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Auto Industry Bailout; Blagojevich Scandal; Iraq Suicide Bombing; Bad Economy Hits "Toys for Tot"

Aired December 11, 2008 - 09:00   ET

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

HEIDI COLLINS, CNN ANCHOR: Road to recovery. The House green lights a plan. Senate, though, could stop it. Live in just minutes, directions from the White House.
And a choice may be out of the governor's hands. So how will Illinois select its next senator?

It's Thursday, December 11th, I'm Heidi Collins. You are in the CNN NEWSROOM.

We've got a whole lot to tell you about this morning, including late-night movement on that auto bailout bill. The House approving the $14 billion measure, and this just in now.

Staggering new numbers on jobs. More than half a million jobless claims. It's actually the worst numbers in more than a quarter of a century. So we're going to be talking much more about both of these developing stories in just a couple of minutes.

First, we want to tell you about some severe weather slamming parts of the country this morning. High winds and heavy snow, even the threat of tornadoes.

Want to go ahead and get to Rob Marciano standing by now in our severe weather to get straight to it all.

Hi there, Rob.

(WEATHER REPORT)

COLLINS: Yes, no doubt about it. All right, we'll check back later, Rob. Thank you.

ROB MARCIANO, AMS METEOROLOGIST: You got it.

COLLINS: Dozens of people dead in Iraq. A suicide bomber attacking a crowded restaurant during holiday celebrations.

CNN's Michael Ware is joining us now live from Baghdad with more details on what happened.

Hi, Michael.

MICHAEL WARE, CNN CORRESPONDENT: Yes, hi, Heidi.

Unfortunately, just a little over three hours ago, a suicide bomber plunged into a packed restaurant on this religious holiday, just outside the northern city of Kirkuk which is about 160 miles north of the capital Baghdad where I'm standing now.

From the mixed reports from various government officials that we're getting, it appears that around 50 people have died, and more than 90 have been wounded in this suicide bombing.

Now what we've just learned is that the president of Iraq's political party which dominates that city, Kirkuk, was having a meeting with rivals from an Arab bloc inside the restaurant. Yet shrouded around them were families there having a holiday feast.

And so we're led to believe by officials on the ground that the most gut-wrenching part of this may be yet to come, in that many of the victims are expected to be children. The restaurant was most popular with families, and it had a children's playground.

The war in Iraq just keeps chipping away, Heidi.

COLLINS: All right, Michael, we will be watching that story today, as it develops as well.

Thanks so much. Michael ware, live from Baghdad this morning.

Now to India. India's top law enforcement official is pointing the finger at Pakistan for last month's terrorist attacks in Mumbai. The Indian home minister says, quoting here now, "suspicion unmistakably points to Pakistan."

More than 160 people were killed during three days of sieges around Mumbai. Five of them, Americans.

Indian police say a gunman captured during the attacks told them he was trained by a terrorist group in Pakistan. A Pakistani minister says his country has not found any links between Pakistani militant groups and the attacks.

On Capitol Hill, it's a battle for votes, and it appears Senate Republicans could hold the key to any rescue of the auto industry. The House passed the bailout plan late yesterday. That vote, 237 to 170.

The bill includes $14 billion in emergency loans for Chrysler and General Motors. Ford is eligible for federal aid, even though company executives say they probably can make it through next year on their own.

So far, it's only a deal on paper, as you know. Senate Republicans have raised this red flag, even the level of support among Senate Democrats is in doubt. So can President Bush help persuade them?

Joining us now from the White House, a very busy deputy press secretary this morning, Tony Fratto is here now.

Thanks so much, Tony, for being with us. Obviously... TONY FRATTO, DEPUTY WHITE HOUSE PRESS SECY.: Good morning, Heidi.

COLLINS: ... we know that the House approved this plan. But very different story going to take place in the Senate.

What do you expect to happen here?

FRATTO: Well, no question, we have some work to do in the Senate. I would just remind everyone that most members of Congress, including the Senate, didn't see this legislation until yesterday afternoon, so there's some explaining to be done, and a lot of members of the Senate have questions on both sides of the aisle about the strength of the so-called auto czar.

We think this auto czar will have very strong, sweeping powers, and we think that's reflected in the legislation. So we're going to keep talking to them, the president and other members of the administration will be reaching out to Republican senators this morning.

COLLINS: In fact, go ahead and look with me as you will, I'm sure you have seen these quotes, but I want to put them on the screen, anyway, for everyone at home.

Senator Bob Corker, Republican from Tennessee, said this with regard to the car czar. "Instead of the car czar, this ought to be titled the president's puppet."

