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Onyx Motorbikes owner and CEO James Khatiblou was trying to keep his startup alive. Then, the unthinkable happened.

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Kenneth C. Nolan

My book titled 'From the Driver's Seat' | ChristianToday Australia

Photo  -   From the Driver’s Seat ‘From the Driver's Seat’ was my 1989 book  – now out of print - details 14 rail journey's from the locomotive driver's perspective, an oral account of what occurs from signing on for duty to when relieved upon arrival at the destination. Why might I write something of an account of such a book 25 years after publication and moreover, the book is out of print. This book was the fourth of 16 such railway books I wrote in that busy period from 1982-1996 and the purpose of detailing now this particular book and these books as a collective, is where the money went as a missionary.

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to do so. he's going to tell us why coming up. david: but first, we're going to tell you what drove the markets with today's data download. stocks ending the session in the red. it was a volatile day that saw the dow cross the unchanged line 49 different times. technology and financials were the worst performing sectors, telecom was the only sector that did manage to end higher. crude is up today in the choppy trading as new action from the federal reserve outweigh pressure from weak chinese data. oil rose 12 cents to setting at $96.54 a barrel, but it did trade below that after hours. and consumer credit declined in july for the first time in 11 months as americans turned to their credit cards less and growth in student loans cooled a bit too. consumer credit fell at an annual rate of 1.5% to $2.71 trillion. liz: we have got john brady in the pits of the cme, also charlie cautiously bullish on the market, but investors should be in all stocks right now because, he says, that's where the money is. david: let's start with john at the cme, john brady can. first of all, let's talk about the fed meeting, its effect on gold, down day after day of hitting new highs. i assume that's because people are paring back their feelings of exactly how far the fed is willing to go. >> that's exactly right. given the runup in commodity prices over the last two weeks, especially last friday, i do think there's been some position squaring ahead of wednesday, thursday. you know, as much as the market's leaning towards additional stimulus from the federal reserve, the market's not quite sure what format it will take. will it be qualitative or quantitative, mostly in the mortgage market or the treasury market? so there's a little bit of the unknown in here. then again, of course, on wednesday you have the important dutch elections as well as the german constitutional court ruling, so there is some room for interpretation here, and there's been a paring back in some positions today, i think you're right. liz: but, john, i'm just wondering if the behavior that we will see from people in the next 48 to 72 hours will be simply that they park their money and wait til thursday for that fed announcement? >> well, liz, i think you will see a little bit of that. but to sort of address the question to gold and commodities, you know, five-year forward break-even inflationing rates are currently running just over 2%. the fed will be adding accommodations to the monetary system at a level where forward inflation indicators are already pretty high historically. so for gold, silver, crude oil and for many of the food commodities, that probably means additional upside gains. in the short term, position squaring. don't read too much into it as an investor, but longer term i think commodities may be about to enter a super cycle. liz: what does the futures market there think the fed is likely to do, john? >> well, the futures market, the thing the futures market done the last two weeks is extended the term by which the fed will keep overnight rates between 0 and 25%. you know, the market's anticipating the fed will extend their language lower for longer well into 2015. so we've seen interest rate futures, specifically the 2014-2015 level, really start to price closer to two and three-year notes with lower than otherwise yields with the idea the fed's going to be lower for longer. david: john, we'll see you more in just a couple of minutes. liz: let's get to our market experts, aerial investments' director of research along with ralph, senior managing director. ralph, to you first because, again, we saw some bullish moves over the past year, in fact, s&p hitting multiyear highs last week alone. so with that in mind, do you feel that maybe the time is now to take some profits, or should people still remain all in stocks? does that make you a little nervous? >> full disclosure on my part, liz, i'm very, very bullish. liz: okay. [laughter] >> and we had, we started the summer rally in june right on time, and it extended well through july, august, into september. there's nothing wrong with the summer rally. in fact, i'm always encouraged to listen to a lot of negatives because people don't realize that the dow is less than 7% away from an all-time new high. and people are still negative. that combination makes me extremely bullish. david: well, charlie, you're not negative, but you were -- you're a little more cautious, i think it's fair to say, than the last time you were here, isn't that right? >> yeah, that's right. we're value investors, and we actually take the opposite side of what we were just talking about, when things go up a lot, we get a little more cautious, not more optimistic. and the stock market has run a long way. it's run about 25% since a year ago. a year ago stocks were extremely cheap, and we were pounding the table. today i'd call them fairly valued to slightly cheap. so we'd be cautiously optimistic. liz: well, that's a good point, ralph. i mean, things have -- pe ratios have gotten a little richer. now you start to see 13s and 15s and 17s, and it makes -- >> yeah, but -- liz: oh, go ahead. >> you're not talking about excessive numbers. and what about you get a multiple expansion. as this thing starts to go, i'm telling you, this -- the action of the sectors in the last couple of weeks, you're getting technology coming to the fore, of course you have health care, just in the last couple of weeks you had the financial stocks, and, liz, if you could look at charts the way i do, they're just starting to move. liz: what's the number one thing you look at, ralph, when you look at the chart of a stock? >> well, as i mentioned before, the summer rally? well, that began in june, but you had may, june and july. that's a three, almost four-month what we call in the trade a bottoming poortd, a base-building period. that sets the stage for a very, very handsome upside move, and those moves have not been completed yet. i'm talking at least another 10-15% across the board. david: charlie, if i were a little more cautious, i would probably be more cautious about financials, but you say, no. in fact, two of your picks that you brought to us are financial, state street and northern trust. why do you think the financials will do well even as you move into a more cautious period? >> well, they are one part of the market that is still cheap. i mean, you have stocks like state street, northern trust that really have gone nowhere for four years. people have not bid up the stocks because they don't tend to do well when interest rates are very low. they can't make any money off of their customer cash positions. so long term those are very good businesses that aren't going to do well in the short run because of interest rates, but longer term there is still good value there. liz: ralph, are you one of these crazy people who are crazy for dividend, or is there something more attractive like, for example, cash flow i think you love to look at. >> will well, no, the high dave lend. that's, again, probably one of the main reasons why the large cap stocks have done so well and continue to do well. so, um, there's a lot of attractive things out there. i think too many of us are just deer in the headlights when it comes to all this news, especially now. oh, this is terrible, it's the month of september and october. we're going to have a terrible time. um, i think the market today's just back off, waiting for the fed this week. and i think it's going to be very, very accommodating. liz: charlie ask and ralph, great to have you both on. thank you so much for joining us. david: and we have some breaking news with robert gray on zynga. go ahead. >> reporter: yeah, shares under a little pressure here. a shakeup still continuing at the beleaguered social game maker. their chief marketing and revenue officer has resigned, that's jeff carp, this is according to a filing with the securities and exchange commission. zynga saying carp are continue to be employed -- will continue to be employed by the company in a nonofficer capacity, he'll provide transition services through september the 22nd. jeff carp, the chief marketing and revenue officer, has resigned at zynga. you see the shares down 3% in regular trading down a couple pennies more in after hours. david: just a couple pennies. actually, it's kind of an insult when the stock isn't affected by moving on. zynga's holding up pretty well. well, new signs of a housing recovery are beginning to emerge, but does this mean the rental market is going to be taking a big hit? the president of rent social giving us his take from the real estate front lines. liz: plus, we've got the ceo of a company that is choosing to make his products here in the u.s. over china even though it's more expensive to do it here. he will explain why he's doing it coming up. david: also, amazon reversing course on its controversial ad plan for the kindle fire. i'm sure you've seen that ad, they're all over the place. they've changed those ads in a certain way. we have the details ahead on "after the bell." [ male announcer ] what if you had thermal night-vision goggles, like in a special opsission? you'd spot movement, gather intelligence with minimal collateral damage. but rather than neutralizing enemies in their sleep, you'd be targeting stocks to trade. well, that's what trade architect's heat maps do. they make you a trading assassin. trade architect. td ameritrade's empowering web-based trading platform. trade commission-free for 60 days, and we'll throw in up to $600 when you open an account. david: shares of barrett bradley getting a boost today. liz: let's head back to nicole on the floor of the new york stock exchange. >> reporter: it's a name, and i always like to look at the products, this one is from one of our producers here on the floor, but this is what they make. they make accessories and happened bags and such. why are we talking about vera bradly today? the stock traded in the $2 range. this is because sec capital, the big hedge fund, they have a huge investment in vera bradley. as of june 30th, and this came from reuters, from another business site, but they went from 189,000 shares back in june, you know how many shares they own now? how about more than 2.3 million shares. so, certainly, a huge investment, a 5.8% stake in this company that has less than a billion market cap. but they did come out with their latest numbers. the