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American Morning

North Korea Test-Fires Another Short-Range Missile; Liberals Concerned About Supreme Court Nominee's Views; General Motors Nearing Bankruptcy; Levi Johnston Speaks Out on Life With the Palins; Catholic Priest Switches Faith After Scandal

Aired May 29, 2009 - 06:59   ET

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


ROB MARCIANO, CNN ANCHOR: Good morning.

ALINA CHO, CNN ANCHOR: Good morning, everybody. Good morning.

MARCIANO: Hey.

CHO: Good morning, everybody. Just shy of the top of the hour. Welcome to AMERICAN MORNING for Friday, May 29th, I'm Alina Cho.

Kiran, feeling a little under the weather.

Good morning, Rob.

MARCIANO: And I'm Rob Marciano in John Roberts who's taking the week off. Well-deserve time off.

CHO: It's almost the top of the hour. Fifty-nine minutes past. Here's a check of the top stories we're going to be breaking down over the next 15 minutes. A developing story out of North Korea.

The North has reportedly test fired another short range missile off its East Coast, the sixth one this week. And this morning, Defense Secretary Robert Gates revealing whether more U.S. troops are headed to the region. In just a moment, we're going to take you live to the Pentagon.

New questions about President Obama's Supreme Court nominee, Sonia Sotomayor. Pro-choice and pro-life groups are demanding to know where Sotomayor stands on abortion rights. The White House says the president never asked her. We're going to take a look at whether the future of Roe V. Wade could hang in the balance.

And General Motors on the brink of bankruptcy despite getting more than $19 billion of your tax money. So what does it all mean for you? Detroit and the nation? We'll get some insights from somebody who knows.

Back to our breaking news now. CNN just confirming that North Korea has test fired another short-range missile from its East Coast, the sixth one this week. And it all comes as a high-level U.S. delegation is headed to Asia to deal with the communist regime.

CNN's Barbara Starr live at the Pentagon.

And Barbara, I know you're working your sources there. What are you hearing about this latest missile launch?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, Alina, you know, we have been here all week long covering the Korean situation. Another missile launch. U.S. officials trying to confirm it.

But these short-range missiles are perhaps more a message that North Korea is trying to send. And clearly, that message all week long isn't done yet.

Defense Secretary Robert Gates is on his way to the region to try and deal with all of this, attending a summit that had already been scheduled but certainly having talks with leaders throughout the region. Gates talking to reporters on the plane over, is trying to tamp down some of the crisis atmosphere, go down the diplomacy road, saying that there isn't a crisis.

In fact, we have a bit of a quote here from what he had to say. Quoting, "I don't think that anybody in the Obama administration thinks there is a crisis. What we do have, though, are two new developments that are very provocative, that are aggressive, accompanied by aggressive rhetoric, and I think it brings home the reality of the challenge that North Korea poses to the region and to the international community."

So what Gates is really saying here is this is part of whatever message North Korea is sending. What is the U.S. military hearing? Well, they're hearing that although they're not to expect Gates to order more troops or equipment to the region, that they do need to think about if the unthinkable were to happen.

George Casey, the chief of staff of the U.S. Army, says if -- if the U.S. had to go to war in Korea, they could do it but it would take about 90 days to swing all the necessary troops into action -- Alina.

CHO: Barbara Starr live at the Pentagon for us. Barbara, thank you - Rob.

MARCIANO: Also this morning, Alina, while Democrats and Republicans gear up for a fierce confirmation battle over Sonia Sotomayor, you're also weighing in from home on the Supreme Court nominee and lighting up our show hotline.

Here's what some of you are saying.

(BEGIN AUDIO CLIP)

MIKE, FLORIDA (via telephone): Let's see. Ann Coulter, Rush Limbaugh and Newt Gingrich have all expressed their dissent against the Supreme Court nominee, Sotomayor. That sounds like the best ringing endorsement for the American people that I have ever heard.

VALERIE, NEW YORK (via telephone): The Republicans must realize Obama will never nominate a conservative judge, so they should just accept the moderate nominee and be glad Obama didn't nominate a blatant liberal.

(END AUDIO CLIP)

MARCIANO: And this morning, the White House is dealing with some pushback from the left on President Obama's choice of Sonia Sotomayor for the Supreme Court. Abortion rights activists want answers about her legal opinion of Roe versus Wade.

CNN's Suzanne Malveaux is live at the White House this morning. I suppose her religious background might have a question mark in here.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: You know, this is really gearing up to be quite a battle over this issue and it's not because of what we know about her opinions, her rulings. It's because we don't know.

What we don't know about this, there are no direct rulings regarding abortion rights. And so, obviously, there are people on both sides who are very nervous not just the anti-abortion rights folks but the pro-abortion rights folks who want more information. And that is why they are pushing the White House and they're pushing this president, what do you know about her?

We do know that President Obama as a candidate, he had said that five men on the Supreme Court don't know better than women, and their doctors and their pastors. So he's committed to appointing judges who understand how the law operates in our daily lives.

But we're pressing the White House on this particularly Robert Gibbs yesterday. Our own Dan Lothian saying why didn't the president actually engage in finding out exactly where she stands on this position? I want you to take a listen.

(BEGIN VIDEO CLIP)

DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: Why wasn't it important for him to ask her where she stood on abortion?

