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Chicago Teen Beaten to Death; Increased Tension With Iran; Manila Under Water

Aired September 28, 2009 - 12:00   ET

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

TONY HARRIS, CNN ANCHOR: All right. Time for your top of the hour reset.

I'm Tony Harris in the CNN NEWSROOM.

It is 11:00 a.m. in Chicago, where a vigil is planned today for an honor student beaten to death by teens armed with pieces of lumber.

It is midnight in the Philippines, where flooding puts 80 percent of Manila under water.

It is 8:00 p.m. in Iran, where the regime tests long-range missiles just days after a nuclear secret is exposed.

Let's get started.

And we begin this hour in Chicago. A stunned city will remember 16-year-old Derrion Albert with a vigil this afternoon. The boy, beaten to death by a merciless mob late last week. The graphic amateur video shows attackers armed with 2 x 4s. Police say they've identified four people from the video and are questioning him.

The latest from WLS reporter Michelle Gallardo.

(BEGIN VIDEOTAPE)

MILTON MASSIE, DIRECTOR, ROSELAND AGAPE COMMUNITY CENTER: These were kids beating kids.

MICHELLE GALLARDO, WLS-TV CORRESPONDENT (voice-over): Milton Massie is a director of Roseland Agape Community Center. It was their surveillance cameras that caught the beating death of 16-year-old Derrion Albert, who was walking from Fenger High School to the center when he got caught up in a large street fight.

MASSIE: It looked like 100 kids. I mean, we're talking about kids just all over the place in every direction. There were kids hopping over cars. You know what I'm saying? On the video, there were kids hopping over cars. There were kids who had huge sticks.

They were going after each other. And it just seemed as if it was not so much targeted, but it was random.

GALLARDO: Some of Derrion Albert's family members came to the community center to lay down this memorial for him. Among them, his paternal grandmother. JESSE, VICTIM'S GRANDMOTHER: When he'd get out of school, he'd come right here to this center, the afternoon, until his grandfather came and got him. And for that to happen to him, I don't know why, which it shouldn't have, but it did.

GALLARDO: According to police, it is unclear why Albert was singled out and beaten. But they say it appears he was an innocent victim caught up in the fight. His grandfather, Joseph Walker, showed us his grandson's photographs and academic achievement awards.

JOSEPH WALKER, ALBERT'S GRANDFATHER: He was at bible class this Tuesday night, church on Sunday. I had no trouble out of my grandson whatsoever.

This thing that happened to him is so horrific that we just don't know what we're going to do, because we lost a really dear friend in my grandson. He was a blessed child.

GALLARDO: Massie, whose community center has been here for 30 years, said today this type of fight has become more common recently as two groups from within Fenger have escalated the violence between them.

Meanwhile, Albert's grandfather says he's just trying to understand why.

WALKER: I don't know where all of this anger comes from these people today. That's just too much anger for someone to have in their heart. All I can do is I'm going to pray for these people. I'm going to pray for forgiveness.

(END VIDEOTAPE)

HARRIS: Derrion Albert's mother says her son loved wrestling, basketball, and shopping. She says, "We were getting ready to start a plan for college. That's all Derrion focused on."

CNN's Don Lemon spoke with one of the directors of the group CeaseFire. It is reaching out to Chicago's young people, community leaders, and religious figures to stop street violence.

(BEGIN VIDEO CLIP)

DON LEMON, CNN CORRESPONDENT: Have you been speaking to the officials in Chicago, with the school, or with the police department to find out what exactly is going on here, why this violence?

TIO HARDIMAN, GANG MEDIATION DIRECTOR, CEASEFIRE: Well, what's going on at Fenger High School, you have a lot of young men and women who come from a different area over to Fenger High School, and they're getting into it with the guys around the high school. And nobody is real mediating the conflicts on the front end.

This young guy, Derrion, shouldn't have lost his life because he tried to go to the officials a few times to try to get help. That's the reason why we have to work on changing behaviors. And this has been going on over at Fenger High School over the last two years, believe it or not, Don.

LEMON: Here's our understanding -- that because of some of the housing that they tore down in Chicago public housing, that, for this reason, some of the students were bused to other schools or sent to other schools, and they are warring factions at each school, and that maybe the police department or the school department should have thought about this or should have anticipated this?

HARDIMAN: Yes, definitely, you have to anticipate it because it's happened before. In Chicago's history, with Chicago public schools, this has happened many times before. The incident with a high school student at Crane (ph) High School a couple of years ago, the same thing happened. The guys came in from the housing developments and they tried to establish themselves in Crane (ph) High School, and they ended up taking a life. That's what happened over at Fenger High School.