earnings were a little disappointing, but revenue was growing. so an interesting day for vera bradley and certainly one to watch. david deafd thank you very much, nicole. liz: s&p futures closing right now, let's go back to john brady at the cme group. john? >> liz, a little bit of a softer close. very, very light and, again, i think you're seeing more profit taking and position hedging more than anything else. on the overnight, the data calendar's rather light from china, there is whisper about deteriorating situations within the chinese capital counts, but i think we'll continue to wait for wednesday and thursday, events in europe as well as the federal reserve on thursday. david: good stuff. thanks, john. liz: thanks, john. looking for investment opportunity in israel? well, officials and business leaders from both the u.s. and israel are attending a special conference in new york today. david: adam shapiro is at that forum with the ceo of the tel aviv stock exchange. >> reporter: that's right. this is a woman who is no stranger to liz claman or you, david. joining us live to talk about not only her tenure in charge of the tel aviv stock exchange, but where they go in the future. thank you for joining us on fox business. very quickly, performance this year up 4%, but you were telling me you could have done better. >> well, i believe we could have done better in terms of the index going up and also in terms of volume. but on the other hand, when we look backward, we did great since the crisis in 2008, and we did great since we were promoted to developed market. so probably time to keep up, but going down be on the same level of those changes. >> reporter: i was reading a previous interview about a year ago in which the discussion was about partnering with other exchanges worldwide. is it more difficult foryou being in a neighborhood that does have hostile neighbors as well as business connections that right now may make it difficult to partner? is that something that's coming in the future? >> well, actually, it's not, there is no difference today than what it was before. we are still talking with exchanges about partnerships. i believe that's the right way of doing things. kind of alliance, not mergers, but trying to find the best places in which we can cooperate, and i never thought even for a minute that the -- [inaudible] and it shouldn't. look what we have achieved in 64 years. it has nothing to do -- or maybe it has something to do with the situation in the middle east, but we did great. >> reporter: well, let's talk about what you've achieved. you have a background in computers, working with the israeli security service years ago then going into the private sector and then helping the exchange become fully automated. how important is it to have a fully-automated exchange in this day and age? >> i think if we wouldn't have done it, that would have been the end of the stock exchange. there is no way for us to reach out to the world, to adopt foreign investors to israel and stay on the front line of changes. so that's -- [inaudible] i'm really glad that we realize it before the -- [inaudible] even before the u.s. became automated. so at the time we were one of the first, not one of the last exchanges to do so. and probably the combination of my background and israel being so innovative really helped. >> reporter: and as i wrap up with you, there are americans who are over the age of 30 who think of israel as this kind of socialist nation. it has transformed itself in ways that are truly remarkable. going forward, there's an entrepreneurial spirit in israel, what do you think that's going to mean as these start-ups get listed on the tel aviv stock exchange? >> well, i think for every company that will come, public company, there will be 100 new start-ups and entrepreneurial. so it's in our blood, it's part of the environment. we believe we can tell everyone how, what is the right way of doing things and go on forever having new start-ups and then having the companies as well. >> reporter: we appreciate you joining us on the fox business network. these interviews we've had, liz and david, are being posted to foxbusiness.com, so you can hear more of what these people have had to say. but really the theme here is, i think, best exemplified by the finance minister who said, look, israelis don't take no for an answer because they have no choice. they have to move forward, they have to succeed given not only the political situation, but the fact that they have no choice but to succeed. back to you. david: some of the most incredible investment opportunities in the world in the israel right now. adam, thank you very much. liz: cisco, intel, apple starting a plant there. it's great. big stuff there. david: well, the government announcing it is going to sell a big chunk of its remaining aig shares. it'll still be a big stockholder, but not a majority one. with just weeks to go before the election, some are questioning the motives behind the move. liz macdonald with that story. liz: plus, toys r us isn't playing around, the company is getting into the tablet business for kids. we've got the details next. [ male announcer ] wouldn't it be nice if there was an easier, less expensive option than a traditional lawyer? at legalzoom you get personalized services for your family and your business that's 100% guaranteed. so go to legalzoom.com today for personalized, affordable legal protection. has oats that can help lower cholesterol? and it tastes good? sure does! wow. it's the honey, it makes it taste so... well, would you look at the time... what's the rush? be happy. be healthy. liz: time for a quick speed read of some of the day's other headlines. checking the scorecard, david's in the lead 2-1, but i feel like making it even. david: do it. liz: up first, microsoft opening 32 stores for the holiday season, the new shops are part of the big retail push for its surface tablet and windows 8. toys r us launching a tablet design for kids available in stores october 21st for $149.99. amazon switching its ad policy allowing users of its new kindle fire tablet to pay $15 to turn off built-in advertisements. the tablet comes with ads known as special offers appearing on the home screen. following record sales of the chevy volt, a new report says general motors is losing up to $49,000 on each volt it sells, but gm denies that report saying the estimate of the current loss per unit for each volt told is grossly incorrect. the meat dress lady gaga wore to the mtv music awards is now on display in washington d.c. e hope they put in some tenderizer on it. that's today's speed read. david: ooh, enough time to throw in a little ad ad lib. liz: that's gross. david: disgusting. well, for the paris time since 2008 -- first time since 2008, taxpayers will not be owning a majority of aig. liz: the u.s. treasury is selling $1 billion in shares of -- $18 billion in shares. >> reporter: this is the biggest block of shares that treasury is unloading, potentially driving the treasury's stake down towards 15% if the stock continues to improve above 33, remember, the break even is between 28 and 29. so now the debate is, why now? we have an election going on, and i'll tell you something, it's not so much to be able to show a profit on aig because treasury is still going to have more than five billion in aig stock, they could still lose money on aig going forward. the federal reserve could make 12 billion, but it's more about putting distance between aig and the white house because this was the biggest, most controversial bailout to date. remember, it almost led to that owners' bonus tax. remember, aig gave out bonuses? is it had record quarterly losses, all the subprime negatives from the housing crisis attached to it. here's jay carney on this, the white house spokesman. he was asked that. he said we have been committed to exiting those investments as quickly as practical. it's safe to say the president is pleased with the progress being made. fox business has been in touch with the treasury department. they are telling fox business: we decide, not the white house. the white house is not involved here, we decide. and it's based on whether or not we can get a good stock price and price for it because, basically, you have to unload 871 million shares still, that could flood the market and depress the stock lower. but the irony here and the back story is the federal reserve is going to be aig's regulator, so they could be able to possibly stress test aig going forward or stop, you know, stock repurchases or dividends. so that's the back story. by the way, overall on t.a.r.p., $200 billion still owed on the t.a.r.p. rescue plan, that's the number you've got to keep in your hip pocket. whether we make money, i don't think we're going to make money on fannie and freddie, we're going to be in that for the next decade, we could lose on that. liz: but aig up over 340%, so that's a -- 40%, so that's a nice profit there. >> nearly still 900 million shares, and fannie and freddie still owe $142 billion, gm, $27 billion, allied financial, 15 billion. those are the numbers you want to keep in mind. david: the next trick will be to turn off the stock falling of gm. >> less than half of where it needs to be. liz: will a housing recovery send the rental market into a tail spin? we've got the ceo of a company called rent social to tell us why the rental market should not be written off. david: also, chicago teachers on strike, this is the first time in 25 years. we are live on the scene with the latest details. and tell us what you think about that teacher strike in chicago. is it a plus or minus? could the president come in to resolve the situation? log on to facebook.com/afterthebell, click the like button and let us know what you think. [ engine revving ] ♪ [ male announcer ] every car we build must make adrenaline pump and pulses quicken. ♪ to help you not just to stay ale... but feel alive. the new c class is no exception. it's a mercedes-benz through and through. see your authorized mercedes-benz dealer for exceptional offers through mercedes-benz financial services. david: it is time for a look at today's market drivers. stocks retreating after hitting multiyear highs last week with all three indices ending the day lower. technology and financials were the worst-performing sectors while telecom did outperform. u.s. consumer credit shrank for the first time in nearly a year to $2.7 trillion. it was driven by a large drop in revolving credit. includes credit card debt. this could reflect growing uncertainty about shoppers in the future making them less unwilling to finance big-ticket items. copper is the big winner in the commodities pit rose 1.2% to settle at the highest settle since may. liz? liz: 18% of homeowners are still underwater on their homes. david: key battleground states nevada and florida were among the hardest hit. peter barnes is in d.c. peter, both the president and mitt romney are using this news on the campaign trail, right? >> not as much. and actually hasn't been a whole lot of noise about all of this but it is, it is an issue to some voters. there are, as you said, 18% of homeowners. these are ones still making timely payment who are not delinquent. they're underwater with their homes, homes worth less than the outstanding balance on their homes. that is nearly 10 million homeowners in this election