Return to Transcripts main page

CNN Saturday Morning News

Record Heat Wave; Supreme Court Upholds Affordable Care Act; Morsi Sworn in as Egypt's President

Aired June 30, 2012 - 06:00   ET

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


(MUSIC PLAYING)

RANDI KAYE, CNN ANCHOR: From CNN world headquarters in Atlanta, this is EARLY START WEEKEND.

A massive blackout leaves millions powerless and as a dangerous heat wave scorches the central and eastern U.S., no air-conditioning and no refrigeration could prove deadly. Plus --

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: The devastation is enormous.

(END VIDEO CLIP)

KAYE: Colorado on fire, 17,000 acres burned, more than 300 homes destroyed and now, two dead. We are putting the inferno in focus.

And later, shocking new details in the Jerry Sandusky case. Penn State e-mails reveal the truth about who knew what, when.

(MUSIC PLAYING)

It is Saturday, June 30th. Good morning, everyone. Glad you are with us. I'm Randi Kaye. With temperatures soaring all across the country, in the town of Greece, New York, outside Rochester this morning, tempers are cooling. That is because the four middle school students who recorded themselves verbally abusing Karen Klein, their 68-year- old bus monitor, are going to be punished.

You remember the video, I'm sure. We've been showing it to you. The students seemed to really enjoy hurling insults in a steady stream of profanity at this grandmother of eight. One boy even told her her family would rather kill themselves than live with her, likely unaware her son has actually taken his life a decade ago.

The bullying continued for a solid 10 minutes. Now the school has suspended the students involved for one year, and they'll also have to complete 50 hours of community service with senior citizens, and reportedly have to complete a program in bullying prevention, respect and responsibility. Let's hope (inaudible) a thing or two.

Some good did come out of this, though. A man out of Toronto was so moved by this video, which he saw on YouTube, that he set up an online so-called vacation fund for the bus monitor. And that fund reached more than half a million dollars.

And after my interview with Karen Klein last week, so many of you commented on what your think should happen to these boys, these students. So now that their punishment has been handed down, what do you think? Was it enough? Would you have gone further? Should their parents do something more? Send me your thoughts. You can find me on Twitter and tweet me @RandiKayeCNN.

Severe weather has left millions without power this morning. A line of thunderstorms through mid-Atlantic states and into the Midwest knocked out the power. Take a look at this map with me. Virginia was the hardest hit with over a million homes left in the dark.

Ohio is close to that many. What could make it even worse, another day of 100-degree-plus temperatures and no air conditioning. The extreme heat may be responsible for at least three deaths near Kansas City. We'll have much more on the heat and the power a little bit later on in the show.

And now to Colorado and the deadly wildfire near Colorado Springs, this is the Waldo Canyon fire. A second person has been found inside a burned-out home. The fire has destroyed nearly 350 homes. But thousands more are threatened. President Obama traveled to Colorado Springs to offer his support to the firefighters and the residents.

(BEGIN VIDEO CLIP)

OBAMA: The devastation is enormous. And our thoughts and prayers go out to all the families who have been affected. One of the things that I have tried to emphasize is that whether it's fires in Colorado or flooding in the northern parts of Florida, when natural disasters like this his, America comes together.

And we all recognize that there, but for the grace of God, go I. We've got to make sure that we have each other's backs.

(END VIDEO CLIP)

KAYE: The president promised federal aid to state and local agencies dealing with the fires. Rob Marciano is in Colorado Springs for us this morning.

Rob, I know you've been there much this week. Any good news for the firefighters battling that Waldo Canyon fire this morning?

ROB MARCIANO, AMS METEOROLOGIST: Well, the weather has cooperated at times, Randi, the past couple days. So they've been able to (inaudible) their containment lines (ph), 25 percent containment.

The amount of acreage that this fire has burned is not particularly large when you compare it to other fires that have burned in this state and others, especially the past several years. It's about 17,000 acres, but as you know, 346 homes completely destroyed, lives turned upside down.

This is the most destructive wildfire in Colorado history, actually coming down the front range and into the city limits of Colorado Springs, an extraordinary event by any standards. And that's what is frustrating folks who are still trying to get back to their homes.

Even the folks that are evacuated and they know that their homes have been untouched, we are talking about thousands, tens of thousands, still well over 20,000 homes that are still what they believe to be threatened.

Those people can't get anywhere near their homes. The folks that know that their homes were destroyed, they can't get anywhere near their homes and likely won't be able to see anything until at least tomorrow.

So there's an extreme amount of frustration, certainly sadness among the community here, especially for those who have lost their homes. But if there's any bright spot, is that the weather, albeit hot, is cooperating more than it was just a few days ago with 25 percent containment.