And then from Senator John Ensign of Nevada, "If we don't have the forced restructuring plans in place, many of us don't believe that American car companies will come out of this in a competitive position, and the taxpayers' money will be wasted."

How do we explain exactly the powers that you just mentioned of this car czar? And -- is this really the answer? Is this going to save the whole thing?

FRATTO: Well, look, I think that if you take a close look at the legislation, what you see is that the -- the car czar actually has really the Sword of Damocles handing -- sitting over the heads of the automakers, and he can compel restructuring from them at the threat of calling back the public's money and forcing them into bankruptcy if they -- if they can't make a business plan work.

So he has really does have sweeping powers, and we think that is reflected in the legislation. We understand the concerns that Senator Corker and Senator Ensign and some others have raised. We want to keep talking to them and -- help them and other members see that these really are very strong powers and that you get into difficult areas of the law, if you try to do more up front.

And it just may not be possible to do more up front, given the timeframe that we're in.

COLLINS: Is the government going to be running the auto industry?

FRATTO: That's not our intention. We don't want to see government actually running businesses. But we do want to see them getting their costs in line across the full scope of their businesses. That includes the auto unions and their creditors, and their dealers, and their operating costs, and their ability to pay back the government.

I think something that's not well understood in this law is that there is a very discreet measurement for what is a viable firm at the end of this that the auto czar has to, has to test on. And that is, do these firms -- will they have at the end of this short process positive value going forward?

Are they a going concern, and if they're not, and if the math doesn't add up, the auto czar is required to ask for the taxpayers' money back, and that's what he has to do if this legislation passes.

COLLINS: So who is this brilliant and very hard-working person going to be? Surely you're going to tell me.

FRATTO: Well, that's a really good question. I think, you know -- I know that the senior officials here and the president are considering some very high-level experienced people who will have the full authority and gravitas to take control of these negotiations and to compel actions, someone who really understands businesses and how they work, and how you -- how you make a business plan work.

So I can't give you a name right now, but I know that the president is considering a number of people.

COLLINS: OK. But we know that you'll call us and you'll come back on the show, just as soon as you get that name, right, Tony? We're going to hold you to it.

FRATTO: Any time you need us, Heidi.

COLLINS: All right. Thanks so much, Tony Fratto, deputy press secretary.

FRATTO: Thank you.

COLLINS: Thanks so much.

Something not seen in more than a quarter of a century. Just out now, new numbers on the economy.

Our Christine Romans is standing by now with more on that this morning.

Good morning to you, Christine.

CHRISTINE ROMANS, CNN CORRESPONDENT: Hi there, Heidi.

Yes, we're looking at the highest jobless claims in 26 years here, and why, why do we talk about, about that? Well, we'll tell you, because that was a really tough time in this country, and we're looking at that, we'll tell you -- we'll tell more about the jobs situation when we come back, Heidi.

(COMMERCIAL BREAK)

COLLINS: An amicable agreement, ending the six-day sit in at a Chicago window and door factory. Two banks lending nearly $2 million, so the laid-off workers can get their final paychecks.

(BEGIN VIDEO CLIP)

ARMANDO ROBLES, PRES., UE WORKERS LOCAL 1110: We have achieved a victory. We say we will not go out until we get justice. And we have it.

(END VIDEO CLIP)

COLLINS: The agreement met with cheers. About 200 workers occupied the plant, demanding 60 days' pay. That is federal law.

The banks originally didn't want to loan anymore money to the failed company to fulfill those obligations. The workers get about $6,000 each.

Well, the nation's weekly jobless claim numbers are out, and it's more ugly news. Initial claims hit their highest level in 26 years.

CNN's Christine Romans is joining us now from New York with more on this.

All right, Christine, so tell us a little bit more about this. How bad is it?

ROMANS: Well, the highest one-week filing for unemployment benefits, these are people who are lining up for jobless benefits for the first time, 573,000 of them. And why is it important that it's the highest since, you know -- in 26 years? Because 26 years ago, it was a tough time in the economy, and we have to reach all the way back there to find times so tough in the labor market.

573,000 people lining up for the first time. That is not a sign of a healthy economy. That's a sign of a labor market that's in distress. We have heard just about every day of new job cuts, and those are showing up in these numbers. Once somebody's severance runs out, then they go and they file for first time jobless benefits.

We've heard from companies just this week, you know, the NFL, NPR, Yahoo! has started handing out pink slips this week. Lots of different companies are doing this morning.

