Apr 28

CARL AZUZ, CNN STUDENT NEWS ANCHOR: How long can you sit on a plane without it taking off? The government has something to say about that subject. The story's coming up in just a few minutes. I'm Carl Azuz. CNN Student News starts right now!

First Up: Bank Investigation

AZUZ: First up, a hearing gets heated on Capitol Hill over one company's role in the financial crisis. Goldman Sachs is, essentially, a bank. And it's been one of the most successful companies on Wall Street for decades. Just like a lot of banks, it took a major hit from the recession and needed help from the government -- a bailout -- in order for it to stay in business. Goldman's been paying that money back.

Now, some lawmakers are questioning Goldman about whether it had a role in the recession. During a Senate hearing yesterday, some of those questions got pretty tough. One senator accused Goldman of serving itself instead of its clients. Company executives insist that they did nothing wrong. That is just part of the controversy surrounding Goldman Sachs right now. Christine Romans has more for us on who and what are involved. Christine?

(BEGIN VIDEO)

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Carl, this case is about the big housing crash, big money and, of course, big politics. The government agency called the Securities and Exchange Commission has charged one of the most powerful banks on Wall Street, Goldman Sachs, with fraud. The case is complicated, so before we go any further, let's look at the main characters of this story. First, the SEC, or the Securities and Exchange Commission. It is a government agency in charge of regulating Wall Street and protecting investors. Then, there's that investment bank, Goldman Sachs, one of the most profitable and revered players on Wall Street. Goldman Sachs earns money by making its own investments and by helping clients, usually other companies or pension funds or even governments, putting together their own deals. And a third character in this story, billionaire investor John Paulson.

So what happened here? The SEC says that Goldman Sachs misled its clients by selling them an investment product comprised of very bad mortgages. It allegedly didn't tell the clients that the product was put together by John Paulson, the billionaire, who hand-picked the mortgages and specifically wanted the product to go south. At the end, investors lost $1 billion and Paulson made $1 billion. Well, who cares? Well, Goldman Sachs is accused of misleading those clients, and that is something that the SEC says is a problem. And Goldman Sachs denies those charges, by the way. The company said in a statement, "The SEC's charges are completely unfounded in law and fact and we will vigorously contest them and defend the firm and its reputation." John Paulson also says that his role in the deal was "appropriate and conducted in good faith."

To make the story even more interesting and more complicated, the SEC is now in a little bit of hot water, too. Some Republicans have implied that the agency may have timed these charges against Goldman Sachs to help pass the financial reform legislation, a big issue on Capitol Hill these days, which all Republicans currently oppose. The Securities and Exchange Commission defends its impartiality. But investigation of the investigation is now underway. On Tuesday, executives from Goldman Sachs were on Capitol Hill to answer questions from lawmakers separately. Stay tuned for more news on this case. Carl?

(END VIDEO)

Web Promo

AZUZ: Thank you, Christine. In that report, you heard Ms. Romans mention "financial reform legislation." This is something we've talked about before. Congress is looking at ways to make some changes on Wall Street to try to avoid another financial crisis. The Senate is debating how to move forward on that bill. In the meantime, if you want to learn a little bit more about it, head to the Spotlight section on our home page. You will find an FAQ about the financial reform bill, how it might work, what parts of it Democrats and Republicans agree on. It's all right there in the Spotlight section at CNNStudentNews.com.

Word to the Wise

TOMEKA JONES, CNN STUDENT NEWS: A Word to the Wise...

tarmac (noun) a road, especially an airport runway, that's paved with tar

source: www.dictionary.com

Tarmac Delay Rule

AZUZ: A new rule about how long planes can sit on the tarmac with passengers on board is scheduled to go into effect tomorrow. How long is too long? According to the U.S. government, anything over three hours. Airlines that hold planes longer than that could face a fine of up to $27,000 per passenger. Transportation Secretary Ray LaHood says passengers who are on delayed flights that are stuck on the tarmac "have a right to know they will not be held aboard a plane indefinitely." A few years ago, there were several reports of planes waiting for takeoff for more than 10 hours. That's part of what led to this new rule. Airlines have said they'll do their best to meet the rule. The head of the Air Travelers Association saying it could lead to more inconvenience for customers. He argues airlines are more likely to cancel flights to avoid fines, and he says the rule puts a time deadline on safety-related activities.

