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CNN Live At Daybreak
Latest on Charges Former National Security Adviser Sandy Berger Removed Classified Notes from National Archives; Reaction to Upcoming Return of Angelo De La Cruz to Philippines
Aired July 21, 2004 - 05:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL LIN, CNN ANCHOR: His abduction caused a nation to change course in Iraq. Angelo de la Cruz is in the spotlight this morning.
It is Wednesday, July 21.
This is DAYBREAK.
And good morning.
From the CNN Global Headquarters in Atlanta, I'm Carol Lin in for Carol Costello.
And now in the news, former Filipino hostage Angelo de la Cruz is on his way home at this hour. He'll get a medical checkup in Abu Dhabi before flying on to Manila. We're going to go live to Manila in just about seven minutes.
And later today, the Senate Armed Services Committee will look at how states have responded to the needs of military families with service members overseas. Among those testifying, the wife of the commander of the 101st Airborne Division.
Four government agencies, including the National Institute on Drug Abuse and the DEA, are being sued today. Researchers in Massachusetts accuse them of violating federal law by obstructing research into marijuana for medical purposes.
And north of Los Angeles, more homes are evacuated as a new fire erupts in the desert brush.
Keeping you informed, CNN, the most trusted name in news.
Right now we want to check in with Chad Myers for a quick look at the weather -- good morning, Chad.
CHAD MYERS, CNN METEOROLOGIST: Good morning, Carol.
Welcome to the morning show.
LIN: Well, thanks. It's good to be back.
MYERS: Back to your old morning show.
LIN: As soon as I wake up.
MYERS: Oh, my.
LIN: The coffee's strong here.
MYERS: Exactly. We have -- well, we're making coffee up here if you want me to bring some down for you. We're making it very thick this morning.
(WEATHER REPORT)
LIN: Well, Sandy Berger calls it an honest mistake, but his detractors wonder if he leaked top secret information to John Kerry's presidential campaign. Sandy Berger has stepped down as an unpaid foreign policy adviser to John Kerry.
CNN justice correspondent Kelli Arena has more on this latest controversy.
(BEGIN VIDEOTAPE)
KELLI ARENA, CNN CORRESPONDENT (voice-over): Sandy Berger faced the cameras to say for himself what his friends and lawyer had been saying for him.
SANDY BERGER, FORMER NATIONAL SECURITY ADVISER: (AUDIO GAP) documents. I made an honest mistake. It is one that I deeply regret. I dealt with this issue in October, 2003 fully and completely. Everything that I have done all along in this process has been for the purpose of aiding and supporting the work of the 9/11 Commission and any suggestion to the contrary is simply absolutely wrong. Thank you.
ARENA: Law enforcement sources say two classified documents are still missing, drafts of a critical review of the Clinton administration's handling of the millennium terror plot. In an earlier statement, Berger said he may have inadvertently thrown them out. Investigators say there are two issues here, the first the removal of classified documents, which Berger's lawyer says he accidentally put in a portfolio.
JAMES COMEY, DEPUTY ATTORNEY GENERAL: We take issues of classified information very, very seriously.
ARENA: At the same time, Berger admits that he intentionally took handwritten notes he put together while reviewing the documents. He was supposed to get those cleared by archives personnel but did not.
LANNY BREUER, BERGER'S ATTORNEY: He knew it was a violation of archives procedure. It's not against the law. No one has suggested to him it's against the law. The Department of Justice has not been concerned with it.
ARENA: Law enforcement sources say archives staff told investigators Berger stuffed the notes in his pants and jacket. Those sources also say one archives staffer told agents Berger also placed something in his socks, which Berger associates heatedly deny and there was no camera in the room. LANNY DAVIS, FORMER WHITE HOUSE SPECIAL COUNSEL: I suggest that person is lying and, if that person has the guts let's see who it is who made the comment that Sandy Berger stuffed something into his socks.
(END VIDEOTAPE)
LIN: Well, Sandy Berger's former boss is coming to his defense. Former President Bill Clinton says he believes his former national security adviser and adds that he's going to get through this controversy just fine.
(BEGIN VIDEO CLIP)
BILL CLINTON, FORMER PRESIDENT OF THE UNITED STATES: I believe his explanation. He did a fabulous job against terror. All those records were documented and the ones in question involves what we did in the lead up to the Millennium, where we had no terrorist incidents and we prevented a lot of them. So I think that, you know, he's just cooperating. He said he's going to do it. But...
QUESTION: What do you think...
CLINTON: That man worked his heart out for eight years and he was there for, you know, all day, eight, 10, 12 hours, four days in a row. And he said what happened and I have no reason not to believe him.
(END VIDEO CLIP)
LIN: Well, the 9/11 Commission might take issue with what the former president says about fighting terrorism on his watch. A report in today's "Washington Post" says the Commission's report will detail as many as 10 missed opportunities by the Clinton and Bush administrations to detect or stop the 9/11 attacks. Still, the newspaper says the Commission will not say the attacks could have been prevented.
