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Christmas Day Attack & Ft. Hood; 2010 Job Prospects; The Need for Intelligence; Deadly Mudslides in Brazil; Health Care "In Focus"; Behind the Lens

Aired January 02, 2010 - 11:00   ET

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

BETTY NGUYEN, CNN ANCHOR: Hello, everybody. From the CNN Center, you are in the CNN NEWSROOM. It's Saturday, January 2. Happy New Year. Thanks for joining us, I'm Betty Nguyen.

RICHARD LUI, CNN ANCHOR: Yes, and good Saturday morning to you and everybody else. Thanks for having me. I'm in for T.J. Holmes on this Saturday. It's 11:00 a.m. in the East, if that's where you're at. It's 8:00 a.m. on the West Coast, if you're just pushing back those covers.

NGUYEN: Yes, well, this morning, let's talk about this. President Barack Obama pledges to hold accountable all those involved in the botched terror plot on Christmas Day. In his weekly address to the nation, the president reiterated his promise to -- quote -- "Disrupt, dismantle and defeat al Qaeda."

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: The investigation into the Christmas Day incident continues and we're learning more about the suspect. We know that he traveled to Yemen, a country grappling with crushing poverty and deadly insurgencies. It appears that he joined an affiliate of al Qaeda and that this group, al Qaeda in the Arabian Peninsula, trained him, equipped him with those explosives, and directed him to attack that plane headed for America.

This is not the first time this group has targeted us. In recent years they've bombed Yemeni government facilities and western hotels, restaurants and embassies, including our embassy in 2008, killing one American. So as president, I've made it a priority to strengthen our partnership with the Yemeni government, training and equipping their security forces, sharing intelligence, and working with them to strike al Qaeda terrorists.

(END VIDEO CLIP)

LUI: Well, intelligence officials say there's a link between the suspect and the Christmas Day attack, a Yemen Muslim extremist and the Ft. Hood attack two months ago.

CNN's Brian Todd takes a look at that.

(BEGIN VIDEOTAPE) BRIAN TODD, CNN CORRESPONDENT (voice-over): He's been called the bin Laden of the Internet, an online Jihadi sensation. American born cleric, Anwar al Awlaki, believed by U.S. officials to have been hiding in Yemen, as clearly inspired Muslim radicals through his online postings and other communications.

Now a U.S. counterterrorism official tells CNN there are indications there was direct contact or communication between al Awlaki and Umar Farouk Abdulmutallab, the suspect in the Christmas Day bombing attempt aboard a U.S. airliner.

The official could not give details about the nature of the contact, how frequent they were or when they occurred. Al Awlaki had previously exchanged emails with U.S. Army Major Nadal Hassan, who's now charged with killing 132 people at Fort Hood.

The official says even before his name came up in the Ft. Hood investigation, al Awlaki was closely scrutinized by the counterterrorism community, as he moved into what's described as more of a operational role for al Qaeda in the Arabian Peninsula. That group has claimed responsibility for the airline bombing attempt.

What kind of operational role would al Awlaki have with them? The counterterrorism official says he seemed to have been trying to mobilize his cohorts to conduct attacks. But the official gave no other specifics.

CNN national security analyst, Peter Bergen, offers another possibility.

PETER BERGEN, CNN NATIONAL SECURITY ANALYST: Yes, as an insider to jihad, who is also a religious cleric, he would, you know, be able to sanction attacks because, of course, al Qaeda and like-minded groups, you know, they're looking for religious sanction for the kinds of attacks they do.

TODD: The 9/11 Commission Report says al Awlaki had contact with two of the 9/11 hijackers while they were in the U.S., though there's no evidence he knew of the plot. The Imam at the Virginian mosque where al Awlaki was a leader described his appeal.

IMAM JOHAI ABDUL-MALIK, DAR AL-HIIJRAH ISLAMIC CENTER: Young, handsome, Californian, has the benefit of English without an accent, and who also is proficient in the Arabic language. In fact, he is technically an Arab. What better mix.

TODD: al Awlaki is believed to have left the U.S. for Yemen in 2003 or 2004 and since then has been called a rock star among those who incite radicalism on the Internet. This is a video lecture appearing on an Islamic website.

IMAM ANWAR AL-AWLAKI, AMERICAN BORN CLERIC: It is important that we prevent the proper role models for ourselves to follow.

TODD: Ben Venzke is with a group called IntelCenter, a contractor which gives counterterror support to U.S. intelligence and the military.

(on camera): How has he done it? How has he been so effective on a virtual scale?

BEN VENZKE, INTELCENTER: al Awlaki is doing this by putting out video material that people can access, written documents, other kinds of writings and teachings that are then influencing these people and then ultimately corresponding with them directly in some cases.

TODD: But it's unclear if Anwar al Awlaki is doing that at the moment or if he's even still alive. There's been speculation he was killed in a strike against suspected Jihadist hideouts in Yemen recently. But a U.S. official says the intelligence community believes he is alive. And al Awlaki's own family is quoted this week as saying the same thing and they deny that he has any role with al Qaeda.

