way. >> those are cute. >> log on for the after the show show. please continue to send us what you're over. we'll see you tomorrow morning. >> thanks for being here all year. happy new year. >> happy new year! '. >> the of two victims awifing in indonesia sp -- arriving in knees. heather: crews have recovered seven bodies from the sea. the stormy weather is putting the search on hold. large seas are causing the debris to move away from the crash site. >> it's the worst feeling one

can have. >> what's the latest on the search today? >> reporter: we are seeing bad weather is hampering search efforts. we are looking for that plane ayre. ayre. one body including a female flight attendant and 4-year-old boy. a man found in a life jacket leaving some to speculate those on board new they were in trouble. sonar devices detected the fuselage of the plane on the java sea booed floor intact.

this is not confirmed. again american navy destroyer at the scene has also picked up debris and there is reports there will be more u.s. assets coming. trace: what do we expect the next couple days? >> reporter:>> reporter: the weather is hampering air activity and diving activities. the bodies are being transferred to a police hospital. very hard to all the grieving families that got to be identified. also the wreckage recovery will continue. still not found the black boxes the air traffic voice recorder to help determine what brought this plane down.

heather: five more guantanamo bay detainees are out of the facility. they were transferred to kazakhstan after being held for a dozen years wowfts being charkd. their release brings the population down to 127 as president obama pushes to shut down the center despite opposition in congress. >> reporter: we know this has been a big issue for the president. the order to close gitmo the first thing he did after taking office in 2009. all five of them will be resettled in kazakhstan. but these kinds of releases can touch off bipartisan concerns in congress large think because of the resit vism rate we have seen

in the past. >> we are facing a 30% of reentry or suspected reentry rate who have gone back to the battle in afghanistan. >> reporter: there have been a number of reports of internal tension at the white house to shutter gitmo. the pointman says he's leaving but the state department says his departure had nothing to do with internal disagreements. >> there are reports that he's frustrated because -- with the progress of closing it and nothing could be further from the truth. but you can see with the transfer detain yeets out there and more to come. >> reporter: with 127

detainees still in gitmo we have a long way to go. trace: the keystone pipeline is at the top of the to-do list. incoming senate majority leader mitch mcconnell has promised to make the pipeline his first order of business. katie, great to see you. it appears to me just getting keystone back on the table is a sign mitch mcconnell intend to live up to his promises. >> after the senate was turned over to the republicans mitch mcconnell made a lot of promises and he said he would put keystone back on the floor of the senate.

he has nine new republican seats and all the democrats who voted against keystone will be converted into yes votes for that bill. mitch mcconnell is going to keep those democrats like to joe manchin and mark warner of virginia who voted for it in the first place. trace: if it gets to mountain -- if it gets to president obama's desk does he get out the pen and veto the bill? >> it will be difficult to override the veto. the president hasn't issued a full-out veto threat and he hasn't been shy about issuing veto threats on issues he doesn't agree with. he is ignoring the state

department in the sense they said it's a clean way to get energy down from canada to the united states. i don't think it will be necessary at this time. trace: do you get the feeling that urgency to get this keystone thing on the front burner has been lessened? >> no, i don't think so. it's been frustrating for people who are unemployed to be waiting to work on the pipeline. i think it's good that mitch mcconnell is putting it back on the table. he says he wants to bring democrats to the table and pass things democrats and republicans can agree on. and he will make good on his

promise if he can get the 60 votes to overcome the veto come january. there are a lot of vote horse wanted republicans to get into office to get things done. i think mitch mcconnell is proving their votes counted and they will dooring they can to get the things that were stalled in the senate back on the table and back and moving. heather: a closer look at the cost of obamacare. more people getting help to pay for the cost of obamacare. trace: it's being called the city's worst mass murder. it left people dead. heather: the mayor of new york city trying to close a deep divide with his police force.

what they accomplished or maybe didn't thinned closed doors. >> our main concern is the safety of our police officers of every ranks on the streets of the city and the safety of the citizens we proudly serve on each and every street.

trace: we are learning more about a mass murder canada.

police say the young man killed 6 adults and 1 child before take his own life. >> there were seven deceased individuals within the residence. trace: police say the suspect has a lengthy criminal record dating back to the 1980s. heather: it turns out most people who get obamacare receive government help. 87% receive subsidies. brad i want to talk to you about the cost of this. who pays, at what cost is this coming?

>> we pay. if you go back to the enactment of social security there was seven workers paying into the system. we don't have anything close to that kind of young people, healthy people paying into the system to reduce the cost. the people signing up need government help. whose going to pay for it? those people to were supposed to get a premium benefit to obamacare has seen our costs go up. mine $240 a quarter. obamacare is neither affordable nor is it practical for those people who have had insurance nor is it practical for those people who don't especially young people because they are not signing up. >> the latest numbers are coming in at 30%. if you look at the last enrollment period they projected they needed 40%.

>> the problem with the numbers you are citing. let me read what the report says. it is 6.5 million signups in one month. far less than the actual tally. it's also a third of the signup period. and it only included signups up to december 15. two of the biggest states california and new york only reported new signups. this statistically means nothing. the numbers being dplietd -- being cited in the report aren't telling the story and the biggest states aren't reporting. it's been reported that the rate of economic inflation medical inflation and rate of spending is the lowest ever since the affordable care stack the went into effect.

