we're out of time. that's it for 360. i'll see you at 10:00 eastern tonight. tonight, breaking news, steve jobs re signs as ceo of apple. what this means to the company that changed the world. the latest stunning developments. and gathering storms in the atlantic. hurricane irene bigger and stronger, bearing down on the east coast. where it will hit. winds over 100 miles an hour, what it will do to a city like new york. on the other side of the world, battles still raging in tripoli. moammar gadhafi forces going house to house. is this the colonel's last

stand. sara sidner, what's it like to be in the middle of the chaos. this is "piers morgan tonight." tonight's breaking news. steve jobs stepping down as ceo of apple. joe, is this a surprise, lots of speculation about steve jobs' future because of his health? what's your view? >> the only real surprise is that it happened tonight, really. he's been sick for a long time. he has not looked well, obviously, in appearances recently. everybody he's had a liver transplant, a tumor on his pancreas. so his health, one assumes has been deteriorating, and there is a certain kind of sad inevidentability to this moment. >> obviously apple's become this

extraordinary global business. one of the biggest market caps of any american companies in history. what impact will steve jobs standing down as the chief executive officer have on the company, do you think, if any? >> well, steve jobs is one of the great innovators in the history of modern capitalism. he's also one of the genius marketers. with ways of getting people to get interested in and buying products, that nobody -- we haven't seen in a long time. apple is going to miss that, without question. and the real question going forward is, they've probably got a pipeline of a couple of years, maybe three years worth of product ideas, product innovations, what will they have after that. will tim cook, the new ceo, who really is an operational guy, will he be able to come up with a product that's as out-of-the box as the iphone was when it

first came, or the ipad when it first came out. and we don't know the answer to that. i think most people would be a little bit dubious. but, you know, apple has a strong bent, and i think they deserve the benefit of the doubt at this particular moment. >> steve jobs made a request in his resignation letter, that he would become chairman of the company, and that has now happened. what do you see his role as being now? what's the difference for a company like apple between the ceo and the chairman, if you're someone as hands-on as steve jobs? >> that is the whole key of steve jobs. on the one happened he's the micromanager from hell, but on the other hand his micromanagement has been so involved for so long. he's involved in the look and feel of the products. clearly he's saying in this letter, i can't do that anymore. i'm not strong enough. i just don't have the -- i can't make that kind of effort anymore, because of my health. i think apple will miss that.

i believe that his almost dictatorial qualities are one of the things that made apple such a great company. and although i'm sure he has people who are just as obsessive as he is working there, part of his genius is that his intuition has been so phenomenal over the years. you know, do it this way, not this way. and he's almost always been right. at least since he came back to the company a decade or more ago. whether his successors have that same instinct is highly unlikely, just because it's part of what makes steve jobs really a business genius. >> in many ways, he's become the most valuable ceo in the history of business. it couldn't really come at a worse time for the american economy, in the sense that here's the standard bearer of what america really should be doing, producing great product to sell to the rest of the world, and domestically, and now at the peak of america's financial problems, the top guy

has to step down. what kind of impact do you think it will have on the markets, on the global economy? you know, what kind of importance will they put to this? >> less than you'd think, piers. look, tomorrow is going to be a rough day in the market for apple stock, without question. but apple is going to be fine, at least in the short term. and it's going to continue to make these products, it's going to continue to grow and expand. it's not like he's disappearing and it's not like the company is going to stop doing well in the short term. you know, hopefully, hopefully in the long term, the u.s. economy will recover and apple will continue to innovate. you know, you can't really think beyond that, because there's so many unknowns, both about the american economy and about the capabilities, the innovative capabilities of the people who work for steve jobs. >> joe, you know him personally. you've spoken to him privately about his health. what's he always said to you

about the condition he's been in? >> well, first of all, steve jobs and i do not have what one would call a friendly relationship. he's mostly been mad at me for the stuff i've written about his health. so let's just be clear about that. secondly, you know, he's a very -- despite being one of the most public figures in the country, he is a man who values his privacy a great deal. and he has told as few people as possible, as little as possible about his health. one of the reasons it was an issue between him and i is because i was writing columns basically saying apple had a requirement that it should under the law disclose more about his health to the shareholders. he disagreed with that. one of the reasons he called to yell at me in private is because he wanted to tell me he thought i was full of baloney. he has basically confirmed to people who know him well, the sort of outlines, the liver transplant and the ongoing

