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G-20 Leaders Meet to Discuss Global Policy; Banks Refusing to Take Some Foreclosed Homes; Flood Watch Continues in Minnesota; Lawmakers Push to Lift Travel Restrictions to Cuba
Aired March 31, 2009 - 13:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: Thanks, Tony.
Well, we're pushing forward on a global economic overhaul. President Obama sets out to sell the G-20 on new regulations and government stimulus. The drama's already started.
And what if nobody wants the house you lost to foreclosure, not even the bank? We're pushing forward on a break that seems lucky at first but often isn't.
Hello, everyone. I'm Kyra Phillips live at the CNN studios in Washington. And you're live in the CNN NEWSROOM.
Nineteen nations, plus the European Union, a.k.a. the G-20. They're huddling in London, but the world is watching and with reason. The president of France already creating drama, threatening to walk out of the summit if it doesn't go his way. The latest sign of serious division, but does it even matter? And why should anybody care?
Well, my colleague here in Washington, Wolf Blitzer, has covered a number of these summits as White House correspondent. What do you think, Wolf? Dog and pony show?
WOLF BLITZER, CNN CO-ANCHOR: Well, a lot of it is totally scripted. The communiques, I suspect that the diplomats at lower levels, they've worked all that out. It's not easy getting 20 -- 19 countries and the European Union, the G-20, on-board. So I'm sure they've worked out a lot of formalities. And, you know, the class photo, for example.
PHILLIPS: Is that when everybody gathers together.
BLITZER: Yes, everybody gets up.
PHILLIPS: And they want to fight to be next to the president of the United States?
BLITZER: Right. They'll all be there; they're going to jockey and see. They've been negotiating with diplomats for days now who's going to get to stand where. They want to be close to Barack Obama, because he's -- he's the superstar right now in the world scene. This is his first time there, and so the others are -- could wind up getting a little jealous. PHILLIPS: Eyes, too, though on Sarkozy, his beautiful wife, and of course, Michelle Obama who's created so much attention, and Barack Obama, so -- and here he is already saying, "Hey, things better go my way or I'm going to walk out."
So a lot of people not necessarily looking at what they're going to accomplish but hey, how's all the drama going personally?
BLITZER: I don't think we should hold our breath. President Sarkozy, WHO was instrumental -- the French were instrumental in creating this whole concept of the G-20. I remember covering the G-7. Then the G-8. Now there's the G-20. France was very much responsible for expanding it.
So I don't think he's going to walk out. He might complain a little bit here and there, but this is the start of the new relationship between France and the United States, a new president of the United States. So he's not leaving.
PHILLIPS: But I even asked you, too, OK, you've covered a number of these summits as a White House correspondent. And you've had to get in there and mingle and talk with various leaders. Does anything ever really happen? You said, you always remember the T-shirts, the protests, the crazy things that happen.
BLITZER: Like the Asian-Pacific economic summit. You always see the wild shirts that they're wearing, the leaders. They -- people remember the crazy shirts, if you will.
And sometimes there is some substantive news, if there's a crisis, for example. In 2003, you'll remember, when the U.S. and its allies launched the war against Saddam Hussein. So there's a crisis, and stuff happens as a result of that.
But by and large, these are pretty choreographed going in and pretty choreographed coming out. I wouldn't expect any major break- through. Sometimes, you know, if a reporter can grab a world leader and do an interview and make some news, then you'll get a little bit.
PHILLIPS: What a perfect segueway, Wolf Blitzer. Now, Katie (ph), let me just check: Do we have the clip that I picked? Do we have it? Bummer. OK, we weren't able to get it in time.
But I do want to tell our viewers, as Wolf just mentioned, that as a very strong and assertive reporter, you did score an exclusive interview with Bill Clinton. This was just after the Lewinsky scandal. And he sat down with you. And this just goes to show what a great reporter you are, because you asked him, "Do you think your wife is going to run for the Senate seat?" Because you had a hunch, and you actually got him to talk about it. And you made news. And now look, almost ten years later, she's secretary of state.
BLITZER: It was almost exactly ten years later. I remember that summit in Cologne, Germany, in 1999. I did have an exclusive interview with him, President Bill Clinton. Remember, it was after all the Lewinsky scandal, the impeachment of '98. Finally, he's there. He can breathe a lot easier. And he was beginning to wind down, and a lot of attention was focusing in on the first lady, Hillary Clinton.
I said, "What do you think?"
There was already some talk maybe she'd run for office. And he made some news.
PHILLIPS: He did.
BLITZER: And he did create that notion that maybe she'd be a good United States senator, after all, from New York State. So stuff happens at these summits. Not usually, but the organizers try to choreograph.
PHILLIPS: Well, I know you've got to go get ready for "THE SITUATION ROOM," coming up in just a few hours. Maybe you can tell me what will happen to my life in ten years.
BLITZER: I won't be able to do that.
PHILLIPS: Great to see you.
BLITZER: Kyra, thank you.
PHILLIPS: OK.
BLITZER: Welcome to Washington! Come often.
PHILLIPS: Thank you, I appreciate it. You made me feel very welcome.
Well, back in November the G-20 stood up for free trade, but since then the trend has swerved the other way. And later this hour we're going to look at the worldwide wave of protectionism.
Well, get a loan, buy a car, lose your job. The next step could be lose your car but now both Ford and GM are offering to cover your payments. In Ford's case, as much as $700 a month for as long as a year. GM's offering as much as $500 a month for nine months.
