miniskirt, and high heels. organizers threatened to sue if nothing was done, but now the¤ 3 have decided to censure him. bill: a great looking head of hair. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- >> laura ling and euna lee. jon: a four-month nightmare now over. good morning to you. the two american journalists you see there arrested in north korea and sentenced toç hard labor, back now on american soil as their emotional reunion with their families is still underway. we are learning how their release when the hon. >> 30 hours ago, euna lee and i were prisoners in north korea.

we feared at any moment we could be sent to a hard labor camp. then suddenly, we were told that we were going to a meeting -- we were taken to a location, and when we walked through the doors, we saw standing before us, president bill clinton. [applause] we were shocked, but we knew instantly in our hearts, that the nightmare of our lives was finally coming to an end. jon: jennifer griffin is live

with us. who won? >> it is cleared kim jong il in the north koreans have one. for years they have wanted some legitimacy for their country. america has always said they would only talk to them in six- partyç talks, including our allies. kim jong-il got what he wanted, a former american president. as much as the white house and secretary of state say that there was no quid quo pro, and that president clinton was there on a private mission, -- it may have been a humanitarian issue, but even u.s. officials are telling us that he was given a briefing by cia and others before his visit. he was briefed on the latest with what they were doing, and

there is no doubt duringç that three and a half hours with kim jong il, the issue must have come up. jon: is it possible that they held these meetings and did not discuss these issues? >> look at who met bill clinton. the deputy foreign minister who has been in charge of nuclear negotiations. he was very prominent. also, the north koreans, they broktwittered about this visit. they did not give much detail, just saying that president clinton came. the administration is trying their best to decoupled this visit from the nuclear issue. when you run your own

state news agency, you can run what ever you want, and this was a victory for kim jong il. jane: how did we get to this point? in march they were on assignment for current tv, working along the border in china. it was on march 17 that north korean border guards arrested them, charged with entering the country illegally. their trial began on june 4. four days later they were sentenced to 12 years of our neighbor. the verdict sparked outrage. on the 16th of june, we got the announcement that these two accepted and admitted their guilt. less than one monthç later, secretary clinton appealed for amnesty. then we learned that former

president clinton arrived in pyongyang and a deal had been worked on. now they have been pardoned and are back home. they are being reunited with their families, and we expect an update soon. jon: now to iran where mahmoud ahmadinejad was sworn in for a second term today, as opposition groups took to the streets to express their outrage over what they believe is a recollection. -- raymond election. ç-- rigged election. it is getting off to a bad start with at least one of the five men in australia plotting to gun down a military base. he refused to stand during the

proceedings or even enter a plea, house saying he will only stand in front of allah. police say he has ties to al qaeda into malia. -- in somalia. jane: we are awaiting president obama who is traveling to elkhart county, indiana, to announce the investment of stimulus funds developing the next generation of batteries and vehicles. this is his fourth visit to the area. the unemployment there is twice the national average. we are live there. we are at the factory where the president will be speaking. how bad are things? >> this part of northern indiana has been crushed by the recession. when you make rv's, and gas

prices are high and the economy is poor, people stop buying. 16% unemployment in this region. obviously, an area where the white house feels is an example of the extreme pressure we are going through now. çjane: stimulus money, what are they going to use it for? >> next generation batteries. we have heard the president talk about creating green jobs, future jobs. he is here today as well as vice-president biden and other cabinet members fanning across the midwest to announce what these communities will be getting. jane: his fourth visit in 15 months. that sounds unusual for a president. 5iju chopping for

-- shopping for rv's. >> that is right. he heard firsthand about the problems here, and put the nation's problems here in the spotlight. it is unusual for the president to visit the same place in a few months, and this is his attempt to show that he really cares about the people of indiana. jane: thank you. jon: finally some positive news about jobs. let us check on wall street for you. down about 85 points. jenna plea. -- jenna lee. >> we have to put this in context. we have a big dog report on friday.

what we see today are private service giving us a preview of what we could see on friday. we are seeing layoffs slow down. in july they were at the slowest pace in nine months. also, there are fewer job cuts announced by employers. that is also a good sign. it did mention that in the private sector we sell more than 370,000 job losses an. combine that with the americans who have lost their jobs since the recession began and you have 6.5 million americans who are of of work. the market could be expecting this, although we are in negative territory, coming off of a pretty strong session. this will be a big story coming into the end of the week.

jane: newç details about a shooting at a gym in the pittsburgh area. 48-year-old george sodini shot and killed three women before killing himself. he walked into an aerobics class with a double back and started firing. we are getting word that nine other women who were hurt, two critically. he kept a blog where he talked about rejection withç women, alcohol, and he detailed some of this plan. he said that he had tried to do this before twice but chickened out. jon: california wildfire season is in full spring with the number of outbreaks already beating the total of last year. a brush fire erupted between los angeles and glendale. 40 acres burned but there were no injuries. thousands of firefighters also

in shasta county where wildfires have caused the evacuation of two world towns. this could be one of the worst fires seasons in years. jane: investigators are trying to find the cause of a massive fire that started at an oil company, about 65 miles out of detroit. oil drums in the building exploded. the thousand people who live near the facility had to leave their home for awhile, but thankfully no one was hurt. jon: hours after president clinton arrived in north korea, this picture emerged. we had gotten word that the north koreans they were holding had been pardoned. perhaps they want to improve their behavior? jane: a multimillion-dollar lottery scam spreading all the

