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CNN Live Today

Doubts Cast on Missing College Student's Tale of Abduction; Michael Jackson's Lawyers Ask for Gag Rule Flexibility; Bush Rides High on Positive Job Report

Aired April 02, 2004 - 11:30   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.


DARYN KAGAN, ANCHOR: Any indications of the format of today's news conference?
JONATHAN FREED, CNN CORRESPONDENT: They haven't, as far as I know, although they've given us a lot of notice. We found out early this morning, when the public information officer for the police department, who 9has been the main point of contact for us, he seemed somewhat void when he said, "Look, we have some news. There has been a major development and there was going to be a news conference this morning."

We tried to press them to find out exactly how they would handle it. But a few days ago they were much more -- they were much more accommodating at the news conference, sticking around for a good half hour and answering a wide range of questions.

So we have seen both. It's not as though this police department has been sticking to a statement and walking away. There's a good chance that if there is a significant direction in the case we might see a more open conference today. We'll find out in a few minutes.

KAGAN: All right. We are standing by. And you are, as well. Jonathan Freed in Madison, Wisconsin. There is the live picture from where that news conference will begin. We'll go back there live once it does begin.

Meanwhile, let's get some other news in. A California judge is hearing motions today from players in the Michael Jackson child molestation case.

Our Miguel Marquez at the courthouse in Santa Maria this morning.

(BEGIN VIDEOTAPE)

MIGUEL MARQUEZ, CNN CORRESPONDENT: While Michael Jackson was three time zones away in the nation's capitol, accepting an award for his charitable work in Africa, his lawyers are hard at work here discussing several issues in court.

Mark Geragos says that they want to discuss the gag order. They want more access and more ability to respond to leaks in this case.

They're also discussing the evidence in Michael Jackson's 1993 molestation case, a case that was settled out of court, and his lawyers want to know exactly what the prosecution intends to bring into this matter.

They also want to set up preliminary hearing date today, but it's not clear if that preliminary hearing date will mean a whole lot. Mainly because grand jurors are meeting about an hour and a half south of here, hearing testimony in a grand jury proceedings for possible indictment of Mr. Jackson.

If that grand jury does indict him, then the whole procedure we're talking about today would be superseded by that, and Mr. Jackson would have to be arraigned all over again.

Miguel Marquez, CNN, Santa Maria, California.

(END VIDEOTAPE)

KAGAN: Let's talk about the Jackson case again with Harvey Levin, executive producer for "Celebrity Justice." He is at the "Celebrity Justice" studios in Glendale, California.

Good morning, Harvey.

HARVEY LEVIN, EXECUTIVE PRODUCER, "CELEBRITY JUSTICE": Hi, Daryn.

KAGAN: Are you surprised about all the hush-hush efforts for this case?

LEVIN: Well, it really is extraordinary. I can tell you that one of the things they were doing is they were giving people four hours' notice and literally changing locations on witnesses as they were driving up from Los Angeles to Santa Barbara.

So they are going to great lengths to make sure that it is as secret as secret can be.

KAGAN: I think one thing interesting about Santa Barbara County, it is a huge county, as big as some of the states on the East Coast. And Santa Maria, where this preliminary hearing, where the trial would take place, very different type of jury you're going to get than in the southern part of the county, in the city of Santa Barbara, where the grand jury is being convened.

LEVIN: Yes, and I think this is all kind of part of it. I don't think they wanted the hoards of media in Santa Barbara, which is kind of a metropolitan area, where the courthouse is.

I covered the Rodney King case a long time ago, and that was held in Simi Valley. And it actually worked better for the courts to do it in a rural area where the media isn't all over the place. I think rural just tends to be less disruptive than urban.

KAGAN: Although you saw what happened with Jackson's first court appearance. It couldn't have been more disruptive.

LEVIN: Well, but imagine if that happened right in the middle of downtown Santa Barbara. As crazy as that was, it would have stopped the city. So I think, you know, you can only imagine how many times worse it would have been if it were right in the heart of Santa Barbara.

KAGAN: Good point. Meanwhile, in terms of interesting twists for this story, Michael Jackson shows up on Capitol Hill talking about fighting AIDS in Africa. Now he wants to go to Africa in the middle of August. Is that going to happen?

LEVIN: Well -- Well, there's a slight problem, because the judge kind of has his passport in his back pocket, in a figurative way. This is going to be a problem for him.

And, you know, it's interesting that you do have -- you have kind of the American justice system being played out here, and that a man is innocent until proven guilty, and he's allowed to do what he does in the Washington, D.C., venue as the grand jury proceeds hearing a very serious criminal charge against him in Santa Barbara.

