Return to Transcripts main page
CNN Live At Daybreak
New York City, New Jersey, Washington Under Heightened Terror Alert
Aired August 02, 2004 - 06:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Extra security, extra precautions this morning in New York, New Jersey and D.C. as another terrorist threat looms.
It is Monday, August 2. This is DAYBREAK.
And good morning to you from the CNN global headquarters in Atlanta. I'm Carol Costello.
Now in the news, Washington, New York City and northern New Jersey are on orange alert. The government is convinced al Qaeda is preparing to strike financial institutions in those areas with car bombs.
The Federal Aviation Administration is working to reduce flight delays and congestion at airports. Today the feds will announce a number of flights to be cut at Chicago's O'Hare airport.
President Bush is ready to start implementing some of the 9/11 Commission's recommendations. Officials say he could issue orders as early as today, but he is not prepared to move on the panel's main recommendation: the creation of a new intelligence chief.
And the first named storm of the season is off the coast of South Carolina. Tropical Storm Alex isn't moving much, but it is expected to make its way north.
(WEATHER BREAK)
COSTELLO: We have more to tell you about that terror alert. The threat level for financial sectors of New York, Washington and northern New Jersey has been raised to orange, which translates to high. Homeland Security Secretary Tom Ridge cites intelligence that indicates al Qaeda plans to use truck bombs to attack. No timeframe is offered, though.
Possible targets include the International Monetary Fund and World Bank in Washington, Citigroup buildings in New York, and the New York Stock Exchange and the Prudential complex in New Jersey.
Now, in response to the new threat information, commercial traffic has been banned from using the Holland Tunnel to travel from New Jersey into lower Manhattan. The ban applies only to eastbound traffic -- that is traffic coming into New York City.
Now, this is the first time that specific areas have been singled out for a heightened alert. In the past, such status changes have been nationwide.
So, let's head live to Washington and our Bill Prasad for more.
Good morning -- Bill.
BILL PRASAD, CNN CORRESPONDENT: Good morning, Carol.
Officials say terrorists are taking aim at America's pocketbook. The targets are financial institutions, and the weapons could be car bombs.
(BEGIN VIDEOTAPE)
PRASAD (voice over): Police probe a truck for explosives in front of the World Bank. Credentials are checked at the IMF. These targets are close to the White House. Officials say intelligence indicates al Qaeda is taking aim at the financial sectors in three areas.
TOM RIDGE, HOMELAND SECURITY SECRETARY: The quality of this intelligence based on multiple reporting screens in multiple locations is rarely seen.
PRASAD: For the sixth time in two years the threat level has been raised from yellow to orange, but this time only for northern New Jersey and Washington. New York City has been on orange alert since September 11, 2001.
Overnight, officials closed the Holland Tunnel to commercial traffic heading into Manhattan. Security is being stepped up at the Citigroup buildings and the New York Stock Exchange.
MAYOR MICHAEL BLOOMBERG, NEW YORK CITY: We are deploying our full array of counterterrorism resources. We will spare no expense, and we will take no chances.
PRASAD: Officials say the intelligence indicates al Qaeda has looked at such things as whether security guards are armed, what kind of explosives could do maximum damage, and they've studied escape routes.
In D.C., police asked residents for help.
UNIDENTIFIED MALE: We would encourage all of our residents, visitors, anyone who sees anything unusual at all to give us a call.
(END VIDEOTAPE)
PRASAD: City government officials say that the district is now in an orange alert -- the entire district, not just the financial institutions. City officials say they are not taking any chances.
Carol -- back to you.
COSTELLO: Bill Prasad live in Washington, thank you. Well, if you drive in New York City and northern New Jersey and the nation's capital, you're facing major disruptions this morning as the work week begins under that heightened terror threat level.
Let's get an update from Craig Treadway of CNN affiliate WPIX in New York.
CRAIG TREADWAY, CNN AFFILIATE WPIX REPORTER: Carol, sources say the information comes from recently-captured al Qaeda operatives. And while New York City is not raising its own color-coded alert status, it is ratcheting up its security.
(BEGIN VIDEOTAPE)
TREADWAY (voice over): Homeland Security officials call it a confluence of chilling intelligence in recent days that led to Sunday's warning and the unprecedented naming of specific buildings as likely targets for al Qaeda.
RIDGE: The quality of this intelligence based on multiple reporting screens in multiple locations is rarely seen. And it is alarming in both the amount and specificity of the information.
TREADWAY: The new intelligence obtained by government officials, according to Tom Ridge, indicates the meticulous planning of the terror group to hit iconic financial institutions in Washington, D.C., Newark, New Jersey, and New York City, including the New York Stock Exchange and the Citigroup building in midtown Manhattan.
Sources indicate that planning included intense scouting of the targets to identify security weaknesses, pedestrian flow, building employees and the construction of the buildings themselves, even locations for optimum reconnaissance.
Here in New York City, which has remained at its own orange alert status since 9/11, Mayor Bloomberg assured the city that security officials are on top of it.
BLOOMBERG: We are deploying our full array of counterterrorism resources. We will spare no expense, and we will take no chances. We will be watching and protecting the city through never-ending vigilance.
