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President Obama Back on the Road to Sign Stimulus Bill in Denver; Carmakers Face Deadline for Repayment Plan; Ill. Republicans Seek Perjury Investigation of Burris; NIU Families Reflect on Shooting-Rampage Deaths; Texas Residents Report Bizarre Fireball Crashing from Sky

Aired February 16, 2009 - 10:00   ET

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

HEIDI COLLINS, CNN ANCHOR: Your money, his top priority. This morning he's heading back to Washington to confront the sinking economy. And tomorrow, he's back on the road, of course. Talking about the president here in Denver. He'll sign the stimulus package into law. Tomorrow is also a key deadline for troubled automakers, GM and Chrysler will have to show how they plan to repay billions of dollars in bailout money. The White House bracing for them to request even more money.

A big week and billions of your dollars are at stake. Let's take a closer look now, CNN White House correspondent Suzanne Malveaux is traveling with the president and joins us this morning from Chicago. Good morning to you once again Suzanne.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Good morning, Heidi. Obviously the Obama administration looking very closely at what GM and Chrysler are going to be announcing tomorrow but they do expect that they'll perhaps ask for more money and already they've got to come up with some sort of plan of how to pay back our taxpayer dollars, billions and billions that was in the form of loans to these companies. So what the Obama administration is doing is setting up a presidential task force they say to work with these automakers over the next couple of weeks.

It's not going to be set up like a car czar as initially they had conceptualized, but rather it's going to be an inner agency task force that is going to be working with them. It's going to be headed by the treasury secretary Tim Geithner as well as a top economic adviser for the president Larry Summers, and they expect some results in the next couple of weeks. That's when they will give their own report about how these automakers are doing. All of this, Heidi, as you know part of the president's priority in focusing on the economy.

(BEGIN VIDEOTAPE)

MALVEAUX (voice-over): President Obama hits the road, first to Denver on Tuesday to sign the $787 billion economic stimulus legislation. The point, to put the president in front of real people to convince them the jobs will eventually return.

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: Things have not yet bottomed out. They're probably going to get worse before they improve, but this is a big step forward toward making that improvement and putting people back to work.

MALVEAUX: Not everyone is buying that. Only three Republican senators supported the massive stimulus plan. And despite the president's outreach to republicans, Mr. Obama's former rival John McCain is giving him bad marks.

SEN. JOHN MCCAIN (R), ARIZONA: I'm not happy and most of us aren't at the lack of true bipartisanship in approaching this legislation.

MALVEAUX: Wednesday, Mr. Obama is heading to McCain's home state of Arizona to lay out his plan to address the housing crisis. McCain will be in Arizona that day, but says he's made other previous plans. The state has the third highest home foreclosure rate in the country. The administration's housing plan is aimed at stemming foreclosures and driving down mortgage rates.

MCCAIN: We got to get back to stabilizing the housing crisis, buy up these bad mortgages, give it to people that can afford the housing so they can stay in their homes.

MALVEAUX: Also on the president's urgent agenda, filling two cabinet positions recently rocked by scandal. Aides say that's going to take some time.

DAVID AXELROD, SENIOR WHITE HOUSE ADVISER: Choosing cabinet members isn't like American Idol. You don't throw contestants out there and let the American people vote.

(END OF VIDEOTAPE)

MALVEAUX: Well, Heidi, all kidding aside, aides say that the vetting process will continue in the weeks to come. Also on the president's agenda this week on Thursday, it's his first international trip, simply to neighboring Canada, but obviously a lot of important issues that link it to the economic situation here, we're talking about trade, the environment, as well as energy. Heidi?

COLLINS: Yeah, and tell us a little bit more, Suzanne, about Obama's weekend in Chicago. What went on there?

MALVEAUX: Oh, well, a lot of it was, you know, family time. We saw actually the first couple leaving a restaurant, Table 52 it's called, popular restaurant for Valentine's Day, a romantic dinner. The president had a little bit of down time, had a chance to play a pick-up basketball game with some friends, he also watched the all star game with some friends, as well. Got his haircut at the local barber that he's been using for years and years. A little time to spend with the family to relax a little bit, rejuvenate before this very, very busy week. Heidi?

COLLINS: All right, very good. Suzanne Malveaux for us live from Chicago this morning, thanks.

Motor city meltdown after billions of dollars in bailout money. Are U.S. automakers on the road to recovery or ruin? The inside track in just a few minutes.

The bank rescue plan. It bombed on Wall Street, but is receiving a warmer welcome abroad. Over the weekend Treasury Secretary Timothy Geithner unveiled details to the major industrial countries known as the group of seven. They voiced support for the $2.5 trillion package. Last week, investors sent stocks plunging after a lack of specifics failed to bolster confidence.