And the firefighters, the ones that we have talked to, at least, are expressing somewhat -- a little bit of confidence, Randi.

KAYE: And do we know how many people, I mean, certainly of those who have had to evacuate their homes, how many are still in shelters?

MARCIANO: You know, most people have spread out to friends and family. The hotels are certainly booked from here almost all the way to Denver. And as far as the four main shelters that are open, there's really anywhere from 100 to maybe 250 people that are still living in those shelters.

And as far as those people and others that are going to get back to even just look at their homes, that's not going to begin till tomorrow. So the main areas that were destroyed, the Shadow Mountain community, specifically, nearly -- almost every home in that area destroyed.

Those people will be allowed to get onto buses tomorrow and then drive through the neighborhood. Not allowed to get out, just kind of look. And that tour, so to speak, will be for up to 3,000 to 4,000 people tomorrow, and Monday as well.

So that's the way they are handling things. They are certainly playing it on the safe side from what we have seen, where the fire is, the fire lines that have been established near the residential communities. But that's the way they (inaudible).

This fire, every firefighter has told me one thing, Randi, is that this fire has not behaved the way they expect it to behave. So caution is a word of the week, as is patience.

KAYE: And they are still saying mid-July, right, they think before they can even get control of this thing?

MARCIANO: Well, yes. To get full containment around this area will take several weeks, as with any large fire. And the difficult terrain in Colorado is always a challenge. And the low levels of humidity and the dry soil, moisture, always a challenge as well. So regardless of how little wind we get, we rarely get rain this time of year.

And so, getting help from Mother Nature is -- that's a bit of a pipe dream. So they have to do it by hand and by air. And they are doing a lot of air support coming in, unprecedented move by the U.S. military, C-130s that have been modified just for firefighting, the entire fleet has been ordered to come here. And also surrounding states have been providing support, surrounding fire departments have come in to provide structural protection and get into those neighborhoods.

It's really remarkable, Randi, when you look at them. We can't get anywhere close to the fire or even the neighborhoods. You have to pretty much look at it from afar. You see these spot fires going out throughout the day, as the sun comes up. What looked to be a fire that was totally under control, the heat of the day, boom, that fire explodes. And you say hey, wow, that's really close to those homes.

So that's why there's so many fire personnel on the lines, not only trying to make that containment, but trying to be there in those neighborhoods just in case this fire gets out of control and erratic winds develop and pushes the fire back into residential neighborhoods like what we saw Tuesday, which was just absolute pandemonium, terrifying afternoon and evening as tens of thousands of people ran from their homes.

Remarkably so, to get that many people out of harm's way in such a short period of time, Randi, that's certainly a success story. But this beautiful state, for the most part, on fire. And that's heartwrenching, too.

KAYE: Rob Marciano, thank you very much for the update from there.

And to Egypt now and the swearing in of the new president, Mohammed Morsi is sworn in as Egypt's first democratically elected president. this morning. After being sworn in, he'll address the nation. We'll take you live to Cairo at the bottom of the hour for more on this historic ceremony.

Peter Madoff now faces 10 years in prison for his part in his brother's $20 billion fraud scheme. The younger Madoff pleaded guilty to federal charges that he helped cover up the scheme. Peter Madoff was chief compliance officer at the company. Bernie Madoff is serving a 150-year sentence for masterminding that fraud.

So what do you think of the Supreme Court's decision on health care? Well, check out this Gallup poll. It shows that the country is pretty evenly split on the decision, 46 percent say they agree, 46 percent say they disagree. We'll have much more on the ruling and what it means to your wallet a little bit later on in the show.

Here is a rundown of the other stories that we're working on. The fires in Colorado have left death and devastation, but for four boys and their grandmother, even running from a wildfire doesn't compare to what they have already had to overcome.

And she's legally blind and 100 years old, but you will never believe what she was able to check off her bucket list.

Plus it's high anxiety on board a passenger jet when a frustrated flight attendant starts yelling over the intercom, all caught on video.

And CNN uncovers the e-mails from Penn State officials deciding whether or not to report former coach Jerry Sandusky.

(COMMERCIAL BREAK)

(MUSIC PLAYING)

KAYE: Colorado's most destructive wildfire ever has destroyed more than 300 homes and is threatening even more. But for all the devastation the Waldo Canyon fire has created, it's not the worst tragedy that four young brothers have faced. The Flowers boys lost their home this week and they now have to restart their lives a second time. CNN's Jim Spellman explains.

