Transcripts For CNNW CNN Newsroom 20120518 : vimarsana.com

CNNW CNN Newsroom May 18, 2012



zuckerberg will become one of the richest men in the world. would you want to leave the results of an election up to a coin toss? doesn't sound like a viable option, does it? turns out it is. we'll take you down to texas. a flick of the wrist will decide an election there. it may look like your grandfather's 1960s rocket but it ain't. an insider look at the next frontier at intergalactic travel. are you ready to friend facebook? in the next hour investors will get their first chance to buy a piece of the social media empire. the most talked about initial public offering in years. alison kosik is at the nasdaq market site where the buzz is building. hi, alison. >> yes. consider this the super bowl of market events. facebook will open up its shares to the public for the public to buy today. in the next couple of hours. there's been a lot of hype with this. the question is will facebook live up to the hype? i'm going to talk about all of this in a bit with you. >> can't wait. thank you. we want to get right to this big break in mississippi. police have now arrested a suspect in the killing of two motorists both alongside desolate stretches of highway. authorities warned shooter could be posing as a cop. ed lavandera is in dallas. ed, what was the key break in the investigation and who is the suspect? >> reporter: well, according to mississippi authorities, tuesday authorities in the northwest corner of mississippi south of memphis, tennessee, get a call of a disturbance in an apartment. when they get there, they find a woman who is alleging she's been raped by a 28-year-old man by the name of james willie. as investigators are handling that scene and that situation, they come across what they say is his .9 millimeter handgun and they do ballistic testing on that handgun and it connects that gun to two deadly shootings along highways in that northwest corner of mississippi we've been talking about for several days that happened last week. authorities say that handgun has been connected to that. they have arrested james willie and they say that they will file murder charges against him in connection with those deadly shootings in northwest mississippi last week. >> so what do we know about this guy? >> reporter: we don't know much at this point. remember early on in a lot of what raised fear for many people is that police and investigators had thrown out the possibility -- they didn't know this for sure but perhaps whoever the culprit was might be acting as a police officer. the two people killed were gunned down in early morning hours trying to figure out why they would have stopped or been able to be confronted by a shooter in those early hours. they had the possibility that perhaps this person was acting as a police officer pulling up behind them. authorities now tell us they do not believe that is what happened in this situation. in terms of motive and exactly how this person they believe pulled off these murders isn't clear at this point or at least they're not sharing. authorities there in mississippi are supposed to hold a press conference with perhaps more details what they've been able to learn in their talks with james willie might be shared at that point. that's expected in the next few hours. >> ed lavandera, thanks so much. people run for their lives when shots ring out in a louisville neighborhood. listen to this. you don't see video like that often. this happened right in front of police while they were investigating another crime scene. earlier two men were shot and killed, two went to the hospital and afterwards police showed up. a big crowd gathered. two women get into this argument and one allegedly shot and killed the other. police eventually arrested her. the mayor of louisville announced there will be extra police patrol in the area for weeks. also this morning, we have a clear image of the moments just before and just after the killing of trayvon martin. here's a quick check of some of the evidence released by investigators. these are the last known images of trayvon martin. there you see him inside a convenience store wearing the hoodie and buying skittles and iced tea and of course those things would become icons in future protests. the teenager had marijuana residue in his system at the time. fast forward to the minutes after the killing. these police photos show the injuries to the shooter, george zimmerman. investigators note an apatiepary broken nose and cuts to the back of his head. zimmerman said he struggled and we're hearing the investigators conversation with zimmerman's father. he says audio recordings of the 911 calls captured his son's panic screams for someone to come to his aid. >> the 911 and the other tapes were played for the martin family and they identified that as their son crying for help. that is absolutely, positively george zimmerman. myself, my wife, my family members and friends know that is george zimmerman. there is no doubt who's yelling for help. >> just two weeks after the killing police detectives concluded martin's death was ultimately avoidable if only zimmerman had stayed in his car as 911 dispatchers requested. zimmerman is now charged with second-degree murder. a $2 billion trading loss tarnishes the reputation of one of wall street's brightest stars and today "the wall street journal" is reporting that jamie dimon is the person responsible for putting his firm in harm's way. approving a trading practice that opened the door to massive losses that the journalists now reporting could hit $5 billion. cnn's legal contributor paul callahan is with me now. i'm sure you read "the wall street journal" article. does this change things at all? jamie dimon with shareholders absolved him. he has a $23 million a year salary and no punishment. should he be punished? >> as you said, he has been the darling superstar of wall street through the entire financial meltdown. he survived and jpmorgan chase was considered to be one of the strongest financial institutions to come out of the financial crisis. and now this "wall street journal" article is really sort of devastating