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Tracking Hurricane Bill; Inmates Start Fires at a Kentucky Prison During a Riot; President Obama Responds to Critics of Health Care Reform; Taliban Attacks Voters in Afghanistan

Aired August 22, 2009 - 11:00   ET

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


T.J. HOLMES, CNN ANCHOR: Hello everybody, from the CNN Center, you are in the CNN NEWSROOM, for this Saturday, August 22. Hello to you all, I'm T.J. Holmes.

BETTY NGUYEN, CNN ANCHOR: Good morning everybody, I'm Betty Nguyen. It's 11:00 A.M. on the east coast and 8:00 A.M. out on the West Coast. Let's get right to it. The first thing we're talking about is hurricane Bill. See it right there. Instead of just looking at the pretty graphics and the video, let's just take a listen to the wind and surf. This is new video from Bermuda as hurricane Bill just roars past it today.

HOLMES: This is coming to us from an i-Reporter by the name of Andy Kenny. He and his wife moved to Bermuda from St. Louis and this is their first encounter with a hurricane. Might not be their last.

NGUYEN: Oh no, big, bad Bill is swirling towards the Massachusetts shore right now and folks all along the eastern seaboard are on alert for dangerous surf and rip currents.

HOLMES: Well you know it sounded like a great thing and it is a good thing, saying Reynolds that the storm would not hit, would not make mainland in the U.S. Everybody felt great, but still you can't just breathe a sigh of relief here, still some things we need to watch out for.

REYNOLDS WOLF, CNN METEOROLOGIST: Absolutely. When you look at the big picture though, you're absolutely right. This is really a good thing. The storm actually, at least it appears, it's going to miss mainland, the mainland U.S. That is certainly some great news. Let's show you the big picture for just a moment and also give you some up to date details. The storm has weakened since the last update.

Right now it's at 100 miles per hour sustained gusts up to 120. You have Bermuda right here in this part of the screen, the storm's actually leaving Bermuda in its wake. Still going to have some heavy surf action. The storm is still going to make its way up towards the Canadian Maritimes expected to veer off to the north and to the northeast.

In fact, take a look at this latest path we have from the National Hurricane Center, where the forecast path brings it farther to the north. As we get to 8:00 P.M. on Saturday, winds still at 100 miles per hour sustaining, but in to say Sunday morning, Sunday afternoon and evening, veering off to the northeast as it does so it's going to affect places like the Canadian Maritimes.

Where at this hour we currently have tropical storm watches that are in effect for parts of Nova Scotia, eventually possibly making landfall as a tropical storm or a very minimal hurricane into Sunday and into Monday.

Now as you guys were talking about, we do have some issues, though, in parts of the eastern seaboard. Namely, we have dangerous surf that's going to spill over from Saturday into Sunday. But at the same time, rip currents are going to be a very real possibility. The reason why is because this storm, although it is weakening and moving a bit to the north, is still pushing a great deal of water from Maine southward to the Florida Keys.

We have that volume of water that's being pushed up against the coast. That water recedes in a very rapid place and those rapid spots where it does recede are often called rip currents. Those rip currents can actually pull people out to sea and can be really treacherous and a terrifying thing.

In fact, over 100 people according to NOAA die in rip current situations every year here in the U.S. Coming up, we're going to give you a better idea what these currents are, how to break free of them and just some other signs you can watch out for. One last thing I want to leave you with, is the live shot that we have compliments of hurricanetrack.com.

Our friend Mark is stationed -- one of his camera devices up along the beach and with it you can see the wave action coming in here. Water has been coming right up to the very base you see of these pilings and, of course, near this building. We've got a few people here and here just watching the action.

Again, one of the strangest things in bad situations like this, although the conditions can be great along your part of the world, namely the Carolina coast. Looks fine in the skies above but in the water, underneath the surface, you have those currents to watch out for.

And we will be talking more about those coming up in just a few. Let's send it back to you.

NGUYEN: All right, we'll be listening very closely. Thank you.

HOLMES: Thanks Reynolds.

Rocks were flying, windows were shattered and buildings destroyed last night during a five-hour prison riot. This happened at the North Point Training Center in Kentucky there, medium security lockup. It's just south of Lexington. Officials say prisoners set fires to the buildings and riot police resorted to tear gas to subdue the inmates this morning.

Officials are back in control and moving some prisoners to other facilities as they investigate what sparked this disturbance.

(BEGIN VIDEO CLIP)

LT. DAVID JUDE, KENTUCKY STATE POLICE: Right now we're happy to report to you that the facility is secure, the inmates are accounted for. We had minimal injuries, which are sill being assessed to the inmates and as far as we know right now, minimal, if any, injuries at all to any staff or department of corrections personnel.

(END VIDEO CLIP)

NGUYEN: Well, President Obama is hitting back at health care reform critics today. He says people who talk about death panels and mandatory public coverage are guilty of outright distortion.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: It's never been easy moving this nation forward. There are always those who oppose it, and those who use fear to block change. But what has always distinguished America is that when all the arguments have been heard and all the concerns have been voiced and the time comes to do what must be done, we rise above our differences, grasp each other's hands and march forward as one nation and one people. Some of us Democrats, some of us Republicans, all of us Americans.

(END VIDEO CLIP)

NGUYEN: OK, so rising up and marching forward, let's talk to CNN's Elaine Quijano about that. What is the Obama team doing to keep Americans in Congress marching toward a reform bill?

