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Guantanamo Interrogation: 1st Video of Inmate Being Questioned; What's Next for U.S. Auto Industry?; Marines in War: Speaking Out in Afghanistan

Aired July 15, 2008 - 14:00   ET

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


KYRA PHILLIPS, CNN ANCHOR: The suspect is 16, but this isn't juvie. It's Guantanamo Bay, and you're about to see a side of the war on terror you've never seen before.
DON LEMON, CNN ANCHOR: Drill now save later, or is it pay later? President Bush turns up the heat on critics of offshore drilling.

We'll dig deep for answers to sky-high energy costs.

Hello, everyone. I'm Don Lemon, live here at the CNN world headquarters in Atlanta.

PHILLIPS: And I'm Kyra Phillips, live in New York.

You're in the CNN NEWSROOM.

LEMON: And right off the top, video of the U.S. government marked secret. A 16-year-old Canadian being interrogated at the U.S. prison in Guantanamo Bay, Cuba, back in 2003. It is the first taped release to the public revealing the murky world of Gitmo interrogations. Omar Khadr was 15 when he was captured in Afghanistan in 2002, accused of killing an American soldier.

Joining us from Washington with more on this is our justice correspondent, Kelli Arena.

Why is this significant today, Kelli?

KELLI ARENA, CNN JUSTICE CORRESPONDENT: Well, you know, Don, it's interesting. This tape does not show any interaction with U.S. officials. It doesn't show Omar Khadr being tortured or mistreated, but he was very young and clearly very distraught. He seemed uncontrollably crying on the tape, showing his interrogator his battle wounds, and insisting that no one cares about him.

Let's listen to a little bit of it.

(BEGIN VIDEO CLIP)

OMAR KHADR, DETAINEE: You don't care about me. That's what.

UNIDENTIFIED MALE: Well, I do care about you, but I want to talk to the honest Omar that I was talking to yesterday. I don't want to talk to this Omar.

KHADR: It wasn't lying.

UNIDENTIFIED MALE: Yes, it was.

KHADR: You see, you're not going to believe me.

UNIDENTIFIED MALE: Well, look me straight in the eyes and tell me that you were being honest.

KHADR: I am being honest.

(END VIDEO CLIP)

ARENA: Khadr's lawyers released those tapes hoping to influence Canada to put pressure on the United States to release him.

(BEGIN VIDEO CLIP)

NATHAN WHITLING, OMAR KHADR'S ATTORNEY: I think we said it time and again. It's time for Canada to stand up to the United States government.

Canada's not a puppet of the United States or the Bush administration. And it's time for Canada to act like every other Western nation in the world and demand the repatriation of its citizen. We think the argument is even stronger in Omar Khadr's case given his age.

(END VIDEO CLIP)

ARENA: But Khadr is charged with the murder of a U.S. soldier in Afghanistan back in 2002. The Pentagon says that he's been treated humanely and his trial is expected to go ahead in October. The Canadian Foreign Affairs Office says discussions regarding his repatriation are premature and speculative -- Don.

LEMON: Kelli Arena.

Thank you, Kelli.

ARENA: You're welcome.

PHILLIPS: Live pictures now from a Fayetteville courtroom as two Marines charged in the death of an Army nurse are due in a North Carolina -- actually, OK, we just told the cameras -- are we going to go to the live picture or no?

OK. We've got tape. Let's go ahead.

This was happening in the courtroom just a little while ago. These are the two Marines that are charged in the death of that Army nurse.

They have been in the courtroom this hour. Corporal John Patrick Wimunc, he's accused of killing his wife Holley. We told you about her charred remains that were discovered a couple of weeks ago. Also, Lance Corporal Kyle Alden is charged with being an accessory after the fact. That is Kyle Alden. You saw Corporal John Patrick Wimunc just prior to that.

Live pictures now. This is the second man that's being charged in this case. And like I said, the charred remains, believed to be those of Holley Wimunc, were found Sunday in a shallow pit near Camp Lejeune.

The discovery came three days after authorities began investigating a suspicious fire at her apartment in Fayetteville. This is the man right now that's being charged with that fire. The man you saw just previous, Holley Wimunc's husband, is the one accused of killing her.

We're going to follow what happens in that courtroom and bring you the update as we find out how those charges are -- well, actually the husband is being charged with murder. And then Kyle Alden is being charged with arson and accessory to murder.

So we'll let you know what happens as we follow the court proceedings.

LEMON: Absolutely, Kyra. We have producers watching that to see what makes news from that.

But also, we want to talk about Washington. From Washington to Wall Street to your wallet, the economy brings us a new headline, a new forecast, a new struggle just about every single day. Well, today, the head of the Federal Reserve looks into his crystal ball and he doesn't like what he sees. Plus, General Motors scaling back on the assembly line to boost its bottom line.

