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Desperate Measures to Prevent Financial Meltdown in Greece; Olive Oil May Help Prevent Strokes; Church Choir Wins Awards, Changes Lives; Buy A Pair, Donate A Pair; The Help Desk; Talk Back Question; ATF Whistle Blower
Aired June 17, 2011 - 12:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SUZANNE MALVEAUX, CNN ANCHOR: I am Suzanne Malveaux, want to get you up to speed.
Debate over same-sex marriage in the spotlight this hour in New York. The state senate could vote on a bill legalizing those marriages as early as today; it has already passed the Senate assembly. Right now it's legal for gays and lesbians to get married in five states and the District of Columbia.
The fight for gay rights around the world gets a major boost. The United Nations Human Rights council has passed a resolution supporting equal rights for all people, regardless of sexual orientation. That is the first-ever such resolution by the United Nations. The United States was a key backer of that measure; South Africa introduced it despite strong opposition from some other African countries.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: Let him go! Let him go!
(END VIDEO CLIP)
MALVEAUX: Believe it or not, a brawl broke out today among spectators hoping to get a seat at the Casey Anthony murder trial. Police had to be called in to break up the fight.
The defense started day two of its case with testimony from a bug expert. The focus is on challenging the forensic evidence. Casey Anthony is charged with killing her 2-year-old daughter Caylee.
Smoke billows over Tripoli after several powerful new explosions today. NATO air assaults on Libya has gone on for about three months now, and Moammar Gadhafi still remains in power.
In southern China, a disaster brought on by weeks of heavy rain. Floodwaters have driven almost 700,000 people from their homes. More than two dozen deaths are now reported. The disaster zone covers parts of 10 provinces. The flooding has washed out bridged and roads. It's the third round of torrential rains in that region this month.
After losing the Stanley Cup, some brokenhearted Vancouver Canucks fans lost control Wednesday night, flipping, torching cars. Now Vancouver police are turning to social media to try to identify the worst offenders. They are poring over photos of the ruckus that was posted on Facebook.
This video, difficult to watch, a sheriff's deputy in Florida being dragged by a motorcycle after he tried to cite the driver for speeding.
(BEGIN VIDEO CLIP)
DEP. MIKE MUSTO, PALM BEACH COUNTY SHERIFF'S OFFICE: During this five seconds, a million thoughts went through my mind about how I could possibly get my gun hand loose, ready to do what I needed to do, or if I could just hang on for another second, maybe I could bring him off the bike with me. But I knew I was going.
(END VIDEO CLIP)
MALVEAUX: The deputy was dragged about 200 feet before he let go. He says he ran back to his squad car, was able to track down the motorcyclist at a nearby barbershop.
Desperate measures to prevent a financial meltdown in Greece. The prime minister today reshuffled his cabinet. He is pushing for severe budget cuts that are demanded by the country's creditors.
Greek workers are outraged over the rise in taxes and cuts in social programs. They have held numerous protests across the country.
Many are worried that the economic crisis in Greece is going to have a ripple effect, not just to the Eurozone, but around the world, even impacting the United States. So, want to zero in on the crisis.
Our CNN's Richard Quest, he is joining us from London.
Richard, good to see you.
First of all, how does Greece impact the American markets, the investors, both directly and indirectly here?
RICHARD QUEST, HOST, "QUEST MEANS BUSINESS": I'm going to show you exactly how this can work out, Suzanne, and give you an idea of the sort of contagion that takes place.
Obviously, Greece, a long way from the United States. But in this particular scenario, what we have at the moment are the ripple effects that are going around the world, because the core point to remember is Greece currently has the lowest sovereign debt rating in the world.
Obviously, that affects the countries of the European Union with the German banks, the French banks, and the European Central Bank. But in the United States, there is direct and indirect exposure not only to Greece directly, but to those other banks.
The money market funds have been (ph) buyers of debt. And crucially, French banks have also been sold into the U.S. market.
The real core of this issue, Suzanne, is what I would call confidence, the Lehman effect. If Greece goes down, then it is not long before you see exactly those same issues coming all the way around the world. It's confidence, it's a worry whether or not you believe the other party can pay the money back.
MALVEAUX: So is this inevitable here? I mean, is this the next shoe dropping for the world financial crisis?
QUEST: There's one big difference between this and what happened in Lehman Brothers. In Lehman Brothers, it happened at the weekend, it took everybody by surprise.
The mere fact that you and I are speculating on what a default by Greece would look like gives grounds for believing that it won't be that bad if it happens. And even tonight, the French government, the German government, believe that they have reached some sort of accord.
