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American Morning
State Department Changes; GOP Governors Meeting in Miami; McCain Talks to Leno About Election; Financial Bailout: How Your Money is Being Spent; Dream Come True
Aired November 12, 2008 - 08:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KIRAN CHETRY, CNN ANCHOR: House Speaker Nancy Pelosi is determined to pass legislation to help the auto industry, that's according to democratic aides. On Monday President-elect Obama asked President Bush to do more for the car industry.
(BEGIN VIDEO CLIP)
SEN. BARACK OBAMA (D), PRESIDENT-ELECT: I've made it a high priority for my transition team to work on additional policy options to help the auto industry adjust. Whether the financial crisis succeed in producing fuel-efficient cars.
(END VIDEO CLIP)
CHETRY: Most Americans are confident that President-elect Obama can fix the economy. A new AP-GFK poll says that 72 percent of the people are confident that he can make changes to turn the tide. Nearly half of republicans polled also agree.
And former presidential candidate John Edwards makes his first public appearance since admitting an extramarital affair. He spoke about politics and poverty last night at an Indiana university discussion on the election. He did comment on the election saying that Barack Obama's victory shows what's right with America.
Well, just 69 days until President-elect Obama takes office, and the transition team is already preparing for the worst. Let's bring in CNN's state department correspondent Zain Verjee.
What happens, Zain, if there's a crisis during this transition?
ZAIN VERJEE, CNN STATE DEPARTMENT CORRESPONDENT: Well, essentially what's going to happen is that the current administration would make the decision, were there a crisis. But as we're seeing with President Bush talking to President-elect Obama over the economy, that it's more than likely that - that the administration to be, to come, will be brought into the decision making, so Secretary Rice would likely confer with the Secretary of State designate. Kiran.
CHETRY: And what about embassies around the world?
VERJEE: Well, in this period of transition, embassies around the world are really the eyes and the ears of this country on the ground. What we're learning from the State Department is that embassies have really been told to write memos about the situation on the ground, and that will be handed off to the State Department for the next administration.
CHETRY: All right. Certainly some challenges ahead. You told us they're trying to prepare for that what-if that they hope certainly doesn't happen.
Zain, thank you.
JOHN ROBERTS, CNN ANCHOR: After an Election Day, thumping at the polls, the Republican National Committee is going online to regroup. A new GOP Web site, republicanforareason.com, allows viewers to post their thoughts on why they back the party. The site also allows users to offer their opinion of where the party is headed and how it could be better prepared for the future.
But the new Republican ground game is not only online. In a local level, straight to Washington, the party is already planning its comeback. The Grand Old Party's governors are all in Miami today meeting and their headliner is a very familiar face.
Our John Zarrella is live in Miami for us this morning.
Of course, John, we're talking about Governor Sarah Palin of Alaska who is at the meeting. But there's widespread belief that the next Republican nominee for president may be in that hotel behind you.
JOHN ZARRELLA, CNN CORRESPONDENT: Yes, there's no question about it, John. And, you know, there has been so much interest in this meeting, so much more than perhaps at any other time the governors have met in past years that the Republican Party of Florida actually had to send people in to help out with all the media requests. And as you mentioned, one of the big reasons, of course, Sarah Palin is here. But she's not the only draw.
(BEGIN VIDEOTAPE)
ZARRELLA (voice-over): If you thought she'd fade away, forget it. Not happening. As republican governors gather in Miami, Sarah Palin will be the headliner for a discussion on the future of the party. But is her high visibility serving the party best?
JIM KANE, POLITICAL ANALYST: We need Sarah Palin to go away for a while, and they need some of their other leaders to participate in how the party is going to be run for the next several years.
ZARRELLA: Among them, three other star-power governors -- Florida's Charlie Crist, Minnesota's Tim Pawlenty, Louisiana's Bobby Jindal -- all were mentioned as possible Senator McCain running mates. In an image-conscious world, all are young, polished and popular. But can they lead?
JIM GREER, CHAIRMAN, FLORIDA REPUBLICAN PARTY: I think experience they have. They certainly understand the importance of serving the citizens of their state, and as we look to the future, I think governors are where the leadership is going to come to bring the Republican Party back into power. ZARRELLA: Along with Palin, anyone of them could carry the Republican torch in 2012. Jindal wouldn't comment on the presidency but has said he's not interested. Yet the charismatic governor is clear on where his party needs to focus.
GOV. BOBBY JINDAL (R), LOUISIANA: If we will show that we remain the party of controlling, spending and cutting taxes, crack down on corruption and offer real solutions to the problems that matter the most to American families, I think we'll be successful.
ZARRELLA: Jindal believes he and his fellow Republican governors are positioned to lead the party.
JINDAL: And I think governors across the country can show what they're doing in their states and they can say this is not about rhetoric or campaign promises, look at the results we're producing every day for our people.
KANE: I think we'll definitely going to see somebody coming out of this delegation in the next four years of Republican governors. That's going to step forward and probably take control of the Republican nomination.
ZARRELLA: Of course, a lot can change. Four years is a lifetime in politics.
(END VIDEOTAPE)
ZARRELLA: And it certainly seems silly that before Barack Obama has even sworn in as the next president, we're already talking about who might be challenging him in 2012. But the Republican Party knows that it needs to sort itself out and quickly.
John?
ROBERTS: Politics waits for no one, John. What's the reaction down there to Sarah Palin? She spent an awful lot of time down there during the campaign because Florida was a battleground state.
Do folks down there see her as the potential standard-bearer for the Republican Party?
