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Fears Rise Of Hate Group Retaliation; New Ad Blames Romney For Woman's Death; Madonna Supports Pussy Riot Band; Violence Threatened At Madonna Concert; Syrian Forces Pound City Of Aleppo; Broadway Honors Hamlisch; Spirit Airlines Sued Over Passenger Usage Fee; Clerk Attacks Robbers; Ernesto Crossing Yucatan Peninsula; "A Culture of Dependency"; Secretary Clinton Dances In South Africa

Aired August 08, 2012 - 10:00   ET

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

CAROL COSTELLO, CNN ANCHOR: Good morning. Thank you so much for joining us. I'm Carol Costello. We begin in Oak Creek, Wisconsin, the site of the weekend massacre at that Sikh temple. For the third straight night, the community has bonded in grief and the vigils, they keep growing larger.

The police department is also on edge this morning. The fear white supremacists may retaliate for the death of the temple gunman. CNN's Brian Todd is in Oak Creek this morning. Brian, you witnessed the depths of those concerns first hand. Tell us what happened.

BRIAN TODD, CNN CORRESPONDENT: Yes, we did, Carol. Yesterday, we got the name of the police officer who took down the shooter on Sunday. We went to the police officer's home to try to get an interview.

I knocked on his door. He politely declined an interview citing the investigation. But after I walked back to our car and joined our photo journalist and producer in the car. We had taken no footage of anything at that point, by the way.

We got in the car getting ready to leave and we were essentially confronted and surrounded by five police vehicles with lights flashing. They got out, took our IDs asked what we were doing there. We explained to them.

They had two officers on either side of our vehicle with their hands on their weapons. Not drawn, but hands on the weapons. After they did our background checks, they basically said to us, you know, this man has an expectation of privacy and we explained who we were.

And we just wanted to do an interview, but later on we did realize after talking to police officials here in Oak Creek and elsewhere in Wisconsin that the police are concerned about possible retaliation from white supremacist groups.

From other extremist groups against this officer who took down Wade Michael Page on Sunday. We also spoke to Heidi Beirich, she is the director of the Intelligence Project at the Southern Poverty Law Center. She explained to us that the police are very right to be concerned. (BEGIN VIDEO CLIP)

HEIDI BEIRICH, SOUTHERN POVERTY LAW CENTER: Law enforcement in general are targets of these groups. In fact, Wade Page's band had a record cover that shows an altercation between a skinhead and a police car.

So it is not unreasonable for law enforcement to be concerned about this. They have literally been the targets of extremist groups. Just in the last few years, there have been a couple of militias that wanted to kill cops specifically.

(END VIDEO CLIP)

TODD: So obviously a very tight and heightened concerned here in Oak Creek for the safety of that police officer who took down the shooter on Sunday.

Law enforcement officers here are very upset actually that the officer's name was published by one news organization in this area, Carol. They say that should never have happened.

COSTELLO: Brian, it makes you worry about the police officer who was shot by the suspect. He remains in the hospital this morning. Are they getting threats there, too?

TODD: No word that they are getting threats to that officer specifically, Carol. And then we have to reiterate that when I asked the police chief yesterday about any specific information indicating a threat to the officer who shot the shooter on Sunday.

He said there was no specific information coming across his desk on a specific threat to that officer. Now as for the officer who was injured who's in the hospital, no specific information on a threat to him. But there are police at that hospital.

They are obviously visiting him. So they are keeping a close eye on him and the chief actually went and visited him yesterday and has been there every day. There is a presence there at the hospital clearly of police. I think that they are very likely increasing security around him as well.

COSTELLO: Brian Todd reporting live from Wisconsin this morning. There are a number of other new developments we want to share with you this morning.

Police have arrested the ex-girlfriend of the temple shooter. Misty Cook is her name. She faces a charge of felon in possession of a firearm.

Investigators say there is no indication she had any role in the shooting. Police also say they have not found any message or writings left behind by the gunman.

Police chief says it's possible, quote, "the motive died with him." The FBI has scheduled a news conference for later this morning. You can catch it here live. It is being described as an update on the temple shooting investigation. It's set to begin in less than an hour.