So it is quite interesting to me. And you know, we know something else about this grand jury hearing, by the way.

KAGAN: What's that?

LEVIN: It's not just about the allegation of molestation. One of the things we know the grand jury is hearing is a story about the family and how they first became concerned when this boy allegedly began acting out in strange ways at home.

So the D.A. is not just presenting a case about what Michael Jackson allegedly did to the boy, but he's going back in time, and having the family talk about this strange kind of behavior that got them very, very concerned.

And so it's more a story than just a charge.

KAGAN: And the next time you think that we're going to see Michael Jackson in the courtroom?

LEVIN: Well you know, it depends on what happens with this grand jury. I'm assuming that if -- there's a saying in Santa Barbara that a grand jury would indict a sandwich. So, you know, it's very easy to get a charge to stick with a grand jury, because you don't have the defense rebutting anything.

So assuming Michael Jackson is indicted, then he has to answer to the charges, and he would be back in court for that.

KAGAN: All right.

LEVIN: But realize, what happens here is you completely avoid a preliminary hearing, which the prosecution, I think, in this case, really wanted to do for various reasons.

KAGAN: I understand. Understood. Harvey Levin, "Celebrity Justice." Thank you, Harvey.

Yes, next time.

We are standing by waiting for a news conference to begin in Madison, Wisconsin. We'll get to that as soon as it begins. You'll see it live right here. The latest on the young college student, Audrey Seiler, who said she was abducted. Do police still believe her? That still ahead.

First, though, today's Fortune 500 project.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Harley Davidson may be 100 years old, but the Fortune 500 company shows no signs of slowing down.

Still riding high after its centennial birthday celebration in 2003, Harley-Davidson recently announced record revenues for the 18th year in a row.

As it heads into its next century, Harley is attempting to attract a new crop of hog fans by rolling out new bikes designed for women and smaller riders. Harley is also making its bikes more affordable for buyers by narrowing its traditional gap between supply and demand.

In the past, devoted customers could wait more than a year for a new bike.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

KAGAN: We go live to Madison, Wisconsin, for the latest on Audrey Seiler.

ASST. CHIEF NOBLE WRAY, MADISON POLICE: Good morning. I'll read a brief statement prepared for an update for today.

As you know, over the last several days, the Madison Police Department, the Madison community and hundreds of volunteers from the surrounding states had searched for Audrey Seiler.

Through constant publicity, Audrey's picture was visual in every part of the country. Fortunately, a witness saw Audrey and contacted our department. Audrey was located and reunited with her family.

The Madison Police Department took a report from Audrey that an unknown male had abducted her by knifepoint from her residence. Audrey further stated that she was taken to various areas within the city and eventually held at a marsh off of Rimrock Road in the city of Madison. Audrey reported that she believed that her abductor was still in the marsh area and may have a gun.

With the help of numerous law enforcement agencies, the Madison Police Department secured the area and eventually searched it thoroughly. No suspicious person was located in the marsh area. During this investigation, inconsistencies appeared between Audrey's statements, witness statements and physical evidence obtained by our department.

As we continue to investigate this reported abduction by Audrey, she was presented with these confirmed inconsistencies that resulted in Audrey admitting that, in fact, she had not been abducted at her apartment at all. Audrey stated that she just wanted to quote/unquote "be alone."

However, Audrey is now reporting that the suspect depicted in the description made available last night, that the sketch -- abducted her from a different location within the city at knifepoint.

Let me read that again to make that really clear. However, Audrey is now reporting that the suspect depicted in the sketch abducted her from a different location in the city at knifepoint.

The Madison Police Department is assisting Audrey and her family while they deal with this incident. We are dedicated to helping the Seiler family as they deal with a wide range of emotions, and a number of things that they have been through.

We are extremely grateful for the positive relationship with the family as we continue this investigation. As a standard practice, the Madison Police Department -- at the Madison Police Department, we continue urging people to exercise normal safety precautions.

Thank you.

UNIDENTIFIED MALE: Next, we're going to turn this over and ask Julie Foley from the Dane County district attorney's victim assistance program to make a brief comment -- Julie.

JULIE FOLEY, DANE COUNTY DISTRICT ATTORNEY'S OFFICE: Good morning, everybody.

In addition to the efforts of the Madison Police Department and the broader law enforcement community, I'd like to take this opportunity to recognize the unprecedented efforts of Audrey's family and friends, the entire Rockford, Minnesota community and the greater Madison community.

With no prior notice or chance to prepare or train, an entire community ranging in age from teens to multiple sets of grand grandparents relocated from a minimum distance of four hours. They orchestrated an exhaustive and self-less search for Audrey.

