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CNN Live At Daybreak

Latest from Madrid; Effort to Find Bin Laden

Aired March 17, 2004 - 05:00   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: Top of the morning to you.
It is St. Patrick's Day, Wednesday, March 17.

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

Thank you for being with us this morning.

Israel strikes back after a suicide bombing. Four Palestinians are killed, 23 wounded in air and ground attacks in Gaza.

Secretary of State Colin Powell arrives for talks in the Afghan capital while farther south, U.S. forces launch a new operation against al Qaeda.

The Red Cross has a plan to ferry emergency supplies and vehicles to Washington in case of a terrorist attack. The "Washington Post" reports military style landing craft would be used to cross the Potomac River.

And Vice President Dick Cheney says America's leaders must be unwavering in their commitment to the war on terror. Cheney speaks later today at the Reagan Presidential Library.

We update the top stories every 15 minutes. The next news update comes your way at 5:15 Eastern.

In Spain, investigators believe they know the identities of at least six, possibly as many as eight Moroccans, who were behind last week's train bombings.

Live to Madrid now for the latest from Alessio Vinci -- hello, Alessio.

ALESSIO VINCI, CNN CORRESPONDENT: Hello to you, Carol.

The latest on the investigation, at this time, Spanish investigators are saying that six suspects have been identified, all of them from Morocco. We do understand at this time one of them is already in custody. He was arrested last Saturday before the election. His name is Jamal Zougam. He's a 30-year-old man. Two witnesses are placing him at the scene.

Mr. Zougam is not new to the Spanish investigators. He is mentioned, his name is mentioned in an anti-terror indictment that Spanish prosecutors filed early last year linking this man to an al Qaeda ringleader here in Madrid. Also, the Spanish police has announced that they made another arrest of an Algerian national who was arrested in the northern city of San Sebastian, in the Basque region of Spain. This man has been arrested because earlier this year, in January, he was questioned by police in a minor incident and during that questioning he said, he predicted or he actually warned police that there will be a lot of dead people in Atocha. Now, Atocha is the train station where I'm standing right now here. The vast majority of the people that were killed, that were the victims of the attack were killed in two trains here at the Atocha train station. As you can see behind me here, a lot of people here still coming to bring some flowers, to light some candles to show their respects.

Now, of course, in addition to the 201 victims of this attack, there were also a lot of wounded people and many survivors.

And here is the story of one family that is still coping with that attack.

(BEGIN VIDEOTAPE)

VINCI (voice-over): Life couldn't be harder these days for Maria Beltran. A native from Ecuador, her sister, Lourdes, was traveling with her husband on one of the trains terrorists blew up last week.

"They were on the last car of the train, where one of the bombs was planted," Maria says her sister has told her. "She saw the door blowing up and the next thing she remembers is lying surrounded by stones on the rail track."

Maria spends most of her time at this hospital, where Lourdes is recovering from internal injuries. Lourdes' husband, Neal (ph), seen here the day their only daughter was born, did not survive the attack.

"Now that she knows her husband is dead," she says, "we are hoping Lourdes recovers well, especially for the little girl."

Even then, problems are likely to continue for this family. The 1-year-old baby has a serious heart problem and doctors have told the family she may need a transplant. Maria says those who carried out the attacks, no matter who they are, deserve nothing less than death.

One of the suspects lived in the Lavapies District of the Spanish capital, a working class neighborhood populated by many immigrants like Maria's family. He worked in this shop selling and repairing cell phones, which has been closed ever since his arrest last Saturday. Down the street, residents say there was nothing out of the ordinary about him and the people he spent time with.

"Normal. Are they assassins?," he says. "I don't think so. Normal people who worked and went about their lives."

Thirty-six-year-old Rasheed (ph), a Moroccan like some of the suspects, arrived here only a month ago.

"I don't think they did it," he says, referring to the suspect and his alleged accomplices. But he adds, "The attacks cast a bad light on immigrants here. Terrorism doesn't serve anybody," he says. "Now we are all afraid, especially those who live here illegally."

(END VIDEOTAPE)

VINCI: And for the victims of last Thursday's attacks who happened to be illegal immigrants, there might be a consolation. The Spanish government has vowed to put them on a fast track to become legal and eventually even get citizenship, a passport, for some of them, perhaps, away to begin a new life just a few days after being so close to death -- Carol.

COSTELLO: Alessio Vinci, many thanks, live from Madrid, Spain this morning.

A second county in Oregon plans to issue same-sex marriage licenses. That tops our look at Stories Across America.

In Corvallis, the Board of Commissioners of Benton County voted to begin issuing licenses next Wednesday. On Monday, commissioners in Multnomah County decided to ignore the state attorney general and issue same-sex marriage licenses. That's Oregon's largest county.

You have seen these unmanned aerial surveillance vehicles over Afghanistan and Iraq. Now the drones are going to be used along Arizona's border with Mexico. The Border Patrol says the drones will be used to look for illegal immigrants, drug smugglers and possibly terrorists. It's part of a $10 million surveillance effort that also includes more Border Patrol agents and detention facilities.