Let's see how your money is faring in the markets. Obviously the U.S. market's not open today, but trading did fall across Asia. After new figures show Japan's economy is sinking deeper into recession. Markets in Europe opened down and have mostly stayed there. Of course, no trading in the U.S. today because Wall Street closed for the presidents day holiday.

Illinois Senator Roland Burris facing calls for a perjury investigation from state Republicans. The Democrat now admits he was asked to give money to former Governor Rod Blagojevich's campaign. Burris says he refused but he did not mention it at the governor's impeachment hearing. The senator says he did nothing wrong, but the state republicans aren't satisfied.

(BEGIN VIDEO CLIP)

REP. JIM DURKIN (R), ILLINOIS GEN. ASSEMBLY: It's very disturbing, and it's very sad that we're still continuing on with this matter. But the fact is, Mr. Burris not only swore under oath before the committee that he would tell the truth, but he submitted two affidavits to this committee and each one of them is inconsistent with the other.

SEN. ROLAND BURRIS (D), ILLINOIS: Read the record and you will see that what we are saying, there is no type of any type of hiding or trying to slip something by somebody. It's completely honest, completely forthright, and it certainly is the truth.

(END OF VIDEO CLIP)

COLLINS: Blagojevich was accused of trying to sell President Obama's old senate seat. He appointed Burris to it before he was removed from office.

It's been more than three months. So how much longer will the fight over Minnesota's open senate seat go on? The trial starts back up this afternoon. A recount put democrat Al Franken ahead, but republican Norm Coleman is suing to have more absentee ballots counted. On Friday, the judge put limits on which rejected ballots will actually count.

We are hearing more about the final moments on board Continental flight 3407 before it went down. Data from the plane's flight data recorder paints a frightening picture. CNN's senior correspondent Allan Chernoff is live at the scene in Buffalo now with more on this. Good morning to you once again, Allan.

ALLAN CHERNOFF, CNN SENIOR CORRESPONDENT: Good morning, Heidi. And the focus here regarding the investigation really is looking at this question of icing and the fact that the pilots did have the plane engaged in autopilot as they did approach the Buffalo airport. The pilots were told that conditions here in Buffalo were light to moderate in terms of icing. As a precautionary measure, they put the deicer on 11 minutes after takeoff from Newark Airport. Now, the question is, should the plane have been in autopilot? Some veteran pilots are saying, when there's any chance of ice, it's better to be flying manually.

(BEGIN VIDEO CLIP)

JOHN LUCICH, LICENSED COMMERCIAL PILOT: When an airplane's on autopilot, the pilot sometimes gets a sense that the airplane's more stable than that, OK. The problem is, though, the pilot does not get to feel what's going on with the airplane.

(END OF VIDEO CLIP)

CHERNOFF: Now the NTSB board member here Steve Chealander is saying that it is standard operating procedure to use autopilot in such situations.

(BEGIN VIDEO CLIP)

STEVE CHEALANDER, NTSB: Is that normal to be flying on autopilot when you're coming into a weather situation? And the answer I gave was yes, because it is normal and you're encouraged to use the autopilot to help you with the work loads of these intense, high intense weather situations that we fly into all the time.

(END OF VIDEO CLIP)

CHERNOFF: The NTSB has given a recommendation to the FAA that when you do have severe icing, it is better to be flying manually, but in this situation thus far, the NTSB is saying that the conditions were not severe, particularly for Buffalo where, obviously, the temperature during the winter is fairly cold. So, Heidi, that's what we know right now. This debate is going to continue. This right now is the focus of the investigation as to why 3407 had such a horrific crash landing. Heidi?

COLLINS: And when you say that, part of the reason why we know that now is because of the data that was taken from the flight data recorder in those final minutes of the flight. Just must have been terrifying for the people on board.

CHERNOFF: Absolutely, horrifying. The flight data recorder tells us that as the wing flaps were extended -- and keep in mind, when you extend those wing flaps, the whole idea is to retain lift for the aircraft as the plane is slowing down so it can land. But when that happened, the nose of the plane flipped up 31 degrees and then pitched down 45 degrees. And the wings were just rolling dramatically to the left 46 degrees and then all of a sudden to the right 105 degrees, that's beyond vertical. Inside the cabin, the passengers were forced down by twice the normal force of gravity. Horrifying final seconds of that flight. Heidi? COLLINS: I just hate to think about it. Allan Chernoff, thanks so much, keep us posted on the investigation. Appreciate that.