this has been good economically and signed up miments of people up until now. heather: is this a sign obamacare is work and will work? >> we are not stupid. the math doesn't work. we don't have enough young healthy people to pay into the system and make government back off and make it affordable to everybody. if it's anything below that it's not sustainable. why are people signing up? because they get a benefit for signing up because the government will help them. what about the 30 million people who don't have insurance? this is the biggest boondog until history of our country. >> that's why we should have universal healthcare in this country the way they do in other civilized countries. what you are ignoring is prior

tort affordable air -- prior to the affordable care act people would get their first line of healthcare in knowledge rooms. this reduces the amount of money people were paying for people who didn't have insurance before the affordable healthcare act. heat rrl jonathan gruber said in 2009 this is a quote from a speech every made at the time. you can't mandate insurance that's not affordable. >> those people who hate jonathan gruber for what he said tell us how wrong he was. what i cited earlier shows we have the lowest rate of medical inflation ever and the lowest level of spend on medicine in this country ever. so gruber was wrong on that

statement in 2009. heather: the numbers you just cited ... >> we had the lowest rate of medical care. >> assuming that is even so, what about the cost for the individual alan? >> that's what i'm referring to. >> i'm paying $240 more a quarter. why is that? >> you anecdotal not statistical. i keep hearing people put count affordable care act on your side. >> the more people who have opportunity to shop around for insurance, we should be expanding insurance to all 50 states. we should be getting groups

together to buy individual businesses to group together. we don't do that. we punish people by saying you have only got five choices in the state and you don't get to bundle your insurance. >> the only problem is in those red states they have fewer choices. but most choices occurred in the blue states. >> obamacare mandates standard nationally the states have to follow. >> they are note sure it's crossing party lines, republican versus democrat. when you look at poll after poll. every one polled says they think this needs to be tree peeled. 78% of people across party lines. >> and they wants a more progressive plan with greater coverage. heather: then we know what's

tonight before we pass it. >> she said that because so many people were adding to it. that's what pelosi meant. lappie new year. trace: a deadly flu claim can the lives of more children. why this could be the worst flu season in years. heather: new york city mayor bill deblasio. >> actions speak louder than word and time will tell.

heather: police in a philadelphia suburb shoot and kill a suspect they say tried to

run them down. officers trer trying to arrest the man who was wanted for making online threats against police and the fbi. police say officers feared for their lives and did what they had to do. >> five officers fired. there were numerous weapons fired. what their position was i don't know. they were following him. i heard them say -- i didn't know what it was but they wanted help. heather: the superintendent says five officers fired their guns killing the suspect. none of them was injured. an investigation is underway. trace: bill deblasio was attending a closed door meeting

with the police union head yesterday. but it apparently didn't do much to ease the tensions between the mayor and the police. >> it was described as blunt but not impolite conversation between the mayor and five police unions. no resolutions came out of the talks but one person says the lengths of the talks was at least a sign the two side can communicate as professionals. the nypd has been brewing with anger after months of criticism. >> there were a number of discussions especially about the safety issues our members face.

there was no resolve and our thought here today is actions speak louder than word, and time will tell. >> we had no comment from the mayor after the meeting but his press secretary said the talks focused on building a productive dialogue. trace: officers turned their backs on deblasio during rafael ramos' funeral. >> reporter: last night according to reports he insisted the recent nypd protests had nothing to do with these murders. deblasio admitted in the meeting he had to quote turn them back around refer together officers who turned their backs on his speech last weekend.

one police union leader sent a memo to his members urging them not to turn their backs on deblasio during the ceremony but instead respond with cold silence. heather: crews from around the world work to find the wreckage of airasia flight 8501. plus this. trace: stocks hitting all-time highs in 2014. will we see more green arrows in 2015? huh, fifteen minutes could save you fifteen percent or more on car insurance. yeah, everybody knows that.

well, did you know that playing cards with kenny rogers gets old pretty fast? ♪ you got to know when to hold'em. ♪ ♪ know when to fold 'em. ♪ ♪ know when to walk away. ♪ ♪ know when to run. ♪ ♪ you never count your money, ♪ ♪ when you're sitting at the ta...♪ what? you get it? i get the gist yeah. geico. fifteen minutes could save you fifteen percent or more on car insurance.

trace: a massive recovery effort in the java sea after crews locate airasia flight 8501. ships are still searching. officials ordered the recovery effort after crews found several bodies and chunks of debris. >> i asked to do a massive search to look for the plane and passengers as well as the crew. i told them to focus on evacuating passengers and crew. trace: what i find crazy in this whole thing is we know when flight 8501 asked to go up in altitude he was turned down. i haven't heard a single word from of any those pilots how the weather was. i find that strange. >> hopefully that hpped already

to ask for what was going none the airplane not too far away from this aircraft. trace: you would think some news agency would figure out the flight numbers, how bad was it up there? the pilots would say it was scary. >> we are starting to know from the radar track there was an increase in altitude short reply before it dropped. trace: the sonar has a good field of wreckage. there are some reports the plane is -- at least a large chunk of this plane is intact which is hard to believe. >> it would be hard to believe given the angle of the descent of this aircraft.

only six miles down field we have the aircraft pieces being deployed and the bodies being found. that's a very steep angle of attack. again the autopsy will be performed on the bodies and that's a key did they die on impact did something happen before impact? the black boxes, they are the key to this situation. >> that's one of the first things they want to do is get the black boxes so they know where to focus on the recovery effort of the aircraft once they finds that. the other part we learned this morning is the bodies that have been found were clothed. that would tell us it hit the ground in the fuselage. when they are ejected at altitude clothing gets blown off very quickly. trace: when you talk about the

voice recorder, it picks under the ambient sowrnld as well. -- ambient sound as well. they will listen for the stall warning. the stall warning would go off and that would give you an idea. these devices are going to lead the investigation. you hopefully put this together and you will get some finality. >> there will be warnings going off in the background. every one of them has a distinctive sound. even if there is a stall there will be always recovery to a stall. we need to know the ground track and the more zorntal have lossity of the aircraft. >> -- and -- and the horizontal

velocity of the aircraft. you try to recover from a stall if that's what occurred. but we have severe downdrafts and updrafts in a storm. this airplane could have been tossed like a raindrop out of the bottom that storm. trace: people sayies it so urgent? we have 3,000 a-320s flying around this world every day always flying into bad weather. if it's snoght airplane we need to find out fast. >> those things are going into service right it doesn't looks like the aircraft may be to blame. trace: we keep going back to the air france crash. it was jammed with ice so the

pilots had no idea how fast they were going. >> in aviation there is no such thing as good enough. everything has to be perfect. you can't have one accident every 20 years. that's one thing about aviation, it's so safe. but we make it safer every time something bad happens we try to learn from it and stop it. trace: it's never one thing. it's always a series of things. >> we call it the chain of the accident. heather: coming up next, a deadly flu outbreak spreading across the country. cases reported in 36 states. why this vaccine may not be helping and what you can do to stay healthy.

