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American Morning
Steroids & Sports; Interview with Congressman Peter King
Aired December 03, 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.
SOLEDAD O'BRIEN, CNN ANCHOR: Steroids and sports. Fingers now pointed at world class athletes Barry Bonds and Marion Jones, casting a shadow over their accomplishments.
Protecting America, President Bush puts his confidence in a former beat cop, Bernard Kerik, a Washington outsider who could be elevated to the president's cabinet.
And swift destruction, the latest swarm of typhoons leaves the Philippines climbing out of nature's terrible grip, on this AMERICAN MORNING.
ANNOUNCER: From the CNN broadcast center in New York, this is American morning, with Soledad O'Brien and Bill Hemmer.
O'BRIEN: Good morning. Welcome, everybody. Bill Hemmer has got the day off. Miles O'Brien has been filling in all week. We appreciate it. Nice to have you.
MILES O'BRIEN, CNN ANCHOR: It's good to be here.
S. O'BRIEN: Sorry to lose you at the end of the day.
M. O'BRIEN: Yes, but it's Friday, and it's time go home, don't you think? Enjoyed it, but time to go home.
Some of the stories we're following this morning for you, Bernard Kerik, tough as nails New York cop. He's been nominated now to take over as homeland security. His credentials may be impeccable. He' not above politics however. He campaigned for President Bush. Will he sail through his confirmation hearings? New York Congressman Peter King will talk to us about how Kerik fits into the Washington landscape.
S. O'BRIEN: Also this morning, the Catholic Church agreed to the largest payoff so far in the sexual abuse scandal. We don't know exactly how much money is involved in that California case, but the people who have carried the pain around with them for so long feel that the church has finally given them what they wanted most, which was to be believed. We've got their story coming up.
JACK CAFFERTY, CNN ANCHOR: And a ton of money, that would be the other part of the thing they wanted.
S. O'BRIEN: Money, I think, also helps.
CAFFERTY: We're going to look at this steroids thing, a couple of thoughts. One, I wonder if the public really cares whether professional athletes use this stuff. We go to the ballparks to see home runs hit, not to see people strike out. And, two, they want to clean up the sport, all you have to do is test these multimillion dollars once a week, under a zero-tolerance policy -- flunk a drug test, you have to go get a job like everybody else. So there's a certain hypocrisy, all the hand-wringing over steroid use by athletes. If you want to stop it, you can stop it. The question is whether anybody has got the intestinal fortitude to take that kind of a position.
S. O'BRIEN: We'll see. Jack, thank you.
Let's get right to the headlines now. Carol Costello is at the Time Warner Center this morning.
Hey, Carol. Good morning.
CAROL COSTELLO, CNN ANCHOR: Good morning, Soledad. Thank you.
Now in the news, within the past five hours, a new wave of attacks in Iraq. Four suicide bombers plow a minibus packed with explosives into a mosque in Baghdad. Police say at least 14 people were killed, many who had gathered for morning prayers.
Also nearby, insurgents launching another attack, this one at a Baghdad police station. At least 11 Iraqi police officers were killed. The insurgents also freed more than 20 prisoners.
Back here in the states, former NBA star Jayson Williams is heading back to court. Williams now facing a retrial in connection with the shooting death of a limousine driver in his New Jersey home. The judge yesterday denied a defense request to dismiss the reckless manslaughter charge against him, but barred prosecutors from mentioning Williams' attempted cover-up of the shooting. Jury selection is set to begin on March 7th.
Turning to health news, startling statistics showing almost half of almost all Americans are reportedly taking at least one prescription drug. A new government percent says, just over 44 percent of Americans are taking medication, and one in six are taking at least three. Those rates are up from 1994.
And starting today, you can now see the holiday Christmas tree on display in Washington.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: 5, 4, 3, 2, 1.
(CHEERING)
(END VIDEO CLIP)
COSTELLO: It's pretty, isn't it? President Bush lighting some 15,000 lights on the National Christmas Tree. The president also remembering U.S. troops overseas during the event, and marking this season as the season of hope. Very nice.
Back do you in New York.
Actually, I'm in New York, too, now, I keep forgetting. Back to you.
S. O'BRIEN: In New York. All right, Carol, thanks.
New York's former top cop Bernard Kerik is the president's choice to lead the Department of Homeland Security. A formal announcement is expected this morning.
Elaine Quijano, live for us at the White House this morning.
Hey, Elaine, good morning.
ELAINE QUIJANO, CNN CORRESPONDENT: Good morning to you, Soledad. A senior administration official says Americans are familiar with Bernard Kerik's work after the September 11th attacks, and say that has a proven track record in crisis management situations.
(BEGIN VIDEOTAPE)
QUIJANO (voice-over): He was the face of the New York City police force on September 11 and in the days after. Former New York City Police Commissioner Bernard Kerik will be President Bush's nominee to head up the Homeland Security Department. A White House official calls Kerik a proven crisis manager with credibility and a firsthand understanding of the war on terror. In Kerik, the president finds a strong supporter of the administration's strategy in fighting terrorism.
BERNARD KERIK, HOMELAND SECURITY SECRETARY NOMINEE: We must stand firm, stay preemptive and never believe for one minute that this war is over.
QUIJANO: Kerik also leant his support to the president's reelection bid, briefly joining Mr. Bush on the campaign trail in New Jersey.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I'm proud to have been standing on the stage with Bernie Kerik. He knows something about security. He's lived security all his life.
QUIJANO: If confirmed by the Senate, Kerik will face a daunting task -- to protect the homeland by overseeing and coordinating more than 180,000 federal employees responsible for everything from border security to immigration to airline screening.
