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Global Sell-Off; London Riots Spread; Syria Violence; Boeing's Dreamliner

Aired August 8, 2011 - 08:00:00   ET


ANNA COREN, HOST: Welcome to NEWS STREAM, where news and technology meet.

Hello. I'm Anna Coren, in Hong Kong.

Well, global markets continue to feel the effects of S&P's downgrading at their rating on U.S. debt. But how will U.S. stock markets react when trading begins today?

Chaos in north London as weekend riots leave neighborhoods in ruins.

And inside the world's newest passenger jet. We will look at the Boeing 787 Dreamliner.

It's been a tough few days on the world's stock markets, and things show no sign of easing. The sell-offs that started late last week is continuing into this one, and with the repercussions of Standard & Poor's downgrade of the U.S. credit rating thrown into the mix, it's not a pretty sight. We've seen some steep losses in Asia again, and European markets are also pointing south.

Well, we'll bring you those numbers in just a second. But first, Washington is far from happy with the downgrade, and a little earlier, CNN's Christine Romans asked S&P's global head of sovereign ratings, David Beers, whether the company expected to upset so many people.


CHRISTINE ROMANS, CNN ANCHOR: Can you respond to me to the mounting criticism about your decision? Did you expect that so many people would be so upset about a downgrade.

DAVID BEERS, GLOBAL HEAD OF SOVEREIGN RATINGS, S&P: No, I can't say that we're overly surprised. Any time that we lower a government's rating, there is criticism from the government that we rated. I haven't yet encountered a government that's agreed with the downgrade of their rating.

We've got a very broad scale. AAA is our top rating. The second highest rating, which is where the U.S. government is right now, is AA-plus.

So what we're actually talking about in reality, in the way we view things, is a very small diminution, if you like, in the credit standing of the U.S. So this is not a catastrophic decline in the U.S. creditworthiness, but we have a negative outlook on this rating.


COREN: S&P's David Beers speaking to Christine Romans there.

Well, let's take a look at the numbers.

And as you see, we've got losses across the board. In Asia, the Shanghai Composite was among the day's biggest loser, shedding almost four percent. And in Europe, well, this is how things looked a short time ago. It was a similar picture, of course.

In London, the FTSE is down more than 1.5 percent. The Paris Stock Exchange is also down about two percent. And in Germany, the DAX is more than two percent off.

Well, let's bring in WORLD BUSINESS TODAY'S Andrew Stevens with more on this global sell-off. He joins us from Hong Kong's harbour front.

Andrew, let's start in Asia. It was the first one to feel the impact of S&P's downgrade. It was a sea of red, wasn't it?

ANDREW STEVENS, "WORLD BUSINESS TODAY": It was. And I think actually quite a few people were surprised at the severity of the sell-off to begin with, Anna, because the downgrade had been pretty much expected and had been baked into share prices in many situations.

And if you look at the actual -- what it means, is there a big material difference between AAA and AA-plus? Not a huge amount. And, in fact, you saw money going into U.S. treasuries. The very things that were being downgraded, there was money going into that today because it was considered a safe haven.

So, nonetheless, there was this very big sell-off. And I think it's all to do with there's still this lack of clarity.

We heard David Beers there at S&P saying that they're still on a negative watch for the U.S. economy. That means they are still pessimistic about whether the U.S. can actually extricate itself from this huge debt problem it's got. It's got it's sort of own goal, if you like, by agreeing that debt ceiling, that no one -- or that debt level rising and debt reduction, that no one really liked, and people said it really didn't do much good. So, there's no clarity, and that means getting out of risky issues and putting your money where it's safe until you can get a better picture of what's going on.

That's what we saw today, particularly here in Asia. In Europe, a slightly different story. You've still got that real issue with the euro's debt zone.

We did see the European Central Bank actually taking some action today to try to boost the Italian and the Spanish bonds, which they did, to a degree. That helped for a while, but didn't last either.

So there's still this real -- basically sentiment fear is ruling the markets at the moment. And we've heard worthy words from the group of seven leaders, or finance ministers, at least, but no real action yet.

Combine all that, and people are looking for anywhere to put their money where they think it's safe.

COREN: Andrew, over the weekend we heard from China's official news agency, which gave a scathing assessment of the U.S. economy, telling the U.S. it must live within its means.

I mean, there's real frustration out there, isn't there?

STEVENS: There's real frustration in China, obviously, because China owns so much of the U.S. government debt. So that's understandable. And China is becoming increasingly strident, increasingly confident that it can dictate economic policy to the capitalist West.

Now, whether that policy, what it wants to see, will happen is an entirely different question. Obviously, everybody wants to get this under control, but it's Washington policymakers that have to make that decision.

