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How the plan unfolded behind closed doors. And whats the north korean end game here. Very important. Well have complete coverage ahead in this hour of Shepard Smith reporting. Im Trace Gallagher in for Shepard Smith. In northern california, police there are responding to reports of shots being fired and a hostage situation at a Veterans Home, one that calls itself the largest in america. Were talking about a home with some 850 to 1,000 people. This is in the heart of the napa valley, which is about 55 miles north of San Francisco. Fire Officials Say a man dressed in black with a gun, we do not know the type of weapon, is holding hostages. There were reports it might have been two or three hostages. The number, as you know, will change throughout this thing. These are the very first live picks we are seeing of the area. We do know they are calling this an active shooter situation. Now, remember, theyre not letting cameras get near the actual Veterans Home, but we can tell you if youve ever been to this area, its right across from the napa museum. These are veterans that date back all the way to world war ii. It is important for us to note, we have absolutely no evidence or indication that anybody has been shot. In fact, weve only heard there has been one shot inside fired. We do not know where that was fired. Were being told this is happening in building g of this Veterans Home. Building g is better known there as the madison residential area of this Veterans Home. You talk about how these active shooter situations progress and how theyre handled. We do know there are dozens of Police Agencies. You can see the california Highway Patrol is clearly on scene, but dozens of other Police Agencies have set up perimeters around this Veterans Home. There are reports from the local news organizations on scene that shots have been fired from inside the home out toward deputies who are kind of set up around the perimeter. And there are some s. W. A. T. Teams that are set up. Were trying to figure out the information from the sheriffs, if those s. W. A. T. Teams get a good angle, if they have the go ahead to go ahead and shoot. Remember, if you talk about school shootings, they talk about you run first and then you hide. And if you cant run or hide, then you have to fight back. Were talking about people who are in their 80s, possibly 90s, 60s and 70s. A lot of indications, a lot of situations, these people cannot run, they cannot hide, and they clearly cannot fight back. A lot of that is kind of thrown out. What they will do is they will sit and they will do what the police tell them. Theyre waiting to find out exactly what indication this shooter might have. There were reports he was some sort of veteran himself. Might have some posttraumatic stress disorder. That has not been confirmed. I want to get to will carr getting more information about this. What are we hearing about how many different agencies on scene and anything else coming out . The first live pictures are now just coming in. Reporter well, trace, it is a fluid situation right now. A as you mentioned, the s. W. A. T. Team has swarmed the area. This all happened around 10 30 this morning inside of building g there at the Veterans Home. Were told this is all taking place inside the dining room there in building g. Witnesses say that they saw a man dressed in black armed with avil military style rifle and w looked to be body armor. At least three hostages and reports that one shot had been fired. We dont know if there are injuries, as i mentioned. Authorities have shut down that home, but the surrounding area. Theres actually a golf course right next to this Veterans Home. The Veterans Home just released a statement on twitter. They say, Law Enforcement is at the Veterans Home right now following reports of gunfire. The safety of our residents, workers, and the community is our top priority. We have activated our Emergency Response protocol and are cooperating with Law Enforcement. Some of these veterans go all the way back to world war ii. Were being told every veteran inside this home, roughly a thousand or so are still being told to shelter in place as authorities try to figure out exactly what is going on on the ground there, trace. Trace they have dubbed this an active shooter situation. Were hearing now hes got at least two, possibly three hostages inside building g, the madison residential building. We dont know if theres a relationship to the people that he might be holding. We dont know the identity of the shooter. Theres been some talk back and forth between police, they may have an idea, but of course were not going to announce that. Theres been no confirmation from police at all. If this goes from an active shooter situation into a hostage situation, then the protocol changes a little bit because the first order would be for the police to try to get in contact with whoever might be inside the building holding these people hostage. You want to get in contact with them, and then you want to try to talk this person down, talk them out of doing whatever it is theyre planning to do. So that is where police kind of get into a perimeter and theyre there for the long haul. This is not one of those things setting up, active shooter inside, they got to get in and clear this thing. Right now, if there