And just a reminder, spring does not officially start until this weekend. No reminder needed in the Northeast. A snowstorm moving in from the Midwest has caused numerous highway accidents. Some schools and businesses closed early on Tuesday and more won't even open today.

Afghanistan -- it was the first front in the war on terror and it's still an active one. Secretary of State Colin Powell is there today for talks with Afghan officials and U.S. generals.

Powell spoke to reporters about the current U.S. strategy to root out the Taliban and al Qaeda pockets.

(BEGIN VIDEO CLIP)

COLIN POWELL, SECRETARY OF STATE: If Taliban elements are forced from Pakistan back into Afghanistan as a result of actions on the Pakistan side of the border, I'm sure that our military forces here, working with Afghan forces, will deal with those elements.

(END VIDEO CLIP)

COSTELLO: And let's get more on efforts to find bin Laden and on Powell's trip. U.S. forces are aggressively searching for the al Qaeda leader in the rugged eastern and southeastern border areas of Afghanistan.

Ryan Chilcote is near Kabul with more on this squeeze play -- Ryan, tell us more about it.

RYAN CHILCOTE, CNN CORRESPONDENT: Well, that's exactly the hope and expectation Colin Powell was alluding to there. The hope and expectation of the U.S. military is that Pakistan will keep the pressure up on those tribal elders and will keep the military pressure on that western part of Pakistan, a very remote tribal area. The hope, of course, of U.S. military leaders is that if the Taliban and al Qaeda fighters that they believe are there are not killed or turned over to the Pakistani officials, then at least they will be pushed out. And if they're pushed westward, just as the secretary of state, Colin Powell, said there, the U.S. military, working together with the Afghan National Army, which is an army that the United States is training right now here in Afghanistan to obey the federal government, then those elements will be prepared to deal with them.

Of course, one thing that the secretary of state didn't mention there is it is always possible that if the Taliban and al Qaeda fighters that are in western Pakistan are not -- they could decide not to move westward, but they could move to the north or south.

Now, the U.S. military offensive that is charged with hunting Taliban and al Qaeda in that border area is called Operation Mountain Storm. It's really a continuation of the previous operations we've seen in that area. U.S. military officials here on the ground are very careful to say that this isn't a hunt for Osama bin Laden. They say that they really just want to keep the pressure on all Taliban and al Qaeda leaders. But that probably has more to do with the fact that they don't want to be seen looking for bin Laden and not finding him. So privately they do say that they are hopeful that they will be able to catch him. They do believe, at least some officials do believe that he could be in that lawless region of western Pakistan.

COSTELLO: Ryan Chilcote reporting live from Afghanistan.

Saddam Hussein isn't giving up much information to U.S. investigators. Deputy Secretary of State Richard Armitage says he's scanned the debriefs and describes the former Iraqi dictator as a wily guy who seems to be enjoying the debate. The CIA is taking a lead role in interrogating Saddam at a secret location in Iraq.

Let's head to the forecast center now and check in with Chad -- good morning.

CHAD MYERS, CNN CORRESPONDENT: Good morning, Carol.

(WEATHER REPORT)

COSTELLO: John Moroney from our Hartford affiliate WFSB is in Willington, Connecticut and he's going to bring us up to date on the terrible weather there -- good morning.

JOHN MORONEY, WFSB CORRESPONDENT: Good morning, Carol.

Actually, the snow has topped here in the last half hour or so. It has become very cold, though. The wind has picked up within the last 10 or 15 minutes. We are standing -- you won't be able to see that well -- but we're standing out along Interstate 84, a major highway that runs between, starting at the Mass. Pike and running down into Hartford and beyond. DOT trucks, you can see one right there, have been out all morning. They've been plowing and putting down sand and salt. The roads are not in bad shape at this hour. They have improved quite a bit. We've been out here, again, for a couple of hours. When we first came out, it was very slippery and difficult to get around.

Let me show you quickly what the condition is in terms of snow depths and what the snow is like.

This is really sort of a crunchy snow that has been pushed up. But for the most part, the snow here is very light and it has been able to have been pushed out of the way and hasn't created a lot of problems, unlike some other parts of the state. South of us, they received a lot of rain with their snow, so it's wet and very heavy down there.

We're live in Willington, Connecticut.

John Moroney, Channel 3, Eyewitness News.

COSTELLO: Oh, John, it's been such a terrible winter for you folks in Connecticut. And, you know, let me bring you back to last summer, because if you remember how late it started. Are people remembering that or are they just praying for spring?

MORONEY: We have -- I've talking -- excuse me. I've spoken to a number of folks here this morning. They are looking forward to spring. You're right, that big storm that we had was in the first part of the year -- the first part of the season. I believe it was December 5 through the 7th, where some areas of Connecticut received up to 30 inches of snow. That has really been a distant memory because last month in this part of the country, here in Connecticut and the Northeast, we had very little snow. In fact, this storm that we had right now was about four or five inches around the state. It's more snow than we received the entire month of February here in Connecticut -- Carol.