battle with the cancer, with the side effects of the operation to treat his pancreatic condition. and i think they have continued to take a toll on him. he has good days, he has bad days. you know, he has -- you know, when you or i catch a cold, it's not a big deal. when steve jobs catches a cold, it's a huge deal. i think it's just been a gradual deterioration of his health all along. so finally he's gotten to the point where i just don't think he feels like he's up to the effort that's required to run apple the way he's always run it. >> for someone like steve jobs who is so personally linked to this company, who helped build it from nothing, to give up the reins as he's doing, would you imagine that his health has deteriorated pretty significantly? >> i hate to speculate like that. i certainly -- apple is his life. even in the years when he was kind of in exile, he thought

obsessively about apple in the -- during that period when he was not at the company. he cares about it almost as much as he cares about his wife and children. so this has to be a hard day for him. and i think the appropriate way to think about this is to wish him luck and wish him well, and hope that as board chairman he can still have -- he will still have some time to have influence over the company. >> i completely second all that, as a big apple consumer myself. >> aren't we all. >> he's a genius and he's done an incredible job for his company. also for the american economy. we wish him the very best. joe, thank you very much. >> thank you for having me, piers, i appreciate it. >> let me bring in the assistant manag manager. >> i think this took everyone by surprise. tim cook has been the

behind-the-scenes guy at apple for years now, and in the past few years he's really been elevated. he's taken on a much more serious role. but he is a very, very -- you know, he has had steve jobs' ear, he's really been running the show behind the scenes for quite some time now. he is -- it's funny, tim cook is sort of an operations guy. he was a lifer at companies like come pack and ibm before he came to apple. he really came to apple to manage inventory, make the trains run on time, and then he just really proved himself, and obviously took on much, much more responsibility. but there's nobody that knows this company better than steve jobs than tim cook. >> having said that, it's massive shoes to fill, now that he's got the ceo job. and part of steve jobs' brilliance was his personal marketeer for the whole company. and as an innovator. from what you're saying, it's not really the kind of thing

that his successor is really that skilled at. will he have to learn that kind of ability, do you think, to go to these conferences once a year and excite the world the way steve jobs does? >> i don't think you can learn steve jobs. he is the closest thing the business world has to a super here rove. i don't think anybody would deny that. in terms of the marketing flair, i don't think tim cook needs to have that, to steer the company in the right direction. i think with apple, it's about the products. and that's where the question of, you know, innovation, can he replace steve jobs in terms of innovation. the management structure at apple is actually pretty simple. there's a lot of people that report directly to steve jobs. there isn't a whole lot of dotted lines and mishmash. it's pretty direct there. it's also famously brutal. so the people that are there at the company are there for a reason. so i think that, you know, we can expect more great things from apple. but there's no question that

apple is steve jobs. and this company is about to change. >> pretty dramatically i would imagine. tim cook presumably will have a salary slightly higher than steve jobs' $1 a year, what he took for the last decade. >> that's true. but apple can afford it. don't forget, this is a company that recently surpassed exxon mobil not long ago. i don't think the salary will be a question. i think the biggest question by far is the innovation question. you know, don't forget that the story with steve jobs, you know, apple was almost on its last legs when steve jobs returned to take the helm. people forget just how bad apple was doing at that time. and steve jobs came back, and not only brought the company back, but really has truly transformed five or six entire industries. if you think about it. computers, obviously, phones, movies, music. i mean, these industries have been literally head-to-toe transformed because of what apple's done. if you think about, this is a

company that has 50,000 employees, and still is growing at 60% a year, it's just amazing what he's done. it's a very, very, very hard act to follow. but tim cook has long been understood by the market, by the company, as the guy to take over. i think as we've all known, you know, this was going to happen at some point, given the issues that have been, you know, given his health issues. >> would you say that steve jobs could lay claim to being the greatest businessman america's ever produced? >> i think that's possible. i think he's been called that by jack welch and other ceos who previously had that title. i think that that would not be an overstatement. >> seeing after-hours trading, 5% down and falling pretty rapidly, would you expect tomorrow, when there are bigger volumes at stake, that this will continue as a pattern? there will be kickback.

