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olympics begin three weeks make sure the pets are indoors. really take precautions over from now. the country is on high alert next several days. because of them. want to make note this is greg palkot is live with the good news. more. we are getting some greg? >> reporter: we've been monsoonal moisture into the talking to authorities over the past several weeks and four corners. they say as the olympics we have a seasonal shift in winds. that means we're getting approach they are on high some moisture from the west alert for any kind of terror coast. so that will move into those attack. today is a sign they are wildfire areas that have ready to move. stressing the six arrests we been really depraved for saw today, not directly moisture and that is the linked to olympics but three good news. real quick i want to point people nabbed by armed out we could see some severe counterterrorism officers early this morning happened a mile from the olympic weather across the northern plains, ohio river valley site. those officers using by the and appalachians. way stun grenades and tasers busy day in the fox extreme as well. they were reportedly, weather center. back to you. jenna: good news about the according to scotland yard, situation in colorado. hope for rain there. in early stages planning good warnings for just in four attacks against the case those areas where u.k. in fact other raids severe weather could be. happened across london. jd, thank you. the arrests said to be tied >> you bet. jon: well, president obama is kicking off his first bus international islamist terrorism. according to our sister tour of this campaign and he network, sky news, police is hitting a couple of very could be moving the raids up important swing states. in advance of the games. a terror scare on a highway right now mr. obama is in outside the city of ohio gearing up for a birmingham, 1120 miles north campaign event in maumee. where we are in london. armed police moving in on an that is outside toledo. he is trying to talk to the inter-city bus at the height of the rush hour. working class vote that gave 49 passengers were onboard. him strong support last time one passenger apparently saw around. then the president heads to police and said he saw another very important another passenger reaching battleground state, into a bag and vapor coming pennsylvania. let's talk to marjorie out of the bag. an officer in a hazmat suit clifton a former consultant to president obama's campaign. examined the coach closely. hadley heath is a senior a bomb squad nearby, fire policy analyst at the engines, emergency vehicles. independent women's forum. welcome to both of you. all the passengers were >> thank you. searched. jon: marjorie, cbs news highway shut down after a few hours. what was it all about? described his tour of ohio one of those electronic as, no swing county tour. cigarettes was apparently inside one of the bag being they say it is a lot of need to have, but not nice to reached into by a passenger and there was smoke coming from that electronic cigarette. have territory for any a sign, jenna, really how democrat hoping to win the very much on alert the folks white house. what do you say to that? >> absolutely. are, the authorities are ohio and pennsylvania will here, watching for any be mission critical for this possibility of terrorism. election. the good news for obama again that incident on the right now he is ahead in highway ruled to be not a both states but he will have terror incident. to work for those votes. again, we've got three weeks to go just before the other good news for him right now the economy is improving in both ohio and olympics even start. back to you. pennsylvania. jenna: certainly has our he is going to be talking a attention, greg. lot about the auto bailout, thank you very much. jon: right now the united how that was success. you have a lot of states faces new threats manufacturers in those from iran. areas. so that is good thing for the islamic republic saying him to be speaking on. things will be tough for romney is going to be it will destroy u.s. addressing the recent health care fallout. military bases across the his dissension from his, mideast and target israel from his head campaign within minutes of any advisor and how that is attack. going to play. those threats coming as that right now he will really rogue nation extended test have to get into the details of his own economic plans. firing of ballistic missiles he did lay out his 59 point it says can reach israel. plan which kind of fell trucks carrying supplies flat. to u.s. and nato troops in right now obama will be focusing on the way that he afghanistan are once again has worked to improve the crossing over from pakistan. economy and the ways that supply routes closed by romney's plan really isn't going to shake out. it will not bring jobs, this pakistan for seven months are now open once again. is what the election is going to be about, economy, national security correspondent jennifer griffin is live at the economy, economy. jon: all right. pentagon with that. jennifer, what does this, to hadley, if it is going to be about the economy, i mean what extent does this solve overall, the economy is kind nato's problem? >> reporter: well it is a of in the stinker right now partial solution i will say. and the jobs numbers there are still 50,000 expected out tomorrow aren't vehicles that will need to be moved out of afghanistan going to be looking good for this white house. if it is all about the economy, will the before the 2014 deadline. president's tour of these two states, will it succeed, 100,000 containers will need will it help him? to be moved. >> president obama has been some of those won't be able on the attack with some new to be moved across the ads criticizing mitt romney pakistan border because they as an outsourcer of american are considered lethal and there are still restrictions jobs and mitt romney should push back that a lot of our what can cross pakistan at its two border crosses. american business goes what is significant, jon, oversees because we have the just moments ago the highest corporate tax rate in the world. pentagon confirmed several i agree weather a marjorie trucks, vehicles have crossed over at the shaman this will be the on the border crossing from economy but president obama pakistan into afghanistan. has to own the economy. those are the first vehicles to pass in the last eight jon: marjorie just said that auto bailout was a success. months since the pakistanis closed this back in november in your view, was it? after 24 pakistani soldiers >> i don't think so. polls of americans at large, were killed. 59% of people say it was not for the first time we heard a success. a verbal apology from the and gm basically would have to double the price of their stock in order to get back pentagon to the pakistanis for those deaths. to make that loan back up to captain john kirby just told the american people. so, we understand, when we reporters just moments ago, that we are sorry for those hear bailouts, whether wall street bailouts or auto mistakes. he was referring to the bailouts, taxpayers are mistakes that led to the always stuck with the bill. deaths of those 24 jon: marjorie, what about the so-called reagan pakistanis. he said regrets and democrats, the blue-collar condolences were issued at workers, blue-collar voters the time. but now, they are quote, in places like ohio. sorry for the mistakes. are they with this we heard secretary of state president? hillary clinton had spoken >> they are right now but to the foreign minister of again, it is going, this is pakistan on tuesday. going to be the up and downs that is what laid the of the political season which will continue. groundwork for this apology which caused the route to be romney will have his highs opened. and obama will have his now we have heard from the highs and they will have pentagon spokesman sim elf, their lows. right now obama is feeling an apology to the pakistanis, on top. he will have to continue the jon. jon: this thing happened in momentum. jobs report coming out on november. ever since then the friday absolutely could be a hit depending what we see administration said it would not apologize. what happened? the numbers. what changed? biggest piece is voter >> reporter: they said over turnout. and over, we spoke to that is where he ended up officials here in the winning, a lot of those with pentagon and white house officials were on the record, him is it a matter do they state department were on the record, they were not going show out as they did in to apologize. 