Brian Todd, CNN, Washington.

(END VIDEOTAPE)

NGUYEN: Well, the death toll stands at 93 in a suicide bomb attack on a volleyball game in Northwest Pakistan. Police believe the bomber used a pickup truck loaded down with more than 600 pounds of explosives. Eight houses in the area collapsed in the blast, which could be felt 11 miles away. AT least six children are among the dead. Thirty-four people injured in the blast remain hospitalize.

LUI: Now, to a Somali man with an ax who tried to break into the home of a controversial Danish cartoonist has been charged with attempted assassination now. Now, this home belongs to Kurt Westergaard. That is the man who drew the Prophet Mohammed wearing a bomb as a turban three years ago.

This cartoon sparked an uproar among Muslims at the time. And over the years, there have been several suspects arrested for allegedly plotting to try to kill this cartoonist.

NGUYEN: All right, so getting out of the unemployment line. It is the New Year's resolution of millions of Americans.

LUI: Yes, certainly. And as CNN's Kitty Pilgrim tells us, 2010 offers a few glimmers of hope for some job seekers.

(BEGIN VIDEOTAPE)

KITTY PILGRIM, CNN CORRESPONDENT (voice-over): Happy New Year. More than 15 million people in the country are unemployed, many of them lost their jobs in 2009. What's ahead for 2010?

Elena Escalona, who spoke to us late last year about her career hopes, after sending out dozens of resumes and searching for a job, she suddenly realized what she wanted to do in life.

ELENA ESCALONA, SEARCHING FOR A JOB: Luckily, out of all of this and something that's really positive that has come out of it is that I've discovered that I want to become a teacher. And I think I would have never discovered that out of, you know, this entire year of looking for a job. That instead of having a job physically handed to me, I've really had to fight for it and kind of, you know, discovered where I belong in the world.

PILGRIM: As the unemployed sites surf and soul search, there is some glimmer of hope. The last report in December found that new claims for unemployment benefits fell sharply, down by 22,000. That was the lowest level since July 2008. And the four-week average of people who filed for benefits has been declining for 17 weeks straight.

OBAMA: We are in a very different place today than we were one year ago. We may forget, but we're in a very different place. We can safely say that we are no longer facing the potential collapse of our financial system and we've avoided the depression many feared. Our economy is growing for the first time in a year.

PILGRIM: Next week will also provide a good snapshot of how manufacturing and service sectors held up in December as the economy gradually recovers from the worst recession since the Great Depression going from cutting jobs to creating them is a slow adjustment. Businesses are likely to be cautious, fully convinced in recovery before adding any new hires.

DR. MARTIN REGALIA, U.S. CHAMBER OF COMMERCE CHIEF ECONOMIST: We're out of the recession everywhere, but we're not growing enough on Main Street to put people back to work. When the average person thinks of a recession, they don't think of it like economists do, you know, zero GEP growth or whatever. They think of it as, you know, am I losing my job, am I getting a raise.

PILGRIM: Kitty Pilgrim, CNN.

(END VIDEOTAPE)

NGUYEN: Well, in gathering intelligence in the war zone, it is a dangerous game for CIA officers on the frontline, a game that may have cost seven Americans their lives.

(COMMERCIAL BREAK)

NGUYEN: Well, the need for counterterrorism intelligence may have played a part in a security breakdown in Eastern Afghanistan. That breakdown cost the lives of seven Americans.

LUI: And now we're hearing different claims about who carried out the deadly attack. We go to CNN Pentagon correspondent Chris Lawrence for more.

(BEGIN VIDEOTAPE)

CHRIS LAWRENCE, CNN PENTAGON REPORTER (voice-over): A U.S. Intelligence official tells CNN the main purpose of a CIA base like this is to recruit potential informants and plan covert operations like unmanned drones. And that may have made it a target for retaliation. One of the prime suspects in the suicide bombing is the Haqqani Network based across the border in Pakistan where the U.S. has dramatically increased its drone attacks. The Haqqanis, led by Siraj Haqqani, are alive with the Afghan Taliban and al Qaeda and have a strong presence in Khost. Some reports say the bomber was being recruited as a potential informant, but that doesn't explain the security failure.

KEN ROBINSON, FMR. INTELLIGENCE OFFICER: There should be multiple rings of security in multiple locations and a separation between those who are working in the clandestine service and those who are being brought on to be interviewed.

LAWRENCE: Ken Robertson is a former Special Forces and CIA officer. He says a potential informant coming on the base is normally checked head to toe, and someone would supervise them the entire time.

ROBINSON: These are the questions that'll be answered in the next 24 to 48 hours as to what specifically broke down or whether this person had already embedded and was already trusted and was already a member of the Afghan National Army.

LAWRENCE: The Afghan Defense Ministry says none of its forces were involved in the attack. But one Taliban group claims it convinced an Afghan army soldier to wear the vest and blow himself up. Other reports say a different Taliban group in Pakistan is claiming responsibility, saying it used a turncoat, local CIA operative as a double agent.

