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Bailout Plan for Beleaguered Homeowners; Sneak Peek Inside the Lives of Malia & Sasha Obama; Interview with Tammy Duckworth
Aired November 11, 2008 - 14:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
(BEGIN VIDEOTAPE)
KYRA PHILLIPS, CNN ANCHOR (voice-over): Home is where the help is. At-risk neighborhoods getting more attention. Banking giant Citigroup announces a $20 billion bailout for beleaguered homeowners.
UNIDENTIFIED FEMALE: There are no front lines in Iraq. So very often we found ourselves engaged by enemy forces.
PHILLIPS: Washington's policies -- a long way from Iraq's realities. Female soldiers facing front line combat. Tammy Duckworth weighs in, too. She knows what gun fights are like, and she's got the Purple Heart to prove it.
Radiant and Rosebud, code names and new digs, a peek inside Sasha and Malia Obama's excellent adventure.
(END VIDEOTAPE)
PHILLIPS: Hello, everyone, I'm Kyra Phillips live at the CNN World Headquarters in Atlanta. And you are live in the CNN NEWSROOM.
For millions of people all over the country, economic disaster hit home a long time. Rescue attempts have been hit or miss, but now they are getting serious. As we speak, the Feds are unveiling plans for so-called mortgage workouts, easier terms for homeowners in over their heads. The banking giant Citigroup is acting on its own. It is putting many foreclosures on hold and trying like never before to keep loans from failing.
AIG is too big to fail, and that is the rationale for a $150 billion government bailout. Today, the insurance giant is defending its spending, in particular a six figure sales conference at a Phoenix resort.
As for the credit crunch, interest rates on bank to bank loans have fallen to historic lows. That is welcomed sign of fuel for a sputtering economy.
Let's start where all the trouble started not so long ago with mortgages. The move by Citigroup is the latest by major lenders to get their own houses in order by helping borrowers keep theirs. CNN's Gerri Willis joining me here in the NEWSROOM to run the numbers and explain what they could mean for you.
OK, Gerri, let's begin with help, as a homeowner, why don't we start with Citibank?
GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: That's right. Citibank has a new program out there for homeowners. They're proactively going out into the communities, right now, contacting 500,000 half a million homeowners, and offering them new loans, more affordable loans. Now, I have to tell you, Citi is not the only bank in the country doing this. Bank of America is doing it, and all of them are trying to do it now, because they are getting money from the federal government.
And I think they feel a little guilty, they have to put something back into the community. But if you are a Citibank mortgage holder, you might want to pro-activity call them and talk to them about this program. It's very interesting and it really could help a lot of people out there.
PHILLIPS: And do I dare ask about Fannie and Freddie?
WILLIS: There is a new program.
PHILLIPS: OK.
WILLIS: Yet another program; Fannie Mae and Freddie Mac they are coming out with a new program. This one could be very interesting. It would take your mortgage payment, your mortgage loan and reduce it to 38 percent of your monthly income. Think about that. That is the affordability level for people out there. That could make a very big difference for folks out there.
We are just getting details of this now, but it could be a very interesting program. And of course, Freddie Mac and Fannie Mae, they stand right at the center of the mortgage industry and they have the ability to touch lots of lives. That has been the problem with a lot of these programs so far is that they just have not gotten up to speed. The numbers are not that impressive yet, when you consider millions of Americans are worried about foreclosure.
PHILLIPS: You see that, lowering principles, reducing interest rates, extending loans. All right, what if I'm a homeowner facing foreclosure? Do all those plans necessarily apply to me?
WILLIS: Well, not everything is starting tomorrow. So you maybe having trouble today and be worried about losing your home today. Call your bank, yet again, even if you have been turned down. Even if you have been turned down for help so far, a new program may be out there that can help you. You definitely want to talk to them.
Also, get some counseling help. NFCC.org, a great Web site to go to. You can get a credit counselor. Because let's face it, if you are having trouble paying your mortgage, you may be having paying other bills. Your financial problems may be bigger than your mortgage. So get help there.
And also HUD.gov, that is the Department of Housing and Urban Development. These are the folks that are administering many of these programs that we have been talking about. They have counselors in local areas. Maybe in your neighborhood, who can consult with you and tell you the best program to go to for your problem. So you have got to get local help. You have to reach out. Call someone if you are in trouble today.
PHILLIPS: Interesting, so if the bank turns you down, you can actually go back and may?
WILLIS: These programs are changing every month. They announcing something new. Trying to reach out and help people. I know it is frustrating, because you have to often fill out a lot of paperwork.
PHILLIPS: Right.
WILLIS: But if you have been turned down before, call again to your lender.
PHILLIPS: Say, Hey, do I have another shot?
WILLIS: Right.
PHILLIPS: OK, Gerri Willis, great to see you.
WILLIS: Good to see you.
PHILLIPS: And one more sign of the changing economic times, American Express is becoming a bank. That will allow the struggling charge card company to take deposits from account holders and tap into low-cost financing from the Fed. Late last month, the company laid off about $7,000 people, 10 percent of its workforce.