And President Bush's national security adviser, Condoleezza Rice, gets a briefing today on the Commission's findings and recommendations. She'll be briefed by the Commission chairman and vice chairman. The White House says the president will then get a copy of that briefing tomorrow morning.
President Bush is promising the next four years will be peaceful and prosperous. He was speaking to a crowd during a campaign stop in the show me state of Missouri. The president is back at the White House this morning.
And presidential hopeful John Kerry has no public events today. The senator is spending this morning in Massachusetts and later he travels to Michigan.
John Kerry's running mate, Senator John Edwards, and his wife Elizabeth, will be guests on "LARRY KING LIVE" tonight. You can watch that at 9:00 Eastern, 6:00 Pacific. Well, they haven't found the so-called smoking gun. But a U.S. senator says a new report on Iraq's weapons of mass destruction does provide a good deal of new information. An international team just gave the Senate Armed Services Committee a confidential status report on its investigation into WMDs. Chairman John Warner says the evidence suggests Saddam Hussein was up to something.
(BEGIN VIDEO CLIP)
SEN. JOHN WARNER (R-VA), ARMED SERVICES CHAIRMAN: I'm not suggesting dramatic discoveries, but incrementally, steady bits and pieces that show that Saddam Hussein was clearly defying the United Nations security regulations and mandates and that he and his government had a continuing interest in maintaining the potential to shift to the production of various types of weapons of mass destruction in a short period of time.
(END VIDEO CLIP)
LIN: The Senate Armed Services is planning to issue its final report in September.
Well, the Filipino man released by his abductors in Iraq is expected to arrive back in the Philippines today. He left Baghdad just a few hours ago.
Live now to our Maria Ressa in Manila, where the family of Angelo de la Cruz awaits his return -- Maria, obviously a lot of controversy around this release. But the family has got to be thrilled.
MARIA RESSA, CNN CORRESPONDENT: Absolutely thrilled. Right now in his hometown, his relatives -- he's got eight children. His relatives, their friends, their neighbors are -- have -- are -- basically have finished putting up yellow ribbons around the town. They're cooking his favorite food. They're getting ready for a day's long feast.
Meantime, Angelo de la Cruz right now is on a flight flying into Abu Dhabi in the United Arab Emirates. There he is expected to get a medical checkup. Also on their way to Abu Dhabi are his wife and his brother. They'll have a short reunion there before finally getting on the long flight back to the Philippines -- Carol.
LIN: Maria, what about the political fallout from this? I mean the United States has the option of withholding aid from the Philippines. Obviously the Bush administration not happy that the Philippines cooperated with the terrorists.
RESSA: Absolutely. Critics here in the Philippines are warning that that is a possible fallout and a possibility that the Philippines must learn to contend with. However, President Arroyo broke a two week silence to announce to her people that Angelo de la Cruz had been safely released. She also defended her government's position, pointing to the more than eight million Filipino workers overseas, saying that this is her government's priority, that the Philippine government made this decision in line with its national interests -- Carol.
LIN: All right, thanks very much, Maria Ressa.
As we see, President Arroyo there speaking to the media.
Well, here are some stories making news across America.
(AUDIO GAP)
LIN: ... who have approved an amendment to the city's voice ordinance that allows the call to prayers to be broadcast over loudspeakers. At least two mosques in the city currently broadcast the Arab chants.
As you can probably tell, I've lost my microphone. I'm getting some assistance to get it back.
Here's another one. Prosecutors in the Scott Peterson murder trial have once again turned their attention toward his affair with Amber Frey. A Modesto detective testified that Peterson opened a private mailbox the day before his wife disappeared and that he received mail from Frey in that mailbox shortly after Laci Peterson's disappearance.
The search for a missing pregnant woman will resume this morning near Salt Lake City. More than 1,200 volunteers have been helping police in the search for 27-year-old Lori K. Hacking. She was last seen on Monday. Now, on Thursday she learned that she was five weeks pregnant. We'll have much more on the search coming up a little later. The missing woman's mother and father-in-law will fill in some of the details. And that comes your way on "AMERICAN MORNING" at 7:30 Eastern.
There wasn't a wreck and, in many cases, the cars aren't even moving. But something happens that kills a child. At 19 minutes after the hour, we'll tell you how one group says it's time for a change.
Boston rolls out the red carpet and the red tape for next week's Democratic convention. At 33 after, why some people say security measures are locking civil liberties out.
And KFC feels the heat and tries to get out of the line of fire. What can the fast food chain do and what does it say it has to say about animal abuse?
(COMMERCIAL BREAK)
LIN: Your news, money, weather and sports.
It's now 13 past 5:00 on the East Coast.
And here's what's happening all new this morning.
