it's friday, july 10th. this morning, motor city rebound. the new general motors opens for business today. out of bankruptcy. but experts warn, it is not a sign the economy is on the mend. another stimulus may be necessary. and a jackson exclusive. michael's father, face-to-face, for the first time since his son's death. >> i just couldn't believe what was happening to michael because -- i just couldn't believe it. >> he makes a stunning allegation about what he >> he makes a stunning allegation about what he believes killed his son. captions paid for by abc, inc. good morning. thanks for being with us on this friday. by lunchtime today, gm's transition to a smaller,

potentially more profitable company will be complete. >> but this once proud giant will be a shadow of itself. 4,000 jobs will be cut. it will idle or close 16 and it will have only four brands, down from eight. >> business gurus like warren buffett have serious concerns about the economy overall. emily schmidt joins us from washington with more on that. good morning, emily. >> reporter: good morning, jeremy and vinita. today marks a new page in gm's long history. as the big three automaker tries to become profitable again. a new general motors may be just hours away. as the company is expected to exit bankruptcy this morning, 40 days after entering it. gm was once one of the biggest auto companies in the world. now, the u.s. government is the majority sharolder. and downsizing continues. gm's ceo could announce 4,000 more job cuts, as sales across the industry continue to slide. >> really, the story here is for

consumers. if you're thinking of buying a new car, i think now is really a good time to take a look. >> reporter: the problem is, june numbers show consumer spending is down. nearly one in ten americans is without a job. the highest rate in 25 years. investor warren buffett says it may be time for a second government stimulus package. >> the first smulus bill, seemed to me, was sort of like taking half a tablet of viagra. also having a bunch of candy mixed in, as everybody was putting in things for their own constituency. >> reporter: republicans criticized the first stimulus package. >> we would have created twice as many jobs at half the cost. >> reporter: nancy pelosi says this stimulus needs time to work. >> this third quarter is the big quarter for the stimulus. >> reporter: and you better believe that retailers are looking towards the third quarter, as well. they're worried that sales may not improve before that critical

back-to-school season. >> we'll see emily schmidt in washington. thanks, emily. the economy has also been on president obama's agenda at the g-8 summit. but today, a change of gears, as he visits vatican city with an audience with pope benedict. abc's yunji de nies is traveling with the president and joins us now from rome. good morning, yunji. >> reporter: good morning, vinita. a very big meeting for the president. first, he meets with african leaders as the g-8 summit comes to a close. then, off to 2 vatican to meet with the pope. this is the first time that president [ [ will meet the holy father. he understands the profound influence the poep has around the world. the g-8 meetings have focused largely on climate change. the president urged emerging economies like india and china, to reduce pollution. and says the u.s. has a historic

responsibility to address global warming. >> i know that in the past, the united states has sometimes falling short in meeting our responsibilities. let me assure you, those days are over. >> reporter: president lil la silva gave the president a signed soccer jersey. the president joked that the u.s. would never give up another 2-0 lead. michelle obama and the first daughters are in rome, as well. she god first-hand look at the damage in l'aquila, italy. george clooney was there, as well. he is trying to call attention to the area to help the thousands who have been left homeless. the o houmas will have a second audience, including maria, sasha, and grandmother marion robinson. a big day for the family. >> thank you. the first family flies to ghana next, where the welcome mat is already out.

mr. obama is wildly popular in the african country. as you can see, the venders are pushing the obama-themed merchandise. two weeks after michael jackson's death, the los angeles police chief says his investigators haven't ruled anything out, including homicide. >> that word coming out at about the same time as jackson's father sat down for an exclusive interview with abc news and made a stunning allegation that he believes his son died from foul play. >> joe jackson spoke to abc from the family home, about the moment he heard his son was taken to the hospital. >> i just couldn't believe what was happening to michael because i just couldn't believe it. you know? i do believe it was foul play. i do believe that, yes. >> reporter: the jackson family patriarch talked with abc's chris connelly last night. the 79-year-old father says he wants to know why the star died so suddenly. he also says the second autopsy

paid for by the family failed to reveal any answers. ♪ ♪ going to see the king >> reporter: it could be several weeks before the coroner's toxicology report, that would reveal the cause of death. the l.a. police chief says he's waiting for that report, before ruling anything out in an investigation that he calls comprehensive and far-reaching. detectives are looking at jackson's former drug history and talking to numerous doctors. meanwhile, the courts must decide the fate of michael jackson's three children. joe jackson leave no, sir doubt what he thinks will be best for paris, prince michael and blanket. he says he's ready to become a parent again. >> who do you think should raise these children now that michael is gone? >> katherine and i. there's no one else. do what we can do for them. keep them all together.