Stanley Works is a tool manufacturer, a tool company, that is closing three plants. It's going to layoff one in ten of its workers and cut a whole layer of management. That's going to be about 2,000 workers overall. So all kinds of disparate industries are having to face a very tough economy and cut jobs. Ian Shepherdson, who is an economist at High Frequency Economics, says that the underlying trends here in these jobless claims is rocketing. He says companies -- this is how he describes it.

Economists don't talk like this. The companies are throwing in the towel and preparing for a deep, deep recession.

COLLINS: Wow.

ROMANS: And at this point in the labor market, there's just no sign of an upturn. This is the trend here. The trend is not good.

COLLINS: Yes, it seems like, though, Christine, some companies are actually trying to avoid these types of job cuts until, you know, the very last minute. What are some of them trying to do? Any alternatives here?

ROMANS: Well, you know, there are some companies that are doing things like asking people to take a pay cut, a 10 percent pay cut, a 15 percent pay cut. And that's very difficult. And a lot of the -- sort of the outplacement experts tell me that you might have to be in a position where you take that pay cut at this point, and then just hope that you can stay with the company and find something that's going to grow later on, because there is not a lot of out there.

COLLINS: Yes.

ROMANS: Kodak announced that it's -- it's cutting, freezing some salaries and then it's going to at least temporarily suspend its 401k match. You might hear from more companies that tell you that that free money in the 401k match might not be here for now as they're trying to find ways to avoid job cuts.

There -- some companies are saying no. They're asking for people to take unpaid vacations, furloughs and the likes, so you might hear some other ways that the companies are trying to avoid, more layoffs as long as they can.

COLLINS: Yes, everybody should be prepared for just about anything...

ROMANS: Right.

COLLINS: ... it sounds like.

ROMANS: Right.

COLLINS: All right. Christine Romans from New York this morning, thank you, Christine.

And check out these snow flakes in -- where? Southeast Texas you're looking at. Some areas got as much as two inches. That much slow if highly unusual this early in the season.

Southeast Texas under a winter weather advisory and freeze warning until a little bit later on this morning. What? Rob Marciano joining us now from the Severe Weather Center to talk about that. Unusual this early in the season. How about just unusual as a whole?

(WEATHER REPORT)

COLLINS: Weird.

MARCIANO: Yes.

COLLINS: All right. We'll break and check in with you. Appreciate it.

MARCIANO: Get out there quickly because I don't think it's going to last long.

COLLINS: Yes, exactly.

All right, Rob, thank you.

MARCIANO: You got it.

COLLINS: How is the governor's scandal affecting a senator's selection. We're going to have a live update from Chicago on the story everybody is talking about.

(COMMERCIAL BREAK)

COLLINS: The fallout far from over. Illinois governor, Rod Blagojevich, charged with corruption. The scandal is tainting the selection process for Barack Obama's Senate replacement.

CNN's Susan Roesgen is joining us now live from outside the governor's home in Chicago this morning.

So Susan, has the governor left for work yesterday?

SUSAN ROESGEN, CNN CORRESPONDENT: No. We don't think that he has left for work yet. Checking his house, there's a -- there's a beer truck over my shoulder in the driveway right next to his.

The curtains are still drawn in the house, the blinds are still down. We have not heard anything publicly from the governor or from his wife. In that house also two small children, Heidi, a 12-year-old daughter and a 5-year-old daughter, and it is tighter than a drum. Nobody is talking about anything.

But outside of this house, this is what we keep hearing over and over and over again. This is the "Chicago Tribune," "Resign, Resign, Resign." That's what people want this guy to do. Get out of the governor's seat.

And he has given no indication that that's what he plans to do, Heidi.

COLLINS: Yes, in fact, we also heard, obviously, yesterday from President-elect Barack Obama, asking him to resign, as well.

ROESGEN: That's true. And there are those even saying, look, if you don't resign, we're going to impeach you.

Now, there's a couple things that could happen. He could resign, he could step aside, Heidi, only temporarily. Illinois state law allows that, then he could come back at some point if he wanted to continue to be the governor.

He could be impeached. It only takes 60 votes in the state legislature here to impeach him, and that could be a fairly quick process. Or now the state attorney general is even talking about possibly having him removed, going to the Illinois Supreme Court and saying that he is unable to fulfill his duties as governor.

I guess with all of the pressure and with, you know, a sense that he can't continue to be effective as the leader of this state, she could have him removed. So it's really a difficult position to be in. I'm sure that I wouldn't want to be in this position in this house behind me, trying to figure out what to do, unless you're just going to come out and say, all right, I'm going to resign, and then we'll let the criminal case take its course.

