siminute segment, guys. i'm just going to -- >> we'll send you a wiener whistle. >> thank you so much. blow the whistle now. it's 9:00 am on the east coast, 6:00 am out west. thanks for joining us, everyone. i'm kyra phillips. rebecca brooks arrested in the phone hacking and bribery investigation. > assassins kill a key adviser to afghan president karzai. nelson mandela, turning 93. south africans pay tribute to their former president by performing at least 67 minutes of volunteering, one minute for each year mandela spent fighting for freedom in south africa. 15 days from now, your dollar may be worth less, your loans could cost more. that is, if the government runs out of money and is unable to pay its bills. with a major breakthrough increasingly out of reach, lawmakers are showing more interest in a fallback plan. the compromised measure would

allow the president to raise a debt ceiling and avert crisis. a vote on that could happen this week. the fallback plan would likely pass the democrat-controlled senate but face a bigger challenge in the house where republicans hold the majority. let's get the latest with brianna keilar. are we any closer to a deal? >> on a deficit reduction plan, kyra, it doesn't appear so. no announced meetings between the white house and congressional leaders over the weekend, there were staff-level meetings and a lot of focus has to do with this fallback plan you mentioned. it's sort of the brainchild of the center republican leader, mitch mcconnell, working out some details with the senate majority leader harry reid. essentially, it would give the president for all practical purposes the ability to increase the debt ceiling with really just a minority of support from congress. it would allow congress to voice its disapproval and this is something that the president would have to do in three increments over time between now and the november 2012 election. kyra, this doesn't address entitlement reform and certainly that idea of the tax increases, democrats are still demanding and the white house is still saying no to -- pardon me, that the white house also wants and republicans are say iing no to, there's still an impasse over that, just as when we spoke last week. >> brianna keilar at the white

house. we'll continue to talk about it, i'm sure, this week. police investigating the illegal wiretapping and bribery charges of a top executive in the company. we'll have more on that in a moment. first the resignation of britain's top cop, the man in charge of scotland yard. sir paul stephenson says he did nothing wrong but regrets the criticism that his police failed to do enough. >> however the issue of my integrity is different. let me state clearly, i, and the people who know me, know that my integrity is completely intact. i may wish we had done some things differently, but i will not lose any sleep over my personal integrity. >> let's get the latest now from london and cnn's dan rivers. >> reporter: kyra, another scalp has been claimed by this ever-growing scandal. the most senior policemen in britain, sir paul stephenson, has resigned. meanwhile, the former chief

executive of news international, of rupert murdoch's paper, rebecca brooks, was taken in for questioning, detained some 12 hours sunday night and released just after midnight. there was speculation that would have meant that she wouldn't have turned up on tuesday afternoon, london time, to be grilled by politicians. but we're being told by her spokesman that she will be there. she won't appear together with james and rupert murdoch. she'll appear after them. she'll have to be careful about what she says and the politicians, equally, have said they'll be careful about which questions they ask and how they frame those questions. they don't want to clearly prejudice any possible trial that may come out of this. it will be a committee session view bid millions of people, i would expect, with lots of people wanting to know who knew what, how high up the newspaper group into rupert murdoch's

empire this scandal went. kyra? >> cnn will have live coverage of tomorrow's expected testimony by brooks, rupert murdo kr. h and his son, james. it's scheduled to begin this time tomorrow at 9:30 eastern. michele bachmann, changing her tune or a conservative pledge already signed by most of the other republican presidential hopefuls. political director paul steinhauser. >> now she's changing her mind on this one. you'll hear a lot about this pledge over the next couple of days on the campaign trail about right here in washington where she's going to sign today? south carolina. why? two reasons, south carolina a crucial early voting state, first primary in the south and home to senator jim demint, the mastermind behind this pledge. what is it? let's start with cuts. cut of substantial amount of spending to bring down roughly $1.5 trillion expected approximate in that deficit this

year cap government spending at 18%. it's at 24% and pass a balanced budget amendment to the constitution that includes spending caps and to make it more difficult to raise taxes. bachmann starts today at iowa before going to south carolina and sign this pledge. you'll see tim pawlenty spending all week in iowa, five days across the state. why? because iowa is so important to pawlenty's campaign as well for the race to the white house. he's a former minnesota governor. he needs to do well in that straw poll plus the caucuses in february if he hopes to win the presidential nomination. bachmann could get in his way, keer wra. >> more hints over the weekend about rick perry's presidential run. >> he's leaning towards it, in the des moines register, first state in the race to the white house, this is what he said in an interview published over the weekend. i'm not ready to tell you that

i'm ready to announce i'm in but i'm getting more and more comfortable every day that this is what i've within called to do. this is what america needs. >> i don't think you have to be read between the lines. just read the lines. thanks, paul. your next political update in the next hour. go to cnn.com/politics. japan not a big soccer country. its women's world cup win is huge and happy news there today. their team out-shot the u.s. yesterday. and zain verjee was there, still is there live in frank further. i know we were rooting for the u.s., zain. that was very important to us, but, hey, it couldn't happen to a better team. they needed this for morale. that is for sure. >> reporter: they really did, you know. japan came into this tournament as the big underdogs. nobody expected them to even get to the finals, let alone beat the u.s. they also knocked out sweden. they knocked out germany and it was just absolutely incredible.

when they started the match, everyone was saying they have more skill, better possession of the ball, know how to control and pass it. the americans really did a good job, too. it seems the japanese were a little nervous to start off with. the u.s. had possession. they were aggressive. they came hard out of the gate. they were very unlucky. they had a lot of opportunities and just kept missing. just the mistakes they were making on the defense line that let the two japanese goals in. everyone thought it was a done deal at the end of extra time. a few minutes to go. the japanese, boom, scored it in. it came down to penalties. kind of an unfairway of deciding but somebody has to win. president barack obama sent out a tweet. couldn't be prouder of the u.s. after a hard-fought game. congratulations to japan, women's world cup champions.

and ellen degeneres said this, great job u.s. soccer. you're all amazing and champions in my book. >> hillary clinton is out on a trip and she made a bet, kyra, with japanese foreign minister. she lost the bet. but she bet new york apples for japanese pears. so she's going to be picking some apples in new york. >> my bet is you came home with something. all you could talk about was this game. there's no special pompom, no t-shirts, no caps, ticket stubs? you don't have anything for me? nothing? >> no. i do. i have all of that. and i actually found a north korea football t-shirt there in the store. so, i've picked one of those up, too, and some nice u.s. t-shirts and sweatshirts and things like that, you know. kyra, the thing, too -- the u.s. team here really want ed to win so badly, because they've always been under the shadow of the 1999 team, you know. that match was so magical.

what other team could be joy, brandy? they had the speed, stamina, never say die attitude. they did do a fabulous job. it just wasn't their night. kyra? >> still amazing athletes. zain verjee, thanks. iowa congressman and his family safe after a home invasion. what happened inside this rural home when we go cross country after the break. and a pretty tough good-bye. "atlantis" gets ready to undock from the iss for the last time. more on the shuttle's farewell ceremony.

