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Cairo Protest: Day 12; Diplomatic Maneuvering; Unrest Hits Pentagon; Solidarity Protests Held in U.S.; Journalists Attacked; Countdown to Super Bowl; Muslim Brotherhood Calls for President Mubarak's Resignation; Latest From Alexandria, Egypt; Key to Shoe Company's Success
Aired February 05, 2011 - 10:57 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
RANDI KAYE, CNN ANCHOR: There have been a lot of developments in the last few days in the Egyptian uprising. Tahrir Square or Liberation Square is ground zero. Let's bring you up to date. Here's our John King.
(BEGIN VIDEOTAPE)
JOHN KING, CNN CHIEF NATIONAL CORRESPONDENT: It is here in central Cairo where much of this drama has played out, first several days of peaceful demonstration, then the violent turn, into the weekend fears that we'd have a violent crackdown on what protesters determined would be "farewell Friday."
Why did we have that fear? Well, first because we have the violence against protesters and journalists. Then Friday we saw police coming into the scare in riot gear. You see the heavy vests, helmets, automatic weapons gathering under the bridge. That led to fears that when the protesters came in large number, there would be a crackdown.
Instead what we saw the army actually allowing the protest to go forward and chanting, happy pro-democracy anti-Mubarak chanting. Here the protesters themselves surprised they were allowed to carry on.
One of the reasons was not only was the army there, but the army made a decision to let them have the demonstration, to keep pro- Mubarak forces out and the head of the army a field marshal made some time to visit the protesters. This is the top commander of the Egyptian army. The man Secretary Gates has been on the phone several times during this crisis coming out to see the protesters. He told them to go home, that their demands are being met, but told them the army would not fire on demonstrators, a key move there.
Because of that we had this play out in a happy fashion throughout the day. However, there was some violence on the edge of the square. The protesters were mostly up here. What you did have here just off the square and you'll see it here in these photographs, people grabbing stones from the street, picking up the stones, some rock throwing there. Pro Mubarak forces fighting against anti-Mubarak forces, but pretty limited heading into the weekend. The army kept the fights from getting in to the square itself. You see some of the still troubling images here.
One other thing that's being talked about in the region, a YouTube video -- this goes back to before the weekend -- now posted on the Internet. And here we'll show it to you here. You're going to see a white van coming in to the screen here. This white van is a United States embassy van. And it drives here through demonstrators, right there.
And so one of the problems here is, was that a U.S. van driving through demonstrators? The United States embassy says it's investigating but that several of its vans were stolen and that it knows that it was not a U.S. embassy employee on that drive. Somewhere in the region though, it could be used to stoke anti- American sentiment.
But as all this plays out again this is their main event here. The big question: Will the army continue to keep the pro-Mubarak demonstrators out and allow the pro-democracy, anti-government demonstrators to carry on throughout the weekend and into next week if this stalemate continues?
(END VIDEOTAPE)
KAYE: More street protests and behind the scenes negotiating in Egypt today. It is day 12 of the anti-government protests there. Officially 11 people are dead including an Egyptian journalist; more than 5,000 people are hurt.
At one point demonstrators formed a human chain to try and keep out army tanks and supporters of President Hosni Mubarak. It ended peacefully.
Opposition leader Mohammed ElBaradei has been with the protesters today. His National Association for Change movement tells CNN he will speak to the crowd. We don't know exactly when that will happen.
Elsewhere in the city, Vice President Suleiman has been meeting with several anti-government groups. Organizers say part of the discussion involves transitioning from Mubarak's 30-year rule.
Much of what we are seeing is taking place in Tahrir Square, also known as Liberation Square. That's in the heart of the city of Cairo.
CNN's Arwa Damon is on the phone with us now from there. Arwa, what has it been like there today? I know earlier we spoke you were a witness to a standoff?
ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT (via telephone): Yes, Randi. That standoff was over fairly quickly. What we do have in Tahrir Square right now is a scenario that clearly depicts just how strongly the demonstrators are digging in. They are saying that the violence over the last few days is driving them even further away from any notion of reconciliation with the Mubarak regime, no matter what sort of meetings some of these opposition leaders are having.
The demonstrators themselves are determined to hold on to the ground that they have gained in Tahrir Square -- Square. And never surrender until the president himself steps down. They've really fortified their positions. The entrances are cordoned off, not just by the military, but by an army of volunteers.
They search those coming in, very stringent and thorough. They're looking for weapons. There are lines of human barricades should someone be able to breakthrough. One they will across another. They also have piles of rocks to be used as ammunition positioned throughout the entire site. And they have created something of a tent ground, people living in tents, sleeping on the side of the street. There are makeshift clinics throughout where we see the walking wounded coming to get their bandages changed, their wounds cleaned.
And food, food very important, it is in very short supply. Some are buying from a handful of vendors, but most are relying on handouts. We met one man who normally worked as English teacher and he brought in bread and cheese to feed people. Another man telling us that you have to navigate a gauntlet of gangsters before he was able to find small bean sandwiches that he brought in as well -- Randi.
