Return to Transcripts main page
CNN Live At Daybreak
Capitol Hill Deal; 'America's Voice'; Cash or Plastic?
Aired December 07, 2004 - 06:29 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Back to our top story now. The intelligence reform bill moves forward, finally. The head of the House Armed Services Committee had opposed the measure, but Congressman Duncan Hunter now says he will back it, thanks to a compromise deal. Hunter had feared the reforms would interfere with the military's chain of command.
(BEGIN VIDEO CLIP)
REP. DUNCAN HUNTER (R), CALIFORNIA: We have been working, as you know, over the many weeks trying to ensure that we have a good provision for chain-of-command protection. And we have that. We've received language that we think does that very effectively. And so, we have agreed that we will support this conference report, because it has now met the standard that we were most interested in, which is protecting our troops on the battlefield.
(END VIDEO CLIP)
COSTELLO: The compromise deal on the bill comes after some drawn-out negotiations, and after some pressure from President Bush and families of 9/11 victims.
Our congressional correspondent, Ed Henry, joins us live from Washington with more.
Good morning.
ED HENRY, CNN CONGRESSIONAL CORRESPONDENT: Good morning, Carol.
COSTELLO: So, when might they vote?
HENRY: Well, we're expecting a vote in the House as early as today, in fact. In the Senate, it will probably be Wednesday or Thursday. It's going to take them a little bit longer to deal with it.
But the bottom line is after months of delay, we've been waiting. The 9/11 Commission report obviously came out in July, a bipartisan report. A lot of people were pushing for reform. There were 41 recommendations in there. Congress really is only going to handle a handful of those 41 recommendations. But it looks like this week they finally will finish it.
COSTELLO: So, they come to a compromise. Does it dilute the bill at all? HENRY: Well, if you ask Republican Congressman James Sensenbrenner, who was the other holdout besides Duncan Hunter, it certainly has been watered down. Mr. Sensenbrenner wanted to add several immigration provisions that he thinks are critical to stopping another terrorist attack. If you look back, the 19 hijackers on 9/11 between them had about 63 valid U.S. driver's licenses, because of problems right now in the immigration system. He wanted to fix that. He also wanted to tighten the borders.
But those measures have now been left out. And, in fact, they've been punted until next year. Mr. Sensenbrenner was promised a vote on some of his other provisions next year. But in his eyes, and also in the eyes of some of the 9/11 families, this is not real reform without the immigration provisions.
COSTELLO: Interesting. So, and having said that, I don't know if I should ask you this or not. Was this all a power play? Or was this real concern on the part of some Congress people?
HENRY: I think it was a mix. I think Mr. Hunter is certainly somebody who, as chairman of the House Armed Services Committee, and has a son, by the way, who is serving right now in the U.S. military in Iraq, is certainly concerned legitimately and sincerely about the chain-of-command issue and making sure that troops in the field are taken care of.
But having said that, there also clearly was a bit of a power play going on, where the Pentagon did not want to give up too much of its power, too much of the power over the purse, and its budget authority to this national director of intelligence that will now be created. I think that's been worked out.
But we have not heard the last of this. Certainly after this director of national intelligence is created, there's going to be plenty of clashes with the defense secretary, of this administration and future administrations. That's the way Washington works. But it looks like finally at least there is some meeting of the minds.
COSTELLO: We hope so. Ed Henry live from Washington this morning, thank you.
HENRY: Thank you.
COSTELLO: A classified CIA document reportedly paints a bleak assessment of the war in Iraq, one that's much more pessimistic than President Bush has described. According to "The New York Times," the CIA station chief in Baghdad sent a cable to the agency last month warning that matters of politics, economics and security in Iraq are deteriorating. The cable also warns things may not get better anytime soon. The "Times" quotes knowledgeable, but unidentified, government officials.
We want to know about what you think about developments in Iraq, so let's head live now to Princeton, New Jersey, and Gallup editor-in- chief Frank Newport.
Good morning, Frank.
FRANK NEWPORT, GALLUP POLL EDITOR-IN-CHIEF: Good morning, Carol.
Indeed, that CIA cable and memo that you just referred to would come as no surprise to the American public. Last time we asked them about Iraq, did they think those January 30 planned elections are going to be legitimate, and if the Iraqi people will accept them? Look at the skepticism on the part of the American public: 52 percent say no, only 42 percent say yes.
So that same kind of concern about how things are going has percolated through the American public.
However, Americans still want to stay the course, at least for the moment. The last poll we had here came from the Associated Press in November: 71 percent -- that big green slice of the pie -- say, yes, Americans should keep forces in Iraq, only about 28 percent say bring troops home, at least at this point -- Carol.
COSTELLO: Frank, I know you have some more numbers for us, more topics. Give us some more numbers.
NEWPORT: Well, what we have done for you here, Carol, is released our latest perceptions of the honesty and ethics of professions in the U.S. We do this once a year. And we're just now releasing the results this year.
Here's the top five. People find this very fascinating. These are the professions in America that Americans think are most honest. Nurses again top the list. Seventy-nine percent of Americans say they have very high or high honesty standards. Then grade school teachers, another helping profession. Pharmacists, military officers and doctors.