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checking stories cross country now. an iowa congressman and his family are safe after a home invasion. it happened at the home of representative leonard boswell. someone came to the door, attacked his daughter and demanded money. boswell came running to help, and so did his grandson. tour bus crashed on interstate 390. a tire blow-out may have caused the accident. los angeles survived carmageddon. traffic gridlock, mostly stayed off l.a.'s freeways. 405 reopened at noon local time,

hours ahead of schedule. italian prime minister, berlusconi, corruption charges related to his media empire and paying for sex with a teenage girl. he tookwhat happened? >> he didn't show up for either. defense case, his lawyers have been trying to get the whole case relocated to a different court. this was all about the ruby gate scandal and said it should be heard in a place closer to where this supposed paying for sex with a minor took place, at his country residence. courts threw that out and said it shouldn't be heard by a tribunal and should be continue

ed to be prosecuted here in milan. the most serious charge, abuse of power, took place when he called a milan police station. so, they say we're going to continue with this case. it has now been adjourned until october. and the other hearing in which mr. berlusconi is charged of having bribed one of his lawyers a huge sum to lie for him in court is still ongoing. kyra? >> another charges for corruption with his media empire. what do italians think with their leader tied up in two separate court cases? >> reporter: italians are quite used to it. he has been involved in so many court cases over the last two decades that it's not really surprising for them to see their prime minister appear before court or at least be summoned to court. for him right now, these are very difficult times. first of all, for his business empire, he was fined $800 million last week. ordered to pay $800 million to a

rival media company for corruption charges. that is a huge sum. he is going to appeal it. he does have to pay in the interim. also if you look at the state of the italian economy right now, that's really certainly -- as far as a nation is concerned, the most important priority. he had to rush through a new budget program last week, to try to sort of calm market fears that italy was going the same way as greece. the reason he didn't attend those hearings today, kyra, he was talking to the country's president, the head of state, about the budget and how to move forward. very, very difficult times for the premiere personally, for his business empire and for the entire nation's economy. kyra? >> diana magnate from milan, thanks. david and victoria beckham and their brand new baby daughter. pictures are out. and justin timberlake is going to the marine ball. now another sex symbol is

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your "showbiz" headlines. biggest opening weekend ever. harry potter finale hauls in $169 million in the u.s., beating the first weekend in records set by "the dark knight." it's taken in nearly half a billion dollars. the blues festival in ottawa, canada. warned fans about approaching storms. while cheap trick performed, the entire stage came down around them. you can see here, it was caught on youtube. the band is fine. some of the crew members were hurt. nothing serious, though. will she be a pop star or soccer player? for the first time we're seeing

pictures of victoria and david beckham's baby daughter, harper seven was born the 7th day of this month. you probably saw the two videos where mila kunis -- youtube videos, rather, where mila kunis and justin timberlake got invited to a marine corps ball. sergeant ray lewis wants -- well, 90-year-old betty white to be his date. zain verjee joining us once again. she's been on this story from the very beginning. she broke it. now she has the latest and exclusive scoop on betty white. zain? >> reporter: covering all angles here. forget about the world cup. focusing on the dating scene on youtube here. yeah. sergeant ray white uploading a video on youtube, gushing over

betty white, saying he wants her to be his date to the marine ball. it has had a good outcome for two other marines. let's see if betty white will accept. here is how the good sergeant put it. listen. >> i would like to take betty white. she's just funny. she's sweet. she's mature. she's the all-around perfect woman. >> it was the hugest surprise in the whole world when they called me. >> reporter: he is going to be performing as a rapper at the ball. and he's promising betty white a really good time if she does go with him. now, mila kunis and justin timberlake have cleared their schedules to go out with the marines. i've also cleared my schedule, just in case. >> are you also waiting to be asked via youtube? i'm more than happy to throw it out there right now. >> maybe. >> there you go.

>> maybe. >> top three? >> maybe, maybe not. >> all right. u.s. marine corps. there you go, zain verjee wants to go to the marine ball. reach out. thanks, zain. highly anticipated consumer watchdog group launches in washington later this week, consumer protection bureau aims to make you feel more secure. alison kosik at the new york stock exchange. let's talk more about what this me means. >> it officially opens its door this is thursday. yes, it's supposed to protect you, the consumer, and a big part of the job is going to be inspecting the books of financial firms to avoid a repeat of all those excesses that we saw that led to the financial meltdown. the largest banks account for 65% of home mortgages and they want to make sure that those are in check. the bureau will also be looking to end those so-called liar loans by crafting rules that banned lenders from giving

mortgages. also makes sure that banks require a lot more disclosure and the bureau can also respond to consumer complaints on things like credit card abuse. essentially giving consumers a stronger voice. what it's really meant to do, kyra, is bridge that gap between us, the people, and them, the banks. kyra? >> it's supposed to be all about transparency when it comes to this group. >> oh, it is, because when you think about it one of the big problems during the recession is that people signed up for credit cards and mortgages, not knowing really what they were getting into. the cfpb wants to make sure that they don't get tripped up in that fine print or miss those hidden disclosures. it looks to make those practices more clear while weeding out the unfair practices. the new sheriff on wall street, funny thing is right now it's without an actual sheriff. president obama is nominating former ohio attorney general

richard cordray to lead this bureau. it's a confirmation process. republicans have vowed to oppose the nomination, calling for smaller government and less spending. we'll see if he's actually confirmed for this position. kyra? >> thanks, alison. this economy, it's pretty tough to find a job. you know that. now it's your chance to be seen and heard once again. 30-second pitch is back. give it right on our air. tell us why someone should hire you. 30-second pitch at cnn.com. you'll earn a spot right here at 10:00 am. the trial is over. now she's a free woman. what happens to casey anthony.

checking top stories now. the heat, unrelenting. national weather service declaring excessive heat warnings for 14 states. the humidity could make it feel as hot as 126 degrees in some places. it's extending all the way through the midwest. luckily, no deaths have been reported due to the heat. general david petraeus, outgoing top commander at the nato forces giving up his

command today. petraeus is officially retiring from the military, not staying retire for the record very long, getting ready to take over the cia. phone hacking scandal in the uk still growing. in the last few minutes the assistant commissioner at scotland yard is resigning over his post. over the weekend, this woman, news of the world editor, rebecca brooks was arrested and release bid police. she is still expected to testify before british lawmakers tomorrow about the scandal. all right. now talk of a possible, yet stunning casualty of the british tabloid skanltcandal, rupert mu himself. questioning whether he needs to be replaced. jeffrey mccracken is pieering into the boardroom for us. what are you learning about the behind-the-scenes maneuvering on

the board of new s corp? >> thanks for having me on. they feel like the quality of information and the information flow, if you will, from the company to the board has not been very good. what i mean by that is they haven't really told the board what's coming or let the board know how bad things could get and how deep this could run. if you're a board member, independent board member there to oversee shareholder interest you're starting to feel like maybe people aren't being very honest with me and you start to question the ability of a management team to navigate through something this treacherous. they've lost $6 billion in market capitalize in just a few weeks. you're very sensitive if you're a board member, as to how bad things have gotten. >> could he be voted out? >> i think it's unlikely. the heat continues to rise on news corporation, especially if there turns out to be any truth or validity on the 9/11 issue,

that they hacked into the 9/11 foeps. i think you could see rupert step down then into a chairman role. he has two sons on the board and i think he'll want to look out for them. we're not saying that is exactly what's going to happen. what's notable in these sensations is when the board starts to divide, independent members of a board start to separate from the insiders on the board. this is the situation you've seen in past corporate responsibilities like hp. one of the independent board members here is a former board member and another person advised him. he helped to write the page act, clerked for the u.s. supreme court. he will play a key role in what happens here, going forward. >> also, too, this company, it's such a rich company. murdoch is such a rich man. now we're reading about all the minneapolis millions of dollars in settlements throughout the years. that murdoch has paid in the

past. so, the question is -- >> right, right. >> can he, can this company continue to pay its way out of such a devastating problem? >> i think it's going to be a challenge. it's long been said on wall street there's a bit of a murdoch discount, if you will, for murdoch shares. the company doesn't seem it always operates exactly for shareholders. it operates for rupert first. he has about a 38% controlling or voting stake. he will have discretion to do what he wants. buying "the wall street journal," for example, is something that the rest of the company and its shareholders wouldn't necessarily would have wanted to do. rupert, to the extent he is seen as weighing down shares and hurting kpt will hurt him going forward. and he is an 80-year-old man. a lot of of people are wondering, especially given how bad this has gotten, he can run a company. >> thanks. appreciate it. >> thanks for having me on. >> you bet.

