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Iran Hails Major Step in Nuke Program; Terror and Chaos Rule in Syria; Service at Houston's Childhood Church; Santorum Now Leads in Ohio; Houston Sales Skyrocket After Death; Bad Air Linked to Heart Attacks; Iran Hails Major Step in Nuke Program; Deal Near on Payroll Tax Cut; Linsanity Versus Tebowmania

Aired February 15, 2012 - 09:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

FREDRICKA WHITFIELD, CNN ANCHOR: All right. Topping our news this hour, Iran is calling it a major achievement in its nuclear program. Scientists have loaded nuclear fuel rods into the core of a research reactor. These are the first fuel rods that Iran made itself. President Mahmoud Ahmadinejad was there for the event. Iran is claiming it has mastered the nuclear fuel cycle.

Pentagon correspondent Barbara Starr joining us right now.

So, Barbara, what are you hearing about this?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, Fredricka, good morning to you. I think we have some live pictures also coming in to CNN right now of Mahmoud Ahmadinejad speaking in Tehran earlier today before these live pictures. He was touring this facility where, indeed, Iran announced that it had made its own nuclear fuel rods domestically for the first time. And it was loading these into what it said was a reactor for medical purposes, not for nuclear weapons.

But this is going to be watched very closely here in Washington and in Israel, of course, because the question is whether this development, this announcement of them being able to make their own nuclear fuel rods is actually the real deal. Can they do it? Do these fuel rods work? How good is the quality? Is this another step potentially on Iran's road to potentially making nuclear weapons?

That's the key question for intelligence agencies right now. What does this all mean? Iran's had a lot of problems with its nuclear efforts. So are they really successful at this? Have they made the decision to go forward?

CIA director David Petraeus says one of the things he's watching very carefully is whether they're going to make that move to go for highly enriched uranium. That would be a significant step on the road to nuclear weapons. The U.S. doesn't believe Iran's made that step just yet -- Fredricka.

WHITFIELD: Is there a feeling that if that step may have been made, that there were some cooperation or real help from another nation?

STARR: Well, that's an intelligence dilemma, again. They have had problems in Iran with the quality control on their nuclear effort. Some people say it's due to a computer virus inserted perhaps by western intelligence agencies or their own lack of precision engineering. So if they are successful this time, if what they've unveiled today in these nuclear rods really works and works well, are they getting help from the outside?

Have they overcome some of the technical and engineering problems that they had? And if they did, who is helping them? What country out there, whether it's sponsored openly by another country or maybe they're buying the expertise on the black market or bringing scientists in undercover from abroad.

The question is, is it successful and how have they done it?

WHITFIELD: All right. Barbara Starr from the Pentagon. Thanks so much.

STARR: Sure.

WHITFIELD: Well, it is a huge source of pride for Iran, but should it be a source of worry for the West? We'll talk more about this story at 9:30 Eastern Time with security expert from MIT.

All right. Now we turn to Syria. A nation teetering on the brink of civil war. This morning embattled President Bashar al-Assad announced Syrians can vote later this month on a new constitution, but at this point that gesture is unlikely to tamp down the uprising.

This video posted on YouTube claims to show civilians forced into service as human shields. Rebels say government troops positioned themselves near tanks and artillery positions so the opposition forces won't fire on them.

CNN cannot verify the claims because Syria bans most international reporting, but our Arwa Damon and her team have managed to slip into the city of Homs under siege from government shelling there. This morning the city is covered by a thick cloud of smoke that you see there from an overnight explosion.

(BEGIN VIDEOTAPE)

ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT: That smoke you're seeing rising is from an oil pipeline that is believed to have been hit. What we heard was three explosions at around 6:30 in the morning. Shortly thereafter that thick plume of black smoke began covering the skyline here.

This is not the first time that we have seen these types of images emerging from the besieged city of Homs. That pipeline has been hit on at least two other occasions. The Syrian military has really intensified its defense up here, especially in the neighborhood of Baba Amr.

Activists have told us that they believe the Syrian government is on the campaign to flatten every single neighborhood where there has been some sort of opposition, some sort of effort to try to stand up to this government.

(END VIDEOTAPE)

WHITFIELD: As early as today the United Nations is expected to vote on condemning the government crackdown. It would become the U.N.'s strongest statement yet on the violence.

And now reaction from around the world. Max Foster joining us now from London with more on this -- Max.

MAX FOSTER, CNN INTERNATIONAL ANCHOR: Fredricka, lots of analysts around the world really looking at what's going on in Syria and talking about a tipping point, a turning point on what's going on there. And certainly a lot of newspapers are trying to question what's going to happen next.