COSTELLO: Well, spring is only three days away now, if that makes you feel any better. I hope it does.

MORONEY: Amen.

COSTELLO: John Moroney from our affiliate in Hartford, WFSB. He's in Willington, Connecticut this morning.

Still to come on DAYBREAK, Ben Affleck on his break-up with J-Lo.

(BEGIN VIDEO CLIP FROM "LARRY KING LIVE") BEN AFFLECK, ACTOR: Here I am, I'm this white guy from Boston, and people saw her as this Latin woman from New York. And I think it was the -- people didn't exactly expect us to be together.

(END VIDEO CLIP)

COSTELLO: Hmmm. A CNN exclusive, hear what else Ben has to say to our Larry King.

Plus, a new court battle over the tires on your car. What you need to know about the latest suit targeting Firestone.

And police say he's armed, dangerous and still on the loose. Do you know anything about this man?

It is Wednesday, March 17th.

You're watching DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: 5:15 Eastern time.

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

Israel has stepped up military action in Gaza following weekend suicide attacks in the city of Ashdod.

In Afghanistan today, Secretary of State Colin Powell met with Afghan President Hamid Karzai and U.S. military leaders in Kabul. They discussed the hunt for Osama bin Laden and the remnants of al Qaeda.

And a late winter snowstorm has made travel difficult for the U.S. Midwest and Northeast. It's hard to believe, but spring is just three days away.

We update the top stories every 15 minutes. Our next update comes your way at 5:30 Eastern.

Interest rates in the U.S. remain unchanged. So what's the effect on the European markets?

Time to head to London and Todd Benjamin -- good morning, Todd.

TODD BENJAMIN, CNN CORRESPONDENT: Good morning, Carol.

We're having a decent day here in Europe. Of course, the Fed left rates on hold. The one sort of negative was in the statement, when they said that employment growth is lagging. But nevertheless the U.S. markets closed higher. The Dow was up nearly one percent. The NASDAQ was up just 2/10 of one percent.

But Europe is having a decent day. The FTSE is flat, but the DAX in Frankfurt is up 3/4 of one percent and Paris is up better than a half percent, basically building on the gains we saw on Wall Street.

We've also had good earnings reports here in Europe this morning, including BMW, which expects record sales this year on the back of the introduction of new models.

And in terms of the currency market today, the euro is at that 122 1/2 level and sterling is at 181, if you're planning a trip or know somebody who is in Britain right now. And finally, what can we expect from the U.S. markets today? Well, we should be building on the gains we saw overnight on Wall Street, or yesterday, rather, on Wall Street. The futures market is pointing to a higher open. We'll get an inflation report out today and stripping out energy and food, inflation should just be 1.1 percent on an annual basis, very low inflation. That's why interest rates don't have to go higher -- back to you, Carol.

Have a great morning.

COSTELLO: Thank you.

You, too.

Thank you, Todd Benjamin.

National security, foreign policy and the military -- they are the focus of major policy speeches today. Vice President Dick Cheney will be speaking at the Reagan Library in California. He'll say the next U.S. president must be unwavering in supporting the cause in Iraq and the war on terrorism, and he will suggest that John Kerry would not be, if elected.

In the meantime, Senator Kerry today will focus his speech on protecting military families in times of war. The Democratic presidential hopeful will be speaking at George Washington University.

The presidential campaign season is heating up with more political potshots.

Our Bob Franken looks at the latest salvos between President Bush and his Democratic rival, John Kerry.

(BEGIN VIDEOTAPE)

BOB FRANKEN, CNN NATIONAL CORRESPONDENT (voice-over): The Bush campaign believes it has John Kerry on the run.

BUSH: I think it's -- look, if you're going to make an accusation in the course of a presidential campaign, you ought to back it up with facts.

FRANKEN: Meaning Kerry's claims leaders overseas want Bush out and Kerry in. CNN has obtained an audiotape of his remarks from a Boston Globe reporter in the room.

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: I met more leaders who can't go out and say it all publicly, but boy, they look at you and say, you've got to win this, you've got to beat this guy, we need a new policy...

FRANKEN: Leaders he will not identify because, he insists, that would violate confidences. And the White House says if Kerry refuses then he must be making up.

RICHARD CHENEY, VICE PRESIDENT OF THE UNITED STATES: Senator Kerry said, "That's none of your business." But it is our business when a candidate for president claims the political endorsement of foreign leaders.

FRANKEN: Kerry insisted again the real credibility issue is the White House issue over health care, the economy, the war in Iraq.

KERRY: And on each and every one of them, this administration has yet to level with the American people.

FRANKEN: When Kerry appeared before another veterans' group, this one in West Virginia, the Bush campaign rushed out a new ad.

UNIDENTIFIED FEMALE: Though John Kerry voted in October 2002 for military action in Iraq, he later voted against funding our soldiers.

