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South Carolina Fire Forces Coastal Evacuations; Peapod Joins Lineup of Alternative-Power Vehicles; Dream Act Inserts College into Immigration Debate; Muslim Groups Accuse FBI of Spying

Aired April 23, 2009 - 10:00   ET

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


HEIDI COLLINS, CNN ANCHOR: Secretary of State Hillary Clinton is back on Capitol Hill this hour. She's appearing before the House appropriations subcommittee to talk about her department's budget. Clinton will also likely face more questions about Iran and the Taliban's growing impact in Pakistan. We'll keep an eye on that hearing and bring you live updates just as they happen.

Also on the Hill at the top of the hour, a House hearing on predatory lending. Many say practices like these helped lead to the housing boom and subsequent bust that touched off an economic recession. On the table today, a bill to set mandatory minimum standards for mortgage lending.

Well, today may be the day thousands of GM workers learn if their shops will temporarily go dark. The struggling automaker will reportedly idle up to nine plants for the summer. The closures are expected to occur during GM's normal two-week shutdown in July.

Walls of smoke and flames, police banging on doors in the middle of the night to get people out. The fire that started yesterday near North Myrtle Beach is still moving fast, still out of control, in fact. More than 15,000 acres and at least 40 homes have burned. Firefighters from about a dozen surrounding communities are now on the scene, and so is the Air National Guard.

And moments ago, South Carolina's governor declared a state of emergency in that area. The mayor of North Myrtle Beach says the good news is, no one has been injured, and three shelters are now set up.

(BEGIN VIDEO CLIP)

MAYOR MARILYN HATLEY, NORTH MYRTLE BEACH, S.C.: Southwest of 22 and 31 exchange, the fire seems to be picking up again. At noon, the Myrtle Beach Fire Department is sending the USAR team for building search. Then our building department, the North Myrtle Beach building department, is at the present time conducting damage assessment. Until a damage assessment is completed, we will not know how many structures have been damaged or destroyed.

(END VIDEO CLIP)

COLLINS: People living near this busy tourist area are grabbing what they can when they're told to get out.

(BEGIN VIDEO CLIP) UNIDENTIFIED MALE: I see the smoke like five houses or three houses close to my house, and then I called my wife, and tell him (ph) I see smoke. He says, I can do nothing. I need more people. And I say, well, I'll help you pull the hose, the water hose, and he said no.

UNIDENTIFIED MALE: Lost a lot of money right there. A lot of money. And the truck had a sentimental value, too. The shop did, too. If I have to, I'll go to a motel room or somewhere. Me and my wife and my young one.

(END VIDEO CLIP)

COLLINS: Boy, really rough situation there. Rob Marciano joining us now to talk a little bit more about the weather behind all of this. Because we've been talking, Rob, about the wind, of course, in this situation?

ROB MARCIANO, AMS METEOROLOGIST: Yes, dry, you know, they've been under a long-term drought, especially upcountry. The Low Country of South Carolina, not so much, but that area certainly dry and will continue to be dry today. The winds are certainly a factor and will push the fire more towards the resort community. So, we're out of the west right now six, seven, eight miles an hour. So, that's not too bad. We don't expect the winds to get too much more than that today, maybe 15 mile-an-hour, 20 mile-an-hour gusts at best.

The rainfall, though, down across parts of south Georgia. And I think that's where it remains. So it's not really going to across the border. We are not going to see any rainfall today. So what they have to work with is what they get. The problem is the direction of this in the fire itself, just north of South Myrtle Beach, or where the really populated areas and the most money is as far as resorts are concern and where their bread and butter is. So that west wind is going to continue to push it towards that area.

So they certainly want to get a handle on it today. As far as what temperatures they expect to see today, temps will be in the 70s, 80s and then might even be warmer than that tomorrow. So no rain in the forecast, one, Heidi, and dry air in the forecast as well. So no real rain in the forecast as we go through the next couple of days, and here comes that surge of warm air, which has been out west, where they've seen four days in a row of record-setting temperatures in California. Our friend, SoCal, will finally start to see a cool down. Back over to you.

COLLINS: All right. That sounds good. I know you'll stay on top of all that for us. Thanks so much, Rob.

MARCIANO: You got it.

COLLINS: Credit cards and consumer anger. Millions of Americans are discovering big changes in their monthly statements. Today their outrage echoes from the White House to Capitol Hill. If you have plastic in your wallet you likely have a vested interest in how this story is unfolding. CNN's Brianna Keilar is on Capitol Hill now, where new consumer rights are taking shape, and Suzanne Malveaux is at the White House where the president meets with credit card executives a little bit later on today.

I want to begin though with Brianna. Because a lot of people are wondering about this, Brianna, almost everybody uses credit cards it seems. What kind of changes are we talking about?

BRIANNA KEILAR, CNN CONGRESSIONAL CORRESPONDENT: There's a few big ones, Heidi. The first one is that it would force, at least in a bill being considered by the House of Representatives, it would force credit card companies to give you 45 days' notice if they're going to increase your interest rate. It would force them to mail your bill to you 25 days, at least 25 days before that bill is due, and also it would stop credit card companies from increasing your interest rate on a card.

