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American Morning

Deadly Landslide in Indonesia; Holiday Sales Report: Retailers Disappointed With Results; Dems Strategy: Eight Days To Iowa Caucuses; Deadly Tiger Attack: Patron Killed at SF Zoo

Aired December 26, 2007 - 07:00   ET

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


JOHN ROBERTS, CNN ANCHOR: It had already killed one man and was mauling another near the zoo's cafe when police arrived. When the tiger lunged toward them, they shot it dead. And it's not the first time that this tiger has showed its killer instinct.
CNN's Dan Simon is live at the San Francisco zoo for us this morning. Good morning, Dan.

DAN SIMON, CNN CORRESPONDENT: Good morning, John. Well, zoo personnel at a total loss to explain how that 350-pound Siberian tiger escaped its enclosure and then attacked three people here at the zoo. That enclosure is surrounded by a 15-foot moat and a 20-foot wall. In fact, one zoo official telling us that there's no door it could have gone through, that it literally would have had to leap over its own exhibit.

This happened just after 5:00 p.m., an hour before closing time. The tiger first attacked a man, a 20-year-old man, right outside of the enclosure. He was killed on the spot. It then went about 300 yards to the outdoor cafe here at the zoo and attacked two more people, both men also around 20 years old. When police arrived here at the scene, the tiger -- it was still in attack mode. It was about to continue attacking one of those two additional victims.

Four officers took out their weapons. The tiger then made an aggressive approach toward those officers and that's when the officers fired on the tiger, killing the animal right there on the spot.

(BEGIN VIDEO CLIP)

VOICE OF STEVE MANNINA, SAN FRANCISCO POLICE SPOKESMAN: The tiger jumped back on top of the victim. The officers moved in closer. Shortly after, the tiger turned his attention and started to attack one of the officers. That's when the officers shot at the tiger, killing the tiger.

(END VIDEO CLIP)

SIMON: Well, those two additional victims, of course, they were taken to the hospital. They were alert when they got there. We are told they are in serious but stable condition. John, so many questions today about how something like this could occur. We were told that here at the San Francisco Zoo at least, nothing like this has ever happened before.

ROBERTS: However, Dan, if memory serves correctly, there was an incident involving this same big cat about a year ago, wasn't it?

SIMON: That's exactly right. Almost a year to the day, it attacked a trainer here at the zoo. It didn't get over the enclosure but actually lashed through its cage and lacerated the trainer's arm. The trainer, she ended up losing her arm. At the time, zoo officials made the decision not to euthanize the animal.

Authorities came in and later determined that the zoo was deficient in the way that cage was kept. The zoo made some improvements but, of course, there's going to be so much second guessing today about how that enclosure was kept and why zoo officials did not put down that tiger.

ROBERTS: Yes. I'm sure people will be second-guessing the wisdom of that decision. Dan Simon for us this morning outside the San Francisco Zoo. Dan, thanks.

And new details this hour in an amazing story of survival. A 13- year-old southern California girl is alive after a small plane crash. The plane went down Sunday in Panama over the Chiriqui Volcano. 37- year-old Michael Klein and his 13-year-old daughter Talia were killed along with the pilot. But Talia's friend, Francesca Lewis, survived. She is said to be suffering from multiple injuries and hypothermia.

CNN's Kara Finnstrom says the girl is now being moved to a hospital. Much for her treatment had occurred out there on the slopes of the volcano because she was too badly injured to get her out.

Other headlines new this morning. As many as 67 people feared dead from landslides in Indonesia. The main island of Java is the hardest hit after 12 hours of nonstop rain there. Heavy flooding across Indonesia is making it tough to get victims and get to victims in the disaster zone.

And the disaster comes on the three-year anniversary of the tsunami, an estimated 230,000 people killed in 12 countries across two continents. They were remembered in ceremonies today. The world pledged close to $14 billion in aid. It has been used to build roads, schools and more than 100,000 homes along the coast of Indonesia's Aceh province -- Alina.

ALINA CHO, CNN CO-ANCHOR: Thanks, John.

Be careful what you wish for. It was a white Christmas across the Rockies, plains and parts of the Midwest yesterday. But a record seven inches of snow in Denver led to some flight delays and cancellations there. In fact, United says it canceled 50 flights in Denver. But because Christmas is a light travel day, most people hopped on to other planes.

Reynolds Wolf in for Rob Marciano at our weather update desk tracking the extreme weather. So lots of people had a white Christmas.

REYNOLDS WOLF, CNN METEOROLOGIST: Oh, absolutely. You know, you just had a shot there a moment ago of some of the ski slopes in Colorado. Powderhorn Ski Area had over 19 inches of powder just yesterday. So you got some happy campers out there that are enjoying those Christmas presents. Those brand new skis, those boots, those poles are having a wonderful time.

Here's more images that you see here. And again, it's going to be a snowy day out there. A lot of snow on the ground that should remain for quite awhile. Let's zip right along and go right to the weather maps and show you some of the expected delays we have.

We already have a ground stoppage in Detroit and DCW. That will last until about 7:30. Other expected delays that we have for you, some of those may be in the New York area at all of the major airports, JFK and La Guardia, at least 15 to 30-minute delay.

Farther back to the Midwest we go. Pittsburgh looks pretty good, but Philadelphia about a 30-minute stoppage for you there. Throughout much of the Midwest, it looks a-OK for now. Minneapolis, St. Paul, about an hour delay. And into the southeast, we go.

