accused of murdering the mother joann bain and daughter 14-year-old adrienne. the two girls, 12-year-old alexandria and sister khaliah are safe and unharmed. authorities say adam mayes believed he was the father of those two little girls. george holland is live in atlanta. if you could go over exactly xa what happened last night. >> let's talk about the two girls. both girls from what we've read from these affidavits very likely knew their mother and older sister were killed. we know that they were found alive. we know they were sent to a memphis hospital where they are being treated. in fact, we heard from a federal investigator who tells us "they are suffering from the experience of being out in the woods, from being kidnapped, they are suffering from dehydration and exhaustion but appear to be okay." that is first and foremost the condition of those girls. let's talk about adam mayes. he was found in a wooded area in union county, mississippi, in that guntown area that investigators had focused in on. and this was a task force nearby, a task force of the mississippi highway patrol, special operations team, and also officers from the state game and fish department. they got a call from someone who noticed a vehicle that this person believed belonged to mayes. when these officers got to this wooded area and started closing in, they heard a gunshot. then they got closer and discovered adam mayes had shot himself, shot himself in the head. mayes was rushed to the hospital and he either died en route to the hospital or at the hospital. >> george, we know the girls are physically safe. and they're in the hospital. what happens to them now? >> well, we believe that at some point, they will go back into the care of their father, gary bain. and again, we know that bain has been in seclusion, obviously very distraught since all of this happened. but that is very likely what will happen next. obviously they are in memphis at this point being treated just to make sure that they are okay before being reunited with their father. >> i think it was a qulef sigh of relief when they said that those two little girls were okay. thank you for all those details this morning. also making news this morning, jpmorgan chase is the stock to watch after the banking giant's ceo dropped a $2 billion bombshell yesterday. jamie diamond making jaws drop all over wall street admitting in a conference call a trading portfolio that was designed to hedge credit risk actually lost $2 billion and could actually lose $1 billion more. >> the new strategy was flawed, complex, poorly reviewed, poorly executed, and poorly monitored. the portfolio has proven to be riskier, more volatile, and less effective an economic hedge than we thought. >> jpmorgan chase's stock took a 6% hit yesterday and it could be headed lower again today based on the morning futures. an apology to the boss from the vice president. senior administration officials say joe biden has apologized to president obama for putting him in a tough spot on the same-sex marriage issue. it's a story our own jessica yellin first broke here on cnn. biden came out in support of same-sex marriage on a sunday morning talk show and some believe that forced the president to make his own announcement ahead of schedule. we're told the president responded by telling biden he knew that he was speaking from the heart. the john edwards corruption trial is coming to a crossroads today. the defense planning to ask the judge to dismiss all of the charges against the former senator, claiming that prosecutors haven't proven their case. that's standard operating procedure. prosecution rested yesterday without calling edwards' former mistress rielle hunter to the stand. a tornado slamming a high school, injuring eight people. this is in south texas. take a look. the twister striking after school hours but the victims were in the parking lot for a fund-raiser. several other students were still at softball practice. >> our coach realized what was going on and he grabbed us all and stuck us in the closet to keep us safe. the press box, the football field was just gone. so all of that was just blown away. >> very smart coach. the tornado also hit a nearby elementary school but no one was injured there. and this just in. we like to do this, give you the national average gas price because it dropped again. another half a cent just in the past 24 hours too. the new national average for a gallon of gas if you're filling up this morning, $3.73 a gallon. the gas prices tend to peak around independence day, so wait because we're going to have to see if the worst is yet behind us as the summer months plug on. >> i hope it keeps on falling. mitt romney apologizing for something that he's accused of doing when he was just a teenager. was it hate? or a harmless high school prank? we're going to go live to washington for more details. that's coming up next. have a good day, honey. i love you, ok. bye, mom. 