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American Morning: Wake Up Call
Multiple Explosions in Afghanistan; Eurozone Put on Notice; BP: Halliburton "Destroyed Evidence"; Eighteen Killed on Shiite Holy Day; Report: All Eight Alleged Sandusky Victims To Testify
Aired December 06, 2011 - 05:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Breaking news out of Afghanistan. Two deadly explosions, two cities. It's all happening on one of the holiest day for Muslims.
A warning this morning for 15 eurozone countries. Experts saying the risk of the recession of 2012 is all too real.
And NASA says it's found a new planet, a so-called "goldilocks planet."
(MUSIC)
COSTELLO: And good morning to you. This is your A.M. WAKE-UP CALL for Tuesday, December 6th. From the Time Warner Center in New York, I'm Carol Costello.
Here are this morning's top stories:
The pressure is on in the eurozone. Standard & Poor has threatened to downgrade the credit rating of 15 nations in the European Union. That includes top rating France and Germany. The agency says it will announce any rating changes as soon as possible following this week's European Union summit.
Oil giant BP has filed a lawsuit against Halliburton, one of its contractors during last year's deadly rig explosion in the Gulf of Mexico. BP is saying Halliburton destroyed key evidence, evidence that pointed to problems with its cement slurry. Eleven people died and millions of gallons of oil spilled into the Gulf.
This is what it looks like in New Mexico this morning. Yes, that is snow. A wintry storm slammed into the state yesterday. Some areas could even get up to 15 inches of snow.
Holy cow. Rob Marciano, that's just weird.
ROB MARCIANO, AMS METEOROLOGIST: Yes, and southern New Mexico to boot. I-10, parts of it shut down, I-25 as well. So, quite an impressive storm. It's related to what was going on down in southern California moving into the plains now.
Here's a look at the radar. Part of that energy is stretching into the Northeast in the form of some rain, but when the second piece comes through, around about tomorrow or tomorrow night, we'll get more interesting weather in the form of maybe some snow, at least away from the big cities and west of I-95.
There's your front slow mover. So, it's going to be rain on and off throughout the day across the spine of the Appalachians. And then behind that, we'll looking at cooler weather for sure. Temperatures in Kansas City, 30, 16 -- ooh, 16 in Minneapolis, I know it's Minneapolis, Carol but that's still cold for the first week of December. We'll talk more about that.
COSTELLO: That's more than cold.
MARCIANO: Talk about the potential for snow across the East Coast in the next 15 minutes.
COSTELLO: All right. Thank you, Rob.
MARCIANO: All right.
COSTELLO: Breaking news to tell you about out of Afghanistan this morning where 18 people are dead following two explosions targeting Shiite Muslims on the holy Day of Ashura. Police say one attack happened when a bomber detonated a device at a Shiite shrine in Kabul. The other blast took place in a different city. Ashura commemorates the martyrdom of Husayn, the grandson of the Prophet Mohammed. No word yet on whose behind the attacks.
The fate of the euro is at risk. This morning, U.S. Treasury Secretary Timothy Geithner will join European leaders for talks on how to prevent a collapse of the euro and keep financial panic from spreading. This after Standard & Poor's warned it may carry out a mass credit downgrade of European countries.
CNN's Diana Magnay joins us live from Berlin. Good morning.
DIANA MAGNAY, CNN INTERNATIONAL CORRESPONDENT: Hi, Carol.
Well, the timing of this downgrade does seem a bit odd. S&P said that it was because it didn't trust the policymaking of eurozone leaders and that's why it was putting 15 countries in the eurozone on negative watch, including Germany which has always been a safe haven for people wanting to invest in bonds. In fact, the only countries who aren't on negative watch are Greece because you can't bring its rating down any lower. It's already on junk. And Cyprus, which is already under review.
And it's strange that it should do this the day that the leaders of France and Germany announce that they have put forward some proposals to try and get Europe to follow rules on its budgets and those proposals are going to be taken to this very important meeting on Thursday and Friday where all the heads of state within the E.U. are going to be coming together and trying to make progress on how to save the eurozone from unraveling further.
And as you said, the U.S. Treasury Secretary Timothy Geithner is also in Germany today, talking to officials, the head of the European central bank. He's not only going to be talking to his finance minister counterparts on this two-day trip but also heads of state, because of the huge importance of what happens in the eurozone, of course, and how that impacts the U.S. economy, Carol.
COSTELLO: Diana Magnay, reporting live from Berlin this morning -- thank you.
Democrats have rolled out a compromise plan to extend the payroll tax cut before it expires at the end of the year. A tax break is worth about 1,000 bucks annually to the average family, and it will affect more than 160 million Americans.
The plan would be paid for by a so-called millionaire's surtax, a 1.9 percent tax on millionaires. And it'll increase fees that Fannie Mae and Freddie Mac charge mortgage lenders. In addition, it includes cutting the payroll tax paid by workers to 3.1 percent.
