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Syria Crisis Escalates; New Images of Mars; President Obama Campaigns in Colorado

Aired August 08, 2012 - 15:00   ET

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


ALINA CHO, CNN ANCHOR: Top of the hour now. I'm Alina Cho, in for Brooke Baldwin.

Thanks for joining us. All eyes this hour are on the urgent situation inside Syria. Government forces are hammering rebel fighters again today. It's all happening in the city of Aleppo. These are pictures just in to CNN brought out of Aleppo by our Ben Wedeman and his crew.

Syrian state television is reporting that government forces have taken control of key neighborhoods. But rebels deny that they are retreating.

Just a short time ago, I spoke with Ben Wedeman by phone from northern Syria about what he is seeing.

(BEGIN VIDEO CLIP)

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: What we saw was a city very much at war, at least about half of it under the control of the Free Syrian Army.

We saw that the government is not hesitating to use its firepower, its artillery, its tanks, its warplanes to fire not only upon the combatants in neighborhoods like Salahuddin like you just mentioned, but other neighbors as well where they still have significant populations and just a handful of fighters. These areas are coming under regular bombardment.

Last night we had a very hard time getting any sleep at all with all the bombardment that was going on. The humanitarian situation, very difficult. Food supplies are tenuous at best. Doctors say telling us that they are running low on medicine,medical supplies and medical staff as well as many of those who could help the wounded are unable to get to the parts of town that are controlled by the rebels.

We're hearing this evening from the official Syrian media that regular troops have entered and retaken the Salahuddin neighborhood, a very strategic neighborhood as it lies right next to the entrance of Aleppo, of the main Damascus Aleppo highway. Rebel commanders however say it's not true and that they inflicted heavy casualties on the government forces destroying they say anywhere between one and four of the government tanks and that they have not ceded any ground at this point.

(END VIDEO CLIP) CHO: That was our Ben Wedeman inside Syria.

Meanwhile, another story we're watching closely, the mission to Mars. It continues to thrill just about everyone. NASA's Curiosity rove is on its third day on the Red Planet some 352 million miles away.

And this is one of the new images that NASA released just this afternoon. It's a panoramic view of the Mars horizon. The team at the Jet Propulsion Laboratory pieced it together.

What struck them and how much is Mars like Earth?

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: The thing that really struck the science team about this image is that you would really be forgiven for thinking that NASA was trying to pull a fast one on you and we actually put a rover out in the Mojave Desert and took a picture, a little L.A. smog coming in there.

The thing that's amazing about this is, to a certain extent, the first impression that you get is how Earth-like this seems looking at that landscape.

(END VIDEO CLIP)

CHO: how Earth-like it seems. That's pretty incredible. Yesterday, engineers released Curiosity's the first color photo from Mars. There it is. All of it more evidence of what a stellar success this mission has been even in this early stage after launching the rover just eight months ago.

The odds were against it. More than half of NASA's landings to Mars have failed.

Want to go now to CNN's John Zarrella at NASA's Jet Propulsion Lab in Pasadena, California.

John, you're on the surface of Mars or something sort of like it, right?

JOHN ZARRELLA, CNN MIAMI BUREAU CHIEF: Yes. I think it's as close as I'm ever going to get. That's for sure.

I like to call this sort of the sandbox. This is a place where they replicate right down to the lighting. This lighting you're seeing above me is pretty much exactly the yellowish kind of tint that's -- we talk about Mars being a red planet, and that's because of all the iron that there is in Mars.

You can see right now this is the mast and it started to twist just a bit. It turned. The reason it did this is because you're looking at an engineering model of the Curiosity rover. This is an exact replica of Curiosity on Mars.

What they do is everything that Curiosity does or has done, they replicate it. They duplicate it here, so they make sure that everything is working properly. So, what you just saw, the turning of the mast cam, is something that already took place on Curiosity hours ago.

It may move a bit little bit more here because what they actually are doing here, taking some of the images that you saw released today -- here you can see it moving again -- were taken by two cameras that are up underneath here and also the stereo cameras.

