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CNN Live At Daybreak

Countdown to Handover; In the Line Paying Respects; Hostages Freed; Wedded Bliss?

Aired June 09, 2004 - 05:30   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.


CAROL COSTELLO, CNN ANCHOR: Washington prepares for the return of one of the most popular presidents this nation has ever had.
It is Wednesday, June 9. This is DAYBREAK.

And good morning to you, welcome to the second half-hour of DAYBREAK. From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

Let me bring you up to date now.

Today the mourning for Ronald Reagan moves from California to Washington. More than 100,000 people passed by his casket to bid a final farewell. The president's family will escort his body to Washington today where it will lie in state at the Capitol.

An American military contractor has been fatally shot in Riyadh, Saudi Arabia. The shooting came a day after Islamic militants warned of new attacks on Westerners.

In money news, Clear Channel Communications is learning the cost of some off-color remarks by Howard Stern and others. One of the largest owners of radio stations in the nation paying $1.7 million to the FCC to settle several indecency complaints.

In sports, Ohio State basketball coach Jim O'Brien is sent packing. He's been fired after admitting he gave a recruit $6,000 in 1999.

In culture, you can expect to see more books on Ronald Reagan at your bookstore soon. Several publishers are rushing into print books on the 40th president and reissuing several more -- Chad.

CHAD MYERS, CNN METEOROLOGIST: And good morning, Carol.

(WEATHER REPORT)

COSTELLO: Thank you -- Chad.

MYERS: You're welcome.

COSTELLO: The plan for Iraq's future is signed and sealed, but now it must be delivered. The first step in that process came with a unanimous approval from the Security Council.

Senior United Nations correspondent Richard Roth has more for you.

(BEGIN VIDEOTAPE)

RICHARD ROTH, CNN CORRESPONDENT (voice-over): The U.S. and France together again on Iraq. They had company at the United Nations. By a 15-0 vote, the Security Council endorsed the transfer of political authority to Iraq.

JOHN NEGROPONTE, U.S. AMBASSADOR TO U.N.: With today's vote we acknowledge an important milestone. By June 30th, Iraq will reassert its sovereignty.

ROTH: Diplomats call it a catalyst for change in Iraq.

HOSHYAR ZEBARI, IRAQI FOREIGN MINISTER: The significance of this resolution for us, for the Iraqis, is really to take away the concept of occupation.

ROTH: The resolution also opens the door for more international help in Iraq, especially economic aid.

ZEBARI: We view this resolution as the most significant step since the first Gulf War towards the full normalization of the situation in Iraq.

ROTH: But don't look for a rush by other nations to send troops. In fact, France tried to lead the diplomatic charge to change the resolution in order to guarantee the Iraqis the right to veto actions by the American troops that will stay on after June 30th. After Iraq failed to back that request, France compromised but with a parting shot.

JEAN MARC DE LA SABLIERE, FRENCH AMBASSADOR TO U.N. (through translator): France cannot, moreover, imagine that the multinational force would go against the opinion of Iraq's sovereign government.

ROTH: Instead, under the resolution the U.S. and Iraq will coordinate on sensitive offensive operations. There is a potential exit time for the troops, January, 2006 or earlier if Iraq decides but Iraqi leaders say that's not imminent. And now the United Nations can return to Iraq to help with elections and the writing of a constitution, all depending on security.

Several diplomats said passage of the resolution puts a greater burden on Iraq to live up to the spirit of the resolution and on other countries to provide assistance.

(END VIDEOTAPE)

All the verbal support and backslapping is fine, but what Iraq really needs is commitments to rebuild the country.

Richard Roth, CNN, United Nations.

(END VIDEOTAPE)

COSTELLO: So there may be possible problems, as in not everybody is happy with this resolution.

Let's turn to our senior international editor David Clinch to tell us what's not in that resolution.

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

That's exactly what we are talking about today. Not throwing cold water at this as a fantastic achievement to get unanimous support for any kind of a resolution on Iraq is an amazing diplomatic achievement. That's happened.

There is now a dispute in Baghdad today, which is not a new dispute, but it's coming to the fore about what was left out of this U.N. resolution. The -- I'll try to boil it down for you. It's kind of complicated, but it is the core of the problem going forward.

The Shi'a majority were demanding that there be no mention in this U.N. resolution of the interim constitution. The Kurds were demanding that there would be a mention of it. Well the Kurds lost. There was no mention of the interim constitution.

What does that mean? The interim constitution, which has been in place for quite a few months now, basically guarantees the Kurds their seat at the table. It's not a side deal. It's basically a standard confirmation of their rights as a minority.

Well the problem, from the Shiite point of view, is they are the majority. They want democracy in its purest form now, which means the majority rules. The Kurds are very upset that they lost that battle.