But China better be careful, too, I think, Anna. You know, throwing stones at glass houses, that sort of thing.

The Chinese economy is hardly a model for how to run your economy at the moment. Yes, it's growing at around about nine percent, but a lot of that is direct government spending. The money has not been particularly well targeted, it's not particularly efficient. There's still an over-reliance on exports, et cetera, et cetera.

So, China's economic policy is certainly nothing to write home about either. But, having said that, you certainly understand their pain, seeing all their hard-earned cash reserves in U.S. bonds potentially being eroded and whittled away.

COREN: Andrew Stevens, as always, great to get your assessment of how things are playing out.

Andrew Stevens, there in Hong Kong's Victoria Harbour.

Let's take a look at what we can expect to see on Wall Street when the U.S. markets open in a little under an hour and a half.


COREN: Well, let's now turn our attention to London, where we're following another major story.

Police are stepping up patrols to try to stop pockets of rioting from spreading. Well, this was the scene in north London on Saturday night, hours after a peaceful protest escalated into rioters' vandalism and looting. The friends and family of a man shot and killed during an arrest attempt earlier in the week had organized the protest.

That rioting on Saturday night took place in Tottenham. And just to give you an idea of where that is, it's about 11 kilometers north of central London and places like the U.K. Parliament and Trafalgar Square.

Well, last Sunday the violence spread to neighboring areas, Enfield to the north, and Walthamstow to the east. Police were also called to a disturbance in Oxford Circus in central London's busy shopping district. And south of the River Thames, rioting also broke out in Brixton.

Let's get the very latest from Atika Shubert. And she joins me now from the Brixton neighborhood of London.

Atika, what's happening?

ATIKA SHUBERT, CNN CORRESPONDENT: Well, at the moment, residents have basically woken up to see the aftermath of looting that happened on Sunday night -- sporadic looting. You can see a lot of residents out here.

This is actually the commercial center of Brixton. And the KFC behind me has had its windows smashed in.

But what I really want to show you is this used to be the busiest street in Brixton. It usually is, but today they've closed off this street because this whole area up and down the sidewalks are now considered basically a crime scene.

Looting has been happening all up and down here. We saw a Foot Locker store that was smashed in and burned down. The station has been closed, and forensics teams have been combing through this area, they say, because this is a crime scene, and they say they do intend to prosecute looters who were in this area last night.

And police have made more than 100 arrests. They have also said they are going through CCTV footage and will be prosecuting people who are identified as looters on that video -- Anna.

COREN: Atika, police have described the following violence coming from that initial outbreak as copycat violence. I mean, is this just about one man's death, or are we seeing much deeper social problems here?

SHUBERT: No, it's not just about one shooting incident with that young man who was killed. He was 29 years old. His name was Mark Duggan. And his friends and family say he was not an aggressive man and there was excessive police force.

That's why there was a protest on Saturday. But why it turned from a very peaceful protest into a full-blown riot in Tottenham on Saturday, police are still investigating that.

Now, what happened on Sunday night appears to be different. It's not directly connected to the protests, but it does seem that, basically, packs of youth took the opportunity, exploited that opportunity to do looting not just in Tottenham, but in neighboring Enfield, down south here in Brixton. It was definitely more widespread.

But again, it was sporadic pockets of looting that we saw around the city. It did seem, however, that police were stretched thin dealing with this. They seemed to be rushing off from one hot spot to another.

I was in Enfield last night. I saw them arrest one young man who was trying to loot TVs out of an electric store. And, you know, they didn't even have time to cordon off the area before they were called off to another hot spot. A car was left burning on the side of the street because they couldn't get a fire engine in.

So there was a general eerie feeling on the streets last night of lawlessness. But we're not seeing the kind of pitched battles with police that we saw on Saturday night -- Anna.

COREN: Atika, give us an idea of the role that social media has played, because people are saying that this tool was used to organize the riots.

SHUBERT: It did play a critical role in terms of organization. What we did see -- I think this may be the reason why we did see some of the looting a bit more widespread. We didn't just see it isolated in certain areas. That, basically, groups were able to coordinate where they were headed, who they were going to meet up with. And you did see a lot of chatter on Twitter saying we're going to be in Enfield, or we're going to be here, in this area, or let's meet up in that area.

So you did see a lot more organization, and that might be one reason it spread out, and another reason why it would have been very hard for police to actually keep track of all these different hot spots that are happening across the city.

COREN: Atika Shubert, in Brixton, London.

Thank you for that update.

Well, ahead on NEWS STREAM, more pressure on Syria. Saudi Arabia's King Abdullah weighs in on the escalating violence there.