JIM SPELLMAN, CNN CORRESPONDENT (voice-over): For fire victim Susan Solich and her grandsons, Justin, Connor, Brandon and Tyler, their pain and heartbreak began long before the flames hit their neighborhood. In the fall of 2010, Susan's daughter, Kim, the boys' mom, died in her sleep. Then just three months later, the boys' father, Nolan, died after a heart attack.

SUSAN SOLICH, FIRE VICTIM: I spent a couple months packing them up, wrapping up their lives, and moved them here. Sorry.

SPELLMAN: Susan now had four grieving grandsons to take care of.

CONNOR FLOWERS: It kind of feels like sadness in my heart.

TYLER FLOWERS: I just miss them so much.

JUSTIN FLOWERS: Most of the time I think, why me? But that's pretty much normal because like people that go through that think, it's like, why me, why does this happen to me?

SPELLMAN: Did you ever get an answer to that question?

J. FLOWERS: No. Not really.

SPELLMAN (voice-over): They managed as best they could.

SOLICH: It's been a struggle, been in some counseling. We've gone up and down. But everyone's doing much better.

SPELLMAN (voice-over): And then the fire came, forcing them to pack up what few things they could and head for safety.

SOLICH: And as we drove, we could see in our rearview mirrors the side of the hill just exploded. There had to be 40 fires, just bam!

SPELLMAN (voice-over): Grandma's house was destroyed. The boys would have to start over yet again. SPELLMAN: Connor, tell me how all this makes you feel.

C. FLOWERS: Like a little kid.

SOLICH: Like a little kid, he says.

SPELLMAN: Does it feel better when you're sitting with your grandma?

C. FLOWERS: Yes.

SPELLMAN (voice-over): They gain strength from each other and a few special possessions.

SPELLMAN: What was the most important thing you got?

J. FLOWERS: Probably my mom and dad's blanket. It makes me feel safer.

SPELLMAN: What would you say to them if you just could have them back for one day?

T. FLOWERS: That I love them so much.

SPELLMAN (voice-over): Susan says when she needs strength, she gets it from the boys, even when it's hard to make sense of what has happened. She's not sure if she will rebuild in her old neighborhood, but she knows that no matter how uncertain their future, they'll take it on together.

SOLICH: You can't just walk around feeling sorry for yourself. I have got a lot of people to consider. And if you fall apart, what's going to happen? So it's like, you know what, we're all together, we're safe. And it's just stuff. And, you know (inaudible).

(AUDIO PROBLEMS)

KAYE: If you would like to help families left homeless by the Colorado wildfires, you can head to CNN.com/impact, and you'll find ways that you can contribute there.

If and when you turn 100 years old, that is your chance to do almost anything that you want to do. And for one woman, she knew exactly how to celebrate one century of life.

Plus, if you want to renew your drivers license, you better have air conditioning in your car. One woman found out the hard way.

(COMMERCIAL BREAK)

(MUSIC PLAYING)

KAYE: Welcome back, checking stories cross-country. First to Wisconsin, where a 100-year-old woman celebrated her birthday by throwing out the first pitch at a minor league baseball game. Her friends call her Tommie. She's legally blind. Since she was turning 100, she said she knew she could do whatever she wanted. But first she asked her son's opinion. TOMMIE WERSLEY (PH): He said why are you asking me what you should do? Why don't you do what you want to do? So I said OK, I want to throw out the first pitch. I didn't get to be 100 by myself. I have had a lot of help.

KAYE (voice-over): Tommie grew up playing ball with her six brothers. One hundred thirty of her friends and family came to support her.

And in Arizona, police blame a naked carjacking suspect for multiple wrecks. They say the rampage started when he got into a crash yesterday. He jumped out of his car, started yelling before pulling off his clothes.

He then climbed on the roof of a car, pulled out the driver, jumped in and fled, then crashed into four more cars before police were able to stop him. One of those injured included a pregnant woman. Police say the suspect may have been on drugs. Sure looks that way.

In San Diego, a charity found a diamond studded wedding band among its donations. But it may have been a mistake. Volunteers for the Ronald McDonald House were collecting change in big red clown shoes and later found the ring.

GAIL SULLIVAN, RONALD MCDONALD HOUSE: It's not a low-cost value ring. Someone has nice taste. If someone's lost it, please let us know. We would just need a description of the ring. And we are happy to return it to the rightful owner. We would love to do that if it's been lost.

KAYE (voice-over): Of course the charity also says it could really benefit from a big donation like that.

KAYE: OK. So we all hate standing in long lines, right, to renew our drivers license. But what if you made it to the front only to be told that you couldn't take your test because your car has no air conditioning? Brad Edwards with our affiliate WBBM has more on what happened to a 94-year-old driver in Chicago.

