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Ballot Bowl 2008

'Ballot Bowl '08'

Aired April 13, 2008 - 14:00   ET

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

(BEGIN VIDEO CLIP)
SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: Bitter.

SEN. HILLARY RODHAM CLINTON (D-NY), PRESIDENTIAL CANDIDATE: Bitter.

OBAMA: Bitter.

CLINTON: Bitter.

OBAMA: Bitter.

CLINTON: Bitter.

OBAMA: Bitter.

(END VIDEO CLIP)

CANDY CROWLEY, CO-ANCHOR: We have heard that word a lot since Friday. It now is reverberating across the campaign trail.

You're going to want to stick with us as we explain to you why.

I'm Candy Crowley. I'm coming to you from Grantham, Pennsylvania, home of Messiah College.

Here tonight, the Compassion Bowl (sic) which will be -- I'm sorry, the Compassion Forum, which will of course be aired on CNN.

Now is your chance to listen to these candidates, sometimes live, sometimes taped, but always unfiltered, in their words.

Here with me today is my co-anchor, Jim Acosta, who is in Indianapolis -- Jim.

JIM ACOSTA, CO-ANCHOR: Hi, Candy.

That's right, both of the candidates on the Democratic side, Hillary Clinton and Barack Obama, they were in the Hoosier State yesterday. They are back in Pennsylvania in advance of that big primary coming up on April 22nd. But there were certainly some fireworks going off here in Indiana yesterday, and we'll get to all of that throughout the hour. But we have the game plan now for this 2:00 hour of "Ballot Bowl." Barack Obama is trying to minimize the fallout from those remarks that he made, calling blue collar workers in Pennsylvania bitter. He will be campaigning in Steelton, Pennsylvania, today, where he will be obviously reaching out to those middle class and working class blue collar voters.

As for Hillary Clinton, she is also making a swing through the Keystone State today, making stops in Scranton, Pennsylvania, which is a town that she spent part of her childhood in. And she is sure to talk about those blue collar and middle class roots there in Scranton, Pennsylvania. She also spent part of the day in Drexel Hill, Pennsylvania, before wrapping up the day at that Compassion Forum where you're at right now, Candy, later on this evening.

And as for John McCain, the senator from Arizona is not on the campaign trail today, but he is traveling back to Washington. His campaign has also weighed in on this controversy over those comments from Barack Obama. And we'll have that statement coming up in just a moment.

But in the meantime, I will hand it back to you, Candy, with more on the fallout with this controversy involving Barack Obama and his comments about blue collar workers in Pennsylvania -- Candy.

CROWLEY: Thanks, Jim.

Just to take our viewers back a little, this all really started last weekend but didn't come to light until Friday. Barack Obama was in California last weekend fundraising. He was in San Francisco talking to fundraisers there.

That is where he made his remarks that have become so controversial. The way the world learned of them was on "The Huffington Post." As it turns out, a citizen journalist was in that fundraiser and taped some of what he had to say. So we will let you hear what he said in his words.

(BEGIN AUDIO CLIP)

OBAMA: You go into these small towns in Pennsylvania and, like a lot of small towns in the Midwest, the jobs have been gone for 25 years and nothing's being relaced them. And they have fell through the Clinton administration and the Bush administration, and each success administration has said that somehow these communities are going to regenerate, and they have not. And it's not surprising then they get bitter, they cling to guns or religion or antipathy to people who aren't like them or anti-immigrant sentiment or anti-trade sentiment as a way to explain their frustrations.

(END VIDEO CLIP)

CROWLEY: So, within hours of the posting of this audio and the story on Huffington Post, the Clinton campaign was all over it, Hillary Clinton talking about how she has not seen bitter Pennsylvanians. The campaign stirring the pot, setting out news releases. By the time Barack Obama got to Terre Haute, Indiana, he was beginning to explain.

(BEGIN VIDEO CLIP)

OBAMA: No, I'm in touch. I know exactly what's going on. I know what's going on in Pennsylvania. I know what's going on in Indiana. I know what's going on in Illinois.

People are fed up. They are angry and they are frustrated and they are bitter, and they want to see a change in Washington, and that's why I'm running for president of the United States of America.