The "Globe and Mail" in Canada under their headline, "Is Bashar al-Assad Listening?" Talks about the sheer number and weight of various diplomatic initiatives now in place -- in play indicating that politics rather than fighting on the ground will determine the outcome of what is a low intensity civil war, at least at this point.

The "China Daily" is saying that Beijing's Middle East policy is justified. Given the facts, it says, it's not surprising that the U.S. and its Western allies find fault with China's policy. China faces criticism because it refuses to be a pawn in the wheeling and dealing of the West."

China, of course, not getting involved in any U.N. resolutions at this point much to the anger of Western countries.

The "Daily Telegraph" of the U.K., an economic blockade can defeat Assad. Some might be concerned that ordinary Syrians would suffer hardship as a result of a total economic embargo. That cannot be denied but it would be preferable to all the bloodshed that would be part of a protracted civil war.

There's a will really, Fredricka, to do something where they just cannot work out what to do and what implications it means for foreign policies of countries like America and the U.K.

WHITFIELD: All right. Max Foster. Thanks so much. Keep us posted on any developments there.

Here in the U.S. funeral preparations are underway for Whitney Houston as family members and friends of the late singer struggle to come to grips with her sudden death.

CNN's Susan Candiotti is outside the Newark, New Jersey, church where the funeral will be, New Hope Baptist Church.

The church, Susan, where she first sang in that junior choir and now a return home on this good-bye.

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: That's right. And that's why it's not surprising that we see so many mementos left behind here, balloons, and flowers, and candles, and personal messages left to Whitney Houston.

This is a church, after all, where the area here first came to know her and certainly in this particular community because we've all seen that home video by now of her singing in this choir before this church and the congregation when she was just a little girl. So she is beloved, especially in this congregation.

And that's why her family says they wanted to have the funeral here. And, of course, officiating at the service is Pastor Joe Carter. In addition, the eulogy will be delivered by Marvin Wimans. Now who's a very famous gospel singer. The Wiman family, Cissy, Bibi Wimans, in fact we were talking with this historian at the Apollo Theater and he remembers when Whitney attended a concert with them in the past years.

And even Reverend Carter here at the church says that he remembers -- he's only about five years older than Whitney Houston, and he remembers being in awe of her when he first met her.

(BEGIN VIDEO CLIP)

PASTOR JOE E. CARTER, THE NEW HOPE BAPTIST CHURCH: I was trying not to be star struck, but it was, it was an amazing moment. I actually met her in church on an Easter Sunday morning singing in the sanctuary. And that was a -- I'll never forget it.

(END VIDEO CLIP)

CANDIOTTI: You know that there are 1500 seats in this church, and, Fredricka, every one of them is expected to be filled.

WHITFIELD: And, Susan, anything more about whether there will be a full camera there? Whether there will be some sort of large jumbotron screens outside because clearly, you know, such an outpouring of the community wants to be there and is likely to be there whether this is a service that remains private or not.

CANDIOTTI: That's right. As we all know of course by now, it is going to be a private service, invitation only. And we don't have any definitive word yet on whether there will be that big screen set up outside here so that all the fans who come won't be disappointed and can at least hear and/or see a bit about what's going on in the church.

So we're still waiting for official word on that. Certainly we do know some of the people who will be invited. For example, Reverend Jesse Jackson tells us that he will definitely be here. Singer Chaka Khan will be here and so many others. We're waiting for that guest list now.

WHITFIELD: All right. Susan Candiotti, thanks so much there in Newark, New Jersey.

All right. Now let's turn to some presidential politics and the fight for the Republican nomination. Today a new poll and new punches being traded. CNN's political editor Paul Steinhauser in Washington.

So, Paul, it looks like the ad wars are beginning to ramp up again. Tell us all about it.

PAUL STEINHAUSER, CNN POLITICAL EDITOR: You got t. They're back, Fred.

Remember last month in South Carolina and Florida, we saw an explosion of campaign commercials?

WHITFIELD: Yes.

STEINHAUSER: Many of them attack ads. Well, they kind of disappeared. We didn't see them in Nevada which Romney won. And we didn't see them in those February 7th contests that Santorum swept. They're back as you said.

Check this out. This is from Restore Our Future, the pro-Romney independent super PAC. They're going after Santorum. Take a listen.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Rick Santorum actually vote? Santorum voted to raise the debt limit five times and for billions in wasteful projects, including the bridge to nowhere. In a single session Santorum --

(END VIDEO CLIP)

STEINHAUSER: Part of the Romney and the super PAC's attempts to portray Santorum as a Washington insider and a big spender. This ad is running -- right now running in Michigan, Arizona, which have contests on the 28th and in Ohio.

But wait. The Santorum campaign up with a brand new ad in Michigan that goes after Romney for going negative. Take a listen.

