PBS NewsHour; February 1, 2012 7:00pm-8:00pm EST

Captioning sponsored by MacNEIL/LEHRER PRODUCTIONS

>> Woodruff: THE G.O.P. PRESIDENTIAL CANDIDATES HEADED WEST TODAY AFTER MITT ROMNEY'S RESOUNDING VICTORY IN FLORIDA YESTERDAY. GOOD EVENING. I'M JUDY WOODRUFF.

>> Ifill: AND I'M GWEN IFILL. ON THE NEWSHOUR TONIGHT: WE GET THE LATEST ON THE REPUBLICAN RACE AND ASSESS HOW BIG MONEY IS SHAPING THE CAMPAIGN.

>> Woodruff: THEN, WE INTERVIEW U.S. HOUSING SECRETARY SHAUN DONOVAN ABOUT PRESIDENT OBAMA'S PLAN TO HELP HOMEOWNERS STRUGGLING TO PAY THEIR MORTGAGES.

>> Ifill: RAY SUAREZ TELLS THE STORY OF VICTOR RIOS, A ONE-TIME CALIFORNIA GANG MEMBER NOW COLLEGE PROFESSOR AND MENTOR TO AT-RISK YOUTH.

>> IT WAS IMPORTANT FOR ME TO HEAR AN ADULT TELL ME, "LISTEN, WE KNOW YOU MESSED UP. WE KNOW YOU'RE A DROPOUT, BUT WE STILL BELIEVE IN YOU." AND THEY GAVE ME THAT DIGNITY AND I RAN WITH IT, AND I'M STILL RUNNING.

>> Woodruff: JEFFREY BROWN EXAMINES THE MUCH-ANTICIPATED PUBLIC OFFERING FOR SOCIAL MEDIA GIANT FACEBOOK.

>> Ifill: AND HARI SREENIVASAN EXPLORES A FOSSIL FIND IN THE ROCKY MOUNTAINS PACKED WITH THE BONES OF ICE AGE MAMMOTHS. IT'S THE SUBJECT OF TONIGHT'S EDITION OF "NOVA."

>> Woodruff: THAT'S ALL AHEAD ON TONIGHT'S NEWSHOUR. MAJOR FUNDING FOR THE PBS NEWSHOUR HAS BEEN PROVIDED BY:

>> BNSF RAILWAY.

>> AND BY THE BILL AND MELINDA GATES FOUNDATION. DEDICATED TO THE IDEA THAT ALL PEOPLE DESERVE THE CHANCE TO LIVE A HEALTHY PRODUCTIVE LIFE. AND WITH THE ONGOING SUPPORT OF THESE INSTITUTIONS AND FOUNDATIONS. AND... THIS PROGRAM WAS MADE POSSIBLE BY THE CORPORATION FOR PUBLIC BROADCASTING. AND BY CONTRIBUTIONS TO YOUR PBS STATION FROM VIEWERS LIKE YOU. THANK YOU.

>> Ifill: THE REPUBLICAN PRESIDENTIAL FIELD MOVED ON TODAY, FANNING OUT TO A SERIES OF UPCOMING CAUCUS STATES. BUT THE ECHOES FROM THE ROMNEY- GINGRICH BATTLE IN THE FLORIDA PRIMARY LINGERED.

>> MITT! MITT! MITT! MITT! MITT! MITT!

>> Ifill: FRESH OFF TUESDAY'S BIG WIN, MITT ROMNEY SAID THE NO-HOLDS-BARRED FIGHT IN FLORIDA HAS PREPARED HIM FOR A TOUGH, DRAWN-OUT CAMPAIGN.

>> PERHAPS THAT WHAT WE'RE GETTING NOW INOCULATES US, OR AT LEAST PREPARES US, FOR WHAT WILL COME DOWN THE ROAD.

>> Ifill: BUT HE GAVE HIS OPPONENTS' AMMUNITION FIRST THING, LEAVING THE IMPRESSION IN A MORNING TELEVISION INTERVIEW THAT HE DOES NOT CARE ABOUT POOR PEOPLE.

>> I'M NOT CONCERNED ABOUT THE VERY POOR.

>> Ifill: BUT, IN CONTEXT, THAT'S NOT ALL ROMNEY SAID.

>> WE HAVE A SAFETY NET THERE. IF IT NEEDS REPAIR, I'LL FIX IT. I'M NOT CONCERNED ABOUT THE VERY RICH. THEY'RE DOING JUST FINE. I'M CONCERNED ABOUT THE VERY HEART OF AMERICA, THE 90-95% OF AMERICANS WHO RIGHT NOW ARE STRUGGLING.

>> Ifill: MOVING HIS CAMPAIGN TO MINNESOTA, WHERE REPUBLICANS VOTE NEXT TUESDAY, ROMNEY CHOSE INSTEAD TO FOCUS HIS FIRE ON THE PRESIDENT.

>> HE DOES NOT KNOW HOW TO LEAD AMERICA. HE'S DETACHED FROM THE AMERICAN PEOPLE. I WILL STAY IN TOUCH WITH THE AMERICAN PEOPLE, AND I WILL LEAD US BACK INTO PROSPERITY. ( CHEERS AND APPLAUSE )

>> Ifill: BUT FORMER HOUSE SPEAKER NEWT GINGRICH, WHO LOST FLORIDA TO ROMNEY BY 14 POINTS, TOOK DIRECT AIM AT ROMNEY'S REMARKS ABOUT POVERTY IN RENO, NEVADA TODAY.

>> I AM FED UP WITH POLITICIANS IN EITHER PARTY DIVIDING AMERICANS AGAINST EACH OTHER. I AM RUNNING TO BE THE PRESIDENT OF ALL THE AMERICAN PEOPLE, AND I AM CONCERNED ABOUT ALL THE AMERICAN PEOPLE. ( APPLAUSE )

>> Ifill: GINGRICH VOWED TO STAY IN THE RACE RIGHT UP UNTIL THE NOMINATING CONVENTION, SEVEN MONTHS AWAY IN TAMPA. BUT IN WASHINGTON TODAY, THE NATION'S TOP ELECTED REPUBLICAN, HOUSE SPEAKER JOHN BOEHNER, DISMISSED FEARS THAT A PROTRACTED NOMINATION FIGHT WOULD HURT THE PARTY.

>> LISTEN, I UNDERSTAND PEOPLE ARE CONCERNED ABOUT HOW LONG THE PRIMARY PROCESS IS DRAGGING ON. I WOULD REMIND PEOPLE THAT PRESIDENT OBAMA AND SECRETARY OF STATE HILARY CLINTON HAD A FIGHT THAT WENT THROUGH JUNE OF 2008. I THINK EVERYBODY JUST NEEDS TO RELAX, AND THIS WILL RESOLVE ITSELF.

>> Ifill: TWO OTHER MAJOR REPUBLICANS REMAIN IN THE HUNT FOR THE NOMINATION. FORMER PENNSYLVANIA SENATOR RICK SANTORUM STUMPED IN COLORADO, WHERE CAUCUSES ARE SET FOR TUESDAY. AND TEXAS CONGRESSMAN RON PAUL SPENT THE DAY COURTING VOTERS AROUND LAS VEGAS. ALL FOUR WILL NEED TO RAISE AND SPEND EVER LARGER AMOUNTS OF MONEY TO KEEP GOING. NEW FINANCIAL REPORTS RELEASED LAST NIGHT SHOW THE ROLE THAT INDEPENDENT OUTSIDE GROUPS, THE "SUPER PACS," ARE PLAYING. ACCORDING TO THE FEDERAL ELECTIONS COMMISSION, PRO-ROMNEY GROUPS RAISED MORE THAN $30 MILLION BY THE END OF LAST YEAR. THOSE SUPPORTING NEWT GINGRICH RAISED MORE THAN $2 MILLION. AND THAT DOESN'T INCLUDE $10 MILLION THE FORMER HOUSE SPEAKER'S SUPER PAC RECEIVED FROM A SINGLE WEALTHY NEVADA COUPLE IN JANUARY. GROUPS SUPPORTING RON PAUL AND RICK SANTORUM BROUGHT IN A LITTLE OVER $2 MILLION COMBINED. THE SUPER PACS GREW OUT OF A SUPREME COURT RULING IN 2010 THAT LIFTED RESTRICTIONS ON CORPORATE AND UNION SPENDING IN FEDERAL ELECTIONS. THE NUMBERS ARE BIG: $40 MILLION SPENT JUST BY THOSE OUTSIDE SUPER PACS SO FAR. BUT CANDIDATES ARE ALSO RAISING MONEY THE OLD FASHIONED WAY. MITT ROMNEY: $57 MILLION, MORE THAN HIS CLOSEST COMPETITORS COMBINED. THAT'S RON PAUL AT $26 MILLION, NEWT GINGRICH AT $13 MILLION, AND RICK SANTORUM AT $2 MILLION. BUT PRESIDENT OBAMA HAD ALREADY RAISED $128 MILLION FOR HIS REELECTION CAMPAIGN BY THE DECEMBER 31st REPORTING DEADLINE. THAT'S BEFORE THE FIRST PRIMARY VOTES WERE EVEN CAST. FOR MORE ON HOW MONEY HAS SHAPED THE CAMPAIGN SO FAR, WE TURN TO: JOHN DUNBAR, MANAGING EDITOR OF THE CENTER FOR PUBLIC INTEGRITY, WHICH HAS BEEN TRACKING THE SPENDING; AND ELIZA NEWLIN CARNEY, STAFF WRITER FOR "ROLL CALL." WELCOME TO YOU BOTH. JOHN DUNBAR, START BY TELLING US WHAT WE KNOW BASED ON THESE REPORTS ABOUT WHO IS BEHIND ALL OF THIS MONEY COMING SPOT CAMPAIGN.

>> WITH THE, THEY'RE MOSTLY WEALTHY INDIVIDUALS. THERE'S A LOT OF CORPORATIONS, A NUMBER OF CORPORATIONS, BUT WE'RE SEEING A CONTINUING TREND OF, YOU KNOW, BASICALLY RICH PEOPLE MAKING EXTREMELY LARGE DONATIONS.

>> Ifill: WERE THEY NOT ABLE TO DO THAT BEFORE?

>> NO, NOT THIS WAY. THEY'RE ABLE TO GIVE A CONTRIBUTION TO-- BY GIVING A CONTRIBUTION TO A SUPERPAC THEY CAN ACTUALLY AFFECT THE CAMPAIGN IN A WAY THEY COULDN'T BEFORE. THE CONTRIBUTION LIMITS TO A CANDIDATE ARE $2500. THERE ARE NO CONTRIBUTION LIMITS TO A SUPERPAC, AND YET A SUPERPAC CAN RUN AN AD THAT'S JUST AS EFFECTIVE AS SOMETHING THAT WOULD BE RUN BY A CANDIDATE.