Make no bones about it, Suzanne. It's going to be messy whichever way it plays out, but at the moment it seems it might just be containable.
MALVEAUX: So, messy, but does that mean we should still invest overseas?
QUEST: You have got no choice but to invest overseas. If you just let (ph) your investments on this side of the world, you would have lost out on the best investments of all.
Germany is growing at 3.5 percent. You've got Southeast Asia over there, growing at eight percent or nine percent. You don't have any choice about just keeping your investments into one market. The proper balance portfolio, as I've talked to you before about this, requires domestic, international commodities, a variety of investments.
MALVEAUX: All right. Richard, no choice in the matter. We'll still invest overseas.
Thank you. We hope it gets better. Thanks, Richard.
Here is your chance to "Talk Back" on one of the big stories of the day. Republican presidential candidate Mitt Romney's campaign seemed to be gaining some momentum. Right? But now he's coming under fire for some comments he made.
That brings us to today's "Talk Back" question: Can rich politicians relate to ordinary Americans?
Carol Costello is in Washington. She joins us now.
Hey, Carol.
CAROL COSTELLO, CNN CORRESPONDENT: Hey, Suzanne. It is tough to be one of the guys when you're worth more than $200 million. After all, deserved or not, the rich are not exactly popular right now.
Go ahead. Google "I hate rich people" and see how many articles pop up.
Mitt Romney may have been trying to overcome that in Florida with a group of unemployed voters.
(BEGIN VIDEO CLIP)
MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: Well, I should also tell my story. I'm also unemployed.
(LAUGHTER)
UNIDENTIFIED MALE: Are you on LinkedIn?
ROMNEY: Yes, actually, and I'm networking.
(END VIDEO CLIP)
COSTELLO: He was joking. It was a joke. But it did not take long for Democrats to slam him for being out of touch, sort of like what then-candidate George W. Bush did in 2004 to his opponent John Kerry.
Bush, a wealthy man himself, released a campaign ad showing a super-rich Kerry windsurfing.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: In which direction would John Kerry lead? Kerry voted for the Iraq War, opposed it, supported it, and now opposes it again. He bragged about voting for the $87 billion to support our troops before he voted against it. He voted for education reform and now opposes it.
(END VIDEO CLIP)
COSTELLO: You get the drift. But the windsurfing part really stung. It's not exactly a blue collar sport.
I'm thinking Donald Trump might have it right. If you're a super-rich guy, embrace it.
(BEGIN VIDEO CLIP)
DONALD TRUMP, ENTREPRENEUR: Part of the beauty of me is that I'm very rich.
(END VIDEO CLIP)
COSTELLO: So, the "Talk Back" question today: Can rich politicians relate to ordinary Americans? Facebook.com/CarolCNN. I'll read your comments later this hour.
MALVEAUX: Only Trump could get away with that, I think.
COSTELLO: At least he was authentic.
MALVEAUX: That's true. That's very true.
COSTELLO: That's what voters want, right?
MALVEAUX: A little authenticity. Yes, that's right. So we'll see.
Thanks, Carol.
Here's a look at what's ahead this hour "On the Rundown."
First, restructuring Social Security. What does the AARP think about it? We're going to get an answer.
Also, olive oil and strokes. Studies suggest that the extra virgin kind may help prevent them.
And then, literally, outside the Casey Anthony trial in Florida, people are throwing punches to get inside.
And new video of actress Angelina Jolie. She is in Turkey to meet with Syrians who have left the chaos behind.
And finally, buy a pair, donate a pair -- the idea behind a shoe company.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: What if I started a shoe company, and every time I sold a pair of shoes, I gave a pair away? And that way, if as long as I continue to keep selling shoes, these kids will have shoes for the rest of their life.
(END VIDEO CLIP)
(COMMERCIAL BREAK)
MALVEAUX: Now it's time for you to "Choose the News." Here are your choices.
First, ATF under fire. Thousands of American-made guns are smuggled into Mexico as U.S. agents stand by. Find out why doing nothing to stop it was in fact part of the job.
Second choice, waste in Afghanistan. The U.S. spends $300 million to build this power plant in Kabul, but it sits idle most of the day. Hear why and other examples of money wasted in Afghanistan.
And third, breaking diplomatic barriers by breaking boards. How Taekwondo helped break the ice for North Koreans visiting New York. You can vote for your favorite story by texting 22360. Text 1 for "ATF Under Fire"; 2 for "Afghanistan Waste"; or 3 for "Breaking Barriers."
