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River Rescues in New Jersey; Flood-Prone Town Under Water; Irene: Millions Still Without Power; Irene Strands Hundreds in Vermont; Irene May Cost Airlines $300M; Libyan Rebels Issue Deadline; NATO: Not Stopping Attacks in Libya; Natural Disasters and God; Nancy Grace Joins DWTS Cast; Beyonce's Twitter Record; TMZ: Matthew Fox, Bus Driver Scuffle; Facebook Drops Daily Deals; New White House Economic Adviser
Aired August 30, 2011 - 10:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: All right. It is the top of the hour, and we begin this hour with the lingering misery caused by Hurricane Irene. The new drama unfolding this hour. Pictures coming to us here from Paterson, New Jersey. Crews going door-to-door, already plucking 500 people from their homes.
The floodwaters are overflowing from the Passaic River. Do we have that live shot by the way of the Passaic River? Are we able to get that? It is frozen, but wait until we bring the pictures, because you will see it is intermittent, but it is pretty incredible.
It did just freeze, but we will bring it to you when it fired up again. That is the Passaic River and it is supposed to crest today at the highest level in more than a century. Now, we talked about all of the search and rescue missions going on last hour, and now we are joined -- that was with the police department.
And now we are joined by Edward O'Connell. He's joining us on the phone to talk about what's happening here with the river. He is the liaison of the Passaic County office there with the emergency management.
So, Edward, we're kind of going back and forth. It is a fluid situation. We are getting live pictures of the search and rescue that your fire department and the police department are carrying out and we're now getting this live picture from the Passaic.
It's just a remarkable shot that we were able to get. Sometimes it freezes. Bring us up to date right now with regard to the water and, you know, how far has it risen? Give us the status.
EDWARD O'CONNELL, PASSAIC, EMERGENCY MANAGEMENT (via telephone): As of 9:00 a.m. Tuesday, the Passaic River at Little Falls was at 14.19 feet, and it was still rising. So they are expecting it to crest sometime today and the other rivers will be rising a little bit as well, and they are expecting to crest as well today.
PHILLIPS: And what could that mean? Put this in perspective for us and for people in your area, and you know, we have been watching more than 500 search and rescue missions have taken place so far. Your guys and gals are still out there rescuing people as this water continues to rise, and how bad can it get?
O'CONNELL: When it crests, we will have to assess the damages then. We do have urban search and rescue team from the state assisting our fire departments and first responders trying to get the evacuations done.
The evacuations are ongoing and in Woodland Park, Little Falls and Paterson. We have approximately done 1,700 evacuations up to date and hopefully, it will crest soon and we can assess the damages.
PHILLIPS: Well, I was able to get two phone numbers from the representative from your police department last hour and he said that the calls continue to come in. Are you able to keep up with all of the 911 calls and all the people who are calling for help?
O'CONNELL: We are doing the best we can. Obviously, the priority calls will come in first, and then we will go from there, but we trying the best we can.
PHILLIPS: What your crews are doing is once they are able to pluck someone or pluck a family and get them to safety, they are taking them directly to shelters, is that right? Is everybody --
O'CONNELL: We have several shelters open in Little Falls, Wayne, Bloomingdale, and they're going to take them to shelters or hopefully they have some family in higher grounds. And a lot of people have self-evacuated already as of yesterday and the day before.
PHILLIPS: As you can imagine, we are getting lots of calls on how people can help. And we have set up an area on "Impact Your World" on cnn.com. What is it that you need specifically? What do your people need at this point? How's the water situation, food situation?
O'CONNELL: They can contact their local OLEM, and go through them and it is different with each town. Right now --
PHILLIPS: What do you think you need, Edward?
O'CONNELL: Excuse me?
PHILLIPS: What do you think you need with regard to what do the people need right now that you are rescuing?
O'CONNELL: Right now, people need to get on dry ground and cooperate with the search and rescue teams out there trying to get them to drier and higher ground.
PHILLIPS: But you have enough food, water for folks at this point?
O'CONNELL: Right now, the food and water situation stable and hopefully we won't run into that problem at all.
PHILLIPS: All right. Edward O'Connell there with the Passaic County Emergency Management. Appreciate you calling in. I know you are busy. I know your phone is ringing. We'll let you go, but we will stay on the story and continue to monitor the situation there.
O'CONNELL: Thank you so much.
PHILLIPS: You bet.
All right, long before Irene arrived, a sense of dread pretty much settled into the town of Little Falls, New Jersey. That community has a history of flooding, but long time residents say this is the worst they have seen. Floodwaters are expected to crest there today as well.
And then there's the cleanup recovery. Officials still struggling to measure the losses, at last check 5 million people without power, and throughout the morning the death toll has been jumping up as well. Thirty eight people are now confirmed dead in 11 states, and that could go even higher.
Three Navy ships are off of the coast of New York ready to help with those search and rescue missions and then you've got reps from the Obama administration fanning out across three of the hardest hit states Virginia, North Carolina and Vermont.
From North Carolina to New England, millions of Americans are focused on cleaning up everything that is left behind from Irene, and that will also mean costly repairs to the washed out roads and bridges. One of the hardest hit state is Vermont.
