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Two U.S. Journalists Convicted in North Korea; New Abortion Violence Threat; Parents Mourned in Day Care Fire; Lebanon Voters Says "No" to Hezbollah; Recovery Plan Reality Check; Rancher Wins $232 Million Jackpot
Aired June 08, 2009 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
HEIDI COLLINS, CNN ANCHOR: Sentenced to 12 years in prison, a North Korean court comes down hard on two American journalists. This hour, how the U.S. is responding.
And a big jump at the pump explains the bailout for higher gas prices. We'll tell you all about that.
And we are watching your money on two other fronts today. Wall Street reopens while President Obama makes plans to speed up stimulus spending.
It's Monday, June 8th, everybody. Hi, I'm Heidi Collins, and you are in the CNN NEWSROOM.
Right now, Americans convicted by North Korea's highest court. The communist nation has sentenced the two women now to years of hard labor.
Sohn Jie-Ae is actually in South Korea for us this morning talking a little bit more about this latest defiance of the international community. And also in Washington, our Elaine Quijano is talking a little bit more about the soaring tensions and the latest tough talks between these two nations.
Here is what we know at this point. North Korea's top court convicted Laura Ling and Euna Lee of what it calls a grave crime. The court has not said what the crime allegedly was. In Washington, the State Department says it is deeply concerned.
Analysts say negotiations can now begin with Pyongyang. And many believe Pyongyang is using the journalists as bargaining chips. The United Nations, after all, is debating how to punish North Korea for its latest military threats.
The two women were taken into custody nearly three months ago along the China-North Korea border. Laura Ling and Euna Lee were working on a story about refugees.
We want to get the very latest now from Sohn Jie-Ae who is in Seoul, South Korea this morning.
Sohn Jie-Ae, tell us a little bit more about this sentence.
SOHN JIE-AE, CNN CORRESPONDENT: Well, Heidi, North Korea, being one of the world's most secretive regimes, we really don't know that much about North Korea's legal system but analysts say that this is a very serious sentence that the North Koreans say there are grave crimes against the nation. While they haven't been specific.
Before when they were charging the two journalists they did specify and say the two U.S. journalists committed what North Korea calls hostile activities towards North Korea as well as espionage. Now, the analysts here say that usually such charges would carry sentences of between 5 to 10 years.
And the very fact that North Korea came down so hard, giving them a 12-year sentence, is North Korea saying to the world that this is a serious case and that the world must take this very seriously, Heidi.
COLLINS: Or, are they using them, you know, as examples? I mean do we have any idea what it could potentially be like for them in this type of prison?
SOHN JIE-AE: We don't. But just to make it clear. What we're talking about is a North Korean prison.
COLLINS: Right.
SOHN JIE-AE: It's a bit different from the gulag that we have been hearing about in the past. You know the humongous human rights violations that we talk about. Nevertheless, a North Korean prison is no piece of cake either.
COLLINS: Yes.
SOHN JIE-AE: We have heard from North Korean defectors talking about human rights violations and dismal conditions even in North Korean prisons. So it is not a -- very healthy environment for the two journalists wherever you think they are, Heidi.
COLLINS: Yes. No doubt about that. All right. We will continue to follow this story. Of course, Jie-Ae, thanks so much. Coming to us live this morning from South Korea.
The families of the two women have spent the last several weeks making sure Americans knew about the case. Just before the sentencing we heard from Laura Ling's well-known sister Lisa.
(BEGIN VIDEO CLIP)
LISA LING, LAURA LING'S SISTER: Quite honestly, this story that my sister went to do wasn't one that we were that concerned about because they had no intention when they left the United States to cross into North Korea.
My sister is an amazing journalist and she's very passionate about what she does.
UNIDENTIFIED MALE: And courageous.
LING: Yes. She's -- I mean she is a good person who wanted to tell a story. And this unfortunate event has happened and we just hope that she's OK and that she'll be returned home to us.
(END VIDEO CLIP)
COLLINS: Lisa Ling answering questions with -- from a commencement speech that she was obviously involved in there. She has also filed reports for CNN. She has said that while the families have not been able to speak to the women since the sentencing, they have been told that they are, quote, "very, very scared."
Several senior administration officials tell us the White House could send a representative to North Korean to work on the women's release. Now one possible person, Al Gore. The former vice president is co- founder of Current TV, the media company the women were reporting for when they were detained.
Another candidate, Bill Richardson. The former diplomat has worked for the release of North Korean prisoners in the past.
(BEGIN VIDEO CLIP)
GOV. BILL RICHARDSON (D), NEW MEXICO: North Korea is always very, very alert how the international community views them. And they like to be unpredictable. They are using them as bargaining chips. It's a high stakes poker game that they're playing.