Each morning the self-appointed team leaders briefed with assigned representatives from the Madison Police Department and the University of Wisconsin Police Department. They were equipped with reflective vests and two-way radios and they took to the woods, the marshes and the fields of Madison.

They searched for hours returning long enough to refuel with the food generously provided by the Red Cross, and they changed their wet and soiled clothing.

There were a number of locations where we had to go out and get more socks for folks who just didn't prepare with enough socks.

New assignments were given, and they ventured out again until dark. Their efforts were nothing short of awe-inspiring. The fine folks of Rockford, Minnesota, and the overwhelming support of the greater Madison community has taught us a great deal about community, about human kindness and about compassion.

As victims' service providers we are grateful to the Madison Police Department for the continual opportunity to coordinate our efforts to assist victims and witnesses of crime.

Special thanks should be extended to the region, the residents where Audrey lived for making that our first of two family assistance centers. The Holiday Inn Express, who virtually turned their establishment over to become the family assistance center for four straight days.

The University of Wisconsin-Madison, whose tireless efforts to get information out through campus-wide e-mail and the establishment of a web site. We will be forever grateful for all of these efforts, and in no way should these be considered secondary to the other things going on. They were absolutely amazing.

Thanks so much.

UNIDENTIFIED MALE: Finally, unfortunately, because this case is ongoing, we cannot take questions at this time. We do not anticipate any further press briefings today, unless significant new information is developed. Thank you.

KAGAN: Much like yesterday at 5 p.m. Eastern when they held a news conference, police just making a statement, not taking any questions.

This case of Audrey Seiler that we're looking for clarification, gets a little more strange and stranger. Audrey Seiler, claim the police now, who said the first time that she had been taken at knifepoint last Saturday and then found Wednesday in a marsh.

Now when she presented with inconsistencies of her statements, witness statements and physical evidence, has told police that in fact she wasn't taken at knifepoint from her apartment, that she just wanted to be alone.

And yet police not going that final step in saying that this was a complete hoax, saying that Audrey Seiler now insists that a different point at the city of Madison, she insists she was taken by knifepoint by this man that she gave a description to to create this sketch.

So the investigation does go on in the city of Madison, Wisconsin. Let's bring our Mike Brooks to help understand.

Strange news conference.

MIKE BROOKS, CNN ANALYST: Very, very strange, Daryn. They said, no that she admitted in fact she wasn't abducted from her apartment but, in fact, this composite that was released yesterday is a person that abducted her from another location somewhere in Madison.

KAGAN: Well, Audrey says -- the woman says it.

BROOKS: Exactly. So they are still continuing to investigate that.

Now we go back to February 1, when she said she was the victim of an unknown assailant outside of her apartment building. Is this linked to the unknown assailant who abducted her from a second location, or is that in fact a hoax? We don't know.

KAGAN: OK. Help me here. All your years in law enforcement, does it not seem to you the Madison Police Department is bending over backwards, giving the benefit of the doubt to this young woman and to this family, giving a lot more consideration that in a lot of other situations they would have just been shown the door or perhaps even pressing charges against somebody making a claim like this?

BROOKS: Well, they could still press charges against her for making a claim. That's up to the district attorney's office. There's a local charge and both a state charge of obstruction of an officer in an investigation.

So it's up to the D.A. whether or not he or she will decide to press charges on that first complaint that she made to the police about being abducted from her apartment.

But then we have the second one. They want to make sure that they cross all the "T's" and dot all the "I's." And in fact, if there is, in fact, a perpetrator out there that did, in fact, force her at knifepoint from another location in the city, they want to make sure that they do find this person and he is not a threat to the community.

So again, they have to go about this, Daryn, in a methodical way and to continue the investigation.

KAGAN: All right. Mike Brooks, thanks for helping us out with the news conference out of Madison, Wisconsin.

Other news ahead: President Bush is making news today, getting ready to talk jobs. And it comes right on the heels of some upbeat job numbers. There's a live picture of the president heading to West Virginia today.

We'll take a break and we're back after this.

(COMMERCIAL BREAK)

KAGAN: President Bush has something today that he can brag about, a jobs report. Our senior political correspondent, Candy Crowley, joins us with the latest on unemployment and employment politics and other campaign news out there.

Candy, good morning.

CANDY CROWLEY, CNN CORRESPONDENT: Good morning, Daryn. Thanks a lot.

President Bush is in West Virginia this hour to talk about job training, a subject that may seem less sensitive for him, thanks to today's surprisingly strong payroll report.

With jobs growing last month at the fastest pace in nearly four years, the Bush/Cheney campaign says the numbers show the president's progress (ph) policies are working and that John Kerry would derail America's economic recovery.

