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American Morning

Kerry and Edwards Hitting the Road; Iraq: The Next Chapter; Jimi Hendrix Lawsuit

Aired July 07, 2004 - 9:00   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.


(BEGIN VIDEO CLIP)
SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: I could not be more proud at the pick I have made. This man is ready for this job.

(END VIDEO CLIP)

BILL HEMMER, CNN ANCHOR: Good morning. They are teammates from here on out. John Kerry and John Edwards hitting the campaign trail together today for the first time.

A fierce battle in Iraq. American troops fighting insurgents again in the streets of Baghdad and broad daylight.

And the police case that cannot be solved by DNA evidence because the DNA points to two men.

All ahead this hour here on AMERICAN MORNING.

ANNOUNCER: From the CNN Broadcast Center in New York, this is AMERICAN MORNING with Bill Hemmer and Soledad O'Brien.

HEMMER: Good morning, everybody. Soledad's on vacation this week, getting some good rest at home. Heidi Collins with us today yet again. And we are seeing politics play out before our very eyes.

The race is on. A few moments ago, John Edwards and John Kerry, their first appearance together, bringing together their families and a few words for the media. Not many, but a few. We'll go back there and find out what was accomplished by this today and the what the schedule is for today, and why it's so significant. We'll get to all that in a moment.

HEIDI COLLINS, CNN ANCHOR: Also, we're going to get the latest from the White House in just a few minutes. The president's campaign has come out swinging against John Edwards. We want to make sure we get to that as well.

HEMMER: Also, on a much different note, coming up in a few moments, decades after the death of Jimi Hendrix, the battle now raging over what he left behind. We'll tell you what this ugly fight is all about in a matter of moments here.

COLLINS: OK. Jack Cafferty now.

Hi. JACK CAFFERTY, CNN ANCHOR: How are you doing?

The "Question of the Day," should the Catholic Church be allowed to seek government protection under the bankruptcy laws in the face of lawsuits over the child sexual abuse scandal that could cost the Church tens or hundreds of millions of dollars? Am@cnn.com. The diocese out in Oregon the first one to file for bankruptcy protection. A lot of controversy surrounding that.

HEMMER: All right. Jack, thanks.

CAFFERTY: Sure.

HEMMER: Back to our top story, top of the hour now. The Democratic presidential team, senators John Kerry and John Edwards, heading to Ohio after coming before the cameras together for the first time last hour. The senators, their wives and children speaking to reporters on the farm of Teresa Heinz Kerry a few moments ago.

Both Kerry and Edwards saying it was their aim to make America stronger at home and more influential around the world. Senator Edwards seemed to stay with a populist message when talking about his teammate, John Kerry.

(BEGIN VIDEO CLIP)

SEN. JOHN EDWARDS (D), NORTH CAROLINA: We grew up looking up to, respecting somebody who believed in faith and family and responsibility, and having everybody get a chance to do what they're capable of doing, not just a few. That's what this is about for us. And for so many Americans, this campaign is about the future, and it's about restoring hope.

People are desperate to believe again that tomorrow will be better than today. That's what John Kerry represents for the American people.

(END VIDEO CLIP)

HEMMER: That's what we saw 30 minutes ago. Back to Kelly Wallace. She saw it first hand in Fox Chapel, P.A.

Good morning, Kelly.

KELLY WALLACE, CNN NATIONAL CORRESPONDENT: Good morning, Bill.

Well, certainly, four months went into John Kerry deciding to choose John Edwards as his running mate. Several weeks also went into deciding how to introduce the running mate to the American people.

What we saw this morning, the beginning of a very well- orchestrated rollout to introduce John Edwards and John Kerry again to the American people. The goal here, trying to get as much publicity, as much coverage and as much bounce as possible.

As you said, the senators both spoke, and their wives. Many Democratic strategists believe what John Edwards brings to the ticket, some vitality that might have been needed with John Kerry, an effort to really connect with middle class voters, especially in the battleground state, such as Ohio, where they're headed to later today.

Now, they did not take any questions. They say they'll do that later. And there will be questions.

Republicans are raising a lot of questions, saying that John Kerry chose somebody whose own experience he questioned during the primary. So that is a question for John Kerry.

Also, other questions, such as, was John McCain, the Republican senator of Arizona, really his first choice? Some questions about that.

Right now, though, the goal is hitting the campaign trail. They go to Ohio, Florida, New Mexico, West Virginia, New York, ending up in North Carolina over the weekend -- Bill.

HEMMER: Today alone, the three stops, three different states, 68 electoral votes. That's not an accident. Thanks, Kelly. Talk to you again later.

WALLACE: Yes.

HEMMER: All right -- Heidi.

COLLINS: Earlier here on AMERICAN MORNING was reaction to the Kerry-Edwards ticket from both sides of the political aisle.

(BEGIN VIDEO CLIP)

JIM JOHNSON, LED KERRY'S VP SEARCH: What John Edwards has, I think, is a great feel for how to move this country forward, how to make it stronger, how to deal with the economic challenges, how to build jobs, how to deal with health care, how to deal with the burden of child care costs, how to make a possible for, really, every family to have a brighter opportunity. That's a tremendously powerful message.

He'll also be a great partner for John Kerry. I think it's a very strong ticket.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

NICOLE DEVENISH, COMMUNICATIONS DIRECTOR, BUSH-CHENEY 04: This is a ticket that stands so far out of the mainstream of America on the kitchen table issues that we think people are going to vote on: prescription drugs for seniors, tax relief for married couples, tax relief for families with children. These guys all oppose those common sense measures, and I think in November, that's what people are going to make a decision based on.

(END VIDEO CLIP) COLLINS: CNN political analyst Carlos Watson joins us now with his thoughts on the new Democratic team.