Two more reasons the economy is issue #1 here.

PHILLIPS: Well, let's get right to it. America's biggest automaker cutting costs, trying to survive.

General Motors plans to lay off thousands of salaried workers. It's selling up to $7 billion in assets and suspending dividends to shareholders. GM is also scaling back truck production again. And as demand drops and gas prices rise, the automaker says it has to cut deep to stay afloat.

(BEGIN VIDEO CLIP)

RICK WAGONER, CEO, GENERAL MOTORS: While we face some difficult condition in the U.S. right now, we have a solid and well thought out plan that aggressively addresses the challenges we face. We recognize we can't sit back and wait for U.S. conditions to improve. We need to continue to be proactive and even take some very tough actions to ensure our survival and our success.

(END VIDEO CLIP)

PHILLIPS: GM and other U.S. automakers driving themselves to ruin, or can they get back into the fast lane?

Joining me now is Neal Boudette, Detroit bureau chief for "The Wall Street Journal."

Neal, great to see you again.

NEAL BOUDETTE, DETROIT BUREAU CHIEF, "THE WALL STREET JOURNAL": A pleasure to be back.

PHILLIPS: I know the last time I asked you what kind of car you were driving, if you were saving gas. I guess -- are you still saving gas?

BOUDETTE: I'm trying as hard as I can. Believe me.

PHILLIPS: All right. On a serious note, GM going through a tough time now. What do you make of this? Is it possible that it could go bankrupt? Or do you think they'll survive?

BOUDETTE: Well, the measures they announced today are to cut costs by about $10 billion and then raise additional money. And that buys them time before the question of bankruptcy would ever come up.

So it pushes the question of bankruptcy out into the future. But it doesn't really change the fundamental nature of GM. And so for that reason, I'm a little bit skeptical whether this will work for them long term.

PHILLIPS: So how does General Motors increase its cash base in order to go forward?

BOUDETTE: Well, one problem they have right now is they have eight different brands of automobiles -- Pontiac, Buick, Saturn, in addition to Cadillac and Chevy. And it costs money to support all of those brands, it costs billions of dollars to develop new products. And it's very difficult to sell Pontiacs and Buicks in large quantities to make money on them. So they have a structural problem that they're not attacking with this news today.

PHILLIPS: Now, last time we talked about job layoffs and companies -- big companies like GM taking hits, and I asked you the question of, you know, we saw the -- all the executives saw that gas prices were rising and we had issue with barrels of oil and the cost of that on the rise. Why didn't these companies think ahead?

BOUDETTE: Well, you know, in the '90s and the early 2000s, GM, as well as Ford and Chrysler, made billions of dollars on selling pickup trucks and SUVs. And you know, that's where they made their money.

They don't make much money, and they actually lose money on a lot of cars they sell. So they thought the way forward was to put your -- most of their chips on trucks. And, well, with gas at $4 a gallon, they guessed wrong.

PHILLIPS: Who is out in front right now? Is it still Toyota or Honda doing more eco-friendly type projects to make sure that those companies don't go under?

BOUDETTE: Well, I think Honda is a really interesting company, because they have not tried to get into the truck market in a big way, and are really prospering now. They're gaining market share even though the market is down because their product lineup is full of small, fuel-efficient cars.

Toyota was different. They did try to get into pickup trucks and they're having trouble by it. But their trouble is not on the same scale as GM's. Toyota is still making money here in North America, less than they expected, but they're still profitable.

PHILLIPS: And just a quick note. My producers sent me a little blip from the wires saying that Volkswagen is actually going to build a new auto plant in Chattanooga, Tennessee. So I guess there's some good news here. I mean, there's companies building plants.

BOUDETTE: That's actually very good news. Volkswagen plans to export a lot of the cars they make there, which means the United States is a very competitive place to make cars and sell around the world. That's good news for American workers.

PHILLIPS: Thanks, Neal. Appreciate it.

Neal Boudette.

BOUDETTE: A pleasure to be here.

PHILLIPS: All right.

LEMON: So what is ahead for the rest of the economy? For the rest of the year, as a matter of fact?

Fed chief Ben Bernanke predicts our gas and grocery bills will stay high. He tells a Senate panel the economy will continue to struggle because of inflation and new strains on the financial housing and job markets.

(BEGIN VIDEO CLIP)

BEN BERNANKE, FEDERAL RESERVE CHAIRMAN: Inflation has remained high, running at nearly a 3.5 percent annual rate over the first five months of this year, as measured by the price index for Personal Consumption Expenditures. And with gasoline and other consumer energy prices rising in recent weeks, inflation seems likely to move temporarily higher in the near term.