are no shots fired at deputies, they will wait, try and get some communication going with the person inside, try to figure out what the motive is, what the m. O. Is and try to figure out if they can walk this whole thing back without anybody being hurt. We should note we have no reports at all of anybody being injured in any capacity at all inside this building. There were reports of a single shot being fired. We dont know the type of weapon. We dont know where the shot was fired. We dont know if the shot was fired to get peoples attention. We have no context or perspective on that at all. All weve been told, it is confirmed that this person is holding at least two people, possibly three people hostage and there is no indication yet that police have established any kinds of lines of communication inside the building with the person who is holding these people. But you talk about anefarious intent. Went in dressed in black, were told wearing body armor. You dont go in wearing body armor unless you have bad intent. The motive is key. Reports from the locals on the scene are that this may be a veteran himself who could be suffering from posttraumatic stress disorder. That has not been confirmed to us. The pictures are just now coming up live. These are the first pictures were getting, and they are clearly away from the Veterans Home, back of the perimeter that police have set up. I want to go back to will carr. We have done so many of these different types of shooting. Go back to parkland just a couple of weeks ago. These situations are handled differently. This case is different because its a totally different set of victims in there. These are people who are elderly in most cases, and in a lot of cases they simply are not mobile. And they have no choice but to shelter in place and wait for some type of information to come from authorities. Reporter thats right, trace. Elderly, many disabled inside this home. A Veterans Home. Important to remember that authorities practice for these types of situations on a consistent basis. You can go all the way back to columbine. Thats really when Law Enforcement response to active shooter situations changed across the country. Back at columbine, they would set up a perimeter, no matter what was going on on the inside. Since then, youve seen members of Law Enforcement, if they believe there was still shooting going on which we dont know right now. We should be very clear about that. They are now guided to race inside buildings when there is an active shooting continuing to play out. We saw the criticism of the member of Law Enforcement in florida who evidently had a gun and did not go inside of the building for the parkland shooting. But here, it seems to be a little different. Weve only heard of one shot being fired so far from authorities. They set up this perimeter, the s. W. A. T. Team there, witnesses say theyre seeing snipers get into position. And you can see the cars going onto the premises there. These cameras pushed back pretty far. Thats why it doesnt seem like a lot of panic from the people standing there, pushed back very far from the Veterans Home. These members of Law Enforcement have certainly practiced for this and are trying to implement their plan, a plan to try to keep as many people safe as possible, trace. Trace gallagher they will of course send crews from San Francisco up here. There are every agency, its a all hands on deck situation. Our fox affiliate up there is ktvu. They are on scene right now. Were hearing from them that they believe that police do know who they are dealing with here, and theyve even identified a car that he may have been driving in the parking lot. From there, this will this will progress very rapidly because once you find out the identity of the person who is inside, police will instantaneously know his identification, they will know what possible motive he will have, and theyll at least know how to contact him. Because within five minutes, theyll have his cell phone number. Were not saying he has a cell phone on him. But if he has a cell phone, theyll have the information of where he lives, information on what he drives, information on what his background is, and were hearing that ktvu is reporting this may be a person involved in something called the halfway home program. Thats a program for vets who have suffered some type of stress, posttraumatic stress disorder, some type of Mental Illness because of their service. He may have been a part of that. Again, nothing has been confirmed. The authorities on scene are giving us no guidance as to when they might speak to us. We have called the sheriffs office. We have called the local Police Offices in surrounding cities. Weve gotten very Little Information for them because clearly they are busy at the time trying to deal with this situation. But for those just joining us, there is a hostage situation inside a Veterans Home. Its the biggest Veterans Home in the country. Its in a town in the very heart of the Napa Valley Wine Company. This is right across from the napa museum. Theyre surrounded with wineries. One of the most majestic areas of california. There is right now reports of a person inside dressed in black, body armor who is holding two, possibly three hostages. One single shot has been fired inside. We heard that more shots have been fired outside toward deputies. But