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In Search of Souter's Successor; Swine Flu Fears Put Classes on Hold; What About My Chrysler?; White House Daily Press Breifing

Aired May 01, 2009 - 13:59   ET

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


DON LEMON, CNN ANCHOR: All right. It's not official yet, but it is pretty clear that President Barack Obama soon will get his first Supreme Court vacancy. It is an opportunity presidents live for, and this one comes from David Souter, going home to New Hampshire after 18-plus years on the highest court in the land.

Word of Souter's retirement comes from unnamed sources and friends who say he is telling other members of the court today but hasn't told the White House in writing yet.

We hear a lot about the search for Souter's successor at the White House. That briefing should happens just moments away.

In the meantime, though, want to bring in Senior Political Analyst Gloria Borger. She's joining us now from Washington.

Hello, Gloria.

GLORIA BORGER, CNN SENIOR POLITICAL ANALYST: Hi, Don.

LEMON: Are you expecting a fight from Republicans regardless of who the nominee is here?

BORGER: Oh, absolutely.

LEMON: Why so?

BORGER: Well, believe it or not, this is the first time in 15 years that a Democratic president has had the opportunity to fill a seat. And the conservatives are already burning up the phone lines because this is really a way for them to consolidate the base of the Republican Party, to raise money off of this. And raising money is a lot about what this is about.

And they're already starting to call all of the potential nominees out of the mainstream. And by the way, they're already pointing out that Barack Obama is a sitting president who, as a senator, was on the record not being against filibustering a Supreme Court nominee.

LEMON: OK. Very interesting.

You know, we have been hearing about Arlen Specter lately.

BORGER: Oh, yes.

LEMON: Just became -- he's a new Democrat. I'm wondering if that matters, and can he be counted on to support the nominee here?

BORGER: No. They don't call him "Snarlin' Arlen" for nothing. You know?

He's a very independent guy. And while in 1987, he did join with the Democrats in opposing Judge Bork's ascension to the Supreme Court, he has supported George W. Bush's nominees. He was a very strong supporter of Justice Alito. And he will remain a senior member of the Judiciary Committee.

So he's very, very important, but I do not think the Democrats can count on him in any way, shape or form.

LEMON: OK. So here's the interesting thing. You know we just talked about the president's 100 days. A lot of this -- really, the economy. You know, we've got the auto industry and so on, and so on, the bailouts, Wall Street, everything, including the new H1N1 outbreak.

So, you know, how prepared is the White House really to shepherd a nominee at this point, given everything else that's on the president's desk?

BORGER: Well, you know, this is a White House that is known for multitasking at this point. And I think they were prepared in a certain way, ironically, because they think that Justice Stephens, who's 89, might have retired, or that Ruth Bader Ginsburg, who's been ill, might have decided not to go for another term. But those things didn't occur.

So they have had a list, and it is clear that this is a White House who plans pretty far in advance. So I don't think they're starting from scratch on this.

They also have a very good resource in Joe Biden, who has been a former Judiciary Committee chairman who's chaired a half a dozen Supreme Court hearings from the Senate. So he is going to be a great resource for them.

LEMON: And some said that Joe Biden was really -- sort of helped Arlen Specter move over to the Democratic side.

BORGER: Oh, absolutely. Whether he can convince Arlen Specter to go for their nominee, that's another question.

LEMON: That's a whole other show, as they say.

BORGER: Absolutely.

LEMON: All right.

Our Senior Political Analyst Gloria Borger.

Gloria, we appreciate it.

BORGER: Sure. LEMON: All right. Let's talk about people who come to the country and then serve.

They were already Americans in their hearts and on their uniforms, as well. Now they're Americans on paper.

About two dozen military personnel took the oath of citizenship just a short time ago. It was a White House ceremony, and you might have seen it live right here on CNN. A very moving ceremony.

They were among some 40,000 non-citizens serving the country. Some of the places that these new Americans came from, how about this? Cameroon, Turkey, Poland, Nicaragua, Cuba, and the Philippines. That's just to name a few.

Congratulations to them. And we appreciate their service.

Racing against time. Federal health authorities say they are rushing to develop a new vaccine to protect us from the H1N1 virus, commonly known as swine flu, as we have been reporting. The news comes as confirmed cases of the flu are on the rise worldwide and right here in the United States, as well.

There are now 141 confirmed cases in America, and that is spanning 19 states. The number of confirmed cases worldwide now topping 360 across 11 countries, but authorities in hardest-hit Mexico say it appears the virus may be leveling off.

We certainly hope so.

But please note that the higher totals don't necessarily mean the disease is spreading out of control. Rather, here's what investigators are saying. They're reporting more cases as they go through a backlog of those samples.

Also, thousands of Americans school kids get an unexpected vacation. The Education Department says around 300 schools are closed over swine flu fears.