Today, we're seeing rumblings, at the least from some of the Kurd members of the interim government, saying that if their leaders tell them to resign from this interim government, they'll do it. Well it's not clear that that's going to happen yet, but it's very clear that they are upset.

COSTELLO: You know though, with so many factions within Iraq, everybody can't be included. That would be impossible to have every slice of the pie equal.

CLINCH: Well that is true, but of course from the very beginning it's been the three major parties here, the Shi'a, the Sunni and the Kurds. And the Kurds, of course, feel the most vulnerable. They always have felt the most vulnerable. But of course, in some ways, they have enjoyed autonomy and power for so many years now, the very last thing they want to do after an invasion and freedom is to lose all of that.

COSTELLO: So what could happen?

CLINCH: Well, certainly there is going to be political maneuvering, hopefully just political maneuvering. But over the next 24, 48 hours, the Kurds are making it clear in Baghdad and elsewhere that they are very unhappy that this constitution of rights was not included in this U.N. resolution. They want guarantees, public guarantees that that has not been pushed aside. We'll see.

Today President Bush is having lunch at the G-8 with the new president of Iraq, again, that figurehead al-Yawar.

COSTELLO: But there is some controversy slipping out about him, isn't there?

CLINCH: Well, actually it's a different figure. It's the controversy today in the "New York Times" about the man who is the Prime Minister Allawi who is in Baghdad. He is the man who is meant to have the real power.

The "New York Times" story basically going over old ground, in some ways, that his group, when it was in opposition in London, the Shi'a group was amongst those that the CIA used to run interference inside Iraq. Although they pushed it a little bit further saying that his group actually carried out bombings inside Iraq.

COSTELLO: As in suicide bombings?

CLINCH: No, not suicide bombings, but bombings that may have caused civilian casualties. Now again, old news that the CIA was using all of these Shi'a groups, old news that he was amongst their contacts, let's just say, when he was in opposition. But again, a reminder that all of these people have a history.

COSTELLO: So he was apparently working to topple Saddam Hussein and there was all this sentiment that the United States had nothing to do with the naming of the president of Iraq, but maybe it really did...

CLINCH: Well,...

COSTELLO: ... now that we find that he might have been working for the CIA?

CLINCH: Well there was a lot of talk about Pachachi, the man who was not chosen, being a U.S. favorite. But clearly Allawi, and again, this is no secret, was a CIA favorite, at least when he was in opposition. Now he, from his point of view, is making it clear he is running independently and wants a position in the real government after elections when they come up presumably next year.

COSTELLO: We'll see what happens.

CLINCH: So everybody vying for power.

COSTELLO: Thank you -- David.

CLINCH: OK.

COSTELLO: The public viewing of Ronald Reagan's casket has ended at the Reagan Presidential Library. More than 106,000 people endured long waits in line just to spend a few moments walking past the former president's casket. Around 11:30 Eastern this morning, Nancy Reagan will escort her husband's body from the library to the nearby Navy base at Point Mugu. Then she'll escort the body from Simi Valley to Andrews Air Force Base near Washington aboard a presidential Boeing 747.

Wherever huge crowds of people gather, there are always dozens of personal stories to be told.

CNN's Thelma Gutierrez was one of those in line talking to the people at the Reagan Presidential Library.

(BEGIN VIDEOTAPE)

THELMA GUTIERREZ, CNN CORRESPONDENT (voice-over): It was a test of patience.

UNIDENTIFIED MALE: No cameras, folks.

GUTIERREZ: And endurance.

UNIDENTIFIED MALE: No water. No cameras.

GUTIERREZ: For two military men who met in this line, none of it mattered, not the lines, not the crowds, nor the three-, four- or five-hour wait.

UNIDENTIFIED MALE: I've got wonderful memories of him.

GUTIERREZ: For 25-year-old 2nd Lieutenant Sean Hines (ph), it was a chance to pay his respects to a former president.

UNIDENTIFIED MALE: He was an honest, trustworthy man.

GUTIERREZ: For 61-year-old retired Air Force Lieutenant Colonel Robert Lazaro (ph), it was a chance to say goodbye to a commander in chief he knew.

UNIDENTIFIED MALE: Get the president where he wanted to be safely and on time.

GUTIERREZ: For 5 1/2 years, Lazaro (ph) was a pilot aboard Air Force One. In 1981, he flew the president from California to Washington for his inauguration. Lazaro remembers his last night before he retired.

UNIDENTIFIED MALE: I was in command of the air. And he knew it was my last trip because they'd had my going-away party the week before that. And he came up in the cockpit, shook my hand and he said, I understand you're leaving us. And I said, yes, that's right, Mr. President. I'm going to retire. And he said, oh, that's great, because now you can go ride horses. But I have to come here now to tell him that he can ride horses.