2004. the turning point according >> sure, if i was, were president obama i wouldn't to an article in the be worried so much about "wall street journal" this morning came during a mitt romney at this point. i would be worried by my backyard barbecue at the new enthusiasm gap in my own ambassador, from pakistan voter base. so i agree, it will be voter barbecue. turnout. that is not boding well for she invited the national security advisor, tom the president given turnout in 2010 was much lower than donnell len, they say according to their source 2008. people generally are very discouraged about the that was the breakthrough direction of the country. moment and that at that >> you see in point tom done lon went back presidentialals greater numbers showing up. >> absolutely. to the white house. >> it will be a different thing. >> sure, but i think people they decided if they were going to pull out by 2014 are discouraged. they would need the land jon: turnout is going to be key, you both agree on that? routes. they already spent $100 million a month in excess >> absolutely. >> absolutely. fees by having to use the jon: marjorie clifton, northern corridors. hadley heath. interesting. and it was going to be too >> thank you. jenna: always find common expensive and it would be ground. jon: turnout is key and i guess both parties are impossible to pull out of afghanistan. working --. jenna: try to get everybody they sucked it up and out there, right? jon: get as many of their essentially apologized. jon: all comes down it a base out there as they can. backyard barbecue. jenna: always good when they have high voter turnout. jennifer griffin at the pentagon, thanks. represents the country more. jenna: to the economy now. you probably haven't heard jon: yes it does. jenna: does vitamin-d help the name countrywide in a prevent broken bones? while but today there are a new study says yes. new allegations about the former mortgage giant. but we told you about last the firm reportedly tried to buy influence in month a study that says the opposite. discounting loans to more what gives here? people than previously we'll break it down with our fox news medical a-team. thought, including lawmakers and their support staff. dr. siegel is on deck for us. netflix reporting a big countrywide's huge business surge in streaming video. in risky subprime loans are just how much video are its blamed in part for helping customers watching online? trigger the housing collapse. is this the new, the new age, mike emanuel on the story. he is live in washington jon, in movie-watching? now. mike, the key findings of this report? we'll talk more about this coming up. >> reporter: jenna, the house oversight committee almost tastes like one of jack's cereals. conducted a three-year investigation into countrywide financial friends of angelo and vip program. the investigation found countrywide lobbyists and ceo angelo mozilo used discounted loans as a way of ingratiating themselves to key elect the officials to fiber one. benefit the company's business. uh, forgot jack's cereal. chairman darrell issa said [ jack ] what's for breakfast? quote, a former lobbyist um... testified members of try the number one! congress staff and other government officials were directed to the company's [ jack ] yeah, this is pretty good. vip program as part of an effort to create a favorable [ male announcer ] half a day's worth of fiber. fiber one. impression of the company on capitol hill. this preferential treatment varied depending on influence of borrower was not offered to the public. a few minutes ago a key member of the committee offered this assessment. >> we have to continue to look at this because there was very concerted effort to use something to pedal influence. they did it also at fannie mae. remember this ended terribly they dumped so many of these loans on the american taxpayer and that's what makes this sew egregious. >> reporter: congressman chaffetz is determined to make sure the report does not end up on a shelf and it is further investigated to see what went wrong here. jenna: that was congressman chaffetz as you mentioned. he is a member of committee. what about the members of congress mentioned in this report, any reaction from any of them? >> reporter: the investigation found 29 loans were issued to 12 members of congress and staff as all part of this countrywide vip unit. both democrats and republicans. only one to respond so far is congressman buck mckeown of california. he is a republican. his spokesperson told us quote, mr. mckeown has been completely up front and transparent about his loan. he was never aware of any end friends of angelo designation. he provided all the loan documentation from the 1998 loan. mr. mckeown shares chairman issa's interest in determining if there is any wrongdoing by countrywide. so we just got our hands on the report a short time ago. we'll continue digging and bring you more details throughout the day. jenna: you're not on any vip list, are you mike? >> reporter: not at all. not even close. jenna: me, maybe on the frozen yogurt shop down the block but beyond that nothing more high-profile. mike, thank you. we'll get back to you with more on this report. jon: a bus driver accused of molesting teenagers and women, tells the court caffeine made i am do it. so what did the jury do with that defense? also governor romney clarifying his position on the individual mandate saying it is a tax and that the president reneged on his promise not to raise taxes jenna: coming up new next on the middle class. hour, iran, a big story for the impact this could have us today, threatening to on the race for the white house. block shipping through the we'll talk about it next. strait of hormuz saying it will attack u.s. military bases across the middle east within minutes of any attack on them. a live report from our middle east bureau coming up. it has been one year, one year since casey anthony was acquitted of murdering her 2-year-old daughter, casey. what have we learned really about the death of her daughter? plus the mars probe curiosity to land on the red planet next month. but with all cuts to government funding will america stick with this ambitious space program? a former nasa astronaut, a whole panel in fact joins us on this coming up next hour. jon: netflix announcing it hit a major online milestone in june. the company reports that for the first time customers watched more than one billion hours of video on the internet in a single month. that is not including all the dvd's that netflix still sends out. let's bring in fox business network's dennis kneale. we pried you away from the television watching your movies to bring us this report, right, dennis? >> reporter: certainly did, jon. netflix rose to popularity on deals with hollywood and broadcasting cable channels to restream tv shows and movies but is netflix a threat to the partners that helped it grow? netflix saying this week its subscribers watched one billion hours of programing last month, about an hour per person. that is netflix first that billion dollar mark. research firm btig crunch the numbers. it makes netflix, quote, the most viewed cable network on television. it is in talks to open a slot on the dial for a netflix channel. netflix is going into competition with hollywood studios and cable channels that supply most of its content. spending millions of dollars on new shows and reprise of the cult hit, "arrested development". cable operators such as comcast, the nation's largest are fighting back. they're starting up on demand channels to compare with netflix. netflix ceo reed hastings insisted a, not a direct competitor of cable channels like time warner and hbo. he said last year, quote, we compete with hbo like baseball and football compete. people subscribe to both. just seven months later, last december he is changed his tune, saying quote, the competitor we fear most is hbo go. hbo is becoming more netflix-like and we're becoming more hbo-like. hbo has 30 million subscribers who a month. netflix has 20 million subs at only 8 bucks a month. jenna: welcome back, the question is at what everyone. right now some new information on a few crime point do their interests stories we're keeping an eye for you here on "happening clash so much that the now" including this one content guys cut off netflix? involving george zimmerman. he is waiting to learn if he jon: sounds like more will be released on bail battles to come. dennis, thank you. while he awaits the trial in >> reporter: yep. jenna: well a new study out the shooting death of florida teen trayvon martin. today suggesting taking high the judge is expected to doses of vitamin-d can help rule today. when we get the ruling we prevent broken bones in will bring it to you. older people but the meantime a texas death findings seem to contradict row inmate is granted an other recent studies on the appeal so new dna testing impact of vitamin-d. that is why we have can be conducted. dr. marc siegel here. hank skinner, once came member of fox news medical within an hour of excuse. a-team and professor at nyu he says he will sure he will langone medical center. be exonerated in the one looked at vitamin-d by stabbing death of his itself and vitamin-d and girlfriend and her adult children back in 1993. calcium taken together. that study says look that we'll stay on that story. a washington man accused doesn't appear to be much of groping three high benefit. do we take vitamin-d or not. schoolgirls last year. >> i like this study. the man insists that excess sieve caffeine intake led published in the "new him to commit the crimes. england journal of we'll have to check that one medicine". it a swiss study. with the doctors, jon. it started with your that's what he says. question, why are previous jon: i'm not heard being an studies conflicting? you know what they found out? a lot of times you study affect. >> i said i agreed with the these things you don't know if people actually take the dissent. the dissent felt very clear vitamin-d. they started out with it was unconstitutional. studies that people actually took vitamin-d. it was in the minority. that is important. now the supreme court has spoken, while i agreed with they cherry-picked better the dissent that is taken studies. they found especially over over by the fact the the age of 65 your risk of majority of the court says fractures go up enormously. it is a tax and therefore it is a tax. 75% of the fractures occur they have spoken. there is no way around that. over 75. and in those groups, they you could say you wish they looked at over 30,000 people, decided a different way but most of them women, 90% of they didn't. they concluded it is a tax. them women. they found those taking and the american people know that president obama has vitamin-d had 10% lower risk broken the pledge he made. jon: that is governor romney, of hip fractures and other kinds of fractures. clarifying his position on i was impressed with this. the supreme court's health jenna: so the age important? care decision, making it meaning can you actually clear he believes the bulk up on the vitamin-d as individual mandate is a new tax. younger person so when you meaning that the president get older you're