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Plane Lands Safely Despite Gaping Hole; Nuclear Missile Crew Asleep at the Switch; Processed Meats Linked to Colon Cancer

Aired July 25, 2008 - 13:00   ET

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


KYRA PHILLIPS, CNN ANCHOR: Fright and flight. A hole opens up in the side of a 747 at 29,000 feet. A look at what happened. And passengers speak out about the harrowing experience.
Dog dangers, a warning that one of America's signature eats could put your child at risk.

And Senator John McCain live this hour from Denver, Colorado.

Hello, everyone. I'm Kyra Phillips, live in New York, and you're in the CNN NEWSROOM.

Air travel rule No. 1: a giant hole in the airplane is a bad thing. This Qantas 747 landed today in Manila, giant hole and all. Something happened at 29,000 feet between Hong Kong and Melbourne, but the bottom line is everyone's safe and sound.

This is how the inside of the plane looked just before 346 -- 346 passengers, rather, knew that their in-flight adventure would end safely. Oxygen masks swinging but no widespread panic.

(BEGIN VIDEOTAPE)

PHILLIPS (voice-over): The 747's pilot is quoted as calling it an explosive decompression. Pilot talk for, "Hey, there's a big hole in the airplane."

A chunk of the floor in the passenger cabin ripped apart, exposing cargo and baggage. Part of the ceiling folded. Those oxygen masks that are supposed to deploy in an emergency, they did.

OWEN TUDOR, PASSENGER: It was an almighty crack. You could hear something happening and then the oxygen masks fell down. And we started dropping down, the ears popping, that sort of stuff.

PHILLIPS: The Qantas Airline jumbo jet was carrying 346 passengers and 19 crew members. At least one of them broke out a video camera. There's very little you can do inside about a gaping hole outside when you're an hour into flight from Hong Kong to Melbourne.

Little more than wonder if you're going to make it.

MARINA SCAFFIDI, PASSENGER: My partner is upstairs. I thought maybe he's gone. I don't know. I had no idea. I knew there was a hole somewhere, but I didn't know what was going on. PHILLIPS: Anxious passengers say wind swirled around the cabin. Bits of wood and debris flew through the air. But panic, hysteria? None.

Investigators will try and determine what caused this plane to pull apart. But we'll hear that later. Today, the sweetest sound at Qantas is this. Safe emergency landing in Manila. And the flight crew's relieved and well-deserved sitting ovation.

(END VIDEOTAPE)

PHILLIPS: Of course; planes can land with large pieces missing. But it's rarely pretty. Pilots managed to land this jet, and Aloha Airlines 747, after a section of the fuselage sheered off in the air. A flight attendant was killed, and dozens of passengers were injured. That was back in 1988.

And one more air incident, this one in New Delhi, India. An emergency evacuation on the tarmac after a fire prompted pilots to abort takeoff. Down went those inflatable slides, and all 241 passengers got off that Airbus 330 safely. According to several sources, one or more birds were sucked into the plane's engine.

Barack Obama takes in the sights and sounds of Paris. The Democratic presidential candidate arrived in the French capital this morning for talks with President Nicolas Sarkozy. U.S. foreign policy a key issue as the two men met.

(BEGIN VIDEO CLIP)

SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: An effective U.S. foreign policy will be based on our ability not only to project power but also to listen and to build consensus.

And the goal of an Obama administration in foreign policy would be, obviously, to act on behalf of the interests and the security of the United States, but also to listen carefully enough to our allies that we understand their interest, as well.

(END VIDEO CLIP)

PHILLIPS: And yesterday in Berlin, Obama drew a huge crowd for his speech before leaving the German capital for Paris. And Obama sat down with CNN senior political correspondent Candy Crowley.

(BEGIN VIDEO CLIP)

OBAMA: The priority in this trip was traveling to Afghanistan and Iraq, where we got enormous commitments, and we've got to get that right. Part of getting that right is having the Europeans engaged and involved in this same battle that we're involved with, against terrorism, to make sure that we're creating a climate where nuclear weapons can't fall into the hands of terrorists, dealing with the situation in Iran.

(END VIDEO CLIP) PHILLIPS: Now Republican presidential candidate John McCain is wrapping up another week of town halls after stumping in Ohio. He's in another battleground state today, Colorado.

And just a short time ago he spoke with CNN's Wolf Blitzer about some top issues in the race. We're going to some of that sound coming up here in the NEWSROOM.

Plus you're going to want to hear the full interview with Republican candidate John McCain and Candy Crowley's interview with Democratic candidate Barack Obama. That's on CNN's "SITUATION ROOM," which is coming up with Wolf at 4 Eastern Time.

But first, you want to stay right here with us in the NEWSROOM for live coverage of Senator McCain's speech in Denver. It is scheduled to begin at the bottom of the hour, and we'll take it live.

Issue one this Friday, we start with, well, what else? The housing crunch.

The foreclosure mess continues to hit home and at an alarming rate. More than 739,000 households received a foreclosure notice during the past three months. That's a 14 percent increase from the first quarter. And it's equal to one in every 171 American households.

The survey by reality -- Realty Track, rather, also found that foreclosure filings increased year-over-year in every state but North Dakota and Alaska.

Now sales of new single family homes fell last month by about half a percent. That's actually a better showing than many economists had predicted. The government says that new home sales dropped to an adjusted annual rate of about 530,000 homes. Overall, sales are still down by more than 30 percent from this time last year.

Time now to check and see what the markets are doing. Investors staged a modest recovery this morning, following yesterday's decline. At this hour, though, Dow Industrials are up 46 points.

We're also keeping a close watch, of course, on oil prices. The price of crude has been sliding lower. At last check it was trading down more than $1 at about $124 a barrel.

Our Susan Lisovicz will join us from the floor of the New York Stock Exchange in just about ten minutes. She'll also have a complete wrap of the day's economic numbers.

Now Dolly, leaving a soggy mess in South Texas. The one-time hurricane dumped more than a foot of rain in some places. President Bush has declared 15 counties disaster areas, freeing up a lot of federal aid.

And a baby's cry saves his life after a tornado flattened his grandparents' home in Deerfield, New Hampshire. Firefighters say they found the 3-month-old wedged between the first and second floors. His grandmother was killed; his grandfather was injured.