Plus, there may be little end in sight to the fighting in Libya, but the rebels are showing a resolve that's just as steadfast.

And the situation in Somalia is growing more desperate by the day. We'll have a live update from a refugee camp in neighboring Kenya.


COREN: Well, as the Syrian military ramps up its bloody crackdown, international leaders are increasing their calls for President Bashar al- Assad and his regime to stop.

Saudi Arabia's King Abdullah is the latest to condemn the violence. In a message aired on Saudi state TV on Sunday, he said, "There is no justification for the bloodshed." He says, "Saudi Arabia is recalling its ambassador from Damascus." Well, his stern message comes as 65 more people were reported killed at the hand of Syrian military forces since Sunday.

Well, despite the pleas, the violence appears to be escalating and spreading. CNN is no longer allowed to report from within Syria, but Arwa Damon is following events closely from Beirut in Lebanon, and joins us now.

Arwa, the Arab community, breaking its silence. Will this have any impact whatsoever on the Syrian government?

ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT: Well, it seems as if Arab leaders are hoping that it will at least put sufficient pressure on the Syrian regime for it to alter its course of action. It would seem that this recent campaign of violence by the Syrian military taking place during Islam's holiest month, the month of Ramadan, has proven to be shocking enough that it is forcing Arab nations to finally speak out.

They had been coming under heavy criticism by the opposition, by activists for their deafening silence. Many of them questioning how many people would have to be killed before Arab leaders would in fact finally make a statement. And whilst not the harshest of statements that we have been hearing, most certainly it is significant.

It is at least them speaking out to a certain degree. And though not necessarily a call for the president to step down, it at least is an indication that the narrative being put forward by the Syrian government that it is simply targeting these armed terrorist gangs is no longer sufficiently plausible.

Activists we've been talking to online have welcomed this statement, although they do want to see more taking place. They want to see sanctions being put into place, economic action that would in fact force the government to alter this current path that it is on, because it most certainly would appear with this ever-spreading and intensifying military campaign that this is a regime that still clings to this notion that it can continue to use brute military force to try to silent these voices of dissent, force people back into their homes.

But at this stage, Anna, that does not seem to be succeeding.

COREN: Arwa, when we spoke last week, the focus was on Hama. That was the city that was under attack. Now that the brutal crackdown has moved to Deir Ezzor, what can you tell us about what's happening there?

DAMON: Yes, and the crackdown in Deir Ezzor, in the eastern part of the country, this is a very tribal region up against the Iraqi border. Oil rich, but at the same time, one of the poorest areas in the country.

There, according to residents, the crackdown began at around 4:00 in the morning on Sunday. One eyewitness that CNN spoke to was actually in tears on the phone as he was describing how tanks were indiscriminately firing into residential areas, snipers positioned on rooftops. He said that all but one of the hospitals had been forced to shut down.

Again, the same story that we've been hearing from other parts of the country that have suffered similar crackdowns. People forced into their homes, too afraid to flee. Many people trying to flee being shot at.

And the crackdown in Hama, that is in the western part of the country, still continues though, even though the military appears to have at least shifted its focus. We were speaking to a resident of Hama just a short while ago who was telling us that there was still intense gunfire being reported from some neighborhoods. He spoke of the continuing lack of food supplies, a severe shortage in medicine.

And so the image that is being painted is one of increasing desperation by these residents that are really suffering the brunt of this military assault. But at the same time, Anna, they tell us that no matter how harsh the government is against them, they are still going to continue to stand up to try to bring about some sort of a change, because they say they quite simply cannot live under this kind of a regime any longer. But there is also the growing awareness amongst them that they are going to have to ride this out on their own. Despite all of the international calls, they say that this, at the end of the day, is their fight.

COREN: It is. It's quite extraordinary, isn't it? Five months since they began those protests, people still remaining defiant, despite all this bloodshed.

Arwa Damon, in Beirut.

We certainly appreciate that. Thank you very much.

Well, the U.N.'s refugee agency is delivering emergency supplies to the Somali capital for the first time in five years. A plane loaded with 2,500 emergency kits has landed in Mogadishu. It's the first of three planned airlifts over the coming days.

Well, CNN's Errol Barnett was on the aid plane and joins us now on the phone.

Errol, tell us about this trip.

ERROL BARNETT, CNN CORRESPONDENT: Well, Anna, this is a huge opportunity for the UNHCR to step up its efforts in helping the hundreds of thousands of people in the Mogadishu area who are suffering from the drought and famine. Before now, they sent aid to this area on boats. But we were actually able to accompany a flight of 32 tons of emergency assistance packages.