And that's where Amber Lyon is. She's in the town actually of Saxtons River. Amber, are things improving since we last spoke?
AMBER LYON, CNN CORRESPONDENT: Well, we have spoken to residents here who say that the conditions in their areas are deteriorating because relief supplies cannot get to them. I am standing here near that community in a field that was flooded by this river over there, that's the Saxtons River.
Residents say two days ago, that river rose 20 feet. They say you could see houses, chicken coops and all types of belongings and debris floating down that river. When it crested, it came across here depositing a thick layer of mud and muck that I'm standing in right now as I can barely move my -- whew, my boot, because it is so intense here.
This also spread over to the road. If you see that road, it has been shut down because the cars cannot drive across that because of the layer of mud. That is happening all over the state and 260 roads shutdown and some communities becoming essentially islands after the bridges and roads leading in and out of town have been wiped out.
One of those communities near here in a neighborhood of about 25 homes, and we spoke with one of the residents. He says no relief supplies have arrived. He says residents have been fending for themselves and literally walking across the bridge to go get food and water and then carrying it back over to their homes. So far three confirmed deaths in the state from the flooding, but the governor estimates even more deaths, because there are people still unaccounted for in the small mountain communities.
That rescue crews cannot reach quite as easily because there is such an issue with the roads. Yesterday, President Obama declared a state of emergency in this state. Today, the governor will be out touring the damage by helicopter with FEMA, and we will bring you more details on that coming up later in the day, Kyra.
PHILLIPS: All right. Sounds good. Amber Lyon there in Saxtons River. Amber, thanks so much. If you want to make a difference and help those devastated by Hurricane Irene, we have compiled a whole list of relief organizations, and all you have to do is to visit the impact your world page at cnn.com/impact.
Now today, airlines are struggling to get back on schedule as well after Irene cancelled thousands of flights over the weekend. Those idle planes, well, they're going to end up costing the airlines some pretty big bucks.
Alison Kosik is at the New York Stock Exchange, so what kind of losses are these carriers going to face, Alison?
ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Well, Kyra, you know, the top 10 airlines are going to lose up to $300 million in profits just from Irene. And analysts from airlineforecast.com came up with these numbers saying that more than 13,000 flights were canceled since Friday and that means lost revenue from the people who cancelled trips and didn't go ahead and rebook.
You know, airlines also waived their change fees. Something they love very much where they get a lot of revenue. That usually comes out to at least $100 a ticket. They didn't get that either. Guess which airline is going to be hit the hardest?
This analyst says it's going to be JetBlue because Irene may shave up to 20 percent off of JetBlue's annual earnings because JetBlue most of its flights go to the east coast -- go to the east coast like New York and Boston.
Obviously, that is where Irene hit. Overall for the industry, when you look broadly, it is really just bad timing because profits are already low because of the weak economy and not a lot of people are flying these days. Kyra --
PHILLIPS: What do you think it's going to mean to passengers?
KOSIK: One big fat headache, especially if the passengers are looking to rebook, it's really a test of patience. You know, there's one study that says the wait at an American Airlines customer service line over the weekend was 1-1/2 hours long.
But I do have some good news for you. Airlines are not expected to raise their fees because they got ahead of Irene meaning they moved the planes to safe areas. They rebooked many flyers beforehand. They're really organized.
Also damage from Irene, obviously, there is loss of life and loss of property, but overall damage is lower than expected. I mean, you compare it to the blizzard of last Christmas, it was much, much worse. It really shaved days off of those flights because airlines had to clean the ice and the snow off of the runways and the planes.
They really could not start flying until days later. Also, the airlines this time around, they have spare seats on hand so they are able to rebook the passengers on these flights this time around if they are willing to go on their vacations, which Labor Day is coming up, so maybe they will. Kyra --
PHILLIPS: Right around the corner. Thanks, Alison.
And the latest on the war in Libya and a new deadline for the last troops loyal to a deposed dictator. Rebel fighters say that Moammar Gadhafi's soldiers have until Saturday to surrender or face a full military assault.
Opposition troops are also closing in on Sirte, Gadhafi's hometown. Meanwhile, the rebels' leadership, the National Transitional Council plans to ask Algeria to extradite Gadhafi's relatives who are hiding there.
Let's turn our focus now to the rebel deadline issued for Gadhafi's troops who have refused to lay down their weapons. CNN's Dan Rivers is now in Tripoli. Dan, what do you know?
DAN RIVERS, CNN INTERNATIONAL CORRESPONDENT: Well, they have been given this kind of Eid, Kyra, this is the end of Ramadan, the Eid holiday to basically as you say lay down the arms in Sirte or face another onslaught from the rebels.
We are being told that NATO is continuing to pummel Sirte and hitting various targets. More than 40 sorties in the last 24 hours there alone so that gives you an idea of what a desperate situation those Gadhafi loyalists are in now.
They are basically surrounded and they have NATO hitting them from the air. They have been given four days to lay down their weapons or the rebels say they're going to go in to take their town.
