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CNN Live At Daybreak

Thousands of Ukrainians Protest in Capital

Aired November 26, 2004 - 06:30   ET

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


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


BETTY NGUYEN, ANCHOR: Well, the disputed election in the Ukraine has led to calls for a nation strike, as thousands continue to gather in the capital to protest. We want to go to Kiev now where CNN's Jill Dougherty is standing by with the latest there.
JILL DOUGHERTY, CNN CORRESPONDENT: Hey Betty. Betty, you know, we've been driving around the city here in Kiev from place to place where these demonstrators have been and I can tell you, it seems almost every corner you turn, there is another group of people, many of them young people, and a lot of them opposition supporters with their orange flags. That's the symbol of the opposition. There are other demonstrators to the other side, for the government-backed candidate as well, but they're pretty much outnumbered.

You've got a huge demonstration again today down in Independence Square and then in various places outside government buildings, these demonstrators are standing and hoping to, in essence, try to shut the government down.

Now on the diplomatic front, it's going to be a big day. The European Union's chief of foreign policy, Havier Salana (ph), has come here to Kiev. He is trying to broker some type of an agreement and has been meeting with both side and will be meeting with both sides and you have the president of Poland. You have representatives from European organizations, the president of Lithuania, so you can see what's going to happen.

They are going to try to peacefully get some type of resolution and the main issue here, remember, is that when that presidential election took place back on Sunday, the opposition said and international observers also agree, that there were major violations, fraud and abuse and so what the opposition says is in essence, this was stolen. That's why they've been in the streets.

NGUYEN: As an agreement is trying to be worked out Jill, let's talk about those crowds there. Thousands have been gathered for days. We're coming up on the fifth day now. Are there any medical situations or teams stations nearby just in case this gets out of hand?

DOUGHERTY: Well, you know, there are of course police who are around, but you don't see them that much. They are held pretty much back away from the crowds and there has been no violence. Mainly what it feels like, I'll tell you, it's kind of like it's - they had won the World Series. I'm serious. Even though their candidate has officially lost the presidency of the Ukraine, at least at this point, there's a festive feeling. It's almost like a street party, so the even - when you get the two sides together, they often maybe yell slogans, but they're not fighting so it's peaceful and we haven't seen any (INAUDIBLE) bombs, whatsoever.

NGUYEN: That's good news, CNN's Jill Dougherty in Kiev for us this morning. Thank you Jill.

The former members of the 9/11 Commission have a message for Congress, which they intend to deliver loud and clear next week. Joining us from Washington is CNN's political analyst Ron Brownstein (ph) with more on the latest political hot topics. Ron, what's this message?

RON BROWNSTEIN, CNN POLITICAL ANALYST: Good morning Betty. Well, they want the compromise that was reached by House and Senate negotiators a couple weeks ago that implemented the major recommendations of their independent commission to come forward for a vote in the House and Senate. We're in this extraordinary situation where after the conference committee, which as you know meets to reconcile the differences in bills between the House and the Senate reach their agreement. The House speaker, Denny Hastert decided not to bring it to the floor of the House because of opposition from two powerful Republican chairmen in the House. And so even though almost everyone involved agrees that there is a majority for this bill right now in both chambers and the president supports it, it's been derailed.

NGUYEN: Very odd, too, because I want to talk about the fact that if they don't pass it in December, this thing starts all over again, correct, next year?

BROWNSTEIN: It starts all over again because it's the end of the congressional session. Now there are some members in the House, among the House Republicans, who say, well, why not start all over again. As you know, the election increased their numbers in the Senate and in the House and they feel they will get a deal more to what, more to their liking if they begin all over, but what the commission fears is that he will have a loss of momentum for reform.

Obviously, many of their ideas have been controversial, particularly this question of how much authority to centralize in a new national intelligence director who would have control over all of the far-flung intelligence agencies in the country. They argue that's necessary so that the left hand knows what the right hand is doing and we have a better coordination of our information on terrorist threats.

There's a lot of resistance to that, particularly in the Pentagon. That's what's being reflected in the House opposition largely.

NGUYEN: Not only the money, Ron, but if they continue to compromise, is it going to lessen the strength of this bill? Is there a fear out there about that?

BROWNSTEIN: Yes, absolutely. I mean the basic concern here is how much authority this new position will have. The commission has felt that it was important to have one person with overall authority and overall accountability as a way of ensuring greater coordination, both in the way we process information, the way we seek information, the way we organize our defense against terror. Now obviously any bureaucracy, any institution, resists giving up the authority that it has today and there's been a lot of concern in the Pentagon, in particular, that many of the intelligence agencies under their purview, would have, would be too restricted under this.

The chairman of the House Armed Services Committee, Duncan Hunter, from California has reflected that in his opposition to the bill. But again, the underlying point here is that if the bill was brought to the floor today, I don't think anybody disputes that it would pass. It's really the equivalent of a filibuster in the House from these legislative leaders that the House leadership has accepted.