BRAD EDWARDS, CNN CORRESPONDENT (voice-over): A hot day took a chilly turn at the Niles SOS.

ELIZABETH PHILIP (PH), DRIVER: And I used to drive every day. Every day.

EDWARDS (voice-over): it was annual renewal day for Elizabeth Philip (ph). She's 94.

PHILIP (PH): So I walked into the office. I'm here for my road test. I have to come every year.

EDWARDS (voice-over): She's been driving -- how many years?

PHILIP (PH): Well, figure it out.

EDWARDS (voice-over): All right. Well, she started driving at 14. She's now 94. That's 80 years of driving. Never an issue renewing until she was asked -- PHILIP (PH): Well, do you have air conditioning in the car? I says I do, but it's not working. I never should have said that. My son always tells me, Mom, you talk too much. She said, well, then you come back next week.

EDWARDS: How did that make you feel?

PHILIP (PH): Well, I'm -- oh, you have no idea. I could have taken her and --

EDWARDS (voice-over): Hold it. Hold it. We got wind of the story, called the secretary of state, and, yes, it's true. Spokesman Dave Drucker, "Anytime there's an issue of extreme heat, if there's a determination it's too hot for the driver and/or examiner, we don't test in those conditions, for anyone.

PHILIP (PH): To be insulted like that.

EDWARDS (voice-over): But now she knows it's a rule. She wasn't singled out.

PHILIP (PH): I suppose it is my fault.

EDWARDS (voice-over): And --

PHILIP (PH): Lesson learned.

EDWARDS (voice-over): And she's glad.

PHILIP (PH): I held my tongue.

(END VIDEO CLIP)

KAYE: That was WBBM's Brad Edwards reporting.

Take a look here. We have some live pictures for you from Cairo. This is where the first democratically elected president, Mohammed Morsi is being sworn in. These are live pictures, once again, we will have a full report for you.

But this is a very, very big day. Certainly, a very important day in the country of Egypt and for all of those who have a relationship with the country of Egypt. We'll have much more on this a little bit later on.

A flight attendant on a plane delayed for hours loses his cool with frustrated passengers. You might not believe some of the things that this guy said. But we will play it for you and you will hear it for yourself.

(COMMERCIAL BREAK)

(MUSIC PLAYING)

KAYE: Welcome back. If you have ever been stuck on a crowded plane when a flight is delayed, you know it can be miserable. But passengers say a flight from New York to North Carolina descended into, quote, "absolute craziness." The flight attendant even started, well, talking smack. That's not even the worst of it. Here is Mary Snow with more.

(BEGIN VIDEOTAPE)

MARY SNOW, CNN CORRESPONDENT (voice-over): On a flight that was delayed for several hours and never got off the ground, an American Eagle flight attendant loses his cool, taking it out on passengers.

UNIDENTIFIED MALE: I don't want to hear anything. We want -- don't hear anything once we close the door. So if your boss, your mom, (inaudible), this is your time. Otherwise, you are going to have to fly with Jose.

SNOW (voice-over): What's not on the tape, passengers described the flight attendant also saying something about this being his last flight.

David Abels was with his 9-year-old daughter.

DAVID ABELS, PASSENGER: Well, people were shocked. And then, you know, bravely, some people got up and walked out and I wish I could have but, I had to get my daughter home to her mother, you know, and she was frightened. The kids were crying.

UNIDENTIFIED MALE: This guy is the one that's doing it. (Inaudible) you have multiple people on this aircraft.

SNOW (voice-over): This is what it looked like when the flight attendant confronted passengers after he made his announcement. By then, American Eagle flight 4607 had been delayed for about five hours. It was supposed to go from New York to Raleigh, North Carolina. Rain prevented passengers from even boarding until several hours after the flight was scheduled to leave.

Once on the runway, there were more delays, and then the plane had to turn back to refuel.

UNIDENTIFIED MALE: Unfortunately, our hands are tied. We can not leave until that release is obtained.

SNOW (voice-over): Passengers deplaned and by the time they got back on, things came to a boiling point. Police were called.

SNOW: But passenger Jon Wurster, who was sitting in first class, says it wasn't just the flight attendant to blame. He faults passengers as well.

JON WURSTER, PASSENGER: I did feel some of the passengers overreacted.

SNOW: How so?

WURSTER: I didn't feel any kind of threat coming from him. I felt when he went to the back of the plane -- you know, you got to remember, this is one guy against 100 or so. And yes, he by no means chose his words properly. And so he is definitely at fault. And I think some of the passengers are also.