TREADWAY: That vigilance will include stepped-up security at bridges and tunnels, more vehicle checkpoints in Manhattan, Queens and Brooklyn, and increased security presence on subways and commuter trains, among other measures.
RAY KELLY, NEW YORK POLICE COMMISSIONER: The intelligence we've received indicates that the principal threat to the financial institutions in New York City is by bombing, either through a large vehicular bomb or by individuals trying to smuggle explosives into a building by backpack or package.
(END VIDEOTAPE) TREADWAY: Now, government sources point out that the terror group's surveillance appears to have been conducted before and after 9/11. In fact, it's unclear just how recently some of those targets were surveiled.
In any case, you can expect already tight security in New York City to reach the level of a chokehold in the weeks leading up to the Republican National Convention and the months leading up to the November election.
For CNN, I'm Craig Treadway, New York.
COSTELLO: Thank you, Craig.
Homeland Security Secretary Tom Ridge will talk more about the terror threat in the next hour on CNN's "AMERICAN MORNING." Of course, that comes your way at 7:00 a.m. Eastern.
For more on the raised threat level now, including chilling information on al Qaeda's meticulous planning, log on to our Web site at CNN.com.
DAYBREAK will be right back.
(COMMERCIAL BREAK)
COSTELLO: The terror threat level stands at orange, at least for some of us. That includes the nation's capital. It's under high alert, at least some buildings in Washington, D.C.
We wanted to see how residents there are reacting and how much security is being provided. For that, we turn to our friend, Judylyne Lilly, from WTOP News Radio in Washington.
Good morning, Judylyne.
JUDYLYNE LILLY, WTOP NEWS RADIO: Good morning, Carol. How are you?
COSTELLO: So, can you see security out there enforced at some buildings in Washington?
LILLY: Well, of course, you -- what's happened is that Washington, D.C., of course, because it's the nation's capital, has always been a place where security has been a concern. Even prior to 9/11, you had to have some sort of identification to get into a federal building. So, federal workers and people who deal with the federal government are not going to see any perhaps increased security on those terms, not visible.
However, there will be dogs -- bomb-sniffing dogs about. Our police chief here says that they're going to be using their patrol officers to make random traffic stops in the area. So, people who are driving around the area, and especially the International Monetary Fund and the World Bank, because, as you know or as people might want to know, those buildings are within a couple of blocks of the White House.
COSTELLO: Oh.
LILLY: So, this is very important that these buildings especially are protected. This is not to say that others should not. But these buildings, because they are in proximity to the White House, will definitely be under scrutiny, not only by D.C. local police. It will be by Secret Service and federal officers as well.
COSTELLO: You know, Judylyne, I was reading "The Washington Post" this morning. And just as a demonstration as to how difficult it is to protect a city from terrorist threats, the police chief says to notify authorities of suspicious activity, including strangers photographing possible targets and people or vehicles making unusual movements. As you know, it is tourist season on Washington.
LILLY: Right, exactly.
COSTELLO: And people drive crazy there all the time.
LILLY: Right. The tourists are definitely in town, and they're driving their cars, and they're attempting to get around the city that really does not have a map per se. It's very difficult to get around Washington unless you absolutely know the city.
Taking pictures, that's something that tourists do. That's just what they do. They will be taking pictures of this. So, it's going to be in Washington very difficult.
Now, one proviso to that, though, is that most tourists are going to be not at the World Bank building or the IMF. They're going to be on the Mall, taking pictures of the Lincoln memorial, the Jefferson or the new World War II memorial. So, that's not suspicious.
What might be suspicious is if you see someone taking a picture of a building that -- well, why would they? You know, you're a tourist. I mean, why would you take a picture of the IMF building unless you -- you know, you're from there? And you just don't know. But I'm just saying that for the most part people are not going to be taking pictures of the IMF building.
COSTELLO: All right. Judylyne Lilly joining us live on the phone from Washington this morning, many thanks to you.
It's time for a little business buzz now. Think it costs too much to buy fresh fruits and veggies? Think again.
Sasha Salama has more live for you from the Nasdaq Marketsite.
Good morning.
SASHA SALAMA, CNN FINANCIAL NEWS CORRESPONDENT: Good morning, Carol.
Healthy eating does not have to be expensive. That is the finding of a new study from the government, specifically the Department of Agriculture. The government study found Americans can get the recommended servings -- three of fruit and four of vegetables -- every day for just 64 cents. If you're counting calories, it amounts to 225 calories and just one gram of fat.
This new report from the Department of Agriculture looked at how consumers spend their money at supermarkets and farmers markets and some other retail stores that sell fruit and vegetables. So some new findings.
They also say they don't believe produce prices have changed substantially over the past five years.
So, it's getting more economical to stay healthy, at least according to the government.
We're watching the markets before they open, and the indications from the futures is that there will be some pressure amid the tightened level of terror threat. That said, though, trading is scheduled to go as usual today at the New York Stock Exchange. The mayor of New York City, Michael Bloomberg, will be ringing the opening bell.
