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CNN Live At Daybreak
Latest Suicide Car Bombing In Iraq Kills at Least 35; Recapping Yesterday's Testimony Before 9/11 Commission
Aired June 17, 2004 - 06:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Dozens dead and wounded -- a car bomb goes off near an Iraqi army recruitment center.
It is Thursday, June 17.
This is DAYBREAK.
And good morning to you.
From the CNN global headquarters in Atlanta, I'm Carol Costello.
Let me bring you up to date now.
Just five hours ago, a bomber strikes central Baghdad. A passing bus takes the brunt of the explosion. At least 35 Iraqis are dead, 138 hurt. Officials fear the death toll will rise.
The panel investigating the 9/11 terrorist attacks opens its final public hearing two hours from now. Today, witnesses from the military and the FAA will testify.
In money news, what you might call soothing news from the Federal Reserve. It reports economic activity expanded in April and May. Analysts expect the Fed to raise interest rates, possibly at its meeting later this month.
In culture, if you want to pay your respects to singer Ray Charles, you can. Public viewing of his casket is being allowed today from 9:00 to 5:00 Pacific Time in the South Hall of the Los Angeles Convention Center. His funeral is scheduled for tomorrow.
In sports, this morning the U.S. Open gets under way. It's being played this year at Shinnecock Hills Country Club in Southampton, New York. The winner gets 1.1 million bucks -- Chad.
CHAD MYERS, CNN CORRESPONDENT: It should be a great day out there today, lots of sunshine, temperatures right now already around 70 and temperatures later on today going to be around 79.
(WEATHER REPORT)
COSTELLO: An Iraqi army recruiting center was the target, but most of the victims were rush hour passersby. A devastating attack in Baghdad, with at least 35 killed and 138 wounded by a suicide car bomb.
Our chief international correspondent Christiane Amanpour at the scene right now -- Christiane, bring us up to date.
CHRISTIANE AMANPOUR, CNN CORRESPONDENT: Carol, well, the death toll and the figure of the wounded keeps rising. Originally we were told that there were 18 dead. Now it stands at 35 dead, according to Iraq's Ministry of Health, and 138 wounded.
A massive car bomb, a suicide explosion, according to U.S. Army officials at the scene, went off at about 9:00 a.m., which, of course, is at the height of when people are out trying to get to and from work. The traffic is heavy. People are walking on the pavements and it was outside the recruiting center in Baghdad for the Iraq Civil Defense Corps.
There were people lined up outside, although we're told that the bulk of the army recruits were not injured and not killed, that the casualties were suffered amongst the ordinary Iraqis who were outside.
The U.S. Army cordoned off the area, looking for secondary explosives. There were none. But they do say that it was a white SUV, a sports utility vehicle packed with artillery shells that caused this massive explosion.
Shortly afterwards, the prime minister of Iraq, the prime minister of this new interim government, went to visit the site. And that in itself was risky, because not only are ordinary Iraqis, security forces, targets but also ministers are targets, and there have been attacks on top level officials over the last several days of this new interim government.
The hospitals, as I say, were full of bodies and of the wounded, who came to two main hospitals in Baghdad. And this is not the first time this week that such an attack has happened. Monday there was a suicide attack against a convoy carrying foreign contractors. Five G.E. workers were killed. But, of course, the bulk of those killed and wounded were ordinary Iraqis. Ministers here say it's designed to sow -- not only disrupt and destabilize any attempt by the interim government to get up and running, but also to sow panic amongst people. And they have been deliberately targeting specific groups of people here in Baghdad and infrastructure around the country ahead of this June 30 handover -- Carol.
COSTELLO: Christiane Amanpour live in Baghdad this morning.
Thank you.
The 9/11 Commission says there is no evidence that Saddam Hussein had any links at all to al Qaeda. The commission opens its final day of hearings in just under two hours.
CNN's Bill Prasad joins us live from D.C. with a look at what we can expect to hear today -- good morning, Bill.
BILL PRASAD, CNN CORRESPONDENT: Good morning, Carol.
It was horrible, it could have been a lot worse. The original terrorist plan called for more planes to strike more targets, not just in the Northeast, but all over the country.
(BEGIN VIDEOTAPE)
PRASAD (voice-over): At the 9/11 Commission hearing, a jaw dropping moment.
UNIDENTIFIED MALE: It starts off the 10, 10 to nine planes, some coming to the East Coast, some coming to the West Coast.
PRASAD: The original plan called for planes to hit FBI and CIA headquarters, the U.S. Capitol and the White House, the tallest buildings in Washington State and California, and unidentified nuclear power plants. Terrorists scaled back the plans. But al Qaeda's ability to adapt and change plans left some commissioners dismayed.
UNIDENTIFIED MALE: How in the world do we ever expect to win this war?
PRASAD: Then came another revelation.
UNIDENTIFIED MALE: We have no credible evidence that Iraq and al Qaeda cooperated on attacks against the United States.
