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Hillary Clinton Takes Responsibility For Security Failing In Benghazi; Peyton Manning Completes Biggest Comeback Of Career; Carefully Preserved Ancient Ruins In Aleppo Damaged By Conflict; Malala Begins Long Road To Recovery; UK Government Overturns Extradition Of Hacker To U.S.

Aired October 16, 2012 - 8:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


KRISTIE LU STOUT, HOST: I'm Kristie Lu Stout in Hong Kong. And welcome to News Stream where news and technology meet.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, U.S. SECRETARY OF STATE: I take responsibility. I'm in charge of the State Department.

(END VIDEO CLIP)

LU STOUT: Hillary Clinton says she is ultimately responsible for security at U.S. embassies and other diplomatic outposts after an attack last month killed the U.S. ambassador to Libya.

Now doctors say the Pakistani girl shot for standing up to the Taliban has a chance to make a good recovery.

And Britain will not allow the extradition of the hacker accused of breaking into the Pentagon's computers.

Now U.S. Secretary of State Hillary Clinton is speaking out about the deadly attack in Libya that killed the U.S. ambassador and three other Americans. The September 11th assault on the U.S. consulate in Benghazi has become a central issue in the U.S. presidential campaign. White House hopeful Mitt Romney and other top Republicans have suggested President Obama should have done more to keep Ambassador Chris Stevens and his colleagues safe.

But Clinton tells CNN she is responsible for the security of American diplomatic outposts and says don't blame the White House.

(BEGIN VIDEO CLIP)

CLINTON: I take responsibility. I'm in charge of the State Department, 60,000 plus people all over the world, 275 posts. The president and the vice president certainly wouldn't be knowledgeable about specific decisions that are made by security professionals. They're the ones who weigh all of the threats and the risks and the needs and make a considered decision.

(END VIDEO CLIP)

LU STOUT: U.S. President Barack Obama could face some tough questions about Libya later on Tuesday. In just about 13 hours he and Republican challenger Mitt Romney will take part in their second debate of the campaign. And CNN's own Candy Crowley will moderate the town hall style debate.

Now CNN's political editor Paul Steinhauser gives us a preview.

(BEGIN VIDEOTAPE)

ANN ROMNEY, WIFE OF MITT ROMNEY: One thing I know for sure, Mitt's prepared, Mitt's confident, Mitt's got a good presence about him.

PAUL STEINHAUSER, CNN POLITICAL EDITOR: Ann Romney says her husband is ready for a rematch with President Obama. The Republican nominee spent the past two days back home in Massachusetts behind closed doors preparing for tonight's second presidential debate.

President Obama has been hunkered down in Williamsburg, Virginia, not campaigning in the crucial battleground state, but instead doing his debate prep homework.

A senior adviser says the president knows he needs to step it up after the Denver debate two weeks ago.

ROBERT GIBBS, SENIOR OBAMA CAMPAIGN ADVISER: He knew when he walked off that stage and he also knew as he's watched the tape of that debate that he's got to be more energetic.

STEINHAUSER: Most Americans think Romney got the better of Obama at the first face-off.

MITT ROMNEY, U.S. PRESIDENT OF THE UNITED STATES: My plan is not to put in place any tax cut that will add to the deficit. That's point one. So you may keep referring to it as a $5 trillion tax cut, but that's not my plan.

OBAMA: I want to provide tax breaks for companies that are investing here in the United States. On energy, Governor Romney and I both agree that we've got to boost American energy production.

STEINHAUSER: Polls conducted following a Denver showdown both nationally and in key battleground states have tightened up. This time around, the candidates will field questions directly from undecided voters in a town hall format moderated by CNN's own Candy Crowley.

FRANK J. FAHRENKOPF, JR, CO-CHAIRMAN, COMMISSION OF PRES. DEBATES: We're standing right where Candy Crowley is going to be. She'll be at this table right behind us. And you'll see beyond her, there's two stools, high stools, that's where the two candidates will be. And then around them in sort of a semi-circle there will be about 80 people who have been chosen from the area around Hofstra here on Long Island. And they are the ones who will ask the questions of the candidates.

STEINHAUSER: And connecting with the town hall audience is crucial.

CANDY CROWLEY, HOST, CNN'S STATE OF THE UNION: And the challenges that they've got to connect not just with the people that are looking into the television and watching them, but to the people that are on the stage with them. They have to keep those folks in mind. It's a much more intimate and up close adventure with voters.

(END VIDEOTAPE)

LU STOUT: And we'll go to Dan Lothian for a preview in just a few minutes. And you can watch the second U.S. presidential debate. Right here, we'll be live at Hofstra University in Hempstead, New York for the town hall style debate moderated again by CNN's Candy Crowley, that's Wednesday morning 8:00 am in Hong Kong. It's all part of CNN's complete coverage of the 2012 U.S. election.

