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Growing Number of Workers Delay Retirement; Incomes Up in North Dakota; Al Qaeda Terror Plot Revealed; Obama Speaks at Backyard Chat in Iowa; Fighting Childhood Obesity, One App at a Time; CNN Reporter Targeted in "Punk"

Aired September 29, 2010 - 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: And hello to everybody. I am T.J. Holmes, in today for my good friend Tony Harris. Let me tell what we've got coming up over the next two hours.

We are going up front today. And what we're putting up front today is your job, your health, and your lifestyle. We've got some new information from the Census Bureau that shows how the economy is affecting your state. We'll break it down and break down this map for you coming up.

Also, a live picture here of Des Moines, Iowa. The president there today on his campaign-style tour that is taking him through four states. He'll be talking to a family in the back yard, also talking to other people who have questions.

And you want to keep an eye on this, because he's talking about the economy, but you never know what's going to happen in the Q&A session. We're going to be dipping into that for you coming up.

Also, we're putting what you and your kids eat on the table. Our series "Eatocracy" examines healthy food choices.

Also, you can tell kids all day long until you're blue in the face about what they need to eat to be healthy, but does that really get to them? Well, at the White House this morning, the first lady is recognizing groups that are helping kids make healthy choices by developing digital games and apps to actually inspire the kids to slim down.

All that stuff coming your way. But we're going to start right now with retirement age.

When a lot of people get to it, what are they thinking of? They think about playing some golf, maybe, doing some traveling. They're certainly not thinking about working anymore. But more and more people who are hitting retirement age are not getting the retirement they thought.

Alison Kosik at the New York Stock Exchange for us with details.

Alison, more and more people hitting retirement age, but not anywhere close to retiring.

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Exactly. And this is becoming so popular, T.J.

There is a new phrase for it. It's called "nevertirement." Get it? It's because we're seeing this trend that more older workers are choosing not to punch out, to instead stay on the job. In fact, one person tells us she plans to work until she dies.

And I'll tell you what, this isn't a new phenomenon. Take a look at these numbers here.

In 1998, 12 percent of workers over 65 stayed on the job by choice. In 2008, 17 percent of older workers delayed retirement. Now we're at 18 percent. So we're seeing this number inch up. And by 2018, it is forecast that 22 percent of workers are going to delay their requirement.

Now, not everyone is staying at their current job. Some choose to take on new projects. Others start a business.

For example, one person tells us when he retired, he started a small eBay business. Then again, some other people just decide to change careers. They've got the confidence to do that. One mother who retired from the public school system is now a college professor and education consultant.

So many people have options, T.J., because at this age they're at the height of their careers. They're not really ready to pack it in and just start golfing, gardening and bird watching. They want to really reach to new heights in their careers -- T.J.

HOLMES: Well, you give some of the reasons there. They might want to keep working. But how much of this really is related to the recession?

KOSIK: Well, you know, the recession obviously is a huge factor, because many people, you know, they're not financially prepared for retirement. You know, so many people lost so much of their investments during the recession. But T.J., another big factor is enjoyment.

Many people are working because they want to. And this includes people with a lot of money, with -- you know, these are the wealthy. You know, for some, work isn't just a necessary evil. It's a source of self-worth and value, and they feel like they want to keep going and not just kind of, you know, relax.

You know, people also want to challenge themselves. Analysts are saying staying engaged is beneficial to your well-being.

There is obviously another factor. People are living longer, T.J. Retirement is a big portion of people's lives, so they want to be doing something. And for many people, staying on the job is that something that they really need and want -- T.J.

HOLMES: All right. Alison Kosik with the numbers for us.

Alison, we appreciate you, as always.

KOSIK: Sure. Thanks.

HOLMES: And for a lot of folks, being out of a job is one thing. But there are actually some older workers out there who are starting to worry if they'll ever work again.

We're going to meet someone who is in that position. She actually thinks she may never work again. But she wants to.

We're going to be talking to her, and also a career coach about what you can do when your back is up against the wall. She says it's actually time for you to reinvent yourself. Maybe easier said than done.

We've been getting a lot, also a lot of new Census numbers over the past couple of days and weeks. Josh Levs here with some more numbers we're getting from the Census.

And Josh, only one state in the U.S. has seen an increase in incomes. Where is it?

JOSH LEVS, CNN CORRESPONDENT: That's right. I'm going to tell you about that. I was surprised as well. I think you're all going to be surprised.