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: Well, I think the president believed it was exceedingly important to get her views on how she interprets the living document of the constitution of the United States of America.

(END VIDEO CLIP)

MALVEAUX: So you kind of got to read between the lines there a little bit. Gibbs obviously saying that he is comfortable with Sotomayor's opinions when it comes to her interpretation of the law.

But, you know, there's some wiggle room, there's some fuzziness here. Our own -- well, Ken Duberstein, who actually had ushered in about several, several Supreme Court nominees, put them on the court through that whole process, says that is the whole point that you have to be vague enough. You have to play this game so that you don't get caught up in this trap.

But there are still a lot of questions. A lot of people will be asking those questions about where she stands on this fundamental issue.

MARCIANO: Suzanne Malveaux live for us at the White House this morning. Thanks, Suzanne.

All right, check this out. Some amazing video to show this morning. A reporter covering President Obama's departure - Suzanne would never do this - covering it from Los Angeles - has been released from custody after being carried off by security guards from the press area. There she is being dragged away.

CHO: What?

MARCIANO: Brenda Lee of "The Georgia Informer" says she was forcibly removed yesterday because she wanted to give the president a letter urging him to stand up for traditional marriage.

The incident took place about ten minutes before Obama actually got there and arrived at the airport. Lee was not charged, just kind of dragged away peacefully.

CHO: It's something you don't see every day.

MARCIANO: Not the most professional way to handle yourself in a press corps I'm sure.

CHO: I wonder whether she's going to keep her job.

MARCIANO: We'll see.

CHO: New this morning, another voice in favor of keeping controversial prisoner abuse photos under wraps. General David Petraeus, the top U.S. commander in Iraq, telling a federal judge that releasing images of the abuse of prisoners in U.S. custody could damage Pakistan's efforts to battle Islamic militants. General Petraeus also saying it could increase the risk to American troops in Iraq and Afghanistan.

Former President George W. Bush is defending his administration's enhanced interrogation program including waterboarding. In a speech in Michigan last night, the former president said techniques like waterboarding were legal and led to valuable information that prevented terrorist attacks.

As for President Obama's decision to suspend the harsh interrogation techniques, Bush said, "I didn't like it when a former president criticized me. So I am not going to criticize my successor."

And GM moving ever closer to bankruptcy today. The impact on auto dealers, the economy, and you. An auto industry expert is going to weigh in just ahead.

It's seven minutes after the hour.

(COMMERCIAL BREAK)

CHO: Nine minutes after the hour. Here's a look at the stories new this morning.

The 13-year-old cancer patient who fled with his mother to avoid court-ordered chemotherapy underwent that very treatment yesterday. Daniel Hauser of Minnesota has Hodgkin's lymphoma. It's highly curable with chemo. Doctors are not commenting on his condition.

Violence is escalating in Afghanistan. The U.S. military reports coalition troops killed at least 69 militants in two separate ground battles yesterday. In the first, troops reportedly took out 34 Taliban fighters in the eastern part of the country. Officials say another 35 militants were killed after coalition troops were ambushed in the southern part of the country.

And in less than two hours, Chrysler heads back to bankruptcy court to make its case for a deal with Fiat. The judge could approve the sale as early as today. And if that happens, some of Chrysler's debt holders are expected to appeal that decision -- Rob.

MARCIANO: And General Motors, Alina, the nation's largest automaker could file for bankruptcy in a matter of days. GM would become the second of the big three U.S. automakers to file for Chapter 11. But with more employees, more dealers, and billions of tax dollars invested in the company, GM bankruptcy proceedings could be much more complicated than Chrysler.

What does all this means for the dealers, the consumers, and the country's economy as a whole? Well, here's Rick Newman, chief business correspondent for "U.S. News & World Report" to kind of hash it all out.

Good morning, Rick.

RICK NEWMAN, CHIEF BUSINESS CORRESPONDENT, "U.S. NEWS & WORLD REPORT": Hi, Rob.

MARCIANO: So the big news the last 24 hours was this agreement from debt holders to maybe get some stock, as much as 25 percent.

NEWMAN: Right. Right.

MARCIANO: A lot of that is institutional firms but also a lot of it is mom and pop investors.

NEWMAN: That's right.

MARCIANO: What does this all mean?

NEWMAN: These are the so-called main street bondholders. And it turns out about $7 billion worth of GM debt is held by individuals, families, retirees who just put a lot of their savings into these bonds.

I mean, you would think that these days people use mutual funds to diversify their portfolios and things like that. But apparently, there are a significant amount of people out there who have a big personal stake in GM at this point. And those people, unfortunately, kind of go to the back of the line in a bankruptcy filing. These are not the so-called secured creditors. These are people who are likely actually to lose a lot of that money.

MARCIANO: And thought that money would be safer than actually going into stock.

NEWMAN: GM used to be a blue chip company.

MARCIANO: Right. Exactly.

Well, the taxpayers -- we put a lot of money into it now.

NEWMAN: Absolutely.

MARCIANO: It's going to be a total of $50 billion. What happens to us? I mean, that's our money.

NEWMAN: We hope we get that money back. But in order to get that money back, GM has to turn around fast, really quickly, become profitable. Keep selling cars, get consumers to keep coming in to showrooms. And then, basically, start selling that soft stock, which could happen in maybe 12 months or 18 months.

