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Hearing For Desmonte Today; Dimon Can't Defend Risky Trades; Giffords Aide Won Special Election; Syria Conflict A Civil War; Sandusky Trial; Dimon's Once-Sparkling Reputation; Rights Groups Slam N.C. School; Tim McGraw Gives Homes To Veterans; Tim McGraw Gives Homes to Veterans; Israel's Shimon Peres Expected to Ask for Release of Spy Jonathan Pollard, Talks Iran, Syria; Economy Has Greater Impact on Minority Families; Pop Warner Football Changing Rules to Keep Kids Safe

Aired June 13, 2012 - 13:00   ET

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

JILL DOUGHERTY, CNN FOREIGN AFFAIRS CORRESPONDENT: In Egypt, 76 don't want him to have another term, and in Jordan, it is 73 percent. Another finding in the pew global survey, even America's friends in Europe think China, not the U.S. , is the world's top economy.

(BEGI VIDEO CLIP)

UNIDENTIFIED MALE: If China sneezes, I think the rest of the world get a cold.

(END VIDEO CLIP)

DOUGHERTY: But the Chinese themselves think it's more like a sniffle. Only 29 percent of Chinese say they are the leading economic power. Almost half say it's the United States.

People around the world, nevertheless, say they like American popular culture. In the Middle East, they like how Americans do business, but overall, many people feel that there is too much American influence, that globalization equals Americanization. Jill Dougherty, CNN, the state department.

FREDRICKA WHITFIELD, CNN ANCHOR: Hello, again, I'm Fredricka Whitfield. I'm in for Suzanne Malveaux. Let's get straight to it. The man accused of killing three men near Auburn University could appear in court today. 22-year-old Desmonte Leonard turned himself in yesterday. Two of the young men who died were former Auburn football players. We're told the victims will be buried Friday and Saturday. One witness called Saturday's pool party shootings a massacre for no reason at all.

JPMorgan Chase CEO, Jamie Dimon, is testifying before lawmakers on Capitol Hill about how his company lost billions of dollars in risky trades, but the hearing was interrupted by hecklers before Dimon started speaking.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Closure's gap! (INAUDIBLE.) UNIDENTIFIED MALE: (INAUDIBLE.)

(END VIDEO CLIP)

WHITFIELD: Police removed the protesters and the hearing continued. Dimon is testifying before the Senate banking committee. Live pictures right now. He told the lawmakers he can't defend the trade that led to the losses he said when he called it a tempest in the teapot back April, he was dead wrong.

A former aide of Gabrielle Giffords now has her old job. Arizona Democrat Ron Barber, won a special election yesterday to finish out Giffords' term in Congress. Giffords, you'll remember, stepped down in January one year after being shot in the head at an event in Tucson.

A conflict in Syria is now a full scale civil war. That is not our word, our words rather. It's from the chief of peacekeeping operations at the United Nations. It is the first time a senior U.N. official used the term civil war to describe the 15 months of shelling, street fighting and the deaths of more than 12,000 Syrian people. A few minutes ago, I talked to Rima Maktabi and I asked her if it matters what the conflict is called.

(BEGIN VIDEOTAPE)

RIMA MAKTABI, CNN INTERNATIONAL CORRESPONDENT: Really, it does not matter. I mean, today only, and the day is not over in Syria, 50 people have been killed, children are being tortured, citizens and civilians are being besieged by the Syrian army, and they are being starved at some point. One village was besieged for eight days and today the army entered the village. So really, the label does not matter much.

WHITFIELD: So, why now? Why now would the U.N. use the words civil war as it describes the conflict there in Syria?

MAKTABI: Because the past two months have been really, really bad. On a daily basis, we get death tolls of about 90 people killed. People and dead people have become like numbers and after the Hala massacre the conflict on the ground in Syria is taking a sectarian side. It is a country that where a Sunni majority lives, and it is ruled by an alawite minority. And this is the sensitivity.

WHITFIELD: So, by declaring this a civil war, does this now kind of create a new path for the U.N. or NATO in which to intervene?

MAKTABI: Well, so far without Russia and China on board, it seems that the international community is not able to do much. The U.N. observers that are now on the ground in Syria, their mission is to oversee a cease-fire which never happened, not one single day in Syria over the past months that we didn't hear of at least 10, 20, 30 people killed. So, definitely a new decision, a new resolution is needed to stop violence.