A new campaign ad paid for by a pro Obama "Super PAC" tells a heart wrenching story about a woman who dies of cancer and blames it partly on Mitt Romney. But the ad does not tell the whole story. CNN fact checked. Our report from White House correspondent, Brianna Keilar.

(BEGIN VIDEOTAPE)

BRIANNA KEILAR, CNN WHITE HOUSE CORRESPONDENT (voice-over): Joe Soptic worked at GST Steel in Missouri for almost 30 year. He was laid off after Bain Capital acquired the plant, eventually closing it down.

Now Soptic is featured in a new ad by "Priorities USA Action," the "Super PAC" supporting President Obama's re-election.

UNIDENTIFIED MALE: When Mitt Romney and Bain closed the plant, I lost my health care and my family lost their health care. A short time after that my wife became ill.

I took her to the Jackson County Hospital and admitted her for pneumonia. And that when they found the cancer and by then it was stage four. There was nothing they could do for her.

KEILAR: It's a heart-breaking story, but the ad does not tell all of it. In 1999, Mitt Romney leaves Bain for the Salt Lake Olympics stopping day to day oversight of the company, but remaining CEO.

In 2001, Joe Soptic loses his job when Bain closes the plant. His wife still has insurance though from her employer, Savers Thrift Store. A year later, Romney formally leaves Bain.

And it's that year, 2002 or perhaps 2003, Soptic tells CNN that his wife leaves her job because of an injury. That's when she became uninsured without fall back from her husband.

A few years later in 2006, she goes to the hospital, is diagnosed with cancer and dies just days later. Soptic, an Obama supporter who has appeared in another ad back in May for the Obama campaign blames Romney for the loss of his job and his insurance.

JOE SOPTIC, FORMER STEEL WORKER AND OBAMA SUPPORTER (via telephone): That's the way that I feel. Mitt Romney is a very rich man. It's obvious if you watch him on television that he's completely out of touch with the average family, middle income people.

I don't think he has any concept as to how when you close a big company like that how it affects families, the community, you know. It affects everyone.

KEILAR: The Romney campaign is blasting the ad. A spokeswoman saying President Obama's allies continue to use discredited and dishonest attacks in a contemptible effort to conceal the administration's deplorable economic record.

The Obama campaign and the White House are keeping their distance from the debate. White House Press Secretary Jay Carney said he has yet to see the ad.

JAY CARNEY, WHITE HOUSE PRESS SECRETARY: I have not seen this. So how could I possibly assess it?

KEILAR: Will you assess it later?

CARNEY: If you ask me tomorrow, sure.

(END VIDEOTAPE)

KEILAR: I followed up with Jay Carney after the briefing. He said, well, he may look at the ad is I asked about it, quote, "my assessment will be I have no assessment."

This has become a common occurrence. A "Super PAC" doing the dirty work while the campaign and the candidate and in this case, the White House try to keep their hands clean. Briana Keilar, CNN, the White House.

COSTELLO: The material girl, Madonna, is used to expressing herself, but it may have gotten her in trouble in Russia. Madonna is in the middle of her world tour.

Tomorrow's concert in Russia is getting additional security. It may have to do with what Madonna said last night on stage. Showbiz correspondent, Nichelle Turner, is here to explain. Good morning.

NICHELLE TURNER, CNN SHOWBIZ CORRESPONDENT: Good morning, Carol. You know, she has never been shy about stepping right into controversy. It looks like she's doing it again. You're right.

Her latest political stand has authorities on edge about the safety of her next concert. The U.S. State Department is warning Americans in Russia about threats of physical violence for tomorrow's show in St. Petersburg.

And Russian authorities are promising to have extra security to prevent any incidents there. Now Madonna performed last night in Moscow and like she often does, she had a political message to send out from the stage.

This time though she's showing support for the group of women currently on trial for protesting against Russian President Vladimir Putin. They are members of the rock band "Pussy Riot" and they demonstrated in a Russian cathedral.

They have now been charged with hooliganism and are on trial facing up to seven years in prison. So Madonna apparently told the crowd last night they did something brave with their action and I'm praying for their freedom.