right now, we have no indication that anybody has been injured. We are going to follow this as the information comes in. Well get back to you. We are continuing coverage of breaking news. Im Trace Gallagher in for Shepard Smith reporting. Were also learning more about President Trumps planned meeting with kim jongun. This does not mean the north korean dictator is off the hook when it comes to pressure over his nuclear program. We are live at the white house next. Mom . Dad . Hi i had a very minor fender bender tonight in an unreasonably narrow fast food drive thru lane. But what a powerful life lesson. And dont worry i have everything handled. I already spoke to our allstate agent, and i know that we have accident forgiveness. Which is so smart on your guys part. Like fact that theyll just. Forgive you. Four weeks without the car. Okay, yup. Good night. With accident forgiveness your rates wont go up just because of an accident. Switching to allstate is worth it. This is the story of Green Mountain Coffee Roasters dark magic told in the time it takes to brew your cup. First, we head to vermont. And go to our coffee shop. And meet dave. Hey. Why is dark magic so spellbindingly good, he asks . Let me show you. Lets go. So we climb. Hike. See a bear. Woah. Reach the top. Dave says dark magic is a bold blend of coffee with rich flavors of uganda, sumatra, colombia and other parts of south america. Like these mountains, each amazing on their own. But together . Magical. All, for a smoother tasting cup of coffee. Green mountain Coffee Roasters packed with goodness. Im trying to manage my a1c, and then i learn type 2 diabetes puts me at greater risk for heart attack or stroke. Can one medicine help treat both blood sugar and cardiovascular risk . I asked my doctor. He told me about noninsulin victoza®. Victoza® is not only proven to lower a1c and blood sugar, but for people with type 2 diabetes treating their cardiovascular disease, victoza® is also approved to lower the risk of major cv events such as heart attack, stroke, or death. And while not for weight loss, victoza® may help you lose some weight. announcer victoza® is not for people with type 1 diabetes or diabetic ketoacidosis. Do not take victoza® if you have a personal or Family History of medullary thyroid cancer, multiple endocrine neoplasia syndrome type 2, or if you are allergic to victoza® or any of its ingredients. Stop taking victoza® and get medical help right away if you get a lump or swelling in your neck or symptoms of a serious allergic reaction such as rash, swelling, difficulty breathing, or swallowing. Serious side effects may happen, including pancreatitis. So stop taking victoza® and call your doctor right away if you have severe pain in your stomach area. Tell your doctor your medical history. Gallbladder problems have happened in some people. Tell your doctor right away if you get symptoms. Taking victoza® with a sulfonylurea or insulin may cause low blood sugar. Common side effects are nausea, diarrhea, vomiting, decreased appetite, indigestion, and constipation. Side effects can lead to dehydration, which may cause kidney problems. Change the course of your treatment. Ask your doctor about victoza®. Well, the White House Briefing wrapping up moments ago. It was the first one since last nights announcement that President Trump has agreed to meet with dictator kim jongun about denuclearization. No sitting american president has ever met with a north Korean Leader. The white house says for now its business as usual and the u. S. Will not ease up on north korea. Nothing is changing from the United States position. Were going to continue the maximum pressure campaign. Were going to continue working with our allies and partners to do that. And were going to continue to ask them to step up and do more. Nothing is changing from our side when it comes to this conversation. The south korean official says it should happen by may. Analysts say there are plenty of risks. North korea has made promises in the past and of course has broken those promises. Now to the chief White House Correspondent john roberts live for us at the white house. What do we know so far about this meeting . Reporter trace, good afternoon. We know its going to take place. Thats what the white house hope is. It will be the first between a u. S. President and a north Korean Leader at least since the korean war. What brought them to this point . Were not exactly sure what changed kims mind. It may be the sanctions in addition to china have been putting on pyongyang that bit hard enough that he decided i have to do something to get myself out of this. There are also a lot of diplomats in the United States who believe kim jongun has been looking for an off ramp from the escalating crisis in the korean penni peninsula. President trump had said hed be happy to meet with him to talk about denuclearizing the korean peninsula. He doesnt want to freeze his nuclear program. He wants to denuclearize. Kim jongun talked about denuclearization with the south korean representative, not just a freeze. No missile testing by north korea during this period of time. Sanctions will remain until an agreement is reached. Manage being planned. Thats the tweet from referendum plumb. Clearly, you dont want the american president going to north korea. Kim jongun may be wary of traveling far