This will not be the first time the White House has asked Kerik to serve. Last year at the president's request, Kerik traveled to Iraq to help train the new Iraqi police force. Despite his loyalty to the White House, some Democrats are already praising the president's choice.
SEN. CHARLES SCHUMER (D), NEW YORK: He will make a strong argument, I believe, that we need to do more on homeland security. And I think he won't win every argument, but he'll succeed in a lot of them.
(END VIDEOTAPE)
QUIJANO: And an administration official says former New York City Mayor Rudy Giuliani on two separate occasions made pitches to the White House on Kerik's behalf. President Bush is expected to make a formal announcement on Kerik's nomination later today -- Soledad.
S. O'BRIEN: Elaine Quijano at the White House for us this morning. Elaine, thanks.
Let's get right to Republican Congressman Peter King of New York for more on this.
So what's your reaction to the name of Bernie Kerik coming up? He obviously hasn't been confirmed yet.
REP. PETER KING (R), NEW YORK: Bernie Kerik's a great choice. I can't think of a better choice. He has intensity, he has the passion, he's a guy who lived September 11th. He knows what it's about.
My concern in the country is that every day we go past September 11th, people sort of forgot what happened that day. Bernie Kerik will never let us forget.
Besides that, he was a tough street cop and became police commission of the most important police department in the country. He worked closely with President Bush. I've been in meetings with the two of them. They're on the same page. They really -- they're great. It's going to be a great team.
S. O'BRIEN: But nobody doubts his security credentials, but they definitely say that his political experience is about this big. I mean, that's going to be big problem, isn't it, in Washington D.C.?
KING: Listen, anybody who can survive as police commissioner in New York, work with Rudy Giuliani, understands politics. Now Bernie Kerik understands politics, but in the best sense. He'll get the job done. He'll get the job done, and he won't let people on Capitol Hill block legislation. He'll be constantly there fighting to get what New York needs, what all the other cities in the country who are under threat need.
S. O'BRIEN: He inherits what I think is fair to call a bureaucratic nightmare, bringing all these different divisions together, infighting and completely underfunded at the same time. What do you think he's going to be able to do there?
KING: Well, Tom Ridge did get the organization up and running. What Bernie's going to do is, I think, provide the intensity that's needed. He's going to make it more on the ground. He understands what local police need. He'll be working very closely with various police departments around the country, coordinating intelligence, and also he'll be able to bang heads together on Capitol Hill. So if there are still some, you know, bureaucratic people still trying to protect their turf, once they work with Bernie Kerik, they'll drop their objections.
S. O'BRIEN: We saw in Elaine piece, Charlie -- Charles Schumer sort of being thrilled that Bernard Kerik's now been named to this, or potentially named. How do you think New York City benefits?
KING: New York City, any city that's under threat is going to benefit, because Bernie Kerik realizes that the money has to go the cities that are being threatened. You can't spread it all the over the country the same way you would a highway bill or a bridge bill. This is life and death. New York needs the money. Washington D.C. needs the money. Bernie Kerik can make that argument better than anyone.
S. O'BRIEN: So you think New York City is going to get a big bump up in the money that's being used to fund homeland security?
KING: I think New York City, Houston, Texas -- any cities that are under fire, yes, are going to get an increase because of people like Bernie Kerik, who understands that it has to be based on threat. This can't not pork barrel politics.
S. O'BRIEN: Who does he pick as his No. 2? Do you think Asa Hutchinson, as we should mention, is stepping down a Tom Ridge's No. 2?
KING: I know Bernie Kerik well enough, I'm not going to make any suggestions to Bernie Kerik. He knows what he's going to do.
S. O'BRIEN: Oh my God, I can't believe you're not making any suggestions. What's wrong with you?
KING: Bernie Kerik's a tough guy. He knows what he wants to do. Give him a free hand, he'll get the job done. He and the president will work great together.
S. O'BRIEN: What does this means for Rudy Giuliani and his future. I mean, obviously, he has a lot of power in the White House.
KING: The president has a great regard for Rudy. Obviously Bernie Kerik was Rudy Giuliani's right-hand man in running the city with the police department, and obviously, this will mean, you know, Rudy will definitely have a voice in the administration, which he would have anyway. But now having Bernie Kerik there, it even gives him more of one. It also sends a message how committed the president is to homeland security, how important it is the president win this war oversees and here at home.
S. O'BRIEN: Peter King, nice to have you, as always. Thanks -- Miles.
KING: Soledad, thank you.
M. O'BRIEN: Baseball great Barry Bonds now back at the center of a sports steroid scandal. Bonds reportedly telling a grand jury he used steroid laced substances supplied by BALCO. That's that company enmeshed in a sports doping controversy in the San Francisco Bay area. "The San Francisco Chronicle" reports Bond testified he did not know at the time the two products he used contained steroids. The paper says Bonds claims a trainer told him the products were pain relief and nutritional supplements. That report comes a day after the paper's revelations about Yankees slugger Jason Giambi. Now that story said Giambi told the grand jury that he used steroids for at least three seasons.
Also reports this morning about accusations of steroid use involving track and field star Marion Jones. In an interview with ABS'c "20/20," which airs tonight. The founder of BALCO Victor Conte, says he supplied Jones with performance drugs up to and after the Sidney Olympics in 2000. Conte said he taught Jones to inject herself with human growth hormone, and that there were no accurate test tests for the substance. Jones won five medals at the 2000 Olympics, three of them gold. Jones has repeatedly denied using steroids. These reports casting new light on the issue of steroid use in sports.
Sports reporter Ray D'Alessio now on what kind of the impact these revelations will have on baseball.