KAYE: And -- and we know there -- there has been a curfew every day since this has started. And the protesters have been defying that curfew. But now another curfew begins less than an hour from now. What do you expect? And any movement of the protesters out of Liberation Square?
DAMON: No, absolutely not, Randi. These protesters do not care about curfew nor too they care about any sort of edict or order that is being given down from this government, President Mubarak's government that they are so determined to bring down.
Many of them are telling us that they would rather die in Tahrir Square than give it up. Then -- they've come so far, they say, they're so close to achieving their goal. They feel this electricity in the air that changes just around the corner that at this point in time they are not going to lose any sort of momentum.
Now, over the last week plus since this standoff began, we do see the numbers of demonstrators decreasing over night. But they don't ever give up their frontline positions. They remain standing behind these barricades ready should the pro-Mubarak demonstrators try to launch another attack or should the government itself try to move them out of the Square. And tonight it doesn't look like it's going to be any different.
KAYE: Staying their ground. All right, Arwa Damon, thank you for us live from Cairo.
There's a line of intense diplomatic maneuvering to try to end the crisis in Egypt and much of it coming from the U.S.
Our foreign affairs correspondent, Jill Dougherty is in Washington. Jill, good morning; what is the U.S. doing right now and what more can it do to try to move Mubarak out of power?
JILL DOUGHERTY, CNN FOREIGN AFFAIRS CORRESPONDENT: Well, number one, Randi, the U.S. government both here and in the region is -- is talking to a lot of people, number one. They're talking to the government, of course, and then they're also talking to the opposition groups and others in Egyptian society.
And it's kind of a delicate balancing act because they want to encourage, you could even say lobby or push groups to do what they think is important and to stabilize and move forward, but they don't want to be perceived as interfering. And that really could backfire. It doesn't -- they don't want it to look as if the U.S. is trying to orchestrate everything that's going on.
So what are they doing? Essentially they're holding President Mubarak to what he has promised. The first thing is he won't run for president again and neither will his son. And also that he has directed his government to take the steps, to lead and then to follow through and support this process of transition.
So there are three parts to this. There could be more, but these are the basic ones. Constitutional reform, that's number one. Nonviolent political parties, there are a lot of political parties and groups, but they must be nonviolent, according to the U.S. And then finally free and fair elections.
That schedule could be speeded up. At this point it's scheduled for September, but that could be moved up if the stability is there.
This is how Secretary Clinton explained it today.
(BEGIN VIDEO CLIP)
HILLARY CLINTON, SECRETARY OF STATE: We will continue to champion free and fair elections as an essential part of building and maintaining a democracy, but we know elections alone are not sufficient. They're not even sufficient to secure lasting change.
So we also must work together to support the institutions of good governance, the rule of law and an independent judiciary, transparency and a free press, strong political parties, protection for the rights of minorities and more.
(END VIDEO CLIP)
DOUGHERTY: So that was Secretary Clinton today in Munich, Germany at the Munich Security Conference. And at this point in Egypt, you do have some progress. You have the Vice President Omar Suleiman. He's been meeting with some of the opposition. And it looks as if the initial stages are moving forward.
KAYE: All right. Jill Dougherty for us in Washington. Thank you, Jill.
The sweeping unrest across the Middle East and Persian Gulf could result in political power shifts; Egypt, Jordan, Yemen and their current regimes all key players to the Pentagon.
CNN's Barbara Starr tells us a change in leadership could pose a crisis for the Pentagon. BARBARA STARR, CNN PENTAGON CORRESPONDENT: With unrest now sweeping across Egypt and neighboring countries, new questions about whether it's a security crisis here at the Pentagon.
(BEGIN VIDEOTAPE)
STARR (voice-over): A quick look at the map tells you how deeply tied the U.S. military is to regimes across the Middle East and Persian Gulf. In Egypt, the U.S. provides around $1.3 billion a year in military aid. In return, the U.S. gets vital military air, land and sea access. U.S. warships transit the Suez Canal on their way to and from the Persian Gulf. Loss of the canal could lead to catastrophic delays and a crisis.
In Yemen, where President Saleh is facing demonstrations and has already said he won't run for re-election, the U.S. has been quietly training Yemeni forces to go after a rising threat from al Qaeda. The U.S. has conducted drone and missile strikes inside Yemen. The question: will a new government cooperate with U.S. counterterrorism efforts?
In Jordan, King Abdullah is facing increasing discontent due to rising prices and unemployment. Jordan remains one of the U.S.'s closest allies in the war on terror. Jordan's intelligence service secretly operates against key al Qaeda targets. Jordan has also helped train Iraqi forces and Jordanian troops serve in Afghanistan.