Carlos, hello to you once again, joining us from Mountain View, California, this morning. You know, we've heard it many times already in just the past couple of days that John Kerry routinely criticized Edwards' lack of experience, lack of experience on foreign policy in particular, during the primaries. In fact, let's look at a poll now if we could that has come out recently, a CNN-"USA Today"-Gallup poll, talking about the strength and weaknesses of John Edwards' experience.

We see here that, really, this limited experience in political offices shows as a strength, 40 percent, and weakness, 55 percent. Carlos, is this something that could come back to haunt John Kerry?

CARLOS WATSON, CNN POLITICAL ANALYST: You know, we'll continue to see this story unfold, I think, certainly over the next month or two. But quickly, I think voters are going to make a decision one way or another based, frankly, on his performance.

If he speaks on national security issues, on the economy, on health care in a way that inspires confidence to the nation, and I think particularly at the Democratic convention, then I think some of these questions will go away. If he seems to bumble in a way that people perceive that Dan Quayle did, then I think these questions will persist.

It's worth noting, though, that he's not the first first-term senator to quickly become a running mate. Back in 1952, Dwight Eisenhower plucked a young Richard Nixon, who was then in his first term in the Senate. In fact, it was only two years into his first term in the Senate, and ultimately, that ticket won as well. So it's not clear to me that the lack of experience will ultimately persist as an issue, despite the fact that we're in a post-9/11 era.

COLLINS: Well, you know, we've been seeing a lot of ads already, particularly the one featuring John McCain, called "First Choice." It was put into -- running like 20 minutes after the announcement by the Bush administration. Also saw that the Democrats responded with another ad, using McCain criticizing the president. It's kind of like John McCain is sort of being used as a pawn right now.

WATSON: I don't know if a pawn, or it's just a popular guy and everybody wants to be his friend. Certainly among swing voters, who make up probably one in five voters today, he's a very popular figure. Both sides want to claim support from him.

Certainly, John Kerry talked to him about the vice presidential nomination. I think you'll continue to hear talk about him in a possible Kerry cabinet should John Kerry win. So don't expect to hear the conversation go away, folks. Both sides swinging punches.

Another figure, though, who's popular on both sides of the aisle who I think you'll hear a little bit more about in the coming months is not just John McCain, but is Colin Powell. Again, Bob Woodward's book suggested that he had some real differences with the administration over the war. And so I think you'll hear Republicans cite his name in support of the president, and I think you'll hear Democrats cite his name as someone who questioned the president's judgment. So I think there are a couple of Republican figures who will play a role in both campaigns.

COLLINS: Interesting. Let's talk about the wives for just a moment, if we could, Carlos. You know, Elizabeth Edwards has been described as a spitfire, highly educated. And, also, Teresa Heinz Kerry has been noted to be a very, very compelling speaker. How do you think that these women will be used in the campaign?

WATSON: I think they're both going to be used a tremendous amount. Elizabeth Edwards, in particular. I think in getting John Edwards, John Kerry's really getting two great -- John Kerry, rather, is getting two great campaigners for the price of one.

I think as you saw Elizabeth Edwards speak, she's got a very humble style, very engaging style. A lawyer herself. I think you'll see both of them used a lot, both of them at the convention, and both of them on their own during the campaign, hitting swing states as well. So look for both candidates to be meaningful not only in the presidential campaign, but I bet Elizabeth Edwards will be used in some Senate contest in those five open southern seats as well.

COLLINS: Real quickly, Carlos, before we let you go, you said yesterday you thought the election would be close. Still think so?

WATSON: You know, again, I think it will be close, but I'm the guy who's saying that I don't think it's going to be a one or two- point contest when everything's said and done. I think we'll have a number of swings in the polls, as we've already seen. But when everything is said and done -- and you're hearing it here first -- I think this will be a campaign that will be decided by five, six, seven, maybe even eight points when all is said and done.

COLLINS: Wow, numbers! All right. Carlos Watson, we heard it here first.

WATSON: Hey, you betcha!

COLLINS: Thanks, Carlos.

WATSON: Have a great morning.

HEMMER: About nine minutes past the hour now. From Iraq and central Baghdad today, Iraqi security officers and U.S.-led forces engaging in a fierce gun battle with insurgents. We've watched the videotape earlier today, and these attacks come now as the government gives stronger security laws and putting them in place. Here's Jane Arraf in Baghdad on these stories.

Jane, hello.

JANE ARRAF, CNN BAGHDAD BUREAU CHIEF: Thank you.

HEMMER: Hi, Jane. If you can hear me, Bill Hemmer in New York. ARRAF: Hey, there. Yes, I can. Can you hear me?

HEMMER: Yes, I sure can. Jane, we're on the air. Give us more about this gun battle that took place in central Baghdad.

ARRAF: Bill, sorry about that. Yes, we're just getting the latest details on that. It does appear to be over, but our Brent Sadler, who has just returned from the scene, says it was a very eerie scene.

Shops closed just off of Haifa Street in the Sheif Maruf (ph) neighborhood, and gun fighting earlier that broke out, pretty intense. U.S. reinforcements were called for, and they came in armored vehicles and helicopters.

Now, it seems to have broken out when insurgents opened fire on the Iraqi National Guard. We have reports, Bill, of at least two people killed and up to a dozen wounded. It's unclear yet as to whether they were Iraqi National Guardsmen or civilians caught in this crossfire. But streets around there were blocked off for several hours as the fighting went on.

Now, to react to this and other elements of the insurgency, and the ongoing terrorist attacks, the government here has unveiled what it calls a national safety plan. What that would do is allow the prime minister of the interim government to impose curfews, to mobilize the armed forces, to do house-to-house searches.