NGUYEN: And they have one more chance to do it this year. All right. Let's shift to the Ukraine. We have seen the pictures of the crowds by the thousands gathering over this disputed election. Now the Ukraine supreme court is going to investigate this election on Monday. Can they afford to have a lengthy investigation here?

BROWNSTEIN: Well, I don't think either of us are expert on the internal politics of the Ukraine. I think that the - clearly the longer it goes, the more volatile it becomes. I mean you see, I'm watching this and looking at the path that we didn't get on in 2000 with our own disputed election, watching these hundreds of thousands of people in the street. You know, for the U.S., it raises a - it raises a number of tough questions. Ukraine has sent troops to Iraq.

It's uncomfortable in that sense that we are now in opposition to the government. Even more so, we are in direct conflict with the Russian President Vladimir Putin, who has been very strongly supportive of the government candidate and it may force I think Betty to a point, to a head, our own attitude toward Putin's posture toward democracy. President Bush has made promoting democracy a centerpiece of his foreign policy in the second term, certainly the centerpiece of his campaign.

As Putin has centralized power, we've been relatively, we haven't been as forceful as we might have been, criticizing some of the moves that other countries have found objectionable. Here again, we have Putin very much involved in trying to push through this result that we are now saying overtly through Colin Powell this week, was achieved by fraud.

NGUYEN: All right. Ron Brownstein, CNN political analyst. We are out of time, going have to leave it there. Thank you for your insight this morning.

Well, word just in to CNN this morning, a grizzly find in northern Iraq. U.S. forces have found 15 bodies in and around the city of Mosul. No word yet on identities or the cause of death. Similar discoveries of groups of bodies have been made in Mosul in recent days.

Six years after the beating death of a gay college student in Wyoming, his killers go public. The savage beating of Matthew Shepard in 1998 shocked the nation and drew worldwide attention to hate crimes. Now Aaron McKinney on a meth binge at the time, called it a robbery gone bad. McKinney tells ABC's "20/20," quote, all I wanted to do was beat him up and rob him. It seemed like a good idea at the time. Sometimes when you have that rage going through you, there's no stopping it. I've attacked my best friends coming off a meth binge. McKinney and his buddy Russell Henderson, both 27-years old, are serving life sentences.

Paper or plastic? What's the best way to pay when you finally make it to the cash register today? We have a look at Americans and our spending habits. That's next. Plus, could a film about an eccentric millionaire make Hollywood buzz before Oscar time? Tom O'Neil (ph) shares the inside award show scoop.

But first, here's a look at what else is making news this Friday morning.

(COMMERCIAL BREAK)

NGUYEN: Well, good morning to you. Are you thinking about heading out and going shopping today? Well, we want you to take a look at this. We want to give you some live pictures from Alfareta (ph), Georgia at a Wal-Mart there where people already have their carts in hand. They've been standing in line and now the store is opening. They're dispersing all across the store, trying to get those deals, those big discounts today. This is the Friday after Thanksgiving where things are on sale. Many times, they're only on sale for a few hours, so people get up early. This will make you want to either hurry up or go back to bed right about now.

Well, you may want to rev up your shopping cart though, because it is that time of year, as we mentioned, the big end of the year shopping season. On average, it is expected that you'll spend, get this, about $700 this holiday season. Our own Julie Vallese is out early, braving the cold and the crowds at the Pentagon City mall in Arlington, Virginia. Good morning Julie, any tips on saving money out there?

JULIE VALLESE, CNN CORRESPONDENT: Good morning to you Betty. Yes, there are a few tips, some really easy ways to save some money and not get into debt this year. About 130 million people are planning to go shopping this holiday weekend. It may move some of the retailers from the red into the black, but it may move some of those customers from the black into the red.

(BEGIN VIDEOTAPE)

VALLESE (voice-over): More Americans plan on saying debit it, rather than charge it for holiday gift purchases this year and that's a good way experts say to avoid running up holiday debt.

ANNE SCHELLER, CONSUMER CREDIT COUNSELING: Just make sure that you're tracking and recording your spending so as you swipe your card, you got ahead and take out your note card along with it and write down how much money you spent.

VALLESE: And that's important. Just because it's debit, doesn't mean you can't get into debt. STEVEN BROWBECK, CONSUMER FEDERATION OF AMERICA: The problem is that some debit cards now have taken on the characteristic of credit cards. That is you can overdraw your balance and essentially you're taking out a loan that is very expensive.

VALLESE: According to the National Retail Federation, Americans will spend about $220 billion for the holiday season, up about 4 1/2 percent over last year. Statistics show holiday spending usually takes about five to six months to pay off. By that time, you're sitting by the pool, not thinking at all about sugar plums.

ELLEN TOLLEY, NATIONAL RETAIL FEDERATION: Consumers will do a better job of spending and will be able to stretch their money farther if they shop throughout the holiday season and take advantage of sales along the way.

