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Romney Comes out Swinging in Debate; New Details on Obama/Brewer Spat; U.S. Economy Grows; Freed Hostages Decompress; Fighting for the Latino Vote; Ford: Biggest Annual Profit Since 1998; Obama on Affordable Colleges; Joe Paterno Remembered at Memorial; "Welcome Back Kotter" Actor Dies; Demi Moore's Health Problems
Aired January 27, 2012 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: Good morning. Have a great weekend, Soledad.
Four days until the high stakes Florida primary and Mitt Romney hammers Newt Gingrich on everything from his investments to his ads to a moon base. Yes, a moon base. Just listen as things got pretty fiery over immigration.
(BEGIN VIDEO CLIP)
WOLF BLITZER, CNN ANCHOR: Is he still the most anti-immigrant candidate?
NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: I think of the four of us, yes.
BLITZER: Go ahead, Governor.
MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: That's just simply inexcusable. That's inexcusable. And actually, Senator Marco Rubio came to my defense and said that ad was inexcusable, and inflammatory and inappropriate.
Mr. Speaker, I'm not anti-immigrant. My father was born in Mexico. My wife's father was born in Wales. They came to this country. The idea that I'm anti-immigrant is repulsive. Don't use a term like that.
You could say we disagree on certain policies, but to say that enforcing the U.S. law to protect our borders, to welcome people here legally, to expand legal immigration as I approve, that that's somehow anti-immigrant is simply the kind of over-the-top rhetoric that has characterized American politics too long, and I'm glad that Marco Rubio called you out on it.
I'm glad you withdrew it. I think you should apologize for it and I think you should recognize that having differences of opinions on issues does not justify labeling people with highly charged epitaphs.
(END VIDEO CLIP) PHILLIPS: Whew, Mark Preston. Whole new Mitt Romney there. What do we know about GOP debate coach Brett O'Donnell working with Romney? And do you think it's going to stop Gingrich's Florida surge?
MARK PRESTON, CNN SENIOR POLITICAL EDITOR: Well, you know, Brett O'Donnell, a little bit of insider talk here, but really shows what happens when Mitt Romney becomes focused. And that's what we saw last night during this debate.
If we look back at that exchange right there, Kyra, it shows that Mitt Romney was not wavering in anything. He was very direct in his criticism of Newt Gingrich. He was very, very direct in defending himself against any charges regarding, of course, what we heard about there, immigration, or about his own personal finances.
You know, Brett O'Donnell is somebody that you would never recognize on the street, but he's really a very important person in Republican politics. He was Michele Bachmann's debate coach and one of her top advisors for her presidential run. And if you remember back when she was running for president, she was very good in the debates.
Now Brett O'Donnell also is a long-time GOP hand. He was John McCain's debate coach. He also worked on Bush/Cheney. And get this. Where did he learn all this? At Liberty University where Brett O'Donnell was an award-winning debate coach for that school. So someone we haven't heard from or you would not know about but really has helped Mitt Romney turn things around publicly -- Kyra.
PHILLIPS: Well, Tuesday's vote could be a game changer now in this race, and winning Florida is critical.
PRESTON: It's huge because if Mitt Romney is able to win here in Florida, if he's able to win here big, all the momentum will shift back towards him. Now when Newt Gingrich came out of South Carolina a lot of folks were saying, look, Mitt Romney is not the inevitable nominee.
What the Romney campaign is trying to do right now, though, is to try to change that narrative and put it back on track.
Also, after Florida there's a little bit of a stretch now, Kyra, where there's going to be some contests but really it's not until the end of February where Michigan and Arizona will be voting. So whoever can win Florida, even if it's just by a few points, they'll have some wind at their back as they head down into the stretch heading into Super Tuesday, which will be March 6th -- Kyra.
PHILLIPS: OK. Mark Preston, thanks so much.
And Tuesday all eyes are on Florida. Once again, join Wolf Blitzer, Erin Burnett, Anderson Cooper, Candy Crowley, and John King for live coverage of the Florida primaries. CNN Tuesday night beginning at 6:00 Eastern.
Well, we know more about that testy exchange between President Obama and Arizona's Republican Governor Jan Brewer now. It was ignited by this letter that Brewer gave the president as he stepped off Air Force one inviting him to meet with her.
He responded saying, she had misrepresented their last meeting in her book, and that led to a much publicized photo of her wagging her finger in the president's face.
(BEGIN VIDEO CLIP)
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: What I've discovered is is that I think it's always good publicity for a Republican if they're in -- in an argument with me, but this was really not a big deal.
DIANE SAWYER, ABC NEWS: Were you tense?
OBAMA: You know, Diane, I'm usually accused of not being intense enough, right? Too relaxed.
(END VIDEO CLIP)
PHILLIPS: Brianna Keilar at the White House. Nice and relaxed this morning.
So, Brianna, the president seems to be laughing it off, but is it really over?
