Cover their rescue of the deputies. They were medevaced out, but only one survived. gunfire we witnessed at least half a dozen heavy exchanges of fire. Gunfire Police say the suspect had a sound suppresser on his rifle so they had difficulty figuring out where to direct their fire. Christopher dorner is holed up in a cabin about 100 yards behind our position right now. You can see authorities and the swat teams with their guns drawn, Armored Vehicles just down the road as they prepare to move in. The shootout was the climax of a manhunt that involved every Law Enforcement agency in southern california. The Big Bear Mountain resort became the focus after dorners burned out truck was found nearby. Sources tell us that weapons coldweather Survival Gear and a gas mask were found inside the truck. Police went door to door, forest rangers scoured the mountains. They now believe dorner was hiding in plain sight in this vacant condo overlooking the Police Command post. The final act of the drama began yesterday morning when two women arrived to clean the condo. They say dorner tied them up and stole their car. One was able to get free and call 911. Police spotted the stolen car 25 miles away but lost it. Authorities say dorner then ditched that car and carjacked this man. He had his gun aimed at me. And he said, i dont want to hurt you. Just get out and start walking up the road. And take your dog. Reporter dorner crashed his truck soon after another police chase and gun fight. It appeared the cabin was his last stand. gunfire after nearly a fourhour standoff, police prepared for the final assault. Get the gas get the gas reporter the decision was made to use a powerful form of tear gas and ram the house with an armored vehicle. Flames engulfed the cabin. The cause is unclear. Within minutes, we heard a single gunshot, then the sound of ammunition exploding inside the burning building. At least six more hours passed before police felt it was safe enough to approach the ruins and look for a body. Scott, to give you an idea of how confident police are that theyve got the right man, even though theres no positive i. D. From the coroner on the body all 400 l. A. P. D. Officers assigned to protect families on that revenge list have now gone back to regular duty. Pelley carter, you mentioned that dorner apparently was holed up in that condo for a while overlooking the Police Command post. Any idea how long he was there . Authorities checked 600 cabins. Apparently that one was not on the list and it was directly across the street from the command post. Police are now investigating to see how long dorner was there and if he had any help pelley carter, thank you very much. Well, thousands of Police Officers from all over california attended the funeral today for one of the officers dorner allegedly killed. 34yearold Riverside Police officer Michael Crain was ambushed last thursday. He leaves behind a wife, a ten yearold son and a fouryearold daughter. The shootout in california was raging as president obama drove to the capitol to talk about gun violence and about lifting the middle class. His state of the Union Address was dominated by jobs. 12 million americans are unemployed, and another 11 million are stuck with parttime work or have just given up looking. Republicans last night were skeptical, to say the least. So, as Major Garrett tells us, mr. Obama took his plan to the people. Reporter in North Carolina today, president obama toured linamar, a factory where 160 employees build commercial truck engines and axles. On this spot three years ago volvo employed 228 workers before shutting down. 228 jobs to zero to 160 the recovery in miniature, with manufacturing jobs one indicator of economic health. I believe we attract new jobs to america by investing in new sources of energy and new infrastructure and the next generation of highwage, high tech american manufacturing. I believe in manufacturing. applause i think it makes our country stronger. Reporter the white house says linamar is part of a manufacturing revival 500,000 new jobs in three years. True, but manufacturing jobs nationally havent grown since july. I moved out this way to go back to school. Reporter eight miles from where the president spoke today, we found 27yearold curt fullmer. Hes training to be a machinist at a local Community College after serving two tours with the army in iraq and afghanistan. Increasingly, companies build factories near trained workers. Mr. Obama wants 1 billion to expand Manufacturing Research and training. Fullmer, who found training on his own, learned this lesson go back to school for a trade that is needed. Exercise a little discretion as to what is needed in your area before going back to school, and, i think, if you do that youre going to be fine. Reporter the factory that president obama toured has plans to add 40 more jobs by the end of the year still fewer than were there before, but, scott, the trajectory, ever so slightly upward, can be found in many other parts of the country. Pelley major, thank you. So, why is mr. Obama zeroed in on manufacturing . Well, have a look at what our Research Department put together for us today. This graph tracks the loss of manufacturing jobs over the last 20 years. In 1998, there were nearly 18 million of these higher paying jobs, but we went off a cliff in 2001 and then came the great recession. By 2010, six Million Manufacturing jobs were gone. As you can see, lately, it is picking up, but slowly. The president s biggest proposal last night for working americans is something that the government wouldnt have to pay for an increase in the minimum wage from 7. 