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CNN Live At Daybreak

Fallujah Fallback; White House Says It Will Declassify an Intelligence Briefing

Aired April 09, 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: Fallujah fallback -- U.S. troops halt their assault. It's a reprieve for the Iraqi insurgents.
And good morning to you.

From the CNN global headquarters in Atlanta, this is DAYBREAK for Friday. Happy Friday to you. It's April 9.

I'm Carol Costello.

We're going to take you live to Iraq in just a minute to get the latest developments there. A lot happening inside Iraq.

But first, here are the headlines at this hour.

In Iraq, coalition forces have retaken the southern city of Kut. That city had been overrun by the militia of a radical Shiite cleric.

The White House says it will declassify an intelligence briefing about Osama bin Laden's goals, given to the president a month before the 9/11 attacks. The document was the subject of heated questioning during Condoleezza Rice's testimony.

Ariel Sharon wants his party to vote soon on his plan to withdraw from Gaza and some West Bank settlements. The Israeli prime minister wants a referendum after he comes back from Washington next week.

Christians around the world observe Good Friday today. Pope John Paul II began four days of services last night by celebrating Holy Thursday mass.

To the forecast center now and Chad.

(WEATHER REPORT)

COSTELLO: There is a lot happening this morning, especially in Fallujah. Apparently the fighting has stropped. There's been a call for -- well, they're going to negotiate a cease-fire there.

Let's get specific details as we head live to Baghdad and Jim Clancy -- and, Jim, there is an announcement going on behind you, too, in Baghdad.

What is it telling people?

JIM CLANCY, CNN CORRESPONDENT: Well, it's telling people to stay out of the square. There's a call to prayers competing with the loudspeaker here on a U.S. military Humvee that's going around in the square. There have been demonstrations that were planned here today to mark the overthrow of Saddam Hussein symbolically. It's a place right in this square, Firdos Square or Paradise Square in English, where the statue of Saddam Hussein was pulled down. And a lot of Iraqis, of course, remembering this day, looking back, seeing one year of progress on some fronts and certainly an anniversary that's very troubled by the ongoing conflicts.

News on that front, in Fallujah, the U.S. military announcing a unilateral cessation of offensive operations. This is not a truce. It is not a cease-fire. It's a technical difference. A cease-fire or a truce is agreed by the parties on both sides. This is a unilateral action by the U.S. military to allow Moshen Abdul Hamid, a member of the Iraqi Governing Council and the head of the Islamic Party, to go in and try to talk to some of the leaders there, both tribal and religious; also, we understand, to talk to some of the representatives of the insurgency there that the U.S. has been battling in Fallujah, to get them to sit down and agree to a formal truce.

Now, in the eyes of the U.S. military, this should not be described as a fallback. It should not be described as an advantage for the other side. What it really is, is the U.S. military showing that it can suspend those heavy military operations that are going on in order to allow a breather for the people of Fallujah. This is more humanitarian than military, there's no doubt about that.

The people of Fallujah have had their shops closed. People haven't been able to go outside. They're short of food, water, medical supplies. All of that will be brought in during the next 24 hours. CNN's sources in Fallujah confirming that at about noon -- that would be just a little more than an hour ago -- Fallujah itself went quiet, in their words. No sounds of gunfire that they had become somewhat, uncomfortably, accustomed to.

So what we have are U.S. Marines perhaps remaining in place in their positions right now. No prediction on what the other side would be doing during this time frame. But it opens up the possibility, Carol, of a truce.

And the U.S. military had more good news. You know, the trouble in the south, led by the Shia militant, Muqtada al-Sadr, his so-called Mahdi Army had taken over the town of Kut. The U.S. military moved in there between 2:00 a.m. and 5:00 a.m. local time. They retook that city. They're said to be in the city center and in control, driving back the Mahdi Army there. Some dissatisfaction there and in other cities, with that Mahdi Army. Local residents in al-Najaf and other cities said to be upset about the use of human shields by the militia and their heavy-handed tactics.

So it's going better for the U.S. and the U.S. military today than it has been for the last few -- back to you.

COSTELLO: Yes, and Kut's a much smaller city, so it probably was a lot easier to overtake.

But let's talk about the human shields issue.

They're actually using children?

CLANCY: Well, the reports that we have, coming from reliable sources with the coalition, say that residents in al-Najaf, the holy city where the Imam Ali Mosque is located, reports that members of the Al-Mahdi Army, Muqtada al-Sadr's private militia, are traveling around the town in vehicles with women and children with them. And they perceive that as using human shields. They also believe he's looted money from the Imam Ali Mosque to use to support his political movement.

After all, few people see this as an insurrection so much as a strategic and military move by Muqtada al-Sadr to prevent the service of an arrest warrant on murder charges for the killing of a rival cleric there in al-Najaf a year ago -- Carol.

COSTELLO: All right, we'll check back with you.

Jim Clancy live in Iraq today.

