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American Morning

Russia's Top Security Service Confirming Terrorism to Blame for at Least One of Two Air Crashes; Interview with Bush-Cheney Campaign Chairman Marc Racicot

Aired August 27, 2004 - 07:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


BILL HEMMER, CNN ANCHOR: Two new polls. One national, one in the battleground states. Is there a trend now emerging?
The mystery may be solved for at least one of the two planes that crashed this week in Russia.

And did the deal between Shiite leaders really work in Najaf. Calm in the Iraqi city for today, but will that last?

And the first stage of jury selection starts today in the Kobe Bryant case, what each side must do to get the perfect jury, on this AMERICAN MORNING.

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

HEMMER: And good morning, 7:00 here in New York City. And starting this weekend, this city is going to be absolutely jumping, with a lot of electricity here in this town here with the convention starting on Monday.

HEIDI COLLINS, CNN ANCHOR: I think it's already jumping.

HEMMER: Good morning. Welcome to Friday. I'm Bill Hemmer.

COLLINS: And I'm Heidi Collins, and in for Soledad. And some of the other stories that we're going to be following this morning. With their convention, as we said, just three days now, the Republican migration to New York begins this weekend. What can we expect to see, and does the president feel he's gaining momentum? We're going to talk to the chairman of the Bush/Cheney campaign and find out.

HEMMER: Also with all the Republicans in town, all the big stars are leaving New York -- "90-Second Pop" a bit later. MTV Video Music Awards in Miami this year. First time ever. Last year, you had Britney and Madonna. You remember the...

COLLINS: No, I'd forgotten about that actually.

HEMMER: Well, as a matter of fact, it happened. I guess there was one camera there. What might this year bring? we'll look at that this morning.

COLLINS: Jack is also concerned about that very question.

JACK CAFFERTY, CNN ANCHOR: Yes, I'm waiting breathlessly.

It's day two of moron season here in New York City. The city has been beset with an infestation of idiots, and we'll take a look at what I'm referring to in a few minutes.

HEMMER: Thank you, Jack.

Want to start this morning, though, in Moscow. Just a few hours ago Russia's top security service confirming that it believes terrorism is to blame for at least one of the two air crashes earlier this week. The Russian agency says traces of explosives were found in the wreckage of one of those crashes. Those planes went down within minutes of each other on Tuesday, killing 89.

Paula Hancocks live in Moscow with more.

Paula, hello.

PAULA HANCOCKS, CNN CORRESPONDENT: Hello, Bill.

Well, Russian security forces actually confirms what many Russians already believed, that terrorism is likely behind at least one ever those two plane crashes which crashed within minutes of each other. They do confirm that it's the second flight, the larger of the flights, on its way to the Black Sea resort of Sochi, where President Vladimir Putin was holidaying at the time. They say they have found traces of explosives. Those explosives called hexagene, which were used in the 1999 bombings, in the apartment blocks in Moscow that killed about 300 people and were blamed on Chechen separatists.

In addition, the Federal Security Service saying they're very interested in one particular passenger on that plane, a Chechen citizen, and nobody has as yet come forward to claim her body. In addition to that, Interfax news agency saying there was another woman on the first plane that crashed, and she was the last person to board that plane. She bought a ticket just one hour before the flight actually took off. The Chechen interior ministry confirming that she was from Grozny. They're trying to find out about her relatives at the moment.

And then finally, in addition, Interfax saying that one source they've spoken to in the aviation world has said there were two alarm calls from the second of the planes that went down, one an SOS alarm, and then a hijack alarm. Air controllers say when they try to get ahold of the crew, though, they had disappeared from that radar screen -- Bill.

HEMMER: Paula Hancocks from Moscow -- Heidi.

COLLINS: Let's go now to Carol Costello at the CNN Center with a look at what's now in the news, straight to Najaf this morning.

Hey, Carol.

CAROL COSTELLO, CNN ANCHOR: Hello, Heidi. Thank you. And good morning, everyone. Some militia members of the Iraqi city of Najaf are turning in their weapons this morning as thousands of marchers are coming to the Imam Ali Mosque for prayers, part of an agreement brokered by the Grand Ayatollah Ali Al Sistani to end fighting in that region.

The White House is poised to implement some of the recommendations made by the 9/11 Commission. They include giving the CIA director greater powers and creating the office of a national intelligence director. President Bush could sign executive orders implementing the changes as early as today.

Jury selection is scheduled to begin today in the Kobe Bryant sexual assault case. Authorities in Eagle, Colorado will bring in about 500 prospective jurors to complete questionnaires. Yesterday the judge gave them until Tuesday to present allegations that DNA tests conducted by defense experts may have been contaminated.

And talks have begun this morning to extradite Mark Thatcher to Equatorial Guinea. The son of the former British Prime Minister Margaret Thatcher was arrested Wednesday in South Africa on suspicion of helping to bankroll a coup plot. He's now being held under house arrest.

Back to you, Heidi.

COLLINS: Carol, thanks so much for that.

New poll numbers from "The Los Angeles Times" show President Bush pulling ahead of Democratic challenger John Kerry in some battleground states, beginning with Missouri. Among registered voters, 46 percent support the president; 44 percent are for Kerry. In Ohio, the majority of registered voters also back Bush, 49 percent to 44 percent for Kerry. And in Wisconsin, where registered voters are for bush 48 percent, 44 percent for Kerry. But of course with that margin of error, plus or minus 4 percent, still pretty much up for grabs.