If, for instance, you make a late payment or you miss a payment on another card or another debt, and these are changes, Heidi, we should point out, credit card companies are not a fan of. They say that if they can't penalize risky cardholders, they're basically going to have to spread it around and might have to deny credit or limit credit for other consumers and small businesses.

COLLINS: Well, what are the chances, Brianna, that this could actually pass?

KEILAR: Well, here in the House, and they are voting next week, it's pretty likely. The Senate, though, is a question mark, Heidi. Similar bills to this have died in the Senate before, and there are still even some democrats who are not onboard with this. That could be a place where President Obama might exert some influence. But it's important to note if this does become law, these changes would not go into effect until next summer, more than a year from now, Heidi.

COLLINS: Yes. Why is it going to take so long?

KEILAR: Well, it would go into effect at about the time the Federal Reserve actually implements similar regulations, and Carolyn Maloney, the congresswoman from New York who is behind this whole credit cardholders' bill of rights she wanted these things to go into effect much sooner. She was actually rebuffed by some members of her own party who agreed with the fed and with credit card companies who said that credit card companies wouldn't be able to implement these changes fast enough.

COLLINS: All right. We'll be watching all of the action today. Brianna Keilar from Capitol Hill this morning.

Now let's turn to White House correspondent Suzanne Malveaux this morning. So wondering, Suzanne, what does the president actually hope to gain from today's meeting?

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: He certainly hopes to call attention to this and essentially show the American people that he's paying attention and that he understands that the credit card abuse exists, that he supports legislation that Congress and Brianna was talking about there. Valerie Jarrett, one of his top advisers, said that the president believes new rules for the road for the credit card industry are needed and he looks forward to having an open and productive conversation with the representatives of the credit card industry, about the impact of the current crisis on consumers.

Obviously, some big names, Heidi. You're talking about American Express, Visa, a number of these executives will be here and they say this is about transparency, it's about accountability and what are we looking at here? One of the things he's going to talk about is support for the fed's new regulations. They're going to take affect in July of 2010. The highlights of those include forbidding banks to treat payments as late until at least three weeks' overdue.

Another one forbids raising the interest rates from the initial amount unless that increase is disclosed in advance. And finally, advance, double cycle of billing process that these credit card companies actually engage in. This is all about the president, once again, showing, look, I understand that people are suffering. Credit card industry in some ways has taken advantage of some vulnerable folks and that we're going to make sure we're on top of this.

COLLINS: Well, Suzanne, I know you're well aware, we're less than a week away now from the president's 100-day mark. Are you hearing anything from the White House on that?

MALVEAUX: You think we're preparing for this, Heidi? They are definitely going beyond preparing for this.

COLLINS: They started since day one.

MALVEAUX: They know this is coming that all eyes are going to be on them. Essentially, report card, our own network is going to be doing something rather extraordinary, asking viewers to go ahead and weigh in themselves.

On Wednesday, the president is going to be in St. Louis, Missouri and he's going to hold this town hall meeting and essentially he is going to lay out, here is what I've done the first 100 days of my administration and then he's going to take questions as he does in these settings, asking the American people, what do you think? You know, what should we do next in terms of going forward on our agenda.

So we expect to get a lot of people involved on Wednesday, the first 100 days, this White House very much preparing for what a lot of people are going to be looking at, and that really is kind of just this moment, this report card moment, to check in and see how they're doing.

COLLINS: All right. Very good. CNN's Suzanne Malveaux for us in front of the White House. And if Suzanne is exactly right, wouldn't it be cool to grade the politicians you elected? You can join us on President Obama's 100th day in office, or the "CNN National Report Card," Wednesday night. Grade them with CNN's best political team. Let's do it together. Rate the president, Congress, state leaders, all of them on Wednesday, beginning at 8:00 Eastern on CNN, and cnn.com/reportcard. You aren't going to want to miss this.

The fight for Iraq and a developing story out of Baghdad now. The Iraqi military says it has captured a top leader of Al Qaeda in Iraq. According to Iraq's state TV, Omar al-Baghdadi was seized during a major military operation in the capital. The U.S. military has not yet confirmed the capture and it is worth noting, two years ago there were false reports that he been captured and killed. Of course, we are following this story, and will bring any new developments, should they come.

Pakistani troops moving quickly today to protect a district threatened by the Taliban. One police officer in the security convoy was shot and killed by a gunman. CNN's Jim Clancy looks at where the conflict is taking place and how the Taliban got this far into Pakistan.

(BEGIN VIDEOTAPE)

JIM CLANCY, CNN INTERNATIONAL CORRESPONDENT: The Taliban isn't backing down. Instead, they are ratcheting up the pressure on a nuclear armed nation that is struggling politically, economically and militarily. The Taliban nurtures its following in the tribal areas of the northwest frontier province. In a controversial deal the government agreed to pull out its troops and allow Shariah law in the Swat Valley. That is about 160 kilometers or 100 miles from Islamabad. The Taliban was supposed to hand over its weapons. They didn't. Far from it.