Unfortunately, if there's a top five, there has to be a bottom five. And these are the professions that Americans say are least honest; that is, give them the lowest ratings of honesty. Business executives. Unfortunately they've been low for quite a while. Congressmen. I think that's very unfortunate that our elected representatives aren't perceived as more honest than the public says they are. Lawyers. No surprise, because they've been low a very long time. Advertising executives are at the bottom of the list. Car salesmen, only 9 percent of Americans say they have very high honesty and ethical standards -- Carol.
COSTELLO: Did you do the bottom five?
NEWPORT: That was the bottom five.
COSTELLO: OK.
NEWPORT: Yes.
COSTELLO: I'm having trouble hearing you.
NEWPORT: Oh, I'm sorry, Carol. COSTELLO: That's why I keep asking you these strange questions.
NEWPORT: Indeed we did.
COSTELLO: All right.
NEWPORT: Indeed we did.
COSTELLO: I apologize for that. We've got our audio problems fixed now. Frank Newport live from Princeton, New York, thank you very, very much.
The New York Yankees are looking for ways to get rid of Jason Giambi in the wake of his steroid admission. A newspaper reported last week that Giambi admitted to a grand jury that he did indeed use steroids. Giambi has four years and $82 million left on his Yankees contract.
His agent, Arn Tellem, issued this statement: "Jason loves the game of baseball, the Yankees and the extraordinary New York Yankees fans. Jason has always appreciated the steadfast support of the fans, who have been there through good times and bad. He is determined, focused and working hard to return to form in 2005 and help the Yankees get back to the World Series."
Let's check in with Miles and Soledad for a look at what's coming up on "AMERICAN MORNING."
Good morning.
SOLEDAD O'BRIEN, CNN ANCHOR: And good morning to you, Carol. We're talking this morning about compromise found in the 9/11 legislation. The bill is now closer to passage, not quite there yet. Congressman James Sensenbrenner, though, says he still doesn't like the bill. He says it's not tough enough on immigration. We're going to talk to the congressman this morning.
MILES O'BRIEN, CNN ANCHOR: The Chicago high-rise fire that we've been talking about all morning. Gosh, more than 30 hurt already. That's a spectacular shot there. Some of them seriously injured. We'll talk to someone who was inside the building. That's on the 29th floor. She was on the 30th-something floor. So, she was above it. And that was obviously some harrowing moments for her.
S. O'BRIEN: One would imagine. Also this morning, we're talking about the shortage of flu vaccines. But the bird flu could be an even bigger worry. This morning, we're going to talk to the former director of the National Institutes of Health about that, and much, much more. That's all ahead on this "AMERICAN MORNING."
Carol -- back to you.
COSTELLO: All right, thank you.
We'll get back to the politics of change in just a moment, and what both sides think they have to lose or gain in the overhaul of intelligence.
Also, a store clerk says she did it in self-defense. Now, everyone can see what happened when a robber walked in on her watch.
But first, here's a look at what else is making news this Tuesday morning.
(COMMERCIAL BREAK)
COSTELLO: In international markets, the Nikkei is down 118 points, the London FTSE up almost 12, the Paris CAC is up as well, almost 22 points.
All right. So, let's assume the intelligence bill is passed by both the House and Senate this week and it lands on the president's desk before December 31. Most would say fantastic. But the long arduous process of passing a bill with widespread support may be a sign of things to come.
Debating the winners and losers of this Washington saga is Nancy Skinner, syndicated talk master on the left, and Armstrong Williams, syndicated columnist on the right.
Welcome to you both.
NANCY SKINNER, RADIO TALK SHOW HOST: Good morning, Carol.
ARMSTRONG WILLIAMS, SYNDICATED COLUMNIST: Good morning.
COSTELLO: Good morning.
Nancy, this intelligence bill has been out there for a long time, and eureka. All of a sudden there's a deal! What really happened?
SKINNER: Well, it was a long time coming. There wasn't enough pork in it. Look at the last spending bill, $388 billion. And there was plenty of pork to go around for their corporate friends, and that bill passed. No one even knew about it really out here in the real world.
Now, here you have the royal party, Republicans. They control all branches. They all complained -- or campaigned on this bill as the No. 1 priority in this country, and yet they still couldn't pass it because of power plays.
COSTELLO: Armstrong...
SKINNER: Democrats...
COSTELLO: Armstrong, respond.
WILLIAMS: Well, listen, I just think this is good for the country overall. I mean, a lot of people lost their lives. America is still bruised by what happened on 9/11. You want to make sure you pass a bill, not just to pass a bill for the sake of making people feel good and is more symbolism that substance. There were some serious issues that Mr. Hunter and Mr. Sensenbrenner raised: the issue of who would manage the forces on the ground, whether it would be the Pentagon or some bureaucrat at the intelligence agency. That's a serious issue.
Also, the issue of immigration and these ID cards was a serious issue. Even though Mr. Sensenbrenner did not get what he wanted, they made it clear that during the early part of January they will address this issue, and they could address it in another way.
I think it's healthy that these Republicans are not going lock, stock and barrel with the administration. I think it's very good that the president return to Washington and show that he still has the respect of his party and the clout to get things done.
COSTELLO: But still...
WILLIAMS: They will pass the bill today.