SNOW (voice-over): Not something David Abels agrees with.

ABELS: For any passenger who was on that plane to say it was the passengers' fault, it was the flight attendant, the captain, they are supposed to reassure everybody and calm everybody. You think he did that?

SNOW (voice-over): As for American Airlines, it apologized, saying, "We do not believe that the passengers' frustrations were met with the level of service that we expect from our people, and for that we are truly sorry."

(END VIDEO CLIP)

SNOW: Police made no arrests and the flight wound up being canceled. We did try to reach out to the flight attendant through the airline but the airline says the incident is under review and that it doesn't discuss personnel matters. And the FAA says it, too, is investigating -- Mary Snow, CNN, New York.

KAYE: An update now on a bullying story that we told you about last week. Four middle school students caught on camera, harassing their bus monitor, have been suspended for one year. They will also have to complete 50 hours of community service.

You remember the video, I'm sure. The students seemed to really enjoy, as far as we could tell, hurling insults and a steady stream of profanity at this grandmother of eight, Karen Klein. I went to Greece, New York, to interview her in her home there. And take a listen to some of the video that was (inaudible).

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: If I stabbed you in the stomach (inaudible) my knife would go through you like butter because it's all (inaudible) lard.

(END VIDEO CLIP)

KAYE: It is pretty unbelievable. We all hope that these kids do learn a thing or two from this. But does the punishment fit the crime? Let me know if you think a year's suspension is the right punishment for these students. Some thought they could be expelled for good. You can tweet me @RandiKayeCNN. I'll read some of your comments on the air later on on the show this morning.

What's affecting about 100 million Americans right now? (Inaudible) heat that's forcing most to stay inside. But indoors offers no relief for millions in the Midwest. We'll explain.

(COMMERCIAL BREAK)

KAYE: It is the bottom of the hour now. Welcome back, everyone. I'm Randi Kaye. Thanks for starting your day with us. We hope it's a great Saturday. Colorado firefighters who made progress in the state's most destructive wildfire on record saying the Waldo Canyon fire is 25 percent contained. This week, the fire burned down nearly 350 homes. And other 20,000 remain at risk right now. It also killed two people. President Obama visited Colorado Springs yesterday promising federal dollars to help families now left homeless.

A nasty combination hitting nearly 4 million homes, power is out with record setting heat coming in. Here is a map of the states hit by the thunderstorms that knocked out the power. Virginia and Ohio had the most homes impacted.

This is the kind of weather that will stop you at the door. And much of the nation is baking, quite literally. Meteorologist Karen Maginnis is in the severe weather center this morning. Karen, good morning to you. So, more heat records expected to be broken today, right?

KAREN MAGINNIS, AMS METEOROLOGIST: Yeah, the records are going to fall, but the temperatures are going up. The mercury has been sizzling. I want to show some of the record highs that we have seen over the last day. Now, we've seen hundreds, if not thousands of temperature records that have (AUDIO GAP) dropped over the last couple of days. In Nashville, Tennessee, 109 degrees reported there. Take a look at Paducah with 108. Even more records all across the southeast and into the mid-Atlantic. Muscle Shoals, Alabama 107. In Athens, Georgia, the temperatures soared to 109 degrees, and temperatures in north (AUDIO GAP) down into Mississippi, Alabama, (AUDIO GAP) we are expecting those triple digits once again. Look at the forecast coming up for this afternoon in (AUDIO GAP), 103. Kansas City expecting 101. Albuquerque, 101 degrees expected there as well.

We tallied up just how many states are currently under heat advisories or excessive heat warnings and we counted 21 so far. Most of those across the eastern seaboard extending from Missouri all the way towards Virginia. Yesterday, you may have been impacted by those big storms that roared through. Well, it may have knocked the temperature down just a little bit, but it looks like we'll have to go at least for the next three days before those temperatures come down appreciably. Take a look at what we're expecting in the forecast. In Louisville, for Saturday afternoon, 103 degrees expected there, but gradually dropping down into the 90s. Now, we have got some pictures of people trying to cool off around the nation. One of those images coming out of Atlanta, Georgia. People playing in Centennial Olympic Park. But other people, people and dogs and various people trying to cool off somehow, but Randi, it looks like it's going to be about a three to five day event. And there you see it, yeah, this is how we do it in the south. This is at the Centennial Olympic Park. And yesterday, in Atlanta, (AUDIO GAP) we thought it was going to max out, Randi, at 103. Unofficially, 104 degrees yesterday afternoon.

