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American Morning
Twister Touches Down in Oklahoma; Boston Area Manhole on Fire; Gas Price Down, Dollar Up; Superdelegate Battle: How Should They Decide; Guam Participates in Caucus
Aired May 02, 2008 - 06:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: The --
JOHN ROBERTS, CNN ANCHOR: Oh, don't spoil it.
PHILLIPS: OK. We can't give that away.
ROBERTS: We'll talk about that.
PHILLIPS: All right. Yes. He has a new title and a new promotion.
Also, we're going to meet Barack Obama's running mate.
ROBERTS: Yes.
PHILLIPS: He's 83 years old.
ROBERTS: Yes, from North Carolina. We're going to check in with her and some older women voters a little bit later in the program.
First, though, right to the news this morning. Incredible pictures coming in overnight from Tornado Alley. Take a look at this.
Funnel cloud caught on tape near Glencoe, Oklahoma. The National Weather Service confirming that one twister touched down there. Severe storms ripped roofs off buildings. The Kansas City area pounded with huge hailstones last night, and the threat is not over yet. It's moving eastward.
Rob Marciano is in Greensburg, Kansas, where you'll remember a year ago a huge tornado literally wiped out the entire town. He's tracking today's extreme weather for us. Good morning, Rob.
ROB MARCIANO, AMS METEOROLOGIST: Good morning, John. Yes, we're lucky in this community that the action today at least is further off to the east. But the folks who live in the Mississippi River Valley, you're going to be getting hit hard today. Already this morning across parts of southwest Missouri and northwest Arkansas, we have tornado warnings that are now in effect.
Let's go to the radar scope and show you exactly what's popping at this hour. This is all part of a very strong line of thunderstorms that's rapidly moving eastward. There you see it in southwest Missouri. This is southern Barry County. They're under a tornado warning for the next 15 minutes. Tornado about 10 miles southwest of Cassville moving northeasterly at 58 miles an hour.
So this cell is definitely moving. If you live in Eagle Rock or Golden, those towns, you will be under the gun. You certainly want to take cover. Fort Smith, it's no picnic for you either. You're going to have some gusty winds and potentially some hail.
We had 114 reports of hail overnight, some of which were up to grapefruit-sized hail and 19 tornadoes in total yesterday, and we could see more today as these entire line moves off to the east.
Those red watch boxes, they are tornado watches that are in effect until 8:00 Central time and then as all this action moves off to the east, again, the midsouth and mid-Mississippi Valley, tornadoes, large hail, and damaging winds all possible. We're under a moderate risk for severe weather. That's even a higher category than what we saw for yesterday afternoon. So it certainly will be a busy day across much of the central part of the country.
We'll have more from Greensburg, Kansas, throughout the morning. John, back up to you.
ROBERTS: Rob Marciano staying on top of the extreme weather for us this morning. Rob, we'll get back to you real soon, thanks -- Kyra.
PHILLIPS: President Bush talking about the number one issue for Americans, the economy. And this morning he's going to tour a company in St. Louis that the White House says is being helped by his economic stimulus package. He's expected to talk about the new numbers coming in on jobs, so we'll have it for you as soon as it's released. That's about 8:30 Eastern time.
And for the first time in 17 days, gas prices went down. AAA says it dropped one-tenth of a cent. The national average --
ROBERTS: It's moving in the right direction.
PHILLIPS: Hey, come on, that's the way we want to go.
The national average, $3.62 a gallon. A month ago it was $3.29. So a year ago, believe it or not, gas was $2.98 a gallon. We keep talking about how that was such a bargain.
ROBERTS: We keep dangling that in front of people. It's driving them crazy with it.
Today kicks off the last frenzy weekend of campaigning before the primaries in North Carolina and Indiana. Barack Obama is painting Hillary Clinton as just another politician for her plan to suspend the federal tax gas during the summer and tax the oil companies record profits to make up the difference.
Senator Clinton is portraying Senator Obama as an elitist.
(BEGIN VIDEO CLIP) SEN. HILLARY CLINTON (D-NY), PRESIDENTIAL CANDIDATE: I find it, frankly, a little offensive that people who don't have to worry about filling up their gas tank or what they buy when they go to the supermarket think that it's somehow illegitimate to provide relief for the millions and millions of Americans.
SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: All around this was a bad idea, but the reason that it was presented was not because it was a good idea. It was because politically it looked like it might be a winner.
(END VIDEO CLIP)
ROBERTS: Gas tax holiday idea was first proposed by Republican John McCain. Hillary Clinton has pulled even with Barack Obama in the newest CNN/Opinion Research Corporation poll. Have a look at the numbers here.
Forty-six percent of Democrats nationwide are for Obama, 45 percent for Hillary Clinton, well within the margin of error. Polls from mid-March had Obama up by seven points, so quite a change has happened there.
Meanwhile, in the race for superdelegates, Obama is the one closing the gap. Dan Lothian live from the CNN Election Express in Indianapolis. He picked up a big one yesterday with the former DNC Chairman Joe Andrew, Dan, and one of the reasons why Andrew cited his switch was this idea of Obama's opposition to the gas tax. How is that issue playing there in Indiana?
DAN LOTHIAN, CNN CORRESPONDENT: It really is a big issue here in Indiana. That's all that either of the candidates really has been talking about this week. And as you heard just a few minutes ago, Senator Clinton is really trying to show that Senator Barack Obama's opposition to this really shows that he's out of touch with the working class voters, that he's an elitist. And Senator Obama, of course, trying to show that this is just political pandering on her part.