And they're drying out in upstate New York. Two days of heavy rains left a lot of swollen rivers, flooded roads, and basements.

Chad Myers, live in our severe weather center, monitoring it all for us.

What do you think, Chad? Where's the good spots?

CHAD MYERS, CNN METEOROLOGIST: You know what? The whole -- the whole country's going to be OK this weekend. I think it's probably OK.

Yesterday was just ugly all over. We were jumping up and down here. We were just running all over the place here.

But today, a couple of showers around, but all the airports are doing well. Get away Friday for you. Airports are reacting pretty good, too. The only problem is eventually we're going to get too many planes in the air, because the weather is too good. They plan on airport weather delays, and we're not really giving you any today. And that always lends a hand for the volume delays.

No weather at all in New Hampshire or Vermont, but those pictures from yesterday were just amazing. The weather service has gone out there now and confirmed that that was a tornado there. And we could see it yesterday. We knew that those tree tops were all torn off.

Here we go for today: some strong storms across parts of Nebraska, also into South Dakota. Still Dolly lingering here.

Some of the numbers from Dolly, a foot of rain, for the most part. Rancho Viejo, about 9 and a half or so; Brownsville, 8.

Now, I did look at the radar, and the radar can estimate how much rain comes down in any one spot. And there were areas that picked up more than 12 inches. There just may not have been a weather, you know, station there to pick up the amount of rain there. So some local reports, or some co-op observers, as we call them.

Here's the next 48 hours worth of rainfall. Sure, some showers across parts of Missouri and Illinois, but I mean, this is -- this is the weekend. This is OK. Showers across the Gulf Coast. The West remains fairly dry.

The East is dry, pretty decent up and down the East Coast for maybe some -- I guess still vacationing time, isn't it, Kyra? People still go out. It's not quite back to school yet, although I did see a back-to-school sale. It scares me already, because it's only the middle of July. But there you go.

PHILLIPS: Yes, but you don't have to worry about all the big shopping yet for the kids, right?

MYERS: Right.

PHILLIPS: I mean, you still have a little time before they're going to want all the specialty designer stuff?

MYERS: Yes, his favorite thing is Crayola.

PHILLIPS: There you go.

MYERS: That's all I need.

PHILLIPS: And you can still get that for a couple bucks. You're good to go.

MYERS: Yes.

PHILLIPS: Thanks, Chad.

MYERS: You're welcome.

PHILLIPS: All right. Well, summertime fun almost turned tragic for a Wilmington, Delaware, teenager and a rescuer. Listen to this. After jumping off falls yesterday above Brandywine Creek, the teen was actually caught by the current but managed to grab onto a rock in the middle of the stream.

At one point, both he and his rescuers actually lost their grips and were swept downstream but eventually made it out OK.

Well, the Coast Guard is reopening the Mississippi River to limited traffic to clear out some of the 200 ships stranded by a huge oil spill. At last report, two ships had entered the river from the Gulf of Mexico but under special precautions.

Authorities now say that up to 30 percent of the spill has been cleaned up since that collision early Wednesday of a barge and a tanker.

Well, in rural Colorado, a tragic end to the story of a serial spammer. Three people dead in an SUV, including Eddie Davidson, America's so-called Spam King. The other two bodies, those of Davidson's wife and 3-year-old daughter.

Police call it a murder-suicide, committed by Davidson after he escaped from a federal work camp.

Operating out of his home, Davidson profited millions of dollars by sending anonymous e-mails promoting high-risk stock. He was serving 21 months. A baby found in the SUV was unhurt, and a teenage girl survived a gunshot to the neck. Who they are still isn't clear.

A big fine looming against Imperial Sugar following 13 deaths in a massive plant explosion in Georgia. A Georgia lawmaker says that federal work safety officials are proposing fines totally nearly $9 million for the February disaster near Savannah and subsequent violations found at a plant in Louisiana.

It was apparently errors in oversight and not an earthquake that caused a deadly mine collapse in Utah. In the final verdict, federal mine safety investigators fault the owners of the Crandall Canyon coal mine, their engineering firm and the federal inspectors who failed to catch errors in the mine's faulty design.

A total of nine people were killed last August from the mine's initial collapse and a failed rescue attempt. The owners claimed the collapse was triggered -- triggered, rather, by an earthquake.

(BEGIN VIDEO CLIP)

RICHARD STICKLER, MINE SAFETY AND HEALTH ADMINISTRATION: It was not, and I'll repeat not -- it was not a natural-occurring earthquake. But, in fact, it was a catastrophic outburst of the coal pillars that were used to support the ground above the coal seam. These pillars failed under excessive load and ejected coal very violently and filled up the -- most of the tunnels or entries in the affected area.

(END VIDEO CLIP)

PHILLIPS: Record fines are being levied, totaled more than $1.8 million. Federal prosecutors are examining possible criminal charges, as well.

Being gay in Iraq. It can get you thrown into prison, even killed. We're going to go behind the scenes with two young Iraqi men who are risking it all as they express their feelings for each other in public.

And three Air Force missile crew members fall asleep on the job. We'll tell you what the Pentagon's doing about it.

And a Georgia woman gets a shocker: a hidden camera above her bed. We've got the story.

(COMMERCIAL BREAK)

PHILLIPS: Republican presidential candidate John McCain is wrapping up another week of town halls. After stumping in Ohio, he's in another battleground state today: Colorado.

Just a short time ago, he spoke with CNN's Wolf Blitzer about some top issues in the race.

(BEGIN VIDEOTAPE)

WOLF BLITZER, CNN ANCHOR: You also made a very serious charge against Senator Obama. You've repeated it. You say you stand by it, that he would rather lose a war to win a political campaign. Raising questions about, you know, his -- motives.

Joe Klein, writing in "TIME" magazine, says, "This is the ninth presidential campaign I've covered. I can't remember a more scurrilous statement by a major party candidate. It smacks of desperation." Those are pretty strong words from Joe Klein, whom you obviously know.

