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American Morning
Super Bowl Lawsuit; iPhone Battle; Congressman Resigns After Craigslist Scandal; Dishonorable Tax?; Worker Strikes in Egypt; Fireball Levels Homes
Aired February 10, 2011 - 06:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KIRAN CHETRY, CNN ANCHOR: New this morning, a married congressman abruptly quits just hours after a gossip Web site reported that he sent a shirtless picture of himself to a woman he met online.
T.J. HOLMES, CNN ANCHOR: Also, when is a simple breakfast request a big deal? When it's coming from Congresswoman Gabrielle Giffords -- her recovery continues and she wants toast.
CHETRY: And digging out down South -- a blast of winter cold, up to two feet of snow in some places. It's been a brutal winter and it continues on this AMERICAN MORNING.
(MUSIC)
CHETRY: And good morning to you. Welcome to AMERICAN MORNING. It's Thursday, February 10th. I'm Kiran Chetry.
HOLMES: And good morning to you all. I'm T.J. Holmes. So glad you could be here with us.
CHETRY: We got a lot going on today.
We begin with some breaking news, a fireball and an inferno. Two homes blew up in Allentown, Pennsylvania. The fire chief now says eight homes in total are destroyed. And at least two city blocks had to be evacuated. All the people living there told to get out. There are reports that six people are missing, firefighters are now sifting through the debris.
There were 500 people in total that had been taken to shelters. The gas company came to the scene to shut off the gas line. The chief says that gas is fueling this fire, but that is not confirmed at this point.
HOLMES: Also, this morning, a U.S. congressman has abruptly quit his job. He has resigned from Congress after it was revealed he sent e- mails and a picture of himself without a shirt on to a woman who was not his wife.
Our Deb Feyerick live for us in Amherst, New York, with this developing story.
Hello to you, Deb. DEBORAH FEYERICK, CNN CORRESPONDENT: Hey there, T.J. Hey there, Kiran. Well, you know, there really is the question that many have in this district, is there more? The e-mail suggests this was not the first time he had approached a woman on Craigslist.
And think about the speed at which this all happened. It just took hours from the time this picture and e-mails hit the Web on that Gawker article to the time Chris Lee resigned. The House Speaker John Boehner apparently says he did not force Chris Lee to step down. However, it does indicate a zero tolerance policy.
Lee served two years and two months as a congressman. He was really seen as an up-and-comer. However, there really was the impression that he simply could not survive this.
He issued a state yesterday saying, quote, "It has been a tremendous honor to serve people of western New York. I regret the heartache that my actions have caused my family, my staff and my constituents. I deeply apologize to them all. I've made profound mistakes and I promise to work as hard as I can to seek their forgiveness."
Now, Lee is from a prominent family in this area. His family owns a manufacturing business that they recently sold for close to $400 million. He served on the House Ways and Means Committee, a very powerful committee. And he was seen as a genuine guy, bipartisan, somebody who really was very business-oriented, wanted to bring businesses to this district.
There's a real sense of sadness and disappointment that this has happened.
(BEGIN VIDEO CLIPS)
UNIDENTIFIED FEMALE: He'd always come home, and there would be messages to what he was doing, and, you know, updating you on progress or whatever. For him to do something like this and throw it all away was sad.
UNIDENTIFIED FEMALE: Saddest state of affairs when you have someone that you are supposed to respect publicly let you down.
UNIDENTIFIED FEMALE: Really, we need qualified people in Congress to represent us. And -- I mean, everybody makes mistakes. And nobody seems to be able to live with what they do.
(END VIDEO CLIPS)
FEYERICK: The question now really is: where is he now? He was last seen leaving the Capitol. The only statement he made to a producer who was near him is that this is something they has work out with his wife.
Here at the home. Clearly, it's very early in the morning, but it has been dark. And we're just waiting to see whether Christopher Lee will reappear and what he has to say -- T.J. HOLMES: And, Deb, what happens to his seat now?
FEYERICK: Well, the seat is now open. The governor, Andrew Cuomo, of New York, he is going to have to hold a special election and this is a particularly tricky area because they're thinking of redistricting. So, there's a possibility that his seat, possibly this seat, could go away, T.J.
HOLMES: All right. Deb Feyerick, on the scene for us this morning -- Deb, we appreciate you as always.
FEYERICK: Well, she's speaking again just a month after she was shot in the head, Congresswoman Gabrielle Giffords continues to amaze her doctors and surprise her staff with the progress she's made. And this time, it was a breakfast request.
(BEGIN VIDEO CLIP)
PIA CARUSONE, REP. GIFFORDS' CHIEF OF STAFF: She was having oatmeal and yogurt for breakfast and she asked me for toast. She sounded great and very clear to understand. And I said, absolutely. And we -- you know, we asked the nurse area, you know, call the desk area, and get some toast.