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jon: american victims of an israeli-based crime. a phony lottery scheme targeting the elderly people. 11 people are in custody after hidden cameras were set up by israeli police. they say suspects pretended to be from lottery sweepstakes companies and would call people convincing them to send thousands of dollars in taxes and fees so they could receive their winnings, which never arrived. we are following the story from our jerusalem bureau. >> you are right. you cannot really2ájjz of israel as a haven of scam artists, especially targeting americans, but that has turned out to be the case. >> i have you listed as winning

$500,000. >> it is called the nigerian sting, except it is done from israel. this scam swindled $25 million from elderly americans. the phone calls were made from an office in tel aviv. >> we have never lied to anyone. >> they received the phone numbers from legitimate lotteries looks like these which were sold for marketing purposes. they obtained the personal details of 185,000 americans. the suspects, if convicted in the u.s., could face decades in prison. the fbi worked closely with israeli authorities and they planted in cameras. the u.s. wants the suspects extradited. israeli officials credit the

teamwork between u.s. officials and people on the ground here. they say whatever decision the court makes will be very important because they believe scam artists will be watching to see if they can get away with this. jon: thank you. jane: we want to bring you some news about these two american journalists freed from north korea. robert gibbs said that president obama spoke with former president clinton for a few minutes after they landed this morning. we are told that mr. obama thanked him for doing a great job. president obama spoke to the media(btt made no mention about the tense relationships between the u.s. and north korea. >> i think president clinton. i had a chance to talk to him about the extraordinary humanitarian effort that resulted in the release of the

two journalists. i want to thank vice-president al gore who worked tirelessly in order to achieve a positive outcome. jane: the two worked for a television channel run by al gore. with me now is the director of the career working!wroup at the peace institute. i have heard people say that this is north korea looking for a fresh start. what is really going on? >> from the north korean perspective, it is more of a continuation. they have wanted a visit from someone like former president clinton. there were prospects of his visit after his secretary of state madeleine albright visited. president clinton once hosted the senior military official in the white house as well. jane: does this bring north korea back to the table for negotiations? >> the bar has been set.

if you look at the obama administration, it is all about six-party talks. this is something that will be continued, going forward. jane: bill richardson, someone who had previously had americans released had something to say. >> this incident gave the north koreans and opportunity to use them as a bargaining chip. that has happened before. the north koreans are very good at getting bargaining chips like this. we get them back, tensions are lesson, and everyone wins in a small way. game, not everyone agrees with that. do you agree? -- jane: not everyone agrees with that. >> his visit was based on a

humanitarian effort. with respect to denuclearization, there is a great deal of work to be done. the focus now needs to be how to get them back on track to an agreement that they have already signed. jane: thank yot> we will be right back. don, just ahead, more on the release of those -- john, just ahead, more on the release of those injured left -- jon: just ahead, more on the release of those american journalists. [ bottle #1 ] oh hey, hey...

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jane: have you seen these pictures of the reunion of euna lee and laura ling and their families? i hope we have those pictures.

they were held in north korea for many months. that girl is her 4-year-old. she has not seen her since march. we have a reporter outside the home of laura ling and was able to talk to her sister,ç lisa. >> they arrived just after 7:30 this morning, a short ride from burbank. it is a quiet home here in north hollywood. they tell me laura is hungry, she has lost a lot of weight. it was a short ride, so conversation was extremely emotional. they have not really had the opportunity to talk about the specifics of her captivity, but they will spend a lot of time getting reacquainted, talking

with one another, and feeding her. çjane: thank you. we will get back to you as things develop. jon: president obama is in indiana, announcing they are in line to receive billions in stimulus spending for things like new batteries. when it comes to his programs, he is having trouble getting key lawmakers on board, so he is going back to a campaign strategy, taking his message directly to the people. so if he is having trouble selling his agenda to lawmakers, can he expect this grass roots approach to work? with me now is a former democratic director of the democratic national committee. we also have a former

spokesperson for george bush. president obama is a master of these new communication techniques. the you think this approach of going straight to voters -- do you think this approach of going straight to voters will work? >> i think so. he is a master of communicating, as we saw in the campaign, what his message is, it is idea of prosperity for the middle-class. he need to continue to talk about all his administration has accomplished, which had been a lot, but also need to talk about the challenges ahead. one thing the american people understand is the depth and breadth of the economic conditions that we inherited. he was able to pull us out of that a bit, but it will take more than six months to fix. this is the message he will

continue to communicate. he willç continue to ask for their patients. -- patience. we have been getting some good numbers with housing and an appointment. jon: i have a feeling pete is going to disagree. >> we hear this over and over again that president obama inherited this economic recession. it is just amazing that he keeps going back to this. the stimulus had done nothing to help our economy now. it isç ironic he is coming back to elkhart, indiana, a place with a 20% unemployment rate might now, to tout what he has done for the economy. it is interesting that he is coming back there to try to say that he brought us back from the brink when they are suffering so

badly. jon: it does seem that president obama was in the rush to pass health care. if he is a master of going to the people in using these technologies to get his agenda passed, why is he pushing the senate to vote health care in before they left for recess? many said it was to avoid getting an earful when they went home. >> you have heard him say directly, if you do not set deadlines in this town, nothing gets done. there has been a lack of effort to reform health care for the past 60 years. frankly, and lot of people, including republican lawmakers, are satisfied with the status quo. they do not want anything to change. president obama promised to change. we all knew it would be difficult because it is an uphill battle here in this town.