Now British doctors say the 14 year old Pakistani girl shot by the Taliban has a chance to make, quote, a good recovery. But they added it will take time. Now Malala Youfaszai is being treated at the Queen Elizabeth hospital in Birmingham, England. And she was attacked last Tuesday by Taliban gunmen in Pakistan. They shot her in the head and neck on her school bus and two other girls were wounded. Malala was targeted because of her campaign defending girls' rights to an education in her country.

And earlier on Tuesday, the medical director at the British hospital where she is being treated insisted that there are no security concerns despite an incident overnight. Now police said two well-wishers tried to enter the hospital, but were escorted away. And no arrests were made.

Now Malala now faces the prospect of reconstructive surgery. And CNN's chief medical correspondent Dr. Sanjay Gupta has been monitoring her condition. He filed this report.

(BEGIN VIDEOTAPE)

DR. SANJAY GUPTA, CNN SENIOR MEDICAL CORRESPONDENT: We we know is she had a pointblank gunshot wound injury, supposedly with a 9 millimeter handgun, and surgeons spent about three hours operating on her to try and probably remove fragments of the bullet, control bleeding, and also take pressure off of her brain.

You know, as you might guess the odds are usually not in the favor of somebody who suffered this type of injury, around 10 percent, fewer than 10 percent of these patients survive at all, and an even smaller percentage have significant neurological recovery after all this.

But we did hear some good news about Malala, just yesterday she was moving both hands and both feet, plural. And I emphasize that, because again as a neurosurgeon I will tell you to be able to move both sides of the body, even spontaneously, is a very good sign if she did this because someone asked her to and she was responding to a command that's even a better sign. But again the swelling of the brain sort of issue number one over the next several days make sure that swelling can be controlled.

As far as finding out how she's going to do overall, what doctors will typically do is they'll take the sedation that is sort of keeping her brain at rest, and decrease it a few times and see is she able to respond well, is she - can she understand her name, can she understand things, that's going to be the most critical sign going forward overall recovery.

The only thing the doctors have said so far is that it's going to be months perhaps before we actually have knowledge of just how far her recovery is going to go. Often times as we saw in the case of Congresswoman Giffords for example, if someone has weakness on one side of the body or the other because of where the injury is in the brain or if they have problems with language, that rehab can take a significant amount of time and that may be what Malala has in store for her.

She's young. She's 14. That's important because the brain is more plastic, if you will, at that age, better to rewire itself and that may work in her favor.

But as we get more information we'll certainly bring it to you.

Back to you for now.

(END VIDEOTAPE)

LU STOUT: Dr. Sanjay Gupta there.

Now Malala has become a global symbol of defiance against the radical Islamist group. And the Taliban's attempt to kill her has angered many and inspired massive rallies in her honor. Her supporters are demanding justice. Pakistani officials say the investigation into the attack is going forward. Interior Minister Rehman Malik spoke to CNN's Christiane Amanpour about the large bounty on Esanoula Essan, the Taliban's spokesman who claimed responsibility for the attempted killing of the 14 year old.

(BEGIN VIDEO CLIP)

REHMAN MALIK, PAKISTANI INTERIOR MINISTRY: Today, I am announcing $1 million as bounty on his head, which is more than, you know, (inaudible) of Pakistani, 100 million rupees, because we want to definitely get him. And all of our forces, intelligence agencies are hunting all those who were involved. I've got some of their names which I would not like to mention on record, because it may damage the investigation.

But let me show my Pakistani nation and the entire world that we will get them very soon.

(END VIDEO CLIP)

LU STOUT: You heard it there, a $1 million bounty. Now the Taliban are an operation in northwestern Pakistan along the border with Afghanistan.

Now still ahead here on News Stream, a decade of waiting is over. The British man who broke into secret Pentagon files will not be extradited to the U.S. And we will explain the decision.

And what is weird about this picture? Now if you can count two suns you're only halfway there.

(COMMERCIAL BREAK)

LU STOUT: Now back to our top story. There are just 21 days left until the U.S. Presidential Election, so tonight's second presidential debate will be crucial. Dan Lothian joins us now from the site of the debate, Hofstra University in Hempstead, New York. And Dan, the stakes are very high, especially for President Obama after that widely panned first debate performance of his.

How aggressive will Obama be tonight?

DAN LOTHIAN, CNN CORRESPONDENT: Well, look, I think it's safe to say the president will be very aggressive. You hear his top advisers, campaign advisers saying that the president will be much more energetic, that he will challenge Mitt Romney when he lays out his proposals and his plans. Remember, looking back to that first debate, Mitt Romney made a lot of - took a lot of shots at the president and the president essentially sat down. He never really challenged him. He did give somewhat of a response, sometimes, when he was hit with various different attacks. But he never really pushed very hard.