An American soldier attached to the 1st Infantry Division has been killed by a roadside bomb in Baghdad. Six other soldiers were wounded in the blast. Nine hundred and three American soldiers have died since the beginning of the war in Iraq.
And investigators looking at the World Trade Center attacks say more people died below the impact areas than previously thought. The group is trying to make skyscrapers safer by understanding how people were able to escape the Towers on September 11.
And in money, Microsoft is rewarding its investors with a special $3 a share dividend payout. Founder Bill Gates stands to make more than $3 billion off the dividend. He says the entire bonus will be donated to his charity foundation.
And in culture, Clear Channel Communications is expected to file a $3 million lawsuit against shock jock Howard Stern. The company claims he breached his contract by airing indecent programs. Last week, Stern sued Clear Channel for pulling him off six radio stations.
In sports, time again for the Tour de France. Lance Armstrong may have captured the yellow jersey for good after a strong win in the 15th stage. Armstrong leads by more than a minute, with just five stages left.
And in weather...
MYERS: Carol, it looks good across the country today.
How are you this morning?
(WEATHER REPORT)
LIN: Child safety advocates want Congress to make the auto industry change gears.
CNN's Julie Vallese reports the non-profit group Kids and Cars wants more child safety features in American built vehicles.
(BEGIN VIDEOTAPE)
JULIE VALLESE, CNN CORRESPONDENT (voice-over): A nurse, a business owner and a pediatrician -- all parents whose children were victims of not crashes, but mishaps involving cars.
BRITT GATES, FOUNDER, ZOE FOUNDATION: Zoe leaned through the open window to pet a dog and in doing so she knelt on the up switch of the power window. It wasn't a fair match. And now Zoe is gone.
VALLESE: Becky Hergatt's son survived his encounter with a power window. She credits her training as a nurse for saving his life.
But none of pediatrician Greg Gulbransen's training could have saved his son Cameron when the family car accidentally backed over the boy.
DR. GREG GULBRANSEN, SON KILLED IN CAR ACCIDENT: He was bleeding to death from a massive head injury and he was holding his blue blanket, looking up in the sky with his little pajamas on. VALLESE: Seven children have been killed by power windows this year. Ninety-one died in back over accidents last year, according to the non-profit group, Kids and Cars. Now it is lobbying Congress to mandate more child safety features on cars.
JANETTE FENNELL, KIDS AND CARS: It's time to prioritize our children as more important than a DVD player, than cup holders, than seat warmers and moon roofs.
VALLESE (on camera): The Senate version of the transportation bill does address safety issues such as requiring car manufacturers to install auto reverse windows and to study the effectiveness of technologies that keep a car from backing into a person. The House version does not.
(voice-over): Law makers are hashing out how the final bill will read but most suspect that won't come until well after the November elections.
Julie Vallese, CNN, Capitol Hill.
(END VIDEOTAPE)
LIN: Let's see if we're safe to invest today.
Let's get a check on the international markets.
And for that, we're going to turn to our Todd Benjamin, checking the financial numbers for us in London -- good day, Todd.
TODD BENJAMIN, CNN CORRESPONDENT: Good morning, Carol.
A good session here in Europe. London's FTSE's up nearly 1 percent. The DAX in Frankfurt and the CAC in Paris up better than 1 percent.
The feel good factor spilling over from Wall Street, which had a positive session on Tuesday following upbeat comments from Fed Chairman Alan Greenspan.
The big focus for the U.S. markets today, no doubt about it -- Microsoft. Microsoft announced after the close of trading yesterday a $75 billion payback to shareholders. This is the way it's going to break down. If you're a shareholder of Microsoft, you're going to get a special one time payment of $3 a share. Your dividend is going to be increased on an annual basis from $0.16 to $0.32. And over the next four years, Microsoft will buy back $30 billion worth of stock. And Microsoft's stock was up more than 5 percent in after hours trading, nearly 30 bucks a share.
Now, the biggest beneficiaries of this are going to be the chairman, Bill Gates. The special payout means that he will receive more than $3 billion. But he says he's going to donate that money to his charitable foundation. And Steve Balmer, the chief executive, his special one time payout will be more than $1 billion. And as a result of just the increase in the dividend, just increasing it $0.16, to $0.32 a share, get this, Carol, that Bill Gates will get an extra $360 million a year.
LIN: Wow! BENJAMIN: And Steve Balmer will get an extra $132 million a year.
LIN: Wow! All right... BENJAMIN: Not bad money if you can get it.
LIN: Yes, you wonder why Bill Gates... BENJAMIN: The futures are looking up.
LIN: Yes! You wonder why people, Bill Gates didn't give a payout to shareholders before, since he's the biggest shareholder. BENJAMIN: Well, that's -- yes, no, that's a very good question. Look, he, you know, he's a very, very rich man. The reason they didn't give the payout earlier was because they had this, all this liability hanging over them, right?