in implicating him directly with knowledge of the trade that was involved. now, what we don't know is whether he acted improperly in the aftermath of realizing that it was a bad trade. obviously trading judgments are made, investment judgments are made by banks and sometimes you get it right and sometimes you get it wrong. as large as this is, even if it goes to $5 billion, it's a relatively minor amount with respect to jpmorgan chase. they are a huge financial institution. >> an executive did pay a price for this. the woman that instituted the trade has been fired. now we find out from this "wall street journal" article that jamie dimon okayed this kind of trade. he's going to be testifying before a senate committee soon. so what will lawmakers, what kind of questions will lawmakers ask of him now? >> he's going to be called on the carpet because there are two things going on here. one, of course, he's going to be wondering whether he's going to still have a job. anything he says to congress will have a bearing on that. also, last week the fbi in a very unusual announcement said that it was commencing a criminal investigation of jpmorgan chase. i have to tell you it's unusual because normally the fbi lays back until this thing plays out. it might be a civil suit. a shareholder suit if shareholders lose money but to say you're starting a criminal investigation so early is very unusual. anything that he says to congress would have a bearing on both civil lawsuits and a criminal investigation. he's going to have a very, very important day before a congressional committee. >> so this is far from over. paul, many thanks to you this morning. >> nice being with you, carol. >> nice to have you here. let's get back to the wild morning building on wall street. investors bracing for their first chance to buy stock in the facebook phenomenon and people are putting their money where their mouse is. set price is 38 bucks a share. christine romans is in new york to set the stage. give us some perspective. just how big is this? >> it's a really big ipo, no question about it. in the end it will rank second and third in size of all ipos probably raising $18.4 billion when it is all said and done valuing the company well over $100 billion. we'll look other big ones we've seen. visa was a big ipo as well. $19.7 billion raised there. you heard visa. used it for years. didn't become a public company until march of 2008. stock price on the first day was $44 a share. gm, another very public name. had to go through bankruptcy. when it came back, it came back with $18 billions raised. $33 a share back in november of 2010. it's best to compare facebook overall with the other companies in its space. google for example is one of these companies that a lot of small investors say i wish i got in on google very early. that stock is up 500% or something since it went public. even more than that. they raised almost $2 billion in 2004. microsoft, look at how bill gates glasses way back in 1986. $21s a share. 61 million raised for that one. apple has been a public company since 1980. it raised 100 million when it went public at a stock price of $22 a share. the interesting thing about this particular ipo is that it is going to value -- facebook is going to be valued as a much bigger company on its first day as a public company than a lot of those other tech companies that then grew into themselves if you will. that's one of the reasons why some people say that it feels a little bubbly to them but don't tell them to the oversubscribed investors who are willing to pay whatever it takes to get a piece of the action today. >> it feels bubbly? so a question for you down the line, and what everyone wants to know, is it worth buying or should you just wait? >> ryan mack and a dozen other people that i talk to and quote say for you and me for regular people just wait. he says wait a month just see how this thing settles out here. just for journalistic purposes, i've been on the phone three different times this morning with etrade after having tried to place just a little tiny order. won't even let you go in and place an order on there. in the role of individual investors, i can't get an agent on the phone. it might be -- you might not be able to get it at all today. just my advice is wait. >> i'll take it. not that i can really do anything but i'll take it. christine romans, thanks so much. >> no choice but to wait. >> stay with us for in-depth coverage at the bottom of the hour we'll go to wall street for opening bell and then a look at the facebook mom. the company's chief operating officer. we'll keep a close eye on markets as big moment approaches. that's expected around 11:00 eastern and you'll see it live here on cnn. a man fires a gun at a school bus. and now parents in one georgia community want to know how to keep their children safe. we'll take you to that neighborhood live. ♪ [music plays] ♪ [music plays] ♪ [music plays] ♪ got it all. here. have a good day, honey. i love you, ok. bye, mom. [ female announcer ] sam's mom is muddling through her allergies. what can she do? she can get answers at walgreens. with guidance and information to help her make informed choices for her allergy needs. like zyrtec -- with the strength of 24-hour zyrtec, you get relief from your worst allergy symptoms, indoors and out. right now, get a 40 count bonus pack for just $19.99. ♪ find answers at walgreens. my high school science teacher made me what i am today. our science teacher helped us build it. ♪ now i'm a geologist at chevron, and i get to help science teachers. it has four servo motors and a wireless microcontroller. over the last three years we've put nearly 100 million dollars into american education. that's thousands of kids learning to love science. ♪ isn't that cool? and that's pretty cool. ♪ it is 15 minutes past the hour. time to check our top stories. investors eyes are on facebook as it goes public. will they like it after day one of trading on the nasdaq? the social networking giant priced at 38 bucks a share which values the company at roughly $104 approximately. the jury in greensboro, north carolina, deliberating this morning. edwards