Some of the pictures that were released today showing in the distance the crater wall from the Gale Crater taken by this mast cam. There was also an image of the top of the Curiosity rover that was taken by this camera earlier today that was released. In this room here, this test bed, so that they make sure that everything -- if, for example, something goes wrong up there, they run into a boulder, something stops working, they use this rover to test and try and figure out what they need to do to make the one up there work.

This is a key piece to the success ultimately of this two-year-long mission -- Alina.

CHO: John, I'm curious to know. One of the things that struck me when we were just listening to that man from NASA speak today was that he said that the surface is not unlike Earth. I'm curious to know even though we're in this early stage of the mission, from the photos they have seen, what have they been able to glean?

ZARRELLA: Well, you know what? What they told us was that they haven't gleaned a whole heck of a lot yet, other than one of the key things they were talking about is in the Martian -- this is sort of like what Mars looks like.

Those rocket engines from when Curiosity landed, from that descent stage actually pushed all of this dirt aside and revealed to them bedrock. They have already seen something they didn't think they would see, that bedrock is very close to the surface at that spot. Already, the science team is saying, hmm, maybe one of the first things we will do is go over there and look at that bedrock and see what's under there, because they have always thought that if there were water on Mars it would be kind of a slushy, icy water underneath the surface.

Who knows? Maybe they will get lucky right off the bat and find water buried underneath the surface. You never know, and that's why they're there.

CHO: That would be almost as good as little green men.

All right, John Zarrella, thanks for joining us. Always great to see you.

President Obama speak from a state in which he is trailing Mitt Romney in the polls. We're going to bring that to you live in a moment. Stay right here.

(COMMERCIAL BREAK) CHO: We want to take you live to Denver, Colorado, President Barack Obama at a campaign stop there in Denver. It's his seven visit to the state since announcing reelection and his 10th since becoming president.

The president focusing on women voters, strong supporters of Obama, and health issues. He also just said that the thoughts and prayers of the nation are with the victims in Aurora following the theater shooting there. Let's listen.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: And the reason it's intense is because the choice that we face in November could not be bigger.

It's not just a choice between two candidates. It's not even just a choice between two parties. More than any election in recent memory, this is a choice between two fundamentally different paths for our country's future.

And the direction that you choose, the direction you choose when you walk into the voting booth three months from now will have a direct impact not just on your lives, but on the lives of your children and the lives of your grandchildren.

And that's true for everybody, but it's especially true for the women in this country, from working moms to college students to seniors, because when it comes to the economy it's bad that our opponents want to take us back to the last policies of the past decade, the same policies that got us in this mess in the first place, the same policies that saw jobs go overseas and ended up seeing people's wages and incomes going down, even as the cost of everything from health care to college were going up, policies that culminated in the worst financial crisis since the Great Depression and that we have spent now 3.5 years trying to recover from.

That's bad enough. But when it comes to a woman's right to make her own health care choices, they want to take us back to the policies more suited to the 1950s than the 21st century.

And, Colorado, you got to make sure it does not happen. The decisions that affects a woman's health, they're not up to politicians. They're not up to insurance companies. They're up to you.

(CHEERING AND APPLAUSE)

OBAMA: And you deserve a president who will fight to keep it that way. That's the president I have been. That's the president I will be if I get a second term as president of the United States to keep moving this country forward.

(CHEERING AND APPLAUSE)

OBAMA: On the issues that matter, you don't have to take my word for it. You can take me at my record.

Four years ago, I delivered on my promise to pass health reform before the end of my first term. That's what we did, the Affordable Care Act, also known as Obamacare.

(CHEERING AND APPLAUSE)

OBAMA: I actually like the name, because I do care.

(LAUGHTER)

(CHEERING AND APPLAUSE)

OBAMA: That's why we fought so hard to make it happen.

The Affordable Care Act helps make sure you don't have to worry about going broke just because one of your loved ones get sick. Insurance companies can no longer place lifetime limits on your care. They can no longer jack up your premiums without reason. They can no longer drop your coverage when you need it most. They can no longer discriminate against children with preexisting conditions.