year. the issue matters to some homeowners. the problem is especially bad in several key battleground states according to lender processing service. in nevada, 55% are underwater. in florida, 33%. in michigan it is 30%. >> we know as that negative equity amount increases we see new problem loans entering the system at a larger, at a larger pace. >> but, as i said it is a little hard to tell how all this is playing out in the election. nationally a "gallup poll" in may found 74% of the voters ranked home values, mortgages as extremely important economic issues but voters split about evenly which candidate could tack kel housing problems better. in florida, friday, romney launched new ads against the president on falling home values there. >> here in florida we're not better off under president obama. home values collapsed. home construction jobs lost. high rate of foreclosure. >> but get this. a "new york times" poll in august found that just 22% of florida voters considered housing and foreclosure issues extremely important to their votes. dead last, of seven issues polled. david and liz. liz: wow. david: that is surprising. right in the thick of it and don't think it is that important? >> okay, guys. liz: on that same vein a report out today from fannie mae shows that increasing optimism for the u.s. housing market is getting in. you saw the cover of "barron's" saying housing prizes would be moving higher. would a revival in home prices hurt the growing rental market which has been on fire? we have the president of rent social.com. you've got your finger on the pulse of the renting situation. a lot of people looked at a very vibrant renting atmosphere right now. if housing has started to bottom, if you believe that and you look at some of the housing stocks are starting to look a lot better, eric, what does that mean? is it sort of reaction versus reaction and you will see a negative effect on renters? >> i definitely do not see a negative effect on renters. i see the apartment market, rental market will be very strong. we're bullish in the rental market up until 2015. many foxtores continue on that --. demographics are on our side with gen-y renters. finally lending environment very difficult to get a home these days. liz: that is a great point a lot of people don't talk about. very tough to get a loan even though banks were supposed to be lending money. rental mark is very strong, are we seeing a bubble or formation of a renting bubble? >> that's a great question. a bubble implies it could pop. i would say the rental market i definitely do not see a pop in the future at all. goes back to demographics. the rental market definitely for the gy, 18 to 27. if you're a gen-y person moving into a home you better have the 20%. i doubt somebody at 25 has $60,000 laying around to buy a home. liz: rents are not cheap. as the psychology change as little bit, maybe people are starting to look at owning a little home maybe has been foreclosed upon or at least is cheap right now, they think, boy, if it is going to move higher, say, to, "barron's" says, maybe i should get in. that then not give a different perception what the american dream is at this point? >> you nailed it on the head. goes back to the psyche and going back to exactly what you mentioned the american dream, i think the american dream has see involved a little bit. if you step back at american dream of two-car garage and white picket fence why can't the american dream be i want a fitness center or dog walk on the roof. i want access to transportation. liz: there you go. talking about these all-service buildings. i was going to say the great american dream is two-car garage and half a dog. they say 2.5 kids. >> absolutely. got to have the half. liz: talk about where you see strength. which regions of the u.s. when it comes to renting, by the way, people are looking at what you and what you're saying as an investing opportunity. there are a lot of real estate investment trusts that invest in rental properties but where do you see the strength? >> absolutely. what we're seeing through our tools, rent sentinel and rent social, seeing new york city, more urban environments where people have access to transportation. also more importantly, access to jobs. new york city i mentioned. washington, d.c. los angeles as well. those markets command higher rents. living in new york city you seeing that every day. i heard you mention about some of the political messages. florida, definitely a weaker market. michigan, some of those are absolutely weaker markets as well. liz: rent social.com president and coo eric brat tan. thank you very much. people will call you and find me a cheaper apartment. >> come to rent social we'll find it for you. david: i'm sure he gets that all the time. must get a lot of people living at home with their parents wanting to go back to rentals. i'm sure he will be busy. for the first time in 25 years teachers are on strike in chicago, third largest school district. liz: bringing jobs back home. one company tells us why he decided to get out of china and make products here in the u.s. even though it is more costly, david. david: why? liz: tell you why coming up. hmm, it says here that cheerios helps lower cholesterol as part of a heart healthy diet. that's true. ...but you still have to go to the gym. ♪ the one and only, cheerios looking for a better place to put your cash? here's one you may not have thought of -- fidelity. now you don't have to go to a bank to get the things you want from a bank, like no-fee atms, all over the world. free checkwriting and mobile deposits. now depositing a check is as easy as taking a picture. free online bill payments. a highly acclaimed credit card with 2% cash back into your fidelity account. open a fidelity cash management account today and discover another reason serious investors are choosing fidelity. >> i'm robert gray with your fox business brief. it was a down day for wall street as investors appear to be in a wait-and-see mode ahead of the federal reserve policy meeting later this week. a manhattan federal judge has refused to dismiss the reach of contract -- breach of the contract lawsuit against the bank of new york mellon in its connection with the collapse of lehman brothers. securities lending clients allege more than a billion dollars of losses related to the bank's invests of their cash collateral. the u.s. district judge did not dismiss the case he dismissed some of the other claims in the lawsuit. japan airlines is raising $8.5 billion in its initial public offering. it marks the world's second biggest ipo this year after facebook. japan expected to make the debut on the tokyo stock exchange on december 19th. that's the latest from the fox business network, giving you the power to prosper and crowd cheering sfx: sounds of marching band and crowd cheering so, i'm walking down the street, sfx: sounds of marching band and crowd cheering just you know walking, sfx: sounds of marching bandnd and crowd cheering and i found myself in the middle of this paradeeet, sfx: sounds of marching band and crowd cheering honoring america's troops. sfx: sounds of marching bandnd and crowd cheering which is actually in tquite fitting becauseadeeet, sfx: sounds of marching band and crowd cheering geico has been serving e military for over 75 years. aawh no, look, i know this is about the troops and not about me. right, but i don't look like that. who can i write a letter to about this? geico. fifteen minutes could save you fifteen percent or more on car insurance. david: wheat trade in japan showing exports from china inching up last month and exports shrinking. for one u.s. company moving manufacturing out of china, at least beginning to do so back to the u.s. was an easy decision and may have been excellent timing. joining us ken ames, ceo and cofounder. we always love when people come back to the united states. so far you have just begun the process. talk about you do and why you chose china as a place to do it. you do led lighting. how long were you in china and why did you choose to go there originally? >> well, first of all, thanks for having me, dave, liz. we chose to go to china, we first opened in 2007 in china. we did a lot of engineering stuff over there because the costs were obviously a lot cheaper. and really what we concentrated on in 2000 was expanding there quite a bit. since, since 2009 we've really, we've really looked at our costs and even though it is a lot cheaper for to us manufacture products in china we've done the proper social thing about bringing businesses back to the u.s.. david: so tell us, first of all exactly how much of a loss, i mean, essentially you are going to be paying more by higher labor costs, will you not, coming into the united states? >> yeah, we're paying more but you know, there is field expenses too have that gone up which makes china knot appealing to us and also the air shipments. and the led space everything is very right away. so we're bringing back a lot of, we're airshipping almost everything that we're sending. so really, the cost differential for us is about 3% difference to manufacture here. david: that's not a lot. >> three to six right now. david: that is not a lot. i have talked to other companies who have done this. they say when you add in all the shipping costs and add in the corruption, face it, we've got to face it part of doing business in china and quality control, a lot of companies were complaining about the quality control, what the shippers say they were sending from china wasn't always there and wasn't always intact, correct? >> no. that is absolutely, from everything from buying components. you don't know if you're buying, same components from time to time. the qc process over there is very difficult compared to the u.s. along with many other things. when we're designing new products they're going out the back door as fast there as we're putting them out here. david: now are you the exception that makings the rule or are you seeing a lot of other companies do the same? >> no. i think, i don't want to say we're the exception. i think a lot of people are forced to do the same thing. you know, the difficult part is for new high-tech companies, to get the support from the u.s. government, usually when you're you're a start up, or age three or less it is very difficult to get help from the government until you reach a certain size where we can really say, okay, we need to bring more jobs. how can you help with grants and whatever else is available. david: now you have, you have moved, what about, 20, 30% so far back from china. are you going 100%? are you leaving china entirely and bringing it all back home? >> yeah, a great question. no, we won't be able to leave china 100% but we will try to bring over the next 18 months to 24 months about 80% of our manufacturing here. we're working with several states. the state of connecticut. we talked to chicago. it is that difficult stage of financing, financing the moves. it seems like a lot of companies here are more interested in, you know, stealing a company from boston to move to connecticut versus starting from the ground and walking look, we'll create 50 jobs this year and 100 next year and three00 the year after. it is that low transition where they get the instantaneous growth of moving from one state to another. david: right. chicago could certainly use