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CNN Live At Daybreak

Iraq War Costs; 'Business Buzz'; Weight-Loss Surgeries; Missile Threat

Aired January 26, 2005 - 06:28   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: President Bush wants 80 billion more of your tax dollars. Most of that money would go for the war in Iraq, which is already costing American taxpayers some $4.3 billion a month.
Live to Washington and CNN radio correspondent Dick Uliano.

Good morning -- Dick.

DICK ULIANO, CNN RADIO: Good morning to you, Carol.

COSTELLO: Is it likely the president will get his wish?

ULIANO: Absolutely it's likely the president will get what he's asking for when it comes to money for the wars in Iraq and Afghanistan. For example, the House Democrat leader, Nancy Pelosi, said it is the highest responsibility of the Congress to provide money for the troops when they need it. 0 Now, this $80 billion figure, which the White House says the president will seek for the war in Iraq, would bring the expected federal budget deficit this year to $427 billion. That's the highest ever. The highest before that was last year at $412 billion -- Carol.

COSTELLO: I know. The numbers you're tossing around are just mind-boggling. Isn't it the president's wish, though, to lessen the budget deficit? Wasn't that one of his promises?

ULIANO: Yes, Carol. And the White House continues to say that plans are still in place to cut the budget deficit in half over the next five years by curbing spending and cutting taxes to promote economic growth.

And if people don't know what the budget deficit is or if it's too early in the morning to grasp this, it is that the government plans to spend $427 billion more this year than it takes in, in taxes and fees and other revenue.

COSTELLO: Oh, you put it simply for us, and we appreciate that. Dick Uliano reporting live from Washington this morning. Thank you.

Military families nervously watch the news for any word of their loved ones serving in Iraq. This week, the anticipation is even greater with violence expected ahead of the Iraqi elections.

CNN's Bill Hemmer joins us now to tell us about a family he'll talk to on "AMERICAN MORNING." Good morning -- Bill.

BILL HEMMER, CNN ANCHOR: Hey, Carol, good morning to you. We are counting down to the elections. It is Sunday now. And the next few days are full of anxiety, not just in Iraq, but also for so many in this country.

We'll talk to one U.S. soldier's wife and father. His father served in Vietnam, lost a brother in that war. What are his worries for Sunday? And how does the wife handle news of violence every day in Iraq? And how does she explain it to her three young children about where their father is and what he is doing? We'll talk to the family as part of our broadcast this morning.

See you at the top of the hour at 7:00 a.m. Eastern Time.

COSTELLO: We will indeed. Thank you, Bill.

HEMMER: All right.

COSTELLO: Another columnist is apparently on the government payroll; this time for defending President Bush's $300 million marriage initiative. Syndicated columnist Maggie Gallagher wrote strongly about how the Bush initiative would emphasize the importance of marriage to poor couples and teenagers. What she didn't say is that she had a $21,500 federal contract to do that.

At first, Gallagher claimed it never occurred to her to disclose the information. And then she issued a statement saying -- and I quote: "I should have disclosed a government contract when I later wrote about the Bush marriage initiative. I would have if I had remembered it. My apologies to my readers."

It's time to check our DAYBREAK legal briefs.

A defrocked priest from the Boston Archdiocese is standing trial on rape charges. Seventy-nine-year-old Paul Shanley was accused of sexually abusing boys for 10 years. His accuser in this case is expected to take the stand today. Prosecutors contend Shanley told the boy that no one would believe him if he told authorities.

When Michael Jackson goes on trial, prosecutors want to present erotic materials as evidence. The books, videos and magazines were seized during searches at the Neverland ranch in November of 2003. Other materials were part of a similar case against Jackson in 1993. Jackson's child molestation trial is expected to begin on Monday.

Prosecutors want to meet with Bill Cosby as part of their investigation into an allegation against him. Investigators have talked to the woman who claims Cosby fondled her a year ago. They're also talking to other potential witnesses in the case before deciding whether to file charges.

