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Auto Industry: Government Help Essential; DHL Express Layoffs; Obama Vows to Help Veterans; 58 Unaccounted for After Hurricane Ike
Aired November 10, 2008 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BETTY NGUYEN, CNN ANCHOR: ISSUE #1, the economy and lots going on today. One firm's rescue gets revived.
Automakers, they seek their own economic engine, while thousands of jobs get shipped out at DHL.
Plus, the exclusive White House tour. The Bushes give the Obamas a look at where they are going to be living.
It is Monday, November 10th.
Hello, everybody. I'm Betty Nguyen. Heidi Collins is on assignment. And you are in the CNN NEWSROOM.
All right. Waking up and watching the market. We've all been doing a whole lot of that lately. And this morning, there is some optimism. The reason? China's bold move to jumpstart its slowing economy.
It's a massive stimulus package with major impact. Markets surge in Europe and Asia. Japan's Nikkei closed up 5.8 percent. China's Shanghai composite soared 7.3 percent.
And in the U.S. a new bailout for insurance giant, AIG. The original deal funded by taxpayers, has been one of the most controversial by the Bush administration. Well, under the new terms, $400 billion of your money buys a partial ownership.
And heartbreak in the homeland. An Ohio town faces devastating layoffs from the area's largest employer. DHL Express eliminates thousands of jobs as it shuts down air and ground operations in the U.S.
Another large employer also pulling the plug. Circuit City, America's second largest electronics retail company, filed for Chapter 11 bankruptcy this morning. The company says it will keep doing business and pay its workers while it restructures debt and its business operations.
Well, we have a whole lot of ground to cover today. And CNN's money team is in place to break it all down for you. So let's begin with this, the layoffs announced today with DHL.
CNN's Christine Romans joins us now in New York. This is really troubling to hear, especially on the heels of all this other economic news. CHRISTINE ROMANS, CNN CORRESPONDENT: That's right. The company is actually saying, the challenging economic environment in the U.S. is something that -- was a big driver for this decision. They've been trying to figure out how to cut costs and this is how they will do it.
They will exit their U.S. domestic -- U.S. express business. That means thousands of jobs will be lost. Some 9500 jobs are on the chopping block. They've already eliminated 5,400 so far this year.
They will close all of their U.S. hubs for this domestic business. They will reduce the number of stations overall and they are going to end that domestic business. Now this still means that they're going to have a lot of people, 25,000 employees, in the United States who will focus on the international business and some of the other businesses of the company.
But it -- this is going to be drivers, shipping clerks, warehouse clerks. These are jobs that will be eliminated. And this plan goes into effect by January 30. So just a few more months for some of these folks.
And there are some towns that are going to be pretty hard hit. You know there's a town in Ohio where -- where this is, you know, 8,000 jobs there. It's a town with only 12,000 or 13, 000 people. This is a company -- a company that is very, very active in some of these towns. So it's going to be something that -- that will clearly, clearly be felt in the heartland.
NGUYEN: Yes. And shutting down its U.S. operations, air and ground operation here that's huge.
You know, another troubled insurer, AIG, got a bit of a different deal today, shall we say.
ROMANS: That's right. And it's our money. And this is the ever changing bailout, rescue plan, of Wall Street, right? That controversial AIG $85 billion September bailout. Then AIG needed more money, some $35 or so billion later.
Now the government says -- government and the company say they are completely redoing the bailout now. It's worth about 150 overall. And part of that will be the government buying a $40 billion stake directly into AIG. That would come from the $700 billion bailout plan that Congress approved.
The Fed sort of restructuring the initial loan to lower the interest rates dramatically and the Treasury is demanding some limits on pay and actually freezing the size of the bonus pool for the top 70 executives.
You know, this was a controversial bailout in the beginning. And now word that is changing dramatically what the bailout actually looks like. We've been saying it and optimists would this is the government and industry working closely together to change as the market conditions are changing, and pessimist would say this looks a little bit like flying blind with taxpayer money. The government says that it's hoping that it will have a return for taxpayers on this and that it will -- will be able to exit from this relationship and let this be completely a private enterprise once again.
And AIG is saying, its CEOs saying today that this is -- this is demonstrating that the company is on the road to recovery. And we'll point out that it lost billions and billions of dollars in its most recent quarterly profit report.
NGUYEN: Yes.
ROMANS: This was...
NGUYEN: And it's also important...
ROMANS: ... quarterly loss report really.
NGUYEN: Yes. To point out that the original deal with $85 billion, new one is $150 billion...
ROMANS: That's right.
NGUYEN: ... of our money.
One last thing. Let's talk quickly about Circuit City. Big news there today.
ROMANS: Yes. And we've been watching some of these -- some of these stores already closed. People have already been laid off there now.