(END VIDEO CLIP)

LEMON: Well, Bernanke's gloomy forecast might have had one benefit. Oil prices plunged today after the Fed chief warned that rising fuel prices are eating into Americans' purchasing power.

PHILLIPS: Straight ahead, if you have a small child in your home while you're watching TV, well, you'll be interested in a fascinating new study on the effects of television's background noise on kids. And we'll look at the effects of war on American troops in Afghanistan. CNN's Nic Robertson asks them about life in the battle zone. Some of their answers might surprise you.

(COMMERCIAL BREAK)

LEMON: So barring any last-minute snags, a long-awaited prisoner swap between Israel and Hezbollah is just hours away. Israel will hand over five prisoners, including a Lebanese militant convicted of killing three people. Hezbollah will hand over two Israeli soldiers who were presumed dead after being captured by Hezbollah guerrillas two years ago. Hezbollah has given no indication the soldiers are still alive, and that transfer is expected to take place tomorrow at a crossing in Western Galilee.

PHILLIPS: In Afghanistan, a resurgent Taliban is taking fight to U.S. Marines. The result could be an all-out battle or sporadic firefight and/or ambushes, in between days of sitting around with nothing to do but battle the extremes of nature.

CNN's Nic Robertson reports.

(BEGIN VIDEOTAPE)

CPL. DANIEL RIVIERA, U.S. MARINE CORPS: So it's calmed down a lot since we first got here.

NIC ROBERTSON, CNN SR. INTERNATIONAL CORRESPONDENT: How does that feel?

RIVIERA: A lot better. It's my last deployment, I'm trying to go home.

Now we've got a lot of time, but just play cards, listen to music. Just talk. A lot of stupid, stupid stuff. Girls back home, what we're going to do when we get home, what we did before we came here.

ROBERTSON: So what is the sort of average routine for you?

CPL. EVAN CROWELL, U.S. MARINE CORPS: Wake up, drive around a little while, come back here, wait to drive around again.

ROBERTSON: How's that?

CROWELL: Hot. Feels like 150 degrees, sand blowing in your face. You get tired a lot quicker. Just kind of rough through that.

LANCE CPL. JOSIAH SCHOEMAKER, U.S. MARINE CORPS: Last deployment, it was during the winter, so this is new for me, this kind of heat. Where I'm from, it's not anywhere hot like this. So it's just something.

I'm a church man, so a lot of the things I see kind of remind of, like, reading something in the bible. Like seeing these farmers separating their wheat from the shaft, you know. LANCE CPL. JORDAN DUVALL, U.S. MARINE CORPS: They said we were only going to be out here for seven to 10 days, and now everybody's been out here for -- going on three months.

LANCE CPL. RONNIE CURTIS, U.S. MARINE CORPS: You know, you've just got to pound water and try to ration your food. It doesn't matter how much water you drink here, you're still dehydrated and everything.

ROBERTSON: Have any guys go down with (INAUDIBLE), problems?

UNIDENTIFIED MALE: I almost did the other day. I got really dizzy, started throwing up. But other than that, not too many.

ROBERTSON: What did you do when that happened?

UNIDENTIFIED MALE: I drank a lot of water and I got an IV.

ROBERTSON: If you had to give advice to another Marine coming out here, what would you tell them?

UNIDENTIFIED MALE: Bring plenty of socks, expect to be hot.

ROBERTSON: Bring plenty of socks?

UNIDENTIFIED MALE: Yes.

UNIDENTIFIED MALE: Keep your feet...

UNIDENTIFIED MALE: Yes, you've got to keep your feet clean over here.

Can't wait to come home. I'm ready to get on with my life. You know?

UNIDENTIFIED MALE: I've got big plans. I'm going to be a sheriff probably and have children. I'm ready to start a family with my wife and get things going on there. You know?

ROBERTSON: When you leave here, what's going to be your lasting memory?

CURTIS: A lasting memory?

ROBERTSON: Of Afghanistan, yes.

CURTIS: Losing my best friend Cooper. He got shot, he got killed. He was doing what a Marine does.

Really can't, you know, let it get to you. You know? I mean, you've just got to keep your mind clear, you know, and focus on the job ahead. Realize, you know, he did his job, did what he had to do.

ROBERTSON: What would you say to your folks back home right now?

UNIDENTIFIED MALE: Just tell them I'm doing good. Not living too bad out here. I'll be home in a couple months.

(END VIDEOTAPE)

PHILLIPS: Well, that report from our Senior International Correspondent Nic Robertson. He's actually with the U.S. Marines in Afghanistan right now.

