newt gingrich as his pick to make a ron on front-runner mitt romney. >> i believe he can transform our country. >> i was very humbled and honored to have governor perry speak so well about endorsing me a few minutes ago as he with draw from the campaign. morebreaking news. the iowa republican party released final certified vote totals from the january caucus shows rick santorum edging out mitt romney. no winner was declared because votes are missing from eight of iowa's 1700 precincts. nbc news is not declaring a winner in iowa. our poll shows newt gingrich surging in south carolina two days ahead of the primary there

and tonight's republican debate. romney is leading gingrich by only five points. john harwood joins us this morning. i don't want to say wtf, but that's kind of what's going on here? so many moving parts. >> sure. the iowa results which are a boost of santorum to some degree but more of a blow to romney. now you have gingrich coming on in the polls. we have seen that in our nbc marist poll. some are showing him overtaking romney. to str phave perry drop out, th helps newt gingrich a as he comes from behind against mitt

romney here. we have two big things. you have the debate tonight and the interview with mary ann gingrich. both of those are wild cards in the race. >> let me talk to you about the pressure rick perry must have been under to get out of this race. we talked about conservatives wanting to coalesce a around one or two people in an effort to try and defeat mitt romney. what was happening behind the scenes. rick perry wanted to stay in through south carolina, maybe even florida. >> reporter: he had wants to do that, tamron. this entire race has been a huge come down for rick perry ever since he entered in august. shot to the top of the poll, then he has a series of missteps. you remember the oops moment. he had a had time recover fing

from the ridiculed that attracted. he did very poorly in iowa. he decided to come to south carolina, i think looking for some conservative southerners to lift him up for one last time to see if he could make way in the race. he was stuck well into single digits. he wasn't making a dent. he gave a very dignified statement today, and the boost to newt gingrich may help him stop somebody who thinks may be too liberal for the party. >> thank you, john. let's bring in steve who endorsed newt. >> good to see you. >> let's start off with what happened here, 34 votes. rick santorum said i am the victor here. we have new sound from him. let me play it and get your thoughts on the other side. >> there have been two primaries

held now. we have won one. it's been certified in iowa. i think it's important to understand not only if you win the certified vote, but if you add the other vote, we'd win by more. >> did rick win this even though you have the missing ballots out there? >> maybe i went to public school, but i thought certify the results and one person had more votes than the other, that means they won. i don't know. maybe we become a banana republic overnight. i think he can safely assume he won. >> how does that impact south carolina? >> i think it has a huge impact in south carolina just because you have to look at it in the context of the rest of the ve s events that you were talking about. this might be the week mitt romney lost the republican nomination. he won an election where half the vote were democrats and

independents. now he's turning tail in south carolina. newt gingrich is surging there. they are beginning to colease. they understand mitt romney is more like obama. >> you say the conservatives are starting to coalesce. this comes for an interesting time of the guy you want to back. gingrich's ex-wife has given an explosive interview. let me play an excerpt and what newt said this morning in anticipation of this fire storm. what he said on the "today show". let's play them both. >> he said, yes, but you want me all to yourself. calista doesn't care what i do. >> what was he saying? >> he was asking to have an open marriage and i refused. >> he wanted an open marriage? >> yeah. that i accept the fact he has somebody else in his life. >> and you said?

>> no. no. that is not a marriage. >> i'm not going to say anything negative about mary ann. my two daughters have sent a letter to the president of abc news saying this is totally wrong. they think abc should not air anything like this. >> let me get your thoughts on what marianne had to say. >> it's always heartbreaking any time a marriage comes to an end. we're talking about things that happened a decade, if not more than that a long ago. i start thinking about the person i was 15 years ago. i think my wife would say i'm a lot different compared to the person that she married. some of the things that she wants to allege about newt are probably things i would have been if favor of 15 years ago. i'm a different person and i've grown up then. >> you would have been in favor of open marriage. i don't want to get in your business.

