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second at 18%. another poll out of iowa shows it much closer. let's go to south carolina, as well. south carolina, of course, the first southern state to vote, it goes number three in the calendar and votes on the 23rd of january. this is also, again, showing newt gingrich on top. far ahead of mitt romney. romney at 23%. gingrich 18 points ahead and rick perry at 9%. kyra, i guess newt gingrich to take his national poll numbers and translate it into an operation and make sure he gets the teams in place in theearly states to get the voters to the caulks and primary sites, kyra. >> nancy pelosi is saying that she has information on gingrich and newt is sending her a warning. what the heck is going on here? >> yeah, this started yesterday and, remember, this goes back to the late 1990s when gingrich was house speaker and he was facing 84 ethics investigations and pelosi said she maybe will unearth some of the stuff that was never made public. here's what she said. i know a lot about him. i served on the investigative committee that investigated him. four of us locked in a room in an aundisclosed location for a year. a thousand pages of his stuff. that's what nancy pelosi said. here's what newt gingrich said to our jim acosta yesterday in new york after the story broke. >> i want to thank speaker pelosi for what i regard as an early christmas gift. >> are you concerned about that information reemerging? >> we turned over a million pages of material. we had a huge report. the total, 83 charges were repudiated as false. the one mistake we made was a letter written by a lawyer that i didn't read carefully. >> in all, it was just a couple years ago that pelosi and gingrich made that commercial together for global warming. the times have changed between the two. the story far from over, kyra. >> interesting to see what this 1,000 pages of stuff, paul, that you describe. we'll track it. for all the latest political news, go to our website to cnnpolitics.com 24/7. time is running out to extend the payroll tax cut. no deal by the end of the year, you could pay higher taxes next year. senate democrats are floating a new proposal and our congressional correspondent kate bolduan has all the details. what is in the plan exactly, kate, and what are the chances it will succeed? >> yes, the very important question of what are the chances it will succeed, kyra. democrats are calling this a compromise offer but republicans probably not a surprise do not see it that way. we'll get to that in a second. first, what's in this new proposal from senate democrats. like the original offer to extend the payroll tax cut the democrats put on the table last week, but failed in the senate last week. this new plan would extend and expand the employee payroll tax taking the tax from a 4.2% tax cut down to 3.1% tax cut. also, a major difference that democrats say in this new proposal is that democrats are scaling back the so-called millionaire surtax. a surtax on income over a million dollars. now, they're changing the tax to be just under 2% tax down from just over a 3% tax. they are also making the millionaire surtax temporary, which they say they've done as a concession to republicans because republicans were opposed to this. they say, in part, because they do not support imposing a permanent tax to pay for a temporary economic stimulus policy. that's not the only reason, of course, that republicans oppose this millionaire surtax. another major difference just to point out is that this new plan does not provide a tax cut to employers and democrats have done that in order to bring down the overall cost of the package and to try to win over more republican support. we could see a test vote on this latest measure, kyra, as early as friday, but it's not likely to move very far as republicans do not support it. just listen here to, i'll read you a statement from orrin hatch, republican from utah. he said in response to this latest package, it's hard for the majority to call this a compromise when the other side hasn't been involved. he called it a political show vote and said it is going no where and a lot of this has to do with the millionaire surtax. kyra? >> kate bolduan on the hill for us, kate, thanks. so, there's a grim warning for eurozone countries today. standard & poor's says it may downgrade the credit ratings of the 15 of the 17 eurozone nations. european leaders are scheduled to meet on friday. now, german chancellor angela merkel and french president nicolas sarkozy want amendments to european treaties to deal with the fls crisis. our zain verjee is in london and she has a look at what european newspapers are saying about all this. good morning, zain. >> good morning to you, kyra. great to see you. let's go straight to the papers and see what the headlines are. "the scotsman" says this. implementing treaty changes could take months but a commitment to tighter coordination could open the way for further emergency aid from the european central bank or the international monetary fund or some combination of the two. "the wall street journal" says what's berlin and paris wroth. get a good look at whether the continents two largest economies truly found common ground or merely diluted their principals into meaninglessness. finally, the scenario affa multi-speed europe says, too, sarkozy could not allow his partners from the euro zone of choice on what to do about the single currency. he wants to set them on a force march to save the common currency. the bottom line is by friday, kyra, they need to get it done. there's a danger they'll have to kiss the euro good-bye. and, obviously, they don't want that to happen. the u.s. can't have that happen, either. a big push to make sure they delivered. kyra, i've missed you. >> i missed you, too. i'm glad you're back. let's have a good week, zain, thanks so much. move on to afghanistan now and two explosions in two different cities to tell you about. they hit on the shiite holy day of ashura. >> 58 people were killed and dozens more injured. nick paton walsh is live in kabul. nick, we just saw the video there of the explosion and you are actually there. tell us exactly what happened. >> well, we arrived after the blast and the image you're seeing was shot by a photographer who was there as it actually happened. i can tell you from his experience there, we are talking about a tensely packed crowd there and shia worshippers moving to this location to a shrine there to celebrate, to pass the morning of this day, ashura. looking to cause as many casualties as possible. one describing what he saw eyewitness to the attack found out a fan-like direction around the explosion and so tightly packed together were they, people fleeing across the nearby river and very dirty river, indeed, just to escape the scenes of carnage, actually. absolute terror in the center of kabul and another element to today's horrific scenes. people not quite sure why shia muslims were targeted on this vitally important day. i know the phrase is something that we're very familiar with from iraq but it has not been an element thus far, really, in the decade of war here in afghanistan. people can see themselves as passionate in the south, but not really. the sectarian violence between muslims and deep concerns here today when the taliban come out and deny anything to do with this attack and, in fact, condemn it. question as to who was really behind it. are we embarking on some new element and really can the afghan people take any more. >> appreciate it, nick. we'll continue to follow what's happening there. he was convicted of trying to sell the president's old senate seat, now, rod blagojevich is back in court for sentencing. we'll talk to the reporter of "chicago sun-times" who has been following the story from the very beginning. queen elizabeth's picture is on the money, but that doesn't mean she has an unlimited supply herself. cost cutting at bucking hm palace, just ahead. brad, where we going? just a second. just, just one second. ♪ what are you looking at? don't look up there. why are you looking up? ♪ get outta the car. get outta the car. ♪ are you ok? the... get in the car. get in the car! [ male announcer ] the epa estimated 42 mpg highway chevy cruze eco. from spending time together, to spending your lives together, chevy runs deep. is best absorbed in small continuous amounts. only one calcium supplement does that in one daily dose. citracal slow release... continuously releases calcium plus d for the efficient absorption my body needs. citracal. here's a quick look at news from across the country. bp has filed a lawsuit against its drilling partner, halliburton. now, bp claims halliburton destroyed evidence of problems with cement in the wall. the explosion killed 11 people and set off that massive oil leak. take a look at what people in new mexico are dealing with. icy, snowy storm hit the state yesterday. been so bad that some parts of interstate 10 and 25 are closed. there is a winter storm warning in effect until late this afternoon. some places could get more than a foot of snow. if you have a christmas tree, better check it for snakes. the family in idaho found one slithering around the branches and called the fire department to get it out. former illinois governor rod blagojevich will find out his fate. his sentencing hearing today begins in federal court. one of the crimes he was convicted of, trying to sell or trade the senate seat vacated by president obama. joining us now nutoshy korecki at "chicago sun-times." how much do people really want to hear him apologize and do you think he actually will? >> you know, i think the people of illinois have been living with this saga since 2008. the investigation years before that. i think the people of illinois really want to hear an apology from him and lots of experts are saying, that's what he needs to do. he needs to step up to the plate today and actually one of his chief lawyers told "sun-times" today that he will step up to the plate and going to