Return to Transcripts main page
CNN Newsroom
Bin Laden Calls for Revenge for Gaza, Revels in Recession; Congress Discusses Releasing Bailout Funds; Blagojevich Swears in New State Senate; Washington Prepares for Inauguration
Aired January 14, 2009 - 13:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
TONY HARRIS, CNN ANCHOR: CNN NEWSROOM continues right now with Kyra Phillips.
(BEGIN VIDEOTAPE)
OSAMA BIN LADEN, LEADER OF AL QAEDA (through translator): They're now drowning in a global financial crisis. They're even begging all nations, small and large, for help.
KYRA PHILLIPS, HOST (voice-over): And that's music to the ears of Osama bin Laden. In a new address, the world's most wanted terrorist revels in America's recession and demands revenge for Gaza.
A surreal moment in Springfield: the scandal-ridden Illinois governor ushers in the Senate that will be his judge and jury in less than two weeks.
(END VIDEO CLIP)
PHILLIPS: And hello, everyone. I'm Kyra Phillips, live at the CNN world headquarters in Atlanta. You're live in the CNN NEWSROOM. A lot going on today.
The governor of Illinois swearing in state senators this hour. Ever seen the condemned buy a rope for the hangman? Well, that could be what's going on, in a political sense, anyway, today.
And the Bernard Madoff scandal might involve more money, but this financial guy is getting just as much attention. Let's just say, D.B. Cooper he ain't.
Plus love stinks, love bites, love hurts, all song titles that ring true for us at one time or another. Is there an anti-love potion No. 9 out there to protect your heart like no beta blocker can? Wait until you see that story.
But first, Osama bin Laden in his own words, we think. There's never any way to absolutely verify these audio clips from oblivion. But a new one has turned up on Islamist Web sites, and it's quite a rant. For 22 minutes the al Qaeda figurehead demands holy war against Israel's war in Gaza and celebrates the U.S. economic meltdown. Take a listen.
(BEGIN VIDEO CLIP) BIN LADEN (through translator): America won't be able to carry on its war against us for several decades longer. Reports indicate that 75 percent of Americans are happy to see the current president leave office, because he dragged them into unnecessary wars and drowned them into a financial abyss.
Bush leaves a successor with a worse inheritance: two long guerrilla wars and no options. He either withdraws and faces military defeat or carries on the fight and drowns his nation in financial trouble.
(END VIDEO CLIP)
PHILLIPS: All right. So here is what we want to know now. Is Osama bin Laden still relevant? Is he still a leading force in global terror? If not, it doesn't really matter where he is or whether he's dead or alive. If he is relevant, what's next in the search?
President-elect Obama has long accused the Bush administration of skimping on the search for bin Laden to carry out the war in Iraq.
Now, to one degree or another, Osama bin Laden has been a U.S. target since Bill Clinton was president. We do have video that we're going to take a look at back from 2000. And it actually shows bin Laden in the sights of a U.S. military spy plane, which leads to the question why didn't President Clinton execute that order to take him out, then, a year before the 9/11 attacks?
Because now the world's most wanted terrorist is still alive, and he's still ahead of al Qaeda. And the Bush administration had him trapped during the invasion of Afghanistan. What happened? Each time he slipped away.
Joining us on the phone to talk about all this and bin Laden's latest audiotape message, CNN contributor and terrorism expert Fran Townsend.
Fran, you know, it's so hard to swallow the fact that President Clinton had an opportunity to take Osama bin Laden out. We've seen the video. The video exists. We see him in the sights of the spy plane. And it's hard to really kind of contemplate what life would have been like if he would have been taken out. There wouldn't have been a 9/11?
FRAN TOWNSEND, CNN CONTRIBUTOR: That's right, Kyra. It's good to be with you.
I'll tell you, it's frustrating. Imagine the frustration for the hundreds and thousands of folks who lost a loved one on 9/11. But I will tell you, you know, the world changed on 9/11, and the whole country, including the administration, wound up with a different perspective on just how deadly the terrorist threat was.
And so, I mean, I think this is a continuing frustration, not only for former Clinton administration officials, and I served in that administration, but Bush administration officials, as well. And unfortunately, I think that it will be a high priority for the incoming administration.
But this is a very difficult search. We believe that -- you know, terrorism experts believe that bin Laden is in the tribal areas between Pakistan and Afghanistan, which has been an ungoverned space going back to Alexander Great.
You know, there's a sovereign line there. There's a drawn line that's not recognized by anyone except the government of Pakistan. And it's very difficult for the Pakistani government, much less American officials, to get up there and really do -- have this search on the ground with people. They don't welcome outsiders, and it's difficult territory in addition.
PHILLIPS: So Fran, I mean, you were a security adviser to the Bush administration. So knowing what you know about intelligence and about Osama bin Laden and the surge for Osama bin Laden, do you think now, if Barack Obama has a chance to take out bin Laden, actually get him in the sights of a military aircraft, will he order, "Yes, take the shot. Take him out," no matter what?
TOWNSEND: Look, I think the current president, President Bush would do that if he had the opportunity, and I believe that President- elect Obama will do it.
The question, you know, there's a bunch -- it's never that easy. You wind up with how many civilian casualties will there be? How certain are you that the intelligence, even imagery, you've got the right guy, it's not somebody who just looks like him? What will the consequences be? Will you potentially tumble the government, the Democratically-elected government of Pakistan? What will the impact be on the stability of Afghanistan?