>> Ifill: ARE THE SUPERPACS OUTSPENDING THE CANDIDATES RIGHT NOW?

>> ? N SOME CASES THEY ARE, AND I THINK WHAT'S INTERESTING ABOUT RESTORE OUR FUTURE, THE ROMNEY SUPERPAC, IT RAISED $30 MILLION, MORE THAN ALL THE OTHER G.O.P. COMPETITORS HAVE RAISED, A LOT MORE.

>> Ifill: ELIZA YOU SPENT YOUR LIFE FOLLOWING THE "FOLLOW THE MONEY" EDICT. WASN'T THE SUPREME COURT'S GOAL TO ALLOW FOR TRANSPARENCY. YOU CAN GIVE AS MUCH MONEY AS YOU WANT, AS LONG AS YOU SAY YOU'RE GIVING IT.

>> YOU CAN SPEND AS MUCH MONEY AS YOU WANT AS LONG AS YOU SAY WHAT YOU'RE SPENDING. THERE WERE COMPLAINTS AROUND THE SUPERPACS FOR TWO REASONS -- OR CONTINUE TO BE COMPLAINTS. ONE IS LEADING UP TO THE PRIMARY A NUMBER OF THEM REQUESTED CHANGES IN FILING DEADLINES TO THE S.E.C., WHICH MEANS IT PREVENTED PEOPLE FROM SEEING DONATIONS UNTIL THE 31st OF JANUARY AFTER A NUMBER OF PRIMARIES AND CAUCUSES HAD ALREADY TAKEN PLACE. THAT'S ONE REASON S.E.C. DISCLOSURES HAVE BEEN CAREFULLY WATCHED BECAUSE THIS MONEY HADN'T BEEN DISCLOSED UNTIL NOW.

>> Ifill: WHEN WE ARE WE GOING TO FIND OUT ABOUT THE MONEY SPENT SINCE JANUARY 31?

>> WE KNOW ABOUT THAT SPENDING. IT'S JUST THEY NUMBER OF THE PRIMARIES TOOK PLACE BEFORE WE FOUND OUT ABOUT IT. THE OTHER THING THAT PEOPLE ARE DISTRESSED ABOUT WITH THESE SUPERPACS IS A NUMBER OF THEM ARE NONPROFIT AFFILIATES, AND THOSE NONPROFITPROFITS ARE NOT T TO THE DISCLOSURE RULES.

>> Ifill: WHAT ABOUT THE KARL ROVE GROUP, THAT'S $51 MILLION. IT'S NOT SPENT NECESSARILY TARGETED TO A PARTICULAR CANDIDATE.

>> OH, BUT THEY ARE UPON THEY'RE JUST DOING IT IN THE CONGRESSIONAL DISTRICTS RIGHT NOW. ONCE THE G.O.P. FIGURES OUT WHO THEY'RE GOING TO GET BEHIND, HALF OF THAT MONEY FROM CROSSROADS, AT LEAST WHAT WE UNDERSTAND, ARE GOING TO GO IN ADS TO BACK THE G.O.P. NOMINEE OR TO GO AFTER BARACK OBAMA GLIAL SO WE KNOW ABOUT THE MONEY BEING SPENT FOR PRESIDENTIAL RACES WHICH IS WHAT YOU'RE TALKING ABOUT TODAY BUT YOU'RE SAYING THERE'S A WHOLE OTHER FRONT TO THIS WAR.

>> OH, BOY, YES. ESPECIALLY THE CROSSROADS FRONT. YOWE WILL KNOW BECAUSE OF THE FILINGS. WE'RE GOING TO KNOW ON THE 20th HOW MUCH THE SUPERPACS HAVE SPENT, ON THE 20th OF FEBRUARY, THEY'RE GOING TO SWITCH TO A MONTHLY FILING. HOPEFULLY FROM HERE OUT, WE'LL KNOW A LITTLE MORE ABOUT THE SUPERPACS BUT THE NONPROFITS ARE A CONCERN, CROSSROADS, CROSS-ROOT ARE I NONPROFIT AND DON'T HAVE TO SAY WHO THEIR DONORS ARE AT WELL.

>> THE DEMOCRATIC DOPLEGAMERS AREN'T RAISING AS MUCH AS THE CROSSROADS OPERATION. THE CROSSROADS OPERATION RAISED ABOUT $18 MILLION FOR THE SUPERPAC BUT MORE THAN $30 MILLION FOR THE NONPROFITS. SINCE SENATORS ON CAPITOL HILL TODAY, DEMOCRATS, CRITICIZED THAT SECRET MONEY, THERE IS A GROUP CALLED "PRIORITIES U.S.A. ACTION" WHICH HAS A NONPROFIT AFFILIATE. BUT THE MONEY INVOLVED IS MUCH SMALLER.

>> Ifill: WE NOW KNOW, PRINCE, THAT ALL THIS MONEY HAS BEEN RAISED. WHAT DO WE BEEN WHAT IT'S BEING SPENT ON? IS IT ALL TELEVISION OR OTHER THINGS?

>> IT'S MOSTLY TELEVISION. THE VAST MAJORITY OF IT IS TELEVISION BUT THAT'S NO SURPRISE BECAUSE THAT'S 80% OF WHAT YOU SPEND ON A CAMPAIGN IS TELEVISION. FLORIDA IS EYE GREAT EXAMPLE OF THAT. RESTORE OUR FUTURE SPENT $10 MILLION JUST IN FLORIDA, ALMOST ALL OF IT ON ADVERTISING.

>> Ifill: TO SPENDING DECISIONS DIFFER FROM CANDIDATE TO CANDIDATE?

>> THEY DIFFER FROM SUPERPAC TO SUPERPAC. I THINK THE CANDIDATE STRATEGIES ARE SIMILARLY. BUT THE PRO-GINGRICH SUPERPAC CAME OUT AND SAID THEY WERE GOING TO DO A REAL GROUND WAR OPERATION, THEY WERE GOING TO GET OUT VOTERS, THAT THEY WERE GOING TO TARGET VOTERS. AND THERE WERE SOME PEOPLE I TALKED TO WHO SAID THAT'S DIFFICULT FOR A SUPERPAC TO DO. THE MOST EFFECTIVE USE OF A SUPERPAC MAY BE RUNNING ADS BECAUSE IF YOU DON'T HAVE A CANDIDATE TO MOBILIZE VOLUNTEERS IT'S HARD TO MOTIVATE PEOPLE AND REALLY TURN THEM OUT TO VOTE.

>> Ifill: ONE OF THE THINGS THAT COMES OUT OF THESE PERIODIC DISCUSSION DISUGZS WE HAVE ABOUT MONEY IS THAT MONEY YIELDS A RESULT, AND THE $$10 MILLION NEWT GINGRICH GOT KEPT HIM ALIVE THROUGH SOUTH CAROLINA AND FLORIDA AND HE WOULDN'T HAVE BEEN ABLE TO SURVIVE. BUT RICK PERRY GOT A LOT OF MONEY. JON HUNTSMAN GOT SOME SUPERPAC MONEY-- MOSTLY FROM HIS FARTHER, IT TURNS OUT. BUT THEY ARE NO LONG INERT RACE. IS THERE A DIRECT CONNECTION BETWEEN MONEY COMING INTO THESE RACES THIS WAY AND CANDIDATES FLORIRRING?

>> THAT'S THE ETERNAL QUESTION, ISN'T IT? I THINK IF WE KNEW THAT ABSOLUTE, THEN IT WOULD BE-- YOU KNOW, POLITICS WOULD BE REALLY BORE,. GENERALLY SPEAK THE GUY WITH THE MOST MONEY WINS, AND THAT'S WHAT'S PLAYING OUT RIGHT NOW ON THE G.O.P. SIDE.

>> MY OWN VIEW ABOUT THESE SUPERPACTION IS THAT THEY ARE PROBABLY GOING TO PLAY LESS OF A ROLE IN THE PRESIDENTIAL CAMPAIGN TRAIL THAN THEY WILL IN CONGRESSIONAL RACES. THEY PROBABLY ARE ACCELERATING TREND THAT WOULD HAVE TAKEN PLACE ANYWAY ON THE PRESIDENTIAL CAMPAIGN TRAIL, BUT WHEN YOU GET TO CLOSELY CONTEST HOUSE AND SENATE RACES, THERE MAY BE MILLIONS SPENT BY OUTSIDE GROUPS, ESPECIALLY AT THE LAST MINUTE, THAT COULD BE DECISIVE, AND SOME PEOPLE ARGUE THAT ALREADY HAPPENED IN 2010, WHEN AMERICA CROSSROADS AND OTHER G.O.P.-FRIENDLY OUTSIDE GROUPS HELP REPUBLICANS TAKE OVER THE HOUSE.

>> Ifill: HOW DOES THIS COMPARE TO PAST PRESIDENTIAL CYCLES?

>> IN 2004 WE HAD GROUPS CALLED 527 GROUPS AND REPUBLICANS LIKE TO SAY THIS ISN'T NEWS BECAUSE GEORGE SOROS--

>> Ifill: AND THE SWIFT BOAT VETERANS.

>> EXACTLY. AND THOSE WERE IMPORTANT GROUPS AS WELL. THOSE GROUPS WERE SOMEWHAT DIFFERENT IN THE 527 GROUPS DID DISCLOSE EVERYTHING TO THE INTERNAL REVENUE SERVICE, AND THE NONPROFIT AFFILIATES WILL OF THESE SUPERPACS ARE NOT GOING TO DO THAT. SO I THINK THERE'S ARGUABLY GOING TO BE LESS DISCLOSURE THIS TIME AROUND.

>> Ifill: YOU AGREE WITH THAT?

>> IT'S ALSO THE CONTENT OF THE MESSAGE. THE SUPREME COURT SAID SOMETHING CALLED EXPRESS ADVOCACY. THE 527s WERE NEVER ALLOWED TO SAY "VOTE FOR" OR "VOTE AGAINST." THESE GROUPS ARE ALLOWED TO SAY THE MOST AGGRESSIVE FORM OF POLITICAL SPEECH.

>> Ifill: THAT'S THE BIGGEST DIFFERENT. JOHN DUNBAR FELIZA NEWLIN CARNEY, THANK YOU BOTH VERY MUCH.

>> Woodruff: STILL TO COME ON THE NEWSHOUR: HOUSING SECRETARY SHAUN DONOVAN; HELP FOR AT-RISK YOUTH; FACEBOOK GOES PUBLIC; AND FOSSILS FROM THE ICE AGE. BUT FIRST, THE OTHER NEWS OF THE DAY. HERE'S KWAME HOLMAN.