Now to skiers in California. They are rejoicing in the snow after the state got slammed with it over the weekend. The Sierra Nevada Mountains got hit with about 3 inches with more snow showers expected later today. A different story though on the highways. Take a look at what it was like out in Frazier Park yesterday. They've gotten about 5 inches so far. Officials are warning drivers about the low visibility.

(WEATHER REPORT)

COLLINS: It is the photo of the day. And it's got a lot of people asking what came crashing down from the sky in Texas? Well, one guy captured it on videotape during a marathon in Texas yesterday.

(BEGIN VIDEO CLIP)

ERIKA HERRERA, DAUGHTER: He told me, look up at the sky, and I'm like there's nothing there. It was a ball of fire, when I looked up in the sky, there was nothing there already.

UNIDENTIFIED MALE: Did you believe it?

HERRERA: No, I didn't at first.

(END OF VIDEO CLIP)

COLLINS: Huh. The FAA thought the object may have been debris falling from two colliding satellites that after thoroughly searching the area, they say they have no idea what it was.

Well, you've seen the video, now meet the man behind the lens. Eddie Garcia the news photographer who took the shot. He tries to explain what he saw coming up right here on CNN NEWSROOM at 10:30 Eastern time.

Bailing out the automakers. A deadline looms, uncertainty though, lingers. Have billions of dollars of your money been wasted?

(COMMERCIAL BREAK)

COLLINS: Bailing out the automakers, GM and Chrysler have until tomorrow to show how they can repay billions of dollars of your money. The White House is bracing for bad news. They might want more. And you may pay the price. Joining us now, someone with the inside track, Neal Boudette is the Detroit bureau chief for the "Wall Street Journal." Neal, thanks for being with us.

NEAL BOUDETTE, DETROIT BUREAU CHIEF, "THE WALL STREET JOURNAL": Glad to be here, Heidi.

COLLINS: Great, well they decided no car czar, they're going to do this task force thing instead. What do you make of that? BOUDETTE: Well, I think overall, it's good news because GM and Chrysler, the two automakers that needed a car czar now have an answer. They're restructuring has been held up by this. They've been trying to negotiate with the union for cost cuts and to negotiate with bond holders to reduce their debt, and without a car czar, the talks were really kind of in limbo. So this, at least, gives them an answer to move forward. It's uncertain because nobody expected this, but at least they can move forward now.

COLLINS: Well, to me, you kind of have three different entities in all of this. You, of course, have the CEOs or the companies themselves, then you have the UAW, the workers themselves, and then you have the consumer, the American people. Last I heard and read, we've kind of got the union over here and the company over here. So they're not even on the same page yet. How are they going to try to get this altogether and make it make sense for the people who are paying for it by tomorrow?

BOUDETTE: Well, I think the Obama administration now because they have a task force has to put pressure on all of the parties involved. That means the automakers, the union, the bond holders, the dealers, suppliers, all to come to the party and all to give some concessions here to get these two automakers, GM and Chrysler, into a position where they're on a path back to recovery. Without a car czar, it was really up in the air who was going to do it. I think now you'll see Treasury Secretary Geithner speaking out more publicly about the auto industry and putting pressure on all of these parties to make some progress.

COLLINS: Yeah, we're talking about $17.5 billion, I mean, that they have already received. Of course, everybody wants to know not only how they're spending it, but how they're going to be able to pay it back because we don't even really know if it's going to save them or not. In fact, listen to this from David Axelrod over the weekend, obviously senior adviser to President Obama. Take a listen.

(BEGIN VIDEO CLIP)

DAVID AXELROD, SENIOR WHITE HOUSE ADVISER: We're going to need a major restructuring of these companies. How that restructuring comes is something that has to be determined. But it's going to be something that's going to require sacrifice, not just from the autoworkers, but also from creditors, from shareholders, and the executives who run the company. And everyone's going to have to get together here to build companies that can compete in the future.

(END OF VIDEO CLIP)

COLLINS: Axelrod said on another network, Neal, that the U.S. needs a thriving auto industry. Why?

BOUDETTE: Well, you've got to remember that the auto industry isn't just Detroit. There are foreign automakers here with 20 plants in the U.S. that are hiring Americans and paying good wages. But it's really the U.S. piece of it, U.S.-owned piece of it that's in worse shape. But that employs a lot of people. GM, Ford, and Chrysler altogether plus their suppliers, you're talking over 1 million people.

COLLINS: Well, it does, and we certainly don't want to be insensitive to all of those workers, clearly. But when are Americans going to buy the product?