And the Department of Homeland Security and the Treasury Department have announced that they've been working closely together to make sure that backup systems are in place for financial markets should there be any kind of terrorist attack.
So, we'll keep you posted as developments warrant -- Carol.
COSTELLO: We appreciate it. Sasha Salama reporting live from the Nasdaq Market Center, thank you.
Your news, money, weather and sports. It is 6:45 Eastern. Here's what's all new this morning.
Iraq's government blames insurgent leader Abu Musab al-Zarqawi for a series of weekend bombings outside of Christian churches. Seven people killed, more than 60 injured. The coordinated bombings went off near five churches in Baghdad in Mosul.
Steve Jobs says he'll be back at work soon after having surgery to remove a cancerous tumor. You probably know Jobs is the founder of Apple computers. He says the cancer was caught early enough, so he expects a full recovery.
In money news, United Airlines is cutting capacity on its cross- country routes. The airline plans to use smaller planes for its New York to Los Angeles and San Francisco flights. United says it can't compete with the low-cost carriers flying those same routes.
In culture, let's hope the third time is the charm for actor Nicolas Cage. The 40-year-old Cage got married again; this time to former waitress Alice Kim, who is exactly half his age. Yes, she's 20. He was previously married to Lisa Marie Presley and to Patricia Arquette. In sports, Woody Williams of the Saint Louis Cardinals knocked his career win No. 100 in a 6-1 victory over the San Francisco Giants. The win also gives the Cardinals the best record in baseball.
(WEATHER BREAK)
COSTELLO: Those are the latest headlines for you.
Damage to Princess Di's memorial fountain. Coming up on DAYBREAK, what is happening to the newly-unveiled structure? And what steps officials have taken to protect it.
Plus, Chris Cotter catches us up on weekend sports highlights, including a big win for golfer Veejay Singh.
This is DAYBREAK.
(COMMERCIAL BREAK)
COSTELLO: This is the Princess Di memorial fountain. Remember Queen Elizabeth was there to christen it, and everybody was excited about it? Well, these are old pictures, because the fountain has run dry.
Apparently, children have slipped in the fountain and gotten hurt. And people are throwing litter, and they're letting their dogs go in it. They're throwing dirty diapers in it.
So, needless to say, officials are very upset, including Princess Di's brother. And they're trying to figure out how to stop people from littering Princess Di's fountain.
I see the look of horror on both of your faces.
CHRIS COTTER, CNN SPORTS CONTRIBUTOR: I just don't get it. First of all, why are you letting kids play in the fountain?
COSTELLO: Well, that was the purpose, because Princess Di loved children and they wanted to make it accessible for kids.
COTTER: Oh, so the kids are allowed to play in the fountain with the jagged rocks...
COSTELLO: Yes.
COTTER: ... and everything that we saw in the water going down.
CHAD MYERS, CNN METEOROLOGIST: Right.
COTTER: And the algae...
MYERS: It looked dangerous, right, yes.
COSTELLO: The algae...
COTTER: E-coli. COSTELLO: E-coli!
MYERS: If you throw diapers in there.
COTTER: Yes. This is a hazard. It's a health hazard.
COSTELLO: OK. You're giving me a headache now.
COTTER: It's poor planning to begin with.
COSTELLO: You're right. Poor -- that is the most correct thing you have said, Chris Cotter.
COTTER: It's the only right thing I've said in months here.
COSTELLO: Exactly.
Let's talk sports right now, because apparently there was a very exciting golf tournament that I missed.
COTTER: Yes, you missed the Buick Open yesterday. And if you missed it, you missed what I think we all hope is a prelude to the PGA championship in a couple of weeks.
COSTELLO: Oh.
COTTER: Because you had Tiger in contention right at the very end. You had John Daley, who is a big fan favorite everywhere he goes. And then you had Veejay Singh kind of trying to make a comeback after he's struggled here over the last couple of weeks.
So, a lot of fun this weekend up in Michigan at the Buick Open. Everybody is hoping that, you know, we'll have a really exciting final major of the year in a couple of weeks.
MYERS: This shot as he comes from under the tree. He was under the tree. He had to take a little chip shot to get to there. And now if he doesn't put this on the green, he's going to get ugly, ugly, maybe double. And look at that shot. Oh my!
COTTER: Beautiful. And that's on 18, by the way. And he beats John Daley, and John Daley was the fan favorite. But Veejay Singh, watch out for him in a couple of weeks at the PGA. Both Daley and Veejay bogied 18. Veejay hadn't bogied in 60 holes since the first round, and John Daley hadn't bogied a hole in 30 holes.
COSTELLO: Wow!
MYERS: Yes.
COTTER: So that was rare. And here, you see John Daley with an eagle on No. 2.
COSTELLO: Oh!
(CROSSTALK) COTTER: He sucks it right backing in, and the crowd is going bananas.
MYERS: There's that shot from under the tree again. That was the winning shot right there. If he didn't pull that shot he didn't win.
COSTELLO: Poor Tiger Woods. Did he come in third?
