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Obama Lays Out Foreign Policy; General Motors Announces Job Cuts; Inside First Released Video of Gitmo Interrogation; GM Downsizes
Aired July 15, 2008 - 15:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DON LEMON, CNN ANCHOR: Enemy combatant or terrified teenager, or both? We have got the first video ever made public of a real interrogation at Guantanamo Bay. And, this hour, we hear from the inmate's lawyer.
KYRA PHILLIPS, CNN ANCHOR: Thinking small, General Motors says it plans to win, not just survive. But, first, it will have to downsize again. We will see what and who are being cut this time.
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.
Well, the economy, of course, issue No. 1. Why do we call it that? Because every day brings something new, something startling. And today -- today, the biggest carmaker in the U.S. is scaling back on the assembly line and desperately trying to boost its bottom line.
President Bush and his financial big guns are responding to reporters, but talking to you. And a possible bright side to a gloomy economy: Oil prices -- oil prices are actually down.
Well, the state of the economy has the head of state front and center today. President Bush is pushing Congress to pass legislation aimed at propping up Fannie Mae and Freddie Mac, as shares of the mortgage giants keep plunging.
And in the wake of the IndyMac bust, the president is trying to assure Americans their bank deposits are safe.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I think the system basically is sound. I truly do. And I understand there's a lot of nervousness. And the economy's growing. Productivity's high. Trade's up. People are working. It's not as good as we would like, but -- and to the extent that we find weakness, we will move. That's one thing about this administration. We're not afraid of making tough decisions.
(END VIDEO CLIP)
LEMON: Well, President Bush also pushed Congress to lift a ban on offshore oil drilling. But oil prices actually slid today after Fed Chief Ben Bernanke warned that energy costs are eating into Americans' purchasing power.
Fuel costs aren't just hurting drivers. They're ravaging U.S. automakers, especially the biggest ones. GM is slashing jobs, selling assets, and trying just to survive.
Let's go straight to CNN business correspondent, Stephanie Elam.
Stephanie, a whole lot of bad news, slashing here, today.
STEPHANIE ELAM, CNN BUSINESS CORRESPONDENT: Oh, that's so true, Don.
And when you look at what GM is saying here, they're saying they're going to do more than just survive. They want to win as well, just as you said. And the world's largest automaker announcing today another big cost-cutting effort. It plans to cut back on truck reduction, as we have seen the tastes change here in the United States for that.
They're going to suspend their dividend, and sell up to $7 billion in assets and cut 20 percent of salary costs. Now, a large chunk of those white-collar reductions will be made by cutting health care benefits and jobs as well.
GM chief executive Rick Wagoner, he is confident the measures will help the company overcome its biggest concern, which is a weak economy.
(BEGIN VIDEO CLIP)
RICK WAGONER, CHAIRMAN & CEO, GENERAL MOTORS: While we face some difficult conditions 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)
ELAM: All right. All told, the cost-cutting measures here are expected to help GM generate $10 billion in cash by the end of next year. And that's something they desperately need -- Don.
LEMON: I have got to ask you this before you go. Will that be tough enough, do you think? And is Wall Street buying any of this?
ELAM: Well, obviously, it's going to take more than just an announcement today to revive GM. The automaker hasn't posted profits since 2005. And some analysts recently speculated about bankruptcy, whether or not that was an issue here. Although Wagoner denied those rumors last week, investors have been worried nonetheless. GM stock is down more than 60 percent this year and it hit a series of 50-year lows this month. But today, GM shares are actually finding their way to higher ground. They're now up nearly 7 percent. It's important to note that the company does have a strong spot that came out this year. Sales in Europe, they have actually been on the upside, Don. Got to find some sort of silver lining in there.
LEMON: Yes. And GM, of course, a very big company with broad appeal as you said overseas as well.
ELAM: Exactly.
LEMON: Thank you very much for that, Stephanie Elam joining us from New York.
Just to give you an idea of how broad General Motors is, check out its brands. They include Chevrolet, Buick, Pontiac, GMC, Saturn, Hummer, Saab, and Cadillac -- Kyra.