trace: after the war of words with north korea some experts say the was an inside job. >> it's possible assets outside of the dprk might have been involved but that doesn't change their responsibility.

há trace: critics are calling for steve scalise to resign after he admitted to speak to a white supremacist group in 2001. john brain boehner says he has my full confidence as our whip and he will continue to do great and important work for all americans. heather: after a record-breaking

year on wall street, what will we see in 2015. let's bring in tom sullivan from the fox business network. if anyone can tell us what's going to happen i'm told that he can. do a little bit of that for us. >> i'm a great believer. in is an old wall street addage you never fight the fed. the fed has been trying to stimulate the economy by keeping the interest rates low. will they raise interest rates? they are implying yes they will in 2015. the question is how soon would it be. yellen said it will probably be

a few more meetings which means wall street will continue its bullish patterns until the fed starts changing interest rates. when will they do that? i would guess no sooner than june or july. >> i'm hearing artificially, implying trying, i am probably. in 2013, the year ended much the same as it is now but then we saw an immediate dropoff in january. is that going to happen? >> it's like climbing a mountain. you go up the mountain, you go up little then you come down. but the higher keeps getting high and the lows are lower than the previous lows. i expect that to last for 3-6 months into 2015 because i don't see the fed changing anything materially. once the fed changes things, that changes wall street. i'm very bullish until the fed changes their position. if you want to be a contrarian,

heather, the place to go is not the u.s. because we squeezing this thing quite a bit. you go to the place where things are slowing down. stocks in europe and asia where they are having economic problems and that would be the place for contrarians to go to get more bang for their buck. heather: what if those places turn around? how would that affect us at home? >> it would help us. it would grow a lot faster if asia especially japan which is having all kinds of problems. in europe spain is in deep financial trouble. if they turn their economies around, we sell for products to them and we benefit from them.

i still go back to the fed is the one to watch in 2015. as soon as they change their signal, i say the market is going to change. heather: you are sitting around with your family trying to plan your budget for 2015, what do you have to say to them. how it affects the family directly. >> the big issuer is jobs. the problem with jobs is statistically the numbers we report show unemployment is down, people are getting more jobs. but you dig through those numbers and get into the depth of it and find out still most of the jobs are going older people, not younger people. younger people are still burdened with loot of college debt slowing down their entry into housing marriage, buying furniture, things like that. so it's one of those where i still don't see any robust

change gradual damage in the job market but the jobs that will be had are the ones that will be lower-paying jobs in 2015. >> thank you so much. we appreciate you joining us. happy new year. trace: i go over my 401k. it feels like going vegas. you have no idea oil prices are up, they are down. gas prices, $2.50 a gallon. heather: you have got two young daughters ahead. you have got top plan for college. philadelphia kids, he said go ahead. trace: president obama speak out on u.s. policy going forward. what he said about the possibility of an american embassy in iran. heather: we know they will be cold out in times square. but another part of the country

could be feeling a deep freeze new year's eve. [ male announcer ] when john huntsman was diagnosed with cancer, he didn't just vow to beat it. i vowed to eradicate it from the earth. so he founded huntsman cancer institute. ♪ ♪ everything about it would be different. ♪ ♪ it would feel different. ♪ ♪ look different. and fight cancer in new and different ways. with the largest genetic database on earth that combines 300 years of family histories with health records to treat, predict and in many cases, prevent, cancer. [ huntsman ] we made it welcoming and warm with a focus on beauty serenity and getting on with life. [ male announcer ] huntsman cancer institute is the only cancer hospital in the

world designed by a patient, with the vital understanding that cancer moves fast. and we have to move faster. to learn more or support the cause, go to huntsmancancer.org. ♪ ♪

trace: mother nature pawght major damper -- mother nature putting a damper on places out west. >> for all the midwest and east coast and people who came toll sunny california. new years will be a surprise. in southern california we have a

shy wind warning in malibu. frost warning in parts of los angeles. a winter storm warning in and bernadineinch in and bernadine oh and snow in san diego county. sin city expects 350,000 tourists to hit the strip for its massive annual fireworks show. but high winds could snuff out the 7-minute spectacle. visitors who packed light are having regrets. >> i thought it would be a little warmer oar i'm used to cold weather but i'm surprised it's really cold here. >> reporter: as for the parade the record low is 32 degree at

8:00 a.m. no rain, just chilly. trace: i heard the wind and snow is a problem out there. >> reporter: waves in manhattan beach. there is a low pressure system in from canada. winds hit 71 miles an hour last night downing trees and lines in l.a. and brought unexpected snow to the mountains east of l.a. 130 people were rescued when their cars blew and slid off the roads in the notice without chains. the good news is for you when you arrive temperatures will be back in the 70s next week. trace: nice. william, thank you. heather: we could be in for a severe flu season with a deadly

strain sliding through the u.s. it began mutating shortly after it was released. 15 children with died from complications of the flu. dr. debbie is here and she is the assistant professor at the nyu school of medicine. we are what, halfway through the flu season, and many people already calling this an epidemic. is that word too strong and what do we need to do? >> it's hard to know exactly. one of the strains that seems to be causing the most problems, we are not protected against that. but we don't know how the vaccine is does against the other strains. it seems more people are being hospitalized compared to the

past couple years. but we don't know how things look yet. you only figure out that data after it's done. there are a couple of things. in terms of vaccine. it's worth getting the vac seen you haven't gotten it. if you are going into battle, if you have armor of course you want armor all over. if you just have it on the to the or bottom, it's better than not having it at all. pretty much everyone should get it except kids between the ages of 0-months. if you are pregnant it's okay to get it. you have other medical problems you want to get it. aside from the people who get flu. my concern is for the future if people get the flu vaccine and get sick, they are getting sick because they are not fully protected, not because the flu shot made them sick.