(END VIDEOTAPE) WHITFIELD: That is CNN's Rima Maktabi in Abu Dhabi today.

A more gripping testimony in Jerry Sandusky's child molestation trial. An alleged victim took the stand today and said that the former Penn State coach sexually abused him and then threatened him. Watching it all from inside the courtroom CNN's Susan Candiotti. So Susan, what exactly did this new witness say to Sandusky or say about what Sandusky did to him?

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: You know, Fred, this is alleged victim number 10, and he is one of the final two that the prosecutors learned about. He called the abuse hotline and abuse hotline after the initial eight allegations about eight alleged victims came forward. So, that's how we found out about him. He is now 25 years old, but he testified that he was 10 or so when the abuse occurred. He talked about Jerry Sandusky allegedly sexually assaulting him in his basement. And then he did this about five times. But when it first happened, he told jurors that he was totally freaked out and was never so scared in his entire life. He said after it happened the first time, he told jurors that Jerry Sandusky told him that if he told anyone he would never see his family again. So, that's the threat. After that happened, he testified that Jerry Sandusky said he really didn't mean that, and that he was sorry, and that he loved him. But this alleged victim told jurors that after that, he went to his foster mother and said, I never want to see this man again -- Fred.

WHITFIELD: And what was the reaction of Jerry Sandusky during the testimony today?

CANDIOTTI: You know, it's been pretty much the same as it has been throughout since everything started. He listened intently to each and every witness, even these young boys who are making the terrible allegations against him that are horrific and painful to listen to. But his expression hasn't changed. He looks at the witness, and listens to the allegations, and he moves on to the next one.

WHITFIELD: And the reaction of the jurors or others in the courtroom?

CANDIOTTI: Well, they are listening very intently to this. Certainly, we have seen it time and again, no one seems to be dosing off or be idle. They are -- they are hearing each and every word, and, in fact, yesterday during that very painful testimony where the alleged victim was crying, certainly, the jurors appear to be touched as well by that.

WHITFIELD: And anyone else taken the stand after that victim number 10?

CANDIOTTI: Yes. We also had testimony from alleged victim number seven, and he testified that Jerry Sandusky allegedly touched his private areas, and he also remembered this as an example. He testified that Jerry Sandusky would crawl into bed with him, and would bear hug him, and he said that to this day, he can't stand sort of cuddling him from back to front and he said that I can't stand to feel chest hair to this very day. And this -- in this case, during cross- examination, it appeared to be the first time that the defense made some inroads, their point being that they are trying to indicate that these young men cannot be believed, that they are making up the stories, because he got this witness to acknowledge that his story to authorities, his testimony has evolved over time. After, he said, he had counseling and opened up more. So, it's been a very interesting morning, and we're really speeding through the trial much faster than a lot of people thought we would.

WHITFIELD: All right. Susan Candiotti, thank you so much.

A former linebacker at Penn State is publicly apologizing to one of Jerry Sandusky's alleged victims. Lavar Arrington knew the witness as a boy when the alleged molestation was going on. In an opt ed in "The Washington Post," Arrington apologizes for initially defending Sandusky, Arrington writing, in part, "I hate everything that has happened and now I must admit I feel even worse knowing what was allegedly happening so close to me, and that I was unaware." End quote.

All right, here is what we are working on for this hour.

(voice-over): A language war heats up in North Carolina where one school is being accused of discriminating against Spanish speakers.

Then he's the country super star with a big heart, and plan to help returning vets.

And new rules on the football field for young at athletes, but will it be enough to keep your kid safe?

(COMMERCIAL BREAK)

WHITFIELD: All right. When your company loses billions of dollars on risky trades, you've got some explaining to do. It is JPMorgan Chase, CEO Jamie Dimon, try to do some explaining before lawmakers on Capitol Hill. Dimon told them he can't defend what happened.

( BEGIN VIDEO CLIP)

JAMIE DIMON, CEO, JPMORGAN CHASE: I think I've been clear which is the original intent, I think, was good but what it morphed into, I am not going to try to defend.

UNIDENTIFIED MALE: So?

DIMON: Under any name, whatever you call it, I will not defend it. It violates -- it violated common sense in my opinion. I do believe that the people doing it thought that they were maintaining a shore against high-yield credit to benefit the company in a crisis. I think -- and we now know they were wrong.

(END VIDEO CLIP)

WHITFIELD: Dimon was considered one of the most credible voices on Wall Street following the financial collapse. Alison Kosik looks at how that changed.

