was that how it worked? it was a pretty good deal for the russians. they also got lebron james. did you hear that? >> nobody does it better than david letterman. that does it for us. cnn newsroom with tony harris begins right now. >> alina, safe travels back to new york and give your mom a kiss for me. >> thank you, i will. >> long story. happening now, covering a lot of stories for you. from the gulf, admiral thad allen will give us an update on the capping of the bp well. the world of baseball is mourning legendary new york yankees owner george steinbrenner dieing from a heart attack this morning. >> we are covering those stories right now in the cnn newsroom. >> so the cap is on. will it work? day 85 of the gulf oil disaster, and bp is testing the new cap placed on the busted well. this could be a major step in

stopping the gushing of oil. we are standing by for an update from the incident commander, admiral thad allen. we will bring that to you later. right now, we have brian todd at bp headquarters in houston. good to see you. the cap is on. what's next? >> tony, it's a very, very anxious day. they have to do the testing of the integrity of the well. that begins today in the next couple of hours. right now -- >> brian, pardon me for a second. admiral thad allen is speaking right now. >> this morning, several significant activities are taking place. we just finished our seismic run through the field, about 2.5 kilometer run basically from north to south with a boat called the gecko topaz, carrying sophisticated akuft cal signals.

this will tell us what's happening with the sea floor or the formation moving ahead. the sequence of events that will take place and start some time after noon today -- wr still, i might add, have the vessel come through with the sensitive sensors requires you to clear everybody out of the area so they have a clear way to hear and there are also navigation issues. that's the reason was done in daylight. we were going to try yesterday but we ran out of daylight. once everything is redeployed and back in the area, especially rov support, these things will happen in the following sequence. when we get ready to start the well integrity test, we will cease production through the g 4,000 and the helix producer 1. we will then divert all of the hydrocarbons up into the new

capping stack. valves to the kill and the choke lines for the new capping stack will be opened, and the center bore is already opened. we will be venting basically through three different exits, on the capping stack, kill line and choke line and the main line going through the bore. and then in sequence, we will attempt to close the stack down and assess the pressure readings as we do that. the first thing we did will do is the close the main ram. the middle one were be closed to shut down outward through the capping stack. we will take pressure readings. we will then close the kill line. which is the second remaining outlet, and take pressure readings. the third and most critical will be the choke line. there's a special device that's been built on the capping stack. you will see it, if you look at the video, it is yellow, long horizontally and there is an exit for the hydrocarbons.

that will controlled by a remotely operated vehicle which will slowly close it incrementally. this is very, very important because we want to measure the amount of closure radially by turns of that choke line valve by an rov simultaneously taking pressure reading. the goal is to slowly dlees down and understand the changes in pressure as we are closing it until that choke line is closed. at that point, there will be no hydrocarbons exiting from the capping stack and we'll go into a period where we will start taking pressure readings. it will go in basically 6, 24 and 48 hour increments depending on the results, and as we said before, it may be counterintuitive to some, in this exercise, high pressure is good. we have a considerably amount of pressure down on the reservoir. we are looking between 8,000 and

9,000 psi, which would indicate that the hydrocarbons are being forced up and the well can withstand that pressure. that is good news. if we are down around in the 4,000 to 6,000 range that could tell us that the hydrocarbons are being diverted some place else and we have to assess the implications of that. there are degradations a you go from 4,000 psi up to 8,000 or 9,000 has a great deal to do with pressure readings, what the empirical reeldings tell us and in discussions with the scientific team representing the government and labs around the country. we will at some point try to get to 8,000 or 9,000 and sustain that for some period of time and these will be done basically as i said -- if you have a very low pressure reading, we will nid at least six hours of the readings to make sure that is the reading. if it's a little higher, we want

to go to 24 hours, and if it's at 8,000 or 9,000, we will go 48 hours to make sure it can sustain the pressure. based on the pressure readings we find, this could be 6, 24 or 48 hours, and at that point we will have a better idea not only of the pressure. it will tell us something about the condition of the wellbore itself and ultimately will tell us about the flow rate, which to date was based on estimates, digital imagery. somewhere after noon we will start. the technical team is being assembled. after the press conference, i will meet with the department of energy, and marshall mcnut, and tom hunter, and other representatives of technical community, and we will be discussion how we will resolve issues as they come up and as we get pressure readings. the range of options that could come out of the testing of the

stacking cap include knowledge that the cap itself can withstand 8,000 to 9,000 psi pressure indefinitely, which means there might be an opportunity to have what we would call a shut-in of the well, basically to just hold it at that point. anything less than that might bring into play a decision to continue to produce, and at that point, we will be able to produce off of four lines. the choke and the kill line from the original blowout preventer, plus the choke and kill lines from the new stacking cap. that is intended by around the 18th of july to take us to a kpafts of 60,000 to 80,000 barts a day which should exceed the flow. so with a shut-in of the well or produce most are not all of the flow we believe is generated, either way, we will have a way to contain the oil. if we are successful in the pressure readings, and, again, if e wr successful.

this is very, very important because it will allow us to manage the hydrocarbons, but the ultimate success of this entire endeavor will be the relief well, and development driller 3 is now at 17,840 feet, and they have been there for a day or two. they are doing testing to make sure they have the right angle of attack as they close in for the last skilkt or 70 feet before they make the penetration for the relief well, and the current estimate of how far away there are from the well at this point is four feet four inches. you can imagine this gets precise as they try to go down another 60 feet. they are trying to drill into a seven-inch casing pipe. so that continues as well. one other thing, if we are to go to a full production of four different outlets around the 17th, 18th, 19th of july, somewhere around there, it requires us to continue to build and construct the second

free-standing riser pipe. that is in progress right now and should be ready for production around the 19th of july. just a couple of other issues. skimmers have always been an issue for us. we know as we've expanded our defense of the coastline from florida to south central louisiana, we are on pace at this point by the end of the month of july to have approximately 1,000 skimmers on inventory. we are below 600, and are continuing to ramp up. resources have been freed up as a result of the emergency rule making. we have stand by requirements elsewhere in the country and we continue to aggressively acquire skimmers. critical resources we are coming to grips with, may not be intuitive to you but interesting to note, i think, we are using about 2 million tyvex suits a day, the light suits we use to

cleanup the beaches. we may run into a supply problem. they are also used for a variety of other emergency response purposes. as we increase our aerial surveillance, we are looking to put owl more qualified folks from other places that can help us actually characterize the oil that we see and issues regarding wildlife and so forth. so this continues to be a very complex nuanced and broad-based response with a lot of things going on. in addition to everything else, we brought the helix producer on line last night and will take it down for the well integrity test. that ultimately will have the capability of 20,000 barrels a day. it was operating up before midnight last night. in addition to the q-4000, which could flare off about 7,291

barelies, we produced 8,381 barrels yesterday. a lot of densely compacted ships and rovs out there. we will continue to watch with great anticipation and we realize there are chances to increase our chances of containing the hydrocarbons moving forward. i will be glad to take your questions. >> maybe you can take us through some of the backup planning. if the well were to rupture while you have the shut-in, what happens then? i mean, is there some sort of emergency response plan in place or vessels on hand? what happens at that point? >> if we have very low pressure readings -- as i said, we will do this in increments. if we have sustained low pressure readings, we know we can't sustain that in the long run and while there may be hydrocarbons working into the formation, there's an acceptable

range while we establish whether or not that's the true pressure, but the scientific team has gotten together and low pressure readings of about six hour assessment the threshold where we make a decision how to move forward. >> admiral harry weber from the associated press. can you bottom line it, if possible, what odds you give to the success of being able to shut in the well using this cap, and if you are successful, when do you think fishing areas along the gulf that have been closed will be able to reopen? what do you say to those people's lives that have been affected by this as far as what's next, when can life go on for the people that have been affected? can you give us some idea? >> well, i can tell you this. i think we are very confident we can take control of this hydrocarbon stream and slowly close all of these valves and stop the emission of hydrocarbons.