I know what you are thinking, how is the LIBOR? Pretty good, actually. The London Interbank offered rate is a key gauge of credit flow and global markets. Just last month, at the height of the freeze, the overnight LIBOR, the average rate banks were charging one another for overnight loans, was almost 7 percent. This week it is under one half of 1 percent which is an all-time low.
Three days in the sun has thrown the insurance colossus AIG into the hot seat. The firm is insisting that a sales conference last week in Phoenix was a legitimate business, not a fat cat retreat. But given its $150-billion government bailout, any signs of lavish spending is raising eyebrows and blood pressures on Capitol Hill. CNN's Allan Chernoff on the story in New York.
Allan, is this a question of appearances or you think something else?
ALLAN CHERNOFF, CNN SR. CORRESPONDENT: Kyra, this is a question of how AIG can conduct normal business without getting slammed with criticism. AIG as you mentioned is receiving tens of billions of dollars in aid from the federal government, bailout money, and indeed, now, Uncle Sam owns 80 percent of AIG. Well, last week, as you said, AIG held a conference in Phoenix. It was for financial planners. It was held at a very nice resort, the Hilton Squaw Peak Hotel. And this, as I said, was for financial planners, but have a look at these pictures and Congressmen Elijah Cummings, did as well. And it certainly got him steamed up. He is highly critical of this. Let's have a listen to what he said this morning on "AMERICAN MORNING."
(BEGIN VIDEO CLIP)
REP. ELIJAH CUMMINGS, (D) MARYLAND: These guys don't get it. They came to us, basically saying that we are on the critical list, we need a respirator, and we bail them out. And the next thing you know we turn around and they are going out partying and spending the taxpayers' dollars. It is kind of -- it is very upsetting.
(END VIDEO CLIP)
CHERNOFF: The congressman sent a letter this morning to the new chief executive of AIG, and that letter said, quote, "AIG can take a first step by accepting your resignation from the positions of chairman and chief executive officer." Keep in mind that Edward Liddy was put in as part of this federal bailout of AIG. He has been in place only for a few weeks, and his job is to sell off many divisions to help pay back Uncle Sam. Anyhow, AIG says that all of the criticism, especially from the congressman, is simply unfair.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: I can understand why the congressman would be upset, but I think that he is responding to an incomplete picture. This was a legitimate meeting. It was really for independent advisers and very list cost to AIG.
(END VIDEO CLIP)
CHERNOFF: In fact, AIG says that the conference was held not for AIG employees for outside financial planners to help educate them about AIG products, such as insurance, annuities and products that generate, according to AIG $200 million a year in sales. So they say it was really a profit generator for AIG. They also say that 93 percent of the cost of this conference was covered by sponsors, such as MorningStar, and other financial service companies, and that AIG paid less than $25,000.
In fact, Terry Bradshaw, the former quarterback, was supposed to be a motivational speaker, he was canceled, the cost wasn't going to be covered by AIG, according to the company. Nonetheless for appearance sake, they say that they canceled that.
And AIG also put out a statement saying, quote, "We take very seriously our commitment to aggressively manage meeting costs."
Kyra, during the past hour - last hour, we did talk about the idea that perhaps AIG might want to think about maybe holding future conferences at Motel 6. Well, we checked. Our managing editor Jay Kernes (ph) e-mailed me, and indeed, yes, there is a Motel 6 in Phoenix.
PHILLIPS: There is. And how much is it a night? That's follow- up two.
(LAUGHTER)
CHERNOFF: It is a lot less than the Hilton.
PHILLIPS: OK, I'll look back and thank Jay for that, personally.
All right, thanks, Allan. Thank you.
Well, the story has a lot of you asking a lot of questions. And tonight, well, you'll get the answers from the man in charge. AIG Chief Executive Officer Edward Liddy in an exclusive interview on "LARRY KING LIVE", that's tonight, 9:00 Eastern, only on CNN>
Let's go straight to Wall Street now to see how investors are reacting to all of this. Stephanie Elam at the New York Stock Exchange.
Hey, Steph, do you stay at Motel 6s?
STEPHANIE ELAM, CNN CORRESPONDENT: I do not. And I know you are not shocked to hear that in any way shape or form.
PHILLIPS: I know how classy your husband is. OK, we digress. I'm sorry.
ELAM: Oh, we digress. And I'm going to get some text messages about that one, I know it.
All right. Stocks, right now, though, they are taking it on the chin today, especially auto and financial stocks. It is also near the end of earning season and investors are not encouraged by the guidance most companies are giving for next year.
Starbucks actually falls into that category. It is saying it's income fell 97 percent last quarter. It also lowered it's outlook for next year and cut plans to opening up new stores around the world. And GM stock, General Motors shares are sliding another 13 percent today falling to a 65-year low. GM is dealing with a firestorm of bad news. Today, the company warned its former parts division, Delphi, may never emerge from bankruptcy, echoing warnings that its financing arm may not survive.
