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CNN Live At Daybreak

Buying Uncle Sam?; Terror Alert Tourists; Separate Lives

Aired August 10, 2004 - 05:30   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: An Iraqi city in turmoil this morning, radical Shiite militia on one side, U.S. Marines and Iraqi security forces on the other.
It is Tuesday, August 10. This is DAYBREAK.

And good morning to you, welcome to the second half-hour of DAYBREAK. From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

"Now in the News," fresh fighting this morning in the southern Iraqi city of Najaf. U.S. Marines and Iraqi security forces once again face militia loyal to a Shiite cleric critical of the United States. It is the sixth straight day of fighting.

In the Iraqi capital just about five hours ago, a large explosion outside the Baghdad hotel went off as a U.S. military convoy was passing. No word on casualties yet.

The co-chairmen of the commission that investigated the 9/11 terrorist attacks are on Capitol Hill this morning. They'll appear before the House Arms Services Committee to lobby for their recommendations to fight terrorism.

And in the Gulf of Mexico, Tropical Storm Bonnie is less than 400 -- you know I'm going to let Chad do this because he knows better than I.

Chad, tell us.

CHAD MYERS, CNN METEOROLOGIST: It's my first traffic anyway, Carol, good morning.

(WEATHER REPORT)

MYERS: Back to you.

COSTELLO: Thank you -- Chad.

MYERS: You're welcome.

COSTELLO: We start this half-hour with the first of several reports aimed at your money and the best government it can buy. Who reaps the most benefits after Election Day, is it the voters or is it big business? Critics say corporations are getting the message that big campaign donations can lead to big breaks.

CNN's Lisa Sylvester has more from Washington.

(BEGIN VIDEOTAPE)

LISA SYLVESTER, CNN CORRESPONDENT (voice-over): The sugar industry is a lot like the lobbying industry, you reap what you sow. Flo-Sun, known as Florida Crystals, is the largest U.S. raw sugar producer. Two brothers own the company, Alfonso and Jose Fanjul. The Fanjul family and the company's executives have given nearly $3 million in political contributions to both Democrats and Republicans since 1992.

Their chief lobbyist, Wayne Berman raised nearly $100,000 for President Bush in 2000 and gave another $100,000 for the Bush-Cheney inauguration. While there is no evidence of direct quid pro quo, the brothers and the rest of the sugar industry got a sweet deal when President Bush signed the 2002 Farm Bill; $400 million in taxpayer benefits.

CHELLIE PINGREE, COMMON CAUSE: Clearly to a lot of big organizations, they get the word, and they're told, "Make your contribution and you'll be remembered after Election Day."

SYLVESTER: But campaign contributions and lobbying by agricultural interests pale in comparison to other industries. The U.S. Chamber of Commerce spent the most lobbying Congress in 2003: $40 million. The industry received a number of business-friendly tax breaks.

The pharmaceutical research and manufacturers of America spent $23 million, one result: an industry-favorable Medicare prescription drug benefit.

Home lender Freddie Mac spent nearly $22 million fighting tougher regulation. This is in addition to the nearly $8 million the three groups gave in direct campaign contributions in 2002.

CHARLES LEWIS, CENTER FOR PUBLIC INTEGRITY: The folks who get heard, the folks who get meetings, the folks who help write policy are the ones who give the money. And anyone who thinks for a moment there's no connection is living on Neptune or something.

SYLVESTER: Hundreds of the top firms are located on K Street in Washington. In 1996, there were only 10,000 lobbyists registered with the secretary of the Senate. Today there are nearly 25,000 lobbyists.

LARRY NOBLE, CENTER FOR RESPONSIVE POLITICS: If what you're seeing is a contribution given in return for a vote, there's a pretty simple answer: that's bribery. People go to jail for that. So it's a much more subtle process.

SYLVESTER: It's about access. That's why you often see a revolving door. Lobbying firms offering lucrative jobs to former and current members of Congress; at the same time lobbyists are seeking appointments to government positions. There are 232 former members of Congress who are currently lobbyists. ALEX KNOTT, CENTER FOR PUBLIC INTEGRITY: There are people that can walk onto the House and the Senate floors during a House vote and basically say, "Hey, John, I don't want you to vote for that bill." And that is extremely influential.

SYLVESTER: Last month, Congressman Jim Greenwood, who chairs the Oversight and Investigation Subcommittee of Energy and Commerce, announced he's retiring to take a job lobbying for biotechnology.

Lisa Sylvester, CNN, Washington.

(END VIDEOTAPE)

COSTELLO: Tonight in our series on "The Best Government Money Can Buy," Lisa will look at the Bush-Cheney money. Find out who their biggest contributors are and what the donors want for their dollars. That's on CNN's "LOU DOBBS TONIGHT" at 6:00 Eastern, 3:00 Pacific Time.