that is why he pushed for a deadline. he understands it is a huge endeavor, and he understands it is time for people to -- it is time for legislators to hear from their constituents. he is fine with that. he is going to get his message 1e to the american people. jon: the last polling numbers i saw indicated that people were slightly against revamping the health care system the way he want to do it. if he takes his message to the people, can he win those voters back? >> i think we are suffering from an over-saturation of the president. the white house knows he is very popular personally, so they are putting him out there more and more. you look at the ratings numbers of the press conferences he has çdone, and they have dropped

dramatically with each conference. the deadline was said, by the way, not because things do not get done in washington. it was set because members did not want to go back to their constituents and hear them complaining. you are seeing this around the country. they are complaining about the government getting involved in the auto companies, health care, trying to raise taxes on energy use. john, thank you. we will keep discussion going. jane: this story is beyond outrageous. a mother and her minivan is packed with kids, driving the wrong way on a major highway, and of killing herself, five children, and three others. new information about why she was driving like that -- her

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jon: the senate is getting ready to vote on the cash for clunkers program. how much did the program benefiting the american auto

industry? the government set aside $50 billion to help people avoid foreclosure and keep people in their homes, but the program is only helping a small fraction of homeowners. shocking details about a horrifying car accident. eight people are dead. now we know the mother who was driving was not only drawn, but high on pot. jane: the senate is holding final meetings on health care before they leave for the august break. public support has been dwindling for this. they are preparing to get an earful from constituents back home. molly henneberg is with us. update us. >> today said the democrats will have a caucus launched to meet one last time before going home for the august recess. harry reid says he wants to educate members on the bill that has already been passed by one senate committee and another

bill that is going through another senate committee. he wants to educate them so that when they go home, they will know what they are talking about. he also agreed to address these heated discussions that have been going on at town hall of dance. >> the american people want health care reform, and we are going to do that. in spite of theç loud, shrill voices trying to interrupt town hall meetings, throwing a monkey wrench into everything, we are going to continue to be positive and work hard. >> the senate finance committee is trying to wrap up that bill before they go home and the gang of six will continue their negotiations. they hope to have a bill done before they go home as well. jane: what do the poll numbers look like for how americans think about this plan? >> there is a new poll that talks about health care.

it asked respondents, turning to the issue of health care, from what you have heard about president obama's plan, is a good ideaç or bad idea? good idea, 33%. bad idea, 42%. -- good idea, 36%. jane: thank you. now we want to get to encourage the crash in new york that killed eight people including four children. authorities have revealed that the driver of this minivan had drank and 10 shots of vodka and smoked pot before driving sunday morning. then she drove the wrong way down a busy parkway. people called 911 saying that

she was driving erratically. she died in the crash, as well as her daughter, two nieces, and three others that she hit. the family of the three men who died now have a lawyer. they are for chile upset about this latest development. the story is disturbing on so many levels. how could she have done this? where does the investigation go from here? we have the defense attorney and -- we have a defense attorney and a former prosecutor. good morning to you both. doug, let us start with criminal cases. she isç dead, but could someone have been responsible for what she put in her body? >> the main perpetrator is

deceased, so there is no real indictment for homicide. i think there will look at who supplied her with the marijuana. perhaps she was drinking at a bar and left the location of visibly intoxicated. and clearly, they may look at everyone who observed -- entirely -- ancillarily, they may look at everyone who was observing her. >> the only person who really had a responsibility to stop her from doing anything -- after it was obvious that she was going to do this -- was her husband. if he saw her drinking and that allowed her to drive, çpotentially he could be

criminally responsible. jane, le: let's move onto civil responsibilities. her husband said that she'd drink socially and like to smoke pot every once in awhile. where does that leave him? >> let's begin with marijuana. they're one and does not have to submit an impact on the ones driving ability. i have done hundreds of dui cases and i can count the number of driving under the influence of marijuana cases on one hand. people do not we've and drive down the runway. she was horribly drunk. intoxication was off the charts. if her husband was aware of the fact that she drank some times -- that is not enough. they need to prove that he was aware at that time. jane: they could go after her

estate as well? >> that is right. three people were killed in the other vehicle. ostensibly, her brother's family could also sue for the deaths of her nieces. we could see wrongful death litigation, which is different from criminal litigation. don, in jefferson county, alabama, the medical examiner may no longer be able to examine certain deaths light traffic fatalities. the sheriff said the governor will have to send in the national guard to keep order. if you need to pay your bill at town hall, get in line. jonathan serrie is with us. what is going on? >> jefferson county is trying to avoid the largest municipal bankruptcy in history. the town is unable to pay $4 billion in bonds, so they are cutting budgets. they have already laid off 1000

county workers, closed satellite government offices. when we arrived, the court office downtown, we had a long line of people extending outside the building and around the block. most people said that they were just waiting to get their license tax renewed. even routine services are in jeopardy. we areç also told they have lad off the people who are responsible for burying the indigent. not because of a court ruling, it appears that there could be layoffs at the sheriff's office now. jon: thank you. jane: billion to set aside by your government to modify home loans. so why are so many complaining? jon: a story that we told you about recently about our wounded

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jane: take a look at where the big board is going. down about 80 points. cash for clunkers certainly has been a success for foreign automakers. we are getting some figures on how many of those were japanese models. now the senate is attempting to add more money to the program. jenna lee, what is going on? >> i will show you what is happening. at the top of the list is the toyota corolla, hondaç civic.