There are a number of questions that policymakers have got to ask other than just a simple yes or no, take him out. But I do believe that if there's -- if there as a good shot and the intelligence is solid. And we've seen instances where intelligence has not been so good. But if the intelligence is solid, I think any sitting president would order that shot.
PHILLIPS: Well, let's hope that that does happen. Sooner the best.
TOWNSEND: Absolutely.
PHILLIPS: Fran Townsend, thanks so much. Appreciate it.
TOWNSEND: Sure. Bye-bye.
PHILLIPS: Well, here with me on some more insight on what's believed to be bin Laden's latest audiotape message, CNN senior editor for Arab affairs, Octavia Nasr.
And let me ask you just -- bin Laden, how -- how crucial is he within al Qaeda right now? Is he really leading al Qaeda? Is he the leader? Is he the one that everyone is looking to when it comes to carrying out any type of terrorist activity, at this point? OCTAVIA NASR, CNN EDITOR FOR ARAB AFFAIRS: Well, you know, he is still the leader of al Qaeda. That's very important. He's still the leader of al Qaeda. His No. 2 man, Ayman al-Zawahiri, is still at large. They're both still leading al Qaeda.
What's changed is that al Qaeda itself is not the al Qaeda that we've known in '98. For example, when the attacks on the U.S. embassies were carried out in Africa. It's not the same al Qaeda that also carried out 9/11.
So al Qaeda itself is now more of a franchise. Any little neighborhood can have a mini al Qaeda that can go out and attack and basically claim a responsibility to al Qaeda, because they pledged allegiance to bin Laden and others.
So he remains the leader of al Qaeda. What changed is his relevance. While he is not relevant in the sense that he's not ordering the charge, he's not ordering attacks. He's not the mastermind of attacks. He's symbolically important and relevant, and that's what we get when we watch, for example, audio message that came in on radical Islamic Web sites.
You see people joining in. They start cheering him on. And basically, if the message is to recruit people to go kill themselves and perform jihad, the holy war, against the crusaders -- what they call the crusaders -- and anyone who aids them in the region, they're following his orders and doing as he said.
So symbolically, yes, he is relevant, experts say. But as far as attacks are concerned, can this man right now, with this message, send a signal for an attack? Experts tell us that is not the case.
PHILLIPS: So it's not necessarily that -- it's not that he is leading al Qaeda and leading attacks. This is basically the bin Laden inspirational audiotape for all terrorists.
NASR: It is propaganda. It is meant as propaganda. He basically is not calling for any attacks. He's saying people should be performing their duty of holy war to defend Gaza.
He also boasts about his personal achievements and his men's achievements. He talks -- he does give a clear indication that he is alive, that he's well and that he's well-informed about current affairs. He used quotes from Joe Biden to the French president, Sarkozy, to the -- some important figures, ministers in Spain and Germany.
So basically, he's giving the message that he's alive, he's well, he's informed about current affairs. And he's still at large, which is really the significance of this message. While he might not be significant as al Qaeda leader, the significance is that, with all the efforts out there to capture this man or kill him, he's still at large and able to send these messages out.
PHILLIPS: Octavia, thanks. Well, President-elect Barack Obama has minced no words when talking about bin Laden. Here's what he said in an interview with Larry King back in August.
(BEGIN VIDEO CLIP)
BARACK OBAMA, PRESIDENT-ELECT OF THE UNITED STATES: If I had actionable intelligence, we would go after bin Laden.
LARRY KING, HOST, "LARRY KING LIVE": And bring him back here if possible?
OBAMA: Well, I think that we want to capture him or kill him. And as I've said, as I've just said this past weekend, if we capture him, then we would want to put him on trial. And I think he would be deserving of the death penalty.
(END VIDEO CLIP)
PHILLIPS: Now it's your turn. Do you even care if bin Laden is ever captured? E-mail us your answers at CNNnewsroom@CNN.com. We'll read some in our next hour.
Now, the transition to power. It's all about change, as you've probably heard. And here's a big one. Eric Shinseki is President- elect Obama's nominee for secretary of veteran affairs. He's a retired four-star Army general, the first Japanese-American ever to achieve that rank, by the way.
And since 2003, he's been better known as the Army chief of staff who warned Congress it would take several hundred thousand soldiers to secure Iraq and was publicly contradicted by then Secretary Donald Rumsfeld.
Shinseki retired soon after, and today the nominee tells the Senate Veterans Affairs Committee he'll fight to clear out a logjam of disability claims and make health benefits available to more vets.
Next hour, we're going to get the state of veteran affairs, according to retired three-star general Russel Honore. He never minces his words. That's at 3:15 p.m. Eastern right here in the CNN NEWSROOM.
Now, the confirmation parade rolls on. As you know, this is former Iowa Governor Tom Vilsack, appearing before the committee that will consider him for agriculture secretary. And Lisa Jackson, the incoming president's pick for head of the EPA, the Environmental Protection Agency.
But the biggest news may come from two hearings that are not happening, at least not on the schedule. Treasury secretary nominee Timothy Geithner has some tax issues to explain. His hearing has been put off a week.
And likewise for transportation secretary nominee Ray LaHood, a former Republican congressman. A Senate aide blames paperwork issues and denies reports that there may be problems over earmarks.