Armed elements of the Taliban are now in the Bruner district moving even closer towards the capital. They've taken over a radio station, mosques and looted NGOs, stealing vehicles and food aid. The Taliban say all they want is to install Shariah law, but it's much more than that. The Taliban use Shariah law to mark territory to say, we control this, not the government.

Sunday, the Taliban rallied in the Swat Valley, and why not? They've made impressive gains. The Taliban has used beheadings, kidnappings and beatings to force civilians into line. Girls will not be getting an education. For the U.S. is gearing up for a fight against the Taliban in Afghanistan, the Taliban is expanding its safe haven across the border. The big question - Pakistan's response. If it follows a similar path in Buhner as it did in Swat, there are real fears this nuclear armed nation is careening towards capitulation by negotiation. Back to you.

(END VIDEOTAPE)

COLLINS: Fresh out of college, and itching for a job, beware of interview mistakes. We'll get some tips on how to avoid them from a career expert.

(COMMERCIAL BREAK)

COLLINS: Following the money. A hearing happening right now on Capitol Hill about those so-called TARP funds. That's the $700 billion in federal bailout money for banks and other financial institutions. And a predatory lending hearing also happening this hour. Representative Barney Frank, financial services committee, examines the bill to crack down on lenders and lacked standards which many people say helped lead to the housing bust.

On the employment front, jobless claims rose more than expected last week. The Labor Department reports the number of new jobless claims rose to 640,000. And the total number of workers continuing to file claims for unemployment benefits topped 6.1 million. That sets a new record for the 12th straight week now.

And on the housing front, existing home sales fell more than expected last month. The National Association of Realtors just released figures showing sales of previously occupied homes fell three percent last month to an annual rate now of 4.5 million.

Well, are you about to don that cap and gown? Congratulations. Now sit down, mom, dad and college grads, because we got some advice on how to avoid making big mistakes when you or your graduate interviews for that big job.

Rosemary Haefner is vice president of human resources at careerbuilder.com. She's joining us now live from Chicago. So, Rosemary, thanks for being here. First off, careerbuilder.com did a survey of employers and they wanted to find out what some of these big mistakes were. These were recent college graduates going through the interviewing process, and here's what you found out.

Look at the graphic here. Apparently 63 percent of interviewees acted bored or cocky. 61 percent of them dressed inappropriately. 58 percent showed practically no knowledge of the company. 50 percent, that's half, left their cell phones on, and 49 percent of them really not asking very good questions during the interviews.

Some of this is pretty amazing to me. Those are the don'ts. But you also have some of the do's, because this works out for everybody. Doesn't have to just be the college grad, right? Number one, come prepared.

ROSEMARY HAEFNER, CAREERBUILDER.COM: Come prepared. And you know, getting the interview these days is a very exciting moment. A lot of people talk to me about sending out what seems like tons and tons of resume and then they got there and they haven't done the research. They don't know about the company, they don't know about the industry and that comes in just loud and clear, that comes across to the hiring manager. It's the number one source of frustration when they are interviewing.

COLLINS: Yes. And that's pretty easy to do these days, with all of the information that's out there on the web and so forth. So it sounds like an easy one to fix anyway.

Also, emphasize what you can bring to the table. You've got to know how to sell yourself?

HAEFNER: Exactly. Yes, sure, the hiring manager has seen your resume but they really need you to connect the dots. To talk about those projects you've completed, experience you have and how it absolutely fits in to the job profile that they're hiring for.

COLLINS: Brag, but do it in a humble way if at all possible.

HAEFNER: Absolutely.

COLLINS: Also, don't focus on the negatives, especially if you're asked about the current company you work for or the one you've worked for in the past.

HAEFNER: It's interesting that this is where people tend to go first. They talk about a bad boss. They talk about great work they've done that's unappreciated. And the only thing the hiring manager is thinking is, if I hire this person, this is how they're going to be in my company. Very negative, not a team player. So be very careful in your tone. Always look for the positive side.

COLLINS: Yes, definitely. How about offering ideas and then ask good questions?

HAEFNER: Good questions. So, again, coming prepared, but at this point, use this as your opportunity to decide if you got that job offer, do you actually want to take it? This is your chance. Learn what you can. So do your research on your self, what are your needs, what do you want to know about that company?

COLLINS: Yes.

HAEFNER: Ask good questions when you have that time.

COLLINS: Yes, you do have that opportunity. Sometimes not again after the interview process.

Conveying a professional image. Dress right, turn your cell phone off.

HAEFNER: Turn the cell phone off. Again, it seems really obvious but a lot of people do forget, and a lot of time, it's an innocent slip of the mind.

COLLINS: Sure.

HAEFNER: But dress professionally. Make sure you're on time. Don't be slurping your coffee when you're in the interview. All these things happen on a daily basis. So, quick fixes. Make sure you're being very professional when you're conveying yourself.

COLLINS: Respect is a very big part of this, both for the people you're interviewing and for yourself. Rosemary Haefner, we sure do appreciate your time today. Thank you.

HAEFNER: Thanks.

COLLINS: Keeping up with friends and family on Facebook is one of the fastest growing online social networks, but be careful, because it can be addicting. We'll tell you why.