BOUDETTE: Well, I think they are. It's not that they're not selling cars, they just have way too many plants for the number of vehicles that they are selling now, and they need to downsize, they need to close a lot of dealers, close a bunch of plants, and if they can get down to a size that's supported by the number of vehicles they're selling, they'll do fine. Remember, Chrysler, the smallest of the three sells about 1 million vehicles a year. You could make money on that if you get your costs and your structure in line.

COLLINS: All right. We will be watching closely, obviously, again that deadline is tomorrow. Neal Boudette, Wall Street Journal's Detroit bureau chief. Thank you, Neal.

BOUDETTE: My pleasure.

COLLINS: The peanut processing company at the heart of the salmonella outbreak files for bankruptcy. So what now for consumer safety and the victims?

(COMMERCIAL BREAK)

COLLINS: Most of us have been there. Travel plans gone wrong, a flight canceled or maybe even a missed flight. Maybe you have actually felt like doing this.

(VIDEO CLIP -- WOMAN SCREAMING)

COLLINS: I'm sorry, but I really feel her pain. I've been able to contain myself, though, at times like this. And it goes on. The woman lost it after being told she missed her flight from Hong Kong to San Francisco. An airline spokeswoman says the woman got on another flight just a few hours later, but by then, this video had been seen around the world on YouTube.

Peanut Corporation of America, the company under a federal investigation linked to the salmonella outbreak filed for bankruptcy on Friday. Bacteria found in the peanut plant is linked now to 600 cases of salmonella, including nine deaths. The company's Texas plant was also shut down after investigators found more possibly contaminated products. Senior medical correspondent Elizabeth Cohen joining us now for a bit of an update here. So, what does this actually mean when a company like this files for bankruptcy? Because obviously these cases are pending and there have been nine deaths.

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Right, exactly. You can imagine some of these families have been thinking they want to sue and collect damages from this company. Definitely the bankruptcy makes it more complicated, but it doesn't mean that these families are completely out of luck. We were reading a blog by a lawyer named Bill Maller (ph), he's a leading products liability lawyer, and he said, look, there is tens of millions of dollars of insurance that PCA had taken out that may be possible for the victims to reach. Also, these foods -- these peanuts were sold to some pretty major food companies and put into those products. So let's say the peanuts were put into, I'm just throwing one out there, a trail mix that was made by another company, the families might be able to sue the company that makes the trail mix. So there are some avenues for these families still despite the bankruptcy.

COLLINS: Then it goes back to, again, you're medical, not legal. But then it goes back to what did that company know about the tainted peanuts?

COHEN: It's complicated. No question this will be going on for years.

COLLINS: Maybe it'd be worth updating everybody on the numbers of people affected. And also, what products we're still talking about.

COHEN: So let's take a look first at the number of people who have become sick or who have died from products linked to the Peanut Corporation of America. There have thus far been 637 illnesses in 44 states and in Canada, just one in Canada. And also nine deaths connected to this salmonella outbreak. And Heidi just asked about what's safe and what's not. Let's take a look at what's safe and what's not.

More than 2,200 items have been recalled by the -- listed on the Food and Drug Administration's Web site. If you want to see a list of those, go to cnnhealth.com, look under top stories, we have a link to the whole list. Obviously I can't read it here now. Also, this is so important to remember. Jarred peanut butter, the stuff that you buy in the supermarket, that you make your peanut butter and jelly sandwiches with, those are ok.

COLLINS: Yeah.

COHEN: And those sales have plummeted when really they have nothing to do with PCA, they're OK.

COLLINS: Yeah, people get scared though. And this is what happens. So I'm glad you said that. Elizabeth Cohen, thank you.

Wind, rain, and possible flooding. California being hit with what could be the biggest storm of the season. We're tracking it to see which states might be affected next.

(COMMERCIAL BREAK)

COLLINS: Powder up to their waist. A string of storms delivers up to 6 feet of snow to the ski resorts in northern California. Skiers and snowboarders taking advantage of what's described as the best ski conditions of the year. And as you can see from these pictures, you're better off on the slopes than on the roads. Yikes. Yeah, it is really a skier's dream that's for sure. Rob Marciano joining me now from the severe weather center. You've been tracking this thing. They're going to get more? (WEATHER REPORT)

COLLINS: General Motors and Chrysler, they took your money and now, they have to give some answers. Tomorrow is the deadline for the automakers to detail how they will repay the government loan. And also tomorrow, President Obama is expected to sign the stimulus bill into law. He's going to finalize his hard-fought battle in Denver where he plans to speak about his plan to revive the sinking economy.

