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CNN Live At Daybreak

A Potential Terrorist Attack Thwarted; Tyco Trial

Aired March 30, 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: Half a ton of explosives found this morning as British police conduct raids to root out terrorists.
And good morning to you.

From the CNN global headquarters in Atlanta, this is DAYBREAK for March 30th.

I'm Carol Costello.

Let me bring you up to date now.

A half ton of the same mixture used in the Oklahoma City bombing -- British police uncover it this morning, along with eight suspects. Police say the suspects are connected to possible Islamist terror. We'll have a live report for you out of London in just a few minutes.

Testimony resumes this morning in the trial of a Texas mother who bludgeoned two sons to death and seriously injured a third. Deanna Laney said she received instructions from god.

A grand jury meets in a secret location to deal with the Michael Jackson molestation case. Prosecutors hope for an indictment so they won't have to reveal evidence at the preliminary hearing.

He was known in America for hosting high brow TV drama. But in his native England, he was a radio fixture for more than half a century. Alistair Cooke died overnight. He was 95 years old.

(WEATHER REPORT)

COSTELLO: A potential terrorist attack thwarted. Eight suspects possibly tied to Islamic terrorists and a half ton of ante, the explosive used in the Oklahoma City bombings, all picked up in early morning raids by British police.

David Clinch is here with more details for you.

DAVID CLINCH, CNN INTERNATIONAL EDITOR: Yes, Carol, good morning.

This is a big story for us this morning in London. We've been seeing a series of arrests of terror suspects over the last few months, or years, even in Britain, following the 9/11 attacks. But within the last few weeks or so, the intensity of these searches has increased. A top British policeman saying a few weeks ago a big terror attack in London was inevitable. Well, today we are hearing from British police in what is an unusual step for them, holding a public press conference, that early this morning in various locations around London and beyond London, they arrested eight British citizens -- and that's interesting -- who they say are connected to international terrorism.

They won't give us many more details right now, but we're hearing from British police sources that they believe it's connected to what they describe as Islamic terrorism.

COSTELLO: It's not connected to the Madrid train bombings.

CLINCH: They say not...

COSTELLO: It's not connected to the Irish Republican Army.

CLINCH: That's true. And that gives us some clues. But, again, they're being very cautious in terms of the details, but very public in terms of getting the core of the story out to the British public. Because following recent announcements, there had been a degree of panic out there. So I think they're very interested in getting the details and...

COSTELLO: And before we go on, just to make our viewers understand better, where did they find this fertilizer?

CLINCH: The fertilizer was found at a location just outside of London, in what you would call a standard storage location, where you can buy space, rented space and store it. Now, what we don't know if they found a half a ton of ammonium nitrate. Two and a half tons was used in Oklahoma, so that gives you a sense of the scale. But it is just a fertilizer. It's connecting the fertilizer to the intent that makes it more than fertilizer. And we really don't know that at this point.

We'd the know whether anyone was arrested at this site. We don't know whether any of those arrested bought the fertilizer or what the intended use was. But...

COSTELLO: And these eight suspects are British citizens.

CLINCH: That's true. And that's interesting. Obviously, the British police watching very closely within the Muslim community, which is quite a large one in Britain. But, on the other hand, the police statement today making it very clear that in their view, the huge majority of Muslims in Britain reject terrorism. They don't want this to become a Muslim issue. But clearly these are British citizens. We don't even know if they're Muslim, of course, at this point.

But they did go out of their way to stress that they believe most British Muslims reject terrorism. So...

COSTELLO: Certainly so.

CLINCH: ... very interesting. COSTELLO: David, we're going to get more information for this out of...

CLINCH: Yes. We're going out to that scene and we'll have live reporters on this story all day.

COSTELLO: We're going to have Sheila MacVicar very soon on DAYBREAK, too.

CLINCH: Yes.

COSTELLO: David Clinch, thanks.

No deal yet, but White House officials and the 9/11 Commission members are working toward a compromise. The plan would allow National Security Advisor Condoleezza Rice to testify privately before the 9/11 Commission and her remarks, except for sensitive intelligence information, would then become public.

Like her previous testimony to Commission members back in February, Rice would not be placed under oath.

But the del is not enough for Senate Democrats, who plan to introduce a bill today urging public testimony.

(BEGIN VIDEO CLIP)

SEN. EDWARD KENNEDY (D), MASSACHUSETTS: It is sheer hypocrisy for the White House to encourage Condoleezza Rice to appear on television to dispute Mr. Clarke's testimony to the Commission and then prevent her from presenting her views to the Commission itself. Many of us in the Senate will propose a resolution tomorrow urging that Dr. Rice be permitted to testify in public under oath. There will be ample opportunity after that for the president to decide whether he himself is willing to testify in public and under oath, as well.

(END VIDEO CLIP)

COSTELLO: And here are some more details for you on Condoleezza Rice and the 9/11 panel. Rice was not under oath during her four hour February testimony before Commission members. No transcripts exist from the Rice testimony, only notes taken by commissioners and White House staffers. Now, those notes could be declassified and then released to the public. And more than 1,000 people have met with the Commission in private sessions.

It is back to deliberations this morning for jurors in the Tyco trial. This is day nine of the process.