The winning story is going to air at the end of the hour.
So, you probably enjoy a little olive oil in your salad. Yes? Well, a new study says it's a good thing, especially if you're over 65.
CNN Senior Medical Correspondent Elizabeth Cohen joins us here with research that says it seems to be doing a bit better. Olive oil is a good thing for us here.
Tell us just how much.
ELIZABETH COHEN, CNN SR. MEDICAL CORRESPONDENT: That's right. You know, we keep hearing this, that olive oil is terrific. And so this means it's really terrific.
MALVEAUX: Even more terrific than we --
COHEN: Even better than we thought, that's right, because at first we talked about other kinds of diseases. But here, what they did is this study looked at older people who had a little bit of olive oil in their diet, and then some, and then a lot. And the folks who ate a lot, which meant they ate it several times a day in salads, cooked with it, whatever, they had a 41 percent decreased risk of having strokes.
That is a huge decrease. It seems to be just based on what they ate.
MALVEAUX: Wow. That's fantastic. I love olive oil, by the way.
COHEN: Right. You can't go wrong, yes.
MALVEAUX: I put a little olive oil on my salad.
COHEN: Yes, absolutely.
MALVEAUX: Are there other benefits as well?
COHEN: There are. Previous studies have shown that people also tend to have fewer heart attacks, they tend to have less of certain types of cancers. And they also tend to get Alzheimer's less often.
So you can't go wrong. And there's nothing bad about it. I mean, you wouldn't want to guzzle it, because it is calories. But, you know, you can cook with it, you can put it on salads.
MALVEAUX: What makes it so good, olive oil?
COHEN: Olive oil has monounsaturated fats. And sometimes you hear people talking about good fats and bad fats.
MALVEAUX: Sure.
COHEN: So the good fats are in olive oil and nuts and avocados, as well as other foods. And then you get the not-so-good fats that are in butter, margarine and red meat. So that's the division right.
MALVEAUX: All right. OK. Good to know. I'm going to make a salad when we get out of here.
COHEN: There you go.
MALVEAUX: Thanks, Elizabeth. Have a good weekend.
Well, the streets of Compton, California, known for gangs and crime. But one church has found a musical way to help get young people back on track.
Randi Kaye has a story in this week's "What Matters" segment.
(BEGIN VIDEOTAPE)
(MUSIC)
RANDI KAYE, CNN CORRESPONDENT (voice-over): Voices of Destiny isn't an average church choir. Based in Compton, California, this group is using the power of music to change their lives. And they're young. Everyone is under 30.
MICHAEL J.T. FISHER, PASTOR: At the time that we started Voices of Destiny, the crime rate in Compton was out of control. I had buried in that year alone over 35 young men. I needed a choir that they could feel like they belonged to and they called their own.
KAYE: Pastor Michael Fisher started Voices of Destiny in 2005, when he took over the pulpit from his father. He was 25.
FISHER: I looked around and saw that there was no one in the audience that was my age.
KAYE: Now the choir has 60 members, and they recently won the title Best Choir in America during a composition in Washington, D.C.
But the real reward is the impact on its members.
NYEEMAH WARNER, VOICES OF DESTINY CHOIR MEMBER: Before I joined Voices of Destiny, I was on a road to failure.
KAYE: For 19-year-old Nyeemah Warner, the church and the choir gave her a reason to live.
WARNER: They were like family to me. I was able to express myself when I was with them. I didn't have to be someone else.
KAYE: Once on the verge of failing school, Nyeemah now studies criminal justice at Everest College in Los Angeles.
FISHER: The choir is open to everyone who is willing to excel forward. If you join, and you can sing, I don't have a problem with that. You have to come ready to say, I'm willing to make a change in my life.
KAYE: Randi Kaye, CNN.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
MALVEAUX: It's at the heart of Republican Congressman Ryan's plan to balance the budget, a restructuring of Social Security and Medicare benefits.
So, how do America's retirees feel about this plan? Well, an article in today's "Wall Street Journal" says that the AARP, as we know, a very powerful lobby group for older Americans, is now willing to change its long-standing position in cutting Social Security benefits. Well, a spokesperson for AARP tells us that nothing has changed, "The Wall Street Journal" essentially got it wrong.
So, we're joined by David Certner. He's the legislative policy director for the AARP.
David, thank you so much for being with us.
Basically, spell this out for us. Which one is it? Is AARP now promoting and potentially willing to cut benefits in Social Security?
