my dog the salivator

Most dogs have some type of quirk that endears them to their master or a habit that drives their master up the wall. Some dogs are high energy, some are laid back, some are nervous and anxious. Mine is of the nervous/anxious variety (lucky me). She is a little wound tight and has separation anxiety issues. Some dogs of the nervous/anxious variety display this by crying or tearing up shoes, but not my dog. My dog salivates...yep, salivates. Her chest heaves up and down and she foams at the mouth and salivates everywhere. She only does this in two situations: 1. at the back door when she wants in (she licks the door and opens her mouth sticking her teeth up against the pane and slobbers)
2. in her crate.

The first time I discovered she did this I came home to let her out of her crate and her blanket was SOAKED...the whole thing was soaken wet and her paws and chest were soaked. When I let her out she ran to the water dish and drank every last drop.

The other day my sister noticed that Cali's crate was rusted on the bottom (from all the slobber, yuck) and it was leaving a rust line on the carpet, so we put a towel under it to prevent that. When I got home from work the next day and went to let Cali out she had managed to pull half of the blanket out from under the crate, into the crate with her and she had shredded it! I flipped it around and put it back under the crate, but on the third day when I got home she had pulled the entire thing into the crate and completely shredded it! This is what it looks like now...
Cesar Milan makes it look so easy..."Just take her for lots of walks and she will stop." His show makes it seem like he can look at a dog and it will begin to behave. Well obviously I am not the dog whisperer. I wonder what he would say about my above shredded towel...Correction, Lauren's shredded towel...Sorry Lauren!