Three key Gulf allies provide other assistance. Qatar is home of the regional headquarters of the U.S. Central Command, which oversees the region and keeps a close eye on Iran. Kuwait is a staging area for U.S. troops moving in and out of Afghanistan and Iraq. And Bahrain is home to the U.S. Fifth Fleet which patrols the Persian Gulf and pirate-infested waters off Somalia.
(on camera): The U.S. spends billions of dollars in military aid and assistance across the region in return for all of this access. But the question may now be if the social unrest that is emerging leads to regime change, will the new regimes want to do the old business with the U.S. Military?
Barbara Starr, CNN, the Pentagon.
(END VIDEOTAPE)
KAYE: As you might imagine, bringing you this story out of Egypt is proving risky for many of the journalists in Egypt. In some cases they've been physically attacked. In others threatened with death and even beheading.
We'll show you how terrifying it can get.
And ahead a dangerous situation at the stadium that will host tomorrow's Super Bowl. We'll go live to Texas where snow and ice had put a real damper on the pre-game hoopla.
(COMMERCIAL BREAK) KAYE: The latest developments now in Egypt.
A natural gas pipeline in the Sinai town of El Arish has been set on fire. State run TV quote, the Sinai governor as saying, "the fire was an act of sabotage." It's unclear if it's related to the political unrest sweeping the country. The pipeline is expected to be closed now for at least a week. That could pose a real problem for Jordan, which relies heavily on its fuel.
Opposition leaders and intellectuals held talks today with Vice President Omar Suleiman. They discussed ways to ease President Hosni Mubarak from power. One of the groups called the Committee of the Wise says Suleiman was willing to listen. Members call for protests to continue at Tahrir Square every Tuesday and every Friday until Mubarak resigns.
The protest there today have been largely peaceful, there was a standoff between anti-government protesters and the military. You are looking at live pictures there of Liberation Square in Cairo. Demonstrators formed a human chain earlier to stop military tanks from crossing through barricades into their enclave in the Square. Witnesses say the scuffle broke out when soldiers knocked down the barricades.
Demonstrations supporting the uprising are planned today across the United States and Europe. One is happening outside the Egyptian embassy in Washington this afternoon. CNN's Sandra Endo is there and joins us now live.
Sandra, what is the scene there at this hour?
SANDRA ENDO, CNN CORRESPONDENT: Well, Randi, it's supposed to start off at about noon here in front of the Egyptian embassy at the nation's capital. You can see the barricades set up and some protesters starting to gather with signs in hand. And this is all, as you mentioned, in solidarity for the uprising in Egypt.
This is actually a group of grassroots organizations coming together. And now I'm joined by Sarah Sloan who is part of the organization of this whole demonstration we're about to see today. Tell me what the message is and what you're trying to say.
SARAH SLOAN, PROTEST ORGANIZER: We're trying to show our solidarity with the people of Egypt who have been in the streets every day opposing the U.S.-backed Mubarak dictatorship. We have a special obligation to be protesting here in D.C. and around the United States because every day the U.S. government gives over $5 million, amounting to over $2 billion every year to prop up this dictatorship that the Egyptian people have made clear they want to see gone.
ENDO: Are you happy with what you're hearing and seeing from Egypt, the mass protests sometimes they're violent, but also the message you're hearing from President Mubarak?
SLOAN: Well, we believe the message of the protest is clear that Mubarak and his entire regime has to go immediately and it has to be replaced by a government that serves the interests of the Egyptian people not of the U.S. government.
OK. Thank you so much, Sarah Sloan.
Again, Randi, this is going to kick off at noon. Their plan is to protest in front of this embassy and then march to the White House for further demonstration -- Randi.
KAYE: All right. Thank you, Sandra.
It starts, I guess, about 45 minutes from now. Thank you.
You've been watching events in Egypt unfold right before your eyes. Journalists including some from CNN have been on the frontlines from the very start of this uprising. But in recent days they've become target of people who don't want the world to see what's happening.
(BEGIN VIDEOTAPE)
KAYE: Journalists rush to cover the uprising in Egypt and bring the story to people around the world. But they were quickly silenced.
UNIDENTIFIED MALE: Get down.
KAYE: On Wednesday CNN's Anderson Cooper and his team were attacked in Tahrir Square while covering the protests.
ANDERSON COOPER, HOST, "ANDERSON COOPER 360": I've been hit now like ten times.
KAYE: That same day CNN International correspondent, Hala Gorani was also roughed up covering the story. A stranger escorted her to safety.
HALA GORANI, CNN INTERNATIONAL ANCHOR/CORRESPONDENT: This is a little chaotic. I have someone helping me out here.
KAYE: On Thursday when Anderson Cooper ventured out again to capture the protests, his car window was smashed. He tweeted, "Vehicle I was in attacked. My window smashed. All OK."
COOPER: We were all OK. We, you know, immediately started screaming to the driver, "Go, go, go, go, go." And we were able to get out of there. The car was pretty badly damaged. But again that was a minor incident compared with what had happened to numerous journalists today.
KAYE: Anderson had to broadcast his nightly program "AC 360" from an undisclosed location Thursday due to safety concerns.