anti-climatic end to the r circus that was the casey anthony trial. she walked out of jail sunday morning and, to no one's surprise, she's gone into hiding. david mattingly covered the trial for us. david? >> reporter: kyra, she walked right out the front door, surprising everyone, who was expecting some sort of diversion to distract the attention of the crowd. from the time she walked through the door, got into the car and went off to the suppressway lasted all about 30 seconds. people were very emotional. some were yelling killer as she got into her vehicle. but at this point, today, the question of where she is remains unanswered publicly. we have heard from the attorney representing her parents that jose baez actually approached casey anthony's parents with the idea that they could act as

decoys while their daughter was able to leave. they didn't go for that idea. they then received a text message later to let them know that casey was safe but do not know where she is. they do suspect, however, she is no longer in central florida, kyra. >> from what we understand, the parents saying she's not welcome back in their home. correct? in addition, what happens next with regard to authorities? i mean, there's no more protection for her. >> that's been reported about the family. we don't know that there's a very deep rift within that family at all, played out very painfully for everyone to watch on the stands. what we're watching now is the mounting legal battles that casey anthony will face in civil court after this is offer. the biggest one, the one looming first will be the state of florida trying to seek compensation for everything they spent on this case. that bill could be hundreds of

thousands of dollars, potentially. and they will be asking casey anthony to pay some or all of that back. again, we don't know the total. she will be fighting that to see what sort of settlement they can reach. >> all right. david mattingly, appreciate it. the debt clock is ticking. deal or no deal? plan a, plan b? now republicans are pushing something called cut, cap and balance. are you confused? it's understandable. that's why candy crowley tries to straighten it out for you. >> cut, cap and debt. >> cut, substantial amount of spending to bring down the roughly $1.5 trillion deficit expected this year. cap federal spending at 18% of gross domestic product is at 24% of gdp now. pass a balanced budget amendment to the constitution that includes spending caps and makes it difficult to raise federal taxes. cut, cap and balance.

ccb is all the rage in some republican xwrts. >> the aen for the country is for the president to agree to cut federal spending, to cap federal spending and to put in place a balanced budget amendment. >> house will be in order. >> this week, the republican-controlled house will likely pass a cut, cap and balance bill as a prerequisite to raising the debt ceiling. there are mighty objections from democrats on the hill and in the white house. >> what these amendments do don't just say you have to pass a balanced budget but that you have to cut social security and medicare even more deeply than the house resolution. >> what the house will most surely approve the senate most surely will not, leaving the debt issue precisely where it's been the past few months. if you cannot get the senate to pass what the house surely will this week, you'll go to default or go to plan b?

>> item going to focus on plan a. that's the only plan that will work. it's the real deal not a big deal. >> cutting spending $1.5 trillion over ten years and let the president raise the debt ceiling through the 2012 election. congress could stop him but only in the unlikely event of the veto majority group in both houses. everybody gets off the hook. it avoids economic chaos. >> republican leaders have made it clear we will not be the ones to -- >> the idea comes from senate gop leader mitch mcconnell, who has been trashed by conservatives ever since. >> we're in big trouble. let's have that national debate. >> sours say the last-ditch mcconnell plan could be on the senate floor this week. a republican source believes before the mcconnell bill, the senate will take up cut, cap and balance. even if ccb doesn't pass, it has endless possibilities as a cbs.

bumper sticker. will the country run out of money or patience first? we'll debate it. a bunch of planes damaged and a bunch of passengers stranded. details, straight ahead.

two weeks till the government runs out of money and politicians are just running their mouths. accusations and still nothing solve solved to break the debt ceiling deadlock. we need to realize setting all politics aside that our country is on course for a financial disaster. we can't take another 10 trillion in debt that the president has proposed. >> we think that the president has said clearly we should do as much as we can to reduce the deficit but we have to avoid the

chaos that would result from default. okay, guys, on top of all that, americans still feel confused. how many times do you have people come up to you and say -- will, i know it's happened to you l.z., i'm assuming it's happened to you. explain this debt ceiling to me in 60 seconds or less, tell me why i should care. will, go. 60 seconds. >> yeah, kyra. people hate this debate. it's boring. they're right. it's very boring. i'll break it down. l.z. can tell everybody where i'm full of it. republicans, having seen the light -- >> you're already full of it. >> -- republicans realize we've got to dedicate ourselves to small government and responsible budgeting. they're dealing with the president and democratic party that have no interest in either. they've got to get them over a barrel. this is their theory. they decide to hold the debt ceiling hostage.

bad strategy. you have to raise the debt ceiling. no ifs, ands or buts. you have to. sooner or later, americans, you have to have a debate. you get the entitlements and all the spending you want or higher taxes. you can't have low tacks and high spending. we have to have that debate. >> is there any way, any way, l.z., you can negotiate a combo of tax increases and entitlement cuts where everybody is happy and you think, oh, that's great? that's a fair deal? >> i haven't been anywhere in my life where everybody in the room was happy. i don't think you actually are going to get that. one thing i want to challenge my buddy, will, about, though. this idea of small government sounds really great. there's 350 million people in this country. it's kind of hard to run this like it's back in the 1700s. when there's a tornado that ripped through the middle of the country, people look at the government. you have to have a sizeable government to work with the large size that this country is right now. i do agree we need to make some

cuts in the middle class with social security, medicare, medicaid. but come on. oil companies are making record profits. >> l.z., you're willing to -- >> yes. >> we have to make cuts on social security and medicare? >> yeah, yeah, absolutely. i think it's irresponsible for them to draw a line in the sand and say we can't touch these programs. i think every program should be up for debate. there's fat in every program. >> look, a little bit of agreement there with both of you. bachmann quitting her church. why should it matter where a presidential candidate worships? >> kyra, look, i'm not a religious guy. this is -- it matters to me less than others. i understand why it matters to people. where you worship, what kind of value and belief system you have informs a lot of who you are and how you might make decisions

that you can't plan for. i don't know if there's that big of a difference if you go to the episcopalean or lutheran church but if you're a christian, muslim, nonbeliever, people should know that. >> i'm like my buddy, will. i don't hate god. >> whoa! >> now we're going to debate creation. okay. this will get interesting. go ahead, l.z. >> i think it's important to know what a candidate's affiliations may be. i do tend to agree with will that it's important that we just know their philosophy may be coming from. with that being said -- i sort of blame this on president obama when they were calling him a muslim. it's more important that we remind each other that it doesn't matter. when people were accusing president obama of being a muslim, instead of saying he was a christian, he should have said this is america and it doesn't matter. ultimately, even when we find

out where michele bachmann goes or doesn't go, we should ultimately know as americans, it doesn't matter. >> quickly, will, you were saying -- last thing about religion. we'll hear about other religions, other candidates? >> yeah. michele bachmann and what church she goes to is in the news right now because bachmann's in the news right now. for better or worse, we'll start talking about mitt romney and jon huntsman and the mormon church, just as we talked about president obama and what church he went to. >> thank you for joining in on the qufrconversation. >> you bet. taking a trup to l.a. they even raised the money they needed until they saw the bill for the airline fees. would you like to have a look at a map, my lad? ah, why not? shall we check on the status of your knighthood? yes. again? yes, again, please! thank you. with my digital manservant, i'll never be homesick again.

