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CNN Live At Daybreak

British Terror Raids; One British Arrest Linked to Pakistan Information; Healthy Travel Tips

Aired August 05, 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: The computer file trail now leads to Britain. We told you about those 12 arrests in the U.K. yesterday. Well, this morning one of the men arrested is being called a senior al Qaeda operative, one with ties to Muhammad Khan.
Live now to Diana Muriel in London with more.

Good morning -- Diana.

DIANA MURIEL, CNN CORRESPONDENT: Good morning, Carol.

Yes, British police here in London are continuing to interrogate the 12 suspects at the Paddington Green police station in West London, where they were brought after those raids on Tuesday.

Sources in Pakistan have told CNN that at least one of the 12 suspects arrested here in Britain on suspicion of being involved in terrorist activities was arrested as the result of intelligence gathered by the Pakistani authorities as the result of an arrest that they made there in Lahore last month. And Muhammad Naeem Noor Khan was arrested on July the 13th, and he's described as an al Qaeda computer expert.

Sources say that an interrogation of that suspect led to information that there was a terror network operating in Britain, and that he had frequently relayed messages to the leader of that cell.

Now, CNN can confirm that Khan came frequently to Britain. And we understand that he met with this group or network here in Britain and the leader of that network.

Now, the British press is speculating that the man's name is Abu Musa Al Hindi (ph) or Abu Eisa Al Hindi (ph). These are believed to be aliases, and we cannot confirm that name. Indeed, British police are giving very few details, Carol, about the suspects that are being held.

What they have done this morning is release some information as to where individual suspects were arrested. They've given each of the 12 suspects a letter, A, B, C, D, and they've indicated where those individuals were arrested.

They say there may be more information coming out later today, but we've been getting very limited information from Scotland Yard. And they are refusing to confirm that there is a link between the arrests here in the U.K. and those that were made in Pakistan. They say simply that this was part of an intelligence-led operation that had been established sometime ago, and they're indicating, therefore, that there may not be a connection. But the indications that CNN sources have is that there is a connection between Pakistan and the British arrests -- Carol.

COSTELLO: Fascinating. Diana Muriel live in London for us this morning, thank you.

So, Pakistan has rounded up dozens of terror suspects in the last few months, seemingly important ones like Muhammad Khan, the man with the computer that forced the United States to go on heightened alert.

Our senior international correspondent Nic Robertson is live in Riyadh, Saudi Arabia, this morning.

And, Nic, we just wanted to pick your brain a little bit about this. How big of a dent has Pakistan put into the al Qaeda network?

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, Pakistani security sources say that they think that their discoveries and the people they've arrested have put a dent, they don't know how significant it is going to be, but a dent into al Qaeda operations.

One of the things that Pakistani sources are telling us at this time is that Muhammad Khan was a very important hub for al Qaeda, a very important operative, because he was able to speak three languages. He spoke Arabic, Urdu and English. Urdu being the language used predominantly in Pakistan, English obviously used by potential operatives in Britain and the United States, and Arabic is used by many other al Qaeda operatives.

So, he was a very important key central person through whom al Qaeda could pass messages.

Now, the Pakistani intelligence sources say that along with another individual they've arrested that they believe that they've at least interrupted or disrupted or perhaps closed down one information transmission route that al Qaeda has been using. They not only use electronic means, e-mail, but they also use written coded instructions on how to decipher those e-mails.

And according to one Pakistani intelligence source at least, they say that they have also been able to intercept a person carrying those hand-written messages that would provide the al Qaeda operatives at the other end how to decipher, how to decode the e-mails that they're receiving.

So, from the Pakistani perspective, essentially Muhammad Khan, very important, a help for al Qaeda, spoke three very important languages for them. And secondly, that they've been able to interrupt and disrupt the sort of backup part or the sort of ancillary part of this communications check -- Carol.

COSTELLO: Nic, in these computer files, apparently there were pictures inside and outside of financial centers here in the United States. And the information also was written in English, and I found that very interesting. Why would it be written in English?

ROBERTSON: Well, possibly that the information that's been provided to this al Qaeda cell has come from an operative who speaks English.

This would perhaps give cause for concern for security officials in the U.S. and Britain, because what they've been on the lookout for are al Qaeda operatives who can disguise themselves very well in the communities they're living -- the United States and Britain. And obviously key to that would be able to have a good command of the English language.

So, perhaps -- and this is only perhaps, of course -- that this intelligence-gathering information has been run by operatives who speak English, passing it potentially, as we understand, back to Muhammad Khan, who is then able to translate it into Arabic or Urdu, passing that perhaps to other operatives who can take and use that information further.

But any information that's been generated from Muhammad Khan's computer and other sources that Pakistani intelligence sources are telling is very, very useful to them. Whether it's in English, Arabic or Urdu, it's all helping them build a more accurate picture of what al Qaeda is doing and what its current threat level is -- Carol.

COSTELLO: So, a last question for you, Nic. There have been rumors flying around that there is an al Qaeda cell operating here in the United States. Is there any evidence at all that a cell within the United States is communicating with a cell in Pakistan or vice versa?

ROBERTSON: Well, that's the indication from the information gleaned from Muhammad Khan and others detained in Pakistan and, again, confirmed by officials in the United States.