(END VIDEO CLIP)

HARRIS: A vigil to honor 16-year-old Derrion Albert is set for 2:00 Eastern this afternoon in Chicago.

Floodwaters are receding in the Philippines and revealing the devastating aftermath of the worst flooding in decades. The island of Luzon took the brunt of then-Tropical Storm Ketsana. It's a typhoon now. There's no electricity, no drinking water, and no food.

(BEGIN VIDEO CLIP)

LOURDES ALBANO, FLOODING VICTIM (through translator): The authorities just pass by here with the loud sirens, but they don't give us anything. It's just us back here, our neighbors, who gave us food. We had only a few stock of items.

(END VIDEO CLIP)

HARRIS: At least 140 people have been killed, hundreds of thousands are homeless. Authorities are scrambling to prevent disease outbreaks and overcrowded, ill-equipped shelters.

Switzerland has him; France and Poland want him released. And California wants him in court.

Academy Award-winning film director Roman Polanski has been held by the Swiss since his arrest in Zurich Saturday. Polanski fled the U.S. before sentencing for admitting having an affair, or having sex, with a 13-year-old girl. Having sex with a 13-year-old girl in 1977.

President Obama is deciding whether to pour more troops into Afghanistan. His defense secretary says losing in Afghanistan would adversely affect U.S. efforts to fight terrorism around the world.

(BEGIN VIDEO CLIP)

ROBERT GATES, U.S. SECRETARY OF DEFENSE: Failure in Afghanistan would be a huge setback for the United States. The Taliban and al Qaeda, as far as they're concerned, defeated one superpower. For them to be seen to defeat a second I think it would have catastrophic consequences in terms of energizing the extremist movement, al Qaeda recruitment, operations, fund-raising, and so on. It would be a huge setback for the United States.

(END VIDEO CLIP)

HARRIS: News reports on leaked information from the top U.S. general in Afghanistan reveal he wants as many as 40,000 more troops there.

Iran says it's part of a routine military exercise, but today's long-range missile tests come as Iran faces international pressure over a newly disclosed nuclear facility. State-run TV says Iran test- fired two types of long-rage missiles.

White House Correspondent Dan Lothian joins us live now.

And Dan, is the White House commenting at all yet on what appears to be this latest round of provocation from Iran?

DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: Tony, no comment yet from the White House. We're being told that Robert Gibbs will be giving a response from the administration at the 1:00 briefing, so we expect to hear much more then. But what we're seeing now, really sort of ramped-up efforts to have a diplomatic outreach to Iran.

We know that on Thursday, that's when the permanent members of the Security Counsel, the so-called P5 Plus 1, the United States, Russia, China, Britain, France, and Germany, will be meeting in Geneva. The goal, obviously is to get Iran to dial back its nuclear ambitions.

There's a lot of concern here at the White House, and that's why you've seen the tone really ramped up in recent days. The president really calling on Iran to come clean on its nuclear efforts, to step up to its international obligations.

The hope is that talk will be able to bring them back in line. But, if not, the president still saying that tougher sanctions will remain a possibility, and the president is also not ruling out that there could be some military action -- Tony.

HARRIS: Dan, what are you hearing about the president visiting Copenhagen later this week?

LOTHIAN: That's right. We're now getting confirmation that the president will be making that trip to Copenhagen to make a face-to- face pitch to try to get the summer Olympics in 2016 to Chicago.

As you know, the first lady was already planning to go there to make the pitch, along with Oprah Winfrey and other dignitaries. Well, now the president will be departing Washington on Thursday evening, headed over there to make the pitch on Friday morning to the International Olympic Committee. And then the committee will be making the decision as to which host city will get the nod sometime about 12:30 on Friday afternoon.

So, a lot of people here, and certainly in Chicago, really hoping that the president will be able to make this happen.

HARRIS: Oh yes. Rio is in the running, right?

LOTHIAN: Rio is in the running, that's right. And also Tokyo in the running, and Madrid. So some three big contestants there.

HARRIS: Oh, yes. Oh yes. We'll see how it works out.

Dan Lothian at the White House for us.

Dan, appreciate it. Thank you.

LOTHIAN: OK, Tony.

HARRIS: A flooding nightmare in the Philippines right now. People are looking for higher ground. Now new fears are surfacing.

(COMMERCIAL BREAK)

(WEATHER REPORT)

HARRIS: Let's do this. Let's spend a little more time there in the Philippines.

As we mentioned, 140 people are confirmed dead from this system. Military troops, police, civilians are doing everything they can, pitching in with the rescue and relief effort.

Let's get more now from CNN's Dan Rivers. He has more from Manila.