But tell us, are you -- what are you charging? What are you accusing Obama of doing? SEN. JOHN MCCAIN (R-AZ), PRESIDENTIAL CANDIDATE: I am accusing -- I am stating the facts. And the facts are that I don't question Senator Obama's patriotism. I'm sure that he's a very patriotic America. I question his judgment, because he lacks experience and knowledge. And I question him judgment.

I'm not prepared to see the sacrifice of so many brave young Americans lost because Senator Obama just views this war as another political issue, in which he can change positions.

And everybody knows that he was able to obtain the nomination of his party by appealing to the far left and committing to a course of action that I believe was -- I know was wrong -- because he said the surge would not work. He said it wouldn't succeed. No rational observer in Iraq today believes that the surge did not succeed.

So he just treats it as another political issue because he doesn't understand, and he doesn't have the knowledge and the background to make the kind of judgments that are necessary.

(END VIDEOTAPE)

PHILLIPS: You'll be able to see the full interview with John McCain and Wolf Blitzer in the "SIT ROOM" at the top of the hour. Also, we're monitoring John McCain's speech in Denver, Colorado. When that starts, we'll take it alive. Or take it live, rather.

Now another incident involving the Air Force and nuclear security, the fourth this year. This time it involves three Air Force crew members who fell asleep.

Here's Pentagon correspondent Barbara Starr.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN CORRESPONDENT (voice-over): Air Force officials acknowledge a Minuteman III nuclear missile launch crew fell asleep on July 12 while in control of electronic parts that contained old nuclear launch codes.

It happened at a missile launch facility connected to Minot, North Dakota, Air Force Base. Air Force officials say the old launch codes were with the crew behind locked doors, guarded by armed military personnel, and emphasized the codes were out of date and not usable.

But still, it was against regulations, and the officers involved face possible discipline.

This is the fourth Air Force incident involving nuclear security that has come to light in recent months. Last year, nuclear warheads were flown on a B-52 from Minot to Barksdale, Louisiana. The crew didn't know they were on board.

In March, it was discovered weapons' fuses had accidentally been sent to Taiwan. And earlier this year an Air Force unit at Minot failed a nuclear security inspection.

(on camera) This latest matter was investigated by the National Security Agency, which creates nuclear launch codes. And commanders are still deciding on discipline for that sleepy crew.

Barbara Starr, CNN, Washington.

(END VIDEOTAPE)

PHILLIPS: Secretary of State Condoleezza Rice thinks that the uptick in violence in Afghanistan is rooted in Pakistan. Speaking today in Australia, Rice said that she believes militants are organizing along the Pakistan border and using the remote area as a base to stir up trouble in Afghanistan. Rice is urging Pakistan to do more to get the area under control.

This could be a topic again in a few days, when Pakistan's prime minister meets with President Bush at the White House.

Straight ahead, a summertime favorite gets grilled. A new warning about hot dogs and your kids. Medical correspondent Elizabeth Cohen explains the risks.

Plus, house swapping, a great way to save on vacations. All you have to do is let a complete stranger stay in your house.

(COMMERCIAL BREAK)

PHILLIPS: Well, what kid doesn't like hot dogs? But a vegan group warns such processed meats can put your child at risk for cancer. Take a listen.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: I thought I'd live forever. I was dumbfounded when a doctor told me I have late-stage colon cancer.

(END VIDEO CLIP)

PHILLIPS: Our medical correspondent, Elizabeth Cohen, has been looking into this. Elizabeth, also states that even small amounts of processed meats can cause cancer later in life. That's pretty scary.

ELIZABETH COHEN, CNN CORRESPONDENT: It is pretty scary stuff, Kyra.

And I want to make it clear: the group that puts out this ad is an animal rights group. They believe we should all be vegans.

So having said that, there is some science between this link between processed meats and cancer. A study recently by the American Institute for Cancer Research found that if you eat a hot dog a day or the equivalent, your cancer risk goes up 21 percent. What kind of meats are we talking about? Well, here's an example, the Elizabeth Cohen collection of processed meats I have right here next to me. Bacon, hot dogs, sausages, ham. We're not talking about steaks and chicken wings. We're talking about foods that contain nitrates. It's believed that nitrates are the culprits here.

The American Meat Institute, Kyra, they say that processed meats can be an important part of the child's diet, that they are full of protein and vitamins -- Kyra.

PHILLIPS: All right. Are we supposed to stay away from processed meats altogether?

COHEN: Well, if you ask the American Cancer Society, what they will tell you is reduce your consumption of processed meats as much as possible. That's how they put it.

Another group of cancer experts says, "We agree. Eat processed meats on a special occasion." For example, a slice of ham at Christmas, the occasional hot dog at a baseball game.

PHILLIPS: OK. I thought we were going to go to some sound. Sorry about that.

I just was thinking about how I'm going to a baseball game Friday night, and I'm debating whether I want to get a hot dog now. All right. Organic or turkey dogs, any better? Does that make a difference?

COHEN: Look at the label, Kyra, and if it says there are no nitrates, then, yes. Many experts would say that that is a much better choice than just a regular hot dog.

PHILLIPS: OK, Elizabeth. So do you let your kids eat hot dogs or what?

COHEN: You know, sometimes I do. And definitely, if you listen to the American Cancer Society, my kids should definitely be eating fewer hot dogs. There's no question.

PHILLIPS: OK. They're not going to be happy to hear that over the weekend.

COHEN: That's right. They certainly won't.

PHILLIPS: Elizabeth, thanks.

All right. Well, on Capitol Hill, energy legislation held hostage by partisan bickering. Congress isn't likely to pass a bill any time soon that could help lower gas prices.

Yesterday, House Republicans beat back a Democratic measure that would have released 70 million barrels of oil from the nation's strategic reserve. Republican lawmakers say that the move wouldn't lower prices that much, and they're pushing for new offshore drilling. Democrats are against that, saying oil companies should drill on land they already have rights to.

Well, stocks sold off yesterday amid a double dose of bad economic data. But today, the reports are a tad bit rosier, and so is the market. Susan Lisovicz on the floor of the New York Stock Exchange with the latest on both.

Hello, Susan.

SUSAN LISOVICZ, CNN CORRESPONDENT: Hello, Kyra, and the emphasis is a tad bit rosier.