(END VIDEO CLIP)
CHETRY: Giffords aide said she started speaking within the past few days.
Our Dr. Sanjay Gupta is calling this a very important development in her recovery. He's going to be here to talk more about it in our next hour.
Meantime, Congress is honoring Federal Judge John Roll. He was killed in that Arizona shooting last month. They are now deciding to name a courthouse after him. The construction of the building is set to begin in July in Yuma, Arizona. The measure goes to President Obama's desk for signature.
HOLMES: Well, we turn to Egypt now on day 17 of protests there. Protesters are demanding, of course, that President Mubarak step down. Well, now, thousands of Egyptian workers are going on strike. They are demanding better pay, better working conditions. Some of these protesters include employees in the oil, railway and telecommunications industries.
They're showing a sign of solidarity here with the demonstrations in Cairo. We'll have a live update from there a little later this hour.
CHETRY: Osama bin Laden is not our biggest threat. Homeland Security Secretary Janet Napolitano spoke to Congress yesterday about how the hunt for al Qaeda is now shifting.
(BEGIN VIDEO CLIP)
JANET NAPOLITANO, HOMELAND SECURITY SECRETARY: There is no question that we have made many important strides in securing our country from terrorism since 9/11. But the threat continues to evolve. And in some ways, the threat today may be at its most heightened state since the attacks nearly 10 years ago.
(END VIDEO CLIP)
CHETRY: The head of the National Counterterrorism Center also said that the al Qaeda cell in Yemen is now the biggest threat to the U.S. and its leader, pictured there, Anwar al-Awlaki, was born in the U.S., speaks English, and was in contact with the accused Fort Hood shooter, Nidal Hasan.
HOLMES: We turn to the weather, which has been nasty over the past 24 hours and has made things driving impossible in the Deep South. Take a look here, this is video near Little Rock, Arkansas, where you see some of the big rigs there. Many of them end up just parking on the side of the roads.
This same winter storm dropping up to six inches on places like Mississippi and Alabama and the temperatures are dropping as well.
Our Rob Marciano is keeping an eye on this for us in extreme weather center in Atlanta.
ROB MARCIANO, AMS METEOROLOGIST: Good morning, guys. Yes, the temperatures are certainly dropping behind this thing. We'll run through the numbers in just a second.
But the dangerous wind chills have infiltrated some of the Central Plains minus 20 right now in Dodge City, minus 32 in Gage, and zero in Tulsa, which saw record amounts of snow over the past 24 hours.
Up to the north as well, minus 15, it feels like 14 degrees below zero in Detroit. It feels like nine degrees below zero in Cleveland.
So, the cold is certainly making its way into this part of the world.
All right. How much snow we've seen: two feet parts of Arkansas; Hutchinson, Kansas, seeing 17 inches; Burlington, Kansas, 16 inches; even Powell, Missouri, 14 inches. As other spots, in Nebraska and Texas is also seeing significant snow.
And then across the South -- Little Rock, 6.5. Boy, it was coming down around lunch time yesterday to beat the band. In Tupelo, 5.2; Memphis, Tennessee seeing almost four; and Nashville seeing about 2.5.
Here's where the rain and snow is. It did get through Atlanta to wrapping up here, just a little dusting across the ATL, and getting into parts of the Carolinas. Now, you might see some accumulations in parts of the low country actually of North Carolina, out of through the outer banks, you might see a little bit more in the way of signature snowfall there.
So, any other day, we'd be talking about how crazy the South is dealing with this snow. But compared to what we've seen in the past, it's relatively small potatoes with the exception of Little Rock and parts of Oklahoma and Arkansas. It was a record there, unbelievable stuff.
CHETRY: The kids in Arkansas can build snowmen. I mean, T.J. didn't do that growing up in Arkansas. He didn't have enough.
HOLMES: I don't have that memory from Arkansas.
MARCIANO: Make new memories, everybody.
CHETRY: Whole new generation, snow builders, snowman builders. Thanks, Rob.
HOLMES: Thanks, Rob.
MARCIANO: All right, guys.
HOLMES: Well, don't you just feel bad for Cleveland. The city, the Cavaliers, after LeBron took his talents to South Beach -- whoo-hoo -- they are in NBA history. Not just NBA history but professional sports history. The Cavaliers have now lost 26 games in a row after dropping another one last night to the Detroit Pistons who are not that good.
Now, this losing streak matches the losing streak of the Tampa Bay Buccaneers of the NFL back in 1976 and '77.
CHETRY: You had to go back that far?