It may soon take you longer to get your mail. The United States Postal Service is proposing a two to five-day delivery of regular mail from the current one to three. It's all part of a move by the cash- strapped agency to save $2 billion. That also means shutting down hundreds of processing facilities and getting rid of 28,000 postal positions.
A heart-breaking story out of Atlanta area this morning. Police are trying to find the person who killed a little girl and dumped her body in a dumpster. Investigators found 7-year-old girl Jorely Rivera. She was last seen on Friday, playing near her apartment complex in Canton.
Police calling the case one of the extreme violence. They believe Rivera was abducted, sexually assaulted, beaten and then killed.
(BEGIN VIDEO CLIP)
VERNON KEENAN, GBI DIRECTOR: It occurred at the apartment complex. We also believe that the murder occurred at the apartment complex.
UNIDENTIFIED MALE: The police department, the sheriff's department, the GBI are diligently working on this night and day until we find something, we're going to keep on doing it.
(END VIDEO CLIP)
COSTELLO: Police say Rivera's parents are not suspects.
Jerry Sandusky may soon face his accusers, all eight alleged victims of the former Penn State football coach will reportedly testify against him in open court, this according to ABC News. The preliminary hearing is set to begin next Tuesday. Sandusky is accused of molesting the boys over an eight-year period. The alleged victims were part of Sandusky's charitable organization, the Second Mile.
The godfather of gridlock, that's what President Obama's top strategist David Axelrod is calling GOP presidential front-runner Newt Gingrich. On "PIERS MORGAN TONIGHT," Axelrod slammed Gingrich's TV ad which launched in Iowa, saying the Republican's theme of working together to solve problems will be a hard sell given his past.
(BEGIN VIDEO CLIP)
DAVID AXELROD, SR. STRATEGIST, OBAMA REELECTION CAMPAIGN: I don't think there's any single person in this country who did more to create the kind of discord in Washington that we see today than Newt Gingrich. He's really the godfather of gridlock. He was the one who really created an environment in which people started treating each other as enemies and not as opponents here in Washington.
He was the one who shut the government down three times when he was trying to close the Department of Education and to defund the EPA, and to cut Medicare in order to give tax cuts to the wealthy. He was the one who led to the impeachment of a president. And now, he's offering himself as someone who can bring the country together. I think that's going to be a hard sell.
(END VIDEO CLIP)
COSTELLO: But Gingrich continues his rise to the top of the polls and the former House speaker says he is ready to take on all contenders.
CNN's Jim Acosta has more for you.
(BEGIN VIDEOTAPE)
JIM ACOSTA, CNN POLITICAL CORRESPONDENT (voice-over): At a news conference in New York, Newt Gingrich insisted he can go toe-to-toe with his chief rival, Mitt Romney, in a 50-state battle for the nomination, even with a much smaller operation.
NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: We have all these articles about how businesses are getting leaner, how they are flattening their hierarchies, how they're doing all sorts of things. You have people now who work from home. You have virtual organizations -- all these cutting-edge ideas.
And then you have a group of consultants who believe you have to be slow, cumbersome and expensive.
The Donald has had the number one show in the country. OK? He is a genuine American icon in his own right. Why wouldn't you want to come and hang out with him?
ACOSTA: Part of the Gingrich plan also included a visit with Donald Trump, who has had enough meetings with White House hopefuls to host a presidential "Apprentice" reality show.
But Gingrich is tailoring a more serious image in Iowa with a new ad that's drawing comparisons to Reagan's iconic "Morning in America" spot. But the message is also eerily similar to, "Yes We Can."
GINGRICH: Yes, working together, we can and will rebuild the America we love.
ACOSTA: Team Obama is sitting up and taking notice with Gingrich surging to the top of the latest "Des Moines Register" poll.
ROBERT GIBBS, FORMER WHITE HOUSE PRESS SECRETARY: I think a lot of people inside the Beltway and outside the Beltway woke up today to a very different political environment and one in which Newt Gingrich is very much for real.
ACOSTA: Democrats seem all too eager to face Gingrich. In an interview with the blog "Talking Points Memo," House Democratic Leader Nancy Pelosi hinted she may dredge up the congressional investigations into the former speaker's leadership during the 1990s.
"I know a lot of about him," Pelosi said. "I served on the investigative committee that investigated him, four of us locked in a room in an undisclosed location for a year. A thousand pages of this stuff."
GINGRICH: I want to thank Speaker Pelosi for what I regard as an early Christmas gift.
ACOSTA: Gingrich responded that the House should act to repudiate Pelosi's comments, accusing her of using her office to damage his candidacy.
REP. NANCY PELOSI (D-CA), HOUSE MINORITY LEADER: We don't always see eye to eye, do we, Newt?
GINGRICH: No.