ELAINE QUIJANO, CNN WHITE HOUSE CORRESPONDENT: Well you heard right there the president is trying to hit back against what the administration says are myths Betty about health care reform.

In his weekly address the president also said that illegal immigrants would not be covered under a health care bill, also taxpayer dollars would not go to fund abortions. And he addressed a fear echoed at heated town hall meetings across the country saying that his administration, Betty, is not planning a government takeover of the health care system -- Betty?

NGUYEN: All right. That's what they're saying, but what are Republicans saying about all this?

QUIJANO: Yes, it's interesting. Republicans in their weekly address said the president was not being straightforward about his proposal. GOP Congressman Tom Price of Georgia said the president is playing quote, "fast and loose" with the facts.

(BEGIN VIDEO CLIP)

REP. TOM PRICE, (R) GEORGIA: As opposition to the Democrats' government-run plan is mounting the president has said he'd like to stamp out some of the disinformation floating around out there. The problem is the president himself plays fast and loose with the facts.

(END VIDEO CLIP)

QUIJANO: Now, Congressman Price a physician himself says based on his experience trying to navigate federal health care programs, he believes Washington is incapable of processing what he calls the personal and unique circumstances Betty, that patients and doctors face every day. Betty?

NGUYEN: There's still pretty big divide there. OK, Elaine Quijano joining us live, thank you for that. As you well know from watching the video, emotions are running high at many town hall meetings nationwide. Today we are live with health care reform uninterrupted, we're talking about those town hall meetings and you're going to hear from people on all sides of the debate, in their own words. Get the questions and the answers on "Town Hall Raw!", that's today 2:00 P.M. Eastern only on CNN.

HOLMES: New revelations today about harsh interrogation techniques during the Bush administration. Newsweek reports CIA interrogators threatened on terror suspect with a gun and a power drill. The man who's accused in the bombing of the "USS Cole" was also allegedly waterboarded. The magazine says the details are contained in a CIA inspector general's report. The federal judge has ordered it released next week.

Thursday's election in Afghanistan is being praised as fair and mostly free. There's a terrible side to the story. The Taliban finding violent ways to get back at some voters. CNN's Atia Abawi in Kabul with the story, and Atia even though it doesn't seem to be maybe widespread, still some of these details are just horrific.

ATIA ABAWI, CNN INTERNATIONAL CORRESPONDENT: It is horrific, T.J. It was horrific the week leading up to the elections and now we're hearing about two voters in Kandahar, this is an area that used to be the capital for the Taliban when they had their regime in Afghanistan. We're hearing that two voters, their index fingers were chopped off by Taliban militants because they voted.

Here in Afghanistan when a voter goes to the polls they must dip their finger in ink so they cannot come again and vote again that's to prevent fraud. Unfortunately, the Taliban made good on their threats this time and they did chop those index fingers off and at the same time, the Afghan people did not have a large turnout this year. 2004's president's elections and 2005's parliamentary elections saw a larger turnout.

But many Afghans deciding not to go to the polls on Thursday because A, they were afraid and B, they didn't think it would make much difference in their lives. But at the same time, through that violence, through that fear, through that intimidation, millions of Afghans still made it out -- T.J.?

HOLMES: All right, Atia Abawi, again, with some of those horrible details of what we've seen and still waiting for some election results as well. Atia we appreciate you, thank you so much.

NGUYEN: Iraq's foreign minister warns of bigger and more powerful attacks in Baghdad's future. He says Wednesday's blast that killed 101 people may be a sign of things to come, if the government does not shore up its security lapses. He says the security situation has been deteriorating since American troops withdrew and he also says the attackers may have had inside help. Eleven high ranking security officials from the Iraqi army and police have been detained for investigation.

Muslims around the world are celebrating Ramadan. The month-long period of fasting, prayer and reflection, is meant to teach patience, modesty and self-restraint. President Obama taped a message to the 1.5 billion Muslims who observe this month.

(BEGIN VIDEO CLIP)

OBAMA: On behalf of the American people including Muslim communities in all 50 states, I want to extend best wishes to Muslims in America and around the world. Ramadam Kareem.

(END VIDEO CLIP)

HOLMES: Take a look here, caught on tape, a string of heists. What police say the robbers have in common and why a store you might be shopping in is on high alert this weekend.

(COMMERCIAL BREAK)

NGUYEN: All right. So a well-known department store chain is on high alert after a string of daring robberies.

HOLMES: Police now in three states are comparing notes and examining surveillance video hoping for a break. Our Sean Callebs has the latest on this investigation.

(BEGIN VIDEOTAPE)

SEAN CALLEBS, CNN CORRESPONDENT (voice-over): Two masked men caught on surveillance video brazenly breaking into a department store. They're holding 2 x 4s they used to smash open the jewelry counters and garbage bags that are filled with loot. Then they escape out fire doors and into the night. Police say the burglars got into the store by climbing on to the roof, cutting a hole in the ceiling and roping down inside, "Mission Impossible" style.

UNIDENTIFIED MALE: It was incredibly sophisticated.

CALLEBS: Investigators say they knew where they were going and they knew how to disable the alarm.

SHERIFF JACK STRAIN ST. TAMMANY PARISH, LOUISIANA: Over $1.5 million retail items in our parish alone. Multiple stores hit in the same fashion.