outside of north korea for fear somebody may grab him and put him in a jail cell somewhere. Consideration of the discussion of where this could take place. I take it you wouldnt want to have it in north korea . Im not going to have those conversations between me and you and the press. Those are conversations that will take place at a much higher level. Reporter questions were asked what the white house giving in this meeting. Sarah Huckabee Sanders insists nothing and that they want concrete and verifiable action on the part of north korea before the president sits down with kim jongun. Trace . Trace gallagher i was watching last night whether they made this announcement. Even you were a bit surprised. Can you explain how the meeting came together. Reporter its just so kproo extraordinary. Its months upon months of tightening the screws on pyongyang and then playing good cop bad cop. The president threatening Nuclear Holocaust on north korea. At that big speech in vietnam saying you could join the rest of the world here and be like everybody else. Rex tillerson said that its not a surprise that kim has decided to come to the table. He said what was surprising the rapidity at which kim jongun seemed to change his path. Tlths still theres still a lot of skepticism, trace. Is he just trying to play the United States and buy some time if he gets a deliverable Nuclear Weapon on an icbm. Trace gallagher fox news confirming the president used his Trump Organization email address while communicating with Stormy Daniels. Reporter Stormy Daniels Attorney Says hes come across an mil that was to a bank that Michael Cohen issued on a Trump Organization email. Well hear from the other parties involved here, what difference does it make what email address you use, but the point that hes trying to make here is if he was using a Trump Organization email to either make the payment or negotiate the terms of the nda, as has been claimed by sources, then the president had to know about it. Michael cohen has said the president didnt knee about this, the Trump Campaign not involved. He says, quote, once again the idea that mr. Cohen was doing this for his client is ridiculous, nonsense, unbelievable, the list goes on and on. I spoke to Michael Cohen a short time ago. He wouldnt speak on the record at least about the using his email. What he did say was that the agreement this is a nondisclosure agreement, speaks for itself, meaning it is a twoparty agreement between the company that cohen put together and or the president and Stormy Daniels. Its a binding agreement which is really to say, trace, he believes all these discussions out there is merely meant to prove their case. He says this is a binding agreement, you cant get out of it. John, thank you. Hell also be anchoring Fox News Sunday this weekend. Hell talk with democratic senator elizabeth warren. That is this sunday on your local fox station. Check tv listings for the time in your area. Get back to the breaking news we brought you at the top of the hour. Theyre still calling this an active shooter situation at a Veterans Home in the heart of the napa valley. You can see the Highway Patrol there. Thats as close as they are letting cameras get right now. This is a Veterans Home of about 850 to a thousand people. It is the largest home in the country. Right now as it stands, theres a person inside. Nobody that we know has been hurt, but there are two people that believe are being held hostage. Well bring you much more on the breaking news on the other side as fox news and Shepard Smith reporting continues. You for your heart. Or joints. But do you take something for your brain. With an ingredient originally found in jellyfish, prevagen is the number one selling brainhealth supplement in drug stores nationwide. Prevagen. The name to remember. Mitzi Psoriatic Arthritis tries to get in my way . Watch me. mike ive tried lots of things for my joint pain. Now . Watch me. joni think id give up showing these guys how its done . Please. Real people with active Psoriatic Arthritis are changing the way they fight it. Theyre moving forward with cosentyx. Its a different kind of targeted biologic. Its proven to help people find less joint pain and clearer skin. Dont use if you are allergic to cosentyx. Before starting cosentyx you should be checked for tuberculosis. An increased risk of infections and lowered ability to fight them may occur. Tell your doctor if you have an infection or symptoms of an infection. Or if you have received a vaccine, or plan to. If you have inflammatory bowel disease tell your doctor if symptoms develop or worsen. Serious allergic reactions may occur. Mitzi with less joint pain, watch me. For less joint pain and clearer skin, ask your rheumatologist about cosentyx. More now on President Trump agreeing to talk about denuclearization with north korean dictator kim jongun. Jennifer griffin is watching this. Do we know if the president coordinated his decision with the pentagon here . Reporter heres what i can tell you, trace. Mattis was at the white house for a Cabinet Meeting yesterday, but was not aware there would be a big announcement. Only a very few people knew about the president s decision, and they did not share it with any spokes people here at the pentagon. Senior military leaders have expressed relief at the announcement, but they plan to keep up