(BEGIN VIDEO CLIP)

RICK SANTORUM (R), PRESIDENTIAL CANDIDATE: I'm Rick Santorum and I approve this message.

UNIDENTIFIED MALE: Meet Romney's negative attack machine is back on full throttle. This time Romney's firing his mud at Rick Santorum. Romney and his super PAC have set a --

(END VIDEO CLIP)

STEINHAUSER: The Santorum campaign having a little bit of fun here, Fred. No doubt about it, the ad wars are back. We've got a lot of big stakes voting in the next two to three weeks. And you're going to see an explosion of ads on TV.

WHITFIELD: Oh, my goodness. And so meantime, Paul, there's also a new poll from the battleground state of Ohio. What's it saying? STEINHAUSER: You need more proof of that Santorum surge since his big wins last week? Well, check this out, Quinnipiac Univesity, this is in Ohio as you mentioned, one of the super Tuesday states. Look who's on top now. Rick Santorum seven points ahead of Mitt Romney. There's Newt Gingrich at 20 percent and Congressman Ron Paul at 9 percent.

Another example of how Santorum has surged in the polls. And he's also going after President Obama. Take a listen to what he said last night campaigning in Idaho.

(BEGIN VIDEO CLIP)

RICK SANTORUM (R), PRESIDENTIAL CANDIDATE: Don't you see how they see you? How they look down their nose at the average Americans? These elite snobs.

(END VIDEO CLIP)

STEINHAUSER: There you go. Santorum just part of his theme, I guess, Fred, of trying to portray the president and his administration as know-it-alls and elitists. I think the White House will definitely take issue with that one. But we've been seeing that message the last couple of days from Rick Santorum -- Fred.

WHITFIELD: All right. Paul Steinhauser, thanks so much from the political desk there in Washington.

And we'll have our next political update in one hour from now. And a reminder, for all the latest political news you know exactly where to go, our Web site Politics.com.

People can't seem to get enough of Whitney Houston's music and movies right now, and her death could mean about a billion dollars in revenue. We'll talk with an entertainment lawyer all about that.

And a rare sight for Tucson, Arizona. Snow. We're checking stories across country right after this.

(COMMERCIAL BREAK)

WHITFIELD: Checking stories cross-country now.

Penn State says it has paid out nearly $3.2 million in fees linked to the Jerry Sandusky child sex abuse case. Penn State's Web site says the university will not use alumni donations, student tuition, or taxpayer dollars to cover the costs. The university is counting on insurance to pay.

The Feds have cited a Michigan nuclear power plant for three safety violations. The NRC says worst of the violations happened last September. Half of the control room indicators were lost because of an electrical room fault. Inspectors will now be keeping a closer eye on the plant.

And a rare snowfall for parts of Tucson, Arizona. The Valentine's Day snow came down hard for a short time but then, poof, it was gone.

Whitney Houston has the number one song on iTunes right now, and she has seven of the top 10 albums on Amazon. Her death has given interest in her music in a very huge way.

James Walker is an entertainment attorney and also the author of "The Business of Urban Music."

Good to see you.

JAMES WALKER, ENTERTAINMENT & BUSINESS ATTORNEY: Good to see you.

WHITFIELD: And you talk about Whitney Houston and her rise to fame extensively in your book.

WALKER: Yes, I do.

WHITFIELD: This has happened after Michael Jackson, it's happened after a number of great stars. They die. Posthumously, they're able to enjoy giant proceeds from sales.

Do you see that records will be broken in the case of Whitney Houston already?

WALKER: I definitely think so. First, I want to say my prayers go out to their family. I've met them many times, through my own clients. So, my prayers go out to them, first and foremost.

Yes. To answer your question I think Sony is going to see about $1 billion. I wrote an article yesterday for Rap Rehab, a Web site that deals with the music industry and the urban music industry. And I focused on the fact that when you look at her movies, "The Bodyguard," did over $400 million. "Preacher's Wife," "Waiting to Exhale" -- her movies have done over half a billion dollars. We know she's sold over 170 million records.

So, what's going to happen here is Sony is holding up right now and they're figuring out, we're going to put out the "Sparkle" movie, a remake of the Irene Cara classic.

WHITFIELD: Right.

WALKER: We're going to put the "Sparkle" movie out later this year. We are going to time it so we put all the cast members, the producers, the directors, everybody out on the floor marketing the movie. Simultaneously, we'll release the soundtrack and we'll release certain best of, greatest hits, love songs by Whitney, dance music by Whitney. You can release 20 or 30 different records.

WHITFIELD: The expectations were already pretty high with "Sparkle." But now, you know --

WALKER: Now, you look at --

WHITFIELD: -- with her passing, it's going to be a lot of people's last view of her work. And so, clearly, it will appeal to an awful lot more people than they ever expected.

