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Candidates Make Their Final Pitches; Sarah Palin Speaks in Latrobe, Pennsylvania; Petraeus Takes Over the Wars in Iraq and Afghanistan Today; Netting Saves Lives of Malaria Victims in Africa

Aired October 31, 2008 -   ET

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

HEIDI COLLINS, CNN ANCHOR: Just four days to go. Candidates make their final pitches to be president. This hour their plans to keep you safe.
And it's been a month of misery in the market but it's not all gloom and doom. Some positive news to send you into November.

It is Friday, October 31st. Happy Halloween, everybody. I'm Heidi Collins. You are in the CNN NEWSROOM.

Full steam ahead in the battlegrounds. Presidential hopeful Senator John McCain spending a second day on a bus across Ohio. A big rally on tap for next hour. We, of course, will take you there. Tomorrow, he keys in on Virginia.

McCain running mate, Governor Sarah Palin, ready to rally supporters in Pennsylvania. She is in Florida tomorrow.

Then waking up in Missouri, Senator Obama heads for a noontime rally in Ohio and then later he'll be on to Indiana before landing in Nevada around midday.

Obama's VP pick, Senator Joe Biden back at his home state of Delaware this morning, then he'll move on to Ohio and wrap it all up in Indiana.

Ohio's 20 electoral votes. Senator John McCain focusing on that today while he campaigns in the state. Joe the Plumber helping out along the way.

We'll catch up with McCain in a live event as we mentioned coming up next hour.

Then this evening, California Governor Arnold Schwarzenegger will muscle in and join McCain in Columbus.

Our Dana Bash is on the tour in Youngstown.

(BEGIN VIDEOTAPE)

DANA BASH, CNN CONGRESSIONAL CORRESPONDENT: John McCain is going to embark on his second day of a two-day bus tour. First they took it through about 200 miles across the entire state of Ohio. He's going to log about 200 more. He's rolling through small towns. He's appealing to rural voters, to blue-collar voters, those that McCain aides say that he's actually getting some traction with and obviously needs if he wants to win this critical state.

And in terms of message, he's sticking to the theme that we've been hearing over and over, especially on the economy. And that is, Barack Obama says that he's not going to raise your taxes but he will raise taxes and those he will raise taxes on will actually hurt small businesses and that, in turn, will make it very difficult for you to keep your job.

And what they're trying to do, in fact, the McCain campaign, is with that message really achieve what is their urgent goal right now, and that is reach those undecided voters, or even the voters who think they'll vote for Barack Obama but aren't really sure, and plant seeds of doubts.

Make them feel, when they go into the voting booth that, you know, we think that we want change, we know that we want change. We're not very happy with the way the country is going. But Barack Obama maybe isn't the answer, because philosophically, he doesn't agree with what I am thinking.

That is really the urgent goal as -- with just four days left and there isn't a lot of time to change people's minds.

But you know, John McCain is actually going to not just hit small towns. He is going to have a rare moment with some star power. Later this evening, he's going to have a big rally in Columbus. And the person joining him there is going to be Arnold Schwarzenegger.

Dana Bash, CNN, Youngstown, Ohio.

(END VIDEOTAPE)

COLLINS: Senator Obama campaigns today in a state that gave him his first primary win.

Our latest CNN Poll of Polls shows him with a solid lead in Iowa, 12 points over his Republican rival.

CNN's Suzanne Malveaux waiting for Obama in Des Moines this morning.

Hi there, Suzanne. What's the mood look like early this morning?

SUZANNE MALVEAUX, CNN CORRESPONDENT: Hey, Heidi.

Obviously, a lot of anticipation, excitement for Barack Obama to return here to Ohio where it all began. And you know, when he was a little known senator, when people couldn't even pronounce his name, Barack Obama was here in Iowa a whole year campaigning before the first contest, the Iowa caucuses.

He was shaking hands, meeting people through the ice, the snow. We followed him in many different places. And I asked a lot of people why is it that you supported Barack Obama from the very beginning. And what they tell me is that they feel like they really got to know him.

(BEGIN VIDEOTAPE)

MALVEAUX (voice over): For Halloween in camp Barack Obama, no Sarah Palin or Joe the Plumber costumes. Just a few pumpkins picked up in a patch in Florida.

