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Kerry and Edwards Set to Kick Off Campaign With Rally in Ohio

Aired July 07, 2004 - 11:00   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.


DARYN KAGAN, CNN ANCHOR: And here's what's happening right now in the news.
Together again in their new political partnership, Senators John Kerry and John Edwards are off and running, and they're scheduled to attend a rally in Cleveland, Ohio later this hour. We'll have live pictures of that event just ahead.

President Bush is also on the campaign trail this hour. He is in Raleigh, North Carolina. Later today, the president will head to another battleground state, Michigan. We'll have a live report straight ahead.

The Trusted Traveler program begins a tryout today at Minneapolis-St. Paul International Airport. Some frequent fliers have already given fingerprints and optical scans, allowing them to bypass some screening on their day, on the day of their trips. The pilot program will be expanded over the next few weeks to four other cities.

And right now, a congressional committee is holding a hearing on troop strength for the Iraq war and the operations in Afghanistan. At issue, Army and Marine Corps troop rotations and the mobilization of the Army's Individual Ready Reserve.

Keeping you informed, CNN, the most trusted name in news.

It is 11:00 a.m. in Fox Chapel, Pennsylvania. It is 7:00 p.m. in Baghdad. I'm at CNN Center in Atlanta, where it is 11:00 a.m.

Good morning once again, I'm Daryn Kagan.

The newly minted Democratic duo of John Kerry and John Edwards is holding the first joint rally of the 2004 campaign this hour. They'll be on stage shortly in Burnham (ph) Park in downtown Cleveland. Live coverage ahead on CNN.

The new team left the Heinz farm outside of Pittsburgh this morning after gathering the families for the cameras.

(BEGIN VIDEO CLIP)

SEN. JOHN KERRY (D-MA), DEMOCRATIC PRESIDENTIAL CANDIDATE: We had a wonderful dinner last night. We sat around, we laughed, we chatted, we talked politics, talked about funny things that happened to both of us during the race, shared experiences.

But I could not be more proud of the pick I have made. This man is ready for this job. He's ready to help lead America. He's a person of compassion and conviction, of strength. And, together with Elizabeth, they represent, I think, the future that we want to fight for for all Americans.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

SEN. JOHN EDWARDS (D-NC), VICE PRESIDENTIAL CANDIDATE: I know this guy very well. We served in the Senate together, we worked together, and then I saw him head to head during the presidential campaign. I saw the kind of strength and courage and determination that he showed.

And the truth is, it's the same strength, courage, backbone, leadership, that he's shown his whole life. He showed it during his service and his heroism in Vietnam. I mean, I got to listen to the men who served with John Kerry in Vietnam during the course of the campaign. Their stories are remarkable.

If you want to know what kind of man he is, these are men who stand beside him 30 years later, who believe in him, who believe that he should be our next president. They want him to be their president.

So, I can say this. For my family, I want him to be our next president.

(END VIDEO CLIP)

KAGAN: Meanwhile, Republicans are running a new ad featuring Senator John McCain, implying it was McCain, and not Edwards, that was John Kerry's first V.P. choice. Kerry courted Republican McCain for the job, but his campaign insists he never got farther than that.

Jim Johnson headed Kerry's search for a running mate, and he appeared on CNN's "AMERICAN MORNING."

(BEGIN VIDEO CLIP)

JIM JOHNSON, KERRY CAMPAIGN ADVISER: There was a lot of interest in the concept of a unity ticket, of both parties being represented, trying to stop this bitter partisanship that's really a plague on our nation. So there were some preliminary discussions, but they never got to a serious stage, and there was never an offer made. There was only one offer, and that was John Edwards. It seems to be working out very well.

(END VIDEO CLIP)

KAGAN: John Kerry and Teresa Heinz Kerry tomorrow night on CNN's "LARRY KING LIVE." Tune in for an in-depth hour of conversation at 9:00 Eastern.

Well, it has raised a few eyebrows, but the White House says it is pure coincidence. President Bush turned up in Senator Edwards' back yard this morning. Our White House correspondent Suzanne Malveaux is along for the trip and she is in North Carolina.

Suzanne, good morning.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Good morning, Daryn.

They absolutely insist, they wish they could take credit for this, but they insist that it's pure coincidence here, that this, of course, being Edwards' home state.