COSTELLO: But still, Nancy, don't you think -- and that's great to hear. I mean, really, if that's what really went down, that's great to hear. But don't you think there had to be some arm twisting on the part of the president?
SKINNER: Well, he did it at a very late hour. It was actually Dick Cheney -- isn't that interesting -- when "Uncle Dick" came down and he brokered the deal. But you know what? We had a bipartisan commission -- thousands and thousands of hours of experts from the intelligence community and the military community, from Congress oversight, all of that.
So, for two congressmen to hold this whole bill up was ridiculous! Why should we have these huge commissions, who are doing a fine job, if we don't accept the result that they come up with?
WILLIAMS: But, you know, come on now, Nancy. Theorizing the issue as the 9/11 Commission did and make the recommendations is quite different from application when you have someone like Hunter and Sensenbrenner when they deal with these issues on a daily and on a cutting-edge basis. I mean, you've got to mesh the two together.
What they're doing is the 9/11 Commission did their job. They did a very good job. And they're doing their jobs. They're doing what is in the best interest of the American people in the long run, not the short term. We want to get this right. This is not something to play around with. This is not about pork spending, as you said earlier. This is about the lives, the safety and the livelihood of Americans for the future to come.
COSTELLO: Yes. But we all know how Washington works sometimes. So, Nancy, I'll ask you this: Who is most responsible for coming up with the compromise and getting this deal through? Is it Congress, the president, talk radio, or was it Joe Public?
SKINNER: Well, it certainly wasn't talk radio. They've never come up compromises, actually. I think it was the leadership of the Republican Party, some of the moderates in the party, Susan Collins and others. John McCain, who said, look it, we are going to embarrass ourselves. This was our No. 1 priority. We all campaigned on national security. Now, the bill is before us, and we can't pass it.
President Bush looks as if he was losing clout. Here he is, this huge mandate, and he can't the most important measure passed.
So, I think some of the political types and the moderates came together and said, we've got to overrule the conservatives and the power hungry and get this done.
WILLIAMS: Did I just hear...
COSTELLO: Armstrong, last word. Go ahead.
WILLIAMS: Did I just hear Nancy actually say the president has a huge mandate?
SKINNER: He says he has...
WILLIAMS: Well, thank you for acknowledging that.
SKINNER: He said he had a huge mandate.
WILLIAMS: No, you said it. You said it. But anyhow, what happened here was that everyone came together -- the Democrats, the Republicans, the White House. I mean, sometimes, Nancy and Carol, Washington and Congress in this bureaucracy can work. And this is an example, if people really want to make something work and get it right, they can get it done, if people are willing to compromise and make concessions on things that they think are necessary in the long run.
And this is what is happening. It shows that Washington can work, and they should give encouragement to people...
SKINNER: And what...
WILLIAMS: ... who want it to work.
COSTELLO: And...
SKINNER: And what happens when we look at social security reform...
COSTELLO: Oh, man!
SKINNER: ... where we don't have overwhelming support and agreement on that? This is a bill we did.
COSTELLO: That's a whole other debate.
SKINNER: And we had this much trouble.
COSTELLO: And, unfortunately, we'll have to leave it for another time. Nancy Skinner, Armstrong Williams, thank you for joining DAYBREAK this morning.
WILLIAMS: Thank you.
SKINNER: Thank you.
COSTELLO: Your news, money, weather and sports. It's 6:45 Eastern. Here's what's all new this morning.
At least 34 people have been injured as a result of a fire in a high-rise building in Chicago. It wasn't until early this morning that firefighters finally announced that no more people were stuck in the smoke-filled stairwells.
Less than an hour ago, U.S. Army deserter Charles Jenkins made an emotional statement during a news conference in Japan. He's finally free after spending nearly 40 years in North Korea and 30 days in jail for deserting in 1965. Jenkins said he dreamed of this day for decades.
In money news, the Hummer 2 is under investigation after some people complained that the wheels tend to fall off. Federal regulators are looking at more than 59,000 of the vehicles produced in 2003 and 2004.
In culture, the Crue is making a comeback. The heavy-metal band, Motley Crue, announced plans for a reunion tour during an appearance on "LARRY KING LIVE" last night. And let me tell you, that show was surreal. It's been five years since the original members appeared together.
In sports, fired University of Florida head football coach Ron Zook has already landed his next job. The University of Illinois is expected to name Zook as their new head coach later today. Illinois fired their coach two weeks ago.
(WEATHER REPORT)
COSTELLO: Those are the latest headlines for you this morning.
Some startling video out of Ohio this morning, but before we roll the tape, let me set it up for you. You're about to see a surveillance video of a gas station robbery. It happened Sunday morning when the suspect, Desmond Thompson (ph), pretending to have a gun in his pocket, demands money from the cashier, Karen Smith. Watch what happens next.
As you can see, the store clerk, Karen Smith, says she reacted after the robber ordered her to come out from behind the counter. She had a gun back there, because she had been robbed before. She says she was in fear for her life.
This is what she had to say about it.
(BEGIN VIDEO CLIP)
KAREN SMITH, STORE CLERK: It was the first time I ever shot. I wouldn't have shot him if I didn't think he was going to hurt me. And I didn't know that he didn't have a gun, because he had his hands in his pocket. So, I mean, I just was too terrified, and I was, like, either it's me or you.