And, you know, what's interesting about this whole debate is that they're talking about something that will impact voters this summer, and neither of them will be president during that time. So in a way it's kind of a moot debate.
But back to that superdelegate you were just talking about, the defection by Joe Andrew. He's the former chairman of the Democratic National Committee. He was appointed by then President Bill Clinton, served from 1999 to 2001. And as you mentioned, you know, he was watching Senator Barack Obama and how he has been handling not only the controversy of his former pastor, Reverend Wright, but also how he has been dealing with the controversy or rather the debate over the gas tax holiday.
(BEGIN VIDEO CLIP)
JOE ANDREW, DEMOCRATIC PARTY SUPERDELEGATE: When we come to the gas tax issue as well, you know, I have been involved in trying to push for that exact same kind of political pandering here in the state of Indiana. I'm part of the problem in the past, not part of the solution as well. And to understand that kind of political theater, to understand exactly why it is you would do that, you suddenly -- you know, I wake up in the morning and say, look, I don't want to look my kids in the eye and think that's all that I have been about as well.
(END VIDEO CLIP)
LOTHIAN: Now, Andrew said that he still has a lot of respect for Senator Clinton, but what's interesting, he said that by making his switch, he hopes that other superdelegates will follow and he certainly hopes that others here in Indiana, of course, will take the lead and perhaps if they're on the line switch their votes, too, come next Tuesday -- John.
ROBERTS: Dan, we should mention too that Joe Andrew is going to be joining us at our next hour of AMERICAN MORNING along with Terry McAuliffe, who is Senator Clinton's campaign chairman. It should be an interesting debate. Dan Lothian for us at Indianapolis this morning. Dan, thanks.
PHILLIPS: Republican John McCain campaigns in Denver today, in Des Moines yesterday, the heart of farm country. Senator McCain repeated his stand against farm subsidies. He said that if he were president, he would veto the Farm Bill now in Congress. Farm Bill negotiators are fighting to keep $5.2 billion in payments to farmers. McCain promised farmers that he would work to "open every market in the world to sell their crops."
President Bush asking Congress for an additional $770 million for food aid around the world. That's on top of the $200 million the U.S. has already donated in emergency aid. Now, House Speaker Nancy Pelosi promised to act quickly and riots over the rising cost of food have broken out this year in Egypt, Haiti, Yemen, Bangladesh, and other countries.
And President Bush is set to sign a bill offering more money for student loans. The bill sailed through the House and Senate. It lets college students borrow an additional $2,000 in low-cost government loans each year. The credit crunch has forced several major lenders out of the student loan market.
ROBERTS: Seven minutes after the hour. When it comes to the economy, it seems like the news has been all bad, but not today. Stocks rally on Wall Street, big rally, as oil prices begin to slide and the price of a gallon of gas down ever so slightly. Find out where the money is flowing and why it matters to you, just ahead.
Plus, more on the breaking news today. Twisters caught on tape. New images coming into us right now. An update on where these violent storms could be headed next. It's going to be a busy Friday morning for people in the Midwest, ahead on AMERICAN MORNING.
(COMMERCIAL BREAK)
PHILLIPS: Live pictures now from our affiliate there WHDH out of Cambridge, Massachusetts. This is what I can tell you right now.
It's a portion of Harvard Square that has caught fire. It has closed traffic there in the area. We're told it's an electrical fire. Not quite sure if there was work going on there in the manholes, but you can see firefighters or actually it looks like police right now responding. It looks like it's pretty well contained.
The spokesperson there at Harvard University said that they have evacuated the area that's close to the fire. We'll monitor that and bring you more information as we get it.
ROBERTS: Pretty impressive pictures there. Notice the ground is a little wet, too. Remember in Washington we were having this problem for quite a while that, you know, it would rain and then the old electrical wires in there would short out. It would actually blow the manhole cover off. There were manhole explosions.
PHILLIPS: Were they doing construction work? Or was it just --
ROBERTS: No, no. It just happens.
ALI VELSHI, CNN SENIOR BUSINESS CORRESPONDENT: I wouldn't be standing around like that. Those guys over there --
PHILLIPS: Yes.
ROBERTS: Yes.
I wonder if there's a gas main running through there as well. It doesn't look like it's high enough pressure, but certainly some impressive photos this morning.
(CROSSTALK)
VELSHI: Yes.
PHILLIPS: I wouldn't want to be by water and electricity either. There's something about that, but I wouldn't want the --
VELSHI: I could go in a different direction. I could go run errands.
ROBERTS: It's 10 minutes -- almost 11 minutes after the hour, and Ali Velshi joins us now "Minding Your Business" this morning. And Ali Velshi waking up on this Friday morning with a new sense of infamy. Have a look.
(BEGIN VIDEO CLIP)
VELSHI: This is going to be the seventh Fed rate cut in a row. You've got to pay attention to this. This is major.
(LAUGHTER)
JON STEWART, HOST, "THE DAILY SHOW WITH STEWART SHOW": Who is that hairless prophet of doom? And how can we appease his anger, please? If we give you our hair, will you give us back our money? Will you do it, sir? I beg of you!
(END VIDEO CLIP)
ROBERTS: So, "Minding Your Business" this morning, is Velshi, the hairless prophet of doom? Good morning to you.