And his campaign saying that you won't see that this time around. They're comparing it to what we saw in the vice presidential debate where you saw a very aggressive Vice President Biden, they're saying that's the kind of tactic that the president will be employing during this second time around. And if we look at history, you look at former President Reagan, even former President Bush, they did not have good performances in their first debates and they were able to come back. They're hoping that will happen in this debate as well.

LU STOUT: And Dan, ahead of tonight's debate, we have a new survey out. It's revealing just how tight this race is. I'm talking about the CNN poll of polls. What does it reveal? What's at stake?

LOTHIAN: That's right. And for folks out there who might not understand what this poll is, we essentially take various different polls, combine them, and then come up with this number. And what it shows is that the president is at 47 percent, Mitt Romney at 48 percent. So it really is a dead heat.

And a lot of the movement that we've seen has come post that first debate, because the president not only in the battleground states, but also in the national polls the president was taking a pretty big lead, sometimes double digit lead in some states. And a lot of that evaporated after the first debate.

So it's a much, much tighter race now and no doubt the atmosphere at tonight's debate will reflect that.

LU STOUT: Yeah, for sure, and the town hall format itself, I mean, this is a very different dynamic compared to that first debate between Obama and Romney. So Dan what is the challenge here for the candidates, what do they have to achieve tonight?

LOTHIAN: That's right. You know, it is a different format in that it's a town hall. You have about 80 or so undecided voters and then from that group they'll be asking the questions. And by the way, Mitt Romney won the toss, the coin toss, and so he will get the first question.

What's different is that you have real voters there. And so the challenge for the candidates is that they have to connect in a personal way with the voters while still scoring these political points.

In the first debate, remember, you didn't have the real voters there. So it was more of the candidates going at each other or the moderator in between. Well, now you have to be very careful in how you answer these questions to make that connection while at the same time making that contrast with your opponent.

LU STOUT: That's right. They'll be speaking without a podium. So what they say and also their body language will very much be in the spotlight.

Now, Dan, the economy we know it is issue number one in this election, but foreign policy, national security also gaining significance, especially what happened in Benghazi. So how will security in Libya be addressed by the candidates tonight?

LOTHIAN: Well, we have to think that that will certainly come up, especially in the wake of Secretary of State Clinton essentially saying that the buck stops with her. She's taking full responsibility for what happened in Benghazi. As you know, Republicans have been hitting the White House for their handling of the situation in Libya, the president getting a lot of heat for that. And so now you have the secretary of state coming out and saying that she's in charge of decisions about security in places like Libya not the White House, because in the last debate remember the vice president came out and said that he was not, or we - he used the word we, being not aware of this request to have additional security in Benghazi. And so the question was, well then if the administration knew, why didn't the White House know? Well, secretary of state comes out and says that it was her decision, that the White House was not involved.

But no doubt we'll hear Mitt Romney somehow work that in to his narrative that not only has this president not been up to dealing with the economic situation domestically, but he doesn't think that the president has been up to dealing with the foreign policy issues that are out there, including what we have seen in Libya.

LU STOUT: Yeah, so much at stake here at this town hall debate to take place 13 hours from now. Dan Lothian reporting live from the site of the debate there in New York. Thank you.

Now to the conflict in Syria. And we have focused daily on the human cost of this devastating civil war, but today we also wanted to show you the toll its taking on Syria's priceless cultural heritage. And that's being felt particularly in Aleppo and also in Germany. Fred Pleitgen explains.

(BEGIN VIDEOTAPE)

FRED PLEITGEN, CNN INTERNATIONAL CORRESPONDENT: The market in the old town of Aleppo, a UNESCO World Heritage site, in flames as the civil war in Syria drags on, not just lives are being lost, some of the world's most precious ancient treasures are also under fire.

Heinz Gaube spent decades working to restore the historic buildings in Aleppo's old town and tells me why this place is so unique.

HEINZ GAUBE, HISTORIAN: Classical Hellenistic second century, late third century BC (inaudible)...

PLEITGEN: How often do you find something like this in the world still?

GAUBE: In Aleppo only. That clear , that clear is only in Aleppo.

PLEITGEN: The earliest structures in Aleppo date back more than 5,000 years. Gaube is the co-founder of a German initiative to preserve houses in Aleppo's old city, the Friends of the Old Town of Aleppo.

GAUBE: What we really emphasize that we have a kind of neighborhood help. So if one man starts and his neighbors help, the next will start and the neighbors help again. So we thought it's really important to build up, but not as a place of the museum, but as a place where people still live and enjoy to live and are proud to live there. And we achieved that.

PLEITGEN: The group provided funding and expertise to restore more than 1,000 residential buildings. Now, all of that is under threat as bombs and mortars fall on Syria's largest city and the urban combat takes its toll on this historic location.

