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American Morning

Palin Still in Spotlight; Plans for Major Reforms after White House Meeting; Another AIG "Junket"; Barack Baby Boom; Ted Turner's New Memoir

Aired November 11, 2008 - 08:00   ET

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


JOHN ROBERTS, CNN ANCHOR: Coming up now to the top of the hour. And dramatic pictures out of south Florida to tell you about this morning. A news helicopter crew safe this morning after a hard landing in Boynton Beach, just south of Palm Beach. You can see the tail split in half from the impact there. CBS affiliate WPEC says its chopper lost power this morning, forcing the pilot down. The pilot and the traffic reporter suffered only minor injuries. Both are being treated at a hospital right now.
Gasoline prices sinking to their lowest level in 21 months. According to AAA, the national average for a gallon of regular is now $2.22. That's down two cents overnight. This the 55th consecutive decrease.

And more than 40 California lawmakers are calling on the state Supreme Court to void Proposition 8 which bans same sex marriage. They contend the revision to the state constitution must first be passed by two-thirds of the legislature before it goes to the voters. Supporters of the proposition call the suits patently frivolous. Some 18,000 same sex marriage hang in the balance.

KIRAN CHETRY, CNN ANCHOR: Well, she is back home in Alaska, but Governor Sarah Palin remains in the national spotlight. John McCain's former running mate says the Republicans lost the election because they couldn't escape President Bush's record. And Palin says that she is open to a run for the big prize four years from now.

(BEGIN VIDEO CLIP)

GOV. SARAH PALIN (R), ALASKA: God, if there is an open door for me somewhere, this is what I always pray. I'm like, don't let me miss the open door. Show me where the open door is. Even if it's just cracked up a little bit, maybe I'll plow right on through that, and maybe prematurely plow through it, but don't let me miss an open door. And if there is an open door in 12 or four years later, and if it's something that is going to be good for my family, for my state, for my nation, an opportunity for me, then I'll plow through that door.

(END VIDEO CLIP)

CHETRY: Palin also said that she neither wanted nor asked for the $150,000 wardrobe the Republican Party bank rolled. Also, a programming note. Wolf Blitzer interviews Governor Palin, tomorrow, on "THE SITUATION ROOM," 6:00 p.m. Eastern time, right here on CNN. ROBERTS: Barack Obama back in Chicago this morning. He's going to take time out from transition business to lay a wreath for Veteran's Day. Yesterday, he made his first visit to the White House as president-elect and got his first look at the Oval Office.

"The New York Times" report that Obama asked President Bush for immediate aid for the struggling auto industry. CNN's Jessica Yellin is live in Chicago for us today.

And Jessica, what can we expect from the President-elect for the rest of this week. We understand, no cabinet announcement. Might he try to fill out his staff a little bit, though?

JESSICA YELLIN, CNN CONGRESSIONAL CORRESPONDENT: We do expect to hear some of his key staff announcements this week, John. And Barack Obama taking more meetings throughout the day today and calls. He talks to his transition chief, John Podesta, throughout the day, everyday.

At that meeting, yesterday, here's one good indication. Robert Gibbs, a man familiar to everyone who watches your show, because he was on it so often during the election. He took some time with Dana Perino, the current White House press secretary. Wonder what that means?

All indications are that Robert Gibbs is going to be the new White House press secretary. Will we be seeing him holding those daily briefings from the White House press briefing room? And that's one of the announcements we would expect to hear this week, as well as whether David Axelrod, Obama's long-time adviser and close friend, will be occupying an office right next to him in the White House.

Could it be one of those famous offices that George Stephanopoulos once occupied, and now is so well-known inside for White House lore. Also, we're waiting to hear who will fill out other key posts right now, especially all those economic positions. Treasury secretary is the big question on everyone's mind. And as you just said, that is not going to be announced until next week at the earliest. They want to wait until after President Bush's big summit is over.

And we would expect his economic team to be announced all at once, perhaps. So, we're going to have to wait a bit longer on that. As you know, Barack Obama said, basically, he is not going to be rushed on this. He was not happy being rushed when we all wanted to know who is the vice presidential pick was. He said, he took his time and it worked out just right -- John.

ROBERTS: Another big question out there is, will it be private or public school for Sasha and Malia. And if its private school, is it going to be Sidwell Friends, will it be Murray, will it be Georgetown Day? When is the decision coming? And what do you think it will be?

YELLIN: Everyone wants to know, is it that or the dog -- that's more important to the American people. Yes, Michelle Obama was in town and took a look at some of the schools. Her daughters are looking at, we're told. Among them, those schools that you've name. No decision yet as we understand it. But, you know, it's not unusual for presidential children to go to private schools, with the security concerns, et cetera. And Chelsea Clinton did. It's a bit of a discussion, but we are waiting to hear. It's about as well-awaited as this cabinet appoints -- John.

ROBERTS: I'll tell you, in just a couple of statements, he endeared himself both to dog lovers and allergy sufferers, when he said, we're going to get that puppy but it's got to be hypoallergenic. Jessica Yellin this morning --

YELLIN: What's your vote?

ROBERTS: Oh, what's my vote? You know, I don't know. I just -- I couldn't tell.

YELLIN: Labradoodle? Labradoodle?

ROBERTS: Yes, but they're not hypoallergenic so much.

YELLIN: That's what my pick.

ROBERTS: Not as much as --

YELLIN: I thought they were.

ROBERTS: Well, not as much as a cavapoo. I don't think. We'll see.

YELLIN: OK.

ROBERTS: Jessica, thanks so much. We will see you again.

CHETRY: Go with the standard poodle. The girls can put tons of little pink bows on its hair. You know, girls love that.