ACOSTA: It's a sign the two former speakers aren't as chummy as their days battling climate change in this 2008 ad.
(on camera): Are you concerned about that information re- emerging?
GINGRICH: We turned over a million pages of material. We had a huge report. The total 83 charges were repudiated as false. The one mistake we made was a letter written by a lawyer that didn't read carefully.
ACOSTA (voice-over): Liberal Occupy Wall Street protesters are also chomping at the bit after Gingrich told them to take a bath.
BEN CAMPBELL, OWS PROTESTER: We just want you to know that it's Newt Gingrich who's gotten filthy rich by roaming around in dirty corporate money and selling our government to the highest corporate bidder.
ACOSTA: But even some Republicans have their doubts.
SEN. TOM COBURN (R), OKLAHOMA: He did a wonderful job in organizing that. He's brilliant. He has lots of positives, but I still -- it would be -- I will have difficulty supporting him as president of the United States.
ACOSTA: Newt Gingrich is doing more than just meeting with the Donald. He's also in search of some campaign cash. If drawn into a 50-state battle for the GOP nomination with Mitt Romney, he'll need more than good poll numbers to come out on top.
Jim Acosta, CNN, New York.
(END VIDEOTAPE)
COSTELLO: More now on a breaking story we brought you at the top of the hour. Two deadly explosions in Afghanistan all happening on what's supposed to be a holy day. We'll be back with the latest details for you.
It's 12 minutes past the hour.
(COMMERCIAL BREAK)
COSTELLO: It is 15 minutes past the hour.
Here's what we're following for you this morning:
Standard & Poor is threatening to downgrade 15 nations in the European Union. The rating agency says it's keeping watch of the eurozone's debt crisis, setting a rising risk of recession in 2012
A church in Kentucky is overturning its ban on interracial marriage. Just two weeks ago, members of the Gulnare Freewill Baptist Church in Pike County voted to ban a longtime member and her black fiance. On Sunday, the church reversed its decision, voting unanimously to accept all people into the congregation.
In money news, Americans are on the ball this year. A new survey says a third of Americans are already done with their Christmas shopping. I don't believe. It's true, though. At least they say it is.
Shoppers took advantage of last month's big deals on Black Friday and Cyber Monday. The survey from America's Research Group says that if retailers want to win sales now, they'll have to offer even bigger incentives.
In sports, check this out, hockey play of the day. Capitals and Panthers. The Panthers Thomas Fleischmann skates through four Capital defenders and was an amazing no-look pass. The puck finds its way, as you saw, scores. Panthers win, Florida won.
Let's get a check of today's weather. Meteorologist Rob Marciano standing by in Atlanta.
Good morning, Rob.
MARCIANO: He was just centering the puck. He didn't know it was there. Center the puck.
COSTELLO: No, that wasn't an accident. That was on purpose.
MARCIANO: That's why he's a paid professional.
Good morning again, Carol.
Hey, listen, across the spine of the Appalachian, the East Coast, slow-moving front is going to create some problems as far as some rain is concerned today. There it is, from New Orleans, up through New York and in through New England. That's where your rain is going to be and it will eventually push out to sea.
But we do have another impulse that's going to roll up here in the next really three days. But the next two days brings the heavy rain through D.C. and New York. This is all rain and mild rain. The colder air comes in behind it and that may very well bring a little bit of snow, a couple inches potentially for inland areas, Wednesday night to Thursday.
Thirty-nine degrees in Chicago. That's chilly. Meanwhile, balmy, 61 degrees in New York. Enjoy that.
Next 15 minutes we'll highlight flight delays if you are traveling today -- Carol.
COSTELLO: Did you say 61 in New York?
MARCIANO: That is your high temp. Go out. It's going to be kind of muggy and rainy and soupy.
COSTELLO: Oh, who cares, though? It's December, baby!
MARCIANO: It's sprinkler in the summer. Go get it.
COSTELLO: I'm going to. Good advice. It'll be ugly looking but I'll do it. Thanks, Rob.
A suicide blast rocking a Shiite Muslim shrine in Kabul, Afghanistan. At least 18 were killed in that. And a second explosion in another city and police -- well, they expected to find more carnage. Zain Verjee joins us now from London for more on this and the rest of the world headlines.
Anybody taking responsibility for these explosions, Zain?
ZAIN VERJEE, CNN INTERNATIONAL ANCHOR: Good morning, Carol.
No, so far, no one has taken responsibility. Just a short while ago, we heard from one spokesperson on the ground in Kabul now saying about 40 at least are dead and at least 100 people are wounded. This happened at a shrine called Abul Fazl Shrine.
It was the deadliest of the day so far in the center of Kabul. We're getting reports, too, that the other attack in Mazar-i-Sharif has killed at least four people.
We'll continue to follow this developing story. But this is the situation on the ground and the scene as it's unfolding.
