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CNN Live At Daybreak

Update on Spain Bombing, Political Upheaval; Van Packed With Explosives Found Outside U.S. Consulate in Pakistan

Aired March 15, 2004 - 06:00   ET

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


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


CAROL COSTELLO, CNN ANCHOR: Good morning to you.
It is Monday, March 15.

From the CNN global headquarters in Atlanta, I'm Carol Costello.

Thanks for being with us this morning.

Spain's prime minister elect says he will keep his campaign pledge. He will recall Spain's 1,300 peacekeeping troops from Iraq by June 30. That means he'll take those Spanish troops out of Iraq.

Police in Karachi, Pakistan head off a potential threat to the U.S. consulate. A large bomb left in a stolen van outside the consulate is defused.

Court is dark in the Scott Peterson trial today, but defense attorney Mark Geragos is still busy. He plans to file a motion for a second change of venue.

In Fresno, California, police are investigating whether the suspected killer of nine family members was helped by one of the victims.

And a Tennessee woman falls 60 feet to her death from an amusement park ride. Police and the ride's maker are trying to find out why.

We update the top stories every 15 minutes. The next update comes your way at 6:15 Eastern.

This hour's top story, links to al Qaeda, no definitive evidence yet, but Spain's Conservatives are out of office and Spanish troops are getting out of investigate.

Live to Madrid now and CNN's Alessio Vinci, where a moment of silence is now being observed -- Alessio, tell us about it.

ALESSIO VINCI, CNN CORRESPONDENT: Good morning, Carol.

That moment of silence has not started yet. I'm standing at the Atocha train station in central Madrid. It is here that last Thursday most of the victims were killed when the bombs exploded on the train. We understand that that moment of silence about to start any time soon. We're going to pause for that when that happens. But in the meantime, I wanted to share with you a little bit of what's happening around us here. As you can see, at the main entrance of the train station, there are still candles and flowers and messages that the thousands of people, tens, thousands of residents here of Madrid and the people arriving here have laid down in respect of the victims that have died here. As you can see, some of the candles are still lit; many, many, many flowers; a lot of messages, of course, also on the walls of the train station, messages blaming both ETA, al Qaeda, blaming the government for bringing this country to war.

It's been a very difficult time for the Spanish people here ever since Thursday. Those terrorist attacks also came at a time of a national election where the Conservative Party, up until the moment those attacks took place, was leading in all the polls. Those attacks then took place and in the days following that attacks, a change of mood in the country that led to the victory, to the unexpected and surprise victory of the Socialist Party against the Conservative government of Prime Minister Jose Maria Aznar, who has been blamed in this election pretty much for dragging this country into a war.

Now, it is still unclear exactly who may have committed those attacks. However, investigators now are leaning towards the possibility of involvement of Islamic militants, including possibly al Qaeda. People here really punished the country -- punished the government for dragging the country into a war -- back to you, Carol.

COSTELLO: And, Alessio, is it for sure that those Spanish troops will be pulled out of Iraq?

VINCI: Well, this is the, one of the campaign, one of the main campaign pledges that the incoming prime minister has made throughout the political campaign. However, he also has said that he would not withdraw those troops if the United Nations were to pass the resolution in support of a military presence, of an international military presence backed by the U.N. Therefore, it is unclear how the U.N. is going to vote in the coming months, up to the moment where the United States is going to hand over to an interim administration in Iraq.

So if there were to be a U.N. mandate, a U.N. resolution calling for an international military presence in Iraq, at that point possibly those 1,300 troops that Spain is contributing to the multinational force will remain.

Again, it's just a small fraction, less than one percent of the total military presence in Iraq, but nevertheless the coalition of the willing, if you want, really needs the support of all the countries, including Spain -- back to you, Carol.

COSTELLO: Yes, the symbolism here is quite important.

Alessio Vinci reporting live from Madrid this morning.

A van packed with explosives was found outside the U.S. consulate in Karachi, Pakistan two days before Colin Powell, the secretary of state, is due to arrive in that country. Let's head live to Ash-Har Quraishi.

He's live in Pakistan, in Islamabad this morning -- what happened, Ash-Har?

ASH-HAR QURAISHI, CNN CORRESPONDENT: Well, Carol, officials tell us that a major disaster was averted this morning as a paramilitary troop that was posted outside the U.S. consulate in Karachi saw this van being parked by either one or two individuals near the compound and he approached that van, in which he found some suspicious material and he called the bomb disposal experts to come in. And what they found was a 750 liter tank filled with liquid explosives connected to two detonators and a timer.

Now, this happened early in the morning, before employees of the U.S. consulate arrived on the scene. The understanding or the assumption by officials is that they were trying to time this to explode when employees were going to the U.S. consulate.