COTTER: He came in third. And this is the sixth top 10 finish for him in his last 7 events. He's only competed in 14 events all year, and he's finished in the top 10, 10 times. So, he's close. He just can't seem to get over the hump and get the win. His putting was good. I mean, he was 21 under par in two rounds.
MYERS: Yes.
COTTER: So good enough. But not quite good enough to win. And he said it was frustrating to place so well and not win. Good news for him, though, that he's playing well with the PGA in two weeks.
MYERS: What about the Ryder Cup and John Daley?
COTTER: Could he be a captain's choice?
MYERS: Yes.
COTTER: I mean, points-wise, I don't think he's going to get in.
MYERS: Right.
COTTER: But he could be a captain's choice just simply because of the way he's playing. He's playing very well.
MYERS: Good momentum now.
COSTELLO: Let's talk baseball now, shall we?
COTTER: OK.
COSTELLO: Because there were some amazing trades over the weekend.
COTTER: Everything was quiet until the last minute.
COSTELLO: Wow!
COTTER: And then all of a sudden it was get rid of this guy, get rid of that guy.
MYERS: Garciaparra.
COTTER: Nomar in Chicago. Hey, you know, you've got to wait a long time for Nomar to take his swings, right? Because he's got all of the things he's got to do.
MYERS: He's taking stuff off.
COTTER: Adjusting his gloves and everything. But, hey, I mean, you're in Wrigley Field. Why not? Just sit back and enjoy the great weather, enjoy the view, and let Nomar do all of his little idiosyncrasies when he gets up there to bat. But it was a good deal for Chicago.
MYERS: Yes. I think the fans love it. I really do.
COSTELLO: And for the New York Yankees, it wasn't such a bad deal, right?
COTTER: No, I thought they did really well. Contreras is a guy who has been very up and down for them, especially in big games. He can't seem to beat Boston. So, you bring in Esteban Loaiza, who had a great year last year with the White Sox, but this year has been struggling. He may need just a different, you know, change of venue for him. Bring him into New York and see what he can do, because he's an outstanding...
COSTELLO: And he has a better attitude than what's his face from Arizona.
COTTER: Than Randy Johnson?
COSTELLO: Yes, him.
COTTER: Well, it depends on how you look at it.
COSTELLO: He's nasty.
COTTER: The Players Association has rules that say if you've been in the league long enough or you've been on one team long enough, you can have a no-trade clause in your contract. You can say I don't want to be traded to that team, and that's what he said.
COSTELLO: Yes, but he used it just to make a point. It's not like he wanted to stay with Arizona.
COTTER: I think he does. I think he's just kind of...
COSTELLO: Whiny.
COTTER: He already has his World Series, and he's just getting up there in age. His family is living in Arizona, and the kids are older. He just wants to stay there. But to me, what I don't understand is you get traded...
COSTELLO: He's a family man.
COTTER: You get traded. And you're a baseball player, and you can play for two, at most three, months until the end of October, and then you have six months off. You can go live in Bora Bora if you want to. You know, you can live wherever you want after baseball season. Just go there and live in a furnished apartment for three months. COSTELLO: Yes, but, you know, it's so (UNINTELLIGIBLE) now.
MYERS: Yes, whatever.
COTTER: Win another championship.
COSTELLO: Come on. Can we talk about Thurman Munson? Because we loved him.
COTTER: Well, he was one of the most popular Yankees of all time, and he really was a big part of the resurgence for them in the '70s. And today marks the 25th anniversary of his tragic passing in a plane crash in 1979. And for me, being 10 years old, it was sort of my first experience with tragedy in the fact that I lost one of my heroes. So, today is kind of a poignant day for me and a lot of other sports fans from the '70s.
COSTELLO: He's from Canton, Ohio, my hometown. And didn't he die in the crash in Akron, Ohio, that small airfield there?
COTTER: Yes, he was going home. He had actually -- he had been banged up. And, you know, he took himself -- ironically the last game he ever played for the Yankees was the first game he ever took himself out of. He was banged up, and said, coach, my legs just can't -- I can't go anymore. I need to take some time off. And he was flying back home, and the plane crashed.
COSTELLO: We're going to take a short break. We'll be right back.
(COMMERCIAL BREAK)
MYERS: All right, we're short on time, so we're going to get right to the DAYBREAK coffee mug questions of the day. What was the No. 1 movie of the weekend? And how much did it bring in? And No. 2, according to a government study, how much will it cost consumers to get the recommended daily servings of vegetables and fruit? How much is it going to cost you to get all of that fruit and vegetables in your diet?
Daybreak@CNN.com. I need both answers, please. Your name and address, and we will give away a coffee mug tomorrow.
COSTELLO: Those are weak questions this morning. Weak!
MYERS: I didn't make them up.
COSTELLO: You did too.
MYERS: Well, you know what? I guess I would say my question is: Where did Nomar Garciaparra go?
COSTELLO: If you want to answer that one, too, Daybreak@CNN.com.
MYERS: Answer all three. That's a bonus question.
COSTELLO: From the CNN global headquarters in Atlanta, I'm Carol Costello along with Chad Myers. "AMERICAN MORNING" starts right now.