(COMMERCIAL BREAK)

COLLINS: Facebook, it's a great way to stay in touch with family and friends. But for some people the online social networking site can become a downright addiction. How do you know when you've crossed the line and what can you do to fix it? CNN's senior medical correspondent is here with this week's "Empowered Patient." I don't know, turn off the computer?

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Some people can't.

COLLINS: OK.

COHEN: Heidi, I got to tell you about a woman I have talked to for this story. She is 51 years old, single mother of a 12-year-old girl, and her daughter came down and said mommy I need help with my homework. And she said, I'm on the computer now. She was on Facebook and she couldn't get off.

The daughter went upstairs to her bedroom, sent her mom an e-mail saying, hey, I need your help, but she never got the e-mail because she was on Facebook. She spends 20 hours a week on Facebook. She says half for work and half for fun. Ten hours just to communicate with Facebook friends. And she knows that she's crossed the line but can't just turn off the computer. She says she can't do it.

COLLINS: Wow. All right. So you do have some ways, like particularly five ways that you can help people who are feeling like maybe I'm just playing on there too much?

COHEN: Right. Because you know, of course, the vast majority of people on Facebook are doing just fine. It's a wonderful addition to their life.

COLLINS: It's like the video games we talked about yesterday.

COHEN: Right. Exactly. It's very similar. So, for most people it's fine. But how do you know when you've crossed the line? So, here are the top five reasons starting with five. You lose sleep over Facebook. If you're up at 2:00 in the morning, that's a problem. It means that you're not functioning very well the next day.

Four, if you spend more than an hour a day on Facebook, now that's not a hard and fast amount of time, but the psychologists I talked to said, who needs more than an hour a day on this? That may be a sign you're going overboard. You become obsessed with old loves. Now every one I know who is on Facebook including me, I met up with people I haven't seen since 1972. OK.

COLLINS: A boyfriend?

COHEN: No. Just old friends. Old boyfriends, they haven't surfaced yet. I don't know why. They don't want to be my friend.

COLLINS: They know now. COHEN: Oh, boy. So if you linked up with someone who was your, you know, ninth grade girlfriend and you find yourself talking to them a lot and becoming obsessed that can be a problem. You should be obsessed with the person you're married to, not the person who you loved in 1973. OK.

You ignore work. Now, all of us. Well, I shouldn't implicate myself. Everybody spends time online, a little bit to avoid work. There's nothing wrong with that. But it's over and over again you find yourself just wanting to be in the Facebook world, that's a problem if you're ignoring your work. Number one, the thought of going off Facebook puts new a cold sweat.

COLLINS: Oh, come on.

COHEN: The woman I talked to she said, her therapist told her to get off Facebook. She could get off of it for a day but she says, Elizabeth, I couldn't do it for the whole weekend. She said, I just can't do it. She gets so much pleasure out of communicating with people on Facebook, and part of it is because her own life has some issues. But if you want to learn more about this -- we talked to some psychologists -- you want to go to cnnhealth.com right now. Are you a Facebook addict? Cnnhealth.com.

COLLINS: Isn't it good though, to some extent, and I think you hit the nail on the head, from what I'm understanding anyway. If you have some issues with your life, you know, outside of this, then this could possibly be a difficult thing for you to get away from Facebook. Because a lot of people say, well hey, it's great to be able to connect with people in your past.

COHEN: It is great to connect, and here's where you draw the line. Where Facebook world becomes a happier place for you than the real world. Because on Facebook, nobody has any problems. You're not paying bills. You're not fighting with your spouse about who's going to change the diapers or do the dishes. Everyone seems quite lovely. And so it might seem to be a preferably place to live compared to the real world where you are fighting with your spouse or with your children.

COLLINS: All right. Well, interesting topic. And I know tomorrow is "Empower Me," so you're going to be taking all kinds of questions and then trying to get them answered right here.

COHEN: That's right. Tomorrow is "Empower me Friday." And we're going to be helping a family whose son has a mental illness and their insurance has, well for lack of a better word, kind of pooped out on them. This is a big problem, and insurance doesn't always cover mental health issues very well. We're going to help them get some care. And any other questions, send them to empoweredpatient@cnn.com.

COLLINS: Very good. All right. We look forward to that.

COHEN: OK.

COLLINS: Thank you, Elizabeth.

College dreams denied. Outstanding students who may have grown up on your street are caught up in the immigration debate. We'll hear one student's story and both sides of the argument.

(COMMERCIAL BREAK)

COLLINS: President Obama meeting with top executives of the credit card industry today and they will be focusing on your wallet. The president talking about new charges that have outraged a lot of people. Credit card holders have seen steep increases in fees and interest rates. The president will call for a new consumer protection.

If you are in the market for a credit card, cnnmoney.com has a guide to some of the best credit cards available right now. The guide also tells you which cards are best for certain types of spending or purchases. Again, you can log on to cnnmoney.com for all of those details.