New home sales declined 0.6 percent last month, but guess what? Wall Street was expecting twice that. The previous month was revised higher. Durable goods -- that includes everything from toasters to airplanes -- showed the strongest gain in four months, which signals that maybe business spending is on the mend. Consumer spending (ph), we know what that's all about. That rebounded this month from a 28- year low. So mostly due to rebate checks, but hey, it's a glimmer of hope.

And we're seeing a glimmer of hope in the markets. Right now the Dow is up 22 points. It's a lot better than a decline of 283. The NASDAQ's up 22, and oil is down $2, Kyra.

PHILLIPS: All right. Well, let's get into those housing numbers. Not as bad as expected, but still not really terrific.

LISOVICZ: Yes, I couldn't say it better. There's a reason why the housing crisis has been called the worst since the Great Depression. I mean, home sales have declined seven of the past eight months. And sales are down more than 30 percent from a year ago.

Existing home sales we told you about yesterday. They came in worse than expected. You were talking a little bit earlier about foreclosures surging in the second quarter. And basically, the housing situation is not going to improve until foreclosures ease and until that massive glut of inventory declines.

In the next hour, we're going to be talking about those foreclosures in depth. Back to you, Kyra.

PHILLIPS: Sounds good. Thanks, Susan.

Well, the professor noted for "The Last Lecture" has died. Carnegie Mellon University Professor Randy Pausch died early today at his home in Virginia. Pausch was diagnosed with incurable pancreatic cancer in 2006, and in September he gave what he called his last lecture, celebrating life in the face of terminal cancer. It was viewed by millions of people on the Internet and became a best-selling book.

Andy Pausch was 47 years old.

(COMMERCIAL BREAK) PHILLIPS: Hello, everyone. I'm Kyra Phillips live in New York and you're in the CNN NEWSROOM.

1:31 Eastern time and here's some of the stories we're working on for you, right now.

A harrowing ride over the south China side. A Quatar 747 makes a rapid descent into Manila, after a chunk of its fuselage cracks open. No one was hurt.

And ships are moving slowly, but moving again on the Mississippi River in New Orleans. Authorities say up to 30 percent of the oil that leaked from a crippled barge Wednesday, now has been cleaned up.

And parts of Texas are cleaning up from Hurricane Dolly. The storm is all but over. It's dumping rain today, in parts of west Texas and New Mexico.

The United States, now officially a safe haven for Iraqs who work for U.S. interests in their home country. The State Department says that 5,000 visas will be offered each year, for the next five years. They will go to Iraqis who feel their lives are in danger because of their support of the American mission. The U.S. Embassy in Baghdad, announced the new visa special program, yesterday.

And banned from the Olympics, but not taking the news lying down. The Iraqi government is sending a delegation to the Olympic Committee headquarters to try to get the ban overturned. The IOC closed the Olympics to Iraq, this week, saying the government was interfering too much in the process. Seven Iraqi athletes had been selected to compete in Beijing.

Well, men and women who belong in Iraq's gay and lesbian underground, they have to keep it that way. Underground. Culture, religion, tradition. They all combine to form a deep and often violent intolerance for gay people.

In this CNN exclusive, Frederik Pleitgen talked to one gay couple with two pretty frightening stories.

(BEGIN VIDEOTAPE)

FREDERIK PLEITGEN, CNN CORRESPONDENT (voice-over): Kamal (ph), 18 and Ramy (ph), 21. When they walk Baghdad's streets, it's only in brief, furtive moments they let their feelings for each other show.

We've changed their names and are protecting their identities and here's why.

(on camera): What is the worst thing you've ever experienced?

KAMAL (through translator): After the fall of Baghdad, I was kidnapped for money, Kamal tells me. But when they found out I was gay, they started raping me by force. They did it almost everyday.

RAMY (through translator): I met a man and he became my lover, Ramy adds. Later, he told me had weapons and was in a terror group, the Meiji army. And he started threatening me.

(voice-over): No one knows how many people have been killed in Iraq, for being gay. But aid organizations say even an allegation of homosexuality can be a death sentence.

It's only in internet cafes that Kamal and Ramy dare keep in touch with other gay men through chat rooms. But even then, there is the risk of entrapment.

RAMY (through translator): I would rather commit suicide then let my family find out I am gay, Ramy says.

PLEITGEN (on camera): What are the cover stories that you usually use to stop people from knowing?

KAMAL (through translator): When I'm with a group of friends, I tell them I've met girls, Kamal says. I also have to be careful the way I dress. I can't look gay.

PLEITGEN (voice-over): Being gay was hard enough under Saddam Hussein. But, at least, they could have small, private gatherings like this one. This photo, we were told, was taken in the '90s. Now, with militias roaming the streets, showing any sign of being gay is impossible.

And when we asked Iraqis, we found widespread intolerance.

UNIDENTIFIED MALE (through translator): I can consider gays to be criminals and terrorists, this many says.

UNIDENTIFIED MALE (through translator): We, as an Islamic society, consider it to be against the law, this man adds. So, they should be punished by law.

PLEITGEN (on camera): Why do you think people here hate gays so much?

RAMY (through translator): I don't know, Ramy says. So many people here have gay tendencies. But still, they hate it. Maybe it's just jealously.

PLEITGEN (voice-over): Even with all the oppression they face, these two men say they cannot change the way they are.

Fred Pleitgen, CNN, Baghdad.

(END VIDEOTAPE)

PHILLIPS: Well, we're still trying to learn more about a terrible accident that happened in central Africa, this week. A boat loaded with nearly 200 people sank on a river in Congo. So far, we've heard that at least 47 people died but more than 100 are still missing. It's a part of the country with few roads and bad roads so people often travel by boat, even if they can't swim.

President Bush is deepening and widening sanctions against Zimbabwe. He signed an order today, freezing the assets of more Zimbabwean companies and barring U.S. citizens from doing business with them. The new sanctions package is a result of last month's run off election in Zimbabwe, in which President Robert Mugabe ran essentially unopposed amid allegations of politically motivated violence. President Bush calls the Mugabe government an illegitimate regime.

In the race for the White House, John McCain is courting voters in Colorado, this hour, while Barack Obama visits two more European capitals today. We'll have live coverage of Senator McCain's Denver speech when it gets underway.