On the campaign trail today, John Kerry will be in Nevada. Kerry will hop on a bus and travel from Arizona to Las Vegas. He's wrapped up a train portion of post convention travels to 21 states now. Today he will hold a rally at a middle school and later at a college in Las Vegas. In Arizona, the Democratic presidential nominee courted Native American leaders.

And President Bush starts a campaign swing through heavily Republican areas of the Florida Panhandle today. He's on a bus tour that will take him to Pensacola and Panama City.

At a Virginia campaign stop, the president told supporters that he still would have gone to war with Iraq based on the information he had at the time.

And you'll be sure to want to watch this, the president and the first lady are Larry King's guests this Thursday night at 9:00 Eastern, 6:00 Pacific Time.

Former President Bill Clinton was on Comedy Central last night, but his message was serious. Clinton told "The Daily Show," this presidential election is especially important because the world is going through some dramatic changes.

(BEGIN VIDEO CLIP)

BILL CLINTON, FORMER PRESIDENT OF THE UNITED STATES: Any time we go through a period of big change, it really matters who gets elected. And we're about midway through a cycle after the end of the Cold War when the new security threats or terror weapons of mass destruction and racial and religious conflicts. And we're in a new cycle where the end of the nation state of industrial economy has been replaced by a global information economy. So these decisions matter. And you've got two parties that see the world in different ways and will make different decisions.

(END VIDEO CLIP) COSTELLO: Clinton also says Republican attack ads are wrongly criticizing John Kerry's military record.

Here are some other stories making news "Across America" this Tuesday morning.

The judge called him the No. 1 mass murderer in American history, but Terry Nichols will not be put to death. The state court gave the Oklahoma City bombing coconspirator 161 life sentences without parole. Nichols is already serving eight life sentences without parole in federal prison.

A Navy Seal has managed to fight off a shark in Tampa Bay. James Tiffy (ph) was in surgery for four hours after the shark tore into his back and buttocks. It's the second shark attack near the Gulf Coast in the past three weeks. Experts believe the sharks are being driven near shore by conditions in the Gulf.

Is the circus harmful to animals? People in Denver will decide that today when they vote on an initiative that bans through a display of exotic animals for entertainment (ph). The measure was championed by a 15-year-old girl who was appalled at reports of mistreatment. The ban would not include zoos or horse racing.

The terror alerts in New York have alerted tourists to a whole new photo opportunity.

CNN's Jeanne Moos reports on saying cheese with a loaded assault weapon.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): It used to be tourists would shoot everything from the statue of liberty to the statue of George Washington, but these days, standing like statues are cops with assault weapons. And when someone asks...

UNIDENTIFIED MALE: Would you take our picture?

MOOS: ... they might be posing in front of New York's latest attraction.

(on camera) Now, you just posed with those guys. What were you thinking?

UNIDENTIFIED FEMALE: He had a big gun!

MOOS (voice-over): Tourists from Australia, from Wisconsin, from Scotland are taking aim at those big guns.

(on camera) Is it the gun or the dog that you find...

UNIDENTIFIED FEMALE: I think it's the gun that's really quite shocking, you know? We don't see anything like that back home.

UNIDENTIFIED MALE: It's unbelievable to see them standing on the corner with machine guns.

MOOS (voice-over): Well, actually, they're M-4 semiautomatics, and tourists seem automatically drawn to them.

UNIDENTIFIED MALE: In London, police don't have guns. It's quite a sight for us to see Americans with guns.

MOOS (on camera): It looks almost like a toy.

UNIDENTIFIED MALE: But it's not. Trust me.

MOOS (voice-over): The bigger the gun, the more tourists want to pose.

(on camera) Does it happen all the time?

UNIDENTIFIED MALE: Constantly.

MOOS: Do you mind when they pose with you? Or are you OK with it?

UNIDENTIFIED MALE: Not at all. I'm fine with it.

MOOS (voice-over): Eleven-year-old Christopher Stallman posed while his parents snapped away. Why did Christopher want the photo?

UNIDENTIFIED MALE: Because they're great people for protecting our country.

MOOS: Imagine showing off snapshots from your New York trip.

(on camera) I assume you have pictures of nice little touristy things, and then you're going to suddenly have guys with guns.

UNIDENTIFIED FEMALE: We're here because our daughter is performing at the Godfrey (ph) Ballet, and so we're going to have ballet pictures and fully fledged machine gun police officers.

MOOS (voice-over): Some, like this Chinese student, are full of admiration.

UNIDENTIFIED MALE: If I could, I would be -- be one with them.

MOOS (on camera): One of these policemen?

UNIDENTIFIED MALE: Yes.

