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WEEKEND EARLY START

Court To Hear Same-Sex Marriage Cases; Political Crisis Grips Egypt; Syrian People Struggling; Victim of Radio Hoax Commits Suicide; Secret Service Investigated for Potentially Damaging Loss of Information; Business News of the Week; Lose Weight by Doing Chores

Aired December 8, 2012 - 06:00   ET

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


RANDI KAYE, CNN ANCHOR: From CNN headquarters in Atlanta, this is EARLY START WEEKEND.

Some are calling it the next Roe v. Wade or Brown vs. Board of Education. The issue the U.S. Supreme Court agreed to take on that will make history.

(BEGIN VIDEO CLIP)

SEN. JOHN MCCAIN (R), ARIZONA: All of those who argued for non- intervention because of the things that might happen have now happened because we failed to intervene.

(END VIDEO CLIP)

KAYE: When is enough enough? That is the question many are asking about Syria as the death toll climbs and concerns mount over chemical weapons. Now some lawmakers are saying it may be too late to stop mass destruction.

And, what is going on with Netflix? Yet another major blunder by the CEO. Why he's being investigated by the SEC.

It is Saturday, December 8th. Good morning, everyone. I'm Randi Kaye. Victor Blackwell is off today.

We start with a landmark decision by the Supreme Court. The justices have decided to hear two cases involving same-sex marriage. CNN crime and justice correspondent Joe Johns has a look.

JOE JOHNS, CNN SENIOR CORRESPONDENT: Randi, after weeks of speculation, the court decided to take up two cases on the issue of same-sex marriage.

The first one is about the Defensive of Marriage Act. Windsor against the United States. Edith Windsor and her partner Thea Spyer were married in Toronto, Canada, in 2007. Spyer died in 2009 in New York at a time when New York recognized same-sex marriages that had been performed outside the state. When Spyer died, Windsor was required to pay $363,000 in federal estate taxes on her inheritance that she would not have had to pay if federal law had given their relationship the same status that opposite marriages get. So, a pretty clean case here and even the Obama administration has already said it doesn't think the constitutionality of the Defensive of Marriage Act can withstand a legal attack.

The second case the court decided to take on is Proposition 8, the California ballot initiative, adding a state constitutional amendment in 2008 that said only marriage between a man or woman is valid or recognized in California. It overturned a court ruling that said same- sex couples have a right to marry. The cases are likely to be heard in March and decided sometime in June -- Randi.

KAYE: Joe Johns, thank you very much.

So, the decisions will be handed down next year, but as CNN's senior legal analyst Jeffrey Toobin told Anderson Cooper, just the fact that they'll hear the cases is a landmark move.

(BEGIN VIDEO CLIP)

JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: 1967 was also the decision in Loving versus Virginia. That was the famous case that said interracial marriage could not be banned by states. Today that looks like, can you imagine like a state that would ban interracial marriage? But 19 states still had that law in 1967.

This, gay right supporters have said, this is the Loving versus Virginia of gay rights. We'll see. I don't -- you know, I don't know what the outcome will be. But the fact that they took both these cases suggest they're really ready to engage with the issue.

(END VIDEO CLIP)

KAYE: We'll have much more on the Supreme Court's decision throughout the morning.

And to politics now. He served his state as a Republican, left the party and turned Independent, and now former Florida Governor Charlie Crist is officially a Democrat. Crist announced Friday he had signed papers switching party affiliations. Some are speculating he made the move to position himself for a run against Republican Governor Rick Scott in 2014.

Is this the end of "Gangnum Style" mania? Korean pop star PSY, who's music video has become the most watched video in YouTube history, is now apologizing for anti-American lyrics that he rapped back in 2004. That performance resurfaced on CNN's iReport in October and then circulated online. It included lyrics calling for the death of American troops serving in Iraq. In his apology, PSY said his performance had been emotionally charged and that he'll forever be sorry for any pain he caused. On the 21st, PSY is scheduled to perform at a charity concert in Washington. President Barack Obama is also planning on attending that event.

PSY is just one of the many names that have grabbed our attention this year, from the powerful, to the controversial, to the outrageous and the inspirational. We want your input to choose the most intriguing people of 2012. So, go to cnn.com/intriguing. Cast your vote for the top 10 most intriguing people of this year. CNN will reveal your selections on air and online on Monday, December 24th. Violence and protests have shattered Egypt's calm and raised alarm in Washington. Now, embattled President Mohamed Morsi is meeting with members of the opposition to try to end Egypt's worst crisis since he took office. So let's bring in CNN's Reza Sayah. He's in Cairo for us this morning.

Reza, so opposition leaders are snubbing today's meeting?