But they're also realistic in wanting to resolve any kind of standoff on the humanitarian issue. I believe that has been consistent in their behavior in the past. So I expect the next few days, the next few weeks something unfolding that points to the separation.
And I think the Obama administration has done a good job of separating the humanitarian issue from the political differences we had.
(END VIDEO CLIP)
COLLINS: Richardson was instrumental in negotiating North Korea's release of U.S. citizens back in the 1990s.
Now the State Department has released an official response to the sentencing. I want to give you part of that statement now. It says this. Quote, "We are engaged through all possible channels to secure their release." It goes on to say, "We once again urge North Korea to grant the immediate release of the two American citizen journalists on humanitarian grounds."
Well, this morning the Obama administration also speaks out on North Korea's sentencing.
CNN's Elaine Quijano is joining us now from the White House with more on this.
So what did they have to say, Elaine?
ELAINE QUIJANO, CNN WHITE HOUSE CORRESPONDENT: Well, the White House's reaction coming early this morning, Heidi, basically echoing what you just read here. The statement coming out of the State Department.
But here's what we have from the White House. It comes to us from deputy White House press secretary Bill Burton who said in a statement, quote, "The president is deeply concerned by the reported sentencing of the two American citizen journalists by North Korean authorities. And we are engaged through all possible channels to secure their release."
Now, over the weekend, Secretary of State Hillary Clinton insisted that the detention of these two women was a humanitarian issue that should be kept separate from political matters. But Heidi, as you know, this is just another complication in the U.S.'s dealings with the communist nation. Heidi?
COLLINS: Yes. Seems like that is a pretty tough thing to do. The fate of these two journalists just the latest, obviously, in the irritants and the escalating tensions between these two countries, U.S. and North Korea.
Secretary Clinton was also outspoken over the weekend on the country's nuclear ambitions, right? But she did try so hard to keep them separate.
QUIJANO: That's exactly right. And, in fact, these developments just this morning, really, coming on the heels of some tough talk from President Obama himself as well as Secretary of State Hillary Clinton. Really tough talk that could signal a change in the U.S.'s approach.
Now Secretary Clinton said that the United States is looking at the possibility of putting North Korea back on its list of state sponsors of terrorism. She's also asked, what are the consequences if the North Korean regime tries to ship nuclear materials to other countries? Take a listen to how she answered.
(BEGIN VIDEO CLIP)
HILLARY CLINTON, SECRETARY OF STATE: We will do everything we can to both interdict it and prevent it and shut off their flow of money. If we do not take significant and effective action against the North Koreans now, we'll spark an arms race in northeast Asia. I don't think anybody wants to see that.
(END VIDEO CLIP)
QUIJANO: Now she used the word interdict. Why is that a big deal? Because the North Koreans have threatened that if their ships are intercepted, that that move would prompt some kind of retaliatory military strike. That's what they've threatened essentially.
COLLINS: Yes.
QUIJANO: So as the United States, as the U.N. Security Council looks at how to ratchet up the pressure on North Korea, that of course is a big consideration, Heidi, just exactly what North Korea might do, how it might react, if there is increased pressure on the regime. Heidi?
COLLINS: Yes. No question, that is the big issue to be working with. Thank so much. Elaine Quijano from the White House this morning.
Domestic issues now also part of the president's agenda after a busy week overseas. He and the vice president meet with Cabinet members later today to talk about the economy.
President Obama is promising to speed up the pace of stimulus spending over the next few months. He wants to boost the economy and create more jobs as the unemployment rate at its highest in 25 years. It could be time for a stimulus reality check.
Where is the money going? And where are the jobs? We're talking about that coming up in our next half hour.
Will the sizzle of summer burn a hole in your wallet? We'll look at the rising price of gas, as well, and the seasonal spike that still lies ahead. But just how bad will it get?
BONNIE SCHNEIDER, CNN METEOROLOGIST: I'm CNN meteorologist, Bonnie Schneider. I'll have a look at your forecast, plus we are tracking activity in the tropics. That's all coming up.
(COMMERCIAL BREAK)
ANNOUNCER: You're watching CNN NEWSROOM on CNN, the most trusted name in news.
COLLINS: New Orleans mayor Ray Nagin is quarantined in China today after possible exposure to the H1N1 virus. An aide said the mayor had been seated on the plane next to a passenger who showed signs of the swine flu. Now the mayor, his wife, and members of his security detail have all been quarantined in a Shanghai hotel. But none of them have flu symptoms.
Want to head over to Bonnie Schneider now standing by in the Severe Weather Center and talk a little bit more some of this crumby weekend, to say the least, weekend weather.
SCHNEIDER: Yes.
COLLINS: And specifically Colorado.
(WEATHER REPORT)
COLLINS: Yes. No question. All right, Bonnie. We will come back to you for that. Thanks so much.