PHILLIPS: All right. Dan Rivers there in Tripoli for us. You know, NATO is saying that it is not letting up on the pounding forces loyal to Gadhafi either. His troops still have the ability to command and control systemic attacks.
So let's go live to Zain Verjee, shall we, in London. And Zain, NATO is saying it won't commit any ground troops, but rebels, do they need them or not?
ZAIN VERJEE, CNN INTERNATIONAL ANCHOR: Well, what NATO has said a short while ago in the press conference, they absolutely will not do this. There's a divided school of thought as to whether there should be ground troops or not. They figure if they can militarily deal with it just by using aerial force, that is way better than committing to troops on the ground financially as well as politically. And if the rebels can get their act together and make a transition happen quickly, they don't need to have the troops on the ground.
We know through special reports there are forces from the U.K. though and France that have been helping the rebels on the ground. So there are foreign boots on the ground and just not NATO. The other thing NATO said, Kyra, in a press conference a short time ago, too, is that the operational focus is on Sirte.
But the danger is, is that because it is a coastal area, it is difficult, because there are a lot of small and large village, and they are going to have to maneuver carefully. So essentially translating, they need to be careful of civilian casualties.
and yes, the other important point to note, they said that Moammar Gadhafi and the remnants of his regime do still have a degree of operational command and control. What they are hoping is that the dialogue will work out between the rebels and the Gadhafi loyalists, and there will be a peaceful outcome. Kyra --
PHILLIPS: If you watch the way things have been going thus far, it seems pretty far-reaching, but we will follow it. Zain, thanks.
So are earthquakes and hurricanes punishments from God? Despite the words of some pundits, our religious scholars say that national disasters are one arena with the language of science has almost trumped the language of religion.
A former NBA player has been arrested on murder charges. It is not the first brush with the law either.
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PHILLIPS: Stories across country now, polygamist leader Warren Jeffs in critical condition in the hospital. Texas prison officials say that he fell ill while fasting in his prison cell, and he fell into a coma. Jeffs is serving life sentence on child sex charges.
The FBI has arrested former NBA player Javaris Crittenden on murder charges. He was taken in custody last night in L.A. while trying to board a plane in Atlanta. Crittenden is wanted in connection with the drive by shooting of a woman in Atlanta on August 19th.
And a hard landing for United Express flight from Moline, Texas. The plane veered off of the runway while landing yesterday coming to a stop in a nearby grassy area. No one was hurt. The Federal Transportation officials are investigating.
So, do you blame God for natural disasters? How can we forget the controversy Pat Robertson created when he said this earthquake and Hurricane Katrina were God's curse and then recently there was Michele Bachmann. (BEGIN VIDEO CLIP)
REP. MICHELE BACHMANN (R-MN), PRESIDENTIAL CANDIDATE: I think Washington, D.C. you think by now they get the message. An earthquake, a hurricane, are you listening? The American people have done everything they possibly can, and now it is time for an act of God, and we are getting it.
(END VIDEO CLIP)
PHILLIPS: OK. She says that she was joking, but the discussion as led religious scholars, Stephen Prothero to write an op-ed for our CNN Belief Blog. He is joining on the phone from Cape Cod.
So Steven, you actually write God is no longer in the whirlwind. So what do you think, Americans as a whole, do they no longer interpret natural disasters as say signs of the apocalypse?
STEPHEN PROTHERO, CNN CONTRIBUTOR (via telephone): Well, I don't think they do so much, and the fact is that people like Robertson and Bachmann are actually in the mainstream in American history. For most of our history, we have interpreted things like hurricanes or earthquakes as messages from God.
Usually, you know, fingers pointing at us for some sort of sin political or cultural or otherwise, but that has shifted to point where even very conservative Christians say that they have to say it is a joke when they say it or pose it in the form of a question as Pat Robertson did the other day with the crack in the Washington monument with the earthquake.
So I think things have really changed at least in this arena with science and religion where science is really the dominant language in terms of thinking about these events.
PHILLIPS: So do you think that people are less religious, Stephen, or just more pragmatic?
PROTHERO: I don't think that we are less religious, but I think that there's at least in this realm the power of the theological interpretation of the apocalypse is shrinking. So we'll pray to God, you know, 95 or more percent of American believe in God.
And about 75 or 80 percent are Christians and those Christians and believers will pray to God for things in their life, you know, their relationships, their family, and things like that.
But it is at the macro level of the nation and the supernatural so-called acts of God that I think that the explanatory power of theology is going away.
PHILLIPS: So final question, Stephen, when God does have something to say, how does he or she have to say it?
PROTHERO: Well, I think the way that Americans are hearing God is more through the bible and then through their own hearts. It is sort of a quieter voice and also through their own pastors and preachers and rabbis.
But this sort of loud voice of the whirlwind and the earthquake is something that we're now seeing as really not a voice of God at all, but just stuff happening out there through air pressure and tectonic plates.
PHILLIPS: Stephen Prothero, it was an interesting dot com piece for our belief blog. Appreciate it. Thanks for calling in.
PROTHERO: Thanks for having me.