Is it an individual or individuals that have been contacted from Pakistan? Certainly the indication is that Muhammad Khan was also providing a link to operatives that have been arrested in the United Kingdom and Great Britain.

So, it does seem very likely at this time that it would be al Qaeda operatives that Muhammad Khan had contacted in the United States, and obviously this is being worked on, but at a level of information that intelligence sources have provided us. And one has to remember that they provide us with information that they want to perhaps, and very likely they hold back other pieces of critical information.

But it does seem at this stage that the pictures that they're telling us builds an impression that these individuals or individuals in the United States may well have had a very serious connection with al Qaeda -- Carol.

COSTELLO: Nic Robertson live in Riyadh, Saudi Arabia, this morning. Thank you so much.

Pharmaceutical giant Bristol-Myers Squibb agrees to pay up. Next, why the company had to shell out $150 million to the feds.

And it can be miserable to be sick on vacation. How to make sure you stay healthy while traveling next.

But first, here's a look at what else is making news this Thursday, August 5.

(COMMERCIAL BREAK)

COSTELLO: The stock market closed higher thanks to gains late in the session. This morning, the Dow opens up just over 6 points. The Nasdaq starts the day down 3 points. And the S&P 500 starts the day down 1 point.

So, it's time for a little business buzz now. Bristol-Myers agrees to pay up to settle charges of accounting fraud.

It's becoming such a familiar story, isn't it -- Carrie Lee?

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: It is, Carol. But this is a big payment, $150 million; this, as a settlement with the SEC. This is one of the biggest settlements we've seen in recent years for a company that is still operating.

Now, the drug giant is paying the money to settle accounting fraud allegations. Federal regulators have accused Bristol-Myers of manipulating its inventory of drugs to inflate profits, and thus meet Wall Street targets.

Now, the pharma giant still faces a criminal investigation by the Justice Department. But in this settlement of the civil case with the SEC, Bristol is paying a $100 million civil fine and an additional 50 million. And the money is going to go into a fund for shareholders.

So, Carol, at least shareholders are going to get a little something here out of this deal.

COSTELLO: Yes, it's better than nothing.

LEE: Right.

COSTELLO: Thank you, Carrie Lee live from the Nasdaq Marketsite.

Come on, admit it. At one time or another you've spent more of your vacation at the drug store than at the souvenir store. Granted, that is not the type of getaway most of us are looking for. But what is the best way to protect your health when you're away from home?

Amy O'Connor of "Prevention" magazine joins us live from New York to help us out.

Thanks for coming in.

AMY O'CONNOR, "PREVENTION: MAGAZINE: Oh, thanks for having me.

COSTELLO: So, give us some tips. What should we bring with us to keep us healthy on vacation?

O'CONNOR: Well, as you said, a lot of people are going on vacation this time of year especially, and if you don't plan for a medical emergency, not only is it bad for your health, but it can be incredibly expensive.

One of the first things you need to do if you're going -- if you're lucky enough to be going somewhere exotic, like Asia or Africa, is get immunized early. You don't want to wait around for that to happen. You want to do that about two weeks ahead of time.

And for some tips on what immunizations you might need for your destination, you can check out our Web site, Prevention.com.

COSTELLO: Yes, because some of those shots can actually make you sick for a time.

O'CONNOR: Exactly. You need to plan ahead of time. You need to consult with your doctor before you get them.

COSTELLO: OK. Get a checkup.

O'CONNOR: Right.

COSTELLO: I would never think of that before going on vacation.

O'CONNOR: Well, here is why. Because you need to consult with your doctor about what medications you are taking abroad especially. You know, a lot of people don't realize some prescription drugs that are legal here are not legal there.

You also need to tell your doctor if you're going somewhere exotic and you're going to be eating exotic food. Some of those foods might have some interactions with the medications you're taking.

And also, if you're changing time zones, how do you know when you're going to take your medication? Your doctor will be able to tell you.

COSTELLO: Oh, that's a good idea. And you say you should also take some letters from your doctor.

O'CONNOR: Right, letters saying why you're taking the medication you're taking so that no one thinks that you're, you know, selling drugs or doing anything crazy like that.

It's also a really smart idea to keep your drugs in the containers that they're in. Don't put them in, you know, cute little bags or things to pack them.

And when you're taking them on the plane, make sure that you do not put them in cargo. Carry them with you. If they get lost, you're going to be really sorry.

COSTELLO: OK. Travelers insurance. Now, I wouldn't think of this, because I would think that my health insurance would cover me if I get sick in any other place.

O'CONNOR: A lot of other people have thought that, and they've gotten a rude awakening when they've gotten sick, especially abroad. A lot of foreign hospitals don't take American insurance, and a lot of doctors in other parts of the country who are out of network won't accept your insurance.

You need to consult with your insurance company before you leave on vacation and ask them when and where you are covered. And you can probably pay extra to get better coverage.

COSTELLO: Understand. Keep important numbers handy. What does that mean?

O'CONNOR: That means put the number of your doctor and your pharmacy in your cell phone, so if anything happens you'll have it at the ready so you're not going to be dialing, you know, 411 from some exotic location and you can't get through. It's very important to keep those numbers handy.

COSTELLO: Keep your meds in their original containers.

O'CONNOR: Right. As I mentioned, it's very important to keep them in the original containers. As everybody knows, security is a lot tighter now. You don't want to have a bunch of weird pills and powders floating around your luggage for someone to say, hey, what's this, and keep you stranded for a couple of hours while they try and figure out what you have a prescription for.