COOPER: I can't tell you where we are frankly for our own safety.
KAYE: And it wasn't just CNN. Reporter Lara Logan from CBS was marched back to her hotel at gunpoint. An ABC producer and cameraman were carjacked at a checkpoint and driven to a compound where they say men threaten to behead them. A Fox News Channel correspondent and producer attacked so severely they were hospitalized. All it seemed a coordinated effort to instill fear, destroy camera equipment and stop the story from spreading.
Secretary of State Hillary Clinton took notice.
CLINTON: We condemn in the strongest terms attacks on reporters covering the ongoing situation in Egypt.
KAYE: Who is to blame for the attacks on the press?
DOUGHERTY: Senior State Department officials say they have information that shows that there was some type of connection between the ministry of the interior and those attacks.
KAYE: But the Egyptian ambassador told CNN the government condemned the attacks and was not behind them. Still, in a televised address, vice president Omar Suleiman singled out international TV reporters.
OMAR SULEIMAN, VICE PRESIDENT OF EGYPT (through translator): I actually blame certain friendly nations who have television channels. They're not friendly at all.
KAYE: Meanwhile, on Friday the attacks continued. The Arabic network Al Jazeera reported its office in Cairo had been attacked by, quote, "a gang of thugs". The office and all of the equipment inside burned. The Al Jazeera network's office had been closed days earlier after it broadcast video of anti-Mubarak protesters.
The only media it seems that is free to broadcast is state-run Nile TV, a pro-Mubarak network. Early on Nile TV called the protests, quote, "riots", and accused protesters of violating the security of the country.
SALMA ABDELAZIZ, INTERNATIONAL ASSIGNMENT EDITOR: Well, since the beginning they've been covering the protests, but they have mainly been focusing on pro Mubarak rallies rather than anti-Mubarak rallies.
KAYE: Nile TV has since backed off a bit, telling the protesters to go home, that their message has been heard. Still, their coverage apparently too slanted even for a Nile TV anchorwoman, who walked off the job this week in protest.
SHAHIRA AMIN, FORMER NILE TV CORRESPONDENT: I don't want to be part of the propaganda machine of this regime. I'm on the side of the people.
KAYE: The people and the protesters who want their story told by journalists who now find it too dangerous to do their job.
(END VIDEOTAPE)
KAYE: Today, Egypt's new prime minister said there has been no concerted effort to hinder journalists in and around Tahrir Square adding that he has, quote, "made clear that they have full freedom to do anything they want".
Just ahead of the Super Bowl, a dangerous situation at the stadium where the Steelers will tangle with the Packers. We'll go live to Arlington, Texas for the latest on the snow and ice that slammed the city this week.
(COMMERCIAL BREAK)
KAYE: We've been telling you for the last few days about the snow and the ice in Dallas and, of course, other parts of the country. Karen Maginnis is tracking it all for us. A lot of folks trying to get to Dallas maybe still for the big game; or to Arlington, Texas, I should say.
KAREN MAGINNIS, AMS METEOROLOGIST: Yes. The airport is open. We did see for a brief time on Thursday and on Friday where they were having some trouble at the airports.
And want to show you the temperature right now. It is 33 degrees in Dallas. We're expected to make it to around 40 degrees for a high temperature. Sun is out. And so it's looking pretty good today.
But those secondary roads going to take a while; what happens at night when the temperature freezes again, whatever is melted because of the sunshine today is going to refreeze overnight.
You know this story. We've talked about it all winter long with these back-to-back storm systems. We're not finished yet. I'll tell you what happens in the forecast.
Sixty-two degrees right now in Charleston, South Carolina; you can see a big difference. We've got fairly nice temperatures across the southeast and these 20s and 30s across the central and south- central United States.
All right. Area of low pressure is going to trek from the Tennessee River Valley and make its way up towards the northeast and towards New England. Now, it's going to be on the backside of this low. That's where the coldest temperatures are going to be located, out ahead of it still fairly mild.
So most areas wet weather, however, a few of those areas are not going to fare so well because you could see some icy conditions like in Louisville, Kentucky and Lexington. Could be all rain, could be all snow and it's probably going to be a mixture.
All right. Let's take you to Texas and show you what happened there in the last 24 hour. Yesterday about 1:00, this happened. The dome, the Cowboys Stadium was covered with snow; they saw 3 to 6 inches there. Some of it warmed up -- it warmed up just a little bit and these huge slabs of ice fell off the dome.
It injured six people that were hit by these slabs of ice. One person was hospitalized overnight. He said he broke three or four places in his shoulder. It was a photographer that was covering the event. The other people were also associated with the NFL or with the dome in some way. But a very dangerous situation there.
Just goes to show you, it's not just on the roads. You just have to be wary in these icy conditions right now -- Randi.
KAYE: Yes. Certainly, Karen, not what they would have expected going to Texas for the Super Bowl.
MAGINNIS: Exactly.