This is where we really could have some problems especially from Memphis, southward into Houston, where at Hobby and Bush Airport, you may have some backups exceeding an hour. Good chance of showers, storms, maybe even some severe thunderstorms and there's a slight risk of tornadoes. From the backside system into Oklahoma, looking at a chance of snowfall.

Meanwhile, out to the west, from Las Vegas back to San Francisco southward into the L.A. basin, look for backups there, and about a 30- minute wait for you in parts of Portland. Also in Vancouver and Seattle, same story, about a 15 to 30-minute wait.

That's a look at your forecast across the nation. Of course, this is going to be a busy travel day for many. We're going to have more on the forecast coming up very soon. Let's send it back to Alina.

CHO: A lot of people watching us from airports today, airport terminals. Reynolds, thank you. We'll check back with you later.

The nation's retailers taking stock after this Christmas shopping rush with sales weak across the board, but luxury goods are a major standout. Why?

Ali Velshi at the business update desk with more on that. So, I don't get it, Ali. Luxury did well. Holiday shopping overall not so good.

ALI VELSHI, CNN CORRESPONDENT: Not so good.

CHO: What is going on?

VELSHI: Well, holiday shopping generally was up, by the way, about 3.6 percent according to Mastercard. Now, over the course of the next few days, we'll get different numbers. But that's kind of what people expected. That's the weakest growth in four years. But a big standout, more than double that percentage, was luxury goods. Take a look at what some of the different categories look like. Women's apparel was down. In fact, men's apparel was up, but I don't know how much clothes guys buy anyway, so what difference does that make?

Electronics up a little bit. Look at luxury, 7.1 percent. That's without jewelry. We're talking about high-end department stores, clothing, leather goods, and by the way, restaurants. Why, Alina?

You just mentioned those people at airports. Some of those people, you know, New York in 2007, looks like London or Paris in the mid-'90s. Europeans come in, spend time at the restaurants, at the hotels, buy their goods, fill up their suitcases and go back. American-based luxury goods retailers are doing very well because of the low dollar and because of the fact that you know, the rest of the world is still doing fairly well. While we talk about a recession, other countries are doing very well.

CHO: Oh, they're flocking to New York.

VELSHI: That's right.

CHO: I mean, the sidewalks as you well know, are crowded. I mean, there's some people who were coming over from Ireland, I hear, with six empty suitcases. They're flying back the next day after they go shopping.

VELSHI: That's right.

CHO: Really, really incredible. That's helping us.

VELSHI: If you go to the mall, you see tour buses, things like that so, in fact, that's one good -- that's one silver lining around this possible recessionary cloud is that the rest of the world is strong. Their currencies are strong. They're going to keep coming here and buying things.

CHO: All right. Thank you so much.

VELSHI: All right.

CHO: Ali Velshi, we'll check back with you later. John, back over to you.

ROBERTS: Thank you, Alina.

The presidential candidates are back on the campaign trail today and with the Iowa caucuses just eight days away now, they are feeling the pressure to get their message out.

CNN's Jessica Yellin is following the Democrats. She joins us now live from Des Moines. And, Jessica, this is the week when they're trying to close the deal. What are the frontrunners trying to do to get everybody, as many people at least as possible on their side? JESSICA YELLIN, CNN CORRESPONDENT: John, this is crunch time for the candidates. This is the week in which four years ago John Kerry broke ahead of the pack and all the frontrunners are looking to do the same. They're launching bus tours with what everyone around calls their closing argument.

Hillary Clinton, you'll hear her make her argument, but essentially, she's the most electable. She's the one who can beat a Republican in the general election. Her campaign is right now being focused on picking a president, not a nominee, a president.

Barack Obama is driving home that message of change, change, change, and John Edwards telling people here that he's going to fight for this, fight the special interests to help the little guy. His message is he's a fighter, they're not. And they're all over the state working hard, nonstop until the caucuses just over a week from now.

ROBERTS: Jessica, Barack Obama is on a bus tour of rural areas of Iowa. Is that a soft spot for him? Is he trying to shore up some places where he might be a little weak?

YELLIN: Exactly, John. He has had very great success inside the cities and urban areas and especially with young people, but his weak points are in the rural outlying areas of the state and the way the caucuses work, you need a geographic spread of support throughout the state to win. John Edwards is the strongest in those rural areas. Then probably Clinton and then Obama and so they're all looking to either shore it up or get that support, and so Barack Obama really focusing on those rural areas starting today -- John.

ROBERTS: The "New York Times" has got quite a prominent article today looking at Hillary Clinton saying just what kind of experience did she gain in her eight years in the White House? Certainly a lot of international travel, but did she really delve into policy both domestic and foreign during her time as first lady? How was that whole issue playing out there in Iowa?

YELLIN: Well, that's an article the Clinton campaign cannot be happy about because this has been her strong experience and as you know and as you're saying, she's argued that her years in the White House helped give her the training and preparation as she says, lead from day one so she can hit the ground running.

The "New York Times" arguing that well, how much experience did she really gain there? The bottom line is, you look at the polling numbers. You talk to people out here. They do think Senator Clinton has the most experience of the Democrats. The question is, is it experience voters will make the decision on or do they want something else? The ability to change Washington, to fight partisanship? We'll just have to wait and see -- John.