(BEGIN VIDEOTAPE)

DAN RIVERS, CNN INTERNATIONAL CORRESPONDENT: Much of the floodwaters here in Manila are beginning to go down. In this area, it's sort of ankle deep or knee deep at worst, whereas, yesterday, they were literally struggling to keep their heads above water in places. The authorities are beginning to get in. We have seen search and rescue teams making their way into some of the more flooded streets like this one.

And you can see these houses now, the people are coming back, they're beginning to try and assess what damage has been done and what is left of their homes. You can see in here, where the water came up to several feet deep in places, and obviously everything inside was completely ruined. At one point, the authorities estimate that perhaps up to 80 percent of Manila was under water, and some 450,000 people, it's estimated now, have been displaced.

One other detail that is interesting and distressing for many of the people that live here, most of these houses -- in fact, most of the residents here, we're told -- haven't got insurance. It's very unusual to have household insurance. So, all of the damage that you see will not be covered by an insurance company.

Dan Rivers, CNN, Manila.

(END VIDEOTAPE)

HARRIS: You should know that many national and local organizations are stepping in to help those affected by the typhoon. If you need their services or would like to get involved, please visit our Impact Your World page, where you can find more details. That's at CNN.com/impact.

Director Roman Polanski may finally return to the United States after three decades, but not by choice. The Oscar winner is in custody in Switzerland today for a rape case that dates back to the 1970s.

(COMMERCIAL BREAK)

HARRIS: Let's get you caught up on our top stories.

Seven middle-school students are being checked out at a Florida hospital after their school bus skidded of a road and into a ditch in Kissimmee. CNN affiliate WFTV is reporting the children have minor injuries and the driver reported a problem with the bus.

New developments in the heightened tensions with Iran. State-run TV says Iran test-fired two types of long-range missiles today. Iran says the tests were part of routine military exercises, but they come just days after the disclosure that Iran is building a second uranium enrichment facility.

President Obama will travel to Copenhagen, Denmark, later this week for the International Olympic Committee meeting on the 2016 summer games. The White House says Mr. Obama will personally push for the games to be held in Chicago.

Another check of our top stories coming up in 20 minutes.

Oscar-winning film director Roman Polanski will fight extradition from Switzerland. That word from his attorney in France, where Polanski lives.

Polanski, arrested Saturday as he arrived in Zurich to accept a film award. He fled the United States in 1978 after pleading guilty to having sex with a 13-year-old girl.

Steve Cron is a California lawyer who has represented several high-profile celebrities. He spoke with CNN's Fredricka Whitfield.

(BEGIN VIDEO CLIP)

STEVE CRON, CRIMINAL DEFENSE ATTORNEY: Polanski left the country when it was clear that he was not going to get the sentence that he had been promised by the judge. Things were changing, ,and he panicked and he left. Now, he's been in France living comfortably for 30 years, doing movie work and traveling around. But within the last 10 years, we've had an extradition treaty with Switzerland which now makes them obligated to extradite somebody back to the United States.

FREDRICKA WHITFIELD, CNN ANCHOR: OK. So, that brings us now to he is heading to Zurich for the film festival, he's to be honored there. Apparently, the U.S. has been working with Switzerland, perhaps anticipating this honor, this film festival appearance, and thereby now we have this arrest?

CRON: Yes. I don't think he was expecting to be honored by the golden handcuffs. I'm sure that took him by surprise.

And now he's got to make a choice, he and his lawyer. Are they going to fight extradition and argue that he was treated improperly, shouldn't be extradited back by the United States, or are they going to waive extradition, bring him back here, and finally, after all these years, litigate whether the sentence was fair, whether the guilty plea was fair, whether the whole thing should be thrown out? And there are some indications that the judge who was going to hear the case wasn't happy with the proceedings that took place 30 years ago.

(END VIDEO CLIP)

HARRIS: And as we told you a moment ago, we've learned that Polanski will fight extradition. Polanski won an Oscar for "The Pianist" in 2003. He received nominations for "Tess" and "Rosemary's Baby."

And get ready for a grand celebration. But there is a serious message behind this gathering.

(COMMERCIAL BREAK)

One of the largest gatherings for Latino Americans is Fiesta Georgia, held in Conyers, Georgia. Thousands gather to party, reflect on their culture, and express hopes for the future. Oh, check it out.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: I think that the Latino community has a big presence, it's very visible in this society.

RAFFY CONTIGO, RADIO PROGRAM DIRECTOR: What we're expecting in 2010, to try to get representation, to try to get Latinos to be counted during the census, to be representative of it, their communities to get what it is that they need in the next decade.

SHAWN KIEHNE, "EL GRINGO": The recession has affected the Latino community just because -- with the slowdown, especially in the real estate market and housing market. There's a lot fewer jobs.