UNIDENTIFIED MALE: It's like a tourist picture in the war. Yes. I don't like it very much.

MOOS (voice-over): Of course, some folks...

(on camera) He's taking a picture of us.

(voice-over) ... will shoot anything.

You can divide those taking photos into two groups.

UNIDENTIFIED FEMALE: It's really scary.

UNIDENTIFIED MALE: It's awe-inspiring. It's kind of nice to see that.

MOOS (on camera): Is it scary or make you feel more secure?

UNIDENTIFIED MALE: No, definitely more secure. They're on my side.

MOOS (voice-over): It's different being on the town when the town is on edge.

UNIDENTIFIED MALE (singing): It's a wonderful time.

MOOS: It's still wonderful if vacation photos ain't what they used to be, when what you're shooting can shoot back.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

COSTELLO: Living separate lives at last. About eight minutes from now, two boys, formerly joined, are now apart.

And at 55 past the hour, the DAYBREAK e-mail "Question of the Day," who should be responsible for policing Internet spam? The address DAYBREAK@CNN.com. We've been getting responses. We're going to read them after a break.

But first, here is a look at what else is making news this Tuesday morning.

(COMMERCIAL BREAK)

COSTELLO: Welcome back to DAYBREAK. Your news, money, weather and sports. It is 5:45 Eastern. Here is what's all new this morning.

The co-chairmen of the 9/11 Commission will begin lobbying Congress a few hours from now to implement the panel's recommendations. The leaders of that panel that looked into the terrorist attacks will testify before a House committee.

A lax safety inspection is being blamed for a deadly accident at a Japanese nuclear power plant. Four people were killed. Seven suffered severe burns. Officials say non-radioactive steam leaked from a ruptured pipe.

In money news, it will likely cost you more to borrow money today. The Fed is expected to raise interest rates by a quarter percentage point. The announcement comes at 2:15 Eastern.

In culture, a rare find for comedy film fans, a German language film starring Laurel and Hardy was found in an archive in Moscow. The 40-minute movie first debuted at the Munich Film Festival in 1931. In Germany, they're known as Dick and Dorf (ph). I like Laurel and Hardy better.

In sports, welcome back Joe Gibbs. The coach led his Washington Redskins to a 20 to 17 win in the season's first preseason game. Gibbs is the second Hall of Famer to coach in the Hall of Fame game, which of course means absolutely nothing -- Chad.

MYERS: Wait, there was football on last night?

COSTELLO: Well the Hall of Fame game.

MYERS: Missed it.

COSTELLO: It's only fun if you're there. It's really messy to watch on TV.

MYERS: Yes, anyway. Hey, football is back. It's the beginning of August.

(WEATHER REPORT)

COSTELLO: Thank you, Chad.

Those are the latest headlines for you.

They were born joined at the head, but now there is hope that the 2-year-old Filipino twins can lead separate lives. A marathon surgery separated them, as we've been telling you.

As CNN medical correspondent Christy Feig reports, doctors still have a lot more work to do though.

(BEGIN VIDEOTAPE)

ARLENE AGUIRRE, TWINS' MOTHER: I am just very, very happy that I see them already in two separate beds.

CHRISTY FEIG, CNN MEDICAL CORRESPONDENT (voice-over): When doctors rolled Carl Aguirre down the hall for a cat scan Sunday, it was the first time since he was born he went somewhere without his brother. After four surgeries over 10 months, Carl and Clarence Aguirre, who were born attached at the head, are finally separated.

DR. JAMES GOODRICH, PEDIATRIC NEUROSURGEON: I was concerned post-op that we were close to the motor strip, that one or the other of these children would lose some motor skills, either not be able to move an arm or leg, and that has not proved to be the case.

FEIG: The surgery was complicated because the boys shared important veins. To increase the chance of success, doctors operated in four different stages with weeks or months in between to give the boys time to adjust.

AGUIRRE: I know that this is a real risk operation. And I know that I might have lost one of them, but it never stopped me of doing it. FEIG: The doctors have been most concerned about Carl, because many of the existing veins belonged to his brother, and they had to create a system for him.

GOODRICH: Carl is developing some fluid around the brain, what we call early hydrocephalus. At this point, we haven't made any decision whether or not we're going to treat it. And it may resolve spontaneously.

FEIG: There are more surgeries ahead to rebuild their skulls. For their mother, the best is yet to come. She wants to see their reaction the first time they see each other.

In Washington, I'm Christy Feig.

(END VIDEOTAPE)

COSTELLO: More "Health Headlines" for you this morning.

Some surgeons may not have the experience they need when it comes to treating breast cancer. Most breast cancer patients in the U.S. are operated on by surgeons who do relatively few of the procedures each year, so says a new study by researchers in Wisconsin. Earlier studies suggest a surgeon should do at least 15 to 30 of the operations annually.