Other developments out of Iraq this Friday, insurgents are holding three Japanese and two Arabs linked to Israel. The militants threaten to burn the Japanese alive if Japan does not withdraw its troops from Iraq. We'll have more on that for you in a live report, straight ahead.

The war's top commander, General John Abizaid, is reportedly looking at ways to boost combat power by 10,000 troops. That's according to his interview in the "Washington Post" this morning. Abizaid says it may mean bringing part of the 3rd Infantry Division back to Iraq sooner than scheduled.

And a spokesman for Shiite cleric Muqtada al-Sadr says an intifada has broken out across the country. He's calling on the Americans to "remove your tanks."

Hostage taking may be a new tactic of the Iraqi insurgents. They've kidnapped 12 foreign nationals in the past two days. Five of them still being held this morning. Among them, three Japanese. That's what we were just talking about. It all comes as Vice President Dick Cheney heads to Tokyo.

So let's head live to Tokyo and Atika Shubert -- good morning.

ATIKA SHUBERT, CNN CORRESPONDENT: Good morning, Carol.

As you can imagine, there's shock and anger on the streets of Tokyo today, as they wake up to their worst nightmare. There is a lot of confusion here -- what should the government to do ensure the release of these hostages?

Now, President Junichiro Koizumi has taken a very firm stand. He says that Japan will not withdraw its troops from Iraq, that to do so would only give in to terrorists' demands. Now, the public is divided over what the right thing is to do. Several hundred protesters showed up outside of the prime minister's office today, angrily demanding that Japan immediately withdraw troops. At the same time, however, several people on the streets say that Japan must not give in to terrorist demands, that it is important that the troops remain in Iraq.

This is a debate that's likely to go on for days. But for family members, of course, it is particularly difficult to hear. The parents of one of those hostages, an 18-year-old student, say they have already taken a stand. They say their son was against the deployment of Japanese troops to Iraq from the very beginning and now they want the prime minister to withdraw troops immediately in the hopes that their son can return home safely -- Carol.

COSTELLO: You know, Atika, I know these, this hostage takage was probably meant to drive a wedge in the coalition. But a further irony here is Japanese troops aren't involved in the fighting. They're on a humanitarian mission, aren't they?

SHUBERT: That's right. And that's exactly what the government is saying, these troops are in Iraq to help the Iraqi insurgents. They're there on a humanitarian mission. And one of the great hopes of the Japanese government was that when Japanese troops arrived in Samara, southern Iraq, where they're based, Iraqis actually welcomed Japanese troops. And this is why Japan says it will not pull its troops out, because they're there to help the Iraqis. And for that reason, the hostage takers should understand that these demands are not only unforgivable, but intolerable, according to the prime minister -- Carol.

COSTELLO: Atika Shubert reporting live from Japan this morning.

For the latest on the situation in Iraq at any time, go to or Web site -- cnn.com/world. There you can view an interactive map of insurgent hot spots and learn more about the main Shiite leaders in Iraq.

Just ahead on DAYBREAK, one year ago today the first American tanks rolled into Baghdad and brought down a regime. We'll take a look back.

For most Catholics, Easter is a time for faith and renewal. But at the Vatican, the focus is on security. We're going to take you live to Rome as the city gets ready.

And if you could have anything in the world, what would it be? You might change your answer, after this. Coming up, a dying child makes a wish to help his friends.

(COMMERCIAL BREAK)

COSTELLO: A spokesman for the National Security Council says an intelligence document will be declassified. The presidential daily brief was received by President Bush on August 6, 2001, and it was titled "Bin Laden Determined To Attack Inside the United States." The promise to make it public came hours after National Security Advisor Condoleezza Rice testified before the 9/11 Commission.

One of those watching from Crawford, Texas, was White House correspondent Suzanne Malveaux.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN CORRESPONDENT (voice-over): In a highly anticipated session before the 9/11 commission, National Security Adviser Condoleezza Rice faced three key questions. Could the attack have been prevented?

CONDOLEEZZA RICE, NATIONAL SECURITY ADVISER: There was no silver bullet that could have prevented the 9/11 attacks.

MALVEAUX: But commissioners cite a presidential daily brief from August, 2001 entitled "Bin Laden Determined to Strike the U.S." as a clear warning.

TIM ROEMER, 9/11 COMMISSION: The threat reporting saying the United States is going to be attacked should trigger the principals getting together to say we're going to do something about this I would think.

RICE: Mr. Roemer. Mr. Roemer let's be very clear. The PDB does not say the United States is going to be attacked. It says bin Laden would like to attack the United States.

MALVEAUX: Rice also received a memo from her deputy Richard Clarke a week before 9/11 urging her to push the CIA and Pentagon to fight terrorism even harder or imagine a day hundreds of Americans lay dead due to an attack.

RICE: It would not be appropriate or correct to characterize what Dick wrote to me on September 4th as a warning of an impending attack.

MALVEAUX: Where does Rice see the biggest failure building up to 9/11?