COLLINS: All right. Well, we will be certainly continuing to follow the fallout, if you will.

Susan Roesgen for us this morning, live from Chicago. Thanks, Susan.

And Barack Obama taking questions today. The president-elect unveiling his choice for health and human services secretary. But the Blagojevich scandal threatens to dominate the day. No doubt about that.

CNN's Elaine Quijano is joining us now live from Chicago this morning, as well.

So, Elaine, anybody surprised that the president-elect is going to take questions? Because I think we know right where they're going to go.

ELAINE QUIJANO, CNN WHITE HOUSE CORRESPONDENT: Yes, absolutely. It will be interesting, no doubt. We did not hear or see or I should say, we did not see the president-elect yesterday, but we did through aids hear the president-elect adding his voice to the calls in this state, urging the embattled governor, Rob Blagojevich, to step down.

And today at that news conference, the stated topic is actually health care, and we do expect that the president-elect will formally announce his pick for health and human services secretary, the former Senate majority leader, Tom Daschle.

But you're absolutely right. Barack Obama will be facing a barrage of questions about this situation with Governor Blagojevich. Now the federal corruption allegations against Blagojevich, including that Blagojevich tried to sell Obama's vacated Senate seat have really overshadowed the president-elect's agenda.

Now we should note that the U.S. attorney in this case, Patrick Fitzgerald, has made very clear that there are no allegations against Obama in this federal complaint. However, there are still a lot of unanswered questions, including, did any top aids to Obama have conversations with the governor, or members of the governor's team, about this Senate seat?

As others have noted, there is nothing wrong with that. In fact, one would expect that would be the case. It's just that we don't know whether or not those conversations have taken place.

Another question that is out there, Heidi, why did it take a couple of weeks for top Obama adviser, David Axelrod, to walk back a statement that he made to a Chicago reporter a couple of weeks ago when he said that Obama did have a conversation with the governor about this Senate seat.

We heard, as you know, on the day of the governor's arrest, David Axelrod in a written statement, walking that back saying, no, I was mistaken. Obama and Blagojevich did not at any time discuss that subject. Why did it take so long for that correction to come out? We don't know the answer to that, either.

So, again, it will be an interesting news conference scheduled to take place here in just a couple of hours. We will see if the president-elect will respond to some of these questions more fully. A lot of raised eyebrows at this point -- Heidi?

COLLINS: Yes, certainly no question about that part of the story.

All right. Elaine Quijano, thanks so much, live from Chicago this morning.

That's a news conference that we're telling you about, coming up at 11:00 a.m., less than two hours from now. And, of course, when it happens, we will bring it to you live.

What we need to survive. Growing more scarce by the day. "PLANET IN PERIL" premiers tonight on CNN. We take a look at the crisis right here in the NEWSROOM.

(COMMERCIAL BREAK)

COLLINS: All right. The opening bell here on a Thursday. You see Toys for Tots, they're going to be actually ringing the bell. We're going to tell you more about that story, because certainly in the news today that organization waiting for the opening bell to ring, I believe. Or maybe it already rang?

And we are wondering about a weak start to the trading day. In fact, we see the clapping now, so that means that they haven't quite rung that bell yet.

Susan Lisovicz is standing by at the New York Stock Exchange now with more on what investors are going to be focusing on for today's session.

Hi there, Susan.

SUSAN LISOVICZ, CNN CORRESPONDENT: Hi, Heidi, and the bell should be ringing just about --well, maybe it's late.

LISOVICZ: There you go.

COLLINS: Perfect.

LISOVICZ: We're looking at a lower open for the major averages, Heidi, after the Dow's meager 70-points rise yesterday. Jobless claims, unexpectedly jumped by 58,000 last week to a 26-year high. That's more than the street had been expecting.

You know, the week after Thanksgiving, traditionally, shows a big increase. There's quite a bit of catching up to do after the holiday. And so, not a complete surprise but that number is a big one, indeed. Meanwhile, foreclosure filings dropped seven percent in November from the previous month. Economists say, however, hold the applause. The slowing in activity may just be a temporary pause before another wave hits in the coming months. A big contributing factor, of course, the rising unemployment rates.

Today's round of layoffs include those from tool maker, Stanley Works. The company will cut 2,000 jobs, about 10 percent of its work force, and close three plants due to severe weakness in the global economy.

Certainly, the Big Three know what that's all about. The House passed the $14 billion plan to stopgap General Motors, Ford and Chrysler, but investors are edgy. It may not have such good fortune in the Senate. As for fortune and the stock market now, we're seeing some give-back in the first minute of trading.