(END VIDEO CLIP)

CROWLEY: So the next day, Barack Obama still in Indiana, this time in Muncie, continuing the explanation because the uproar continues.

(BEGIN VIDEO CLIP)

OBAMA: So I said, well, you know, when you're bitter, you turn to what you can count on. So people, you know, they vote about guns, or they take comfort from their faith and their family and their community. And they get mad about illegal immigrants who are coming over to this country. Or they get frustrated about how things are changing.

That's a natural response. And -- now, I didn't say it as well as I should have.

(END VIDEO CLIP)

CROWLEY: But still, Obama's critics are saying that he is elitist, this was an elitist statement, that somehow he said because of being ignored of the economy, that small-town residents have become bitter and have turned to religion and guns. Again, Obama's critics all over this.

So, where can this reverberate? Certainly here in Pennsylvania, and further on down the line in Indiana and North Carolina, both of which have primaries on May 6th.

Barack Obama did an interview just recently with "The Winston- Salem Journal." Here is what he told that paper: "If I worded things in a way that made people offended, I deeply regret that. The underlying truth of what I said remains, which is simply that people who have seen their way of life upended because of economic distress are frustrated and right fully so."

"And I hear it all the time when I visit these communities. People say they feel like no one is paying attention or listening to them, and that is something that is one of the reasons I am running for president."

"I saw this when I first started off as a community organizer and the steel plants had closed. I was working with churches and communities that had fallen on hard times. They felt angry and frustrated."

The word "bitter" obviously no longer in the lexicon as Barack Obama reaches out not just to Pennsylvanians, but to those in Indiana and North Carolina, where we have upcoming primaries.

We want to talk a bit now with James Romoser, who's with "The Winston-Salem Journal" and got this interview with Barack Obama.

Do I have you with me, James?

JAMES ROMOSER, POLITICAL REPORTER, "WINSTON-SALEM JOURNAL": Yes, I'm here, Candy. How are you?

CROWLEY: I'm good. Thanks so much for joining us.

First of all, can you give us a sense -- I realize this was on the phone, but can you give us a sense of mood at all? Did Barack Obama seem like he felt as though he was really under the gun at this point?

ROMOSER: Yes, I think he did. I think he is genuinely surprised that this sound bite from the San Francisco fundraiser caused such an uproar. And when I spoke with him and first asked him about these remarks, the first thing that he said was that he felt like his political opponents were lashing onto it and mischaracterizing what he was trying to say.

And then I asked him, "Well, you know, Senator, it's really more than your political opponents. I think it's fair to say that a lot of ordinary Americans probably read that quote and were offended." And that's when he finally said he deeply regrets if he offended anyone, but continued to stand by the underlining meaning of the comment.

CROWLEY: I want to ask you something, and feel free to say you can't answer it at this point. But have you heard people complain about this in North Carolina? We know obviously it, too, is a world state, has a lot of small towns.

What has been the affect there of these remarks?

ROMOSER: Yes, I definitely think it's resonating. I think it's a little bit early to say whether it will have a lasting impact on his chances here. And, you know, I should say that Obama does start with a pretty big lead in the polls in North Carolina.

But even just this morning, based on the story I wrote in my newspaper, I've gotten a number of e-mails from ordinary North Carolinians who -- you know, who saw this quote and who are genuinely upset. I can even read you one very briefly.

One reader wrote in -- she wrote to me, "Many Americans from both urban and rural areas from both parties have a concern that Obama harbors an aura of superiority. I don't think he (INAUDIBLE), but I don't think he realized how his demeanor radiates the kind of intellectual arrogance that's deeply troubling."

This is just an ordinary person who reads my paper. You know, "aura of arrogance," "aura of superiority." It poses a problem for him.

CROWLEY: So, the explanation that he gave to you, was there more to it? Was this it/ And do you think this goes to kind of assuage those concerns?

ROMOSER: Well, I think time will tell whether his explanation will assuage the concerns, but I think the point is that he is regretting his word choice, but he continues to stand by his point, which is that people are angry and they -- and they rely on certain matters of culture when they feel this frustration. It's interesting to me that the word "bitter" has become the hot-button word here.