You look around the entire country, in the latest survey there is only one state where your incomes have gone up. You know, we talk a lot about the economy on a national level. We are one country, we're all affected by the phenomena in this economy. But the truth is, things are different in the states

Let's start off with a national picture and then we'll get to that big question.

Household incomes across this country are down. Income is down almost three percent in families across this country.

Look at this. The household median income now, if you want to know where you relate, household median income in this country overall at $50,000, almost exactly even there for households in America.

And we are seeing incomes go down in 34 states. Thirty-four states. That's extremely unusual. It's a sign of what's happening in the economy.

This is from 2008 to 2009. These are the latest figures that we have from here, from the Census Bureau survey right there.

Now, the one state that is bucking this trend, the one state completely different story, look at this, North Dakota, where their incomes have jumped five percent between 2008 and 2009. Everywhere else you're seeing it go down or stay flat. North Dakota, it jumps up five percent.

Why is that? Well, you get a little bit of sense of that from a conversation John King had with some folks in North Dakota last year. Take a look.

(BEGIN VIDEO CLIP)

JOHN KING, CNN CHIEF NATIONAL CORRESPONDENT: Because of the industry mix here, are you shielded from some of the national dynamics sometimes?

JOHN STRATMAN, WORKS IN INSURANCE: Well, certainly the economy here is more influenced by agriculture than any other single source. While there's manufacturing here, it's not to the extent of a Michigan or an Ohio. And agriculture continues to roll on.

(END VIDEO CLIP)

LEVS: So that's part of it, but some of it is also that agriculture has -- agriculture, yes, has done really well. But labor experts also point to this diverse range of industry there: oil, mining, health care, forestry, hunting and fishing.

Officials in North Dakota said they haven't really been focusing on those industries that had the big booms and then all of a sudden had the big busted later on. They've really been pretty steady for the whole last decade.

In fact, in 2008 -- listen to this -- North Dakota's economy grew twice as fast as all other states except Wyoming back in 2008. So there is a sign there that, hey, they're doing some things right, weathering this economy really well.

I know you all want to know how it's affecting your state and what you're seeing near you. Well, I posted -- you can see my screen here -- at Facebook and Twitter. You can see right now a breakdown that talks you through what's going on in different states all over the country.

And T.J., you should be able to access this map right here which is behind me now. What it does is it shows you how things are going in each state. Where you see a lot of blue, that's where median incomes are higher than elsewhere. Where it's yellow, you're seeing median incomes below.

So this should help give you a sense of how things are impacting you. And obviously, T.J., since these figures are from 2009, we can all hope we start to keep moving out of this recession more better -- happier by next year.

HOLMES: All right. Cities next hour? Is that right? We're breaking down --

LEVS: Yes. There is only one city in America where incomes are up. We'll have that next hour.

HOLMES: All right, Josh. We appreciate you, as always. Thank you so much.

LEVS: You got it. (NEWSBREAK)

(WEATHER REPORT)

(COMMERCIAL BREAK)

HOLMES: Thirteen minutes past the hour now.

If you see something, say something. That is a call for vigilance that may be resounding just a bit more nationwide today as we're starting to get new information about a terror plot in Europe that may have been foiled.

A German counterterrorism official says a detainee has talked of al Qaeda planning a series of commando-style raids against the West. What does that mean, commando-style raids? Well, you'll remember the bloody Mumbai terror siege back in 2008.

In that attack, gunmen stormed hotels, a train station, and a Jewish center, that kind of attack. And a law enforcement source tells us Osama bin Laden may have signed off on the attack plan.

Let's bring in our homeland security correspondent, Jeanne Meserve. She's on this for us.

Jeanne, can we just start with what a lot of Americans are concerned with? Was any threat to the U.S. tied to this alleged plot over in Europe?

JEANNE MESERVE, CNN CORRESPONDENT: I have talked to a lot of sources here in the U.S., and the answer is they do not believe there is a link to the homeland at this point in time. But, with this caveat, they don't know what they don't know. And they don't know if, perhaps, this plot could morph, could change into something a little different.

Here's what they're talking about.

As you mentioned, Mumbai-style attack. You remember that with grenades, with heavy weapons. It created a lot of chaos, a lot of casualties in a short period of time. These things are hard to detect.

Law enforcement sources in the U.S. say the potential targets in this case could have included institutions like banks and stock exchanges. And the possible perpetrators, sources say, are a mix of people with western passports, people who can travel easily throughout Europe. I have been told it might have involved some Europeans, but also perhaps people from places like North Africa, places like Pakistan.