VALLESE: To avoid that and other shopping mistakes, experts say, start the season off with a list and yes, check it twice. Include who you are shopping for, what you plan to buy and how much you'd like to spend. Also know your overall budget and make adjustments on individual purchases along the way.

(END VIDEOTAPE)

VALLESE: Now about 30 percent of Americans still do plan on using credit and if you plan on charging it, keep in mind, research shows people spend more with a credit card than they do with a check and more with a check than they do with cash. Betty.

NGUYEN: Which is exactly what I was going to ask you. Is it better during the holiday season especially just to go ahead, pull out the cash and spend cash only so you actually see that money leaving your hand? It hurts a little bit more that way, doesn't it?

VALLESE: Well it does help to actually spend cash and that way you know exactly how much you have in your pocket. When you run out, there isn't any more to spend. The only thing that people are finding with their debit card is it's a lot like spending cash, but a little safer. Along the way, you may not drop it out of your pocket. You may not end up losing some of it and so debit cards are really replacing that cash and if people think of their debit cards more like cash than they do with a credit card, then they'll be a lot safer in their shopping.

NGUYEN: Very true, but with credit cards, you get those comp points and then you can get a little money back. It depends on how you want to (INAUDIBLE) money, go out there. Thank you Julie.

Your news, money, weather and sports, it is 6:45 Eastern. Here's what all new this morning. U.S. and Iraqi troops in Falluja have found a laboratory with chemical materials and instructions on making explosives and toxins. The materials included instructions on making anthrax and chemical blood agents.

For the second straight day, protesters have encircled government buildings in the Ukrainian capital of Kiev and are refusing to let anyone through. The protesters claim that Sunday's presidential election was rigged.

The VCR, remember that? I still have one, may be going the way of the eight-track tape in Britain at least. A major British retailer Dixson (ph), says it will sell its last VCRs by Christmas. DVDs now outsell VCRs 40 to one at Dixson's.

In culture, Ray Charles has his own room at the rock and roll hall of fame. The museum opened a new exhibit, incorporating some of his keyboards and pairs of famous sunglasses. Ray Charles was part of the first class of inductees back in 1986.

And in sports, Indianapolis Colts quarterback Peyton Manning threw six touchdown passes against the Detroit Lions in a 41 to 9 win. He is just seven TDs short of Dan Marino's (ph) single season record, with five games left to play and Chad, you say he's going to do that in the next game.

UNIDENTIFIED MALE: Oh I think maybe. If not next week, it will be in two weeks. But I just got an e-mail from Carol Costello, because the Lions are her team and she said the Lions look like they were playing high school. It really wasn't very pretty for the Lions yesterday so maybe they can rebound next week.

Good morning everybody. Cold weather up and down the east coast, cold and windy, but at least it's not snowing or raining and shopping looks pretty good. Highs today in New York City 49, D.C., 48, Atlanta in the '50s today. Your cold and flu report for this week, widespread activity in Alaska and now Delaware, regional activity in New York City and New York state. Everybody else either sporadic or having no flu activity yet, but your cold and flu reports starting to get colorful there and as we move on, we'll certainly have more than this.

NGUYEN: Lucky us. Hey, speaking of Carol Costello, let's check in now with Rick Sanchez and Carol in New York. We'll look at what's coming up on AMERICAN MORNING. Good morning guys.

CAROL COSTELLO, CNN ANCHOR, AMERICAN MORNING: Good morning Betty. Are you awake?

NGUYEN: I'm getting there. Hey, there's deals to be had. I've got to be awake today.

COSTELLO: ... because you're going shopping right after this.

NGUYEN: Absolutely as soon as this is over with.

RICK SANCHEZ, CNN ANCHOR, AMERICAN MORNING: That's it Betty. Go right for the important stuff.

NGUYEN: Electronics.

SANCHEZ: Some of the headlines here on AMERICAN MORNING, ready, set, shop, Betty. On one of the busiest shopping days of the year, we have reports from the front lines. How green will this holiday be for retailers?

COSTELLO: Hopefully, very green.

Iraq chemical weapons, how significant is the discovery of a laboratory in Falluja with what appears to be chemical materials. We'll take you live to Iraq and Karl Penhaul.

SANCHEZ: Well, courage under fire. On a day when two Marines are killed in Iraq, the remarkable story of a Marine injured in Falluja, recovering and hoping to be able to return to duty.

COSTELLO: All that and much more right, coming up next on AMERICAN MORNING. Betty, thanks for filling in. You're doing a great job. I've been watching.

NGUYEN: Oh, well thanks. You've been up early then. I'll try to pick you up something while I'm out. How about that?

COSTELLO: Something in the electronics line would be fine.

NGUYEN: OK, it's got to be on sale though. Thanks.

SANCHEZ: Happy shopping Betty.

NGUYEN: All right. Take care.

Well, the old is new again, at least at the movies, but how will a Broadway musical rate with a new audience on the big screen? We are talking all things Oscar, that's next.