I actually thought the word "cling" is more offensive. I think a lot of Americans probably would acknowledge they might be bitter or angry about losing their jobs, but I don't think they would say that they cling to religion or cling to guns because they are angry about being out of work. I think they'd say that they have deeply-housed convictions, and that's why they enjoy hunting or that's why they enjoy going to church.

CROWLEY: Absolutely.

James Romoser, who is with "The Winston-Salem Journal," who got this interview with Barack Obama.

We thank you very much.

James, of course, is right that the critics are beginning to talk about Obama linking disappointment with government's actions toward the economy and guns and religion. So that is, again, beginning to come up along the campaign trail as the criticism continues.

So, from James to Jim, our Jim Acosta, who, as I said, is standing by in Indianapolis -- Jim.

ACOSTA: Hi, Candy.

Yes, we are in Indianapolis. We should mention we're at the Indianapolis Motor Speedway Hall of Fame in Indianapolis, and the reason why is we were covering these candidates yesterday right up until, well, the stroke of midnight last night.

As you saw earlier today, Candy, there's been video out there of Hillary Clinton doing some shots at a local bar in northwest Indiana. She really went after Barack Obama yesterday on these comments that have been causing so much controversy, and she had some choice words for Barack Obama here in Indianapolis, all the way up to Valparaiso, in the northwest corner of the state, referring to Barack Obama's comments as "demeaning" and accusing him of being an elitist.

Now, Hillary Clinton, who was in Indiana yesterday in anticipation of what is a pretty important primary for her here in the Hoosier State on May the 6th, because if she can come out a winner of Pennsylvania a winner on April 22nd, and then win on May the 6th in Indiana or North Carolina, her campaign feels that she keeps going. And so this, for her, according to what many in her campaign might look at this, they see this as something that's happening at the right place at the right time.

But earlier today Hillary Clinton was in Scranton, Pennsylvania. And as we all know, as many of our viewers will know, Hillary Clinton spent part of her childhood in Scranton, Pennsylvania. She likes to talk about those blue collar roots growing up with the Rodham family there in northeastern Pennsylvania. And she was asked about Barack Obama's comments in Scranton earlier today and whether or not she feels the Illinois senator made a mistake.

Here's Hillary Clinton in Scranton.

(BEGIN VIDEO CLIP)

CLINTON: Well, I think what's important about this is that Senator Obama has not owned up to what he said and taken accountability for it. You know, first he said he was right and attacked me for raising his remarks and referencing them. Then he admitted he may have said what he said inartfully, and now he's deeply apologized if he's offended anyone.

But what people are looking for is an explanation. You know, what does he really believe? How does he see the people here in this neighborhood, throughout Pennsylvania, Indiana, North Carolina, other places in our country? And I think that's what people are looking for, some explanation. And he has simply not provided one.

UNIDENTIFIED MALE: Senator Clinton, (INAUDIBLE) Senator Obama beyond what these words say. And do you honestly believe that he has a demeaning, condescending attitude towards small-town working class people? And if you do not believe that, isn't it fair to ask if you're manipulating these words for political advantage?

CLINTON: Well, Ron (ph), I want to focus on what Senator Obama himself said.

You know, Senator Obama's a good man. And he is a very talented and gifted man. But I think his comments were elitist and divisive.

And the Democratic Party has been unfortunately viewed by many people over the last decades as being elitist and out of touch. I mean, we have waged elections over that. And you don't have to think back too far to remember that good men running for president were viewed as being elitist and out of touch with the values and the lives of millions of Americans. So I think this is a very significant concern that people have expressed.

You know, the front page of the paper today in Scranton is, you know, very pointed. And the mayor and mayors across Pennsylvania and people across our country have all reacted to what he said.

So I think it's very critical that, you know, the Democrats really focus in on this and make it clear that we are not. We are going to stand up and fight for all Americans, and we're going to stand up and fight for the values and the way of life of Americans in every part of our country.