make a statement in court, as you may expect, and he will step up to the plate and say something. so, we'll see how that apology goes, but he definitely needs to do that, if he wants to get any leniency from the judge today. >> but we've all seen his live interviews since all of this has gone down. and i think it's pretty fair to say he's got quite the ego. but do you think he's freaking out a little bit about how much time he could spend in the pen since tony rezgo got 10 1/2. >> i think that probably shook his world. if he had any idea that he would get off light, one of his fund-raisers got 10 1/2 years. that's an incredible sentence for public corruption and he's not a public, he's not a public official as blagojevich is and he is not considering the head of the conspiracy as blagojevich was. a lot of experts are seeing that as a starting point. he doesn't have to see it that way, but a lot of people are saying that would only be fair. >> what's your gut on sentencing and how do you think this is going to play out? >> you know, i think it's going to come down to a lot of factors. this is a very methodical judge. i don't think he is going to be driven by emotion and trying to just send a message. i think he's going to go through a law and in federal court it's a complicated system. we have to make a lot of, a lot of decisions and he's going to go through each factor. i wouldn't be surprised if we were overten. >> all right, natasha, you know better than anyone else. you have been following this from the very start. natasha korecki, thanks for calling in. i appreciate it. >> thank you. >> you bet. the holiday shopping season started out strong with record black friday and cybermonday sales, but it could be fizzling out. a new study says that many americans are pretty much finish would the spending. we'll go to the new york stock exchange for a few more details and it seems like everyone is trying to make do with less these days. even britain's queen elizabeth. we'll tell you how she's actually tightening her royal belt. so 12 seconds ago. we should get him a present. thanks for the gift basket. you're welcome. you're welcome. did you see hr just sent out new... ...office rules? cause you're currently in violation of 6 of them. oh yeah, baby? ...and 7. did you guys hear that fred is leaving? so 30 seconds ago. 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[ male announcer ] more people are leaving bmw, mercedes, and lexus for audi than ever before. take advantage of exceptional values during the season of audi event. are you prepared for your retirement years -rge. take advantage of exceptional values 25 or more of them? do you have a financial plan for you family that works, in good times and in bad times? having the right perspective can help you answer the big questions. for more than 140 years, pacific life has helped find answers for those navigating the path to financial security. ask a financial professional about pacific life - the power to help you succeed. livic like a queen or a king is not what it used to be folks. hard times caught up with britain's queen elizabeth. irresistible stuff for conan o'brien. >> queen elizabeth is taking a pay cut. that's a true story, yeah. she's also looking for a roommate on craigslist. snow f no fatties. >> not quite that bad, but the queen is facing a salary freeze. let's get straight to zain verjee in london. zain, what is this? down and out at buckingham palace? >> kyra, you could be the queen's roommate. things are pretty tough over there. >> oh, good, you're saying i'm not fat. >> i could see you there and a little room there. >> i might get on her nerves, zain. let's just lay it out. >> well, here's the deal, right? she needs to share the pain and what is decided, she will take a pay freeze over the next couple of years or at least until 2015 is what a lot of people are saying. that means her pay is now oonly $50 million. there has been a reduction of what she has paid. prepare a lot of the things that need repairing at the very old palaces and she can't have as many lavish parties or state affairs that she's been used to. but the money that she does have, the 15 million, she will be able to run the palaces and travel the world and just be the queen. she's got to make some of these sacrifices and one of the things they're thinking about doing is rent out rooms at st. james' palace or other places as the olympics come up, but people need a place to stay. but you have to be on this list, kyra. >> i could just imagine. >> well, you definitely don't have to be vetted, you know, the royals like you. the rest of us, but the queen actually gets 15% from what's called the profits of the crown state. so, that's something like $10 billion from region street, half the uk coastline, as well as great windsor park, so, the money's coming. i wouldn't worry too much. >> prince charles will be affected by these cuts, as well. >> yeah, poor guy. he is going to be affected, too. but the one thing it's going to impact is will and kate. they're emerging as big superstars around the world and prince charles has been told that he has got to use his money to pay for their expenses and underwrite everything that will and kate need or the duke and duchess of cambridge. that's one of the ways it is going to hit him, kyra. >> all right, it shall continue. the economy is impacting everybody. even the royals. zain verjee, thanks for the scoop. eurozone lingers are holding au flurry of crisis. talking downgrade and recession. alison kosik at new york stock exchange. let's talk about how it's affecting u.s. stocks today. >> you know what, kyra, surprise, surprise. not seeing the reaction that you would think, we're looking for stocks to open slightly higher in eight minutes when the opening bell rings. those gains will be limited today after standard & poor's warned after the closing bell yesterday, it may downgrade the ratings on 15 euro zone countries including germany and france. those are the richest countries in the eurozone. but the reaction pretty subdued at this point. analysts say it shows investors were not too surprised about this move. wall street holding out hope that the debt crisis sort of has this light at the end of the tunnel because what's happening now is euro zone leaders are holding these make or break meetings this week and the summit of euro leaders at the end of the week is really the last chance to stop the crisis from spiraling out of control. you're seeing a little bit of optimism today that things be stemmed a little bit, kyra. >> tell me if this is a good thing or bad thing. it's only december 6th but a lot of people already finished with their holiday spending. we wanted people to spend, spend, spend all the way until the end, right? >> exactly. but if you're the one out there going through all the crowds and spending all that money, you're sort of relieved at this point. if you look at the economy, kind of bad timing because of what you said. economic growth in this country is still very sluggish. it needs people to get out there and continue spending, spending, spending. but guess what reuters says 32% of americans, they've already finished most of their shopping in november. analysts say retailers may have to wind up offering more sales to lure people back in. because people surveyed are worried about europe and political gridlock in washington. the rising cost of living and unemployment. so, you have lots of people out there looking for discounts or focusing their shopping on discount stores. also they took advantage of black friday. many people went out there and spent everything they had on that black friday frenzy and they're saying, that's it, i'm done. that doesn't help the economy, as well. kyra? >> alison, thanks, opening bell in six minutes. we'll talk more about europe's possible credit downgrade. ali velshi and christine romans joining us live in studio. of course, we're not the new book, of course not. >> not this book. >> no, not that book. no. >> plus, life after death for larry king, maybe. our former colleague says he wants to be frozen when he dies. find out why in today's "showbiz headlines." to find you a great deal, even if it's not with us. [ ding ] oh, that's helpful! well, our company does that, too. actually, we invented that. it's like a sauna in here. helping you save, even if it's not with us -- now, that's progressive! call or click today. no mas pantalones! [ male announcer ] don't miss red lobster's surf & turf. 3 grilled combinations all under $20. like our maine lobster with peppercorn sirloin, or our new bacon-wrapped shrimp with blue cheese sirloin for $14.99. i'm john mazany and i sea food differently. checking top stories now. nearly 60 people are dead after two suicide bombings in afghanistan. one at a shiite shrine in kabul. condemn the attacks coming on the shiite holy day of ashura. president obama travels to kansas for a speech on the economy this afternoon. he plans to talk about this make or break time for the middle class and the need for equal opportunity for all. "occupy movement" members are taking it to capitol hill. they plan to occupy congressional offices for the entire day. all right, u.s. markets open this hour with new uncertainty. standard & poor's worries it may downgrade eurozone nations. now two of our top financial experts here with in atlanta. ali velshi, christine romans. so great to have you guys here. >> you actually have a book signing, is that the deal? we'll talk about the book in just a minute. let's talk about the u.s. markets and how they're going to relate to this credit warning. >> everything matters. what's happening in europe really matters here. it's the biggest destination for u.s. goods. if there is a recession or worse in europe and it doesn't get it together, that means american factories will close. s&p are worried about recession and also political will in this area to get things fixed there. it will mean treaties and a lot of compromise by people right now who preferably don't agree. >> that's the last