President Barack Obama says the government is taking no chances. He says federal agencies are preparing for the worst if it comes with this flu outbreak, but he adds it is just a precaution.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: We don't know for certain that this will end up being more severe than other seasonal flus that we have. And it's been noted I think before that you have over 36,000 people die on average every year from seasonal flus. You have 200,000 hospitalizations.

It may turn out that H1N1 is -- runs its course like ordinary flus, in which case we will have prepared and we won't need all these preparations.

(END VIDEO CLIP) LEMON: The president just a short time ago, trying to tamp down some of the fears here.

Meantime, classes, sports, maybe even first dates, all are on hold right now for thousands of school kids across the country, and cleaning crews, well, they're out in force.

Here's CNN's Inez Ferre.

(BEGIN VIDEOTAPE)

INES FERRE, CNN CORRESPONDENT (voice-over): In Fort Worth, Texas, workers are sanitizing schools after the entire school system was shut down at least until May 11th, affecting 140 schools, 80,000 children. Local authorities acted out of an abundance of caution.

DR. DAVID PURSE, HOUSTON DEPT. OF HEALTH: This decision was not taken lightly. We understand this creates a significant hardship on the parents in terms of childcare and work and so on.

FERRE: From kindergarten to high school there are more than 100,000 schools in the U.S., enrolling 55 million students. Already nearly 300 schools in at least 15 states are closed because of possible or confirmed swine flu cases. That's about 170,000 kids out of school. The ramifications for parents are huge.

KRISTY MURRAY, UNIV. OF TEXAS SCHOOL OF PUBLIC HEALTH: The children have to be at home and then you need somebody there to be taking care of them. That's I think one of the hardest things and so people are going to end up having time away from work, especially if you have both working parents or a single parent, it's going to make it incredibly difficult.

FERRE: The government is already advising parents to prepare.

KATHLEEN SEBELIUS, HEALTH AND HUMAN SERVICES SECRETARY: What parents can do is begin to think about what happens if you get a note coming home with Johnny from kindergarten that says he won't be coming to school for several days.

FERRE: And employers will also be affected.

JANET NAPOLITANO, U.S. HOMELAND SECURITY SECRETARY: All of us should be dusting off our business contingency plans, looking at things such as telecommuting.

FERRE: All of this comes at a time when so many families rely on two incomes and face uncertain job security.

(on camera): But past flu studies show that keeping kids out of school is a way to stop the illness from spreading. And given the possible cases of swine flu across the country, it's expected the list of schools temporarily closing will grow.

Ines Ferre, CNN, New York.

(END VIDEOTAPE)

LEMON: All right. We have some information just coming in here to the CNN NEWSROOM.

As a matter of fact, one of my producers -- Steve, come in here.

One of my producers is give me some information. Someone who works on the desk, our Steve Rusk (ph), saying a United flight from Germany to Dulles had to land in Boston because of someone with flu- like symptoms on board.

Right. A 53-year-old woman with flu-like symptoms on board. They diverted...

LEMON: A 53-year-old woman with flu-like symptoms on board and they had to divert it to Boston. It was going into Dulles and that's what we're hearing now.

Again, this information is just coming in to the CNN NEWSROOM. As you can see, I'm just being briefed here.

We'll try to get the very latest information for you. You'll see it. There is some information that we have printed up here.

But again, this flight from -- it was from Munich, right? And it was coming in from Germany. It was supposed to go to Dulles, landed in Boston. Flu-like symptoms on board.

We're trying to get more information. Again, it is a United Airlines flight. CNN working on that. More information just as soon as we get it.

Steve Rusk (ph), we appreciate your coming up here to tell me. We'll get more on it in just a little bit.

This relates to this next story very well, because the next time you see someone sneeze, you might want to bless yourself. One little sneeze can pack a huge punch. You might not believe how big. You'll find out this hour, coming up.

Again, we're going to report on the developing news when it comes to the H1N1 breakout. Again, a person on a plane considered with flu- like symptoms coming in to Boston.

And a poor South Carolina school falling apart around its students. And the state's governor is blamed by members of his own party. Stimulus money, plus politics equals a CNN SIU investigation.

(BEGIN AUDIO CLIP)

CALLER: Hi. My name is Julie. I'm calling from Idaho.

It seems that this is far more serious. The numbers are greater than actually being reported as confirmed cases.

I would like to ask CNN to do a segment on emergency preparedness. It is not happening at state level. It is not happening at county levels. Unless it's an area like New York or Texas, where they're in the throes of it up to their eyeballs, it's not happening. So I think they don't want to panic people, but people need information desperately, and are asking millions of questions.

Thank you.

(END AUDIO CLIP)

(COMMERCIAL BREAK)

LEMON: All right. Now to the ailing auto industry.

A judge has approved Chrysler's plan to pay its employees pre- bankruptcy wages and benefits while it is restructuring. No decision yet on how to handle creditors owed nearly $7 billion.

Well, the company's also working on a motion to sell pretty much all of its assets to Fiat. While the company's future hangs in a Manhattan courtroom, the folks back in Michigan wonder what their future holds.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I am worried about what's going on, because what's going the happen? Are we still going to have a job? We might not even have a job when we come back. We don't know.