GUTIERREZ: For this Vietnam veteran and former Reagan pilot, the walk through this line was full of nostalgia. UNIDENTIFIED MALE: When you saw him in front of the camera, it made you happy and proud to be an American because the way he handled himself made you feel good about yourself.

GUTIERREZ: He said this moment captured the essence of their relationship.

UNIDENTIFIED MALE: I just adored Nancy Reagan and the way she took care of him, the way she looked after him.

GUTIERREZ: After four hours, they finally boarded the bus.

UNIDENTIFIED MALE: It was a final goodbye and something I have kind of known was coming.

GUTIERREZ: Nearly five hours later, they have neared the end of their journey.

UNIDENTIFIED MALE: Certainly had a good life. A lot of people are going to remember him. It's just sad.

Two more flights. He's got to fly to Washington. He's got to fly back. Then he can rest.

GUTIERREZ: Thelma Gutierrez, CNN, Simi Valley, California.

(END VIDEOTAPE)

COSTELLO: There have only been nine other presidents who lay in state at the Capitol Rotunda. Among them, former President James Garfield, the 20th president, lay in state and had a state funeral in 1891. Same goes for former President John F. Kennedy in 1963 and former President Lyndon Johnson in 1973.

CNN will have special live coverage of Ronald Reagan's final journey to Washington this morning at 11:00 Eastern.

In the next hour of CNN DAYBREAK,...

(BEGIN VIDEO CLIP)

CHRISSY GEPHARDT, PRESIDENTIAL CANDIDATE: Name is Chrissy Gephardt, and I am going to be your American candidate.

(END VIDEO CLIP)

COSTELLO: Politics meets reality TV. We'll tell you why Chrissy Gephardt is running for president.

Plus,...

ALESSIO VINCI, CNN ROME BUREAU CHIEF: I am Alessio Vinci in Rome. The three Italian hostages freed by the U.S. and Polish Special Forces in Iraq are back here in Rome, but they can't go home just yet. I'll tell you why after the break. Stay with CNN.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports. It is 5:45 Eastern. Here is what's all new this morning.

Ronald Reagan's body leaves one coast for another later today. It is expected to arrive in Washington around 5:00 p.m. Eastern. More than 106,000 people filed past the former president's casket in California.

In Oklahoma, jury could start deliberating today on whether Terry Nichols should live or die. Two people who lost loved ones in the Oklahoma City bombing testified on Nichols' behalf.

In money news, MGM Mirage is extending the deadline of a proposed merger with Mandalay Resort Group until Friday. The deal is worth $7.6 billion. It would create the largest gambling company in the world.

In sports, it's the third straight tournament Andre Agassi has lost in the first round. This time he fell to the 60th ranked player in the world at the Queen's Event, a warm up for Wimbledon.

In culture, officials in Melbourne, Australia are getting ready to name a downtown street after the rock band ACDC. How about this, Highway to Hell, maybe not -- Chad.

MYERS: Those are nice shorts, Carol.

Hey, good morning.

(WEATHER REPORT)

MYERS: Back to you.

COSTELLO: Sounds nice. Thank you, Chad.

Those are the latest headlines for you.

Three Italians who had been held hostage in Iraq are back home this morning. They were freed during a coalition military operation south of Baghdad.

For more on their -- or on their homecoming, we head live to Rome and CNN's Alessio Vinci.

Is it a good homecoming for them -- Alessio?

ALESSIO VINCI, CNN ROME BUREAU CHIEF: Absolutely. A wonderful day here in Rome, sunny, and a glorious day at the Ciampino Military Airport where the hostages have just arrived from Kuwait City. They were welcomed, of course, by jubilation and by a group of parents and family members and relatives waiving the Italian flag. Really a day to remember in this country.

The Italian Prime Minister, the Italian Deputy Prime Minister, as well as the Italian Foreign Minister were there to welcome them. They timed the operation, according to the Italian Interior Minister, because he said the hostages were freed only a few days before being executed. They had some information that the hostages could have been executed as early as June the 11th.

It is, of course, a bittersweet moment for Italians as well. As you may remember, in April, one of the hostages was executed by their captors, and therefore, today, the family of Fabrizio Quattrocchi is not really celebrating.

But today there is also a lot of room for celebrations. The Italian hostages will be able to not go home immediately. They will have to be questioned, first by the Italian magistrates who are investigating, first of all, why they went to Iraq, what they were doing there, who they were working for and finally, if they had any information about why one of them had been executed.

I'm Alessio Vinci reporting live from Rome.

COSTELLO: All right, thank you, Alessio.