The Kerry camp already is calling this the newest battleground state. President Bush won back in 2000 this state by 13 points, but they believe with Edwards on the ticket that they hopefully will narrow that gap and take this state.

Of course, the president is not focusing on Edwards today. We are told that he is going to be focusing on the issue of judicial nominees. Perhaps the president's biggest vulnerability in this state, however, really comes to the textile job industry. Quite a few jobs, as a matter of fact, 158,000 jobs lost since President Bush took office here.

But what he is going to be talking about today is the issue of blocked judicial nominees. He's going to be meeting with three of those here later in the morning. The whole idea is that he believes that the Democrats in the Senate have been blocking these conservative nominations. This is something that comes after a deal was struck with the Democrats some weeks ago. Democrats say they would allow 25 of his judicial nominees to go through the process, they would not block them.

In return, President Bush would not go ahead and use his power to appoint those nominees when the Congress was in recess. That happened just before the Memorial Day recess. So this is something that they'll be discussing.

Also, the president, of course, will be attending a fund raiser at a private residence before he heads to Michigan, another key battleground state. That is where the polls are showing President Bush and Kerry neck and neck. You can bet that the president is going to be back in Michigan and, of course, North Carolina, certainly, in the weeks to come -- Daryn?

KAGAN: But in terms of North Carolina being a battleground state, probably not for this presidential election. And aren't there some who, even Democrats who felt that if John Edwards had chosen to run for reelection as Senator, would not have won that race.

MALVEAUX: Well, the Republicans are quite confident that they're going to make a dent in this. They believe that they're going to be able to get the kind of support that you saw with the president some four years ago, as they believe it's somewhat of a stretch for the Kerry camp to say that Edwards is going to make very much of a difference here when it comes to the contest. But, at the same time, the Kerry camp looks at the job numbers and they say, look, you've got a lot of jobs here that have been lost that are never coming back. What are you going to do about that?

That is something the president is going to have to make a case for, and already we have seen the Republicans coming out, using very harsh rhetoric against the Kerry/Edwards ticket, talking about the fact they do not believe that this ticket is good for the economy.

KAGAN: Suzanne Malveaux in Raleigh, North Carolina.

Thank you, Suzanne.

Turning now to Iraq, a gun battle erupted for several hours in Baghdad today between Iraqi security forces and insurgents. Two Iraqis were killed, but it's not clear if the victims were civilians, police officers or insurgents.

Also, in Baghdad, the residential compound of Iraqi Prime Minister Allawi was apparently the target of a mortar attack earlier today. Two mortars hit the street near his home, although the prime minister was not there at the time. The latest attack came as the Iraqi government announced a new law aimed at improving security. It allows the government to declare martial law and detain terror suspects.

From time to time, we have seen graphic video of insurgents attacked in Iraq, and it now appears there is much more of this video than anyone imagined, and much of it is being sent to one Western journalist in particular.

Brent Sadler has that story. We do want to caution you that some of the images are disturbing to watch.

(BEGIN VIDEOTAPE)

BRENT SADLER, CNN CORRESPONDENT (voice-over): In a Baghdad hotel room, this Western journalist views horrifying video sent to him by an Islamic insurgent group in Iraq that carried out a recent terror attack.

MICHAEL WARE, "TIME" MAGAZINE: Oh, my God, I've not seen this. They've been filming this stuff from the beginning.

SADLER: Michael Ware, an Australian reporter, working for "Time" magazine, is walking a professional knife edge, an unlikely go-between for anti-Western militants.

He's viewing what purports to be the gruesome attack that killed four American security contractors in Fallujah some three months ago, when the bodies were dragged through the streets and hung from a bridge.

WARE: This video is straight from the mujahedeen. This is the Blackwater killings. They talk about planning it.

This is the seventh tape I've received in the last three or four days.

SADLER: Including the release of this tape. It illustrates how insurgent groups have developed the technique of using video to record attacks.

A group called Unity and Jihad, led by Abu Musab al-Zarqawi, the most wanted terror suspect in Iraq, claims to have made this presentation.

WARE: They have reached a level of organization and sophistication that we have not seen previously. They have become incredibly savvy.

