eight months after the november election, minnesota has its second senator and it is al franken. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- jane: we start with this breaking news out of moscow. president obama is attending his first summit ever with russian president dmitry medvedev. we are moments away from a joint news conference. nuclear arms control is the first order of business. the two leaders have signed what is called a joint understanding to negotiate a new arms control treaty. the u.s. and russia control more than 90% of the nukes around the world. might emanuel. >> there's a nuclear arms agreement between the u.s. and russia which is due to expire

soon. they have agreed to work on a deal in terms of a future nuclear arms agreement. the figure is between 1500 and 1675 deployed warheads. people are looking to see if the russians believe the cold war is over, if they agree to do this, that may suggest the russians are acknowledging that the cold war is over. jane: we are learning about an agreement on afghanistan. what is that? >> united states has asked russia for permission to fly over military troops and military equipment to afghanistan. obviously, a big push is under way. the u.s. is saying that russia is really helping out the effort because if it cannot fly over russia, it is obviously more

expensive to go around russia. the united states is quite happy that the russians have agreed. jane: we are going to see this to a news conference with american president obama and russian president dmitry medvedev. what are we to look for in this news conference? he will also be meeting with vladimir putin. is that tomorrow? >> that is tomorrow. one thing to look for will be questions about missile defense systems. the russians have been hardly opposed against a missile shield system that the united states has been proposing for europe. the u.s. may bring up the idea of north korea fiery more rockets over the weekend and say that is the reason we needed this missile shield. it could protect russia if we work together. it will be interesting to see the body language of the two

leaders when missile defense comes up and how they handle that situation. jane: we will check back with you in a bit. we will take everyone to the news conference as soon as it gets under way. rick: a major political and personal trauma unfolded in alaska. the governor sarah palin prized resignation giving republicans a headache and raising a lot of questions. the political fallout, of course, and her plans for the future. dan springer, what do we know? >> governor sarah palin's announcement that she was resigning stunned even her close friends in alaska. nobody seems exactly sure what her next move will be. her attorney says, "all options are on the table, including a possible run for the white house." he said he was in the loop.

he said the main reason was the attacks, including the ethics complaint that ran her legal bills to $500,000. a friend says sarah palin will soon be on the speaker circuit and raising money for republican candidates. on fox news sunday, karl rove told chris wallace that is a tough way to run for the presidency, if that is her goal. >> she cannot simply count on going around and campaign for republican candidates in 2010. she has to demonstrate leadership. >> i spoke with several high- ranking republicans in alaska and they were not complementary. one described her as a trade raccoon, which means she is scared of everything. another called her a quitter. even one who called himself a big sarah palin supporters said she was distracted and paid too much attention to the thank you unders -- paying too much

attention to the blogger s and critics. and she was not really communicating with the legislature of the state. he was not surprised that she stepped down because she was not really leading the state in the last several months. rick: thank you very much. what do you think about sarah palin's next career move? send us your comments by going to our web site, foxnews.com. jane: developments in the michael jackson saga. over a thousand people who want ticketon tickets are at dodger m to pick up these packages, which are free. more than 1 million people applied for these tickets. police in los angeles are bracing for the crushing crowds of they are expecting outside the staples center, which is where the memorial will be held

tomorrow. they're telling people who do not have a ticket to stay home. you're better off watching it on your own tv. the jackson family is calling on a judge to delay the appointment of two men as temporary administrators of michael jackson's estate. the hearing is set to start at the bottom of the hour. rick: investigators releasing new details on the death of steve mcnair. nashville police are rolling his death a homicide. steve mcnair and a 20-world were found dead saturday in his condominium. steve mcnair was shot four times. the woman died of a single gunshot. detectives say a pistol was found under her body and that they are not looking for any other suspects. police say the married father of four sons was having an affair

with the woman, but on the field, he was known as a loyal team mate. he also gave generously to charities. jane: breaking news out of miami. police are searching for three gunmen who opened fire on a house fire earlier this morning. 12 people were hurt. three of the victims are said to be in critical condition. another person running for safety from the gunfire was hit by a car. witnesses say at least one of these gunmen came in wearing a black trenchcoat. this all happened in miami. investigators are trying to figure out the motive here. rick: new urgency to the search for a serial killer terrorizing people in the town of gaffney, south carolina. more than 100 law enforcement officers are now on this case. a reward for any information leading to the killer is now at

$20,000. our investigators finding that thery are any closer to finding this man? >> if all of the traffic in and out of the police department is any indication, they're doing everything they can. they say that tips continued to flow in. they are trying to follow up on all of the tips. right now, the town is in fear. there's a general sense of uneasiness and unrest. rick: talk to us about the victims. are there any connection between them? >> they say there's no reason to believe that any of the victims knew each other or new the suspect. they have revealed that there is evidence from each of the crimes

that linked them together, which is how they came to call him a serial killer. they also have a sketch of the man they believe is responsible for this. one of his intended victims got a good look at him. they believe he is a white man in his 40's. they also believe he is driving around in a suv, perhaps an early '90s ford explorer, gray in color. rick: i heard that there's some concern amongst law enforcement that because everyone is still on edge, and because people are army themselves to protect their families, people could be so frightened that they could shoot at shadows. what are police telling the presidents -- the pres resident.