PRASAD: The alleged connection between Iraq and al Qaeda -- one of the reasons why the president said the U.S. should topple Saddam Hussein. In fact, the vice president made the point Monday.
DICK CHENEY, VICE PRESIDENT OF THE UNITED STATES: He had long established ties with al Qaeda.
PRASAD: But the commission says there is no evidence of those ties.
Democratic presidential candidate John Kerry is capitalizing.
SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: The administration misled America.
PRASAD: And amid the fog of accusations, one clear warning about al Qaeda from a CIA official.
UNIDENTIFIED MALE: It may strike next week, next month or next year, but it will strike.
(END VIDEOTAPE)
PRASAD: In today's hearing, the Commission says it plans to dispel some myths, including the belief that the military was ready to shoot down civilian aircraft. One commission member says that's not true -- Carol, back to you.
COSTELLO: A question for you. I know the attack on September 11 was supposed to be much greater.
What changed within al Qaeda to make them only use four planes? PRASAD: Well, Carol, according to the report, there was some consternation among the hijackers as to which roles they were going to play. There was also an argument as to exactly when to strike. The report says that Osama bin Laden saw all of this playing out. He decided to scale back the attack plans because, in his words, apparently they were too ambitious -- Carol.
COSTELLO: Bill Prasad live in Washington.
Thank you.
A federal judge has ordered tests to determine if Nuradine Abdi is competent to stand trial. Abdi, who is from Somalia, is linked to a plot to blow up a shopping mall in Columbus, Ohio. Reporters say Abdi acted very strangely in court on Wednesday, and his brother says it appears the accused man did not recognize members of his own family.
In Saudi Arabia, time is running out for kidnapped American Paul Johnson. Johnson's abductors say they will kill him tomorrow if their demands are not met. Johnson, a Lockheed Martin employee, was kidnapped on Saturday. His son is pleading for his release.
(BEGIN VIDEO CLIP)
PAUL JOHNSON III, JOHNSON'S SON: I know he's an innocent victim in this whole matter and I plead with the Saudi government and the group of men that are holding my father to please let him return home safely. He will leave your country. You will never see him again. I just plead with them to get him home safely.
(END VIDEO CLIP)
COSTELLO: A U.S. senator following the kidnapping of the American in Saudi Arabia calls the situation grim.
In stories across America this Thursday, in California, Scott Peterson's defense lawyer tries to poke holes in the prosecution's case. Mark Geragos brought up reports from witnesses who say they saw Laci Peterson walking her dog in a park near her home on the day she disappeared. But a police sergeant testified that dozens of police officers thoroughly searched that park.
Tragedy at a Texas water attraction. Four people, including three children, drowned at the Fort Worth Water Gardens. An 8-year- old girl fell or dove into the pool and was pulled under by the suction from the pool's large pump. Another child jumped in to save her, but was also pulled under. The first girl's father and brother jumped in, but they also drowned during the rescue attempt.
The Coast Guard released this video of a tragic voyage by a group of Dominican migrants. Three people drowned when the boat capsized off the coast of Puerto Rico. The Coast Guard says the video should be a warning to other migrants who may try riding unsafe vessels to the U.S. mainland. Strong words from the fastest woman in the world about the U.S. Anti-Doping Agency. What Marion Jones has to say as rumors swirl about Olympic athletes and the use of illegal substances.
Plus, the deal the governor of California is betting on to make money for the state.
And later, a not so simple life for two Hollywood rich girls. Were Paris and Nicole -- where Paris and Nicole are headed next, I should say.
This is DAYBREAK for Thursday, June 17.
(COMMERCIAL BREAK)
COSTELLO: Time for a little business buzz now. Governor Schwarzenegger and five Native American tribesmen are nearing a deal to expand gambling and increase revenues in California.
Carrie Lee has more on this story live from the NASDAQ market site -- good morning.
CARRIE LEE, CNN CORRESPONDENT: Hi, Carol.
And revenues are something the State of California needs badly. The "New York Times" reporting that this deal is expected to be announced on Monday. And what it means for the state is that California will get $1 billion up front and then payments of several millions of dollars over the next 25 years, several hundred million over the next 25 years.
Now, five tribes expected to agree to this deal initially. There are about 50 or so that operate casinos in the state. So Schwarzenegger says he expects that these other tribes will come on board, as well.
What does this mean for gamblers? Well, more slot machines. The plan would lift the existing limit of 2,000 slot machines per tribe and allow tribal casinos to install as many slots as they think the market will bear. So we'll see if this happens -- Carol.
COSTELLO: Yes.
LEE: More gambling and more revenue coming to the state very soon, perhaps.
COSTELLO: Let's talk about another kind of gambling, you know, trading stocks.
LEE: Yes.
COSTELLO: What are the futures looking like this morning?