And Ford is the only one of the Big Three not receiving big bailout billions from taxpayers and not undergoing a government- mandated overhaul.
(BEGIN VIDEO CLIP)
MARK FIELDS, EXEC. V.P., FORD MOTOR COMPANY: We don't feel we're being disadvantaged, because we have been restructuring our company over the past three years. We have been investing in high-quality fuel-efficient vehicles over the last couple of years, which are just starting to come to the marketplace.
So our approach is continue to work this plan, continue to make sure that Ford remains competitive both today and in the future, and continue to work with our stakeholders to make sure that happens. (END VIDEO CLIP)
PHILLIPS: Well, back in January, Hyundai unveiled a plan to take cars back within a year if laid-off buyers can't make the payments.
The new head of GM says that more plant shutdowns, more employee buyouts and even bankruptcy may be down the road. Fritz Henderson met with reporters a day after President Obama announced GM's former CEO had been ousted as one of many conditions for government aid.
Let's go ahead and take a look at the big board right now. We are monitoring the Dow Industrials. It looks like they are up about 128 points. I'm having a hard time seeing that. I hope I'm right. One twenty-six. Close enough. Thanks, Scotty.
Well, a disturbing trend on the foreclosure front reportedly is sweeping the country right now. We're going to talk about one individual case. This is actually talking about hitting property owners pretty hard.
According to the "New York Times," banks are quietly declining to take possession of foreclosed properties. And here to talk about it, CNN personal finance editor Gerri Willis.
So Gerri, how is this possible that someone would still be on the hook for a home that was in foreclosure?
GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Yes. And consider this, Kyra -- it's amazing, really. You've heard about people walking away from their mortgages. Right? Well, now banks are walking away from homes, as well.
Here's what happens. You go into foreclosure. Your house gets auctioned off on the courthouse steps, maybe. Well, guess what? The banks are saying, you know what? We're not even going to bother going through that process, because at the end of the day it's going to cost us too much money.
Figure this: When banks take over a property, it costs them $40,000 to $50,000 just to sell the thing. So at this point in some markets, where prices have declined the most, they're saying, "We're not even going to do that."
The problem with that is then the owner, the original owner, may find themselves on the hook for things they never even imagined -- Kyra.
PHILLIPS: Well, then how can people in foreclosure avoid the situation, Gerri?
WILLIS: All right. Well first of all, you've actually got to make sure that you don't leave your home until you have to. What happens is that when people start going through the foreclosure process, they leave, when the bank may intend to just let you have the property. So make sure you stay there until you absolutely have to go. Track the sheriff's sale. This is easy through courthouse records. Make sure you know when your house is going on the auction block or when it's going to change hands. And make sure that your name gets off the deed.
Consider negotiating with the bank. You know, this is an opportunity for you to hold onto that property. You know, some folks who are using these properties as rental units may consider negotiating with a bank to hang onto it, maybe funnel some of those rents back to the bank.
You know, everything in this market I have to tell you, Kyra, is negotiable at this point. So it's important to know what's going on, what your obligations are.
But let me tell you: if the bank decides, "Hey, we don't want this property," guess who the local city, town, tax authority is going to come after for those property taxes? You! So you've got to make sure you know what's going on with your property.
PHILLIPS: All right. Gerri, thanks so much.
WILLIS: My pleasure.
PHILLIPS: Well, the media group that owns the "Chicago Sun- Times" newspaper has just filed for bankruptcy. The company's chairman says that he wants to reorganize operations while saving as many jobs as possible. This means that both the Chicago's major newspapers are operating under bankruptcy protection, and for now, the "Sun-Times" and its sister papers and Web sites will continue running as-is.
Now, besides the regular industry woes, the company struggled with a $608 million tax liability racked up by its old management.
And good news: You're going to start getting a little extra money in your paycheck. Bad news: I do mean little. Next pay period, your portion of the government's stimulus package kicks in, and it lasts through next year.
So how much money you'll see depends on a bunch of factors, but generally, single people should get an extra 10 to 15 bucks a week. Married folks filing jointly -- exactly, Brian, I did the same thing -- 15 to 20 bucks a week. We're all sitting here going, OK, what's the point?
Anyway, another round of severe weather does create a lot of challenges for residents along the Red River in North Dakota and Minnesota. We'll talk about that coming up next.
(COMMERCIAL BREAK)
PHILLIPS: You're jobless and have 30 seconds to spare? We're going to give you the air: half a minute to sell yourself to a potential employer who might be watching. Just one of the job tools that CNN's putting in your hands. (COMMERCIAL BREAK)
PHILLIPS: Well, snow is falling on the flooded Red River today, putting more pressure on the makeshift levees holding back the water. This new snowfall is just shy of record levels in parts of North Dakota. Engineers are worried that the storm's stiff winds could generate waves causing a breach in that patchwork wall of sandbags and dirt that we've been telling you about.
And so far, everything does appear to be holding, but city officials in Fargo, North Dakota, won't breathe easier until the river drops just a few feet away. It could hit another dangerous crest next month when the new snow melts.
Our Reynolds Wolf has been doing an incredible job for us out there in the snow in Fargo, giving us a firsthand look at the conditions there.
Reynolds, good to see you.
REYNOLDS WOLF, CNN METEOROLOGIST: Always good to see you. It's always great to hear from you and tell our friend across America tuning in at this time, you know, from our vantage point this is a great way to really start a story, by showing you from this place a couple of states.