>> obviously, people are spooked. plenty people have said they have they're done with them, or they're going to buy a gun. they're telling people to gbe careful, especially people who go door-to-door. two people were buried yesterday. other than that, and lots of people are not out and about. i spoke to a late yesterday who said she was at the store shopping and is usually packed, but there was no one there. today is monday and people are going back to work. a couple of schools in the area have students going back to school today. there is the policsense of urge. rick: thank you. jane: harry potter's sidekick is recovering from the swine flu.

he was forced to take a few days off from film in the final movie in the series. his spokesman says the actor has a mild case of swine flu. he now hopes to attend the london premiere that takes place tomorrow. 10,000 cases of the swine flu have been reported across europe and the eu says countries must prepare for a second wave of infections. it could be more deadly. the health minister of sweden says there's a risk to the virus contagion spread quickly after the summer holiday. rick: one of the chief architects of the vietnam war has died. robert mcnamara was 93. he was president of the ford motor co. when he was recruited to run the pentagon by president kennedy in 1961. he served in that post for seven years. he revealed in his memoir in that by 1967, he had deep misgivings about vietnam, well publicly still expressing

confidence that the u.s. could win. he later became president of the world bank. jane: we continue to take a look at these live pictures from moscow. we are awaiting the president of the united states and the president of russia. a joint news conference will get underway any minute. they are running a little late. they have a lot to talk about purity will want to stick around for this news. -- they have a lot to talk about. you will want to stick around for this news. we're getting more details on the stockpiles of nuclear warheads. there's much more. we will bring it to you after the break.

rick: the president of russia and the president of the united states are about to have a joint news conference at the kremlin.

take a listen. >> the signing of a joint document is about to start. >> [speaking russian] >> chief of joint staff of the

armed forces of russia, first deputy minister of defense, and on the u.s. side, chairman of joint staff of the united states army, admiral moullen. they will signed the document between the armed forces and the armed forces of the united states and a memorandum on the working plan to improve military cooperation for the year 2009. jane: the chairman of the joint

chiefs, admiral mike mullen is signing this to a degree members and military cooperation that was suspended after russia invaded georgia. this announcement was expected. they are putting it down on paper. they also have plans for about 20 different military exchanges in the teens this year, including russian military cadets. they will do some joint cooperation. and a lot of other it preliminary deals we're learning about this morning. rick: we are taking a look at these two world leaders treatises a two-day trip by the president. it has been billed as an effort to rebuild relations with russia after years of tension over the issue of georgia, and several

other issues over the years. this is the first time that these two countries have sat down for a summit and tried to hammer out a deal like this. it is always nice to see two world powers come into agreement. it does raise the question, as they agree to reduce the number of nuclear warheads, is this the right time to be doing that, as the world seems to be growing ever more dangerous with countries like north korea and iran working to stockpile more of these weapons and develop them? is this the right time? jane: we have been learning about this idea of just how many nuclear warheads each country will have, should have, and does have. we are told that they have struck a preliminary deal on that about the stockpiles of nuclear warheads. potentially reducing the stockpiles to about 1500 each. that would be a signal to get development.

the details have not been ironed out. it is considered a preliminary deal. mike emanuel mentioned that we should be looking for body language and what we hear from these two leaders on the idea of missile defense, which has been a tough topic for both countries. rick: we talk about the strain relations between these two countries. another one of the agreements that has been reached is for russia to give the united states permission to use air space for the transport of air weapons to get to our troops in afghanistan as we ramp up efforts in afghanistan. the fact that we did not have permission to use russian airspace, in some cases, hamper our ability to get equipment and arms to our troops on the ground in afghanistan. this is a deal that will save a lot of money, according to the white house, it will save the

u.s. $133 million per year. fuel expenses will be cut. this is something that might not seem like a huge deal, but it will be a money saver. it should help our troops in their efforts in afghanistan. jane: as they are signing these agreements, we are waiting for the two leaders to hold a joint news conference. they will take questions from reporters from both countries. we expect that to last about 30 minutes or 40 minutes. you can bet that all the topics we have been mentioning, the reporters will be asking about those. and what the president expects from his two upcoming meetings with the now prime minister of russia, vladimir putin. that meeting is expected tomorrow. also, a former soviet leader gorbachev. he is considered more of a

historical figure in that country. rick: before this trip began, president obama talked about the united states and russia. he said the two countries have more in common than they do differences. this is an important relationship for president obama for a number of strategic reasons. in talking about the conflict were disagreements with countries like china and iran, this is a relationship the united states and russia -- they are trying to make some process when it comes to some of the more contentious issues that the united states faces on the diplomatic part. russia plays a major role when it comes to iran and the fight against terrorism worldwide.

we will take a listen to this joint news conference. >> joint statement of the president of the russian federation president obama -- russian federation president dmitry medvedev and president of the united states of america, barack obama to the decision has been adopted on setting up the joint commission to develop cooperation. >> distinguished ladies and gentlemen of the press, colleagues, we have just completed our negotiations with the u.s. president. the first presidenu.s. president was a very busy one. the first day show that we

managed to discuss all the items of heart agenda and it was a very big one. i live like to say that there was a very useful and very open businesslike conversation. this was no doubt a medium that has been expected, both in this country and the united states. on which, not only the future of our two countries' defense, but also the development. i like to emphasize. of course, the first days of negotiations are meeting one-on- one. they were very open and sincere. this is extremely important.

we have agreed that we will continue to communicate in this mode of further on. for our relations, it is very important. it is not a simple job because the backlog of problems is quite impressive. but we had enough of mutual wish and will and the principles that we have occupied and it makes the discussion of this problem in a businesslike manner. i would like to emphasize that. at the same time, we realize our role and responsibility for the situation in this world, especially in a period where though level has reached such

parameters that the decisions we make very much determined as attrition in general. in such -- we have such a special responsibility for everything that is happening on our planet. we have an initial interest -- we have many mutual interest, global, an economic, and others. our desire to discuss these subjects was mutual. this is also one of very important results of our meeting since the work we're doing requires good will, mutual respect, and honest understanding of each other's position.

we also came to the conclusion that the russian-american relations on the level achieved to date does not correspond to potential possibilities of our countries. the level that we have today does not correspond to the need of the current age. and without active the elements of our relations on may for a fierce -- on foreign affairs, scientific innovation. we have spent several hours plan very busy, buries the seven negotiations. -- very specific negotiations. i am grateful to the president of the united states for the under steady he has shown on the principles that we have put

forward and our attention to the proposals made by the american side. despite the fact that thwe cannt remove the burden of all the problems, but we have agreed we will go forward without stopping. we will make the decisions that are needed for the development of relations between our two countries. we have discussed quite specific problems. i would like to share some of them with you. we discussed international subjects. we spoke about such a difficult problems as the process of the middle east settlement. we agreed to take into account visits we have recently to the middle east, and the plans we discussed. we discussed the possibility of holding a moscow conference on

the subject of the middle east. we spoke about the very important subjects that -- the problem of afghanistan. our joint work in that area, without it, we will not be able to achieve success in that area. we have agreed on a special statement on that. our relations will be consolidated by our links in the field of science. this has to be done by all means and we will be dealing with this after this meeting in a very persistent way. now, a few specific results of negotiations. we have agreed on the very important subjects, the new agreement on strategic arms. this is a basic element of our mutual security.

