J. LEE: To have a part of Dustin, to have a companion for them, Cameron and Maddie, the children have a part of Dustin to be able to play with. And he's always being a part of our family.

DORNIN: The four-legged military hero, now ready for play time as a civilian.

Rusty Dornin, CNN, Atlanta.

(END VIDEOTAPE)

HOLMES: Good morning, everybody. From the CNN center in Atlanta, Georgia, it is Saturday, December 22nd. I'm T.J. Holmes.

KAYE: And hello, everyone. I'm Randi Kaye in for Betty Nguyen this morning. Thanks for starting your day with us.

HOLMES: Now, let's take a look here. Call this flight tracker. Call this flat insanity. You're about to head out the door to get to the airport, the train, the roads, the mall. We got stuff we need to tell you, so stick around.

KAYE: But first, that other countdown. It may be hard to believe, but we are now just 12 days away from the thing they call the Iowa caucus and 17 days from voting in the New Hampshire primaries.

HOLMES: Yes. Last week, we were talking about major endorsements. Now the candidates are forced to do their own legwork. Not just the candidates out there doing the legwork and all over the place. Our Mary Snow is all over the place as well. She joins us this morning from Manchester, New Hampshire.

Good morning to you, ma'am.

SNOW: Good morning, T.J.

And you know, along with all the holiday decorations here in New Hampshire, there are campaign signs dotted on lawns and walls and candidates zigzagging across the state, trying to get out their message and push for votes. Senator Hillary Clinton is here in Manchester this morning. She is stressing women voters and really making a push.

Her event this morning making history, moms and daughters making history with her, her daughter Chelsea and her mother, Dorothy Rodham. This is the first time that Chelsea and Dorothy Rodham are campaigning here in New Hampshire. They came here yesterday. And women can make such a crucial deciding factor in some of these votes.

Now the message is to try and get out and get them to the primaries. Senator Clinton in the past couple of days has really been appealing to her softer side at some of these events. Yesterday, she stopped at a cafe, had coffee with voters and mingled with her daughter and her mother.

Also coming here to the state today, Republican presidential hopeful Rudy Giuliani. He was hospitalized overnight Wednesday in St. Louis. His campaign said he had flu-like symptoms but has a clean bill of health. Giuliani was at a fund-raiser in New York. This is the first time though today hell be back on the campaign trail. His campaign says he's met with his doctor yesterday in New York. He is expected to have a town hall meeting here this afternoon.

Also on the Republican side, former Massachusetts Governor Mitt Romney will be spending the weekend here in New Hampshire. Mitt Romney has been leading in the polls in this state. He's going to make another swing today and tomorrow while many of the candidates (INAUDIBLE) big push here in New Hampshire leading up to the primary -- T.J.?

HOLMES: All right, our Mary Snow for us in a cold Manchester, New Hampshire. Mary, we appreciate you this morning. We will stick with some politics and talk about Secretary of State Condoleezza Rice firing back at one presidential candidate, a Republican. Mike Huckabee accusing the Bush administration of a, quote, arrogant bunker mentality when it comes to foreign policy. Rice rejects that criticism. She didn't mince words when asked about it during a news conference yesterday.

(BEGIN VIDEO CLIP)

CONDOLEEZZA RICE, SECRETARY OF STATE: The idea that somehow this is a go it alone policy is just simply ludicrous and one would only have to be not observing the facts, let me say that, to say that this is now a go it alone foreign policy.

MIKE HUCKABEE (R) PRESIDENTIAL CANDIDATE: We are so unable to plan out policy differences and how things would change under a new administration and maybe we shouldn't run for president. We'll just keep the current one in office.

(END VIDEO CLIP)

HOLMES: Huckabee's challengers have recently questioned his foreign policy credentials. You want the most up-to-the-minute political news anywhere available, cnnpolitics.com, your one-stop shop. It's the Internet's premier destination for political news, again, that is cnnpolitics.com.

KAYE: Let's move on to another possible factor in the early voting states -- the weather. It is not unusual to see snow on the ground in Iowa this time of year. Bad weather there has already messed up some campaign schedules and could cause some big problems on caucus day, January 3rd. It is the same in New Hampshire. Weather caused Mike Huckabee to cancel some of his events there this week.

And it is a big travel weekend, but just how treacherous is it out there? Meteorologist Reynolds Wolf tracking things for us.

(WEATHER REPORT)

HOLMES: All right, Reynolds, thank you kind sir. We'll see you again here shortly.

Holiday shoppers making a final push this weekend because this is their last chance.

KAYE: Are you going to be one of them?

HOLMES: I've got one item to get and you're trying to help me with it, my sister. Look.

KAYE: You're saying it.

HOLMES: It's OK. I need some help. My sister, send me a quick text message, tell me what you want but I need to know by 1:00.