According to reports, she then asked the crowd if they were with her while thousands of fans cheered her on. Now, Carol, Madonna says this is all in the name of art and freedom of expression. Her rep does tell CNN these concerts will go on as scheduled.

COSTELLO: Just a question for you, Nichelle. The Russian government is providing security at the concert. So these threats against Madonna and her fans are not coming from the government, but from some people within Russia?

TURNER: Yes. That's what out seems like. It seems like that there are people that aren't happy at all about what this group was protesting and the fact that they did it in a church.

They don't like that at all. So I think that it's more so from maybe people who are upset with what she's standing up for rather than the government being upset at her concert.

COSTELLO: Yes, because that punk band disrespected Vladimir Putin. Madonna, of course, isn't the only performer to voice their support for this punk band?

TURNER: No, definitely not. There have been lots of big names packing the group. Sting, Peter Gabriel, the Beastie Boys and the Red Hot Chili Peppers, they have all been speaking out in support of the group.

Now Anthony Cadis from the Peppers actually wore a "Pussy Riot" t-shirt during a recent Moscow concert. Sting on his web site, he said these guys believed that descent is an important part of a democracy.

And he also went on to say that he wants the Russian authorities to have a sense of proportion about this incident and just let these women go back to their lives and their children.

But you're right, Carol, there are a lot of people who feel like what they did were disrespectful and that they disrespected the president.

It may be a situation where people may not agree with how they did it, but they'd still say there is something to be said about freedom of art and expression.

COSTELLO: Well, we Americans probably see it from a whole different perspective.

TURNER: Absolutely.

COSTELLO: I can't see many people not being in support of the punk band. Nichelle Turner, thank you so much.

TURNER: Sure.

COSTELLO: We have seen it before, politicians loosening up. This time it's Hillary Clinton. Take a look at her on the dance floor. We'll show you more after a break.

(COMMERCIAL BREAK)

COSTELLO: It is 13 minutes past the hour. Time to check our top stories.

The fighting in Syria shows no sign of letting up. More violence reported in Aleppo between the Syrian regime and the rebels trying to overthrow the government. Residents who were not able to get out of the city are trying to hunker down in their homes or in shelters.

Broadway will dim the lights tonight on an award-winning legendary composer, Marvin Hamlisch, who died yesterday after a brief illness. He's best known for writing the music for "A Chorus Line." Hamlisch was 68.

In money news, Spirit Airlines is hit with a class action lawsuit over its passenger usage fee. Lawyers claim that's an airline charge and not a government mandated fee. It costs up to $17 per flight. Spirit says the lawsuit is without merit.

Be careful what store owner you mess with in Massachusetts. Two would-be robbers tried holding up a mini market on Friday and that's when the owner grabbed a stick and fought back. The owner even used a metal shelf to fight of the suspects. One of the suspects was arrested, but the other got away.

In weather news, all eyes are on Ernesto. It weakened to a tropical storm earlier this morning after making land fall as a hurricane on Mexico's Yucatan Peninsula. The storm is forecast to move into the Bay of Campache later today. It could regain hurricane strength. We'll keep you posted.

To politics now and welfare reform, a deciding issue in the 2012 campaign or an attempt to drive a wedge between voters and possibly key leaders of the Democratic Party. That is the discussion around this new ad from Mitt Romney.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: President Obama quietly announced a plan to gut welfare reform by dropping work requirements. Under Obama's plan, you wouldn't have to work or train for a job, they just send you your welfare check. Welfare to work goes back to plain old welfare.

(END VIDEO CLIP)

COSTELLO: Mitt Romney continuing to hit the president on an issue during a stop in Illinois and in Iowa actually. Saying the Obama administration has changed how some Americans view work.

(BEGIN VIDEO CLIP)

MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: I very agree that those who are seriously disabled or unable to work need to have the help of the rest of us.

But those who can work ought to have the opportunity for a good job and if they are getting state assistance they ought to have the requirement for a good job. We will end a culture of dependency and restore a culture of good hard work.