The stimulus package, what exactly is in it for you? Some items could put cash back in your pocket. Here to break it all down with us, CNN Business Correspondent Stephanie Elam.

Stephanie, good morning.

STEPHANIE ELAM, CNN BUSINESS CORRESPONDENT: Good morning, Heidi.

We figured we'd break it down and show you in a pie chart so you can see where all of this money is going; $787 billion is a lot of money to digest.

So let's start off there with 39 percent of the pie, which is $308 billion, that's going to be for discretionary spending. And that will include things like $30 billion on energy-related infrastructure projects. Then 34 percent of this pie, $267 billion in direct aid will include increased unemployment benefits and food stamps. And then 27 percent, that last little triangle there, $212 billion in tax relief, mainly for individuals, but some businesses will also benefit from that.

Now, obviously, people hear these numbers and want to know, what exactly is in these numbers for me? So we have a few things here that will apply to the average American, starting off with up to $400 credit per worker. Now, if you're a dual-earning couple, that's $800. You'll get the full amount if you make $75,000 or less as an individual or $150,000 or less for a couple. And then you'll get a partial credit for those making a little bit more up to the level of $100,000 is your income for the year and $200,000 for couples.

Now, moving on from there to the alternative minimum tax patch, you may have heard it called the AMT. There's going to be a one-year provision to protect middle and upper-middle income families from being hit with this tax. So it's really designed to keep rich people from finding loopholes and not paying their taxes. Except for it's never adjusted for inflation, and therefore, a lot more people are getting slammed with it.

Then there's a temporary expansion of the child tax credit, it lowers the income threshold that must be met with the credit to be refundable.

And incentives for home buyers and car buyers. If you're buying a home, there'll be a credit of now $8,000, up from $7,500. And also it removes the rule that credit be paid back if the buyer stays within the house for at least three years. And if you buy a car, it could be a motorcycle, even, you'll get a tax credit there, you can deduct state and local taxes based on your income.

And for higher education, there's another tax credit there. It's in effect for 2009 and '10, it expands from $2,500 from $1,800. So, obviously, some more numbers there. If you're looking to go to school, buy a house, a car, some benefits in there, if you do it this year, Heidi.

COLLINS: Yes, and that's just the $787 billion. When you add the interest, I guess we're over a trillion. Nobody really has that number.

ELAM: No one really has that number there.

COLLINS: Quite yet.

ELAM: It's a very, very large number. It's a number that's really hard to digest.

COLLINS: Yes, no question.

All right, Stephanie appreciate it, thank you.

ELAM: Thanks.

COLLINS: Twenty-eight days into the Obama presidency and the honeymoon appears over on Capitol Hill, at least in regards to the arranged marriage of those Republican lawmakers. They're angry about the size and details of the stimulus package. And what they say are broken promises from the president.

(BEGIN VIDEO CLIP)

SEN. LINDSEY GRAHAM (R), SOUTH CAROLINA: There's nothing about this process that's been bipartisan. This is not change we can believe in. You rammed it through the House, you started out with the idea of, "We won, we write the bill."

SEN. JOHN MCCAIN (R), ARIZONA: Candidate Obama said that these conferences would be open to the public, said that the American people would have five days to view it on the Internet. There was commitments made that are certainly not being kept now. And maybe it's all because of their sense of emergency, but it's not what they said they were going to do.

(END VIDEO CLIP)

COLLINS: The White House says President Obama has reached out repeatedly to Republican lawmakers and has taken, "unprecedented steps" to include them.

Former President Bill Clinton agrees. He's taking Republicans to task for refusing to embrace the stimulus plan. Here's what he told CNN's John Roberts in an exclusive interview.

(BEGIN VIDEO CLIP) JOHN ROBERTS, CNN CORRESPONDENT: What do you think of the job that President Obama did on this? And is he -- does he, in fact, have the experience necessary to be a good president, reach across party lines and craft a bipartisan bill?

BILL CLINTON, FORMER PRESIDENT OF THE UNITED STATES: Well, first of all, he has reached across and it takes two to tango. I find it amazing that the Republicans who doubled the debt of the country in eight years and produced no new jobs doing it, gave us an economic record that was totally bereft of any productive results, are now criticizing him for spending money.

You know, I'm a fiscal conservative. I balanced the budget, I ran surpluses. If I were in his position today, I'd be doing what he's doing. Why? Because the problem with the economy is the housing decline led to the general decline in values. Assets are going down. The only - this stimulus is our bridge over troubled waters till the bank reforms kicked in. He did the right thing. He did everything he could to get Republican support. He took some of their tax cutting ideas.