COSTELLO: Yes, you don't want the drug-sniffing dog coming up.

O'CONNOR: Exactly.

COSTELLO: Amy O'Connor from "Prevention" magazine, thank you for joining DAYBREAK this morning.

O'CONNOR: Thank you.

COSTELLO: Your news, money, weather and sports. It is 6:45 Eastern. Here's what's all new this morning.

The nation's nuclear officials are going to keep quiet about security issues. The government says gaps in security discovered at the nation's nuclear plants will no longer be made public. The move is an effort to keep information from terrorists.

Mark Hacking was turned in by his brothers. "The Salt Lake City Tribune" reports that Hacking confessed to his brothers that he killed his wife in her sleep. Their information led to Hacking's arrest and the continued search of an area landfill.

In money news, oil prices could see 50 bucks a barrel soon. Analysts predict ongoing demand and a cold winter could send crude to new highs. A supply disruption like a terrorist attack could hit already-thin world supplies. In culture, for the first time the Dalai Lama has collaborated with a Chinese author, Victor Chan, into releasing "The Wisdom of Forgiveness." The book records conversations between the men as they traveled together.

In sports, a stunning move. Dallas Cowboys quarterback Quincy Carter is out, cut, replaced by 40-year-old Vinny Testaverde. No word on the reason behind the move, but there are rumors flying about drug use, although Quincy Carter denies that. But I guess there is no quarterback controversy now in Dallas.

CHAD MYERS, CNN METEOROLOGIST: Vinny, Vinny.

COSTELLO: Unbelievable.

MYERS: Forty years old. There's hope for us all.

(WEATHER BREAK)

COSTELLO: But, hey, it's election year.

MYERS: Really?

COSTELLO: It's shocking, isn't it?

MYERS: And we're having an Olympics, too. Wow!

COSTELLO: We are. It is time to get in on the political hoopla. Now there is a way you can manage your own political campaign. Our technology guru Daniel Sieberg joins us next to explain the art of playing politics.

(COMMERCIAL BREAK)

COSTELLO: And welcome back to DAYBREAK.

It is time to check out our "Web Clicks" this morning. The CNN.com Web site, sometimes the stories on there get your interest a lot more than what we report on DAYBREAK.

Daniel Sieberg is here to help us out.

DANIEL SIEBERG, CNN TECH CORRESPONDENT: You never know what's going to be popular online.

COSTELLO: Right. And you are our tech guru, in case people don't know out there. But, of course, they would know.

SIEBERG: I try to be. I try to be. Yes, yes.

COSTELLO: Yes, you try to be. But let's talk about what's most interesting to people on the CNN.com Web site.

Story No.1, the most clicked-on story: Mary Kay Letourneau, she's still in the news. She was released from prison, what, yesterday? And apparently the 12-year-old who is now 21, the child she raped those so many years ago and had two children by...

MYERS: Two children, right?

COSTELLO: That's crazy.

MYERS: Living with his parents.

COSTELLO: Yes.

SIEBERG: And he says he's still interested in being with her?

MYERS: He still loves her.

SIEBERG: Wow!

COSTELLO: Yes, he still loves her, and he...

SIEBERG: After all this time.

COSTELLO: I don't know.

SIEBERG: Has the heart grown fonder?

COSTELLO: It's kind of a sick love story, isn't it?

SIEBERG: Yes, yes.

COSTELLO: The second most clicked-on story: Tigger has been cleared.

SIEBERG: There are news stories on CNN.com as well, we should point out. But yes...

COSTELLO: I know. But these are the stories people are most interested in.

This is Tigger, his costume at least. And the man in the Tigger costume was accused by a 13-year-old girl, she claimed that he had touched her breast while she was posing for a picture with him at Walt Disney World.

SIEBERG: And the attorney had a very sort of dramatic presentation, I understand, where he actually put on the Tigger paws, as it were.

MYERS: Yes.

COSTELLO: Yes.

SIEBERG: And that was to, what? Illustrate that he couldn't...

COSTELLO: Feel anything through the paws.

SIEBERG: Feel anything, OK.

COSTELLO: And the jury bought that. Yes. SIEBERG: Right.

COSTELLO: The third most clicked-on story...

MYERS: The twins.

COSTELLO: Oh, the twins. They didn't tell me this. This is new. They just updated this. This is in New York City, I believe, where these Filipino boys were joined at the head, and they have now been separated surgically. And hopefully they're doing OK.

SIEBERG: Wow! Two years old. Is there an age limit to do that type of surgery, do you think?

MYERS: You know, the longer they're together, the more the veins and arteries get intertwined. And so the sooner you can do it, obviously the better.

SIEBERG: Yes.

MYERS: And then at some point in time, they're not manageable. Could you imagine two conjoined twins 10 years old, you know, that large together?

SIEBERG: Yes.

COSTELLO: Well, I don't know. But go on to CNN.com, and you can read the entire story.

So, this is the real reason Daniel is here with us this morning.

So, you think you want to run a presidential campaign? Well, now you can in a parallel political universe.

SIEBERG: A virtual world, as it were.

COSTELLO: A virtual world.

SIEBERG: Yes, Carol.

COSTELLO: Tell us about it.