LEMON: Foreign policy is the issue today in the race for the White House. In a speech in Washington, Democratic candidate Barack Obama again vowed to end the war in Iraq in what he calls a responsible way. He pledged to shift resources to Afghanistan.

(BEGIN VIDEO CLIP)

SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: Now is the time for a responsible redeployment of our combat troops that pushes Iraq's leaders towards a political solution, rebuilds our military and refocuses on Afghanistan and our broader security threats. George Bush and John McCain don't have a strategy for success in Iraq, they have a strategy for staying in Iraq.

(END VIDEO CLIP)

LEMON: At a town hall in New Mexico, Republican candidate John McCain touted the recent successes of the U.S. mission in Iraq, and he said his Democratic opponent has it wrong.

(BEGIN VIDEO CLIP)

SEN. JOHN MCCAIN (R-AZ), PRESIDENTIAL CANDIDATE: Senator Obama will tell you we can't win in Afghanistan without losing in Iraq. In fact, he has it exactly backwards. It is precisely the success of the surge in Iraq that shows us the way to succeed in Afghanistan.

(APPLAUSE)

It's by applying the tried and true principles of counterinsurgency used in the surge, which Senator Obama opposed, that we will win in Afghanistan.

(END VIDEO CLIP)

LEMON: McCain calls Obama's plan for Iraq and Afghanistan naive and premature.

PHILLIPS: Offshore oil drilling, President Bush says it will translate to savings at the pump. Democrats aren't so sure.

We're going to talk to the experts.

Plus, is it a case of diet discrimination? We're going to tell you why the L.A. City Council is mulling a ban on fast food joints.

(COMMERCIAL BREAK)

LEMON: All right. Is just having the TV on an environmental hazard for your kids? It could be, according to a new study.

Now, we all know playtime helps a child's brain develop. That's why pediatricians say children under 2 shouldn't watch any TV. But this new study says just having the TV on in the background can shorten playtime.

Researchers observed 50 toddlers play while "Jeopardy!" was on in the background. The children didn't really watch the show, but researchers say the children lost focus on their toy more often and played for shorter periods than when the TV was off. Now, the study was -- is published in the journal "Child Development."

(BUSINESS REPORT)

(COMMERCIAL BREAK)

PHILLIPS: Hello, everyone. I'm Kyra Phillips, live in New York.

LEMON: And I'm Don Lemon, live here at the CNN World Headquarters in Atlanta.

You are in the CNN NEWSROOM.

PHILLIPS: It's 2:28 Eastern Time. Here's some of the stories that we're working on in the CNN NEWSROOM.

It's a rare glimpse into a secretive world. A video released today shows a teenage prisoner at Guantanamo Bay crying and burying his face in his hands during questioning. Omar Khadr's lawyers released the video which was shot five years ago.

And a court hearing in North Carolina this hour for the estranged husband of slain soldier Holley Wimunc. John Wimunc, a Marine, is accused of killing his wife, whose charred body was apparently found near Camp Lejeune.

And here's something you haven't heard recently. Oil prices dropped sharply in trading today. After the Fed chief, Ben Bernanke, warned high fuel costs are eating into the purchasing power of American families, we saw the numbers drop.

LEMON: All right. This has been some debate here, where drilling for oil offshore translates to savings on your gas bill.

President Bush certainly thinks so, and today he made a fresh push for Congress to lift a longstanding ban. At a White House news conference, the President said offshore drilling "... won't produce a barrel of oil tomorrow." But he said it would soothe fears over soaring fuel costs.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I think it was in the Rose Garden where I issued this brilliant statement: "If I had magic wand..." But the president doesn't have a magic wand. You just can't say low gas. It took us a while to get here. And we need to have a good strategy to get out of it.

(END VIDEO CLIP)

LEMON: All right. Let's get straight now to this debate.

Robert Bryce is the managing editor of "Energy Tribune," and he is for offshore drilling.

Karen Wayland is legislative director for the Natural Resources Defense Council. She's against lifting the moratorium, not necessarily though, against drilling.

Thank you both for joining us here today in the CNN NEWSROOM.

I've got to get right to it. You heard the president saying, you know what, this isn't going to change anybody's bill today or tomorrow. But, it's going to ease fears. Do you agree with that, Karen?

KAREN WAYLAND, NRDC LEGISLATIVE DIRECTOR: Well, even he said that this is really about psychology, not necessarily about price. So, we all know and experts are saying, that this is not going to change the price we pay at the pump today. And his own energy information agency says, that it won't change the price, even ten years from now when the oil starts coming online.

LEMON: So then why are you for this then, Robert Bryce? If you hear what the president is saying. You're hearing what Karen is saying. Then, why do it?