Dieters across America lend me your ears, want the taste without the calories? In the next hour of DAYBREAK, our nutritionist, Lisa Drayer, tells us how we can have our cake and eat it too.

And Marc Anthony makes three? Jenni (ph) from the block gets a new rock.

This is DAYBREAK for Wednesday.

(COMMERCIAL BREAK)

COSTELLO: Stories 'Across America' this Wednesday.

Laci Peterson's stepfather says that at first he didn't think Scott Peterson killed his wife and unborn son, but Ron Grantski says the family's suspicions crystallized after they saw a picture of Peterson with his mistress. Second week of the trial now under way in California.

Federal judge approves a $13.5 million settlement in a lawsuit stemming from a Georgia crematory case. The former operator accused of dumping bodies on the grounds of the crematory and then passing off cement dust as the remains. Relatives of those whose bodies were brought there for cremation filed the lawsuit.

More controversy over the way they vote in Florida. Just five months before the November presidential election, the state's election chief steps down, the controversy over the accuracy of the state's list of eligible voters. In the meantime, a court may rule today on a CNN lawsuit that seeks the names of approximately 47,000 potential felons who could be dropped from Florida's voter roles.

Well, is the reported J.Lo-Marc Anthony's marriage just a publicity stunt or is it true love? Either way, bookmakers are already taking bets on when the marriage will end.

Our Jeanne Moos looks at the latest buzz over this celebrity couple's mysterious matrimony.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): There's nothing low about J.Lo. when it comes to counting husbands. No. 1 was a waiter. No. 2 was a choreographer, No. 3 is none other than Marc Anthony.

UNIDENTIFIED FEMALE: She likes being married.

UNIDENTIFIED FEMALE: She seems to have a propensity for changing husbands.

MOOS: J.Lo. and Marc Anthony once sung a duet called "Don't Love Me." He was dying and already British bookmakers are predicting the death of their marriage, giving odds of three to one that they will be over before the year is.

WARREN LUSH, SPOKESMAN, LADBROKES: Quite pessimistic about the chances. We think that J.Lo. in many ways could be the new Liz Taylor.

MOOS: Liz Taylor with her eight marriages. Two of them to Richard Burton who actually played Mark Anthony in "Cleopatra." The Roman Mark Anthony knelt, the singer Marc Anthony stayed on his feet, promoting his new CD but when asked about his marriage on "The View"...

MARC ANTHONY, SINGER: I have nothing to say about anything. My life is my life.

MOOS: Matt Lauer noticed his ring on "The Today Show." If it hadn't been from "US Weekly's" shot from a helicopter we'd have no proof the wedding happened. The magazine says Ben Affleck, who himself came close to being husband No. 3, gave two thumbs up when told of the marriage. Now there are reports that J.Lo. is already pregnant.

UNIDENTIFIED MALE: We'll find out in about nine months, won't we?

MOOS: On Regis and Kelly.

CARROT TOP, COMEDIAN: This way she can keep changing the name...

MOOS: Comedian Carrot Top displayed a wedding photo of J.Lo. that was a low blow deserving of a blow over Marc Anthony.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

MYERS: You liked that.

COSTELLO: The interchangeable head thing.

MYERS: That's like Stumpy, the big headed weatherman. COSTELLO: Loving that.

We have to talk about sex now, because it's early in the morning and I don't know, we're just going to talk about it to wake you up. Because there was a new study done...

MYERS: New study.

COSTELLO: ... by the National Bureau of Economic Research, and guess what,...

MYERS: They are not psychologists, they don't know anything about -- they were...

COSTELLO: They don't know anything about sex.

MYERS: They were -- they were thinking, they were trying to relate money and sex. If you have more money, do you have more sex? In fact, no.

COSTELLO: In fact, unemployed people have the most sex. And I would say it's because they have the time.

MYERS: Exactly. I go to sleep at 7:30, you know, hey, you don't get a lot.

COSTELLO: The reason they did this study though is to see what makes people happy.

MYERS: Right.

COSTELLO: Because if they can discover what makes people happy, then, of course, you know you won't get sick as often, blah, blah, blah, and we'll save money on health care costs and...

MYERS: You know I believe this study for one reason.

COSTELLO: Why?

MYERS: Because they did say that money can buy you some happiness, that rich people are more happy than poor people. And you know what,...

COSTELLO: That's a lot of stress out of your life.

MYERS: ... and if I won the lottery, I think I'd be pretty happy.

COSTELLO: So you'd take the money over sex?

MYERS: Well that's a really loaded question. I don't think my wife is watching, but...

COSTELLO: It's a sweet victory for President Bush this morning, the U.N. Security Council giving thumbs up to that U.S.-backed blueprint for the building of a new Iraq. We're going to tell you much more about that. You stay right there.