LIN: Right. BENJAMIN: That's been settled now in the U.S. Now they feel they can free up their cash for other purposes. And they have some $60 billion in terms of their cash pile. So they can afford to do this. Shareholders have been very patient. The stock was basically flat for the last six years, no increase. And now it's payback time and the shareholders are finally being rewarded.
LIN: Yes, including the owner himself.
Thanks very much, Todd. BENJAMIN: Absolutely.
LIN: Later on DAYBREAK, keeping up with Hollywood -- is it really a good idea to follow diet advice from the stars?
And later on DAYBREAK, a closer look at their extreme methods to stay thin.
But first, urban UFOs -- people paying thousands of dollars for unusual toys. Only our Jeanne Moos can show you what it's all about, up next.
(COMMERCIAL BREAK)
LIN: A new bike is popping up in unexpected places. It's got so many seats that it puts the bicycle built for two to shame.
Our Jeanne Moos takes us for a ride.
(BEGIN VIDEOTAPE)
UNIDENTIFIED MALE: Yes!
JEANNE MOOS, CNN CORRESPONDENT (voice-over): You won't see this bike at the Tour de France.
UNIDENTIFIED MALE: What is it, sir? What is it?
MOOS: This bike seats seven. And if that doesn't make you wonder, Wonder Woman in drag might. UNIDENTIFIED FEMALE: Hi, ladies.
MOOS: The seven seat bike is turning heads in Times Square, even Spiderman's head.
UNIDENTIFIED MALE: Yes! Hold on tight, guys. Wooh!
MOOS: There are about a dozen of these seven seaters in this country. The ones in Times Square cater to tourists.
UNIDENTIFIED FEMALE: I love it. This is awesome.
MOOS: One person steers. All seven pedal. The inventor is an American artist living in Amsterdam. Eric Staller is known for creations he calls urban UFOs, like the light mobile, a Volkswagen Bug with computerized lighting patterns, and the bubbleheads, wearing Plexiglas spheres, and even the bubble boat with its top made out of a grain silo. It sort of makes a seven seat bike seem tame.
UNIDENTIFIED MALE: This is the SUV of bicycles.
MOOS: Owner Don Demidi (ph) paid $16,000 for what's called the conference bike and he hopes to acquire a fleet of 10.
UNIDENTIFIED MALE: I've got hydraulic brakes down below it.
MOOS: It's got what's called a universal joint, one gear, front wheel steering.
(on camera): Has it taken out any pedestrians, ever?
UNIDENTIFIED MALE: Only the ones I didn't like.
UNIDENTIFIED FEMALE: Watch out, girl.
UNIDENTIFIED MALE: It says walk.
UNIDENTIFIED FEMALE: Get over yourself, buddy.
MOOS (voice-over): Despite a couple of close calls...
UNIDENTIFIED MALE: Oh, sorry about that.
MOOS: ... Paul Crichi (ph) says he's never had an accident.
(on camera): Ooh, we're going to hit that (UNINTELLIGIBLE). You feel the bumps.
UNIDENTIFIED MALE: Oh, yes, you do.
MOOS (voice-over): Almost as eye catching as the bike...
CYBIL: Oh my gosh, make some noise.
MOOS: ... is a driver in drag named Cybil.
CYBIL: Paddle forward, honey, forward.
MOOS: On a bicycle built for seven, you can even powder your nose.
UNIDENTIFIED FEMALE: It's better than the naked cowboy.
MOOS: Though we recommend against riding the seven seat bike naked.
UNIDENTIFIED MALE: Like a naked cowboy.
MOOS: Jeanne Moos, CNN, New York.
(END VIDEOTAPE)
LIN: The naked cowboy always seems to make it into Jeanne's pieces.
Anyway, here's what's ahead in the next half hour.
Caught on tape -- PETA goes after a popular fast food chain, attacking its alleged mistreatment of chickens. We're going to explain.
Plus, Boston's security -- we're going to look at the measures being put in place to make sure the Dems are safe. But is it too much? And missing -- classified information from a major U.S. nuclear facility is gone. Details in the next half hour of DAYBREAK.
(COMMERCIAL BREAK)
LIN: Going home -- a former hostage in Iraq prepares for a celebration.
It's Wednesday, July 21, and this is DAYBREAK.
Good morning and welcome to the second half hour of DAYBREAK.
From CNN's Global Headquarters in Atlanta, I'm Carol Lin in for Carol Costello.
Now in the news, a Filipino truck driver says his Iraqi kidnappers sharpened a sword and began poking his neck just for the right spot to cut. Angelo de la Cruz is on his way back home right now, after spending two weeks as a hostage.
National Security Adviser Condoleezza Rice will hear today about the recommendations the 9/11 Commission is making. She's set to meet with the Commission's chairman and vice chairman.
