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CNN Live At Daybreak
Kerry and Edwards Hit the Campaign Trail
Aired July 07, 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.
FREDRICKA WHITFIELD, CNN ANCHOR: The running mate joins John Kerry for the first day of campaigning together.
It's Wednesday, July 7, and this is DAYBREAK.
Good morning.
From the CNN Global Headquarters in Atlanta, I'm Fredricka in for Carol Costello this morning.
Now in the news, in central Baghdad, Iraqi security officers are battling insurgents in a fierce gun battle. Our Brent Sadler tells us that within the hour, several coalition military vehicles headed to the scene of that fighting. We'll take you live to the Iraqi capital in a moment.
Hitting the road together for the first time, John Kerry and his vice presidential running mate, Senator John Edwards. The two talked to the media this morning before leaving for Cleveland.
Time is running out for the Russian oil firm Yukos. Right now, it has just 10 hours to pay almost $3.5 billion in taxes. Yukos' former CEO is facing trial on charges of fraud and tax evasion.
About 150 miles southeast of Phoenix, Arizona, a wildfire still threatens the $200 million Mount Graham International Observatory. But so far, no homes in the area have been destroyed. Keeping you informed, CNN, the most trusted name in news.
And Chad's in the weather center. It would be nice if the folks in Phoenix could get a break.
(WEATHER REPORT)
WHITFIELD: Well, the nation's newest political couple, Democrats John Kerry and John Edwards, hit the road this morning for a test drive of their new campaign. They're heading to Pittsburgh, Pennsylvania then to Cleveland and Dayton, Ohio, and wrapping up in St. Petersburg, Florida.
Meanwhile, President Bush and his number one man, Dick Cheney, will be campaigning in Raleigh, North Carolina and then to Pontiac, Michigan today.
During much of the primary season, Kerry and Edwards finished first and second. But now the two must put aside their rancor of the earlier battles for that number one spot and work together for their combined goal.
CNN's senior political correspondent Candy Crowley has more from the campaign trail.
(BEGIN VIDEOTAPE)
CANDY CROWLEY, CNN CORRESPONDENT (voice-over): The first people John Kerry told were the guys who spent Monday night changing decals on the plane -- a last secret mission in a stealth search for what was, in the light of day, a fairly predictable choice.
SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: A man who has shown courage and conviction as a champion for middle-class Americans and for those struggling to reach the middle class.
CROWLEY: After four months looking, John Kerry settled on John Edwards, the vice presidential choice many Democrats wanted, well, four months ago. In style and background, they are a ying and yang ticket. Edwards exudes Southern warmth. He's charming and articulate. Kerry is Northeastern reserve, not as charming and favors contorted explanations in Senate speak. Edwards is what Kerry is not, and vice versa.
(BEGIN VIDEO CLIP, KERRY-EDWARDS CAMPAIGN COMMERCIAL)
NARRATOR: One is a combat veteran with over 30 years of experience handling the toughest issues facing America. The other is the son of a mill worker, who all his life has stood up for ordinary people against powerful interests.
(END VIDEO CLIP)
(BEGIN VIDEO CLIP, "LARRY KING LIVE")
LARRY KING, HOST: What qualities does he have you like?
(END VIDEO CLIP)
CROWLEY: During the primary season, at times Kerry, a seasoned Washington insider, bordered on disdain for the one term senator with little foreign policy or international experience.
KERRY: When I came back from Vietnam in 1969, ladies and gentlemen, I'm not sure if John Edwards was out of diapers then yet or not. I'm truly not sure. I don't know.
CROWLEY: But that's so January. This is July.
KERRY: He has honored the lessons of home and family that he learned in North Carolina. And he brings those values to shape a better America together with all of us. John Edwards is ready for this job.
CROWLEY: Look for John Edwards to show up in a small Midwest town near you, a town where John Kerry may seem just a little elite Northeast and John Edwards may seem just a little familiar. KERRY: I am determined that we reach out across party lines, that we speak the heart of America, that we speak of hope and of optimism. And John Edwards will join me in doing that.
CROWLEY (on camera): Kerry, whose campaign has operated largely out of the national headlines, intends to take full advantage of this spotlight. There was not a single opportunity to take pictures of Kerry and Edwards together on this first day. They are saving that occasion for Wednesday and hopefully a second round of stories.
Candy Crowley, CNN, Pittsburgh.
(END VIDEOTAPE)
WHITFIELD: Well, in the eyes of voters, how does John Edwards stack up against current vice president, Dick Cheney?
In a new CNN/"USA Today"/Gallup poll, registered voters have a more favorable opinion of Edwards. Meanwhile, Cheney's numbers are almost even, with 43 percent having a favorable opinion and 44 percent having an unfavorable view. But the key may be the 30 percent that are still unsure about Edwards altogether.
The Edwards addition to the Democratic ticket may mean a change in the GOP strategy.
For some expert insights, we turn to Frank Donatelli, former Reagan political director and GOP strategist.
And he joins us live from Washington.
Good to see you, Frank.
FRANK DONATELLI, FORMER REAGAN POLITICAL DIRECTOR: Good morning.