WALKER: Clearly, Fredricka, if you look at "The Bodyguard," the movie was slammed (ph) by critics, but the movie did $440 billion I think at the box office. So, "Sparkle," even if it's an average movie, which is not. I should tell you, I was on the set in the final weeks, friends of mine are producing movies. So, I went out in the final week, that actually was the last time I saw Whitney.

WHITFIELD: What did you observe?

WALKER: I observed that we were all obviously tired. Every night, you're working until 3:00 in the morning. I was there as a casual observer, learning the film game.

What I observed is she nailed the part. She played the mother figure in the movie to Jordin Sparks and two other actresses, Mike Epps in the movie. And what I observed is she was trying to come back.

The closing night of the movie she did a prayer. The closing night of the set, she did a prayer about 2:00, 3:0 a.m. Every eye was tearing up and everybody was -- because we all knew her journey. This will be her first movie in 15 years.

So, you can bet Sony will see about $1 billion between the $300 million to 400 million at the box office for the movie, and then the DVDs, then the merchandising. And what I want to talk about is she's a superstar artist. So, her estate will see a royalty rate probably in the $1, $1.50, $2 range. There's a low level, mid level and superstar artist. Whitney --

WHITFIELD: So, her estate is going to enjoy the benefits of this posthumous earnings just like the songwriters, the movie makers. Apparently, she was already in talks -- Terry McMillan wanted to talk to her, you know, about or had been trying to convince her to do yet another "Waiting to Exhale" type of movie. And she was going to be on board with that.

WALKER: Yes. The movie did well. The first one did well over I believe $80 million, about $81 million. So, a part two would have clearly been a comeback for her.

And what's telling is that you look at al of these people who are buying her music. When she toured she struggled as a touring artist, believe it or not. So, it's interesting now to see the response, the outpouring of love because on the tour circuit, she struggled at times domestically. Overseas, she was big. If you look at "The Bodyguard," the sales overseas are huge.

And I think when you see this release on iTunes and Amazon, it's sending a message of how much she was loved and I wish we could have told her that more in her lifetime.

WHITFIELD: I know it. All right. So sad. James Walker, thanks so much. Good to see you.

WALKER: Thank you.

WHITFIELD: The book is "The Business of Urban Music."

WALKER: Thank you.

WHITFIELD: All right. Thanks so much.

All right. This Saturday night, CNN will be looking at Whitney Houston's rise to fame, her fall from stardom, and the investigation into her untimely death. CNN Presents "Death of a Diva," Saturday night, 8:00 Eastern Time.

And the CEO at Apple responding to concerns over working conditions at Chinese plants. That story and a market preview right after this.

(COMMERCIAL BREAK)

WHITFIELD: Heart disease is the number one killer in America, but it isn't just diet and lack of exercise that are factors. It also can be contributed to the air we breathe.

Senior medical correspondent Elizabeth Cohen joining me now.

I don't know why I never thought of this. I think air pollution -- I associate that with your lungs, the damage of that organ, but certainly not your heart.

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: I think a lot of people do that. They think the air you breathe can give you asthma, or lung cancer, but you don't really think of the heart.

WHITFIELD: Yes.

COHEN: But this study, as well as many others show that people who are exposed to lots of pollution are more likely to have a heart attack and that what this study adds that's so interesting is that you don't have to live there day in and day out necessarily. There is some suggestion that maybe even just a week of exposure to pollution.

What they found is that they tracked the pollution rates and when they were bad for a week, heart attack rates went up.

WHITFIELD: Oh, my goodness. So what does the pollution do to your heart? What's happening?

COHEN: It does several bad things, unfortunately. One thing that it does is it causes inflammation all over your body which can damage your blood vessels. The second thing pollution can do is it can actually make your blood thicker and more likely to clot. And it can make your heart rate go up.

So, it acts on several different levels. What you're breathing in can act on several different levels.

WHITFIELD: So, what can you do? Sometimes in some cities, you see people wear masks.

COHEN: Yes.

WHITFIELD: You're thinking about usually they're doing that because of their asthma, et cetera, but -- or allergies. But is that something that would help you out in this case?

COHEN: You know, masks might protect you to some degree, but here's what you want to think about. If you have an option when you're looking for a place to live, try not to live next to that intersection with lots of traffic because you're breathing in all those fumes. Try not to live right on the interstate if you can help it. Try to live as far away from those sources of pollution as possible.

But there is some good news here. While pollution is bad and you want to stay away from it, other things are even worse for you. So, before you get too, too worried about this -- think about: is my weight where it should be? That's way more of a risk factor than pollution. Is my blood pressure nice and low? Am I smoking? You know, all of those things.

So, control what you can control in your life. If you live in the city --

WHITFIELD: What's my diet like?