It's really important day today, Carol, for Shia Muslims around the world. They're marking a few days known as Ashura.
Let me just show you some live pictures coming from Karbala in Iraq. And it's important day because it really marks for Shias the death of Imam Husayn, who is the grandson of Prophet Mohammed. And the whole point of this, this period of morning, is that they feel that he was betrayed when he had to fight this big battle and it was a losing battle and they thought that at the time, he should have had more support than he actually did.
So, Imam Husayn was killed in battle. So, what you've got is a lot of Shias around the world, like here in Karbala, will mourn his death and mourn the fact that they feel that Husayn was betrayed. Some will just beat their chests in mourning but others are a little more violent, and they draw blood and beat themselves with chains and things like that.
But Husayn was killed in Karbala, which is why this is such a symbolic place for Shias.
COSTELLO: Wow.
Let's head to India and talk about Wal-Mart because I guess certain Indians don't much like the big retailer.
VERJEE: No, they don't. You see, the thing is, is that foreign companies in India are allowed to operate as wholesalers. Now, the government has been trying to push to modernize the country and want to have Wal-Mart and other companies do retail business.
But part of the problem in the opposition they're coming up against is basically the mom and pop businesses feel that they're really going to be badly affected if foreign companies start doing retail business and Wal-Mart is right in the center of this -- Carol.
COSTELLO: Zain Verjee reporting live from London -- thanks so much.
Still ahead on A.M. WAKE-UP CALL, recruiters are using a new strategy to track down expert decoders. First they have to go online and crack the code.
And credit cards making a comeback? We'll tell you what's pushing this trend.
Twenty minutes past the hour. This is your A.M. WAKE-UP CALL.
(COMMERCIAL BREAK)
COSTELLO: Stocks will open the day higher. But the rally that started earlier yesterday fizzled with growing concerns about Europe's debt crisis. This as investors turned cautious following a report that Standard & Poor's, they put the eurozone nations on notice for possible downgrades. All three major indices ended up. The Dow with a gain of 78.
Credit cards -- oh, they're making a comeback. A company that processes card transactions says consumers are starting to return to pre-recession buying. On Black Friday, 7 percent more consumers paid with credit cards than last year and banks are doing everything they can to get you to pull out the plastic. Credit card mailing surge 85 percent in the past year.
So, you want to be the next James Bond, do you? Britain's top spy agency is looking for new recruits. And to get into the running, all you have to do is crack an online code.
Brian Todd has more.
(BEGIN VIDEOTAPE)
BRIAN TODD, CNN CORRESPONDENT (voice-over): Here's your challenge: 160 combinations of numbers and letters, and a countdown clock. You've got just a few days to your deadline. If you crack this code, could be the next real-life James Bond?
JAMES BOND: Bond, James Bond.
TODD: Maybe not. But if you're a British citizen and you solve this cryptographic puzzle, you could be recruited for Britain's new generation of high tech spies. Posted online, publicized on Facebook and Twitter, it's put out by the Government's Communications Headquarters, Britain's version of America's National Security Agency, a kind of whiz bank eavesdropping post whose mission is to help catch terrorists.
This agency once posted job ads inside video games. An official there tells us this puzzle has gotten thousands of hits and at least 50 people have solved it. If you do that you're congratulated, offered a chance to apply.
(on camera): What do you think of this as a recruiting tool?
MARK STOUT, INTERNATIONAL SPY MUSEUM: I think it is a great idea. One of things that it does is it brings sort of awareness of the need for crypto analysts and cryptographers.
TODD (voice-over): Former CIA analyst Mark Stout is an expert of code cracking at the International Spy Museum in Washington. He says for people with reasonable training in math and computer science, this code probably isn't too hard.
(on camera): What kind of crucial intelligence can you gather by code breaking?
STOUT: Well, code breaking, signals intelligence as we call it, can be tremendously valuable because it's one of the rare forms of intelligence that if done properly, if you get access to the right things, will give you the enemy's intention. What are they really thinking?
TODD (voice-over): Stout and other experts say governments like Britain need cyber warriors more than ever. Officials at the Government Communications Headquarters say they want people with an interest in so-called ethical hacking. The illegal hackers need not apply.
How will that play? Marc Maiffret is a former hacker who co- founded a firm called eEye Digital Security. He says sophisticated hackers might find this puzzle gimmicky.
MARC MAIFFRET, EEYE DIGITAL SECURITY/FORMER HACKER: The thing that I would have found funny or interesting as a teenager hacker would have been to actually hack the server that's hosting this challenge and actually change the challenge to have some funny message or some other thing.
TODD: Other cyber experts say the code is too easy.
(on camera): An official at the British Government Communications Headquarters says it's not designed to be overly difficult, more to promote awareness of what the agency does. Maiffret and others say, if that's the goal, then it's worth it, to get teenagers and other young people excited about potential careers in legitimate cyber espionage.