WHITFIELD: Well, already the GOP Web sites are using words like this to describe John Edwards -- "out of the mainstream," "phony," "disingenuous" and "liberal."
Is this setting the stage of what's to come?
DONATELLI: Well, it's going to be a very tough campaign, as you just saw. I do think that it is fair to say that with two senators, Senators Kerry and Senator Edwards, you now have two of the most -- two of the four most liberal senators in the entire United States Senate, more liberal than Ted Kennedy, more liberal than Hillary Clinton. And so it is legitimate to make the point, I think, that in terms of basic views on issues, they -- this ticket is well out of the mainstream.
WHITFIELD: Well, liberal being used like a dirty word, but another poll -- poll numbers from CNN/"USA Today" are showing that registered voters' choice of running mate, describing it as excellent or good, saying Edwards, out of all the other recent vice presidential picks in recent years, Edwards gets 64 percent while Cheney with 55 percent; Lieberman, back in 2000, with 53 percent; and Quayle, back in '88, with 44 percent.
DONATELLI: Well, look, he's a very charming man and I'm not surprised at all by these results. But that's why we have a campaign, Fredricka. That's why you have to put more to the man than just the charming face.
This is somebody that, as I said, is very, very liberal. He's against the Bush tax cuts. He's for a bigger government. And most importantly that I think Americans are going to come to know over the next several months, he has virtually no experience on national security affairs and from what we can tell has never really participated at all in the great debates over national security. And in the light of what happened 9/11, I think the American public are going to take that into consideration when they look at him for vice president.
WHITFIELD: And speaking of debates, I mean he's a trial lawyer. He's experienced with arguing in the courtroom. Some are saying it is going to be one heck of a debate between he and Dick Cheney. And that's going to be one to watch, that he really knows how to stand his ground.
DONATELLI: He's a very, very good debater, there's no question about that. As I said, he's made a living in the courtroom suing American corporations. You know, this issue of being a trial lawyer, again, is something that's going to be looked at as we go forward. He's going to -- he and Senator Kerry are going to be going all over America saying there's a problem with medical insurance and access to care in the United States, when it's the trial lawyers that have sued doctors all over the country and made medical insurance more expensive and have made it more difficult for average Americans to get medical care.
WHITFIELD: And he's going to argue, and has already argued when he was campaigning for the number one spot, that he really was an advocate for the little guy when it came down to some of the, you know, taking on these big corporations. And so, you know, he's showing that he really is a man of the people.
DONATELLI: Well...
WHITFIELD: But the Republicans are saying no, it's quite the opposite.
DONATELLI: Right. Well, no, I mean if he's for the little guy, then he should be in favor of making the Bush tax cuts permanent, because there's a lot of tax cuts that President Bush pushed through in 2001 and 2003 which impact the average American -- eliminating the marriage penalty, doubling the personal exemption, for example.
If he and Senator Kerry have their way, those taxes will come back in the next several years.
WHITFIELD: And I understand the GOP is really going to use some old tape of Kerry taking on Edwards early on when they were both running for the number one spot. DONATELLI: Well, as the saying goes, I think they were probably right about each other when they made those individual charges. But, again, you have two very distinct views of America. I think you have conservative to moderates in Bush and Cheney, and you have, again, the most liberal ticket that a major party probably has ever put up in our history, a very, very clear distinction.
WHITFIELD: Frank Donatelli, thanks very much for joining us from Washington this morning.
DONATELLI: Thank you.
WHITFIELD: And you can hear much more on the Kerry-Edwards partnership and learn more about John Kerry tomorrow night, specifically. He and his wife Teresa Heinz Kerry are Larry King's guests right here on CNN at 9:00 Eastern, 6:00 Pacific.
Well, still to come on DAYBREAK, have a 401K? You'll want to know what the government's investigating now.
Plus, passengers could come out the big winners in the summer air fare wars. See who's cutting prices now.
And later, apathetic and uninterested -- ever heard those words used to describe the nation's young voters? We'll hear from one college student on why people may have that impression of their peers.
This is DAYBREAK for July 7.
(COMMERCIAL BREAK)
WHITFIELD: Well, time for a little business buzz.
What goes on behind-the-scenes of your 401K plan? The government wants to find out.
Carrie Lee reports.
She's at the Nasdaq market site in Times Square. Hi, Carrie.
CARRIE LEE, CNN CORRESPONDENT: Hi, Fredricka.
Thank you.
That's right, published reports saying that the Securities and Exchange Commission has widened its investigation into mutual funds to include the retirement funds that are owned by millions of Americans. The SEC is basically asking two dozen mutual fund companies to give details about payments that they may make to ensure that their funds are included in these corporate 401K and retirement plans.
Now, regulators basically want to assess what's called pay to play arrangements and what effect these deals may have on the performance of retirement plans. Basically, in some instances, a mutual fund company can pay a retirement plan manager to be included in that fund. And the question is are those retirement plan managers basing their decision on the fund's performance or how much money they're getting? It's sort of an ethical question here. And employers may not even realize that their plan managers are receiving this money. So it's the potential for a conflict of interest, Fredricka, and that's what the SEC is investigating.
WHITFIELD: All right, Carrie Lee, thanks very much.