ROBERTS: All right. It's going to be an exciting eight days ahead. Jessica Yellin for us this morning in Des Moines.

On the Republican side of the coin, the top tier candidates are playing to their strengths and for some, that means staying out of Iowa all together today. And things in Iowa certainly are tightening up as well. Mike Huckabee's lead is beginning to diminish just a little bit. Mitt Romney coming back on strong.

CNN's Dana Bash covering the Republicans from Des Moines. So Mike Huckabee certainly has a tremendous amount of appeal with religious conservatives, but they don't appear ready yet to marry him. It's a courtship right now, but they're not ready for a wedding.

DANA BASH, CNN CORRESPONDENT: Well, if they're not ready for a wedding, you could probably thank Mitt Romney for that and the money that he has poured in to try to prevent that marriage to happen, to keep this analogy going. He, on the air, has had ads over the past couple of weeks saying that Mike Huckabee is wrong on immigration, that he's wrong on taxes and what he's doing in the mail, Mitt Romney is trying to make Mike Huckabee somebody who's just like Bill Clinton.

So as you see Mike Huckabee at these events, John, you hear, at times I have to tell you, almost like a revival. You hear some amens in the audience when he's talking about his stance against abortion, his stance against gay marriage and so forth, and that is something that really does appeal to the Christian conservatives, who we've said time and time again are so important in this state.

But at the same time, you do hear some very tough questions about those soft spot issues that Mitt Romney is trying to hit him on. The other day, we heard a question to him from a voter saying I like you but some of my friends are worried about your foreign policy experience. What do I tell them? Another questioner saying I just don't think you have the right stance on immigration.

And that is the reason why, as authentic as Iowa voters think Mike Huckabee is, as right as he might be on the social issues, it's not exactly a done deal, not even close and that's going to be Mike Huckabee's challenge over the next eight days.

ROBERTS: And his support is deep but not particularly wide. What about John McCain? He's been sort of running a distant third, fourth in a lot of polls except recently in the last couple of weeks, he's popped in this American research group polls. Does he have a chance in Iowa?

BASH: It is so fascinating. He's actually coming back here tonight, John. He was absolutely nowheresville, and he still really is in the polls. But he got an important endorsement from the "Des Moines Register," the leading newspaper here, and he is coming back.

He's going to fan out across the state. He'll be here for about 36 hours, and, you know, they're hoping that perhaps, perhaps he can do better here than he thought. He is somebody who is not popular in the state of Iowa because he basically blew it off in the year 2000, in favor of New Hampshire and also primarily because of his stance on immigration. Immigration is such a huge issue for Republicans and is simply did not like the fact that he backed a plan that would have allowed illegal immigrants to have a pass to citizenship. But the fact that people are simply not satisfied with, for various reasons with the two frontrunners, Mike Huckabee and Mitt Romney, they are looking elsewhere. John McCain is one person. The other person we really can't rule out is Fred Thompson in terms of doing at least a little bit well, because he is trying to appeal to both the fiscal conservatives and the social conservatives. So we'll see what happens.

ROBERTS: The very least McCain may get some momentum out of Iowa which may serve him better in New Hampshire. I know that you're chasing off on the campaign trail after Mike Huckabee. We'll let you get to that. Dana Bash as always, thanks for joining us this morning.

BASH: Thanks, John.

ROBERTS: Alina?

CHO: Thanks, John.

Tales of overworked people in jobs outsourced overseas. Why you may want to tell the tech guy to have a nice day next time.

And more reports this morning on holiday sales. What went wrong? We're going to be live from the mall on this morning after Christmas where many people will be this morning, right after the break. Stay with us.

(COMMERCIAL BREAK)

CHO: Welcome back to the most news in the morning. As Ali Velshi told us just a little while ago, retailers say holiday sales were up but not so fast. There was only a modest 3.6 percent. That's on the low side of what they were hoping for and the lowest growth in five years.

Eric Beder is a retail sales analyst. He's joining us live from the Queens Center Mall in Elmhurst, Queens, New York. Hey, Eric, good morning.

ERIC BEDER, RETAIL SALES ANALYST: Good morning.

CHO: So today is traditionally a big day for returns, for sales. People are going to start spending their gift cards now. You know, by all accounts, it was sort of a not so great holiday shopping season and yet just yesterday, we heard Friday, Saturday and Sunday were big shopping days. So where exactly do we stand right now, and what's the outlook for January?

BEDER: Yes. I mean, it was a relatively mediocre shopping season. You had some big winners but in general, the American consumers really not reaching out and spending their last extra dollar. January is an important month. The next few weeks, you get rid of gift cards. You clear out the clearance products, and you get ready for spring. So really the next few weeks, while it won't make or break the season, are an important part of the holiday shopping period.

CHO: Now, there were certain sectors that did well. I know, this Mastercard retail data report came out just about 20 minutes ago and essentially said that online shopping was pretty strong. The luxury sector did well, so there seems to be a bit of a disconnect. Not a lot of people shopping overall but luxury did well, so what's going on?

BEDER: Well, I think you had a lot of influx of international shoppers who come here for great bargains, and I also think luxury goods customer is still looking for newness. They're not as affected by the economic times and as a lot of other shoppers here. If you look at what happened to Target, which kind of warned on sales, their customer's hurting economically. A customer who spends money on ties and on higher-end items, he is not seeing it. She is not feeling the effects of the economy.