COHEN: What's my diet like? Exactly.

If you live in a city where it's bad everywhere, unfortunately, you don't have a lot of options.

WHITFIELD: Oh my goodness. All right. Now we know to make that association. Haven't thought of that before.

COHEN: Make that link. That's right.

WHITFIELD: All right. Elizabeth Cohen, thanks so much.

COHEN: Thanks.

WHITFIELD: And then there's this P.R. headache for Apple. There have been allegations of extremely long working hours, underage employees, and unsafe conditions at one of its biggest Chinese suppliers, Fox Conn.

Alison Kosik is at the New York Stock Exchange.

Alison, what does Apple say about all of this?

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Hey, Fredricka.

So, Apple is actually coming out defending its reputation. Its CEO Tim Cook, he spoke at a tech conference in California yesterday. He said Apple will not stand for any abuses at suppliers factories in China or anywhere else.

Cook says a top priority is stopping suppliers from employing kids. In fact, he's calling that a firing offense. But he did concede that there are instances of long working hours which is a violation of Apple's work rules.

Now this whole uproar, it actually goes back to 2010 when several Fox Conn workers committed suicide. Since then, allegations of unsafe conditions have gotten louder and louder. Fox Conn and other manufacturers are being investigated this week by an independent labor group that was brought in by Apple -- Fredricka.

WHITFIELD: So, Alison, has this in any way affected the bottom line for Apple?

KOSIK: And that's what's interesting. It hadn't. Apple's actually posted record iPad, iPhone, Mac sales last quarter. And, overall, you know, its shares are doing really well. Its shares are over $500. That's how they're trading these days.

As for the overall market, it's looking to be opening higher on word out of China saying it will keep buying European bonds, doing its bit to help the debt situation in Europe -- Fredricka.

WHITFIELD: All right. Alison Kosik, thanks so much -- at the New York Stock Exchange.

All right. Iran is celebrating what it calls a huge step in its nuclear program. Homemade nuclear fuel rods located -- loaded, rather, into a reactor. Should it be a source of worry for the West? A security expert from MIT is joining us next.

(COMMERCIAL BREAK)

WHITFIELD: A look at our top stories right now.

In Syria today, thick black blooms of smoke are seen rising in the city of Homs. Opposition groups say government planes blew up an oil pipeline. The government blames terrorist groups.

And state-run media says President Bashar al-Assad plans a February 26th referendum on a new constitution. But at this point it doesn't seem likely to tamp down the uprising.

And a fire at a prison in Honduras has killed nearly 300 people, according to the local fire department. Some 35 prisoners were taken to a hospital. The blaze is now under control. This is a third fat tall prison fire in recent years in Honduras.

And back here in the U.S., makers of the cancer drug Avastin are warning people that counterfeit versions have been found. Tests of the fake drug showed it did not contain the active ingredient. It isn't clear how much of the fake version was distributed in the U.S.

All right. Iran is calling it a major achievement in its nuclear program. Scientists have loaded nuclear fuel rods into the core of a research reactor. These are the first fuel rods that Iran made itself.

President Mahmoud Ahmadinejad was there for the event. Iran claiming this is for medical purposes, not a weapon.

CNN Pentagon correspondent Barbara Starr told us earlier that Washington is trying to figure out if Iran really has mastered the nuclear cycle and if the rods actually work.

Jim Walsh is with the security studies program at MIT. He's joining us right now.

So what is the real worry here, Jim, about Iran's potential?

JIM WALSH, MIT SECURITY STUDIES PROGRAM: Well, I don't think the issue is so much this Tehran research reactor, Fredricka. As you'd likely point out, it's a medical reactor. It's going to produce medical isotopes that's largely unrelated to anything that would have a military dimension.

The reason why it's relevant is to fabricate those fuel rods, you have to enrich uranium, not 3 percent to 5 percent, which you would do for a power plant. But to a higher level, to 20 percent.

And the U.S. and world community doesn't want Iran in the enrichment game enriching fuel up to 20 percent because that gets you further down towards bomb grade material at 90 percent. So, it's about enrichment.

But the big picture here, Fredricka, is that this is all sort of tactics and posturing in anticipation of a meeting between the international community and Iran, which is going to take place I assume within a month or so.

WHITFIELD: So, Iran says this is homemade. Do you buy that?

WALSH: Yes. I think they probably are fabricated by Iran. The question is, you know, will they work? Will the reactor have a problem? Do you want to live downwind from that reactor if the fuel rods are impure or poorly fabricated?

You know, they're going to turn it on the reactor today and they're going to probably shut it off, you know, immediately afterwards. It remains to be determined whether they can actually fabricate fuel rods to run this reactor. I think a lot of people in the West are skeptical about that.