(BEGIN VIDEOTAPE)

ALISON KOSIK, CNN BUSINESS CORRESPONDENT (voice-over): At the height of the financial crisis while his colleagues were under fire, J.P. Chase CEO, Jamie Dimon, drew praise for steering his bank through the and coming to the aid of others.

(BEGIN VIDEO CLIP)

DIMON: In March of 2008, at the request of the U.S. government, we worked regularly to prevent a collapse of Bear Stearns. In September of 2008, we are the only bank prepared to acquire the assets of Washington Mutual. Taken together, these two transactions prevented nearly 40,000 jobs and prevented further market instability.

(END VIDEO CLIP)

KOSIK: JPMorgan became one of the biggest banks in the world, and Dimon became the most credible voice in a battered industry. At the same time, Dimon led the fight against new reforms in Congress, including the Volcker rule which forbids banks from engaging in risky trading with their own money. JPMorgan had been using that tactic known as proprietary trading with great success at the chief investment office in London. The unit quadrupled the profits from 2007 to 2011, but it ran into trouble earlier in this year. A complex tangle of risky trades came undone. Dimon announced losses of at least $2 billion, probably much more.

(BEGIN AUDIO CLIP)

DIMON: The new strategy was flawed, complex, poorly reviewed, poorly executed and poorly monitored.

(END AUDIO CLIP)

KOSIK: JPMorgan has lost almost $30 billion in market shares since then. Chief investment officer, Ina Drew, announced her retirement, and Dimon's reputation for strong risk management was tarnished. Additionally, the timing of the lawsuit is coinciding with the latest round of financial turmoil in Europe brought back bad memories, a warning that not a lot has changed since 2008.

(BEGIN VIDEO CLIP)

TIMOTHY GEITHER, TREASURY SECRETARY: Our system is much stronger than it was before the crisis, but still, this points out how important it is that these reforms are strong enough and effective enough, and they can meet the key test.

(END VIDEO CLIP)

KOSIK: It called into question the cozy relationship of the bankers and the Federal Reserve. Dimon had served on the board of the New York fed since 2007.

(BEGIN VIDEO CLIP)

SEN. BERNIE SANDERS (I), VERMONT: Here you have the fed which is supposed to regulate Wall Street, and then you have the CEO of the largest Wall Street company on the board which is supposed to be regulating. This is the fox guarding the henhouse.

(END VIDEO CLIP)

(END VIDEOTAPE)

WHITFIELD: Alison joining us now from the New York Stock Exchange.

So, Alison, do we expect anything to come out of the hearing in terms of more Wall Street reforms?

ALISON KOSIK, CNN CORRESPONDENT: And that's really the money question here. One thing that you may have heard Jamie Dimon say today, as he was testifying before the Senate Banking Committee, was that he's not necessarily against all regulation. He wants better and stronger regulation of what's in place now. He doesn't necessarily want more regulation kind of tacked onto it.

Now, with what's happened with JP Morgan and this $2 billion loss at the very least, is that it's created this sort of renewed focus on the so-called Volcker Rule. And what the Volcker Rule does is it prohibits banks from trading on their own accounts. It's part of the Dodd/Frank legislation that was passed in 2010.

Now, regulars, right now, are still crafting how this will work. A final rule is expected to come out soon. So the big question with it, Fredricka, ultimately is, how tough will this law be? You know, the law was written for allow for exceptions. For example, banks can trade with their own money if the goal is hedging against risk. But lots of critics say what happened at JP Morgan shows that stricter rules are needed.

Fredricka.

WHITFIELD: And so, Alison, if I'm not a Chase shareholder, do I care about these losses?

KOSIK: You should because if more regulations are sort of piled on because of these -- because of these trading losses, that could also affect how a bank does business in the long run. Tougher regulations probably means that banks are going to have less of a chance to make more money and let's say, maybe, they'll have less of an opportunity to maybe give out -- be more -- you know, they'll be more resonant to give out loans, let's say, for example. But that is certainly down the road. You know how things work on Capitol Hill. It takes forever to get anything passed.

WHITFIELD: All right, Alison Kosik, thanks so much, at the New York Stock Exchange. Appreciate that. All right, a new survey says the perception that women try to put other women down in the workplace is not true. The report by Catalyst says 65 percent of women, compared to only 56 percent of men, are likely to develop talent and help folks move up the corporate ladder. And that 73 percent of women help develop other women, compared to only 30 percent of men helping women. But the report says there is still a gender gap when it comes to pay and promotions.