And as CNN's Chris Huntington reports, it has been plagued with problems.

(BEGIN VIDEOTAPE)

CHRIS HUNTINGTON, CNN CORRESPONDENT (voice-over): Jury deliberations in Dennis Kozlowski's corporate fraud trial appeared back on track as Judge Michael Obus denied yet another defense request for a mistrial indicating that all of the jurors said they could resume deliberating including Juror No. 4.

She's the 79-year-old former schoolteacher with a law degree who made front page news for flashing what appeared to be an OK sign toward defendants in court on Friday.

BRUCE SHAEFFER, ATTORNEY: That's the one juror who has come to the conclusion that there was not criminal intent is basically deciding it the way the judge directed them but if she in good conscience holds that belief then she's diligently following the court's instructions and doing what she was told to do.

HUNTINGTON: Defense attorneys arguing unsuccessfully their fifth mistrial motion since Thursday said Juror No. 4 had been at the center of the jury's deadlock dispute and that unflattering press reports, such as a "New York Post" front page sketch and headlines calling her a "batty blue blood" and "paranoid socialite" would have been seen by other jurors further poisoning the deliberations.

STEVEN BRILL, CEO, VERIFIED IDENTIFIED PASS, INC.: Given the circumstances I don't think there was anything wrong with what some of the newspapers did. They did nothing other than tell the public something the public had a right to know, which is who is this juror who seems to be causing this disruption in the process.

HUNTINGTON: In denying the mistrial, Judge Obus said the only thing that mattered were the jurors' assurances that they had buried the hatchet and could get back to work.

(END VIDEOTAPE)

COSTELLO: Now to Texas, where testimony resumes today in the trial of a woman accused of bludgeoning her two sons to death with rocks. Deanna Laney also accused of badly injuring a third son, a 15- month-old baby who survived the attack. She has pleaded not guilty by reason of insanity. Prosecutors played a tape of Laney's 9/11 call, which she made last May.

(BEGIN AUDIO CLIP)

UNIDENTIFIED MALE: (UNINTELLIGIBLE) 911.

What's your emergency?

DEANNA LANEY: Yes, (UNINTELLIGIBLE) I just killed my boys (UNINTELLIGIBLE).

UNIDENTIFIED MALE: You did -- ma'am, you did what?

LANEY: I just killed my boys.

(END AUDIO CLIP)

COSTELLO: Did you hear there she said, "I did kill my boys?" prosecutors have chosen not to seek the death penalty. Laney's attorney says she believe god told her to kill her children.

Time to check on some other stories making news across America this Tuesday morning.

In Washington, the Supreme Court is slated to hear arguments today in a case involving foreign abductions. The Bush administration says the ruling could affect efforts to capture terrorists like Osama bin Laden.

In Massachusetts, the legislature approves a constitutional amendment banning same-sex marriages, but allowing legalized civil unions. A state court ruled last November that same-sex marriages were constitutional. Governor Mitt Romney says he'll seek a stay of the court's order until voters decide on the amendment. That vote is scheduled for the fall of 2006.

Heavy rains have caused flooding through a large part of northeastern North Dakota. Emergency officials say frozen ground kept the rainwater from seeping in, which, in turn, forced the flooding. The governor has declared a state of emergency for that area.

MYERS: Yes, Carol, a lot of rain came up from just east of North Dakota and the west parts of Minnesota. And all that rain is trying to get into the Mississippi. It's just going to take a while.

Time to give away our mug.

COSTELLO: Yes.

MYERS: Not that one, because that has lipstick on it.

COSTELLO: Not that one. It's disgusting, isn't it?

MYERS: You won't get that one.

Yesterday, the questions that we asked: Air America, a new liberal radio network will start this week in four cities. What are the four cities? New York City, Chicago, L.A., San Francisco. And according to a local paper there in Columbus, the Ohio shootings, the highway shootings, cost investigators how much money? $3 million.

And the winner, the winner...

COSTELLO: Drum roll.

MYERS: That's a paper roll.

COSTELLO: I love that.

MYERS: Roberta Horowitz from Lockport, New York.

COSTELLO: Congratulations, Roberta.

MYERS: It's not that far from where I grew up in Cheektowaga, New York.

COSTELLO: Cheektowaga.

MYERS: I love those names -- Lackawanna, Tonawanda, Cheektowaga.

COSTELLO: They keep you honest.

MYERS: No kidding.

COSTELLO: Can you imagine learning speaking there when you're like a child? Oh, you did that, didn't you?

MYERS: That's -- well, yes, I can imagine that, actually.

COSTELLO: I think I should go on. I'll take another sip of coffee before.

MYERS: Anyway, all right.

Still to come here on DAYBREAK, Janet Jackson is everywhere promoting her new CD, but it's the lasting impression from her Super Bowl appearance that's changing the face, the face of radio.

COSTELLO: You're not kidding.

Speaking of radio, the liberal sound of Air America is set to launch tomorrow. We will talk with one talk radio veteran -- that would be Neal Boortz -- about the possible impact.

We'll be right back.

COMMERCIAL

COSTELLO: Well, we've been talking about this all morning. The story broke, oh, about an hour ago. British police say they have rounded up eight suspected Islamic terrorists.