(on camera): So why bring in potential contacts at all? Well, these are remote areas of Afghanistan, small villages with eyes everywhere. An American base is often the only place to have a private meeting where officers are trying to build trust with potential informants.

Chris Lawrence, CNN, Washington.

(END VIDEOTAPE)

(WEATHER REPORT)

NGUYEN: OK, so for Brazil, the New Year begins with deadly storms. Emergency crews are searching for survivors under the crush of two separate mudslides around Rio de Janeiro. State officials say at least 45 people have been killed.

CNN's Natalie Allen has the latest.

(BEGIN VIDEOTAPE)

NATALIE ALLEN, CNN CORRESPONDENT (voice-over): 2010 started off with more tragic news as a stationary front continues to soak Brazil's southeastern states, turning Rio's picturesque float into nightmarish scenarios.

On Friday, a giant slice of this mountain descended upon a high- end resort in Angra dos Reis, killing 22.

Officials say rescuers found another 15 bodies floating in the island of Ihla Grande following the New Year celebrations Thursday night.

The persistent rain has put rescuers on the clock day and night.

In the poorer suburbs, in Zona Norte, makeshift homes built on slopes are more susceptible to these types of disasters. In Jacarepaqua, sadness is in every corner.

UNIDENTIFIED FEMALE (through translator): No more tragedies. My God, we've had enough.

ALLEN: On Wednesday, some good news as the work of Rio's rescue teams begins to pay back. The mother and the father of this home did not survive the mudslide, but rescuers began to shout for Marianna, a toddler who lived there. Suddenly, one small miracle is granted before the New Year. The men cheer as the little girl answers. She's now at a local hospital in serious condition.

While the city continues to mourn for the remaining victims and wait for the return of sunnier days.

Natalie Allen, CNN, Atlanta.

(END VIDEOTAPE)

LUI: All right, we'll meet a woman who does not let anything get in her way despite some obstacles, a "Favorite in Focus."

(COMMERCIAL BREAK)

LUI: President Obama talking tough against terrorism this first weekend of the New Year. In his weekly address, he's pledging to crackdown on extremists in Yemen and to "Disrupt, dismantle, and defeat al Qaeda," his words. A branch of the terrorist group claims it's behind the failed Christmas Day attack on a Northwest Airlines plane arriving in Detroit.

NGUYEN: Well, the death toll is rising after a suicide car bombing at a volleyball game in Northwest Pakistan. Listen to this, at least 93 people are dead, dozens of others remain hospitalized after yesterday's attack. Police say more than 200 people were watching the game when the bomber drove a truck onto the crowded field and detonated it.

LUI: And it looks like, hey, you won't see any disruption in your favorite pop shows like "American Idol." Time Warner Cable and News Corp., the parent company of FOX, have reached a deal to end their battle over higher fees. Exact details have not been released about that.

We'll get another check of our top stories for you in 20 minutes.

All right, well, today, we're highlighting some of our favorite pieces from CNN's "In Focus" series. Photojournalist, Bethany Swain, brings us the story of a young woman with a rare bone disorder who started a theater company for actors with disabilities.

NGUYEN: Yes, as Susie Richard deals with her own health problems, she must also confront a complex Medicare system to get the coverage that she really needs.

(BEGIN VIDEOTAPE)

SUSIE RICHARD, DIRECTOR, OPEN CIRCLE THEATER: Hang on, I'm trying to be an interpreter too. The idea behind Open Circles is that we showcase professional artists with disabilities. Do you understand what I'm saying? No. OK.

This idea that we had played around turned out it really needed to be there in the community.

What I'd like to do first is a vocal warm-up. My name is Susie Richard.

We're usually pretty proud of the product. All of the actors tend to learn a lot about helping each other out. I'm an actress and director and artistic director of Open Circle Theater. I was born with Osteogenesis Imperfecta, which is also known as Brittle Bones Disease.

It's way too tight. Look at how tight it is for the wheelchairs to come in that way.

About 20 to 40,000 people just in the country that have it, kind of like osteoporosis for your whole life but a lot more complicated.

Fourth of four children, I was pretty much expected to do what everyone else was, although according to my brother not as many chores as everyone else. I had to have rods put in my leg bones to sort of act as an infrastructure under the bone because the bone was (UNINTELLIGIBLE).

Having a family that was able to deal with it helped a lot. Having really great medical care helped a lot. I'm retired on disability because I'm too sick to work. Now I'm back on Medicare through social security.

So I can have them on stage?

I still have a limit on how much I can make. So I don't own any property because I'm not allowed to. My car is also my parents' car.

Let's get in places.

If I start doing well, I get nervous because am I going to lose my benefits? I seriously believe that people with disabilities, if you want them to be at all a useful part of the society, you need to have medical care that you don't have to worry about having. Well, then, clearly, if you want people in general to be a useful part of society, they need to have medical care. You never know what's going to come up with my body but you never know what's going to come up with your body either.