And it's a battle over language in North Carolina. So how far should a school have to go to accommodate parents that don't speak English?

(COMMERCIAL BREAK)

WHITFIELD: All right, a dispute between a North Carolina school and three Hispanic families has outraged civil rights group. And now they're filing a federal complaint. It saying the school didn't provide the families with information in Spanish when their children were suspended from school, which meant they didn't quite understand what was going on. Let's bring in Rafael Romo.

Rafael, what exactly are the allegations in this complaint over all?

RAFAEL ROMO, CNN SENIOR LATIN AMERICAN AFFAIRS EDITOR: Well, Fred, nobody is disputing the fact that the school district -- and we're talking about Wake County Public School System -- distributes a lot of materials in Spanish, brochures, information about when students need to register and all of that.

What this particular case is about, is about three students who needed very individualized information about their cases, because they were being suspended. And what the complaint alleges is that the district didn't do anything to provide the parents with that individualized information. We're talking about three suspensions. And these two groups say that the parents should have been able to understand exactly what was happening to their kids, and also be able to know what their alternatives were, and that didn't happen. That's what they say.

WHITFIELD: So what's the school district saying about its obligation to be able to communicate with all parents?

ROMO: Well, I had a conversation with an administrator at the school district. And what they say is that they've been doing everything they can to communicate better with the parents, not only of kids who have parents who speak Spanish only, but different -- other languages in that part of North Carolina.

And we have a statement actually from the Wake County Public School System. They say, "the Wake County Public School System is committed to providing support for all parents with limited English proficiency, regardless of their primary language. WCPSS staff, from the central office to the school level, are actively reviewing our practices to ensure we are meeting families' needs at every opportunity." And what they tell me is that they had been meeting with these parties starting in May. And it came as a surprise to them that they went ahead and filed this complaint with the Department of Justice.

WHITFIELD: And why were the kids suspended?

ROMO: The kids were suspended because they were not compliant with some of the school policy. Two of the kids were disabled. The other was not. But that didn't have anything to do with this case.

And we also have the position of one of the groups, one of the organizations that filed this complaint. Let's take a listen.

(BEGIN VIDEO CLIP)

SEAN DRISCOLL, LEGAL AID OF NORTH CAROLINA: We're hoping that what will come out of this is systemic change, policy change in the school system that will impact people far beyond the three people that we're representing.

(END VIDEO CLIP)

ROMO: And, so, Fred, again, it's not what they say, it's not only about these three kids, but what happens if your child is suspended from school and you don't understand 100 percent why he was suspended and what alternatives you have, then you're left in the dark. That's the allegation.

WHITFIELD: That's a pretty -- yes, and it's a pretty significant Spanish-speaking population in this county?

ROMO: In that particular school district, 15 percent of the students -- of the student population are Latino. And about half of them have parents who speak primarily Spanish and have very limited English proficiency. So that's at the very heart of this question.

WHITFIELD: Got it. All right, Rafael Romo, thanks so much. Appreciate it.

ROMO: Thank you.

WHITFIELD: All right. He's not just a country music super star, he's also a philanthropist. I'll talk to Tim McGraw about what he's doing to help military veterans.

And, don't forget, of course you can continue to watch CNN live on your computer while you're at work. Head to cnn.com/tv.

(COMMERCIAL BREAK)

WHITFIELD: Bombs exploded across Iraq today killing 58 people. Most of the victims were pilgrims traveling from all across the country to a religious shrine in Baghdad. The worst incident was a car bomb in Hila that killed 20 people.

And Colorado's wildfire is so big that 1,000 firefighters are now fighting that blaze. It has now grown to more than 46,000 acres. And one family is mourning the loss of a loved one, found among the ashes of her cabin home.

(BEGIN VIDEO CLIP)

KAREN STEADMAN, MOTHER-IN-LAW KILLED IN WILDFIRE: You just think that if a fire is going to happen, that you're going to have enough time to grab things, to protect what is yours. And, you don't. You just don't. It came so fast. And it was too late.

(END VIDEO CLIP)

WHITFIELD: Officials are letting some people back to their homes. The fire is only 10 percent contained, but officials said just a little while ago that they are optimistic.