BRIANNA KEILAR, CNN WHITE HOUSE CORRESPONDENT: Well, I mean, we're certainly still talking about it. And I think that's because there's a lot of interest when you have someone that kind of gets in an intense conversation with President Obama. It doesn't happen very often, but I think right now, though, if you talk with administration officials, they just kind of think, you know, whatever. They're not really surprised.
And I think really the president kind of said it there what a lot of the people behind the scenes are saying. There's really no difference between what they're saying behind the scenes and what President Obama is saying. They feel that it is a bit of a publicity stunt.
And you heard Jan Brewer, Kyra, saying that the president changed the subject after this invitation to meet with him. And -- the point that the White House is making is there was no subject change. She invited him to a meeting and he was saying, we had a meeting before, it went pretty well, and you misrepresented it.
She is standing by her account of the meeting that she had with the president here at the White House. But in short, Jay Carney, the press secretary here at the White House on the road with the president, saying that she did misrepresent that. So they're essentially accusing her of sort of lying about that meeting that she had at the White House -- Kyra.
PHILLIPS: All right, now, meanwhile later on this hour we will take it live. The president is going to be talking about the importance of keeping college affordable. Tell us more about this speech.
KEILAR: That's right, Kyra. The president is speaking at the University of Michigan this morning, and this sort of -- obviously it follows on what he talked about in the State of the Union. And it's kind of a two-pronged approach when he's talking about education. He's always said that education and pursuing education to make the future of America is important, but there's also this economic bent to it.
Everything has an economic angle with the climate being what it is, no surprise. So he's focusing very much on affordability. Increasing Perkins loans to schools but saying to schools you have to keep costs under control. And we're going to be tying that aid that we give to you to you making sure that things are affordable for students.
He's really trying to speak to a lot of Americans because student loan debt is a very big concern for so many Americans. So trying to do a twofer here with education and affordability -- Kyra.
PHILLIPS: OK. Brianna, thanks so much.
And we're going to have live coverage of that speech when the president starts talking about affordable college about 9:45 Eastern Time. We'll take it live.
More evidence that the nation's economy is growing. Just minutes ago we learned that the Gross Domestic Product grew by 2.8 percent last quarter.
Christine Romans, let's get down to basics and talk about what this means to you and me and the rest of America.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Good morning, Kyra. It means things are getting a little bit better. And you know right here in Jacksonville the whole discussion, so much of the discussion about housing and so much of the discussion last night at the debate about the economy, but this morning new details about the economy and that it is growing. 2.8 percent in the last three months of the year.
How does that compare? It's better than the second quarter when it was 1.8 percent. It's really the best since 2010. I mean when you take a look at it, it shows you that the economy slowed down last summer. We were worried about that double-dip, remember. And then it's picked up some momentum later in the year.
We see little anecdotal evidence of maybe some recovery late in the year on consumer spending, late in the year on housing. At least some evidence of that on housing. And the question, though, is will it continue? Will it continue into the new part of the year?
There you can see the graph. I mean look back, that shows you that last year the economy started out very, very slowly. We were really worried, really worried about a double-dip recession, and then look, slowly but surely each quarter got a little bit better. Now 2.8 percent, that is not enough. That is not enough to really dig into the unemployment rate, to really dig into a lot of the problems we have, but it is showing you the economy moving in the right direction -- Kyra.
PHILLIPS: That's good news. Christine, thanks so much.
We've also got new details this morning on the two hostages rescued by U.S. Navy SEALs. American Jessica Buchanan and her fellow aid worker from Denmark are getting special attention now at a U.S. military base in Sicily.
Zain Verjee has been following this for us out of London.
What do you know about the ongoing care, Zain, and also the international reaction now to this rescue?
ZAIN VERJEE, CNN INTERNATIONAL ANCHOR: Good morning, Kyra. Well, they're going through what's called a transition process. You get a health check and then also when you've been a hostage for a really long time, you have to be psychologically re-integrated back into society. It's something that a lot of military personnel have to go through, so that's some of the things that they're experiencing right now.
Let me just give you a sense of the newspaper headlines around the world because this has grabbed them. The "National Post" in Canada says this, "The right way to deal with Somalia's thugs." It says, "The more money is handed over for hostages, the more hostages are likely to be taken. That's why Barack Obama's decision this week to send Navy SEALs into Somalia to rescue Miss Buchanan and Mr. Thisted was the right one.
A headline from the Philippines. This is "The Freeman," that's their paper there. Headline says, "So it can be done." It goes on to add, "Very unfortunate for the hundreds more Danish, Indian, Korean, and Philippine sailors still being held captive by Somali pirates when their vessels were hijacked in the areas of the Gulf of Aden. I would surmise that a rescue by U.S. Navy SEALs is not in their future."
That really does underscore an important point, Kyra. You know you have Indians, South Koreans, Filipinos, other Danes whose countries won't necessarily deploy their Navy SEAL teams to rescue. And a lot of these individuals, too, still being held hostage are being held in isolation. And they don't have a big company behind them that will shell out a ransom to pay for them. So it's a tough situation there on the ground for people that have no representation -- Kyra.