>> i think earlier this winter he came and said he was taking medical leave, the stock took an instant hit. and also, let's not forget how volatile the stock has been lately. the market in general has been lately. we expect a reaction. but that said, again, i think that the market is prepared -- the market has gotten to know tim cook, gotten comfortable with tim cook, by that i mean, investors. this is not entirely a huge surprise. i mean, i think the timing of it is a surprise. but there's never been a question as to who is going to succeed steve jobs when he ultimately stands aside, which we've known is a very likely scenario, just because of his health concerns. >> also, tim cook has been there since the turn of the century. and stock has risen 70% since he's been there. i would imagine in eternity, they'll be packing a lot less. >> absolutely. >> thank you very much. >> thank you. >> spellman is in the bahamas.

chad myer watching the sorms in the center. pretty rough there now. what is the latest? >> reporter: yeah, piers, the wind has really been picking up over the last couple of hours. now it's been met by rain. it's just been coming in in bands here off the caribbean. everybody is doing the best to be prepared. they know this storm is going to be big, powerful, and they're getting prepared as best they can, piers. >> chad, obviously the bigger concern outside of the bahamas is where this goes next. what intelligence do we have right now on the direction of irene? >> waiting for that right-hand turn that we always forecast. and if it doesn't turn to the right in time, could even make a little bit of run at florida, or even for that matter the carolinas. the problem is going to be when it goes past north carolina and makes a run at the northeast. this could literally make a run into long island, maybe even toward boston. can you imagine 85-mile-per-hour storm in boston?

or on long island? or a little bit of a turn to the left and this goes all the way into new york city. 85 miles per hour in the city of new york, that would be an ugly, ugly weekend. piers? >> and chad, obviously i'm not a native of these parts, so how unusual is it that the east coast would be threatened with a hurricane of this magnitude? >> we get one about every three years. we've been in a drought, honestly. people are probably not ready for this because it's been such a hurricane drought over the past five years. the biggest hurricanes we've had have all been in the gulf of mexico. katrina and rita and ike. but this, this could be a category 2 hurricane, 100 miles per hour right over, i'd say providence, rhode island. that's the potential. that's the mit dl. the last time that happened was 1991 with bob. >> wow. when you're in the eye of these things, as you are right now, what is the best advice do you think for people who live in a place that's been hit by a hurricane? what should they really be

doing? >> well, you know, as chad mentioned, when there's a hurricane drought, i think people become complacent and ignore what people say. the main thing you can do is get the heck away from it. that's what the tourists here in the bahamas have done. the cruise ships pulled out overnight, the airport closed a few hours ago, tourists got out of here. that's the best thing you can do now. this island, the new providence, is only about 20 miles long. there's nowhere to go to outrun the storm. so the people here are battening down the hatches, they get plywood and food and water in and ride it out. but i would highly recommend anyone to listen to what the authorities say, don't try to ride it out if you have any kind of option. >> the bahamas is a beautiful place. our thoughts are with the people there, and hope it goes okay for them. thanks to you and chad. when we come back, right to libya and the latest from dan rivers in tripoli. hey can i play with the toys ?

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the $2.5 million bounty on the head of moammar gadhafi tonight, the clock ticking to the end of his regime. dan rivers is there in tripoli and joins me now. dan, what is the latest? tell me about this bounty. >> reporter: this has been confirmed to me that they are offering 1.7 million denars, that number symbolic. this revolution started on the 17th of february, and they are offering this money to try and encourage someone to give up colonel gadhafi. they're also offering an amnesty for anyone who will turn him in, who are currently loyal to him. we've come in from the mountains today, into tripoli, where these rebels surged a few days ago from in town. we drove in through the west of

the coastal area here, through zawiya to tripoli. we were ushered into a briefing with the rebels where they acknowledged that large parts of the southern side of tripoli remain very dangerous and very volatile. anything south of the ring roads here is extremely dangerous. they say there are pockets of resistance and snipers loyal to gadhafi there which are really causing them problems. there's a slight change in the picture that we've been led to believe that they control 80% or 90% of the city. i think that's a little overly optimistic at the moment. certainly where we are now, just near the port here now, you can hear a lot of celebratory gunfire. this area seems to be fairly secure as the rebels are now driving around, loosing off magazines to celebrate what they think is an inevitable victory. >> obviously there's a huge bounty, never mind financial, just on being a rebel that could