PHILLIPS: Of all of the interrogations that have taken place at the U.S. prison in Guantanamo Bay, Cuba, you're about to see a first. This video marked by the U.S. government as secret showing a 16-year- old Canadian being questioned at Gitmo in 2003, it's the first tape released to the public of the murky world of Gitmo interrogations.
Omar Khadr was 15 when he was captured in Afghanistan in 2002, accused of lobbing a grenade and killing an American special forces soldier.
Earlier today, one of his lawyers had this to say about the video.
(BEGIN VIDEO CLIP)
DENNIS EDNEY, ATTORNEY FOR OMAR KHADR: These tapes are about the conduct of Canadian officials. These tapes don't show the abuse and torture that's taken place by the Americans. And we can't speak for the Canadian conscience. All we can do is put the evidence that we receive out before them and let them rely upon their own particular sense of conscience.
(END VIDEO CLIP)
PHILLIPS: Omar Khadr is scheduled to stand trial in October.
We're going to talk with another one of Khadr's lawyers later this hour.
LEMON: Two Marines face charges today in the death of an Army nurse. Both appeared in a Fayetteville, North Carolina, courtroom last hour.
Corporal John Wimunc, a combat engineer, was charged with killing his wife, Holly. Lance Corporal Kyle Alden was charged with helping to cover up the crime. Charred remains believed to be those of the victim were found Sunday in a shallow pit near Camp Lejeune. Wimunc was in the process of divorcing her husband when she disappeared last week.
After almost four decades, one of the women involved in the Manson family murders could be going free. A California parole board is holding a hearing on Susan Atkins' future. Prison officials flagged her for compassionate release after she was diagnosed with terminal brain cancer. She's been given less than six months to live. Atkins was convicted for her role in the murders of actress Sharon Tate and seven other people committed by followers of Charles Manson. The L.A. County DA has asked the board to deny the release.
PHILLIPS: From Barack Obama, a strong new vow to end the war in Iraq. The Democratic presidential candidate laid out his foreign policy plans in a speech today in Washington.
In his comments seen live here on CNN, Obama called the war in Iraq, which he opposed from the beginning, a dangerous distraction. He said it's responsible for much of this country's economic problems.
(BEGIN VIDEO CLIP)
SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: This war distracts us from every threat that we face and so many opportunities we could seize. This war diminishes our security, our standing in the world, our military, our economy, and the resources that we need to confront the challenges of the 21st century.
By any measure, our single-minded and open-ended focus on Iraq is not a sound strategy for keeping America safe.
(END VIDEO CLIP)
PHILLIPS: Well, ending the Iraq war responsibly is one of the five goals that Obama says will make America safer. Also on his list, finishing the fight against al Qaeda and the Taliban, keeping nuclear weapons away from terrorists in rogue states, achieving energy security, and rebuilding alliances.
Now, foreign policy is also John McCain's focus today in New Mexico. In a speech you may have seen live here on CNN, the Republican nominee to be said that Barack Obama is wrong with his plans for Iraq and Afghanistan.
(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)
MCCAIN: 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. With the right strategy and the right forces, we can succeed in both Iraq and Afghanistan. And they are not disconnected. Success breeds success. Failure breeds failure. (END VIDEO CLIP)
PHILLIPS: Now, McCain calls Obama's plans for Iraq and Afghanistan naive and premature.
And here's something you won't want to miss. Barack Obama goes one on one with CNN's Larry King, tonight 9:00 p.m. Eastern. You can get a preview coming of that interview coming up at the top of the hour on CNN's "THE SITUATION ROOM" with Wolf Blitzer.
LEMON: Well, with its mountains that rise up from the Pacific, Big Sur is breathtaking, for sure, but chunks have fallen victim to California's biggest wildfires. And we're finally able to get some perspective from these pictures.
The Basin Complex that you're looking at, that Complex fire, I should say, has burned for more than three weeks across 187 square miles. It's about 60 percent contained. And the threat to Big Sur has finally eased. But evacuation orders are still in place nearby.
(WEATHER UPDATE)
PHILLIPS: Well, a threat of more violence -- the U.N. is calling for calm in the wake of criminal charges over Darfur.