PHILLIPS: Zain, thanks.
And still ahead, the battle for the Latino vote. Candidates reaching out. The GOP zeroing in. Republican consultant Alex Castellanos is joining us right after the break.
And a drug delivery to the U.N. a shipment of cocaine arrives in the mail room. We've got more straight ahead.
(COMMERCIAL BREAK)
PHILLIPS: Let's check stories "Cross Country" now.
Two Utah high school students are accused of plotting to bomb their school. Eighteen-year-old Dallin Morgan, who you see here, and a 16-year-old. Allegedly they planned to set off explosives and escape in a stolen plane. A fellow student actually alerted school officials after he got a strange text.
A federal judge says Transocean cannot be sued by third parties for this oil spill, the worst in U.S. history. Transocean owned the deep water horizon rig that exploded in the gulf. Transocean is still potentially liable, though, for civil lawsuits.
In Minnesota two cars fell through a frozen lake popular with ice fishermen. No one was hurt, but it took recovery crews all day to cut through the ice and pull the cars out.
Well, no rest after the debate for Newt Gingrich as you can see. He's speaking in Miami right now to the Latin Builders Association. Let's go ahead and listen in.
(BEGIN VIDEO CLIP)
NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: -- as the focus, innovation achievement. Take the package I just gave, and I think you start to see how you could have a dramatically better economy, dramatically more jobs.
KYRA PHILLIPS, CNN ANCHOR: Well, no rest after the debate for newt Gingrich as you can see. He's speaking in Miami right now to the Latin Builders Association.
Let's go ahead and listen in.
NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: -- is to focus on innovation. Take the package I just gave, I think you start to see how you could have a dramatically better economy, dramatically more jobs. And remember, in the long run, the answer to the housing crisis is getting people to work. If people are at work and they're rising in income, they're going to rise in purchasing. You say 8.5 percent, 9 percent, 10 percent unemployment, it's going to be very hard for anything to recover because you don't have a demand-driven model where people have resources. That's part of why I emphasize so much job creation.
Let me also take a minute because you are concerned about Latin America. I really want to see a strategy which dramatically expands Miami's role in reaching ought to all of Latin America. One of the things I want to do is take Mexico, which is currently under the North American Command in I think it's now in Omaha, I want to move it from there back to Southern Command, which is right here near the airport. It seems to me the Southern Command should, in fact, be responsible for all of Latin America.
I also want to dramatically increase resourcing for the Southern Command. If you lack at how thin we are in terms of the number of people we commit to Latin America and you compare it to Bahrain, or UAE, or Kuwait, or Afghanistan, I mean, or Germany, or Japan -- I mean, we really totally neglect Latin America compared to its relative importance. The results are very dangerous. The results are a major drug war --
PHILLIPS: Newt Gingrich speaking live there. We will continue to monitor all the live events, of course, as we get ready for the Florida primary. Gingrich there speaking to Latin Builders Association in Miami.
Well, if you missed the debate in Florida last night on CNN, I want you to see one of the most impassioned moments of the showdown. It was over illegal immigration. It was actually Mitt Romney that really went off defending his record last night.
(BEGIN VIDEO CLIP)
MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: I'm not anti- immigrant. My father was born in Mexico. My wife's father was born in whales. They came to this country. The idea that I'm anti- immigrant is repulsive.
(END VIDEO CLIP)
PHILLIPS: Well, Latinos make up nearly 1/4 of Florida's population. So, candidates really battle it out on issues that will win those votes.
Republican consultant and CNN contributor Alex Castellanos was paying close attention to this.
So, Alex, who did the Latinos love?
ALEX CASTELLANOS, CNN CONTRIBUTOR: Well, I think last night, all the Republicans I think handled themselves pretty well on immigration, but Latinos, I think like all other Americans, love strength, the strong father figure in the family. And I think the candidate that displayed the most strength last night was Mitt Romney.
Newt Gingrich was that candidate in South Carolina, but he didn't seem to be as aggressive last night. And when Romney went back at Gingrich on immigration, when Romney went back at Gingrich on his investments, he created what had we call in campaigns a moment of strength. That's that moment that's going to play over the next few days in the news media, so I think the edge last night to Romney.
PHILLIPS: OK. Let me ask you this, Alex. Let's get even more specific and really define the Latino vote. Cubans lean Republican, Mexicans largely Democrat, and Puerto Ricans pretty much split.
So, how do you find a common appeal?
CASTELLANOS: Well, I think people who come to this country -- the immigrants, for example, in Florida -- come here for opportunity. They come here to build a better life for their families. It's an aspirational vote.
The biggest thing is really not immigration. The biggest thing is the economy. And who lifts their eyes over the horizon, who tells them tomorrow's going to be better than today?