UNIDENTIFIED MALE: You're worried. That's all you're worried about, your life. You've got a house to pay for, you've got a kid, you've got whatever. I mean, it's scary.

(END VIDEO CLIP)

LEMON: Well, you know what? The worry and the uncertainty aren't just limited to employees. What about that Chrysler in your driveway? Or the one you may be considering buying?

Personal Finance Editor Gerri Willis joins us.

So, Gerri, what about that? What about the one in your driveway or you may be considering? What should you do?

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Well, Don, the first thing Chrysler owners need to know here is that this bankruptcy filing, it doesn't mean that the carmaker is going out of business. At least not yet.

In the weeks to come, Chrysler will be restructuring, changing management, combining with Fiat, as you said, but there's no indication that Chrysler will be liquidating assets or boarding up all of its showrooms. And that is great news for the average Chrysler- owning consumer, because getting day-to-day maintenance, it's not really going to change very much.

Chrysler will still be standing behind those power train warranties so you can go get your repairs you'll qualify for. Auto part makers should continue to function normally.

Now, it's true that Chrysler may well be shutting down some dealerships in the months to come, but most closures will probably take place in places with there's more than one Chrysler dealership anyway. So instead of just driving down the road, you may have to cross town to get service. Not a big deal.

As far as resale values go, well, they're probably going to take a hit. I spoke to the folks at Kelley Blue Book. They say we're not going to see a drastic drop. That's because the possibility of a Chrysler bankruptcy has been circulating for weeks and weeks and weeks.

And in the longer term, as more consumers realize that Chrysler is still an ongoing, fully-functioning company, those prices should stabilize -- Don.

LEMON: OK. All right. So the rumors have been going for weeks and weeks and weeks, and for months and months and months we've been hearing about this possibility. So -- hearing about the trouble with the auto industry.

So it sounds pretty upbeat. But is it possible -- and I'm sure it is, anything is possible -- that this bankruptcy won't be as smooth-going as they would like it to be? So why would someone even consider buying a Chrysler right now, is the question?

WILLIS: Well, absolutely. You know, right now Chrysler says it's going to be out of bankruptcy in a matter of weeks, but you know what? Things are always cleaner on paper than in real life.

Angry creditors could slow down the bankruptcy proceedings. And Chrysler might not be able to emerge from Chapter 11 as soon as it would like. That would further spook buyers, which would drive down sales in prices. For now, that's a waiting game.

But if you're thinking about buying a Chrysler, here's the good news -- you won't get a better deal on a Chrysler than right now. Right?

LEMON: Yes.

WILLIS: And if you're the kind of person, Don, who trades in your car every two to three years, the savings might be worth it. On the other hand, if you own your car for a decade or more, really drive it to the ground, the reality is, we don't really know what the long- term prospects are for Chrysler -- Don.

LEMON: Yes. It's a good time to drive a bargain. And I didn't even mean to say that. But it's a good time for a bargain, right, if you can do it?

WILLIS: That's right, yes. And you can absolutely get them right now on Chryslers. Absolutely true. But if you're going to hold it for the long term, I think you might want to think through the ramifications here. LEMON: Gerri Willis, our personal finance editor.

We always appreciate it, Gerri. Thank you.

WILLIS: My pleasure.

LEMON: Well, you know, J.V. Martin Jr. High is literally falling apart. In 2007, I visited the crumbling school in Dillon, South Carolina, to cover a campaign school. That was Drew Griffin visited there, but I also covered -- well, I did it, as a matter of fact. And I think Drew visited there, as well.

I visited there when President Barack Obama promised, you know, more funding for rural schools. And in his speech to Congress, just back in February, the president even read a student's letter pleading for help for schools like Dillon.

Well, so what happened? Special Investigation Unit Correspondent Drew Griffin has the story. Take a look.

(BEGIN VIDEOTAPE)

DREW GRIFFIN, CNN SPECIAL INVESTIGATION UNIT CORRESPONDENT (voice-over): The gym was built in the '20s. The roof leaks.

HAROLD WILSON, SCIENCE TEACHER: Just some of these buildings over here were recently built.

GRIFFIN: Harold Wilson has taught and coached here for 30 years. He's not complaining, he just thinks no matter how poor a school district is, you should at least be able to use the restrooms in the rain.

(on camera): You're not asking for a $35 million state-of-the- art gymnasium or a weight room.

WILSON: No.

GRIFFIN: You're talking about a bathroom and covered walkways.

WILSON: Correct. Just little things like that, that make it a whole lot better for the kids.

GRIFFIN: This looks like a bad hotel. It does.

WILSON: You have to use what you have, and you make the best of it.

GRIFFIN (voice-over): J.V. Martin Junior High in Dillon, South Carolina, has been patched, added on to, and held together as best as a poor school district can, but the superintendent says there's just one real solution.