MYERS: I'll see you tomorrow.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.
Aired August 2, 2004 - 06:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Extra security, extra precautions this morning in New York, New Jersey and D.C. as another terrorist threat looms.
It is Monday, August 2. This is DAYBREAK.
And good morning to you from the CNN global headquarters in Atlanta. I'm Carol Costello.
Now in the news, Washington, New York City and northern New Jersey are on orange alert. The government is convinced al Qaeda is preparing to strike financial institutions in those areas with car bombs.
The Federal Aviation Administration is working to reduce flight delays and congestion at airports. Today the feds will announce a number of flights to be cut at Chicago's O'Hare airport.
President Bush is ready to start implementing some of the 9/11 Commission's recommendations. Officials say he could issue orders as early as today, but he is not prepared to move on the panel's main recommendation: the creation of a new intelligence chief.
And the first named storm of the season is off the coast of South Carolina. Tropical Storm Alex isn't moving much, but it is expected to make its way north.
(WEATHER BREAK)
COSTELLO: We have more to tell you about that terror alert. The threat level for financial sectors of New York, Washington and northern New Jersey has been raised to orange, which translates to high. Homeland Security Secretary Tom Ridge cites intelligence that indicates al Qaeda plans to use truck bombs to attack. No timeframe is offered, though.
Possible targets include the International Monetary Fund and World Bank in Washington, Citigroup buildings in New York, and the New York Stock Exchange and the Prudential complex in New Jersey.
Now, in response to the new threat information, commercial traffic has been banned from using the Holland Tunnel to travel from New Jersey into lower Manhattan. The ban applies only to eastbound traffic -- that is traffic coming into New York City.
Now, this is the first time that specific areas have been singled out for a heightened alert. In the past, such status changes have been nationwide.
So, let's head live to Washington and our Bill Prasad for more.
Good morning -- Bill.
BILL PRASAD, CNN CORRESPONDENT: Good morning, Carol.
Officials say terrorists are taking aim at America's pocketbook. The targets are financial institutions, and the weapons could be car bombs.
(BEGIN VIDEOTAPE)
PRASAD (voice over): Police probe a truck for explosives in front of the World Bank. Credentials are checked at the IMF. These targets are close to the White House. Officials say intelligence indicates al Qaeda is taking aim at the financial sectors in three areas.
TOM RIDGE, HOMELAND SECURITY SECRETARY: The quality of this intelligence based on multiple reporting screens in multiple locations is rarely seen.
PRASAD: For the sixth time in two years the threat level has been raised from yellow to orange, but this time only for northern New Jersey and Washington. New York City has been on orange alert since September 11, 2001.
Overnight, officials closed the Holland Tunnel to commercial traffic heading into Manhattan. Security is being stepped up at the Citigroup buildings and the New York Stock Exchange.
MAYOR MICHAEL BLOOMBERG, NEW YORK CITY: We are deploying our full array of counterterrorism resources. We will spare no expense, and we will take no chances.
PRASAD: Officials say the intelligence indicates al Qaeda has looked at such things as whether security guards are armed, what kind of explosives could do maximum damage, and they've studied escape routes.
In D.C., police asked residents for help.
UNIDENTIFIED MALE: We would encourage all of our residents, visitors, anyone who sees anything unusual at all to give us a call.
(END VIDEOTAPE)
PRASAD: City government officials say that the district is now in an orange alert -- the entire district, not just the financial institutions. City officials say they are not taking any chances.
Carol -- back to you.
COSTELLO: Bill Prasad live in Washington, thank you. Well, if you drive in New York City and northern New Jersey and the nation's capital, you're facing major disruptions this morning as the work week begins under that heightened terror threat level.
Let's get an update from Craig Treadway of CNN affiliate WPIX in New York.
CRAIG TREADWAY, CNN AFFILIATE WPIX REPORTER: Carol, sources say the information comes from recently-captured al Qaeda operatives. And while New York City is not raising its own color-coded alert status, it is ratcheting up its security.
(BEGIN VIDEOTAPE)
TREADWAY (voice over): Homeland Security officials call it a confluence of chilling intelligence in recent days that led to Sunday's warning and the unprecedented naming of specific buildings as likely targets for al Qaeda.
RIDGE: The quality of this intelligence based on multiple reporting screens in multiple locations is rarely seen. And it is alarming in both the amount and specificity of the information.
TREADWAY: The new intelligence obtained by government officials, according to Tom Ridge, indicates the meticulous planning of the terror group to hit iconic financial institutions in Washington, D.C., Newark, New Jersey, and New York City, including the New York Stock Exchange and the Citigroup building in midtown Manhattan.
Sources indicate that planning included intense scouting of the targets to identify security weaknesses, pedestrian flow, building employees and the construction of the buildings themselves, even locations for optimum reconnaissance.
Here in New York City, which has remained at its own orange alert status since 9/11, Mayor Bloomberg assured the city that security officials are on top of it.
BLOOMBERG: We are deploying our full array of counterterrorism resources. We will spare no expense, and we will take no chances. We will be watching and protecting the city through never-ending vigilance.