get gadhafi personally. is there a huge kind of manhunt going on? how would you describe the atmosphere to find him? >> reporter: oh, yeah, absolutely. febrile i guess is the best word. when we were in this briefing, a bunch of these rebels all ran out and jumped into their trucks claiming they were going off on a secret mission to capture a senior person who may or may not have been gadhafi, they thought. turns out it wasn't. but it's fairly -- it feels fairly chaotic the way they are behaving, the rebels, from what i've seen. there's a lot of kind of running around in these pickup trucks, some of which have antiaircraft guns mounted on them. you know, break-neck speed. we've seen a lot of these cars sort of doing doughnuts down in green square, or martyr square as they're calling it now behind me. you know, in celebration. they don't give the impression of being particularly disciplined. and obviously the big question

is, where is gadhafi, is he still in tripoli. rumors that he might be south near the airport where one of my colleagues, arwa damon, is still holed up amid that intense fighting. but frankly, no one really knows at the moment. >> now, that is the big question. dan rivers, thank you very much indeed. as the battle rages in tripoli, forces are preparing for post-gadhafi libya. a member of the family who has been in close touch with the rebels. joins me exclusively now. prince, thank you very much for joining me. i spoke to your brother yesterday. obviously a very jubilant time for you, for your family, and indeed for libya. what is your reaction to what you're seeing? >> hello, piers. nice for you having me again on your show. i'm proud of the people of libya fighting to bring back democracy and establish freedom in libya. of course, this is great times

for the people of libya, especially for our family, and the legacy that we have seen in libya. i would love very much to join the libyan people. i would like to take the advantage to tell them with the finish of ramadan, now is the time to put all our rivalries aside and be united under one flag, under one constitution and build the institutions again, the civil society. >> you and your family were kicked out of libya in the late '60s, and you've had to watch colonel gadhafi run his reign of terror ever since. now that he's gone, can you see a situation where you would return to be part of the government going forward? >> look, piers, we have not been outside the country, we've been working from day one in opposition.

against colonel gadhafi. i've been in a position on my life. my cousin is part of the government. it's been 31 years part of the transitional government. of course, we would like to work with any government that comes, that puts the government back together, on the world map as a civilized country. so our road is not important, what role we play. it's important that we continue our work, what we are doing now. we're working with the named -- the people who are injured, we're working with the humanitarian. we would like to soon help the companies who would like to go back and do the construction, who would like to see the people be -- the libyan people who are very well educated, professors, all of us go back, and what our role can be is not important. whatever role is available. >> finally, prince, most of us

were watching the extraordinary scenes at gadhafi's compound yesterday. because when a man loses his home, his compound like that, we all kind of know it's all over. for you, it must have been such a symbolic thing to watch. what was your personal human reaction to those scenes? >> well, my reaction is, the tyrant, he's gone. libya is coming back as a country. i have been watching, waiting for this -- for this event to happen for 41 years. although i was young. but i still remember that i always dreamt of going back, and see i seeing gadhafi out of libya. and i always hoped that i will see libya without a gadhafi. and that's what i saw. when i saw the compound, that's it. i said, the symbol of power, the

symbol of gadhafi is gone. and it became history. that's what i've seen. >> wonderful moment for you, and for libyan people. thank you very much for joining me. when we come back, sara sidner, and what it's like to report in the middle of libya's chaos. good year at chevy. they gave us a consumers digest best buy award. then they gave us an iihs top safety pick and you... well, you gave us your approval. so we thought, why not give a little back. the chevy model year wrap up. get in on our greatest model year yet. and now, very-well qualified lessees can get a low mileage lease on a chevy cruze ls for around $169 a month. our greatest model year yet is wrapping up. whether it can be done safely and responsibly. at exxonmobil we know the answer is yes. when we design any well,