Now, the bomb disposal unit was able to disarm this bomb. It was moved away from the consulate and then disarmed.

Now, back in June of 2002, an explosion did go off in front of the U.S. consulate that killed 14 Pakistanis. We understand that it was a very similar type of setup inside of a van that was detonated at that time.

Since then, the U.S. consulate in Karachi has raised its walls, has moved its personnel further back into the compound and this road that is used for traffic is usually closed off for just this type of incident.

So a major disaster averted today -- Carol.

COSTELLO: Certainly so.

Ash-Har Quraishi live from Islamabad this morning.

A year, a year already gone by, shock and awe and the war in Iraq began one year ago this week. And this was the scene back then -- anti-war protesters taking to the streets around the world, from here to London to Madrid to Istanbul. Back then, rallies inside Iraq were orchestrated by President Saddam Hussein against the U.S. invasion. But the U.S. did invade. And after about six weeks of combat, Saddam Hussein's government fell.

Before all of that, just days before the invasion, Iraq was trying to work a diplomatic angle to end the crisis.

CNN's Nic Robertson was one of the few correspondents in Iraq at that time and as he reported, the mood was tense.

(BEGIN VIDEO CLIP)

NIC ROBERTSON, CNN CORRESPONDENT: We know that Iraqi officials are very aware of the divisions at the U.N. Security Council. They know that the diplomatic clock, if you will, is ticking down right now. They know that the timing of meetings at this, right now, is very critical and hence it appears they have thrown their card into this, into the mix right at this very critical time.

Nic Robertson, CNN, Baghdad.

(END VIDEO CLIP)

COSTELLO: Of course, a lot has changed since our Nic Robertson filed that report. There is an interim constitution in Iraq and a march toward a democratically elected government.

How is the one year anniversary resonating for Iraqis?

Let's head live to Baghdad and our bureau chief, Jane Arraf -- hello, Jane.

JANE ARRAF, CNN CORRESPONDENT: Hi, Carol.

You know, a lot of Iraqis are looking forward, as well as back. And a year ago, we have to remember, this threat of war hanging over them, it was an incredible atmosphere, one we had actually seen many times before. This was a country where a lot of people have lived through three wars. And in between those wars the almost constant threat of war.

So then they were concerned, they were terrified about the prospect of the bombing, about what would happen. Now, a million things have changed.

There are so many things that have changed -- the democracy that you mentioned, that march towards it. But there's still so much uncertainty and there's still quite a lot of fear about exactly what is going to happen in this new Iraq, this new country that's really being created out of the ashes of what happened after the war -- Carol.

COSTELLO: On the subject of Saddam Hussein and his possible trial -- and I know it's pending and it probably will take some time -- what is the feeling about that amongst the Iraqi people?

ARRAF: Well, almost every Iraqi, I would venture to say, really wants him brought back to stand trial. And the things they want to do to him, many of them, really aren't -- don't bear repeating. But they want -- and let's be clear about this -- they want vengeance. People really want revenge, those of them who have had their lives ruined, those of them who have been touched by this, those of them who have lived through more than 30 years of dictatorship.

Now, there still is some support out there for Saddam Hussein. But the vast majority of people do want to see him brought back. They want him in Iraqi hands and they want to be able to ask him those questions that they were never able to ask him -- why did you do all of this?

Carol? COSTELLO: Just one more question, because I'm curious. You, as a correspondent working a long time in Baghdad, how have things changed for you, as far as your job goes?

ARRAF: It is like another planet. I covered Iraq under Saddam probably more than five times longer than I've covered it without Saddam, and I still have many moments where I look out and I'm absolutely amazed that there are demonstrations going on, that there are -- that we can walk out in the street with a camera, not under supervision.

In some senses, Carol, it's almost harder because of the security. There are a lot of security restrictions here, just as there were a lot of restrictions under Saddam. But this is an almost entirely new country, for good and bad, with all of the joy and terror that that entails. And people who have been here, people who have lived here feel it most acutely, what an incredible difference this is, this new Iraq, for good and bad, as I say.

The future is uncertain but the present is really quite amazing -- Carol.

COSTELLO: Jane Arraf reporting live from Baghdad this morning.

All this week, CNN will have coverage of the Iraq -- coverage of Iraq, rather, one year later. we'll talk to journalists, the generals and the soldiers who were there, some who are still there, and we'll follow up on some of the stories CNN reported from Iraq just one year ago.

To the forecast center.

Let's check in with Chad right now -- good morning.

(WEATHER REPORT)

COSTELLO: All right, thank you, Chad.

And -- Chad?

