[Wolf Blitzer:] And you're in THE SITUATION ROOM. Happening now...
[Unidentified Male:] I bit into it and I I felt this real jab in the top of my mouth.
[Blitzer:] Delta and the FBI now investigating needles yes, needles found in airline meals. Also, parts of the United States suffering through the worst drought in decades. Farmers are facing ruin. All of us face higher prices at the same time. And a series of highly unusual moves has the world wondering, is North Korea on the brink of any significant change? We want to welcome our viewers in the United States and around the world. I'm Wolf Blitzer. You're in THE SITUATION ROOM. We begin this hour in Syria and the intense shelling in the city of Homs. Syrian opposition groups are reporting at least 45 people killed today in violence across the country. That's on top of 97 people killed yesterday, more than 15,000 since last March many simply massacred by government forces away from the eyes of the world. Some activists are risking their lives to bear witness. CNN's Arwa Damon has an exclusive report. But we have to warn you, some of the images are very disturbing.
[Arwa Damon, Cnn International Correspondent::] The power is out in the streets of Duma. The three activists and their escorts don't dare shine the light. There is a sniper lurking. Gunfire in the distance forces them to pick up the pace. The activists are part of the opposition's media operation. They smuggled themselves into the Damascus suburb last month and risked their lives to document this a massacre said to have taken place just hours earlier. Among the corpses strewn about, that little girl. A man points to one of the bodies and says, "He was executed, a civilian." He points to a second corpse and adds, "This is his cousin, shot because he tried to save him." Residents are readying the bodies for burial. Blood is soaking through the funeral sheets, the names of the deceased hastily scrawled. It's a grim routine Syrians in areas that have dared stand up to the regime have grown accustomed to. The bodies unceremoniously dragged away and placed alongside others. Residents say Syrian security forces searching for weapons in some buildings wiped out members of several families. This man described what happened in one instance. "They had two rooms they put the men and the women in," he says. "from 10:00 a.m. to 10:00 p.m. the living were trapped with the dead. It was an execution. They asked, "Where are the guns?''There are no guns was the response." And they executed them one after the other." At least 45 were killed in this one attack, residents say, information CNN cannot independently verify. In the morning, the media team picked their way through rubble strewn streets, but they would not be able to leave Duma. The Assad regime siege intensified, the government bombardment relentless. Many more were killed. [on camera]: The team that filmed this at the end of June was trapped inside Duma for more than a week. And it's taken this long to get the footage smuggled to Lebanon. [voice-over]: All of that effort, all of that risk to give to the world a glimpse of Syria's narrative of horror and despair. Arwa Damon, CNN, Beirut.
[Blitzer:] The report, Arwa Damon reporting for us. Here in the United States, the mudslinging between the Romney and Obama campaigns is reaching new levels today, with the campaigns engaged in all-out verbal warfare. CNN's national political correspondent, Jim Acosta, is here in THE SITUATION ROOM. He's got details. And it's getting nasty by the minute nastier by the minute, I should say.
[Jim Acosta, Cnn Correspondent:] Wolf, it is getting rough out there. As we said all day long today, Mitt Romney has been warning the Obama campaign that he would respond to the attacks he's been receiving from the president and his surrogates over the last several days. Today, he and his campaign did just that.
[Acosta:] In Mitt Romney's first public rally since he says the Obama campaign accused him of committing a crime, the GOP contender blamed the war of words on the president.
[Mitt Romney , Presidential Candidate:] So the president is looking around for someone to blame. And recently, I became the the reason for all our problems here. It was a surprise to my family and me, but he's always looking for someone out there.
[Acosta:] Romney says there's a reason for the attacks on his tenure at his former private investment firm, Bain Capital.
[Romney:] I'm convinced he wants Americas to be Americans to be ashamed of success.
[Acosta:] Not so, says the Obama campaign. At a fundraiser in San Antonio, the president said it's Romney who made his business career fair game.
[Barack Obama, President Of The United States:] His main calling card for wanting to be president is his private sector experience.
[Unidentified Male:] Tax havens.
[Acosta:] His campaign is stepping up the attacks, releasing a new ad that asks what Romney is hiding by refusing to release more than two years of tax returns. Romney told the National Review online, "I'm simply not enthusiastic about giving them hundreds or thousands of more pages to pick through, distort and lie about."