RAY ROGERS, SUPERINTENDENT, DILLON SCHOOL DISTRICT: The bottom line is, is we need a new school. GRIFFIN: And that massive stimulus bill would provide money for schools just like J.V. Martin. But in South Carolina, politics have intervened. And the politics have gotten ugly.

(on camera): Are you telling me that this school in Dillon, this junior high school, that this governor is willing to let that school deteriorate over a political issue that he can run on in the future?

HUGH LEATHERMAN (R), SOUTH CAROLINA STATE SENATE: Absolutely. This governor, in my opinion, cares nothing about this state, cares nothing about the people he governs.

GRIFFIN (voice-over): Hugh Leatherman is a Republican. He heads South Carolina's Senate Finance Committee. The evil-sounding governor he is talking about is also a Republican.

Nationally, South Carolina Republican Governor Mark Sanford is a bit of a rising star in the party. He's refused to take a portion of the stimulus money being sent to his state unless the state uses the same amount of money to pay down its debt. That amount is $700 million, and the state legislature says, yes, that money could be used for new schools.

Senator Leatherman says what the governor is really doing is running for president while kids suffer.

Not so, says the governor, at least in writing. His staff told us Governor Sanford was too busy for an interview, but explained in an e-mail that, "It's schoolchildren across South Carolina, their children, and likely their grandchildren, who will ultimately be forced to pay back the so-called stimulus bill," the governor writes, "and if future taxpayers are going to be on the hook for it, we believe it's very important to send them a dividend in the form of debt repayment."

Back in Dillon, the eighth grader who wrote the president asking for help is still hopeful it will come. She's just learning politics really is about compromise.

TYSHEOMA BETHEA, J.V. MARTIN 8TH GRADER: We will come together and try to get the governor to receive the stimulus money to rebuild not only our schools, but also other schools that are in need of help.

GRIFFIN: In the meantime, the South Carolina State Senate has now passed a bill to force the issue, demanding the governor accept the money, and eventually demanding the students of J.V. Martin get a new school.

(END VIDEOTAPE)

LEMON: All right. So I was there in 2007. You were there. I was right, you were there, as well. And that same gym where the president made the shot, or whatever, falling down.

GRIFFIN: Right. That gym was actually built for boxing.

LEMON: Oh, really?

GRIFFIN: I don't know if you knew that.

LEMON: No, I didn't know at the time.

GRIFFIN: It was originally a boxing gym, yes.

LEMON: The school is hot at heck. When trains go by, the temporary classrooms rumble.

GRIFFIN: Shake.

LEMON: So obviously the school needs help. So can they make the governor take the money to improve that school?

GRIFFIN: This is the strategy -- they actually tried to force this in court, and a judge in South Carolina went to the legislature and said, listen, I have got nothing here to decide on. You guys got to go pass a bill and force the governor to sign it and then come back. That, Don, is what they have done.

Now, they're passing a budget that says this budget also includes the $350 million for two years that the governor is saying he won't take. We're asking you to take that money. Then it's going to go back to court. I think a judge is going to have to decide this.

LEMON: But meantime, the students and the teachers and everyone just sort of sit there and wait, right, in those...

GRIFFIN: Well, they are. They are sitting there.

And you know, if you've been there, you know, they passed a bond issue. The economy went south. This is a very rural, poor district.

So, you know, a bond based on sales tax isn't going anywhere right now. So they are really desperate for a new school. They're hopeful they're going to get it. The Republicans who are challenging the Republican governor are saying we're going to get that money one way or another.

LEMON: Education a big deal, and the administration has said it's a big deal for them. It's very interesting. It's a dilemma, because we'll see what's going to happen. But it's a very big dilemma.

Drew, we appreciate your reporting. Check back as soon as we get some movement on it.

GRIFFIN: Right.

LEMON: We wish those students and the teachers well, as well.

OK. We want to move on now and talk about severe weather. At least the dramatic rescues of humans and animals, as well. It's happening in Oklahoma. And the latest on this plane, a plane that you're going to look at now, diverted to Boston this hour. There you go -- pictures from our affiliate WCVB. A passenger there with flu-like symptoms. That passenger being transported. Again, just symptoms, not confirmed to be the H1N1 virus.

We will check it out for you.

(COMMERCIAL BREAK)

(WEATHER REPORT)

(COMMERCIAL BREAK)

LEMON: All right. In these troubled times, credit card companies canceling cards and raising rates. What can you do about it? And should you use money from your IRA to pay the IRS?

Well, some answers now from Personal Finance Editor Gerri Willis and her team at the help desk.

(BEGIN VIDEOTAPE)

WILLIS: We want to get you answers to your financial questions. Let's get straight to the help desk.

Lynnette Khalfani Cox is a personal finance author, and Greg McBride is a senior financial analyst with BankRate.

All right, guys. Let's get right to those question.

The first one is from Bobbie. She asks, "My spouse and I have a debt to the IRS. The only means of paying it is with IRA" -- that's retirement funds -- "as we are both retired. Is it a positive move to withdraw money to pay the debt?"