(END VIDEO CLIP)
COSTELLO: Karen Smith is not being charged. The robbery suspect is still in the hospital with a gunshot wound to his soldier -- to his shoulder, rather. He will be charged.
Later today, our "CNN Security Watch" focuses on fighting the flu. We'll look at the flu vaccine shortage and what's being done about it. And we'll talk about the Avian flu and explore the concern for a flu pandemic.
When it's time to pay, what's the first thing you pull out of your wallet? Cash or plastic? Coming up, what a new study says and doesn't say about your spending habits.
And he was king of the world then, but that line is going down in history for a less-than-royal reason. You're watching DAYBREAK.
(COMMERCIAL BREAK)
COSTELLO: Before we talk money, we want to bring you out to Andrews Air Force Base, where the president is about to board his plane. It will take off for Camp Pendleton, California, where the president will spend an afternoon with the troops. He'll make remarks to, oh, about 5,000 Marines. He's going to have lunch with the Marines. And, of course, CNN will probably carry that live, maybe not the lunch part, but as he makes the remarks to the Marines. We, of course, will carry that live.
Oh, it's a nasty day in the Washington area, isn't it? It's raining and cold. And, as you can see, the president is well- protected as he boards his plane to fly off to Camp Pendleton, California. Quite a long trip. And, of course, when he speaks to the Marines, we will carry that live.
All right, let's talk money now. I don't even have to ask. I know when you hit the malls the plastic is on fire when you leave. And you are not alone. A Federal Reserve study shows the number of electronic payment transactions last year totaled 44.5 billion, while 36.7 billion checks were paid.
Joining me live, our DAYBREAK contributor, Ali Velshi, to compare the two, plastic versus cash.
Who uses cash anymore?
ALI VELSHI, CNN DAYBREAK CONTRIBUTOR: Another Saturday night, and I ain't (ph) got nobody. I've got some money, because I just paid.
Sam Cook (ph) must be the last guy who got paid by check. I don't understand where these numbers come from. This is absolutely ridiculous. I got this in the mail yesterday, this check.
COSTELLO: Really?
VELSHI: Let me hold it this way, so nobody can see what it's written about. It's going to go in my pocket, and it's going to sit there for the longest time until it gets stale-dated or something like that.
I don't understand: 36.7 billion check transactions? This is a Federal Reserve survey, so we took our own survey of the DAYBREAK staff. Let's see how it turned out.
Seventy-seven percent use debit or check card. You know, a debit card, a bank card. And 7 percent use cash, 7 percent use checks. And only 7 percent use credit cards, which is interesting, although in many cases your credit card and your debit card and your check card, like the one I've got here, are the same thing. This used to just be the ATM card, and then some banks made it a credit card, and some banks made it a debit card.
And what the problem becomes is, what is it, and what are you paying, and what are you getting for doing that?
So, first of all, for those of you who insist on using checks, knock yourself out. There's nothing I can do for you. I wrote a check. I've had some renovations going on. So I wrote a check -- I wrote a few checks starting in June. I hadn't written a check prior to that since January of 2003, and it was rent. So, who knows what's going on here?
But let's talk about why you should be thinking about the different payment methods? If you're buying things, and maybe you are now because it's the holiday season, with ATM cards, with the bank card, the check cards, the debit card, whatever you want to call it, if you go and you pay using that card, often they'll ask you is it credit or debit. If you say it's debit, you will be -- you'll punch in a pin code, a number. And in many cases, you'll be charged for that.
If you say credit, they'll run it through and give you a little slip, and you'll sign. And in most cases, you won't be charged for that. It will go through as a credit transaction.
COSTELLO: Oh.
VELSHI: But the rules are all different for these cards. So, you kind of have to know which ones you have.
Now, if you are paying for the transaction, you're making some choices, there are a lot of reasons to use a credit card. The caveat, of course, is if you use a credit card, remember, it's not free money. You do have to pay it. So, make your judgments as to why you're using it and whether you'll pay it.
But you do get an interest-free grace period on all credit cards. You do have your liability limited to $50 if it's lost or stolen. You do have accounting of your spending. That's a big one for me, because I don't keep my receipts. You get dispute resolution, you get warranties, and you get rewards.
So, check on what you're using and what you're getting for the cards, and make your choice that way. But what's with the checks, honestly?
COSTELLO: Yes, burn the checks. I still use them myself.
VELSHI: There you go.
COSTELLO: Ali, thank you.
This is DAYBREAK for a Tuesday morning.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
LEONARDO DICAPRIO, ACTOR: I'm the king of the world!
(END VIDEO CLIP)
COSTELLO: Oh, "I'm the king of the world." Who can forget that line from the "Titanic?" The next time you catch yourself doing your best Leonardo DiCaprio imitation in the mirror, remember, "I'm the king of the world" was voted the cheesiest line in movie history. It's a good company, though.
Also on the cheesiest list from "Dirty Dancing," "Nobody puts Baby in the corner." You remember Patrick Swayze said that.
And another big star on the top five, Val Kilmer from "Top Gun," when Iceman said to Maverick, Tom Cruise, "You can be my wingman anytime."
I don't get why he said that Tom Cruise. I have to remember back to the movie. Hmmm.