U.S. Auto Makers

AZUZ: Switching gears from planes to cars. The recession hit U.S. car companies pretty hard, but things seem to be getting a little bit better. First, Ford. So far this year, the company has made over $2 billion. To compare, by this time last year, Ford had lost almost a billion and a half. The only part of the world where Ford made a profit last year was in South America. Now, it's making money in every region around the globe. But the company says keeping this pace might be hard, because the cost of the materials that Ford uses to make its vehicles is going up.

Over at General Motors, plans are underway to upgrade five of the company's auto plants. The goal would be for these locations to build what GM calls a "new generation" of fuel-efficient engines. And that could lead to new jobs; about 1,600 of them, according to GM. General Motors has cut about 34,000 jobs from its work force since the end of 2008.

Shoutout

MATT CHERRY, CNN STUDENT NEWS: Today's Shoutout goes out to Mr. Levang's global studies class at Scott Highlands Middle School in Apple Valley, Minnesota! "Varsity" is a shortened version of what word? You know how to play it! Is it: A) Universal, B) Intravarsity, C) Verisimilitude or D) University? Three seconds on the clock -- GO! Varsity comes from university. That's your answer and that's your Shoutout!

GPAs & Sports

AZUZ: Some of the varsity athletes at East Union High in Manteca, California might have known that. Just like at most schools, if you want to stay on the team, you have to make the grade. But East Union has a unique and very public way of making sure students meet standards. Tim Daly of affiliate KXTV breaks down the situation.

(BEGIN VIDEO)

TIM DALY, KXTV REPORTER: It's the first thing you see on the school's website: the grade point averages of East Union's athletic teams. At the top is volleyball at 3.33; at the bottom, men's soccer at 2.42. All of them are expected to work in class as hard as they do on the field or court.

JACKIE KETNER, EAST UNION SENIOR: It's a cut-and-dry policy: you don't have the grades, you don't play. If sports are really important to you, you're going to have your grades up. Really, to do anything at East Union you have to have your grades up, so there is an incentive to keep your grades up, which I think is good.

DALY: It's not just the website. Posters all around East Union show athletes with an academic theme. Tyler Bylow, on the left, says the school's approach has athletes pushing other athletes.

TYLER BYLOW, EAST UNION SENIOR: If you have a teammate in class, and you see him, you'll ask him, "What did you get on that test? Did you turn your homework in?" Stuff like that. You remind him, "You need to get that stuff turned in, because we need you on the team."

DALY: East Union began putting team GPAs on the school's website last year. Now, very few teams lose players who let their GPAs drop below 2.0.

JOHN ALBA, EAST UNION PRINCIPAL: The freshmen see seniors, and the seniors tell them you don't play here unless your grades are up, and so it becomes a culture.

ERIC SIMONI, EAST UNION ATHLETIC DIRECTOR: There's a stigma on athletes in today's society that hey, it's okay to slide by and not take care of business in the classroom. I don't operate that way, and I think on this campus kids understand the fact that they're not going to operate that way either.

DALY: But it's not just the students being pressured to keep their grades up. Their coaches are being evaluated, as well, on how many of their players remain eligible. Stay eligible, they might just end up on a poster.

(END VIDEO)

Before We Go

AZUZ: All right. Before we go, you might've heard of the domino effect. One Texas school is putting it in action. You may think we're showing this video just because it's a huge domino display. And in part, you're right: It is; 27,000 dominoes were involved. But the real story about this is what those dominoes represent. Dollars; one dollar for each domino. Over the past month, students at the school raised money to help out a school in Haiti that they'd partnered with a couple years back. So, you follow the effect: The students raise money, the money goes to Haiti, and helps rebuild a school that was damaged in January's earthquake.

Goodbye

AZUZ: And all the dominoes fall into place. Plus, this story was a great lesson that small efforts can add up to make a big difference. We hope the rest of your day is fantastic! For CNN Student News, I'm Carl Azuz.

Apr 27

CARL AZUZ, CNN STUDENT NEWS ANCHOR: From Mississippi to Mexico, Wall Street to Washington, and a little trip to Hollywood, today's edition of CNN Student News is on the move. I'm Carl Azuz. Let's get started.