People who spend their lives in a dead end job may be facing more than a dead end. A new study says people who have jobs that take little brainwork seem more likely to eventually get Alzheimer's disease. Still not clear if the jobs themselves are the cause.

Heart disease doesn't just affect the person suffering from it. Researchers say the spouse of heart attack victims may be more likely than the patients themselves to suffer depression or anxiety afterwards, and that could end up hampering the recovery of the patients.

For more on this or any other health story, head to our Web site. The address, CNN.com/health.

Scott Peterson's former lover Amber Frey, she is about to take the stand against him. What will she say? For some analysis, our legal eagle Kendall Coffey will join us for some "Coffey Talk" in the next hour.

And our e-mail "Question of the Day," who should be responsible for policing Internet spam? Let me say that more gracefully, who should be responsible for policing Internet spam? Send your thoughts to us at DAYBREAK@CNN.com.

(COMMERCIAL BREAK)

COSTELLO: Wow, Rosanna Arquette is 45. Crazy. Do you even know who she is?

MYERS: She's catching up to me. COSTELLO: Slowly but surely.

MYERS: I know.

COSTELLO: Time for our "Where Are They Now" segment. And today we have quite a mishmash of celebrities and newsmakers.

So let's start with Paula Jones.

MYERS: Where is she now?

COSTELLO: Well it was 10 years ago today that President Clinton asked a judge for immunity in the sexual harassment suit brought by Jones. The suit was finally settled four years later. You know all of that. Well today Paula Jones is making the rounds on TV to talk about President Clinton's autobiography and to promote her own book "I Said No." That's where she is, Chad.

It was 27 years ago today that the "Son of Sam" was arrested. David Berkowitz was convicted in six murders and is now serving a life sentence for each. Today Berkowitz remains in an upstate New York prison. In June he was denied parole for a second time.

And it was 44 years ago today that Jose (ph) Banderas was born in Spain. Of course he's better known as Antonio. Banderas was awarded a gold medal by Spain's Cinema Academy for his work in more than 50 films, and he's still going. And he's still married to that lovely woman by his side, Melanie Griffith.

MYERS: Good movies. Yes, fem (ph)?

COSTELLO: Like you saw any. Did you see "Zorro?"

MYERS: I am Zorro.

COSTELLO: Yes, you're Zorro.

MYERS: Is that it? Antonio Banderas.

COSTELLO: You did see the movie.

MYERS: Yes.

COSTELLO: You just saw the trailer.

Let's take a look, though, at something that's probably been driving you absolutely nuts and that would be spam. You know those pesky unsolicited e-mails. Some try to sell you stuff by making false claims. Others are just plain vulgar or pornographic.

MYERS: Yes.

COSTELLO: The legislator is working on it. In fact, last year President Bush signed an anti-spam law, but some say today it is not working.

(BEGIN VIDEO CLIP)

MICHAEL GOODMAN, BUREAU OF CONSUMER PROTECTION: Canned spam is not going to affect the amount of messages that consumers receive to any large degree. We have said all along that legislation, whether it be canned spam or something else, is not going to be the silver bullet for the spam problem.

(END VIDEO CLIP)

COSTELLO: And it certainly has not been. We've been soliciting your comments on the matter, and we have some of your e-mails to read now.

MYERS: I would say 20 out of 21 of my e-mails are spam. There's one good one in there that I want to read, the rest is all junk.

Anyway, yes, I got one from Ontario. No one should police spam. It's the beauty of the Internet. There are no boundaries. You start policing spam, then you'll start doing everything else to stop the freedom of the Internet and the Internet would be put to an end. There's always something bad. Driving has exhaust, smoking has cancer, alcohol has a hangover, Internet has spam, all preventable, but for the sake of enjoyment, willing to put up with it.

COSTELLO: An interesting take.

This is from Steve (ph) from Charlotte, North Carolina. He says Internet service providers should be held responsible. If they would charge just one penny for every e-mail sent, for the average person it wouldn't cost that much, but these spammers that send out millions of e-mails a day, it would be quite an investment.

MYERS: Kind of agree with that one.

This one from Houston, Texas says I have no idea.

COSTELLO: Just wonder why you bothered to log on to tell us that.

MYERS: Hey.

COSTELLO: George (ph) from Gulfport, Mississippi, he says Internet service providers should be held responsible for spam. It is through them that a computer is connected to the Internet, therefore having control of what goes into someone's in box.

MYERS: OK.

COSTELLO: All right, we'll read more later. Keep them coming, DAYBREAK@CNN.com.

Well the new ad goes on the attack and war veteran John Kerry goes on the defensive. Will it make a difference at the polls this fall? We'll get views from the left and the right in today's talker. You stay tuned.