(END VIDEO CLIP)

ACOSTA: And so there you see Hillary Clinton talking about those comments and using the words "elitist" and "out of touch" more than once during those comments there in Scranton, Pennsylvania. And it's interesting to note that as she is talking about Barack Obama in those terms, she is also -- and she did this in Indiana yesterday -- she was weaving in her own narrative of her childhood, talking about, in the same breath, how she feels Barack Obama's words were elitist and out of touch, and at the same time underscoring her own blue collar upbringing there in northeastern Pennsylvania.

And you heard Hillary Clinton there talking about the newspaper there in Scranton and how it described Barack Obama's comments on its front page today, referring to his words as a "bitter pill that may be hard to swallow" for the Illinois senator. But we should also note that Hillary Clinton did not mention that newspaper did endorse Barack Obama for president today there in Pennsylvania.

And she -- as you heard in those comments at the very beginning, she said that we haven't heard Barack Obama explain those comments. If you're wondering, if you're curious what he has to say about that, tune in tonight here on CNN at 8:00 Eastern for the Compassion Forum. Barack Obama will be sitting down with our very own Campbell Brown to talk about some of these issues, and he will surely be asked about those comments that he made about blue collar workers in Pennsylvania.

Now, to switch gears to the Republican side, John McCain, the Arizona senator, he was not silent on this issue, although he did not make any comments on camera. We should mention that his campaign released a statement that made it in no uncertain terms how the presumptive Republican nominee views these comments from Barack Obama.

The quote reads as follows: "Barack Obama's elitism allows him to believe that the American traditions that have contributed to the identity and greatness of this country are actually just frustrations and bitterness. What everyone knows is that the Constitution's Second Amendment and our country's strong roots in faith are a cornerstone customs in this country, and Barack Obama's dismiss of those values is revealing."

If you'll pardon me reading off the BlackBerry here.

John McCain, his campaign releasing a statement on Barack Obama, and you're seeing this not only from John McCain, but also from Hillary Clinton, talking about these issues regarding guns and faith that were also in those comments from Barack Obama. And you heard that newspaper reporter down in Winston, North Carolina, talking about that part of Barack Obama's comments, that clinging to guns and faith. That may irk some blue collar and working class voters not only in Pennsylvania, but down there in North Carolina, and perhaps here in Indiana. And I believe we're going to a break now, if I'm not mistaken.

Coming up after a break here on "Ballot Bowl" on CNN, more on this controversy. And also, we will get to some of the other issues out here on this campaign. Yes, there are other issues that have been coming up in these stump speeches, and we'll get to that in just a few moments.

This is "Ballot Bowl" on CNN.

(COMMERCIAL BREAK)

CROWLEY: Hi. And welcome back to this Sunday edition of CNN's "Ballot Bowl."

I'm Candy Crowley in Grantham, Pennsylvania, just outside Harrisburg, here at Messiah College, where tonight you will hear the Compassion Forum, both Hillary Clinton and Barack Obama talking about faith and politics.

We've given you pretty much a capsulization of what has happened on the campaign trail here in the latter part of the week, and the so- called "bitter" remark by Barack Obama. But lots of other things happened during the week.

David Petraeus, General David Petraeus, as you know, was up on Capitol Hill talking to both House and Senate members about the situation on the ground in Iraq, saying basically that after the surge troops are pulled out, there needs to be a pause in any further withdrawal of U.S. troops. Now, all three presidential contenders -- Hillary Clinton, Barack Obama and John McCain -- were up on Capitol Hill to question General Petraeus. Then they went back out on the campaign trail, where, of course, Iraq remains a very big issue no matter where you are.

Barack Obama was in Muncie, Indiana, yesterday and talked a bit about the war.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Hi, Obama. My name is Kathy Kerry (ph). And one of the water cooler questions -- and you know what water cooler means, everybody gets around the water cooler and talks.

OBAMA: Right.

UNIDENTIFIED FEMALE: Is they feel like that if you pull the troops out -- what, is it two months at a time or...

OBAMA: One or two brigades per month.

UNIDENTIFIED FEMALE: They feel like that that's not going to solve the problem over there. So basically, I want to know, what are you going to do if that trickles down over here back on American soil, as far as terrorist attacks and things? OBAMA: Well, here's the -- I think is a great question, because this is what John McCain has been saying, this is what George Bush has been saying, this is what people have been saying. Everybody I think now realizes -- not everybody, but a lot of people, most people, realize going in there was a bad idea.