SIEBERG: That's right. Well, you know that it was actually Sir Winston Churchill who said that politics is not a game. It is an earnest business. Well, in fact, Winston Churchill could not have predicted the $10 billion a year that the video game industry rakes in.

And there are a couple of new games that are capitalizing on people's interests in politics and video games at this time of year.

The first one is from a company called Lantern Games, and it's called "Frontrunner." Now, both of these games are very similar in nature. You create your candidate, and you are basically the campaign manager. You select some issues that are important to you, whether it's health care or the war in Iraq or taxes, job cuts, your ideology. And the candidates are people you're familiar with. It could be John Kerry. It could be George W. Bush. It could be even Howard Dean. Or you could make your own candidate.

Then you head out on the campaign trail. You've got to worry about fund-raising and speeches, maybe putting together some political ads. And you have to worry about your candidate not getting too tired. Their stamina can actually run down.

And you can play this game right through and to the very end. It's just like any typical election, where the votes are tabulated at the end. Or you could get a special news report that pops up and maybe changes your strategy a little bit.

At the end of it, though, the votes are tabulated. It's 90 days until the election. We're actually within 90 days now. It does tabulate it at the end, like it would in a typical election. If you've got 270 electoral votes, you win.

And there's a tutorial in it to help you kind of understand all of the election process.

MYERS: (UNINTELLIGIBLE) election, right? Without the hanging chads?

SIEBERG: Very much. It's a little bit like political chess and without the hanging chads.

MYERS: Right, yes.

COSTELLO: Do you think anybody would really want to play this, Daniel?

SIEBERG: Well, it's the type of game that you really have to get into. I mean, it's for political junkies. It's for people who might be interested in getting to know more about...

COSTELLO: Like Bill Schneider.

SIEBERG: It could be for Bill Schneider.

MYERS: Or Wolf Blitzer.

SIEBERG: Or Wolf Blitzer, he (UNINTELLIGIBLE) in the game.

COSTELLO: Or Judy Woodruff.

SIEBERG: Right.

Now, this next game actually has elements of CNN in it, and I'll get to that in a second. But this one...

COSTELLO: Really?

SIEBERG: Yes. This is from Ubisoft, and it's called the "Political Machine," very similar. It's about making your character. In this case, you can only be a Republican or a Democrat.

There's something interesting in this one. You can hire spin doctors, or what they call in the game "smear merchants," to work on your behalf to try and work things in your favor.

You also travel around the country. You appear on talk shows. This is where the CNN part is. "Barry King Live"...

COSTELLO: Barry, oh.

SIEBERG: Barry King. There's another one in here called "Nighttime," which is obviously based on "Nightline."

So, a couple of games out for PCs now.

COSTELLO: Very interesting.

SIEBERG: So if you want to get into the educational scene.

COSTELLO: Thank you, Daniel. We appreciate your bringing that to us.

We're going to announce our mug winner in two minutes, but first this is DAYBREAK for a Thursday morning.

(COMMERCIAL BREAK)

COSTELLO: Before we go, we want to update our top story now. A U.S. helicopter transporting a wounded American has been downed during some fierce fighting in the holy Iraqi city of Najaf. Two other Americans were hurt. U.S. and Iraqi troops are battling guerrillas loyal to a Muslim cleric.

So that's your update, and they'll have much more on this on "AMERICAN MORNING."

MYERS: Of course.

Not here yesterday, but I guess you gave away a mug?

COSTELLO: We did.

MYERS: And we'll try to give away another one here.

The questions for yesterday: How many of the Lance Armstrong "Live Strong" bracelets have been sold in May alone? Seven million of those things. If you don't have one, like us, you're square, because everybody else does. And name at least two of the top 10 food antioxidants that offer the most nutritional value. And the winner gave us small red beans and wild blueberries. Both are correct.

The winner: Valerie Dennard from Palatka, Florida. Valerie, congratulations. Your mug will be, as they say, in the mail.

Now for today's questions, you may have to look up the second one. You may have to Google it, because it was on the bottom of the screen, but we didn't mention it. Name two ways to ensure a healthy trip, according to "Prevention" magazine. We had that little interview earlier. And when were the modern Summer Olympics last held in Athens, Greece? Because they were never held in Athens, Ohio -- yet.

We'll name the winner tomorrow. E-mail your questions and your answers: Daybreak@CNN.com. Daybreak@CNN.com.

COSTELLO: Where did you come up with that?

MYERS: Athens, Ohio? It's a lovely town.

COSTELLO: It is...

MYERS: From Howe University.

COSTELLO: It is a beautiful town.

MYERS: I used to live in Columbus. We used to go down to Athens all the time.

COSTELLO: It's a gorgeous town. You know, we've been getting a lot of e-mails about the Summer Olympic Games, and most people are just simply not interested. And that surprised me.

MYERS: I think that one came in that said I can't wait for the Jamaican bobsled team. You know, I think the Winter Olympics have taken on kind of a little bit of a flair. The Summer Olympics are a little slow. We'll see.

COSTELLO: So, you're not going to watch the gymnastics?

MYERS: I'm not going to watch the gymnastics.

COSTELLO: Pole vaulting?

MYERS: I love the boxing. I love the hammer throw.

COSTELLO: The hammer throw. Oh, yes, that's my favorite event.