RICE: We had a structural problem in the United States and that structural problem was that we did not share domestic and foreign intelligence.

MALVEAUX: Rice says the administration had an aggressive plan to eliminate al Qaeda but commissioners wanted evidence.

BOB KERREY, 9/11 COMMISSION: You said the president was tired of swatting flies. Can you tell me one example of where the president swatted a fly when it came to al Qaeda prior to 9/11?

RICE: I think what the president was speaking to was...

KERREY: No, no, what fly had he swatted?

RICE: Well, the disruptions abroad was what he was really focusing on. MALVEAUX: Finally, in the aftermath of the 9/11 attacks did the president push his administration to focus too much on Iraq?

RICE: It's not surprising that the president would say what about Iraq, given our hostile relationship with Iraq and I'm quite certain that the president never pushed anybody to twist the facts.

(END VIDEOTAPE)

COSTELLO: Commission member Timothy Roemer will be a guest on "American Morning." Of course, that begins at 7:00 a.m. Eastern time.

Former President Bill Clinton followed Rice to the witness chair. The former president testified for three hours behind closed doors. He was not under oath. A statement issued by the Commission says the former president was forthcoming and responsive to its questions and praises him for what it calls "excellent cooperation."

The son of one of the 9/11 victims says Condoleezza Rice was doing her best to tell the truth. But the husband of another victim says the national security adviser seemed to have selective amnesia.

In Buffalo, New York, family members of some victims watched the hearing on television.

Laurie Schultz (ph) of CNN affiliate WIDB was there.

(BEGIN VIDEOTAPE)

PATRICIA NOAH, VICTIM'S MOTHER: It just brings sorrow. But it most likely brings anger. Your anger comes back.

LAURIE SCHULTZ, WIDB CORRESPONDENT (voice-over): Patricia Noah expressed frustration as she listened to Condoleezza Rice testify before the 9/11 Commission. Noah's son, Leonard Castrianno, was on the 105th floor of the World Trade Center when the terrorist attacks occurred.

NOAH: You know, I lost my loved one in 9/11, you know, my little Leonard, my baby. But -- and all these other people lost their loved ones. Did we have to sacrifice our loved ones because of Bush?

SCHULTZ: Like many surviving family members, Noah's glad that Dr. Rice testified, but felt the national security adviser was limited in what she could say, and therefore wonders if the American public will ever really know the truth.

NOAH: She couldn't discredit the Clinton administration and she can't discredit the Bush administration. So she did a very good job in covering both of them.

SCHULTZ: Paul Walier's sister Margaret, who grew up in Hamburg, was in Tower Two when the terrorists struck. He thought Dr. Rice's opening statement said it all.

PAUL WALIER, VICTIM'S BROTHER: We were not at war with al Qaeda and until that 9/11, both administrations were taking al Qaeda not seriously at all. And that was obviously a huge mistake.

NOAH: I just want him with me at all times.

SCHULTZ: Today, Patricia Noah did shed a few tears, something she hasn't done in a while, a sign of acceptance, she says, as she continues to mourn the loss of her son, whose memory she keeps alive via special photos and momentums in her home.

(END VIDEOTAPE)

COSTELLO: That report from Laurie Schultz of CNN affiliate WIBB in Buffalo, New York.

Condoleezza Rice makes history and stands her ground before the 9/11 Commission. So what do you think? We want to hear from you this morning. Send us your e-mails. We want to know what you thought about what she said. Did she answer all of your questions? The address, of course, daybreak@cnn.com. That's daybreak@cnn.com.

Your news, money, weather and sports.

It is 5:18 Eastern time.

Here's what's all new this morning.

The U.S. has halted its offensive operations in the Iraqi city of Fallujah. The Americans hope to negotiate with sheikhs from that area.

The White House plans to declassify an intelligence document given to the president more than a month before the 9/11 attacks. It is titled "Bin Laden Determined To Attack Inside the United States."

In money news, U.S. financial markets are closed today in observance of Good Friday.

In sports, Bruce Edwards, who served as Tom Watson's caddy for 30 years, has died. He was only 49 years old. Edwards' struggle with Lou Gehrig's Disease was an inspiration to Watson.

In culture, "The Life of Brian," the controversial Monty Python spoof about the bible, has been resurrected, so to speak. Twenty-five years after it was first released, it will soon compete against "The Passion of the Christ."

CHAD MYERS, CNN CORRESPONDENT: Nowhere to go with that.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you.

We're going to take a short break.

Please send us your e-mails on Condoleezza Rice's testimony -- daybreak@cnn.com.

(COMMERCIAL BREAK)

COSTELLO: Oh, take a look at that, Chad. Is that not a beautiful photo?

MYERS: That certainly is. Mark Moskin (ph) shot that photo.

COSTELLO: Yes, he took the image on the Italian island of Ponza, which is just west of Anzio in the Mediterranean. He says he's shown it to a lot of his friends and they think it's absolutely gorgeous, so he decided to show it to his friends of DAYBREAK.