Circuit City is filing for Chapter 11 bankruptcy. That allows the company to try to reorganize, to try to -- you know, under protection from the courts, to try to figure out which creditors to pay, how to -- how to get itself back on its feet, to try to emerge on the other side.
But indeed this is -- we've already seen lots and lots of jobs lost from this company and stores closing and it is an example, Betty, of a very tough retail environment. The consumer is strapped, consumers are pulling back. There's nothing more discretionary than -- consumer electronics. And so -- so this company is -- has been facing trouble for some time.
NGUYEN: And we are headed into holiday season. We'll see how that plays out.
Thank you, Christine Romans.
ROMANS: You're welcome.
NGUYEN: Just part of the CNN money team.
You know we also have crews on the way to Wilmington, Ohio. The first report coming from Allan Chernoff. We hope to hear from him just as early as the next hour. So stay tuned for that.
We also want to go to Wall Street for the opening bell at the bottom of the hour. Our Stephanie Elam just about, hmm, 25 minutes away. So stick around for that.
And just a matter of hours, President-elect Barack Obama sets foot in the Oval Office for the first time. Also, on tap, a private chat with the man currently occupying it.
CNN's Elaine Quijano now with a preview.
(BEGIN VIDEOTAPE)
ELAINE QUIJANO, CNN WHITE HOUSE CORRESPONDENT (voice over): Democrat Barack Obama and Republican George Bush will come together today for the start of a time honored tradition of American democracy -- the transfer of presidential power.
This year it is steeped in history. The first transition post 9/11. The first African-American president-elect.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: It will be a searing sight to watch President Obama, his wife Michelle, and their beautiful girls step through the doors of the White House. I know millions of Americans will be overcome with pride at this inspiring moment that so many have waited so long.
QUIJANO: Just as George Bush did with Bill Clinton in December of 2000.
BUSH: I am humbled and honored, and I can't thank the president enough for his hospitality. He didn't need to do this.
QUIJANO: The incoming president will have a chance to seek advice from his predecessor.
SEN. BARACK OBAMA (D), PRESIDENT-ELECT: I'm going to go in there with a spirited bipartisanship.
QUIJANO: This time, as President Bush sits down with President- elect Obama in the Oval Office, the two will have a full agenda.
BUSH: We face economic challenges will not pause to let a new president settle in. We're going to struggle against violent extremists determined to attack us. And they would like nothing more than to exploit this period of change to harm the American people.
QUIJANO: The two leaders will also have the delicate task of balancing decision-making and consultation in the coming weeks.
OBAMA: The United States has only one government and one president at a time. And until January 20th of next year, that government is the current administration.
(END VIDEOTAPE)
NGUYEN: And CNN's Elaine Quijano joins us now live from the White House.
Also, (INAUDIBLE) a chance for the current and future first ladies to meet. What do you know about that?
QUIJANO: Well, that's right. Laura Bush and Michelle Obama, as their spouses will confer in the Oval Office, are going to meet and take a tour of the private residence. And this will really be an opportunity for Michelle Obama to get a closer look at the place that is going to become home for the Obama family.
We should also mention the White House is saying that daughters Sasha and Malia will not be here for that tour. But certainly officials here are also saying that they very much look forward to welcoming them soon -- Betty?
NGUYEN: Absolutely. There's lots of really neat things for them in the White House. What, a bowling alley, a movie theater, all kinds of stuff like that.
QUIJANO: Absolutely. And you know, it's interesting, though, to note at the same time, and I have heard this from people who have actually taken a tour, that it very much like a museum.
That is something that I think is lost on a lot of people, that even though you have a great staff, you have pretty much anything you could ever want, if you are the first family, at the same time you have to remember this is, in fact, the people's house. So there's a certain amount of decorum, a little bit formality, certainly, even on the private residence side, of course -- Betty?
NGUYEN: Nonetheless, an exciting time for the Obamas.
All right, thank you, Elaine.
You know, we have seen him as candidate. We've gotten to know him a little as a husband and a father. Well, now we are learning about Barack Obama, president-elect. And there are certain moments that tell us a lot about who he is.
Valerie Jarrett, Obama's friend and transition team co-chair, talked with CNN's Don Lemon about the Obama family.
(BEGIN VIDEOTAPE)
VALERIE JARRETT, CO-CHAIR, OBAMA TRANSITION TEAM: They were just an extraordinary couple. They're kindred spirit. They are each other's best friend. And, you know, I've watched him hurry to get back in the car in the evening so he has a chance to talk to the girls before he goes to bed and just...
DON LEMON, CNN ANCHOR (on camera): We saw them -- him running down the stairs of the airplane recently to -- so he could hurry up and see his wife and kids just recently.
