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CNN Live At Daybreak

What Congress Wants; Paying For What?; George Bush, Europe

Aired January 20, 2005 - 06:31   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: Good morning to you. Welcome to the last half-hour of DAYBREAK. From the Time Warner center in New York, I'm Carol Costello, along with Chad Myers.
"Now in the News."

George W. Bush takes the oath of office at noon today for his second term as president of the United States. His inaugural address will emphasize his vision of spreading freedom and democracy worldwide. The speech will be followed by the traditional parade and a series of inaugural balls.

The FBI has alerted Boston-area police to watch for four Chinese nationals described as possible terror suspects. The Massachusetts governor is calling a tip about an unspecified threat unsubstantiated and uncorroborated though.

Harvard's president, Lawrence Summer, says he's sorry for comments he made that may have discouraged talented women and girls. Last week, Summers said differences between the sexes could account for why fewer women had success in math and science careers.

Republicans in Washington State are still fuming over the loss -- over losing the race for governor by 129 votes. They'll try to convince a judge to set aside the election of Democratic Governor Christine Gregoire. Democrats will ask the judge to dismiss the GOP motion.

(WEATHER REPORT)

COSTELLO: The president's inaugural speech will not rouse Americans to stand and cheer. Those words come from the man himself. No, President Bush will speak for history's sake, not for applause.

Joining us live from Washington, Congresswoman Marsha Blackburn, a Republican from Tennessee, and Congressman Brad Sherman, a Democrat from California.

Welcome to you both.

REP. MARSHA BLACKBURN (R), TENNESSEE: Good morning.

COSTELLO: Good morning. Congressman Sherman, let's start with you. We have a few excerpts from the president's speech. I'll read one. The president will say, "The best hope for peace in our world is the expansion of freedom in all the world."

Congressman Sherman, in this time of preemptive strikes, what does that say to you?

REP. BRAD SHERMAN (D), CALIFORNIA: Well, our military has said we can't invade another country. So, I don't think we'll have anymore preemptive strikes. We all believe in freedom and democracy. But the question is: Will this president design a foreign policy that will keep Iran from having nuclear weapons without invading? Or will we continue, as we have for the last four years, to ignore that threat? Likewise, North Korea.

You know, if Iraq was the only national security problem we faced, which is what you'd think if you watched the news coverage, then we would be a lot more secure with Saddam Hussein gone. But Iran, North Korea, nuclear weapons, we can't invade. We need to use economic pressure. And so far, the administration has just swept it under the rug.

COSTELLO: Do you agree, Congresswoman Blackburn, that economic pressure is the answer, not military action?

BLACKBURN: You know, I think that we have a great team in place. And they look at a comprehensive policy. They take in so many different considerations when they make decisions about what we're going to do and how we're going to do.

One of the things that I fully believe the president and his administration believe -- and I know I certainly do -- and that is that freedom is something that every man, woman and child on the face of this Earth desires. And the work that we are doing in Afghanistan, that we are doing in Iraq, work that we are doing in other parts of the world, that our men and women in uniform are doing, is something that is helping to spread freedom, helping to spread that message of freedom, and helping to encourage the development of democracies.

COSTELLO: This inauguration is in part to honor the men and women fighting for freedom overseas. The inauguration is going to cost $40 million. Congressman Sherman, do you think that's excessive in this time of war?

SHERMAN: Well, I think we ought to have rules. First, the inaugural committee should be paying for the security instead of burdening Washington, D.C. and ultimately the nation's taxpayers. That's the way we've done it in the past.

Second, we ought to have all of the ethics rules that apply to every other contribution to a federal candidate apply to this. I've heard this inauguration referred to as an ethics-free zone. Keep in mind, that $40 million, you could say it's free to the taxpayer, but free is the most expensive word in the English language. The companies that are putting in money expect to be repaid many times over in the changes in our national policy. So, I would prefer to have stricter rules. And if that means worse parties, so be it.

