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CNN Live Sunday

How Did Retail Sector Do?; Thousands Killed by Earthquake, Tsunamis in Southeast Asia

Aired December 26, 2004 - 16:00   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.


FREDRICKA WHITFIELD, CNN ANCHOR: Christmas is over, but how did the retail economy do? Allan Chernoff joins with us a live report on those all-important holiday sales receipts.
Returning gifts is another holiday tradition. What happens when a politician wants to take something back?

And if one of your relatives didn't make it for pumpkin pie, you should check the local airports.

Hello and welcome to CNN LIVE SUNDAY. I'm Fredricka Whitfield. All that and more after a check of the headlines.

Thousands of people across southern and southeast Asia have been killed in deadly tsunamis triggered by the strongest earthquake in 40 years. The 8.9 magnitude quake struck off the coast of Sumatra, Indonesia. Massive flooding wiped out coastal areas as far as 1,000 miles away.

With elections in Iraq just one month away, the U.S. is beefing up troop strength in Mosul, scene of last week's suicide bombing. That's the word from General John Abizaid, senior U.S. commander in the region. CNN's Barbara Starr has an exclusive interview with General Abizaid the general coming up later in the hour.

Former NFL sack leader and two-time defensive player of the year, Reggie White, died today at the age of 43. His wife, Sarah (ph), says the cause of death was a heart attack. The former Green Bay Packer and Philadelphia Eagle defensive star retired in 2000.

We begin with a natural disaster that's almost impossible to comprehend in its devastation and size. The fifth largest earthquake ever recorded and the massive tsunamis it triggered today killed nearly 10,000 people across southeastern Asia. Most of the dead are in Sri Lanka and India, but the destruction could be seen hundreds of miles away.

Witnesses say part of Phuket Island, Thailand is gone, just one of many coastal areas in the region swept away by giant waves. Countless injured are crowding hospitals. The number of dead is in the thousands and many more people are still missing. The magnitude 8.9 quake struck about 100 miles off the coast of Indonesia's Sumatra Island. It's the strongest tremor to hit in 40 years. There have been several aftershocks, including one that measured 7.3 magnitude. Let's put some of those numbers in perspective for you now. Any tremor of magnitude 8 or more is classified as a great earthquake and any tremor below magnitude 3.9 is considered minor.

Sri Lanka is one of the areas hardest hit by the huge wave unleashed by the quake. Journalist Iqbul Athas joins us now by phone from the capital of Colombo and Iqbul, it is night fall there now. Give us a sense as to what is taking place.

IQBUL ATHAS, JOURNALIST: Fredricka, it's 3:00 a.m. in the morning in the capitol of Colombo. (UNINTELLIGIBLE) has declared a state of national disaster and appealed for international help, as the death toll continues to mount. The first to respond was the government of India, which is already floating (ph) and an aircraft load of medical supplies. As the hours go by, the officials are expecting the Indian government to send in a fleet of helicopters and a gigantic relief effort is to get under way in approximately four to five hours from now.

WHITFIELD: I understand Iqbul that India is also assisting by sending naval ships to some of the resort towns, particular that of Gahl (ph), in Sri Lanka.

ATHAS: Yes. Four Indian naval ships are due in Sri Lanka later tomorrow, that's later Monday, and two of them are heading to the northeastern port city of Trinkamali (ph) while the other two are destined to the southern port of Gahl, both areas which are badly affected by the tsunami.

WHITFIELD: Earthquakes often come without warning, which is the case in this sense, but the tsunamis that then followed, was there any sort of notice that anyone there would have been able to have in order to escape or go for cover or higher ground, anything like that?

ATHAS: No, largely most Sri Lankans were caught completely unaware by the (UNINTELLIGIBLE) and although there have been warnings about 10 days ago, it went unheeded. This again, was from the meteorological department which warned about the possibility of earthquakes, but this didn't draw much attention, particularly in the (UNINTELLIGIBLE) center, which has been really badly affected.

WHITFIELD: With the number of injured so high, obviously a number of people will have to be air lifted or evacuated out of the area, as already so many tourists have been evacuated. How is this area going to be able to handle the kind of volume of rescue efforts that have to take place?

ATHAS: Well, this has caused the biggest problem for the authorities. Most of the people, at least over a half a million are spending the night in schools, community centers and even in playgrounds, and the resources available with the government to cope with this problem is not adequate, and they are making appeals for even boy scouts and girl guides to join the effort tomorrow.

In addition to that, today, truck loads were used to bring in (UNINTELLIGIBLE) to Colombo and most of the hotels have opened up their ballrooms to accommodate tourists who could not find rooms in the hotels. In addition, a convention center in Colombo has also been converted into a private boarding house for the tourists.

WHITFIELD: Journalist Iqbul Athas, thanks so much for keeping us updated from Colombo, Sri Lanka.

India is also reeling from the aftermath of the quake and tsunamis. Here is CNN's Ram Ramgopal.

(BEGIN VIDEOTAPE)

RAM RAMGOPAL, CNN CORRESPONDENT (voice-over): The damage was most dramatic in south Asia where the tsunamis struck at dawn. For people normally accustomed to seeing the sea at a distance, the sight of water bearing down was surprising and devastating. The island of Sri Lanka was in the direct path of one tsunami. The massive loss of human life and property were reported on both the southern and eastern coasts. The one wave, right, the one wave?

OLWIN PEPERA, RESTAURANT OWNER: It's not much of a wave, that's the funniest thing that this is no wave. The level of water come right up, maintain the level, about six feet higher than what it is now.

RAMGOPAL: In southern India, the state of Tamanladu (ph) was worst hit. Helicopters were pressed into service to rescue those marooned and to recover bodies. Witnesses reported a massive wall of water coming inland, crushing everything in its path. Indian naval and air force personnel are being deployed to assist in the rescue effort.

MANMOHAN SINGH, INDIAN PRIME MINISTER: My heart goes out in sympathy to all those families who have lost their dear ones due to this tragedy. Since early morning, I have been in touch with the governments of the affected states. I have spoken to the chief ministers of these states and I have assured them of fullest possible support and cooperation.

RAMGOPAL: The impact of the floods could go well beyond the immediate future. Apart from the cost of rebuilding lives and property, Indian officials say the saline water will adversely affect cultivable land. Scientists here said they could do little to warn people about the tsunamis. The waves were barely discernible on the ocean's surface and Indian satellites too could not detect the rising waters and it was that water that swamps the island (UNINTELLIGIBLE) of the Maldives, barely above sea level. Maldivian officials say it's just not clear what the damage is in the outlying islands. Communication links have been cut off and it may be days before a clear picture emerges. Ram Ramgopal, CNN, New Delhi.

WHITFIELD: And as you've seen, a tsunami can cause incredible devastation but how exactly does it form? Our meteorologist Orelon Sidney joins us now from the CNN weather center with some answers. And Orelon, how different or similar are tsunamis from what most Americans know as hurricanes?

ORELON SIDNEY, CNN METEOROLOGIST: Well, they're totally different things. They're caused by completely different forms of nature. Hurricanes of course bring in a storm surge. That's a bulge on top of the ocean that moves across. Tsunamis totally different things. They're actually formed whenever there is a vertical displacement of the sea floor.

Imagine that you had a big basin of water, about this big or so and it was full, and you were really strong, like Warren Sapp. You could come up behind it and just make a big, just hit it very hard. Then you would notice the basin, of course, would tilt, and the water then would start swishing back and forth. That's exactly what's happening in this situation. The actual quake itself recurred over the coast and then the tsunami traveled to the northwest, about 1,000 miles, until it hit the eastern coast of Sri Lanka.

Now, as it's on the surface, you can't even see these tidal waves. We call them tidal waves but they have nothing to do with the tide. It's actually an incorrect term to call them that. These tsunamis, as they move across, you can't even see it on the water. As they start to get into shallower water, that's when the wave kind of stands up if you will and the shallower the water, the stronger the break, the more the wave stands up. That's why we have these amazing amounts of damage with this.

Remember that water is merely incompressible. It's almost like taking a battering ram and slamming it along the coast. The devastation is going to be absolutely amazing, once we get the pictures. It's going to be a terrible human disaster here, and I'm concerned later on about disease and the aftermath of this, even more than what's happened today. Fredricka?

WHITFIELD: Orelon Sidney, thanks so much from the weather center.

As one part of the world is devastated by an earthquake and those tsunamis consequently, another is remembering a huge tremor that struck one year ago. Mourners are gathering in Bam, Iran, to mark the anniversary. Many spent the day in cemeteries sitting amid tombs and praying for the dead. More than 31,000 people were killed when a magnitude 6.8 quake flattened that city in the early hours of December 26th, 2003. 70,000 people were left homeless. Most of Bam remains in ruins and some survivors are still living in tents today.

That exclusive CNN interview with General Abizaid, Abizaid rather in Mosul coming up a little bit later.

But straight ahead, Comair resumes some flights but there are plenty of stranded passengers in airports on the east coast and Gary Nuremberg is with them for a live report coming up.

(COMMERCIAL BREAK)

WHITFIELD: At airport terminals across the nation, tens of thousands of passengers are walking in a winter blunderland, wondering when they'll ever get home. A lot of angry travelers are standing by at Washington's Reagan National airport, where CNN's Gary Nuremberg is as well. Gary. GARY NUREMBERG, CNN CORRESPONDENT: Well, Fredricka, if you are tonight where you want to be, you're doing better than thousands of airline passengers who did not end up where they wanted to be on Christmas, spent the night in airports, and then today gave up and tried to figure out how to get home.