ZARRELLA: Oh, yes. I don't think there's any question about it. A lot of the Republicans are saying, she's still maintain. She's very good for the party. Her visibility is very good for the party. But as you saw in the piece, there are some political experts are saying, you know what, maybe she needs to take a step back for a while and let some of these other folks that are in the party try to exert themselves a little bit, and let the party sort itself out.
But, yes, she still has a huge amount of popularity. Certainly, down here in Florida, a very important state.
John?
ROBERTS: Politics these days, the way that it moves, John. You take a step back for a second, you're out of the game, so don't know what they'll say.
ZARRELLA: Yes, indeed.
ROBERTS: John, thanks for that.
CHETRY: Well, John McCain is talking publicly for the first time since his election defeat. The Arizona senator was Jay Leno's guest last night on "The Tonight Show."
McCain said that the Republican ticket faced a tough challenge from the start, and he defended former running mate Sarah Palin against criticism that she was the reason they lost.
(BEGIN VIDEO CLIP)
SEN. JOHN MCCAIN (R), ARIZONA: I'm so proud of her and very grateful that she agreed to run with me. She inspired people. She still does. And, look, I couldn't be happier with Sarah Palin, and she's going back to be great governor, and I think she will play a big role in the future of this country.
JAY LENO, HOST, "THE TONIGHT SHOW WITH JAY LENO": Did she ever get off message at one point?
MCCAIN: Did you expect mavericks to stay on message? I'm sure that from time -- but she was -- look, I -- we did a lot of things together, a lot of these rallies. The people were very excited and inspired by her, and that's what really mattered.
(END VIDEO CLIP)
CHETRY: And Sarah Palin will be Wolf Blitzer's guest tonight on "THE SITUATION ROOM" at 6:00 p.m. Eastern time. You can also see her on "LARRY KING LIVE" at 9:00 p.m. Eastern, right here on CNN.
ROBERTS: Well, she has been the primary caregiver for the Obama girls for months -- cooking for them, taking them to tennis, and now, the nation's new First Grandma is heading to Washington. Six minutes now after the hour.
Warning shots from the right.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: And the Republicans, I think, are making a mistake by trying to undermine him before he gets started.
(END VIDEO CLIP)
ROBERTS: A war of words erupts before Barack Obama even moves into the White House. A look at what's lighting up the radio dial.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: This is an Obama recession, might turn into a depression. He hasn't done anything yet, but his ideas are killing the economy.
(END VIDEO CLIP)
ROBERTS: You're watching the "Most News in the Morning."
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
LENO: Actually, the only company doing well, McDonald's. McDonald's profits are up more than 8 percent. 8 percent increase in sales because of the poor economy. You know what that means? The only sector expanding now is our asses -- that's the only part. The only part of America that's growing, our asses.
(END VIDEO CLIP)
ROBERTS: If you tell me buy a hamburger, just buy two. You know, one for each ass.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Yes, very true.
ROBERTS: Christine Romans, here, minding our business now. And she joins us. So, everybody knows where their money is going in terms of, you know, their investments and their bank account, and all of that. But what about that $700 billion? (INAUDIBLE), where's that money going?
ROMANS: You know that, the initial outcry, remember -- I mean, in Congress and the public, they were saying the $700 billion, what are we spending it on. We were told that, you know, that we had to get these toxic assets off the books or the banks, or else, the lights were going to go out or something.
Remember this, you know, Chris Dodd said the air went out of the room when they were told by Treasury secretary and the Fed chief what would happened. Well, this is where the money has gone so far.
$700 billion of your money has been earmarked. We've spent $250 billion has been put aside to inject capital in the banks. $40 billion is going to AIG, an insurance company. $60 billion is left over for this administration to spend, and then $350 billion is available. Congress made it available. But they've got to ask Congress first, so that could be the next administration.
Now, the Treasury secretary at 10:30 this morning, Eastern Time, is going to give an update on the bailout, where the money's going. He's going to take questions. And you can be sure that reporters are really eager to find out, you know, are they ever going to buy toxic assets, the thing that we were told had to be done or the economy was in very grave danger. They haven't done that yet, and the economy is still working. You know, it's been rough, but it is still working.
Are they ever going to do that? Has this thing completely changed beyond all recognition? What are the next things? Democrats want to use some of the $700 billion to actually bail out the auto industry. Are there other industries besides an insurance company? Small, closely-held banks, are they going to get money? Are there other industries who can say, hey, I'm hurt, can I have some money?
CHETRY: Didn't they determine that buying up the toxic assets wasn't the best way to spend the money a few weeks ago, though?
ROMANS: Well, they have not said that they're not going to do it yet. They just haven't done it yet. And Neel Kashkari who runs that program has said they're still looking if that is a possibility.
ROBERTS: Surely, there are a number of very learned economists who said, bad idea, but it's the government.
ROMANS: And so this thing has changed and changed and changed. Now, another thing, you know, we've spent hundreds and hundreds of billions of dollars injecting liquidity, the Fed and the Treasury doing all of these very complicated things to try to help this mess. There also is a lot of interest in this tax rule change that happened very quietly under the radar, a tax rule change that also benefits the banks to billions more.
ROBERTS: Apparently, we didn't pay the bill for your microphone. It's starting to die.
ROMANS: Oh, my, new batteries.
ROBERTS: But I like how her voice almost cracks when she says "$40 billion to insurance companies!"
CHETRY: I know. Exactly.
(CROSSTALK)
ROMANS: I get hives.
ROBERTS: Thanks, Christine.
ROMANS: Thanks.
ROBERTS: 11 minutes after the hour.
Meet the parents.