LEE: It feels that way sometimes. You know, a pretty lackluster session yesterday. The Dow, NASDAQ, S&P not doing a whole lot at the close, as you can see. The NASDAQ up just two points. The futures looking pretty flat for today's session, as well. We will get a look at inflation at the producer level, prices paid by farms and factories, a look at weekly jobless claims.
I think a lot of people, though, may be waiting to see what the Federal Reserve does at the end of this month when it meets next regarding interest rates. And that's when we have the handover in Iraq, as well. So we could see maybe some people waiting on the sidelines over the next couple of weeks. But looking pretty flat right now for today's session.
COSTELLO: All right.
Thank you, Carrie.
Your news, money, weather and sports.
It is 6:15 Eastern.
Here's what's all new this morning.
At least 35 people were killed when a suicide car bomb exploded outside an Iraqi army recruiting center in Baghdad. It happened earlier this morning. One hundred thirty-eight people were injured in that blast, but no casualties are reported among 175 would be recruits at the center.
New Jersey's two senators have met with a top Saudi official to talk about the plight of Paul Johnson, Jr. He's the kidnapped American threatened with death in Saudi Arabia.
In money news, Sprint is cutting back again. The phone company is planning to cut 1,100 jobs due to increased competition in the long distance market. Sprint has cut 22,000 jobs over the last two years.
In culture, it seems like Paul McCartney has been around forever. The former Beatle is set to play his 3,000th live show when he performs next week in St. Petersburg, Russia.
In sports, Greg Maddux is closing in on a milestone. The Cubs pitcher picked up his 295th win by beating the Houston Astros 4-1. Maddux is trying to become the 22nd pitcher to reach 300 career wins. It's hard to call him a Cubs pitcher.
MYERS: Wow! Yes, right. Yes, he pitched for the Braves so long. Exactly.
(WEATHER REPORT)
COSTELLO: Those are the latest headlines for you this morning.
Sprinter Marion Jones won five medals at the Summer Olympics in Sydney. But this time around she's just hoping to be allowed on the track. Jones is at the center of the Balco steroids investigation, along with several other prominent track athletes. But now, she wants the investigation to go public. She says she wants the world to see she has nothing to hide.
(BEGIN VIDEO CLIP)
MARION JONES, OLYMPIC CHAMPION: The truth is my friend and transparency my ally in this matter. And this is why I want this process to be as transparent, open and fair as possible, so that everyone can see for themselves what I have been saying all along -- that I have never ever used performance enhancing drugs and that I have accomplished what I have accomplished because of my god given abilities and hard work.
(END VIDEO CLIP)
COSTELLO: Jones could be banned from competing in the Athens Games, whether she tests positive for drugs or not.
And while the hot talk over here continues to be athletes and steroid, in Athens, Greece, where the Summer Olympic Games will take place, residents there are worried about construction delays and how much debt the country is incurring.
Joining us on the phone from Athens, Greece is "Time" magazine reporter Anthee Carassava.
Good morning, Anthee.
ANTHEE CARASSAVA, "TIME" MAGAZINE CORRESPONDENT: Good morning, Carol.
COSTELLO: So, are people exited in Athens about the Games?
CARASSAVA: Well, yes and no. But two months before the start of the Games, the Olympic spirit is nowhere to be found. Olympic construction has been a terrible inconvenience for the Greeks, particularly the Athenians. They've had to endure traffic chaos. They've had to learn to live with the sound of drills grilling the capital's grounds 24 hours a day, even on holidays. They are now being called upon to abandon their cars and start using public transportation.
So to a great degree, their lives have been disrupted. And this absence of Olympic spirit is the result of this inconvenience, which the Athenians are faced with and will continue to be faced with, if I may, until the end of the Games.
COSTELLO: What...
CARASSAVA: There is another cause, also, for this sagging Olympic spirit, and that is also the continuous international criticism which the Greeks have faced about how bad the Greeks and been in getting their act together, how capable the Greeks are, in fact, to host secure Games.
So all of this has put the Greeks a bit on the defensive, has affected their national pride a bit. But officials are confident that, if anything, you know, this Olympic spirit will kick in in typical Greek fashion, which is at the last minute.
COSTELLO: Gosh, we hope so, because it's just a terrible way to feel when such an honor is bestowed on your city.
Another question for you, though. They're spending more than a billion dollars on security alone for these Olympics.
Will -- I mean is the cost worth it?
CARASSAVA: Well, that is a very important issue. And over costs are becoming a very important debate here. I predict they will, you know, the issue will be an explosive one after the end of the Olympics. The government has actually, in recent weeks, actually come out and confessed that ballooning costs in preparations, in addition to borrowing requirements, have overshot the budget. A very senior government official I was speaking to just a couple of days ago was telling me that the initial forecast of 4.6 billion euros may well debate, up to eight billion euros, for the price of the Olympics.
So, it looks, at least on paper, like the Olympics, for the Athenians and Athens altogether, may prove to be a loss making enterprise.