(BEGIN VIDEOTAPE)

NUREMBERG (voice-over): So what did the travel mess do to your holiday weekend?

SUE KING, DELAYED TRAVELER: Screwed it up.

NUREMBERG: Sue and Joe King were trying to get 20 month old Haley to Disney World. They arrived at Washington's Reagan National airport 6:45 Sunday morning for an 8:40 U.S. Airways flight.

KING: We got in line and waited for four hours, so obviously missed our flight and we're on standby now for a 3:00 p.m. flight.

NUREMBERG: If that doesn't work?

KING: There's a 7:00 p.m. that we're on standby for.

NUREMBERG: And if that doesn't work?

KING: Then the next morning, we might be on standby for that.

NUREMBERG: So how happy are you?

KING: Not very happy.

NUREMBERG: The kings are not alone. When Delta subsidiary Comair canceled weekend air flights because of computer problems, thousands had to scramble for alternate flights. The airline generally carries 30,000 passengers a day.

UNIDENTIFIED FEMALE: Stood in line for two hours, our flights are canceled. Then we came back on our rebooked flights today, got to Cincinnati, found out 25 minutes before the flight was supposed to board that it was canceled. Now we're driving to Columbus tomorrow to take a Northwest flight.

UNIDENTIFIED FEMALE: Oh, Philadelphia is a mess, completely sold out. Got to go.

NUREMBERG: U.S. Airways says it had several hundred flight attendants and baggage handlers phone in sick, causing an estimated 10,000 passengers to be separated from their luggage. Mary Ann Robbins (ph) was without her medication for three days, found her luggage this afternoon and was needless to say --

MARY ANN ROBBINS: Very happy.

NUREMBERG: By midday Sunday, U.S. Airways said it had made substantial progress in reuniting passengers with their lost luggage but clearly it still had a long way to go. Ask Billy Black.

BILLY BLACK: My bags got lost and I've been waiting for my bags now for four days. It's kind of sad because I had some presents for kids and so on and I couldn't give presents to the kids.

(END VIDEOTAPE)

NUREMBERG: And speaking of kids, an update on the King family trying to get Haley to Disney World. They tried to get on two standby flights this afternoon, didn't, gave up, drove home and here's the solution Fredricka. Their relatives in Florida are going to drive to Washington for the holidays.

WHITFIELD: Oh gosh, well, it looks like Disney may be in 2005 for them. All right. Thanks a lot, Gary.

Well, you've heard the headlines out of Mosul. Now hear what the general in charge of the area thinks, how many more troops should the U.S. commit?

And his boss, the president, well, he's in Crawford, Texas, for a part of his Christmas holiday. Dana Bash will join us with a live report coming up.

(COMMERCIAL BREAK)

WHITFIELD: It's been just weeks since U.S. troops reclaimed Falluja from insurgents. Now, another Iraqi city is growing increasingly more dangerous. It's a situation U.S. military leaders are paying close attention to. CNN's Pentagon correspondent Barbara Starr has our exclusive report.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice-over): As violence continues in the northern city of Mosul and elections are just one month away in Iraq, General John Abizaid, the senior U.S. military commander in the region has confirmed to CNN in an exclusive interview that troop levels in Mosul are about to go up. The U.S. is determined to ensure control of the city.

GEN. JOHN ABIZAID, CMDR., U.S. CENTRAL COMMAND: It's clear that that Mosul will need additional boots on the ground during the election period. We will figure out what the right combination of boots on the ground may be. Mosul is very important in all terms in Iraq.

STARR: Abizaid is emphasizing the additional troops in Mosul will include Iraqis and U.S. forces to be shifted from other areas inside the country. He spoke to CNN from his desert headquarters in Doha, Qatar.

ABIZAID: We will make additional adjustments of forces for Mosul.

STARR: The U.S. recently increased troop levels in Iraq to 150,000 so these types of pre-election problems could be dealt with. Ensuring Sunnis in Mosul feel secure enough to vote is crucial. The suicide bombing at the U.S. military base only underscored the problem, officials say.

But now, it could require another 6,000 to 8,000 total troops to be sent to Mosul. Senior U.S. military sources in the region tell CNN the city has been wracked by violence for weeks. Local Iraqi security forces have virtually melted away, say those officials. One senior U.S. officer tells CNN, we have no Iraqi police force up in Mosul today.

The problem in getting Iraqis to fight the insurgency may be deeper across Iraq. The military assessment now is that the U.S. miscalculated Iraqi tribal and religious loyalties and did not realize Iraqis are likely to fight only for their brethren. Thousands of Iraqi security forces have been put in the field, but the focus has been on numbers of troops, training and equipment, not on experience, confidence and leadership. So in cases like Mosul, they simply will not fight the intimidation of the insurgents the U.S. now believes.

The solution now? The U.S. is planning to put 10 to 20-men training teams with individual Iraqi units across the country, after the January election. The hope is this type of local on-the-ground effort will make Iraqi forces more willing to fight. Barbara Starr, CNN, Doha, Qatar.

(END VIDEOTAPE)

WHITFIELD: Iraq is just one of the issues President Bush is dealing with today as he begins his post-Christmas vacation and looks ahead to his second term. The president is spending the next several days at his ranch in Texas and that's where we find CNN White House correspondent Dana Bash as well. Dana.

DANA BASH, CNN WHITE HOUSE CORRESPONDENT: Hi, Fredricka. The president arrived here in Crawford earlier today and he'll be here through the new year for what the White House promises will be a low- key week, a week of vacation but at the White House, the president is keeping tabs on several things going on around the world, primarily at this point today what happened, of course, in southeast Asia, the earthquake and tsunamis that followed.

The White House spokesman on this trip, Trent Duffy (ph), talked about that en route to Crawford, expressing condolences on behalf of the American people for what he called the tragic loss of life and promising the U.S. is ready to offer all appropriate assistance to the countries affected, in the statement saying in part, already relief is flowing to Sri Lanka and the Maldives. We will work with the affected governments, the United Nations, nongovernmental organizations and other concerned states and organizations to support the relief and response to this terrible tragedy.

Now what the U.S. efforts exactly will be it's too early to say. U.S. officials say the State Department at this point Fredricka is saying that they're unclear exactly how many U.S. citizens were involved or affected there and that the Pentagon at this point is saying that they do not believe any U.S. assets in southeast Asia were affected.

Another thing, Fredricka, that the U.S., that the White House is monitoring today is, of course, the Ukrainian elections and Trent Duffy, the White House spokesman also said that U.S. officials are monitoring that and at this point they don't see that anything is going wrong there. He said things are going fairly smoothly, but the White House is going to wait until they get official results in order to put out an official statement on that. Fredricka.

WHITFIELD: All right. Dana Bash from Crawford, Texas, thanks so much.

It's music to the retailers' ears. The ringing of those cash registers, but did they ring in full force this holiday season? We'll find out coming up.

Krispy Kreme customers aren't the only ones expanding. This American favorite will soon be tempting taste buds overseas.

Plus, it's a second home to hundreds of teens in Harlem. Now this dance theater is fighting to keep its doors open. The story a little later on CNN LIVE SUNDAY.

BRAD HUFFINES, CNN METEOROLOGIST: I'm meteorologist Brad Huffines from this CNN weather center with your cold and flu report as we continue to see the very cold weather across the east. That where you might expect to see the greatest activity, especially across the mid-Atlantic states and across parts of the northeast. In fact New York inundated with a lot of flu reports by the CDC. Out west, fairly quiet, except across parts of Colorado and Kansas, with local activity reported. Other than that, across much of the country just sporadic cold and flu activity.

(COMMERCIAL BREAK)

WHITFIELD: A quick look at the top stories now. Thousands are dead in southeast Asia in the aftermath of tsunamis which swept through the region. The massive waves were triggered by a powerful earthquake measuring 8.9 and centered just off Sumatra. The killer waves struck several countries, including Indonesia, Sri Lanka, Thailand and India.

For many flyers it's been the unfriendly skies this holiday weekend. Today is the fourth straight day for some U.S. Airways passengers to be without their luggage. The airline blames severe weather and sick calls from baggage handlers and flight attendants. Meanwhile, about 10 percent of Comair planes are flying again, a day after the airline canceled all of its 1,100 flights.

And in Iraq, more U.S. troops will soon be on the ground in Mosul. In an exclusive interview with CNN, General John Abizaid confirmed troop levels are about to go up. The move comes after last week's deadly suicide bombing of a U.S. mess hall in Mosul and a little more than a month ahead of the scheduled Iraqi elections.

This year's holiday shopping season started off slowly for retailers, but as the shopping season moved around, could spending pick up and bring a Merry Christmas to the retail industry? CNN's Allan Chernoff is in New York to take a look at this and see what it means for the overall economy. Allan.

ALLAN CHERNOFF, CNN CORRESPONDENT: Hi, Fredricka. Well, the malls are certainly packed today, plenty of people trying to take advantage of the post-holiday bargains. Also of course people returning gifts and particularly important this year people redeeming gift cards. These are so important to the retailers since they don't actually count as sales until the cards are actually redeemed and when many people do redeem them, you better believe they spend well over the face value of those gift cards.

It's been a very green holiday season for the luxury retailers. Many of the department stores in this area such as Sachs, Neiman Marcus, they're expected to report excellent gains over the prior year and some of the most popular items in fact have been these high-end luxury items, very popular items.