TREADWAY: That vigilance will include stepped-up security at bridges and tunnels, more vehicle checkpoints in Manhattan, Queens and Brooklyn, and increased security presence on subways and commuter trains, among other measures.
RAY KELLY, NEW YORK POLICE COMMISSIONER: The intelligence we've received indicates that the principal threat to the financial institutions in New York City is by bombing, either through a large vehicular bomb or by individuals trying to smuggle explosives into a building by backpack or package.
(END VIDEOTAPE) TREADWAY: Now, government sources point out that the terror group's surveillance appears to have been conducted before and after 9/11. In fact, it's unclear just how recently some of those targets were surveiled.
In any case, you can expect already tight security in New York City to reach the level of a chokehold in the weeks leading up to the Republican National Convention and the months leading up to the November election.
For CNN, I'm Craig Treadway, New York.
COSTELLO: Thank you, Craig.
Homeland Security Secretary Tom Ridge will talk more about the terror threat in the next hour on CNN's "AMERICAN MORNING." Of course, that comes your way at 7:00 a.m. Eastern.
For more on the raised threat level now, including chilling information on al Qaeda's meticulous planning, log on to our Web site at CNN.com.
DAYBREAK will be right back.
(COMMERCIAL BREAK)
COSTELLO: The terror threat level stands at orange, at least for some of us. That includes the nation's capital. It's under high alert, at least some buildings in Washington, D.C.
We wanted to see how residents there are reacting and how much security is being provided. For that, we turn to our friend, Judylyne Lilly, from WTOP News Radio in Washington.
Good morning, Judylyne.
JUDYLYNE LILLY, WTOP NEWS RADIO: Good morning, Carol. How are you?
COSTELLO: So, can you see security out there enforced at some buildings in Washington?
LILLY: Well, of course, you -- what's happened is that Washington, D.C., of course, because it's the nation's capital, has always been a place where security has been a concern. Even prior to 9/11, you had to have some sort of identification to get into a federal building. So, federal workers and people who deal with the federal government are not going to see any perhaps increased security on those terms, not visible.
However, there will be dogs -- bomb-sniffing dogs about. Our police chief here says that they're going to be using their patrol officers to make random traffic stops in the area. So, people who are driving around the area, and especially the International Monetary Fund and the World Bank, because, as you know or as people might want to know, those buildings are within a couple of blocks of the White House.
COSTELLO: Oh.
LILLY: So, this is very important that these buildings especially are protected. This is not to say that others should not. But these buildings, because they are in proximity to the White House, will definitely be under scrutiny, not only by D.C. local police. It will be by Secret Service and federal officers as well.
COSTELLO: You know, Judylyne, I was reading "The Washington Post" this morning. And just as a demonstration as to how difficult it is to protect a city from terrorist threats, the police chief says to notify authorities of suspicious activity, including strangers photographing possible targets and people or vehicles making unusual movements. As you know, it is tourist season on Washington.
LILLY: Right, exactly.
COSTELLO: And people drive crazy there all the time.
LILLY: Right. The tourists are definitely in town, and they're driving their cars, and they're attempting to get around the city that really does not have a map per se. It's very difficult to get around Washington unless you absolutely know the city.
Taking pictures, that's something that tourists do. That's just what they do. They will be taking pictures of this. So, it's going to be in Washington very difficult.
Now, one proviso to that, though, is that most tourists are going to be not at the World Bank building or the IMF. They're going to be on the Mall, taking pictures of the Lincoln memorial, the Jefferson or the new World War II memorial. So, that's not suspicious.
What might be suspicious is if you see someone taking a picture of a building that -- well, why would they? You know, you're a tourist. I mean, why would you take a picture of the IMF building unless you -- you know, you're from there? And you just don't know. But I'm just saying that for the most part people are not going to be taking pictures of the IMF building.
COSTELLO: All right. Judylyne Lilly joining us live on the phone from Washington this morning, many thanks to you.
It's time for a little business buzz now. Think it costs too much to buy fresh fruits and veggies? Think again.
Sasha Salama has more live for you from the Nasdaq Marketsite.
Good morning.
SASHA SALAMA, CNN FINANCIAL NEWS CORRESPONDENT: Good morning, Carol.
Healthy eating does not have to be expensive. That is the finding of a new study from the government, specifically the Department of Agriculture. The government study found Americans can get the recommended servings -- three of fruit and four of vegetables -- every day for just 64 cents. If you're counting calories, it amounts to 225 calories and just one gram of fat.
This new report from the Department of Agriculture looked at how consumers spend their money at supermarkets and farmers markets and some other retail stores that sell fruit and vegetables. So some new findings.
They also say they don't believe produce prices have changed substantially over the past five years.
So, it's getting more economical to stay healthy, at least according to the government.
We're watching the markets before they open, and the indications from the futures is that there will be some pressure amid the tightened level of terror threat. That said, though, trading is scheduled to go as usual today at the New York Stock Exchange. The mayor of New York City, Michael Bloomberg, will be ringing the opening bell.