HOLMES: It ties the worst now in pro sports history. They are 8-45, lost 36 of their last 37. Haven't won a game since December 18th. And the thing is now they have two games that are very winnable, their next two against teams that are not very good. But they're getting everybody's best game now because nobody want to be the one to lose to the Cleveland Cavaliers to break that streak. So, I feel bad for Cleveland.
CHETRY: I know that's just a pile-on at this point. All right. You lost LeBron, can't win games and now, everyone's crunching the numbers to show just how bad you are.
HOLMES: But maybe LeBron had a point, that the team wasn't very good without him.
CHETRY: Apparently he did.
Well, imagine sitting in a plane and hearing a knock from cargo. A baggage handler watches from inside as someone just shuts the door.
HOLMES: Also coming up this morning. Our latest Lindsay Lohan report -- back in court and the judge once again giving her a warning. But is she listening this time?
CHETRY: Also, the Super Bowl seating fiasco leads to a class action lawsuit now. Yes, the spurned fans seeking millions of dollars in damages.
Ten and a half minutes past the hour.
(COMMERCIAL BREAK)
HOLMES: All right. Thirteen minutes past the hour on this AMERICAN MORNING.
Give you a look at some of the things we're keeping an eye.
This might be of interest to you: the baggage handler becoming the baggage. That guy locked into the plane's cargo hold on a U.S. Airways flight at Reagan National airport in Washington. Now, he watched -- he saw a co-worker actually close the bin door outside. When he just couldn't make it out, people started to hear banging outside the fuselage. The FAA said he did actually get out and the flight -- would you believe this -- it was ahead of schedule.
CHETRY: That's scary. I would freak out.
HOLMES: I could have gone --
(CROSSTALK)
CHETRY: Well, Lindsay Lohan is free on bond this morning after being arraigned on a felony grand theft charge. She's accused of walking out of a jewelry store with a $2,500 necklace that she didn't pay for. She entered a not guilty plea yesterday. She claims it was loaned to her, but her probation was revoked. And a judge had a stark warning for her, let's listen.
(BEGIN VIDEO CLIP)
JUDGE KEITH SCHWARTZ, LOS ANGELES SUPERIOR COURT: What I'm telling you is: you need to follow the laws just like everybody else. Look around this room. Everyone in this room has to follow the law -- the court, the D.A., your attorney, the sheriff's deputies, everybody. You're no different than anyone else. So, please don't push your luck.
But I'm telling you: things will be different. Do you understand what I'm telling you?
LINDSAY LOHAN, ACTRESS: Yes, sir.
(END VIDEO CLIP)
CHETRY: Lohan says that the store loaned her the necklace, and all of this is just a big misunderstanding.
HOLMES: Well, if you were not one of the 111 million people who watched the Super Bowl, maybe you didn't know that the Pittsburgh Steelers lost. But if you got one of these shirts, you might have thought they were the champs. You're seeing here, you know, a lot of shirts are printed up, you know, in anticipation of whichever team wins. And one of those groups of merchandise has to be dumped because somebody loses.
Well, the t-shirt, caps, other gear from the Super Bowl runner-up have been sent to people in developing countries over the past 15 years. World Vision is the name of this relief organization that has partnered with the NFL for the past 15 years and they get a hold of these equipments to good use. And last year, they actually sent the shirts and caps and whatnot from the Indianapolis Colts, who lost, to the earthquake victims in Haiti. So some good comes from them.
CHETRY: There you go.
Well, for some - for hundred ticket holders, Super Bowl XLV was memorable for all of the wrong reasons, they ended up being forced to give their seats at the big game in Dallas because there were no seats for them.
HOLMES: There weren't seats for them.
The NFL trying to make up for this. They offered them cash, merchandise, future Super Bowl tickets, offered to pay for airfare, hotel. But no, no, no, no, Alina Cho, millions sounds better for some of these folks.
ALINA CHO, CNN CORRESPONDENT: And I'm not a football fan.
HOLMES: OK.
CHO: I'm not a big one. But this story is so fascinating to me.
HOLMES: Right.
CHO: You know, as we all know by now, the Pittsburgh Steelers weren't the only ones who lost on Super Bowl Sunday. About 400 ticket holders found themselves without seats to the coveted game - watch.
(BEGIN VIDEOTAPE)
UNIDENTIFIED FEMALE: No seats.
UNIDENTIFIED MALE: No seats!
UNIDENTIFIED FEMALE: They don't even have my row, let alone the section we're supposed to be in.
UNIDENTIFIED MALE: We paid thousands of dollars and faced the weather just to get down here. And - and now, this is how they're treating us.
(END VIDEOTAPE)
CHO: Remember, there were falling ice in the Dallas area.
Now, these folks may be happy to know that two fans, one from Pennsylvania, one from Texas, have filed a class action lawsuit seeking damages of about $5 million. Now, they filed on behalf of Super Bowl fans who were denied seats or who were assigned obstructive view seat.