Well, in just 70 days, Joe Biden will take the oath as vice president. A position the constitution says little about, but has taken on different responsibilities throughout history. Alina Cho joins us now with how Biden's role will differ from that of current Vice President Dick Cheney.

ALINA CHO, CNN GENERAL ASSIGNMENT CORRESPONDENT: Hey, there, Kiran.

CHETRY: Hi.

CHO: I'm guessing it will be different. Good morning, everybody.

You know, when people talk about the current Vice President Dick Cheney. One of the longest-running jokes is that Cheney is running the country. Well, Joe Biden has promised he will be a different vice president, but exactly how different? What will his role be as VP?

(BEGIN VIDEOTAPE)

CHO (voice-over): He was chosen for his foreign policy experience. But some who know him best say Joe Biden's greatest asset as vice president will be his candor.

GEORGE MITCHELL (D), FORMER SENATE MAJORITY LEADER: One benefit, above all others that Joe Biden will bring to the new administration, is he will tell President Obama what he thinks, good, bad or indifferent.

SEN. JOSEPH BIDEN (D), VICE PRESIDENT-ELECT: Believe me.

CHO: Friends called Biden persuasive, charming, a man who has mastered the art of aisle crossing. But Biden's tendency to speak his mind unfiltered has gotten him into trouble.

BIDEN: Mark my words, it will not be six months before the world tests Barack Obama like they did John F. Kennedy.

BILL BENNETT, CNN POLITICAL CONTRIBUTOR: He tends to talk as he thinks. So, there's a little bit of what has Forrest Gump's line, "Life is like a box of chocolates. You never know what you're going to get."

CHO: For the past eight years, Dick Cheney has been an influential vice president. Critics argued too much so the subject of jokes.

UNIDENTIFIED MALE: The president can do nothing without checking with the vice president.

CHO: Biden calls Cheney dangerous and says he'll be different.

BIDEN: The primary role of the vice president of the United States of America is to support the president of the United States of America, give that president his or her best judgment.

CHO: Political expert Larry Sabato says Biden could learn from predecessors like al Gore who he says focused too much on pet projects like the environment.

LARRY SABATO, CENTER FOR POLITICS AT UNIVERSITY OF VIRGINIA: You didn't see Vice President Cheney taking on a wide variety of extracurricular assignment. That just doesn't work if you want to be in the inner circle of any administration.

CHO: He says Biden, to be effective, must be in the inner circle.

SABATO: The key to a successful vice presidency is proximity to the president. Biden has been around Washington long enough to know that.

(END VIDEOTAPE)

CHO: You know, as much as people joke that Biden often thinks after he talks. A former senior adviser told me when it counts, Biden actually shows restraint. He is old school loyal. He understands the pecking order, and that, they say, will serve him well as VP.

But one of his greatest assets, some say, is his unique ability to reach across the aisle and work with ideological opposites. Take the late conservative Senator Strom Thurmond. A former adviser told me that Thurmond and Biden disagreed on many issues, maybe all issues. But the two became friends eventually and so much so that Thurmond requested that Biden speak at his funeral.

Another example of this, Bill Bennett, a conservative Republican, as you know well, Kiran, called Biden a friendly Irishman. He says the Irish have an expression, "Charm is the capacity to elicit the answer yes before the question is asked." And he says, Joe Biden has a certain amount of charm. That will serve him well, too.

CHETRY: All right. Good stuff. Thanks, Alina.

CHO: You bet.

ROBERTS: Just a little clarification here. Labradoodles, golden doodles, I guess, some people say up to 90 percent hypoallergenic, so maybe that will make the threshold.

Breaking business news. Struggling homeowners listen up. There may be a new lifeline for people having trouble paying their mortgages. And this time, it's not from the government.

And Barack Obama baby boom. Well, that just kind of rolls out of the tongue. (INAUDIBLE), Barack Obama baby boom. A sudden surge in newborns named after the President-elect. Eight minutes now after the hour.

(COMMERCIAL BREAK)

ROBERTS: Well, trouble brewing. If you're looking for that caffeinated start up -- well, at least that $4 caffeinated start up. Starbucks announcing that it's closing 600 stores. The move coming after its fourth quarter profits almost wiped out by underperforming stores -- weak consumer and big expansion.

So, you can't have a store on every block and not take away business from your other stores.

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Who could afford $4 for a coffee if you can't pay the mortgage?

ROBERTS: Oh, it hurts. It just hurts these days.

ROBERTS: Christine Romans here "Minding Your Business." She joins us now. What do you got?

ROMANS: Well, I'm taking a look at this AIG junket, as its critics have called it. There is an affiliate -- ABC affiliate, KNXZ, is reporting that executives of AIG, just last week, were at a conference in a Posh Phoenix Resort with financial planners. And that the cost of that conference was $343,000, according to this report.

The company, AIG, is saying that all but 90 percent of that will be reimbursed by sponsors and participants of the conference, but it's raising some concerns this morning about taxpayer money going to this big bailout and what are these companies doing now? I would like to say that AIG has not called me back. They have not called us back yet. And, obviously, there has been a lot of concern.

They've already been criticized for having a management retreat before. You could argue that this is how business go. How do you sell insurance products? You sell insurance products to financial planners. And how do you get financial planners to sell your insurance products? You have a big conference at a resort. And you get them all together in one place.

And so, you know, this is what -- they are out there doing, you know, doing business and raising money. But Elijah Cummings, congressman who was on the program a little bit earlier, he's hopping mad about this. He said, this is taxpayer money going to waste and he just doesn't buy it.