KAYE: Wow. You know, I took a picture when I got in my car late yesterday afternoon of the thermometer, and it said 112. But obviously, we had been sitting in the sun.

MAGINNIS: Right.

KAYE: I tweeted that out and I got so many responses from people who are also baking all across the country. It's amazing. MAGINNIS: Not getting (AUDIO GAP).

KAYE: No, Karen, thank you very much.

With the Supreme Court's ruling this week, the Affordable Care Act is rock solid. No end to the mandate or the coverages that have already taken effect. It's been two years since the law hit the books. But with the Supreme Court decision, there're more questions about how much it will cost each of us. Financial expert Nicole Lapin joins me now from New York. Good morning, Nicole.

NICOLE LAPIN, CNN CORRESPONDENT: Good morning, Randi.

KAYE: So, a lot of talk has centered on the mandate. I mean how much exactly is the penalty for not having health insurance and when does it actually take effect?

LAPIN: It actually takes effect in 2014. And that's when you are required to (AUDIO GAP) have health insurance. It's going to work similarly to car insurance. So, if you don't have car insurance, you've got a fine. If you don't have health insurance coming up in 2014, you'll get a fine in the form of a tax penalty. And when it's fully ramped up, each person will pay about $700, no more than $2,000 per family. But in the beginning, it will starts slowly at about $95 a person, and then ramp up in the next year to about $300 until it's fully ramped up around 2016.

KAYE: And so, is there a different penalty, you know, when it comes to income? Do some people pay more or less?

LAPIN: Yes, absolutely. There are variations. Mostly higher income Americans will foot most of the bill. And Americans with more of a juicy or fancier health care coverage from their employers. Who -- employers will pay the so-called Cadillac tax, which a lot of people are saying are going to encourage employers to opt for the less expensive health insurance plans, but that will also pad the federal coffers because this is likely going to cost about a trillion dollars.

KAYE: All right. But let's be realistic about one thing, a majority of Americans have insurance ...

LAPIN: Right.

KAYE: ... and they won't even be affected by this mandate, but some of their costs are actually going to go up anyway, right?

LAPIN: That's right. And we are expecting 4 million Americans to be (AUDIO GAP). Look Randi, it's not like these Americans are going to be round up, corralled and arrested. It was made very clear in the ruling this week that this is a tax penalty. So, no tax liens, no bank accounts frozen. It will be an IRS problem if there's a tax cheat, and the IRS will go after them accordingly.

KAYE: And let's talk about this Medicare tax, because that's also getting a lot of attention. Now that will actually hit the high income households, right? LAPIN: It will. Americans making over 200,000 a year will pay 0.9 percent more (AUDIO GAP) on top of about 1.5 percent that they already pay. And if you have capital gains or dividend income, you'll be taxed another 3.8 percent.

KAYE: Is there anything else, Nicole, that is being affected by an extra tax?

LAPIN: Kind of an interesting odd (AUDIO GAP) is the tanning tax. You will pay ten percent more if you opt for it, indoor --

(AUDIO GAP)

KAYE: It's another reason not to go indoor tanning, isn't it? All right, Nicole Lapin, thank you very much. Nice to see you this morning.

LAPIN: Thank you.

KAYE: A new era in Egyptian politics. It's inauguration day for the country's first democratically elected president.

(COMMERCIAL BREAK)

KAYE: Let's take you to Egypt. Now, a new chapter in that country's history. Today is the inauguration of their first democratically elected president. Mohamed Morsi is being sworn in. Our Dan Rivers is live in Cairo for this morning. Dan, good morning to you, so is it official?

DAN RIVERS, CNN CORRESPONDENT: Not quite yet, no. He is in the building of the Constitutional Court with supreme constitutional court. The last word we had in having tea with the judges before -- during the official taking of an oath, swearing to uphold the law and the constitution and so on. That actual swearing in is really very short, I mean about a minute or so of text that he reads out. So, we are waiting for word that he's done that, and then he's officially, he goes from being president elect to officially president. Now, this is all rather unusual doing it at the Supreme Constitutional Court. Because normally, it will be done in front of parliament. But the army dissolved parliament, just before the presidential runoff, and therefore, he's had to sort of compromise and agree to go and do this at the Constitutional Court in front of 19 judges. I'm sure he'd much rather be doing this properly in front of parliament. And when he spoke here in Tahrir Square yesterday, he gave a kind of swearing in an oath to the audience. And they loved it. It was a real rubble rousing speech. Today, now, in a few minutes, he'll be doing the real thing in front of a few judges, and then he will go to Cairo University to make a keynote speech. (AUDIO GAP).