SCHNEIDER: Sure.
COLLINS: Gas prices are climbing and the summer spike is somewhere down the road. So will we see a return of last year's record prices? Sure hope not. Christine Romans is part of the CNN money team and she is joining us now with a little bit more on that.
Yes, please tell me. It's not going to get that bad, is it?
CHRISTINE ROMANS, CNN CORRESPONDENT: No, I don't think so. But, look, people have been getting pretty alarmed by how quickly these prices have gone up, Heidi. And it's a record, percentage wise, jump over the past five months.
I mean you have gas prices up 50 percent since January. I mean it's been a quick run-up and it's caught a lot of people by surprise. I mean we've talked before, Heidi, about how the government had its peak put in there maybe $2.30 for the summer, we're already well past that.
And there's a couple of reasons here. One, oil prices are higher. They hit $70 a barrel on Friday.
COLLINS: Right.
ROMANS: Why are they higher? They're higher because in the global markets, they're anticipating some sort of a recovery in the economy down the road. And here's something to think about. They're also concerned about all of the bailouts and the rescues and the stimulus and all of the things we're borrowing money for.
That's hurting the dollar. It's raising fears of inflation. And that hedge against inflation, selling the dollar and buying commodities. So in a way, when you go to the pump and you put gas in the pump, in there are expectations about the economy and also concerns about all the money that we're borrowing.
So you can kind of blame the bailouts a little bit for one of the reasons why oil prices are rising and why that's hurting you at the gas pump.
COLLINS: Yes. Likely to see a lot of other things happening because of the bailout as we continue to watch over those.
ROMANS: That's right. That's right.
COLLINS: All right. Christine Romans, appreciate it.
ROMANS: You're welcome.
COLLINS: Thank you -- oh, wait, wait, not letting you go yet because we want to hear about "Romans' Numeral." What's the number? Do you have the number from...
ROMANS: I do. I do.
COLLINS: ... for how high the gas is going to come up?
ROMANS: I wish I did. If I did I'd be on a deserted market somewhere.
COLLINS: Yes, you would.
ROMANS: Because I'll be able to play the markets, right? $18 is the number.
COLLINS: OK. ROMANS: And 18 represents how much more you're paying today to fill up your tank than you were just in January. Think of this, Heidi, $18.
COLLINS: Wow.
ROMANS: That essentially wipes out the making work pay tax credit that you're seeing in your paycheck. I mean that's why it's important when gas prices rise because it can hurt the recovery and it can have these consequences on, you know, your family finances so, so quickly.
COLLINS: Yes.
ROMANS: So that's why people are worried about what it means for the recovery if we continue to see gas prices.
COLLINS: Yes, absolutely, taking money from this pile and putting it in this pile and the bottom line ends up being the same so.
ROMANS: And it's not in my pile. Wherever it ends up, it's not here.
(CROSSTALK)
COLLINS: All right. Christine, thank you. We'll talk to you a little later on.
ROMANS: Bye.
COLLINS: An order from the general troops, must meet their families for dinner. How soldiers returning from the war are being helped on the home front.
(COMMERCIAL BREAK)
COLLINS: Five U.S. contractors are scheduled to appear in an Iraqi court today. The five are being detained in connection with the death of another American contractor last month.
CNN's Phil Black has the very latest now from Baghdad.
(BEGIN VIDEOTAPE)
PHIL BLACK, CNN CORRESPONDENT: The five American men have not yet been charged. An Iraqi investigating judge must now decide if the case is strong enough to go to trial.
Iraqi security sources say they are being held in connection to the murder of another American contractor who was found bound and stabbed in Baghdad's green zone last month. But U.S. embassy officials say they were detained on an unrelated matter.
All five men are private security contractors with at least four working for the same company. One of the men's sons says this group was not responsible for this murder. He says they all have alibis and he's confident they will be released quickly. If the men are charged, it will be the first time Iraq has tried to flex its muscles as a sovereign country by trying to prosecute American citizens since the war.
Phil Black, CNN, Baghdad.
(END VIDEOTAPE)
COLLINS: Also in Iraq, a bomb attached to a mini bus explodes at a bus station. At least seven people were killed, 24 wounded in the blast in the Shiite neighborhood of southern Baghdad. The explosion left a crater at the bus station entrance. The attack reflects the challenge facing Iraqi forces just three weeks before U.S. troops are scheduled to withdraw from Iraqi cities.
Their lives are on the line every day and that certainly takes a toll. But soldiers serving in Iraq and Afghanistan can't just turn off the stress switch when they come home.
CNN's Barbara Starr looks at what one fort is doing to help them.