But officials, though, on the other hand, and even, you know, the locals here, are saying if you shy away from the arithmetic and measure the profit in terms of this massive undertaking, the infrastructure works, which Athens is finally faced with, that these new roads, that in the end, the Games may, in fact, prove to be a good investment, that this will be an on-rolling story -- Carol.
COSTELLO: Well, interesting, since New York City is trying to get the Games, as well, the next time around, I should say.
"Time" magazine reporter Anthee Carassava reporting live for us by phone.
Thank you so much.
Now for our torch travel update. The torch is now in St. Louis. It arrived in the Midwest after a day on the streets of Los Angeles. Sylvester Stallone -- where is he? He's coming up. Tom Cruise, they were two of the celebrity torch bearers. The non-celebrities got to carry the torch, too, and that's who you're looking at, two former Olympians.
MYERS: Right.
COSTELLO: Will we see Sylvester Stallone? I guess not.
Coming up tomorrow, the torch will be right here in Atlanta. And as we watch the torch travel across North America, DAYBREAK is taking a closer look at the upcoming Games in Athens. All week long we'll be going in depth, talking about the Games, the athletes and the big question -- will Athens be ready in time for the Olympics?
And on Friday, which would be tomorrow, when the torch comes to Atlanta, we'll be bringing you the last half of DAYBREAK from our Olympic home, Centennial Park.
A presidency like no other -- sex, scandal and impeachment -- details on the Clinton documentary ahead.
And our DAYBREAK Photo of the Day. What is it? I know, it looks nasty, doesn't it?
MYERS: Um-hmm.
COSTELLO: We'll tell you what it is, right after this.
(COMMERCIAL BREAK)
MYERS: Do you even watch this show?
COSTELLO: I was going to ask you that.
MYERS: No, I don't.
COSTELLO: "The Simple Life 2."
MYERS: Yes. Right.
COSTELLO: Road -- what is it called, "Road Trip." Actually, I did watch some of it last night.
MYERS: Did you?
COSTELLO: I did. I watched like five minutes and couldn't stand it any longer. But Nicole and Paris hit the road.
MYERS: Right.
COSTELLO: And they're like, have a trailer behind their vehicle.
MYERS: Yes, I know.
COSTELLO: And they're traveling cross country.
MYERS: Right.
COSTELLO: I bet it'll get big ratings.
MYERS: It's done fairly well. I don't think it's probably a really high budget thing. I mean you, you know...
COSTELLO: That's the beauty of it. They're making like loads and loads of cash.
MYERS: Exactly. Not like you just made a $200 million movie and you hope to get it back. I mean the whole episode probably cost them $100,000. COSTELLO: Well, the funny thing is in "USA Today" they did this investigative report on whether Nicole and Paris really get along.
MYERS: Yes.
COSTELLO: And it turns out they do, but their dogs don't.
MYERS: The quote was one dog is more potty trained than another. So, as they go into these homes that they're invited into, whether they're working or whatever, one of the dogs doesn't do very well.
COSTELLO: I think we should move on now.
MYERS: Fine.
COSTELLO: OK.
In New York, it was standing room only at the premier of a documentary about former President Bill Clinton. In "The Hunting of the President," filmmaker Harry Thomason, a good Clinton friend, by the way, and Nicholas Perry (ph) call Kenneth Starr's costly investigation a political smear campaign. The two term president addressed the audience, calling Starr the instrument of a grand design. You may recall Mrs. Clinton called it a great right-wing conspiracy and Clinton called Susan McDougal a heroine for refusing to cooperate with Starr and going to jail for two years for it.
Susan McDougal, by the way, and the filmmaker, Harry Thomason, will have more to say when they visit CNN's "AMERICAN MORNING." That happens, oh, just about a half hour from now. Actually, two hours from now, in the 8:00 Eastern hour. Actually, that's an hour and a half from now.
MYERS: If you say so.
COSTELLO: Whatever.
Did you figure out the DAYBREAK Photo of the Day?
MYERS: No idea. I can't even tell if that's a head or what.
COSTELLO: Well, it is a head. It's 101-year-old Frank Moody free falling during a tandem dive near Cairns, Australia on Wednesday.
MYERS: Look at that!
COSTELLO: He jumped from about 10,000 feet and is expected to enter the record books as the oldest skydiver ever.
Me he was inspired by President Bush. Who knows?
MYERS: I think he was. He was free falling, too, which President Bush wanted to do but they didn't let him, because the winds were too bad. But this guy actually did it. He could actually free fall for 9,000 feet before they pulled his chute. Wow!
COSTELLO: One hundred and one years old. Good for him.
MYERS: That's awesome.
COSTELLO: Here's what's ahead in the next half hour of DAYBREAK.
That massive car bomb in Baghdad -- the death toll continues to rise this morning. Injuries continue to mount, as well. We'll have more details for you ahead.