According to the human rights minister and justice minister, though, who showed up to present the more humane face to this, it would have a series of checks and balances. The prime minister would need the approval of the majority of cabinet, as well as the president and his two deputies, and they will set up, they say, a committee to monitor any alleged human rights violations -- Bill.

HEMMER: Jane, in short, when you talk to the Iraqi people, do they support those new laws?

ARRAF: They sure do. It's a really interesting thing because, on the face of it, one would think that one of the first acts of a new government in a sovereign Iraq, that's supposed to be on its way to democracy, would not be to impose more controls, to improve martial law. But, in fact, Bill, people here are desperate for anything that will bring stability.

You saw those pictures of the people in the streets. Now, these should be normal streets and normal neighborhoods. Instead, they are cowering in their apartments, in their houses, as the gunfire plays out. And anything that the government can do to crack down on that, no matter how restrictive, they seem to be for -- Bill.

HEMMER: Jane, thanks. Jane Arraf in Baghdad -- Heidi.

COLLINS: About 12 minutes past the hour now. Time for a look at some of today's other news with Fredricka Whitfield.

Hey, Fredricka. Good morning.

FREDRICKA WHITFIELD, CNN ANCHOR: Hello to you. Good morning, Heidi.

Well, let's begin in Yemen, where charges have been filed in a security court there in connection with the deadly USS Cole attack. Six suspects were charged today in the planning of the October 2000 bombing. They're believed to be members of al Qaeda. Seventeen American soldiers were killed in the USS Cole attack. The charges open the first trial in the case.

In California, a tough day in court in the Scott Peterson trial. Testimony turning to the discoveries of the bodies of his wife, Laci, and their unborn son. Pictures of the remains were shown yesterday. Laci Peterson's parents left the courtroom. The trial resumes later today.

In New York, authorities are awaiting autopsy results for the youngest son of Hollywood screen legend Kirk Douglas. The body of Eric Douglas was found yesterday inside his New York City apartment. Police say there were no signs of foul play. The 46-year-old Douglas, who was the half brother of actor Michael Douglas, had reportedly been struggling with substance abuse.

The price to fill up your gas tank inching downward again. The Energy Department says gasoline prices have dropped nearly three cents, with the national average now just over $1.89 a gallon. Drivers on the West Coast still facing the highest prices.

And in Massachusetts, fans staying quiet for a Minor League Baseball game. The Brockton Rox breaking what it says is a 95-year- old record for the quietest baseball game ever played. Fans expressing their "yeas" and "boos" with place cards during the first five innings. The fans had somebody to cheer about when play wrapped up. Brockton won 3-2.

Back to you, Heidi.

HEMMER: All right.

COLLINS: All right, Fred. Thanks so much.

All right. We're going to check in with Jack now. He's got the "Question of the Day," and lots of answers of that, right?

CAFFERTY: Well, we have some.

The Archdiocese of Portland, Oregon, became the first in the nation to file for bankruptcy yesterday. They want protection from multimillion-dollar settlements in the sexual abuse scandal. The announcement that they were going after bankruptcy protection came just as jury selection was about to begin in a civil trial by two plaintiffs who are asking for $155 in damages. The archbishop in Oregon says the filing is not an attempt to avoid responsibility for any possible sex abuse claims. Now, the question is, should the Catholic Church be allowed to use bankruptcy laws to protect itself from multimillion-dollar settlements? Here's some of what you've written this morning.

John in St. Paul, Minnesota, "I'm in favor of the diocese being allowed to declare bankruptcy for an amount equal to the amount of taxes they pay. It's hypocritical of the church to claim an exemption from a duty to help fund the federal government but claim the protection of the bankruptcy laws."

Joe in Austin, Texas, writes: "It's an interesting question, one that should be answered by the Catholic presidential candidate with the trial bar partner. An answer from them would be very interesting to hear."

Bob in Ohio, "I don't think the Catholic Church should be able to escape like some of our major corporations have. However, I think that limits should be set on these lawsuits."

And Reg in Thunder Bay, Ontario, "Will the lord hear prayers any differently if they come from inside a tent rather than a splendid cathedral? Let them go bankrupt and then concentrate on the lord's work, rather than the accumulation of billions of dollars in self- wealth."

Am@cnn.com. We'll do one more bunch of these, time permitting, in about a half-hour.

HEMMER: Good deal. Thank you, Jack.

From Arizona this morning, firefighters still battling wildfires on top of a mountain top observatory. Already today, flames are within a mile of the $200 million Mount Graham International Observatory. Firefighters fearful the intense heat may damage its delicate instruments.

They're standing guard around the high-powered telescopes there. We've also seen wrapping sheets of aluminum around nearby summer cabins to protect them from the flames as well. They could use some moisture in that part of country. Here's Chad Myers watching there and the rest of the news for us.

(WEATHER REPORT)

COLLINS: All right, Chad. Thanks so much for that.

The family of legendary rocker Jimi Hendrix is embroiled in an all-out battler over his estate. CNN's Kimberly Osias has more on this bitter feud.

(BEGIN VIDEOTAPE)

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-bought (ph) catalogue 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, JIMI HENDRIX' BROTHER: This is a heritage legacy from 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, JIMI HENDRIX' ADOPTED SISTER: Where were they when we were planting the seed? Now that it's all growing and blooming, everybody has their hands out.

OSIAS (on camera): 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 $500,000, is now estimated to be valued between $80 and $100 million.

(voice-over): Leon and seven others want the will to be recognized as legitimate heirs.

J. HENDRIX: Even though there were monies made, the monies we're 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 run it.

UNIDENTIFIED MALE: They're living like -- like the well 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)

HEMMER: About 20 minutes past the hour. In a moment here on AMERICAN MORNING, DNA evidence usually a reliable way to catch a suspect. But what if there was another suspect with the identical DNA? I did not know that was possible. Sanjay stops by for that story in a moment.