(BEGIN VIDEO CLIP)
MICHELLE OBAMA, WIFE OF PRESIDENT-ELECT BARACK OBAMA: There is nothing that makes me rest more now that I have to work than to know that my kids are being loved and cared for by someone who is teaching them values and discipline and giving them a little extra candy every now and then.
(END VIDEO CLIP)
ROBERTS: Michelle Obama's mom, the First Grandmother, may soon give a new meaning to the phrase "a trip to Grandma's." You're watching the "Most News in the Morning." (COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
CONAN O'BRIEN, HOST, "LATE NIGHT WITH CONAN O'BRIEN: It was reported today that Michelle Obama wants her mother to move into the White House with them. Yes. Yes. This is expected to be the first time Barack uses his veto power. Yes.
(BEGIN VIDEO CLIP)
CHETRY: Welcome back to the "Most Politics in the Morning." You know, the White House is about to get something that it hasn't had in years -- young kids. And it could also be the first time in a generation that a First Grandmother calls the White House home. Alina Cho is here now with the story.
I just love this. Is this definite Michelle Obama's mom is probably going to be coming with them to the White House?
ALINA CHO, CNN GENERAL ASSIGNMENT CORRESPONDENT: Well, you know, there's no final decision yet, Kiran. But we do know that Marian Robinson will be moving from Chicago to D.C. at some point very soon. And all the talk is that she is likely moving into the White House. Remember, this is Barack Obama's mother-in-law, Michelle Obama's mother and beloved grandmother, of course, to Malia and Sasha. So, who is she? Well, she may be the one person in the Obama family who keeps the whole operation running.
(BEGIN VIDEOTAPE)
CHO (voice-over): Call her the first babysitter. 71-year-old Marian Robinson is just grandma to 10-year-old Malia and 7-year-old Sasha. For nearly two years, she's been the primary caregiver when mom and dad have been away -- taking the girls to school, piano and tennis lessons. Now, she, too, may be moving to the White House. The Obamas not only want her, they need her.
M. OBAMA: There is nothing that makes me rest more now that I have to work, than to know that my kids are being loved and cared for by someone who is teaching them values and discipline, and giving them a little extra candy every now and then.
CHO: Not just candy, her fried chicken with Ritz crackers in the batter, famous. The girls love it. Close family friends call her wise, even keeled and fun. And she freely admits she sometimes breaks the rules at home. She makes sure Malia and Sasha are in bed by 8:30, but at her house, the girls can stay up late, play games and watch as much TV as they want.
Robinson told the "Boston Globe", "I do everything that grandmothers do that they're not supposed to." Robinson wouldn't be the first First Grandma to live at 1600 Pennsylvania Avenue. Perhaps the most notable, Madge Wallace, mother-in-law to President Harry Truman. LARRY SABATO, UNIVERSITY OF VIRGINIA: Harry Truman was deeply in love with Bess Truman. He called her the boss. Well, the boss's boss was Bess Truman's mother.
CHO: And the boss's boss never liked her son-in-law, the commander-in-chief.
SABATO: The truth is the mother-in-law never considered Harry Truman worthy of her daughter, even after he became president.
CHO: By all accounts, the Obama family dynamic is different.
SABATO: If it all works out, it could be great P.R. for mothers- in-law.
(END VIDEOTAPE)
CHO: You know, mothers-in-law get a bad rap. They are the butt of jokes a lot of time. And Barack Obama has made it clear, though, that he loves his mother-in-law. But one political historian we spoke to said, you know what, if there's any tension, we're just not hear about it until after the books are written. That is when the juicy stories come out.
One thing is for certain, though, everyone we spoke to believes that Marian Robinson moving into the White House is a good thing, not only for the Obama girls, but, Kiran, of course, for the First Couple, especially Michelle Obama, the First Lady, who will be traveling a fair amount.
CHETRY: I think a lot of working moms know exactly what she's saying, when nothing makes you feel better about working than knowing someone who really loves your kids is there.
CHO: Absolutely. I mean, listen, you know, they're going to have plenty of staff, but there's nothing like family. And certainly in Michelle Obama's case, nothing like her own mom watching over her girls.
CHETRY: I want to run this by my husband. But I think the answer will be no, unfortunately.
CHO: Well, we'll see. Every family dynamic is a little bit different, Kiran.
CHETRY: I hear you. Thanks, Alina.
CHO: You bet.
CHETRY: 17 minutes after the hour.
ROBERTS: The dream come true. Brand new polls show us how African-Americans think this historic election will affect race relations in the country. You're watching the "Most News in the Morning."
(COMMERCIAL BREAK)
ROBERTS: Well, welcome back to the "Most News in the Morning." New information this morning on just how significant Barack Obama's historic election could be. Jason Carroll's been looking at some brand new poll numbers and he joins us now this morning.
Good morning.
JASON CARROLL, CNN NATIONAL CORRESPONDENT: And good morning to you. You know, for the first time, a majority of African-Americans say they now see a possible end to the country's racial problem. That's a big change from several months ago before the election.
In this CNN Opinion Research Poll, African-Americans were asked if they thought race relations would be, always be an issue. As recently as January, 52 percent were saying yes. But post-election, just 44 percent said yes. And here's a look at the reason why.
96 percent of African Americans say the election will improve race relations, half went as far as to say, they see it as a start of a new era. But look at the other numbers there. A quarter of whites say, the election will either bring no real change or could make matters even worse. Just 4 percent of blacks think that.
So, a lot of optimism out there in the African-American community. Here's a look at one more poll that helped explain some of the reasons why. We asked people if they thought they'd see a black president in their lifetime, blacks overwhelmingly said no. 71 percent thought they would never see it, while 60 percent of whites thought it was possible.