Brian Todd, CNN, Washington.
(END VIDEOTAPE)
COSTELLO: Here's what we're working on for our 5:30 half hour. The U.S. Postal Service facing serious money issues. Not only does it want to slow down delivery, it also wants to cut 31,000 jobs.
President Obama's chief strategist explains why he thinks Newt Gingrich is to blame for Washington's gridlock.
It's 26 minutes after the hour. This is your A.M. WAKE-UP CALL.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
COSTELLO (voice-over): A killer on the loose this after the body of a seven-year-old Georgia girl is found tossed in the dumpster, beaten, and sexually assaulted. Police call this case one of extreme violence. Now, the hunt is on for her murderer.
(END VIDEO CLIP)
COSTELLO (on-camera): And good morning to you. This is your A.M. WAKE-UP CALL for Tuesday, December 6th. From the Time Warner Center in New York, I'm Carol Costello. Here are this morning's top stories.
Stock markets reacting to S&P's warning to Euro Zone countries, and it's not good. Asian markets closed down. European markets are down as well. Dow futures, they're actually up slightly after the Dow closed yesterday. S&P put 15 of the 17 Euro zone countries on review for a possible downgrade.
The gloves are coming of in the legal battle over the gulf oil spill in court papers. BP says Halliburton, quote, "intentionally destroyed evidence," end quote, related to the explosion in oil spill. Halliburton was a contractor on the project. It says it's reviewing the court papers.
Winter does not officially start for another couple of weeks, but don't tell that to people in parts of New Mexico and Texas. A brutal snowstorm closed parts of Interstates 10, 25 and 40 in New Mexico. Add to that gusty winds and dangerous wind chills, it is just plain nasty. Rob, this has got to be the weirdest winter in the history of man.
ROB MARCIANO, AMS METEOROLOGIST: We're just getting going. Just one week into it, really. Well, if you go by the official calendar of the 21st or 22nd, we're still not in it, but, yes, New Mexico getting it right now. Albuquerque, well, you got less than an inch of snow yesterday, but that was enough to break a record.
The snows right now are pulling out, but blowing snow is creating some hazardous conditions and some of that snow is actually stretching up towards Kansas City and parts of the Midwest. Second system ahead of that is rain and warmth. New York back through D.C., as far as the snow is concerned again, most of this is blowing snow, and the rainfall across the northeast continues to come down.
Some of this will be heavy at times. Maybe an inch or two in spots, delays in New York and Philly, D.C., Chicago, Atlanta and Charlotte if you are traveling today. Yes, we're just getting going here, Carol, so fasten your seat belts. Talk more in April, I guess.
COSTELLO: I'm already strapped in.
MARCIANO: There you go.
COSTELLO: Thanks so much.
MARCIANO: All right. See you.
We are following this breaking news out of Afghanistan this morning. Eighteen people are dead following two explosions targeting Shiite Muslims on the holy day of Ashura. Police say one attack happened when a bomber detonated a device at a Shiite shrine in Kabul. The blast took place in a different city.
Ashura commemorates the martyrdom of Hussein, the grandson of the prophet, Mohammed. No word yet on who's behind these attacks.
Treasury secretary, Timothy Geithner, is in Europe this morning for talks on how to prevent the collapse of the Euro. This, after Standard & Poor's warned it may carry out a mass credit rating downgrade of Euro zone countries. CNNs Diana Magnay joins us live from Berlin with more. Good morning, Diana. DIANA MAGNAY, CNN INTERNATIONAL CORRESPONDENT: Hi, Carol. Well, it's no real surprise given the conditions in Europe that S&P decided to carry out this massive negative watch on 15 Euro zone countries. If you look, you know, you have a situation where the banks in the Euro zone are having difficulties lending. You have the very real possibility of a sovereign default, the country defaults on its debt.
You have the very real possibility of recession in the Euro zone, but the question is, why did S&P decide to do this now? Only yesterday, the leaders of France and Germany came up with some proposals that markets reacted to extremely well that they were hoping that the rest of the Euro zone would ratify on Thursday and Friday at this key EU summit.
And those proposals are really to try and get some better budget discipline across all the various countries of the Euro zone so the seven members are able to keep to the rules as much as countries like Germany. As you said, Timothy Geithner is here.
He's been sent by the U.S. president ahead of this very key summit to try and reinforce the message that the United States is consistently purport to Europe that it must get its fiscal house in order. It must get agreement, because of course, it isn't just the Euro zone that's at stake here. The problems of the Euro zone have much wider ramifications across the global economy and, of course, on the U.S. economy -- Carol.
COSTELLO: Diana Magnay reporting live from Berlin for us this morning, thank you.
Democrats have ruled out a compromised plan to extend the payroll tax cut before it expires at the end of the year. Tax break is worth about $1,000 annually to the average family, and it'll affect more than 160 million Americans. The plan was paid for by a so-called millionaire's surtax.