And stepping up in the ring and going one on one in Iraq, of all places, our correspondent just does that. Wait to see you Fred's boom. Oh, I guess we're not going to give it away yet. It's a fight you don't want to miss. There he goes.
(COMMERCIAL BREAK)
PHILLIPS: Well, at least 28 people are dead in the northern Iraqi city of Baquba. Victims of back-to-back suicide bombings are the cause.
Those attackers blew themselves up in a crowd of army recruits waiting to sign up. Witnesses say the second bomber struck while people were rushing to help the victims of the first blast. The attacks come ahead of a planned offensive by U.S. and Iraqi forces.
And 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 are presumed dead after being captured by Hezbollah guerrillas just two years ago. Hezbollah has given no indication those soldiers are still alive.
The transfer's expected to take place tomorrow at a crossing in western Galilee.
LEMON: Now a deteriorating situation in Darfur. The U.N. is moving out its nonessential personnel. The U.S. is also taking action to protect the citizens in Sudan, all this after an international prosecutor accused the country's president of genocide. Our senior United Nations correspondent, Richard Roth, has more.
(BEGIN VIDEOTAPE)
RICHARD ROTH, CNN SENIOR U.N. CORRESPONDENT (voice-over): With the international war crimes prosecutor going after the president of Sudan, the United Nations' first move was to make sure the president doesn't start going after their peacekeepers.
BAN KI-MOON, UNITED NATIONS SECRETARY-GENERAL: We are counting on the government of Sudan to guarantee the safety and security of all U.N. personnel and property and also humanitarian workers.
ROTH: As Ban spoke, U.N. peacekeepers were on display safely in the streets of Paris, but last week seven peacekeepers were killed in Darfur by unidentified gunmen. So far, since the prosecutors' request for the Sudanese president's arrest, no reprisals.
EDMOND MULET, ACTING DIRECTOR OF U.N. PEACEKEEPING: It's been peaceful, and no reactions, no protests, nothing targeting U.N. peacekeepers or U.N. installations.
ROTH: But the problems could just be starting. U.N. peacekeepers would be serving in a country where the president may one day be wanted for war crimes. The U.N. says they will not be armed with the authority to arrest him.
Face-to-face negotiating on stalled peace talks with an accused war criminal may be too much for even the most neutral U.N. diplomat. And the Security Council could step in and freeze the prosecutor's investigation. Even though the council in 2005 gave its seal of approval for the prosecutor to investigate Sudan, countries like China and Russia may now want to block the prosecutor as a way to encourage an overall peace settlement.
ABDALMAHMOOD ABDALHALEEM, SUDANESE AMBASSADOR TO UNITED NATIONS: We want the Security Council members also to rise to the challenge and also to tell this man in black and white that he has a choice between starting bloodshed and ensuring conflict resolution.
ROTH: But criminal court advocates hope they won't occur.
RICHARD DICKER, HUMAN RIGHTS WATCH: The Security Council will look at best rather confused if on the one hand it mandates Mr. Ocampo to do this kind of investigation and then, on the other hand, two years later, essentially handcuffs him.
ROTH: Presidents Milosevic in Serbia and Taylor in Liberia were both accused by other war crimes courts. And confounding skeptics, both were eventually brought to trial. The lesson to be learned by the leader of Sudan, according to another war crimes prosecutor?
STEPHEN RAPP, SPECIAL COURT FOR SIERRA LEONE: It's not a question of if. It's a question of when.
ROTH (on camera): President Bashir has another decision to make, whether to try to attend the annual high-level General Assembly debate here in September, unclear whether by then he will have been formally charged with genocide.
Richard Roth, CNN, United Nations.
(END VIDEOTAPE)
PHILLIPS: Innocence shattered, a 3-year-old deaf boy robbed. Why would crooks want his hearing aid?
LEMON: You're hired, two words that a lot of U.S. automakers haven't heard in a long time, but now about 2,000 of them will.
(COMMERCIAL BREAK)
PHILLIPS: Delayed and congested, the state of airlines flights in U.S. airports as the summer travel season kicks into high gear. Today, a Senate subcommittee is trying to figure out how to handle the load. It's hearing from the FAA and the industry, which has suffered a string of recent layoffs and cutbacks in its fleet.