>> listen, 15 years ago before god saved me and gave me a new life, i would have tried to see if i could have a bigger porn collection than ron jeremy. i was a different guy. never in a million years do did i think i would be sitting here taking positions i am now. that's the difference faith makes in your life. i think your do two daughters and two sons-in-law, they know you best over the long haul. those are some pretty powerful character witnesses. >> you're saying what rick perry said when he decided to endorse newt gingrich in believes his faith allows him to forgive and you can turn your life over and present a new human being. we know that newt has a difficult time attracting female voters. that, yes, you may be a different person ten years later, however, to see his wife

talk about the woman he is currently with who is standing by him, who he refers to today in every other sentence and this notion of respecting and honoring mairj, at that time, he had very little, if her story is true, respect or regard for marriage, and he now wants to define or accept the definition of marriage in some sanctimonious way. ten years in his time is not that much of time. >> everything you said makes sense but there's grace. you look at some of the great figures in the judaoe christian tradition. peter was a coward and a liar. david was an adulterer.

we have seen this. this is the way god works. he works the greatest thing through the most broken people. if people want to look at newt's life and they don't think they see enough of that sort of change then voters have the right to make that call. i've seen that evidence of that change. >> i don't want to get into a debate over religion because that's anyone's thought to believe and share their thoughts. this is the same person who on stage appears to show very little compassion or in your words, grace, for poor people. this is the same man who appealed to an audience to applaud when a gay soldier was featured in a debate or when conversation about health care and someone dying, what should be done for this individual, he did not stand up and say for the grace that has granted me the person that i am now have grace on these people. he worked it for the audience to applaud him. where is that grace then?

>> i don't think there's anything more graceful for your fellow human beings to brake the shackle ls and meet your god given potential. there's nothing more compassionate than telling somebody you are better than where you are now. we can put the policies and things in place for you to reach that god-given potential. god has a better plan of your life than to be a ward of the state. >> will newt gingrich pull out a victory in south carolina? >> i believe he's going to win on saturday, yes. >> i hope to see you on saturday. very interesting day. thank you. >> thank you. >> is this mitt romney's worst week ever? he started the week under pressure po release his tax records. then he reveals he pays 15%. financial disclosure forms show

he earned $375,000 in speaker fees. then his campaign admits he has investments offshore. now, he can no longer claim he won the iowa caucuses. his campaign is calling it a virtual tie. let's bring in michael smerconish who is a msnbc contributor. not quite david letterman's top ten, but this is not a good week, including the events of today for mitt romney. >> you're right. i think that many of those trials and tribulations are going to be engulfed by the newt gingrich story. two hours sbo s into a conversa about nothing but all the news, this gingrich story is the one people most want to discuss. that's the buzz today. >> what do you make of the fact that rick santorum is calling it a victory? needs to pick up steam in south carolina. mitt romney says it's a virtual

tie. when it was the other way around, he said a win is a win. how would you define this week for him if it's not the worst week ever, what is it? >> i think it's been a bad week for mitt romney and largely of his own doing. some of these things are intangibles that you can't control. what your rattling off relative to romney, whether it's the poor performance or the way l they handle the tax returns, which you always knew was going to be an issue. there's been instance after instance where they didn't get ahead of the curve, and they should have. santorum probably woke up thinking he would have a dewey defeats truman moment. instead, so many other things are happening whether it's the ex-wife interview. whether it's per riry getting o and going for gingrich.

santorum hasn't gotten that shining moment. >> you bring up the ex-wife interview with marianne gingrich. we know in iowa the super pac supporting mitt romney really went after newt gingrich's character and beat him up to the point that he was all by wiped out of the numbers there. might we see more of that. mitt romney is in a desperate situation. does his super pac pick up on this interview and his it to their benefit? >> i don't think they do. i don't think they have to. i think this is going to get such traction in the next 24 hours. now there are reports that the washington post may be coming with its own story about marianne gingrich you sit back and let the free media do your work for you because you don't have to spend the money. i think abc made the right call.

i know that some are critical of their running the story. if i were a south carolina voter, and they sat on this, and sunday morning i woke up having voted and then they released it, i would feel like i'd been senator censored. >> newt gingrich is dedpleflect to his daughters. he says my daughters will talk more about that and even said they might appear on the "today show". what do you make of that as a parent? >> i hate to see them get thrown into the cross fire. it's like deal with this issue, if you can, but keep the kids out of it. >> they're adults. they're not little kids. thank, michael. >> thanks. ready to defend his record, president obama's re-election campaign releases tv ad.

what was the present doing at disney world today? 30 minutes after the cruise ship crashed in italy, a new audio tape shows the captain playing down the incident saying there's a power blackout. that's what he said. one month after the last u.s. troops left iraq, there's still been no national celebration to welcome home these men and women. i'll talk with a man who organized a parade to say thank you. join our conversation online. find our twitter page. whoa!