CALLEBS: Five stores have been hit this summer all with the same M.O. In June it was a store in Indianapolis. In July, there were two in Texas, Sunday, Covington, Louisiana and Wednesday in Lafayette, Louisiana. STRAIN: A pretty brazen attempt by a group of guys that are not bounded by jurisdictional borders.

CALLEBS: One possibility is that the burglary ring is getting help from a former employee or someone on the inside.

LT. BOBBY JUGE, ST. TAMMANY PARISH, LOUISIANA: We're looking at the security. We're looking at management, we're looking at the sales people and outside. You know, we're not leaving anything unturned.

CALLEBS (on camera): Police say they do have one lead from the heist in Indianapolis. DNA evidence from a flashlight that one of the criminals apparently held in his mouth. Also that Indianapolis operation had its problems, the first hole in the ceiling was lined up incorrectly and they had to cut a second hole. And apparently the crooks ducked out so quickly they left behind a bag of jewels.

Sean Callebs, CNN, New Orleans.

(END VIDEOTAPE)

HOLMES: All right. If you are looking to save some cash on your next car, of course you are, here's my advice, move quickly. Not before our newscast ends, of course, but afterwards. The government's sponsored cash for clunkers program is going to expire soon. It officially ends Monday night, 8:00 P.M. Eastern. Some dealerships say they'll stop handing out the rebates this weekend so that paperwork for the government refunds can be processed before the deadline.

NGUYEN: Some say they're even going to stop on Saturday, today, this evening, so they can get that paperwork done Sunday and Monday for that deadline. Get in there, get the car because time is running out.

We're going to talk about this, because four more U.S. banks went belly up this weekend, including Texas based Guaranty Bank making it the third largest bank failure of the year. The FDIC says Spain's second largest bank will buy Guaranty, marking the first time an oversees based bank has acquired a failed American bank this year.

Also shutting their doors Alabama based Capital South Bank and in Georgia regulators seized First Coweta, an Atlanta based eBank. Now the closures, bring this year's total of failed banks to a whopping 81.

A hiker's ordeal in the wilderness ends with a dramatic chopper rescue. You have to see this video. We're going to tell you what rescuers actually had to do to get one person to safety.

(COMMERCIAL BREAK)

HOLMES: And among our top stories this hour a fiery riot seriously damaged a number of prison buildings in Central Kentucky. State police say none of the staff were hurt in last night's riot. A few prisoners were, however. Police used tear gas to restore order in the five-hour uprising.

Also, we're keeping an eye on hurricane Bill as it turns westward in the Atlantic. Minor damage is reported in Bermuda after the storm swiped that island. The category 2 hurricane posing a potential threat to northeastern parts of the United States. Tropical storm warnings are in effect for the Massachusetts coast.

And also here, an exclusive interview with CNN, former British Prime Minister Tony Blair denies any deals were made for the release of the Lockerbie bomber. Media reports out of Libya, say Thursday's release was tied to a Libyan oil contract. We'll have another check of our top stories coming your way in about 20 minutes.

NGUYEN: Well I want to show you this, a frightening sight under the Friday night lights in Southwestern Ohio, you have to watch the video. The pilot and female passenger unfortunately they were killed when this biplane right here crashed near a high school in Harrison, Ohio, which is near Cincinnati.

Parents in the bleachers they looked on in horror as the plane came down not far from where their kids were holding a scrimmage on the football field. Look at that. The plane crashed just minutes after takeoff last night. The National Transportation Safety Board is investigating.

So from that to this story, which has a much happier ending, thank goodness.

HOLMES: Yes, but still a scary sight, some scary pictures, nonetheless.

NGUYEN: It's very difficult just to understand the precision necessary to land a helicopter on that little plateau there.

HOLMES: Yes, this is in southern Utah. A rescue there. See what has to happen. How close he actually has to come, the pilot there, to those rocks, essentially. Park rangers and sheriffs deputies used this helicopter to get to a ledge and rappel down to an injured hiker. The hiker is a 49-year-old guy who had apparently fell off a ledge into a narrow canyon in the red mountain area.

NGUYEN: The fall actually knocked out most of his teeth, even broke his nose. But hey, it's a good thing he's alive because a lot went into those efforts to rescue him and in fact rescue crews hoisted Williamson to safety. Took a lot of team effort but he is alive and the rest can be fixed.

HOLMES: Yes, the teeth and all that stuff. But just this video, as we were watching it, if you don't know what's going on it looks like some kind of a stunt, almost. How would you, I mean how can you, why would you ever dare to try to get that close? It looks like it may be further away than it really is.

NGUYEN: But from that vantage point. But you know, we asked this question a little bit earlier I think Reynolds pointed it out, who was shooting the video in that? I mean, I'm not saying it's staged but it almost looks like, well, why wasn't this person helping in the rescue?

HOLMES: And it's a perfect vantage point to actually get the video. So I'm shire we'll get more on this story later, but just amazing pictures, nonetheless.

We'll turn to another story having to do with helicopters, quite frankly. Accident victims often rely on those medevac choppers to get to life saving treatment but that can be a costly service for many cities that are forced to pass the charges on to the patients.

NGUYEN: Yes, it always gets passed on one way or the other. And Maryland's chopper program doesn't send out a bill. D.C. photojournalist Oliver Janney shows us actually how it works.

