your next local update is 7:26. in the west. it is thursday, october 17, 2013. welcome to "cbs this morning." a crisis averted while you were sleeping. the government standoff finally over. the winners, the loser, and what's next. cbs news breaks the story of a scandal involving the atf, the grenade used to kill police in mexico. did agents allow it to be smugglinged over the border. scientists uncover the immediate yore that blast add cross russia. we begin with a look at today's eye opener. your world in 90 seconds. >> this is hardly a day of happiness. >> we ended up just where we

started. >> congress delays disaster with the last minute deal. >> keep the nation from defaulting on debt. >> we'll reopen the government immediately. >> this is a battle democrats definitely want. >> if senate republicans have stood together, this result would have been very, very different. >> news of a possible end toft government crisis triggered a huge rally on wall street. dow shot up 205 points. >> docks show a strong connection between nsa, cia and drone air strikes. >> 105 across the state and many homes destroyed. >> officials are missouri are taking another look at a controversy rape case against a 17-year-old football star. >> winning the special election last night, corey booker heads

to washington as the garden state's new senator. >> no more military duties for hip. >> all that. >> after charging and screaming. >> adrian gonzalez, second of the day. dodgers hang on. >> and all that matters. >> it really should never be used as a weapon, the debt ceiling. it's a political weapon of mass destruction. it should be off the table. >> on "cbs this morning." >> some of these guys in congress are acting like this is a big achievement. if you pick up a gun and don't shoot yourself in the leg with it, that's not really. it,

welcome to "cbs this morning." good morning norah. >> good morning to you charlie. we begin in washington. as you wake up in the west, the government is reopening. president barack obama signed a bill overnight to end the shutdown and raise the debt limit. that means all federal workers are heading back to work, 450,000 furloughed, 1.3 million worked without a pay check. >> also the department of agriculture begins routine food inspections. irs auditing again. national parks and memorials are reopening. in washington d.c. people are lining up to get into the capital visitor's center. nancy cordes is on capitol hill with how the compromise came together. good morning. >> reporter: norah and charlie, after three weeks of false starts and deals gone bad, congress found a way out of this self made crisis. the compromise deal passed with large majority in the house and senate a few hours before the

default deadline. >> on this vote -- >> reporter: the senate went first passing the deal by a huge margin, 81 to 18. >> let's be honest. this is pain inflicted on the nation for no good reason. >> reporter: then it was the house's turn. democrats voted yes with a third of republicans. that was more than enough. >> i believe now we should all act for the greater needs of our nation. >> reporter: the hastily crafted 35 page bill funds the government until january 15. it raises the debt ceiling until february 7th. it calls for immediate deficit reduction talks between the chairs of budget committees and house and senate that met this morning. >> we can work towards a deal to solve problems from both sides. >> the deal capped an ugly few weeks that wasted $24 billion on a fight that went nowhere.

house conservatives tried but failed to weaken the president's health care law using government funding as the bargaining chip. house speaker boehner said it's time to move on. >> we fought the good fight. we didn't win. >> reporter: tea party republicans didn't regret taking a stand. >> my constituents have been congratulatory to me. >> reporter: texas senator ted cruz insisted the outcome might have been different if colleagues had stuck with him. >> mr. president if senate republicans had stood together and simply reported house republicans and the american people. >> reporter: immediately after the house and senate passed the bill, notices went out from federal officials to federal employees informing them furloughed workers will be back on the job today. they will get back pay. no one, charlie and norah, is

resting easy knowing this is a short term deal and we could be back in this situation in three months. >> nancy, thank you. >> president barack obama will speak later this morning. by one estimate, america's gross domestic product fell six tepths tenths of 1%. >> bill is at the white house. >> reporter: good morning. this is a big win for the white house. after the economic disaster the last three week, no celebrating allowed. you won't see the president high fiving because you the short term fix could lead to another break down in three or four months. >> hopefully next time it won't be in the 11th hour. one of the things i said throughout this process, we've got to get out of the habit by governing by cries sichlts that'sst there's work ahead of us including earning back the trust of the american people lost over the last few weeks.

we can begin to do that by addressing the real issues they care about. >> those real issues the president hopes to address before the end of the year include immigration reform and a farm bill. in a half hour, the president will talk about the damage the shutdown and default threat did to the economy. they hope the republicans have learned mr. obama will never engage on the debt limit for keeping the government open. >> bill, thanks. we'll bring you president barack obama 's comments in a live cbs news special report around 7:35 pacific. cbs news political director john dickerson is in washington. the point bill raised, do you think republicans have learned the president will not negotiate on the debt ceiling? >> well, you know, the president said he wouldn't budge on the debt ceiling or on continuing to fund the government. he didn't have to. the white house thinks they set a precedent.

if you look at the president's position on the debt ceiling where he would not negotiate over spending cuts tide the increase, that was an unpopular position in our poll. 23% of the country supported that. what the country had a punishing dislike was for the republican strategy of tying the president to owe program care. in the next round of fights over spending and taxes and the size of government, the question is will the public feel the same way about the president? it's a totally different context. >> how does this deal set up the next round of negotiations enforcement that something might get done on a budget? >> we've seen the next round of fights will be over the same things we've discussed years. in that way, nobody should have great hopes about the successful outcome. big questions of how do you get a handle on growth of entitlement and generating

revenue through the tax codes. those fieths will continue. politically, republicans are having the internal fight. there's disunity in the republican party. the president had a very big negotiating win. democrats are united. politically the president has the upper hand. this fight can change quick. >> ted cruz, he come out a winner or lose senator. >> nationally his plan that he is associated with was a disaster. the republican party approval ratings are down. polls show people have a more favorable view about the president's health care plan which was the target for cruz. there are a lot of republicans that think he did real damage to the party. however, among ted cruz's base, what they saw was someone that went to washington to stand up against the establishment. cruz did that fairly well. they are applauding him. within his group, he's done quite well for himself. >> a winner certainly includes