KAYE: I've been trying to help him with this all morning. It's not working.

Will all of you late shoppers spend enough to make retailers rejoice? Our Jim Acosta is at Macy's flagship store in New York City and Jim, how are the crowds there?

JIM ACOSTA, CNN CORRESPONDENT: So far no crowds this morning, Randi. Even in New York City, even in Manhattan at 8:00 in the morning, the crowds might be a little bit light. So it's a good time to come shopping. We're out in front of Macy's, which is now open 24 hours, if you can believe it, but that's pretty much following the trend this year.

Holiday shoppers aren't exactly being scrooges this year, but they are looking to stretch their dollars and retailers are responding with steep discounts just in time for those last-minute procrastinators.

(BEGIN VIDEOTAPE)

ACOSTA (voice-over): Retail stores are pulling out all the stops to make sure this final holiday shopping weekend won't be the nightmare before Christmas. The industry is looking to last-minute shoppers to stave the season.

UNIDENTIFIED MALE: I intentionally like to go late, you know, sort of last minute because it creates more excitement, enthusiasm and fun.

ACOSTA: Fun is not in the forecast for the nation's retailers. They're predicting a disappointing 4 percent increase in sales this holiday season, nearly a full point lower than the 10-year average.

SCOTT KRUGMAN, VICE PRES., NATL RETAIL FEDERATION: The reason for the slowdown, we're seeing a more conservative consumer. Clearly, the housing market, the credit crunch, rising energy costs and inflation is certainly taking its toll.

ACOSTA: Even the red-hot online shopping sector is seeing a drop- off. Although Internet sales are expected to jump by 20 percent, that's down from last year's performance.

UNIDENTIFIED MALE: I think it is pretty clear that there's a lower level of confidence this year, a hesitancy to spend and that's dropped the growth rate somewhat. All of that said, 19 to 20 percent growth rate is nothing to sneeze at.

ACOSTA: One soft spot in the economy that actually could help retailers, the weak dollar. Foreign shoppers are opening up their wallets, treating glitzy U.S. department stores like bargain basements.

UNIDENTIFIED MALE: Our money's going a long way.

ACOSTA: The analysts say a strong finish to the holiday shopping season would give the economy some much-needed good cheer.

DANA TELSEY, TELSEY ADVISORY GROUP: Shopping retail, you want a good holiday season in order to kickoff 2008 on a better platform.

(END VIDEOTAPE)

ACOSTA: The day after Thanksgiving used to be the make-or-break time for retailers. Now it's those 15 days or 10 to 15 days before Christmas that really matter most when roughly 40 percent of shoppers do their spending and retailers better hope that trend holds up this year. Back to you guys.

HOLMES: We will see if it will. Jim Acosta, always appreciate it. Good to see you this morning, sir.

KAYE: Getting you caught up with more stories in the morning, here are some of your quick hits. A sexual predator is on the loose in one Los Angeles suburb. He was caught on surveillance tape trying to abduct a four-year-old girl. He dropped the girl when a small boy chased after him. Police believe this man has groped or touched at least three women in the Mission Hills area.

HOLMES: A hundred and seventy more years for Michael Devlin. A Federal judge tacked that on to the 74 life sentences he's already serving. Devlin you may remember was convicted for kidnapping and sexually assaulting two teenaged boys in Missouri. One of them, Sean Hornbeck, was kept for more than four years.

KAYE: More than a decade after Princess Diana's death, there is new information coming out about that fateful August night. A bartender told the British court that Diana's driver was so drunk he was walking like a clown. A British inquest has been under way now for 2 1/2 months.

A teen dies while waiting for a liver transplant.

HOLMES: And now her parents say her HMO could have saved her life. They do plan to sue. We'll have that story, also this.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: You know, you get on a fast track like for a month or 30 days or something like that. All of a sudden you quit.

(END VIDEO CLIP)

KAYE: Everyone makes a New Year's resolution, but the hard part, as we all know, is keeping it. We have some good tips for you.

HOLMES: First, here we have some holiday cheer with pictures of our CNN staffers. Those actually aren't staffers. They're children.

KAYE: They're asleep on the job.

HOLMES: Oh, that's a great picture.

(COMMERCIAL BREAK)

HOLMES: Well, it was a dramatic change of heart, but it came too late. The California teen in need of a liver transplant died hours after an insurance company reversed its decision and finally agreed to pay for a transplant.

KAYE: Now the family's attorney wants the insurance giant, Cigna, charged with murder. Kara Finnstrom has that story.

(BEGIN VIDEOTAPE)

KARA FINNSTROM, CNN CORRESPONDENT (voice-over): The girl's grieving family now says it will fight the insurance company who at first refused to pay for their daughter's liver transplant.

KRIKOR SARKISYAN, NATALINE'S FATHER: These Cigna people, they cannot make people's decision if they're going to live or die. Doctors can do it. Doctors, they all signed the papers. They sent it the Cigna. Cigna denied it two times.