(BEGIN VIDEOTAPE)

MAJOR A.J. MCANDREW, MARYLAND STATE POLICE: In 1970, the Maryland State Police aviation command performed the first civilian medevac ever transporting over 300,000 patients on our helicopters in the past 30 years.

DICK GELFMAN, CAR CRASH SURVIVOR: My name is Dick Gelfman, I was involved in a head-on collision, person coming in the other direction apparently fell asleep or was otherwise distracted and crossed the center line.

DR. ROBERT R. BASS, MARYLAND INSTITUTE FOR EMERGENCY MED. SERVICES: We do about 8,000 missions a year. Of those 8,000 missions about 5,000 are medevac missions. If we can get to a patient within 25 minutes we have over a 90 percent chance of getting that patient to a trauma center within what we call the golden hour.

GELFMAN: I wouldn't be here right now if I hadn't been flown out.

UNIDENTIFIED MALE: This is an emergency medical resource center, this is the hub of our statewide communications system, where calls come to when a helicopter is requested.

UNIDENTIFIED MALE: Seventeen has landed safely.

UNIDENTIFIED MALE: ... en route. Information only -- 44-year- old female.

UNIDENTIFIED MALE: Copy.

GOVENROR MARTIN O'MALLEY, MARYLAND: Maryland has the best medevac system in the world. There are people who come from other countries to see what Maryland has done.

GELFMAN: Never got a bill for a helicopter, it's an amazing thing.

BASS: In our system, we don't charge any patients to transport them. It's paid for by a surcharge on vehicle registrations. GELFMAN: We have a system that works, we have choppers that take people no matter where -- it's not a question of who is injured, it's not a question of whether the person's a child, an adult, a bad guy, good guy, a cop, a crook. It's not that kind of a question. It's a question of here's a person in need. We've got to get them care. That's what society ought to be doing.

(END VIDEOTAPE)

HOLMES: As we know, the summer is wrapping up. This is one of the last weekends to enjoy yourself out there. But on the east coast, Hurricane Bill whipping up some dangerous rip currents.

NGUYEN: Yes, we're going to show you what to watch for and how you can actually save yourself, should you get caught in one of those rip currents.

(COMMERCIAL BREAK)

NGUYEN: All right. Hurricane Bill is not going to hit the mainland U.S. that's the good news, but the bad news is, if you're vacationing along the eastern seaboard, well you may not want to get in the water.

WOLF: That's right. I mean you have to think of it, you have millions of people that are heading to the coast because they have this weekend and next, really, before schools begin nationwide. So if you were going out there to take advantage of the great water.

And that's one of the issues when it comes to rip currents, because a lot of times they're affected by giant storms. They're fairly within 1,000 miles of the coastline, it pushes a lot of water against the coast. As that water tries to evacuate to go back into deeper areas, it creates these rip currents.

Very dangerous and another weird thing about them, is it's kind of hard to see them. You could have mostly sunny skies and conditions look fine, but for the water, it's a different story.

(BEGIN VIDEOTAPE)

WOLF (on camera): Here in Florida's east coast conditions couldn't be better. You've got partly cloudy skies, people out here enjoying themselves. You would never know that roughly a thousand miles away we have a major hurricane that's brewing. And although we don't have the wind and, of course, the heavy rainfall here, there's still the threat from that storm. We're talking about rip currents.

So the question is, what is a rip current? To get an answer we're going to go over to this guy, this is Gio Serranno, and Gio, what is it, what's a rip current?

GIO SERRANO: Rip current is a channel of water, usually happens when we have easterly winds 10 miles plus sustained. We have a lot of water accumulate against the shore line and the channel of water pulls all that water back out to sea. WOLF (voice-over): When an increased volume of water is pushed toward the shoreline by a tropical system or a nor'easter it retreats rapidly back into the surf creating channels an unsuspecting swimmer caught in this conveyor belt of swift water is at the mercy of the current. The key for survival is to remain calm.

(On camera): The key is don't panic.

SERRANO: Do not panic. Never panic and do not swim against the rip. You're not going to win.

WOLF: Sounds easier said than done. We're going to have to try it out for ourselves.

(Voice-over): Five minutes later and 50 yards offshore there is a definite ebb and flow of the ocean's rhythm but not a strong outflow current. Lifeguard Larry Cox is with me and he says that if carried away from the beach, the best course of action is to swim parallel to the shoreline, out, not against, the rip current. When free from the current's grip, slowly swim to shore. Larry also says the best way to avoid problems is to use common sense.

LARRY COX, FT. LAUDERDALE OCEAN RESCUE LIFEGUARD: Look at the flags that the lifeguards have up so they're aware of the water conditions. Always swim near a lifeguard tower. If you're not a strong ocean swimmer on a rough water day, steer clear of the water.

WOLF (on camera): So basically, when in doubt, don't go out.

COX: Exactly.

WOLF: All right, there you go.

(END VIDEOTAPE)

WOLF: You know one of the real weird things about that is we often think about those being right along the coast, we're thinking the Great Lakes we have rip currents that form in the Gulf of Mexico, it's the thing you have to watch out for.

Just to be aware as a swimmer that can be something you're dealing with on any given day, but they normally happen where you have a big weather event. We have either a tropical storm, tropical system or even just a big wind event. Could be just an area of low pressure across the Great Lakes.