Meanwhile, as the president continues his eight-state tour on his way to next week's Republican Convention here in New York City, delegates and protesters from all around the country are already making their way to the East Coast. All eyes are now on New York, and Madison Square Garden.

That is where Kelly Wallace is this morning with the very latest.

Kelly, good morning.

KELLY WALLACE, CNN WHITE HOUSE CORRESPONDENT: Good morning, Heidi.

Well, a handful of protesters arrested yesterday. The biggest demonstrations expected this weekend. Meantime, the stakes are high for President Bush as he heads into a convention, because according to our CNN/ "USA Today"/Gallup poll, if this election were held today, it would be too close to call.

(BEGIN VIDEOTAPE)

WALLACE (voice-over): Workers prepare for what will be a GOP first, the first Republican convention to be held in New York City. Some New Yorkers are not exactly rolling out the welcome wagon.

UNIDENTIFIED CROWD: Drop the debt now!

WALLACE: Some even stripped to make their point. This is a city where registered Democrats outnumber registered Republicans five to one. Isn't this enemy territory for Republicans?

KIERAN MAHONEY, REPUBLICAN STRATEGIST: There's no question it's enemy territory for Republicans. But the fact of the matter is, is that you're speaking to America from New York City.

WALLACE: Speaking to the nation at a crucial time, with this race neck and neck.

The latest CNN/"USA Today"/Gallup poll shows the president leading senator John Kerry 50 percent to 47 percent among likely voters, unchanged from two weeks ago.

There are signs the swift boat controversy could be having an impact, namely on Senator Kerry. A month ago, 41 percent said that Kerry's military service made it more likely they would vote for him. That number has dropped to 22 percent.

As for the president, Republican strategists Kieran Mahoney says he must accomplish two things next week...

MAHONEY: He's got to establish that he's an effective war leader who's led the country appropriately through a time of crisis, and he's got to establish that the economy is, in fact, back and vibrant and that he's the one responsible for it.

(BEGIN VIDEO CLIP)

RUDY GIULIANI (R), FMR. NEW YORK CITY MAYOR: The president of the United States, George W. Bush!

(END VIDEO CLIP)

MAHONEY: And it is no coincidence the president started his eight-state, pre-convention swing with former New York City mayor, Rudy Giuliani.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: A man who brought calm to the citizens of New York City during a tragic day.

(END VIDEO CLIP)

WALLACE: Another convention challenge, reminding voters of what he did in the days after September 11th.

(BEGIN VIDEO CLIP)

BUSH: I can hear you!

(END VIDEO CLIP)

WALLACE: Without appearing to be playing politics with the tragedy.

(END VIDEOTAPE)

WALLACE: And Bush/Cheney campaign advisers say is the president's focus will mainly be on the future. What he would do during a second term of his administration, but Republican strategists say other speakers will definitely be also focusing on the past, namely, the Senate record of Democratic rival John Kerry -- Heidi.

COLLINS: Kelly Wallace, thanks so much for that.

HEMMER: Marc Racicot is the chairman of the Bush-Cheney 2004 campaign. He's live in D.C. this morning.

Good morning to you, and welcome back here.

MARC RACICOT, CHAIRMAN, BUSH-CHENEY 2004 CAMPAIGN: Thank you, and good morning.

HEMMER: Yesterday the Kerry campaign points to a new U.S. census, new numbers out. They say under this administration, the numbers show for the U.S. 5.2 million losing health insurance, 4.3 million falling into poverty. How does the White House defend itself on those numbers?

RACICOT: Well, of course it measures data from 2003. It doesn't take into account the 1.5 million jobs that have created since August of last year. It also doesn't take into account all of the changes in Medicare, in the Medicare proposals that Congress enacted at the request of the president, that, to provide everything from more rural health care to the ability to have health savings accounts. So it is a measuring stick that is dated, and as a consequence doesn't take into the account the vibrancy and regeneration of the American economy pursuant to the president's policies.

HEMMER: If we take a that answer a step further, how are the numbers different then based on what you're saying, if you base it on 2004?

RACICOT: Well, all those numbers I just mentioned to you. Obviously we've had a robust period of job growth because of the president's policies. We've seen extraordinary change in Medicare, as I mentioned, that provides everything from rural health care opportunities that weren't there before to health savings possibilities. The president has proposals that go before Congress that address health savings accounts and the ability to have additional deductions and exemptions for investment in health care to small business employers and people across the country. So he's been very, very aggressive, as Senator Judd Gregg pointed out yesterday, in addressing virtually all of those issues, and we know that home ownership is up. We know that personal wealth, or income is up. We know that there are so many strong signs in the economy that we're pointed in the right direction. The president would continue to say, of course, we have to focus upon this with great intensity every single day, But there's no question we are pointed in the right direction.

HEMMER: Let's look at some of the numbers now. Registered voters still show John Kerry and George Bush in almost a dead heat, John Kerry by point. Looking at likely voters, George Bush up three points, same position as two weeks ago. How do you push the president further ahead, starting Monday in New York?

RACICOT: Well, I think the president just carries forward with his agenda and communicates with the American people in the fashion that we've come to know and understand, and that is with a clear moral vision, talking about the future, focusing upon the promise of America, talking about the additional enhanced safety and security that we now are able to experience with our families here in this country, as a result of his leadership on national security issues. So I think there's just a remarkable difference for the American people between the president and what he has to offer and his opposition in terms of their clarity, their consistency and their steady hand.