25 an hour, where it is now, to 9. 19 states and the District Of Columbia have a minimum wage thats already higher than the federal rate, but only one of them, washington state, pays 9 or more, as the president seeks. Those who would have to pay for this had the reaction today that you might expect, and heres anthony mason. Reporter at cafe joeys Italian Restaurant in texas. Was everything okay . It was perfect. Reporter . Owner joey picca is not okay with the president s proposal to increase the minimum wage. Right now, im barely making ends meet as things stand right now. Reporter picca has 13 employees at his restaurant. Im a Business Owner myself and its hard. Reporter five of them earn minimum wage. Picca says the higher costs could be crippling. I have actually a couple of choices. The two choices is close down. The other choice is increase prices. Reporter but even if the minimum wage is raised to 9 the income of a family of four with one worker would still be nearly 5,000 under the poverty line of 23,550, although federal tax credits would ultimately bring the family slightly above that level. We need an economy where consumers can afford to spend. Reporter paul son studies wage trends for the National Employment law project. Is there evidence that economically raising the minimum wage is beneficial . There is. The Chicago Federal Reserve Bank modeled the impact of a dollar minimum wage increase and found it resulted in very substantial boosts in Consumer Spending in lowincome communities. Reporter that 2011 study by the chicago fed found an overall increase in spending of 2,800 by households with minimum wage workers. It works just look a tax cut for lowwage workers. It gives them more money in their pockets to spend at local businesses. Reporter if the federal minimum wage had kept pace with inflation, studies show it would now be 10. 56. The white house says a 9 minimum would only bring buying power back up to 1981 levels. Pelley anthony, thanks very much. Well, that minimum wage idea got a cold reception among republicans last night. The republican response to the state of the Union Address was made by senator marco rubio of florida. The tax increases and the deficit spending you propose will hurt middleclass families. It will cost them their raises. It will cost them their benefits. It may even cost some of them their jobs. And it will hurt seniors because it does nothing to save medicare or social security. So, mr. President , i dont oppose your plans because i want to protect the rich. I oppose your plans because i want to protect my neighbors. Hardworking middleclass americans who dont need us to come up with a plan to grow the government; they need a plan to grow the middle class. Pelley by the time senator rubio gave the republican response, he had already delivered his speech in spanish. And then, as he repeated the lines in english on national tv, he got a little parched and reached for a bottle of water which had been placed a little too far away. Today, on cbs this morning, rubio said it had been a long day. The spanish speech had dried him out. Im just glad the water was nearby, he said. During the state of the Union Address, the president brought the audience to its feet when he pointed out victims of gun violence who had been invited to hear the speech in the house chamber, including the parents of hadiya pendleton, the 15 yearold honor student who performed at mr. Obamas inauguration but was shot and killed days later just a mile from the obamas chicago home, a victim of gang violence. Her parents were sitting with the first lady last night. Hadiyas parents, nate and cleo, are in this Chamber Tonight along with more than two dozen americans whose lives have been torn apart by gun violence. They deserve a vote. applause they deserve a vote. They deserve a vote. Gabby giffords deserves a vote. The families of newtown deserve a vote. The families of aurora deserve a vote. The families of oak e families of eetucson and blacksburg, and the coesr communie ripped open by gun violence, they deserve a simple vote. applause pelley he is asking for a vote on three proposals background checks for all guns a ban on assault weapons, and a limit on how many rounds an ammunition magazine can hold. Our congressional correspondent, nancy cordes, has been talking to members today. And, nancy, are those victims of gun violence going to get that vote . Reporter they will, scott, although they are likely to dislike the outcome. We spoke to a number of republicans today who said theyre happy to take a vote and defend their opposition to an assault weapons ban and to any limitations on highcapacity magazines moves, they argue, would infringe on peoples Second Amendment rights. Pelley but what are the prospects for background checks for all gun purchases . Reporter those prospects look better. There is a small group of democrats and republicans in the senate who are working on a plan that were told theyd like to unveil in the next few weeks. Aides say the plan