First Up: Mississippi Tornado

AZUZ: First up, some Southern states are starting a massive cleanup effort after being hit by tornadoes over the weekend. Mississippi seemed to get the worst of it; Louisiana and Alabama suffering damage, as well. Take a look at this iReport that someone sent in from Mississippi. You can see the rain kind of swirl up from the wind, and then it just comes pouring down. The National Weather Service estimates that the Mississippi tornado had wind speeds of up to 170 miles per hour.

We're right around the start of tornado season right now, so there are some safety tips to keep in mind if you're ever under a tornado warning. One: If you're inside, get to the basement or lowest floor. And two: put as many walls as possible between you and the outside. If you are outside, try to find a nearby ditch to lie down in, but watch out for flooding and watch out for anything flying overhead.

Juarez Violence

AZUZ: Next up, we're heading across the border into Ciudad Juarez, Mexico. It is the most violent city in the country of Mexico, and the reason for a lot of that violence is drugs. Last year, more than 2,600 deaths in Ciudad Juarez were connected to drug violence. Now, officials are looking into the most recent incident of violence to see if it is related. It happened around noon on Friday: a shootout on the streets that left seven people -- most of them police officers -- dead. The city's mayor said it started when police stopped some people they'd been investigating, and then gunmen from those vehicles opened fire. The mayor reacted by ordering more patrol cars out onto the streets. Ciudad Juarez has been a main focus of Mexico's fight against drug organizations.

Video Game Court Case

AZUZ: "This title has been rated M for mature." You've heard that in video game commercials; you've seen the sticker on some of the games. The gaming industry says the point of those ratings is to let people know which games are appropriate for certain players, especially younger players. But some people argue the ratings aren't enough. And this fall, the U.S. Supreme Court will weigh in. It's agreed to hear a case out of California about video games and free speech. The state made a law that bans violent games from being sold to people who are under 18. Governor Arnold Schwarzenegger says the law protects young people from the effects of these violent games. The gaming companies say the ban goes too far, and violates the right to free speech and expression.

Blog Promo

AZUZ: The Supreme Court will address the issue in the months ahead. We want to hear your take now! Are violent video games -- are any video games -- a form of free speech? Head to our home page, CNNStudentNews.com, click on our blog, From A to Z, tell us what you think.

Blog Report

AZUZ: Another thing we're talking about on our blog: mistakes teenagers make with money. This is Financial Literacy Month, after all. And Bailey, who had the very first comment, said it pretty well: "The biggest mistake is obvious: teens spend money on things they don't really need." So many of you telling us this! Hallie says when they go out with their friends, "kids spend twice as much as they normally would because they don't wanna look cheap." And Keely thinks "teens spend too much money on makeup. You're beautiful the way you are! Why change that?" Now, as far as the reasons why go, Andrea argues kids spend more "because they don't have to earn it, and they can keep taking it from their parents." David backs that up, saying "teenagers believe their parents will take care of them and that there's no need to invest their money." And Katie asks, "What are we going to do when our parents don't provide for us anymore?" Great comments. You'll notice we included first names only!

The Stock Market

AZUZ: Now, we're gonna invest some time in the stock market, specifically, the Dow Jones Industrial Average. Most people just call it the Dow. You hear about it a lot; you hear us talk about it. It's popular because, though the Dow is made up of just 30 stocks, it gives an idea of how the entire market is doing. And lately, that's been pretty well. The past couple days, the Dow has been at its highest point in more than a year and a half. It finished yesterday over 11,000 points. Now to compare, the record came back in October of 2007 when the Dow was over 14,000. Then the recession happened, and by October of 2008, it had lost more than 5,000 points. But, with it back on the rise, some people are feeling confident about investing in stocks. And a few days ago, I checked in with Ali Velshi -- he's a CNN anchor and our chief business correspondent -- and I asked Mr. Velshi what it means to own stock.