COSTELLO: And, Congresswoman Blackburn, I want to get more along that theme. More than 100 corporations have given -- more than 100 corporations have given $100,000 to $250,000 apiece to gain access to the president. Should Americans worry about that? BLACKBURN: You know, I hope that the Democrats will continue to be concerned about fiscal security when we get down to legislative business in February. And I think it's important to note also that in '97 the Clinton inaugural was $30 million, and they didn't have many of the security concerns that we have this year.

Also, I think we need to note that the Clinton Library, $165 million, that is the most expensive presidential library ever.

So, we have people who are certainly participating in the inaugural. This is a great civics lesson for people in our country. It gives them the opportunity to watch America go through the process of how we elect our president, how he takes his oath of office, and have the American people celebrate their freedom and celebrate our form of government.

COSTELLO: Congresswoman Marsha Blackburn, a Republican from Tennessee. Congressman Brad Sherman, a Democrat from California. Thanks to you both for joining DAYBREAK this morning.

BLACKBURN: Thank you.

SHERMAN: Thank you.

COSTELLO: "AMERICAN MORNING's" Bill Hemmer and Soledad O'Brien made it through the tight security. They are ready for today's presidential inauguration. So, what's it like this morning in the nation's capital? I'll bet it's chilly. Bill, Soledad, are you there?

We're having technical problems. So, we'll try to get back to Bill and Soledad a little later on DAYBREAK so that they can tell you what the security is like and getting through the security and how long it took them. They'll also talk more about the cost of the inauguration, who's footing the bill and what do they really get in return? We'll find out upon the return of Ali Velshi.

And next month, President Bush is scheduled to visit Europe. Will his staunchest ally stick by him for four more years? We'll ask our correspondent in London.

You are watching DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: It's time for our market watch. Futures are in lower territory right now. The Dow is down 19 points, the Nasdaq is lower by 8.5, and the S&P 500 is down just 3.

Your news, money, weather and sports. It is 6:42 Eastern. Here's what's all new this morning.

The nation's capital on Inauguration Day is blanketed by new- fallen snow and unprecedented security. The swearing-in ceremony takes place at noon on Capitol Hill. Indonesia nearly doubles its death toll from last month's tsunamis to more than 166,000. Indonesia increased its toll by more than 70,000 people previously listed as missing.

In money news, the 64,000 pilots of bankrupt United Airlines will be taking a pay cut, almost 12 percent. That's if they approve a proposed concession package. Voting will run through the end of January.

In culture, say goodbye to Raymond and his family. After nine years, the sitcom "Everybody Loves Raymond" is calling it quits. The last taping is Friday. The sitcom ends its run on May 16.

And in sports, National Hockey League officials and representatives of the players' union get together today for a second round of talks. They're trying to save the season, half of which already has been missed.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you this morning.

We've been talking a lot about this, this morning. Private donors are paying more than 40 million bucks for the inaugural festivities in Washington. And companies have kicked in about, oh, 30 million of that. What does corporate America really get for that money, though?

DAYBREAK contributor Ali Velshi is here to tell us

Do they really get that much access?

ALI VELSHI, CNN DAYBREAK CONTRIBUTOR: I'm going to tell you exactly what they get. And while I'm doing that, I want you to work on your aghast look.

Estimates range right now, but as of Friday, we're looking at about $25 million in corporation donorship (ph). There's no legal limit on the amount of money that corporations can contribute to the inauguration. But the committee puts a limit of $250,000 on donors.

Now, I'll tell you in a minute that some people manage to get around that. As of Friday, more than 88 companies or trade associations had donated, 39 CEOs or other top executive had given money. Sixty-six of those entities had given more $100,000. And 44 of those entities had given more than -- or given $250,000, the maximum.