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they love to sing their hearts out and the choir, heart of all nations, wanted to take it on the road. the inner city church even raised the 25 grand to pay for the airline tickets out there. it turns out that just wasn't enough. spirit airlines said the crew would have to pay an additional $6,000 for the group's equipment to go along with them. let's talk about this. joining me is church pastor and 16-year-old member otis wright. pastor willis, let's talk about what trips like this mean for these kids. >> we're taking almost 100 kids with us, kyra. thank you so much for having us on cnn today. we're taking mostly 100 kids, inner city kids that are involved in our youth -- very

important to remember, this is our youth, teenagers, young people that have been working for a year. so much violence has happened in chicago. everybody has heard about it, all around the world. being the largest multicultural church on the south side of chicago, we're very, very focused on keeping these young people involved and off the streets and giving them something constructive to do. this is one of the programs they've been focused on for a year, raising the money. it's not just one week of the year they're going to be gone. they've been engaged for a year preparing in not only rehearsing and that, but raising the money to go. and then this happens. >> otis, i was reading about you. you were in a foster home. you were adopted by a member of this church. you got involved with the choir. it's totally made an impact on your life. tell me how these trips inspire you and what you say to the kids when you go on tour. i know you mentor to these kids. >> yes, kyra. also this trip means the world

to these kids. because we raise a lot of money. we worked really hard to go on tour. and we just got hit with an unexpected fee. >> and so, pastor -- you know, this will be appropriate, i'm going to be devil's advocate. i'll get struck by lightning in two seconds, okay? >> no problem. >> the airlines are going to say, come on, pastor, you know how much equipment you have to call, you know how many people you had to fly. it's a tough time for us right now. we have to charge these fees. we're not a charity. >> you're perfectly correct. it really comes down to our e-mail, when we booked on march 10th states to us plainly that the rate would be $469 per person including, it says it very plainly here, all airport taxes and fees. and that if we took an earlier flight, that they would take $120 off. so, we did that, which made it about $350 a student. so, that's how much they paid.

so, $350 and thn we're raising the money for hotel, transportation and food and that. they had to pay the $350. then they tell us, no. baggage fees was not part of "fees." it simply said fees. that's where the shock came."fes where the shock came. we assumed the fees meant baggage fees, too, and now i want to correct something. it's not just going to be $6,000. they're telling us now if we don't prepay this week, we're ten days out from this trip, if we don't prepay it won't be 6,000, it's $20 more per student round trip. it will be an $8,000 prepay. so it's expotentially increasing by the day when we were working under the assumption of it being included in the fee these young people have worked so hard to raise this money. >> understandable, and just to be fair and i'll let you have the last word, otis.

but real quickly spirit did provide a statement and it said compared to other airlines fares and fees, spirit provided this group with added value by offering fares lower than on other carrier. we can't keep our fares low for all our customers if we make exceptions. before i let you go, otis, what's your message to spirit airlines? what do you want? >> i just -- we're begging and pleading, you know, to like just drop the fee because we worked so hard, and it's not an option for us not to go. we've worked hard. we've been practicing for a year. >> and i've seen all of you all sing, and i know what kind of impact you've made on other inner city kids throughout the country. we wish you the best of luck. pastor dan willis and otis wright. thanks, guys. >> thank you so much, kyra. >> you you bet. comes up the atlantis final farewell.

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we're following live developments in the next hour. let's check in with dan rivers out of london. dann. >> reporter: we're going to bring you the latest on the phone hacking scandal. another resignation, this time assistant commissioner john yates has stood down just less than 24 hours after his boss sir paul stevenson quit. he's the most senior policeman in britain. the scandal just keeps getting bigger and bigger, everyone wondering who is going to go next.

>> reporter: i'm brianna keilar from the white house. we're two weeks from when the u.s. will default on loan obligations and no deal between the white house and congressional leaders. i'll have the latest at the top of the hour. >> reporter: i'm ted rollins in minneapolis where record temperatures are making life pretty miserable for people here and for people across a huge section of the united states. we'll talk heat coming up at the top of the hour. after yesterday's loss in the women's world cup, hearts were pretty broken all over the u.s., but maybe you can take some solace in japan's win. they needed a little good news. we'll take a look at that next hour. major medical. ...but it helps pay the doctors. pays the doctors, boyyy! [ quack ] oh yeah? what about your family? ♪ we added aflac, so we get cash! it's like our safety net... ♪ to help with the mortgage or whatever we need! so my family doesn't feel the pain too.

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darren clarke, rock star. it took 20 years to get there. >> his 20th shot at the british open. he looked good, man. always takes a little luck at the british open, the courses are crazy and the weather. a couple of times he hit balls that skidded over sand traps. it's a good day. he got a challenge from a couple of americans. dustin johnson and phil mickelson got into a tie with clarke, but clarke made it it work. his first major title at 42 years old. how about northern ireland, you have rory mcilroy and graham mcdowell and now clarke.

how about pro-am golf. joe sakic the former hockey star. par 3, and the former nhl star, the hole in one. he won two stanley cups, an mvp with the colorado avalanche. that's worth $1 million. he split it 50/50 with lance armstrong's live strong foundation. there's charles barkley at lake tahoe. it's an ugly golf swing. one hand. it might work better, and it did. he was still wide right, but he's usually not even that good. i mean, he's just -- he's just the worst. i mean, he's a great basketball player fun to watch on tv, he's a bad, bad golfer. >> forget the golf. >> credit to him, though. he keeps showing up. he doesn't hide. >> thanks, jeff. they're all packed and ready to return to earth, but first

"atlant "atlantis" had to say good-bye to friends at the international space station. this one will definitely stand out. john zarrella joins us to talk about the final good buy. >> a sad day. you're right. this was it, the last time that a space shuttle would visiting the international space station. they had a brief ceremony that concluded a few moments ago, where the two crews got together, and they said good-bye. they put an american flag up on the hatch, and a little bit of history. it that american flag flew on the very first space shuttle, and the next time a u.s. crew comes up to the space station on a commercial vehicle, they'll retrieve that american flag, bring it back to earth, and then that flag will fly on the very first deep space mission sometime in the future.