We served -- we lost our focus and attention on the terrorists that were in Afghanistan and now in Pakistan. They weren't in Iraq. Saddam Hussein was a terrible person, and I'm glad he's gone, but he's not the one who killed 3,000 Americans.

(APPLAUSE)

He wasn't involved in 9/11.

Now, we are there now and we've got obligations, both to the Iraqi people, and we do have national security interests inside of Iraq. But the way to solve the problem is not just to maintain, as John McCain has suggested, troops there maybe for 100 years.

Now, he said this and people -- when I started calling him on it, he said, wait, wait, wait. I didn't say that we'd be in war for 100 years, but he did say basically that we'd have a presence, we'd have an occupation in Iraq for 100 years.

Now, we can't afford that. It costs us $400 million a day. And even if things are less violent than they were, it's still very dangerous. It still puts a huge strain on military families. And here's the most important thing -- it won't solve the problem.

The problem in Iraq is you've got different factions. You've got Shia and Sunni and Kurd, and now you have got Shia fighting Shia. These different groups, they haven't figured out how they are going to get along.

And so what we have to do is to help them come to a political agreement. And the problem is, as long as we've got all of our troop there, they don't feel like they've got to negotiate, because they feel like we're keeping a lid on things. We're going to keep people safe, so they can go ahead and do whatever it is that they feel like doing.

And they are not taking responsibility. They are not even paying for some of the assistance that they could be paying for, because they export oil. They are making huge amounts of money right now on oil revenues. But we're picking up the tab on a whole bunch of things.

So what I've said is, look, we've got to get their attention. We've got to tell them, we are not going to be here forever. You have to get your act together.

We will help you. We will give you humanitarian assistance. We will help rebuild your country. We will help train your military.

We will have some troops, a strike force that's available if al Qaeda starts trying to set up bases again inside of Iraq. We will help you strike them, but we're not going to have a permanent occupation or permanent bases in Iraq.

(END VIDEO CLIP)

CROWLEY: Barack Obama in Muncie, Indiana, with his version of how the U.S. begins to extricate itself from Iraq.

Iraq, of course, a very important issue along the campaign trail. From the very beginning it was seen as the number one or two. But I will tell you that now, more than Iraq, you hear a lot of economic questions out on the campaign trail, which brings us to John McCain, because coming up after the break, John McCain will talk about the economy and, in particular, the mortgage crisis.

Stick with us.

(COMMERCIAL BREAK)

ACOSTA: Welcome back to "Ballot Bowl" on CNN.

I'm Jim Acosta in Indianapolis.

We want to switch gears now -- no pun intended, I use that phrase all the time -- to John McCain, the Arizona senator and presumptive Republican nominee. He has been accused by Democrats of not really having a plan for the foreclosure crisis.

They were accusing him of taking sort of a hands-off approach to the mortgage meltdown in this country. Well, in Brooklyn on Thursday, John McCain unveiled his home plan which would allow homeowners who are struggling to make their mortgage payments to get some help through the federal government.

So here is John McCain on the mortgage crisis in Brooklyn.

(BEGIN VIDEOTAPE)

MCCAIN: There's nothing more important than keeping alive the American dream to own your home. And priority number one is to keep well-meaning, deserving homeowners who are facing foreclosures in their homes.

I'm pleased that the Congress is considering bipartisan reforms to help the mortgage crisis. Bipartisan efforts may not make for great political theater, but they remain the most effective way to address quickly our nation's problems.

Bipartisan efforts are also sometimes less than perfect. And I believe we can improve on the legislation before Congress.

I've made my principles clear in this area -- tax breaks for builders, funds to purchase homes in foreclosures, and tax credits that are not targeted to where the need is greatest do not constitute the federal help that's warranted. In some cases, lenders and borrowers alike were caught up in the speculative frenzy that has harmed the housing market, and it's not the responsibility of the American public to spare them from the consequences of their own bad judgment.

The goal should be to help homeowners struggling, and only about $5 billion of the present legislation addresses their concerns in any way. I believe we can do better.