Wouldn't it be cool to grade the politicians you elected? You can do it. Join us on President Obama's 100th day in office for the CNN "National Report Card," Wednesday night. Grade them with CNN's best political team. Do it together. You can rate the president, Congress, state leaders on Wednesday beginning at 8:00 Eastern on CNN and cnn.com/reportcard.

Slumping sales and growing inventories of unsold vehicles. That is forcing GM to take drastic steps. GM reportedly close most of its U.S. factories for up to nine weeks this summer. GM is surviving now on more than $13 billion in government loans and faces a June 1st deadline to restructure or seek bankruptcy protection.

Even as the auto industry struggles, more alternative vehicles are hitting the market every month. CNNmoney.com's Poppy Harlow is on the street of New York now with one of them. You are standing, Poppy, right next to the Peapod.

POPPY HARLOW, CNNMONEY.COM: The Peapod. And I'm not kidding. You plug your iPod in, Heidi, and that's how it works. We'll show you in a minute.

COLLINS: No.

HARLOW: This is a fully owned -- it does, it does. It's a fully owned subsidiary of Chrysler. It's about $12,500, made in Fargo, North Dakota. The battery's made in the U.S. Most of the parts are made in the U.S. It can go about 25 miles an hour. I just drove it around here in Columbus Circle in New York City. Really, feels great. It's an electric car. It's silent and zero emissions.

We are joined by the designer, Peter Arnell. He was brought on by Chrysler about a year ago, and they started, Heidi, designing this just six months ago. So, Peter, thank you for being here. Let's start out with this: 95 percent of this Peapod is recycled material. PETER ARNELL, PEAPOD DESIGNER: It's recycled material, and it's also recyclable. It's incredible because when you build an electric vehicle, an all-electric vehicle, you think, of course, how you're going to put the parts together and why, you know, parts that you put together are relevant to that totalness. And it's amazing. So, the whole car goes back to the earth.

HARLOW: How much does it cost? Much less than, obviously, gas vehicles, but per mile, what are people going to shell out?

ARNELL: It's amazing. I mean, in this economy, it's two cents per mile. So, if you think about what gas costs, and you think about running a battery on a charge that takes you for 30 miles, it's quite amazing.

HARLOW: Now, I should tell you, Heidi, in places like Fargo, where it's made, where I'm from in Minnesota, it's freezing in the winter, and batteries do have a tough time in the winter. He said that reduces their life by about 20 percent.

But, you know, the big question here is Detroit and the auto industry, Chrysler. We are so much about innovation. You started this project just six months ago. How important is that innovation to saving the U.S. auto industry?

ARNELL: Well, I think Chrysler and the automotive industry in general have had extraordinary innovations for over 100 years. I mean, it built this country. And the great thing about this vehicle is, we are proving out that innovation doesn't have to be expensive. And it doesn't have to take a long time.

We can go into the roots, the culture of the company, and pull out the best stuff, give you new types of seats, new types of batteries, new types of driving, a new design very, very quickly, within six months and put it on the road, and, you know, make a happy car.

HARLOW: The front of the car is smiling, mind you. Here's the iPod, Heidi, that it works on. It tells you if you're fully charged or not. We're going to see these on the road in October, just over $12,000. Some competitors out there, the Volt, will hit the market as well from GM.

But thanks, Peter. Appreciate it.

ARNELL: Oh, you're welcome.

HARLOW: Back to you, Heidi.

COLLINS: Hey, very, very quickly, Poppy, safety. People have got to be wondering, with a car that small, about the safety.

HARLOW: I asked him exactly about that. He pulled down his seat belt, so, you know, he talked about the safety, said, you know, of course it's a smaller car. You have to be aware. But he did talk about the fact that it's still a rather heavy, solid car. But safety, yes, it's a big concern.

COLLINS: All right, to the both of you, we sure do appreciate it. Poppy Harlow this morning and Peter with the Peapod. Thanks, guys.

The economy does remain deep in a recession, though, and numerous reports show consumers are limiting their spending to essentials. But there is one big exception. Susan Lisovicz on the floor of the New York Stock Exchange now with details on that. Hi there, Susan.

SUSAN LISOVICZ, CNN CORRESPONDENT: Good morning, Heidi.

COLLINS: What's the exception?

LISOVICZ: Apple. Apple is the bomb, and you know, Heidi, that's not financial mumbo jumbo, that is just the talk on the streets. How does a company do it? When Wal-Mart month after month says that consumers are basically limiting their purchases to food and health care, here's Apple. It sells nearly 4 million iPhones in the first three months of the year. That's double what it did a year ago, and that pushed up its net profit 15 percent for the first quarter.

Also, lower commodity prices like aluminum helped, but Apple did quite well. Its shares are up 3.5 percent. This amid a new slump in existing home sales. Jobless claims, meanwhile, continuing jobless claims, at a record high, above 6.1 million.

What we're seeing in the markets, in the meantime, kind of a slow start...

COLLINS: Yes.

LISOVICZ: Maybe because we've just got so much going on. The Dow is down slightly. The Nasdaq is down a point. Not much going on.

COLLINS: Hey, Susan, do you think it's safe for Apple to rely so heavily on the iPhone in this type of economy. Kind of like putting all your eggs in one basket, isn't it?