COLLINS: Also ahead, it's not exactly "Dewey Beats Truman," but one tabloid's goof is getting plenty of attention. And it could fetch some big bucks, too. We'll explain next on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: There is more testimony today in Scott Peterson's double murder trial. It was a dramatic day in court yesterday. Witnesses describing finding the remains of Laci Peterson and the couple's unborn child in San Francisco Bay, and there were pictures, too.

Gloria Gomez, reporter for Sacramento TV station KOVR, back with us today outside the courtroom there in Redwood City, California.

Welcome back, Gloria.

GLORIA GOMEZ, KOVR: Good morning.

HEMMER: I want to pick up first on this polygraph expert. What did he testify yesterday, the witness for the prosecution? And did he catch Scott Peterson doubling up on what he said?

GOMEZ: Well, basically, he talked about how Scott Peterson lied to him about having an affair. He asked him right off the bat, "Are you having an affair?" And Scott Peterson said, "No." He said, "There's no third party with me or with Laci."

And then he asked him if he was having any marital problems. And Scott said, no, he wasn't. So, clearly, once again showing that Scott Peterson lied not only to police, not only to family members, but also to one of the lead polygraph experts in California.

HEMMER: Gloria, I understand you asked him directly about that same question, about a month after Laci disappeared. What did he answer to you then?

GOMEZ: Right. Well, when I first approached him, I had been tipped off that Laci's family was told by police that he was having an affair and they showed them pictures.

So I approached him that day. And I said, "Hey, Scott, I've got a report that Laci's family's about to find out from police that you're having an affair." He says, "Oh, no, that's not true." And then he goes, "All I want to do is find Laci."

I said, "Do you want to confirm you're having an affair?" "No." "Do you want to deny you're having an affair?" He said, "No, all I want to do is find Laci."

Then when I sat down for my interview with him, I said, "Why didn't you just come clean with me then and tell me you were having an affair?" He says, "Well, it was a media ploy to keep you interested in the story."

HEMMER: But Gloria, where does this take us on the count -- on the count of murder, though? And I know in the past you've said the prosecution's had a hard time connecting the dots. Did they have an easier time of it yesterday, or are we back in the same place again?

GOMEZ: Well, it's clear that they're showing that the bodies washed up miles from where Scott Peterson went fishing. So, obviously, that's the most damning evidence they have against Scott Peterson. So bringing that in clearly was a big impact for the jury. And, of course, they're trying to connect those dots.

But last week, they brought in the salacious testimony of Sean Sibly (ph). So some are saying, well, they're going one way and they're sending the jury on one path, now all of a sudden they switch gears and go to the body. So what's going on here? But, Bill, I'm finding out from sources of mine that the reason they brought in Sean Sibly (ph) last week is because she had vacation scheduled out of the country. So they had to change the lineup a little bit, bring her in before she had to leave on vacation. Obviously, this is summertime, so they have to accommodate a lot of witnesses.

HEMMER: Yes, and we're hearing from other analysts who say -- and they've been in the courtroom, too, just like you -- who say the prosecution's been plodding along in the presentation of evidence. One more thing I want to get to. The pictures that shown yesterday, what was the impact and reaction in court, Gloria?

GOMEZ: Well, very gruesome pictures of Laci and Connor Peterson. And, of course, Scott Peterson, at one point, when one of the witnesses talking about how she -- when she approached the remains, she actually looked down and she could tell the remains of Laci had been disturbed by animals, it was the first time Scott Peterson showed reaction, actually covered his face and looked down.

And, obviously, very disturbing for the jury to be watching those pictures. Laci's family walked out of court during all of this testimony. They did not want to be a part of it yesterday.

HEMMER: I can understand that. Gloria Gomez in Redwood City. Thanks, Gloria -- Heidi.

GOMEZ: Thank you.

COLLINS: As has been pointed out since yesterday morning, the "New York Post" made a pretty big mistake yesterday by pointing out that John Kerry had chosen Richard Gephardt as his running mate. Well, as you might guess, it didn't take too long for some copies of yesterday's "Post" to make it on to eBay.

Several copies are now going for more than $60 right now. The paper's editor-in-chief ate a little crow after the air, saying, "We unreservedly apologize to our readers for the mistake."

And, of course, you've probably seen today's front page of that very same paper, the "New York Post," saying kind of the same thing, except with a different name in there. And a look close, it says, "Really." We promise. "We promise" isn't there, but, "Really."

HEMMER: Almost an identical front page, too.

COLLINS: Yes.

HEMMER: With a different picture and a different name, and now we got it right.

COLLINS: Yes. Doesn't it normally cost 25 cents?

HEMMER: Yes.

COLLINS: So to go for $60, that's quite a... HEMMER: Indeed, you're right.

COLLINS: ... quite an increase there.

All right. Still to come this morning, some "90-Second Pop" to tide you over. Will Ferrell flexes some muscles and takes us back to the '70s. It's "Anchorman" versus "Spider-Man" at the box office. That's all coming up in "90-Second Pop," here on AMERICAN MORNING.

(BEGIN VIDEO CLIP, "ANCHORMAN")

WILL FARRELL, ACTOR, "ANCHORMAN": Oh, (UNINTELLIGIBLE). I wasn't expecting company.

(END VIDEO CLIP, "ANCHORMAN")

(COMMERCIAL BREAK)

HEMMER: It's 9:30 in New York. Time for stocks to open their day of trading today. The Dow 30 today, starting at 10,219.

A tough day yesterday for the blue chips, off about 63 points in trading yesterday. Some say it was the fallout from the Democratic ticket, others saying, nope, just oil concerns yet again today. We'll see where we go.