And pretty soon, they will no longer be able to deny you coverage based on a preexisting condition like breast cancer or cervical cancer, or charge you more for care just because you're a woman. They can't do that anymore. Those days are over.

(CHEERING AND APPLAUSE)

OBAMA: This is a law that allows young adults under the age of 26 to stay on their parents' health care plans.

(CHEERING AND APPLAUSE)

CHO: President Obama on a two-day swing through the pivotal state of Colorado, a state that he won back in 2008.

But according to the latest "New York Times"/Quinnipiac/CBS News poll, he is trailing Mitt Romney by five points in that state, within the margin of error, but nonetheless appealing to women as you just saw there saying in once instance, when it comes to women's health care choices, his opponent wants to take our country back to the 1950s, and he wants to go into the 21st century.

We're watching that very closely.

Meanwhile, as President Obama continues to campaign in Colorado, his challenger, Mitt Romney, is planning a bus tour this weekend. And there's a lot of speculation that Romney could announce his running mate very soon.

Our John King, nobody better, has been digging into this. He will join me live next to break down the V.P. possibilities. Stay tuned.

(COMMERCIAL BREAK)

CHO: Welcome back.

Politics now. We want to take another look at the poll that was released today that reflects a bit of wariness towards Mitt Romney's favorability. Take a look at the screen there. The number you need to at really closely is 49, 49 percent. That's Mitt Romney's unfavorable rating in the poll released today by "The Washington Post" and ABC News.

We should mention it's four points worse than May and the worst such showing for a presidential hopeful this close to the election since back in 1984.

Our John King is with us now from Washington. He's been watching the veepstakes very closely.

John, we're getting very close to the day when Romney selects his running mate or we think. One never knows. There's been some thought that it might happen ether tomorrow, perhaps Friday, ahead of his bus tour that he's launching on Saturday. But he would be competing with the Olympics. What is your best guess in terms of when we might hear an announcement?

JOHN KING, CNN CHIEF NATIONAL CORRESPONDENT: You just made a very important note. He would be competing against the Olympics.

We are told it could come any day now. There are some people in the campaign who say if Governor Romney says, bang, I have made that final decision, we might get it as early as Friday.

But Mrs. Romney is not back from the Olympics yet. Governor Romney once ran the Olympics in Salt Lake City. He knows the closing ceremonies Sunday night will get a lot of attention. The smart money in the campaign is look for next week.

Most people think the window really opens on Monday. They think that some time next week we will get the governor's pick. You just made a very important point about that polling. With a 49 percent negative rating, this tells you vice presidential picks don't settle the election. But the next two weeks are pivotal for Governor Romney.

He owns the second half of August, if you will. He will get to roll out his vice presidential pick, then repackage his economic plan, then go into his convention. This pick is part of what is perhaps a very crucial stretch for Governor Romney.

CHO: One thing that came out earlier this week, as you know, John, is a list of speakers who will be at the RNC, including Rick Scott, John McCain, Mike Huckabee, Condoleezza Rice, Jeb Bush, Rand Paul, Rick Santorum.

It's the names that we don't see on the list that we want to pay attention to. Right? You have been looking a lot into this. Who should we be watching very closely?

KING: I think most closely you want to watch people out of the Midwest. When you look at the map, Governor Romney sees the Midwestern states. He has to win Ohio. It's almost impossible to see Governor Romney winning the presidency without winning Ohio.

So look very closely at Senator Rob Portman, the senator from Ohio. He's also served in the House and he served in the Bush administration as the trade representative and as the budget director. He's high on the short list. Governor Tim Pawlenty, the former governor of Minnesota, he was a candidate, a rival of Governor Romney early in this campaign. When he dropped out, he quickly endorsed. He also has some Midwest appeal.

Unlikely he would put Minnesota in play, but he's very good in the small towns. I spent some time with him last week in Ohio, very good in small towns, unlike Governor Romney very comfortable in like an Irish public, for example, mixing it up with blue-collar voters.