(BEGIN VIDEOTAPE)
RAY D'ALESSIO, CNN SPORTS: A lot of people are calling it, say, a black eye for Major League Baseball, and the dark could hanging over baseball's head. To me, personally, I see this as a blessing in disguise for commissioner Bud Selig. I mean, he went on record yesterday to interview, saying, again, baseball needs more strict drug testing policy. Right now, they don't have that. They do have a drug testing policy, but it's not as strict as commissioner Bud Selig wants it to be. The players union has always fought against a more strict drug policy.
Well, now in a timespan of 24 hours, you've got two beloved players, one admitting, saying, yes, I did take steroids, and I didn't know that I was taking them. The other saying, I unknowingly took them. Well, there's your proof right there that the fans needed. This is going to anger fans. Now, you're questioning the home run records, now you're questioning the MVP awards. Here's your proof that you need for players union to say, OK, the fans are going to be mad, they might not come to the games, they're going to be out with the picket signs, this and that, let's get to the bargaining policy, let's get a more strict drug- testing policy in place.
M. O'BRIEN: Yes, I think you can agree it's not good for baseball. You have to ask what the union's motivation for blocking this testing and these rule changes for so many years was. Really, all the players care about is having a, quite literally, an even playing field, right?
D'ALESSIO: Exactly. And I mean, really last year, when Donald Fehr went before Congress, he had said that it was a violation of, you know, a player's privacy? Well, again, what's more of a violation of privacy, drug testing or now the fact that this is coming out in public, that, again, two beloved stars admittedly did steroids, one saying, yes, I knew what I was taking, the other saying, I did not know what I was taken. Again, Barry Bonds saying I was given this cream, I thought it was an arthritis-type drug. I took the clear, which I thought was flax seed oil.
So, again, there are so many issues at hand. Now, the player's union really must come take a step back and say, this is not good for baseball. We need to go back to the bargaining table, and we need to come up with a more strict drug-testing policy.
(END VIDEOTAPE)
M. O'BRIEN: All right, that was D'Alessio just a little while ago. Look at Barry Bonds by the numbers. Seven, count them, seven MVP awards, 73 season home run records, of course beating Babe Ruth, Roger Maris' records. Interesting we should mention Roger Maris, the first one to have an asterisk besides a record. Maybe we should dissolve in a few asterisk besides these numbers, 703 career home runs, on track to beat Henry Aaron in that regard, 13 All-Star Games, eight Gold Glove Awards.
We've been talking about this whole steroid scandal for a long time now, this BALCO outfit. But suddenly, with Barry Bonds in at front and center, it really changes the dimensions of the story.
S. O'BRIEN: It really does. And Roger Maris, of course, had the asterisk for a totally different reason.
M. O'BRIEN: Yes, he played a longer season. But nevertheless, you got to wonder about those numbers.
S. O'BRIEN: I'll tell you. So what happens, do they go back and change all these, or put asterisks through...
M. O'BRIEN: I don't know, play all the games over? Can't do that, can you?
S. O'BRIEN: No, that I know is not going to be an option.
All right, Miles.
A killer typhoon slammed the Philippines overnight, raising the unofficial toll of dead from this week's powerful storms to more than 550. Some heavy rains, mudslides and flash floods wiping out homes and bridges, turning entire provinces into a big sea and mud. Today rescuers are scrambling to reach thousands of people who are still stranded by those storms.
M. O'BRIEN: Still to come on the program, it could be the priciest settlement ever in the Catholic Church abuse scandal. But some victims say the most important part of the settlement is still yet come. We'll be live in Los Angeles.
S. O'BRIEN: Also this morning, friends and family members come to the defense of Scott Peterson. But have his lawyers finally found the emotional testimony they're looking for? M. O'BRIEN: And the president puts on full-court press for 9/11 reform, while his top general changes his tune on a key issue. All that ahead, on AMERICAN MORNING.
(COMMERCIAL BREAK)
S. O'BRIEN: This story developing overnight. CNN has learned the dioceses of Orange in Southern California has settled with 87 victims. It is being called the largest payout in the history of the Catholic Church sex abuse scandal.
CNN's Drew Griffin live for us this morning in Los Angles with exclusive details.
Drew, good morning.
DREW GRIFFIN, CNN ANCHOR: Good morning, Soledad.
The announcement was made here last night, late last night in superior court here in Los Angeles, a settlement that details remain a secret, protected by a gag order issued by the judge in this case.
But sources are telling CNN this is the largest-to-date settlement in these Catholic Church sex abuse scandals, and will exceed the $85 million settlement in Boston.
(BEGIN VIDEOTAPE)
GRIFFIN (voice-over): It was a late-night settlement, an agreement to end a 2 1/2 year court battle. Several of the 87 sexual abuse victims who waited outside the courtroom were told late last night, the church that stole their innocence is sorry.
UNIDENTIFIED MALE: I intend to write a letter to each victim personally, seeking forgiveness and reconciliation. Let me also take this opportunity to once again extend on the behalf of the dioceses of Orange and myself was sincere apology, a request for forgiveness, a heartfelt hope for reconciliation and healing.
GRIFFIN: What followed that statement from Orange County Bishop Todd Brown was unexpected. The victims, people who ere molested by 43 Catholic priests, nuns, teachers, even a choir director, hugged and thanked the bishop for acknowledging their pain.
DAVID GUERRERO, PLAINTIFF: For once, them coming in tonight and settling these cases and apologizing, and for Bishop Brown saying he will hand write a letter of apology for each and every victim, I mean, I couldn't stop crying.
JOHN MANLY, VICTIMS' ATTORNEY: The survivors themselves, hugging the bishop, congratulating him for what, John? Why?
I think it reflects the point that all these people ever wanted was to be believed. And tonight, what you have is a concrete demonstration by him that it did happen, and he's sorry.