Aired July 7, 2004 - 9:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
(BEGIN VIDEO CLIP)
SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: I could not be more proud at the pick I have made. This man is ready for this job.

(END VIDEO CLIP)

BILL HEMMER, CNN ANCHOR: Good morning. They are teammates from here on out. John Kerry and John Edwards hitting the campaign trail together today for the first time.

A fierce battle in Iraq. American troops fighting insurgents again in the streets of Baghdad and broad daylight.

And the police case that cannot be solved by DNA evidence because the DNA points to two men.

All ahead this hour here on AMERICAN MORNING.

ANNOUNCER: From the CNN Broadcast Center in New York, this is AMERICAN MORNING with Bill Hemmer and Soledad O'Brien.

HEMMER: Good morning, everybody. Soledad's on vacation this week, getting some good rest at home. Heidi Collins with us today yet again. And we are seeing politics play out before our very eyes.

The race is on. A few moments ago, John Edwards and John Kerry, their first appearance together, bringing together their families and a few words for the media. Not many, but a few. We'll go back there and find out what was accomplished by this today and the what the schedule is for today, and why it's so significant. We'll get to all that in a moment.

HEIDI COLLINS, CNN ANCHOR: Also, we're going to get the latest from the White House in just a few minutes. The president's campaign has come out swinging against John Edwards. We want to make sure we get to that as well.

HEMMER: Also, on a much different note, coming up in a few moments, decades after the death of Jimi Hendrix, the battle now raging over what he left behind. We'll tell you what this ugly fight is all about in a matter of moments here.

COLLINS: OK. Jack Cafferty now.

Hi. JACK CAFFERTY, CNN ANCHOR: How are you doing?

The "Question of the Day," should the Catholic Church be allowed to seek government protection under the bankruptcy laws in the face of lawsuits over the child sexual abuse scandal that could cost the Church tens or hundreds of millions of dollars? Am@cnn.com. The diocese out in Oregon the first one to file for bankruptcy protection. A lot of controversy surrounding that.

HEMMER: All right. Jack, thanks.

CAFFERTY: Sure.

HEMMER: Back to our top story, top of the hour now. The Democratic presidential team, senators John Kerry and John Edwards, heading to Ohio after coming before the cameras together for the first time last hour. The senators, their wives and children speaking to reporters on the farm of Teresa Heinz Kerry a few moments ago.

Both Kerry and Edwards saying it was their aim to make America stronger at home and more influential around the world. Senator Edwards seemed to stay with a populist message when talking about his teammate, John Kerry.

(BEGIN VIDEO CLIP)

SEN. JOHN EDWARDS (D), NORTH CAROLINA: We grew up looking up to, respecting somebody who believed in faith and family and responsibility, and having everybody get a chance to do what they're capable of doing, not just a few. That's what this is about for us. And for so many Americans, this campaign is about the future, and it's about restoring hope.

People are desperate to believe again that tomorrow will be better than today. That's what John Kerry represents for the American people.

(END VIDEO CLIP)

HEMMER: That's what we saw 30 minutes ago. Back to Kelly Wallace. She saw it first hand in Fox Chapel, P.A.

Good morning, Kelly.

KELLY WALLACE, CNN NATIONAL CORRESPONDENT: Good morning, Bill.

Well, certainly, four months went into John Kerry deciding to choose John Edwards as his running mate. Several weeks also went into deciding how to introduce the running mate to the American people.

What we saw this morning, the beginning of a very well- orchestrated rollout to introduce John Edwards and John Kerry again to the American people. The goal here, trying to get as much publicity, as much coverage and as much bounce as possible.

As you said, the senators both spoke, and their wives. Many Democratic strategists believe what John Edwards brings to the ticket, some vitality that might have been needed with John Kerry, an effort to really connect with middle class voters, especially in the battleground state, such as Ohio, where they're headed to later today.

Now, they did not take any questions. They say they'll do that later. And there will be questions.

Republicans are raising a lot of questions, saying that John Kerry chose somebody whose own experience he questioned during the primary. So that is a question for John Kerry.

Also, other questions, such as, was John McCain, the Republican senator of Arizona, really his first choice? Some questions about that.

Right now, though, the goal is hitting the campaign trail. They go to Ohio, Florida, New Mexico, West Virginia, New York, ending up in North Carolina over the weekend -- Bill.

HEMMER: Today alone, the three stops, three different states, 68 electoral votes. That's not an accident. Thanks, Kelly. Talk to you again later.

WALLACE: Yes.

HEMMER: All right -- Heidi.

COLLINS: Earlier here on AMERICAN MORNING was reaction to the Kerry-Edwards ticket from both sides of the political aisle.

(BEGIN VIDEO CLIP)

JIM JOHNSON, LED KERRY'S VP SEARCH: What John Edwards has, I think, is a great feel for how to move this country forward, how to make it stronger, how to deal with the economic challenges, how to build jobs, how to deal with health care, how to deal with the burden of child care costs, how to make a possible for, really, every family to have a brighter opportunity. That's a tremendously powerful message.

He'll also be a great partner for John Kerry. I think it's a very strong ticket.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

NICOLE DEVENISH, COMMUNICATIONS DIRECTOR, BUSH-CHENEY 04: This is a ticket that stands so far out of the mainstream of America on the kitchen table issues that we think people are going to vote on: prescription drugs for seniors, tax relief for married couples, tax relief for families with children. These guys all oppose those common sense measures, and I think in November, that's what people are going to make a decision based on.

(END VIDEO CLIP) COLLINS: CNN political analyst Carlos Watson joins us now with his thoughts on the new Democratic team.