(BEGIN VIDEOTAPE)
BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice-over): At Fort Hood, Texas, pure joy. After a year in Iraq, home coming. But coming home can be tough. This squad, home for just a week, struggles to cope.
PFC. KEVEN ABBOTT, U.S. ARMY IST CAVALRY DIVISION: I got anger issues, you know, I get angry over a lot of little things.
UNIDENTIFIED MALE: I just find myself getting a lot angrier over smaller things. Crowds really kind of get on my nerves.
STARR: After watching suicide and stress rates skyrocket across the army, Fort Hood's commanding general, Rick Lynch, said enough.
LT. GEN. RICK LYNCH, FORT HOOD COMMANDER: The pace of the deployments that we've had over the course of the last six years now has led to this condition.
STARR: Lynch has begun several programs to help encourage troops to spend more time with their families. He believes that families are the key to reducing stress.
This renovated church will be a new spiritual center for meditation and reflection.
LYNCH: The youngster the ones you just talked that just came back who have raw emotions based on what they experienced. They sit down in a group and they share with other folks who are wondering the same thing and they learn from each other.
STARR: Master Sergeant Guadalupe Stratman back from Iraq for four months loves General Lynch's order that troops must be home for dinner. MASTER SGT. GUADALUPE STRATMAN, U.S. ARMY: I grew up with a big family, same as my husband, and so families are very, very important. Just being here and watching them grow.
UNIDENTIFIED MALE: Southern Iraq. South of Baghdad.
STARR: But for the squad just back, the pain is still fresh.
UNIDENTIFIED MALE: The same stuff makes me mad is probably going to make him mad too, or whatever. So we have each other.
STARR (on camera): I also hear a lot of laughter. There's good times?
PFC. KEVEN ABBOTT, U.S. ARMY 1ST CAVALRY DIVISION: Some of the roughest and hardest times we had, we sit back and laugh on it. We're very well together and you can't really -- you can't bring us down.
(END VIDEOTAPE)
COLLINS: CNN's Barbara Starr joining us now from the Pentagon.
Barbara, there's so much to talk about here, whether we're talking about PTSD or TVI, or many of the other issues that the men and women are dealing with when they come back and transition into their lives at home. This looks to be a pretty hopeful sign.
STARR: Well, what is hopeful, Heidi, even though they come back and they feel angry and they very separated from their families, like soldiers throughout time, they say they still rely on each other.
That very young squad, those kids, all say they still talk to each other, they call each other on their cell phones. And when things become a little overwhelming at home, they rely on each other to get through it. Heidi.
COLLINS: Yes, I mean, a lot of times I think we hear that these men and women are out fighting for whatever the cause is. But really, they're fighting for each other when they're out there and that camaraderie.
Thanks so much. Barbara Starr, we'll continue to watch that story alongside you.
Also another guy trying to make some laughter happen, if you will. Stephen Colbert. He's doing his part to make things better for U.S. troops. The host of Comedy Central's "The Colbert Report" is on a USO tour in Iraq.
Check out the camouflage suit there that he wore, huh, when he visited with soldiers at Camp Victory in Baghdad yesterday. And this, too, really showing his solidarity, Colbert even sat down for a military- issue haircut. His barber, as you just saw there, is General Raymond Odierno. That show will air tonight on Comedy Central.
Twelve years of hard labor, a sentence handed down in a North Korean court for two American journalists. We are at the State Department where officials are working to free the women.
(COMMERCIAL BREAK)
ANNOUNCER: Live in the CNN NEWSROOM, Heidi Collins.
COLLINS: On Wall Street, stocks are coming off their best three-month run since 1982. Can you believe that? But, today, there are big questions about three major sectors. Planes, banks, and automobiles.
For details, let's go straight to Susan Lisovicz at the New York Stock Exchange with more on this.
I thought I was going to be thrown out to Steve Martin or something there.
SUSAN LISOVICZ, CNN CORRESPONDENT: I know. Let's just throw trains in for the heck of it, Heidi. I'm glad you did not say 1932.
COLLINS: Yes.
LISOVICZ: 1982 sounds a whole lot better than...
COLLINS: It does.
LISOVICZ: I'm going to put on a flapper dress and we stop talking about the depression. You and I both. Start drinking gin and do the Charleston.
(LAUGHTER)
OK. Let's get to business. We're not expecting...
COLLINS: Sign me up.
LISOVICZ: We're not expecting the rally to continue this morning. There aren't a whole lot of big economic reports, investors turning their attention to the corporate world. We could soon find out which banks will be allowed to repay the billions they got from the government.
About 600 banks have gotten about $200 billion from the treasury. Some banks want to avoid government-imposed restrictions on executive pay and showed they have the strength to repay those loans. Also today, the 10 banks that failed the stress test must submit their plans to raise capital.