(END VIDEO CLIP)

COSTELLO: Joining me now from Dallas is Republican Senator Kay Bailey Hutchison, a surrogate and supporter for the Romney team. Welcome, thanks for being here, Senator.

SENATOR KAY BAILEY HUTCHISON (R), TEXAS: Thank you, Carol. It's good to be with you.

COSTELLO: Thanks for being here. With high unemployment and other issues, why would the Romney team release this type of ad now?

HUTCHISON: Because it is a major change in the work requirement that's been such a good reform. In fact, it's one of the best reforms that has worked. Five million people were on the welfare rolls in 1994.

In 2010 at the end, it was about two million. So it's really put people to work, given them pride in themselves. There are so many good stories about welfare reform that families now with working people have more income.

And their children grow up not in poverty, but seeing a work ethic. To have guidelines that are now coming out to soften that, Carol, is a very bad thing.

COSTELLO: Well, Senator, the only problem with this ad, and I'm sure many people agree with what you say, but we fact checked that ad along with "Politifact" and it's just not true.

I mean, two Republican governors asked for these waivers and the waivers don't remove the requirement that welfare recipients find work.

HUTCHISON: It lessens the requirement and it allows self-help- type programs to be substituted for either job training or the work requirement. And the work requirement is 20 to 30 hours. So it's not a full-time work requirement, but it is a modest work requirement. Carol, that's the foundation of the bill.

COSTELLO: Well, Democrats say they even have a letter signed by Mitt Romney when he was governor of Massachusetts. He appealed to Congress for increase waiver authority in the program for the sake of moving recipients from welfare to work.

Because the requirements coming down from the government made it difficult for states to help these people find jobs. As you might expect in these tough economic times it's hard for everyone to find work. HUTCHISON: Well, what is important is that the work requirement be in place. Even if it is, in many states they have a state requirement that they can do things for the state that the state can't afford to do right now.

Why wouldn't an innovative state be able to say, gosh, we have all these things that need to be done, but our coffers are strapped. So we will take people who are willing to work.

And they are taking welfare and we'll put them to work and give them the opportunity to be disciplined and go to work every day and learn maybe a new trade or a new job.

COSTELLO: But even Mitt Romney back when he was governor of Massachusetts wanted these types of waivers because he found it difficult to really help people on welfare. He wanted his state of Massachusetts to figure out how to do that best.

HUTCHISON: Well, I think we are talking about the Obama record here and the federal requirements. And I don't think Mitt Romney meant to have self-help programs be substituted for work training and really making the effort to give people the opportunity to earn more and get a job training skill.

I think we are talking about an Obama overreach. There was no warning that he was going to try to change the rules. It would never have gotten through Congress, what he's trying to do.

So whether it's Republican governors who are asking for waivers, I don't think any of them are looking at putting reading and self-help exercise classes in place of work training that will give people an opportunity to be a part of a productive society.

COSTELLO: In fairness at the time, and going back to when Romney was governor of Massachusetts, he defended a state program that provided automobile insurance and AAA plans to welfare recipients because they had donated cars and they needed to drive to work.

Some of these regulations issued down by the federal government prevented them from doing that. So I think maybe these Republican governors who asked this of the White House wanted those types of help programs.

HUTCHISON: I would agree with that. You want to make it easier. That's why there are also capabilities for people to get good child care when they are on welfare and in a work program. That's something that we all support.

We would support making it easier to get to work. But I think the welfare reform is one of the most successful that we have had in this country.

And I really applaud Mitt Romney for standing up and saying, we don't want to in any way lessen the work requirement because it's had a good impact on the standards of families and children who now don't live in poverty. COSTELLO: Even if that's not really true?

HUTCHISON: Well, I think it is true. I think the guidelines that came out from the Department of Health and Human Services basically said we want to make it easier to solicit waivers for the welfare reform program including the work reform.

And that was the essential part that can't be undone by an administration that is over reaching. If they had taken this to Congress --

COSTELLO: But even former President Bill Clinton who orchestrated this welfare to work program back when he was president said it's just simply not true. This ad is not true.