SEN. BARACK OBAMA (D), PRESIDENTIAL CANDIDATE: I think you're going to have to wait for Charlie Brown to find that pumpkin.

MALVEAUX: A jet-set day for Barack Obama that began in Sarasota, Florida where Republicans outnumber Democrats by 12 percent but where more Democrats are going early to the polls, a chance for Obama to take this critical state that awarded George Bush the White House, for eight years.

Obama continued to link Bush and McCain, blaming them for the economic crisis.

OBAMA: If you want to know where John McCain will drive this economy, just look in the rearview mirror, because when it comes to our economic policies, John McCain has been right next to George Bush. He's been sitting there in the passenger seat ready to take over every step of the way.

MALVEAUX: A new TV ad is aimed at driving the point home.

UNIDENTIFIED MALE: We can't afford more of the same.

MALVEAUX: Next stop, Virginia, where Obama believes he could be the first Democratic candidate in more than four decades to capture the state.

OBAMA: Virginia -- that's what hope is. That thing inside, despite all evidence insists that there are better days ahead.

MALVEAUX: Then a late-night stop in Columbia, Missouri, another traditionally red state that he's forcing John McCain to spend money in and compete.

OBAMA: Hello, Mizzou.

MALVEAUX: Just over a week ago at a St. Louis, Missouri rally, Obama drew a record 100,000 strong crowd. Today he starts off where it all began, Iowa, the state that launched his presidential bid and gave skeptical voters some hope that his candidacy was possible.

(END VIDEOTAPE)

MALVEAUX: And Heidi, we came back here in May after he clinched the Democratic nomination. I asked a lot of voters if their impressions had changed -- Barack Obama considering some of the controversies at the time, whether or not he was wearing a flag pin, some of the inflammatory remarks by his pastor Reverend Wright. And it's not an official poll but hands down, people said, no, their impressions have not changed, that they thought people were portraying him kind of in a caricature type of way, and that they felt very comfortable with their support of Barack Obama --Heidi?

COLLINS: All right. CNN's Suzanne Malveaux for us in Des Moines, Iowa today.

Thank you, Suzanne.

Your money, "ISSUE #1," and fears of a global recession are making things just as volatile overseas. Big sell-off across Asia. Japan's Nikkei closed down more than 5 percent. Hong Kong's Hang Seng slid 2.5 percent.

Europe also reverses course from yesterday's gains. Markets in Britain and France has been in the negative all morning long.

A silver lining, though, yes, a silver lining of the rough times. Gas prices -- it tumbled down for the 44th straight day. According to AAA, today's national average, $2.50 a gallon.

October 8th, bewitching month for your wallet, though, gas prices offered some of that relief. The stock market, only anxiety, though.

CNN's Christine Romans is joining us from New York.

So we're going to talk about some of the good things which, boy, October has been rough.

CHRISTINE ROMANS, CNN CORRESPONDENT: It has. And this is -- this is historically the cruel months for the stock markets. But let's talk about those gas prices first, though, Heidi, because, you know, you mentioned how much they've come down and it's caught a lot of people by surprised.

And make no mistake about it. This is a stimulus for the American consumer. This is nothing less than money in the pockets of Americans. Gasoline prices in October down more than $1 a gallon. It's even better if you go all the way back to July when those peaks were hit above $4 a gallon.

So that is a little bit of relief for people. And it's real money. It's not Congress passing something that's going to take a while to happen. It's not the Treasury Department working with the banks trying to do something that's going to take a while to happen.

It's something that's happening right now that will help people week- by-week and will help people especially who are living paycheck-to- paycheck.

Now bigger picture -- the dollar has done well this month also. The dollar has...

COLLINS: Yes. This is kind of a surprise, isn't it, Christine? ROMANS: That's right. The dollar is up about 18 cents against the euro, why? Well, the dollar rebounding, it had been -- honestly it had been really beaten down. But there's a feeling that as this crisis spreads around the globe that the dollar, still, might be a safer bet than some of the other currencies and some of the other assets around the world.

So it's -- in some cases, it's a question of the dollar being the least worst choice for people and so do the benefits from the safe haven status.

So then let's talk about stocks. A cruel month for stocks. No doubt about it. Just this month, the Dow down 15 percent. The S&P 500 down 18 percent. The NASDAQ down 19 percent.