the work was very intensive. i must admit that our delegations were on this subject on a very fruitful way. they have shown reasonable compromise. of like to thank everyone who took part in this negotiation. the result is that we have reached not only mutual understanding of how we should move forward, but also to the basic levels on which we will advance in this field. we agreed on the levels of carriers in warheads. meaning that this is a very concrete subjects in the mutual understanding. we have just signed with the president of the united states, it says that our two countries can have from 500 to 1100 carriers of strategic arms and

1400 to 1675 warheads. these are the new parameters within which our dialogue will be going along, and where we hope to achieve final agreement that will be part of the new treaty. we have also agreed that the offensive and defensive systems of those countries should be considered together. we have adopted the jewish state did -- we have also adopted a joint statement. we have divergence es. nevertheless, we managed to approve a joint document. we have discussed measures of cooperation in the nuclear field. most importantly, we will

continue cooperation in every area. a lot depends on our countries. we have signed an agreement on to on t afghanistan. we have decided to create a presidential commission on corp cooperation -- presidential commission on cooperation. on all priority areas, including economic and military areas. in the military areas, these questions will be dealt with by the chiefs of staff. soon, all these documents will be published and you will be able to familiarize yourself with them. and the results of the negotiations that we have had. i view them as the first but

very important steps in the process of improving full-scale cooperation between our two countries. if both states benefit by it, that means everybody will benefit by it. i would like to emphasize, in conclusion, our country would like to reach such a level with the united states which will be realistically worthy of the 21st century, which will ensure international peace and security. we are grateful to our american colleagues for the joint work we have done. it is true that the solution of many world problems depends on the joint work of the united states and russia. thank you. >> good afternoon, everybody.

i want to thank president obampy medvedev and the russian people. we're pleased to be here in moscow. we have just concluded a productive meeting. as president dmitry medvedev just indicated, the president and i agreed that the relationship with russia and the united states has suffered from a sense of drift. we resolved to recent u.s.- russia relations so we can cooperate more effectively. after less than six months of collaboration, we have done exactly that, by taking concrete steps forward on a range of issues, while paving the way for more progress in the future. it is notable that we address the top priorities. these are not second-tier issues. they are fundamental to the

security and prosperity of both countries. first, we have taken important steps forward to stop the spread of nuclear weapons. this starts with the reduction of our own nuclear arms as the world's two leading nuclear powers, the united states and russia, must lead by example. does what we're doing today. we have signed a joint understanding for a fall on treaty to the start of the agreement that will reduce our nuclear warheads and delivery systems by up to 1/3 from our current treaty limitations. this legally binding treaty will be completed this year. we have also agreed on a joint statement on nuclear security cooperation that will help us achieve the goal of a securing all vulnerable nuclear materials within four years. this is progress we can build upon later this week at the g-8 summit.

as we keep our commitments, we must ensure that other nations keep their commitments. we have talked about discussions about north korea and iran. north korea has abandoned its own commitments and violated international law. i am pleased that russia joined us in advance in a u.s. security -- u.s. security resolution. iran also poses a serious challenge through its failure to live up to international obligations. this is not just a problem for the united states. it raises the prospect of a nuclear arms race in the middle east, which would endanger global security while iran's ballistic missile program could pose a threat to the broader region. i'm pleased that we have agreed on a joint statement of cooperation on missile defense and a joint threat assessment of the ballistic missile challenges of the 20% 3, including those

posed by iran and north korea. we have taken important steps forward to strengthen our security through greater cooperation. president dmitry medvedev and i agreed upon the need to combat violent extremists. we have signed an agreement allows the transit of military equipment through militaryto afghanistan. this is a substantial contribution. it will save the united states time and resources, and giving our troops to support that they need. thanks to admiral mike mullen and his russian counterpart, we have agreed to resume military cooperation between the united states and russia. this provides a framework for its robertbetter cooperation to better address terrorism. we have also agreed on a

commission on prisoners of war and missing in action, which will allow our governments to cooperate in our unwavering commitment to the servicemen and service women. we have taken important steps forward to broaden our cooperation on a full range of issues that affect the security and prosperity of our people. we are creating a u.s.-russian bilateral presidential commission to serve as a new foundation for this cooperation. too often, we only communicate on a narrow range of issues, or let old habits within bureaucracies and in the way of progress. the commission will improve working groups on the development of the economy, energy and environment, nuclear energy insecurity, arms control, and international security, defense, foreign policy, a counter-terrorism, preventing in handling emergencies, civil society, science and technology, space, health, education, and culture. the work will be coordinated by

the secretary clinton, who will travel to russia later this fall. the new memorandum of understanding on health -- we have learned most recently with the h1n1 virus that a disease that emerges anywhere can't cause a risk to people everywhere. that is why our department of health and human services will cooperate with russian counterparts to combat infectious, chronic, and not to gloat diseases. i'm pleased that russia has taken the importance of lifting restrictions on imports of u.s. livestock. the cost of these restrictions to american businesses over $1.3 billion and we have made important progress toward restoring that commerce. i will not united states and russia and russia agree on every issue. we have had frank discussions in other areas where we still disagree.