REZA SAYAH, CNN CORRESPONDENT: Yes, they are, Randi. And that's why, I don't think, a lot of people are too optimistic that these talks are going to have a positive outcome because the top leaders of the opposition said that they're not going to meet the president because the president hasn't met their demands. Remember, this was a suggestion made by the president Thursday night when he made his televised address. He asked the leaders of the different political factions to get together at the palace today to talk things out and the political factions and their leaders said no.

However, last night the president did make a statement that could be construed and viewed by the opposition as a concession. He made a statement saying he's willing to postpone this nationwide referendum on the draft constitution that's scheduled for next Saturday, December 15th. He said he's willing to do it if he's guaranteed that the courts will not challenge it. Is this a genuine effort by the president to reach some sort of compromise, or is it something else? The reaction at Tahrir Square was mixed last night.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I don't believe him. I don't --

SAYAH: You don't believe him?

UNIDENTIFIED FEMALE: No.

SAYAH: He's saying he'll considering delaying it. You still don't believe him?

UNIDENTIFIED FEMALE: Yes, I still don't believe him.

SAYAH: What do you think he's trying to do with this statement?

UNIDENTIFIED MALE: He's trying -- he's trying to quiet down the street and he's trying to calm down the people and he's trying to do his best to make every Egyptian satisfied.

SAYAH: And you think this is a positive step?

UNIDENTIFIED MALE: Of course it's a positive.

SAYAH: The president says, I'm willing to delay the referendum. What's your reaction?

UNIDENTIFIED FEMALE: We say to him that it's too late.

SAYAH: It's too late? UNIDENTIFIED FEMALE: It's too late. We don't want any conversations. Please, go.

(END VIDEO CLIP)

SAYAH: So, some people seem to welcome the president's apparent offer, but there's so much mistrust between these two sides that some members of the opposition, some supporters of the opposition, already describing this statement by the president as some sort of plot or some scheme.

We should explain why he's asking for immunity from the judiciary. The law right now in Egypt says if a draft constitution is introduced, the country has 15 days to vote on it. If there is a delay for this referendum, obviously, the president will have gone over those 15 days. That's why he's asking for immunity from the judiciary, Randi.

KAYE: Reza Sayah clearing it all up for us. Reza, thank you very much.

Red lines crossed. U.S. military plans updated. That may be the case in Syria. The threat of chemical weapons is drawing new warnings from the U.S., but when is enough enough? We'll put the issue in focus.

(COMMERCIAL BREAK)

KAYE: This week we heard a ratcheting up of talk on Syria and those warnings for the Assad regime. Those warnings center on talk of the Syrian military's chemical weapons supply. It's our focus this morning. Syrian forces have loaded bombs with deadly sarin gas and those could be dropped by the Syrian military.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: The world is watching. The use of chemical weapons is and would be totally unacceptable.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

SEN. JOHN MCCAIN (R), ARIZONA: If true, these reports may mean that the United States and our allies are facing the prospect of an imminent use of weapons of mass destruction in Syria and this may be the last warning we get.

(END VIDEO CLIP)

KAYE: Yes, the world is watching, but so far they're just watching.

The anti-government protests in Syria began in March, March of 2011. That's around the same time the Libya uprising began. And just to put it in perspective for you this morning. Moammar Gadhafi was killed more than a year ago. NATO airstrikes started against Gadhafi's forces one month into their conflict. It's been almost 21 months now in Syria and there's been no direct military involvement inside Syria from the international community. Here are the cold, hard facts from opposition leaders. More than 40,000 people killed, more than 33,000 people detained by the regime and the U.N. says more than 2.5 million people have been forced from their homes.

Blasts like this have become commonplace in cities across Syria. But for the Obama administration, the red line has always been the use of chemical weapons by Assad's forces.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, SECRETARY OF STATE: We have sent an unmistakable message that this would cross a red line and those responsible would be held to account.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: If you make the tragic mistake of using these weapons, there will be consequences and you will be held accountable.

(END VIDEO CLIP)

KAYE: Held accountable. It's unclear exactly what that means, but what about military intervention to stop the Assad regime?

(BEGIN VIDEO CLIP)

LEON PANETTA, DEFENSE SECRETARY: The president of the United States has made very clear that there will be consequences. There will be consequences if the Assad regime makes a terrible mistake by using these chemical weapons on their own people.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

HILLARY CLINTON, SECRETARY OF STATE: I'm not going to telegraph in any specifics what we would do in the event of credible evidence that the Assad regime has resorted to using chemical weapons against their own people. But suffice to say, we are certainly planning to take action if that eventuality were to occur.

(END VIDEO CLIP)

KAYE: A promise of action, but, again, no specifics. So, what would a military intervention look like?