(BEGIN VIDEO)

ALI VELSHI, CNN ANCHOR AND CHIEF BUSINESS CORRESPONDENT: Stocks, basically, you invest in a company. So just like you own your house, or your parents own your house, you can own a piece of a large company like Coca-Cola or Disney or General Motors. Buying a stock allows you one little share in that company. Now, it's a very small amount; you don't get to go around and fire people or give them raises. But when that company does well, when it succeeds, your stock goes up, or they'll give you some money. And when it does badly, your stock goes down. The idea there is that your fortunes go up or down with that company's.

(END VIDEO)

Shoutout

TOMEKA JONES, CNN STUDENT NEWS: Today's Shoutout goes out to Mrs. Davenport's government class at Point Loma High School in San Diego, California! What does the D in 3-D stand for? You know what to do! Is it: A) Directional, B) Dimensional, C) Digital or D) Diagonal? Three seconds on the clock -- GO! You're perceiving three dimensions when you watch something in 3-D. That's your answer and that's your Shoutout!

The Future of Hollywood

AZUZ: That third dimension is all over the big screen lately. The weekend's number 1 film in the U.S.? 3-D. The biggest money-maker in movie history? That's in 3-D. Out in Hollywood, some filmmakers are going back to school to learn how to make 3-D movies. Kareen Wynter looks at why the method matters.

(BEGIN VIDEO)

JAKE SULLY, AVATAR: But we would send them a message...

KAREEN WYNTER, CNN ENTERTAINMENT CORRESPONDENT: "Avatar's" message is that the future could mean big bucks when it comes to 3-D. Created and shot with 3-D technology, the film is the highest grossing movie of all time, with roughly $400 million coming from 3-D screens alone in the U.S.

SULLY: Outstanding.

WYNTER: With so much money-making potential, hopes are high that this latest 3-D boom doesn't go bust, and there's a movement underway to blaze this trail straight into the future.

WYNTER: Is it fair to call you a 3-D guru? You've been doing this for, since the beginning of time.

BUZZ HAYS, CHAIRMAN, INSTRUCTOR/VICE PRESIDENT, SONY 3-D TECHNOLOGY CENTER: Sure. I mean, yes, but there's a bunch of gurus out there.

WYNTER: Buzz Hayes began working in 3-D before it was cool. He's the lead instructor at Sony Pictures' brand new 3-D Technology Center, where filmmakers are immersed in an intensive, hands-on course on how to actually film in 3-D, a method much different from converting 2-D movies to 3-D. That process drew mixed reviews from critics, where it's used in "Clash of the Titans." But some would say how important is this? Does the audience really see the difference?

HAYES: I think they already are. I mean, based on some recent releases in theaters, I think people are very vocal about the quality of 3-D that they see, both good and bad. So, we just wanted to raise the bar.

WYNTER: And stay above it, says camera director Jack Messitt, who enrolled in the class because he says his future depends on it.

JACK MESSITT, CAMERA OPERATOR: The language of 3-D is really different than the language that we've all learned to utilize in 2-D. With the great increase in 3-D, I don't want to be left behind.

WYNTER: One exec who says he's ahead of the game is Jeffrey Katzenberg, CEO of Dreamworks Animation. He recently blasted the 2-D to 3-D conversion process, warning that it could turn audiences away.

JEFFREY KATZENBERG, CEO, DREAMWORKS ANIMATION: For the first time in well over a decade, we're actually seeing admissions go up, and 3-D is the reason.

WYNTER: Yes, and they're willing to spend a little bit more for that experience.

KATZENBERG: Well, if you give them something great, and that's the thing we just, I think everybody is being very protective of right now. This is a beautiful golden goose and it's, you know, giving us golden eggs.

WYNTER: And in this golden age of advanced technology where 3-D movies have fired up the box office, industry leaders like Buzz Hayes say the future looks bright. Kareen Wynter, CNN, Culver City, California.

(END VIDEO)

Before We Go

AZUZ: Well, before we go, your mother told you to eat your vegetables. She never said how fast you had to eat them. Probably better to just get it over with quickly? This is an asparagus eating contest. Now, let's stalk about this for a second. 10 minutes. Deep-fried asparagus. And the winner, Joey Chestnut, put away nearly 8 and a half pounds! It is the fifth time he's taken top prize in the event.

Goodbye

AZUZ: Which means he has four titles to, uh, spare, I guess. Might have bitten off more than we could chew with that one. We'll be back tomorrow with another serving of CNN Student News. I'm Carl Azuz.

