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Fireworks Producer Explains Beautiful Explosions; Competitive Eater Sidelined from Competition; Famous Daughters Bomb in TV; A New Look at Oil Disaster; Republican Calls for Steele's Resignation; Essence Festival in New Orleans; Maywood, California Lays Off All Employees

Aired July 03, 2010 - 17:00   ET

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


DON LEMON, CNN ANCHOR: One month before the combat mission is supposed to end in Iraq, the vice president and his wife make a surprise visit. But all eyes are on Afghanistan and RNC Chair Michael Steele. Why his last comments about that war and the president could be the end of his rein.

And we'll make you think differently about what you see as you look up to the sky this weekend. The family-run business responsible for sparking all those bombs bursting in midair for centuries now.

And it's a big job but someone has to eat all those hot dogs, chicken wings, pies or whatever it is. How exactly do you prepare to be able to eat more than anyone on the planet? We'll find out from the champions of extreme eating this hour.

Hello everyone, I'm Don Lemon. And Happy Fourth of July to you. We're going to start tonight down south. This weekend should have been one of the busiest of the year on the Gulf Coast. The hotels should all be all booked up and the shorelines to be packed with tourists, but the oil disaster in the gulf is keeping many away, whether it's actually washing up on the beaches or not.

So, we go to our Allan Chernoff , he's standing by for us live in New Orleans. Allan, good to see you. You just got back from a helicopter ride I'm hearing over the region and you got a good look at what's keeping people away. So, what did you see?

ALLAN CHERNOFF, CNN SENIOR CORRESPONDENT: Right. Don, actually we were on a C-144 airplane with the coast guard, Rear Admiral Paul Zukunft took us along and we were able to see all that oil out in the Gulf of Mexico. When as you know, that is what's keeping a lot of people away. Although, I should say, here New Orleans, it's very busy, lots of tourists over here. The beaches of course, another story. But let's talk about the oil out there. What we did see is a light sheen of oil by the Mississippi Barrier Islands and also the Louisiana Chandeleur Islands. And that is a particular area of focus for the coast guard now.

The winds have been blowing towards the west. Tomorrow, they are supposed to shift towards the south. And the fear is, that will bring more oil towards those islands. So, there is lots of boom surrounding the islands. Lots of ships out there trying to fix the boom that had been damaged by the hurricane. Further out, you see ribbons and ribbons of brown oil and right at the site of the gusher, huge puddles of oil and it does appear brown from the sky, from overhead. And we flew about 400 feet above that oil. There are about 25 skimmers in place at the gusher, but the fact is right now, the waves are at about seven feet. So those resources cannot be put to use. It is extremely frustrating for the coast guard. Let's have a listen.

(BEGIN VIDEO CLIP)

REAR ADMIRAL PAUL ZUKUNFT, U.S. COAST GUARD: We do take it personally. It is portrayed as mission failure any time oil washes ashore, not just with this spill but with any spill. And certainly the damage it does to the environment. So, that's the frustrating part.

(END VIDEO CLIP)

CHERNOFF: On top of that, there is another so-called producer, the helix producer, waiting to suck up more oil. Right now, there are two ships that are collecting oil and gas. And this helix producer was supposed to have already been online, able to collect as much as 25,000 barrels of oil a day. That's not going to happen until next week until the 7th of July at the earliest. It has to hook up with a pipe undersea and, of course, the waves have to calm down for that to happen, Don.

LEMON: Alan, here's a question because this is the Fourth of July weekend. And people should be out there enjoying it. Lots of business owners are saying, they're feeling the pinch. People just aren't there. What are you hearing about that? Is it actually getting to the beaches? Are people not there because the oil is actually showing up or they not coming out of concern that it might be there, or thinking that it might be there and it's not?

CHERNOFF: Well, I think, some people obviously are going to go to the beach no matter what. Obviously, there is concern about going into the water. And so, that obviously will going to keep plenty of people away. Here in New Orleans, it is packed, I can tell you. The Essence Festival is going on this weekend. That's brought tons of tourists in. So, that hasn't hurt New Orleans at all. But by the beaches, sure, there's going to be some impact.

LEMON: Yes. All right. Our Allan Chernoff, thank you, reporting live from New Orleans.

Meantime, Vice President Joe Biden is spending the Fourth of July weekend with American servicemen and women in Iraq. Biden arrived today with his wife Jill, he is also scheduled to meet with Iraqi political leaders during his visit. It's been nearly four months since Iraq's election, but politicians are so bickering over who will lead the government. And a crucial deadline is looming. Nearly 30,000 U.S. troops are scheduled to leave Iraq by the end of August.

The general credited with turning around the war in Iraq is calling for unity on all friends in Afghanistan. You know, David Petraeus, he made the stakes clear to Afghan leaders had a meeting day. The general insisted, quote, cooperation is not optional. He added, your success is our success. Petraeus arrived in Kabul on Friday after a swift confirmation to his new post by the senate. He has his work cut out for him though, as we know, June was the deadliest month for coalition troops since the war began.