(BEGIN VIDEO CLIP)
HANK KRAKOWSKI, FEDERAL AVIATION ADMINISTRATION: The most significant improvement we're looking forward to this year are three new runways at Chicago O'Hare, Seattle, and Washington-Dulles. Particularly at Chicago, which has a lot of crossing runway issues, when you start to straighten out the airports and add parallel runways, that is a significant safety and capacity improvement that we're looking forward to.
(END VIDEO CLIP)
PHILLIPS: Authorities say that the nation also is struggling with an outdated air traffic control system, and that's causing a significant number of delays.
Now to the auto industry, where it seems we tell you about job losses every single day. Today, we can tell you about job gains. Volkswagen has picked Chattanooga, Tennessee, as the site of a new assembly plant, expected to create about 2,000 jobs. Volkswagen says it plans to produce a new mid-sized sedan as it boosts its American presence.
(BUSINESS REPORT)
PHILLIPS: Well, he's not backing down on preaching about taking responsibility, but Barack Obama says more can also be done to help the poor in this country. We are going to tell you what he told the NAACP.
LEMON: Also ahead, we will tell you about a crashing entrance caught on tape that superdelegates some East Texas bank tellers.
(COMMERCIAL BREAK)
PHILLIPS: Hello, everyone. I'm Kyra Phillips live in New York.
LEMON: And I'm Don Lemon live at the CNN World Headquarters in Atlanta. You're in the CNN NEWSROOM.
PHILLIPS: More now on a formally secret video of a Canadian inmate being interrogated at the U.S. prison in Guantanamo Bay, Cuba.
It's from 2003, when Omar Khadr was 16. He's now 21 and still locked up at Gitmo. This tape is the first release to the public revealing how some of the interrogations are conducted. Khadr was captured in 2002 in Afghanistan and accused of killing an American soldier.
Joining us now live from Edmonton, Alberta, Nathan Whitling, one of Omar Khadr's attorneys.
Nathan, thanks for being with me.
NATHAN WHITLING, ATTORNEY FOR OMAR KHADR: Oh, thanks very much for having me.
PHILLIPS: So, why release this tape now, Nathan?
WHITLING: Well, you know, we as lawyers find ourself in a pretty strange situation in the Guantanamo Bay context. I mean basically what's going on in Guantanamo is a political process that has kind of a judicial gloss to it. But, really, the only way out of Guantanamo is through a public -- sorry, a political decision. Even if Omar Khadr were to win the trial that's about to commence, that wouldn't result in his release. And the only releases that have occurred from Guantanamo have been as a result of political decisions. So here we find ourselves...
PHILLIPS: Why are you saying he won't be released if he goes to trial?
WHITLING: Well, because that's the law. You know, there...
PHILLIPS: But if he's found innocent, he's released.
WHITLING: No. He will not be released. I wish that was the case. I'd like very much to agree with you. But the reality is when it comes to the trials which are going down at Guantanamo Bay, even if these individuals are acquitted, they will not be released unless it is also determined in a separate process that they not "enemy combatants." That is an entirely kind of different process, which doesn't require any type of criminal trial in the traditional sense.
So to get back to your original question, our hope here and our efforts are to try to -- to present our arguments on our case in the court of public opinion, because we think that's really the only chance that Omar has of any -- any justice in Guantanamo.
PHILLIPS: So you're saying the other juveniles that were in Guantanamo Bay and have since been released were not considered enemy combatants? I mean all of the individuals that were brought into Gitmo were considered enemy combatants.
WHITLING: Well, they're considered that by someone. But anyone who was released from Guantanamo has been released as a result of a decision on the part of the Department of Defense, not on the part of any court. And so, yes, people have been released. That doesn't mean that they were or were not enemy combatants. These types of decisions have been made regardless of that status determination.
PHILLIPS: So if your client is found innocent in trial come this fall, then why wouldn't he be released?
WHITLING: Well, because in addition to whether or not he's guilty or not guilty of these particular offenses, there's still a separate determination that's...
(AUDIO GAP)
PHILLIPS: Oh, we apologize for that. What happens sometimes with our technical issues is that we've got interviews going simultaneously and sometimes it switches out. So we went from our interview there with Nathan Whitling in Edmonton to another live event that's happening. We'll try to get him back and finish our interview. We apologize for that.