(BEGIN VIDEO CLIP)

MIKE MCAVINUE, GEN. MGR., MALL AT SHORT HILLS: Cashmere has been really hot. Jewelry is traditionally hot this time of year, specifically diamond chandelier earrings, leather, sherlings (ph), coats, jeans and we've also seen a lot of customers shop for themselves this year.

(END VIDEO CLIP)

CHERNOFF: Hard to resist, of course. For many department stores, it has actually been a very tough holiday season. Many of the big name department stores, Federated, the owner of Macy's, for example, they're expecting to report gains in the low single digits, and even Wal-Mart has warned that its sales for the month of December are likely to be up only about 1 percent, perhaps as high as 3 percent, but it certainly has been very challenging. Their customers, of course, dealing with the higher cost of gasoline, which is up about 20 percent from the year ago period, and of course, the job market still remains challenging for many people.

Fredricka.

WHITFIELD: And Allan it appeared a lot of retailers slashed prices a couple of days before Christmas because they had a slow start. Is the expectation pretty great are there a lot of great bargains the day after Christmas?

CHERNOFF: The bargains are certainly out there but the question is, will there be much inventory? Analysts have been saying the retailers were cautious going into the holiday season. They didn't stock their warehouses all that high. As a result, the expectation is that, with these bargain prices now, they're quickly going to sell out of many sizes, many colors, et cetera. So people who are hoping to grab hold of a bargain right after the holiday, the best suggestion is to get there early. Try to take advantage of the sales right now, because apparently, the inventory is not expected to last, particularly of course for the popular items.

WHITFIELD: This day after Christmas, is it too early to tell whether people are cashing in the gift cards you mentioned?

CHERNOFF: Well certainly plenty of people are doing so but they're also, of course, inertia. One survey done by Deloitte & Touche from last holiday season, as of the middle of October, people were still holding on average 2.3 gift cards they had not redeemed. So certainly the retailers need to create some incentive get people into the stores so that they'll actually redeem those cards. Otherwise, the retailers can't count them as sales.

WHITFIELD: Wow! All right, Allan Chernoff, thanks so much, from New York.

Well we know a lot of folks or at least retailers are hoping a lot of folks are spending the day at the malls. But as CNN's Bill Schneider explains, this is also a day to reflect upon a different sort of return, a political return.

(BEGIN VIDEOTAPE)

BILL SCHNEIDER, CNN CORRESPONDENT (voice over): It's the day after Christmas, and you know what that means. Returns, a gift that seemed like a brilliant idea ends up looking like a really bad choice. Back it goes, along with the inevitable question, what were they thinking? We asked that question a lot in politics, too, like with President Bush's nomination of Bernard Kerik to be his Homeland Security secretary.

GEORGE W. BUSH, PRESIDENT: You know something about security, he knows something about security. He's lived it all his flights.

SCHNEIDER: Kerik's conflict of interest and his record of irresponsible behavior quickly came out, plus a nanny problem. What was Bush thinking? John Kerry's explanation for voting against funds for the troops in Iraq was gift-wrapped for his opponent.

JOHN KERRY: I actually did vote for the $87 billion before I voted against it.

SCHNEIDER: Who said, thank you very much.

BUSH: And then he entered the flip-flop hall of fame.

SCHNEIDER: What could Kerry have been thinking? When a soldier asked Donald Rumsfeld for some Christmas cheer in the shape of better armor in Iraq, the defense secretary sounded like Ebenezer.

DONALD RUMSFELD: You go to war with the army you have.

SCHNEIDER: Bad answer. Rumsfeld went back to Iraq to try to calm the waters.

RUMSFELD: The reason I'm here is to have a chance to look you in the eye. I hope have a chance to shake your hands -- SCHNEIDER: That's a long way to go for Christmas cheer. President Bush is proud of his gift to seniors, a brand new prescription drug program.

BUSH: Seniors will start seeing help quickly.

SCHNEIDER: But the recipients have not shown much gratitude. About 5.8 million seniors have signed up, out of some 40 million eligible. Many wondered, why didn't Bush give us what we really wanted, the right to import cheaper drugs from other countries? Last year, Howard Dean had all the Christmas gifts he needed, more money than any other Democrat, and a place at the top of the polls. And then, he had an unseasonal message for the voters of Iowa.

HOWARD DEAN: If you look in the caucuses system, they are dominated by the special interests on both sides and both parties.

SCHNEIDER: Iowans marked Dean, return to sender. His reaction confirmed their judgment.

UNIDENTIFIED MALE: Yes!

SCHNEIDER: What was he thinking? Here's what we're thinking. Happy day after Christmas, and many happy returns. Bill Schneider, CNN, Los Angeles.

(END VIDEOTAPE)

WHITFIELD: News around the world now. Polls are closed in Ukraine's presidential election between opposition leader Viktor Yushchenko and Prime Minister Viktor Yanukovych. Which Viktor is the victor? Three exit polls project Yushchenko. But it will be several hours before official results are in, unlike the November 21st runoff, today's closely watched revote was peaceful.

The first Asian branch of Krispy Kreme doughnuts is opened in Seoul, South Korea. The company plans many more, but there's widespread backlash against the invasion of American fast food at the expense of the traditional Korean fair. A government study shows obesity increased nearly nine-fold in South Korea from 2000 to 2003.

The American astronaut and Russian cosmonaut at the International Space Station are eating better now after this arrival of an unmanned Russian cargo ship. The progress n-51 moored at the orbiting station last night. It brought food, water, fuel and research equipment to the crew, spending their third month on the station.

A 35-year-old dance school is struggling to make sure the beat goes on. When CNN LIVE SUNDAY returns, the future for this Harlem dance theater, and this --

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: People say not only the words. It is never again, they have to...

(END VIDEO CLIP)

WHITFIELD: Trying to ensure history does not repeat itself, when we return, Rwanda, ten years later and a man who helped save hundreds.

(COMMERCIAL BREAK)

WHITFIELD: Hard to believe, but it's been a decade since the genocide in Rwanda and film makers are beginning to tell the stories. The first to reach theaters is a movie called "Hotel Rwanda" it chronicles one of the worst atrocities in recent memory and one man's heroic efforts to save lives. Here's CNN's Brian Todd.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT (voice over): Can you pick out the hero in this group? Try the nondescript middle aged grandfather on the right. Place him back ten years, as his country descends into madness. April, 1994, two presidents are assassinated. A peace accord collapses. Rwanda crumbles with it. Smolders resentment between ethnic Hutus and their rivals Tutsis explodes into a surreal murderous rampage.

Tutsis extremists begin butchering Tutsis and moderate Hutus in three months, more than 800,000 people are slaughtered. Paul is in the middle of it. Manager of a four-star hotel in the capital Kigali he is a moderate Hutu, his wife a Tutsi. He begins the enormous task of protecting her and taking in others at the same time.

PAUL RUSESABAGINA, SURVIVOR: I thought I was doing my right, my day-to-day life, a manager's life, a manager's job.

TODD: The new film, "Hotel Rwanda" chronicles the geneses in Rusesabagina's foot steps. Played by Don Cheadle, this unassuming somewhat naive business man is at first bewildered by the chaos outside his hotel's gates and watches his friends turn into killers.

UNIDENTIFIED MALE: You do not honestly believe you that can kill them all.

UNIDENTIFIED MALE: Why not?

TODD: As the corpses pile up and the westerners get out, Rusesabagina starts taking in people desperate for any shelter.

UNIDENTIFIED MALE: Go inside. Go inside the hotel.

TODD: With little protection and dwindling supplies, he houses more than 1,200 people and wards off their attackers. Paul Rusesabagina told me he often used some pretty basic psychology to save lives. If you want to control someone, he said, keep him close to you. To keep militiamen at bay, he often spoke directly to them as they came to his hotel. He charmed them into being distracted and moving on. Sometimes it meant serving them drinks and food. Other times it called for a frantic bribe.

UNIDENTIFIED MALE: I will give you 100,000 franks, for all of them.

UNIDENTIFIED MALE: Give me.

UNIDENTIFIED MALE: I don't have it here.

DON CHEADLE, ACTOR: From him doing the things he knew how to do moment to moment, it's not some mythic figure. It's just a common, everyday man. I think that's what people are connecting to.

TODD: Consciously avoiding scenes of graphic violence, the filmmakers weave a personal thriller with a central character who overcomes his own doubts and mistakes and the betrayal of friends.

UNIDENTIFIED MALE: Thank you very much. Thank you.

UNIDENTIFIED MALE: No Rwandans.

UNIDENTIFIED MALE: What?

TODD: Today, Paul Rusesabagina seems almost unfathomably cheerful and normal, living in Belgium with his family, running a trucking company in Zambia, receiving honors and ovations, staying on message.

PAUL RUSESABAGINA: What people say should be put in facts, not only the words. If it is never again, they have to make it never again.

TODD: Brian Todd, CNN, Washington.

(END VIDEOTAPE)

WHITFIELD: The genocide in Rwanda is attracting enormous attention right now, not only because of the new movie but because it appears it could happen again. This time in Sudan's Darfur region. Alison Des Forges is senior adviser on Africa for the humanitarian group human rights watch and she joins us live from Buffalo, New York. Good to see you, Alison.

ALISON DES FORGES, HUMAN RIGHTS WATCH: Thank you.

WHITFIELD: Well I understand you saw the movie, "Hotel Rwanda." your impressions?