From the Time Warner center in New York, I'm Carol Costello. "AMERICAN MORNING" starts right now.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
Aired December 7, 2004 - 06:29 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Back to our top story now. The intelligence reform bill moves forward, finally. The head of the House Armed Services Committee had opposed the measure, but Congressman Duncan Hunter now says he will back it, thanks to a compromise deal. Hunter had feared the reforms would interfere with the military's chain of command.
(BEGIN VIDEO CLIP)
REP. DUNCAN HUNTER (R), CALIFORNIA: We have been working, as you know, over the many weeks trying to ensure that we have a good provision for chain-of-command protection. And we have that. We've received language that we think does that very effectively. And so, we have agreed that we will support this conference report, because it has now met the standard that we were most interested in, which is protecting our troops on the battlefield.
(END VIDEO CLIP)
COSTELLO: The compromise deal on the bill comes after some drawn-out negotiations, and after some pressure from President Bush and families of 9/11 victims.
Our congressional correspondent, Ed Henry, joins us live from Washington with more.
Good morning.
ED HENRY, CNN CONGRESSIONAL CORRESPONDENT: Good morning, Carol.
COSTELLO: So, when might they vote?
HENRY: Well, we're expecting a vote in the House as early as today, in fact. In the Senate, it will probably be Wednesday or Thursday. It's going to take them a little bit longer to deal with it.
But the bottom line is after months of delay, we've been waiting. The 9/11 Commission report obviously came out in July, a bipartisan report. A lot of people were pushing for reform. There were 41 recommendations in there. Congress really is only going to handle a handful of those 41 recommendations. But it looks like this week they finally will finish it.
COSTELLO: So, they come to a compromise. Does it dilute the bill at all? HENRY: Well, if you ask Republican Congressman James Sensenbrenner, who was the other holdout besides Duncan Hunter, it certainly has been watered down. Mr. Sensenbrenner wanted to add several immigration provisions that he thinks are critical to stopping another terrorist attack. If you look back, the 19 hijackers on 9/11 between them had about 63 valid U.S. driver's licenses, because of problems right now in the immigration system. He wanted to fix that. He also wanted to tighten the borders.
But those measures have now been left out. And, in fact, they've been punted until next year. Mr. Sensenbrenner was promised a vote on some of his other provisions next year. But in his eyes, and also in the eyes of some of the 9/11 families, this is not real reform without the immigration provisions.
COSTELLO: Interesting. So, and having said that, I don't know if I should ask you this or not. Was this all a power play? Or was this real concern on the part of some Congress people?
HENRY: I think it was a mix. I think Mr. Hunter is certainly somebody who, as chairman of the House Armed Services Committee, and has a son, by the way, who is serving right now in the U.S. military in Iraq, is certainly concerned legitimately and sincerely about the chain-of-command issue and making sure that troops in the field are taken care of.
But having said that, there also clearly was a bit of a power play going on, where the Pentagon did not want to give up too much of its power, too much of the power over the purse, and its budget authority to this national director of intelligence that will now be created. I think that's been worked out.
But we have not heard the last of this. Certainly after this director of national intelligence is created, there's going to be plenty of clashes with the defense secretary, of this administration and future administrations. That's the way Washington works. But it looks like finally at least there is some meeting of the minds.
COSTELLO: We hope so. Ed Henry live from Washington this morning, thank you.
HENRY: Thank you.
COSTELLO: A classified CIA document reportedly paints a bleak assessment of the war in Iraq, one that's much more pessimistic than President Bush has described. According to "The New York Times," the CIA station chief in Baghdad sent a cable to the agency last month warning that matters of politics, economics and security in Iraq are deteriorating. The cable also warns things may not get better anytime soon. The "Times" quotes knowledgeable, but unidentified, government officials.
We want to know about what you think about developments in Iraq, so let's head live now to Princeton, New Jersey, and Gallup editor-in- chief Frank Newport.
Good morning, Frank.
FRANK NEWPORT, GALLUP POLL EDITOR-IN-CHIEF: Good morning, Carol.
Indeed, that CIA cable and memo that you just referred to would come as no surprise to the American public. Last time we asked them about Iraq, did they think those January 30 planned elections are going to be legitimate, and if the Iraqi people will accept them? Look at the skepticism on the part of the American public: 52 percent say no, only 42 percent say yes.
So that same kind of concern about how things are going has percolated through the American public.
However, Americans still want to stay the course, at least for the moment. The last poll we had here came from the Associated Press in November: 71 percent -- that big green slice of the pie -- say, yes, Americans should keep forces in Iraq, only about 28 percent say bring troops home, at least at this point -- Carol.
COSTELLO: Frank, I know you have some more numbers for us, more topics. Give us some more numbers.
NEWPORT: Well, what we have done for you here, Carol, is released our latest perceptions of the honesty and ethics of professions in the U.S. We do this once a year. And we're just now releasing the results this year.
Here's the top five. People find this very fascinating. These are the professions in America that Americans think are most honest. Nurses again top the list. Seventy-nine percent of Americans say they have very high or high honesty standards. Then grade school teachers, another helping profession. Pharmacists, military officers and doctors.