So, with all of that in mind, let's go ahead and check the numbers. The Dow off 192 and it is actually well off the lows of the day. We were off 310 at one point. So 8676 there. Nasdaq off 35 at 1581. We will keep our eyes on it, Kyra, and see if certain stocks are moving today. Maybe Motel 6, you know, we'll look into it.
(LAUGHTER)
PHILLIPS: Now that we have given them a big national plug. Right?
ELAM: Exactly.
PHILLIPS: That is going to be the hip place to go. All right.
ELAM: Right.
PHILLIPS: Thanks, Steph.
Well, straight ahead, thank you. Two simple words used by the outgoing commander and chief to mark Veterans Day. And on the Hudson River, in New York City, President Bush rededicated the U.S.S. Intrepid, itself, a battle-hardened veteran of World War II. Take a listen.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: These noble Americans are our sons and daughters, they are our fathers and mothers, they are our family and they are our friends. They leave home to do the work of patriots, and they lead lives of quiet dignity when they return.
Today, we send a clear message to all who have worn the uniform, thank you for your courage. Thank you for your sacrifice. And thank you for standing up when your nation needed you most.
(END VIDEO CLIP)
PHILLIPS: Well, the president also looked back on his eight years as commander in chief. He says what he will miss the most about the presidency is leading quote, "Such a fabulous group of men and women, those who wear the uniform of the United States military.
Mr. Bush's second in command was at Arlington National Cemetery. Vice President Dick Cheney laying the wreath at the Tomb of the Unknowns. Vice President Cheney acknowledged the U.S. is still a nation at war, but said Americans are safer than they were just after 9/11. The tomb honors the countless Americans who have died in war without their remains being identified.
The future vice president is also paying tribute to America's troops. Including his own son, an emotional Joe Biden bowed his head at a ceremony in New Castle, Delaware, his home state. He paid special tribute to the National Guardsman troops and Reservists. His son, a captain in the Army National Guard, is currently deployed to Iraq.
First they were troops, now they are citizens. We'll go live to San Diego to tell you about their swearing in ceremony.
And once he goes to work in the Oval Office Barack Obama can undo some of the decisions President Bush has made in the last eight years. We are going to take a closer look at what might be changing through the power of executive orders.
(COMMERCIAL BREAK)
PHILLIPS: Well, if you want proof that the U.S. military is among the most diverse in the world, just look to an aircraft carrier docked off of San Diego. That is where dozens of fighting men and women have won a special victory, and CNN's Chris Lawrence is there.
Hi, Chris.
CHRIS LAWRENCE, CNN CORRESPONDENT: Hi, Kyra.
You know, you spent a lot of time around the military and you know it is just a fascinating thing to think that some of these young men have already been awarded not one, but two Purple Hearts. And yet, it is only today, they are becoming citizens of the United States.
This ceremony was very emotional for some of the service members. It really speaks to the incredible diversity of American forces. In just this crowd alone, 133 sailors, Marines, airmen and soldiers, it represented about 35 countries from Ghana to Guatemala, Vietnam, to Venezuela and Kenya, Egypt, the People's Republic of China, all represented here, all taking the oath of allegiance for the first time and saying the pledge of allegiance for the first time as U.S. citizens.
Now, what these - these are permanent legal residents of the United States. They have all been serving in the armed forces and their applications for naturalization were fast tracked through the system so they could quickly become U.S. citizens.
A lot of people may not be aware, but that is a huge part of the American military, well over 30,000 non-U.S. citizens right now are serving in the U.S. armed forces, Kyra.
PHILLIPS: Well, Chris, where do these vets think that Obama wants them deployed? I can imagine that Barack Obama was a topic of conversation.
LAWRENCE: Exactly. You know I talked to several of the young Marines. They think, and they look at some of the statements that President-Elect Obama said during the debates. They look at some of his policy papers that have been put out. And they talk about it. They say they feel - I asked one young Marine, who has been deployed three times to Iraq, since this election, do you think you will be deployed there again? He says, no, I don't think so. He believes, and he says a lot of other Marines believe they are headed to Afghanistan. And he actually told me that, he says, a lot of Marines agree with that.
He told me that he feels that at this point, they don't need as many people in Iraq. They look at the situation there. And he told me, there are Marines -- and as he called them, Army guys -- in his words -- getting whooped in Afghanistan. And he feels like there is a real need and real desire among a lot of Marines to get over there and get into what they consider a more of the fight, the current fight.
So, again, these guys, they are paying a lot of attention to the election, and they believe overall, that they are headed to Afghanistan, Kyra.
PHILLIPS: Well, Chris, there is a lot of great history behind that carrier. Go down, just below where you are, right now. Get in that F-18 simulator and tell me how you do, OK?
LAWRENCE: Oh, yes, sure will.
PHILLIPS: All right. I'll be waiting. Thanks, Chris.