DES FORGES: I found it really very moving account of a man's heroism. I think it speaks to a lot of people today, who are in search of that kind of moral values, words that we have used too much without any real sense of meaning, but here it is. Here it is on the line, a man who risked his own life to save other people. That's what moral values are all about.

WHITFIELD: There is still a pretty significant segment of the world population that is fairly ignorant about what happened in Rwanda. Do you think this movie adequately addresses or might even educate a number of people who were in the dark still about what happened ten years ago? DES FORGES: Absolutely. It's a movie that is based upon history, that takes a man, whose own suffering and concern is shown here in great detail, but through that one man, his family and the story of the people he tried to save, others can learn to understand exactly what that genocide was all about.

WHITFIELD: Currently, the kind of ethnic cleansing in Africa that is getting some worldwide attention is that, taking place in Sudan. Are you seeing any real parallels between what is taking place in Darfur Region and what took place in parts of Rwanda?

DES FORGES: The most important parallel is that the state authority is working through proxy actors, through militia to kill ordinary citizens, and to do that on ethnic lines. That's the most important similarity.

WHITFIELD: Then politically, are you seeing any parallels as to how it is being addressed or how perhaps not adequately being addressed?

DES FORGES: Well, what's different here is that there's a much higher level of public concern than there was at the time of the Rwandan genocide. It hasn't yet produced much effective difference on the ground, but at least we have the United Nations completely engaged. We have the secretary general at the United Nations, who has gone to Darfur and to Sudan, and you have a much greater consciousness.

It's a question now of using that consciousness effectively to implement some change on the ground for the people who are at risk.

WHITFIELD: And while there is the international community that is engaged, as you put it, there is still a number of complaints that are ongoing about whether being engaged, being aware is translating into the saving of any lives, or protecting of any of these Sudanese, whose lives are still in jeopardy, even in refugee camps.

DES FORGES: It certainly remains a very real concern, because there are engagements made, and then broken, but this is, at least there is a willingness on the part of major international actors here to intervene and to make a difference.

WHITFIELD: Ten years later, Rwanda, what does it look like? What is the livelihood of the Hutus and the Tutsis?

DES FORGES: Within Rwanda right now there is a difficult and complicated situation and as you noted in speaking about Paul Rusesabagina, he himself who is not a hero everywhere has chosen not to live in Rwanda, and in part, that is because the current government itself is engaged in some human rights abuses and has in the past, also been involved in Congo, and here we see a situation which may explode before our eyes, making Darfur actually pale in comparison, because ethnic tensions, again, are on the rise inside of Congo and the Rwandan government has repeatedly threatened to intervene militarily there, as it did twice in the past. This is a situation that we must follow very, very carefully, if we don't want to see a repeat of the kinds of horrors that we saw in 1994.

WHITFIELD: Do you see that this movie can be a conduit to put the magnifying glass on Rwanda to see if ten years later there might be a repeat or if any real progress is being made?

DES FORGES: Absolutely. I think that the movie has great value in making people aware in a very human, the most human way possible, by helping them to identify with one person, one man, his family, and their suffering and the risks that they were under to lose their lives. By doing that, the filmmakers have really made an enormous contribution to helping people understand what is the current situation in Africa.

WHITFIELD: Alison Des Forges of Human Rights Watch, thanks for joining us from Buffalo.

DES FORGES: You're welcome.

WHITFIELD: News across America now. Football great Reggie White is dead. The former Green Bay Packer and Philadelphia Eagle defensive star died this morning of a massive heart attack. He was just 43.

Holiday travelers and after Christmas shoppers are braving snowy, icy roads in parts of the Carolinas. Eastern North Carolina's second winter storm in a week has dumped several inches of snow and sleet on Raleigh and surrounding areas. Some northern counties may get up to a foot by tonight.

Santa Claus is very real for residents of a homeless shelter in Denver, Colorado. An anonymous bearded man walked into Samaritan House (ph) Christmas Eve, he spent 30 minutes handing out $35,000 in cash to all in $100 bills to about 300 homeless people there. He told shelter host that he had overcome some hard times himself and he wanted to give something back.

For 35 years the dance theater of Harlem has been enriching the lives of inner city youth in New York. Well this year the dance theater needed some help of it's own. And as we hear from CNN's Alina Cho it got it.

(BEGIN VIDEOTAPE)

ALINA CHO, CNN CORRESPONDENT (voice over): For ballerinas in training like Lacy Thomas. The dance theater of Harlem is a second home, where the 13-year-old has been coming to learn ballet since she was 3.

LACY THOMAS, BALLERINA: The whole vibe when I dance is just, you know, kind of like spiritual. It might sound crazy but I like it a lot. Arthur Mitchell he is a great guy.

CHO: Mitchell founded the dance school 35 years ago.

ARTHUR MITCHELL, ARTISTIC DIRECTOR: I lived through the race riots in the '40s, and I did not want to see that happen again.

CHO: A former dancer himself, Mitchell, who is now 70 still teaches.

MITCHELL: And chin.

CHO: Over the years, thousands of mostly black and Hispanic children have studied with him. There's also a world famous professional company, but three months ago, faced with a $2.5 million debt, the dance theater of Harlem was forced to shut down.

THOMAS: I cried a little bit, you know, because I'm so used to coming here.

LAVEEN NAIDU, EXECUTIVE DIRECTOR: It was an awful decision. I mean, it was -- it's the kind of thing that you know, you never think is actually going to happen.

CHO: The story could have ended here, but the organization's ties to the community run deep. Parents started raising money. The school appealed for donations and the biggest news, a $500,000 check from an anonymous donor.

MAYOR MICHAEL BLOOMBERG, NEW YORK: Today there is good news not only for those kids, but for all of us.

CHO: Though never officially confirmed, that donor is believed to be New York city's billionaire mayor, Michael Bloomberg, who was on hand for the school's reopening three weeks ago.

UNIDENTIFIED FEMALE: I cry all the time, every time I see my kids and they're dancing.

CHO: Not a permanent solution. About half the debt has been raised. Arthur Mitchell is hopeful. He says the school is about more than just ballet.

MITCHELL: You see the individual change right before your eyes. And then you know what you're doing is right.

CHO: For Lacy Thomas is about progress.

THOMAS: I just smile and you know, do the best I can.

CHO: Mitchell calls it the miracle on 152nd Street, a place where these tiny dancers can still have the biggest of dreams. Alina Cho, CNN, New York.

(END VIDEOTAPE)

WHITFIELD: From the late Ronald Reagan to Julia Childs, when we return, remembering those we've lost in 2004.

(COMMERCIAL BREAK)

WHITFIELD: As the year winds down, most of us like to look forward, make resolutions for the new year, but before we move on to 2005, CNN's Bruce Morton has a look back at some of the people we lost during this past year. (BEGIN VIDEOTAPE)

BRUCE MORTON, CNN CORRESPONDENT (voice-over): We lost Ronald Reagan, a president who gave us some of his optimism, his faith in America, a staunch anti-communist who nevertheless negotiated with the Soviets and saw the Cold War start to end.

MARLON BRANDO, ACTOR: I don't know nothing. I ain't seen nothing and I'm not saying nothing.

MORTON: We lost Marlon Brando, probably the most influential actor of his generation, vivid in movies from "On the Waterfront" to "The Godfather."

(UNINTELLIGIBLE) Miller who danced in movies like "Kiss Me Kate" and "On the Town" or insuring her legs for $1 million but paying $1 million was worth more then than it is now.

We lost Julia Child who taught generations of Americans how to cook swell tasting food. Stage hands loved to work her show. They got to eat what she cooked.

We lost (UNINTELLIGIBLE) who used a small camera, liked to be unobtrusive while he worked and was probably the greatest photographer in the world.

Alistair Cook died. If you lived here, you knew him as the host of "Masterpiece Theater" but the British remember his weekly radio report "Letter from America." He wrote it for 56 years.

ALISTAIR COOK: So, good night and goodbye.

MORTON: We lost Archibald Cox, the prosecutor who demanded Richard Nixon's Watergate tapes, the tapes which eventually forced Nixon to resign the presidency.

We lost Faye Ray who was in more than 70 movies but we remember her on the Empire State Building with King Kong, the ape who loved her.

And Janet Leigh, who also made many movies but is remembered for dying in the shower in Alfred Hitchcock's "Psycho."

Charles Sweeney died. You don't remember him but he flew the plane that dropped the second atom bomb on Nagasaki essentially ending World War II.

Paul (UNINTELLIGIBLE) adviser to eight presidents, architect of the Marshal Plan to rebuild post-war Europe.

So, did Pierre Salinger, John Kennedy's press secretary.

The Middle East lost Yasser Arafat, who led the Palestinians for more than 30 years, a survivor but a leader who could not bring his people peace. Here at home we lost Christopher Reeve, Superman, then paralyzed in a riding accident, who left behind a foundation seeking the cure for injuries like his.

We lost Johnny Ramon, an influential guitarist who may have founded punk rock.

And Robert Merrill (ph) the Metropolitan Opera's favorite baritone who loved the songs Guiseppe Verdi wrote.

And, Ray Charles, who loved all kinds of music, (UNINTELLIGIBLE), blues, bring it on.

We lost Peter Ustinov, playwright, director, actor, novelist, genius, sure, why not?

Most of these men and women lived full lives, found success and maybe happiness but our saddest losses were mostly young people, more than 800 men and women in the American armed forces who died this past year in Iraq. They won't ever reach their goals or find their dreams. They just went where their country sent them and died.