We do have video purportedly showing Germans training with jihadist groups in the Afghan/Pakistan border area. About 200 have done so, according to a German counterterrorism official. And among them is the source of much of the current threat information. He's identified as Ahmed Sadiki (ph). He is a German citizen of Afghan descent. According to the German counterterrorism official, he was detained in Kabul last summer and is currently in U.S. custody, and is talking a lot. Sources say Sadiki (ph) lived and worked in Hamburg, Germany, where he attended the same mosque that was attended by some of the September 11th hijackers.

Back to you, T.J.

HOLMES: And Jeanne, like you said, we don't know what we don't know. So what are U.S. officials now doing with this information? What would they like U.S. citizens to think about this story now, or do with the information?

MESERVE: Well, U.S. officials are tracking this very, very carefully, and on the record saying as little as they possibly can. The director of National Intelligence, James Clapper, issued a statement last evening saying, "We are not going to comment on specific intelligence, as doing so undermines intelligence operations that are critical to protecting the U.S. and our allies."

As to what U.S. citizens should do, listen, they have been trying to hammer home this message ever since 9/11. Think about this stuff, look for things that are unusual, make a plan with your family. Be ready just in case something happens.

It's a message that they are having some difficulty getting through to the American public, I might add. But once again, this plot, at this point in time, the intelligence just does not indicate there was any nexus to the U.S. homeland.

Back to you, T.J.

HOLMES: Jeanne Meserve, we appreciate you, as always. Thank you so much.

And again, the president is on the road. He's in the American heartland. There he is right now, live in the back yard of a family in Des Moines, Iowa.

He met with them a little earlier. He is talking to some of their neighbors. About 70 people gathered in that back yard.

We've seen the president hold a couple of these over the past couple of days and weeks, but he's having another one. He's going to take some questions as well from the folks there.

We're monitoring this. And we want to take a couple of those questions when that Q&A session starts. You'll see that live.

Right now it's 17 minutes past the hour. We're right back.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP) UNIDENTIFIED MALE: A lot of fried food. You know, a lot of food that has been highly processed, I try to stay away from that generally.

(END VIDEO CLIP)

HOLMES: Generally. You do what you can. But CNN taking a cross-country food journey all this week. We've sent our reporting teams out all over the place. And our mission is to get fresh answers about how our food is grown, how the choices we make impact our health, our state of mind, our budgets, and of just pure joy of eating.

We've teamed up with the new CNN.com food destination Eatocrocy.com to bring you "Eatocracy: Mind, Body and Wallet."

Today we're focusing on what you eat and how we should eat. Take a listen to this.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Boy, I was raised eating healthy, but somewhere down the line I strayed.

TEXT: How much thought do you put into what you eat?

UNIDENTIFIED MALE: I think a whole lot about what I eat. You know? Because I have a heart condition and diabetes. So, as you can see right here, I have a bag full of fruits and vegetables.

UNIDENTIFIED FEMALE: I used to eat really healthy. And then I got in the habit of eating out all the time and eating really bad. So I have to stop.

UNIDENTIFIED MALE: You want me to be honest with you? For breakfast most of the time, I'll peanut butter crackers out of the machine.

UNIDENTIFIED MALE: I eat what is put in front of me.

(LAUGHTER)

UNIDENTIFIED MALE: I'm eating a sausage biscuit I just got from the store.

UNIDENTIFIED FEMALE: Our children run around like that young man was doing eating a pork sandwich. But we can't eat it like that no more.

TEXT: How have you changed your eating habits?

UNIDENTIFIED FEMALE: I buy a lot of fruits, a lot of greens. And, you know, more chicken with less skin. You know, stuff to try to knock some of the fat off.

UNIDENTIFIED FEMALE: We very rarely eat processed foods, something in a box. I can cook at home and feel good about what I'm making.

UNIDENTIFIED MALE: Lots of these restaurants, they give you way too much to eat. We'll go in and split an entree.

UNIDENTIFIED FEMALE: Just because it's there doesn't mean you can eat it all in one day. You know? That's the main thing with kids. They want -- you know, want it right then.

TEXT: What led to your change of diet?

UNIDENTIFIED FEMALE: I'm a label reader now, and I wasn't so much before children. Being mindful of the types of things that we put into our bodies, the chemicals, the pesticides that are used, that's really important that we're very mindful of that.

UNIDENTIFIED FEMALE: We're trying to have kids eventually. So we want to be as healthy as possible before doing that.

UNIDENTIFIED FEMALE: Well, my husband, he's had a heart attack. He's had high blood pressure, diabetes the past few years. So just watching him go through a bunch of stuff, I don't want to go through it.