>> Reporter: THE DAY'S ECONOMIC NEWS SHOWED PROMISE. FACTORY OUTPUT ROSE IN JANUARY BY THE MOST IN SEVEN MONTHS, AND CHRYSLER REPORTED ITS BEST JANUARY SALES IN FOUR YEARS. IT ALSO EARNED A PROFIT LAST YEAR, FOR THE FIRST TIME SINCE 1997. FORD SALES ALSO ROSE IN JANUARY, BUT BUSINESS AT GENERAL MOTORS WAS DOWN SLIGHTLY. ON WALL STREET TODAY, THE DOW JONES INDUSTRIAL AVERAGE GAINED 83 POINTS TO CLOSE AT 12,716. THE NASDAQ ROSE 34 POINTS TO CLOSE AT 2848. DRUG MAKER PFIZER HAS RECALLED A MILLION PACKETS OF BIRTH CONTROL PILLS. THE COMPANY SAID TODAY SOME OF THE PACKAGES CONTAINED TOO MANY ACTIVE TABLETS WHILE OTHERS HAD TOO FEW. THAT RAISES THE RISK OF AN UNINTENDED PREGNANCY. THE PILLS IN QUESTION ARE MANUFACTURED BY PFIZER BUT SOLD IN THE U.S. UNDER THE AKRIMAX PHARMACEUTICALS BRAND. AT LEAST 73 PEOPLE WERE KILLED IN EGYPT TODAY WHEN A SOCCER MATCH ERUPTED INTO A RIOT. FANS OF RIVAL TEAMS RUSHED THE FIELD IN PORT SAID, HURLING STICKS AND STONES AT EACH OTHER. EGYPTIAN STATE TELEVISION REPORTED AT LEAST A THOUSAND PEOPLE WERE INJURED IN THE ENSUING STAMPEDE.

>> U.S. FORCES ARE EXPECTED TO END THEIR COMBAT ROLE IN AFGHANISTAN SOME TIME IN 2013. DEFENSE SECRETARY LEON PANETTA LAID OUT THAT TIMELINE TODAY, THE MOST EXPLICIT YET. HE SAID A TRAINING ROLE WOULD CONTINUE THROUGH 2014. MENTAL, A LEAKED NATO REPORT SAID CAPTURED TALIBAN FIGHTERS BELIEVE THEIR SIDE WILL SEIZE POWER AGAIN AFTER NATO FORCES LEAVE BUT A NATO SPOKESMAN IN KABUL INSISTED THE INSURGENTS ARE LOSING THE WAR.

>> WE CANNOT REALLY PUT THAT HIGH A VALUE ON WHAT THEY ARE SAYING AS THEY ARE TALKING ABOUT THEIR PERCEPTION OF THE CAMPAIGN, WHAT THEY BELIEVE HOW THE CAMPAIGN IS GOING, AND WHAT THEY WANT US TO BELIEVE HOW THEIR CAMPAIGN IS GOING.

>> Reporter: THE REPORT ALSO SAID THE PAKISTANI INTELLIGENCE SERVICE KNOWS ALL ABOUT TALIBAN ACTIVITIES AND THE LOCATIONS OF THEIR LEADERS. BUT THE FOREIGN MINISTER OF PAKISTAN VISITED KABUL TODAY, AND SHE SAID THE CLAIMS WERE NOTHING MORE THAN "OLD WINE IN AN EVEN OLDER BOTTLE." DON'T THINK THESE CLAIMS ARE NEW. THESE CLAIMS HAVE BEEN MADE FOR MANY, MANY YEARS AND WE ALL KNOW THE REASONS FOR THAT. I THINK I CAN JUST DISREGARD THIS AS POTENTIALLY STRATEGICALLY OR OTHERWISE.

>> Reporter: ALSO TODAY, NATO SAID AN AFGHAN SOLDIER SHOT AND KILLED A COALITION SOLDIER IN THE SOUTH. AN AFGHAN COMMANDER SAID IT WAS AN ACCIDENT, BUT AFGHAN-ON- COALITION ATTACKS HAVE NUMBERED SIX SINCE DECEMBER. AND A PENTAGON REPORT TODAY COUNTED MORE THAN 40 SUCH INCIDENTS SINCE 2007, WITH 70 COALITION TROOPS KILLED. IN PAKISTAN, FIGHTING BETWEEN MILITANTS AND THE MILITARY RATCHETED UP IN A SERIES OF INCIDENTS. PAKISTANI FIGHTER JETS BOMBED MILITANTS IN A BORDER REGION. THE ARMY REPORTED UP TO 31 INSURGENTS WERE KILLED. TO THE SOUTH, GUNMEN ATTACKED A PARAMILITARY CHECKPOINT IN BALUCHISTAN PROVINCE, KILLING 11 SOLDIERS. A SEPARATIST INSURGENCY HAS RAGED THERE FOR DECADES. A DEEP FREEZE KEPT MUCH OF CENTRAL AND EASTERN EUROPE IN ITS GRIP TODAY, AND THE DEATH TOLL ROSE TO 83. THE HARDEST HIT AREAS-- IN PINK ON THIS MAP-- HAD TEMPERATURES AS LOW AS MINUS 26 DEGREES FAHRENHEIT, AS COLD AIR PUSHED DOWN FROM SIBERIA. IN BOSNIA, SMALL MOUNTAIN VILLAGES WERE CUT OFF BY HEAVY SNOW, AND HELICOPTERS HAD TO AIRLIFT EMERGENCY SUPPLIES. PARTS OF THE BLACK SEA FROZE NEAR THE ROMANIAN COASTLINE. AND EVEN FARTHER SOUTH, PARTS OF ITALY WERE HAVING THE COLDEST WEEK IN NEARLY 30 YEARS. A SHIPWRECK HUNTER IN NEW ENGLAND MAY HAVE FOUND ONE OF THE RICHEST SUNKEN TREASURES EVER. GREG BROOKS ANNOUNCED TODAY HE'S LOCATED THE WRECK OF A WORLD WAR II CARGO SHIP THAT CARRIED 71 TONS OF PLATINUM, VALUED TODAY AT $3 BILLION. A GERMAN U-BOAT TORPEDOED THE SHIP OFF CAPE COD IN 1942. SALVAGE OPERATIONS MAY BEGIN BY MARCH. A STUNNING DISCOVERY RIPPLED THROUGH THE ART WORLD TODAY. THE PRADO MUSEUM IN SPAIN ANNOUNCED IT HAS A VERSION OF THE "MONA LISA" THAT IS LIKELY THE EARLIEST KNOWN COPY. OFFICIALS SAID IT WAS ALMOST CERTAINLY PAINTED BY AN APPRENTICE, AS LEONARDO DA VINCI WAS PAINTING HIS MASTERPIECE. X-RAY IMAGING TAKEN TWO YEARS AGO ALLOWED RESTORERS TO UNCOVER A TUSCAN LANDSCAPE BACKGROUND SIMILAR TO THE ORIGINAL, BUT HIDDEN UNDER A BLACK COATING.

>> ( translated ): THE MOST IMPORTANT THING IS TO RETURN THE PAINTING TO ITS ORIGINAL CONDITION. THE PAINTING WAS COVERED FOR 250 YEARS WITH A BLACK DYE. THIS PAINTING CAN HELP US SHOW THE ORIGINAL PAINTING FROM OTHER POINTS OF VIEW, AND ALSO HELP TO DOCUMENT THE PRACTICES IN LEONARDO'S STUDIO. WHILE LEONARDO WAS PAINTING THE ORIGINAL, THE DISCIPLES WERE PAINTING THEIR VERSIONS.

>> Reporter: THE PAINTING HAS BEEN A PART OF THE PRADO COLLECTION FOR YEARS BUT HAD NOT BEEN DISPLAYED OFTEN. A RENOWNED POLISH POET WHO WON THE NOBEL PRIZE FOR LITERATURE DIED TODAY AT HER HOME IN KRAKOW. WISLAWA SZYMBORSKA WAS AWARDED THE NOBEL IN 1996. THE PRIZE COMMITTEE SAID SHE MIXED ELEGANT LANGUAGE WITH "THE FURY OF BEETHOVEN." HER WORK SPANNED MORE THAN SIX DECADES, STARTING IN 1945. WISLAWA SZYMBORSKA WAS 88 YEARS OLD. AND ANOTHER DEATH OF NOTE: THE CREATOR AND HOST OF "SOUL TRAIN," DON CORNELIUS, WAS FOUND DEAD OF A GUNSHOT WOUND AT HIS LOS ANGELES HOME EARLY TODAY. POLICE SAID IT WAS A SUICIDE. HIS TV DANCE SHOW, WITH ITS TRADEMARK ANIMATED CHUGGING TRAIN OPENING, AIRED NATIONALLY FROM 1971 TO 2006. IT SHOWCASED THE BEST IN R&B, SOUL AND HIP-HOP MUSIC. CORNELIUS HOSTED THE SHOW FOR 22 SEASONS, UNTIL 1993. HE WAS 75 YEARS OLD. THOSE ARE SOME OF THE DAY'S MAJOR STORIES. NOW, BACK TO JUDY.

>> Woodruff: NEXT, PRESIDENT OBAMA LAYS OUT A NEW PLAN FOR TACKLING THE HOUSING CRISIS, BUT WILL IT BE MORE SUCCESSFUL THAN PRIOR EFFORTS? THE PRESIDENT HAD ONLY TO CROSS THE POTOMAC RIVER TO FALLS CHURCH, VIRGINIA, TO FIND PLENTY OF FORECLOSURES.

>> THIS HOUSING CRISIS STRUCK RIGHT AT THE HEART OF WHAT IT MEANS TO BE MIDDLE CLASS IN AMERICA: OUR HOMES.

>> Woodruff: IN FACT, HE SAID, THE CRISIS REMAINS "MASSIVE IN SIZE AND SCOPE," AND HE DESCRIBED HIS LATEST ATTEMPT TO ATTACK THE PROBLEM-- FIRST, BY LETTING HOMEOWNERS WITH PRIVATE MORTGINESEF RANCE INTOEF GOVERNMENT-BACKED LOANS AT RECORD-LOW INTERT RATES EVEN IF THEY OWE MORE HANNTHE TOME IS WORTH. THE ADMINISTRAMION SAYS THE PLAN COULD HELP 3.5 MILLION BORROWERE AND SAVE FAMILIES ABOUT $3,000 A YEAR. IT WOULD COST $5 BILLION TO $10 BILLION, PAID FOR BY A FEE ON BIG BANKS. THE PRESIDENT ALSO CALLED FOR A HOMEOWNERS' BILL OF RIGHTS AND A PROGRAM TO RENT OUT FORECLOSED PROPERTIES. CONGRESS HAS ALREADY BALKED AT THE BANK TAX IDEA, BUT MR. OBAMA INSISTED IT'S TIME TO TRY AGAIN.

>> IT IS WRONG FOR ANYONE TO SUGGEST THAT THE ONLY OPTION FOR STRUGGLING, RESPONSIBLE HOMEOWNERS IS TO SIT AND WAIT FOR THE HOUSING MARKET TO HIT BOTTOM.