ROBERT BRYCE, MANAGING EDITOR, "ENERGY TRIBUNE": Well, the fact is that the world runs -- the world transportation system runs on oil. It runs on oil today. It's going to run on oil a decade from now, and two and three decades out. There are 800 million motor vehicles in the world today. 250 million of them here in the United States. Look, we can hate the oil companies all we want. We can try and restrict drilling. But the fact is, we can't run all those millions of motor vehicles on sun, juice, and sails. We need oil.

LEMON: All right. Well, here's what I'm not understanding. Everyone is saying, if you listen to all of the experts here, we don't really have an energy shortage here. So, drilling here in America is not going to be a bit of good to anyone, any time soon. So, why mess with the earth, the environment, to do something that is not really an energy crunch? It's on speculation -- Karen.

WAYLAND: Well, I'm not going to get into speculation because I think what we really are talking about here is a constantly increasing demand. And what Congress has been doing over the last 30 years is working on the supply side of the equation, trying to increase supply. They have barely scratched the surface on dealing with the supply side issues.

We had for the first time last year, Congress increased the fuel efficiency for vehicles. That was the first time in over three decades. And even just two years ago, Congress again, dealing with supply instead of trying to reduce demand, opened new areas of the offshore areas off the coast of Florida. We're still at $4 and above per gallon of gasoline. Dealing with supply is not going to affect our long-term demand issues. And that's where Congress really should be spending its time.

LEMON: All right. I've got to ask you this, Robert. Your new book is called what, "Gusher of Lies," right?

BRYCE: That's right.

LEMON: OK. What you talk about, many of these issues. But I've got to ask you about the environment. Because back in 1969, we know what happened at Santa Barbara. That created Earth Day because there was so much damage to the environment.

What about the people who are saying, you know what, you are asking for it by going in Anwar and other preserved land and disturbing the environment. It could be a catastrophe.

BRYCE: Well, sure. Look, there's no free lunch when it comes to energy business or anything else. But the fact is, that many countries around the world, including Brazil, including all over west Africa, are drilling offshore and having tremendous success.

This is where the oil is being found. I was in Madrid earlier this month, at the World Petroleum Congress. This issue of offshore drilling in the United States isn't just an issue in the United States. It's of interest to the international oil companies. Let me just read you Ali al-Nuaimi, the oil minister in Saudi Arabia, said.

LEMON: If it's quick. If it's quick. It's got to be quick.

BRYCE: It's quick. He said, the limits to future supplies have more to do with politics than anything else. For example, the most promising acreage remaining in the U.S. is located offshore. Most of which is off limits to the industry. This is a Saudi saying you're being hypocritical. Don't tell us to drill more when you're not drilling.

LEMON: All right guys, we have to go. And really, this has to be quick.

So, you say, do it, Robert?

BRYCE: I do, absolutely.

LEMON: Karen, what do you say?

WAYLAND: I say do it in areas that are already open for leasing and protect the areas that are currently off limits.

LEMON: Robert Bryce and Karen Wayland, we appreciate it. Thank you.

BRYCE: Thank you.

LEMON: Kyra.

PHILLIPS: President Bush is standing firm on pay cuts for doctors who treat Medicare patients. But the doctors may yet prevail. Mr. Bush vetoed a bill that would have reserved -- or reversed rather, a cut of 10.6 percent in Medicare physician payments, offset by a cut in payments to the Medicare advantage program. At the privately run system that's popular with Republicans less so with Democrats. The measure passed Congress by a so-called veto-proof majority, which means we could see an override vote in the Senate as early as today.

Well, the biggest series of wildfires on record. That's the take on the current fire situation in California. The governor's office now saying it's worse than the fires of 2003. About 1,300 square miles have burned. That's compared to more than 1,100 in 2003. But in those 2003 fires, more than 3,600 homes were destroyed. 100 homes have been burned in this year's fires. At least 40 of those were in Concow, California. But now, all evacuation orders have been lifted there and next door in Paradise.

(WEATHER REPORT)

LEMON: Oil prices down. Something you haven't heard lately. But it's happening today and we will tell you why.

(COMMERCIAL BREAK)h

PHILLIPS: Today's Planet in Peril. An appetite for a certain kind of soup is decimating the shark population.

CNN's Anderson Cooper recently talked about it with CNN's special correspondent Lisa Ling.

(BEGIN VIDEO CLIP)

ANDERSON COOPER, CNN HOST: Describe finning, the process. What exactly is it?

LISA LING, CNN SPECIAL CORRESPONDENT: Well, out in the oceans, fishermen will actually slice the fins off of sharks. And, as you just said, very often when they're out in the ocean, they will just dump the bodies back into the ocean because the bodies take up so much room on board and so that is the process.

COOPER: And what are they used for?