FINNSTROM: Seventeen-year-old Nataline Sarkisyan had been fighting leukemia for three years. She received a bone marrow transplant from her brother, but there were complications and her liver failed. On December 11th, Cigna responded to a letter from doctors at UCLA medical center who had requested a liver transplant. Cigna vetoed the procedure, calling it experimental in Nataline's case.

That same day, doctors at UCLA medical center asked Cigna to reconsider saying patients in situations similar to Nataline's who undergo transplants have a six-month survival rate of about 65 percent. On Thursday, about 150 people, including nurses, rallied outside Cigna's offices and learned of a dramatic change of heart.

HILDA SARKISYAN, NATALINE'S MOTHER: Time is ticking and Cigna is so wrong. OK. Cigna -- can I announce it? Cigna just approved us. You guys!

FINNSTROM: Cigna said despite a lack of medical evidence showing the procedure would work, they would make an exception in this rare and unusual case. But by that time, doctors said her condition had worsened.

K. SARKISYAN: I just got a phone call from the hospital. She is not doing good and we're heading there right now.

FINNSTROM: On doctor's advice, the family made the decision to take Nataline off life support. A short time later she died.

K. SARKISYAN: I'm sorry I don't have her again with me here. I have her picture. I love her. My family loves her.

FINNSTROM: The family is now taking legal action and has hired high-profile lawyer Mark Geragos.

MARK GERAGOS, SARKISYAN FAMILY ATTORNEY: We believe that they single-handedly decided that they wanted to have her die and wait so that they would not have to take the aftercare coverage and pay for that.

FINNSTROM: Geragos will also ask the district attorney to consider manslaughter or murder charges against Cigna. Cigna has not responded to our requests for an interview, but issued a statement saying that they deeply hope that the outpouring of concern, care and love that are being expressed for Nataline's family help them at this time.

(on-camera): The California Nurses Association says Nataline's death is a horrific tragedy that shows the stranglehold insurance companies have on healthcare. This girl's fight for life has become a test of whether insurance companies have too much control over life and death.

Kara Finnstrom for CNN, Los Angeles.

(END VIDEOTAPE)

HOLMES: All right. Now it's time for us to talk about what the CNN viewers are digging the most this year. Josh Levs, I'm sure they were digging you this year, but that's not what we're here to talk about.

LEVS: I don't know. I'm not in the top 10, what's that about?

KAYE: T.J. is though. We know T.J. is in the top 10.

LEVS: We'll take care of that one. Here's the thing. You all out there get to tell us pretty much. We're going to show you coming up, this is so cool, we're going to show you some of the top 10 videos of the year, but you all are going to tell which order they should go in from one to 10. It goes from Beyonce's bounce to don't taze me, bro. It's going to be a lot of fun. Coming up, Randi.

KAYE: That does sound fun, thanks Josh and how about a new you this new year? What's the number one resolution? Yes you might have guessed it, losing weight. Some tips on hanging tough and sticking to those resolutions coming up.

(COMMERCIAL BREAK)

KAYE: Welcome back, everyone. As we near the end of the year, it is a good time to review some of the outstanding stories you've seen right here on CNN.

HOLMES: Josh Levs of the dot-com desk now put down those reality hats. Can you switch hats for us now?

LEVS: (INAUDIBLE)

HOLMES: Yes, that's right. He wears many hats.

KAYE: Yes, I do know that. I watch the show. I may not be here every Saturday and Sunday, but I watch.

HOLMES: You watch.

LEVS. America watches.

KAYE: I do. Who doesn't watch? Let's be honest here. Did I earn some points there?

HOLMES: You got a little bit.

KAYE: OK, good.

HOLMES: We got best videos to talk about. Please, tell us.

LEVS: OK, a lot to choose from. Here's the deal. Right now on cnn.com, you all can tell us what the top 10 videos are. Let me show you what it looks like. Basically, we've got the ability for you to go and take a look at what the top 10 most watched videos were this year, but within that webpage, you get to drag and drop.

So, you're going to take a look at those videos and you're going to tell us what you think the best one was. You put them in order. We are going to put together what everybody says and that will ultimately be the top 10 most popular videos of the year.

For example, let's take a look at this one. One of the biggest ones this year, Beyonce's bounce, we called it, falling. This was caught on YouTube.

KAYE: I'm not sure she appreciates being one of the top 10.

LEVS: She asked people at the concert please not to put it on YouTube, but they did it anyway. She's Beyonce. She looks perfect even when she's falling. What are you going to say?

HOLMES: That is the most beautiful fall I've ever seen.

LEVS: I was watching it all day.