Well, obviously, here we are in North Dakota. If you look over beyond those trees, that's Fargo, over there. And then as Steve Storms (ph), our photojournalist, pans over in this direction, over on that side, you see this earthen berm that's covered with snow. And then beyond that, the Red River and even a little bit farther than that, well, that's where you have Moorhead, Minnesota.
Got some weird thoughts for you, Kyra. You know, one weird thought that I have is right now I'm holding onto this shovel, this weird orange shovel. The strange thing about it is, although the hardware is the same, the story's different. Snow is dropping. And of course, that's going to begin to pile up. But at the same time, the river's dropping, too.
Latest level on that river is at 38.3 feet. That's certainly some great news but as you mentioned, it's still major flood stage. That's something we've got to be aware of.
Other things to be aware of is the snowfall. And I'll tell you, right here, this is really piling up. Some places right around this spot have been up to around a foot. I'm telling you. Then with the breeze that continues to come in, some gusts around 30, 35 miles an hour, well, it's going to cause that snow to drift up.
Another thing it's going to do, it's going to cause this water to push up against these earthen levees, and that's really going to test the strength and fortitude of these things.
Again, I was showing some viewers this earlier. Take a look, Kyra. If you get your finger, if you were actually to push some of this dirt, well, it's kind of porous. It just kind of chips away. This is just an isolated little bolder. This is not part of the wall itself. We're not going to, certainly, mess with that. But it gives you an idea of what this thing is up against. You've got the force of the wind. We've got, of course, that water that's pushing right up against it, certainly some scary stuff.
Hey, another edge to the story that has to do not only the flooding but has to do with the snowfall, travel. We're going to meander our way back over here real fast. You'll notice over here you see one of our rental vehicles. And of course, beyond that you see a trailer. Then you see the Gulf Coast truck came all the way up from New Orleans to help me tell the story.
Well, anyone who has any travel plans going out today, on parts of I-29, going from Grand Forks southward to South Dakota, is going to have a heck of a time on the roads because they happen to be closed. So you have to keep that in mind.
Something else, because of treacherous driving conditions out here, if you're going to be doing some driving, remember the water is up close to many of the roads. So if you're driving, you have to be very, very careful. Because if you slip, what used to be dry land is now covered with water. Lot to think about out there on a crazy day like today.
Kyra, let's head back to you in the NEWSROOM.
PHILLIPS: All right. Reynolds Wolf, appreciate it so much. We'll keep talking with you.
We're also going to hear from our severe weather expert, meteorologist Chad Myers, just a little later in the show about the new dangers there along the Red River.
Now, right now more than 5 million people in the United States need a job but can't find one. And that's why we're bringing you these tools to help.
Check out this interactive map at our CNN.com Web site. It shows where job fairs are throughout the country. Just click or your city. Dates and locations will pop up.
And then one of those jobs fairs is actually happening right now in Atlanta. And that's where we're doing our 30-second pitch. We're giving job seekers a chance to tell potential employers who may be watching, why they should be hired. And -- you guessed it -- they get 30 seconds to do it.
Joining me today, Ali Spizman. She's been looking for work since she graduated from college in December.
All right, Ali. You graduated from UGA. Right?
ALI SPIZMAN, JOB SEEKER: Yes. UGA.
PHILLIPS: OK. And what type of work are you looking for? SPIZMAN: I'm looking for marketing, P.R., non-profit, sales, sports, event planning. So a big list.
PHILLIPS: And how is the competition there at the job fair? Are there a lot of people your age looking for the same type of work? I mean, what's it been like?
SPIZMAN: There's definitely a lot of older people. In my job search, I'm really convening with people my age. But it's really just a networking opportunity and a great way to meet people, because you never know who knows who.
PHILLIPS: All right. So how -- before we do the pitch here, how will people get in touch with you? Do you have a Web site? How are you getting yourself.
SPIZMAN: My e-mail address.
PHILLIPS: Your e-mail address?
SPIZMAN: AliLauren -- yes.
PHILLIPS: Go ahead.
SPIZMAN: AliLauren@gmail.com.
PHILLIPS: All right. Got it. I see it on the screen right now: AliLauren@gmail.com.
All right. So we're going to ask all potential employers here to pay attention. Ali Spizman here, graduate from UGA. She just graduated in December, looking for possibly P.R., marketing.
All right, Ali, are you ready?
SPIZMAN: I'm ready.
PHILLIPS: OK. Here you go, 30 seconds. Go ahead.
SPIZMAN: My name is Ali Lauren Spizman. I recently graduated from the University of Georgia with a degree in consumer journalism. I'm looking for opportunities in marketing, P.R., sales, event planning, nonprofits and sports. In the interim, I'm doing freelance work with social media and launched my Web site, ScreamingFabulous.com. I'm a very positive person, and you won't find someone who will work harder.
PHILLIPS: Oh, my gosh. And she did it all in 30 seconds. I'll tell you what, Ali, do me a favor and send us your resume, because I would love to shuffle you through our company.
SPIZMAN: Oh, thank you so much!
PHILLIPS: There we go! Perfect! Ali Spizman, we'll check in with you. We're going to follow up. OK? So let us know what happens. SPIZMAN: Thank you.
PHILLIPS: All right, Ali.
Well, off-limits. That's been U.S. policy for travel to Cuba for years. Now change is in the air, and we're going to have a live report.
(COMMERCIAL BREAK)
PHILLIPS: Exactly. Jim Acosta and I sitting here going, wow! One of the most beautiful things about D.C. for us outsiders, Jim. You come in from New York. I come in from Atlanta. That's what we're talking about.