Turning now to an issue which may directly impact you, the $700 billion bailout plan known as Troubled Asset Relief Program, or TARP for short, is under discussion on Capitol Hill. And at issue: Barack Obama's request that Congress release the remaining $350 billion in TARP money.
CNN's Brianna Keilar joins us now live from the Hill -- Brianna.
BRIANNA KEILAR, CNN CORRESPONDENT: Kyra, here's what it comes down to today. So many Americans detest, loathe, abhor this idea of this financial-market bailout, and they have made their opinions very clear to their members of Congress.
We heard yesterday after that meeting with President-elect Obama and Senate Democrats, when he was trying to shore up support for this additional $350 billion to be released, we heard Senate Majority Leader Harry Reid say that he thought the votes were there to get this money released. But now, as it's apparent that some Democratic support has been eroding, it's also apparent that Republican support in the Senate has been eroding, as well.
This is a bit of a white-knuckled experience for, of course, the Obama team, no doubt, as well as Democrats here, afraid they may not be able to deliver for the president-elect.
One Senate Democratic aide saying, "We need Republicans to get this through." And because of that, you have some Republicans who have been against this bailout from the get-go seeing an opportunity.
(BEGIN VIDEO CLIP)
SEN. JIM DEMINT (R), SOUTH CAROLINA: I think we do have a chance to stop it. There are a number of congressmen and senators who are on the fence. They've heard from their constituents during the holidays that they're tired of bailouts. They know we're in economic trouble, but they don't want to see the government print more money, borrow more money, and throw it around in ways we can't even anticipate.
(END VIDEO CLIP)
KEILAR: Yesterday you saw President-elect Obama up here on the Hill reaching out to Senate Democrats. Today we're seeing that his team is reaching out to Senate Republicans.
His incoming chief of staff, Rahm Emanuel, and Larry Summers, one of president-elect's top economic advisers, meeting this afternoon with Senate Republicans, trying to get some support ahead of this vote on whether to release these funds or not.
That vote could come tomorrow, Kyra, could come Friday. But bottom line, you have some folks here on the Hill saying, "Maybe is this is -- this may be the right thing to do, but it is certainly not a popular thing to do." And it's -- you know, we're waiting to see if there are enough votes.
PHILLIPS: All right. We'll be tracking it, of course. Thanks so much, Brianna.
Well, talk about irony. The governor of Illinois is presiding over the swearing in of state senators. They're the ones who will decide whether he gets kicked out of office. Live pictures right now. We'll be following it. We'll bring you the highlights if it gets exciting. No doubt, it probably will.
And there's almost no escaping it: the coldest weather in years sweeps into the U.S. from Canada. They'll even be shivering in Florida. We're going to tell you what you can expect.
(COMMERCIAL BREAK)
PHILLIPS: Live pictures now wondering what the heck is going to happen to Bernard Madoff, scam man who took you and me and so many other Americans for millions and millions of dollars.
Federal prosecutors are actually going to try one more time to jail this besieged financier by taking him -- they're taking their case, rather, before a federal judge. That's why he's arriving. We'll follow it. We'll let you know what happens.
We're going to take a quick break. We'll be right back.
(COMMERCIAL BREAK)
PHILLIPS: Yes, I sarcastically said, the benediction is going on right now, and I want to see if Rod Blagojevich is saying his prayers. He probably should be.
But this is Springfield, Illinois, right now. It's an ironic twist in the Blagojevich scandal: the impeached Illinois governor presiding over the swearing in of the state senate. Now, those senators will decide in a matter of weeks whether or not to actually remove him from office.
CNN's Susan Roesgen joins us from Chicago.
Susan, you wonder why Blagojevich is actually putting himself through this. But then again, this is someone who's continued to stand up to the mikes and say, "I've done nothing wrong."
SUSAN ROESGEN, CNN CORRESPONDENT: That's true, Kyra. And his spokesman says that the governor considers his obligation, part of his obligation, part of his duty. And actually it is part of his duty. It may look just ceremonial, but it's part of the state constitution that the governor presides over the roll call vote to choose the new senate president.
Now, I'm watching the monitor just as you are, Kyra, looking at what's happening now. They've just finished -- or just now looks as if they're about to wrap up the prayer.
The state senate has already chosen a new president, so that part's really just a formality. But the governor will have to stand there while each state senator votes for this new president. And Kyra, in some of the video here, you may be able to see bouquets of flowers as the camera pulls out after this blessing. Bouquets of flowers. The whole senate chamber is filled with flowers. Also, a lot of young children. That's because this is supposed to be a celebratory event. This is what a lot of new state senators and returning state senators, you know, get to celebrate the fact that this is the start of a new session, put the old year behind them and go forward.
But just about right after this, Kyra, after the governor leaves, then the first order of business for the state senate is going to be to go ahead and adopt the impeachment rules that they plan to use for what they call a trial, not a criminal trial but a trial to decide whether or not the governor should be kicked out of office -- Kyra.
PHILLIPS: And that's supposed to happen in just -- less than two weeks. And we'll be following it, of course. OK. We will monitor Rod Blagojevich there. I know you are, as well. Let us know if it gets spicy, Susan. Thanks.
Well, as you know, Bernard Madoff just arrived at court. We had live pictures just a few minutes ago.