(END VIDEOTAPE)

WHITFIELD: And that's going to do it for this hour. "NEXT@CNN" is straight ahead after a look at the headlines.

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 26, 2004 - 16:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: Christmas is over, but how did the retail economy do? Allan Chernoff joins with us a live report on those all-important holiday sales receipts.
Returning gifts is another holiday tradition. What happens when a politician wants to take something back?

And if one of your relatives didn't make it for pumpkin pie, you should check the local airports.

Hello and welcome to CNN LIVE SUNDAY. I'm Fredricka Whitfield. All that and more after a check of the headlines.

Thousands of people across southern and southeast Asia have been killed in deadly tsunamis triggered by the strongest earthquake in 40 years. The 8.9 magnitude quake struck off the coast of Sumatra, Indonesia. Massive flooding wiped out coastal areas as far as 1,000 miles away.

With elections in Iraq just one month away, the U.S. is beefing up troop strength in Mosul, scene of last week's suicide bombing. That's the word from General John Abizaid, senior U.S. commander in the region. CNN's Barbara Starr has an exclusive interview with General Abizaid the general coming up later in the hour.

Former NFL sack leader and two-time defensive player of the year, Reggie White, died today at the age of 43. His wife, Sarah (ph), says the cause of death was a heart attack. The former Green Bay Packer and Philadelphia Eagle defensive star retired in 2000.

We begin with a natural disaster that's almost impossible to comprehend in its devastation and size. The fifth largest earthquake ever recorded and the massive tsunamis it triggered today killed nearly 10,000 people across southeastern Asia. Most of the dead are in Sri Lanka and India, but the destruction could be seen hundreds of miles away.

Witnesses say part of Phuket Island, Thailand is gone, just one of many coastal areas in the region swept away by giant waves. Countless injured are crowding hospitals. The number of dead is in the thousands and many more people are still missing. The magnitude 8.9 quake struck about 100 miles off the coast of Indonesia's Sumatra Island. It's the strongest tremor to hit in 40 years. There have been several aftershocks, including one that measured 7.3 magnitude. Let's put some of those numbers in perspective for you now. Any tremor of magnitude 8 or more is classified as a great earthquake and any tremor below magnitude 3.9 is considered minor.

Sri Lanka is one of the areas hardest hit by the huge wave unleashed by the quake. Journalist Iqbul Athas joins us now by phone from the capital of Colombo and Iqbul, it is night fall there now. Give us a sense as to what is taking place.

IQBUL ATHAS, JOURNALIST: Fredricka, it's 3:00 a.m. in the morning in the capitol of Colombo. (UNINTELLIGIBLE) has declared a state of national disaster and appealed for international help, as the death toll continues to mount. The first to respond was the government of India, which is already floating (ph) and an aircraft load of medical supplies. As the hours go by, the officials are expecting the Indian government to send in a fleet of helicopters and a gigantic relief effort is to get under way in approximately four to five hours from now.

WHITFIELD: I understand Iqbul that India is also assisting by sending naval ships to some of the resort towns, particular that of Gahl (ph), in Sri Lanka.

ATHAS: Yes. Four Indian naval ships are due in Sri Lanka later tomorrow, that's later Monday, and two of them are heading to the northeastern port city of Trinkamali (ph) while the other two are destined to the southern port of Gahl, both areas which are badly affected by the tsunami.

WHITFIELD: Earthquakes often come without warning, which is the case in this sense, but the tsunamis that then followed, was there any sort of notice that anyone there would have been able to have in order to escape or go for cover or higher ground, anything like that?

ATHAS: No, largely most Sri Lankans were caught completely unaware by the (UNINTELLIGIBLE) and although there have been warnings about 10 days ago, it went unheeded. This again, was from the meteorological department which warned about the possibility of earthquakes, but this didn't draw much attention, particularly in the (UNINTELLIGIBLE) center, which has been really badly affected.

WHITFIELD: With the number of injured so high, obviously a number of people will have to be air lifted or evacuated out of the area, as already so many tourists have been evacuated. How is this area going to be able to handle the kind of volume of rescue efforts that have to take place?

ATHAS: Well, this has caused the biggest problem for the authorities. Most of the people, at least over a half a million are spending the night in schools, community centers and even in playgrounds, and the resources available with the government to cope with this problem is not adequate, and they are making appeals for even boy scouts and girl guides to join the effort tomorrow.

In addition to that, today, truck loads were used to bring in (UNINTELLIGIBLE) to Colombo and most of the hotels have opened up their ballrooms to accommodate tourists who could not find rooms in the hotels. In addition, a convention center in Colombo has also been converted into a private boarding house for the tourists.

WHITFIELD: Journalist Iqbul Athas, thanks so much for keeping us updated from Colombo, Sri Lanka.

India is also reeling from the aftermath of the quake and tsunamis. Here is CNN's Ram Ramgopal.

(BEGIN VIDEOTAPE)

RAM RAMGOPAL, CNN CORRESPONDENT (voice-over): The damage was most dramatic in south Asia where the tsunamis struck at dawn. For people normally accustomed to seeing the sea at a distance, the sight of water bearing down was surprising and devastating. The island of Sri Lanka was in the direct path of one tsunami. The massive loss of human life and property were reported on both the southern and eastern coasts. The one wave, right, the one wave?

OLWIN PEPERA, RESTAURANT OWNER: It's not much of a wave, that's the funniest thing that this is no wave. The level of water come right up, maintain the level, about six feet higher than what it is now.

RAMGOPAL: In southern India, the state of Tamanladu (ph) was worst hit. Helicopters were pressed into service to rescue those marooned and to recover bodies. Witnesses reported a massive wall of water coming inland, crushing everything in its path. Indian naval and air force personnel are being deployed to assist in the rescue effort.

MANMOHAN SINGH, INDIAN PRIME MINISTER: My heart goes out in sympathy to all those families who have lost their dear ones due to this tragedy. Since early morning, I have been in touch with the governments of the affected states. I have spoken to the chief ministers of these states and I have assured them of fullest possible support and cooperation.

RAMGOPAL: The impact of the floods could go well beyond the immediate future. Apart from the cost of rebuilding lives and property, Indian officials say the saline water will adversely affect cultivable land. Scientists here said they could do little to warn people about the tsunamis. The waves were barely discernible on the ocean's surface and Indian satellites too could not detect the rising waters and it was that water that swamps the island (UNINTELLIGIBLE) of the Maldives, barely above sea level. Maldivian officials say it's just not clear what the damage is in the outlying islands. Communication links have been cut off and it may be days before a clear picture emerges. Ram Ramgopal, CNN, New Delhi.

WHITFIELD: And as you've seen, a tsunami can cause incredible devastation but how exactly does it form? Our meteorologist Orelon Sidney joins us now from the CNN weather center with some answers. And Orelon, how different or similar are tsunamis from what most Americans know as hurricanes?

ORELON SIDNEY, CNN METEOROLOGIST: Well, they're totally different things. They're caused by completely different forms of nature. Hurricanes of course bring in a storm surge. That's a bulge on top of the ocean that moves across. Tsunamis totally different things. They're actually formed whenever there is a vertical displacement of the sea floor.

Imagine that you had a big basin of water, about this big or so and it was full, and you were really strong, like Warren Sapp. You could come up behind it and just make a big, just hit it very hard. Then you would notice the basin, of course, would tilt, and the water then would start swishing back and forth. That's exactly what's happening in this situation. The actual quake itself recurred over the coast and then the tsunami traveled to the northwest, about 1,000 miles, until it hit the eastern coast of Sri Lanka.

Now, as it's on the surface, you can't even see these tidal waves. We call them tidal waves but they have nothing to do with the tide. It's actually an incorrect term to call them that. These tsunamis, as they move across, you can't even see it on the water. As they start to get into shallower water, that's when the wave kind of stands up if you will and the shallower the water, the stronger the break, the more the wave stands up. That's why we have these amazing amounts of damage with this.

Remember that water is merely incompressible. It's almost like taking a battering ram and slamming it along the coast. The devastation is going to be absolutely amazing, once we get the pictures. It's going to be a terrible human disaster here, and I'm concerned later on about disease and the aftermath of this, even more than what's happened today. Fredricka?

WHITFIELD: Orelon Sidney, thanks so much from the weather center.

As one part of the world is devastated by an earthquake and those tsunamis consequently, another is remembering a huge tremor that struck one year ago. Mourners are gathering in Bam, Iran, to mark the anniversary. Many spent the day in cemeteries sitting amid tombs and praying for the dead. More than 31,000 people were killed when a magnitude 6.8 quake flattened that city in the early hours of December 26th, 2003. 70,000 people were left homeless. Most of Bam remains in ruins and some survivors are still living in tents today.

That exclusive CNN interview with General Abizaid, Abizaid rather in Mosul coming up a little bit later.

But straight ahead, Comair resumes some flights but there are plenty of stranded passengers in airports on the east coast and Gary Nuremberg is with them for a live report coming up.

(COMMERCIAL BREAK)

WHITFIELD: At airport terminals across the nation, tens of thousands of passengers are walking in a winter blunderland, wondering when they'll ever get home. A lot of angry travelers are standing by at Washington's Reagan National airport, where CNN's Gary Nuremberg is as well. Gary. GARY NUREMBERG, CNN CORRESPONDENT: Well, Fredricka, if you are tonight where you want to be, you're doing better than thousands of airline passengers who did not end up where they wanted to be on Christmas, spent the night in airports, and then today gave up and tried to figure out how to get home.