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right now, there are 36 countries around the world whose citizens can visit america without getting a tourist visa.

after they go online, they get pre-cleared by homeland security. there's only one thing they have to do and that's book a flight. that's great for tourism. over 60% of our visitors don't require a visa and in most cases that's because of this program. today, i'm directing my administration to see if we can add more countries to it. >> president obama at disney world just a short time ago where he used the happiest place on earth as a backdrop to explain his latest executive order. it's geared at speeding up the visa process for low-risk apply kant app v from china and brazil. kristen, chinese and brazilian spend $5,000 to $6,000 per business trip.

this is playing into the role of the economy and getting folks back to work as well. >> reporter: certainly is. good afternoon. president obama paying a visit to mickey mouse to unveil his latest we can't wait action. this is all about the economy, st stimulating jobs. as many as a million jobs could be added over the next decade if the united states increases its involvement in tourism and travel. politics playing a role today. florida is a major battleground state where republicans will be heading for their primary there at the end of the month. this trip allows president obama to take a little bit of the attention away from the republican primary, and try to gain some traction in an important battleground state where his approval rating is at 42% and the unemployment rate is

10%. that's much higher than the national average which is 8.5%. president obama was greeted with a counter offensive by mitt romney. he's the lead republican contender right now. mitt romney's released an open letter in a local florida paper. we have a little snippet of this. it says if you have brought new ideas to florida for creating jobs, why have you waited three years to unveil them. have you had a revelation or is it because 2012 is an election year? whatever the case, what you're offering florida is too little, too late. the obama re-election team has released its first round of ads in other major battleground sta states. the ad defending president obama's record. saying he has a good record on clean energy. the united states dependence on

foreign oil is below 50% for the first time in a decade. it indicates that the general election is just around the corner. in fact, president obama heads to some fund raisers in new york this evening. >> thank you, kristen. new audio has emerged from the port authority and the captain of the ship. 30 minutes after the ship slammed into a rock, the captain said they only suffered a blackout. investigators say they want to speak to a woman who may have been spending time with the captain at the time of the accident. let's start off with this new audio that was only released today, duncan. >> reporter: good afternoon. this just adding to the general confusion about what happened to the concordia in the its last

hour before it lifted on top its side. this was the first communication between port authorities and the bridge of the ship. they say what's going on there? what's wrong? the a the reply from the captain is it's just a blackout. we know it's 30 minutes after they slammed into a rock. more confusion about what was happening and who knew what was happening. >> what about this mystery woman? >> reporter: yes, this woman has come forward. she could be an important new witness. she has been telling television that she went up to the bridge. she's an employee, but she was on holiday. she said she heard a coded call. she went up to help because she speaks so many languages. she said she was up there with the captain and she has come to his defense. she said he did a great thing.

he saved 3,000 lives. that's not how prosecutors here see it. >> thank you for the latest on this tragedy. a billionaire history buff donates millions of his cash to help restore this. that's the washington monument. after last summer's earthquake, we have the details on that. photography icon kodak has filed for bankruptcy. they have been struggling for years to remain relevant. the company ran out of cash after reporting just one full year of profits since 2004. citigroup is giving kodak $950 million to stay afloat. [ female announcer ] investing for yourself isn't some optional pursuit. a privilege for the ultra-wealthy. it's a necessity.

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welcome back. two deaths are being blamed on that rare storm that dumped over a foot of snow across parts of the pacific northwest. a small child was killed after a car he was riding in went into a creek. a person riding an atv was also killed after being crushed by a tree. ice shut down the runways at the seattle tacoma arpirport earlie. no doubt mitt romney will face questions after tonight's debate about the million of dollars he invested in the cayman islands. some are asking was he tries to hide the money. who will deliver the state of the union response to the president. apple's big announcement. what the company is doing to change the way students in school get their information. hello! honey? who's she?

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here is what the "news nation" is following right now. mitt romney's money trail. the gop front-runner is over pressure of millions of dollars. just how many jobs are a state when w the president's decision to reject the pipeline. honoring our heroes. i'll talk with a man behind a grassroots effort to organize first and only parade to honor iraq war vets. two days until the south carolina primary and the latest marist poll shows one in five likely gop voters still undecided. mitt romney holds the lead. newt gingrich is gaining ground. the race could see a shift with perry dropping out.

i imagine a lot of folks like at this point, heads are wringing. there's so much information to process. they may have settled on rick perry. have to find out where nay will go next. >> reporter: voters here relish the fact that since 1980, they have picked the republican nominee. they love it here. this year no exception. somewhere between 450 and 500,000 primary voters. that's what they expect to have on saturday. if that happens, that would be record turnout. what's different is what's motivating a lot of those voters. in the past here, especially republican primaries, you heard a lot of talk about social issues, abortion, gay rights. this time right at 10%. it hasn't dropped below 10% in the past three years. those pocketbook issues are now front and center.

voters not talking about social issues as much. they are tired of those ads. >> how we're going to do anything in i've heard nothing but rhetoric. there's nobody who have said anything specific that's really resonated with me as a voter. >> reporter: he says he's going to be listening very carefully at the debate tonight to hear what candidates say specific about what they will do to turn around the economy. i want to put up a graphic. it shows what other voters are saying about effects of those adds. when you ask voters whether those ads -- whether candidates are talking about the issues.