of course, absent from that list are the domestic automakers. it begs the question, is this program really worth it if we are not helping the automaker's that we are investing so much in? while that is one part of the program, automakers, the other part is the general economy. honda employees, 27,000. toyota employs 35,000. although that is not as much as gm, chrysler, and ford, it is not too far behind. so that is something to consider. we are also gearing analysts and economists are improving their forecast into the second half of the year, and gdp estimates, based on some of the success we have seen from this program. that is also another positive.

even without seeing chrysler and gm on the list. anecdotally, we are hearing a lot about the success, but it depends on who you speak to. we know as of yesterday's $634 million of that $1 billion has been used. we are on pace to use the rest of that if the program goes the way we expect, but there is no way to know when we will stop shopping. this is still very preliminary. the program has only been running for one week. there seems to be very mixed messages on the numbers, so we have to take it all into consideration. jon: we know americans are hurting right now. wait until you hear what

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jon: today the president is in indiana. the president is about to take the podium that you see.

companyh#or a called navistar, a company involved in the building of motor homes. this may seem like deja vu because he was at that same location earlier, arguing that the country needed the stimulus program. now the stimulus program has been passed, it is up and running, and the question remains, where are the jobs? so the president has gone to india to tell people -- indiana to tell people that they are one of the states that will be getting quite a bit of the stimulus monday, that there will çbe incentives available for te building of batteries and battery-powered cars. that is what he is there to say. that part of the country is suffering heavily.

unemployment in the area is near 20%, just about double the rest of the country. as we prepare for his remarks, let us go to our white house correspondent. mike emanuel, what else do we expect to hear from the president? >> president obama is bringing great news to the country -- company. they will begin a $39 million grant work on manufacturing electric trucks. that means when the company is fully manufacturing them, it will be able to create more jobs in the area. the company manufactures rv's. obviously, that industry took a huge hit when gasoline prices shot up, and the recession hit hard. the company had to let go a lot of people, manufacturers went out of business, and then

navistar came in, but the area is still suffering from unemployment. basically, the president is coming here to tell them that he is giving them stimulus money and that he has not forgotten about them. he is making good on a pledge when he came here in february. the money will be used to build new batteries. much of the money isç planned o go to indiana and michigan, two states that have been hit particularly hard. it basically, the president and other cabinet members are fanning out across the midwest, delivering good news to the people here.

jon: i misspoke earlier when i said that gentleman was herman wiley. that man previously was the chairman and ceo. now the president. >> thank you so much. [applause] thank you. everyone had a seat. çit is wonderful being here in wakarusa. thank you for the great introduction. it is great to be back in indiana. [applause] this is as close as i have gone to home in awhile. i came here with someone who i think the people of indiana have

known for a long time, have trusted for a long time, because he is fighting for working families every day. that is our great senator evan bayh. [applause] it is nice to get out of washington and spend some time with people who actually sent me to washington. [applause] too often, there are those in washington who focus on the up and down to of politics. but my concern is the up and down to in the lives of american people. the families feeling the pain and the recession. the folks i have met across the country who have lost jobs, savings, health insurance, but have not lost hope. the men and women who still believe in the ability of this

nation to meet the challenges of our times. these are challenges we know all tooç well here in wakarusa. this area has been hit with a perfect storm of the economic troubles. over the last two decades, you bore the brunt of the steadily weakening manufacturing sector in the face of global competition. you felt the struggles of the american auto industry and the repercussions that have hit the midwest especially hard. you are living every day with the consequences of this recession and financial meltdown, and you have felt it in the form of lost jobs, lost savings. as a result, theç elkhart area has experienced the second greatest rate of increase of unemployment in the country. up 10 points in one year.

it is an astonishing statistic. there have been times when nearly one out of five people in the area have been looking for work. you have seen factories closed and your sons and daughters move away in search for jobs and opportunity. so this is more than an economic crisis. this goes to the heart and soul of a community, test the strength of families and spirit of good people. hard-working folks who have given everything to a company, and now have nowhere to turn. there are some who have seen what has taken place and suggest it is inevitable and the only way for america to get ahead is for places like elkhart to be left behind. you hear arguments like that in washington, but we know that the truth is the opposite. i am here because i believe our ability to recover and prosper as a nation depends on what happens in the communities, just like this one.

[applause] the battle for america's future will be fought and won in places like elkhart, detroit, pittsburgh, south bend, youngstown, in cities and towns across9jt)p'a and across the midwest and across the country that have been the backbone of the country. it will be won by making place of like elkhart once they once were commonplaces of success once again, places of the ingenuity and the opportunity. -- and opportunity. as the world grows more competitive, we cannot afford to run the race at half speed. if we hope to lead this century like the last century, we have to create the conditions and opportunities for places like elkhart to succeed.