PHILLIPS: You bet. Top rated TV host Nancy Grace joins the cast of "Dancing with the Stars" and she weighs in on all the chances of winning. Showbiz update is next.
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PHILLIPS: Nancy Grace's new dancing gig, and Beyonce busts a social media record, and a "Lost" actor takes one on the chin. "SHOWBIZ TONIGHT" host A.J. Hammer with your latest entertainment headlines. A.J., our Nancy Grace, she is going to be busting a move. We can't wait. We have all been talking about it.
A.J. HAMMER, HOST, "SHOWBIZ TONIGHT": Yes, Nancy is going to be busy in the coming weeks and months. Our HLN co-worker is joining the new cast of "Dancing with the Stars." Nancy is competing against a pretty interesting cast this year.
As usual, it is quite a variety of stars this season. You have U.S. Women's soccer star Hope Solo. You got Jorge Clooney's ex, Elizabeth Cannalis. You have Ricki Lake, Kristen Cavallari, China Phillips, David Arquet, Carson Kressley, and Rob Kardashian.
You also have NBA player Ron Artest. Now Ron, of course, is in the process of changing his name to Metta World Peace. You have Chaz Bono who was born a woman, but has become a man and I actually know who Kyra is going to be rooting for, I think it's going to be J.R. Martinez.
J.R. may not as well known as the other stars here, but he is a wounded war veteran who's currently starring on "All My Children" and as for Nancy she says she knows the competition is pretty tough, but she is going to give it her best. Listen to what she told us.
(BEGIN VIDEO CLIP)
NANCY GRACE, HLN HOST: I know can I try. I know I'm not the youngest, the thinnest, the prettiest or the best dancer, but I have a lot of heart. That has to count for something, right?
(END VIDEO CLIP)
HAMMER: Now, Kyra, I have to tell you. I'm just eager to hear how Nancy will react and what she will say when a judge tells her something that she does not like or disagrees with. PHILLIPS: I can't wait to see that, but she did hit it on the head, she has a lot of heart, and you're right, A.J. You know my heart and I love our vets and the wounded warriors especially, and I'm a big supporter.
All right, it looks like Beyonce, the unofficial queen of Twitter now. I can't believe how her Twitter lit up the way after we saw the baby bump.
HAMMER: Yes, this is pretty amazing. Beyonce made a big splash by announcing she was pregnant at the MTV Video Music awards. Her baby bump gave Twitter a record bump. There were 8,868 tweets per second reacting to the news.
That is the most tweets per second for any event ever. Let me give you a little perspective on that. The earthquake that shook the east coast last week that generated around 5,500 tweets per second.
That is around the number generated by the death of Osama Bin Laden and the Japanese earthquake. Kyra, I'm not going to delve what kind of commentary that all makes, but Beyonce is now the biggest thing on Twitter.
PHILLIPS: Wow. A bus driver in Cleveland says that kind of got into it with one of the cast members from "Lost."
HAMMER: Yes, it sounds like Matthew Fox from that show ran into one tough lady. Her name is Heather Borman and she is saying that a drunk-looking Fox tried to push his way on to her party bus, and she wasn't having any of it. Listen to this.
(BEGIN VIDEO CLIP)
HEATHER BORMANN, HAD ENCOUNTER WITH MATTHEW FOX: I warned him three times, and then here comes the fist, and he started wailing on me, so I started to swing back.
UNIDENTIFIED MALE: Did you hit him?
BORMANN: I did. I hit him in the mouth.
(END VIDEO CLIP)
HAMMER: There you go. Bormann reportedly hasn't decided yet if she's going to press charges, Kyra, but I am feeling that Fox is probably sporting a few bruises from this encounter and not just the physical ones.
PHILLIPS: We might see her in ring possibly the next big fighter.
HAMMER: Look out.
PHILLIPS: Yes, really. Great to see you. Well, Dick Cheney says his new book is going to make heads explode in Washington. As you can imagine, our political panel may have a few other ideas.
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PHILLIPS: Checking top stories. Libyan rebel leaders giving Gadhafi loyalists until Saturday to surrender towns or face a military onslaught. Moammar Gadhafi's whereabouts still unknown.
Philadelphia Eagles quarterback Michael Vick has signed a six-year $100 million contract. Just two seasons ago, Vick was a third string quarterback after coming out of prison.
And Tropical Strom Katia is way out in the Atlantic Ocean, but expect the strength and speed up - Katia will make landfall in the U.S.
All right, "Political Buzz", your rapid fire look at the best political topics of the day, three questions, 30 seconds on the clock and playing today is Democratic strategist Keith Boykin, first time with us, by the way. Comcast Network D.C. bureau chief, Robert Tronaman and CNN contributor, Will Cain.
Gentlemen, the first question, Dick Cheney's book hits the stands today. We are all talking about it, so will heads really explode over this, as he says it will, or is this just a book rehashing eight years of Bush, Keith?
KEITH BOYKIN, DEMOCRATIC STRATEGIST: I think my head is going to explode if I have to watch Dick Cheney on another television interview. I've seen this guy everywhere talking about this rehashing the past eight years. It's almost like he takes no responsibility for anything that went wrong during the Bush administration and everything that went well is his responsibility. He is pushing it off on everyone else because I think he is saying I'm right and everybody else is wrong.