But it brings to mind the core issue is we don't want them to enrich to 20 percent in order to make these fuel rods. President Ahmadinejad and the government back in September made an offer that they would stop enrichment at 20 percent if they could buy the 20 percent enriched fuel. I think that's proposal we should look at that because we want to cap that enrichment at a lower level. And I think that's where we should be heading as we head into this so-called P5- plus-1 talks.

WHITFIELD: OK. You said buy that fuel. So that then -- you presume that there's another country that might be involved or cooperating. What would you suspect that country be?

WALSH: It would probably be Russia or France. Back a couple of years ago, we almost had a deal on this Tehran research reactor. A deal was struck and then when it got back to Iran, it fell apart because of Iran's domestic politics, which as you know is often bitter and conflicted.

But in that original deal, Russia was going to enrich the material. France was going to fabricate the fuel plates. Argentina could also do it if it wanted to get involved.

So, there are countries that could in theory do this. And that's really the direction we want to go to. I think we want Iran to cap its enrichment at 3 percent to 5 percent. That's a nonproliferation victory. We ought to take them up on that and make sure that they do not engage in 20 percent enrichment.

WHITFIELD: All right. Jim Walsh, thanks so much -- at MIT there in Cambridge. Appreciate that.

All right. This morning, some good news for you and your wallet. Finally, right?

Lawmakers have struck a tentative deal on extending the payroll tax cuts that are due to expire at the end of the month. That means working Americans won't suddenly see more money siphoned from their take-home pay.

Christine Romans is here to explain.

So, Christine, you've been crunching the numbers. How significant is this?

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Well, you know, it's significant for both parties, too, because now they don't have to fight over anymore about who raised taxes on working Americans. It means something for 160 million people who get a paycheck.

And in that paycheck, there are Social Security check taxes. And you've been for the past year getting a break on the taxes that you pay for your Social Security. And that's coming out to about $1,000 a year or about $40 per paycheck. That's calculated, Fredricka, on people who make $50,000 a year.

So, people are going to continue to see that little extra in their paycheck. There will not be a little tax increase for people this year.

WHITFIELD: What else is in the deal?

ROMANS: Well, also, they're packaging in their unemployment benefits and also something called the doc fix. This is Medicare reimbursement rate for doctors who treat Medicare patients. It looked like doctors could be in trouble for a while because Congress couldn't get its act together on extending that.

So, unemployment benefits also. But what they're fighting about is how long to continue to extend these unemployment benefits. In something like 20 some states, Fredricka, you can get unemployment benefits all the way for 99 weeks. I think those days are over.

Also on the unemployment benefits, Fred, they're going to have to find a way to pay for those. And so, that's how they're wrangling about, is how you're going to pay for it. That's what Republicans want that, right? They want to make sure any kind of goodies that we're giving to taxpayers, any tax breaks that we're doing, any spending that we're doing, we're offsetting that somewhere else so that we don't add to very, very big deficits and a very big national debt.

WHITFIELD: All right. We shall see.

ROMANS: Yes.

WHITFIELD: All right. Christine, thanks so much. Good to see you.

Singer Bobby Brown is reportedly distraught after hearing that he may not be wanted at his ex-wife's funeral. Details next in showbiz headlines.

(BEGIN VIDEO CLIP)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPODNENT: So this looks like a pretty interesting space. I mean, what goes on in here?

UNIDENTIFIED MALE: Well, this is our lab. And really what happens here is we have interns that take things that we think might be in the magazine and they try to recreate them. They take the author's recipe in a sense and test it. So, we're like a test kitchen for makers.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

WHITFIELD: Whitney Houston's ex-husband Bobby Brown is reportedly upset after hearing that he may not be wanted at the singer's funeral this Saturday.

"Showbiz Tonight" host A.J. Hammer is live in New York with more details on this -- A.J.

A.J. HAMMER, HOST, "SHOWBIZ TONIGHT": Fred, the reports that Brown is not wanted at funeral certainly understandable when you think about Brown's tumultuous history with Whitney, how many people over the years constantly pointed the finger at him for her erratic behavior when they were married.

But they are reports at this point. And, in fact, when we put the question directly to Bobby Brown's representative, here's what he would tell us. It was only this, "Any report or statement that does not originate from my office about Bobby Brown or his representatives is not authorized by Bobby Brown. We are not focused on reports, stories or false reports for that matter."

So, of course, it doesn't really answer the question. Bobby and Whitney's daughter Bobbi Kristina has been with her father since she got out of the hospital over the weekend. And that could be seen, perhaps, as an indication that he would be at the funeral to support her.

But theirs has been a tough relationship as well, Fred. Whitney herself told Oprah once in an interview that Bobbi Kris encouraged her mom to leave her father. So, obviously, Fred, a really complicated dynamic going on there.