I don't think the government is going to sell all of it at once but I think it will start selling off some of it once it looks like GM is a viable normal company again.

MARCIANO: Certainly a lot of cars in the market. I want to get your opinion on this. The op-ed piece out of the "Wall Street Journal" Ralph Nader and Robert Weissman, they said under the government plan which we'll own 70 percent, they say, "It's startling and mistaken for the future of GM to rest with a small, largely unaccountable ad hoc task force made up of a handful of Wall Street expats."

They argue that Congress should get involved much like they did during the Chrysler support in the late '70s.

NEWMAN: Right.

MARCIANO: What's your opinion on that?

NEWMAN: I think if we had six months or nine months to deliberate this issue, maybe. I mean, every day that goes by with GM kind of twisting in the wind is a day that they lose customers.

And there are auto dealerships in every state. There are auto factories in many states. And to have members of Congress trying to make this decision and say, no, I really want to make this decision so that factory in my state stays open, that sounds like a nightmare scenario especially when we saw what happened with the AIG hearings. We wanted to decide how much you guys should get paid and everything. So the Obama administration clearly is going for speed on this.

MARCIANO: And certainly could be too many cooks in the kitchen. Also word that, you know, under the plan some of these jobs may very well be going overseas making more cars than China did.

NEWMAN: Yes.

MARCIANO: Imports in the U.S. Isn't the plan trying to help save jobs here?

NEWMAN: That's the idea.

But the reality is that this truly is global. Electric parts come from Japan and every place else -- excuse me, China and every place else. And the so-called domestic automakers already make about one-third of the cars they sell here in Canada and Mexico. And it looks like next year the so-called import companies will actually build more cars in the United States than Chrysler, Ford and General Motors.

So good luck trying to figure out what an American car even is these days. Pretty confusing.

MARCIANO: Quick answer if you could. What does this all mean for the U.S. economy?

NEWMAN: Hopefully there won't be as many jobs disappearing as if GM just really went down the tubes altogether. I mean, it's sort of managing this in the best way possible, I think. But some people are going to lose jobs. I mean, it's not good.

MARCIANO: Right.

NEWMAN: We might see a few deals on cars over the summer as some of the dealers have to clear things out. Some consumers looking for a bargain might. That might be good news for them, but it's yet another struggling industry. No way around it.

MARCIANO: Definitely one of those too big to fail scenarios.

And, you know, it's an American icon. You got to have a Chevy truck driving down the road.

NEWMAN: I'm not sure it's going to be much of an icon (INAUDIBLE) through bankruptcy.

MARCIANO: Yes.

NEWMAN: But you're right.

MARCIANO: We're hoping the best. Rick Newman, thank you.

NEWMAN: Thanks, Rob.

MARCIANO: Alina?

CHO: No more Pontiacs, either.

Thirteen minutes after the hour. Time now for "Romans' Numeral," something we are bringing you every morning right here on AMERICAN MORNING. Christine Romans gives us a number that is driving a story about your money.

So today, what's the number, Christine?

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: The number is 1925, and it has to do with this GM story. Let me give you a hint, Alina. It's a year.

CHO: I'll try.

ROMANS: 1925 is a year.

We put it on our Twitter, amFIX.com/twitter or twitter/amFIX. I'm not very -- can you tell that I'm not...

CHO: It's Friday. It's Friday. You got a long day.

ROMANS: Right. OK, 1925. This is the year that GM was added to the Dow Jones Industrial Average. Think of that. GM, the company that is facing bankruptcy, this huge industrial icon was added to the Dow Jones Industrial Average in 1925.

CHO: I know why this is significant.

ROMANS: Why?

CHO: Because if they declare a bankruptcy, they could lose their -- they will lose their status as a Dow component.

ROMANS: Absolutely. They absolutely will.

CHO: And they could be de-listed from the New York Stock Exchange.

ROMANS: You're absolutely right.

CHO: That's just fascinating.

ROMANS: And it means if you own shares of GM, you know, because of its blue chips status, you're going to be wiped out.

CHO: What happens?

ROMANS: You will be wiped out. Those shares of GM will be worthless after bankruptcy filing.

CHO: You're kidding me.

ROMANS: No. And, you know, your bond holding -- you could very well have GM bonds in your portfolio and wouldn't know it. This is a blue chip piece of debt. You are a bondholder most likely, you guys. You really could be a bondholder in this company because there are a lot of people who have them in their pension funds.

CHO: Oh, it's incredible.

All right, Christine, you do have a long day. ROMANS: Oh, right.

CHO: And we want to tell you that tonight Christine Romans and Ali Velshi host a special hour looking at the crisis in America's auto industry, "HOW THE WHEELS CAME OFF." That's tonight at 8:00 p.m. Eastern right here on CNN.

New this morning, your money being wasted or even stolen by federal employees. Those workers using their travel credit cards to do it. Here's what congressional research officials found.

Get this -- a Federal Aviation Administration employee charging $3,700 to taxpayers for laser eye surgery. Also, a Pentagon employee getting reimbursed for 13 airline tickets totaling nearly $10,000 that he never purchased.

And then there's this. A government accountability study finding that the Defense Department apparently purchased more than $100 million in airline tickets over a seven-day period that were never used and were never processed for refunds.