CHAD MYERS, CNN CORRESPONDENT: Yes, ma'am?

COSTELLO: As you know, we are starting something new here on DAYBREAK.

MYERS: Yes?

COSTELLO: It's called the morning coffee quiz.

MYERS: Right.

COSTELLO: You could win your very own DAYBREAK coffee mug.

MYERS: That we're just making right now.

COSTELLO: That's right. MYERS: They're not even made yet.

COSTELLO: No, they're still in the factory somewhere, I don't know. But you could win your own DAYBREAK coffee mug if you answer two news questions. Just before 7:00 Eastern, we'll ask you two questions based on the news in this hour. You can e-mail your answers to us at daybreak@cnn.com. We'll pick the winner tomorrow morning at 10 minutes after 6:00 Eastern. If you are selected and you are correct, you get the DAYBREAK coffee mug. It's that simple.

MYERS: We guarantee it'll look better than that one.

COSTELLO: Yes. Yes. A much better design. So we'll ask you two questions just before 7:00 Eastern and then the next day we'll announce the winners and we'll send the winners or winner the coffee mug.

MYERS: And I will turn the letters.

COSTELLO: Yes, you will. You're our Vanna White.

Thank you, Chad.

MYERS: I'd buy a vowel -- back to you.

COSTELLO: Still to come on DAYBREAK, record high prices at the pumps -- is there no end in sight?

And taking no chances -- travelers try to prevent more terror on public transportation.

And on the trail, the latest volleys between the Kerry and Bush camps.

And they love their Luciano -- we'll tell you why there is so much applause for Pavarotti.

This is DAYBREAK for March 15.

(COMMERCIAL BREAK)

COSTELLO: 6:15 Eastern time.

Time to take a quick look at the top stories now.

Spain's new Socialist prime minister elect says he will pull his country's troops out of Iraq. Spain has 1,300 troops there.

A bomb apparently meant for the U.S. consulate in Karachi, Pakistan was defused today. Police found a tank filled with nearly 200 gallons of liquid explosives inside a stolen minivan.

And investigators today are trying to learn how a woman fell to her death from a ride at an amusement park in Tennessee.

We update the top stories every 15 minutes. The next update comes your way at 6:30 Eastern.

Focusing on firefighters, that is John Kerry's aim this morning. He addresses the firefighters annual conference in Washington. The Democratic presidential candidate has been speaking to packed crowds in Pennsylvania and Ohio. Both are considered crucial battleground states. Kerry has been talking about health care, the economy and jobs.

And surrogates for President Bush took to the Sunday talk shows to hit back at the Kerry camp for its criticism. Secretary of State Colin Powell, Defense Secretary Donald Rumsfeld and National Security Advisor Condoleezza Rice took issue with Kerry's charges and his positions on several issues.

Time for a little business buzz now.

You may want to hit the ATM before filling your tank. Why? Gas prices are at a record high. I sound like a broken record myself, don't I?

Carrie Lee has more, live from the NASDAQ market site.

It's insane -- Carrie.

Insane.

CARRIE LEE, CNN CORRESPONDENT: I know, Carol. Every week we talk about this and the price is getting a little bit higher. Gasoline prices now hitting an average $1.77 for all grades. This is a record high, rising 1 1/3 cents in the past two weeks. Gas prices are up nearly $0.26 so far this year and they're not expected to be falling any time soon, although they're not expected to rise much higher, either, according to the Lundberg survey.

Now, the previous high for gasoline, the average record high, was a May, 2001 price of $1.76. We're $0.01 above that level. As has been the case lately, California really getting hurt the most due to state's strict environmental rules; also, sales tax at gasoline pumps. Last week California gas prices did drop about a $0.01, but still, Carol, $2.10 a gallon on average there. So, people certainly watching their wallets, watching their money, watching their money go into the gas tanks lately.

COSTELLO: I was going to say, watching their money come out of their wallets and go away.

LEE: Exactly. Yes.

COSTELLO: A quick look at the futures?

LEE: Things looking pretty weak this morning. It looks like maybe some terrorism fears continuing to weigh on stocks. We saw a lot of selling last week. The Dow down 3.4 percent no the week. The NASDAQ lower, as well. Despite those very nice gains for the bulls we saw on Friday. EDS, Electronic Data Systems, in focus today. This is a big technology services provider. They're selling one of their software development units for about $2 billion, basically trying to sell assets that aren't part of its primary business. We'll see how the stock does today, Carol, EDS -- back to you.

COSTELLO: All right, many thanks.

Carrie Lee reporting live from the NASDAQ market site.