But keep in mind, and this is something that I've been saying for a while. There are millions of people who are going to be just fine. There are a lot of people who are going to feel the rough economy. We've had some 20,000 job cuts just this week alone. We know that the economy shrank in the most recent quarter.

But how do you know if you're going to be somebody who's going to be just fine? You didn't trade up on your mortgage with a complicated mortgage, you didn't trade up on your house for a house, you just quite couldn't reach.

You still have your job, you think you're going to keep your job, you've saved for a rainy day because it's raining, everybody. It's raining hard.

COLLINS: Yes.

ROMANS: You've saved for a rainy day and you haven't been living beyond your means. If you didn't go crazy on the credit card debt and on the debts over the past 10 years, you didn't trade up in your house, you got a solid job, you don't have a lot of debt, you might just be OK.

So that's -- that's the silver lining, I guess. There are people who are going to fall into that category, a lot of people.

COLLINS: Yes, and another silver lining, free candy tonight for Halloween.

(LAUGHTER)

ROMANS: That's right.

COLLINS: We look for where we can get it, right?

ROMANS: I'm giving away apples.

COLLINS: Good for you, your dentist will be proud.

Christine Romans, thanks so much from New York this morning.

How they protect our borders. We check the candidate's plans on homeland security today.

ANNOUNCER: CNN NEWSROOM brought to you by...

(COMMERCIAL BREAK)

COLLINS: Making their mark -- the presidential candidates have their plans for how they'll run the country. And we are laying them out for you.

"Ten Issues in Ten Days," so far, we've looked at the economy, taxes, energy, health care, education, housing, and, today, we're going to take a look at homeland security. How do the candidates plan to defend the homeland if they are elected? Let's compare for a moment.

Senator Barack Obama proposes implementing the 9/11 Commission recommendations. He also wants to provide technical assistance to first responders. Senator John McCain says he will implement the 9/11 Commission recommendations as well. He will also provide more and improved communications equipment to first responders.

Obama would work to protect critical infrastructure like chemical plants and he will strive to coordinate domestic intelligence. McCain would also protect critical infrastructure like chemical plants and he wants to provide more military intelligence, special forces, and civil affairs personnel.

Obama would revise the Patriot Act and he voted for the FISA Amendments Act. McCain voted for the Patriot Act and FISA but he did not attend the July vote to update FISA.

Both Obama and McCain say they would close Guantanamo Bay prison camp. Obama promises to secure loose nuclear weapons and strengthen the nuclear nonproliferation treaty. McCain vows a long term commitment to a nuclear weapons free world but he says he sees nuclear weapons as a deterrent.

Tomorrow, we're going to be taking a look at the candidates' foreign policy agendas.

The economy. So we've been hearing an awful lot of grim comparisons. The Great Depression, the oil embargo, the recessions of the '80s and '90s. But how do these times really stack up?

CNN chief business correspondent Ali Velshi put it to a test.

(BEGIN VIDEOTAPE)

ALI VELSHI, CNN SENIOR BUSINESS CORRESPONDENT (voice over): Measuring the economy might be a science. But what makes the economy tick isn't.

The U.S. economy, more so than any other worldwide economy, is based on how investors and ultimately consumers feel. We've taken a long, hard look at five measures of the economy that reflect how things really are out there to see if your fears and concerns are justified. We chartered them on a scale of zero to 10, zero being the worst that each of them have been since 1980, 10 being the best. Here's what we found.

One of the most important measures of how the economy is faring is if you have a job or not. The lowest unemployment rates since 1980 was in April of 2000, unemployment was at 3.8 percent. The highest unemployment rate since 1980 was November of 1982, 10.8 percent. On our scale, today's unemployment rate of 6.1 percent makes it a 6.8.

Simply having a job is a start. But if your wages don't keep pace with inflation, you feel that, too. In 1980, the average income for a man in his 30s was about $39,000. In 1993, the average man in his 30s was making about $32,600 a year.

Today, according to a study by the Pew Charitable Trust Economic Mobility Project, the same man is making a little under $35,000, making it a relatively low 3.2 on our scale.

Personal savings is the amount of money an individual holds on to after all their bills are paid. Back in 2005, the personal savings rate was negative 0.7 percent. But way back in 1981, the personal savings rate was as high as 12.2 percent.