Now, among the defendants in the lawsuit, no big surprise here, the Dallas Cowboys including owner Jerry Jones and the NFL. The lawsuits alleged deception by the Dallas Cowboys for not telling fans until game day that the seats were not available.
Now, the NFL has offered those 400 fans who didn't get seats some competition - compensation, rather. You be the judge on whether it's enough. The first option, a free ticket to next year's Super Bowl game. Plus, a cash payment of $2,400 which the NFL says is triple the value of this year's ticket.
HOLMES: Like they often do (ph).
CHO: All right. That's right. No, not enough. The second option - the second option, one free ticket to a future Super Bowl game of the fan's choosing and next year's Super Bowl game if they want, as well as round trip airfare and hotel accommodations paid for by the NFL. Now, with this option, you do not get the $2,400 cash payment.
Now, the problem, of course, with this, I would imagine, if you were one of those 400 ticket holders going to the game because you were a Steelers or Packers fan, it doesn't matter if you get tickets.
CHETRY: Right.
CHO: I mean, unless - unless they make it -
HOLMES: Make it again.
CHO: -- to next year's Super Bowl.
CHETRY: So probably next - like if you wanted to go see the Fall Prada collection, they don't have a seat for you in the front row, and then they tell you that you can come back and see -
CHO: Standing room only.
CHETRY: Yes. You see the next spring collection.
HOLMES: OK. How can you turn a football story into something about Prada?
CHETRY: I'm just trying to help Alina.
CHO: It's the first day of Fashion Week, by the way.
CHETRY: In other news, all right.
But we'll see what happens with this lawsuit.
HOLMES: Thank you, Alina.
CHETRY: We'll see if it goes anywhere.
CHO: We'll be watching.
CHETRY: Thanks, Alina. Well, for Verizon customers it's been a long time coming, the iPhone finally on sale today for Verizon customers, but should you stand in line like these folks to get it? These folks. Hold on (INAUDIBLE) a second. They're right there at the Apple Store.
HOLMES: Well, yes, that guy.
Also, this morning, you think you're drinking diet soda supposed to be better for you. But there is now a new health risk associated with drinking diet soda instead of regular.
It's 19 minutes past the hour. Stay with us on this AMERICAN MORNING.
(COMMERCIAL BREAK)
CHETRY: Twenty-two minutes past the hour. We're "Minding Your Business."
The value of Twitter going up and up and up to the tune of billions. Well, with both Facebook and Google reportedly eyeing the five-year- old company, its estimated value now at a whopping $8 to $10 billion. Not bad considering that two months ago was estimated to be in around $3.7 billion. Twitter estimates that its revenue this year will come in at around $100 billion.
They're making money?
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Revenues at sales. They might not be profit. They might have expenses. Who knows? It's so hard to value those companies. It changes the world. You don't know what they're worth.
HOLMES: Well, apparently, Guitar Hero is not worth a whole lot these days. You know this game. It was the one that could turn just the ordinary, everyday person into a rock star. But the company behind Guitar Hero announcing it is pulling the plug on this franchise. This news comes after declining sales of it. The game's maker expected to shift its attention to social and online games.
CHETRY: It had a good run.
And if you're a Verizon customer, today is the day that many of you have been waiting for. iPhone now available in stores this morning. There you have a shot at Fifth Avenue, the Apple Store in New York City. So far just two people on line, but, you know, that could change.
HOLMES: Is there the rage? Christine Romans is here "Minding Your Business." But, you know, when you talk about two people on line - we're used to seeing long lines when they're launching the products, but are people excited about this?
ROMANS: Existing Verizon customer already has chance last week to do their preorders.
HOLMES: OK. ROMANS: And somewhere between half a million and a million of these phones have already been shipped and been ordered. So this is the chance for Verizon non-customers - if you're a Verizon and you must have the phone today, you can go and get it. But you should know you're buying a phone that's already six months old. Six months old is an eternity when it comes to Smartphones. It's likely the new iPhone 5 is going to be available in about six months, so there's your caveat.
Now, if you're a new iPhone customer and debating whether to go with AT&T or Verizon, I want to break it down for you. First, AT&T, critics agree it's got a faster network so you can surf the Internet and download things faster. It also allows for true multitasking, meaning you can talk, you can surf the Internet all at the same time. And if you travel abroad, it has international coverage.
Now, let's compare that to Verizon. Tends to have better coverage which can mean less dropped - dropped calls. The phone can also act as a wireless hot spot for your other gadgets. And at least for now, Verizon is offering an unlimited data plan, at least for now, for $30. Something that AT&T did away with.