GRIFFIN: Sources say it will be at least seven days before the exact dollar amounts are released.
UNIDENTIFIED FEMALE: We can't answer questions.
GRIFFIN: But Abuse survivor Joel Castaix says the money is only secondary. What she says will be most important in this settlement are the documents yet to come and the truth yet to be told.
JOELLE CASTAIX, PLAINTIFF: People tend to think that perhaps things aren't as bad as it's portrayed in the press. But the truth is, it's 100 times worse than anyone's ever imagined. And when those documents get out, it will be a great day for survivors and a very interesting day for the catholic church.
(END VIDEOTAPE)
GRIFFIN: That interesting day, Soledad, could come within the week when this final settlement is reached, all parties sign off, and supposedly those documents are released. As for who pays, the Orange County Catholic Church pays, along with eight insurance carriers.
Back to you.
S. O'BRIEN: With our exclusive report this morning, Drew Griffin. Drew, thank you very much -- Miles.
M. O'BRIEN: Still to come on the program, 23 years ago, IBM changed the way we live and work with a revolutionary product. But now, Big Blue looks ready to say bye-bye to the PC. Andy Serwer here to tell us why. Stay with us.
(COMMERCIAL BREAK)
M. O'BRIEN: Big news on the job market expected this morning, and the end of an era in the PC world. Big Blue dropping out of the PC business. Amazing. Andy Serwer, "Minding Your Business." It seems only yesterday, we were seeing those little Charlie Chaplain ads. That shows you how old I am, I guess.
ANDY SERWER, "FORTUNE" MAGAZINE: Yes, well, now, not too many people are buying PC's from IBM anymore. We'll get to that in a second.
First of all, remember yesterday, Miles, we told you that NASCAR invaded Manhattan to celebrate the end of their season. And so let's take a look. There's the Donald saying, start your engines.
S. O'BRIEN: He said, "fire your engines."
SERWER: Fire your engines, very good. Thank you.
S. O'BRIEN: He did.
M. O'BRIEN: Did he really?
SERWER: Yes, of course he did.
M. O'BRIEN: Because you were stuck in traffic...
(CROSSTALK)
SERWER: I blew the punchline. Soledad got caught up in this. You know, that's not even 20 miles an hour. I heard there was only 20 miles an hour. There's Jeff Gordon. Now, he was sick with the flu actually. Dale Earnhardt Jr. was there.
M. O'BRIEN: I mean, is there something less than first gear.
SERWER: I don't know how -- yes, that's going to wreck your gearbox. That's going to blow your -- look at that. Yes, it was a mess in midtown.
Let's talk about the markets a little bit. A mixed session yesterday on the street -- five down, five up. You can see the Dow and the Nasdaq kind of taking a breather after big gains on Wednesday. Two big tech stocks in focused. As Miles mentioned, a report in "The New York Times," that IBM is exiting the PC business. The company, of course, is synonymous with PCs, rolled out their first one in 1981. Intel, also in focus today, sharply raising its profit and revenue forecast. That stock could be on the move.
And at 8:30 Eastern, the big jobs report for the month of November. Economists looking for 200,000 jobs to be created, a little bit down from that big October surprise, but still pretty good. And that's it.
S. O'BRIEN: For now.
SERWER: For now.
M. O'BRIEN: Comprehensive. But you'll come back and give us more, won't you?
SERWER: I will.
S. O'BRIEN: Andy, thanks.
SERWER: You're welcome.
S. O'BRIEN: The Question of the Day is about steroids.
CAFFERTY: But it was really good.
SERWER: Thank you, Jack. You're just buttering me up.
CAFFERTY: When it comes to professional sports in this country, we must remember rule No. 1, which is, it's all about the Benjamins. Let's pretend for a moment that I own the San Francisco Giants. Do I want Barry Bonds to hit 60 home runs, or do I want Barry Bonds to hit 20 home runs? Sixty home runs, I can raise ticket prices, the TV ratings go up, I make more money; 20 home runs, I make less money, 20 home runs Barry Bonds makes less money, the sponsors don't sell as many products. So what if he puts a drop of clear liquid under his tongue? The hypocrisy of this is absolutely mind-boggling. Americans want to see records broken. That's why we have records. Go to the Olympics games, you want to see Marion Jones run as fast as whatever she's taking might let her. I'm not suggesting she's taking anything, but what if she was?
If they want to stop this stuff, you test these athletes, and if you fail the drug test, you're out, period, then you have to go get a job -- pardon me -- like the rest of us folks do. You want to play sports and earn $10 million a year, then play by the rules.
All the hand wring about steroids use is just nonsense. And I have a feeling that the guy who goes to the ballpark wants to see 60 home runs as opposed to 20 home runs as well.
So the question is this, how much do you care whether professional athletes use steroids? Not talking about kids, high school, college. These are pros. They want to muck up their bodies using this stuff, who cares?
S. O'BRIEN: I care, and I don't really watch that many professional sports.
CAFFERTY: Well, there's one.
SERWER: Soledad versus the world.
M. O'BRIEN: No one else cares.
S. O'BRIEN: Man, what does that say about our great nation?
SERWER: Well, we'll see what people say.
CAFFERTY: It says we're a bunch of hypocrites, because if they wanted to stop this, they could stop it just like that. That's what it says.
SERWER: That's right. That is true.
O'BRIEN: Well, as you said, we'll see what people write in. Thank you, Jack. Still to come this morning, your Friday morning dose of "90-Second Pop."
Somebody call 9/11, Spongebob is missing. Who's behind the kidnapping caper? Plus, how Barry Manilow is one of the biggest winners ever on the Vegas strip. Stay with us on AMERICAN MORNING.