we have a frank discussion on georgia and ivory into raided my firm belief that georgia's sovereignty must be respected. even as we work through our disagreements on georgia's borders, we agree that no one has an interest in renewed military conflict. we must speak candidly to resolve these issues peacefully and constructively. president dmitry medvedev and i are committed to leaving behind the suspicion and rubberivalry e past treated we have made meaningful progress today. tomorrow i look forward to broadening this effort to include business, civil society, and the dialogue among the american and russian people. i believe that all of us have an interest in forging a future where the united states and russia partner on behalf of our

prosperity. that is the purpose of our relations. that is the progress that we made today. i want to thank the president and his team for being such wonderful hosts. thank you. >> colleagues, now we begin the press conference. you will be able to ask two questions. do not forget to present yourself. first question goes to the u.s. media. >> thank you and good evening. president obama, i like to ask you about the issue of trust after this period of rocky relations, and also having spent

time with president medvedev, do you feel that you have full trust in him? had he settled in your mind you is in charge in russia, the president, or prime minister putin? president medvedev, polling shows that the american people have hard feelings about -- the russian people have hard feelings about america. i am wondering what president obama president obama -- i'm wondering what you think president obama can do to try to change this? >> first of all, this is my second place the bilateral meeting with president medvedev. we have had a series of telephone calls and other exchanges. throughout our interactions, i have found him to be straightforward, professional, and he is clear about the interest of the russian people. he is also interested in finding out what the interest of the

united states are. we have found an ability to work together extremely effectively. yes, i trust president of the deatpresident dmitry medvedev to listen and negotiate constructively, but also to follow through on the agreement contained here today. again, i am very appreciative, not only of the manner in which he has dealt with me, but also the manner in which our teams have worked together. if you think about the short timeframe from our meeting in london to today, and the fact that we have essentially accomplished all the goals that we set in london, and these are not insubstantial achievements. i think it is a good sign for progress in the future.

tomorrow i will be having breakfast with prime minister putin. i have not met with him before. i'm looking forward to this. my understanding is that president dmitry medvedev is the president and prime minister put it is the prime minister. they allocate power in the form of russians form of government, the same way we allocate power in the united states. my interest is in dealing directly with my counterpart, the president, but also to reach out to prime minister putin, and all other influential sectors in russian society so that i can give a full picture of the needs of the russian people and a concerns of the russian people. my strong impression is that president dmitry medvedev and prime minister today are working very effectively together.

our interest is working with the russian government as a whole in order to achieve the improved bilateral relationship that i think can be accomplished. >> first of all, i would like to thank president obama for the kind words about the spirit and the level of openness we enjoy in our personal relationship. i said something about it previously. personal relationships are very important, especially when you speak about the building of interstate relationship. and the relationship with clean the government's and the personal relationships are on the same level -- positive --

that is always good for the relationships in your countries. speaking of the attitude toward the american people, they are friendly. i do not see any negative problems there. when there are negative signals sent by the states, these reflect on the moves of the ordinary people. for us, the best relationships between the countries are more -- the more empathy people have toward each other in different countries. we touched upon different things in our meeting. the relationships between our countries have no ups and downs.

there was a strategic partnership between -us. now we also have a feeling that a lot depends on our relationship, and the success in delivering on all those expectations on different fronts. a lot depends on our efforts. bear in mind, our people have always had empathy toward each other. >> thank you. i have a question to both presidents. russia and the u.s. are the largest nuclear powers in the world, accounting for 95% of warheads.

you have been working on the documents for quite some time. in fact since the 1970's. do you think you will be a bull tble to have this situation undr control? >> the non proliferation problem is very important for our country'ies because we have and share the largest burden in the area of non-proliferation. we do have the major nuclear arsenals. we have full responsibility for those arsenals. i totally agree with you. there are negative trends in the world. they are due to the emergence of the emergence of new nuclear players. some are not officially members of the nuclear club, but they

have aspirations to have nuclear weapons, and declare so openly, or by doing it clandestinely. it has a very negative bearing on the world. there are regions around the world where the presence of nuclear arms would create huge problems. these are areas where we should concentrate our efforts together with our american partners. those areas are well known. there's no sense in naming them, but it is quite obvious. on the situation of the middle east, it will determine the climate throughout the globe. it is our joint responsibility and we should make our utmost to prevent any negative trends. we are ready to do that.

our negotiations with president obama have demonstrated that we share the same attitude toward this problem. >> well, i think president dmitry medvedev said it well. this is an urgent issue, and one in which united states and russia have to take leadership. it is very difficult for us to exert that leadership unless we are showing ourselves willing to deal with our own nuclear stockpiles in a more rational way. that is why this agreement. is so. -- that is why this agreement is so important. i'm hopeful that we can reduce our nuclear arsenal by as much as 1/3, and hopefully can improve even beyond that in subsequent agreements and treaties. the critical issue that president dmitry medvedev identified is the fact that we

see a pace of potential proliferation that we have not seen in quite some time. and he mentioned two is the seventh areas. in the middle east, there is deep concern about iran's pursuit of nuclear weapons capability. not simply because of one country wanting nuclear weapons, but the fact that if iran obtained nuclear weapons, it is almost certain that other countries in the region would then decide to pursue their own programs. we would then see a nuclear arms race in perhaps the most volatile part of the world. in the korea peninsula, we have seen north korea flout its own commitments and international obligations in pursuit of nuclear weapons. in all of these cases, the

possibilities not only of state doctoractors targeted populatioh nuclear weapons, but the possibility that those nuclear weapons could fall into the hands of -- extremist of it poses an extreme threat to both united states and russia. i am pleased on the progress we've made so far. in the back of the of a joint threat assessment in terms of -- the fact that we have a joint threat assessment in terms of ballistic missile capabilities and nuclear-weapons could pose to our countries, that we will be conducting a review of that and making assessments to find ways that the united states and russia could cooperate more effectively. that will be very important. continue to pursue the cooperation that is already existing between united states and russia on loose nuclear

materials, and making sure those are secure, that is important. structure in a new reinvigorated non-proliferation treaty that applies a set of rules to all countries, allows them to pursue peaceful nuclear energy without having the capacity to weapon is that a nuclear capacity. that is very important. we have suggested global nuclear security summit that we intend to host next year. i president medvedev discussed president -- i discussed with president medvedev the strong possibility that it could be hosted by brushup, where we bring all the countries together to start making progress on this critical issue. -- that it could be hosted by russia.