And remember the fight for control between VHS and beta? Well, the courts sure do. We'll see how that old feud is fueling a new courtroom battle against technology. And reports of his death were greatly exaggerated. We'll hear the story of a man who is probably glad they got it dead wrong.

Here's a look at what else is making news this Wednesday morning.

(COMMERCIAL BREAK)

COSTELLO: It's time now for a little "Business Buzz." It's not unusual for musicians to speak out against file-sharing. But now stars such as Tom Jones are taking their case to the Supreme Court.

Carrie Lee has more from the Nasdaq Marketsite.

Good morning.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Thank you, Carol.

Tom Jones and a lot of others. According to reports, music industry professionals have filed briefs with the Supreme Court asking to have a controversial Internet file-sharing decision overturned.

Now, the court is scheduled in March to hear this case. It's record labels and movie studios versus file-sharing companies Grokster and Morpheus. The lower courts found that users of their systems were liable for copyright infringement, but the owners of the systems were not.

So, among those who are filing briefs now: Don Henley of the Eagles, the Dixie Chicks, Tom Jones, Bonnie Raitt, Sheryl Crow, Stevie Nicks and Beach Boys founder Brian Wilson.

File-sharing services say overturning the case would stifle innovation. And they point to the 1984 Betamax ruling, when the Supreme Court said VCRs were not liable for copyright infringement and that decision ultimately led the way to services we have today, such as TiVo and iPod.

So, Carol, it will be interesting to see how this all turns out.

A quick check on futures. Things are looking good for this morning. It looks like we could see the buying that we saw yesterday continue today. Texas Instrument shares were actually higher last night. They did beat the Street on profits, although year-over-year profits did fall a bit. The chip giant is in focus today.

Back to you.

COSTELLO: Carrie Lee live at the Nasdaq Marketsite. Thank you.

Talk about an extreme makeover. For those who need to lose a lot of extra pounds, weight-loss surgery is one increasingly popular option. But how do you know if such a serious move is right for you?

Registered dietitian Lisa Drayer is here with some answers in your continuing series on losing weight. LISA DRAYER, REGISTERED DIETITIAN: Yes, that's right. And if you are severely overweight, then weight-loss surgery may be an option to consider. Also, several failed attempts at weight loss from diet, exercise, also medication.

So, for example, someone with a body mass index at or above 40, this might be someone who is 5 foot 4 and weights 235 pounds, that's about 100 pounds overweight. Or someone with a BMI of 35 or above, but someone who also has existing medical conditions like Type 2 diabetes, sleep apnea or heart disease.

And the two most commonly performed procedures today include gastric bypass and gastric banding.

Gastric bypass restricts food intake and interrupts the digestive process. So, for example, a large portion of the stomach, as you can see, is closed off with staples, and a small portion is left on top to hold any food that comes in. So, this restricts the quantity of food that can be consumed.

Also, the small intestine is cut, and then the lower portion is reattached to the smaller portion of the stomach. So, food will bypass part of the small intestine. This results in malabsorption of nutrients and calories.

Gastric banding simply restricts the amount of food that can be consumed at any one time. So, a small section of the stomach is portioned off. And, as you see, there's a small pouch there on the top. It's about the size of an egg. So, people tend to feel full pretty quickly. And the device that's used to section off the stomach is this...

COSTELLO: Oh, you have one.

DRAYER: Yes, this is the lap band. It's courtesy of Dr. Pomp (ph) and his team at New York Presbyterian Hospital. So, this band will tighten around the stomach. What happens is this port lies underneath the skin, and saline is injected in this port, and this inflates the band around stomach and tightens it.

And people may go for several adjustments until the right fit is attained. It's also reversible.

COSTELLO: Interesting.

DRAYER: So, the band can be removed.