HUTCHISON: With all due respect, President Clinton vetoed the welfare reform bill twice before he signed it. And I was glad that he signed it. I thought that was a good thing for him to compromise and go forward.

It's been a huge success. So I think it was a hard-fought battle. I was there when it happened. I thought it was an excellent program to go forward and to lessen that now is wrong. We have food stamps.

We're taking care of people who are out of jobs with unemployment compensation. But the welfare program is something that is meant to bring people forward in society and give them a chance to take job training and work and raise their kids seeing them with a discipline to go to work. It's worked.

Softening that is wrong. That's what the Obama administration did with these Health and Human Services guidelines for really lessening the welfare to work part of that bill.

COSTELLO: Well, again, CNN fact checked that and we found it to be untrue. But Senator Kay Bailey Hutchison, we're glad you joined us this morning. We appreciate it.

HUTCHISON: Thank you, Carol.

COSTELLO: OK, a much lighter moment in politics. You know, we just found this video so funny. Our apologies to Hillary Clinton, but this is what she was doing during part of her trip to Africa.

The secretary of state is in South Africa meeting with leaders as part of her 11-day tour of the continent. She danced at a dinner hosted by her South African counterpart.

Which then reminds me of this, so, see, Democrats can't dance. Remember then Senator Barack Obama appeared on the Ellen show during his campaign for president?

He was trying to prove he had the moves after his wife came on the show and panned his dancing. Maybe that's not as memorable as this. See, Republicans can't dance either. President Bush getting his groove on with some African dancers for a malaria awareness day even beat the drum a bit. This is in the Rose Garden, by the way, when Bush was president in 2007.

Staying on politics, let's talk about those political ads. They are negative. They are wrong, but they often work. Have you stopped listening? That's our talk pack question today.

(COMMERCIAL BREAK)

COSTELLO: Now is your chance to talk back on one of the stories of the day. The question for you this morning, have you stopped listening to political ads?

Inaccurate political ads are the calling cards of campaign 2012. They are negative and wrong, but they often work. A pro-Obama "Super PAC" just released a new ad, which blames Mitt Romney for a woman's death from cancer.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: When Mitt Romney and Bain closed the plant, I lost my health care and my family lost their health care. And a short time after that, my wife became ill. I took her to the Jackson County Hospital and admitted her for pneumonia. That's when they found the cancer. By then, it was stage four. There was nothing they could do for her.

(END VIDEO CLIP)

COSTELLO: A heartbreaking story, but there's one problem here, the ad is wrong. His wife passed away five years after the plant closed. For some of that time she had insurance through her own employer.

Mitt Romney also has a new ad out claiming President Obama is trying to roll back the welfare reform law signed by President Clinton.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: President Obama quietly announced a plan to gut welfare reform by dropping work requirements. Under Obama's plan you wouldn't have to work and wouldn't have to train for a job. They just send you your welfare check.

(END VIDEO CLIP)

COSTELLO: Bill Clinton immediately called the ad disappointing and untrue. Political advertising is considered free speech. So you can't really stop it. It's up to those running the ads to police themselves. Good luck with that.

Still, CNN and outfits like "Politifact" shoot them down. It's a full time job due to the sheer number of inaccurate ads being put out today. We are not just talking about words taken out of context.

As "Time" magazine's Joe Klein said of the Romney ads, how stupid does he think they are? Every day brings a mind boggling act of untruth telling. Add that Obama "Super PAC" ad to the list.

So the talk back question this morning, have you stopped listening to political ads? Facebook.com/carolcnn. Your comments later this hour.

Two big Republican money men taking on Hollywood. The new comedy "The Campaign" features two characters based on the Koch Brothers and one actor is defending the mocking.

(COMMERCIAL BREAK)

COSTELLO: So the "Talk Back" question this morning. "Have you stopped listening to political ads?" Facebook.com/CarolCNN. Facebook.com/CarolCNN, your comments later this hour.

Two big Republican money men taking on Hollywood. The new comedy "The Campaign" features two characters based on the Koch brothers. And one actor is defending the mocking.

(COMMERCIAL BREAK)

COSTELLO: The latest political smack down is taking place well beyond Washington. It's taking place in Hollywood where the upcoming movie "The Campaign" is making headlines.