HEMMER: Another question here about Senator Kerry's military service. We now see an erosion right now for those who looked to Senator Kerry and his leadership, down from about a month ago by 19 points on that top line. How did the swift boat ads now affect Senator Kerry in this category, Mr. Racicot?

RACICOT: Well, you know, I don't know how to answer that question, Bill. We have not been focused upon Vietnam, and we've not been involved in anything in terms of Senator Kerry's military record, other than reflecting his honorable service. And that is just simply been our position from the beginning. We want to talk about the future.

We do believe that the senator's record in the United States Senate is important, when you compare it to the president's. I mean, how do you go about the voting for the use of force in Iraq and then voting against the appropriations to fund it? That's a legitimate question that we think ought to be explored. And there are numerous contrasts like that with senator Kerry. He talks about the health care issues, but doesn't show up to vote. He wasn't there to preside or be a part of the intelligence briefings three quarters of the time, yet he was trying to eviscerate the intelligence budget. Those kinds of issues are appropriate.

But we have not focused on Vietnam, we don't think we should focus on Vietnam; we think we ought to be focused on the future. That has been the president's direction, and that's what he talks about. That's what we've tried to talk about as well. HEMMER: Former governor, now chairman of the Bush/Cheney 2004, Marc Racicot, live in D.C. Thanks, and welcome to New York. Starting on Monday.

RACICOT: Thank you.

HEMMER: AMERICAN MORNING is live from the Garden. We're live from all over town, in fact, starting Monday morning, 7:00 a.m. Eastern Time. Hope to see you then, Monday morning right here -- Heidi.

COLLINS: A gun battle erupted between U.S. forces and militants in central Baghdad. Witnesses say U.S. troops sealed out of roads where the firefights were taking place as helicopter gunships circled overhead.

In Najaf, thousands have marched to Imam Ali Mosque as militias loyal to cleric Muqtada Al Sadr began turning in this weapons just hours ago. It is part of the deal that aims to end the bloody standoff between insurgents and U.S. and Iraqi forces.

The Italian government has confirmed of an Italian journalist held hostage in Iraq has been killed. Al-Jazeera reported that Enzo Barloni was executed because the Italian government did not meet demands to withdraw its troops from Iraq within 48 hours. Italian Prime Minister Silvio Berlusconi quickly condemned the killing, saying "There are no words for an inhumane act that cancels centuries of civilization to bring us back to the Dark Ages.

HEMMER: Just about 13 minutes now past the hour on a Friday morning, looking back towards Athens right now in a stretch run for the Olympics in the Summer Games there, in an absolute stunner in overtime, ending with a pot of gold for the women's soccer team. Team USA knocked off Brazil 2-1, reclaiming its 1996 title when soccer first debuted in the Summer Games in Atlanta. Four years ago in Sydney, the woman took the silver.

Also, 200 meter race, one, two, three for the Americans yet again. Shawn Crawford, Bernard Williams Justin Gatlin, gold, silver and bronze. That's the first sweep for the U.S. in that event since 1984.

Also, the Americans Dwight Phillips, John Moffett catapulted themselves to gold and silver in the long jump.

Watch this fly here.

The U.S. then pulled way lady in the medal count at 83, follow by Russia and China in a distant second and third. And looking at that 100 total, they might make the century mark in Athens this year. Now a couple more days to go. They're going to need a heck of a performance to do it, but wow, these games have been wonderful on the American side.

COLLINS: I know. What do you think the hang time was in the long jump there? HEMMER: 4.7, I think on the...

COLLINS: Unreal.

HEMMER: Jury selection starts today, first phase anyway, in the Kobe Bryant trial. One expert today says married men might be the ideal for one side in the case. We'll talk to him, ask him why.

COLLINS: Also the man who says Jim McGreevey sexually harassed him, says he wants just one thing now from the embattled governor, and it isn't money.

HEMMER: Also, it's not enough to be a politician; you have to play one on TV as well. Candidates morphing into actors, part of our series "Poliwood," still to come this hour.

(COMMERCIAL BREAK)

COLLINS: Now to the conclusion of our week-long series, "Poliwood," the mix of politics and entertainment. Today, the importance of a candidate's image. In our media-driven world a premium is placed on image, are Hollywood directors playing a bigger role now in politics.

(BEGIN VIDEOTAPE)

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: If we can distract the press for 11 days until the election, I think we've got a chance.

COLLINS (voice-over): "Wag the Dog" was as movie that showed how a little Hollywood magic could help politicians deceive the public. Could it happen in real life? The film's Academy Award winning director Barry Levinson says, yes.

BARRY LEVINSON, DIRECTOR: I think you see that -- you're seeing the connection more and more, I mean, and it's a natural one, because everything is played out through, you know, a video source.

COLLINS (on camera): The candidates, you know, they're told to do this one day and this another day. I would think with all of that image building, or image consulting, do they lose themselves? I mean, who are we looking at?

LEVINSON: If you take Bush, and Bush's image is that he's this real Texan, he's out on his ranch and whatever. But, you know, it's a person who was born in New England, you know, who's part of another place. The very thing that they speak out against, he is really part of, but he's cultivated the image of being this American, this Texan and that whole thing.