ROBERTS: Well, you know, we had Ed Liddy, the newly appointed CEO of AIG in a little while ago, and he said, we're stopping all these junkets. So, obviously, they are not. But he points the one that was really egregious was the hunting excursion, immediately after they got the bullet out.

ROMANS: And I think that they lost a little bit of credibility from that. So, if this is just some standard operating procedure, how do you sell yourself to financial products?

ROBERTS: Yes. You don't go hunt. You don't go hunting for financial planners.

ROMANS: Right. Right. But they've lost a little bit of the benefit of the doubt I think after that.

CHETRY: And before we let you go, people should look in the mail over the next six months, if they have a mortgage from Citibank. It might be some good news.

ROMANS: That's right. There might be some good news from Citibank, if you are not in default yet. But Citibank is going now trying to identify a bunch of people they think could be falling into trouble of falling behind their mortgage, and they're going to try to help you figure out how to stay in your home and not how to fall behind. So, don't throw that letter away.

We hear from people all the time that -- oh, I've been getting a lot of letters, but I just -- I can't bear to read them. If you get your letter from Citibank, Citibank owns your mortgage, don't ignore it. They're trying to help you.

CHETRY: All right.

ROBERTS: If the letter that says send all your money to a bank in Romania, ignore that one.

ROMANS: Yes. And the Nigerian investment scheme. Ignore that one, too, please.

CHETRY: That's usually an e-mail.

ROMANS: Yes, you're right. It's an e-mail.

CHETRY: 12 minutes after the hour.

Baby boom.

They had a special beer and a national holiday. Now Kenyans find a more personal way to pay tribute to Barack Obama.

You are watching the Most News in the Morning.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

CONAN O'BRIEN, HOST, "LATE NIGHT WITH CONAN O'BRIEN": According to a new report, I was reading this today in a paper. Thousands of pregnant mothers in this country are planning to name their baby, Barack. That's true. Yes. Yes, after hearing that Sarah Palin told Bristol, don't even think about it.

(END VIDEO CLIP)

ROBERTS: Welcome back to the Most News in the Morning.

Baby Baracks and mini Michelles have sprung up all over one place, Kenya, as proud parents honor the first African-American president. Nkepile Mabuse got to know some of those families.

(BEGIN VIDEOTAPE)

NKEPILE MABUSE, CNN INTERNATIONAL CORRESPONDENT (voice-over): Meet Barack Obama and his sister, Michelle. The Kenyan twins were born on the day Americans voted for president. Their mother, like many other Kenyans, is excited about Obama's victory and says she wants her son to have the same values as the man he is named after.

And as for her daughter, Michelle, to have a strong character, just like the first-lady-to-be, she says. Kenyan mothers just can't resist naming their newborns after the American President-elect whose father was born in their country. And whose name means "blessing."

The hospital has reportedly delivered more than 40 babies named either Barack Obama or Michelle, following the outcome of the American election. There was even a girl named Baracka Obama. Obama mania has taken over. Last Thursday was a public holiday in Kenya to honor the next president of the United States, and celebrations continued.

(on camera): A local brewery has decided to take full advantage of Obama fever here by producing a beer call "President." A beer its makers say celebrates those who know they can make a difference.

(voice-over): Some Kenyans believe Obama's win will earn them respect on the continent. While these mothers are hoping their Barack Obamas will also one day make the country proud.

Nkepile Mabuse, CNN, Kisumu, Kenya.

(END VIDEOTAPE)

ROBERTS: And there could be a boom of Obama babies here at home as well come July 2009, the result of couples "celebrating" the President-elect's victory last week. That's some celebrating. "The Chicago Tribune" conducting in formal surveys and found support for the idea. One Milwaukee man said that his wife had the idea of celebrating on the floor, to which he responded "Yes, we can."

17 minutes now after the hour.

CHETRY: Double barrel action.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: He says he's a friend to gun owners. And his record is completely contrary to that.

UNIDENTIFIED MALE: They don't want the average American to have the right to defend themselves.

(END VIDEO CLIP)

CHETRY: Gun sales spike after the election, amid fears an Obama administration would push restrictions on firearms.

You're watching the Most News in the Morning.

(COMMERCIAL BREAK)

CHETRY: Welcome back to the Most News in the Morning.

In these tough economic times, there is one group of shop owners doing incredibly well. In the months leading up to the election and in the day since, sales of firearms have reached record levels. And for the most part, they say it has to do with fears of what a new Obama administration may bring. CNN's Kelli Arena is live in Washington with more for us on this.

Hi, Kelli.

KELLI ARENA, CNN JUSTICE CORRESPONDENT: Good morning, Kiran.

You know, across the nation, shop owners say sales have been incredibly brisk, so we went out to talk to folks to see why they are rushing to buy. And it turns out many are afraid of losing their rights.

(BEGIN VIDEOTAPE) ARENA (voice-over): Barack Obama won, and Kyle Lewandowski bought a gun.

KYLE LEWANDOWSKI, GUN BUYER: Every election year, you have to worry about your rights being eroded away a little bit at a time.

ARENA: The Virginia resident is worried that an Obama administration and a Democrat-controlled Congress will pass tough new gun laws. And he's not alone.

BERNIE CONATSER, GUN SHOP OWNER: I was here for Y2k, September 11, then Katrina, and all those were big events and we did notice a spike in business. But nothing on the order of what we're seeing right now.

ARENA: In the days following the election, gun sales went through the roof. Background checks for gun purchases shot up nearly 49 percent from the same time last year.

UNIDENTIFIED MALE: He says he's a friend to gun owners and his record is completely contrary to that.

UNIDENTIFIED MALE: They don't want the average American to have the right to defend themselves.