65% of voters say they feel like the candidates have been spending a lot of time attacking their opponents. it will be interesting to see what voters are saying tomorrow. >> good to see you. thanks. among the issues likely to come up in the republican debate, the latest revelation about rom's wealth. he has millions invested in the cayman island. a well known tax haven in the caribbean. a spokeswoman says this. the romney's investments in funds established in the cayman islands are taxed in the very same way if the funds were established in the u.s. these are not tax havens. she says the assets are managed on a blind basis. they do not control the investments of these assets. romney was already under fire from his republican rival that he pays a tax rate about 15% because his income comes from

investments than paycheck. he's under pressure to release the tax returns. michael, the spokesperson from the romneys' makes the point it's not illegal for people to put money in the cayman islands but more is being revealed and it's the hesitation of mitt romney to talk about it that continues to cause the light to run red. >> exactly. i've been talking to republican supporters, fundraisers who have been active in the campaign today and they are all baffled by how the romney folks have allowed there to unfold, allow this to become such an issue because it was clear from the beginning that demonstracrats w going to focus on this. the only thing that was a surprise is it became an issue. the question is why didn't they release the tax returns earlier

to try to get all this out as quickly as possible. because those tax returns have not been released, there's lots of unanswered questions about these investments. they appear to be much more than initially thought. as many as 20 offshore investments, not just the cayman islands, hong kong, ireland. it's true that as the romney campaign says, this does not necessarily because, because he has the investments, does mean he doesn't pay u.s. taxes. there are all sorts of tax benefits to investing offshore, ranging from limiting the deductions you have to make to paying medicare taxes, to deferring state taxes that does accrue to the romney's because of the investments and we won't know the full extent of that

until we see the tax returns. >> their investments are handled in a blind trust. why would that matter? >> at some point several years ago, the romney's did put their investments in blind trust. they don't know what's bought and sold. we don't know which of the these investments are still being held by the romney's because they could have been sold by the blind trust without it showing up on his financial disclosure form. i think the even bigger issue beyond the offshore investments is that 15% tax rate that romney, himself, admitted to. that does show how he has a wealthy individual has accrued and gets most of his income from investments pays a lower tax rate than americans who earn income and have to pay the higher rate, up to 35%.

that's the captain gains tax break that has been an issue and also for romney being a bain capital, private equity, coming from that world, that's been a huge issue. whether or not they should qualify for that lower 15% rate. >> all right. great information. grisly details in the hollywood murder mystery. it tops our look at stories around the news nation. more than 100 police officers in los angeles are looking for body parts along a trail beneath the hollywood sign. police found a man's head tuesday. then, they found other body parts wednesday. authorities believe the victim is between 40 and 60 years old. they still cannot identify the individual. rupert murdock's newspaper

has agreed to pay jude law in a phone hacking scandal. the company is expected to settle with today. the settlements come from the hacking of the news of the world tabloid. 16 articles written about law between 2003 and 2006 contain information obtained through phone hacking. just a short time ago, apple said it's releasing new software that would reinvents the school textbook. the company says it will sell electronic versions of standard books through the ipad. the books will cost $15 or less. now to the fallout over the obama's administration of the keystone pipeline. republicans and the oil industry says the president is putting election year politics over jobs. transcanada claims it will create 20,000 new jobs, but a new study disputes that number saying that the pipeline would

create around 4,600 jobs. with have the program director for the national defense counsel. thank you for joining us. >> thank you for having me. >> i know you're concerned with the environmental issues here. here you have the republicans saying it's about job. transcanada claims 20,000 jobs. this study says more like 4,600 jobs. what's the concern for the environment that has you applauding the administration's decision. >> we are applauding the administration's decision. this pipeline would bring some of the dirtiest oils on earth to our gulf coast. most of it would be for export. americans, especially our farms and waters could carry a lot of