The search for a missing pregnant woman will resume this morning near Salt Lake City. More than 1,2000 volunteers have been helping police in the search for 27-year-old Lori K. Hacking. She was last seen on Monday.
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Aired July 21, 2004 - 05:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL LIN, CNN ANCHOR: His abduction caused a nation to change course in Iraq. Angelo de la Cruz is in the spotlight this morning.
It is Wednesday, July 21.
This is DAYBREAK.
And good morning.
From the CNN Global Headquarters in Atlanta, I'm Carol Lin in for Carol Costello.
And now in the news, former Filipino hostage Angelo de la Cruz is on his way home at this hour. He'll get a medical checkup in Abu Dhabi before flying on to Manila. We're going to go live to Manila in just about seven minutes.
And later today, the Senate Armed Services Committee will look at how states have responded to the needs of military families with service members overseas. Among those testifying, the wife of the commander of the 101st Airborne Division.
Four government agencies, including the National Institute on Drug Abuse and the DEA, are being sued today. Researchers in Massachusetts accuse them of violating federal law by obstructing research into marijuana for medical purposes.
And north of Los Angeles, more homes are evacuated as a new fire erupts in the desert brush.
Keeping you informed, CNN, the most trusted name in news.
Right now we want to check in with Chad Myers for a quick look at the weather -- good morning, Chad.
CHAD MYERS, CNN METEOROLOGIST: Good morning, Carol.
Welcome to the morning show.
LIN: Well, thanks. It's good to be back.
MYERS: Back to your old morning show.
LIN: As soon as I wake up.
MYERS: Oh, my.
LIN: The coffee's strong here.
MYERS: Exactly. We have -- well, we're making coffee up here if you want me to bring some down for you. We're making it very thick this morning.
(WEATHER REPORT)
LIN: Well, Sandy Berger calls it an honest mistake, but his detractors wonder if he leaked top secret information to John Kerry's presidential campaign. Sandy Berger has stepped down as an unpaid foreign policy adviser to John Kerry.
CNN justice correspondent Kelli Arena has more on this latest controversy.
(BEGIN VIDEOTAPE)
KELLI ARENA, CNN CORRESPONDENT (voice-over): Sandy Berger faced the cameras to say for himself what his friends and lawyer had been saying for him.
SANDY BERGER, FORMER NATIONAL SECURITY ADVISER: (AUDIO GAP) documents. I made an honest mistake. It is one that I deeply regret. I dealt with this issue in October, 2003 fully and completely. Everything that I have done all along in this process has been for the purpose of aiding and supporting the work of the 9/11 Commission and any suggestion to the contrary is simply absolutely wrong. Thank you.
ARENA: Law enforcement sources say two classified documents are still missing, drafts of a critical review of the Clinton administration's handling of the millennium terror plot. In an earlier statement, Berger said he may have inadvertently thrown them out. Investigators say there are two issues here, the first the removal of classified documents, which Berger's lawyer says he accidentally put in a portfolio.
JAMES COMEY, DEPUTY ATTORNEY GENERAL: We take issues of classified information very, very seriously.
ARENA: At the same time, Berger admits that he intentionally took handwritten notes he put together while reviewing the documents. He was supposed to get those cleared by archives personnel but did not.
LANNY BREUER, BERGER'S ATTORNEY: He knew it was a violation of archives procedure. It's not against the law. No one has suggested to him it's against the law. The Department of Justice has not been concerned with it.
ARENA: Law enforcement sources say archives staff told investigators Berger stuffed the notes in his pants and jacket. Those sources also say one archives staffer told agents Berger also placed something in his socks, which Berger associates heatedly deny and there was no camera in the room. LANNY DAVIS, FORMER WHITE HOUSE SPECIAL COUNSEL: I suggest that person is lying and, if that person has the guts let's see who it is who made the comment that Sandy Berger stuffed something into his socks.
(END VIDEOTAPE)
LIN: Well, Sandy Berger's former boss is coming to his defense. Former President Bill Clinton says he believes his former national security adviser and adds that he's going to get through this controversy just fine.
(BEGIN VIDEO CLIP)
BILL CLINTON, FORMER PRESIDENT OF THE UNITED STATES: I believe his explanation. He did a fabulous job against terror. All those records were documented and the ones in question involves what we did in the lead up to the Millennium, where we had no terrorist incidents and we prevented a lot of them. So I think that, you know, he's just cooperating. He said he's going to do it. But...
QUESTION: What do you think...
CLINTON: That man worked his heart out for eight years and he was there for, you know, all day, eight, 10, 12 hours, four days in a row. And he said what happened and I have no reason not to believe him.
(END VIDEO CLIP)
LIN: Well, the 9/11 Commission might take issue with what the former president says about fighting terrorism on his watch. A report in today's "Washington Post" says the Commission's report will detail as many as 10 missed opportunities by the Clinton and Bush administrations to detect or stop the 9/11 attacks. Still, the newspaper says the Commission will not say the attacks could have been prevented.