Just to give you a little background: prosecutors are trying to make their case again today to have this disgraced Wall-Street investment guru put in jail instead of his house arrest, or at we like to call it, penthouse arrest. They hope to persuade a federal district judge to overturn a lower court ruling and actually revoke his bail.
He is under house arrest. He's living in the luxury penthouse. And as you know, the charges that exist are duping investors out of $50 billion in his now infamous Ponzi scheme.
Prosecutors accused Madoff of trying to hide assets also, by the way, by sending millions of dollars in jewelry and watches to his relatives. Anyway, we're watching that. And if we find out something that comes out of federal court, we will let you know.
Well, it could be the biggest event in Washington's history. Will the nation's capital be able to handle it? We're going to check out the plan that's in place to make sure nothing goes wrong at the big inauguration next week.
And this reminder: we want to hear from you. Do you even care if Osama bin Laden is ever captured? In light of these new audiotapes that have been revealed, we want to know your thoughts. E-mail us and your answers at CNNnewsroom@CNN.com. We'll read some of them in the next hour.
(COMMERCIAL BREAK)
PHILLIPS: They're going to be coming from the north, south, east and west. Hundreds of thousands of Americans heading to Washington to watch Barack Obama's historic swearing in. For inauguration planners, crowd control is a serious concern now, and the challenges are pretty huge.
Here is CNN's homeland security correspondent, Jeanne Meserve, with more on the plan.
(BEGIN VIDEOTAPE)
JEANNE MESERVE, CNN CORRESPONDENT (voice-over): Porta-Potties, side by side, row upon row in the National Mall in preparation for a very big inaugural crowd.
A poorly managed crowd can be destructive, even deadly. Just a few weeks ago, a Wal-Mart security guard was trampled by shoppers on the hunt for a bargain. Inaugural officials have consulted a crowd management expert who has studied events like the Hajj, the annual pilgrimage to Mecca.
HANI MAHMASSAN, NORTHWESTERN UNIVERSITY: People have learned from the mistakes that have been made in terms of massing very large numbers of people there, in terms of having hard starts where you simply open the flood gates and then you get these stampedes through.
MESERVE: Washington is used to big gatherings like Fourth of July celebrations, and the police know how to handle a crowd. But the challenges on inauguration day could be unprecedented.
UNIDENTIFIED FEMALE: Information is my best friend.
MESERVE: Text messages, Jumbotrons and loud speakers will be all used to communicate with the crowd in an emergency. If long waits lead to frustration and anger, officials have plans to diffuse it.
UNIDENTIFIED FEMALE: We actually have customer service folks that will be walking up and down lines of people, giving them maps, and telling them where to go, and you know, kind of being ambassadors to make people feel, you know, a little bit more comfortable with what they want to do.
MESERVE: Officials are already publicizing the basics. Screening checkpoints will open at 7 to let the first 300,000 or so people onto the parade route. Backpacks, coolers, strollers, large umbrellas will all be banned.
Restrictions will be loser on the Mall, where the overflow will be sent. Spectators who choose can stake out a Mall spot early, though camping is prohibited.
Officials deny they are trying to discourage people from attending.
MALCOLM WILEY, SECRET SERVICE: It's quite to the contrary. Our efforts are to make sure that people are safe. We'd like for as many people to come as want to come.
MESERVE (on camera): Some experts say the number of portable toilets, estimated at 5,000, is grossly inadequate for the crowd. Others are worried about food and drink. Planners believe they're about as ready as can be but warned this will not be your average day out. People should plan carefully and dress for the weather.
Jeanne Meserve, CNN Washington.
(END VIDEOTAPE)
PHILLIPS: Three friends are taking President-elect Barack Obama's message of change and call to service literally. They're promoting a litter-free inauguration. IReporter Matt Pearson sent us this video that he made with his buddies, Rakesh (ph) and Braden (ph).
(BEGIN VIDEO CLIP)
MATT PEARSON, IREPORTER: Let's make sure January 20, inauguration day, isn't just a pretty picture on TV. If you're heading to D.C. for inauguration, bring an empty bag with you. Make sure to pick up your trash before you leave.
As long as you don't have a ticket and won't be going through security, it's OK to have them with you. Bring an extra bag. Help out the person next to you. Let's treat America's front lawn, the National Mall, like it's our own. We told Barack we were ready for change. So let's prove it on day one by making this inauguration day litter-free.
(END VIDEO CLIP)
PHILLIPS: Well, Matt and his friends say that they noticed that at a bunch of Obama rallies last fall, volunteers and cleanup crews spent hours picking up the mess that they left behind. So that's why they made the video.
And some things now that you may not know about next Tuesday's big event. The Obamas will really be kicking up their heels. They're going to attend ten official inaugural balls. That's one more than President and Mrs. Bush attended four years ago.
The most popular: the Illinois State Society Ball. That's the Obamas home state, of course. And tickets for that ball have for sold up to $6,500.
And a little history for you Webaholics. The first inauguration ceremony broadcast on the Internet was Bill Clinton's second inauguration in 1997.
Well, they are great pretenders, and in our next hour in the NEWSROOM, we're going to meet the fake president-elect and his family, who are standing in for the real Obamas during practice sessions for the inauguration.