DAVID CERTNER, AARP DIRECTOR OF LEGISLATIVE POLICY: Well, I'm sorry there was some miscommunication with "The Wall Street Journal" story, but AARP remains very strongly supportive of Social Security, and our position has not changed.
MALVEAUX: How does this happen? I mean, there are even quotes here in this article. It quotes the long-time policy chief, John Rother saying that, essentially, "The ship was sailing. I wanted to be at the wheel when that happens." That this was inevitable, that AARP was going to have to get on board, make some changes, some cuts to Social Security benefits, in order to promote a balanced budget.
CERTNER: Well, we have two different debates we think going on.
One is the debate right now we're having in Congress to balance the budget and cut back the deficit. We are adamantly opposed to any cuts to the Social Security as part of that budget debate.
Social Security is not a cause of the budget deficit. Social Security is a separately financed program. We need to keep Social Security strong for the future.
Beyond this debate, we think we do need to have a separate debate on Social Security and talk about how to strengthen Social Security for the long term. But we are very adamant again that any changes we make to Social Security should be to strengthen the program for the long term.
MALVEAUX: So get specific for us. Help us understand this. If it's not cuts in Social Security benefits, what are you talking about?
CERTNER: Well, everyone knows we'll need to look at a package of different changes to Social Security to make it strong for the long term. The reality is, we have more people who are older and more people living longer, so we do need to make some changes. Everyone recognizes that. And we're certainly willing to talk about a package of changes that will keep Social Security strong.
(CROSSTALK)
MALVEAUX: What kind of changes are you talking about? Help us understand this.
CERTNER: Well, there are a number of options that people have talked about, from changing the benefit structure, to raising retirement ages, to raising the amount of money that is contributed to Social Security. What we want to be able to do is have a big conversation, not just with our own members, but with the American public about these kinds of changes.
We think we need to keep Social Security strong. We think we need to make sure that the financing is there to maintain current benefits. And that's what we're going to be fighting for. But we're certainly willing to have a conversation with the American public about the best ways to do that.
MALVEAUX: Is AARP now promoting raising the retirement age?
CERTNER: Well, as you know, the retirement age right now is continuing to go up. It's 66 right now, scheduled to go to 67.
We know there are many problems with raising the retirement age, in particular, quite frankly, especially right now, there just simply aren't jobs for older people. And there is still age discrimination in the workforce.
So you can't just simply say we're going to raise the age without there being jobs available. That's just simply a massive benefit cut for people. But I know that's an option on the table, and we're willing to talk about it, along with other kinds of options.
MALVEAUX: In this "Wall Street Journal" article, if I could go back to it, they talk about that these are ideas, cutting these benefits. These are ideas that are coming from the board of the organization, and that the board of the organization is out of touch with its membership, some 37 million members, who just don't agree.
Is there a split within your organization? Is there a debate with the board on one side and the members on another whether or not there should be cuts in Social Security benefits?
CERTNER: I think this is a very important issue. What our board is looking at are all these different options, and looking at the impact of these options on the older population.
And there is a great deal of reluctance to change Social Security because of this importance to people. So the board is in sync with its membership. In fact, the board is trying to find out exactly where the membership is and what kind of changes we can make to keep Social Security strong.
You know, as we look forward, what we see is that people are living longer, health care costs are going up, people's home values are dropping, people's pensions and retirements are shrinking. We know Social Security will be just as important -- in fact, probably more important -- in the future than it is today, and we're committed to keeping Social Security strong.
MALVEAUX: All right. David Certner, thank you very much from AARP. I appreciate your coming on and clarifying this point.
CERTNER: Thank you.
MALVEAUX: Want to also tell our viewers that we have reached out to "The Wall Street Journal" to try to get their take on this as well. Clearly, they are defending, standing by the article as it has been written before. The AARP, taking major exception to what they have been reporting today.
Well, there's a new report that shows millions of Americans don't even have enough money to retire comfortably. Learn how to calculate how much you need to save for life after a career.
(COMMERCIAL BREAK)
(BUSINESS REPORT)
MALVEAUX: Here's a rundown of some of the stories that we are working on next.
A brawl outside the Casey Anthony trial.
Plus, the latest war of words inside the courtroom.
Then, Angelina Jolie heads overseas to do her part to shed light on the refugee crisis in Syria.
And in 10 minutes, a man goes on vacation and he sees children without shoes walking the streets. How that moment changed his life and launched an amazing company.