CONTIGO: Health care reform is important for Hispanic families. The problem with Hispanic families is that we work a lot, and sometimes we forget that we have got our health to take care of.

RALPH HERRERA, PRESIDENT, LANZA GROUP: Obama used in his campaign, "Yes, we can." And that's actually an Hispanic saying, which is, "Si, se puede."

UNIDENTIFIED MALE: We have a minority presence in the country, and now Sotomayor I think will be very good examples for Hispanic youth.

UNIDENTIFIED FEMALE (through translator): I am a woman and I am proud that a woman can achieve this, and that she represents us in this country, full of opportunity for all Hispanics.

CONTIGO: Sotomayor's nomination for us Latinos is huge. It means that we are finally here.

UNIDENTIFIED MALE: The goal in Hispanic heritage is that people understand what we are about. And we're a rich culture, we've got a lot to offer to this country.

UNIDENTIFIED MALE: The 16th of September is kind of like the Mexican 4th of July. It's their Independence Day. And they come out in droves, as you can see, to celebrate.

DIANA REYES, SINGER (through translator): This is marvelous to see all of these people out in the weather. I am ready to sing to them.

My music is an evolution of traditional Mexican music, one of many. Mine is very danceable. I jump around on stage. I love to dance.

It's fusion of various rhythms. I spent all my life with this music.

UNIDENTIFIED FEMALE (through translator): We celebrate with parties, with families. We make traditional foods. The special thing is to be with family and celebrate with family.

UNIDENTIFIED MALE: This is a great time of the year for us to all come together and really celebrate what the Latino culture is in the United States of America.

(END VIDEOTAPE)

HARRIS: CNN's "Latino in America," how the nation's fastest- growing minority group is reshaping politics, business, schools, churches and neighborhoods. "Latino in America" airs October 21st and 22nd, right here on CNN.

(COMMERCIAL BREAK)

HARRIS: Chicago police stepped up security at Fenger High School. They reopened today for the first time since 16-year-old Derrion Albert, honor roll student, was beaten to death in a mob melee. WGN's Jae Miller looks at the police investigation.

(BEGIN VIDEOTAPE)

COMMANDER EDDIE WELCH, CHICAGO POLICE: The investigation's ongoing right now. We are still conducting interviews. We are still trying to put some pieces together right now.

JAE MILLER, WGN-TV CORRESPONDENT (voice-over): Chicago police asking for the public's help tonight in identifying the group of people who savagely beat 16-year-old Derrion Albert Thursday in the Roseland neighborhood. The Fenger High School junior was on his way home from school when a group, armed with 2 x 4s, attacked him near this community center in the 300 block of West 111th Street.

WELCH: It's still too early to talk about suspects and things of that nature right now.

MILLER: The honor roll student was beaten with wooden planks, punched and kicked. He later died of his injuries.

Classmates of Derrion say dozens watched and did nothing.

UNIDENTIFIED FEMALE: But I don't understand how 15, 17-year-olds kids, how you can just stand over someone's body and just constantly beat them and stomp them to death.

MILLER: Amateur video captured from the scene has helped authorities identify some of the attackers.

JOE PATTERSON, CHICAGO POLICE: Area two detectives have been canvassing the area, reviewing video and evidence, and conducting interviews.

MILLER: Police aren't saying whether Thursday's attack was gang- related; however, family members say the teen was targeted because he refused to join a gang. Today, a makeshift memorial at the scene appeared to have been torched, leaving even more questions as to whom had that much hate for Derrion and why.

ROSE BRAXTON, DERRION ALBERT'S AUNT: To go and burn a memorial after such tragedy, then that just speaks for itself to what kind of people they are.

(END VIDEO CLIP)

HARRIS: Derrion Albert's mother says her son loved wrestling and basketball and shopping. She says her son, an honor student, was focusing on a plan for college. The boy's grandfather is heart broken.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Bible class is Tuesday night. Church on Sunday. I have no trouble out of my grandson whatsoever. This thing that happened to him is so horrific that we just don't know what we're going to do. But we lost a really dear friend and my grandson. He was a blessed child.

(END VIDEO CLIP)

HARRIS: And you won't want to miss this. The mother of 16 Derrion Albert will join Kyra Phillips live in the CNN NEWSROOM this afternoon, 2:00 p.m. Eastern Time.

The battle over health care reform heats up again this week. Let's take a look at where things stand and some of the latest developments.

The Senate Finance Committee is working through more than 500 amendments to a bill proposed by Chairman Max Baucus. Senator Johnny Isakson of Georgia says health care reform, that the plans put forth by Democrats will mean health increases. Isakson delivered the Republican radio and Internet address on Saturday. And tomorrow a congressional panel looks at improving health care protections for children.