(BEGIN VIDEOTAPE)

NUREMBERG (voice-over): So what did the travel mess do to your holiday weekend?

SUE KING, DELAYED TRAVELER: Screwed it up.

NUREMBERG: Sue and Joe King were trying to get 20 month old Haley to Disney World. They arrived at Washington's Reagan National airport 6:45 Sunday morning for an 8:40 U.S. Airways flight.

KING: We got in line and waited for four hours, so obviously missed our flight and we're on standby now for a 3:00 p.m. flight.

NUREMBERG: If that doesn't work?

KING: There's a 7:00 p.m. that we're on standby for.

NUREMBERG: And if that doesn't work?

KING: Then the next morning, we might be on standby for that.

NUREMBERG: So how happy are you?

KING: Not very happy.

NUREMBERG: The kings are not alone. When Delta subsidiary Comair canceled weekend air flights because of computer problems, thousands had to scramble for alternate flights. The airline generally carries 30,000 passengers a day.

UNIDENTIFIED FEMALE: Stood in line for two hours, our flights are canceled. Then we came back on our rebooked flights today, got to Cincinnati, found out 25 minutes before the flight was supposed to board that it was canceled. Now we're driving to Columbus tomorrow to take a Northwest flight.

UNIDENTIFIED FEMALE: Oh, Philadelphia is a mess, completely sold out. Got to go.

NUREMBERG: U.S. Airways says it had several hundred flight attendants and baggage handlers phone in sick, causing an estimated 10,000 passengers to be separated from their luggage. Mary Ann Robbins (ph) was without her medication for three days, found her luggage this afternoon and was needless to say --

MARY ANN ROBBINS: Very happy.

NUREMBERG: By midday Sunday, U.S. Airways said it had made substantial progress in reuniting passengers with their lost luggage but clearly it still had a long way to go. Ask Billy Black.

BILLY BLACK: My bags got lost and I've been waiting for my bags now for four days. It's kind of sad because I had some presents for kids and so on and I couldn't give presents to the kids.

(END VIDEOTAPE)

NUREMBERG: And speaking of kids, an update on the King family trying to get Haley to Disney World. They tried to get on two standby flights this afternoon, didn't, gave up, drove home and here's the solution Fredricka. Their relatives in Florida are going to drive to Washington for the holidays.

WHITFIELD: Oh gosh, well, it looks like Disney may be in 2005 for them. All right. Thanks a lot, Gary.

Well, you've heard the headlines out of Mosul. Now hear what the general in charge of the area thinks, how many more troops should the U.S. commit?

And his boss, the president, well, he's in Crawford, Texas, for a part of his Christmas holiday. Dana Bash will join us with a live report coming up.

(COMMERCIAL BREAK)

WHITFIELD: It's been just weeks since U.S. troops reclaimed Falluja from insurgents. Now, another Iraqi city is growing increasingly more dangerous. It's a situation U.S. military leaders are paying close attention to. CNN's Pentagon correspondent Barbara Starr has our exclusive report.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice-over): As violence continues in the northern city of Mosul and elections are just one month away in Iraq, General John Abizaid, the senior U.S. military commander in the region has confirmed to CNN in an exclusive interview that troop levels in Mosul are about to go up. The U.S. is determined to ensure control of the city.

GEN. JOHN ABIZAID, CMDR., U.S. CENTRAL COMMAND: It's clear that that Mosul will need additional boots on the ground during the election period. We will figure out what the right combination of boots on the ground may be. Mosul is very important in all terms in Iraq.

STARR: Abizaid is emphasizing the additional troops in Mosul will include Iraqis and U.S. forces to be shifted from other areas inside the country. He spoke to CNN from his desert headquarters in Doha, Qatar.

ABIZAID: We will make additional adjustments of forces for Mosul.

STARR: The U.S. recently increased troop levels in Iraq to 150,000 so these types of pre-election problems could be dealt with. Ensuring Sunnis in Mosul feel secure enough to vote is crucial. The suicide bombing at the U.S. military base only underscored the problem, officials say.

But now, it could require another 6,000 to 8,000 total troops to be sent to Mosul. Senior U.S. military sources in the region tell CNN the city has been wracked by violence for weeks. Local Iraqi security forces have virtually melted away, say those officials. One senior U.S. officer tells CNN, we have no Iraqi police force up in Mosul today.

The problem in getting Iraqis to fight the insurgency may be deeper across Iraq. The military assessment now is that the U.S. miscalculated Iraqi tribal and religious loyalties and did not realize Iraqis are likely to fight only for their brethren. Thousands of Iraqi security forces have been put in the field, but the focus has been on numbers of troops, training and equipment, not on experience, confidence and leadership. So in cases like Mosul, they simply will not fight the intimidation of the insurgents the U.S. now believes.

The solution now? The U.S. is planning to put 10 to 20-men training teams with individual Iraqi units across the country, after the January election. The hope is this type of local on-the-ground effort will make Iraqi forces more willing to fight. Barbara Starr, CNN, Doha, Qatar.

(END VIDEOTAPE)

WHITFIELD: Iraq is just one of the issues President Bush is dealing with today as he begins his post-Christmas vacation and looks ahead to his second term. The president is spending the next several days at his ranch in Texas and that's where we find CNN White House correspondent Dana Bash as well. Dana.

DANA BASH, CNN WHITE HOUSE CORRESPONDENT: Hi, Fredricka. The president arrived here in Crawford earlier today and he'll be here through the new year for what the White House promises will be a low- key week, a week of vacation but at the White House, the president is keeping tabs on several things going on around the world, primarily at this point today what happened, of course, in southeast Asia, the earthquake and tsunamis that followed.

The White House spokesman on this trip, Trent Duffy (ph), talked about that en route to Crawford, expressing condolences on behalf of the American people for what he called the tragic loss of life and promising the U.S. is ready to offer all appropriate assistance to the countries affected, in the statement saying in part, already relief is flowing to Sri Lanka and the Maldives. We will work with the affected governments, the United Nations, nongovernmental organizations and other concerned states and organizations to support the relief and response to this terrible tragedy.

Now what the U.S. efforts exactly will be it's too early to say. U.S. officials say the State Department at this point Fredricka is saying that they're unclear exactly how many U.S. citizens were involved or affected there and that the Pentagon at this point is saying that they do not believe any U.S. assets in southeast Asia were affected.

Another thing, Fredricka, that the U.S., that the White House is monitoring today is, of course, the Ukrainian elections and Trent Duffy, the White House spokesman also said that U.S. officials are monitoring that and at this point they don't see that anything is going wrong there. He said things are going fairly smoothly, but the White House is going to wait until they get official results in order to put out an official statement on that. Fredricka.

WHITFIELD: All right. Dana Bash from Crawford, Texas, thanks so much.

It's music to the retailers' ears. The ringing of those cash registers, but did they ring in full force this holiday season? We'll find out coming up.

Krispy Kreme customers aren't the only ones expanding. This American favorite will soon be tempting taste buds overseas.

Plus, it's a second home to hundreds of teens in Harlem. Now this dance theater is fighting to keep its doors open. The story a little later on CNN LIVE SUNDAY.

BRAD HUFFINES, CNN METEOROLOGIST: I'm meteorologist Brad Huffines from this CNN weather center with your cold and flu report as we continue to see the very cold weather across the east. That where you might expect to see the greatest activity, especially across the mid-Atlantic states and across parts of the northeast. In fact New York inundated with a lot of flu reports by the CDC. Out west, fairly quiet, except across parts of Colorado and Kansas, with local activity reported. Other than that, across much of the country just sporadic cold and flu activity.

(COMMERCIAL BREAK)

WHITFIELD: A quick look at the top stories now. Thousands are dead in southeast Asia in the aftermath of tsunamis which swept through the region. The massive waves were triggered by a powerful earthquake measuring 8.9 and centered just off Sumatra. The killer waves struck several countries, including Indonesia, Sri Lanka, Thailand and India.

For many flyers it's been the unfriendly skies this holiday weekend. Today is the fourth straight day for some U.S. Airways passengers to be without their luggage. The airline blames severe weather and sick calls from baggage handlers and flight attendants. Meanwhile, about 10 percent of Comair planes are flying again, a day after the airline canceled all of its 1,100 flights.

And in Iraq, more U.S. troops will soon be on the ground in Mosul. In an exclusive interview with CNN, General John Abizaid confirmed troop levels are about to go up. The move comes after last week's deadly suicide bombing of a U.S. mess hall in Mosul and a little more than a month ahead of the scheduled Iraqi elections.

This year's holiday shopping season started off slowly for retailers, but as the shopping season moved around, could spending pick up and bring a Merry Christmas to the retail industry? CNN's Allan Chernoff is in New York to take a look at this and see what it means for the overall economy. Allan.

ALLAN CHERNOFF, CNN CORRESPONDENT: Hi, Fredricka. Well, the malls are certainly packed today, plenty of people trying to take advantage of the post-holiday bargains. Also of course people returning gifts and particularly important this year people redeeming gift cards. These are so important to the retailers since they don't actually count as sales until the cards are actually redeemed and when many people do redeem them, you better believe they spend well over the face value of those gift cards.

It's been a very green holiday season for the luxury retailers. Many of the department stores in this area such as Sachs, Neiman Marcus, they're expected to report excellent gains over the prior year and some of the most popular items in fact have been these high-end luxury items, very popular items.