(COMMERCIAL BREAK)

COSTELLO: And you're looking at a solemn dress rehearsal for the first state funeral of a president in three decades.

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 June 9, 2004 - 05:30   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Washington prepares for the return of one of the most popular presidents this nation has ever had.
It is Wednesday, June 9. This is DAYBREAK.

And good morning to you, welcome to the second half-hour of DAYBREAK. From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

Let me bring you up to date now.

Today the mourning for Ronald Reagan moves from California to Washington. More than 100,000 people passed by his casket to bid a final farewell. The president's family will escort his body to Washington today where it will lie in state at the Capitol.

An American military contractor has been fatally shot in Riyadh, Saudi Arabia. The shooting came a day after Islamic militants warned of new attacks on Westerners.

In money news, Clear Channel Communications is learning the cost of some off-color remarks by Howard Stern and others. One of the largest owners of radio stations in the nation paying $1.7 million to the FCC to settle several indecency complaints.

In sports, Ohio State basketball coach Jim O'Brien is sent packing. He's been fired after admitting he gave a recruit $6,000 in 1999.

In culture, you can expect to see more books on Ronald Reagan at your bookstore soon. Several publishers are rushing into print books on the 40th president and reissuing several more -- Chad.

CHAD MYERS, CNN METEOROLOGIST: And good morning, Carol.

(WEATHER REPORT)

COSTELLO: Thank you -- Chad.

MYERS: You're welcome.

COSTELLO: The plan for Iraq's future is signed and sealed, but now it must be delivered. The first step in that process came with a unanimous approval from the Security Council.

Senior United Nations correspondent Richard Roth has more for you.

(BEGIN VIDEOTAPE)

RICHARD ROTH, CNN CORRESPONDENT (voice-over): The U.S. and France together again on Iraq. They had company at the United Nations. By a 15-0 vote, the Security Council endorsed the transfer of political authority to Iraq.

JOHN NEGROPONTE, U.S. AMBASSADOR TO U.N.: With today's vote we acknowledge an important milestone. By June 30th, Iraq will reassert its sovereignty.

ROTH: Diplomats call it a catalyst for change in Iraq.

HOSHYAR ZEBARI, IRAQI FOREIGN MINISTER: The significance of this resolution for us, for the Iraqis, is really to take away the concept of occupation.

ROTH: The resolution also opens the door for more international help in Iraq, especially economic aid.

ZEBARI: We view this resolution as the most significant step since the first Gulf War towards the full normalization of the situation in Iraq.

ROTH: But don't look for a rush by other nations to send troops. In fact, France tried to lead the diplomatic charge to change the resolution in order to guarantee the Iraqis the right to veto actions by the American troops that will stay on after June 30th. After Iraq failed to back that request, France compromised but with a parting shot.

JEAN MARC DE LA SABLIERE, FRENCH AMBASSADOR TO U.N. (through translator): France cannot, moreover, imagine that the multinational force would go against the opinion of Iraq's sovereign government.

ROTH: Instead, under the resolution the U.S. and Iraq will coordinate on sensitive offensive operations. There is a potential exit time for the troops, January, 2006 or earlier if Iraq decides but Iraqi leaders say that's not imminent. And now the United Nations can return to Iraq to help with elections and the writing of a constitution, all depending on security.

Several diplomats said passage of the resolution puts a greater burden on Iraq to live up to the spirit of the resolution and on other countries to provide assistance.

(END VIDEOTAPE)

All the verbal support and backslapping is fine, but what Iraq really needs is commitments to rebuild the country.

Richard Roth, CNN, United Nations.

(END VIDEOTAPE)

COSTELLO: So there may be possible problems, as in not everybody is happy with this resolution.

Let's turn to our senior international editor David Clinch to tell us what's not in that resolution.

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

That's exactly what we are talking about today. Not throwing cold water at this as a fantastic achievement to get unanimous support for any kind of a resolution on Iraq is an amazing diplomatic achievement. That's happened.

There is now a dispute in Baghdad today, which is not a new dispute, but it's coming to the fore about what was left out of this U.N. resolution. The -- I'll try to boil it down for you. It's kind of complicated, but it is the core of the problem going forward.

The Shi'a majority were demanding that there be no mention in this U.N. resolution of the interim constitution. The Kurds were demanding that there would be a mention of it. Well the Kurds lost. There was no mention of the interim constitution.

What does that mean? The interim constitution, which has been in place for quite a few months now, basically guarantees the Kurds their seat at the table. It's not a side deal. It's basically a standard confirmation of their rights as a minority.

Well the problem, from the Shiite point of view, is they are the majority. They want democracy in its purest form now, which means the majority rules. The Kurds are very upset that they lost that battle.