But if you look at this bill, it is designed to do three things and it does all three. It puts money in the hands of people who need money to survive; unemployment benefits, food stamp benefits, tax cuts. Second thing it does is to give money to state and local government so they don't have to lay a million people off or raise taxes; either one would be bad for the economy. The third thing it does is create new jobs. And I think, given the Congress he had and the environment and the speed which they had to move, I think he did a fine job with this.

(END VIDEO CLIP)

COLLINS: You can hear more from former President Clinton when he drops in on Larry King tomorrow night at 9:00 Eastern right here on CNN.

A $14 billion tax increase? Where California's State Republicans stand in this tough debate.

(COMMERCIAL BREAK)

COLLINS: California's lawmakers are still in gridlock over that $14 billion tax increase the state wants. State Senate Republicans are blocking it, saying the whole deal was put together in secret. But Assembly Democrats are prepared to push it through.

(BEGIN VIDEO CLIP)

REP. KAREN BASS, CALIFORNIA STATE ASSEMBLY SPEAKER: This is a budget that is painful. I am proud of the fact that we are solving a $41 billion problem. I'm proud of that. But to say that I'm happy about everything in the budget, I mean, how could I be happy about cutting education?

(END VIDEO CLIP) COLLINS: The massive tax increase is a key part of the state's effort to tackle its $42 billion budget deficit.

Every business has to start somewhere, of course, but money is so tight, even the smallest fans can't get the cash they need. That's why some people in America are looking to third world ideas for help.

CNN's Susan Lisovicz explains.

(BEGIN VIDEOTAPE)

SUSAN LISOVICZ, CNN CORRESPONDENT: Mary Carrera (ph) doesn't have a credit history, collateral, or even a social security number, but she still got a loan to expand her business during the worst economic downturn in recent history, when many banks won't lend to the most qualified borrowers. Her bank, Grameen America. Carrera (ph) says she found Grameen Bank through a friend who invited her to attend a meeting. So far, she's borrowed $6,000 to start selling shoes in her beauty salon.

Grameen is the famous "poor people's bank," making small loans to impoverished individuals so they can start businesses. It started in Bangladesh 25 years ago to serve the poor there and now it has come to the richest country on earth.

MUHAMMAD YUNUS, GRAMEEN BANK FOUNDER: What we do in Bangladesh, in the villages of Bangladesh, we do exactly the same thing in the New York City. And it works as beautifully as it is done in Bangladesh.

LISOVICZ: Grameen America came to the New York City borough of Queens just over a year ago. It makes small loans, averaging just 2$,200. Muhammad Yunus, the man who founded Grameen and won the Nobel Peace Prize for this efforts says poor people in America need micro- lending just as much as those in third world countries.

YUNUS: You have how many people out on the list of welfare. So all these people are legitimate candidates for financial services. If you can bring financial services, they can create their own jobs, self-employment, create income for themselves and gradually come out of welfare.

LISOVICZ (on camera): While banks here on Wall Street are buckling because of bad loans, Grameen America report a remarkable 99 percent repayment rate. Grameen doesn't require collateral or high credit scores, but does demand accountability. Grameen gets to know its clients and creates a lending community for them.

(voice-over): The borrowers, all of them women, meet in small groups once a week. They make payments on their loans and talk about what they're doing in their businesses, and they encourage each other to keep paying.

ALEHIA MENDEZ, GRAMEEN AMERICA CENTER MANAGER: These women all kind of support each other. Not to say they don't fall, not to say that things don't happen, problems don't exist. But what these members do is they all support each other and, you know, give a helping hand.

LISOVICZ: Mary Carrera (ph) says she hopes more women will take advantage of what Grameen offers - using a loan to start business and pull themselves from poverty. And as she says, it's the chance to live out your dream.

Susan Lisovicz, CNN, New York.

(END VIDEOTAPE)

COLLINS: Well, here's the man now behind the picture that everyone's talking about. Eddie Garcia took a picture of what looked like a fireball in Texas as it crashed to the ground. He's joining us now live from Austin.

Eddie, good morning to you. So, what the heck did you see in the sky?

EDDIE GARCIA, NEWS PHOTOGRAPHER: Well, I didn't -- I don't know what I saw in the sky. It was something burning and falling really fast.

COLLINS: Really?

GARCIA: Yes.

COLLINS: Are you the only one who saw it?

GARCIA: I think -- I mean, where I was at the time, yes. I remember shooting it and wondering what I shot and then looking around and seeing if anyone saw it with me. And everyone was just focused on that marathon we were shooting at the time.