kyra. >> all right, john zarrella. we'll be watching it all, thanks. it's now top of the hour, 10:00 a.m. on the east coast and 7:00 a.m. out west. in afghanistan assassins kill a second senior official in less than a week. he was a member of parliament and a key adviser to karzai. minutes ago space shuttle atlantis closed its hatch. it's scheduled to land thursday sxend the final flight of the shuttle program. nelson mandela turns 93. south africans pay tribute to him by forming at least 67 minutes of volunteering, one minute for each mandela spent fighting for freedom in south africa. a new casualty in the roux per murdoch's media scandal. one of scotland yard's top officers resigned. two years ago john yates ruled there was no re-open the investigation, and it was that

botched decision that cost the job of britain's top cop. the head of the scotland yard stepped down amid public outrage yesterday. >> as commissioner i carry ultimate responsibility for the position we find ourselves in. with hindsight i wish we had judged some matters involved in this affair differently. i didn't, and that's that. >> cnn's dan rivers is in london where all eyes turn to tomorrow's testimony before lawmakers. tell us why. >> reporter: well, they want to know how far up the chain this went, this whole phone hacking scandal. who knew what in the murdoch empire? that's what they hope to get to the bottom of tomorrow. rupert and james murdoch themselves will be appearing before politicians here for a grilling as well as those two -- their former executive rebecca brooks will appear separately because she was arrested late

last night and detained and questioned for some 12 hours. she's out on bail. they have to be careful how they frame the questions so they don't prejudice any subsequent trial. she will also be questioned. now we've had not only the most senior policeman in the country go, but also one of his senior officers as well. he was in charge of the initial review into this. john yates initially went away and looked at the evidence and said, no, there's only a handful of victims in this, and it's not worth digging back into. now we know there are 4,000 potential victims, so his explanation was questionable to say the least. now he's gone and we wonder who is next. >> dan rivers, we will pay close attention and see how that testimony goes. thanks. see all the developments on the muir dorsch media scandal and join us tomorrow to hear from the man himself. as you heard dan say due to testify before british lawmakers tomorrow beginning at 9:30

eastern time. 15 days from now your dollar may be worth less, your loans could cost more. that is if the government runs out of money and is unable to pay its bills. with a major breakthrough increasingly out of reach, lawmakers are showing more interest in a fall-back plan. the compromise measure allows the president to raise the debt ceiling and avert crisis before lawmakers agree on where the spending can be cut. a vote on that could happen this week. the fall hoof back plan will likely pass the democratic controlled senate but face a bigger challenge in the house. brianna, it doesn't appear that the white house is any closer to brokering a deal. >> reporter: no, kyra, and there were no announced meetings between president obama and congress at leaders over the weekend, so if there were meetings the white house and congressional leaders kept a lid on it. you said it. 16 days away, a little over two weeks from the date when the treasury department says the u.s. will default on its loan

obligations setting off horrible economic consequences and a plan for deficit reduction that would sort of clear the way to increasing the debt ceiling and perhaps getting some republican support still eluding the white house, still eluding congressional leaders. there was no significant progress over the weekend. as you said, kyra, a lot of eyes right now focussing on this kind of fall-back plan that the top republican and democrat in the senate, mitch mcconnell and harry reid are trying to work out. it would allow president obama to have the ability to increase the debt ceiling and not require a majority of support in congress to do so. it wouldn't address necessarily spending cuts, those expensive entitlement programs and tax increases, which still, kyra, democrats are demanding and republicans are balks at. >> brianna live at the white house on the debt talks. thanks. there's a heatwave baking

most of the central u.s., and it's expected to spread east. 16 states are currently under heat advisories, watches woorngs now. ted rollins is live in minneapolis. you were at a twins game yesterday and saw several people sifring from heath exhaustion. what else have you seen? >> reporter: well, i tell you, we were at a game yesterday. there's another one here today. actually, two games, and it was hot. it's going to be even hotter today with the heat index up 110 degrees. yesterday several people suffered from heat exhaustion. one gentleman actually had to be wheeled out in a gurney with an i.v. attached to him because he had suffered from severe heat exhaustion. the twins are going out of their way to help with people. they put up stations around the stadium for water, and the lines for that water yesterday were very long. expect the same thing here today. this is happening, of course, across the midwest, but here in minneapolis, boy, they are not used to this kind of heat. they deal with the cold, but when it gets how the, it's tough

for them to deal with. >> it's not minnesota, but we see the rest of the midwest baking as well, ted. >> reporter: yeah. oklahoma, it's been horrible. 27 days -- think about that -- this summer have been over 100 degre degrees. the governor asked people to pray for relief. in texas they have a horrible drought going o. cattle are sold by farmers there because they can't grow grass to feed their cattle so they're selling them earlier than they want to. it is miserable, and as we said earlier, this is going to happen throughout the week here in chicago, st. louis there are cooling stations opening up this week in the midwest. i guess they call that a heat cap. it's right on top of the country right now, and people are having to deal with it. >> all right, ted rowlands live from minneapolis, thanks. baseball has japan's national sport for a long time, but suddenly they've gone soccer

crazy. they won the world cup outshooting the u.s. in the final. we're live from frankfurt where the match was played. za zan zain, what was it like being there? >> reporter: it was electric and people were biting their nails. the u.s. were aggressive out of the gate. they were hursle so hard to score a goal, but they had so many missed opportunities. the first goal came around the 68th minute when the youngest player on the u.s. team substituted in, alex morgan, scored a beautiful goal. minutes later the japanese got one, and mainly because of a u.s. communication failure in the defense line. they kind of gave them a gift by tapping the ball onto the japanese attacker's foot and it went in there. later on in extra time abby wambach, an amazing u.s. striker, the coach calls here a

beast. she's known for an incredible header. everyone thought the u.s. had it. the japanese came back in the last few minutes, and boom, they scored and as you know they won in a dramatic penalty shoot-out. it was an incredible match. people were tweeting like crazy, kyra. i was looking that a world record was set yesterday. 7,196 tweets a second at end of the game. did you watch it? >> i did not watch it, because i knew you'd be there and bring me the highlights. i was caught up watching tour de france over the weekend. but, we have talked a lot about the u.s. women had a lot to deal with, a lot of comparisons to the '99 women's soccer team that did win the cup. who would forget brandy tearing off her jersey and chaos ensued. >> reporter: yeah, absolutely. i mean, that's one of the most

iconic images in u.s. sporting history. you know what? this team is extra disappointed because for years they've been kind of struggling to get out from under the shadow of the '9 niners. they want to be the new generation. this match was so important for them to redefine themselves, because everybody thinks of the magic of 1999 and the game in the rose bowl arena in los angeles and how amazing mia and brandy and julie and joy were. they wanted to make a difference, but unfortunately it wasn't meant to be. they played the better game, but they didn't manage to clench it. it was an amazing match to watch, and it will go down in history. good for the japanese. they were the sentimental favorites going in. they started off a little nervous until the beginning. they didn't really unlock their game until after the first shot, and then they really showed skill in controlling the ball and passing, and they did get lucky, too. >> they needed it for morale.

that's for sure. zain, thanks so much. the united states loss in the world cup finals, it definitely broke the hearts across the country, but, that's right, in japan their win was a boost that that country desperately needed. we'll be talking more about that coming up. casey anthony was set free over the weekend in the middle of the night. i'll tell you why her own parents don't even know where she is right now. [ male announcer ] there's more than one of these abandoned racetracks in america today. automotive performance is gone. and all we have left are fallen leaves and broken dreams. oh. wait a second. that is a dodge durango. looks like american performance is doing just fine. ♪ carry on. ♪