military pressure. They met in secret planning room this morning. The fact that kim jongun accepted the upcoming u. S. North Korean Military exercises next month shows he is under extreme pressure. He often tests his missiles or Nuclear Weapons at in response. The u. S. Has 28,000 troops on alert status in south korea. Any talk of denuclearizing will likely include a demand from kim that the u. S. Military leave south korea. That may be a nonstarter for President Trump and the pentagon. The countrys top intelligence chief testified on the hill on tuesday they were skeptical about kim jonguns overtures. Sarah Huckabee Sanders said the South Koreans convinced the president that north korea is serious about denuclearizing. Trace gallagher what else are we hearing from the state department on this . Reporter the secretary of state owes deputy was in the room with the South Koreans. The top north korea expert at the state department however resigned last friday. Secretary of state Rex Tillerson was in africa and appeared to be caught off guard. Were a long ways away from negotiations. We need to be cleareyed and realistic about it. President trump has said for some time that he was open to talks and he would willingly meet with kim jongun. Reporter a difference in tone in just 24 hours from the secretary of state, trace. Trace gallagher jen, thank you. Lets bring in the White House Reporter for the associated press. Jill, good to see you. I know as we talk about this meeting, we dont know where its going to happen, dont know exactly when its going to happen. Optics are a very big part of this whole program, right . How does the president address kim jongun . Do they shake hands . Its not just content here, theres a lot that goes into this meeting. Reporter absolutely. You have to keep in mind here for kim jongun being face to face with the president , being treated as an equal with the president of the United States is something quite extraordinary. A lot of critics of meeting say that act is elevating kim and giving him something hes been looking for for a very long time, which is legit imacy on te world stage. Trace gallagher this man has got to be under extreme pressure. It wasnt just, okay, lets talk, and would you mind not having these war games. He has pretty much agreed to everything here. Its not a matter of saying theres conditions here. He has said i want to talk, im agreeing to everything and dropping everything to make this happen. Reporter the point you made about allowing the military exercises to continue is so important. Theres a bit of subtlety in the language. Part of this is result of the fact that the white house allowed the south korean delegation to make this announcement and speak on behalf of the North Koreans as well as america. We had the south Korean Defense official saying last night that north korea was committed to denuclearization as part of the process surrounding these talks. But then Sarah Sanders up on the podium say before any talks happen, they need to see some type of concrete action towards denuclearization. The fact is does that mean that the u. S. Is expecting them to actually be taking steps before a meeting happens potentially in may. How are they going to be able to verify that. Theres a lot of questions here and a lot of wiggle room where you can see theres a big possibility many people think this could mind up falling apart in those details. Trace gallagher i want to remind everybody of the tone and tenor way before this. How this thing has been going on for quite some time. This is before the United Nations on december 19th, i believe. Play this. The United States has great strength and patience. But if it is forced to defend itself or its allies, we will have no choice but to totally destroy north korea. Rocket man is on a Suicide Mission for himself and for his regime. Trace gallagher the president says this is not about negotiating. This is just about talking. This could really lead to maybe a series of summits, might it not, jill . Reporter absolutely. Theyve had to make a distinction between talks and negotiations. They set the framework versus working out the in itnittygrit. Listening to that rhetoric, who had the bigger, more Effective Nuclear button. The announcement from north korea we just had saying it has nukes ready to go. Extraordinary to think of these two having to get together in a room and play nice and work together. Trace gallagher whether you like the president or not, this is historic and unprecedented. Jill, thank you so much. Reporter thank you. Trace gallagher we talked earlier about how this was called an active shooter. Now this is being called a hostage situation. No that changes how police will approach this because now the goal is no longer are they on alert trying to go inside, trying to check the building room to room. What theyre doing now is theyre trying to get a dialogue. You can see our first aerial pictures. You see police on the side of the building. Our understanding is this is happening in building g which is the madison residential area. Were being told that at least two people, possibly three people, have now been taken hostage. We do not know what type of weapon this man has. We do know he does have a weapon, has fired at least one shot inside. Nobody has been hit, and hes fired shots outside toward deputies. Continuing