We're going to take you live to London now and Sheila MacVicar to tell us more -- Sheila, bring us up to date.

SHEILA MACVICAR, CNN CORRESPONDENT: It was a coordinated series of raids early this morning. We're told 700 police officers from five different forces, including special branch and the British security services involved. They have eight men, all British nationals described as British nationals of Pakistani origin between the ages of 17 and 32, currently in custody. And there are ongoing searches taking place at some 25 different locations.

Now, at one of those locations, a self-storage warehouse on the outskirts of London, police say they have discovered about 1,000 pounds of ammonium nitrate fertilizer. And ammonium nitrate fertilizer is something that can be used in bomb making. It has been used. It was used at the Oklahoma City bombing. It was used by those who created the Bali bomb.

We've also had a very unusual statement this morning from a senior British police officer. The British police officer in charge of counter-terrorism for Scotland Yard making very clear that this was a very serious event, that it deserved intense media scrutiny and they request also that the press be somewhat circumspect, or as circumspect as they could be in reporting this story -- Carol.

COSTELLO: Sheila MacVicar reporting live from London this morning.

Your news, money, weather and sports.

It is 6:14 Eastern time.

Here's what's all new this morning.

Gas prices enter the presidential campaign debate. John Kerry blames record high prices on the Bush administration.

In the meantime, the Bush-Cheney campaign releases a new radio ad with this catchy title: "The Man From Massachusetts." The ad says Kerry voted for higher taxes "at least 350 times."

In "Money," California Governor Arnold Schwarzenegger and his wife Maria revealed the state's brand new quarter. Take a look at that thing. The coin shows conservationist John Muir plus a California condor and a mountain in Yosemite National Park.

In sports, these gals are going to the final four. The Yukon Huskies beat up on Penn State 66-49. And it was a close one, but LSU's Lady Tigers beat Georgia 62-60.

In culture, ready for more of Janet Jackson? Two months after her revealing Super Bowl appreciation, Jackson's new album Damita Jo is out. She'll host "Saturday Night Live" next month.

(WEATHER REPORT)

COSTELLO: We've got a lot more ahead for you this hour.

Air America about to hit the air waves. But will the liberal radio network make a dent in its conservative competition?

Plus, a different angle on the Janet Jackson story. Her Super Bowl sideshow, how it could affect your favorite radio star. We'll explain.

And our DAYBREAK Photo of the Day. Take a look. What is it?

MYERS: Ooh.

COSTELLO: We'll be right back.

MYERS: That's a tough one.

COSTELLO: It is.

COMMERCIAL

MYERS: That's pretty tight. We didn't give you a whole lot of choices on this one. Didn't even give you a chance. What was this? What is the DAYBREAK Photo of the Day? We zoomed it in for you. You can hardly tell what it is, but if you use your imagination, that's a gas pump and the gas hoses. And obviously that's the curb there for the gas pump. Zoom it out...

COSTELLO: Whoa!

MYERS: And that's the bad part -- $2.44 and nine a gallon in San Diego yesterday. That's...

COSTELLO: California and Hawaii, by the way, have the highest prices in the nation. And that picture certainly bears that out.

MYERS: All right, Janet Jackson?

COSTELLO: That's right. Her album is coming out. It's called Damita Jo.

MYERS: She is all ready.

COSTELLO: It hits the record stores today. So she is on a publicity tour talking about music and that wardrobe malfunction.

Here she is on "David Letterman."

(BEGIN VIDEO CLIP FROM "DAVID LETTERMAN," COURTESY CBS/WORLDWIDE PANTS)

LETTERMAN: You knew it was going to happen, right? You did know it was going to happen?

JACKSON: No, I didn't.

LETTERMAN: You didn't know it was going to happen?

JACKSON: No, I didn't.

LETTERMAN: So it came as a complete surprise to you?

JACKSON: Yes.

LETTERMAN: Really?

JACKSON: Yes. It was truly an accident. It wasn't a stunt.

LETTERMAN: It was not a stunt.

JACKSON: No.

LETTERMAN: It was not premeditated.

JACKSON: No.

LETTERMAN: It was nothing that you had rehearsed.

JACKSON: No. LETTERMAN: Yes. So how did it happen? What exactly transpired there?

JACKSON: Dave, you're going to make me relive this. I want to put all that behind me. I truly do. I did this...

LETTERMAN: Well, not me.

(END VIDEO CLIP)

COSTELLO: He would not let her stop.

MYERS: He would not. He kept saying don't do anything. It was just a little thing. He goes it was not. It's like whoa.

So, anyway, they actually edited out some of the stuff. She -- Janet actually somewhere in there went and said, "Jesus!" and they edited that out because they didn't want that in there.

COSTELLO: That's surprising to me, because I don't think that would have happened pre-Super Bowl.

MYERS: Absolutely not.

COSTELLO: It's funny how so much has changed since then, especially on the radio.

So the question this morning, did Janet kill the radio star or did she make him better?

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALES: Video killed the radio star. Video killed the radio star.