There is more fallout from the interview that brought down the General Petraeus, the general that Petraeus replaced. The Pentagon is putting in place new rules that could have saved the job of General Stanley McChrystal. Defense Secretary Robert Gates says, the Pentagon will have to OK any dealings between reporters and military officials. But an assistance secretary promises, there won't be a quote, "iron curtain between the media and the military." Gates reportedly told his staff, the press isn't the enemy. McChrystal's interview with "Rolling Stone" stunned top brass at the Pentagon and lead to his resignation.

Republican National Committee Chairman Michael Steele under attack with in his own party. Some top GOP figures are calling for his resignation because of a comment this week on the Afghanistan war. What did he say? We'll play it for you next. And don't just sit there. Make sure you become part of the conversation. Send me a message on Twitter and Facebook, check out my blog at cnn.com/don. We want to hear from you.

(COMMERCIAL BREAK)

LEMON: Republican National Committee Chairman Michael Steele has big trouble with his own party this weekend. Steele has certainly stuck his foot in his mouth before, but some big name conservatives are now calling on him to resign over these comments about the Afghan war.

(BEGIN VIDEO CLIP)

MICHAEL STEELE, REPUBLICAN NATIONAL COMMITTEE CHAIRMAN: Keep in mind, again, for our federal candidates, this is a war of Obama's choosing. This is not something the United States actively prosecuted or wanted to engage in.

(END VIDEO CLIP)

LEMON: CNN Senior Political Editor Mark Preston joins me now from Washington. Mark, you have been on the phone all day with RNC members and other republicans. Before, I hear about what they are saying, what was he thinking?

MARK PRESTON, CNN SENIOR POLITICAL EDITOR: You know, Don, that is really the million dollar question right now. What was he thinking? You would think on this weekend, this Fourth of July weekend where Washington shuts down, where politics basically shuts down, Michael Steele would not want to have to be answering why he made these remarks. You know, what one analyst said to me today or rather one strategist said to me Don is that whenever he goes into this pundit mode when he tries to be an analyst himself, that's when he puts his foot in his mouth. I think, that's what we saw here.

LEMON: OK. So, listen. What are prominent conservatives saying? Because they are asking him to step down. So, what are you hearing?

PRESTON: Well, you know, from RNC members, just talking to them throughout the day, they are very frustrated by these comments. One of them said to me, look, it looked like we were turning the corner, we were becoming a unifying party, we're heading into the mid-term elections without any gaffes, without any problems. And then this arises. They are very, very frustrated, Don. Because they really do taste some sense of victory. They think that they have a chance to taking back the House of Representatives. They feel like they can, you know, get close to taking back the senate and then there are all these state legislative races. So, instead of talking about that, Don, they have to talk about these comments by Michael Steele.

LEMON: Yes. Let's talk about some other prominent conservatives. Here's what they're saying. Here's what William Kristol is saying, the editor of "The Weekly Standard" said, "You are, I know, a patriot. So, I ask you to consider over this Fourth of July weekend doing an act of service for the country you love. Resign as chairman of the Republican Party." And then, Liz Cheney agree saying, aren't the Chairman Michael Steele's comments about the war in Afghanistan were deeply disappointing and wrong, it is time for Chairman Steele to step down, she says. So, how deep of trouble is he in, Mark?

PRESTON: Well, you know, it's a very tough question to answer. At this time, he's OK. It would need two-thirds of 168 members who make up the Republican National Committee. Ms. Cheney and Mr. Kristol do not make up the Republican National Committee.

LEMON: But Mark, let me go here. Because you and I have gone through this before. Eve some gaffes that he made in an interview. Some people see these gaffes, he said it was strategic on his part. But he has been -- this isn't the first time, he has been called upon to resign. Is the chorus growing louder from his party to resign? Is this unusual, unlike the other times that he has been called upon to resign?

PRESTON: Look. It's unusual because you're talking about a very -- look, a very important subject right now to the American people which is the Afghanistan war. And the fact is he misrepresented in the comments when he said that this was Obama's war. This war began under President Bush. When you hear the likes of Liz Cheney and William Kristol come out and say, it's time for him to step down, enough is enough, yes, it becomes very important. But right now, Don, you would need two-thirds of 168 members to knock him out. That's a very high threshold. Could it happen? Potentially. But, you know, Don, we're four months before the mid-term elections and right now, republicans don't want this big fight to be played out in the public square as they are trying to take back Congress and some of the state houses across the country.

LEMON: Yes, because you've got timing, you have the scandal, you know, over the strip club thing and then some other things that happened recently. So, we'll see, you know, he has survived before. But we'll see. And tomorrow morning, I'm sure to talk shows, the Sunday morning shows. We'll going to find out a lot more. Mark Preston, we appreciate your expertise. Thank you, sir. PRESTON: Thanks, Don.