KAYE: Boy, that's rotten luck.
All right. Thank you.
MAGINNIS: OK.
KAYE: The countdown is on there in Arlington, Texas, for tomorrow's Super Bowl. CNN's Mark McKay is there. Mark, how is the weather after all of the snow and the ice affecting the fans and the mood there?
MARK MCKAY, CNN WORLD SPORTS: It's not affecting the mood today, Randi, as we have now shed the outer coat since last we visited with you. It's thawing nicely here in Arlington as we stand outside the Arlington Convention Center. You noticed a little bit of a snow left over on top of Cowboys Stadium. The pictures that Karen showed you were from yesterday. We had more of that snow and ice come down.
The plaza area right around the stadium still shut down for the remainder of the ice to fall. As Karen was mentioning, it should get up to about 40 degrees today. That will be welcome news for the fans who have come in from Pittsburgh and Green Bay trying to take part in all the pre-game activities ahead of kickoff tomorrow.
It will also be good news for the businesses here in Super Bowl city. This entire region paralyzed by ice not only yesterday but earlier in the week. We tried to get dinner last night; the restaurant had a sign on the door that said the pipes were frozen. We had power out at our hotel in downtown Dallas. So, a lot of frustration on the part of fans, business owners here.
Hopefully they can make up the lost business and bring the people out as it is indeed very nice to be outdoors today (AUDIO GAP) towards Super Bowl Sunday. Big game indoors, Randi, as they will have that retractable roof of that beautiful stadium shut for game time late tomorrow afternoon here in Arlington.
KAYE: Well, the business owners might not like and the fans may not like it but the teams, I mean really Green Bay used the playing in Lambeau Field. This is pretty good for them. This is -- they're used to this.
MCKAY: But even they have been treated to indoor conditions during the toughest part of the cold weather snap. The Steelers were practicing at Texas Christian University's indoor practice facility. High school football is huge here in the great state of Texas. And the Green Bay Packers were actually indoors this week practicing in a high school facility, believe it or not, a million-dollar high school indoor practice facility.
So both teams have been sheltered from the elements. I'm sure they want to get out and experience what is becoming a beautiful weekend here in the Super Bowl city.
KAYE: All right. We'll have to leave it there. Mark McKay for us outside Cowboys Stadium; hey, have a great time at the game.
MCKAY: Thanks, Randi.
KAYE: Who is the Muslim Brotherhood and should the U.S. be concerned about their involvement in Egypt? I will give you that answer coming up.
(COMMERCIAL BREAK)
KAYE: Welcome back.
You are looking at pictures of the walking wounded in Cairo today. It is the 12th day of unrest there. Certainly no end in sight. Our reporters on the ground throughout Egypt telling us that the protesters are digging in. But there is movement behind the scenes.
Today, opposition parties and intellectuals held talks with Vice President Omar Suleiman. They discussed ways to ease President Hosni Mubarak from power.
One of the groups called the Committee of the Wise says Suleiman was willing to listen. Members called for protests to continue at Tahrir Square every Tuesday and Friday until Mubarak resigns.
Meantime, the curfew which protesters in Cairo have been defying is officially easing up. Today, the military announced it will now start at 7:00 p.m. instead of 3:00 in the afternoon, and it will end two hours earlier, in the morning.
Protests in the Tahrir Square today have been largely calm. There was some violence when anti-Mubarak demonstrators formed a human chain to stop military tanks from crossing through barricades into their enclave within the square. Witnesses say scuffles broke out when soldiers knocked down barricades.
One name keeps coming up as part of the solution to the uprising in Egypt, the Muslim Brotherhood. But who is this group? And should the United States or Israel be concerned about its involvement?
Last hour I talked with CNN national security analyst Peter Bergen, and I asked him if the Muslim Brotherhood really has any influence.
(BEGIN VIDEOTAPE)
PETER BERGEN, CNN NATIONAL SECURITY ANALYST: In Egypt, I think they're quite influential. If there was a free and fair election tomorrow, you know, I think they would get a minimum of a quarter of the vote, and perhaps up to a third of the vote. So they're in the position to sort of be kingmakers in whatever the next political arrangement is, but they're not in the position to actually dominate the government.
So, you know, whatever the coalition that emerges out of this, which I'm sure there will be a coalition government of some kind, whether it's before September, or in September, or whenever free and fair elections are held, the Muslim Brotherhood is going to be an important part of that coalition -- Randi.
KAYE: Should the U.S. be at all concerned about the Muslim Brotherhood? Is there any type of relationship there?
BERGEN: Yes. I mean, democracies are going to throw out people that we may not completely agree with, or we may even disagree with fairly violently. I mean, we have to sort of -- we can't have our cake and eat it too.
If you want to have a democracy, you're going to get substantial numbers of Islamic fundamentalists who are going to win seats in Egypt because it's -- parts of it are very conservative, an Islamic country. There are, of course, also other forces.