COLLINS (voice-over): Republicans aren't the only ones cultivating their image. John Kerry blowing in the wind or riding a bike helped to convince voters he's more than just a politician. CARTER ESKEW, POLITICAL STRATEGIST: It's not just what comes out of your mouth, it's also the whole backdrop, the whole scene. As long as networks are going to give candidates 30 to 60 seconds, they're going to have to make every second count, and part of that is packing it with meaningful visuals.

HEMMER: Which Levinson may drive away some candidates from running.

LEVINSON: All of the manipulation, what it does in the end, it eliminates probably the most capable people, because from what I've read, Thomas Jefferson could no more be president of the United States, you know, than the man in the moon nowadays. He wasn't a great communicator, wasn't a great speaker, and he was a great president. And Lincoln would never be president, because he certainly wouldn't look telegenic.

HEMMER: Could this mean more of a political future for experienced Hollywood directors? That possibility troubles Levinson.

LEVINSON: One of the things I heard, I thought, gee, look how we've changed. Kerry made his speech at the convention.

(BEGIN VIDEO CLIP)

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: I will restore trust and credibility to the White House!

(END VIDEO CLIP)

LEVINSON: One of the first, you know, talking heads said, I thought he spoke too quickly, didn't wait long enough for the applause.

(LAUGHTER)

COLLINS: Clearly, that was not CNN.

LEVINSON: So you'd say, didn't wait long enough for the applause? What does that have to do with anything about the man or whatever he may be saying? We're now literally talking about, you know, directing an actor. It scares me in terms of what we're capable of doing, and it scares me in terms of what the results may, in fact, be.

(END VIDEOTAPE)

COLLINS: With the presidential election only 67 days away, we're likely in store for lots of Hollywood-like drama between now and November.

In a moment here, the White House ready to act now, one of the most critical recommendations from that 9/11 Commission, a live report from D.C. on that in a moment.

First, though, Olympics trivia. At the '72 games in Munich, Mark Spitz won gold seven times. How many of his wins were in world-record time? The answer in a moment.

(COMMERCIAL BREAK)

HEMMER: All right then, how many of Mark Spitz's seven gold in 1972 were in world record time? The answer, all of them.

Wow.

COLLINS: Unbelievable.

HEMMER: Wow. Finished his career with 11 Olympic gold. Well, eleven medals total, nine gold. I think I'm going to get it right eventually.

ANDY SERWER, "FORTUNE" MAGAZINE: I'm glad you're doing the math. You're doing the math.

HEMMER: Think I'm going to get it right eventually.

SERWER: You got it.

HEMMER: Andy's back here now, more worries for the airline industry. The high price of fuel a concern yet again, "Minding Our Business."

Good morning.

SERWER: Good morning to you.

Yes, some grim news from the nation's largest airline. That would AMR, the parent of American Airlines, telling investors yesterday it's going to lose or cost them a billion dollars more on fuel this year, more than they anticipated, unbelievable.

Now the airline is on track, analysts say, to lose over $300 million this year. Here's the grim number, they expected to pay 89 cents a gallon for fuel.

Now they understand they're going to have to pay $1.17 a gallon. Every penny that fuel goes up costs them $33 million more. The stock has been trading down, down, down, as you can see here. That's a year-to-date chart. The CEO of the company, Gerald Grinstein, wants hearings on the price of fuel. Meanwhile, is this a coincidence? American Airlines says it's going to be experimenting charging for meals next week. I see a connection there, I don't know about you all.

Let's talk about the markets here quickly. Kind of a case of the blahs yesterday on the street, Bill. Stocks were down modestly. The big picture here is, though, that trading volume, extremely light, and I think what's happening is Wall Street traders are starting to head for the hills as some of the Republicans and the convention start to come to town and some of Jack's people, the demonstrators.

Futures are up a little bit today. Sports Authority is going to be trading down, though, at the start. HEMMER: Thank you, Andy.

SERWER: You're welcome.

HEMMER: All right, and we'll watch it.

COLLINS: And speaking of those favorite people of Jack's, he's here now with the Question of the Day.

CAFFERTY: Thank you, Heidi. Welcome to day two of moron season here in New York City. Three days before the convention and we've already been beset with an infestation of idiots. Naked activists marching near the convention center, stupid, but relatively harmless.

But not this stunt -- protesters got past security and on to the roof of the Plaza Hotel, where they unfurled a banner, could have been just a crazy publicity stunt, except a police officer got hurt, suffered a severe cut, required 40 stitches to close, and now these four clowns are facing first-degree assault charges and up to 25 years in prison, which as far as I'm concerned is exactly what they deserve. And I really hope some liberal judge doesn't let them off the hook.

And then there were folks clogging Broadway in the middle of the afternoon yesterday. Who were you bothering? It wasn't President Bush. It wasn't the Republican administration. You were inconveniencing New Yorkers, tourists and business people that live and work in this city trying to get on and live their life. How much sympathy do you really expect to the get doing stuff like that? And by the way, I intentionally didn't show any pictures or identify any of your groups, and won't for the duration of the convention or however long you're in town.

The question is this, "How tough should the cops be on the protesters in New York?" When officers are being hurt and security at a place like the Plaza is violated, you can have my watch, if that qualifies as freedom of expression. It stinks. That would be my view on that whole deal.

COLLINS: And we will wait to hear what everybody else says on that, for sure. A lot people talking about it, no question about it, Jack. Thanks so much.