You also hear about Paul Ryan. He's the House Budget Committee chairman. He's from Wisconsin. He's a House member. He's never won a statewide election, never played in national politics, but a lot of conservatives say that would be a bold pick there. Those three I think are atop the short list in part because of how they match up with Governor Romney on the policy-wise, but also because of their different strengths, but also because the Midwest, those Midwestern states, Ohio, Michigan, potentially Wisconsin, maybe even Pennsylvania, critical to the governor's math.

CHO: Listen, John, you were just watching the president who is in Denver appealing to women voters. Obviously the Obama campaign likes to talk about the fact that he's strong with women and that Romney is not so strong with women. What's the odds that we could see a female candidate, a Sarah Palin type coming in, in 2012?

KING: Remember, when Governor Romney ran for governor of Massachusetts, he picked a female running mate as his lieutenant governor there.

There's no question Governor Romney He knows the data. He studies the data in a very methodical way. He knows about the gender gap. Of course they would love to have at least a woman on the short list. Condoleezza Rice's name was floated one point. Safe to assume now, we're told, or pretty safe anywhere, that she's no longer in contention.

The question is who. If you look around, Susana Martinez, if she were in her second term as governor of New Mexico, not her first term, boy, you know she would be on the short list. Yes, in the Romney campaign, they say they have looked at female candidates. There could a surprise. But when you ask people close to the process for the short list, at this moment you don't get any women.

CHO: It's so exciting. I love when this announcement comes. It's just one more thing to watch for in this hotly contested race.

John King, we thank you as always for joining us.

KING: Thank you.

CHO: All right, as President Obama and Mitt Romney bicker over the middle-class taxes, women voters, in one country, there's a proposal to tax the rich 75 percent. You heard me, 75 percent. Our Richard Quest has some thoughts on this. He's going to join me live next. (COMMERCIAL BREAK)

CHO: Well, as if Greece, Spain and Italy weren't dragging down Europe's economies enough, a report out today says France is headed back into recession.

France new Socialist president has vowed to sure up the country's balance sheets by slapping the wealthy with a 75 percent tax. You heard me.

CNN's Richard Quest joins me now from London.

Richard, Francois Hollande had made this promise during the campaign to tax the wealthy at 75 percent. Is this actually going to happen?

RICHARD QUEST, CNN CORRESPONDENT: Oh, entirely possible.

The parliament is due to vote on it in September. Remember he had a lot of support in the presidential election and in the parliamentary elections. The tax will be 75 percent on anyone earning more than a million euros a year. That's about $1.2 million.

It really does put a lot of blue water or green ink between them and other countries, the U.S. at whatever the top rate of taxes, under 40 percent, 35 percent, the U.K. at 50 percent going down to 45 percent.

Even Belgium is at 60 percent, but 75 percent, this is what 75 percent would look like if you have got a 10 euro note. You know the old bit, a bit for you, a bit for me. That's the bit that would go to the tax man, that bit, and you would be left with that bit, just an incy-wincy little bit at the end.

This, of course, is what Hollande is saying is the fair way. In a funny perverted sort of way, Alina, it's a modification, if you like, it's an extension, it's a gross exaggeration of the Buffett rule, which says the wealthy should pay their fair share. But what Hollande has done is squeeze them until they squeal.

And many rich are saying, we're off.

CHO: Listen, it has one of the largest governments in Europe. It has among the best social policies, according to supporters of Hollande, of course, who will say, we're happy to pay it.

Having said that, I remember, Richard, very well. I was actually in France during the election. I was speaking to my French friends. Of course, this was all they could talk about. They said, listen, if this actually happens, there's going to be a mass exodus in France.

What's the reaction been?

QUEST: There is going to be.

Yes, people are saying -- and I have spoken to bankers, I have spoken to industrialists, and they all say, will the last person out switch off the lights? The truth is, though, the word you're trying to avoid using is socialism. And there's no doubt that the policies of Hollande -- and he was quite open about it -- raising taxes, increasing spending on certain social welfare, increasing the national minimal wage, all these things at a time when the rest of the Europe is austerity. Europe, they seem to go counter to that.