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"the washington post" quoting several romney classmates who witnessed the incident. they sure didn't think it was a prank, one of them calling it a vicious hack job. another saying that he is still troubled by it to this day. here's romney's reaction to the incident. >> i don't recall the incident myself but i've seen the reports and not going to argue with that. there's no question but that i did some stupid things when i was in high school and obviously if i hurt anyone by virtue of that, i would be very sorry for it and apologize for it. >> cnn's political editor paul steinhauser is live. 50 years ago is a very long time but there are others who allegedly witnessed these incidents, one of them saying he was so troubled by this that he called it an all-out assault. >> yeah, this story's getting a lot of traction. kind of exploded after that "washington post" article that came out yesterday morning. here we are the next day talking about it. i have a feeling we'll be talking about it a few more days. jim spoke to philip maxwell from "the washington post." "i'm a lawyer, i know what an assault is. this kid was scared, he was terrified. that's an assault." maxwell told jim acosta he still considered himself a friend of mitt romney. the romney campaign put out some quotes from other classmates that knew mitt romney 45 years ago, much kinder to mitt romney, and what kind of student he was back then. kevin madden, one of the senior advisers to the romney campaign, he was on cnn last night. it was interesting what he said, the take from the campaign. he said this was a long time ago,fy years ago, as you mentioned. he said, i think that this is not going to define him, what defines him is how he acts today. that's what the romney campaign is trying to say, that was a long time ago, now is now, judge this man, this candidate, on what he's doing today. a lot of republican pundits and analysts are saying the same thing, blame is the media and saying, what about president obama? four years ago, remember the comments senator obama said in his book, that he used illegal drugs in high school, that was an issue on the campaign trail. >> and it always comes back. once you're in the limelight, klieg lights get brighter. he's still on the campaign trail, but he is at liberty university, jerry falwell territory. is he likely to address this? >> i'm not sure if this comes up. but maybe his mormon faith comes up. when he was running in the republican primaries a lot of social conservative voters who were a big part of the base of the republican party were not so comfortable with him, a lot of their vote went to rick santorum and other candidates. maybe this speech at liberty university, the evangelical school founded by the late falwell, what may come up may be the gay marriage news from earlier this week maw come up. another attempt for mitt romney to get his house in order as he moves on and takes on president obama in the general election. >> paul steinhauser live in d.c., thanks for getting up this morning, appreciate it as always. 5:12, let's get you up to date on other top stories. fugitive kidnapping and murder suspect adam mayes is dead. two young girls with him were rescued unharmed. mayes shot himself in the head as police closed on him last night in mississippi. mayes and his wife were charged with abducting a mother and her three daughters and killing two of them. >> police in portland, oregon, have linked three decades old murders to the so-called i-5 killer. investigators say dna tech technology "definitely proves" that randall woodfield killed a total of seven people during a 1980s crime spree in oregon and california. so imagine this. you or a flight and one of your fellow travelers tries to open a cabin door mid-air. that actually happened on a us airways flight from maine to philadelphia. the plane had to be diverted to boston's logan international airport. a spokesman for the airlines says the passenger became disoriented and was subdued by a flight attend ant. gas pumps will be getting a makeover. the epa is planning to phase out rubber fittings on pump handles that be designed to capture gas vapors that you can still smell. more than 70% of the cars on the road are now equipped to do that themselves. some 31,000 gas stations across the country will be affected by this move. if you are leaving the house right now watch us any time on your desktop, maybe on your mobile phone. cnn.com/tv. a dangerous flood threat for a second day in a row for the deep south. rob marciano is tracking the storms for us. >> a year ago this place was bone dry, much of central and southern texas yesterday and the past several days seeing a tremendous amount of water, 2 to 4 inches. here's video coming out of mid land which saw 2 1/2 inches yesterday. and all the drainage ditches and canals certainly filling up with water in a hurry. so flooding there and the flood threat as you mentioned is going to progress off east. dili, texas, was the dinner with 4 inches. austin saw 2.7 inches of rainfall. that was a record. on top of that we saw tornados. you saw the video in the first block of the show of tornados near austin cog damage to a high school there. 14 reports of tornados across texas yesterday, quite a bit of action across corpus christi. the line itself is moving offshore and to the golden triangle of texas through houston to beaumont, port arthur, eventually moving toward lake charles. this bow echo heading into the open gulf of mexico, certainly has powerful winds with it. the bulk is offshore. lake charles, this is where heavy rain is going to be falling throughout the morning today and through the afternoon. 2 to 4 inches of additional rainfall so flood watches and warnings have been posted. further east, we're talking gorgeous stuff along the east coast today. but eventually this storm will ride along the gulf coast, get to the southeast over the weekend. much of the northeast will remain in decent daytime highs. d.c. 74. 