I think definitely that theater is the thing that has kept me sane, so to speak. And that has helped a lot and just being able to express myself and help other people express themselves is really important.

(END VIDEOTAPE)

NGUYEN: Indeed. Well, CNN photojournalist, Bethany Swain, joins us now from Washington.

All right, so Bethany, why take on the topic of health care in this "In Focus"?

BETHANY SWAIN, CNN PHOTOJOURNALIST: This was one of the five series that we did this year and we thought it was important to put a voice and a face on the health care debate because there is so much going on. And talking to Washington across the country about it, we wanted to really hear from some of the people that aren't necessarily getting their stories heard.

And I really enjoyed meeting Susie and learning about the Open Circle Theater and just seeing all the people that were there. They had a list of different challenges that they were overcoming.

And Susanne, her Medicare coverage was just one of her obstacles. But she definitely didn't let it keep her down.

LUI: Not at all. A really, an amazing individual based at least on the interviews and what she had said in that.

You know, we have this favorites "In Focus" that starts in about 3 1/2 hours here. What else can we expect to see there?

SWAIN: One of our other pieces we're going to give a preview of next hour is by photojournalist, John Bena (ph). And he went up to upstate New York, outside of Schenectady and profiled the Quilts for Injured Soldiers Project. And they have been collecting quilts from all over the world and bringing them to soldiers, so right when they get back from getting hurt overseas.

And they actually follow a quilt from this woman in New York come down to Maryland to be delivered to an injured soldier, service member, as he gets into Andrews Air Force Base and is starting his recovery.

NGUYEN: These are great stories and they really put a face behind a lot of important issues. How do you determine which stories that you're really going to tell for this series?

SWAIN: We took on a couple different topics this year. We did stories on health care, the environment, military, jobs, and giving in hard economic times. And then, for our favorite series, which is airing at 3:00 Eastern, we opened it up to our colleagues and peers to vote on their favorite ones of the year. We did over 80 pieces this year and we had people vote on them. And our favorites are what made it into the 14 pieces made it into the hour.

NGUYEN: Oh, that's great. And then very quickly, a lot of people, they're going to be watching these stories and maybe want to help. Is there some way that they can do?

SWAIN: So if you want to learn more about our series, you can go to Facebook.com/CNNinfocus. You can learn more about Susie Richard and Open Circle Theater and some of the other stories that we're doing, both that we've done and what's happening in 2010.

NGUYEN: Fantastic, love it. We'll be watching. Thank you.

LUI: Thanks a lot, Bethany.

And that full hour of favorites "In Focus" is coming your way today at 3:00 Eastern. That's in about 3 1/2 hours as we were just mentioning.

NGUYEN: Well, two violent crimes in 2009 against young teens made Americans question the mentality of no snitching. CNN's Tony Harris asked some kids in Atlanta to explain it to him.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I think the reason nobody called it in is the same reason that a whole class sees someone cheating on the test and no one tells, because you don't want to risk being excluded from that group or being included in the bad situation.

TONY HARRIS, CNN CORRESPONDENT: You'd rather be a part of the group than to do the right thing because the right thing can isolate you?

UNIDENTIFIED FEMALE: Yes.

(END VIDEO CLIP)

NGUYEN: In a moment, a revealing conversation about this code of silence.

(COMMERCIAL BREAK)

LUI: OK, let's see, check the calendar and it's Day Two of 2010. I've got it straight here.

How are you doing with your New Year's resolutions so far?

NGUYEN: Not so good for me, but if you're like many people this year, you want to do a better job with your money. CNN's Stephanie Elan gets the skinny on some folks' financial resolutions.

(BEGIN VIDEOTAPE)

ANNOUNCER: A Happy New Year, everybody.

STEPHANIE ELAM, CNN BUSINESS CORRESPONDENT (voice-over): 2010, a clean slate. That means it's time to start living up to those New Year's resolutions. And for many, it's all about the money.

UNIDENTIFIED FEMALE: I plan to not spend so much money on all the shoes that I usually spend money on.

UNIDENTIFIED MALE: Probably just continue to just make smart decisions, financially.

UNIDENTIFIED MALE: Try to put a little more money away, absolutely.

ELAM: Making resolutions is nothing new. But the ones related to money seem to work out the best in this economy. According to a TV/Ameritrade survey, 75 percent of Americans will make at least one New Year's resolution focused on finances this year. That's up from 60 percent in 2009.

GREG MCBRIDE, SR. FINANCIAL ANALYST, BANKRATE.COM: Statistics do show that women tend to be better in terms of specifically with investments.

ELAM: In fact, 66 percent of women and 59 percent of men plan to save more money this year.

Minorities also have finances in focus. Thirty-eight percent of Hispanics and 43 percent of blacks say they plan to improve their investment activity.

For many Americans, making financial resolutions may be more of a necessity than a desire, especially with unemployment at 10 percent.