(COMMERCIAL BREAK)
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Aired December 3, 2004 - 07:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SOLEDAD O'BRIEN, CNN ANCHOR: Steroids and sports. Fingers now pointed at world class athletes Barry Bonds and Marion Jones, casting a shadow over their accomplishments.
Protecting America, President Bush puts his confidence in a former beat cop, Bernard Kerik, a Washington outsider who could be elevated to the president's cabinet.
And swift destruction, the latest swarm of typhoons leaves the Philippines climbing out of nature's terrible grip, on this AMERICAN MORNING.
ANNOUNCER: From the CNN broadcast center in New York, this is American morning, with Soledad O'Brien and Bill Hemmer.
O'BRIEN: Good morning. Welcome, everybody. Bill Hemmer has got the day off. Miles O'Brien has been filling in all week. We appreciate it. Nice to have you.
MILES O'BRIEN, CNN ANCHOR: It's good to be here.
S. O'BRIEN: Sorry to lose you at the end of the day.
M. O'BRIEN: Yes, but it's Friday, and it's time go home, don't you think? Enjoyed it, but time to go home.
Some of the stories we're following this morning for you, Bernard Kerik, tough as nails New York cop. He's been nominated now to take over as homeland security. His credentials may be impeccable. He' not above politics however. He campaigned for President Bush. Will he sail through his confirmation hearings? New York Congressman Peter King will talk to us about how Kerik fits into the Washington landscape.
S. O'BRIEN: Also this morning, the Catholic Church agreed to the largest payoff so far in the sexual abuse scandal. We don't know exactly how much money is involved in that California case, but the people who have carried the pain around with them for so long feel that the church has finally given them what they wanted most, which was to be believed. We've got their story coming up.
JACK CAFFERTY, CNN ANCHOR: And a ton of money, that would be the other part of the thing they wanted.
S. O'BRIEN: Money, I think, also helps.
CAFFERTY: We're going to look at this steroids thing, a couple of thoughts. One, I wonder if the public really cares whether professional athletes use this stuff. We go to the ballparks to see home runs hit, not to see people strike out. And, two, they want to clean up the sport, all you have to do is test these multimillion dollars once a week, under a zero-tolerance policy -- flunk a drug test, you have to go get a job like everybody else. So there's a certain hypocrisy, all the hand-wringing over steroid use by athletes. If you want to stop it, you can stop it. The question is whether anybody has got the intestinal fortitude to take that kind of a position.
S. O'BRIEN: We'll see. Jack, thank you.
Let's get right to the headlines now. Carol Costello is at the Time Warner Center this morning.
Hey, Carol. Good morning.
CAROL COSTELLO, CNN ANCHOR: Good morning, Soledad. Thank you.
Now in the news, within the past five hours, a new wave of attacks in Iraq. Four suicide bombers plow a minibus packed with explosives into a mosque in Baghdad. Police say at least 14 people were killed, many who had gathered for morning prayers.
Also nearby, insurgents launching another attack, this one at a Baghdad police station. At least 11 Iraqi police officers were killed. The insurgents also freed more than 20 prisoners.
Back here in the states, former NBA star Jayson Williams is heading back to court. Williams now facing a retrial in connection with the shooting death of a limousine driver in his New Jersey home. The judge yesterday denied a defense request to dismiss the reckless manslaughter charge against him, but barred prosecutors from mentioning Williams' attempted cover-up of the shooting. Jury selection is set to begin on March 7th.
Turning to health news, startling statistics showing almost half of almost all Americans are reportedly taking at least one prescription drug. A new government percent says, just over 44 percent of Americans are taking medication, and one in six are taking at least three. Those rates are up from 1994.
And starting today, you can now see the holiday Christmas tree on display in Washington.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: 5, 4, 3, 2, 1.
(CHEERING)
(END VIDEO CLIP)
COSTELLO: It's pretty, isn't it? President Bush lighting some 15,000 lights on the National Christmas Tree. The president also remembering U.S. troops overseas during the event, and marking this season as the season of hope. Very nice.
Back do you in New York.
Actually, I'm in New York, too, now, I keep forgetting. Back to you.
S. O'BRIEN: In New York. All right, Carol, thanks.
New York's former top cop Bernard Kerik is the president's choice to lead the Department of Homeland Security. A formal announcement is expected this morning.
Elaine Quijano, live for us at the White House this morning.
Hey, Elaine, good morning.
ELAINE QUIJANO, CNN CORRESPONDENT: Good morning to you, Soledad. A senior administration official says Americans are familiar with Bernard Kerik's work after the September 11th attacks, and say that has a proven track record in crisis management situations.
(BEGIN VIDEOTAPE)
QUIJANO (voice-over): He was the face of the New York City police force on September 11 and in the days after. Former New York City Police Commissioner Bernard Kerik will be President Bush's nominee to head up the Homeland Security Department. A White House official calls Kerik a proven crisis manager with credibility and a firsthand understanding of the war on terror. In Kerik, the president finds a strong supporter of the administration's strategy in fighting terrorism.
BERNARD KERIK, HOMELAND SECURITY SECRETARY NOMINEE: We must stand firm, stay preemptive and never believe for one minute that this war is over.
QUIJANO: Kerik also leant his support to the president's reelection bid, briefly joining Mr. Bush on the campaign trail in New Jersey.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I'm proud to have been standing on the stage with Bernie Kerik. He knows something about security. He's lived security all his life.
QUIJANO: If confirmed by the Senate, Kerik will face a daunting task -- to protect the homeland by overseeing and coordinating more than 180,000 federal employees responsible for everything from border security to immigration to airline screening.