ARENA: During the campaign, the NRA warned that Obama would be the biggest anti-gun president in American history. This is what Obama has said.

SEN. BARACK OBAMA (D), PRESIDENT-ELECT: I believe that the Second Amendment means something. I do think that it speaks to an individual right.

ARENA: So what exactly are his policies? Well, Obama wants to revise and make permanent the ban on assault weapons. He supports a national ban on concealed weapons. And Obama supports the rights of local governments to set their own gun laws. But the Obama team says that gun control is not high on its list of priorities, and that it's focusing on things like the economy and health care. Still, people like Kyle Lewandowski aren't taking any chances.

LEWANDOWSKI: Maybe into the second year. I mean, Clinton didn't do anything until his second year in office.

(END VIDEOTAPE)

ARENA: The gun advocates fear that even if the Obama team doesn't mess with the gun rights, that it may hurt them in other ways like raising taxes on things like ammunition. Now, the President- elect hasn't said that he would do that, but many gun owners just are not convinced -- Kiran.

CHETRY: And their showing it at the cash registers, I guess, as you said. All right. Kelli Arena, thanks so much. 22 minutes after the hour. ROBERTS: Ted Turner, live. The man who launched CNN talks about the historic election and how he dealt with his own economic meltdown, losing more than $10 million a day for more than two years.

You're watching the Most News in the Morning.

(COMMERCIAL BREAK)

ROBERTS: It's coming up at 25 minutes after the hour. Welcome back to the Most News in the Morning.

His outspoken ways have earned him the nickname "The Mouth of the South" and his innovation and daring have earned him billions of dollars. And now as a business legend, philanthropist and media mogul, Ted Turner approaches his 70th birthday and he tells his extraordinary story to Bill Burke for his memoir entitled "Call Me Ted." Ted Turner joins me now.

We should point out, Ted, that you founded CNN, one of the great legacies of your life. Not involved with the company any more. Let me ask you first of all before we get involved in the actual book and the story of your life. What do you make of the results of this presidential election?

TED TURNER, AUTHOR, "CALL ME TED," FOUNDER OF CNN: Well, I'm encouraged. I think we need a change that we can believe in.

ROBERTS: Is he the guy to pull this economy?

TURNER: Well, I don't know. I mean, our country, in my lifetime has never been in this -- been in this shape before. So, we'll have to see. I think we're really heading into unchartered territory. But I think the main problem was it's not -- I hope he doesn't get blamed if things get tough because I think they are going to.

ROBERTS: Seems to be talking about a lot more government involvement, though, in the business community going forward, more government money for an auto industry bailout, another economic stimulus package. As a person who pulled them up in the business community from his bootstraps, is that the way to do it? With more government involvement?

TURNER: Well, I don't think so. I don't think so. 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.

ROBERTS: A lot of people in this economic community losing an awful lot of money, something you know...

TURNER: I've lost a lot, too.

ROBERTS: ...something about.

TURNER: We all have. ROBERTS: You lost $7 billion when the dotcom bubble burst after the Time Warner-AOL merger. How did you not see the dotcom bubble bursting? I mean, how did you not see that that was all built on air?

TURNER: Maybe I did. But I couldn't -- I was on a board of directors and a founder, and I was concerned about the AOL merger, but we didn't know that the books were -- the books were cooked. We didn't do enough due diligence.

ROBERTS: Was that the worst business decision of your life?

TURNER: Oh, yes. Absolutely.

ROBERTS: All right. If you could go back and do it again, would you have just completely call the whole thing off when you got --

TURNER: Well, I couldn't. I couldn't have. At the time, if -- there was so much momentum to do the deal. Everybody was for it, all of Wall Street and the management of both companies. And I wouldn't -- we could have stopped it if we had known that the accounting -- of the accounting irregularities. But we didn't know. So, there was no way to stop it.

ROBERTS: And about the same time, you were hemorrhaging money at the rate of about $10 million a day over the course of more than two years. Your marriage to Jane Fonda broke up. And many people close to you were concerned because your father, who passed on his billboard business to you, committed suicide and you may follow him.

TURNER: I wouldn't do that for my children and grandchildren.

ROBERTS: But they were concerned about it.

TURNER: Well, they might have been concerned about it, but there was no reason to be.

ROBERTS: You went through counseling, though, (INAUDIBLE).

TURNER: Oh, yes. Sure.

ROBERTS: What was that road like?

TURNER: What? Counseling? I've been in all kinds of counseling. I believe in doctors. Where I really spent the time was in couples and marriage counseling. It helped some. I was married for 10 years one time and 18 another, so.

ROBERTS: Now, I wanted to ask you about sailing. But all of the women in the control room said we don't want to talk about sailing. We want to know about Jane Fonda. Jane Fonda has said and she said in the "60 Minutes" interview that aired over the weekend that she still loves you. Is there --

TURNER: She didn't say that.

ROBERTS: Well, she says that she would be at you side in a blue minute.

TURNER: If I was -- if I needed her.

ROBERTS: I would assume that somebody wouldn't do that unless they love you.

TURNER: Well, it was nice of her to do.

ROBERTS: Any chance for a reconciliation there?

TURNER: I don't think so, but you never know.

ROBERTS: What would it take?

TURNER: I don't know. More than a television interview.

ROBERTS: Have you thought about picking up the phone?

TURNER: No. I talk to her all the time. In fact, I did pick up the phone. She's in California. She was on her way. I couldn't get her.

ROBERTS: She said that -- this is a quote from the interview. She said, quote, "It's impossible to really be with Ted the way he needs someone to be with him and have any kind of life of your own." Are you tough to live with?

TURNER: I travel a lot.

ROBERTS: Right.

TURNER: I'm on the move.