PHILLIPS: Will?
WILL CAIN, CNN CONTRIBUTOR: You know, Kyra, there is a reason that people like Chris Christie. And it's the same people that people like Howard Stern, it's because they tell you exactly what they think with no regard to your feelings or whether or not you agree. Dick Cheney is in the same mold. Now, he's written a book. It tells insider stories and he doesn't care if you agree with him. He doesn't care if it hurt your feelings.
And I don't know if it will make your head explode, but I promise you this, Keith, it's not a rehashing of the last eight years.
PHILLIPS: Robert?
ROBERT TRAYNHAM, COMCAST NETWORK: What do you when you try to sell books? You make explosive headlines. And so, what Dick Cheney is doing is, is he is creating a bit of a sizzle out there and said, you know what? Read my book and I'm not sure about people's heads exploding. But definitely, egos will be bruised. And I think we saw that over the weekend with Colin Powell and Secretary Rice making comments contrary to what Vice President Cheney said on the book.
So, what Dick Cheney is doing is what every single person does who wants to write a book, who actually wants to be on the "New York Times" bestseller list, they make explosive headlines.
PHILLIPS: Yes. And look at all of us, we're talking about it, right? We are falling right into the sell the book club. Yes.
All right. Let's move on. Alan Krueger is now Obama's lead economic guru. But he's not a new face, as we know, within the White House crowd. So, what do you think? Is this just a reshuffling of the deck? Will?
CAIN: Yes, a reshuffling of the deck. Look, this guy was assistant Treasury Department secretary under Obama. He's friends with Summers and Geithner and Goolsbee. It's the epitome of the continuity appointment.
But you really can't blame them after losing Summers and Roemer and Goolsbee. You know, that's a fact and not a critique. I think it's probably what they need to look for. Besides, it's not like there is some imaginative new tactic or idea that the government can impose to fix the economy lurking out there. So, a continuity appointment for this administration is probably the right move.
PHILLIPS: Keith?
BOYKIN: No, it's not just reshuffling the deck. He's a brilliant economist. He's done some smart work on the minimum wage. He is going to help the administration, I hope, with the jobs proposal that they are working on right now and help to do more on the jobs agenda, because, really, that's the issue that most Americans are concerned about.
So, to pick somebody who has the specialty and the expertise in the field of jobs and in the field of creating jobs or doing something about unemployment is a smart move by President Obama and I think it will help not only with the president's election, but with the economy in our country.
PHILLIPS: Robert?
TRAYNHAM: You know, in many ways, I don't want anyone's head to explode here, but in many ways, President Obama is very similar to President Bush in terms of predictable. President Obama likes to have people around him that he is comfortable with and that he also knows that he has a relationship with. And so, having this person come back to the administration is predictable on the president's part.
The unfortunate thing about it is that there is no fresh thinking there and I think that's the frustration that a lot of people of Wall Street but also with Main Street have with this president.
PHILLIPS: All right. Guys, your buzzer beater and 20 seconds each for this one.
Michele Bachmann reportedly spent 4,700 bucks getting a makeover as her campaign got under way. So, let me ask you -- who else should be spending that kind of money getting a makeover? Robert?
TRAYNHAM: I think that every single presidential candidate out there should use $4,700 to kind of bust a move, if you will, to get out there and do something with the new sound track to kind of, you know, drum up some kind of enthusiasm on the campaign trail. So every person should get out there and kind of bust a move a little bit.
PHILLIPS: Will?
CAIN: I have no idea what that means, Robert. No idea.
PHILLIPS: I guess we know that Will has no rhythm. That is what he is saying.
TRAYNHAM: Come on, Will. Give us some rhythm here, Will. Come on.
CAIN: No chance. No, no, I will leave that to my friend Pete Dominic.
Here's your answer, though, Kyra, Ron Paul -- Ron Paul. The guy has a message that exists way outside of the mainstream and yet resonates with a ton of voters. But the problem is that most of us who like him know that he is the wrong salesman for his ideas, and he does not quite put it together. So, a $4,700 makeover could do Ron Paul a lot of good.
PHILLIPS: Keith?
BOYKIN: Well, I think that I have two choices. One, I'd have to say that the Republican supercommittee which they choose six white men to basically decide what's going to be the direction of our country in leading the economy.
But my second choice in the presidential field has got to be Rick Perry. I mean, haven't we seen this whole show before, and the whole George Bush Texas twang thing? I think people are t tired of that. He's got to figure out a way to represent himself, introduce himself in a way that doesn't looking like the tired old package of the past.
CAIN: They never tire of that, Keith. Never tire of that.
PHILLIPS: And I bet --
CAIN: We Texans are leaders.
PHILLIPS: I bet Rick Perry can two-step.
CAIN: I bet he can.
BOYKIN: And the Texas two-step, right.
TRAYNHAM: And by the way, the two-step is probably in $4,700 cowboy boots.
