tv NBC Nightly News NBC November 1, 2011 5:30pm-6:00pm PDT
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on the broadcast tonight, a backlash from infuriated customers. and tonight, bank of america backs off that fee for using a debit card. it seems like a victory, but what else might the banks be planning. the long wait for millions of people still in the dark and the cold after that freak early snowstorm. and tonight a new report is warning we can expect more extreme weather ahead. women's health tonight. this is confusing. remember the advice to drink a glass of wine a day? now there's reason to worry about that, and the complication is breast cancer. and a mother's legacy. her daughter grew up to be the secretary of state. remembering the extraordinary woman who raised one of the most powerful women in the world.
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"nightly news" begins now. captions paid for by nbc-universal television good evening. tonight we begin with consumers rising up against a big bank in this era of great anger over financial wrongdoing. and that big bank, bank of america, has backed down. while there is another allegation tonight of bad behavior at a big money firm, this first story this evening is about small amounts. fees to use your own bank debit card. and those fees add up quickly. so while the bank of america has backed down, others are warning banks have to make their money somehow. and consumers should be alert for new charges. so we begin here tonight with nbc's tom costello. he's at a bank of america branch in chevy chase, maryland. >> reporter: this is the second biggest bank in the country. for a lot of folks, the idea they had to pay to use their own money to make a purchase, that was too much. so after weeks of mounting pressure, of protests, people
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pulling their accounts, of other banks saying they're not going along, today bank of america threw in the towel. in the end, it may have been one bank fee too many. from the occupy wall street movement -- >> they're stealing from you, that's the bottom line. >> reporter: -- to the streets of l.a. >> we're disgusted, we're tired of being ripped off. >> it's unnecessary for people that are hardworking right now and unemployed. >> reporter: after a tsunami of protests, backlash and 200,000 signed petitions, bank of america today gave in on the $5 a month debit fee. saying in a statement, we have listened to our customers overed last few weeks and recognize their concern. the pressure on b of a proved too much after chase, city group, wells fargo, suntrust and a host of others, announced they abandoned plans to charge a monthly fee for debit card purchases.
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>> this is a huge win for consumers. it shows that consumers, when they take action, they say, hey, we don't want to pay these fees and if you make us, we're taking our business elsewhere, you have a voice. >> reporter: even politicians had urged customers to leave their banks. >> to move to banks that aren't going to nail them with these fees that are driven by greed. >> reporter: but it's illinois senator durbin who the banks say forced them to add the fees since his amendment cut by half the amount of money they could charge merchants for accepting debit cards. >> the durbin amendment cost the banking industry millions of dollars. we have to do one of two things, raising revenues or reducing costs. >> reporter: raising revenue means you should watch out for stealth fees. fees for receiving a paper statement. fees for using a teller. fees for not using your account enough and fees for not maintaining a large minimum balance. check your statement closely. these aren't easy times for the banks, they did pay back all of the $700 billion in bailout money. they've been accused of not lending willingly.
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and, of course, right now there's not a lot of public sympathy for the nation's banks. brian? >> tom costello starting us off tonight. thanks. and now to a story that has a lot of people asking, how could this kind of financial disaster happen again? and worse, have investors been bilked by a company run by a big name on wall street, who also happens to be a former u.s. senator and former governor. this all involves the latest stunning collapse into bankruptcy by a firm called mf globe at holdings. hundreds of millions of dollars are missing, there's now talk of an fbi vision. and there's a very big name at the center of what appears to be a big financial scandal. andrew ross sorkin is here with us in the studio tonight. not only is he a cnbc colleague, he's also the author of "too big to fail" and a financial columnist for the new york times. this is john corzine we're talking about. while he's been a politician, before that he was ceo of goldman sachs. so he knows his way around money. what's alleged to have happened here, and what's the fear about
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what has happened here? >> what's happened here feels a lot like 2008. john corzine at mf global made some huge bets on european bonds using the firm's money, but then borrowing a huge amount of money. for every chip that he put down at the black jack table, he borrowed 40 chips from the bank. and those bets -- people became so worried about those bets, it created a crisis of confidence and put the company in bankruptcy. what's really raising questions today is, in the process of bankruptcy, we found there have been $600 to $700 million that have gone missing, and questions about whether the firm was dipping into customer accounts to make those bets on behalf of the company. >> so if you're playing with company money and nobody gets hurt, it's rich guy versus rich guy, that's not a crime. but if you're dipping into the customers? >> all of a sudden this becomes a mini-ponzi scheme. this is madoff all over again. but there are real questions about whether this is criminal.