MCBRIDE: That right there is motivation enough to get your financial house in order.

ELAM: But the trick is getting those resolutions to stick.

UNIDENTIFIED FEMALE: I was trying to, like, save money for the year and it didn't work out. I would just put the money in the bank and then sooner or later, I'll just go back in and take it out.

ELAM (on camera): You've got your resolutions here. They start around here. And then, by about here, I think people have tended to have forgotten about them. So what are the qualities of a resolution that actually sticks and lasts longer than midway through January?

MCBRIDE: The best way to do it is put some of these resolutions on auto pilot. Have money directly deposited from your paycheck or your checking account into a dedicated savings account. You can increase or even initiate 401(k) contributions or even set up automatic monthly contributions from your checking account into an IRA.

ELAM (voice-over): For some, the resolution is obvious.

UNIDENTIFIED MALE: I don't have any money, so get more money.

ELAM: Everybody's got to start somewhere. Stephanie Elam, CNN, New York.

(END VIDEOTAPE)

NGUYEN: All right, so we know that he's out of the hospital. What we don't know is that if he'll be on the air on Monday. Conservative radio talk show host Rush Limbaugh was released from a Honolulu hospital yesterday after undergoing a two-day battery of tests for chest pain. The 58-year-old Limbaugh says the results show no heart problems. Then he delivered a similar diagnosis for America's health care system.

(BEGIN VIDEO CLIP)

RUSH LIMBAUGH, RADIO TALK SHOW HOST: Based on what happened to me here, I don't think there's one thing wrong with the American health care system. It is working just fine, just dandy. And I got nothing special. I got no special treatment.

(END VIDEO CLIP)

NGUYEN: Limbaugh says he hopes to be back behind the microphone sometime in the coming week.

LUI: You see someone commit a crime. Why not tell police? Well, some say it's a no-snitching code of silence. As part of his "Class in Session" series, CNN's Tony Harris spoke with high school students in Atlanta about this code, when it came to the beating death of a Chicago honor student.

(BEGIN VIDEOTAPE)

HARRIS (on camera): Dereon Albert, honor student, Chicago. He's jumped. He's beaten to death. You saw the video, didn't you? You saw the people around him. There were people recording it but they didn't call. They're recording it to put it up on...

AZIZA SHEPPARD, GRADY HIGH SCHOOL STUDENT: YouTube and play it and laugh about it.

HARRIS: But they didn't call to say, "Oh, my God, I'm watching a kid get beaten to death."

BRYCE DUGGER, GRADY HIGH SCHOOL STUDENT: Where I live at and the society that I grew up in, you just can't snitch. Like, it's just out of the question. You just can't do it or you'll get in trouble. You know what I'm saying? And most of the people who are doing these bad things, you know them. They're basically you're click. You're cool with them.

And when I saw that video, it made a big impact in my life. And I was thinking, this is ridiculous, you know, something needs to happen. Those kids could have been at least trying to help him, trying to call for help, trying to do something. It's crazy.

SHEPPARD: When there are enough people to stop the fight, that's what gets to me. Twenty people and only four people are jumping or whatever the ratio was. It could have been stopped.

MARAGH GIRVAN, GRADY HIGH SCHOOL STUDENT: My mother made my younger brother watch it. And she was, like, "This is why you tell. This is why -- when you see something like this starting, you need to go and just tell somebody immediately."

HARRIS: Where do you get this messaging from, "Don't snitch. Kill the rats"?

UNIDENTIFIED FEMALE: Since we're little, we're kind of told that. They're like mind your own business, keep your hands to yourself.

HARRIS: Who told you that?

UNIDENTIFIED FEMALE: Like teachers and parents.

HARRIS: Teachers?

UNIDENTIFIED FEMALE: Yes.

HARRIS: I think I may have said that to my kids a couple of times. You begin to apply that lesson to more and more serious events?

DUGGER: It's three main sources that I see this mostly: the community, music videos, and music. Because in the videos, like if somebody who is snitching or if somebody looks like they're informants or something, then they show something happens to that person who talks.

HARRIS: So you see depictions in videos of people who are snitches being hurt.

NGOC VU, GRADY HIGH SCHOOL STUDENT: I think it's in the movies. Like you see chose mafia movies or "Law and Order" where people who snitch are attacked or, like, shot down by the mafia.

HARRIS: How many of you trust the police to do the right thing with that information and protect you? Show of hands.

SILAS PHILLIPS, GRADY HIGH SCHOOL STUDENT: From what I've seen -- like, I'm a skateboarder. I go skateboarding and sometimes the police show up at places and they just deal with it in the complete wrong way, I think. They pull guns out on us. They come up, like, cussing, not even, just, like, treating me like a person. They're treating me like some sort of just complete vandal, animal.

HARRIS: How many of you trust the school officials to do the right thing with information you provide about something bad that happens in your school and protect you?

UNIDENTIFIED FEMALE: Yes, it depends on who it is.

SHEPPARD: On the majority, yes, I guess.