women in the senate who showed they know how to bring about the art of compromise. >> no doubt indeed. what about the thought within the republican party given their ratings took a real hit during this? they lost focus on pointing out the glitches in the rolle out of the health care reform bill. >> the roll out of the health care reform bill has been so bad as if it was designed to ratify complaints republicans had that this program is not ready for prime time. that was on the back burner kwhi while the fight over the shutdown continues. the long view is in several months if obama care and roll out is still a disaster, people will look back and say what was that big fight about? it was about obama consider. maybe that fight had merit to it. on the other hand if glitches get forgotten and it rolls

better then it won't work out so well for republicans. thanks. stocks down sharply this morning. ibm and other companies reported weak earnings. wall street rallied after word of a government deal. dow shot up 206 points. in our next half hour, we'll have the white house chief of staff bill daily about the budget compromise. he'll tell us what president barack obama and congressional leaders can do to prevent another standoff next year that's ahead. this morning, federal investigators are looking at a deadly drug cartel shootout. it's an american tracked for years without an arrest. we are in washington with the story you'll see only on "cbs this morning." good morning. >> reporter: good morning. officials from u.s. and mexico aren't talking about this link publicly. a grenade used in the murders of

three mexican police officers last week has been linked to an arms trafficker that u.s. officials left on the street to operate long after they had evidence of his crimes. >> the violent gun battle took place last week near guadalajara and captured on video by area residents. authorities say five members of the new generation cartel used at least nine firearms and ten hand grenades against mexican police. three policemen were killed with four cartel members. cbs news learned one of the grenades was linked to the suspect drug trafficker he was under authority for years. wednesday atf told us it has no information about the connection. we've obtained this information

report dated tuesday stating evidence shows one grenade was a kingery grenade. the justice department inspector general is investigating the conduct of federal officials in the kingery case overseen by the same u.s. attorney and atf office in arizona that let suspects traffic thousands of weapons to mexican drug cartels in the case fast and furious. atf case files shows the agency learned in 2009 that kingery was dealing in grenades. they developed a plan to let him smuggle to mexico. some agents worried he would disappear once he crossed the board tore new mexico. that's what happened. kingery resurfaced in 2010 trying to get this stash into mexico but was again let go when prosecutors said they couldn't build a good case. in 2011 mexican authorities

raided kingery's factory and arrested him. he confessed to teaching cartel members how to convert grenades and convert guns to automatic weapons. >> one person of the administration says the murders of the mexican police last week is a latest example of the carnage of the u.s. agents letting guns and grenades to cross the border. he says both are trying to keep the rising death toll quiet. we have an update on the explosion aboard the spirit airline flight. ift suffered an uncontained engine failure. pieces broke away from the outer engine housing that could have hit the plane. passengers saw flames outside the jet. the cabin filled with smoke and shook violently. one man on board dialled his

wife 26 times before leaving this voice mail message. >> jan, i love you very, very much. this likely could be the end. i want you to go on with your life. >> the plane made it back to dallas with no injuries. now the alleged sexual assault of the 14-year-old girl. a judge is asked to name a special prosecutor after the local prosecutor step add side. terrell is in missouri. >> good morning to you. the prosecutor here has widely criticized after dropping charges against the suspect. at the time air, popular high school football player. since then the town has been torn apart. >> it's taken me almost two years. >> reporter: it's taken daisy coleman almost two years to get the courage to take her story public. in 2012, daisy then 14, snuck out of her house with a friend to attend a party.

there she claims she was sexually assaulted before being dumped unconscious outside her house. the boy she named from a prominent local family said there was sex but said it was con sen wall. he was arrested but two months later, rices dropped the charges. he cited lack of evidence from the coleman family who he says asserted their fifth amendment rights at the deposition. we recorded that there were no misunderstanding they understood when they evoked their rights that it would so forth dismiss the case. >> daisy and her mother insist that's not true. >> we cooperated completely. we went to the hospital, had the physical done at the hospital with all that report. then we also had the rape kit done. >> reporter: in the weeks after

the colemans said they faced threats and were forced to move away. this turned national t spotlight on the case. marriesville residents say this publicity has made them a target. >> we've had the amount of cyber threat, e-mails and posts directed at community in general. >> rice is calling for a special prosecutor. that could reopen the case zblichlt felt really weak, worn down, just like i wasn't worth anything. it means a lot to have support now. >> reporter: online activist group non has called for the investigation on how the case was handled. demonstrators gather here at the courthouse next week. >> terrell, thank you. the search is underway for a new chief at the national security agency. army general keith alexander will step down. his eight year was rocked by widespread surveillance on americans. the documents came from former

nsa contractor edward snow den. time to show you headlines from around the globe. the washington posts the nsa is involved in the killing program. the documents from the information leaked by snow den shows that u.s. was behind the 2012. e-mail, phone calls and a intelligence is included in the report. major concessions in the nuclear program. talks between iran and six world powers including the u.s. wrapped up yesterday. the senior american official says for the first time there could be a break through. new jersey star ledger looks at democrat corey booker who won special election for the senate. the new york mayor beat republican steve long con. caroline kennedy confirmed to become the next ambassador to japan. she's humbled to carry on her father's leg sichlt. the acquittal of mavericks

owner cuban after he was alleged to sell shares in 2004. teens are allowed to share profiles with everyone. until now teens on facebook could share posts and photos high pressure starting to weaken just a little bit. so our temperatures will come down a few degrees today. not by much. it should be a gorgeous day. get out and enjoy it if you can. a lot of sunshine coming our way as high pressure sits overhead right now. weak system sliding to the east of us overnight brought a few high clouds. but i think as we head in toward the afternoon, still a lot of sunshine but a stronger sea breeze along the coastline. 60s and low 70s there. 70s inside the bay and 80s in the valleys. next couple of days, warmer on friday and saturday. >> announcer: this national weather report sponsored by