Right now, we save a paltry 1.3 percent of our income. That's an unimpressive 1.6 on our scale.

Industrial production measures the output of tangible goods -- a car is made, a gallon of oil is produced. Back in the fourth quarter of 1997, industrial production saw a quarterly increase of 10.7 percent. That's the high point on our scale.

The low point was in the first quarter of 1991 when it was down 7.5 percent. Right now, on our scale, industrial production is right near the bottom, .82.

And then we come to home prices. Midway through this year, home prices were down 4.8 percent from the same time last year. The high end of our scale was in 2005, home prices were up about 9.7 percent from the same time the year before.

The low point is now -- on our scale, home price appreciation is a zero.

(END VIDEOTAPE)

VELSHI: So as you could see, Heidi, we're not in good shape when you see the cluster of those measures that are down near the bottom end of scale. This isn't an opinion or a survey, this is actual measures of these different economic indicators.

So for those people who are thinking the economy is not doing so badly, well, there's the proof.

COLLINS: Yes, definitely. But you know, when we talk about jobs and we always say that that is sort of the most important thing to look at.

VELSHI: Right.

COLLINS: And when you look at this, it looks like the job situation is really not all that bad.

VELSHI: Right. On our scale, of zero to 10, taking a whole last generation in to account, our jobs come in at a 6.8, which is relatively good. There are two issues with that. One is, of course, what most economists say is that jobs start to weaken as the economy starts to weaken. So they -- they tend to -- continue to fall off later on in the cycle.

The second thing is that the unemployment numbers itself as a percentage...

COLLINS: Yes.

VELSHI: ... may not tell the whole story. What we've seen this year so far, 750,000 jobs lost and we're expecting to see more. So let's hope that holds up, but it may not be the strongest indicator right now.

COLLINS: All right. Well, we're watching all of it. Appreciate your being there, chief business correspondent Ali Velshi.

Thanks, Ali.

VELSHI: OK.

COLLINS: This week, we've been taking you beyond the presidential race, showing you some of the more interesting ballot initiatives voters have to decide on. Well, here's a quick recap of where we are right now.

Number 10 is Massachusetts deciding to largely decriminalize marijuana. San Francisco voters could stop the arrest of prostitutes. Number eight is Arizona home warranty law. Ten years for new homeowners. Number seven comes from Sacramento. Voters will decide whether to tax cell phone text messages.

And in Oregon, trying to set mandatory sentences for identity theft. California voters could give farm animals room to roam outside of small cages, that is. Number four is a measure in Arkansas stopping unmarried couples from adopting. Number three, it's San Francisco again. Voters can name their sewage treatment plant after George W. Bush.

And that leaves just two more to talk about in our unofficial top10. They both deal with important definitions. So stick around for that.

ANNOUNCER: "Making Their Mark" is sponsored by...

(COMMERCIAL BREAK)

COLLINS: Quickly we want to let you know we have two more ballot issues - initiatives I should tell you about that we're going to be bringing to you in just a couple of minutes. In fact, that list of top 10.

In the meantime, want to take you out to this live event happening with Governor Sarah Palin. You see her family there in Latrobe, Pennsylvania. Let's go ahead and listen in.

GOV. SARAH PALIN (R), VICE PRESIDENTIAL CANDIDATE: ... families that, you know, you just want a good job in your own hometown. You're not asking for much. You want government on your side, good people here, hardworking people. So much patriotism also.

And I know that we have here with us today those patriots. Our veterans and those serving in uniform today, if you could raise your hands, we want to thank you. We thank you.

(CHEERS AND APPLAUSE)

PALIN: Thank you. For you and for your family, the sacrifice in the service that you've provided us, we honor you, we thank you, we owe you. This state is filled with good patriots. Good.

Now this state -- state filled with hardworking people, too, not quite knowing what to make of a candidate who lavishes praise on us working people when you're listening, and then talks about how bitterly they cling to their religion and guns when those people aren't listening.

(CROWD BOOS)

PALIN: Don't quite know what to make of a candidate like that. We tend to prefer candidates who don't talk about us one way in Latrobe and then another way in San Francisco.

As John McCain, as for him, you can be certain, wherever he goes, whoever's listening, he is the same man, he's known as the maverick. He doesn't run with the Washington herd. He's known as the maverick knowing who it is and he's accountable to, the people who hire him.