Unfortunately, if there's a top five, there has to be a bottom five. And these are the professions that Americans say are least honest; that is, give them the lowest ratings of honesty. Business executives. Unfortunately they've been low for quite a while. Congressmen. I think that's very unfortunate that our elected representatives aren't perceived as more honest than the public says they are. Lawyers. No surprise, because they've been low a very long time. Advertising executives are at the bottom of the list. Car salesmen, only 9 percent of Americans say they have very high honesty and ethical standards -- Carol.
COSTELLO: Did you do the bottom five?
NEWPORT: That was the bottom five.
COSTELLO: OK.
NEWPORT: Yes.
COSTELLO: I'm having trouble hearing you.
NEWPORT: Oh, I'm sorry, Carol. COSTELLO: That's why I keep asking you these strange questions.
NEWPORT: Indeed we did.
COSTELLO: All right.
NEWPORT: Indeed we did.
COSTELLO: I apologize for that. We've got our audio problems fixed now. Frank Newport live from Princeton, New York, thank you very, very much.
The New York Yankees are looking for ways to get rid of Jason Giambi in the wake of his steroid admission. A newspaper reported last week that Giambi admitted to a grand jury that he did indeed use steroids. Giambi has four years and $82 million left on his Yankees contract.
His agent, Arn Tellem, issued this statement: "Jason loves the game of baseball, the Yankees and the extraordinary New York Yankees fans. Jason has always appreciated the steadfast support of the fans, who have been there through good times and bad. He is determined, focused and working hard to return to form in 2005 and help the Yankees get back to the World Series."
Let's check in with Miles and Soledad for a look at what's coming up on "AMERICAN MORNING."
Good morning.
SOLEDAD O'BRIEN, CNN ANCHOR: And good morning to you, Carol. We're talking this morning about compromise found in the 9/11 legislation. The bill is now closer to passage, not quite there yet. Congressman James Sensenbrenner, though, says he still doesn't like the bill. He says it's not tough enough on immigration. We're going to talk to the congressman this morning.
MILES O'BRIEN, CNN ANCHOR: The Chicago high-rise fire that we've been talking about all morning. Gosh, more than 30 hurt already. That's a spectacular shot there. Some of them seriously injured. We'll talk to someone who was inside the building. That's on the 29th floor. She was on the 30th-something floor. So, she was above it. And that was obviously some harrowing moments for her.
S. O'BRIEN: One would imagine. Also this morning, we're talking about the shortage of flu vaccines. But the bird flu could be an even bigger worry. This morning, we're going to talk to the former director of the National Institutes of Health about that, and much, much more. That's all ahead on this "AMERICAN MORNING."
Carol -- back to you.
COSTELLO: All right, thank you.
We'll get back to the politics of change in just a moment, and what both sides think they have to lose or gain in the overhaul of intelligence.
Also, a store clerk says she did it in self-defense. Now, everyone can see what happened when a robber walked in on her watch.
But first, here's a look at what else is making news this Tuesday morning.
(COMMERCIAL BREAK)
COSTELLO: In international markets, the Nikkei is down 118 points, the London FTSE up almost 12, the Paris CAC is up as well, almost 22 points.
All right. So, let's assume the intelligence bill is passed by both the House and Senate this week and it lands on the president's desk before December 31. Most would say fantastic. But the long arduous process of passing a bill with widespread support may be a sign of things to come.
Debating the winners and losers of this Washington saga is Nancy Skinner, syndicated talk master on the left, and Armstrong Williams, syndicated columnist on the right.
Welcome to you both.
NANCY SKINNER, RADIO TALK SHOW HOST: Good morning, Carol.
ARMSTRONG WILLIAMS, SYNDICATED COLUMNIST: Good morning.
COSTELLO: Good morning.
Nancy, this intelligence bill has been out there for a long time, and eureka. All of a sudden there's a deal! What really happened?
SKINNER: Well, it was a long time coming. There wasn't enough pork in it. Look at the last spending bill, $388 billion. And there was plenty of pork to go around for their corporate friends, and that bill passed. No one even knew about it really out here in the real world.
Now, here you have the royal party, Republicans. They control all branches. They all complained -- or campaigned on this bill as the No. 1 priority in this country, and yet they still couldn't pass it because of power plays.
COSTELLO: Armstrong...
SKINNER: Democrats...
COSTELLO: Armstrong, respond.
WILLIAMS: Well, listen, I just think this is good for the country overall. I mean, a lot of people lost their lives. America is still bruised by what happened on 9/11. You want to make sure you pass a bill, not just to pass a bill for the sake of making people feel good and is more symbolism that substance. There were some serious issues that Mr. Hunter and Mr. Sensenbrenner raised: the issue of who would manage the forces on the ground, whether it would be the Pentagon or some bureaucrat at the intelligence agency. That's a serious issue.
Also, the issue of immigration and these ID cards was a serious issue. Even though Mr. Sensenbrenner did not get what he wanted, they made it clear that during the early part of January they will address this issue, and they could address it in another way.
I think it's healthy that these Republicans are not going lock, stock and barrel with the administration. I think it's very good that the president return to Washington and show that he still has the respect of his party and the clout to get things done.
COSTELLO: But still...
WILLIAMS: They will pass the bill today.
COSTELLO: But still, Nancy, don't you think -- and that's great to hear. I mean, really, if that's what really went down, that's great to hear. But don't you think there had to be some arm twisting on the part of the president?