(COMMERCIAL BREAK)

NGUYEN: All right. Top secret screenings are under way as the Hollywood's foreign press considers the next Golden Globe awards and the buzz has begun. (INAUDIBLE) Tom O'Neal (ph) joins us from New York with all of the scoop. Good morning to you Tom.

TOM O'NEAL: Good morning Betty.

NGUYEN: We were looking at a clip there of "Aviator" and "Leo." He's back in the news. I mean is this guy going to do it this time and is this movie enough to win not only Golden Globe, but maybe even Oscar.

O'NEAL: It looks like we have the early front runner right here, much to everybody's surprise and shock, Betty. Two years ago, Marty Scorcese, the director of "The Aviator," had "Gangs of New York" and everyone was saying, he's overdue to win the Oscar and his movie crashed and burned of course. This film has Leo DiCapprio as Howard Hughes. That seems a bit of a stretch and Kate Blanchett (ph) as Katherine Hepburn. Come on. Everybody predicted doom, but these past two weeks, there were screenings at the Golden Globes and at the Directors' Guild, which is comprised of Oscar voters as well. They love it. Track the Oscar race this year at goldderby.com. That's the website I run where 45 of America's top journalists from the Associated Press and "Entertainment Weekly" track these awards and we have spies at these screenings and we can tell you, they loved this.

NGUYEN: Is this Leo's best work would you say?

O'NEAL: Yes. Remember, he was not nominated for best actor with "Titanic." He was so miffed he didn't even go to the Oscars that year. This year, he's the front runner to win.

NGUYEN: Not a bad comeback then. OK, well, let's talk about "Passion of the Christ," because it took in millions, sparked a nation just talking about this film. Are folks talking about it to win any awards?

O'NEAL: No. Remember last week, Mel Gibson said he's not going to campaign for the Oscars with this film in a surprise to everyone. Well, don't be surprised. We had spies at the Oscar screening of this movie. They booed the screen.

NGUYEN: Really?

O'NEAL: And remember, Hollywood's a very Jewish city. This movie blames the Jews for crucifying Christ. At this religious movie, there was more cussing and swearing by Oscar voters than has ever been seen in an Academy screening before.

NGUYEN: That is interesting. OK, a lot of talk about Clint Eastwood and "Million Dollar Baby." What is this movie all about?

O'NEAL: Well, it's taking everybody by surprise because it wasn't supposed to be in this Oscar race. Clint directs and acts in this movie about a wise old boxer who takes on wanna be fighter Hillary Swank (ph). This was supposed to come out in 2005. Clint is so proud of this movie he jammed it into the Oscar race at the last minute and at screenings that we have seen over the past two weeks, grown men were observed crying.

NGUYEN: I was going to ask you about that. No, get out of here.

O'NEAL: Well, it's a boxing movie. You know how guys are about boxing.

NGUYEN: But a female boxer, grown men are crying?

O'NEAL: Yes. Morgan Freeman plays the sidekick and this movie's supposed - I haven't seen it yet. It's supposed to be a lot about family and friendship and go above and beyond the normal boxing movie.

NGUYEN: All right. You got to quickly - we're out of time, but "Phantom of the Opera." It's getting kind of mixed reviews.

O'NEAL: Yes, Golden Globe voters were split down the middle. I have seen this movie. I'm a big "Phantom" fan. It's good, but it's not good enough. That's kind of sad.

NGUYEN: Good, but not good enough for Tom O'Neal. Thank you for your time this morning Tom.

O'NEAL: Thanks Betty.

NGUYEN: This is DAYBREAK for Friday morning.

(COMMERCIAL BREAK)

NGUYEN: We're still talking about Thanksgiving and it's a big travel week and so Chad, the pressure is on.

CHAD MYERS (ph): Well, I can't help you on the I 70 there in Colorado, I'm afraid.

NGUYEN: Yeah, the boulders.

MYERS: Yeah. The boulders that came down across Glenwood Canyon just east of Glenwood Springs, closing that roadway down. I 70 is shut down. There is a five-hour detour to get around that. It's an hour and six minutes from Walcott (ph) to Glenwood Springs, maybe to Rifle and then that is completely shut down. It will take you five hours to get around that one hour drive. And with tractor trailers on each side of the road, taking that some detour. It could be longer than that. So plan ahead, if you're going across Colorado today. The only good news is you can get from Denver to the ski resorts and don't have to worry about that because it is to the west of the Vail pass.

There you go with some rain down across parts of the deep south, your rain and snow, even some ice across parts of Minneapolis later today. Here is the rain and snow coming into Colorado, so not only are you on two lane roads out here in western Colorado, but it's now snowing on those detour road as well.

NGUYEN: Nothing but good news from you Chad Myers.

MYERS: I'm sorry.

NGUYEN: Gee thanks. All right. Well, thank you Chad.