If you're going to ditch AT&T, you might have to pay a $325 charge to end your contract. Remember that. Also, if you're going to get rid of your phone, a lot of people are talking about, oh, where do I recycle it? How do I get the most amount of money for my - for my old smartphone? How do I - how do I do that?
Remember to take out the SIM card. Remember to try to scrub it of all of your personal information and the like, and there you go. But in six months, there's just going to be another version.
CHETRY: So where do you take it to get your best - ?
ROMANS: You can take it from the big like Best Buy and a lot of the big chains, even Target has a - has a company that pairs with. You can go online. You can find in your own neighborhood these - these geniuses who buy and fix these things or just buy them from you. And sometimes, you can get a better deal from a neighborhood. I would call it a chop shop - a tech chop shop, just getting rid of it that way. Then you can by doing it online and you can do it on eBay. I mean, people sell this on eBay all the time.
HOLMES: All right. We'll see if any more people line up. What time exactly?
ROMANS: It's 7:00, local time. And I'll tell you, in North Dakota they haven't been able to have this yet. So, in North Dakota, South Dakota, Montana, Wyoming, this is their first shot at - at this ever because they don't have AT&T coverage.
CHETRY: Well, there you go. Thanks, Christine.
HOLMES: Christine, thank you.
CHETRY: Speaking of Apple this morning, we're speaking of things - newer versions coming out -
HOLMES: Yes.
CHETRY: -- just sitting around and wait a couple of months, and boom, your gadget is obsolete.
Well, they are reportedly hard at work at a new iPad. According to the "Wall Street Journal," the new model will be thinner and lighter and it will also reportedly feature a camera, they think that this is for the video conferencing, almost like the iChat.
No word on a release date for the sequel, but expected to cost about the same as the current iPad.
HOLMES: All right.
Well, also coming up, an outrage story of the morning. A lot of us in the newsroom were shocked to hear this. That tens of thousands of military widows are upset and they are hurt by what is just an odd military policy. In order for them to get the benefits of their soldier maybe killed in the field of battle, they would have to actually remarry. We'll explain this coming up.
CHETRY: Also, two Palins in politics? Bristol talking about possibly following in her mother's footsteps?
Twenty-seven minutes past the hour.
(COMMERCIAL BREAK)
CHETRY: Good morning to you again. It's half past the hour on this AMERICAN MORNING.
We're following a curious scandal, I guess, we could say a congressman's Craigslist scandal. Republican Chris Lee stepping down and apologizing after a report that he send a flirty e-mail - well, it's a shirtless photo to a woman other than his wife, who is looking for a date on Craigslist.
The married 46-year-old father of one stepped down three hours after the story broke saying he was sorry for, quote, "the harm that my actions have caused my family, my staff and my constituents."
HOLMES: Meanwhile, Congresswoman Gabrielle Giffords wants toast with her breakfast. That is a big deal. It was announced from her office that in fact she has asked for a piece of toast and has said a few other things over the past 24 hours or so.
But this is a great sign in her recovery after being shot just a month ago in the head at that Tucson shooting that her recovery continues. And now she is able to communicate and able to speak. We continue to follow and have some more updates for you this morning.
CHETRY: And we are also following some breaking news in a search for missing people after a gas explosion in Allentown, Pennsylvania. Two homes blowing up there. The fire chief now says that eight homes in total were destroyed because of it, a subsequent fire that was fanned by the gas.
At least two city blocks had to be evacuated. And we're hearing this morning that six people are missing. And firefighters are sifting through debris right now. Five hundred people had to be taken from their homes and brought to shelters. The gas company came to the scene to try to shut off the line. The crew -- the chief says that the gas is fueling the fire, but it is not confirmed at this point.
Well, we will continue to follow that throughout the morning as well.
Now, to a bizarre and many say insulting policy that requires military widows to remarry in order to collect benefits of their late spouses. Politicians often tout the importance of taking care of service members and their families.
HOLMES: Yes, this rule, though, is perplexing. Our Jason Carroll is on the story for us.
And no one can figure this out.
JASON CARROLL, CNN CORRESPONDENT: Yes, I mean, a lot of words use to describe this, you know, as bizarre, confusing, perplexing, you know? It's a federal law known as the "widow's tax." It affects some 55,000 military widows and widowers by requiring them to remarry after the age of 57 in order to collect their full survivor benefits. Those who remarry earlier than that miss out as those who never marry.
Vivianne Wersel has been fighting to change the so-called "widow's tax." Her husband, Lieutenant Colonel Richard Wersel, Jr. died in 2005 from a heart attack, one week after serving -- returning from serving in Iraq.
(BEGIN VIDEO CLIP)
VIVIANNE WERSEL, MILITARY WIDOW: To me, it's insulting that in order for me to receive something my husband worked so hard for, and we worked as a team, I need to be with another man and be married. That doesn't seem right. It's insulting.