WHITFIELD: Oh, it is so uncomplicated. Yes.

And now, let's talk about another rising star. Maybe she's already risen actually. That would be Adele, after sweeping so many Grammy awards this past weekend. And then she's saying she wants to take a break?

HAMMER: Well, it's a little complicated in itself. The story really took off after Adele gave an interview to Britain's "Vogue" magazine. And that went to press.

In the interview, Adele said she wanted to go away for five years, settle down and start a family. Of course, people really read into that and said she was disappearing immediately and that's what she wanted to do.

I am here to assure you this morning that is not the case. She wrote a really sweet message on her blog all about the Grammys being the best night of her life, how excited she was. And here's what she said about going away.

She says, "I have a few days off now and then it's the Brit Awards here at home and then I'm straight into the studio. Boyyah! Five years? More like five days."

So, that clears that up. And, Fred, for my money, I'm just happy to hear that she's going back into the studio because we want more music from Adele.

WHITFIELD: Of course we do. I've been whistling her song "Rolling in the Deep" all morning long, not singing because it's a little early. You don't want to hear my voice. So, you know? The best I could do would be to whistle it. So, we want to hear her version all the time.

All right. Thanks so much, A.J.

HAMMER: Yes.

WHITFIELD: All right. Herman Cain on "Dancing with the Stars." Could it be? Producers have reportedly asked him to be on the show. A.J. will be back with us next hour with Cain's response.

A sports star who comes through in the clutch and praises God. We're not talking about Tim Tebow.

NBA fans are crazy about New York Knicks rookie Jeremy Lin. The Lin-sanity continues. We'll look at it. That versus Tebow-mania, next.

(COMMERCIAL BREAK)

WHITFIELD: "Linsanity". Get used to the word. Here's the definition, the mania surrounding New York Knicks rookie Jeremy Lin. Check out his latest highlight. The game winner with five-tenths of a second to go and right there. Now listen to him afterwards.

(BEGIN VIDEO CLIP)

JEREMY LIN, NEW YORK KNICK: I actually didn't even register that. And I can't even tell you what I was thinking out there after that shot. But I mean, I couldn't talk more about how much of a team win, a defensive gutsy effort this was tonight. We just had everybody come in. We had great energy off the bench.

And I'm thankful, I'm very thankful to God that we got this one tonight because it could have gone either way.

(END VIDEO CLIP)

WHITFIELD: Wow. That is a champion. He says it's not because of him but because of the team effort. A sports star who makes a big play in crunch time and then he praises God. Remind you of anyone?

Contributor Stephen Prothero has the answer who this reminds us of. His latest piece for the CNN belief blog is "Linsanity versus Tebowmania". All right, Steven, how similar are Tim Tebow and Jeremy Lin?

STEPHEN PROTHERO, PROFESSOR, BOSTON UNIVERSITY DEPARTMENT OF RELIGION: Well there's a lot of similarities. And obviously you have the great underdog story, although the underdoggedness of it is a little bit different in this case. It's a lot farther from Harvard to the NBA than it is from University of Florida to -- to the NFL with Tebow.

But in each case you have a guy who's really resurrecting his team, bringing them out of -- obscurity and a lot of losses into, in the case of Lin, six straight games. And then of course you have the overlay of the evangelical Christianity, where there is the sense of is this a miracle? You know who's -- who's really doing this? Is it God? Is it Tebow? Is it -- is it Jeremy Lin?

WHITFIELD: All right, now talk to me more about the differences. I mean, I get the parallels of Florida and -- and Harvard but what else did you discover?

PROTHERO: Well you know, I think there's also a little bit of difference in style as well. You know Lin has a little bit more of a kind of stereotypical Asian-American kind of quiet about him that we tend to associate rightly or wrongly with, in his case, Chinese Americans. And then, you know Tebow has this sort of more brash sunbelt-style of born again Christianity.

So you know Lin after winning the game last night he sort of points up to the sky in a subtle way where Tebow is going to get down on one knee and do his Tebowing as they call it. But one thing I find really interesting about this is it's an indication of the direction that Christianity is going, both in America and in the world.

We often associate Born Again Christians with white preachers like -- like Jerry Falwell or Pat Robertson or in the case of Tebow, you know, white NFL player, but Christianity is really going into the global south it's heading south into Asia and east into Asia and south into Africa and so we have sort of an image here of Christianity -- the future of Christianity, both in the world and in the United States.

WHITFIELD: All right. And I think you know when you look at the tape over and over again, I think a lot of people really can appreciate that kind of serenity, the sense of calm that Jeremy Lin seems to have, even under pressure with those few tenths of a second left in that last play from last night.

Stephen Prothero, thanks so much.