thing we want to hear, american companies closin closing. >> these are people who buy what few goods and services we put out. the s&p, anybody reading a paper or watching the news will know that there are problems in europe. the fact that s&p says it will downgratd some people, i would be surprised if the market reaction is so exaggerated to that. >> doesn't change anything today. it's s&p putting into writing what we all know and that is that europe is in a big mess and it doesn't have a lot of time to come up with some cohesion about how to fix it. >> how much time do they have and what does it mean for us? it doesn't impact us today. >> uncertainty about europe is impacting business leaders, decision making right now and affecting our own congress as it tries to figure out, look, we can't even decide on a payroll tax holiday how to get that done, right. you look at the decisions they're trying to make in europe and it's important cautionary tale. >> the s&p downgrade if it happens. doesn't change anything today. it is just a reflection of what we already know is going on, but as you and i discussed it, it's all psychological. if that european consumer decides it's over, things will be really bad, they will stop buying. it's not a deadline kind of thing. it's a sentiment thing. >> but here, i was just talking with alison kosik, right, that black or cybermonday was incredible and everybody was spending, spending, spending just a couple weeks ago and now all of a sudden, it's kind of slowed down. >> things seem better here. slightly better jobless numbers and lower unemployment rate. we've seen things happening here. if we learned anything from 2007 and 2008, it really does matter what happens else where in the world. >> i would also say that our reliance on the american consumer to fix the problems is also so 2005. i mean, the whole hype about, look, black friday. the problems was americans spent too much on borrowed money and the chinese saved too much and europe didn't invest enough. those global imbalances, they still exist. we need an economy that doesn't rely so much on just the american consumer and more diversified economy, we're not there yet. >> this summit on friday -- >> yeah, why should we pay close attention to this? >> well, you know, why is it different from the five other, six other meetings we've looked at? >> how many times have i talked to you via the summit? >> they're running out of options. the fact is, they really have to do something. we're tinkering on the edges here in the united states about economic things and they're making major, major decisions about whether they'll have balanced budgets and changes they'll make structurally to the economy. we have to watch this because they risk not getting money from some of these countries that need bailouts and not getting those bailouts and then really getting into more serious problems. so, again, it's important for our viewers to know, this is all incremental. europe's got to start fixing things. so, it's not just this one summit that matters, the idea that they're running out of options. >> it matters to us right now because europe is our ally. and they're our friends. when our friends are weakened, it makes us weak and we want economies to grow because it's good for everyone and we want politicians to be able to have smart ideas and consensus about how to do that. they don't have that. guess what, we don't have that here either. we're seeing our friends around the world, you know, hobbled and that's something that bears watching. >> speaking of friends, gee, if you're looking for a christmas gift possibly, a stocking stuffer, oh, look, "how to speak money" ali velshi and christine roma romans. >> we're signing our book here at cnn center. look, we're very proud of this book because the bottom line, it's the conversations that the two of us have and the disagreements that mirror the same conversations that people have at their kitchen tables, every day. buying a house, renting, careers, what your kids should learn and we tackle all those things and we don't really agree on a lot of them. if people want to meet us and talk to us and tell us about their husband feels or wife feels. >> you're not married, that's why this all works. we are, just not married to each other. >> it's interesting as friends and for ten years we have been reporting all this stuff together and we come at all these stories from a different angle, kyra, and it was fun to write about it together and the things that we talk about in the hallway that we don't get to say on the air put them in a book so people can try to learn how to speak this language because there's no margin for error any more. >> the folks that leave the love languages. it's just the same type of therapeutic self-help book. it's just about our money and it could save your marriage. speaking of money problems, well, the irs is telling a supermodel to pay up. christie brinkley owes the government more than $500,000. find out why in today's "showbiz" headlines. so you can focus on what really matters. call humana at 1-800-808-4003. if you have painful, swollen joints, i've been in your shoes. one day i'm on top of the world... the next i'm saying... i have this thing called psoriatic arthritis. i had some intense pain. it progressively got worse. my rheumatologist told me about enbrel. i'm surprised how quickly my symptoms have been managed. [ male announcer ] because enbrel suppresses your immune system, it may lower your ability to fight infections. serious, sometimes fatal events including infections, tuberculis, lymphoma, other cancers, and nervous system and blood disorders have occurred. before starting enbrel, your doctor should test you for tuberculosis and discuss whether you've been to a region where certain fungal infections are common. don't start enbrel if you have an infection like the flu. tell your doctor if you're prone to infections, have cuts or sores, have had hepatitis b, have been treated for heart failure, or if, while on enbrel, you experience persistent fever, bruising, bleeding, or paleness. get back to the things that matter most. ask your rheumatologist if enbrel is right for you. [ male announcer ] enbrel. the #1 biologic medicine prescribed by rheumatologists. christy brikly stunning beauty made her famous and now her stunning bill from the irs has put her back in the news. a.j. hammer joining us from new york with all the details. >> i don't think christie is happy about this being news. a tax lien would be a huge problem for most people, christie brinkley says this is a simple error and i'll have the bill paid by tomorrow. the irs placed a $520,000 lien on her home out in the hamptons. while brinky responded to the news on her facebook page. here's what she's saying. i never had an issue with the irs and never intended for my tax returns to be filed late. i immediately instructed my accountants. i can tell you, kyra, 20 acres in the hamptons, that's worth a lot of money. millions of dollars. brinkley a bit of a real estate mogul and she used two other properties in the beach front community and they were on the market over the summer for more than 20 million bucks combined. with all of that, kyra, you would hope the people you hire to keep track of these things are actually doing their job. apparently, they weren't. >> got my attention is i'll have it paid by tomorrow. that is a lot of money. what's this about larry king saying he wants to be frozen after death? >> yes, of course, larry never wants to leave a party early, kyra. you know that. he told his plan for life after death to a crowd of celebrities during his fantastic special called "dinner with the kings." he said he hopes if he freezes himself doctors can fix whatever caused it and larry said he was hedging a bet. so, kyra, hopefully this isn't something that we'll have to worry about for a while, but larry could be interviewing fascinating people well into the 23rd century if his plan goes well. >> you know what, it would be larry king to do it for sure. a.j., thanks so much. we'll see you next hour. a.j. will join us for more showbiz headlines. find out why johnny depp's christmas song is not very popular with some christians. also coming up, an influential adviser to president obama and a popular secretary of state. so, could hillary clinton be bumped up to running mate? new op-ed said she's obama's ace in the hole. survivors of the japanese attack on pearl harbor gathering in hawaii to make a significant anniversary. cross country is right after the break. with dedicated support teams at over 500 branches nationwide. so when you call or visit, you can ask for a name you know. because personal service starts with a real person. 