That does it for us. I'm Carol Costello along with Chad Myers. "AMERICAN MORNING" starts right now.

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Aired August 5, 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: The computer file trail now leads to Britain. We told you about those 12 arrests in the U.K. yesterday. Well, this morning one of the men arrested is being called a senior al Qaeda operative, one with ties to Muhammad Khan.
Live now to Diana Muriel in London with more.

Good morning -- Diana.

DIANA MURIEL, CNN CORRESPONDENT: Good morning, Carol.

Yes, British police here in London are continuing to interrogate the 12 suspects at the Paddington Green police station in West London, where they were brought after those raids on Tuesday.

Sources in Pakistan have told CNN that at least one of the 12 suspects arrested here in Britain on suspicion of being involved in terrorist activities was arrested as the result of intelligence gathered by the Pakistani authorities as the result of an arrest that they made there in Lahore last month. And Muhammad Naeem Noor Khan was arrested on July the 13th, and he's described as an al Qaeda computer expert.

Sources say that an interrogation of that suspect led to information that there was a terror network operating in Britain, and that he had frequently relayed messages to the leader of that cell.

Now, CNN can confirm that Khan came frequently to Britain. And we understand that he met with this group or network here in Britain and the leader of that network.

Now, the British press is speculating that the man's name is Abu Musa Al Hindi (ph) or Abu Eisa Al Hindi (ph). These are believed to be aliases, and we cannot confirm that name. Indeed, British police are giving very few details, Carol, about the suspects that are being held.

What they have done this morning is release some information as to where individual suspects were arrested. They've given each of the 12 suspects a letter, A, B, C, D, and they've indicated where those individuals were arrested.

They say there may be more information coming out later today, but we've been getting very limited information from Scotland Yard. And they are refusing to confirm that there is a link between the arrests here in the U.K. and those that were made in Pakistan. They say simply that this was part of an intelligence-led operation that had been established sometime ago, and they're indicating, therefore, that there may not be a connection. But the indications that CNN sources have is that there is a connection between Pakistan and the British arrests -- Carol.

COSTELLO: Fascinating. Diana Muriel live in London for us this morning, thank you.

So, Pakistan has rounded up dozens of terror suspects in the last few months, seemingly important ones like Muhammad Khan, the man with the computer that forced the United States to go on heightened alert.

Our senior international correspondent Nic Robertson is live in Riyadh, Saudi Arabia, this morning.

And, Nic, we just wanted to pick your brain a little bit about this. How big of a dent has Pakistan put into the al Qaeda network?

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, Pakistani security sources say that they think that their discoveries and the people they've arrested have put a dent, they don't know how significant it is going to be, but a dent into al Qaeda operations.

One of the things that Pakistani sources are telling us at this time is that Muhammad Khan was a very important hub for al Qaeda, a very important operative, because he was able to speak three languages. He spoke Arabic, Urdu and English. Urdu being the language used predominantly in Pakistan, English obviously used by potential operatives in Britain and the United States, and Arabic is used by many other al Qaeda operatives.

So, he was a very important key central person through whom al Qaeda could pass messages.

Now, the Pakistani intelligence sources say that along with another individual they've arrested that they believe that they've at least interrupted or disrupted or perhaps closed down one information transmission route that al Qaeda has been using. They not only use electronic means, e-mail, but they also use written coded instructions on how to decipher those e-mails.

And according to one Pakistani intelligence source at least, they say that they have also been able to intercept a person carrying those hand-written messages that would provide the al Qaeda operatives at the other end how to decipher, how to decode the e-mails that they're receiving.

So, from the Pakistani perspective, essentially Muhammad Khan, very important, a help for al Qaeda, spoke three very important languages for them. And secondly, that they've been able to interrupt and disrupt the sort of backup part or the sort of ancillary part of this communications check -- Carol.

COSTELLO: Nic, in these computer files, apparently there were pictures inside and outside of financial centers here in the United States. And the information also was written in English, and I found that very interesting. Why would it be written in English?

ROBERTSON: Well, possibly that the information that's been provided to this al Qaeda cell has come from an operative who speaks English.

This would perhaps give cause for concern for security officials in the U.S. and Britain, because what they've been on the lookout for are al Qaeda operatives who can disguise themselves very well in the communities they're living -- the United States and Britain. And obviously key to that would be able to have a good command of the English language.

So, perhaps -- and this is only perhaps, of course -- that this intelligence-gathering information has been run by operatives who speak English, passing it potentially, as we understand, back to Muhammad Khan, who is then able to translate it into Arabic or Urdu, passing that perhaps to other operatives who can take and use that information further.

But any information that's been generated from Muhammad Khan's computer and other sources that Pakistani intelligence sources are telling is very, very useful to them. Whether it's in English, Arabic or Urdu, it's all helping them build a more accurate picture of what al Qaeda is doing and what its current threat level is -- Carol.

COSTELLO: So, a last question for you, Nic. There have been rumors flying around that there is an al Qaeda cell operating here in the United States. Is there any evidence at all that a cell within the United States is communicating with a cell in Pakistan or vice versa?

ROBERTSON: Well, that's the indication from the information gleaned from Muhammad Khan and others detained in Pakistan and, again, confirmed by officials in the United States.

Is it an individual or individuals that have been contacted from Pakistan? Certainly the indication is that Muhammad Khan was also providing a link to operatives that have been arrested in the United Kingdom and Great Britain.