The Kerry campaign issued a statement a short while ago, saying the jobs report is welcome news for American workers after three years of punishing job losses.

The numbers do take some steam out of Kerry's top line in an attack on the Bush economic record.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: While jobs are leaving our country in record numbers, George Bush says sending jobs overseas makes sense for America. His top economic advisers say moving American jobs to low- cost countries is a plus for the U.S.

John Kerry's proposed a different economic plan that encourages companies to keep jobs here. It's part of a detailed...

(END VIDEO CLIP)

CROWLEY: That is part of Kerry's new ad that begins running today in 17 battleground states.

A new poll in the showdown state of Wisconsin finds George W. Bush holding on to a slight lead there. The Badger Poll shows Bush ahead of John Kerry 47 percent to 41 percent. Ralph Nader receives five percent. When Nader is removed from the choices, Bush still retains as four-point lead over Kerry.

The Bush team didn't take long to respond to Kerry's new TV ad on jobs and the economy. The latest Bush/Cheney spot goes after Kerry's voting record in the Senate.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: John Kerry's record on the economy? Troubling. He opposed tax relief for married couples 22 times. Opposed increasing the child tax credit 18 times. Kerry supported higher taxes over 350 times. He even supported increasing taxes on Social Security benefits and a 50-cent a gallon gas hike for gasoline.

(END VIDEO CLIP)

CROWLEY: That new ad hits the airwaves tomorrow in 18 states and on national cable channels.

Hold onto your steering wheel for this one. The Republican- dominated House appears ready to defy the White House and risk a presidential veto, all in the name of highway construction.

A $275 billion spending bill for highways is expected to pass sometime today. The White House says it's too much. Some lawmakers say it's too little. The Senate has passed an even larger spending bill.

Do today's job numbers mean better times ahead for U.S. workers? What about the trend of outsourcing jobs overseas? I'll ask the chairman of President Bush's council of economic advisers, Gregory Mankiw.

And liberals aren't the only ones jumps into the radio talk show scene. I'll ask William Bennett about his brand new show.

Join me at 3:30 Eastern when I go "INSIDE POLITICS." Now back to Daryn Kagan in Atlanta -- Daryn.

KAGAN: We will be there on Friday Afternoon. Candy Crowley, thank you for that.

Business and weather. We have time for both. We'll take care of that, right after this break.

(COMMERCIAL BREAK)

(WEATHER REPORT)

KAGAN: and that's going to do it for me, Daryn Kagan. Wolf Blitzer is still off today, so Fredricka Whitfield is here taking over for the noon Eastern.

FREDRICKA WHITFIELD, ANCHOR: Hello, good-bye.

KAGAN: And I'll take you up on that.

WHITFIELD: Yes, have a great weekend.

KAGAN: OK. Have a good newscast.

WHITFIELD: OK. Thanks a lot.

Hello everyone. I'm Fredricka Whitfield at the CNN Center in Atlanta, in for Wolf today.

This hour, Spanish police find a powerful bomb on a high-speed rail line less than a month after those deadly train bombings in Madrid. We're live on the scene. In Iraq, bracing for retaliation for the killings of four Americans in Fallujah.

And from Wisconsin, police now say the university student who says she was kidnapped is changing part of her story.

First the headlines. Record growth for U.S. payrolls. The Labor Department reports 308,000 new jobs were created in March, the biggest monthly increase in four years. On average, economists only expected about 123,000 new jobs.

Fresh off his trip to Europe, America's top diplomat is headed to Haiti. The U.S. State Department says Secretary Colin Powell will visit the Caribbean country on Monday. He's expected to meet with Haiti's interim government. It's the first trip to Haiti for a top U.S. official since the resignation of President Jean-Bertrand Aristide.

And violence in Jerusalem. Several people were injured when Israeli police stormed the al-Aqsa Mosque compound today after prayers. Police used stun grenades and rubber pellets to control Palestinian protesters, who threw rocks at police and Jewish worshippers.

The mosque is on the Temple Mount or Haram al-Sharif, a constant point of contention in the region.

First up this hour, Iraq and the vow by U.S. officials to hunt down the killers in this week's gristly attack on independent security forces and to help quell anti-Western sentiment in Fallujah.

Senior international correspondent Walter Rodgers joins us live from Baghdad with more on that -- Walter.

WALTER RODGERS, CNN CORRESPONDENT: Hello, Fredricka.

Well, the aftershocks of the brutal murders of those four American contractors in Fallujah on Wednesday continue to reverberate through Iraq. Everyone knows the U.S. Marines have been -- have been assigned to retake that city. It's only a question of when.