heather: i got the flu vaccine and asked the doctor is that going to give me the flu, and it's not true. >> the shot does not give you the flu. the shot has a dead virus in it so there is no way you can get sick from it. if you do get sick it's likely you were exposed beforehand. but the forecast being off a little bit. in future years people may have a negative retook the shot. heather: 15 children are tied from this strain of the flu. you can compare to it last year, the entire season, 10 -- 109 children died. i found it interesting they don't keep track of the adults who died from the flu. >> i think it's complicated in adults. who are the people most at risk? with other medical problems. maybe they have asthma or heart

over or lung orchid anyisease. so you -- or space kidney disease. is there any way they can avoid this next year? >> they have been able to control things pretty well with the flu across seen. we are talking about deaths -- the flu has killed hundreds of millions of people. they could take the data from this year and trying to figure out something that could be better for the future. but it's like a weather forecast. you use the best data you have and make your estimate but it's hard to get it right. they have to start usually around january or february to have the vaccine ready for the next year. heather: talk to your doctor.

it's better to have some protection rather than no protection at this point. dr. debbie, thanks so much. happy new year. trace: we are learning more about the victims of the airasia crash as crews search for the rest of the missing plane. heather: we are hours away from the times square new years eve preparations. they wrap up just in time for 2015. (vo) nourished. rescued. protected. given new hope. during the subaru "share the love" event, subaru owners feel it, too. because when you take home a new subaru we donate 250 dollars to helping those in need. we'll have given 50 million dollars over seven years. love. it's what makes a subaru a subaru.

♪

you're here to buy a car. what would help is simply being able to recognize a fair price. that's never really been possible. but along comes a radically new way to buy a car called truecar. now it is. truecar has pricing data on every make and model so all you have to do is search for the car you want there it is. now you're an expert in less than a minute. this is how car buying was always meant to be. this is truecar. ♪

trace: there is breaking news coming out of tokyo japan where it is not quite, almost officially the new year, about 30 maybe 25 seconds away. this is live look in tokyo. we have kind of spread, right? goes, starts in new see lan and go through australia. now tokyo we on the other

hand, are still 14 hours away from our new year but you can they are reveling in tokyo. let's listen in for a second. not exactly a bunch of fireworks, but now it is officially the new year in tokyo. there you see it. and there you hear it. 14 hours away. heather: and now to a fox news alert for you switching gears. police in indonesia confirming this morning autopsies are now being performed on the first two victims of the airasia plane crash, identifying them only as a woman and a young boy. welcome to a brand new hour of "america's newsroom." i'm heather childers in for martha maccallum. trace: i'm trace gallagher in for bill hemmer. so far seven bodies have been recovered from the java sea. it is day three in the search

for flight 8501. authorities believe they located the main fuselage. stormy seas are starting to spread wreckage across the seafloor. let's get to david piper live in bangkok, thailand. david? >> reporter: trace, strong winds and heavy seas are hampering the rescue effort at this time. the divers can not go down under the water because of these heavy seas. in the past 24 hours they recovered seven bodies as you said. the first two bodies arriving at surabaya airbase in full honor guard. where majority on the plane came from. indonesian officials believe sonar pictures show upside down fuselage on the bottom of the sea. the water notice java sea are relatively shallow. once the weather clear divers are likely able to search the ocean floor. ships and planes from many nations are currently involved in the indonesian-led operation.

uss sampson, a destroyer out of san diego is using sonar to pinpoint the main body of the aircraft and debris field. the first debris recovered was found in the sea about 10 miles from the airasia indonesia plane last location, about halfway into its flight from surabaya to singapore sunday morning. the key to find out what happened to the plane will be the recovery of its black boxes. the pilot has radioed in that he was facing bad weather. airasia never has lost a plane before. >> after 13 years of flying millions of people it is the worst feeling one could have. you know, it's a experience i never dreamt of happening and it is probably an airline ceo's worst nightmare. >> reporter: the weather is expected to deteriorate over the next few days. back to you. trace: david piper live for us in bangkok.

david, thank you. >> the last group of survivors from a deadly fire aboard a greek ferry arriving this morning in italy. 38 people who were among 400 rescued after the fire broke out sunday off the coast of albania. at least 11 people were killed but there is confusion over how many people are still missing because of stowaways on board. >> it's very sad. i would not like this experience to happen to any person because it's a very bad feeling to not know where your people you love are. >> can't imagine. authorities in italy warn the death toll could rise significantly after the boat is towed back to port and searched. both italian and greek authorities launched criminal investigations into the cause of the fire. here at home the nypd stepping up security at this hour. they are ought in full force ahead of tonight's big new year's eve celebrations in

times square where more than a million people are expected to flood the streets. julie banderas, she is live for us in times square with the latest. julie, security tonight it will be even tighter than in years past, is that correct? >> reporter: yeah, that is correct. while the rest of the world will have the ice on waterford crystal that drops midnight in times square the focus for nypd will be what they do best and that is keeping this city safe. they have counter terrorism units patrolling the streets all evening long. in fact police presence being felt at 10:00 eastern here this morning. this year they are on heightened alert due to the recent anti-police protests and smoothing deaths of two police officers it begins at the nypd joint operations center. that is the center location on downtown on one police plaza. security hub behind the scenes keeping watchful eye on any suspicious activity and monitoring cameras positioned all over the city.

some scene, some hidden. counter terrorism forces will patrol the streets with bombs detecting k-9s and roof surveillance and as we've seen in the holiday season in the city there will be more beefed up security tonight. but the chief of police assures revelers times square will be the safest place in new york city. >> we'll be patrolling the city by air by sea, on the ground and in the subway system. we have not received any specific threats but the city will be on high alert for any sign of trouble. we have our counter terrorism overlay ready to address any issues. >> reporter: so you can see behind me the street looking pretty clear. the streets actually shut down at 3:00 to any vehicular traffic. that is when all the foot traffic comes in. so this is just the beginning. of course with the cold temperatures i think people will wait until a little later in the afternoon before they fill times square. heather: maybe except for all the diehards that will be out there. i'm sure there will be one or

two. >> reporter: i'm sure. heather: thanks, julie. we'll check back in with you. trace: well a new twist in the massive cyber breach at sony pictures. now a cyber intelligence firm says they uncovered evidence that the hacking was an inside job and they're turning over their data to the fbi. peter doocy is life for us in washington the peter what's the confusion here? >> reporter: trace, the confusion a private company called norse combed through the malware that helped hackers access and erase so much confidential information on the sony servers and they concluded a lot of detailed, insider information, only available to a sony employee was used in the hack. now, one of the cyber intelligence experts from norse told foxnews.com they briefed the fbi about their findings for two or three hours on monday in st. louis, but the fbi is still blaming north korea. and so is the state department.