SADLER: What's claimed to be a Zarqawi camera captures this disturbing sequence of a suicide bomber bidding farewell to fighters and boarding a tanker, wired to 3.5 tons of explosives, for start-to- finish coverage of the attack.

WARE: Something in the last few months has now got them filming the most intimate, graphic attacks, like, up close and personal. They're trying to tell the Western public, this is what your boys are dying for. This is what they're up against. Terrorism is about instilling terror. That's a part of what this is doing.

SADLER: Ware says he holds secret meetings in dangerous places, with wanted men.

WARE: Whether you think I'm fortunate or whether you think I'm doomed, the point is, I've been given a window into something that no one else has.

SADLER: A window, he says, that opened after 12 months of contact, with access to unexplored territory, straddling a moral and ethical minefield.

WARE: This kind of thing is never easy or comfortable. It doesn't sit well with you as a human being, on many levels. But that's what covering war is like.

SADLER: Ware denies he's being used by terror groups, and says he filters what he learns, regardless of the source.

WARE: This is a war. It has two sides. I feel an obligation to discover as much as I can about both sides. I feel that's what we're here to do.

SADLER (on-camera): Do you worry that you're getting too close to this, that one day they might shoot the messenger.

WARE: I worry about that every waking moment and every sleeping dream, and it terrifies me. It terrifies me on a personal level, and it terrifies me in terms of what we're up against.

SADLER (voice-over): And the danger involved.

Brent Sadler, CNN, Baghdad. (END VIDEOTAPE)

KAGAN: Back in here in the U.S., George Tenet has just a few more days on the job as director of the CIA, but he probably will not escape unscathed. A Senate report is expected to take the agency and its chief to task for the intelligence on Iraq.

(BEGIN VIDEO CLIP)

SEN. CARL LEVIN (D), MICHIGAN: Whatever the final evidence is on various factors, it's very clear now that there were no big stockpiles of weapons of mass destruction, and that the statements that there were were exaggerations both by the CIA and by the administration, and, by the way, those exaggerations continue to this day.

We still have a vice president of the United States saying that there was collaboration between al Qaeda and Saddam Hussein, and there's just no evidence of those kind of strong links in even the CIA's reports. So the exaggerations continue to this day by the administration.

(END VIDEO CLIP)

KAGAN: Levin is a ranking democrat on the Senate Armed Services Committee.

The talk turns to the bodies in the testimony of the Scott Peterson trial in California. What jurors are hearing and seeing, that's coming up next.

Also, are you experienced in probate law? The family of one rock guitarist is. The fight over Jimi Hendrix's estate is ahead.

And, later, man's man, ladies' man. He is "Anchorman." He's the man behind "The Legend of Ron Burgundy."

Will Ferrell is my guest, coming up.

(COMMERCIAL BREAK)

(MARKET UPDATE)

KAGAN: Retail giant Wal-Mart is trying to avoid the largest private civil rights lawsuit in U.S. history. Wal-Mart's lawyers have asked an appeals court to review last month's ruling, which approved class-action status for a sex discrimination suit against the Arkansas-based retailer.

Wal-Mart denies engaging in discrimination and says the case was unfairly expanded to include as many as 1.6 million current and former employees.

To California now, testimony in Scott Peterson's double murder trial turns to the discovery of the bodies.

Our correspondent, Ted Rowlands, is at the courthouse in Redwood City, where proceedings will resume next hour.

Ted, good morning.

TED ROWLANDS, CNN CORRESPONDENT: Good morning, Daryn. When court resumes here in about 45 minutes, Elana Gonzalez (ph) is expected to finish her testimony. This is the woman that found Laci Peterson's remains along the shoreline of the San Francisco Bay of April of 2003. She was walking her dogs and located the grizzly remains of Laci Peterson. Her testimony was very emotional at times.

They showed crime scene photos yesterday as she described finding Laci Peterson's remains. This is a very, very important part of the prosecution's case, because Laci Peterson's, and Conner Peterson's, their unborn son's, remains were both found in the same spot that Scott Peterson says he was fishing on the 24th of December of 2002, the day that he reported his wife missing.

Of course, the proximity between where Peterson's boat was in the water and these remains is very close, and the prosecution's main argument is that this is the only way that these remains could have come into this area, is to have been delivered by Scott Peterson.