This is day two for the defense in the trial of Casey Anthony, the mother accused of killing her 2-year-old daughter Caylee. But the drama started even before the testimony began.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: Let him go! Let him go! Let him go!
(END VIDEO CLIP)
MALVEAUX: Police responded to a brawl outside the courthouse. The fight broke out among spectators lining up to get one of the 50 seats that's now open to the public.
Joining us to talk about the latest developments inside the courtroom, criminal defense attorney Richard Herman. Richard, thanks for joining us --
RICHARD HERMAN, CRIMINAL DEFENSE ATTORNEY: Hi, Suzanne.
MALVEAUX: Hi. The prosecutor was furious with the defense yesterday after the defense asked an FBI agent about a paternity DNA test on the two-year-old child. What was that about?
HERMAN: Well, the prosecutor was upset because George and Lee had already been ruled out as potential fathers for Caylee, so he felt the question was done to further advance the theory that Baez is trying to show of molestation by them and put that in front of the jury yesterday, which Baez effectively did.
And you know, too bad for the prosecutor. Baez is fighting for her life. They're looking to kill her, Suzanne. So, you know what? That was okay; that's how things are done in the trenches. If you think it was bad faith, how bad faith was it to put a smiling Casey next to her daughter smiling and then all of a sudden have that face turn into a skeleton? I mean, that was ridiculous. So, it's all - all is fair in love and war here, and this is war.
MALVEAUX: This is clearly war. Do you think that that was a part of the strategy, the defense strategy to essentially kind of muddy the waters?
HERMAN: Well, that's what is going on with these forensic experts the defense is bringing up. They are trying to give the jury an alternative opinion, expert opinion on the forensic evidence and the ultimate findings from the prosecution's experts so that he can go in summation and say, well, the prosecution's experts said this, but you heard our experts say this. Who do you believe?
And if you are not sure which one to believe, well, it's the prosecution that has the burden of proof beyond a reasonable doubt. And if you're not sure, that's -- you must acquit.
MALVEAUX: So Richard, as a defense attorney, how would you defend Casey in this situation? What could you possibly put out there?
HERMAN: I would absolutely hammer against the forensic evidence, Suzanne. I would try to punch holes in all the testimony, including crazy Dr. Vass and all these other crazy theories that they had. But I would not under any circumstances, and we've talked about this before, I would not put Casey Anthony on that witness stand. If they do that, she is going to be convicted and get the death penalty.
He has to abandon that whole line in his opening about the child abuse. He just has to abandon that, the sex abuse. He has to abandon it. He can go to the jury in summation and say, hey, I asked George under oath, and he denied. Well, you know, I thought he would tell the truth. But he was lying. And that's it. Get away from it. Because he can't prove it. It's going nowhere. Hammer away at the forensics, and maybe you can get one or two jurors to listen to the jury instructions and say, you know, the state has not proven their case beyond a reasonable doubt.
MALVEAUX: All right, Richard, you know, it will be interesting to watch next week to see if in fact Casey takes the stand. That's one of the things everybody is going to be on the lookout for. So, we will be keeping watch on that.
And also want to let our viewers know that you can you watch you, Richard, tomorrow on CNN at noon Eastern, along with civil rights attorney Avery Freedman. They are both following every detail of this murder trial. An amazing case.
New protests now against the government of Syria.
(VIDEO CLIP)
MALVEAUX: People taking to the streets inside and outside the country. A live report from the Syrian-Turkish border.
(COMMERCIAL BREAK)
MALVEUAX: Don't forget to vote to Choose the News, the story you would like to see. You can vote for your favorite by texting 22360. Text 1 for ATF under fire. Thousands of guns made in American wind up in the hands of Mexican criminals because of a federal program. Text 2 for Afghanistan waste, how billions of American dollars invested in community projects and are wasted. Text 3 for breaking barriers, how tae kwon do is building bridges between North Koreans and Americans. The winning story will air at the end of the hour.
We're getting this video in of an anti-government demonstration that is taking place in Syria. Opposition activists posted this online from one of several cities where people are defiantly taking to the streets. The crowd is demanding the overthrow of the government. They are chanting leave, leave.
CNN's Arwa Damon is monitoring the situation from the Turkish side of the border with Syria. And Arwa, thank you for being here. A lot of attention on what is taking place there. Demonstrations and these folks risking their lives by taking to the streets against the government.
There has been a bloody crackdown against these protesters. What is taking place today?
ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT: Well, Suzanne, tragically the scenes we are seeing unfold today inside Syria pretty much have been the status quo since this uprising began. Just about every single Friday, the masses do take to the streets following Friday prayers. And again, we have received reports that there have been casualties in some cases. Again, according to activists caused by the Syrian security forces use of a lethal firing to try to quell the voices of a dissent. We have heard so far today of at least five causalities, four of them happening in the central city of (INAUDIBLE), on happening in the east. And while this has been taking place, we have also been hearing from activists of the military crackdown, especially the ones in the northwestern part of the country continues. Remember, it was that crackdown that led to the massive influx of refugees from Syria into Turkey. That number, we were last heard, is very close to 9,700 people who have fled the violence inside Syria, Suzanne.
Literally, many are fearing that if the Syrian security forces caught them coming across them, they would be massacred.
MALVEAUX: And Arwa, I understand Angelina Jolie arrived in Turkey today to meet with some of the Syrian refugees who have fled the crackdown. Do you have any details on this mission as U.N.'s goodwill ambassador?
DAMON: Well, she does come here in that capacity, and you can hear the clanging behind me as the Turkish authorities are removing some of the barricades. Sewers (ph) at this camp - it was in fact cigarette tobacco factory in the past, and now those warehouses has been converted into two floors that has tents in them. Thousands of people crammed inside, Suzanne.
Angelina arrived here. She spent around two-and-a-half hours speaking with the refugees. We have to wait and see what sort of a statement she is going to make But prior to her arrival, there was a small demonstration inside, people thanking Turkey for their help but also begging the international community, the United Nations to help them. One man was holding up a sign saying, "The Syrian military is killing its own people. Please make it stop."
Now, this is a unique opportunity for Angelina Jolie because the international and national and media have not been allowed inside these refugee camps. And (INAUDIBLE) organizations like Amnesty International or Human Rights Watch. There were some children who managed to scramble underneath a tarp that has been set up around the camp, and they were chanting "Down with the regime of Bashar al Assad," and also holding up a sign saying "Stop killing the children," Suzanne.
MALVEAUX: Arwa Damon, thank you for shining a spotlight on this very serious humanitarian crisis. Thank you, Arwa.
Well, this next guy, he's got soul. And everyone from Ben Affleck to Bill Clinton is a fan of his business model. We will talk to Blake MyCoskie, founder of Toms, a company that has put shoes on more than a million children in the developing world.
(COMMERCIAL BREAK)
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Well, it is a shoe company with a mission: to put shoes on the feet of impoverished children living in the developing world. And despite humble beginnings, the folks at Tom's have done just that.
It's a unique business model. You buy a pair of Toms and they donate to a pair to a child in need. Now, the company is taking its plan one step further.
So, I am joined by Blake MyCoskie, founder of Toms shoes. I want to show our audience here. I got a pair here. They are very comfortable. And tell us how you came up with this idea for your company. How does this work?
BLAKE MYCOSKIE, FOUNDER, TOMS ONE-FOR-ONE: Well, originally I was down in Argentina on vacation, and I met some volunteers who were helping kids get shoes because they needed shoes so they could go to school. So we came up with this model where every time we sell a pair of shoes we would give a pair away, one for one. So it was very simple for the customer to understand exactly what was happening when they bought a pair of shoes and making a difference in a child's life.
MALVEAUX: Why start with shoes?
MYCOSKIE: Well, originally I was in Argentina and that's what I came across, was - you know, the fact that there are many kids down there that need a pair of shoes so they could go to school because that was part of the uniform requirement. So we started with shoes and now we're moving on to helping people with their vision as well.
MALVEAUX: And this is a business. It's not a charity. So explain to us how this works here. Because the business is thriving and even Bill Clinton called you one of the most interesting entrepreneurs that he's ever met. But why not make this just a charity and have people give money instead of buy something for a company that's making profit?
MYCOSKIE: Sure. Yes, it was very important when we started this would be a for-profit in a business because I felt that that would be much more sustainable. The voluntaries I met in Argentina were dependant on donations from wealthy families in Buenos Aires and around to help these kids get shoes. But if they didn't get the donation that they needed that month, then the children would not get shoes and they wouldn't be able to sustain the giving that they wanted to do. So my idea was, if we make it a for-profit business and compete with other shoe companies around the world, we can sustain the giving through our sales, through our retail partners and on our website at toms.com.
MALVEAUX: OK. Let's talk a little bit about how you're expanding. I know that you are now getting into the glasses, vision care. What you're trying to do is really provide care in terms of operations, eye operations, things like that, for folks who need it. How is this possible? I mean, you've got a pair of glasses here, sunglasses you buy for $135. Does that really support the kidn of eye operations that we are seeing that are necessary for these young folks?