>> Woodruff: AT THE CAPITOL, REPUBLICAN HOUSE SPEAKER JOHN BOEHNER DISMISSED THE PROPOSALS.

>> NONE OF THESE PROGRAMS HAVE WORKED, AND I DON'T KNOW WHY ANYONE WOULD THINK THAT THIS NEXT IDEA IS GOING TO WORK. AND ALL THEY'VE DONE IS DELAY THE CLEARING OF THE MARKET. THE SOONER THE MARKET CLEARS AND WE UNDERSTAND WHERE THE PRICES REALLY ARE WILL BE THE MOST IMPORTANT THING WE CAN DO IN ORDER TO IMPROVE HOME VALUES AROUND THE COUNTRY.

>> Woodruff: AN EXISTING PROGRAM ALREADY ALLOWS THOSE WITH GOVERNMENT-BACKED MORTGAGES TO SECURE LOWER INTEREST RATES. ABOUT ONE MILLION HOMEOWNERS HAVE USED IT, BUT PRESIDENT OBAMA CONCEDED TODAY THAT'S WELL SHORT OF THE GOAL OF FOUR MILLION TO FIVE MILLION. FOR A CLOSER LOOK AT THE PRESIDENT'S PLAN, WE TURN TO SHAUN DONOVAN, SECRETARY FOR HOUSING AND URBAN DEVELOPMENT. I SPOKE WITH HIM A SHORT TIME AGO. SECRETARY SHAUN DONOVAN, THANK YOU VERY MUCH FOR TALKING WITH US.

>> GREAT TO BE WITH YOU, JUDY.

>> Woodruff: NOW WE JUST HEARD SPEAKER JOHN BOEHNER SAY NONE OF THE ADMINISTRATION'S HOUSING HELP PLANS IN THE PAST HAVE HAD, IN HIS WORDS, ANY EFFECT. THE PRESIDENT HIMSELF ACKNOWLEDGED TODAY THEY HAVEN'T HAD THE EFFECT THAT HE HAD HOPED. WHAT GIVES YOU HOPE THIS ONE'S GOING TO BE ANY DIFFERENT?

>> WELL, FIRST OF ALL, SPEAKER BOEHNER SHOULD TALK TO THE MILLION FAMILIES THAT HAVE BEEN ABLE TO REFINANCE THEIR MORTGAGES TO RECORD-LOW INTEREST RATES, EVEN THOUGH THEY'RE UNDER WATER, OR THE FIVE MILLION FAMILIES WHO HAVE BEEN ABLE TO STAY IN THEIR HOMES THANKS TO MODIFICATIONS. THE NUMBER OF PEOPLE FALLING INTO FORECLOSURE TODAY IS DOWN BY ABOUT HALF SINCE WHEN THE PRESIDENT TOOK OFFICE. SO WE HAVE MADE PRACTICAL, BUT AS THE PRESIDENT SAID, AS I THINK YOU JUST RECOGNIZED, WE NEED TO DO MORE, AND WE NEED TO GO FARTHER. SPECIFICALLY TODAY, THIS PROPOSAL TO EXPAND THE NUMBER OF FAMILIES THAT CAN REFINANCE THEIR MORTGAGES, EVEN THOUGH THEY'RE UNDER WATER, THIS IS SOMETHING WE KNOW CAN WORK BECAUSE IT IS WORKING FOR FANNIE MAE AND FREDDIE MAC BORROWERS. LAST FALL, THE PRESIDENT ASKED US TO EXPAND THE NUMBER OF FOLKS THAT WE COULD REACH BY KNOCK DOWN A BUNCH OF THE BARRIERS THAT WE'D FOUND IN THE PRIVATE MARKET TO REFINANCING. WE DID THAT. WE BROUGHT TOGETHER THE PRIVATE SECTOR AND OTHERS AND WE WERE ABLE TO CHANGE THINGS LIKE GETTING THOSE WHO HOLD SECOND MORTGAGES THAT WERE STANDING IN WAIT TO REDUCE THOSE, KNOCKING DOWN FEES FOR APPRAISALS AND OTHER THINGS. AND THAT HAD BIPARTISAN SUPPORT. SENATORS BOXER AND ISSACSON PUT A BILL TOGETHER TO SUPPORT WHAT WE WERE DOING. AND WE'VE SEEN BROAD SUPPORT ACROSS THE POLITICAL SPECTRUM FROM ECONOMISTS WHO SAY BROADER REFINANCING IS ONE OF THE MOST IMPORTANT THINGS THAT WE CAN DO, NOT JUST TO HELP HOMEOWNERS. IT'S AN AVERAGE OF $3,000 A YEAR THAT THEY WOULD SAVE, BUT ALSO TO BOOST CONSUMER SPENDING. THAT'S LIKE A MAJOR TAX CUT, AND IT KEEPS GOING ON EVERY YEAR THAT THAT FAMILY IS PAYING THE MORTGAGE. SO THESE ARE IMPORTANT STEPS THAT HAVE BROAD SUPPORT TO MOVE FORWARD.

>> Woodruff: BUT THE PRINCIPAL PART OF WHAT YOU'RE TALKING ABOUT IS MAKING PEOPLE-- LETTING PEOPLE ARE PRIVATELY HELD MORTGAGES GET GOVERNMENT-BACKED MORTGAGE ASSISTANCE. EVEN YOUR SUPPORTERS ARE SAYING THAT IS NOT GOING TO PASS THE CONGRESS. IT WAS CERTAINLY THE IMPLICATION OF WHAT THE SPEAKER AND OTHER REPUBLICANS ARE SAYING. SO WHAT ARE HOMEOWNERS TO BELIEVE?

>> WELL, JUDY, LET'S LET FOLKS LOOK AT THE PROPOSAL AND EVALUATE IT. AND, AGAIN, THE IDEA THAT SOMEBODY WHO'S DONE ALL THE RIGHT THINGS-- A FAMILY THAT'S PAID THEIR MORTGAGE, DESPITE THE FACT THAT THEY'RE UNDER WATER, FOR YEARS THROUGH THIS CRISIS, THE IDEA THAT THEY COULDN'T BENEFIT FROM RECORD-LOW INTEREST RATES TODAY IS INHERENTLY UNFAIR, AND WE'VE MADE THESE CHANGES. THEY'VE BEEN BROADLY SUPPORTED FOR FAMILIES THAT HAVE FANNIE MAE AND FREDDIE MAC OR F.H.A. MORNINGS. WE OUGHT TO BE THE SAME THING. IT'S A SIMPLE MATTER OF FAIRNESS. I THINK WHEN FOLKS IN CONGRESS TAKE A LOOK AT THIS, THEY WILL SUPPORT IT, AS HAVE A BROAD RANGE OF ECONOMISTS ACROSS THE BOARD WHO BELIEVE THIS IS ONE OF THE MOST IMPORTANT STEPS WE CAN TAKE FOR THE HOUSING MARKET AND FOR THE ECONOMY MORE BROADLY.

>> Woodruff: MR. SECRETARY, WHAT DO YOU SAY TO THE ARGUMENT FROM NOT ONLY THE SPEAKER BUT OTHER REPUBLICANS, INCLUDING THOSE RUNNING FOR PRESIDENT, WHEN IT COMES TO THE HOUSING CRISIS IN THIS COUNTRY, THE MARKET OUGHT TO BE ALLOWED, IN ESSENCE, TO JUST BOTTOM OUT, FIND OUT WHAT THE PRICES TRULY ARE OF THESE HOUSING PROPERTIES.

>> JUDY, LET'S BE CLEAR ABOUT WHAT THAT MEANS. IF YOU HAVE A FAMILY WHOSE ENTIRE NET WORTH IS TIED UP IN THEIR HOME, WHO IS GOING TO BE ABLE TO START A SMALL BUSINESS BECAUSE OF THE EQUITY THEY HAD IN THEIR HOME OR SEND THEIR KIDS TO COLLEGE, BOTTOMING OUT MEANS TELLING THOSE FAMILIES THEY CAN'T SEND THEIR KIDS TO COLLEGE, THEY CAN'T START THAT BUSINESS. IT'S A LITTLE BIT LIKE SAYING, "WELL, IF YOU'VE GOT A FIRE IN SOMEBODY'S HOUSE, YOU OUGHT TO LET NATURE RUN ITS COURSE, EVEN IF THAT MEANS BURNING DOWN THE WHOLE NEIGHBORHOOD." AND IF YOU'RE A FAMILY WHERE YOU'VE DONE EVERYTHING RIGHT, YOU PAID YOUR MORTGAGE, AND JUST BECAUSE A FORECLOSURE SIGN GOES UP NEXT DOOR, YOUR OWN HOME LOSES $10,000 IN VALUE, IT DOESN'T MAKE A LOT OF SENSE TO ME OR THE PRESIDENT TO SAY TO THAT FAMILY, "WELL, LET NATURE TAKE ITS COURSE." THIS IS SOMETHING WE CAN MAKE A DIFFERENCE ON. WE HAVE MADE A DIFFERENCE ON IT. AND I'LL TELL YOU, THE PRESIDENT AND I ARE NOT GOING TO SIT BY AND SIT ON OUR HANDS WHILE WE LET THOSE FAMILIES, MIDDLE CLASS FAMILIES WHO HAVE DONE THE RIGHT THING SUFFER. THIS IS A VERY CLEAR DIVIDE BETWEEN US, AND I THINK IT'S A VERY SIMPLE ONE FOR THE AMERICAN PEOPLE TO UNDERSTAND.

>> Woodruff: ON THE OTHER HAND, MANY OF YOUR SUPPORTERS ASK EVEN UP UNTIL TODAY WHY DIDN'T THE ADMINISTRATION PUSH THE BANKS, THE LENDERS, THE INSTITUTIONS THAT HOLD THESE MORTGAGES HARDER EARLIER ON TO WORK WITH HOMEOWNERS? THERE IS STILL LINGERING CRITICISM OF THE ADMINISTRATION THAT YOU DIDN'T PUSH THE BANKS WHEN THERE WAS MORE CLOUT, FRANKLY, TO GET THEM TO DO SOMETHING.