coverage on breaking news out of the Napa Valley Wine Company coming up. Prudential asked these couples how much money do you think youll need in retirement . Then we found out how many years that money would last them. How long do you think well keep oooooohhh you stopped youre gonna leave me back here at year 9 . How did this happen . It turned out, a lot of people fell short, of even the average length of retirement. We have to think about not when we expect to live to, but when we could live to. Lets plan for income that lasts all our years in retirement. Prudential. Bring your challenges. And back pain made it hard to sleep and get up on time. Then i found aleve pm. The only one to combine a safe sleep aid. Plus the 12 hour pain relieving strength of aleve. Im back. Aleve pm for a better am. Trace gallagher still more breaking news. Florida governor rick scott signing a gun control and School Safety bill just moments ago in his office in the state capital of tallahassee. He met with some of the victims killed in parkland, florida. The bill raises the minimum wage to buy rifles from 18 to 21, and it allows some teachers in florida to carry guns. Something the republican governor has proposed but President Trump has supported. Reporter amazing, historic landmark legislation just signed into law minutes ago up in tallahassee by republican governor rick scott. He gave credit to the students, teachers, and parents from parkland florida, particularly Stoneman Douglas high school, for the relentless efforts over the past three weeks to get legislative accomplishments completed. That is exactly what happened here. It is the 400 million marjory Stoneman Douglas Public Safety act. Aside from raising the age to 21 to buy rifles, it creates a threeday waiting period for all gun purchases, it also adds millions of dollars for more school security, bullet resistant windows, strengthen doors, hardening our schools, and allows certain teachers and Staff Members at schools after they pass 130 hours of gun training to carry concealed guns in the classroom around School Property at school. This is something the governor definitely opposed. He said, you know, we all had to give in a little bit. This bill did not have everything republicans wanted. Did not have everything democrats wanted. But hes signing it into law on behalf of the victims specifically from parkland, florida. Trace gallagher phil, thank you. Lets get back to our breaking news in yountville. Responding to reports of shots fired, and now this is being called a hostage situation at a Veterans Home. We know now this is in the area of the Veterans Home that houses veterans from operation desert storm. Were being told a special s. W. A. T. Team to negotiate with the gunman is now either on scene or very close to being on scene. And most importantly, the authorities know who they are dealing with. They know who this man is. In fact, were being told hes 36 years old, and that he recently was released from this pathway home, which is a home for veterans suffering from mental disabilities. We know they have his car, they have his information, they are in the process of trying to negotiate with him because this is no longer an active shooter situation. Its being categorized as a hostage situation, which kind of changes the protocol. Back to will carr live for us in the breaking news room. Will . Reporter the local paper reporting that this veteran was a member of the Pathway Home Program. That program specifically works with veterans post 9 11, people who were serving in our most recent wars in both iraq and afghanistan. Authorities do know who this man is. Were told that at 10 30, he went into building g which youre looking at right there. Went into the dining hall, and took these hostages. Theres also reports that shots were fired. We dont know if he fired those shots, if authorities got on the scene and fired shots or exactly how that played out. This is still a very fluid situation. Witnesses do say, though, that he was dressed in black. He was wearing what appeared to be body armor and appeared to be carrying a militarystyle type rifle. He took those hostages. Immediately police swarmed the area. They shut the home down. They shut the surrounding area down. Theres a golf course right next to this. Golfers had to race off as authorities went into the area. Right now, there seems to be this standstill, trace, while theyre trying to figure out if they can bring this to a pea peaceful ending. Trace gallagher will carr, thank you and standby if you will. Its part of the protocol because they dont really care how long this goes. If theyve got contact, they dont care if this goes on for hours and hours as long as nobody gets hurt. And so far nobody has been hurt. The white house doesnt have long to put together a strategy for north korea. The meeting between trump and kim jongun. Whats the best tactic to take when youre talking to a dictator . One of my next guests says a bad agreement could be worse than no agreement. Hell explain why coming up. Because i get a safe driving bonus check every six months im accident free. And i dont share it with mom right, mom . Righttt. Safe driving bonus checks. Only from allstate. Switching to allstate is worth it. Heres the story of Green Mountain Coffee Roasters sumatra reserve. Lets go to sumatra. The coffee here is amazing. Because the volcanic soil is amazing. So we give farmers like win more plants. To grow more delicious coffee. Which helps provide for wins family. All, for a smoother tasting cup of coffee. Green mountain Coffee Roasters. The roasted core wrap. 