President Obama has made health care reform his top domestic priority and he continues to push for action this year. His latest push came over the weekend at the Congressional Black Caucus Foundation's annual dinner.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Of all the barriers still standing in 2009, few are more unjust, few are more entrenched, few are more inhumane than the barriers to a healthy live and a good education. Barriers that can strain the dreams not only of African-Americans but of all Americans. Barriers that can and must and shall be overcome. For the sake of every American living today and for the sake of every American yet to be born, we must bring about a better health care system in this country. Not in 10 years, not in five years, and not in one year. This year.

(END VIDEO CLIP)

HARRIS: CNN deputy political director, Paul Steinhauser, live now from Washington with more on the health care fight.

Paul, great to see you.

Look, a battle in Congress resumes tomorrow. What do we expect?

PAUL STEINHAUSER, DEPUTY POLITICAL DIRECTOR: Tony, you mentioned that Senate Finance Committee.

HARRIS: Yes.

STEINHAUSER: That's where all of the action is going to be. Keep your eyes on that committee. It is the last of five congressional panels that's been dealing with health care. It's the last one to get a bill together. And it's also everybody considers the last chance at getting any kind of Republican support on health care. So they resume tomorrow. Tony, they thought they were going to get it all done last week. They thought it would be one week.

HARRIS: Yes.

STEINHAUSER: They -- you know what, they voted on about 40 to 50 amendments and, as you mentioned, they got a couple hundred more to go. It's been slow going. Tempers have be raised. The Democrats are saying the Republicans are trying to slow things down. So keep your eyes on that committee.

HARRIS: So the debate on amendments, on the public option, I would imagine that has to be on the table this week. Where do things stand on that?

STEINHAUSER: Yes, it is coming up. It could come up in that committee as early as tomorrow. The bill, which Max Baucus, the chairman, put out, that bill does not have the public option.

HARRIS: Right.

STEINHAUSER: But a couple of Democrats on that committee, a couple of the more liberal Democrats, like Rockefeller of West Virginia and Schumer of New York, are pitching this public option, which, as you know, is a government plan that would compete with private options. So expect a showdown in the committee this week.

Also, on the House side, you've got Nancy Pelosi, the House speaker. What she's doing is taking the three bills that passed her committees in the House and they're trying to merge it all together. Pelosi said last week, she wants some kind of public option in whatever comes out of the House -- Tony.

HARRIS: Wow. All right. Let's talk time tables here, Paul. When can we expect a bill to come out of the Senate Finance Committee? Could that happen this week?

STEINHAUSER: Not this week. What they hope to do is get a bill out of the committee by the middle of next month. Then the House is also working on what they are doing. You've got to combine the two different bills in the Senate. Tony, this is going to go into November. I was speaking to Deirdre Walsh, our producer up on The Hill. She said, I may be here come Christmas week working on this. But I'll say one thing, the White House and congressional leaders, Democrats, they want to get this done this year before the end of the year because, of course, next year is an election year -- Tony.

HARRIS: Paul Steinhauser. Paul, appreciate it. Thanks for your help on this.

STEINHAUSER: Thanks.

HARRIS: Iran flexes its military muscle on the heals of new concerns about its nuclear program. State-run TV says Iran test fired two types of long range missiles today. Details from CNN's Reza Sayah. (BEGIN VIDEOTAPE)

REZA SAYAH, CNN CORRESPONDENT: A show of military might in Iran. Iran test-firing some of its most advanced missiles at a time when tensions are escalating between Tehran, Washington and European powers over Iran's controversial nuclear program. Do not expect these test- firings to ease that tensions.

On Monday, Iran test-firing its long-range, solid fuel (ph) missile, the Sajjil, with a range of 2,000 kilometers, capable of reaching Israel and parts of southeastern Europe. A day earlier, Iran test-firing its liquid fuel long-range missile, the Shahab, also at a range of 2,000 kilometers.

It's important to note these test-firings were planned in advance as part of military exercises commemorating the anniversary of the Iran/Iraq war. But with a backdrop of Iran's nuclear program and the new revelation last week that they have a new uranium enrichment facility, there is the perception that these test-firings were in response to the accusations coming from the west. On Monday, Iran's foreign ministry said that's simply not the case.

HASSAN QASHQAVI, IRAN FOREIGN MINISTER (through translator): Nothing is sacred. Nothing is kept hidden. All this is done by all countries within their self defense war games and military preparedness. We always believe that such military exercises pave the way for peace and security in the region. And its deterrent (ph) nature means lasting peace and stability and original (ph) cooperation.