Well, President-elect Obama is honoring America's fallen troops on this Veterans Day. He laid a wreath this morning at a veteran's memorial in Chicago. With him was Illinois director of Veteran Affairs Tammy Duckworth, and Iraq war veteran who lost both her legs. And with 70 days to go before he is sworn in, the president to be is busy putting together his leadership team. While no Cabinet appointments are expected this week the Obama team could be announcing some key staff appoints as early as today.
And once he takes the oat of office Barack Obama can undo some of President's Bush's controversial decisions with the stroke of a pen. So, which ones will he target?
Here's CNN's Jim Acosta.
(BEGIN VIDEOTAPE)
JIM ACOSTA, CNN CORRESPONDENT (voice over): Barack Obama and George Bush took those historic steps at the White House, the president elect wasn't just there to measure the drapes. He and his transition planners are taking aim at a slew of presidential executive orders issued by Mr. Bush during his eight years in office.
DANA PERINO, WHITE HOUSE PRESS SECRETARY: Every president has the prerogative to change policies, that is nothing unusual.
ACOSTA: Change is putting it mildly. The Obama team plans to reverse many Bush policies, like the ban on federal funding for embryonic stem-cell research and the plan to open up oil and gas drilling in previously protected areas in Utah.
JOHN PODESTA, OBAMA TRANSITION TEAM: Across the board, on stem cell research, on a number of areas, you will see that the Bush administration even today moving aggressively to do things that I think are probably not in the interest of the country.
ACOSTA: Advocates for the embryonic stem-cell research cheered that statement, saying new funding is critically needed in the fight against Parkinson's disease.
AMY COMSTOCK RICK, COALITION FOR ADVANCEMENT OF MED. RESEARCH: We have every reason to believe that if not on day one, in very shortly order, they will be issuing an executive order rescinding this policy.
ACOSTA: But reversing presidential policy isn't that new. One order, issued by President Bush that blocks funding to foreign aid groups that provide abortion counseling was actually a reversal of the Clinton administration's policy, which was a reversal from the Reagan administration. JONATHAN TURLEY, GEORGE WASHINGTON UNIVERSITY: Until President Obama gets rid of all these executive orders, he will be sharing his presidency with his predecessor, now that is a particularly obnoxious thought for an administration that was elected for change.
ACOSTA: Then there is President Bush's controversial sue of so- called signing statements to declare his disapproval of portions of laws passed by Congress. During the campaign Obama accused Bush of misusing those statements.
SEN. BARACK OBAMA (D), PRESIDENT-ELECT: I believe in the Constitution and I will obey the Constitution of the United States. We are not going to use signing statements as a way of doing and end-run around Congress.
ACOSTA (on camera): One of the thorniest issues awaiting the new president is Guantanamo. Obama is under pressure to use an executive order to close the prison for suspected terrorists. Obama had promised to do so as a candidate, he now has to figure out how to do it as president.
Jim Acosta, CNN, Washington.
(END VIDEOTAPE)
PHILLIPS: The Obamas have to figure out the best way to get their kids settled in. making the White House a home. We are going to look at how some other first families have helped their children adjust.
And women in combat. It is against Pentagon policy, but it has happened in Iraq. A new film tells the story.
(COMMERCIAL BREAK)
PHILLIPS: Well, on the weather map, a mess across much of the nation's midsection. That system is moving think the region, dumping heavy rain on the Dallas/Ft. Worth area overnight, causing a lot of flash floods. And then some drivers who got caught in the high water actually found themselves stranded.
In Arlington, authorities briefly shut down a section of Interstate 30. That storm system is bringing snow to parts of the Midwest and the Rocky Mountain states as well.
These scenes in Strasburg, that is just east of Denver, and forecasters say in the Colorado Mountains there is a chance for snow every day through Friday. So ski resorts, including Vail, could get several inches.
(WEATHER FORECAST)
PHILLIPS: They are the new kids on the block in Washington. We will look at Sasha and Malia Obama's new life in the White House and how other presidential kids have adjusted. And carving a life into stone, turning a slab of granite into a foundation of honor. You'll meet the people who helped mark the final resting place for the America's war dead.
(COMMERCIAL BREAK)
PHILLIPS: It's 2:28 Eastern Time right now, here are some the stories we are working on in the CNN NEWSROOM.
More help on the way for homeowners with delinquent mortgages. The government is expected to announce a new home aid plan for those mortgages once held by Fannie Mae and Freddie Mac. One official says it would streamline the assistance process on hundreds of thousands of loans.
And turning now to the New York Stock Exchange, it has not been a good day for the Dow, currently, the Dow industrials down 60 points.
He is back, but that he ever went away. Senator John McCain is making the first post election TV appearance tonight, joining host Jay Leno on "The Tonight Show" in honor of Veterans Day.
Well, they will be the next kids running through halls of the White House. Malia and Sasha Obama face quite an adjustment in January, but mom and president-elect dad already working hard on a smooth family transition.
Here is CNN's Deborah Feyerick.
(BEGIN VIDEOTAPE)
DEBORAH FEYERICK, CNN CORRESPONDENT (voice over): There is Renegade and Renaissance, Radiance and Rosebud, new names for a new family moving into their new house. The code names given be Secret Service are no longer secret now that the security transmissions are encrypted.