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I want to talk about this article posted by the wall street journal saying that during the meeting, at the dinner with the south korean diplomat and kim jongun, one, he showed up surprisingly with his sister and wife, two, there was plenty of alcohol flowing and that he was joking a lot, in fact making jokes about himself. It seems like theres been a drastic change in this man in just a very short time, john. Or maybe no change and this is the way he is and were finally actually seeing it. This is all through the prism of the South Koreans who met with him at this dinner. What that means, who knows. The announcement by the white house that they are willing to sit down and talk, the Glass Half Full assessment of this is that, look, nothing else has worked. Lets try talking. Nothing else has worked for decades. And its a fairly compelling argument. The glass half empty argument here is that kim does get the stature of at least even talking with the president the possibility of talking with the president of the United States raises his stature and he has no intention of following through with denuclearization and is going to use the time to beef up his program. On the president s part, maybe theres no intention there either. Maybe this is a diversion from domestic political problems hes having. Now the military options back on the table. Trace gallagher even the glass half empty option, gordon, chang, you listen to that, well, it could go bad, it could go south. This is his totoric. We have never seen anything like this before. And no matter how it goes, this is something that people have got to look at very closely, but its got to be the right deal, kr equi correct . Certainly its got to be the right deal. In 1994, we had the framework. We certainly prolonged a kim rule. What we didnt have in that agreement were a number of things that would have permitted us to go on a path of denuclearization. Now the important thing is that we have verification. Maybe from the International Atomic energy agency. We need anytime, anywhere inspections so that kim cant cheat. Trace gallagher in the very least, doesnt this at least open the door or open the phone line to communication. Even if there is just a talking session, maybe a series of talking sessions, maybe the next time we start to get closer to the brink, doesnt this open those channels a little bit . It certainly does. There has been in communication between trump and kim. As you pointed out, this is the first time youve had a sitting american president talk to a north Korean Leader. The important thing here is not communication, though. Its sanctions. If trump continues the sanctions, both u. N. And u. S. , it really means that kim doesnt have the resources to launch missiles, detonate nukes or engage in gift politics. In other words, giving out gifts to buy support among the regime. That means kim jongun has a limited shelf life, and thats very important. That means he has no choice but to business arm. Trace gallagher its a great point that gordon makes, john. I think you look at the chest board here. Its amazing that President Trump could actually meet with kim jongun prior to south korean president moon jaein meeting with him. What does that do to the overall relationship . The trump meeting has to go very well or the moon jaein meeting is not going to go at all. We dont know when trump might or might not meet with the North Koreans. Theres a lot of preliminary work that has to go into any meeting. Our Michael Gordon has a piece in the wall street journal right now that describes as youre saying, its a chess board, its four dimensional chess. Whats also meant by denuclearization . Is it freezing what he has already . Is it actually denuclearizing his program . We dont know. The definitions of this. Does it require the u. S. To pull troops out of south korea and would the United States be willing to do that. These are all the many questions that would have to be resolved if this were to be productive talks. Trace gallagher there are a lot of questions, gentlemen, i will give you that. It is fascinating to sit back and watch. Gentlemen, thank you both. Thank you. Trace gallagher i want to get back to breaking news story in napa valley, california. This is now changed from an active shooter situation to a hostage situation. There is a man inside the countrys largest Veterans Home. Hes in the area that housed the veterans from operation desert storm. By our understanding, there are either two or three hostages being held right now. And the s. W. A. T. Teams are bringing in a special negotiating team to try and talk this person down. They know who he is. They believe hes a 36yearold man who spent time at a place called the pathway home, which is an area for veterans who have had mental challenges after their service. He spent some time there. He is now back. Were going to bring you up to date. Nobody has been injured. The hostage standoff goes on. Coverage continues after this. Liberty mutual stood with me when i was too busy with the kids to get a repair estimate. I