(BEGIN VIDEO CLIP)

JIM WALSH, MIT'S SECURITY STUDIES PROGRAM: If your objective is to destroy the chemical munitions, then perhaps you could go in and bomb them or otherwise sabotage them. If your goal is to go in and secure them and remove them so that they don't fall into the hands of others, and that requires boots on the ground, then that's going to require all sorts of logistical planning and a pretty major effort. In part because, remember, military planners have to plan for the worse case. So even if you send a small group of people in, they have to have backup and a way out. There's all sorts of things that have to be planned for. And so as you plan for those contingencies, the number of troops required increases and increases. So I think that's a really nasty problem for U.S. military planners to go and somehow destroy or otherwise remove chemical weapons in the middle of a civil war against a country that has a military that is going to fight back.

(END VIDEO CLIP)

KAYE: Then there's also the danger of an unplanned chemical explosion inside Syria. Take a look at this map with me. Where would the toxic cloud go from there? Jordan, Israel, Lebanon, perhaps Turkey? That's another part of the question and another reason why chemical weapons are the administration's red line. We'll have more on this next hour with Christiane Amanpour. We'll see how the current Syrian conflict fits in with similar uprisings in the region and the world.

But while politicians talk about red lines and threats, there are millions of people caught in the line of fire. CNN's Arwa Damon and her crew are inside Syria putting their lives at risk to bring you those people's stories, including how they are forced to live underground.

(BEGIN VIDEOTAPE)

ARWA DAMON, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice-over): Down a steep stone stairway into the darkness, this is where the Kudia (ph) family has been hiding for four months.

"The strikes were all around us. We just ran out with nothing," 20- year-old Fatma (ph) recalls. "We just ran and ran down here and the shrapnel was falling all over."

Since then, they've dared occasionally to go back home to collect belongings.

"There would be bombing like that and we'd come running back here," Fatma says.

Their home is just five doors away, but it's right on one of Aleppo's front lines. It's been hit by artillery fire since they fled.

"We go home every two weeks to shower, fearful and terrorized," Fatma's mother tells us. "We have a weak home. It could crumble any moment."

Their makeshift bunker was a workshop. The carpenter's intricately carved furniture still lines the walls. The last time the family ventured out was three weeks ago. Fatma and her younger sister want to leave, anywhere but here, anywhere they can feel the sun and smell fresh air. But their father refuses.

Poor, but proud. He says he doesn't want to be at the mercy of others. Here, he can send his son to scrape money and buy a little food. It's humbling how amidst all they have lost and suffered, they insist on offering us tea.

The girls dream of wounded neighbors. Their mother has nightmares her children are dead and says she feels her heart is going to burst with each explosion.

"I just tell her it's far away and not to be scared," Fatma says.

But sometimes the bombings are so close, the family says they choke on the dust.

"What can we say, we're living in a prison. Prisoners in a prison," Fatma says.

"It's more like a grave," Zahra (ph) adds.

DAMON (on camera): To give you an idea of just how dark it really is, and terrifying with all of the sounds of the gunfire outside, we're going to switch our camera light off. This tiny flame is all the family has.

DAMON (voice-over): As they listen to the sounds of war above.

Arwa Damon, CNN, Aleppo.

(END VIDEOTAPE)

KAYE: We'll bring you more stories like that one from Arwa Damon and her crew throughout the morning.

In a flash, it went from sophomoric joke to tragedy. The nurse who fell for a prank radio call including the duchess of Cambridge has taken her life. We'll bring you the latest from London.

(COMMERCIAL BREAK)

KAYE: Welcome back. Twenty-one minutes past the hour now.

Three months after a deadly attack on the U.S. consulate in Benghazi, Libya, Hillary Clinton will testify before Congress. The secretary of state will appear before the House committee on foreign affairs. She will address findings of a State Department report on the September 11th attack that killed U.S. Ambassador Chris Stevens and three other Americans. The report is expected as soon as next week.

A brief reprieve for Internet software pioneer John McAfee. A judge in Guatemala is staying his deportation to Belize until his immigration case is heard in court. McAfee is recovering after an apparent collapse. Authorities in Belize want to question him about the shooting death of his neighbor. He went on the run but insisted he had nothing to do with it.

Well, it started as a prank, really, one of the oldest radio tricks around. Call someone, pretend you're someone else, hope your listeners get the joke and then you have a laugh. But now apparently, because of the prank, someone is dead and the world is outraged. Joining me now from London is Matthew Chance.

Matthew, good morning.

The radio hosts responsible for this have taken themselves off the air. Of course we're talking about the prank call to the duchess of Cambridge. But the anger just keeps pouring in, doesn't it?