UNIDENTIFIED MALE: Mr. Kerry...

UNIDENTIFIED FEMALE: No.

KERRY: I understand that the Republican attack machine has welcomed me to West Virginia today with another distortion.

FRANKEN: A distortion, Kerry insisted, because he only voted no after Republicans refused to reduce the tax cut for the wealthy, to finance the support for U.S. troops.

(on camera): Both sides are doing their utmost to play offense to avoid having to play defense.

Bob Franken, CNN, Washington.

(END VIDEOTAPE)

COSTELLO: Coming up next on DAYBREAK, Martha Stewart facing prison. Hear how she took the guilty verdict. In a CNN exclusive, her daughter speaks out for the first time to our own Larry King.

(COMMERCIAL BREAK)

COSTELLO: Welcome back to DAYBREAK.

Hello, Chad.

MYERS: Good morning, Carol.

COSTELLO: We've been asking people to send in pictures of the sunrise in their hometowns and we've got one to show people this morning.

MYERS: You ever been to St. Augustine, Florida?

COSTELLO: No.

MYERS: The oldest city in the nation?

COSTELLO: No, I have not. MYERS: They have...

COSTELLO: You mean in Florida?

MYERS: You've had the most time to get there because it's the oldest, and you've never been there?

COSTELLO: No.

MYERS: Nice place to go, folks, if you want to head to St. Augustine. There are good golf courses, too; an awful lot of condos up and down the beach. It's pretty hard not to find a place that you like there in St. Augustine.

That's what the sunrise will look like this morning, too, Carol. Doesn't that look good?

COSTELLO: Oh, it looks so wonderful.

MYERS: Better than looking at it over the Chattahoochee.

COSTELLO: I've got to agree with you there.

MYERS: Anyway.

(WEATHER REPORT)

COSTELLO: And just a reminder for people out there, we really enjoy your sunrise shots. So e-mail us your photo, any photo you may have. You think you're a genius taking pictures? Well, send us your pictures to prove it, daybreak@cnn.com. Daybreak@cnn.com the place to send them. And, of course, we will use them on the air happily.

MYERS: Cool.

COSTELLO: Thank you, Chad.

MYERS: You're welcome.

COSTELLO: If you had a chance to chat with Ben Affleck, what would you ask him about? If you said J-Lo, you're on the same wavelength as our own Larry King, who talked with him.

Listen.

(BEGIN VIDEO CLIP FROM "LARRY KING")

AFFLECK: I think it's a little bit more complicated than just the sense of like, well, people are prejudiced. I think part -- what I mean by that is that part of the fascination was that here I am, I'm this white guy from Boston and people saw her as this Latin woman from New York. And I think it was the -- people didn't exactly expect us to be together. It more had to do with our, we still, I think, as a society, generally assume that people will be with people who are like them. And when that doesn't happen, I think it engenders, I don't know if it's prejudice in a negative way, it just engenders an additional interest, an additional curiosity.

(END VIDEO CLIP)

COSTELLO: On another Larry King topic, exactly three months from today, Martha Stewart will be sentenced for her obstruction of justice conviction. In an exclusive interview, her daughter Alexis Stewart tells Larry King she fainted when her mother's guilty verdict was announced in court.

Here's more of what she said in her first television interview.

(BEGIN VIDEO CLIP FROM "LARRY KING")

LARRY KING, HOST: How do you think she's going to handle all of this?

ALEXIS STEWART, MARTHA STEWART'S DAUGHTER: She'll be OK.

KING: She's always been strong, right?

STEWART: Yes.

KING: And stoic?

STEWART: Um-hmm.

KING: I mean she's kind of above the fray, in a sense.

STEWART: Um-hmm.

KING: How did she handle the verdict?

STEWART: Well, she didn't faint.

KING: No, she did not.

STEWART: I know she's been...

KING: What did she say to you?

STEWART: She's disappointed of her feeling like her life was wasted, everything she did is ignored over something that...

KING: Trivial?

STEWART: Trivial, that maybe didn't happen.

(END VIDEO CLIP)

COSTELLO: You can see more of that interview with Larry King. It airs tonight at 9:00 Eastern.

Spanish police say they may know who was behind those deadly bombings and they've got one suspect in custody now. We update you on the investigation when we come back.

And then deadly attacks on civilian missionaries in Iraq, we'll take you live to Baghdad.

Plus, one year later, what's it really like in Iraq?

This is DAYBREAK for Wednesday.

(BEGIN VIDEOTAPE)

GERRI WILLIS, CNN CORRESPONDENT: St. Patrick's Day is a time to celebrate many things Irish by wearing green or drinking a Guinness. If Diageo has its way, the maker of the famous Irish stout, Diageo is the world's largest spirits company, with such brands as Johnny Walker scotch, Tanqueray gin and Jose Cuervo tequila. Net sales rose six percent in the last six months despite its Smirnoff vodka brand facing stiff competition from Gray Goose and Ketel One.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

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Aired March 17, 2004 - 05:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Top of the morning to you.
It is St. Patrick's Day, Wednesday, March 17.