And that's what John McCain and I are out there looking for right now is Pennsylvania, will you hire us? Will you...

(CHEERS AND APPLAUSE)

PALIN: Good.

(APPLAUSE)

PALIN: Good. Latrobe, are you ready to help us carry your state to victory?

(CHEERS AND APPLAUSE)

PALIN: Are you ready to make John McCain the next president of the United States?

(CHEERS AND APPLAUSE) PALIN: Are you ready to send us to Washington to shake things up?

(CHEERS AND APPLAUSE)

PALIN: So Pennsylvania is just four days until the election. Just four days until that time of choosing and our country is facing tough times. And now more than ever we need someone tough as president. We need someone, a leader, with experience and courage and good judgment and truthfulness.

We need someone -- we need someone with a bold and a free and a fair plan to get our country moving in the right direction and soon it will be that time for choosing. The choice could not be clearer.

Only John McCain has the wisdom and the experience to get our economy back on the right track because he has a pro-private sector, pro- growth plan that's going to put government back on your side, and our economic plan will help our families keep their homes, and we're going to clean up the corruption and the greed on Wall Street and in D.C. that brought us crisis to begin with.

(CHEERS AND APPLAUSE)

PALIN: We're going to help our retirees keep their investments. Now the esteemed elders in this country. Those who have built our families, built our communities, and then working so hard all of their whole lives for these savings and investments and then trusting other people to manage those dollars for them.

But because of greed and corruption, they're forced now to feel insecure. Not going to happen on our watch. We're going to help secure those investments for them, because too many of them were taken advantage of.

Our economic plan, too, will help all of us be able to afford health care. And we're going to help our students afford college.

(CHEERS AND APPLAUSE)

PALIN: John McCain, too -- he has the guts to confront the $10 trillion debt that the federal government has run up. $10 trillion that we're expected, we're expected to hand to our children for them to pay off for us? That's not right and not fair. That won't happen on our watch.

We'll impose a spending freeze to cover all but the most vital functions of government like national defense and taking care of our veterans and worker retraining. Yes.

(CHEERS AND APPLAUSE)

PALIN: We're going to balance the federal budget by the end of our term. And, Pennsylvania, you count on us to fulfill our promises because John and I are the only candidates in this race who have a track record to prove we can do this, proves reform. Of course, in the Senate, he's taken on the wasteful spending and the abuses of power. He's known as not just the patriot in the Senate, he's always been known as the maverick, willing to confront the problems and do something about them.

That's what he's going to do as president also. We're going to start with lowering your income taxes.

(CHEERS AND APPLAUSE)

PALIN: And we'll double the child tax deduction for every family and we'll cut the capital gains tax.

(CHEERS AND APPLAUSE)

PALIN: And we're going to bring tax relief to every American and every business because when it comes to the economy, our tax plan reflects the very, very clear choice that you have in this election.

John and I have a very basic and fundamental difference with our opponents on this issue of taxes. Senator Obama has an ideological commitment to higher taxes. And those...

So he seems to adjust his tax plan announcements almost daily now. He's flip-flopping around on the details. But his commitment to increased taxes never changes. And you just have to look at his record.

Again, let's look at somebody's record. There's nothing mean- spirited or negative campaigning at all about calling someone out on their record, their plans, their associations. (CHEERING). That's not negative campaigning. that's in fairness to all of you, the American electorate. So we're going to call them out on this record. Barack Obama voted 94 times for higher taxes. He had 94 opportunities to be on your side, (BOOS). 94 times, instead he was on the side of taking it from you, our businesses and our government. He supported increasing taxes on hardworking middle class Americans making just $42,000 a year. And now he's committed almost $1 trillion in new government spending, but he won't tell you where the dollars will come from to pay for those proposals. Got to come from higher taxes. So you can either do the math, or just go with your gut. Either way, you draw the same conclusion -- Barack Obama is for bigger government and he's going to raise your taxes. (BOOS).