JIM ACOSTA, CNN CORRESPONDENT: Beautiful.
PHILLIPS: Beautiful in D.C.
All right. Once the playground of the rich and mobsters, Cuba has been off-limits to most Americans for years, thanks to the U.S. government. And now with a new president in the White House, some key lawmakers are making a big push to lift the travel restrictions.
Here's CNN's Jim Acosta.
(BEGIN VIDEOTAPE)
JIM ACOSTA, CNN CORRESPONDENT (voice-over): Tessie Aral, the owner of this Miami travel agency that specializes in trips to Cuba, is in a good mood these days. Ever since Washington loosened the travel restrictions on Cuban-Americans visiting the island, Aral says non-Cuban-Americans have been calling in, wondering when they can join the party.
TESSIE ARAL, ABC CHARTERS: I think most Americans are going to want to try to travel to Cuba because it's been the forbidden fruit for so long.
SEN. BYRON DORGAN (D), NORTH DAKOTA: We allow Americans to travel to China, to Vietnam, both communist countries.
ACOSTA: North Dakota Democratic Senator Byron Dorgan wants to do the same for Cuba, with a bill in Congress that would end all travel restrictions -- yes, all of them -- for Americans visiting the communist nation, arguing the Cold War era policy aimed at the Castro government has failed.
DORGAN: It seems to me if something has failed for nearly five decades, you might want to take a look at it again and see whether you should modify it.
ACOSTA: Dan Erikson, the author of the book "The Cuba Wars," says there's one problem with lifting the ban: the embargo which stops U.S. companies from doing business in Cuba. DAN ERIKSON, AUTHOR, "THE CUBA WARS": So you have American tourists traveling down to Cuba to drive around on Chinese buses, stay in Spanish hotels, eat Canadian food. They wouldn't be able to stay at a Marriott, at a Hilton. There's no Delta sky miles. There's no Hilton. There's no miles. The only drive-through McDonald's I've ever seen in Cuba was in the U.S. military base in Guantanamo Bay.
ACOSTA: President Obama has hinted at changes in U.S. policy on Cuba but never mentioned how much. On a trip to Chile, Vice President Joe Biden indicated support for the embargo. But added...
JOE BIDEN, VICE PRESIDENT OF THE UNITED STATES: We thought there was a need for a transition in our policy toward Cuba.
ACOSTA: That transition would have to get past Cuban-Americans in Congress, like Senate Democrat Bob Menendez.
UNIDENTIFIED MALE: The government is, pure and simple, a brutal dictatorship. The average Cuban worker lives on an income of less than $1 a day.
ACOSTA: Travel agent Tessie Aral is one of a growing number of Cuban-Americans who say it's time to move on.
ARAL: For our country to tell us we're not free to choose where we want to travel to, I think that's just archaic.
(END VIDEOTAPE)
PHILLIPS: I agree. Jim Acosta, I want to go to Cuba. How soon can we book our tickets?
ACOSTA: Well, you're going to have to hold on just yet. Hold the mojitos. The reason why is because this bill just got introduced at the Congress today.
And the prospects of passage are pretty good. Not only do they have people like Byron Dorgan behind it, but people like Richard Lugar, influential Indiana Republican senator whose views on foreign policy issues have had a lot of influence over President Obama who, by the way, is younger than the Castro regime.
One interesting thing that we're going to have to keep our eye on is whether or not the White House signs off on this. Byron Dorgan seems to think that this is going to pass the Congress. What happens when it gets to the White House we just don't know yet.
PHILLIPS: Well, I'm assuming Raul Castro and the folks there will be pretty excited to have more people coming in and spending money.
ACOSTA: Well, they've had the Canadians. They've had the Europeans all these years, the Russians, obviously. And all the hotels are set up for it.
As you heard from that expert in that piece, Canadian hotels, Spanish hotels, Chinese buses. The infrastructure is there for travel. You're not going to be able to stay at Marriotts or Hiltons, and you're certainly not going to be able to shop at Wal-Mart. But the infrastructure is there.
PHILLIPS: Now, you grew up with a Cuban father.
ACOSTA: I did.
PHILLIPS: A.J. Acosta, our favorite Cubano.
ACOSTA: That's right.
PHILLIPS: And he must be -- you must be talking about this. He probably talks a lot about Cuba...
ACOSTA: Yes.
PHILLIPS: ... and how much he loves his country.
ACOSTA: It's interesting, because you know, you hear so much about the Cuban exile community in Miami and how there are deep, passionate feelings about the Castro government. They don't like Fidel Castro in many sections of Miami.
A lot of that is starting to soften from, say, my father's generation to my generation. Younger Cuban-Americans are saying basically it's time to move on. And they would like to see -- that travel agent you just saw in that piece would like to see the sanctions eased or lifted, because in many cases these Cuban-Americans have loved ones back in Cuba.
And with what just happened with the Obama administration signing off on the omnibus, which loosened travel restrictions for Cuban- Americans, they still can only go back once a year.
Now, you can travel to North Korea any time you want. Get on a plane tomorrow and go to North Korea, go to China, go to Vietnam. A lot of Cuban-Americans are looking at this situation and saying, "Hey, wait a minute. What's the deal with Cuba? Why is it being treated differently after all these years?"
PHILLIPS: It will be interesting to follow. We'll do it with you. Thanks, Jim.
ACOSTA: You bet.