And while Barack Obama won't be sworn in until Tuesday, CNN's coverage of his inauguration begins this Saturday morning. We're going to travel along with the Obama express on the historic train trip from Philadelphia to Washington: every stop, every speech, every mile. Don't miss a moment of the inauguration of Barack Obama, beginning this Saturday morning only on CNN. Well, he may be a good pilot, but he looks like a spectacular bad plotter right now. More bizarre details coming out in the financial fugitive case that tops today's "what the...?" file.
(COMMERCIAL BREAK)
PHILLIPS: On Wall Street, stocks are selling off as a financial giant begins to dismantle itself. Common story, Susan Lisovicz, that we've been hearing on a regular basis.
SUSAN LISOVICZ, CNN CORRESPONDENT: Yes, really, at this point it's kind of numbing, I think, for all of us, Kyra. But the fact is, it continues, and the Dow Industrials are showing signs of distress as well. The blue chips now down for a sixth straight day. And this the worst sell off we've seen in this current, very painful streak.
The blue chips have given up more than 800 points since closing above 9,000 last Tuesday. Weak retail sales, horrible numbers for December. Consumers just simply pulling back real sharp.
And more financial distress. And there you see the evidence of it. Dow Industrials off the lows but still down 269 points. Every Dow 30 stock is trading to the downside. In fact, for every advancing stock here at the NYSE, there are five that are selling off. The Nasdaq is down 51 points, and the financial giant you're talking about is Citigroup.
Citigroup, which prided itself as a supermarket in terms of financial services now selling one of its prized units, Smith Barney, the majority stake in Smith Barney to Morgan Stanley. And Morgan has the option to buy the whole thing within a few years. Citi used to offer everything from borrowing and investing and insurance, because it looks like because of its cash needs, $2.7 billion is part of this arrangement with Morgan Stanley, and more may be coming.
Citi, remember, the biggest beneficiary, financial beneficiary of federal U.S. aid -- $45 billion to date, and it reports its quarterly earning in two days. More red ink expected -- Kyra.
PHILLIPS: All right, so, after getting so much money from the government, how can Citigroup still be in such deep trouble? And didn't Citigroup get the most money out of everybody?
LISOVICZ: Yes, yes, $45 billion, and it continues, obviously, to be under considerable stress. Its shares, I should mention, are down 23 percent at $4.58. This was a stock that was trading at $28 in the last year. The simple answer is, really, wrong strategy at the wrong time.
Made a big bet on mortgages. And now, the problems that started in the housing sector continuing to other loans, auto loans, credit card loans, that kind of thing. And you know, I guess, historians and business analysts will say when you're that big, you better keep your eye on the ball in all of your units.
Citigroup expected to sell off more of its assets as a means to raise cash, because investors and regulators are restless, very unhappy with what's happening to Citigroup -- Kyra.
PHILLIPS: All right, Susan Lisovicz, thanks so much.
LISOVICZ: You're welcome.
PHILLIPS: Well, his presidency ends January 20th. And the next day could be a real eye-opener. That's when President Bush finds out how much money he's lost to the tough economy. Time to find out if the blind trust is more like a bear trust. He and the first lady talked about it actually with Larry King.
(BEGIN VIDEO CLIP)
LARRY KING, HOST, "LARRY KING LIVE": You're a couple. You have interests other than just -- you've got a job of running the country, but you're also a family. How has the economy hit you?
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I'm in a blind trust.
KING: So you don't know?
BUSH: So, I can't tell you, but I'm confident it has.
KING: When do you find out? On the 21st?
BUSH: Twenty-first of January.
(LAUGHTER)
KING: When you're in a blind -- that means you don't know what stocks you might own?
BUSH: I have no earthly idea.
KING: And who controls the trust?
BUSH: Northern Trust.
KING: Of Texas.
BUSH: I don't know. Northern Trust is like a big national outfit. Probably came out of -- I met the trustees eight years ago, and I haven't talked to them since.
KING: Does that concern you?
LAURA BUSH, FIRST LADY: Sure. I mean, but that's just a fact of life. When you run for political office, especially when you serve as president, then your holdings are in a blind trust. We knew that. You know, that's something you accept.
(END VIDEO CLIP)
PHILLIPS: Well, the president also says that his actions as president helped blunt the effect that the crisis is having on Americans.
The head of the United Nations, Ban Ki-Moon, is in Egypt, asking that Hamas and Israel stop fighting right now. It's an appeal that seems to be falling on deaf ears.
Militants launched rockets from Lebanon into northern Israel for the second time in a week while Israeli forces hit about 85 targets in Gaza. The death toll among Palestinians has crossed the 1,000 mark, and that's the word from medical sources there. Thirteen Israelis, ten of them soldiers, have been killed.
And the conflict has turned water into gold in Gaza. Desperation for thousands means money for a few. CNN senior international correspondent Ben Wedeman brings us this report.
(BEGIN VIDEOTAPE)
KAMAL MATAR, GAZA WATER VENDOR: (speaking foreign language)
BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice-over): He's made a list, checking it twice. Kamal Matar's list of customers eager to buy his water is long and getting longer.
MATAR: (speaking foreign language)
WEDEMAN: People have been four days without water, he tells one of them on the phone. Be patient. I don't think I can make it today. Three days ago I brought you 500 liters. You know how things are.
Since the Israeli offensive began on December 27th, Gaza has been hit by a severe water shortage. The electricity needed to pump water out of the ground and into the pipes is unrealable (ph) at best. Water mains have been damaged by Israel's bombardment.