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and we don't know the answer yet. also, given john corzine's pedigree, whether the lessons of 2008, whether the lessons of leverage and debt were ever learned or not. >> andrew ross sorkin, thank you for visiting us in the studio. >> thank you. even as all this was going on, the surprise word that the prime minister of greece says he's going to hold an up or down popular vote, a referendum on the european bailout agreed to last week. and that sent stocks around the world into another tailspin of sorts, including here. dow was down 297, nasdaq down 77, s&p down 35 points on the day. there is frustration and anger here in the northeast, as more than 1.5 million households are still facing another night in the cold and the dark after the huge power outage caused by that surprise october snowstorm this past saturday. some schools are closed for the
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week. some people don't have water or gasoline, to say nothing of heat or lights. nbc's ron allen is in hard hit newtown, connecticut, tonight. ron, good evening. >> good evening, brian. it's day four of all of this. and the utility crews, as you can, see are working late into the night. more than half the homes and businesses in connecticut still do not have power, and everyone's patience is starting to run just a bit thin. across the storm-battered northeast, the weather cooperated today. spring-like temperatures made the cleanup more bearable for residents and utility crews. after another night of temperatures below freezing in many places. >> they told us maybe by thursday they would have this up. and that's one of the longest times we've had to wait for power to come. >> even connecticut's governor was frustrated with the response. after calls to the federal government and some 15 other states for help. >> we have had orders out for as much help as could be brought to the arena.
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and for whatever reason, the resources have not gotten here. >> reporter: across the region, almost 1.7 million homes and businesses are without power. 675,000 just in connecticut. as in other states, the frustration here is intense, because the freakish halloween storm was a second punch after hurricane irene in august. 800,000 outages then for about a week. >> it's just been a drag. that's all, basically. you're wondering why this is the way it is in 2011. >> a sentiment texted, e-mailed and blogged at town halls and libraries that opened shelters with power. so precious in this digital age. >> it's a new age. we're all connected to electronics. that's the problem, everything's battery powered. >> reporter: energy experts say the problem is that power lines are still in the air on polls. and near trees. >> everything else is underground, water, sewer, natural gas.
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it's very much like groundhog day. we're going over the same thing over and over and over again. >> reporter: and changing that, he says, would take money no one has these days, while sending utility rates up. so for now, they try to make do the best they can. we're still hearing it will take a week or more to repair all this damage. brian? >> ron, you're right, it's like groundhog day. we'll be at this all over again unless we bury those wires some day. ron allen in connecticut. everybody out east said the same thing about this freak snowstorm. this kind of thing didn't used to happen. this never happened before. and while that is true, it may also be true that we'll all have to start getting used to this kind of thing over the long haul. that story tonight from our chief environmental affairs correspondent anne thompson. >> reporter: around the world, it seems like the weather is going to extremes. not just the halloween snowstorm in the northeast, but record
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breaking flooding in thailand. 1,400 new highs hit in the u.s. just in the month of july. moscow reaching 101 degrees in the summer of 2010. heat and wildfires consuming southern australia in 2009. >> this is the future and we're already experiencing climate change. >> reporter: dr. gerry meehl is the senior scientist at the national center for atmospheric research in boulder. he says our warming planet makes extreme weather events more likely. as greenhouse gases created by burning fossil fuels, such as oil, gas and coal alter the climate. >> just as steroids make the baseball player stronger and increase his chances of hitting home runs, the greenhouse gases are the steroids of the climate system. they increase the chances of record breaking heat to occur, compared to record breaking cold. >> reporter: if the climate weren't changing, the ratio would be one record hot day to one record hot day. we saw two record hot days to every one cold day in the last decade. this year we're on a three to one pace.