So, it does seem very likely at this time that it would be al Qaeda operatives that Muhammad Khan had contacted in the United States, and obviously this is being worked on, but at a level of information that intelligence sources have provided us. And one has to remember that they provide us with information that they want to perhaps, and very likely they hold back other pieces of critical information.

But it does seem at this stage that the pictures that they're telling us builds an impression that these individuals or individuals in the United States may well have had a very serious connection with al Qaeda -- Carol.

COSTELLO: Nic Robertson live in Riyadh, Saudi Arabia, this morning. Thank you so much.

Pharmaceutical giant Bristol-Myers Squibb agrees to pay up. Next, why the company had to shell out $150 million to the feds.

And it can be miserable to be sick on vacation. How to make sure you stay healthy while traveling next.

But first, here's a look at what else is making news this Thursday, August 5.

(COMMERCIAL BREAK)

COSTELLO: The stock market closed higher thanks to gains late in the session. This morning, the Dow opens up just over 6 points. The Nasdaq starts the day down 3 points. And the S&P 500 starts the day down 1 point.

So, it's time for a little business buzz now. Bristol-Myers agrees to pay up to settle charges of accounting fraud.

It's becoming such a familiar story, isn't it -- Carrie Lee?

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: It is, Carol. But this is a big payment, $150 million; this, as a settlement with the SEC. This is one of the biggest settlements we've seen in recent years for a company that is still operating.

Now, the drug giant is paying the money to settle accounting fraud allegations. Federal regulators have accused Bristol-Myers of manipulating its inventory of drugs to inflate profits, and thus meet Wall Street targets.

Now, the pharma giant still faces a criminal investigation by the Justice Department. But in this settlement of the civil case with the SEC, Bristol is paying a $100 million civil fine and an additional 50 million. And the money is going to go into a fund for shareholders.

So, Carol, at least shareholders are going to get a little something here out of this deal.

COSTELLO: Yes, it's better than nothing.

LEE: Right.

COSTELLO: Thank you, Carrie Lee live from the Nasdaq Marketsite.

Come on, admit it. At one time or another you've spent more of your vacation at the drug store than at the souvenir store. Granted, that is not the type of getaway most of us are looking for. But what is the best way to protect your health when you're away from home?

Amy O'Connor of "Prevention" magazine joins us live from New York to help us out.

Thanks for coming in.

AMY O'CONNOR, "PREVENTION: MAGAZINE: Oh, thanks for having me.

COSTELLO: So, give us some tips. What should we bring with us to keep us healthy on vacation?

O'CONNOR: Well, as you said, a lot of people are going on vacation this time of year especially, and if you don't plan for a medical emergency, not only is it bad for your health, but it can be incredibly expensive.

One of the first things you need to do if you're going -- if you're lucky enough to be going somewhere exotic, like Asia or Africa, is get immunized early. You don't want to wait around for that to happen. You want to do that about two weeks ahead of time.

And for some tips on what immunizations you might need for your destination, you can check out our Web site, Prevention.com.

COSTELLO: Yes, because some of those shots can actually make you sick for a time.

O'CONNOR: Exactly. You need to plan ahead of time. You need to consult with your doctor before you get them.

COSTELLO: OK. Get a checkup.

O'CONNOR: Right.

COSTELLO: I would never think of that before going on vacation.

O'CONNOR: Well, here is why. Because you need to consult with your doctor about what medications you are taking abroad especially. You know, a lot of people don't realize some prescription drugs that are legal here are not legal there.

You also need to tell your doctor if you're going somewhere exotic and you're going to be eating exotic food. Some of those foods might have some interactions with the medications you're taking.

And also, if you're changing time zones, how do you know when you're going to take your medication? Your doctor will be able to tell you.

COSTELLO: Oh, that's a good idea. And you say you should also take some letters from your doctor.

O'CONNOR: Right, letters saying why you're taking the medication you're taking so that no one thinks that you're, you know, selling drugs or doing anything crazy like that.

It's also a really smart idea to keep your drugs in the containers that they're in. Don't put them in, you know, cute little bags or things to pack them.

And when you're taking them on the plane, make sure that you do not put them in cargo. Carry them with you. If they get lost, you're going to be really sorry.

COSTELLO: OK. Travelers insurance. Now, I wouldn't think of this, because I would think that my health insurance would cover me if I get sick in any other place.

O'CONNOR: A lot of other people have thought that, and they've gotten a rude awakening when they've gotten sick, especially abroad. A lot of foreign hospitals don't take American insurance, and a lot of doctors in other parts of the country who are out of network won't accept your insurance.

You need to consult with your insurance company before you leave on vacation and ask them when and where you are covered. And you can probably pay extra to get better coverage.

COSTELLO: Understand. Keep important numbers handy. What does that mean?

O'CONNOR: That means put the number of your doctor and your pharmacy in your cell phone, so if anything happens you'll have it at the ready so you're not going to be dialing, you know, 411 from some exotic location and you can't get through. It's very important to keep those numbers handy.

COSTELLO: Keep your meds in their original containers.

O'CONNOR: Right. As I mentioned, it's very important to keep them in the original containers. As everybody knows, security is a lot tighter now. You don't want to have a bunch of weird pills and powders floating around your luggage for someone to say, hey, what's this, and keep you stranded for a couple of hours while they try and figure out what you have a prescription for.