NGUYEN: And so if you're just wanting to wade out in the water, just dip your feet in it that can still be dangerous with rip currents.

WOLF: Absolutely. I mean there are places in Hawaii where people have been known just to go in say knee deep and a current would actually just pull them under and then just take them right out into deeper waters. So the thing is you have to try to fight your instinct which is telling you just to swim against the current, you actually swam ... NGUYEN: Parallel?

WOLF: Well actually parallel to the shore and the sign of good thing is to break the grip, the watery grip and it's easy to come to the shore safe. You liked the wet suit did you?

NGUYEN: I did. What was up with that?

WOLF: I had to wear it, I had to hide my T.J. and Betty tattoos. We often do that, so there's always a need for a wet suit when it comes to a situation, so.

NGUYEN: Got to stay covered up.

WOLF: Yes, it happens.

HOLMES: Let's try to go from that to credit cards here.

NGUYEN: It's a nice transition.

WOLF: Money.

HOLMES: There it is. Has your credit card company raised your rates. A lot of you saying yes, we're all in that same boat probably a time or two. You're certainly not alone and some experts say credit card companies are trying to head off expected losses from new federal rules.

Get more now from CNN's Mary Snow.

(BEGIN VIDEOTAPE)

MARY SNOW, CNN CORRESPONDENT (voice-over): Twenty-six year old Matthew St. Clair has been digging his way out of the $12,000 mound of debt he racked up in college. He's made quite a dent but was alarmed by a recent bill.

UNIDENTIFIED MALE: We're increasing your rate that caught my attention.

SNOW: St. Clair learned that American Express raised rates on cash advances by four percentage points. Enough he says for him not to use it because his rate would then be 25.24 percent. American Express cites the business and economic environment for the hike and it's not alone. Those who follow the credit card industry report widespread hikes of rates and fees.

UNIDENTIFIED MALE: We've seen a dramatic tick up, particularly in the last 60 to 90 days.

SNOW: Adam Levin founded a credit education website, he says credit card issuers are raising rates while they still can. Phase one of reform legislation signed by President Obama in May is now kicking in with the bulk of the new rules to follow in February.

ADAM LEVIN, CREDIT.COM: They're using this period of time in order to jockey and front run before the implementation of the legislation.

SNOW: The website billshrink.com compared cards between January and June and found of major issuers Capital One changed rates the most, raising purchase rates and balance transfers 50 percent. When asked about changing rates, Capital One said it had to make adjustments to reflect external conditions. The Pew Safe Credit Cards Project surveyed hundreds of credit card providers and found even the lowest advertised rates went up 20 percent to 11.99 percent in the first of the year.

SHELLEY HEARNE, PEW SAFE CREDIT CARDS PROJECT: It happened at a time right when banks were actually getting money cheaper from the federal government.

SNOW: But the group representing the credit card industry says they're not out to get customers.

SCOTT TALBOTT, FINANCIAL SERVICES ROUNDTABLE: Most Americans are seeing a change in their interest rate or in their credit limit because of a change in the borrower's risk profile.

SNOW: But Matthew St. Clair says he doesn't get it, since his profile has improved as he's whittled down his debt. He's hoping to avoid using credit cards in the future but worries most about his friends.

MATTHEW ST. CLAIR, CREDIT CARD CUSTOMER: I have friends that are filing for bankruptcy at 26 so that's something I know my parents didn't see in their lifetime but it's pretty common now for my friends, which is pretty scary truthfully.

SNOW (on camera): Among the new rules starting in February there will be tighter restrictions on cards issued to any one under 21.

Mary Snow, CNN, New York.

(END VIDEOTAPE)

NGUYEN: All right so brace yourself, the federal deficit getting bigger by the day. And over the next 10 years a new budget forecast shows that it will grow close to $9 trillion. That is $2 trillion more than the Obama administration had projected. Well officials blame it on the weak economy. The numbers are due out on Tuesday.

HOLMES: Will the new deficit forecast turn out to be the tipping point for health care reform. CNN's Tom Foreman is taking a look for us.

(BEGIN VIDEOTAPE)

TOM FOREMAN, CNN CORRESPONDENT (voice-over): The new deficit news can only throw more gasoline into the firestorm over health care reform. The president's signature issue is exhibit A for those who say he's spending recklessly. And a new poll now shows more disapproval than support for how he's handling the issue. He blames the opposition. OBAMA: I would love to have more republicans engaged and involved in this process. I think early on a decision was made by the republican leadership that said, look, let's not give him a victory.

FOREMAN: But independent voters who were so hot for Mr. Obama's election have also grown decidedly cooler, many because of the ballooning deficit and what some see as a massive spending spree.

(On camera): Look at this, the northeast is the only part of the country where health care reform had broad support when we measured it recently. And this is a democratic stronghold. Out here in the west it has only 50 percent support and the rest of the country is against it, even though some of these states contain large percentages of uninsured families.

(Voice-over): The apparent contradiction is being driven by age, many of those states have lots of elderly people. Craig Gordon is with Politico.com.

CRAIG GORDON, POLITICO.COM: They think about it, they talk about it, it's on their mind everyday and they really have not had a very clear explanation from the White House of how the health reform overhaul would affect their lives.