MATTHEW CHANCE, CNN CORRESPONDENT: Yes, it certainly does. A lot of that anger is directed towards that radio station in Sydney, Australia. Their Facebook page has had to be taken down because of all the angry comments that were posted on it there. Other social media accounts as well have been bombarded with messages of disgust at the behavior of these two radio deejays that called this Edward VII Hospital on Wednesday from their live radio studios in Sydney. One of them posing as the queen, the other posing as Prince Charles, the heir to the British throne. And managing to get patched through to the ward where the duchess of Cambridge was being treated for morning sickness and getting some kind of personal details from the medical staff there, the nursing staff.

And then, of course, it emerged that one of the nurses who was taken in by that prank call took her own life a short distance from here at the staff residence quarters, staff quarters just a few meters away from the front door of the hospital. So, obviously, you know, turned what was meant to be, however ill conceived, a light hearted gag, it turned into a very sort of tragic, tragic issue which has, obviously, deeply saddened many people around the world and led to their suspension, of course, from their jobs until further notice.

KAYE: Yes. Certainly a lot of people have been stunned by this. How much does the moral outrage from the phone hacking scandal in Britain, do you think, plays into this?

CHANCE: Yes, I think to a certain extent it feeds into it, of course. I mean this is another example of the media, in this case the Australia media, I suppose dragging and, in this case, an innocent nurse into what must have been a media frenzy. You can imagine the kind of pressure this woman was under being at the center of this live broadcast where she was basically a victim of this prank call. She believed the very inauthentic accents of these Australian deejays. She must have been ridiculed from that by her friends. And she was certainly ridiculed in the media as well. She must have been bombarded as well by calls from the media around the world to try and get her comments on what she felt about being taken in by this prank call.

There was a suggestion as well that the royal family had made a complaint to the hospital about the fact that the telephone call had been put through and that could have been sort of converted into pressure on the nurse, as well. Although a royal spokesman says that that's not the case and no official complaint was ever made, Randi.

KAYE: It's just so sad. I mean just imagine the pressure that she did feel. But the CEO of the Australia radio company behind this whole prank says that he's confident that his company didn't do anything illegal. Is there any investigation into this and possible criminal charges here? CHANCE: Not that I've -- not that I've heard of in terms of a formal investigation. You're right, Reece Holleran is the CEO of the company that owns the radio station in Australia that made the call has come out expressing his sadness, of course, but he's also said that he doesn't believe that the deejays actually did anything criminal.

As you mentioned, you know, making a prank call is common practice in these kinds of talk radio shows. It's been happening for decades. And no one could have anticipated, the CEO says, that this would have been the tragic outcome. I mean, you know, the hospital perhaps has suggested that there may be something they can look into, but, you know, at the moment, there's nothing confirmed.

KAYE: Our thanks to Matthew Chance from London for us this morning. Matthew, thank you.

A secret no more. The Secret Service now under investigation because of a potentially crippling security breach on a subway. We have the details.

(COMMERCIAL BREAK)

KAYE: Hey, it is half past the hour. Welcome back, everyone. I'm Randi Kaye, thanks so much for starting your day with us. Here are five stories that we're watching this morning.

The Supreme Court has decided to hear two major cases on same-sex marriage. Justices will hear arguments against the federal government's Defensive Marriage Act and California's Proposition 8. Prop 8 banned same-sex marriage in California while the Defensive Marriage Act or DOMA as it's called denies federal benefits to legally married same-sex couples. The decision on both cases could be reached by June.

In our second story, Michigan governor could sign a controversial "Right to Work" bill by Tuesday, which will allow workers at unionized companies to avoid paying dues. Critics say the bill would hurt union strength, but supporters say it will bring jobs to the state. Democrats and union supporters are planning a massive rally at the state capital the same day.

In money news, holiday hiring may have given a big boost to the jobs report. Retailers hired more people in November than in any other month on record since 1939, according to the Labor Department. 146,000 jobs added to the economy last month and the unemployment rate fell to a four-year low of 7.7 percent, partly because thousands of people have just stopped looking for work.

At number four, President Obama asking Congress for $60.4 billion in emergency aid for Superstorm Sandy recovery efforts. That request falls short of total damage estimates. Governors from New York, New Jersey and Connecticut alone say they'll need closer to $82 billion to repair their states.

And it's been more than 15 years since he was mysteriously gunned down, but the Los Angeles coroner's office has finally released the autopsy report on rapper Christopher Wallace, also known as the Notorious BIG or Biggie Smalls. The 23-page report shows Wallace suffered four gunshot wounds, one of which was fatal. To date, no arrests have been made in that case. It remains unsolved.

Secret service agents at risk, all because one man lost some sensitive computer information. The shocking mistake was kept largely secret until now. CNN's Brian Todd has the details.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT: The law enforcement and congressional sources tell CNN the U.S. Secret Service is being investigated for a potentially damaging loss of information. The data was on two back-up computer tapes, which contain very sensitive personnel and investigative information, according to our sources.