This is DAYBREAK.

(COMMERCIAL BREAK)

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Aired August 10, 2004 - 05:30   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: An Iraqi city in turmoil this morning, radical Shiite militia on one side, U.S. Marines and Iraqi security forces on the other.
It is Tuesday, August 10. This is DAYBREAK.

And good morning to you, welcome to the second half-hour of DAYBREAK. From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

"Now in the News," fresh fighting this morning in the southern Iraqi city of Najaf. U.S. Marines and Iraqi security forces once again face militia loyal to a Shiite cleric critical of the United States. It is the sixth straight day of fighting.

In the Iraqi capital just about five hours ago, a large explosion outside the Baghdad hotel went off as a U.S. military convoy was passing. No word on casualties yet.

The co-chairmen of the commission that investigated the 9/11 terrorist attacks are on Capitol Hill this morning. They'll appear before the House Arms Services Committee to lobby for their recommendations to fight terrorism.

And in the Gulf of Mexico, Tropical Storm Bonnie is less than 400 -- you know I'm going to let Chad do this because he knows better than I.

Chad, tell us.

CHAD MYERS, CNN METEOROLOGIST: It's my first traffic anyway, Carol, good morning.

(WEATHER REPORT)

MYERS: Back to you.

COSTELLO: Thank you -- Chad.

MYERS: You're welcome.

COSTELLO: We start this half-hour with the first of several reports aimed at your money and the best government it can buy. Who reaps the most benefits after Election Day, is it the voters or is it big business? Critics say corporations are getting the message that big campaign donations can lead to big breaks.

CNN's Lisa Sylvester has more from Washington.

(BEGIN VIDEOTAPE)

LISA SYLVESTER, CNN CORRESPONDENT (voice-over): The sugar industry is a lot like the lobbying industry, you reap what you sow. Flo-Sun, known as Florida Crystals, is the largest U.S. raw sugar producer. Two brothers own the company, Alfonso and Jose Fanjul. The Fanjul family and the company's executives have given nearly $3 million in political contributions to both Democrats and Republicans since 1992.

Their chief lobbyist, Wayne Berman raised nearly $100,000 for President Bush in 2000 and gave another $100,000 for the Bush-Cheney inauguration. While there is no evidence of direct quid pro quo, the brothers and the rest of the sugar industry got a sweet deal when President Bush signed the 2002 Farm Bill; $400 million in taxpayer benefits.

CHELLIE PINGREE, COMMON CAUSE: Clearly to a lot of big organizations, they get the word, and they're told, "Make your contribution and you'll be remembered after Election Day."

SYLVESTER: But campaign contributions and lobbying by agricultural interests pale in comparison to other industries. The U.S. Chamber of Commerce spent the most lobbying Congress in 2003: $40 million. The industry received a number of business-friendly tax breaks.

The pharmaceutical research and manufacturers of America spent $23 million, one result: an industry-favorable Medicare prescription drug benefit.

Home lender Freddie Mac spent nearly $22 million fighting tougher regulation. This is in addition to the nearly $8 million the three groups gave in direct campaign contributions in 2002.

CHARLES LEWIS, CENTER FOR PUBLIC INTEGRITY: The folks who get heard, the folks who get meetings, the folks who help write policy are the ones who give the money. And anyone who thinks for a moment there's no connection is living on Neptune or something.

SYLVESTER: Hundreds of the top firms are located on K Street in Washington. In 1996, there were only 10,000 lobbyists registered with the secretary of the Senate. Today there are nearly 25,000 lobbyists.

LARRY NOBLE, CENTER FOR RESPONSIVE POLITICS: If what you're seeing is a contribution given in return for a vote, there's a pretty simple answer: that's bribery. People go to jail for that. So it's a much more subtle process.

SYLVESTER: It's about access. That's why you often see a revolving door. Lobbying firms offering lucrative jobs to former and current members of Congress; at the same time lobbyists are seeking appointments to government positions. There are 232 former members of Congress who are currently lobbyists. ALEX KNOTT, CENTER FOR PUBLIC INTEGRITY: There are people that can walk onto the House and the Senate floors during a House vote and basically say, "Hey, John, I don't want you to vote for that bill." And that is extremely influential.

SYLVESTER: Last month, Congressman Jim Greenwood, who chairs the Oversight and Investigation Subcommittee of Energy and Commerce, announced he's retiring to take a job lobbying for biotechnology.

Lisa Sylvester, CNN, Washington.

(END VIDEOTAPE)

COSTELLO: Tonight in our series on "The Best Government Money Can Buy," Lisa will look at the Bush-Cheney money. Find out who their biggest contributors are and what the donors want for their dollars. That's on CNN's "LOU DOBBS TONIGHT" at 6:00 Eastern, 3:00 Pacific Time.