What do you get? For $100,000, you get to be called a sponsor of the inauguration. And for being a sponsor, you get some tickets to one of three dinners at which the president and vice president will make an appearance. Three dinners at three different locations, so you get tickets to one of them. You get tickets to all official inaugural events. You get four tickets to a youth concert, where Jenna and Barbara Bush will be. And you get your name on all sorts of printed material. For 250,000 K, you get to be an underwriter, which means you get all of the above, plus 20 tickets to those one of the three dinners, and two tickets to an exclusive lunch with the president and vice president; exclusive, because there are probably only, you know, under 50 of those kinds of donors. So, 100 people at that lunch. That actually is kind of exclusive.

Now, 250,000 is the maximum, as you know. But we've heard that there are companies giving more than 250,000.

COSTELLO: Oh, how so, Ali?

VELSHI: Because you get to give donations from different subsidiaries. So, for instance, we've got American Financial Group, which gave $250,000, and Carl Lindner, the chairman, gave $250,000. It's not illegal.

AmeriQuest Capital gave $250,000. And Argent Mortgage Company, a subsidiary, gave $250,000. We asked them about that. Their comment was, AmeriQuest does not comment on political contributions.

Marriott Hotels, Marriott International, 250,000. Marriott Vacation Club International, 250,000. And their subsidiary, Ritz Carlton, 250,000. That's the biggest one I found so far, 750,000.

COSTELLO: Wow!

VELSHI: And, of course, the parent company of this network, Time Warner, $250,000.

COSTELLO: Incredible! So, I guess you really do get access, especially at that private luncheon.

VELSHI: For 250,000, you get access.

COSTELLO: Yes.

VELSHI: If you just give me 250 bucks I'll take you for lunch.

COSTELLO: So, it's...

VELSHI: One on one.

COSTELLO: Mono e mono (ph).

VELSHI: Mono e mono (ph), that's it. Anything you want, ask. Just give me an hour, and all of the macaroni and cheese you can eat.

COSTELLO: Interesting, interesting, interesting. Thank you, Ali. We appreciate it.

VELSHI: All right.

COSTELLO: All right. Let's go back to Bill Hemmer and Soledad O'Brien. They are live in Washington, and we've got you this time.

Good morning.

BILL HEMMER, CNN ANCHOR: You do.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, good morning, Carol. Boy, it is early. But I've got to tell you, there are so many folks out here already. The security folks, the folks who are setting up the podium just behind us, of course, all of the network coverage, and cable coverage as well of this huge event, which is 60 days in the planning. A lot to talk about this morning, Carol.

HEMMER: Yes, we certainly do. We're kind of at the 50 yard line, Carol. Behind us is where the speech will take place around noon, a little more than five hours from now. You cannot get much closer than this, but so much planning you talk about into this, not just today, but yesterday and the day before. Trent Lott is in charge of that committee. He'll be among our many guests over the next three hours of this special edition of "AMERICAN MORNING."

We came down here to cover, what -- well, we got a little bit of a snowstorm yesterday, right?

O'BRIEN: Yes.

HEMMER: It feels like a football game today.

O'BRIEN: A little bit.

HEMMER: It's chilly in the nation's capital, but a lot of history today.

O'BRIEN: We've got to tell you, though, those B seats are literally almost the best seats in the house. If you were to jump from our platform -- which we're high up, so you don't want to do that -- you would land almost in the president's lap. We're going to show you...

COSTELLO: Oh.

O'BRIEN: Yes. We are going to show you the shots this morning of all of the beautiful, the preparations, and really the bird's-eye view that we have this morning all through "AMERICAN MORNING," which is coming up in just a few minutes.

COSTELLO: Well, it sounds terrific. We'll be there in 10 minutes. Thank you, Bill and Soledad.

Today's inauguration does raise a question: What will Europe's relationship be with this second Bush administration? Robin Oakley will have some reaction for you live from London.

(COMMERCIAL BREAK)

COSTELLO: President Bush enters his second term facing strained relationships with many traditional American allies. But fence- mending may be on the agenda. France's foreign minister is making conciliatory noises, while Britain and close Bush friend, Prime Minster Tony Blair, takes a tougher position on the Middle East.