and make them happy. feed them like they're supposed to be fed. get rest, plenty of sleep. and grow up to be strong jacksons. >> whether katherine jackson will get that opportunity may begin to be determined at a hearing on monday. one other note, our station in los angeles reports that after tuesday's memorial, jackson's casket was removed fro staples center, concealed in a s.w.a.t. van. the empty hears was seen driving away from the ceremony, leaving many to wonder how the gold casket was taken away. you can see more of our interview with joe jackson later on "good morning america." now, for this morning's weather from around the nation. another stormy day in the heartland. hail, gusty winds and a chance of tornadoes from michigan to kansas. scattered showers, thunderstorms and heavy afternoon rain in florida, georgia, south carolina and alabama. and there will be showers in the southern rockies. >> parts of the southern plains will feel hot, as well. 110 will be the feeling in some places. new orleans hits 93.

miami, 91. a mild 72 in boston. 78 in new york. and 82 in baltimore. mostly 80s in the midwest. but st. louis hits 92. 92 also in salt lake city. and 88 in sacramento. when we come back, get ready for more outrage. the company that's taken billions in bailout money, wants to resume bonuses to its highest-paid employees. and a suburban swim club is under fire this morning after black children were turned away.

recapping your top business story this morning. general motors will be reborn today. turning to the markets this morning, overseas stocks are mostly lower. tokyo's nikkei average ticked down a few points today. hong kong's hang seng is lower. in london, the ftse opened lower. wall street starts the day with the dow at 8183, after adding almost 5 points yesterday. the nasdaq was up 5 points to close at 1752. aig is hoping to prevent another firestorm over bonuses. the bailed out insurer is asking the obama administration compensation watchdog about bonuses that are due out next week. the company caused a huge uproar for paying out bonuses. troubled banking giant, citicorp, has announced its third, major management shakeup

in less than a year. among the changes are the company's third chief financial officer thisear. and a new head of its traditional banking division. citi is facing pressure from sources. airlines have been doing a better job of staying on schedule this year. new number show the major carriers were on time more than 80% of the times in may. that's up from 79% in april. the airlines have improved their performance every month this year except march. help for insomniacs. a new product called the personal sleep coach claims to find the right sleep strategy for you. it measures your sleep, with a wireless head band. that's uploaded to the web. then zeo comes up with a plan. ed baig tested it out. >> it's kind of money. they put it in a zq score. it's a measurement of your sleep

pattern, which is equivalent to what you weigh on a bathroom scale. whether it helps anybody with serious sleep disorders get to sleep, however, remains to be seen over the long term. >> the zeo costs about $400. and you can read ed's full review at usatoday.com. coming up next on this friday, swine flu at summer camp. but a vaccine could be ready by fall. how will it work? and who should get one? and was it a payoff? a senator admits paying thousands from his family to a former mistres

l'eggo my eggo. >> welcome back. these are the latest headlines from abc news. laers from general motors are plowing through piles of paperwork. the streamlined gm will be largely government-owned and minus its massive debt.

president obama and pope benedict get together for their first-ever face-to-face meeting. michael jackson's father is expected to attend a memorial service tonight in the family's hometown of gary, indiana. it will be held at a ballpark, just miles from the singer's boyhood home. the white house is warning that the swine flu outbreak is far from over. infections have not subsided this summer as expected. in fact, children's summer camps report 50 cases so far. and it's only going to get worse come fall. viviana hurtado has details. >> reporter: even though the outbreak of h1n1 or swine flu has been relatively mild, the government believes there will be a resurgence in the fall. health official meeting in washington, were urged to prepare, not just from administration officials, but from the president himself, who called from the g-8 summit in italy. >> we want to make sure that we are not promoting panic. but we are promoting vigilance

and preparation. >> reporter: the government is going ahead with developing a vaccine that's expected to be ready for the fall. that's the start of the traditional flu season. and when two factors combine, colder weather, and the beginning of school. the government recommended voluntary mass vaccination programs tbe the administered by local authorities. supplies will be limited, with priority given to school-aged children, pregnant women, health workers and people with other illnesses. but the flu is unpredictable. already, scientists are monitoring this development. three cases in other countries where the virus has become resistant to tamiflu, one of the drugs that fights this virus. >> it prevents treatments for doctors. >> reporter: viviana hurtado, abc news, washington. a human rights investigation is now under way in a suburban philadelphia place over a

racially-charged incident. a swim club is accused of refusing a group of summer camp children to swim there because they were black. marcus allen is one of the many kids who heard they say racist comments from white members of the club. he spoke to our dan harris. >> they said, oh. i'm scared my might harm my children or try to steal something from me. or try to mess with my children or something. >> did you feel offended? >> yes. i felt very offended. i was appalled. like, they would be saying some stuff like this. >> a statement on the club's website said its leaders were deeply disturbed about the allegations of racism, which they say are completely untrue. four cemetery workers are under arrest, accused of digging up hundreds of graves outside chicago. police say a cemetery manager paid three grave diggers to dump the bodice in a mass grave, in a remote section of burr oaks

cemetery. they say she resold plots to unsuspecting customers and repocketed the money. the historic cemetery is the resting place for emmit till and singer diana washington. senator john ensign is vowing not to resign, following new allegations in the sex scandal swirls around him. he acknowledged that his family paid his mistress. some say it was hush money. but ensign's lawyers deny he did anything wrong. senator roland burris is expected to announce today he will not run for a full term next year. he was appointed to fill barack obama's eat, by former governor, rod blagojevich. the foe foe of president obama that has a lot of people talking. we'll show it to you. you're watching "america this morning." triglycerides are still out of line? then you may not be seeing the whole picture. ask your doctor about trilipix.