Still, a top American general here said Fallujah will be pacified as other rebellious Iraqi cities have been pacified, like Tikrit...

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Aired April 2, 2004 - 11:30   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DARYN KAGAN, ANCHOR: Any indications of the format of today's news conference?
JONATHAN FREED, CNN CORRESPONDENT: They haven't, as far as I know, although they've given us a lot of notice. We found out early this morning, when the public information officer for the police department, who 9has been the main point of contact for us, he seemed somewhat void when he said, "Look, we have some news. There has been a major development and there was going to be a news conference this morning."

We tried to press them to find out exactly how they would handle it. But a few days ago they were much more -- they were much more accommodating at the news conference, sticking around for a good half hour and answering a wide range of questions.

So we have seen both. It's not as though this police department has been sticking to a statement and walking away. There's a good chance that if there is a significant direction in the case we might see a more open conference today. We'll find out in a few minutes.

KAGAN: All right. We are standing by. And you are, as well. Jonathan Freed in Madison, Wisconsin. There is the live picture from where that news conference will begin. We'll go back there live once it does begin.

Meanwhile, let's get some other news in. A California judge is hearing motions today from players in the Michael Jackson child molestation case.

Our Miguel Marquez at the courthouse in Santa Maria this morning.

(BEGIN VIDEOTAPE)

MIGUEL MARQUEZ, CNN CORRESPONDENT: While Michael Jackson was three time zones away in the nation's capitol, accepting an award for his charitable work in Africa, his lawyers are hard at work here discussing several issues in court.

Mark Geragos says that they want to discuss the gag order. They want more access and more ability to respond to leaks in this case.

They're also discussing the evidence in Michael Jackson's 1993 molestation case, a case that was settled out of court, and his lawyers want to know exactly what the prosecution intends to bring into this matter.

They also want to set up preliminary hearing date today, but it's not clear if that preliminary hearing date will mean a whole lot. Mainly because grand jurors are meeting about an hour and a half south of here, hearing testimony in a grand jury proceedings for possible indictment of Mr. Jackson.

If that grand jury does indict him, then the whole procedure we're talking about today would be superseded by that, and Mr. Jackson would have to be arraigned all over again.

Miguel Marquez, CNN, Santa Maria, California.

(END VIDEOTAPE)

KAGAN: Let's talk about the Jackson case again with Harvey Levin, executive producer for "Celebrity Justice." He is at the "Celebrity Justice" studios in Glendale, California.

Good morning, Harvey.

HARVEY LEVIN, EXECUTIVE PRODUCER, "CELEBRITY JUSTICE": Hi, Daryn.

KAGAN: Are you surprised about all the hush-hush efforts for this case?

LEVIN: Well, it really is extraordinary. I can tell you that one of the things they were doing is they were giving people four hours' notice and literally changing locations on witnesses as they were driving up from Los Angeles to Santa Barbara.

So they are going to great lengths to make sure that it is as secret as secret can be.

KAGAN: I think one thing interesting about Santa Barbara County, it is a huge county, as big as some of the states on the East Coast. And Santa Maria, where this preliminary hearing, where the trial would take place, very different type of jury you're going to get than in the southern part of the county, in the city of Santa Barbara, where the grand jury is being convened.

LEVIN: Yes, and I think this is all kind of part of it. I don't think they wanted the hoards of media in Santa Barbara, which is kind of a metropolitan area, where the courthouse is.

I covered the Rodney King case a long time ago, and that was held in Simi Valley. And it actually worked better for the courts to do it in a rural area where the media isn't all over the place. I think rural just tends to be less disruptive than urban.

KAGAN: Although you saw what happened with Jackson's first court appearance. It couldn't have been more disruptive.

LEVIN: Well, but imagine if that happened right in the middle of downtown Santa Barbara. As crazy as that was, it would have stopped the city. So I think, you know, you can only imagine how many times worse it would have been if it were right in the heart of Santa Barbara.

KAGAN: Good point. Meanwhile, in terms of interesting twists for this story, Michael Jackson shows up on Capitol Hill talking about fighting AIDS in Africa. Now he wants to go to Africa in the middle of August. Is that going to happen?

LEVIN: Well -- Well, there's a slight problem, because the judge kind of has his passport in his back pocket, in a figurative way. This is going to be a problem for him.

And, you know, it's interesting that you do have -- you have kind of the American justice system being played out here, and that a man is innocent until proven guilty, and he's allowed to do what he does in the Washington, D.C., venue as the grand jury proceeds hearing a very serious criminal charge against him in Santa Barbara.

So it is quite interesting to me. And you know, we know something else about this grand jury hearing, by the way.

KAGAN: What's that?