>> the united states has government has concluded that the north korean government is responsible for this attack and we stand by that conclusion. >> reporter: and there are other private security firms who share the fbi's conclusions that north korea is responsible. so this debate is not over. trace: sounds like it is not. peter what do we know about the hackers making threats against a news organization? >> reporter: trace, the fbi is warning in a news organization referred to only as u.s. per two, may be getting the sony treatment from these hackers soon. this is why from a bulletin obtained by the intercept. quote on 20 december, gop guardians of peace posted messages that specifically taunted the fbi and this news organization for the quality of their investigations and implied an additional threat. no specific consequence was mentioned in the posting.

we're getting a better idea just how much the massive cyberattack on sony set that company back in a "wall street journal" piece. employees had to use a phone tree to spread the word about data on network being restored. one person called another. that person called somebody else. they have 6,000 employees. so no small undertaking. gmail accounts and old blackberries that could connect to the network and payroll department started cutting paper paychecks with an old machine out of storage. fbi taking threat to unnamed news organization very seriously. trace. trace: peter doocy live in d.c. peter, thank you. >> another fox news alert for you now. the labor department releasing new jobless numbers. the latest report show a higher number per of americans filed for unemployment benefits last week bringing the number of claims to nearly 300,000. that is higher than last week but less than the yearly

average, a sign according to economists of strong growth and that employers are looking to hire again. trace: president obama laying out his new foreign policy agenda. what the president is now saying about his recent decision to re-establish ties with cuba and why he says the u.s. embassy in iran is not out of the question. heather: and the latest on new york city bill de blasio's relationship with the nypd after yesterday's intense meeting with the city's police unions and amid one stunning new report that some in his office urged his allies to publicly bash police officers. plus this. >> got to go in the store. trace: chaos unfolding inside of one packed mall after shoppers feared they were caught up in a possible shooting.

heather: panic at a mall in florida after a smash-and-grab robbery is mistaken for a shooting. >> got to go in the store. >> cell phone video capturing all that chaos. it all started when police say three men tried to rob a rolex watch store. and apparently the sound of the breaking glass was likely mistaken for gunfire. >> there is evidence that a sledgehammer a heavy hammer was used to smash the glass at the

jewelry store. we think at this point in our investigation that loud noise that was created from the hammer hitting the glass probably created anxiety and sounded like gunshots to some of the patrons that had called us. heather: i can see where that would create some anxiety. the mall was locked down for almost an hour in all that chaos. no one was injured. tampa police still searching for those suspects. trace: president obama's outlining his new foreign policy in the last two years that he has left in office including relations with cube band even possibility of an embassy in tehran. the president's comments could from an interview with npr he sat down just before leaveing washington for the holidays. lieutenant ralph peters is strategic analyst. great to see you. i want to begin if i can with iran. you know israeli prime minister benjamin netanyahu has to be shaking his head. let me play you what he said

about iran and get your reaction. >> there is incredible talent and resources and sophistication inside of inside of iran and it would be a very successful regional power that was also abiding by international norms and international rules and that would be good for everybody. that would be good for the united states. that would be good for the region and most of all it would be good for the iranian people. trace: a successful regional power and it's good for everybody. colonel, your thoughts. >> well he is taking hillary clinton's advice and showing empathy with our enemies. trace, i'm hardly surprised at this point in my life but i was bewildered by the npr interview when i really read the full transcript. president obama has mastered the art of praising himself for his failures. in the interview he applaud himself for his brilliant handling of iran. iran is closer to nuclear weapons than it ever was.

in that interview he never mentions israel at all. he applauds himself for wise handling of terrorism in the middle east. terrorism spread across the middle east. and even suggests that he is triumphed over vladmir putin. putin is going to be czar of russia long after obama has left office to play golf with the 1% he is always attacking. trace: i'm going to play a putin bite for you in a minute. >> please. trace: it is curious. play this right now. this is what he said. he was talking about strategy and vladmir putin got into the conversation. play this next sound bite, we'll talk about. >> i think that one of the things i've learned over six years and it doesn't always suit the news cycle is having some strategic patience. you will recall that three or four months ago everybody in washington was convinced that president putin was a genius. trace: before we get to putin,

colonel, there is the piece where he says strategic patience. >> let me translate strategic parish for you. it means neglect. it means doing nothing. trace, we obviously sometimes in international relations you have to show patience, of course but you also have to act when it is time to act and what we need more than strategic patience is strategic vision but this is a very an astonishingly massi self-adoring president and as for putin, you know, you want to go there? trace: that is the whole thing. you hear this thing where he says, the reason that putin look three months ago some people thought put tip was a genius right? now that russia's economy is falling on hard times well putin doesn't look like a genius anymore. if oil was down to 40 bucks a barrel and if it was still $110 bucks a barrel, putin would

look like a genius in some people's eyes. >> put fin is good leader for russia, not a good guy not our friend. he didn't understand economics. sanctions are fine but the price of oil knocked it down but putin isn't, he is not defeated. he is not quitting. he still has an 80% approval rating t would take oil at current low prices for two to three years to derail his plan. put it bluntly obama thinks he can romance he can romance cuba and romance iran. he tried to romance putin and got date raped. this man after six years is astonishly willfully naive self-adoring and ineffective in that interview with steve slavish interview which could have been russian journalist interviewing putin he also says that we're the strongest position position for the future. our military is the greatest in history. yes, the military he is gutting.

he, he is amazing. applauds himself for all going right in the economy, all going right in the world and he avoids everything that is going wrong. the strategic landscape from nigeria to pakistan, from russia to venezuela is almost immeasureably worse than it was when obama took office. and the fact that steve didn't press him on any of the hard stuff tells you what you need to know about the state of npr and obama. trace: i'm guessing you didn't like the interview colonel. stab in the dark. >> i'm not an npr basher. i listen to npr when i'm driving. i's fine. my god, ask tough questions guys. don't suck up all the time. trace: colonel ralph peters, happy new year, good to see you. >> happy new year to you or as putin would say -- [speak being russian ♪ trace: heather. heather: a major test for the

white house after detention of several activists in cuba. how this could affect efforts to normalize relations with the communist nation. trace: an avalanche is burying cars. that is not snow. it is salt. we'll tell you where it happened next.