SKINNER: Well, he did it at a very late hour. It was actually Dick Cheney -- isn't that interesting -- when "Uncle Dick" came down and he brokered the deal. But you know what? We had a bipartisan commission -- thousands and thousands of hours of experts from the intelligence community and the military community, from Congress oversight, all of that.
So, for two congressmen to hold this whole bill up was ridiculous! Why should we have these huge commissions, who are doing a fine job, if we don't accept the result that they come up with?
WILLIAMS: But, you know, come on now, Nancy. Theorizing the issue as the 9/11 Commission did and make the recommendations is quite different from application when you have someone like Hunter and Sensenbrenner when they deal with these issues on a daily and on a cutting-edge basis. I mean, you've got to mesh the two together.
What they're doing is the 9/11 Commission did their job. They did a very good job. And they're doing their jobs. They're doing what is in the best interest of the American people in the long run, not the short term. We want to get this right. This is not something to play around with. This is not about pork spending, as you said earlier. This is about the lives, the safety and the livelihood of Americans for the future to come.
COSTELLO: Yes. But we all know how Washington works sometimes. So, Nancy, I'll ask you this: Who is most responsible for coming up with the compromise and getting this deal through? Is it Congress, the president, talk radio, or was it Joe Public?
SKINNER: Well, it certainly wasn't talk radio. They've never come up compromises, actually. I think it was the leadership of the Republican Party, some of the moderates in the party, Susan Collins and others. John McCain, who said, look it, we are going to embarrass ourselves. This was our No. 1 priority. We all campaigned on national security. Now, the bill is before us, and we can't pass it.
President Bush looks as if he was losing clout. Here he is, this huge mandate, and he can't the most important measure passed.
So, I think some of the political types and the moderates came together and said, we've got to overrule the conservatives and the power hungry and get this done.
WILLIAMS: Did I just hear...
COSTELLO: Armstrong, last word. Go ahead.
WILLIAMS: Did I just hear Nancy actually say the president has a huge mandate?
SKINNER: He says he has...
WILLIAMS: Well, thank you for acknowledging that.
SKINNER: He said he had a huge mandate.
WILLIAMS: No, you said it. You said it. But anyhow, what happened here was that everyone came together -- the Democrats, the Republicans, the White House. I mean, sometimes, Nancy and Carol, Washington and Congress in this bureaucracy can work. And this is an example, if people really want to make something work and get it right, they can get it done, if people are willing to compromise and make concessions on things that they think are necessary in the long run.
And this is what is happening. It shows that Washington can work, and they should give encouragement to people...
SKINNER: And what...
WILLIAMS: ... who want it to work.
COSTELLO: And...
SKINNER: And what happens when we look at social security reform...
COSTELLO: Oh, man!
SKINNER: ... where we don't have overwhelming support and agreement on that? This is a bill we did.
COSTELLO: That's a whole other debate.
SKINNER: And we had this much trouble.
COSTELLO: And, unfortunately, we'll have to leave it for another time. Nancy Skinner, Armstrong Williams, thank you for joining DAYBREAK this morning.
WILLIAMS: Thank you.
SKINNER: Thank you.
COSTELLO: Your news, money, weather and sports. It's 6:45 Eastern. Here's what's all new this morning.
At least 34 people have been injured as a result of a fire in a high-rise building in Chicago. It wasn't until early this morning that firefighters finally announced that no more people were stuck in the smoke-filled stairwells.
Less than an hour ago, U.S. Army deserter Charles Jenkins made an emotional statement during a news conference in Japan. He's finally free after spending nearly 40 years in North Korea and 30 days in jail for deserting in 1965. Jenkins said he dreamed of this day for decades.
In money news, the Hummer 2 is under investigation after some people complained that the wheels tend to fall off. Federal regulators are looking at more than 59,000 of the vehicles produced in 2003 and 2004.
In culture, the Crue is making a comeback. The heavy-metal band, Motley Crue, announced plans for a reunion tour during an appearance on "LARRY KING LIVE" last night. And let me tell you, that show was surreal. It's been five years since the original members appeared together.
In sports, fired University of Florida head football coach Ron Zook has already landed his next job. The University of Illinois is expected to name Zook as their new head coach later today. Illinois fired their coach two weeks ago.
(WEATHER REPORT)
COSTELLO: Those are the latest headlines for you this morning.
Some startling video out of Ohio this morning, but before we roll the tape, let me set it up for you. You're about to see a surveillance video of a gas station robbery. It happened Sunday morning when the suspect, Desmond Thompson (ph), pretending to have a gun in his pocket, demands money from the cashier, Karen Smith. Watch what happens next.
As you can see, the store clerk, Karen Smith, says she reacted after the robber ordered her to come out from behind the counter. She had a gun back there, because she had been robbed before. She says she was in fear for her life.
This is what she had to say about it.
(BEGIN VIDEO CLIP)
KAREN SMITH, STORE CLERK: It was the first time I ever shot. I wouldn't have shot him if I didn't think he was going to hurt me. And I didn't know that he didn't have a gun, because he had his hands in his pocket. So, I mean, I just was too terrified, and I was, like, either it's me or you.