SALLY QUINN, "THE WASHINGTON POST": It is always amazing how the Secret Service manages to come up with names that are appropriate.
FEYERICK: For the Obamas there is lots to do before January, when they move into the White House . First there is the issue of schools for fifth grader Malia and second grade Sasha. The girls, who got a ride from their dad Monday morning, currently attend private school in Chicago. When the Clintons first moved to Washington they opted for private school for 12-year-old daughter Chelsea. Nine-year- old first daughter Amy Carter was sent to public schools. And it won't be just the four Obama's moving in. The girl's grandmother who helped care for them during the campaign will also come, as will a new best friend.
OBAMA: And you have earned the new puppy that is coming with us to the White House.
FEYERICK: Not everyone brings a puppy. Caroline Kennedy brought her pony, Macaroni. Teddy Roosevelt's kids snuck their pony, Algonquin, into the White House to cheer up a sick brother. With so much extra security around the family, that is unlikely to happen.
QUINN: All of the kids who have lived in the White House have always gotten very used to the Secret Service. And in fact, have become great friends with them.
FEYERICK: The Obamas will set up house on the second and third floors. The girls can even attend dinners like Amy Carter did with heads of state, though it is unlikely they will bring a book.
And while the girls are likely to spend a lot of time inside, there's lots to do like private pool parties, hide and seek, maybe even ride a bike like another former resident.
QUINN: It really is like "Eloise at the Plaza." These two girls are going to find so many wonderful things to explore and so many rooms and so much history. It is very much a home up on the second floor. It is very cozy up there.
FEYERICK (on camera): And of course, the family can always get away from it all by escaping to Camp David where the girls can run around as much as they want and be kids, not first, not famous, just kids.
Deborah Feyerick, CNN, New York.
(END VIDEOTAPE)
PHILLIPS: And the good news is gas prices are way down. The bad news, that could mean a return of gas guzzlers and a new appetite for the open road. Could a gas tax be the answer? CNNMoney.com's Poppy Harlow has our Energy Fix from New York.
Hey, Poppy.
POPPY HARLOW, CNNMONEY.COM: Hey, Kyra.
Well, if it was the answer, Kyra, it would not be a very popular one I don't think. But when gas prices hit more than 4 bucks a gallon over the summer, Americans certainly drove less and they stopped buying those gas guzzling SUVs. Now gas prices are down to a national average of $2.20. There is a sign that the trend is reversing. Big question, could the Hummer make a comeback?
I don't know. One thing that could happen, a $1 increase in the gas tax that we already pay. That would ensure that gas prices would stay above 3 bucks a gallon. The benefit of that, when Americans drive less, there is less stress on roads and bridges, greenhouse gas emissions are cut, less of our money ends up going overseas to OPEC and other oil-producing nations. Also, it curves consumption which may help prevent paying down the road by boosting our oil supply. Kyra, that would help keep some prices in check. I just don't know how many people would like the idea.
PHILLIPS: I can understand that. But in this economy I can't imagine a tax like this would be very popular. HARLOW: It is not. And an article by Steve Hargreaves about this went on our site. The responses have been interesting. Take a listen to what some of the readers have said.
One reader said, "It is unfair to those who don't live in a city where public transportation is an option." Vince from Holland, Ohio, says, "I have a 26-mile commute to work everyday. That is as much a result as where I live as it is the poor economy, which makes working closer to home pretty difficult."
Another writer suggested some offshore drilling, but not a gas tax.
But some do support the tax. This comes from Herschel in New York. Take a look there. He says, "A gas tax would be the single best thing the government could do for our future. It will provide a stable pricing basis for entrepreneurs to invest in alternatives."
I wonder if Herschel lives in New York City and I wonder if he has ever even owned a car. That is the question -- he does live in New York.
By the way, none of the politicians that were contacted by CNNMoney, Kyra, said they would support a gas tax, that is because they don't think many people would support it, but it is an option -- Kyra.
PHILLIPS: All right. Poppy Harlow, thank you so much.
HARLOW: Sure.
PHILLIPS: A name on a wall, a name on a grave, so much more than words for veterans and their families. They are an enduring testament to a life of service and sacrifice. And right now, you will meet the people who carve those veteran's memorials, who carve those countless headstones, whose work helps American veterans find a final resting place. People like Milze Rose Jr., 85 years old, retired from the army, and the granddaddy of our producer, Valerie Butler. Mills joins me on the phone right now.
Hi, Milze.
MILZE ROSE, JR., U.S. ARMY (RET).: Hello.
PHILLIPS: I'm so glad you could join us, granddaddy. Your wonderful granddaughter was talking about you in the morning meeting today and she talked about how for years you have cut these slabs of marble and stone to help to remember those lives lost. And I am curious to know this whole philosophy of life into stone.
What does it mean to you?