hi, i'm henry winkler and i'm here to tell homeowners that are sixty-two and older about a great way to live a better retirement... it's called a reverse mortgage. call right now to receive your free dvd and booklet with no obligation. it answers questions like... how a reverse mortgage works how much you qualify for the ways to receive your money...and more. plus, when you call now, you'll get this magnifier with led light absolutely free! when you call the experts at one reverse mortgage today you'll learn the benefits of a government-insured reverse mortgage. it will eliminate your monthly mortgage payments and give you tax-free cash from the equity in your home and here's the best part... you still own your home.

take control of your retirement today! ♪

trace: avalanche of salt destroying cars in chicago. at least three vehicles buried in salt after a wall collapsed at a morton salt factory next door. they think the workers may have piled salt too high and putting too much pressure on the wall. engineers are working to stablize the building. >> to throw salt over your shoulder for good luck? not a lot of luck there. new reaction from the obama administration to crackdown on dissidents in cuba. cuban authorities arresting at least three people hours before a planned demonstration calling for free speech. this is the first major test for the obama administration's change in policy toward that communist country.

steve harrigan live for us with more. steve, how serious is what happened in cuba? >> this is the most serious crackdown by the cuban government since that agreement between president obama and raul castro two weeks ago. at least 12 cuban dissidents were either arrested or detained. some arrested were released overnight but several more are under house arrest. in havana. dissidents are planning to hold a open microphone near government headquarters to speak out peacefully against the government but just about every dissident involved in the planning process was rounded up by police before the event could take place heather. heather: could this possibly delay president obama's effort at normalizing diplomatic relations with cuba? >> this will be the first test. the u.s. state department already condemned the move, saying cuban government is trying to silence its own dissidents. real test will be next month when it is expected the first high level u.s. state department delegation to havana in 50 years

is scheduled to take place. so whether or not that trip happens is going to be test for this new policy, heather. heather: steve harrigan live for us in miami. we'll watch what happens. thank you. trace: weather causing problems for rescue crews as they attempt to recover more victims from the airasia disaster. we'll talk to a former commercial pilot about that next. >> plus potential 2016 candidate jeb bush is facing a new challenge winning over conservatives. this time on the issue of taxes.

trace: horrifying story out of idaho where a two-year-old boy accidentally shoots and kills his mom at a walmart. police say the woman was shopping with her son and three other children when the little boy reached into her purse grabbed a concealed handgun and

it went off. when first-responders arrived the 29-year-old woman was already dead. >> this is a you know, pretty tragic incident right now that we're dealing with. especially here it is the around the holidays, just after christmas, right before the new year. tragic, tragic accident. trace: can you imagine? the family remembering the mom as very loving mother who left them way too soon. heather: back to one of our top stories. effort to recover black boxes from air asia flight 8501 delayed as storm my weather in the java sea makes it nearly impossible to reach the site. now strong currents are spreading around the debris. we have an aerospace journalist as well as former airline instructor and pilot and joins us with more insight. thanks so much for joining us. >> good morning. heather: the latest information we have that has come out today shows the wreckage of this

plane, sonar images appear to show it upside down in the water. what does that tell you if anything about the final moments of this plane? >> well, what we, what that tells us that hopefully this is correct and that part of the airplane will be in intact and why that is important because we really want to get the cockpit voice recorder and also the data computer or black boxes if you will. the fact that it's upside down, we don't know for sure that the airplane did not land under control. seeming more and more this was definitely an out of control impact with the water. in other words not a controlled ditching. but if it were a controlled ditching an airplane could cartwheel and land upside down at the bottom of the ocean but from the rate at which this airplane fell out of the sky most likely it was out of control at impact. heather: what about bodies discovered so far? reportedly some of the bodies were discovered holding hands. one of the fly attendants fully

clothed her uniform, does that tell you what happened in terms of timing in the final moments? >> i tend to dismiss a little bit of reports of people holding hand or that sort of thing. there is a lot ofrroneous reports coming out. there is erroneous report that one passenger donned a life vest and later discounted. so i think we'll have to get more from the investigators. it is not unusual in accidents for the clothes to be shed by the victims depending on what happened during impact. heather: you bring up a good point. that is one of the dangers of speculation at this point because none of us know what happened. that is why it is all the more important to find these black boxes. >> yes. heather: we talked about the current weather conditions delaying that. how much of a problem will that be? also the debris that does appear to be spreading to other areas at this point? >> well, what they're saying now is that they're close enough actually to the shore, that some of the debris and some bodies will start washing up on to the

shore next coming days. they did predict this weather. they knew this was coming in. when you look for instance, air france went down in 2009 in 10,000 feet of water. we're talking 75 to 150 feet of depth here, to recover the wreckage and the black boxes which is very shallow extremely accessible by divers. so i'm very, very optimistic that in the coming days or the next week or two that hopefully they will get those black boxes out of that airplane and really give us the information that we need. what is so important besides getting the data or the parameters what was happening to that airplane will be the cockpit voice recorder. so we know exactly the command pilots were speaking to each other, what was going on, what their thought process was. that would shed so much light on this tragedy. heather: what do we know about the pilot of this aircraft at this point? >> well, what we know this guy had tremendous experience. he had over 20,000 flight hours.