From Atlanta, I'm Betty Nguyen. AMERICAN MORNING stars right now.

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Aired November 26, 2004 - 06:30   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BETTY NGUYEN, ANCHOR: Well, the disputed election in the Ukraine has led to calls for a nation strike, as thousands continue to gather in the capital to protest. We want to go to Kiev now where CNN's Jill Dougherty is standing by with the latest there.
JILL DOUGHERTY, CNN CORRESPONDENT: Hey Betty. Betty, you know, we've been driving around the city here in Kiev from place to place where these demonstrators have been and I can tell you, it seems almost every corner you turn, there is another group of people, many of them young people, and a lot of them opposition supporters with their orange flags. That's the symbol of the opposition. There are other demonstrators to the other side, for the government-backed candidate as well, but they're pretty much outnumbered.

You've got a huge demonstration again today down in Independence Square and then in various places outside government buildings, these demonstrators are standing and hoping to, in essence, try to shut the government down.

Now on the diplomatic front, it's going to be a big day. The European Union's chief of foreign policy, Havier Salana (ph), has come here to Kiev. He is trying to broker some type of an agreement and has been meeting with both side and will be meeting with both sides and you have the president of Poland. You have representatives from European organizations, the president of Lithuania, so you can see what's going to happen.

They are going to try to peacefully get some type of resolution and the main issue here, remember, is that when that presidential election took place back on Sunday, the opposition said and international observers also agree, that there were major violations, fraud and abuse and so what the opposition says is in essence, this was stolen. That's why they've been in the streets.

NGUYEN: As an agreement is trying to be worked out Jill, let's talk about those crowds there. Thousands have been gathered for days. We're coming up on the fifth day now. Are there any medical situations or teams stations nearby just in case this gets out of hand?

DOUGHERTY: Well, you know, there are of course police who are around, but you don't see them that much. They are held pretty much back away from the crowds and there has been no violence. Mainly what it feels like, I'll tell you, it's kind of like it's - they had won the World Series. I'm serious. Even though their candidate has officially lost the presidency of the Ukraine, at least at this point, there's a festive feeling. It's almost like a street party, so the even - when you get the two sides together, they often maybe yell slogans, but they're not fighting so it's peaceful and we haven't seen any (INAUDIBLE) bombs, whatsoever.

NGUYEN: That's good news, CNN's Jill Dougherty in Kiev for us this morning. Thank you Jill.

The former members of the 9/11 Commission have a message for Congress, which they intend to deliver loud and clear next week. Joining us from Washington is CNN's political analyst Ron Brownstein (ph) with more on the latest political hot topics. Ron, what's this message?

RON BROWNSTEIN, CNN POLITICAL ANALYST: Good morning Betty. Well, they want the compromise that was reached by House and Senate negotiators a couple weeks ago that implemented the major recommendations of their independent commission to come forward for a vote in the House and Senate. We're in this extraordinary situation where after the conference committee, which as you know meets to reconcile the differences in bills between the House and the Senate reach their agreement. The House speaker, Denny Hastert decided not to bring it to the floor of the House because of opposition from two powerful Republican chairmen in the House. And so even though almost everyone involved agrees that there is a majority for this bill right now in both chambers and the president supports it, it's been derailed.

NGUYEN: Very odd, too, because I want to talk about the fact that if they don't pass it in December, this thing starts all over again, correct, next year?

BROWNSTEIN: It starts all over again because it's the end of the congressional session. Now there are some members in the House, among the House Republicans, who say, well, why not start all over again. As you know, the election increased their numbers in the Senate and in the House and they feel they will get a deal more to what, more to their liking if they begin all over, but what the commission fears is that he will have a loss of momentum for reform.

Obviously, many of their ideas have been controversial, particularly this question of how much authority to centralize in a new national intelligence director who would have control over all of the far-flung intelligence agencies in the country. They argue that's necessary so that the left hand knows what the right hand is doing and we have a better coordination of our information on terrorist threats.

There's a lot of resistance to that, particularly in the Pentagon. That's what's being reflected in the House opposition largely.

NGUYEN: Not only the money, Ron, but if they continue to compromise, is it going to lessen the strength of this bill? Is there a fear out there about that?

BROWNSTEIN: Yes, absolutely. I mean the basic concern here is how much authority this new position will have. The commission has felt that it was important to have one person with overall authority and overall accountability as a way of ensuring greater coordination, both in the way we process information, the way we seek information, the way we organize our defense against terror. Now obviously any bureaucracy, any institution, resists giving up the authority that it has today and there's been a lot of concern in the Pentagon, in particular, that many of the intelligence agencies under their purview, would have, would be too restricted under this.

The chairman of the House Armed Services Committee, Duncan Hunter, from California has reflected that in his opposition to the bill. But again, the underlying point here is that if the bill was brought to the floor today, I don't think anybody disputes that it would pass. It's really the equivalent of a filibuster in the House from these legislative leaders that the House leadership has accepted.