Today, we're seeing rumblings, at the least from some of the Kurd members of the interim government, saying that if their leaders tell them to resign from this interim government, they'll do it. Well it's not clear that that's going to happen yet, but it's very clear that they are upset.

COSTELLO: You know though, with so many factions within Iraq, everybody can't be included. That would be impossible to have every slice of the pie equal.

CLINCH: Well that is true, but of course from the very beginning it's been the three major parties here, the Shi'a, the Sunni and the Kurds. And the Kurds, of course, feel the most vulnerable. They always have felt the most vulnerable. But of course, in some ways, they have enjoyed autonomy and power for so many years now, the very last thing they want to do after an invasion and freedom is to lose all of that.

COSTELLO: So what could happen?

CLINCH: Well, certainly there is going to be political maneuvering, hopefully just political maneuvering. But over the next 24, 48 hours, the Kurds are making it clear in Baghdad and elsewhere that they are very unhappy that this constitution of rights was not included in this U.N. resolution. They want guarantees, public guarantees that that has not been pushed aside. We'll see.

Today President Bush is having lunch at the G-8 with the new president of Iraq, again, that figurehead al-Yawar.

COSTELLO: But there is some controversy slipping out about him, isn't there?

CLINCH: Well, actually it's a different figure. It's the controversy today in the "New York Times" about the man who is the Prime Minister Allawi who is in Baghdad. He is the man who is meant to have the real power.

The "New York Times" story basically going over old ground, in some ways, that his group, when it was in opposition in London, the Shi'a group was amongst those that the CIA used to run interference inside Iraq. Although they pushed it a little bit further saying that his group actually carried out bombings inside Iraq.

COSTELLO: As in suicide bombings?

CLINCH: No, not suicide bombings, but bombings that may have caused civilian casualties. Now again, old news that the CIA was using all of these Shi'a groups, old news that he was amongst their contacts, let's just say, when he was in opposition. But again, a reminder that all of these people have a history.

COSTELLO: So he was apparently working to topple Saddam Hussein and there was all this sentiment that the United States had nothing to do with the naming of the president of Iraq, but maybe it really did...

CLINCH: Well,...

COSTELLO: ... now that we find that he might have been working for the CIA?

CLINCH: Well there was a lot of talk about Pachachi, the man who was not chosen, being a U.S. favorite. But clearly Allawi, and again, this is no secret, was a CIA favorite, at least when he was in opposition. Now he, from his point of view, is making it clear he is running independently and wants a position in the real government after elections when they come up presumably next year.

COSTELLO: We'll see what happens.

CLINCH: So everybody vying for power.

COSTELLO: Thank you -- David.

CLINCH: OK.

COSTELLO: The public viewing of Ronald Reagan's casket has ended at the Reagan Presidential Library. More than 106,000 people endured long waits in line just to spend a few moments walking past the former president's casket. Around 11:30 Eastern this morning, Nancy Reagan will escort her husband's body from the library to the nearby Navy base at Point Mugu. Then she'll escort the body from Simi Valley to Andrews Air Force Base near Washington aboard a presidential Boeing 747.

Wherever huge crowds of people gather, there are always dozens of personal stories to be told.

CNN's Thelma Gutierrez was one of those in line talking to the people at the Reagan Presidential Library.

(BEGIN VIDEOTAPE)

THELMA GUTIERREZ, CNN CORRESPONDENT (voice-over): It was a test of patience.

UNIDENTIFIED MALE: No cameras, folks.

GUTIERREZ: And endurance.

UNIDENTIFIED MALE: No water. No cameras.

GUTIERREZ: For two military men who met in this line, none of it mattered, not the lines, not the crowds, nor the three-, four- or five-hour wait.

UNIDENTIFIED MALE: I've got wonderful memories of him.

GUTIERREZ: For 25-year-old 2nd Lieutenant Sean Hines (ph), it was a chance to pay his respects to a former president.

UNIDENTIFIED MALE: He was an honest, trustworthy man.

GUTIERREZ: For 61-year-old retired Air Force Lieutenant Colonel Robert Lazaro (ph), it was a chance to say goodbye to a commander in chief he knew.

UNIDENTIFIED MALE: Get the president where he wanted to be safely and on time.

GUTIERREZ: For 5 1/2 years, Lazaro (ph) was a pilot aboard Air Force One. In 1981, he flew the president from California to Washington for his inauguration. Lazaro remembers his last night before he retired.

UNIDENTIFIED MALE: I was in command of the air. And he knew it was my last trip because they'd had my going-away party the week before that. And he came up in the cockpit, shook my hand and he said, I understand you're leaving us. And I said, yes, that's right, Mr. President. I'm going to retire. And he said, oh, that's great, because now you can go ride horses. But I have to come here now to tell him that he can ride horses.