Greg, let's talk about this. This is a tough situation that a lot of folks out there find themselves in.

GREG MCBRIDE, SENIOR FINANCIAL ANALYST, BANKRATE.COM: And while at their age, they can make withdrawals from the IRA without having to pay any types of penalties, you have to think about the danger of drawing down too much too soon. I mean, at their age, they're still young enough. Maybe part-time work is a possibility, they can pay off that debt to the IRS and build a savings cushion and not have to deplete that IRA.

WILLIS: And one of the problems with that kind of debt, you know Uncle Sam doesn't forgive you. There's no statute of limitations on the IRS.

MCBRIDE: That's right. It is not going away. That's for sure.

WILLIS: All right. Let's go to the next one.

Deborah asks, "My husband and I worked hard for 36 years to attain our recent credit card APR. Last month, Capital One closed our card for 'lack of use.' The APR on that card was 4.9 fixed. Now, Bank of America has raised our APR from 5.9 percent to 9.9 percent (after I called)."

"The charge was originally a variable rate of 11.65 percent. I want my old rates back."

Lynette, any hope for these people? You know, I hear this all the time.

LYNNETTE KHALFANI COX, PERSONAL FINANCE AUTHOR: Right. And you know, one of the things that most consumers don't understand is that even if you have a fixed rate, it's really only fixed until the bank says otherwise. They can change the interest rate.

WILLIS: That's right.

KHALFANI COX: So, yes, you can call. You can try to negotiate. You can ask for a lower rate. You can possibly switch cards and go with another credit card issuer.

The unfortunate part is that, you know, the Credit Card Holders' Bill of Rights that's going to pass soon, I'm sure, is not going to be in effect until 2010. And that would make companies give you at least 45 days to notify you of a rate increase, things of that nature and not be able to retroactively increase your credit card interest rates.

WILLIS: And of course, there's legislation, there are federal - all of this, none of it passed yet.

But you know, Greg, you look at a situation like this and you think, wow, this is a tough situation. Why not go to a card web.com, find a new card, maybe roll over your debt?

MCBRIDE: Shop around. I mean, we have a free search engine at bankrate.com. Find the lowest rate cards and if you can effect a balance transfer, that might be the lowest cost option.

WILLIS: Great ideas.

All right, "The Help Desk" is all about getting you answers. Send me an e-mail to gerri@CNN.com. Or log on to CNN.com/helpdesk to see more of the financial solutions.

And "The Help Desk" is everywhere. Make sure to check out the latest issue of "Money" magazine on newsstands now.

(END VIDEOTAPE)

LEMON: Oh. I hate that. That ismy worst fear. Especially on an airplane or a confined space like that.

Bless you. As a matter of fact, bless all of us. The simple sneeze can go a long way these days if you haven't covered your mouth before, maybe you will now.

Stay tuned.

(COMMERCIAL BREAK)

LEMON: I want to update you now on our breaking news. You are looking at a plane, United Flight 903. It was diverted to Boston. It was supposed to go to Dulles coming from Munich, Germany. A passenger on board that plane is being transported because she, a 53-year-old female, had flu-like symptoms.

We're working to get more information on that. Meantime, many of you are weighing in on some of the stories that we're putting on the air, especially when it comes to swine flu here. We don't know if this passenger has swine flu. It just - has flu-like symptoms.

Here's what ahhpooh414 says at Twitter.com/donlemonscnn. It says, "Come on... really? Now your gonna report on sick people on a plane, people get sick on planes every day... get a grip people!!!"

We hear you. Thank you very much for that.

Go to Twitter, Facebook or iReport.com, you can comment on any of the stories that we put on the air. And that is a good segue for this.

So let's say you're on a place, you're on a subway or a bus and the person next to you sneezes. Well, you might suddenly find yourself in a hazmat zone.

Don't believe me? Well, just ask our Randi Kaye who found out that a little sneeze packs a heck of a punch.

(BEGIN VIDEOTAPE)

RANDI KAYE, CNN CORRESPONDENT (voice-over): With swine flu so close to home, riding the subway these days making New Yorkers think twice. So many commuters wondering, can I get it?

So, we asked Dr. Lynn Horovitz to ride the rails with us and help us understand the power of a single cough or sneeze. All it takes is one good achoo to send well over 40,000 droplets barreling in your direction at about 100,000 miles an hour. They can quickly make dozens of commuters within a few feet very sick.

If a person used the hand to cover his sneeze, look out.

(on camera): So if sneezed and grabbed this pole to hand on to, they're going to leave germs behind. And then say I come along to on to this pole. I'm going to pick up those germs without knowing it. Then say maybe I come over here to sit down and touch my hand to this seat. Well, I'm going to leave those germs behind for the next unsuspected commuter and it spreads from there.

(voice-over): And the Dr. Horovitz, a specialist in respiratory illnesses, says germs are so hearty, they can survive overnight.