NGUYEN: And they have one more chance to do it this year. All right. Let's shift to the Ukraine. We have seen the pictures of the crowds by the thousands gathering over this disputed election. Now the Ukraine supreme court is going to investigate this election on Monday. Can they afford to have a lengthy investigation here?

BROWNSTEIN: Well, I don't think either of us are expert on the internal politics of the Ukraine. I think that the - clearly the longer it goes, the more volatile it becomes. I mean you see, I'm watching this and looking at the path that we didn't get on in 2000 with our own disputed election, watching these hundreds of thousands of people in the street. You know, for the U.S., it raises a - it raises a number of tough questions. Ukraine has sent troops to Iraq.

It's uncomfortable in that sense that we are now in opposition to the government. Even more so, we are in direct conflict with the Russian President Vladimir Putin, who has been very strongly supportive of the government candidate and it may force I think Betty to a point, to a head, our own attitude toward Putin's posture toward democracy. President Bush has made promoting democracy a centerpiece of his foreign policy in the second term, certainly the centerpiece of his campaign.

As Putin has centralized power, we've been relatively, we haven't been as forceful as we might have been, criticizing some of the moves that other countries have found objectionable. Here again, we have Putin very much involved in trying to push through this result that we are now saying overtly through Colin Powell this week, was achieved by fraud.

NGUYEN: All right. Ron Brownstein, CNN political analyst. We are out of time, going have to leave it there. Thank you for your insight this morning.

Well, word just in to CNN this morning, a grizzly find in northern Iraq. U.S. forces have found 15 bodies in and around the city of Mosul. No word yet on identities or the cause of death. Similar discoveries of groups of bodies have been made in Mosul in recent days.

Six years after the beating death of a gay college student in Wyoming, his killers go public. The savage beating of Matthew Shepard in 1998 shocked the nation and drew worldwide attention to hate crimes. Now Aaron McKinney on a meth binge at the time, called it a robbery gone bad. McKinney tells ABC's "20/20," quote, all I wanted to do was beat him up and rob him. It seemed like a good idea at the time. Sometimes when you have that rage going through you, there's no stopping it. I've attacked my best friends coming off a meth binge. McKinney and his buddy Russell Henderson, both 27-years old, are serving life sentences.

Paper or plastic? What's the best way to pay when you finally make it to the cash register today? We have a look at Americans and our spending habits. That's next. Plus, could a film about an eccentric millionaire make Hollywood buzz before Oscar time? Tom O'Neil (ph) shares the inside award show scoop.

But first, here's a look at what else is making news this Friday morning.

(COMMERCIAL BREAK)

NGUYEN: Well, good morning to you. Are you thinking about heading out and going shopping today? Well, we want you to take a look at this. We want to give you some live pictures from Alfareta (ph), Georgia at a Wal-Mart there where people already have their carts in hand. They've been standing in line and now the store is opening. They're dispersing all across the store, trying to get those deals, those big discounts today. This is the Friday after Thanksgiving where things are on sale. Many times, they're only on sale for a few hours, so people get up early. This will make you want to either hurry up or go back to bed right about now.

Well, you may want to rev up your shopping cart though, because it is that time of year, as we mentioned, the big end of the year shopping season. On average, it is expected that you'll spend, get this, about $700 this holiday season. Our own Julie Vallese is out early, braving the cold and the crowds at the Pentagon City mall in Arlington, Virginia. Good morning Julie, any tips on saving money out there?

JULIE VALLESE, CNN CORRESPONDENT: Good morning to you Betty. Yes, there are a few tips, some really easy ways to save some money and not get into debt this year. About 130 million people are planning to go shopping this holiday weekend. It may move some of the retailers from the red into the black, but it may move some of those customers from the black into the red.

(BEGIN VIDEOTAPE)

VALLESE (voice-over): More Americans plan on saying debit it, rather than charge it for holiday gift purchases this year and that's a good way experts say to avoid running up holiday debt.

ANNE SCHELLER, CONSUMER CREDIT COUNSELING: Just make sure that you're tracking and recording your spending so as you swipe your card, you got ahead and take out your note card along with it and write down how much money you spent.

VALLESE: And that's important. Just because it's debit, doesn't mean you can't get into debt. STEVEN BROWBECK, CONSUMER FEDERATION OF AMERICA: The problem is that some debit cards now have taken on the characteristic of credit cards. That is you can overdraw your balance and essentially you're taking out a loan that is very expensive.

VALLESE: According to the National Retail Federation, Americans will spend about $220 billion for the holiday season, up about 4 1/2 percent over last year. Statistics show holiday spending usually takes about five to six months to pay off. By that time, you're sitting by the pool, not thinking at all about sugar plums.

ELLEN TOLLEY, NATIONAL RETAIL FEDERATION: Consumers will do a better job of spending and will be able to stretch their money farther if they shop throughout the holiday season and take advantage of sales along the way.