COSTELLO (voice-over): MTV couldn't kill the radio star, but maybe Janet will kill the shock jock once and for all. Since Jackson's wardrobe malfunction, the FCC is in a fighting frenzy, hitting broadcasters to the tune of $1.84 million in penalties in just three months. That's more dollars than 2002 and 2003 combined. And money talks. It's forcing radio DJs to wave the white flag.

MICHAEL HARRISON, "TALKERS MAGAZINE": Everybody in radio is cleaning up their act to the point that it's spic and span and sanitized.

COSTELLO: Along with money, there's the fear. Clear Channel, a company that owns over 1,000 radio stations, is acting contrite.

UNIDENTIFIED MALE: I'm embarrassed to be here.

COSTELLO (on camera): Since that emotional congressional hearing, Hogan's company has pulled or fired three shock jocks from across the country. It's even pulled Howard Stern's radio program from six markets.

UNIDENTIFIED MALE: Save rock and roll. Save rock and roll.

COSTELLO (voice-over): Roiling fans who fear the death of raunchy play on morning radio.

DOUG TRACHT, "THE GREASEMAN": Bush, Bush, we're talking serious whiskey.

COSTELLO: Doug "The Greaseman" Tracht, once considered a shock jock himself, hopes so.

TRACHT: I think, god forbid, if there were a silver lining in all this, stations are going to have to hire people with talent.

COSTELLO: Hmmm, talent. Just think -- creative, legitimately funny morning radio. Of course, if it comes with the price of censorship, Tracht says it ain't worth it. And keep in mind, some industry insiders say the FCC's fining frenzy is most likely temporary, as may be the after effects of the video star who unexpectedly affected the radio star.

Who knows? Jackson's new album could sell like hotcakes thanks to Wardrobegate. And as for radio's shock jock ratings, they remain high.

(END VIDEOTAPE)

COSTELLO: Interesting, isn't it?

MYERS: I haven't seen The Greaseman or heard his voice in so long. I grew up with him in D.C. when I worked there for the Weather Service.

COSTELLO: Well, he's back on the radio.

MYERS: Yes, I know that.

COSTELLO: He's trying to come back because, you know, he had his own controversies in the past.

MYERS: Absolutely.

COSTELLO: We wanted to show you Janet Jackson's album cover -- take a look -- because it's going to hit the record stores today. It's very modest, isn't it?

MYERS: Hmm.

COSTELLO: There's a review in -- is this "Newsweek" magazine? "Newsweek." This is a review in the magazine. It says, "What's disturbing about this album is the childlike tone Jackson affects, juxtaposed with her X-rated lyrics." They call her style her "new naive porn star persona." So it should be -- and they don't give a very good review of the album.

MYERS: Yes.

COSTELLO: But we'll see if it sells. It should be interesting.

MYERS: Yes.

COSTELLO: Yah.

Coming up in the next half hour of DAYBREAK, you couldn't afford tickets to Tokyo for the season opener? Well, some fans find a way to root for the home team. We'll tell you about it.

We'll also tell you about a new magazine that will be available only at Wal-Mart.

And competition for the conservatives -- we'll talk to Neal Boortz -- he's in the house right now -- about some new talkers, his liberal counterparts.

We'll be right back.

COMMERCIAL

COSTELLO: And good morning to you.

From the CNN global headquarters in Atlanta, this is DAYBREAK for March 30th.

I'm Carol Costello.

Here are the latest headlines at this hour.

British police officers and agents conducted a series of raids in and around London this morning. They arrested a number of suspected Islamic terrorists and officials say they've seized 1,000 pounds of possibly explosive materials.

The Philippine government says a bomb plot that rivaled the Madrid train bombings has been foiled. Four people have been arrested. Eighty pounds of explosives were confiscated. President Arroyo says the terrorists were targeting shopping malls and commuter trains.

Saudi Arabia's oil minister says OPEC will stick to its plan to cut production by a million barrels a day starting this week. OPEC ministers meet tomorrow in Vienna.

Israeli police are on alert today on the 28th anniversary of Land Day. Palestinians have called a general strike and will hold demonstrations and parades to mark the day.

(WEATHER REPORT)

COSTELLO: Well, the calendar says more than eight months until the election. Oh, but the race for the White House is speeding up. On the second day of his two day campaign swing through California, John Kerry will unveil his brand new plan to reduce fuel costs. He blames Bush policies for the recent gas price hikes.

(BEGIN VIDEO CLIP)

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: And I noticed that gas is now close to $3 a gallon here in California. If it keeps going up like that, folks, Dick Cheney and President Bush are going to have to carpool to work together. Those are not Exxon prices, those are Halliburton prices, ladies and gentlemen.

(END VIDEO CLIP)

COSTELLO: On the subject of President Bush, the day after welcoming new NATO members, President Bush turns his focus to domestic matters. He's heading to Wisconsin. It's not an official campaign visit, but he will be talking about a huge campaign issue, and that would be jobs.

The latest CNN/"USA Today"/Gallup poll shows a statistical dead heat -- George Bush with 51 percent, John Kerry 47 percent. And the margin of error here is four percentage points. Now, the same poll finds Kerry's favorable ratings have dropped since last month. Very interesting.

Well, but, maybe, just maybe, Kerry's poll numbers will swell again because of a new ally, and that would be Air America, the new liberal talk radio network that will throw a launch party tonight. It will be on the air in four cities tomorrow.