Levi Johnston, the father of Sarah Palin's grandchild, back in the news. He's featured in a cover story in "GQ" magazine and he's spilling the beans about what goes on when he visits the Palin household. What's going on?

And tonight is the night Jay Leno's last stand on the late night circuit. We're going to take a look back at where he's been, and where he's headed next. And you may be surprised who his last guest is tonight.

Sixteen minutes after the hour.

(COMMERCIAL BREAK)

MARCIANO: Oh, yes, nice sunshine there in the ATL. Good morning, Atlanta. Western Hotel there still peppered by the tornado, broken glass. We'll get those windows fixed at some point. Later on today, 82 degrees with sunny skies.

Welcome back to the Most News in the Morning.

The head of Atlanta's police union is apologizing for saying he wanted to beat Atlanta Mayor Shirley Franklin in the head with a baseball bat. Sergeant Scott Kreher made the comment earlier this month during a city budget meeting.

(BEGIN VIDEO CLIP)

SGT. SCOTT KREHER, HEAD OF ATLANTA POLICE UNION: To be treated the way they are now is just unconscionable. I want to beat her in the head with a baseball bat sometimes when I think about it.

(END VIDEO CLIP)

MARCIANO: Oh, that would get you in trouble. The sergeant says he was frustrated because the city is not honoring worker's compensation claims for injured cops. The mayor is promising to look into that claim. The officer was suspended and he has since called his remarks inexcusable.

In New York, the homemade bomb that damaged a Manhattan Starbucks earlier this week was made from a water bottle wrapped in black tape. And whoever made it may have used powder from fireworks. Police say a witness saw two people running from the shop right before the blast. No one was hurt, and police still have no motive.

And from California, calls for an R-rating for any movie that shows people smoking. The American Medical Alliance is making that requests pointing to research that says big screen smoking leads to teens picking up the tobacco habit -- Alina.

CHO: This morning the young man who almost became Sarah Palin's son-in-law is speaking out again about his rocky relationship with Alaska's first family. Among the many revelations Levi Johnston shared with "GQ" magazine, Tom Palin offered to buy his daughter a new car if she dumps him.

Here's CNN's Brian Todd with more on the candid interview.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT (voice-over): This is the image of Levi Johnston the public was introduced to during the presidential campaign. A young teenager in love with the daughter of the Republican vice presidential nominee and embraced by Sarah Palin's family.

But a story appearing in the July issue of "GQ" magazine offers a glimpse of what life has been like since then.

JOHN JEREMIAH SULLIVAN, "GQ" CORRESPONDENT: Everything's that happened to him has stalled his future a little bit and left him in a kind of limbo.

TODD: Writer John Jeremiah Sullivan caught up with Johnston in Wasilla, Alaska. His article is illustrated with photos of a bare- chested Levi tending to his newborn son, Tripp.

But it seems visiting with Tripp at the Palin home has been rather challenging. Johnston says, "Just going over there makes me pretty damn uncomfortable. Todd never says anything, really. Sarah, I don't know. She's a politician. She knows how to throw in a fake smile and look happy. They're pretty good at that."

Johnston and Bristol Palin called off their engagement shortly after their son was born. Bristol is appearing right now on the cover of "People" magazine wearing a cap and gown holding Tripp. When Sullivan asked Johnston whether the couple might get back together, Johnston responds, "No, I don't think that's going to happen."

When asked if he wants it to happen, he says, "That's just not even in my mind."

Sullivan says the experience of being thrust into the public eye hasn't been a pleasant one for Levi Johnston.

SULLIVAN: The reticence that he's shown on television is I think a real defense mechanism in the kind of shell that he's developed around himself to deal with this hurricane that's really blown into his life.

TODD: Sullivan says this is the real Levi Johnston, an authentic Alaska outdoorsman, something Senator McCain may have recognized back on that tarmac during the presidential campaign. Grabbing a hold of him, Johnston says Senator McCain told him, "You have good hands. Those are good working hands."

Brian Todd, CNN, Washington.

(END VIDEOTAPE)

CHO: We should mention there is no indication that "GQ" magazine paid Levi Johnston for the interview, but the writer tells CNN that there may have been a financial motive for all of this. He believes that Levi is hoping to turn his story into a book or TV deal.

That would be, if anybody really cares about that.

MARCIANO: Well, you know, we seem to care and the entire family is certainly out there on the press tour, so to speak.

CHO: One thing we should mention, I really don't think they're going to get back together. Levi Johnston does tell "GQ" he is dating. He says, "There are a lot of pretty girls out there."

MARCIANO: In Alaska?

Yes, of course, there are. Of course, there are. I've been there. Everything is beautiful in Alaska.

CHO: Not everybody hunts and wears a T (ph).

MARCIANO: Anyway, I think there was a good point in that. You know, this whole hurricane of sorts has been thrust upon him and it's got to be a difficult thing to deal with.

CHO: He's 19 years old.

MARCIANO: Yes.

CHO: But I mean, you know, some people do say enough is enough.

MARCIANO: Exactly.

All right. This just in to CNN. Students and teachers from a Maryland high school, they were quarantined at a Chinese hotel if you remember because of swine flu fears. Well, they've been released and in a moment we'll talk to a parent whose 15-year-old daughter was stranded inside that hotel.