what we can't tell is the current condition of the wellbore below the sea floor. that's why we are doing a well integrity test. we need to know that for the purpose of being able to control of hydrocarbons but we also need to know this because the ability to sustain those high pressures will actually facilitate the killing of the well when we try to pump mud into it from below. i can't attach a fours because we have to learn something we don't know. regarding the fishing areas, this is closely being monitored by noaa. we have about 34 or 35% of the gulf right now closed. they are aggressively reviewing on a day-to-day basis where the spill trajectories is at. when they can open them, they do it when it is safe and sound to do that. safety of the seafood food chain is very, very important. noaa is working with the fda to make sure that the fish caught in the areas that are open are

safe for consumption and they are. this is a focused effort by both fda and noaa. warding what comes next, i've said on several occasions, even if we contain the well and if the well is capped in mid-august, there is still a significant amount of oil out there and the oil recovery and impacts will probably extend well into the fall in terms of oil coming into shore, tar balls and beach cleanup and then moving to the natural resources damage assessment, trying to understand the long-term ecological impact of the event. >> there have been some confirmed amounts of tar balls from the bp oil spill washing ashore in texas, and in galveston, i'm wondering if you know of any recent test results on the tar that washed up there in galveston island. also, will the skimmers that you're trying to expand the use

of be coming into the waters around the text coastline? >> my independenting is we have had tar balls in a couple places in the boulevard coastline. some have the characteristics of this spill and some have not. those that have exhibits characteristics of oil that would have been far weathered than it was having gone that far. we're looking at the fact of whether or not vessels working in the area transmitted oil out there and had it come ashore. that said, we set up an incident command in galveston and have an information center there. we are in touch with the general land office and in touch with governor perry's office and will continue with that moving forward. right now, there is no presence of oil on the surface over there that would require skimming capability right now. the tar balls are sometimes suspended and come ashore. we are looking to put skimmers where we need them. that's why we haven't stopped

orderinger them. i would rather push supply than waiting for a demand we can't answer. >> hi. thank you. if the pressure is low at the top of the well zrk that indicate that oil is flowing out through some other point of the well and if so, what are the theories on where it's escaping? >> that's what we're going to try to determine from the pressure. one could make a case that there are issues with the casing and wellbore itself. i don't think we'll know that until we take the pressure readings and see where that information takes us. it is unknown what happened to that wellbore. at the time of the explosion and the events immediately following that. that is largely the biggest unknown. the top kill which we tried which was not successful or the bomb kill moving forward. there are some indications when we drill into the pipe to do the bottom kill, the ultimate capping of the well that we will

get an indication if there is oil in the opening between the well casing and the pipe itself. based on that information, we can make a determination on these burst plates, which are placed periodically up and down the casing are still intact or if they burst and that gives us an idea of the pressure exerted. it will be a combination of the pressure in the well integrity tests and what we encounter when we drill into the well from below. >> christen hayes with reuters. you said that six-hour threshold. when you reach that six hours, if pressure is still low is that when you decide to ramp up the helix and the q-4000 and start collecting againy you said that the floating ricer is under construction and will be ready july 19th. >> we think we will be ready for proukd on the 19th.

>> you think the 80,000 barrel a day four vessel system will be ready before the end of july? >> yes. >> but the other question about the sick-hour threshold. >> that is a rule of thumb. i think we're going to have to take look at what the pressure readings are. there is a general window that if you have sustainable pressure for six hours, you reach a decision threshold where you open up and vent the hydrocarbons and bring the helix producer in and the q-4000 on line. there is an decision that needs to be made to release pressure it would be made by venting hydrocarbons. >> when does the six hour time frame start ticking down? >> let me be very clear to everybody. that's a rule. thumb we established to assess the pressures. nobody will have a stop watch. >> dark the six hour window could start, right if you start

the integrity test today? >> we will take the pressure readings when we close the choke valve, and that will be done slowly to see if there are pressure changes as we start to restrict the flow and we don't do anything prematurely. it will also tell us something about the flow, empirical data we haven't had to date. let's not get wrapped up in the six hours. that's a horizon we look at for the pressure readings. >> could you close down that vent today? >> no. the capping stack -- all three ways for the hydrocarbons to exit will be closed, but the last one will be the choke line because it's got a variable valve that we can close in increments. it is not just an open and shut issue. the other ones are either open or shut. that will allow us to slowly close and look at the pressure while we're doing it. >> when? >> this afternoon. >> i know you mentioned the 48 hour time frame. i know you talk about six hours

and now the 48 hours. what will happen after those 48 hours? >> well, again, these are approximate times that our technical teams said if we have consistent pressure readings over that period of time, it's logical to talk about next steps. if we can sustain pressure over 48 hours, we move into a reasonable range that we have contained the flow at that point and you can have a discussion about whether it is possible to shut in the well or not. i don't want to presuppose any of those decisions because we don't know the conditions will we will encounter. those are the thresholds we are looking at when you have enough pressure readings to have a serious discussion about next steps. >> we would like to move to the phone con vens call to take questions. >> if you would like to ask a question, please press star on your key pad. your first question is on the

line. >> thank you for taking my call. [ inaudible ] >> okay. here's the sequence once again. there are basically three ways that hydrocarbons can come up through a blowout preventer preventer, the one that's there or the capping stack we put on. the kill and the choke lines and then the main bore up through the preventer itself. we now have a capping stack on top of that. so there are five ways that you can potentially release oil. the kill and choke line from the original blowout preventer, the kill and choke lines from the capping stack and then the top of the capping stack itself. what we will do in sequence is we will stop production on the q-4000 and the helix producer 1,

and we will remove the way for the hydrocarbons to exit through the kill and choke lines on the original blowout preventer. then we move to three exit points, the choke and kill lines of the capping stack and then the top opening of the capping stack. then we will in sequence, first -- there are three rams that are part of the capping stack. the middle ram will be closed. that will seal the upper opening from any hydrocarbon release and leaves us the kill and choke lines. the kill line will be closed as well. this is either open or shut. that leaves the choke line of the capping stack as the last way for hydrocarbons to exit from the capping stack. that is set up with a specially designed engineered and built -- it's a horizontal yellow piece of equipment with a piece of pipe and at the other end there's a place to insert a tool with a remotely operated vehicle and then slowly close the valve which we will do that while

taking pressure readings. next question. >> your next question. >> admiral, everything is going ahead with the effort to have all ships available, right? >> that. our intention is, have, again, we have been very clear since the middle part of june with bp regardless of the stacking cap, the ability to shut the well in or the relief well efforts, we want backup and redundancies for all systems because we've seven several occasions starting out where we were going to do something and it failed and we got into a linear sequence. we wanted more insurance than that. we want redundancy and production capabilities in case there is a problem, and we saw with the enterprise there was a lightning strike and alarms that went off and maintenance.

we want redundancy in the production capability and also in the capacity so that while we're doing this, we can still deal with the entire flow. for that reason, it was anticipated whether or not the capping stack works and we shut the well in that we would ultimately go to four sources of production under the new system, the kill and choke lines from the original blowout preventer and the kill and choke lines from the new capping stack. two would go to vertical riser pipes anchored on the sea floor, and the other two would go to drill strings that are put below production vessels and kengted by a small coupe pling that can be disconnected quickly in times of a hurricane. the combination of those four platforms will give us 60,000 to 80,000 barrels a day and capacity redundancy of a margin if one of the four went down, the other three could still maintain the flow from the pipes. next question.