This will not be the first time the White House has asked Kerik to serve. Last year at the president's request, Kerik traveled to Iraq to help train the new Iraqi police force. Despite his loyalty to the White House, some Democrats are already praising the president's choice.
SEN. CHARLES SCHUMER (D), NEW YORK: He will make a strong argument, I believe, that we need to do more on homeland security. And I think he won't win every argument, but he'll succeed in a lot of them.
(END VIDEOTAPE)
QUIJANO: And an administration official says former New York City Mayor Rudy Giuliani on two separate occasions made pitches to the White House on Kerik's behalf. President Bush is expected to make a formal announcement on Kerik's nomination later today -- Soledad.
S. O'BRIEN: Elaine Quijano at the White House for us this morning. Elaine, thanks.
Let's get right to Republican Congressman Peter King of New York for more on this.
So what's your reaction to the name of Bernie Kerik coming up? He obviously hasn't been confirmed yet.
REP. PETER KING (R), NEW YORK: Bernie Kerik's a great choice. I can't think of a better choice. He has intensity, he has the passion, he's a guy who lived September 11th. He knows what it's about.
My concern in the country is that every day we go past September 11th, people sort of forgot what happened that day. Bernie Kerik will never let us forget.
Besides that, he was a tough street cop and became police commission of the most important police department in the country. He worked closely with President Bush. I've been in meetings with the two of them. They're on the same page. They really -- they're great. It's going to be a great team.
S. O'BRIEN: But nobody doubts his security credentials, but they definitely say that his political experience is about this big. I mean, that's going to be big problem, isn't it, in Washington D.C.?
KING: Listen, anybody who can survive as police commissioner in New York, work with Rudy Giuliani, understands politics. Now Bernie Kerik understands politics, but in the best sense. He'll get the job done. He'll get the job done, and he won't let people on Capitol Hill block legislation. He'll be constantly there fighting to get what New York needs, what all the other cities in the country who are under threat need.
S. O'BRIEN: He inherits what I think is fair to call a bureaucratic nightmare, bringing all these different divisions together, infighting and completely underfunded at the same time. What do you think he's going to be able to do there?
KING: Well, Tom Ridge did get the organization up and running. What Bernie's going to do is, I think, provide the intensity that's needed. He's going to make it more on the ground. He understands what local police need. He'll be working very closely with various police departments around the country, coordinating intelligence, and also he'll be able to bang heads together on Capitol Hill. So if there are still some, you know, bureaucratic people still trying to protect their turf, once they work with Bernie Kerik, they'll drop their objections.
S. O'BRIEN: We saw in Elaine piece, Charlie -- Charles Schumer sort of being thrilled that Bernard Kerik's now been named to this, or potentially named. How do you think New York City benefits?
KING: New York City, any city that's under threat is going to benefit, because Bernie Kerik realizes that the money has to go the cities that are being threatened. You can't spread it all the over the country the same way you would a highway bill or a bridge bill. This is life and death. New York needs the money. Washington D.C. needs the money. Bernie Kerik can make that argument better than anyone.
S. O'BRIEN: So you think New York City is going to get a big bump up in the money that's being used to fund homeland security?
KING: I think New York City, Houston, Texas -- any cities that are under fire, yes, are going to get an increase because of people like Bernie Kerik, who understands that it has to be based on threat. This can't not pork barrel politics.
S. O'BRIEN: Who does he pick as his No. 2? Do you think Asa Hutchinson, as we should mention, is stepping down a Tom Ridge's No. 2?
KING: I know Bernie Kerik well enough, I'm not going to make any suggestions to Bernie Kerik. He knows what he's going to do.
S. O'BRIEN: Oh my God, I can't believe you're not making any suggestions. What's wrong with you?
KING: Bernie Kerik's a tough guy. He knows what he wants to do. Give him a free hand, he'll get the job done. He and the president will work great together.
S. O'BRIEN: What does this means for Rudy Giuliani and his future. I mean, obviously, he has a lot of power in the White House.
KING: The president has a great regard for Rudy. Obviously Bernie Kerik was Rudy Giuliani's right-hand man in running the city with the police department, and obviously, this will mean, you know, Rudy will definitely have a voice in the administration, which he would have anyway. But now having Bernie Kerik there, it even gives him more of one. It also sends a message how committed the president is to homeland security, how important it is the president win this war oversees and here at home.
S. O'BRIEN: Peter King, nice to have you, as always. Thanks -- Miles.
KING: Soledad, thank you.
M. O'BRIEN: Baseball great Barry Bonds now back at the center of a sports steroid scandal. Bonds reportedly telling a grand jury he used steroid laced substances supplied by BALCO. That's that company enmeshed in a sports doping controversy in the San Francisco Bay area. "The San Francisco Chronicle" reports Bond testified he did not know at the time the two products he used contained steroids. The paper says Bonds claims a trainer told him the products were pain relief and nutritional supplements. That report comes a day after the paper's revelations about Yankees slugger Jason Giambi. Now that story said Giambi told the grand jury that he used steroids for at least three seasons.
Also reports this morning about accusations of steroid use involving track and field star Marion Jones. In an interview with ABS'c "20/20," which airs tonight. The founder of BALCO Victor Conte, says he supplied Jones with performance drugs up to and after the Sidney Olympics in 2000. Conte said he taught Jones to inject herself with human growth hormone, and that there were no accurate test tests for the substance. Jones won five medals at the 2000 Olympics, three of them gold. Jones has repeatedly denied using steroids. These reports casting new light on the issue of steroid use in sports.
Sports reporter Ray D'Alessio now on what kind of the impact these revelations will have on baseball.