JARRETT: That's actually a very good story. When we were traveling this last weekend before Election Day. I -- we were -- Senator Obama and I were in Las Vegas and we flew to Iowa -- to Ohio for the day. And we flew into Ohio. We were sitting on the tarmac waiting for Michelle and the girls to arrive. And he was busy reading the newspaper and then he was on his BlackBerry and he didn't notice that they had arrived.
And so I said, Barack, look out the window. And he looked out the window. And there is Malia and Sasha playing out on the tarmac. And the look on his face when he saw those two girls lit up. And he said, you know, they lighten me. They -- make me feel whole. They make me feel so well loved.
And the rest of the week it was just terrific, and having Michelle and the girls along just made all the difference in the world.
(END VIDEOTAPE)
NGUYEN: And we're going to hear from President-elect Obama's so- called inner circle, Penny Pritzker, businesswoman and philanthropist and Obama's national finance chair, also John Rogers, long-time friend and Illinois finance chair. The people who helped shape Barack Obama, the man and the politician.
That's a little bit later on in NEWSROOM.
In the meantime, though, fierce winds, heavy rains and mudslides. Hurricane Paloma's calling card for the Caymans and Bahamas. Boy, the hardest hit area, though, was Cuba. Hundreds of homes just leveled. More than a million people evacuated. And so far, we have heard of no deaths. Well, today, the one-time category 4 storm is a little more than just a rainmaker.
Today we are expecting, though, a lot of snow across the country. Meteorologist Reynolds Wolf is in the severe weather center.
OK, we are not even to mid November. But we got the snow falling down.
(WEATHER REPORT)
NGUYEN: All right. We'll be looking forward to it.
Thank you, Reynolds.
WOLF: You bet.
NGUYEN: You know they are the lucky ones. The young survivors of a school building collapse. They have some wounds that will heal but others that just won't.
(COMMERCIAL BREAK)
ANNOUNCER: Breaking news, revealing developments, see for yourself in the CNN NEWSROOM.
NGUYEN: The death toll has risen above 90. But hope fades for finding more survivors after a school building collapse in Haiti.
CNN's David Mattingly has the latest from the town of Petionville.
(BEGIN VIDEOTAPE)
DAVID MATTINGLY, CNN CORRESPONDENT (voice over): It was a moment when hearts aching for hope took over. U.S. and French search and rescue teams temporarily stopped working. Then Haitian firemen and volunteers jumped in with hammers and shovels, until police move them back.
More than 48 hours after the collapse of the three-story school building, a U.N. spokesman says early estimates of 100 to 200 buried in the rubble were wrong. The true number may be a fraction of that.
But for the young survivors their pain and their tears do not go away. Some struggle with wounds that may last a lifetime.
"My sister was buried with me. She says, Linda, are you going to let me die here? But I could do nothing for her."
This 12-year-old girl struggled to free herself. But her sister died in the rubble. Children say the collapse came without warning.
"As I was walking, a student pulled me out of the way of the falling blocks."
This 10-year-old is alive only because classmates pulled him to safety. Authorities blame poor construction for the collapse. The owner of the school is in police custody.
"When you build a building an engineer should know how much material it takes to build and how many people the building can hold."
Most of the survivors have severe cuts, broken arms and legs and ribs. Doctors wrap the wounds and bandages and wait for young bodies to heal.
(on camera): This is the largest public hospital in Port-Au- Prince. After the disaster, many of the injured children were brought here and you can see many of them still remain on the mend.
It's very hot today. These are open air wards. There's no air conditioning. Many family members are visiting, trying to provide as much comfort for their children as they possibly can.
(voice over): Church groups gathered in the wards to give thanks and offer prayers of healing. Despite of their pain, these children are the fortunate ones. But for the other families, hopes are fading. The loss of young life means the end of so many plans and dreams in a country where sometimes that's all people have.
David Mattingly, CNN, Petionville, Haiti.
(END VIDEOTAPE) NGUYEN: Devastating story there.
Well, you know, it's also a day of mourning tomorrow in Russia's port city of Vladivostok. Twenty people died Saturday aboard a new nuclear submarine base there. Toxic gas was pumped into their section during a test run in the Sea of Japan.
Experts say that overcrowding and human error may have played a role in that accident. The sub had nearly triple number of people allowed onboard.
Listen to this story. A father shot to death by his 8-year-old son? The family's parish now dealing with the tragedy.
(BEGIN VIDEO CLIP)
REV. JOHN PAUL SAUTER, ST. JOHN THE BAPTIST CATHOLIC CHURCH: I think there's a fund for both families. Excuse me.