ROBERTS: You don't like to be alone, though?

TURNER: No.

ROBERTS: And why you're on the move so much?

TURNER: I don't know. I just got in the habit of it because that's how you get a lot done. Going from here to Philadelphia and from Philadelphia to Atlanta, and Atlanta to Chicago, and Chicago to Los Angeles. When you're promoting a book, you really move.

ROBERTS: Well, I know you got to move around a lot. But some people have observed that when you're chased by demons, you have to move around a lot to stay out in front of them.

TURNER: Well, I'm not chased by demons. I feel pretty good.

ROBERTS: Why would people say that?

TURNER: I don't know. That I'm chased by demons? I don't know. They don't know. The only person who knows about demons is me.

ROBERTS: It's been a while since you've been involved with CNN. When you look...

TURNER: No, I'm not. I'm involved every day because I watched it just about every day.

ROBERTS: But involved in terms of the business matters.

TURNER: It's OK. But the viewers got a lot of rights, too.

ROBERTS: When you come -- and I know, I hear from them oftentimes, believe me -- but when you come here --

TURNER: But if you don't have the viewers, you don't have a business.

ROBERTS: Exactly. But when you come here and you see how it's grown up, to see the international aspect of it. You see that on election night, CNN, Wolf Blitzer, Anderson Cooper, Campbell Brown, John King --

TURNER: They did a good job.

ROBERTS: Beat the networks. What do you think when you see that?

TURNER: I think it's great.

ROBERTS: I mean this is the little entity that you started out of nothing.

TURNER: It's not so little. And it wasn't when it merged with Time-Warner, either.

ROBERTS: It was obviously a big opportunity.

TURNER: The world's most important network.

ROBERTS: Right. So what's next for you, if anything, at 70 years old?

TURNER: Well, I'm still promoting the book. It just came out two days ago. So that's, that's a lot of work.

ROBERTS: Obviously, can I ask you one story about sailing?

TURNER: Sure.

ROBERTS: It appeared in your early days, sailing, you know leaving port getting stuck on a sandbar, getting caught in a storm, almost dying off the coast of Cape Hatteraserous.

TURNER: You read that chapter.

ROBERTS: Well, obviously. Yes.

TURNER: Did you read the whole book?

ROBERTS: I read most of the book. I was a sailor myself.

TURNER: What do you think?

ROBERTS: It's an interesting tone.

TURNER: OK. Go ahead.

ROBERTS: I sailed somewhat in my 20s as well. How did you go from being a sailor that got stuck on the reef and almost died to somebody who managed to win the America's cup in the courageous?

TURNER: Well, the same way at baseball that we set a record for consecutive last-place finishes since divisional play with baseball, in the first four years, we finished the last four years in a row but I stuck with it and after 18 years, we won the World Series. And that's what I did with sailing.

ROBERTS: Just stick to it?

TURNER: Yes. Stuck to it. And I wasn't losing. I was just learning how to win.

ROBERTS: Good message for everybody. Ted Turner, it's great to meet you.

TURNER: Happy to see you. You bet.

ROBERTS: All right. Kiran.

CHETRY: Well it's 32 minutes after the hour. We're going to get a check of the top stories.

Barack Obama's advisers reportedly drafting plans to shut down the detainment camp in Guantanamo Bay. Other plans being considered that the detainees will be tried in U.S. criminal courts. That idea however drawing criticism from Republicans who oppose bringing terrorists to America.

And a standoff happening right now in the dangerous waters off Somalia. Pirates hijacking a Philippines chemical tanker. We have some brand new pictures that are just coming in to CNN right now. Twenty-three crew members on board. The Philippines Embassy says they are reportedly unharmed. Negotiations are under way to free the ship's crew. So far this year, 33 ships have bee hijacked in this region.

And even the nation's wealthiest university cannot escape the economic downturn. Harvard's president says the university is looking for ways to reduce spending as the school's endowments plummet. Although she did not elaborate on what would be cut. Harvard, by the way, is not alone. Several other Ivy League schools including Dartmouth and Brown have announced plans to reduce spending.

Well Barack Obama is home in Chicago this morning as work on his transition continues. The process was on full display at the White House on Monday as the Bushes welcoming the Obamas into their future home for the first time. And now moving and redecorating is hard enough so imagine the task ahead for first lady-in-waiting, Michelle Obama. How do you make the most famous resident in the country your own? CNN's Carol Costello is live in Washington for us with more.

It's a problem we would all like to have, right?

CAROL COSTELLO, CNN CORRESPONDENT: I know, I'm certainly not going to offer Mrs. Obama any advice because I know nothing about decorating. Actually, she will depend on the White House usher, the man in charge of White House decor. He will guide Mrs. Obama, telling her the things that she can change and the things she cannot. And of course she has Mrs. Bush who told Mrs. Obama what furniture could stay and what will go.

(BEGIN VIDEOTAPE)

COSTELLO (voice-over): Imagine you are Michelle Obama, about to decorate the White House. Your personal style, one for the history books. Talk about pressure.

JACQUELINE KENNEDY, FMR. FIRST LADY: It was where we lived when we first came here.

COSTELLO: Jacqueline Kennedy, anyone?

KENNEDY: The most famous one of course is the Lincoln bed.

COSTELLO: Arguably, Mrs. Kennedy had impeccable taste. But even Letitia Baldrige, Kennedy's social secretary says Mrs. Obama should relax. Although that trip with Mrs. Bush throughout the White House must have been intense.

LETITIA BALDRIGE, JACQUELINE KENNEDY'S SOCIAL SECRETARY: I would imagine she would be awe struck. I mean, anyone is. But to be the new first lady walking into the White House for the first time, I mean it's imaginable.