So, whites, it seems, have always been a little bit more optimistic about seeing an African-American president, while blacks much more -- see that much more now that, you know, they've seen an African-American actually take the White House.
ROBERTS: You know, you get so many conflicting opinions on whether or not this is the first step into a post-racial society here in the United States. People have differing opinions on that. But at the very least, it has changed this country. It has changed it in a significant way.
CARROLL: And it certainly changed the perspective from, you know, from black people in this country who obviously before the Obama election thought they would never see something like this in their lifetime. Obviously, now that they've seen Barack Obama and seen the overwhelmingly amount of support he has received, it's definitely changed their perspectives on racism in this country.
ROBERTS: Yes. I mean, it has changed the discussion to a marked degree. And I think that's what we should pursue over these next few days, too, to see exactly to what degree it has. Jason, thanks so much.
Kiran? CHETRY: Well, the knifes have come out and he's not even sworn in as president yet. But Barack Obama's TV and radio attackers don't seem to care. Wait until you hear what they're already calling him, and it's not Mr. President. 22 minutes after the hour.
(COMMERCIAL BREAK)
CHETRY: Welcome back to AMERICAN MORNING. President Bush sat for a rare exclusive interview with CNN's Heidi Collins, yesterday. And he spoke candidly about some slips of the tongue that he'd like to take back.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Being on this ship reminds me of when I went to the USS Abraham Lincoln and they had a sign that said "Mission Accomplished." I regret that sign was there. To some it said, well, Bush thinks the war in Iraq is over, when I didn't think that. But nevertheless, it conveyed the wrong message.
(END VIDEO CLIP)
CHETRY: And the President has been a lightening rod for criticism and facing dismal approval ratings as his time in office winds down. So, how will President-elect Barack Obama take that into consideration when making his own decisions?
Joining me now is liberal radio host Stephanie Miller in Los Angeles. Good morning.
STEPHANIE MILLER, LIBERAL RADIO HOST: Good morning, Kiran.
CHETRY: You're not going to have this president to kick around anymore. What are you guys going to talk about?
MILLER: Oh, gosh, I miss him already, Kiran. And it was news to me that he's misspoken, really? I hadn't got caught any of that.
CHETRY: Well, you know, one of the things --
(CROSSTALK)
MILLER: I -- I -- go ahead.
CHETRY: One of the things that's very interesting is when you saw that, it was almost a surreal sight of the President-elect Barack Obama coming to the White House, walking and talking and having conversations with the current president.
How will perhaps some of the decision making of Barack Obama be affected by Bush's legacy, and right now, you know, the negative ratings, the negative approval ratings and the negative view of his time in office?
MILLER: Well, Kiran, that's the good news. That's a pretty low bar. To do better than President Bush who, I think the latest I saw has nearly an 80 percent disapproval rating. At least -- at least, that's a low bar to start with.
CHETRY: You know, and you also have a number of Democrats that are opposing certain things. They really want to wipe the slate clean especially those that are speaking from the left, of some of the things that President Bush has done in office. One of them is the possibility of the director of National Intelligence, Mike McConnell, as well as the CIA director, maybe replacing them in their posts. They both publicly supported things like the interrogation and telephone surveillance that had been highly controversial.
So, the anti-war camp also wants Obama -- it looks like to dump Defense Chief Robert Gates. Is that the smart thing to do right out of the gate as we deal with this presidential transition?
MILLER: Is to keep him, Kiran, or to let --
CHETRY: Is to dump some of these people that are in these highly-sensitive posts right now during this transition.
MILLER: Well, you know, if ever the American people wanted a clean slate, Kiran, I think now is the time. So, I think they've made it pretty clear that they're going to be undoing just about everything Bush did. That being said, I think Barack Obama has shown a lot of caution and deliberative process as he's gone through this campaign. So, I'm sure he will do it in a way that will keep America safe.
CHETRY: Right. So, you talk about. Another one is Guantanamo Bay. Of course, another big lightning rod of criticism, and Barack Obama looking to close Guantanamo Bay. But is that a good idea at this point?
MILLER: Yes. And I understand the Crawford Ranch is very big, so we could essentially put them there if they need to go somewhere. I think that, you know, this is something that has -- is certainly, Kiran, hurt our image around the world that we have got to close.
We have -- whatever -- I mean, I understand it's a controversial issue of what to do with them and how. But you can't just hold people forever with no, you know, trials and no process of law. So, I think it's going to be a sticky issue going forward, but he has got to send a different message to the world. My dad was a prosecutor at Nuremberg, you know. And we had to find a way to be fair, even to the Nazis, you know, after World War II. So, there's got to be a way that --
CHETRY: I hear what you're saying. Is that sticky situation, though, of trying to figure out where people being held at Gitmo should go? Should they go back to their country? Should they be brought back here on our soil for criminal trials? Is that what he wants to get started with, get involved in this as we are facing this looming financial crisis, and a lot of people are saying, you know, the clock is ticking on this bailout? When are we going to start to see some results? MILLER: Well, I think, Kiran, he's already made it clear that the economic crisis is his number one priority. And he's certainly spoken about helping the auto industry, which I think is critical to American jobs and what's going on now. But I think Guantanamo is certainly something that he has to get to, because it is something that is, like I say, really hurt our image around the world and I think made us less safe.
CHETRY: Is the Democrats' agenda too ambitious at this point as we deal with the financial bailout. We look at possible universal health care, tax cuts, reform for the education system, all at the same time that we are dealing with two wars overseas?