Last night we didn't really hear a lot about that from the Republican candidates, in all fairness. They kind of just went back and forth at each other. The way to go after the Hispanic vote is to say, look, we can take you to a better place. There's more opportunity for you in this country.
PHILLIPS: All right. So how about these Spanish language ads and the impact that they had or are having. Let's take a quick look at this one coming from the Romney campaign. You'll see why I'm asking this.
(BEGIN VIDEO CLIP)
NARRATOR (speaking Spanish): And Reagan definitely would have never offended us, Hispanics, as Gingrich did by saying that Spanish is the language of the ghetto. Now, searching for votes, Gingrich wants to change history --
(END VIDEO CLIP) PHILLIPS: So here's my question, Alex. Breaking barriers or some critics say disingenuous. After all, none of these candidates actually speak Spanish.
CASTELLANOS: Well, it shows you the growing importance of the Hispanic vote, not only in Florida, but now we have in so many swing states, Nevada, New Mexico, Colorado. You're seeing candidates for the first time really with powerful negative and positive campaigns on Hispanic media, and they make a difference.
You know, a lot of these negative ads are old news to us in the English language but breaking into the Hispanic markets with tough punch and counter punch, that's kind of new and it's very effective.
PHILLIPS: Alex Castellanos -- thanks for weighing in, Alex.
CASTELLANOS: Good to see you.
Ford posts its biggest profits since 1998, but a big tax credit is what really fueled the automaker. We'll talk about that next.
And cocaine seized in the United Nations mail room. What police are saying about the investigation.
(COMMERCIAL BREAK)
PHILLIPS: Well, needles to say this package truly surprised the United Nations mail room folks. A shipment of cocaine arrives with more than 35 pounds of drugs hidden in hollowed out notebooks.
Zain Verjee, how did you find out about this and what's the deal?
ZAIN VERJEE, CNN INTERNATIONAL ANCHOR: I don't know whether to laugh or to cry, Kyra. I mean, this is potentially very serious. But, I mean, cocaine at the United Nations?
You know, they're debating an important U.N. resolution on Syria here, you know? But the thing is that the mail room people were totally stunned because they discovered, as you say, in a hollowed out books 35 pounds of cocaine. It's worth something like over half a million dollars or something. They had these fake apparently U.N. emblems al over it.
Now, what police are saying, Kyra, is that this package originated from Mexico and it was sent to a post office in Ohio but the staff over in Ohio didn't know where it was supposed to go so the police are saying that they decided to send it over to the United Nations, which, you know, that's the first thought of most people, right, Kyra? If you don't know where to send it, send it to the U.N. It's got to be OK, right?
So, they sent it to the United Nations. There's no return address on this. So, the U.N. doesn't know what they're suppose today do with it.
But a spokesperson's come out, Kyra, and said, this shipment of cocaine ain't connected to anyone at the United Nations. Nobody is using it. Nobody --
PHILLIPS: I don't know about you. I would have sent it to the DEA, OK? I don't understand, you know, why --
VERJEE: Yes.
(CROSSTALK)
PHILLIPS: -- with the U.N.
VERJEE: Yes.
PHILLIPS: All right. We'll stay on I guess the trail and see what happens with this investigation. Definitely woke everybody up there in the mail room, quite a special package.
VERJEE: What? What? Yes.
PHILLIPS: Zain, thanks.
VERJEE: Yes.
PHILLIPS: Well, Ford Motors is revving its engine up today. The automaker said that it made $20 billion last year.
Felicia Taylor at the New York Stock Exchange.
All right. Let's talk about how big this is.
FELICIA TAYLOR, CNN CORRESPONDENT: Well, I'm still thinking about the suspicious packages at the U.N.
Ford though --
(LAUGHTER)
PHILLIPS: That got some engines revved up, let me tell you.
TAYLOR: Exactly. Anyway, Ford hasn't posted a profit this big since 1998. Compare that $20 billion to 2010 when ford made just $6 billion. Not just, but, you know, in comparison it's a smaller number.
But the devil is in the details in this report. And that's the big caveat. Ford benefitted from a huge tax credit, like about $12 billion worth. That's really where the gains come from.
Without that, annual and quarterly earnings actually missed estimates. As a result, Ford shares are down about 3 percent in pre- market trade. Earnings did improve so that's good news. It did sell more vehicles and at higher prices, it's just one of many recent signs of turn around in U.S. manufacturing.
So, that is a good sign for the overall economy and it's the first of the Big Three to report. We're expecting good news from all three of the big automakers in the United States -- Kyra.
PHILLIPS: All right. Felicia, thanks.
Well, Newt Gingrich accuses Mitt Romney of profiting from the big mortgage lenders.
(BEGIN VIDEO CLIP)
GINGRICH: Governor Romney owns shares of both Fannie Mae and Freddie Mac. Governor Romney made $1 million off of selling some of that.
ROMNEY: If you're not willing --
(END VIDEO CLIP)
PHILLIPS: More debate highlights straight ahead.