COLLINS: OK, so that's what you were doing. I'm just sort of explaining to everybody why they're seeing people running in the video that we're showing. There was a marathon going on, you were working on that. And then you just looked up and noticed - how would you actually describe it? Because we're looking at the shot right now and it's kind of hard to see because obviously we weren't there.

GARCIA: Well, I mean, we were - I was shooting it at the time, and at the time you kind of look I'm looking in the view finder and I see just something flying through the sky. And it kind of looks like it could be dust, it could be something. And then I look up, and no, it was something burning in the sky. And you know, this is something that you see at night clearly during a meteor shower or something like, but you don't see something like that during the day.

COLLINS: So what -- the station that you work for, News 8 in Austin, what did they do with the story? Did you guys investigate further?

GARCIA: We did. I mean, first, it was just, let's call and find out what this is and ...

COLLINS: Who did you call? GARCIA: ... before -- well, you know, we called the officials, the local officials. But more than that, we get calls from other people, just citizens who saw the thing. And you know, we heard reports from hundreds and hundreds of speculations of what it could possibly be.

COLLINS: OK, so there were other people who saw it, but you were the only one who was able to capture it, at least that we know of, on video. Because obviously there were some people who were trying to make a link between what was found in the sky, what was seen apparently in the sky there between that collision between the satellites. There was a Russian satellite and the U.S. satellite that sort of crashed a bit. And strategic command says, no, not the case.

Did you get those same reports?

GARCIA: We have no idea. You know, I have no idea what it is or what it can be. All -- I'm just grateful I got a shot of it and hopefully that'll help.

COLLINS: Has anybody asked for your video? By way of federal authorities or anything?

GARCIA: I believe I just got told that maybe NASA called, which would be really...

COLLINS: Really, NASA wants it, huh?

GARCIA: Yes. Yes.

COLLINS: OK, well we're going to follow up with you, especially if it turns into something that we should all know about.

All right, Eddie Garcia, sure do appreciate it. Thank you.

GARCIA: Thank you.

COLLINS: An anniversary of pain and terror -- a killing spree on a college campus. One year later, parents relive the tragedy in a Special Investigations Unit report.

(COMMERCIAL BREAK)

COLLINS: Quickly just want to show you some pictures we are getting in now live to the CNN NEWSROOM here.

We see President Barack Obama getting ready to get on board Air Force One there. He is leaving Chicago, so O'Hare airport, heading back home to the White House. He spent the weekend there, as we heard from Suzanne Malveaux. Spent some time with family and celebrated Valentine's Day and so forth with his wife and daughters who have already gotten into the aircraft. So, again, he'll be heading back to the White House and then departing tomorrow right away for Denver as we've been hearing that he's going to go there to sign that stimulus bill. So we will continue to follow his movements, of course, and bring them to you as they happen. President Obama leaving Chicago, heading back to Washington.

One year ago, five students were killed in a shooting rampage on the campus of Northern Illinois University. Now, our special investigations unit is returning to the campus and talking with the families still struggling with their losses.

Here's Abbie Boudreau.

(BEGIN VIDEOTAPE)

ABBIE BOUDREAU, CNN SPECIAL INVESTIGATIONS UNIT (voice-over): He says he thought he was giving his daughter good advice.

ERIC MACE, FATHER OF NIU SHOOTING VICTIM: What I want you to do is I'd like you to sit in the front row of every class that you're in.

BOUDREAU: So 19-year-old Ryanne Mace took her father's advice. Now he wishes she hadn't.

E. MACE: She was, from what I understand, in the front row of that room. And was probably the first one that had shots fired at her. If I would have said always sit at the back of the room so that you can get out of there and get to your next class fast, it might have saved her life. And it's not an easy thing to carry.

MARYKAY (PH) MACE, MOTHER OF NIU SHOOTING VICTIM: Someone keeps tying purple ribbons. Purple was her favorite color.

BOUDREAU: This tree was planted in her memory on NIU's campus.

(on camera): So she would have been 20.

M. MACE: Couple months shy.

E. MACE: Missed it by a couple of months.

BOUDREAU (voice-over): Ryanne was one of the five NIU students killed that day.

E. MACE: We don't have a headstone for her. And that's kind of what this is.

BOUDREAU: She was Eric and MaryKay (ph) Mace's only child.

M. MACE: It's difficult. There's an ache, a loneliness, and a longing. We're going to miss her every day for the rest of our lives.

E. MACE: I go to bed thinking about her, I wake up in the morning thinking about her. Any time that I've got a free moment, it'll pop up.

BOUDREAU: Her parents say they would like to know more about the police investigation into the shooting and about Steven Kazmierczak's mental illness and the medication he was taking. They also question why Kazmierczak, who had a lengthy history of health problems going back to his childhood, was legally able to buy guns.