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country. an iowa congressman and his family safe after a home invasion over the weekend. apparently an armed man came to the front door, attacked boswell's daughter and demanded money. boswell ran for help and so did his 22-year-old grandson. he grabbed a shotgun and chased away the untruder. a tour bus crashed on interstate 390. a tire blowout may have caused the accident. california survived karm d armagedd armageddon. interstate 405 re-opened at noon local time yesterday after they finished the work on the bridge much earlier than expected. all in all it was a pretty anticlimatic end to the circus that was the casey anthony trial. she walked out of jail this weekend, released just after midnight sunday morning. to no one's surprise she's gone into hiding. david, it's even out there that her own parents don't know where

she is. >> reporter: that's right, kyra. one of the many surprises again continuing with this story. not only did they walk out of jail, she walked out of the front door and waiting for her were a couple of hundred angry protestors, some of them shouting the word killer as she got into an suv and sped off into the night. news helicopters lost sight of that vehicle in a parking deck in downtown orlando at an office building where there's an office for one of her defense attorneys. her whereabouts after that is anyone's guess. her family does not know where she is. speaking through their attorney, they say that jose baez, casey anthony's attorney, actually approached them and asked them to act as decoys that night that she was released. they refused to do that. later they say they received a text message saying that casey anthony was okay, and that she was safe. they got some comfort from that. they didn't get any information about where actually she is. the family believes, however,

kyra, that she is no longer in central florida with all the attention this trial has been getting, virtually anyone here could recognize here anywhere. >> she may be out of jail, but she's not free of all the other legal entanglements that surround her. >> reporter: that's right. she has a lot of civil cases to deal with, but first facing her right away next month the state of florida is seeking compensation for all the money it had to spend in this investigation and in this trial. that could total up to about hundreds of thousands of dollars, and they want casey anthony to pay it back. there's going to be a hearing to decide how much they're going to be seeking, and, of course, casey anthony and her attorneys are going to be fighting that because she has to start her life over again and having the burden of hundreds of thousands of dollars is definitely going to have an impact there. she has already declared indigent, unable to pay for her own defense. a lot of fighting left to do, a

lot of talking left to do and a lot of questions still remain as we continuing to through the courts with casey anthony. >> david mattingly live out of orlando. thanks. north korean soccer players fail doping testing at the women's world cup, and you're not going to believe what they're blaming for it. harry potter series keep rolling on. we'll show you how much the latest boy wizard movie took in at the box office.

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your showbiz headlines. it's the biggest opening for the harry potter movie. it hauls in 169 million bucks in the u.s.

worldwide it's taken in nearly a half billion dollars. there were warnings at the blues fest central in ottawa, canada that storms were coming. when cheap trick started to perform, the entire stage came down around them. it was all caught right here on youtube, the band is fan. to be a pop star or soccer player? for the first time we see pictures of victoria and david beckham's baby daughter, harper lee the author of "to kill a mockingbird" and searven. we know that hearts were broken all over the united states after yesterday's loss to japan in the women's world cup. , but japan was a country that needed a little good news. >> reporter: in the urban sports bars of tokyo to the gymnasiums of rural japan, the sound, the same. jubilation.

a team of underdogs against a stronger team they'd lost to 25 times, more than a sports team, they carry the prayers and hopes of the badly damaged nation moved to tears as they watch. >> translator: i think we witnessed something historic says this fan. i was so moved. >> reporter: hours after that incredible win, the game is being replayed across tokyo. it's not just soccer fans, but an entire nation desperately in need of a feel-good moment and some heroes. coming four months after the tsunami, japan continues to reel from the disaster. the fukushima nuclear plant remains a crisis still spewing radiation and months away from a cold shutdown. japan economy has struggled in the wake. the lawmakers locked in partisan bickering and trying to oust the prime minister. while in the tsunami zone nearly

100,000 remain in evacuation centers and temporary housing with years of rebuilding ahead. this game happened at the right time for us says the tsunami victim. it gives us the strength to keep going. the morning papers blaired upbeat news snatched up. there's been so much bad news from japan, says this commuter, this is good news and it encourages us. the sports world is already calling the women's team the comeback kids for how they refused to yield in the world cup, but to their home nation they're a potent symbol, a reminder to never give up. cnn, tokyo. straight ahead, warren buffett and bill gates sit down with president obama today to talk about charitable giving. what do you think? should they advise the president on the debt ceiling in our political buzz panel weighs in.

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warnings for 14 states. the humidity can make it feel as hot as 126 in some places, and it's extending through the midwest. no deaths have been reported so far. former "news of the world" rebecca brooks will testify as scheduled tomorrow before british lawmakers investigating illegal eavesdropping by journalists. president obama says talks will continue this week, but top republicans say they still need more specifics on deficit reduction before agreeing to anything. in a new twist moody's, the big credit rating agency, says that the u.s. would be better off if it did away with the debt ceiling entirely. lawmakers have an august 2nd deadline to get that deal done. political buzz. your rapid fire look at the hottest political topics of the day. three questions and 20 seconds on the clock. playing together is maria cardona, pete dominick and cnn contributor and talk show radio host dana losch.

this hour warren buffett and bill gates sitting down with president obama. what kind of advice should they give the president to solve the debt impasse. dana? >> have the senate democrats come up with a balanced budget amendment or come up with specific cuts that they can make in these debt talks. that's one of the things that we're missing. realistic, big-time cuts that were actually going to have a difference aside from the piddly 2 trillion, where only in d.c. would 2 trillion sound like a nothing amount. >> maria. >> i think what they'll do, kyra, is continue to urge this president to stand strong on wanting to keep tax revenues, new revenues into whatever deal. they have been saying for many, many, many years that they are -- that people like them can and should be paying more because any deal needs to be fair and balanced. most americans agree with that. >> pete. >> well, maybe bill gates could tell the president how to design

a revolutionary new operating system to dominate all computers. short of that, warren buffett and bill gates have taken advantage of all the tax loopholes that president obama ptds to close. they know better than anyone how to take advantage of them. they should tell the president what they use, and maybe he could address those issues right now. >> all right, guys, herman cain says a community should be able to prevent building a mosque in their neighborhood. is this kind of thinking presidential? dana. >> well, really quickly, 55% of american oppose tax hikes in the debt ceiling talks. going along with herman cain's discussion here, i'm again mob rule, but i believe that any sort of mosque that's built in a community needs to disclose whether or not it has ties to any organizations that present a conflict of interest to american security. i think that two-way street is fair, so hopefully we can have more of that in the future. >> marimaria. >> it is as far from presidential you can get. it's downright shameful.

would he ask the same of christians and buddhists and hindus of jewish people wanting to build that in their communities? he's equating american muslims, americans in their community with al qaeda and with osama bin laden. downright shameful. >> pete. >> this is so stupid and insulting. herman cain and anybody who shares this kind of idea that says you can't build a house of worship is a joke. it's insulting. i'm no fan of religion myself, but this is too sad. he actually has a lot of executive experience. he should focus on that. muslims have helped disrupt every plot in america. we need to be their friend, not their enemies and that's exactly what he's doing. >> your buzzer beater. ten seconds out. sarah palin's movie is out for all to see this weekend. her big competition is harry potter. what would you rather see? >> i would rather see harry

potter. if i was a fan of horror movie i'd see sarah palin's movie. it would give me nightmares for day. >> dana. >> that's to classy. i'll see the sarah palin movie obviously and i'll see harry potter because i have two boys. i have to. i'm obligated to. >> pete. >> one movie has made us familiar with a character who developed over three years and helped people who are very religious and lack certain critical thinking skills. i'm attracted to that, but the other movie centers around a wizard. i'm not sure. i think it's a win-win. >> thank you for weighing in. soccer's governing body says fife players from north korea have failed doping tests. a team that didn't even make it into the quarterfinals, by the way. wait until you hear what they are blaming the failed tests on. zain vergie is back.