So, will it fly?

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Aired March 30, 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: Half a ton of explosives found this morning as British police conduct raids to root out terrorists.
And good morning to you.

From the CNN global headquarters in Atlanta, this is DAYBREAK for March 30th.

I'm Carol Costello.

Let me bring you up to date now.

A half ton of the same mixture used in the Oklahoma City bombing -- British police uncover it this morning, along with eight suspects. Police say the suspects are connected to possible Islamist terror. We'll have a live report for you out of London in just a few minutes.

Testimony resumes this morning in the trial of a Texas mother who bludgeoned two sons to death and seriously injured a third. Deanna Laney said she received instructions from god.

A grand jury meets in a secret location to deal with the Michael Jackson molestation case. Prosecutors hope for an indictment so they won't have to reveal evidence at the preliminary hearing.

He was known in America for hosting high brow TV drama. But in his native England, he was a radio fixture for more than half a century. Alistair Cooke died overnight. He was 95 years old.

(WEATHER REPORT)

COSTELLO: A potential terrorist attack thwarted. Eight suspects possibly tied to Islamic terrorists and a half ton of ante, the explosive used in the Oklahoma City bombings, all picked up in early morning raids by British police.

David Clinch is here with more details for you.

DAVID CLINCH, CNN INTERNATIONAL EDITOR: Yes, Carol, good morning.

This is a big story for us this morning in London. We've been seeing a series of arrests of terror suspects over the last few months, or years, even in Britain, following the 9/11 attacks. But within the last few weeks or so, the intensity of these searches has increased. A top British policeman saying a few weeks ago a big terror attack in London was inevitable. Well, today we are hearing from British police in what is an unusual step for them, holding a public press conference, that early this morning in various locations around London and beyond London, they arrested eight British citizens -- and that's interesting -- who they say are connected to international terrorism.

They won't give us many more details right now, but we're hearing from British police sources that they believe it's connected to what they describe as Islamic terrorism.

COSTELLO: It's not connected to the Madrid train bombings.

CLINCH: They say not...

COSTELLO: It's not connected to the Irish Republican Army.

CLINCH: That's true. And that gives us some clues. But, again, they're being very cautious in terms of the details, but very public in terms of getting the core of the story out to the British public. Because following recent announcements, there had been a degree of panic out there. So I think they're very interested in getting the details and...

COSTELLO: And before we go on, just to make our viewers understand better, where did they find this fertilizer?

CLINCH: The fertilizer was found at a location just outside of London, in what you would call a standard storage location, where you can buy space, rented space and store it. Now, what we don't know if they found a half a ton of ammonium nitrate. Two and a half tons was used in Oklahoma, so that gives you a sense of the scale. But it is just a fertilizer. It's connecting the fertilizer to the intent that makes it more than fertilizer. And we really don't know that at this point.

We'd the know whether anyone was arrested at this site. We don't know whether any of those arrested bought the fertilizer or what the intended use was. But...

COSTELLO: And these eight suspects are British citizens.

CLINCH: That's true. And that's interesting. Obviously, the British police watching very closely within the Muslim community, which is quite a large one in Britain. But, on the other hand, the police statement today making it very clear that in their view, the huge majority of Muslims in Britain reject terrorism. They don't want this to become a Muslim issue. But clearly these are British citizens. We don't even know if they're Muslim, of course, at this point.

But they did go out of their way to stress that they believe most British Muslims reject terrorism. So...

COSTELLO: Certainly so.

CLINCH: ... very interesting. COSTELLO: David, we're going to get more information for this out of...

CLINCH: Yes. We're going out to that scene and we'll have live reporters on this story all day.

COSTELLO: We're going to have Sheila MacVicar very soon on DAYBREAK, too.

CLINCH: Yes.

COSTELLO: David Clinch, thanks.

No deal yet, but White House officials and the 9/11 Commission members are working toward a compromise. The plan would allow National Security Advisor Condoleezza Rice to testify privately before the 9/11 Commission and her remarks, except for sensitive intelligence information, would then become public.

Like her previous testimony to Commission members back in February, Rice would not be placed under oath.

But the del is not enough for Senate Democrats, who plan to introduce a bill today urging public testimony.

(BEGIN VIDEO CLIP)

SEN. EDWARD KENNEDY (D), MASSACHUSETTS: It is sheer hypocrisy for the White House to encourage Condoleezza Rice to appear on television to dispute Mr. Clarke's testimony to the Commission and then prevent her from presenting her views to the Commission itself. Many of us in the Senate will propose a resolution tomorrow urging that Dr. Rice be permitted to testify in public under oath. There will be ample opportunity after that for the president to decide whether he himself is willing to testify in public and under oath, as well.

(END VIDEO CLIP)

COSTELLO: And here are some more details for you on Condoleezza Rice and the 9/11 panel. Rice was not under oath during her four hour February testimony before Commission members. No transcripts exist from the Rice testimony, only notes taken by commissioners and White House staffers. Now, those notes could be declassified and then released to the public. And more than 1,000 people have met with the Commission in private sessions.

It is back to deliberations this morning for jurors in the Tyco trial. This is day nine of the process.

And as CNN's Chris Huntington reports, it has been plagued with problems.