And President Bush's national security adviser, Condoleezza Rice, gets a briefing today on the Commission's findings and recommendations. She'll be briefed by the Commission chairman and vice chairman. The White House says the president will then get a copy of that briefing tomorrow morning.
President Bush is promising the next four years will be peaceful and prosperous. He was speaking to a crowd during a campaign stop in the show me state of Missouri. The president is back at the White House this morning.
And presidential hopeful John Kerry has no public events today. The senator is spending this morning in Massachusetts and later he travels to Michigan.
John Kerry's running mate, Senator John Edwards, and his wife Elizabeth, will be guests on "LARRY KING LIVE" tonight. You can watch that at 9:00 Eastern, 6:00 Pacific. Well, they haven't found the so-called smoking gun. But a U.S. senator says a new report on Iraq's weapons of mass destruction does provide a good deal of new information. An international team just gave the Senate Armed Services Committee a confidential status report on its investigation into WMDs. Chairman John Warner says the evidence suggests Saddam Hussein was up to something.
(BEGIN VIDEO CLIP)
SEN. JOHN WARNER (R-VA), ARMED SERVICES CHAIRMAN: I'm not suggesting dramatic discoveries, but incrementally, steady bits and pieces that show that Saddam Hussein was clearly defying the United Nations security regulations and mandates and that he and his government had a continuing interest in maintaining the potential to shift to the production of various types of weapons of mass destruction in a short period of time.
(END VIDEO CLIP)
LIN: The Senate Armed Services is planning to issue its final report in September.
Well, the Filipino man released by his abductors in Iraq is expected to arrive back in the Philippines today. He left Baghdad just a few hours ago.
Live now to our Maria Ressa in Manila, where the family of Angelo de la Cruz awaits his return -- Maria, obviously a lot of controversy around this release. But the family has got to be thrilled.
MARIA RESSA, CNN CORRESPONDENT: Absolutely thrilled. Right now in his hometown, his relatives -- he's got eight children. His relatives, their friends, their neighbors are -- have -- are -- basically have finished putting up yellow ribbons around the town. They're cooking his favorite food. They're getting ready for a day's long feast.
Meantime, Angelo de la Cruz right now is on a flight flying into Abu Dhabi in the United Arab Emirates. There he is expected to get a medical checkup. Also on their way to Abu Dhabi are his wife and his brother. They'll have a short reunion there before finally getting on the long flight back to the Philippines -- Carol.
LIN: Maria, what about the political fallout from this? I mean the United States has the option of withholding aid from the Philippines. Obviously the Bush administration not happy that the Philippines cooperated with the terrorists.
RESSA: Absolutely. Critics here in the Philippines are warning that that is a possible fallout and a possibility that the Philippines must learn to contend with. However, President Arroyo broke a two week silence to announce to her people that Angelo de la Cruz had been safely released. She also defended her government's position, pointing to the more than eight million Filipino workers overseas, saying that this is her government's priority, that the Philippine government made this decision in line with its national interests -- Carol.
LIN: All right, thanks very much, Maria Ressa.
As we see, President Arroyo there speaking to the media.
Well, here are some stories making news across America.
(AUDIO GAP)
LIN: ... who have approved an amendment to the city's voice ordinance that allows the call to prayers to be broadcast over loudspeakers. At least two mosques in the city currently broadcast the Arab chants.
As you can probably tell, I've lost my microphone. I'm getting some assistance to get it back.
Here's another one. Prosecutors in the Scott Peterson murder trial have once again turned their attention toward his affair with Amber Frey. A Modesto detective testified that Peterson opened a private mailbox the day before his wife disappeared and that he received mail from Frey in that mailbox shortly after Laci Peterson's disappearance.
The search for a missing pregnant woman will resume this morning near Salt Lake City. More than 1,200 volunteers have been helping police in the search for 27-year-old Lori K. Hacking. She was last seen on Monday. Now, on Thursday she learned that she was five weeks pregnant. We'll have much more on the search coming up a little later. The missing woman's mother and father-in-law will fill in some of the details. And that comes your way on "AMERICAN MORNING" at 7:30 Eastern.
There wasn't a wreck and, in many cases, the cars aren't even moving. But something happens that kills a child. At 19 minutes after the hour, we'll tell you how one group says it's time for a change.
Boston rolls out the red carpet and the red tape for next week's Democratic convention. At 33 after, why some people say security measures are locking civil liberties out.
And KFC feels the heat and tries to get out of the line of fire. What can the fast food chain do and what does it say it has to say about animal abuse?
(COMMERCIAL BREAK)
LIN: Your news, money, weather and sports.
It's now 13 past 5:00 on the East Coast.
And here's what's happening all new this morning.