One of the main attractions was Aleppo's citadel, which is also more than 5,000 years old. Another group, the Aga Khan Development Network, spent a lot of time and money developing the area around the citadel to help attract tourists.

As usual in conflicts, both sides, the rebels and the Assad regime, blame each other for destroying buildings in the old town. After allegedly ousting rebels from Aleppo's historic district, a Syrian TV reporter showed the damage the opposition supposedly cause. CNN cannot independently verify the video or reports from either side. And it remains unclear how badly the old city has been damaged.

GAUBE: I mean, you can't sit and not break out in tears. It's impossible. I mean, it's not just here, it's everywhere. It's everywhere this rapid change of economic conditions and social conditions.

PLEITGEN: Rapid and violent change that is threatening to destroy some of the world's most unique ancient heritage in a matter of months.

Fred Pleitgen, CNN, Berlin.

(END VIDEOTAPE)

LU STOUT: Now still ahead on News Stream, another twist in the Lance Armstrong saga. Former cyclist speaks out about his time in the sport. Amanda Davies has the details next.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now it is a big day of international football across the world with the road to Rio getting increasingly bumpy for some. Amanda Davies joins us now with the latest on the World Cup qualifying campaigns - Amanda.

AMANDA DAVIES, CNN SPORTS CORRESPONDENT: Hi, Kristie.

Yeah, it's well and truly underway, the road to Rio. Messi is on fire for Argentina. There's a meeting of big rivals in Asia on Tuesday as Iran take on South Korea. The pressure is really rising on Jurgen Klinsmann and the USA. But one team sadly not struggling is Spain. Vicente del Bosco's side have won 24 straight World Cup and European Championship qualifiers, so it's going to be no easy task for their opponents today, France. Les Bleus coach Didier Deschamps says his side aren't going to sit back and defend, though.

Spain, on the other hand, aren't expecting an easy ride either.

(BEGIN VIDEO CLIP)

CESC FABREGAS, SPANISH FOOTBALLER (through translator): France, by their history, are one of the most dangerous teams that Spain have faced. We have to make the most of the moment that Spanish football is having, the players we have, and play a great match, because I still think that if we don't play a great match tomorrow it will be impossible to win the group not only because of the good players they have, but because France with just a name instills great respect.

(END VIDEO CLIP)

DAVIES: As well as the action on the pitch, just another football line to bring you and that is that Asian soccer's governing body the AFC has apologized for what was described as a racist and disrespectful description of the United Arab Emirates' team on their website. The AFC have said that the nickname they used, quote, the Sand Monkeys, was used in error and was something they fixed as soon as they realized their mistake. They've apologized for any hurt they caused to the UAE football association and their fans. Their official nickname the Whites.

Well, the latest chapter of the fallout from the U.S. Anti-Doping Agency report into Lance Armstrong is seeing the International Cycling Union come under increased pressure. One of its former drugs experts, Dr. Michael Ashondon has been critical of the governing body's decision to accept donations totaling $125,000 from Lance Armstrong while he was under suspicion of using performance enhancing drugs.

But not all riders were on drugs. One former cyclist who testified in the report has told us he quit the U.S. Postal Service team and ultimately cycling because he didn't want to dope. Many of Scott Mercier allegations concern the team's former doctor, Pedro Celaya. We have tried to reach Celaya for comment, but haven't heard back of yet. But in other media, he has categorically denied the allegations.

(BEGIN VIDEO CLIP)

SCOTT MERCIER, U.S. POSTAL SERVICE CYCLING TEAM 1997: His program was on a calendar. And each day had - you know, we were supposed to recover, because it had been a hard season, but then there was a two week block, about 16 days, where on each day he had dots or stars, and we were supposed to do 200 to 250 kilometers per day. And I asked him what are these dots and stars. And he handed me a Ziploc bag filled with pills and liquid vials.

And I asked him, what do I have here?

And he said these are steroids. He said you will go strong like bull, but no racing, for sure you test positive.

(END VIDEO CLIP)

DAVIES: Now a story to give us hope. If you're down, you're certainly not always out. The four-time MVP Peyton Manning orchestrated the biggest comeback of his career on Monday as the Denver Broncos fought from 24 points down to beat the San Diego Chargers 35 to 24 on Monday. He threw for three touchdowns and completed 24 of 30 passes as the Broncos join the Chargers at the top of the AFC West.

Manning had lost four of his last five starts against the Chargers and was heading for another defeat after being intercepted by Quentin Jammer in the second quarter. Jammer took it back 80 yards and gets in for the touchdown. That extended the Chargers' lead to 17-0.

Later in the second, the Chargers pile on the points. Phillip Rivers finding Antonio Gates for the touchdown there. So that took it 24-0 at halftime for the home side.