all the help it can get right now. ken ames, good to see you. best of luck. we've run out of time. let us know how it works out. seesmart technology ceo and co-founder. ken, good to see you. liz: like the way he thinks. forgo current pleasure for future gain. david: ford is revving up production here in the u.s. as well. we'll take you live to michigan. liz: internet surfers beware when searching one of these actresses, there is a high chance you will land on a malicious site. we'll tell you the most dangerous cyber celebrity of the year when we go off the desk on "after the bell." liz: it's ford to the rescue. after mazda was forced to stop production of cars at a plant in michigan, ford swept in, said we'll take full control of the facility and they added 1200 jobs and save ad whole bunch of others along the way. david: jeff flock is live at the ford, flat rock assembly plant in michigan. jeff? >> i have an exclusive inside the plant. this was a mazda line. now it is a mustang line. it will soon be a fusion line. look at this one, guys. that is intended for sale to mexico. soon ford will be making cars, mustangs it will sell in europe. liz, as you know this is part of their plans to revitalize their european operation. this is what they the mustang gts look like all the rest. they have been selling a fusion so well they need to expand production from mexico here to flat rock. they took over the plant that mazda couldn't use anymore. a real winner. i talked to the governor of michigan earlier about this. you know, rick snyder, you guys know him. is not your conventional partisan governor. he is a republican but some people call him a r.i.n.o. republican in name only. democrats don't like him either. in my experience if nobody likes you you're probably doing something right. >> citizens in michigan who he define as my customers are fed up with negativity. they want to create more and better jobs today and tomorrow. that is why it is exciting to be here at ford's flat rock assembly plant. this is great opportunity. 12 one jobs are coming here. >> 1200 jobs and 1800 saved. his attitude is like a business. he runs the state like a business. he doesn't care whether you're republican or democrat. he wants people to get along. he points out, guys, by the way, this car, it is 2 3m pg on that one. 24 thou. that is six cylinder. this is going to my old hometown. going to causeway ford and lincoln in new jersey right where i grew up. it is a nice looking car. people get along at this plant. uaw and ford. that's what governor snyder says it is all about. seems to be working here. they just added 1200 jobs. david: ford is bringing not only are these cars originally going to be sold in mexico coming here but a lot of the jobs, because a lot of production facilities are moving to the united states as well. ford is showing you can do it better here at home. >> he saw your last segment talking to the guy, making stuff in china. i tell you can make stuff here as profitably. they wouldn't be expanding production here if they didn't think they could do it profitably. the stock is showing that today. the stock is up today. i think we finally found a bottom in auto stocks. david: year-to-date, at least trying to make its way back up. thank you jeff flock. we appreciate you being here. >> if you are fighting over who gets quarterback aaron rogers on your fantasy football team it could be costing your company lots of money. we'll take you "off the desk" with the details. copd makes it hard to breathe, but with advair, i'm breathing better. so now i can be in the scene. advair is clinically proven to help significantly improve lung function. unlike most copd medications, advair contains both an anti-inflammatory and a long-acting bronchodilator working together to help improve your lung function all day. advair won't replace fast-acting inhalers for sudden symptoms and should not be used more than twice a day. people with copd taking advair may have a higher chance of pneumonia. advair may increase your risk of osteoporosis and some eye problems. tell your doctor if you have a heart condition or high blood pressure before taking advair. if you're still having difficulty breathing, ask your doctor if including advair could help improve your lung function. get your first full prescription free and save on refills at advaircopd.com. i've been a superintendent for 30 some years at many different park service units across the united states. the only time i've ever had a break is when i was on maternity leave. i have retired from doing this one thing that i loved. now, i'm going to be able to have the time to explore something different. it's like another chapter. you see us, at the start of the day. on the company phone list that's a few names longer. you see us bank on busier highways. on once empty fields. everyday you see all the ways all of us at us bank are helping grow our economy. lending more so companies and communities can expand, grow stronger and get back to work. everyday you see all of us serving you, around the country, around the corner. us bank. david: time for "off the desk" action. fantasy football is fun but comes wits with a price. challenger, gray & christmas came out with a new study. they say fantasy football costs companies $6.5 billion a year, pro -- because of procrastination time spent managing team at your desk. there are 22 million employed fantasy football players do the stuff at their desk. liz: epic waste of time. also "off the desk", the most dangerous person to search for online, her. "harry potter" actress, emma watson. they lure users to downloading malware or exposing personal information. this is the 6th time mcafee conducted the study. last year it was the gorgeous woman on your screen. heidi klum. david: i could see that. liz: i'm heading out west to silicon valley for our annual "3 days in the valley". fifth anniversary all exclusive. we have such a lineup. david: for example? liz: intel ceo paul otellini live from the developer conference at the moss connie center. we have tim wester began and talking about apple and what competition is may provide in the face of very tough business. ceo and space ex-cofounder, elon mfk. david: mr. tesla. liz: other big names. we do the startups. clout. sony computer entertainment. jack trenton. but the silicon valley superstars at the top including david, meg whitman of hewlett-packard. they just announced more job cuts. it will be her first interview with us and with anybody since their numbers just came out for q3. a lot to ta a

Transcripts For WJZ CBS Evening News With Katie Couric 20100310

harrowing tale. and on tape as it all unfolded on a 911 call. his 2008 prius was one of more than three million toyotas recalled because the floor mats could somethat that the gas pedal, but he says the dealership told him his car was not part of that recall. ben tracy is in san diego county tonight and, ben, understandably this is one very angry driver. >> reporter: katie, you're very right about that. he came to the dealership today and told them he won't ever be driving that prius again. now the federal government is involved. they want to know what caused the car to speed out of control. the now-infamous runaway prius was hauled back to the dealership this morning. its driver, 61-year-old real estate agent jim sikes still shaken by monday's wild ride. >> i was laying on the brakes. it was not slowing down. >> reporter: in the now-released 911 call sikes made from his prius, you can hear the fear in his voice. >> my car, i can't slow it down. >> you can't slow it down? >> no. >> and your accelerator is stuck? >> i tried to pull... yeah, yeah. i've tried to pull it back. >> reporter: sikes says he was driving along a winding stretch of interstate 8 near san diego when his gas pedal stuck, rocketing his car forward. >> is there a way for you to take the car out of gear? >> i can't hold the [no audio] up. i don't want to go over the side. >> i was reaching down trying to pull on the gas he pe dahl and get it back. it didn't move at all. it was stationary. >> reporter: as the car sped along at up to 94 miles per hour, a california highway patrol car drove alongside sikes telling him to simultaneously put his foot on the brake pedal and push the emergency brake. that slowed the car down to about 50 miles per hour. sikes then kept pressing the off button and the prius eventually stopped as the patrol car pulled in front of it. >> when i saw him, i could smell the brakes, i smelled his brake lights coming on. >> reporter: the 2008 prius involved in monday's incident was part of toyota's earlier recall involving floor mats that could trap gas pedals. but sikes says hid floor mats had nothing do with it. >> the fact that it seems like a new problem in a very important model, that's an even bigger deal. >> reporter: an even bigger deal because there are already a reported 52 fatalities and 38 injuries involving unintended acceleration in toyota vehicles since 2000. 89 class action lawsuits have been filed against the company and the associated press estimates that could cost toyota more than $3 billion. meanwhile, the company continues to dispute critics who say the problem could be in the car's computer systems. today toyota told us "we have yet to find any evidence of an electronic glitch. if we could find something wrong we would fix it and be done with it." jim sikes says there is one thing he's done with. >> i love toyotas. i will not drive a prius again. >> reporter: now the investigation begins. the department of transportation is sending two inspectors here to look at the prius and toyota says they'll do their own investigation. >> couric: ben tracy, ben, thanks so much for the report. here in new york today the final chapter that dominated the tabloids for weeks, the david letterman extortion case involving a cbs news producer ended with a guilty plea and an apology. jeff glor now with the latest. >> reporter: leaving court after his plea plea, joe halderman said he was sorry. >> i apologize to mr. letterman, his family, to stephanie birkitt her family, and certainly to my friends and family. >> reporter: moments earlier, a longer statement inside in which the former cbs news producer admitted he tried to extort $2 million from david letterman last september by threatening to sell a sensational screenplay detailing letterman's behind the scenes affairs with staffers. >> i have had sex with women who work for me on this show. >> reporter: the case prompted that extraordinary admission from letterman last october who had been involved with halderman's ex, stephanie birkitt, a "late show" employee. the initial charges could have sent halderman away for 15 years. today's plea to attempted second degree grand larceny will get him six months, plus five year's probation and a thousand hours of community service. prosecutors when it was over praised letterman for not giving in to the defendant's extortion demands for millions of dollars. instead taking the courageous step of reporting the crime. >> this is a serious sentence that properly reflects the crimes that mr. halderman has not admitted he committed and it's a fitting end to the case. >> reporter: halderman will be sentenced on may 4 and with good behavior that six-month sentence might mean as little as four months behind bars. jeff glor, cbs news, new york. >> couric: now to the battle over health care reform and the push for a house vote by the end of next week. emotions are running high on both sides of the debate and in washington today, angry protestors targeted the insurance industry. here's nancy cordes. >> health care now! >> reporter: supporters of health care reform descended not on the capitol or the white house today... >> what do we want? >> health care! >> reporter: but washington's ritz-carlton hotel where executives from the nation's largest insurance companies were holding an annual conference. 