And a life-changing decision by a priest who rocked the Catholic Church when he was photographed in the arms of a woman.

It's 24 minutes after the hour.

(COMMERCIAL BREAK)

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

First there were the photos of Father Alberto Cutie on the beach with a woman. Then, the charismatic Miami priest admitted to falling in love and breaking his vows of celibacy. Now, a life-changing decision.

Jason Carroll is here following that story. Hi again, Jason.

JASON CARROLL, CNN CORRESPONDENT: Yes, you've seen the pictures. They're pretty embarrassing. Very much a shocker to a lot of people out there.

There are some people out there who thought that this man's career would be over. Not so. He is back and upon his return is reigniting the debate over Catholic priests and celibacy.

(BEGIN VIDEOTAPE)

CARROLL (voice-over): What's a Catholic priest to do when he has taken the sacred vow of celibacy but is caught in a woman's arms? Pray for forgiveness? Ask for redemption?

If you're Father Alberto Cutie, keep the girl and find another denomination.

ALBERTO CUTIE, FORMER CATHOLIC PRIEST: I will always love and hold dear the Roman Catholic Church and all its members who are committed to their faith and have enriched my life. I have decided to become part of this new spiritual family in the Episcopal Church.

CARROLL: Cutie read a prepared statement announcing his decision.

CUTIE: Those who know me understand that I would never want to hurt anyone deliberately, especially my family, my friends, and the church community.

CARROLL: The Catholic Church removed Cutie from his duties after these pictures surfaced showing him cavorting with a woman. He later identified her as his girlfriend, embarrassing for a priest so popular in Miami he was known as Father Oprah to parishioners.

Now, he has the woman he loves at his side and a new church at his back.

CUTIE: My personal struggle should in no way tarnish the many faithful brother priests who are celibate and are faithful to the commitment that they made.

CARROLL: Unlike Catholic priests, Episcopal priests can marry. The Catholic Church has struggled for years to recruit priests, leaving some Catholics to call for an end to the vow of celibacy.

Bill Manseau used to be Catholic priest until he married his sweetheart -- a former nun.

BILL MANSEAU, FORMER CATHOLIC PRIEST: I see for the solution for the Catholic Church in regards to its diminishing clergy is to open up the ranks of the clergy to married and single men and women.

CARROLL: Not likely to happen any time soon, so says some priests who are still in the church.

FATHER JAMES MARTIN, CATHOLIC PRIEST: It's really up to the Vatican to decide. And I think that's going to take some time.

CARROLL: Vatican analysts agree.

JOHN ALLEN, CNN VATICAN ANALYST: Recent popes have made it clear they are not interested right now in reopening this can of worms.

CARROLL: As for Cutie, he wants his privacy respected and hopes to keep preaching the message that help make him so popular.

CUTIE: Instead of focusing on our differences, let's work together so that all may come to believe in a loving and good God.

(END VIDEOTAPE)

CARROLL: Well, Cutie still has a process to follow before he can be ordained as an Episcopalian priest. That includes approval by a church hierarchy and passing several exams. Cutie says he plans on marrying his girlfriend. The Episcopalian bishop in Miami says he would be "a dumb guy if he didn't."

And, you know, the "Miami Herald" recently did a poll about this. And, you know, they polled some Catholics. They found that 74 percent of Catholics there found that this vow of celibacy should be lifted.

CHO: Yes. A lot of people -- a lot of people do believe that.

CARROLL: Yes.

MARCIANO: The Catholic Church is not a democracy, though, is it?

CARROLL: No.

CHO: As Rob well knows.

MARCIANO: Yes, I do. Mom's disappointed right now, I'm sure. You know, it's a difficult vow for sure.

CHO: He should get married if he's going to give up his professional life. MARCIANO: Yes.

CHO: Powerful thing.

MARCIANO: Top Story right now - a day of mourning in South Korea. Thousands of people filling the streets of Seoul and beyond to honor and mourn their former president, Roh Moo-hyun. The so-called "people's president" took his own life Saturday in a suicide note he said, don't blame anybody, but his death has sparked outrage against the current administration.

And this morning, an investigation into a tragic mistake in New York City. Last night, an off duty police officer was shot and killed by a fellow cop. Authorities say Omar Edward drew his gun while chasing someone he found rummaging through his car and was then shot accidentally by a four-year veteran who saw the pursuit.

And Americans who identify themselves as multiracial have become the nation's fastest-growing demographic group. According to the latest census, the number of Americans who checked more than one box for race has soared 33 percent to 5.3 million since before people were given that option in 2000.

CHO: Thirty-one minutes after the hour.

We have this news just in to CNN. American students and teachers who had been quarantined inside a Chinese hotel have just been released. They have been stranded there since Monday because health officials have feared that the group may have been exposed to swine flu on their flight over.

Joining me now is the mother of one of those students, Alicia Peterson. Her daughter is 15-years-old, Erica, she's the youngest student on the trip.

Alicia, good morning to you.

I know that you've already heard from your daughter via e-mail. What did she tell you?

ALESIA PETERSON, DAUGHTER QUARANTINED IN CHINA: I've heard from my daughter and from one of the teachers, chaperons. They are quite excited. They had their temperatures taken. They were all normal. So they were allowed to leave. They boarded the bus which was filled with flowers and gifts and they are heading on to their next destination.