>> good morning, admiral. you had mentioned skimming vessels. did that total include vessels of opportunity, and can you give a basic assessment of what you think the current -- >> it does include vessels of opportunity to the extent that they are pulling a piece of skimming equipment that is large enough that we could track as a skimmer, if you will. there are other ways to skim oil using vessels of opportunity, by towing an absorbant boom. we are trying to track skimmers as a major piece of machinery and whether or not they operate inshore offshore or near the well site. >> i think we have a pretty good fix now on what is going to be happening over the next 6, 24 and 48 hours.

the man leading the federal government's response to the gulf oil disaster. still in the middle of an updated briefing from houston. retired ghost kaurd admiral thad allen thld describing what you would have to say is a pretty deliberate procedure being taken this afternoon to close five openings allowing oil to pour out of the wellbore. several lines have to be sealed off, the stacking cap line, the kill line, the choke line, the bore line. i think there was one other. all of these lines have to be closed off at each step along the way while integrity will be tested. the wellbore integrity test comes first. then the line/valve shutdown process begins. that is supposed to start again this afternoon is my understanding. now, as this process unfolds, keep this in mind, when you hear that the pressure is high, that's good. low pressure indicates a leak

somewhere in the wellbore or the wellbore casing or in the underground piping. we will learn some things about how the operation is going 6 hours into it, and then at 24 hours and 48 hours after this sealing starts, we will have a good idea of the success of shutting down, closing, choking off this well. so, the well integrity test comes first, and once officials know the shape of the wellbore, the shutting down of the various lines will begin. i think that covers it. this is the story of the day. this is a pivotal day here. so we will continue to follow developments on this. when we come back, a look back at a new york yankees's legendary owner, george steinbrenner. boss: and now i'll turn it over to the gecko.

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yankees owner george steinbrenner is being remembered as a legend in the world of sports. he died today after a massive heart attack. he just turned 80 on july 4th. he bought the yankees in 1973 and was the longest tenured owner in major league baseball. steinbrenner was rushed to a tampa hospital where he died this morning. george steinbrenner was a itself-described you have to boss who ruled with an iron fist. cnn's mark mckay has more on the story. >> reporter: in a city filled with executives from the biggest companies in the world, there was only one boss in new york.

his name, george steinbrenner. born on july 4th, 1930, steinbrenner but together a group that bought the yankees in 1973 for $8.6 million. he ruled with an iron fist and had just one goal in mind -- winning. >> i don't like to lose. i don't like to lose for new york. i don't like to lose for yankee fans. i just don't like to lose. i'm not a good loser. show me a good loser, and i'll show you a loser. >> he was more than a sportsman. he took over because he wanted to win and win every year. >> reporter: no one was immune from the wrath of the boss, office personnel, players and managers were all equal opportunity targets. >> i'm not an easy guy to work for because i'm a tough boss but i don't expect anything more from my players and people than

i expect of myself. >> reporter: he was infamous for hiring and firing managers. >> you were like a doctor on call with george, especially in the years when billy martin was the manager. they were always at war. billy was also in trouble with george. if billy was the manager, you couldn't leave the hotel bar until he did. >> reporter: steinbrenner didn't endear himself to other owners. at the at the heart of free agency explosion. that win at all cost attitude sometimes got steinbrenner into trouble. the year after buying the yankees, he was suspended from baseball for two years after making illegal campaign contributions to richard nixon. in 1990, he was forced to resign as general partner after paying a partner to look for gambling information on dave winfield. he was later reinstated.

four years after taking over the team, the yankees returned to the world series in 1976 and won the first of back-to-back championships a year later. after missing the playoffs in the early '80s and '90s, they won four titles in five years. winning, that was the driving force for george steinbrenner. >> with us on the phone to talk about george steinbrenner and the yankees' legacy is tom verducci. first all, and right off the bat here, i grew up in baltimore hating and being envious of the yankees all at the same time, the history, the pinstripes, they looked great. the winning tradition. steinbrenner's ability to pay more for players than anybody else on balance, the steinbrenner years, good or bad for baseball? not the yankees, but for baseball. >> oh, it had to be good for baseball because if you went back to 1973 when george

steinbrenner bought the team, you didn't care about the yankees. they were not a threat. they certainly didn't have the international brand recognition that they have right now, which is one of the best in the world obviously. and it's because of george steinbrenner. he actually was so successful at what he did, baseball had to change its economic system. the yankees were making so much money that they said, hey, we need revenue sharing. we need to find a way for george to share his money with us. that's why we have revenue sharing today. he was that successful. >> did it ever bother him and i think the answer to this is no, that the common perception was he bought his championships, the winning at all costs? >> no that never bothered him. the question came up with him and she says we take the money we make and plow it right back into the team. when he went to new york, cab drivers and yankee fans recognized him and thanked him for spending money. i think he got a huge kick out

of that. >> do off favorite steinbrenner story? >> there were so many. i was covering the team in the 1980s, and i will always remember the rooftops at old ft. lauderdale stadium where george had a box, and had you to stop by after a game if the yankees had a bad game because he would rip into them. you were on call all the time covering george steinbrenner. it wasn't always fun but it was always interesting. >> tom, we will put up a couple of sports illustrated covers of george steinbrenner. how do you think he will be remembered? >> i think he'll be remembered as a guy who cared so much about winning that it cut both ways. obviously, it helped get him suspended from baseball on two separate occasions. he did run through managers in almost comic fashion, but at the same time, he has all of the rings to show for it, the championships, and i think it's the fact that he really did

spend a lot of money, and it depends on what your perspective is. if you're a fan of the yankees, you loved george steinbrenner because you knew every year he was going to spend the money to give your team a chance to win. >> tom verducci of sports illustrated talking to us about the life and legacy of george steinbrenner. thank you. >> thank you. billions pledged to haiti. most of it hasn't made it there. josh is following that story for us. >> which countries have pulled through so far? i'm going to have that for you. ♪ , d ssiliefoow rsretsvethg. ♪ , rsmos fwa ft. e w twk. on fm ri,