And also, Jesus and Mohammed, saving the U.S. and global economy? That's a title of a compelling new opinion piece on CNN.com. We'll talk to the author.
(COMMERCIAL BREAK)
PHILLIPS: Checking top stories.
Passengers on that wrecked Italian cruise ship will get $14,400 each in compensation. Separate agreements will be offered to anyone injured and family members of passengers who died.
Two rescued aid workers need time to decompress before speaking to the media. Jessica Buchanan and Poul Tisted were rescued from their kidnappers during a Navy SEAL raid in Somalia Tuesday night. They're recovering at a U.S. military base in Sicily.
And a heads up, NASA says an asteroid the size of a bus will pass close to earth today. The huge rock is expected to come close to 36,000 miles of the planet but it poses no danger to earth.
Well, well, if you missed the debate last night, give us 2 1/2 minutes. Here's the highlights:
(BEGIN VIDEOTAPE)
WOLF BLITZER, CNN ANCHOR/DEBATE MODERATOR: Is he still the most anti-immigrant candidate?
GINGRICH: I think of the four of us, yes.
ROMNEY: Mr. Speaker, I'm not anti-immigrant. My father was born in Mexico. My wife's father was born in Wales. They came to this country. The idea that I'm anti-immigrant is repulsive.
(APPLAUSE)
GINGRICH: Congressman Paul, you're a physician. You're 76 years old. You would be the oldest president of the United States if you were elected.
Are you prepared to release your medical records so voters out there know what your health is?
REP. RON PAUL (R-TX), PRESIDENTIAL CANDIDATE: Oh, obviously because it's about one page, if even that long, but --
(APPLAUSE)
PAUL: I'm willing to challenge any of these gentlemen up here to a 25 mile bike ride any time of the day in the heat of Texas.
ROMNEY: Speaker Gingrich was hired by Freddie Mac to promote them, to influence other people throughout Washington, encouraging them not to dismantle these two entities. I think that was an enormous mistake. I think instead we should have had a whistle-blower and not horn tooter.
GINGRICH: The governor has been attacking me inaccurately and he knows it. The contracts we released from Freddie Mac said I would do no consulting, no -- I mean, no lobbying, none. But there's a more interesting story. We began digging in after Monday night because I had had about enough of this.
We discovered to our shock, Governor Romney owns shares of both Fannie Mae and Freddie Mac. Governor Romney made $1 million off of selling some of that.
BLITZER: You said the U.S. should talk to everyone. Imagine you're in the Oval Office. You speak to Raoul Castro. What would you say to him?
PAUL: Well, I'd ask him what he called about, you know? What was the purpose of his call? No, I would ask him, what can we do to improve relations?
RICK SANTORUM (R), PRESIDENTIAL CANDIDATE: What's happened in Massachusetts is people are now paying the fine, because health insurance is so expensive, and you have a pre-existing condition clause in yours just like Barack Obama. So what's happening in Massachusetts, the people that Governor Romney has said he wanted to go after, the people that were free riding -- free ridership has gone up five fold in Massachusetts.
ROMNEY: Ninety-eight percent of the people have insurance, and so the idea that more people are free riding the system is simply impossible.
BLITZER: Congressman Paul, who's right?
PAUL: I think they're all wrong. I think this is a typical result of when you get government involved because all you're arguing about is which form of government you want.
(END VIDEOTAPE)
PHILLIPS: CNN political editor Paul Steinhauser live in Jacksonville for us.
There was a lot of big moments in those 120 minutes, Paul. What stood out most to you?
PAUL STEINHAUSER, CNN POLITICAL EDITOR: You condensed that pretty good there. That was very nice, Kyra.
A couple takeaways from this. First of all, listen, it was a big night for Mitt Romney, no doubt about that. The second strong debate, even stronger last night than he did on Monday night. What a difference from a week ago in South Carolina when it came to Freddie Mac, when it came to space exploration, when it came to illegal immigration.
Mitt Romney had Newt Gingrich on the roofs it seems. And that was one of the story lines of the night.
And I guess the second big thing there, it plays out of that was, where is Newt Gingrich's game? Listen, a week ago in South Carolina, Newt Gingrich had two huge debates. Newt Gingrich was on top of his game, Mitt Romney was on the defensive. That helped Gingrich win big in South Carolina, a bit of a role reversal.
And take a listen to what Mitt Romney said after the debate when he spoke to our Gloria Borger.
(BEGIN VIDEO CLIP)
ROMNEY: I think it's going to give me the boost that I need going into this very last couple of days before the primary.
GLORIA BORGER, CNN CHIEF POLITICAL ANALYST: (AUDIO BREAK) notice in taking on Newt Gingrich. You seemed to turn -- you seemed to sort of turn every attack you made on you into an attack on him, particularly the attacks he's made on the campaign trail about your finances and --
ROMNEY: When I'm shot at, I'll return fire. I'm no shrinking violet.