>> thank you. deep divisions over a proposed u.s. missile shield have contributed greatly to the deterioration of u.s.-russia relations to read it does not seem that you gentlemen have president obama resolved that president -- president obama, you have said they would not accept the linkage of the missile systems and arms control talks. president medvedev, you and prime minister putin have said that these issues must be linked. are either of you willing to compromise on this issue? if not, could this contribute to an obstacle to reaching a final start to agreement? president obama, can you give us your reaction to the chinese government crackdown in the northwest of the country on my

team that has killed more than 140. >> with respect to the china situation, unfortunately, i have been traveling all night and in meetings all day. i do not want to comment until i see all the information. i assure you that our team will get a statement to u.s. and as i have been able to do that. on missile defense,we have agreed that we are going to continue to discuss this critical issue for. that is part of the joint statements that we assigned. -- that we have signed. it is entirely legitimate for our discussions to talk not only about offensive weapons systems, but also defensive weapons systems. part of what got us through the cold war was a sufficient sense of parody and deterrent

capability that both sides during those very difficult times understood that a first strike could result in an extremely heavy price -- sense of parity and deterrent to the abilitcapability. the difference we have had has been on the specifics of thougha missile defense system t the united states views as a priority not to deal with russia, but to deal with a missile coming in from iran,

north korea, or some tother state. it is important for the united states and its allies to have the capacity to prevent such a strike. there's no scenario from our perspective in which this missile defense system would provide any protection against a 90 russian arsenal -- a mighty russian arsenal. in that sense, we have not thought it was appropriately discussions of a missile defense system designed to deal with an entirely different threat on related troop-- unrelated. having said that, president medvedev has been clear that this is a point of deep concern and sensitivity to the russian

government. i suspect when i speak with prime minister putin tomorrow, he will say the same thing. what we'd like to do is to work with russia to advance a system that insures that industry missile coming from a third source, that we have the capabilities to prevent those from doing damage. i think we can arrive at those kinds of understandings, but it will take some hard work because it requires breaking down longstanding suspicions. with respect to this particular configuration that was proposed several years ago, as you know, we are undergoing a thorough review of whether it works or not.

that review should be completed at the end of the summer. i indicated to president medvedev that as soon as that review is complete, we will provide the russian government our assessment of how we think we should proceed. that will be the subject of extensive negotiations. i think the more progress we make on some of the issues that we discussed earlier, nonproliferation, being able to track ballistic missiles coming from other sources, to the extent that we are building deeper cooperation on those fronts, i think the more effectively we will be able to resolve this issue. i believe that over time, we will see that the u.s.-russian positions on this issue can be

reconciled, and that we have a mutual interest in protecting both of our populations from the kinds of dangers that weapons proliferations is posing today. >> i will say a couple of words on this subject. of course, anti-ballistic missile defense -- not ballistic missile defense, but the problem of the certain area is a difficult subject for our discussion. i would like to draw your attention to what president obama said and i would like to point it out myself. our mutual understanding has just been signed. we talked about the linkage between offensive and defensive weapons. it already constitutes a step forward. some time ago, on this question, we have only differences.

now this linkage is stated and it opens the opportunity of bringing positions closer to each other. secondly, nobody is saying that ballistic missile defense is harmful or is posing a danger. it is aimed at resolving a number of practical tasks. the question is, of leaking these configuration of missile defense -- lee gained these configurations of missile defense. unlike what was happening in recent years, they are taking a pause and studying the situation as a result of -- they will formulate their final position. this is also a step forward in reaching possible compromise on this fairly difficult subjects. we just heard before that all

decisions have been made. they do not concern you. they presented no threat to you. our position is somewhat different. you are familiar with it. i'm not going to say it again. our understanding is that these decisions to concern us and we will have to come to terms on this. we realize fully well that the number of threats, including the link to the medium-range and ballistic missiles is not diminishing, but is rolling in numbers. we all have to think of what configuration. during our meeting, i mentioned to my colleague this. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- >> last question. >> good evening.

the question is to both presidents. you spoke about your concern about afghanistan. can you be more specific? what do you think about the situation in that country? there's a feeling that the counter terrorist operation it is having difficulties in afghanistan. to what extent does the cooperation between the u.s. and russia help improve the situation in greater detail, please? >> the subject of u.s.-russian cooperation in afghanistan is extremely important. we have just signed an agreement that concerns transit. it is an important subject and we will continue cooperation with our american counterparts. as concerns the current situation, it is not simple.

i have not tried to say that it has been were senorsened, but we the efforts that are being made by the united states together with other countries in order to prevent a the terrorist directed that was emanating and is still coming from the afghan soil. we are prepared to a full-scale cooperation with u.s. and other partners, including nine transit areas. we are prepared to help in various aspects. i do not know to what extent how quickly this situation will improve. it depends to a large extent of the development of the system in afghanistan, achievements in economy, and it is not a simple

task. we are prepared to continue our efforts in consultation with the afghan side. i met to the president of the country in the president of pakistan. both of these problems have to be resolved together. if we can join our efforts in the economic field and in terms of support of counter terrorist operation, the success will come sooner or later. in the final analysis, the success will depend on the maturity of the afghan state. >> as you may be aware, as soon as i came into office, we undertook a thorough review of our afghan strategy in consultation with not only our nato allies, but all of the

forces internationally that have contributed to the efforts there. we concluded that we have not made as much progress we should have given the direction in which we have been in afghanistan, and we could improve it. our approach has been to say that we need to have a strong security system in place for the afghan elections to be completed. we have to train afghan nationals for the army and police so they can effectively secure their own country. we have to combine that with more affected diplomatic efforts, and we have to focus on development so that, for example, the people of afghanistan do not have to grow poppy, but have other crops and goods that they can't make a living with.