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call this toll-free number now. you know, i got to tell you, it was supposed to be a two-week mission, but the actor and activist sean penn has been a mere constant presence in haiti since the earthquake six months ago. he says the biggest problem with recovery is the lack of coordination between the government and relief agencies. >> you have been here pretty much nonstop for the last six months. when people say, look, they don't see progress on the ground what do you say to them? >> well, you know, first of all, you had a disaster that was beyond anybody's experience, including all of the aid workers i've come to know over the time here. the initial chaos, i have come to have a greater understanding.

since that time, what has become clearer and clearer is the chess play that comes between the powers that be, the international aid agency, government and other governments. what happens is we forget, for example, when they're concerned about the politics of an election coming up. >> there's an election in november? >> right. one of the things we can focus most on is we have to trust the haitian people to elect that person and make that choice, so whatever policies or grants are given, should not be limited to pryor to that election or prior to a new administration. they should be administratable with some kind of a future. another thing that we're facing now is what i've watched in the arc is that there's become a kind of virtual ghost town of the international doctors' influx. that doesn't have tying do with politics. it's got to do with the will and the understanding that the community in the united states and other countries need to have

that the need has not gotten any less. >> yeah, but what about the money? billions of dollars have been pledged for haiti. how much has made it there? josh levs is following that for us. good morning. >> in terms of actual arrival on ground, we are talking about a little trickle. this is something that's concerning the former president and concerning to some other people. we all know -- or you may know that dozens of countries got together not long ago actually and talked about their pledges for haiti, and what you have in together and you look at what the world is offering, you have $5.3 billion at a conference convened by the united nations. it was even more than some officials had been hoping for. that said in terms of arrival on the ground, you have 2% of the alleged funds delivered to haiti. the countries who have come forth is norway, brazil and australia. will the money pledged ultimately make it there?

the united states -- this is an answer nountment from secretary of state hillary clinton, $1.5 billion pledged there and private donations pledged and collected. there's a group called the chronicle of flon thoppy. let's took a look at video of where things stand in haiti now and what the streets look like and what parts of the area look like and as we do this, let's look at the latest from the united nations. they're saying that approximately 4 million people have received food assistance, emergency shelter assistance has got ton 1.5 million people, safe water to 1.2 million people and a lot of schools out but they have been getting some help. so some money is getting there. as you can see big picture,

there's a lot not making it there. >> can you explain why more of the money that's been pledged hasn't arrived? >> yeah, we can. what's most concerning to officials is they want to make sure the money gets there. you often have pledges early on. you look back to afghanistan and other places, countries make promises. the real worry isn't that the money is there right now because it takes a country a while to process the money and absorb that money and figure out where it will go. the problem is will it get there within a reasonable amount of time. some countries are saying they need to see a long-term plan of what will happen to the money until they they're holding off. others are waiting. what we're hearing from the former president is they want to see more of that money get there right now. >> appreciate it. >> getting ready to meet fredo -- hi, josh. he is a real charmer.

>> he makes us smile every day. he makes us laugh. he says the cutest things. >> we will catch up with the children taken out of haiti after the earthquake. day 85 of the oil disaster. we will soon know if the new containment cap installed yesterday can stop the leak. this morning they began testing the ability for the cap to hold the pressure of the well. today's vote on the nomination of elena kagan to the supreme court has been postponed. the senate judiciary committee is expected to vote on whether to confirm her next week. laechd dear yankees' owner george steinbrenner died after suffering a massive heart attack. he was 80. he led the yankees to 11 american league pennants and seven world series championships. in multiple cat homes... keeping your house smelling like it should.

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is this really the moment to cut $4 billion from our hospitals? you know, rob, i like to

have some video of what's going on weatherwise across the country but i forgot to put an order in. what are you leading with today? >> we don't always have video that you want to see. >> oh, okay. it's nosily about me today? >> no, not necessarily you. if there was potent video you wanted to see, we'd be showing it. internationally, china is getting hammered with rain. let's talk domestic and what's happening here stateside. we have a couple things most of which is focused eve of the rockies and continental divide in the form of heavy sbran in some cases thunderstorms that have become severe. the two bull's eyes a s across northeast. this area, we are seeing some of that action right now. let's tap into that. also, the northeast, which saw temperatures yesterday well into the 90s. they are seeing rain-cooled temps staying into the 80s.

thunderstorms in philadelphia and delaware, pretty potent and now about to roll through the heavily populated tri-state area of new york, jersey and connecticut. through the ohio river valley we have a flash flood warning posted for charleston, west virginia, as the thunderstorms get into the mountainous areas there. one area of concern. nashville through memphis and little rock, hammered with a tremendous amount of rainfall. the second day of rainfall. flash flood warnings out for probably another one to three inches of additional rainfall on top of what they have seen today. this what they saw yesterday. memphis saw over 4 1/2 inches of rainfall in memphis. knoxville saw 2 1/2 inches and this morning most areas have seen at least 1 if not 2 inches of rainfall. areas of concern there as far as -- i'm sorry, i just saw this

pop up. i want to make sure i covered it. flash flood for that area in charleston, west virginia. that's the latest from here. usually, when we have video to show you, it's not necessarily good news. so if we don't have it, we hope that continues. >> have it, we certainly do hope it is. >> a relatively speaking calm day. rob, have a great day. see you tomorrow. seafood restaurants near the gulf taking a real pounding from the economy and the oil, of course. we will update you on their efforts to avoid extinction. we're back anyway moment.

so, here's what we're working on for the next hour of "cnn newsroom."

unemployment benefits stalled in the senate. and congress is just two weeks away from another vacation. will lawmakers take up the issue before they take another break? cnn's brianna keilar is on capitol hill for us. we also have the latest on the iranian scientist who turned up at the pakistani embassy yesterday. allegations from tehran about what the scientist was doing in the united states. purina tidy cats scoop helps neutralize odors in multiple cat homes. purina tidy cats scoop. keep your home smelling like home.

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sounding off with the buzzing horns. the demonstrators say bp has not done enough to respond to the gulf oil disaster. the presidential commission investigating the gulf oil disaster hears complaints about a new drilling moratorium. the panel is holding a second day of public meetings in new orleans. part of its mandate is to make recommendations on offshore drilling. the new moratorium imposed by the department is already under fire. >> whether you call it a moratorium, a suspension, a pause, the result will still be a substantial loss of job us. even the revised moratorium will force thousands of hard-working louisianians and others in the gulf coast into the unemployment line. so i strongly urge this commission to take a quick and decisive action to immediately live the moratia, to save the businesses and economy. >> first the economy, now the

seafood restaurants has been hit by a double whammy here. the hope now that a hurricane doesn't strike. here's cnn's david mattingly. >> reporter: the bp oil slick say long way from slidell, louisiana, but restaurant owner gary alford can see it every night in his dining room. where is everybody? this is supposed to be one of your busiest nights, isn't it? >> yeah, thursdays and fridays and saturday nights are good for us. >> reporter: he trapped by a bp double whammy brought on by lost jobs and less fishingy. customers have less money to spend on seafood dinners that get more expensive by the week. it's a vicious ripple effect that has forced alford to lay off half his staff. >> we used to have four shifts. right now, we have one shift and one dishwasher. >> reporter: and there have been change to the menu, too. >> all the ones that have shrimp on, we increased the price $2 to