Our European political editor, Robin Oakley, joins us live from London with more.

Good morning.

ROBIN OAKLEY, CNN EUROPEAN POLITICAL EDITOR: Hello, Carol.

Well, George Bush in his next four years has got some problems with Europe, that's for sure. A British Broadcasting Corporation poll across 22 countries showed that 58 percent believe that George Bush is going to have a negative effect on peace and security over the next four years.

And the figures in Europe were particularly depressing for Mr. Bush and his advisors. Sixty-four percent in Britain, the traditional ally, the biggest ally over Iraq, 64 percent saying they didn't agree with the idea that America would be a positive force in the world over the next four years. Seventy-five percent disagreed with that idea in France, 77 percent in Germany.

But it has to be said, they're not going to go on fighting the old battles over Iraq. People are saying George Bush is there for the next four years. We've got to do business wit this guy. Let's put the focus on the positive, as Michel Barnier, the French foreign minister, has been doing.

And the way in which they hope George Bush will respond in particular is with a real effort to get peace in the Middle East. They are looking to him to pressure Ariel Sharon and the Israeli government, because they believe the U.S. influence is crucial there, to help get peace with the Palestinians.

And if George Bush can make real progress in that direction, he'll meet much better relations in Europe over the period to come -- Carol.

COSTELLO: Having said all of that, President Bush is expected to visit Europe in February. What are other possible flashpoints or disagreements?

OAKLEY: A couple of obvious ones come up really. The first is the question of the European Union dropping its arms embargo on China. The U.S. administration is very much opposed to this. Of course, it has pledged to defend Taiwan against any pressures from the Chinese mainland. If it came to a fight, it wouldn't want to find itself facing weapons supplied by its NATO allies in Europe.

European Union countries are making it clear they're likely to lift that embargo within the next six months, even traditional allies like Britain and Holland, saying that, yes, it's time to stop treating China like a pariah state. And the White House isn't going to be pleased with the idea that they're going to impose a code of conduct on those arms sales.

The second issue of difference is probably Iran, because the European Union countries have been doing a deal with the leaders in Tehran. They've been holding out trade incentives and trying to get them to agree to dismantle any nuclear arms program. For the U.S., a lot of skepticism about that. They don't believe it's going to happen. And there is going to be a different approach with the U.S. looking for U.N. sanctions, possibly even military action over Iran, which would alienate Europe again -- Carol.

COSTELLO: Robin Oakley, live in London this morning. Thank you.

You are watching DAYBREAK for a Thursday morning.

(COMMERCIAL BREAK)

COSTELLO: Oh, a beautiful picture of Washington this morning.

And, Chad, you know, on the front page of "The Washington Post," there's a Miami police officer who volunteered to provide security, and he is making a snow angel.

CHAD MYERS, CNN METEOROLOGIST: Right.

COSTELLO: They don't see snow in Miami very often. So, he's thrilled with it.

MYERS: No, it's a sand angel down there. And it's not nearly as fun.

COSTELLO: No, it's not. But I'm glad he's providing such fine security.

MYERS: Well, that was yesterday. I'm sure he'll be up and about today.

COSTELLO: I'm sure. Also in "The Washington Post," the real stars of this inauguration: Barbara and Jenna Bush. Take a look at Jenna Bush on the cover of the style section in "The Washington Post." She was at this pre-inaugural party at a hotel in Washington, and everybody was just -- let me get this, there you go. Everybody was clamoring to get a look at her.

And I just want to read an excerpt. Jenna was ordering a vodka and tonic. She's 23 now. "Jenna waits her turn, giving her shining blond hair a toss. She leans in, gives the bartender a dazzling smile, takes a long pull through the straw of her drink. She's wearing jeans and heels and a filmy black top, and she's carrying a white furry wrap and a cell phone."

MYERS: What is that Dan Brown writing that? What is that?