in a better broke his promise not to position or is it really raise taxes on the middle about taking supplements class. byron york is chief once you reach higher age or political correspondent at the "washington examiner". older age? >> general that, that is a this is so interesting, great they're rye. byron, because, one of his we have to study that because they don't have that top campaign aides, eric answer. should you start at 40? should you start at 50. finnstrom, said earlier in another thing, i'm not in the week that the new, the favor of universally everyone taking vitamin-d new health care mandate is because i can check not a tax. vitamin-d levels and i do this puts the governor in the position of disagreeing do. remember we don't get enough with one of his own campaign sunlight. vitamin-d is absorbed from aides. >> well the bottom line is, sunlight. in northern climates where the court's decision to hold we're sitting you don't get enough. the obamacare mandate vitamin-d helps calcium constitutional under the taxing power as opposed to absorption. vitamin-d and calcium both say the commerce clause, it give you stronger bonls. threw the romney campaign if you have a vitamin-d for a loop. when eric finnstrom came out deficiency you have softer bones. how much do you need? i start off checking a earlier this week the governor believes it is a penalty, not a tax. level. jenna: do you take he did not make a gaffe. vitamin-d? >> i do. he was not going off the jenna: i have a list from "consumer reports." it is so reservation. he is saying what the romney many confusing. there are so many vitamins campaign thought at the time. but you're right, at the same time, republicans in you can take. the party, across capitol this list is from "consumer hill were coming out saying reports" talk about the most well, if the supreme court vitamins bem are ache says it is a tax, that means taking. vitamin b was the top. president obama raised then c, d, e, a, and then taxes. so you have this conflict between romney and the rest multivitamins. should we take all of this, of the republican party had none of it, a combination? to be resolved and it was how do we know what to take? resolved by romney coming out, you just saw it saying >> i will give you a strong the supreme court said it is opinion. a tax. i don't think multivitamins it is a tax. jon: it puts both campaigns are necessary. i like vitamin-d 3 has really in kind of a strange position. president obama's campaign calcium in it although we has said, we agree with the don't know if calcium should court ruling. be taken with vitamin-d. we just don't agree with the i check vitamin b-12 levels. way they got there. the romney campaign is saying we don't agree with as people get older they the court ruling but we agree with the rationale don't absorb it as well. that it is a tax. in industrialized countries >> boy, you're right. like this you don't have everybody has had to twist vitamin a deficiency or themselves into a pretzel on vitamin b deficiency. this one. this morning we have the you might have a vitamin obama campaign through the campaign spokesman and the president's white house minute b deficiency if spokesman both saying president obama believes the you're alcoholic. we don't need multivitamins mandate is a penalty. if you're eating that it is a, not a tax. so, but the president well-balanced diet. jenna: if you walk into the himself hasn't personally vitamin stories you think come out and spoken on this, as mitt romney did. you need to buy everything. so now romney come out and >> you don't. more than a vitamin. give the definitive word, we think it may help you yes he believes this is a decrease your risk of heart tax. now we're waiting for the president. disease. may help you against certain but his spokespeople say they believe it is not a tax, cancers. jenna: are all vitamin-ds that it is a penalty. created equal? are there certain brands or jon: it seems like nobody is price range. happy about this supreme court ruling except maybe you can get by one, get one justice, chief justice john free. get an extra vitamin c roberts, i don't know. >> you have to go to malta tablet or something. to figure out these, he left is there a way for us to the country shortly after shop efficiently? this. >> they're not all created this is the kind of thing. but i like site minute d-3. it is so big. it is having repercussions. word of caution. it is fat soluable and you takes awhile to sink in. could have too much. does this make sense? i will take 4,000 units. what does it mean for the campaign? but i will tell you this is i will take 5,000 units. do not do that. a manifestation, a new that is too much. manifestation of a 1,000 units a day. continuing problem for they're recommending 800 mitt romney because what he passed in massachusetts, units a day. more than a 1,000 units a romneycare, has many day you better have features like mandates, physician involved. i think a physician should penalties, subsidies, be involved period. exchanges, that are, that it there is toxic range here if you take too much. shares with obamacare and it jenna: good advice for us is very difficult for romney today. good to know you take your to create a line and walk it vitamins, doc. in which he defends what he >> some vitamins. did as governor of jenna: dr. siegel, thank you massachusetts but criticizes very much. what president obama has great to see you as always. done with obamacare. jon? jon: a fox news alert for jon: yeah, but isn't what you now, jenna. the president says, isn't george zimmerman will be allowed to be released on that, i mean, so much attention is being paid to bond in his, in the trayvon whether or not mitt romney martin shooting. disagrees with his campaign as you know he awaiting trial on a second-degree aide, eric finnstrom, about murder charge. he had been out on bond whether this is a tax or after an april bond hearing not. but ultimately isn't but then prosecutors say he misled the judge as to his president obama's position less tenable? financial resources. >> absolutely. he had raised, along with but we first have to find out exactly what president obama's position is. his wife, $135,000 in an we heard his spokesman this online contribution fund for morning and his campaign spokesman saying he his defense. the court didn't learn about disagrees with the supreme court to the extent he that until later and so believes this is a penalty, not a tax. george zimmerman went back i think we'll have to hear to jail. from the president himself. now, he can get out if he see what he says about it. but, the president is going posts a one million dollar to have to be held to the bond. generally in the bond, bail same kind of scrutiny on this, that governor romney bonding process you can get has been. jon: all right. out with 10% of the posted byron york, from the amount. "washington examiner". so if he can come up with byron, thanks. >> thank you, jon. $100,000 in cash or property, jenna: the final report on a george zimmerman will be out deadly air france crash back of jail a second time awaiting trial for the in 2009, what caused this flight to go down in the murder, for the second-degree murder of atlantic killing more than trayvon martin. we'll keep you updated here 200 people? on fox. meantime a glimmer of hopefully some answers and we'll tell you those hope in the struggling labor straight ahead. some new signs unions market as jobless claims dropped to their lowest levels in weeks. are shrinking. what declining numbers could is it a sign of a rebounding mean for this year's presidential election. economy or just a pit stop on a downward spiral? 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[ male announcer ] for our families... in your fight against bugs. our neighbors... ortho home defense max. and our communities... with a new continuous spray wand. america's beverage companies and a fast acting formula. have created a wide range of new choices. so you can kill bugs inside, and keep bugs out. guaranteed. developing smaller portion sizes and more low- & no-calorie beverages... ortho home defense max. adding clear calorie labels so you know exactly what you're choosing... and in schools, replacing full-calorie soft drinks with lower-calorie options. with more choices and fewer calories, america's beverage companies are delivering. jon: a final report released today on the deadly crash of air france flight 447. the plane heading from rio de janeiro, brazil, to paris plunged into the atlantic three years ago, killing all 328 people on board. harris faulkner from the newsroom. >> reporter: there was no jon: the london skyline mystery around this, jon. looks a little different it has been a long search today, standing more than for what happened. it took years to find the 1,000 feet tall, the shard bulk of the wreckage and towers over the city and the bodies from the air france tallest building in european flight had 47. union. most of it was in the it was unveiling featuring a mountain range deep in the ocean. dazzling laser light show is most investigators determined plane crashed tonight. because the speed sensors on it was sketched on the back of a restaurant menu in board gave the wrong reading. the plane climbed to 38,000 berlin 12 years ago and it was almost not built. feet when the stall warning construction funding stalled was triggered and the plane during the investment stalled. the engines were working but crunch. a big investment from qatar it descended quickly into the atlantic. helped save the 95 story they say it likely took just 3 1/2 minutes to hit the skyscraper which cost, $700 million just in time for the water belly-up. in fact, it was intact, most owe rim picks -- olympics. of the parts. jenna: brand new numbers on but oxygen masks were never the job market head of the deployed, indicating the big jobs report tomorrow cabin did not depressurize. starting with this one, what a painful way to go for 374,000 americans filed for unemployment in the latest those people. week. that is the lowest level this is frighting. we've seen in six weeks but the data recorders that if you take a look at the last several reports the pilots failed to talk about repeated stall warnings and weekly number is still too had no altitude training to high to really indicate any deal with it the situation. interesting to note as well, substantial job growth. the plane was passing robert gray with the fox business network is here through an area called the with the roundup from all the things we saw today. robert? intertropical convergence >> reporter: jenna, good zone. morning. that's right, we did see an it is known for volatile improvement, better than economists expected on weather and a belt of low average at least and down fresh spur that wraps around the planet. from last week. what we've seen every week this year and going back to jon, you and my dad are last year we've seen the pilots i heard this from you prior week revised higher. and him before. investigators say the that happened higher. egregious error made by the 388,000, that was revised up pilots, after the plane stalled, they pointed the a couple thousand last week. nose up instead of downward this month's number is a grain of salt but to recover. 