(END VIDEO CLIP)
STEINHAUSER: And check this out, Kyra. This is a brand new poll out this morning from Quinnipiac University of people likely to vote in Florida's primary here on Tuesday. Look at that on the left, Tuesday through Thursday Romney up by nine points. That was before our debate last night. Sunday and Monday, Gingrich was ahead.
So, it really indicates that Gingrich's big momentum coming out of South Carolina has faded -- Kyra.
PHILLIPS: What about Santorum and Ron Paul? You have to admit Ron Paul was pretty funny last night.
STEINHAUSER: Ron Paul was a riot. Second debate in a row where this guy has got a lot of great one-liners.
As for Rick Santorum, he was in a feisty mood. He really went on the attack after Gingrich and Romney, especially over health care. He needs to do something to get the poll numbers up here.
Hey, but one other star in the debate, he's not a candidate, he's a guy called Wolf Blitzer. You and I know him pretty well, the moderator. Newt Gingrich went after him early questioning Wolf about one of his questions that he asked Gingrich.
Take a listen to how it played out.
(BEGIN VIDEO CLIP)
GINGRICH: Wolf, you and I have a great relationship. It goes back a long way. I'm with him. This is a nonsense question.
(APPLAUSE)
GINGRICH: Look, how about -- how about if the four of us agree for the rest of the evening we'll actually talk about issues that relate to governing America?
BLITZER: Mr. Speaker, you made an issue of this this week when you said that he lives in a world of Swiss bank and Cayman Island bank accounts. I didn't say that, you did.
(END VIDEO CLIP)
STEINHAUSER: Nice job there by Wolf Blitzer standing up to Newt Gingrich. That was a big moment in the debate, Kyra.
PHILLIPS: All right. Paul Steinhauser, thanks for watching it with us.
And Tuesday, all eyes on Florida. Once again, Wolf Blitzer, Erin Burnett, Anderson Cooper, Candy Crowley, John King, and Paul Steinhauser, of course, they're going to be talking about the Florida primary. CNN Tuesday night, 6:00 Eastern, right here on CNN.
Next up, a final father well in honor of one of our favorite shows, "Welcome Back Kotter."
(COMMERCIAL BREAK)
PHILLIPS: Well, let's get now to the University of Michigan in Ann Arbor. President Obama about to speak. He's going address the rising cost of college and affordability that is slipping beyond the reach of many middle class families. As soon as he begins speaking, we will take that live.
Our chief White House correspondent Jessica Yellin is traveling with the president though. She joins us while we wait for this to begin possibly in about 15 minutes or so. So, Jessica, what more do we know about the president's plan?
JESSICA YELLIN, CNN CHIEF WHITE HOUSE CORRESPONDENT: Hi, Kyra.
Well, the president is proposing a number of steps to try to actually force colleges to keep tuition affordable, creating incentives for them to keep down costs using actual federal dollars to sort of favor those colleges that do have lower costs and also make it more evident. You know, they didn't use the word transparent, but sort of make it more obvious to people who are applying to college which colleges are adding extra costs, how they're doing it, so that you know when you're applying what you're really getting yourself into.
Part of this is because, you know, college costs are really going up. And colleges are a little upset about this saying, look, state budgets are being squeezed. We don't have that far to turn. They're setting up everything up there. People think the president's -- it's not the president coming.
But colleges are saying, you know, we don't have that far to turn so we have to increase tuition a little bit to get the job done. Part of this also though you have to keep in mind is the president really needs young people to turn out and vote for him. And this is an effort to help get young people invested in his campaign and show them he's doing something that matters in their lives, Kyra.
PHILLIPS: Got it. And we're going to take that live as soon as the president steps there to the mike.
And, Jess, I know it's happening right behind you, but I think everybody got excited because they put the presidential seal right there on the front of the podium which obviously got everybody fired up. Thought that was the entry point. But we will definitely give it to our viewers when the real deal happens.
You let us know, Jessica. Thanks so much.
YELLIN: We'll do.
PHILLIPS: All right. Well, coming up, we're going to talk to a CNN.com contributor who say babies named Jesus will save the economy.
(COMMERCIAL BREAK)
PHILLIPS: Let's check stories going cross-country now.
The man convicted in the killing of the Petit family may now face the death penalty. Dr. William Petit's wife and daughters were brutally murdered in a home invasion that dominated headlines in 2007. At noon in Connecticut, a judge will decide his fate.
Many of us will never forget hurricane Katrina. When those levees broke, it devastated New Orleans. And now, a grassroots group wants those failed levees listed on a National Register of Historic Places. They want the levees preserved and never forgotten.
And celebrating the life of football coach Joe Paterno. More than 16,000 people gathered to remember his legacy of 46 years. Paterno died Sunday at the age of 85 after battling lung cancer.
Well, Immigration, one of several hot topics at the CNN Republican debate last night in Florida.
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NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: I want to control the border. I want English to be the official language of government. I want us to have a lot of changes.
MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: Mr. Speaker, I'm not anti-immigrant. My father was born in Mexico. My wife's father was born in Wales. They came to this country. The idea that I'm anti- immigrant is repulsive.
RICK SANTORUM (R), PRESIDENTIAL CANDIDATE: I think we need to enforce the law at the border. Secure the border. Secondly, we need to have employer enforcement which means e-verify. And we need to have not only employer sanctions but we have to have people who are found who are working here illegally, they need to be deported.
RON PAUL (R), PRESIDENTIAL CANDIDATE: I think we spend way too much time worrying about the border between Afghanistan and Pakistan. Use some of those resources on our own border.
(END VIDEO CLIP)
PHILLIPS: Well, one thing you didn't hear them say is how important immigration is to the economy. Well, we're going talk with Charlie Garcia about that. He heads up a consulting and financial firm that actually works with Hispanic-owned companies. He's also a Florida primary voter. And he's an op-ed contributor on CNN.com.
You can go to CNN.com and see the article that you wrote. But what grabbed my attention was the headline, "Jesus -- Jesus and Mohammed can save the global economy."
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CHARLIE GARCIA, CNN.COM: Pretty provocative, right?
PHILLIPS: Yes, explain that to me.
GARCIA: Well, for the last 100 years or for the last 20 years in the United States one of the top 100 baby names in America is "Jesus" or pronounced "Jesus".
PHILLIPS: Is it really?
GARCIAL: Yes. And if you go to Europe, the whole country of England, or Belgium, or Oslo, or Milan the number one popular baby name is "Mohammed". So what do names and babies have to do with the economy? Everything. The future currency of the global economy will be babies. Babies grow up to pay taxes. Babies grow up to fight our wars and without them, countries decline.
So in the U.S. there is this fancy term they throw around called total fertility rate. And there needs to be a two, which is couples need to have two kids to replace themselves. If they don't, we decline.
So in the United States we're about two. And if we want to be a global economy, the strongest in the world, we need about two or three million more babies every year. Where do they come from?
PHILLIPS: Well, let me tell --
GARCIA: Where do they come from?
PHILLIPS: Yes, I just had two kids. Maybe I should have named them Jesus or Mohammed. I made a big mistake here, I should have read your article a lot sooner.
All right, you actually write, quote, "The sustainable competitive advantage of America over any other country is that we do immigration best. How so? And do we need more immigrants?
GARCIA: We yes -- we need -- well, we need -- well, we need three million more babies to be powerful. Where do we get them? Immigration. The one thing this country knows better than any other country in the world is we assimilate. We assimilate culture so that's a competitive advantage.
And to me, it is the goose that's laying golden eggs. And what the -- no one talks about is those 10 million illegal immigrants in this country, the minute they produce babies that then go fight wars and everything else, they're American citizens.
And Lance Corporal Jose Gutierrez is an important guy. He was the first Marine to die in the Iraq war, he was an illegal immigrant. And if you look at the Vietnam War, when the Hispanics were only five percent of the population; 25 percent of those soldiers that died in the Vietnam War they were Hispanic. They are a very patriotic culture.
We shouldn't be afraid, we're afraid today like the Irish, the Jews, that when they came in the country, the Germans.
(CROSSTALK)
PHILLIPS: So what do you say, what do you say to the candidates, and we heard it last night, that that say, but they're breaking the law. They're initially coming into this country breaking the law?
GARCIA: They -- little kids aren't coming into the country breaking the law. They've been there for 30 years or 40 years and what they've been producing is babies that pay taxes that grow up. They come into the economy. Instead of depressing right wages, wages actually go up. They're a net gain on the economy, and the candidates know that. They have to know that. They're smart individuals.
But they're not exercising a leadership role. What they should be saying is, guys, this is actually a goose laying golden eggs and explain to the American population and the American people why it's a good thing and not a bad thing and not just be reacting because they want to get elected.
PHILLIPS: Interesting. Charlie, thank you very much. I appreciate you weighing in.
GARCIA: Thank you -- thank you for having me.
PHILLIPS: And you -- you bet. You can also see his entire article, CNN.com/opinion. You can weigh in. I'm sure he'll love the feedback.
All right, "Flashback" 1970s. The big hair, the blue jeans jackets, the bell bottom jeans.
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("WELCOME BACK KOTTER")
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PHILLIPS: And of course, the theme song. Who could forget "Welcome Back, Kotter" and those lovable "Sweat Hogs". Well, we've got some sad news today, one of the show's stars passed away. Joining us from New York "SHOWBIZ TONIGHT" host, A.J. Hammer. Oh A.J., please tell me this is one of your favorite shows growing up. I'm coming clean on this.
A.J. HAMMER, HLN'S HOST, "SHOWBIZ TONIGHT": Well, you know I was like two years old, Kyra, but sure. It was --
PHILLIPS: It's all right. I'm older than you.