was not called to the stand nor was the other star witness, his mistress, rielle hunter. edwards is accused of using campaign contributions to hide his affair with her. if convicted, edwards faces 30 years in prison. check out this video out of portland. an aerial crew was covering this condo fire when a firefighter falls through the roof. you'll see it momentarily. we're hearing -- just scary. we're hearing that the firefighter is doing just fine this morning. two other firefighters suffered minor injuries. in atlanta police are continuing their search for the man who took aim at a school bus this week terrifying students and parents and prompting officials to escort buses through a local subdivision. george howell is in hampton, georgia, where this all happened. george, talked to parents this morning. what are they telling you? >> reporter: carol, good morning. parents obviously are getting some relief this morning and again this is the last day of school here in the clayton county school district. getting some relief knowing this is happening. you see police set up here in the neighborhood. that is giving some relief and all morning we saw a very heavy police presence. we saw patrol cars escorting buses throughout the neighborhood and even saw a helicopter in the air. even seemed like there were more police patrols on the streets than people driving this morning. that is giving people some relief. all of this again is a result of what happened, what people saw on monday. two witnesses say that they saw someone who was on the ground pointing a rifle at a school bus. one of those witnesses yelled at the suspect. the person took off. another witness chased him. we confirmed with police that the suspect pulled a handgun and fired one shot that missed. again, this situation creating a great deal of concern in this community in hampton. i spoke to a few people this morning who again say they are happy to see police on the job on this. take a listen. >> it's a sad situation because it's the last week of school and the kids have been exposed to this. i feel sorry that someone would do that to innocent children. don't know what the intentions were but just feel sorry. >> reporter: as a parent just to know this was reported in this neighborhood, in your neighborhood, what goes through your mind? >> scared. nothing like this has ever happened before. a little nervous. i have two kids in the clayton county school system. just a little nervous and scared. >> reporter: it's also important to point out that when this suspect, when he took off, he dropped the rifle. police recovered the rifle. also dropped a notebook or notes that had bus routes, bus numbers on it. police obviously are looking into that. they believe that the suspect is between 18 and 23 years old and they don't have a clear description yet to put out but they are looking for any information for someone who may know who this person could be, carol. >> george howell reporting live from clayton county, georgia. thanks so much. mitt romney's trek along the campaign trail is taking him to the 2012 version of the bridge to nowhere. i'll explain what it is and why romney is going there. so did the country that came in 17th place. let's raise the bar and elevate our academic standards. let's do what's best for our students-by investing in our teachers. let's solve this. 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[ meow ] [ male announcer ] another example of volkswagen quality. that's the power of german engineering. right now lease the 2012 jetta for $159 a month. mitt romney's campaign released the first campaign ad of the general election season. it's not an attack ad. >> what would a romney presidency be like? day one, president romney immediately approves the keystone pipeline creating thousands of jobs. >> you get a taste of that. also today mitt romney has found his bridge to nowhere. it's not in alaska but in new hampshire. romney will be campaigning in hillsboro today near the sawyer bridge. it's an historic bridge originally built in the 1800s and now restored to its former glory. thing is the bridge leads to nowhere. it's not open to traffic. it's now part of a city park. you guessed it, the bridge was restored with $150,000 in federal stimulus money something romney will no doubt say was a waste of taxpayer money. now is your chance to talk back on one of the big stories of the day. the question for you this morning, if you could change something about facebook, what would it be? we love facebook because it gives us direct access to you, something we never had in a past. i can have a conversation with you in realtime. still, we all wonder what facebook's initial public offering will mean. now mark zuckerberg will have to answer not just to himself but to shareholders. facebook is expected to haul in $16 billion when it sells its stock today. if you're kicking yourself because you can't buy in, look on the bright side. >> some business news. this week investors will be able to buy shares of facebook stock if the first time ever. now it's great. you can lose all your money in the same place you lost all your time. >> not everybody. on "the view" president obama says his daughters don't get on facebook. >> first of all, malia didn't get a known until last year. sasha still doesn't have a known. she's 13. she'll be 14 in july. they don't have a facebook page. part of that obviously is for security. we don't let them watch tv or use their computer except to do homework during the week. >> a recent western illinois university study suggests that facebook feeds our inner narcissism. the more facebook friends you have, the more you're into yourself. whatever. seriously. many people value facebook and are wondering whether this ipo will change facebook for the better? the talkback question for you, if you would change something about facebook, what would it be? facebook.com/carolcnn. i'll read your comments later this hour. you could say mark zuckerberg is the face of facebook. he can't take all of the credit for its success. meet the right-hand woman, a 42-year-old mom and coo. that's next. 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