LEMON: It is been a rough year for people along the Gulf Coast, but in New Orleans, their festivals are helping them stay afloat despite the oil disaster. You heard Allan Chernoff say, that just a moment ago, we talked about the Essence Festival of this weekend. It is there in New Orleans. And so, is our Richelle Carey, she's from our sister network HLN and she's going to join me live, next.

(COMMERCIAL BREAK)

LEMON: Want to check your top stories right now on CNN. Thousands attended a funeral for a two police officers in Tampa, Florida. They were shot to death Tuesday during an early morning traffic stop. The murders triggered an intense manhunt that ended yesterday when suspect Dante Morris surrendered to Tampa police. Police chief rallied or called, I should say, Morris a cold-blooded killer adding, thank God he is behind bars now.

In the Democratic Republic of Congo, at least 230 people were killed when an overturned tanker truck exploded. The tanker had crashed trying to pass a bus. As the oil began to leak, locals showed up to attempt to collect it. One was smoking a cigarette igniting the fire and explosion. Some of those killed were sitting at a nearby bar watching the World Cup when the blast occurred.

Along the Gulf Coast, not only do the states want BP to pay for the physical damage from the oil disaster, they want the company to pay for the mental toll as well. Officials in Mississippi, Louisiana, Florida and Alabama are asking BP to foot the bill for mental health outreach and service programs. BP had no immediate response to those requests but say, it will soon announce a community outreach program of its own.

Well, from natural to manmade disasters, New Orleans has had it rougher than most of us will ever know. But this afternoon, the city is alive with the sights and sounds of the Essence Music Festival. Last year, nearly half a million people attended. And this year, with oil ravaging the livelihood of the local people, many entertainers felt compelled to be a part of this event. And were going to go there now live.

HLN Richelle Carey is at the festival for us. Richelle, good to see you. What type of impact does this event have on New Orleans? I'm sure it's bringing much needed business there.

RICHELLE CAREY, HLN ANCHOR: Absolutely. In a time right now, Don, when mayors all along the Gulf Coast -- be it Alabama, Mississippi, they're begging, they're begging, don't ignore my city, don't forget my city. Mayors of New Orleans have never had that problem. The Essence Festival is always here in New Orleans with the exception of one year because of hurricane Katrina, it has to be moved to Houston. But the mayors of New Orleans know they have a good thing because the Essence Festival is so loyal to the city. A $100 million. That's how much money. That is the overall financial impact of this festival to the city at a time when they need it. They are still trying to recover from Katrina. But of course, we have the oil spill, the gusher if you will, the Gulf of Mexico happening right now. They need the financial impact. They need people to know they still matter and the Essence Festival reminds people that New Orleans still matters, they're still going to recover.

LEMON: Yes. And, you know, we looked at those pictures and many of us reported down there. And saw many of the people who were, Richelle, stuck in the Convention Center and the Superdome. Many of those people are minorities, African-Americans. This is an African- American event. So, this is the complete opposite and pictures we are looking at when you saw Katrina. And this is a city that appears to be, except for the oil, except for the oil, a city that was on the verge at least of coming back.

CAREY: Absolutely. I'm having a bit of a hard time hearing you because it's so loud, there are thousands of people here in the Convention Center. But yes, absolutely on the verge of coming back. And then, it gets sucker-punched, if you will, by what's happening out in the gulf. But that doesn't mean that the conventions aren't still coming, that doesn't mean that it's not still the viable city. And with the presence of the Essence Festival, that signals to the rest of the world that we are still a viable city regardless of all those punches that keep coming our way, Don. You know what I mean?

LEMON: Yes. Absolutely. Hey, listen, let's talk about the fun there. Because people are there to have fun. What about the headline because I'm hearing Mary J. Blige as one of the performers tonight. And they've got some top-notch talent headlining.

CAREY: Absolutely. They get bigger and bigger every year with the talent. OK. You said Mary J. Blige. There is Alicia Keys tonight. I'm going to go a little way back to Charlie Wilson from the Gap Band. He performed last night. There's a "Mary Mary," if you like gospel. There's "Arrested Development." There's (video gap) all right. And then, of course, Alicia Keys tonight. Last night, Ms. Janet Jackson. Essence festival does it big, Don, don't say.

(LAUGHTER)

LEMON: Yes. And I see you there Richelle sitting down with Janet Jackson. And I'm afraid to tell our viewers that they're going to have to come back at 7:00 p.m. Eastern to watch part of your interview with Janet Jackson. I'm looking forward to it, Richelle. Hey, have some fun between now and then. We'll see you live, OK?

CAREY: Oh, I'm only working. I'm not having any fun with all this music. No fun at all.