A 1.9 percent tax on millionaires, and it will increase fees that Fannie Mae and Freddie Mac charge mortgage lenders. In addition, it includes cutting the payroll tax paid by workers to 3.1 percent.
It may take you longer to get your mail. The U.S. Postal Service is proposing a two- to five-day delivery of regular mail from the current one to three. It's all part of a move by the cash scrapped (ph) agency to save $2 billion. It also means shutting down hundreds of processing facilities and getting rid of more than 28,000 postal positions.
A heartbreaking story out of the Atlanta area this morning. Police are trying to find the person who killed a little girl and then dumped her body in a dumpster. Investigators found seven-year-old Jorelys Rivera (ph) yesterday. She was last seen on Friday playing near her apartment complex in Canton.
Police calling the case one of extreme violence. They believe Rivera was abducted, sexually assaulted, beaten, and then killed.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: The abduction occurred at the apartment complex. We also believe that the murder occurred at the apartment complex.
UNIDENTIFIED MALE: Police department, the sheriff's department, the GBI, are diligently working on this until we find something. We're going to keep on doing.
(END VIDEO CLIP)
COSTELLO: Police say Rivera's parents are not suspects.
Jerry Sandusky may soon face his accusers. All eight alleged victims of the former Penn State football coach will reportedly testify against him in open court. This is according to ABC News. The preliminary hearing is set to begin next Tuesday.
Sandusky, as you know, is accused of molesting the boys over an eight-year period. The alleged victims were part of Sandusky's charitable organization, the Second Mile.
The godfather of gridlock, that's what President Obama's top strategist, David Axelrod, calls GOP presidential frontrunner, Newt Gingrich. On "Piers Morgan Tonight," Axelrod slammed Gingrich's TV ad which launched in Iowa saying the Republicans' theme of working together to solve problems will be a hard sell given his past.
(BEGIN VIDEO CLIP)
DAVID AXELROD, SR. STRATEGIST, OBAMA RE-ELECTION CAMPAIGN: I don't think there's a single person in this country who did more to create the kind of discord in Washington that we see today than Newt Gingrich. He's really the godfather of gridlock. He was the one who really created an environment in which people started treating each other as enemies and not as opponents here in Washington.
He was the one who shut the government down three times when he was trying to close the Department of Education and to defund the EPA and to cut Medicare in order to give tax cuts to the wealthy. He was the one who led to the impeachment of a president, and now, he's offering himself as someone who can bring the country together. I think that's going to be a hard sell.
(END VIDEO CLIP)
COSTELLO: While the White House may be slamming Gingrich, his momentum keeps on building. A new "Washington Post"/ABC poll out this morning shows Gingrich is the clear frontrunner in Iowa. He has 33 percent support among likely caucus goers far ahead of Mitt Romney and Ron Paul who were each at 18 percent.
Let's talk more about this with "Washington Post" political reporter, Nia-Malika Henderson. Good morning.
VOICE OF NIA-MALIKA HENDERSON, WASHINGTON POST: Good morning. COSTELLO: So, let's talk about this latest poll. That's what's Gingrich way ahead in Iowa. This just seemed to come out of nowhere.
HENDERSON: Yes, and that's the thing about Newt Gingrich. There has been, obviously, this boom and bust cycle in this Republican race with folks like Michele Bachmann or Rick Perry. You know, showing -- good showing in the poll, but Gingrich, his timing has been great because we're four weeks, you know, ahead of the Iowa caucuses, and here he is coming doing so well in some of these polls in Iowa, even in Florida.
There's a new poll out that will come out later today out of South Carolina that shows him with a commanding lead over Mitt Romney who, at this point, has got to be worried that he's been only able to grab 21 percent, 22 percent, 23 percent of the Republican vote. I think this thing between Romney and Gingrich is, obviously, going to get tougher. You see also Democrats stepping up their attacks on Gingrich.
There was Axelrod, as you showed that clip, calling him the godfather of gridlock, but some of those things he said about defunding the EPA and wanting to shut down the education department, music to the ears of a lot of GOP primary voters who look at the way this government, this current administration, has behaved, and they want somebody in there who has what they see as the know-how, the Washington know-how, but also, the guts and the anger to do something about it. And, so far, they look at the feel and right now see Gingrich as their guy.
COSTELLO: OK. So, I'm looking at pictures right now of Donald Trump and Newt Gingrich because, as you know, Newt Gingrich sat down with Donald Trump. Donald Trump is going to moderate this. What is with this Donald Trump obsession?
HENDERSON: Yes. I don't -- I ask myself the same question, because here's a guy who, as far as I can tell, doesn't have any constituency. Sure, he gets great ratings for NBC on his reality TV show. Again, that's a reality TV show, but somehow, he has, I think, at first dubbed himself something as a kingmaker in this race threatening to run if he doesn't like any of these guys who are actually running, and they have followed suit.