ROSE: It means very much. It means very much to me. It is a craft that is lasting and it is beautiful. And when it is finished, it will last forever it seems like, you know. It is as old as the hills that come out of the ground. And when we get through with it, well, it lasts so long, and the memory is just worth a whole lot to see your own work, what you have done, to go back years after -- even after I'm retired now, I can go back and see some of the work I have done when I was -- in my heyday, you know.
PHILLIPS: Well, Granddaddy Rose, I know you are still in your heyday, even though you're in your 80s. We are looking actually at a picture right now from the state fair of Texas where you actually cut these marble slabs and hundreds of names of Vietnam vets.
ROSE: Right on them.
PHILLIPS: Yes. What is it like to walk by this memorial and see what you have built?
ROSE: It makes me feel real good, you know? It just makes me feel real good that I am able to do something that is lasting and helpful in the memory, you know. That just makes me feel -- that makes my day.
PHILLIPS: Well, I will tell you what, today is Veterans Day, you are a vet, we're looking at the memorial that you have created. Tell me just what is going through your mind today as you watch all of the coverage and just think about your life in the military, think about the first African-American president and just the lives that have been lost in wars past and the lives even lost in wars right now.
ROSE: Yes, I will tell you what, it was very educational to me that I went in the service. I know what purpose I went for, and I will tell you what, it was educational to me that whole two years. I had a chance to do some things and go places that I have never been and go through some training that I never would have got had I not been in the service.
I was doing -- I was doing it for the whole country, you know. I went overseas as an (INAUDIBLE) line mechanic. When I got back I was -- they put in 580 (INAUDIBLE) in ammunition. And I went through that, and that was very educational. And so many friends that I met as soldiers, you know, it's just -- I wouldn't change nothing from the journey.
PHILLIPS: Well, Granddaddy Rose, we thank you so much for your time today. We're going to show a little shot now of your granddaughter that I know you are very proud of, Valerie Butler --
ROSE: Oh yes.
PHILLIPS: There she is.
ROSE: Oh yes.
PHILLIPS: She is sending her love to you.
ROSE: I am proud of her, too. (INAUDIBLE)
PHILLIPS: Well, she is doing great things. She makes me look good, granddaddy, let me tell you what.
ROSE: Bless her, and bless you all too for letting this thing happen, you know.
PHILLIPS: Well, we have a special piece for you now. Our CNN photojournalist Bethany Swain (ph) actually put this together and we dedicate it to you. Here we go.
(BEGIN VIDEOTAPE)
UNIDENTIFIED MALE: They call it the granite capital in the world. There is a lot of people on the line that take a lot of pride in their job.
LINDA BEAUDIN, GRANITE INDUSTRIES OF VERMONT: We bring up the shape of the stone. I have to lay them out here on the computer. We have a lot of World War II vets and a lot of Vietnam veterans, too. And then it is sent to the cutter. 1,200, 1,300 a month.
My mom did this for 26 years at Vermont Marble Company, and she is the one that taught me. When she retired, I kind of took over where she left off. They gave their lives for us, and we can give them something back.
UNIDENTIFIED MALE: There is a lot of people that don't know what a granite shed actually does. The guy up top that sticks (ph) the rubber.
BEAUDIN: The rubber stencil.
UNIDENTIFIED MALE: You've got to make sure that the ratios are right so when they are blasting it's going to be even.
UNIDENTIFIED MALE: He should be able to catch any deficiencies there and take it off the line before we ship anything.
UNIDENTIFIED MALE: When I see a lot of younger stones coming in, a lot of younger kids that have been deceased, it is real sad. You definitely get depressed once in a while seeing that.
UNIDENTIFIED MALE: They are about 220 pounds a piece. Arlington is strictly marble. And then it goes to the sandblast. We have one guy that blasts, one guy that runs the sander. He does the top of the round and the two sides. Once he gets that done, he puts it down in the chute, and that comes down to my area.
UNIDENTIFIED MALE: Definitely do good details to make sure that they are done right, when the families do see it. Then, I'd like to think that we do the best possible job for them, so when they come to see it, they are actually pretty proud that the United States is actually looking after their veterans.
UNIDENTIFIED MALE: It is more than a job.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
PHILLIPS: Well they serve their country in the military, winding up in the line of fire. We're going to tell you about a new film on American women in combat.
(COMMERCIAL BREAK)
PHILLIPS: She's an Iraq war veteran who paid a high price serving her country. Tammy Duckworth lost both legs in Iraq when her helicopter that she was piloting went down -- shot down, actually, four years ago. And today, the Illinois Veterans Affairs Director, along with President-elect Barack Obama, laid a wreath in Chicago in honor of Veterans Day. What is next for this brave woman? Taking Obama's seat in the U.S. Senate maybe? Or, accepting a possible offer to be his Director of Veterans affairs.
Let's ask her. Tammy Duckworth joins us live from Chicago.
Actually, Tammy, I was giving you a little hard time during the break, asking you for that first interview if he appoints you Secretary of Veterans Affairs. Your name has been tossed around.
If he were to ask you, what do you think, is that something you'd like to do?