LEVIN: It's not just about the allegation of molestation. One of the things we know the grand jury is hearing is a story about the family and how they first became concerned when this boy allegedly began acting out in strange ways at home.

So the D.A. is not just presenting a case about what Michael Jackson allegedly did to the boy, but he's going back in time, and having the family talk about this strange kind of behavior that got them very, very concerned.

And so it's more a story than just a charge.

KAGAN: And the next time you think that we're going to see Michael Jackson in the courtroom?

LEVIN: Well you know, it depends on what happens with this grand jury. I'm assuming that if -- there's a saying in Santa Barbara that a grand jury would indict a sandwich. So, you know, it's very easy to get a charge to stick with a grand jury, because you don't have the defense rebutting anything.

So assuming Michael Jackson is indicted, then he has to answer to the charges, and he would be back in court for that.

KAGAN: All right.

LEVIN: But realize, what happens here is you completely avoid a preliminary hearing, which the prosecution, I think, in this case, really wanted to do for various reasons.

KAGAN: I understand. Understood. Harvey Levin, "Celebrity Justice." Thank you, Harvey.

Yes, next time.

We are standing by waiting for a news conference to begin in Madison, Wisconsin. We'll get to that as soon as it begins. You'll see it live right here. The latest on the young college student, Audrey Seiler, who said she was abducted. Do police still believe her? That still ahead.

First, though, today's Fortune 500 project.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Harley Davidson may be 100 years old, but the Fortune 500 company shows no signs of slowing down.

Still riding high after its centennial birthday celebration in 2003, Harley-Davidson recently announced record revenues for the 18th year in a row.

As it heads into its next century, Harley is attempting to attract a new crop of hog fans by rolling out new bikes designed for women and smaller riders. Harley is also making its bikes more affordable for buyers by narrowing its traditional gap between supply and demand.

In the past, devoted customers could wait more than a year for a new bike.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

KAGAN: We go live to Madison, Wisconsin, for the latest on Audrey Seiler.

ASST. CHIEF NOBLE WRAY, MADISON POLICE: Good morning. I'll read a brief statement prepared for an update for today.

As you know, over the last several days, the Madison Police Department, the Madison community and hundreds of volunteers from the surrounding states had searched for Audrey Seiler.

Through constant publicity, Audrey's picture was visual in every part of the country. Fortunately, a witness saw Audrey and contacted our department. Audrey was located and reunited with her family.

The Madison Police Department took a report from Audrey that an unknown male had abducted her by knifepoint from her residence. Audrey further stated that she was taken to various areas within the city and eventually held at a marsh off of Rimrock Road in the city of Madison. Audrey reported that she believed that her abductor was still in the marsh area and may have a gun.

With the help of numerous law enforcement agencies, the Madison Police Department secured the area and eventually searched it thoroughly. No suspicious person was located in the marsh area. During this investigation, inconsistencies appeared between Audrey's statements, witness statements and physical evidence obtained by our department.

As we continue to investigate this reported abduction by Audrey, she was presented with these confirmed inconsistencies that resulted in Audrey admitting that, in fact, she had not been abducted at her apartment at all. Audrey stated that she just wanted to quote/unquote "be alone."

However, Audrey is now reporting that the suspect depicted in the description made available last night, that the sketch -- abducted her from a different location within the city at knifepoint.

Let me read that again to make that really clear. However, Audrey is now reporting that the suspect depicted in the sketch abducted her from a different location in the city at knifepoint.

The Madison Police Department is assisting Audrey and her family while they deal with this incident. We are dedicated to helping the Seiler family as they deal with a wide range of emotions, and a number of things that they have been through.

We are extremely grateful for the positive relationship with the family as we continue this investigation. As a standard practice, the Madison Police Department -- at the Madison Police Department, we continue urging people to exercise normal safety precautions.

Thank you.

UNIDENTIFIED MALE: Next, we're going to turn this over and ask Julie Foley from the Dane County district attorney's victim assistance program to make a brief comment -- Julie.

JULIE FOLEY, DANE COUNTY DISTRICT ATTORNEY'S OFFICE: Good morning, everybody.

In addition to the efforts of the Madison Police Department and the broader law enforcement community, I'd like to take this opportunity to recognize the unprecedented efforts of Audrey's family and friends, the entire Rockford, Minnesota community and the greater Madison community.

With no prior notice or chance to prepare or train, an entire community ranging in age from teens to multiple sets of grand grandparents relocated from a minimum distance of four hours. They orchestrated an exhaustive and self-less search for Audrey.

Each morning the self-appointed team leaders briefed with assigned representatives from the Madison Police Department and the University of Wisconsin Police Department. They were equipped with reflective vests and two-way radios and they took to the woods, the marshes and the fields of Madison.