And the attacks on the Iraqi oil industry -- how they hurt efforts to rebuild the country and how they affect the rest of the world.
(COMMERCIAL BREAK)
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Aired June 17, 2004 - 06:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Dozens dead and wounded -- a car bomb goes off near an Iraqi army recruitment center.
It is Thursday, June 17.
This is DAYBREAK.
And good morning to you.
From the CNN global headquarters in Atlanta, I'm Carol Costello.
Let me bring you up to date now.
Just five hours ago, a bomber strikes central Baghdad. A passing bus takes the brunt of the explosion. At least 35 Iraqis are dead, 138 hurt. Officials fear the death toll will rise.
The panel investigating the 9/11 terrorist attacks opens its final public hearing two hours from now. Today, witnesses from the military and the FAA will testify.
In money news, what you might call soothing news from the Federal Reserve. It reports economic activity expanded in April and May. Analysts expect the Fed to raise interest rates, possibly at its meeting later this month.
In culture, if you want to pay your respects to singer Ray Charles, you can. Public viewing of his casket is being allowed today from 9:00 to 5:00 Pacific Time in the South Hall of the Los Angeles Convention Center. His funeral is scheduled for tomorrow.
In sports, this morning the U.S. Open gets under way. It's being played this year at Shinnecock Hills Country Club in Southampton, New York. The winner gets 1.1 million bucks -- Chad.
CHAD MYERS, CNN CORRESPONDENT: It should be a great day out there today, lots of sunshine, temperatures right now already around 70 and temperatures later on today going to be around 79.
(WEATHER REPORT)
COSTELLO: An Iraqi army recruiting center was the target, but most of the victims were rush hour passersby. A devastating attack in Baghdad, with at least 35 killed and 138 wounded by a suicide car bomb.
Our chief international correspondent Christiane Amanpour at the scene right now -- Christiane, bring us up to date.
CHRISTIANE AMANPOUR, CNN CORRESPONDENT: Carol, well, the death toll and the figure of the wounded keeps rising. Originally we were told that there were 18 dead. Now it stands at 35 dead, according to Iraq's Ministry of Health, and 138 wounded.
A massive car bomb, a suicide explosion, according to U.S. Army officials at the scene, went off at about 9:00 a.m., which, of course, is at the height of when people are out trying to get to and from work. The traffic is heavy. People are walking on the pavements and it was outside the recruiting center in Baghdad for the Iraq Civil Defense Corps.
There were people lined up outside, although we're told that the bulk of the army recruits were not injured and not killed, that the casualties were suffered amongst the ordinary Iraqis who were outside.
The U.S. Army cordoned off the area, looking for secondary explosives. There were none. But they do say that it was a white SUV, a sports utility vehicle packed with artillery shells that caused this massive explosion.
Shortly afterwards, the prime minister of Iraq, the prime minister of this new interim government, went to visit the site. And that in itself was risky, because not only are ordinary Iraqis, security forces, targets but also ministers are targets, and there have been attacks on top level officials over the last several days of this new interim government.
The hospitals, as I say, were full of bodies and of the wounded, who came to two main hospitals in Baghdad. And this is not the first time this week that such an attack has happened. Monday there was a suicide attack against a convoy carrying foreign contractors. Five G.E. workers were killed. But, of course, the bulk of those killed and wounded were ordinary Iraqis. Ministers here say it's designed to sow -- not only disrupt and destabilize any attempt by the interim government to get up and running, but also to sow panic amongst people. And they have been deliberately targeting specific groups of people here in Baghdad and infrastructure around the country ahead of this June 30 handover -- Carol.
COSTELLO: Christiane Amanpour live in Baghdad this morning.
Thank you.
The 9/11 Commission says there is no evidence that Saddam Hussein had any links at all to al Qaeda. The commission opens its final day of hearings in just under two hours.
CNN's Bill Prasad joins us live from D.C. with a look at what we can expect to hear today -- good morning, Bill.
BILL PRASAD, CNN CORRESPONDENT: Good morning, Carol.
It was horrible, it could have been a lot worse. The original terrorist plan called for more planes to strike more targets, not just in the Northeast, but all over the country.
(BEGIN VIDEOTAPE)
PRASAD (voice-over): At the 9/11 Commission hearing, a jaw dropping moment.
UNIDENTIFIED MALE: It starts off the 10, 10 to nine planes, some coming to the East Coast, some coming to the West Coast.
PRASAD: The original plan called for planes to hit FBI and CIA headquarters, the U.S. Capitol and the White House, the tallest buildings in Washington State and California, and unidentified nuclear power plants. Terrorists scaled back the plans. But al Qaeda's ability to adapt and change plans left some commissioners dismayed.
UNIDENTIFIED MALE: How in the world do we ever expect to win this war?
PRASAD: Then came another revelation.
UNIDENTIFIED MALE: We have no credible evidence that Iraq and al Qaeda cooperated on attacks against the United States.