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>> sara sidner has been in the thick of the battles in tripoli. she joins me now. sara, great to see you again. on the show last night, pretty frantic scenes. you expressed a concern at one stage about what your family might be thinking. have you had a chance to talk to your mother yet? >> yes, i did. thanks for asking, piers. i did give her a call, because we're having difficult times trying to communicate, even with cnn, it's been very, very hard. our phones drop constantly, even though they're satellite phones. every time nato flies over, we lose all communication. but i did get ahold of mom, and first she said great job. then she said, what the heck are

you doing. not exactly like that. but close. you know how family is. they see you in these situations and they're wondering, why would you go there? what are you doing? why are you in the middle of that? can't you find somewhere safer to be? but you know this, as a journalist yourself, you know it's important for us to be able to see and hear and tell the story from the perspective, and be there in the middle of it, so we know what's going on. and it's not something you're getting in a tweet or someone saying to you on the telephone, to be able to see it yourself is really important. and we try to report that as factually as possible, piers. >> what do you feel, sara, it seems particularly out of control there. what goes through your mind? >> i think -- and maybe we have a false sense of security -- but mostly what's going through your mind is paying attention to what's going on around you so you can actually report the story in a calm enough manner so that the person on the other end

doesn't feel like it's so out of control, and that you're out of control, that's sometimes a bit hard to do when there's such loud bangs. i woke up this morning and had an ear rake on my right side, because right next to me someone had pulled a trigger. sometimes you just get yourself in these situations, and you think, you know, i probably should have stood back a little bit from it. but you're trying to get this perspective. and i think, you know, sometimes you feel a little nervous. you feel a little hesitant. and then you think, you know what, i have to go for it. i have to know what's going on. >> i'm very relieved it's you there and not me, i can be perfectly honest. i couldn't do what you do. on behalf of us here, we massively appreciate the courage you've shown. what is your take on exactly where we are now? obviously it appears the rebels are pretty much completely in control now, is that right?

>> they're pretty much in control. this is one of those stories that keeps changing, but just a little bit. let's give it -- the rebels have their hold on this city. they're the ones that are on the streets with checkpoints. they're the ones that are, you know, in the square, and in the gadhafi compound, but there are still fire fights that have been going on near the airport. clearly the gadhafi forces are not completely gone. they're not completely stopped from trying to attack these opposition fighters. and so what you're seeing in the city is a sense that everybody is celebrating, and we're hearing now that celebratory gunfire. we know that's celebratory because it's coming from what is now being called as martyr square. so what you generally get the sense is that they do mostly have control of the city. but that there are still pockets in the city that just aren't safe to travel into. i want to mention one more thing. we got some very disturbing

news, four journalists had been kidnapped on the way to zawaya, where we've been staying. we went back and forth for our season safety because we weren't sure exactly where was safe, especially with our colleagues in the rixos hotel. they were held captive there, and thank god they've gotten out. but the situation can change so rapidly. and that's what is a bit disturbing. we even went down to the gadhafi compound today. we were told everything is safe, all is well. we got there and there was gunfire coming at us. we saw mortar rounds falling near us. and so, you know, it's hard to gauge exactly how much of the city they have control of. but it does seem that for the most part, the rebels have it. >> obviously huge optimism from the rebels. do you as a dispassionate journalist share the optimism about what will happen next? >> look, you cannot help but be

stirred when you're in a situation where there is so much excitement. there's glee. there is just an outpouring of happiness. a sense that people feel like they can let their shoulders down, and that they can say what they want to say, that they can express themselves, whether or not they liked the gadhafi regime or whether or not they did not like the gadhafi regime, that they're able to freely speak. so you do get some of that energy, you might say, from the people who you are covering. but what's going forward is a very difficult process, i think, that's going to have to happen. the national transitional council has sort of put itself in a position of a political opposition. there was a scene where they had a young man with his arms bound behind him. they were marching him out of that compound. we all thought, oh, my gosh, this is someone who they've captured from the gadhafi

regime. i saw a couple of people leveling guns straight at him. and i thought for just a second, my god, this man is going to get shot before my eyes and he's unarmed. and eventually he talked them down. it turned out he was just a civilian who had gone in like a bunch of other people because he was absolutely curious. he had never been able to go into this massive compound. so these are the things that i think need to be watched. and also, i'm very concerned also about those people who did support the gadhafi regime. those people who were supportive and thought that they enjoyed whatever his rule did. there are people like that. there are people who did support the regime in this city and in other cities. and how it is that they will be let into this discussion on how this country can move forward. i think the national transitional council has that in mind. they need to listen to many voices. you hope going forward that