So, what we have is France on a frolic of its own with a very expensive, potential tax policy. And I'm curious to note and we've told us, Alina, your friends, your well-heeled friends, clearly, they could be in the 70 percent range.

CHO: You know what, it's not going to be as good as your prop because nobody beats you, in terms of that.

But I have to tell you. We did do the math, you know, on 1 million euros, as you mentioned, about $1.2 million, U.S. That works out to $930, U.S., in taxes. It doesn't leave -- well, you know, it still leaves a lot, but in the eyes of some, doesn't leave much after you've been levied that heavy tax.

All right, Richard Quest, always great to see you.

QUEST: Thank you.

CHO: I'll come visit you in London at some point soon, I hope.

QUEST: Bring the money.

CHO: All right. All right, thanks.

Listen to this, the Obama administration reportedly wants to cut a deal with the Taliban. We're talking about a prisoner swap involving an American soldier and the U.S. apparently just sweetened the deal. We'll go live to the State Department, next.

(COMMERCIAL BREAK)

CHO: We're just getting this into our newsroom. The Obama administration reportedly wants to cut a deal with the Taliban and it involves a prisoner swap. Our Elise Labott joins us now from Washington.

So, Elise, you tell me that this has been going on for quite some time, but what is the back story?

ELISE LABOTT, CNN FOREIGN AFFAIRS CORRESPONDENT: Well, Alina, basically, the U.S. has been trying to talk to the Taliban for a really long time. You know that the U.S. and other NATO troops are trying to get out. They really feel like peace talks, not just the U.S. and Taliban, but with the Afghan government and the Taliban are really the only way to end this war.

And, so, the U.S. has been trying to make a prisoner exchange with the Taliban in exchange for five Taliban prisoners that are currently at Guantanamo Bay. The U.S. wants the Taliban to release Army Sergeant Bowe Bergdahl who's been captured by the Taliban in 2009, believed to be somewhere in Pakistan. Now, earlier this year, the U.S. was proposing that the U.S. would release some of these prisoners, a couple of these five prisoners, and then hoping the Taliban would release Sergeant Bergdahl.

That really didn't go anywhere and the talks between the U.S. and the Taliban have stalled. The Taliban complain that the U.S. wasn't really negotiating in good faith.

And, so, now, the U.S. is trying to sweeten the pot. It's saying, we'll saying we will release all five of these prisoners, then you release Bowe Bergdahl and they're hoping that this could be the impetus to restart some talks that have stalled for a while, Alina.

CHO: All right, Elise. We know you'll be watching it closely. Elise Labott, joining us from Washington, thank you very much.

I want to pass on some news just in to CNN. We are getting word that police in New York have received new information in the Etan Patz case. You'll recall that he is the 6-year-old boy who went messing back in 1979.

A man has been arrested and charged in that case and we are now being told that investigators are searching for clues in a new spot. We're back with you next.

(COMMERCIAL BREAK)

CHO: Welcome back. One of the most famous families on television, the Osbournes, are in a nasty dispute with NBC over allegations of discrimination. Here's the story.

Today, first, we should mention that the feud just got uglier. Jack Osbourne says that NBC fired him from a new boot camp reality show after learning that he was diagnosed with multiple sclerosis.

Now, the show is called "Stars Earn Stripes" and it requires that celebrities battle each other in rigorous, military training exercise.

Now, Jack blasted NBC on Twitter today, calling for a boycott. He says that NBC fired him for no other reason than his medical condition, using a few expletives there.

Now, his mom, Sharon, you know her, reportedly just quit NBC's "America's Got Talent" in support of her son. She told "The New York Post," quote, "I just can't be fake. It's discrimination and it was badly handled. Think of the good that it could have done to show other people who have this condition that your life is not over."

Criminal defense attorney Joey Jackson is "On The Case" for us. So, Joey, what do you make of all of this?