Well, your news, money, weather and sports.
It is quarter after and here's what's all new this morning.
A court in Yemen this morning charged six Yemenese in the planning of the attack on the USS Cole. It's the first official court hearing on the Cole attack. Seventeen American sailors were killed in the October 2000 suicide bombing.
An autopsy will be performed to determine what caused the death of Eric Douglas. The 46-year-old son of legendary actor Kirk Douglas was found dead in his New York apartment. Douglas had a history of alcohol and drug abuse.
In money, gas prices have fallen for the sixth straight week. The average price for a gallon of regular unleaded is down to $1.89.
In culture, brace yourselves -- the classic Beatles Film, "A Hard Day's Night," is celebrating its 40th anniversary. To mark the milestone, the movie has been released internationally on DVD.
In sports, Lance Armstrong continues to keep pace at the Tour de France. After the third stage, he is in fifth overall. Last year at this point he was in twelfth place.
Check in.
MYERS: Yes, he'll have to avoid those things right there.
WHITFIELD: Yes. Those spills are ugly.
MYERS: Yes.
WHITFIELD: I mean these guys are hauling.
MYERS: I know.
WHITFIELD: They are moving fast and those spills are so dangerous.
MYERS: Trust me, Lance is going to do very well when he gets to the Alps.
(WEATHER REPORT)
WHITFIELD: Well, those are the headlines.
Lebanese family members say missing Marine Corporal Wassef Ali Hassoun is free and well, but no one seems to know where he is. Let's see how this very confusing tale is playing out in the Arab media.
Our senior editor for Arab affairs, Octavia Nasr, joins us right now.
It is confusing for everyone, isn't it?
OCTAVIA NASR, CNN CORRESPONDENT: Very confusing. Very confusing. This whole story of this new business with Arab media calling the news, the new news business, you know, taking hostages, making tapes, releasing tapes and then you have claims of responsibility right and left, then you have news of a beheading over the weekend. CNN was very conservative on the story, of course. We didn't report it as a done deal.
Later on -- and the group that took him said he was released. The family is saying he's released. We still don't know where he is.
WHITFIELD: And no one has seen him...
NASR: No one has seen him yet.
WHITFIELD: ... in terms of the family or U.S. military.
NASR: Even the family didn't even speak to him. But they're saying they got firm information that he is free. CNN is standing by, of course, to -- you know, we have direct contact with them. We'll be bringing in the story first, I'm sure. But you are right, it's very confusing, and it's confusing to the whole world.
But, again, when you think about these new developments, this new business of tapes, releasing tapes and claims and names of groups, I mean we -- all these groups are unknown. They're all insurgents. One thing that happened yesterday that was very interesting -- I guess this falls in the category of good news somehow -- a new group, this one is...
WHITFIELD: With a very suspicious name.
NASR: A very suspicious name. I mean all the names are suspicious. You know, they're all, they all call themselves legit and jihad is in almost every one of them. But this group released a statement saying that they want the head of Zarqawi.
WHITFIELD: Yes.
NASR: ... the man, the Jordanian that...
WHITFIELD: And this is allegedly an Iraqi group, because Zarqawi is Jordanian.
NASR: Right. And that's exactly what they're saying on their statement. They're saying we are Iraqis, he's not, they're talking to the Iraqis that are supporting him. They're telling him and his supporters that they're going to get them, that they'd better leave Iraq, otherwise they're going to face the consequences.
So this is very interesting because here again you look at the tape, the tape looks very much like any other hostage tape, any other statement that we've been hearing from insurgents, except this one is addressed to the -- to Zarqawi and his supporters, telling them to leave Iraq or else. Very interesting.
Again, I mean who this group is, we do not know. Is there a way to confirm that they exist or is it just a bunch of men, armed men standing in front of a camera? Who knows? But it's interesting, this new business of releasing tapes from insurgents, keeping us busy.
WHITFIELD: Yes. Now, is there any suspicion that this tape -- this group, rather, that claims to be Iraqi, really may not be Iraqi and that it perhaps may be some made up group that may have some sort of U.S. backing?
NASR: Well, there is always that suspicion...
WHITFIELD: Well, because there's a $25 million, you know, bounty on the head of Zarqawi.
NASR: Well, that's true. And there is always that suspicion. Except on this one, again, if you look at Arab media and how they're reporting the story, it doesn't seem like they're suspicious of this group as being non-Iraqi. Now, they could be Iraqi and, you know, affiliated with the U.S. or the coalition. That doesn't make any difference, really.
But, no, their accents are Iraqi. The accent on this tape is Iraqi. The message sounds very nationalistic. It sounds that, you know, we're Iraqis, we're Muslim, you know, Zarqawi is not and he's killing innocent people in the name of Islam. A very interesting twist on this whole thing. I think it's -- if you judge by what Arab media are saying and what Arab analysts are saying, this is more, this falls within this new business of making tapes and sending out your message on tape. This is the new world, I guess.
WHITFIELD: Wow. All right, being played out in so many different ways. Strange battles.
All right, Octavia Nasr, thanks very much.
NASR: Thank you.