MYCOSKIE: Yes. One of the things that was so interesting as I traveled was, I saw that, you know, the eye care in the third world that is necessary to either give somebody prescription glasses, medical treatment or an eye surgery is at a fraction of the cost, you know, here in the United States. And so we created this, you know, pair of sunglasses here with this unique stripes to kind of represent the one for one model. So kind of the front represents you, the purchaser, the stripe in the back represents the brightness that you're bringing to someone's life, and the stripe in the middle is TOMS, it's bringing the two people together. So we wanted to find a way to use our one for one model to help people and help people give sight the same way that they had helped with shoes.
MALVEAUX: All right, Blake, thank you so much. These shoes are very comfortable, by the way. I've been wearing them. Should I wear socks with these?
MYCOSKIE: No, I don't think you need to wear socks now that it's summer. It's probably hot in Atlanta, so wearing them without socks would be more comfortable.
MALVEAUX: All right, it's a great cause. I want our viewers to at least get your website here. It's toms.com. And that is where you can go ahead, purchase these items and the money, obviously, will go for charity. A great cause, Blake, thank you very much.
MYCOSKIE: Thank you for having me.
MALVEAUX: Sure.
We're getting a lot of responses to today's "Talk Back" question. We asked, can rich politicians relate to ordinary Americans? David says, "I do not believe that they can directly relate to the average American. However, depending on their rags to riches story, they can sympathize." Carol Costello is up with more of your responses.
But first, here is some free money advice from our "Help Desk."
CARTER EVANS, CNN CORRESPONDENT: Time now for "The Help Desk," where we get answers to your financial questions. Joining me this hour, Greg McBride, he's a senior financial analysts at bankrate.com. And Lynnette Khalfani-Cox is founder of the financial advice blog, askthemoneycoach.com.
So Amy in Pennsylvania says, "I need to hire someone to help me navigate a possible short sale and deal with all three of my lenders. What kind of a person can help me do that?"
Lynnette.
LYNNETTE KHALFANI-COX, FOUNDER, ASKTHEMONEYCOACH.COM: Believe it or not, it's probably a real estate agent whose best prepared to help somebody to negotiate a short sale and deal with the process when it comes to your banks. You know, there's a lot of real estate agents out there who actually specialize in this. And if you go through an organization like the National Association of Realtors, for example, they'll be able to connect you or point you in the right direction, get online and search for an agent in your area with an agent who specifically specializes in either short sales or foreclosures.
It's a long, drawn out process, as we know. The banks aren't accepting all the deals. You can't just go in there and say, ah, 60 percent down or 60 percent on the dollar in terms of what this property is worth and expect it to just automatically be approved. It doesn't work that way. You've got to package the short sale offer in the right way. But a real estate agent is probably the best person to actually help you do just that.
EVANS: And they've had a lot of experience doing that lately.
Jessica in Florida says, "my husband works for a family owned small business. He loves his company, but they do not offer a 401(k). So what are his options for pre-tax retirement savings?"
Greg.
GREG MCBRIDE, SENIOR FINANCIAL ANALYST, BANKRATE.COM: I want to start with a traditional IRA. You can contribute. You and your husband can each contribute up to $5,000 or $6,000 if you're age 50 or older. Because he does not have a workplace sponsored retirement program, his contributions will be tax deductible. Now, if he's a contractor for the company, that opens up a couple of other possibilities. Things like the solo 401(k) or the SEP IRA. In those cases, they have much higher annual contribution limits than you get with a traditional IRA.
EVANS: Yes, a SEP IRA is a good option if you can take it.
Have a question you want answered, send us an e-mail any time to cnnhelpdesk@cnn.com.
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MALVEAUX: You have been sounding off on our "Talk Back" question. Carol Costello is going to be up next with your responses. And we're going to do that -- oh, now I understand she's with us.
Carol, are you with us?
CAROL COSTELLO, CNN CORRESPONDENT: I've always been here. Just sitting here. But I'm here now.
MALVEAUX: Well, can you hear us? Can you hear us, Carol? Oh, we got our technical stuff --
COSTELLO: Yes, I can.
MALVEAUX: OK. Tell us what they have to say, Carol.
COSTELLO: OK. The "Talk Back" question of the day, can rich politicians relate to the average American?
This from Kyle. "No, they can't. Politicians are sitting back wondering how they're going to get more money for their campaign while the everyday citizen is wondering how they're going to make ends meet."