Apr 26

CARL AZUZ, CNN STUDENT NEWS ANCHOR: Hi, everyone. I'm Carl Azuz. As we kick off a new week of CNN Student News, we are starting out in Arizona.

First Up: Immigration Law

AZUZ: The state is home to a new law that some people are calling the toughest immigration bill in the country. It's expected to go into effect later this year. It only applies to Arizona. What it does is require immigrants, people who have come to the U.S. from other countries, to have their registration documents with them at all times. And it requires police officers to question people if there's a reason to suspect they might be in the U.S. illegally. In the past, officers could only check someone's immigration status if the person was suspected of another crime.

Arizona Governor Jan Brewer signed the bill into law on Friday. She also signed an order that requires police officers to get training on how to do this, how to carry out this law without racial profiling. That's a big concern of some people who are against the law. One Arizona state Senator argues that the state had to do something because the federal government wasn't.

FRANK ANTENORI, (R) ARIZONA STATE SENATE: This is the 1986 Immigration Reform and Control Act. All we need to do is follow this law and we can solve this problem. And it clearly states that if you enter this country without legal permission, you're breaking the law. And if you hire someone that is here illegally, you're breaking the law. But the federal government is not enforcing this, and now Arizona has been forced to do so for the protection of our own citizens.

AZUZ: President Obama agrees that the issue of immigration needs to be looked at. He doesn't believe Arizona's bill is the right way to do it. He's called that bill "misguided." Some other critics, including the governor of New Mexico, Arizona's neighbor, have used harsher words to describe the bill.

GOV. BILL RICHARDSON, (D) NEW MEXICO: It's a terrible piece of legislation. It's against the democratic ideals of this country. It's a step backwards. It's impractical. If I were the administration, I'd look at the legality of this bill. I believe that this bill is going to complicate a lot of issues. It's going to mean, I believe, potentially racial profiling.

Miner Memorial

AZUZ: Moving over to West Virginia, where the state's paying tribute to 29 workers who were killed in a mine explosion earlier this month. President Obama took part in yesterday's memorial service. He and Vice President Joe Biden met with the families of the victims privately before the ceremony. During that ceremony, the president gave a eulogy, talking about the sacrifice that the miners had made. The memorial showed photos of the victims as well as crosses that family members laid mining helmets on top of.

Is this Legit?

APRIL WILLIAMS, CNN STUDENT NEWS: Is this Legit? The Enhanced Fujita Scale is used to measure hurricane damage. Not legit! The Enhanced Fujita Scale, or Enhanced F-scale, measures the damage caused by tornadoes.

Mississippi Tornado

AZUZ: After a tornado ripped across parts of Mississippi over the weekend, it wasn't immediately given a number on the Enhanced F-scale. But the damage from it looks to be awful: roofs ripped off of houses; power lines knocked down; cars flipped over. Authorities say the storm killed at least 10 people, injured dozens of others, destroyed hundreds of homes. As of yesterday, Mississippi's governor hadn't asked the federal government for help in the recovery process. He said he'd probably do that today, though. Nearly 80 members of the Mississippi National Guard are helping out in some of the areas that were hit the hardest.

Some reports said this tornado was almost a mile wide. Think about that: a mile wide! It started on Mississippi's western border with Louisiana and then moved 150 miles east across Mississippi toward Alabama. Along the way, it trampled through entire neighborhoods. Officials were out yesterday to figure out exactly how much damage was done. The stories from some of the victims of this storm are incredible. One woman who took shelter in a hair salon said you could feel the glass and debris flying in and cutting you. Another man who was inside a church said the whole building fell down around him. Luckily, he suffered only minor scratches.

The tornado in Mississippi was part of a long line of storms that went from Missouri down to the Florida panhandle. Chad Myers gives a look at the science behind when and where these storms strike.

(BEGIN VIDEO)

CHAD MYERS, CNN WEATHER ANCHOR: Yeah, Carl, let's talk tornadoes and why. I guess, why so much in the spring time. It's a clash, a clash between the warm and the cold. And in the winter time, the jet stream is all the way down in the Gulf of Mexico. So basically, everybody's cold, so there's no clash. There's no warm and cold all together. In the spring, the jet stream starts to come up a little bit, and when you get the jet stream like this, the cold air is still here, but the warm air is allowed to come out of the Gulf of Mexico.