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

Thank you for being with us this morning.

Israel strikes back after a suicide bombing. Four Palestinians are killed, 23 wounded in air and ground attacks in Gaza.

Secretary of State Colin Powell arrives for talks in the Afghan capital while farther south, U.S. forces launch a new operation against al Qaeda.

The Red Cross has a plan to ferry emergency supplies and vehicles to Washington in case of a terrorist attack. The "Washington Post" reports military style landing craft would be used to cross the Potomac River.

And Vice President Dick Cheney says America's leaders must be unwavering in their commitment to the war on terror. Cheney speaks later today at the Reagan Presidential Library.

We update the top stories every 15 minutes. The next news update comes your way at 5:15 Eastern.

In Spain, investigators believe they know the identities of at least six, possibly as many as eight Moroccans, who were behind last week's train bombings.

Live to Madrid now for the latest from Alessio Vinci -- hello, Alessio.

ALESSIO VINCI, CNN CORRESPONDENT: Hello to you, Carol.

The latest on the investigation, at this time, Spanish investigators are saying that six suspects have been identified, all of them from Morocco. We do understand at this time one of them is already in custody. He was arrested last Saturday before the election. His name is Jamal Zougam. He's a 30-year-old man. Two witnesses are placing him at the scene.

Mr. Zougam is not new to the Spanish investigators. He is mentioned, his name is mentioned in an anti-terror indictment that Spanish prosecutors filed early last year linking this man to an al Qaeda ringleader here in Madrid. Also, the Spanish police has announced that they made another arrest of an Algerian national who was arrested in the northern city of San Sebastian, in the Basque region of Spain. This man has been arrested because earlier this year, in January, he was questioned by police in a minor incident and during that questioning he said, he predicted or he actually warned police that there will be a lot of dead people in Atocha. Now, Atocha is the train station where I'm standing right now here. The vast majority of the people that were killed, that were the victims of the attack were killed in two trains here at the Atocha train station. As you can see behind me here, a lot of people here still coming to bring some flowers, to light some candles to show their respects.

Now, of course, in addition to the 201 victims of this attack, there were also a lot of wounded people and many survivors.

And here is the story of one family that is still coping with that attack.

(BEGIN VIDEOTAPE)

VINCI (voice-over): Life couldn't be harder these days for Maria Beltran. A native from Ecuador, her sister, Lourdes, was traveling with her husband on one of the trains terrorists blew up last week.

"They were on the last car of the train, where one of the bombs was planted," Maria says her sister has told her. "She saw the door blowing up and the next thing she remembers is lying surrounded by stones on the rail track."

Maria spends most of her time at this hospital, where Lourdes is recovering from internal injuries. Lourdes' husband, Neal (ph), seen here the day their only daughter was born, did not survive the attack.

"Now that she knows her husband is dead," she says, "we are hoping Lourdes recovers well, especially for the little girl."

Even then, problems are likely to continue for this family. The 1-year-old baby has a serious heart problem and doctors have told the family she may need a transplant. Maria says those who carried out the attacks, no matter who they are, deserve nothing less than death.

One of the suspects lived in the Lavapies District of the Spanish capital, a working class neighborhood populated by many immigrants like Maria's family. He worked in this shop selling and repairing cell phones, which has been closed ever since his arrest last Saturday. Down the street, residents say there was nothing out of the ordinary about him and the people he spent time with.

"Normal. Are they assassins?," he says. "I don't think so. Normal people who worked and went about their lives."

Thirty-six-year-old Rasheed (ph), a Moroccan like some of the suspects, arrived here only a month ago.

"I don't think they did it," he says, referring to the suspect and his alleged accomplices. But he adds, "The attacks cast a bad light on immigrants here. Terrorism doesn't serve anybody," he says. "Now we are all afraid, especially those who live here illegally."

(END VIDEOTAPE)

VINCI: And for the victims of last Thursday's attacks who happened to be illegal immigrants, there might be a consolation. The Spanish government has vowed to put them on a fast track to become legal and eventually even get citizenship, a passport, for some of them, perhaps, away to begin a new life just a few days after being so close to death -- Carol.

COSTELLO: Alessio Vinci, many thanks, live from Madrid, Spain this morning.

A second county in Oregon plans to issue same-sex marriage licenses. That tops our look at Stories Across America.

In Corvallis, the Board of Commissioners of Benton County voted to begin issuing licenses next Wednesday. On Monday, commissioners in Multnomah County decided to ignore the state attorney general and issue same-sex marriage licenses. That's Oregon's largest county.

You have seen these unmanned aerial surveillance vehicles over Afghanistan and Iraq. Now the drones are going to be used along Arizona's border with Mexico. The Border Patrol says the drones will be used to look for illegal immigrants, drug smugglers and possibly terrorists. It's part of a $10 million surveillance effort that also includes more Border Patrol agents and detention facilities.