The Dow right now is down 110 points or 1.25 percent. The Nasdaq is down 1.33 percent. Proctor & Gamble shares are down nearly 2.5 percent. The consumers products giant cutting its sales forecast. P&G is just about in everyone American's home. It makes everything from Crest toothpaste, to Pampers diapers, to Pantene hair products. And it says, Heidi, retailers, distributors and consumers are cutting back around the world.

I mean, it's interesting. You know, it's P&G. I mean, this is not, you know, Lexus or Tiffany jewelers or something that's really discretionary. This is basic stuff like detergent, shampoos, toothpaste. And, in fact, some consumers are just trading down, as well, going generic with everything to save some pennies.

COLLINS: Yes. And, you know, it gives you an idea. That's a huge, huge company that really stretches out across so many different areas. Really gives an indication, does it not, of the situation that we're in?

LISOVICZ: It's a huge lifestyle change. And when P&G is talking about it, it really goes to show you that that is profound. The changes we're seeing.

COLLINS: Well, no question. All right. We continue to watch all of it alongside you, Susan Lisovicz at the New York Stock Exchange this morning. Thank you, Susan.

LISOVICZ: You're welcome.

COLLINS: Quickly, we want to get back now to the auto bailout -- the bailout of the Big Three, or at least two of them, to be clear here. The House approving the $14 billion bill late last night. This from the White House. Dana Perino saying, "We believe the legislation developed in recent days is an effective and responsible approach to deal with troubled automakers."

Oklahoma Republican Tom Coburn is against the measure, though. He is joining us now live from Capitol Hill to tell us why.

Thank you for being with us.

SEN. TOM COBURN (R), OKLAHOMA: Good morning.

COLLINS: What's your biggest concern here, Senator? Tell us what you're thinking this morning now.

Well, I don't think we're fixing the problem. What we're doing is putting out $14 billion of American taxpayer money, and asking for a resolution of the real problems that two of the three automakers, the domestic automakers face, without any force. So, what we're going to have is what happens come March 14th, or March 31st, and they haven't come to a resolution where they have solved the structural problems that they're facing. And then we say pay it back.

Well, they won't have the money to pay it back. You know, the problem with GM is they have too much debt. They have $62 billion worth of debt. And until they convert their bonds and some of their obligations to the UAW, the equity, there's not a solution for them. So, if we're going to solve the problem, we have to serve -- solve the long-term problem, and this bill does not do that.

COLLINS: OK. So what is your idea? What is -- a solution to all of this?

COBURN: Well, what I would say is they have to equities their obligations, and they need to have a plan. And they need to have that plan before we give them money, not after we give them money. The only way you're going to have the pressure to drive the bargains for the people that are holding the debt, and the UAW, and the franchisees, is to make the money contingent on solving the problem before we give them the money.

We'll never get the money back. And what we'll do is continue to add $100 billion of American taxpayer money. You know, take, for example, in 2007, Toyota worldwide and GM worldwide sold exactly the same amount of cars. Toyota made $17.8 billion, and GM lost $38.8 billion. You can't fix that with what we're doing. There's another major problem in this, is we have allowed the states to set emission standards individually in the bill that passed the house. There is no way these companies can compete with 50 different emission standards. There has to be an EPA standard that is there, and that we're going to follow a national standard, not a California standard or Michigan standard or an Oklahoma standard.

COLLINS: It's hard, though, isn't it, Senator, to talk about all of this, knowing what the potential alternative is, i.e. these companies no longer existing. These people who have been working there their entire lives, not having jobs anymore. And the United States getting its cars for the rest of its existence from other countries. Surely you have thought about that. How does that part of this whole equation make you feel?

COBURN: Well, I don't want the first auto worker in Michigan or anywhere else in this country to lose their job. But we have to solve the problem in the long-term. And delaying the problem and not solving it through a piece of legislation that's based on fear rather than common sense and good management doesn't make any sense for the American taxpayer. You're asking Congress, who has a terrible record of managing anything, to put in place a czar to run the auto companies. To essentially tell them what they can and can't do. I would tell you that we're the last people we ought to be asking to do that.

Is this a form of regulation, much like we used to see with the airlines?

COBURN: Well, no. It's not about regulation at all. It's about common sense. The fact is, the business model that GM and Ford and Chrysler are performing, with the costs that they have that are so uncompetitive -- their costs are 60 percent higher, their fully absorbed labor costs, than other American manufacturers.