(END VIDEO CLIP)
NGUYEN: Why today will be so difficult to get through.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
COL. RANDY KIRKVOLD, U.S. ARMY: Hi, I'm Colonel Randy Kirkvold from Kabul, Afghanistan. And I want to give a shoutout to a couple of great veterans in Sioux Falls, South Dakota, my uncle Frank Harges(ph), my cousin, Doug Kirkvold, and a good friend of mine, Jack Wald(ph) (INAUDIBLE) veteran.
I also want to thank the VFW Post 628 of Sioux Falls for the great work that they do with the veterans. Thanks a lot.
(END VIDEO CLIP)
NGUYEN: Well, the search is back on for a Florida toddler named Caylee Anthony. She's been missing for five months now. And this weekend more than a thousand volunteers combed through two parks near Orlando International Airport and the woods near her grandparents' home.
The little girl's mom, Casey Anthony, is facing several charges, including first-degree murder, even though a body has not been found.
Well, a quiet Arizona community is just devastated after an 8- year-old is charged with killing his dad and another man. That boy is expected in court today, the same day family members will bury his dad.
Joe Dana has now more from the city of St. Johns. He's with CNN affiliate KYNX.
(BEGIN VIDEOTAPE) JOE DANA, KTNX REPORTER (voice over): Sunday mass at the Romero family's church in St. Johns, a time for the community to draw strength from faith and each other.
KAREN VAUGHN, CHURCH PARISHIONER: The message was to pray for each other and to keep the closeness of our community.
DANA: The service was led by Father John Paul Sauter who recently presided over the wedding of the now deceased 29-year-old Vince Romero. According to the Associated Press, Romero has taught his son how to shoot a rifle.
Police say Wednesday at the family's home, for reasons still unknown, the boy opened fire, shooting several times, killing Romero and Romero's co-workers who was renting a room at the house.
The tragedy difficult to bear for the family's religious leader.
SAUTER: I there's a -- fund for both families. Excuse me.
DANA: The 8-year-old boy is now in custody of the county. Friday a judge ruled the boy's mother and grandmother have visitation rights. Police say social workers will likely be counseling with the third grader to understand the psychological state he was in at the time of the shooting.
VAUGHN: I don't think we'll ever know why and it baffles the community. But we'll all pull together.
DANA: Pulling together in support of a prominent well-respected family.
SAUTER: It's just very -- good religious people, OK?
(END VIDEOTAPE)
NGUYEN: Well, police had charged the boy as a minor with two counts of premeditated murder.
He campaigned on a promise to help cut taxes. But now that Barack Obama has been elected president, can he deliver? And what happen if he doesn't? It is our "Memo to the President."
(COMMERCIAL BREAK)
NGUYEN: Bailout. Job losses. Big ripple effects all across the economy. So how will Wall Street react? We have new numbers coming in from the big board.
(COMMERCIAL BREAK)
NGUYEN: Stocks are coming off yet another devastating week, losing $500 billion in value over the past five sessions. But today we are gearing up for a nice rebound.
Stephanie Elam is at the New York Stock Exchange with a preview. We're still waiting for that opening bell. We'll see how it plays out, but there's been some negative news today already with DHL.
STEPHANIE ELAM, CNN BUSINESS CORRESPONDENT: Already. And you're right, Betty. But actually we're set for a rebound here in the U.S. but it's not just here. Stocks all around the world are kicking off the week with strong gains.
In Tokyo, the Nikkei soared to nearly 6 percent. And most European markets are now up more than 2 percent.
Investors are encouraged by a massive $586 billion economic stimulus package in China. That's aimed at helping the global economy head off a recession.
I think we're getting close to the bell now.
And here in the U.S., the government is giving insurer AIG another boost to the tune of $40 billion. In return the Treasury will get personal ownership of AIG and bonuses for the company's top 70 executives will be frozen.
The announcement comes on the same day that AIG reported a more than $24 billion quarterly loss. AIG shares are soaring more than 45 percent in pre-market trading. Excuse me, but also reporting a huge loss.
Fannie Mae, the government-controlled mortgage company, lost $29 billion in the past three months as mortgages -- default mortgages, I should say, continue to rise. And then, there are more job cuts. This is what you're talking about here, Betty. This time at DHL, the delivery company. It's cutting 9500 jobs and it's closing all DHL Express centers in the United States.
Meanwhile, Circuit City filed for bankruptcy. Last week, the nation's second biggest electronics retailer said it would close more than 150 stores. Now that we've got some trading going on, let's check the numbers. And like what you've said that would happen. We got a little bit of a rally.
The Dow up 130 points, 9073. Nasdaq better by almost 2 percent at this time. Also, oil, it's jumping three bucks to about $64 a barrel, Betty. So, hopefully, we will hold on to these gains for the day. Back to you.
NGUYEN: Yes, let's keep that rally going. Thank you. We do appreciate it, Stephanie.