The remains were recovered the 13th of April, 2003. Peterson was arrested the 18th. Peterson's family remained in the courtroom during this testimony yesterday, but they did not look at the crime scene photos. Peterson himself put his head down at times as some of the photos were shown to the jury. Laci Peterson's family left the courtroom just as testimony began. They were given warning that this was going to happen.

They are not expected to be in the courtroom this morning when testimony resumes on this subject -- Daryn?

KAGAN: Ted, what about the order of the presentation of these photos? There seems to be some surprise that the prosecution went here at this time.

ROWLANDS: Yes, before the July 4th break, the prosecution seemed to be heading towards the testimony of Amber Frey. They left the jury with testimony from Amber Frey's friend, Shawn Sibley, who introduced Frey to Scott Peterson, and then they came back after the break in a different direction, going to the crime scene and the body recovery. It must be a strategy maneuver that they made over the five-day break. It is expected now, we're hearing, that Amber Frey will not take the stand for at least a week and a half, possibly two weeks.

KAGAN: Ted Rowlands in Redwood City, California.

Thank you, Ted.

Another high-profile court case, the family of legendary rock musician Jimi Hendrix is involved in a contentious court battle over who owns what in that estate.

Our Kimberly Osias has the story of Hendrix versus Hendrix.

(BEGIN VIDEO CLIP)

KIMBERLY OSIAS, CNN CORRESPONDENT (voice-over): Like Woodstock itself, Jimi Hendrix and his music marked a generation. But now the rights over who controls the Hendrix empire, including advertising licensing, merchandising and a vast rock catalog is being played out in a Washington state probate court. Hendrix versus Hendrix.

On one side is Jimi's brother, fellow musician Leon Hendrix.

LEON HENDRIX, MUSICIAN: This is a heritage and legacy for my family, and Jimi's family.

OSIAS: He's suing their sister, Janie Hendrix, the adopted daughter of Jimi's father, who's had control of the company since 1995.

JANIE HENDRIX, RELATIVE OF JIMI HENDRIX: Where were they when we were planting the seed? Now that it's all growing and blooming, everybody has their hands out.

OSIAS: Jimi Hendrix died in 1970 without a will, so his estate automatically went to the next of kin, Jimi's father, Al. Now, Al is dead and the estate, originally valued at about $0.5 million, is now estimated to be valued between $80 and $100 million.

Leon and seven others want to be recognized as legitimate heirs.

J. HENDRIX: Even though there were monies made, the monies were used to pay back debt.

OSIAS: Debt, the suit alleges, because of Janie Hendrix' gross mismanagement, saying she lavished millions of company money on herself and her family. Leon Hendrix says Jimi's own blood relatives never saw a dime.

The defense denies that, pointing to the fact that the estate has earned more than $47 million in the time they've run it.

L. HENDRIX: They're living like the well will never run dry.

OSIAS: A decision is expected sometime in August. Regardless of what happens in the courtroom, the music that Jimi Hendrix created will carry on.

Kimberly Osias, CNN, Seattle.

(END VIDEOTAPE)

KAGAN: And we'll show you a picture. This is Macy Gray with clothes on. Can't say that about Monday night, though. The soulful singer apparently sat naked on a London stage. Well, she did have on a pair of Jimmy Choo shoes. There is that.

The stripped-down stunt helped raise money for the Elton John AIDS Foundation. Gray was asked to be part of an auction of pictures showing celebrities wearing the popular Jimmy Choo shoes. She was wearing the shoes.

Caught on camera, rescue in Illinois. A security guard is forced to try to bring security to a stranded driver. That is next.

Also, they say defeat teaches more than victory. That is true from John Edwards. What he learned from his failed presidential bid, that's ahead.

(COMMERCIAL BREAK)

KAGAN: Check out this issue from what looks like a world of water, a man trying to drive his car through the rising flood waters in east St. Louis in Illinois, yesterday. He became stranded. Eyewitnesses called authorities, but before police could respond, reports say that security guards from a nearby casino picked the man up in a pickup truck and they four-wheeled him out of danger.

When there are flash floods, do not drive through the water. Orelon Sidney tries to tell us that over and over again.

(WEATHER REPORT)

KAGAN: The Democratic duo makes its first appearance as a team. Now the candidates are hitting the road.