Still to come this morning, TGIF. It is time for "90-Second Pop."

The VMAs could be hotter than ever. For the first time, MTV is ditching the Big Apple for South Beach. But can the stars handle the heat? A preview of the biggest music party of the year, ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

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Aired August 27, 2004 - 07:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: Two new polls. One national, one in the battleground states. Is there a trend now emerging?
The mystery may be solved for at least one of the two planes that crashed this week in Russia.

And did the deal between Shiite leaders really work in Najaf. Calm in the Iraqi city for today, but will that last?

And the first stage of jury selection starts today in the Kobe Bryant case, what each side must do to get the perfect jury, on this AMERICAN MORNING.

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

HEMMER: And good morning, 7:00 here in New York City. And starting this weekend, this city is going to be absolutely jumping, with a lot of electricity here in this town here with the convention starting on Monday.

HEIDI COLLINS, CNN ANCHOR: I think it's already jumping.

HEMMER: Good morning. Welcome to Friday. I'm Bill Hemmer.

COLLINS: And I'm Heidi Collins, and in for Soledad. And some of the other stories that we're going to be following this morning. With their convention, as we said, just three days now, the Republican migration to New York begins this weekend. What can we expect to see, and does the president feel he's gaining momentum? We're going to talk to the chairman of the Bush/Cheney campaign and find out.

HEMMER: Also with all the Republicans in town, all the big stars are leaving New York -- "90-Second Pop" a bit later. MTV Video Music Awards in Miami this year. First time ever. Last year, you had Britney and Madonna. You remember the...

COLLINS: No, I'd forgotten about that actually.

HEMMER: Well, as a matter of fact, it happened. I guess there was one camera there. What might this year bring? we'll look at that this morning.

COLLINS: Jack is also concerned about that very question.

JACK CAFFERTY, CNN ANCHOR: Yes, I'm waiting breathlessly.

It's day two of moron season here in New York City. The city has been beset with an infestation of idiots, and we'll take a look at what I'm referring to in a few minutes.

HEMMER: Thank you, Jack.

Want to start this morning, though, in Moscow. Just a few hours ago Russia's top security service confirming that it believes terrorism is to blame for at least one of the two air crashes earlier this week. The Russian agency says traces of explosives were found in the wreckage of one of those crashes. Those planes went down within minutes of each other on Tuesday, killing 89.

Paula Hancocks live in Moscow with more.

Paula, hello.

PAULA HANCOCKS, CNN CORRESPONDENT: Hello, Bill.

Well, Russian security forces actually confirms what many Russians already believed, that terrorism is likely behind at least one ever those two plane crashes which crashed within minutes of each other. They do confirm that it's the second flight, the larger of the flights, on its way to the Black Sea resort of Sochi, where President Vladimir Putin was holidaying at the time. They say they have found traces of explosives. Those explosives called hexagene, which were used in the 1999 bombings, in the apartment blocks in Moscow that killed about 300 people and were blamed on Chechen separatists.

In addition, the Federal Security Service saying they're very interested in one particular passenger on that plane, a Chechen citizen, and nobody has as yet come forward to claim her body. In addition to that, Interfax news agency saying there was another woman on the first plane that crashed, and she was the last person to board that plane. She bought a ticket just one hour before the flight actually took off. The Chechen interior ministry confirming that she was from Grozny. They're trying to find out about her relatives at the moment.

And then finally, in addition, Interfax saying that one source they've spoken to in the aviation world has said there were two alarm calls from the second of the planes that went down, one an SOS alarm, and then a hijack alarm. Air controllers say when they try to get ahold of the crew, though, they had disappeared from that radar screen -- Bill.

HEMMER: Paula Hancocks from Moscow -- Heidi.

COLLINS: Let's go now to Carol Costello at the CNN Center with a look at what's now in the news, straight to Najaf this morning.

Hey, Carol.

CAROL COSTELLO, CNN ANCHOR: Hello, Heidi. Thank you. And good morning, everyone. Some militia members of the Iraqi city of Najaf are turning in their weapons this morning as thousands of marchers are coming to the Imam Ali Mosque for prayers, part of an agreement brokered by the Grand Ayatollah Ali Al Sistani to end fighting in that region.

The White House is poised to implement some of the recommendations made by the 9/11 Commission. They include giving the CIA director greater powers and creating the office of a national intelligence director. President Bush could sign executive orders implementing the changes as early as today.

Jury selection is scheduled to begin today in the Kobe Bryant sexual assault case. Authorities in Eagle, Colorado will bring in about 500 prospective jurors to complete questionnaires. Yesterday the judge gave them until Tuesday to present allegations that DNA tests conducted by defense experts may have been contaminated.

And talks have begun this morning to extradite Mark Thatcher to Equatorial Guinea. The son of the former British Prime Minister Margaret Thatcher was arrested Wednesday in South Africa on suspicion of helping to bankroll a coup plot. He's now being held under house arrest.

Back to you, Heidi.

COLLINS: Carol, thanks so much for that.

New poll numbers from "The Los Angeles Times" show President Bush pulling ahead of Democratic challenger John Kerry in some battleground states, beginning with Missouri. Among registered voters, 46 percent support the president; 44 percent are for Kerry. In Ohio, the majority of registered voters also back Bush, 49 percent to 44 percent for Kerry. And in Wisconsin, where registered voters are for bush 48 percent, 44 percent for Kerry. But of course with that margin of error, plus or minus 4 percent, still pretty much up for grabs.