SAYAH: Iran's military exercise is scheduled to last for several more days. Of course, this week, all eyes will be on Geneva, where, for the first time in nearly 30 years, senior Iranian diplomats are scheduled to go face-to-face with diplomats from the U.S. And the five permanent members of the U.N. security council, plus Germany, they will be discussing Iran's nuclear issue. Washington and European powers, of course, already turning up the heat on Iran and the newly disclosed uranium enrichment facility near the city of Qom, calling it an illegal and secret facility.

Iran denying those allegations. Still insisting they're abiding by international laws. Still insisting that their nuclear program is peaceful. It should be an interesting face-off in Geneva this week.

Reza Sayah, CNN, Islamabad.

(END VIDEOTAPE)

HARRIS: For months now we've seen job cuts, hiring freezes and wage reductions. But now there's a new trend. One that means more money in your pocket.

(COMMERCIAL BREAK)

HARRIS: All right. A quick check of our top stories. In the Philippines, some 450,000 people left homeless from devastating floods unleashed over the weekend by then Tropical Storm Ketsana. One hundred and forty confirmed dead. The government is appealing for international help coping with the disaster.

France and Poland are encouraging Switzerland to release Academy Award Winning Director Roman Polanski. Polanski was arrested Saturday when he arrived in Zurich. He pleaded guilty to having sex with a 13- year-old California girl in 1977, but fled to France before sentencing.

Iran shows off some of its military capabilities on the heals of new concerns about its nuclear program. State run TV says Iran test- fired two types of long range missiles today. The tests come just days after the revelation that Iran is building a second uranium enrichment facility.

You know, the recession has been marred by job losses. Even people who aren't out of work have been hit by pay cuts. But now we're starting to see a new trend. Stephanie Elam has the day's "Breakdown."

Good to see you, Stephanie.

STEPHANIE ELAM, CNN CORRESPONDENT: Happy Monday to you, Tony.

HARRIS: Yes. And to you.

ELAM: And, you know what, it is nice to have something good to tell you about on the business front.

HARRIS: Yes.

ELAM: And we've seen positive economic signs on Wall Street. And now main street is getting some welcome news as well. A growing number of companies are reversing the pay cuts they made earlier. Computer chip maker AMD cut pay up to 20 percent in January, but this December, the cuts will be rolled back. General Motors cut pay for salaried workers up to 10 percent in May, but the automaker reinstated previous salaries this month. Overall, 44 percent of employers plan to reverse pay cuts according to consulting firm Watson Wyatt (ph). So some good news there -- Tony.

HARRIS: Yes, that is good. But what about all the other cuts that employers have made, like cutting back on 401(k) matches?

ELAM: Oh, right, yes, and that's something a lot of people care about. No doubt about that. But some employers are rolling back other cost cutting measures as well. Nearly a quarter of employers that slash their 401(K) matching program plan to reinstate it over the next six months. Also, not everyone had a pay cut. Some workers had their salaries frozen, but now about a third of employers plan to unfreeze salaries. So all around good news here.

HARRIS: Freeze -- look, a freeze feels like a cut. So are these actions, aside from that, corporate America beginning to get back on its feet?

ELAM: Well, some are back on their feet. Some are still looking for the shoes, perhaps.

HARRIS: Yes.

ELAM: You know, they're ready to put the feet in the shoes. But many companies are in a better position due to cost cuts. Not necessarily because of improving demand. And that's key. When sales do pick up, we could see other companies reverse pay cuts. FedEx says it's thinking about it, but the company is waiting for sales to turn around first. But for AMD, reversing pay cuts is a way to boost morales.

Of course, if we want to know more about this story, as always, you can head to cnnmoney.com. As you can see here, get your old salary back and read more about it. -- Tony.

HARRIS: Yes. I need my money. I need my money. My money's funny.

ELAM: Everyone needs their money. They've got bills to pay.

HARRIS: Money is just funny these days.

All right, Stephanie, appreciate it. Thank you.

ELAM: Sure.

HARRIS: Love driving you to cnnmoney.com, terrific website. The Money team, Stephanie Elam a part of that Money team, doing a great job brining you the latest financial news and analysis. As always, go to cnnmoney.com.

We want to get you to the big board now. What a rally. What a rally for stocks today. Last week, not so good. So far on this money, wow, the Dow, as you can see, up 147 points. Just past three hours into the trading day. The Nasdaq, at last check, was up 45 points. And we are following the numbers throughout the day for you with Susan Lisovicz right here in the CNN NEWSROOM.

Credit card companies used to just look at your credit score to determine if you'd be a good credit risk and now they scour your spending patterns for signs of financial trouble, checking to see if you're shopping at discount retailers for the first time or getting marital counseling. Look, have credit card companies gone too far with this? Just go to cnn.com/tony and leave us a comment. We still haven't heard from anyone defending credit card companies.