So Barack calls this spreading the wealth, right? (BOOS). And Joe Biden calls higher taxes patriotic. (BOOS). But good old Joe the plumber there in Toledo, Ohio -- (CHEERS). Joe the plumber -- he accomplished what none of the rest of us have been able to accomplish -- the press couldn't accomplish it either -- to get Barack Obama to finally state in plain language what his intentions are in all of this. And every since good old Joe the plumber just asked a simple straightforward question, bless his heart, he has been investigated and attacked just for asking the question. Joe the plumber said to him, all this talk of Barack Obama's tax increases and spreading the wealth, he said, to him, sounds like socialism. (BOOS). Now is not the time to experiment with that. They do that in other country where is the people are not free and where work ethic is not rewarded. And when an entrepreneurial spirit is absolutely stifled. and that's exactly what his plan will do to Americans and to the children who we are trying to teach work ethic and the reward for hard work. Instead, what's going to happen is that entrepreneurial spirit of America will be stifled. and that is what has built this country into becoming the greatest country on earth. (CHEERS).

USA. USA.

CROWD: USA. USA.

PALIN: You have to really listen to our opponent's words to all this, the nuances that he chooses to use, all the rhetoric. Our opponent says that he's for a tax credit, which is when government takes hard-earned money to give to somebody else according to a politician's priorities. John McCain and I, we're for a real tax cut, it's simple. It's when the government takes less of your earnings to begin with. (CHEERS). Our opponent, his plan is for big government. And too often, government is the problem, not the solution. (CHEERS). So John and I, we have just the complete opposite commitment in all of this. Instead of taking more from you, from our businesses, and spreading your wealth, we'll spread opportunities so that you can create new wealth. We do not think that government should take more. We think bureaucracy has got to learn to do more with less so that it is you prospering and thriving. (CHEERS).

Now, bottom line in all of this is that you shouldn't be working for government. Your government should be working for you. (CHEERS). And if you share that commitment, and if you want to work hard, if you know what hard work feels like and if you want to get ahead, and you believe that America is the land of possibilities and you don't want your dreams dashed by the Obama tax plan increases, then Pennsylvania, we're asking for your vote. (CHEERS). And -- Pennsylvanians, do you share our commitment and can we count on our vote on November 4? (CHEERS).

Now, John and I, too, we're going to set this country firmly on a path, finally, towards energy independence. (CHEERS). And we're going to develop new energy sources. We'll tap in to what we've already got, our oil, our hundreds of trillions of cubic feet of plain natural gas and our coal. we'll tap into our coal. You know, there's more coal -- there's more coal in this free country than there is oil in all of Saudi Arabia. And, yet, here's what we're doing. And this is nonsense -- this failed energy policy of the U.S. We're -- we're circulating hundreds of billions of dollars, your dollars, every year, to foreign countries asking them to ramp up production so that we can purchase energy sources for them. Hundreds of billions of dollars to end up in the hands of volatile foreign regimes that do not like America sometimes. And they use energy as a weapon. Now, that's the national security aspect of it? On the economic front, those hundreds of billions of dollars need to be circulated right here creating jobs for all of you. (CHEERS). So we'll adopt an all or the above approach to meet American's great energy challenge. And that means harnessing alternative sources of energy too. We have got wind and solar and biomass and geothermal. God has so richly blessed this land with alternative sources also. (CHEERS). And we will develop clean coal technology and we will drill here and we'll drill now.

(CROWD CHEERING)

PALIN: Drill, baby, drill and, mine, baby, mine. Because, Pennsylvania, this is for the sake of our nation's security and for the economic prosperity. We need American energy resources brought to you by American ingenuity, and produced by American workers. We can do that. (CHEERS).

So those are a couple of the assignments that we cannot wait to get to work on for all of you, energy independence and reform of government. And then there's another one that's especially close to my heart, and that's to help our families who have children with special needs. (CHEERS).

(END VIDEOTAPE)

HEIDI COLLINS, CNN NEWS ANCHOR: Governor Sarah Palin at a rally there, as you can see, in Latrobe, Pennsylvania, talking to the crowd of people there.

We're going to take a quick break. We'll be back in just a moment right here in the CNN "NEWSROOM."

(COMMERCIAL BREAK)

COLLINS: Quickly, we want to get you some pictures we're just getting into the CNN "NEWSROOM." This is all happening off the coast of Miami. And what we're looking at, coming in from our affiliate, WPLG, a number of people that according to the Coast Guard have been taken from a boat that was reported as a derelict boat around 8:30 this morning. Apparently, three of these people were pulled from that vessel on to the Coast Guard boat. And as they were doing that, they found seven more people who were on the -- the vessel. So, we understand there could be more people in the water, just not sure yet. But the Coast Guard is treating this as a search and rescue. And they're responding along with Customs and Border Protections and some other local agencies as well. Again, it's all happening off of the coast of Miami. I'm not quite sure, according to the Coast Guard, the nationality of these people. But we'll keep an eye on it for you and bring any updates that we may get here.