All right. Americans' money crisis. So, is one of its top industries on the road to ruin? Or recovery? The nation's automaker says their very survival may depend on a government bailout. Execs from Chrysler, Ford and General Motors delivered that message last week to congressional leaders.
Now, over the weekend, top Democrats asked the Bush administration to provide that aid and they want the $700 billion bailout funded by taxpayers to also help out these car companies. We will continue to follow that. But, another big blow this morning to the nation's rising unemployment. As Stephanie just mentioned, DHL Express eliminates thousands of jobs in a single blow. CNN's Christine Romans is "Right on Your Money." She joins us now, live.
Christine, OK, we understand DHL is shutting down its service here in the U.S., correct?
ROMANS: That's right. It's going to continue its international operations so you'll be able to send packages from the United States to its international locations. So, there's some 25,000 jobs that will be preserved under that. But the company has already announced 5400 job cuts earlier this year. Those jobs have been eliminated now. 9500 more job cuts. And they are closing all of their hubs and a good portion of their stations. This will affect delivery drivers and warehouse clerks and shipping agents and the like.
So, this is the end of its U.S. domestic only service. The company saying it is doing this to prepare the company for the economic challenges ahead. And we know that there are significant economic challenges. Just in the past three months, we have seen job losses across the spectrum, Betty, really accelerate.
You had some 100,000 jobs lost in construction just over the past three months. 111,000 lost in retail, just over three months. You've seen more than 200,000 manufacturing jobs disappear just over the past three months. So, there is a feeling among many economist that we are seeing an acceleration of some of the -- of the poor conditions in the labor market. That's going to continue into next year. And stories like DHL just sort of feed into that.
The economic challenges in this country mean that companies are having to downsize their operations or in the case of DHL having to eliminate their U.S. only domestic air and ground operations, altogether.
NGUYEN: And so, that we don't add to the fear, we want to make clear that it is DHL Express that we're talking about.
ROMANS: Right. That's right. And that it's its U.S. -- U.S. air and ground freight within the United States business, it still will be operating on an international basis.
NGUYEN: All right. What about Circuit City and the bankruptcy there? Because we are hearing a lot more about that today.
ROMANS: That's right. Another 700 jobs expected to be lost there. We've already been hearing in dribs and drabs of store closures and layoffs from this company for some time. This is the second largest consumer electronics retailer, competing with Best Buy. And this is a company -- I mean, maybe in your backyard and some other backyards, you probably noticed that this store has already been closing. This company has already been closing stores.
Now, that its filed for Chapter 11 bankruptcy, that essentially gives the company a little bit of breathing room so that it can figure out a schedule by which to pay its creditors, to pay the money that it owes and then figure out how it can go on from here. And the company says it expects to be remain in operation through the holiday season. So, that's something that will affect consumers.
But something on the retail front, you know. I mentioned those job losses over the past three months or so. There is a changing face of the American mall. We've seen many of these stores pulling back. They're not either -- they either not expanding as quickly or they are closing stores at your mall and that is two fold.
That means, it affects you as the consumer, but it also affects you if you are trying to get part time retail help. I think that a lot of folks who have been relying on part-time help over the holidays to boost their income are going to have trouble finding those part- time jobs this year.
NGUYEN: You know, that's a good point. And some people really haven't thought about it just yet. Especially with holiday season coming up. You would imagine that, that that might be eliminated, especially with the demand. But there may not be as much of a demand this year.
ROMANS: That's absolutely right. Everybody knows a teacher or someone who relies on that part-time work, you know, to sort of get them, get them over the hump at the end of the year. It might be a little tougher this time around.
NGUYEN: All right. Christine Romans, preparing us for what's to come. Thank you.
ROMANS: You're welcome.
NGUYEN: All right, President-elect Barack Obama campaign on some bold promises. And just weeks before inauguration, can he afford not to deliver? Can we, as a nation, afford if he does deliver. CNN's Brianna Keilar has a memo to President-elect.
(BEGIN VIDEOTAPE)
BRIANNA KEILAR, CNN CORRESPONDENT (voice-over): Mr. President, on the campaign trail, you made trillion dollar promises -- tax cuts for the middle class, health care reform, a renewable energy revolution. But now, keeping those promises depends on Congress.
UNIDENTIFIED FEMALE: The House will be in order.
KEILAR: On your fellow Democrats like Steny Hoyer, the number two Democrat in the House.
(on camera): Can Democrats deliver on those promises.
REP. STENY HOYER (D), MAJORITY LEADER: Democrats are certainly going to try. But Democrats also have to manage expectations.
KEILAR: The problem, not enough money. Especially after that $700 billion Wall Street bailout and national debt quickly approaching $11 trillion. Democrats will have to again break their rules at every new program needs to be paid for.