we have to harness the potential, the innovative and creative spirit that is waiting to be awakened across america. that is how we willç rebuild te economy stronger than before, stronger to compete in the global economy, to avoid the booms and busts at hambrecht havoc on our economy, strong to support the jobs of the 21st century, and stronger to bring prosperity to everyone, not just some. but before we can rebuild our economy for tomorrow, we have to rescue it today. that is why we passed in recovery act less than one month after i took office, and we did so without any of the earmarks and pork-barrel spending that is so common in washington. let me talk about the so-called stimulus package, recovery act. there has been a lot of misinformation about the recovery act. let me tell you what it is and what it is not. the plan was divided in three

parts. one-third of the money has gone to tax relief for families and small businesses. one-third of the money is cutting people's taxes. for americans struggling to pay rising bills with a shrinking wages, we kept a campaign promise to put a middle-class tax cut in the pockets of 95% of working families. [applause] a tax cut that began showing up in paychecks of 4.8 million indiana household about three weeks ago. we also cut taxes for small business, on the investments they make, and more than 425 small businesses in indiana have received loans through the recovery package. that is one-third of the money, tax cuts. another third of theç money in the recovery act has been for

emergency relief that is helping folks who have borne the brunt of the recession. for americans who were laid off, we expanded unemployment benefits. that has already made the difference for 12 men and americans, including 220,000 folks, right here in indiana. we're making health insurance 65% cheaper forç families the line on cobra while looking for work. people who lost their jobs lost health care, and we were able to reduce their costs by 65%. four states have facing historic budget shortfalls, we provided assistance that has saved the jobs of tens of thousands of teachers, police officers and other public servants so that you would not see the recession get worse. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org--

that is the second half. the last third of the recovery act, and that is what we are going to talk about today, is for investment not only for putting people back to work in the short term, but laying a foundation for growth and prosperity in the long run. these are the jobs building the future of america, upbraiding of our roads and bridges, renovating road and hospitals. this area has seen the benefits. doesn't were employed to resurface the runway at elkhart airport. the city's health center has received recovery dollars to fund expansion and hire additional staff. and as part of the recovery plan, we are making an historic commitment to innovation. the recovery act create jobs doubling our capacity to

regenerate renewable energy. buildingç a smart grid that cay electricity from coast to coast. laying down broadband lines and high-speed rail lines and providing the largest boost in basic research in history to ensure america needs in the breakthroughs and discoveries of the new century, just as the last because that is what we do best in america. we turn ideas into inventions and inventions into industry. history should be our guide. the united states led the world economies in the 20th-century because we lead the world in innovation. today, the competition is keener, the competition is tougher, and thatç is why innovation is more important than ever. that is the key to good jobs in the 21st century. that is how we will insure a quality of life for this generation and future generations.

with these investments we are planting the seeds of investment for our country and good paying private sector jobs for the american people. that is why i am here today. to announce $2.4 billion in highly competitive grants to develop the next generation of fuel-efficient cars and trucks powered by the next generation of battery technologies, all made right here in the usa. [applause] right here in america. [applause] made in america. [applause] for too long, we failed to invest in this kind of innovative work. even as countries like china and japan were racing ahead.

that is why this announcement is so important. in represent the largest investment in this kind of technology in american history. i am committed to a strategy that injures america leads in the design and deployment of the next generation of clean energy vehicles. it is not just an investment to produce vehicles today, it is an investment in our capacity to produce new technologies tomorrow. it is about creating the infrastructure of innovation. indiana is the second-largest recipient of grant funding and a pervert example of what this will mean. you have purdue university, noted dame, indiana university, and ivy tech, çand they are all receiving funding to start programs relating to this we

. we have a small business in minneapolis that will be building batteries. we have allison transmission, magna, located in muncie, all have helped develop components for passenger vehicles. right here, navistar, who has taken over here, will receive a $39 millionç grant to receipt - to build 400 advanced batteries with a range of 100 miles. [applause] just a few months ago, folks

thought that these factories might be closed for good. but now they are coming back to life. >> thank you. >> you are welcome. thank the american people. this will help to save or create hundreds of jobs in the area. over all, companies believe these investment in battery technology will save or create thousands of hoosier jobs. these jobs would not be possible if it was not for the leaders in congress who supported the recovery act. leaders like evan bayh and joe donnelly, brad ellsworth. these grants will create tens of thousands of jobs across america. in fact, today, vice-president

biden is announcing grant winners in michigan. members of my cabinet are going across theç country announcing other winners. we are providing the incentives to those businesses, large and small, that stand ready to help us need a clean and new energy economy. i do not want to just reduced our dependence on foreign oil and then end up being dependent on their innovations. i do not want to have to import a hybrid car. i want to be able to build one here. i do not want to import a hybrid truck. , to build one here. i do not want to have to import a windmill from someplace else. i want to build it right here in indiana. [applause] çi want the cars of the future, technology, and power, to be developed and deployed right here in america. that is just the beginning.

in no area will innovation be more important than in the development of ways to produce, use, and save energy. we are not only doubling our capacity for renewable energy, building a smarter and electricity grid, we have raised fuel economy standards. for the first time in history we have passed a bill that great clean energy incentives which will help make renewable energy profitable type of energy, while helping to defend -- and our dependence on future oil, and protecting future generations. the bill passed in the house and we are now working on it in the senate. we know real innovation depends not on government, but on the potential of the american people. if the american people get a clear set of rules that they know what is needed, but challenges to meet, they will figure out how to do it. in fact, that isç why our budgt

makes research and experimentation tax credit permanent. this is a tax credit that helps companies afford what are sometimes high costs in developing new ideas, new technologies. that means new jobs. this tax credit returns to dollars to the economy for everyone dollar we spend. for a long time, we were just trying to renew it once a year and company did not know if they were be able to get it for the next year. that has not changed. to zero the capital gains tax for investments in small or start up businesses. because small businesses are innovative businesses. they produce 13 times more patents for employees that large companies. of course, in order to lead in the global economy, and insure businesses can grow and innovate, we also have to pass health insurance reform that