CHO: And let's talk a little bit, you mentioned Target. Target did not do so well this season. Was that a surprise to you? Because a lot of people thought retailers would sort of trade down, maybe move from a Saks Fifth Avenue or Nordstrom, go to like a Target or a Wal- Mart to try to save some money. But at least in Target's case, that didn't happen, right?

BEDER: I think we did have the trade-down customer but I think the problem is that when you're a core customer, for Target the core customer still is the low to middle income customer. When that customer is hurting, you're trade-down business helps but it doesn't save you. I think they got trade-down business but at the same time, they're core customer -- I think the same thing happened to Wal-Mart. Their core customers are hurting a lot, in terms of higher gas prices, higher heating oil prices and it's just hurting them very strongly.

CHO: Yes. A lot of people feeling the pinch there. Let's talk about gift cards because a lot of people will be taking those gift cards out today. $26 billion in gift card sales this holiday season, it's really a staggering number. So could January be better, you think?

BEDER: Gift cards are a great opportunity for retailers in that they create a second season after the end of the year, and it's been a great challenge for retailers to figure out what to do with it. In general, gift cards will not save you from a poor Christmas.

But if you have a great Christmas, you can bring in new products and get higher pricing because people look upon gift cards almost as found money. They don't look for the greatest discounts for gift cards. So it is a great opportunity. Again, it won't save you from a bad Christmas so it will offer the opportunity for some form of relief in January.

CHO: Well, $26 billion worth is certainly a lot so we'll have to wait and see. Eric Beder, retail analyst, joining us from a mall in Queens, New York.

BEDER: Thank you.

CHO: Eric, thank you. Over to you, John.

ROBERTS: Alina, thanks. Twenty minutes after the hour. Some mall madness down under. Your "Quick Hits" now.

It's Boxing Day in Australia. Swarms of bargain hunters are hitting the stores there. They are expected to drop more than $200 million in Australia today. It's a grand tradition to go out Boxing Day shopping. It's also Boxing Day north of the border in Canada. The whole tradition originated in England back in the 19th century when the wealthy would box up Christmas gifts for workers and the poor, but now, it's an excuse for another day off in an annual Boxing Day sale.

Today also marks the first day of Kwanzaa. Families mark each of the seven nights by lighting candles. Kwanzaa is a nonreligious celebration of family and social values based on African harvest festivals. It was first celebrated back in 1966. An estimated 5 million people now take part.

There are financial benefits for employer and employee, but workers in outsourced jobs in other countries may be paying for their job with stress. Hear how answering your calls takes it out of them.

And violence is going down in Iraq, but is that how we should judge the success of the troop buildup? The so-called surge? We'll talk with the chief American military spokesman in Iraq. That's ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

CHO: Welcome back to the most news in the morning. Your "Quick Hits" now.

For the first time in the modern history of the death penalty, more than 60 percent of all U.S. executions took place in Texas. According to the "New York Times," 26 of 42 executions took place in the lone star state. No other state executed more than three death row inmates.

Some predictions about job security in the new year. Most employers say they're expecting to stay with their current workforce in 2008. That's good news. Sixty percent say they'd make no change. Twenty-nine percent say they actually had workers. Seven percent say they'd cut jobs. The results are from a careerbuilder.com survey and are actually similar to last year's numbers.

And the maker of the popular sponge contraceptive is filing for bankruptcy. Synova Healthcare Group filed voluntary papers to reorganize. It made news earlier this year, you'll recall, when it brought back the sponge. Apparently, it wasn't enough.

Send it back over to you, John, in Washington.

ROBERTS: All right. Thank you, Alina. Twenty-five minutes after the hour. Here's a story you'll be very interested in. A new study says workers in India's outsourcing industry may be too stressed. Close to 2 million Indians work for U.S. businesses like IBM and others and answer your computer questions. They typically make a lot of money compared to other workers in India, but experts say they are also facing sleep disorders, heart disease and depression. They say it's a brewing crisis that could undermine India's entire outsourcing industry.

Backlash this morning against a man who sued an 8-year-old boy and his father for a skiing accident. David Pfahler sued the boy after they crashed in the slopes of Beaver Creek, Colorado and ever since, Pfahler says, he and his wife have been subjected to an electronic tar and feathering. The boy's father says his son barely tapped Pfahler's skis, but Pfahler says he had to have surgery for his shoulder and collarbone after he fell down.

Pfahler's attorney says angry callers have been ringing the family home in Allentown, Pennsylvania, day and night. They've also e-mailed his boss to demand that he be fired, which brings us to this morning's "Quick Vote" question.

You got a preview there just a second ago. Should children be held legally responsible for accidentally hurting someone? Cast your vote at CNN.com/AM. Let's take a look at the results so far.

Right now, 33 percent of you say yes. Sixty-seven percent say no. That's actually a bit of a change in the numbers. It was overwhelmingly no before, still sort of is but the yeses are starting to creep up a little bit. We'll keep monitoring this. Go to our Web site, CNN.com/AM. Click on our "Quick Vote" question, and we'll give you the results a little bit later on this morning.

CHO: Yes. We're looking forward to it. But still, two out of three supporting the 8-year-old.