You know, the fact is, as the other American manufacturers, other than the Detroit three, are not losing money. They're making money. And they're producing in this country, and they're making cars in this country. So the question is, how do we get GM, Ford and Chrysler to that point? There's another point there that the American people ought to know.

Chrysler is owned 80 percent by Cerberus. Cerberus capital has $25 billion in assets. They're not willing to invest in their own company because they don't think it has viability? They've already said they're not going to invest anymore in their company. So they want the American people to invest in Chrysler? That doesn't make any sense at all.

COLLINS: Obviously, a lot of opinion out there, and I think we know how you will vote when this measure and this plan comes to the Senate.

COBURN: Well, we would like to solve the problem, but this is not a solution that fixes that long-term for the auto workers or the companies.

COLLINS: Well, we appreciate your concern certainly today, and appreciate you coming out today.

(CROSSTALK)

COBURN: Thank you, Heidi. Good to be with you.

COLLINS: Senator Tom Coburn, thanks so much.

And we have quite a bit of severe weather to be talking about today. Rob Marciano is standing by in the weather center now with more on that.

Boy, we thought yesterday we had sort of a wintry mix, if you will. Talking about more of it today, huh?

(WEATHER REPORT)

COLLINS: All right. Thanks so much, Rob. We know you're busy there. Let us know if we need to come back to you. Thanks.

Well, we are less than 12 hours away now from CNN's "Planet in Peril" documentary. This year's series takes us to the front lines as countries, communities and individuals fight over oil, land, water and food. Let's get a more interactive look now with our own Josh Levs.

Hey, there, Josh.

JOSH LEVS, CNN CORRESPONDENT: Hey, there to you, Heidi.

You know, I'm seeing some incredible stuff. You haven't got to see the whole special yet, but I've already learned so much about it from what we've got up here at the Web site. In case you want to see it even more. Check it out. This is the main page for "Planet in Peril." You can't miss it -- cnn.com, click on Planet in Peril.

We're scrolling down for you here. It is packed with information and videos, and if you look over here in the bottom right corner, you're going to see all sorts of blogs and videos and audio slide shows that take you to different parts of the world, parts of the world that you probably never even considered going to.

For example, here, we're taking a look at how the world's addiction to oil is affecting parts of the world, including parts Africa, Nigeria, specifically. And we have a video we're going to show you now from Lisa Ling.

Really dramatic. Check it out.

(BEGIN VIDEOTAPE)

LISA LING, CNN SPECIAL CORRESPONDENT (voice-over): We arrive at the rendezvous clinic and are told to follow this man. We walk through back alleys and then come to the water.

(on camera): So we've just been brought to this dock and we're being asked to get into these boats. We can't tell you where we are, and we're not sure where we're going. But, let's go. (voice-over): We drive for hours by boat, passing small villages, winding through creeks. Then suddenly they appear, a checkpoint and a boat full of men fighters armed to the teeth.

(END VIDEOTAPE)

LEVS: So that's just one kind of video you can see. I also pulled out this right here. Anderson Cooper getting in the water with sharks. And you'll learn why they're doing that as part of this effort to save the sharks and save that population.

Just one of the many things you can see right here on this special, cnn.com. Really quickly, I want to go through a couple more things, Heidi. First of all, the blog is really interesting. They take you to different parts of the world and you hear from all these people who either were a part of the making of this special or in some cases are just well-known figures who are really interested in doing what they can to help save parts of the world that are particularly troubled. And you might be one of those people.

So we're going to end with this, ireport.com. Save the Planet. We're inviting people to tell your stories about what you may be doing in your own little way or big way to help save the planet. In fact you can see, we're already getting tons of responses on this page and you can't miss it, ireport.com. Look at assignments, you're going to see save the planet. Join the conversation.

And Heidi, will be next hour with some more of the great video that we got for you. All leading up to the big special tonight, "Planet in Peril."

COLLINS: Yes. And in fact, Josh, we also have the man himself who swam with the sharks coming on the show today.

LEVS: Yes, he's coming up.

COLLINS: We're going to talk with Anderson here in just a little while.

LEVS: It's so cool. So cool.

COLLINS: All right, Josh. Thank you.

LEVS: Thanks, Heidi.

COLLINS: Oil, land, food and water, all things we need, of course, to survive. But they are growing scarce as the world's population grows. The battle lines are drawn. Watch "Planet in Peril" tonight at 9:00, right here on CNN.

She hasn't been charged in her husband's scandal, but the Illinois governor's wife has come under investigation in another case. A profile of Patty Blagojevich.