Now, before that flight took off from Sharjah Airport in the UAE, we toured the warehouse to take a look at what was inside these emergency assistance packages. And they consist of every item that Somalis will need beyond the food, to have (ph) a place to live and stay. So, some 7,000 fleece blankets; almost 5,000 semi-collapsible (INAUDIBLE) -- think of a 10-liter jug that can fold on itself so they can stack and send this en masse -- more than 2,000 kitchen sets, things that include metal cups, spoons and pots; as well as synthetic sleeping mats, things that will just make sleeping on the ground slightly less uncomfortable; as well as more than 2,000 plastic tarpaulins. This past weekend saw rainfall over the Somali capital.

And all of this aid has just been taken off of the plane. I'm standing among these crates right now. Humanitarian volunteers are lifting these items on their backs, onto trucks. These trucks will take them to a storage facility, and they will be grouped together with food that the UNHCR will coordinate and distribute to people here in Mogadishu.

The size of this crisis is enormous (INAUDIBLE) in Mogadishu. (INAUDIBLE), and so far these emergency assistance packages have helped 36,000 of them.

So, even though these aid efforts continue, aid agencies desperately need more funding, they need to step up these flights. There will be a few more this week. The next one will be Thursday. And they continue to try and help as many people as they can, thousands at a time.

COREN: Yes. With more than 12 million people facing starvation on the Horn of Africa, they certainly do need much more aid.

Errol Barnett, in Mogadishu.

Thank you for that update.

Well, ahead on NEWS STREAM, aerial hacking. We'll tell you why this aircraft could make you less secure at home and on the Internet.


COREN: Well, football plans rejoice. The English football season began this weekend with the traditional curtain raiser, the Community Shield.

Well, who came out on top of the Manchester derby?

Well, Pedro Pinto joins us with all the details from London.

Hello, Pedro.


I can tell you that it was Manchester United who lifted the first trophy of the new season here in England. They beat rivals Manchester City and the Community Shield at Wembley Stadium. There was no shortage of goals or excitement on Sunday afternoon between the Premier League champions and the FA Cup winners from last season.

Now, it was City who took the lead against the run of play in the 38th minute. A (INAUDIBLE) coming in, Joleon Lescott with a header. The new United keeper, David De Gea, really could have done more there, and he definitely should have saved Evan Zecco's (ph) shot here on the stroke of halftime. He didn't, and City led 2-0 at the break. United were down, but not out.

Earlier in the second half, off a cross from Ashley Young, Chris Smalling pulled the goal back for the Premier League champions. Just five minutes later, the Red Devils hit the back of the net again. Great approach play here from Wayne Rooney, Tom Cleverley and Nani. The passing leading to Nani breaking through and chipping the ball pass Joe Hart (ph). What a goal, 2-0 at this point.

That's how it looked like it was going to end until the final minute of the game. A quick counterattack led to a winning goal for United. Nani got a lucky bounce, and he sprinted towards goal, strode past Hart (ph), and tucked the ball into the open net. United coming out on top of a five-goal thriller to win the Community Shield at Wembley.

Now, the Premier League starts next Saturday. This weekend, the German Bundesliga kicked off. And on Sunday, there was a shock result in Munich as Bayern lost at home to Borussia Moenchengladbach.

Bayern signing (INAUDIBLE), picked up his Player of the Year Award from last season when he was playing with Noyer. National team manager Joachim Low was in attendance, and he did see Noyer pull off a great save here in the first half after a shot from Juan Arango. Worth another look.

But the game would finish on a sour note for the Bavarians and their star keeper. In the 60-second meeting, a long ball bounces high in the edge of the area. Noyer is beating by Igor Decamargo (ph), a blunder from the goalie leading to the only goal of the game. Moenchengladbach with only their second-only victory at Bayern in the Bundesliga.

The top five golfers on the planet were in the field at the World Golf Championship even in Ohio, as was Tiger Woods. Many people expecting one of those players to win the tournament, but that didn't happen. Instead, it was Australia's Adam Scott who picked up the trophy at the Firestone course on Sunday.

Woods, who was playing in his first tournament in three months following an injury layoff, not really got going in Akron. He finished at plus one, 18 shots behind the winner. The former world number one carted an even par round of 70 on Sunday.

That is a quick look at the sports headlines.

Anna, back to you.

COREN: Yes, Adam Scott did us Aussies very proud. Good to see.

Pedro Pinto, thank you.

Well, you're watching NEWS STREAM.

Ahead, we will return to the Horn of Africa, where a humanitarian crisis is deepening, and where scenes like this of families burying their children is increasingly common.