COSTELLO: It's a funny article. Go online and read it at TheWashingtonPost.com.

"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 January 20, 2005 - 06:31   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Good morning to you. Welcome to the last half-hour of DAYBREAK. From the Time Warner center in New York, I'm Carol Costello, along with Chad Myers.
"Now in the News."

George W. Bush takes the oath of office at noon today for his second term as president of the United States. His inaugural address will emphasize his vision of spreading freedom and democracy worldwide. The speech will be followed by the traditional parade and a series of inaugural balls.

The FBI has alerted Boston-area police to watch for four Chinese nationals described as possible terror suspects. The Massachusetts governor is calling a tip about an unspecified threat unsubstantiated and uncorroborated though.

Harvard's president, Lawrence Summer, says he's sorry for comments he made that may have discouraged talented women and girls. Last week, Summers said differences between the sexes could account for why fewer women had success in math and science careers.

Republicans in Washington State are still fuming over the loss -- over losing the race for governor by 129 votes. They'll try to convince a judge to set aside the election of Democratic Governor Christine Gregoire. Democrats will ask the judge to dismiss the GOP motion.

(WEATHER REPORT)

COSTELLO: The president's inaugural speech will not rouse Americans to stand and cheer. Those words come from the man himself. No, President Bush will speak for history's sake, not for applause.

Joining us live from Washington, Congresswoman Marsha Blackburn, a Republican from Tennessee, and Congressman Brad Sherman, a Democrat from California.

Welcome to you both.

REP. MARSHA BLACKBURN (R), TENNESSEE: Good morning.

COSTELLO: Good morning. Congressman Sherman, let's start with you. We have a few excerpts from the president's speech. I'll read one. The president will say, "The best hope for peace in our world is the expansion of freedom in all the world."

Congressman Sherman, in this time of preemptive strikes, what does that say to you?

REP. BRAD SHERMAN (D), CALIFORNIA: Well, our military has said we can't invade another country. So, I don't think we'll have anymore preemptive strikes. We all believe in freedom and democracy. But the question is: Will this president design a foreign policy that will keep Iran from having nuclear weapons without invading? Or will we continue, as we have for the last four years, to ignore that threat? Likewise, North Korea.

You know, if Iraq was the only national security problem we faced, which is what you'd think if you watched the news coverage, then we would be a lot more secure with Saddam Hussein gone. But Iran, North Korea, nuclear weapons, we can't invade. We need to use economic pressure. And so far, the administration has just swept it under the rug.

COSTELLO: Do you agree, Congresswoman Blackburn, that economic pressure is the answer, not military action?

BLACKBURN: You know, I think that we have a great team in place. And they look at a comprehensive policy. They take in so many different considerations when they make decisions about what we're going to do and how we're going to do.

One of the things that I fully believe the president and his administration believe -- and I know I certainly do -- and that is that freedom is something that every man, woman and child on the face of this Earth desires. And the work that we are doing in Afghanistan, that we are doing in Iraq, work that we are doing in other parts of the world, that our men and women in uniform are doing, is something that is helping to spread freedom, helping to spread that message of freedom, and helping to encourage the development of democracies.

COSTELLO: This inauguration is in part to honor the men and women fighting for freedom overseas. The inauguration is going to cost $40 million. Congressman Sherman, do you think that's excessive in this time of war?

SHERMAN: Well, I think we ought to have rules. First, the inaugural committee should be paying for the security instead of burdening Washington, D.C. and ultimately the nation's taxpayers. That's the way we've done it in the past.

Second, we ought to have all of the ethics rules that apply to every other contribution to a federal candidate apply to this. I've heard this inauguration referred to as an ethics-free zone. Keep in mind, that $40 million, you could say it's free to the taxpayer, but free is the most expensive word in the English language. The companies that are putting in money expect to be repaid many times over in the changes in our national policy. So, I would prefer to have stricter rules. And if that means worse parties, so be it.