MYERS: Thank you, Mark, creative director of -- I can't read it because of my (UNINTELLIGIBLE).

COSTELLO: I think it's Salient Designs.

MYERS: Salient Designs.

COSTELLO: Yes, Mark Moskin, thank you for the photo this morning.

MYERS: Great shot this morning.

COSTELLO: It certainly perked me up.

What else are we going to talk about this morning?

MYERS: We're going to the edge of space.

COSTELLO: Oh, let's go right now.

MYERS: Well, probably not you and me.

COSTELLO: It costs $10 million.

MYERS: Not unless a lot of other people do it first and make sure it's OK.

COSTELLO: Well, apparently this company out in California, they're testing manned rockets.

MYERS: Yes.

COSTELLO: Take a look at that. That doesn't look like a rocket.

MYERS: That is not a pretty little thing, but it goes fast and high.

COSTELLO: Yes, it does. It goes up, what, 62 miles up to the edge of space?

MYERS: Yes.

COSTELLO: And they're testing it so that they can sell these trips to you and me for mega dollars.

MYERS: And they tested it yesterday for a successful touchdown.

COSTELLO: Yes.

MYERS: What's the pilot's name?

COSTELLO: It's called Spaceship One Rocket.

MYERS: Peter Sebolt (ph).

COSTELLO: OK, well...

MYERS: Congratulations to those guys.

COSTELLO: Congratulations for a successful -- there's a guy in the, too.

MYERS: There is, yes.

COSTELLO: All right, let's get to our e-mail questions, because, of course, Condoleezza Rice testified before the 9/11 Commission.

MYERS: Yes.

COSTELLO: And we've been getting a lot of response to our e-mail questions this morning. So, you want me to take the first one? OK.

MYERS: The second one's shorter. I'll take it.

COSTELLO: OK.

This is from S.E. from New York. He says: "Condoleezza Rice, when asked by a commissioner for the recommendations on what needs to be fixed, starts off by saying her biggest fear is that September 11 is receding from memory. Funny that she says this when the Bush administration reelection TV ads are using images of 9/11."

MYERS: And then from Betty Merritt (ph) in Illinois: "I think that all of the material should be declassified so they couldn't just take out portions of what they want you to know and what they don't want you to know and not explain anything else."

COSTELLO: Well, Betty, you'll be happy to know that the Bush administration has decided to declassify the August 6th memo that was titled "Bin Laden Determined To Attack Inside the United States." So that will be declassified and that means all of us can read it for ourselves.

Time for some DAYBREAK Eye-Openers now.

First, in St. Louis, family and friends go to the wall for Mack Shulis (ph). There's no cure for 9-year-old Mack's brain tumor. Now, through the Make A Wish Foundation, Mack's friends will have a rock wall to climb at their school playground. The kids say Mack could have wished for anything, but his wish was for them.

In Farmington, Utah, just two inches of rain doesn't seem like much, but it was enough to bring down a hillside laid bare by last July's wildfire. Melting snow and a rainstorm triggered the mudslide. It filled one basement and covered yards with muck and debris.

In Fort Lauderdale, just what is it that's going up on this corner? Some say porn publisher Larry Flynt plans to open an adult oriented store. Flynt's lawyer says special locations elsewhere are sophisticated stores with no sexually explicit display in the window and a reputable clientele. But, some nearby residents are dubious.

Here's what's new in the next half hour of DAYBREAK.

The U.S. military calls a halt to offensive operations in Fallujah, where Marines have been locked in a heavy battle with Iraqi insurgents. We'll find out what it means.

And it's one of the holiest times of the year for Catholics. But this Good Friday, Vatican City is focusing its attention on security. We take you live to Rome for the latest.

And Condoleezza Rice tells the September 11 Commission no silver bullet could have stopped the terrorist attacks on New York and Washington. We'll get some reaction to her historic testimony.

You stay right there.

(BEGIN VIDEOTAPE)

GERRI WILLIS, CNN CORRESPONDENT: The reception has been pretty clear so far for XM Satellite Radio. The company recently passed the one million subscriber mark, handily beating competitor Serious Radio. XM charges a monthly fee for access to the 100 digital stations beamed from its satellites. The company has yet to turn a profit, despite deals with G.M. and Lexus to install XM receivers in some of their new vehicles.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

COSTELLO: There is a growing silence in Fallujah at this hour, as U.S. Marines call a halt to their fierce fighting with Iraqi insurgents. Why? We'll take you live to Baghdad to find out.

Good morning.

Welcome to the second half hour of DAYBREAK.

It is Friday, April 9.

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

More on the cease-fire from Baghdad in just a moment.

But first, the latest headlines for you.

In Iraq, U.S. troops retake the southern city of Kut from a Shia militia. In the meantime, in Fallujah, the military announces a unilateral suspension of offensive operations.

The White House is working to declassify the president's daily intelligence briefing of August 6, 2001. It was the subject of heated debate during National Security Advisor Condoleezza Rice's testimony.