splenda no calorie sweetener. i think sugar. say splenda. is america missing out on a chance to stop terror? national intelligence insider john miller is with us. >> well, charlie and norah, there is a battle under way for hearts and minds. we went to europe to see a would-be terrorist and you'll see how police there are finding ways to stop people from turning into radicals. a new report shows more than a thousand buildings in california are at risk of

collapse in an earthquake. >> if you were to reinforce this building with steel, what would that cost you? >> oh, i'm sure into the millions. >> reporter: and that's prohibitive. >> yeah. >> ben tracy with the danger that lies. >> plus the meteor that raced across the russian sky. it brought a lot of questions man could provide answers about the mystery of our universe. the news is back in the morning here on "cbs this morning." stay tuned for your local news. past my prime? i'm a victim of a slowing metabolism? i don't think so. great grains protein blend. protein from natural ingredients like seeds and nuts. it helps support a healthy metabolism. great grains protein blend.

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the best or nothing. breaking news in redwood cia six-alarm fi your realtime captioner is mrs. linda m. macdonald good morning, 7:26. i'm frank mallicoat. we're following that breaking news in redwood city this morning. a six-alarm fire continues to burn out of control, large apartment complex on woodside road. >> you can see flames and smoke there. chopper 5 over the scene right now. it started about 5:30 this morning. about 2 hours ago. we're told at least 4 people were injured including one serious but no deaths. firefighters have been going door to door to make sure everyone got out. evacuation center is set up, as well. we'll keep you updated all morning long. we have your traffic and weather coming up as well right after the break. ,,,,,,

good morning. liza battalones here.

expect delays at the bay bridge toll plaza. traffic has been backed up from the foot of the maze and still slow traffic on the upper deck of the bridge getting into the city because of earlier problems. and remember, woodside road has been shut down indefinitely as fire crews work on that massive six-alarm apartment fire burning near union avenue. woodside road shut down both ways near union. bart trains are rolling today with no delays on the system. lawrence? >> all right. we have a lot of sunshine coming our way. a weak system sliding just east of the bay area overnight maybe just enough to help cool us down a few degrees. but what a beautiful start to the day. looking out over the bay this morning, the sun coming up on what looks like a mostly sunny day once again. you see some of those clouds sliding east of the bay area overnight. but now high pressure is still in control even though it's weaker. we'll still see plenty of sunshine outside a lot of 70s inside the bay, 60s some low 70s toward the coastline with more breeze. next couple of days should be warmer into the weekend. ♪

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i went to manchester and london to look at what they're doing differently over there. in the boston marathon bombing the fbi said much of the bomber's inspiration came from anwar al awlaki whose message is spread across youtube in dozens of videos.

>> to the american people i say your security will continue to be threatened as long as your government continues with its aggression against the muslim people. >> i think al awlaki realized he could gather up chinks of people. >> he says 12 years after the september 11th attacks governments have failed to create a counternarrative that is as power to young disaffected youth as the messages of anwar al awlaki or oh so madieu he said he was taken in by a narrative that was built from what he called cleverly arranged half truths. >> to add them up and conclude there is a global war against islam is what leads to the young

radical reaching a state where his or her heart is completely hardened and closed off to anyone other than muslim operatives. >> and that he says becomes the justification for this. >> something just blew snup in his new book "radical," he charts his own path from radi l radicalization to rejection. >> since then i've visited ground zero and spoken at the memorial. he may be the anti-al awlaki. >> why are we making excuses? is it not also a crime when muslims are killing muslims? >> we don't have a coca-cola to their pepsi. >> he grew up and works in great britain. we went to man chesser to to see

how police are identifies young men at risk. peter heads that program. >> it's about a reach into the local communities. >> plain clothes officers like daryl cunningham and oz khan work their neighborhoods with ties to middle east, africa, and asia. >> we're not there to identify sources of information but we are there to take their concerns back. >> and when somebody identifies a person who may be headed down the path of radicalization, police look at their options, do the police make an arrest or find another approach. >> how do you evaluate that? >> if it's devised into it. is this a vulnerable person who perhaps has been radicalized. >> nowaz has an even brad

irposition. >> simply focus on renegotiating social contract so the young people can believe in certain core principles of human rights and democracy. >> so this was an interesting contrast from -- they have a strategy that's broken into pieces. this part is the prevent piece. and that part where they divert pieces into programs is called the channel to channel them away from radicalization. it's a little more advanced. >> it's such a fundamental and basic idea. you've got to be a participant. you ev've got to be coke to the pepsi. >> government is just about the worst messenger. this is a battle of hearts and minds that has a religious overlay and when the message is being overlaid it's one thing to say just say no to drugs but when you start to interpret things, government can formulate

that message and we haven't really found that person with charisma and outreach, the american anti-awlaki. >> does it work? i sat in those meeting. this is what nowaz said. death by committee. they never came up with anything. part of the problem is politics which is if you're going to find somebody whose voice resonates to that demographics, you have to find somebody who may disagree with you and basically when you get the that, politicians say you can't support that and then the whole discussion starts over. >> largely in the past it was good will ambassadors who were high-raenking officials and those who couldn't resonate. great story. thank you so much. and scientists are studying a giant space rock after pulling it from a lake on wednesday.

it's part of a meteor that exploded in the sky this past winter. the shock wave broke windows and injured more than 1,600 people. seth doane shows us what the experts hope to learn from this rock. >> reporter: most stones don't attract throngs of media but this is no ordinary rock. weighing more than half a ton, it started out as a much larger asteroid in the far reaches of the solar system. the last time it was publicly seen was in february as a huge fireball streaking across the sky over russia. it exploded with a force 20 times greater than the nuclear bomb that destroyed hiroshima. >> while we have lots of asteroids and meteorites spin overhead, very few of them actually make it to the pleasant. not only did that make it to the planet it was one of the largest ones to hit us.