And just a reminder, spring does not officially start until this weekend. No reminder needed in the Northeast. A snowstorm moving in from the Midwest has caused numerous highway accidents. Some schools and businesses closed early on Tuesday and more won't even open today.

Afghanistan -- it was the first front in the war on terror and it's still an active one. Secretary of State Colin Powell is there today for talks with Afghan officials and U.S. generals.

Powell spoke to reporters about the current U.S. strategy to root out the Taliban and al Qaeda pockets.

(BEGIN VIDEO CLIP)

COLIN POWELL, SECRETARY OF STATE: If Taliban elements are forced from Pakistan back into Afghanistan as a result of actions on the Pakistan side of the border, I'm sure that our military forces here, working with Afghan forces, will deal with those elements.

(END VIDEO CLIP)

COSTELLO: And let's get more on efforts to find bin Laden and on Powell's trip. U.S. forces are aggressively searching for the al Qaeda leader in the rugged eastern and southeastern border areas of Afghanistan.

Ryan Chilcote is near Kabul with more on this squeeze play -- Ryan, tell us more about it.

RYAN CHILCOTE, CNN CORRESPONDENT: Well, that's exactly the hope and expectation Colin Powell was alluding to there. The hope and expectation of the U.S. military is that Pakistan will keep the pressure up on those tribal elders and will keep the military pressure on that western part of Pakistan, a very remote tribal area. The hope, of course, of U.S. military leaders is that if the Taliban and al Qaeda fighters that they believe are there are not killed or turned over to the Pakistani officials, then at least they will be pushed out. And if they're pushed westward, just as the secretary of state, Colin Powell, said there, the U.S. military, working together with the Afghan National Army, which is an army that the United States is training right now here in Afghanistan to obey the federal government, then those elements will be prepared to deal with them.

Of course, one thing that the secretary of state didn't mention there is it is always possible that if the Taliban and al Qaeda fighters that are in western Pakistan are not -- they could decide not to move westward, but they could move to the north or south.

Now, the U.S. military offensive that is charged with hunting Taliban and al Qaeda in that border area is called Operation Mountain Storm. It's really a continuation of the previous operations we've seen in that area. U.S. military officials here on the ground are very careful to say that this isn't a hunt for Osama bin Laden. They say that they really just want to keep the pressure on all Taliban and al Qaeda leaders. But that probably has more to do with the fact that they don't want to be seen looking for bin Laden and not finding him. So privately they do say that they are hopeful that they will be able to catch him. They do believe, at least some officials do believe that he could be in that lawless region of western Pakistan.

COSTELLO: Ryan Chilcote reporting live from Afghanistan.

Saddam Hussein isn't giving up much information to U.S. investigators. Deputy Secretary of State Richard Armitage says he's scanned the debriefs and describes the former Iraqi dictator as a wily guy who seems to be enjoying the debate. The CIA is taking a lead role in interrogating Saddam at a secret location in Iraq.

Let's head to the forecast center now and check in with Chad -- good morning.

CHAD MYERS, CNN CORRESPONDENT: Good morning, Carol.

(WEATHER REPORT)

COSTELLO: John Moroney from our Hartford affiliate WFSB is in Willington, Connecticut and he's going to bring us up to date on the terrible weather there -- good morning.

JOHN MORONEY, WFSB CORRESPONDENT: Good morning, Carol.

Actually, the snow has topped here in the last half hour or so. It has become very cold, though. The wind has picked up within the last 10 or 15 minutes. We are standing -- you won't be able to see that well -- but we're standing out along Interstate 84, a major highway that runs between, starting at the Mass. Pike and running down into Hartford and beyond. DOT trucks, you can see one right there, have been out all morning. They've been plowing and putting down sand and salt. The roads are not in bad shape at this hour. They have improved quite a bit. We've been out here, again, for a couple of hours. When we first came out, it was very slippery and difficult to get around.

Let me show you quickly what the condition is in terms of snow depths and what the snow is like.

This is really sort of a crunchy snow that has been pushed up. But for the most part, the snow here is very light and it has been able to have been pushed out of the way and hasn't created a lot of problems, unlike some other parts of the state. South of us, they received a lot of rain with their snow, so it's wet and very heavy down there.

We're live in Willington, Connecticut.

John Moroney, Channel 3, Eyewitness News.

COSTELLO: Oh, John, it's been such a terrible winter for you folks in Connecticut. And, you know, let me bring you back to last summer, because if you remember how late it started. Are people remembering that or are they just praying for spring?

MORONEY: We have -- I've talking -- excuse me. I've spoken to a number of folks here this morning. They are looking forward to spring. You're right, that big storm that we had was in the first part of the year -- the first part of the season. I believe it was December 5 through the 7th, where some areas of Connecticut received up to 30 inches of snow. That has really been a distant memory because last month in this part of the country, here in Connecticut and the Northeast, we had very little snow. In fact, this storm that we had right now was about four or five inches around the state. It's more snow than we received the entire month of February here in Connecticut -- Carol.