11-year-old marcelas owens flew fear seattle. >> no other kid should go through the thing that our family has gone through. >> reporter: his mother tiffany lost her job and the health insurance that went with it after a prolonged illness caused her to miss work. she stopped going to the doctor and died at 27 of pulmonary hypertension. >> she ended up passing away because she didn't have the equal rights to health care as some people with more money. >> reporter: inside the ritz, attendees were well aware of the anger directed their way. >> we're never going to have a rational system in this country if we continue the way we are now. >> reporter: the protestors were taking a page from the president who has made insurers public enemy number one sdpchlt we can't have a system that works better for the insurance companies than it does for the american people. >> reporter: now insurers are pushing back. >> health insurance companies costs are only 4% of all health care spending. >> reporter: they point out that the average profit margin for health plans is just over 3% compared to nearly 19% for drug companies. they argue it's not their greed that's driving premiums up but sharp increases in the cost of hospital stays, outpatient surgery, emergency room visits and specialty drugs. >> you know, just this whole notion of find a villain, aim the rhetoric and go after them. but that doesn't get anybody covered. >> reporter: but for anxious democrats, health insurers made for an easy target, especially when they jack up rates by 20% or even 40%, katie. >> couric: nancy cordes reporting from capitol hill. nancy, thank you. from health care reform to retirement security. if your nest egg is invested in stocks, you'll want to know the dow closed up more than 11 points today. it was exactly a year ago that stocks hit a 12-year low, deal ago 401(k)-o to a lot of retirement accounts. since then, though, a remarkable comeback. the market's up 61%. but as anthony mason tells us, you had to be in it to win it. >> reporter: stocks have staged one of their greatest rallies in history, but millions of investors have missed it. >> we don't see any increased activity from the public. >> reporter: ted weisberg has thousands of clients at seaport securities, but they haven't been pouring money back into stocks. >> the activity level is the same today as it was a year ago and yet the market has rallied 4 points from the low. >> reporter: in fact, investors have pulled $40 billion out of u.s. stock funds since the start of last year. on the floor of the new york stock exchange, the panic of a year ago has been replaced by caution. it's estimated that more than $3 trillion of investors' cash is just sitting it out on the sidelines. >> everything is so volatile. it's unpredictable, it's uncertain. >> reporter: with her 401(k) down 22%, the kim proescholdt, who works in marketing for a california hospital, has taken a more active role in investing her money. >> every hard-earned dollar i make i want to know that it's going someplace that's safe. >> reporter: so she's moved into other investments like bonds. do you think there's been a fundamental shift in attitude towards stocks after this? >> well, you know, that's what we're concerned about because we have not seen the average investor get back into this market yet. >> reporter: even with the rally, the dow is still down 25% from its all-time high in 2007. ted weisberg says investors saw the economy have a near-death experience. >> they're still scared and i don't know what it will take to change that. >> reporter: most of all, it could tame time, maybe years, before investors are comfortable again with the risks in the stock market. katie? >> couric: meanwhile, a report out today shows that 25% of americans have decided to put off retirement. that's a staggering number. >> reporter: it is and it's because their 401(k)s have taken a hit, home prices from v plepl meted but here's the really scary part of this, katie, 43% of americans in that survey say they've put away less than $10 for retirement and more than a quarter say they've put away less than a thousand dollars in savings. all of this, the putting off of retirement, means a tight job market is going to get tighter. >> couric: anthony mason. anthony, thank you. now we want to take you back to president barack obama's state of the union address as members of the supreme court looked on, he criticized their decision that allows corporations and unions to spend freely on political ads for or against a specific candidate. today, chief justice john roberts said he has no problem with anyone criticizing the court. the issue, he said, is the setting. roberts said the state of the union has "denigrate grated to a political pep rally" and he questioned whether thes should even attend in the future. coming up next here on the "cbs evening news," where america stands on green technology. why china is taking the lead and how the u.s. can catch up. and to eat run.. whatever happens to be around. heavy greasy food that's hard on my diet... and my digestive system. so i eat activia light every day. activia light, with bifidus regularis is clinically proven to help regulate your digestive system. mmmm. the new taste is better than ever. and with only 70 calories activia light helps make it easier to watch my weight. it helps me feel good and look good too! ♪ activia! when you least expect it... a regular moment can become romantic. and when it does, men with erectile dysfunction can be more confident in their ability to be ready with cialis. with two clinically proven dosing options, you can choose the moment that's right for you and your partner. 36-hour cialis and cialis for daily use. cialis for daily use is a low-dose tablet you take every day, so you can be ready anytime the moment's right. >> tell your doctor about your medical condition and all medications and ask if you're healthy enough for sexual activity. >> don't take cialis if you take nitrates for chest pain, as this may cause an unsafe drop in blood pressure. >> don't drink alcohol in excess with cialis. side effects may include headache, upset stomach, delayed backache, or muscle ache. to avoid long-term injury, seek immediate medical help for an erection lasting more than 4 hours. >> if you have any sudden decrease or loss in hearing or vision, stop taking cialis and call your doctor right away. >> 36-hour cialis or cialis for daily use. ask your doctor if cialis is right for you. you can be ready for your moment with cialis. just, out of the blue at 43. now i'm on an aspirin regimen because it helps me live the life i want to live. [ male announcer ] be sure to talk to your doctor before you begin an aspirin regimen. it's not a big deal to go to your doctor. it is a big deal to have a heart attack. it feels like a liner, but protects like a pad. because it absorbs 10 times more. there's nothing quite like it. carefree® ultra protection™. >> couric: it's nothing to be proud of: china and the united states are the world's two biggest polluters. but they're also competeing for another title: leader in pollution-fighting green technology. right now chinese are way out in front, so what will the u.s. need do to come seat in celia hatton continues our series "cbs reports: where america stands." >> reporter: the wind turbine slicing the sky above rural minnesota were manufactured more than 6,000 miles away by a chinese company. now they're helping the power the nearby town of pipestone. >> the wind is blowing nearly all the time, we should take advantage of it. >> reporter: china has a dirty reputation as the world's factory, but its emerging green energy sector is threatening to leave the united states in its dust. the overall environmental report card's not pretty for either country. china is the world's top producer of greenhouse gases, the u.s. is a close second followed by russia, india, and japan. china burns mountains of coal, the dirtiest form of energy for 70% of its power, consuming 2.5 billion tons each year. 23% of america's energy also comes from cole, using 1.2 billion tons annually. the u.s. population is less than a quarter of the size of china's but americans consume almost six times more energy per person than the chinese. china also guzzles almost eight million barrels of oil daily-- 8% of the world's total. while americans burn through 19.5 million barrels, or 21%. america's oil use has been declining since 2007 while china getting thirstier. oil consumption is up 5% a year. modern life-styles are on the rise here, demanding vast amounts of electricity and that's why chinese authorities are hungry for renewable energy, to keep china's people satisfied and the economy humming. so chinese leaders were r investing heavily in green sectors like wind and solar, and that's where experts say china scores an "a." >> the nation that leads the clean energy economy will be the nation that leads the global economy and america must be that nation. >> reporter: like it or not, china's the country cashing in on the green revolution, and that's a problem for america. >> we're going to end up using those technologies on a very large scale. the question is whether we're producing them or whether we end up having to buy them from the chinese or others because we didn't get our act together. >> reporter: china has become the number-one exporter of solar panels, supplying 29% of the world's $13.7 billion market while the u.s. trails at 6%. chinese manufacturers also dominate the market in ecoproducts, from electric bikes and solar hot water heaters to mass-produced electric cars. in a few years, china is also expected to become the top exporter of wind turbines and a a major user of them, too. all this activity is putting food on the table for workers like 37-year-old wang meiqiu. her hometown, the city of baoding was once a decaying factory zone. but with major state backing, it's being reborn into an unlikely ecohub, boasting 29,000 new jobs, including one for wang as a solar panel inspector. >> ( translated ): this is fixing our unemployment problem. >> reporter: here, the u.s. faces a huge disadvantage. the average factory worker in china costs the company 81 cents an hour to employ compared to an average of $29.98 an hour for a worker in the u.s. even after taking china's low cost of living into account, it's a difference america can't match. so what solution will allow the united states to catch up to china? many say in the short term america needs to encourage joint ventures between the u.s. and china, bringing the renewable energy costs down for everyone. in the long term, experts say u.s. government policies should build on america's strengths: technological innovation and highly efficient manufacturing to compete with china's unbeatable wages. ken ames is the c.e.o. of seesmart, his vista, california, company makes cutting-edge l.e.d. lightbulbs in shenzhen, china. ames said he'd relocate all his production state side if he could break through washington's red tape. >> it's going to have to be grants available, readily available for companies like us that are going to bring the jobs bring the technology. >> reporter: analysts stay obama administration is committed to clean energy, investing $80 billion in stimulus funding in hopes of fostering $150 billion in new projects. that, cup coupled with old-fashioned american inge. >> couric:ty could help the u.s. embrace what chinese entrepreneurs already know: that it's possible to get rich by going green. a move that just might make the planet healthier, too. celia hatton, cbs news, beijing. >> couric: and for all the stories in this series in partnership with "u.s.a. today," you can go to cbsnews.com and let us know where you stand on the issues that we've been covering. what's going on? 