JOEY JACKSON, DEFENSE ATTORNEY: Well, we have to be very careful because we don't want to get boycotted either, right? But listen, there are, indeed, federal laws that protect against medical conditions and disabilities. For example, you have the Americans with Disability Act, the ADA, of course, and you have the Family and Medical Leave Act.

But it's very difficult and here's why if they pursued a lawsuit on those claims. Because, indeed, an employer has to provide a reasonable accommodation, but at the same time, the employee has to be fit to do the task that the employer wants them to do.

In this particular instance, if there's multiple sclerosis or if there's some type of ailment they have that would prohibit that, it would get difficult.

CHO: Well, Joey, you make an important point and, in fact, we should mention that NBC did release a statement, saying, in part, quote, "We hold medical information in strict confidence and, therefore, cannot comment specifically about Jack. But as a company that cares deeply about the health and safety of everyone on our shows, especially one like 'Stars Earn Stripes' that requires dangerous water stunts, strenuous physical activity and uses live ammunition, we required all potential participants to undergo medical vetting to ensure that they could safely participate.

"Although we did not ask Jack to participate in the competition, we were able to offer him two substantial alternative roles on the show, both of which he declined."

Seems pretty thorough there, doesn't it?

JACKSON: Yeah, well, see, that's a problem because, if you're not fit to do those chores or those issues or whatever stunts they're doing, then it's problematic to the employer and the problem here is that the ADA, Americans with Disabilities Act, says if what you cannot do, if it's a disability, although they have to provide reasonable accommodation, unduly interferes with the employer then it's a problem.

CHO: Even if ...

JACKSON: And, also, Alina, if you provide reasonable alternative assignments and the employee says no, what can you do?

CHO: Even though, as Jack Osbourne and Sharon Osbourne point out, according to them, that he received an e-mail that he was being fired two days before the show was to be launched. I mean, what do you make of that?

JACKSON: I mean, that's a problem. But that goes more to how it was handled. Did they address it properly? Did they have adequate sensitivity and did they do it in the right way? I mean, I'd argue no, but whether or not it constitutes some type of legal cognizable cause of action is just a different story, Alina.

CHO: Bottom line, Osbourne's, in your estimation, don't have case?

JACKSON: Bottom line is that, if they pursued one, it would be very difficult to prove under these circumstances just based on the nature of the show, what's required and, of course, they have an obligation to keep the employee safe, as well. CHO: It's fun to talk about, though, isn't it, Joey Jackson?

JACKSON: There's no question about it.

CHO: All right.

JACKSON: I'm sure he'll be suited for one and life will go on.

CHO: All right, Joey Jackson, we thank you for that.

I want to get back to our breaking news. We have this just in to CNN. New York police investigators are once again in the Lower Manhattan, Soho, where Etan Patz disappeared back in May of 1979. He was just six-years old. You'll remember that he was the first missing child ever to appear on a milk carton.

Our Susan Candiotti has been following this case very closely. So, Susan, what prompted this new search?

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: Well, there's been some new information, although police sources won't tell us exactly what that new information is.

You might recall, Alina, that whatever it was that brought them here might have been prompted by the fact that they have under arrest now a man by the name of Pedro Hernandez.

Although this is someone who has allegedly confessed to killing Etan Patz, someone who knew him from very long ago because he lived and worked in this area, nevertheless, that case is at a standstill at this time while they complete psychiatric examinations on this man because he is said to have been on medication.

However, whatever it was that brought them down here prompted authorities and homicide investigators using their crime scene detectives to go down into this basement again that they had previously searched.

We saw a thick shovel coming out of there and four, large, paper bags that were loaded up into a crime scene unit as they completed their investigation. They were here all day and are just now wrapping up the scene.

So, exactly what they're looking for, we're not exactly sure, but we know it's part of an ongoing investigation to try to move this case forward or end it, if it turns out that the alleged confession made by Mr. Hernandez doesn't hold up.

Alina?

CHO: All right. Susan Candiotti, we thank you very much. We'll check back with you later.