VALLESE: To avoid that and other shopping mistakes, experts say, start the season off with a list and yes, check it twice. Include who you are shopping for, what you plan to buy and how much you'd like to spend. Also know your overall budget and make adjustments on individual purchases along the way.

(END VIDEOTAPE)

VALLESE: Now about 30 percent of Americans still do plan on using credit and if you plan on charging it, keep in mind, research shows people spend more with a credit card than they do with a check and more with a check than they do with cash. Betty.

NGUYEN: Which is exactly what I was going to ask you. Is it better during the holiday season especially just to go ahead, pull out the cash and spend cash only so you actually see that money leaving your hand? It hurts a little bit more that way, doesn't it?

VALLESE: Well it does help to actually spend cash and that way you know exactly how much you have in your pocket. When you run out, there isn't any more to spend. The only thing that people are finding with their debit card is it's a lot like spending cash, but a little safer. Along the way, you may not drop it out of your pocket. You may not end up losing some of it and so debit cards are really replacing that cash and if people think of their debit cards more like cash than they do with a credit card, then they'll be a lot safer in their shopping.

NGUYEN: Very true, but with credit cards, you get those comp points and then you can get a little money back. It depends on how you want to (INAUDIBLE) money, go out there. Thank you Julie.

Your news, money, weather and sports, it is 6:45 Eastern. Here's what all new this morning. U.S. and Iraqi troops in Falluja have found a laboratory with chemical materials and instructions on making explosives and toxins. The materials included instructions on making anthrax and chemical blood agents.

For the second straight day, protesters have encircled government buildings in the Ukrainian capital of Kiev and are refusing to let anyone through. The protesters claim that Sunday's presidential election was rigged.

The VCR, remember that? I still have one, may be going the way of the eight-track tape in Britain at least. A major British retailer Dixson (ph), says it will sell its last VCRs by Christmas. DVDs now outsell VCRs 40 to one at Dixson's.

In culture, Ray Charles has his own room at the rock and roll hall of fame. The museum opened a new exhibit, incorporating some of his keyboards and pairs of famous sunglasses. Ray Charles was part of the first class of inductees back in 1986.

And in sports, Indianapolis Colts quarterback Peyton Manning threw six touchdown passes against the Detroit Lions in a 41 to 9 win. He is just seven TDs short of Dan Marino's (ph) single season record, with five games left to play and Chad, you say he's going to do that in the next game.

UNIDENTIFIED MALE: Oh I think maybe. If not next week, it will be in two weeks. But I just got an e-mail from Carol Costello, because the Lions are her team and she said the Lions look like they were playing high school. It really wasn't very pretty for the Lions yesterday so maybe they can rebound next week.

Good morning everybody. Cold weather up and down the east coast, cold and windy, but at least it's not snowing or raining and shopping looks pretty good. Highs today in New York City 49, D.C., 48, Atlanta in the '50s today. Your cold and flu report for this week, widespread activity in Alaska and now Delaware, regional activity in New York City and New York state. Everybody else either sporadic or having no flu activity yet, but your cold and flu reports starting to get colorful there and as we move on, we'll certainly have more than this.

NGUYEN: Lucky us. Hey, speaking of Carol Costello, let's check in now with Rick Sanchez and Carol in New York. We'll look at what's coming up on AMERICAN MORNING. Good morning guys.

CAROL COSTELLO, CNN ANCHOR, AMERICAN MORNING: Good morning Betty. Are you awake?

NGUYEN: I'm getting there. Hey, there's deals to be had. I've got to be awake today.

COSTELLO: ... because you're going shopping right after this.

NGUYEN: Absolutely as soon as this is over with.

RICK SANCHEZ, CNN ANCHOR, AMERICAN MORNING: That's it Betty. Go right for the important stuff.

NGUYEN: Electronics.

SANCHEZ: Some of the headlines here on AMERICAN MORNING, ready, set, shop, Betty. On one of the busiest shopping days of the year, we have reports from the front lines. How green will this holiday be for retailers?

COSTELLO: Hopefully, very green.

Iraq chemical weapons, how significant is the discovery of a laboratory in Falluja with what appears to be chemical materials. We'll take you live to Iraq and Karl Penhaul.

SANCHEZ: Well, courage under fire. On a day when two Marines are killed in Iraq, the remarkable story of a Marine injured in Falluja, recovering and hoping to be able to return to duty.

COSTELLO: All that and much more right, coming up next on AMERICAN MORNING. Betty, thanks for filling in. You're doing a great job. I've been watching.

NGUYEN: Oh, well thanks. You've been up early then. I'll try to pick you up something while I'm out. How about that?

COSTELLO: Something in the electronics line would be fine.

NGUYEN: OK, it's got to be on sale though. Thanks.

SANCHEZ: Happy shopping Betty.

NGUYEN: All right. Take care.

Well, the old is new again, at least at the movies, but how will a Broadway musical rate with a new audience on the big screen? We are talking all things Oscar, that's next.