HOYER: Everybody understands, conservatives, moderates, liberals, Republican economist, Democratic economist, understand that in the short term confronted with an economic crisis, that you try to stimulate the economy. And you do that by deficit spending.
KEILAR: The good news, the checkbook is open. Because Congress wants to put money in American's pockets with that big tax cut you promised.
ETHAN SIEGAL, THE WASHINGTON EXCHANGE: Well, I think the danger in not delivering on the tax cut is that Democrats lose seats in the 2010 mid-term congressional elections. Voters have to take it out on somebody. They can't take it out on Obama initially. So, they will take it out on Democrats.
KEILAR: But corralling votes here might not be easy. A lot of the newly elected Democrats are conservative, tight-fisted with taxpayer money.
SIEGAL: Many of these new seats, they picked up in the House and the Senate are in areas that generally vote Republican, which means this is not a San Francisco Democrat.
(END VIDEOTAPE)
KEILAR: Another roadblock, predictions are the economy won't be getting better any time soon. And that threatens President-Elect Obama's huge promise of health care reform. If it happens at all, Betty, it's more likely to come in small incremental stages and not one sweeping inexpensive one.
NGUYEN: Well, which leads to this question, though, Brianna. You said the checkbook is open for spending, but how long, realistically?
KEILAR: Well, Mr. Hoyer told me 12 to 24 months for things that will spur economic growth. And then, Congress is going to have to buckle down. But as some experts we spoke to, put the window at much shorter. They said there is room for things like green energy infrastructure, things that create jobs, but they said Congress is going to have to tighten its belt a whole lot sooner than one to two years away.
NGUYEN: All right. CNN's Brianna Keilar joining us live. Thank you, Brianna.
In a Baghdad neighborhood, three bombs explode within minutes, killing at least 30 people, according to Iraqi officials. Although, U.S. officials are putting a much lower number.
Now, here's what we do understand happened. Officials say early this morning, a car parked in a marketplace exploded. Soon after, a second car blew up. And then as a crowd gathered around the wreckage officials say a suicide bomber attacked. Dozens of people were also injured in that. Remembering those who have served in the nation's military. It's not just a priority on this Veterans Day, but a mission for an incoming president.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
LT. COL. JOHN JONES, U.S. ARMY: This is Lt. Col. John Jones from Kabul, Afghanistan. I would like to wish a Happy Veterans Day to my father, John Jones, from Hampton, Virginia.
(END VIDEO CLIP)
NGUYEN: Well, tomorrow is Veterans Day. But far from the parades and marching bands, nearly 200,000 vets quietly live on our streets. Without homes and often without hope. A struggle to survive in the nation that they vowed to protect. In our holiday series, "Veterans in Focus," photojournalist Emmanuel Tambakakis introduces us to one veteran who now has a place of his own.
(BEGIN VIDEOTAPE)
UNIDENTIFIED FEMALE: There are $2.
UNIDENTIFIED MALE: Yes, I got no money.
SAM TSEMBERIS, FOUNDER AND EXECUTIVE DIRECTOR OF PATHWAYS TO HOUSING: Veterans Day is always about --
UNIDENTIFIED MALE: It's an important day for me.
UNIDENTIFIED MALE: Unless we forget.
UNIDENTIFIED MALE: The world forgets the veterans.
TSEMBERIS: Among the homeless population, about 20 percent are veterans.
UNIDENTIFIED MALE: So, I joined the Navy in 1972.
TSEMBERIS: I'm Sam Tsemberis.
UNIDENTIFIED MALE: My name is Joe Boyle (ph).
UNIDENTIFIED MALE: I'm the founder and executive director of Pathways to Housing.
UNIDENTIFIED MALE: (INAUDIBLE). I penalize things.
TSEMBERIS: They are in shelters. They're in drop-in centers. They're in emergency rooms. They're in jails. They have never had a moment of privacy.
UNIDENTIFIED MALE: (INAUDIBLE), I was homeless about 15 years.
UNIDENTIFIED MALE: It is all public space, crowded conditions.
UNIDENTIFIED MALE: That was part about being alone; you're just trying to find a place to sleep at night. It could be a park, bench. It could be anywhere. You guys can sleep with one eye open and watch your back.
I never thought (INAUDIBLE). I was hoping somebody would hand it for me. I finally found Pathways to Housing. And they gave me a beautiful apartment. But I have trouble being by myself.
TSEMBERIS: He needs assistance. Because he had issues with rule following --
UNIDENTIFIED MALE: I have been in programs.
TSEMBERIS: Such as sobriety or mandatory treatment.
UNIDENTIFIED MALE: Drug programs.
TSEMBERIS: In order to get into most housing programs for people who need help, he would have remained on the street forever.
UNIDENTIFIED MALE: Psychiatric hospitals.