Coming up, a hard landing, to say the least. Let's say you're driving down the road in your pickup and a plane lands right on top of you. Hmm, it happened. We'll tell you about it.

And we'll also have a live report out of the Middle East. After the latest violence, Ariel Sharon is expected to speak about a possible Israeli withdrawal from Gaza and parts of the West Bank.

And our DAYBREAK Photo Of the Day. Oh, what is it? I think we've pixilated that too much. We'll give you the answer after the break, and an update, too.

(COMMERCIAL BREAK)

COSTELLO: Welcome back to DAYBREAK.

An update on the water taxi tragedy tops other news from across America this morning.

Divers will be back in the water today in Baltimore's Inner Harbor. Two of three missing victims of the March 6 accident have now been recovered. The two bodies were that of an adult male and a male child. Five people in all died in that accident.

In Alaska, a new team is ahead in the Iditarod sled dog race. Charles Boulding has mushed his way into first, overtaking Norwegian Kjetil Backen, after one of his dogs died. The animal collapsed within a half mile of a checkpoint. Ooh.

And near Orlando, Florida, this amateur video shows where a single plane landed -- or ended up, rather, after attempting an emergency landing. The impact caved in the truck's roof and shattered the windows. But let me go back. The plane actually did the emergency landing and landed right on top of that pickup truck's roof. The pickup truck was driving down the road when a surprise for the driver. The driver was not hurt, the pilot was not hurt. It was a happy ending in the end. But imagine your surprise driving down the road and oomph, a plane lands on top of you.

Also this, yes, it's carnival time in Miami. Folks get down to the Calle Ocho, Spanish for Eighth Street. It's a music festival celebrating Hispanic culture. Twenty-three blocks of Eighth Street in Little Havana shut down for up to one million hardy partiers.

All right, did you figure it out? If you did, you're amazing because -- Chad, do you even want to guess? MYERS: You know, I looked at it and I don't know, it looks like a shot out of something with sky in the background. I really don't have any idea what this one is.

COSTELLO: I think we're going to have to talk to the graphics people. They're hiding the image too much.

MYERS: Something to do with...

COSTELLO: Something to do with...

MYERS: With, you know, the...

COSTELLO: With a glacier in Argentina, is that what you were going to say

MYERS: Oh. No, I was going to say something about one of the Jacksons being, you know, something.

COSTELLO: Well, let's just skip over that topic. This is 220 feet of this glacier's front wall.

MYERS: I can tell, yes.

COSTELLO: It actually fell yesterday, the first time in 16 years, and tourists were watching, and I bet they got some beautiful pictures just like that one there.

MYERS: Wow.

COSTELLO: So there you have it.

MYERS: Now if you wouldn't have pixilated it, I could have told you what that probably was. Yes, too many pixels going on.

COSTELLO: Yes.

MYERS: Or not enough.

(WEATHER REPORT)

COSTELLO: And, Chad?

MYERS: Yes, ma'am?

COSTELLO: We're telling people again that we are starting something new here on DAYBREAK. It is called the morning coffee quiz. We're going give away DAYBREAK coffee mugs designed by our own executive producer, Brian Bell.

MYERS: I can't wait to see them.

COSTELLO: Me, too.

MYERS: I hope it's not pixilated. COSTELLO: I hope it's not pixilated, too. We're going to ask you two news questions right before 7:00 a.m. Eastern time. If you answer those two questions right -- and, of course, those questions will be based on what we've told you on DAYBREAK, so it'll be easy -- e-mail your answers to us, daybreak@cnn.com. And then the next day we will declare the winner and we will be sending you a DAYBREAK coffee mug.

All right, we know there is poverty, but in the middle of political chaos, what is life in Haiti like? We'll find out from the priest who's there to help. Father Paul Carrier will join us live.

And we'll hear from the son of the man suspected of killing nine people, most of them his own children, in his home.

(COMMERCIAL BREAK)

COSTELLO: And good morning to you.

Welcome back to DAYBREAK.

I'm Carol Costello.

It is Monday, March 15th.

Thank you for joining us.

In Pakistan today, police in Karachi defuse a bomb found inside of a stolen minivan. It had been left outside the walls of the U.S. consulate. In 2002 a bomb outside that very same consulate killed 12 Pakistanis.

Three key senators are looking for a way to get other countries to help the United States in Afghanistan. They're suggesting the U.S. might pull troops out of Afghanistan to make their point.

Gasoline prices in the States have reached a record high. The national average now stands at $1.77. Just this year, the average price has risen by nearly $0.26 a gallon.

Attorney General John Ashcroft is home this morning after surgery to remove his gallbladder. He underwent the surgery last week, but it's not known just when he will return to work.