-- that they can make a living with three we have just begun implementing this new strategy, so it is early to gauge its success so far. by the time we have completed the next election and either president karzai or another candidate has taken his seat, then we will be able to dsee wht additional efforts we can take to improve the situation. russia's participation could be extraordinarily important. russia has its own concerns about extremism and terrorism. russia has deep concerns about the drug trade and its infiltration into russia.

russia has extraordinary capabilities when it comes to train police forces, training army's, and so our hope is that as part of the rotor structure that we put in place, that we will work to discuss both the military efforts in afghanistan, but also the development efforts in the diplomatic efforts so that we can make progress. president medvedev is right that this is important for afghanistan, but it is also important with respect to pakistan. we're going to have to think regionally in terms of how we approach these problems. obviously the countries along the border but are of deep strategic importance, and it is important that we also include them in these conversations. i just want to thank the russian government for the agreement for military transit that will save u.s. troops both time and money.

it is a gesture that indicates the degree to which in the future russian-u.s. corporation can be extremely important signs of a host of international issues. thank you very much. >> thank you. [applause] jane: live from moscow. offering some details, president obama and president medvedev on preliminary agreements that have been reached on hugely important topics. we also heard president obama asked by a reporter from the associated press if the trust president medvedev. major garrett, what did you hear? >> the president says that he does trust president medvedev.

he dodged the question of who is in charge. he said, as i understand it, president medvedev is the president and prime minister but it is the prime minister. it is a crucial question. he will meet with those. many u.s. officials say you cannot get anything done with the russians unless you have the agreement of both prime minister put an end president medvedev. at the end of the press conference, you heard something that was very important to russian ears. the president of the united states said russia's involvement is crucial to dealing with a wide variety of world problems. president medvedev said that if there was anything that constituted a resetting of the relationship between united states and russia. president medvedev and prime minister putin -- elevated back on the world stage by this

american president is very important. jane: this preliminary deal on nuclear stockpiles, the stockpiles of warheads. what has to be done in order to make that a done deal? >> it is a commitment to continue talking about the pursuit of a numerical agreement for both countries to reduce their current stockpiles of operationally deployed in nuclear warheads, about 3000 on each side. although, on the u.s. side, there is a much better condition. in russia, many of the nuclear warheads are deteriorated. we have a commitment to reduce stockpiles to between 1500 and 1675. also in agreement to try to reduce the number of delivery systems. that is, missiles, submarines, and long-range bombers from the current threshold of 1600's to between 500 and 1100.

this would be the first significant reduction in several years. president obama believes this kind of arrangement gives him and russia more credibility when he talks to iran, north korea, and other nations perhaps seeking nuclear weapons to discourage them from doing that. both of the u.s. and russia are open code dealing rationally with their stockpiles, and therefore you should not gain any for yourself." jane: major garrett will continue to report on that throughout the day. thank you. rick: we are following a big one in south florida. there's a manhunt underway. as many as three armed men, who were all dressed in black, opened fire at a birthday party. there is chaos on the scene. it happened in the early hours of the morning. we will talk to the police when.

rick: and intense search is underway on in miami. three gunmen stormed into a birthday party and opened fire. the miami chief of police to invest in our studios -- chief of police joins us in our studios. have you got any leads?

>> this was kind of a block party, a birthday party outside somebody's house. the party has really ended. they were still milling about. three men dressed in black, it carrying a gun, came up. they had one intended based on. they sprayed the crowd and wound up wounding 12 people, two seriously. they fled the scene. there was a gunbattle shortly thereafter to somebody in the crowd may have had a gun. in any event, the detectives have been out there all night and all day trying to find some leads. rick: what do you know about this birthday party? what part of town was this? is this a problem area? >> no, it is in over town area.

there have never been issues in this housing development. the party was a legitimate party for a 18-year-old. there was at least one person who was the intended target of these three individuals. when the bullets came out, it was a chaotic situation. rick: when your men arrived on the scene, they were sesurprised by the number of casings. how many shots fired? >> we found a lot of casings at the scene. as we did a bigger canvas, the last time i looked, well over 100 rounds, and about four or five different locations. indications of at least one ak- 47. these people were heavily armed. rick: you have a lot of witnesses.

people who were out the birthday party. what kind of information were you able to get? did anybody get a good look at these three men? >> that is all been sorted out. as you can't imagine, people fled the scene in a panic, including some of the people who were shot and wounded, not seriously, they wound up driving themself to the local hospital. the detectives are in the process now of coming up with some witnesses. we have a few people at homicide speaking to those individuals. we will see where that takes us. rick: they were dressed in black. i'm just wondering about gang activity in this area. do you believe they were dressed in black to disguise themselves? >> yes, my sense is that they were not part of a known gang.

there are some drug crews on the fringes of those neighborhoods, but no known gangs in the neighborhood. we're leaving think open right now, but my sense is that this case should be closed sooner rather than later. rick: let's hope so. chief of police for the city of miami, john timothy. jane: a hearing is underway for who will control michael jackson's estate. his family is raising some questions about the will that would put his assets under the control of two executors'. what is at stake and who stands to gain? (voice 1) we've detected an anomaly...

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rick: breaking news in the michael jackson story. a hearing is underway over who will control michael jackson's estate. this just in, the judge has denied michael jackson's mothers claim to making her executor. adam housley, what does this mean? >> the hearing is wrapping up as we speak. the judge asked the attorneys on both sides of the had the chance to meet. they both said yes. they could not come to the agreement. katherine jackson was arguing that the will should be put on hold because they were worried that the money that michael jackson may bring in right now with the record sales that are going to the road since he passed away, and with the possibility of a dvd and all the possibilities are out there with this performance that was taped two nights before he died, they

say they do not want them money misused. the judge says it cannot be put on hold. under california law, he said he was compelled to follow the will. all sides agreed that they could not find a new world wiler will. the judge says he was compelled to name both those men the executors' of the will to they are now basically in charge of the majority of michael jackson's estate. katherine jackson does have a small portion of control. these two men have control. they say the next hearing on august 3, which will determine the custody of jackson's children, they will be able to argue that. the attorneys for katherine jackson said they should wait because that time frame between now and august 3 is a long time frame in their mind and they are afraid that money could be misspent or misused, and things might be screwed up, for lack of

a better term. rick: adam housley, thank you very much. jane: what is at stake? it is a state could be worth far more. one report values neverland at $33 million. it also said he had $20 million in cars and collectibles and other property. crown jewel is a 50% stake in the sony/atv music publishing catalog. a state attorney joins us now. alexis, the first question i have to ask you -- when he died, that was one of the first things we heard, but he was out of debof money.