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(announcer) pristiq is a prescription medicine proven to treat depression. pristiq is thought to work by affecting the levels of two chemicals in the brain, serotonin and norepinephrine. tell your doctor right away if your depression worsens or you have unusual changes in mood, behavior, or thoughts of suicide. antidepressants can increase suicidal thoughts and behaviors in children, teens and young adults. pristiq is not approved for children under 18. do not take pristiq with maois. taking pristiq with nsaid pain relievers, aspirin or blood thinners may increase bleeding risk. tell your doctor about all your medications, including those for migraine, to avoid a potentially life-threatening condition. pristiq may cause or worsen high blood pressure, high cholesterol, or glaucoma. telling your doctor if you have heart disease... or before you reduce or stop taking pristiq. side effects may include nausea, dizziness and sweating. 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(announcer) ask your doctor about pristiq. to treat my depression. plain old chicken? let campbell's transform it into chicken with sun-dried tomatoes. add unmistakable flavor to any dish. go to campbellskitchen.com for more mouth watering recipes. ♪ so many, many reasons ♪ it's so m'm! m'm! good! ♪ you took my eggs ! it's an "egg management fee." what does that even mean ? egg management fee. even kids know it's wrong to take other people's stuff. that's why at ally bank we don't eat away at your savings with fees. and we offer rates among the most competitive in the country. it's just the right thing to do. >> couric: there's a new indication tonight of just how powerful last month's earthquake in chile was. researchers stay magnitude 8.8 quake moved buenos aires, argentina, on the other side of the continent an inch to the west. santiago, chile, shifting 11 inches west/southwest, and the biggest deaffect was in concepcion, near the epicenter. the quake moved the entire city ten feet to the west. nothing, meanwhile, is moving on a colorado highway closed down by a giant rock slide. workers have been blasting apart the bolders that tumbled yesterday on to interstate 70 in glenwood, canyon. while the work goes on, the shortest detour for drivers takes them 200 miles out of their way. most people would gladly take a detour to avoid this: a tornado that touched down yesterday in hammond, oklahoma, but not the pair of storm chasers who shot this video. they tracked the twister as it closed in on them and wrecked five homes and a barn. fortunately, no one was hurt. a spin on the dance floor provided a memorable moment at president obama's inauguration. today the first lady donated her famous gown to the smithsonian. the beaded white chiffon dress by young designer jason wu will be included in the museum's first lady's exhibit. mrs. obama hadn't seen the gown since that big night and today the memories came rushing back. >> i'll never forget the moment that i slipped on this beautiful gown. i remember how just luscious i felt as the president and i were announced on to the stage for the first of many dances. and i'll cherish that moment for the rest of my life. fewer pills than extra strength tylenol. just 2 aleve have the strength to relieve arthritis pain all day. than two percent. so forget return on investment. let's talk return on insurance. switch your car insurance to allstate, and you can earn a five percent bonus. five percent of your premium, sent to you twice a year... for as long as you don't have an accident. the safe driving bonus check. only from allstate. safety pays. that's allstate's stand. are you in good hands? you may be missing some of the protection you need. crest pro-health is the only leading toothpaste to protect against sensitivity and all these areas in a single all-in-one toothpaste. crest pro-health. [ female announcer ] introducing something unexpected to the world of multigrain... taste. delicious new pringles multigrain. new multigrain pops with pringles. but we've got the ammunition she needs: omnaris. (troops) omnaris! to the nose. (general) omnaris works differently than many other allergy medications. omnaris fights nasal allergy symptoms that occur from allergic inflammation... relieve those symptoms with omnaris. side effects may include headache, nosebleed and sore throat. her nose is at ease. we have lift off. (general) remember omnaris! ask your doctor. in the battle against nasal allergy symptoms, omnaris combats the cause. >> couric: finally tonight, they put their lives on the line during world war ii, now more than six decades later their heroisim in the congress spit finally getting the recognition it deserves. david martin reports on the fly girls. >> reporter: when old war pilots get together, somebody always calls it a gathering of eagles. not today, this is a gathering of wasps. that's wasp as in women's air force service pilots. as in the first women to fly military aircraft. >> i flew the b-17. >> that's b-17 as in the plane that bombed germany to its knees. >> the flying fortress. >> reporter: dawn seymour was one of 1,100 women who volunteered to fly during world war ii. they never saw combat, but they flew just about every other kind of mission. >> i flew gunners on their training missions to learn how to fire the 50 caliber machine guns from a moving platform of a moving target. >> reporter: now they are finally getting their moment in the sun. ceremonies leading up to tomorrow's presentation of the congressional gold medal for stepping forward at a desperate time. >> by 1942 we were in a tough spot in the war. we needed all the personnel that we could get flying. >> reporter: air crews were flying into the teeth of german defenses and going down almost as fast as they could be trained. >> so you bring women in to do the job, just as we brought rosie the riveter in to work in the factories riveting the airplanes together. you bring women in to fly the planes so the men can fly combat overseas. >> reporter: rosie the riveter became a national icon. while everyone forgot about the wasps. except women like lieutenant colonel nicole malachowski, who became the first female member of the air force thunderbirds. >> when i made the decision to become an air force fighter pilot, a lot of people told me it's not something you can do but i was able to look to the story of the wasps and realize women can do it. >> reporter: the years have whittled them down to a fragile few hundred, but talk to delores lam and you know she had the right stuff. >> i loved to fly and i was 18 and i just couldn't stand not being able to fly in a military airplane. >> reporter: but 38 of them were killed in crashes. now we know who they were and what they did. david martin, cbs news, at the air force memorial. >> couric: and congratulations to all of them. that is the "cbs evening news." i'm katie couric. thanks for watching. i'll see you tomorrow. good night. captioning sponsored by cbs captioned by media access group at wgbh access.wgbh.org how the stars celebrate oscar afterhours? this is "entertainment tonight." they were outside. only we were in inside. what you haven't seen from our "vanity fair" exclusive. the dancing stars. the famous friend and sandra's beef with the mother she played. >> you couldn't say anything? her fast-food fix with jesse mo'nique's

Transcripts For WUSA CBS Evening News With Katie Couric 20100309

couric is next. don't forget, wusa9.com is always on. have a great night. >> couric: tonight, terror on the highway. >> your accelerator is stuck? >> yeah, yeah. >> couric: a driver's frantic call to 911, his toyota prius was speeding out of control. i'm katie couric, also tonight, a surprise plea deal in the david letterman extortion case. is a former cbs news producer pleads guilty to attempted grand larceny in a $2 million shakedown scheme. and the red-hot battle for green technology. china's on top of the world. what happened to the united states? captioning sponsored by cbs from cbs news world headquarters in new york, this is the "cbs evening news" with katie couric. >> couric: good evening, everyone. we began the broadcast last night with a toyota prius speeding out of control on a san diego highway. today we heard from the driver in person as he told his harrowing tale. and on tape as it all unfolded on a 911 call. his 2008 prius was one of more than three million toyotas recalled because the floor mats could somethat that the gas pedal, but he says the dealership told him his car was not part of that recall. ben tracy is in san diego county tonight and, ben, understandably this is one very angry driver. >> reporter: katie, you're very right about that. he came to the dealership today and told them he won't ever be driving that prius again. now the federal government is involved. they want to know what caused the car to speed out of control. the now-infamous runaway prius was hauled back to the dealership this morning. its driver, 61-year-old real estate agent jim sikes still shaken by monday's wild ride. >> i was laying on the brakes. it was not slowing down. >> reporter: in the now-released 911 call sikes made from his prius, you can hear the fear in his voice. >> my car, i can't slow it down. >> you can't slow it down? >> no. >> and your accelerator is stuck? >> i tried to pull... yeah, yeah. i've tried to pull it back. >> reporter: sikes says he was driving along a winding stretch of interstate 8 near san diego when his gas pedal stuck, rocketing his car forward. >> is there a way for you to take the car out of gear? >> i can't hold the [no audio] up. i don't want to go over the side. >> i was reaching down trying to pull on the gas he pe dahl and get it back. it didn't move at all. it was stationary. >> reporter: as the car sped along at up to 94 miles per hour, a california highway patrol car drove alongside sikes telling him to simultaneously put his foot on the brake pedal and push the emergency brake. that slowed the car down to about 50 miles per hour. sikes then kept pressing the off button and the prius eventually stopped as the patrol car pulled in front of it. >> when i saw him, i could smell the brakes, i smelled his brake lights coming on. >> reporter: the 2008 prius involved in monday's incident was part of toyota's earlier recall involving floor mats that could trap gas pedals. but sikes says hid floor mats had nothing do with it. >> the fact that it seems like a new problem in a very important model, that's an even bigger deal. >> reporter: an even bigger deal because there are already a reported 52 fatalities and 38 injuries involving unintended acceleration in toyota vehicles since 2000. 