228 people died on the trip nonetheless a move in the right direction for the jobs from brazil to france june market. below 380 for the first time 1st, 2009. since middle of may. jon? jon: to make clear to february and march keep in viewers we're not talking mind we were getting closer about a engine stall. to cracking the 35,000 we're talking about a wing level. stall where the air sort of a lot of economists peels away from the wings. attributed to that, better they pointed the nose of the than expected weather and mild winter where we plane up so much that the borrowed some of the jobs. air flow going over the wing particularly think about construction jobs at that was not effective and the particular time versus a slowdown in hiring we saw plane dropped like this and for may and june. hit belly first even though this week's economic data, the engines were working of course calling into perfectly. if they pointed the nose question whether or not the fed will be acting. down and they would have we've seen slower picked up airspeed and manufacturing numbers. everything presumably would that is borne out with some have been okay. of the numbers. as far as private sector >> reporter: you're pointing jobs, jenna, we had better out the clear difference, than expected report from that high altitude training adp. they are of course a payroll you got, they didn't. processor out, 176,000 jobs jon: they got a lot more training. created well above the there was also a problem estimate. learned with the plane, that better than may which was particular airbus. revised higher as well. one pilot was trying to push again small business, the the nose down and while the engine of job growth. other pilot was pulling back 93,000 jobs coming from that and the two overroad each group. other. medium-sized jobs getting in just a very strange and very on action little more than sad situation. >> reporter: indeed. we've seen this spring, up jon: harris, thank you. 72,000 in that month. >> reporter: schur. jenna: back to some politics challenger, gray, christmas now, new signs of decline in out with a separate report on planned layoffs. union membership in this down from a year ago. country. of course we get the big organized labor apparently struggling nationwide. number the from labor some say it may be a factor department. 90,000 jobs, that is the in this election and expectation for tomorrow. potentially open up an remember, may was just opportunity for republicans 69,000, a big to win some votes. disappointment. we'll see. jenna: we'll look forward to doug mckelway live in getting that number and more washington with this story. insights what the job market doug? >> reporter: good morning, actually looks like. jenna. robert, thank you so much unionized labor makes up the for that. >> reporter: you're welcome. smallest percentage of the jenna: robert mentioned the report from challenger, gray american workforce in over & christmas. 60 years. with us, john challenger, one-third of american workers belonged to unions ceo of challenger, gray & back in 1945. but in 1998. christmas to talk with us it was down to 13.9%. more about jobs. john, where do you see job growth? >> job growth is occurring adding to labor woes, unions in areas like health care took heavy hits especially which has been a bulwark of in the public sector as they this economy but also technology is creating jobs, the automotive sector has focus, blue-collar and been strong all there has industri, declined been recent concern maybe that is slowing down. and moved overseas. professional business defeat the pub sector vote services like accountants, those kinds of jobs, have also been growing. in wisconsin dealt a severe jenna: taking a look at your blow to organized labor. report, you said planned so did the supreme court layoffs are down, when you ruling. they ruled seiu, the service look at this most recent month of june. in fact down to 13-month employees international union must earn approval low. but if you take a look at this year overall, we still from dissenting members have seen more job cuts this before they collect dues to pay for political campaigns. year than last year. so how do you see this speaking 7-2 majority, information? justice alito wrote, this are we making any gains in the job market or is this aggressive use of power by the seiu to collect fees still sort of stumbling along? >> well, this is the third from nonmembers is indefensible. it is that kind of pressure consecutive spring, early summer, where the economy imposed by unions on its members that helped turn off kind of started really kicking and then we hit the some workers to big labor. spring, summer and it slowed >> the membership in the down. american federation of state, that happened this year. we saw a heavier job cuts in county and municipal employees has fallen by more the first quarter and in the than half since union second quarter than we saw membership and paying union the year before but this dues became voluntary. number today, just 37,000 part of the reason the unions have so much of the job cuts announced is power, in most states workers don't have any significantly down from what choice. they simply have to pay the union dues or get fired. we saw in may. that suggests maybe we're >> reporter: but union about ready to get past some members make up a sizable of these doldrums the percentage of democratic economy has been in. jenna: i have only 30 party base. no wonder the obama campaign seconds here. is making a strong appeal to you mentioned a pattern that core constituency as repeating itself. last year we saw summer vice president biden did doldrums and a pickup in the earlier this week speaking fall. to the national education seems like, at this point association. >> but there's a pretty you might be expecting, a pattern to repeat itself uniform view held by mr. romney and republicans again? >> well, certainly we're in the united states congress today. hoping for that. they criticize you. there are some real concerns on the horizon, like there and they blame you. always have been but looks they make you the fall guy. like this economy, it has been coming out of recession they should be thinking of for the last three years, is ways to help you make your kind of on this, surge job easier, not more forward and take a breather difficult. and surge forward and take a instead they hector, they breather. we can't seem to get steady lecture, and they blame you. momentum going but today's set of reports certainly and they call you selfish. suggests that on a labor >> reporter: another huge front things seem to be problem for labor, american ticking up. workers continue to jenna: interesting way to put it. take a breather. demographic migration to go forward. those traditionally ant at take a breather, go forward. john, we'll consider that this union -- anti-union tomorrow when we see our big jobs number. thanks for the time today. southern states because always nice to see you. that's where the jobs are. >> thanks, jenna, guess who jenna: doug, thank you. shipped some very putterful -- >> reporter: my pleasure. jon: take a live look at new york city's central park. temperatures are soaring powerful computers to toward the 90s. north korea and iran, will there be any relief possibly illegally? it was your friends at the coming? united nations. we'll get you a foxcast. that is sparking new concerns about the u.n. president obama hits the sidestepping restrictions road defending his economic the rest of the world is policies in a couple of key expected to follow. battleground states. a 4th of july tragedy, a will his message resonate with blue-collar voters? yacht capsizes off new are they with him? york's long island. that's coming up in a fair three kids are dead. and balanced debate. jon: a fox news alert right now, the president is in ohio, essentially in the, well, it's in the northwest corner of ohio. toledo area. had a momentary brain freeze there. it is a campaign appearance, but he is expected to announce some get-tough sanctions against china for its trade policies. we're going to take a listen to the president's speech for just a moment. [applause] >> i love you! it's great to see ya! [cheers and applause] jenna: we have different news for you but there is no i hope everybody had a wonderful end in sight to the sizzling fourth of july. [cheers and applause] heat across the country today. in fact right here outside of our studios in new york we had, we invited some people city temperatures are heading right into the 90s over for a again and the big question [laughter] for some of us in the had a chance to say thank