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


Aired April 9, 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: Fallujah fallback -- U.S. troops halt their assault. It's a reprieve for the Iraqi insurgents.
And good morning to you.

From the CNN global headquarters in Atlanta, this is DAYBREAK for Friday. Happy Friday to you. It's April 9.

I'm Carol Costello.

We're going to take you live to Iraq in just a minute to get the latest developments there. A lot happening inside Iraq.

But first, here are the headlines at this hour.

In Iraq, coalition forces have retaken the southern city of Kut. That city had been overrun by the militia of a radical Shiite cleric.

The White House says it will declassify an intelligence briefing about Osama bin Laden's goals, given to the president a month before the 9/11 attacks. The document was the subject of heated questioning during Condoleezza Rice's testimony.

Ariel Sharon wants his party to vote soon on his plan to withdraw from Gaza and some West Bank settlements. The Israeli prime minister wants a referendum after he comes back from Washington next week.

Christians around the world observe Good Friday today. Pope John Paul II began four days of services last night by celebrating Holy Thursday mass.

To the forecast center now and Chad.

(WEATHER REPORT)

COSTELLO: There is a lot happening this morning, especially in Fallujah. Apparently the fighting has stropped. There's been a call for -- well, they're going to negotiate a cease-fire there.

Let's get specific details as we head live to Baghdad and Jim Clancy -- and, Jim, there is an announcement going on behind you, too, in Baghdad.

What is it telling people?

JIM CLANCY, CNN CORRESPONDENT: Well, it's telling people to stay out of the square. There's a call to prayers competing with the loudspeaker here on a U.S. military Humvee that's going around in the square. There have been demonstrations that were planned here today to mark the overthrow of Saddam Hussein symbolically. It's a place right in this square, Firdos Square or Paradise Square in English, where the statue of Saddam Hussein was pulled down. And a lot of Iraqis, of course, remembering this day, looking back, seeing one year of progress on some fronts and certainly an anniversary that's very troubled by the ongoing conflicts.

News on that front, in Fallujah, the U.S. military announcing a unilateral cessation of offensive operations. This is not a truce. It is not a cease-fire. It's a technical difference. A cease-fire or a truce is agreed by the parties on both sides. This is a unilateral action by the U.S. military to allow Moshen Abdul Hamid, a member of the Iraqi Governing Council and the head of the Islamic Party, to go in and try to talk to some of the leaders there, both tribal and religious; also, we understand, to talk to some of the representatives of the insurgency there that the U.S. has been battling in Fallujah, to get them to sit down and agree to a formal truce.

Now, in the eyes of the U.S. military, this should not be described as a fallback. It should not be described as an advantage for the other side. What it really is, is the U.S. military showing that it can suspend those heavy military operations that are going on in order to allow a breather for the people of Fallujah. This is more humanitarian than military, there's no doubt about that.

The people of Fallujah have had their shops closed. People haven't been able to go outside. They're short of food, water, medical supplies. All of that will be brought in during the next 24 hours. CNN's sources in Fallujah confirming that at about noon -- that would be just a little more than an hour ago -- Fallujah itself went quiet, in their words. No sounds of gunfire that they had become somewhat, uncomfortably, accustomed to.

So what we have are U.S. Marines perhaps remaining in place in their positions right now. No prediction on what the other side would be doing during this time frame. But it opens up the possibility, Carol, of a truce.

And the U.S. military had more good news. You know, the trouble in the south, led by the Shia militant, Muqtada al-Sadr, his so-called Mahdi Army had taken over the town of Kut. The U.S. military moved in there between 2:00 a.m. and 5:00 a.m. local time. They retook that city. They're said to be in the city center and in control, driving back the Mahdi Army there. Some dissatisfaction there and in other cities, with that Mahdi Army. Local residents in al-Najaf and other cities said to be upset about the use of human shields by the militia and their heavy-handed tactics.

So it's going better for the U.S. and the U.S. military today than it has been for the last few -- back to you.

COSTELLO: Yes, and Kut's a much smaller city, so it probably was a lot easier to overtake.

But let's talk about the human shields issue.

They're actually using children?

CLANCY: Well, the reports that we have, coming from reliable sources with the coalition, say that residents in al-Najaf, the holy city where the Imam Ali Mosque is located, reports that members of the Al-Mahdi Army, Muqtada al-Sadr's private militia, are traveling around the town in vehicles with women and children with them. And they perceive that as using human shields. They also believe he's looted money from the Imam Ali Mosque to use to support his political movement.

After all, few people see this as an insurrection so much as a strategic and military move by Muqtada al-Sadr to prevent the service of an arrest warrant on murder charges for the killing of a rival cleric there in al-Najaf a year ago -- Carol.

COSTELLO: All right, we'll check back with you.

Jim Clancy live in Iraq today.