Carlos, hello to you once again, joining us from Mountain View, California, this morning. You know, we've heard it many times already in just the past couple of days that John Kerry routinely criticized Edwards' lack of experience, lack of experience on foreign policy in particular, during the primaries. In fact, let's look at a poll now if we could that has come out recently, a CNN-"USA Today"-Gallup poll, talking about the strength and weaknesses of John Edwards' experience.

We see here that, really, this limited experience in political offices shows as a strength, 40 percent, and weakness, 55 percent. Carlos, is this something that could come back to haunt John Kerry?

CARLOS WATSON, CNN POLITICAL ANALYST: You know, we'll continue to see this story unfold, I think, certainly over the next month or two. But quickly, I think voters are going to make a decision one way or another based, frankly, on his performance.

If he speaks on national security issues, on the economy, on health care in a way that inspires confidence to the nation, and I think particularly at the Democratic convention, then I think some of these questions will go away. If he seems to bumble in a way that people perceive that Dan Quayle did, then I think these questions will persist.

It's worth noting, though, that he's not the first first-term senator to quickly become a running mate. Back in 1952, Dwight Eisenhower plucked a young Richard Nixon, who was then in his first term in the Senate. In fact, it was only two years into his first term in the Senate, and ultimately, that ticket won as well. So it's not clear to me that the lack of experience will ultimately persist as an issue, despite the fact that we're in a post-9/11 era.

COLLINS: Well, you know, we've been seeing a lot of ads already, particularly the one featuring John McCain, called "First Choice." It was put into -- running like 20 minutes after the announcement by the Bush administration. Also saw that the Democrats responded with another ad, using McCain criticizing the president. It's kind of like John McCain is sort of being used as a pawn right now.

WATSON: I don't know if a pawn, or it's just a popular guy and everybody wants to be his friend. Certainly among swing voters, who make up probably one in five voters today, he's a very popular figure. Both sides want to claim support from him.

Certainly, John Kerry talked to him about the vice presidential nomination. I think you'll continue to hear talk about him in a possible Kerry cabinet should John Kerry win. So don't expect to hear the conversation go away, folks. Both sides swinging punches.

Another figure, though, who's popular on both sides of the aisle who I think you'll hear a little bit more about in the coming months is not just John McCain, but is Colin Powell. Again, Bob Woodward's book suggested that he had some real differences with the administration over the war. And so I think you'll hear Republicans cite his name in support of the president, and I think you'll hear Democrats cite his name as someone who questioned the president's judgment. So I think there are a couple of Republican figures who will play a role in both campaigns.

COLLINS: Interesting. Let's talk about the wives for just a moment, if we could, Carlos. You know, Elizabeth Edwards has been described as a spitfire, highly educated. And, also, Teresa Heinz Kerry has been noted to be a very, very compelling speaker. How do you think that these women will be used in the campaign?

WATSON: I think they're both going to be used a tremendous amount. Elizabeth Edwards, in particular. I think in getting John Edwards, John Kerry's really getting two great -- John Kerry, rather, is getting two great campaigners for the price of one.

I think as you saw Elizabeth Edwards speak, she's got a very humble style, very engaging style. A lawyer herself. I think you'll see both of them used a lot, both of them at the convention, and both of them on their own during the campaign, hitting swing states as well. So look for both candidates to be meaningful not only in the presidential campaign, but I bet Elizabeth Edwards will be used in some Senate contest in those five open southern seats as well.

COLLINS: Real quickly, Carlos, before we let you go, you said yesterday you thought the election would be close. Still think so?

WATSON: You know, again, I think it will be close, but I'm the guy who's saying that I don't think it's going to be a one or two- point contest when everything's said and done. I think we'll have a number of swings in the polls, as we've already seen. But when everything is said and done -- and you're hearing it here first -- I think this will be a campaign that will be decided by five, six, seven, maybe even eight points when all is said and done.

COLLINS: Wow, numbers! All right. Carlos Watson, we heard it here first.

WATSON: Hey, you betcha!

COLLINS: Thanks, Carlos.

WATSON: Have a great morning.

HEMMER: About nine minutes past the hour now. From Iraq and central Baghdad today, Iraqi security officers and U.S.-led forces engaging in a fierce gun battle with insurgents. We've watched the videotape earlier today, and these attacks come now as the government gives stronger security laws and putting them in place. Here's Jane Arraf in Baghdad on these stories.

Jane, hello.

JANE ARRAF, CNN BAGHDAD BUREAU CHIEF: Thank you.

HEMMER: Hi, Jane. If you can hear me, Bill Hemmer in New York. ARRAF: Hey, there. Yes, I can. Can you hear me?

HEMMER: Yes, I sure can. Jane, we're on the air. Give us more about this gun battle that took place in central Baghdad.

ARRAF: Bill, sorry about that. Yes, we're just getting the latest details on that. It does appear to be over, but our Brent Sadler, who has just returned from the scene, says it was a very eerie scene.

Shops closed just off of Haifa Street in the Sheif Maruf (ph) neighborhood, and gun fighting earlier that broke out, pretty intense. U.S. reinforcements were called for, and they came in armored vehicles and helicopters.

Now, it seems to have broken out when insurgents opened fire on the Iraqi National Guard. We have reports, Bill, of at least two people killed and up to a dozen wounded. It's unclear yet as to whether they were Iraqi National Guardsmen or civilians caught in this crossfire. But streets around there were blocked off for several hours as the fighting went on.

Now, to react to this and other elements of the insurgency, and the ongoing terrorist attacks, the government here has unveiled what it calls a national safety plan. What that would do is allow the prime minister of the interim government to impose curfews, to mobilize the armed forces, to do house-to-house searches.