But the Broncos didn't give up. Rivers fumbles the ball in the third quarter and Tony Carter runs it back 65 yards for the score. So the deficit at that point cut to 24-14. That made it a contest with plenty of time left on the clock as well.

The Broncos closed that gap to just three points in the fourth quarter when Manning connected with Brandon Stokley for the 21 yard touchdown pass. And that was Manning's touchdown in the second half as the Broncos lead 28- 24.

And the Chargers collapse complete when Rivers was intercepted by Chris Harris for the 46 yard touchdown score.

So 35-24 Broncos it ended.

Both teams now have 3 wins and 3 losses for the season.

Kristie, that was a great match even if you weren't into NFL particularly it was certainly and exciting one to watch.

LU STOUT: And a great comeback for Manning. Amanda Davies there, thank you.

And we've got this news just into us here at CNN. Citigroup CEO Vikram Pandit has stepped down. Now Citigroup's board has selected Michael Corbat as the company's new CEO. It also said that the CEO John Havens is also resigning. He was set to step down at the end of the year, but decided to leave at the same time as CEO Pandit.

Now we'll have much more on this on World Business Today in about 30 minutes from now.

Now you're watching News Stream. And stil lahead, the U.S. government says it was the biggest military computer hack of all-time. So will the man it blames for the cyberattack face trial on U.S. soil?

And Israel shows off its newest military weapon, a high tech drone.

(COMMERCIAL BREAK)

LU STOUT: I'm Kristie Lu Stout in Hong Kong, you're watching News Stream and these are your world headlines.

Now U.S. Secretary of State Hillary Clinton tells CNN that she takes full responsibility for security at the U.S. consulate in Benghazi, Libya. U.S. ambassador to Libya Chris Stevens and three other Americans were killed in an attack there last month. But three U.S. Republican senators say securing the safety of Americans serving abroad ultimately lies with the U.S. president.

Now U.S. President Barack Obama and Republican challenger Mitt Romney face off for a second debate later on Tuesday. Members of the audience will ask questions of both candidates. Now CNN's Candy Crowley will moderate.

Now Romney wants to hold on to momentum he's gained since the first debate, but aids to President Obama say that he will be more aggressive and energetic this time around.

Now doctors at a British hospital treating Malala Yousafzai say that they are, quote, very pleased with her progress.

Now the 14 year old girl's rights activist was shot last week by Taliban gunmen in Pakistan. Her medical teams says that she now needs reconstructive surgery. And police also say that two well wishers try to access the Birmingham hospital overnight, but they were removed.

Now no arrests were made.

Former Bosnian-Serb Radovan Karadzic says he should be praised for trying to avoid war. Now Karadzic has begun his defense at the International Criminal Tribunal for the former Yugoslavia. Now he's been charged with commanding the murder of nearly 8,000 Muslim men and boys in 1995. And Karadzic insists he did everything he could to prevent war.

And a British man's decade long fight against extradition has finally ended. Gary McKinnon will not be sent to the United States to stand trial on charges of computer fraud. Now the U.S. says that he carried out the biggest military hacking of all-time. McKinnon admits he broke into computers at the Pentagon and NASA, but he says he was only looking for evidence that UFOs exist.

Now in 2008, the European Court of Human Rights cleared the way for his transfer to the U.S. And after that decision, McKinnon was diagnosed with Asperger's Syndrome. Now the British government at that time refused to intervene.

Now home secretary Teresa May announced her decision just a short time ago and Nima Elbagir joins us now live from CNN London. Nima, tell us more about the rationale to not extradite McKinnon.

NIMA ELBAGIR, CNN INTERNATIONAL CORRESPONDENT: Well, this has always been a very unpopular decision. One of the first things that Teresa May did when this government came into power was to block the extradition of Gary McKinnon. It was a very, very easy, popular decision on her part. And it looks like she's gone through with it. She put in place a home office committee of psychiatrists to actually assess what would happen if Gary McKinnon, who as you said is suffering from Asperger's Syndrome, which is quote high on the autism spectrum, what would happen if he was actually extradited. And those psychiatrists have come back with the finding that there is a very big risk for him if he is sent to the United States.

Take a listen to what Teresa May had to say.

(BEGIN VIDEO CLIP)

TERESA MAY, BRITISH HOME SECRETARY: After careful consideration of all of the relevant material, I have concluded that Mr. McKinnon's extradition would give rise to such a high risk of him ending his life.

(CHORUS OF NAYS)

MAY: But a decision to extradite would be incompatible for Mr. McKinnon's human rights. I therefore withdrawn the extradition order against Mr. McKinnon.

(CHORUS OF YAYS)

MAY: It will now be for the director of public prosecutions to decide whether Mr. McKinnon has a case to answer in a UK court.