But Paul thinks people need to start looking into the mirror. He writes, "people complaining about credit card companies is like a junkie complaining about the price of smack -- you never needed a credit card, took it on as a luxury to pay for things you could not afford and now have to deal with the consequences."

And this from Stering. "Since shopping expensive and then going to Wal-Mart too much hurts you, drop credit period! Don't have the money, don't buy it. Wake up, people, the money loving Washington bureaucrats are rule makers and they don't change rules against those who pay them millions. After all, they have to pay their credit card bill too!"

David is taking that advice. He writes, "I continue to close accounts every time I'm unhappy with a change a credit card company makes. People just need to take charge of finances."

Cnn.com/tony. We would love to hear from you.

An innocent school activity or political indoctrination. Why some say the school kids seen in this video have been brainwashed.

(COMMERCIAL BREAK)

CHAD MYERS, AMS METEOROLOGIST: And, welcome back. I'm meteorologist Chad Myers.

I want to take you to the other side of the globe, because this is where the story is today weather-wise. Across Manila and now across and into parts of Vietnam. This is Ketsana. Not even a cyclone, typhoon, hurricane, kind of all the same thing. Not even that strong when it went through Manila, but I have some pictures that are actually at times can be disturbing because we don't know what happened to some of these people.

We know that 140 are killed right now, but still many more are missing. And also about 350,000 to 450,000 without any place to stay now in the Philippines. Anywhere from Manila, all the way to the provinces around that city itself. It's just a very large place. I'll take you this on a Google Earth and we'll kind of go around and we'll show you just the size and the scope of what we're talking about.

There's the U.S. There goes Hawaii. And then we talk about the Philippines. And we'll get right into Manila. And we can actually drill right on down. We like those words here. We'll take you right on down into Manila on this Google Earth and the size of the city and the scope of the people that live there. And I was talking to some people that have actually spent a lot of time in Manila and it's basically -- it's the first world part of the country and there's even the third world part of the country. Just depending on what -- basically what class you're living in and what place, on what part of the town you're living in. And there's the -- kind of one of the business districts here and along -- but along the river you can really begin to see some of the devastation that's going on there.

What happened and what's going to happen? As the storm crossed the Philippines, as only what would be considered a tropical storm. But it put down so much rainfall. And kind of a little bit of a topographic area as well. And now it is moving off to the west and it is moving toward the countries here of north Vietnam, south Vietnam as a category two typhoon.

Again, typhoon, cyclone, hurricane, all the same thing. All the same kind of rotation except that it just depends on what ocean it's in. The Atlantic Ocean and part of the Pacific Ocean, where we live, it is obviously called a hurricane. Then you go to typhoon. You get over by India, it's called a cyclone.

There it is, a category two about to come onshore here on the western side there of -- I mean anywhere from about -- about Danang (ph) southward is where we expect the landfall to be of a category two hurricane right there in Vietnam -- Tony.

HARRIS: I'm just thinking about the pictures we may be seeing over the next couple of days.

MYERS: Yes, it all -- you put it all into perspective when you put so many people in such -- in harm in a very wet place. And that's what has happened there in the Philippines for sure.

HARRIS: Chad, appreciate it. Thanks.

MYERS: You're welcome.

HARRIS: A community divided over a school song sung by elementary students. It's about the president. It is causing a lot of controversy. Here's CNN's Mary Snow.

(BEGIN VIDEOTAPE)

GINA PRONCHIK, PARENT: That's my son right there.

MARY SNOW, CNN CORRESPONDENT (voice-over): Gina Pronchik says she was shocked to find her son, Jimmy, and his classmates singing about President Obama. It's gone viral after being posted on YouTube and it sent off a firestorm of emotions.

CHILDREN: He said we must be fair today. Equal work means equal pay. Mmm, mmm, mmm, Barack Hussein Obama.

SNOW (on camera): Your thoughts watching that again?

G. PRONCHIK: The chanting is what upsets me.

SNOW (voice-over): Gina and her husband James say they had no idea their son's class last school year even sang the song.

G..PRONCHIK: I feel like they were brainwashing my child rather than teaching him. They are pushing their political views rather than educating him. So I just think they overstepped.

JAMES PRONCHIK, PARENT: And I think the grounds for all -- it has to do with people that don't want politics mixed with school.

SNOW: Brenda Morrison's daughter was also in the video and doesn't see a problem. She says the kids are adorable.

SNOW (on camera): What do you say to critics who say that this song about Barack Obama was indoctrinating kids?

BRENDA MORRISON, PARENT: It's just laughable. You know, it's ridiculous.