An American soldier attached to the 1st Infantry Division has been killed by a roadside bomb in Baghdad. Six other soldiers were wounded in the blast. Nine hundred and three American soldiers have died since the beginning of the war in Iraq.
And investigators looking at the World Trade Center attacks say more people died below the impact areas than previously thought. The group is trying to make skyscrapers safer by understanding how people were able to escape the Towers on September 11.
And in money, Microsoft is rewarding its investors with a special $3 a share dividend payout. Founder Bill Gates stands to make more than $3 billion off the dividend. He says the entire bonus will be donated to his charity foundation.
And in culture, Clear Channel Communications is expected to file a $3 million lawsuit against shock jock Howard Stern. The company claims he breached his contract by airing indecent programs. Last week, Stern sued Clear Channel for pulling him off six radio stations.
In sports, time again for the Tour de France. Lance Armstrong may have captured the yellow jersey for good after a strong win in the 15th stage. Armstrong leads by more than a minute, with just five stages left.
And in weather...
MYERS: Carol, it looks good across the country today.
How are you this morning?
(WEATHER REPORT)
LIN: Child safety advocates want Congress to make the auto industry change gears.
CNN's Julie Vallese reports the non-profit group Kids and Cars wants more child safety features in American built vehicles.
(BEGIN VIDEOTAPE)
JULIE VALLESE, CNN CORRESPONDENT (voice-over): A nurse, a business owner and a pediatrician -- all parents whose children were victims of not crashes, but mishaps involving cars.
BRITT GATES, FOUNDER, ZOE FOUNDATION: Zoe leaned through the open window to pet a dog and in doing so she knelt on the up switch of the power window. It wasn't a fair match. And now Zoe is gone.
VALLESE: Becky Hergatt's son survived his encounter with a power window. She credits her training as a nurse for saving his life.
But none of pediatrician Greg Gulbransen's training could have saved his son Cameron when the family car accidentally backed over the boy.
DR. GREG GULBRANSEN, SON KILLED IN CAR ACCIDENT: He was bleeding to death from a massive head injury and he was holding his blue blanket, looking up in the sky with his little pajamas on. VALLESE: Seven children have been killed by power windows this year. Ninety-one died in back over accidents last year, according to the non-profit group, Kids and Cars. Now it is lobbying Congress to mandate more child safety features on cars.
JANETTE FENNELL, KIDS AND CARS: It's time to prioritize our children as more important than a DVD player, than cup holders, than seat warmers and moon roofs.
VALLESE (on camera): The Senate version of the transportation bill does address safety issues such as requiring car manufacturers to install auto reverse windows and to study the effectiveness of technologies that keep a car from backing into a person. The House version does not.
(voice-over): Law makers are hashing out how the final bill will read but most suspect that won't come until well after the November elections.
Julie Vallese, CNN, Capitol Hill.
(END VIDEOTAPE)
LIN: Let's see if we're safe to invest today.
Let's get a check on the international markets.
And for that, we're going to turn to our Todd Benjamin, checking the financial numbers for us in London -- good day, Todd.
TODD BENJAMIN, CNN CORRESPONDENT: Good morning, Carol.
A good session here in Europe. London's FTSE's up nearly 1 percent. The DAX in Frankfurt and the CAC in Paris up better than 1 percent.
The feel good factor spilling over from Wall Street, which had a positive session on Tuesday following upbeat comments from Fed Chairman Alan Greenspan.
The big focus for the U.S. markets today, no doubt about it -- Microsoft. Microsoft announced after the close of trading yesterday a $75 billion payback to shareholders. This is the way it's going to break down. If you're a shareholder of Microsoft, you're going to get a special one time payment of $3 a share. Your dividend is going to be increased on an annual basis from $0.16 to $0.32. And over the next four years, Microsoft will buy back $30 billion worth of stock. And Microsoft's stock was up more than 5 percent in after hours trading, nearly 30 bucks a share.
Now, the biggest beneficiaries of this are going to be the chairman, Bill Gates. The special payout means that he will receive more than $3 billion. But he says he's going to donate that money to his charitable foundation. And Steve Balmer, the chief executive, his special one time payout will be more than $1 billion. And as a result of just the increase in the dividend, just increasing it $0.16, to $0.32 a share, get this, Carol, that Bill Gates will get an extra $360 million a year.
LIN: Wow! BENJAMIN: And Steve Balmer will get an extra $132 million a year.
LIN: Wow! All right... BENJAMIN: Not bad money if you can get it.
LIN: Yes, you wonder why Bill Gates... BENJAMIN: The futures are looking up.
LIN: Yes! You wonder why people, Bill Gates didn't give a payout to shareholders before, since he's the biggest shareholder. BENJAMIN: Well, that's -- yes, no, that's a very good question. Look, he, you know, he's a very, very rich man. The reason they didn't give the payout earlier was because they had this, all this liability hanging over them, right?