(BEGIN VIDEOTAPE)
RAY D'ALESSIO, CNN SPORTS: A lot of people are calling it, say, a black eye for Major League Baseball, and the dark could hanging over baseball's head. To me, personally, I see this as a blessing in disguise for commissioner Bud Selig. I mean, he went on record yesterday to interview, saying, again, baseball needs more strict drug testing policy. Right now, they don't have that. They do have a drug testing policy, but it's not as strict as commissioner Bud Selig wants it to be. The players union has always fought against a more strict drug policy.
Well, now in a timespan of 24 hours, you've got two beloved players, one admitting, saying, yes, I did take steroids, and I didn't know that I was taking them. The other saying, I unknowingly took them. Well, there's your proof right there that the fans needed. This is going to anger fans. Now, you're questioning the home run records, now you're questioning the MVP awards. Here's your proof that you need for players union to say, OK, the fans are going to be mad, they might not come to the games, they're going to be out with the picket signs, this and that, let's get to the bargaining policy, let's get a more strict drug- testing policy in place.
M. O'BRIEN: Yes, I think you can agree it's not good for baseball. You have to ask what the union's motivation for blocking this testing and these rule changes for so many years was. Really, all the players care about is having a, quite literally, an even playing field, right?
D'ALESSIO: Exactly. And I mean, really last year, when Donald Fehr went before Congress, he had said that it was a violation of, you know, a player's privacy? Well, again, what's more of a violation of privacy, drug testing or now the fact that this is coming out in public, that, again, two beloved stars admittedly did steroids, one saying, yes, I knew what I was taking, the other saying, I did not know what I was taken. Again, Barry Bonds saying I was given this cream, I thought it was an arthritis-type drug. I took the clear, which I thought was flax seed oil.
So, again, there are so many issues at hand. Now, the player's union really must come take a step back and say, this is not good for baseball. We need to go back to the bargaining table, and we need to come up with a more strict drug-testing policy.
(END VIDEOTAPE)
M. O'BRIEN: All right, that was D'Alessio just a little while ago. Look at Barry Bonds by the numbers. Seven, count them, seven MVP awards, 73 season home run records, of course beating Babe Ruth, Roger Maris' records. Interesting we should mention Roger Maris, the first one to have an asterisk besides a record. Maybe we should dissolve in a few asterisk besides these numbers, 703 career home runs, on track to beat Henry Aaron in that regard, 13 All-Star Games, eight Gold Glove Awards.
We've been talking about this whole steroid scandal for a long time now, this BALCO outfit. But suddenly, with Barry Bonds in at front and center, it really changes the dimensions of the story.
S. O'BRIEN: It really does. And Roger Maris, of course, had the asterisk for a totally different reason.
M. O'BRIEN: Yes, he played a longer season. But nevertheless, you got to wonder about those numbers.
S. O'BRIEN: I'll tell you. So what happens, do they go back and change all these, or put asterisks through...
M. O'BRIEN: I don't know, play all the games over? Can't do that, can you?
S. O'BRIEN: No, that I know is not going to be an option.
All right, Miles.
A killer typhoon slammed the Philippines overnight, raising the unofficial toll of dead from this week's powerful storms to more than 550. Some heavy rains, mudslides and flash floods wiping out homes and bridges, turning entire provinces into a big sea and mud. Today rescuers are scrambling to reach thousands of people who are still stranded by those storms.
M. O'BRIEN: Still to come on the program, it could be the priciest settlement ever in the Catholic Church abuse scandal. But some victims say the most important part of the settlement is still yet come. We'll be live in Los Angeles.
S. O'BRIEN: Also this morning, friends and family members come to the defense of Scott Peterson. But have his lawyers finally found the emotional testimony they're looking for? M. O'BRIEN: And the president puts on full-court press for 9/11 reform, while his top general changes his tune on a key issue. All that ahead, on AMERICAN MORNING.
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S. O'BRIEN: This story developing overnight. CNN has learned the dioceses of Orange in Southern California has settled with 87 victims. It is being called the largest payout in the history of the Catholic Church sex abuse scandal.
CNN's Drew Griffin live for us this morning in Los Angles with exclusive details.
Drew, good morning.
DREW GRIFFIN, CNN ANCHOR: Good morning, Soledad.
The announcement was made here last night, late last night in superior court here in Los Angeles, a settlement that details remain a secret, protected by a gag order issued by the judge in this case.
But sources are telling CNN this is the largest-to-date settlement in these Catholic Church sex abuse scandals, and will exceed the $85 million settlement in Boston.
(BEGIN VIDEOTAPE)
GRIFFIN (voice-over): It was a late-night settlement, an agreement to end a 2 1/2 year court battle. Several of the 87 sexual abuse victims who waited outside the courtroom were told late last night, the church that stole their innocence is sorry.
UNIDENTIFIED MALE: I intend to write a letter to each victim personally, seeking forgiveness and reconciliation. Let me also take this opportunity to once again extend on the behalf of the dioceses of Orange and myself was sincere apology, a request for forgiveness, a heartfelt hope for reconciliation and healing.
GRIFFIN: What followed that statement from Orange County Bishop Todd Brown was unexpected. The victims, people who ere molested by 43 Catholic priests, nuns, teachers, even a choir director, hugged and thanked the bishop for acknowledging their pain.
DAVID GUERRERO, PLAINTIFF: For once, them coming in tonight and settling these cases and apologizing, and for Bishop Brown saying he will hand write a letter of apology for each and every victim, I mean, I couldn't stop crying.
JOHN MANLY, VICTIMS' ATTORNEY: The survivors themselves, hugging the bishop, congratulating him for what, John? Why?
I think it reflects the point that all these people ever wanted was to be believed. And tonight, what you have is a concrete demonstration by him that it did happen, and he's sorry.