MILLER: Well, yes. Being president certainly has left a lot of gifts for President-elect Obama, hasn't he? He has certainly left a big flaming pile of dog pooh, politically speaking. But I think President-elect Obama has said, like I said, that he will prioritize -- and I think the recent poll show that American people want him to, that the economic crisis should be first. They can wait on tax cuts, they can wait on other priorities. I think that he has so much to do, that I think they're deliberately moving through it.
CHETRY: Stephanie, our viewers who have not finished their breakfast are thanking you this morning. Thanks.
MILLER: You're welcome. My pleasure.
CHETRY: Thanks for being with us. Good to talk to you, Stephanie Miller.
MILLER: Thanks, Kiran.
ROBERTS: Flaming bag of what?
Search giant Google says it is going to track flu outbreaks across the country. One of the first things that people do when they get the flu is search the Web for treatment tips. Google plans to track where those searchers are coming from. Engineer say spikes in searches could be a real-time way to warn of outbreaks in your town.
This morning, Victoria Secret said its bras do not contain formaldehyde --in its response to a lawsuit filed in Ohio. According to ABC News, a woman filed suit in May, claiming her bra gave her a severe rash. The lawyers purchased another and said, testing revealed the presence of the embalming chemical. They say dozens of other women have had similar complaints. Victoria Secret says customer safety is its primary concern and it will help determine the cause.
Watch out, selling tickets to Barack Obama's inauguration may be a crime soon. Tickets are supposed to be free to the public, but scalpers are selling them online for as much as $20,000. California Democratic Senator Dianne Feinstein is now crafting a bill that would make it a misdemeanor with a yet-to be determined fine.
69 days now until President-elect Barack Obama assumes the Oval Office and several names are coming out as possible members of the new transition team. CNN's Suzanne Malveaux is live in Chicago for us. Suzanne, the transition team as it is met yesterday. And what's the buzz this morning?
SUZANNE MALVEAUX, CNN CORRESPONDENT: A lot of buzz, John, as you can imagine. Barack Obama and Joe Biden are going to be behind closed doors today.
They're going to have some meetings, no public announcements, but we did hear from John Podesta, the former chief of staff under Clinton, he's the head of the transition team and he talked about this transition here. You are talking about some 450 people involved and employed here, $12 million is the price tag for all of this to run.
And one of the things that they are talking about is that they are using old Clinton hands, people who really have a lot of experience, a lot of prestige. One of the names that came up was former governor rather Senator Sam Nunn of Georgia as one of those people who is an informal adviser to Barack Obama and the transition team.
Obviously, a lot of folks weighing in. We don't expect announcements today, but we do expect announcements later in the week to talk at least about some of the staff members in the White House, those cabinet positions, of course, quickly to follow. Looking at things like Secretary of State as well as who's going to head up the Pentagon. John.
ROBERTS: Of course, there was that historic meeting on Monday when Senator-President-elect Obama went to the White House to meet with President Bush. New details are coming out about that, what are we learning this morning?
MALVEAUX: Well, it's interesting because both men sat down and really made their priorities known and they were quick to say, the White House as well as the transition team, that there was not any kind of deal making but Barack Obama made it very clear to President Bush his priorities in terms of getting that second stimulus package approved before he takes office, that he would like President Bush to be behind him on that.
There's no indication that President Bush is going to back him on that. He also says he wants some of that bailout money to go to the auto industries, that he thinks that's particularly important because we've seen such bad news coming from those companies. And President Bush on the other hand really emphasizing that he wants that Colombia free trade agreement to pass, really a part of his legacy.
Both of these men obviously making the point clear, but at the same time saying that's a kind of quid pro quo, but this is something that you look at and you see their priorities being laid out, the transition they want to make it as smoothly as possible. Both of them also emphasizing there's still one president, but Barack Obama wants to make it clear where he's heading. John.
ROBERTS: All right. Suzanne Malveaux for us this morning, live for in Chicago. Suzanne, thanks so much. CHETRY: Well you know it's only been a week, but the honeymoon is apparently over for President-elect Obama. AMERICAN MORNING's Jim Acosta joins us now live from Washington. Well, you have republican Senator Saxby Chambliss using Obama in a new ad. What have you heard about that, Jim?
JIM ACOSTA, CNN CORRESPONDENT: That's right, Kiran. The Republican senatorial committee has a new ad on behalf of Saxby Chambliss who is now in a run-off against democratic Jim Martin. The ominous spot warns of giving Obama a rubber stamp in congress. It is possible to attack a president even before he's even the president? For some on the right, the answer is yes.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Many are very nervous about Obama.
UNIDENTIFIED MALE: Will we wait until he makes a mistake?
ACOSTA (voice-over): Some conservatives aren't even waiting for Barack Obama to move into 1600 Pennsylvania Avenue. Commenting on Obama's economic agenda, republican Congressman Paul Brown told a rotary club in his Georgia district, "in my opinion we've elected a Marxist to be president of the United States." CNN's calls to three of Brown's congressional offices for a comment were not answered.
Meanwhile some of the same pundits Hillary Clinton referred to as the vast right-wing conspiracy are at it again. Whether it's Rush Limbaugh -
RUSH LIMBAUGH, RADIO TALK SHOW HOST: This is an Obama recession, might turn into a depression. He hasn't done anything yet, but his ideas are killing the economy.
ACOSTA: Or Ann Coulter on the radio.
VOICE OF ANN COULTER: Sounds like there are going to be a lot more Waco raids. Elian Gonzalez snatchings. I don't know. I don't know.
ACOSTA: Or Fox News show Sean Hannity who with the election countdown to 2012 already featured on his web site.