you to country today, how long will the heat wave last? let's see in janice dean our incredible men and women in knows. uniform -- ms. -- jd, how long? >> well, for some of the [applause] and we're so proud of them. country, monday, tuesday. and then, and then it was and i was thinking, as we were in the break it would malia's birthday yesterday. [applause] be really good is a fox news she was 14 years old. kiddie pool. and -- i know, it happens too jenna: for us or for the kids? fast. don't even remind me, she's >> for everybody. going into high school next jenna: for everyone, okay. year. which means that she's, when she jon would look nice. >> our promotions department was small, i could say all these needs to get on that. fireworks i had arranged for her look at heat advisories. birthday. [laughter] we're making light of the situation but it is really dangerous. we're talking about heat but she doesn't believe me indices, feels-like temperatures upwards to 115 anymore. [laughter] so, now, unless you have been hiding out in the woods somewhere, you are aware of the fact that it's campaign season. >> yeah! [cheers and applause] >> get fired up! t campaign season -- it's campaign season again. i understand it's not always pretty to watch. there's been more money flooding into the system than west virginia ever seen -- than we've ever seen before, more negative ads, more cynicism. most of what you read about or hear about on the news has to do with who is up or down in the polls instead of what these issues actually mean for you and for america. so it can be frustrating. i know sometimes it may be tempting to kind of turn away from all of it and just turn off the tv, tivo everything that you want to watch so you can skim over the commercials. it's easy sometimes, i think, to lose interest and lose heart when you hear what's going on in washington. and i'll be honest with you, i think there are some folks who are betting that you will lose interest. that that will, that are betting that somehow you're going to lose heart. but here you are in the heat. [cheers and applause] i'm betting you're not going to lose interest. [cheers and applause] i'm betting you're not going to lose heart. [applause] i still believe in you. i'm betting on you. and the country is betting on you, ohio. [cheers and applause] because you understand that even though politics may seem real small right now and may seem real petty, the choice in this election could not be clearer. and it could not be bigger. the stakes could not be bigger. >> you can do it! >> i know. [cheers and applause] what's going on in this election is bigger than just a choice between two candidates or between two parties. it's about two fundamentally different visions of where we go with the country. see, i believe in an america where no matter who you are, no matter what you look like, no matter where you come from, you can make it if you try. [cheers and applause] we've never been a country that, we've never been a country looking for handouts. we're a nation of strivers, risk takers, entrepreneurs, workers -- jon: we are not in the business of giving either campaign free time on television to make their campaign points, and the president seems to be in campaign mode right now. we had been led to believe that he would be announcing some, perhaps, sanctions against china because of some business dealings that they've had with the u.s. that the administration doesn't like. at any rate, we will monitor what the president has to say. if he get toss that china news, we'll bring it to you live. in the meantime, if you'd like to watch his campaign speech, watch it live on foxnews.com. >> well, now let's turn to one of our top stories. iran launches a new military threat against the united states and israel. i'm jenna lee, so glad you're with us today. jon: i'm jon scott. a commander of iran's revolutionary guard boasting about plans to attack and destroy u.s. military bases across the middle east, to block shipping through the strategic strait of hormuz and potentially fire missiles into israel. leland vittert is live in jerusalem with more on that. leland? >> reporter: hi, jon. what is so interesting now is the iranians are changing their rhetoric a little bit, not only going after israel, but also the united states and, in a sense, the entire world economically. the latest video coming out of iran during their war games this week is of them firing anti-ship missiles at targets there off the coast of iran. it's a pretty thinlyeiled threat that if attacked, iran will then go after some of those world's largest oil supertankers that carry 20% of the world's oil every day through the straits of hormuz. and you can imagine the disruption if the iranians ended up hitting one of those large oil tankers. u.s. access in the region -- actions in the region continue to increase. there is a carrier battle group there, also mine sweepers to clear the strait of hormuz if and when the iranians mine that area. and there is precedent for the united states military providing escort with navy ships to oil tankers in times of conflict. obviously, that would ratchet up the stakes very, very quickly. the other thing the iranians are doing are blasting off the missiles putting the bull's eye at anything in the middle east, what the iranians say they are going to target is u.s. bases. those would be fired at within minutes of an attack on iran, and we've highlighted those bases in red including the fifth fleet headquarters in bahrain, base in kuwait and also the large u.s. military operation in afghanistan. in all, nearly 120,000 u.s. soldiers conceivably could be in range of those iranian missiles. jon, back to you. jon: ominous times there in the middle east. thank you. jenna: the pentagon responding to the threats with a military buildup in the gulf. joining us now, general jack keane. nice to see you, general. >> good to see you, jenna. jenna: so this buildup, here's the way it's described: significant military reinforcement in the persian gulf. what is significant about it? >> well, mostly, it's being able to deal with the straits of hormuz, certainly. they brought in some additional mine sweepers to be able to deal with the mining threat that the iranians have. and also significant we brought in some strike aircraft, air force strike aircraft, f-15s and f-22s and put them at different bases in the gulf area. i think it's a precautionary measure on our part. i believe the iranians are mostly saber rattling here. they do not want a war with the united states, to be sure. the united states is the only country that can force a regime change, and they want no part of that. having a nuclear weapon, after all, is all about guaranteeing the survivability of the regime by having a nuclear weapon. jenna: general, let's talk about some of the patterns we've seen. we've seen this before, things get tense over the strait of hormuz, than they dissipate, is there anything different this time around, or do you see it following a familiar pattern that really doesn't produce much? >> well, i think it's pretty much the same. there are a couple of variables. certainly, we're having diplomatic talks, and that's part of the reason for the saber rattling by the iranians. their economic sanctions are having some impact. you know, inflation's about 50%, their currency is devalued, there are food shortages, and now the eurozone oil embargo's taking effect. that hasn't been felt dramatically yet, and also some further sanctions on the central bank. but i don't believe that khomeini is going to give up his nuclear weapon because of economic challenges. you would have to have crippling sanctions that there's economic collapse which is forcing the survivability of the regime. then you probably would get some movement out of him in terms of the nuclear program. but economic setback is not going to move khomeini, i don't believe. jenna: general keane, just quickly here, some have been critical of the united states. the economic sanctions, they say, are equivalent to a blockade, the cyber warfare is equivalent to war. what do you think of those that are critical of our moves so far, and what would be your next move here? >> well, first of all, if you have a serious military option on the table, you know you do not want to have to execute that. so, therefore, short of military action and war there could be a lot you'd be prepared to do. crippling economic sanctions, very aggressive covert cyber attack on the iranians not just their nuclear program, but on economic and military targets to be sure and other espionage that we can do. and all world trade should be banned with the iranians. that would absolutely put them on their heels. and i still believe that's a far better option than actually military action. jenna: general keane, nice to see you today. thank you for the time. >> it's good seeing you, jenna. jenna: it's a story we'll continue to follow. thank you, sir. jon: a fox news alert for you now, a father and son have just been charged in the shooting of an immigrations and custom enforcement agent. the shooting happened tuesday morning in hidalgo county in south texas along the mexico border. we told you about it on "happening now." prosecutors say the unidentified agent was conducting surveillance. well, now pedro alvarado and his son are charged with assaulting a federal officer and using a firearm during a violent crime. the agent needed surgery but is expected to fully recover. more on this developing story as we get it, and "happening now" will be right back. 