TAMMY DUCKWORTH, ILLINOIS DEPT. OF VETERANS AFFAIRS: Well, you know I have been in the Army 18 years and in those 18 years, when my commander-in-chief calls, I've always run for my helicopter and executed the mission I was given. And I would be deeply honored if President-elect Obama were to call. I don't know that I am even being considered, but my life has always been about service to my nation, whether it was in the National Guard or whether it is here, serving in Illinois as Veterans Affairs Director.
So I would be deeply honored to be considered. But if I'm not, I am perfectly happy taking care of my buddies here in Illinois.
PHILLIPS: Well you know what I just thought about -- forget Marine One, you could fly the president around and be his Secretary of Veterans Affairs. It could be a two-fer.
DUCKWORTH: That would be a sweet deal indeed, absolutely.
PHILLIPS: All right. Who knows? We never thought we would see what was going on right now in this country, so that could be a first.
But if indeed, you were selected, tell me what -- how you want the president-elect to go forward when it comes to veterans' affairs. Because we have covered the mishaps and the alleged corruption and all of the mistakes that were made, and also we saw what happened at the various hospitals and the bad conditions that they were in and how soldiers weren't getting money for surgeries, et cetera.
So, what would be the first thing on your plate if you were to sit down with Barack Obama and say, OK, this is what you are going to need to tackle with regard to veterans affairs? DUCKWORTH: Well you know, I think President-elect Obama already has a record of fighting for our vets. After all, he is on the Senate Veterans Affairs Committee that I testified in front of several times. He co-sponsored the new G.I. Bill which was the greatest increase in veterans' benefits since Vietnam. He has already talked about the need to eliminate this crazy long backlog that we have of veterans waiting for their benefits.
We also need to make sure that the Federal V.A. has the budget that it needs to take care of all of its vets. Somebody like me, if I go in, I can get the help that I need immediately, but there are many other veterans who have to wait three months for an appointment, eight months for an appointment. I know one veteran was given a two year wait, a 24 month wait, for a hearing test. And that is simply not acceptable.
So we have a lot of work to do. The Federal V.A. is facing an increasing in Vietnam veterans coming back in now that they are retiring and losing their employer-provided health care, and all of these young vets and the first generation of combat vets who are women. So there are a lot of challenges, and I know President-elect Obama is committed to the challenges.
PHILLIPS: Tammy, let me ask you also, there is an empty Senate seat now there in Illinois. Your name has come up with regard to that position as well. Is that something that would interest you?
DUCKWORTH: Again, I would be honored to be considered. These are decisions that are being made as we say in the Army, above my pay grade. I love taking care of my vets in Illinois. I would be deeply honored to serve. As I said, Senator Obama does sits on the Veterans Affairs Committee and I have been taking care of Illinois' vets for the last two years. We have instituted many new, first in the nation programs like our PTSD-TBI, Illinois Warrior Assistance Program, as well as homeless programs as well as medical care.
So we have a lot here in Illinois that we could bring to the national level, but if that doesn't happen, I'm perfectly happy taking care of my vets here in Illinois. We've got 1.2 million of them and certainly there is a lot of work to be done here at home as well.
PHILLIPS: Well, Tammy, let me ask you, you are one of those vets -- it's been four years since you lost your legs when your helo was shot down. What are you thinking about this Veterans Day? What goes through your mind when you wake up on this day every year?
DUCKWORTH: Well, tomorrow is actually the anniversary of my alive day, which is the exact four-year anniversary. I was shotdown on November 12th of 2004. And this morning, like every morning, when I wake up, I say a small prayer of thanks for all of the men and women who took care of me. Dan Milburg (ph), Chief Foreign Officer Dan Milburg who carried me out off of my helicopter, the pilot in command of my aircraft and my hero. My unit is actually redeployed right now.
PHILLIPS: Wow. DUCKWORTH: And Dan and my crew are actually back in Iraq. My door gunner is actually learning to become a helicopter pilot right now at Fort Rucker, Alabama. And so today, I think about all of the men and women who are fighting for our freedoms right now, who are defending our Constitution, who have answered the call of this nation. It just rededicates me every single day.
I am grateful to be alive. I couldn't have been here without my buddies. And I am going to continue to serve them the best way I can.
PHILLIPS: And I have a feeling great things are in store for you. So promise me that interview, if he indeed he appoints you the Secretary of Veterans Affairs, because it will be my honor to sit down with you Tammy Duckworth.
DUCKWORTH: Thank you.
PHILLIPS: Thanks for your time.
They are the largest land animals on the planet and they are the targets of warring factions in Africa. We're going to tell you what is being done to try and save them.
(COMMERCIAL BREAK)
PHILLIPS: Recently we showed you part of a Lisa Ling report about the danger that elephants face in the African country of Chad. For one thing, warring factions in neighboring Sudan kill elephants for their ivory and partly fund their military campaign. Now, more from Lisa on her encounter with the largest land animal on earth. It is all part of our global investigation, "Planet in Peril: Battle Lines."