>> JUDY, TWO THINGS I WOULD SAY TO THAT. ONE IS, ON THE REFINANCING PROGRAM THAT WE PUT OUT, WE IMMEDIATELY TOOK STEPS TO MAKE IT AVAILABLE, AND WHAT WE FOUND OVER TIME IS THAT THERE WERE A SERIES OF BARRIERS IN THE MARKET THAT STOOD IN THE WAY. AND THOSE WERE THINGS THAT WE COULDN'T JUST FORCE THE BANKS TO DO. WE HAD TO SIT DOWN AND REALLY WORK THROUGH THE ISSUES, THINGS LIKE WELL HOW COULD WE CREATE A MECHANISM SO THAT SECOND LIENS WOULD BE RESUBORDINATED. WAS THERE A NEW TECHNOLOGY WE COULD USE TO DO AUTOMATED APPRAISALS. THOSE WERE THINGS THAT WE'VE DONE THAT HAVE ALLOWED US TO OPEN UP REFINANCING TO MANY MORE PEOPLE, AND THOSE WEREN'T THINGS THAT WERE SIMPLY A QUESTION OF PUSHING. IT WAS A QUESTION OF SITTING DOWN, WORKING COLLABORATIVELY, AND MAKING IT HAPPEN. ON THE OTHER HAND, THERE ARE EXAMPLES WHERE WE DO HAVE TO PUSH THE BANKS MUCH HARDER, AND I USE AS AN EXAMPLE THE WORK THAT WE'VE BEEN DOING WITH 50 STATE ATTORNEYS GENERAL AROUND THE COUNTRY ON THE FORECLOSURE ABUSES THAT WE SOUTH CAROLINA JUST HORRENDOUS PROBLEMS WITH FORECLOSING ON FAMILIES WHILE THEY WERE TRYING TO GET HELP. ROBO SIGNING OF DOCUMENTS. THAT'S AN AREA WHERE WE ARE HOLDING THE INSTITUTIONS ACCOUNTABLE WITH TENS OF BILLIONS OF DOLLARS OF PENALTIES AND ALSO HELP DIRECTLY TO HOMEOWNERS THAT IS MANDATORY. IT'S NOT SOMETHING THAT THE BANKS WILL CHOOSE TO SIGN UP FOR. IT'S SOMETHING THAT'S MANDATORY AS A RESULT OF OUR COORDINATED ENFORCEMENT ACTIONS WITH STATES AND WITH THE FEDERAL GOVERNMENT.

>> Woodruff: SECRETARY SHAUN DONOVAN, THANK YOU VERY MUCH FOR TALKING WITH US.

>> GREAT TO BE WITH YOU, JUDY.

>> Ifill: NOW, ANOTHER IN OUR SERIES ON THE NATION'S HIGH SCHOOL DROP-OUT CRISIS. TONIGHT, ONE MAN'S JOURNEY FROM GANG MEMBER AND DROPOUT TO PROFESSOR, AND HIS EFFORTS TO KEEP OTHER YOUNG MEN FROM MAKING HIS MISTAKES. RAY SUAREZ HAS OUR "AMERICAN GRADUATE" STORY.

>> MY NAME IS VICTOR RIOR. IN. THIS WAS ME. IN 1994, THIS WAS ME. I WAS INTRODUCED TO THE NATION IN A FRONTLINE DOCUMENTARY. I WAS A GANG MEMBER, A JUVENILE DELINQUENT AND A HIGH SCHOOL DROPOUT.

>> Reporter: BUT IN THE 18 YEARS THAT FOLLOWED, VICTOR RIOS EARNED HIS HIGH SCHOOL DIPLOMA, FINISHED COLLEGE, EARNED A Ph.D. FROM THE UNIVERSITY OF CALIFORNIA AT BERKELEY, AND WROTE TWO BOOKS ON HIS LIFE AND HIS RESEARCH ON JUVENILE DELINQUENCY. HE NOW TEACHES SOCIOLOGY AT U.C. SANTA BARBARA AND HELPS AT-RISK YOUTH NAVIGATE THE PERILS OF ADOLESCENCE. RIOS IS ALSO A FAMILY MAN WITH A WIFE, REBECCA, AND THREE CHILDREN: NINA, MAYA AND MARCO. LIFE IS CONSTANTLY BUSY.

>> TO COME THIS FAR, I FEEL LIKE I'VE LIVED TWO LIFETIMES.

>> Reporter: BORN IN MEXICO, HE CAME TO THE U.S. WITH HIS MOTHER AT THE AGE OF TWO AND WAS RAISED ON THE ROUGH STREETS OF OAKLAND. HIS MOTHER FOUND MENIAL WORK AND THE FAMILY BARELY SCRAPED BY, LIVING IN SOME OF THE CITY'S MOST NOTORIOUS PROJECTS.

>> WE ENDED UP IN THE WORST NEIGHBORHOODS IN OAKLAND AND HAD TO FACE VIOLENCE, POVERTY, DILAPIDATED HOUSING. FOR EXAMPLE, ONE DAY, MY LITTLE COUSIN, HE WAS SLEEPING IN HIS CRIB, AND WE HAD RATS. BIG RATS CRAWLED ON HIS CRIB AND BEGAN TO CHEW HIS FACE UP, HIS LIPS, HIS GUMS, HIS CHEEKS. HE WAS HOSPITALIZED FOR MONTHS, AND HIS FACE HAD TO BE RECONSTRUCTED. AND SO THIS IS THE KIND OF DIRE POVERTY WE LIVED IN.

>> Reporter: THAT DIRE POVERTY LED RIOS TO DROP OUT FOR THE FIRST TIME IN EIGHTH GRADE. HE SECRETLY MOWED LAWNS TO HELP HIS MOTHER PAY THE BILLS, BUT SHE FOUND OUT AND MADE HIM RETURN TO CLASS. NOT LONG AFTER, AT 14, RIOS JOINED A NEIGHBORHOOD GANG FOR PROTECTION FROM THE VIOLENCE OF THE STREETS AROUND HIM. GANG LIFE, COUPLED WITH BAD RELATIONSHIPS WITH TEACHERS AND OTHER AUTHORITY FIGURES, EVENTUALLY LED HIM TO DROP OUT OF SCHOOL AGAIN.

>> THE GANG WAS INFLUENCING MY THOUGHTS ABOUT SCHOOL BECAUSE OUR WHOLE DAY WAS ORGANIZED AROUND, NUMBER ONE, SURVIVING. AND SCHOOL DIDN'T PROVIDE US THE RESOURCES TO SURVIVE.

>> Reporter: LIFE ON THE STREETS BECAME INCREASINGLY DANGEROUS. RIOS LEFT HOME AND WAS STEALING CARS, SOMETIMES LIVING IN THEM FOR MONTHS AT A TIME. AND WHEN HE WAS 15, HIS BEST FRIEND, A FELLOW GANG MEMBER THEY CALLED SMILEY, WAS MURDERED DURING A FIGHT WITH THEIR RIVALS.

>> SMILEY'S DEATH CHANGED MY LIFE AROUND IN THAT I BEGAN TO REFLECT. I BEGAN TO THINK ABOUT WHAT CAN HAPPEN TO ME. I BEGAN TO THINK ABOUT FACING HARD TIME IN PRISON IF I CONTINUED ON THIPATH LIKE MANY OF MY FRIENDS, OR ENDING UP DEAK LIKE SMILEY.

>> Reporter: RIOS SAYS IT WAS AT THIS CRUCIAL MOMENT, THE POINT WHEN HE WAS READY TO MAKE A CHANGE IN LIFE, THAT ONE ADULT WAS THERE FOR HIM. IT WAS A TEACHER. HER NAME WAS MS. RUSS.

>> SHE WALKS UP TO ME, SHE SAYS, "VICTOR, ARE YOU OKAY? I HEARD WHAT HAPPENED." AND I TOLD HER, "YEAH, I'M OKAY." SHE DIDN'T BELIEVE. SHE TAPPED ME ON THE SHOULDER. SHE SAID, "I KNOW YOU ARE NOT OKAY," AND I BEGAN TO CRY LIKE A LITTLE KID IN FRONT OF THE WHOLE SCHOOL. THE TEACHER REACHED OUT, OPENED HER ARMS, GAVE ME A HUG AND SAID, "VICTOR, WHEN YOU ARE READY TO CHANGE YOUR LIFE AROUND, I'LL BE HERE FOR YOU, BUT YOU HAVE TO DO THE WORK."

>> Reporter: WITH THE HELP OF MENTORS, RIOS SAYS HE BEGAN MAKING A SLOW TRANSFORMATION. BUT THE LURE OF THE STREET LIFE WAS STILL THERE, HAUNTING HIM ON A DAILY BASIS.

>> ONE DAY, I'M ON THE OTHER SIDE OF TOWN, AND I PICK A FIGHT ON THE STREET IN FRONT OF A SCHOOL, A RIVAL SCHOOL. AND A POLICE OFFICER CAME BY, HANDCUFFED ME. I WAS ON PROBATION, AND HE KNEW THIS. HE STARTED TALKING TO ME. HE SAID, "LISTEN, KID, I'M GOING TO GIVE YOU ONE MORE CHANCE, BUT IF I SEE YOU AROUND HERE AGAIN, I'M GOING TO TAKE YOU IN FOR A LONG TIME." I RESPECTED MY DEAL WITH HIM.

>> Reporter: IT WAS THAT DEAL THAT HELPED GET HIM ON THE PATH TO A HIGH SCHOOL DIPLOMA, THEN TO COLLEGE AND EVENTUALLY A DOCTORATE.

>> I DON'T THINK THEY REALIZE TODAY HOW IMPORTANT THEIR SECOND CHANCE FOR ME WAS. AT THAT TIME, IT WAS IMPORTANT FOR ME TO HEAR AN ADULT TELL ME, "LISTEN, WE KNOW YOU ARE MESS- UP, WE KNOW YOU'VE BEEN TO JUVIE, WE KNOW YOU ARE CAUGHT UP ON THE STREETS, WE KNOW YOU ARE A DROPOUT, BUT WE STILL BELIEVE IN YOU." AND THEY GAVE ME THAT DIGNITY AND I RAN WITH IT, AND I'M STILL RUNNING.

>> Reporter: EVEN NOW, RIOS IS NAVIGATING BETWEEN TWO WORLDS ON MOST DAYS. HE JUGGLES HIS DUTIES AS A COLLEGE PROFESSOR AND HIGH SCHOOL RESEARCHER, ALL THE WHILE STUDYING AND MENTORING AT-RISK YOUNG MEN IN SANTA BARBARA.

>> MY NAME IS MIGUEL. I AM 19 YEARS OLD, AND I WAS BORN AND RAISED IN SANTA BARBARA. I'VE BEEN LABELED AS A GANG MEMBER DOWN HERE. IF I HADN'T MET DR. RIOS, I HONESTLY THINK I WOULD HAVE PROBABLY BEEN IN JAIL BY NOW.

>> Reporter: MIGUEL ASKED US NOT TO USE HIS LAST NAME. HE FIRST MET PROFESSOR RIOS ABOUT TWO YEARS AGO, WHEN HE TOOK PART IN A SOCIOLOGY STUDY.

>> I FELT LIKE I CAN RELATE TO HIM. SO HE KNEW WHAT WE WERE ABOUT, YOU KNOW, AND HE KNOWS WHERE WE COME FROM. AND HE KNOWS WHAT... HE KNOWS HOW TO COME AT US, YOU KNOW. AT WHAT LEVEL OF RESPECT TO COME AT US.