COSTELLO: Well, see, banding seems safer to me somehow and easier, although I could be completely wrong. But which is more effective? And how do you choose which one is right for you?

DRAYER: Right. A couple of things to consider. Generally, banding results in less weight loss, but the complications are not as serious. So, for example, with the band, we're talking about 30 to 40 percent of excess weight is lost over two years, about one to two pounds per week after the first three weeks. However, it is easy to cheat with the band. So, if you're consuming high-calorie foods in small portions throughout the day, this will add up. So that's something to keep in mind. It definitely requires behavior medication.

However, you might feel some symptoms like vomiting if the band is stretched by too much food. If food is not chewed well enough or you're eating large portions of food, the band can also dislodge or erode into the stomach wall. And this could be...

COSTELLO: Oh.

DRAYER: Yes. In about 8 percent of cases this might happen. So, it definitely is associated with complications.

Gastric bypass is associated with greater weight loss. So, we're talking about 60 to 80 percent of excess weight is lost and maintained five years later. So a greater rate of weight loss.

However the complications are more serious. So, for example, stomach contents can leak. This can lead to a condition known as paratenitus (ph). Blood clots may occur.

There's also the potential for nutritional deficiencies, because the area where vitamins and minerals, like iron and calcium and Vitamin B 12 are absorbed, is bypassed. So, you're not getting the calories necessarily, but you also may miss some of these vitamins. You need to take a supplement.

Also, a syndrome known as dumping syndrome can occur, especially with concentrated sweets. So, if the food moves too rapidly through the small intestine, you may feel symptoms of nausea, vomiting. Also, fried foods can cause sweatiness or dizziness.

So definitely some symptoms can come into account.

COSTELLO: It sounds completely awful.

DRAYER: Yes, definitely both are serious procedures, and definitely you need to maintain dietary changes. That's still very important with these, too.

COSTELLO: And the procedures have worked for a lot of people.

DRAYER: Absolutely. It's a very effective method of weight loss for individuals who are seriously overweight.

COSTELLO: Thank you, Lisa, for educating us this morning. We appreciate it.

DRAYER: Thanks.

COSTELLO: Coming up on DAYBREAK, the threat posed by shoulder- fired missiles. The harrowing story of one commercial airliner that barely escaped being hit by one. We'll also look at what's holding back U.S. companies from instating devices that could protect airliners from that threat.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports. It is 6:44 Eastern. Here's what's all new this morning.

Condoleezza Rice is expected to be confirmed by the Senate today when it votes on her nomination as secretary of state. In just under three hours from now, the Senate Judiciary Committee is expected to vote on the nomination of Alberto Gonzales as attorney general.

The two crewmembers of the International Space Station have just about another hour of work before they head back inside. One of the things they've been doing is installing an experimental robotic arm.

In money news, a class-action suit claiming McDonald's made children fat will be allowed to go forward, at least in part. An appeals court reinstated only the deceptive advertising part of the suit against the fast food giant. The rest of the suit was thrown out two years ago.

In culture, Christie's New York spring sale of old master pictures takes place today at Rockefeller Center. The auction house expects $20 million in sales.

And in sports, Andy Roddick advances. The American has reached the semifinals of the Australian Open this morning. His Russian opponent quit during their quarterfinal match because of breathing problems.

(WEATHER REPORT)

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

Defending America this Wednesday. Shoulder-launched missiles in the hands of terrorists are a known threat to commercial airlines. The question is: How big a threat is it? And what can be done?

CNN's Frank Buckley takes a look.

FRANK BUCKLEY, CNN NATIONAL CORRESPONDENT (voice-over): In Tel Aviv, pilot Rafi Marek is preparing to fly. It's been two years since his near miss with disaster.

It was November, 2002, Marek was at the controls of an Arkia Airlines jet with 271 people aboard as he took off from Mombassa, Kenya.

RAFI MAREK, ARKIA FLIGHT 582 PILOT: Everything was normal until just a few seconds after takeoff when we reached an altitude of about 500 feet and when we heard a bang.