LEMON: Uh-huh. I'll text you after this program. We'll see. Thanks Richelle.

(LAUGHTER)

CAREY: All right, sir.

LEMON: An injured American soldier returned to the home front. One grateful American welcomes him in style. Meet this week's CNN hero when we return. But first, a California town lays off nearly every single employee. Why would any town do this? The mayor joins me next.

(COMMERCIAL BREAK)

LEMON: OK. Is this how bad it's getting with the economy or how bad it's gotten? A California town laid off all of its 96 employees this week, every single one of them. Maywood, population 45,000, won't be closing up shop. City Hall will remain open and police still patrol the streets but all city services will be contracted out to private companies or other agencies.

We are join now in Los Angeles by the mayor of Maywood. Her name is Ana Rosa Rizo. Mayor, thank for joining us. First of all, there are a number of other cities here contracting out at least some services in these tough economic times. But you are the first to lay off everybody. What prompted this decision?

MAYOR ANA ROSA RIZO, MAYWOOD, CALIFORNIA: Don, thank you so much for having me. What prompted this decision are the tough economic times that small cities are facing. As it is, it's very difficult for small cities to maintain the high cost of policing and having our own employees. And at this point, we are actually establishing a partnership with our neighboring City of Bell and we are increasing services to our community. So, residents have not felt the change. If anything, we are paying half on policing now with the L.A. County Sheriff's Department and we have double the patrolling of our city. And we are increasing services such as in our Parks & Rec Department, we actually have programs for special education students.

LEMON: There will be people who will lose their jobs. So, let get that...

RIZO: Yes. And that was a very hard decision to make. Coming from the labor movement, it was very hard to make that decision. Unfortunately because of the liability that our Police Department had incurred because of $12 million of claims, we could not maintain insurance with any other company if we continued to have the employees we had because of the liability that was incurred from before.

LEMON: OK. And I did a story very recently on a City here in Georgia that has to get rid of its entire police force and actually had the county come in and serve the people of the city. But here's what I will ask, you said 96 employees this week, you got rid of all of them. Some of them will be contracted, they're going to become part of those contract workers and they will actually start working for the city again. I want you to talk to me about that, but how many people are going to lose their jobs altogether out of the 96?

RIZO: Well, we are making every effort to make sure that people stay employed and actually many of the people within the Police Department are applying for positions within the L.A. County Sheriff's Department and also people who worked for the city are applying for jobs under our contract with the city of Bell. So, we are trying to make sure that this impacts the employees as minimally as possible. However, I, as an elected official, have a responsibility to the over 40,000 people in my community because ultimately, that's my job.

LEMON: Hey, Mayor. I just want to get to -- if you could very quickly out of the 96, do you know how many people are going to lose their job? Just if you could tell me.

RIZO: We're still in the process.

LEMON: OK.

RIZO: That's why I can't give you a number right now. Because they still have the possibility of keeping their jobs.

LEMON: OK. What's been the reaction, real quickly?

RIZO: Well, the community is very happy because the Sheriff's Department started on Thursday and they have seen double the patrolling than they saw before. And also, as far as the Parks & Recreation Program, we actually have a new program that's kicking off in our city pool on July 4th. And people are very excited about that. So, I know change is very difficult for some people but we want to make sure that the city instead of limping along succeed and provides the most quality services as for residents which is what they deserve because we have a working class community.

LEMON: Mayor Ana Rosa Rizo, thank you so much. I just wanted to get the numbers clear here. We hope a lot of those people get jobs as contract workers through the state.

RIZO: Yes.

LEMON: So, it will help. Thank you. I appreciate you time. Happy Fourth of July to you.

RIZO: Thank you so much. We really appreciate it.

LEMON: All right.

RIZO: California state workers could see their paychecks slashed soon. The governor has ordered salaries lowered to the minimum wage if Sacramento doesn't pass a budget. One spokeswoman warned that this isn't a scare tactic but a legal requirement.

And for more than 30,000 U.S. troops injured in Iraq and Afghanistan, coming home to a sputtering economy brings even more challenge. But one Texas builder, this week's CNN hero is helping them rebuild their lives. Dan Wallrath spends his retirement giving injured soldiers a place to call home.

(BEGIN VIDEO CLIP)

SGT. ALEXANDER REYES, ARMY: Baghdad ended up being a hell of a ride. I sustained a very severe blast injury. My life just came to a complete halt.

DAN WALLRATH, CNN HERO: How are you doing? How is everything, you look sharp today. REYES: Thank you.

WALLRATH: I have been doing custom homes for 30 years. One of the most important things for a family is a home. I want you to read the sign for me.

REYES: Future home of Sergeant Alexander Reyes, United States Army.

WALLRATH: Congratulations.

Giving these folks a new home that means the world.

UNIDENTIFIED FEMALE: Thank you. That's all I can say.