(END VIDEO CLIP)

ELBAGIR: But McKinnon's case has had ramifications beyond just his, as Teresa May was saying, human rights. The home secretary also announced that from now on the very means in which extradition cases will be dealt with have been completely changed.

Up until this point what has happened is that prosecutors in closed hearings would decide whether there was sufficient reason to send them to acquiesce to a U.S. extradition request. From now on, Teresa May has decided that it will be an open, transparent public forum and that there will be a judge sitting in on these hearings. And that's pretty groundbreaking in terms of the way that the entire relationship between the U.S. and UK has always gone forward, Kristie, in terms of these extradition processes.

LU STOUT: So expect a big change of the extradition arrangement between the UK and the U.S. And again the decision has been made, announced by Teresa May, the home secretary, and McKinnon will not be extradited to the U.S.

Any idea how the U.S. is likely to respond to this decision?

ELBAGIR: Well, McKinnon's case was really always seen as a legacy of the height of that special relationship between the U.S. and the UK. This extradition treaty was signed during the Blair-Bush era. Obviously, we've come quite a ways since then. And President Obama has only ever commented publicly once on McKinnon to say that he is aware of this case.

This is one that is just so unpopular, that it's been - that it'll be surprising how they are going to tackle this by coming out against this in any way. You know, you have someone who is autistic, it's been found medically by a British government committee that he is a suicide risk. How do you respond to that when this man has never actually - there's never been any evidence found that McKinnon has any links to terrorists. It'll be interesting to see how Obama chooses to handle that coming up to elections.

But this is an incredibly popular decision here. And, you know, we're going to be watching how that resonates in the U.S., Kristie Lu.

LU STOUT: For sure. And Nima Elbagir reporting for us. Thank you.

Now Israel is showing off its latest unmanned aircraft, and this comes just days after Hezbollah claimed responsibility for launching an Iranian made drone into Israeli airspace.

Now Sara Sidner takes a look at the technology.

(BEGIN VIDEOTAPE)

SARA SIDNER, CNN SENIOR INTERNATIONAL CORRESPONDENT: A week after a drone from its sworn enemy Hezbollah made it deep inside Israel's air space before being blown to bits. Israel showed of its latest drone, the Israeli- made Heron 1. It is fitted with the most advanced radar system, two cameras, night vision, laser and satellite technology. All of which can beam back stunningly sharp images in real time to anywhere in the world.

And the unmanned aerial vehicle can take off and land automatically even in bad weather, stay in the air for up to 24 hours and scan up to 90 miles away.

In this test, we watched the drone leave northern Israel, minutes later it's flying over a ship off Israel's coast and beaming back images from thousands of feet in the air. Images so sharp, you can read the name of the ship and dozens of other details. LT. COL. DANNY BICHMAN (RET.), ISRAEL AIRCRAFT INDUSTRIES: Once you try to use a drone, you don't know how you lived without it before. Like our cell phones. These days we're saying, how did you manage without cell phones, 15, 20 years ago? The same with drones.

SIDNER : Israel has been using drones for years, especially over Gaza. This is the kind of upgraded technology militaries all over the world are after, said this retired Israel air force captain who didn't want his face shown for security reasons.

UNIDENTIFIED MALE: I think all over the world, you will find countries that try to develop UAV, every country tried. And I think UAV, it's a threat. It's a threat everywhere.

SIDNER: One of those countries vying for drones is Israel's nemesis, Iran, and the Iran-backed Hezbollah militants in neighboring Lebanon.

Hezbollah's leadership bragged about the recent long-range drone it sent over Israel and promised it would not be the last it sends. Payback, it says for the times Israel has sent war planes over Lebanon.

SAYYED HASSAN NASRALLAH, HEZBOLLAH SECRETARY GENERAL (through translator): The resistance in Lebanon sent an advanced surveillance drone from the Lebanese territories towards the sea and through this drone from hundreds of kilometers over the sea. Then the drone penetrated the enemy's defense procedures and entered the occupied southern Palestine and flew over critical and important bases and installations until it was discovered by the enemy near the area of Dimona.

SIDNER: Dimona is of particular concern because of the nuclear reactor concerned to Israel and its enemies because of a nuclear reactor and suspected weapons program near that town in the Negev desert. While Israel has not revealed exactly where the drone went and why it wasn't shot down before it was far inside Israeli air space, Iran publicly boasted about its role in the drone mission and took a jab at Israel's defense capabilities.

Sunday, a member of Iran's parliament and national security and foreign policy commission, Mohammad Sali Shukar told Iran's semi- official news agency Fars the most important message of the Hezbollah drone's penetration into the occupied territories was that the Zionists on attacking Iran are unfounded, since the regime is not able to defend itself against Iran's missile capabilities.

(on camera): A senior Israeli official scoffed at the idea saying Israel has no illusions about the capabilities or intentions of Iran or the subsidiary Hezbollah.