We can encourage groups like NeighborWorks America and others provide mortgage assistance to homeowners in their communities. And our government can give them the resources to expand their efforts. I also believe that the mortgage lending industry has an obligation to help refinance mortgages.

If what I've read about industry-led efforts is true, it appears that a stronger, much stronger effort, could be launched. I believe a more robust, timely and targeted effort is my home plan.

It offers every deserving American family or homeowner the opportunity to trade a burdensome mortgage for a manageable loan that reflects the market value of their home. This plan is focused on people.

People decide if they need help. People decide. They apply for assistance. And if approved, the government, under the home program, supports them in getting a new mortgage that they can afford.

There will be qualifications which require the home to be a primary residence and the borrower able to afford a new mortgage. We'll combine the power of government and the private sector to find immediate solutions for deserving American homeowners.

My plan follows the sound economic principle that when markets decline dramatically, debts must be restructured. It's built on the reality that homeowners should have an equity capital stake in their own home.

Homeowners would end up with a 30-year mortgage and an equity stake in their home. The new lender would receive a federal guarantee of the mortgage. And the taxpayer gets a benefit if the sale value ever recovers.

The result is a restructured financial arrangement for the homeowner. Over the long term, financial institutions must follow suit writing off losses, restructuring their balance sheets, and raising more capital.

I also call for an immediate Department of Justice task force to aggressively investigate potential criminal wrongdoing in the mortgage lending and securitization industry. If there were individuals or firms that defrauded innocent homeowners, or forged loan application documents, then the punishment of the markets are not enough and they must answer for your conduct in a court of law.

(END VIDEO CLIP)

ACOSTA: So there is John McCain with some potential solutions for the mortgage crisis. And coming up after the break here on "Ballot Bowl" on CNN, Hillary Clinton takes a shot, but not at Barack Obama. She bellies up to the "Ballot Bowl" right after this.

(END VIDEO CLIP)

CROWLEY: Good afternoon. You are watching the Sunday edition of CNN's "Ballot Bowl."

I'm Candy Crowley in Grantham, Pennsylvania.

This is your chance to hear these candidates taped, live, always unfiltered and unedited. This gives you a chance to see these candidates pretty much as we see them.

You know, everybody that watches politics understands there are many ways to campaign. There are words and there are pictures. So, as Hillary Clinton over the last couple of days was hitting Barack Obama's "bitter" comments, as showing that he was out of touch with the middle class and an elitist, there were pictures to go along with those words. Particularly in Indiana.

There was one picture where Hillary Clinton went into a bar, ordered a beer, and at the urging of the patrons, took a shot of whisky.

Take a look.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: You want a shot with that Hillary?

CLINTON: You guys have been great help.

What dear?

UNIDENTIFIED MALE: Do you want a shot with that?

(CHEERING)

UNIDENTIFIED MALE: That's not bad, huh?

CLINTON: Oh, yes, me and all my friends.

UNIDENTIFIED MALE: What do you want?

UNIDENTIFIED FEMALE: The mayor's buying.

(CROSSTALK)

CLINTON: No, no, no. I don't want anything sweet. I either want -- Crown Royal.

UNIDENTIFIED MALE: Crown Royal. Yeah!

(END VIDEO CLIP) CROWLEY: A shot of Crown Royal in Crown Point, Indiana.

Of course, there were issues discussed along the campaign trail. Yesterday, for Hillary Clinton in Valparaiso, Indiana, it was all about China, trade and jobs.

(BEGIN VIDEO CLIP)

CLINTON: I somehow don't believe that we're going to win this election without fighting for it, that we're going to turn our economy around, take on the special interests, stand up to the Chinese, achieve universal health care, end No Child Left Behind, make college affordable, have a new energy future, if we don't fight for it as Americans. That's what we're going to do.

(APPLAUSE)

And you know, I think it's time that we said once and for all, we're not on different teams. We're not on the labor team or the management team or the Republican team or the Democratic team or the city team or the suburban team or the small-town team or the rural team. We are on America's team. And America needs each and every one of us in order to chart a new course.