$3. >> that's about half your menu? >> that's correct. that's because everybody loves the louisiana seafood. barbecue shrimp. who chose the barbecue shrimp? ahh. >> reporter: it pushes it out of the reach of potential customer and he's not alone. >> normally, this back would be stacked. the containers would be three and four high. >> reporter: supply at this seafood distributor in new orleans is down by half. they're trying to fill gaps with frozen imports. how much of this is imported right now? >> i would say import fishing right now is probably 40%. >> reporter: a big part of ray alford's problems when he comes to the distributor, he's competing with 7 other restaurants and retailers for the same supply of diminishing fish. this is pushing it up 10%, 20%

for the louisiana shrimp. the things that people want most. you're out of oysters? >> we're out. >> reporter: inventory is running thin. he can't afford to have any fresh seafood that might go bad. do you see an end to this ripple effect? >> with hurricane season blooming in on us right now, i'm just praying we don't have a major storm. >> reporter: long accustomed to bouncing back from hurricanes, alford said the oil disaster has stolen his resilience and left him vulnerable. hello, everybody, i'm tony harris. top of the hour where anything top of the hour where anything can happen. -- captions by vitac -- www.vitac.com many of you are out of work. what is congress doing to help? >> my unemployment is about to run out. i've spread my search for a full-time job to wanting to get a part-time job. he was known as the boss and

dominated baseball. we're looking back at the impact. we're on it right now. josh levs is following the top stories. josh? >> we're hearing from you on joblessness in america. what needs to be done. coming up. plus, a key player has come out swinging against buying the iphone 4 saying don't buy it. we'll have that this hour. let's get started with the lead story. we are expected to hear live from president obama any moment now. the topic from the white house diplomatic room we are told will be the economy. the president has been in a meeting with democratic congressional leaders for much of the morning, laying out his legislative priorities before the august recess. we will bring you president obama's statement when it happens. you know, one of the president's goals, renewing unemployment benefits for out-of-work bill w senate. brianna keilar is with it.

brianna, how many people are on the benefits right now? and my guess is the number of people who need them or could be running out of them will simply continue to grow? >> well, that's the expectation, at least, for i would say, another week here, tony. but let's just break it down. because it's been weeks now that congress has been unable to extend these unemployment benefits. so what you had since really the impasse over extending them, which was at the end of may, you've seen 2.1 million people who have been affected, who have seen their unemployment benefits just end. and they're going without that assistance. if this were to continue, through this month, through july, you'd be looking at 3.2 million people who would be affected by the end of the month. now, what normally happens in a rough economy like this, tony, is congress will extend unemployment benefits. but what you have this year, is sort of a new tension going on. over deficit spending. you know, a lot of americans are concerned about this, and a lot

of lawmakers are concerned about this. so it's really fracturing the senate on pretty much partisan lines here. you have republicans saying, you know what, you have to pay for this. this has to be offset in spending. and you-d have democrats saying, no, it's an emergency. we need to push this through. so you've been seeing the votes that are almost split on party lines. i should mention that there is one democrat who's been voting with republicans on this. a couple of republicans seem to be coming over on the side of democrats, tony. >> so let's sort of flash forward here. the bottom line question is, will this pass? and if it's to pass, where will the votes come from brianna? >> democrats are planning on passing this. and the expectation is that they're trying to do this here in the next week or so. here's the game plan. what they're looking to do is pick up votes on this from senator olympia snowe and senator susan collins of maine. they actually voted for an extension of these unemployment benefits last time this was up

for a vote, although ultimately that did fail, as we know. the problem for democrats, they're missing one of their own. you know senator byrd passed away recently and there hasn't been a replacement for him. we could be seeing perhaps his replacement this week. it's really that vote the democrats are relying on to pass this. bottom line, though, democrats say they are planning to hopefully take care of this next week. and certainly get this all wrapped up before the august recess. but tony, there have been so many failed votes that it's one of those issues for continuing to keep an eye on to see if it's going to go through. at this point, i should tell you this bill. it's not just unemployment benefits. there are other thing, aids to states that are tacked on, that's something that bothers some republicans as well. we understand this bill that the democrats are trying to push through is going to be a stand-alone bill for extension of these benefits. >> okay, brianna keilar. thank you. good to see you. democrats are certainly sounding

off about congress, saying it should be doing a lot more tond the high unemployment rates. josh is following that story for us. josh, what are you seeing? >> wow, the blog is filled up. i was out yesterday, i'm taking a look at what is coming in. what needs to be done. a lot of people very frustrated saying the government has a responsibility to do a lot more than it's been doing. let's go to the blog, what you've been posting at cnn.com. let's look at janice. congress has been there for months, see how past they pass the cobra benefits. and then, congress should have to live on that for 26 weeks. as the old saying goes, try walking a mile in my shoes. . i think congress should focus on unemployment benefits there are not enough jobs because of the recession. people are having to rely on local churches and food banks. two more here. this is from michele. unemployment benefits and the job bill should be the top

priority. these have a huge impact on the day-to-day lives of so many americans for those not getting paid. it's devastating. from jack, first things first, pay cuts. congress is clearly overpaid. tony, we've read through hundreds and hundreds of what we're getting. it's frustration. that the government has responsibility to do more to build these jobs. >> let's keep this conversation going. i love it. i love that you're responding to all of this. and, josh, the other thing that you've been doing for you you've been following some winning strategies for people who are find something success, of finding a job? >> yeah, let me get some tools right here. first of all, i want to encourage you to go to cnn.com/jobs. there's a lot of great stuff to take a look at there. you have a map here, for example, depend on what your industry is and what kind of work you want to do. you can find guides where you want to be in the united states. you click on industry. what industry you want to work in. say you want to work in manufacturing. all of a sudden, it tells you what things are like.

each day. and tony, along with it, what you're seeing is great strategies. like someone who went in for an interview, and just started doing the job. we have this other guy who i think is brilliant. sent out 1,500 resumes. got no responses at all. then got the idea of sending coffee cups by fedex to the heads of the banks. he got instant notification by text when they signed for it. boom. he called them, said, will you have coffee with me. within a matter of weeks, got six different offers from banks. what we're seeing are people who are clever. one other thing that may make you feel happy. i talked to an expert a few months ago. she told me she's an economist. she said now is the time to be your own boss. look back on history, a lot of the great companies that still exist today are started by individuals during recessions who had no jobs. so a little bit of hope out there for people in that situation. >> you certainly have to

reinvent yourself. if you're going to try to start a new business, chances are you're going to have to bootstrap i lot of it. i think that economist is invite. now is the moment to think about what you really want to do. where your passions lie? josh, you got it? >> i got it. today's scheduled vote of the nomination of elena cage tonight supreme court has been postponed at the request republicans. they want more time to review kagan's testimony. she's likely to be approved by the senate judiciary committee. made up of 12 democrats and seven republicans, the timing of the vote pushed back one week. he was a self-described tough boss who reigned over a sports empire. remembering george steinbrenner. this site has a should i try priceline instead? >> no it's a sale. nothing beats a sale!