BUCKLEY: Some of the passengers heard it too. The sound? From two shoulder-launched missiles that just missed the plane.

MAREK: I just looked to the left, and I saw two stripes of smoke just coming up over the left wing.

BUCKLEY: On the ground, authorities found the launchers but not the terrorists who fired them. In the air, most of the passengers were unaware of the attack, except for a few who wondered about the bang and the smoke.

MAREK: They asked what it was. We tried to, you know, to avoid these direct questions. And we told them that everything is fine. And we didn't want to create any kind of panic, and there an uncertainty of things.

BUCKLEY: They weren't sure if the Boeing 757 had escaped unharmed. But, as Marek and the crew entered Israeli airspace, they had to inform the passengers so they wouldn't be alarmed when they saw this: an Israeli military jet which came to inspect the Arkia airliner for damage.

MAREK: It flew around us. It took a look. We took our landing gear down. They checked it. Everything looks fine, and he confirmed that everything is normal.

BUCKLEY: As the jet approached for landing, passengers broke out in song, celebrating their narrow escape, their pilot relieved when he finally got his aircraft back on solid ground.

MAREK: When you think of what might have happened, you feel that you were lucky.

BUCKLEY: The passengers also realized how lucky they'd been this time.

MAREK: The frightening thing is that you can't know where will it hit next time? It could be almost anywhere.

BUCKLEY (on camera): Which is exactly the concern of security officials everywhere. Hundreds of thousands of shoulder-launched missiles have been produced since the 1970s. Thousands of them are said to be unaccounted for, and some of them are believed to be in the hands of terrorists.

(voice-over): This, an al Qaeda training video showing how to use shoulder-launched missiles. This video believed to be of an actual attack in November of 2003. It was shot by insurgents as they fired on and hit a DHL cargo plane in Baghdad. The pilots somehow managed to land the badly damaged aircraft safely.

But that was Baghdad, a war zone. Could this happen in the U.S.?

The Rand Corporation's Jack Riley says the potential threat is real.

JACK RILEY, RAND: It seems highly likely that if they have their hands on this kind of weapon that they at least have to be thinking about how to commit this kind of attack.

BUCKLEY: But what to do about it? Military aircraft employ countermeasures, like flares, to divert heat-seeking missiles. Air Force One is believed to have countermeasures aboard.

But commercial aircraft, it's no secret, are unprotected. And California Senator Barbara Boxer co-sponsored legislation to require the federal government to install missile defenses on all 6,800 commercial airliners in the U.S.

SEN. BARBARA BOXER (D), CALIFORNIA: If you can protect Air Force One, which I'm very supportive of, then you can protect a plane that my constituents fly on every day.

BUCKLEY: The Department of Homeland Security says while there is no specific credible intelligence about shoulder-launched missile attacks being planned against U.S. commercial aircraft, the department is actively pursuing countermeasures.

But a just-released study by the Rand Corporation concludes that a decision to install countermeasure systems should be postponed until the costs -- an estimated $11 billion just to install them -- can be reduced and the systems made more reliable.

RILEY: The practical reality is, is the dollars that we have available to protect ourselves against the whole range of threats and the whole range of potential attacks, not just on aircraft but every other kind of attack you can imagine, is limited. So, we need to make the best possible use of those dollars that we can. What we're saying at this point is the technology is not there. We don't know enough about the reliability, and the cost seems relatively high.

BUCKLEY: Many pilots of commercial aircraft, who have 1,001 things to think about between liftoff and landing, say for them shoulder-launched missiles are low on the checklist.

UNIDENTIFIED MALE: Where this falls in that pantheon of issues to be concerned about is well near the bottom. This is not of great concern to pilots.

BUCKLEY: But don't tell this pilot, who actually experienced an attack, that countermeasures are too costly.