The wife of George Zimmerman is out of jail. Shellie Zimmerman made bond after being arrested Tuesday. She's accused of lying about the couple's finances. Her husband, George, remains in jail after turning himself in 10 days ago.

And this summer, one of country music's brightest stars is helping dreams come true for U.S. military families. Tim McGraw is helping to give away homes to vets who might never be able to afford one. This weekend he'll be performing in Philadelphia where he will give away yet another home. I talked with him about his mission.

(BEGIN VIDEOTAPE)

WHITFIELD (voice-over): Under his signature black hat, he's one of country music's biggest stars, with more than 37 million albums sold and more than 30 number one singles, a hugely popular leading man on stage and on the big screen.

TIM MCGRAW, "THE BLIND SIDE": I've seen that look many times. She's about to get her way.

WHITFIELD: And he's half of one of country music's most glamorous couples. All that spanning a 23-year career. Yet when I caught up with Tim McGraw in Tampa, he says a sense of purpose is now really coming together.

MCGRAW (on camera): I really feel like I'm just getting started. You know, I feel like I'm sort of learning what I'm doing now.

WHITFIELD: And learning more about the concerns of so many in the audience, including military vets. This month's kickoff of his Brothers of the Sun Tour with good friend Kenny Chesney is unlike any other stadium appearance.

MCGRAW: It's a pretty cool deal.

WHITFIELD: In each of the 25 cities they are performing, Chase Bank, along with three non-profit military support organizations, are giving away bank-owned homes to military families. WHITFIELD (on camera): Why is this so important to you, to help kick off your tour in 25 cities, 25 cities where mortgage-free homes would go to vets?

MCGRAW: For a soldier to have that, to come back from being wounded and giving everything that he's had to -- for us to be able to live in our home, to be able to get in our car and to drive around and go to our jobs and to have that sort of sense of freedom and that sort of sense of security for their family, I can't think of anything better for a wounded soldier to have.

WHITFIELD (voice-over): Wounded vets like Domenic Delucia.

DOMENIC DELUCIA, IRAQ VETERAN: It's something I wanted to do my whole life, ever since I was a little kid.

WHITFIELD: Seven years ago, he was on personal security patrol when his Humvee hit an improvised explosive device.

DELUCIA: Flipped it up in the air. What happened is that the engine block came through the passenger compartment so it pinned my leg down so I could not get out.

WHITFIELD: The left side of his face had to be rebuilt with titanium plates. Other head injuries surfaced later.

Now medially living off of retirement and disabled, it has been hard for the couple and the four children.

CHRISTINA DELUCIA, WIFE OF DOMINIC: We were in an unsure phase of the life trying to figure out exactly what the next move would be.

WHITFIELD: Six months ago, Christina Delucia joined a Wounded Warrior wife's page on Facebook for support.

CHRISTINA DELUCIA: It said that Operation Home Front's wounded warrior plan will give away mortgage-free homes to veterans, disabled veterans.

WHITFIELD (on camera): What did you think when you saw that?

DELUCIA: I thought it was too good to be true.

WHITFIELD (voice-over): She applied anyway.

CHRISTINA DELUCIA: It was like a week later they said you got the home.

(LAUGHTER)

WHITFIELD (on camera): What was that moment like for both of you?

DELUCIA: She was in tears.

(LAUGHTER) WHITFIELD (voice-over): The Delucias will move into the four- bedroom Orlando home later this month. But first they need to get over the shock of being selected and meeting the star who made it happen.

MCGRAW: It is one of those things, the American dream, and who deserves the American dream more than those guys? I can't imagine anybody who does. I am proud to be a part of it. I hope we can do more of it.

WHITFIELD (on camera): And apparently, while it starts out with 25, the goal is maybe 1,000 homes?

(CROSSTALK)

MCGRAW: Yes, that is what is the talk we are hearing. We are excited about it. I hope we can continue to work together.

WHITFIELD: Do you worry that the need is greater than supply?

MCGRAW: Look. There is a greater need than the supply no matter what you do in life. But if you help one person, then you help one person. And that's the ultimate goal is to help somebody and try to help a many as you can.

(SINGING)

WHITFIELD (voice-over): A goal country music's Tim McGraw is making possible, one concert, one home at a time.

(SINGING)

(END VIDEOTAPE)

WHITFIELD: If you are a veteran, you can apply to get a free home as well. Visit any one of these three web sites and fill out the details.