(LAUGHTER)
VELSHI: I am going to break this curse. I have no doom to bring you this morning. In fact, I have nothing but good news to you, our viewers, and Jon Stewart.
The Dow shot up about 200 points yesterday to the highest point that it's been since January 3rd of this year. Look at that, 189 points higher. Nasdaq, S&P 500, everything was up. Now, I just want to give this a little perspective.
Take a look at the Dow over the last year. You know, back in October we were hitting records on the Dow over and over again. It's substantially lower than it was then, but look at that trend. Look at that market in that last couple of months. While we've all been paying attention to gas prices and the dollar, the market has been going up.
I should tell you the dollar is at its strongest point since February. Anybody hear any doom in here? Uh-uh. The euro -- to buy one euro will cost you a paltry $1.55. A pound won't even make you crack 2 bucks, and you only have to hand over 96 measly pennies to get a Canadian dollar. So book those travel plans.
Now, as we have talked about a lot, when the dollar goes down, oil goes up. Take a look at the cost of a barrel of oil. What a deal. $112.52 is where it closed yesterday. It actually traded almost down to $110.
We know as the dollar goes up, oil goes down, and we do not have a record in gas prices today for the first time in 18 days. No record. It's still $3.62 a gallon, and it's only down a tenth of a cent from yesterday, but the curse has been broken. Jon Stewart broke the curse.
ROBERTS: So he calls you the hairless prophet of doom and things turn around.
VELSHI: And some guy who really is the hairless prophet of doom said, no, that's me. That guy here.
PHILLIPS: Does that mean that you have to grow hair now?
VELSHI: Look, let's deal with oil prices and stock markets and gas prices. I'm going to need a lot more intervention than Jon Stewart to grow hair.
ROBERTS: All right. Still a great name. We'll call Velshi, the hairless --
VELSHI: Just call H pod (ph).
PHILLIPS: H pod (ph). Pod diddy (ph).
VELSHI: Pod diddy (ph).
ROBERTS: Back to Harvard Square for a minute. We've got some more pictures from WHDH. Our affiliate out of Boston is bringing us these live pictures this morning, and the manhole continues to burn -- an electrical fire. As far as we know, no injuries. But I would assume that it blew the manhole cover off when it first went up.
Luckily no one was in the area as far as we know at the time, and we'll keep following this for you. Not much of a threat there except for some impressive pictures and closing off a section of Harvard Square.
More amazing pictures for you this morning. Another funnel cloud last night from Oklahoma. A line of severe weather pounding the plains overnight, and we'll have more on the current threat.
Rob Marciano is in Greensburg, Kansas, this morning tracking where that storm system is moving, and who is in the cross hairs. We'll have that for you just as soon as we come back.
(COMMERCIAL BREAK)
PHILLIPS: Now, take a look at these pretty incredible pictures that came in overnight. It's a twister touching down in Oklahoma. The National Weather Service is confirming that a funnel cloud hit the ground in that area. There are reports that supercells produced several other funnel clouds across Tornado Alley.
Two hundred fifty miles north of Oklahoma City is the town of Greensburg, Kansas. It was nearly wiped off the map by a tornado one year ago. That twister killed 11 people, cut its population in half, and destroyed 90 percent of the buildings. But now, the town is coming back to life.
Rob Marciano live for us there in Greensburg this morning. Hi, Rob.
MARCIANO: Hi, Kyra. You know, we're doing a progress report of sorts 12 months after this devastating tornado just cleared out this town and now the rebuilding has begun. This is one of the structures behind me, the Boy Scouts Headquarters built back in 1935. It's one of the many structures that has yet to be touched, but there are many others that have been cleared away in the rebuilding process has begun.
How they're rebuilding may very well surprise you. It will certainly impress you, and we'll have more on that story as the broadcast continues this morning.
First order of business though is the severe weather that is well east of here, thank goodness. But for folks who live in the midsouth and places in Arkansas and southwest Missouri, you're going to be getting hit hard this morning and through the afternoon.
On to the radar scope we go. We had tornado warnings pop in northwest parts of Arkansas and southwest parts of Missouri, and we still have those tornado watch boxes that are in effect until 8:00 this morning. That yellow box just popping up here, a severe thunderstorm watch that was issued by the Storms Prediction Center.
That pinkish polygon you see there, that is the tornado warning that was in effect until 6:15 Eastern time, 5:15 local time. Looks like it has been extended as that storm rapidly moves east northeastward at about 50 to 55 miles an hour.
Springfield, Missouri, you're going to get hammered with heavy winds, definitely a lot of lightning with this system as well. We've seen a lot of strokes of lightning. And if that's not insult to injury, look at Rapid City and the Black Hills of South Dakota. Blizzard warnings in effect for this beginning of May, my friends.
Five to 10 inches of snow possible with winds gusting 50 to 60 miles an hour and then a moderate risk for severe weather pushes off to the east across the Mississippi River Valley today. I can tell you that it feels like it's cold enough for snow here. In western parts of Kansas as well, temperatures are in the lower 40s with windchill certainly near freezing.
But almost a year ago today, that tornado ripped through. And folks, their spirits here are certainly high as they see their town coming back to life. Kyra and John, back up to you.
PHILLIPS: Rob Marciano, thanks.
ROBERTS: It may be unprecedented in American politics. Guam becomes a player in deciding the Democratic nomination. Nine big delegates up for grabs. We're going to talk to an undecided superdelegate from Guam. That's just ahead.