A milestone in the Iraq war. What has not happened in Baghdad this month has gone on for years.

(COMMERCIAL BREAK)

COLLINS: Live breaking news, unfolding developments, see for yourself in the CNN "NEWSROOM".

General David Petraeus getting his new command today, taking charge of efforts in Iraq and Afghanistan. But first, the news out of Iraq. CNN Senior Pentagon Correspondent Jamie McIntyre is joining us live this morning.

Good morning to you, Jamie.

JAMIE MCINTYRE, CNN SENIOR PENTAGON CORESPONDENT: Good morning, Heidi. You know, Iraq continues to be a dangerous assignment for U.S. soldiers. But the trends continue to look good. We are on the last day of the month and now it appears that October will shape up as one of the months with very low U.S. casualties in Iraq, only 13 deaths in Iraq for U.S. soldiers, and more than half are noncombat deaths. Only six combat deaths. That compares to back in July the lowest time this year when only 11 U.S. soldiers died in Iraq.

One interesting trend is what's happening in Baghdad, which used to be one of the most dangerous parts of Iraq. We're looking at the figures and seeing that only one combat death occurred in the Baghdad area of those six combat deaths in Iraq.

Now, this comes as the trend is going the other way in Afghanistan. In Afghanistan, this month, 15 Americans have died in Afghanistan. And, again, that continues the trend when more U.S. Soldiers are dying in Afghanistan than Iraq. That trend started back in May of this year when 17 Americans died in Afghanistan. That was the first month when we started to see those numbers match or eclipse the death tolls in Iraq. So, Afghanistan continues to get more dangerous. Iraq continues to get a little safer.

COLLINS: Jamie, the commander there in Iraq attribute what's happening there mostly to the so-called surge?

MCINTYRE: Well, to the surge strategy, which encompasses a lot of things, including the Sunni awakening, the empowerment of local officials, the additional U.S. forces as well. That's something that General David Petraeus, who is, in just a few minutes, is going to be officially taking over the U.S. Central Command and have -- in charge of the region of the world that includes both Iraq and Afghanistan as well as other countries. They're going to try to apply some of the principles in Afghanistan. But they realize Afghanistan is much different than Iraq. Many more tribes, much more complicated. They can't just take the template they used in Iraq and put it in Afghanistan. But they do want to empower the locals there and try to get them to start reconciling.

COLLINS: All right, CNN Senior Pentagon Correspondent Jamie McIntyre. Thank you, Jamie.

Nothing but net, a simple fix that could eradicate malaria across Africa. CNN's Isha Sesay reports on today's "Impact Your World."

(BEGIN VIDEOTAPE)

CNN NEWS CORRESPONDENT: Every 30 seconds, a child in Africa dies. Not from hunger or war, but from a mosquito bite. The World Health Organization says malaria, a preventable and treatable disease, transmitted mainly by the insect, still the leading killer of children in Africa.

DR. ELIABETH ZUMA, MALARIA RESEARCH OFFICER: It's a big challenge for everybody. So, we have to go out there and -- and keep saying malaria, malaria, malaria, it still exists, it's there.

Doctors like Elizabeth Zuma say malaria counts up to half of all hospital admissions in Africa. They say what's more devastating is how simple and cost effective the solution may be.

Most malaria infections can be prevented with these -- simple bug net. They reduce incidents by as much as 90 percent. Two years ago, a grassroots charity in partnership with the U.N. Foundation sprung up to take on the issue. A $10 donation on their web site, nothing but net organizers say they can purchase a bed net, ship it, and hand deliver it to people living in malaria-infested areas. They have been able to provide more than 2 million protective nets. Notable givers include CNN Founder Ted Turner, Microsoft Founder Bill Gates, and NBA basketball star Luol Deng.

And thousands of everyday people like Katherine Commale, the 7- year-old girl who saw the problem on TV and, with her mom, has since raised $73,000.