And one senator -- or on Senator Obama's schedule rather. He stops in Paris and London. We're monitoring that trip.

Now, Barack Obama is down slightly. John McCain is up. In our lately National Poll of Polls, 44 percent of registered voters said they preferred Obama. 41 percent backed McCain. 15 percent were undecided. And last week, Obama's lead was 6 percentage points. The Poll of Polls is an average of three different surveys.

There are other signs today, that the presidential race is tightening. Our senior political analyst, Bill Schneider looks at some new state polls and how they affect the CNN electoral map.

(BEGIN VIDEOTAPE)

BILL SCHNEIDER, CNN SR. POLITICAL ANALYST (voice-over): Where does the presidential race stand? Quinnipiac University has just come out with four new polls of battleground states. They all show some movement toward McCain since last month.

Wisconsin, Obama's lead has shrunk slightly from 13 points to 11. Wisconsin continues to lean Democratic. Michigan's still close. Obama up by six in June, four in July. Still a toss up. Colorado, a 5 point Obama lead has shifted to a near tie, also a toss up. The biggest shift, Minnesota. Last month, Obama led McCain by 17 points. Now, the race is virtually tied. Minnesota shifts from leaning Democratic to toss up.

MARK PRESTON, CNN POLITICAL EDITOR: Minnesota's a very unpredictable state. They elected Jesse Ventura to be their governor. You know, we have a very competitive Senate race right now. We have the Republican Party throwing a lot of money and a lot of resources in there.

SCHNEIDER: The Pew National Survey of Latinos shows Obama leading McCain, by nearly three to one.

PRESTON: New Mexico is heavily Hispanic. And really, Hispanics traditionally have voted for the Democratic nominee. So, now that we have the Democratic primary over, we don't have a split in that vote.

SCHNEIDER: New Mexico moves from leaning Republican, to toss up. With those two changes, the electoral vote count gets a little closer. Obama, 221, McCain, 189, with 128 electoral votes in toss up states. Both candidates well shy of the 270 electoral votes needed to win.

(on camera): Most of the interviews for these polls were done before Senator Obama's trip abroad. A national poll by NBC News and the "Wall Street Journal," finds that voters nationwide see Obama as a riskier choice than McCain. Of course, Obama calls himself the candidate of change. And change always means risk.

Obama's trip is intended to reassure voters that the risk is minimal. Is it working? We'll see in the next round of polls.

Bill Schneider, CNN, Washington.

(END VIDEOTAPE)

PHILLIPS: If nothing else, some pointed political theater on Capital Hill today, led by majority Democrats. The House Judiciary Committee convened a hearing on alleged law breaking by the Bush administration. Topics ranged from torture to war crimes to alleged abuse of power. More than one Democrat talked about impeachment.

(BEGIN VIDEO CLIP)

REP. ROBERT WEXLER (D), FLORIDA: The Bush White House has distorted the concept of executive privilege beyond recognition, in order to hide White House wrong doings. Faced with this litany of wrongful actions I am convinced that the most appropriate response to this unprecedented behavior is to hold hearings for impeachment.

REP. LAMAR SMITH (R), TEXAS: Nothing is going to come out of this hearing with regard to impeachment of the president. I know it, the media knows it and the speaker knows it. The democratic leadership has said time and again they have no intention of bringing any impeachment resolution for the president or the vice president to the House floor. Why is that? It's because they know it won't pass.

(END VIDEO CLIP)

PHILLIPS: Now that hearing was granted largely at the behest of Democratic Dennis Kucinich, who had otherwise threatened a series of resolutions demanding Mr. Bush's impeachment.

Straight ahead, nice day for a game, eh? Let's go to the park. We'll watch the managers argue and hey, wait, you call this baseball? Looks more like brawl ball.

And ever thought about going home for vacation? Not your home, but someone else's home. In a cool, faraway place.

(COMMERCIAL BREAK)

PHILLIPS: CNN's special documentary, "Black in America," more than a television event. It's become a call for African-Americans to come together to talk about problems in their community and search for solutions.

CNN's Susan Candiotti reports. (BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: When are we going to stop talking and start doing something? Meaning that everyone in this room can touch someone else.

SUSAN CANDIOTTI, CNN CORRESPONDENT (voice-over): For some, watching "Black in America," is a call to arms.

UNIDENTIFIED FEMALE: The time in now. The burden is on us. We have to everything that we can do to make sure that our people are successful.

CANDIOTTI: Invited by the mentoring networking group, 100 Black Men of greater Ft. Lauderdale, an overflow crowd weighed in on the CNN documentary.

Jeffrey and Bernadette Edwards are a working couple, married just two years. They were intrigued by the story of an Arkansas man who seemed to have it all. A successful job, beautiful home, three sons and one of them was arrested for assault.

UNIDENTIFIED MALE: It didn't have to end up that way, but it did. You know, their father was devastated about the situation.

CANDIOTTI: Bernadette Edwards was surprised by the story of an educated young man with two daughters who struggled to find a steady job.

UNIDENTIFIED FEMALE: He has some college, he was intelligent and well spoken. You would think it would be easy to find a job.

CANDIOTTI: For 18 year-old Jerome Blair, who's starting college in the fall, a segment about nearly 60 percent of all black children growing up without a father, hit home.

Jerome's father abandoned him when he was only three. Jerome is convinced he'll be different.

UNIDENTIFIED MALE: I know what it feels like and I'll never let it happen.

CANDIOTTI (on camera): Organizers of this event say for them, the importance of "Black in America," is to outline problems for a national audience and then localize them and find solutions.

Susan Cadiotti, CNN, Ft. Lauderdale.

(END VIDEOTAPE)

PHILLIPS: And you can also read personal accounts from people in the documentary and hear what's on the mind of today's leaders at AC360.com. Our very own Don Lemon shares some of his thoughts as well. That's AC360.com

And don't miss the encore presentation of "Black in America" this weekend. Tomorrow night 8:00 and 10:00 Eastern.

Straight ahead, candid camera gets a little creepy, thanks to a maintenance man who allegedly kept a real close eye on one of his tenants.