This from Nnacy. "We live paycheck to paycheck. They don't. we have to live on a strict budget, no vacations to the beach, eating beans at the end of the month till the next check comes, no health care because we cannot afford it, no new clothes, no fabulous shoes. Relate to us? No way."
This from Michael. "A precious few politicians can conjure up memories of when they were 'regular people.' About the best we can hope for is enough of them recognize the need for a middle class because they certainly don't want to be the middle class."
And this from Daisy. "I don't think we give rich people enough credit. They live a hard life full of tough decisions, dine in the city or flying out of town tonight, honey? The Hamptons or Manhattan this weekend? Gucci or Prada? Poor rich people."
These were harsh, weren't they? Whoo.
MALVEAUX: No sympathy at all.
COSTELLO: No. Well, and you can understand why, because a lot of people are in an economic pickle right now and they see no way out at the moment. And when some wealthy politician is telling them they know the way out when they have no what it feels like, they wonder.
MALVEAUX: Yes, yes, I can understand. It's a tough time for a lot of folks. Thank you, Carol. Have a great weekend.
COSTELLO: Sure.
MALVEAUX: So, you told us what you wanted to see. Your "Choose The News" story just moments away.
(COMMERCIAL BREAK)
MALVEAUX: And now your "Choose The News" story. Jeannie Meserve has today's winner.
(BEGIN VIDEOTAPE)
JEANNIE MESERVE, CNN CORRESPONDENT (voice-over): When Border Patrol Agent Brian Terry was killed last year near the Mexican border, two guns were recovered nearby and traced. It turned out the Bureau of Alcohol Tobacco and Firearms had allowed the weapons to wind up in the hands of criminals. Brian Terry's mother was shocked when she found out.
JOSEPHINE TERRY, MOTHER OF AGENT KILLED: I just was flabbergasted. I just -- I didn't believe it at first.
MESERVE: Three whistle-blowing agents from the Phoenix ATF office say supervisors did not allow them to intercept weapons bought by so- called straw buyers for cartels and criminals. The goal was to wait until the weapons surfaced at crime scenes in Mexico and then bring down an entire arms trafficking organization. But the agents say such a tactic, often used in drug cases, was a colossal mistake, a catastrophic disaster when used with weapons.
PETER FORCELLI, SPECIAL AGENT, ATF: We weren't giving guns to people who were hunting bear, we were giving guns to people who were killing other humans.
JOHN DODSON, SPECIAL AGENT, ATF: Rather than meet the wolf head on, we sharpened his teeth, added number to his claw. All the while we sat idly by watching, tracking and noting as he became a more efficient and effective predator.
MESERVE: A Republican congressional staff report says the program was authorized at the highest levels of the Justice Department.
REP. DARRELL ISSA (R), CALIFORNIA: We're investigating you, your organization. We want to know what felony stupid bad judgment led to allowing this program at the highest levels?
MESERVE: A Justice Department official said he was unable to say who authorized the program, but that the attorney general wants to get to the bottom of it and the department's inspector general is investigating. He backtracked from earlier statements that the ATF made every effort to interdict illegally purchased weapons.
RONALD WEICH, ASSISTANT ATTORNEY GENERAL: We're not clinging to the statements in those letters.
MESERVE: But Congressman Issa accused DOJ of stonewalling the congressional probe.
ISSA: If you're going to count pages like this as discovery, you should be ashamed of yourself. That's not discovery. That is saying that nothing within the document requested under any circumstances are we going to be showing.
MESERVE (on camera): The fallout from fast and furious is far from over. In addition to the multiple investigations currently underway, more than 1,000 of the weapons that walked are still unaccounted for. Still in the hands of criminals and cartels on both sides of the border.
Jeanne Meserve, CNN, Washington.
(END VIDEOTAPE)
MALVEAUX: If your choice did not win and you want to check out the runners up, I'll have links to them on my page at Facebook.com/SuzanneCNN. CNN NEWSROOM continues right now with Randi Kaye. Hey, Randi.
RANDI KAYE, CNN ANCHOR: Hi, Suzanne. I want to congratulate you as well, today's your 100th show. Congrats.
MALVEAUX: Oh, that's right. Hopefully hundreds more. KAYE: I think you've already done 200 at least. Oh, I don't know about that, but on your 100 and all the others, it's a pleasure to follow you. Have a great day.
MALVEAUX: Thanks, have a good weekend.
KAYE: Thanks.