TEXT: How has eating healthy food changed your life?

UNIDENTIFIED MALE: Do you want to see a picture of what I used to look like? Oh, my God. This was me then. So I am very proud.

UNIDENTIFIED FEMALE: Oh, I feel good. I mean, sometimes, you know, you see a piece of cake and you want to eat it. But, I mean, you know, it's for the better.

UNIDENTIFIED MALE: Yes, I feel great. I have the energy to play with my kids. I have a 3-and-a-half-year-old. She has a lot of energy. She's going nonstop, and I want to make sure that I can keep going with her.

(END VIDEOTAPE)

HOLMES: You've got to keep up with a 3-year-old, my man.

People who fly Continental - I'm bringing in Kat Kinsman here as well. She's with our Eatocracy.com.

But Continental Airlines this week - well, it was only a matter of time. They announced they're going to start charging people for everything you eat. They sound like they're giving you more food choices though on the menu. Is that not right?

KAT KINSMAN, CNN.COM EATOCRACY EDITOR: Well, they are. They're giving you variety.

HOLMES: Giving you variety.

KINSMAN: But you're still stuck up in the sky with your stomach rumbling. That might not be want you want to eat today.

So, every lunchtime we do a poll, and we try to feed your mind, as well as feed your body a little bit. So today our poll is: What are your feelings about having to shell out for food on an airline? So we're going to -- what is your snack solution when you are flying?

What do you personally eat on planes? Do you shell out?

HOLMES: I'm usually just having a cocktail.

(CROSSTALK)

KINSMAN: Well, yes. In fact, that is one of our options here.

HOLMES: OK.

KINSMAN: Who needs food? Keep the bar cart nearby.

HOLMES: OK.

KINSMAN: So they're giving you options that you can buy a big, full meal, or you can buy a snack. And some people are kind of crying foul on this because, do you remember the days when you used to be able to - you got the little knife and fork and you had a whole meal on a plane?

HOLMES: So Continental used to give that?

KINSMAN: That's right. And they're changing over and they're trying to say, oh, our customers have been looking for more variety and this will be better and more beneficial. But you're still eating what they want to give you.

HOLMES: It sounds like you don't buy that, Kat.

(CROSSTALK)

KINSMAN: Not so much. I personally like the bar cart, too, but I tend to stick with the pretzels a little bit.

HOLMES: How is the vote coming? Well, we don't have the results yet.

KINSMAN: We don't. We just put this up. So we put a lunchtime poll up every day at 12:15. We ran this one a little bit early today just for you.

HOLMES: OK. Well, we appreciate that.

What is your choice? What would it be for a meal?

KINSMAN: I think I would grudgingly pay for it, because they're talking about flights up to six and a half hours long. You're going to need something.

Of course you think, oh, I'm going to pack something. You're running out the door at the last second, and you don't have time to pack your favorite sandwich.

HOLMES: OK. And everybody else does this already. Continental is kind of the last one to get on board. Just about every other airline --

KINSMAN: Well, JetBlue, you can get your food -- I personally like the snacks on JetBlue a little bit, more variety. But the trend is going toward these sort of more elaborate meals that you have to shell out a few bucks for.

And, you know, they bring on signature chefs. I know Todd English is doing meals -- I believe it's for Delta. So they claim the food is going to be a little bit better. But still, you're in the sky. You're at their mercy.

HOLMES: You are. You're at their mercy. We're always at the mercy of airlines.

Kat Kinsman, I had another question. I want to know how much some of that stuff costs. But let's go ahead and go - we've got to go to this live picture.

The president, like I mentioned a little earlier, in Des Moines, Iowa, having another one of these backyard chats. He is taking some questions. Let's listen to this.

(JOINED IN PROGRESS)

UNIDENTIFIED FEMALE: -- speak to the young men and women in our country who are struggling to find a job, and speak to that message of hope.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Well, you know, I was in Madison, Wisconsin, yesterday, and we had about 25,000 mostly young people come out. And it was -- it was a terrific reminder of the fact that young people still have so much energy and so much enthusiasm for the future, but they're going through a tough time.

Look, this generation that is coming of age is going through the toughest economy of any generation since the 1930s. That's pretty remarkable. Most of us -- in fact, I'm just looking around the room. I think it's fair to say nobody here remembers the economy of the Great Depression.

So, the worst economy we had gone through -- maybe one. Maybe one. Maybe a couple.

(LAUGHTER)

OBAMA: But you guys look really good for your age, though.