SNOW (voice-over): But difference of opinion has spread far beyond Burlington, New Jersey's, B. Bernice Young Elementary School, becoming front-page headline and a hot topic on the blogasphere. Police were added outside the school after the superintendent e-mailed parents saying it did "receive harassing calls." A repeated requests to speak with school officials were denied. The district, in a statement, explained the song saying "the activity took place during Black History Month in 2009" and it says the recording was unauthorized. But the state's education commissioner is now reviews what happened "to ensure students can celebrate the achievements of African-Americans during Black History Month without inappropriate partisan politics."

Dejay Duckett lives in the area and is stunned by all the attention.

DEJAY DUCKETT, PARENT: To me, the biggest issue is all of the anger and where is it coming from.

SNOW: Parent Leslie Gibson says attention on the video is justified.

LESLIE GIBSON, PARENT: A lot of people are saying they want the media gone, they want the media gone. I'm glad you guys are here because they're trying to sweep this under the rug.

SNOW: Mary Snow, CNN, Burlington, New Jersey.

(END VIDEOTAPE)

HARRIS: Imagine a town where one in every five people you see is unemployed. We will show you the struggle and also some remarkable resilience.

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HARRIS: Fayette, Mississippi, is one of the poorest counties in the nation. So poor, in fact, that finding any jobs at all, even a very low paying one, is reason to celebrate. CNN's John King reports.

(BEGIN VIDEOTAPE)

JOHN KING, CNN CORRESPONDENT (voice-over): Jefferson County hugs the mighty Mississippi. It's rural, remote and dotted with tiny churches. Fayette is the county seat. It's monument to confederate soldiers a tribute to the past that seems very much at odds with this community's present. Nine in 10 residents are black. The highest percentage of African-Americans with any county in the United States. The shuttered storefront are a sign of a less desirable distinction, 18.6 percent unemployment, the highest jobless rate of Mississippi's 82 counties.

ANGELA SHELVY, UNEMPLOYED: It hasn't always been like this. This (INAUDIBLE) has not always been this way.

KING: Angela Shelvy has been looking for since months.

KING (on camera): And there's nothing out there?

SHELVY: Nothing.

KING (voice-over): Shelvy is a single mother of three, who quit a job as a teacher's assist to join a union that provides workers for nuclear power plants. Twice the pay, but the work was sometimes as far away as Arizona. And while her parents took care of the children, the strain became too much. Especially for her four-year-old.

SHELVY: I'm like, you have Granny. He'd say, no, I don't want Granny. I want you to hold me. And I just decided I couldn't go back.

KING: But since March, no luck, despite searching as far as 90 minutes away.

SHELVY: And they're not hiring. They're either saying they're not hiring or I'm not qualified. I don't have enough years of experience. We'll call you later. Get back with us. And it's been stressful for me.

BRENDA T. BUCK, JEFFERSON COUNTY ADMINISTRATOR: It's become very depressing to some people who are trying to struggle and it is a struggle day to day.

KING: Finding job is county administrator Brenda Buck's obsession. She knows the struggle firsthand. No jobs around here, her husband works, at the moment, 900 miles away in Indiana.

BUCK: Right now he's employed with a company that's been going into a lot of the car plants doing refabrications. We have four kids but he's here basically made two months out of the year.

KING: Most of Buck's time with county supervisors is spent on economic development. No luck so far winning federal stimulus money to improve the roads. This work site is also part of the county's Washington wish list. At the moment, 10 employee, each making about $100 a day cutting and packaging firewood. General Manager Paul Southerland says the noise often attracts others down on their luck.

PAUL SOUTHERLAND, GENERAL MANAGER, RELIABLE MAT: I've seen a lot of people come by, you know, looking for jobs, you know.

KING: Southerland's main product is these giant wood mats used in oil and gas fields. Orders are suddenly hard to come by.

SOUTHERLAND: Mississippi's always last to feel the effects of a recession and most of the time it's always the last to pick back up. It hit us about June. It really hit us hard too.

KING: Still, Southerland hopes to expand if the country secures a federal grant to buy a bigger sawmill.

SOUTHERLAND: You know, that's what -- it's what it's all about. If we have that sawmill, we'll be able to add eight or 10 more folks.

KING: Eight or 10 jobs might not sound like much, but in a place so remote and so poor, progress is measured a little differently.

BUCK: If you can just imagine eight men making $10 to $11 an hour and actually come home and be at home at night with their families, the impact that it would make, not just from the economical standpoint, but from the social standpoint of that father's presence there in that household and not having to travel so far, I mean, you have a double whammy. It's a win-win situation for any family.

KING: John King, CNN. Fayette, Mississippi.

(END VIDEOTAPE)

HARRIS: And we are pushing forward with the next hour of CNN NEWSROOM with Kyra Phillips.