COSTELLO: Well, spring is only three days away now, if that makes you feel any better. I hope it does.

MORONEY: Amen.

COSTELLO: John Moroney from our affiliate in Hartford, WFSB. He's in Willington, Connecticut this morning.

Still to come on DAYBREAK, Ben Affleck on his break-up with J-Lo.

(BEGIN VIDEO CLIP FROM "LARRY KING LIVE") BEN AFFLECK, ACTOR: Here I am, I'm this white guy from Boston, and people saw her as this Latin woman from New York. And I think it was the -- people didn't exactly expect us to be together.

(END VIDEO CLIP)

COSTELLO: Hmmm. A CNN exclusive, hear what else Ben has to say to our Larry King.

Plus, a new court battle over the tires on your car. What you need to know about the latest suit targeting Firestone.

And police say he's armed, dangerous and still on the loose. Do you know anything about this man?

It is Wednesday, March 17th.

You're watching DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: 5:15 Eastern time.

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

Israel has stepped up military action in Gaza following weekend suicide attacks in the city of Ashdod.

In Afghanistan today, Secretary of State Colin Powell met with Afghan President Hamid Karzai and U.S. military leaders in Kabul. They discussed the hunt for Osama bin Laden and the remnants of al Qaeda.

And a late winter snowstorm has made travel difficult for the U.S. Midwest and Northeast. It's hard to believe, but spring is just three days away.

We update the top stories every 15 minutes. Our next update comes your way at 5:30 Eastern.

Interest rates in the U.S. remain unchanged. So what's the effect on the European markets?

Time to head to London and Todd Benjamin -- good morning, Todd.

TODD BENJAMIN, CNN CORRESPONDENT: Good morning, Carol.

We're having a decent day here in Europe. Of course, the Fed left rates on hold. The one sort of negative was in the statement, when they said that employment growth is lagging. But nevertheless the U.S. markets closed higher. The Dow was up nearly one percent. The NASDAQ was up just 2/10 of one percent.

But Europe is having a decent day. The FTSE is flat, but the DAX in Frankfurt is up 3/4 of one percent and Paris is up better than a half percent, basically building on the gains we saw on Wall Street.

We've also had good earnings reports here in Europe this morning, including BMW, which expects record sales this year on the back of the introduction of new models.

And in terms of the currency market today, the euro is at that 122 1/2 level and sterling is at 181, if you're planning a trip or know somebody who is in Britain right now. And finally, what can we expect from the U.S. markets today? Well, we should be building on the gains we saw overnight on Wall Street, or yesterday, rather, on Wall Street. The futures market is pointing to a higher open. We'll get an inflation report out today and stripping out energy and food, inflation should just be 1.1 percent on an annual basis, very low inflation. That's why interest rates don't have to go higher -- back to you, Carol.

Have a great morning.

COSTELLO: Thank you.

You, too.

Thank you, Todd Benjamin.

National security, foreign policy and the military -- they are the focus of major policy speeches today. Vice President Dick Cheney will be speaking at the Reagan Library in California. He'll say the next U.S. president must be unwavering in supporting the cause in Iraq and the war on terrorism, and he will suggest that John Kerry would not be, if elected.

In the meantime, Senator Kerry today will focus his speech on protecting military families in times of war. The Democratic presidential hopeful will be speaking at George Washington University.

The presidential campaign season is heating up with more political potshots.

Our Bob Franken looks at the latest salvos between President Bush and his Democratic rival, John Kerry.

(BEGIN VIDEOTAPE)

BOB FRANKEN, CNN NATIONAL CORRESPONDENT (voice-over): The Bush campaign believes it has John Kerry on the run.

BUSH: I think it's -- look, if you're going to make an accusation in the course of a presidential campaign, you ought to back it up with facts.

FRANKEN: Meaning Kerry's claims leaders overseas want Bush out and Kerry in. CNN has obtained an audiotape of his remarks from a Boston Globe reporter in the room.

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: I met more leaders who can't go out and say it all publicly, but boy, they look at you and say, you've got to win this, you've got to beat this guy, we need a new policy...

FRANKEN: Leaders he will not identify because, he insists, that would violate confidences. And the White House says if Kerry refuses then he must be making up.

RICHARD CHENEY, VICE PRESIDENT OF THE UNITED STATES: Senator Kerry said, "That's none of your business." But it is our business when a candidate for president claims the political endorsement of foreign leaders.

FRANKEN: Kerry insisted again the real credibility issue is the White House issue over health care, the economy, the war in Iraq.

KERRY: And on each and every one of them, this administration has yet to level with the American people.

FRANKEN: When Kerry appeared before another veterans' group, this one in West Virginia, the Bush campaign rushed out a new ad.

UNIDENTIFIED FEMALE: Though John Kerry voted in October 2002 for military action in Iraq, he later voted against funding our soldiers.