But for most of us, you know, the worst we had seen before was the 1981 recession, the 1991 recession, and then the recession of 2001. This recession had more impact on middle class families than those other three recessions combined in terms of job loss and how it's affected people's incomes. So that's going to have an effect on entire generation. It means that they're worried about the future in a way that most of us weren't worried when we got out of college.

Now, here's the good news. And I've said this to the young people.

I think that this generation, your son's generation, is smarter, more sophisticated, more passionate, has a broader world view. I think that they don't take things for granted. They're willing to work hard for whatever they can achieve. I think they think about the community and other people, and they don't just have a narrow focus on "What's in it for me?"

When I meet young people these days, I am very impressed with them. I think they are terrifically talented. And so their future will be fine.

But in the short term, what I'd say to them is that, first of all, we're doing everything we can to make sure that they can get the best education possible. One of the things that we did this year that didn't get a lot of attention was we were able to change the student loan program out of the federal government to save about $60 billion that's going to go directly to students in the form of higher grants, reduced loan burdens, debt burdens when they get out of college. It's going to make a difference to them. So we're going to do everything we can to make sure they can succeed educationally.

Number two, obviously we're doing everything we can to grow the economy so that if they got the skills, they're going to be able to find a job in this new economy. And as I said, we've seen private sector job growth eight consecutive months now.

The economy is growing. It's just not growing as fast as we would like it, partly because there's still some headwinds. We had some overhang because of all the problems in the housing market, and the housing market is a big chunk of our economy. All that excess inventory of houses that were built during the housing bubble, they're getting absorbed, and slowly that will start improving.

So, the expectation is, is that although we're not growing as fast as we can, if we're making some good choices about providing small businesses tax breaks and helping to shore up the housing market, that over the next couple of years, you're going to start seeing, steadily, the economy improving. And if young people like your son are prepared, if they're focused and equipped, they're going to be able to find a good job.

In the meantime, what we've also done is made sure, for example, that your son can stay on your health insurance until the age of 26, which -- because of health care reform. And that is going to relieve some of the, you know, stress, that they're feeling right now.

And then finally what I'd tell your son is that we're trying to make some tough decisions now so that by the time he has his own son or daughter, that we are back to number one in research and development, back to number one in the proportion of college graduates, back to number one in terms of innovation and entrepreneurship, that we have succeeded in creating a competitive America that, you know, will ensure this 21st century as the American century, just like the 20th century was. But it's going to take some time.

And so the main message I have to young people -- in some ways, this generation may be less fixed on immediate gratification than our generation was, partly because they've seen, you know, some hardship in their own families and in their own careers.

OK. Who's next? The gentleman right here.

UNIDENTIFIED MALE: My name is Bob Bramer (ph). I live about five or six blocks away in Beaverdale. And we're really glad you came here, Mr. President.

OBAMA: Thank you. It's not hard to come here. This is a nice neighborhood, by the way. I love these big trees. So, yes, it's beautiful.

(APPLAUSE)

UNIDENTIFIED MALE: My question relates to the things halfway around the world and how they affect the economy, particularly the wars and the enormous amount of spending that has gone into that over the last decade, not just the last couple of years.

So this is what I'd ask. Those decade-long conflicts have had an enormous cost in terms of people killed and wounded -- our men and women and other peoples who were killed. And they've had a gigantic cost in terms of money and resources and people diverted to the war. When can we look forward to reducing the huge spending on these wars? And, is it possible that kind of funds could help us square up our budget and give us crucial resources to strengthen our economy right here at home?

OBAMA: Well, you know, I said at a speech I made at West Point talking about Afghanistan, that I'm interested in nation building here at home. That's the nation I want to build more than anything else.

As you know, because it was a big issue when campaigning here in Iowa, I was opposed to the war in Iraq from the start. I made a commitment that I would bring that war to a responsible end. We have now ended our combat mission in Iraq. And we've pulled out 100,000 troops out of Iraq since I was in office.

So --

(APPLAUSE)

So that's a commitment we followed up on.

Now Afghanistan was a war that most people right after 9/11, I think, overwhelmingly understood was important and necessary. We had to go after those who had killed 3,000 Americans. We had to make sure that al Qaeda did not have a safe haven inside Afghanistan to plan more attacks. And, you know, you can speculate as to whether if we hadn't gone into Iraq, we had just stayed focus on Afghanistan, whether by now we would have created a stable situation and we would not have a significant presence there. But that's not what happened.