COSTELLO: Yes, you don't want the drug-sniffing dog coming up.

O'CONNOR: Exactly.

COSTELLO: Amy O'Connor from "Prevention" magazine, thank you for joining DAYBREAK this morning.

O'CONNOR: Thank you.

COSTELLO: Your news, money, weather and sports. It is 6:45 Eastern. Here's what's all new this morning.

The nation's nuclear officials are going to keep quiet about security issues. The government says gaps in security discovered at the nation's nuclear plants will no longer be made public. The move is an effort to keep information from terrorists.

Mark Hacking was turned in by his brothers. "The Salt Lake City Tribune" reports that Hacking confessed to his brothers that he killed his wife in her sleep. Their information led to Hacking's arrest and the continued search of an area landfill.

In money news, oil prices could see 50 bucks a barrel soon. Analysts predict ongoing demand and a cold winter could send crude to new highs. A supply disruption like a terrorist attack could hit already-thin world supplies. In culture, for the first time the Dalai Lama has collaborated with a Chinese author, Victor Chan, into releasing "The Wisdom of Forgiveness." The book records conversations between the men as they traveled together.

In sports, a stunning move. Dallas Cowboys quarterback Quincy Carter is out, cut, replaced by 40-year-old Vinny Testaverde. No word on the reason behind the move, but there are rumors flying about drug use, although Quincy Carter denies that. But I guess there is no quarterback controversy now in Dallas.

CHAD MYERS, CNN METEOROLOGIST: Vinny, Vinny.

COSTELLO: Unbelievable.

MYERS: Forty years old. There's hope for us all.

(WEATHER BREAK)

COSTELLO: But, hey, it's election year.

MYERS: Really?

COSTELLO: It's shocking, isn't it?

MYERS: And we're having an Olympics, too. Wow!

COSTELLO: We are. It is time to get in on the political hoopla. Now there is a way you can manage your own political campaign. Our technology guru Daniel Sieberg joins us next to explain the art of playing politics.

(COMMERCIAL BREAK)

COSTELLO: And welcome back to DAYBREAK.

It is time to check out our "Web Clicks" this morning. The CNN.com Web site, sometimes the stories on there get your interest a lot more than what we report on DAYBREAK.

Daniel Sieberg is here to help us out.

DANIEL SIEBERG, CNN TECH CORRESPONDENT: You never know what's going to be popular online.

COSTELLO: Right. And you are our tech guru, in case people don't know out there. But, of course, they would know.

SIEBERG: I try to be. I try to be. Yes, yes.

COSTELLO: Yes, you try to be. But let's talk about what's most interesting to people on the CNN.com Web site.

Story No.1, the most clicked-on story: Mary Kay Letourneau, she's still in the news. She was released from prison, what, yesterday? And apparently the 12-year-old who is now 21, the child she raped those so many years ago and had two children by...

MYERS: Two children, right?

COSTELLO: That's crazy.

MYERS: Living with his parents.

COSTELLO: Yes.

SIEBERG: And he says he's still interested in being with her?

MYERS: He still loves her.

SIEBERG: Wow!

COSTELLO: Yes, he still loves her, and he...

SIEBERG: After all this time.

COSTELLO: I don't know.

SIEBERG: Has the heart grown fonder?

COSTELLO: It's kind of a sick love story, isn't it?

SIEBERG: Yes, yes.

COSTELLO: The second most clicked-on story: Tigger has been cleared.

SIEBERG: There are news stories on CNN.com as well, we should point out. But yes...

COSTELLO: I know. But these are the stories people are most interested in.

This is Tigger, his costume at least. And the man in the Tigger costume was accused by a 13-year-old girl, she claimed that he had touched her breast while she was posing for a picture with him at Walt Disney World.

SIEBERG: And the attorney had a very sort of dramatic presentation, I understand, where he actually put on the Tigger paws, as it were.

MYERS: Yes.

COSTELLO: Yes.

SIEBERG: And that was to, what? Illustrate that he couldn't...

COSTELLO: Feel anything through the paws.

SIEBERG: Feel anything, OK.

COSTELLO: And the jury bought that. Yes. SIEBERG: Right.

COSTELLO: The third most clicked-on story...

MYERS: The twins.

COSTELLO: Oh, the twins. They didn't tell me this. This is new. They just updated this. This is in New York City, I believe, where these Filipino boys were joined at the head, and they have now been separated surgically. And hopefully they're doing OK.

SIEBERG: Wow! Two years old. Is there an age limit to do that type of surgery, do you think?

MYERS: You know, the longer they're together, the more the veins and arteries get intertwined. And so the sooner you can do it, obviously the better.

SIEBERG: Yes.

MYERS: And then at some point in time, they're not manageable. Could you imagine two conjoined twins 10 years old, you know, that large together?

SIEBERG: Yes.

COSTELLO: Well, I don't know. But go on to CNN.com, and you can read the entire story.

So, this is the real reason Daniel is here with us this morning.

So, you think you want to run a presidential campaign? Well, now you can in a parallel political universe.

SIEBERG: A virtual world, as it were.

COSTELLO: A virtual world.

SIEBERG: Yes, Carol.

COSTELLO: Tell us about it.