ElBaradei is sort of a secular politician. Ayman Nour, another major political figure, is a liberal politician. And so they're not the only game in town.
But they're going to be part of Egypt's future. They're already part of Egypt's present.
KAYE: And their role could certainly affect the rest of the region. I mean, I'm talking about Israel. The Muslim Brotherhood is anti-Israel. They're against the peace treaty between Israel and Egypt.
So if they do play a role in the new government, what could this mean for Israel?
BERGEN: Well, that's right, Randi. I think that's a little unclear.
Hamas itself is a Muslim Brotherhood movement, the government in Egypt. And so there is quite a lot of hostility between the Muslim Brotherhood and Israel. But there's been a cold peace between Israel and Egypt since 1979. The Muslim Brotherhood is not in the position where it can simply change Egyptian foreign policy, because it just doesn't have the numbers to do that.
(END VIDEOTAPE)
KAYE: Shifting gears now, the U.S. economy has left some families with only one breadwinner. How do you not just manage, but thrive on one income? We have some advice right after the break.
(COMMERCIAL BREAK) KAYE: Anti-Mubarak protesters were also back on the street in the northern port city of Alexandria today. So let's go straight to Nic Robertson, who joins me from Alexandria with the latest.
Nic, if we can, let's just take a step back for a second. And give us a look if you can at the bigger picture, now day 12 of this uprising. So where do we go from here?
NIC ROBERTSON, CNN SR. INTERNATIONAL CORRESPONDENT: Well, it's settling into a long-term standoff with divisions. The divisions are coming among the protesters about how to continue and who should represent them.
As we've heard today, a group of -- a delegation of 10 different politicians have agreed to meet some government officials. Demonstrators we've talked to here today, organizers of the youth group, say, look, these political leaders are just trying to take advantage of the fact that there's no youth representation at the moment, that we should continue with the protests, and boycott any talks until we get that basic demand that President Mubarak should step down.
The bigger picture is that while talks begin, or at least the first indications of talks begin to show, the protesters are divided about what to do. The protesters seen here in Alexandria today, smaller than on previous days, perhaps the smallest so far, a thousand or so people at the peak.
The traffic on the roads here, the busiest we've seen so far. The city, struggling to get back to normal life. And that's what a lot of people want.
They want to go back to normal life. They want an end to the demonstrations. So the protesters have a struggle to keep support and keep momentum while the government goes through its own internal changes, but perhaps not enough to meet their demands.
So it seems to be settling into a long-term standoff and stalemate, with neither side, at this stage, appearing to back down -- Randi.
KAYE: And that seems really like it's going to make life more difficult for the protesters. We've heard that they may even start working in shifts. Arwa Damon told us earlier that there's a shortage of food. There's even a medical clinic set up in Liberation Square there.
So it seems as though the situation is worsening for the protesters.
ROBERTSON: They're going to find it harder to keep their momentum going. One of the things that's been working against the protesters since the beginning is that they are united in one view, and that is to get rid of President Mubarak. And they came together by the Internet, rather than through one charismatic revolutionary leader who they can put their faith and trust in and be inspired by.
They have all have for a fundamental reason. They all have different reasons for why they have stayed with these street protests. But they don't have one single person to sort of coalesce and believe in. And this is what's giving them a difficulty in leading this and continuing to keep momentum going.
What they're doing here in Alexandria, for example, is they've told the protesters that we want to give you a sort of a day of on Saturday, but Sunday and Tuesday and Friday will be the big days of protests. So the effort that we see the protesters going through now is really to focus on trying to keep momentum going, trying to keep that unity -- we hear speeches of unity in these protests -- trying to keep that one message and one voice. But as the government makes some tiny concessions, none of them far enough, that's going to erode that unity of support -- Randi.
KAYE: Nic Robertson watching it all for us from Alexandria, Egypt, as the protesters seem to be settling in for the long haul.
Thank you, Nic.
Switching gears, millions of people are still hurting because of the economy. Many two-income families are now being forced to live on just one income. But just because your finances have been slashed, doesn't mean that your entire way of life has to end.
Earlier, I talked with financial and business consultant Eric Amado. And he gave us some advice on how to segue from two incomes to one.
(BEGIN VIDEOTAPE)
ERIC AMADO, FINANCIAL AND BUSINESS CONSULTANT: To go from two incomes to one income can be a big deal, but some of the things you can look at to cut, for example, is look at cutting the coffee. For example, we spend a lot of money here in America on buying coffee. You can make coffee at home and you can save a lot of money there.
Also, you can look at using coupons when you go grocery shopping. Sometimes when we're making more money, we don't want to use coupons. So sometimes we get a little bit lax with that.
Also, you can look at cutting up your credit cards. This is a big thing here, because usually when you're using credit cards, you're paying for things you can't afford. So cut up your credit cards and stop using those.
And finally, go to the movies during the matinee. It's great to go to the movies, but you can get cheaper deals if you go during the afternoon, in the morning, and you can save money there as well.