PHILLIPS: Oh, I have seen the cowboy boots years ago. That's right. And don't forget the tight Wranglers either.
Gentlemen, I'll be talking to you later.
All right. Facebook makes a change. They're dropping one of their newest features. We're going to tell you about it right after the break.
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PHILLIPS: OK. We have got the obvious effects -- more obvious effects of Hurricane Irene. It is coming to us from the affiliate News 12 out of New Jersey. It's flooding that is coming up near I- 287. That eventually connects into I-80 there in Parsippany, New Jersey. Crews are on the scene trying to fill it in.
Here we go. We got a good picture now, pretty steady picture. You can see the crews in there. Basically, the water was kind of chipping away at the road, making its way closer to the interstate, but they've got crews there trying to fill it up. You can actually see the water and how close it is to interstate traffic, it's pretty backed up for miles there. We are going to keep an eye on that for you.
Other stories across country now.
Barack Obama's uncle has been arrested on DUI charges. Police in Massachusetts say that Onyango Obama failed the field sobriety test and a federal law enforcement source is telling us that he is also in the country illegally. The White House does confirm he is the half brother of President Obama's late father.
And a wild attack in a Ohio courtroom. It's all caught on tape. The man appeared in court for a trespassing charge. Clearly, he was very upset because he hurled the backpack at the judge who managed to duck under the bench. The officers there jumped into action, tackled the guy to the ground.
Michael Jackson's fans and family friends celebrating what would have been the king of pop's 53rd birthday. Yesterday, hundreds of people gathered outside Jackson's childhood home in Gary, Indiana, and the Jackson's three children actually made a rare public appearance as well.
(BEGIN VIDEO CLIP)
PARIS JACKSON, MICHAEL JACKSON'S DAUGHTER: We have adjusted over the past years, and I think that coming here and seeing our dad's old house and all of the fans coming out, I think it is sweet that they did that.
(END VIDEO CLIP)
PHILLIPS: Fans also gathered in Los Angeles where a flash mob performed thriller.
Alison Kosik in the New York Stock Exchange where it's a down day for the markets actually and a new report on consumer confidence was released at the top of the hour. So, what does it tell us about the economy, Alison?
ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Not too inspiring, Kyra, to be honest with you. You know what? Americans think that the economy is in really bad shape.
Consumer confidence plunged this month, hitting a two-year low -- in fact, falling to a level that we haven't seen since the recession. But you have to remember that there is a lot going on in August and the debt ceiling debate with the S&P downgrade of the U.S. debt. All the stock market volatility. So, guess what? More people expect business conditions, the job market and incomes to just get worse over the next six months.
Of course, those worries could hit spending, and that's a big problem, too, because spending is a big engine of growth -- Kyra.
PHILLIPS: All right. We're moving over to Facebook. We hear that they are ending one of their newest features. What's going on?
KOSIK: Guess what? Facebook is waving the white flag. It's ending its daily deals program. And this turns to be a win for daily deals sites Groupon and Living Social.
Facebook's daily deals program is only four months' old, and only lasted four months. What it's trying to do is expand its revenue stream beyond advertising.
Facebook obviously didn't succeed in that, because the problem is Facebook was trying to get into a market that was already established and has a group leader. Groupon it's been offering local deals since 2008 and it could be going public soon, not sure yet which stock exchange it's going to choose.
Speaking of stocks, let's look real fast. The Dow, by the way, down 59 points right now -- Kyra.
PHILLIPS: OK. Alison Kosik, thanks so much.
And with the economy top of mind for many Americans, the pressure is on the White House to drum up ways to jump start the market. President Obama picked a Princeton professor to be his top economic adviser.
Christine Romans is joining us from New York.
So, Christine, the president wants to add Alan Krueger to the rooster. So, let's talk about what he can do.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: There's what he can do and what he wants to do, because the job narrative right now, Kyra, reads like this. The president must do something big, he must do something bold. He's got to create jobs in this country now.
Or the president has got to simply un-do everything he's done. Erase his agenda, and get out of the way so jobs can be created.
Don Peck writes about the middle class. I asked him about this. He says he is in the camp that says the president must do something, and here is what.
(BEGIN VIDEO CLIP)
DON PECK, DEPUTY MANAGING EDITOR, THE ATLANTIC: More infrastructure spending, deeper extended payroll cut, and jobs credits to employers who make new hires. These are all things that we need to be doing. They are tools that we have available, that we are not using adequately. You know, we switched to austerity to a large degree to the debt reduction deal, the debt ceiling deal. And that's a mistake in this kind of economy.
(END VIDEO CLIP)
ROMANS: But, you know, Kyra, more of the same, more spending, more infrastructure spending, more unemployment benefits will is not going to fly with conservatives like the "Wall Street Journal's" Stephen Moore.
(BEGIN VIDEO CLIP)
STEPHEN MOORE, SR. ECONOMY WRITER, WALL STREET JOURNAL: This is problem I have with the Obama agenda, in general, is that we tried these things, they don't work and then we try more of it.
(END VIDEO CLIP)
ROAMNS: Yes, they don't want more of it and many of them say that Alan Krueger is someone who is likely to be asking for more of what we have already done.