WHITFIELD: Well, coming up on DAYBREAK, it's day two for the Kerry-Edwards team. What do voters think of the choice?
(COMMERCIAL BREAK)
WHITFIELD: Well, here are some of the stories making news across America this Wednesday.
The Portland, Oregon Archdiocese has become the first U.S. archdiocese to file for bankruptcy. The church cited the high cost of priest abuse lawsuits as their reason for the Chapter 11 filing. The action halted the trial against the late Reverend Maurice Grammond, who was accused of molesting more than 50 boys. Critics say the church is just trying to hide from its responsibility.
Seven Dallas police officers have filed civil suits against the city. The officers claim they were passed over for promotion because they're white or because they don't speak Spanish. Each officer is seeking $1 million in damages.
Changes are coming at Dulles International Airport outside Washington. The airport is planning to build a new underground train system between terminals. They're also working on an underground moving sidewalk, as well as new runways and a control tower. The $3 billion upgrade should be done by 2009.
I would be disappointed to see that because you know what? One thing I love about Dulles...
MYERS: Yes?
WHITFIELD: I love getting in the little tram and riding...
MYERS: Do you?
WHITFIELD: Yes. And that's what's made that airport one of the safest in the country.
MYERS: Yes, right. Right. I also...
WHITFIELD: But I guess they didn't ask for my input.
MYERS: No. Probably not. When are you going to -- when you have $3 billion to spend, I guess they can do what they want.
WHITFIELD: Yes.
MYERS: I love the architecture, too.
WHITFIELD: Yes.
MYERS: You know, that's just new...
WHITFIELD: I've always loved that airport.
MYERS: I mean when you drive up to it, you'll...
WHITFIELD: It's one of my favorites.
MYERS: Yes, exactly.
Hey, did you hear who won the vice president election?
WHITFIELD: Uh, let me guess. Was it Gephardt or was it Edwards?
MYERS: It depends what newspaper you looked at.
WHITFIELD: Oh, my gosh. MYERS: There it is.
WHITFIELD: How embarrassing.
MYERS: Yes.
WHITFIELD: Well, that was yesterday.
MYERS: Clearly, they had someone...
WHITFIELD: They jumped the gun.
MYERS: They had someone, they had an insider that thought they had something, or they had a prankster that they believed, obviously.
WHITFIELD: And the editor-in-chief signed off on it and I feel sorry for the editor-in-chief this morning, because that's just a difficult one to explain no matter which way you look at it.
MYERS: According to Gene Mosul (ph), they were still selling this newspaper at 10:00 in the morning. They were still at newsstands.
WHITFIELD: Yes.
MYERS: How did you not have every truck driver out there picking these guys up, picking these things up?
WHITFIELD: No kidding.
MYERS: Now they're $26 on eBay.
WHITFIELD: Isn't that something? And now, look, this is what this morning's look like.
MYERS: Oh, OK. All right.
WHITFIELD: But you know what? The "New York Post" is poking fun at itself, saying the Democrats picked Edwards, the V.P. candidate, really. And yesterday's headline, it said exclusive, you know, on Gephardt?
MYERS: Right. Right. Yes.
WHITFIELD: And now it's like not.
MYERS: Where does it say that not exclusive.
WHITFIELD: It's like not exclusive.
MYERS: Oh, we see it down the bottom there. That's good.
WHITFIELD: They were trying to poke fun at themselves, but, you know, I don't know. That's going to be a tough one to live down.
MYERS: The late night comics had a good time with it, as well. WHITFIELD: Yes. Conan O'Brien, I think, particularly.
MYERS: Conan. Yes, we have a byte from Conan here.
WHITFIELD: Let's listen to what he had to say.
(BEGIN VIDEO CLIP, COURTESY NBC)
CONAN O'BRIEN: John Edwards was named John Kerry's running mate earlier today, but the "New York Post" made a major mistake. They said Kerry had chosen Dick Gephardt. This is the actual paper today. And they say Kerry's choice and there's a big picture and they say it's Dick Gephardt. A huge mistake. Well, ladies and gentlemen, this is not the only major mistake the "Post" has made recently. Take a look at this headline right here. It's pretty amazing -- "Dick Cheney Wins New York Marathon."
(END VIDEO CLIP)
WHITFIELD: Oh, and hopefully Cheney's got a sense of humor, too.
MYERS: Yes. Or "Chad Finishes 10K." That would be just as bogus, you know.
Anyway, we're done.
WHITFIELD: Lots of fun.
All right, we are.
All right, good to see you and good chatting.
MYERS: Right.
WHITFIELD: Well, every campaign season pollsters try to figure out who will get the youth vote and how many young people will actually turn out at the polls. Well, maybe some of those experts ought to hear what this young woman has to say about her peers and their voting habits. I'll talk to her later this hour.
Then, protecting kids from a lifetime of obesity. We'll find out what parents can do to help.
And a summer of sales in the airline industry. See where you can get a great deal. Ready to fly off somewhere, Chad?
MYERS: Yes, to Carol's wedding on Friday.
WHITFIELD: Ooh. Well, you had to buy your ticket, I guess, already.
MYERS: Well, I did.
WHITFIELD: So, so much for the deals in less than seven days advance.