But we were talking to the attorney for that Omar Khadr, who is being held at Guantanamo Bay. You saw that interrogation tape that was released today. We were talking about the interrogation techniques, getting his side of the story.
We apologize for that. We'll try and bring it back.
LEMON: And we're following something else, too, here, as well, Kyra. Lots of news going on in the CNN NEWSROOM.
This is developing news. It's coming out of Georgia, specifically Kennesaw. It involves a small plane crash. This is according to our affiliate. Oh, actually we have confirmed this. The pictures are from our affiliate WSB. Again, Kennesaw, Georgia, which is in Cobb County Georgia.
I'm getting some more information from WSB. They said that the plane crashed in Kennesaw. It was a light plane. It happened just after 3:00 in the Summit Woods Drive. And according to the people on the scene, they could see flames pouring from this -- flames pouring from the plane. They said it appeared to go down into some woods, crashed nose first, crashed into the wooded area. We're not exactly sure about survivors or people on board.
As soon as we get more information from our affiliate and from our desk here in the Southeast, we'll bring you more right here in the CNN NEWSROOM.
In the meantime, we're going to talk about some politics. Last night, Barack Obama spoke to the NAACP convention and made clear he is not backing down on his campaign of personal responsibility.
Our Jessica Yellin was there.
(BEGIN VIDEOTAPE)
JESSICA YELLIN, CNN CONGRESSIONAL CORRESPONDENT (voice-over): The man who could become the nation's first black president told the nation's most revered civil rights group that struggling African- Americans need some tough love.
OBAMA: You know what? We also have to demand more from ourselves. Now...
(APPLAUSE)
OBAMA: I know there are some who have been saying I've been too tough talking about responsibility. NAACP, I'm here to report I'm not going to stop talking about it.
(APPLAUSE)
YELLIN: It seemed a direct response to the flap Reverend Jesse Jackson kicked up last week. Barack Obama made it clear he's not backing down.
OBAMA: We need politicians doing what they're supposed to do and CEOs doing what they're supposed to do. And we need parents doing what they're supposed to do.
YELLIN: But he also spent much of the speech addressing the issues Jackson called on him to discuss more often -- racism and poverty.
OBAMA: We have to break the cycle of poverty and violence that's gripping too many neighborhoods in this country.
YELLIN: And the role government and corporate America can play, as well, with a particular emphasis on his economic message.
OBAMA: If we can spend $10 billion in Iraq every single month, we can spend some of that money right here rebuilding the United States of America.
YELLIN: The NAACP is a nonpartisan group, but you couldn't tell it when Barack Obama uttered this...
OBAMA: Not only will we help achieve social justice and economic justice for all, but I'll come back to you next year on that anniversary and I will stand before you as president of the United States of America.
YELLIN: The audience at the NAACP clearly had no objection to Obama's message of personal responsibility. In fact, when the senator called on African-American fathers and families to do more, he received some of the loudest applause of the night.
Jessica Yellin, CNN, Cincinnati.
(END VIDEOTAPE)
LEMON: And Republican John McCain will speak tomorrow at the NAACP convention in Cincinnati. And here's something you won't want the miss. Barack Obama goes one-on-one with CNN's Larry King tonight at 9:00 p.m. Eastern. You can get a preview of that interview coming up at the top of the hour on CNN's "SITUATION ROOM" with Mr. Wolf Blitzer.
PHILLIPS: Well, it's an outrageous story out of Tennessee. Another couple in Clarksville is in hot water and under arrest. Police say the pair spent hours drinking in a bar while their baby was locked up in their car outside. It happened at night. The child is unharmed and now in the custody of Family Services. Tennessee police are on alert for what to them is becoming a pretty disturbing trend.
(BEGIN VIDEO CLIP, COURTESY WKRN)
OFC. ANDY BECHTOLD, CLARKSVILLE, TENNESSEE POLICE: They're being more observant, too. If they get a call in a certain area, that they look at the vehicles parked around, because it's getting to be an ongoing thing here.
(END VIDEO CLIP)
PHILLIPS: Well, in the last few months in Clarksville alone there have been six cases of kids or babies being left unattended in cars.