includes two prongs one, closing the gun show loophole that enables people to buy a gun at a gun show without going through a background check; and another that would strengthen Mental Health record reporting from the states to the federal background check system, making it more difficult for people with a history of Mental Illness to get a gun. Pelley nancy cordes at the capitol for us. Thank you, nancy. An Airline Merger is about to take off. Is it a good deal for you . Conditions are getting worse on a disabled cruise ship. And is this skier crazy or just good . Maybe both. When the cbs evening news continues. [ Acoustic Guitar upbeat ] [ dog ] we found it together. On a walk, walk, walk. Love to walk. Yeah, we found that wonderful thing. And you smiled. And threw it. And i decided i would never, ever leave it anywhere. Because that wonderful bouncy, rollaround thing. Had made you play. And that. Had made you smile. [ announcer ] beneful. Play. Its good for you. Hey, its sara. Im going pro. Ive been using crest prohealth for a week. My dentist said it was gonna help transform my mouth. [ male announcer ] go pro. For a clean thats up to four times better try these crest prohealth products together. [ sara ] ive been using crest prohealth. So far. It feels different. [ male announcer ] crest prohealth protects not just some but all these areas dentists check most. My mouth feels healthier. It feels cleaner. I think my dentist is gonna see the difference. [ male announcer ] go pro with crest prohealth. I dont think ill ever go back to another product. See. Pelley there is a huge merger in the works tonight in the airline industry. American airlines is expected to join forces with u. S. Airways. So, we asked Sharyl Attkisson to tell us what that will mean for air travelers. Reporter its the third airline megamerger in five years. The countrys third largest, american airlines, will combine with number four, u. S. Airways. The result will outsize united which merged with continental in 2010, and delta, which merged with northwest in 2008. Rick seaney is founder of the air traveler advice web site farecompare. Com. In Airline Mergers, the people that benefit the most are wall street, to be honest. Consumers end up paying more for Airline Tickets in general. They have less convenience because typically during mergers, theres cutbacks in flights and schedules. Reporter after delta bought northwest, the decreased competition sent ticket prices up more than 20 between detroit and atlanta. The unitedcontinental deal resulted in 30 price increases between chicagos ohare in houston and newark and san francisco. The biggest factor pushing consolidation is the price of oil. Fuel accounts for 33 of an airlines operating cost. Thats more than doubled over the past decade. Industry analyst Darrell Jenkins the biggest changing point in the last decade, and even more so than 9 11, was the price of jet fuel. Because that became so bad that everybody was looking at a kind of last man standing scenario. Reporter jenkins is more optimistic than other experts about postmerger fares. He says the remaining big three u. S. Airlines will have to compete with discount flyers like jetblue. The new airline will keep the american name. Federal regulators are likely to approve the merger as long as they feel assured that some measure of competition will be preserved in the areas where the airlines are dominant. Pelley a cruise that many would like to forget is finally coming to an end. That story is ahead. Ai how did i know . Well, i didnt really. Would decrease my sex drive. But when i started losing energy and became moody. Thats when i had an honest conversation with my doctor. We discussed all the symptoms. Then he gave me some blood tests. Showed it was low t. Thats it. It was a number not just me. [ male announcer ] today, men with low t have androgel 1. 62 testosterone gel . The 1 prescribed topical testosterone replacement therapy increases testosterone when used daily. Women and children should avoid contact with application sites. 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Change your number. Turn it up. Androgel 1. 62 . The machine showed me a map of my feet and it gave me my custom number. My arches needed more support until i got my number at the free dr. Scholls foot mapping center. Im a believer and you will be too go to drscholls. Com to find your closest walmart with a foot mapping center. [ male announcer ] in blind taste tests even ragu users chose prego. Prego . but ive been buying ragu for years. [ thinking ] i wonder what other questionable choices ive made . [ club scene music ] [ sigh of relief ] [ male announcer ] choose taste. Choose prego. Pelley today, the postmaster general pressed his case to end saturday delivery. At a senate hearing, Patrick Donahoe asked lawmakers not to block his plan. The Postal Service says it will save 2 billion, but postal unions and some members of congress are skeptical. 