COSTELLO: And, Congresswoman Blackburn, I want to get more along that theme. More than 100 corporations have given -- more than 100 corporations have given $100,000 to $250,000 apiece to gain access to the president. Should Americans worry about that? BLACKBURN: You know, I hope that the Democrats will continue to be concerned about fiscal security when we get down to legislative business in February. And I think it's important to note also that in '97 the Clinton inaugural was $30 million, and they didn't have many of the security concerns that we have this year.

Also, I think we need to note that the Clinton Library, $165 million, that is the most expensive presidential library ever.

So, we have people who are certainly participating in the inaugural. This is a great civics lesson for people in our country. It gives them the opportunity to watch America go through the process of how we elect our president, how he takes his oath of office, and have the American people celebrate their freedom and celebrate our form of government.

COSTELLO: Congresswoman Marsha Blackburn, a Republican from Tennessee. Congressman Brad Sherman, a Democrat from California. Thanks to you both for joining DAYBREAK this morning.

BLACKBURN: Thank you.

SHERMAN: Thank you.

COSTELLO: "AMERICAN MORNING's" Bill Hemmer and Soledad O'Brien made it through the tight security. They are ready for today's presidential inauguration. So, what's it like this morning in the nation's capital? I'll bet it's chilly. Bill, Soledad, are you there?

We're having technical problems. So, we'll try to get back to Bill and Soledad a little later on DAYBREAK so that they can tell you what the security is like and getting through the security and how long it took them. They'll also talk more about the cost of the inauguration, who's footing the bill and what do they really get in return? We'll find out upon the return of Ali Velshi.

And next month, President Bush is scheduled to visit Europe. Will his staunchest ally stick by him for four more years? We'll ask our correspondent in London.

You are watching DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: It's time for our market watch. Futures are in lower territory right now. The Dow is down 19 points, the Nasdaq is lower by 8.5, and the S&P 500 is down just 3.

Your news, money, weather and sports. It is 6:42 Eastern. Here's what's all new this morning.

The nation's capital on Inauguration Day is blanketed by new- fallen snow and unprecedented security. The swearing-in ceremony takes place at noon on Capitol Hill. Indonesia nearly doubles its death toll from last month's tsunamis to more than 166,000. Indonesia increased its toll by more than 70,000 people previously listed as missing.

In money news, the 64,000 pilots of bankrupt United Airlines will be taking a pay cut, almost 12 percent. That's if they approve a proposed concession package. Voting will run through the end of January.

In culture, say goodbye to Raymond and his family. After nine years, the sitcom "Everybody Loves Raymond" is calling it quits. The last taping is Friday. The sitcom ends its run on May 16.

And in sports, National Hockey League officials and representatives of the players' union get together today for a second round of talks. They're trying to save the season, half of which already has been missed.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you this morning.

We've been talking a lot about this, this morning. Private donors are paying more than 40 million bucks for the inaugural festivities in Washington. And companies have kicked in about, oh, 30 million of that. What does corporate America really get for that money, though?

DAYBREAK contributor Ali Velshi is here to tell us

Do they really get that much access?

ALI VELSHI, CNN DAYBREAK CONTRIBUTOR: I'm going to tell you exactly what they get. And while I'm doing that, I want you to work on your aghast look.

Estimates range right now, but as of Friday, we're looking at about $25 million in corporation donorship (ph). There's no legal limit on the amount of money that corporations can contribute to the inauguration. But the committee puts a limit of $250,000 on donors.

Now, I'll tell you in a minute that some people manage to get around that. As of Friday, more than 88 companies or trade associations had donated, 39 CEOs or other top executive had given money. Sixty-six of those entities had given more $100,000. And 44 of those entities had given more than -- or given $250,000, the maximum.