LING: Well, shark fins are used for shark fin soup primarily. And as an Asian-American, I used to consume shark fin soup on very, very special occasions. Weddings and so on. And it was primarily consumed in countries like Taiwan and Singapore and Hong Kong. But now with the rise of China and its enormous middle class, it's become very common place and it's just decimating the population.

COOPER: And you were in Taiwan, recently. And you actually went to a port where the boats carrying these fins, came in. What was the scene like?

LING: Well, it's interesting because these boats were coming in from Indonesia. And what was happening at the port, was not illegal. What they were doing was perfectly legal. But there's such sensitivity right now because of all of the international scrutiny on shark finning. So, it became very sensitive. We told the people at the port that we were going to be coming, they expected us. But the day we arrived, it became incredibly tense. And our camera man got shoved around a bit because it just gives you a sense of the sensitivity involved.

COOPER: I know the camera man. He doesn't like being shoved around.

LING: No, he doesn't.

COOPER: It is incredible to think -- there's one expert who says that worldwide shark populations have declined by 90 percent.

Why should that be a concern to people?

LING: Well, the sharks are the top predator in the oceans. And they are really -- they've been dealt a tremendous blow as a result of the demand for shark fins. And let's face it, fish is a huge protein source for so many people in the world. And sharks being the top predator, once you hurt the shark population, it just has a tremendous affect on the entire ocean's ecosystem.

COOPER: It's amazing. I look forward to it for Planet on Peril, for a report coming up this fall.

Lisa Ling. Thanks very much, Lisa.

LING: Thanks, Anderson.

(COMMERCIAL BREAK)

PHILLIPS: Live pictures now from the Senate floor. Will the Senate actually override the president? We're talking about Medicare, right now. The president is pretty much standing firm on pay cuts for doctors who treat Medicare patients. But the doctors may yet prevail depending on what happens here on the Senate floor.

The president had vetoed a bill that would have reversed a cut of 10.6 percent in Medicare physician payments. It would be paid for by a cut in payments to the Medicare advantage program. Now, that's a privately run system that's popular with Republicans, less so with Democrats. So, the measure passed Congress by a so-called veto-proof majority, which means we could see an override vote right here in the Senate, any moment. We're following it, we'll tell you what happens.

LEMON: All right. Need an energy fix? Of course, we all do. And at least for one day, we're kind of getting it. Oil prices are plunging.

CNNmoney.com's Poppy Harlow has our energy fix from New York. Hey, Poppy. So, we're getting an actual fix today.

POPPY HARLOW, CNNMONEY.COM: Yes. A little bit of a fix, but it's not that welcome.

Oil prices are off about $6.50 right now. We are just around $139 a barrel. It's good news for everyone who has been hit by rising gas and diesel prices, but the question on everyone's mind, will it hold? That's anyone's guess. But recent history says no, it will not. We've seen a number of rapid declines that have not held for anymore than a few hours or a day.

But worse is the reason that oil prices are falling today. A lot of economic news. It's a concern that the slowing U.S. economy will pinch demand. We've already seen gas consumption drop in the country. But a more dramatic economic downturn could further weaken demand for all sorts of product, from consumers and from companies, Don.

LEMON: So, that doesn't sound like the kind of long lasting uplifting energy fix that we've been hoping for, Poppy.

HARLOW: It's not uplifting at all. And if it is long lasting, it could be pretty detrimental overall, to our economy.

Economic weakness could lead to more job losses in this country. Losing one's job, of course, as you know, far worse than feeling the pain at the pump. The new fears of an economic slowdown follow testimony from fed chairman Ben Bernanke, that he gave today to the Senate Banking Committee. Bernanke citing oil prices as one of the contributing factors to what he says are quote, "numerous economic difficulties in our country right now."

Still though, the short-term impact on oil prices is definitely a silver lining after the run-up we've seen, Don. A welcome break, but the question, of course, will it fix? We've got some other energy fixes on our site. And Don, guess what's coming up tomorrow?

LEMON: What?

HARLOW: We're going to tell you about a vehicle that gets 140 miles to the gallon. No joke.

LEMON: Is it like one of those Fred Flintstone vehicles.

HARLOW: Do you think I'm going to tell you? We want people to tune in.

LEMON: OK, we'll see. Thank you, Poppy.

HARLOW: Sure.

PHILLIPS: Well, the outrage over this week's "New Yorker" magazine cover illustrates an unhappy truth for the Obama camp. Myths about the candidate are still around despite all of the facts to the contrary.

CNN's Joe Johns looks at where things stand.

(BEGIN VIDEOTAPE)

JOE JOHNS, CNN CORRESPONDENT (voice-over): It's the big lie that simply won't die. How many times does this guy have to say I'm not a Muslim, for people to just let it go?