FOREMAN: Even congressional democrats remain divided. House Speaker Nancy Pelosi says a government backed public insurance option is a must.

REP. NANCY PELOSI, (D) HOUSE SPEAKER: There's no way I can pass a bill in the House of Representatives without a public option.

FOREMAN: But fiscally conservative democrats have been warning for weeks that a deficit bomb could cripple their party in elections next fall. Aware of their anxiety, Majority Leader Steny Hoyer says?

VOICE OF REP. STENY HOYER, (D) MAJORITY LEADER(via telephone): I'm for a public option but I'm also for passing a bill.

FOREMAN: That's because the president's supporters insist health care reform is necessary to ultimately control the deficit.

PROF. PETER SINGER, PRINCETON UNIVERSITY: There is a (INAUDIBLE) in providing the basic treatment for everyone.

FOREMAN: But the latest deficit news one way or another, all will certainly intensify the fire from right, left and center.

Tom Foreman, CNN, Washington.

(END VIDEOTAPE)

NGUYEN: Well, with all this talk about health care reform, we keep hearing about all those people without insurance. So just how many are there? We've gotten lots of numbers from 40 million to 8 million.

Our Josh Levs and the truth squad have been doing some digging. So Josh, have you gotten any closer to the real number?

JOSH LEVS, CNN CORRESPONDENT: Well we've gotten some facts any way that will at least get us in the direction. I'll show you where those numbers are coming from, but you're right. They're all over the place. Just take a look.

(BEGIN VIDEO CLIP)

OBAMA: Nearly 46 million Americans don't have health insurance coverage today.

SEN. CHUCK GRASSLEY, (R) IOWA: When you take out illegal aliens and take out people that have the ability to buy insurance but choose not to buy it, don't you get down to about 8 billion? Or 8 million? And the answer is yes to that one.

(END VIDEO CLIP)

LEVS: All right, so you're seeing we've got 46 million, you have 8 million. Let's talk about where all this comes from and how we got there. We're going to start off with the census, let's go straight to this. Because I'll show you what the census told me. This is a report they have, they do say 45.7 million people in the United States, it's important to phrase it that way, not necessarily all citizens. 45.7 million people in the United States were uninsured for the year 2007. The census says that.

But on the next screen, this is what most people don't realize, the census also says this, they say that health insurance coverage is likely underreported. So I spoke to them and they say, you know what, that 45.7 million figure is probably too high, it's probably less than that, they say that are actually uninsured. That's what we're seeing so far.

Now the truth squad has stepped in and has taken a look at the claims of both sides. Let's take a look now at where this 8 million figure comes from, because that jumped way down. This is where that comes from. It's a conservative group called the Pacific Research Institute. They looked at this 2003 study, Blue Cross Blue Shield.

The long and the short of it, they say, you know what, if you take out the people who could afford Medicaid, Medicare and who could maybe afford insurance, illegal immigrants and other things too, you get all the way down to 8 million. But not everyone agrees with them. And to be fair here, got to show you that too.

For example on the screen behind me I have the web page for a group called the Kaiser Family Foundation, that's a nonprofit group that studies this. They have looked at the studies too and they say, you know what, they think most of the uninsured just really need it and are here legally. So you have this huge spread in the numbers. So we had to lands on this.

This is the last graphic here, this is what we got after all that. I know it's not as clean cut as we like, we're landing on in dispute. But the reason, and the reason this is significant is that you're hearing all these numbers, no one has it definitively. No one has it solidly. You're going to keep hearing that spread and if we could get more specific, we would.

But for now we just have to say anytime you hear a specific figure thrown out there, take it with a grain of salt and just understand most people are going with what the census has, but in the end, Betty, T.J., great dilemma and dispute. Because none of these are ...

NGUYEN: Yes it also sounds like it's a bit of a moving target, too. Because you have to factor in the recession and ...

LEVS: More people losing insurance right now.

NGUYEN: All right Josh, thank you.

HOLMES: We're going to talk about hair this morning. And Chris Rock talking about hair. Using a comedic spin, but also using a new movie to educate. But also he's reminding us that he has had a few bad hair days himself.

(BEGIN VIDEO CLIP)

CHRIS ROCK, COMEDIAN: There's lots of movies with me with a jerry curl that exists. There are a few.

UNIDENTIFIED FEMALE: And that was by choice by the way.

ROCK: That was a choice.

UNIDENTIFIED FEMALE: His jerry curl was a choice.

ROCK: Pookie has a jerry curl in New Jack City.

(END VIDEO CLIP)

HOLMES: You remember Pookie don't you? We're going to be talking about his new movie that takes on the hot topic of black hair.

(COMMERCIAL BREAK)

NGUYEN: Let's get you the latest on our top stories this hour, calm returns to a central Kentucky prison where inmates set buildings on fire in a five-hour uprising last night. Authorities say they regained control of the North Point Training Center near Lexington by tear gassing rioting prisoners. We're now learning that eight inmates and eight staffers were hurt in that riot.

No deals. In an exclusive interview with CNN former Prime Minister Tony Blair denies that the Lockerbie bomber was freed in exchange for continued trade with Libya. That's what a son of Libyan leader Moammar Ghadafy claimed yesterday.

And after whipping by Bermuda hurricane Bill is back in the Atlantic and churning northward. It is picking up dangerous surf and rip currents all along the east coast. Tropical storm warnings are in effect for the Massachusetts shore.