It's where President Obama spoke, you'll remember, to the Middle East. It's the same venue, picked because of its association with secular Egypt. The part of Egypt that is worried about his Islamist agenda and where he's going to take the country.

KAYE: How influential do you think Morsi can be in this country? RIVERS: Well, the truth is, a lot of his powers are constrained by a power grab that was put in place by the military a few days before the election result was announced. Yeah, he can no longer -- they have the power basically to sort of veto the writing of the constitution, introduce legislation. They still have the powers of defense and foreign policy. So, his power as president is severely limited, really, to domestic issues. But that probably is what he needs to concentrate on, first of all. Analysts today telling us, it's the economy, as always in any presidential race in the U.S. or wherever. Here, particularly, the economy has been in a dire state since the uprising last year, contracting 4.5 percent in the first quarter of last year and then, you know, not really doing much since. So, everyone here is hoping he can at least give them some hope that the economy will improve, that jobs will come back. That tourism importantly will revive as well.

KAYE: You know, Dan, one thing that really struck a chord in something that he said yesterday with folks here in the U.S. is his promise to work to release the Sheikh Omar Abdel-Rahman who is the Islamist convicted after the 1993 World Trade Center bombing. Is there anymore fallout from that? Because already New York City mayor, Michael Bloomberg is saying that will never happen.

RIVERS: Yeah. I mean, look, this was a bit of political posturing here in front of an audience, which -- all Muslim Brotherhood follow and so, you know, you've got to take the context, in which he said those remarks. But you are right. It's going to irritate the authorities in the U.S. There's no way this guy is ever going to be released. He's serving life for his planning of several terrorist attacks in New York. What they kind of rowing back now on the party Website here saying well, they just want to extradite him here so he could serve out his sentence here, close to his family. That's not going to happen in reality, either. But his family was there yesterday. And so, you know, perhaps he felt, you know, the pressure of his party, faithful. This is an issue they have long campaigned on for the release of all, quote, political prisoners. I think the real politic is, he knows just as much as President Obama knows, it's not going to happen.

KAYE: No, it certainly isn't. A little bit of controversy but it shouldn't take away from this very historic day there in Egypt. Dan Rivers in Cairo, Dan, thank you very much.

It is a problem so many people struggle with, their weight. But a new drug is about to hit the market that may help you shed those unwanted pounds.

(COMMERCIAL BREAK)

KAYE: A huge development in the world of medicine. The government signing off an appeal designed to fight obesity. Yes, you heard it right, a weight-loss pill. It is a treatment that basically tricks your brain when it comes to eating. I'm joined now by our senior medical correspondent Elizabeth Cohen to talk a little bit more about this. So, if you look at the numbers, 42 percent of American adults projected to be obese by 2030. So, is this welcome news, will this drug help? DR. ELIZABETH COHEN, CNN CORRESPONDENT: It is welcome news, it will help, but it will only help to a point. And let me show you the actual numbers. So, when they tried this drug out, it's called Belviq, it worked, they tried it out on patients who weigh about 220 pounds, and on average at the end of the year, they weigh 207 pounds. So, 220 pounds, they were obese. 207 is good. Their blood pressure went down, their cholesterol went down. All of that is good, but that's not a gigantic weight loss.

KAYE: Right. Right.

COHEN: So, it's not going to be sort of that magic bullet that people have been waiting for. And if you weigh less, you lose even less. Because it's a percentage of your weight.

KAYE: So, who is it approved for? Can anyone take this?

COHEN: It's approved for obese people, also for people who are overweight but (AUDIO GAP) sick like have, for example, high blood pressure or something like that going on. You are not supposed to take it if you want to lose five pounds to look better in a bikini, but we all know that there's a good chance doctors will prescribe it to those people anyhow.

KAYE: Absolutely.

(CROSSTALK)

COHEN: Exactly.

KAYE: Right. So, correct me if I'm wrong, but is the first weight loss drug to win FDA approval in what -- more than a decade? Right? 13 years? And that's pretty significant.

COHEN: That is significant. You know, some of the other ones have tried to get approval and it hasn't worked, then another one called Meridia was marketed but had to be taken off the market. You know, obesity drugs don't have a great track record. They haven't (AUDIO GAP) beautifully. You know, there's a ton of pills out there for high blood pressure. That's not the case for obesity. So, I think people are really hoping that (AUDIO GAP) stays on the market.

(AUDIO GAP)

KAYE: Is part of the challenge in getting the drug to market a part of the concern about safety or side effects?