CHEYN SHAH, GRADY HIGH SCHOOL STUDENT: At least with teachers, I kind of know who they are and know what they've done and things like that. And like I can assess their personality and what they would do in a situation. With the police, it's just this big anonymous force that you don't know what they're going do, whether they're corrupt or just not all that interested.

HARRIS: Can I get just a little support for police officers who put their lives on the line, who have to deal with the knuckleheads who did beat Dereon Albert to death? You can help them by fostering a better relationship with them. They can certainly do their part by working on their relationship with you young people.

(END VIDEOTAPE)

LUI: All right, that was CNN's Tony Harris. You can watch his "Class in Session" series weekdays beginning at 11:00 a.m. Eastern in the CNN NEWSROOM. But great conversation, Betty.

NGUYEN: That was really good and very compelling, especially to see what those young people thought about the police force and school administrators, yes, doing the right thing with the information they provide.

All right, well, there are a host of new laws on the books for the New Year, and some of them have to do with your plastic and they could force you to change your spending habits.

(COMMERCIAL BREAK)

NGUYEN: Checking our top stories right now, President Obama is linking the botched Christmas Day terror attack on a Northwest flight to al Qaeda. In his weekly radio address, the president says the suspect had established ties with the terrorist network in Yemen. And he says the group gave Umar Farouk Abdulmutallab his marching orders. The president has ordered a complete investigation into the attack.

LUI: A Somali man is charged with the attempted assassination of the Danish cartoonist who offended Muslims with his drawing of the Prophet Mohammed wearing a turban shaped like a bomb. Now, police say the axe and knife-wielding man who tried to break into Kurt Westergaard's home last night had terrorist ties. The suspect was shot but not severely injured.

NGUYEN: A big political setback for Afghan president, Hamid Karzai. Afghanistan's parliament is rejecting 70 percent of nominees for a new cabinet. Meanwhile, Afghanistan's Election Commission says a parliamentary vote will be held in May despite critics who say the election system needs serious reform.

(COMMERCIAL BREAK)

LUI: Credit card changes are about to go into effect, so keep an eye on the mail because it's likely you will receive a letter explaining these new rules on your accounts. And there are a lot of changes.

Joining me right now is Karen Blumenthal, author and family money writer for the "Wall Street Journal." And Karen, these are our good friends, our best buddies, especially during the holidays. I'm talking about the credit cards, right. And you've got some reminders for us to look out for as well as the changes. Let's start with what we care about most, interest rates for most of us.

KAREN BLUMENTHAL, FORMER DALLAS BUREAU CHIEF FOR "WALL STREET JOURNAL": Right. Right now, we're seeing credit card companies raise interest rates ahead of new laws that go into effect in February. So you need to pay attention to whether or not your rates are going up, especially if you carry a balance because it could really cost you. You have an option right now to get out of that, to choose not to do it, but you need to make that decision quickly.

LUI: Now let's get down to one detail. They can change the interest rate in these new rules take effect in February. Is that correct? Up to 45 days in advance that they let you know.

BLUMENTHAL: They have to give you 45 days notice, but the key thing is if you miss a payment right now, your interest rate can go up. After February, you have to be more than 60 days late before they can raise your interest rate.

LUI: And we're talking about, what, up to 30 percent or close to that, right?

BLUMENTHAL: Well, we've seen some banks go up to 29.99 percent. That's pretty steep.

LUI: That is very steep on the balance. You'd be paying three out of $10 every cycle and that's going to kill you.

Another fee that we watch out for, the interest rates, which we see at the bottom of our statement or the top, is the overdraft fees, if we go past our limit.

BLUMENTHAL: Right. Starting in February, they can't ding you for going over your limit. But what that means is they may start rejecting your credit card. So you need to be familiar with your credit limit, set up an e-mail alert so that you know when you get close, so that you don't have those embarrassing moments at the checkout stand.

LUI: You know, so I guess you have an option here, right, either opt in or you opt out of this program. If you opt in, what does that mean?

BLUMENTHAL: That's correct. You have a choice. And you can choose to pay that over limit fee, or if you don't opt in, then you take the risk that your credit card will be rejected. It'll be better if you can stay under that credit limit and just not have the problem.

LUI: Yes, because that'll hurt your credit rating, that might reduce your limit and such and so.

Another part of this is, you know, they're making a lot of money on these fees, aren't they? I was reading one of the articles from the "Wall Street Journal," alluding to your report, that said, "Over $23 billion in '09, they made $18 billion in '08." This is also a big revenue stream for them.

BLUMENTHAL: It's huge and it's hugely important. So one of the things you're going to be seeing is all kinds of new fees. One of the things I've heard from readers about are dollar a month fees to get a paper statement from some retail cards like Ann Taylor. People are raising balance transfer fees. They're raising foreign currency transaction fees. They're even raising fees for just about everything you could think of that's not covered in law.

LUI: So you would have to pay if you wanted a paper statement is what you just said?