MAREK: God forbid something does happen, what would you say afterwards? That well now it is worth the expense? I think everything that can be done should be done.

BUCKLEY: Frank Buckley, CNN, Los Angeles.

(END VIDEOTAPE)

COSTELLO: So, your safety is in their hands every day. What do other airline pilots think about anti-missile systems? CNN's Soledad O'Brien will have that story on "AMERICAN MORNING." She joins us now.

Good morning.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Carol, good morning to you. You're absolutely right. It's on our "CNN Security Watch" this morning, that new report out on the threat that's posed by shoulder- fired missiles. Of course, the question is, if one hit a U.S. airliner it could cripple the industry. But the study is actually recommending against equipping commercial planes with a missile defense system. They say it's too expensive.

Can something else, then, be done to help save life? We talk to the president of the Airline Pilots Association. His name is Captain Dwaine Worth (ph). We'll chat with him and get his opinion on that ahead this morning -- Carol.

COSTELLO: We'll be there. Thank you, Soledad.

It's time now for a look at the latest in homeland security. You've heard of an express lane at the toll booth. How about one at the border? Homeland Security Undersecretary Asa Hutchinson says the U.S. will test radio frequency technology on a few crossings on the Mexican and Canadian borders. The move is aimed at getting people through faster without compromising security. The technology can quickly ID registered border crossers and weed out potential terrorists and other criminals.

It's a false alarm. The FBI says a feared terror threat against Boston has absolutely no credibility. The agency had told police to look out for some Chinese nationals in connection with an alleged terror plot. But it now says the threat stemmed from a story made up by a suspected smuggler. He allegedly was trying to get back at the people who didn't pay him for smuggling some Chinese immigrants into the United States.

Homeland Security chief Tom Ridge is about to leave office. But today, he is unveiling a guide for homeowners in case of a big emergency. Some of it's pretty standard stuff like keeping peanut butter and crackers in the emergency kit. The National Association of Realtors will be handing out the guide to homebuyers.

And this reminder: But sure to stay tuned to CNN day and night for the most reliable news about your security.

This is DAYBREAK for a Wednesday.

(COMMERCIAL BREAK)

COSTELLO: A beautiful shot of Miami this morning where it's a balmy 75 degrees. Doesn't that sound nice? These pictures are courtesy of Miami station WPLG.

CHAD MYERS, CNN METEOROLOGIST: That will be the high today, 75. How's that?

COSTELLO: Oh, it's not 75 now?

MYERS: No, it's 52 right now.

COSTELLO: Oh, well.

MYERS: But that's OK. Hey, you know what? That's 50 degrees warmer than in some spots in the country. COSTELLO: You got that right.

MYERS: Just taking a look up at Scayne (ph) Bay, nice shot there from WPLG. If they would pan off to the other side, you might be able to see some of the cruise ships, people getting in and off, getting off five pounds heavier than they were when they got on, of course.

COSTELLO: You're not kidding.

MYERS: Yes.

COSTELLO: Hey, Chad, here's a case of really getting it wrong. A medical examine in North Carolina got a shock when the corpse on his examining table began to breathe! Larry Green (ph) had been pronounced dead at the scene of a traffic accident two hours earlier, but then the coroner saw him take a shallow breath during the not-so- post-mortem. Green (ph) was moved to the hospital, where he is now in critical condition. That's a crazy story.

MYERS: That is. You don't know how long he was breathing and how much -- you know, how much brain function he had the entire time there.

COSTELLO: Well, it's a good thing he took that shallow breath.

MYERS: Yes.

COSTELLO: You know, I'm perusing the headlines this morning, and I found an interesting...

MYERS: Yes (UNINTELLIGIBLE).

COSTELLO: Yes. I have an interesting story in "The New York Times" in the sports section actually. It's about the great linebacker, the Giant Harry Carson. Remember him from years ago?

MYERS: Sorry, no.