The United Nations reports that 500,000 people, a third of the population of Gaza, have no access to running water. The price of 1,000 liters of water, about 250 gallons, has more than doubled from around $7 to as high as $15.
UNIDENTIFIED MALE, WATER VENDOR: (speaking foreign language)
WEDEMAN: My phone doesn't stop ringing, says this water vendor, from 5 in the morning until I go to bed. During the few hours of a day when hostilities ebb, it's a rush to restock, and that includes water.
UNIDENTIFIED MALE: So, I think this is a typical Palestinian home, since at least I would say the Israeli (INAUDIBLE).
WEDEMAN: Even Munzar Shablak (ph), the man who runs Gaza's water company, has to buy from vendors and store it where he can. But for Hassan Hasoun (ph), who owns the plumbing supply store, the chaos has brought opportunity. He's fitted faucets to plastic jerry cans useful when nothing comes out of the tap. Gazans are accustomed to making due in hard times, come hell or no water.
Ben Wedeman, CNN, Jerusalem.
(END VIDEOTAPE)
PHILLIPS: Time now for your e-mails. We asked if you care whether or not Osama Bin Laden is ever captured. Here's what some of you wrote in to us about. Here's what Jon writes: "He's been killing innocent people too long. So, heck, yes, we need to catch or kill him, whatever is the fastest and safest for those in harm's way!"
And Martin writes: "Many people, and I am one of them, have a sneaky suspicion Bin Laden has been dead for a few years now." And Krystal writes: "To me, he's more of a symbol of terrorism. Whether we catch Bin Laden or not, it won't stop terrorism. We should be trying to control it as a whole, not focusing so much on one man who craves attention."
Thanks to all of you for the e-mails. We'll keep reading them throughout the next hour and a half.
Well, bone-chilling temperatures -- protecting yourself in cold weather. What you need to know to keep yourself safe.
And we're also going to check in with college students, some of the favorite ones as they are road-tripping through battle fields of the civil rights movement, some spots such as the grocery store where Emmett Till whistled at a white woman and paid with his life. Well, those days are gone, but they should never be forgotten.
And in the Internet age, many might take surfing the Web and checking e-mail for granted. But some corners of the world have been living without the Web until now. We have the story of one company that's taking places like Rwanda and the Sudan to the edge of discovery.
(BEGIN VIDEOTAPE)
PHILLIPS: Africa, a continent of nearly 1 billion people, but only about 5 percent have Internet access. So for those people in Africa and others in remote areas, O3b Networks has a plan.
GREG WYLER, FOUNDER, 03B NETWORKS LTD.: O3B stands for the other 3 billion who are not on the Internet today.
PHILLIPS: Fiberoptic cables that connect most of the world to the Internet are pretty much non-existent in remote parts of Africa. so, O3b is taking its technology to the sky. The company plans to launch 16 strategically placed satellites into the orbit. As the satellites circle the earth, they will pass Internet signals wirelessly. O3b says by 2010, it hopes to provide inexpensive Internet access to billions of people in remote parts of the world.
WYLER: What O3b is designed to do is to bridge the gap between the rural, the remote, the regional, the metropolitan, the urban areas, to level the playing field so they all have equal access.
PHILLIPS: Wyler says the technology opens up a new world of information, business opportunities and education.
WYLER: Children in these markets can develop applications and tools, just as if they were in the U.S. or Europe.
(BEGIN VIDEOTAPE)
(COMMERCIAL BREAK)
PHILLIPS: All kinds of concerns when it comes to cold weather. I mean, the blizzard conditions, double-digit subfreezing temperatures hitting a lot of us across the U.S.
CHAD MYERS, CNN METEOROLOGIST: You know, it's not going to be above zero for the next 72 hours -- above zero, not above freezing; I mean above zero -- in Minneapolis. Three days.
PHILLIPS: Just in Minneapolis. Wow.
MYERS: Well, Chicago, too, I mean, Green Bay, you've got all these big cities, too. From Madison, Wisconsin, all the way across into Chicago. And then you have all the snow this weekend, this morning. It's like a blizzard out there.
PHILLIPS: I remember living in Green Bay, Wisconsin, and going to the second-coldest Packer game in history next to the Ice Bowl. Let me tell you what, it was miserable. I don't think people that -- the folks that have not lived in that weather, it is unbelievably dangerous if you don't prepare. And you don't know it's happening to you, frostbite, hypothermia, all that kind of stuff.
MYERS: But when you're a kid, you didn't know you're cold.
PHILLIPS: Right.
MYERS: You know, I was in Buffalo when I grew up, until I was 13. I'd never even realized it was cold in Buffalo. I knew there was snow. But, you know, then you get to be an adult, you go, I can't do that anymore.
So, you have to be careful with these kids, too, because they don't know they're cold. They're playing outside. You know, those extreme -- those fingers that are exposed, noses, things like that, it's going to be ugly. And it is ugly out. I mean, some of these wind chill factors right now, Kyra, 40 degrees below zero.
PHILLIPS: Wow. And how can you even use -- and I'm trying to think of an analogy, 40 below zero. How could you compare that so someone would understand how cold that is.
MYERS: Well, there's a song about 40 below but I won't go into that, because this would be my last day on CNN.