KAYE: And what about creating a budget? Do you recommend that? Is that a good idea, or too tough for people?
AMADO: It's actually a great idea. The budget is the foundation of your financial success. You need to know what's going in and out of your household, an d the budget is a great way to do it.
A lot of people don't like to use their budget because it's not sexy, it's not something you want to do, but the budget is great. And when you get your budget going, you can look at each line item in your household to determine where you can cut costs and save money. So the budget is very, very key.
KAYE: A lot of people, of course, thinking about their health coverage and insurance when they lose a job or they go from two incomes to one. Is there any room to trim there?
AMADO: This is a great question. There's always room to trim in your health care. But one thing I will caution is that you need to make sure you run the numbers and read the fine print, because you do not want to have a cheaper premium, but all of a sudden, you get lesser benefits.
So you want to make sure you run the numbers, make sure you're getting at least the equal benefits or better. If not, leave where you are, the health coverage that you have, because you do not want to mess around with health coverage, because you can get yourself in pretty big trouble.
KAYE: Sure. And I want to say this doesn't have to feel like a crash diet, right, where you deny yourself everything? We've all been there. But how can one-income households still have some fun? I know you mentioned the matinee, possibly, but are there other ways maybe to have some fun still without breaking the bank?
AMADO: You know, Randi, that's a great question. You know, crash diets, they never work, right? They never work. But in situations like this, you can do some great things.
For example, you can take something called a staycation. And what that is, is taking a vacation in your local city. For example --
KAYE: I love staycations.
AMADO: -- I'm in the Dallas area -- yes. Yes. I'm in the Dallas area. We have great restaurants, great hotels, great things to do here in Dallas. A lot of things to do.
You can also do something called Internet specials. For example, you can go to Southwest Airlines, American Airlines, some of these companies. If you book online, and if you book early, you can get great deals.
And finally, you can do something called shorter vacations, of course. Instead of taking a seven-day cruise, you might want to look at a three-or-four-day cruise. You can still have a good time, you're probably less stressed, and you can also save money.
(END VIDEOTAPE)
KAYE: Good advice. Are you looking for a great place to work with perks like free lunches, massages and ice cream? Yes, it sounds pretty good, doesn't it? We found one for you. We're "Building up America," next.
(COMMERCIAL BREAK)
KAYE: An online shoe company is seeing big profits during a tough time. Tom Foreman reports it may be because employees get to have a whole lot of fun.
(BEGIN VIDEOTAPE)
TOM FOREMAN, CNN CORRESPONDENT (voice-over): 24/7, two by two, Zappos.com is moving shoes. More than $1 billion annually in Internet sales, fueled by a wide selection, free shipping, and money-back guarantees.
UNIDENTIFIED FEMALE: Thank you for calling Zappos.com.
FOREMAN: Not bad for a company that started a dozen years ago with a radical concept -- success is about service --
UNIDENTIFIED FEMALE: OK. No problem.
FOREMAN: -- not selling.
CEO Tony Hsieh.
TONY HSIEH, CEO, ZAPPOS: And for us, culture is just important, it's actually the number one priority of the company. FOREMAN: The culture is raucous, infectious, and everywhere. Employees decorate as they choose, enjoying an unbelievable array of company services, including free lunch, ice cream, massages.
We asked our guide, Ray Andre (ph), about the business environment.
(on camera): This is a business meeting?
RAY ANDRE, ZAPPOS: This is a business meeting.
FOREMAN: There's a lot of giggling go on in there.
ANDRE: There is.
FOREMAN: Getting in is not easy. Zappos takes months to screen applicants, and even in training, new hires are offered $4,000 to quit just to weed out those who might not really want to be here.
ANDRE: So we figure we could train most people to do their jobs, but we can't train somebody to fit into our culture.
FOREMAN (on camera): What is your key philosophy about running this business?
HSIEH: Internally, we have a saying that we're a service company that just happens to sell shoes.
FOREMAN: You realize nobody in America who sees this is going to want to go to work tomorrow?
(voice-over): So they can laugh at comments like that because everyone here seems eager to come to work every day, building up this runaway success.
Tom Foreman, CNN, Henderson, Nevada.
(END VIDEOTAPE)
KAYE: And this just in to CNN, what could be a significant development coming to us out of Egypt.
President Hosni Mubarak, we're told, has resigned. Not as president. I want to make that very clear. Not as president, but he has resigned as head of the National Democratic Party. That is Egypt's ruling party. So he is still president.
This just in to us. We are working on getting a live report from Egypt, possibly in the noon hour, or the next few minutes for you. But once again, Hosni Mubarak has resigned as head of the National Democratic Party, Egypt's ruling party.
NEWSROOM continues at the top of the hour with Fredricka Whitfield.
And Fred, you have a whole lot for us besides that that could be breaking.
FREDRICKA WHITFIELD, CNN ANCHOR: Yes. We have an interesting panel of guests to join us on Egypt, and so we're going to be now posing new questions to include that element, what does that really mean for Egypt.