LISOVICZ: That's right. And no, it would not be a good idea for any company to do that, especially when you talk about, you know, it's Mac sales, Heidi, fell for the first time in five years. IPod sales, the iTouch helping out, but, you know, they're not stellar through the roof.

But what the company said, it's trying to push the iPhone into China. Think about it, China, with that huge population and, you know, people who, consumers that have a thirst for Western-style accessories like iPhones. It's all done very well in Brazil, Russia and India, and a new iPhone is expected to come out. And something like new and updated and better tends to increase sales, Heidi.

COLLINS: Yes, absolutely. Hey, while we're talking about it, CEO Steve Jobs still on medical leave. How important is his health to this company? LISOVICZ: Well, it's huge. I mean, it's definitely moved the stock higher and lower. The company said he plans to return from his medical leave in two months. So, that's on schedule. Jobs is considered a visionary, thinks out of both sides of his brain, but a lot of analysts say that the company has a deep bench in terms of management. And this is the first quarter without him, but the company also says he's in close contact by phone...

COLLINS: Oh, I'm sure he is.

LISOVICZ: ... on a daily basis. I bet, yes.

COLLINS: Probably some sort of iPhone.

LISOVICZ: He's got a lot of stake in that company.

COLLINS: Yes, definitely. All right. Susan, thank you.

LISOVICZ: You're welcome.

COLLINS: A college education, it's often part of the American dream. But it's a dream denied for many high school graduates who grew up in the United States but are illegal immigrants. Each year U.S. high schools graduate 65,000 undocumented teens who have lived here for at least five years. They can legally attend colleges but are not eligible for most forms of financial aid.

Now, Congress is considering the Dream Act. It could allow students who have lived here since childhood to obtain permanent legal status by going to college or serving in the military.

Our guest now has been working for these changes for the past five years. He himself is an undocumented college student who came to this country as a child ten years ago. Matias has asked that we not disclose his last name, and we sure do appreciate your time this morning.

So, Matias, as we've said, you are an undocumented student. You were an undocumented student. Tell us your story. How did you come to this country?

MATIAS, UNDOCUMENTED IMMIGRANT: Thank you, first of all, for having me, Ms. Collins, and I came to this country almost ten years ago from Argentina just as the country was headed towards enormous economic collapse that's very well documented.

COLLINS: Why is it so important that you obtain your education and stay in this country?

MATIAS: Well, when my parents decided to come to this country, I -- they told me, and like they've told a lot of my peers that are undocumented students, that we wanted to be in a place where we could work hard and be rewarded. And I think that is what the country -- that is what the United States has historically been. And even though there is the current economic crisis, we want to be a part of the recovery as well. COLLINS: What happens to children who come here and, you know, basically because they're so young, they really don't have any say as to what their parents do if they come here illegally, therefore making them illegal as well, as you have just mentioned your story. They run into immigration problems pretty much their whole life.

MATIAS: Yes. I think that a long time ago the Supreme Court made the decision that we should educate all of our youth from K through 12. So, most of us, like myself, have grown up waiting for our status to change. A lot of students have grown up without even knowing about their status.

But then, once you hit 18, and you want to get a driver's license or you want go to college, you just can't do so. And I was one of the exceptions because some states have taken positive steps towards allowing undocumented students to go to school. And that's why I was able to be involved in a student group called Ideas at UCLA and then eventually graduate from UCLA.

And students, we've found each other, and we've come together in online portals and statewide networks. And we really want the Dream Act to let us be a part of society, like we feel we have been all our lives.

COLLINS: What sort of pushback do you get, though, Matias? Maybe from, when you were in college, from other fellow college students? I mean, do you hear from people, hey, you know what? You don't deserve to be here?

MATIAS: I think that in -- when I was at UCLA, even when there were conservative students, even the Republican group on campus, certain members could say, you know what? I could support something like the Dream Act. And I think that, in our communities, we've had a lot of -- you know, we've had an immigration discussion for years. And all that's come out of that is more raids, more deportations, families being separated from each other. And I fear that, but we need the Dream Act and need to move towards more humane immigration reform that works for America, really.

COLLINS: All right, well, Matias, we sure do appreciate your story and being here for us today.

MATIAS: Well, I appreciate your time, Susan (ph) Collins, and everybody that wants to find out more about this can visit us at dreamact2009.com.

COLLINS: All right, well, don't worry. We're going to talk a lot more about this.

MATIAS: Thank you.

COLLINS: Sure do appreciate it. Once again, Matias. He may be actually the heart and soul of this debate.

Next, we turn to the pros and the cons. Our guests will try to cut through the emotions of this volatile debate and explain why you should care.

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COLLINS: We want to get back to our discussion now on immigration, and a generation caught up in the debate. They are teenagers who grew up in the United States as illegal immigrants. They say that status will cost many of them their dreams for college. Congress is now considering some changes.

Gumecindo Salas is in full support of those reforms. He's with the Hispanic Association of Colleges and Universities. Welcome to you. And on the other side of the debate, Ira Mehlman of the Federation for American Immigration Reform, or FAIR for short. Gentlemen, thanks to both of you for being there. Mr. Salas, tell me first off why you support the Dream Act.