All right, more on that when we come right back.
(COMMERCIAL BREAK)
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Aired July 7, 2004 - 06:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: The running mate joins John Kerry for the first day of campaigning together.
It's Wednesday, July 7, and this is DAYBREAK.
Good morning.
From the CNN Global Headquarters in Atlanta, I'm Fredricka in for Carol Costello this morning.
Now in the news, in central Baghdad, Iraqi security officers are battling insurgents in a fierce gun battle. Our Brent Sadler tells us that within the hour, several coalition military vehicles headed to the scene of that fighting. We'll take you live to the Iraqi capital in a moment.
Hitting the road together for the first time, John Kerry and his vice presidential running mate, Senator John Edwards. The two talked to the media this morning before leaving for Cleveland.
Time is running out for the Russian oil firm Yukos. Right now, it has just 10 hours to pay almost $3.5 billion in taxes. Yukos' former CEO is facing trial on charges of fraud and tax evasion.
About 150 miles southeast of Phoenix, Arizona, a wildfire still threatens the $200 million Mount Graham International Observatory. But so far, no homes in the area have been destroyed. Keeping you informed, CNN, the most trusted name in news.
And Chad's in the weather center. It would be nice if the folks in Phoenix could get a break.
(WEATHER REPORT)
WHITFIELD: Well, the nation's newest political couple, Democrats John Kerry and John Edwards, hit the road this morning for a test drive of their new campaign. They're heading to Pittsburgh, Pennsylvania then to Cleveland and Dayton, Ohio, and wrapping up in St. Petersburg, Florida.
Meanwhile, President Bush and his number one man, Dick Cheney, will be campaigning in Raleigh, North Carolina and then to Pontiac, Michigan today.
During much of the primary season, Kerry and Edwards finished first and second. But now the two must put aside their rancor of the earlier battles for that number one spot and work together for their combined goal.
CNN's senior political correspondent Candy Crowley has more from the campaign trail.
(BEGIN VIDEOTAPE)
CANDY CROWLEY, CNN CORRESPONDENT (voice-over): The first people John Kerry told were the guys who spent Monday night changing decals on the plane -- a last secret mission in a stealth search for what was, in the light of day, a fairly predictable choice.
SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: A man who has shown courage and conviction as a champion for middle-class Americans and for those struggling to reach the middle class.
CROWLEY: After four months looking, John Kerry settled on John Edwards, the vice presidential choice many Democrats wanted, well, four months ago. In style and background, they are a ying and yang ticket. Edwards exudes Southern warmth. He's charming and articulate. Kerry is Northeastern reserve, not as charming and favors contorted explanations in Senate speak. Edwards is what Kerry is not, and vice versa.
(BEGIN VIDEO CLIP, KERRY-EDWARDS CAMPAIGN COMMERCIAL)
NARRATOR: One is a combat veteran with over 30 years of experience handling the toughest issues facing America. The other is the son of a mill worker, who all his life has stood up for ordinary people against powerful interests.
(END VIDEO CLIP)
(BEGIN VIDEO CLIP, "LARRY KING LIVE")
LARRY KING, HOST: What qualities does he have you like?
(END VIDEO CLIP)
CROWLEY: During the primary season, at times Kerry, a seasoned Washington insider, bordered on disdain for the one term senator with little foreign policy or international experience.
KERRY: When I came back from Vietnam in 1969, ladies and gentlemen, I'm not sure if John Edwards was out of diapers then yet or not. I'm truly not sure. I don't know.
CROWLEY: But that's so January. This is July.
KERRY: He has honored the lessons of home and family that he learned in North Carolina. And he brings those values to shape a better America together with all of us. John Edwards is ready for this job.
CROWLEY: Look for John Edwards to show up in a small Midwest town near you, a town where John Kerry may seem just a little elite Northeast and John Edwards may seem just a little familiar. KERRY: I am determined that we reach out across party lines, that we speak the heart of America, that we speak of hope and of optimism. And John Edwards will join me in doing that.
CROWLEY (on camera): Kerry, whose campaign has operated largely out of the national headlines, intends to take full advantage of this spotlight. There was not a single opportunity to take pictures of Kerry and Edwards together on this first day. They are saving that occasion for Wednesday and hopefully a second round of stories.
Candy Crowley, CNN, Pittsburgh.
(END VIDEOTAPE)
WHITFIELD: Well, in the eyes of voters, how does John Edwards stack up against current vice president, Dick Cheney?
In a new CNN/"USA Today"/Gallup poll, registered voters have a more favorable opinion of Edwards. Meanwhile, Cheney's numbers are almost even, with 43 percent having a favorable opinion and 44 percent having an unfavorable view. But the key may be the 30 percent that are still unsure about Edwards altogether.
The Edwards addition to the Democratic ticket may mean a change in the GOP strategy.
For some expert insights, we turn to Frank Donatelli, former Reagan political director and GOP strategist.
And he joins us live from Washington.
Good to see you, Frank.
FRANK DONATELLI, FORMER REAGAN POLITICAL DIRECTOR: Good morning.
WHITFIELD: Well, already the GOP Web sites are using words like this to describe John Edwards -- "out of the mainstream," "phony," "disingenuous" and "liberal."