those people aren't targets of violence or even possibly, you know, death. people are very angry with the regime. and you see that in their faces when they suspect someone is a supporter of gadhafi. >> sara sidner, i thank you very much very much. how you should prepare for hurricane irene. met an old man at the top asked him if he had a secret and the old man stopped and thought and said: free 'cause that's how it ought to be my brother credit 'cause you'll need a loan for one thing or another score 'cause they break it down to one simple number that you can use dot to take a break because the name is kinda long com in honor of the internet that it's on put it all together at the end of the song it gives you freecreditscore-dot-com, and i'm gone... offer applies with enrollment in freecreditscore.com

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my next guest has been in contact on the growing threat for hurricane irene. the time to prepare for this monster storm is right now. mr. fugate, you seem to be concerned about what may about to happen. >> obviously, a pretty good size hurricane out there, a category 3. again, this is a threat from the carolinas all the way up through the new england states. an area that hasn't seen a lot of hurricanes. we're trying to get people to pay attention and get ready now. >> where exactly is irene right now? and where are you fearing it may be heading? >> right now, still in the bahamas, strengthening, it looks like it will begin impacting the outer banks of north carolina probably as early as friday. so again, it's really important that people heed any protective

actions, evacuation orders. this is a storm that's going to stay close to, or along the east coast, all the way up through new england from the last forecast from the hurricane center. people need to be ready to act if required. >> the storm is getting stronger, is that right? >> yeah, it was a category 1 last night. it became a category 2, now category 3. possibly even a category 4 wind speeds. the other thing is, it's growing in size. a lot of people focus on the wind speeds, but they also need to remember this is becoming a much larger storm in the area. it's going to be much greater than they may be believing, looking at that center point. >> if you're in the area that may be affected here, what is the best advice right now for people who may get hit by this hurricane? >> find out if you live along the coast, are you in an evacuation zone, and if you are, plan to evacuate if local officials call for that. otherwise, make sure you've got a plan, you've checked your

supplies and monitor the storm. and if you haven't taken those basic steps, visit ready.gov or go to m.fema.gov on your mobile phone and get your plan now and get your supplies while it is still early. you don't want to wait until the last minute. >> there seems to have been an extraordinary number of natural hazards, disasters, snowstorms, hurricanes and so on this year. is it out of kilter with normal years? i mean, what is your expert view of what's going on with the weather? >> i'm from florida, i got hit with four hurricanes in 2004. so i'm still waiting for what a normal year looks like. >> obviously it's pretty expensive, though. i read there have been $9 billion disasters this year alone, related to weather. can america afford to have many more of this kind of thing this year? >> well, again, our commitment to our citizens is this is a shared responsibility. they do their part to get prepared, and help their neighbors, and the federal

government, and we'll do our part on behalf of the president to support them and their communities when disaster strikes. >> craig, as always, thank you very much. >> thank you. coming up, the democrats are standing in the way of job creation in this country? ♪ p-l♪ is it true that name your own price.... >>...got even easier? affirmative. we'll show you other people's winning hotel bids. >>so i'll know how much to bid... ...and save up to 60% >>i'm in i know see winning hotel bids now at priceline.

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hampshire, turned down as secretary of commerce, he said thanks, but no thanks to the president of the united states. there's clearly not a man afraid to speak his mind. let me ask you first of all for your reaction to what's happening in libya. >> obviously it's positive to have libya finally have the potential of a free government. and the people of libya deserve that. and hopefully they can proceed with an orderly -- on an orderly path to democracy. it's just a positive thing to have occur for the world. >> obviously there are several schools of thought here about a post-gadhafi libya. one is that these kinds of dictators keep a lid on what's trouble in their countries as well as causing it, of course, and there is a danger without them controlling the worst elements of society in this country, things could suddenly explode. are you concerned about that? >> i think we have to be in any arab country.