PHILLIPS: All right.
Well, we've got the lowdown on where the job fairs are. We're going to share. And we're also going to give another job seeker 30 seconds to dazzle a potential employer. If you're hiring, make sure you're watching.
(COMMERCIAL BREAK)
PHILLIPS: Well, the world is watching as leaders of the world's most powerful economies make their way to London to push forward out of the recession. This week's G-20 summit is the starting point for President Obama's first trip overseas since taking office.
The 20, by the way, refers to the 19 nations plus the European Union. And in a best-case scenario the group will engineer a new world economic order. Continental Europe wants global regulation, and the president of France, well, he's threatening to walk out otherwise.
The U.S. and British want more government stimulus.
Well, all this adds up to a huge test of President Obama's political capital abroad, as CNN's Candy Crowley explains.
(BEGIN VIDEOTAPE)
CANDY CROWLEY, CNN SENIOR POLITICAL CORRESPONDENT (voice-over): President Obama is a popular man abroad. U.S. policy, not so much.
CHRYSTIA FREELAND, "FINANCIAL TIMES": You might even go so far as to call an ideological rift between the Europeans and the Americans.
CROWLEY: The rift is over global recession. The president wants more countries to put more money into their own economies, a la his stimulus plan.
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: We don't want a situation in which some countries are making extraordinary efforts and other countries aren't, with the hope that somehow the countries that are making those important steps lift everybody up.
CROWLEY: Reaction has been cool to hostile. The outgoing Czech prime minister blistered the idea and the U.S. recovery plan.
MIREK TOPOLANEK, CZECH PRIME MINISTER (through translator): All of these steps, the combination and the permanency is a way to hell.
CROWLEY: Rather than putting more money into their economies, many countries want tighter financial regulation. Complicating things, many heads of state are less inclined to follow the U.S. lead, blaming America for the worldwide recession. Consider this screed from the Brazilian president.
LUIZ INACIO LULA DA SILVA, PRESIDENT OF BRAZIL (through translator): This crisis was not created by blacks nor Indians nor poor people. It was a crisis that was created and spread throughout the world due to the irresponsible behavior of white people, blue-eyed people that thought they knew everything.
CROWLEY: Others have made a similar point without the racial assault. Bottom line: That whole capitalism/anti- protectionism/deregulation combo has lost some shine.
There is risk President Obama could leave empty-handed, but observers say the bar for success is low. A communique with broad language on stimulus, financial regulation and protectionism will do. FREELAND: I think what we're going to see coming out of this summit is much less really concrete actions and a concrete plan, and much more a focus on a show of global unity, which in and of itself could be reassuring for the markets.
CROWLEY: Considered the most popular U.S. president abroad since JFK, President Obama is not likely to lose his shine, regardless of what happens at the G-20. He will almost certainly see streets lined with supporters, but he'll also see something else.
UNIDENTIFIED MALE: It's capitalism's fault alone. Come to the revolution, 1st of April, Bank of England.
(END VIDEOTAPE)
PHILLIPS: Candy joins me now here in Washington. Or maybe it's the other way around. I'm joining you! Hello, Candy.
CROWLEY: I was going to say! How are you?
PHILLIPS: It was funny, I said, OK, how many summits have you covered? And you went, ooh, boy. Far too many to remember. You go all the way back to G-1.
(LAUGHTER)
CROWLEY: Exactly. Enough to know probably not to go to this one. I mean, it's just, you know, they're really interesting affairs simply because they're big, kind of, pageants. I mean, how many times do you get to kind of look and see, because there will be -- trust me -- a class photo.
PHILLIPS: That's funny. Wolf called it the same thing. And he said, and everybody's negotiating who's going to stand next to who.
CROWLEY: Who's going to stand next to who, what they're all going to wear. I mean, the whole thing can be comical, although at this particular point, I actually think something -- this will be a more serious news time than most of them are.
PHILLIPS: OK, tell me why. Because, you know, I was -- we were talking about how Sarkozy already saying if things don't go his way, he's going to walk out. But you were bringing up the point, hello, this is a guy that's been right there, wanting to be next to Obama 24/7 all the way up to this point.
CROWLEY: Exactly. And the last time I saw Sarkozy he was with then-candidate Barack Obama in Paris during Obama's tour of Europe. And honestly, I thought Sarkozy wanted to be on the ticket with Obama, he was saying so many nice things about him.
So, I don't think you'll see him walk out. Remembering that there is a global audience and there is a domestic audience for all of these guys. And he knows that at this point, there's sort of this anti-American economic issues that's going on in France. So, he has to say, I'm going to get greater financial regulation. He'll get enough to keep him from walking out. Having said this, this is a guy you always can't predict, but I think that was much more for hometown consumption.
PHILLIPS: All right, so that might be kind of the memorable moment this time around. For you, of all the summits that you have attended, what do you think was the most memorable part? I mean, was it a moment? Was it an experience? Was it an interview?
CROWLEY: You know, it's sort of the totality of experience. First of all, before many of these times, there would maybe be a dinner where they would sit down, you know, GS-7s. It's a little easier to have a dinner for the GS-7 than the GS-20 -- or the G-20.
But what you have is sort of this sense that you are right there at the pinnacle of power. And I've been to Paris a couple, three times for these kinds of meetings. Never saw the Eiffel Tower. Never went down the Champs-Elysees.
But on the other hand, you're in the French president's private quarters while he's talking to Ronald Reagan or whoever it happens to be. So, you sort of don't see what normal people see when they go to these places, but you really get into where, kind of, the decisions are made. And as a reporter, you know, that's very cool.