DR. LEN HOROVITZ, RESPIRATORY ILLNESS SPECIALIST, LENNOX HILL HOSPITAL: The viral particles can be alive for up to 24 hours. So, somebody tomorrow morning gets on the subway, touches it, touches their face, introduces it into their body and they have it.

KAYE: That could mean hundreds, maybe even thousands of people end up sick.

UNIDENTIFIED FEMALE: I carry my cleaning -- my hand sanitizer in the purse.

KAYE: Some riders touch their face...

(END VIDEOTAPE)

LEMON: We'll try to bring you that complete package from Randi Kaye later on on CNN.

Meantime, we want to get to the White House briefing room. Robert Gibbs begins with the daily briefing.

Let's listen in.

(JOINED IN PROGRESS)

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: In one of his first official acts, the president ordered an interagency review of the status of Ali al-Marri, who had been held without charges in facilities within the United States for more than five years.

As a result of that review, the Department of Justice charged al- Marri in federal court. Yesterday, he pled guilty to conspiracy to provide material support to the Al Qaida terrorist network. This is a victory for the rule of law.

The president also directed a parallel interagency review of the detainees at Guantanamo to determine their appropriate disposition, consistent with the interests of justice, as well as our national security and foreign policy interests.

Closing Guantanamo is in our national interest. We are grateful for the recent willingness by our partners in Europe to assist us in resettling detainees.

Let me do the week ahead. The president will spend the weekend in Washington and has no scheduled public events, good news for you who drew pool duty this weekend.

On Monday, the president will attend an event in Washington. In the evening, he will attend a Cinco de Mayo event at the White House.

On Tuesday, the president will meet with President Shimon Peres of Israel at the White House.

On Thursday, the president will sign a proclamation recognizing the National Day of Prayer and attend meetings here at the White House.

On Friday, the president will also attend meetings here at the White House.

On Wednesday, the president will meet with President Karzai of Afghanistan and President Zardari of Pakistan. I want to read a statement about that.

In order to raise the level of the dialogue, accelerate the process of cooperation between the two countries, and implement the new strategy formulated by the United States, President Obama will host at the White House President Karzai of the Islamic Republic of Afghanistan and President Zardari of the Islamic Republic of Pakistan.

In addition to the trilateral summits, both presidents will have separate meetings with President Obama to discuss issues in the U.S.- Afghanistan and the U.S.-Pakistan relationships.

This follows up on the commitment President Obama announced on March 27th to establish a standing trilateral dialogue between our three governments. The president looks forward to discussing with these two democratically elected leaders how we can work together to enhance our cooperation in this important part of the world, as the United States implements a new strategy toward Afghanistan and Pakistan.

Delegations from both nations will be in Washington on May 6th and 7th for a range of official meetings.

QUESTION: Is Captain Phillips coming by at all?

GIBBS: I do not have that in any of my guidance, but I can double check.

QUESTION: OK.

QUESTION: (OFF-MIKE)

GIBBS: That's the only guidance I have. I don't -- I don't have anything on that yet.

Yes, ma'am?

QUESTION: Thank you.

GIBBS: (INAUDIBLE) jumped ahead of you just then.

QUESTION: I know. Well...

QUESTION: No disrespect.

QUESTION: I yield my time and take it back...

GIBBS: I hear you.

(CROSSTALK)

QUESTION: Two things on the Supreme Court, not directly related to Justice Souter. Can you walk us through how the White House is -- what's happening here at the White House?

Obviously, we know you guys have -- have made preparations for this really from the beginning, talked about lists, vetting, getting the process, thinking about a process. So can you talk about where that is and what it will look like?

GIBBS: Yes, let me -- I want to talk very obliquely about this, because...

QUESTION: I was asking very obliquely.

GIBBS: Good, check. Obviously, I'll just say we have not, at this point, received any notification from any Supreme Court justice regarding stepping down. Apparently, somebody's listening as we speak.

So I'm a little hesitant to talk about what happened going forward, except to say this, that, obviously, throughout -- beginning in the transition and throughout the administration, members here in the administration have been making preparations to appoint federal judges and to begin starting during the transition in anticipation that, at some point, the president would have the important responsibility of nominating a justice to the United States Supreme Court.

Those meetings have taken place, as I said, throughout the transition and throughout the course of the first 100 or so days here to identify candidates for judicial positions.

QUESTION: Looking back to November of 2007, when he was a candidate, he said that he would not appoint somebody who doesn't believe in a right to privacy.

Does he stand by that now that he's president?

GIBBS: Absolutely.

QUESTION: And doesn't that come close and almost at the litmus test?

GIBBS: No. I think he's been asked specifically about whether he had a litmus test, and the answer to that was no. But this, obviously, is a president who's...

QUESTION: He is aware of that, though.

GIBBS: Well, he believes that...

QUESTION: In the litmus test in terms of...

GIBBS: I think he believes that the right to privacy in the case of Roe v. Wade, I think he said during one of the presidential debates with John McCain, it was settled and was, in his mind, settled correctly.