(END VIDEO CLIP)
COSTELLO: Karen Smith is not being charged. The robbery suspect is still in the hospital with a gunshot wound to his soldier -- to his shoulder, rather. He will be charged.
Later today, our "CNN Security Watch" focuses on fighting the flu. We'll look at the flu vaccine shortage and what's being done about it. And we'll talk about the Avian flu and explore the concern for a flu pandemic.
When it's time to pay, what's the first thing you pull out of your wallet? Cash or plastic? Coming up, what a new study says and doesn't say about your spending habits.
And he was king of the world then, but that line is going down in history for a less-than-royal reason. You're watching DAYBREAK.
(COMMERCIAL BREAK)
COSTELLO: Before we talk money, we want to bring you out to Andrews Air Force Base, where the president is about to board his plane. It will take off for Camp Pendleton, California, where the president will spend an afternoon with the troops. He'll make remarks to, oh, about 5,000 Marines. He's going to have lunch with the Marines. And, of course, CNN will probably carry that live, maybe not the lunch part, but as he makes the remarks to the Marines. We, of course, will carry that live.
Oh, it's a nasty day in the Washington area, isn't it? It's raining and cold. And, as you can see, the president is well- protected as he boards his plane to fly off to Camp Pendleton, California. Quite a long trip. And, of course, when he speaks to the Marines, we will carry that live.
All right, let's talk money now. I don't even have to ask. I know when you hit the malls the plastic is on fire when you leave. And you are not alone. A Federal Reserve study shows the number of electronic payment transactions last year totaled 44.5 billion, while 36.7 billion checks were paid.
Joining me live, our DAYBREAK contributor, Ali Velshi, to compare the two, plastic versus cash.
Who uses cash anymore?
ALI VELSHI, CNN DAYBREAK CONTRIBUTOR: Another Saturday night, and I ain't (ph) got nobody. I've got some money, because I just paid.
Sam Cook (ph) must be the last guy who got paid by check. I don't understand where these numbers come from. This is absolutely ridiculous. I got this in the mail yesterday, this check.
COSTELLO: Really?
VELSHI: Let me hold it this way, so nobody can see what it's written about. It's going to go in my pocket, and it's going to sit there for the longest time until it gets stale-dated or something like that.
I don't understand: 36.7 billion check transactions? This is a Federal Reserve survey, so we took our own survey of the DAYBREAK staff. Let's see how it turned out.
Seventy-seven percent use debit or check card. You know, a debit card, a bank card. And 7 percent use cash, 7 percent use checks. And only 7 percent use credit cards, which is interesting, although in many cases your credit card and your debit card and your check card, like the one I've got here, are the same thing. This used to just be the ATM card, and then some banks made it a credit card, and some banks made it a debit card.
And what the problem becomes is, what is it, and what are you paying, and what are you getting for doing that?
So, first of all, for those of you who insist on using checks, knock yourself out. There's nothing I can do for you. I wrote a check. I've had some renovations going on. So I wrote a check -- I wrote a few checks starting in June. I hadn't written a check prior to that since January of 2003, and it was rent. So, who knows what's going on here?
But let's talk about why you should be thinking about the different payment methods? If you're buying things, and maybe you are now because it's the holiday season, with ATM cards, with the bank card, the check cards, the debit card, whatever you want to call it, if you go and you pay using that card, often they'll ask you is it credit or debit. If you say it's debit, you will be -- you'll punch in a pin code, a number. And in many cases, you'll be charged for that.
If you say credit, they'll run it through and give you a little slip, and you'll sign. And in most cases, you won't be charged for that. It will go through as a credit transaction.
COSTELLO: Oh.
VELSHI: But the rules are all different for these cards. So, you kind of have to know which ones you have.
Now, if you are paying for the transaction, you're making some choices, there are a lot of reasons to use a credit card. The caveat, of course, is if you use a credit card, remember, it's not free money. You do have to pay it. So, make your judgments as to why you're using it and whether you'll pay it.
But you do get an interest-free grace period on all credit cards. You do have your liability limited to $50 if it's lost or stolen. You do have accounting of your spending. That's a big one for me, because I don't keep my receipts. You get dispute resolution, you get warranties, and you get rewards.
So, check on what you're using and what you're getting for the cards, and make your choice that way. But what's with the checks, honestly?
COSTELLO: Yes, burn the checks. I still use them myself.
VELSHI: There you go.
COSTELLO: Ali, thank you.
This is DAYBREAK for a Tuesday morning.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
LEONARDO DICAPRIO, ACTOR: I'm the king of the world!
(END VIDEO CLIP)
COSTELLO: Oh, "I'm the king of the world." Who can forget that line from the "Titanic?" The next time you catch yourself doing your best Leonardo DiCaprio imitation in the mirror, remember, "I'm the king of the world" was voted the cheesiest line in movie history. It's a good company, though.
Also on the cheesiest list from "Dirty Dancing," "Nobody puts Baby in the corner." You remember Patrick Swayze said that.
And another big star on the top five, Val Kilmer from "Top Gun," when Iceman said to Maverick, Tom Cruise, "You can be my wingman anytime."
I don't get why he said that Tom Cruise. I have to remember back to the movie. Hmmm.
From the Time Warner center in New York, I'm Carol Costello. "AMERICAN MORNING" starts right now.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