(BEGIN VIDEOTAPE)

CHRIS HUNTINGTON, CNN CORRESPONDENT (voice-over): Jury deliberations in Dennis Kozlowski's corporate fraud trial appeared back on track as Judge Michael Obus denied yet another defense request for a mistrial indicating that all of the jurors said they could resume deliberating including Juror No. 4.

She's the 79-year-old former schoolteacher with a law degree who made front page news for flashing what appeared to be an OK sign toward defendants in court on Friday.

BRUCE SHAEFFER, ATTORNEY: That's the one juror who has come to the conclusion that there was not criminal intent is basically deciding it the way the judge directed them but if she in good conscience holds that belief then she's diligently following the court's instructions and doing what she was told to do.

HUNTINGTON: Defense attorneys arguing unsuccessfully their fifth mistrial motion since Thursday said Juror No. 4 had been at the center of the jury's deadlock dispute and that unflattering press reports, such as a "New York Post" front page sketch and headlines calling her a "batty blue blood" and "paranoid socialite" would have been seen by other jurors further poisoning the deliberations.

STEVEN BRILL, CEO, VERIFIED IDENTIFIED PASS, INC.: Given the circumstances I don't think there was anything wrong with what some of the newspapers did. They did nothing other than tell the public something the public had a right to know, which is who is this juror who seems to be causing this disruption in the process.

HUNTINGTON: In denying the mistrial, Judge Obus said the only thing that mattered were the jurors' assurances that they had buried the hatchet and could get back to work.

(END VIDEOTAPE)

COSTELLO: Now to Texas, where testimony resumes today in the trial of a woman accused of bludgeoning her two sons to death with rocks. Deanna Laney also accused of badly injuring a third son, a 15- month-old baby who survived the attack. She has pleaded not guilty by reason of insanity. Prosecutors played a tape of Laney's 9/11 call, which she made last May.

(BEGIN AUDIO CLIP)

UNIDENTIFIED MALE: (UNINTELLIGIBLE) 911.

What's your emergency?

DEANNA LANEY: Yes, (UNINTELLIGIBLE) I just killed my boys (UNINTELLIGIBLE).

UNIDENTIFIED MALE: You did -- ma'am, you did what?

LANEY: I just killed my boys.

(END AUDIO CLIP)

COSTELLO: Did you hear there she said, "I did kill my boys?" prosecutors have chosen not to seek the death penalty. Laney's attorney says she believe god told her to kill her children.

Time to check on some other stories making news across America this Tuesday morning.

In Washington, the Supreme Court is slated to hear arguments today in a case involving foreign abductions. The Bush administration says the ruling could affect efforts to capture terrorists like Osama bin Laden.

In Massachusetts, the legislature approves a constitutional amendment banning same-sex marriages, but allowing legalized civil unions. A state court ruled last November that same-sex marriages were constitutional. Governor Mitt Romney says he'll seek a stay of the court's order until voters decide on the amendment. That vote is scheduled for the fall of 2006.

Heavy rains have caused flooding through a large part of northeastern North Dakota. Emergency officials say frozen ground kept the rainwater from seeping in, which, in turn, forced the flooding. The governor has declared a state of emergency for that area.

MYERS: Yes, Carol, a lot of rain came up from just east of North Dakota and the west parts of Minnesota. And all that rain is trying to get into the Mississippi. It's just going to take a while.

Time to give away our mug.

COSTELLO: Yes.

MYERS: Not that one, because that has lipstick on it.

COSTELLO: Not that one. It's disgusting, isn't it?

MYERS: You won't get that one.

Yesterday, the questions that we asked: Air America, a new liberal radio network will start this week in four cities. What are the four cities? New York City, Chicago, L.A., San Francisco. And according to a local paper there in Columbus, the Ohio shootings, the highway shootings, cost investigators how much money? $3 million.

And the winner, the winner...

COSTELLO: Drum roll.

MYERS: That's a paper roll.

COSTELLO: I love that.

MYERS: Roberta Horowitz from Lockport, New York.

COSTELLO: Congratulations, Roberta.

MYERS: It's not that far from where I grew up in Cheektowaga, New York.

COSTELLO: Cheektowaga.

MYERS: I love those names -- Lackawanna, Tonawanda, Cheektowaga.

COSTELLO: They keep you honest.

MYERS: No kidding.

COSTELLO: Can you imagine learning speaking there when you're like a child? Oh, you did that, didn't you?

MYERS: That's -- well, yes, I can imagine that, actually.

COSTELLO: I think I should go on. I'll take another sip of coffee before.

MYERS: Anyway, all right.

Still to come here on DAYBREAK, Janet Jackson is everywhere promoting her new CD, but it's the lasting impression from her Super Bowl appearance that's changing the face, the face of radio.

COSTELLO: You're not kidding.

Speaking of radio, the liberal sound of Air America is set to launch tomorrow. We will talk with one talk radio veteran -- that would be Neal Boortz -- about the possible impact.

We'll be right back.

COMMERCIAL

COSTELLO: Well, we've been talking about this all morning. The story broke, oh, about an hour ago. British police say they have rounded up eight suspected Islamic terrorists.