89 class action lawsuits have been filed against the company and the associated press estimates that could cost toyota more than $3 billion. meanwhile, the company continues to dispute critics who say the problem could be in the car's computer systems. today toyota told us "we have yet to find any evidence of an electronic glitch. if we could find something wrong we would fix it and be done with it." jim sikes says there is one thing he's done with. >> i love toyotas. i will not drive a prius again. >> reporter: now the investigation begins. the department of transportation is sending two inspectors here to look at the prius and toyota says they'll do their own investigation. >> couric: ben tracy, ben, thanks so much for the report. here in new york today the final chapter that dominated the tabloids for weeks, the david letterman extortion case involving a cbs news producer ended with a guilty plea and an apology. jeff glor now with the latest. >> reporter: leaving court after his plea plea, joe halderman said he was sorry. >> i apologize to mr. letterman, his family, to stephanie birkitt her family, and certainly to my friends and family. >> reporter: moments earlier, a longer statement inside in which the former cbs news producer admitted he tried to extort $2 million from david letterman last september by threatening to sell a sensational screenplay detailing letterman's behind the scenes affairs with staffers. >> i have had sex with women who work for me on this show. >> reporter: the case prompted that extraordinary admission from letterman last october who had been involved with halderman's ex, stephanie birkitt, a "late show" employee. the initial charges could have sent halderman away for 15 years. today's plea to attempted second degree grand larceny will get him six months, plus five year's probation and a thousand hours of community service. prosecutors when it was over praised letterman for not giving in to the defendant's extortion demands for millions of dollars. instead taking the courageous step of reporting the crime. >> this is a serious sentence that properly reflects the crimes that mr. halderman has not admitted he committed and it's a fitting end to the case. >> reporter: halderman will be sentenced on may 4 and with good behavior that six-month sentence might mean as little as four months behind bars. jeff glor, cbs news, new york. >> couric: now to the battle over health care reform and the push for a house vote by the end of next week. emotions are running high on both sides of the debate and in washington today, angry protestors targeted the insurance industry. here's nancy cordes. >> health care now! >> reporter: supporters of health care reform descended not on the capitol or the white house today... >> what do we want? >> health care! >> reporter: but washington's ritz-carlton hotel where executives from the nation's largest insurance companies were holding an annual conference. 11-year-old marcelas owens flew fear seattle. >> no other kid should go through the thing that our family has gone through. >> reporter: his mother tiffany lost her job and the health insurance that went with it after a prolonged illness caused her to miss work. she stopped going to the doctor and died at 27 of pulmonary hypertension. >> she ended up passing away because she didn't have the equal rights to health care as some people with more money. >> reporter: inside the ritz, attendees were well aware of the anger directed their way. >> we're never going to have a rational system in this country if we continue the way we are now. >> reporter: the protestors were taking a page from the president who has made insurers public enemy number one sdpchlt we can't have a system that works better for the insurance companies than it does for the american people. >> reporter: now insurers are pushing back. >> health insurance companies costs are only 4% of all health care spending. >> reporter: they point out that the average profit margin for health plans is just over 3% compared to nearly 19% for drug companies. they argue it's not their greed that's driving premiums up but sharp increases in the cost of hospital stays, outpatient surgery, emergency room visits and specialty drugs. >> you know, just this whole notion of find a villain, aim the rhetoric and go after them. but that doesn't get anybody covered. >> reporter: but for anxious democrats, health insurers made for an easy target, especially when they jack up rates by 20% or even 40%, katie. >> couric: nancy cordes reporting from capitol hill. nancy, thank you. from health care reform to retirement security. if your nest egg is invested in stocks, you'll want to know the dow closed up more than 11 points today. it was exactly a year ago that stocks hit a 12-year low, deal ago 401(k)-o to a lot of retirement accounts. since then, though, a remarkable comeback. the market's up 61%. but as anthony mason tells us, you had to be in it to win it. >> reporter: stocks have staged one of their greatest rallies in history, but millions of investors have missed it. >> we don't see any increased activity from the public. >> reporter: ted weisberg has thousands of clients at seaport securities, but they haven't been pouring money back into stocks. >> the activity level is the same today as it was a year ago and yet the market has rallied 4 points from the low. >> reporter: in fact, investors have pulled $40 billion out of u.s. stock funds since the start of last year. on the floor of the new york stock exchange, the panic of a year ago has been replaced by caution. it's estimated that more than $3 trillion of investors' cash is just sitting it out on the sidelines. >> everything is so volatile. it's unpredictable, it's uncertain. >> reporter: with her 401(k) down 22%, the kim proescholdt, who works in marketing for a california hospital, has taken a more active role in investing her money. >> every hard-earned dollar i make i want to know that it's going someplace that's safe. >> reporter: so she's moved into other investments like bonds. do you think there's been a fundamental shift in attitude towards stocks after this? >> well, you know, that's what we're concerned about because we have not seen the average investor get back into this market yet. >> reporter: even with the rally, the dow is still down 25% from its all-time high in 2007. ted weisberg says investors saw the economy have a near-death experience. >> they're still scared and i don't know what it will take to change that. >> reporter: most of all, it could tame time, maybe years, before investors are comfortable again with the risks in the stock market. katie? >> couric: meanwhile, a report out today shows that 25% of americans have decided to put off retirement. that's a staggering number. >> reporter: it is and it's because their 401(k)s have taken a hit, home prices from v plepl meted but here's the really scary part of this, katie, 43% of americans in that survey say they've put away less than $10 for retirement and more than a quarter say they've put away less than a thousand dollars in savings. all of this, the putting off of retirement, means a tight job market is going to get tighter. >> couric: anthony mason. anthony, thank you. now we want to take you back to president barack obama's state of the union address as members of the supreme court looked on, he criticized their decision that allows corporations and unions to spend freely on political ads for or against a specific candidate. today, chief justice john roberts said he has no problem with anyone criticizing the court. the issue, he said, is the setting. roberts said the state of the union has "denigrate grated to a political pep rally" and he questioned whether thes should even attend in the future. coming up next here on the "cbs evening news," where america stands on green technology. why china is taking the lead and how the u.s. can catch up. and to eat run.. whatever happens to be around. heavy greasy food that's hard on my diet... and my digestive system. so i eat activia light every day. activia light, with bifidus regularis is clinically proven to help regulate your digestive system. mmmm. the new taste is better than ever. and with only 70 calories activia light helps make it easier to watch my weight. it helps me feel good and look good too! ♪ activia! when you least expect it... a regular moment can become romantic. and when it does, men with erectile dysfunction can be more confident in their ability to be ready with cialis. with two clinically proven dosing options, you can choose the moment that's right for you and your partner. 36-hour cialis and cialis for daily use. cialis for daily use is a low-dose tablet you take every day, so you can be ready anytime the moment's right. >> tell your doctor about your medical condition and all medications and ask if you're healthy enough for sexual activity. >> don't take cialis if you take nitrates for chest pain, as this may cause an unsafe drop in blood pressure. >> don't drink alcohol in excess with cialis. side effects may include headache, upset stomach, delayed backache, or muscle ache. to avoid long-term injury, seek immediate medical help for an erection lasting more than 4 hours. >> if you have any sudden decrease or loss in hearing or vision, stop taking cialis and call your doctor right away. >> 36-hour cialis or cialis for daily use. ask your doctor if cialis is right for you. you can be ready for your moment with cialis. just, out of the blue at 43. now i'm on an aspirin regimen because it helps me live the life i want to live. [ male announcer ] be sure to talk to your doctor before you begin an aspirin regimen. it's not a big deal to go to your doctor. it is a big deal to have a heart attack. it feels like a liner, but protects like a pad. because it absorbs 10 times more. there's nothing quite like it. carefree® ultra protection™. feels like a liner, protects like a pad™. >> couric: it's nothing to be proud of: china and the united states are the world's two biggest polluters. but they're also competeing for another title: leader in pollution-fighting green technology. right now chinese are way out in front, so what will the u.s. need do to come seat in celia hatton continues our series "cbs reports: where america stands." >> reporter: the wind turbine slicing the sky above rural minnesota were manufactured more than 6,000 miles away by a chinese company. now they're helping the power the nearby town of pipestone. >> the wind is blowing nearly all the time, we should take advantage of it. >> reporter: china has a dirty reputation as the world's factory, but its emerging green energy sector is threatening to leave the united states in its dust. the overall environmental report card's not pretty for either country. china is the world's top producer of greenhouse gases, the u.s. is a close second followed by russia, india, and japan. china burns mountains of coal, the dirtiest form of energy for 70% of its power, consuming 2.5 billion tons each year. 23% of america's energy also comes from cole, using 1.2 billion tons annually. the u.s. population is less than a quarter of the size