SEAN HANNITY, FOX NEWS HOST: Why should I have any confidence that the radical Barack Obama isn't emerging very quickly?
ACOSTA: Liberals are enjoying every minute of it.
HILARY ROSEN, CNN POLITICAL CONTRIBUTOR: I think it's going to be very hard to reinvent the image of President Obama. This country is on his side. And the republicans I think are making a mistake by trying to undermine him before he gets started.
ACOSTA: According to a new CNN-opinion research poll the public has a much more favorable view of the democratic party, 62 percent versus 38 percent for the GOP. RONALD REAGAN, FMR. U.S. PRESIDENT: I accept your nomination for the presidency of the United States.
ACOSTA: That may explain why the republican national committee has just launch what it describes as a grass roots web site. It's called "republican for a reason."
UNIDENTIFIED MALE: Mr. Gorbachev tear down this wall.
ROSEN: It's what the republicans are going to have to do is find a reason to get people to want to change. Because the next time we talk about change, it's going to mean change from democrats to republicans, not the other way around.
(END VIDEOTAPE)
ACOSTA: As for Congressman Brown he told a Georgia radio station he now regrets his comments. The Obama transition team is brushing off these attacks and pointing out that the republicans in the White House are showing plenty of bipartisanship as they prepare to hand over power, Kiran.
CHETRY: All right, Jim Acosta, we'll see how bipartisanship works out in the coming weeks and months. Thanks.
ACOSTA: You bet.
ROBERTS: He is the most wanted man on earth, but why can't we catch Osama Bin Laden? As a new president takes over the reins, our special series "Memo to the President" continues. You're watching the most news in the morning.
(COMMERCIAL BREAK)
ROBERTS: 38 1/2 minutes after the hour. Time to fast-forward now to see what stories will be making news later on today. Treasury Secretary Henry Paulson, expected to give an update on the $700 billion bailout this morning . Critics have said the Bush administration is not being tough enough on banks which are getting a huge chunk of taxpayer dollars.
An approaching cold front could spoil Friday's planned launch of the space shuttle "Endeavour" at the Kennedy Space Center. The crew will help remodel the international space station to accommodate a bigger, permanent crew. It's also bringing up a new bathroom, very important, a kitchens, two bedrooms and a gym.
And a symbolic but also bittersweet day in the Bronx. Crews will remove the original Babe Ruth monument from the old Yankee Stadium today. It was dedicated in April of 1949 and was actually in play until the House that Ruth built was renovated in 1970s. The Yankees are moving across the street to a new billion dollar Yankee stadium that opens next season.
ROBERTS: Our Jacqui Jeras at the CNN weather center in Atlanta. She's tracking the weather today, and there's a whole lot of fancy colors behind you there, Jacqui, which means bad news for some folks.
JACQUI JERAS, CNN CORRESPONDENT: Yes, absolutely. A lot of rainfall. By the way this is the one that could prevent the international space station from getting that new bathroom and bedroom. By the way, as the cold front pushes off to the east. But boy, a lot of rain today.
Look at this. It is just coming down in buckets here. We're talking an inch an hour and some of these heavier showers and thunderstorms as they push on through. So, rough travel along i-10 today. This is going to be moving into New Orleans we think maybe an hour and a half or so from now.
So it's certainly going to need the umbrella before lunch. The rain heavy enough that we do have some flood watches in effect across southeastern part of Texas and throughout much of Louisiana but this isn't quite making it towards Baton Rouge and New Orleans because you need the rain so badly. We don't think you'll have quite as much runoff. Hopefully it will absorb things.
All right, we got a couple of delays to talk about here if you're traveling in the airways today. A ground stop in effect right now at Chicago O'Hare. That's in effect until 9:30 this morning. This is a volume issue, but low clouds and some rain showers pushing into the area.
So, weather could be impacting you with your air travel here as well as into the Detroit area. Later on today. This is all part of a related system that will be moving eastward over the next couple of days, but kind of a slow mover. As high pressure to the east here kind of blocking it out. That's also bringing some rough surf into the Atlantic beaches.
There you can see some of the rain across the Midwest, and some of the snow showers, too, across northern parts of Wisconsin, also into the U.P. of Michigan where temperatures really chilly, into the lowers 30s and upper 20s this morning. It will be tough to recover, too, with a lot of this cloudiness.
Look at the high temperatures, very chilly here. And even kind of coolish across the southern tier of the state. We also have big weather out west. Very windy conditions, heavy rain and flooding here, too. We'll talk a little bit more about that coming up later on in the NEWSROOM. John.
ROBERTS: We kill see you then, Jacqui Jeras. Thanks very much. Now, 19 minutes at the top of the hour.
(BEGIN VIDEOTAPE)
CHETRY (voice-over): Public enemy number one -
I talked to dozens of CIA guys who have been in on the hunt for him. And half of them told me they assumed he was dead. The other half they assumed he was alive. But the key word here is "assumed." they don't know. CHETRY: Osama Bin Laden, the world's most wanted man still alive? And if so, how do you catch him? Kelli Arena with this morning's "Memo to the President." You're watching the most news in the morning.
(COMMERCIAL BREAK)
CHETRY: welcome back to the most news in the morning. Seven years after 9/11, the U.S. still hasn't caught Osama Bin Laden. Most agree that catching him is still the mission for President-elect Obama. Continuing our series, "Memo to the president" Justice correspondent Kelli Arena explains that intelligence on Bin Laden is so limited, we don't even know if he's dead or alive.