WALLRATH: My name is Dan Wallrath. Five years ago, I had a friend of mine call me, friend of his. His son had been injured in Iraq.

UNIDENTIFIED MALE: This is the day after he graduated from boot camp.

WALLRATH: He showed me some pictures. His son was a big strapping Marine. And he showed me the picture of Steven in the hospital. It just broke my heart.

UNIDENTIFIED MALE: Stephen was wheelchair-bound. We were going to have to remodel. I had no idea how I was going to pay for it. Dan just said, We're going to take care of it.

WALLRATH: We remodeled that home. And I realized, this is not an isolated case. So I went back to my builder buddies and said, We've got to do something.

We build homes for returning heroes from Iraq and Afghanistan. The houses are mortgage-free. It changes the whole family somehow (ph). It gives them just a new start so they can move forward.

These young men and women are doing this for you and me. How can I not help them?

(END VIDEOTAPE)

DON LEMON, CNN NEWS ANCHOR: So far, Dan Wallrath and his organization completed more homes for seven injured veterans and begun construction on five more. Each is given completely free of charge. To nominate someone you think is changing the world, go to CNN.com/heroes.

(BEGIN VIDEO CLIP)

TAKERU KOBAYASHI, COMPETITIVE EATING CHAMPION (through translation): It's very difficult, sad and difficult because I know so many people are supporting me. It's not fair.

(SHOUTING)

(END VIDEO CLIP)

LEMON: He is one of the most decorated athletes in the history of his sport. But a contract dispute has him sidelined from this year's main event, a competitive eating competition. That's right, I said competitive eating. His story coming up.

(COMMERCIAL BREAK)

LEMON: Want to check your top stories on CNN. Vice President Joe Biden and his wife are spending the holiday weekend with soldiers in Iraq. His mission to Baghdad is about more about than cheering up troops. Biden will also meet with Iraqi politicians who have been unable to form a government four months after voters went to the polls.

The Pentagon is rolling out new rules to prevent another incident like the one that cost General Stanley McChrystal his job. Military officials will now have to clear any interaction with reporters. McChrystal's interview with "Rolling Stone" blindsided the Pentagon. The general's comments in the article led the president to relieve him of command.

On an official visit to Poland, Secretary of State Hillary Clinton proves she's not all work. She says, not even her demanding schedule will get in the way of planning her daughter, Chelsea's, wedding. Clinton calls that her most important task but she admits balancing her public and private life is stressful. Chelsea Clinton is to marry Mark Mezvinsky on July 31st.

For many Americans there is only one way to cap off the July 4th weekend. You know that is, it's with a huge fireworks display in the night sky.

But you know what, you probably don't think about all that preparation, the technique, the know-how that goes into setting off such an amazing show. That is the specialty of Fireworks by Grucci, a family-owned company that's done programs for the Olympic Games and seven presidential inaugurations.

Philip Butler is Grucci's vice president and fireworks producer.

How many shows are your company involved in around the country this weekend?

PHILIP BUTLER, VICE PRESIDENT & FIREWORKS PRODUCER, GRUCCI FIRE WORKS: In the next ten days, which generally, the Fourth of July period, we'll be doing 78 programs.

LEMON: 78?

BUTLER: From Montauk to Pearl Harbor.

LEMON: 1850, this company has been doing this. You really started the trend of what we call bombs bursting in midair?

BUTLER: Oh, I would say we probably were one of some. But before the 1990s, the fireworks business was a mom-and-pop operation. We really didn't get our rocket ship to where we are now until actually in the '70s. LEMON: Really?

BUTLER: Yes.

LEMON: I have always thought that the big displays, I have been seeing them on TV since I was a kid, and I was a kid I the '70s. Maybe that's when they came about, as big as they are.

BUTLER: 1976. But the big thing for us was 1986, the Statue of Liberty Centennial.

LEMON: And when they redid the park and all of that.

BUTLER: Of course.

LEMON: That was beautiful. Hey, listen, how long does it take to prepare something like the fireworks that will happen here in Washington, D.C.? And all over the country? We see the displays, not the canisters and other things that you set up.

BUTLER: We really start for a given season July 5th for next year.

LEMON: Really?

BUTLER: It's a planning, purchasing, designing and then, of course, producing them. It's a year process.

LEMON: Most people understand basic chemistry. You can change the colors, but how do you do designs, words and all of that? How do you make a firework do that?

BUTLER: Oh, boy. How long do we have? It's how you pack the shell, of course. If you're trying to make, say, a star pattern in the sky, you cut it open, and you will see a small star. Then it's pressure points, when it breaks, to expand that five, six-inch star into a hundred-foot star.

LEMON: Like a smiley face. I have seen words, designs. Have you ever done a "Will you marry me"?

(LAUGHTER)

BUTLER: No. That's a little bit too much of a novel.