According to the human rights minister and justice minister, though, who showed up to present the more humane face to this, it would have a series of checks and balances. The prime minister would need the approval of the majority of cabinet, as well as the president and his two deputies, and they will set up, they say, a committee to monitor any alleged human rights violations -- Bill.

HEMMER: Jane, in short, when you talk to the Iraqi people, do they support those new laws?

ARRAF: They sure do. It's a really interesting thing because, on the face of it, one would think that one of the first acts of a new government in a sovereign Iraq, that's supposed to be on its way to democracy, would not be to impose more controls, to improve martial law. But, in fact, Bill, people here are desperate for anything that will bring stability.

You saw those pictures of the people in the streets. Now, these should be normal streets and normal neighborhoods. Instead, they are cowering in their apartments, in their houses, as the gunfire plays out. And anything that the government can do to crack down on that, no matter how restrictive, they seem to be for -- Bill.

HEMMER: Jane, thanks. Jane Arraf in Baghdad -- Heidi.

COLLINS: About 12 minutes past the hour now. Time for a look at some of today's other news with Fredricka Whitfield.

Hey, Fredricka. Good morning.

FREDRICKA WHITFIELD, CNN ANCHOR: Hello to you. Good morning, Heidi.

Well, let's begin in Yemen, where charges have been filed in a security court there in connection with the deadly USS Cole attack. Six suspects were charged today in the planning of the October 2000 bombing. They're believed to be members of al Qaeda. Seventeen American soldiers were killed in the USS Cole attack. The charges open the first trial in the case.

In California, a tough day in court in the Scott Peterson trial. Testimony turning to the discoveries of the bodies of his wife, Laci, and their unborn son. Pictures of the remains were shown yesterday. Laci Peterson's parents left the courtroom. The trial resumes later today.

In New York, authorities are awaiting autopsy results for the youngest son of Hollywood screen legend Kirk Douglas. The body of Eric Douglas was found yesterday inside his New York City apartment. Police say there were no signs of foul play. The 46-year-old Douglas, who was the half brother of actor Michael Douglas, had reportedly been struggling with substance abuse.

The price to fill up your gas tank inching downward again. The Energy Department says gasoline prices have dropped nearly three cents, with the national average now just over $1.89 a gallon. Drivers on the West Coast still facing the highest prices.

And in Massachusetts, fans staying quiet for a Minor League Baseball game. The Brockton Rox breaking what it says is a 95-year- old record for the quietest baseball game ever played. Fans expressing their "yeas" and "boos" with place cards during the first five innings. The fans had somebody to cheer about when play wrapped up. Brockton won 3-2.

Back to you, Heidi.

HEMMER: All right.

COLLINS: All right, Fred. Thanks so much.

All right. We're going to check in with Jack now. He's got the "Question of the Day," and lots of answers of that, right?

CAFFERTY: Well, we have some.

The Archdiocese of Portland, Oregon, became the first in the nation to file for bankruptcy yesterday. They want protection from multimillion-dollar settlements in the sexual abuse scandal. The announcement that they were going after bankruptcy protection came just as jury selection was about to begin in a civil trial by two plaintiffs who are asking for $155 in damages. The archbishop in Oregon says the filing is not an attempt to avoid responsibility for any possible sex abuse claims. Now, the question is, should the Catholic Church be allowed to use bankruptcy laws to protect itself from multimillion-dollar settlements? Here's some of what you've written this morning.

John in St. Paul, Minnesota, "I'm in favor of the diocese being allowed to declare bankruptcy for an amount equal to the amount of taxes they pay. It's hypocritical of the church to claim an exemption from a duty to help fund the federal government but claim the protection of the bankruptcy laws."

Joe in Austin, Texas, writes: "It's an interesting question, one that should be answered by the Catholic presidential candidate with the trial bar partner. An answer from them would be very interesting to hear."

Bob in Ohio, "I don't think the Catholic Church should be able to escape like some of our major corporations have. However, I think that limits should be set on these lawsuits."

And Reg in Thunder Bay, Ontario, "Will the lord hear prayers any differently if they come from inside a tent rather than a splendid cathedral? Let them go bankrupt and then concentrate on the lord's work, rather than the accumulation of billions of dollars in self- wealth."

Am@cnn.com. We'll do one more bunch of these, time permitting, in about a half-hour.

HEMMER: Good deal. Thank you, Jack.

From Arizona this morning, firefighters still battling wildfires on top of a mountain top observatory. Already today, flames are within a mile of the $200 million Mount Graham International Observatory. Firefighters fearful the intense heat may damage its delicate instruments.

They're standing guard around the high-powered telescopes there. We've also seen wrapping sheets of aluminum around nearby summer cabins to protect them from the flames as well. They could use some moisture in that part of country. Here's Chad Myers watching there and the rest of the news for us.

(WEATHER REPORT)

COLLINS: All right, Chad. Thanks so much for that.

The family of legendary rocker Jimi Hendrix is embroiled in an all-out battler over his estate. CNN's Kimberly Osias has more on this bitter feud.

(BEGIN VIDEOTAPE)

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-bought (ph) catalogue 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, JIMI HENDRIX' BROTHER: This is a heritage legacy from 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, JIMI HENDRIX' ADOPTED SISTER: Where were they when we were planting the seed? Now that it's all growing and blooming, everybody has their hands out.

OSIAS (on camera): 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 $500,000, is now estimated to be valued between $80 and $100 million.

(voice-over): Leon and seven others want the will to be recognized as legitimate heirs.

J. HENDRIX: Even though there were monies made, the monies we're 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 run it.

UNIDENTIFIED MALE: They're living like -- like the well 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)

HEMMER: About 20 minutes past the hour. In a moment here on AMERICAN MORNING, DNA evidence usually a reliable way to catch a suspect. But what if there was another suspect with the identical DNA? I did not know that was possible. Sanjay stops by for that story in a moment.