CHO: All right. So they've got one more day of sightseeing before they come home. They're not coming straight home?

PETERSON: No, my understanding is they're going to pick up the itinerary where they normally would be so they are going to get an additional day of sightseeing.

CHO: Oh, good. At least they'll be able to salvage that part of the trip. Now I want to get back to when this all began. The students, I understand, were hiking and visiting a Buddhist temple and rice patties when they get word that they were going to be quarantined. How did you get the news, Alesia, and how did you first react to all of this?

PETERSON: Well, the first news I actually got was a phone call from the Hong Kong Health Department trying to track down Erica and advised me that someone on her plane - they felt had been exposed to the virus. So, I had some news before we actually got the report from the school that the students have been asked to come back to the hotel for a health check.

CHO: And tell me what is your understanding of what that quarantine entailed? Could they leave their room and all?

PETERSON: No, the information that I received from the teacher chaperons was that they each had hotel rooms, some of them had roommates, and some of them did not. They were required to stay in their rooms but they could have their doors open and communicate across halls. They could use the telephones within the hotels. They had e-mail access on computers. They were somewhat isolated but they could communicate with one another.

CHO: I understand they had also had three meals a day, always a good thing. And Chinese officials actually sent them flowers and fruit baskets which they ended up using, I think as makeshift bowling balls in the hotel there.

But having said that, you know, there were indications, at least, among Chinese officials that these kids may have been exposed to swine flu because somebody on their flight over had it. That person, we now know, did not have swine flu.

So, now that we know all of this, are you upset by the - by the developments that had happened there in China with your daughter?

PETERSON: No, I would have to say, you know, they're visitors in a foreign country and as such, we have to adhere to whatever the rules of the foreign country are...

CHO: Your 15-year-old daughter is thousands of miles away in a communist country, you must have been worried.

PETERSON: I actually had just some concerns as a parent would have. But I have confidence with the teacher chaperons that were there and had been monitoring and keeping us informed the whole time.

CHO: Alesia, I understand that you're a great mom. You've offered to give your daughter Erica a makeup trip because of this whole experience.

Are you going to make good on that promise? Have you thought about where you might take her?

PETERSON: Well, I think we might have to wait a few years. If she would like to go back to China, I would love for her to do so.

CHO: Wow, OK. Well, good. All's well that ends well as they like to say.

Alesia Peterson, mother of Erica, one of the students detained there because of fears of swine flu in China. Alesia, thank you -- Rob.

MARCIANO: Alina, new this morning, watch your checking account. Some of the nation's biggest banks are raising monthly fees and charging customers more for accounts that remain overdrawn. Now, that President Obama has cracked down on credit card fees, experts say banks are targeting checking account customers to make up the difference.

And legendary music producer Phil Spector heads to court this morning to be sentenced for murder. His conviction carries a mandatory sentence of 15 years but he could get up to 10 years more for using a firearm when he killed actress Lana Clarkson at his mansion in 2003.

And tonight after 17 years, Jay Leno leaves "The Tonight Show." A look at his new show and details about his final guest ahead.

It's 36 minutes after the hour.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

JAY LENO, HOST "THE TONIGHT SHOW WITH JAY LENO": Last night at a fundraiser in Beverly Hills, people paid $30,000 to attend a dinner and a discussion with President Barack Obama. Thirty thousand dollars. The subject of the discussion? The struggling economy.

President Obama flew back to Washington this morning, and you can tell even he's feeling the economic pinch. Show him leaving, getting on the plane - pull out - look at the plane. See, it's Southwest.

Did you see that video online of the wind knocking Joe Biden's teleprompter at the Air Force graduation? Yes, he was talking and the wind knocks it down. That's when you know you're talking too much. Even Mother Nature goes, shut up! Just shut up!

(END VIDEO CLIP)

CHO: Pretty good.

After more than 33,000 jokes about politicians, tonight, Jay Leno will step down as host of "The Tonight Show." So who's his final guest? You might be surprised. And what's next for Leno?

Here's CNN's A.J. Hammer.

A.J. HAMMER, CNN CORRESPONDENT: Rob, Alina, since 1992, fans of "The Tonight Show" have enjoyed the comedic stylings of one man, Jay Leno. But all of that is about to change.

(BEGIN VIDEOTAPE)

ANNOUNCER: It's the "Tonight Show with Jay Leno."

HAMMER (voice-over): Jay Leno will soon hear those words for the last time when his 17-year reign as the host of the iconic late-night talk show comes to an end.

LENO: You know O.J. spends, oh, I didn't realize this, overdue justice. Did you know that?

BILL CARTER, TV WRITER, "THE NEW YORK TIMES": The charge against Jay often is that he's not hip. That you know, he's act is kind of a little Vegasy. I don't think he would disagree with that. But that's what he's going for. He's going for the broadest possible laughs.

HAMMER: "New York Times" TV writer Bill Carter says it's a strategy that has worked. Leno has dominated late night ratings for the past 15 years, silencing much skepticism when he took over the post from Johnny Carson.

CARTER: They were really two comedians who deserve the job. David Letterman had already been at NBC for 11 years and basically expected that he would rather graduate to "The Tonight Show." But Letterman is a very distant character who doesn't throw really himself into social activities or sucking up to the bosses where Jay made it clear he wanted the job.