What does the public think of the Democrats, that's no longer a live picture. It was a live picture from about two hours ago. The morning's most complete political briefing is coming up next.

(COMMERCIAL BREAK)

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 July 7, 2004 - 11:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DARYN KAGAN, CNN ANCHOR: And here's what's happening right now in the news.
Together again in their new political partnership, Senators John Kerry and John Edwards are off and running, and they're scheduled to attend a rally in Cleveland, Ohio later this hour. We'll have live pictures of that event just ahead.

President Bush is also on the campaign trail this hour. He is in Raleigh, North Carolina. Later today, the president will head to another battleground state, Michigan. We'll have a live report straight ahead.

The Trusted Traveler program begins a tryout today at Minneapolis-St. Paul International Airport. Some frequent fliers have already given fingerprints and optical scans, allowing them to bypass some screening on their day, on the day of their trips. The pilot program will be expanded over the next few weeks to four other cities.

And right now, a congressional committee is holding a hearing on troop strength for the Iraq war and the operations in Afghanistan. At issue, Army and Marine Corps troop rotations and the mobilization of the Army's Individual Ready Reserve.

Keeping you informed, CNN, the most trusted name in news.

It is 11:00 a.m. in Fox Chapel, Pennsylvania. It is 7:00 p.m. in Baghdad. I'm at CNN Center in Atlanta, where it is 11:00 a.m.

Good morning once again, I'm Daryn Kagan.

The newly minted Democratic duo of John Kerry and John Edwards is holding the first joint rally of the 2004 campaign this hour. They'll be on stage shortly in Burnham (ph) Park in downtown Cleveland. Live coverage ahead on CNN.

The new team left the Heinz farm outside of Pittsburgh this morning after gathering the families for the cameras.

(BEGIN VIDEO CLIP)

SEN. JOHN KERRY (D-MA), DEMOCRATIC PRESIDENTIAL CANDIDATE: We had a wonderful dinner last night. We sat around, we laughed, we chatted, we talked politics, talked about funny things that happened to both of us during the race, shared experiences.

But I could not be more proud of the pick I have made. This man is ready for this job. He's ready to help lead America. He's a person of compassion and conviction, of strength. And, together with Elizabeth, they represent, I think, the future that we want to fight for for all Americans.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

SEN. JOHN EDWARDS (D-NC), VICE PRESIDENTIAL CANDIDATE: I know this guy very well. We served in the Senate together, we worked together, and then I saw him head to head during the presidential campaign. I saw the kind of strength and courage and determination that he showed.

And the truth is, it's the same strength, courage, backbone, leadership, that he's shown his whole life. He showed it during his service and his heroism in Vietnam. I mean, I got to listen to the men who served with John Kerry in Vietnam during the course of the campaign. Their stories are remarkable.

If you want to know what kind of man he is, these are men who stand beside him 30 years later, who believe in him, who believe that he should be our next president. They want him to be their president.

So, I can say this. For my family, I want him to be our next president.

(END VIDEO CLIP)

KAGAN: Meanwhile, Republicans are running a new ad featuring Senator John McCain, implying it was McCain, and not Edwards, that was John Kerry's first V.P. choice. Kerry courted Republican McCain for the job, but his campaign insists he never got farther than that.

Jim Johnson headed Kerry's search for a running mate, and he appeared on CNN's "AMERICAN MORNING."

(BEGIN VIDEO CLIP)

JIM JOHNSON, KERRY CAMPAIGN ADVISER: There was a lot of interest in the concept of a unity ticket, of both parties being represented, trying to stop this bitter partisanship that's really a plague on our nation. So there were some preliminary discussions, but they never got to a serious stage, and there was never an offer made. There was only one offer, and that was John Edwards. It seems to be working out very well.

(END VIDEO CLIP)

KAGAN: John Kerry and Teresa Heinz Kerry tomorrow night on CNN's "LARRY KING LIVE." Tune in for an in-depth hour of conversation at 9:00 Eastern.

Well, it has raised a few eyebrows, but the White House says it is pure coincidence. President Bush turned up in Senator Edwards' back yard this morning. Our White House correspondent Suzanne Malveaux is along for the trip and she is in North Carolina.

Suzanne, good morning.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Good morning, Daryn.

They absolutely insist, they wish they could take credit for this, but they insist that it's pure coincidence here, that this, of course, being Edwards' home state.