UNIDENTIFIED MALE: Mr. Kerry...

UNIDENTIFIED FEMALE: No.

KERRY: I understand that the Republican attack machine has welcomed me to West Virginia today with another distortion.

FRANKEN: A distortion, Kerry insisted, because he only voted no after Republicans refused to reduce the tax cut for the wealthy, to finance the support for U.S. troops.

(on camera): Both sides are doing their utmost to play offense to avoid having to play defense.

Bob Franken, CNN, Washington.

(END VIDEOTAPE)

COSTELLO: Coming up next on DAYBREAK, Martha Stewart facing prison. Hear how she took the guilty verdict. In a CNN exclusive, her daughter speaks out for the first time to our own Larry King.

(COMMERCIAL BREAK)

COSTELLO: Welcome back to DAYBREAK.

Hello, Chad.

MYERS: Good morning, Carol.

COSTELLO: We've been asking people to send in pictures of the sunrise in their hometowns and we've got one to show people this morning.

MYERS: You ever been to St. Augustine, Florida?

COSTELLO: No.

MYERS: The oldest city in the nation?

COSTELLO: No, I have not. MYERS: They have...

COSTELLO: You mean in Florida?

MYERS: You've had the most time to get there because it's the oldest, and you've never been there?

COSTELLO: No.

MYERS: Nice place to go, folks, if you want to head to St. Augustine. There are good golf courses, too; an awful lot of condos up and down the beach. It's pretty hard not to find a place that you like there in St. Augustine.

That's what the sunrise will look like this morning, too, Carol. Doesn't that look good?

COSTELLO: Oh, it looks so wonderful.

MYERS: Better than looking at it over the Chattahoochee.

COSTELLO: I've got to agree with you there.

MYERS: Anyway.

(WEATHER REPORT)

COSTELLO: And just a reminder for people out there, we really enjoy your sunrise shots. So e-mail us your photo, any photo you may have. You think you're a genius taking pictures? Well, send us your pictures to prove it, daybreak@cnn.com. Daybreak@cnn.com the place to send them. And, of course, we will use them on the air happily.

MYERS: Cool.

COSTELLO: Thank you, Chad.

MYERS: You're welcome.

COSTELLO: If you had a chance to chat with Ben Affleck, what would you ask him about? If you said J-Lo, you're on the same wavelength as our own Larry King, who talked with him.

Listen.

(BEGIN VIDEO CLIP FROM "LARRY KING")

AFFLECK: I think it's a little bit more complicated than just the sense of like, well, people are prejudiced. I think part -- what I mean by that is that part of the fascination was that here I am, I'm this white guy from Boston and people saw her as this Latin woman from New York. And I think it was the -- people didn't exactly expect us to be together. It more had to do with our, we still, I think, as a society, generally assume that people will be with people who are like them. And when that doesn't happen, I think it engenders, I don't know if it's prejudice in a negative way, it just engenders an additional interest, an additional curiosity.

(END VIDEO CLIP)

COSTELLO: On another Larry King topic, exactly three months from today, Martha Stewart will be sentenced for her obstruction of justice conviction. In an exclusive interview, her daughter Alexis Stewart tells Larry King she fainted when her mother's guilty verdict was announced in court.

Here's more of what she said in her first television interview.

(BEGIN VIDEO CLIP FROM "LARRY KING")

LARRY KING, HOST: How do you think she's going to handle all of this?

ALEXIS STEWART, MARTHA STEWART'S DAUGHTER: She'll be OK.

KING: She's always been strong, right?

STEWART: Yes.

KING: And stoic?

STEWART: Um-hmm.

KING: I mean she's kind of above the fray, in a sense.

STEWART: Um-hmm.

KING: How did she handle the verdict?

STEWART: Well, she didn't faint.

KING: No, she did not.

STEWART: I know she's been...

KING: What did she say to you?

STEWART: She's disappointed of her feeling like her life was wasted, everything she did is ignored over something that...

KING: Trivial?

STEWART: Trivial, that maybe didn't happen.

(END VIDEO CLIP)

COSTELLO: You can see more of that interview with Larry King. It airs tonight at 9:00 Eastern.

Spanish police say they may know who was behind those deadly bombings and they've got one suspect in custody now. We update you on the investigation when we come back.

And then deadly attacks on civilian missionaries in Iraq, we'll take you live to Baghdad.

Plus, one year later, what's it really like in Iraq?

This is DAYBREAK for Wednesday.

(BEGIN VIDEOTAPE)

GERRI WILLIS, CNN CORRESPONDENT: St. Patrick's Day is a time to celebrate many things Irish by wearing green or drinking a Guinness. If Diageo has its way, the maker of the famous Irish stout, Diageo is the world's largest spirits company, with such brands as Johnny Walker scotch, Tanqueray gin and Jose Cuervo tequila. Net sales rose six percent in the last six months despite its Smirnoff vodka brand facing stiff competition from Gray Goose and Ketel One.

(END VIDEOTAPE)

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