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[ female announcer ] we never forget the nearly 12 million cancer survivors in america today... and the countless lives lost. we owe it to them to protect funding for cancer research, prevention and access to care. congress, make cancer a priority and give millions of americans what they need most. live pictures from one of our affiliates out of phoenix, arizona. a transformer that has been burning in an aps substation. apparently since last night. it's not clear what started the massive fire, but we're told it began about 10:00 p.m. last night. you can see those flames. they've been shooting 20 to 30 feet in the air, according to recent reports. and the burning, they're saying is right now, there we go. we got a wide shot there from our affiliate. about half of the football field looking at the entire area there. while no power outages have been reported so far, we're told that they are expected to try to get this out or at least contained within the next two hours. we'll follow it. checking other news making news across country now. amanda knox one step closer to telling the world about her ordeal inside the italian justice system. she hired robert barnett to represent her and a possible new book deal, as well. state of vermont is standing by an artist in his struggle with chic-fil-a. the fast food giant says his eat more kale t-shirt violate his slogan eat more chicken. vermont's governor helped set up a campaign to help that artist with legal costs. survivors of the japanese attack on pearl harbor are gathering in hawaii and tomorrow is the 70th anniversary of the date that will live in infamy. independents and moderates put barack obama in the white house and to stay there, he needs to hang on to them next november, but polls show their support is slipping a bit, so, clearly, president needs a plan. l.z. granderson says a plan should be hillary clinton. he stumps for an obalobalma/cli tick ticket. you write obama's one-time foe is his ace in the hole. explain. >> absolutely. i don't think as an incumbent it is beneficial to try to run and saying i'm not the other guy. he needs to get people excited about both his record, as well as his ticket. well, the record lukewarm at best because of the economy. however, there are things he can do to invigorate his ticket. one of the things could be to support joe biden with hillary clinton. if hillary clinton is on that ticket he reinvigorates his base and something that independents like myself will have to think about. a very proven politician, a competent wom competent woman. >> how do you know this partnership would be accepted? >> if this hadn't happened in 2008 y don't think it would have been accepted because they had such a bitter primary. the difference is she had an opportunity to work with him over these last two and a half, three years as secretary of state. i don't think people will be as cynical to think it was a political move. she has been working with him very closely and they've been working hand i-in-hand and no reports of fighting. i think this go around in 2012, hillary obama on the same ticket makes more sense than it would have in 2008. >> what do you say to those who think that obama could actually feel threatened by clinton? she has this growing fan base and a lot of people out there who say, hey, in hindsight, she would have been a better president. >> yeah, absolutely. 34% i believe in the harris poll said the country would be better if she was in office. president obama does not strike me as the individual who is threatened by credible people. he doesn't strike me as someone who would be threatened because the reason people love him so much is because he's very confident and i think he will see her as an added bonus to his own strength. >> l.z., always good to see you every tuesday. you can read l.z.'s piece at cnn.com/opinion. if you like, join the conversation, leave a comment for him. he loves that. 25,000 stuffed animals hit the ice. the teddy bear toss is a holiday tradition for hockey fans. we'll tell you about it in sports. seven minutes from now.ow aturals to supply affordable, cleaner energy, while protecting our environment. across america, these technologies protect air - by monitoring air quality and reducing emissions... ...protect water - through conservation and self-contained recycling systems... ... and protect land - by reducing our footprint and respecting wildlife. america's natural gas... domestic, abundant, clean energy to power our lives... that's smarter power today. okay... uhh. the bad news, it's probably totaled. the good news is, you don't have to pay your deductible. with vanishing deductible from nationwide insurance, you got $100 off for every year of safe driving, so now your deductible is zero. the other good news ? i held on to your coffee. wow. ♪ nationwide is on your side ( laughing ) it's actually a pretty good day when you consider. that's great. president obama traveling to kansas to deliver to deliver what's being billed as a major speech on the economy. that begins at 2:05 eastern time. at 3:15 eastern, former vice president dan quayle holding a news conference to endorse mitt romney for president. and at 5:18 eastern, house speaker john boehner flips the switch to light the capitol hill christmas tree. we're following lots of developments. let's check in with paul steinhauser. newt gingrich is surging and some bad blood or a war of words between gingrich and nancy pelosi. details at the top of the hour. >> reporter: and i'm kate bolduan. extending the employee payroll tax cut. republicans, though, say it's not going anywhere. so what is this fight over your money and tax dollars all about? i'll have more at the top of the hour. hey there. i'm zain verjee in london. i'll tell what you newspaper editorials around the world are saying about what european leaders need to do to just deal with the debt crisis. >> all right, guys, thanks so much. plus a history of college hazing exposed. >> you have to walk from the front to the back of the bus backwards and while the bus is full with other band members and you get beat until you get to the back. >> former band member talks about a ritual that may have killed a florida a&m drum major. more on that next hour. the employee of the month is... spark card from capital one. spark cash gives me the most rewards of any small business credit card. it's hard for my crew to keep up with 2% cash back on every purchase, every day. 2% cash back. that's setting the bar pretty high. thanks to spark, owning my own business has never been more rewarding. [ male announcer ] introducing spark the small business credit cards from capital one. get more by choosing unlimited double miles or 2% cash back on every purchase, every day. what's in your wallet? this guy's amazing. all right. i've grown up in san diego and it's been really tough watching those chargers not do so well. however -- >> it's been a tale of two seasons. they start ed 4-1. thinking this is the team. this is the year. and then they lose six in a row and it seems each week they were finding a new way to self-destruct. last night against the jaguars the bolts caught lightning in a bottle and played their best game in two months. the jags, of course, have struggled. they fired coach jack del rio last week. mel tucker is in charge for now. philip rivers second quarter finds vincent brown. san diego takes its first lead of the game. never gave it up. rivers became an elite qb last year but made too many mistakes this year. last night he looked great. to vincent jackson for the touchdown, rivers almost 300 yards passing, three touchdowns. san diego wins easy. they're still alive in the afc west. we know who the five heisman final oo finalists are. andrew luck is there. he's expected to be the number one pick in the draft but is probably not the heisman favorite. i think it may be robert griffin iii the man to beat. trent richardson from alabama and wisconsin's monte ball and the honey badger lsu defensive back matthew. he don't care. he just takes what he wants. the teddy bear toss is a holiday tradition at many hockey arenas. the calgary hitmen scored their first goal in sunday's game, fans threw 25,000 stuffed animals on the ice. the players took them to 50 local charities yet. since 2003 the team has collected more than 186,000 stuffed and i mals for hospitals and charities. this is great. teams, junior teams, minor league teams across the u.s. and canada do this every year this time of the year. it's a really cool thing. >> not only is it fun but what a great way to give to charity. >> absolutely. the kids definitely appreciate it. and, you know, fans, they love that. they love tim at the bow in denver. another fan has jumped on the tim tebow bandwagon. photo shopping the quarterback's head into the music video for "all do i is win." ♪ every time i step up on the field everybody's hands go up ♪ >> so instead you are seeing tebow there and broncos fans can't get enough of him. he's 6-1 as a starter and has led the broncos to the top of the afc west. people are wondering if he's the mvp of the league in just the matter of a few short weeks. you get that going for you when you are that good that fast. >> it's so opposite of his character, too. but it's funny. thanks, jeff. >> okay. if occupy wall street has one symbol, it would have to be the protest tent. some occupy protesters have become one with their tents. here is jeanne moos. >> reporter: remember when tents used to be something you used to camp out in the wilderness? >> occupy the police car. >> reporter: well, now they're being pitched on police cars. they've become a symbol of the occupy movement. >> floating tents. >> reporter: but instead of noting, these days they're being dismantled by police, and that's what everyone thought was going to happen. in melbourne, australia, police marched forward. but then what seemed like an oddly random verbal signal rang out. protesters, it turned out, were wearing their tents. they were dubbed the tent monsters to okccupy melbourne pt their antics to music and uploaded them to youtube. police seemed befuddled. one tent even dropped its pants. one of the officers asked how did they do it, to which a protester replied. >> tape. >> reporter: tape. and then lo and behold the police turned around and left with the tents in hot pursuit. one website labeled it mock and awe. arguments between police and protesters over tents have at times been intense. for instance at occupy toronto. >> are you going to touch my stuff, sir? do you have a warrant, sir? excuse me, officer. >> reporter: but the only warrant at occupy melbourne should have been from the fashion police. true, tents may not make the most flattering outfits. as one person posted, honey, does this tent make my butt look big? jeanne moos, cnn. new york. all right. and there's an update to jeanne's story this morning. "the herald sun" reports that the police are cracking down and won't let the protesters wear their tents anymore. one lady apparently refused to lose the tent when police asked. the cops report edly stripped i off and she was left there in her underwear. it seems like just yesterday that newt gingrich's campaign was in serious trouble. this morning he's on top in the latest iowa poll. but his success has made him quite a target of republican rivals