(END VIDEO CLIP)
CARROLL: Well, here's how it all works. The law penalizes surviving military spouses like Wersel who are eligible for two types of benefits. The first is a survivor benefit paid by the Defense Department. The second is annuity benefit provided by the Veterans Administration.
The federal law does not allow the widows to collect the full amount from both benefits unless they remarry after the age of 57.
Congress originally was behind the law. The thought being they were actually trying to help the survivors retain full benefits, if they married later in life. Now, two bills are being introduced, one in the Senate and one in the House, that would do away with the penalty.
But Vivianne Wersel knows this is not the first time Congress has tried to change the law.
(BEGIN VIDEO CLIP)
WERSEL: It's difficult to put up a fight. We have a bill every year for the past 11 years we fought Congress. We get the support, but we just never make it out the door when it comes down to who gets funded and who doesn't.
(END VIDEO CLIP)
CARROLL: Well, Wersel says one reason the legislation never makes it out the door is the cost of implementing it, nearly $7 billion. And, obviously, a lot of these people who are stuck in this situation say it becomes a -- you know, a point where you're trying to decide which bill you're going to pay because you're not receiving the benefits that you need.
HOLMES: Forgive me, help me one more time? The logic behind it in the first place was to --
CARROLL: They were actually trying to help people who decided they wanted to remarry later in life. But, you know, sometimes when these laws get written, you realize after it's all been done that it actually hurts instead of helps.
CHETRY: It's amazing. Senator Bill Nelson has called it outrageous, actually. He's one of the people that wants to get this changed. So, maybe actually this time something will change.
CARROLL: Right. One of 10 senators who's out there who introduced legislation last week trying to get this fixed this time. Maybe this time it will work.
HOLMES: All right. This time. All right. Jason Carroll, thank you for that.
CHETRY: Also, a big day for Republican presidential hopefuls. They'll be making their rounds at the Conservative Political Action Committee Conference better known as CPAC. It begins today in Washington.
Former House Speaker Newt Gingrich and former Minnesota Governor Tim Pawlenty are among the headliners. Both will be, I guess, you could say, road testing their message for 2012. Two notable names that will not be at CPAC: Sarah Palin and Mike Huckabee.
HOLMES: But we will have you know that Palin will be on the ballot someday. And we're talking about Bristol Palin. She says she will run for political office down the road. In an interview with E! News she says that she will probably run for office further down the road.
She's 20 now. She's a single mom. She's been an active abstinence spokesman. So, we will see her on the ballot down the road.
And still coming up here on this AMERICAN MORNING: the protests in Egypt now on day 17, and now, the protesters getting some help from a group of striking workers. A live report ahead.
CHETRY: Also, the U.S. Postal Service is at a crossroads. It's bleeding millions and now asking Congress to make changes so that it can continue.
(COMMERCIAL BREAK)
CHETRY: Welcome back.
U.S. postal workers are warning, the Postal Service itself is warning that they may have to default on some financial obligations this year. We talk about the financial trouble as people move more towards e-mail after suffering $329 million in quarterly losses. The agency has been hit hard by the major decreases in mail volume also strained with retiree health care costs.
The postmaster general says that defaults will be unavoidable if Congress doesn't change a law requiring the agency to contribute billions to retiree benefits every year.
HOLMES: Also, we know that some 15 million passengers out there have received those full-body scans at airports -- and not at all airports, but a number across the country. But the TSA has yet to release a safety report on this x-ray equipment, even though Congress asked for a couple months ago. One House lawmaker says that is just inexcusable.
The TSA says there have been no malfunctions that would pose any additional radiation risks for travelers and that the safety report will be released in the next few weeks.
CHETRY: We're going to have a live report on that, by the way, with national security correspondent Jeanne Meserve. She's joining us in just under an hour.
And now, we want to turn to the situation in Egypt where thousands of workers across the country are staging strikes as a show of solidarity with opposition protesters who have been calling for President Mubarak to step down.
CNN's Frederik Pleitgen is live in Cairo for us.
Does this add another layer of pressure, perhaps, to the regime?
FREDERIK PLEITGEN, CNN CORRESPONDENT: It certainly does, Kiran. And it also adds another layer of international concern. There are strikes in many sectors here across the country. There's a public workers strike here in Cairo, public transportation as well, the petrochemical industry.
But the one we're really keeping our eye on, Kiran, is one that's apparently going on in the Suez Canal where steelworkers, as well as workers at a shipyard that's controlled by the port of the Suez Canal apparently went on strike, some 2,00 workers.