GRIFFIN: Sources say it will be at least seven days before the exact dollar amounts are released.
UNIDENTIFIED FEMALE: We can't answer questions.
GRIFFIN: But Abuse survivor Joel Castaix says the money is only secondary. What she says will be most important in this settlement are the documents yet to come and the truth yet to be told.
JOELLE CASTAIX, PLAINTIFF: People tend to think that perhaps things aren't as bad as it's portrayed in the press. But the truth is, it's 100 times worse than anyone's ever imagined. And when those documents get out, it will be a great day for survivors and a very interesting day for the catholic church.
(END VIDEOTAPE)
GRIFFIN: That interesting day, Soledad, could come within the week when this final settlement is reached, all parties sign off, and supposedly those documents are released. As for who pays, the Orange County Catholic Church pays, along with eight insurance carriers.
Back to you.
S. O'BRIEN: With our exclusive report this morning, Drew Griffin. Drew, thank you very much -- Miles.
M. O'BRIEN: Still to come on the program, 23 years ago, IBM changed the way we live and work with a revolutionary product. But now, Big Blue looks ready to say bye-bye to the PC. Andy Serwer here to tell us why. Stay with us.
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M. O'BRIEN: Big news on the job market expected this morning, and the end of an era in the PC world. Big Blue dropping out of the PC business. Amazing. Andy Serwer, "Minding Your Business." It seems only yesterday, we were seeing those little Charlie Chaplain ads. That shows you how old I am, I guess.
ANDY SERWER, "FORTUNE" MAGAZINE: Yes, well, now, not too many people are buying PC's from IBM anymore. We'll get to that in a second.
First of all, remember yesterday, Miles, we told you that NASCAR invaded Manhattan to celebrate the end of their season. And so let's take a look. There's the Donald saying, start your engines.
S. O'BRIEN: He said, "fire your engines."
SERWER: Fire your engines, very good. Thank you.
S. O'BRIEN: He did.
M. O'BRIEN: Did he really?
SERWER: Yes, of course he did.
M. O'BRIEN: Because you were stuck in traffic...
(CROSSTALK)
SERWER: I blew the punchline. Soledad got caught up in this. You know, that's not even 20 miles an hour. I heard there was only 20 miles an hour. There's Jeff Gordon. Now, he was sick with the flu actually. Dale Earnhardt Jr. was there.
M. O'BRIEN: I mean, is there something less than first gear.
SERWER: I don't know how -- yes, that's going to wreck your gearbox. That's going to blow your -- look at that. Yes, it was a mess in midtown.
Let's talk about the markets a little bit. A mixed session yesterday on the street -- five down, five up. You can see the Dow and the Nasdaq kind of taking a breather after big gains on Wednesday. Two big tech stocks in focused. As Miles mentioned, a report in "The New York Times," that IBM is exiting the PC business. The company, of course, is synonymous with PCs, rolled out their first one in 1981. Intel, also in focus today, sharply raising its profit and revenue forecast. That stock could be on the move.
And at 8:30 Eastern, the big jobs report for the month of November. Economists looking for 200,000 jobs to be created, a little bit down from that big October surprise, but still pretty good. And that's it.
S. O'BRIEN: For now.
SERWER: For now.
M. O'BRIEN: Comprehensive. But you'll come back and give us more, won't you?
SERWER: I will.
S. O'BRIEN: Andy, thanks.
SERWER: You're welcome.
S. O'BRIEN: The Question of the Day is about steroids.
CAFFERTY: But it was really good.
SERWER: Thank you, Jack. You're just buttering me up.
CAFFERTY: When it comes to professional sports in this country, we must remember rule No. 1, which is, it's all about the Benjamins. Let's pretend for a moment that I own the San Francisco Giants. Do I want Barry Bonds to hit 60 home runs, or do I want Barry Bonds to hit 20 home runs? Sixty home runs, I can raise ticket prices, the TV ratings go up, I make more money; 20 home runs, I make less money, 20 home runs Barry Bonds makes less money, the sponsors don't sell as many products. So what if he puts a drop of clear liquid under his tongue? The hypocrisy of this is absolutely mind-boggling. Americans want to see records broken. That's why we have records. Go to the Olympics games, you want to see Marion Jones run as fast as whatever she's taking might let her. I'm not suggesting she's taking anything, but what if she was?
If they want to stop this stuff, you test these athletes, and if you fail the drug test, you're out, period, then you have to go get a job -- pardon me -- like the rest of us folks do. You want to play sports and earn $10 million a year, then play by the rules.
All the hand wring about steroids use is just nonsense. And I have a feeling that the guy who goes to the ballpark wants to see 60 home runs as opposed to 20 home runs as well.
So the question is this, how much do you care whether professional athletes use steroids? Not talking about kids, high school, college. These are pros. They want to muck up their bodies using this stuff, who cares?
S. O'BRIEN: I care, and I don't really watch that many professional sports.
CAFFERTY: Well, there's one.
SERWER: Soledad versus the world.
M. O'BRIEN: No one else cares.
S. O'BRIEN: Man, what does that say about our great nation?
SERWER: Well, we'll see what people say.
CAFFERTY: It says we're a bunch of hypocrites, because if they wanted to stop this, they could stop it just like that. That's what it says.
SERWER: That's right. That is true.
O'BRIEN: Well, as you said, we'll see what people write in. Thank you, Jack. Still to come this morning, your Friday morning dose of "90-Second Pop."
Somebody call 9/11, Spongebob is missing. Who's behind the kidnapping caper? Plus, how Barry Manilow is one of the biggest winners ever on the Vegas strip. Stay with us on AMERICAN MORNING.
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