Here's a clip.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: No.

(END VIDEO CLIP)

COSTELLO: I just can't see that clip enough. Any way the stars are Will Farrell and Zach Galifianakis. Galifianakis, says the film in part is taking on to billionaires known as the Koch Brothers and it also tries to poke fun on how ridiculous presidential campaigns have become.

CNN political editor Paul Steinhauser joins me now. And Paul, Mr. Galifianakis called the Koch Brothers, in his words, "creepy", saying he disagrees with everything they stand for. Most Americans have no idea who the Koch Brothers are. We know they're rich. But what else can you tell them about us -- tell us about them.

PAUL STEINHAUSER, CNN POLITICAL EDITOR: Yes this is really interesting Carol. Yes this is really -- this is a case where maybe reality is even more interesting than fiction. Because the Koch Brothers have been around for quite some time. And they have used their money over the years to fund a lot of conservative organizations like the Heritage Foundation, libertarian organizations like the Cato Institute. That's ancient history though; let's talk about what they've done recently.

They have been financing, basically bank rolling a group called Americans for Prosperity, Carol. It's an advocacy group that backs conservative causes and candidates. In 2010 midterm elections they were major players in helping the Republicans win back control of the House. And in this cycle, in this presidential election they've been putting out a lot of ads criticizing President Obama.

In fact, yesterday I reported they're going to be going up with a new campaign -- $25 million worth. So Carol these -- these two gentlemen are major players in this campaign. They're also dealing with senate battles as well, financing or backing Republican senate candidates. And we saw them also recently at a fundraiser for Mitt Romney.

So they are major players. And Democrats, a lot of national Democrats really vilify them and they say what these brothers are trying to do is basically buy elections for Republicans -- Carol.

COSTELLO: Well Paul, as for the attacks by Galifianakis the Koch Brothers did fight back. They issued their own statement saying, in part, quote, "It's laughable to take political guidance or moral instruction from a guy who makes obscene gestures with a monkey on a bus in Bangkok."

Of course that was a reference to scene from the movie "The Hangover Part 2." Galifianakis also starred in that.

But some conservatives do say that voters do take cues from Hollywood, from movies.

STEINHAUSER: Yes and especially at this time. This is I guess you would call this the silly season in politics right now. Before the conventions, before everybody is really tuning in. And yes a movie like this may influence, may influence some people. And what is interesting here is just the power of these people like the Koch Brothers, like Sheldon Adelson, like Foster Friess who financed a lot of Rick Santorum's Super PAC.

We're seeing -- you know the campaign finance laws of the last couple of years are allowing these Super PACs and these industrialists to become major players to a degree in the, you know, in at least in ad wars right now for the campaigns. And unless the laws change, you know, these people have, in a way, some outsized influence because of their money. Their money buys ad time.

Carol, I've got to say one thing though. The -- the -- the movie is put out there by Warner Brothers which as you know in all -- you know in all fairness we need to say is part of the Time Warner family, as is CNN.

COSTELLO: That's fair to say. And I'll still go see the movie and laugh because it's looks really funny.

STEINHAUSER: And I've got to tell you, nice pronounce on Zach's last name. You really did well. COSTELLO: I've been practicing. Galifianakis, Galifianakis, you have to say it fast three times.

STEINHAUSER: There it is.

COSTELLO: Thank you Paul.

President Obama is on his way to Colorado today for a two-day campaign swing. He is expected to focus on the economy.

New polls showing a tight race in Colorado and a couple of other swing states -- Wisconsin and Virginia. All three of course are key battleground states for the White House.

According to a Quinnipiac University/"New York Times"/CBS News poll Mitt Romney has a slight lead in Colorado getting 50 percent of likely voters and Mr. Obama getting 45 percent. But in Virginia and Wisconsin, polls show that Obama is ahead, but not by very much.

A 9-year-old boy does his part to save the city he loves. Joshua Smith makes more than $3,000 for the City of Detroit and he made it all running his little tiny lemonade stand. We're going to talk about Joshua and his civic pride after this.