brings down cost. [applause] reform that brings down costs and provide more security for folks who have insurance an affordable option for those who do not. i promise you, we will passeriform by the end of this year, because the american -- we will pass reform by the end of the year, because the american people need it. we are going to have to make it happen. [applause] çin fact, the recovery plan ben the process of reform by modernizing our health care infrastructure. we took some long overdue steps with computerizing america's health records, which can reduce all the waste and errors that caused billions of dollars and lives, while protecting patient privacy. it is also important of these

record told the potential for offering patients the chance to be more active participants in the prevention of illness is. bt will not have to fill out the same form a dozen times. you will not have to rely on your memory of when talking about your medical history. it will make you help here and also reduce your cost, give me more security about your health. in addition to energy, health care, we also know nation that out-indicate to us today will be does tomorrow. so we are making a commitment to education. right now, our schools continue to trail many of our competitors and that is why i have challenged states to dramatically improve achievement by raising standards and modernizing science labs, a grading curriculum, forming new partnerships to promote math and science and promoting the use of technology in the classroom. i have set this goal, by 2020,

america will once again have the highest proportion of college graduates in the world. we used to be number one, we will be one -- number one again ì(lc@&c+ graduates. to reach this goal we have provided a tax credits and grants to make college more affordable, and we have made an historic commitment to community colleges, which are the unsung heroes in the education system. america can and must have the best educated, highest skilled workforce in the world. if we are building new cars here inç america. -- america, if we are building a new, clean energy grid, then we are going to need new engineers and scientists, and skilled technicians, right here in america. all these pieces and out fitting

together. energy and innovation, health care and education. these are the pillars of the new foundation that we have to build. this is how we will just rescue the economy, but rebuild it stronger than before. there are a lot of people out there who are looking to defend the status quo. there are those who want to seek political advantage, oppose these efforts. some of them caused the problem we have in the first place, and then suddenly there are blaming the other folks for it. [applause] they do not want to be constructive, they just want to get into the usual political fight back and forth. sometimes, that is fed by the cable news counter -- chatter, but we know the truth. even in the hardest times, against the toughestç of, we he

never surrendered. we do not give up. we do not surrender our faith to chance. we have always indoors. we have worked hard and we have fought for our future. our parents had to fight for their future, our grandparents had to fight for their future. that is the tradition of america. this country was not built by complaining. it was built by hard work and taking risks. that is what we have to do today. [applause] çi know these are tough times. if you have not lost a job, you know someone who has. maybe a family member, a neighbor, friend. you know it is -- as difficult as the financial struggle can be, losing your job is more about -- more than just was in your paycheck. we as americans to find ourselves by the work that we do. it is a sign of pride, a sign

that you are contributing, providing for your family, that you are responsible. the truth is, it is easy to lose hope, especially when you see a lot of people out there who fail to meet their responsibilities, from wall street to washington. it can be easy to grow cynical when you see politician do one thing and say another, or say one thing and do nothing. you have seen decades of broken promises. but this is a rare moment in which we have been called upon to raise about the failures of the past. it is a chance to restore that spirit of optimism and opportunity that has always been central to our success. we have to set our sights higher, not lower. we have to imagine a future where american cars are powered by american innovation, a future where american cities are leading the economy again.

a brighter future for all car, a brighter future for in dni, and a brighter future for america. that is what we're fighting for. that is what this plan is about. that is what you are about. this is what we will achieve in çthe weeks and months to come. thank you very -- thank you, everyone. god bless america. [applause] jon: the president announcing that the state of indiana will be sharing in a couple of billion dollars worth of development money as part of the stimulus program to try to build more efficient vehicles and even electric vehicles. that part of the state very badly hit by unemployment as a result of the recession with unemployment approaching 18%. the president says better times are on the horizon and people need to be patient. obviously, if you do not have a job, you want a new one

tomorrow, not six months from now. we will be right back.

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jane: breaking news from north carolina. a judge has denied bond for seven men who faced terror charges. their lawyers had lobbied for them to be released, saying they do not pose a flight risk. the alleged leader of the group is daniel boyd. his two sons are also charged in the case. we are learning that the judge had ruled all seven have been denied bond. they will stay behind bars for now. jon: let us check in with harris faulkner at the breaking news desk. she has some news on those journalists who have just come

home from north korea. >> we are hearing from members of the family. lisa ling spoke moments ago, joined by her husband, who you see in that picture. they had just bought a home. she had not even got the chance to live there. he described about living alone. herç sister talked about the ft that the swedish ambassador charged with keeping up with everything has not even seen them in four weeks. it was thought that they were about to be taken to a labor camp and then the next thing you know they had a meeting with former president bill clinton. then the question came up, did these young women do anything wrong at all? çthis was lisa's answer. >> she will confirm that when

they left u.s. soil, they never intended to cross the border. as journalists, when you are in the field, you never know what is going to arrive, and things can be unpredictable. she will tell you what happens when she is ready to talk about it, based on the limited knowledge i have, i do not think they used poor judgment. >> she said that her sister was pretty thin, weak. there was a doctor among them, including the swedish ambassador. the doctor looked at any other health issues. lisa said that her sister was given food, as many people are in the country, with rocks in it, with very little digestible food.