COSTELLO: Sources tell me Michelle Obama is feeling the heat but not about decorating. Her worry comes in making the White House a home for her daughters who cannot wait to move in.

SASHA OBAMA, DAUGHTER OF BARACK AND MICHELLE OBAMA: It will be very cool.

MALIA OBAMA, DAUGHTER OF BARACK AND MICHELLE OBAMA: I think my most excitement about it is that I get to redecorate my room. I enjoy decorating.

COSTELLO: Can a 10-year-old really do that? To a bedroom that once belonged to Caroline or John-John? Yes, she can.

CARL ANTHONY, HISTORIAN, "FIRST LADY LIBRARY": Even though it is a historic house, it's also a living house. It's a home.

COSTELLO: In the next few weeks, the Obama girls and their mom will receive a large book filled with the pictures of all the furniture available in the White House collection. Or they can bring their own furniture to Washington. Mrs. Obama already plans to bring the girl's favorite toys and family photos. Yes, Malia can plaster her bedroom with pictures of her favorite cure rock star Nick Jonas all over the wall. Hey, she won't be the first.

ANTHONY: I do know Lucy Baynes Johnson loved the Beatles.

COSTELLO: And yes Michelle Obama can redecorate the second floor family living quarter however she wishes. If she wants to bring in Oprah's fave interior designer to help, she can do that too.

Baldrige does have a bit of advice for her though.

BALDRIGE: She should relax and just say I'm going to take my time without making these decisions. Leave me alone, let me decide by myself. She has got a lot of taste. She can make it herself.

(END VIDEOTAPE)

COSTELLO: There you go. And that's a woman who knows. Keep in mind, Mrs. Obama can decorate the private rooms where the family will live as she wishes, but the other rooms, the ones that we see, the public sees, Mrs. Obama can make small changes but the White House usher, that man in charge of White House decor will make sure those changes fit in with historic look of the America's House.

CHETRY: So no Jonas Brothers' posters down there, of course.

COSTELLO: Not in the Oval Office.

CHETRY: Are the taxpayers footing the bill for the furnishings.

COSTELLO: Well, you can get in a congressional appropriations which I guess would mean taxpayer dollars to furnish the White House or you could as Mrs. Reagan did, you could raise private funds and then you can really decorate in style. Well, there is a congressional appropriations.

CHETRY: All right. Thanks so much, Carol.

ROBERTS: Meet the first women in American history to be sent into direct ground combat as we honor military vets today. See how these female soldiers wind up unexpectedly on the front lines in Iraq and what it did to them.

And from lifting heavy boxes to posing on a yoga mat. What are all these UPS drivers doing in yoga class?

You're watching the Most News in the Morning.

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ROBERTS: NASA's mission to Mars is over, officials say they have not communicated with the Phoenix Lander in more than a week now and with the onset of the brutal Martian winter, they probably never will. Since landing back in May, the probe has sent back treasure trove of information, including evidence of water on the red planet, but it does appear to now have gone dark.

Rob Marciano certainly is not dark this morning. He's at the weather center in Atlanta with a look at what's happening across the country.

What are we in store for, Rob?

ROB MARCIANO, CNN, METEOROLOGIST: I got a nasty storm, John, across the center part of the country. Book ending the northeast and the southwest looked pretty good but this one stretches from Minneapolis all the way down south of Dallas. It's a mature cyclone and it's causing some problems across parts of Texas. The heaviest rain and thunderstorms have moved east of Dallas towards Tyler.

Take a look at some of these video yesterday shot southwest of Dallas via helicopter. Look at that rain shaft. That severe thunderstorm. That is a cool picture. This was shot at Hood County, again just southwest of Dallas where a number of severe thunderstorms popped up. No reports of tornado. All though this thing tried to spin one down in the cyclone that was just, check this out. That looks pretty cool. Luckily, no damage there. There was a tornado that touched down in southwest Oklahoma.

All right. St. Louis to Memphis, some rains, some thunderstorms. Back edge of the system from Iowa to parts of Nebraska, south Dakota could see some snow mixed with freezing rain and ice as well. By the way, well, I'll get into that in a second. First of all, Seattle down to Eugene, a promise of this as you folks are waking up. This is a nasty storm. High wind warnings posted for the Oregon coastline. Snow level is about 5,000 feet. Flood watches posted for parts of Seattle. You could see five to 10 inches of rainfall in some of the higher evaluations. So that could cause some nauseousness. 11-11-11.

Way back when, John, a 75 degree drop in temperature in Rapid City, South Dakota. Extreme cold snap on this date back in 1911. That was quite a storm that rolled through them. Not so severe today. But across the other parts of the country, it's no picnic.

Back up to you.

ROBERTS: Rob, thanks so much. It's good to see you.

MARCIANO: All right. You bet.

ROBERTS: 41 and 1/2 minutes now after the hour.

CHETRY: Courage under fire.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Very often we find ourselves engaged by forces. UNIDENTIFIED FEMALE: How the heck do I fire that thing if one of you gets hurt? Because I'd like to know how to fire the biggest weapon we've got.

(END VIDEO CLIP)

CHETRY: Women in combat in Iraq confront the rules of engagement on the battlefield and make history.

You're watching the Most News in the Morning.

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(BEGIN VIDEO CLIP)

LT. COL. VONDA CROSS, U.S. AIR FORCE: Hi. This is Lt. Col. Vonda Cross. I bring you greetings and salutations from Kabul, Afghanistan. And I'd just like to send a shout out to all of my friends and co-workers in San Antonio, Texas. Happy Veterans day.