Is this setting the stage of what's to come?
DONATELLI: Well, it's going to be a very tough campaign, as you just saw. I do think that it is fair to say that with two senators, Senators Kerry and Senator Edwards, you now have two of the most -- two of the four most liberal senators in the entire United States Senate, more liberal than Ted Kennedy, more liberal than Hillary Clinton. And so it is legitimate to make the point, I think, that in terms of basic views on issues, they -- this ticket is well out of the mainstream.
WHITFIELD: Well, liberal being used like a dirty word, but another poll -- poll numbers from CNN/"USA Today" are showing that registered voters' choice of running mate, describing it as excellent or good, saying Edwards, out of all the other recent vice presidential picks in recent years, Edwards gets 64 percent while Cheney with 55 percent; Lieberman, back in 2000, with 53 percent; and Quayle, back in '88, with 44 percent.
DONATELLI: Well, look, he's a very charming man and I'm not surprised at all by these results. But that's why we have a campaign, Fredricka. That's why you have to put more to the man than just the charming face.
This is somebody that, as I said, is very, very liberal. He's against the Bush tax cuts. He's for a bigger government. And most importantly that I think Americans are going to come to know over the next several months, he has virtually no experience on national security affairs and from what we can tell has never really participated at all in the great debates over national security. And in the light of what happened 9/11, I think the American public are going to take that into consideration when they look at him for vice president.
WHITFIELD: And speaking of debates, I mean he's a trial lawyer. He's experienced with arguing in the courtroom. Some are saying it is going to be one heck of a debate between he and Dick Cheney. And that's going to be one to watch, that he really knows how to stand his ground.
DONATELLI: He's a very, very good debater, there's no question about that. As I said, he's made a living in the courtroom suing American corporations. You know, this issue of being a trial lawyer, again, is something that's going to be looked at as we go forward. He's going to -- he and Senator Kerry are going to be going all over America saying there's a problem with medical insurance and access to care in the United States, when it's the trial lawyers that have sued doctors all over the country and made medical insurance more expensive and have made it more difficult for average Americans to get medical care.
WHITFIELD: And he's going to argue, and has already argued when he was campaigning for the number one spot, that he really was an advocate for the little guy when it came down to some of the, you know, taking on these big corporations. And so, you know, he's showing that he really is a man of the people.
DONATELLI: Well...
WHITFIELD: But the Republicans are saying no, it's quite the opposite.
DONATELLI: Right. Well, no, I mean if he's for the little guy, then he should be in favor of making the Bush tax cuts permanent, because there's a lot of tax cuts that President Bush pushed through in 2001 and 2003 which impact the average American -- eliminating the marriage penalty, doubling the personal exemption, for example.
If he and Senator Kerry have their way, those taxes will come back in the next several years.
WHITFIELD: And I understand the GOP is really going to use some old tape of Kerry taking on Edwards early on when they were both running for the number one spot. DONATELLI: Well, as the saying goes, I think they were probably right about each other when they made those individual charges. But, again, you have two very distinct views of America. I think you have conservative to moderates in Bush and Cheney, and you have, again, the most liberal ticket that a major party probably has ever put up in our history, a very, very clear distinction.
WHITFIELD: Frank Donatelli, thanks very much for joining us from Washington this morning.
DONATELLI: Thank you.
WHITFIELD: And you can hear much more on the Kerry-Edwards partnership and learn more about John Kerry tomorrow night, specifically. He and his wife Teresa Heinz Kerry are Larry King's guests right here on CNN at 9:00 Eastern, 6:00 Pacific.
Well, still to come on DAYBREAK, have a 401K? You'll want to know what the government's investigating now.
Plus, passengers could come out the big winners in the summer air fare wars. See who's cutting prices now.
And later, apathetic and uninterested -- ever heard those words used to describe the nation's young voters? We'll hear from one college student on why people may have that impression of their peers.
This is DAYBREAK for July 7.
(COMMERCIAL BREAK)
WHITFIELD: Well, time for a little business buzz.
What goes on behind-the-scenes of your 401K plan? The government wants to find out.
Carrie Lee reports.
She's at the Nasdaq market site in Times Square. Hi, Carrie.
CARRIE LEE, CNN CORRESPONDENT: Hi, Fredricka.
Thank you.
That's right, published reports saying that the Securities and Exchange Commission has widened its investigation into mutual funds to include the retirement funds that are owned by millions of Americans. The SEC is basically asking two dozen mutual fund companies to give details about payments that they may make to ensure that their funds are included in these corporate 401K and retirement plans.
Now, regulators basically want to assess what's called pay to play arrangements and what effect these deals may have on the performance of retirement plans. Basically, in some instances, a mutual fund company can pay a retirement plan manager to be included in that fund. And the question is are those retirement plan managers basing their decision on the fund's performance or how much money they're getting? It's sort of an ethical question here. And employers may not even realize that their plan managers are receiving this money. So it's the potential for a conflict of interest, Fredricka, and that's what the SEC is investigating.
WHITFIELD: All right, Carrie Lee, thanks very much.
Well, your news, money, weather and sports.