(COMMERCIAL BREAK)

PHILLIPS: Live pictures now from Denver, Colorado. We're waiting to hear from John McCain. He's getting ready to address the American GI Forum convention there in Denver. And then afterwards, he's going to head over to Aspen and sit down with the Dalai Lama. That will be interesting to hear what those two talk about. But it's expected that McCain will address the Iraq war and his beliefs in finishing off that war there in support of the troop surge. We'll bring it to you live as soon as it happens.

Now, it's the kind of trend drivers like to see. AAA reports that gas prices have fallen for eight days in a row. A gallon of regular, unleaded is now $4.01 on average nationwide. The price of a gallon has averaged more than $4.00 since early June.

And if the economy has you thinking you'll never be able to afford an overseas vacation, well how about this option: A house swap.

CNN's Zain Verjee shows us how it works.

(BEGIN VIDEOTAPE)

ZAIN VERJEE, CNN CORRESPONDENT (voice-over): For 20 years, Lauren Kahn has been welcoming total strangers to her home. She's about to meet Ken and Shirley Bullocks for the first time and hand over her house keys.

The Bullocks are trading their home in Australia, for Lauren's in McLean, Virginia, for a month.

LAUREN KAHN, HOUSE SWAPPER: It's not everybody's idea of a conventional vacation.

VERJEE (on camera): If you want more than a one night stay for free, all you have to do is go to some of these home swapping web sites and you're entire world is open.

(voice-over): It's already popular in Europe. Now, it's picking up steam in the U.S. and elsewhere as eager swappers showcase their homes.

(on camera): Oh, Kenya. Nice.

KEN BULLOCKS, HOUSE SWAPPER: It's an adventure.

VERJEE (voice-over): This will be Lauren's 35th house swap.

KAHN: What you do get is a lot of cross cultural experiences.

VERJEE: They also swap cars.

K. BULLOCKS: Lauren and ourselves, we're exchanging cell phones. So, she'll be using ours there and we're using hers here.

KAHN: Yes, don't call China.

VERJEE: Travel editor Keith Bellows, champions house swapping but warns, do your homework.

KEITH BELLOWS, EDITOR, "NATIONAL GEOGRAPHIC TRAVELER": You really need to think through, am I willing to leave my home in someone else's hands, somebody I've never met before?

S. BULLOCKS: That's the question that people keep asking. You're going to let people in your home, they say. But, you'll be in there house.

VERJEE: Even with careful research, you could be in for a surprise.

KAHN: The worst one was the house in Bavaria, which was absolutely filthy, the car didn't work.

VERJEE: The rules: A clean home and advice for guests.

KAHN: How to drive the car, I have a new car. And they get a new car with less than 1,000 miles. Where to go to get food, where to go for other shopping.

VERJEE: On Kawana Island, in Australia, the Bullocks leave Lauren treats.

KAHN: Ooh, and some chocolates.

VERJEE: And a welcome first meal.

KAHN: Beef casserole.

VERJEE: A couple vacationing in the U.S. spends on average, $250 a day in meals and hotels. The Bullocks are spending only $75 per day.

(on camera): Is it the money that you save?

S. BULLOCK: I'd still say money has to come last. It's the people.

KAHN: But you also do it of course, to save money. But I would have never had the quality of vacations that I've had and the experiences that I've had without all of my exchanges. I wouldn't give them up for the world because what I like more than anything else is to travel.

VERJEE (voice-over): Zain Verjee, CNN, McLean, Virginia.

(END VIDEOTAPE) PHILLIPS: And let's see. Do you want to apartment with the hidden camera above the bed, or without? Yes, you won't believe the little surprise that one woman found out about the man taking care of her tenant.

And the many uses of white out. One DUI suspect thought it might erase his beer breath. He should have used the stapler instead.

(COMMERCIAL BREAK)

PHILLIPS: Whether a roach under the sink or a rat behind the stove, might have been a welcome sight compared to what a Georgia woman found in her apartment. A camera conveniently hidden right above her bed.

So how did it get there? Ryan Young from CNN's Atlanta affiliate, WSB, reports.

(BEGIN VIDEOTAPE)

RYAN YOUNG, WSB REPORTER: Late Thursday night, police brought out evidence from Julio Rodriguez' apartment. The former maintenance man here at the Creekside apartments is accused of secretly taping a woman inside her apartment.

JUNE HONORE, TENANT: I am disappointed in him. I know him very well. He comes to my home already.

YOUNG: The tenant who made the discovery had only been living in the apartment for three weeks and found a small camera attached to a battery in a vent over her bed.

KULVAR SINGH, TENANT: That's pretty scary. I was worried. And today, (INAUDIBLE) checked all my vents. But that's definitely which worries me a lot.

YOUNG: Apartment management believes Rodriguez may have been planted the camera while getting the apartment ready to rent.

Creekside Management says, Rodriguez admitted to the crime after failing a lie detector test and he was immediately fired.

SINGH: He might have been doing it for a long time. I really don't feel good about this thing.

(END VIDEOTAPE)

PHILLIPS: Workers are now going through each apartment to make sure there are no more hidden surprises.

You just never know what the camera's going to catch in the police booking room. Here is a drunken driving suspect in Omaha, playing with a bottle of white-out on the desk. Yes. Takes a little chug-a-lug of the white stuff, as if it were a bottle of Binaca.

Do they still sell Binaca? Apparently, he thought it would erase the beer smell. Nice try. He eventually was convicted.

John McCain live in Denver, Colorado, getting ready to give a speech. Actually he just began. He's addressing the American GI Forum Convention.

Let's listen.

(JOINED IN PROGRESS)

SEN. JOHN MCCAIN (R), PRESIDENTIAL CANDIDATE: ... in our history. Iraq was in flames, torn apart by violence that was escaping our control. Al Qaeda was succeeding in what Osama bin Laden called the central front in their war against us. The mullahs in Iran waited for America's humiliation in Iraq and the resulting increase in their influence. Thousands of Iraqis died violently every month and American casualties were mounting. We were on the brink of a disastrous defeat just a little more than five years after the attacks of September 11. And America faced, my friends, a profound choice.

We could accept defeat and leave Iraq and our strategic position in the Middle East in ruins, risking a wider war in the near future, or could we summon our resolve, deploy additional forces and change our failed strategy?