PHILLIPS: All right, tell us about the extreme cold, I guess, across the country then.
MYERS: It's something about when you get this wind chill factor, whether it's 10 or whether it's 40 below, it's minutes, it's seconds on how long you can be outside exposed. Ten degrees above zero, you can be out there for a while. Forty below, not many minutes at all. Even literally seconds and your skin could be freezing.
PHILLIPS: Wow. All right, Elizabeth Cohen, we're going to bring you in on this. Our medical guru here. What should we start with, maybe hypothermia?
ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Let's start with frostbite.
PHILLIPS: Frostbite?
COHEN: You know why?
PHILLIPS: OK. All right.
COHEN: I think it's more common.
PHILLIPS: OK. Let's start there.
COHEN: So, let's start with frostbite. And the problem with frostbit is, you don't always know it's happening to you because, well, you're numb. So, you might have to have someone point it out to you. But here is what to keep an eye on. First of all, the parts of the body that you really need to think about are your nose, ears, cheeks, chin, fingers and toes. So, neck up and the toes and the fingers.
First sign is red, painful skin, and then when things get bad it turns white or gray. And then when things get really bad, your skin is kind of firm and waxy, and then finally you are completely numb. So, again, when you're out in this cold, look out for other people because you might not feel it. So, really, travel in groups.
PHILLIPS: Which is what you were saying.
MYERS: And, too, your pets. I mean, you can't leave them -- they feel this frostbite, too. I mean, their paws and their -- and they're feeling 40 below. Your car doesn't, but they feel wind chill.
PHILLIPS: OK, and I've killed my plants. I'm going to throw that in there. Rosebushes, that's a whole other story.
What about hypothermia?
COHEN: OK, let's talk about some of the signs there that someone is setting into hypothermia, which of course can be even more dangerous. Shivering, exhaustion, confusing -- you're confused, you're trying to do something with your hands and you're fumbling around. When things get really bad, somebody starts losing their memory, their speech becomes slurred and they become drowsy.
With infants, and this is important to remember, it's a little bit different. Their skin will get bright red and cold, and they will have very low energy. So, there are two sort of different kinds of things to look out for. And again, look out for each other.
PHILLIPS: And of course you can go to cnn.com, check out your "Empowered Patient" column.
COHEN: That's right. "Empowered Patient" in the cold. Right, absolutely. And you know, something that you have to remember, I mean, obviously, when this happens to you, you want to get warm, you want to get medical attention if you have frostbite or hypothermia.
And you know what you don't want to do? You guys might be disappointed. I don't know either of you well enough. You don't want to drink alcohol.
PHILLIPS: Yes. You know what? That's a good -- not that it always leads back to the, you know, the Packer games in Green Bay, Wisconsin. But how many people think, oh, I'll just take a little nip of this. It will be just fine. It actually makes it worse.
COHEN: It makes it worse. It makes it worse. Your body has a harder time fighting the cold when you have alcohol in you, so don't try that at home.
MYERS: I remember trying to put my hands under hot water, too, when they were -- that's the wrong thing to do.
COHEN: That's also the wrong thing -- or radiators. People put their hands up to radiators. No, not good. Just get into a warm -- you know, your basic inside warm environment. When you go to an extreme like a radiator or hot water, you can actually do damage.
PHILLIPS: Just bundle up to someone nice and cozy. That's why I have you two right here. I never get cold.
Thanks, guys.
Well, you'll either want to fall at somebody's feet or laugh in their face. Love and anti-love potions may be not too far down the pike. Just think of them as a different kind of beer goggles.
(COMMERCIAL BREAK)
PHILLIPS: Well, what the heck was he thinking? A financial manager under investigation allegedly tries to fake his own death by jumping out of an airplane. But he seems to have botched up his plan in all sorts of ways.
Josh Levs is here to take us through all of this. What the -- what was he thinking?
JOSH LEVS, CNN CORRESPONDENT: What was he thinking? There is so much to say, what the -- about on this one.
I mean, let's give you the basics. Marcus Schrenker, first of all, he's under investigation for possible securities violations. He was served a warrant just a couple of weeks ago. And he is an experienced pilot and he owns two planes. There's video of him here doing air acrobatics that you can see it on Youtube.
So, zoom in the map here. I want to show you something. He gets in his plane here in Indiana, right. He takes off; it's a plane that he owns. While he's over Alabama he tells air traffic control that his windshield has imploded and that he's bleeding profusely.
Authorities say he actually jumped out of a parachute here, and they say that he put the aircraft on auto pilot, which they can tell. So they sent military jets up to the skies, as well. They see that his cockpit door is open and that no one is inside.
And then the really serious part, I want to zoom down here so you can see what happened over to East Milton, Florida, rather over here. This is the really serious part, Kyra. The plane landed 50 to 75 yards from private homes there.
PHILLIPS: Authorities believe that he may have expected that plane to land in the Gulf. Oh, gee, a sensitive criminal. Isn't that nice. He really didn't mean to land it in a certain spot.
LEVS: Alleged criminal. But I totally hear what you're saying. Look...
PHILLIPS: Oh, he got the alleged in there. Sorry. OK.
LEVS: (CROSSTALK) Apparently by leaving the cockpit door open, he created some drag, so it landed sooner than it may have. Let's go show you some video of the crash.