So far in going to visit him, you had all of these candidates with the exception of Ron Paul and exception of Jon Huntsman who have gone and spent time with Donald Trump in New York. So, he'll moderate this debate. Now, there is a bit of a controversy over this because you have leader to the party like Karl Rove who are saying, listen, Republican candidates should not be participating in this.
It provides like a circus-like atmosphere to this very serious race and not only that gives Donald Trump a platform who actually might run as an independent. So, we'll see if this thing goes work (ph). It's up for December 27th in Iowa. So far, Gingrich has said he'll be there for the sheer entertainment value of it, and certainly, I think a lot of people might tune in if this thing goes work for that reason alone. (LAUGHTER)
COSTELLO: I know. I just keep thinking in my mind of different scenarios of how that debate might go if Donald Trump is the moderator. Like, if he doesn't like an answer, will he say "you're fired?" I doubt he'll say that, but it goes through your mind, doesn't it?
Nia, thank you so much for joining us this morning. We appreciate it.
It's 41 minutes past the hour. Let's get a check of what's coming up at the top of the hour on "American Morning." Alina Cho, good morning.
ALINA CHO, CNN ANCHOR: You're fired.
(LAUGHTER)
CHO: Good morning, Carol. Welcome back.
(LAUGHTER)
CHO: You seem well rested. Coming up on "American Morning" in about 20 minutes, speaking of Newt Gingrich, he's the fifth contender to have a one-on-one with The Donald. Did you hear that? But does Donald Trump's endorsement really matter? We're going to talk a little bit more about that. CNN's Mary Snow will have that report.
More sex abuse allegations, this time, against the Boston Red Sox. Two men claiming they were sexually abused a clubhouse manager at Fenway Park. We'll have those details.
And the legal saga of Rod Blagojevich Is winding down. Remember him? A two-day sentencing hearing for the former Illinois governor will begin this morning. He was convicted of 17 corruption-related charges. So, will the judge give him the max?
We'll be back right after this.
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COSTELLO: It is 45 minutes past the hour. Here's what's all new this morning.
Standard & Poor's is threatening to downgrade 15 nations in the European Union. The rating agency says it's keeping watch of the Euro zone's debt crisis citing a rising risk of a recession in 2012.
NASA says it's found a brand-new planet, a so-called goldilocks planet. The planet sits in a sweet spot known as the goldilocks zone, a place that's not too hot and not too cold. NASA says it could have conditions just right to sustain life, but they haven't found a sign of it yet. NASA'S Kepler telescope which launched it's planet-hunting mission back in 2009 made the discovery. In money news, Americans are on the ball this year. A new survey shows a third of Americans are already done with their Christmas shopping. Shoppers took advantage of last month's big deals on Black Friday and Cyber Monday. The survey from America's research group says that if retailers want to win sales now, they will have to offer bigger incentives.
In sports, check this out. Hockey play of the day, the capitals at the Panthers. The Panthers' Thomas Fleischmann scapes through four capital defenders. An amazing no-look pass, don't you know it. The puck (ph) finds its way to Weiss who scores. Panthers win 4-1.
Let's get a check of today's weather. Rob Marciano is in the chair. Good morning, Rob.
MARCIANO: Hockey in Florida. I mean, who would have thought about that --
COSTELLO: I know.
MARCIANO: Good stuff. Good morning again, Carol. Listen, we've got a problem with fog this morning. We had it yesterday across the northeast. Now, it's more southeast of an issue from Charleston back through Jacksonville. Low visibility here that's going to limit your action especially across South Carolina.
The fog is not as bad across the I-95 corridor across the northeast because the rain has kind of mixed things up a little bit. It is mild, but with that rain and low clouds, you will see some delays in New York and Philly. D.C. and metro airports, as well, if you're traveling through those and Chicago, Atlanta and Charlotte to a lesser extent.
Behind this front, somewhat clearer weather, breezy. Fire threat continues out west. Santa Ana's in Los Angeles, and the snow, record- breaking snow is moving out of New Mexico but still at this hour portions of I-10 and I-25, believe it or not, are shut down near the Mexican border. We are off to a fast start this winter season. Carol, back up to you.
COSTELLO: Boy, you're not kidding, except for the northeast. Very slows start, and I'm enjoying it. Shhh.
(LAUGHTER)
COSTELLO: I want to revel it in just a little longer. Thank you, Rob.
MARCIANO: All right.
COSTELLO: The unrest and violence that have marked Egypt's transition to democracy has caused a major drop-off in the country's lucrative tourist trade. This, as elections continue in Egypt this morning with runoff races for seats in parliament. Jim Clancy is live in Giza, at the great pyramids. Good morning, Jim. JIM CLANCY, CNN INTERNATIONAL CORRESPONDENT: Good morning to you, Carol. What a great place to be and, you know, tell Rob the weather here is just spectacular, but we have a minor problem, and that is the turmoil, political on the streets, the violence in Egypt has left this country wishing more tourists were coming.