jon: thank you. so what exactly led up to their release? we have heard conflicting signals from the white house as to how heavily the obama administration was involved. they say bill clintonç went on there on a private trip. here is what the president had to say after those two women arrived safely. >> not only is this white house obviously extraordinarily happy, but all americans should be grateful to both former president clinton and vice president gore for their extraordinary work. jon: obviously, everyone is happy that they are home safe, but there are worries that all this play into the hands ofç te north korean government, by rewarding bad behavior and complementing -- complicating diplomatic efforts there and in other countries as well. with me now is a resident scholar of asian studies at the american enterprise institute.

does north korea, way, winning anything in the case? >> i think so. they got a former president to come. there have to be some deal agreed to before he left. he was not going to come home empty-handed. whatever the details were, there must have been discussion. we have heard that there was actually a list. jon: in practical terms, if i am watching this at home, they get a former president, big deal. what does that do for them? >> domestically, it is legitimacy. the president was met by top officials, was given top meetings. internationally, it shows that the united states are still willing to deal with the kim

regime, no matter how weak he is. the question is -- the north koreans do not give up anything for nothing. they captured these women. they could have expelled them or find them. they are not going to giveç thm up for nothing, so what else went on that led up to the release? jon: north korean television showed bill clinton getting on the airplane and north korean leadership waving. but it did not show the two women. as if he just came on a state visit. >> the symbolism is important. there has never been a president who visited. bill clinton wanted to, but he said secretary all right. --ç albright. bill clinton is obviously world

recognizable, so they get something from this by showing that he came, met with their leader, and they are back on the international diplomatic scene. jon: interesting that iran just took three american hikers hostage. what is the lesson for the iranians? >> on one level, our hands are tied. we are not going to invade to get some people back. and it is not just this administration, but prior administrations as well. we do not argue more forcefully in the beginning. we do not make demands in the beginning to get our people back. then we are in a position where we do not control the debate, the rhythm that goes on after that. iran is obviously going to be looking at this. they will be wanting to have the legitimacy of the u.s.

dispatched a high-level negotiators, and for the same reasons. the question is, how do we stop this early on and make clear that there are costs to this? jon: we all remember what happened at the american embassy in tehran. thank you. çjane: you are looking at live pictures of lunette county, mexico. border patrol agents have a new tool. it is a story that you will only see here. and cash for clunkers is a huge success for some, but a major blow to others.

jon: the russians are coming, in fact, they might already be here. two nuclear-powered submarines patrolling off the u.s. coast. why are they there, and what are we doing about it? jane: adam housley is in california. >> cash for clunkers could be a bonus for some, but charities say that donations are down 30%. john, and a factory fightç of epic proportions. police commandos drop from the helicopter to end the workers standoff. the whole place is packed with flammable materials. jane: breaking news from pennsylvania. new details on what may have

sparked this shooting rampage at a health club. we have confirmed the gun man, 48-year-old, george sodini killed four and injured nine others before turning the gun on himself. all the victims were women. we are learning the names of those victims as well. rick leventhal is reporting. most stunning is he had a website and he supposedly wrote about this plan? >> yes, much of what we have learned has come from the shooter himself. he posted on his website is date of birth and his date of death, which was just a day. he had racist ramblings about barack obama being elected president. he also talked about the bomb against women. he said that he had gone to the health club twice before with handguns but chickened out.

he also wrote on sunday before the shootings, the biggest problem is not having friends or achieving what i desire. everything stays the same return as of the effort i put in. ) @ happier, but i have not. jane: how are the victims doing? >> two were released after surgery this morning. two are in fair condition, two others in critical condition. three women did die. there was a 46-year-old, elizabeth again, from pittsburg, and jody billingsley. jane: have you spoken to anyone who goes to that gym? after work, and someone

comes in with a handgun? >> yes, i spoke to many members here, as was the shooter, and asked them if this changes the way that they live their life. one woman i spoke to was the are you angry today? >> no, i am just sad. i am sad that there are people in this world like that. what can you do besides pray for them? >> she says her life has changed forever, and so have many others because of this. jane: thank you. jon: now for a behind-the-scenes look at a new tool helping border patrol agents in mexico. it is a ford operating base. kids aged to faster access to the border, more time to patrol, and a place to rest.

kris gutierrez is inside this new facility. so what is it like? >> welcome to the fob, the home away from home for these border agents. we are making our way out of the kitchen, into the living area. over here you can get internet access. they communicate with their families through e-mail here. you c@í even believe some stress here by working out. this is one of its kind in terms of fob's. the majority of the work that people do here is tracking footprints. it is extremely difficult to do. we have some border agents with us now. give us an example of what you are trying to follow. this is desert sand, so they are trying to follow footprints

just like this. you think it is easy, but it is wrong -- but you are wrong. smugglers are wearing booties like this, and they do not leave a track at all, or they could be wearing special sponges ónç their shoes that look like conference. as a smuggler to get creative, listen here. >> organization are always try to find new ways to get across. if they do not get their product to market, they do not get paid. whenever we come up with one way to combat what they are utilizing, they are always looking at ways to combat our techniques. >> what is interesting about the fob is agent are able to use 100 percent time of their shift training. instead of losing four hours patrolling, boots on the ground,

now they are able to use that four hours to do work. it is already working. you see to the right, a border patrol agent has made an apprehension last night. there have already been six apprehensions and more than 300 pounds of marijuana found. jon: thank you. jane: take a look at this reaction to the threat of job cuts at a car company in financial trouble. military commandos. this is just a start. nd chips... or one of our coastal soup and grilled shrimp salad combinations? eight dishes that fit into your lunch hour... starting at just $6.99. at red lobster.