Chrysler could drive out of bankruptcy today unless the Supreme Court intervenes. On Friday, an appeals court upheld the sale of Chrysler's assets to Fiat. But a group of Indiana pension funds filed an appeal to block the deal.
A global airline industry trade group says losses for that industry could hit $9 billion this year because of decline in demand. That's nearly double the group's previous projection.
And we're seeing declining demand in the first minute of trading. Right now the Dow, the NASDAQ, S&P 500 each down about 50 percent. Two new Dow 30 stocks today. Travelers and Cisco systems are in that elite group while GM and Citigroup had been kicked out. And that was David Hyde Pierce. The actor who rang the opening bell to raise awareness for Alzheimer's disease.
Yes, he's a funny guy, but a serious issue this morning.
Heidi?
HEIDI COLLINS, CNN ANCHOR: Absolutely. No question. All right, Susan. Appreciate that. We'll continue to watch those numbers throughout the morning right here.
Two U.S. journalists have been convicted in a North Korean court for what are being called grave crimes. Laura Ling and Euna Lee have been sentenced to 12 years of hard labor. The U.S. State Department is working now on securing the women's release.
CNN's foreign affairs correspondent Jill Dougherty is joining us now live with more on this.
So, Jill, is there any hope that these women can avoid being actually sent to this prison camp? I mean, is there still some time here?
JILL DOUGHERTY, CNN FOREIGN AFFAIRS CORRESPONDENT: Well, if you talk to Bill Richardson who was on our air this morning, he got an American out in 1996, and he's one of the people who might be considered to go there as a special envoy if this all works out.
He is cautiously optimistic. Because now that this sentence has been handed down, there is a period before they would be taken off that perhaps negotiations could begin. But this is very sensitive. And I have to tell you, Heidi.
You know, there was only a statement, and I'll read it in a second, issued by the State Department. And now it's very quiet. And that means that behind the scenes...
COLLINS: Exactly.
DOUGHERTY: ...is very intensive. Thinking about this, and trying to figure out what the next steps are. They've had some time. But here's a statement they issued this morning.
"We are deeply concerned by the sentencing of the two American journalists by North Korean authorities. And we are engaged through all possible channels to secure their release. We once again urge North Korea to grant the immediate release of the two American citizen journalists on humanitarian grounds."
And that is one of the key things that they're hoping on humanitarian grounds that they could be released.
COLLINS: Yes. And, obviously, it's a very tense time with the standoff between the U.S. and North Korea over nuclear ambitions and these missile tests that we have been seeing. And we heard Secretary of State Hillary Clinton say over the weekend, she's trying very, very hard to keep these two issues separate. But you have to ask how this is affecting the cases of these two journalists.
DOUGHERTY: Well, that is the attempt by the United States to keep them separate. Because it is such a tense relationship that you don't want that to affect what's happening to the journalists. But that said, it is very hard to say, to keep them completely separate because at this tense time to have two Americans held there is a major problem.
But that said, they are trying to have two tracks, the diplomatic track. Right now, a very tense standoff on the nuclear test, on the missiles that the north has been launching. And then on the humanitarian side, to try to get these two women journalists out.
COLLINS: Yes. All right. Well, we will watch the developments very closely here. Our Foreign Affairs correspondent Jill Dougherty this morning.
Thanks, Jill.
The search goes on. Some 700 miles off the coast of Brazil for bodies and wreckage from last week's crash of an Air France plane. 17 bodies have been recovered along with items that were on board the jetliner. A French nuclear submarine and two high-tech U.S. Navy ships are expected on site this week to try to locate the very important voice and data recorders. They are believed to lie on the ocean's floor nearly 20,000 feet under water.
A man charged in an abortion provider's murder is warning of more violence. Dr. George Tiller's funeral was held Saturday in Wichita. His children remembered him as a loving father with a sense of humor. Tiller was shot to death while serving as an usher in his church last week. Scott Roeder facing charges in Tiller's death called the Associated Press from his jail cell yesterday. He said there are many other similar events planned around the country. When asked if he were referring to another shooting, he refused to elaborate.
Doctors at a Sacramento Hospital are treating three toddlers badly burned in Friday's fire at a Mexican day care center. A total of 42 infants and toddlers were killed in the Hermosillo area.
CNN's Thelma Gutierrez actually attended a very emotional funeral for six of those victims.
(BEGIN VIDEOTAPE)
THELMA GUTIERREZ, CNN CORRESPONDENT (voice-over): As the first hearse drove up to the mass burial, this mother cried out, "My child, what will I do without you?" His tiny coffin was carried to the gravesite. People gathered around the family. Many like Evangelina Terrazas, complete strangers, who shared their pain.
She says, "I don't know any of the families, but it doesn't matter. I'm a mother of four, and I feel for all of them."