do tell. >> reporter: this story is a little bit sketchy. you decide and see what you make of it, but the north koreans played the u.s. and they lost that match. shortly after that, the coach went out on the record saying that the players were struck by lightning when they were training in north korea and that they had been taken to hospital. he said that the treatment that was given to the players that were allegedly struck by lightning was deer musk. that's basically deer in north korea has this hairy gland, and they basically cut those mary glands open and a liquid comes out and they fed it he says to the players as medicine. now fifa is saying, hang on a minute. these five players testing positive for steroids, and now there's this disciplinary committee looking into this. these players could be suspended for something up to two years, but their story is the players

were hit by lightning, and they only gave them this deer musk liquid treatment. >> you know, you just never know. there's all types of philosophies about various anecdotes, zain. players from other teams, did they fail tests? >> reporter: no one else has failed a test. the biggest scandal right now is this north korean story. it's the biggest scandal in two decades here, but approximate many people here are just asking questions like, how many people could actually be struck be lightning at once? what was this somehow some kind of a designer steroid laced with this deer musk? there are too many questions that make it too sketchy a story. we don't know how the north koreans put this out in the media. it just suddenly appeared, and there isn't any proof, although they claim there are photographs of the players that have been taken to hospital after being hit by lightning. i'm not sure we'll ever know

because it's the hermit kingdom. kyra. >> zain, thanks. she was the most powerful woman in british media, and today they're focused on reek be brooks and the scandal that engulfs his empire. hine ♪ ♪ my only sunshine ♪ you makes me happy ♪ when skies are grey ♪ you'll never know, dear ♪ how much i love you ♪ please don't take my sunshine away ♪ [ male announcer ] as long as there are babies, they'll be chevy's to bring them home. ♪ t the motorola expert from sprint. its powerful tools help you work faster and smarter so you can get back to playing "angry birds." it lets you access business forms on the go, fire off e-mails with the qwerty keypad, and work securely around the world so you can get back to playing "angry birds."

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country now. extreme summer heat making things unpleasant and even dangerous for a lot of folks. in minnesota they delayed a soccer tournament when the heat index soared to 110. in chicago cooling buses and fans keep concert goers from wilting. a different weather issue in denver. golf ball-sized hail blew in and damaged a number of planes at the airport. frontier airlines got hit the hardest. the rise of fall of one of the most powerful women in british media, rebekah brooks

was arrested yesterday. now she's scheduled to testify before lawmakers tomorrow. >> reporter: in the cozy world of british politics and media, rebekah brooks was at the center. she wined and dined the rich and powerful on behalf of her boss and mentor, rupert murdoch. from ambitious journalist to the most powerful woman in british news media, now arrested by british police investigating allegations of phone hacking and police payments by murdoch newspapers. just how did rebekah brooks get to this point? brooks first came to news international as a secretary at "news of the world." she quickly developed a reputation for her ten city as a journalist, reportedly once disguising herself as a cleaning lady to scoop a competitor. described as both ruthless and charming, she was soon the youngest editor of the "news of

the world" and the sun. she spearheaded a controversial campaign to quote name and shame alleged pedophiles publishing their names and addresses in the paper. as the editor of "the sun" brooks testified to parliament that her paper paid police officers for information, and it was under her editorship that "news of the world" paid a private investigator to hack into the voice mail messages of millie dowler, the 13-year-old girl murdered in britain. those allegations did not come to light until almost a decade later after brooks had scaled the corporate ladder to being chief executive of news international, a position she resigned last week. brooks has denied having any knowledge of any phone hacking by her staff. it was brooks that cemented a relationship with prime minister david cameron, inviting him to lunches at her country home with the head of news corporation,

rupert murdoch aeps son, james. rebeckah brooks is the highest profile arrest yet, and the one closest to rupert murdoch himself. nfl players and owners return to the bargaining table today in noshgew york. the two sides have been at odds since march when the nfl imposed the lockout. the first prestone game is set for august 7th. darren clarke finally won the british open. he claims his first major title at the age of 42. former hockey star joe sakic sank a hole in one yesterday at the american century championship although lake tahoe. he won a million dollar bonus. he's splitting it 50/50 with lance armstrong's live strong

foundation. charles barkley didn't win prizing for his golf swing yesterday in lake tahoe. look at this. not sure where he learned this technique or even if you call it a technique. it's pretty bad on the tee shot to the 18th. he stopped, one-handed the club and knocked it right into the happy gilmore rough. it would make the summer a lot more uneventful, but what if the united states got rid of the debt ceiling completely. allison takes a look at that right after the break. what do we have? all four of us, together? 24. he's low fat, too, and has 5 grams of sugars. i'll believe it when i--- [ both ] oooooh... what's shakin'? [ female announcer ] as you get older, protein is an important part of staying active and strong. new ensure high protein... fifty percent of your daily value of protein. low fat and five grams of sugars. see? he's a good egg. [ major nutrition ] new ensure high protein. ensure! nutrition in charge! and i count on social security.

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234. 34 times american crews have shipped out from the international space station. the final departure is tomorrow, but first the astronauts had to say good-bye. cnn's john zarrella we will tell us all about this morning's farewell ceremony. >> reporter: the hatch is closed and the astronauts will go to bed shortly. then later tonight they'll get their wake-up call again. but the order of business today was closing the hatch for the final time between the space station and a space shuttle. in a brief ceremony, the six space station astronauts and the six space shuttle astronauts gathered together at the hatch that leads to the space shuttle, and they placed an american flag that flew on the very first space shuttle back 30 years ago. they placed that flag on the hatch. >> we close that hatch when

these guys go by, we're closing a chapter in the history of our nation. in the future when another spacecraft docks to that hatch and with crew members on board and we open that hatch, we are going to be opening a new era and raising a flag on a new era of explanation behind earth's orbit. it's a great honor to do that and a great place to put it. >> reporter: they closed the hatch for a few minutes ago, and the flag seen prominently on the hatchway there on the international space station. of course, the astronauts all hugged and said their good-byes. that flag will be returned to earth when the next u.s. crew arrives up at the international space station, which will likely be on a commercial vehicle in three or four years. they bring that flag back to earth, and then the flag will fly on the first deep space

mission probably to an asteroid or to mars in 2025 or 2030. kyra. >> that's pretty awesome. i hope you get a chance to actually see it and bring it into a live shot. thanks, john. how about this for an idea? eliminate the debt ceiling altogether. that's what one well respected firm is actually suggested. allison, what do you think? >> reporter: hey, i think go for it. chuck it altogether if you ask me. this is not coming from me, though. it's from moody's, which is making a lot of headlines lately. they warned last week it will downgrade the u.s. credit rating if it doesn't reach a debt ceiling agreement in time. now moody's said why not get rid of the whole thing altogether? they say by setting a ceiling on debt it creating uncertainty over the government's ability to meet obligations every single time we get close to the ceiling, and that means that big investors that hold onto u.s. debt get scared and they begin