All right. The president of Israel is at the White House today. He is expected to push for the release of a man who has spent the last 25 years in prison for spying on the United States.

(COMMERCIAL BREAK)

WHITFIELD: A special guest at the White House this afternoon, two-time prime minister of Israel and current Israeli president, Shimon Peres. He and President Obama will sit down behind closed doors in a couple of house. And then a couple of hours later, Peres will receive America's highest civilian honor.

Athena Jones is at the White House.

Athena, when they meet today, what are they likely to discuss?

ATHENA JONES, CNN CORRESPONDENT: Well, hi, Fred. A lot is on the table. There's a strong relationship between the U.S. and Syria. You often hear the president speak of this unbreakable commitment by the U.S. to Israeli security. Among the issues likely to come up beyond U.S. and Israeli cooperation in the region and Middle East, are Syria and Iran. We know that President Peres told our own Christiane Amanpour that he would like to see the U.S. increase sanctions on sanctions on Iran as part of this fight to stop them from the nuclear pursuit. And we know that he would like to see increased sanctions.

On the side of Syria, President Peres appeared with Hillary Clinton at the Brookings Institution here in Washington. They talked about Syria and the concerns in the region about what happens in Syria. Secretary of State Clinton said that what happens in Syria with the Assad regime gravely affects the U.S., but it drastically affects Israel. Those are just two of the many issues likely to come up in the meeting in a few hours this afternoon.

WHITFIELD: Among other things, the case of the convicted spy, Jonathan Pollard, perhaps?

JONES: Well, we expect President Peres to bring it up, to ask the president to consider clemency for Pollard. This is a man who was in the U.S. Navy back in the '80s. He was convicted of giving classified information over to the Israelis and convicted with a life sentence. And we expect President Peres to ask President Obama for clemency. There is support from some members of Capitol Hill and members of Congress who says that this sentence should be commuted to time served, because of the health issues that Pollard is experiencing.

I asked White House Secretary Jay Carney about this. Here's what he had to say.

(BEGIN VIDEO CLIP)

JAY CARNEY, WHITE HOUSE PRESS SECRETARY: Sure. Our position has not changed and will not change today. The -- and I would simply remind you that Mr. Pollard was convicted of extremely serious crimes.

(END VIDEO CLIP)

JONES: There you heard Jay Carney say that. We don't know if we should read too much into the word "today," but we will have to wait to see what comes out of the meeting -- Fredricka?

WHITFIELD: What more can you tell me about the honor that will be presented to Shimon Peres later on?

JONES: The Medal of Freedom is the highest civilian award that America gives and it goes to people who, especially meritorious contributions to the national interests is or security. Back in May, you remember that the president had this big ceremony awarding of the medals to other people, John Glenn and Bob Dylan. And he talked briefly about President Perez, saying that he has done more about the cause of peace in the Middle East than anyone else. But Peres was not there. He is going to have a separate dinner tonight, and separately honored. And we should hear more about what Peres has done over the years, and also more about the close relationship between the U.S. and Israel. This is all kind of highlighted, not just by the meeting tonight, but by the night's events.

WHITFIELD: Athena Jones at the White House. Thank you so much.

JONES: Thanks.

WHITFIELD: The average American family lost 40 percent of their net worth to the recession. And for a lot of the minorities, the fall was steeper. We will look behind the numbers.

(COMMERCIAL BREAK)

WHITFIELD: We told you about the toll that the economy has taken on the net worth of families. And the typical American family lost 40 percent of its wealth in three years. That amounts to 18 years of family savings and investment. For minority families, the impact is even greater.

Joining us to talk about that is Algernon Austin, a sociologist with the American Family Institute.

Families have been hit hard, but Hispanic and African-American families have been hit the hardest. Why is that?

ALGERNON AUSTIN, SOCIOLOGIST, AMERICAN FAMILY INSTITUTE: Well, that is because for African-Americans the decline in homeownership -- and homeownership is the key source of wealth for average Americans. The decline in homeownership began in 2004, so since 2004 to 2011, we have seen the rate of the decline in homeownership being half the rate of whites. So there is a dramatic loss of wealth for African- Americans from 2004 to 2010, the most recent data.

WHITFIELD: What is behind the decline in homeownership in that time span specifically?

AUSTIN: Well, in that time span, and we saw the sub prime crisis, and we know that the African-Americans controlling for the credit score and incomes were much more likely to be given a subprime loan and high interest-rate loan, and the high interest rate loan makes it much more difficult for you to stay in the loan and to keep your home. So, that has led to foreclosure rates for African- Americans being twice the rate of other Americans.