We update the top stories every 15 minutes. The next update comes your way at 6:45 Eastern.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com




With Explosives Found Outside U.S. Consulate in Pakistan>


Aired March 15, 2004 - 06:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Good morning to you.
It is Monday, March 15.

From the CNN global headquarters in Atlanta, I'm Carol Costello.

Thanks for being with us this morning.

Spain's prime minister elect says he will keep his campaign pledge. He will recall Spain's 1,300 peacekeeping troops from Iraq by June 30. That means he'll take those Spanish troops out of Iraq.

Police in Karachi, Pakistan head off a potential threat to the U.S. consulate. A large bomb left in a stolen van outside the consulate is defused.

Court is dark in the Scott Peterson trial today, but defense attorney Mark Geragos is still busy. He plans to file a motion for a second change of venue.

In Fresno, California, police are investigating whether the suspected killer of nine family members was helped by one of the victims.

And a Tennessee woman falls 60 feet to her death from an amusement park ride. Police and the ride's maker are trying to find out why.

We update the top stories every 15 minutes. The next update comes your way at 6:15 Eastern.

This hour's top story, links to al Qaeda, no definitive evidence yet, but Spain's Conservatives are out of office and Spanish troops are getting out of investigate.

Live to Madrid now and CNN's Alessio Vinci, where a moment of silence is now being observed -- Alessio, tell us about it.

ALESSIO VINCI, CNN CORRESPONDENT: Good morning, Carol.

That moment of silence has not started yet. I'm standing at the Atocha train station in central Madrid. It is here that last Thursday most of the victims were killed when the bombs exploded on the train. We understand that that moment of silence about to start any time soon. We're going to pause for that when that happens. But in the meantime, I wanted to share with you a little bit of what's happening around us here. As you can see, at the main entrance of the train station, there are still candles and flowers and messages that the thousands of people, tens, thousands of residents here of Madrid and the people arriving here have laid down in respect of the victims that have died here. As you can see, some of the candles are still lit; many, many, many flowers; a lot of messages, of course, also on the walls of the train station, messages blaming both ETA, al Qaeda, blaming the government for bringing this country to war.

It's been a very difficult time for the Spanish people here ever since Thursday. Those terrorist attacks also came at a time of a national election where the Conservative Party, up until the moment those attacks took place, was leading in all the polls. Those attacks then took place and in the days following that attacks, a change of mood in the country that led to the victory, to the unexpected and surprise victory of the Socialist Party against the Conservative government of Prime Minister Jose Maria Aznar, who has been blamed in this election pretty much for dragging this country into a war.

Now, it is still unclear exactly who may have committed those attacks. However, investigators now are leaning towards the possibility of involvement of Islamic militants, including possibly al Qaeda. People here really punished the country -- punished the government for dragging the country into a war -- back to you, Carol.

COSTELLO: And, Alessio, is it for sure that those Spanish troops will be pulled out of Iraq?

VINCI: Well, this is the, one of the campaign, one of the main campaign pledges that the incoming prime minister has made throughout the political campaign. However, he also has said that he would not withdraw those troops if the United Nations were to pass the resolution in support of a military presence, of an international military presence backed by the U.N. Therefore, it is unclear how the U.N. is going to vote in the coming months, up to the moment where the United States is going to hand over to an interim administration in Iraq.

So if there were to be a U.N. mandate, a U.N. resolution calling for an international military presence in Iraq, at that point possibly those 1,300 troops that Spain is contributing to the multinational force will remain.

Again, it's just a small fraction, less than one percent of the total military presence in Iraq, but nevertheless the coalition of the willing, if you want, really needs the support of all the countries, including Spain -- back to you, Carol.

COSTELLO: Yes, the symbolism here is quite important.

Alessio Vinci reporting live from Madrid this morning.

A van packed with explosives was found outside the U.S. consulate in Karachi, Pakistan two days before Colin Powell, the secretary of state, is due to arrive in that country. Let's head live to Ash-Har Quraishi.

He's live in Pakistan, in Islamabad this morning -- what happened, Ash-Har?

ASH-HAR QURAISHI, CNN CORRESPONDENT: Well, Carol, officials tell us that a major disaster was averted this morning as a paramilitary troop that was posted outside the U.S. consulate in Karachi saw this van being parked by either one or two individuals near the compound and he approached that van, in which he found some suspicious material and he called the bomb disposal experts to come in. And what they found was a 750 liter tank filled with liquid explosives connected to two detonators and a timer.

Now, this happened early in the morning, before employees of the U.S. consulate arrived on the scene. The understanding or the assumption by officials is that they were trying to time this to explode when employees were going to the U.S. consulate.