>> Reporter: MIGUEL'S TWO OLDER BROTHERS WERE IN GANGS. HE HAD HIS FIRST INTERACTION WITH THE JUVENILE JUSTICE SYSTEM AT THE AGE OF 12 AFTER HE STOLE A BIKE. MIGUEL NEVER REALLY LIKED GOING TO CLASS AND EVENTUALLY LEFT SCHOOL FOR GOOD WITHOUT A HIGH SCHOOL DIPLOMA. NOW THAT HE'S JOINED RIOS' PROGRAM, THOUGH, MIGUEL NOW AIMS TO COMPLETE HIS G.E.D. AND HOPES TO ONE DAY BECOME A MECHANIC.

>> I'VE SEEN MIGUEL GROW OVER THE LAST COUPLE OF YEARS. I'VE SEEN HIM BECOME A LEADER IN THE COMMUNITY.

>> MIGUEL KNOWS HE'S STILL A WORK IN PROGRESS.

>> I'M NOT GOING TO GO TO SLEEP ONE NIGHT THE DEVIL AND WAKE UP THE NEXT DAY AND HAVE WINGS. BUT, I MEAN, EVERYONE HAS GOT ROOM FOR CHANGE FOR THE BETTER, YOU KNOW. AND I'M STILL YOUNG, SO I GOT A LOT OF ROOM FOR CHANGING.

>> Reporter: AND HE'S ENCOURAGING OTHERS TO DO THE SAME. MIGUEL IS NOW HELPING HIS FRIEND HECTOR, A 15 YEAR-OLD SOPHOMORE, AVOID THE MISTAKES HE MADE.

>> HE'S HAD MY BACK, I'VE HAD HIS BACK. HE'S, LIKE, HELPED ME OUT A LOT, HE ENCOURAGES ME, TELLING ME TO STAY IN SCHOOL, JUST GET IT OVER WITH, IT'LL HELP ME OUT IN THE FUTURE-- STUFF LIKE THAT.

>> Reporter: IT'S A PAY-IT- FORWARD STRATEGY THAT VICTOR RIOS, THE GANG MEMBER TURNED UNIVERSITY PROFESSOR, STILL CAN'T BELIEVE HE PUT IN MOTION.

>> IF, DURING THE TIME I WAS ON THE STREET AS A TEENAGER, SOMEONE APPROACHED ME, AN ANGEL CAME TO ME AND SAID, "HEY, HANG IN THERE, MAN, BECAUSE WHEN YOU ARE 34, YOU ARE GOING TO HAVE A BEAUTIFUL FAMILY, A WONDERFUL HOUSEHOLD, A GREAT JOB. YOU ARE GOING TO BE A Ph.D. FROM BERKELEY, YOU ARE GOING HAVE WRITTEN TWO BOOKS, AND YOU'LL BE AN AWARD-WINNING PROFESSOR," I WOULD HAVE LAUGHED AND LAUGHED AND LAUGHED. AND NOW ITS MY JOB TO LET THEM KNOW THAT ITS NOT A JOKE, TO LET THEM KNOW THAT I BELIEVE IN THEM THE WAY THAT MY TEACHER BELIEVED IN ME, TO LET THEM KNOW THAT THERE ARE SECOND CHANCES.

>> Reporter: RIOS IS NOW WORKING ON A BOOK THAT IS EXAMINING THE ACHIEVEMENT GAP AT SANTA BARBARA HIGH SCHOOL.

>> Ifill: OUR NEXT STORY PROFILES A PHOTOGRAPHER WHO DOCUMENTS THE REALITY OF LIFE FOR DROP-OUTS CAUGHT UP IN THE JUVENILE JUSTICE SYSTEM. "AMERICAN GRADUATE" IS A PUBLIC MEDIA INITIATIVE FUNDED BY THE CORPORATION FOR PUBLIC BROADCASTING.

>> Woodruff: NEXT, PUTTING A VALUE ON THE SOCIAL MEDIA GIANT FACEBOOK. JEFFREY BROWN HAS OUR STORY.

>> Reporter: FROM ITS FOUNDING IN 2004-- THAT RECENTLY-- FACEBOOK HAS GROWN INTO A WORLDWIDE PHENOMENON, NOW WITH MORE THAN 800 MILLION USERS. IT'S THE PLACE TO GATHER ONLINE "FRIENDS," SHARE YOUR PHOTOS, LIKES AND DISLIKES. IT'S BEEN SEEN AS A POTENT TOOL FOR DEMOCRATIC CHANGE AND SLAMMED FOR MAKING TOO MUCH OF OUR PRIVATE LIVES PUBLIC. NOW, WHAT STARTED AS A SMALL SOCIAL HANGOUT CONCEIVED IN A HARVARD DORM IS LIKELY TO BECOME ONE OF THE LARGEST PUBLIC OFFERING OF A COMPANY IN HISTORY. TO WALK US THROUGH THAT, WE TURN TO: NATE ELLIOTT, PRINCIPAL ANALYST FOR INTERACTIVE MARKETING AT FORRESTER RESEARCH- - HE JOINS US FROM THE NASDAQ MARKET-SITE STUDIOS IN NEW YORK; AND STEVEN LEVY IS A SENIOR WRITER AT "WIRED" MAGAZINE. STEVEN, I'LL START WITH YOU. TODAY'S FILING FINALLY OFFERS A KIND OF WINDOW INSIDE FACEBOOK'S BUSINESS. I KNOW IT JUST CAME OUT. YOU'VE GOT JUST A QUICK LOOK BUT WHAT JUMPS OUT AT YOU RIGHT AWAY?

>> WELL, A COUPLE OF THINGS. THE REVENUES WERE PRETTY MUCH IN LINE WITH WHAT PEOPLE WERE THINKING. THEY HAD SOMEWHERE SOUTH OF $400 MILLION OF ANNUAL REVENUES AND A PROFIT OF $1 BILLION, WHICH IS PRETTY NICE. ONE THING IS THAT ALL THE MONEY THEY HAVE IS IN ADVERTISING, EXCEPT FOR ABOUT 15%, AND ALMOST ALL OF THAT IS THEY HAVE A PAYMENT SYSTEM WHICH IS DEPENDENT ON ONE COMPANY, THE GAIGAME COMPANY, ZINGA. THAT WAS INTERESTING. AND THE OTHER THING THAT STRUCK ME WAS THE VERY STRIKEY LETTER FROM MARK ZUCKERBERG TO POTENTIAL INVESTORS WHERE HE TALKED ABOUT HOW THE COMPANY'S MISSION IS MORE IMPORTANT THAN MAKING MONEY TO HIM. THE MONEY ENABLED HIM OF FULFILL THE MISSION OF PUTTING THE WORLD IN CONTACT WITH EACH OTHER AND DOING IT THE HACKER WAY, AS HE DESCRIBES IT. IT WAS PRETTY INTERESTING.

>> Brown: FIRST, NATE ELLIOTT, FILL IN THE BUSINESS MODEL, THE ADVERTISING. HOW DOES FACEBOOK MAKE ITS MONEY? YOU LOOK AT A MOMENT LIKE THIS WHEN EVERYBODY IS TRYING TO FIGURE OUT HOW MUCH IT'S WORTH. HOW DOES IT IT-- TO USE THAT UGLY WORD-- MONETIZE ALL THIS INFORMATION THAT IT GATHERS?

>> WELL, WHAT THEY'RE DOING RIGHT NOW IS SELLING ADVERTISELETMENTS FAEPS THE PEOPLE WHO VISIT THEIR WEB SITE. IT'S WHAT I CALL A NICE LITTLE BUSINESS. IT'S A PRETTY BASIC REVENUE MODEL. THE GOOD NEWS FOR FACEBOOK IS THEY HAVE 800-PLUS MILLION PEOPLE WHO COME TO THE SITE EVERY MONTH, 400 MILLION-PLUS, PER DAY. EVEN A NICE LITTLE BUSINESS LIKE THAT ACROSS 800 MILLION PEOPLE TURNS INTO SEVERAL BILLION DOLLARS IN REVENUES.

>> Brown: YOU SAY IT'S A NICE LITTLE BUSINESS. IS THERE A PLAN THAT JUMPS OUT NOW AS A WAY TO MAKE IT INTO AN EVEN BIGGER BUSINESS AS A PUBLIC COMPANY?

>> YEAH, I THINK THERE ARE TWO STEPS THERE AND THE FIRST ONE FACEBOOK CLEARLY SEES, AND THE SECOND ONE WE HAVE TO HOPE THEY SEE. THE FIRST ONE-- AND THEY TALK ABOUT THIS IN THE FILING TODAY-- IS THEY KNOW THEY NEED TO MAKE THE AD PLATFORM ON THEIR OWN WEB SITE BETTER. THEY NEED TO PROVIDE MORE VALUE TO THE MARKETERS WHO ARE SPENDING MONEY ON FACEBOOK.COM RIGHT NOW. BUT, AGAIN, THAT'S A REVENUE MODEL THAT'S BEEN AROUND FAIR WHILE, SELLING ADS ON YOUR OWN WEB SITE. AND WHAT FACEBOOK NEEDS TO DO TO REALLY TRANSFORM ITS BUSINESS AND TO BECOME THE COMPANY IT WANTS TO BE IS FIND OTHER AND BETTER WAY TO USE ITS DATA AND TRANSFORM ADVERTISING ELSEWHERE ONLINE, MAKE ADVERTISING MORE EFFECTIVE, NOT JUST ON ITS OWN WEB SITE BUT ON LOTS OF OTHER ONLINE PROPERTIES.

>> Brown: STEVEN LEVY, WHAT WOULD YOUALD TO THAT, HOW IT USES THE MONEY IT NOW RAISES, THAT $5 BILLION? AND DOES THAT INEVITABLY SORT OF BUTT UP AGAINST A LOT OF THE QUESTIONS THAT PEOPLE HAVE ASKED ABOUT IT FROM THE BEGINNING, HOW IT USES INFORMATION THAT MANY PEOPLE, 800 MILLION PEOPLE, GIVE IT FOR FREE.

>> THAT'S RIGHT. IT REALLY HASN'T CRACKED THE PROBLEM THAT GOOGLE CRACKED IN ITS EARLY DAYS, WHICH WAS A NOVEL WAY TO MAKE MONEY WHICH WAS REALLY IN SYNC WITH WHAT THE USERS WANTED THERE. FACEBOOK IS UNIQUE AND IT COULD REALLY MICROTARGET ADVERTISERS-- OR CUSTOMERS FOR ADVERTISERS. IF YOU ARE LIVING IN MEMPHIS, TENNESSEE, AND YOU JUST GOT ENGAGED, FACEBOOK KNOWS THAT, AND CAN SELL AN AD TO THE BRIDAL SHOP IN MEMPHIS. AND, YOU KNOW, THEY ALSO COULD SELL TO A BROAD AUDIENCE OF THE 800 MILLION PEOPLE THERE. WHAT THEY HAVEN'T DONE IS DONE IT IN A WAY WHERE USERS HUNGER TO SEE THOSE ADS AND WANT TO SEE THEM AND THE ONE TIME IT TRIED TO GO OUTSIDE THE FACEBOOK TO THE WEB FORITATION WAS WHEN IT HAD A PROGRAM CALLED BEACON, AND THAT DIDN'T WORK OUT TOO WELL. THEY STILL HAVE A WAYS TO GO THERE.