TSEMBERIS: And we figured out a way to quickly house them, put them in housing first and then provide services for them.
UNIDENTIFIED MALE: Ever since I got my apartment, I feel like I can do anything.
TSEMBERIS: Veterans have made that contribution, and that as a society, as a country, as a government, we ought to honor that that.
UNIDENTIFIED MALE: For the first time in my life, I'm happy.
(END VIDEOTAPE)
NGUYEN: Well, for more stories like that one, log on to cnn.com and check out our special "Veterans in Focus" section.
"Impact your World." For more information on how you can donate to the causes. All you have to do is go to cnn.com/impact.
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NGUYEN: Tomorrow is Veterans Day. A time to remember those who serve in the nation's military. Many say they have been largely forgotten and they are hoping Barack Obama will make good on his pledge to address their needs.
CNN's Kate Bolduan has the story.
(BEGIN VIDEOTAPE)
TODD BOWERS, IRAQ WAR VETERAN: This is the one in a million that, you know, is basically why I'm still standing here today, but you can see literally where the bullet went.
KATE BOLDUAN, CNN NATIONAL CORRESPONDENT (voice-over): During Todd Bowers' second tour of duty in Iraq, he narrowly missed death by less than an inch. He knows how much veterans risk.
BOWERS: It is so critical for the American public to understand that the sacrifices that we make to keep our country in this amazing place where we are.
BOLDUAN: Bill Crandell served in a very different war, Vietnam.
BILL CRANDELL, VIETNAM WAR VETERAN: There's a very long time when it felt like just yesterday.
BOLDUAN: But like Bowers, Crandell hopes this administration is a new opportunity to refocus attention on their priorities like revamping the Department of Veterans Affairs.
CRANDELL: There's a tendency of presidents and their staff to see this as basically an operation that you don't have to pay attention to. It really takes a lot more attention than that.
BOLDUAN: President-elect Barack Obama campaigned on a promise to help the country's service members.
OBAMA: We must ensure that our brave troops serving abroad today become the backbone of our middle class at home tomorrow.
BOLDUAN: So, what should be top priority for the Obama administration? Bowers says better funding overall for the VA is key in helping the thousands of aging veterans and the thousands more new veterans returning from Iraq and Afghanistan. And the care they need isn't just for physical wounds. Veterans also want more attention to mental health issues.
CRANDELL: The VA has always had something of a bias towards visible injuries. You can't see that somebody is emotionally disabled.
BOLDUAN: Another priority, fully implementing the new GI bill which expands veterans' education benefits. But even with wars raging in Iraq and Afghanistan, there's concern among veterans that these issues will get pushed aside.
BOWERS: The economy overshadowed the conflicts in Iraq and Afghanistan, and veterans returning from those conflicts as a whole. But one of the things that we know for a fact is that investing in veterans is investing in our country in the future.
BOLDUAN (on camera): The first decision for Obama is leadership. Who will be the next secretary of Veterans Affairs? Two names considered real possibilities are Max Cleland who held the position in the Carter administration and Tammy Duckworth, an Iraq war vet, who is the director of the Illinois Department of Veterans Affairs.
Kate Bolduan, CNN, Washington. (END VIDEOTAPE)
NGUYEN: A group is honoring veterans who gave their lives. And doing it one red ribbon at a time. They are placing the ribbons on veterans' head stones at Fort Sam Houston National Cemetery in Texas. For one volunteer, it is personal. Her dad, a marine, is buried there.
(BEGIN VIDEO CLIP)
JILL HENNIGAN, VOLUNTEER: You're talking about people that really have served the country, you know. And you're doing something -- you're giving back to their families basically. But it's really emotional just looking at it, all the red.
JOYCE BUIE, ORGANIZER: I have never served in the military. I have never done anything that's great for this country. I wanted to do something.
(END VIDEO CLIP)
NGUYEN: The Red Ribbon Corps hopes their campaign will catch on nationally. So, if you want more information, here is the Web site, www.redribboncorps.org.
Veterans Day, it is a day to honor and to remember. Join Heidi Collins for CNN NEWSROOM, live, from the deck of the intrepid tomorrow. You're going to hear amazing stories from wounded vets and families of fallen soldiers. Coverage begins at 9:00 a.m. Eastern.
Well, a search shows no signs of ending soon. Two months after Hurricane Ike hit, dozens of people still missing.
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NGUYEN: The convicted felon being questioned in the horrific triple killings involving singer Jennifer Hudson's family could soon be back on the street. WGN Sean Lewis is live in Lockport, Illinois.
What's the latest in this case?
SEAN LEWIS, WGN CORRESPONDENT: Well, good morning, Betty. That hearing is set to begin in about 10 minutes. It's up to investigators in this case to show that William Balfour, as you said the estranged husband of Julia Hudson, Jennifer Hudson's sister is in fact has violated his parole enough and that they have enough evidence in this case to show that he should be kept here at the Stateville Correctional Center for a 1999 conviction for attempted murder.