(BEGIN VIDEOTAPE)
LISA LING, CNN SPECIAL CORRESPONDENT: I have to say that it is a awesome sight to see these central Africa elephants just roaming in the wild. They're considered to be the largest land-roaming animal on Earth. And this is only one of two places in central Africa, where they still roam freely.
Oh, God. Should we -- Oh, God.
MIKE FAY, WILDLIFE CONSERVATION SOCIETY: Go on, boy. Go on. You're OK.
LING: We're with Mike Fay, who is with Wildlife Conservation Society. And he says at one time there were tens of thousands of these elephants in the park. And in recent years that number has dwindled to, he thinks fewer than a thousand. And that's because poachers and rebels from Sudan have been coming here and attacking these elephants, just for their tusks.
FAY: We're talking you know, about $250,000 probably worth of ivory here. LING: I've been here for the last week and had a really incredible experience on the one hand, but also a devastating experience in that I've seen these massive creatures just out there, and it's a sight that I will never forget.
UNIDENTIFIED MALE: Oh, man, you can't even believe it.
LING: Oh, my God. Whoa!
These animals are just - they're just the coolest animals I've ever seen. But by the same token, I've seen them shot and killed for their tusks while their body just lays there rotting.
Oh, God, the smell is unbelievable.
And it is truly, just a gruesome sight. And we're going to take you directly into the battle to save the African elephant in central Africa, on "Planet in Peril" in December.
(END VIDEOTAPE)
PHILLIPS: Well, be sure to watch the entire two-hour documentary "Planet in Peril: Battle Lines," on December 11th. And you can get more information by going to CNN.com/planetinperil for a behind the scenes look.
Team Sanchez is back there sacking their show, right now.
Rick, what's going on next hour?
RICK SANCHEZ, CNN ANCHOR: Well, you know, a couple of things. We're getting all the segments together and we're also looking at some of the stuff that people are writing to me.
Look at this one. Talentdiva. She says, "No to the bailout for General Motors. This bailout thing is getting ridiculous. What happened to letting businesses succeed or fail on their own." Barack Obama seems to wants it. George Bush says no. What I want is this Colombian free trade deal to go through.
On both counts, unions are very much at play. And we're going to explain how those come into works. I mean, that's the reason Barack Obama doesn't like the Colombian free trade thing. And that's the reason he does like the bailout for GM and Ford and Chrysler.
Now, one other quick thing. Republicans tomorrow are going to be meeting in Miami. Who's going to be the superstar there among all of the governors? Sarah Palin, many would argue. But, what's the strategy? We'll talk about that, as well. We'll be there in just a couple of minutes.
PHILLIPS: Sounds good. See you in a minute.
SANCHEZ: Hold down the fort.
PHILLIPS: I'm trying, Rick. Well, here's someone who definitely knows how to hold down the fort, or blow it up. Without him, we wouldn't be here. Ted Turner, CNN founder, Mouth of the South; whatever you want to call him. He's one great interview.
(COMMERCIAL BREAK)
PHILLIPS: Well, you might be sick of the word maverick by now, but it really does fit a guest who stopped by "AMERICAN MORNING" today. Mr. Ted Turner founded this network and these days he's focused on philanthropy and other ventures. But you can still count on him for a great interview.
Here is Ted's take on banks being bailed out by the government.
(BEGIN VIDEO CLIP)
TED TURNER, CNN FOUNDER: It was a struggle financing CNN, but I did it without ever asking the government for a nickel. In fact, I gave the government $32 million when they were a little short and couldn't pay the dues to the U.N.
JOHN ROBERTS, CNN ANCHOR: A lot of people in this economic community are losing an awful lot of money. Something you know --
TURNER: I've lost a lot, too. We all have.
ROBERTS: Something about -- you lost $7 billion when the dot-com bubble burst after the Time Warner/AOL merger.
How did you not see the dot-com bubble bursting? How did you not see that was all built on --
TURNER: Well, maybe I did. But I couldn't - I was on the board of directors and the founder and I was concerned about the AOL merger. But we didn't know that the books were, the book were cooked. We didn't do enough due diligence.
ROBERTS: Was that the worst business decision of your life?
TURNER: Oh, yes. Absolutely.
(END VIDEO CLIP)
PHILLIPS: Oh, yes. We miss you, Ted. He's out promoting his new memoir by the way, "Call Me Ted."
Their numbers are few and soon they'll all be gone. A photographers quest to document the last surviving World War I veterans. We'll see some of his amazing pictures.
(COMMERCIAL BREAK)
PHILLIPS: Well, take a look at these amazing photos of some of the world's oldest military men, including some who recently died. 108-year-old William Stone served in the British military in World War I. He now lives outside London. Photographer David Dejonge set out to capture those photos before the vets passed away. His project is self-funded. William Seigers (ph), of California, World War I vet, died last year at 106. And Antonio Pueiro (ph), from Massachusetts died last year at 110. If you'd like to learn more about Dejonge's veteran project, just go to CNN.com.
Rick Sanchez is going to take it from here on this Veterans Day. We'll see you back here, tomorrow.