PHILLIPS: Yes. That's the stuff that we always remember.
CROWLEY: Right.
PHILLIPS: Thanks, Candy. Great to see you.
CROWLEY: Good to see you.
PHILLIPS: All right. Well, millions of Americans are looking for work, and we're giving them an opportunity to reach out to potential employers who may be watching the CNN NEWSROOM. We call it the "Thirty-Second Pitch."
And our crew is actually at a women's job fair in Atlanta. And right now, we're joined by Marleen Graham. She's been looking for a job since her company downsized eight months ago. OK, Marlene, what kind of work are you looking for?
MARLEEN GRAHAM, JOB SEEKER: Well, I'm currently looking for anything in the I.T. field. I'm a UNIX systems administrator, but I also have experience in desktop support and helpdesk.
PHILLIPS: All right, and how's the competition -- I asked our other guests this as well -- at the fair there. Are there a lot of people looking for the same types of jobs? Do you have a good feeling, or is this tough right now?
GRAHAM: Oh, yes, Kyra, there's a lot of people looking for jobs right now. So, the competition is fierce out there. So, I have to keep looking for ways to stand out from everyone else.
PHILLIPS: All right, Miss Marleen. Well, you already stood out to us, as our producer found you there in that huge crowd. So, we've got 30 seconds. We'll start the clock. And I want you just to give it your all. And I'm going to have all -- ask for potential employers to listen to every word you say. And you have an e-mail that we can get in touch with you. Right? It's the Hotmail address, right?
GRAHAM: Yes. Correct.
PHILLIPS: OK, here we go, Marleen. We'll start the clock. Otis, go ahead and roll it. Go ahead, Marlene.
GRAHAM: Sure. My name is Marleen Graham. I have more than ten years in information technology. I last was a UNIX systems administrator, but I also have experience in desktop support, helpdesk analyst and also project coordinator. And I think what makes me different from everyone else is that I.T. people are usually known to not have any customer-service skills. However, what sets me apart is not only do I have the technical skills, but I also have customer- service skills.
PHILLIPS: I love it. You've got it. Marleen, you're a trooper! All right, Marleen Graham, your e-mail...
GRAHAM: Thank you.
PHILLIPS: ... right up there on the banner. Best of luck. We're going to follow up with you and see how well you do. OK?
GRAHAM: OK. Thank you.
PHILLIPS: Good luck, Marleen.
Well, just about every other industry, airlines being battered by the recession, and things are expected to get worse before getting better. The Federal Aviation Administration predicts nearly 8 percent fewer people will fly domestic this year. Experts see a very hazy future.
(BEGIN VIDEO CLIP)
RAY LAHOOD, TRANSPORTATION SECRETARY: I think business travel is down. I think leisure travel is down. But it's all as a result of a very lousy economy that all of us are facing.
UNIDENTIFIED FEMALE: Have you ever seen an economic event hit travel like this has?
UNIDENTIFIED MALE: Not in my lifetime, and I've been around a few years.
(END VIDEO CLIP)
PHILLIPS: A White House forecast sees a slight increase in airline travel next year, but airline consultant Darryl Jenkins tells CNN he thinks economic worries are too deep for a quick turnaround.
Well, American Airlines, for one, is turning to the Internet to cushion the blow of the recession. The company says it's expanding Internet access to about half of its fleet of some 600 planes used in the continental U.S. Of course, it is going to cost you up to $12.95 for browsing the Web or sending an e-mail. Now, the move comes after testing the Internet service for several months on a limited number of planes.
Straight ahead, everybody feels sad now and then, but could a family history of depression actually change the shape of your brain? It's important new research for your health. We're going to tell you about it.
(COMMERCIAL BREAK)
PHILLIPS: All right. Busted for DUI, and he never left the barstool. Sounds like a riddle, but it's actually our favorite "What the...?" story of the day.
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PHILLIPS: Important health news for pistachio lovers. The FDA doesn't want you eating them for the time being because they may be contaminated with salmonella. The nuts were grown by California-based Setton Farms, and mostly distributed to wholesalers such as Kraft Foods, who repackaged them in other products. Kraft found the salmonella in a routine safety check. There have been no reports of illness so far, and the voluntary recall does include more than 1 million pounds of pistachios.
Well, if you have a parent or grandparent who suffers from depression, it could have an impact on your brain, even if you're not depressed. Researchers say that such a family history can actually result in a portion of your brain being thinner. Chief medical correspondent Dr. Sanjay Gupta explains.
(BEGIN VIDEOTAPE)
DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Well, this is fascinating on so many levels. First of all, this idea that you can some sort of objective test to figure out who is set up for depression later on in life, and also that there could be a marker as well. Fascinating stuff.
This study comes out of Columbia, 25 years of research looking at all different age groups, people age 6 to 54 who are all considered high-risk because they either had a parent or grandparent who had depression. They got MRI scans, brain scans. And what they found when they went back and looked was those people who were most likely to have depression had significant, what is known as cortical thinning, thinning on the right side of the brain. That is what is represented by purple here.
Just for sake of comparison, on the left side of the brain, there was hardly any thinning at all. So, what does this right cortical thinning mean? Hard to say. We know the right side of the brain is responsible for many things, including emotions. Could this thinning be somehow contributing to a flattened emotion, setting someone up for depression for anxiety later on in life?