Please stay with us.


COREN: Welcome back. I'm Anna Coren in Hong Kong. You're watching News Stream and these are the world headlines.

In Syria, the government's crackdown is intensifying. Activists say at least 65 people have been killed since Sunday. Well, this video appears to show a funeral procession in the city of Idlib followed by gunshots that sent crowds fleeing. Well, CNN cannot confirm the authenticity of the video. Saudi Arabia's King Abdullah condemned Syria's attacks saying there was no justification for the bloodshed.

Well, Tropical Storm Muifa has made landfall along the border between China and North Korea. More than 600,000 people living along China's coastal areas have already been evacuated from their homes. As the typhoon -- earlier it wrecked havoc in South Korea killing 3 people.

More than 160 people have been arrested in two nights of rioting in London. The police say violence that began on Sunday night spread on that Sunday night. 35 police officers were injured. The rioting followed the death of a man who was shot on Thursday as police attempted to make an arrest.

Well, this is how the European stock markets are looking at the moment. We've got losses across the board. And that's on the back of some hefty declines in Asia on Monday. But all eyes will be on the U.S. in little under an hour's time when trading kicks off on Wall Street.

In Libya, rebel and pro-Gadhafi forces are heading into a 7th month of fighting. Well, rebel forces made some key advances towards to capital Tripoli over the weekend. But as Michael Holmes reports, they still face many challenges.


MICHAEL HOLMES, CNN INTERNATIONAL CORRESPONDENT: Solama Zintani (ph), an x-ray technician by trade, shoots pool in the backyard of a house in Zintan western Libya. Yesterday, just a few miles away, he was directing a different kind of shooting. Solama Zintani (ph) is a rebel battlefield commander who helped his side take the pivotal town of Bir al-Ghanam from Gadhafi forces on Saturday, putting the rebels closer to Tripoli than they've been before.

It was a fight that went on for hours and cost lives on both sides. The day after, Solama (ph) and his unit relaxed, then tinker with the spoils of war -- vehicles and heavy weapons they took when Gadhafi forces fled Bir al-Ghanam.

Now during the battle yesterday, the rebels took prisoners, Gadhafi soldiers. We got their ID cards right here. But the thing that's interesting is, several of those prisoners, like this guy here, have been caught before. The rebels don't have the facilities to keep prisoners for long, so those who promised not to rejoin the fight are often released to go back home. Some of them, like this fellow, were apparently lying.

Rebels say they caught a number of soldiers they say are African mercenaries, paid by Gadhafi to fight. Saturday, CNN saw three of these men taken from the battlefield, two were wounded but said they were from Chad. The third was dead, though his fellow fighters said that man, too, was from Chad.

Rebel fighter Mohammed shows me something else he found on the battlefield, what he says are pages of African witchcraft or black magic designed to protect fighters from enemy bullets. Saturday, he says, he got chills when it appeared to work on an armed Gadhafi soldier casually walking in the open.

Mohammed says he and 10 fellow fighters opened fire on the man from 200 meters.

MOHAMMED, REBEL FIGHTER: We tried to shoot him with different guns -- Kalashnikov, 14.5 gun, but no one can hit him. And...

HOLMES: He's out in the open. You're putting all kinds of weapons at him, including anti-aircraft guns, and you're not hitting him.

MOHAMMED: We didn't hit him and he reached the car. He go in the car and go away.

HOLMES: An obviously unnerved Mohammed says he found these writings in another car next to the one the man escaped in.

In a rebel command center nearby, local leaders discussed their next move. They're keen to get ever closer to Tripoli, but say they need to curb their impatience and bide their time.

ALI SALEM, REBEL COMMANDER (through translator): We are ready for then ext move. We have always been ready. Expect some surprises from Zintan very soon.

HOLMES: Back at Salama Zinanti's (ph) unit headquarters they say they're preparing to execute those orders.

Michael Holmes, CNN, Zintan, Western Libya.


COREN: Well, let's now return to the crisis in Somalia. Earlier we heard from our Erroll Barnett in Mogadishu where flights are delivering much needed aid to Somalis streaming into the capital searching for food, but many have chosen not to go to Mogadishu, but instead to keep walking all the way into Kenya.

Well, most end up in the town of Dadaab that is home to the region's largest refugee camp which is now about as big as a medium sized city. Well, CNN's chief medical correspondent, Dr. Sanjay Gupta, arrived there just a few hours ago and now joins us on the phone.

Sanjay, what are you seeing?

SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Well, I tell you I think this is the largest refugee camp, actually, anywhere in the world now, Anna. You know, it was -- this has been a camp that has been longstanding. I think 300,000 people were staying here up until last year and 100,000 more people have been added to this camp given this acute crisis.