BLUMENTHAL: Some retail cards are starting to charge a dollar a month for a paper statement.

LUI: Wow. OK, universal default. Go ahead.

BLUMENTHAL: Yes, well, that was an awful thing that credit card companies did if you paid late on one credit card then another credit card might raise your interest rate. They can't do that anymore. So that piece of trickery is gone.

LUI: So if you have trouble paying one credit card, they cannot raise your rate or change your other credit card based on what happened with this first one.

BLUMENTHAL: That's right. That's right. It can only affect what you do with that particular card.

LUI: All right, yes. You can see the cascading. You can see the domino effect if you have one little bit of trouble.

And then finally, there's those credit card mailers. We get them all the time. Really small prints, about this big sometimes. We can't make it through it. I read one of the articles you wrote. You said, "Hey, you better read those."

BLUMENTHAL: You do because there's going to be a lot of information in the next few months about those kinds of things. The issue we talked about, about opting in, interest rate changes. There's going to be a lot of things that you need to pay attention to. It'll make a huge difference.

Another thing, get to know your due date because every credit card is going to have the same due date every month. And the number one thing you can do to keep your credit score strong is to pay on time. So if you pay attention to those mailings and you get to know, you know, your credit limit, your due date, your interest rate, you'll be in good shape.

LUI: It's just the basics. Stick to the basics, all right.

BLUMENTHAL: That's right. LUI: February is when all these changes happen, people look out for that. Of course we can go to you, Karen Blumenthal and your writings in the "Wall Street Journal" if we want to find out more about that. Thank you for joining us this morning and giving us some attention of the things that we need to do as these changes do take effect, hopefully for the benefit of many consumers as well as businesses, too.

BLUMENTHAL: That's right. Thank you.

LUI: All right, hey, don't forget, by the way, the Dolans are our guests today as they are every week at 2:00 Eastern.

NGUYEN: Yes, they're great with good advice too. And this week, they're going to tell you the likely effect health care reform will have on your family budget. That's today at 2:00 Eastern with Brooke Baldwin.

And this morning at 6:00 a.m., we had a special treat for you.

(COMMERCIAL BREAK)

NGUYEN: All right, as I was saying, this morning at 6:00 a.m., we had a special treat for you. And then we began the New Year with a little something that we put together to reflect on some of the best interviews in 2009. And our morning team got a chance to look back.

You were a big part of that. We took a look back down memory lane.

REYNOLDS WOLF, CNN METEOROLOGIST: Amazing stuff, yes, stories from all across the planet and all across the country, very memorable.

NGUYEN: Yes, we've put on some miles.

WOLF: You kept busy, yes, crazy year.

NGUYEN: Yes, when it came to the frequent flyer miles. Here's a clip of the show.

(BEGIN VIDEO CLIP)

NGUYEN (on camera): We're going to take look back at the year in review, some of the biggest stories of the year, also some of the stories that we enjoyed covering.

WOLF: Some of the biggest, I guess the biggest, no doubt about it, President Obama, our first black president of the U.S. inaugurated in January. A lot of coverage dedicated to that.

But we covered the big stories, but there were a lot of stories big and small that we just enjoy. We're going to be sharing those during this hour here as well.

NGUYEN: Yes, because we went across the nation and into different countries this year covering stories. WOLF: Like Mexico.

NGUYEN: Like Mexico, a weather related story.

WOLF: Yes, I mean it was a really quiet hurricane season. But you had the opportunity to go to Mexico and cover Hurricane Jimena.

And, you know, while you were on assignment there, I was actually in Southern California covering the station fire. Yes, one of the most damaging in Southern Californian history. I mean widespread damage. And we're going to take you back to that scene.

NGUYEN: But another big story we cannot forget about this year, of course, was Michael Jackson, the death of Michael Jackson.

WOLF: That was certainly another one of the biggest stories in the country. This network certainly. All of us, in some way, form or fashion were a part of that coverage. But I got an opportunity to go to Harlem, New York, the Apollo Theater. This historic place is actually where Michael Jackson got his start. The Jackson 5, just a wee little guy was up there singing onstage when the world first got to see Michael Jackson's talent.

(END VIDEO CLIP)

LUI: Oh yes, well, I was working on my coin collection. How about that? That's what I was doing in 2009.

NGUYEN: Well, we did a lot. In fact, we talked to newsmakers, celebrities, politicians.

WOLF: Ran the gambit, we really did.

NGUYEN: It's a really good show. If you missed the special, we're airing it again tomorrow morning at 6:00 a.m.

WOLF: Bright and early, but we know you'll be watching. At least we hope you will be. And we'll be there, too.

NGUYEN: And we hope you continue to watch because the NEWSROOM with Fredricka Whitfield continues at the top of the hour.

Brooke Baldwin is here today.

BROOKE BALDWIN, CNN ANCHOR: Does that mean you get to sleep in an hour tomorrow morning?

NGUYEN: No.

LUI: No, ma'am, but we're going to be here.

NGUYEN: No such luck for us.