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heat and little rainfall has parched texas for the last year, making it the worst one-year drought in texas history. >> this is really the first time when climate change -- the impact of climate change has manifested itself in a tangible way within the state of texas. >> reporter: adding to all this, a new study that finds global warming is real. and that the science behind it is not impacted by bias, bad data or cities that act as heat islands. >> the instance of global warming is pretty much beyond dispute now. i think we have closed the last remaining questions on that. >> reporter: muller's study is getting a lot of attention because it was funded in part by a foundation backed by charles and david koch. they are oil billionaires and climate change deniers. today no one can deny that extreme weather is here to stay. brian? >> all i know is, this didn't happen when we were kids. anne thompson on the change in our weather. thanks. now to presidential politics and the sexual harassment
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allegations swirling around herman cain. tonight, one of the women who claims cain engaged in inappropriate behavior says she wants to go public with her story. meanwhile, cain has been doing a lot of talking about the allegations, denying them. but also struggling at times to explain himself. our report tonight from nbc's lisa myers. >> reporter: for herman cain, day two of damage control also involved trying to undo the damage from shifting stories on day one. >> i just started to remember more. remember, 12 -- you know, in 12 years a lot of stuff can go through your head. >> reporter: that's how cain explained yesterday's inconsistencies. he recommended that the work performance of one accuser was subpar. and offered new details about an incident that prompted what he says were false accusations of sexual harassment. >> i was standing close to her, and i made a gesture. you are the same height as my wife, and brought my hand --
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didn't touch her -- up to my chin. obviously, she thought that was too close for comfort. >> reporter: cain's story about whether the woman received a financial settlement also has changed. first -- >> i am unaware of any sort of settlement. >> reporter: then -- >> and yes, there was some sort of settlement or termination. >> reporter: now he blames the confusion on semantics. he considered the payout a termination agreement. >> the word settlement suggested to me some sort of legal settlement. and as i recalled what happened 12 years ago, i recalled an agreement. i wasn't thinking legal settlement. >> reporter: cain says he still doesn't recall anything about a second accuser. but nbc news has confirmed that a second woman also accused cain of inappropriate sexual conduct. >> this is the only case that i know about, and if there are others out there, they will probably have to make it up. >> reporter: late today, a lawyer representing one of the
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women said she'd like to come forward. but needs to be released from a confidentiality agreement. >> when he says he never sexually harassed anyone, i know that's not the perception of my client. >> reporter: for cain this problem just became a lot more complicated. lisa myers, nbc news, washington. and still ahead here as we continue, tonight's controversial health news for women. this one involves drinking and now breast cancer. an expert will be with us in the studio to help us sort it out. and later, her daughter put 18 million cracks in that glass ceiling. remembering hillary clinton's extraordinary mother, who passed away today. clinton's extraordinary mother. food,
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r in southern californi. fr for thfor that wpfoo fr for thfor that wpf . >> the evacuation of part of the plant this afternoon as warning sirens sounded. a spokesman for southern california edison, one of the owners of the plant said there was no release of radio actiontivety and no one was injured. crews are working to contain the leak. now back to brian williams in new york. health report that's sure to make a lot of people wonder again, just what is the right thing to do? the latest report says a few drinks a week, as few as three, may be putting some women at higher risk for breast cancer. this link isn't new material, but until now, research has focused on higher levels of drinking than that. we're happy to be joined tonight here in the studio by the chief of breast surgery at cornell presbyterian hospital here in new york. doctor, you know what i'm going to say, so many women were just told, have an alcoholic beverage per day, it's good for heart health. and many women who don't really
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enjoy drinking that much, do it for the sake of their health. this is where we get into confusing territory. so what's the advice? >> well, it is confusing. the first thing to appreciate is the way the study was done. it's a large group of women that were followed and asked questions about their dietary habits, including alcohol use. these kind of studies are notoriously inaccurate. people just don't remember what they had to drink or eat six months ago. let's assume the data is correct. what it's showing is a modest amount of alcohol, three to six drinks a week for a woman, increased your risk by 15%. heavier use by 50%. in perspective, though, we have to realize that the average woman has a lifetime risk of breast cancer of around 10%. 15% more takes you to 11%, 12% risk. 50% more to a 15% risk. compare this to family histories that can put you at 85% lifetime risk getting breast cancer.