SIEBERG: That's right. Well, you know that it was actually Sir Winston Churchill who said that politics is not a game. It is an earnest business. Well, in fact, Winston Churchill could not have predicted the $10 billion a year that the video game industry rakes in.

And there are a couple of new games that are capitalizing on people's interests in politics and video games at this time of year.

The first one is from a company called Lantern Games, and it's called "Frontrunner." Now, both of these games are very similar in nature. You create your candidate, and you are basically the campaign manager. You select some issues that are important to you, whether it's health care or the war in Iraq or taxes, job cuts, your ideology. And the candidates are people you're familiar with. It could be John Kerry. It could be George W. Bush. It could be even Howard Dean. Or you could make your own candidate.

Then you head out on the campaign trail. You've got to worry about fund-raising and speeches, maybe putting together some political ads. And you have to worry about your candidate not getting too tired. Their stamina can actually run down.

And you can play this game right through and to the very end. It's just like any typical election, where the votes are tabulated at the end. Or you could get a special news report that pops up and maybe changes your strategy a little bit.

At the end of it, though, the votes are tabulated. It's 90 days until the election. We're actually within 90 days now. It does tabulate it at the end, like it would in a typical election. If you've got 270 electoral votes, you win.

And there's a tutorial in it to help you kind of understand all of the election process.

MYERS: (UNINTELLIGIBLE) election, right? Without the hanging chads?

SIEBERG: Very much. It's a little bit like political chess and without the hanging chads.

MYERS: Right, yes.

COSTELLO: Do you think anybody would really want to play this, Daniel?

SIEBERG: Well, it's the type of game that you really have to get into. I mean, it's for political junkies. It's for people who might be interested in getting to know more about...

COSTELLO: Like Bill Schneider.

SIEBERG: It could be for Bill Schneider.

MYERS: Or Wolf Blitzer.

SIEBERG: Or Wolf Blitzer, he (UNINTELLIGIBLE) in the game.

COSTELLO: Or Judy Woodruff.

SIEBERG: Right.

Now, this next game actually has elements of CNN in it, and I'll get to that in a second. But this one...

COSTELLO: Really?

SIEBERG: Yes. This is from Ubisoft, and it's called the "Political Machine," very similar. It's about making your character. In this case, you can only be a Republican or a Democrat.

There's something interesting in this one. You can hire spin doctors, or what they call in the game "smear merchants," to work on your behalf to try and work things in your favor.

You also travel around the country. You appear on talk shows. This is where the CNN part is. "Barry King Live"...

COSTELLO: Barry, oh.

SIEBERG: Barry King. There's another one in here called "Nighttime," which is obviously based on "Nightline."

So, a couple of games out for PCs now.

COSTELLO: Very interesting.

SIEBERG: So if you want to get into the educational scene.

COSTELLO: Thank you, Daniel. We appreciate your bringing that to us.

We're going to announce our mug winner in two minutes, but first this is DAYBREAK for a Thursday morning.

(COMMERCIAL BREAK)

COSTELLO: Before we go, we want to update our top story now. A U.S. helicopter transporting a wounded American has been downed during some fierce fighting in the holy Iraqi city of Najaf. Two other Americans were hurt. U.S. and Iraqi troops are battling guerrillas loyal to a Muslim cleric.

So that's your update, and they'll have much more on this on "AMERICAN MORNING."

MYERS: Of course.

Not here yesterday, but I guess you gave away a mug?

COSTELLO: We did.

MYERS: And we'll try to give away another one here.

The questions for yesterday: How many of the Lance Armstrong "Live Strong" bracelets have been sold in May alone? Seven million of those things. If you don't have one, like us, you're square, because everybody else does. And name at least two of the top 10 food antioxidants that offer the most nutritional value. And the winner gave us small red beans and wild blueberries. Both are correct.

The winner: Valerie Dennard from Palatka, Florida. Valerie, congratulations. Your mug will be, as they say, in the mail.

Now for today's questions, you may have to look up the second one. You may have to Google it, because it was on the bottom of the screen, but we didn't mention it. Name two ways to ensure a healthy trip, according to "Prevention" magazine. We had that little interview earlier. And when were the modern Summer Olympics last held in Athens, Greece? Because they were never held in Athens, Ohio -- yet.

We'll name the winner tomorrow. E-mail your questions and your answers: Daybreak@CNN.com. Daybreak@CNN.com.

COSTELLO: Where did you come up with that?

MYERS: Athens, Ohio? It's a lovely town.

COSTELLO: It is...

MYERS: From Howe University.

COSTELLO: It is a beautiful town.

MYERS: I used to live in Columbus. We used to go down to Athens all the time.

COSTELLO: It's a gorgeous town. You know, we've been getting a lot of e-mails about the Summer Olympic Games, and most people are just simply not interested. And that surprised me.

MYERS: I think that one came in that said I can't wait for the Jamaican bobsled team. You know, I think the Winter Olympics have taken on kind of a little bit of a flair. The Summer Olympics are a little slow. We'll see.

COSTELLO: So, you're not going to watch the gymnastics?

MYERS: I'm not going to watch the gymnastics.

COSTELLO: Pole vaulting?

MYERS: I love the boxing. I love the hammer throw.

COSTELLO: The hammer throw. Oh, yes, that's my favorite event.

That does it for us. I'm Carol Costello along with Chad Myers. "AMERICAN MORNING" starts right now.

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