And the Department of Homeland Security and the Treasury Department have announced that they've been working closely together to make sure that backup systems are in place for financial markets should there be any kind of terrorist attack.
So, we'll keep you posted as developments warrant -- Carol.
COSTELLO: We appreciate it. Sasha Salama reporting live from the Nasdaq Market Center, thank you.
Your news, money, weather and sports. It is 6:45 Eastern. Here's what's all new this morning.
Iraq's government blames insurgent leader Abu Musab al-Zarqawi for a series of weekend bombings outside of Christian churches. Seven people killed, more than 60 injured. The coordinated bombings went off near five churches in Baghdad in Mosul.
Steve Jobs says he'll be back at work soon after having surgery to remove a cancerous tumor. You probably know Jobs is the founder of Apple computers. He says the cancer was caught early enough, so he expects a full recovery.
In money news, United Airlines is cutting capacity on its cross- country routes. The airline plans to use smaller planes for its New York to Los Angeles and San Francisco flights. United says it can't compete with the low-cost carriers flying those same routes.
In culture, let's hope the third time is the charm for actor Nicolas Cage. The 40-year-old Cage got married again; this time to former waitress Alice Kim, who is exactly half his age. Yes, she's 20. He was previously married to Lisa Marie Presley and to Patricia Arquette. In sports, Woody Williams of the Saint Louis Cardinals knocked his career win No. 100 in a 6-1 victory over the San Francisco Giants. The win also gives the Cardinals the best record in baseball.
(WEATHER BREAK)
COSTELLO: Those are the latest headlines for you.
Damage to Princess Di's memorial fountain. Coming up on DAYBREAK, what is happening to the newly-unveiled structure? And what steps officials have taken to protect it.
Plus, Chris Cotter catches us up on weekend sports highlights, including a big win for golfer Veejay Singh.
This is DAYBREAK.
(COMMERCIAL BREAK)
COSTELLO: This is the Princess Di memorial fountain. Remember Queen Elizabeth was there to christen it, and everybody was excited about it? Well, these are old pictures, because the fountain has run dry.
Apparently, children have slipped in the fountain and gotten hurt. And people are throwing litter, and they're letting their dogs go in it. They're throwing dirty diapers in it.
So, needless to say, officials are very upset, including Princess Di's brother. And they're trying to figure out how to stop people from littering Princess Di's fountain.
I see the look of horror on both of your faces.
CHRIS COTTER, CNN SPORTS CONTRIBUTOR: I just don't get it. First of all, why are you letting kids play in the fountain?
COSTELLO: Well, that was the purpose, because Princess Di loved children and they wanted to make it accessible for kids.
COTTER: Oh, so the kids are allowed to play in the fountain with the jagged rocks...
COSTELLO: Yes.
COTTER: ... and everything that we saw in the water going down.
CHAD MYERS, CNN METEOROLOGIST: Right.
COTTER: And the algae...
MYERS: It looked dangerous, right, yes.
COSTELLO: The algae...
COTTER: E-coli. COSTELLO: E-coli!
MYERS: If you throw diapers in there.
COTTER: Yes. This is a hazard. It's a health hazard.
COSTELLO: OK. You're giving me a headache now.
COTTER: It's poor planning to begin with.
COSTELLO: You're right. Poor -- that is the most correct thing you have said, Chris Cotter.
COTTER: It's the only right thing I've said in months here.
COSTELLO: Exactly.
Let's talk sports right now, because apparently there was a very exciting golf tournament that I missed.
COTTER: Yes, you missed the Buick Open yesterday. And if you missed it, you missed what I think we all hope is a prelude to the PGA championship in a couple of weeks.
COSTELLO: Oh.
COTTER: Because you had Tiger in contention right at the very end. You had John Daley, who is a big fan favorite everywhere he goes. And then you had Veejay Singh kind of trying to make a comeback after he's struggled here over the last couple of weeks.
So, a lot of fun this weekend up in Michigan at the Buick Open. Everybody is hoping that, you know, we'll have a really exciting final major of the year in a couple of weeks.
MYERS: This shot as he comes from under the tree. He was under the tree. He had to take a little chip shot to get to there. And now if he doesn't put this on the green, he's going to get ugly, ugly, maybe double. And look at that shot. Oh my!
COTTER: Beautiful. And that's on 18, by the way. And he beats John Daley, and John Daley was the fan favorite. But Veejay Singh, watch out for him in a couple of weeks at the PGA. Both Daley and Veejay bogied 18. Veejay hadn't bogied in 60 holes since the first round, and John Daley hadn't bogied a hole in 30 holes.
COSTELLO: Wow!
MYERS: Yes.
COTTER: So that was rare. And here, you see John Daley with an eagle on No. 2.
COSTELLO: Oh!
(CROSSTALK) COTTER: He sucks it right backing in, and the crowd is going bananas.
MYERS: There's that shot from under the tree again. That was the winning shot right there. If he didn't pull that shot he didn't win.
COSTELLO: Poor Tiger Woods. Did he come in third?