And a tragic story. A college student calls 911 for help, but instead that call is disconnected. The same day she's found murdered. Why police say the dispatcher broke all the rules that might have saved her life.
(COMMERCIAL BREAK)
ROBERTS: Coming up at 22 minutes after the hour. Guess what? Airlines are slowing down flights to save fuel. You thought it already took you long enough to get from here to there.
Southwest says it started flying more slowly two months ago. Did you notice? It says adding one to three minutes per each flight will save $42 million this year. United, Northwest and JetBlue also say they're slowing down.
You know, when you fly though, you know, Washington/New York corridor or Atlanta/New York, as you started to do now, you're always flying slow because literally the second you take off, if you're flying up to New York they slow you down. PHILLIPS: I have never paid attention to that. Now I will. I'm either sleeping or reading.
ROBERTS: Watch your watch.
PHILLIPS: Exactly. All right, John.
Well, the latest CNN/Opinion Research Poll Corporation shows that Hillary Clinton and Barack Obama in a dead heat among Democratic voters. This as Obama is closing the gap in the all-important superdelegate race.
And just yesterday, former Democratic Party leader Joe Andrew announced that he was switching sides and will now vote for Obama instead of Clinton. And that brings us to this morning's "Quick Vote" question.
Should superdelegates -- it's easy for me to say -- base their votes on who has the most pledged delegates, local results, the overall popular vote, or their conscience? Cast your vote at CNN.com/am. We'll tally your votes throughout the morning.
You can also e-mail us. Just let us know what you think about the superdelegates and the Democratic system for nominating a presidential candidate. Does it work?
ROBERTS: How long have you got?
PHILLIPS: Or should it be changed. Go to CNN.com/am. And did you know that Guam plays a very important role?
ROBERTS: Who would have thought?
PHILLIPS: And who --
ROBERTS: Talking to Guam.
PHILLIPS: Hey, and I'm learning. Obviously you've told me all the stats about the islands and then this, but learning about the Timor (ph) people, the split of the difference ethnicities there. I got to tell you what, I'm studying Guam. I'm learning a lot more.
ROBERTS: Who would have thought? Impossible, you know.
PHILLIPS: It's going to make an impact.
ROBERTS: So many of these, these smaller contest now -- and at the end may make all the difference. Everybody wanted to go first and now it's the ones who are going at the end that may actually decide who the Democratic nominee is.
How far, by the way, will the Democratic candidates go for a vote? As we said, all the way to Guam, suddenly this big player.
And then, some other news to tell you about this morning. A tragic twist in the case of the so-called D.C. madam. What police are saying about her apparent suicide. That's ahead on AMERICAN MORNING.
(COMMERCIAL BREAK)
PHILLIPS: Welcome back to the "Most Politics in the Morning." With just nine states left to vote on the Democratic nomination, Barack Obama and Hillary Clinton are fighting for every vote, and that includes Guam, a U.S. territory that can't even vote in the general election.
Its caucuses begin in about 14 hours, and those four delegates and five superdelegates count. Now, as serious as that is, it hasn't stopped the late night comedians like Stephen Colbert from poking some fun.
(BEGIN VIDEO CLIP, COMEDY CENTRAL "THE COLBERT REPORT")
STEPHEN COLBERT, HOST, "THE COLBERT REPORT": Nation (ph), the Democratic Party's nomination process just keeps getting hotter. And the crucial primary is just days away. I am speaking, of course, about Guam. This year Guam is so important that Barack Obama is doing what no other presidential candidate has ever done, open a campaign office there. I mean, if this race gets any tighter, he may even connect the phones.
(END VIDEO CLIP)
PHILLIPS: Oh. Joining us on the phone now is Guam's Democratic Party Chairman and undecided superdelegate, by the way, Tony Charfauros. Tony, what do you think of all these guys poking fun at Guam?
TONY CHARFAUROS, GUAM DEMOCRATIC PARTY (ON THE PHONE): Well, you know, I want to make sure that at least Guam is on the national scene and at least people are now -- have a different perspective of Guam. You know, we're remotely out here in the pacific, and I guess we're always the unforgotten ones in the American family. So that's OK. You know, it's all right. You know, I enjoy that.
PHILLIPS: OK, good. So whether it's having a little fun or getting serious like we are right now on CNN, that's a good thing because people -- including me, I'm learning a lot about the indigenous people there, and more about what's important to the people of Guam, which brings me to my next question actually and the issues that are important to you and the other voters.
I was looking at the major industries there from U.S. military to concrete products. Tell me what are the main issues? Is it the war in Iraq?
CHARFAUROS: Well, you know, actually our main issue here locally in terms of the military buildup because you know there's going to be a huge transfer of marines over here from Okinawa in the next couple of years. And I guess this issue in itself, we want to make sure that the civilian community or the people at large are also a participant in terms of the military buildup and not just behind the fence, but also the civilian community, which is -- You know, every time they talk about it, I think people here are just wondering, OK, so what are we -- what is the federal government going to do to assist us in terms of, you know, the infrastructure and, you know, in terms of whatever federal assistance they can give to the local government to aid them in terms of the military buildup because that's going to be a huge transfer, not only from the 8,000 marines, but also the families themselves.
PHILLIPS: Well, Tony, have Senator Obama and Senator Clinton been doing anything to court your voters there?