Now, you know, obviously, the important question is, can you go out and get a scan now to find out if you're more likely to develop depression? As you might guess, the answer is no. We're not there yet in terms of all the science.
And I think more importantly, could we do something about it? Is there a medication that can increase thickening on the right side of the brain? Probably not there yet either. But this is fascinating. This idea that you can predict who is more likely to develop depression and possibly do something about it, that's where we're headed. This may come to us in the next several years. Certainly when it comes to us, we'll bring it to you. Back to you for now.
(END VIDEOTAPE)
PHILLIPS: Sanjay Gupta, thanks so much. Well, new weather worries for the Midwest and the nation's midsection today. Chad Myers keeping an eye on all the severe weather for us.
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PHILLIPS: Well, it happens every year, but somehow we just never get tired of seeing it. Look at these live shots. The gorgeous cherry trees blossoming along Washington's tidal basin there and around the city. Peak bloom time, I'm told, is from tomorrow through Saturday or so. And then by April 1th, it's all done until next spring. Lucky time to be here.
Well, while the nation's capital is awash in pink and white, other parts of the country are awash in misery today from snow and rain. Chad Myers, we were trying to have a little positive weather there for you. I thought that might make your day, all the beautiful cherry blossoms.
CHAD MYERS, AMS METEOROLOGIST: Yes, how did you time that so well?
PHILLIPS: Is that perfect?
MYERS: That was absolutely perfect. I was there two years ago for the blossoms. And oh, my, you can't even imagine. I wish we had smell-a-vision so you could actually smell it as you walk along the tidal basin.
PHILLIPS: Well, we've got the dogwoods, you know, in Atlanta. You know, those are really beautiful.
MYERS: And they are out right now, actually.
PHILLIPS: Yes.
MYERS: The dogwood festival. And the dogwood festival never times up with the blooming of the dogwoods somehow. We can never work that out. But they are out right now, but not nearly as pretty as what you're seeing there on that shot. Maybe that shot will warm your heart a little bit if you're up in Green Bay looking outside and looking at all of the snow that is now coming down.
In fact, now we are seeing lake-enhanced snow. We are seeing the snow and the cold air come across Lake Superior and pile up here on the north side of the lake, the exact opposite side of the lake that you typically expect for snow, for lake-effect snow. You expect the wind to come across the lake and get here.
Well, something else I want to talk about here, not so much for Green Bay, but how does this affect the river? Because we have the wind coming in from the east, we are getting waves now on the west bank of the Red River, possibly making some of that wave action on to the sandbags themselves.
Now, if this river was, I don't know, nine miles wide, I would worry, because the waves would get a long time to get bigger. Well, this is only a quarter-mile, half-mile wide so we're getting little waves, not big ones. But it could be just enough pressure, Kyra, to make some those very fragile -- I mean, you know, they're only this wide and that high -- fragile sandbag walls collapse. And we hope that that doesn't happen. So far, so good today.
PHILLIPS: That's great news.
Hey, Chad?
MYERS: Yes.
PHILLIPS: The beautiful cherry blossoms, I got to do a shout out to Mike Maltas (ph). He oversees all our news coverage here in D.C., and it was a bit of a slow day because all of our correspondents, most of them are up there at the G-20 summit, so he made this happen for us.
MYERS: Well, you can see people sitting down there on the benches, enjoying lunch, I hope. And it is a beautiful day there in D.C. Lots of sunshine.
PHILLIPS: Yes. I better check to make sure Mike Maltas (ph) isn't out there. Maybe that's why we got that live shot.
OK, thank you.
MYERS: You're welcome.
PHILLIPS: Well, bulldozers are working double time to repair a sinkhole in Wetumpka, Alabama. That's just north of Montgomery. The 30-foot hole formed after a weekend of heavy rains, and so far it swallowed at least one car. Rescue crews actually pulled that driver to safety. Another round of rain is expected in that area tonight.
Well, the mystery of the great balls of fire and sounds of explosions on the East Coast apparently solved. Well, at least a likely explanation. That show was seen and heard in Virginia, Maryland and North Carolina Sunday night. Now the U.S. Naval Observatory says, no, it wasn't a real "War of the Worlds" but probably space junk from a Russian rocket or a super-bright meteor. All right. Ride a barstool for a while, and your odds of getting arrested go way up. Ride a barstool for 15 beers, drive it home and flip it? Yes, that's DUI. An Ohio man ran into some bad luck when he crashed his motorized barstool on the way home from a pub. Still wondering how he made that barstool.
He also ran into the cops, who promptly popped him for operating under the influence. And just in case you're wondering, his contraption is actually made from lawnmower parts and can allegedly -- get this, Brian -- 38 miles per hour. Yes.
An IRS agent has just pleaded guilty to cheating the IRS. Listen to this. He admitted filing a false tax return, claiming $4,200 of a loss on the sale of some property. Well, when he actually made almost $50,000 on the deal, you're going to be happy to know he faces up to three years in the klink.
And it's a word both loved and hated around the world. We're going to tell you why the "p world" could spell doom for the G-20 summit.
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PHILLIPS: Well, in less than an hour, Barack Obama will set foot in London for the first time as U.S. president. He's walking into a G-20 economic summit that may feel a little more like a lion's den. Germany and France in particular are insisting or resisting, rather, his calls for more government stimulus and demanding more regulation.
And a major goal of the G-20 summit is to come up with solutions to ending the global recession. But a skeleton from past recessions and depressions could rear its ugly head. CNN's Jim Boulden reports.