it plunged to the bottom and was buried under a thick layer of sediment. crews spent ten days freeing the space rock. no one knows exactly how heavy it is because it broke the scale when it was being weighed. >> when it hits the atmosphere, it's traveling so fast that it burns off a lot of the outer stuff leaving a dense core matter that can actually hit the earth. >> reporter: the original meteor was about the size of a bus and weighed roughly 10,000 tons. the explosion broke it into countless fragments. one hauled ashore wednesday was by far the largest recovery. the rock was taken to a local museum where scientists can study the formation. for "cbs this morning," seth

doane, beijing. >> well, if it comes, yu hope it's not a big one. >> there's that. where's michio kaku when you need him. california spent billions getting ready for the next big earthquake. the new report exposing the threat to california and the building there. that's next on "cbs this morning." across america people are taking charge of their type 2 diabetes with non-insulin victoza®. for a while, i took a pill to lower my blood sugar, but it didn't get me to my goal. so i asked my doctor about victoza®. he said victoza® is different than pills. victoza® is proven to lower blood sugar and a1c. it's taken once-a-day, any time, and comes in a pen.

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great shakeout. in california, the only real question is when. scientists put the chance of a massive quake at 99.7% in the next 30 years. as ben tracy shows us, little has been done to strengthen the most vulnerable buildings. >> reporter: the 1994 northridge earthquake killed 72 people and caused $20 billion in damage. at the time, some city leaders called for a list of buildings that could collapse during a major quake, but it was considered too costly to force building owners to retrofit their properties so the list was never made. >> how much does the idea of the big one worry you? >> it's a constant fear. >> reporter: ethan eller manages the newmark building in downtown los angeles, home to many fashion wholesalers. 12 stories of concrete built in 1925. if you were to reinforce this building with steel, what would that cost you?

>> i'm sure into the millions. >> reporter: and that's prohib ittive? >> yeah. a lot of buildings are going to fail no matter what you do. >> reporter: the newmart is on a list compiled by "the los angeles times" of buildings potentially at risk during a major earthquake. most are concrete structures built in the '20s and '30s as los angeles rapidly expanded. they're mainly in downtown and hollywood and include a luxury hotel and the iconic capitol records building. doug smith spent seven months digging through permit records and walking the streets to find these buildings. >> many owners told us my building is reinforced with steel, so it's safe. every concrete building has reinforcing, but the question is how much. >> reporter: without enough in their columns, during a quake concrete buildings don't bend, they break. and the building collapses. >> we've known for many years that these buildings are by far

our most dangerous buildings in los angeles. >> reporter: tom heaton is a seismologist at cal tech. >> if we had a large earthquake similar to the northridge earthquake, but in the downtown area, i would expect to see many thousands of people killed, maybe tens of thousands. >> reporter: in 1981, los angeles mandated that 8,000 brick buildings be reinforced or knocked down. the state has spent $6 billion renovating highways and overpasses. all new buildings are built to stricter earthquake codes but owners of existing concrete buildings where thousands live and work have not been forced to make changes. now the l.a. city council is considering a review of concrete buildings built before 1976. but in a motion filed tuesday, one council member writes, we have known about these dangers for some time. however, we must also be aware of the costs involved in any comprehensive effort to require retrofitting. ethan eller says his company

spent $1 million in seismic upgrades at the newmart building. you feel like you've done everything you can to that's reasonable to make this building more safe? >> yes, we're very cognizant of our tenants and their customers. if you kill your tenants, that doesn't pay the rent. >> we're having an aftershock right now, people. >> reporter: nobody knows when the big one will strike, but it's clear that los angeles has a concrete problem to solve. for "cbs high pressure starting to weaken just a little bit. so our temperatures will come down a few degrees today. not by much. it should be a gorgeous day. get out and enjoy it if you can. a lot of sunshine coming our way as high pressure sits overhead right now. weak system sliding to the east of us overnight brought a few high clouds. but i think as we head in toward the afternoon, still a lot of sunshine but a stronger sea breeze along the coastline. 60s and low 70s there. 70s inside the bay and 80s in the valleys. next couple of days, warmer on friday and saturday.

the federal budget standoff is over for at least a few months. we'll look ahead at what's ahead with former white house chief of staff bill daley. why president obama is lucky to have the tea party around. that's ahead on "cbs this morning." >> announcer: this portion of "cbs this morning" sponsored by houuman humana. we take the time to get to know you and your unique health needs. then we help create a personalized healthcare experience that works for you. and you. and you. with 50 years of know-how, and a dedicated network of doctors, health coaches, and wellness experts, we're a partner you can rely on -- today, and tomorrow. we're going beyond insurance to become your partner in health. humana. of nescafe clasico stir what's inside of you.

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we're following breaking nen redwood city. this is a live we're following breaking nen redwood city. this is a live look right now. a six-alarm fire continues toe trol in a large hi, everyone. good morning. 7:56. i'm frank mallicoat. we are following breaking news in redwood city. a live look right now. a six-alarm fire continues to burn out of control in a large apartment complex on woodside road still some smoke and a little flame down there. it started about 5:30 this morning and this is what it looked like early this morning when chopper 5 was flying overhead. four people were injured, one seriously, no deaths record. firefighters have been making sure everyone got out safely. no word on the cause. it is affecting traffic and we got your weather forecast both coming up right after the break. ,,,,,,

good morning. liza battalones here. slow traffic over at the bay

bridge toll plaza. traffic still stacked up from the foot of the macarthur maze with the metering lights on. sky one flew over marin county and told us south 101 is slow leaving novato approaching central san rafael. in redwood city because of the apartment fire, woodside road is closed indefinitely both ways near union avenue. there have also been an accident -- there's also been an accident north 101 approaching woodside road. that's traffic. here's lawrence. >> all right. looking like a great day ahead, a lot of sunshine coming our way even along the coastline again. we have nice clear skies, no fog to worry about, but you'll see some changes along the coastline today. i think stronger sea breeze kicking in toward the afternoon and probably temperatures slightly cooler outside. high pressure breaking down weakening somewhat as the low goes east but we'll see a nice day. a lot ofoids inland, 70s inside the bay and some 60s low 70s toward the coast. warmer on friday and saturday. ,,