It is quarter after and here's what's all new this morning.
A court in Yemen this morning charged six Yemenese in the planning of the attack on the USS Cole. It's the first official court hearing on the Cole attack. Seventeen American sailors were killed in the October 2000 suicide bombing.
An autopsy will be performed to determine what caused the death of Eric Douglas. The 46-year-old son of legendary actor Kirk Douglas was found dead in his New York apartment. Douglas had a history of alcohol and drug abuse.
In money, gas prices have fallen for the sixth straight week. The average price for a gallon of regular unleaded is down to $1.89.
In culture, brace yourselves -- the classic Beatles Film, "A Hard Day's Night," is celebrating its 40th anniversary. To mark the milestone, the movie has been released internationally on DVD.
In sports, Lance Armstrong continues to keep pace at the Tour de France. After the third stage, he is in fifth overall. Last year at this point he was in twelfth place.
Check in.
MYERS: Yes, he'll have to avoid those things right there.
WHITFIELD: Yes. Those spills are ugly.
MYERS: Yes.
WHITFIELD: I mean these guys are hauling.
MYERS: I know.
WHITFIELD: They are moving fast and those spills are so dangerous.
MYERS: Trust me, Lance is going to do very well when he gets to the Alps.
(WEATHER REPORT)
WHITFIELD: Well, those are the headlines.
Lebanese family members say missing Marine Corporal Wassef Ali Hassoun is free and well, but no one seems to know where he is. Let's see how this very confusing tale is playing out in the Arab media.
Our senior editor for Arab affairs, Octavia Nasr, joins us right now.
It is confusing for everyone, isn't it?
OCTAVIA NASR, CNN CORRESPONDENT: Very confusing. Very confusing. This whole story of this new business with Arab media calling the news, the new news business, you know, taking hostages, making tapes, releasing tapes and then you have claims of responsibility right and left, then you have news of a beheading over the weekend. CNN was very conservative on the story, of course. We didn't report it as a done deal.
Later on -- and the group that took him said he was released. The family is saying he's released. We still don't know where he is.
WHITFIELD: And no one has seen him...
NASR: No one has seen him yet.
WHITFIELD: ... in terms of the family or U.S. military.
NASR: Even the family didn't even speak to him. But they're saying they got firm information that he is free. CNN is standing by, of course, to -- you know, we have direct contact with them. We'll be bringing in the story first, I'm sure. But you are right, it's very confusing, and it's confusing to the whole world.
But, again, when you think about these new developments, this new business of tapes, releasing tapes and claims and names of groups, I mean we -- all these groups are unknown. They're all insurgents. One thing that happened yesterday that was very interesting -- I guess this falls in the category of good news somehow -- a new group, this one is...
WHITFIELD: With a very suspicious name.
NASR: A very suspicious name. I mean all the names are suspicious. You know, they're all, they all call themselves legit and jihad is in almost every one of them. But this group released a statement saying that they want the head of Zarqawi.
WHITFIELD: Yes.
NASR: ... the man, the Jordanian that...
WHITFIELD: And this is allegedly an Iraqi group, because Zarqawi is Jordanian.
NASR: Right. And that's exactly what they're saying on their statement. They're saying we are Iraqis, he's not, they're talking to the Iraqis that are supporting him. They're telling him and his supporters that they're going to get them, that they'd better leave Iraq, otherwise they're going to face the consequences.
So this is very interesting because here again you look at the tape, the tape looks very much like any other hostage tape, any other statement that we've been hearing from insurgents, except this one is addressed to the -- to Zarqawi and his supporters, telling them to leave Iraq or else. Very interesting.
Again, I mean who this group is, we do not know. Is there a way to confirm that they exist or is it just a bunch of men, armed men standing in front of a camera? Who knows? But it's interesting, this new business of releasing tapes from insurgents, keeping us busy.
WHITFIELD: Yes. Now, is there any suspicion that this tape -- this group, rather, that claims to be Iraqi, really may not be Iraqi and that it perhaps may be some made up group that may have some sort of U.S. backing?
NASR: Well, there is always that suspicion...
WHITFIELD: Well, because there's a $25 million, you know, bounty on the head of Zarqawi.
NASR: Well, that's true. And there is always that suspicion. Except on this one, again, if you look at Arab media and how they're reporting the story, it doesn't seem like they're suspicious of this group as being non-Iraqi. Now, they could be Iraqi and, you know, affiliated with the U.S. or the coalition. That doesn't make any difference, really.
But, no, their accents are Iraqi. The accent on this tape is Iraqi. The message sounds very nationalistic. It sounds that, you know, we're Iraqis, we're Muslim, you know, Zarqawi is not and he's killing innocent people in the name of Islam. A very interesting twist on this whole thing. I think it's -- if you judge by what Arab media are saying and what Arab analysts are saying, this is more, this falls within this new business of making tapes and sending out your message on tape. This is the new world, I guess.
WHITFIELD: Wow. All right, being played out in so many different ways. Strange battles.
All right, Octavia Nasr, thanks very much.
NASR: Thank you.
WHITFIELD: Well, coming up on DAYBREAK, it's day two for the Kerry-Edwards team. What do voters think of the choice?