Now, we've been in touch with the Suez Canal authorities and they've been telling us that so far, that has not had in any impact on the shipping through the Suez Canal, neither of oil nor of any cargo shipments. But, certainly, that is one of the vital arteries of worldwide logistics. So, a lot of people are looking at that.
Right now, the authorities are saying it's not having an impact just yet, Kiran.
CHETRY: In the meantime, other countries in the Arab world weighing in on this situation -- some voicing support for Mubarak.
PLEITGEN: Saudi Arabia is, exactly. And Saudi Arabia is saying that if the U.S. withdraws its aid to the government here in Egypt, that Saudi Arabia would match that money to support Hosni Mubarak. So, certainly, it seems from that vantage point that he is getting some support.
However, the situation on the streets here, especially in the place behind me, at Tahrir Square, continues to grow. There continues to be more protesters. So, it does appear as though the government here is under more and more support.
And what you said at the beginning is absolutely right: there is a big layer of concern now that you have the strikes along so many sectors here in Egypt. Some of them are just striking for more pay. But a lot of them are also showing solidarity with the anti-Mubarak protesters. And a lot of them are actually also joining the protests, which seem to be growing day by day, and moving not just to this area behind me, but also to other areas around Cairo, Kiran.
CHETRY: And I had another quick question for you, we had a chance -- Ivan Watson had a chance to speak to Wael Ghonim who was held for two weeks, the Google executive who was held in Cairo. And he's adamant. He says that, you know, the time to negotiate is over. He said that when they took to the streets on the 25th of January, they wanted to negotiate and that the regime negotiated back with rubber bullets and police sticks.
How much anger is there about the protesters being killed and other reports of crackdown on what's happening?
PLEITGEN: Well, there's massive anger. I mean, especially on the people who are, of course, protesting. But there's general discontent among many people here with the way the government is handling that situation. Of course, they didn't only respond with rubber bullets and sticks. They also in some cases responded with live ammunition.
So, certainly, there are a lot of people who are angry at that. That's also one of the reasons why so many people have come out here. If you go down to Tahrir Square and you look at the situation there, there's a lot of memorials to people killed in that violence. And a lot of people say now that these people have died for this cause, we can't give up or we can't stop doing this until the government steps down.
So, in many ways, yes, that has galvanized the people even more. The fact that there was such a heavy-handed response to all of this. And a lot of people that you speak to down on the ground who are protesting, they say if they gave up now, it would appeal to them, as if they would have had like half a revolution or no revolution at all, Kiran.
CHETRY: All right. Frederik Pleitgen for us this morning in Cairo -- thank you.
HOLMES: Well, it's 43 minutes past the hour, a quick break. Rob Marciano is coming up in just a moment with your morning travel forecast. And it's going to be some info you need to know.
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HOLMES: Well, that's quarter of the top of the hour now. Several people are missing this morning after what's believed to be a gas explosion in Allentown, Pennsylvania that destroyed at least two homes and damaged a number of others. I want to turn to Jaccii Farris our affiliate there in Allentown for us this morning. Give us the very latest. Is that number still accurate? They still have, what, six people missing?
JACCII FARRIS, AFFILIATE, WFM: Yes. We're hearing that six people are missing, that actually eight homes were destroyed, and about 30 something homes were evacuated along with a high-rise senior facility. The seniors are back in the high-rise, and things are kind of quieting down here in Allentown, Pennsylvania. Fire officials say that the explosion happened just after 10:45 last night at 13th and Allen Streets here in the city.
Afterwards, flames as high as 20 feet engulfed an entire block, consuming the eight homes. Those six people are reportedly missing, and, again, hundreds have been evacuated. Firefighters were worried about another explosion because of the gas, but UGI came in quickly and had the gas turned off. Now, Allentown fire officials had to call in every single firefighter they had and reach into agreement with some of their mutual aid agreements to help make sure there was coverage for the city during this disaster.
Now, the fire has been brought under control, but firefighters continue to douse smoldering spots, hot spots, with water from a ladder truck because they are fearful that it could flame up once again. That's the very latest from Allentown, Pennsylvania. I'm Jaccii Farris.
HOLMES: Jaccii Farris, I want to make sure. You said they fear it could flame up again, but you also said they are starting to move some people back into their homes. Are they sure that danger is gone, and there won't be another explosion?
FARRIS: What they do at a scene like this is they evacuate as many people as possible. They evacuate a very wide area. Now, across and down the street from where this happened, there is a senior high-rise. And they have determined that since the gas has been turned off, and they have knocked down the majority of the fire, their only dealing with hot spots. So, they believe at this time, fire officials tell us that it is safe to allow some of the residents back into their homes, but the Red Cross has stepped in, and some residents have no home to go back to. As I said, there were eight homes that were destroyed, but there was a lot of smoke damage to the surrounding area, to the surrounding homes. So, there are a lot of people that even though some are going back, others will be homeless for quite some time.