COTTER: He came in third. And this is the sixth top 10 finish for him in his last 7 events. He's only competed in 14 events all year, and he's finished in the top 10, 10 times. So, he's close. He just can't seem to get over the hump and get the win. His putting was good. I mean, he was 21 under par in two rounds.
MYERS: Yes.
COTTER: So good enough. But not quite good enough to win. And he said it was frustrating to place so well and not win. Good news for him, though, that he's playing well with the PGA in two weeks.
MYERS: What about the Ryder Cup and John Daley?
COTTER: Could he be a captain's choice?
MYERS: Yes.
COTTER: I mean, points-wise, I don't think he's going to get in.
MYERS: Right.
COTTER: But he could be a captain's choice just simply because of the way he's playing. He's playing very well.
MYERS: Good momentum now.
COSTELLO: Let's talk baseball now, shall we?
COTTER: OK.
COSTELLO: Because there were some amazing trades over the weekend.
COTTER: Everything was quiet until the last minute.
COSTELLO: Wow!
COTTER: And then all of a sudden it was get rid of this guy, get rid of that guy.
MYERS: Garciaparra.
COTTER: Nomar in Chicago. Hey, you know, you've got to wait a long time for Nomar to take his swings, right? Because he's got all of the things he's got to do.
MYERS: He's taking stuff off.
COTTER: Adjusting his gloves and everything. But, hey, I mean, you're in Wrigley Field. Why not? Just sit back and enjoy the great weather, enjoy the view, and let Nomar do all of his little idiosyncrasies when he gets up there to bat. But it was a good deal for Chicago.
MYERS: Yes. I think the fans love it. I really do.
COSTELLO: And for the New York Yankees, it wasn't such a bad deal, right?
COTTER: No, I thought they did really well. Contreras is a guy who has been very up and down for them, especially in big games. He can't seem to beat Boston. So, you bring in Esteban Loaiza, who had a great year last year with the White Sox, but this year has been struggling. He may need just a different, you know, change of venue for him. Bring him into New York and see what he can do, because he's an outstanding...
COSTELLO: And he has a better attitude than what's his face from Arizona.
COTTER: Than Randy Johnson?
COSTELLO: Yes, him.
COTTER: Well, it depends on how you look at it.
COSTELLO: He's nasty.
COTTER: The Players Association has rules that say if you've been in the league long enough or you've been on one team long enough, you can have a no-trade clause in your contract. You can say I don't want to be traded to that team, and that's what he said.
COSTELLO: Yes, but he used it just to make a point. It's not like he wanted to stay with Arizona.
COTTER: I think he does. I think he's just kind of...
COSTELLO: Whiny.
COTTER: He already has his World Series, and he's just getting up there in age. His family is living in Arizona, and the kids are older. He just wants to stay there. But to me, what I don't understand is you get traded...
COSTELLO: He's a family man.
COTTER: You get traded. And you're a baseball player, and you can play for two, at most three, months until the end of October, and then you have six months off. You can go live in Bora Bora if you want to. You know, you can live wherever you want after baseball season. Just go there and live in a furnished apartment for three months. COSTELLO: Yes, but, you know, it's so (UNINTELLIGIBLE) now.
MYERS: Yes, whatever.
COTTER: Win another championship.
COSTELLO: Come on. Can we talk about Thurman Munson? Because we loved him.
COTTER: Well, he was one of the most popular Yankees of all time, and he really was a big part of the resurgence for them in the '70s. And today marks the 25th anniversary of his tragic passing in a plane crash in 1979. And for me, being 10 years old, it was sort of my first experience with tragedy in the fact that I lost one of my heroes. So, today is kind of a poignant day for me and a lot of other sports fans from the '70s.
COSTELLO: He's from Canton, Ohio, my hometown. And didn't he die in the crash in Akron, Ohio, that small airfield there?
COTTER: Yes, he was going home. He had actually -- he had been banged up. And, you know, he took himself -- ironically the last game he ever played for the Yankees was the first game he ever took himself out of. He was banged up, and said, coach, my legs just can't -- I can't go anymore. I need to take some time off. And he was flying back home, and the plane crashed.
COSTELLO: We're going to take a short break. We'll be right back.
(COMMERCIAL BREAK)
MYERS: All right, we're short on time, so we're going to get right to the DAYBREAK coffee mug questions of the day. What was the No. 1 movie of the weekend? And how much did it bring in? And No. 2, according to a government study, how much will it cost consumers to get the recommended daily servings of vegetables and fruit? How much is it going to cost you to get all of that fruit and vegetables in your diet?
Daybreak@CNN.com. I need both answers, please. Your name and address, and we will give away a coffee mug tomorrow.
COSTELLO: Those are weak questions this morning. Weak!
MYERS: I didn't make them up.
COSTELLO: You did too.
MYERS: Well, you know what? I guess I would say my question is: Where did Nomar Garciaparra go?
COSTELLO: If you want to answer that one, too, Daybreak@CNN.com.
MYERS: Answer all three. That's a bonus question.
COSTELLO: From the CNN global headquarters in Atlanta, I'm Carol Costello along with Chad Myers. "AMERICAN MORNING" starts right now.
MYERS: I'll see you tomorrow.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.