ROBERTS: So far, yes.

CHO: All right.

ROBERTS: But as I said, the yeses are starting to rise.

CHO: Yes, you're right. You're right about that. We'll be watching it throughout the morning. Thanks, John.

A glimmer of hope from tragedy in Panama. A plane crash kills a father and his daughter along with their pilot. But there was a survivor, an amazing story. The girl's friend survived. We're going to have a live report coming up.

And the latest bombing in Iraq may tell us what the U.S. has to do to bring success there. We're live in Baghdad, next. That and the other day's news when AMERICAN MORNING returns.

(COMMERCIAL BREAK)

CHO: Welcome back, everybody, to AMERICAN MORNING, the day after Christmas. You're looking live there at New York's Central Park right now, 33 and cloudy. We're going to see a high of 44 with some afternoon showers. We'll have to wait to see if it keeps the shoppers away from the stores. It is Wednesday, December 26th. I'm Alina Cho. Kiran Chetry has the morning off. I'm here in New York. John, I almost e-mailed you last night at about 7:00 saying I'm tired and stuffed. I hope you had a nice Christmas.

ROBERTS: Ate a bit too much turkey last night.

CHO: Me too.

ROBERTS: But that's for anyone of these holidays. Good morning, I'm John Roberts in Washington.

New this morning in the news. Horror at the San Francisco Zoo. A tiger breaks lose and kills a zoo visitor on Christmas day. Police say the tiger somehow broke out of its cage. Officer say when they arrived the tiger had its claws on two other visitors.

(BEGIN VIDEO CLIP)

DR. ERIC ISAACS, SAN FRANCISCO GENERAL HOSPITAL: Two young men were brought to us this evening. Both of them had received multiple lacerations. They're in serious but stable condition. Their wounds are being repaired this evening. They'll stay with us overnight and we expect them to do fine.

(END VIDEO CLIP)

ROBERTS: It's still not clear how the tiger, a 4-year-old Siberian named Tatiana escaped. It is the same tiger though responsible for mauling a trainer one year ago. The state blamed the San Francisco Zoo for that attack saying it did not have the cages configured properly. The zoo was reportedly fined $18,000. Alina.

ALINA CHO, CNN, ANCHOR: There are now 15 people confirmed dead after a bridge collapse in Nepal. One day later rescue team, soldiers and police are searching for survivors, as far as 20 miles downstream. The bridge gave way during a Hindu religious festival with as many as a thousand people on it at that time. Officials say many people did swim to safety but dozens are still reported missing.

Two foreign diplomats, one of them a high-ranking U.N. employee are being ordered to leave Afghanistan within 48 hours. The Afghan government says the two are a threat to national security, claiming they tried to meet with Taliban militants. The United Nations employee and the acting head of the European Union mission in Afghanistan had been detained, but not officially arrested. Foreign and Afghanistan officials are in urgent talks right now. Of course they're trying to sort out this diplomatic crisis. John.

ROBERTS: Thanks, Alina. The U.S. troop surge in Iraq has cut the death toll there but reconciliation between its divided communities is still a challenge for the Iraqi government. Multinational Force spokesman Major General Kevin Bergner just completed his final briefing of the year. He joins me now from Baghdad.

Gen. Bergner, good to have you with us. You know, the big story of 2007 was this fairly significant reduction in violence particularly in Baghdad but democrats here in Washington are still saying that the so-called surge is a failure because it has not paved the way for political progress, particularly on the issue of reconciliation. So, when you look at the troop increase and the idea it was to set the stage for political reconciliation, has this so-called surge been a failure or a success?

MAJ. GEN. KEVIN BERGNER, MULTINATIONAL FORCE SPOKESMAN: Well, John, it's good to be with you, too. And first I would start off by saying there is no question, but that the surge has been very successful, and its purpose, which was to reduce the levels of violence, the casualties and to set better conditions for the important political steps that the government of Iraq very much needs to take, and as you pointed out, they are very much in the process of wrestling with those issues.

ROBERTS: Wrestling with the issues but not making a whole lot of progress. How much more time do you give them before you say hey, they either have to get on the stick here, or we have to consider how much longer we're going to support them?

BERGNER: Well, first of all, it's important to know that as you talk to the ministers and the other members of the government here, they very much want to make progress as well and they're frustrated with the pace. The issues that we're talking about here are the foundational issues, if you will, of any society. They are some of the most basic and important issues of how you share power between the central government and the provinces and they're about the issues of how you share the wealth and the issues of how you bring part of this society, the Sunni Arabs, former Baathists back into a meaningful role as part of Iraq.

And so, there is actually progress under way in a couple of those areas. First of all, the Iraqis have moved to the final steps of approving their budget, for 2008. We expect the next week when they come back into session they'll take that up, as well as what we call the reform legislation for de-baathification, and they are getting ready to take the necessary implementing measures in their legislature to take that on as well.

So there is progress, even as they, even as they wrestle as we said with some of the most difficult issues that society has to sort out.

ROBERTS: General, you said at your briefing this morning that Iraqi forces are suffering three times the casualties of American forces. Is that because of their position in the fight or are they not fully prepared to engage in that fight and therefore, they're taking more casualties?