COHEN: To some extent, it's the legacy of Phen-Phen. I don't know if you remember that drug from the '90s. But that -- a lot of people got sick off that drug. And people had to stop using it. So doctors want to be very careful when they are giving people drugs. For this one, the side effects as they saw in the study were really just headache and nausea, which isn't, you know, all that big of a deal. But they only gave it to about 7,000 people. When you start giving it to millions of people, you may see side effects you didn't -- you didn't expect. KAYE: Right. And then when is it going to be available?

(AUDIO GAP)

COHEN: Oh, it's going to be maybe sort of the second quarter of next year, somewhere in there.

KAYE: All right. Elizabeth, thank you.

COHEN: Thanks.

KAYE: Well, former Penn State coach Jerry Sandusky sits behind bars awaiting sentencing for molesting ten boys. Newly uncovered emails allegedly sent by university officials raise questions about who (AUDIO GAP) when they knew it.

(COMMERCIAL BREAK)

KAYE: New questions raised about who knew what and when in the Jerry Sandusky child sex abuse case. CNN's Susan Candiotti looks at newly uncovered details from an alleged e-mail exchange among Penn State officials.

(BEGIN VIDEOTAPE)

SUSAN CANDIOTTI, CNN CORRESPONDENT: CNN has been given details of four purported e-mail exchanges from sources with knowledge of the case, raising new questions about what Penn State knew and when they knew it. The e-mails are between Penn State President Graham Spanier, Vice President Gary Schultz and athletic director Tim Curley, discussing the now infamous 2001 shower incident where grad assistant Mike McQueary said he saw Sandusky sexually assaulting a young boy.

The first email is dated February 26, 2001, that's 16 days after McQueary reports to his boss, coach Joe Paterno, about what he's seen in the shower. Paterno testified, quote, "it was a sexual nature." By now, McQueary testified he's told athletic director Curley and VP Schultz about exactly what he saw, a boy with his hands up against the wall with Sandusky behind him. The alleged e-mails don't mention Sandusky by name, instead calling him "the subject" and "person."

In the first exchange, Schultz messages Curley about a three-part plan to quote, talk with the subject, contacting the charitable organization Second Mile and contacting the Department of Welfare -- that's an agency required by law to investigate suspected abuse. Yet the next night, Curley indicates a change of heart. He allegedly sends an e-mail to Penn State's President Spanier and refers to a discussion they had two days earlier about Sandusky. Curley says he wants to talk things over with Sandusky and work with him before deciding whether to contact child welfare. He also refers to coach Paterno.

Did something he said change Curley's mind? Quote, "After giving it more thought and talking it over with Joe yesterday, I am uncomfortable with what we agreed were the next steps. I'm having trouble with going to everyone but the person involved. I would be more comfortable meeting with the person and tell him about the information we received and tell him we are aware of the first situation." The first situation he's referring to is a separate shower incident Sandusky had with a boy in 1998. Sandusky was not charged at the time. He was convicted of both incidents at trial.

Curley plans to tell Sandusky, quote, "We feel there is a problem and offer professional help." And at some point soon, inform his organization" -- Sandusky's Second Mile. And quote, "Maybe the other one." According to a source with knowledge of the e-mails, he's referring to child welfare.

If Sandusky is, quote, "cooperative," Curley writes, quote, "we would work with him. If not, we do not have a choice and will inform the two groups." Two hours later, Penn State's president purportedly responds and agrees with the approach. Quote, "I am supportive," Spanier writes, and adds this, "the only downside for us is if is the message isn't heard and acted upon and we then become vulnerable for not having reported it. But that can be assessed down the road." Spanier calls the plan "humane" and "a reasonable way to proceed."

The next day, V.P. Schultz weighs in with an alleged e-mail to President Spanier and athletic director Curley. Quote, "This is a more humane and upfront way to handle this," he writes. "We will inform his organization with or without his cooperation. We can play by ear to decide about the other organization." Another reference, the source says, to outside authorities.

But that never happened. Authorities say records show suspicions about Sandusky in 2001 were never reported to any outside agency. Victim five was molested by Sandusky in a Penn State shower about six months after the McQueary incident. And Sandusky later went on to sexually abuse at least three other boys. Years later, all testified at trial.

(END VIDEOTAPE)

KAYE: That was CNN's Susan Candiotti reporting. Both former university vice president Gary Schultz and former athletic director Tim Curley are charged with perjury and failure to (AUDIO GAP) child abuse. They pleaded not guilty. Sources say former Penn State President Graham could also face those charges.

The Supreme Court has spoken. It is cruel and unusual punishment to lock away young criminals for life without parole no matter what the crime. We'll tell you what that means for juvenile offenders sentenced to life in prison.

(COMMERCIAL BREAK)