(APPLAUSE)

And I have been campaigning across Indiana, talking about all the issues, but emphasizing what to me here at home is the most important one. That jobs, jobs and jobs, a strong economy that creates opportunity for people willing to work for it.

And you know, we have been on a day's journey here. We started, as Evan said, in Indianapolis, and we went to Allison (ph), then we went to AM General. And now here we are.

And part of the reason why I wanted to come here is because Evan told me the story about what happened to Magnaquench. Now, you know it used to be a subsidiary of General Motors. It did manufacture those powerful magnets that Evan was describing, and it provided good jobs not only for families here, but it provided the critical technology for our national defense.

About five years ago that plant was shut down. And it was shipped to China. So the jobs were lost and, equally importantly, we lost a critical military advantage. We have every reason to believe that the Chinese government now has Magnaquench's technology.

So we are now relying on China to make a product that is critical to our security. And then we have to hope they'll keep selling it to us.

Now, I don't think America's security should depend on Chinese spare parts or the Chinese government's goodwill. I think that is a losing strategy for our country.

(APPLAUSE) You know, letting a company essential for making smart bombs pack up and leave for China is anything but smart. And this issue goes way beyond Magnaquench.

In recent years we've seen so many defense jobs go abroad, and the critical technology and the know-how went with them. We're not just outsourcing jobs, we're outsourcing our security. And this has got to stop. "Made in America" can't just be a slogan, it must be a strategy.

(END VIDEO CLIP)

CROWLEY: Hillary Clinton yesterday in Valparaiso, Indiana.

I want to bring in my colleague, Jim Acosta, who was with Clinton yesterday in Valparaiso.

You know, it strikes me that ever since Ohio, Jim, outsourcing and trade, as we move into these former industrial states, are really -- is really a big issue. I'm assuming it has a lot of resonance there in Indiana.

ACOSTA: It did, yes. We were at that event yesterday in Valparaiso yesterday, Candy, and Hillary Clinton made part of that address, part of that speech, a discussion with some laid-off factory workers who worked for a subsidiary of GE.

That operation was shut down and the operation moved to China. And so people there were fired up. And so any time these trade pacts came up -- and they came up often during the Q&A session -- those were the responses from Hillary Clinton that brought about the most applause.

And so, yes, whenever these issues came up in Indiana, Pennsylvania, and in Ohio, these are opportunities for both of these candidates to strike. And that is why -- and Hillary Clinton made the most of it yesterday -- these comments from Barack Obama are so critical, because it sort of gives Hillary Clinton -- at least her campaign feels this way -- the upper hand in that discussion.

And, you know, you only have to look around inside the museum here, at the Indianapolis Motor Speedway, the Hall of Fame here, to see that people in this part of the country are still very passionate about "Made in the USA." And so, yes, Candy, that event yesterday, there was a lot of passion about the issue of trade and jobs.

CROWLEY: Jim Acosta, Indiana, like a lot of these states, losing jobs overseas. Always a hot-button issue in these states.

Thanks, Jim. We'll see you later.

You know, there is also the lighter side of politics, poking fun at politicians. Who does that better than "Saturday Night Live?" We are going to have some of that when "Ballot Bowl" comes back right after this break.

(COMMERCIAL BREAK)

ACOSTA: Welcome back to "Ballot Bowl" on CNN.

And the folks at "Saturday Night Live" are at it again. Last night, on the episode that we just saw at 11:30 last night, the writers there and the performers there at SNL took another crack at the presidential campaign, and we saw that impersonation of Hillary Clinton that has made Amy Poehler a bit of a household name lately.

They took a jab at David Petraeus, General David Petraeus, who was up on Capitol Hill this past week testifying in front of Congress about progress in Iraq. Well, the folks at SNL have found a way to poke a little fun at that hearing, and bringing up the various books that have been written by these presidential candidates.

First up, here is Amy Poehler playing Hillary Clinton in an exchange with an actor playing David Petraeus.

(BEGIN VIDEO CLIP, "SATURDAY NIGHT LIVE")

UNIDENTIFIED MALE: I'm sorry. You opposed this war from the beginning?

AMY POEHLER, ACTRESS: Of course. What do you mean?

UNIDENTIFIED MALE: I thought you voted for the war and supported it until you ran for president.