WHITFIELD: Is this creating a widening wealth gap in the United States?

AUSTIN: Yes, we are seeing a widening wealth gap and homeownership gap. The projections are that when the foreclosure crisis ends the black homeownership rate will be 40 percent which is 10 percentage points down from the peak in 2004. That means that we will have lost more than a decade of homeownership growth, and it is being erased right now.

WHITFIELD: I want to look at the screen one more time, because based on the 2010 numbers, the contrast is extraordinary among white families and the family net worth is $130,600 compared to blacks, African-American net worth at $15,500 and at the root there you are saying property ownership in large part?

AUSTIN: Yes, for the average American the home is the major source of wealth. That is net worth and looking at the assets, the home, the savings, the car and minus the debt, of the mortgage and the credit card debt and the car note, et cetera.

WHITFIELD: OK. Now, what do you see in your crystal ball in terms off how things can be turned around?

AUSTIN: Well, we need to do -- homeownership, and it is important to understand that homeownership is an essential part of the American dream for most Americans, so this is a real national crisis and we need to do whatever we can to preserve the American dream. That is what we are talking about. We need to make sure that people can get into the lower interest rate loans to the extent possible. And we know that there are a lot of basically fraud putting people in high-risk loans. And to the extent possible, we need to reduce the principal. Many Americans of all races are under water. Their home, you know, they owe more than their home is worth.

(CROSSTALK)

AUSTIN: So to the extent that we can reduce that, that would be very helpful.

WHITFIELD: If you have a home, you have to work hard to figure out ways in which to keep it or hope for more programs and more avenues in which to become owners of homes.

AUSTIN: Yes, that's right.

WHITFIELD: Algernon Austin, thanks for you time. Appreciate it.

AUSTIN: Thank you.

WHITFIELD: New rules to protect kids on the football field, but will it be enough to protect your kids from head injuries? We'll take a look.

(COMMERCIAL BREAK)

WHITFIELD: This is for all women taking daily supplements. A government advisory panel says that post menopausal women should not take low doses of vitamins, because there is no evidence that vitamin d helps with broken bone, but it does help with kidney stones. Recommendations continue as part of a review.

And the oldest football league in youth football league in the U.S. is now changing its rules to reduce devastating head injuries.

CNN's senior medical correspondent, Elizabeth Cohen, here with us now.

We're talking about the Pop Warner league. More than a quarter of a million kids play in that league nationwide. What are the changes?

(CROSSTALK)

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Ages five to 15, some really little ones there. They've been looking at what's been happening. Five.

(CROSSTALK)

COHEN: I don't know. I don't have sons, but it's a shock that kids play that young. They're looking at what's happening in college football and pro football with the concussions and lawsuits. They have been looking at studies. They want to make it that during practices, this is not about play. It's about practices. You can only spend 40 minutes max tackling drills. Also no head on tackling drills from more than three yards away. You build up momentum and the crash is even stronger.

WHITFIELD: OK. It's likely to happen, those kinds of collisions while in games, but you cut down on those collisions in practice, then you are prolonging the health of these young athletes?

COHEN: Hopefully.

WHITFIELD: Then what's with the helmets?

COHEN: This is part of the reason why or the big reason why they made the changes was a because of a Virginia Tech study. It put sensors inside the helmet. If you look inside the helmet, these pads here, these white pads had sensors in them. They put them on the heads of seven and 8-year-old boys. They could see how many collisions they were having. About 107 collisions on a 7-year-old. Too much. Some of them were enough to actually give them a con suggestion.

WHITFIELD: You're kidding?

COHEN: That's pretty heavy duty.

WHITFIELD: So that study -- with the help of sensors, they made that discovery and that's what has precipitated some of the changes, where it comes down to practice.

COHEN: Yes.

WHITFIELD: What about other changes, or are they going to use the information to say we have to have more, better, reinforced helmets or gear?

COHEN: Even if you have the best helmet on, you'll have, for want of a better term, brain rattling.

(CROSSTALK)

WHITFIELD: There's going to be three impacts on your brain. COHEN: Exactly. You have a head-on tackle. That brain is going back and forth and hitting against the skull. You can have a great helmet on, and that's going to happen. Imagine that happening week after week, year after year. Some of these, the concerns is long term. It's not just any one collision, like in the movies when they fall to the ground. That's part of it, but it's also the long term of having this happen constantly.