just snapped a photo and got an estimate in 24 hours. My Insurance Company definitely doesnt have that. You can leave worry behind when liberty stands with you™ Liberty Mutual insurance. The markets change. At t. Rowe price. Our disciplined approach remains. Global markets may be uncertain. But you can feel confident in our investment experience around the world. Call us or your advisor. T. Rowe price. Invest with confidence. Trace gallagher breaking news now, we are waiting for former Trump Campaign adviser sam nunberg to leave a federal courthouse in washington, d. C. He showed up just days after saying he would ignore a subpoena from the special counsel in the russia investigation. Lets get to katherine live for us in washington. Reporter trace, in the last few minutes we have heard from Court Officials who did confirm to us that nunberg was done with the grand jury today. It sounds like he may be coming back in the future. As he entered the courthouse in washington this morning, he said nothing to reporteres. He went back and forth in a series of erratic media appearances about whether he would comply with the subpoena. Now theyre saying he will get help for Substance Abuse problems. On one media outlet he said he thought mueller had something on trump, and then later retracting it. In that book fire and fury it was alleged that nunberg called Key Administration officials liars. His media appearances this week undermine his credibility, and thats not going to be helpful with his grand jury testimony. Trace gallagher in the coming weeks, what should we be expecting from the Mueller Investigation . One of the key things to watch for next week is the Senate Confirmation hearing for the new head of the nsa. This agency is really tip of the spear for russia election interference and how the u. S. Government will protect its networks during the midterm elections. He will also need to navigate the controversial issues of alleged government surveillance abuse during the election and the controversy. That is the identification of american citizens whose communications were swept up in foreign intelligence reporting. Also republicans on the housegl to end the russia probe. That move is totally in conflict with the democrats who say they have dozens of witnesses they still want to talk to, trace. Trace gallagher katherine, thank you. I want to give you a live look now in yountville, california. These are live pictures these are live pictures of the aeri s aerials. There is a News Conference coming up. You can see it right there. We dont know who it will be. It will likely be the sheriff up there that will come to the podium. They told us first it would be an hour from now. We will bring it to you as soon as it happens just to get you up to speed on whats going on there. This is in yountville. It is the largest Veterans Home in the country. 850 to a thousand people live there dating back to veterans from world war ii. Will carr has some information. What do you have . Reporter weve just learned that there are reports out that the security at this facility is not armed. Now, this is a staterun facility. That is a stark contrast to security that we see when we go and report at vas. Vas typically have their own Police Officers who are armed. A staterun facility here. Weve learned the security at the Veterans Home is not armed as they continue to try to talk this vetteran, a man part of th Pathway Home Program who had been discharged just two weeks ago. Trace gallagher will carr live for us in the newsroom. Thanks very much. Nobody has yet been injured in this. He is holding two, maybe three hostages. Police know who he is. They know his background. They have his car. They have his information. And they are in the process of now trying to get in contact with him. We will keep you up to speed on the breaking news coming out of napa valley, california. Im Trace Gallagher in for Shepard Smith. Your world is next. Have a great day. Im your phone, stuck down here between your seat and your console, playing a little hidenseek. Cold. Warmer. Warmer. Ah boiling. Jackpot. And if youve got cutrate car insurance, you could be picking up these charges yourself. So get allstate, where agents help keep you protected from mayhem. Like me. Mayhem is everywhere. Are you in good hands . You were pushed out of your homeland, but you could never be broken. You walked together. You built your home again. My dna showed that im native american, and connected me to cousins who taught me about our tribe. My name is joseph reece, and this is my ancestrydna story. Now with 10 million new family connections made every day. Order your kit at ancestrydna. Com trish three major developments that our here in california were a man in body armor said to be holding up to three people hostage. S. W. A. T. Teams are on the scene. A press conference is expected. We are on it for you. At the white house, new details on the president s a meeting with north korea, kim jong il and we will get reaction from sender cory gardner and former u. S. Ambassador to the u. N. , bill richardson. And on wall street where stocks are rocketing higher as jobs take off. Our tax cuts the reason why . Welcome, im trish regan in for no computer, and this is your world. We will begin with kevin corke at the white house

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