BERGNER: Well, John, it's very much a reflection of their courage, their commitment, and the government of Iraq's effort to increasingly take responsibility for security. And so you see them increasingly as the first line of defense, and this is still a very tough fight. So it's one where every day, those Iraqi security forces, along with our great troopers, are facing some really difficult, barbaric and violent enemy so it's more of a reflection of their commitment and their courage.

ROBERTS: It's no secret that the northern part of Iraq, up in the Kurdish territory has been one of the most stable regions of Iraq. But now we see this cross-border incursions by the Turkish military. What support has the U.S. military been giving to the Turks and do you risk destabilizing an area that as I said has been one of the most stable?

BERGNER: Well, you'll remember when Secretary Rice visited here, she pointed out, as did Hoshyar Zebari, the foreign minister of Iraq, the mutual commitment that Turkey, Iraq and the United States have in identifying the PKK as terrorists and trying to find the solutions to deal with them, and the Turkish decisions and Turkish actions that they have recently taken are specifically focused on the PKK terrorists, which are a significant national security threat for Turkey.

ROBERTS: And quickly, General Bergner, U.S. forces involved in the so-called surge will be coming home next year because their tours of duty are actually coming to an end, but do you believe that the U.S. military will be able to draw down beyond the so-called surge forces because of a reduction in the violence?

BERGNER: Well, that's very much the kind of assessment that we'll develop over the coming months, John. And that will be part of what General Petraeus and Ambassador Crocker will be prepared to address when they come back in the spring, to look beyond the summer, as they had reported out in September, and then give a better sense of what the art of the possible is beyond the summer goal that we have set.

ROBERTS: All right. Major General Kevin Bergner joining us live from Baghdad. General, good to see you. Thanks very much for being with us. Merry Christmas and Happy New Year to you and all the troops over there.

BERGNER: Thanks very much, John.

ROBERTS: Alina.

CHO: Thanks, John. A father and daughter from southern California are among the dead in a tragic plane crash in Panama, but the girl's friend actually survives. We're going to give you an update on her condition in just a moment.

And they are four words every woman fears. "You have breast cancer." But one Boston television reporter is making her battle against the disease very public. She's even kept a video diary. You're going to meet her and hear her story, coming up on AMERICAN MORNING.

(COMMERCIAL BREAK)

ROBERTS: Coming up to 20 minutes now to the top of the hour. More details this hour on an incredible story of survival out of Panama. A 13-year-old southern California girl somehow managed to survive a plane crash that left three other people dead. The plane went down Sunday on the slopes of the Chiriqui Volcano in Panama but rescuers only spotted the wreckage last night due to bad weather and dense jungle in the area. Hedge fund manager Michael Klein and his 13-year-old, Talia, were killed along with the pilot, but Talia's friend, Francesca Lewis, survived.

Our Kara Finnstrom is live in Santa Barbara, California this morning, outside of the girl's school. Kara, do we know how Francesca is doing at this hour?

KARA FINNSTROM, CNN, ANCHOR: We are still waiting for word on her condition. What we do know that somehow this 13-year-old girl managed to survive a plane crash that killed three other people. Now, Francesca and the Kleins were vacationing. They were on board a small Cesna plane when it went down sometime on Sunday. Rescue crews combed this mountainous terrain in Panama for three days looking for the wreckage of this plane so we know she was out there for quite awhile after the plane went down. They finally found it yesterday on Christmas day. Authorities say that Francesca is suffering from hypothermia, as well as several traumas and they are now taking her to a nearby hospital for treatment. That's actually some very good news, because initially they weren't able to transport her. This plane went down in such a remote area, it's on the steep slope of a volcano. And the conditions out there are so treacherous, they say, it's wet and very cold that for her own safety they didn't want to transport her immediately.

They actually set up a makeshift shelter, trying to keep her warm and treat her there as best they could for awhile. But again now, she is supposedly at a hospital being treated and we're still waiting for word on her condition. Now, The Kleins are very well-known in the Santa Barbara community. Michael Klein, a 37-year-old Hedge funds trader. He is called brilliant by his colleagues, who say he actually skipped high school, went straight to college and graduated from college at the age of 17. So this morning, this community mourning the loss of the Kleins and eagerly awaiting word on the fate of Francesca. John.

ROBERTS: Was the family down there with her, Kara. Were they expected to travel down there to see her?

FINNSTROM: I haven't gotten word yet on Francesca's family. The mother, the ex-wife and the mother of Talia Klein has been very involved in leading the search effort, and you know, as a survivor of Talia, going to be a very difficult day for all the children at this school, which is where both of these girls went to school. Talia, who has passed away and Francesca, of course, who is still fighting for life down there.

ROBERTS: Sad in some ways and miraculous in others. Kara Finnstrom for us this morning in Santa Barbara. Kara, thanks.

Now, let's head back up to New York. And here's Alina.

CHO: Thanks, John. 42 minutes after the hour. Ali Velshi "Minding your business." So this major U.S. banks getting a major cash infusion from overseas.

ALI VELSHI, CNN, BUSINESS CORRESPONDENT: You probably heard the news over the last few weeks that there had been these major investments in the investment banks in the U.S.. But now, there's a pattern emerging. More than $22 billion in total has been invested in U.S. banks by funds held in other countries.

Take a look at some of these investments. The latest one, Merrill Lynch this week getting a $4.4 billion investment by a Singapore-based financial firm. Morgan Stanley, $5 billion, Bear Stearns, $1 billion. Citigroup had that big what looked like a rescue bailout of $7.5 billion, in exchange for 10% of the company. It makes people wonder because we've been selling these investment banks up thinking they've been making big mistakes in 2007.