What do you get? For $100,000, you get to be called a sponsor of the inauguration. And for being a sponsor, you get some tickets to one of three dinners at which the president and vice president will make an appearance. Three dinners at three different locations, so you get tickets to one of them. You get tickets to all official inaugural events. You get four tickets to a youth concert, where Jenna and Barbara Bush will be. And you get your name on all sorts of printed material. For 250,000 K, you get to be an underwriter, which means you get all of the above, plus 20 tickets to those one of the three dinners, and two tickets to an exclusive lunch with the president and vice president; exclusive, because there are probably only, you know, under 50 of those kinds of donors. So, 100 people at that lunch. That actually is kind of exclusive.

Now, 250,000 is the maximum, as you know. But we've heard that there are companies giving more than 250,000.

COSTELLO: Oh, how so, Ali?

VELSHI: Because you get to give donations from different subsidiaries. So, for instance, we've got American Financial Group, which gave $250,000, and Carl Lindner, the chairman, gave $250,000. It's not illegal.

AmeriQuest Capital gave $250,000. And Argent Mortgage Company, a subsidiary, gave $250,000. We asked them about that. Their comment was, AmeriQuest does not comment on political contributions.

Marriott Hotels, Marriott International, 250,000. Marriott Vacation Club International, 250,000. And their subsidiary, Ritz Carlton, 250,000. That's the biggest one I found so far, 750,000.

COSTELLO: Wow!

VELSHI: And, of course, the parent company of this network, Time Warner, $250,000.

COSTELLO: Incredible! So, I guess you really do get access, especially at that private luncheon.

VELSHI: For 250,000, you get access.

COSTELLO: Yes.

VELSHI: If you just give me 250 bucks I'll take you for lunch.

COSTELLO: So, it's...

VELSHI: One on one.

COSTELLO: Mono e mono (ph).

VELSHI: Mono e mono (ph), that's it. Anything you want, ask. Just give me an hour, and all of the macaroni and cheese you can eat.

COSTELLO: Interesting, interesting, interesting. Thank you, Ali. We appreciate it.

VELSHI: All right.

COSTELLO: All right. Let's go back to Bill Hemmer and Soledad O'Brien. They are live in Washington, and we've got you this time.

Good morning.

BILL HEMMER, CNN ANCHOR: You do.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, good morning, Carol. Boy, it is early. But I've got to tell you, there are so many folks out here already. The security folks, the folks who are setting up the podium just behind us, of course, all of the network coverage, and cable coverage as well of this huge event, which is 60 days in the planning. A lot to talk about this morning, Carol.

HEMMER: Yes, we certainly do. We're kind of at the 50 yard line, Carol. Behind us is where the speech will take place around noon, a little more than five hours from now. You cannot get much closer than this, but so much planning you talk about into this, not just today, but yesterday and the day before. Trent Lott is in charge of that committee. He'll be among our many guests over the next three hours of this special edition of "AMERICAN MORNING."

We came down here to cover, what -- well, we got a little bit of a snowstorm yesterday, right?

O'BRIEN: Yes.

HEMMER: It feels like a football game today.

O'BRIEN: A little bit.

HEMMER: It's chilly in the nation's capital, but a lot of history today.

O'BRIEN: We've got to tell you, though, those B seats are literally almost the best seats in the house. If you were to jump from our platform -- which we're high up, so you don't want to do that -- you would land almost in the president's lap. We're going to show you...

COSTELLO: Oh.

O'BRIEN: Yes. We are going to show you the shots this morning of all of the beautiful, the preparations, and really the bird's-eye view that we have this morning all through "AMERICAN MORNING," which is coming up in just a few minutes.

COSTELLO: Well, it sounds terrific. We'll be there in 10 minutes. Thank you, Bill and Soledad.

Today's inauguration does raise a question: What will Europe's relationship be with this second Bush administration? Robin Oakley will have some reaction for you live from London.

(COMMERCIAL BREAK)

COSTELLO: President Bush enters his second term facing strained relationships with many traditional American allies. But fence- mending may be on the agenda. France's foreign minister is making conciliatory noises, while Britain and close Bush friend, Prime Minster Tony Blair, takes a tougher position on the Middle East.