That having been said, this is a president, obviously, who's taught constitutional law, understands the Constitution, and I think he's pretty confident that discussing legal philosophy with a candidate, any perspective candidate, he could get a sense of what their mindset was relating to the law.

QUESTION: Robert, since the president does have that background and teaching law for 10 years, constitutional law, can we expect that the president will take a more direct role in this discussion and vetting and assigning the proper candidate?

GIBBS: I don't know who normally would pick a Supreme Court justice in the White House, but I can assure you, in this one, the president will be the person who picks that nominee, interviews that nominee.

QUESTION: But that's obvious. But, I mean, in terms of compared to other presidents, with his background, with his background, will he be more actively involved in the nitty-gritty of this nomination?

GIBBS: I guess I -- what do you mean by nitty-gritty?

QUESTION: Well, it would be, let's say, philosophical discussions about how judges should look at issues or activist judges versus -- you know, that type of debate that's so hot in this area.

GIBBS: Well, again, I think the president, based on his experience and his knowledge in teaching of the Constitution, will be actively engaged in discussions, both on the right type of candidate to pick, ensuring diversity in their background and experience, as the president talked about during the presidential campaign, as well as in discussion with whatever prospective nominees he might wish to speak with in order to find somebody that he thinks is the best candidate, again, in the event that there's a vacancy.

QUESTION: Does he have any kind of working shortlist already or has he had one?

GIBBS: Again, they have -- many people here have been working on the likely eventuality that there would be -- there are, obviously, judicial openings and in the event that there might be a Supreme Court opening, and they've been going through names.

But I'm not going to get into short, medium or long lists.

QUESTION: OK. And also, just on another subject, the bank stress tests are coming out next week. And I'm wondering -- I know you can't tell us what the conclusions will be, but will we get a broad sense of what is going to be needed in terms of money, the banking sector (INAUDIBLE) the extent of the problem, or is there -- is there going to be more of an interim type of thing?

GIBBS: Well, I would -- I think specifically you should talk with the Fed, the regulators that are involved in conducting the bank health assessments and the stress tests.

But I think -- it's my understanding that you'll see a pretty broad and transparent look at the results. These obviously were undertaken in order to provide an understanding of what capital cushion might be needed for banks if a recession got even more severe than the one we're in now.

So I think the regulators' hope is to be exceedingly transparent, because we think it's important -- an important way of making decisions going forward and stabilizing the financial system.

Yes, sir?

QUESTION: Two quick questions. One, how important is diversity as an ideal that the president's considering when picking, hypothetically, the next Supreme Court justice?

GIBBS: Well, you know, Jake, I've -- I've heard him talk about this during the presidential campaign and even as -- even as a senator. I think the most important thing to him is diversity of experience, somebody who has not just thought about the law, but somebody who has the type of experience to understand how the decisions that he or she might make at any level of the judicial process would affect average, everyday Americans.

So if -- for instance, if you're appointing somebody that was -- were to have heard the case involving Lilly Ledbetter and fair pay, that that's a person that could understand through empathy the situation that she was dealing with.

So I think he is looking for somebody more with a diversity of background and experience than anything else.

QUESTION: And just to follow up on al-Marri, what do you say to Americans who hear that al-Marri, who has admitted being trained by Al Qaida, given a mission by Khalid Sheikh Mohammed, sent to the United States to commit terrorist acts, and hear that this person has been sentenced to 15 years in prison, with or without time served? That doesn't really seem like enough time in prison for somebody who is clearly an Al Qaida -- an admitted Al Qaida sleeper agent.

GIBBS: Well, understand, Jake, that this is a victory for the rule of law because he's finally going to jail, convicted of the crime of aiding that terrorist network.

QUESTION: But he'll be out, at the latest, in 2024.

GIBBS: Well, I -- I don't think that it's been determined, in terms of -- you mentioned time served. I think the American people should feel good that the president sought at the beginning of his term that justice be brought swiftly. And, in this case, it finally has.

QUESTION: He was talking to -- I believe this was the Detroit Free Press editorial board meeting this past October, and he was talking about the kind of justice that he would want on -- on the court. And he said, "Somebody who doesn't think they should be making law," but then he went on to say, "Someone who recognizes that one of the roles of the court is to protect people who don't have a voice, the vulnerable, the minority, the outcast, the person with the unpopular idea, the journalist who shakes things up." I like that, but...

(CROSSTALK)

GIBBS: That mythical person has approval in this room?

QUESTION: It almost sounds like the definition -- definition of an activist judge, somebody who's going in there to protect particular classes of people.

GIBBS: No, I think -- I think...

QUESTION: And how does that square with saying it's not somebody who wants to make law?

GIBBS: Well, because, as I just said a minute ago, I think you have to -- I think you have to understand the cases that you're hearing and understand the way those cases affect the individuals that are involved and the ramifications that those cases have.