Now, the bomb disposal unit was able to disarm this bomb. It was moved away from the consulate and then disarmed.

Now, back in June of 2002, an explosion did go off in front of the U.S. consulate that killed 14 Pakistanis. We understand that it was a very similar type of setup inside of a van that was detonated at that time.

Since then, the U.S. consulate in Karachi has raised its walls, has moved its personnel further back into the compound and this road that is used for traffic is usually closed off for just this type of incident.

So a major disaster averted today -- Carol.

COSTELLO: Certainly so.

Ash-Har Quraishi live from Islamabad this morning.

A year, a year already gone by, shock and awe and the war in Iraq began one year ago this week. And this was the scene back then -- anti-war protesters taking to the streets around the world, from here to London to Madrid to Istanbul. Back then, rallies inside Iraq were orchestrated by President Saddam Hussein against the U.S. invasion. But the U.S. did invade. And after about six weeks of combat, Saddam Hussein's government fell.

Before all of that, just days before the invasion, Iraq was trying to work a diplomatic angle to end the crisis.

CNN's Nic Robertson was one of the few correspondents in Iraq at that time and as he reported, the mood was tense.

(BEGIN VIDEO CLIP)

NIC ROBERTSON, CNN CORRESPONDENT: We know that Iraqi officials are very aware of the divisions at the U.N. Security Council. They know that the diplomatic clock, if you will, is ticking down right now. They know that the timing of meetings at this, right now, is very critical and hence it appears they have thrown their card into this, into the mix right at this very critical time.

Nic Robertson, CNN, Baghdad.

(END VIDEO CLIP)

COSTELLO: Of course, a lot has changed since our Nic Robertson filed that report. There is an interim constitution in Iraq and a march toward a democratically elected government.

How is the one year anniversary resonating for Iraqis?

Let's head live to Baghdad and our bureau chief, Jane Arraf -- hello, Jane.

JANE ARRAF, CNN CORRESPONDENT: Hi, Carol.

You know, a lot of Iraqis are looking forward, as well as back. And a year ago, we have to remember, this threat of war hanging over them, it was an incredible atmosphere, one we had actually seen many times before. This was a country where a lot of people have lived through three wars. And in between those wars the almost constant threat of war.

So then they were concerned, they were terrified about the prospect of the bombing, about what would happen. Now, a million things have changed.

There are so many things that have changed -- the democracy that you mentioned, that march towards it. But there's still so much uncertainty and there's still quite a lot of fear about exactly what is going to happen in this new Iraq, this new country that's really being created out of the ashes of what happened after the war -- Carol.

COSTELLO: On the subject of Saddam Hussein and his possible trial -- and I know it's pending and it probably will take some time -- what is the feeling about that amongst the Iraqi people?

ARRAF: Well, almost every Iraqi, I would venture to say, really wants him brought back to stand trial. And the things they want to do to him, many of them, really aren't -- don't bear repeating. But they want -- and let's be clear about this -- they want vengeance. People really want revenge, those of them who have had their lives ruined, those of them who have been touched by this, those of them who have lived through more than 30 years of dictatorship.

Now, there still is some support out there for Saddam Hussein. But the vast majority of people do want to see him brought back. They want him in Iraqi hands and they want to be able to ask him those questions that they were never able to ask him -- why did you do all of this?

Carol? COSTELLO: Just one more question, because I'm curious. You, as a correspondent working a long time in Baghdad, how have things changed for you, as far as your job goes?

ARRAF: It is like another planet. I covered Iraq under Saddam probably more than five times longer than I've covered it without Saddam, and I still have many moments where I look out and I'm absolutely amazed that there are demonstrations going on, that there are -- that we can walk out in the street with a camera, not under supervision.

In some senses, Carol, it's almost harder because of the security. There are a lot of security restrictions here, just as there were a lot of restrictions under Saddam. But this is an almost entirely new country, for good and bad, with all of the joy and terror that that entails. And people who have been here, people who have lived here feel it most acutely, what an incredible difference this is, this new Iraq, for good and bad, as I say.

The future is uncertain but the present is really quite amazing -- Carol.

COSTELLO: Jane Arraf reporting live from Baghdad this morning.

All this week, CNN will have coverage of the Iraq -- coverage of Iraq, rather, one year later. we'll talk to journalists, the generals and the soldiers who were there, some who are still there, and we'll follow up on some of the stories CNN reported from Iraq just one year ago.

To the forecast center.

Let's check in with Chad right now -- good morning.

(WEATHER REPORT)

COSTELLO: All right, thank you, Chad.

And -- Chad?

CHAD MYERS, CNN CORRESPONDENT: Yes, ma'am?