Let's move on, a kind of serious one, 9/11 mystery plane. Remember, this plane, we have this information now, this plane flying around on 9/11, and our John King had a report on how it seems to be a military aircraft, but no one understands what it was doing up there or what role it was and that leads to conspiracy theories and there's some information that we still don't know about the events of 9/11. So there's that.

And finally, this one that is best known by this sound bite.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: I didn't do anything. Don't taze me, bro. Don't taze me. I didn't do anything.

(END VIDEO CLIP)

LEVS: Of course that was caught by our I-reporter, actually (INAUDIBLE). She shot that at the University of Florida when student Andrew Meyer had an incident during a John Kerry event in September and he became famous internationally for the phrase "don't taze me, bro'," which ended up being the number one phrase of the year, so we assume that one will do pretty well in the top 10, but you all still have time, cnn.com, you let us know.

KAYE: You going to vote?

HOLMES: I'm going to vote. I've got a favorite in there.

LEVS: I know his order.

KAYE: I know, too.

HOLMES: Thank you, Josh.

LEVS: Thank you, guys.

HOLMES: All right folks, four key tips to keep your new year's goals on track in 2008. I don't think being a blue man has anything to do with it. We're going to explain that story a little later as well. You could see the guy is actually blue. It is not paint. It is not -- really, he didn't mean to do that. We'll explain what that's about.

KAYE: One guy who we know who isn't blue, Dr. Sanjay Gupta. He's here with a preview of today's "HOUSE CALL."

(BEGIN VIDEOTAPE)

GUPTA: Thanks, guys. A little Iraqi boy named Youssif tops the show this morning. He was burned on the streets of Baghdad about a year ago. We're going to have an update on his journey to heal.

Then, is holiday togetherness getting on your last nerve? We have a psychologist standing by to talk about dealing with family tension this time of year and how to survive the cold.

The forecast, you're going to want to hear this, coming up on "HOUSE CALL" at 8:30.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

KAYE: Lose weight, stop smoking, get out of debt. They are all New Year's resolutions many of you make every single year.

HOLMES: I need to do one of those three. Do you know which one it is?

KAYE: I'm not going there. Not going there.

HOLMES: But how many of us will be able to stick to them and change our lives for the better? CNN's Tony Harris asked the experts their recipes for success.

KAYE: Here's four tips to help you stay on track.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: As soon as I make them, that's when I break them.

UNIDENTIFIED MALE: You know, you get on a fast track like for a month or 30 days or something like that. All of a sudden you quit.

TONY HARRIS, CNN ANCHOR (voice-over): It's true. Most Americans drop their resolutions within the first six months of the New Year. The good news -- studies show 40 percent do succeed. We stop smoking, we lose weight, and get our financial house in order.

Amber Mette went from a size 16 to a size 10 in 2007. How did she do it? Tip number one: she was finally ready to change.

AMBER METTE, KEPT 2007 RESOLUTION: You just say that's it. You know, I'm tired of living this way, I want to have more energy, I want to have more time for me and I just got to the point where I was like, that's it. I really want in 2007 to keep my resolution.

HARRIS: Now, 27 pounds thinner, she's keeping up with her two boys with ease. The magazine owner and editor in chief resolved to lose weight by walking three days a week, joining Weight Watchers, and planning out her meals. That meant carving up more time for herself.

METTE: It's OK to say no. People -- you know, people will be disappointed that you don't serve on this committee or you're not there to help for whatever reason, but it's OK to say no.

HARRIS: Tip two: set realistic goals. Write them down. And slice them into very specific steps.

DR. NANCY MCGARRAH, PSYCHOLOGIST: Instead of saying my New Year's resolution is to exercise more, maybe my resolution is to go to the gym once a week and just start with something that seems doable, that doesn't seem impossible, that's not going to add more stress to your life.

HARRIS: Step three: don't go it alone.

METTE: I said, mom, my New Year's resolution is to lose weight and I want you to do it with me.

DR. STAN HIBBS, LIFE COACH PSYCHOLOGIST: If we make a commitment to ourselves, that's good, but making a commitment publicly, going on record and knowing that we're going to have to explain, that's a great motivator. We're all more likely to do what we need to do if we're accountable to someone.

HARRIS: And tip four, don't beat yourself up if you have a setback. Everyone falls off the wagon now and then.

MCGARRAH: The best predictor of success are people that can say, OK, I had a bad day. Tomorrow's another day. I can start over tomorrow. People that say, OK, that's it, I have no will power, I may as well go back to smoking or go back to whatever the habit is have the least chance of success.

METTE: It is such a marathon. It's not a sprint. And the more I realize that, the better I did.

HARRIS: Tony Harris, CNN, Atlanta.

(END VIDEOTAPE)

HOLMES: Well, good luck out there, folks, with your resolutions.

Now we got a story here, the blue guy. We know a little bit of the Smurfs, the cartoon guys with the blue skin. Well, take a look at this real-life Smurf.

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