Well, you call, you text, you get directions, all from your mobile phone and, coming soon, that phone could also help you buy your espresso. We are breaking down the partnership between Starbucks and a mobile app, next.

(COMMERCIAL BREAK)

CHO: All right. A new development for the laziest of coffee connoisseurs. Soon, you won't even have to swipe a card to buy your grande skinny caramel latte or your tall Americano, in my case.

Starbucks has just signed Square Incorporated to process its credit and debit card purchases. Square's mobile app uses a different technology that does not require swiping or tapping a card, but you do have to register for it.

We want to find out how this all works, so let's turn to CNN's Silicon Valley correspondent, Dan Simon. So, Dan, you say this is going to take actually take effect this fall. How does it work?

DAN SIMON, CNN SILICON VALLEY CORRESPONDENT: Well, Alina, this is a very big deal. The notion of never having to grab your wallet to pay for anything is happening sooner than we all might realize.

That's because Starbucks, as you said, has formed an alliance with the San Francisco start-up called Square to handle all of its credit card transactions.

Now, let's be clear. The credit card isn't going away any time soon, but let me explain how this might work. You simply would pay by saying your name. So, you go into, say, a retailer or coffee shop like Starbucks and a photo of you will appear on an iPad screen.

And then you go and do all your shopping and then you go up and you want to pay and you just say your name and then they'll compare your actual face to the photo. You don't have to take out your phone. There's no credit card. There's no signatures. That is it.

That is what is eventually coming to Starbucks. At first, they're going to roll this out in the fall. First, you'll pay, if you want to, by scanning a bar code on the phone that will charge your credit card.

That's what's coming down the pike and the fact that Starbucks is doing this will signal to other major retailers that perhaps they should get into this mobile technology. It's very exciting for the retailers.

CHO: You watch this very closely. Is there any indication that that's coming soon?

SIMON: Yeah. No question about it. Mobile technology is a white-hot space and we're seeing a lot of competitors getting into it. PayPal, of course, is a big name. Intuit has been doing this for a while, but Square has really captured the headlines.

And the fact that Starbucks has said that they want to work with Square is a very big deal and may lead other, as I said, other retailers to do the same thing. So, I would imagine in the next year or two that, if people want to pay simply by using their phones, that option will be available to them, Alina.

CHO: You won't need pennies or dollars anymore. All right, Dan Simon, thanks so much.

Eight-hundred-thousand people forced to leave their homes as floodwaters rip through the Philippines. We are going to take you on the ground there, next.

(COMMERCIAL BREAK)

CHO: All right. We're just a few minutes away from the top of the hour. That means my friend, Wolf Blitzer, in "The Situation Room." Wolf is here with a preview. Hey, Wolf.

WOLF BLITZER, HOST, "THE SITUATION ROOM": Hi, Alina. We've got lots of news coming up in "The Situation Room."

Newt Gingrich is going to be joining us, by the way. We've got important issues that I want to raise with him. Is he going to be delivering a major speech at the Republican presidential convention at the end of August -- end of this month in Tampa? Has he been invited yet to deliver a speech?

We know that Rick Santorum has been invited. I'm anxious to hear if the former speaker of the House has already been invited to deliver a speech or not.

Also, Bill Burton is going to be joining us. A lot of people don't know who he is. He's the former White House deputy press secretary. He worked for President Obama.

He now runs the pro-Obama Super PAC that came out with that rather controversial ad the other day suggesting that Mitt Romney may have, at least indirectly, been responsible for the death of a woman whose husband lost his job.

So, we're going to go through all of that with Bill Burton.

We got a lot of other news coming up. So, we're watching all of these stories very, very closely, Alina. As you know, we always do that.

CHO: I know you do and I will be watching.

You know what my mom said to me yesterday, Wolf?

BLITZER: What?

CHO: That Wolf Blitzer, he is so nice to you. He is so nice to you. She can tell on TV.