So, when he got the job, there was a really big division, not just in NBC, but in the country.

HAMMER: In stark contrast to his transition, Leno has invited his successor, Conan O'Brien to be his last guest.

CARTER: Jay really wants to sort of hand off in a very smooth and kind of easy way, because that wasn't what he experienced when Johnny Carson left.

LENO: Here's a poorly worded ad. "Anthony's Dry cleaners working on the same spot for 15 years."

HAMMER: Leno moves to a new primetime show in the fall. But O'Brien's charged to keep "The Tonight Show" on top starts June 1st.

CARTER: One thing I can guarantee you is he's going to come out of the box huge. His first two nights, you know, he's got Will Farrell and Pearl Jam on the first night. He's got Tom Hanks and Green Day on the second night. He's going to kill.

(END VIDEOTAPE)

HAMMER: Now, Carter says that unlike Carson and Leno who are headlines and punch line guys, O'Brien is a conceptual comic so fans should not expect long monologues. Just his famous brand of silly, oh and triumph the insult of will be in the mix too -- Rob, Alina. CHO: Well, other guests this week? Gwyneth Paltrow and Ryan Seacrest.

MARCIANO: I asked you before if you knew who the guests are going to be and you're holding out on me.

CHO: I didn't hear you.

MARCIANO: OK. So go ahead, Gwyneth Paltrow

CHO: Ryan Seacrest. Big shoes to fill, you know but...

MARCIANO: Who's your favorite?

CHO: Who's my favorite what? Of the late night?

MARCIANO: Yes. Late night.

CHO: You know, I'm a Letterman girl. I've been watching Letterman since he wore those wrestling shoes back in the '80s. You know what I'm talking about.

MARCIANO: Yes. Listen, I love them all but I'm impartial to Letterman as well but I wish them all...

CHO: Impartial, we live in New York, too. Love Letterman.

MARCIANO: All right. Guess who's coming to New York?

CHO: I know who's coming. Prince Harry.

MARCIANO: Of course, you do. Prince Harry is coming to New York. He's visiting today. It's his first official trip to the U.S. and we're going to let you know what his royal agenda is.

And how much weight is too much weight for a woman to gain during pregnancy? We're paging Dr. Sanjay Gupta for that.

It is 42 minutes after the hour.

(COMMERCIAL BREAK)

MARCIANO: It's 45 minutes past the hour. Let's fast forward to stories that will be making news later today.

At 10:55, this morning, President Obama will review a cyber security report that will be released. We'll be getting new details about how federal agencies will protect themselves from having sensitive confidential material hacked.

Then at 12:45, a royal visit from Prince Harry. It's the 24- year-old's first official trip to the U.S. The prince will visit the World Trade Center site in the lower Manhattan garden to honor the 67 British victims of the 9/11 terrorist attacks.

And 2009 hurricane season not quite here yet, but a tropical depression has formed in the Atlantic. There it is. It looks like it's moving away from land, but let's get the details from my friend and colleague, Reynolds Wolf, down there at the CNN Severe Weather Center.

(WEATHER REPORT)

MARCIANO: Alina, back over to you.

CHO: Thanks, Rob.

This morning, we are continuing our special series, "Life after Graduation." All this week, we're looking at how new college grads are dealing with an uncertain job market. We want to hear from you this morning. Call fast, there's not much time. Our show hotline is 877-my-amfix. We want your questions. And here's why because in the 8:00 hour, we will talk with the career coach who will give you advice.

And Mexico's bloody battle against drug cartels. Ahead, incredible footage of a prison break orchestrated by corrupt members of the government. Our Michael Ware has that report.

Forty-eight minutes after the hour.

(COMMERCIAL BREAK)

CHO: Well, Bow-Wow on your Friday. Sanjay likes it.

Craving candy? Well, if you're pregnant, you may want to resist because there are brand-new recommendations for weight gain during pregnancy. The first revision of those guidelines, incredibly, in nearly two decades. We're paging Dr. Sanjay Gupta who is here with us in studio.

Sanjay, why the change right now after two decades of doing nothing about this and what are the new guidelines?

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Well, there are some reasons. I got to tell you, talking about weight gain and pregnant women, they may be the most dangerous assignment I've ever done. Forget war zones, you have to be really careful here.

CHO: You do!

GUPTA: There are some things sort of stimulating these changes.

One is that women are getting pregnant at an older age. So compared to two decades ago, that's changed.

Also, you know, overall the nation is more overweight and obese than two decades ago. And also, we have better data on what an overweight pregnant woman, what sort of potential complications that might have.

I think that's primarily what sort...

CHO: For the baby, obviously?

GUPTA: For the baby and for the mother...

CHO: OK.

GUPTA: ... to some extent, as well in terms of her blood pressure, the likelihood of C-section.

But there are some specific numbers people are attaching now to weight gain overall. Normal weight 25-30 lbs. Underweight - you can see there, overweight. These are the types of weight gains that we're talking about here.

The big thing that changed is the category by which women are considered either overweight or obese. One thing I should point out, because we talk about body mass index all the time...

CHO: Right.

GUPTA: ... which is sort of your height and weight, a ratio of those two things together...

CHO: Right.