And it's just a remarkable situation. Obviously the drought, the worst seen since 1960, has led to the loss of crops which has led to the loss of livestock which has caused you know mass exodus as you pointed out now into the Somali/Kenyan border.

People come here, you know trying to basically get any food, any water. All of this compounded by the fact that there's still been conflicts up until a few days ago from terrorist groups, from bandits along the border area making it very difficult for people to actually gain passage.

So, this is what we're seeing. Yeah, I was at a couple of the hospital outposts, you know, some of the early places that some of these refugees can visit. And, you know, it is terrible. You see infectious diseases that require immediate hospitalization. You see all the manifestations of acute starvation. It is ongoing. And talking to people on the ground here, they think the problem is going to get worse over the month of August even as compared to July, Anna.

COREN: Sanjay, we just heard from Errol Barnett a little earlier. He was on an aid flight delivering aid to Mogadishu some 32 tons which is fantastic, but as we know 12 million people are facing starvation on the horn of Africa. Is the raid reaching Dabaab? And how much more is needed?

GUPTA: Well, you know, it's an interesting problem, but I think, you know, aid is getting here, for example, to this particular camp. You know, for some time there was concern that the militant Islamic al-Shabbab would not allow some of this aid to actually come over the Somali border. And I think that that is still a persistent concern here even though that official ban has been lifted.

I think the larger problem is that the time that it takes for people to actually travel from their farms into this particular region. Sometimes they're walking for a month, literally 30 days, 30 nights they walk primarily at night just to avoid the heat of the day. And, you know, by the time they arrive, Anna, the small children in tow, I mean they are from a medical standpoint just, you know, beyond the brink.

It was very, very difficult to intervene at that point and try and save them. A lot of people, as you know, have died even just from the journey alone.

So I think what Errol is reporting and this idea of getting aid into Somalia directly into people where they are now as opposed to having them walk, you know, nearly 100 kilometers, I think that's going to be the real key to try and avert some of these just tragic preventable deaths.

COREN: Sanjay, you are there as a correspondent there to tell us what is going on on the ground, but you are also a doctor. As a doctor looking at what is unfolding in front of you, how does it make you feel?

GUPTA: Well, it's -- I think as a doctor you think about the fact that there are so many things that we absolutely know how to treat. And even better than that we know how to prevent in the first place -- everything from routine vaccinations to just simple, you know, high energy biscuits, obviously water, those types of things could avert just terrible death.

And I think, you know, the children in particular you see them after these incredibly long journeys just completely emaciated. Having three kids of my own you look into their eyes and you see your own kids eyes looking back. It is tough to see, for sure.

I think the doctors here are doing the best job they can. They're trying to open more hospitals along this border area to try and take care of these people, but again 2000 at least refugees a day they're predicting right now. I don't know of a hospital system in the world that can handle that sort of volume. And that's what they have to deal with.

COREN: Well, it's heart breaking watching these images on the screen. I can only imagine what it's like to visit it firsthand. Dr. Sanjay Gupta in Dadaab Kenya. We certainly appreciate you bringing us the latest there. Thank you.

Well, many relief agencies are working to help the victims of this crisis throughout Kenya, Somalia and the wider horn of Africa. Well, you can make a different by contributing. If you'd like to know more, we have a full list of relief agencies on our web site. That's at

Well, next on News Stream, billions of dollars over budget, but finally ready for its debut. We'll give you a special look at Boeing's new 787 Dreamliner.

And here's another plane that's just been unveiled, maybe much smaller, but we'll tell you why it still packs a big punch.


COREN: Well, two U.S. security experts are building model airplane and are showing it off at a hackers convention in Las Vegas. Well, CNN's Sandra Endo explains the connection.


SANDRA ENDO, CNN CORRESPONDENT: It looks like a toy plane, but in the air it could be a dangerous weapon and you could be the victim. It's capable of hacking your personal information, your private phone calls, and your e-mails. Spoofing cell phone towers and breaking down firewalls all from the air.

MICHAEL TASSEY, CYBER SECURITY CONSULTANT: Because we have an airplane we can get very close to the target. We can be the strongest signal where it's a fight that the cellular tower can't win. And so thusly we can capture that phone. You can do other things like jam the 3G cellular frequencies causing denial of service on the 3G network.

ENDO: Computer experts Rich Perkins and Michael Tassey built this model plane with parts ordered online for around $6,000 and put it together at home. But they're not using it to steal information, instead they're showing it off at a hacker's convention in Las Vegas.