COSTELLO: As you know, we are starting something new here on DAYBREAK.

MYERS: Yes?

COSTELLO: It's called the morning coffee quiz.

MYERS: Right.

COSTELLO: You could win your very own DAYBREAK coffee mug.

MYERS: That we're just making right now.

COSTELLO: That's right. MYERS: They're not even made yet.

COSTELLO: No, they're still in the factory somewhere, I don't know. But you could win your own DAYBREAK coffee mug if you answer two news questions. Just before 7:00 Eastern, we'll ask you two questions based on the news in this hour. You can e-mail your answers to us at daybreak@cnn.com. We'll pick the winner tomorrow morning at 10 minutes after 6:00 Eastern. If you are selected and you are correct, you get the DAYBREAK coffee mug. It's that simple.

MYERS: We guarantee it'll look better than that one.

COSTELLO: Yes. Yes. A much better design. So we'll ask you two questions just before 7:00 Eastern and then the next day we'll announce the winners and we'll send the winners or winner the coffee mug.

MYERS: And I will turn the letters.

COSTELLO: Yes, you will. You're our Vanna White.

Thank you, Chad.

MYERS: I'd buy a vowel -- back to you.

COSTELLO: Still to come on DAYBREAK, record high prices at the pumps -- is there no end in sight?

And taking no chances -- travelers try to prevent more terror on public transportation.

And on the trail, the latest volleys between the Kerry and Bush camps.

And they love their Luciano -- we'll tell you why there is so much applause for Pavarotti.

This is DAYBREAK for March 15.

(COMMERCIAL BREAK)

COSTELLO: 6:15 Eastern time.

Time to take a quick look at the top stories now.

Spain's new Socialist prime minister elect says he will pull his country's troops out of Iraq. Spain has 1,300 troops there.

A bomb apparently meant for the U.S. consulate in Karachi, Pakistan was defused today. Police found a tank filled with nearly 200 gallons of liquid explosives inside a stolen minivan.

And investigators today are trying to learn how a woman fell to her death from a ride at an amusement park in Tennessee.

We update the top stories every 15 minutes. The next update comes your way at 6:30 Eastern.

Focusing on firefighters, that is John Kerry's aim this morning. He addresses the firefighters annual conference in Washington. The Democratic presidential candidate has been speaking to packed crowds in Pennsylvania and Ohio. Both are considered crucial battleground states. Kerry has been talking about health care, the economy and jobs.

And surrogates for President Bush took to the Sunday talk shows to hit back at the Kerry camp for its criticism. Secretary of State Colin Powell, Defense Secretary Donald Rumsfeld and National Security Advisor Condoleezza Rice took issue with Kerry's charges and his positions on several issues.

Time for a little business buzz now.

You may want to hit the ATM before filling your tank. Why? Gas prices are at a record high. I sound like a broken record myself, don't I?

Carrie Lee has more, live from the NASDAQ market site.

It's insane -- Carrie.

Insane.

CARRIE LEE, CNN CORRESPONDENT: I know, Carol. Every week we talk about this and the price is getting a little bit higher. Gasoline prices now hitting an average $1.77 for all grades. This is a record high, rising 1 1/3 cents in the past two weeks. Gas prices are up nearly $0.26 so far this year and they're not expected to be falling any time soon, although they're not expected to rise much higher, either, according to the Lundberg survey.

Now, the previous high for gasoline, the average record high, was a May, 2001 price of $1.76. We're $0.01 above that level. As has been the case lately, California really getting hurt the most due to state's strict environmental rules; also, sales tax at gasoline pumps. Last week California gas prices did drop about a $0.01, but still, Carol, $2.10 a gallon on average there. So, people certainly watching their wallets, watching their money, watching their money go into the gas tanks lately.

COSTELLO: I was going to say, watching their money come out of their wallets and go away.

LEE: Exactly. Yes.

COSTELLO: A quick look at the futures?

LEE: Things looking pretty weak this morning. It looks like maybe some terrorism fears continuing to weigh on stocks. We saw a lot of selling last week. The Dow down 3.4 percent no the week. The NASDAQ lower, as well. Despite those very nice gains for the bulls we saw on Friday. EDS, Electronic Data Systems, in focus today. This is a big technology services provider. They're selling one of their software development units for about $2 billion, basically trying to sell assets that aren't part of its primary business. We'll see how the stock does today, Carol, EDS -- back to you.

COSTELLO: All right, many thanks.

Carrie Lee reporting live from the NASDAQ market site.

Coming up, a hard landing, to say the least. Let's say you're driving down the road in your pickup and a plane lands right on top of you. Hmm, it happened. We'll tell you about it.