(COMMERCIAL BREAK) COLLINS: Another cabinet nominee. President-elect Barack Obama focusing on health care today. He's set the name, former Democratic Congressman Tom Daschle as his choice for secretary of Health and Human Services. We, of course, are going to bring that announcement to you live, coming your 11:00 a.m. Eastern.

Barack Obama should expect some Blagojevich questions at that news conference. The disgraced governor of Illinois still very much in the spotlight. He is still in office, but the calls for him to resign are getting louder, including from President-elect Barack Obama. The state legislature also planning an emergency session for next week. They want to set up a special election for Obama's vacant Senate seat so Blagojevich cannot make the choice himself.

There is also new information on some of the other names in the investigation. We're going to be taking a closer look at that, coming up next hour.

She's the woman by the Illinois governor's side. And while she doesn't face charges in his case, wiretaps show she does share his combative and crude, verbal style. Here now is CNN's Gary Tuchman.

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GARY TUCHMAN, CNN NATIONAL CORRESPONDENT (voice-over): Happier times for the Blagojevich family, when they had their second child in 2003.

GOV. ROD BLAGOJEVICH (D), ILLINOIS: I think she takes after her daddy. She wanted to stay close to her mother.

(LAUGHTER)

R. BLAGOJEVICH: Both she and I love Patti so much, we always like to be close.

TUCHMAN: Now news helicopters hover over Patti Blagojevich's home that she shares with her husband and two daughters, who are seen going to her car, with her mother following behind. Patricia Blagojevich, a woman who, if prosecutors are right, stands by her man, in an unflattering and sometimes foul-mouthed style.

Regarding the accusation that her husband wanted "The Chicago Tribune" to fire editorial writers in return for state help for the company to sell Wrigley Field, home of the Chicago Cubs, the wiretappers say she said: "Hold up that 'bleeping' Cubs 'bleep.' 'Bleep' them."

And did she endorse the plot to get rid of the newspaper employees? Patti Blagojevich, who has been in the real estate business, is allegedly caught dishing this: "Just fire the writers."

And she and her husband are alleged to have schemed to get her high-paying positions on corporate boards.

The public has seen a much different Patti Blagojevich, this when she was asked her baby daughter's middle name.

PATTI BLAGOJEVICH, WIFE OF ROD BLAGOJEVICH: We just do an initial. With a last name like Blagojevich, you don't really need a middle name.

CAROL MARIN, COLUMNIST, "THE CHICAGO SUN-TIMES": This is not a frilly first lady.

TUCHMAN: Carol Marin is a political columnist for "The Chicago Sun-Times" and the political editor for Chicago's WMAQ-TV, a long-time observer of Illinois' often corrupt political scene.

MARIN: She herself has come under investigation by the U.S. Attorney's Office, because some of her real estate deals were done in concert with the governor's fund-raiser, who now sits in a federal prison on corruption charges.

TUCHMAN: Patti Blagojevich is from a political blueblood family. Her sister, Deborah Mell, is sworn in as a new state representative next month. But it's her father who's exceptionally well known in Chicago politics. Richard Mell has been a city alderman, the equivalent of a councilman, for 33 years.

Mell has had a falling out with his son-in-law, the governor.

MARIN: This is a family at war for reasons that are hard to completely understand, but the father-in-law is the power broker, and the son-in-law, Blagojevich, became the governor. And so when that business splintered, it was, I mean, Thanksgiving is a bad holiday for the Blagojevich/Mells.

TUCHMAN: We wanted to talk to Richard Mell about his daughter and son-in-law. He would not go on camera but gave us this statement: "My main concern right now is for my daughter and grandchildren. I would rather not discuss this sad situation in the public venue at this time."

And sad it is. Patty and Rod Blagojevich's little girls will now have to compete for the attention of their parents with their father about to enter a legal maelstrom. Things have changed since this pitifully ironic statement when the governor talked about his newborn.

R. BLAGOJEVICH: She's happy, contented, very straight forward, very honest, which means no political career.

TUCHMAN: Gary Tuchman, CNN, Chicago.

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COLLINS: A Florida mother charged with murdering her daughter is back in court today. Casey Anthony goes before an Orange County circuit judge for a status hearing. She remains behind bars, charged with first degree murder in the death of her 3-year-old daughter, Caylee. The girl's body has not been found. She was last seen in June. Caylee's mother reported her missing one month later. The sentencing hearing resumes today for the man convicted in a deadly Atlanta courthouse shootings. Brian Nichols killed a judge and three others in a rampage that began in a downtown court room in March of 2005. Jurors are deliberating now whether to condemn Nichols to death or sentence him to life in prison.