4,000 passengers are hoping to be delivered soon from a cruise ship that got stranded at sea. The carnival triumph is expected to be towed to mobile alabama, tomorrow. It lost power on sunday, and there have been complaints of limited food and overflowing toilets. Apparently, the cabins are so warm, the passengers have crowded on to the deck. There was a skier in the swiss alps today who was crowded by snow an avalanche. Have a look at this. This is savar lilyquist staying just ahead of a wall of snow. He got a somersault worked in there, as well. He landed on his skis, completed the run with the avalanche coming right behind him. Man versus nature, and, on this day, man was just a little bit faster. The faithful packed into st. Peters to say farewell to a pope. Thats next. Nt you have any apps on your phone do you think i am, quicken loans . At quicken loans, well provide you with myql mobile. This amazingly useful app allows you to take pictures of your mortgage documents using an iphone or android smart phone. So you can easily send them to us. 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At devry. Edu. Local politician the owner is accused of threatening. Next weather talent appears at wx center with generic we learned today that once Pope Benedict leaves office, his new title will be bishop emeritus of rome. Today, ash wednesday, benedict explained his decision to retire saying, i am no longer capable of carrying out peters ministry with the strength needed. Allen pizzey is in vatican city. Reporter flash photography is frowned upon in saint peters basilica, but it was a sin worth committing today as the faithful crowded in to get a glimpse of the pope at his last public mass. Benedicts frailty, which played a part in his decision to resign, was evident. But so too was the faith and sense of duty which made him take a job he said he never wanted. He said the mass was a Good Opportunity to thank everyone and ask for a special remembrance in prayer. He used his sermon to criticize recent infighting among priests at the vatican, saying the churchs image had been hurt. The mood was bittersweet, tears wiped away discreetly. [ applause ] reporter and a very unchurchlike standing ovation in the basilica where popes are both announced and buried. Earlier in the day, in his weekly audience, benedict told a packed hall that he understood the gravity of his decision and asked the faithful to pray for the future pope. Those closest to benedict said they are sad he is going but respect his decision, according to Senior Vatican Communications Advisor greg burke. This is really a courageous move because somebody who was considered such a traditionalist making a decision which goes against six centuries of tradition. Reporter benedict will leave vatican city by helicopter at 5 pm local time on february 28th for Castel Gandolfo about 16 miles away. Three hours later, he will officially go from being the spiritual leader of 1. 2 billion roman catholics to the first living former pope in more than 600 years. But until then, duty calls. Allen pizzey, cbs news, vatican city. And thats the cbs evening news for tonight. For all of us at cbs news all around the world, good night. Good evening, im elizabeth cook. Im allen martin. Were going to begin with breaking news out of the south bay where we are piecing together the story of explosive devices found inside a hoarders house. We have now learned the man who lived on humboldt avenue in santa clara is under arrest for making threats against a prominent bay area politician. Kpix 5s kiet do has more on who authorities believe he was targeting and why. Reporter state senator leland yees office has confirmed that yes, it was him that got those threats last week in connection with proposed gun control laws that he introduced a couple of weeks ago. The threat was signed with a different name from the suspect, not unusual. They didnt say how they were able to trace the suspect to the home in santa clara. Smoking of the home, heres a live look at it here. Speaking. Home, heres a live look at it here. Look at the roof. You have about half dozen security cameras up there and antennae. Neighbors say he told them he used the radio equipment to talk to people in the mountains. Take a look at some of the items they found today an Assault Rifle among them. They found more explosive devices. Bomb techs were going to detonate some today but will change their minds and wait to bring in a explosive containment sphere tomorrow not wanting to detonate them in the open air. We have Surveillance Video of the first detonation crews that dug a hole in the front yard dropped materials inside filled it up with sandbags and blew it up. The crews on scene said going through the home, which looked like a hoarder home, felt like an action movie. The bomb team wasnt able to identify what it was so kind of like in the movies. Do i drive with it or not . Didnt know him personally. He would come out on occasion, you know, im sure when you approached him he would speak but other than that he kept to himself in the area. Reporter senator leeland year is pushing for new laws to close the loopholes against bullet buttons and called for advertisers to boy caught the Rush Limbaugh radio show. He also got racist rants and messages through social media but says this most recent threat wasnt like the others, it was direct and specific. Yee is not talking on camera tonight but he will be available to the media tomorrow. The officers will guard the property and equipment. There is no threat to the public. Crews will be back with the containment sphere tomorrow and blow it up. As far as we know, they are not telling you that any explosives have left