(END VIDEO CLIP)

CHETRY: Well as we honor our military veterans on this Veterans Day with events and memorials around the country, there is a new film focusing on female soldiers who are unexpectedly sent into combat in Iraq.

Our Brooke Anderson has more.

BROOKE ANDERSON, CNN ENTERTAINMENT CORRESPONDENT: John and Kiran, from the battlefield to the big screen, a new movie highlights women in combat, a controversial reality of war.

(BEGIN VIDEOTAPE)

ANDERSON (voice-over): Major Katharine Guttormsen is a new mother, West Point graduate, proud member of U.S. military and a veteran of the Iraq war.

MAJOR KATE GUTTORMSEN, FOUGHT IN DIRECT GROUND COMBAT: We worked in the town of Ramadi, Iraq.

ANDERSON: She is one of five women featured in the new documentary, "Lioness," which profiles female Army support soldiers who served in Iraq in 2003 and 2004.

UNIDENTIFIED MALE: The "Lioness" teams were assigned support to Whiskey company.

ANDERSON: They became the first women in American history to be sent into direct ground combat.

GUTTORMSEN: They found themselves in vehicles, in convoys in a support capacity that quickly came under fire. There are no front lines in Iraq, so very often, we found ourselves engaged by enemy forces. UNIDENTIFIED FEMALE: And I asked the soldier, so how the heck do I fire that thing if one of you gets hurt? Because I would like to know how to fire the biggest weapon we've got.

UNIDENTIFIED MALE: I have female soldiers in battle? Yes. Was the intent of those soldiers to be in battle when they went? Probably not. But, the battle come to them on occasion? Yes, it did.

MEG MCLAGEN, FILMMAKER: What the story is emblematic of is what the disconnect is between the reality on the ground and the policy that exists in Washington.

DARIA SOMMERS, FILMMAKER: The official policy is that women are not allowed to be assigned to units whose primary job is to engage in direct ground combat.

ANDERSON: A military spokeswoman told "The New York Times," the Army and all other services remain in compliance with policy regarding the assignment of women in the military. "Lioness" not only portrays what happened on the battlefield but the after effects as well.

UNIDENTIFIED FEMALE: When you take another person's life, you kind of lose yourself, too.

ANDERSON: Despite the difficulties, Guttormsen asserts they simply did their duty for their country.

GUTTORMSEN: I'm very proud of everything that my organization did when I was in Iraq, and I have no problem talking about so I'd share that with anybody.

(END VIDEOTAPE)

ANDERSON: "Lioness" will air on PBS this Thursday and will be screened for Congress in February -- John, Kiran.

CHETRY: Brooke Anderson for us. Thanks so much.

Earlier in the program we told you about this report coming from our affiliate, our ABC affiliate in Phoenix regarding AIG, the big insurance giant and a junket that they had, really a gathering at a luxury resort where they spent money to try to bring some financial investors into the fold and get them to work with their company. This is something that has come under fire recently of course because of AIG's big bailout by the federal government.

Joining us to talk a little bit about what is going on is Nick Ashoor. He is the senior VP for communications of AIG, on the phone with us now.

Thanks for being with us, Nick.

VOICE OF NICK ASHOOR, SENIOR VP COMMUNICATIONS, AIG: Well, thanks for the opportunity.

CHETRY: So explain exactly what was going on here. We had your CEO on the program about a week ago and he said that these type- junkets were going to stop given the corporate environment right now, billions of dollars in money given to keep the company afloat by the federal government. And that these probably were not appropriate. And then we are getting word from an ABC affiliate, KNXB that they actually caught on tape AIG executives, et cetera, taking part in this at a luxury resort in Phoenix. What's going on?

ASHOOR: Yes, well, you know we have certainly done things in the past that have been worthy of criticism but this one has really been mischaracterize. This was a conference for independent financial planners. They are not AIG employees. We had a few employees to put it on. But these are people who sell our products. Most of the cost, over 90 percent was paid for by the attendees or by sponsors and these are people who sell an awful lot of business for us, which is very important for us to stay healthy and pay back our loan from the U.S. government.

CHETRY: There is some reporting that AIG made efforts, this a quote from the KNXV reporting, made significant efforts to disguise the conference. Making sure there no logos or signs anywhere on the property, hotel employee saying also that we can't say the word AIG. If this was just part of helping your business stay healthy, why did they want to disguise that this was going on?

ASHOOR: Yes. I saw that report. I will tell you honestly, we have been trying to lower our profile because everything has been subject to so much criticism. But it was not an effort to disguise it but it was an effort to minimize costs and to keep the profile down because we don't even want to do anything that would even be perceived as expensive, even though most of the costs for this event were paid for by sponsors or by the attendees.

CHETRY: Well you guys have been taking some heat from Congressman Elijah Cummings. He is upset about the situation, even calling for your CEO Ed Liddy to be fired. Here is what he said on our program a couple of minutes ago.

(BEGIN VIDEO CLIP)

REP. ELIJAH CUMMINGS (D), MARYLAND: He said that he was canceling 160 of these junkets that were already scheduled. And then we see this, when you look at our economy, with people losing their homes, at the same time, people at Whirlpool, Starbucks, you name the corporation, GM, leaving their jobs, these guys, they don't get it.

(END VIDEO CLIP)

CHETRY: Is the congressman off base here? Are these necessary for your business to regain some foot hold in the market? And to be able to stay healthy or get healthy again.

ASHOOR: Yes, I think the congressman is just responding to inaccurate information and we don't hold him responsible. Again, this is a conference that any insurance company has to do, you have to take the people who sell your product and tell them what your products are, tell them who they should be sold to, so we don't sell them to the wrong people. And in fact, they even get continuing education credits for attending these sorts of things. Again, most of the costs were paid for by them or by sponsors. So it's really, and I think, very much mischaracterized. It was really a very legitimate conference.