GUPTA: ... it doesn't apply to everybody. It doesn't apply for example to people to people who are bodybuilders and it may not apply that well to pregnant women either because they have an obvious reason as to why they are gaining weight. So you got to be a little bit careful with these guidelines.

CHO: You know, I have a lot of friends who are trying to get pregnant and they want to lose weight before they get pregnant. You know, so in some cases I've seen, some of my friends, you know, dramatically lose weight...

GUPTA: Right.

CHO: Before they get pregnant because they have fears of gaining so much weight during pregnancy. I mean, obviously, there are some concerns about that as well.

GUPTA: Yes. On both sides of things, you can be either underweight or overweight going into pregnancy and neither is ideal. You want to be sort of at your ideal weight going in. The concerns you mentioned earlier. There are concerns to the mom and for the baby, concerns to the mom, for example, the C-section, high blood pressure, labor complications overall.

For the baby, you have concerns about being more premature and also childhood obesity. You are more likely to be an obese child if you were born obese.

CHO: Of these parents...

GUPTA: One thing that I thought was interesting, gestational diabetes. The likelihood of developing diabetes if you're overweight during pregnancy is actually not really good evidence to support that. A lot of doctors believe it...

CHO: What about among older women? Because I've seen that happen.

GUPTA: It certainly can happen, but to say across the board that if you're overweight during pregnancy, you're going to develop gestational diabetes, not necessarily true.

CHO: Interesting. Dr. Sanjay Gupta.

GUPTA: We're still here, still safe, no one's throwing anything.

CHO: Weight and women, that's a tough subject.

Sanjay Gupta, great to see you.

GUPTA: Thanks, Alina.

CHO: Have a good weekend. Rob.

MARCIANO: All right, guys. Here is what else we're working on for you this morning.

General Motor on the fast track to bankruptcy. So, if you want a GM car, will you feel any pain? CNN's personal finance editor Gerri Willis is looking for that for you.

And judging Judge Sotomayor, from the South Bronx to the supreme test of her professional life. What she faces on the road to the high court.

It's 53 minutes after the hour.

(COMMERCIAL BREAK)

(MUSIC PLAYING)

CHO: Nothing like a little head-banger music on a Friday. Fifty-six minutes after the hour. A live look at Hot-lanta, Georgia. Fair and 66 although it looks pretty sunny and it's got to be mostly sunny later, 83. A hot day.

But GM on the brink of bankruptcy. The company is expected to reveal the fate of the Hummer brand today. The Hummer's future has been in doubt for some time now. GM on a crash diet to cut costs ahead of its Chapter 11 filing which is expected in an effort to emerge from that bankruptcy filing quickly.

So, if there is a GM vehicle parked in your driveway, will the company's bankruptcy have an impact on you? CNN's personal finance editor Gerri Willis is here to break that down.

So a lot of people concerned about that. I mean, listen, you want to buy a car when you know that the company is going to be in existence five years from now, right?

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Right. That's absolutely true.

CHO: Yes.

WILLIS: You know, a lot of people out there worried, but the take-away here is, don't panic.

Look, even if GM is in bankruptcy, the company will continue to operate. Cars will still be sold, you'll still be able to get parts and service. If you own a GM car, look, you shouldn't worry about the warranty. The government has already stepped in and said it would guarantee warranties from companies in bankruptcy during this restructuring period and GM said it will honor warranties if it goes into bankruptcy.

Look, if you own a Saturn, a Saab or a Hummer, as we were talking about models that GM is trying to sell, the new owner will probably take over the warranties. The contract isn't usually changed when that happens but going forward there could be modifications to the warranties on these cars. If you bought a dealer specific warranty instead of a factory warranty for your GM car, the risk is bigger because dealers go out of business more easily.

But experts say there is little chance that GM will liquidate and that would be the big thing that hurts people.

CHO: All right. That's why should you shouldn't be worried? Why should you be worried then?

WILLIS: Well, there are things to think about here.

Let's take a look at the possible impact of a GM bankruptcy. Look, your dealership may close; about 1,100 dealerships will close. That means, if you're used to going to a specific dealership for parts and service, you may have to go somewhere else and it may take longer to get service. But these closings won't happen for a while.

Now some parts could be harder to find, specific factory parts for certain models may be harder to find because auto part makers won't have the same demand and they are having their own financial problems after all but routine items like brake pads, that kind of thing should still be available.

Car depreciation is going to be faster. A new car depreciates 20 percent once you drive it off the lot. But these cars will depreciate 30 percent...

CHO: Wow.

WILLIS: So you're definitely going to have to watch out for that. And you know, if you buy one of these cars now, you're taking a risk, frankly.

CHO: Yes. Brake pads being available always a good thing.

WILLIS: Yes. Basic stuff like that, you know?

CHO: All right. Gerri Willis, thank you so much.

WILLIS: My pleasure.

CHO: Well, if you're in the market for a car, you should watch this or even if you're not in the market for a car, you should watch this. Tonight, Christine Romans and Ali Velshi will have a special hour looking at the crisis in America's auto industry, "HOW THE WHEELS CAME OFF." That's tonight at 8:00 p.m. Eastern, right here on CNN.

MARCIANO: Yes, for the sake of our economy, you should watch that program (ph).

CHO: That's right. Good idea.