Senator Obama and I also faced a decision, which amounted to a realtime test for a future commander-in-chief. America passed that test. I believe my judgment passed that test. And I believe that Senator Obama's failed.

We both knew the politically safe choice was to support some form of retreat. All the polls -- all the polls -- said the surge was unpopular. Many pundits, experts and policymakers opposed it and advocated withdrawing our troops and accepting the consequences. I chose to support the new counter insurgency strategy, backed by additional troops, which I had advocated since 2003 after my first trip to Iraq.

Many observers said my position would end my hopes of becoming President of the United States. I said I would rather lose a campaign than see America lose a war.

(APPLAUSE)

And my choice was not smart politics. It didn't test well in focus groups. It ignored all the polls. It also didn't matter. The country I love had one final chance to succeed in Iraq; the new strategy was it. So I supported it.

Today, the effects of the new strategy are obvious. The surge is succeeding. And we are, at long last, finally winning this war. We're winning this war.

Senator Obama made a different choice. He not only opposed the new strategy, but actually tried us -- tried to prevent us from implementing it. He didn't just advocate defeat. He tried to legislate it. When his efforts failed, he continued -- continued -- to predict the failure of our troops. As our soldiers and marines prepared to move into Baghdad neighborhoods and villages, Senator Obama predicted that their efforts would make the sectarian violence in Iraq worse, not better.

And as our troops took the fight to the enemy, Senator Obama tried to cut off funding for them. He was one of only 14 senators to vote against emergency funding in May 2007 that supported our troops in Iraq and in Afghanistan. He would rather choose to lose in Iraq in hopes of winning in Afghanistan. But had his position been adopted, we would have lost both wars.

Three weeks after Senator Obama voted to deny funding for our troops in the field, General Ray Odinero launched the first major combat operations of the surge. Senator Obama declared defeat one month later. My assessment -- and I quote him -- "... is that the surge has not worked, and we will not see a different report eight weeks from now" -- unquote.

His assessment was popular at the time, but it couldn't have been more wrong. By November 2007, the success of the surge was becoming apparent. Attacks on coalition forces had dropped almost 60 percent from pre-surge levels. American casualties had fallen by more than half. Iraqi civilian deaths had fallen by more than two-thirds. But Senator Obama ignored the new and encouraging reality. And I quote him again -- " .. not only have we not seen improvements," he said, "but we're actually worsening potentially a situation there."

If Senator Obama had prevailed, American forces would have had to retreat under fire. The Iraqi Army would have collapsed. Civilian casualties would have increased dramatically. Al Qaeda would have killed the Sunni Sheikhs who had begun to cooperate with us, and the Sunni awakening would have been strangled at birth. Al Qaeda fighters would have safe havens from where they could train Iraqis and foreigners and turn Iraq into a base for launching attacks on Americans elsewhere. Civil war, genocide and wider conflict would have been very, very likely. Above all, America would have been humiliated and weakened.

Our military, strained by years of sacrifice, would have suffered a demoralizing defeat. Our enemies around the globe would have been emboldened. Terrorists would have seen our defeat as evidence America lacked the resolve to defeat them. As Iraq descended into chaos, other countries in the Middle East would have come to the aid of their favorite factions, and the entire region -- the entire region might have erupted in war. Every American diplomat and American commander and American leader would have been forced to speak and act from a position of weakness.

Senator Obama told the American people what he thought they wanted to hear. I told you the truth.

From the early days of this war, I feared the administration was pursuing a mistake in strategy, and I said so. I went to Iraq many times and heard all the phony explanations about how we were winning. I knew we were failing. And I told that to an administration that didn't want to hear it. I pushed for the new strategy that has now succeeded before most people even admitted there was a problem.

Fortunately, Senator Obama failed, not our military. We rejected the audacity of hopelessness, and we were right.

Violence in Iraq fell to such low levels for such a long time that Senator Obama, detecting the success he never believed possible, falsely claimed that he'd always predicted it. There have been almost no sectarian killings in Baghdad for more than 13 weeks. American casualties are at the lowest levels recorded in this war.

The Iraqi army is stronger and fighting harder. The Iraqi government has met most of the benchmarks for political progress we demanded of them. And the nation's largest Sunni party recently rejoined the government. In Iraq, we are no longer on the doorstep of defeat, but on the road to victory.

(APPLAUSE)

Senator Obama said just this week that even knowing what he knows today, that he would still -- still would have opposed the surge. In retrospect, given the opportunity to choose between failure and success, he chose failure. I cannot conceive a commander in chief making that choice.

My friends, a new hope is rising in Iraq today. Across the country, Iraqis are preparing for upcoming provincial elections, and security has improved enough to permit the Iraqi government to begin seriously providing services and opportunities to the Iraqi people.

This progress is encouraging, but it's reversible. If we heed those who have always counseled defeat, when they now argue to risk our fragile gains and withdraw from Iraq according to a politically expedient timetable, rather than the advice from the commanders who so brilliantly led the stunning turn-around in our situation in Iraq.

I said that the surge has succeeded, and it has. That's why the additional surge brigades are almost all home. I said we can win, and we will. I'm confident we will be able to reduce our forces in Iraq next year, and our forces will be out of regular combat operations, and dramatically reduce the number during the term of the next president of the United States.

I don't know -- I think you know who I'm referring to.

(APPLAUSE)

We fought the worst battles, survived the toughest threats, and the hardest part of this war is behind us. But it's not over yet. And we've come too far, we've sacrificed too much to risk everything we've gained and all we could yet gain because the politics of the hour make defeat the more convenient position.

Because of the choice we made and all the surge has accomplished, the time will soon come when our troops can come home. But we face another choice today. We can withdraw when we have secured the peace and the gains we have sacrificed so much to achieve or save, or we can follow Senator Obama's unconditional withdrawal and risk losing the peace, even if that results in spreading violence and a third Iraqi war.

Senator Obama has suggested he would consider sending troops back if that happened. When I bring them home in victory, and with honor, they are staying home.

(APPLAUSE)

Senator Obama might dismiss defeat in Iraq as the current president's problem. Presidents don't lose wars. Nations do. And presidents don't fight wars. You do, the men and women of the greatest fighting force in the history of the world.