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jon: let's just be glad we have not seen anything like this in the u.s. with a lot of plant closures. this was the scene in south korea. holdout strikers add a failing automaker go head-to-head wati

military. protesters had even taken over part of the industrial complex. commandos had to be sent in. they secured most of the company's buildings. workers are angry the company has a bankruptcy restructuring plan that will cut 2600 jobs. jane: clash for clunkers has been a boost for -- cash for clunkers has been a boost for the auto industry, but not so much by charities. you have probably seen these ads. now because of cash for clunkers, these organizations are taking a huge hit. adam housley, how much are these terms is hurting? >> you can find literally thousands of these ads, and

some organization that we have talked to say that they're losing 30% to 40% of what they saw about two years ago. the economy is part of that, as well as new regulations the government released and that would make it more difficult to get money for your donated car. the third and most important reason is cash forç clunkers. cars like these are not being brought here is people can get $4,500 for them. jane: what are consumers saying about winning their choices, donating vs cashing in? >> first of all, there are also some people who want a new car, normally they would not keep that second car, and they are getting rid of it now. what is the chance of2turning this in? less likely.

you are getting so much more for your money now to turn it in. jane: thank you. jon: don't cash in your old clunker, ok? bring it to me. two russian submarine spotted 100 miles from american shores. what were they doing, and should the country be concerned about an unexpected move? who is watching us? ever worn your clothes in the shower? if you're using other moisturizing body washes, you might as well be. you see, their moisturizer sits on top of skin, almost as if you're wearing it. only new dove deep moisture has nutriummoisture, a breakthrough formula with natural moisturizers... that can nourish deep down. it's the most effective natural nourishment ever. new dove deep moisture with nutriummoisture.

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jane: we have now confirmed two russian submarines have been spotted patrolling, one of them too close for comfort, along the southeastern coast of georgia. both were told -- we are told by

the same kind used in the cold war. russia says that the patrols are just routine, nothing to worry about. the question is, can we believe them? we have a representative from enable institute. the russians said that it was normal. is it? >> it used to be, but we have not seen this type of activity in 10 years. it is important to remember, these are attack submarines, not ballistic submarines. these submarines are designed to look for other summer rains, other ships and collect intelligence. these are not the type design with long-range ballistic missilesç. these are not the type. i do think it is still a reminder that russia is looking

to flex its military, and it is a lot more than just military. there are also a lot of financial issues at stake here with their arms market that they want to keep alive. jane: these are the classic summary of we have been talking about. we should point out, they were not in american waters, right? ç>> yes, and they are a couplef hundred miles off the coast. the u.s. was able to track them. to some degree, that was probably a bit disappointing to the russians that they were able to get relatively close but, unfortunately for them, i am sure they did not want to be tracked. kaine, basically, they are showing off so that they can sell these things? >> one of the things to remember is one of the primary means of the russian economy, one of the most important

elements is their arms market. their arms market was a gigantic in the cold war. since then, a lot of companies have looked to the west, but countries like china and india have now been looking inward and developing their own capabilities. in fact, india, in particular, had planned on buying these types of summer means, leasing them from russia. however, last year there was an incident when 20 men aboard one of them on the way to india were killed. this could be part of aç show, saying our submarines are still capable of deploying at long range, and we are a viable place for you to buy your equipment. jane: what should americans do about this, if anything? >> as i read one official saying, it is definitely cause for concern, but something that

we are able to monitor pretty closely. what thatç means is, in the evt that there was some type of hostility, you are able to know where they are and take them out. of course, that is not the case now. more importantly, up to the 1990's, the problem of the anti- summary more fair, binding and hunting submarines, was our navy's top priority. that no longer seems to be the case because there are other issues that are at the forefront. in many ways, the capability to track submarines has degraded. jane: thank you. jon: russia's prime minister bears his chest in a recent vacation, and puts it out there for everyone to see. he was riding horseback shirtless during a recent trip. cameras, and has he met with

local, swam in the light, and drove his speedboat. he is a well-known skier, a black belt in judo, and has been seen co-pilot and a fighter jet. in jane: he reminds me of you. next thing you know, we will be asking you to do the show without your shirt. the show must go on, butç without paula abdul, what is going to happen? jon: and something we told you about yesterday. the naked burglar. wait until you see what his job was. . it's very important for me to uh check my blood sugar before i go on stage. being on when i'm feeling low can be like a rollercoaster. it does at times feel like my body is telling me to do one thing...

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case near philadelphia. apparently, he is a janitor at a nearby bridge school. the suspect is seen here wearing a blouse and skirt, and then leaving stark naked. jane: may be the most famous judges in the world. say it is not so. "american idol" could be breaking up a little bit. paula abdul could be headed for the doors. is it true? >> it is true. she said it on twitter first, and then it had been confirmed. there have been some rumors about this. i asked paula abdul if she would be returning in may. >> do you promised us it is going to happen? >> i make a promise to all my

friends and fans that i will do my best to make it back. >> she says that what she will miss the most is nurturing the young talent. jane: there were reports it was over money. >> there has been reports that it was over money or contract negotiations. she has confronted the issue will not come back. jane: what does it mean for season 9? >> we're used to so much great interaction between her and the other judges. she has been known as the nice judge and also the unpredictable judge. you never knew what she would do next. there's a question on whether ratings will be impacted- negatively. jon: simon wants to talk toou