(BEGIN VIDEOTAPE)
KELLI ARENA, JUSTICE DEPARTMENT CORRESPONDENT (voice-over): What happened? Mr. President, Osama Bin Laden's trail has run cold. U.S. officials say they haven't had a solid lead since late 2001.
ROBERT BAER, FORMER CIA OFFICER: I talked to a dozen CIA guys that have been on the hunt for him. And half of them told me they assume he was dead, the other half say the assume he's alive but the key word here is assume. They don't know.
ARENA: They also assume that Osama Bin Laden is hiding in the tribal areas of Pakistan, an area that's isolated, mountainous and difficult to navigate. U.S. predator drones have been firing a lot of hell fire missiles but drones can't replace on the ground intelligence.
ROBERT GRENIER, FMR. CIA PAKISTAN STATION CHIEF: One individual who may have access to the families and the clans in a particular valley, if he goes to the valley next door and starts asking questions he's going to probably end up dead pretty quickly.
ARENA: Cultivating informants is dicey. So what about using force? Most experts agree deploying troops in Pakistan is a no go. Those hell fire missiles have killed several Al Qaeda leaders but innocent civilians as well and that's a big political problem. Dalton Fury was the commander of the special forces near Tora Bora, Afghanistan in 2001.
DALTON FURY, FMR. SPECIAL OPERATIONS COMMANDER: It doesn't matter if you have Al Qaeda number three or one of the senior Taliban leaders. They're going to put on national television the people that you killed. So that's the strategic risk you take every time you launch that.
ARENA: What about Pakistan's military. Can they get him?
GRENIER: They won't do it. They've got much more important fish to fry.
ARENA: Terrorism experts say the U.S. does too. But catching Bin Laden remains symbolically important. (END VIDEOTAPE)
ARENA: Unfortunately, each strategy to catch Bin Laden relies on the terrorists making a mistake to reveal his location which is not the greatest position for a super power to be in. Kiran.
CHETRY: And, Kelli, also Barack Obama has talked about wanting to put more troops in Afghanistan. What do the experts say about whether or not that would actually help in the hunt for Bin Laden?
ARENA: They're skeptical. They say that, first of all, they believe he's on the Pakistan side of the border and they still say that more cooperation from Pakistan, both in the military and intelligence side, is necessary and to date it's been pretty sketchy.
CHETRY: All right. Kelli Arena for us in Washington. Thanks.
ROBERTS: CNN NEWSROOM just minutes away. Fredricka Whitfield at the CNN Center now with a look at what's ahead. Good morning Fredricka.
FREDRICKA WHITFIELD, CNN ANCHOR: Good morning, to you, John. Here's a check of what we're working on.
Where's your money going? Treasury Secretary Henry Paulson has an update on the financial rescue package and his thoughts about his successor. The president talks about the president-elect in an exclusive CNN interview.
And no lullaby for this toddler at bedtime. She sings a fight song. Starting at the top of the hour here on CNN, John.
ROBERTS: Looking forward to it, Fred, thanks very much. We'll see you soon.
(BEGIN VIDEOTAPE)
ROBERTS (voice-over): Music for your heart. Dr. Sanjay Gupta on how your favorite songs do more than just lift your spirit. They could actually help you live longer. Play it again, Sam!
You're watching the most news in the morning.
(END VIDEOTAPE)
ANNOUNCER: This is CNN's "Heroes."
(BEGIN VIDEO CLIP)
Come on, this way.
Children are a joy to me. That's why I'm a nanny. I was born and breed in Malawi. I have 14 members of my family who have died of AIDS. When I visit Malawi, I visit my family at the graveyard. We have hundreds of thousands of orphans. When I heard that the AIDS orphans would have no school, it touched me to say that I need to help. I'm Marie Da Silva, and my mission is to educate AIDS orphans in Malawi. Jacaranda School is in the house that I grew up in. They study in my bedroom. They study in the pantry. They study in the garage. We have a lack of just about everything. But we are doing amazingly well. This is the incentive.
Every month I send in $1,000, about 30 percent of my monthly wages. I do this because I know that the children there need it. When my father was dying, there was this huge Jacaranda tree outside that brought in life. For me the Jacaranda tree symbolizes hope, and that's what I want to give for the children at the Jacaranda School.
ANNOUNCER: Vote now at CNN.com/heroes.
(END VIDEO CLIP)
(COMMERCIAL BREAK)
(MUSIC PLAYING)
ROBERTS: Welcome back to the most news in the morning. And it's been said that music soothes the soul and calms the savage beast whatever. It also may be helpful to your heart. We're "Paging Dr. Sanjay Gupta." He's at the magic wall in the CNN center. Where did you get one of those, Sanjay?
DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: We just happened to go out and buy one.
ROBERTS: There you go.
GUPTA: I got to point out, I saw Coldplay last night. Pretty good. So eat all your heart out.
ROBERTS: So what is this? Is this an indication that if I plug my ipod into my arteries, it would be as good as if were to take statins, what's going on here
GUPTA: Well, you know there's been a lot of sort of anecdotal evidence for some time but listening to music that you particularly enjoy could be good for your heart, specifically for your blood vessels. So the researchers decided to put it to the test. Admittedly a pretty small study, only about ten patients, but we think there's something there, which is why we wanted to show you this today.