And we'll also have a live report out of the Middle East. After the latest violence, Ariel Sharon is expected to speak about a possible Israeli withdrawal from Gaza and parts of the West Bank.

And our DAYBREAK Photo Of the Day. Oh, what is it? I think we've pixilated that too much. We'll give you the answer after the break, and an update, too.

(COMMERCIAL BREAK)

COSTELLO: Welcome back to DAYBREAK.

An update on the water taxi tragedy tops other news from across America this morning.

Divers will be back in the water today in Baltimore's Inner Harbor. Two of three missing victims of the March 6 accident have now been recovered. The two bodies were that of an adult male and a male child. Five people in all died in that accident.

In Alaska, a new team is ahead in the Iditarod sled dog race. Charles Boulding has mushed his way into first, overtaking Norwegian Kjetil Backen, after one of his dogs died. The animal collapsed within a half mile of a checkpoint. Ooh.

And near Orlando, Florida, this amateur video shows where a single plane landed -- or ended up, rather, after attempting an emergency landing. The impact caved in the truck's roof and shattered the windows. But let me go back. The plane actually did the emergency landing and landed right on top of that pickup truck's roof. The pickup truck was driving down the road when a surprise for the driver. The driver was not hurt, the pilot was not hurt. It was a happy ending in the end. But imagine your surprise driving down the road and oomph, a plane lands on top of you.

Also this, yes, it's carnival time in Miami. Folks get down to the Calle Ocho, Spanish for Eighth Street. It's a music festival celebrating Hispanic culture. Twenty-three blocks of Eighth Street in Little Havana shut down for up to one million hardy partiers.

All right, did you figure it out? If you did, you're amazing because -- Chad, do you even want to guess? MYERS: You know, I looked at it and I don't know, it looks like a shot out of something with sky in the background. I really don't have any idea what this one is.

COSTELLO: I think we're going to have to talk to the graphics people. They're hiding the image too much.

MYERS: Something to do with...

COSTELLO: Something to do with...

MYERS: With, you know, the...

COSTELLO: With a glacier in Argentina, is that what you were going to say

MYERS: Oh. No, I was going to say something about one of the Jacksons being, you know, something.

COSTELLO: Well, let's just skip over that topic. This is 220 feet of this glacier's front wall.

MYERS: I can tell, yes.

COSTELLO: It actually fell yesterday, the first time in 16 years, and tourists were watching, and I bet they got some beautiful pictures just like that one there.

MYERS: Wow.

COSTELLO: So there you have it.

MYERS: Now if you wouldn't have pixilated it, I could have told you what that probably was. Yes, too many pixels going on.

COSTELLO: Yes.

MYERS: Or not enough.

(WEATHER REPORT)

COSTELLO: And, Chad?

MYERS: Yes, ma'am?

COSTELLO: We're telling people again that we are starting something new here on DAYBREAK. It is called the morning coffee quiz. We're going give away DAYBREAK coffee mugs designed by our own executive producer, Brian Bell.

MYERS: I can't wait to see them.

COSTELLO: Me, too.

MYERS: I hope it's not pixilated. COSTELLO: I hope it's not pixilated, too. We're going to ask you two news questions right before 7:00 a.m. Eastern time. If you answer those two questions right -- and, of course, those questions will be based on what we've told you on DAYBREAK, so it'll be easy -- e-mail your answers to us, daybreak@cnn.com. And then the next day we will declare the winner and we will be sending you a DAYBREAK coffee mug.

All right, we know there is poverty, but in the middle of political chaos, what is life in Haiti like? We'll find out from the priest who's there to help. Father Paul Carrier will join us live.

And we'll hear from the son of the man suspected of killing nine people, most of them his own children, in his home.

(COMMERCIAL BREAK)

COSTELLO: And good morning to you.

Welcome back to DAYBREAK.

I'm Carol Costello.

It is Monday, March 15th.

Thank you for joining us.

In Pakistan today, police in Karachi defuse a bomb found inside of a stolen minivan. It had been left outside the walls of the U.S. consulate. In 2002 a bomb outside that very same consulate killed 12 Pakistanis.

Three key senators are looking for a way to get other countries to help the United States in Afghanistan. They're suggesting the U.S. might pull troops out of Afghanistan to make their point.

Gasoline prices in the States have reached a record high. The national average now stands at $1.77. Just this year, the average price has risen by nearly $0.26 a gallon.

Attorney General John Ashcroft is home this morning after surgery to remove his gallbladder. He underwent the surgery last week, but it's not known just when he will return to work.

We update the top stories every 15 minutes. The next update comes your way at 6:45 Eastern.

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With Explosives Found Outside U.S. Consulate in Pakistan>