BLITZER: Your mother's a lovely lady. I've had the pleasure to meet her. And you know what they say, Alina? The apple doesn't fall far from the tree. CHO: See? See? This is why I said that. All right, Wolf. I'll see you at the top of the hour. Thanks so much.

BLITZER: Thank you.

CHO: Good to see you.

Nearly 800,000 people evacuated from their homes in the Philippines to try to dodge a massive flood there. One-third of Manila is under water, residents trying to scoop gallons of water from their homes.

And, as Alex Zolbert reports, it may take weeks for those floodwaters to recede.

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ALEX ZOLBERT, CNN CORRESPONDENT: A break in the rain on Wednesday, the cleanup got underway in the Philippines' capital of Manila.

People rummaging through their flooded homes, discarding trash and bailing out the water with buckets and shovels.

And it was back to work for many of the more than 12 million people living in this city with the roads, again, jammed. But for many people here, it may be quite some time before life returns to normal.

This is the scene here in one shantytown in Quezan City, one of the hardest-hit areas in Metropolitan Manila. As you can see, this shantytown is completely submerged in water. You have people in boats trying to pick valuables out of this debris that is just being swept through this fast moving current of water.

That water, at times, moving massive piles of what was once people's homes.

Arnold Tenio, a taxi driver, brought his family to the Santo Domingo church-turned-evacuation-center.

The water was rising fast Tuesday night, he says. It was up to our necks. Now, he's not even sure if his home even exists.

But I still have my taxi, he adds. So I can provide for my family and we're all safe.

Virginia Tusenko (ph) says the water at her home was over their heads. She came here with her family and only a blanket.

But those staying here at this church, which was home to about 3,000 people on Tuesday night, are getting help.

UNIDENTIFIED MALE: The generosity of the people is really showing. You really feel their generosity. Donations just keep pouring in. If the weather improves, conditions improve, I think most of them will be going home by tonight.

ZOLBERT: But then came this, later on Wednesday, more rain, which is probably the last thing these people here ever want to see.

And when you look at the rainfall totals, it is simply staggering. We're talking about two-to-two-and-a-half feet of rain in about the past 48 hours

So when people wake up here on Thursday morning in Manila, they will certainly be hoping for clearer skies. Alina, back to you.

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CHO: All right. Alex Zolbert, thank you very much.

Other stories unfolding this hour. A severe typhoon slams the East Coast of China, south of Shanghai. Just look at the buildings and homes that Typhoon Haiku destroyed when it hit land this morning.

More than 600,000 people have been evacuated from the storm's path. It's the third tropical cyclone to hit China's East Coast in less than one week. Winds are expected to weaken as the storm moves across land. That often happens, but it will continue to dump large amounts of rain, raising the risk of landslides and flooding.

Country music star Randy Travis arrested last night on charges of driving while intoxicated. The story takes a strange turn. According to police, they found Travis lying naked on a remote road in Northern Texas and smelling of alcohol.

And that's not all. His car was apparently wrecked nearby and the singer allegedly threatened to shoot highway patrol troopers who responded to the call.

Travis is free on bond today. This is his second DWI arrest just this year.

New York Governor Andrew Cuomo is cracking down on bath salts which can be dangerous when inhaled.

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ANDREW CUOMO, GOVERNOR, NEW YORK: We're talking about poison. This is poison that is being distributed and sold. All this, Mr. Happy, California Dreams, Blueberry Blast, it is poison.

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Cuomo announced tough new penalties yesterday for anyone who buys, sells or possesses bath salts or synthetic marijuana. Bath salts are already banned in New York state, but drug makers can sometimes skirt those bans by modifying ingredients.

And Penn State is tweaking its football uniforms in the wake of the Jerry Sandusky scandal. A blue ribbon on every uniform will now signify support for victims of child abuse. And, for the very first time, football players' last names will also be featured on the jerseys.

Former Assistant Coach Sandusky was convicted in June of more than 40 counts of sex abuse.

I'm Alina Cho. I'll be back with you tomorrow. "The Situation Room" with Wolf Blitzer starts right now.

BLITZER: Alina, thanks very much.