and a top house democrat. cnn's political deputy paul steinhauser covering all the angles. let's start with the news out of iowa. let's start with these brand-new numbers. remember today, four weeks until those iowa caucuses. four weeks from today, january 3rd, iowa kicks off the primary. this is an abc news/"washington post" poll of people likely to take part in the iowa caucuses and look who is on the top, the former house speaker. his campaign was almost left for dead in june. 33%, a third of the likely caucus goers say he's their choice for the nomination ahead of mitt romney and ron paul, the congressman from texas. two other polls in iowa showing the same thing. let's go to south carolina as well. brand-new numbers out of there. south carolina votes third in the calendar. it's the first southern state. here is a poll and there's newt gingrich again. this poll indicating the front-runner, 15 points ahead of romney with perry at 9%, the x texas governor there. this is among people most like hadly to vote in the south carolina primary. the big thing for gingrich now, take these surging poll numbers and translate it into get out the vote numbers. >> all right. now last hour we talked about nancy pelosi saying she has 1,000 pages of stuff on gingrich. let's explain. >> yeah, this dates back to the late 1990s when gingrich was the house speaker. nancy pelosi, part of the democratic leadership at the time. and there were a bunch of ethics investigations against gingrich, 84 to be exact. what nancy pelosi said yesterday, i know a lot about him. i served on the investigative committee that investigated him. four of us locked in a room in an undisclosed location for a year. a thousand pages of his stuff. so maybe nancy pelosi threatening to unearth some of this stuff. well, here is what newt gingrich said in response to pelosi's wor words. take a listen. >> i want to thank speaker pelosi for what i regard as an early christmas gift. >> are you concerned about that information re-emerging? >> we turned over more than a million pages of taerl. we had a huge report. the total -- 83 charges were repudiated as false. the one mistake we made was a letter written by a lawyer that i didn't read carefully enough. >> it was only three years ago that gingrich and nancy pelosi teamed up for a commercial against global warming. it seems that relationship is not so chummy anymore. stay tuned. this story far from over. >> and we'll follow it. paul, thanks so much. president obama heading to kansas today talking about your paycheck. he's putting pressure on republicans to extend the payroll tax cut that expires at the end of the year. without it the white house says the typical american family will pay about $1,000 in extra taxes next year and the president is pressing his case. >> not only is extending the payroll tax cut important for the economy as a whole, it's obviously important for individual families. it's important insurance for them against the unexpected. it will help families pay their bills. it will spur spending. it will spur hiring. and it's the right thing to do. >> correspondent kate bolduan is on the hill. a new proposal to extend the payroll tax holiday. let's talk about that. >> reporter: well this proposal, the latest proposal from senate democrats, here are the major components that we should probably point out. as with their original offer that failed in the senate last week, this proposal would extend and expand the existing payroll tax cut extension for employees cutting it from the current rate of 4.2% down to a rate of 3.1%. this would be in part paid for through a scaled down version of the so-called millionaire surtax. democrats say that it is a concession to republicans. they say they are going to cut that back so it's only about a tax of a little under 2% of tax on income over a million dollars. they are also making that tax temporary rather than permanent and say this is in response to republican opposition to, in their view, imposing a permanent tax to pay for a temporary economic stimulus measure. but i should quickly say this is not likely, this measure, this proposal, to go very far because republicans remain very much against this millionaire surtax as they think it is a tax hike on job creators. small businesses -- republican aid calling it a poison pill to me and so they think that democrats are really just playing politic here as this millionaire surtax has doomed previous democratic efforts for jobs ventures in the past. >> and the president, as we mentioned, heading to kansas to make another push for this. so what are republicans hoping to hear? >> reporter: it's hard to believe there's anything that the president will probably be discussing that will be able to persuade republicans to join on this latest proposal. republicans would like to see, if it is going to be extended and there are real divisions among republicans not only how this extension should be paid for but if it should be extended at all because some republicans don't think that it is good economic policy. they don't think it's helped the economy enough. but if republicans are looking for possibly something of only spending cuts to pay for this tax extension, tax cut extension, the president made clear yesterday in his remarks in the briefing room that he was not going to support that. so it's not likely that the president will be able to persuade many republicans in his remarks today but it doesn't seem that's probably the point since democrats see a real opening in the political fight here and they're jumping on the opportunity to push their message. >> kate, thanks. we're going to have live coverage of the president's speech. join wolf blitzer and gloria borger, the best political team on television. we'll have that speech for you 2:05 p.m. eastern here on cnn. wall street investors keeping a close eye on the european financial crisis. let's take a look at our numbers right now. the dow industrials up 25 points. standard & poor's may down grade for 15 of the eurozone nation. i spoke with ali velshi and christine romans. here is what they had to say. >> we've said it over and over again but it is the biggest destination for u.s. goods so if there's a recession or worse in europe and it doesn't get its mess together, that means american factories will close. the s&p is worried about the recession, about political will in this area to get things fixed. it's going to mean treaties and a lot of compromise by people right now who don't agree on that. >> the last thing we want to hear are american companies closing. >> these are people who buy what few goods and services we put out. the s&p warning, i will tell you that, anybody who has been reading a paper or watching the news, will know that there are problems in europe so the fact that s&p says it's going to down grade some people, i would be surprised if the market reaction is so exaggerated to that. >> it doesn't change anything today. the s&p putting into writing what we all know, and that is that europe is in a big mess and it doesn't have a lot of time to come up with some cohesion about how to fix it. >> zain verjee has the latest on the financial crisis. she joins us again from london. is there much hope for a solution? >> reporter: well, everyone is keeping their fingers, their eyes and toes crossed. the scotsman has this, kiss of life for europe. it goes on to say implementing treaty changes could take months but a commitment to tighter coordination could open the way for further emergency aid from the european central bank and the international monetary fund or some combination of the two. "the wall street journal," the europe edition, what berlin and paris wrought. it says as the new proposal heads to the european council for its consideration, we'll get a good look at whether the continent's two largest economies have truly found common ground or if they have merely diluted their principles into meaninglessness. and then lefigaro, the scenario of a multispeed europe. and under pressure sarkozy cannot allow his partners from the eurozone a choice on what to do about the single currency. he wants to set them on a forced march to save the common currency. so they have to get it done by friday is the real deadline or they'd have to kiss the euro good-bye. it's unlikely that will happen. they're going to make sure that it doesn't go downhill. >> zain verjee in london, thanks. rod blagojevich back in court this hour for a sentencing hearing on federal corruption charges. he's making his way actually to the courthouse right now. among other things, the former illinois governor was convicted of trying to sell president obama's old senate seat. his lawyers are going to argue for minimal or even no prison time. prosecutors, well, they want slightly more. our ted rowlands will be in court to hear it all. he's joining us on the line from chicago. all right, ted, it's going to be interesting to see what happens today. >> reporter: yeah, absolutely. the prosecution, like you mentioned, wants considerably more. they're asking the judge to sentence blagojevich 15 to 20 years, much different than the three years or probation as you mentioned that blagojevich's lawyers want. this judge is going to do this over a two-day period. today blagojevich is going to address the court and plead for leniency. and then tomorrow the judge will actually hand down the sentence so he's going to sleep on it, the judge. he'll hear arguments for both sides and hear from blagojevich and make his decision on the actual sentence tomorrow. now, ted, we both know blagojevich has been pretty defiant from the start. never apologizing for anything. what do you think he'll be like today as he stands up and faces the judge? >> well, that's a big question. does he come in and does he have some remorse here which we haven't seen at all, or does he keep this mantra of i'm innocent? most say if you do that, you're going to lose out. federal sentencing guidelines dictate if no remorse is shown an extension should be given in terms of time. it's