CHARFAUROS: Well, you know, they're making all kinds of commitments, especially in terms of the long-awaited issue of war reparation that's been lingering here for over 60-some years. That, you know, the Timor (ph) people have suffered atrocities. And, in fact, a lot of them have really come and gone. Of course, there's the descendants that will probably benefit if this thing goes through.
And then there is currently in the Senate bill by our Congresswoman Madeleine Bordallo to compensate and to bring this issue to a closure, because a lot of the people are still waiting for that war reparation to go through. And both of them have made that commitment.
And, you know, as a matter of fact I've written to them even as far back as May before all these things came out, and now they're really bringing it up and making commitments. The other thing is the military buildup, of course.
(CROSSTALK)
PHILLIPS: Yes. And Tony, you're an undecided superdelegate, right? Are you still undecided, and if so, what's going to help you make your decision?
CHARFAUROS: Well, you know, I'm undecided because I wanted them to address those issues. And now, they are addressing it. Now, it's a matter of which one because I think both of them have really shown that they are concerned about Guam, and I think not only is it a Democratic issue but it's also an issue for the people. And I guess in the coming weeks I'll probably make a decision because both of them have made a commitment and that's important.
But I just hope that after everything is said and done on May 3rd, they just don't forget us. So don't forget that. I want to make sure that they follow through on those commitments.
KYRA PHILLIPS, CNN ANCHOR: Tony Charfauros, chairman of the Guam Democratic Party, appreciate your time this morning.
JOHN ROBERTS, CNN ANCHOR: Defense Secretary Robert Gates says troops who seek psychiatric counseling will not have it held against them. The decision was prompted in part by a study that says many service members are embarrassed about seeking help for mental issues.
Earlier this week, the head of the American Psychiatric Association spoke on AMERICAN MORNING and explain more about that.
(BEGIN VIDEO CLIP)
DR. CAROLYN ROBINOWITZ, PRESIDENT, AMERICAN PSYCHIATRIC ASSOCIATION: The study found that many soldiers were quite concerned about the possible adverse effect of seeking treatment on their careers and that stigma really interfered with their opportunity to get help.
(END VIDEO CLIP)
ROBERTS: Until now a history of psychiatric counseling could count against service personnel when they apply for National Security Clearances.
Well, police in Florida this morning are investigating what may have prompted Debra Jean Palfrey, otherwise known as the D.C. Madam, to take her own life. Her body was found yesterday near here mother's home in Florida, along with a parent suicide note. Here is part of the chilling 911 tape.
(BEGIN VIDEO CLIP)
OPERATOR: 911.
BLANCHE PALFREY: Help me! Help me! Please.
OPERATOR: What's going on, ma'am?
BLANCHE PALFREY: (INAUDIBLE).
OPERATOR: You think what, ma'am?
BLANCHE PALFREY: I think she hung herself.
(END VIDEO CLIP)
ROBERTS: She was convicted last month of running a prostitution ring that catered to Washington's elite. She was facing up to 55 years behind bars.
CNN's John Zarrella is live in Tarpon Springs, Florida for us.
John, quite a surprise this news.
JOHN ZARRELLA, CNN CORRESPONDENT: Yes, John, no question about it here. The Sun Valley Estate behind me here is a quiet, quaint, well-kept mobile home park on Florida's west coast. Mostly retirees live here. But their quiet was literally shattered yesterday when the woman known as at the D.C. Madam was found hanging from a nylon rope.
(BEGIN VIDEOTAPE)
ZARRELLA (voice-over): The body of Debra Jean Palfrey was found by her mother in a small storage shed outside her mobile home. CAPT. JEFFREY YOUNG, TARPON SPRING'S POLICE: Blanche Palfrey discovered her daughter, Debra, had apparently hung herself using a nylon rope from a metal beam on the ceiling of the shed.
ZARRELLA: Police say several notes were found that made it clear the woman known as the D.C. Madam wanted to take her own life. Author Dan Moldea who is working with her on a possible book said he wasn't surprised.
He told "Time" magazine, quote, "She wasn't going to jail. She told me that very clearly. She told me she would commit suicide." Unquote.
Palfrey was to be sentenced next month for running a high-end prostitution service in Washington. Something she continued to deny.
DEBRA PALFREY: No promises or claims directly or indirectly was ever made to a client that he should expect the associate to perform illegal acts for hire.
ZARRELLA: But authorities say she ran the business for 13 years hiring polished college-educated women and coordinating it all from her home in California.
She allegedly brought in millions of dollars, most of which she spent on her defense. The 52-year-old Palfrey hinted at her current state of mind in a recent interview with CNN Radio's Ninette Sosa.
PALFREY: I am looking at 55 years in a federal penitentiary, and at my age, that is virtually a life sentence.
(END VIDEOTAPE)
ZARRELLA: Now, police are telling us there may be some preliminary autopsy results coming in later this afternoon. But they say by all indications this was a suicide.
John?
ROBERTS: So there was absolutely no suspicion of foul play here, and I ask that question because there were a lot of names in this so- called Black Book that she had.
ZARRELLA: No question about it, and certainly the conspiracy theorists are already coming out of the woodwork about this. But police from the very get-go, the minute they arrived here very quickly determined that there doesn't look like there's anything more to this than just suicide, that she took her own life.
John?
ROBERTS: John Zarrella for us this morning in Tarpon Spring, Florida. John, thanks.