So, why do we get so many more tornadoes in the U.S. than any place else? Because there is the Gulf of Mexico, there's the moisture source. Storms need a lot of humidity, that's what you can see when you see the storms go up. Obviously, the humidity becomes rain and hail, and then you have dry air that comes out of the mountains. But more importantly, the cold air that comes down from the north. So right there, there's your warm versus cold. And just like if you put oil and vinegar and you try to make a salad dressing, you shake it up, it looks good, but eventually, the oil goes to the top and the vinegar goes to the bottom. You can probably do that in your fridge. You can find some oil and vinegar dressing and figure that out.

So, we get a low pressure center that develops in the Plains; on the one side of that we get a warm front, on the other side it's a cold front. Should be blue but this is the only color that I have. And right here in the middle, right there in that zone is where the severe weather will be. There could be some tornadoes across the north part of it. But more than likely right along the cold front, that's were the severe weather happens.

And for all three reasons, the Gulf of Mexico, the cold air, and the mountains to the west, that's why the U.S. has more tornadoes than any place else in the world, Carl.

(END VIDEO)

Oil Leak in Gulf

AZUZ: Thank you very much, Chad. Down in the Gulf of Mexico is where our next story takes place today. Rescue workers have suspended the search for 11 people who were missing after an explosion on an oil rig last week. Now, the efforts are mainly focused on the oil that's leaking out into the Gulf from parts of the rig that are underwater. One official said about a thousand barrels worth of oil -- that's about 42,000 gallons -- are leaking out every day. Dozens of ships and aircraft are working to help contain this leak, although bad weather caused some delays over the weekend.

Shoutout

TOMEKA JONES, CNN STUDENT NEWS: Today's Shoutout goes out to Mr. V's social studies classes at Fruit Cove Middle School in St. Johns, Florida! Where would you find the Hubble Telescope? Is it: A) On Mt. McKinley, B) In the Nevada desert, C) In Orbit or D) In the Arctic Ocean? You've got three seconds -- GO! The Hubble Telescope has been in orbit around the Earth for two decades. That's your answer and that's your Shoutout!

Hubble 20th Anniversary

NASA ANNOUNCER: And liftoff of the space shuttle Discovery with the Hubble Space Telescope, our window on the universe.

AZUZ: That is how Hubble got up into orbit, hitching a ride on the space shuttle Discovery 20 years ago. It was 20 years ago this weekend, to be specific. And since then, Hubble has taken more than half a million pictures, giving us an out-of-this-world view of black holes and primordial galaxies. The thing did get off to a bit of a rocky start, though. There was a problem with one of Hubble's mirrors that made the pictures it sent back, fuzzy. A repair mission in 1993 fixed that.

Hubble is the most sophisticated telescope ever put in orbit. Over the past two decades, it's helped astronomers discover dark energy. It's helped estimate an approximate age of the universe; 13.75 billion years old, according to theory. And it's offered some ideas about how galaxies form. As one NASA official explains it, Hubble worked to turn science fiction into science fact.

ED WEILER, ASSOCIATE ADMINISTRATOR, SCIENCE MISSION DIRECTORATE: When Hubble was launched in 1990, super massive black holes were a fantasy, a theory, something you saw on Star Trek. And one of our goals was to prove, find at least one, and prove it exists. As it turns out, Hubble surprised us. Not only did it find one, but it basically showed us that super massive black holes are pervasive throughout the universe.

Before We Go

AZUZ: Before we go, you remember the world's tallest cat we showed you last week? He could totally beat up this guy. That's because Einstein here is only 14 inches tall! That could make him the world's smallest horse, for now. He was born at 14 inches last Friday, so, ya know, he could grow. But his owner, who's been raising horses for 20 years, says Einstein is the tiniest trotter she's ever seen.

Goodbye

AZUZ: It's not that big of a story, but we didn't want to overlook it. Besides, did you see that little guy running around? It was just pure, unbridled enthusiasm. We are not short-changing you today. Back with more tomorrow. I'm Carl Azuz.