PRASAD: The alleged connection between Iraq and al Qaeda -- one of the reasons why the president said the U.S. should topple Saddam Hussein. In fact, the vice president made the point Monday.
DICK CHENEY, VICE PRESIDENT OF THE UNITED STATES: He had long established ties with al Qaeda.
PRASAD: But the commission says there is no evidence of those ties.
Democratic presidential candidate John Kerry is capitalizing.
SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: The administration misled America.
PRASAD: And amid the fog of accusations, one clear warning about al Qaeda from a CIA official.
UNIDENTIFIED MALE: It may strike next week, next month or next year, but it will strike.
(END VIDEOTAPE)
PRASAD: In today's hearing, the Commission says it plans to dispel some myths, including the belief that the military was ready to shoot down civilian aircraft. One commission member says that's not true -- Carol, back to you.
COSTELLO: A question for you. I know the attack on September 11 was supposed to be much greater.
What changed within al Qaeda to make them only use four planes? PRASAD: Well, Carol, according to the report, there was some consternation among the hijackers as to which roles they were going to play. There was also an argument as to exactly when to strike. The report says that Osama bin Laden saw all of this playing out. He decided to scale back the attack plans because, in his words, apparently they were too ambitious -- Carol.
COSTELLO: Bill Prasad live in Washington.
Thank you.
A federal judge has ordered tests to determine if Nuradine Abdi is competent to stand trial. Abdi, who is from Somalia, is linked to a plot to blow up a shopping mall in Columbus, Ohio. Reporters say Abdi acted very strangely in court on Wednesday, and his brother says it appears the accused man did not recognize members of his own family.
In Saudi Arabia, time is running out for kidnapped American Paul Johnson. Johnson's abductors say they will kill him tomorrow if their demands are not met. Johnson, a Lockheed Martin employee, was kidnapped on Saturday. His son is pleading for his release.
(BEGIN VIDEO CLIP)
PAUL JOHNSON III, JOHNSON'S SON: I know he's an innocent victim in this whole matter and I plead with the Saudi government and the group of men that are holding my father to please let him return home safely. He will leave your country. You will never see him again. I just plead with them to get him home safely.
(END VIDEO CLIP)
COSTELLO: A U.S. senator following the kidnapping of the American in Saudi Arabia calls the situation grim.
In stories across America this Thursday, in California, Scott Peterson's defense lawyer tries to poke holes in the prosecution's case. Mark Geragos brought up reports from witnesses who say they saw Laci Peterson walking her dog in a park near her home on the day she disappeared. But a police sergeant testified that dozens of police officers thoroughly searched that park.
Tragedy at a Texas water attraction. Four people, including three children, drowned at the Fort Worth Water Gardens. An 8-year- old girl fell or dove into the pool and was pulled under by the suction from the pool's large pump. Another child jumped in to save her, but was also pulled under. The first girl's father and brother jumped in, but they also drowned during the rescue attempt.
The Coast Guard released this video of a tragic voyage by a group of Dominican migrants. Three people drowned when the boat capsized off the coast of Puerto Rico. The Coast Guard says the video should be a warning to other migrants who may try riding unsafe vessels to the U.S. mainland. Strong words from the fastest woman in the world about the U.S. Anti-Doping Agency. What Marion Jones has to say as rumors swirl about Olympic athletes and the use of illegal substances.
Plus, the deal the governor of California is betting on to make money for the state.
And later, a not so simple life for two Hollywood rich girls. Were Paris and Nicole -- where Paris and Nicole are headed next, I should say.
This is DAYBREAK for Thursday, June 17.
(COMMERCIAL BREAK)
COSTELLO: Time for a little business buzz now. Governor Schwarzenegger and five Native American tribesmen are nearing a deal to expand gambling and increase revenues in California.
Carrie Lee has more on this story live from the NASDAQ market site -- good morning.
CARRIE LEE, CNN CORRESPONDENT: Hi, Carol.
And revenues are something the State of California needs badly. The "New York Times" reporting that this deal is expected to be announced on Monday. And what it means for the state is that California will get $1 billion up front and then payments of several millions of dollars over the next 25 years, several hundred million over the next 25 years.
Now, five tribes expected to agree to this deal initially. There are about 50 or so that operate casinos in the state. So Schwarzenegger says he expects that these other tribes will come on board, as well.
What does this mean for gamblers? Well, more slot machines. The plan would lift the existing limit of 2,000 slot machines per tribe and allow tribal casinos to install as many slots as they think the market will bear. So we'll see if this happens -- Carol.
COSTELLO: Yes.
LEE: More gambling and more revenue coming to the state very soon, perhaps.
COSTELLO: Let's talk about another kind of gambling, you know, trading stocks.
LEE: Yes.
COSTELLO: What are the futures looking like this morning?