Meanwhile, as the president continues his eight-state tour on his way to next week's Republican Convention here in New York City, delegates and protesters from all around the country are already making their way to the East Coast. All eyes are now on New York, and Madison Square Garden.

That is where Kelly Wallace is this morning with the very latest.

Kelly, good morning.

KELLY WALLACE, CNN WHITE HOUSE CORRESPONDENT: Good morning, Heidi.

Well, a handful of protesters arrested yesterday. The biggest demonstrations expected this weekend. Meantime, the stakes are high for President Bush as he heads into a convention, because according to our CNN/ "USA Today"/Gallup poll, if this election were held today, it would be too close to call.

(BEGIN VIDEOTAPE)

WALLACE (voice-over): Workers prepare for what will be a GOP first, the first Republican convention to be held in New York City. Some New Yorkers are not exactly rolling out the welcome wagon.

UNIDENTIFIED CROWD: Drop the debt now!

WALLACE: Some even stripped to make their point. This is a city where registered Democrats outnumber registered Republicans five to one. Isn't this enemy territory for Republicans?

KIERAN MAHONEY, REPUBLICAN STRATEGIST: There's no question it's enemy territory for Republicans. But the fact of the matter is, is that you're speaking to America from New York City.

WALLACE: Speaking to the nation at a crucial time, with this race neck and neck.

The latest CNN/"USA Today"/Gallup poll shows the president leading senator John Kerry 50 percent to 47 percent among likely voters, unchanged from two weeks ago.

There are signs the swift boat controversy could be having an impact, namely on Senator Kerry. A month ago, 41 percent said that Kerry's military service made it more likely they would vote for him. That number has dropped to 22 percent.

As for the president, Republican strategists Kieran Mahoney says he must accomplish two things next week...

MAHONEY: He's got to establish that he's an effective war leader who's led the country appropriately through a time of crisis, and he's got to establish that the economy is, in fact, back and vibrant and that he's the one responsible for it.

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RUDY GIULIANI (R), FMR. NEW YORK CITY MAYOR: The president of the United States, George W. Bush!

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MAHONEY: And it is no coincidence the president started his eight-state, pre-convention swing with former New York City mayor, Rudy Giuliani.

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GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: A man who brought calm to the citizens of New York City during a tragic day.

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WALLACE: Another convention challenge, reminding voters of what he did in the days after September 11th.

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BUSH: I can hear you!

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WALLACE: Without appearing to be playing politics with the tragedy.

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WALLACE: And Bush/Cheney campaign advisers say is the president's focus will mainly be on the future. What he would do during a second term of his administration, but Republican strategists say other speakers will definitely be also focusing on the past, namely, the Senate record of Democratic rival John Kerry -- Heidi.

COLLINS: Kelly Wallace, thanks so much for that.

HEMMER: Marc Racicot is the chairman of the Bush-Cheney 2004 campaign. He's live in D.C. this morning.

Good morning to you, and welcome back here.

MARC RACICOT, CHAIRMAN, BUSH-CHENEY 2004 CAMPAIGN: Thank you, and good morning.

HEMMER: Yesterday the Kerry campaign points to a new U.S. census, new numbers out. They say under this administration, the numbers show for the U.S. 5.2 million losing health insurance, 4.3 million falling into poverty. How does the White House defend itself on those numbers?

RACICOT: Well, of course it measures data from 2003. It doesn't take into account the 1.5 million jobs that have created since August of last year. It also doesn't take into account all of the changes in Medicare, in the Medicare proposals that Congress enacted at the request of the president, that, to provide everything from more rural health care to the ability to have health savings accounts. So it is a measuring stick that is dated, and as a consequence doesn't take into the account the vibrancy and regeneration of the American economy pursuant to the president's policies.

HEMMER: If we take a that answer a step further, how are the numbers different then based on what you're saying, if you base it on 2004?

RACICOT: Well, all those numbers I just mentioned to you. Obviously we've had a robust period of job growth because of the president's policies. We've seen extraordinary change in Medicare, as I mentioned, that provides everything from rural health care opportunities that weren't there before to health savings possibilities. The president has proposals that go before Congress that address health savings accounts and the ability to have additional deductions and exemptions for investment in health care to small business employers and people across the country. So he's been very, very aggressive, as Senator Judd Gregg pointed out yesterday, in addressing virtually all of those issues, and we know that home ownership is up. We know that personal wealth, or income is up. We know that there are so many strong signs in the economy that we're pointed in the right direction. The president would continue to say, of course, we have to focus upon this with great intensity every single day, But there's no question we are pointed in the right direction.

HEMMER: Let's look at some of the numbers now. Registered voters still show John Kerry and George Bush in almost a dead heat, John Kerry by point. Looking at likely voters, George Bush up three points, same position as two weeks ago. How do you push the president further ahead, starting Monday in New York?

RACICOT: Well, I think the president just carries forward with his agenda and communicates with the American people in the fashion that we've come to know and understand, and that is with a clear moral vision, talking about the future, focusing upon the promise of America, talking about the additional enhanced safety and security that we now are able to experience with our families here in this country, as a result of his leadership on national security issues. So I think there's just a remarkable difference for the American people between the president and what he has to offer and his opposition in terms of their clarity, their consistency and their steady hand.