CHETRY: What's going on with the bailout? You guys have gotten money, you had to declare bankruptcy, or you wanted to stop having to declare bankruptcy and not have to do that. You got $150 billion. A little bit more money just given recently. Where does it end? What are you guys looking to in the future in terms of trying to find the way to stem the bleeding and make sure that you can hopefully, eventually be able to repay the government and the taxpayer?

ASHOOR: Yes, there is a very important development yesterday where we, our loan from the U.S. government was restructured. The terms that will give us more flexibility to be able to pull ourselves together financially and pay back the government. So it was a very important step forward. We think it is one that will give us the ability to now go ahead and sell some of our very good assets an repay the government.

It's just -- listen, it's a very difficult time not only for AIG but for a lot of other companies, especially financial companies. But we think now we have better flexibility and a workable plan to resolve this.

CHETRY: I know that you said the congressman was going off information that you didn't necessarily think was terribly accurate but he called for your CEO to resign. Do you think that's off base or do you think that would be a signal that you guys are trying to do things differently?

ASHOOR: Well, you know I should point out that our CEO Mr. Liddy has only been CEO for a few weeks. And I think it is, I didn't think it's reasonable to ask him to resign, given that these events they are getting so much controversy were planned even before he got here. But I also think once the facts are known, especially about this Phoenix event, that I think Representative Cummings and others will understand that this was not a junket for AIG top executives. There were none there. This was an event to help sell our product to individual financial advisers, not employees and most of the paid for by others, not by taxpayers.

CHETRY: All right, Nick Ashoor, the AIG senior vice president spokesman, thanks for being with us this morning. We appreciate it.

ASHOOR: Thank you very much.

CHETRY: 52 minutes after the hour.

Yoga, UPS.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Probably one of the best things I've ever done.

(END VIDEO CLIP)

CHETRY: Bringing balance to brown. Dr. Sanjay Gupta looks at why the delivery giant signed its drivers up for yoga classes.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: It's all the little decisions that I watch people make.

You're watching the Most News in the Morning.

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ROBERTS: Welcome back to the most news in the morning. Delivery giant UPS is packing up its drivers and shipping them off to yoga class. It's all in the name of safety. We're paging Dr. Sanjay Gupta. He's in Atlanta this morning.

Sanjay, is UPS really telling their drivers to run packages back- to-back to stay in shape?

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Not they're doing that. you know this is something probably a lot of people have not paid attention to, exactly what kind of shape these drivers have to be in. But it's a lot of hard work, driving and then moving these packages. How they stay in shape, how they do this, there may be a lesson in it for all of us. They call it Zen-energy. Take a look.

(BEGIN VIDEOTAPE)

GUPTA: It's 7:00 a.m. at Zenergy yoga studio in California's Wine Country. But inside, you are not going to find your topic yoga students.

It really balances my life a little bit better. My body's balanced more. Centers myself a lot.

GUPTA: This class is full of UPS drivers. For Scott Stevenson and many of his fellow drivers, staying fit is part of job. He climbs up these steps about 400 times a day, making more than 150 delivers. So the thought of doing more exercise especially in a yoga studio never crossed his mind.

SCOTT STEPHENSON, UPS DRIVER: The last year was the first time I've ever done it and I've been doing it twice a week for over a year now.

GUPTA: This twice weekly pilgrimage of UPS drivers from Napa Valley to the yoga studio started more than a year ago when health and safety manager Mike Yates, grew concerned over the number of on the job injuries.

MIKE YATES, YOGA IS PART OF SAFETY PLAN: Being a UPS driver is a physical job. You have to keep yourself in top physical condition in order to perform the job safely day in and day out.

GUPTA: So he began introducing the drivers to things like yoga, nutrition classes. Stretching, walking. The results have been spectacular.

It affected us so positively. It was amazing. We have a little tag phrase that we use, safe by choice, not by chance. It's all the little decisions that I watch people make that make a change.

For Scott, picking up yoga has helped him find more balance in his life. Given him more energy. Helped him quit smoking.

YATES: It's probably one of the best things I've ever done.

GUPTA: And he says it sure beats going to a gym.

YATES: I lift boxes all day and the last thing I want to do is go lift weights.

(END VIDEOTAPE)

GUPTA: You know, workplace wellness is nothing new, John. We've done a lot of stories about that on AMERICAN MORNING. But what's interesting though is something we found interesting was that these UPS drivers have sort of become ambassadors for wellness as well. They are learning all these new information, have all these new knowledge and do their deliveries, they're also talking about bad cholesterol and vitamins that they take, trying to impart these messages of health -- John.

ROBERTS: So how did they get the UPS drivers which seems like a sort of unlikely yoga crowd to buy into the program?

GUPTA: Well you know the biggest issue I think was the injury rates. High injury rates among people who were not in shape, people who are not as fit as they needed to be able to do these jobs. I think that was the impetus, the inspiration for the message. And they thought how do we reduce injury rates? Yoga, stretching, weightlifting. Some of the things that you saw there seemed to improve that.

ROBERTS: All right. Sanjay Gupta for us this morning. Doc, thanks so much for that.

GUPTA: Thank you.

CHETRY: (INAUDIBLE) before Sanjay goes in the O.R. might help him out, too. You'll never know.

Well, one-on-one with President Bush's first sit-down interview since the election. And you are going to see coming up on CNN.

I'm Kiran Chetry.

ROBERTS: And I'm John Roberts.

CNN NEWSROOM from the deck of the intrepid here in New York City, it's coming up next.

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