HAMMER: Look, this is -- this is sad news to any of us who remember this terrific show from the 70s. Mr. Kotter has indeed lost a student. Robert Hegyes, Robert played Juan Epstein who died yesterday in New Jersey. The cause of death was cardiac arrest according to a hospital spokesperson. Hedges also had roles on "Cagney and Lacey" and did some guest appearances on other show like news radio and "Diagnosis Murder", but of course, we remember Hedges mainly as the self-described Puerto Rican Jew who was always ready to forge a note from his mother on "Welcome Back, Kotter".
We remember how popular the show was in our minds it was so huge but -- and of course it launched the career of John Travolta, Kyra, but it only ran from 1975 to 1979 only on the air for four years. But still iconic characters every one of them. Robert Hegyes was 60 years old.
PHILLIPS: All right, A.J. and you have new information I guess about Demi Moore and her condition right? What exactly happened? Do we know?
HAMMER: Yes. Well there's so much information out there, Kyra, a lot of speculation in the public eye right now and I should point out that you shouldn't really believe all of the reports that are out there, and you really need to take some of them with a grain of salt.
But here's what we do know that people are reporting that she is suffering from a long list of ailments including eating disorders and drug use and stress and anxiety and exhaustion.
The 911 call from the night that she was rushed to the hospital is expected to be released later this morning. Parts of it will be edited out of course to protect her medical privacy.
Demi has reportedly left the hospital so it would seem to be a very good sign that she is getting the care and help that she needs. There has been no officials word from Demi's soon-to-be ex-husband Ashton Kutcher just yet. And there are some reports floating out there now that he's deeply concerned about Demi. There are also photos of Ashton partying in Brazil, a lot of people think that sends the wrong message. But I have to believe of course, he is deeply concerned.
And I can certainly understand if he wants to express that concern, he is not necessarily as Twitter friendly as the guy is that's not necessarily where he is going to go to express his concern. I am guessing there are things going on behind closed doors as it should be. Sometimes even when you're in the public eyes as big as they are some things are better left handled privately.
(CROSSTALK)
PHILLIPS: And keep it private.
Absolutely. A.J. thanks.
And Justin Bieber sharing the stage with Michael Jackson's kids. A.J. is going to have that. Another "Showbiz Headlines" in the next in the hour of CNN NEWSROOM.
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0955
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PHILLIPS: Let's fast forward now to stories happening later today.
11:30 Eastern Attorney General Eric Holder announcing a new fraud fighting unit.
At noon in Seattle, Colton Harris Moore also known as "The Barefoot Bandit" will be sentenced.
And tonight at 8:00 in Los Angeles, a public viewing will be held for legendary soul singer Etta James.
We're following lots of developments in the next hour of CNN NEWSROOM. Let's check in first with our Paul Steinhauser in Jacksonville, Florida -- Paul.
PAUL STEINHAUSER, CNN POLITICAL EDITOR: Hey Kyra, call it role reversal. Mitt Romney playing offense, Newt Gingrich playing defense. I will break down last night's rock'em sock'em CNN Republican presidential debate at the top of the hour.
DAVID MATTINGLY, CNN CORRESPONDENT: And I'm David Mattingly. In a city known for its violent crime, the murder of a man described as a Good Samaritan in the streets of New Orleans is striking people as particularly heinous. I will have that story in the next hour.
ZAIN VERJEE, CNN INTERNATIONAL ANCHOR: Hey there. I'm Zain Verjee in London and I will bring you the very latest on American hostage Jessica Buchanan freed from Somali pirates. I'll also give you an update on what newspaper headlines are saying around the world. That is in just a minute.
PHILLIPS: All right guys. Thanks so much.
And later Facebook's new Timeline is coming for you, like it or not, and it might dredge up some things from your past that you thought were behind you. We will talk about what you need to know to prepare for the change.
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PHILLIPS: Pretty classic match in Melbourne, Jeff Fischel.
JEFF FISCHEL, HLN SPORTS: It was fantastic. We're talking almost five years. Number one seed, Novak Djokovic against the fourth seed, Andy Murray.
Let's go right out to Melbourne. Fantastic, five hours. Djokovic started hot. Won the first set 6-3. Andy Murray comes back and wins the second set. Wins the third set.
This thing kept going and going then Djokovic turned it around, won the fourth set and then in a classic fifth set won it 7-5. He moves on to the Australian Open final. He'll face Rafael Nadal. Djokovic going for his fifth grand slam title. And Nadal going for his 12th.
Here's Djokovic in the near court, turning things around, but Murray pushed to the limit, but finally Djokovic won in five sets.
Let's show you some Xgames -- this is incredible -- snowmobile freestyle Colton Moore goes for a holy grab of 100 foot jump. It gets away from him -- ouch the crash. Not only did he get up and walk away, he actually ended up winning the gold medal. Colton Moore's first Winter X gold. Incredible.
PHILLIPS: All right. That's pretty cool stuff. I put the contact lens back in.
FISCHEL: You were ripping it.
PHILLIPS: Yes, I saw half of it exactly. All right, Jeff, thanks so much.