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so, a pressure-filled day 85 in the gulf oil disaster. cruise will be continue to see if they can contain oil. the government's point man says the testing involves closing off vents and measuring pressure in the well. the process could take anywhere from 6 to 48 hours or even longer. but admiral thad allen says, even if all goes well, the gulf still faces a long road ahead. >> even if we contain the well, even if the well is demand midall right, there's still a significant amount of oil out there and the oil recovery and the impacts on the oil will probably extend well into the fall. as far as oil come ago shore,

tar balls, beach cleanup and we'll move forward with the national resources disaster assessment, trying to understand the ecological event. first lady obama walked barefoot on the beach. the area has been hit hard economically, despite having seen little oil. mrs. obama says he hopes more americans will see the beaches are safe and visit. >> there are many places along the gulf coast, like right here in panama city beach, that as you can -- these places are still clean. they are safe and they are open for business. yankees' owner george steinbrenner is being remembered as a giant in the world of sports. a self-confessed tough boss. steinbrenner died today after a massive heart attack. he had just turned 80 on july 4th. he was the longest tenured owner

in major league baseball. the team won seven world series titles. understand his ownership, just last hour, i talked with "sports illustrated" editor tom berducci about whether the years were good for baseball. >> reporter: it has to be good for baseball. you didn't care about the yankees. they were not a threat. they certainly didn't have the international brand recognition which they have right now, which ask, you know, one of the best in the world, obviously. it's because of george steinbrenner. he obviously was so successful at what he did, baseball had to change its economic system. the yankees were making so much money that they said, hey, we need revenue sharing. we need to find a way with george to share his money with us. that's why we have revenue sharing today. >> the common perception was, he bought his championships and

winning at any price? >> no, that never bothered him. his point was, we take the money we make and we funnel it right back into the team. you know, had weighs really proud of the fact when he went to new york, cab drivers and truck drivers and yankee fans recognized and thanked him for spending money. i think he got a huge kick out of that, more than the criticism he got from 0 other cities. >> do you have a favorite steinbrenner story? >> there's so many. but i was covering the team back in the 1980s. i'll always remember that the roof box at the stadium where george had a box. you had to stop by, he was really ripping into his players at any moment. were you on call all the time covering george steinbrenner. it wasn't always fun, but it was always interesting. >> tom, we're going to put up a couple of "sports illustrated" covers of george steinbrenner. how do you think he will be remembered? >> well, i think he'll be remembered as a guy who cared so

much about winning, that it cut both ways. obviously, it helped get him suspended from baseball on two separate occasions. he did run through managers. and almost comic fashion. but at the same time, he has all the rings to show for it. . the championships. i think it's the fact that he really did spend a lot of money. it depends on what your perspective is. if you are a fan of the yankees, you loved george steinbrenner because you knew every year, he was going to spend money to give your team a chance to win. an iranian nuclear scientist takes diplomatic cover in washington, as you'll find out the u.s. and iranian government have very different explanations for his actions. ! - good stuff for bettering stuff! guys? the best stuff on earth just got better. - good stuff, craig. - we're dating. [ announcer ] snapple. the best stuff on earth just got better. [ but aleve can last 12 hours. tylenol 8 hour lasts 8 hours. and aleve was proven to work better on pain

than tylenol 8 hour. so why am i still thinking about this? how are you? good, how are you? [ male announcer ] aleve. proven better on pain. day 85 of the gulf oil disaster, bp is testing the new containment cap to see if it's

dramatically reduces the flow of oil from the broken well. in a best case scenario, the cap could stop the leak completely. former giants star lawrence taylor is pleading not guilty to charges that he paid the girl to have sex. and historic flooding has destroyed tens of thousands of homes in china. and a massive design to prevent this has managed to hold back the rising yangtze river. and a man wanting to go back to iran. how the man got back there last summer remains unclear. chris lawrence joins please now. first of all, this man is chevron amiri. he was kidnapped. but the u.s. says nonsense to the charge? >> maybe kidnapped.

the stories are flying all over the place, tony. what we do know, amiri was on a religious pilgrimage in saudi arabia. he was performing the hajj. iran said he was taken to the united states and tortured. and others say that's nonsense, amiri came here of his own free will. he's been here freely. and he's freely going back to iran. he's made several videos posted on youtube that don't clear up the situation very much. in one video, he claims he was abducted and tortured here in the u.s. in another video, no, i was just here, studying. he tells his family he's okay and he wishes his family well. so what to believe? well, a former u.n. nuclear weapons inspector said a senior u.s. official told him that amiri had asked to come to the u.s., and that he was providing

information about how to weaponize nuclear energy. >> all right. let's do this, chris, appreciate it, thank you, as promised. the president of the united states making remarks on the economy. >> -- put politics and partisanship aside to support his reform. and i'm grateful for their decision, as well as all the democrats who have worked so hard to make this reform a reality. particularly, chairman dodd and chairman barney frank. what members of both parties realize is that we can't allow financial crisis like this one that we just went through to happen again. this reform will prevent that from happening. it will prevent the financial crisis like this from happening again. by protecting consumers against the unfair practices of credit card companies and mortgage lenders. it will ensure that taxpayers are never again on the hook for wall street's mistakes.

and it will end an aera of irresponsibility that led to the loss of 8 million jobs and trillions of dollars of wealth. this reform is good for families. it's good for businesses. it's good for the entire economy. and i urge the senate to act quickly so that i can sign it into law next week. now, as we finish our work on wall street reform, we're also mindful that we've got significant work to do when it comes to reducing our deficit. today, as part of that work, i'm proud to announce the nomination of jack liu to be the next director of office and budget or omb. before saying a few words about jack, i just want to say a few words about the man he's replacing at the helm of omb.

that's mr. peter orszag. peter told me in around-the-clock snervice in on of the toughest jobs around, peter is ready to move into a job that offers more sanity and fewer line items. putting a budget together for the entire federal government is an enormously difficult task, no matter what the state of the economy. but peter's job was even tougher. when we walked through the doors of the white house, we not only faced the greatest economic recession, but a $1.4 trillion deficit. a deficit of nearly not page for key policies and programs. in light of these challenges, peter accomplishments as director of omb are even more impressive. he was instrumental in designing and helping us pass an economic plan that prevented a second depression. plain that is slowly but surely moving us in the right direction again. thanks to his innovative ideas

and gritty determination, we passed a health insurance reform plan that is not only paid for, but will significantly lower the cost of health care, as well as our deficit over the next several decades. in fact, a recent report by independent experts say this reform will cut the deficit even more than the congressional budget office first estimated. peter's also helped us single out more than 100 programs for elimination. that have outlived their purposes. and made hard decisions that will save tens of billions of dollars. and he helped draft a budget for next year that freezes all discretionary government spending outside of national security for three years, something that was then every a enacted in the prior administration. it's a project that will reduce the budget by over $1 trillion over the next decade. which is more than any other budget in a decade. and i expect that freeze to become a reality next year.