I mean, here's the thing. Let's just imagine for a second, Kyra, that this aircraft had actually made it to the Gulf. Authorities would still have checked it out. And it's quite possible they could still tell that there was no blood and no imploded windshield.
Plus, he's under investigation. They would have suspected that he jumped. And then they would have released his photo. And people who saw him on the ground there in Alabama could have reported it anyway.
PHILLIPS: Do I have to say alleged idiot? (LAUGHTER) Oh, I'm sorry. Should I move on? All right. There's even more that doesn't fit, right?
LEVS: There's even more that doesn't fit. Authorities say when he jumped out in Alabama, he told people he had been in a canoeing accident but that he was only wet from the knees down. And then he had flying goggles with him.
And then he apparently he fled into the woods. It is really sad. Authorities say he apparently tried suicide. I'll tell you, there's so much we don't know. But the one -- number one thing we all want to know is, what was he thinking? We have no idea.
PHILLIPS: All right. Apparently I'm just now getting this fax in, Josh. It's the attorney representing Michelle Schrenker, the wife. OK. And I'm just kind of trying to go -- it says here, Michelle first contacted me this past summer to discuss a divorce from her husband. The pilot that we're talking about. Because he was having an affair. At the time she wanted to work on reconciliation with her husband. However, he continued his affair and as a result, she filed a petition to the marriage. I'm trying to go on here.
LEVS: A lot was going wrong in his life.
(CROSSTALK)
PHILLIPS: We've got infidelity, accusations of that. Also investment fraud. She had learned about these allegations when the police and investigators came to her door to search her home. To Michelle's dismay, at the time her home was being searched, Marcus was in Florida with his girlfriend. Oh boy, here we go.
Clearly Michelle and her three young children -- OK, they've got three young children. The lawyer is saying they're victims of the man's deceitfulness, as well. She's not guilty of anything other than trusting her husband of 13 years.
OK, boy, this is getting a lot -- this is like a made-for-TV movie, I think.
LEVS: It is; it's incredible. Let me just emphasize, we have tried everything possible to reach him to get a statement from him. Starting that day, even before we could report that his name, because we were told he might be dead and that his family might not have been informed.
We were trying to reach him, and if he's out there, contact us, we would love to hear your side all of this, where you're coming from in all this, and what your story is behind this plane ultimately landing 50 to 75 yards, Kyra, from people's private homes in the middle of the night.
PHILLIPS: That's not good. All right, Josh, thanks.
LEVS: Well put. Thanks.
PHILLIPS: Well, here's the next story in our "What The" file. A California woman who must be very sheltered since she's clearly never heard of student loans.
The 22-year-old wants to auction off her virginity to pay for grad school, and she says the bidding has reached $3.7 million. I want to know who's making these bids. By the way, she got the idea from her enterprising sister who did a little stint as a hooker to pay for school.
All right, from a psychologist's field day to a neuroscientist's field work, an Emory professor's just written about the biochemical components of love. And he predicts a love potion may not be far off. But get this. He says an anti-love potion is possible as well. It's not clear which of those might help lower divorce rates, though. Well, they can't vote for a few more years, but they can ask questions right now. America's future asking the president-elect how he'll help shape tomorrow.
(COMMERCIAL BREAK)
PHILLIPS: From the mouth of babes comes some pretty grown-up questions. Kids who are years away from voting age want some answers about the Iraq war. We asked them to read their letters to the president-elect.
(BEGIN VIDEOTAPE)
UNIDENTIFIED MALE: Dear President-elect Obama --
UNIDENTIFIED FEMALE: Dear Mr. Obama --
UNIDENTIFIED MALE: Dear President-elect Obama --
DANIEL, 5TH GRADE: There are many things I would like you to consider as the 44th president, but the war in Iraq is irking me the most. Doesn't it bother you?
PAUL, 3RD GRADE: I want the Iraq war to stop, too, because people don't like war.
ARELY, 5TH GRADE: I think you'll be a good president because you will try to stop the war.
NICOLE, 3RD GRADE: I would love for you to make the war with Iraq go away because I don't want all of the soldiers to die in the war.
DANIEL: The saddest thing about the war is that the innocent Iraqi citizens have to flee their homes in fear of injury, or worse, death.
SEAN, 3RD GRADE: Can you please stop it? Are there any ways to stop the war?
CHRISTOPHER, 3RD GRADE: In Iraq, I think yoyu should start withdrawing troops immediately.
CYNTHIA, 5TH GRADE: You were going to bring back the soldiers from Iraq.
DANIEL, 5TH GRADE: If the Iraqi citizens want a dictator, they will elect a dictator, which hopefully is unlike the last one, terrible.
MOLLY, 3RD GRADE: Please help the Middle East war come to an end. I hope you can because I care about the soldiers.
CYNTHIA: My friend's dad is in Iraq. She really wants him back, and she will have back thanks to you.
ALEX, 3RD GRADE: I wish that you will be happy in your four-year term and stop all wars in the world.
DANIEL: I hope you consider this message from a student 11 years old at Carpenter Avenue Elementary School (ph). Sincerely, Daniel Meningez (ph).
MOLLY: Sincerely, Molly Thornton Johnson.
ALEX: Sincerely, Alex.
CYNTHIA: Congratulations on being our new elected president. Yay! Love, Cynthia Lopez.
(APPLAUSE)