Take a look at here. What they did was actually measured the diameter of blood vessels in someone that wasn't listening to music. And compared to over here, this is the diameter of the blood vessels in someone who is not listening to music. And compared it over here, this is the diameter of the blood vessel. I hope you can see that but about 23 percent increase when someone was listening to enjoyable music. And take that one step further, John, and actually compare enjoyable music to anxious music. Not only did enjoyable music make the blood vessel bigger, but anxiety-provoking music made it smaller. So there seemed to be a direct relationship. As you know, John, probably a lot of our viewers know as well, that making that sort of work for people is the key. And what happens here if the blood vessels start to get a little bit bigger, it allows more blood to sort of course through the body and if you look at areas like this, if you have more blood vessels, you're going to reduce your likelihood of heart attacks. You're going to reduce your likelihood of strokes. That's what the study's all about. It could be as simple as music, although obviously there's a lot more to it. John.
ROBERTS: We talk about this difference between soothing music and the anxiety-causing music. And you know, music like AC-DC has been know to clean the wax out of your ears but would that be harmful or perhaps beneficial to your heart?
GUPTA: You know it depended on what the person listed as the type of music that they enjoyed. So one person might find anxiety provoking but someone else might find very enjoyable. But there were certain types of music that across the board seem to be the most favorable. About 40 percent of the people said country music was the best and 30 percent pop or rock and then only about 20 percent said religious or gospel music was going to be the best in terms of dilating those blood vessels in the long run, John.
ROBERTS: Every time I listen to country music, it's the lyrics that provoke anxiety, it's like I lost my truck and my dog died and all that. So I don't know.
GUPTA: There are some ballads and love songs, some uplifting stuff as well. Apparently, at least that's what these study participants thought.
ROBERTS: Hey I like your magic wall, Sanjay.
GUPTA: I'm getting pretty good at this thing. Not bad, right?
ROBERTS: Oops. Famous last words.
GUPTA: Right.
ROBERTS: Can you tell me what the vote differential was in Hamilton county?
GUPTA: I think that's a whole different screen. I can show you the heart and blood vessels. We'll get to the county counts later.
ROBERTS: All right. Thanks, Sanjay. Good to see you. Thanks.
Coming up on 55 minutes after the hour.
(BEGIN VIDEOTAPE)
ROBERTS (voice-over): Buying off the rack.
MOOS: Ivory Sasha and pink Sasha.
ROBERTS: Jeanne Moos tracks down the source of the first kids' fashions. And finds some very surprised designers.
You're watching the most news in the morning.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
JAY LENO, HOST "THE TONIGHT SHOW WITH JAY LENO": And there's a new rumor that Hillary Clinton may end up Secretary of State, which means you have to spend the next four years traveling all around the world to which Bill said, yes!
(END VIDEO CLIP)
CHETRY: Well, the night her dad made history, little Sasha Obama was making a splash of her own. Jeanne Moos shows you how a cute seven-year-old on a stage around the world became an instant fashionista, size small.
(BEGIN VIDEOTAPE)
JEANNE MOOS, CNN CORRESPONDENT (voice-over): Only seven years old, and already she's got something named after her? What's this dress called now?
UNIDENTIFIED FEMALE: Well, we're calling it Sasha now. Why wouldn't we?
MOOS: After all millions saw her wearing it. Sure, it was Mrs. Obama's dress that caught everyone's eye and lots of flak. Described by one blog as hell-colored. A critic posted she was probably just dressing a moose backstage. But the kids are also casting fashion shadows, albeit little ones. The designer of Sasha's dress watched President-elect Obama make his victory speech on TV without recognizing her dress, until a co-worker showed her a photo the next morning.
CAROL HICKS, COWORKER: Linda, can you believe this? Look at this, this is your dress!
BRENDA EDWARDS, DESIGNER SASHA DRESS: That's what she did. It was a little bit louder.
MOOS: How did designer Brenda Edwards react?
EDWARD: I said -
MOOS: Here at Gerson and Gerson overlooking Macy's in New York City, they are now creating Sashas in colors other than black for next season. Ivory Sasha, we got pink Sasha. They are Sashas everywhere. The company says they believe the Obamas bought the dress at Nordstrom's or Dillard's perhaps for about 75 bucks.
BARBARA ZEINS, PRESIDENT GERSON & GERSON, INC.: I shed a few tears over this. I think we all did. We come to work every day and we're just sort of your average schmoes (sp) making dresses in the back room.
MOOS: As for Malia's dress, it's maker, Biscotti, Inc, says it retails for about $110. Leading one person to post on the "Wall Street Journal" blogs, "so does this mean Obama's going to add an extra $110 tax credit to each child so we can buy them designer clothes that they will outgrow in a year?" Hey, come on, it's a dress for the night her dad was elected president.
(MUSIC PLAYING)
Isn't she lovely.
MOOS: The Biscotti co-owner is volunteering to dress the girls for the inauguration. When their mom wore this on the "The Tonight Show."
MICHELLE OBAMA, WIFE OF SEN. BARACK OBAMA: This is a J. Crew ensemble.
JAY LENO, HOST "THE TONIGHT SHOW WITH JAY LENO": Really. Wow.
MOOS: J. Crew use that to take advantage of the Obama connection. The kiddie clothing companies say they don't expect to make much money from the girls, but, boy, are these models cute.
SASHA OBAMA, DAUGHTER OF SEN. BARACK OBAMA: Hi, Daddy!
BARACK OBAMA: Hey, sweetie.
MOOS: Do you have it in a size 12? Nah, it helps to be small enough to pick up to qualify as a first kid fashionista. Jeanne Moos, CNN, New York.
ROBERTS: They certainly are darling, aren't they?
CHETRY: Adorable.
ROBERTS: You're seeing a lot more of them. Thanks so much for joining us on this AMERICAN MORNING. We'll see a lot more of you back here again tomorrow.
CHETRY: Bright and early. Meanwhile, here's CNN NEWSROOM with Fredricka Whitfield.