We're going to take you live to London now and Sheila MacVicar to tell us more -- Sheila, bring us up to date.

SHEILA MACVICAR, CNN CORRESPONDENT: It was a coordinated series of raids early this morning. We're told 700 police officers from five different forces, including special branch and the British security services involved. They have eight men, all British nationals described as British nationals of Pakistani origin between the ages of 17 and 32, currently in custody. And there are ongoing searches taking place at some 25 different locations.

Now, at one of those locations, a self-storage warehouse on the outskirts of London, police say they have discovered about 1,000 pounds of ammonium nitrate fertilizer. And ammonium nitrate fertilizer is something that can be used in bomb making. It has been used. It was used at the Oklahoma City bombing. It was used by those who created the Bali bomb.

We've also had a very unusual statement this morning from a senior British police officer. The British police officer in charge of counter-terrorism for Scotland Yard making very clear that this was a very serious event, that it deserved intense media scrutiny and they request also that the press be somewhat circumspect, or as circumspect as they could be in reporting this story -- Carol.

COSTELLO: Sheila MacVicar reporting live from London this morning.

Your news, money, weather and sports.

It is 6:14 Eastern time.

Here's what's all new this morning.

Gas prices enter the presidential campaign debate. John Kerry blames record high prices on the Bush administration.

In the meantime, the Bush-Cheney campaign releases a new radio ad with this catchy title: "The Man From Massachusetts." The ad says Kerry voted for higher taxes "at least 350 times."

In "Money," California Governor Arnold Schwarzenegger and his wife Maria revealed the state's brand new quarter. Take a look at that thing. The coin shows conservationist John Muir plus a California condor and a mountain in Yosemite National Park.

In sports, these gals are going to the final four. The Yukon Huskies beat up on Penn State 66-49. And it was a close one, but LSU's Lady Tigers beat Georgia 62-60.

In culture, ready for more of Janet Jackson? Two months after her revealing Super Bowl appreciation, Jackson's new album Damita Jo is out. She'll host "Saturday Night Live" next month.

(WEATHER REPORT)

COSTELLO: We've got a lot more ahead for you this hour.

Air America about to hit the air waves. But will the liberal radio network make a dent in its conservative competition?

Plus, a different angle on the Janet Jackson story. Her Super Bowl sideshow, how it could affect your favorite radio star. We'll explain.

And our DAYBREAK Photo of the Day. Take a look. What is it?

MYERS: Ooh.

COSTELLO: We'll be right back.

MYERS: That's a tough one.

COSTELLO: It is.

COMMERCIAL

MYERS: That's pretty tight. We didn't give you a whole lot of choices on this one. Didn't even give you a chance. What was this? What is the DAYBREAK Photo of the Day? We zoomed it in for you. You can hardly tell what it is, but if you use your imagination, that's a gas pump and the gas hoses. And obviously that's the curb there for the gas pump. Zoom it out...

COSTELLO: Whoa!

MYERS: And that's the bad part -- $2.44 and nine a gallon in San Diego yesterday. That's...

COSTELLO: California and Hawaii, by the way, have the highest prices in the nation. And that picture certainly bears that out.

MYERS: All right, Janet Jackson?

COSTELLO: That's right. Her album is coming out. It's called Damita Jo.

MYERS: She is all ready.

COSTELLO: It hits the record stores today. So she is on a publicity tour talking about music and that wardrobe malfunction.

Here she is on "David Letterman."

(BEGIN VIDEO CLIP FROM "DAVID LETTERMAN," COURTESY CBS/WORLDWIDE PANTS)

LETTERMAN: You knew it was going to happen, right? You did know it was going to happen?

JACKSON: No, I didn't.

LETTERMAN: You didn't know it was going to happen?

JACKSON: No, I didn't.

LETTERMAN: So it came as a complete surprise to you?

JACKSON: Yes.

LETTERMAN: Really?

JACKSON: Yes. It was truly an accident. It wasn't a stunt.

LETTERMAN: It was not a stunt.

JACKSON: No.

LETTERMAN: It was not premeditated.

JACKSON: No.

LETTERMAN: It was nothing that you had rehearsed.

JACKSON: No. LETTERMAN: Yes. So how did it happen? What exactly transpired there?

JACKSON: Dave, you're going to make me relive this. I want to put all that behind me. I truly do. I did this...

LETTERMAN: Well, not me.

(END VIDEO CLIP)

COSTELLO: He would not let her stop.

MYERS: He would not. He kept saying don't do anything. It was just a little thing. He goes it was not. It's like whoa.

So, anyway, they actually edited out some of the stuff. She -- Janet actually somewhere in there went and said, "Jesus!" and they edited that out because they didn't want that in there.

COSTELLO: That's surprising to me, because I don't think that would have happened pre-Super Bowl.

MYERS: Absolutely not.

COSTELLO: It's funny how so much has changed since then, especially on the radio.

So the question this morning, did Janet kill the radio star or did she make him better?

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALES: Video killed the radio star. Video killed the radio star.

COSTELLO (voice-over): MTV couldn't kill the radio star, but maybe Janet will kill the shock jock once and for all. Since Jackson's wardrobe malfunction, the FCC is in a fighting frenzy, hitting broadcasters to the tune of $1.84 million in penalties in just three months. That's more dollars than 2002 and 2003 combined. And money talks. It's forcing radio DJs to wave the white flag.