The Kerry camp already is calling this the newest battleground state. President Bush won back in 2000 this state by 13 points, but they believe with Edwards on the ticket that they hopefully will narrow that gap and take this state.

Of course, the president is not focusing on Edwards today. We are told that he is going to be focusing on the issue of judicial nominees. Perhaps the president's biggest vulnerability in this state, however, really comes to the textile job industry. Quite a few jobs, as a matter of fact, 158,000 jobs lost since President Bush took office here.

But what he is going to be talking about today is the issue of blocked judicial nominees. He's going to be meeting with three of those here later in the morning. The whole idea is that he believes that the Democrats in the Senate have been blocking these conservative nominations. This is something that comes after a deal was struck with the Democrats some weeks ago. Democrats say they would allow 25 of his judicial nominees to go through the process, they would not block them.

In return, President Bush would not go ahead and use his power to appoint those nominees when the Congress was in recess. That happened just before the Memorial Day recess. So this is something that they'll be discussing.

Also, the president, of course, will be attending a fund raiser at a private residence before he heads to Michigan, another key battleground state. That is where the polls are showing President Bush and Kerry neck and neck. You can bet that the president is going to be back in Michigan and, of course, North Carolina, certainly, in the weeks to come -- Daryn?

KAGAN: But in terms of North Carolina being a battleground state, probably not for this presidential election. And aren't there some who, even Democrats who felt that if John Edwards had chosen to run for reelection as Senator, would not have won that race.

MALVEAUX: Well, the Republicans are quite confident that they're going to make a dent in this. They believe that they're going to be able to get the kind of support that you saw with the president some four years ago, as they believe it's somewhat of a stretch for the Kerry camp to say that Edwards is going to make very much of a difference here when it comes to the contest. But, at the same time, the Kerry camp looks at the job numbers and they say, look, you've got a lot of jobs here that have been lost that are never coming back. What are you going to do about that?

That is something the president is going to have to make a case for, and already we have seen the Republicans coming out, using very harsh rhetoric against the Kerry/Edwards ticket, talking about the fact they do not believe that this ticket is good for the economy.

KAGAN: Suzanne Malveaux in Raleigh, North Carolina.

Thank you, Suzanne.

Turning now to Iraq, a gun battle erupted for several hours in Baghdad today between Iraqi security forces and insurgents. Two Iraqis were killed, but it's not clear if the victims were civilians, police officers or insurgents.

Also, in Baghdad, the residential compound of Iraqi Prime Minister Allawi was apparently the target of a mortar attack earlier today. Two mortars hit the street near his home, although the prime minister was not there at the time. The latest attack came as the Iraqi government announced a new law aimed at improving security. It allows the government to declare martial law and detain terror suspects.

From time to time, we have seen graphic video of insurgents attacked in Iraq, and it now appears there is much more of this video than anyone imagined, and much of it is being sent to one Western journalist in particular.

Brent Sadler has that story. We do want to caution you that some of the images are disturbing to watch.

(BEGIN VIDEOTAPE)

BRENT SADLER, CNN CORRESPONDENT (voice-over): In a Baghdad hotel room, this Western journalist views horrifying video sent to him by an Islamic insurgent group in Iraq that carried out a recent terror attack.

MICHAEL WARE, "TIME" MAGAZINE: Oh, my God, I've not seen this. They've been filming this stuff from the beginning.

SADLER: Michael Ware, an Australian reporter, working for "Time" magazine, is walking a professional knife edge, an unlikely go-between for anti-Western militants.

He's viewing what purports to be the gruesome attack that killed four American security contractors in Fallujah some three months ago, when the bodies were dragged through the streets and hung from a bridge.

WARE: This video is straight from the mujahedeen. This is the Blackwater killings. They talk about planning it.

This is the seventh tape I've received in the last three or four days.

SADLER: Including the release of this tape. It illustrates how insurgent groups have developed the technique of using video to record attacks.

A group called Unity and Jihad, led by Abu Musab al-Zarqawi, the most wanted terror suspect in Iraq, claims to have made this presentation.

WARE: They have reached a level of organization and sophistication that we have not seen previously. They have become incredibly savvy.