Other developments out of Iraq this Friday, insurgents are holding three Japanese and two Arabs linked to Israel. The militants threaten to burn the Japanese alive if Japan does not withdraw its troops from Iraq. We'll have more on that for you in a live report, straight ahead.

The war's top commander, General John Abizaid, is reportedly looking at ways to boost combat power by 10,000 troops. That's according to his interview in the "Washington Post" this morning. Abizaid says it may mean bringing part of the 3rd Infantry Division back to Iraq sooner than scheduled.

And a spokesman for Shiite cleric Muqtada al-Sadr says an intifada has broken out across the country. He's calling on the Americans to "remove your tanks."

Hostage taking may be a new tactic of the Iraqi insurgents. They've kidnapped 12 foreign nationals in the past two days. Five of them still being held this morning. Among them, three Japanese. That's what we were just talking about. It all comes as Vice President Dick Cheney heads to Tokyo.

So let's head live to Tokyo and Atika Shubert -- good morning.

ATIKA SHUBERT, CNN CORRESPONDENT: Good morning, Carol.

As you can imagine, there's shock and anger on the streets of Tokyo today, as they wake up to their worst nightmare. There is a lot of confusion here -- what should the government to do ensure the release of these hostages?

Now, President Junichiro Koizumi has taken a very firm stand. He says that Japan will not withdraw its troops from Iraq, that to do so would only give in to terrorists' demands. Now, the public is divided over what the right thing is to do. Several hundred protesters showed up outside of the prime minister's office today, angrily demanding that Japan immediately withdraw troops. At the same time, however, several people on the streets say that Japan must not give in to terrorist demands, that it is important that the troops remain in Iraq.

This is a debate that's likely to go on for days. But for family members, of course, it is particularly difficult to hear. The parents of one of those hostages, an 18-year-old student, say they have already taken a stand. They say their son was against the deployment of Japanese troops to Iraq from the very beginning and now they want the prime minister to withdraw troops immediately in the hopes that their son can return home safely -- Carol.

COSTELLO: You know, Atika, I know these, this hostage takage was probably meant to drive a wedge in the coalition. But a further irony here is Japanese troops aren't involved in the fighting. They're on a humanitarian mission, aren't they?

SHUBERT: That's right. And that's exactly what the government is saying, these troops are in Iraq to help the Iraqi insurgents. They're there on a humanitarian mission. And one of the great hopes of the Japanese government was that when Japanese troops arrived in Samara, southern Iraq, where they're based, Iraqis actually welcomed Japanese troops. And this is why Japan says it will not pull its troops out, because they're there to help the Iraqis. And for that reason, the hostage takers should understand that these demands are not only unforgivable, but intolerable, according to the prime minister -- Carol.

COSTELLO: Atika Shubert reporting live from Japan this morning.

For the latest on the situation in Iraq at any time, go to or Web site -- cnn.com/world. There you can view an interactive map of insurgent hot spots and learn more about the main Shiite leaders in Iraq.

Just ahead on DAYBREAK, one year ago today the first American tanks rolled into Baghdad and brought down a regime. We'll take a look back.

For most Catholics, Easter is a time for faith and renewal. But at the Vatican, the focus is on security. We're going to take you live to Rome as the city gets ready.

And if you could have anything in the world, what would it be? You might change your answer, after this. Coming up, a dying child makes a wish to help his friends.

(COMMERCIAL BREAK)

COSTELLO: A spokesman for the National Security Council says an intelligence document will be declassified. The presidential daily brief was received by President Bush on August 6, 2001, and it was titled "Bin Laden Determined To Attack Inside the United States." The promise to make it public came hours after National Security Advisor Condoleezza Rice testified before the 9/11 Commission.

One of those watching from Crawford, Texas, was White House correspondent Suzanne Malveaux.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN CORRESPONDENT (voice-over): In a highly anticipated session before the 9/11 commission, National Security Adviser Condoleezza Rice faced three key questions. Could the attack have been prevented?

CONDOLEEZZA RICE, NATIONAL SECURITY ADVISER: There was no silver bullet that could have prevented the 9/11 attacks.

MALVEAUX: But commissioners cite a presidential daily brief from August, 2001 entitled "Bin Laden Determined to Strike the U.S." as a clear warning.

TIM ROEMER, 9/11 COMMISSION: The threat reporting saying the United States is going to be attacked should trigger the principals getting together to say we're going to do something about this I would think.

RICE: Mr. Roemer. Mr. Roemer let's be very clear. The PDB does not say the United States is going to be attacked. It says bin Laden would like to attack the United States.

MALVEAUX: Rice also received a memo from her deputy Richard Clarke a week before 9/11 urging her to push the CIA and Pentagon to fight terrorism even harder or imagine a day hundreds of Americans lay dead due to an attack.

RICE: It would not be appropriate or correct to characterize what Dick wrote to me on September 4th as a warning of an impending attack.

MALVEAUX: Where does Rice see the biggest failure building up to 9/11?

RICE: We had a structural problem in the United States and that structural problem was that we did not share domestic and foreign intelligence.