Our European political editor, Robin Oakley, joins us live from London with more.

Good morning.

ROBIN OAKLEY, CNN EUROPEAN POLITICAL EDITOR: Hello, Carol.

Well, George Bush in his next four years has got some problems with Europe, that's for sure. A British Broadcasting Corporation poll across 22 countries showed that 58 percent believe that George Bush is going to have a negative effect on peace and security over the next four years.

And the figures in Europe were particularly depressing for Mr. Bush and his advisors. Sixty-four percent in Britain, the traditional ally, the biggest ally over Iraq, 64 percent saying they didn't agree with the idea that America would be a positive force in the world over the next four years. Seventy-five percent disagreed with that idea in France, 77 percent in Germany.

But it has to be said, they're not going to go on fighting the old battles over Iraq. People are saying George Bush is there for the next four years. We've got to do business wit this guy. Let's put the focus on the positive, as Michel Barnier, the French foreign minister, has been doing.

And the way in which they hope George Bush will respond in particular is with a real effort to get peace in the Middle East. They are looking to him to pressure Ariel Sharon and the Israeli government, because they believe the U.S. influence is crucial there, to help get peace with the Palestinians.

And if George Bush can make real progress in that direction, he'll meet much better relations in Europe over the period to come -- Carol.

COSTELLO: Having said all of that, President Bush is expected to visit Europe in February. What are other possible flashpoints or disagreements?

OAKLEY: A couple of obvious ones come up really. The first is the question of the European Union dropping its arms embargo on China. The U.S. administration is very much opposed to this. Of course, it has pledged to defend Taiwan against any pressures from the Chinese mainland. If it came to a fight, it wouldn't want to find itself facing weapons supplied by its NATO allies in Europe.

European Union countries are making it clear they're likely to lift that embargo within the next six months, even traditional allies like Britain and Holland, saying that, yes, it's time to stop treating China like a pariah state. And the White House isn't going to be pleased with the idea that they're going to impose a code of conduct on those arms sales.

The second issue of difference is probably Iran, because the European Union countries have been doing a deal with the leaders in Tehran. They've been holding out trade incentives and trying to get them to agree to dismantle any nuclear arms program. For the U.S., a lot of skepticism about that. They don't believe it's going to happen. And there is going to be a different approach with the U.S. looking for U.N. sanctions, possibly even military action over Iran, which would alienate Europe again -- Carol.

COSTELLO: Robin Oakley, live in London this morning. Thank you.

You are watching DAYBREAK for a Thursday morning.

(COMMERCIAL BREAK)

COSTELLO: Oh, a beautiful picture of Washington this morning.

And, Chad, you know, on the front page of "The Washington Post," there's a Miami police officer who volunteered to provide security, and he is making a snow angel.

CHAD MYERS, CNN METEOROLOGIST: Right.

COSTELLO: They don't see snow in Miami very often. So, he's thrilled with it.

MYERS: No, it's a sand angel down there. And it's not nearly as fun.

COSTELLO: No, it's not. But I'm glad he's providing such fine security.

MYERS: Well, that was yesterday. I'm sure he'll be up and about today.

COSTELLO: I'm sure. Also in "The Washington Post," the real stars of this inauguration: Barbara and Jenna Bush. Take a look at Jenna Bush on the cover of the style section in "The Washington Post." She was at this pre-inaugural party at a hotel in Washington, and everybody was just -- let me get this, there you go. Everybody was clamoring to get a look at her.

And I just want to read an excerpt. Jenna was ordering a vodka and tonic. She's 23 now. "Jenna waits her turn, giving her shining blond hair a toss. She leans in, gives the bartender a dazzling smile, takes a long pull through the straw of her drink. She's wearing jeans and heels and a filmy black top, and she's carrying a white furry wrap and a cell phone."

MYERS: What is that Dan Brown writing that? What is that?

COSTELLO: It's a funny article. Go online and read it at TheWashingtonPost.com.

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