CHO: Right. I mean, every day there's a headline in the business section of the paper.

VELSHI: Another write down.

CHO: That's right. That these banks are having major problems. So, what's the deal? Are these foreign investors seeing something that we don't see? Do they have a better long-term outlook or they're just getting a deal?

VELSHI: They have three things going for them. One is that they're not right on top of it. So, they got a bit of distance to say that American investment banks are generally strong companies that will do well over time. Number two, they got a lot of money to investment. We're talking about firms from Abu Dhabi, from Asia, the rest of the world is swimming in dough right now so they've got money to invest. And number three, they got strong currencies compared to the dollar. So, it looks like a big sale going on, on major blue chip American financial firms.

So, for those of you out there thinking about 2008 and how to look at your portfolio, it's very hard for us to buy things that are beaten down. I'm not saying the banks are ready yet but somebody thinks they are.

CHO: Well, and the key words you used was blue chip. It's like people should know that these banks...

VELSHI: These are solid.

CHO: ... are still considered solid and blue chip.

VELSHI: They've made some bad decisions but they're not going out of business. How long it will take for them to become very valuable again, that's anybody's guess but some people are putting some money behind their bets.

CHO: All right. Ali Velshi "Minding your business." We're going to check back with you later.

VELSHI: Yes. CHO: On the retail side.

VELSHI: On the retail side.

CHO: All right. John, back over to you.

ROBERTS: Alina, thanks. Pushing the limits of technology to beat cancer. A new nuclear weapon to beat tumors. Will cancer victims be able to afford it?

And she is facing a disease that will strike one out of every eight women and going public with her fight in front of millions of people. We'll catch up with a television reporter diagnosed just before Christmas last year and hear how she's doing, next on AMERICAN MORNING.

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ROBERTS: 47 minutes after the hour now. And if you're just joining us here's a look at what is making headlines this morning. Police don't yet know how a tiger broke out of its enclosure at the San Francisco Zoo and killed a zoo visitor. Two other people were hurt before police shot and killed the tiger, the same one that attacked a trainer about a year ago.

Rescuers say there is a survivor from a small plane that went down in Panama on Sunday. 13-year-old Francesca Lewis of southern California suffering from multiple injuries and hypothermia. The crash killed her 13-year-old friend, Talia Klein, her father Michael and the Panamanian pilot. Rescuers say bad weather and dense jungle slowed their search.

It has been three years since the tsunami. An estimated 230,000 people killed in 12 countries across two continents. They were remembered in ceremonies today. The world pledged close to $14 billion in aid. That money has been used to build roads, schools and more than 100,000 homes along the coast of Indonesia's Aceh province. Alina.

CHO: Thanks, John. Going nuclear in the fight against cancer. The "New York Times" reports hospitals are rushing to turn nuclear particle accelerators into the latest weapons against cancer. Here's how, they speed up protons to nearly the speed of light and shoot them into tumors. Doctors say it's actually safer than current radiation therapy but also expensive and critics say it could make health care even more costly.

One out of every eight women will be diagnosed with breast cancer during their lifetime. Now, a reporter for Boston's WCVB-TV has made her own breast cancer battle very public. Kelley Tuthill has come long way since being diagnosed just before Christmas last year. A mastectomy, breast reconstruction, six months of chemotherapy and six weeks of daily radiation. She's chronicled it all in a series of emotional video diaries. Kelley Tuthill joins us now from Boston this morning. Good morning. You know it was exactly a year ago, almost exactly a year ago, Kelley that you were diagnosed with breast cancer. At the time you said you thought you were going to die. Now just last week you went on the air without a wig for the first time in a long time. How are you doing? A lot of viewers want to know, one year later.

KELLEY TUTHILL, CANCER PATIENT: Well, I'm doing great. Thank you very much for asking. I have hair, that's a big deal in the cancer world. I have eyebrows, eye lashes, all those things that you miss when you go through cancer treatment but I'm feeling really good and I think the difference between last year and this year is just that I feel very hopeful about the future. Last year, it was very scary to hear those words "you have cancer." And this year, I just feel like I want to join all those great women out there and be a survivor.

CHO: You have said you just want to lead a nice, normal, boring life, I know and we hope you do. Over the past year, as I mentioned a moment ago, you offered your viewers really and those going on to the WCVB web site a rare glimpse into your personal life with these video diaries. It is something that reporters, journalists really rarely do. It took a lot of courage. Let's take a listen and we're going to talk on the other side.

(BEGIN VIDEO CLIP)

TUTHILL: You're trying to pretend in between treatments that everything's normal, and that you're not a cancer patient, and when you have to get rid of your hair, you look like a cancer patient. It's official. Today, I'm admitting to the world I'm a cancer patient.

(END VIDEO CLIP)

CHO: Kelley, I'm curious, why did you decide to do that, share your story with so many people out there?