It's understanding, as I said a minute ago, what it's like -- having a diversity of experience to understand exactly what it's like when somebody comes seeking justice in front of the courts based on a grievance that they have, again, as I said, understanding, for instance, somebody like Lilly Ledbetter, who -- keep in mind what the Supreme Court determined, that she missed her window to bring a grievance about fair pay because she would have had to have done so -- I forget the exact number of days, 120 or 180 days.

Well, surprisingly, when one discriminates against your pay, they don't normally give you a 120 to 180-day heads-up that you're being paid markedly less than your male counterparts are for the duration of your activities.

So I think having a justice that understands the ramifications of what each of those means is important and something that the president believes is important.

QUESTION: Correct me if I'm wrong, I'm sure somebody will, but I believe every justice on the court now had a long experience as a federal judge, most of them as appellate judges. That's a real kind of ivory (INAUDIBLE) world.

It's not a great diversity of experience and background. Do you think he'll be looking for somebody who did not spend their career sitting on a bench, but was a politician or someplace out in the real world? If politics is the real world.

(CROSSTALK)

GIBBS: I think the president, again, will look for diversity of experience. I don't want to get into exactly what -- take it easy over there, guys -- exactly this or that qualification, but a diversity of experience that can understand the range of issues.

Yes, ma'am?

QUESTION: Firstly, is it weird that you haven't heard from Justice Souter considering that...

GIBBS: No. It's weird that I'm talking about this not having heard from him, yes. I think that's sort of materially weird, yes.

QUESTION: But in all serious, apparently, everyone in Washington knows he's told enough people that it is -- you're not resisting -- you're not suggesting this has been true. I guess I'm just wondering, has there been any communication between the court and the White House at all?

GIBBS: No, no. I checked before I came out here, assuming that I might get a question or two about this.

But here's what I would say. I think whether somebody decides to serve or not serve or continue not to serve, I think the White House and the president strongly believe that that's a decision that each individual would make.

And if or when we hear something, we'll, one, let you know and, two, probably have some reaction from the president.

But I don't -- do I find it weird that the press is ahead of somebody making that decision? No. No, not at all.

QUESTION: Oh, you think he hasn't made the decision yet?

GIBBS: I haven't heard it. So in my mind, he hasn't made it.

QUESTION: OK. Back to this issue of diversity. I know you promised to be oblique. But considering that diversity of experience, certainly, encompassed in that is diversity by race and diversity by gender.

Can you just let us know and is that something that he puts a premium on?

GIBBS: I think the president would look for any individual that understands the rule of law, an individual that has an understanding of and an application for the law, somebody that has different experiences.

QUESTION: All things being equal, would a woman or somebody of a diverse race be a plus factor?

GIBBS: I'd let the president pick the next Supreme Court justice, if he's lucky to get that opportunity. I think a diversity of experience would include some of that.

But at the same time, the president's going to look for the person that he thinks is most and best qualified to serve in a position of such unparalleled importance.

I also -- I think you'll -- again, in the event that this happens, I think the president will want to consult with people from a lot of different backgrounds and a lot of different political parties to get their input on an important decision.

QUESTION: And finally, picking up on what Jennifer said, I mean, you could argue about whether saying that the right to privacy is nonnegotiable, it's a litmus test or not.

But just (INAUDIBLE), what's wrong with a litmus test if it's something that's important to the president?

GIBBS: I didn't render a verdict on whether a nominee or a person should answer a certain way based on a litmus test. I simply am...

QUESTION: I know. It's just sort of accumulated wisdom that litmus tests are bad.

GIBBS: I don't want to -- I shouldn't be the spokesperson for accumulated wisdom.

QUESTION: Are you saying, on the issue of notification, that there hasn't been a whisper, a wink, a nudge conveyed to somebody in this building on behalf of Justice Souter?

GIBBS: We have -- nobody that I can find at the White House. I asked at the mess (ph)...

(LAUGHTER)

QUESTION: Is that where everybody goes?

GIBBS: Well, there -- there was a congregation there, and just wanted a broad sweep. Nobody has heard formally from Justice Souter about any intentions to change his status in the Supreme Court.

(CROSSTALK)

QUESTION: When did the president learn about it?

GIBBS: The president learn about...

QUESTION: That Justice Souter might be retiring?

GIBBS: I -- I have no idea. I assume, unless they broke into the basketball game last night, it was probably in the papers this morning.

QUESTION: One more...

(CROSSTALK)

QUESTION: ... just to follow up on your question, has there been any informal communications?

LEMON: All right, very interesting to hear Robert Gibbs talk about the proposed retirement of Justice David Souter when he said he hasn't heard anything from the court, nothing from Souter. A question that -- a reporter asked him that question. He said it's even weird for him to talk about it when he hasn't heard from him and there's nothing official right now.

Lots of questions about diversity, as well. Diversity of opinion, he says, is what the president is looking for.

You're watching CNN, we're back in a moment.

(COMMERCIAL BREAK)

LEMON: I'm Don Lemon. I'll see you back here Saturday and Sunday, noontime.

The next hour of CNN NEWSROOM with Rick Sanchez starts now.