a tough position because if you do go in and you say i admitted i did it and i'm sorry, that kills your appeal. so he's in a tight situation. it will be very interesting to see what he does. >> we talked about this last hour, blago's top adviser got 10 1/2 years for his part in all of this. so what do you think? what can we take away from his punishment as we look towards what's going to happen to blago? >> reporter: yeah, well, in the blago trial, it wasn't established. most folks are looking at this that he'll come down the middle. come in around ten years. the prosecution is asking for 20. blagojevich is asking for three. most people wouldn't be surprised if it comes in around seven to ten years. one interesting thing is because blagojevich will likely not be taken away right after sentencing. normally you go to a sentencing, the judge delivers the sentence and the defendant walks away in handcuffs n. this case, blagojevich may be allowed to report to the bureau of prisons. that's what the former governor of illinois got. so he may be able to spend time with his family over the holidays and report at some time in the next year but that, too, is up to the judge. we'll have to see what he says. >> all right. we'll be watching. ted roland out of chicago, thanks. does the economy have you pinching pennies? you're not the only ones. what you and queen elizabeth have in common. plus, who says you have to go out into the woods to see a tree snake? sometimes all you have to do is look behind the branches of your own christmas tree. ♪ ♪ ♪ [ male announcer ] everyone deserves the gift of a pain free holiday. ♪ this season, discover aleve. all day pain relief with just two pills. a quick look at news across the country. bp has filed a lawsuit against halliburton. this is related to the oil rig explosion last year in the gulf of mexico. bp claims halliburton destroyed evidence of problems with cement in the well. the explosion killed 11 people and set off that huge oil leak. now take a look at what people in new mexico are dealing with. an icy, snowy storm hit the state yesterday. it's been so bad that parts of interstate 10 and 25 are closed. there's a winter storm warning in effect until late this morning and some places could get more that a foot of snow. and if you have a christmas tree, you'd better check for snakes. a family in idaho found one slithering around the branches and had to call the fire department to get it out. it's not exactly the royal treatment with britain in the austerity mode. the government is freezing queen elizabeth's pay. max, what's the deal? the queen has to tighten the royal belt. >> they've agreed to a new funding deal. she used to get lots of different government grants and now one grant linked to all the property that's owned by the crown. what it effectively means until 2015 is she'll be on a pay freeze and she has been on a pay frez for the last few years, actually, cutting back every year and one of the costs to all of this is that the maintenance budgets on the palaces are actually put on hold and if you go behind the scenes at buckingham palace, there's lots of work that needs to be done. that will not be restarted until 2015, it seems. the other cost is the duchess of cambridge, they will not have a budget for their court any longer either, their team of people that help them with their official work. prince charles' dad will have to pay. relying on the parents for now. >> oh, boy. relying on the parents. sometimes, you know, it just continues. now is it true that the royals are going to be renting rooms in st. james palace, also, to make a little extra cash? >> yeah, well, absolutely. during the olympics if you're a company you can hire those rooms, glorious wood panelled rooms right in the center of london. currently where prince william and harry are based, where they're going to be moving up to kensington palace at some point. i don't think they've been rented out before and if you're into beach volleyball, a good place to be based just around the corner. not unheard of. other palaces have been rent ed out in the past and william and katherine will be moving into the flat, you can rent two until it's done up. this is a way of getting extra cash. austerity sets in. >> apparently you've been working some scoop on kate's hairstylist. what's going on here? >> terrible, isn't it? is. >> it's always, what, her hair, her makeup, her dresses. >> exactly. well, she has a very, very small entourage. a private secretary she shares with william. she only 0 travels with her hairdresser and a secretary. the hairdresser works closely with her. recently walked out of his salon to some controversy here in london, it has to be said. he's gone solo. he will be focusing just on working with the duchess, we understand it, but also he's announced on his facebook page he is actually going to be doing an american tour which i'm not sure what the palace thinks of that. you can have appointments to learn how to do kate's hair. it's quite a complex process. i interviewed him after the wedding and it's complex. a french name he invented. you can have an appointment with him. >> let me know how much that will cost, okay? we're all tightening our belts as well. max, thanks. well, coming up, the latest on the florida a&m situation. our jason carroll is talking to the parents of the drum major who died apparently after hazing by his band mates. the next phase was going to be, you know, because you been, you know, this is what you had been doing. you know, working, working, working, working, working, working. and now you're talking about, well you know, i won't be, and i get the chance to spend more time with my wife and my kids. it's my world. that's my world. ♪ two weeks after their son died on the florida a&m marching band's bus robert champion's parents are talking about the tragedy and the hazing controversy that followed. cnn's jason carroll reports. >> reporter: robert champion was living his dream, a dream that started when he was 5 years old, being a drum major. his parents say the last time they spoke to him was just before thanksgiving. >> we had talked to him and he was saying how he couldn't wait to come home. >> reporter: robert champion was a member of florida a&m's prestigious marching band, the marching 100. on november 19th after channmpi had performed at a football game in orlando, his parents got another call. this time from his sister. >> she called us and said someone had called her saying robert had problems breathing. and i think one of the band members said he wasn't breathing. >> when you get that kind of news you think, not my robert. maybe they made a mistake. so i guess i kind of still have that in my mind that it wasn't my son. this is a bad joke. >> a bad dream. >> reporter: but this is all too real. listen to the 911 call made by a band member. >> are you with the person right now? >> well, i'm outside the bus so i can hear you. >> okay. so he's inside the bus? >> yes, he's inside the bus. >> okay. how old is he? >> he is 25. >> okay. is he awake? >> he is not even -- he wasn't responding. we thought he was breathing. he was making noises. but i don't even know if he's breathing now. >> okay. is he awake? do you know? >> his eyes are open. his eyes are open. he's not responding. >> okay. but is he breathing? >> i have no idea. i cannot tell you that. >> reporter: the 911 call too pain follow for his parents to hear. it wasn't until robert's body was brought home to suburban atlanta that the shock of his death really began to register. >> kind of looked at it like he was still at school and he just hadn't come home. but to have him come home that w way, that's the hardest thing for anybody. >> reporter: why did he die? investigators suspect hazing. band members we spoke to say it may have been the result of a rite of passage called crossing bus "c." that's the bus robert was on after the november 19th game. one band member, who did not want to be identified, told me what happened. >> we have to walk from the front to the back of the bus backwards. and while the bus is full with other band members and you get beat until you get to the back. >> reporter: and the point of it is what? >> for respect. >> reporter: and the beating can involve something he referred to as thunder and lightning. what's that? >> thunder is when you get a straight hit to the chest. >> reporter: a straight hit to the chest? >> and lightning is when you get kind of like a slap to the shoulder. >> reporter: he says he, himself, has never been hazed. the beatings usually happen for one of two reasons. a mistake during a performance or as a way for the band member to gain respect. in some ways the marching 100 is bigger than the games where they play. their high-stepping choreography has earned them a worldwide reputation performing spots at super bowls and the president's inauguration. but allegations of hazing have followed the band for years. back in 2009 a student was paddled so badly he had to be hospitalized for kidney failure. and just weeks before champion's death, the band's director, julian white, had to suspend 26 of the band members for hazing. white says he tried for years to end the practice but says no one listened. the university fired white following champion's death and suspended band performances indefinite indefinitely. the school's president spoke at champion's funeral and vowed his death would not be in vain. he has denied repeated requests to be interviewed. champion's parent say the school must be held accountable. >> whatever it takes to clean up whether it is from the top to the bottom, clean house. >> reporter: they say justice will come. healing for them will take much longer. >> the thing is that i'm just going to miss his smile, his big hugs. there's nothing in the world can prepare you for that. nothing. gosh, i'm crying. nothing can prepare you for that. nothing. >> reporter: and, kyra, i did ask robert's parents if he had ever mentioned anything at all in the past about being hazed and his father says he did not. in fact, his father says when he asked him about how everything was going within the band, robert simply said, dad, everything is fine. kyra? >> jason carroll reporting for us. when it comes to newt gingrich's past infidelity, are vote, willing to forgive and forget? 