SADLER: What's claimed to be a Zarqawi camera captures this disturbing sequence of a suicide bomber bidding farewell to fighters and boarding a tanker, wired to 3.5 tons of explosives, for start-to- finish coverage of the attack.

WARE: Something in the last few months has now got them filming the most intimate, graphic attacks, like, up close and personal. They're trying to tell the Western public, this is what your boys are dying for. This is what they're up against. Terrorism is about instilling terror. That's a part of what this is doing.

SADLER: Ware says he holds secret meetings in dangerous places, with wanted men.

WARE: Whether you think I'm fortunate or whether you think I'm doomed, the point is, I've been given a window into something that no one else has.

SADLER: A window, he says, that opened after 12 months of contact, with access to unexplored territory, straddling a moral and ethical minefield.

WARE: This kind of thing is never easy or comfortable. It doesn't sit well with you as a human being, on many levels. But that's what covering war is like.

SADLER: Ware denies he's being used by terror groups, and says he filters what he learns, regardless of the source.

WARE: This is a war. It has two sides. I feel an obligation to discover as much as I can about both sides. I feel that's what we're here to do.

SADLER (on-camera): Do you worry that you're getting too close to this, that one day they might shoot the messenger.

WARE: I worry about that every waking moment and every sleeping dream, and it terrifies me. It terrifies me on a personal level, and it terrifies me in terms of what we're up against.

SADLER (voice-over): And the danger involved.

Brent Sadler, CNN, Baghdad. (END VIDEOTAPE)

KAGAN: Back in here in the U.S., George Tenet has just a few more days on the job as director of the CIA, but he probably will not escape unscathed. A Senate report is expected to take the agency and its chief to task for the intelligence on Iraq.

(BEGIN VIDEO CLIP)

SEN. CARL LEVIN (D), MICHIGAN: Whatever the final evidence is on various factors, it's very clear now that there were no big stockpiles of weapons of mass destruction, and that the statements that there were were exaggerations both by the CIA and by the administration, and, by the way, those exaggerations continue to this day.

We still have a vice president of the United States saying that there was collaboration between al Qaeda and Saddam Hussein, and there's just no evidence of those kind of strong links in even the CIA's reports. So the exaggerations continue to this day by the administration.

(END VIDEO CLIP)

KAGAN: Levin is a ranking democrat on the Senate Armed Services Committee.

The talk turns to the bodies in the testimony of the Scott Peterson trial in California. What jurors are hearing and seeing, that's coming up next.

Also, are you experienced in probate law? The family of one rock guitarist is. The fight over Jimi Hendrix's estate is ahead.

And, later, man's man, ladies' man. He is "Anchorman." He's the man behind "The Legend of Ron Burgundy."

Will Ferrell is my guest, coming up.

(COMMERCIAL BREAK)

(MARKET UPDATE)

KAGAN: Retail giant Wal-Mart is trying to avoid the largest private civil rights lawsuit in U.S. history. Wal-Mart's lawyers have asked an appeals court to review last month's ruling, which approved class-action status for a sex discrimination suit against the Arkansas-based retailer.

Wal-Mart denies engaging in discrimination and says the case was unfairly expanded to include as many as 1.6 million current and former employees.

To California now, testimony in Scott Peterson's double murder trial turns to the discovery of the bodies.

Our correspondent, Ted Rowlands, is at the courthouse in Redwood City, where proceedings will resume next hour.

Ted, good morning.

TED ROWLANDS, CNN CORRESPONDENT: Good morning, Daryn. When court resumes here in about 45 minutes, Elana Gonzalez (ph) is expected to finish her testimony. This is the woman that found Laci Peterson's remains along the shoreline of the San Francisco Bay of April of 2003. She was walking her dogs and located the grizzly remains of Laci Peterson. Her testimony was very emotional at times.

They showed crime scene photos yesterday as she described finding Laci Peterson's remains. This is a very, very important part of the prosecution's case, because Laci Peterson's, and Conner Peterson's, their unborn son's, remains were both found in the same spot that Scott Peterson says he was fishing on the 24th of December of 2002, the day that he reported his wife missing.

Of course, the proximity between where Peterson's boat was in the water and these remains is very close, and the prosecution's main argument is that this is the only way that these remains could have come into this area, is to have been delivered by Scott Peterson.