when you add up what he has to come, he is a very rich man. >> he is a very rich man. the judge did the right thing. they are in the best position to increase the value of his assets now. they can start negotiating and entering into licensing agreements that will generate huge amounts of money for the state three michael jackson is worth more sees to that he was alive. jane: in the theater, some have suggested that the death of elvis presley presents a template for what the jackson family could do going forward. >> that is right. there will be licensing and all sorts of arrangements made with possibly unreleased music, reinventing music that has already been released, and the man who arranged credit

arrangements in the past -- he will continue doing that. he is in the best positioned before the state and for the kids. we do not know if they are the beneficiaries of this trust, but we expect that they are, and all of this will go to their benefit once the creditors are paid off. it appears there will be plenty of money to pay back the creditors and have lots of money available for the family and to continue this legacy. jane: adam housley just gave us an update from court. michael jackson's mother, katherine jackson have filed a petition that was denied for now. what is the families reasoning? they are not challenging this will, right? >> i do not get their reasoning. i feel it is an emotional reaction. she is a mother. this is her letting go of her son. she is very caught up in the motion. she has to be.

there is no legitimate reason why he should not take control of the state. he has made all of these great deals for jackson in the past. there's no reason to think that he would squander the assets at this point. he is really the best one to take over the estate at this point. as a mother, it feels like it is an emotional reaction. jane: what is in it for the executors'? >> there's a lot of money. they are all going to be paid by the estate based on the percentage of the total estate assets. there are millions of dollars at stake here for the executors'. they will be rewarded handsomely. jane: thank you for your input. rick: when we come back, the governor of alaska sarah palin setting off a political bombshell right before the start of the holiday weekend by

announcing she is stepping down. if she resigning to avoid being a lame duck and to help the people of alaska, or is there an even grander plan for the governor? a closer look at sarah palin's .

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jane: in south carolina, and an intense hunt for what they believe is a serial killer on the loose. the suspect is said to have gunned down five people and three sheparseparate shootings. we are looking at a picture of a 15-year old, the latest victim. she died of gunshot wound over the weekend. the gunmen killed her and her father while they were working in the family store. more than 100 law enforcement officers are working this case. the reward for information on this killer has risen to $20,000. james taylor is the city

administrator in the town of da. what is the very latest? >> the police officers are chasing down each and every lead. i am not at liberty to discuss any of those leads at this time. they are working very hard to at chasing down each and every lead. every lead is important. we encourage citizens to report anything they might think is of significance. it might be just the thing that law enforcement needs to help solve this case. jane: i know that some people have canceled a fourth of july celebrations because they were concerned. this person seems to be shooting at random. are these victims random? >> that is what law enforcement

is leading us to believe. they know they are connected to a single individual. they do not know anything other than that at this time. jane: what are you telling people in your community? >> to be vigilant and to be safe. lock their doors. do not allow strangers to come in. look out for each other. just be watchful. and again, report anything that they see. no matter if they think it is insignificant or not. jane: the sheriff has asked door-to-door salespeople to stop knocking on people's stdoors. he worries that people will start shooting at shadows. >> i do share the worry.

there's fear in this community. i think that is very good advice from the sheriff. there is fear in this community. jane: james taylor, we hope you have something good on this person today. again, a $20,000 reward. if you know anything, call 911. >> thank you. rick: critics and supporters of alaska gov. sarah palin are trying to figure out her reasons behind her big announcement that she made on friday, that she would be resigning. the former republican vice- presidential nominee said she will step down july 26. issue looking to get a headstart on a national campaign, or ricci leaving behind the increasingly hostile political climate in her home state? the washington correspondent joins us now. thank you for jeunesse. i know you've had reaction with

the governor. what is your take on this? -- thank you for joining us. >> it is interesting how people are speculating. everywhere you go, someone grabs you by the sleeve and says what is going on the with the governor. until she gets some more hence, we are all in the dark. she talked about wanting to save money for the state of alaska because of all these ethics investigations. she talked about her family and concerns over attacks on them. just like everyone else, i'm waiting to see what happens next. the crux ofrick: this is a womat became such a public figure so quickly, seemingly out of nowhere, and she has been treated harshly by a number of members of the press and

entertainers. we have mentioned that things have gotten bad for her at home in alaska. how tough has gotten for the governor in her own state? >> on the national scene, governor huckabee said yesterday that the kitchen is hot. if it is hard to take at the state level, is even harder of the national level governor sarah palin was received with a mixed reaction after she came back from the election. some of the people of alaska are confused and even angry. they thought she was in this for the long haul. gov. sarah palin left a void by not telling us for new plan. that is perhaps why the blog osphere has been filled with speculation. i think people are eager to hear what she is doing next. rick: there are other media outlets that have been mentioned

in a promise from gov. sarah palin's attorney that anyone who prints these rumors, that she will go after them legally. what are people say you? what are these rumors about? >> the fbi came out with a statement yesterday saying they are not investigating governor sarah palin. the fbi does not normally talk about an investigation or a lack of investigation. that was a strong move. people are trying to figure out why the governor did this. she talked about wanting to save the state of alaska money, and also feeling like a lame duck. you have to go online and check out what the blogs say. we are playing the waiting game and we are trying to figure out what will come next for her. the big question is what is next for the state of alaska. the lieutenant governor has a

big job now. we are trying to watch the transition. the main way we are finding out information is actually on twitter and facebook. she has been updating her status, talking about going fishing with her family. rick: i imagine that the governor's supporters would applaud what she has done. she was nicknamed as a maverick. you cannot think of something more maverick. what about the independents and some of the other people across the aisle? what are you hearing among independent voices in washington and back and alaska? >> even among republicans, the reaction is mixed. the senior center of alaska came up with a tough statement. she said she was deeply disappointed. she said the governor was abandoning the state of alaska.

democrats in alaska are probably happy to see governor sarah palin move on. it was a very unexpected move. no one was calling for her resignation for any particular reason. as karl rove said yesterday, this is a risky move. it could pay off big time, or it could be a tough thing to do to put a top job in the state of alaska. where does that leave her to go next? rick: i guess we will have to log on to twitter. thank you very much for joining us. jane: speaking of blogs, our question of the day, what do you think sarah palin should do? we got a bunch of responses. first from ohio -- james says --

we have a bunch of dancers on our blog -- have a bunch of answers on our blog. you can join the conversation at foxnews.com/happeningnow. rick: a lot of reaction. when we come back, president obama making a historic visit to russia today in the grand halls of the kremlin. the two leaders reaching an understanding over nuclear arms reduction and other important issues as well. will it be enough to repair what is described as strained relations between the u.s. and russia? we will have the latest on this developing story when we come b. and other risk factors... increased my chance of a heart attack. now, i trust my heart to lipitor.