this is a cbs special news report. i'm charlie rose with norah o'donnell in new york. the president is about to make a statement in the white house about the budget compromise he signed last night. this is a live picture of the dining room, and the partial shutdown will allow the united states to keep borrowing money lu the country. >> about 50,000 furloughed employees are headed back to work. monuments and national parks are e reopening, and we got these pictures from the lincoln memorial where the crews are e removing the barricades. people are lining up to get into the capitol visitor's center, but right now the focus is down pennsylvania avenue. bill plante is down at the white house. what should we expect to hear? >> well, norah, the president is not going to do any gloeting, and no need for that, and e

everyone in washington has the blame. he will outline what he calls the consequences of the damage to the economy, and he is going to talk about the things that he wants to do to move ahead like immigration reform, education, pre-k education, a farm bill, and all of that before the end of the year. the white house specialists tell us that they don't believe that the republicans will want go through this for three or four months. the republicans know that they will not get anything from this president on the debt limit or anything else. he won't budge. norah, charlie? >> well, bill, the budget negotiations begin immediately, do they not? >> they do. in fact, there were budget negotiators at the breakfast at the capitol and people have said, why do you think that these budget negotiations can -- here's the president. good morning, everybody. please have a seat. last night i signed legislation to reopen our government and pay

america's bills, because democrats and responsible republicans came together, and the first government shutdown in 17 years is now over. the first default in more than 200 years will not happen. these twin threats to the economy have now been lifted, and i want to thank those democrats and republicans for getting together and ultimately getting together to get this job done. now, there's been a lot of discussion lately of the politics of this shutdown. but let's be clear. there are no winners here. these last few weeks have inflicted completely unnecessary damage on our economy. we don't know yet the full scope of the damage, but every analyst out there believes it will slow the growth. we know that the families have gone without paycheck or services they depend on. we know that the potential home

buy iers have gotten fewer mortgages and the small business loans have been put on hold. we know that the consumers have cut back on spending, and that half of all ceos say that the shutdown and the threat of shutdown set back their plans to hire over the next six months. we know that just the threat of default of america not paying all of the bills that we owe on time increased the borrowing costs, which adds to the deficit. of course, we know that the america's people's frustration with what goes on in this town the has never been higher. that is not a surprise. that the american people are completely fed up with washington. and at moment when the economic recovery demands more jobs, more momentum, we have got yet another self-inflicted crisis that set our economy back.

and for what? there was no economic rationale for all of this. over the past four years, our economy has been growing. our businesses have been creating jobs, and our deficits have been cut in half. we hear some members who pushed for shutdown say they were doing it to save the american economy, but nothing has done more to undermine the economy in the past three years than the kind of tactics that create these manufactured crises. and you don't have to take my word for it. the agency that put america's credit rating on watch the other day explicitly cited all of this, saying that the economy remains more dynamic and e resilient than other advanced economies, and that the only thing putting us at risk, and

i'm quoting here, repeated brinksmanship. that is what the credit agency said. that was not a political statement. that was an analysis of what is hurting our economy by people whose job it is to analyze these things. that also happens to be the view of our diplomats who have been hearing from their counterparts internationally, and some the same folks who threatened default and shutdown were some who claimed that their actions were to get america back on the right track, to make sure we are strong, but mprobably, nothing has done more damage to america's credibility in the world, and our standing in other countries than the spectacle that we have seen in the past few weeks. i has encouraged the enemies and

enned our enemies and worried our friends. the good news is that we bounce back, and we always do. america is the bedrock of the glow palbal economy for a reaso. it is the safest, and wisest place to invest, and something that has made it easy for americans to invest in their own futures. we have earned that responsibility over more than two centuries, because of the dynamism of the economy, and the entrepreneurs, and the productive ti of the worker-- productivity of the workers and also because we keep our word. that is what full faith and credit means. you can count on us. today, i want the people and our

businesses and the rest of the world to know that the full faith and credit of the united states remains unquestioned. but, all of my friends in congress understand that how business is done in this town has to change. because we have got a lot of work to do on behalf of the american people, and that includes the hard work of regaining their trust. our system of self-government do doesn't function without it. and now that the government has reopened, and the threat to our economy is removed, all of us need to stop focusing on the lobbyists and the bloggers and the talkingheads on radio, and the professional activists whoc on what the ma jjority of the americans did to send us here and that is to grow the e kcono, create good jobs, strengthen the middle class, educate our kids,

and lay the foundation for broad spread prosperity, and get our fiscal house in order for the long haul. that is why we are here. that should be our focus. that won't be easy. we all know that we have the divided government right now. there is a lot of noise out there, and the pressure from the extreme extremes affect how a lot of the members of congress see the day-to-day work that is supposed to be done here. and let e's face it, the americ people don't see every issue the same way. that doesn't mean that we can't make progress. and when we disagree, we don't have to suggest that the other side doesn't love this country or believe in free enterprise or all of the rhetoric that seems to get worse every single year. if we disagree on something, we

can move on and focus on thing ths that we agree on. and get some stuff done. let me be specific about three place places where i believe that we can make progress right now. first, in the coming days and weeks, we should sit down and pursue a balanced approach to a responsible budget. a budget that grows our economy faster and shrinks the long-h term deficits further. at the beginning of this year, that is what both democrats and republicans committed to doing. senate passed a budget, and the house passed a budget, and they were supposed to come together to and negotiate. had one side not decided to pursue a strategy of brinksm brinksmanship each side could have gotten together and figured out how to shape a budget that