LEMON: An astonishing turnabout in a home invasion in Modesto, California. The suspects apologized for beating and stabbing the wrong man -- even offering to drive him to the hospital.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: The guy that stabbed him, he says, you know what, I'm sorry. I'm sorry, man. Please. You know, I'm sorry. And he hugged me. And I'm like, OK. Could you please, you know -- I mean we made a mistake. Instead of them running out, they, you know, they still offered to give him a ride to the hospital and to his mom. And he said no, he was so scared.
(END VIDEO CLIP)
LEMON: Well, police say that apology certainly does not erase the crime and all of the suspects face possible felony charges. The victim's name has not been released. He is recovering at a California hospital.
A 3-year-old California boy is targeted by thieves. Police believe robbers mistook his hearing device -- get this -- for a Bluetooth headset.
If you're shocked by that, consider this. It's happened before. Reporter Stacy Butler of CNN affiliate KCAL has all the details for you.
(BEGIN VIDEOTAPE)
STACEY BUTLER, KCAL CORRESPONDENT (voice-over): Jose Franco will struggle his whole life to be understood. Born deaf, Jose is trying desperately to tell you the only thing between him and absolute silence is his cochlear implant.
HILDA GIRON, JOSE FRANCO'S MOTHER: And suddenly, someone came up behind us and they took his implant off of his head.
BUTLER: At only 3, he can't begin to understand why. Last week, two teenage boys stole the external portion, called the speech processor, right off his ear while he was playing at this McDonald's.
(on camera): Were you sad?
JOSE FRANCO, CRIME VICTIM: Yes. Sad.
GIRON: Time works against us, because each word he doesn't hear is another delay for him.
BARBARA HECHT, JOHN TRACY CLINIC: Somebody mistook his external part of his cochlear implant for a Bluetooth device. And when it was stolen, he -- he couldn't hear anything.
BUTLER: It turns out it's the second time thieves took it from Jose. The first time it happened, his mom ran after the thieves and got it back. But this time, the $7,000 device is gone.
FRANCO: Mommy is crying.
BUTLER (on camera): Mommy's crying?
(voice-over): Jose has a backup, but if anything happens to it, he's trapped in silence until his parents obtain a new device -- a process that could take months.
HECHT: That device is worthless to the person who stole it, but it's -- it opens up the whole world to Jose.
BUTLER (on camera): The John Tracy Clinic here in South Los Angeles will likely cover the cost of that implant processor for Jose. But his family has no idea how long it could take to replace if his current processor is stolen, as well.
In South Los Angeles, Stacy Butler, KCAL 9 News.
(END VIDEOTAPE)
PHILLIPS: And a CNN reporter takes us on Iraqi boxing champ. We're going to show you who won the rumble in Baghdad.
You're watching CNN -- the most trusted name in news.
(COMMERCIAL BREAK) LEMON: So here's a new one for your plumber -- what do you do when your water catches fire? No smoking in this bathroom.
(COMMERCIAL BREAK)
PHILLIPS: 3:43 Eastern time. Here are some of the stories we're working on in the CNN NEWSROOM.
Just minutes ago, a Los Angeles court sentenced two elderly women to life in prison without parole. The women, ages 77 and 75, took out insurance policies on two homeless men and killed them in staged hit and run accidents.
Forecasters say Tropical Storm Bertha could regain hurricane strength later today or tomorrow. Bertha is now churning over the open Atlantic after hitting Bermuda and knocking out power to thousands of people.
And the District of Columbia Council plans to vote today on new gun laws. The emergency bill would still allow handguns for self- defense in the home, but with restrictions. D.C. is trying to comply with the Supreme Court ruling that struck down its 32-year-old gun ban.
LEMON: Exercise at any age can help keep us healthy. But a new study shows it might help slow Alzheimer's disease, as well. As we age, our brains shrink -- and they shrink a lot faster in Alzheimer's patients.
A new study in the "Journal of Neurology" finds that early Alzheimer's patients who exercise had less brain shrinkage, but they didn't seem to do significantly better on mental tests than people who didn't exercise.