The mother cried, "Don't leave me. Don't leave me." No one could control her grief.
Officials believe Friday's fire started in the nearby building, then quickly spread. No one is sure what caused the flames to engulf the day care center. 142 children, the oldest 5, the youngest only 1, were trapped inside as witnesses say fire rained upon them.
23-year-old Francisco Lopez watched in desperation as the day care center burned. With no accessible windows and only one door open, he jumped into his pickup truck and rammed into the building three times. When he finally punched through one of the walls dozens of children were able to escape, but not 2-year-old Paulette Padilla. The toddler died in the fire.
Her mother, Maria Jesus, played her youngest daughter's favorite music. She told me, when she kissed Paulette good-bye Friday morning. She never imagined it would be the last time she saw her.
Thelma Gutierrez, CNN, Hermosillo, Mexico.
(END VIDEOTAPE)
COLLINS: A state trooper is dead and another one injured after a car chase that stretched 40 miles across Pennsylvania, and then ended in a shootout. Police say the driver also died. He had his 9-year-old son in the car while he tried to escape police. They say after he crashed the car in the Pocono Mountains area, the man suddenly started shooting when officers tried to confront him. The boy was not hit and officials say he will be OK, at least physically.
The chase began at about 8:00 p.m. last night, outside Easton, Pennsylvania, and ended 40 miles later in Monroe County around the Poconos.
A volatile nation, a highly charged election. We'll get the very latest coming up in just a moment from Lebanon.
(COMMERCIAL BREAK)
COLLINS: The people have spoken in Lebanon, and they say no to Hezbollah. According to official election results, despite a strong challenge from the militant group, Lebanon's pro-Western coalition will retain control of the government.
CNN international correspondent Cal Perry joining us now live from Lebanon with the very latest.
So very interesting here, Cal. Explain a little bit more about the positioning of Lebanon, and what this means if the people have basically stood up and said no to Hezbollah.
CAL PERRY, CNN INTERNATIONAL CORRESPONDENT: Well, this is an election not only with huge domestic implications for Lebanon, but also geopolitically with huge implications. It was a long day of voting followed by a long night of partying. And people here waking up in Beirut, perhaps looking at their government and thinking we're right back where we started with the vote.
(BEGIN VIDEOTAPE)
PERRY (voice-over): The streets of Beirut are largely empty this morning, that is, except, for the army. The few people who are out glance at the morning papers looking back at what was a historic day of voting for Lebanon.
"It does not matter who won," he says. "The important thing is that Lebanon has witnessed something in this democratic elections which was missed for a long time."
The city was alive, almost hysterical throughout the night. The usual election celebrations in Lebanon, dancing, political groups waving their flags, some fireworks mixed with distance celebratory gunfire. Again, the Lebanese army is ever present to ensure that these political rallies do not break out into political violence.
Saad Hariri, leader of the Future Movement party looks poised to remain in his position as the leader of the majority coalition within parliament. He spoke to his supporters in the early hours of Monday asking them to be magnanimous.
SAAD HARIRI, FUTURE MOVEMENT PARTY (through translator): I call on all friends of the Future Movement, all allies and supporters to make our victory an honorable one and our happiness a positive one. Let's rise above any intimidation or a security breach aiming to spoil this great and historic day.
PERRY: Of course, it's hard to be humbling victory after a hard- fought battle. The election pitted Hariri's block backed by the West against one supported by Iran and Syria, and led by the Shia Hezbollah party and its leader Hassan Nasrallah.
"With God's will, this is a glorious day." This man argues. "The 7th of June is a glorious day for all of us, it is not the day for Hassan Nasrallah."
With what appears to be a slim majority in parliament, Saad Hariri and the March 14th coalition find themselves in a familiar place. They have to work with the minority coalition, lead by Hezbollah, not out of choice, but forced to by the constitution which requires the 2/3 majority to pass any significant legislation.
(END VIDEOTAPE)
PERRY: So the bottom line from here, Heidi, is that Saad Hariri who lead that March 14th Coalition back by the West will remain the majority in parliament, but as the constitution says, these two parties will need to reconcile. They will need a consensus government in order to be able to govern. And Lebanon has shown in the past that that can be a serious problem.
Heidi? COLLINS: Well, yes, because oftentimes it seems like you can put a political party in power, but then when you have a group like Hezbollah, you know, who really has the power to run the country?
PERRY: Well, and that's a key question here in Lebanon, because Hezbollah, of course, is a powerful Shiite militia. It is very well- armed. Hassan Nasrallah is the secretary general of Hezbollah. We expect to hear from him in the next three to four hours. He said that they have up to 30,000 rockets. Some of which can reach Tel Aviv.