BALDWIN: OK, well, I'll catch you on the tail end tomorrow. But today, we'll continue with NEWSROOM at noon. And one of the stories we're working on -- you know, I'm sure you guys have talked about, what, maybe your New Year's resolutions. A lot of people think, all right, what am I going to do this year? Maybe lose that 15 pounds, maybe get your finances in order.

Well, there's this one family, they really have this awesome story because they were in debt. And we're talking big time, six- figure debts. And this story -- Gerri Willis followed this family along, I think, for five years. They were digging out of this debt. And she has some amazing tips you won't believe, actually, some of the things that this father -- what they were eating. But the good news is, that they are in fact debt-free as they're in 2010.

LUI: It's a great story.

BALDWIN: It is a great story.

Another great story involves just about all of us. You've got a cell phone? I know sometimes when I get bored, my thing is I'll maybe check like Facebook status updates, kind of thing. Some people tweet, you know. Some people send emails. But it's the kind of thing -- you ever thought about this, you're sitting in the jury box, you're on jury duty and you grab your cell phone, and you want to maybe Google around, get some background on that case, yes.

That may be a no-no. It's creating a lot of buzz from the legal community and something not a lot of people think about but it's something that you can't do in certain places. We'll be tackling a bunch of legal topics with our two fantastic legal eagles coming up in the noon hour in the NEWSROOM.

NGUYEN: All right, looking forward to great stuff coming up. Thank you, we'll see you soon.

BALDWIN: Thank you.

NGUYEN: Sniffing out danger, as they call it. A man's best friend as a weapon in the war on terror.

LUI: That's right, on the front lines of airport security. We've got that for you.

(COMMERCIAL BREAK)

LUI: They'll fetch your slippers. They'll wag their tails when you come home. And just maybe, they can save you from a terrorist attack.

NGUYEN: Really? Well, Kara Finnstrom looks at why dogs are one of our best lines of defense.

(BEGIN VIDEOTAPE)

KARA FINNSTROM, CNN CORRESPONDENT (voice-over): There is a German Shepherd trained to sniff out explosives.

PATRICK BELTZ, DOG TRAINER: He's placing the explosives in the springs of this vehicle, so like it's a car bomb. FINNSTROM: He hones in and signals by sitting.

(on camera): So that was a find?

BELTZ: Yes.

FINNSTROM (voice-over): Uncovering a compound similar to what the U.S. government says airport authorities failed to find on the suspected terrorist accused of trying to blow up a flight into Detroit Christmas Day.

BELTZ: It's just like Silly Putty, but it's a very high-grade explosive.

FINNSTROM: Patrick Belts trains bomb-sniffing dogs for agencies like the FBI and Los Angeles Police and believes any properly trained dog would have detected the explosives used.

BELTZ: Certainly, it would have been easy.

FINNSTROM: Counterterrorism experts we spoke with agree and they're questioning how and when dogs like bear should be used.

LARRY JOHNSON, COUNTERTERRORISM EXPERT: The fact that this individual showed up way one way ticket purchased with cash, with no checked baggage, he should have been pulled aside. And at that point, if inspected by a dog, it literally could have detected it.

FINNSTROM: But dogs have limitations. They can only work so long without rest and tend to make a mess if stuck inside for long periods. Still...

FRAN TOWNSEND, CNN NATIONAL SECURITY CONTRIBUTOR: Dogs tend to be the cheapest, fastest and most reliable explosive detection capability that we have in this country.

FINNSTROM: Bear has been a $60,000 training investment over nine years for the Los Angeles Port. He trains monthly in different scenarios. Today, it's an old bus used to simulate an airplane.

(on camera): It only took the dogs seconds to find those explosives hidden aboard this bus. But Beltz says, had those same explosives been hidden in my clothing, the dogs might not have found them at all because they haven't been taught or directed to do so.

BELTZ: That I know of, no one has been given a green light for dogs to smell bodies.

FINNSTROM: That's here in the U.S. Beltz does train dogs to sniff search people for countries in the Middle and Far East where he says standards are different.

BELTZ: In America, it could be considered very intrusive to make you stand still while my dog went to your groin area and smelled around. WILLIAM YOCHAM, LOS ANGELES PORT POLICE: They can be taught and I have every confidence that he could do it. But right now, the legalities of it are astronomical.

FINNSTROM: The Transportation Safety Administration says the 700 dogs its currently using are trained to check baggage, cargo in airport areas. It could be used to check people if necessary.

Terrorism concerns have prompted Auburn University to develop a program they claim trains dogs to sniff out suspects carrying explosives as they casually walk past.

Since the Detroit incident, discussions about increasing aviation security have focused mostly on technology. But perhaps one part of the solution is man's best friend.

In California, Kara Finnstrom for CNN.

(END VIDEOTAPE)

LUI: All right.

NGUYEN: Very good stuff there.

Well, the CNN NEWSROOM continues right now with Brooke Baldwin.

LUI: That's right. Hey, Brooke.