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trace: if michael jackson stands to make tens of millions in death, why is the state of california have to pick up his funeral tab to the tune of millions of dollars? martha: it is bizarre. it begs the huge question, why don't they just say no to the jackson family? and the other big question, sometimes people tried to sneak something in under the radar on a friday afternoon.

if you do it on the fourth of july -- not so, sarah palin. she is still the subject of a huge amount of wondering what she will do next. bill kristol will weigh in. it should be very interesting. we will see you then. jane: harris has been watching a massive fire in wisconsin. what is going on? >> i just got a text message from the mayor of a town just outside of the lucky. they will hold a news conference at noon, o'clock p.m. eastern. they have massive evacuations. people have been told to get out. they have police killing door- to-door as much as 1 mile away from this fire at this meat packing plant. they are afraid that there could be an explosion that could be dangerous if not deadly for the people.

mandatory evacuation is foreseen this news conference. that is coming up. the other big story is a tanker spill the shutdown i-95. this is in newbury port, massachusetts. the tanker is leaking fuel into the river. state police say several people have been injured in this crash that happened a while ago. they are still getting a clean up. thousands of cars. i will keep my eye on both of these stories. back to you. jane: thank you. rick: we have video from washington, d.c. the brand-new minnesota's center elect -- senator elect al franken. they will be holding a news

conference. he will be officially sworn in tomorrow. the former "saturday night live" cast members as he sees himself only as the second senator from the state of minnesota, but also the 68 democrats vote, which makes the senate filibuster proof. jane: a lot of news out of president obama's news conference in moscow with russian president medvedev. the big headline, the two of them have a preliminary deal to reduce their countries' nuclear arsenals. >> first, we have taken important steps forward to stop the spread of nuclear weapons. this starts with the reduction of our own nuclear arsenals as the world's two leading nuclear powers, united states and russia must lead by example and that is what we're doing today. jane: what does this mean for

relations going forward? let's talk to the former ambassador to the ukraine. the president was first asked by an american reporter if he trusted the russian president. it is interesting that he said he did. what are your thoughts on that? >> the big news from moscow today is after six years of declining u.s.-russian relations, there is positive momentum. they are putting achievements on the agenda. that can help build confidence between the two leaders. jane: he did not predict early answer the question. the second part of the question was about who is in charge. is it actually president medvedev or is it prime minister putin? who is in charge? >> president medvedev, in protocol terms, is the high ranking, but most analysts say

there's a strong relationship between putin and president medvedev. from the perspective of the u.s. government, this is not something that president obama will be able to influence. his assumption has to be that they agree on the policy. given putin's position, it makes sense that he will see him separately tomorrow. jane: going back to the issue of trust, how do we verify that they will cut, if this deal goes through? >> this will be the tough part of the negotiations from here on out, coming up with verification measures that did each side confidence that they do not have to trust in word, that they're able with their own inspectors to monitor the other side's appearance to the agreement. the 1991 treaty had a lot of their vacation measures, hundreds of pages. the treaty signed by

president bush and president putin had no verification measures. sounds like they're going back to that 1991 document and trying to bring in some of the verification measurements into the new agreement. they will have ways to check and inspect and verify. jane: good to see you. thank you. rick: when we come back, the newly reborn chrysler is putting another piece in place on the road to recovery. what this means to our struggling economy when we come back. . i could get up easier, like now, that i took aleve. see, i could get up. see how-- see? whereas if i did not have it, i would, uh, like this, oh-oh-oh. only two aleve can stop pain all day. that would take six tylenol arthritis pain. this feels good! ( laughing )

jane: a federal bankruptcy judge has approved the general motors's plan to sell its assets. the sale will allow them to

leave behind that assets that have been dragging them down. it could help the company quickly emerge from bankruptcy. the treasury department has vowed to cut off funding if the deal does not occur by friday. hundreds have objected to the sale. the chicago firm is representing those who have filed paperwork against the company. we will keep you updated. rick: staying with cars, and the new board of directors of chrysler. they will be in charge of bringing the company back to profitability. jeff flock is with us. who makes up this new board? >> these are the people that will be forging a new vision of chrysler. it is really the fiat guys who

are running into. it is a nine-member board, by the way. the former ceo of northwest airlines, who was credited with turning it around, he is another member of the board. ronald thompson owned and developed midwest stamping company. he is on the board, too. you may remember jim blanchard, the former two-time governor. rick: is there any sense of what kind of new direction this board is going to move chrysler board? >> -- toward? >> this is pretty unique because the government pointed, for example, the head of the board.

fiat got to elect two members of the board. the united autoworkers retirement group also has a member on the board. they appointed jim blanchard. it is a unique mixture of people on this board. maybe it will be good, who knows? rick: thank you. jane: the michael jackson memorial is tomorrow, in case you did not know. it is set to start tomorrow at 1:00. today, people have been receiving their tickets. more than 1 million people have a ticket to this memorial at the stables center. -- staples center. now some of them have ended up on the ebay. can you guess the price?

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jane: we have been watching pictures of dodgers stadium this morning. that is where the people who want tickets to the michael jackson memorial will be picking up their tickets. some of them have ended up on ebay. courtney friel is here to tell us about the price. >> first of all, 1.6 million

people registered. 8000 fans were notified that they received a ticket. i have been searching on the internet, and they are listed for hundreds of thousands of dollars right now. i have spoken to ebay officials and they are not allowing this item to be sold. if found, they will end the auction. on craigslist there are all sorts of listings of people looking for tickets. some are claiming to donate the money to charities. some are including a limousine, food. i spoke to one woman who said that she could not go but wants to give her tickets away to a true