MALVEAUX: Rice says the administration had an aggressive plan to eliminate al Qaeda but commissioners wanted evidence.

BOB KERREY, 9/11 COMMISSION: You said the president was tired of swatting flies. Can you tell me one example of where the president swatted a fly when it came to al Qaeda prior to 9/11?

RICE: I think what the president was speaking to was...

KERREY: No, no, what fly had he swatted?

RICE: Well, the disruptions abroad was what he was really focusing on. MALVEAUX: Finally, in the aftermath of the 9/11 attacks did the president push his administration to focus too much on Iraq?

RICE: It's not surprising that the president would say what about Iraq, given our hostile relationship with Iraq and I'm quite certain that the president never pushed anybody to twist the facts.

(END VIDEOTAPE)

COSTELLO: Commission member Timothy Roemer will be a guest on "American Morning." Of course, that begins at 7:00 a.m. Eastern time.

Former President Bill Clinton followed Rice to the witness chair. The former president testified for three hours behind closed doors. He was not under oath. A statement issued by the Commission says the former president was forthcoming and responsive to its questions and praises him for what it calls "excellent cooperation."

The son of one of the 9/11 victims says Condoleezza Rice was doing her best to tell the truth. But the husband of another victim says the national security adviser seemed to have selective amnesia.

In Buffalo, New York, family members of some victims watched the hearing on television.

Laurie Schultz (ph) of CNN affiliate WIDB was there.

(BEGIN VIDEOTAPE)

PATRICIA NOAH, VICTIM'S MOTHER: It just brings sorrow. But it most likely brings anger. Your anger comes back.

LAURIE SCHULTZ, WIDB CORRESPONDENT (voice-over): Patricia Noah expressed frustration as she listened to Condoleezza Rice testify before the 9/11 Commission. Noah's son, Leonard Castrianno, was on the 105th floor of the World Trade Center when the terrorist attacks occurred.

NOAH: You know, I lost my loved one in 9/11, you know, my little Leonard, my baby. But -- and all these other people lost their loved ones. Did we have to sacrifice our loved ones because of Bush?

SCHULTZ: Like many surviving family members, Noah's glad that Dr. Rice testified, but felt the national security adviser was limited in what she could say, and therefore wonders if the American public will ever really know the truth.

NOAH: She couldn't discredit the Clinton administration and she can't discredit the Bush administration. So she did a very good job in covering both of them.

SCHULTZ: Paul Walier's sister Margaret, who grew up in Hamburg, was in Tower Two when the terrorists struck. He thought Dr. Rice's opening statement said it all.

PAUL WALIER, VICTIM'S BROTHER: We were not at war with al Qaeda and until that 9/11, both administrations were taking al Qaeda not seriously at all. And that was obviously a huge mistake.

NOAH: I just want him with me at all times.

SCHULTZ: Today, Patricia Noah did shed a few tears, something she hasn't done in a while, a sign of acceptance, she says, as she continues to mourn the loss of her son, whose memory she keeps alive via special photos and momentums in her home.

(END VIDEOTAPE)

COSTELLO: That report from Laurie Schultz of CNN affiliate WIBB in Buffalo, New York.

Condoleezza Rice makes history and stands her ground before the 9/11 Commission. So what do you think? We want to hear from you this morning. Send us your e-mails. We want to know what you thought about what she said. Did she answer all of your questions? The address, of course, daybreak@cnn.com. That's daybreak@cnn.com.

Your news, money, weather and sports.

It is 5:18 Eastern time.

Here's what's all new this morning.

The U.S. has halted its offensive operations in the Iraqi city of Fallujah. The Americans hope to negotiate with sheikhs from that area.

The White House plans to declassify an intelligence document given to the president more than a month before the 9/11 attacks. It is titled "Bin Laden Determined To Attack Inside the United States."

In money news, U.S. financial markets are closed today in observance of Good Friday.

In sports, Bruce Edwards, who served as Tom Watson's caddy for 30 years, has died. He was only 49 years old. Edwards' struggle with Lou Gehrig's Disease was an inspiration to Watson.

In culture, "The Life of Brian," the controversial Monty Python spoof about the bible, has been resurrected, so to speak. Twenty-five years after it was first released, it will soon compete against "The Passion of the Christ."

CHAD MYERS, CNN CORRESPONDENT: Nowhere to go with that.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you.

We're going to take a short break.

Please send us your e-mails on Condoleezza Rice's testimony -- daybreak@cnn.com.

(COMMERCIAL BREAK)

COSTELLO: Oh, take a look at that, Chad. Is that not a beautiful photo?

MYERS: That certainly is. Mark Moskin (ph) shot that photo.

COSTELLO: Yes, he took the image on the Italian island of Ponza, which is just west of Anzio in the Mediterranean. He says he's shown it to a lot of his friends and they think it's absolutely gorgeous, so he decided to show it to his friends of DAYBREAK.