No presents understand the tree. Thousands of kids could wake up to a Christmas without Santa. Toys for Tots needs your help.

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COLLINS: (OFF-MIKE) keep our smiles bright. But as we get older there are other challenges. CNN medical correspondent Judy Fortin takes a look.

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JUDY FORTIN, CNN MEDICAL CORRESPONDENT (voice-over): Since she was in her 30s, Angie Heckendorn has been struggling with her teeth.

ANGIE HECKENDORN, DENTAL PATIENT: Shifting and then bone loss from periodontal disease and gum disease and just lack of care.

COHEN: Most people begin adulthood with 32 permanent teeth, but as we age, poor dental health, bad diets, genetics and even smoking can cause many people to lose teeth, creating gaps and shifts in our smiles.

DR. YOUSSEF OBEID, DENTIST: But it's 100 percent preventable. You, (INAUDIBLE) blushing and flossing and rinse your mouth every day will save you a lot of time in the dental chair.

COHEN: Flossing cuts down on plaque build up which can cause decay. Not flossing can lead to gum disease which can cause teeth to fall out. At any age, make sure you see a dentist at least once or twice a year, and floss at least twice a day.

OBEID: If you take good care of your teeth, it's really -- you know, you say good-bye to gum disease.

COHEN: And as you head into your 40s and 50s, your dental health can face a whole new set of problems. Stress can cause grinding which can lead to breaks and chips. And fillings you had as a kid can start to fall out.

OBEID: That's when filling with time will become a crown, the crown will need a root canal. The root canal will need the tooth out. So, it's the progression of all that dentistry.

COHEN: And as you get older, certain conditions and medications can cause dental problems. Several high blood pressure medications create dry mouth which can contribute to tooth decay. And when diabetes is not controlled, high sugar levels in saliva may help bacteria thrive, plus diabetes reduces the body's resistance to infection which can cause gums and bones in the mouth to become weak, causing teeth to crack. This can mean crowns, dentures or even dental implants.

OBEID: Most patient are candidates for dental implants. And I think unfortunately right now because of the expense of dental implants, that's what's keeping our patients shying away.

COHEN: Not so for Angie, frustrated by her dental problems, she finally chose implants for a more permanent fix.

HECKENDORN: I feel like I have literally grown a second set of teeth.

COHEN: No matter your issues, talk to your family dentist on how you can keep your smile bright long into your golden years.

Judy Fortin, CNN, Atlanta.

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COLLINS: We've got our first look at the first awards show of the New Year. Golden Globe nominees names.

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COLLINS: There's trouble in toy land this holiday season. The economic downturn has hit the annual Marine's Toys for Tots program. CNN Pentagon correspondent Barbara Starr with the details.

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BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice-over): Ebony desperately needs Christmas toys for her children. She has come to the Marine Corps Toys for Tots Center to get them.

EBONY, TOYS FOR TOT RECIPIENT: There is no money. I wrote my letter early, in October, and I was able to come pick up my toys today.

STARR: The toy program began 61 years ago. This year with the economy in shambles, the Marines are anxious. There aren't enough toys. Here in the nation's capital, these were the only toys the marines collected the night before we arrived.

(on camera): 7ow far behind are you from where you want to be?

MASTER SGT. TIMOTHY BUTLER, U.S. MARINE CORPS: We are tens of thousands of toys behind, tens of thousands.

STARR (voice-over): Master Sergeant Timothy Butler says unless something changes, and soon, all the toys in these crates donated over the summer by companies will be gone in five days. Butler has to find enough toys for 82,000 children in the Washington, D.C. area. These bear containers which should be full are not.

BUTLER: Here we are in the nation's most powerful city, and we have those kinds of needs. We have folks that last year lived in a nice home, this year are homeless. STARR: And over at Union Station, people getting off the trains are giving what money they can, but it's not enough.

STAFF SGT. JOHNNY NOBLE, U.S. MARINE CORPS: Last year here from just the morning time frame, we collected just over $13,000. This year right now we're lucky to get about half that.

STARR: Even as toys are packed up and shipped out, every day the worries grow.

(on camera): What's it going to mean to the U.S. Marine Corps if they can't give every child who needs a toy a toy?

BUTLER: Well, to be honest, it's going to break my heart.

STARR: Marines respond to crises all over the world. But what the marines didn't expect was that their latest crisis might be making sure every needy child has a toy this Christmas.

Barbara Starr, CNN, Washington.

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