LEE: It feels that way sometimes. You know, a pretty lackluster session yesterday. The Dow, NASDAQ, S&P not doing a whole lot at the close, as you can see. The NASDAQ up just two points. The futures looking pretty flat for today's session, as well. We will get a look at inflation at the producer level, prices paid by farms and factories, a look at weekly jobless claims.
I think a lot of people, though, may be waiting to see what the Federal Reserve does at the end of this month when it meets next regarding interest rates. And that's when we have the handover in Iraq, as well. So we could see maybe some people waiting on the sidelines over the next couple of weeks. But looking pretty flat right now for today's session.
COSTELLO: All right.
Thank you, Carrie.
Your news, money, weather and sports.
It is 6:15 Eastern.
Here's what's all new this morning.
At least 35 people were killed when a suicide car bomb exploded outside an Iraqi army recruiting center in Baghdad. It happened earlier this morning. One hundred thirty-eight people were injured in that blast, but no casualties are reported among 175 would be recruits at the center.
New Jersey's two senators have met with a top Saudi official to talk about the plight of Paul Johnson, Jr. He's the kidnapped American threatened with death in Saudi Arabia.
In money news, Sprint is cutting back again. The phone company is planning to cut 1,100 jobs due to increased competition in the long distance market. Sprint has cut 22,000 jobs over the last two years.
In culture, it seems like Paul McCartney has been around forever. The former Beatle is set to play his 3,000th live show when he performs next week in St. Petersburg, Russia.
In sports, Greg Maddux is closing in on a milestone. The Cubs pitcher picked up his 295th win by beating the Houston Astros 4-1. Maddux is trying to become the 22nd pitcher to reach 300 career wins. It's hard to call him a Cubs pitcher.
MYERS: Wow! Yes, right. Yes, he pitched for the Braves so long. Exactly.
(WEATHER REPORT)
COSTELLO: Those are the latest headlines for you this morning.
Sprinter Marion Jones won five medals at the Summer Olympics in Sydney. But this time around she's just hoping to be allowed on the track. Jones is at the center of the Balco steroids investigation, along with several other prominent track athletes. But now, she wants the investigation to go public. She says she wants the world to see she has nothing to hide.
(BEGIN VIDEO CLIP)
MARION JONES, OLYMPIC CHAMPION: The truth is my friend and transparency my ally in this matter. And this is why I want this process to be as transparent, open and fair as possible, so that everyone can see for themselves what I have been saying all along -- that I have never ever used performance enhancing drugs and that I have accomplished what I have accomplished because of my god given abilities and hard work.
(END VIDEO CLIP)
COSTELLO: Jones could be banned from competing in the Athens Games, whether she tests positive for drugs or not.
And while the hot talk over here continues to be athletes and steroid, in Athens, Greece, where the Summer Olympic Games will take place, residents there are worried about construction delays and how much debt the country is incurring.
Joining us on the phone from Athens, Greece is "Time" magazine reporter Anthee Carassava.
Good morning, Anthee.
ANTHEE CARASSAVA, "TIME" MAGAZINE CORRESPONDENT: Good morning, Carol.
COSTELLO: So, are people exited in Athens about the Games?
CARASSAVA: Well, yes and no. But two months before the start of the Games, the Olympic spirit is nowhere to be found. Olympic construction has been a terrible inconvenience for the Greeks, particularly the Athenians. They've had to endure traffic chaos. They've had to learn to live with the sound of drills grilling the capital's grounds 24 hours a day, even on holidays. They are now being called upon to abandon their cars and start using public transportation.
So to a great degree, their lives have been disrupted. And this absence of Olympic spirit is the result of this inconvenience, which the Athenians are faced with and will continue to be faced with, if I may, until the end of the Games.
COSTELLO: What...
CARASSAVA: There is another cause, also, for this sagging Olympic spirit, and that is also the continuous international criticism which the Greeks have faced about how bad the Greeks and been in getting their act together, how capable the Greeks are, in fact, to host secure Games.
So all of this has put the Greeks a bit on the defensive, has affected their national pride a bit. But officials are confident that, if anything, you know, this Olympic spirit will kick in in typical Greek fashion, which is at the last minute.
COSTELLO: Gosh, we hope so, because it's just a terrible way to feel when such an honor is bestowed on your city.
Another question for you, though. They're spending more than a billion dollars on security alone for these Olympics.
Will -- I mean is the cost worth it?
CARASSAVA: Well, that is a very important issue. And over costs are becoming a very important debate here. I predict they will, you know, the issue will be an explosive one after the end of the Olympics. The government has actually, in recent weeks, actually come out and confessed that ballooning costs in preparations, in addition to borrowing requirements, have overshot the budget. A very senior government official I was speaking to just a couple of days ago was telling me that the initial forecast of 4.6 billion euros may well debate, up to eight billion euros, for the price of the Olympics.
So, it looks, at least on paper, like the Olympics, for the Athenians and Athens altogether, may prove to be a loss making enterprise.