On the campaign trail today, John Kerry will be in Nevada. Kerry will hop on a bus and travel from Arizona to Las Vegas. He's wrapped up a train portion of post convention travels to 21 states now. Today he will hold a rally at a middle school and later at a college in Las Vegas. In Arizona, the Democratic presidential nominee courted Native American leaders.

And President Bush starts a campaign swing through heavily Republican areas of the Florida Panhandle today. He's on a bus tour that will take him to Pensacola and Panama City.

At a Virginia campaign stop, the president told supporters that he still would have gone to war with Iraq based on the information he had at the time.

And you'll be sure to want to watch this, the president and the first lady are Larry King's guests this Thursday night at 9:00 Eastern, 6:00 Pacific Time.

Former President Bill Clinton was on Comedy Central last night, but his message was serious. Clinton told "The Daily Show," this presidential election is especially important because the world is going through some dramatic changes.

(BEGIN VIDEO CLIP)

BILL CLINTON, FORMER PRESIDENT OF THE UNITED STATES: Any time we go through a period of big change, it really matters who gets elected. And we're about midway through a cycle after the end of the Cold War when the new security threats or terror weapons of mass destruction and racial and religious conflicts. And we're in a new cycle where the end of the nation state of industrial economy has been replaced by a global information economy. So these decisions matter. And you've got two parties that see the world in different ways and will make different decisions.

(END VIDEO CLIP) COSTELLO: Clinton also says Republican attack ads are wrongly criticizing John Kerry's military record.

Here are some other stories making news "Across America" this Tuesday morning.

The judge called him the No. 1 mass murderer in American history, but Terry Nichols will not be put to death. The state court gave the Oklahoma City bombing coconspirator 161 life sentences without parole. Nichols is already serving eight life sentences without parole in federal prison.

A Navy Seal has managed to fight off a shark in Tampa Bay. James Tiffy (ph) was in surgery for four hours after the shark tore into his back and buttocks. It's the second shark attack near the Gulf Coast in the past three weeks. Experts believe the sharks are being driven near shore by conditions in the Gulf.

Is the circus harmful to animals? People in Denver will decide that today when they vote on an initiative that bans through a display of exotic animals for entertainment (ph). The measure was championed by a 15-year-old girl who was appalled at reports of mistreatment. The ban would not include zoos or horse racing.

The terror alerts in New York have alerted tourists to a whole new photo opportunity.

CNN's Jeanne Moos reports on saying cheese with a loaded assault weapon.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): It used to be tourists would shoot everything from the statue of liberty to the statue of George Washington, but these days, standing like statues are cops with assault weapons. And when someone asks...

UNIDENTIFIED MALE: Would you take our picture?

MOOS: ... they might be posing in front of New York's latest attraction.

(on camera) Now, you just posed with those guys. What were you thinking?

UNIDENTIFIED FEMALE: He had a big gun!

MOOS (voice-over): Tourists from Australia, from Wisconsin, from Scotland are taking aim at those big guns.

(on camera) Is it the gun or the dog that you find...

UNIDENTIFIED FEMALE: I think it's the gun that's really quite shocking, you know? We don't see anything like that back home.

UNIDENTIFIED MALE: It's unbelievable to see them standing on the corner with machine guns.

MOOS (voice-over): Well, actually, they're M-4 semiautomatics, and tourists seem automatically drawn to them.

UNIDENTIFIED MALE: In London, police don't have guns. It's quite a sight for us to see Americans with guns.

MOOS (on camera): It looks almost like a toy.

UNIDENTIFIED MALE: But it's not. Trust me.

MOOS (voice-over): The bigger the gun, the more tourists want to pose.

(on camera) Does it happen all the time?

UNIDENTIFIED MALE: Constantly.

MOOS: Do you mind when they pose with you? Or are you OK with it?

UNIDENTIFIED MALE: Not at all. I'm fine with it.

MOOS (voice-over): Eleven-year-old Christopher Stallman posed while his parents snapped away. Why did Christopher want the photo?

UNIDENTIFIED MALE: Because they're great people for protecting our country.

MOOS: Imagine showing off snapshots from your New York trip.

(on camera) I assume you have pictures of nice little touristy things, and then you're going to suddenly have guys with guns.

UNIDENTIFIED FEMALE: We're here because our daughter is performing at the Godfrey (ph) Ballet, and so we're going to have ballet pictures and fully fledged machine gun police officers.

MOOS (voice-over): Some, like this Chinese student, are full of admiration.

UNIDENTIFIED MALE: If I could, I would be -- be one with them.

MOOS (on camera): One of these policemen?

UNIDENTIFIED MALE: Yes.