HEMMER: Another question here about Senator Kerry's military service. We now see an erosion right now for those who looked to Senator Kerry and his leadership, down from about a month ago by 19 points on that top line. How did the swift boat ads now affect Senator Kerry in this category, Mr. Racicot?

RACICOT: Well, you know, I don't know how to answer that question, Bill. We have not been focused upon Vietnam, and we've not been involved in anything in terms of Senator Kerry's military record, other than reflecting his honorable service. And that is just simply been our position from the beginning. We want to talk about the future.

We do believe that the senator's record in the United States Senate is important, when you compare it to the president's. I mean, how do you go about the voting for the use of force in Iraq and then voting against the appropriations to fund it? That's a legitimate question that we think ought to be explored. And there are numerous contrasts like that with senator Kerry. He talks about the health care issues, but doesn't show up to vote. He wasn't there to preside or be a part of the intelligence briefings three quarters of the time, yet he was trying to eviscerate the intelligence budget. Those kinds of issues are appropriate.

But we have not focused on Vietnam, we don't think we should focus on Vietnam; we think we ought to be focused on the future. That has been the president's direction, and that's what he talks about. That's what we've tried to talk about as well. HEMMER: Former governor, now chairman of the Bush/Cheney 2004, Marc Racicot, live in D.C. Thanks, and welcome to New York. Starting on Monday.

RACICOT: Thank you.

HEMMER: AMERICAN MORNING is live from the Garden. We're live from all over town, in fact, starting Monday morning, 7:00 a.m. Eastern Time. Hope to see you then, Monday morning right here -- Heidi.

COLLINS: A gun battle erupted between U.S. forces and militants in central Baghdad. Witnesses say U.S. troops sealed out of roads where the firefights were taking place as helicopter gunships circled overhead.

In Najaf, thousands have marched to Imam Ali Mosque as militias loyal to cleric Muqtada Al Sadr began turning in this weapons just hours ago. It is part of the deal that aims to end the bloody standoff between insurgents and U.S. and Iraqi forces.

The Italian government has confirmed of an Italian journalist held hostage in Iraq has been killed. Al-Jazeera reported that Enzo Barloni was executed because the Italian government did not meet demands to withdraw its troops from Iraq within 48 hours. Italian Prime Minister Silvio Berlusconi quickly condemned the killing, saying "There are no words for an inhumane act that cancels centuries of civilization to bring us back to the Dark Ages.

HEMMER: Just about 13 minutes now past the hour on a Friday morning, looking back towards Athens right now in a stretch run for the Olympics in the Summer Games there, in an absolute stunner in overtime, ending with a pot of gold for the women's soccer team. Team USA knocked off Brazil 2-1, reclaiming its 1996 title when soccer first debuted in the Summer Games in Atlanta. Four years ago in Sydney, the woman took the silver.

Also, 200 meter race, one, two, three for the Americans yet again. Shawn Crawford, Bernard Williams Justin Gatlin, gold, silver and bronze. That's the first sweep for the U.S. in that event since 1984.

Also, the Americans Dwight Phillips, John Moffett catapulted themselves to gold and silver in the long jump.

Watch this fly here.

The U.S. then pulled way lady in the medal count at 83, follow by Russia and China in a distant second and third. And looking at that 100 total, they might make the century mark in Athens this year. Now a couple more days to go. They're going to need a heck of a performance to do it, but wow, these games have been wonderful on the American side.

COLLINS: I know. What do you think the hang time was in the long jump there? HEMMER: 4.7, I think on the...

COLLINS: Unreal.

HEMMER: Jury selection starts today, first phase anyway, in the Kobe Bryant trial. One expert today says married men might be the ideal for one side in the case. We'll talk to him, ask him why.

COLLINS: Also the man who says Jim McGreevey sexually harassed him, says he wants just one thing now from the embattled governor, and it isn't money.

HEMMER: Also, it's not enough to be a politician; you have to play one on TV as well. Candidates morphing into actors, part of our series "Poliwood," still to come this hour.

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COLLINS: Now to the conclusion of our week-long series, "Poliwood," the mix of politics and entertainment. Today, the importance of a candidate's image. In our media-driven world a premium is placed on image, are Hollywood directors playing a bigger role now in politics.

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UNIDENTIFIED MALE: If we can distract the press for 11 days until the election, I think we've got a chance.

COLLINS (voice-over): "Wag the Dog" was as movie that showed how a little Hollywood magic could help politicians deceive the public. Could it happen in real life? The film's Academy Award winning director Barry Levinson says, yes.

BARRY LEVINSON, DIRECTOR: I think you see that -- you're seeing the connection more and more, I mean, and it's a natural one, because everything is played out through, you know, a video source.

COLLINS (on camera): The candidates, you know, they're told to do this one day and this another day. I would think with all of that image building, or image consulting, do they lose themselves? I mean, who are we looking at?

LEVINSON: If you take Bush, and Bush's image is that he's this real Texan, he's out on his ranch and whatever. But, you know, it's a person who was born in New England, you know, who's part of another place. The very thing that they speak out against, he is really part of, but he's cultivated the image of being this American, this Texan and that whole thing.