(COMMERCIAL BREAK)

COSTELLO: Most kids set up a lemonade stand to earn a little pocket change; 9-year-old Joshua Smith is not your typical kid. He started his stand to help save Detroit from its financial crisis and he's made more than $3,000 for the cause. Joshua -- he's just 9. He's here now to talk with us. Good morning, Joshua.

JOSHUA SMITH, FOUNDER, LEMONADE STAND FOR DETROIT: Good morning.

COSTELLO: Good morning. I know you like to be called Josh. So I'm going to call you Josh from now on. So when did you first get the idea to set up this lemonade stand to raise money for Detroit?

SMITH: Well, I wanted to do a lemonade stand, but my dad preferred to do a popcorn stand. So -- so it wasn't really my idea though.

COSTELLO: Oh. But did you get excited about it after your dad brought it up?

SMITH: Yes.

COSTELLO: And what about it excited you?

SMITH: Well, just to sell things. I was happy that we could make money.

COSTELLO: Definitely. And you are quite the little businessman. So when did you inform like city officials, like the city council and the mayor that you wanted to donate the profits from your popcorn, lemonade stand thing to the city of Detroit? SMITH: Well, I think it was on the phone. Yes, it's on the phone.

COSTELLO: And what did they say when you said, I'm going to turn my profits over to you? What did they say to you?

SMITH: Well, the mayor said that he wanted me to have my money raised for my college fund, but then I had to -- I had to use it for the city. So I won't have to, like, turn -- turn my back on the city.

COSTELLO: So you really want to help out. What do you love about the city of Detroit?

SMITH: Nice resources.

COSTELLO: Very nice. I understand part of your $3,000 is going to go to clean up a park. Do you play in that park?

SMITH: Yes. It's only for sitting, walking and just exercising.

COSTELLO: Excellent. We like to hear when young people that in parks exercise. We like that.

So your popcorn stand it became pretty famous and attracted some pretty big people. Who came to buy your popcorn?

SMITH: Well, let's see. My little brother did. My friends. They bought something.

COSTELLO: I hear that some football players from the University of Michigan came.

SMITH: No, basketball players came. There were some University of Michigan basketball players who came. It was embarrassing though, really.

COSTELLO: Why?

SMITH: Because I'm a Spartan fan.

COSTELLO: That doesn't matter. You're a businessman. Money is green. It's money is the same from everyone as you have probably learned.

Joshua thank you so much for being here and thank you for helping the city of Detroit. And I know you're a fellow Tigers fan. So go Tigers.

SMITH: Yes. Thanks.

COSTELLO: Bye, Joshua. What a -- what a cute boy.

We'll be back after a break.

(COMMERCIAL BREAK)

COSTELLO: 47 minutes past the hour. Checking our top stories.

Police in New York may be closing in on the person who tweeted violent threats against a Broadway theater. Source telling us Twitter has backed down on its refusal and has released the identity of one user connected to those threatening postings. Police say they can't take it lightly after last month's massacre at a Colorado movie theater.

In money news Starbucks makes a $25 million deal with Square Incorporated. Square which makes mobile payment apps for smart phones will process credit and debit card purchases at Starbucks. Starting this fall consumers will be able to use the Pay with Square mobile app to buy their cappuccinos and their lattes.

A rescue mission underway to Antarctica. We're told an expeditioner, believed to be an American, is at the U.S. Antarctic station and needs more medical attention than what's available there. For now, the patient whose identity has not been released is in stable condition. A rescue flight could take place before the end of the week.

In weather news, tropical storm Ernesto is moving across Mexico's Yucatan Peninsula after making landfall as a hurricane. Ernesto is forecast to move into the bay later today and could regain hurricane strength.

He is the fastest man in the world, but can he score on a goal? Usain Bolt is getting a tryout with Manchester United.

(COMMERCIAL BREAK)

COSTELLO: Team USA cannot lose its gold medal game in women's beach volleyball. It is impossible. That's because the finals pit two U.S. teams in the event. One of them going for their third straight gold. The other pair reaching the finals in a big upset.

Zain Verjee is in London. How did this happen?