provides certainty to businesses and people who rely on government and certainly the investors in the economy, and we'd be growing faster right u now. the good news is that the legislation i signed yesterday now requires congress the do exa exactly that, what it could have been doing all along. and we shouldn't approach this process of creating a budget as an ideological exercise. just cutting for the sake of cutting. the issue is not growth versus fiscal responsibility. we need both. we need a budget that deals with the issues that most americans are focused on. creating more good jobs that pay better wages. and remember, the deficit is getting smaller and not bigger. it is going down faster than it has in the last 50 years. the challenge that we have right

now are not short term deficits, but it's the long-term obligations around the things that we have like medicare and social security. we want to make sure those are there for the future generations. so the e key now is a budget that cuts out the things that we don't need, closes corporate tax loopholes that don't help create jobs and frees up resources for the things that do help us grow like education, and infrastructure and research, and these things historically have not been partisan. and this should not be as difficult as it has been in a few years ago, because we are spending less than what we have a few years ago. our deficits are less than what we had a few years ago. our problems now are long-term,

and we can change them without shortchanging our kids or grandkids or weakening the security that current generations have earned from their hard work. so that is number one. number two, we should finish fixing the job of our -- let me say that again. number two, we should finish the job of fixing our broken immigration system. there's already a broad coalition across america behind this effort of comprehensive immigration reform from political leaders, to faith-based leaders to law enforcement. in fact, the senate has passed a bill already with strong bipartisan support to make the biggest commitment to border security in our history, an modernize our legal immigration system and make sure that everybody is playing by the same rules and make shure that the

folks who came here illegally pay a fine, and pay back taxes and meet their financial obligations. that bill has passed the senate. and economists estimate if that bill becomes law, our economy is 5% larger than it is now. and that is $1.4 trillion in new economic growth. the ma jjority of the americans think that it is the right thing to do. and it is sitting there waiting for the house to pass it. now, if the house has ideas op how the improve the senate bill, let's hear them. l let's start the negotiations, but don't leave this problem to keep festering for another year or two years or three years. this can and should get done by the end of this year. number three, we should pass a

farm bill that protects ranchers and farmers and protects adults and children and the right to grow. and again, the senate has already pass ed a solid bipartisan bill. it has support from the democrats and the republicans. it is sitting in the house waiting for passage. if house republicans have ideas that they think would improve the farm bill, let's see them. let's negotiate. what are we waiting for? let's get this done. so, passing a budget, immigration reform, farm bill. those are three specific things that would make a huge difference in our economy right now. and we could get them done by the end of the year, if our

focus is on what is good for the american people. and that's just the big stuff. there are all kinds of other things that we could be doing that don't get as much attention. i understand that we will not suddenly agree on everything now that the cloud of crisis has passed. democrats and republicans are far apart on a lot of issues. i recognize that there are folks on the other side who think that my policies are misguided. that is putting it mildly. that is okay. that's democracy. that is how it works. we can debate those differences vigorously, passionately, in good faith through the normal democratic process. and sometimes, we will be too far apart to forge an agreement,

but that should not hold back our efforts in the areas where we do agree. we shouldn't fail to act on areas that we do agree or could agree just because we don't feel it is good politics. just because the extremes in the p party don't like the word compromise. i will look for willing partners wherever i can to get important work done. and there's no good reason why we can't govern responsibly. despite our differences, without lurching from manufactured crisis to manufactured crisis. in fact, one tof the things tha i hope that all of us have learned in the past few weeks is that it turns out that smart effective government is important.

it matters. the american people in the shutdown had a chance to get some idea of all of the things that are large and small that government does that makes a difference in people's lives. we hear all of the time about how government is the problem. well, it turns out that we rely on it in a whole lot of ways. not only does it keep us strong through the military and the law enforcement, it plays a vital role in caring for the seniors and the veterans, educating our kids, making sure that our workers are preparing for the jobs and being creative and armed with the best sciences and technology to compete with the companies from other countries. it plays a key role in keeping our food and our toys and our workplaces safe. it helps folks rebuild after a

storm. it conserves our natural resources. it finances start-ups. it helps to sell our products overseas. it provides security to our diplomats abroad. so let's work together to make government work better. instead of treating it like an enemy or purposely making it work worse. that is not what the founders of this nation envisioned when they gave us the gift of self-government. you don't like a particular policy or a particular president, then argue for your position. go out there and win an election. push to change it. but don't break it. don't break what our pred s

predecessors spent over two centuries building. that's not being faithful to what this country is about. and that brings me to one last point. i have a simple message for the dedicated and the patriotic federal workers who have been working without pay or have been forced without pay for the past few weeks, including most of my own staff. thank you. thanks for your service. welcome back. what you do is important. it matters. you protect our country overseas and deliver to our veterans, and protect our borders and gain

footholds in markets, and protect the air we breathe and the water our children drink and guide the wonders of space, and provide people with the glories of this country, thank you. what you do is important, and don't let anybody else tell you different, especially the young people who come to this city to serve. believe that it matters. well, you know what, you are right, it does. and those of us who had that privilege to serve this country have the obligation to do our job as best we can. we come from different parties, but we are americans first. that is why disagreement cannot mean dysfunction. you can't degenerate into hatred. the american people's hopes and

dreams are what matters, and not ours. our obligations are to them. our regard for them compels us all, democrats and republicans to cooperate and come ppromise act in the best interests of our nati nation. one in addition -- one nation under god indivisible with liberty and justice for all. it is an interesting conversation with the president, because he wants to identify with the frustration of the country and point out economic law, but to say, we can't let this happen again and we have to work together. >> and to be sort of the grown-up in the room, and to look forward and say, these are the three ways to work together, and he has gone back to the signature message for president