The remains were recovered the 13th of April, 2003. Peterson was arrested the 18th. Peterson's family remained in the courtroom during this testimony yesterday, but they did not look at the crime scene photos. Peterson himself put his head down at times as some of the photos were shown to the jury. Laci Peterson's family left the courtroom just as testimony began. They were given warning that this was going to happen.

They are not expected to be in the courtroom this morning when testimony resumes on this subject -- Daryn?

KAGAN: Ted, what about the order of the presentation of these photos? There seems to be some surprise that the prosecution went here at this time.

ROWLANDS: Yes, before the July 4th break, the prosecution seemed to be heading towards the testimony of Amber Frey. They left the jury with testimony from Amber Frey's friend, Shawn Sibley, who introduced Frey to Scott Peterson, and then they came back after the break in a different direction, going to the crime scene and the body recovery. It must be a strategy maneuver that they made over the five-day break. It is expected now, we're hearing, that Amber Frey will not take the stand for at least a week and a half, possibly two weeks.

KAGAN: Ted Rowlands in Redwood City, California.

Thank you, Ted.

Another high-profile court case, the family of legendary rock musician Jimi Hendrix is involved in a contentious court battle over who owns what in that estate.

Our Kimberly Osias has the story of Hendrix versus Hendrix.

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KIMBERLY OSIAS, CNN CORRESPONDENT (voice-over): Like Woodstock itself, Jimi Hendrix and his music marked a generation. But now the rights over who controls the Hendrix empire, including advertising licensing, merchandising and a vast rock catalog is being played out in a Washington state probate court. Hendrix versus Hendrix.

On one side is Jimi's brother, fellow musician Leon Hendrix.

LEON HENDRIX, MUSICIAN: This is a heritage and legacy for my family, and Jimi's family.

OSIAS: He's suing their sister, Janie Hendrix, the adopted daughter of Jimi's father, who's had control of the company since 1995.

JANIE HENDRIX, RELATIVE OF JIMI HENDRIX: Where were they when we were planting the seed? Now that it's all growing and blooming, everybody has their hands out.

OSIAS: Jimi Hendrix died in 1970 without a will, so his estate automatically went to the next of kin, Jimi's father, Al. Now, Al is dead and the estate, originally valued at about $0.5 million, is now estimated to be valued between $80 and $100 million.

Leon and seven others want to be recognized as legitimate heirs.

J. HENDRIX: Even though there were monies made, the monies were used to pay back debt.

OSIAS: Debt, the suit alleges, because of Janie Hendrix' gross mismanagement, saying she lavished millions of company money on herself and her family. Leon Hendrix says Jimi's own blood relatives never saw a dime.

The defense denies that, pointing to the fact that the estate has earned more than $47 million in the time they've run it.

L. HENDRIX: They're living like the well will never run dry.

OSIAS: A decision is expected sometime in August. Regardless of what happens in the courtroom, the music that Jimi Hendrix created will carry on.

Kimberly Osias, CNN, Seattle.

(END VIDEOTAPE)

KAGAN: And we'll show you a picture. This is Macy Gray with clothes on. Can't say that about Monday night, though. The soulful singer apparently sat naked on a London stage. Well, she did have on a pair of Jimmy Choo shoes. There is that.

The stripped-down stunt helped raise money for the Elton John AIDS Foundation. Gray was asked to be part of an auction of pictures showing celebrities wearing the popular Jimmy Choo shoes. She was wearing the shoes.

Caught on camera, rescue in Illinois. A security guard is forced to try to bring security to a stranded driver. That is next.

Also, they say defeat teaches more than victory. That is true from John Edwards. What he learned from his failed presidential bid, that's ahead.

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KAGAN: Check out this issue from what looks like a world of water, a man trying to drive his car through the rising flood waters in east St. Louis in Illinois, yesterday. He became stranded. Eyewitnesses called authorities, but before police could respond, reports say that security guards from a nearby casino picked the man up in a pickup truck and they four-wheeled him out of danger.

When there are flash floods, do not drive through the water. Orelon Sidney tries to tell us that over and over again.

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KAGAN: The Democratic duo makes its first appearance as a team. Now the candidates are hitting the road.

What does the public think of the Democrats, that's no longer a live picture. It was a live picture from about two hours ago. The morning's most complete political briefing is coming up next.

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