[John Sununu, New Hampshire Governor And Romney National Campaign Co- Chair:] They are clearly and unequivocally a bunch of liars.
[Acosta:] Punching back, the Romney campaign held a conference call with reporters featuring its brass knuckles surrogate, John Sununu, who questioned the president's understanding of the economy in a personal way.
[Sununu:] It is the American way. And I wish this president would learn how to be an American.
[Acosta:] Minutes later, Sununu corrected himself.
[Sununu:] The president has to learn the American formula for creating business.
[Romney:] Thank you.
[Acosta:] But an Ohio businessman on the same call also let loose.
[Kyle Koehler, Vice President, K.k. Tool Company:] It seems to me that the Obama's America, there's no risk, but there's plenty of reward. That's called socialism to me.
[Acosta:] The personal attacks come one day after Romney said he would hit back at the president after what was said on an Obama campaign conference call last week.
[Stephanie Cutter, Obama Deputy Campaign Manager:] Either Mitt Romney, through his own words and his own signature, was misrepresenting his position at Bain to the SEC, which is a felony, or he was misrepresenting his position at Bain to the American people.
[Acosta:] As for the Romney conference call, an Obama campaign spokesman said it's the GOP contender's team that has officially gone off the deep end. All week there's been speculation Romney might change the subject by naming his running mate. His campaign announced two new staffers for the eventual VP pick. Romney heads to Ohio tomorrow, the home state of the man said to be at the top of the list, Rob Portman. But hold onto your hats. Bobby Jindal also scheduled to be in the same state of Ohio tomorrow Wolf.
[Blitzer:] All right. We'll see if there's an announcement or not. See you then.
[Acosta:] We'll we'll see.
[Blitzer:] If it's not tomorrow, it will be one of these days.
[Acosta:] It's got to be one or the other, that's right.
[Blitzer:] Jim Acosta, thanks very much.
[Wolf Blitzer:] And as Jim just reported, Romney national campaign co-chairman, John Sununu, is getting blasted by Democrats for what they see as some over the line remarks. Today. John Sununu, the former governor of New Hampshire, is joining us on the phone now from Manchester. Governor, thanks very much for coming in. And I want I want to give you a full chance to respond to what you said today...
[Sununu:] Sure.
[Blitzer:] because, as you know, it's causing a huge uproar. Here's the full context of what you said on that conference call with the reporters.
[Sununu:] The president clearly demonstrated that he has absolutely no idea how the American econ economy functions. The men and women all over America who who have worked hard to build these businesses, their businesses, from the ground up is how our economy became the envy of the world. It is the American way. And I wish this president would learn how to be an American.
[Blitzer:] All right, "I wish this president would learn how to be an American." Governor, go ahead and explain what you really Sununu: Sure. meant to say.
[Sununu:] Well, I said the first of all, I was responding to the president's really terrible remarks in Virginia over the weekend, where he told the businesspeople of America they shouldn't take credit for building their businesses. That clearly is insulting to them and and, in my opinion, expresses a lack of understanding of how jobs are created. I was making the point that in America, entrepreneurs deserve credit and there is an American formula for creating jobs. And I used that phrase three or four times in that call. And and I wanted to come back to that same theme in that riff that you just played there. And instead of saying that he's got to learn the American formula for creating jobs, I I did say those words that are there. And, frankly, I made a mistake. I shouldn't have used those words. And I apologize for using those words. But I don't apologize for the idea that this president has demonstrated that he does not understand how jobs are created in America. He thinks that jobs are created by giving grants to your cronies, to your bundlers and your contributors, like he did with Solyndra. Like he did with Vista, like he did with the wind projects that took jobs out of this country. The common denominator is that they all had owners and investors that were bundlers and contributors to his campaign. That's what he means, perhaps, when he says government creates jobs, American taxpayer dollars going to cronies.
[Blitzer:] So when you hewn you say you were apologizing, are you apologizing directly to the president?
[Sununu:] Yes, I'm apologizing for using those words. I shouldn't have used them.
[Blitzer:] All right. Because later in the day, on Fox News and I'll put it up on the screen you also went on and said this. You said, "President Obama has no idea how the American system functions and we shouldn't be surprised about that, because he spent his early years in Hawaii smoking something, spent the next set of years in Indonesia.