(COMMERCIAL BREAK)

NGUYEN: All right. Top secret screenings are under way as the Hollywood's foreign press considers the next Golden Globe awards and the buzz has begun. (INAUDIBLE) Tom O'Neal (ph) joins us from New York with all of the scoop. Good morning to you Tom.

TOM O'NEAL: Good morning Betty.

NGUYEN: We were looking at a clip there of "Aviator" and "Leo." He's back in the news. I mean is this guy going to do it this time and is this movie enough to win not only Golden Globe, but maybe even Oscar.

O'NEAL: It looks like we have the early front runner right here, much to everybody's surprise and shock, Betty. Two years ago, Marty Scorcese, the director of "The Aviator," had "Gangs of New York" and everyone was saying, he's overdue to win the Oscar and his movie crashed and burned of course. This film has Leo DiCapprio as Howard Hughes. That seems a bit of a stretch and Kate Blanchett (ph) as Katherine Hepburn. Come on. Everybody predicted doom, but these past two weeks, there were screenings at the Golden Globes and at the Directors' Guild, which is comprised of Oscar voters as well. They love it. Track the Oscar race this year at goldderby.com. That's the website I run where 45 of America's top journalists from the Associated Press and "Entertainment Weekly" track these awards and we have spies at these screenings and we can tell you, they loved this.

NGUYEN: Is this Leo's best work would you say?

O'NEAL: Yes. Remember, he was not nominated for best actor with "Titanic." He was so miffed he didn't even go to the Oscars that year. This year, he's the front runner to win.

NGUYEN: Not a bad comeback then. OK, well, let's talk about "Passion of the Christ," because it took in millions, sparked a nation just talking about this film. Are folks talking about it to win any awards?

O'NEAL: No. Remember last week, Mel Gibson said he's not going to campaign for the Oscars with this film in a surprise to everyone. Well, don't be surprised. We had spies at the Oscar screening of this movie. They booed the screen.

NGUYEN: Really?

O'NEAL: And remember, Hollywood's a very Jewish city. This movie blames the Jews for crucifying Christ. At this religious movie, there was more cussing and swearing by Oscar voters than has ever been seen in an Academy screening before.

NGUYEN: That is interesting. OK, a lot of talk about Clint Eastwood and "Million Dollar Baby." What is this movie all about?

O'NEAL: Well, it's taking everybody by surprise because it wasn't supposed to be in this Oscar race. Clint directs and acts in this movie about a wise old boxer who takes on wanna be fighter Hillary Swank (ph). This was supposed to come out in 2005. Clint is so proud of this movie he jammed it into the Oscar race at the last minute and at screenings that we have seen over the past two weeks, grown men were observed crying.

NGUYEN: I was going to ask you about that. No, get out of here.

O'NEAL: Well, it's a boxing movie. You know how guys are about boxing.

NGUYEN: But a female boxer, grown men are crying?

O'NEAL: Yes. Morgan Freeman plays the sidekick and this movie's supposed - I haven't seen it yet. It's supposed to be a lot about family and friendship and go above and beyond the normal boxing movie.

NGUYEN: All right. You got to quickly - we're out of time, but "Phantom of the Opera." It's getting kind of mixed reviews.

O'NEAL: Yes, Golden Globe voters were split down the middle. I have seen this movie. I'm a big "Phantom" fan. It's good, but it's not good enough. That's kind of sad.

NGUYEN: Good, but not good enough for Tom O'Neal. Thank you for your time this morning Tom.

O'NEAL: Thanks Betty.

NGUYEN: This is DAYBREAK for Friday morning.

(COMMERCIAL BREAK)

NGUYEN: We're still talking about Thanksgiving and it's a big travel week and so Chad, the pressure is on.

CHAD MYERS (ph): Well, I can't help you on the I 70 there in Colorado, I'm afraid.

NGUYEN: Yeah, the boulders.

MYERS: Yeah. The boulders that came down across Glenwood Canyon just east of Glenwood Springs, closing that roadway down. I 70 is shut down. There is a five-hour detour to get around that. It's an hour and six minutes from Walcott (ph) to Glenwood Springs, maybe to Rifle and then that is completely shut down. It will take you five hours to get around that one hour drive. And with tractor trailers on each side of the road, taking that some detour. It could be longer than that. So plan ahead, if you're going across Colorado today. The only good news is you can get from Denver to the ski resorts and don't have to worry about that because it is to the west of the Vail pass.

There you go with some rain down across parts of the deep south, your rain and snow, even some ice across parts of Minneapolis later today. Here is the rain and snow coming into Colorado, so not only are you on two lane roads out here in western Colorado, but it's now snowing on those detour road as well.

NGUYEN: Nothing but good news from you Chad Myers.

MYERS: I'm sorry.

NGUYEN: Gee thanks. All right. Well, thank you Chad.

From Atlanta, I'm Betty Nguyen. AMERICAN MORNING stars right now.

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