HOLMES: Jaccii Farris from our affiliate, WFMZ, thank you so much this morning.
FARRIS: You're welcome.
CHETRY: Scary. And she said the weather was making it worse and making it more difficult there, and we've seen this all across the country, and other winter storms socking the nation's southern states. In fact, we have video of cars slipping and sliding. This is in Oklahoma yesterday. Portions of the state, as we warned, they were going to get two feet of snow, just barely under that.
Bitter cold on top of it, and we're talking about wind chills in the panhandle minus 20 degrees. Wow. For a look at how things are shaping up today, whether we're going to see things get better throughout the week, Rob Marciano in the Extreme Weather Center. These things are moving out, but it's also moving up, right?
ROB MARCIANO, AMS METEOROLOGIST: Yes, slowly, we're going to see some improvements. So, that's the good news. It will be slow. And for a lot of folks, by the time the weekend comes, you're going to see a marked difference in temperature and weather. Thus, rain and snow moving to the Carolina. We've got a little dusting of snow in Atlanta, now moving it through North and South Carolina.
We might see several inches in some places like Raleigh Eastward towards the outer banks could see some accumulation, but generally speaking, it's moving fairly rapidly and that's the good news. As far as what kind of snow totals we've seen, over two feet in some spots of Northeastern Oklahoma and Northwestern Arkansas, but just as stunning are some of these totals in, say, places like Little Rock, Arkansas.
6.5 inches of snow, tupelo, how about that, Mississippi, 5.2. They've seen over a foot, so far, this year. Goodness. Memphis seeing 3.8. and Nashville seeing 3.5. The other issue, of course, are the temperatures. These are actually the current temperatures not including the wind. Minus 7 is the actual temperature in Chicago. Minus 10 is the actual temperature in Minneapolis.
Parts of Minnesota, they continue to dig out from the storms from last week. And this is how they do it across parts of the northern tier. I mean, they don't just take regular old snowplows out there. They got the big old snowplows, but they also use snow blowers and snow throwers because at some point, there's no more room on the road to just push it aside.
You've got to get it out, pick it up, and throw it over on the other side, throw it into dump trucks and just get it out of there. The dangerous wind chills you mentioned. Here's what it feels like in places like Minneapolis, minus 23. It feels like minus 18 in Kansas. There are places in Oklahoma right now that feels like it's minus 35. All right. I want to talk about the temperatures for highs today.
I guess, we're going through a couple more of these. Anyway, we'll see a drastic warm-up as we get through the weekend. Thirty-four degrees for the high temperature in Dallas after your snow yesterday, 26 in New York. The northeast is not going to be all that warm this weekend. Your warm-up will come Tuesday and Wednesday, but everybody in the midsection will see a significant warm-up come Saturday and Sunday. So, there is the little slice of good news. Guys, back up to you.
CHETRY: We need it. Thanks, Rob.
HOLMES: All right. Rob, thanks so much.
We just heard that live report from one of our affiliate reporter in what's happening in Allentown right now where eight homes have been destroyed. Six people are missing after a gas explosion overnight. We will be joined live by the fire chief to get the very latest coming up.
CHETRY: Also, a married congressman takes a picture of himself without his shirt on sends it to a woman on craigslist. Now, he's a former congressman. The flirty e-mails and the fallout.
HOLMES: Also, happy flying. One U.S. airline is now just about doubling one of its baggage fees. It will cost you more to actually check a bag than even some of the flight tickets themselves. Oh! You have a good flight, folks. It's eight minutes to the top of the hour.
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CHETRY: I could pick one in a mall to just have at my house and take care of -- well, they're little, could be a panda, hands down.
HOLMES: I'd take a tiger.
CHETRY: You would?
HOLMES: A little one.
CHETRY: A little. And then give him back when he starts to eat large slides of rocky (ph).
All right. Well, we couldn't keep you from this kind of cuteness. Seven baby pandas headed to nursery school. This is a research center in China. The first lesson, how to eat from a bowl and not a bottle. What did they do in the wild before they had research centers? Clearly, they learned how, somehow.
Anyway, the animals trying more diverse diet. They get bamboo, apple, and steamed bread. So, there they are. These are little adolescent cubs. Still curious, still cute. Not as big as the parents, so you can still be around them. HOLMES: What's the draw? Why do people just love pandas?
CHETRY: Because they're fluffy, they're adorable, they're cuddly, they have the most adorable little eyes with the little black markings.
HOLMES: You just want to grab a Snuggie there. OK.
CHETRY: So cute.
HOLMES: It's just me. All right. We're getting close to the top of the hour. A quick break here on this AMERICAN MORNING. We're coming right back. Hope you will, too.
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