(BEGIN VIDEOTAPE)
JIM BOULDEN, CNN INTERNATIONAL CORRESPONDENT (voice-over): Could anything make this recession worse? Some politicians say erecting barriers to trade in order to protect a fragile domestic industry would. British Prime Minister Gordon Brown, the host of the London G- 20 summit, says the world cannot afford what he calls deglobalization.
GORDON BROWN, BRITISH PRIME MINISTER: In 2009, we must tackle protectionism head-on and make sure that we do not risk a spiral of trade collapse.
BOULDEN: Eyebrows were raised after automaker Renault announced it will create 400 jobs at French plant to make the Clio, instead of at its lower-cost Clio plants in Slovenia. This after France tied an auto bailout to pledges not to cut jobs at home. The European Commission wants more details on the Clio decision.
JONATHAN TODD, EUROPEAN COMMISSION SPOKESMAN (through translator): What's surprising in this specific case is the industry minister, Luc Chatel, should have made a statement that this would be directly related to the French automobile plan. BOULDEN: The World Bank estimates 17 of the G-20 countries have taken some protectionist measure since vowing not to at the last G-20 summit just five months ago. From Russia raising tariffs on used cars to China's ban on Irish pork to India's ban on Chinese toys. Even auto bailouts and help for struggling banks can be protectionist.
MARTIN BROUGHTON, PRESIDENT, CBI: And certainly supporting bailouts or even supporting the banks, if that is done on a basis where preferential treatment is now given to U.K. domestic entities and withdrawn from foreigners, that's a form of protectionism.
BOULDEN: The U.S. Chamber of Commerce called the "Buy America" program included in the latest stimulus package, quote, "a dumb idea," noting other countries could retaliate, costing U.S. jobs. The chamber was relieved when "Buy America" was diluted.
(END VIDEOTAPE)
PHILLIPS: Well, Jim joins us now live in London. Jim, the "Buy America" clause, it's really upset leaders and set quite a negative tone. So, what does Barack Obama need to do to actually smooth things over?
BOULDEN: Yes, you know, we talk about the president sort of leading the way in all of this. And this was one of the examples where other countries said, well, you know, if they can do it, maybe we should be able to do it as well.
So, I think we're going to have to hear Barack Obama say, look, this was just a small part. It was watered down. You know, some of these clauses that are in there, some of these decisions made by some of these countries can seem quite legitimate, and some of them are legitimate.
But it's about setting the tone. Is protectionism, are these barriers going to be raised in a recession? That's the time that some analysts say is the worst possible time to be raising barriers, just to think that you're going to be protecting jobs at home might actually cost you jobs.
PHILLIPS: Jim Boulden, appreciate it.
Pushing forward now. Summits come and summits go, but here's why the whole world's hoping that the summit in London goes well. Billionaire investor George Soros calls it a make-or-break event for the world markets. He wants practical measures to increase capital in developing nations.
And if you hadn't noticed, and I'm sure you have, the global economy is shrinking for the first time since World War II. Global industrial production is down 15 percent, and trade has fallen for the first time since 1982. It's the biggest drop in 80 years.
Well, President Obama is due to land in London this hour. Our Suzanne Malveaux, already there and ready. Suzanne, what's at stake for the president in this first presidential trip abroad? SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: There are huge things that are at stake here. Obviously, his reputation and U.S. credibility here, whether or not it really has a strong standing in the world.
Barack Obama, of course, was a European sensation when he was a candidate here. But everything has changed now, Kyra. We're looking at this global economic crisis. We're going to be looking at whether or not he is going to be effectively able to communicate with world leaders to convince them essentially to look at this economic stimulus as a possible way of trying to get out of this recession, and, of course, repair some of these relationships.
We saw as candidate Obama, he was received very, very well. But there's still some resentment here from Bush administration policy. We really want to get a sense of what kind of leader Barack Obama is. Very young in his presidency, but a lot of big, big challenges for this president.
PHILLIPS: All right. Suzanne, let's talk about the fact that Sarkozy already threatening to walk out if he doesn't get what he wants. A lot of eyes on that drama, wondering, OK, is this the one thing that Obama will measure the success of this summit, if he and Sarkozy come to some type of deal?
MALVEAUX: A lot of people think that despite the fact that this is getting a lot of attention, that he is threatening to walk out of this summit before it even begins, that this may be a little bit more bluster than reality. We'll see if Sarkozy actually comes through with this.
We know he's going to have a joint presser with the German chancellor, Angela Merkel, tomorrow, so that may all change the dynamic. But of course, all of this makes a difference here. Who comes out on top? Who is really posturing? Who is pushing for their agenda? Perhaps the most aggressive. You're going to see Barack Obama, the president, obviously in a conciliatory mode. He says that he's going to be listening as well as leading.
So, you are going to see. And we are going to look at whether or not there is any kind of compromise between these two leaders. People expect that there's going to be some sort of general statement about how to approach this recession, that it's not going to get into specifics. And if this really is, you talk about low expectations, it really is the beginning of the process. You're going to be looking more at the tone, the language, the body language between these leaders -- Kyra.
PHILLIPS: Speaking of tone, I guess all the protesters are either creating the noise behind you with all the sirens, or maybe that's just the entourage for all the political leaders that are there.
MALVEAUX: It's a little bit further away. But yes, we expect a lot of noise, a lot of activity around here as well, Kyra.
PHILLIPS: All right, Suzanne. We'll track it all with you. Appreciate it so much.