GUTIERREZ: For this Vietnam veteran and former Reagan pilot, the walk through this line was full of nostalgia. UNIDENTIFIED MALE: When you saw him in front of the camera, it made you happy and proud to be an American because the way he handled himself made you feel good about yourself.

GUTIERREZ: He said this moment captured the essence of their relationship.

UNIDENTIFIED MALE: I just adored Nancy Reagan and the way she took care of him, the way she looked after him.

GUTIERREZ: After four hours, they finally boarded the bus.

UNIDENTIFIED MALE: It was a final goodbye and something I have kind of known was coming.

GUTIERREZ: Nearly five hours later, they have neared the end of their journey.

UNIDENTIFIED MALE: Certainly had a good life. A lot of people are going to remember him. It's just sad.

Two more flights. He's got to fly to Washington. He's got to fly back. Then he can rest.

GUTIERREZ: Thelma Gutierrez, CNN, Simi Valley, California.

(END VIDEOTAPE)

COSTELLO: There have only been nine other presidents who lay in state at the Capitol Rotunda. Among them, former President James Garfield, the 20th president, lay in state and had a state funeral in 1891. Same goes for former President John F. Kennedy in 1963 and former President Lyndon Johnson in 1973.

CNN will have special live coverage of Ronald Reagan's final journey to Washington this morning at 11:00 Eastern.

In the next hour of CNN DAYBREAK,...

(BEGIN VIDEO CLIP)

CHRISSY GEPHARDT, PRESIDENTIAL CANDIDATE: Name is Chrissy Gephardt, and I am going to be your American candidate.

(END VIDEO CLIP)

COSTELLO: Politics meets reality TV. We'll tell you why Chrissy Gephardt is running for president.

Plus,...

ALESSIO VINCI, CNN ROME BUREAU CHIEF: I am Alessio Vinci in Rome. The three Italian hostages freed by the U.S. and Polish Special Forces in Iraq are back here in Rome, but they can't go home just yet. I'll tell you why after the break. Stay with CNN.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports. It is 5:45 Eastern. Here is what's all new this morning.

Ronald Reagan's body leaves one coast for another later today. It is expected to arrive in Washington around 5:00 p.m. Eastern. More than 106,000 people filed past the former president's casket in California.

In Oklahoma, jury could start deliberating today on whether Terry Nichols should live or die. Two people who lost loved ones in the Oklahoma City bombing testified on Nichols' behalf.

In money news, MGM Mirage is extending the deadline of a proposed merger with Mandalay Resort Group until Friday. The deal is worth $7.6 billion. It would create the largest gambling company in the world.

In sports, it's the third straight tournament Andre Agassi has lost in the first round. This time he fell to the 60th ranked player in the world at the Queen's Event, a warm up for Wimbledon.

In culture, officials in Melbourne, Australia are getting ready to name a downtown street after the rock band ACDC. How about this, Highway to Hell, maybe not -- Chad.

MYERS: Those are nice shorts, Carol.

Hey, good morning.

(WEATHER REPORT)

MYERS: Back to you.

COSTELLO: Sounds nice. Thank you, Chad.

Those are the latest headlines for you.

Three Italians who had been held hostage in Iraq are back home this morning. They were freed during a coalition military operation south of Baghdad.

For more on their -- or on their homecoming, we head live to Rome and CNN's Alessio Vinci.

Is it a good homecoming for them -- Alessio?

ALESSIO VINCI, CNN ROME BUREAU CHIEF: Absolutely. A wonderful day here in Rome, sunny, and a glorious day at the Ciampino Military Airport where the hostages have just arrived from Kuwait City. They were welcomed, of course, by jubilation and by a group of parents and family members and relatives waiving the Italian flag. Really a day to remember in this country.

The Italian Prime Minister, the Italian Deputy Prime Minister, as well as the Italian Foreign Minister were there to welcome them. They timed the operation, according to the Italian Interior Minister, because he said the hostages were freed only a few days before being executed. They had some information that the hostages could have been executed as early as June the 11th.

It is, of course, a bittersweet moment for Italians as well. As you may remember, in April, one of the hostages was executed by their captors, and therefore, today, the family of Fabrizio Quattrocchi is not really celebrating.

But today there is also a lot of room for celebrations. The Italian hostages will be able to not go home immediately. They will have to be questioned, first by the Italian magistrates who are investigating, first of all, why they went to Iraq, what they were doing there, who they were working for and finally, if they had any information about why one of them had been executed.

I'm Alessio Vinci reporting live from Rome.

COSTELLO: All right, thank you, Alessio.

Dieters across America lend me your ears, want the taste without the calories? In the next hour of DAYBREAK, our nutritionist, Lisa Drayer, tells us how we can have our cake and eat it too.