to consider it risky to hold that debt. the u.s., remember, is supposed to this harbor of uncertainty, a spot of safety approximate in a world of uncertainty, and that countries shouldn't be nervous about holding our debt. moody's wants the u.s. to consider another framework that wouldn't cause the uproar we're going through right now. kyra. >> one of the basic problems is the debt ceiling hasn't been effective in keeping the debt down? >> reporter: yeah. you know what, for decades it's been a routine thing. congress raises the debt ceiling without stirring up too much controversy. the debt ceiling is not linked to spending levels, so it doesn't keep the country's debt in check in any real way. the u.s. is actually one of just a few countries that has a legal barring limit. moody's points to chile as a model we should look to. it's seen at latin america's most fiscally sound country, because over there the government doesn't have a hard and fast ceiling, but debt is generally kept con strained. in theory it keeps the government from spending too

much or much more than it has, and hopefully avoid this occasion panic we go through. somehow i don't stee that happening. i think politicians like this back and fortd, you know? >> exactly. that's why they -- that's why we are where we are, because of how they handled it. thanks, allison. stories making news later today, president obama is heading him at the news financial bureau. the u.s. house committee holding a hearing at the capitol. that is supposed to start at 5:00 eastern. in new york city a summit on cyber bullying cyber safety being held at the times center in new york. that also beginning at 5:00 eastern. an elder statesman celebrating another year on earth while many admirers celebrate him. nelson mandela being honored on his 93rd birthday. we're having mexican tonight, so another pill then?

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this morning a changing of the guard in afghanistan. army general david pet reduce transfers command to john allen. petraeus is headed to a working retirement. in september he takes over the cia. barbara starr at the pentagon. what will petraeus do when he gets to the cia? first things first. >> reporter: you know, he has to do what every cia director does when they walk in the door in langley, virginia, and that is to convince the work force there he's one of them. he's not a retired army general with his heart still at the pentagon and with the u.s. military in terms of what he wants to accomplish there. he takes the uniform off after 37 years, and, of course, the

last several years serving as commander in both iraq and afghanistan. let's listen for a anyominute t some of his last words in demand. >> it has again been the greatest of honors to serve here. to witness the skill and valor of our troopers, and to see the courage and commitment of afghan leaders, afghan forces, and the afghan people. >> reporter: but at the cia it will be a little bit different. he will still, of course, work the afghan and iraq issues, but it will be this emerging theater of war on terror, somalia, yemen and still pakistan and the traditional concerns about north korea and iran. iran may prove, kyra, to be topping the list in the months and years to come. a lot of concern that the regime is getting very involved in afghanistan, in iraq, and really trying to exert its influence throughout that region. so all of this list of countries

are going to be the things that petraeus will be dealing with as director petraeus one he's no longer general petraeus. >> it will be interesting to watch the difference that he makes and the changes that he makes. barbara starr from the pentagon. barbara, thanks. >> reporter: sure. told is nelson mandela's birthday. he turns 93, and millions of school children around the country saying happy birthday to mandela before lessons begin today. take a listen. ♪ happy birthday to you ♪ happy birthday to you ♪ happy birthday dear nelson >> how else are people celebrating mandela on this special day? >> reporter: well, it is a special day for south africans, and there was, as you could hear, quite a lot of singing when i dropped my 4-year-old off at school this morning. it was quite touching to think that more than 12 million school children in south africa were at

the same time singing happy birthday birthday. they view him as a member of the family, and of course as the grandfather of this nation. so for his birthday for 67 minutes everybody is encouraged here and also around the world to do 67 minutes of volunteering for your community. basically he and his people have said, don't give me a gift. rather, look next door and help somebody who needs a little bit of help, maybe needs their house painted or maybe somebody needs a meal cooked. basically mandela and those around him wanted to say and want to urge people all over the world that, you know, big things start with little steps, and that sacrifice like all the sacrifice he gave all started off with just turning to the person next to you and saying, how can i help? it's that kind of attitude, that kind of wonderful feeling of

selflessness felt around south africa today. it's been very touching. >> how is his health, by the way? >> reporter: good question. as you'll remember at the beginning of this year he was in hospital with pneumonia. much to his doctor's surprise, from what i understand, he's rallied quite well and is doing well. you know, he's 93. let's not forget that. he struggles with a number of health problems. we also know that his memory is failing. he sometimes does get confused, often frustrated with this sort of old body that he finds himself in. but i think many people around him quite astounded at his will to live, his incredible self-discipline. after 27 years in prison and all those sacrifices, one shouldn't be surprised that he turned 93 today and i'm sure many more to come. >> yes, indeed. diana, thanks. come pg up in the next hour, morgan freeman joins us to talk about playing mandela, a role he

said was harder than playing god. the movie legend has an update for us on mandela's health. that's coming up at the top of the hour. tein. what do we have? all four of us, together? 24. he's low fat, too, and has 5 grams of sugars. i'll believe it when i--- [ both ] oooooh... what's shakin'? [ female announcer ] as you get older, protein is an important part of staying active and strong. new ensure high protein... fifty percent of your daily value of protein. low fat and five grams of sugars. see? he's a good egg. [ major nutrition ] new ensure high protein. ensure! nutrition in charge!

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i've tried it. but nothing's helped me beat my back pain. then i tried this. it's salonpas. this is the relief i've been looking for. salonpas has 2 powerful pain fighting ingredients that work for up to 12 hours. and my pharmacist told me it's the only otc pain patch approved for sale using the same rigorous clinical testing that's required for prescription pain medications. proven. powerful. safe. salonpas. straight to our political editor, mark preston, for a bit of a political update. he is out of washington. mark, rudy guiliani making news over the weekend. >> reporter: he certainly is. we know he does not support gay

marriage, but he does support civil unions. still, look at this at vice he's giving i think the republican party is well-advised to get the heck out of people's bedrooms and let them get decided by the states. he says we'd be a much more successful party if we stuck to our economic roots. he made the comments yesterday on "state of the union" with candy crowley. we're waiting to see if he will take the plunge and try to run for president once again. out in iowa here's disturbing news that came out with a pretty decent outcome. leonard boswell is a democratic congressman. was in his farmhouse late saturday night when an intruder broke in. he put a gun to his daughter and demanded money. now, boswell, who is 77 years old, went after the gunman, tried to get the gun away from him and was unsuccessful but his

22-year-old grandson pulled out a shotgun. the intruder headed for the hills. the good news is nobody was hurt. there was minor bruces and scrapes, and they're still looking for the intruder. >> how about that 22-year-old grandson? he's the hero in this story. he has everybody's back, doesn't he? >> he certainly does. you can do a lot of talking with a loaded shotgun, that's for sure. >> wlaehat else is happening to? >> what's going to happen with rick perry? he's the texas governor. is he going to run or not run? he gave an interview over the weekend to the des moines register, where he seems to be edging towards it. over the next week or two, perhaps the next three weeks we'll find out if rick perry will take the plunge. he's doing okay in the polls right now for somebody who hasn't announced he's running for president yet. >> thanks. a reminder for all the latest political news go to our