You know, Wisconsin Senator Ron Johnson, a Republican, is also blasting the White House, Kyra, for having, quote, "no clue of how to create jobs. He says that undo the agenda. Repeal health care reform. End the stimulus. Scrap Dodd/Frank banking reform.
Kyra, we are shaping up to have a pretty big fight on our hands about how to create jobs.
PHILLIPS: Well, back to Krueger for a second, I mean, he has to get the thumbs up from the Senate, right?
ROMANS: Yes, he does. And I'll you something. He is a known quantity. He's worked in this administration before, he's worked at Treasury. And so, all of the people I'm talking to the are expecting him to be confirmed.
They don't expect a bruising battle there. The bruising battle they are expecting is over what the president wants to do to create jobs and whether the Republicans are going to go along with it. I mean, there simply this idea that stimulus didn't work, the president's ideas have not worked -- anything warmed over that we have tried before is not going to work. And that's not something that the Republicans will not let go of.
I will say one last thing, Kyra, the CBO, the Congressional Budget Office, this week, it had to do a report on the stimulus, and the fact-checker, if you will, on the stimulus, and said that the stimulus has created jobs. It is still adding to the economy, but not as much as the White House promised. That's what opponents of it will jump on. And they say anything that looks like the stimulus in the president's job plan will not fly.
PHILLIPS: All right. Christine Romans, thanks for weighing in.
Well, Michael Vick's comeback story goes gold. Vick signs a $100 million contract with the eagles. We're going to show you where Vick ranks with the top paid NFL stars.
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PHILLIPS: Just two years after getting out of prison, Michael Vick has hit the jackpot, $100 million payday.
Jeff Fischel, it is interesting. He is one of the most hated men in America at least with the animal activists for sure.
JEFF FISCHEL, HLN SPORTS: Yes.
PHILLIPS: And, you know, he went through a lot of repenting and, wow. Look it.
FISCHEL: You know, really, there was a time, right, when people thought, no one is going to want him on the team,
PHILLIPS: Right.
FISCHEL: Owners won't going to touch him. But he came back. He was kind of quiet, went to the Eagles, didn't play much his first year.
This last year, he was incredible. He led the team to the playoffs, he was the comeback player of the year, made the Pro Bowl. He was rewarded big time -- $100 million contract over the next six years.
The key for him and for any NFL player, $40 million of it is guaranteed. NFL contracts are not guaranteed or at least not all of it is. So, he gets $40 million for sure over the next six years, though he could make $100 million if he's as good as he has been and was last year, which is in of itself pretty incredible, considering he missed the game for two full seasons while he dealt with all the legal battles, including going bankrupt as well.
PHILLIPS: And where does he rank with all -- who is he next to regard of the highest paid players?
FISCHEL: Of course now, he is one of the top players in the NFL salary, not the top. Number one is Peyton Manning. He's making about $23 million in 2011. There you see Sam Bradford, one of the great up and coming quarterbacks number two.
Michael Vick, because of the way the NFL counts the salary money and the salary cap, he's right in there. This year, they will count $14 million against the cap, still one of the top paid players in the lead, and, of course, that will help him, because even though he is making the money, he still has money that he owes people.
PHILLIPS: He's got a lot of debt, right?
FISCHEL: He does. You know, by some estimations, about $12 million. In fact, he's been on allowance ever since he's been out of prison. He's allowed to spend about $4,500 a month. Someone is keeping track of every penny. The only real extravagance I think I've seen is that he lets the kid go to private school I guess to give them some privacy. But other that, really, every penny has been watched. It looks like now, finally, he'll be able to get out from under the debt and move on.
I guess that's' really been the issue, right? That people feel, should he be able move on, or should he still continue to have to pay for what he did?
PHILLIPS: Well, he is doing a lot of speaking, and we are hearing an interview on NPR not too long ago, talking about he's speaking to kids and he's trying to talk to them in not doing what he did, and he's been giving money to animal rights folks, et cetera.
FISCHEL: To his credit, absolutely. He has not been quiet. He said what he is supposed to say and we hope he means it when he says it, because he really has been talking about knowing that he did something wrong.
PHILLIPS: All right. Well, let's talk tennis now. We're going to move on to the U.S. Open and going on in New York. You have been talking about this, Jeff. Venus Williams in a pretty unusual spot, unseeded. Taking on Russia's -- help me out.
FISCHEL: Vesna Dolonts.
PHILLIPS: Thank you. In the first round of the U.S. Open, right?
FISCHEL: Well, there is practice required for her name.
PHILLIPS: Venus gets the back hand there. And Tony Bennett was in the house. Take it from here.
FISCHEL: And Venus looked solid, right? I mean, she has not won the U.S. Open in 10 years. He's been struggling with injuries. So, you have to wonder, will she come back this year? Because the crowd loves her at the U.S. Open. They really do.
And then, of course, on the men's side, everyone is keeping on eye on Rafael Nadal. He is number two seed this year, not one. He goes on the court the night. He actually sat down with Carol Costello, talked about how the U.S. Open crowd fires him up.