Computers outfitted on the plane can disrupt and manipulate open wi-fi signals and relay that information to someone controlling the plane on the ground. Video of their test flight showed it could go pretty much undetected to the average person on the street, but it could be tracking your every move.

It's like you're being watched. I could go to my local coffee shop, use my credit card and check e-mails. As I walk to my car I could make a phone call. I would never know hackers could be taking my credit card information, reading my e-mails, listening to my phone call and follow me all the way home.

TASSEY: It's just an object. It's how you use it that depends on whether or not it's an evil thing or a good thing.

ENDO: The inventors say they want to warn the public how much damage can be done with relative ease. And knowing the possibilities should raise public awareness.

RICH PERKINS, CYBER SECURITY CONSULTANT: If you want to control your personal information you need to take charge of it, you need to take responsibility for your own personal information. And I don't think people have really done that.

ENDO: Sandra Endo, CNN, Las Angeles.


COREN: Well, it's a dream turned reality. After years in the making, Boeing has finally unveiled its much anticipated 787 passenger Dreamliner. And our Patrick Oppmann got a special look.


PATRICK OPPMANN, CNN CORRESPONDENT: Better late than never for Boeing's 787 Dreamliner. On Saturday, the company unveiled the new passenger plane, three years overdue, and billions of dollars over budget the 787 was finally ready for its close-up.

SCOTT FANCHER, VP & GENERAL MANAGER, BOEING 787: Today we're rolling out the first delivery airplane, the first 787 to be delivered to a customer. That's an amazing thing for those who have worked on the program five, six, seven years here at Boeing and our partners around the world.

OPPMANN: There is no other commercial airliner like the 787. Its carbon composite make-up, a super durable plastic promises a lighter, more fuel efficient and cost effective plane for the airlines. And a potential game changer for the Japanese airliner that will fly the first 787 in fleet.

MITSUO MORIMOTO, ALL NIPPON AIRWAYS: We intend to use the Dreamliner to expand our business, particularly in our international routes. We are aiming to increase our (inaudible) from international operation a (inaudible).

UNIDENTIFIED FEMALE: Now ladies and gentlemen, welcome aboard AMA Boeing 787 Dreamliner.

OPPMANN: Of course, what most people care about is what's inside the plane. And Boeing is promising to revolutionize the way we travel with touch screen entertainment panels in business class and throughout the plane more natural light, more humidity, and yes more leg room.

The plane's cutting edge technology and reliance on third party companies meant long delays, logistics that still have to be fine tuned before Boeing speeds up 787 production.

JOHN OSTROWER, EDITOR, FLIGHTBLOGGER: Well, I think it's an extraordinary challenge. I think that no one has ever built a wide body aircraft at a rate of 10 per month before. So I think the Boeing has its work cut out for it.

OPPMANN: Work that means for most of us having to wait a little longer before you can take off on Boeing's new dream plane.

Patrick Oppmann, CNN, Everett, Washington.


COREN: Well, All Nippon Airways will finally receive their 787 Dreamliner next month in Tokyo.

So what does it have to offer those lucky enough to fly in it? Well, it has bigger windows and higher ceilings and the cabin pressure is set to a lower altitude. Well, Boeing says that will make passengers feel more refreshed. The Dreamliner also has technology that senses turbulence and counteracts it for a smoother ride.

All of which sounds great, but you probably won't be flying in a Dreamliner for awhile. That's because Boeing can only build two per month right now. But by the end of 2013 they say they'll be able to produce 10 per month. But the orders are already stacking up.

There have been 827 so far, which means that even at a rate of 10 per month Boeing won't fulfill the order for over six years.

Well, for diners at one Atlanta restaurant there's no more waiting for a waitress thanks to one of these on every table. All I need to place an order is an iPad and some specialist Apple software. Let's take a look.


UNIDENTIFIED MALE: Well, this is your iPad. Basically you're going to do all your ordering through the iPad.

CHRISTIAN RUFFIN, CO-OWNER DO RESTAURANT AT THE VIEW: We got the idea to use iPads in our restaurant. We noticed that we're always having to get a waiter's attention. When we felt we could help consumers and our guests in our restaurant is to have iPads on the table so they will be able to order food, their drinks, call for valet at the push of a button without waiting for anyone.

UNIDENTIFIED FEMALE: You can order as you go along. So you get your drinks first, then you order an appetizer so you don't have to wait on anyone when you're ready for something you just order it.

UNIDENTIFIED MALE: Put the order into the iPad and get it exactly the way you ordered it.

UNIDENTIFIED FEMALE: I think I want one now.