And Marc Anthony makes three? Jenni (ph) from the block gets a new rock.

This is DAYBREAK for Wednesday.

(COMMERCIAL BREAK)

COSTELLO: Stories 'Across America' this Wednesday.

Laci Peterson's stepfather says that at first he didn't think Scott Peterson killed his wife and unborn son, but Ron Grantski says the family's suspicions crystallized after they saw a picture of Peterson with his mistress. Second week of the trial now under way in California.

Federal judge approves a $13.5 million settlement in a lawsuit stemming from a Georgia crematory case. The former operator accused of dumping bodies on the grounds of the crematory and then passing off cement dust as the remains. Relatives of those whose bodies were brought there for cremation filed the lawsuit.

More controversy over the way they vote in Florida. Just five months before the November presidential election, the state's election chief steps down, the controversy over the accuracy of the state's list of eligible voters. In the meantime, a court may rule today on a CNN lawsuit that seeks the names of approximately 47,000 potential felons who could be dropped from Florida's voter roles.

Well, is the reported J.Lo-Marc Anthony's marriage just a publicity stunt or is it true love? Either way, bookmakers are already taking bets on when the marriage will end.

Our Jeanne Moos looks at the latest buzz over this celebrity couple's mysterious matrimony.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): There's nothing low about J.Lo. when it comes to counting husbands. No. 1 was a waiter. No. 2 was a choreographer, No. 3 is none other than Marc Anthony.

UNIDENTIFIED FEMALE: She likes being married.

UNIDENTIFIED FEMALE: She seems to have a propensity for changing husbands.

MOOS: J.Lo. and Marc Anthony once sung a duet called "Don't Love Me." He was dying and already British bookmakers are predicting the death of their marriage, giving odds of three to one that they will be over before the year is.

WARREN LUSH, SPOKESMAN, LADBROKES: Quite pessimistic about the chances. We think that J.Lo. in many ways could be the new Liz Taylor.

MOOS: Liz Taylor with her eight marriages. Two of them to Richard Burton who actually played Mark Anthony in "Cleopatra." The Roman Mark Anthony knelt, the singer Marc Anthony stayed on his feet, promoting his new CD but when asked about his marriage on "The View"...

MARC ANTHONY, SINGER: I have nothing to say about anything. My life is my life.

MOOS: Matt Lauer noticed his ring on "The Today Show." If it hadn't been from "US Weekly's" shot from a helicopter we'd have no proof the wedding happened. The magazine says Ben Affleck, who himself came close to being husband No. 3, gave two thumbs up when told of the marriage. Now there are reports that J.Lo. is already pregnant.

UNIDENTIFIED MALE: We'll find out in about nine months, won't we?

MOOS: On Regis and Kelly.

CARROT TOP, COMEDIAN: This way she can keep changing the name...

MOOS: Comedian Carrot Top displayed a wedding photo of J.Lo. that was a low blow deserving of a blow over Marc Anthony.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

MYERS: You liked that.

COSTELLO: The interchangeable head thing.

MYERS: That's like Stumpy, the big headed weatherman. COSTELLO: Loving that.

We have to talk about sex now, because it's early in the morning and I don't know, we're just going to talk about it to wake you up. Because there was a new study done...

MYERS: New study.

COSTELLO: ... by the National Bureau of Economic Research, and guess what,...

MYERS: They are not psychologists, they don't know anything about -- they were...

COSTELLO: They don't know anything about sex.

MYERS: They were -- they were thinking, they were trying to relate money and sex. If you have more money, do you have more sex? In fact, no.

COSTELLO: In fact, unemployed people have the most sex. And I would say it's because they have the time.

MYERS: Exactly. I go to sleep at 7:30, you know, hey, you don't get a lot.

COSTELLO: The reason they did this study though is to see what makes people happy.

MYERS: Right.

COSTELLO: Because if they can discover what makes people happy, then, of course, you know you won't get sick as often, blah, blah, blah, and we'll save money on health care costs and...

MYERS: You know I believe this study for one reason.

COSTELLO: Why?

MYERS: Because they did say that money can buy you some happiness, that rich people are more happy than poor people. And you know what,...

COSTELLO: That's a lot of stress out of your life.

MYERS: ... and if I won the lottery, I think I'd be pretty happy.

COSTELLO: So you'd take the money over sex?

MYERS: Well that's a really loaded question. I don't think my wife is watching, but...

COSTELLO: It's a sweet victory for President Bush this morning, the U.N. Security Council giving thumbs up to that U.S.-backed blueprint for the building of a new Iraq. We're going to tell you much more about that. You stay right there.

(COMMERCIAL BREAK)

COSTELLO: And you're looking at a solemn dress rehearsal for the first state funeral of a president in three decades.

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