(voice-over): What is clear is the future of warfare is here and this is it. What is less clear is what Israel plans to do without a provocation by its number one concern, Iran.

Sara Sidner, CNN, Jerusalem.

(END VIDEOTAPE)

LU STOUT: Now time for a check of your global weather forecast. And flooding in Nigeria continues to affect thousands of people. Mari Ramos has the latest. She joins us from the World Weather Center - Mari.

MARI RAMOS, CNN WEATHER CORRESPONDENT: Yeah. You know, flooding along the Niger Delta has gone on in Nigeria I should say, for quite awhile already. The rivers there, the confluence of rivers very full already from weeks of heavy rain. The rainy season has ended, but the water is still there and it continues to rise across many places. The Red Cross announcing that they've had over 148 reported deaths already across Nigeria. You can see it right across this area here.

Here's Abuja. The main rivers are these areas right in here. You'll see quite a change from this picture taken back on October 8 of last year also at the end of their rainy season compared to what they're looking at this year. This picture just taken on October 15. And you can see how widespread the water actually is.

Let's go ahead and zoom in a little bit more. I want to go ahead and show you here. These areas, one of the most affected.

The flooding began earlier this year about maybe four to six weeks ago along the upper reaches of both of these rivers. But as they come together you can see how widespread and how wide those waters have come that have inundated homes and businesses. And the water continue to flow downstream.

As we head farther to the south here in the river state I want to show you some pictures that we have from one of our iReporters. He tells us the story of people still evacuating, how there's not enough food or services for the thousands of people that are being chased out of their homes by the rising flood waters. Pretty dramatic pictures here.

The water doesn't look that high there, right. But you've got to remember that this used to be a roadway. And it's an indication of the rising water and the people fleeing their homes because the water continues to rise across these areas.

There's no telling really when the crest will get to these areas and how many people may be affected, but like you mentioned, Kristie, the Red Cross already saying that they have about 10,000 people already in shelters across the region.

Come back over to the weather map. As far as rain you'll notice that the rain remains in areas here to the south. Scattered rain showers, thunderstorms popping up - expected to pop up continuously through the region, but it's not so much the rain falling now, again it's going to be the rain that has been affecting the area for such a long time.

Very quickly, a quick round of the tropics. We have Maria here Papiroon here. Both of these storms, neither one of them a huge threat to land. This one will move past Iwo Jima. Papiroon approaching Okinawa, but we think it should pass safely to the east of Okinawa and most of the islands and then eventually continuing to turn to the west - to the east I should say as it continues to just move away.

On the other side of the Pacific, though, we do have another storm that is threatening land. And this is Hurricane Paul. There are hurricane warnings posted along portions of the Baja Peninsula. And the storm already beginning to approach land. The main concern will be for flooding and mudslides over these areas and huge waves, of course, that continue to pound the coastline here.

The threat for rainfall will be the main concern. And even as the storm continues to move inland and parallel to the coast, then eventually we'll turn, we think, and approach the U.S. coastline as an area of low pressure. The main concern there will be high waves.

Don't go away, we'll take a break right here on CNN. News Stream will return right after this break.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now this month we are looking at two Leading Women who have found success in two very different industries. Jennifer Taylor runs the Asia- Pacific division of Bank of America Merrill Lynch right here in Hong Kong while Donna Langely is the co-chair of Universal Pictures in Hollywood. Now I caught up with Jennifer while Felicia Taylor has Donna's story.

(BEGIN VIDEOTAPE)

LU STOUT: A center of big global banking in Hong Kong. It's here we find Jennifer Taylor, the Asia-Pacific COO of Bank of America Merrill Lynch. The rhythm of this place moves to her beat.

JENNIFER TAYLOR, COO BANK OF AMERICA MERRILL LYNCH: How about the Colombia women's leadership meeting in September.

LU STOUT: In meeting after meeting, the former lawyer turned banker is ever the poised woman in charge here and at the other 11 countries in Asia she oversees.

TAYLOR: I say I haven't felt any barriers. Actually both times I've been on maternity leave I've been promoted, which I think is a very positive message to send to our female employees.

LU STOUT: Though she operates fluidly in this fast-paced, modern environment, she still has a bit of old school in her.

OK, so you have your whiteboard. How often do you use the whiteboard to sort of come up with ideas and to plan your days?

TAYLOR: I use it more sort of as the big picture issues that I want to keep focused on. So I don't write down my every day to-do list up there, that's just - they are the big issues. And then my desk is the more micro.

LU STOUT: And she makes sure her workspace is not all business.

The family shrine.

TAYLOR: This is the family shrine, yes. This is Isabella, this is Charlie, and this is (inaudible), Isabella and Charlie.

LU STOUT: Oh, fantastic.

TAYLOR: And that's my husband there as well.

Isabella, can you come in and help me with the salad?