UNIDENTIFIED MALE: It's like a tourist picture in the war. Yes. I don't like it very much.

MOOS (voice-over): Of course, some folks...

(on camera) He's taking a picture of us.

(voice-over) ... will shoot anything.

You can divide those taking photos into two groups.

UNIDENTIFIED FEMALE: It's really scary.

UNIDENTIFIED MALE: It's awe-inspiring. It's kind of nice to see that.

MOOS (on camera): Is it scary or make you feel more secure?

UNIDENTIFIED MALE: No, definitely more secure. They're on my side.

MOOS (voice-over): It's different being on the town when the town is on edge.

UNIDENTIFIED MALE (singing): It's a wonderful time.

MOOS: It's still wonderful if vacation photos ain't what they used to be, when what you're shooting can shoot back.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

COSTELLO: Living separate lives at last. About eight minutes from now, two boys, formerly joined, are now apart.

And at 55 past the hour, the DAYBREAK e-mail "Question of the Day," who should be responsible for policing Internet spam? The address DAYBREAK@CNN.com. We've been getting responses. We're going to read them after a break.

But first, here is a look at what else is making news this Tuesday morning.

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COSTELLO: Welcome back to DAYBREAK. Your news, money, weather and sports. It is 5:45 Eastern. Here is what's all new this morning.

The co-chairmen of the 9/11 Commission will begin lobbying Congress a few hours from now to implement the panel's recommendations. The leaders of that panel that looked into the terrorist attacks will testify before a House committee.

A lax safety inspection is being blamed for a deadly accident at a Japanese nuclear power plant. Four people were killed. Seven suffered severe burns. Officials say non-radioactive steam leaked from a ruptured pipe.

In money news, it will likely cost you more to borrow money today. The Fed is expected to raise interest rates by a quarter percentage point. The announcement comes at 2:15 Eastern.

In culture, a rare find for comedy film fans, a German language film starring Laurel and Hardy was found in an archive in Moscow. The 40-minute movie first debuted at the Munich Film Festival in 1931. In Germany, they're known as Dick and Dorf (ph). I like Laurel and Hardy better.

In sports, welcome back Joe Gibbs. The coach led his Washington Redskins to a 20 to 17 win in the season's first preseason game. Gibbs is the second Hall of Famer to coach in the Hall of Fame game, which of course means absolutely nothing -- Chad.

MYERS: Wait, there was football on last night?

COSTELLO: Well the Hall of Fame game.

MYERS: Missed it.

COSTELLO: It's only fun if you're there. It's really messy to watch on TV.

MYERS: Yes, anyway. Hey, football is back. It's the beginning of August.

(WEATHER REPORT)

COSTELLO: Thank you, Chad.

Those are the latest headlines for you.

They were born joined at the head, but now there is hope that the 2-year-old Filipino twins can lead separate lives. A marathon surgery separated them, as we've been telling you.

As CNN medical correspondent Christy Feig reports, doctors still have a lot more work to do though.

(BEGIN VIDEOTAPE)

ARLENE AGUIRRE, TWINS' MOTHER: I am just very, very happy that I see them already in two separate beds.

CHRISTY FEIG, CNN MEDICAL CORRESPONDENT (voice-over): When doctors rolled Carl Aguirre down the hall for a cat scan Sunday, it was the first time since he was born he went somewhere without his brother. After four surgeries over 10 months, Carl and Clarence Aguirre, who were born attached at the head, are finally separated.

DR. JAMES GOODRICH, PEDIATRIC NEUROSURGEON: I was concerned post-op that we were close to the motor strip, that one or the other of these children would lose some motor skills, either not be able to move an arm or leg, and that has not proved to be the case.

FEIG: The surgery was complicated because the boys shared important veins. To increase the chance of success, doctors operated in four different stages with weeks or months in between to give the boys time to adjust.

AGUIRRE: I know that this is a real risk operation. And I know that I might have lost one of them, but it never stopped me of doing it. FEIG: The doctors have been most concerned about Carl, because many of the existing veins belonged to his brother, and they had to create a system for him.

GOODRICH: Carl is developing some fluid around the brain, what we call early hydrocephalus. At this point, we haven't made any decision whether or not we're going to treat it. And it may resolve spontaneously.

FEIG: There are more surgeries ahead to rebuild their skulls. For their mother, the best is yet to come. She wants to see their reaction the first time they see each other.

In Washington, I'm Christy Feig.

(END VIDEOTAPE)

COSTELLO: More "Health Headlines" for you this morning.

Some surgeons may not have the experience they need when it comes to treating breast cancer. Most breast cancer patients in the U.S. are operated on by surgeons who do relatively few of the procedures each year, so says a new study by researchers in Wisconsin. Earlier studies suggest a surgeon should do at least 15 to 30 of the operations annually.