69, gorgeous day for the most part in new york. >> boy, i'll say. >> take a look at the picture behind us, it's gorgeous. sunrise over central park, there's nothing like it. 5:15 here. it is time for "early reads." catholic bishops now investigating the girl scouts. "the washington post" says the catholic church is concerned the scouts are promoting abortion and contraception. why? critics claim some girl scouts materials link to organizations that promote family planning and discrepancy access. the catholic church could ban the girl scouts from holding any meetings in their churches. catholic girls make up one-quarter of the nation's 3 million girl scouts. i was one of these. >> this is a head-scratcher. things don't seem to really equate. so a swimsuit model is getting -- we love the tan mom. >> love the story, yeah. >> it's just one of those head-scratchers too. the swimsuit model who's getting this tan mom treatment in h and m ads. she is one tan girl. you can see the pictures there. "the daily mail" is reporting these kinds of ads -- >> this one in particular. >> look at that. that is spray-on tan, isn't it? they're angry because this is causing outrage from people, cancer groups saying this company is promoting dangerous beauty standards and h and m is apologizing saying it wasn't the intention, actually, to give off that image. the ads are featuring a brazilian model, very pretty, isabel fontana. we do have a picture what was she looks like without her dark tan. that is a very different looking girl and she is i would say, personal opinion, even more beautiful without the tan. >> she is gorgeous. we know the 2012 predictions from the ancient mayan calendar. come december 21st the world is going to end, like in this scene from the movie "2012." >> that's a bummer. >> don't worry, we have good news. another mayan calendar has been discovered and it says we've got a lot of time left. another 7,000 years, at least. >> oh, good. if you were watching those commercials on tv saying, the mayans say we're done for at the end of this year, spend it all. >> no, we're not. according to "national geographic," archaeologists discovered mayan murals, hieroglyphics and astronomical predictions deep in the guatemalan rain forest. researchers say the calendar is 12,000 years old. >> take that, mayans. head to our blog, cnn.com/earlystart. easy to get there, lots of good stuff. 5:18, wall street waking up with egg on its face once again. how bad bets cost banking giant $2 billion in just six weeks. more details on that right after the break.id you know, i have done something worthwhile. when i earned my doctorate through university of phoenix, that pride, that was on my face. i am jocelyn taylor. i'm committed to making a difference in people's lives, and i am a phoenix. visit phoenix.edu to find the program that's right for you. enroll now. a farewell long awaited. goodnight, stuffy. goodnight, outdated. goodnight old luxury and all of your wares. goodnight bygones everywhere. 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[ male announcer ] it's a network of possibilities -- helping you do what you do... even better. ♪ we are minding your business this morning. u.s. markets closing mixed yesterday. the dow and s&p 500 making gains. and the nasdaq closing slightly lower. >> the up and down arrows as we like to say. major gains in stocks being held back by continued uncertainties surrounding europe. we seem like broken records when we say that. let's focus on one company in particular this morning with a l allison kosic. $2 billion loss. >> this is a classic example of why everybody loves to hate the banks and why everybody's talking about more and more regulation. jpmorgan chase had this surprise conference call yesterday with stock analysts essentially saying, the ceo jamie diamond saying, oops, we made risky bets and we lost, we made huge losses caused by errors, sloppiness, bad judgment. he called these errors stupid. keep in mind jp morgan chase is the biggest bank by assets and it made some massive bets geared toward the economic recovery. but those bets jamie diamond says went bad when the market began to turn the other way. what happened was as we learned in the conference call yesterday, that caused the bank to lose $2 billion. those losses could go even higher. i want you to listen to some of that conference call right now. >> speaking for the senior management team and myself, while we can't assure you we won't make mistakes, we can assure you we'll try not to. these were egregious mistakes, they were self-inflicted, we're accountable, and what happened violates our own standards and principles about how we want to operate the company. this is not how we want to run a business. >> clearly he's owning up to these mistakes. ironically, these mistakes came from the part of the company of jpmorgan that's designed to hedge against risk. obviously this is raising a whole bunch of questions. number one, where was the oversight? who was watching this group making these risky bets? keep in mind, though, jamie diamond says even with this $2 billion loss, which could go higher, at least $1 billion higher, the company's still coming out ahead for the latest quarter, $4 billion. so it's not hurting their balance sheet. but still, it's a huge hit. and a huge shock to this company that really weathered the financial crisis much better than its peers, especially after it took over bear stearns, washington mutual. it's really a pillar o