now, peter also sharing my view at that long-running debate between big government and small government misses the point. it isn't relevant to today's challenges. the real debate is about how we make government smarter, more effective. and more efficient in the 21st century. it's easy for any institution to get in the habit of doing things the way they've always been done. we in government can't afford that habit. not only because it wastes taxpayer dollars, but because it erodes people's belief that their government can actually work for them. over the last year and a half, we've been able to employ new technology to make government more responsive and customer friendly. the same way businesses have used technology to make better products and provide better services. as a result of these efforts, today, we're creating a single electronic medical record for men and women in uniform that will follow them from the day they enlist to the day they are laid to rest. we're cutting down the time it

takes to get a patent approved by cut ought the unnecessary paperwork and modernizing the process. we're working to get people a chance to go online and book an appointment at the social security office or check the status of their citizenship application. we're cutting waste by getting rid of federal office space that hasn't been used in years. we're closing the i.t. gap in the federal government and created mobile apps that provide nutrition information for your favorite foods or wait times at the airport. and the examples go on and on. inertia is a powerful thing. constituencies grow around the department with the vested interests in the same way. that's why we have to keep on challenging every aspect of government to rethink its core mission, to make sure we're pursuing that mission as effectively and efficiently as possible. and to ask if that mission is better achieved by partnering with the civic, faith and private sector communities.

this is a mission that requires some special leadership. and jack is somebody who has proven himself already, equal to this extraordinary task. you know, if there was a -- if there was a hall of fame for budget directors, then jack surely would have earned a place for his service in that role under president clinton. when he helped balance the federal budget after years of deficits. when jack left that post at the end of the clinton administration, he handed the next administration a record $236 billion budget surplus. the day i took office, eight years later, america faced a record $1.3 trillion deficit. jack's challenge overt ne the n few years is to use his extraordinary skill and experience to cut down that deficit and put our nation back on a fiscally responsible path.

and i have the utmost faith in this is ability to achieve this goal as a central member of the economic team. jack is the only member in history to preside over a budget process for three consecutive years. when jack was deputy director at omb he was part of the team that reached the bipartisan agreement to balance the budgets for the first time in decades. he was a principal domestic policy adviser to tip o'neal. and worked with him on the bipartisan agreement to reform social security in the 1980s. he was executive vice president at new york university, where he oversaw budget and finances. and for the past year and a half, he's been successful in overseeing the state department's extremely complex and challenging budget as deputy secretary of state for management and resources. i was actually worried that hillary would not let him go. i had to trade a number of number one draft picks to get jack back at omb.

but i am grateful that hillary agreed to have jack leave. and i'm even more thrilled that jack agreed to take on this challenge at this moment. jack is going to be an outstanding omb director. we know it because he's been one before. at a time when so many families are tightening their belts, he's going to make sure at that government continues to tighten its own. he's going to do this while making government more efficient. more responsive to the people it serves. and jack, i am looking forward to working with you on your critical mission. thank you so much. thank you. and thanks to jack's family who has been putting up with him in multiple very difficult jobs over and over again. we appreciate his service to our country. and we appreciate yours as well. thank you, everybody. >> there you have it, the president announcing jack lew from the clinton administration to replace peter orszag at the

office of management and budget. and also urging to pass senate financial reform to sign it into law next week. the votes apparently are there. and the president announcing steps in highlighting efforts to make the government operate more efficiently still to come this year. in the "cnn newsroom," the fda take ace look at the dangers of a popular diabetes drug. we will look at what's behind the meeting that's going on right now.

pictures, information, insight you won't find anywhere else. "cnn newsroom" with tony harris. anything can happen. and fda advisory committee is meeting at this hour to decide whether to recommend the

diabetes drug avandia be pulled off the market. cnn's chief medical correspondent, dr. sanjay gupta explains why. >> turn it on. and let it heat up. >> reporter: edward darden was diagnosed with diabetes two years ago. in 2006, he started take ago va taking avandia. and then the headline, a 43% increase in heart attacks for people on avandia. the dr. steven neeson wrote about it. >> we've had information for several years that avandia increases the risk of heart attack inpatients. >> reporter: in 2007, this same panel voted, 22 to 1, that the evidence was too weak to take it off the market. one reason, a large clinical trial called record. it was funded by glaxosmithkline, the company

that makes avandia and shows no increased risks. but it's take something heat. on friday, the fda posted an analysis by one of its experts who said that record is full of holes. he said they didn't follow up on reports of bad outcomes even for patients who died. >> i've been following the fda for 20 years, i've never seen an fda review as blistering as his review of the record trial. >> reporter: this is dr. murray stewart. a top glaxo scientist. he asked him to come on camera, he didn't want to, before the hearing. he did tell us on phone, avandia is safe. he said six clinical studies, not just record, back him up. extremely confusing for specialists. >> there's a lot of information out there, and we don't know which to believe. i think this is where we really rely on the government agencies to give us some direction as to whether the medicine is safe enough. >> if there's a better

alternative, something that doesn't have as much risk, i'd rather do that. i think that's agreeable. >> reporter: edward darden didn't wait. he switched to another medication, and he's not alone. prescriptions of avandia are down by two thirds in the past three years. dr. sanjay gupta, cnn, reporting. six months after the earthquake and billions of dollar s pledged for recovery, haiti still looks like this. debris everywhere, in tent cities, as far as the eye can see. cnn's anderson cooper asked the point man for the recovery why it's lagging. >> in terms of other jobs you've done, how tough is this one, where does this compare? >> well the geographically expanse of this, compared with the tsunami, it's much more narrow. that's get news. the fact that the dominican republic, the nearest neighbor has committed and all the caribbean and central and southern mex core committed, as

i said, you know, this is something that venezuela, cuba and the u.s. agree on. also all the neighbors to haiti, that's good news. but i've never dealt with a place that lost essentially its urban center and 30% of its population. and far more than that of its gdp. >> cnn ivan watson checked in with earthquake survivors he met several months ago. >> reporter: we last saw michel six months ago looking lost with his wife in a sea of makeshift tents. they had just taken shelter in this filthy camp and they still appear to be in shock. in fact, michel was one of the lucky ones because everyone in his family survived the collapse. this is amazing, there were six people in this building, and they all made it out alive without injuries. in the first days after the

earthquake, michel began single-handedly demolishing what has been left of his house. it was his only source of income. this middle-class father of six put his kids through school by rent ought rooms to tenants. today, this is all that's left. an effort lot, littered with garbage. when i met michel last week, i expected to hear that the last six months had been very difficult. but i did not expect to hear this. michel says six weeks, six months, rather, after the earthquake. life doesn't make much sense to him anymore, it's futile. because a couple months after the earthquake, after his house was destroyed, his wife who we met passed away from a stroke. she was listening to the news on the radio.

michel says. she heard that we would have to all leave and move elsewhere. and then she collapsed on the ground. michel and his son bring us to a cemetery. this is where they buried her. she was 55 years old and high blood pressure. her son believes she's another victim of the earthquake. it was the aftershock, again, and again, he says, she just couldn't take the stress. after sunset, michel takes us to this camp where he now lives. a hard rain begins to fall. as we walk through a maze of shacks to reach his shelter. there is no electricity here, just a one-room hut with a bed and a leaky roof, lit by the occasional flash of lightning. according to some estimates, the

earthquake killed at least 220,000 people, but it is much harder to quantify the impact. this terrible act of nature continues to have on millions of haitians. michel is now penniless, homeless and heartbroken. he is a survivor of the earthquake. ivan watson, cnn, port-au-prince. so the president tweaks u.s. strategy on hiv. plus, the recession's toll in the battle against the virus. we're back in a moment.