So when I walked in, what we had was a situation in Afghanistan that had badly deteriorated over the course of seven years and where the Taliban was starting to take over half of the country again. You had a very weak Afghan government. And in the border region between Afghanistan and Pakistan, you had al Qaeda still plotting to attack the United States.

Now I had said during the campaign we need to make sure that we're getting Afghanistan right. And what I committed to when I came into office was we'll put additional resources -- meaning troops and money on the civilian side -- to train up Afghan forces, make sure that the Afghan government can provide basic services to its people.

But what I also said is we're not going to do it in an open ended way. We're going to have a timeframe within which Afghans start having to take more responsibility for their own country. And I said that on July of next year we're going to begin a transition of shifting from U.S. troops to Afghan troops in many of these areas.

Now, the situation there is very tough. Afghanistan is the second poorest country in the world. There are a lot of countries in the world. This is the second poorest. It has a 70 percent illiteracy rate. Afghanistan was much less developed than Iraq was. And it had no significant traditions of a strong central government that could provide services to its people or civil service or just the basic infrastructure of modern nation states.

So we're not going to get it perfect there. It is messy. It is hard. And, you know, the toughest job I have is when I deploy young men and women into a war theater because some of them don't come back. And I'm the one who signs those letters to family members offering condolences for the enormous sacrifice of their loved ones. But I do think that what we are seeing is the possibility of training up Afghan forces more effectively, keeping pressure on al Qaeda so that they're not able to launch big attacks, and that over the next several years, as we start phasing down, those folks start lifting up.

Here's the impact it'll have on our budget. You know, there are going to be still some hangover costs from these two wars. The most obvious one being veterans which we haven't always taken care of as well as we should have and I've had to ramp up veterans spending significantly because I think that's a sacred trust. They've served us well. We have to serve them well.

(APPLAUSE)

OBAMA: And that means services for post traumatic stress disorder, reducing backlogs in terms of getting disability claims, help specifically for women veterans who are much more in the line of fire now than they'd ever been before. All those things cost some money. So even as we start winding down the war in Afghanistan, it's not as if there's going to be a huge pieced-up dividend right away. But what it does mean is we'll be able to more responsibly manage our military budget. And this is another example of where, you know, you can't say you want to balance the budget and not take on reform in the Pentagon.

We've already pushed hard to eliminate some weapons programs in the Pentagon budget that, you know, the generals, the people who actually do the fighting, say we don't need. But getting those programs shut down is very difficult. Because typically, there's not a single weapons program out there that doesn't have some part being built in 40 different Congressional districts, in 10 or 20 different states, so that everybody has a political vested interest in keeping it going.

And Bob Gates, my Defense Secretary, has been really good about pushing hard on that. And we've won some battles. But that's going to be an area we have to take a serious look at as well, you know, when we put forward a plan for getting a handle on our long-term debt and deficits. OK?

(END OF COVERAGE)

HOLMES: The president there. We'll continue to monitor the president. Taking questions in Des Moines, Iowa. This is the latest stop on a four-state tour this week. Campaign style. Talking about the economy, its health, a couple of those backyard chats. He's going to be moving from Des Moines, Iowa, over to Richmond, Virginia, later today before heading back to the White House this evening. We'll continue to monitor that Q&A and if anything pops out, we certainly bring that you to.

We go from the president and his number one issue right now, the economy, to the First Lady and her big issue these days has been childhood obesity. You can tell a kid all day long what to eat and how to eat and how to eat right. It's going to go in one ear and out the other. So how do you get them involved? Well, you make it fun. You make it interesting. You make an app for that. We're talking to the winners of a contest and see what they came up with to get kids to eat healthier. Stay with us.

(COMMERCIAL BREAK)

HOLMES: All right. Beating childhood obesity. That's a big task. So, you need an app for that. That can help out.

Before we get to that a little more, let me give you some of the numbers here. Childhood obesity threatening one-third of American children. 17 percent of children between the ages of 2 and 19, and 19 percent of children between the ages of 6 and 11 are overweight. And for the first time now, as a threat that the children growing up now possibly have shorter life spans than their parents.

The apps for Healthy Kids Competition -- that's what it's called -- is part of the First Lady's push to rid the country of childhood obesity within a generation.

And David Villatoro and Erin Reynolds, joining me this morning, from the White House. They're a team that is part of this competition. And is it fair to say now, guys, you all just found out you're actually the winners of this competition? You just found out. You're getting a couple of checks.

Tell me about it.

ERIN REYNOLDS, TEAM TRAINER: Sure.