MYERS: Thank you, Mark, creative director of -- I can't read it because of my (UNINTELLIGIBLE).

COSTELLO: I think it's Salient Designs.

MYERS: Salient Designs.

COSTELLO: Yes, Mark Moskin, thank you for the photo this morning.

MYERS: Great shot this morning.

COSTELLO: It certainly perked me up.

What else are we going to talk about this morning?

MYERS: We're going to the edge of space.

COSTELLO: Oh, let's go right now.

MYERS: Well, probably not you and me.

COSTELLO: It costs $10 million.

MYERS: Not unless a lot of other people do it first and make sure it's OK.

COSTELLO: Well, apparently this company out in California, they're testing manned rockets.

MYERS: Yes.

COSTELLO: Take a look at that. That doesn't look like a rocket.

MYERS: That is not a pretty little thing, but it goes fast and high.

COSTELLO: Yes, it does. It goes up, what, 62 miles up to the edge of space?

MYERS: Yes.

COSTELLO: And they're testing it so that they can sell these trips to you and me for mega dollars.

MYERS: And they tested it yesterday for a successful touchdown.

COSTELLO: Yes.

MYERS: What's the pilot's name?

COSTELLO: It's called Spaceship One Rocket.

MYERS: Peter Sebolt (ph).

COSTELLO: OK, well...

MYERS: Congratulations to those guys.

COSTELLO: Congratulations for a successful -- there's a guy in the, too.

MYERS: There is, yes.

COSTELLO: All right, let's get to our e-mail questions, because, of course, Condoleezza Rice testified before the 9/11 Commission.

MYERS: Yes.

COSTELLO: And we've been getting a lot of response to our e-mail questions this morning. So, you want me to take the first one? OK.

MYERS: The second one's shorter. I'll take it.

COSTELLO: OK.

This is from S.E. from New York. He says: "Condoleezza Rice, when asked by a commissioner for the recommendations on what needs to be fixed, starts off by saying her biggest fear is that September 11 is receding from memory. Funny that she says this when the Bush administration reelection TV ads are using images of 9/11."

MYERS: And then from Betty Merritt (ph) in Illinois: "I think that all of the material should be declassified so they couldn't just take out portions of what they want you to know and what they don't want you to know and not explain anything else."

COSTELLO: Well, Betty, you'll be happy to know that the Bush administration has decided to declassify the August 6th memo that was titled "Bin Laden Determined To Attack Inside the United States." So that will be declassified and that means all of us can read it for ourselves.

Time for some DAYBREAK Eye-Openers now.

First, in St. Louis, family and friends go to the wall for Mack Shulis (ph). There's no cure for 9-year-old Mack's brain tumor. Now, through the Make A Wish Foundation, Mack's friends will have a rock wall to climb at their school playground. The kids say Mack could have wished for anything, but his wish was for them.

In Farmington, Utah, just two inches of rain doesn't seem like much, but it was enough to bring down a hillside laid bare by last July's wildfire. Melting snow and a rainstorm triggered the mudslide. It filled one basement and covered yards with muck and debris.

In Fort Lauderdale, just what is it that's going up on this corner? Some say porn publisher Larry Flynt plans to open an adult oriented store. Flynt's lawyer says special locations elsewhere are sophisticated stores with no sexually explicit display in the window and a reputable clientele. But, some nearby residents are dubious.

Here's what's new in the next half hour of DAYBREAK.

The U.S. military calls a halt to offensive operations in Fallujah, where Marines have been locked in a heavy battle with Iraqi insurgents. We'll find out what it means.

And it's one of the holiest times of the year for Catholics. But this Good Friday, Vatican City is focusing its attention on security. We take you live to Rome for the latest.

And Condoleezza Rice tells the September 11 Commission no silver bullet could have stopped the terrorist attacks on New York and Washington. We'll get some reaction to her historic testimony.

You stay right there.

(BEGIN VIDEOTAPE)

GERRI WILLIS, CNN CORRESPONDENT: The reception has been pretty clear so far for XM Satellite Radio. The company recently passed the one million subscriber mark, handily beating competitor Serious Radio. XM charges a monthly fee for access to the 100 digital stations beamed from its satellites. The company has yet to turn a profit, despite deals with G.M. and Lexus to install XM receivers in some of their new vehicles.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

COSTELLO: There is a growing silence in Fallujah at this hour, as U.S. Marines call a halt to their fierce fighting with Iraqi insurgents. Why? We'll take you live to Baghdad to find out.

Good morning.

Welcome to the second half hour of DAYBREAK.

It is Friday, April 9.

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

More on the cease-fire from Baghdad in just a moment.

But first, the latest headlines for you.

In Iraq, U.S. troops retake the southern city of Kut from a Shia militia. In the meantime, in Fallujah, the military announces a unilateral suspension of offensive operations.

The White House is working to declassify the president's daily intelligence briefing of August 6, 2001. It was the subject of heated debate during National Security Advisor Condoleezza Rice's testimony.

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