WHITFIELD: This is incredibly. If you're starting as young as seven and going into your college years and then possibly professional years, there's almost an entire lifetime of head rattling. That's severe.

Thanks so much for bringing that us. Appreciate that.

WHITFIELD: Thanks.

WHITFIELD: Elizabeth Cohen. Appreciate it.

You want to talk about some tough times? Try packing a family of five into a single room.

(COMMERCIAL BREAK)

WHITFIELD: Five family members live together in a single room, mom, dad and three kids. Talk about tough financial times.

Here is CNN's Poppy Harlow.

(BEGIN VIDEOTAPE)

(CROSSTALK)

POPPY HARLOW, CNNMONEY.COM (voice-over): One room is now home to family of five.

TOLIA MOBLEY, UNEMPLOYED: The two girls sleep on the bottom. Our oldest sleeps on the top.

HARLOW: Mom and dad manage to sleep together on the couch.

TOLIA MOBLEY: Most of the time, I lay on top of him. The littlest one is here.

HARLOW: If you think you know what long-term unemployment can look like --

ADAM MOBLEY, UNEMPLOYED: Why don't you come in the kitchen?

HARLOW: -- think again.

ADAM MOBLEY: You can't understand something until you go through it.

HARLOW: Adam and Tolia Mobley brought in more than $100,000 just two years ago. By all measures, middle class, until they were both laid off.

Frightening new numbers show 50 percent of the unemployed in New Jersey have been out of work for more than six month, and it's a similar story elsewhere.

ADAM MOBLEY: I was a lead technician for Comcast.

HARLOW (on camera): You had it made?

ADAM MOBLEY: Yes.

TOLIA MOBLEY: I was customer service rep.

HARLOW: What's the hardest element of this situation that you think people might not know?

ADAM MOBLEY: It's definitely not financial. It's emotional. If you're not strong people, it can break you.

HARLOW (voice-over): The Mobley's unemployment checks have run out and they have exhausted their savings.

ADAM MOBLEY: Only benefits we get from the state is assistance with the food.

HARLOW: Human services of Morris County, New Jersey, where they live, has seen the food stamp case load surge 140 percent since 2007.

PHYLLIS TONNESEN, DEPARTMENT OF HUMAN SERVICES, MORRIS COUNTY, NEW JERSEY: Seeing daily unemployed families is new for us.

HARLOW (on camera): The bottom is falling out from the middle class?

TONNESEN: I believe so.

HARLOW: Have you seen something like this before?

TONNESON: No, not like this, no.

HARLOW (voice-over): This is one of the wealthiest counties in America. The media household brings in over $91,000 a year, but when you can't find a job here, you can't get by.

TOLIA MOBLEY: Sent out a lot of resumes and pray to God someone gets back to you.

HARLOW: 500 resumes later, no one has offered her a job.

(on camera): How long do you think you can go on like this?

ADAM MOBLEY: Honestly, not very much longer.

(CROSSTALK)

ADAM MOBLEY: How was work? HARLOW (voice-over): Afternoons are spent at grandmas with their three kids, then it's back to Laura Sullivan's house where they are living rent free.

(CROSSTALK)

HARLOW: She took them in after knowing them less than a year.

LAURA SULLIVAN, TOOK IN THE MOBLEY'S: People ask why would you take someone in and you have no privacy? I'm like, honestly, you want to compare my privacy to a family not having a home. Is there any comparison?

What does that say?

HARLOW: It's far from ideal, but when you get out of work this long, there's no room for ideal.

(on camera): That was six months ago. I did speak with Adam Mobley, the father, last week on the phone, but the family was not able to do a follow up interview with us. He told me he and his wife have not been able to find a job. The friend they were living with moved so the family is living with Adam's grandmother.

I asked them if they thought President Obama or Mitt Romney could do something to change their situation. Adam told me he's not supporting either candidate because he doesn't think either can get people back to work as quickly as they say that can. Adam refuses to vote, saying he doesn't believe that politicians care about people like him and his family.

Just a little perspective as we hear so much about jobs on the campaign trail.

Poppy Harlow, CNN, New York.

(END VIDEOTAPE)

WHITFIELD: Much more of the CNN NEWSROOM continues. I'm Fredricka Whitfield.

Brooke Baldwin is next.