UNIDENTIFIED MALE: And you lost the drive containing the identity of every agent.

TODD: It might remind you of the new James Bond movie "Skyfall" where the villains steal a device with top secret information on British agents. But in this case, our sources say, the tapes were left by a contractor on a train in Washington's metro rail subway system.

The incident occurred in February of 2008, but is now the subject of an investigation by the Department of Homeland Securities Inspector General. That office is not commenting on why the probe is going on now. I asked former FBI counterespionage agent Eric O'Neill about the loss.

ERIC O'NEILL, FMR. FBI COUNTER-ESPIONAGE AGENT: Some of the information could cause lives to be at risk if someone wanted to get at the families of a high-level government worker or someone they perceived as being someone who could work against a terrorist cell.

TODD: O'Neill is the agent who took down Robert Hanssen, the FBI official who spied for the Russians. O'Neill is depicted by Ryan Phillippe in the movie "Breach." The Secret Service says no lives were endangered by the 2008 loss. No fraud occurred as a result. But how did this happen?

According to our sources, the contractor was transporting two tapes in a pouch from Secret Service headquarters in Washington to a now closed data facility in Maryland. The sources say the contractor got off a metro train, later realized the pouch had been left behind. The Secret Service and metro police were contacted, an aggressive search took place, but one source tells us the tapes have not been recovered.

In a statement, the Secret Service said these back-up tapes were not marked or identified in any way and were protected by multiple layers of security. They could not be accessed without the proper equipment, applications and encoding. Still --

(on camera): Why put sensitive information about agents or anything else on a removable disk? O'NEILL: Well, part of the reason I think, and once again, this is conjecture, that in 2008, when this occurred, some of the information might have been on removable disks just because that's how they transported information. We have leapt forward in technology since then.

TODD (voice over): But O'Neill has his own questions.

O'NEILL: Why did a contractor have it? Why wasn't it chained to his wrist with a handcuff in a case that he would, the second he stood up think I need to grab it.

TODD: I put that to a Secret Service official who did not answer directly, but did say that protocols have been put in place to make sure this doesn't happen again. Brian Todd, CNN, Washington.

(END VIDEOTAPE)

KAYE: President Obama and the Republicans look to make a deal. The royal couple makes a baby and a new law makes some pot smokers very, very happy. A look back now at the week that was.

(BEGIN VIDEOTAPE)

SOLEDAD O'BRIEN, CNN HOST: 26 days left, of course, until we tumble over the cliff.

REP. JOHN BOEHNER (R-OH), HOUSE SPEAKER: Now we need a response from the White House.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: I will not play that game.

ASHLEIGH BANFIELD, CNN ANCHOR: It's official. Kate Middleton is pregnant.

PRINCE WILLIAM, DUKE OF CAMBRIDGE: Obviously, you know, we want a family.

UNIDENTIFIED FEMALE: The whole globe's press will be in London waiting for this little baby.

CAROL COSTELLO, CNN ANCHOR: Smoke them if you've got them.

UNIDENTIFIED MALE: Now we're smoking weed.

UNIDENTIFIED MALE: I'm not a criminal anymore. I'm free to be free.

KAYE: A little pot, a big pregnancy and, of course, politics dominated this week that was. A week that began with this --

BOEHNER: A reasonable offer to the White House that would avert the fiscal cliff.

KAYE: The President politely declined.

OBAMA: When you look at the math, it doesn't work.

UNIDENTIFIED MALE: It's just common sense.

O'BRIEN: At least the two sides are talking.

KAYE: Oh, they are talking all right.

SEN. MITCH MCCONNELL (R), MINORITY LEADER: The President actually isn't interested in a balanced agreement.

SEN. HARRY REID (D-NV), MAJORITY LEADER: The only people who aren't aboard are Republicans in Congress.

KAYE: Another Republican this week trying a different tack.

BOEHNER: God bless us, everyone.

BANFIELD: All right. This is the kind of breaking news we love to bring to you.

UNIDENTIFIED FEMALE: And we've got breaking news.

KAYE: Over and over again, in case you didn't hear.

WOLF BLITZER, CNN HOST: Prince William and his wife Catherine are expecting a baby.

UNIDENTIFIED MALE: I'm sure they will make absolutely brilliant parents.

PRINCE CHARLES, PRINCE OF WALES: They're splendid. And I'm very glad my daughter-in-law is getting better.

KAYE: Getting better after Kate was diagnosed with hyperemesis gravidarum.

UNIDENTIFIED FEMALE: A case of hyperemesis gravidarum.