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so in perspective, it really is not as high as a strong family history of breast cancer. >> so to put a period at the end of the sentence, isn't the advice, everything in moderation? >> everything in moderation. >> doctor, thank you. that's why we invited you to the studio tonight. >> thank you. >> appreciate your time and advice. there's a new report card out for this nation's students tonight. tests given every two years in math and reading, students are having trouble, it seems, in both subjects. in math, 40% of our fourth graders,5% of our eighth graders scored at or above proficient. that's a little better than the last time this test was given in '09. in reading, 34% of fourth and eighth graders tested proficient or above. school districts that focused more on academics and parental involvement did better overall. no surprise there. [ whooping ] ♪ it was the best day ♪ it was the best day ♪
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from newark suffered hydraulic failure and had to belly land without landing gear today in warsaw. as you see, a lot of heat, sparks, friction and smoke. but no sustained fire. no injuries. disaster averted, all 231 people on board exited safely. well, he never liked washington. he railed against it, in fact. but he couldn't stop national airport from being renamed for him. and now, finally, ronald reagan has been immortalized with a statue at the airport, which is on the virginia side of the potomac river in d.c. a million dollars later, there's now a nine foot bronze gipper at the airport that all the old d.c. old timers still call national. tonight we will remember the mother of hillary clinton. right on the numbers! boom! get it! spin! oh, nice hands! chest bump. ugh! good job, man. nice! okay, halftime. now, this is my favorite play. oh!
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thanks to spark, owning my own business has never been more rewarding. [ male announcer ] introducing spark the small business credit cards from capital one. get more by choosing unlimited double miles or 2% cash back on every purchase, every day. what's in your wallet? this guy's amazing. the mother of secretary of state hillary rodham clinton died today at the age of 92. her own success in life was something of an achievement after a very rough start. and the daughter she raised went on to the height of achievement at the intersection of politics and diplomacy. tonight, nbc's andrea mitchell reports on the life and death of dorothy rodham. >> reporter: hillary clinton has always had an easy answer for
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how she got to where she is today. >> it's literally true, i wouldn't be here without my mother. >> reporter: whether at the state department, the white house, or on the campaign trail, dorothy rodham has always been at her daughter's side. >> my mother, dorothy rodham. >> reporter: it was she who first taught a young hillary how to stand up to neighborhood bullies. >> she met me at the door and she said, there is no place for cowards in this house. you have to go back outside and handle your problems. >> reporter: big hearted and full of adventure, dorothy rodham had a toughness born out of adversity. at the age of 8 dorothy was sent across the country to unwelcoming grandparents. they treated her so harshly, she left to work as a nanny. >> my mother was basically abandoned as a young girl. and by the age of 13, she was on her own. >> reporter: it was a life right out of charles dickens. >> i'm still amazed at how my mother emerged from her lonely, early life as such an affectionate and level headed
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woman. >> reporter: after her husband died in 1993, dorothy rodham played an even larger role in the clinton's lives. >> there's only one person in the world that can tell the truth about a man, and that's his mother-in-law. >> reporter: today, president obama paid tribute to a remarkable woman. >> anyone who knows her history knows what a strong, determined and gifted person she was. >> she really is my inspiration. my grandmother had had a remarkable life, and overcame challenges when she was a child that i cannot even imagine. >> reporter: a mother and grandmother who taught two generations of clinton women that they could achieve anything in life. andrea mitchell, nbc news, washington. and that's our broadcast on a tuesday night. thank you for being here with us. i'm brian williams. as always, we hope to see you right back here tomorrow evening. good night. -- captions by vitac -- www.vitac.com www.vitac.com
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