DAVID VILLATORO, TEAM TRAINER: Yes. Well, thanks to the game that we developed -- part of USC -- we were able to submit this great game into this wonderful competition that was hosted by Michelle Obama and thankfully we were able to win the grand prize as well as the GE Healthy Imagination Award for a total $20,000.

HOLMES: Well, congratulations on that, guys.

Thank you.

HOLMES: And Erin, tell me what does your game do, if you will? How does it help a young person make better decisions about what they eat?

REYNOLDS: Sure. Well, our game, the best way to think about it is combination between Pokemon, which is a very successful game among lots of children, among a lot of demographics and Wii Fit. So you're given a training with a creature who has special dietary needs. He may overweight, he may be looking to gain strength, he may be looking to gain flexibility. And by training along with him, by running with him, by doing ski exercises with him, the two of you get fitter and healthier together. You also are responsible for managing his dietary intake so you need to make good, healthy choices for your creature to eat so that he can achieve his goals.

HOLMES: Now, one of the most interesting parts I found out about you guys' story is you all were on top of this and developing this game before you ever heard about the competition. Now why did you all think of this game in the first place? You clearly thought there was a need for it.

REYNOLDS: Absolutely.

VILLATORO: Well, the idea for this game came about with a nice class called Games for Health that was being hosted right now in the past, in 2009. So we decided to have like a group of students that wanted to create a great health game that could be fun and also maybe even fit for a family to be involved with. And so based on those three games, Trainer was the one that originated out of those three games. And from then on, we decided to create a nice, collaborative team among other schools at USC so we could continue developing this game even further.

HOLMES: And Erin, have you all been able to test this with some young people? Have you seen any results yet, I guess? REYNOLDS: We've done some play tests. We know it's fun and that young people really love it. We had a hard time of getting a lot of the play testers away from the computer screens because they were having so much fun, which was great. We are actually hoping to do some more thorough testing in the future where we can actually see the types of results that come from this game. That'll take more time and more development. So, hopefully.

HOLMES: Pretty cool to be at the White House today?

REYNOLDS: Oh, absolutely. Absolutely.

VILLATORO: Yes, it is.

REYNOLDS: Although it just started raining. We're from Los Angeles, we're not used to this wet stuff.

HOLMES: Well, we're seeing a picture here I believe of it a little earlier, guys. Really, congratulations on what you do. And again, I want to make the point to our viewers again that you two and your team actually came up with this idea and were trying to put something in place before you ever heard about the competition. So you all were a bit ahead of the curve.

So, congratulations on that and also congratulations on the $20,000 and the grand prize. Thanks so much for being here.

VILLATORA: Thank you very much.

REYNOLDS: Thank you very much.

HOLMES: All right. Quick break here in the CNN NEWSROOM. We're right back.

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(WEATHER REPORT)

HOLMES: Coming up in the next hour of the CNN NEWSROOM, you're going to hear more interrogation tapes from U.S. soldiers accused of killing innocent Afghans for sport. One of the suspects says Army investigators ignored warnings about the so-called "thrill kills."

Also, special look we're taking as well is being over 50 and out of work. Millions of Americans are worried they will never find jobs again. I'm talking to one woman who is facing those fears.

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HOLMES: For more than six months now CNN has been working on a documentary that follow as group of young conservative political activists. We want to learn more about their movement, their message. Frustrated with the mainstream media, many of them use undercover cameras and social media to expose what they consider to be corruption. The project, though, our project, took a pretty strange turn when the cameras were almost turned on us. When I say "us," I mean specifically our Special Investigations Unit correspondent Abbie Boudreau.

Abbie, we were all scratching our heads. What in the world happened?

ABBIE BOUDREAU, CNN SPECIAL INVESTIGATIONS UNIT CORRESPONDENT: Well, it started with a phone call from James O'Keefe. Now James O'Keefe is the one who dressed up as a pimp and posed as a pimp in the ACORN --

HOLMES: People know that name, yes.

BOUDREAU: Yes, he teamed up with Hannah Giles (ph) who posed as a prostitute.

Well, he called us because, as you said, we're working on this long-term documentary, and he was part of an upcoming shoot. And so he had concerns about CNN being at the shoot, and he wanted to talk about those concerns.

And so he called me up and he said, listen, I would like you to fly out to Maryland and meet me face to face. As a reporter, we meet people face to face all the time.

HOLMES: All the time, yes.

BOUDREAU: He did want me there alone. And he wanted me to meet with him and his colleague, Izzie Stanza (ph). And I ended up having a flip cam in the car, and so when I drove away I recorded what had just happened and this is that.