People who spend their lives in a dead end job may be facing more than a dead end. A new study says people who have jobs that take little brainwork seem more likely to eventually get Alzheimer's disease. Still not clear if the jobs themselves are the cause.

Heart disease doesn't just affect the person suffering from it. Researchers say the spouse of heart attack victims may be more likely than the patients themselves to suffer depression or anxiety afterwards, and that could end up hampering the recovery of the patients.

For more on this or any other health story, head to our Web site. The address, CNN.com/health.

Scott Peterson's former lover Amber Frey, she is about to take the stand against him. What will she say? For some analysis, our legal eagle Kendall Coffey will join us for some "Coffey Talk" in the next hour.

And our e-mail "Question of the Day," who should be responsible for policing Internet spam? Let me say that more gracefully, who should be responsible for policing Internet spam? Send your thoughts to us at DAYBREAK@CNN.com.

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COSTELLO: Wow, Rosanna Arquette is 45. Crazy. Do you even know who she is?

MYERS: She's catching up to me. COSTELLO: Slowly but surely.

MYERS: I know.

COSTELLO: Time for our "Where Are They Now" segment. And today we have quite a mishmash of celebrities and newsmakers.

So let's start with Paula Jones.

MYERS: Where is she now?

COSTELLO: Well it was 10 years ago today that President Clinton asked a judge for immunity in the sexual harassment suit brought by Jones. The suit was finally settled four years later. You know all of that. Well today Paula Jones is making the rounds on TV to talk about President Clinton's autobiography and to promote her own book "I Said No." That's where she is, Chad.

It was 27 years ago today that the "Son of Sam" was arrested. David Berkowitz was convicted in six murders and is now serving a life sentence for each. Today Berkowitz remains in an upstate New York prison. In June he was denied parole for a second time.

And it was 44 years ago today that Jose (ph) Banderas was born in Spain. Of course he's better known as Antonio. Banderas was awarded a gold medal by Spain's Cinema Academy for his work in more than 50 films, and he's still going. And he's still married to that lovely woman by his side, Melanie Griffith.

MYERS: Good movies. Yes, fem (ph)?

COSTELLO: Like you saw any. Did you see "Zorro?"

MYERS: I am Zorro.

COSTELLO: Yes, you're Zorro.

MYERS: Is that it? Antonio Banderas.

COSTELLO: You did see the movie.

MYERS: Yes.

COSTELLO: You just saw the trailer.

Let's take a look, though, at something that's probably been driving you absolutely nuts and that would be spam. You know those pesky unsolicited e-mails. Some try to sell you stuff by making false claims. Others are just plain vulgar or pornographic.

MYERS: Yes.

COSTELLO: The legislator is working on it. In fact, last year President Bush signed an anti-spam law, but some say today it is not working.

(BEGIN VIDEO CLIP)

MICHAEL GOODMAN, BUREAU OF CONSUMER PROTECTION: Canned spam is not going to affect the amount of messages that consumers receive to any large degree. We have said all along that legislation, whether it be canned spam or something else, is not going to be the silver bullet for the spam problem.

(END VIDEO CLIP)

COSTELLO: And it certainly has not been. We've been soliciting your comments on the matter, and we have some of your e-mails to read now.

MYERS: I would say 20 out of 21 of my e-mails are spam. There's one good one in there that I want to read, the rest is all junk.

Anyway, yes, I got one from Ontario. No one should police spam. It's the beauty of the Internet. There are no boundaries. You start policing spam, then you'll start doing everything else to stop the freedom of the Internet and the Internet would be put to an end. There's always something bad. Driving has exhaust, smoking has cancer, alcohol has a hangover, Internet has spam, all preventable, but for the sake of enjoyment, willing to put up with it.

COSTELLO: An interesting take.

This is from Steve (ph) from Charlotte, North Carolina. He says Internet service providers should be held responsible. If they would charge just one penny for every e-mail sent, for the average person it wouldn't cost that much, but these spammers that send out millions of e-mails a day, it would be quite an investment.

MYERS: Kind of agree with that one.

This one from Houston, Texas says I have no idea.

COSTELLO: Just wonder why you bothered to log on to tell us that.

MYERS: Hey.

COSTELLO: George (ph) from Gulfport, Mississippi, he says Internet service providers should be held responsible for spam. It is through them that a computer is connected to the Internet, therefore having control of what goes into someone's in box.

MYERS: OK.

COSTELLO: All right, we'll read more later. Keep them coming, DAYBREAK@CNN.com.

Well the new ad goes on the attack and war veteran John Kerry goes on the defensive. Will it make a difference at the polls this fall? We'll get views from the left and the right in today's talker. You stay tuned.

This is DAYBREAK.

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