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[ female announcer ] new ensure clear. nine grams protein. zero fat. twenty-one vitamins and minerals. in blueberry/pomegranate and peach. refreshing nutrition in charge! jenna: right now the chairman of the house judiciary committee is raising some serious questions about a possible conflict of interest by the justice department, and it involves money the department paid to an outside company to help challenge the texas voter identification law. we're going to find out more about this with our chief washington correspondent james rosen. >> reporter: good afternoon. we are on the eve of a major federal trial that pits the obama justice department against the state of texas, and at this moment a top republican lawmaker is crying foul. attorney general eric holder is fighting in court to block texas from enacting a law passed 14 month ago required all voters to possess a valid state-issued photo id. doj's civil rights division argues it will disadvantage already disenfranchised minority communities. an expert witness retained by doj, a harvard professor, determined the percentages of whites and minorities that register to vote in texas and that do and do not possess state-issued photo ids. he testified that he found nearly all persons identified as white, black or hispanic identified themselves but check out the web site. clients include virtually every major liberal power player in politics from emily's list to planned parenthood and obama for america. indeed, the firm describes its mission as, quote, to provide progressive organizations with the data ask services needed. house judiciary committee chairman lamar smith, a republican from texas, wants attorney general holder to explain why doj apparently without any competitive bidding process chose an unabashedly partisan firm to provide data for an ostensibly nonpartisan governmental agency. quote, there is at least the pearns, smith wrote to the ag this morning in a letter obtained exclusively by fox news: >> reporter: the litigation that will settle this dispute, texas v. holder, is set to begin on monday in d.c. federal court. follow me on twitter @james rosen at fnc, and i'll tell you more about this professor. jenna: james, thank you. jon: new concerns from the state department now about sensitive technology shipped to iran and north korea. where'd it come from? the united nations agency which instituted sanctions to keep that kind of equipment out of the hands of the rogue regimes. chief intelligence correspondent catherine herridge joins us live from the state department in washington. can you explain this one, catherine? >> reporter: well, jon, thank you and good afternoon. these documents first obtained by foxnews.com are now at the center of an international investigation into whether a u.n. body violated sanctions by shipping equipment to iran and north korea, and new revelations surfaced at the house judiciary committee last week. >> it's an outrage. really, it's an outrage that wipo would be transferring material violating the sanctions that we have to north korea and iran. and this stuff, i mean, it's basically funded by u.s. inventers. >> i have to tell you that the leadership that the u.s. patent and trademark office was disappointed when they got, to say the least, that information. >> reporter: the reporting by foxnews.com in april was the catalyst for the information into the world inti lek chul property organization also known as wipo. the shipments took place in late 2011 and early 2012 and were financed through the beijing office of the united nations' development program. in the case of iran, wipo committees -- computer shipments, pardon me, included 20 hewlett-packard desktop computers, and this appears to be in violation not only of the u.n. sanctions, but also hewlett-packard's own corporate restrictions on transfers to those regimes. the is a member of wipo but was apparently in the dark about these projects and these sipments. -- shipments. fox news was told that so far responses have been quite limited. jon: catherine herridge at the state the president for be us. catherine, thank you. >> reporter: you're welcome. jon: a new mars rover making its final approach to the red planet, but with all the budget be our final missionogram, to mars? jenna: plus, exactly one year ago today came the bombshell verdict acquitting casey anthony. so what have we learned since then about her daughter caylee's mysterious death? our legal panel weighs in next. with scottrader streaming quotes, any way you want. fully customize it for your trading process -- from thought to trade, on every screen. and all in real time. which makes it just like having your own trading floor, right at your fingertips. 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[ all ] i'm with scottrade. >> as to the charge of first-degree murder, verdict as to count one, we the jury find the defendant not guilty, so say we all, dated this 5th day of july, 2011, signed foreperson. jenna: that was one year ago today, casey annie found not guilty of murdering her 2-year-old daughter, caylee, in a decision that truly shocked the country. and now in a new book, her former lawyer says he originally thought she should take a plea deal before the trial ever happened but came to believe her story that her little girl's death was an accident. >> i'm disturbed that when a person is found not guilty in a court of law and justice has been served that justice isn't respected. and i am powerless to sit back and just watch how all of this happens. so if injustice can happen to casey anthony, it can happen to earn. >> jenna: one of the questions we're asking today is, you know, what can be learned really from this case? do you think we learned what jose baez said if you're found not guilty, you can never truly recover, and that's something we could all suffer from? is that the big takeaway from this trial, jen? >> i think he makes a good point, there has to be respect for justice, for our system and, listen, she did earn an acquittal. but at the same time what we have learned is that juries are wildly unpredictable. and i agree with baez. had i been her defense attorney and they had offered that 13-year plea deal, i would have been begging her to take it because despite the fact the prosecution's case had holes, there was plenty to convict her. jenna: doug, what's your takeaway? what did we learn her? >> we've learned that prosecutors shouldn't be swinging to the fences and committing to a theory they can't prove. notice i didn't say that didn't happen, they couldn't prove it. interestingly enough, i'll defend the prosecutors in the sense that the body had decomposed badly over a long period of time, and they felt the defendant and those around her were responsible for that, so why should they benefit and, therefore, we're going to go for murder. but if i were sitting in a conference room with my supervisors, jenna, i would say, look, we can't prove murder, she obviously administered chloroform which is felony child abuse -- and hold on, because i see you shaking. felony murder was in the jury instructions, okay? >> right. so it's about the strategy. jenna: that's a big takeaway. but what about finding out what really happened to little caylee? jose baez had this to say, he said we need to talk about whether an actual murder occurred, and he says that's where the focus should have been, and it never was there. >> the problem was she was not forthcoming, and there's no question that she has information, that she has some causal connection to this death whether it was accidental. i mean, they've always claimed it was accidental. in fact, i believe baez said in his opening statement she drowned in a pool. of course, they never proved that up, so there are questions. but at this point in the game i seriously think we're going to have to just be comfortable with the fact that we're not going to know what happened to caylee. jenna: you see this sweet little girl on the screen, we've seen her face so much, doug, and we just want to get some answers. who's out for justice for her? >> all you can bring to the table is the ability to sherlock holmes what happened. in my opinion, basically, i mean, dr. baden -- i don't usually refer to specific experts -- he said, doug, i've never seen a case in 40 years where somebody administered chloroform to kill somebody intentionally. the kid's an infant, you can suffocate the trial. and all of the panicking and the covering up is consistent with an accident because if you're a cold-hearted murder -- jenna: you still think she did it? >> accidentally. she administered chloroform, with the caveat that i wasn't there, the child then die inside an accident. that's still a crime. >> that may very well be the case. again, we're just speculating. >> yes, i am. >> but at the same time it's important to understand, i think, that she was a lucky lady. nine times out of ten this jury would have come back guilty in a case like this, and i happen to believe if she was a man or each a woman of color, she would have been found guilty because i believe the jury had a hard time wrapping their head around this sweet-looking, young woman with this beautiful child had the capacity to do something so evil. jenna: in your experience, has that been the case -- >> yes, absolutely. this evidence would have convicted nine out of ten people if they didn't look like -- >> i think that's an excellent point. and the fact of the matter is, sadly, and you have to front that for everybody to discuss this tremendous subliminal bias, and to work off that point. had this been somebody from a very, very low strata in society, the thing wouldn't have been on television, it wouldn't have been covered, and there is a subliminal bias by law professors, and they're right. but the fact of the matter is this jury was badly confused. they thought it was murder or nothing. when the legal reality is, and it should have been explained more simply, it's either murder, but it can also be what's called a lersz. jenna: i have to run but quick scenario, do you think anyone else will be brought to trial? >> no. >> absolutely not. >> no. >> i think it's over -- jenna: sad case. >> no, i don't think so. jenna: a little girl, she's dead. nothing changes that. >> terrible. jenna: nice to take a look at this