Too much TV may be harmful for kids, even if they're not watching the television. Researchers watched 50 kids in a play room. Part of the time the TV was off. Well, part of the time the TV was on. And during TV free time, children were focused on playing or learning.
When the TV was on, they were less calm and more aimless. Pediatricians advise no TV for kids under two.
PHILLIPS: Well, Americans seem to be split on which presidential candidate they trust more to deal with Iraq. A new ABC News/"Washington Post" poll shows 47 percent trust John McCain, 45 percent Barack Obama. A wide majority, almost two thirds, say the war wasn't even worth fighting in the first place.
Now you could call it crazy -- climbing into the ring with an Iraqi boxing champ. But our intrepid correspondent did just that.
Frederik Pleitgen reporting from a Baghdad gym that's giving hope and inspiration to kids eager to fight with their fists in sport, not with guns in war.
(BEGIN VIDEOTAPE) FREDERIK PLEITGEN, CNN CORRESPONDENT (voice-over): You know, you're in trouble when you're in a boxing ring in Baghdad and this guy is in the other corner. Ali Hassan is Iraq's welterweight champion -- and I am out of shape.
(on camera): I think I've had about enough. I'm getting too old for this.
(voice-over): But it's not over.
Farouq Chancoun is Iraq's national boxing coach, a former Olympic athlete and bronze medal winner at the 1981 World Cup. And, yes, he's 53 years old, but young enough to beat me up.
For years, the legendary Azamiyah Boxing Gym (ph) was shut, as violence raged in the streets of Baghdad. But now the club is back in business. And as Farouq works the pads with me, he says though the neighborhood is almost 100 percent Sunni, his doors are open to anyone who's serious about boxing.
"We have Sunnis and Shiites here," Farouq says. "But it doesn't matter who is Sunni and who is Shiite, because we are all Iraqis."
Chancoun believes this is where Iraqi national reconciliation happens, where kids learn to respect each other, to fight with their fists, not with guns, and to pursue their dreams.
"Some day," Ali says, "God willing, I will be able to fight in world championships and win gold and silver medals."
And Farouq adds, "It might take four years, but then we will return to world championships and Iraq will be back like before and even better."
And if Farouq Chancoun is right, these kids are not just fighting the punching bag, they're fight for their country's future.
(END VIDEOTAPE)
PHILLIPS: And Frederik Pleitgen is joining me now live from Baghdad.
And, Fred, you knew I would love this story because there are such positive stories that are taking place in that country. It's not all about war. You remember I got smoked by the Iraqi tennis player.
I want to know if these guys -- I saw that they gave you quite a workout, but did you get anything in there, any right hooks, any left hooks?
PLEITGEN: Well, I was actually thinking this is something that Kyra does have to see. That's actually what I was thinking as I was researching the story.
You are absolutely right. I did get in a couple of punches. But, you know, the thing is, I did amateur boxing for a while, but I haven't been training for a couple of years. And the danger with that is you still really think you know what you're doing until you get in the ring with one of these guys, who's really in good shape. So I got in and I tried a couple of moves and I got just a barrage of fists in my face. And, you know, I came down to the ground pretty quickly.
But, still, I've got to say, these guys are really great athletes. You know, they've gone through a very, very hard time for a very long time and a lot of them still have that dream, you know, to some day be something and to go to championships and to really fight. And it's really great, Kyra.
PHILLIPS: And it's such a great story, Fred. And give our viewers a perspective. I mean they take this very seriously. And there are opportunities that these guys could move into the Olympic level.
You know, tell me what kind of coaches are in there, what the kids are telling you, are the parents supportive of this and is this giving especially these younger kids hope that they have an opportunity to play a sport as they get older?
PLEITGEN: It absolutely is. I mean it's amazing when you come into a gym like that. There's a lot of old pictures. The coach himself was an Olympic athlete in 1980. He won a bronze medal in the World Cup in 1981. There's a lot of pictures of him hanging there. He's sort of like a guardian to these kids.
And a lot of them, you know, they talk very openly about what they want to achieve in the future, about where they want to fight at, what level they want to fight. Some of them talk about going pro. There's one guy who was telling me, you know, I go and I leave my workplace to come here because I love boxing so much -- Kyra.