he had over 6,000 in airbus a320. this is exceptional amount of experience. he was an air force pilot. flew an f-16. he was a team leader. this tells us this guy has flown in wild conditions. he has been upside down and flown high g manuevers. wasn't like he was not experience with turbulence and different parameters and he is from this area. heather: that being the case when he requested not once, but several times to go to a higher altitude, he knew that that needed to happen but he was denied it. >> he was but that is totally routine and expected. pilots always ask for higher altitudes. could have been to burn off fuel. most likely in this situation he was getting a rough ride, possibly wanted to go higher. he did ask for a turn. he was granted the turn. if he felt the flight was in any danger simply indicated emergency and initiated climb. puzzling thing most pilots his

experience level with that kind of very bad weather with thunderstorms topping over 50,000 feet would not elect to climb to get out of the weather because at 38,000 feet you're dangerously close to the service ceiling of that airplane, nearly compromises your performance. so what i'm thinking that perhaps conditions he was in not that bad at that time and maybe he did not see how bad they were ahead if they indeed actually penetrate a severe thunderstorm because it is a little bit unusual to ask to go that high in that airplane if you really, truly thought you were going to encounter severe turbulence. heather: that is interesting. what would a pilot do instead? what are you trained to do instead under those conditions? >> you turn. you get out of the way. you see those thunderstorms building ahead and you turn. he did ask for that. he asked for a left deviation and was granted that that. heather: but there was high traffic count in that area at that time, correct? >> yes. i think there was five or six other airplanes. what is going to be interesting to get their stories what they

encounter. one thing we have to understand, the life cycle of a thunderstorm can be as authority as 20 or 30 minutes. one person can have tremendously smooth ride and another airplane a mile or two away and hit really really violent updrafts. heather: but important to find out what happened to flight so that we can therefore not have it happen to another flight, another plane? >> that is what always comes out of these accidents. in the end always makes aviation safer. we investigate, we find out what happened and do everything we can not to let that happen again in the future. >> good thing family members of 162 people on board seem to be getting answers quickly as we go into this recovery mode. thank you so much for joining us. we appreciate your insight. >> thank you. trace: she make as great point. talking about the maximum ceiling of that airplane which is 39,000 feet and pilot wanted to go to 38,000 feet. the plain plane is right there. can't go much higher. it went from 32,000, reports say

to 38,000 and. what happened when it got to 36,000 feet. something happened very suddenly because the wreckage was found a few miles where they lost contact of the plane. fascinating interview. >> good stuff. trace: he says, conservative voters considering their options for 2016 taking a much closer look at the record of former florida governor jeb bush after he recently announced his desire to actively explore a possible run for the white house. doug mckelway is live in washington with more. doug, governor bush repeatedly said he wouldn't sign grover norquist's no new tax pledge s that true? what is the background behind that. >> that is true, trace. governor bush said he would not sign that pledge, that antitax activist lobbyists grover norquist puts to gop candidates running for higher office. marco rubio bobby jindal, ted cruz mergerly signed it.

he said i don't believe you outsource your convictions and principles to people. grover norquist is tearing into bush for his refusal to sign the pledge. >> jeb bush won't put it in writing and won't say it. at some point you have to ask him what taxes do you plan to raise? why would you not reform spending? those are questions that jeb bush will have to answer if he is going to run for president. >> reporter: bush does answer with his record as governor of florida which stands as the real testament to his record as a tax cutter and fiscal measure. he cut $19.3 billion in taxes with tax cuts every year during his eight years as governor. that, while growing the state's reserve to $9 billion from just one billion when he first took office. so that is really no small accomplishment in a state with no state income tax. norquist's response to that trace, is that it happened during a period of strong growth in the economy. trace: what about bush's other conservative credentials? he is often criticized by conservatives for his support of

common core education reforms his support of immigration reform. >> reporter: in light of that bush's social conservative credentials are really strong. he is deeply prelife. took uncompromising stand on terri schiavo right to life case. the florida woman collapsed from a heart attack and remained in vegetate tiff state for years. her husband ultimately won the right to remove feeding tube against wishes of her parents. autopsy revealed that the schiavo was brain-dead entire time. bush believes in traditional marriage and second amendment rights and florida's controversial "stand your ground" law. trace? trace: doug mckelway in d.c. thank you. >> frightening scene out of a fire station after a power line snaps and bursts into flames trapping people inside. trace: latest on new york city's mayor's batter relationship with the nypd after his meeting with the police unions days after officers turned their backs on

him to protest.

há

heather: look at this. dangerous moments for fire-fighters in southern california when these power lines fell, bursting into flames trapping fire crews inside of an orange county fire station. look at that. reports of no injuries at this point. the trucks were eventually moved outside safely. strong wind have been hitting area south of los angeles in recent days. trace: well new york city mayor bill de blasio meeting for two hours yesterday with the heads of the city's police unions but according to pba president patrick lynch, the meeting failed to ease any of the recent tensions. listen. >> there were a number of discussions, especially the safety issues that our members face. there was no resolve and our thought here today is that actions speak louder than words and time will tell.

trace: gop strategist and former congressional candidate jess is a ehrlich former democratic congressional candidate and attorney. welcome to you both. what do you make of these reports while the mayor was meeting with these police unions was having some of his political allies going out to criticize police for turning their backs on him? >> frankly nothing new in american politics from local level or federal level for any politician in controversy to call on his friend to be allies. i don't know there is anything inherently wrong with mayor de blasio or administration, call on friend to have his back. he is going up extraordinarily powerful union of 40,000 people on the ground with a lot of influence and tens of thousands of more retirees in the new york police department. the new york police department is big fight on mayor de blasio's hand. trace: seems to me, jessica if you're trying to get some resolve and trying to get back in the good graces union why are

you talking out of both sides of your mouth? you try to criticize them on one hand and try to negotiate with them on the other? >> i hate to say i agree with wes and sort of politics as usual. definitely something we see time and time again that is dirty business that is politics and trying to win over hearts an minds. certainly there are negotiations going on here. so they're working on their union contracts. they're talking about a lot of issues and there is a lot of tension here but hopefully this is new york city. it's really leading city in the entire country. someone who lived there for many years, the police are just amazing in manhattan and all through the boroughs. i think it is really important now and hopefully we'll see de blasio and the police unions coming together and really showing the rest of the country what can be done when you have the, you know, best interests of policy and dealing with the stop and frisk issues. dealing with concerns of minorities and with the police safety issues.