Also, our legal guys will be with us in the noon Eastern hour.
KAYE: They're always fun.
WHITFIELD: We always love Avery and Richard. And they're going to be tackling two pretty interesting cases. Well, many cases, but two in particular.
One involving Halle Berry, and now this custody battle. She and her ex-boyfriend, Gabriel Aubry, are going toe-to-toe, so to speak, over their 2-year-old little girl. A custody battle, it's ugly. Apparently, Halle Berry, now accusing him of using racial slurs, and that she fears for the safety of her 2-year-old daughter, Nahla.
And Lindsay Lohan, what would a legal segment be without Lindsay Lohan being part of it? Our legal guys are going to tackle this one.
She is being accused of stealing a $2,500 necklace from a jewelry store, or her camp is saying it was borrowed. So which is it? She returned the necklace, but just shy of a search being conducted on her home.
And then in the 2:00 Eastern hour, we're going to talk about the rise of the grandparents, the population of the grandparents.
KAYE: The grandparent economy, as it's being called.
WHITFIELD: That's right. Three out of 10 adults is a grandparent. And so the grandparents of today, the profile very different from the grandparents of yesteryear. Our Josh Levs is looking into the economic impact of that and how the relationship is also relying on some new technological tools that grandparents are using with their young grandkids, and how that is really also creating a new opportunity for entrepreneurs as well.
KAYE: They're big spenders, grandparents.
WHITFIELD: Yes, they are.
KAYE: I don't remember if mine were.
WHITFIELD: It's the baby boom generation as grandparents. Yes, very different from, say, the Depression era grandparents. They're spending, they're digging a little deeper these days.
KAYE: All right. Yes, they are.
Fred, lots of good stuff to talk about. We'll see you at the top of the hour.
WHITFIELD: All right.
KAYE: In a moment, a look at how Egypt's capital has changed during nearly two weeks of protests. We'll bring you a different view of where anti-government demonstrators are making their stand.
(COMMERCIAL BREAK)
KAYE: And more very dramatic photos coming to us from Egypt. The scene there, we want to share these with you so you, as well, can understand the drama as it unfolds.
We've all seen pictures of the protests in Egypt like those, but how are they affecting the capital city?
CNN's Brian Todd takes us to the streets of Cairo for a little perspective.
(BEGIN VIDEOTAPE)
BRIAN TODD, CNN CORRESPONDENT: We're going to show you how downtown Cairo has been transformed by these protests from what it normally is. We have satellite photos from Google Map.
First, we're going to show you this area of Tahrir Square, where the protests have taken place this week. We have learned that security forces, on Friday, sealed of these bridges, at least for part of the day, so that cars and other vehicles could not get through to this area. But we're going to zero in on Tahrir Square and show you how it has transformed.
This is a satellite photo of Tahrir Square on a normal day with traffic. Heavy traffic in here, moderate to light traffic elsewhere. But look at this image that we got from Digital Globe which shows a satellite photo of Tahrir Square on Thursday during the protests.
Clumps of people here and down here. No cars. Again, we're going to show you the difference.
Normal day, and here is Thursday during the protests. An extraordinary transformation of the Tahrir Square area.
Some flash points in Tahrir Square. This area here is where doctors and other medical personnel were treating some of the wounded. We got some images of that. This area here, in this corner of Tahrir Square, is where this was taking place on Wednesday and Thursday.
This area here, near the overpass, is the scene of some dramatic images that we got on Wednesday, overnight into Thursday, of Molotov cocktails and other things being thrown, large fires being started on trees and partially on buildings in that area of Tahrir Square. And again, that took place near the overpass over here.
Again, look at this satellite photo again from Digital Globe showing the clumps of protesters on Thursday, compared to, of course, Friday's video, where it was even more crowded. Look at these images. Tahrir Square on Friday, imagine that in this satellite photo would be probably wall-to-wall people, if we had had that.
Going to compare this to some other famous venues where protests have taken place, namely in the United States. We're going to show you this, flying all the way across the Atlantic to Washington, D.C., and the National Mall in Washington.
This is just about a quarter of the National Mall from the western most point, the Lincoln Memorial, through the Reflecting Pool, to the Word War II Memorial. But how much of this area would be taken up by the same area of Tahrir Square? Take a look at this.
Again, Digital Globe. We did an overlay. Look at that. This is Tahrir Square, in the area where the protests took place. This is how much of the National Mall it would take up, less than a quarter of it.
Again, look at the overlay here. This is the National Mall. This only goes about a half a mile, the protests stretched. It would only take up about half a mile, wouldn't even go to the World War II Memorial.
That's a half a mile long and only about a tenth of a mile wide. So, on the National Mall, it wouldn't even stretch to the streets bracketing the National Mall.
Brian Todd, CNN, Washington.
(END VIDEOTAPE)
KAYE: CNN NEWSROOM continues with Fredricka Whitfield.