UNIDENTIFIED FEMALE: Somewhere along the line, the pertinent information didn't get into the right database, and he could waltz out of a store with a legally purchased weapon. And I don't get that.

BOUDREAU: He was able to purchase guns in Illinois because more than five years had passed since he was treated voluntarily at this mental health facility.

E. MACE: The one thing that's kind of ironic about it is that she always did have sort of a fascination with people who had minds like the person who took her life.

BOUDREAU: Ryanne was studying psychology and her parents created a scholarship foundation for psychology majors in honor of their daughter. They say they hope it encourages others to help fix broken minds like that of the man who killed Ryanne.

(on camera): Do you want people to remember that day?

E. MACE: Absolutely. I don't want them to forget a single detail about it. Because the details aren't going to change just by forgetting about them. I want Ryanne to be remembered. I want Catalina and Gail and Julianna and Dan to be remembered, as well.

(END VIDEOTAPE)

COLLINS: And if you would like more on this story, you can always get it by going to CNN.com. Our correspondent Abbie Boudreau has actually been blogging about this story. She's been following it ever since it happened.

A wildfire racing toward your house, should you stay and defend it? A shocking death toll in Australia is raising new questions now in California.

(COMMERCIAL BREAK)

COLLINS: Passions are running high in Australia where the death toll from wildfires climbed to 189 today. A judge there has ruled a 39-year-old suspect cannot be shown by the media, nor can his address be reported. He's accused of starting a fire that killed at least 21 people.

It's an agonizing decision for homeowners in the path of a wildfire: should they run or stay to fight the fires. California has been studying Australia's so-called "stay-and-defend" policies. But now new questions in light of this month's staggering death toll there.

CNN's Kara Finnstrom takes a look.

(BEGIN VIDEOTAPE)

SCOTT GARRETT, LAKE ARROWHEAD RESIDENT: You could hear it coming. And the roar, it sounded like a jet.

KARA FINNSTROM, CNN CORRESPONDENT (voice-over): Scott Garrett knew a fire storm was barreling towards his Lake Arrowhead home.

GARRETT: And the wind was blowing like crazy. And all the embers then started raining down.

FINNSTROM: But early on, he chose to fight the fire.

GARRETT: We took my hose and ran it up and we were hooking it from house to house.

FINNSTROM: Garrett's choice is in controversial in the U.S.; a part of firefighting policy in Australia. Supporters of Australia's "Leave Early or Stay and Defend" credit it with saving lives and homes. But now new questions as Australia investigates its deadliest ever bush fires, as they're known down under. Authorities say at least 181 people died, some defending their homes, others trapped in cars. Australia designed its policy to prevent risky last-minute evacuations. Homeowners got extensive training on protecting their homes and fighting fire.

Here in southern California, where firefighting resources are stretched thin and the fire season is long and intense, fire officials in seven different counties have been taking a close look at Australia's approach.

CHIEF BOB ROPER, VENTURA COUNTY FIRE CHIEF: You make the decision before a fire even starts.

FINNSTROM (voice-over): Ventura County Fire Chief Bob Roper reviewed the policy.

ROPER: But only stay and defend if you've done your pre-work to make sure your house is safe.

FINNSTROM: Roper is spearheading a task force that is looking into whether Australia's methods could work here. He says many Californians know there are not enough trucks to defend their rural homes.

ROPER: More and more people are staying and wanting to try to defend their property.

FINNSTROM: But while many fire authorities applaud preparedness, they do not support homeowner defense.

CHIEF MICHAEL FREEMAN, LOS ANGELES COUNTY FIRE DEPARTMENT: And we've had too many close calls, we've had sadly firefighters who have been killed by a wall of fire in a wind-driven fire. Now, these are experienced trained individuals.

UNIDENTIFIED MALE: We don't want to put residents in harm's way that way. So, the best thing to do is to make sure they leave early.

FINNSTROM: That battalion chief met with community members last week in Yorba Linda where fire destroyed 118 homes in November and where homeowners want advice from the fire department on how to protect their property.

And Scott Garrett of Lake Arrowhead, he did save his home.

GARRETT: Obviously, I feel pretty good that my home is still here.

FINNSTROM: But the grim realities of Australia show how very real the risk can be.

Kara Finnstrom for CNN, Los Angeles.

(END VIDEOTAPE)

COLLINS: I'm Heidi Collins. Join us again tomorrow morning beginning at 9:00 am Eastern. For now, CNN NEWSROOM continues with Tony Harris.