much much. much. here we go, hour two. -- captions by vitac -- www.vitac.com welcome back. i'm brooke baldwin. news just in from the mitt romney regarding those iowa caucus results. this as rick santorum declares victory and newt gingrich cuts into romney's leads in south carolina. time to play in all political roulette here. cnn politics style. we'll begin with jim an costas following team romney this charleston, south carolina. jim, it looks like iowa is out of now romney's you know, win column. the newly certified tally shows santorum actually won the caucuses by 34 votes. what's romney saying? >> that's right. that's a good question, brooke. we're not really sure right now, to be quite honest with you. our paul steinhauser told me a few moments ago that he got a call or that he called hogan gidly with the santorum campaign and the santorum campaign says mitt romney called rick santorum to concede the iowa caucuses. now, candy crowley has said she has heard from the romney campaign and they're saying no, we did not call rick santorum to concede the iowa caucuses. so i guess we just have to let the viewers decide. basically here's what happened. earlier this morning, an e-mail came out from the romney campaign that -- and it was a statement from mitt romney calling what happened in iowa "a virtual tie." a few hours later, the and tore rum campaign puts out a press release saying santorum wins iowa. we tried to press mitt romney on all of in this morning at this event outside of his office here in charleston. he had no comment on what happened out in the iowa caucuses. we did briefly catch up with him and talk to him about rick perry's dropping out of the race. i don't know if we have that sound ready. we'd like to play it. >> we do, jim. >> he only had some brief comments about rick perry. here's what he had to say. >> governor perry, terrific guy, terrific conservative. been a great governor. was great in the race. we're going to miss him on the stage tonight. >> how about this, final results in iowa? is it fair to call it a tie when santorum came out on top? it's been a big news day. can you give us a couple comments, sir. >> i've got to get through. >> so brooke, i don't know if you caught that. we were trying to. >> you tried. >> talk to mitt romney about the fact you're calling it a tie. but yet, you know, when you won, when it was said that you won the iowa caucuses by eight votes, he was out in new hampshire calling it a squeaker. john mccain was calling it a landslide sort of jokingly. so they were fully prepared to call that will a victory after they won by eight votes. now that rick santorum is ahead by 34 votes, it's all very confusing. i have to be honest with you. we don't have a straight answer on this one. >> so there's confusion over a concession. let's just take that out of this whole issue, right? we know matter of factually that the rick santorum did win the i an caucuses. tell me how that directly affects saturday in south carolina and the primary where you are. >> reporter: you know, what it does, i mean it doesn't really affect things a great deal in terms of delegate counts and that sort of thing. it sort of chips away at this air of inevitability that the romney campaign so carefully tries to craft out here on the campaign trail. their big argument is he is electable, right. so the before they were saying look, he's 2 for 2, he won iowa and new hampshire, no candidate has done that since gerald ford, no nonincumbent has ever done it ever. now that equation changes a little bit. and you go into south carolina. keep in mind he had a bunch of missteps up in new hampshire. remember pink slips talking about i like to be able to fire people even though that was sort of taken out of context. those were considered gaffes. he could afford to do that in new hampshire. now he's having a difficult week here in south carolina. but the margin of error is razor thin, brooke. he is only up by seven points in a politico poll behind by a point in an arg poll. going into tonight, all of the pressure is on mitt romney at tonight's debate. >> jim, i can't wait for tonight. it's going to be fascinating with the four guys on the is taken. thank you. let's continue the conversation. we go to des moines iowa. rick santorum claiming that caucus victory, those 34 votes. now more than two weeks after the fact. i just asked jim, shan, same question to you with regard to the signatures of this win and also just the reaction. what are you hearing from the santorum campaign? >> reporter: well, let me start with the second question first. the reaction. jim just mentioned he tried to press the governor, governor romney how can you call it a tie. i asked that same question to the chairman of the iowa republican party, the headquarters is right behind me. and he says unequivocally this is not a tie. this is a clear win for rick santorum without any doubt. now, let's just talk a little bit about how we got to this point. unofficial result on caucus night, right, brooke? because all of the different precinct chairs across iowa were calling in their results. they had two weeks to submit a form, a form that was the official document that said what we phoned in on caucus night is what our official numbers are. eight precincts didn't do that for whatever reason. the chairman strawn said they either lost the paper or just didn't send it in for whatever reason. i have called around and identified -- i've identified all eight precincts and identified results unofficial results from four of them. and the numbers change a little bit. now, again, these are unofficial. these don't go with the certified totals because this is form, they won't put it on form