RUFFIN: When we came up with this concept our restaurant, there was nothing available. So we had to access some certified Apple programmer to actually write our program for us.

UNIDENTIFIED FEMALE: There's a back of the house system that we use that can tell us everything that was sold, hourly sales, and we use that for inventory and everything else.

RUFFIN: We can maintain on the fly with the iPad in the programming. We're able to actually customize and do appetizers as well with the iPad, so it lets us announce specials.

We also use iPads to control a lot of the media production. At any moment you can change what you're looking at now as a backspace of the city of Atlanta to, for example, at the press of a button, a water stream.

UNIDENTIFIED FEMALE: So when they're ready to leave they type their valet ticket number into the iPad and valet has a heads up that they're on their way out.

UNIDENTIFIED MALE: You all got 596 and 603.

RUFFIN: And we've had no theft. We've had no breakage of any of the iPads. On the back of all of our iPads there's a sensor. So when anyone walks out of the door it will set off a sensor. And there's a nice security guard that's also at the door too to greet them when that does happen.

The coolest thing about it is that there are no more wrinkled menus with ketchup on it or pizza sauce on it. What we're doing here is definitely the wave of the future, giving people a whole different way to experience eating.


COREN: I wonder if you get to tip it?

Still to come on News Stream, a quirk of living in the world's tallest tower. We'll tell you why some of its Muslim residents still have a -- have to fast a little longer than their neighbors during the holy month of Ramadan.


COREN: Well, Muifa is wrecking havoc on China. Our Mari Ramos has all the details. Hello, Mari.

MARI RAMOS, CNN WEATHER CORRESPONDENT: Hello. You know, this storm has already made landfall here fairly close, Anna, to the border between China and North Korea. It is a very sensitive area in the sense that very vulnerable to flooding.

So let's go ahead and take a look at some of the latest information that we have for you. These are some of the storm reports from Muifa. Let me go ahead and step out over here so you can see everything.

We told you about this one earlier. Let's go ahead and add some more rain to that. Last hour I told you 200 millimeters of rain, now we're up to 300 millimeters of rain. Wind gusts over here in Shanghai up to 100 kilometers per hour.

Now back over here across North Korea there are several areas that have had over, easily, over 70 to 100 millimeters of rain. So that's still very significant.

So we're going to continue to monitor this as the storm moves inland. It's probably going to start dissipating and lose a lot of its strength as far of that core of stronger winds. It's not a typhoon, it's a tropical storm. So that's something to keep in mind.

But here you see it moving inland in this area right in here. You can still see some circulation right along the border there. And we're going to continue to see that rain spreading over this area.

The strongest winds right now just tropical storm force, but even a little gusty even as we head into Seoul for example with the winds right now close to 30 kilometers per hour.

I'm not foreseeing any big travel delays across some of those major cities, but you could see some as we head in this area of northeastern China here. Railways, you can see some delays. And on the roads. And even air travel, because of the gusty winds and also the continuing rainfall.

The storm moving northward and dissipating as I was saying, but it will bring some very heavy rain for Shenyang here. And also for Pyongyang. Notice back over through these areas, some of these rainfall totals. The computer models now estimating 5 to 8 centimeters of additional rainfall into this region. And notice the rain now also staying a little bit farther to the south. This is something we didn't see before. So watch out for the threat of flooding and possibly even mudslides in some of that more mountainous terrain here across some of these areas. So definitely something to keep in mind as we head through the next few hours.

Also something else, Anna, that has just been popping up so to speak in the last few hours. And that's all of this wet weather that you see here stretching from Fugian province back over here even into Guangxi. Some of that rain will be locally heavy and something to watch out for as far as travel delays in particular and also the threat for some flooding.

Very quickly I do want to take you over toward Europe. We do have a lot of rain moving in here. I wouldn't go ahead and call it a taste of Autumn just yet, but you'll notice that change in temperatures over these areas and also of course some rainfall. It'll be cooling things down over the next couple of days.

Let's go ahead and check out your city by city forecast.

COREN: Well, it's time now to go over and out there, or should I say up there? Because today we're going to the world's tallest tower, the Burj Khalifah in Dubai. At more than 800 meters high you're almost guaranteed a decent view. But it comes at a price for many of the tower's mainly Muslim residence.

Well, on Sunday Dubai's top clerics said anyone living above the 80th floor should wait an extra two minutes before breaking their Ramadan fast. And those living between the 150th and 160th floors must fast for an additional three minutes.

Well, the reason? They're so high up that they can see the sun for longer than their neighbors below. Can you believe it? They may reconsider taking those higher apartments.

Well, that is News Stream, but the news certainly continues here at CNN. World Business Today is coming up next.