COSTELLO: See, he isn't so famous like the others. But he is the first candidate to request that his name be removed from consideration for induction into the Pro-Football Hall of Fame in Canton, Ohio.

MYERS: Why?

COSTELLO: Because he's been on the ballot for five years running. They haven't chosen him, even though he has a greater record than two of the shoe-ins this year, which would be Dan Marino and Steve Young. But, you know, they're much more popular, and they'll probably get right in, whereas great players like Harry Carson who aren't well-known don't get in. He just doesn't want to bother with it anymore.

MYERS: What was his position?

COSTELLO: Linebacker. MYERS: Oh. Well, that's sometimes a high-profile position at times.

COSTELLO: At times, but, you know, he has a better record than Dan Marino or Steve Young, you know, if you compare the two. And he says he's just sick of waiting and why should he go through all of that trauma.

MYERS: Yes. Well, how many touchdowns did he throw? You know, that's the guy who gets the glory, you know?

COSTELLO: Well, but is that right?

MYERS: No, of course.

COSTELLO: Because...

MYERS: No, no, no, of course not.

COSTELLO: Exactly. So that's the controversy that will go on for some time. We'll keep you posted on that one.

That does it for us. I'm Carol Costello along with Chad Myers. "AMERICAN MORNING" starts right now.

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Aired January 26, 2005 - 06:28   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: President Bush wants 80 billion more of your tax dollars. Most of that money would go for the war in Iraq, which is already costing American taxpayers some $4.3 billion a month.
Live to Washington and CNN radio correspondent Dick Uliano.

Good morning -- Dick.

DICK ULIANO, CNN RADIO: Good morning to you, Carol.

COSTELLO: Is it likely the president will get his wish?

ULIANO: Absolutely it's likely the president will get what he's asking for when it comes to money for the wars in Iraq and Afghanistan. For example, the House Democrat leader, Nancy Pelosi, said it is the highest responsibility of the Congress to provide money for the troops when they need it. 0 Now, this $80 billion figure, which the White House says the president will seek for the war in Iraq, would bring the expected federal budget deficit this year to $427 billion. That's the highest ever. The highest before that was last year at $412 billion -- Carol.

COSTELLO: I know. The numbers you're tossing around are just mind-boggling. Isn't it the president's wish, though, to lessen the budget deficit? Wasn't that one of his promises?

ULIANO: Yes, Carol. And the White House continues to say that plans are still in place to cut the budget deficit in half over the next five years by curbing spending and cutting taxes to promote economic growth.

And if people don't know what the budget deficit is or if it's too early in the morning to grasp this, it is that the government plans to spend $427 billion more this year than it takes in, in taxes and fees and other revenue.

COSTELLO: Oh, you put it simply for us, and we appreciate that. Dick Uliano reporting live from Washington this morning. Thank you.

Military families nervously watch the news for any word of their loved ones serving in Iraq. This week, the anticipation is even greater with violence expected ahead of the Iraqi elections.

CNN's Bill Hemmer joins us now to tell us about a family he'll talk to on "AMERICAN MORNING." Good morning -- Bill.

BILL HEMMER, CNN ANCHOR: Hey, Carol, good morning to you. We are counting down to the elections. It is Sunday now. And the next few days are full of anxiety, not just in Iraq, but also for so many in this country.

We'll talk to one U.S. soldier's wife and father. His father served in Vietnam, lost a brother in that war. What are his worries for Sunday? And how does the wife handle news of violence every day in Iraq? And how does she explain it to her three young children about where their father is and what he is doing? We'll talk to the family as part of our broadcast this morning.

See you at the top of the hour at 7:00 a.m. Eastern Time.

COSTELLO: We will indeed. Thank you, Bill.

HEMMER: All right.

COSTELLO: Another columnist is apparently on the government payroll; this time for defending President Bush's $300 million marriage initiative. Syndicated columnist Maggie Gallagher wrote strongly about how the Bush initiative would emphasize the importance of marriage to poor couples and teenagers. What she didn't say is that she had a $21,500 federal contract to do that.