You know, the touristy here is huge. It's about 11 percent of the economy. Some 20 million people are supported by this tourist trade out of a total of 85 million Egyptians, and so, it's very vital to the economy, add to that the win, the first round apparent win by the Islamic parties.
The people and the tourism trade are very nervous about where all of this is going and are hoping more of our viewers are going to come to Egypt because it is a great time to come, and I don't work for the tourist board here, but officially, tourism is down about 25 percent, Carol, but in reality, it's at least 50 percent and probably even more.
That's one of the fallouts. It's one of the repercussions of democracy and all of the tumultuous change. The people of Egypt know something about history as you can see behind me and they feel that this is a historic change for this country and for the entire Middle East. Back to you.
COSTELLO: Jim, I don't even see what Egypt can say to the world. I mean, come visit us in this particular climate. They're sort of just stuck, aren't they?
CLANCY: Well, no, let's be honest here. There's absolutely no problem for tourists coming into Egypt. All of the trouble was centered around Tahrir Square right in the heart of Egypt. Yes, it makes it more difficult to get to the Egyptian museum that is right there, but cities like Luxor with the valley of the kings in the south here in Giza where people are going to go to the polls on December 14th and vote in the second round of these elections.
Things have been calm indeed and tourists here, many of them from Southeast Asia, seeing a lot of Russian tourists today, but really, the numbers of Europeans, U.S. tourists is down sharply. There you're looking at the great pyramid of Khufu, the largest of the three pyramids here. Khufu and Khafre right behind me, and then, Menjara off to the left of your screen there, and of course, the sphinx in the middle, the enigmatic sphinx.
People are puzzled here why more tourists aren't coming. I think the news media, Carol, has turned them off more than anything, but you should know that's not what it's like across Europe. Prices are down. The vendors are only too happy. There's plenty of camels here for you to ride, Carol, (INAUDIBLE) outside for you.
(LAUGHTER)
COSTELLO: Hey, I'd come tomorrow if I could. And we hear you, Jim, thanks for showing us the great pictures this morning. That sphinx is fantastic. Jim Clancy reporting live this morning. It's 51 minutes past the hour. We'll be right back.
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COSTELLO: It's that time of year when we're making our lists and checking them twice, but for most people, there's always someone who's hard to buy for. To help us out, CNNMoney's Laurie Segall is here with some of the best tech toys for the season. I am so excited to hear about this, Laurie. So, hit me.
LAURIE SEGALL, TECH REPORTER, CNNMONEY: You know, so listen, if we're thinking about the out of the box ideas and something that's a little bit different besides the tablet and the other essential gifts we always give to people, there's something called the IK. Now, a girl come from the verge (ph) came in and showed us this gadget.
If you know somebody that plays with their iPad a lot and they play games on their iPad, you can essentially use the iCade. It turns your gaming experience into an arcade experience. You can put your iPad in there. You have a joy stick, and you're playing games in what looks like an old school arcade game.
And you can download over 100 different games that will go along with this, and it's really cool. So, you know, it's great for that person you know that likes to game. It's about $100. We can get it on sale for $70. That's a really cool one.
There's also something called the iHome IP 4. That's not that cheap. It's $199, Carol, but what it is, it's an old-school boom box, but it has this great digital twist. You can put your iPod in it and the sound is just amazing. I mean, we were testing it out in the office. It was a lot of fun.
And for those of us who like the old school boom box, you know, we want great sound. We want great music. It's a really, really good solution. Everybody absolutely loved it. So, you know, those are some out of the box ideas if you don't want to get the typical tablet and some of these tech toys we always hear about -- Carol.
COSTELLO: Those are two terrific ideas. I wrote those down. Stocking stuffers, if you don't want to spend so much, any ideas?
SEGALL: Yes. You know, everything is so expensive, but there's something called Digits. And now, Carol, these are flying off the shelves. What they are -- you know, everybody tries to use their Smartphone during the holidays when they were wearing their gloves, and it's impossible to navigate your Smartphone using your gloves.
You can put this thing called Digits on your gloves. There's a little silicon pads and what they do is they make it so you can use your touch screen while wearing your gloves in subzero weather which is really great. It's a nice solution. I say it's kind of making your gloves a little bit geeky, but it definitely works out if you're work on and you want to check your e-mail and you don't want to wait till you get inside.
(LAUGHTER)
COSTELLO: Then, you can like continue to use your phone constantly even when -- thank you very much. Laurie Segall, always appreciate it. If you want more on holiday gift-giving, check out CNNMoney.com.
That's it for this Tuesday edition of A.M. WAKE-UP CALL. "American Morning" continues right after a break. You make it a great day.
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