MICHAEL HARRISON, "TALKERS MAGAZINE": Everybody in radio is cleaning up their act to the point that it's spic and span and sanitized.

COSTELLO: Along with money, there's the fear. Clear Channel, a company that owns over 1,000 radio stations, is acting contrite.

UNIDENTIFIED MALE: I'm embarrassed to be here.

COSTELLO (on camera): Since that emotional congressional hearing, Hogan's company has pulled or fired three shock jocks from across the country. It's even pulled Howard Stern's radio program from six markets.

UNIDENTIFIED MALE: Save rock and roll. Save rock and roll.

COSTELLO (voice-over): Roiling fans who fear the death of raunchy play on morning radio.

DOUG TRACHT, "THE GREASEMAN": Bush, Bush, we're talking serious whiskey.

COSTELLO: Doug "The Greaseman" Tracht, once considered a shock jock himself, hopes so.

TRACHT: I think, god forbid, if there were a silver lining in all this, stations are going to have to hire people with talent.

COSTELLO: Hmmm, talent. Just think -- creative, legitimately funny morning radio. Of course, if it comes with the price of censorship, Tracht says it ain't worth it. And keep in mind, some industry insiders say the FCC's fining frenzy is most likely temporary, as may be the after effects of the video star who unexpectedly affected the radio star.

Who knows? Jackson's new album could sell like hotcakes thanks to Wardrobegate. And as for radio's shock jock ratings, they remain high.

(END VIDEOTAPE)

COSTELLO: Interesting, isn't it?

MYERS: I haven't seen The Greaseman or heard his voice in so long. I grew up with him in D.C. when I worked there for the Weather Service.

COSTELLO: Well, he's back on the radio.

MYERS: Yes, I know that.

COSTELLO: He's trying to come back because, you know, he had his own controversies in the past.

MYERS: Absolutely.

COSTELLO: We wanted to show you Janet Jackson's album cover -- take a look -- because it's going to hit the record stores today. It's very modest, isn't it?

MYERS: Hmm.

COSTELLO: There's a review in -- is this "Newsweek" magazine? "Newsweek." This is a review in the magazine. It says, "What's disturbing about this album is the childlike tone Jackson affects, juxtaposed with her X-rated lyrics." They call her style her "new naive porn star persona." So it should be -- and they don't give a very good review of the album.

MYERS: Yes.

COSTELLO: But we'll see if it sells. It should be interesting.

MYERS: Yes.

COSTELLO: Yah.

Coming up in the next half hour of DAYBREAK, you couldn't afford tickets to Tokyo for the season opener? Well, some fans find a way to root for the home team. We'll tell you about it.

We'll also tell you about a new magazine that will be available only at Wal-Mart.

And competition for the conservatives -- we'll talk to Neal Boortz -- he's in the house right now -- about some new talkers, his liberal counterparts.

We'll be right back.

COMMERCIAL

COSTELLO: And good morning to you.

From the CNN global headquarters in Atlanta, this is DAYBREAK for March 30th.

I'm Carol Costello.

Here are the latest headlines at this hour.

British police officers and agents conducted a series of raids in and around London this morning. They arrested a number of suspected Islamic terrorists and officials say they've seized 1,000 pounds of possibly explosive materials.

The Philippine government says a bomb plot that rivaled the Madrid train bombings has been foiled. Four people have been arrested. Eighty pounds of explosives were confiscated. President Arroyo says the terrorists were targeting shopping malls and commuter trains.

Saudi Arabia's oil minister says OPEC will stick to its plan to cut production by a million barrels a day starting this week. OPEC ministers meet tomorrow in Vienna.

Israeli police are on alert today on the 28th anniversary of Land Day. Palestinians have called a general strike and will hold demonstrations and parades to mark the day.

(WEATHER REPORT)

COSTELLO: Well, the calendar says more than eight months until the election. Oh, but the race for the White House is speeding up. On the second day of his two day campaign swing through California, John Kerry will unveil his brand new plan to reduce fuel costs. He blames Bush policies for the recent gas price hikes.

(BEGIN VIDEO CLIP)

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: And I noticed that gas is now close to $3 a gallon here in California. If it keeps going up like that, folks, Dick Cheney and President Bush are going to have to carpool to work together. Those are not Exxon prices, those are Halliburton prices, ladies and gentlemen.

(END VIDEO CLIP)

COSTELLO: On the subject of President Bush, the day after welcoming new NATO members, President Bush turns his focus to domestic matters. He's heading to Wisconsin. It's not an official campaign visit, but he will be talking about a huge campaign issue, and that would be jobs.

The latest CNN/"USA Today"/Gallup poll shows a statistical dead heat -- George Bush with 51 percent, John Kerry 47 percent. And the margin of error here is four percentage points. Now, the same poll finds Kerry's favorable ratings have dropped since last month. Very interesting.

Well, but, maybe, just maybe, Kerry's poll numbers will swell again because of a new ally, and that would be Air America, the new liberal talk radio network that will throw a launch party tonight. It will be on the air in four cities tomorrow.

So, will it fly?

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