But officials, though, on the other hand, and even, you know, the locals here, are saying if you shy away from the arithmetic and measure the profit in terms of this massive undertaking, the infrastructure works, which Athens is finally faced with, that these new roads, that in the end, the Games may, in fact, prove to be a good investment, that this will be an on-rolling story -- Carol.
COSTELLO: Well, interesting, since New York City is trying to get the Games, as well, the next time around, I should say.
"Time" magazine reporter Anthee Carassava reporting live for us by phone.
Thank you so much.
Now for our torch travel update. The torch is now in St. Louis. It arrived in the Midwest after a day on the streets of Los Angeles. Sylvester Stallone -- where is he? He's coming up. Tom Cruise, they were two of the celebrity torch bearers. The non-celebrities got to carry the torch, too, and that's who you're looking at, two former Olympians.
MYERS: Right.
COSTELLO: Will we see Sylvester Stallone? I guess not.
Coming up tomorrow, the torch will be right here in Atlanta. And as we watch the torch travel across North America, DAYBREAK is taking a closer look at the upcoming Games in Athens. All week long we'll be going in depth, talking about the Games, the athletes and the big question -- will Athens be ready in time for the Olympics?
And on Friday, which would be tomorrow, when the torch comes to Atlanta, we'll be bringing you the last half of DAYBREAK from our Olympic home, Centennial Park.
A presidency like no other -- sex, scandal and impeachment -- details on the Clinton documentary ahead.
And our DAYBREAK Photo of the Day. What is it? I know, it looks nasty, doesn't it?
MYERS: Um-hmm.
COSTELLO: We'll tell you what it is, right after this.
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MYERS: Do you even watch this show?
COSTELLO: I was going to ask you that.
MYERS: No, I don't.
COSTELLO: "The Simple Life 2."
MYERS: Yes. Right.
COSTELLO: Road -- what is it called, "Road Trip." Actually, I did watch some of it last night.
MYERS: Did you?
COSTELLO: I did. I watched like five minutes and couldn't stand it any longer. But Nicole and Paris hit the road.
MYERS: Right.
COSTELLO: And they're like, have a trailer behind their vehicle.
MYERS: Yes, I know.
COSTELLO: And they're traveling cross country.
MYERS: Right.
COSTELLO: I bet it'll get big ratings.
MYERS: It's done fairly well. I don't think it's probably a really high budget thing. I mean you, you know...
COSTELLO: That's the beauty of it. They're making like loads and loads of cash.
MYERS: Exactly. Not like you just made a $200 million movie and you hope to get it back. I mean the whole episode probably cost them $100,000. COSTELLO: Well, the funny thing is in "USA Today" they did this investigative report on whether Nicole and Paris really get along.
MYERS: Yes.
COSTELLO: And it turns out they do, but their dogs don't.
MYERS: The quote was one dog is more potty trained than another. So, as they go into these homes that they're invited into, whether they're working or whatever, one of the dogs doesn't do very well.
COSTELLO: I think we should move on now.
MYERS: Fine.
COSTELLO: OK.
In New York, it was standing room only at the premier of a documentary about former President Bill Clinton. In "The Hunting of the President," filmmaker Harry Thomason, a good Clinton friend, by the way, and Nicholas Perry (ph) call Kenneth Starr's costly investigation a political smear campaign. The two term president addressed the audience, calling Starr the instrument of a grand design. You may recall Mrs. Clinton called it a great right-wing conspiracy and Clinton called Susan McDougal a heroine for refusing to cooperate with Starr and going to jail for two years for it.
Susan McDougal, by the way, and the filmmaker, Harry Thomason, will have more to say when they visit CNN's "AMERICAN MORNING." That happens, oh, just about a half hour from now. Actually, two hours from now, in the 8:00 Eastern hour. Actually, that's an hour and a half from now.
MYERS: If you say so.
COSTELLO: Whatever.
Did you figure out the DAYBREAK Photo of the Day?
MYERS: No idea. I can't even tell if that's a head or what.
COSTELLO: Well, it is a head. It's 101-year-old Frank Moody free falling during a tandem dive near Cairns, Australia on Wednesday.
MYERS: Look at that!
COSTELLO: He jumped from about 10,000 feet and is expected to enter the record books as the oldest skydiver ever.
Me he was inspired by President Bush. Who knows?
MYERS: I think he was. He was free falling, too, which President Bush wanted to do but they didn't let him, because the winds were too bad. But this guy actually did it. He could actually free fall for 9,000 feet before they pulled his chute. Wow!
COSTELLO: One hundred and one years old. Good for him.
MYERS: That's awesome.
COSTELLO: Here's what's ahead in the next half hour of DAYBREAK.
That massive car bomb in Baghdad -- the death toll continues to rise this morning. Injuries continue to mount, as well. We'll have more details for you ahead.
And the attacks on the Iraqi oil industry -- how they hurt efforts to rebuild the country and how they affect the rest of the world.
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