I love to cook. So I spend most of my weekend cooking various different types of cuisines.

LU STOUT: Family time is important to Taylor, values she learned from her parents growing up in Limerick, Ireland. Determination was also key.

TAYLOR: My parents create an environment where we all felt we could achieve whatever we wanted to. I was the first person to go away to university in my family. I was very driven and focused on achieving that goal.

LU STOUT: A drive that's propelled her 15 year career spanning London, Australia, Singapore, and now Hong Kong.

It hasn't taken any sort of personal toll or family toll?

TAYLOR: No, I don't think it has because we embrace the opportunity. We love different cultures. We love Asia.

LU STOUT: Watching Taylor, it's clear she brings an intense dedication to everything she does from her husband and children to the career that's led her here.

TAYLOR: If you'd ask me then would I end up in Hong Kong, I would have never thought that was possible. I think my goal at the beginning of my career were to do the best I could and to take advantage of every opportunity that was presented to me.

FELICIA TAYLOR, CNN CORRESPONDENT: I'm Felicia Taylor.

This is the end of a long day for Universal Pictures co-chair Donna Langley. She's at an after party for the premier of the studio's film Pitch Perfect. Her husband, and interior designer, joins her for this small part of her job. Hours after this, she was up with her sick son into early hours of the morning.

DONNA LANGLEY, UNIVERSAL PICTURES: Good morning.

FELICIA TAYLOR: And after a quick rest, she was right back at work sitting with an editor and director working on a film due out next year.

LANGLEY: Is there a way to make that a little bit more from Ryan's point of view? I mean, I know that he's - that Roy is the one who is talking, but just a little bit longer on his reactions.

FELICIA TAYLOR: Her balancing act between wife, mother, and high level executive is a reality for many women. But what Langley wants to make clear, it is not easy.

LANGLEY: I think as women, we carry a huge amount of guilt every second of every day that we're not with our children. That doesn't mean to say that it's a bad thing to go out to work. I actually really like the idea that I'm instilling in my children, even though they're babies, a work ethic. You know, and I hope ultimately that they would have pride in the fact that they have had a mother who loves what she does and, you know, goes to work every day happy.

ADAM FOGELSON, CHAIRMAN, UNIVERSAL PICTURES: When Donna took some time to have her children, that's something that typically would affect her more than it would some of our male colleagues, but Donna worked through that period of time as hard or harder than any man I know.

FELICIA TAYLOR: A further boost of confidence, she was promoted to co-chair right after she returned from maternity leave.

LANGLEY: I had to sort of re-prioritize everything. And I had to figure out how to leave my work at work. And there was a very definitive moment where I realized that all of the experience that I had, and all of the expertise that I brought to the table every day, gave me a certain confidence to just kind of let go.

FELICIA TAYLOR: It's a difficult time to head a studio in Hollywood, video on demand is eating away at DVD sales, forcing studio execs to work harder to score those moneymaking franchise hits. But Universal just scored a record year in Domestic box office sales proving Langely is up to the challenge.

LANGELY: I just want to keep doing what I'm doing, I really do. And I just hope I get to make movies forever.

(END VIDEOTAPE)

LU STOUT: Now another person featured in our Leading Woman series is Yahoo CEO Marissa Mayer. It was only a couple of weeks ago that we told you that Mayer had given birth. Now the Yahoo chief executive is already back at work. She marked the end of her two week maternity leave with this tweet when she announced the hiring of Yahoo's new COO, a former Google colleague.

You can find much more on all our Leading Women on our website, including a feature where we asked what one piece of advice would you give your 15 year old self? We've got answers from everyone from Melinda Gates to Maria Sharapova? It's all at CNN.com/leadingwomen.

Still ahead right here on News Stream, the modern challenges facing an ancient nation. How China's Communist Party is both preparing for and coping with change. A preview of a new CNN Series on China is next.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now this month, we're launching a new series on CNN called On China in which we will take a closer look at China's position on the global stage.

Now in the first show, we'll look at the role of the Communist Party as China prepares for a rare leadership transition. On China, it stars on Wednesday. It airs at 5:30 pm right here in Hong Kong.

Now sometimes truth is stranger than fiction. Now you're looking at an artist's rendition of a new planet with not one, not two, but four suns. And here is how that sky might look like from the ground.

Now scientists think that the new planet is a gas giant, though, despite the rocky landscape shown here. It's called PH-1, short for Planet Hunters. Now that's the group behind this discovery.

Now Planet Hunters describes itself as an online citizen science project. And participants comb through data from NASA's Kepler Spacecraft. They look for changes in star brightness. Now the dip can signal a planet passing in front of the star.

Now PH-1 is Planet Hunter's first confirmed discovery.

And that is News Stream, but the news continues here at CNN. World Busiuness Today is next.

END