(COMMERCIAL BREAK)

HOLMES: Well, good hair. What is that exactly? If you don't have it chances are you won't have it. If you do have it, chances are you paid for it. Relaxers, weaves, wigs, you name it. Black people and especially black women, support this $9 billion industry with what some call a hair obsession. It is very serious business.

And so of course, you get Chris Rock involved and he has a new comedy out, he'd like to call it, but also it looks like a documentary. You can really learn a lot about hair in this thing. I caught up with him and one of the people featured in his movie Nia Long at the hair show here in Atlanta.

(BEGIN VIDEOTAPE)

CHRIS ROCK: What's your definition of good hair?

UNIDENTIFIED FEMALE: Sometimes it looks relaxed.

UNIDENTIFIED MALE: If your hair's relaxed, people look relaxed. If your hair is nappy, they're not happy.

HOLMES (on camera): Tell me first, you all just tell me, how would you all define good hair? Not the movie, actual hair. What is good hair?

NIA LONG: All hair is good.

ROCK: There you go. All hair is good hair. You have good hair. As long as it's behaving. As long as it's not attacking you. It's not flesh-eating hair.

HOLMES: But some people need work to get it to behave. Would you agree with that?

LONG: Anything good takes work.

ROCK: Yes, it takes a little work, a little product, a little TLC.

HOLMES: How much work for both of you, how much work and TLC did this take? How much work and TLC did that take?

LONG: Oh!

HOLMES: I didn't mean to say it like that.

ROCK: This takes a lot less --

LONG: This actually took, this morning -- 20 minutes.

ROCK: Twenty minutes, but 20 minutes with engineers and architects. Just yesterday my daughter came into the house and said, daddy, how come I don't have good hair? I wonder how she came up with that idea?

LONG: Being in the black community, if you have good hair or better than, the lighter, the brighter, the better.

UNIDENTIFIED MALE: They want to go like this, like Farrah Fawcett.

UNIDENTIFIED FEMALE: There are so many impressions.

LONG: Black hair is a big issue. What's more beautiful, straight? Straight hair or curly kinky hair? It's been a huge issue within the community and I think you look at sort of the journey of black women and their hair, we've tried to assimilate to the images of white women, where their hair has been straighter or blond or lighter, and this is a great film simply because it creates awareness.

It's really a conversational piece, this film and your hair, but ultimately if you're OK with who you are on the inside and you're OK with sort of your own spiritual sense of self, then it really doesn't matter what your hair is doing. That's why (INAUDIBLE).

ROCK: Has anybody ever tried to steal your hair?

UNIDENTIFIED FEMALE: No.

ROCK: If you see some black women, just run the other way.

My daughters, I just wanted to -- I wanted this document to exist. You know what I mean, there hasn't been a movie about black women's hair. It's such a rich, rich, rich topic that can be used educationally and comedically.

And when I say comedically, I'm not making fun of black women with this movie at all. I'm not judging anybody who happens to be doing anything to their hair. You know I'm -- there's lots of movies with me with a jerry curl that exist. There's a few.

LONG: And that was by choice by the way.

ROCK: That was a choice.

LONG: The jerry curl was a choice.

ROCK: Pookie has a jerry curl in "New Jack City."

Tell us how dangerous relaxer is?

UNIDENTIFIED MALE: Hydroxide will burn through your skin.

ROCK: So that can has got a good perm.

HOLMES: What do you tell your daughters? That was kind of part of the reason behind the movie. Had an incident, one of them saw another girl's hair thought that was good hair or straight hair?

ROCK: Yes, my daughter was raving so much about her friend's hair, it was like when my wife raves about somebody else's house, it's a really nice house.

Is your hair addicted to relaxers?

UNIDENTIFIED FEMALE: I'm on the creamy crack.

UNIDENTIFIED FEMALE: Creamy crack.

ROCK: So what's in your hair now?

UNIDENTIFIED FEMALE: This is a weave.

UNIDENTIFIED FEMALE: This is a weave, two pieces here.

UNIDENTIFIED FEMALE: You know like extensions.

UNIDENTIFIED FEMALE: Like that.

ROCK: You know at the end of the day, it's fashion in a sense. You know, it's an accessory. And if you're changing it because it's an accessory, it's great. If you're changing it because you want to be somebody else, then that's a problem.

UNIDENTIFIED MALE: The black hair business is a $9 billion business.

UNIDENTIFIED FEMALE: Probably $5,000.

UNIDENTIFIED FEMALE: Well I have a layaway plan.

ROCK: So you can lay away the wig?

UNIDENTIFIED FEMALE: That's right.

ROCK: Have you ever put your hands through a black woman's hair?

UNIDENTIFIED MALE: Man no, not a black woman's.

UNIDENTIFIED FEMALE: You just don't touch it.

UNIDENTIFIED FEMALE: Do not touch my weave.

ROCK: Does your wife let you touch her hair?

AL SHARPTON: The question is, do I let her touch mine?

(END VIDEOTAPE)

HOLMES: All right. Well, the movie will be coming out later. And even though, yes, if it's Chris Rock it's going to be funny, but you learn a lot in the movie, and it goes through that. I mean, a lot of people -- you know, there's a stigma about saying whether or not there's a weave in your hair or not. They're trying to make the point in the movie, be proud of it. It's not what's really on your hair.