PHILLIPS: Fantastic story, Fred Pleitgen.
And your right hook looked pretty good, my friend. You're not that too -- you're not too out of shape.
(LAUGHTER)
LEMON: Natural gas as close as your nearest tap -- quite a surprise for a family in Upstate New York. Hot shower -- and we mean hot.
(COMMERCIAL BREAK)
PHILLIPS: No hot water?
You won't hear that complaint in this house. Check it out -- the water's too hot. It actually burns. The family thinks the house may be sitting on a natural gas reserve and their well might have tapped into it. Plumbers thought they had air in the pipes, until he checked a little further.
(BEGIN VIDEO CLIP)
RAY OUSTERHOUT, HOMEOWNER: He had a cigarette lighter in his hand and two of his workers were up there with him. He turned it on and about a three foot flame shot up. Two of them ran out of the bath. One went one way out of the bathroom and one went the other way yelling.
(END VIDEO CLIP)
PHILLIPS: Well, I know what you're thinking, and the answer is yes. The family leased its land to a gas drilling company.
LEMON: OK, so a robbery at a Denton, Texas pizza parlor Caught on Camera. But it doesn't go off without a hitch. Surveillance video shows the alleged robber and a restaurant employee tussling over the cash. The employee punches the robber, knocking off his disguise. That was a rude surprise 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 the pizza worker's mom. There you go.
Well, a damaging miscalculation Caught on Camera in Center, Texas. Watch the pickup pulling the trailer around the bank's drive- through lane. There it goes. It seems a tad too small. Ooh. It clips the canopy, bringing the whole thing crashing down. Police say there were no injuries. Luckily, in all of that, the incident was caught on the bank's surveillance camera.
PHILLIPS: Time now to check in with CNN's Wolf Blitzer. He's standing by in "THE SITUATION ROOM" to tell us what's coming up at the top of the hour.
Hey, Wolf.
WOLF BLITZER, CNN ANCHOR: Hi, guys. Thanks very much.
Larry King, just a little while ago, sat down with Barack Obama. We're going to have a sneak peek at that conversation plus full coverage of the two presidential candidates' showdown today over Iraq and Afghanistan.
Also, the head of General Motors announcing some drastic cutbacks he says are needed to ensure the company's survival.
When it comes to predicting the future of the industry, solar- powered vehicles could be closer than a lot of us think.
And during the veteran era, Canada was a major refuge for Americans seeking to avoid fighting in the war. Now, Canada may be getting ready to send Iraq War resisters back to the United States.
All that and a lot more coming up right here in "THE SITUATION ROOM" -- back to you.
PHILLIPS: Thank you, Wolf.
LEMON: The closing bell and a wrap of all the action on Wall Street straight ahead.
(COMMERCIAL BREAK)
PHILLIPS: She sure sounds like a cow, but Milk Shake isn't your ordinary bovine. She was rescued from a California farm where she was raised alone in a 10 foot square pen. She's now bonded with the director of an animal sanctuary. Vesta DiCaprio (ph) says that Milk Shake won't leave her side now, even follows her into the restroom. How she fits in there I don't know. DiCaprio says that she enjoys the attention, but is committed to teaching Milk Shake how to act like a cow.
LEMON: There's a joke in that.
My milkshake brings all the boys to the yard, you remember that one?
(LAUGHTER)
PHILLIPS: I just think it's a little strange she takes the cow to the restroom. OK.
LEMON: My milkshake brings all the cows to the restrooms -- Stephanie Elam, I see you laughing.
ELAM: Because you guys always have these crazy stories right before me.
LEMON: Because we know you're...
(CROSSTALK)
PHILLIPS: ...on purpose.
(LAUGHTER)
ELAM: I think you do. And that's the thing I thought it was, you know, Milk Shake brought all the boys to the yard. That's -- I was wondering the same thing.
LEMON: What about all the boys and girls on Wall Street today?
(STOCK MARKET REPORT)
ELAM: Don and Kyra, have a good one.
LEMON: Hey, have a great one, Steph. See you tomorrow.
PHILLIPS: All right. Let's take it to Wolf Blitzer now in "THE SITUATION ROOM" -- Wolf.