PHILLIPS: Alina Cho joining us now with other stories making headlines. Good morning. ALINA CHO, CNN CORRESPONDENT: Good Friday morning to both of you, guys. Good morning, everybody. And new this morning, Congress is struggling to come up with a farm bill that won't be vetoed by President Bush.
The president has said the bill is bloated with subsidies for farmers. Meanwhile, Senator Charles Grassley of Iowa made an important distinction saying the corn we eat and the corn used for ethanol are not the same.
(BEGIN VIDEO CLIP)
SEN. CHARLES GRASSLEY (R), IOWA: This is what we make ethanol out of. Now, I don't know whether people that are complaining about corn increasing the price of food or not, maybe they think it's a sweet corn. I don't know.
But there's got to be a lot of misunderstanding of agriculture and corn and ethanol when people are blaming corn and ethanol for the increased cost of food.
(END VIDEO CLIP)
CHO: And as food prices have been rising, many people have said using corn for fuel in cars is a waste of a valuable resource.
The House has given final approval to a bill that would ban companies and health insurance providers from discriminating against people based on genetic testing. Now the bill would allow more people to undergo that genetic testing without worrying that they would be penalized if they are found to have a higher risk for certain diseases. President Bush is expected to sign the bill into law.
A 911 operator is under fire after hanging up on a college student the day she was murdered last month. Police in Madison, Wisconsin, say Britney Zimmerman called 911, but the dispatcher hung up after getting no response. Failed to call back and didn't send police, which is a violation of policy. Zimmerman was later found dead inside her apartment. Police are still looking for her killer.
A surprising admission from veteran journalist Barbara Walters. She told Oprah Winfrey that she had an affair with Massachusetts Senator Edward Brooke back in the 1970s. Brooke was married at the time and was the first African-American to be popularly elected to the Senate. Calls to Brooke by the AP were not returned. Walters, by the way, is coming out with a book.
And a celebrity wedding to report. Yes, E! Online says 38-year- old Mariah Carey married 27-year-old actor Nick Cannon. A relative of Cannon's confirmed the wedding but didn't give any details. Carey has been married once before to record company executive Tommy Mottola.
Apparently, they've been going out for about a month now. So congratulations to them.
PHILLIPS: That's plenty of time to get to know somebody really well.
CHO: That's right.
ROBERTS: A month?
CHO: About a month is what I'm told.
ALI VELSHI, CNN SENIOR BUSINESS CORRESPONDENT: Don't they read like "People" magazine and stuff.
CHO: One of our researchers Ed Mars (ph) said she was born in 1970. She's 38. He's 27. Can you imagine? Tell her, born in 1970.
VELSHI: There's no part of that that I understand.
CHO: There's an 11-year age, but we do wish them the very best.
PHILLIPS: Good for her. Robbing the cradle.
CHO: Yes.
PHILLIPS: She's got a few things to show him. A few dance moves.
ROBERTS: In other news --
(CROSSTALK)
PHILLIPS: The prophet of doom.
(CROSSTALK)
VELSHI: You know, Kyra, ask me -- one of the great things about having these discussions about business things is you guys stop and ask me things that I don't really think about because I get too mired in these numbers.
So Kyra said yesterday when I say that gas prices go up and people change their behavior, they really do. Americans have really changed their habits with respect to the cars they buy.
I'm going to tell you what you're buying when we come back on AMERICAN MORNING. Stay with us.
(COMMERCIAL BREAK)
VELSHI: Welcome back to AMERICAN MORNING. I'm Ali Velshi. Listen, we've been talking about these high gas prices and how they're affecting you. Well, they're affecting you. You are making changes to the way you buy cars.
Yesterday, we got the reports from all of the major car companies about what they've been selling and what's been working for them. I will tell you two things. First of all, car sales are down 14 percent to the lowest annual rate of sales in a decade. That's kind of what's been going on. America was the Holy Grail for car sales. It's not the case anymore. The world has shifted east to Asia, to India, China, South America, Russia, places like that where cars are being bought. But let me tell you how it's all breaking down.
Ford reported this April compared to last April, 27 percent fewer trucks were sold this April. Their car sales were down just a little bit. Chrysler, down 25 percent in truck sales. The car sales of Chrysler were down 19 percent, but you know, the boss of Chrysler is Bob Nardelli who did a nice skewer job on Home Depot. So we're waiting to see what he does with that.
Ford was down 18 percent in truck sales, down just one percent in -- Ford was down 18 percent in truck sales and one percent in car sells. And Nissan was down 12 percent in car sales. They were up 20 percent in cars. Down 12 percent in trucks and up 20 percent in cars. The Priuses that you all ride in, up 67 percent compared to last April.
PHILLIPS: That's good.
And Ford Focus, which isn't a hybrid but it's a fuel efficient little car, up 44 percent. So absolutely a shift in the way people drive.
ROBERTS: You know, the world is moving to this hybrid technology. No question about it.
VELSHI: Yes, sure. These are the prices they do. So that's why we were talking about why gas doesn't get to 7 bucks likely, because Americans are smart enough to change the way they do things.
ROBERTS: Ali, thanks.
PHILLIPS: Well, a twist for the Olympic torch this morning. This time the protesters come out to support China. A live report from Hong Kong, coming up.
ROBERTS: And a town that fell victim to the destructive power of nature is now giving back to the environment. We go back to Greensburg, Kansas, a year later. Next on AMERICAN MORNING.