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come to meineke now and get a free ac system check. meineke. we have the coolest customers. boy, you're really going to love what's happening with stocks today. let's get to you the best financial website on the web. cnnmoney.com. let's see. we are just past the hours of trading today. spikes stock on renewed optimism. they, how often do we get to say -- underlined, optimism. look at the dow, we are up 165 points. and the nasdaq, up 38 points, as well. we're following these numbers throughout date for you. the white house unveiling its new national strategy to fight aids this afternoon. it comes as more people struggle to afford life-saving hiv drugs.

patricia is joining us from new york. patricia, this struggling economy has taken a toll against the fight of hiv and aids? >> your guess is right, tony. it is making that fight much harder. here's why. you know that losing your job usually means losing health insurance. so for people with hiv, that means they need government assistance to help pay for the medicine that helps them stay healthy. the medicine is expensive. the government pays an average of $12,000 a year for person. it's even more if you have private insurance. but the state budgets are stretch society thin right now, that people have to go on waiting lists to qualify for that help. currently, 2,100 people in 11 states are on the wait-list for that program. and that's not all. the states are limiting enrollment while cutting back on which drugs they will cover. thousands of people affected by this. more than 168,000 people

received their meds through this program last year, tony. >> so, patricia, does the president's new strategies sort of address this challenge? >> well, the plan that's being announced today is not expected to include an increase in federal spending. but last week, the administration did allocate an additional $25 million to help get more people off those waiting lists, for drug assistance. the problem is, it just may not be enough. advocacy groups and state officials have been asking for an extra $126 million, this fiscal year. that's five times as much. so what you can do if you get put on a wait-list or, worse, kicked off the program? well, you can contact the drugmaker. most pharmaceutical companies have programs that provide discounted or even free medicine to people who can't afford it. and advocates tell us that other relief is also coming, when mrougss of the new health care law kick in, making more people eligible for health care subis

sadyes. but that doesn't take in effect until 2014, but it is a long time to wait if you need the drugs to sur arrive. >> patricia wu with the breakdown for us. still to come in the "newsroom," how they were wounded in the country they worked so hard to help, american missionaries caught in uganda now fight for their lives.

okay. day 85 of the oil disaster. we will soon know if the new containment cap installed yesterday can stop the leak. this morning, scientists began testing the cap's ability to hold the pressure of the well. other top stories we're following for you today. today's vote for the nomination of elena kagan to the supreme court has been postponed at the request of the republicans. the committee is expected to vote on whether to confirm her next week. and legendary yankees owner george steinbrenner has died after suffering a massive heart attack. where there's magic. and you now understand what nature's been hiding. ♪ at dow we understand the difference between innovation and invention. invention is important.

it's the beginning. it's the spark. but innovation is where we actually create value for dow, for society, and for the world. ♪ at dow, we're constantly searching for how to use our fundamental knowledge of chemistry to solve these difficult problems. science is definitive. there is a right answer out there. [ male announcer ] the same 117 elements do the fundamental work of chemistry. ♪ the difference, the one element that is the catalyst for innovation, the one element that changes everything is the human element. ♪ is the human element. at this moment, your father is alive... your son is safe... your wife is recovering...

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all right. time now for the help desk where we get answers to your financial questions. joining me this hour, donna rosato, a senior writing with "money" and ryan math. thanks for being here. john wrote, i was going to close out my bank of america visa card because i don't need. somebody told me closing that would affect my line of credit, is he right? >> he is right. it may not seem like a big deal to close down a card that you don't use much. it's something known as your credit to dead limit ratio. all that really means is how much debt you have and how much

credit is available to you. if he shuts down that one credit card, there's less credit available to you and you're considered more of a risk. how much will it affect his score? it depends how much credit cards he has. auto loans, student loans. the best thing to do if he doesn't use it very much, maybe use it period click. if he does have other credit available them to, he might not hurt his score that much. keep in mind, it's the mix of loans that you have and the loans available to you. >> ryan, your question comes from sam. sam writes, what are the advantages or disadvantages of taking what's left of my 401(k) or ira funds, cashing it or buying property? my 401(k) and ira are declining in value but property is increasing? >> at the end of the day, you

don't would be to be overleveraged. a lot of individuals, it's a very common question to think about it, not only do they have to worry about the taxes they pay. also, younger than 59 1/2, they have to pay the 10% penalty. i would say ride it out with your 401(k), or ira and have a good mix of investments. >> property might look good now. you're going to get hit big time on taxes and penalties. send an e-mail to cnn help desk@cnn.com. or logon to see more of our financial solutions. also pick up the latest issue of "money" magazine. [ man ] i'm a filthy rich executive.

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♪ okay. so you're online right now. we are, too. we're keeping an eye on some of the top stories trend right now on the internet. to help us do that is this man, josh levs. we're going to start with the goalie? >> the goalie. take a look. here's what happens.

he was being interviewed by -- you might think that's a reporter -- it's actually his girlfriend. >> wow, have some. what is that reaction? >> watch this. she clearly is not happy with it. >> but that's his girlfriend, correct. >> apparently, there have been minor controversy, during it, they said she was a distraction to him. hey, spain. >> look at her face, she's like uh-oh. i think he's seriously go to pay for that. >> somewhat is that, my integrity. there are other shots during the event where she's actually cheering. and now, we get this? >> well, she was cheering. she didn't see the kiss coming. >> how does she think she got the interview, anyway? >> and quickly, paul is retiring the octopus. he's retiring. he's going away. actually, you know -- >> fine dining, to restaurants all over the world, maybe? >> he's go to come in the aquarium. >> okay. >> you know what else, italy is

now saying he's actually italian because word isle he was caught off the coast italy. so now you've got the italian media saying his real name isn't paul. it's actually paolo. paolo, the octopus. >> well paolo/paul leaves a winner, right? >> 8 for 8. he's the ultimate winner. >> do we have time for one more? >> i don't think so. we're getting the wrap-up. >> all right. let me tell you about a very important phone call i made. when i got my medicare card,

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sam and diane mcmutrie raised three kids who grew up and moved away. after seeing haiti's devastating earthquake, the couple wanted to do something. they wanted to do something to help. they decided to adopt a 4-year-old. that's when little fredo enters their lives. you have got to meet fredo. >> that's me right here. >> in so many ways, he's changed us. i'm glad that he's here. i'm glad that we can make a difference in his life. but he makes us smile every day. he makes us laugh. he says the cutest things. and he is just now the love of our life. >> i don't consider ourselves special. we just happen to be adopting a haitian boy who our daughters love and thought it would be great for us.

>> this is -- there's jamie and there's ali. >> had you said no to that a year ago, wouldn't be enjoying what we're enjoying now. we want him to be able to go back there as a child and just stay in touch with who he is, whom his family -- you know, his immediate family. but then also just the people of haiti as his family. >> going forward with fredo, we're just going to be completely honest with him. he's going to know about his mom who is still in haiti. he's going to know about his siblings. you know, it's going to be very open with him. >> i want him to feel like he's just another kid. like there's no difference. and we love him because of who he is, and not, you know, not anything with color or race. we a