ZAIN VERJEE, CNN CORRESPONDENT: Well, first of all, Carol, congratulations in advance. You got the gold and you're going to get the silver as well. And Prince Harry is also going to be there. He just could not bear to miss out on the women's beach volleyball final.

COSTELLO: Because they're in bikinis?

VERJEE: Basically, yes. That would be my informed analysis on that. That would probably it. But Misty May-Treanor and Kerry Walsh Jennings have two gold medals already in previous Olympics. And this is going to be their last time together.

And actually what was interesting is that they have been in relationship therapy and counseling just because they weren't having good team -- kind of on-beach dynamics going on. They have been in therapy for this.

Now they are going to be against Jen Kessy and April Ross. Those two are actually just fed up with being called the other team. So they have something to prove here a little bit later in the day.

And actually what we were hearing too, according to some reports but all four of the athletes are hanging out together, they're having dinner together but they're also secretly trying to strategize what is the other side's vulnerabilities and where can they get really them? Because if anyone is going to know, everyone on the same team will be able to figure it out.

COSTELLO: Is this sort of what like happened with the badminton? You know, when the Chinese team didn't play as hard -- no it wasn't Chinese, I'm sorry. I can't remember the specifics with the badminton team.

VERJEE: it was -- yes, it was the badminton team. It was Chinese, South Korean, and Indonesian. But they were throwing the game, you know, on purpose so that they could get the round robin to their advantage so they could play a weaker team.

I think the U.S. women's team here just played to win. And that's what the Olympics is all about. But not since, I think a few years ago, I think it was Brazil that ended up playing Brazil. That was the only other time this has happened. So, you know, it's good news for the U.S. You can only win two medals today.

COSTELLO: Heck yes. Are you kidding. I'm loving it.

Let's talk about Usain Bolt because he's won the 100 meter. He's favored in the 200 meter and now he says, the heck with running, I'm going for a soccer career.

VERJEE: Yes, he's over it now. He's going to be running his favorite event which is the 200-meter final. He ran in the heats a little while ago and he won comfortable. That was the semi-final actually. The final is tomorrow.

But yes, he wants to play for Manchester United soccer. And he's been saying that I think if I play, I'm going to be the fastest runner, but I also have the skills to prove it. And then other players have tweeted, well, if you really want to play soccer we'll talk to the boss, Alex Ferguson. Who knows? That may be his next move after the Lightning Bolt.

COSTELLO: Yes, exactly. I don't doubt him, though. He's amazing.

Zain Verjee, thank you.

Negative political ads. They're often wrong, inaccurate. But, hey, they often work. But have you stopped listening to them already? Your responses to our "Talk Back" question next.

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UNIDENTIFIED MALE: I'm asked all the time, is cardio better than strength training? Well, guess what; they're both good. Benefit of strength training, lifting weights. A lot of people don't know you lift weights the only thing you improve is your elasticity in your muscles. But guess what, you add bone density as well.

A benefit for cardio. Not only do you get your heart rate up, you flush water out of your system, your body, water retention. You also get good energy. It's probably one of the number one ways to burn fat. So make sure you add cardio in your workout. Best results.

We asked you to talk back on one of the stories of the day. The question -- have you stopped listening to political ads?

This from Sandy, "If our kids did that, basic lies, they would be punished, the name calling. We do not tolerate that from our kids either. I guess they can do all the stuff we teach our kids not to do. It's ok for politicians."

This from Charles, "Absolutely this is the worst presidential campaign in history. From the race for the GOP nomination to Romney versus Obama. Each side should just stay focus on the task at hand -- fixing the economy."

This from Teri, "Yes, I have stopped listening. I used to think I voted based on content of character. Does anyone have that anymore?"

This from Marco, "I stopped believing the hype many years ago and have since lost all faith in politicians. I base my vote on the facts which takes time and patience to tease out from the rest of the noise."

And this from Fran, "The greatest invention ever, the mute button."

Keep the conversation going, Facebook.com/CarolCNN. Thank you for your responses and thank you for joining me today.

"CNN NEWSROOM" continues right now with Kate Bolduan.