They searched for hours returning long enough to refuel with the food generously provided by the Red Cross, and they changed their wet and soiled clothing.

There were a number of locations where we had to go out and get more socks for folks who just didn't prepare with enough socks.

New assignments were given, and they ventured out again until dark. Their efforts were nothing short of awe-inspiring. The fine folks of Rockford, Minnesota, and the overwhelming support of the greater Madison community has taught us a great deal about community, about human kindness and about compassion.

As victims' service providers we are grateful to the Madison Police Department for the continual opportunity to coordinate our efforts to assist victims and witnesses of crime.

Special thanks should be extended to the region, the residents where Audrey lived for making that our first of two family assistance centers. The Holiday Inn Express, who virtually turned their establishment over to become the family assistance center for four straight days.

The University of Wisconsin-Madison, whose tireless efforts to get information out through campus-wide e-mail and the establishment of a web site. We will be forever grateful for all of these efforts, and in no way should these be considered secondary to the other things going on. They were absolutely amazing.

Thanks so much.

UNIDENTIFIED MALE: Finally, unfortunately, because this case is ongoing, we cannot take questions at this time. We do not anticipate any further press briefings today, unless significant new information is developed. Thank you.

KAGAN: Much like yesterday at 5 p.m. Eastern when they held a news conference, police just making a statement, not taking any questions.

This case of Audrey Seiler that we're looking for clarification, gets a little more strange and stranger. Audrey Seiler, claim the police now, who said the first time that she had been taken at knifepoint last Saturday and then found Wednesday in a marsh.

Now when she presented with inconsistencies of her statements, witness statements and physical evidence, has told police that in fact she wasn't taken at knifepoint from her apartment, that she just wanted to be alone.

And yet police not going that final step in saying that this was a complete hoax, saying that Audrey Seiler now insists that a different point at the city of Madison, she insists she was taken by knifepoint by this man that she gave a description to to create this sketch.

So the investigation does go on in the city of Madison, Wisconsin. Let's bring our Mike Brooks to help understand.

Strange news conference.

MIKE BROOKS, CNN ANALYST: Very, very strange, Daryn. They said, no that she admitted in fact she wasn't abducted from her apartment but, in fact, this composite that was released yesterday is a person that abducted her from another location somewhere in Madison.

KAGAN: Well, Audrey says -- the woman says it.

BROOKS: Exactly. So they are still continuing to investigate that.

Now we go back to February 1, when she said she was the victim of an unknown assailant outside of her apartment building. Is this linked to the unknown assailant who abducted her from a second location, or is that in fact a hoax? We don't know.

KAGAN: OK. Help me here. All your years in law enforcement, does it not seem to you the Madison Police Department is bending over backwards, giving the benefit of the doubt to this young woman and to this family, giving a lot more consideration that in a lot of other situations they would have just been shown the door or perhaps even pressing charges against somebody making a claim like this?

BROOKS: Well, they could still press charges against her for making a claim. That's up to the district attorney's office. There's a local charge and both a state charge of obstruction of an officer in an investigation.

So it's up to the D.A. whether or not he or she will decide to press charges on that first complaint that she made to the police about being abducted from her apartment.

But then we have the second one. They want to make sure that they cross all the "T's" and dot all the "I's." And in fact, if there is, in fact, a perpetrator out there that did, in fact, force her at knifepoint from another location in the city, they want to make sure that they do find this person and he is not a threat to the community.

So again, they have to go about this, Daryn, in a methodical way and to continue the investigation.

KAGAN: All right. Mike Brooks, thanks for helping us out with the news conference out of Madison, Wisconsin.

Other news ahead: President Bush is making news today, getting ready to talk jobs. And it comes right on the heels of some upbeat job numbers. There's a live picture of the president heading to West Virginia today.

We'll take a break and we're back after this.

(COMMERCIAL BREAK)

KAGAN: President Bush has something today that he can brag about, a jobs report. Our senior political correspondent, Candy Crowley, joins us with the latest on unemployment and employment politics and other campaign news out there.

Candy, good morning.

CANDY CROWLEY, CNN CORRESPONDENT: Good morning, Daryn. Thanks a lot.

President Bush is in West Virginia this hour to talk about job training, a subject that may seem less sensitive for him, thanks to today's surprisingly strong payroll report.

With jobs growing last month at the fastest pace in nearly four years, the Bush/Cheney campaign says the numbers show the president's progress (ph) policies are working and that John Kerry would derail America's economic recovery.

The Kerry campaign issued a statement a short while ago, saying the jobs report is welcome news for American workers after three years of punishing job losses.