one year later to try to see can we take anything away from this, and certainly a case that will be studied for a long time to come. jon: can't believe it's been a year. in the meantime, there is a mission to mars underway. it's about to arrive on the red planet. what budget cuts could mean to america's future in space. is in the last mars mission maybe ever? plus, a big celebration turns into a major disappointment. what went wrong during a big city fireworks display? did you hear about this? [ male announcer ] let's say you need to take care of legal matters. wouldn't it be nice if there was an easier, less-expensive option than using a traditional lawyer? well, legalzoom came up with a better way. we took the best of the old and combined it with modern technology. together you get quality services on your terms, with total customer support. legalzoom documents have been accepted in all 50 states, and they're backed by a 100% satisfaction guarantee. so go to legalzoom.com today and see for yourself. it's law that just makes sense. jon: an investigation underway right now into a new york tragedy. after a yacht taking a 4th of july cruise top watch fireworks capsizes in long island sound. harris faulker is working the story. she is live at the breaking news desk. >> reporter: jon, as details become clear on this story it is heartbreaking. the victims that died are three children, 12-year-old boy and two little girls ages 11 and 8. they were inside the cab bin in this yacht. they had to dive down obviously to find their bodies. 27 people on this 34 foot boat watching fireworks. what they know there was a thunderstorm moving through moments after this capsized according to witnesses but they don't believe the wind were above 15 miles an hour. they're not sure if weather played any role in this. number two thing they're looking at possibility why this tip would have tipped over is a wake from another boat. what leads them to that conclusion is one of the boaters took part in rescuing plucking some of those people out of the water, because there were a lot of boats in the water at the time watching fireworks, the boat seemed to shift right and tip over as if hit by a large wake from perhaps another boat. the third thing they're looking at, i mentioned it was 34 foot long and 27 people on it they're looking whether there was overcrowding on board. the saddest part about the 24 people getting out are okay. the three children obviously didn't make it. jon: what a sad story. harris faulkner. thanks. jenna: now fox extreme weather alert. scorching heat gripping much of the country right now and it is expected to last well into the weekend and maybe early next week. we'll go to steve brown. he is live in chicago where an excessive heat warning is in effect from 6:00 p.m. eastern time. steve, you can report inside, we're okay with that, in air-conditioning if that is what you prefer? >> reporter: i appreciate the option. we may take you up on it a little later in the day as it gets warming. in milwaukee between the summer fest music festival and the fireworks display at veterans park, they treated 70 people for heat related illnesses. here in chicago we have a lake breeze that helps cool the city. 95 degrees. may end up near the all-time high temperature that the city has on the record breaks, excuse me, at 105 degrees. record-breaking temperatures all over the region. in st. louis yesterday, at some independence day festivities, people there were dealing with temperatures between 106 and 107 in some of those locales. so extraordinarily high. a lot of public agencies urging people to please stay inside if they can and setting up emergency cooling stations. that is all over the place. another impact that is being seen and having quite a heavy impact as a matter of fact, are what is happening with the roads. because of heat you get the opposite of freeze shift or frost shift, you get heat shift where roads buckle where pieces join up. that happened in chicago and a number of different places up in milwaukee. you have crews trying to repair this, repair these roads in this heat. a lot of these roads are being shut down. it is a real difficult situation. couple this, jenna, many midwestern states are in a rain deficit. haven't gotten as much rain as they normally would have this time of year. some places it is an inch less. some places three inches less. they're looking at drought conditions in places like northern indiana. jenna: not good for the corn farmers, steve. thank you very much. amazing to see the roads like that today. steve brown, thanks. jon: nasa's latest mission to mars is sending a rover named curiosity to explore the red planet. it is due to land next month but budget cuts could mean this would be the last visit to mars for quite some time and it is raises the questions about the future of america's space program. let's get into it with tom jones a frequent guest of ours, a former shuttle astronaut and fox news contributor and author of planetolgoy. derek pits from the franklin institute plan nair plan nair -- planetarium and. tom, to you first, talk about the mission that is the last marches mission plan for quite some time. it will be a pretty technologically sophisticated thing to get the lander on the ground on the martial surface. explain what they will do. >> very. it weighs the ton, size after mini-cooper. so they will lower it with rockets suspending the rover from a harness and as the rover touches gently down the rocket system will cut the at the time they ares and fly away. it is called a sky crane. never been flight tested because we don't have marse. nasa is putting 2 1/2 billion dollars in faith on this system. they have done a lot of component testing. but the real proof will be on august 5th. jon: derek, if they can get this thing onto the surface of mars safely and effectively and the thing actually works, it is nuclear powered as i understand it, what do they hope to learn? >> what they're really looking for are environments where it may have been possible for life to flourish on mars in the distant past. so the analysis that is going to take places to see what the soils look like and see what chemical components are there that might indicate that the environment was right at some time for life to have existed on mars. jon: all right. so if that's true, scott, i mean, if they, if they figure out one way or the other, i mean this mission isn't going to tell us, yes there was life or no, there wasn't, is it? >> well, you know, it's science to it depends on what you find and what the data tells us. you might be able to determine life did exist. of course the first thing you have to do are the conditions or were the conditions proper for life to exist? but the big question is, not did life exist but will we send life to mars sometime in the future? jon: that is the big question and because of the budget situation, tom, doesn't look very likely. nasa's budget is shrinking, right? >> the overall budget is shrinking. it is about $18 billion this coming year and nasa's budget for space science and planetary budget for mars in particular is dialed back 20% lower than it used to be. that means no more big flagships missions like the curiosity rover. there might be future orbiters. nasa pulled out of european collaboration on future exploration. we're releasing number one lead on mars exploration just at a time we should be capitalizing on the experience. jon: i'm envious of both you and scott. astronauts and scott carpenter and others were my heroes of childhood and yet manned spaceflight is a very expensive thing. everybody says you can do it cheaper with robots but even this mission was supposed to cost, what, $600 million in the initial going and turned out to cost, 2.6 billion? how do you justify that kind of expense? tom, let's give you a whack at that one? >> right, overall this kind of science exploration is what the u.s. excels at. fills people with awe and wonder and inspiration when we uncover new secrets of the origins of life on mars for example. and then human explorers i hope will one day be able to follow up these robotic discoveries and get to the rub of these questions. is there life there now? did life exist there in the past? that would really answer the question are we alone? that is fundamental. i think that is what we should be pursuing and human explorers have a role in that. >> you spent a lot of time in the franklin institute looking up at mars. what would you like this probe to answer, this explorer? >> as tom said the question we're trying to figure out were conditions ripe on mars for life in the past. and as scott said, could there be any life in the future? will we find anything now, actually? these are all really important questions because the big question of all this astronomical research is the very big one of, are we alone? the question we have to ask ourselves actually, do we want to lead in this kind of space exploration? if we do, we have to step up to the plate. if we don't want to lead, then we have to follow. jon: scott, i'm not one of those who thinks the moon missions, for instance was wasted money but you know it's a time of trillion dollar deficits in this country. how do you justify spending more money to go to a place like mars? >> well, it's just like when i balance my checkbook and like you do at home. you decide what's important and you decide what you spend your money on. right now we spend less than one half of 1% of the federal budget on nasa. if we just increased it back to what it was in 1991 at 1%, nasa could do a lot more of the things put on its plate and do them a lot better. so, i tell people, we spend a lot of money on apollo and going to the moon and the big benefit wasn't that we got a lot of technology out of it. we motivated a whole generation of scientists an engineers. doing great things in space will help the u.s. lead in space exploration and we'll get the next generation prepared to lead us into the future. jon: but, tom, i know that you're also one of those who has said that private industry can be doing a lot of the jobs that nasa has been doing up till now. >> well, it has a role and in particular can takeover some of the routine cargo and transport to the international space station but, commercial industry is not going to do mars exploration. this is where nasa excels. this is where we're at the cutting-edge of technology. we're the only country that knows how to land big things on mars and do science there. i think we should not give away the lead, that superiority. that is technological edge that could be very valuable across the technology board and we shouldn't be withdrawing from the enterprise just when we're starting to hit the big payoff. jon: let's hope it works and gets to mars and makes that very tricky landing in august. tom jones, lawrence pitts and scott horowitz. thanks. >> thank you, john. jenna: new critics of the health care law finding ways to repeal and replace it. we'll look at the range of ideas and actually keeping some key parts of the law. tough holiday week to make a whole lot of what is happening here in the markets. kind of a quiet day usually on wall street during these holidays. we see the dow trading lower by 30 points. we'll be back with more "happening now.". are you receiving a payout from a legal settlement or annuity over 10 or even 20 years? 