but i spoke with a man named don lucas, county chairman that will contains where all these four precincts lie and the numbers that i got change a little bit and say that rick santorum still would have won by 59. again, i can't stress enough that these are not certified numbers but it's important because us as don lucas told me, brooke, every vote matters. he's a little bit upset with the iowa republican party that these numbers weren't included just because they were on a form. wanted to mention one last thing. don lucas does not support, does not endorse anyone. he's telling me these are the numbers that he phoned in, but didn't get them on the form, brooking. >> every vote counts. we're all going to keep that in mind as we watch the votes come in this saturday in south carolina. shannon travis, the man in iowa for seven months. you got sucked back in on a 9 degree day. i just checked the weather because you look chilly. >> 5 degrees, brooke, 5g degrees. >> chilly. thank you. next let's go to joe johns who is in beautiful charleston, south carolina with more on the surging newt gingrich numbers. we have the new number. let me just share them. the new poll numbers show him cutting into mitt romney's lead in south carolina. have you romney down four points from the first week of the month, gingrich up five points. he has cut romney's lead nearly in half. i imagine gingrich feeling a little better today. >> reporter: yeah, feeling pretty happy. you would think. i mean, a good day for him when you consider the fact, brooke, that rick perry got out of the race. he there he his support behind newt gingrich. what's not to like about a day like this. frankly the gingrich campaign is kind of in damage control right now. that's because marianne gingrich gave an interview to abc news and in that interview said among other things that newt gingrich wanted some type of an open relationship between himself, marianne and ca lis tas business sick who later became callista gingrich, the current wife of newt gingrich. that's kind of, if you will a mess. they're in damage control. two of the adult daughters of newt gingrich actually put out a statement talking about the fact that any divorce is a tragedy, a personal tragedy in other words. the implication beinging that abc ought to leave it alone though they never actually said that. so at a media availability down in beaufort, south carolina, i asked newt gingrich about these new revelations and listen to his response. >> look, i'm not going to say anything about marianne. my two daughters have already written to abc complaining about this as tawdry and inappropriate. both of my daughters are prepared to speak on the record with any of you who would like to talk to them. several other people who knew the situation are prepared to speak on the record. i'm not getting involved. >> reporter: so the question, of course, is how is all of this going to play out in the election and we'll probably know that on saturday. brooke? back to you. >> we will see saturday night. before saturday we've got huge, huge news. tonight, right? the gop contenders facing off for what could be the final debate. join john king and wolf blitzer for the southern republican presidential debate right here on cnn tonight 8:00 eastern only on cnn. we'll have more on our special political coverage ahead, including what impact rick perry's endorsement will have on this race, plus the u.s. navy making a big move near iran as tensions heat up. also, first ahead, then hands. now more body parts found near the hollywood sign in los angeles. investigators are revealing a theory now in this miss have i. and then the one and only dolly parton. joining me live this hour with a huge announcement. by the way, it's her birthday today. let's wish her a happy birthday. stay right here. east, there's so much to choose from. 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[ male announcer ] osteo bi-flex. the #1 doctor and pharmacist recommended brand. all your important legal matters in just minutes. now it's quicker and easier for you to start your business... protect your family... and launch your dreams. at legalzoom.com, we put the law on your side. happening right now, you're about to see it. rapid fire beginning with the number of people filing for unemployment benefits last week was 352,000 folks. that is the lowest that number has been in almost four years. bank of america raked in $2 billion in the last quarter of last year. that net income definitely surpassed predictions from analysts. it goes a long way to make up for a loss the year before. bank of america cut 7,000 yobs in the quarter and plans to cut 30,000 eventually. gas prices are going up this spring but not quite as much as in the previous year. still analysts say ecould be paying $4 a gallon in some parts of the country by the late april. demand for gasoline is down, but a key oil refinery on the east coast is shutting down soon reducing supply and pushing up gas prices. and i riot broke out at a south carolina prison overnight. the whole thing started when two inmates on work detail overpowered two guards, took their keys, took their radio, they went on a spree opening the doors. releasing the other inmates. nearly 200 officers rushed the maximum security lieber correctional institution. a rapid response team had to use tear gas to help get inmates back in their cells. two guards had to be treated for minor injuries. divers have now returned to the waters right around the ship wrecked italian cruise liner. for now, the operation is still technically a rescue, but authorities are considering changing the mission to recovery. with at least two dozen people still missing, families