UNIDENTIFIED FEMALE: Hyperemesis gravidarum.

BARBARA WALTERS, ABC HOST: Hyperemesis gravidarum which means you throw up a lot.

KAYE: Thanks, Barbara.

COSTELLO: Today recreational marijuana is officially legal.

KAYE: In Washington state, at least, so smoke up if you're so inclined.

UNIDENTIFIED MALE: It's amazing. I'm not a criminal anymore. I can't go to jail for small amounts of marijuana.

UNIDENTIFIED MALE: Almost the entire West Coast and all of New England is going to move in this direction.

KAYE: Same-sex marriage also officially legal in Washington this week.

UNIDENTIFIED FEMALE: I think of all the people who have worked very hard and looked forward to this day.

KAYE: And if you're a Grease fan you have this to look forward to.

(MUSIC)

KAYE: Danny and Sandy together again, teaming up for a new Christmas album. And if this music video's any indication, let's just say it will be one of a kind.

And that's the week that was.

(END VIDEOTAPE)

KAYE: What a week it's been.

Well, the CEO of Netflix is under investigation and it's all because he was bragging on his Facebook page, apparently. We'll explain.

(COMMERCIAL BREAK)

KAYE: All right. Welcome back, everybody.

Big Saturday night plans perhaps? How about dinner and a movie? Olive Garden and Red Lobster would welcome your business for sure. Joining me now to talk about why and some other business talkers of the week is Nick Valencia.

All right, good morning.

NICK VALENCIA, CNN CORRESPONDENT: Good morning.

KAYE: So, I guess we'll talk about Olive Garden and Red Lobster. They're having an interesting time right now.

VALENCIA: Yes, they just released some earnings forecast for 2013 and it seems pretty low, Randi.

KAYE: The company's owner, Darden, apparently just posted a somewhat tweaked earnings forecast as you said for 2013. And by tweaked we mean lower or some of that can be traced back to the effects of Hurricane Sandy and some failed promotional efforts. But the company also blamed Obamacare.

Apparently, right, they said negative media coverage of how it plans to handle health care reform hurt its bottom line. In the past the company announced the plan to move full-time employees to part-time status to reduce costs and that idea, I guess, earned them some bad press.

VALENCIA: Yes, but now Darden seems to be having a change of heart. Check this out, Randi. On Thursday the company issued this statement, "None of Darden's current full-time employees, hourly or salaried, will have their full-time status changed as a result of health care reform."

Randi, we've seen a lot of companies try to do some of these things (ph) in the past only to face negative media backlash.

KAYE: Yes, that is absolutely true. So, if you're planning now to follow up that Saturday dinner, maybe, with a movie, perhaps. Netflix is back in the news and the issue is raising a very interesting subject, and here's the background.

Back in July, Netflix CEO Reed Hastings posted a comment on his Facebook page. He announced that Netflix customers were viewing more than 1 billion hours of video content a month. Great news for the company, right?

VALENCIA: That's one problem, though, Randi. The company never issued a press release nor did they tell Security -- the Security and Exchange Commission. So, therein lies the problem. Companies are required to make public announcements when they have information that is considered material to shareholders. So, the SEC notified Facebook's CEO telling him he is under investigation for posting company information on his Facebook page.

KAYE: All right. What about when you go out for dinner and maybe a movie, you want to put some cologne --

VALENCIA: Yes.

KAYE: -- Maybe some perfume, right, well, this one got our attention, OK? If you love the smell of a pizza box being opened, that fresh pizza dough.

VALENCIA: The pizza dough smell.

KAYE: Smell. It just makes you -- I love it. Well, this is the scent for you. It's, in fact, Pizza Hut is making this. It's not the first time I get the fast food chain has bottled an aroma here.

VALENCIA: Yes, back in 2008, Burger King did it and a Chicago company also made a scent called Ba-con. Bacon. I don't know. I can't wear cologne. My girlfriend doesn't let me, so.

KAYE: Oh --

VALENCIA: For her it's a big deal.

KAYE: She makes the rule.

VALENCIA: Yes, yes, she runs the show.

KAYE: Oh, this is a whole other topic. Now.

VALENCIA: She was gone for three months this summer and what did I do? You know? Put on a little bit of cologne--

(CROSSTALK)

KAYE: Would you wear -- I mean I don't know if I could wear the Pizza Hut - the Pizza Hut perfume.

VALENCIA: I don't know. I mean I'm not sure if --

KAYE: I'd be hungry all day, because it smells --

VALENCIA: Mixed with the pheromones.

KAYE: Yes. Yes. That smell makes me hungry.

(LAUGHTER)

KAYE: Oh well. Maybe the Bacon. All right, now, Nick.

VALENCIA: All right, Randi.