LIN: Right. BENJAMIN: That's been settled now in the U.S. Now they feel they can free up their cash for other purposes. And they have some $60 billion in terms of their cash pile. So they can afford to do this. Shareholders have been very patient. The stock was basically flat for the last six years, no increase. And now it's payback time and the shareholders are finally being rewarded.
LIN: Yes, including the owner himself.
Thanks very much, Todd. BENJAMIN: Absolutely.
LIN: Later on DAYBREAK, keeping up with Hollywood -- is it really a good idea to follow diet advice from the stars?
And later on DAYBREAK, a closer look at their extreme methods to stay thin.
But first, urban UFOs -- people paying thousands of dollars for unusual toys. Only our Jeanne Moos can show you what it's all about, up next.
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LIN: A new bike is popping up in unexpected places. It's got so many seats that it puts the bicycle built for two to shame.
Our Jeanne Moos takes us for a ride.
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UNIDENTIFIED MALE: Yes!
JEANNE MOOS, CNN CORRESPONDENT (voice-over): You won't see this bike at the Tour de France.
UNIDENTIFIED MALE: What is it, sir? What is it?
MOOS: This bike seats seven. And if that doesn't make you wonder, Wonder Woman in drag might. UNIDENTIFIED FEMALE: Hi, ladies.
MOOS: The seven seat bike is turning heads in Times Square, even Spiderman's head.
UNIDENTIFIED MALE: Yes! Hold on tight, guys. Wooh!
MOOS: There are about a dozen of these seven seaters in this country. The ones in Times Square cater to tourists.
UNIDENTIFIED FEMALE: I love it. This is awesome.
MOOS: One person steers. All seven pedal. The inventor is an American artist living in Amsterdam. Eric Staller is known for creations he calls urban UFOs, like the light mobile, a Volkswagen Bug with computerized lighting patterns, and the bubbleheads, wearing Plexiglas spheres, and even the bubble boat with its top made out of a grain silo. It sort of makes a seven seat bike seem tame.
UNIDENTIFIED MALE: This is the SUV of bicycles.
MOOS: Owner Don Demidi (ph) paid $16,000 for what's called the conference bike and he hopes to acquire a fleet of 10.
UNIDENTIFIED MALE: I've got hydraulic brakes down below it.
MOOS: It's got what's called a universal joint, one gear, front wheel steering.
(on camera): Has it taken out any pedestrians, ever?
UNIDENTIFIED MALE: Only the ones I didn't like.
UNIDENTIFIED FEMALE: Watch out, girl.
UNIDENTIFIED MALE: It says walk.
UNIDENTIFIED FEMALE: Get over yourself, buddy.
MOOS (voice-over): Despite a couple of close calls...
UNIDENTIFIED MALE: Oh, sorry about that.
MOOS: ... Paul Crichi (ph) says he's never had an accident.
(on camera): Ooh, we're going to hit that (UNINTELLIGIBLE). You feel the bumps.
UNIDENTIFIED MALE: Oh, yes, you do.
MOOS (voice-over): Almost as eye catching as the bike...
CYBIL: Oh my gosh, make some noise.
MOOS: ... is a driver in drag named Cybil.
CYBIL: Paddle forward, honey, forward.
MOOS: On a bicycle built for seven, you can even powder your nose.
UNIDENTIFIED FEMALE: It's better than the naked cowboy.
MOOS: Though we recommend against riding the seven seat bike naked.
UNIDENTIFIED MALE: Like a naked cowboy.
MOOS: Jeanne Moos, CNN, New York.
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LIN: The naked cowboy always seems to make it into Jeanne's pieces.
Anyway, here's what's ahead in the next half hour.
Caught on tape -- PETA goes after a popular fast food chain, attacking its alleged mistreatment of chickens. We're going to explain.
Plus, Boston's security -- we're going to look at the measures being put in place to make sure the Dems are safe. But is it too much? And missing -- classified information from a major U.S. nuclear facility is gone. Details in the next half hour of DAYBREAK.
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LIN: Going home -- a former hostage in Iraq prepares for a celebration.
It's Wednesday, July 21, and this is DAYBREAK.
Good morning and welcome to the second half hour of DAYBREAK.
From CNN's Global Headquarters in Atlanta, I'm Carol Lin in for Carol Costello.
Now in the news, a Filipino truck driver says his Iraqi kidnappers sharpened a sword and began poking his neck just for the right spot to cut. Angelo de la Cruz is on his way back home right now, after spending two weeks as a hostage.
National Security Adviser Condoleezza Rice will hear today about the recommendations the 9/11 Commission is making. She's set to meet with the Commission's chairman and vice chairman.
The search for a missing pregnant woman will resume this morning near Salt Lake City. More than 1,2000 volunteers have been helping police in the search for 27-year-old Lori K. Hacking. She was last seen on Monday.
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