are, of course, asking authorities, please continue the search. . >> translator: i would like the rescuers 0 to not stop look and continue look. my little girl, they need to bring her back home as soon as possible. we are told though, as soon as the operation is declared a recovery, salvage experts will then start going in and pumping the fuel out of the ship. the chairman of the u.s. joint chiefs of staffs is in israel for talks over tensions with iran. martin dempsey will meet with benjamin netanyahu and other top israeli military officials. there has been as we've been reporting is growing concern over iran's nuclear program and its threat to close strait of hormuz to international shipping. speaking of iran, a source close to cnn here telling us the u.s. navy is sending a second aircraft carrier into the waters off iran. this comes as we mentioned those tensions mounting over iran's threat to block the strait. the strait of hormuz which serves as a channel for 20% of the world's oil. and just weeks ago, iran warned the u.s. not to send another carrier through the strait. developing this hour, a mystery in california. more body parts found near the hollywood sign. and investigators are revealing their hunch. find out what they're hoping to find and what one local calls a freaky situation. that's next. it is a california land mark. now the area right around the famous hollywood sign is a crime scene. and a pretty bizarre one at that. since tuesday, police have found first a head, then the hands and a set of feet believed to be from a middle aged man. crews are fanning out across a seven acre area looking for his torso. andrew blank steen is a reporter with the l.a. times. this is strange even by hollywood standards. you're looking when police are looking at the head, the hands and feet, what can they tell? how long has he been did, that kind of thing? >> well, what they've said so far is that they think that this murder happened fairly recently. based on the condition of the body parts. somebody was killed and then brought to that area and perhaps buried. some of the parts were buried. now, how they were scattered around the small area. but still, how that happened and then obviously, the most kind of dramatic and macaque part of it with this human head found by these dog walkers, obviously, makes this a pretty compelling story. >> let's listen to what now the l.a.p.d. has said about the search and then i've got a question for you. >> we're thinking the torso would be awfully difficult for someone to carry up a hill like this. maybe from the top, but we also have people up above us on the hills coming down from the top. so if there's a chance that it's up there, hopefully we'll find. who knows what we're going to find up there. we'll send our crews through here and told them to look for anything that might be a clue to this case. >> so andrew, we know that the head was found in a bag as he mentioned, no torso. how were the hands and feet found? >> well, the feet were found in a shallow grave according to my law enforcement sources. and then the hands were nearby. and one of the things that they're trying to figure out, obviously, in addition to looking at this crime scene is some of the other elements of this, which is were there any people that saw anything on either hiking and this is kind of the heavily traveled area, certainly during the day. and in the neighborhood. does anybody remember anybody driving through quickly or getting out of there. then there's the whole thing about was there somebody who had a loved one who was missing and then calls in. so there's a lot of things that are happening behind the scenes. you know, besides some of the things that are going out obviously during the search out in the hills. >> when i think of, though, a severed head, i think of gang violence, cartel violence. we hear of heads being found on the texas border, arizona maybe. but near the hollywood sign? can you try to explain that? >> well, yeah. it's a place that you really wouldn't think that would be kind of a likely burial ground for this. i mean it certainly conjures up a lot of images. obviously, this it is hollywood. so people have a pretty broad imagination. one thing that police have said is that they think the reason why the parts were buried or somebody tried to bury them was to get rid of any identifying factors. you know, one of the things that the coroner's office now is looking at is going to be the dental records and the fingerprints. >> prints. >> you run dmv records or look at a criminal past. so even though yeah, it definitely kind of strikes you as incredibly ma coabre, there are these elements, was it a hit, something else, time will tell. >> i know a final question questioning a lot of people. when is this about brad pitt's bodyguard being questioned? why? >> you know, i have not heard that. and the question, i mean, if somebody -- if he was and again, they've questioned a lot of people in the neighborhood in the area. so it's hard to say exactly why. but you know, one of the first things they did day one was canvass the entire neighborhood as well as anybody who had been you know, hiking in the area. so, whether it was him or many other people, i'm sure you know, they had detectives all over the place the past few days trying to get something, anything, that will help em soe thi case. >> andrew blank steen from the l.a. times, thank you so much. very macabre story. rick perry out of the gop race. he quickly threw his support behind newt gingrich this morning. so in a state gingrich must do well in, what impact does perry's endorsement have in south carolina? 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