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[ female announcer ] from neutrogena® naturals. i could not make working and going to school work. it was not until the university of phoenix that i was able to work full-time, be a mom, and go to school. the opportunits that i had at the university of phoenix, dealing wh profesonals teaching things that they were doing every day, got me to where i am today. i'm mayor cherie wood, i'm responsible for the largest urban renewal project in utah, and i am a phoenix. [ male announcer ] find your program at phoenix.edu. check iing top stories. nearly 60 people are dead after two suicide bombings in afghanistan. they come on the shiite holy day. a taliban spokesperson condemns the attacks. all the alleged victims in the grand jury report on former penn state football coach jerry sandusky reportedly will testify against him in court. that's what abc news is reporting. the hearing begins next week. an occupy movement members are taking their protests to capitol hill today. they plan to march to the capitol with representatives and occupy congressional offices for the day. okay. political buzz. your rapid fire look at the best political topics of the day. three questions, 30 seconds on the clock. playing today robert zimmerman, founder and editor of citizen jane politics, patricia murphy and georgetown university professor chris mets letter. first question. president obama channels teddy roosevelt making his case for the jobs bill. is that the right ex-president to be channelling? >> i think if you look historically at what teddy roosevelt was trying to talk about and obama is trying to talk about, it's actually right on. roosevelt was talking about getting rid of income equality, having a much more active federal government, a federal government protecting people, and having a more even distribution of wealth. that is exactly what obama is talking about. the only problem for obama is that roosevelt, of course, lost his next election. so he doesn't want it to be too historically accurate if you're in obama's shoes right now. >> chris? >> no, actually i think that's wrong. if you look at fdr, there are three reasons why it's not appropriate. first of all in 1912 there was no federal income tax. and so the issue of income equality really just doesn't jive historically. secondly, if you look at the government intervention in the market, well, there's not as -- there's a lot more now than then. and then finally when you look at fdr, he moved away from the progressives. and, as patricia accurately said, if you want to be the president who not only loses but loses badly, be my guest. >> robert? >> well, let me just settle this. i'm sorry, chris, patricia is correct. >> yay. >> only the issue is not about economic equality. it's about economic opportunity. that's why this speech is so historically important because in many ways, not just the challenges but many of the solutions that president obama is putting forward are comparable to solutions that president roosevelt put forward about proper oversight and regulation. but it also reflects how far the republican party has drifted to the extreme right away from teddy roosevelt. today teddy roosevelt would be ostracized by the republican party because of the principles of economic opportunity and oversight. >> all right, dan quayle set to endorse mitt romney. does that do anything for romney? chris? >> no. actually i think in terms of doing that -- has he been able to spell endorsement right? >> ooh. >> i'm not sure. i think the endorsement of romney will have as much effect as my endorsement or, better yet, robert zimmerman's endorsement. i don't think it's going to matter. >> all right. zim, i'm going to let you take it. we'll let patricia wrap this one. >> i think my endorsement might produce more excitement than dan quayle's endorsement. the point is i can report to you and to the panel that initially former vice president quayle was going to endorse herman cain. it was easier to spell. now romney, obviously, is easier to spell thank gingrich. a political note worth observing, if this is a long, protracted battle, delegates are chosen proportionately, arizona might be in play. that's why dan quayle might be relevant to a long-term strategy. >> patricia? >> i think we should hope that it doesn't have too much of an effect on that. i don't think that a dan quayle endorsement will do a whole lot for romney although i do think for newt gingrich we do have a really unusual situation here. very few people who served with gingrich in the house including dan quayle have endorsed gingrich. he is trying to run as an outsider and this way it does look like he's an outsider but we've had heard from people who served with gingrich when he was leading. they did not like his leadership style. he was erratic, a bully. i think this is going to be a bigger story going forward and why don't people who served with him like him anymore. >> quickly, everybody spell potato. i hope everybody got that. >> too much pressure. >> you know your dan quayle history. buzzer beater, i'll let you off the hook. 20 second. >> i'll spell. potato. >> anybody want to argue? >> no. >> how smart our panel is. 20 seconds each on this one. jimmy fallon took a jab at newt gingrich last night. take a listen. >> everybody is talking about the presidential election, and this is big two days after stepping down there are rumors that herman cain is endorsing his former rival, newt gingrich. not to be president, to be his new wing man. >> first we were thinking about wing man like "top gun" hear the danger zone. maybe it's like in "swingers." are voters willing to forgive and forget newt's affairs? >> "top gun"? i'm thinking of a tackier version if possible, an older burned out tackier version in "the situation" with herman cain and newt gingrich. the reality is that even they had better excuse for their condu conduct. newt gingrich said he cheated on his wife because of love of country. our country will not forget that type of rationale. >> chris? >> actually, i think that they will. we already know the deal. this is nothing new. it's old news. i think as it relates to newt, there are three things that he's doing correctly here. the three kind of staple of american politics and, number one, of course, is money. he's garnering a lot of money. the second one is muscle from an organizational standpoint and then the final thing is annihilate your opponents with kindness, which is what he's doing which is why he'll get the cain endorsement. >> patricia? >> i'm going to agree with chris, even though he disagreed with me earlier. i don't think this will have an effect. conservative voters have much more significant problems with mitt romney's positions and flip-flops on positions than with newt gingrich. they obviously don't care anymore. this is old news. and ironically there is no other candidate who puts his wife front and center more than newt gingrich does now. so if you don't mind -- i just don't think republicans care anymore. >> great to see you, guys. thanks for the fun today. last year's payroll tax cut is set to expire at the end of the month. if that happens it means less money in your pocket. alison kosik, does this -- what does it mean for people's paychecks? >> reporter: it certainly does not mean small potatoes, keeping with the potato theme you have going there. if you're the average worker with this payroll tax cut in place, it means an extra $1,000 a year in your pocket. now if congress does not extend it on social security, it's going to go back to the normal level of 6.2% that would happen in january. right now we're paying 4.2% so obviously americans -- working americans are paying less. now congress, first of all, voted to cut the amount that american workers put into social security last year to help stimulate the economy because the thinking is the more money people have in their pockets, the more they're going to spend. but if this payroll tax cut is not extended, take a look at what this means for you, what that two-point increase means. if you make $35,000, let's say, an extra $700 will be taken out of your pay next year. if you earned $50,000, an extra $1,000 will be taken out. if you make more than $110,000 a year, more than $2,000 would be taken out of your paycheck. it's certainly noticeable when you get your paycheck. it's nothing to sneeze at, this extra bonus you get every month. kyra? >> all right. alison, thanks. johnny depp's featured in a new christmas song called "can the jesus stagg night" but the lyrics aren't inspiring a lot of holiday spirit among some religious groups. we have the details in showbiz. well, if you department get a chance to see the larry king special, "dinner with the kings" you missed interesting conversation including the host actually shocking his guests by telling all of them that he wants to be frozen after he dies, of course. one of king's guests couldn't wait to talk about it either. >> in a new interview larry king says he wants to be frozen when he dies. yeah. when asked why, larry said, i really miss the ice age. >> imagine having dinner with conan? that would be fun. a.j. hammer, joining me from new york with more on larry king's comments. was he serious, a.j.? >> would you be surprised, kyra? >> i wouldn't be surprised. >> and i've been told he's actually talked about this before. the reason behind this he says his hope is if he freezes himself, doctors can fix whatever killed him and bring him back to life so, kyra, i can see it now, larry is going to be interviewing heads of states in other galaxies far, far away 300 years from now. i keep wanting, kyra, to make a joke about a king-sicle. i won't go down that road. >> it's not surprising. we never thought he would