SEN. BARACK OBAMA (D), PRESIDENTIAL CANDIDATE: I'm a Christian. And I pray -- I pray to Jesus Christ, our savior. Now, I don't -- and I've been doing it for many, many years.

JOHNS: And yet pollsters say there's a small but stubborn percentage of Americans who either haven't gotten the message, or just won't accept it.

MICHAEL DIMOCK, PEW CENTER POLLSTER: When ask them, well, do you know what his religion is? Christian, Muslim, Jewish, Buddhist, whatever? About 12 percent tell us they believe he's Muslim.

JOHNS: And if you think it's just Republicans, that Pew poll shows half of those who Obama's a Muslim, are from his own party.

DIMOCK: It's interesting because the same number of Democrats think that he's Muslim, as Republicans. So this crosses party lines.

JOHNS: We're talking about folks like Janice Wolff, who told CNN she's a lifelong Democrat, but won't vote for Obama.

JANICE WOLFF, NASHVILLE VOTER: Well, I don't like the candidate. I think he's a Muslim.

JOHNS: A new "NEWSWEEK" poll shows 12 percent think Obama was sworn into the Senate with his hand on an Koran. Not true, he used the family Bible. 26 percent think he was raised as a Muslim. Not true. He says his family was not religious. 39 percent think he attended an Islamic school in Indonesia. Not true. CNN tracked down the school, the headmaster said it's not religious.

Fuelling all of this is the dark side of the internet. Often untraceable e-mails that perpetuate all of the myths about the senator.

(on camera): And perhaps the most perverse thing of all is that it's threatening to drive a wedge between the Muslim community and America and a campaign that claims to be inclusive.

AMINA RUBIN, COUNCIL ON AMERICAN-ISLAMIC RELATIONS: And it's sad in our society that we're in an environment where politically it could be harmful to reach out to Muslims or where being labeled a Muslim is a smear.

JOHNS (voice-over): So, is there a way out? Or should Obama just forget about it? A long time expert on American politics and author of a book on political cartoons, says the outrage over the "New Yorker" magazine cover might give this issue the kind of sunlight it needs. STEPHEN HESS, AUTHOR, "DRAWN AND QUARTERED": Well, a jolt like this may be what is necessary. Because anyone who thinks he's a Muslim is talking out of ignorance and so they need truth. Or, deprejudice, in which it's useful to point that out.

JOHNS: But some other political observers are not so optimistic. After all, beliefs like these don't necessarily die in the face of the facts.

Joe Johns, CNN, Washington.

(END VIDEOTAPE)

LEMON: Star sluggers step up to the plate for baseball's Home run Derby. But the guy people will remember isn't the guy who won this. We'll explain.

(COMMERCIAL BREAK)

PHILLIPS: All stars take Manhattan. Right now, a convoy of baseball greats is rolling down the red carpet through midtown. The parade is part of an All-Star week, the run-up to tonight's big game between the National League and American League all stars.

LEMON: Well, you know the Texas outfielder -- his name is Josh Hamilton? He was the man at last night's home run derby. Even though he wasn't the winner, his performance, though, almost as memorable as his personal story.

CNN's Ray D'Alessio joins us now from New York.

This is unbelievable. Talk to us about the story.

RAY D'ALESSIO, CNN CORRESPONDENT: Yes absolutely --

LEMON: I'm sure a lot of people don't know about it, Ray. But go for it.

D'ALESSIO: Absolutely, Don.

I'll tell you what, Josh Hamilton probably the best story to come out of Major League Baseball in quite some time. In high school he was considered the next best thing. So much so, that in 1999 the Tampa Bay Devil Rays made him the top overall pick in that year's draft. They even gave him a $4 million signing bonus. But in no time that money was gone.

Hamilton says once he got to the minor league, he began hanging around with the wrong crowd, that led to his addiction to cocaine, alcohol abuse. In turn, he was banned from baseball for three-and-a- half years. And when asked, who was to blame for it all? Hamilton says simply, himself.

(BEGIN VIDEO CLIP)

JOSH HAMILTON, TEXAS RANGERS OUTFIELDER: Bad decisions. I could say being young, having money. But, when it comes down to it, I had good values, good decision-making skills but just didn't use them properly.

(END VIDEO CLIP)

D'ALESSIO: So after eight stints in rehab and three suicide attempts, Hamilton finally turned his life around; he finally got clean in October of 2005. Eventually, he was reinstated by Major League Baseball and here he is fulfilling a dream of playing in Yankee Stadium in the MLB All-Star Game.

(BEGIN VIDEO CLIP)

HAMILTON: I was at the point where -- really thought about giving up a few times, just thought about forgetting the baseball thing altogether. I had a job working construction and -- baseball's the farthest I think thing from my mind.