GUMECINDO SALAS, HISPANIC ASSOCIATION OF COLLEGES AND UNIVERSITIES: Well, I think that it's -- the Dream Act on the effort to bring and allow immigrants into the United States is a long history. In fact, the country was founded on immigration to this country. And as a matter of fact, the greatness of this country, all the great inventions and the great new ideas that developed have come from immigrants. In fact, we can look and notice that a large number of Nobel Prize winners have been immigrants to the United States. So, this is not something new. And...

COLLINS: Sure, but I think to be fair, is it not more about legal immigration?

SALAS: Well, the country, the United States has had different policies in place in terms of how people can come to the United States. Currently, we have a large number of individuals who have come here in search of work, no different than other immigrants have come here. And they've raised their children. Their children are here, and they're long-term residents. They have very little understanding and knowledge of the country from which their parents immigrated from.

So, in all respects, they are Americans. And they speak English and their culture is American culture, and they're in schools. And in fact, excelling in schools. They're doing extraordinarily well in their academics.

COLLINS: Mr. Mehlman, do you agree with that?

IRA MEHLMAN, FEDERATION FOR AMERICAN IMMIGRATION REFORM: Well, you know, you have to recognize that the children are here because the parents brought them here illegally. And that is the responsibility of the parents, not of American society.

COLLINS: Right. So, what do you do now for this particular generation?

MEHLMAN: Well, what you have to do is hold the parents accountable. You cannot ask other children, other people's children to make those sacrifices. You know, you interviewed Matias a few moments ago. The person you did not interview is the kid that didn't get into UCLA, who couldn't realize his other her dreams or aspirations. You didn't talk to the person who can't get access to financial aid because you have illegal aliens who under the Dream Act would be able to get access to that much-needed assistance to go to college.

COLLINS: So, Mr. Salas, does he have a point by saying that someone like Matias actually took the slot of an American who could, a legal American citizen who could not get into college?

SALAS: No, that's absolutely not true. Universities make an effort to recruit more students. And we have many universities that actually have room for other students. So, that's not the issue.

The other issue, of course, that keeps coming up is they're taking other students' spots, most universities have a procedure and they have a criteria for selection of students. These students, the ones that would be targeted by the Dream Act, are students who have done exemplary. They (INAUDIBLE) salutatorians, valedictorians. They're honor students.

So, they're not taking spots from other students. They're competing, and that's the issue of the United States, competition. These students compete and are able to get in...

COLLINS: OK, so, Mr. Mehlman, should they be allowed to compete? Is that a fair point to be making?

MEHLMAN: No. American students should not have to compete with people who are here illegally. You know, the bottom line is, you have schools like UCLA, which turn away far more students than they accept. These seats are at a premium, especially at a time when for most middle-class American families, a private university education is simply out of reach.

State university seats are at a premium. They're not going begging. They have more applicants than they can accept every year. These are excellent schools, and there are Americans who really do want to go to those schools.

The other thing is that as a resident of California, Matias was actually getting a better deal at UCLA than a student in another state who also had competed and was admitted to UCLA. So he was actually getting a better deal than an American.

SALAS: Well, you know...

COLLINS: We have to wrap it up, but...

SALAS: Yes, that's absolutely...

COLLINS: ... there's got to be some sort of compromise. Does there not? Mr. Salas, I'll give a statement, and then I will go to Mr. Mehlman for a statement as well. Mr. Salas, you first.

SALAS: Well, I just think that level of thinking is really not good.

COLLINS: OK, but what should be done?

SALAS: Well, the role of universities is to select students and educate them for the needs of the society and the culture. So, we always want the best students who can make major contributions to the well-being of the society and of the culture. And so, we're looking for those students who have exemplified that specialness in the high school. That's why students get awards as salutatorian, valedictorian. And ultimately, many of these young kids end up being the future leaders, and end up being the discoverers.

COLLINS: All right, so you're talking about exemplary students. That's what you're talking about.

SALAS: And they all are.

COLLINS: Mr. Mehlman, last word here.

MEHLMAN: The need and obligation of any society is to be able to provide the opportunities that law-abiding citizens ought to expect. And when you start admitting people who are in the country illegally and giving them very valuable seats at state universities, in essence what you are doing is undermining the interests of your own students who also have the ability to contribute.

COLLINS: So, what do you do? That is the question. You tell them all to go home and get their education and jobs in their own country? That's what you're saying.

MEHLMAN: You know, the obligation is on the part of the parents. Parents are responsible for the consequences of their actions on their children. It is Matias's parents, not the rest of us, who put him in that situation.

COLLINS: Right, but the segment was about Matias, so that's what we're trying to decide here. Guys, it would be lovely to have you another day and talk even further about this very volatile subject, obviously. Gumecindo Salas, thanks so much for your time, and Ira Mehlman. Thank you, gentlemen.

A state of emergency in the state of South Carolina to tell you about now. Fire threatening communities around Myrtle Beach. Rob Marciano keeping an eye on all of it -- Rob.