retire. that was a shock, are you know. we thought he'd keep going and going. what the heck? i guess this is no surprise. johnny depp apparently has a christmas song. i haven't heard it yet. christians are not too happy about it. >> no, and it's not too hard to figure out why a song called "jesus stag nightclub" would rub people the wrong way. it could be the number one single in the united kingdom on christmas day, it's even more infuriating to the christian groups. now the lyrics are all about a bachelor party with jesus and include lyrics about hanging naked off a church spire, jesus laying naked in the street. they quote a local leader as saying this, one day johnny depp and his cronies will face the judgment of our lord and they will burn in hell for this fillth. i should point out, playing guitar on this track. he didn't wrat it. he didn't sing it. it's performed by baby bird. we've reached out to them. haven't heard back on that just yet. yeah, you can understand why people might be upset by the nature of that song. >> stay tuned. thanks, a.j. you want more information on everything breaking in the entertainment world, a.j. has it. every night at 11:00 eastern on hln. amanda knox mate be getting ready to write her story. she has hired an attorney who is going to help broker a possible book deal. ♪ bum-bum, bum-bum, bum-bum ♪ - ♪ ai, ai, ai - ♪ bum-bum - ♪ bum-bum, bum-bum - ♪ [ ice rattles rhythmically ] ♪ bum-bum, bum-bum, bum-bum ♪ ♪ [ imitates guitar noise ] ♪ [ vocalizing up-tempo heavy metal song ] ♪ [ vocalizing continues ] ♪ [ all singing ] the redesigned, 8-passenger pilot. smarter thinking. from honda. ♪ when the things that you need come at just the right speed, that's logistics. ♪ ♪ medicine that can't wait legal briefs there by eight, that's logistics. ♪ ♪ freight for you, box for me box that keeps you healthy, that's logistics. ♪ ♪ saving time, cutting stress, when you use ups that's logistics. ♪ making news across the country, amanda knox one step closer to telling the world about her ordeal inside the italian justice system. she has hired attorney robert barnett to represent her in a possible book deal now. the state of vermont is standing by an artist in his struggle with chick-fil-a. they say his t-shirts eat more chicken. vermont's governor helped set up a fund-raising campaign. the attack on pearl harbor, a gathering to mark the milestone. tomorrow is the 70th anniversary of the date that will live in infamy. all this week cnn goes in-depth on the iraq war winding down after nine years when a young u.s. army officer was shot and killed last month in northern iraq, his squadron went after his suspected killer using a new and different tactic. many think its success would help determine the success of the wider war in iraq, a warning, though, parts of this report are pretty disturbing. here is our martin savidge. >> reporter: like many service members in iraq, these soldiers are ready to go home. but before they can go, there's one more thing they have to do. armed and in full body armor, they head toward a building in kirkuk and cnn was there as the soldiers went after the man suspected of killing one of their open. 25-year-old first lieutenant dustin vincent of mesquite, texas, always wanted to be a soldier, a dream that tore at his mother's heart. >> so i told my son, i don't agree with it but i'm here to support you. >> reporter: arook was vincent's first tour of duty but a sniper's bullet ended the mission in early november. and shattered the life of his high school sweetheart who vincent married just two days before he deployed. insurgents posted this video online showing the attack set to music and recorded over a long distance, it shows a military convoy stopped on the street. there's a gunshot and a soldier drops from view. there's no way to know if this video is the actual killing of lou sent vincent. meanwhile, word has reached the men of vincent's squad that the alleged gunman has been captured. they come to the courthouse in kirkuk not for revenge but justice. lieutenant vincent's death is being handled as a homicide. >> there was a crime committed and because of that crime a lieutenant was killed, and so everyone wants to see justice done. >> reporter: time was an attack on american forces would have resulted in an air strike or a firefight. instead, the lieutenant's death has triggered a trial in an iraqi court. the soldiers meet with the prosecutor to testify about what happened. they go over the evidence including the video. it's a sign of just how much things have changed and u.s. officials say the iraqis are delivering real results. >> they have been willing to take on the cases of the terrorists who have attacked the u.s. troops, and i think that's a really good sign. >> reporter: outside kirkuk at the base where he was stationed, lieutenant vincent has been added to the wall. each name a painful reminder of the sacrifice that has taken this part of iraq from the rule of the dictator and, in this case, to the rule of law. martin savidge, cnn, baghdad. an obama adviser has some choice words for republican newt gingrich. coming up, why david axelrod calls him the godfather of gridlock. david beckham and the l.a. galaxy had a match in australia today and it could be beckham's last game with the team. say it isn't so. then again, when they took him, didn't he have an injury like the first week he started? yeah, that's right. and deokay. he spent five years there and he helped the l.a. galaxy win the mls cup. they were just find of finishing their end of season business in australia today, playing their last friendly of their postseason tour of australia. he played for almost the entire game against the melbourne victory. he had a few chances, kyra. he won them a crucial penalty which helped them to a win against the melbourne victory on penalties. and this could well be the last time you see him in a galaxy shirt. he still hasn't said what's going to happen next but many people feel if he was going to stay, he would have said so by now and having spent five years in l.a., it seems as though his next team could be paris but we'll have to wait and see. >> he sure made some serious cash going to the galaxy. now you have to show us some love for some american soccer players. >> i'd love to do that. you say that as if i would be disingenuous. you have some good ones. dempsey made a name for himself. he plays for a london team and he scored the winning goal against liverpool which means he is now america's top scorer in the premier league. that was his 37th goal, the 37th scored by an american in the premier league. and he's had a great career. he was raised in texas. he played for new england before being sold for a price tag of $4 million which remains the most the premier league has ever paid for an american player and he's doing pretty well for himself there. i also have to mention to you abb abbey wombach, made it all the way to the world cup finals, has been short listed as one of three players that could win fifa's world female player of the year award this year and, of course, having helped her team get to the finals she has a great chance of winning that honor. >> she's a heck of a ballplayer, that's for sure. thanks, don. well, if you want to get to know someone quickly, take a whiff. a new study finds that you can make accurate judgments apparently about someone's personality based on his or her odor. res researchers have so-called odor donors wear a t-shirt for three consecutive nights. sniff testers were then asked to rate the penalty. some traits were easy to spot and smell. coming up in the newsroom with suzanne malveaux, occupy foreclosed homes. we'll talk with one of the organizers about what they're hoping to accomplish. plus, meet the high school student who won $100,000 for her cancer research. a judge in the competition called her invention the swiss army knife of cancer treatment. that's next. ♪ [ electronic beeping ] [ male announcer ] still getting dandruff? neutrogena® t/gel shampoo defeats dandruff after just one use. t/gel shampoo. it works. neutrogena®. and what it doesn't cover can cost you some money. that's why you should consider an aarp... medicare supplement insurance plan... insured by unitedhealthcare insurance company. all medicare supplement insurance plans can help pay... some of what medicare doesn't, so you could save... thousands of dollars in out-of-pocket expenses. call now for this free information kit and medicare guide. if you're turning 65 or you're already on medicare... you should know 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and now current top chief strategist for president obama is going after gop presidential candidate newt gingrich. david axelrod speaking to our piers morgan. he really slammed gingrich pointing to his years here on capitol hill, years here in congress, accusing him really of being the epitome, if you will, of gridlock in the partisan bickering that voters have become so frustrated with. listen here to david axelrod. >> he's really the godfather of gridlock. he was the one who really created an environment for which people started treating each other as enemies and not as opponents here in washington. >> reporter: gingrich, as you well know, has taken the lead in a third straight poll of likely republican voters in iowa and so clearly, as you said, kyra, the higher you rise in the polls, the more attention from the other sigh. he's grabbing the attention of president obama's re-election campaign at this moment. >> i guess we could have expected that. the occupy protesters, kate, you heard we were talking about they are moving their demonstration to capitol hill today. so what's the deal? are they going to camp out in the halls of congress? >> reporter: to be honest it's a little unclear. there's a lot of talk about this, that there could be an occupy congress movement today and we're definitely keeping our eye 0 out for it. we have producers and cameras walking with them. we're to

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