(COMMERCIAL BREAK)
ROBERTS: 43 minutes after the hour. One year ago today we saw a town that had just witnessed hell. Rob Marciano and I reported from the utter devastation in Greensburg, Kansas, after a giant tornado ripped through killing 11 people, flattening almost everything there.
Today the sounds of hammers, signs of progress in Greensburg and concern for nature even after it delivered a deadly blow.
Our Rob Marciano, live, in Greensburg with that and the weather forecast this morning, which isn't looking good.
Rob, good morning to you. ROB MARCIANO, CNN METEOROLOGIST: Good morning, John. You know, you and I both left here shaking our heads and just saying, my goodness. I mean, never had we seen a town that was just completely plowed over by a tornado like that taking a direct hit. But sure enough, the folks here pulled themselves up by their boot straps and said, you know, what, we're going to rebuild. Well, they are rebuilding, and guess what? They're doing it right.
(BEGIN VIDEOTAPE)
MARCIANO (voice-over): One year later residents understand that how they rebuild will determine the town's future. And Greensburg is, well, going green. Windmills are popping up like the winter wheat and even conservative farmers are getting on board.
UNIDENTIFIED MALE: All you have to say to them is if you could save $200 a month on your utility bill by harnessing this wind, what do you think?
MARCIANO: Here green has no political party.
DANIEL WALLACH, DIRECTOR, GREENSBURG GREENTOWN: I don't think it's red or blue to be green. I think green is green, and green makes sense, and it also saves you green, you know. That's the other thing.
MARCIANO: But the Estes, the fourth generation family business is a John Deere dealership and the tornado hit them especially hard.
MIKE ESTES, BTI GREENSBURG: Steel twisted inside the brick and the miles per hour that it had to have to pick combines up that weigh 20,000 pounds plus and that equipment that headed right into harvest, gone.
MARCIANO: Rebuilding the new John Deere site is just getting started, and you got it, it's going to be green.
WALLACH: Below us is hydronic in-floor heating. We put hydronic heating in here so that the heat will be radiant from the base of the floor up.
MARCIANO: Is that more efficient than your other --
WALLACH: Much, much more efficient. When we drain the oil out of our machines it's going to go into a tank. That tank will then house the oil that's going to be burned that will heat the water in this floor.
At present, that particular windmill is powering this job site, which to our --
MARCIANO: And when it's completed more than half of the dealership's electricity will come from the wind.
WALLACH: My granddad would -- trust me, he liked to save energy, and he was an environmentally conscious person as was my dad. Farmers are environmentalists. MARCIANO: And farmers here hope to turn their town's tragedy into an environmental triumph.
(END VIDEOTAPE)
MARCIANO: Farmers certainly are stewards of the land. They have to be. Their livelihoods depend on it. They've been given a clean slate here and they're taking advantage, but it has not been easy. They are trying to build what leads consider to be platinum.
Leadership in energy and environmental design and it is not easy. Everything has to be taken into account, but they want to do it and they certainly want to do it right. And they want to keep generations here. They do want to stop the kids from moving out away from home. This is going to turn out to be a pretty cool town where the younger generation will want to stay.
(WEATHER REPORT)
ROBERTS: The Olympic torch relay is run on Chinese soil for the first time today with a twist from previous around the world. We got a live report from Hong Kong, coming up next.
PHILLIPS: And it's certainly not bad all over. While most states are struggling, some states are thriving. We're going to show you, straight ahead on AMERICAN MORNING.
(COMMERCIAL BREAK)
PHILLIPS: We have a different scene today at the Olympic torch relay in Hong Kong. With the torch on Chinese soil for the very first time, pro-Tibetan protesters were greatly outnumbered and eventually were removed from the course by police for their own protection. CNN's Eunice Yoon, live in Hong Kong.
Hi, Eunice.
EUNICE YOON, CNN CORRESPONDENT: Hi, Kyra. The closing ceremony of the Hong Kong torch relay wrapped up just about an hour ago when people here, Olympic organizers, torch bearers, as well as government officials, all seemed to be in agreement that the Hong Kong torch relay was a success.
This closing ceremony effectively ends the first leg of the torch relay in China. It's going to last for another 98 days, but this is the first time that the torch is back on Chinese soil after an international leg that was marred by protests.
Even in Hong Kong, though, this city enjoys greater political freedoms than any other part of the country mainly because it's a former British colony and run by different rules. But even here we saw some pockets of protests that didn't go perfectly smoothly. There were some people who were detained and eventually let go. Many of them had been criticizing China's human rights record, also waving Tibetan flags. But by and large, the relay here was peaceful, and there were thousands of people coming out in support of Beijing and the Olympic Games, riding a wave of Chinese nationalism.
The torch now heads to Macau, which is also known as Asia's Las Vegas.
Kyra?
PHILLIPS: And just like Las Vegas, you can see those still behind you still wanting to party and hang out. Eunice Yoon, there, live, in Hong Kong. Thanks, Eunice.
ROBERTS: Well, the economic downturn marches across the United States. A boom in one state is keeping it in positive territory. We'll tell you what they're doing right, next on AMERICAN MORNING.
(COMMERCIAL BREAK)
PHILLIPS: The latest CNN Opinion Research Poll Corporation shows Hillary Clinton and Barack Obama in a dead heat among Democratic voters. This is happening as Obama is closing the gap in the all- important superdelegate race. And just yesterday, former Democratic Party leader Joe Andrew announced that he was switching sides and will now vote for Obama instead of Clinton.