LEMON: It's really beautiful. You guys don't do it by hand. I would imagine you at one point did.

BUTLER: We do all of our programs electrically fired. We have been doing it for, I'm guessing, about ten years. It's the safest. Also, it's really the only way to guarantee the audience out there, what we designed is what will be fired.

LEMON: We don't hear about it as much anymore. But some fireworks going off, you know, by accident and what have you, and that's probably the reason you do it remotely rather than having people near there? BUTLER: Yes, of course. As I said we do our programs, but 99 percent of the programs out there yet in the U.S. are manually fired.

LEMON: How long have you been doing this?

BUTLER: Almost 40 years, when I married Donna.

LEMON: Donna. And the best one you have seen so far is?

BUTLER: My favorite is still the Brooklyn Bridge. That was a program. The centennial is the first time the bridge was ever closed.

LEMON: I remember.

BUTLER: The Brooklyn Bridge holds something in every New Yorker's heart.

LEMON: Yes.

BUTLER: So that was special.

LEMON: We'll try to find that and see if we can get the video. If we rerun this, we'll put it in there for you.

Thank you. Beautiful stuff.

Philip Butler is with the Grucci Fireworks, the vice president and fireworks producer. There is a producer for the fireworks. Learn something new every day.

BUTLER: Thank you.

LEMON: Happy Fourth of July.

BUTLER: Happy Fourth of July.

LEMON: I enjoy your work.

BUTLER: Thank you, again.

LEMON: You know, tomorrow will be the "Gorgefest" of the year. Nathan's Hot Dog Eating Contest takes place as it has for the last 94 years. Maybe Mr. Butler here wants to take part. It's the Super Bowl of competitive eating, which has all the training, demands and conflict of a major league sport.

CNN's national correspondent, Suzanne Candiotti, shows us.

(BEGIN VIDEOTAPE)

SUZANNE CANDIOTTI, CNN NATIONAL CORRESPONDENT (voice-over): They stuff down hot dogs like there is no tomorrow.

ANNOUNCER: This is a terrific rivalry.

CANDIOTTI: Competitive eaters are treated like rock stars by fans and curiosity seekers.

UNIDENTIFIED FEMALE: It's funny. There are so many people, so many cameras.

CANDIOTTI: On the Fourth of July, the cameras will be on Joey Chestnut, the world's number one competitive eater, a three-time champion, the current belt holder for competitive hot dog eating, putting down 68 in ten minutes.

He said he's training hard, hoping to top 70 dogs.

JOEY CHESTNUT, COMPETITIVE EATRE: I have been eating a lot of hot dogs. I've been fasting so my body can go from absolutely empty to 100 percent full.

CANDIOTTI: He's not kidding when he says "full." This is an x-ray image of a competitive eater with 36 hot dogs in his stomach. The stomach is stretched beyond recognition.

DR. MARC LEVINE, G.I. RADIOLOGIST, UNIVERSITY OF PENN. HEALTH SERVICES: It was really pretty frightening to us because we had never seen anything like this, except in patients who have obstruction of the stomach.

CANDIOTTI: Dr. Marc Levine studied competitive eating. He says contestants train their stomachs to stretch out so they can eat and eat, limited only by how long the contest lasts.

LEVINE: When we had him lift his shirt, his abdomen was no longer flat. It looked like he had a nearly full-term pregnancy.

CANDIOTTI: Many of these techniques were pioneered by six-time hot dog eating champ, Takeru Kobayashi --

(SHOUTING)

CANDIOTTI: -- the man who boasts of downing over 17 pounds of cow brains in 15 minutes. He accompanied me to -- where else -- a hot dog stand.

(on camera): Can we get two hot dogs?

CANDIOTTI (voice-over): I asked him to show us one of the techniques, the way he gets the hot dogs down.

TAKERU KOBAYASHI, COMPETITIVE EATING CHAMPION: Jump, jump, shake.

(LAUGHTER)

CANDIOTTI: Got that? He shakes to make it all go down.

(LAUGHTER)

(voice-over): Even the hot dog vendor was impressed.

UNIDENTIFIED HOT DOG VENDOR: You ate 50? CANDIOTTI (on camera): No.

UNIDENTIFIED HOT DOG VENDOR: 60? 100?

CANDIOTTI (voice-over): Despite his celebrity, it's not all fun and games for Kobayashi these days. A contract dispute with Major League Eating, the world body that stages 80 contests each year, is ready to sideline Kobayashi at the signature Coney Island hot dog showdown. Kobayashi says he wants to compete but the contract is too hard to swallow, forbidding him from competing in outside events

KOBAYASHI (through translation): It's very difficult, sad and difficult because I know so many people are supporting me. It's not fair.

CANDIOTTI: The league argues, no sport would allow its athletes to pick and choose events.