COLLINS: Also ahead, it's not exactly "Dewey Beats Truman," but one tabloid's goof is getting plenty of attention. And it could fetch some big bucks, too. We'll explain next on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: There is more testimony today in Scott Peterson's double murder trial. It was a dramatic day in court yesterday. Witnesses describing finding the remains of Laci Peterson and the couple's unborn child in San Francisco Bay, and there were pictures, too.

Gloria Gomez, reporter for Sacramento TV station KOVR, back with us today outside the courtroom there in Redwood City, California.

Welcome back, Gloria.

GLORIA GOMEZ, KOVR: Good morning.

HEMMER: I want to pick up first on this polygraph expert. What did he testify yesterday, the witness for the prosecution? And did he catch Scott Peterson doubling up on what he said?

GOMEZ: Well, basically, he talked about how Scott Peterson lied to him about having an affair. He asked him right off the bat, "Are you having an affair?" And Scott Peterson said, "No." He said, "There's no third party with me or with Laci."

And then he asked him if he was having any marital problems. And Scott said, no, he wasn't. So, clearly, once again showing that Scott Peterson lied not only to police, not only to family members, but also to one of the lead polygraph experts in California.

HEMMER: Gloria, I understand you asked him directly about that same question, about a month after Laci disappeared. What did he answer to you then?

GOMEZ: Right. Well, when I first approached him, I had been tipped off that Laci's family was told by police that he was having an affair and they showed them pictures.

So I approached him that day. And I said, "Hey, Scott, I've got a report that Laci's family's about to find out from police that you're having an affair." He says, "Oh, no, that's not true." And then he goes, "All I want to do is find Laci."

I said, "Do you want to confirm you're having an affair?" "No." "Do you want to deny you're having an affair?" He said, "No, all I want to do is find Laci."

Then when I sat down for my interview with him, I said, "Why didn't you just come clean with me then and tell me you were having an affair?" He says, "Well, it was a media ploy to keep you interested in the story."

HEMMER: But Gloria, where does this take us on the count -- on the count of murder, though? And I know in the past you've said the prosecution's had a hard time connecting the dots. Did they have an easier time of it yesterday, or are we back in the same place again?

GOMEZ: Well, it's clear that they're showing that the bodies washed up miles from where Scott Peterson went fishing. So, obviously, that's the most damning evidence they have against Scott Peterson. So bringing that in clearly was a big impact for the jury. And, of course, they're trying to connect those dots.

But last week, they brought in the salacious testimony of Sean Sibly (ph). So some are saying, well, they're going one way and they're sending the jury on one path, now all of a sudden they switch gears and go to the body. So what's going on here? But, Bill, I'm finding out from sources of mine that the reason they brought in Sean Sibly (ph) last week is because she had vacation scheduled out of the country. So they had to change the lineup a little bit, bring her in before she had to leave on vacation. Obviously, this is summertime, so they have to accommodate a lot of witnesses.

HEMMER: Yes, and we're hearing from other analysts who say -- and they've been in the courtroom, too, just like you -- who say the prosecution's been plodding along in the presentation of evidence. One more thing I want to get to. The pictures that shown yesterday, what was the impact and reaction in court, Gloria?

GOMEZ: Well, very gruesome pictures of Laci and Connor Peterson. And, of course, Scott Peterson, at one point, when one of the witnesses talking about how she -- when she approached the remains, she actually looked down and she could tell the remains of Laci had been disturbed by animals, it was the first time Scott Peterson showed reaction, actually covered his face and looked down.

And, obviously, very disturbing for the jury to be watching those pictures. Laci's family walked out of court during all of this testimony. They did not want to be a part of it yesterday.

HEMMER: I can understand that. Gloria Gomez in Redwood City. Thanks, Gloria -- Heidi.

GOMEZ: Thank you.

COLLINS: As has been pointed out since yesterday morning, the "New York Post" made a pretty big mistake yesterday by pointing out that John Kerry had chosen Richard Gephardt as his running mate. Well, as you might guess, it didn't take too long for some copies of yesterday's "Post" to make it on to eBay.

Several copies are now going for more than $60 right now. The paper's editor-in-chief ate a little crow after the air, saying, "We unreservedly apologize to our readers for the mistake."

And, of course, you've probably seen today's front page of that very same paper, the "New York Post," saying kind of the same thing, except with a different name in there. And a look close, it says, "Really." We promise. "We promise" isn't there, but, "Really."

HEMMER: Almost an identical front page, too.

COLLINS: Yes.

HEMMER: With a different picture and a different name, and now we got it right.

COLLINS: Yes. Doesn't it normally cost 25 cents?

HEMMER: Yes.

COLLINS: So to go for $60, that's quite a... HEMMER: Indeed, you're right.

COLLINS: ... quite an increase there.

All right. Still to come this morning, some "90-Second Pop" to tide you over. Will Ferrell flexes some muscles and takes us back to the '70s. It's "Anchorman" versus "Spider-Man" at the box office. That's all coming up in "90-Second Pop," here on AMERICAN MORNING.

(BEGIN VIDEO CLIP, "ANCHORMAN")

WILL FARRELL, ACTOR, "ANCHORMAN": Oh, (UNINTELLIGIBLE). I wasn't expecting company.

(END VIDEO CLIP, "ANCHORMAN")

(COMMERCIAL BREAK)

HEMMER: It's 9:30 in New York. Time for stocks to open their day of trading today. The Dow 30 today, starting at 10,219.

A tough day yesterday for the blue chips, off about 63 points in trading yesterday. Some say it was the fallout from the Democratic ticket, others saying, nope, just oil concerns yet again today. We'll see where we go.