of china's but americans consume almost six times more energy per person than the chinese. china also guzzles almost eight million barrels of oil daily-- 8% of the world's total. while americans burn through 19.5 million barrels, or 21%. america's oil use has been declining since 2007 while china getting thirstier. oil consumption is up 5% a year. modern life-styles are on the rise here, demanding vast amounts of electricity and that's why chinese authorities are hungry for renewable energy, to keep china's people satisfied and the economy humming. so chinese leaders were r investing heavily in green sectors like wind and solar, and that's where experts say china scores an "a." >> the nation that leads the clean energy economy will be the nation that leads the global economy and america must be that nation. >> reporter: like it or not, china's the country cashing in on the green revolution, and that's a problem for america. >> we're going to end up using those technologies on a very large scale. the question is whether we're producing them or whether we end up having to buy them from the chinese or others because we didn't get our act together. >> reporter: china has become the number-one exporter of solar panels, supplying 29% of the world's $13.7 billion market while the u.s. trails at 6%. chinese manufacturers also dominate the market in ecoproducts, from electric bikes and solar hot water heaters to mass-produced electric cars. in a few years, china is also expected to become the top exporter of wind turbines and a a major user of them, too. all this activity is putting food on the table for workers like 37-year-old wang meiqiu. her hometown, the city of baoding was once a decaying factory zone. but with major state backing, it's being reborn into an unlikely ecohub, boasting 29,000 new jobs, including one for wang as a solar panel inspector. >> ( translated ): this is fixing our unemployment problem. >> reporter: here, the u.s. faces a huge disadvantage. the average factory worker in china costs the company 81 cents an hour to employ compared to an average of $29.98 an hour for a worker in the u.s. even after taking china's low cost of living into account, it's a difference america can't match. so what solution will allow the united states to catch up to china? many say in the short term america needs to encourage joint ventures between the u.s. and china, bringing the renewable energy costs down for everyone. in the long term, experts say u.s. government policies should build on america's strengths: technological innovation and highly efficient manufacturing to compete with china's unbeatable wages. ken ames is the c.e.o. of seesmart, his vista, california, company makes cutting-edge l.e.d. lightbulbs in shenzhen, china. ames said he'd relocate all his production state side if he could break through washington's red tape. >> it's going to have to be grants available, readily available for companies like us that are going to bring the jobs bring the technology. >> reporter: analysts stay obama administration is committed to clean energy, investing $80 billion in stimulus funding in hopes of fostering $150 billion in new projects. that, cup coupled with old-fashioned american inge. >> couric:ty could help the u.s. embrace what chinese entrepreneurs already know: that it's possible to get rich by going green. a move that just might make the planet healthier, too. celia hatton, cbs news, beijing. >> couric: and for all the stories in this series in partnership with "u.s.a. today," you can go to cbsnews.com and let us know where you stand on the issues that we've been covering. what's going on? 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(announcer) pristiq is a prescription medicine proven to treat depression. pristiq is thought to work by affecting the levels of two chemicals in the brain, serotonin and norepinephrine. tell your doctor right away if your depression worsens or you have unusual changes in mood, behavior, or thoughts of suicide. antidepressants can increase suicidal thoughts and behaviors in children, teens and young adults. pristiq is not approved for children under 18. do not take pristiq with maois. taking pristiq with nsaid pain relievers, aspirin or blood thinners may increase bleeding risk. tell your doctor about all your medications, including those for migraine, to avoid a potentially life-threatening condition. pristiq may cause or worsen high blood pressure, high cholesterol, or glaucoma. telling your doctor if you have heart disease... or before you reduce or stop taking pristiq. side effects may include nausea, dizziness and sweating. (woman) for me, pristiq is a key in helping to treat my depression. (announcer) ask your doctor about pristiq. to treat my depression. plain old chicken? let campbell's transform it into chicken with sun-dried tomatoes. add unmistakable flavor to any dish. go to campbellskitchen.com for more mouth watering recipes. ♪ so many, many reasons ♪ it's so m'm! m'm! good! ♪ you took my eggs ! it's an "egg management fee." what does that even mean ? egg management fee. even kids know it's wrong to take other people's stuff. that's why at ally bank we don't eat away at your savings with fees. and we offer rates among the most competitive in the country. it's just the right thing to do. >> couric: there's a new indication tonight of just how powerful last month's earthquake in chile was. researchers stay magnitude 8.8 quake moved buenos aires, argentina, on the other side of the continent an inch to the west. santiago, chile, shifting 11 inches west/southwest, and the biggest deaffect was in concepcion, near the epicenter. the quake moved the entire city ten feet to the west. nothing, meanwhile, is moving on a colorado highway closed down by a giant rock slide. workers have been blasting apart the bolders that tumbled yesterday on to interstate 70 in glenwood, canyon. while the work goes on, the shortest detour for drivers takes them 200 miles out of their way. most people would gladly take a detour to avoid this: a tornado that touched down yesterday in hammond, oklahoma, but not the pair of storm chasers who shot this video. they tracked the twister as it closed in on them and wrecked five homes and a barn. fortunately, no one was hurt. a spin on the dance floor provided a memorable moment at president obama's inauguration. today the first lady donated her famous gown to the smithsonian. the beaded white chiffon dress by young designer jason wu will be included in the museum's first lady's exhibit. mrs. obama hadn't seen the gown since that big night and today the memories came rushing back. >> i'll never forget the moment that i slipped on this beautiful gown. i remember how just luscious i felt as the president and i were announced on to the stage for the first of many dances. and i'll cherish that moment for the rest of my life. fewer pills than extra strength tylenol. just 2 aleve have the strength to relieve arthritis pain all day. than two percent. so forget return on investment. let's talk return on insurance. switch your car insurance to allstate, and you can earn a five percent bonus. five percent of your premium, sent to you twice a year... for as long as you don't have an accident. the safe driving bonus check. only from allstate. safety pays. that's allstate's stand. are you in good hands? you may be missing some of the protection you need. crest pro-health is the only leading toothpaste to protect against sensitivity and all these areas in a single all-in-one toothpaste. crest pro-health. [ female announcer ] introducing something unexpected to the world of multigrain... taste. delicious new pringles multigrain. new multigrain pops with pringles. but we've got the ammunition she needs: omnaris. (troops) omnaris! to the nose. (general) omnaris works differently than many other allergy medications. omnaris fights nasal allergy symptoms that occur from allergic inflammation... relieve those symptoms with omnaris. side effects may include headache, nosebleed and sore throat. her nose is at ease. we have lift off. (general) remember omnaris! ask your doctor. in the battle against nasal allergy symptoms, omnaris combats the cause. >> couric: finally tonight, they put their lives on the line during world war ii, now more than six decades later their heroisim in the congress spit finally getting the recognition it deserves. david martin reports on the fly girls. >> reporter: when old war pilots get together, somebody always calls it a gathering of eagles. not today, this is a gathering of wasps. that's wasp as in women's air force service pilots. as in the first women to fly military aircraft. >> i flew the b-17. >> that's b-17 as in the plane that bombed germany to its knees. >> the flying fortress. >> reporter: dawn seymour was one of 1,100 women who volunteered to fly during world war ii. they never saw combat, but they flew just about every other kind of mission. >> i flew gunners on their training missions to learn how to fire the 50 caliber machine guns from a moving platform of a moving target. >> reporter: now they are finally getting their moment in the sun. ceremonies leading up to tomorrow's presentation of the congressional gold medal for stepping forward at a desperate time. >> by 1942 we were in a tough spot in the war. we needed all the personnel that we could get flying. >> reporter: air crews were flying into the teeth of german defenses and going down almost as fast as they could be trained. >> so you bring women in to do the job, just as we brought rosie the riveter in to work in the factories riveting the airplanes together. you bring women in to fly the planes so the men can fly combat overseas. >> reporter: rosie the riveter became a national icon. while everyone forgot about the wasps. except women like lieutenant colonel nicole malachowski, who became the first female member of the air force thunderbirds. >> when i made the decision to become an air force fighter pilot, a lot of people told me it's not something you can do but i was able to look to the story of the wasps and realize women can do it. >> reporter: the years have whittled them down to a fragile few hundred, but talk to delores lam and you know she had the right stuff. >> i loved to fly and i was 18 and i just couldn't stand not being able to fly in a military airplane. >> reporter: but 38 of them were killed in crashes. now we know who they were and what they did. david martin, cbs news, at the air force memorial. >> couric: and congratulations to all of them. that is the "cbs evening news." i'm katie couric. thanks for watching. i'll see you tomorrow. good night. captioning sponsored by cbs captioned by media access group at wgbh access.wgbh.org from the first local station with news in high definition, this is 9news now. >> good evening. tonight in your only local news at 7:00, i do. same-sex couples get their first chance to tie the knot in the capital. traffic court is a waste of your cash and their time. and sounding the alarm. a top official at children's national medical center says the death of a two-year-old in the district shows dc ems is still a system in trouble. >> i'm dave in the district of columbia. in the wake of a child's death, a doctor from children's hospital blasted the fire and ems department over its commitment and training of paramedics and emt's in dealing with pediatric emergencies. >> joseph