(BEGIN VIDEO CLIP)

MIKE MCAVINUE, GEN. MGR., MALL AT SHORT HILLS: Cashmere has been really hot. Jewelry is traditionally hot this time of year, specifically diamond chandelier earrings, leather, sherlings (ph), coats, jeans and we've also seen a lot of customers shop for themselves this year.

(END VIDEO CLIP)

CHERNOFF: Hard to resist, of course. For many department stores, it has actually been a very tough holiday season. Many of the big name department stores, Federated, the owner of Macy's, for example, they're expecting to report gains in the low single digits, and even Wal-Mart has warned that its sales for the month of December are likely to be up only about 1 percent, perhaps as high as 3 percent, but it certainly has been very challenging. Their customers, of course, dealing with the higher cost of gasoline, which is up about 20 percent from the year ago period, and of course, the job market still remains challenging for many people.

Fredricka.

WHITFIELD: And Allan it appeared a lot of retailers slashed prices a couple of days before Christmas because they had a slow start. Is the expectation pretty great are there a lot of great bargains the day after Christmas?

CHERNOFF: The bargains are certainly out there but the question is, will there be much inventory? Analysts have been saying the retailers were cautious going into the holiday season. They didn't stock their warehouses all that high. As a result, the expectation is that, with these bargain prices now, they're quickly going to sell out of many sizes, many colors, et cetera. So people who are hoping to grab hold of a bargain right after the holiday, the best suggestion is to get there early. Try to take advantage of the sales right now, because apparently, the inventory is not expected to last, particularly of course for the popular items.

WHITFIELD: This day after Christmas, is it too early to tell whether people are cashing in the gift cards you mentioned?

CHERNOFF: Well certainly plenty of people are doing so but they're also, of course, inertia. One survey done by Deloitte & Touche from last holiday season, as of the middle of October, people were still holding on average 2.3 gift cards they had not redeemed. So certainly the retailers need to create some incentive get people into the stores so that they'll actually redeem those cards. Otherwise, the retailers can't count them as sales.

WHITFIELD: Wow! All right, Allan Chernoff, thanks so much, from New York.

Well we know a lot of folks or at least retailers are hoping a lot of folks are spending the day at the malls. But as CNN's Bill Schneider explains, this is also a day to reflect upon a different sort of return, a political return.

(BEGIN VIDEOTAPE)

BILL SCHNEIDER, CNN CORRESPONDENT (voice over): It's the day after Christmas, and you know what that means. Returns, a gift that seemed like a brilliant idea ends up looking like a really bad choice. Back it goes, along with the inevitable question, what were they thinking? We asked that question a lot in politics, too, like with President Bush's nomination of Bernard Kerik to be his Homeland Security secretary.

GEORGE W. BUSH, PRESIDENT: You know something about security, he knows something about security. He's lived it all his flights.

SCHNEIDER: Kerik's conflict of interest and his record of irresponsible behavior quickly came out, plus a nanny problem. What was Bush thinking? John Kerry's explanation for voting against funds for the troops in Iraq was gift-wrapped for his opponent.

JOHN KERRY: I actually did vote for the $87 billion before I voted against it.

SCHNEIDER: Who said, thank you very much.

BUSH: And then he entered the flip-flop hall of fame.

SCHNEIDER: What could Kerry have been thinking? When a soldier asked Donald Rumsfeld for some Christmas cheer in the shape of better armor in Iraq, the defense secretary sounded like Ebenezer.

DONALD RUMSFELD: You go to war with the army you have.

SCHNEIDER: Bad answer. Rumsfeld went back to Iraq to try to calm the waters.

RUMSFELD: The reason I'm here is to have a chance to look you in the eye. I hope have a chance to shake your hands -- SCHNEIDER: That's a long way to go for Christmas cheer. President Bush is proud of his gift to seniors, a brand new prescription drug program.

BUSH: Seniors will start seeing help quickly.

SCHNEIDER: But the recipients have not shown much gratitude. About 5.8 million seniors have signed up, out of some 40 million eligible. Many wondered, why didn't Bush give us what we really wanted, the right to import cheaper drugs from other countries? Last year, Howard Dean had all the Christmas gifts he needed, more money than any other Democrat, and a place at the top of the polls. And then, he had an unseasonal message for the voters of Iowa.

HOWARD DEAN: If you look in the caucuses system, they are dominated by the special interests on both sides and both parties.

SCHNEIDER: Iowans marked Dean, return to sender. His reaction confirmed their judgment.

UNIDENTIFIED MALE: Yes!

SCHNEIDER: What was he thinking? Here's what we're thinking. Happy day after Christmas, and many happy returns. Bill Schneider, CNN, Los Angeles.

(END VIDEOTAPE)

WHITFIELD: News around the world now. Polls are closed in Ukraine's presidential election between opposition leader Viktor Yushchenko and Prime Minister Viktor Yanukovych. Which Viktor is the victor? Three exit polls project Yushchenko. But it will be several hours before official results are in, unlike the November 21st runoff, today's closely watched revote was peaceful.

The first Asian branch of Krispy Kreme doughnuts is opened in Seoul, South Korea. The company plans many more, but there's widespread backlash against the invasion of American fast food at the expense of the traditional Korean fair. A government study shows obesity increased nearly nine-fold in South Korea from 2000 to 2003.

The American astronaut and Russian cosmonaut at the International Space Station are eating better now after this arrival of an unmanned Russian cargo ship. The progress n-51 moored at the orbiting station last night. It brought food, water, fuel and research equipment to the crew, spending their third month on the station.

A 35-year-old dance school is struggling to make sure the beat goes on. When CNN LIVE SUNDAY returns, the future for this Harlem dance theater, and this --

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: People say not only the words. It is never again, they have to...

(END VIDEO CLIP)

WHITFIELD: Trying to ensure history does not repeat itself, when we return, Rwanda, ten years later and a man who helped save hundreds.

(COMMERCIAL BREAK)

WHITFIELD: Hard to believe, but it's been a decade since the genocide in Rwanda and film makers are beginning to tell the stories. The first to reach theaters is a movie called "Hotel Rwanda" it chronicles one of the worst atrocities in recent memory and one man's heroic efforts to save lives. Here's CNN's Brian Todd.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT (voice over): Can you pick out the hero in this group? Try the nondescript middle aged grandfather on the right. Place him back ten years, as his country descends into madness. April, 1994, two presidents are assassinated. A peace accord collapses. Rwanda crumbles with it. Smolders resentment between ethnic Hutus and their rivals Tutsis explodes into a surreal murderous rampage.

Tutsis extremists begin butchering Tutsis and moderate Hutus in three months, more than 800,000 people are slaughtered. Paul is in the middle of it. Manager of a four-star hotel in the capital Kigali he is a moderate Hutu, his wife a Tutsi. He begins the enormous task of protecting her and taking in others at the same time.

PAUL RUSESABAGINA, SURVIVOR: I thought I was doing my right, my day-to-day life, a manager's life, a manager's job.

TODD: The new film, "Hotel Rwanda" chronicles the geneses in Rusesabagina's foot steps. Played by Don Cheadle, this unassuming somewhat naive business man is at first bewildered by the chaos outside his hotel's gates and watches his friends turn into killers.

UNIDENTIFIED MALE: You do not honestly believe you that can kill them all.

UNIDENTIFIED MALE: Why not?

TODD: As the corpses pile up and the westerners get out, Rusesabagina starts taking in people desperate for any shelter.

UNIDENTIFIED MALE: Go inside. Go inside the hotel.

TODD: With little protection and dwindling supplies, he houses more than 1,200 people and wards off their attackers. Paul Rusesabagina told me he often used some pretty basic psychology to save lives. If you want to control someone, he said, keep him close to you. To keep militiamen at bay, he often spoke directly to them as they came to his hotel. He charmed them into being distracted and moving on. Sometimes it meant serving them drinks and food. Other times it called for a frantic bribe.

UNIDENTIFIED MALE: I will give you 100,000 franks, for all of them.

UNIDENTIFIED MALE: Give me.

UNIDENTIFIED MALE: I don't have it here.

DON CHEADLE, ACTOR: From him doing the things he knew how to do moment to moment, it's not some mythic figure. It's just a common, everyday man. I think that's what people are connecting to.

TODD: Consciously avoiding scenes of graphic violence, the filmmakers weave a personal thriller with a central character who overcomes his own doubts and mistakes and the betrayal of friends.

UNIDENTIFIED MALE: Thank you very much. Thank you.

UNIDENTIFIED MALE: No Rwandans.

UNIDENTIFIED MALE: What?

TODD: Today, Paul Rusesabagina seems almost unfathomably cheerful and normal, living in Belgium with his family, running a trucking company in Zambia, receiving honors and ovations, staying on message.

PAUL RUSESABAGINA: What people say should be put in facts, not only the words. If it is never again, they have to make it never again.

TODD: Brian Todd, CNN, Washington.

(END VIDEOTAPE)

WHITFIELD: The genocide in Rwanda is attracting enormous attention right now, not only because of the new movie but because it appears it could happen again. This time in Sudan's Darfur region. Alison Des Forges is senior adviser on Africa for the humanitarian group human rights watch and she joins us live from Buffalo, New York. Good to see you, Alison.

ALISON DES FORGES, HUMAN RIGHTS WATCH: Thank you.

WHITFIELD: Well I understand you saw the movie, "Hotel Rwanda." your impressions?

DES FORGES: I found it really very moving account of a man's heroism. I think it speaks to a lot of people today, who are in search of that kind of moral values, words that we have used too much without any real sense of meaning, but here it is. Here it is on the line, a man who risked his own life to save other people. That's what moral values are all about.