Now Balfour is related to Jennifer Hudson. He's the estranged brother-in-law. Their mother, brother, and Julia's 7-year-old son were killed just last month. Just hours later, Balfour was picked up by Chicago police on Chicago's west side in the case. But he has not been charged yet. And that is why they brought him here to the state prison. By using that parole violation, they can hold him for up to 30 days while investigators continue to look at evidence. Balfour told police, though, that he was at the Hudson Family home the morning of the murders, but that he was not involved.
Now, if the board decides that Balfour violated his parole, he will have to serve out the rest of that 1999 sentence for attempted murder. But if they find that he in fact did not violate his parole, he can go free. In fact, he could go free as soon as later today. We're live outside of the Stateville Correctional facility -- yes, go ahead.
NGUYEN: I wanted to ask you very quickly. I know the gun that was used in those killings has been found. What do you know about that part of the investigation?
LEWIS: That part of the investigation is still up in the air. They found the gun that was used near the area in the west side of Chicago where Julian Hudson was found inside of a white SUV. But as far as right now, they have not determined that William Balfour is connected to this case.
And in fact, if they have, you would assume that Chicago police would have already charged him in this case. Right now, he is just been here, just southwest of Chicago being held on the parole violation. And it takes a while to do the testing, though. For ballistics, it takes about two weeks or so. So, perhaps they're still looking at that, still trying to make a determination on if William Balfour is connected here. Right now, he said that he was actually on the west side of Chicago at his girlfriend's house when the murders happened, babysitting.
NGUYEN: OK. All right. WGN, Sean Lewis, with more information for today. Thank you, Sean.
You know, two months since Hurricane Ike, and now signs of the storm still around. Cleanup continues in the hardest hit areas of coastal Texas, and so does the search for the missing. As many as 670 residents were reported missing after the storm hit. And as of today, 59 still unaccounted for.
(BEGIN VIDEO CLIP)
BOB WALCUTT, LAURA RECOVERY CENTER: Family members have called us. They said, you know, they were in the Galveston area, but they were homeless, so we really don't have a permanent residence or anything. We really don't know if they were physically even here. And some of the cases may never be solved for the simple fact that we don't really know if they were ever actually in Galveston.
(END VIDEO CLIP)
NGUYEN: Volunteers say their search will go on until every person is accounted for.
Checking out his new office. The Oval Office, that is. President-elect Obama heads to the White House.
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NGUYEN: The Obama campaign raised more money than any other in history. He had some very powerful and passionate supporters. Two in particular, John Rogers is Obama's Illinois finance co-chair and long- time friend. Plus, business executive and civic leader Penny Pritzker.
CNN's Don Lemon sat down with them.
(BEGIN VIDEOTAPE)
LEMON: (on camera): Both you and Valerie, very successful businesswomen in their own right, have headed companies. And why would you take the time, you know, out of your life and out of your busy career to follow the dream of this young guy?
PENNY PRITZKER, BUSINESS EXECUTIVE AND CIVIC LEADER: You know, this country has been extraordinary to my family. You know, my family came here as immigrants over 100 years ago. And because of the opportunity available to my family in this country, we have been able to have success. And our country was really not on the path where that kind of opportunity, the protections that our civil liberties and civil rights are affording us, were all being jeopardized.
And to me, it's important for people who can -- everyone from average Americans to those of us who have had some success to stand up and, you know, take hold of our country. And that's what Barack has asked us to do. And so, to me, it was -- it was significant to say yes to help Barack, but it felt very natural and very good.
JOHN ROGERS, OBAMA ILLINOIS FINANCE CO-CHAIR: It's really kind of mind blowing to, you know, call this long-time friend of yours, Mr. President. But what also makes it kind of unique as we all know just four years ago, he was a state senator and you could see him around the neighborhood, and he was just, you know, just a normal up and coming political leader.
Most of the people have become president before have had, you know -- they have been a senator for a long time or governor for a long time, vice president or what have you. And so it's so unique to have someone in such a short period of time go from being your sort of normal friend and up and coming political leader to becoming president.
Now, I think it's great because, of course, he relates so well to the problems of all Americans because he's been living a life of a normal American up until, you know, right now.
(END VIDEOTAPE)
NGUYEN: Another bleak sign in a tough economic time. DHL Express closing operations inside the U.S. This hour, the towns hardest hit.
And the welcome mat out at the White House. President Bush hosts President-elect Obama. It is Monday, November 10th.
Hello, everybody. I'm Betty Nguyen in for Heidi Collins, and you are in the CNN NEWSROOM.