obama, we are not just democrats or republicans, but americans, and disagreement should not mean dysfunction. we will see what happens. >> and the republicans are going to be saying, these are word, and how do we define action. we go to our chief correspondent and host of "face the nation" bob schieffer. >> well, the most important thing, charlie, is when the president said there are no winners here. i mean, the president won this thing, and there is no question about this thing, but he has to be careful not to rub the opposition's noses in it. the best thing that will happen around here is that the congress will go home for a while, and the divisions are wider than they have been in a long time and not just between the republicans and the democrats, but between the house and the senate, and the republicans and the republicans, and everybody has to step back here kind of take a deep breath and refocus. the president said that we have to change the way we do business around here, because as he said,

these are crises created by the congress. these are manufactured crises, and the congress and the white house, all sides, no winners here, and nobody comes out of h this looking very good, think, but they have to rethink how they do business around here. i think that's what the president was saying. >> thank you, bob. >> thank you, bob, and our coverage will continue throughout the day on this cbs station, and more tonight on the "cbs evening news" with scott pelly. >> for those in the west, we will return to "abc this morning" and this has been a abs special report. i'm charlie rose with norah o'donnell. . what do grocery shopping and the defense industry have in . the ceo of lockheed martin tells us.

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your realtime captioner is mrs. linda m. macdonald hi,everyone. i'm frank mallicoat. an update now on that breaking news we have been following all morning long in redwood city. a six-alarm fire has been burning for three hours at an apartment complex on woodside road. chopper 5 over the scene right now where it's still smoldering. we're told at least four people were hurt including one seriously. firefighters had to go door to door to be sure everyone got out. >> my neighbor probably about 75 she had to get carried down. another lady was taken down. so that was at least three people from the ladder being taken down from my balcony. >> an evacuation center has been set up at the community center on roosevelt avenue. the traffic and weather coming up after the break. ,,,,,,,,,,,,

. good morning, everybody. liza battalones here. if you are heading for the redwood city area just keep in mind woodside road remains shut down indefinitely as crews work on that massive apartment fire. again, closed in both directions approaching union. expect big delays getting through there. meanwhile, if you are heading for the freeway north 101 jammed up solid out of mountain view approaching woodside road

in union city. south 101 very heavy leaving burlingame approaching and heading to and through the peninsula because of earlier problems. the bay bridge toll plaza is going to be slow going. that is stacked up through the macarthur maze with the metering lights on. bart is running this morning with no delays on the system. that's "kcbs traffic." now to lawrence. >> an area of low pressure moving just east of the bay area overnight so temperatures may be just slightly cooler but still a lot of sunshine outside right now and looking good as we sail through the morning and into the afternoon. not as cool this morning, clear to the coastline early on. you have a lot of sun already. going to stay that way all day long. see some of those clouds sliding through with that weak low passing to our east. now our skies are clearing out and, well, we are going to see plenty of sunshine and some very nice weather. in fact, a little bit cooler and breezy toward the coastline this afternoon. some 60s and some low 70s there. a lot of 70s inside the bay and some of 80s in the valleys. next couple of days, probably warming up as high pressure begins to warm things up through saturday. cooling off on sunday. ,,,,,,,,

welcome back to "cbs this morning." coming up in this half hour, how can you get your creative juices flowing? we find out from the team trusted by fortune 500 companies. here's a look at brothers tom and david kelly in our toyota green room. they lead the company in some of the greatest innovations including apple's first mouse. plus cellist yo-yo ma played for the president as a child and even as an adult. more now with our conversation with marillyn hughson. as ceo she manages 116 thousand

employees along the world along with the largest weapons program in u.s. history. we spoke with hewson yesterday. >> i must say, you know, to be in this role is quite an honor. >> it's also considered quite the responsibility. she became the most powerful person at the largest defense company in the world. she always became its first female coo. >> how has the transition been? >> it's been great. i've been there with 30 years. i stepped into the role in 30. >> the defense industry has been known as the ultimate boys club and now a woman is in charge of the biggest defense contractor. what do you think about that? >> if first off i don't consider

it an ultimate boys' club. if you look at lougheeckheed ma you have a lot of women. i don't consider it an old boys club. >> how has it changed? >> there was a time i was the only female in a room with a lot of leaders. today i'm happy to say it's not the case. she never turned down a promotion even though it moved her family eight times over the course of her career. >> what's the leadership passion? >> to form it. don't let it hold you back. just as my mother said, you can do anything if you put your mind to it and work hard. that would be my message. >> you've talked about your mother, that you learned about a

lot about leadership. how so? >> my mother isle 4 yes, sired old and is still going strochlkt frankly wanted to make sure her children were prepared. >> your dad died when you were 9 years old and your hom had five kids to raise. how did she do it? >> she's robust and did a superb job. she did it like many women of herrera. many women during that time, in that generation, face add lot of challenges with their husbands or off to wore or there were challenges in the environment and she had to do what she had to do, thabds ta taught me. your mom would give you $5 for seven worth of groceries. she'd say make it worst.

here's the list. >> that would make you work to buy everything with that value. these days hewson is with lockheed martin. she's wranked number four of the most powerful women but she'll always credit her success to lessons learned at home. >> she wanted us to be self-reliant. i bring that into the business world. i think it's important for people to be prepared. we give them experiences and education and things so that when they're faced with a new challenge, they've had a collection of experiences to draw on so that they can be sus sellful. >> sounds like a woman who is very comfortable with herself and the role she has. >> anybody in big business,

certainly washington knows the defense system carries a lots of wait in washington, when someone calls chuck hagel and it's marillyn hewson, they get on the phone. a lot of to contractors are at these big firms. you can see she's very level-headed, very smooth. this is her first interview she's done. >> she did very well. now i want to be meet her mom clearly she's passeden on to her daughter. you'd be surprised how many say this is not a good time in my life. >> i thunk she worked her way up. it was a difficult transfer. she knows every little piece of

it. the other thing is that given the defense cuts a lot of work is going to come from overseas, they want her defense systems. for 30 years david kelly and his brother tom have taken products and made them better. they reengineered everything from the computer mouse to remote controls and even the classroom chair. david yel kelly was on "60 minu" >> reporter: breakthrough ideas happen every day here. the keep to unlocking unorthodox approach to problem sov. >> your business. >> yep. >> yep. >> doctor os, anthro pot gists

for spam pechlt you've got to have diversion and a computer thiep miss. >> you've got it. that's the hard part having them building on each other's ideas. >> the brothers have put out a new book. it's called creative confidence. david and tom kelly, welcome. >> thanks. >> what is creative confidence? >> it's really two things. the natural ability to come through with breaking ideas combined with acting on the ideas. what we discovered is some have the idea but they have fear of being judged. >> we both believe everybody can be creative.