(BEGIN VIDEOTAPE)

BOUDREAU (voice-over): When I pulled up to the property, Izzie was waiting for me.

(on camera): And she said, I need to talk to you. Can I get in the car?

And I was like -- OK.

So I noticed that she like a little dirt on her face, her lip was shaking, she seemed really uncomfortable. And I asked her, if she was OK. And the first thing that she basically said to me was, I'm not recording you. I'm not recording you. Are you recording me? I was, no. And she says, I need to tell you something. I said, OK. Is everything OK? You're making me nervous? She said -- no. No. Not everything -- everything's not OK. I am a moral person. I need to tell you something.

Well, what is about to happen? Tell me what is going on? And she said, you're about to be punked. (voice-over): Izzie told me the plan was to bring me close to the dock and then ask me if I would consent to having my meeting recorded on an audio recorder. If I said yes, she would get me on the boat where James was waiting and where hidden video cameras were rolling.

(on camera): Why is his goal to get me on the boat? She said, because on the boat he's going to be there dressed up and he's going to have strawberries and champagne waiting for you, and he was going to hit on you the whole time.

(voice-over): She said the sole purpose of the punk was to embarrass me and CNN.

I went to the backyard to see the boat for myself and to try to meet James. But he didn't get off the boat, so I walked back to my car.

Then, right before I left, James walked up to me and explained that it would make him feel more comfortable if the so-called interview were recorded.

(on camera): You know, that's just not something I'm comfortable with is have this conversation recorded. Plus, it's not an interview. I'm just here to try to address your concerns about this upcoming shoot, but you ended up wanting me come all the way out here, you told me at your office. Instead, you want me to come on some boat with you and you want it to be recorded. Those were ground rules you should have said over the phone and you didn't.

And he was like, what are you ashamed of? And that's when I said, all right, this is where the conversation ends. And -- I said to him, it was a pleasure.

(voice-over): We'd soon find out there was an elaborate 13-page document that outlines the plan to punk CNN. It's called the CNN Caper document you and it's split up into two parts.

The first section is about how to trick CNN into reporting a false story, either about Sarah Palin or the Tea Party. The plan was to give FOX News a heads up that we were about to report a fake story. So then FOX could undercut, quote/unquote, "undercut CNN's credibility."

And the second part of the plan was how to punk me by seducing me on his boat. The document says the boat would be staged with sexual props, a blindfold, fuzzy handcuffs, pornographic magazines and so much more.

But just to be clear, James' mentor and fellow activist is listed as the writer of the CNN Caper document. James is listed as the activist. He's the one who would have acted out the punk.

We did ask him what he thought about the CNN Caper document. He e-mailed this statement about CNN. He says, quote, "That is not my work product. When it was sent to me, I immediately found certain elements highly objectionable and inappropriate and did not consider them for one minute following it."

But we would learn that does not appear to be true. We have a series of e-mails and other documentation including audio recordings that we're told show his true intentions, and all of this will be revealed in the documentary that airs on Saturday.

HOLMES: OK, when did this start to seem a little fishy? It's one thing -- I mean, you could meet at McDonald's, a Starbucks or something. Did it initially from the beginning -- you were trying to give him the benefit of the doubt, he's done kooky things before, but did it start -- from the very beginning did it seem odd what he was asking you to do? I mean, he spoke so specific about a meeting?

BOUDREAU: Well he wanted to meet and I wanted to ease his concerns. And he did want to meet alone, I did want my producer to be there and he did not want that. And I wanted him to feel comfortable.

Everyone knew where I was going to be that day. My bosses all knew I had a meeting and where I was going to be. I thought the meeting was going to take place at his office, not on a boat. If I thought for a second that I would be -- the meeting would be on a boat, there would never have been a meeting. I would have never gone, obviously.

HOLMES: A boat. OK.

One other thing we have to ask as well. The documentary is coming up this weekend. Other young conservatives following around as well?

BOUDREAU: Yes, I mean, this obviously was a strange turn in the documentary, but we followed around for months and months and months a series of other people who were young conservatives who are passionate about their beliefs. Whether you agree or disagree, they are passionate and excited about trying to get their message out using social media. And that's all part of the documentary.

HOLMES: Well he might be passionate, this O'Keefe, but some would say he may be misguided as well.

Abbie, we appreciate you, look forward to it this weekend. Abbie Boudreau of our Special Investigations Unit.

Quick break here in the CNN NEWSROOM and we're right back.

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