>> Brown: NATE ELLIOTT, SET UP A LITTLE MORE OF THE CONTEXT HERE. I KNOW THE FILING MENTIONS A LOT OF THE POTENTIAL RISKS TO THE COMPANY GOING FORWARD. IT SAYS, FOR EXAMPLE, THEY'RE FIGHTING OFF A CHALLENGE FROM GOOGLE, WHICH THE WORLD WATCHES. IT TALKS ABOUT PROBLEMS IN CHINA. IT TALKS ABOUT BEING HOUNDED STILL BY PRIVACY CONCERNS. WHAT-- WHAT-- SPELL THAT OUT A LITTLE BIT MORE FOR US. WHAT KIND OF RISK DO THEY FACE?

>> I DON'T KNOW IF THEY HAVE PROBLEMS IN CHINA BECAUSE THEY'RE NOT IN CHINA.

>> Brown: THAT'S WHAT I MEANT.

>> PROBLEM IS TO FIGURE OUT WHETHER THEY WANT TO BE THERE AND FIND IF THERE'S A HALF-WAY SOLUTION WHERE THEY CAN OPERATE OUT OF HONG KONG, PERHAPS, THE WAY GOOGLE HAS BEEN DOING. WHEN YOU LOOK AT THEIR USER GROWTH IT'S SLOWED DOWN QUITE A LOT. THEY ANNOUNCED 800 MILLION USERS SEVERAL MONTHS AGO AND IT'S ONLY 800 AND CHANGE. USE IS BECOME MORE ACTIVE AND THEY'RE DOING A GREAT JOB OF GETTING THE USERS WHO ARE ON THE SITE MORE ACTIVELY ENGAGED AND COMING BACK MORE OFTEN. IF THEY WANT TO KEEP THE OVERALL USAGE NUMBERS GOING UP, THEY NEED EMERGING MARKETS. CHINA IS THE UNTAPPED MARKET FOR THEM. WE ALREADY SEE MILLIONS OF PEOPLE IN CHINA USING FACEBOOK, EVEN THOUGH IT'S ILLEGAL TO DO SO. AND WE KNOW IF THEY FLIP THE SWITCH THERE WILL BE MANY, MANY MILLIONS OF PEOPLE IN CHINA WHO WANT TO USE FACEBOOK. SO THEY NEED TO MAKE A DECISION. ARE THEY WILLING TO PLAY BY THE CHINESE GOVERNMENT'S RULES IN ORDER TO TAKE ADVANTAGE OF POTENTIALLY HUNDREDS OF MILLIONS OF NEW USERS IN THAT MARKET.

>> Brown: STEVEN LEVY, COME BACK TO THAT LETTER FROM MARK ZUCKERBERG, AND A LOT OF LANGUAGE I SAW ABOUT THE MISSION. IT SAYS IT WASN'T ORIGINALLY BUILT AS A COMPANY BUT "BUILT TO ACCOMPLISH A SOCIAL MISSION TO MAKE THE WORLD MORE OPEN AND CONNECTED." WE SAW THIS WITH GOOGLE WITH ITS FAMOUS MODEL, DO NO EVIL. IS THERE A POINT WHERE THESE COMPANIES-- THE YELLISM, THE ORIGINAL IDEALISM RUNS UP AGAINST THE DEMAPS OF THE MARKETPLACE AND SHAREHOLDERS.

>> THAT'S A DEFINITE DANGER OF ANY COMPANY AS IT GET BIGGER. BEFORE WE JUMP TO TO THE CYNICAL SIDE AND POINT FINGERS AT ZUCKERBERG AND FACEBOOK, WE ARE ON THE CUSP OF SOMETHING DIFFERENT HERE. SOCIAL NETWORKING-- AND FACEBOOK IS THE FLAGSHIP OF THAT-- HAS CHANGED OUR WORLD AND THAT'S REALLY WHERE IT'S POSITIONING ITSELF-- AND ZUCKERBERG IS VERY EXPLICIT ABOUT THIS-- IN THE CENTER, CHANGE THE WAY WE COMMUNICATE WITH EACH OTHER ARE CHANGING THE WAY WE COMMUNICATE WITH OUR GOVERNMENTS, AND DOING IT IN THE HACKERRISH WAY, HACKER NOT IN THE BREAK-IN SENSE BUT THE BEST SENSE LIKE I WROTE IN A BOOK 27 YEARS AGO. AND I THINK THERE'S SOMETHING TO THAT. IT HAS CHANGED IT. AND BEFORE WE START POINTING FINGERS AND SAYING, "OH, MY GOD, YOU'VE TURNED YOUR BACK ON THAT. YOU'RE VIOLATING OUR PRIVACY," IT IS SOMETHING THAT COULD BE OF BENEFIT TO PEOPLE THERE. I THINK ON THE I.P.O., AT LEAST, WE SHOULDN'T STOMP ON THEM.

>> Brown: WE'LL WATCH WHAT HAPPENS HOW THIS TAKES PLACE OVER THE NEXT FEW MONTHS. STEVEN LEVY, NATE ELLIOTT, THANKS SO MUCH.

>> Ifill: FINALLY, BIG QUESTIONS ABOUT A BIG FOSSIL FIND. THAT'S THE SUBJECT OF TONIGHT'S "NOVA." IT FOCUSES ON AN UNEXPECTED DIG NEAR THE SNOWMASS SKI RESORT IN THE ROCKY MOUNTAINS OF COLORADO. IN 2010, A BULLDOZER OPERATOR FOUND HUGE BONES THAT TURNED OUT TO COME FROM A WATERING HOLE DATING TO THE ICE AGE, A SMALL LAKE USED BY ANCIENT ELEPHANTS SUCH AS MAMMOTHS AND MASTODONS. HERE'S AN EXCERPT.

>> THE MASTER DON'S WATERING HOLE WOULD HAVE BEEN RINGED BY FUR AND SPRUCE, MUCH MORE LUSH THAN TODAY'S ASPEN. MAKING SNOWMASS AN ELEPHANT RESORT 100,000 YEARS BEFORE IT BECAME A HUMAN ONE. BUT WAS IT A RESORT WHERE BAD THINGS HAPPEN? AMONG THE DEBRIS FIELDS LEFT BY THE LANDSLIDES, THOSE DEPOSITS OF DIRT, ROCK, AND BOLDERS, THE SCIENTISTS FIND TEETH THAT INDICATE MASTADONS OF EVERY AGE LIVED HERE AND DIED HERE.

>> A LOT OF ANIMALS THAT DID NOT MAKE IT THROUGH THEIR WHOLE LIVED SPAN AT SNOWMASS. SOMETHING CAUSED THEM TO DIE PREMATURELY. IT WASN'T JUST A NICE LAKE TO GO DRINK AND OCCASIONALLY DROP DEAD AND GET BURIED. IT WAS A LEAK IF YOU WERE THERE AT THE WRONG TIME, SOMETHING MIGHT KILL YOU.

>> WHAT WE IN FACT HAVE AT SNOWMASS IS SOMETHING THAT LOOKS MORE LIKE A SNAPSHOT OF A LIVING POPULATION. IT REALLY LOOKS LIKE WHAT YOU WOULD GET IF YOU TOOK A WHOLE FAMILY UNIT AND JUST FLIPPED THE SWITCH ON THEM ALL AT THE SAME TIME.

>> Reporter: WHAT COULD FLIP THE SWITCH ON A FAMILY OF MASTADONS? THE LANDSLIDES LOOK LIKE THEY COULD HAVE BEEN CAUSED BY AN EARTHQUAKE, BUT HOW COULD AN EARTHQUAKE KILL AN ENTIRE POPULATION OF MASTAD DONS? PARTICULARLY DEADRY IS AN EARTHQUAKE PHENOMENON CALLED LIQUIFACTION. WHEN EARTHQUAKES HIT AN AREA WHERE THE WATER TABLE IS HIGH, IT MIXES SOLID GROUND WITH WATER AND CREATES A KIND OF QUICKSAND INTO WHICH EVEN ENTIRE BUILDINGS CAN SINK. DAN FISHER WONDERS IF LIQUIFACTION COULD EXPLAIN HOW ALL THESE MASTADONS DIED.

>> AND THE SCENARIO THAT I BEGAN TO ENTERTAIN IN ALL OF THIS-- AND ALL OF THIS, YOU REALIZE IS JUST, HMMM, WHAT IF-- WAS THAT ANIMALS COULD HAVE BEEN, SAY, DOWN TO DRINK FOR THE DAY, TO DRINK, TO BATHE, TO PLAY IN THE WATER ABOVE THE LAKE, THE ANCIENT LAKE. EVERYTHING WAS FINE. THEY WALKED IN AND THE SUBSTRATE WAS FIRM AS IT ALWAYS HAD BEEN IN THEIR EXPERIENCE. BUT IF AN EARTHQUAKE THEN STRUCK AND WE BEGAN TO GET THAT TREMBLING, AND IF THEN THE SEDIMENT BEGAN TO BE-- TO UNDERGO THIS PROCESS OF LIQUIFACTION, IT WOULD THEN CHANGE THE PUDDING, ESSENTIALLY. AND ANIMALS THAT HAD BEEN STANDING COMFORTABLY ON A SUBSTRATE COULD BEGIN TO SINK DOWN INTO IT, MAYBE ONLY TO THEIR ANKLES, MAYBE ONLY TO THEIR KNEES. BUT WHEN THE SHAKING WOULD STOP, WITHIN A MATTER OF SECONDS, THAT SEDIMENT WOULD CHANGE BACK AGAIN TO ITS FIRM STATE, AND IF THEY WERE IN UP TO THEIR KNEES, THERE WOULD BE NO WAY THEY COULD WORK THEMSELVES OUT.

>> Woodruff: FROM TONIGHT'S NOVA. WE TALKED WITH ONE OF THE KEY RESEARCHERS LEADING THE PROJECT.

>> MORE NOW ABOUT THESE MAMMOTH FINDINGS THAT COME FROM KIRK JOHNSON, VICE PRESIDENT AND CHIEF CURATOR AT THE DENVER MUSEUM OF NATURE AND SCIENCE WHO IS FEETURED IN THE NOVA DOCUMENTARY. THANKS FOR BEING WITH US. FIRST, WHO STUMBLED UPON THIS?