NGUYEN: Hey, if you bought it, you own it, it is yours, that's how I feel about it. It's not just black women who love to wear a weave. I mean white women, women of all colors out there that wear. I have had the clip-on ones when I'm going out every now and then.

HOLMES: You've got to stop and admit.

NGUYEN: Today, this is not one though. This is the real deal. I promise. Stop blinking T.J., it's the real deal, but, I mean, it's fun. It's just an accessory as they said.

HOLMES: As she said. And he made the point that it's the quickest and easiest thing to do besides going under the knife. Want to go through surgery to change your appearance, pull it off the shelf. Get it put in, but I learned a lot. Creamy crack.

NGUYEN: So have you ever had a jerry curl?

HOLMES: I have never had a jerry curl, even though I'm from Memphis where the jerry curl originated I think. But no, I have never had that.

NGUYEN: You should try it sometime. I think it would look good on you. You heard it, folks by December jerry curl right here.

HOLMES: My goodness.

NGUYEN: We're waiting for it.

In the meantime though, a stretch of the Massachusetts coastline is in the spotlight the next few days as it plays host to the first family. We're going to look at where the Obamas are vacationing and hear what the locals have to say about their visit.

(COMMERCIAL BREAK)

HOLMES: All right, well Martha's Vineyard, off the Massachusetts coast, is the backdrop now for another, I guess I should say, presidential retreat.

NGUYEN: Yes, the first family is renting the Blue Heron Farm, it's an estate complete with a swimming pool and a basketball court. You know President Obama loves to play some hoops, but the locals, they're not making much of a fuss.

Our Dan Lothian reports that they're used to the spotlight.

(BEGIN VIDEOTAPE)

DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT (voice-over): It's easy to see why Martha's Vineyard is such a big draw. The beaches, the boats, the vintage carousel. But before you attach the label, enclave of the rich and famous, longtime summer resident and Harvard Professor Charles Ogletree says take a look around. CHARLES OGLETREE, PROFESSOR, HARVARD LAW SCHOOL: It really is one of these rare places where you see people who are unemployed and who are CEOs. You see people who are wealthy and poor. And there's no pretension here. People here are comfortable.

LOTHIAN: Even if sitting presidents keep dropping in. First, it was Ulysses S. Grant then the Clintons. Now President Obama and his family are preparing to stretch out on this 28 1/2 acre Blue Heron farm in Chillmar.

NANCY GARDELLA, MARTHA'S VINEYARD CHAMBER OF COMMERCE: It's very flattering and impressive that President Obama and his family are coming.

LOTHIAN: Island historians say Mr. Obama's presence carries more weight because of the African-American heritage on Martha's Vineyard.

KEITH GORMAN, EXECUTIVE DIR., MARTHA VINEYARD MUSEUM: There have been African-Americans on the island since at least the 18th century. I think in terms of this first family coming to the island, it's important. This shot I think is really quite telling.

LOTHIAN: The pictures are in black and white at the local museum. Some were slaves, when freed, made a home here. Later other blacks came in search of good jobs.

GORMAN: You could get on a ship, a whaling ship, and in the 19th century you had these multiethnic and multiracial sailing vessels.

LOTHIAN: African-Americans began to settle in Oak Bluffs, an early resort community that didn't shut the door.

OGLETREE: The colored only white only signs were up throughout much of the 20th century and so this was the place that didn't have the signs. Didn't have the barriers to integration.

LOTHIAN: It's a history largely hidden behind the island's pristine beauty and high-profile presidential visits, but historian Carrie Tankard is trying to change that. She co-founded the African- American Heritage Trail that marks 22 cites honoring people of color on the island.

CARRIE TANKARD, AFRICAN-AMERICAN HERITAGE TRAIL OF MARTHA'S VINEYARD: The uncovered headstones and things, you can put your hands on it, you can see it. It's just a feeling you can't describe. We just want them to know that we were here.

LOTHIAN: While the president may be hoping to simply spend some quiet time relaxing with his family and friends, his visit is also seen as another chapter in this island's deep history.

Dan Lothian, CNN, Martha's Vineyard.

(END VIDEOTAPE)

NGUYEN: And that Blue Heron Farm rents for between, what, $35,000 to $50,000 a week. And the Obama's paying for it on their own dime.

HOLMES: Wonder if they're getting a deal?

NGUYEN: I don't know.

HOLMES: Got to cut the president a deal, right?

NGUYEN: A little one.

HOLMES: The CNN NEWSROOM continues now with Drew Griffin.

DREW GRIFFIN, CNN ANCHOR: T.J. I was thinking just the same thing. Thanks, T.J. and Betty.

We begin with hurricane Bill, pounding surf, fierce winds. Here's what it looked like this morning as hurricane Bill swept past Bermuda. I-Reporter Andy Kenny originally from St. Louis sent us this video on his first encounter with a hurricane. It's a pretty good one. A lot of surf there. Bill is now churning north toward Massachusetts. Folks along the east coast and on Martha's Vineyard on alert for more dangerous surf and rip currents.

CNN's Susan Candiotti is at the shore in Chatham, Massachusetts. You say it for me, Candi, I can't say those two words together. Chatham, Massachusetts. How bad is it or is it? Is it a day where everybody in Boston runs to the beach?

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: I tell you it is very crowded here along the beaches.