COLLINS (voice-over): Republicans aren't the only ones cultivating their image. John Kerry blowing in the wind or riding a bike helped to convince voters he's more than just a politician. CARTER ESKEW, POLITICAL STRATEGIST: It's not just what comes out of your mouth, it's also the whole backdrop, the whole scene. As long as networks are going to give candidates 30 to 60 seconds, they're going to have to make every second count, and part of that is packing it with meaningful visuals.

HEMMER: Which Levinson may drive away some candidates from running.

LEVINSON: All of the manipulation, what it does in the end, it eliminates probably the most capable people, because from what I've read, Thomas Jefferson could no more be president of the United States, you know, than the man in the moon nowadays. He wasn't a great communicator, wasn't a great speaker, and he was a great president. And Lincoln would never be president, because he certainly wouldn't look telegenic.

HEMMER: Could this mean more of a political future for experienced Hollywood directors? That possibility troubles Levinson.

LEVINSON: One of the things I heard, I thought, gee, look how we've changed. Kerry made his speech at the convention.

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SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: I will restore trust and credibility to the White House!

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LEVINSON: One of the first, you know, talking heads said, I thought he spoke too quickly, didn't wait long enough for the applause.

(LAUGHTER)

COLLINS: Clearly, that was not CNN.

LEVINSON: So you'd say, didn't wait long enough for the applause? What does that have to do with anything about the man or whatever he may be saying? We're now literally talking about, you know, directing an actor. It scares me in terms of what we're capable of doing, and it scares me in terms of what the results may, in fact, be.

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COLLINS: With the presidential election only 67 days away, we're likely in store for lots of Hollywood-like drama between now and November.

In a moment here, the White House ready to act now, one of the most critical recommendations from that 9/11 Commission, a live report from D.C. on that in a moment.

First, though, Olympics trivia. At the '72 games in Munich, Mark Spitz won gold seven times. How many of his wins were in world-record time? The answer in a moment.

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HEMMER: All right then, how many of Mark Spitz's seven gold in 1972 were in world record time? The answer, all of them.

Wow.

COLLINS: Unbelievable.

HEMMER: Wow. Finished his career with 11 Olympic gold. Well, eleven medals total, nine gold. I think I'm going to get it right eventually.

ANDY SERWER, "FORTUNE" MAGAZINE: I'm glad you're doing the math. You're doing the math.

HEMMER: Think I'm going to get it right eventually.

SERWER: You got it.

HEMMER: Andy's back here now, more worries for the airline industry. The high price of fuel a concern yet again, "Minding Our Business."

Good morning.

SERWER: Good morning to you.

Yes, some grim news from the nation's largest airline. That would AMR, the parent of American Airlines, telling investors yesterday it's going to lose or cost them a billion dollars more on fuel this year, more than they anticipated, unbelievable.

Now the airline is on track, analysts say, to lose over $300 million this year. Here's the grim number, they expected to pay 89 cents a gallon for fuel.

Now they understand they're going to have to pay $1.17 a gallon. Every penny that fuel goes up costs them $33 million more. The stock has been trading down, down, down, as you can see here. That's a year-to-date chart. The CEO of the company, Gerald Grinstein, wants hearings on the price of fuel. Meanwhile, is this a coincidence? American Airlines says it's going to be experimenting charging for meals next week. I see a connection there, I don't know about you all.

Let's talk about the markets here quickly. Kind of a case of the blahs yesterday on the street, Bill. Stocks were down modestly. The big picture here is, though, that trading volume, extremely light, and I think what's happening is Wall Street traders are starting to head for the hills as some of the Republicans and the convention start to come to town and some of Jack's people, the demonstrators.

Futures are up a little bit today. Sports Authority is going to be trading down, though, at the start. HEMMER: Thank you, Andy.

SERWER: You're welcome.

HEMMER: All right, and we'll watch it.

COLLINS: And speaking of those favorite people of Jack's, he's here now with the Question of the Day.

CAFFERTY: Thank you, Heidi. Welcome to day two of moron season here in New York City. Three days before the convention and we've already been beset with an infestation of idiots. Naked activists marching near the convention center, stupid, but relatively harmless.

But not this stunt -- protesters got past security and on to the roof of the Plaza Hotel, where they unfurled a banner, could have been just a crazy publicity stunt, except a police officer got hurt, suffered a severe cut, required 40 stitches to close, and now these four clowns are facing first-degree assault charges and up to 25 years in prison, which as far as I'm concerned is exactly what they deserve. And I really hope some liberal judge doesn't let them off the hook.

And then there were folks clogging Broadway in the middle of the afternoon yesterday. Who were you bothering? It wasn't President Bush. It wasn't the Republican administration. You were inconveniencing New Yorkers, tourists and business people that live and work in this city trying to get on and live their life. How much sympathy do you really expect to the get doing stuff like that? And by the way, I intentionally didn't show any pictures or identify any of your groups, and won't for the duration of the convention or however long you're in town.

The question is this, "How tough should the cops be on the protesters in New York?" When officers are being hurt and security at a place like the Plaza is violated, you can have my watch, if that qualifies as freedom of expression. It stinks. That would be my view on that whole deal.

COLLINS: And we will wait to hear what everybody else says on that, for sure. A lot people talking about it, no question about it, Jack. Thanks so much.

Still to come this morning, TGIF. It is time for "90-Second Pop."

The VMAs could be hotter than ever. For the first time, MTV is ditching the Big Apple for South Beach. But can the stars handle the heat? A preview of the biggest music party of the year, ahead on AMERICAN MORNING.

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