obviously the most cohesive groums are the most radical groups. you have to be concerned that they take control, and that they establish instead of a dictatorship, some sort of theocracy like we've gotten in iran. >>maker has played a fairly low-key role so far. but in the, not necessarily rebuilding, in afghanistan here, but certainly in terms of positioning libya going forward to a way that suits america's interests, should america now be getting more involved than it has been? >> absolutely, there's no question about that. i think the primary role has to be the european countries. and the responsibility arab nations. but we need to be very supportive. there's going to be a peered here where the transition is going to be very difficult for the libyan people. they're going to need resources, number one, quickly. they will have resources over the long run of an exceptional nature of the oil reserves. in the short term they're going to need resources to avoid the

chaos that comes from a lack of orderly society and the infrastructure to deliver, for example, food and water. to the extent we could be helpful in those areas, we should be. but where these weapons are going that have been stockpiled, talking about a threat here, having thousands of surface-to-air missiles in the hands to do harm is something we really need to worry about. hopefully there's a lot of clandestine things happening to make sure we account for those weapons. >> let's turn to america and its economy in particular. you're a bit of an expert in this area. it's been a hell of a mess, hasn't it? what's your take on it all? >> well, we're facing up to a period of chaos that is brought on by ourselves. we're the ones who spent a lot more than we can afford to spend. we have a demographic shift in this country. we'll double the number of retirees over the next five to seven years. we have an entitlement society,

and those retirees have rights to certain benefits and we don't have the capacity to pay for them. as a government, the federal government's got to come to terms with the fact it's running up debts it cannot afford to pay. if we don't do something about it, we're going to pass on to our kids a country that's bankrupt and their standard of living will be significantly less. >> wouldn't it be in america's interest to have somebody like you rather than turning down the job of the commerce editor, to have this fight with the president on the inside of the tent? >> that's very kind of you to say. at the time, i was attracted, and i was optimistic, and many americans were, but it became fairly obvious to me fairly quickly that the number one job of a member of the cabinet is to be 100% with the president 100% of the time, and i waste going to be able to do that. it wasn't fair to him. i take responsibility for it. it was my fault. but i would not have been a good cabinet member because i do disagree with fundamentally the direction the president has taken this country on the fiscal

policy over the last couple of years. >> the republican party, and the issue there, obviously the clock is ticking now. and someone's going to have to take on the president next year. rick perry in the latest poll is pretty significantly ahead now of mitt romney and ron paul and michele bachmann. but obviously, early days with these polls. what is your assessment of where the party is now, and moving closer to choosing a nominee? >> i think governor perry is a very strong and viable candidate. but i do think he hasn't been exposed to 9 lights yet, whether he's going to play on a national scene effectively is in issue. as the new product, everybody is attracted to him. but really, this is a very fluid situation. i genuinely believe we as a party will nominate a responsible and strong candidate, and that president obama is going to have a tough reelection for president. >> you endorsed mitt romney last time.

will you be doing that again? >> i haven't decided. i'm listening like most people in new hampshire. you get to listen and see people up close and perm. i like mitt romney. i think he's a very capable and talented guy. >> thank you very much for your time. >> thank you for having me on. we'll be right back. if something is simply the color of gold, is it really worth more? we don't think so. chase sapphire preferred is a card of a different color. unlike others, you get twice the points on travel, and twice the points on dining, and no foreign transaction fees. call now or apply at chasesapphire.com/preferred. [ kate ] can't believe i have high blood pressure. what's that thing? another medication. ♪

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now let's get the latest from the cnn hurricane center. >> piers, it is still a very strong storm although it's going through what's called an eye wall replacement cycle. you can look it up on google if you want. what it means is that we had a small eye wall for awhile today, and then winds were very strong. 120, maybe even 125 miles per hour. then another eye wall tried to develop on the outside of it, making almost concentric circles. when that happens the middle eye wall completely false apart. we lose some steam, so we lose some miles per hour. then you get a stronger hurricane after all that happens. and that's happening right now. that replacement cycle is happening right now. wind are 120. we'll get another update probably in about 45 minutes or so. probably still going to be a category three, though, for tonight. not going to move very much. but by tomorrow certainly going to move up toward nassau. by morning nassau could be experiencing winds to 120, 125 miles per hour. then tomorrow afternoon a