KATHERINE COMMALE, VOLUNTEER: Me and my friends make bed nets certificates that we usually sell at, like, holidays.

LYNDA COMMALES, MOTHER OF KATHARINE: I'm just so proud of her. And I really believe that anyone can do this. We need to listen to our children, especially when they say let's do something, let's help, because they can.

Such a simple thing that can help save a life.

For "Impact Your World," Isha Sesay, CNN.

(END VIDEOTAPE)

COLLINS: If you would like to get involve in relief efforts for those people with malaria, you can visit our "Impact Your World" page. You'll find links to groups providing bed nets to people in need. That's at CNN.com/impact.

(COMMERCIAL BREAK)

COLLINS: The other votes. Ballot issues are an important part of the Election Day, too. We've been showing you our own unofficial top ten. Here are the final two.

Number two, from Colorado, deals with the issue of reproductive rights. Amendment 48 would define a fertilized egg as a person entitled to full constitutional protection by the state. Proponents want to use the measure as a way to work toward banning all abortions. Opponents hope to defeat the amendment by a wide margin so it will never be brought up again, according to them.

Our number one ballot issue also deals with definitions. Iowa's constitution says idiots cannot vote. The same goes for, quote, "insane persons." A proposed constitutional amendment seeks to change the language to say people adjudged mentally incompetent to vote. It has taken 11 years to finally get this issue on the ballot.

There are hundreds of other provisions on ballots in different states and countries and cities across the USA. Be sure to check in with your local election office to find out what you need to know before heading to the polls.

Meanwhile, the McCain-Palin supporter angry about signs being stolen from his yard is now giving any would be thief a shock. The first victim, a 9-year-old boy.

(BEGIN VIDEO CLIP)

SHAWN TURSCHAK, HOWEOWNER: It's obvious from the video that he was coming to remove my sign and replace it with his. Obviously, we're not looking to hurt. We simply want our signs to stay put.

(END VIDEO CLIP)

COLLINS: The North Carolina homeowner has hooked up the sign to an electrical pet fence with a low current. He's also put up warning signs. The mother of the 9-year-old boy says he knows better than to steal campaign signs, but she thought the shock was a bit extreme.

More to the story than meets the eye, sometimes that's the case. We told you about a woman facing foreclosure who chained herself to her house. Now we'll tell you something she probably doesn't want you to know.

(COMMERCIAL BREAK)

COLLINS: An update now on a story we told you about earlier this week. Remember this? The San Diego woman chained to her home fighting foreclosure. June Reyno is still there. But now we are learning more about a history of loan defaults. CNN affiliate KFMB reports Reyno lost seven homes in the last two years to foreclosure. She says they were investments.

(BEGIN VIDEO CLIP)

JUNE REYNO, FACING FORECLOSURE: If I had to do it all over again, I would have never, ever agreed to buying them or financing them, putting this house at risk.

(END VIDEO CLIP)

COLLINS: City records show Reyno borrowed three times against her current home to buy the properties. Her eviction deadline was Tuesday.

A bear of a problem for workers caring for a cub rescued from a northern California wildfire. Little Smoky, as his care takers call him, is getting too fat as he recovers from burns suffered in a summer wildfire. He was a 15-pound cub then. Now, Little Smoky is weighing in at a whopping 64 pounds. Workers are carefully preparing him to return to the wild.

(BEGIN VIDEO CLIP)

TOM MILLHAM, LAKE TAHOE WILDLIFE CARE CENTER: We do not want him becoming used to people. If he sees me coming and he associates other people with me when he's out in the wild, he is going to stay away from those people, which is definitely a good thing.

(END VIDEO CLIP)

COLLINS: Officials say Little Smoky will be taking back to Shasta Trinity National Forest within just a few months.

The final four days. Candidates with the last chance to convince voters. Live this hour we'll hear from John McCain in the must-win state of Ohio.

And Trick or treat on Wall Street. Scary month comes to a close. We'll see if investors are dressing up as bulls or bears.

Yes, it's Halloween, Friday, October 31st. I'm Heidi Collins. You're in the CNN "NEWSROOM."

The clock is ticking. And the candidates aren't resting a single minute. Presidential hopeful Senator John McCain in Ohio much of today. He's getting ready to rally Republicans in Andover (ph) this hour. We're going to take you there. And then tomorrow, he will head on to Virginia.