[Sununu:] Yes
[Blitzer:] A lot of people will hear that and think that's pretty outrageous, as well, Governor.
[Sununu:] Well, Wolf, look, the president has to stop denigrating American values. He makes success a a terrible trait. He's sending the wrong message to the young people of America, that if you get rich, you're somehow evil. Those are issues that are really critical. And and the American dream and the in inspiration for the American dream comes from participating. And and the president, whether he likes to admit it or not, never really held a private sector job in which he earned a real paycheck. And and it's a lack of understanding what entrepreneurs do that is creating bad policy out of the White House. And if we don't talk about the fact that he doesn't understand what entrepreneurs do, then we will never understand why he failed to create a single job while he was president.
[Blitzer:] Well, and I guess in the past couple of years, what, about four million jobs have been created.
[Sununu:] Yes. Now...
[Blitzer:] A...
[Sununu:] now he's only 500,000 short total. And, frankly, he's bragging about creating 80,000 last month when when to keep up with population growth, you have to have 180,000 to 200,000.
[Blitzer:] But you remember, Governor...
[Sununu:] He's...
[Blitzer:] you remember, Governor, that when in the final months of President Bush's administration, the U.S. Economy was losing 600,000, 700,000, 800,000 jobs a month.
[Sununu:] And what you should have is a, in the recovering phase of of an economy, as we are supposedly in now, is the mirror image of that. We should be creating 600,000 to 800,000 jobs a month. And he's not.
[Blitzer:] But when when the U.S. Was losing all of those jobs, we was President Bush un-American? Did he not know anything about the the free market system? What was going on?
[Sununu:] I think what happened to President Bush is that the the explosion of purchases of homes by people who couldn't afford them created a crisis. But that doesn't excuse you from not putting policies in that create jobs. That doesn't excuse from
[Blitzer:] Well, let me just...
[Sununu:] he's scaring investment.
[Blitzer:] Well, on that point... on that same conference call, Governor. There was a businessman, a supporter of Mitt Romney, who flatly said this president was somewhat engaging in socialism. Is that what you're saying, as well?
[Sununu:] Well, that's what this president has done. He's created a feeling amongst entrepreneurs that he is not a capitalist. And and so I can't I can't speak for every businessperson out there in which that feeling has been engendered. But the president should be aware of the fact that small businesspeople listen to what the NFID said about this president. Small people small businesspeople think this president has absolutely no idea what to do to ce to create an environment for them to start hiring.
[Blitzer:] But are you saying...
[Sununu:] He's...
[Blitzer:] he's a socialist?
[Sununu:] No, I didn't say he was a socialist.
[Blitzer:] All right. All right. I just was wondering, because we...
[Sununu:] I didn't say that.
[Blitzer:] we did hear that...
[Sununu:] Don't don't...
[Blitzer:] from that I'm I just asked if you were among those who thinks he is a socialist.
[Sununu:] No. But I'm saying no, but what I'm telling you is he ought to be worried that he's making small businesspeople feel that way.
[Blitzer:] Well, let me ask you this question, because I I asked it earlier and I keep asking this question. If this president is so anti-business, as so many Republicans now allege...
[Sununu:] Right.
[Blitzer:] why has Wall Street done so great over the past three years, going from, what, 6,500 in the Dow Jones Industrial Average to almost 13,000 right now and these huge companies are sitting on bill hundreds of billions, if not trillions, of dollars in in assets?
[Sununu:] Let's take the last point you made. They are sitting on trillions of dollars in assets. You know what they're waiting for? They're waiting to see who wins this election. If Oba if President Obama is re-elected, that investment money leaves the country. If if Mitt Romney is reelected is elected, that investment co money is used to buy equipment here and to do hiring. You're exactly right. They're sitting on trillions of dollars because they're scared to death that this president might get re-elected.
[Blitzer:] But you agree that they've made a ton of money over the past three years, record profits for a lot of these big business corporations?