ROB MARCIANO, AMS METEOROLOGIST: Yes, no rain in the forecast for them, so they'll have to battle it the old-school way. That, plus the temperatures will be heating up on the East Coast, and there's an erupting volcano with dramatic pictures out of Ecuador. Stay tuned. Weather's coming up after the break.

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COLLINS: Want to get right over to meteorologist Rob Maricano to talk more about the fire situation in South Carolina. I know you've got some really great iReports to show, too. MARCIANO: Yes, we want to roll through those in just a sec. We'll break down the weather situation first. No rain in the forecast. Here's the radar. Most of it down across parts of southern South Carolina towards Hilton Head and in through Savannah, Georgia. So, that's not going to be a great help.

Winds today not quite as bad as they have been. So, that's good news there. Temperatures will be on the warmup. West winds, though, so that will be blowing everything towards the beach and towards the resort communities for the most part. And this particular fire is actually in North Myrtle Beach up through here between Highway 17 and Highway 22.

So, let's break down for the iReports. First off, this is out of, from our friend Ben -- Pete Venuto. He lives about 100 miles from the ocean -- tough life there. But he rolled up towards the fire to check this out. He said the fire is probably a mile and a half from the beach, and there were reports that it burned some of the holes at the Grand Dunes golf resort.

You know, North Myrtle Beach, Heidi, is...

COLLINS: Yes.

MARCIANO: ... probably where the most prestigious high-end golf courses are. So, I haven't played that particular golf course. The Barefoot golf course is on fire. Fifteen thousand acres burned. Still out of control. A couple thousand people have been evacuated.

Also down across Florida, we also have a fire down there. Alligator Alley, which links Naples to Miami for the most part has been shut down because of this brush fire. So, travel in south Florida a bit of a headache right there.

And we go even farther south, maybe towards the equator, Ecuador, this dramatic volcano erupting for the first time in four years, a Galapogos Island volcano. And that happening over the weekend. So, certainly some impressive stuff happening there.

One other point. We do have some travel delays. LaGuardia's got an hour delay. JFK, San Francisco. And then one other thing, Heidi, just for our friends on the East Coast. Look at the temperatures expected for New York on Saturday...

COLLINS: How about that.

MARCIANO: ... and Sunday -- 84, 84. They might as well be living in Atlanta. It's going to be pretty toasty here, too. So, summer on the way.

COLLINS: Yes, very good. All right, keep us in touch with those fires, too, and hopefully they'll be able to knock some of that down today. Rob, thank you.

MARCIANO: You got it.

COLLINS: Appreciate it.

Big Brother in the mosque. Muslim groups accusing the FBI of spying on them even as they worship.

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COLLINS: Hey, I'd love to hear from you online. Right now you can check out my visit to the USS Harry S. Truman and some other stories making news right here in the CNN NEWSROOM because we have a brand new log. Look at that. Check it out. Let us know what you think, too, at CNN.com/newsroom.

The FBI and several Muslim groups are at odds. They are accusing some agents of infiltrating mosques and spying on them. CNN's homeland security correspondent Jeanne Meserve with the story.

(BEGIN VIDEOTAPE)

JEANNE MESERVE, CNN HOMELAND SECURITY CORRESPONDENT (voice-over): Among some worshippers at the Islamic Center of New York, a belief that the FBI is violating Muslims' constitutional rights.

UNIDENTIFIED MALE: It's unfair that only, you know, they're infiltrating on the Muslim mosques, you know, the churches and synagogues, they're not doing that, you know?

MESERVE: After 9/11, Muslims and law enforcement built bridges. Muslims taught FBI agents about their religion and culture.

UNIDENTIFIED MALE: "Struggle" is the literal translation of jihad.

MESERVE: The FBI pledged to respect Muslims' freedom to worship.

UNIDENTIFIED MALE: We never make any advances without dialogue.

MESERVE: But for some, the relationship has gone sour. In Detroit, Minneapolis, southern California, allegations the FBI is conducting surveillance in mosques.

AGHA SAEED, MUSLIM TASK FORCE ON CIVIL RIGHTS AND ELECTIONS: If there's evidence of somebody is provoking people to violence, directly or indirectly, that should be investigated directly. It should not be used to target the entire mosque.

MESERVE: In Irvine, California, the FBI is accused of paying a paid informant in this mosque and using him to radicalize and entrap young worshippers. The FBI says it was a legitimate investigation.

JOHN MILLER, FBI ASSISTANT DIRECTOR: The FBI does not infiltrate mosques as a general practice, nor does it investigate or gather intelligence on activities that are protected by the First Amendment. What the FBI does do is, it gathers intelligence about individuals who may be a threat in terms of an act of violence or a threat to national security. MESERVE: The FBI ended its relationship with the prominent Council on American-Islamic Relations because of its connections to Hamas, the designated terrorist group. That angered some Muslims, and further erosion of the relationship is possible.

(END VIDEOTAPE)

COLLINS: I'm Heidi Collins.

Next hour, President Obama delivers remarks at the Holocaust Days of Remembrance ceremony on Capitol Hill. We'll have that live when CNN NEWSROOM continues with Tony Harris right now.