Everybody remembers the war between Hezbollah and Israel in 2006. So there is that dichotomy. We'll have a majority block in the government and the minority party will control basically what is as they call themselves the defenders of Lebanon, a de facto army in the south of the country.
COLLINS: Yes. All right. Cal Perry for us this morning coming out of Beirut, Lebanon.
Thanks so much, Cal.
In Central America now, a 5.7 magnitude earthquake rattles Honduras. According to the U.S. geological survey, there have been no immediate reports of damage or injuries. And just last week, though, a smaller quake of a magnitude five also shook the same area.
A lot of severe weather to talk about from the weekend. That's for sure. At least here in the U.S.
Bonnie Schneider joining us now.
Colorado, what is it, five tornadoes they have?
(WEATHER REPORT)
COLLINS: All right, Bonnie, let us know if we need to come back to you to check on that.
Appreciate it.
BONNIE SCHNEIDER, CNN METEOROLOGIST: Sure.
COLLINS: It has the makings of a Hollywood movie. A down on his luck rancher, struggling just to get by, then his luck turns around big time.
(COMMERCIAL BREAK)
COLLINS: A check on today's headlines from the Hill. Another busy week for Supreme Court nominee Sonia Sotomayor. She will make more courtesy calls on key senators in Washington today. Senator Charles Schumer, from her home state of New York is showing her around on those meetings. Meanwhile, the Senate's top Republican says it's way too early to know whether his party will try to block a vote on Sotomayor's confirmation. Ramping up and hoping to speed a recovery. President Obama is planning to get stimulus money flowing even faster now. But how has that $787 billion been spent so far? Have new jobs been created?
CNN's Jim Acosta takes a look at what's been happening with all of that money.
(BEGIN VIDEOTAPE)
JIM ACOSTA, CNN GENERAL ASSIGNMENT CORRESPONDENT: It's a caution sign on the road to recovery. The White House warns the stimulus like the program's highway projects is a work in progress.
When the president signed the recovery and reinvestment act, he vowed the $787 billion program would save or create 3.5 million jobs. So far the administration says the program has saved or created just 150,000 jobs in its first 100 days. That's fewer than the 345,000 job losses in May alone. Which is why Vice President Biden says the White House is looking at new ways to get a better bang for its buck.
JOE BIDEN, VICE PRESIDENT OF THE UNITED STATES OF AMERICA: We will not be satisfied until we're adding jobs on a monthly basis.
ACOSTA: House Republicans who never supported the stimulus are all but saying, "told you so."
REP. JOHN BOEHNER (R), HOUSE MINORITY LEADER: While the president is trying to convince us that the plan is working and that more jobs are being created, it's clear, we're continuing to loose our jobs.
ACOSTA: After all of that talk about shovel-ready projects, the Recovery Acts' own Web site shows the transportation department actually ranks 4th in stimulus spending so far. Education comes in first.
CHRIS WHATLEY, COUNCIL OF STATE GOVERNMENTS: I think that if you were to poll all of America, they would probably think that there's $800 billion worth of asphalt in the Recovery Act.
ACOSTA: As stimulus supporters point out, much of the money is going to save the jobs of teachers.
WHATLEY: The States are facing their worst revenue shortfall that they've ever face. And when states hit the wall on tax collections, they make stark choices. They lay off teachers. They furlough prisons. These are things that have immediate impact in the lives of communities. And states are still facing very tough choices, but without the Recovery Act, they would be in dire situations.
ACOSTA: There will be more layoffs of teachers and police officers and that sort of thing.
WHATLEY: Without doubt.
ACOSTA: The administration predicts job creations will come next. DAVID AXELROD, SENIOR ADVISER TO PRESIDENT-ELECT OBAMA: The president said it was going to take some time for it to filter through the system. And that employment was the last thing that was going to respond.
ACOSTA: But by then, stimulus critics argue the economy will be staging a comeback.
PETER MORICI, ECONOMIST: Yet economists were forecasting all along that the economy would come out by the end of the year. So you can't have it both ways. If you relied on economists, then why did he not rely on their projections?
(END VIDEOTAPE)
COLLINS: Good point. Jim Acosta joining us from Washington with more on this.
So, Jim, we're supposed to hear from the president on this today.
ACOSTA: That's right. Just before lunchtime, Heidi, the president, the vice president, the cabinet will all sit down to talk about ways to ramp up stimulus money as you were saying at the top of this piece. And the president is expected to announce that the administration hopes to see 600,000 jobs created or saved this summer over the next 100 days of the stimulus. And the White House points out, just 150,000 jobs are saved or created in the first 100 days. So they are hoping that in the summertime when it's a little hotter, a little drier, that more of those roads projects can get finished. And so they've got a list out this morning of various projects that they think will boost stimulus spending and create more jobs.