POEHLER: Who told you that? That's crazy.

(LAUGHTER)

POEHLER: Everyone knows I have been against this war my entire life. The whole reason I got into public service way back in 1974 in Arkansas was to prevent our going to war with Iraq, in case anyone might one day suggest it.

So, when you imply that I was ever for this war, that's incorrect and a lie, and don't say it.

Now, could I ask you a question about sniper fire?

UNIDENTIFIED MALE: OK.

POEHLER: Would you say that sniper fire can often be very quiet and hard to detect? Especially on videotape?

UNIDENTIFIED MALE: I suppose.

POEHLER: I have no further questions.

(END VIDEO CLIP, "SATURDAY NIGHT LIVE")

ACOSTA: So the folks there at SNL taking some fun -- having some fun, taking some jabs at Hillary Clinton on her stance on the war in Iraq and now on that now infamous gaffe over whether or not she came under sniper fire back in 1996 during a visit to Bosnia.

Now, we have one more snippet here to play for you. Barack Obama, played by Fred Armisen, who is trying to settle into that role, a difficult role playing the Illinois senator, also in an exchange here with -- I believe it's Will Forte playing David Petraeus.

(BEGIN VIDEO CLIP)

POEHLER: Mr. Chairman...

UNIDENTIFIED MALE: Listen, the guy is going to be the next president. No offense.

(LAUGHTER)

UNIDENTIFIED MALE: Go ahead, Senator.

FRED ARMISEN, ACTOR: General Petraeus, let me begin by saying, I thank you for your service to this country.

WILL FORTE, ACTOR: Senator, I have read both of your books several times, and I can't tell you how much I admire them.

ARMISEN: Thank you. You are very kind.

FORTE: Really. And I'm not just saying that because you're going to be the next president.

No offense.

POEHLER: Whatever.

(LAUGHTER)

ARMISEN: Now, both Senator Clinton and Senator McCain have also written books.

FORTE: I know. I've read them.

ARMISEN: And?

FORTE: I'd prefer not to talk about it, Senator.

ARMISEN: I gather you didn't care for Senator Clintons book?

FORTE: I did not.

ARMISEN: Why not?

POEHLER: General, you don't have to answer that.

FORTE: No, Senator, I will. I thought it was badly written and way too long and extremely dull.

(END VIDEO CLIP, "SATURDAY NIGHT LIVE")

ACOSTA: So there you have it.

The writers and cast there at SNL having fun with what's happening out on the campaign trail, taking a few shots at those books that are put out by presidential candidates every four years.

Stick with us. There's a lot more "Ballot Bowl" up ahead right after this break.

This is "Ballot Bowl" on CNN.

(COMMERCIAL BREAK)

CROWLEY: Hi. And welcome back to the waning minutes of our 2:00 Eastern version of CNN's "Ballot Bowl."

I'm candy Crowley, here in Grantham, Pennsylvania. It is just outside Harrisburg. It is home to Messiah College.

And here tonight at 8:00 Eastern, you'll be able to tune in and see the Compassion Forum. Hillary Clinton and Barack Obama talking about matters of faith and politics and the intersection of the two. It will be hosted by our own Campbell Brown and Newsweek's John Meacham.

That is something you don't want to miss.

So, for this hour, I want to turn it back to Jim Acosta for a good-bye.

We'll see you a little later -- Jim.

ACOSTA: See you soon, Candy.

And it should be interesting to watch Barack Obama responding to this controversy tonight on the Compassion Forum, a reason for viewers to watch beside the discussion that is on the table for this evening.

And following the Compassion Forum, we also want to note that our own John King will be hosting a roundtable discussion to pick up on what is covered during that compassion forum.

And then 30 minutes after that, at 10:00 Eastern, you're going to want to tune in to this. It's a brand-new show on CNN. It is "Route 2008," hosted by our very own John King, as he takes a political road trip across the state of Pennsylvania.

That's coming up tonight at 10:00 Eastern, right here on CNN.

"Ballot Bowl" will be returning in about one hour. So come back to us at 4:00 Eastern.

In the meantime, "YOUR $$$$$" is up next.

Thanks for watching.

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