The numbers do take some steam out of Kerry's top line in an attack on the Bush economic record.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: While jobs are leaving our country in record numbers, George Bush says sending jobs overseas makes sense for America. His top economic advisers say moving American jobs to low- cost countries is a plus for the U.S.

John Kerry's proposed a different economic plan that encourages companies to keep jobs here. It's part of a detailed...

(END VIDEO CLIP)

CROWLEY: That is part of Kerry's new ad that begins running today in 17 battleground states.

A new poll in the showdown state of Wisconsin finds George W. Bush holding on to a slight lead there. The Badger Poll shows Bush ahead of John Kerry 47 percent to 41 percent. Ralph Nader receives five percent. When Nader is removed from the choices, Bush still retains as four-point lead over Kerry.

The Bush team didn't take long to respond to Kerry's new TV ad on jobs and the economy. The latest Bush/Cheney spot goes after Kerry's voting record in the Senate.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: John Kerry's record on the economy? Troubling. He opposed tax relief for married couples 22 times. Opposed increasing the child tax credit 18 times. Kerry supported higher taxes over 350 times. He even supported increasing taxes on Social Security benefits and a 50-cent a gallon gas hike for gasoline.

(END VIDEO CLIP)

CROWLEY: That new ad hits the airwaves tomorrow in 18 states and on national cable channels.

Hold onto your steering wheel for this one. The Republican- dominated House appears ready to defy the White House and risk a presidential veto, all in the name of highway construction.

A $275 billion spending bill for highways is expected to pass sometime today. The White House says it's too much. Some lawmakers say it's too little. The Senate has passed an even larger spending bill.

Do today's job numbers mean better times ahead for U.S. workers? What about the trend of outsourcing jobs overseas? I'll ask the chairman of President Bush's council of economic advisers, Gregory Mankiw.

And liberals aren't the only ones jumps into the radio talk show scene. I'll ask William Bennett about his brand new show.

Join me at 3:30 Eastern when I go "INSIDE POLITICS." Now back to Daryn Kagan in Atlanta -- Daryn.

KAGAN: We will be there on Friday Afternoon. Candy Crowley, thank you for that.

Business and weather. We have time for both. We'll take care of that, right after this break.

(COMMERCIAL BREAK)

(WEATHER REPORT)

KAGAN: and that's going to do it for me, Daryn Kagan. Wolf Blitzer is still off today, so Fredricka Whitfield is here taking over for the noon Eastern.

FREDRICKA WHITFIELD, ANCHOR: Hello, good-bye.

KAGAN: And I'll take you up on that.

WHITFIELD: Yes, have a great weekend.

KAGAN: OK. Have a good newscast.

WHITFIELD: OK. Thanks a lot.

Hello everyone. I'm Fredricka Whitfield at the CNN Center in Atlanta, in for Wolf today.

This hour, Spanish police find a powerful bomb on a high-speed rail line less than a month after those deadly train bombings in Madrid. We're live on the scene. In Iraq, bracing for retaliation for the killings of four Americans in Fallujah.

And from Wisconsin, police now say the university student who says she was kidnapped is changing part of her story.

First the headlines. Record growth for U.S. payrolls. The Labor Department reports 308,000 new jobs were created in March, the biggest monthly increase in four years. On average, economists only expected about 123,000 new jobs.

Fresh off his trip to Europe, America's top diplomat is headed to Haiti. The U.S. State Department says Secretary Colin Powell will visit the Caribbean country on Monday. He's expected to meet with Haiti's interim government. It's the first trip to Haiti for a top U.S. official since the resignation of President Jean-Bertrand Aristide.

And violence in Jerusalem. Several people were injured when Israeli police stormed the al-Aqsa Mosque compound today after prayers. Police used stun grenades and rubber pellets to control Palestinian protesters, who threw rocks at police and Jewish worshippers.

The mosque is on the Temple Mount or Haram al-Sharif, a constant point of contention in the region.

First up this hour, Iraq and the vow by U.S. officials to hunt down the killers in this week's gristly attack on independent security forces and to help quell anti-Western sentiment in Fallujah.

Senior international correspondent Walter Rodgers joins us live from Baghdad with more on that -- Walter.

WALTER RODGERS, CNN CORRESPONDENT: Hello, Fredricka.

Well, the aftershocks of the brutal murders of those four American contractors in Fallujah on Wednesday continue to reverberate through Iraq. Everyone knows the U.S. Marines have been -- have been assigned to retake that city. It's only a question of when.

Still, a top American general here said Fallujah will be pacified as other rebellious Iraqi cities have been pacified, like Tikrit...

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