>> IT WAS A BULLDOZER OPERATOR NAMED JESSE STEEL WHO WAS PUSHING DIRT IN 2010 AND RAN HIS BOLDER RIGHT THROUGH A YOUNG FEMALE MAMMOTH SKEL DON.

>> Reporter: HE OBVIOUSLY DIDN'T KNOW IT AND DOES THE FIRST BEST THING, CALLED THE MUSEUM?

>> HE DIDN'T CALL THE MUSEUM. HE CALLED THE SUPERVISOR WHO CALLED THE PROPERTY OWNER WHO CALLED THE MUSEUM AND WE WENT OUT AND LOOKED AT THE SITE. IT WAS A BEAUTIFUL LITTLE ELEPHANT. WE THOUGHT THAT'S GREAT AND AS WE LOOKED AROUND THE SITE MORE WE REALIZED THERE WAS MORE THAN ONE ELEPHANT. THERE WERE BONES ALL OVER THE PLACE.

>> NOW WE KNOW THIS IS ONE OF THE LARGEST DIG SITES IN AMERICAN HISTORY. PUT IT IN PERSPECTIVE FOR US. HOW MANY BONES DID YOU FIND, AND HOW MUCH TIME?

>> WE DUG FOR 69 TOTAL DAYS. WE HAD ENOUGH VOLUNTEERS DIGGING THAT WE WORKED 3,200 PERSON DAY EFFORTS AND FOUND OVER 5,000 BONES. I HAVE ONE RIGHT HERE WITH ME. THE TIBIA OF A MASTADON, BEAUTIFULLY PRESERVED. WHEN WE FOUND THESE YOU COULD PULL THEM RIGHT OUT OF THE GROUND AND PULL THEM IF YOU WANT AIR. IT WAS LIKE A "FLINTED STONE" MOMENT. IT WAS LIKE BEING BACK IN THE ICE ANALES. IT WAS AN INCREDIBLE EXPERIENCE.

>> HOW IS IT POSSIBLE THEY'RE SO WELL PRESERVED?

>> THE SITE IS ACTUALLY PRESERVED AT 9,000 FEET. IT'S CAPPED BY A LAYER OF CLAY, AND, CLEARLY, THE SITE WAS COLD AND POOR IN OXYGEN, SO WHEN WE WERE BREAKING OVER THE LAYERS OF PEAT, WE WERE FINDING GREEN LEAVES THAT WE LATER FOUND OUT WERE MORE THAN 50,000 YEARS OLD. ONCE THEY WERE BURIED-- THEY WERE BARRIED RAPIDLY IN GREEN 50,000 YEARS AGO, AND THEY WERE PRESERVED FROM BEING EXPOSED TO OXYGEN, AND THAT KEPT THEM GREEN. SO IN FACT WHEN WE PULLED THE PEAT OPEN AND SAW THE LEAVES, THEN THEY OXITIZED IMMEDIATELY AND TURNED BLACK RIGHT IN FRONT OF OUR EYES.

>> Reporter: WOW. SO WHAT'S THE REASON THAT ALL OF THESE DIFFERENT TYPES OF BONES ARE CLUSTERED TOGETHER IN ONE AREA.

>> THAT'S SORT OF A $64,000 QUESTION AT THE SITE AND THAT'S WHAT WE ADDRESSED IN THE NOVA SPECIAL. WE TALK ABOUT ONE HYPOTHESIS BUT IT'S UNUSUAL TO FIND THAT MANY BONES IN SUCH GREAT CONDITION IN SUCH CLOSE PROXIMITY TO EACH OTHER AND WE HAVE BEEN LOOKING AT A NUMBER OF DIFFERENT OPTIONS BUT ONE OF THE OPTIONS WE EXPLORED FOR THE BURIAL OF THE MASTADON BONES IN PARTICULAR IS A SEAR OF EARTHQUAKE-DRIVEN LIQUIFACTION, QUICKSAND EVENTS, FOLLOWED BY LANDSLIDES. AND THE BONES, AS YOU SAW WHEN I HEED IT UP, IS IN PRESS TEEN CONDITION YET THEY WERE TOTALLY SEPARATED FROM EACH OTHER. IT'S A BIT OF A FORENSIC MYSTERY HOW SO MANY ANIMALS DIED AND THEIR BONE RESIDENT PRESERVED IN SUCH GREAT CONDITION. THAT'S THE ONGOING SCIENCE OF THE SITE-- WHAT DID HAPPEN HERE? AND WE OPENED UP THE QUESTIONS IN THE NOVA SPECIAL BUT WE HAVE A TEAM OF 45 SCIENTISTS FROM 19 INSTITUTIONS AROUND THE WORLD RIGHT NOW WORKING THROUGH THE SCIENCE OF THE SITE AND UNDERSTANDING WHAT HAPPENED AT THIS LAKE NEAR SNOWMASS VILLAGE.

>> Reporter: IF THESE ANIMALS WERE STUCK IN QUICKSAND, SAY FOR DAYS AT A TIME BEFORE THEY DIED OF STARVATION, WHY WOULDN'T ANY PREDATORS COME IN AND TAKE CARE OF THEIR BONES?

>> IT'S A REALLY INTERESTING QUESTION AND A GOOD QUESTION AND ONE OF THE THINGS WE'RE GOING TO DO TO TEST THAT OVER THE NEXT SIX MONTHS WE HAVE AN AMAZING ARRAY OF BONES. WE HAVE OVER 5,000 BONES FROM THE SITE AND WE'RE GOING TO LOOK AT EVERY SINGLE BONE AND CATALOG ANY POTENTIAL PREDATOR MARKS OR CALFENGER MARKS ON THE BONDS. WE HAVEN'T DONE THAT YET SO WE DON'T KNOW WHAT THE RESULT IS, BUT IN GENERAL WE'RE NOT FINDING AS MANY SCAVENGER MARKETS AS WE EXPECTED. THIS IS HYPOTHESIS A., AND WE'RE GOING TO TEST IT BY LOOKING AT THE BONES AND SEE IF WE CAN FIND ANOTHER EXPLANATION THAT IS A BETTER EXPLANATION. REMEMBER THE 68 WAS DISCOVERED IN 2010. WE DUG THROUGH THE MIDDLE OF LAST SUMMER AND WE'RE JUST GETTING THE BONES OUT OF THE WRAPPINGS RIGHT NOW. THE TV SHOW HAPPENED IN CONCERT WITH THE DIG AND IT'S ALL HAPPENING REALLY RAPIDLY.

>> WHAT'S NEXT? WHAT'S GOING TO HAPPEN WITH THE PONES? INSTITUTIONS AROUND THE WORLD ARE STUDYING IT. IS THERE A REPORT YOU PUBLISHED THAT IS THE DEFINITIVE ANSWERS?

>> WE HAVE BONE SCIENTISTS LOOKING AT THE BONES, AMAZING PRESERVATION OF PLANTS, SO WE HAVE POLLEN OLESES, AND FOSSIL WOOD SPECIALIST LOOKING AT THE WOOD AND THE GOAL IS TO PUT TOGETHER THE STORY OF WHAT HAPPENED AT THIS SITE. THE BOTTOM OF THE LAKE DEPOSITS WERE DEPOSITED ABOUT 120,000 YEARS AGO. NOT ONLY DO WE FIND OUT ABOUT THE ANIMALS AND PLANT, WE ACTUALLY HAVE A PRETTY GOOD READ ON WHAT WAS HAPPENING WITH THE CLIMATE IN THE ROCKS AT THAT TIME AS THE GLACKIERS CAME AND WENT DURING THE ICE AGES.

>> Reporter: ALL RIGHT, KIRK JOHNSON FROM THE DENVER MUSEUM OF NATURE AND SCIENCE, THANKS SO MUCH FOR YOUR TIME.

>> HEY, MY PLEASURE. THANK YOU VERY MUCH.

>> Ifill: "ICE AGE DEATH TRAP" AIRS TONIGHT ON "NOVA" ON MOST PBS STATIONS.

>> Woodruff: AGAIN, THE MAJOR DEVELOPMENTS OF THE DAY. THE REPUBLICAN PRESIDENTIAL CANDIDATES HEADED WEST AFTER MITT ROMNEY'S RESOUNDING VICTORY IN FLORIDA. AT LEAST 73 PEOPLE WERE KILLED IN EGYPT WHEN A SOCCER MATCH ERUPTED INTO A RIOT AND STAMPEDE. AND FACEBOOK GAVE FORMAL NOTICE THAT IT'S GOING PUBLIC WITH A STOCK OFFERING THAT COULD RAISE $5 BILLION. THERE'S MORE ABOUT OUR "AMERICAN GRADUATE" SERIES ONLINE. KWAME HOLMAN HAS THE DETAILS. KWAME?

>> Reporter: JOIN A LIVE CHAT ON FRIDAY AT 1:30 PM EASTERN. WE'LL TALK WITH VICTOR RIOS, THE COLLEGE PROFESSOR IN TONIGHT'S REPORT, AND DOCUMENTARY PHOTOGRAPHER RICHARD ROSS. FIND THE DETAILS ON OUR HOME PAGE. AND ON OUR POLITICS PAGE, PATCHWORK NATION BREAKS DOWN THE VOTES FOR MITT ROMNEY AND NEWT GINGRICH IN DIFFERENT COMMUNITY TYPES IN FLORIDA. ALL THAT AND MORE IS ON OUR WEB SITE, newshour.pbs.org. JUDY?

>> Woodruff: AND THAT'S THE NEWSHOUR FOR TONIGHT. ON THURSDAY, WE'LL HAVE THE LATEST ON THE RACE FOR THE REPUBLICAN NOMINATION. I'M JUDY WOODRUFF.

>> Ifill: AND I'M GWEN IFILL. WE'LL SEE YOU ONLINE AND AGAIN HERE TOMORROW EVENING. NK YOUNDOU AOOD NIGHT. MAJOR FUNDING FOR THE PBS NEWSHOUR HAS BEEN PROVIDED BY:

>> BNSF RAILWAY. AND BY THE ALFRED P. SLOAN FOUNDATION. SUPPORTING SCIENCE, TECHNOLOGY, AND IMPROVED ECONOMIC PERFORMANCE AND FINANCIAL LITERACY IN THE 21ST CENTURY. AND WITH THE ONGOING SUPPORT OF THESE INSTITUTIONS AND FOUNDATIONS. AND... THIS PROGRAM WAS MADE POSSIBLE BY THE CORPORATION FOR PUBLIC BROADCASTING. AND BY CONTRIBUTIONS TO YOUR PBS STATION FROM VIEWERS LIKE YOU. THANK YOU. Captioning sponsored by MacNEIL/LEHRER PRODUCTIONS Captioned by Media Access Group at WGBH access.wgbh.org