(BEGIN VIDEO CLIP)
RAFAEL NADAL, TENNIS PLAYER: I love the crowd here. I think that I have a big support from them last years, and hopefully, this year I will have, too. So, I feel a lot of passion when I go on this court. It is the biggest court on the tour, and the crowd is hard. So I love playing here in New York.
(END VIDEO CLIP)
FISCHEL: It is a completely different feel to play in New York especially at night. He says he does not change the strategy depending on his opponent, depending on night versus day. But talking about night, there is one great moment from the interview. He admitted that he doesn't like to sleep in the dark. He is afraid of the dark.
(LAUGHTER)
FISCHEL: Can you believe it? He goes to bed with the lights on and the TV on and the computer on.
PHILLIPS: Oh, my gosh. That is like when I saw the movie "Psycho" as a kid and I could not shower with the curtain closed. We all have our weird things going on.
FISCHEL: One of the great tennis players of all time afraid of the dark.
PHILLIPS: I love it. He is afraid of the dark. I am sure there are a lot of ladies who would make sure he is OK.
FISCHEL: And there were pictures that came out this week that the ladies were a big fans. Yes.
PHILLIPS: Another story.
FISCHEL: Yes, exactly.
PHILLIPS: Jeff, great to see you. Thanks.
FISCHEL: OK.
PHILLIPS: All right. We're going to continue talking about hurricane Irene and the flooding that is still happening, the rescues still going on. Among them, check this out. A little brand new baby held in the arms of the rescuer. We've got the latest.
(COMMERCIAL BREAK)
PHILLIPS: Well, Irene is off of the map, but the problems it created are far from over. Take a look at this. A baby in the arms of an emergency worker in Paterson, New Jersey. The little infant is just one of some 500 people rescued in the last 24 hours in Paterson, and the police department is still getting calls this morning from people asking for help to get them out.
Flood victims are being taken to local community college, but a Paterson police sergeant told me last hour that the college is near capacity with those victims.
I asked spokesperson from the Passaic County Office of Emergency Management about the rising waters in the region, and here's what he told me.
(BEGIN VIDEO CLIP)
EDWARD O'CONNELL, PASSAIC COUNTY OEM (via telephone): A of 9:00 a.m. Tuesday, the Passaic River at Little Falls was at 14.19 feet and it was still rising. So, they are expecting it to crest at some time today, and the other rivers will be rising at little bit as well. And they are expecting them to crest as well today.
(END VIDEO CLIP)
PHILLIPS: And at least seven people have been killed by the flooding there in New Jersey.
We got a live picture to show you. Just east of Paterson now, this is Little Falls, New Jersey, 15 miles north of New York City. Massive flooding there after the river crested overnight, the highest level in more than 100 years, at least seven feet above flood stage right now.
Coming up in the next hour of CNN NEWSROOM with Suzanne Malveaux, first it was Osama bin laden, and now, al Qaeda's number two commander is dead. So, 10 years after the attacks on September 11th, is this terror network still a threat to the U.S.? We'll talk about it when the NEWSROOM continues.
(COMMERCIAL BREAK)
PHILLIPS: Well, the Tea Party Express is rolling eastward and our Jim Acosta has news about a pretty big rally that's going to happen this weekend. Hey, Jim.
JIM ACOSTA, CNN CORRESPONDENT: Hey, Kyra, that is right. The Tea Party is gearing up for the presidential race next year. They have the Tea Party Express bus tour crossing the country right now. Today, they are in Nebraska.
But coming up this weekend, a different Tea Party group is holding a different rally in Iowa and it's going to be an interesting billing, Kyra. You probably have heard that Sarah Palin will be at the event in Iowa this Saturday -- a lot of people were wondering whether or not she'd announce her campaign for president. She's sort of waiving everybody off of that.
But something to note about this event on Saturday. She's got a pretty interesting warm-up act that's worth noting. Christine O'Donnell, you know, remember her? The former Tea Party-backed candidate for Senate in Delaware? Well, she is going to be giving the speech setting up Sarah Palin's address to Tea Party activists out in Iowa this weekend.
So, we are all going to be watching that one. That's going to be too good to pass up.
And, you know, another Tea Party favorite, Rick Perry, is doing quite well these days. The latest CNN/ORC poll shows him the new front-runner or the new leader in the Republican field, up 13 points over Mitt Romney. The former Massachusetts governor, Romney, is giving a speech down in Perry's home state of Texas in the next hour where he is expected to give at least it looks like this way, in his prepared remarks.
He's expected to give a pretty serious dig at Perry, according to some of the remarks that were e-mailed out by the Romney campaign. The former Massachusetts governor is expected to say that the country is in a big mess right now, I'm paraphrasing and career politicians, to use Romney's words, can't get out of this.
So, a bit of a swipe there with Rick Perry. It's just starting to heat between these two. It's going to be the one to watch, Kyra.
PHILLIPS: It's going to get more intense I'm sure. Jim Acosta out of D.C. there -- Jim, thanks so much.
That does it for us. We'll see you back here bright and early in the morning.
Suzanne Malveaux is taking it from the top.