TUTHILL: Well, I think there are a lot of misconceptions about cancer out there. I think people assume when you hear someone you know has cancer, you're starting to plan a funeral. And I don't think in this day and age that's necessarily what you should be doing. In some sad cases it is, of course, but for many of us the treatment is very difficult and that scares people. They don't know how to treat you. They don't know what to say to you. And so by opening the process I thought it could be educational for people to see. OK, you've heard about chemo. You know people lose their hair but this is what it looks like and this is what somebody feels like after having chemo and radiation, what the heck is that? We took people into that room and showed them what the process is to get radiation. We took them into an operating room to see the surgery and I think the overall message was it's difficult. This is very difficult but people can get through it and I was hoping that maybe we could provide some hope for the women that came after me as well.

CHO: Well, you're 37 now. You're a mother of two young daughters. I imagine your family has really kept you going throughout all of this. I know they have. But you've also received a lot of support, too, from just complete strangers as well, right? Talk about all of the support you've received over the past year. What did it entail?

TUTHILL: Well you know in the news you always see these women in these pink hats and you think oh, that looks nice, you know, isn't that great that everybody sticks together. And once you join that, you realize the sisterhood is very powerful. They're not just women wearing pink hats. These are women and men too raising money for research that we need to save lives, raising money for support services for people who don't have the support that I had. I was lucky enough to have a great family. My husband here and my sisters and my parents and all my friends, but we have all been now fighting to make sure that other women who don't have those resources can get the help they need. So you know, it's just been a wild experience to join this survivorhood, but one that has many gifts as well as challenges this year.

CHO: Well, you look absolutely fantastic. Nobody would guess that you've gone through breast cancer. Your latest mammogram was clear, right? I mean, you've got a clean bill of health so far?

TUTHILL: So to speak. They can never say who will be unlucky enough to have the cancer come back but at this point the odds are looking good. And I will say for the women out there that are watching, breast cancer is scary but if you catch it early the odds are really good that you'll survive. Thos people making their new year's resolution this year, I would hope that many of you out there would make a resolution to get a mammogram, especially if you've never had one before and for men out there encourage the women in your life to get a mammogram.

CHO: That is very good advice. I know you said this Christmas your heart literally feels lighter in your body. Kelley Tuthill, we wish you the very, very best in your recovery. And thank you so much for joining us and sharing your story.

TUTHILL: Thanks for having me. I wish you all and all your viewers a happy new year.

CHO: Happy New Year to you, too. Over to you, John, in Washington.

ROBERTS: Thanks. Such great news for her.

A tough crossing for George Washington tops your "Quick Hits." A re-enactment of Washington's crossing of the Delaware River in New Jersey ended with the crew having to be rescued, done in by strong currents. Thousands of people are gathered on the shore for the Christmas tradition which is now on its 55th year.

Newlyweds take note of this store, Roy and Annes Kurout are celebrating their 71st wedding anniversary. They were married at 1:00 a.m. on Christmas morning the year 1936. The Bethlehem, Pennsylvania, couple says their marriage was at such an odd hour because the priest was busy celebrating midnight mass at the time. The secret to the longevity of their marriage? A forgiving spirit, they say. One of the world's richest men puts a giant package under the tree. Up next, what Warren Buffett spent $4.5 billion on this Christmas.

And think it's frustrating when you call to get your computer fix, wait until how you hear how it is on the other side of the line half a world away. Why outsourced jobs may be ruining workers' health ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

ROBERTS: It's coming up now to a couple of minutes to the top of the hour. A Pennsylvania man who is suing an 8-year-old boy says he and his wife are now the targets of public ridicule and harassment. David Fahler sued the boy and his father after he and the child collided on a ski slope outside of Denver. Fahler says he had to undergo surgery after the accident, even though the father says his son barely tapped Fahler's skis.

That brings to us this morning's quick vote question. Should children be legally held responsible for accidentally, stress accidentally hurting someone? Cast your vote at cnn.com/am. Right now, 38% of you say yes. 62% say no. Those numbers continue to change, the number of people who believe they should be held responsible continuing to grow. We'll keep checking in this morning on our results. Please keep going to cnn.com/am. Click on our quick vote question and register your opinion.

CHO: Interesting to watch the progress.

ROBERTS: It is. It's fun to watch how those numbers change throughout the morning.

CHO: So, we encourage to you vote. All right. We're going to continue to watch that throughout the morning.

Meanwhile, coming up, no rest for the front-runners. They're pulling out all the stops just days before the big contest in Iowa. We're going to tell what you they have planned in the next hour.

And the tsunami three years later, remembering and recovering from one of the worst natural disasters ever. How billions are being spent and what they have to show for it. The next hour of AMERICAN MORNIND starts right now.

ROBERTS: Zoo panic.

UNIDENTIFIED MALE: The zoo is in lockdown.

ROBERTS: A tiger on the loose, on a violent rampage. How did it escape.

Christmas miracle, a father and a daughter killed in a plane crash but somehow her friend survives.

Plus, fight to the finish. The race for Iowa enters the homestretch but why isn't every candidate on the campaign trail on this AMERICAN MORNING?

And good morning. Welcome back. And thanks so much for joining us on this Wednesday, the 26th of December. I'm John Roberts in Washington.

CHO: A short Christmas vacation for the candidates is over. Good morning, everybody. I'm Alina Cho here in New York. Kiran has the morning off.

ROBERTS: And it certainly going to be a nonstop run to the caucuses and the New Hampshire primary coming up.

CHO: That's right.

ROBERTS: Alina, we begin in San Francisco this morning. A shocking end to Christmas Day at the zoo.

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