trace: wes here is the deal on this whole thing. the police are upset because they believe in their heart of hearts that the mayor didn't back them up. because of that he didn't back them up that put them in danger. when they turned their backs on him, this was their show saying look, we think the mayor was putting us at risk by not coming to support us. >> i understand that's their argument. i would argue this. a union power play is a union power play whether it is volkswagen here in tennessee where you see the uaw in power play type move or whether it's the five police unions in new york. this is a power play. you see in "the new york times" this morning on the editorial page points out that now not only is the new york police department, some of the people, some of the officers on the ground turning their back on the mayor, they're turning their back on their duties. and as massive celebration is prepared for tonight whether you're looking at traffic citations, drug arrests they're all down almost 100% from last

year. the data is not all in but actually looks like the protests that new york police department has underway is going beyond just their frustration with the de blasio administration. trace: jessica, are you buying that? two million people in times square, whatever the number is going to be, they expect this to be very safe night because of police presence. the police are unions have asked them to go in twos to different crime scenes so they are supported by extra officer. so that, yeah, the reaction times, or response times are a little bit down but do you buy his argument that police are turning their backs on new york city? >> i mean, i certainly hope not and it would seem very odd to me but that would be the case but numbers down from what they were year-over-year. so there is a decline there. and what that, you know, that stems from i can't really speak to but i hope and i believe in my heart that it is not because the police are shirking their duty just because they want to

negotiate better contracts. i am hoping crime is down and that's why there are fewer arrests going on. people are happy. it is wonderful year. a fantastic holiday season and hopefully that is the reason. we have two multiple tragedies happening here. there was a tragedy in staten island. there was a tragedy with the officers ramos and liu. there are time for things to stop and everyone come together and i hope that is what can happen here. obviously the mayor is reaching out to the unions. is trying to do that. it is going to be a process. if they can come together and anyone can do this and show the country and rest of the police departments and cities in the country how to do this and how to make good policy going forward i believe it is new york. trace: i have to go, and give you the last word, but very difficult for mayors and police departments very difficult for those cities to really exist when those two are at odds. >> there is no question. hey, the whole country has all respect and admiration for the new york police department. maybe it's because i'm a

thousand miles away i feel i can call a spade a spade. both parties need to grow up and frayingly new york police department is not above reapproach. in this type of behavior i think it is time, particularly on a big night which always been historically big night we all wish we were there wish we were there. trace: got to go. got to go. happy new year, happy new year to both of you. >> protesters plan on showing up at a couple of celebrations tonight and people being told to wear blue to support your local police officers. wanted to put that out there. trace: good. heather: what is called most amazing base jump ever caught on video. it's trace. trace: no. heather: actually members about the red bull air force taking the dangerous dive. stunning video moments away.

female announcer: it's time to make room for the new mattress models! during sleep train's huge year end clearance sale, get beautyrest, posturepedic even tempur-pedic mattress sets at low clearance prices. save even more on floor samples, demonstrators, and closeout inventory. plus, free same-day delivery, set-up and removal of your old set. why wait for the new models? sleep train's year end clearance sale is on now! ...guaranteed! ♪ your ticket to a better night's sleep ♪

>> eight minutes away on "happening now." the president's dream is to close down the detention facility at guantanamo bay. right now the goal seems to be to empty it. five more prisoners just transferred out. where they're going and what the future holds for gitmo. plus jody arias dominating the headlines again in 2014. now we're closing in on a final resolution in her sentencing retrial. will the convicted killer spend life in prison or die for brutal murder of a man she says she loved? deadly flu epidemic sweeps the nation, so far claiming the lives of more than a dozen children. what makes this year's flu very dangerous? it is all ahead, "happening now.". heather: surveillance cameras are practically everywhere an

they captured some funny some scary, also some amazing moment this is year. fox news chief correspondent jonathan hunt looks back at 2014 caught on camera. a word of warning though. some video you're about to see is a little bit graphic. >> reporter: retail stores and gas stations are often a treasure trove of bizarre behavior. cop in ohio arrested for pilfering popcorn from a convenience store. he pays for one bag but leaves with two. the store owner says there was no buy one get one promotion at the time. two men one machete. that is how this brazen robbery went down in south florida. the suspects made off with a whole lot of quarters, according to the store clerk, who escaped unharmed. this california store clerk however, got a bloody nose after she was clocked by a customer. it wasn't a stick upaccording to police. simply an unprovoked, cringe-worthy attack. ohio man enlists help of a

toddler to break into this laundromat. you can see him hoisting the kid to disconnect surveillance cameras. >> i couldn't believe what i was seeing on video. >> reporter: good samaritans in the city of brotherly love coming to rescue of this woman who narrowly escaped death when she fell on to the tracks for a third rail. similar story in the city of angels where a blind man fell on to the tracks and was trapped beneath a train for some 20 minutes before being rescued. he have managed to escape with a few nicks and scrapes. talk about a group effort? dozens of people coming to the aid of a man who apparently did not mind the gap. his leg got caught between the platform and a subway car setting wheels in motion for a flashmob rescue. >> like everyone -- >> reporter: who knew so much drama would go down when you're going up. 2014 turned out to be quite a year for violence in the elevator. no love in this lift in a

manhattan hotel. it shows beyonce's younger sister solange in an all-out brawl with brother-in-law jay-z. the treo later releasing a statement, saying quote families have problems and we're no different. the fallout was even more fierce for this couple. raven's star ray rice, caught on tape viciously attacking his then fiance, now wife, january ney palmer. this incident set off a national debate on domestic violence in sports and jeopardized the career of the former baltimore running back. we'll on a lighter note on the streets of russia. a driver capturing this truly bizarre scene. a real cast of characters going after this driver during a road rage incident. some say it was staged. we say it is worth watching a few times. in new york, jonathan hunt, fox news. >> i would say staged. trace: i do too. you know. i believe a lot things.

heather: spongebob driving or mickey, i don't know. trace: i think mickey was driving. doesn't mickey always drive? heather: good point. trace: take a look at this. breaking news coming out of hong kong because it is four minutes away from the new year there. it is 13 hours away from the new year here in new york city. and, are we listening? we're going to break. we'll be back with more on "america's newsroom."

>> a daring drive caught on camera. jumping off a cliff in utah. it is part of a movie film the team is doing. very cool stuff. but not for me. happy new years. >> have a great trip back to california. >> happy new years to all.

have a great 2015. >> bye! more detainees released from gitmo. welcome to "happening now." i am jon scott. >> and i am in for jenna lee. five detainees just got out and that brings the number moved out of the facility just this year to more than two dozen. >> it is part of a push to clear the camp be reducing the number to a small number that could be transferred it united stat