UNIDENTIFIED MALE: When you first find out and you realize the stuff that he's had to come back from, obviously it makes you pretty aware that he's a special guy. And -- he's a very self-aware person, he's very aware that the stuff he did was wrong. And he hasn't been shy about coming out and saying it.

(END VIDEO CLIP)

D'ALESSIO: And when I say Hamilton is fulfilling a dream, that is not a play on words. Soon after he got clean, Hamilton says he had a dream; that dream included Hamilton competing in the home run derby here at Yankee Stadium prior to the All-Star Game. He doesn't actually remember taking at-bats in this dream, but he remembers that he was part of the home run festivities, he was being interviewed by members of the media. And there he was last night, setting records, 28 home runs in the first round.

Again, it was a dream come true -- Don.

LEMON: Yes, unbelievable.

And you talk about personal responsibility, this is certainly someone who understands it -- contrition -- he apologized and then he took full responsibility for it. But how is he monitoring, Ray, his drug addiction?

D'ALESSIO: Well, he was asked that and obviously he says, sure, he does get those cravings, but he puts his faith in God to get him through it, he has support in family. And he's also tested three times a week. And of course, he knows the consequences if he fails those tests.

I mentioned the fact about that dream, Don -- keep in mind that was well before it was even announced that Yankee Stadium was going to host the All-Star Game.

LEMON: Goodness.

Ray, we appreciate it. Hope you're having a good time there.

D'ALESSIO: OK.

LEMON: Thank you.

PHILLIPS: The prospect of being robbed is frightening enough, but we'll tell you why for one pizza worker the identity of the bad guy was an even bigger shock.

LEMON: All men are created equal, but all foods are not. But does that mean Big Macs should be banned? We'll look at L.A., where it's an issue with racial overtones.

(COMMERCIAL BREAK)

LEMON: All right, a crime story in Denton, Texas, to tell you about. Police say a pizza worker overpowered a would-be robber, as you can see in the surveillance video. The employee also knocks the man's wig and sunglasses off. That proved quite a shock for another pizza worker. The alleged bad guy turned out to be her dad. The family affair doesn't end there. Police arrested the suspect and two more people who fled the scene. One of them was a pizza worker's mom.

PHILLIPS: Well, some Los Angeles officials say that there's fresh healthy food for people on one side of town, and greasy fried fast food for people on the other. Now they're tackling what some call nutritional segregation by threatening to ban any new fast food restaurants.

CNN's Chris Lawrence has more.

(BEGIN VIDEOTAPE)

CHRIS LAWRENCE, CNN CORRESPONDENT (voice-over): In South Central L.A., teenagers scarf down fast food on their way to school.

MAYNOR DIAZ, HIGH SCHOOL STUDENT: For me, it's good. I know it's bad, but I still eat it.

LAWRENCE: And a mother who is running late drives through McDonald's to save time.

MAXINE PARKER, WANTS MORE GROCERY STORES: There's never any place you can go over here to buy like -- organic food. OK, there's no Trader Joe's over here. I go all the way to Torrance to a Trader Joe's.

LAWRENCE: That's 15 miles away in L.A. traffic. Critics call it food apartheid.

JAN PERRY, L.A. CITY COUNCILWOMAN: Forty-five percent of the restaurants in South L.A. are fast food restaurants. That's a pretty shocking statistic.

LAWRENCE: Especially compared to the city's West side, where only 16 percent of restaurants serve fast food. City Councilwoman Jan Perry is pushing for a moratorium that would stop any new fast food places from opening in South Central. She hopes to see more restaurants and grocery stores, like the one about to break ground.

If approved by city council, the ban would cover 32 square miles, and some say that hurts small businesses.

JOE HICKS, COMMUNITY ADVOCATE: We think of the big fast food chains -- what happens if I decide I want to open a hamburger joint in that area?

LAWRENCE: Joe Hicks runs an economic empowerment group. He says fast food places provide jobs and people choose to eat there because the food tastes good and doesn't cost much.

HICKS: So, it's insulting to insist that the government has to tell people what's good for them or not.

LAWRENCE: The health department says more South Central children are obese, compared to other kids in L.A. County. Even though the chains have added healthier options to their menus, supporters of the ban are demanding more grocery stores and casual restaurants that serve fresh vegetables and food that's not fried.

PARKER: With gas prices, it would be a lot more convenient if it was in our neighborhood.

LAWRENCE (on camera): They're probably going to vote on the moratorium in the fall. And again, if it passes, it doesn't mean these go away. It just means no new ones would be allowed to be built.

Chris Lawrence, CNN, Los Angeles.

(END VIDEOTAPE)