GEORGE SHEA, CHAIRMAN, MAJOR LEAGUE EATING: You know, Tom Brady can't say, I want to go to the Super Bowl, but then I want to be part of the NFL. I'm going to do what I want. I want to play arena football or go over to Europe. It just makes no sense.

CANDIOTTI: It may makes some queasy, but the high-stakes sport of competitive eating is something these guys and their fans relish.

Suzanne Candiotti, CNN, New York.

(END VIDEOTAPE)

LEMON: Nothing like a good hot dog.

So what does it feel like to have 38 hot dogs in your stomach? I don't want to know. But stick around, we're talking to two top-ranked competitive eaters. One calls herself "The Black Widow." That's in the 7:00 p.m. eastern edition of the "CNN NEWSROOM."

(BEGIN VIDEO CLIP)

SCOTT NESBIT, ATLANTA RESIDENT: You can buy Popsicles in the store. I would rather eat rocks compared to this.

JASON WORKING, ATLANTA RESIDENT: I heard his story. I guess he used to be an office worker. When his stand popped up it was like gang- busters right away.

(END VIDEO CLIP)

LEMON: You could say Steven watched as his corporate job melted away. But he has a cool new venture that's paying the bills. That's next.

(COMMERCIAL BREAK)

LEMON: Remember the Wall Street meltdown and the huge AIG bailout? While some of those AIG employees were still collecting bonuses, others were losing their jobs like the 26-year-old analyst you're about to meet. After being let go by the company that was too big to fail, he's finding success on a much smaller scale. And on this hot holiday weekend, business is booming.

CNN writer, Dan Donahue, and photographer, John Pearson (ph), bring us his story.

(BEGIN VIDEOTAPE)

STEVEN CARRS (ph): That's $2.50.

I sell Popsicles. I started a company called King of Pops. I used to work at AIG as a product analyst. I was in front of spreadsheets all day. When all of the AIG things started to happen, I guess I kind of happened with it. I was laid off along with a lot of people in my division. I didn't feel like going back into insurance. So I decided to try this.

UNIDENTIFIED FEMALE: Mm. That's really good.

DANA LEE, ATLANTA RESIDENT: I got chocolate sea salt. I was told it was life altering.

CARRS (ph): I get my ingredients at farmer's markets. We're processing strawberries, peaches, get the pit out. It's work, but you have to do it if you want it fresh.

The demographic that is drawn to our stuff, they like supporting local business, getting a good, fresh product.

SCOTT NESBIT, ATLANTA RESIDENT: You can buy Popsicles in the store. I would rather eat rocks compared to this.

JASON WORKING, ATLANTA RESIDENT: I heard his story. I guess he used to be an office worker. When his stand popped up it was like gang- busters right away.

It's unusual to hear like pineapple-habanero or Mango-habanero. Mango-chili is really good.

UNIDENTIFIED FEMALE: I ordered one of everything. I love turning my friends on to these unique tastes.

CARRS (ph): I have been known to dip into the stash a little bit. You have to sometimes if you're hot enough. I try to keep it under four a day which is a good amount of popsicles.

We're just getting started. We probably don't have the same benefits I had at AIG.

Try not to get sick. That's the first plan.

I'm definitely happier. I'm in the Popsicle business for the long haul.

Mm!

(LAUGHTER0

(END VIDEOTAPE)

LEMON: Nice story. There you go, ingenuity.

"The Situation Room" is straight ahead. Suzanne Malveaux is filling in for Wolf Blitzer this week.

Suzanne? What do you have for us?

SUZANNE MALVEAUX, CNN CORRESPONDENT: Thanks, Don.

Well, if you have a chance to sit down the former leader of the free world, what would you ask? Well, "The Situation Room's" Wolf Blitzer got that rare opportunity this week with Bill Clinton for an interview for the Fortune/Time/CNN Global Forum in South Africa. The former president speaks candidly about the war, the economy, and his role next month as father of the bride. He'll share some insider's advice for President Obama. You will hear all of it on "The Situation Room" at the top of the hour.

Hey, Don, back to you.

LEMON: Thank you. Looking forward to it.

OK, a sport that involves swimming for hours and getting stung by jelly fish isn't really for the faint of heart. But at age 60, Diana Nyad is getting ready to swim 100 miles and finish a goal that she set 30 years ago. Our Dr. Sanjay Gupta has the story of this amazing athlete in today's "Fit Nation" report.

(FIT NATION)

LEMON: All right, leading up to Diana's early August Cuba swim, she will continue to prepare with a 24-hour practice swim off of the coast of Key West. CNN will be along for the ride, bringing you live updates from the middle of the ocean.

So who is the most sued mascot in sports? Is he from your city? Find out coming up.