The sacrifices you've made deserve to be -- to be memorialized in something more lasting than bronze or in the fleeting effect of a politician's speeches. Your value, your devotion have earned your country's abiding concern for your welfare. And when our government forgets our debts to you, it is a stain upon America's honor.

The Walter Reed scandal recalled not just the government but the people who elected to our responsibility, to those who risk life and limb to meet their responsibilities to us. Those who have borne the burden of our war for our sake must be treated fairly and expeditiously as they seek compensation for disability or illness. They must be treated that way.

(APPLAUSE)

We owe them compassion, knowledge and hands-on care in their transition to civilian life. We owe them training, rehabilitation and education. We owe their families, parents and caregivers our concern, our support and our love. They should never be deprived of quality medical care and mental health care coverage for illness or injury incurred as a result of their service to our country.

As president, I will ensure that those who serve today and those who have served in the past have access to the highest quality health, mental health and rehabilitative care in the world.

(APPLAUSE)

I want to promise you the disgrace of Walter Reed will not be forgotten. I will never forget it, nor will we accept a situation in which veterans are denied access to care due to great travel distances, backlogs of appointments, and years of pending disability evaluation and claims.

In addition to strengthening in the VA, we should give our veterans the option to use a simple plastic card to receive timely and accessible care at a convenient location, through a provider of their choosing.

(APPLAUSE)

I will not stand for requiring veterans to make an appointment, to make an appointment, to stand in line, to make an appointment, to stand in line for substandard care.

(APPLAUSE)

To stand in line for substandard care of the injuries you have suffered to keep our country safe.

Whatever our commitments to veterans' costs, we will keep them, as you have kept every commitment to us. The honor of a great nation is at stake here.

Let me close by expressing my gratitude for the contributions that Hispanic-Americans have made to the security of the country that I have served all my adult life.

I represent Arizona, where Spanish was spoken before English was, and where the character and prosperity of our state owes much to Arizonans of Hispanic descent who live there.

(APPLAUSE)

And I know that this country, which I love more than almost anything, would be poorer were we deprived of the patriotism, industry and decency of those millions of Americans whose families came here from Mexico, Central and South America. When you take the solemn stroll along that wall of black granite on the National Mall, it's hard not to notice the many names such as Rodriguez, Hernandez and Lopez that so sadly adorn it.

When you visit Iraq and Afghanistan, you meet some of the thousands of Hispanic-Americans who serve there. And many of those who risk their lives to protect the rest of us do not yet possess the rights and privileges of full citizens in the country they love so well.

(APPLAUSE)

To love your country, as many of us discovered in Vietnam, is to love your countrymen as well. Those men and women are my brothers and sisters, my fellow Americans. An association that means more to me than any other. As a private citizen or as president, I will never, never do anything to dishonor our obligations to them and their families.

No story better exemplifies the sacrifices Hispanic-Americans have made for our country than the story of Roy Benavidez.

(APPLAUSE)

I've told it before. And this won't be the last time I tell it. All Americans need to hear it.

Roy Benavidez was the son of a Texas sharecropper, a seventh grade dropout who suffered the humiliation of being constantly taunted as a "dumb Mexican." He grew up to become a master sergeant in the Green Berets and served in Vietnam. He was a member of that rare class of warriors whose service was so honorable and so brave that they're privileged to wear the Congressional Medal of Honor. He was decorated by Ronald Reagan, who said that if the story of his heroism were a movie, you wouldn't believe it.

On May 2, 1968, in an outpost near the Cambodian border, Sergeant Benavidez listened on his radio as the voice of a terrified American, part of a 12-man patrol surrounded by a North Vietnamese battalion, pleaded to be rescued. Armed with only a knife, Roy jumped into a helicopter and took off with a three-man crew to rescue his trapped comrades.

When they arrived at the battle, the enemy was too numerous for the helicopter to evacuate the surrounded soldiers. It had to land 75 yards away from their position.

After making the sign of the cross, Sergeant Benavidez jumped out of the helicopter as it hovered 10 feet above the ground and ran towards his comrades, carrying his knife and a medic bag. He was shot almost immediately. But he got up and he kept moving.

A grenade knocked him down again, shrapnel tearing into his face. He got up and kept moving.

Reaching the Americans' position, he found four men dead and all the others badly wounded. He armed himself with an enemy rifle and began to treat the wounded, distribute ammunition and call in air strikes. He was shot again.

He then ordered the helicopter to come in closer as he dragged the dead and wounded aboard. After he got all the wounded aboard, he ran back to retrieve classified documents from the body of a fallen soldier.

He was shot in the stomach, and grenade fragments cut into his back. He got up and kept moving and made it back to the helicopter.

The pilot was shot and the helicopter crashed. Roy pulled the wounded from the wreckage and radioed for air strikes and another helicopter.

He kept fighting until air support arrived. He was shot several more times before a second helicopter landed.

As he was carrying a wounded man toward it, a North Vietnamese soldier clubbed him with his rifle and stabbed him with a bayonet. Sergeant Benavidez fought him hand-to-hand to death.

After rescuing three more soldiers, he was finally flown with them to safety. Bleeding profusely, completely immobile, a doctor thought him to be dead.

Roy was placed in a body bag before anyone discovered he was still alive. He spent a year in hospitals recovering from seven serious gunshot wounds, 28 shrapnel wounds, and bayonet wounds in both arms.

My friends, it took 13 years for Roy Benavidez to receive his Medal of Honor. But it didn't seem to matter to him.

He stayed in the Army. The war and his forgotten heroism never embittered him. He spent his retirement counseling troubled kids and encouraging them to stay in school and off drugs.

"I'm proud to be an American," Roy Benavidez said, as he lay dying in a San Antonio hospital 10 years ago.

May God bless his soul and may Americans, all Americans, be very proud that Roy Benavidez was one of us.

(APPLAUSE)

I wouldn't want to live in a country that didn't recognize how much we needed such a good man. I prefer to live in a bigger place. I prefer to live in a growing America as proud of its variety as it is of the ideals that unite us. I prefer to live in a hopeful country. I prefer to live in Roy Benavidez America.

Thank you very much.

(APPLAUSE)