the risks in order to line the pockets of the big oil companies that are extracting this oil and shipping it overseas where they can get a better price from texas. it's a new kind of oil. it's not the kind we're used to. it's a thick gooy type that has to be through pipelines. the first keystone pipeline spilled in the u.s. 14 times just in its first year of operation. >> this is not a dead issue. does it concern you especially with the things that you've noted there had that they are able to re-apply and maybe this will go through? >> i think what's important, as of yesterday the current application for this pipeline has been rejected. the current pipeline proposal will not go through. we might see proposals come in the future and all the same

public concerns about land and water. it will continue to hold true whether the pipeline proposal comes tomorrow or any time in the coming year or two. >> what about the republicans that say the president is trying to appeal to his base, people like you, environmentalenvironm people out there trying to raise money and go onto vote for the president. this just about election year politics. what do you say to that? >> what's interesting is how widespread the concerns have been about this pipeline. you've had voices from scientists, business leaders, farmers and ranchers, religious leaders, people all across the country have been saying, owe know what, question do better for our energy future. we need to move forward with clean energy. that's what's best for the economy. >> thank you so much for coming

on. we greatly appreciate it. >> thanks so much. did you know the first and only parade to honor america's servicemen and women home from iraq is taking place next weekend? i'm going to talk with the man behind be grassroots effort. here are some things we thought you should know. mitch daniels will deliver the republican response to president obama's state of the union address tuesday. daniel s the former director of the office of management and budget. john boehner has praised him as a fierce advocate for smaller, less costly government. a billionaire is giving 7$75 million to the restoration of the washington monument. it's been closed since august's earthquake. david rubenstein gave millions to the national zoo and the national archives.

tomorrow morning, stephen colbert will be live on "morning joe". after that, he'll hold a rally with former presidential candidate, herman cain. this comes as the super pac releases this. guess who is narrating this. >> vote herman cain because we can't afford to have a leader like this. >> i just think that rosa parks was overrated. i've worked hard to build my family.

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happy birthday, martin bashir. something that's made me happy, nine days from now, st. louis will host the nation's first, and so far only, welcome home parade for iraq war veterans. this took off after call of action on facebook. now one month and nearly 3,500 friends later p they will make january 28th, welcome home for heroes from iraq day. congratulations. tell me how this all started. >> it started, not to correct you, but you said 30 days ago. it hasn't been that long. >> it hasn't been that long? you were really working your tails off. how many days did it take for you to raise that money, friends? >> we hit our mark before midnight on january 14th, which is the deadline we set for ourselves.

that was the first phase. we have been many phases moving forward for there. >> how much money were you able to raise? i have here $25,000. what did you raise? >> that was our first deadline. what did we raise at this point? i haven't had time to check. we got a lot of help from -- it started with the people of st. louis. if anybody asks who our sponsor was, it was people. we got huge help from these folks. anheuser-busch and the mayor. >> i think it's great that you mentioned anheuser-busch donated $10,000 to the effort. it is surprising, and i think a lot of people would be surprised, that this is the first and only parade planned. what would you like to say to

them who cannot make it to the parade? >> i'd like to say two things. the parade is the rock n roll part. there's an amazing thing happening in st. louis union station, where we will have a group of 100 veteran service organizations. people that help vets. people that understand when they are coming back. we're going to turn it into one grand warehouse to put these folks together and throw some entertainment in there. the parade and everything is one way of saying thanks. the work gets done inside. that's what this is all about. >> i wish you the best, and all of those people that are working so hard. i know it's going to be a wonderful day. thank you and good luck. >> thank you. next, with rick perry out of race, do you think conservatives will around new gingrich or ri santorum?

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here is a reminder for you. you can join the "news nation" on our twitter page. it's@news nation. time now for the "news nation" gut check. by now you've heard that rick perry is packing up his cowboy boots and heading back to the lone star state. on his way out the door, he decided that he wanted to endorse someone and that person is newt gingrich. the question is, will the conservatives in south carolina consolidate around newt gingrich or perhaps rick santorum who just a short sometime ago said, he is the official winner of the iowa caucuses. he's up by 34-35 votes. there's still many others that will never be counted. with that said, rick santorum said he is winning, as in charlie sheen. will conservatives consolidate around gingrich or santorum.

go to facebook/newsnation. that does it for this edition of "news nation." the news nation will be live saturday for a special south carolina primary. we have a ton of special guests loaded up and will be there with us for the entire hour. martin bashir is up next. we know a place where tossing and turning

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