COLLINS: But, boy, if it gets hotter, I would not want to be one of those guys, having to be out in the road with all that working so hard.
ACOSTA: Better than in the snow, I think.
COLLINS: Yes, I guess so. All right, Jim, we'll be watching. Thank you.
ACOSTA: You bet.
COLLINS: There's a lot going on this morning. And CNN crews are, of course, in place to bring you the good. Let's check in now beginning with Christine Romans and your wallet.
Hey, Christine.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Hi, there, Heidi.
Talk about air travel. This global recession has really hit that business. I'll tell you just how bad the riding gets. And what it means for your travel plans this summer. I'll have that at the top of the hour. ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT: A huge fine for one of the biggest toy manufacturers because of lead in their products. I'll have that and the other top medical stories of the day at the top of the hour.
BRIANNA KEILAR, CNN CONGRESSIONAL CORRESPONDENT: I'm Brianna Keilar on Capitol Hill. Rapper Jay-Zee and House Speaker Nancy Pelosi, together? Don't worry Beyonce, we're just talking about the hip-hop caucus. I'll tell you more about it next hour.
COLLINS: All right. I can't wait. Thank you, ladies.
We are also going to be taking a look at that heartbreaking custody battle involving an American father and his son who was taken to Brazil. In fact, there's a new deadline that's coming up this week in the case. And we're going to update you on that.
We also want to take you on over to our blog that you see here, because we have posted sort of the story, an updated story on that, and would love to have your comments. So just go ahead and go to cnn.com/newsroom. And click on my name. You see right up here. Click on my name, and then you can write in your comments and how you feel about this case.
Also, coming up in the 10:30 hour, 10:00 hour, halfway through, we're going to be talking with a former secretary of state who specializes in Latin American affairs. He's going to tell us a little bit more about this deadline that's coming up and what is actually going to be happening in the case this week. So stick around for that, everybody.
(COMMERCIAL BREAK)
COLLINS: All right. We love this story. A young, struggling rancher trying to make a living in one of the poorest corners of the nation, now $232 million richer. 23-year-old Neal Wanless lives on a ranch near Mission, South Dakota. He bought $15 worth of lottery tickets in, guess where, in a town called Winner. Wanless got his Powerball check on Friday and thanked the community.
(BEGIN VIDEO CLIP)
NEAL WANLESS, SOUTH DAKOTA POWERBALL WINNER: My family has been helped by the community and I intend to repay it that many times over.
(END VIDEO CLIP)
COLLINS: Wanless says he will spend his new found fortune wisely. His big win has people talking in South Dakota, of course. And here's what they had to say.
(BEGIN VIDEOTAPE)
UNIDENTIFIED FEMALE: I think it's one of these ones.
UNIDENTIFIED FEMALE: It's a big deal for South Dakota.
ERV FIGERT, LOTTO WINNER'S NEIGHBOR: We are purportedly, reportedly one of the poorest counties in the United States.
JOSH LARSON, LOCAL RESIDENT: It couldn't have happen to better people. They're just a great family. They've really needed the money over the years.
FIGERT: They did lose their home. His parents. It was repossessed, and they have been living in a camper trailer out there at the plains.
JOE PRUE, LOCAL RESIDENT: There was a sign out there that says, the ranch that God built. And for a while, you know, you can say things like, "where was God when everything was coming apart?" And now maybe God turn around and help."
MIKE PRUE, HIGH SCHOOL TEAMMATE: Well, Neal is a real a hard worker. He always worked hard. He didn't really have the athletic ability but he always just worked his butt off.
STEVE PLANK, HIGH SCHOOL TEAMMATE: He's crazy, that's all I knew about it. He's pretty wild kid. It's fun to be on the bus and hang out with.
SHAWN ULMER, SOLD WINNING TICKET: He's kind of the cowboy type, you know. He's like a rancher.
M. PRUE: He had his cowboy hat all day. I mean, everything -- we're all natives. He just stood out of the crowd with his cowboy hat, his jeans and everything, you know.
UNIDENTIFIED MALE: This would make him one of the most eligible bachelors in the area, wouldn't it?
ULMER: Yes, it would.
Wonder if he likes older women? No.
PLANK: He was really smart.
M. PRUE: He was really smart. One of the top in our class. Really, really smart. I was always trying to copy off him.
Yes. Give me the answer, Neal.
(CROSSTALK)
PLANK: He helped with homework, because he'd be willing to help you out.
(CROSSTALK)
M. PRUE: He's on the team. That's the main thing. Come on, Neel, give us that answer, man.
J. PRUE: We're happy for them. You know? A lot of people would be envious and go ask him for money and all that stuff. We're happy.
The majority of the people on this reservation are happy that someone from around here got something bigger.
(END VIDEOTAPE)