WHITFIELD: There is still a pretty significant segment of the world population that is fairly ignorant about what happened in Rwanda. Do you think this movie adequately addresses or might even educate a number of people who were in the dark still about what happened ten years ago? DES FORGES: Absolutely. It's a movie that is based upon history, that takes a man, whose own suffering and concern is shown here in great detail, but through that one man, his family and the story of the people he tried to save, others can learn to understand exactly what that genocide was all about.

WHITFIELD: Currently, the kind of ethnic cleansing in Africa that is getting some worldwide attention is that, taking place in Sudan. Are you seeing any real parallels between what is taking place in Darfur Region and what took place in parts of Rwanda?

DES FORGES: The most important parallel is that the state authority is working through proxy actors, through militia to kill ordinary citizens, and to do that on ethnic lines. That's the most important similarity.

WHITFIELD: Then politically, are you seeing any parallels as to how it is being addressed or how perhaps not adequately being addressed?

DES FORGES: Well, what's different here is that there's a much higher level of public concern than there was at the time of the Rwandan genocide. It hasn't yet produced much effective difference on the ground, but at least we have the United Nations completely engaged. We have the secretary general at the United Nations, who has gone to Darfur and to Sudan, and you have a much greater consciousness.

It's a question now of using that consciousness effectively to implement some change on the ground for the people who are at risk.

WHITFIELD: And while there is the international community that is engaged, as you put it, there is still a number of complaints that are ongoing about whether being engaged, being aware is translating into the saving of any lives, or protecting of any of these Sudanese, whose lives are still in jeopardy, even in refugee camps.

DES FORGES: It certainly remains a very real concern, because there are engagements made, and then broken, but this is, at least there is a willingness on the part of major international actors here to intervene and to make a difference.

WHITFIELD: Ten years later, Rwanda, what does it look like? What is the livelihood of the Hutus and the Tutsis?

DES FORGES: Within Rwanda right now there is a difficult and complicated situation and as you noted in speaking about Paul Rusesabagina, he himself who is not a hero everywhere has chosen not to live in Rwanda, and in part, that is because the current government itself is engaged in some human rights abuses and has in the past, also been involved in Congo, and here we see a situation which may explode before our eyes, making Darfur actually pale in comparison, because ethnic tensions, again, are on the rise inside of Congo and the Rwandan government has repeatedly threatened to intervene militarily there, as it did twice in the past. This is a situation that we must follow very, very carefully, if we don't want to see a repeat of the kinds of horrors that we saw in 1994.

WHITFIELD: Do you see that this movie can be a conduit to put the magnifying glass on Rwanda to see if ten years later there might be a repeat or if any real progress is being made?

DES FORGES: Absolutely. I think that the movie has great value in making people aware in a very human, the most human way possible, by helping them to identify with one person, one man, his family, and their suffering and the risks that they were under to lose their lives. By doing that, the filmmakers have really made an enormous contribution to helping people understand what is the current situation in Africa.

WHITFIELD: Alison Des Forges of Human Rights Watch, thanks for joining us from Buffalo.

DES FORGES: You're welcome.

WHITFIELD: News across America now. Football great Reggie White is dead. The former Green Bay Packer and Philadelphia Eagle defensive star died this morning of a massive heart attack. He was just 43.

Holiday travelers and after Christmas shoppers are braving snowy, icy roads in parts of the Carolinas. Eastern North Carolina's second winter storm in a week has dumped several inches of snow and sleet on Raleigh and surrounding areas. Some northern counties may get up to a foot by tonight.

Santa Claus is very real for residents of a homeless shelter in Denver, Colorado. An anonymous bearded man walked into Samaritan House (ph) Christmas Eve, he spent 30 minutes handing out $35,000 in cash to all in $100 bills to about 300 homeless people there. He told shelter host that he had overcome some hard times himself and he wanted to give something back.

For 35 years the dance theater of Harlem has been enriching the lives of inner city youth in New York. Well this year the dance theater needed some help of it's own. And as we hear from CNN's Alina Cho it got it.

(BEGIN VIDEOTAPE)

ALINA CHO, CNN CORRESPONDENT (voice over): For ballerinas in training like Lacy Thomas. The dance theater of Harlem is a second home, where the 13-year-old has been coming to learn ballet since she was 3.

LACY THOMAS, BALLERINA: The whole vibe when I dance is just, you know, kind of like spiritual. It might sound crazy but I like it a lot. Arthur Mitchell he is a great guy.

CHO: Mitchell founded the dance school 35 years ago.

ARTHUR MITCHELL, ARTISTIC DIRECTOR: I lived through the race riots in the '40s, and I did not want to see that happen again.

CHO: A former dancer himself, Mitchell, who is now 70 still teaches.

MITCHELL: And chin.

CHO: Over the years, thousands of mostly black and Hispanic children have studied with him. There's also a world famous professional company, but three months ago, faced with a $2.5 million debt, the dance theater of Harlem was forced to shut down.

THOMAS: I cried a little bit, you know, because I'm so used to coming here.

LAVEEN NAIDU, EXECUTIVE DIRECTOR: It was an awful decision. I mean, it was -- it's the kind of thing that you know, you never think is actually going to happen.

CHO: The story could have ended here, but the organization's ties to the community run deep. Parents started raising money. The school appealed for donations and the biggest news, a $500,000 check from an anonymous donor.

MAYOR MICHAEL BLOOMBERG, NEW YORK: Today there is good news not only for those kids, but for all of us.

CHO: Though never officially confirmed, that donor is believed to be New York city's billionaire mayor, Michael Bloomberg, who was on hand for the school's reopening three weeks ago.

UNIDENTIFIED FEMALE: I cry all the time, every time I see my kids and they're dancing.

CHO: Not a permanent solution. About half the debt has been raised. Arthur Mitchell is hopeful. He says the school is about more than just ballet.

MITCHELL: You see the individual change right before your eyes. And then you know what you're doing is right.

CHO: For Lacy Thomas is about progress.

THOMAS: I just smile and you know, do the best I can.

CHO: Mitchell calls it the miracle on 152nd Street, a place where these tiny dancers can still have the biggest of dreams. Alina Cho, CNN, New York.

(END VIDEOTAPE)

WHITFIELD: From the late Ronald Reagan to Julia Childs, when we return, remembering those we've lost in 2004.

(COMMERCIAL BREAK)

WHITFIELD: As the year winds down, most of us like to look forward, make resolutions for the new year, but before we move on to 2005, CNN's Bruce Morton has a look back at some of the people we lost during this past year. (BEGIN VIDEOTAPE)

BRUCE MORTON, CNN CORRESPONDENT (voice-over): We lost Ronald Reagan, a president who gave us some of his optimism, his faith in America, a staunch anti-communist who nevertheless negotiated with the Soviets and saw the Cold War start to end.

MARLON BRANDO, ACTOR: I don't know nothing. I ain't seen nothing and I'm not saying nothing.

MORTON: We lost Marlon Brando, probably the most influential actor of his generation, vivid in movies from "On the Waterfront" to "The Godfather."

(UNINTELLIGIBLE) Miller who danced in movies like "Kiss Me Kate" and "On the Town" or insuring her legs for $1 million but paying $1 million was worth more then than it is now.

We lost Julia Child who taught generations of Americans how to cook swell tasting food. Stage hands loved to work her show. They got to eat what she cooked.

We lost (UNINTELLIGIBLE) who used a small camera, liked to be unobtrusive while he worked and was probably the greatest photographer in the world.

Alistair Cook died. If you lived here, you knew him as the host of "Masterpiece Theater" but the British remember his weekly radio report "Letter from America." He wrote it for 56 years.

ALISTAIR COOK: So, good night and goodbye.

MORTON: We lost Archibald Cox, the prosecutor who demanded Richard Nixon's Watergate tapes, the tapes which eventually forced Nixon to resign the presidency.

We lost Faye Ray who was in more than 70 movies but we remember her on the Empire State Building with King Kong, the ape who loved her.

And Janet Leigh, who also made many movies but is remembered for dying in the shower in Alfred Hitchcock's "Psycho."

Charles Sweeney died. You don't remember him but he flew the plane that dropped the second atom bomb on Nagasaki essentially ending World War II.

Paul (UNINTELLIGIBLE) adviser to eight presidents, architect of the Marshal Plan to rebuild post-war Europe.

So, did Pierre Salinger, John Kennedy's press secretary.

The Middle East lost Yasser Arafat, who led the Palestinians for more than 30 years, a survivor but a leader who could not bring his people peace. Here at home we lost Christopher Reeve, Superman, then paralyzed in a riding accident, who left behind a foundation seeking the cure for injuries like his.

We lost Johnny Ramon, an influential guitarist who may have founded punk rock.

And Robert Merrill (ph) the Metropolitan Opera's favorite baritone who loved the songs Guiseppe Verdi wrote.

And, Ray Charles, who loved all kinds of music, (UNINTELLIGIBLE), blues, bring it on.

We lost Peter Ustinov, playwright, director, actor, novelist, genius, sure, why not?

Most of these men and women lived full lives, found success and maybe happiness but our saddest losses were mostly young people, more than 800 men and women in the American armed forces who died this past year in Iraq. They won't ever reach their goals or find their dreams. They just went where their country sent them and died.

(END VIDEOTAPE)

WHITFIELD: And that's going to do it for this hour. "NEXT@CNN" is straight ahead after a look at the headlines.

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