KAYE: Thank you.

VALENCIA: Thanks.

KAYE: Hard to keep fit during the holidays? Atlanta Hawks' cheerleading trainer is here to help. She joins me on set, next. And you don't want to miss her.

(COMMERCIAL BREAK)

KAYE: There's labor peace at American Airlines by a vote of nearly 73 percent, pilots overwhelmingly approved a new labor deal with the bankrupt carrier. The move could help move American out of bankruptcy and towards a possible merger with USA Airways.

We don't know their names, but a married couple from Phoenix suburbs holds the second winning ticket from last month' Powerball drawing. The couple came forward before the end of the year because of concern about the looming fiscal cliff. Well, they opted for the cash option of a measly $192 million and that's before taxes.

It is Heisman time. The coveted trophy symbolizing the nation's best college football player will be awarded tonight at the downtown athletic club in New York City. Kansas State's quarterback Collin Klein, Notre Dame linebacker Manti Te'o and Texas A&M quarterback Johnny Manziel are the finalists.

All right, the first day of winter: less than two weeks away now and the holidays are quickly approaching, which means cold weather, big meals and a whole lot of yumminess like those desserts. So, who has time to hit the gym? Well, that's why we're going to show you how to burn off some calories around your home and without any equipment. With us now is Desiree Nathanson. She is a certified nutrition expert, former Ms. Fitness of New Mexico and the official personal trainer of the Atlanta Hawks cheerleaders.

DESIREE NATHANSON, FITNESS EXPERT: Yes.

KAYE: All right, so you say that people shouldn't worry about hitting the gym. NATHANSON: You know, you just want to focus on being less sedentary. You want to move when you can. It's not about necessarily getting to the gym and getting on a treadmill or elliptical machine, you just want to move. So, if you have a desk job, you want to get up every hour and move around a few minutes a day. If you sit a lot, you really want to stand up when you can, because I feel like we're going to evolve --

KAYE: Yes, we all do that. Great.

NATHANSON: -- into this hunchback society. So, if you want to focus on standing up, engaging the core and just moving around when you can.

KAYE: OK, well, I knew you brought a few props with you today.

NATHANSON: I did.

KAYE: And one of them kind of scares me, it's a broom.

(LAUGHTER)

And what are we doing with that?

(CROSSTALK)

KAYE: OK, good.

NATHANSON: With the broom you can do several things. One basic move you can do, put the broom behind your neck. You want to stand feet shoulder width apart, engage your abs and you're just going to twist side to side. So we're going to work our obliques here. Just with the broom -- so you can be sweeping and then in the middle of sweeping just pick up the broom and do some obliques.

KAYE: So, you don't need this expensive bars that are at the gym.

NATHANSON: Not --

You can use a couple of dollars, you can also do a squat and press. So, holding the broom in front of you, squat down and then press up. Squat down and press up. So, there's lots of things you can do with the broom. Those are just two.

KAYE: Besides cleaning.

NATHANSON: I don't like to clean, so the broom is good for other things.

KAYE: What about -- I see you also brought a couple of cans of something over there.

NATHANSON: Yes.

KAYE: -- and water bottles.

NATHANSON: Cans of soup, water bottles can also be used. KAYE: And what can you do with those? Curls?

NATHANSON: Yes, you can do so many different exercises. Curls, of course, are one of them. I like focusing on exercises for the back part of the body.

KAYE: The favorite part right there. Yes.

NATHANSON: Exactly. So you can do something called tricep kickbacks. So you want to stand with your feet shoulder width apart, knees slightly bent, back flat, upper arms parallel to the ground, and just press the cans back.

KAYE: Yes, and you can see right there the muscle.

NATHANSON: Yes.

KAYE: That's our favorite muscle. I don't know about you, but that is the muscle to get.

NATHANSON: Yes.

KAYE: OK. What about a chair? I mean you can actually get a workout while you're sitting in a chair or use a chair?

NATHANSON: Oh, you can do so many things. So, if you do have a desk job, you can take this break every hour on the hour just do a few different exercises. So, one thing you can do is dips. You can either do it a more beginning exercise would be just to push yourself up off the chair. You can also take yourself to the edge of the chair and do your dips here, again, working our triceps. What we like. You can also do squats. So, just standing up, sitting back down, touching your butt to the chair and then standing back up.

KAYE: That's great.

NATHANSON: And then push-ups, of course, you can do here because getting down on the ground at your office might be a little awkward.

KAYE: Yes, people are going to wonder.

NATHANSON: Yes, so you can just do push-ups on the back of the chair --

KAYE: Nice.

NATHANSON: Like that.

KAYE: So, what if somebody wants, you know, they look at these and like, OK, that's good. But what if somebody is more advanced and maybe they want a little something more demanding.