if you're at high risk of heart disease and taking a diet, adding trilipix can lower fatty triglycerides cholesterol numbers. trilipix has not been shown to prevent heart attacks or stroke more than a statin alone. trilipix is not for everyone, including people with liver, gallbladder, or severe kidney disease, tell your doctor about all the medicines you take and if you are pregnant or may become pregnant. blood tests are needed before and during contact your doctor if you develop unexplained muscle pain or weakness, as this can be a sign of a rare but serious side effect. this risk may be increased when trilipix is used with a statin. if you cannot afford your medication, call 866-4-trilipix for more information. trilipix. there's more to cholesterol. get the picture. it's much easier to find money at esurance. great auto insurance rates and lots of discounts! got insurance already? save more with esurance's "switch & save (tm) discount"! it also pays to shop online.

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lisaling ling is calling on the u.s. to help get amnesty for her sister and euna lee. a scholar who just came back from north korea, says the government has delayed sending the women to a prison camp. and in nashville, thousands of friends and former teammates turned out to say good-bye to steve mcnair. a former football great was shot to death july 4th by his girlfriend, who then killed herself. a tragedy at the pamplona bull running. now, the latest sports highlights from kevin conners from espn news. >> good morning. let's start with the race suddenly tightening in the a.l. east. pick up action with the red sox. david ortiz sitting on 299 career home runs. but not for long. bottom one, off lieu cochet var. number 11 of the season for big

papi. dejesus, off of masterson. the roils win it by a final of 8-6. their lead one-half game, depending on what the yankees can do in minnesota. top two. derek jeter. hit it where they ain't. scoring robinson cano. gave the yanks a 3-0 lead. bottom two. minnesota down 3-1. it's mike redman. the throw is wide. mark teixeira can't come up with it. michael cuddyer scores. seconds "e" of the inning for the yanks. top five. 5-4 game. it's teixeira getting one back. first home run in 96 at-bats. 21st of the season. yanks win it 6-4. they are tied with the red sox atop 2 a.l. east. roy halladay getting the start for toronto. subject of a lot of trade talks.

bottom five. carlos pena, doubling down the line. michael hernandez, b.j. upton score. top six. pooifd price on the bump. and dealing. two on, two out. gets lyle overbay. price and the race win it, 3-2. jeremy and vinita, we'll send things back to you. all right. well, there is an intriguing photograph from the g-8 summit in italy that's causing quite a buzz this morning. the freeze-frame appears to show president obama and french president sarkozy, giving this french lady a serious one-over. a look at the moving video, shows the president looking at his footing. and then, offering a hand to help another woman navate the stairs. he's innocent there. >> that picture was not worth 1,000 words. >> that's right. all right. for some of you, your local news is up next. >> for everyone else, "america this morning" continues after

this. my name is louise and his is my eggo.

on tuesday i go in even earlier than usual. thank goodness for eggo, a nutri-grain waffle... with a quick smudge of crem cheese. at least that part's easy. there's only one way to eat an eggo... your way. l'eggo my eggo.

finally from us this morning, the sweet sound of revenge, spreading like wildfire over the internet. >> a canadian musician decided to get even, after united

airlines damaged his guitar. it took some creativity. but he finally got the airline's attention. >> reporter: this is the story of a guitar, a guy, and a wicked grudge. >> i'm shocked at the response of how quickly things have exploded. >> reporter: dave carol is with a band out of halifax called sons of maxwell. last year, while heading to the u.s. on united airlines, he claims baggage handlers in chicago toss around his custom-made guitar. >> there was a woman sitting behind the bend. she said, oh, my god. they're throwing guitars outside. >> reporter: the guitar was broken in several spots and cost $1,500 to fix. and for months, carol fought with the airline, seeking composition. carol told the representative, he would write three songs and share them with the world. he shot this video with some friends and posted it on

youtube, calling it, "united breaks guitars." ♪ employees showed indifference toward me ♪ >> reporter: the song, getting plenty of media play in the u.s. and an embarrassed united airlines have taken note. now saying it will use the video for customer service training. >> and they expressedegret and said they would like to do something to make it up. >> reporter: meanwhile, carol has recorded a second song. and says the plot of the third will all depend on what the airline does for him. >> they may have a real say in if this becomes a love story or a tragedy. >> reporter: but for this musician, what may be the biggest break of his career, thanks to a broken guitar. >> if a letter or phone call doesn't get you anywhere, just make up a song. >> go to youtube. >> that's right. well, more with the gis gruntled guitar guy later on "good morning america." and more