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WHITFIELD: Well, here are some of the stories making news across America this Wednesday.
The Portland, Oregon Archdiocese has become the first U.S. archdiocese to file for bankruptcy. The church cited the high cost of priest abuse lawsuits as their reason for the Chapter 11 filing. The action halted the trial against the late Reverend Maurice Grammond, who was accused of molesting more than 50 boys. Critics say the church is just trying to hide from its responsibility.
Seven Dallas police officers have filed civil suits against the city. The officers claim they were passed over for promotion because they're white or because they don't speak Spanish. Each officer is seeking $1 million in damages.
Changes are coming at Dulles International Airport outside Washington. The airport is planning to build a new underground train system between terminals. They're also working on an underground moving sidewalk, as well as new runways and a control tower. The $3 billion upgrade should be done by 2009.
I would be disappointed to see that because you know what? One thing I love about Dulles...
MYERS: Yes?
WHITFIELD: I love getting in the little tram and riding...
MYERS: Do you?
WHITFIELD: Yes. And that's what's made that airport one of the safest in the country.
MYERS: Yes, right. Right. I also...
WHITFIELD: But I guess they didn't ask for my input.
MYERS: No. Probably not. When are you going to -- when you have $3 billion to spend, I guess they can do what they want.
WHITFIELD: Yes.
MYERS: I love the architecture, too.
WHITFIELD: Yes.
MYERS: You know, that's just new...
WHITFIELD: I've always loved that airport.
MYERS: I mean when you drive up to it, you'll...
WHITFIELD: It's one of my favorites.
MYERS: Yes, exactly.
Hey, did you hear who won the vice president election?
WHITFIELD: Uh, let me guess. Was it Gephardt or was it Edwards?
MYERS: It depends what newspaper you looked at.
WHITFIELD: Oh, my gosh. MYERS: There it is.
WHITFIELD: How embarrassing.
MYERS: Yes.
WHITFIELD: Well, that was yesterday.
MYERS: Clearly, they had someone...
WHITFIELD: They jumped the gun.
MYERS: They had someone, they had an insider that thought they had something, or they had a prankster that they believed, obviously.
WHITFIELD: And the editor-in-chief signed off on it and I feel sorry for the editor-in-chief this morning, because that's just a difficult one to explain no matter which way you look at it.
MYERS: According to Gene Mosul (ph), they were still selling this newspaper at 10:00 in the morning. They were still at newsstands.
WHITFIELD: Yes.
MYERS: How did you not have every truck driver out there picking these guys up, picking these things up?
WHITFIELD: No kidding.
MYERS: Now they're $26 on eBay.
WHITFIELD: Isn't that something? And now, look, this is what this morning's look like.
MYERS: Oh, OK. All right.
WHITFIELD: But you know what? The "New York Post" is poking fun at itself, saying the Democrats picked Edwards, the V.P. candidate, really. And yesterday's headline, it said exclusive, you know, on Gephardt?
MYERS: Right. Right. Yes.
WHITFIELD: And now it's like not.
MYERS: Where does it say that not exclusive.
WHITFIELD: It's like not exclusive.
MYERS: Oh, we see it down the bottom there. That's good.
WHITFIELD: They were trying to poke fun at themselves, but, you know, I don't know. That's going to be a tough one to live down.
MYERS: The late night comics had a good time with it, as well. WHITFIELD: Yes. Conan O'Brien, I think, particularly.
MYERS: Conan. Yes, we have a byte from Conan here.
WHITFIELD: Let's listen to what he had to say.
(BEGIN VIDEO CLIP, COURTESY NBC)
CONAN O'BRIEN: John Edwards was named John Kerry's running mate earlier today, but the "New York Post" made a major mistake. They said Kerry had chosen Dick Gephardt. This is the actual paper today. And they say Kerry's choice and there's a big picture and they say it's Dick Gephardt. A huge mistake. Well, ladies and gentlemen, this is not the only major mistake the "Post" has made recently. Take a look at this headline right here. It's pretty amazing -- "Dick Cheney Wins New York Marathon."
(END VIDEO CLIP)
WHITFIELD: Oh, and hopefully Cheney's got a sense of humor, too.
MYERS: Yes. Or "Chad Finishes 10K." That would be just as bogus, you know.
Anyway, we're done.
WHITFIELD: Lots of fun.
All right, we are.
All right, good to see you and good chatting.
MYERS: Right.
WHITFIELD: Well, every campaign season pollsters try to figure out who will get the youth vote and how many young people will actually turn out at the polls. Well, maybe some of those experts ought to hear what this young woman has to say about her peers and their voting habits. I'll talk to her later this hour.
Then, protecting kids from a lifetime of obesity. We'll find out what parents can do to help.
And a summer of sales in the airline industry. See where you can get a great deal. Ready to fly off somewhere, Chad?
MYERS: Yes, to Carol's wedding on Friday.
WHITFIELD: Ooh. Well, you had to buy your ticket, I guess, already.
MYERS: Well, I did.
WHITFIELD: So, so much for the deals in less than seven days advance.
All right, more on that when we come right back.
(COMMERCIAL BREAK)
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