NATHANSON: Well, a few exercises you can do. One is called a burpee. I don't know if I can demonstrate it here.

KAYE: Oh -- all right. No, let's do it because these are really hard. NATHANSON: OK, this is actually, one of the

(CROSSTALK)

KAYE: I think they're hard, at least.

NATHANSON: -- exercises. Yes. It's total body, you're working everything, but you come down and place your hands on the ground, jump out, come in and jump up.

KAYE: Yes.

NATHANSON: These are my favorite.

KAYE: I can do about two of those.

(LAUGHTER)

KAYE: But those are good, right? I mean they work the whole body, right?

NATHANSON: Exactly.

KAYE: Your shoulders to your core all the way down to your butt, right?

NATHANSON: Exactly. Everything. Everything.

KAYE: OK, that's good. And if you're busy doing chores all day, you say just find a way to work it in?

NATHANSON: Yes, chores actually burn calories. So, I mean, just working around the house, you're going to be burning calories.

KAYE: Like how many calories are we talking about?

NATHANSON: I believe we have a graphic for everyone.

KAYE: Yes, I think we have a fancy graphic made. See how television works, it's amazing.

NATHANSON: Yes.

KAYE: All right, so let's take a look at the graphic. And see -- calf raises while washing dishes --

NATHANSON: Well, these are different exercises you can do while doing chores. So, if you're washing dishes, you can do calf raises, you can march in place while watching TV, while folding laundry instead of sitting you can stand.

KAYE: And here are some of the calories.

NATHANSON: Yes, here are the calories.

KAYE: So, wait a minute. Mopping around the house, 240 calories? NATHANSON: Yes, and these are based on a 150-pound person.

KAYE: Wow. See, I like the bottom one there, shopping.

NATHANSON: Shopping, yes.

KAYE: Shopping.

NATHANSON: Holiday shopping. Instead of stressing out that you're not getting it done, you're working out and shopping.

KAYE: Right. And if you're shopping online, now, we know how to make use of the chair that we're sitting in --

NATHANSON: Exactly.

KAYE: -- while we're shopping online.

NATHANSON: Exactly.

KAYE: This is fantastic. All right, well, see, it all comes together.

NATHANSON: It all works out.

KAYE: All right, well, listen, thank you for getting up early with us.

NATHANSON: Oh, thank you.

KAYE: I know you have a busy Saturday ahead.

So I appreciate it and some great tips, Desiree.

NATHANSON: Thank you, Randi.

KAYE: Syria on the brink. The potential use of chemical weapons now changing the conversation and is drawing pointed threats from Washington. We'll talk about the implications with CNN's Christiane Amanpour in around 20 minutes.

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KAYE: New job numbers, fiscal cliff talks, legalize medical marijuana. All the news was fodder for "Late Night" comedians this week. And here are just some of our favorite "Late Night" laughs.

(BEGIN VIDEO CLIP)

JIMMY FALLON, TALK SHOW HOST: Some good news. Some good news. The U.S. unemployment rate is now the lowest it's been in four years. Or as makers of sweatpants put it, uh-oh.

JAY LENO, TONIGHT SHOW HOST: The unemployment rate has fallen to its lowest level in nearly four years.

Well, the bad news, most of those jobs involve wearing a red suit, a beard and have a kid pee in your lap. Yes. That's the bad side of this.

FALLON: House Speaker John Boehner says that his efforts to work with President Obama on the fiscal cliff have resulted in a lot of talk, but no action. Yes. A lot of talk, but no action or as they call that in college, a date.

DAVID LETTERMAN, TALK SHOW HOST: You know what's really popular now, weed. Weed. Yes, you can get it in Washington legally, and you can get it in Colorado legally, and 60 percent of Americans say they're in favor of legalizing weed. And it's, it's too bad that this comes just when Twinkies is going out of business. I mean --

LENO: Day two of legalized marijuana in Washington state, and you think pot smokers are celebrating. Oh, you should see Ronald McDonald's, Bob's Big Boy, Jack in the Box, Papa John, the Colonel, people are just going crazy. Because there is a downside. Every time you try to light a joint, see (inaudible) puts it out.

CONAN O'BRIEN, TALK SHOW HOST: The Grammy nominations came out, and this is interesting. Both Michelle Obama and Bill Clinton were nominated in the category best spoken word album.

Now, that's good. Good for them. Yes, yes, true story. Michelle -- Michelle was nominated for the audio version of her book "American Grown," and Bill Clinton was nominated for the audio version of "50 Shades of Grey."

(END VIDEO CLIP)

KAYE: Thanks for starting your morning with us. We've got much more ahead on CNN SATURDAY MORNING, which starts right now.