[Sununu:] But they have not invested it to create jobs because they're scared stiff of the man in the White House. Yes, they've done well. They've worked hard. You're not going to denigrate the business community for for dealing with the difficult environment of climate and of of the climate situation on the economic side. They've done a good job. They've worked to to bring themselves back. They've created more efficiencies in their factories. They have done what they should do, not with government's help, not with leadership from the White House, but because they're good businesspeople. And and now we shouldn't condemn them for having done that and say that somehow the president deserves credit, because these people brought themselves up by the boot straps.
[Blitzer:] Let let me play one clip for you from a new ad that the president has just put out.
[Sununu:] Yes.
[Blitzer:] I want to get your reaction to this. We're almost out of the time but...
[Sununu:] You've got to be careful.
[Blitzer:] I want I want...
[Sununu:] Be careful, Wolf...
[Blitzer:] Yes.
[Sununu:] because I will probably give you an extremely hot reaction.
[Blitzer:] All right. Well, I want you to listen to this. And you can give me any reaction you want. This is a free country, obviously, Governor.
[Sununu:] Uh-huh.
[Blitzer:] You and I have known each other for a long time.
[Sununu:] Right. Right.
[Blitzer:] All right, so listen to this latest Obama campaign ad, then I'll ask a question.
[Begin Video Clip, Courtesy Obama For America) Unidentified Male:] It makes you wonder if some years he paid any taxes at all. We don't know, because Romney has released just one full year of his tax returns and won't release anything before 2010.
[Mitt Romney , Presidential Candidate:] You know what, I've put out as much as we're going to put out.
[Unidentified Male:] What is Mitt Romney hiding?
[Blitzer:] All right, now, as you know, Governor. There are a lot of Republicans out there who say, you know what, Governor, go ahead and release these tax returns. We're talking about George Will, Bill Kristol...
[Sununu:] Right.
[Blitzer:] Haley Barbour, the former chairman of the Republican Party, Brit Hume on Fox News last night. Rick Perry, the governor of Texas, he said this on January 16th in one of the Republican presidential debates. [Begin Video Clip From January 16]
[Gov. Rick Perry , Texas:] Mitt, we need for you to release your income tax so the people of this country can see...
[Perry:] how you made your money. And and I think that's a I think that's a fair thing.
[Blitzer:] All right, so go ahead. You can now say whatever you want.
[Sununu:] Sure.
[Blitzer:] Respond to some of your fellow...
[Sununu:] First of all...
[Blitzer:] fellow Republicans.
[Sununu:] Yes, and if if Governor Romney releases two years, they're going to play games saying he should have four. If he releases four, they're going to ask for 12. If he releases 12, he's going to ask for 20. And, frankly, with the way they're playing games with just about everything, Governor Romney is absolutely right that he ought not to give them a couple of thousand pages to play games with. But let me talk about that ad, because that ad, in my opinion, defines President Obama. And I think he says, at the end, "I'm President Obama and I agree and I support this message," right?
[Blitzer:] Yes.
[Sununu:] Ok. So let's talk about that ad. That ad is trying to President O that Mitt Romney didn't pay taxes. Mitt Romney is such a public figure, everyone knows that if he didn't pay taxes, the IRS would be all over him. So there is no way the Obama administration campaign and President Obama can't know that the IRS did not President O that Mitt Romney didn't pay taxes, which means they know that what they're saying is not true, which which draws me to only one conclusion when they say that something that's not true and the president of the United States puts the words "I support this message" at the end of it, knowing that what they say is not true, then the campaign is lying. And so people should understand that when they hear that ad, all they're hearing is a campaign that knows that there is no way that Mitt Romney could have done what their insun insinuating, and, therefore, they're not telling the truth and the president is not telling the truth.
[Blitzer:] Governor, this conversation, no doubt, will continue. Sorry we couldn't get you in front of a camera. We will do that the next time. Appreciate your joining us.
[Sununu:] I'm sorry the connection didn't work. But thanks for the chance to come on, Wolf. We really appreciate it. And, frankly, I enjoyed it.
[Blitzer:] All right, Governor, thanks so much. Governor, former governor of New Hampshire, John Sununu, explaining what he said earlier in the day. This conversation, by the way, this this commotion over this is obviously not going to go away. We'll have much more coming up in our new 6:00 p.m. Eastern hour, as well. Meanwhile, other stories we're following. Needles, yes, needles found hidden inside airline sandwiches. We have new details into the investigation. And a major change is growing in the world's most isolated country. Standby.