after looking at the book, i am thinking differently. i never believed that. >> look at kids in kindergarten. they're making it like a chicken with four legs and mom puts it upton refrigerator and ir somewhere around the line as not creative because you're being judged by your peers. the one thing is they don't have to create creativity. all they need is to have a few small successes. they hold their hands and have a few small successes. you write in the book you share add bedroom for 14 years. you create add telephone that only dialed your phone from your

girlfriends. e love that it. >> you know, we kind of approached this from did drejzs. >> new never used the word "work." >> we know people who drag themselves in to work every day you. can thing of it as a job. a career, a calling. there are people who don't have to work but it's fun. >> i have young children and you see that happen early on in school, that child is very creative and you get the assumption pa people are born creative. you dmot believe that. and yet you think you can create it. >> it's not the case. you don't expect a person to sit

down at the piano and play for the first tiemt. that would be kratzy. but we somehow think you can draw or you can't. so you find your different ways. you may be a creative kur rater or figures things out in new ways, so cree ateshty needing to be kochb fines to come up with new ideas. you know creativity from silicon valley. tell us about steve jobs' cray atishty? march rj mags telli stevens creativity to me was about inspiring others, mostly, you know, he got the best out of

me, out of every designer. he did everything with intention. take all the little parts of a project and then you say how can i make this little piece frmg you know, zrard. for someone who's listening to you what do you think when a person says i'm not creative. >> get the book. >> other than that. >> the whole thing is getting in and building empathy. we've seen bias toward instead just jump in. if you're designing a new bicycle, go out, watch people who ride bicycles. rield when other it. . you're having paem the for people.

i want to build empathy for them. we mostly look at knock joil yolgy or widsed by. it's much better, i believe, to go out and really build. pathieu. f what's meaningful for people? in some ways it's easier to sop that plarch problems. income it says on the pam of the book they will design a way to changed on personal life. you brought in a b-52. >> thank you very much. charlie rose has a very big gun. yo-yo ma is in our toyota green room. >> i don't like the sound of this. >> it's a family show. >> along with his 180--year-old

ready? happy birthday! it's a painting easel! the tide's coming in! this is my favorite one. it's upside down. oh, sorry. (woman vo) it takes him places he's always wanted to go.

that's why we bought a subaru.

yo-yo ma is widely regarded as one of the world's best cellists. the child prodigy made his carnegie debut at 16. he also played at president obama's first inauguration. yo-yo ma joins us in a moment but first a look at his career. yo-yo ma began playing cello at the age of 4. in 1962 he performed for john f. kennedy and his wife jackie in washds. often called the greatest cellist alive, yo-yo ma has produced over 90 albums, won 18 grammy awards and receive both the national medal of arts and

the presidential medal of freedom, but for him music is just about as much sound as imagination. he believes every song tells a story. he told charlie rose he believes it's his job. >> somehow, somewhere there's a common denominator that links them. >> there's absolutely. >> at age 58 yo-yo ma is still performing for audiences around the world playing what he says is the highest level of a career that has spanned more than five decades. >> i think he likes to play. yo-yo ma's latest album is a playlist. it's a collection of musicians and promoters from more than 20 countries.

how are you. >> >> good. how is it you knew the cello was something you wanted to do. >> i didn't. it happened by accident. >> did it choose you? >> no. i wanted to play the largest instrument and at age 4, that was the largest instrument because i -- i wanted to play the double bass. it was huge. my parents said, we had a violin for you. you didn't like it. you stick with it, kid, and i did. >> do you remember that? do you remember playing for ken president kennedy? >> i actually do. ty remember it was an important occasion. i understood that president kennedy was a very special man, but i was not aware that presidentiz ize ize izeisenhowe

same dinner until we saw the tape. somebody saw that. but i did not know really what the man did until obviously later on, so i can always reflect on that and say that was kind of amazing to have been there. like waldo. >> where is waldo. >> yeah. you know, it's funny. we were talking with tom and dave kelly, whether you're born with creativity or it's something you learn. do you have a take on that? you were so talented. it's almost that you had a gift girn to you. >> it's interesting. i heard the interview and i thought that was so amazing that both david and tom used many of the same vocabulary that i use thinking about what it takes to create things. and, you know, the collaboration part and essentially -- you know, putting diverse groups of

people together, which actually in nature would be when you have ecosystems you could get an edge, an edge effect. that happens with ideas, disciplines, people. >> a human centered approach. >> empathy. absolutely. so in terms of talent, creativity. e it requires imagination. all of you are mixing it on top of one another. so with your different backgrounds, living in durchlt places, you can at any moment think what if this person were somewhere else. >> the silk road, playlist without borders, what does that mean? >> a playlist actually 7 billion people can share in kmob these days. and in terms of bofrders, we determine our borders.

some of thm are political. but them there's the border of imagination. that we have the most control over. we don't have a government shutdown today but we can't control where our own edges are and that's where the growth hatches. so to develop a great imagination is the first step. >> thank you, yo-yo. great to have you here. >> thank you, yo-yo. "a playlist without borders" is,

isn't it great to come to work and talk to yo-yo ma. >> i think he said it best. he said, you have an interesting group of people that come to the table. >> like him. >> i think he gets us.

like him. >> creativity. that does it for us..,,,, ,, ,,,,,,,,