And of course, you at home, you can read all of Stephen Prothero's piece on "Linsanity versus Tebowmania" on the CNN belief blog, go to cnn.com/belief.

(COMMERCIAL BREAK)

WHITFIELD: Here is what we're following later in the CNN NEWSROOM.

At 12:00 Eastern, Chinese Vice President Xi Jinping will deliver a major address at the U.S. Chamber of Commerce in Washington. Xi is expected to be the next Chinese president.

At 1:40, President Obama talks about jobs and the economy at the Masterlock factory in Milwaukee. The White House says he'll stress the importance of companies keeping jobs in the U.S.

And at 3:00 Eastern Time, the First Lady joins Defense Secretary Leon Panetta at the Pentagon. They'll unveil a new report highlighting ways states can simplify job licensing requirements for military spouses.

And we're following lots of developments in the next hour of the CNN NEWSROOM. Let's check in first with Susan Candiotti.

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: Hi, Fredericka. Good morning.

I'm outside Whitney Houston's New Hope Baptist Church in Newark, New Jersey, where the family is finalizing plans for Saturday's private funeral. Who are some of the people that will be attending? We will give you those details coming up live in the next hour.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: I'm BARBARA STARR at the Pentagon. Fred, Iran is talking today about new developments in its nuclear program. Should we be worried? I'll have developments at the top of the next hour.

PAUL STEINHAUSER, CNN POLITICAL EDITOR: And I'm Paul Steinhauser at the CNN political desk. Do you need more evidence that Rick Santorum is surging in the polls? I'll have them coming up next hour.

WHITFIELD: All right, thanks so much, everyone.

And we'll also talk to the man who says he knew Whitney Houston was a star before anyone else did. He heard her sing when no one knew who she was. He just had to convince his boss at Arista Records.

(COMMERCIAL BREAK)

WHITFIELD: It was kind of the anti-choke moment. Five- tenths of a second left in play and Jeremy Lin of New York Knicks just says, you know what; I'm just going to calmly dribble, dribble a little bit between the legs and swoosh and he makes it.

JEFF FISCHEL, HLN SPORTS: Are there any doubters at this point? No. I mean --

WHITFIELD: What in the world?

FISCHEL: As incredible moment as it was, can anyone be surprised anymore? Everyone is calling the Jeremy Lin phenomenon lin-sanity. It just got exponentially more Lin-sane last night.

In Toronto, down 3 to the Raptors with about a minute left. He makes that shot and a foul to tie it at 87. Lin set a new NBA record for most points in his first five career starts. Still tied, time running out -- there it is. The Harvard grad no one wanted a month ago gets the win.

Even the Toronto crowd was going nuts. Ever since the Knicks said, hey, maybe we should play this guy, they are 6-0. Check out today's tabloid puns, I mean headlines.

There they are. "Thrilling". "Lin and a Prayer". After a game, lin tried to credit his teammates but us they were the ones showing him some love.

WHITFIELD: Oh, my goodness.

(BEGIN VIDEO CLIP)

JEREMY LIN, NEW YORK KNICKS: We had, you know, Landry, Tyson, Shum, everybody with deflections, rebounds and we just clamped it had down in the fourth quarter. We couldn't get a stop.

(END VIDEO CLIP)

FISCHEL: The big smooch.

WHITFIELD: That's sweet. I love it.

FISCHEL: He has been that good.

All right. Let's do some NHL history. You had some of that made last night as well. At the Joe in Detroit, Henrik Zetterberg got the Red Wings going, with this first (INAUDIBLE) goal, tried to pass the puck, came right back to him, thank you very much. That's a score. The wings go on to beat Dallas 3-1. And really giving their fans something to cheer about. It's their 21st straight home win at Joe Louis Arena, that's a lead record for a single-season home winning streak.

All right. So while Jeremy Lin and the Knicks too their show on the road last night, their Madison Square Garden went to the dogs. The Westminster Dog Show, that is. Here is your winner.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: The Pekingese.

(END VIDEO CLIP)

FISCHEL: The crowd goes nuts for 11-pound Malachi. We had the big dogs to pick best in show. Malachi was runner up last year. He has won best in show at 115 other events. Fourth time Westminster's 136-year history; a Pekingese has been chosen top dog.

WHITFIELD: Wow. That is a beautiful dog. So tiny.

FISCHEL: Can you tell if it's sitting when you ask it to sit with all that hair --

WHITFIELD: I know. I know.

FISCHEL: Needs some manscaping or something.

WHITFIELD: I saw a picture of it earlier just kind of laying down and all you saw was a little snout and just a whole lot of hair flowing but very cute. Congratulations.

FISCHEL: There you go.

WHITFIELD: Jeff Fischel, thanks so much. Good to see you.