That brings us to this morning's "Quick Vote" question. What should superdelegates base their votes on? 34 percent of you say the candidate who has the most pledged delegates. 12 percent think that local results should be the determining factor. And 24 percent say they should follow the overall popular vote. And 29 percent of you say that superdelegates should vote their conscience.
You can cast your vote at cnn.com/am. Also e-mail us. Let us know what you think about the superdelegates and the Democratic system for nominating a presidential candidate. Does it work or should it be changed? Go to cnn.com/am.
ROBERTS: Well, study in economic contrasts now. While most states are reeling from high gas prices, the slumping housing market, increasing unemployment and the skyrocketing cost of food, some states are actually thriving. We have two reports now for you.
First, from AMERICAN MORNING's Chris Lawrence.
(BEGIN VIDEOTAPE)
CHRIS LAWRENCE, CNN CORRESPONDENT (voice-over): California once lured Americans to a land of opportunity, but the Golden State has lost some of its glow.
BETTY LARKIN, HOME FORECLOSED ON: It's just awful.
LAWRENCE: Betty Larkin is just one of more than 100,000 homeowners foreclosed on in the last few months alone.
LARKIN: Some people think a recession might come. To me, we're in one.
LAWRENCE: The mortgage collapse has eliminated 10 percent of California's construction jobs.
LAWRENCE (on camera): We just saw the worst March for home building here in California since the 1970s.
STEPHEN LEVY, ECONOMIST: That is the primary story here. Housing prices down 25 percent. Building activity essentially wiped out, that flowing through the consumer confidence and taxes.
LAWRENCE (voice-over): Lower property taxes have contributed to a projected $20 billion budget deficit forcing the state to send pink slips to tens of thousands of teachers.
GINNY ZEPPA, TEACHER: It's really sad because it's not like I'll be able to find a job anywhere else either California. Cuts are everywhere.
LAWRENCE: And the open road offers no escape. With gas prices soaring past every other state in the country.
(END VIDEOTAPE)
(BEGIN VIDEOTAPE)
ED LAVANDERA, CNN CORRESPONDENT (voice-over): I'm Ed Lavandera in Cheyenne, Wyoming, where a state that's used to a yo-yo economy is enjoying an upswing.
UNIDENTIFIED MALE: Once every ten years we get rich, the next ten years we're broke.
LAVANDERA: The state is profiting from the taxes on high energy prices. Coal mining and natural gas are the state's economic backbone. Unemployment is below the national averages and companies can't find enough workers.
UNIDENTIFIED MALE: We've been going all over the country looking for qualified people to work in the mines. Mechanics, electricians, welders are in huge demand.
LAVANDERA: But to minimize the yo-yo effect, Wyoming now invests some energy tax revenue in stocks and fixed income funds. The interest from that money now pays for about 25 percent of the state's budget.
LAVANDERA (on camera): The Wyoming state budget is $163 million ahead of where state officials expected it to be by this time of year. So while state lawmakers across the country are slashing budgets, here in Cheyenne, they're writing checks.
LAVANDERA (voice-over): Schools are being built and remodeled. Highways are being upgraded. State treasurer Joe Meyer is smiling.
JOE MEYER, WYOMING STATE TREASURER: Right now, it's kind of fun to be here. You can go hunt and fish, too.
LAVANDERA: Just don't let these guys hear you say that. Ed Lavandera, CNN, Cheyenne, Wyoming.
(END VIDEOTAPE)
ROBERTS: Jobs are front and center in "ISSUE #1" today. New numbers coming in this morning that are expected to show more pain for Americans. President Bush is weighing in today.
This morning he's going to tour a company in St. Louis that the White House says is being helped by his economic stimulus package. He's also expected to talk about the new job numbers. We'll have them for you just as soon as they're released. That's around 8:30 Eastern.
And for the first time in 17 days, gas prices have gone down. AAA says it dropped one-tenth of a cent. The national average still at $3.62 a gallon. A month ago, $3.29 and just so you know how far we've come, a year ago it was $2.98.
PHILLIPS: Let's emphasize going down. That's the first time we've said that in two weeks.
ROBERTS: Yes. I bet you know that Ali Velshi decided that he wasn't going to take the day off because there was so many other great things to talk about.
PHILLIPS: Well, today also kicks off the last frenzied weekend of campaigning before the primaries in North Carolina and Indiana. Barack Obama painting Hillary Clinton as just another politician for her plan to suspend the federal gas tax during the summer and tax the oil companies record profits to make up the difference.
Senator Clinton is portraying Senator Obama as an elitist for opposing the plan.
(BEGIN VIDEO CLIP)
SEN. HILLARY CLINTON (D-NY), PRESIDENTIAL CANDIDATE: I find it, frankly, a little offensive that people, who don't have to worry about filling up their gas tank or what they buy when they go to the supermarket, think that it's somehow illegitimate to provide relief for the millions and millions of Americans.
SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: All around this was a bad idea, but the reason that it was presented was not because it was a good idea. It was because politically it looked like it might be a winner.
(END VIDEO CLIP)
PHILLIPS: The gas tax holiday idea was first proposed by Republican John McCain.
Hillary Clinton has pulled even with Barack Obama at this point. That's according to the newest CNN Opinion Research Corporation poll. 46 percent of Democrats nationwide are for Obama. 45 percent for Clinton. Polls for mid-March had Obama up by seven points.