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[ female announcer ] new ensure clear. nine grams protein. zero fat. twenty-one vitamins and minerals. in blueberry/pomegranate and peach. refreshing nutrition in charge! jon: president obama, we showed you a little bit of it earlier, he is in ohio today shoring up support in that key battleground state but there are a couple of states that are very close and very important in this presidential election. joining us now for a closer look at the political maps of ohio, virginia and north carolina, larry sabato, director for center of politics at the university of virginia. your guy who put together on this piece on ohio says it doesn't carry the electoral punch that it once did. is that because of the shrinking manufacturing base and shrinking population? >> yes. which results in of course fewer electoral votes. jon: right. >> ohio is down to 18. used to be more significant. it is still very important. it is still a key swing state. jon: that is explains why the president is there today to try to tout his auto bailout plan. >> yes. and he has got a lot of pieces to put together in ohio. he's got to try and minimize what is a clear republican resurgence in the more rural parts of ohio, outside the key urban areas of cleveland, columbus, and cincinnati. jon: the reagan democrats, the blue-collar workers who voted ronald reagan into office, they're not necessarily turning out in ohio for president obama? >> clearly he is having some problems there, jon, there is no question about it. you know, it is interesting even john kerry did better in many of those blue-collar counties than barack obama did. of course obama carried ohio fairly handily and carry kerry lost ohio. that is why he lost the 2004 election. president obama has an enduring problem with many of these blue-collar workers in ohio and elsewhere. jon: let me start with the ohio, "real clear politics" average of the polls. i'm going to show ohio first. i hope i'm taking these a little bit out of our intended order. in ohio, according to "real clear politics" average of the polls, president has 46.2%. governor romney 43.6. pretty tight race. if you go to north carolina, same thing. the positions are reversed. mitt romney leads in north carolina 47.3, to 45.3. north carolina is a state that the president is banking on. it is part of the reason the democrats are holding their convention there, right? >> well, that was the original intention, jon. look at the crystal ball here, we had north carolina leaning republican. we think that romney will carry it. it won't be by a landslide but it will be by enough. president obama won it by 14,000 votes. he clearly slipped in a lot of key places in north carolina from '08 to 12. jon: virginia real quickly, we have to mention the president up by a couple points in virginia as well. but those three states are going a long way determining which of these men win the presidency in november. larry sabato, from the university of virginia. larry, good to have you on. >> thanks, jon. jenna: a fireworks fiasco in a major city. why what was supposed to be a spectacular display lasted less than a minute. ok! who gets occasional constipation, diarrhea, gas or bloating? get ahead of it! one phillips' colon health probiotic cap a day helps defend against digestive issues with three strains of good bacteria. hit me! [ female announcer ] live the regular life. phillips'. [ female announcer ] live the regular life. a little snack. on a wednesday. at 2 am. get that great taste anytime with kingsford match light charcoal. st $14.99. start with soup, salad ancheddar bay biscuits then choose one of 7 entrees plus dessert! four perfect courses, just $14.99. come into red lobster and sea food differently. jenna: you know the drill on july 4th. you get everybody ready, your kids, your friends, your spouses. hopefully, just one spouse, right, not plural. you know what i'm saying. get the cooler, blanket. you wait for hours in the perfect spot. maybe pay for parking. and then this happens. [shouting]. jenna: and that's it. wait for it just a second here. it is a big fat fireworks failure. harris faulkner is in our new york city newsroom. i wait to see the moment where it all goes black. >> reporter: this is one of the stories we didn't have to he had it any video the whole thing lasted as long as you saw it, about 15 to 18 seconds. the big bay boom over the bay in san diego, california was a big bust. it was supposed to be about a 20-minute show. this is such a big deal and story there today the coast guard spent much of the day answering local press questions why it only lasted a few seconds. tens of thousands of people lining the waterway there. there were people in boats to see this. and it just was a fizzle. the san diego fire department says there were no injuries and they're very sorry that this went the way it did but, there was a timing malfunction, having to do with the countdown clock. just moments before this, they had tested it but it just didn't go well. and so instead of counting down and taking some time, it counted down and took just a few seconds. no one hurt in this. just their pride i would imagine, the people who put on that show. jenna? jenna: all the fireworks go off at the same time? >> reporter: yeah, either the worst one you ever seen or maybe the best one you have ever seen because it was some fireworks. jenna: excellent point. glass half fall. harris, thank you. jon: the whole thing one big finale. next part ever the health care debate sunday way. chief correspondent jim angle joins us live from washington with that. jim? >> reporter: democrats republicans argument against the health care law want to return to the old health care system. republicans an analysts say that is not true. listen. >> the health care system, status quo is unacceptable. as a physician it doesn't work for patients. certainly doesn't work for doctors. >> they need to be able to talk about a health care vision that is different from the obamacare vision and they need to be able to announce somethat people can und and agree with. >> reporter: now while a large majorities hated the individual mandate in the new law they consistently liked the coverage of preexisting conditions and republicans say they can do that without a mandate or a trillion dollars in tax increases. they would create large pools of individuals to spread the risk so those with expensive illnesses wouldn't affect the premiums of others. >> what if we allowed everybody who is a member of a civic organization, kiwanis club or rotary or lion's club to pool together to purchase insurance? then you get the purchasing power of millions. >> reporter: but there is an obstacle, as it turns out if you don't work for a multi-state employer it is illegal for individuals or small groups to buy health insurance across state lines even though auto or life insurance can be purchased anywhere. >> often jokingly say isn't it interesting you can buy car insurance from a lizard across state lines but you can't buy health insurance. >> reporter: republicans would change the law and have lots of bills in the hopper. jon: more arguing to come. jim angle. thank you. we'll be right back 0 and i'm here to tell homeowners that are 62 and older about a great way to live a better retirement. it's called a reverse mortgage. [ male announcer ] call right now to receive your free dvd and booklet with no obligation. it answers questions like how a reverse mortgage works, how much you qualify for, the ways to receive your money, and more. plus, when you call now, you'll get this magnifier with l.e.d. light absolutely free. when you call the experts at one reverse mortgage today, you'll learn the benefits of a government-insured reverse mortgage. it will eliminate your monthly mortgage payments and give you tax-free cash from the equity in your home. and here's the best part -- you still own your home. take control of your retirement today. ♪ ♪ delivering mail, medicine and packages. yet the house is considering a bill to close thousands of offices, slash service and layoff over 100,000 workers. the postal service is recording financial losses but not for reasons you might think. the problem ? a burden no other agency or company bears. a 2006 law that drains $5 billion a year from post office revenue while the postal service is forced to overpay billions more into federal accounts. house bill 2309 is not the answer. jon: that san diego fireworks

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