(COMMERCIAL BREAK)

LEMON: All right. It's Saturday. You know, we try to catch you up on some of the news that you might have missed throughout the week. A long standing maritime mystery has been solved. Divers have found the largest wooden ship missing in the waters off of Lake Michigan. The L.R. Doty disappeared in a storm 112 years ago. All 17 people onboard were lost. The Doty was found 120 feet below the surface, intact and upright, with its cargo of corn still in the hold. Archeologists say the lake's icy waters kept the ship well preserved. Very interesting.

His job is to excite the fans, not the "incite" the fan. The Philly Phanatic has done just that. The Philadelphia Phillies' mascot is getting sued yet again. "The Philadelphia Daily News" reports 75-uer- old Grace Crass (ph) is asking for more than $50,000 in damages. She says the Phanatic climbed on her legs, exacerbating her arthritis during a game in 2008. The Phanatic reportedly has faced lawsuits five times before. Likely, the most sued mascot in the majors. It's Philly. Not surprising, since I lived there.

You know, the daughters of Sarah Palin, George W. Bush and Scott Brown, trying their hand at a little TV. You have to admire them taking a risk. A couple of them are getting royally panned.

Jeanne Moos has the reviews.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): The latest crop.

JENNA BUSH HAGER, DAUGHTER OF GEORGE W. BUSH: It's pretty beautiful here.

MOOS: -- of daughters of famous politicians --

AYLA BROWN, DAUGHTER OF SEN. SCOTT BROWN: It was hilarious.

MOOS: -- to get jobs on TV, thanks to their names.

BRISTOL PALIN, DAUGHTER OF SARAH PALIN: Come on, we have to get going.

MOOS: They've been going to morning news shows.

UNIDENTIFIED NEWS SHOW ANCHOR: Contributing correspondent, Jenna Bush Hager.

MOOS: And a teen drama.

ANNOUNCER: On a shocking new "Secret Life," the visitor everyone is buzzing about.

PALIN: How did you know I had a baby?

ANNOUNCER: Bristol Palin.

MOOS: Bristol plays herself, a teenage mom.

PALIN: We're all teen moms and musicians.

UNIDENTIFIED ACTRESS: Everyone in this program.

PALIN: The program, it's for teen moms.

MOOS: But reviews are brutal based on a 30-second advance clip.

PALIN: You're the world's greatest french horn player and I'm Yo Yo Ma.

MOOS: Meryl Streep, she isn't.

UNIDENTIFIED "24" EDITOR OF "HOLLYWOOD LIFE": I give her a "W" for wooden.

MOOS: So wooden, you could build a canoe out of it, noted one blog.

PALIN: I was nervous, but I had a wonderful time.

MOOS: The daughter of Senator Scott Brown didn't seem nervous.

BROWN: But to me, he's just the guy who taught me how to play basketball.

MOOS: Doing a profile for her dad for the CBS "Early Show."

SEN. SCOTT BROWN, (R), MASSACHUSETTS: They're both available.

(APPLAUSE)

BROWN: Are you scared or worried that I won't find someone, was that why you said I was available?

SEN. BROWN: No, no. It was strictly a joke.

MOOS: "24," editor of "Hollywood Life," gave her a thumbs up.

UNIDENTIFIED "24" EDITOR OF "HOLLYWOOD LIFE": She natural on camera. She's funny.

MOOS: Well, no wonder why she's polished. She's a singer who's competed on "American Idol."

(SINGING)

MOOS: But getting less respect is former President Bush's daughter, Jenna.

BUSH HAGER: From this magnificent current --

MOOS: The schoolteacher is now contributing to the "Today show.

BUSH HAGER: If you set foot in Yellowstone, everything seems to slow down.

MOOS (on camera): Yes, everything, including her delivery.

BUSH HAGER: Some visitors will sit for hours and never see any wildlife or interruption.

MOOS (voice-over): She got caught on camera reading her notes.

BUSH HAGER: We'll meet some of the people who like to jump out of the fast lane.

MOOS (on camera): there was some awkward chitchat with the anchors.

BUSH HAGER: -- a day at work -- Natalie.

UNIDENTIFIED ANCHOR: Yes. What's the temperature there this morning, Jenna?

BUSH HAGER: Oh, it's pretty cold. The gloves.

UNIDENTIFIED ANCHOR: Yes.

(LAUGHTER)

MOOS: The reviews ranged from painful to train wreck.

UNIDENTIFIED "24" EDITOR OF "HOLLYWOOD LIFE": I don't think she's too bad. I think she's got potential.

MOOS: One person posted -- "Without family connections, she couldn't get a gig doing the farm report on a public access show in Kansas."

They're not beating around this Bush.

BUSH HAGEN: The gloves.

MOOS: Jeanne Moos --

PALIN: Me too.

MOOS: -- CNN --

(MUSIC)

New York.

LEMON: That's why we love Jeanne Moos.

I'm Don Lemon at the Time-Warner Center in New York. Thanks for joining us. THE SITUATION ROOM begins right now.