At first, Gallagher claimed it never occurred to her to disclose the information. And then she issued a statement saying -- and I quote: "I should have disclosed a government contract when I later wrote about the Bush marriage initiative. I would have if I had remembered it. My apologies to my readers."

It's time to check our DAYBREAK legal briefs.

A defrocked priest from the Boston Archdiocese is standing trial on rape charges. Seventy-nine-year-old Paul Shanley was accused of sexually abusing boys for 10 years. His accuser in this case is expected to take the stand today. Prosecutors contend Shanley told the boy that no one would believe him if he told authorities.

When Michael Jackson goes on trial, prosecutors want to present erotic materials as evidence. The books, videos and magazines were seized during searches at the Neverland ranch in November of 2003. Other materials were part of a similar case against Jackson in 1993. Jackson's child molestation trial is expected to begin on Monday.

Prosecutors want to meet with Bill Cosby as part of their investigation into an allegation against him. Investigators have talked to the woman who claims Cosby fondled her a year ago. They're also talking to other potential witnesses in the case before deciding whether to file charges.

And remember the fight for control between VHS and beta? Well, the courts sure do. We'll see how that old feud is fueling a new courtroom battle against technology. And reports of his death were greatly exaggerated. We'll hear the story of a man who is probably glad they got it dead wrong.

Here's a look at what else is making news this Wednesday morning.

(COMMERCIAL BREAK)

COSTELLO: It's time now for a little "Business Buzz." It's not unusual for musicians to speak out against file-sharing. But now stars such as Tom Jones are taking their case to the Supreme Court.

Carrie Lee has more from the Nasdaq Marketsite.

Good morning.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Thank you, Carol.

Tom Jones and a lot of others. According to reports, music industry professionals have filed briefs with the Supreme Court asking to have a controversial Internet file-sharing decision overturned.

Now, the court is scheduled in March to hear this case. It's record labels and movie studios versus file-sharing companies Grokster and Morpheus. The lower courts found that users of their systems were liable for copyright infringement, but the owners of the systems were not.

So, among those who are filing briefs now: Don Henley of the Eagles, the Dixie Chicks, Tom Jones, Bonnie Raitt, Sheryl Crow, Stevie Nicks and Beach Boys founder Brian Wilson.

File-sharing services say overturning the case would stifle innovation. And they point to the 1984 Betamax ruling, when the Supreme Court said VCRs were not liable for copyright infringement and that decision ultimately led the way to services we have today, such as TiVo and iPod.

So, Carol, it will be interesting to see how this all turns out.

A quick check on futures. Things are looking good for this morning. It looks like we could see the buying that we saw yesterday continue today. Texas Instrument shares were actually higher last night. They did beat the Street on profits, although year-over-year profits did fall a bit. The chip giant is in focus today.

Back to you.

COSTELLO: Carrie Lee live at the Nasdaq Marketsite. Thank you.

Talk about an extreme makeover. For those who need to lose a lot of extra pounds, weight-loss surgery is one increasingly popular option. But how do you know if such a serious move is right for you?

Registered dietitian Lisa Drayer is here with some answers in your continuing series on losing weight. LISA DRAYER, REGISTERED DIETITIAN: Yes, that's right. And if you are severely overweight, then weight-loss surgery may be an option to consider. Also, several failed attempts at weight loss from diet, exercise, also medication.

So, for example, someone with a body mass index at or above 40, this might be someone who is 5 foot 4 and weights 235 pounds, that's about 100 pounds overweight. Or someone with a BMI of 35 or above, but someone who also has existing medical conditions like Type 2 diabetes, sleep apnea or heart disease.

And the two most commonly performed procedures today include gastric bypass and gastric banding.

Gastric bypass restricts food intake and interrupts the digestive process. So, for example, a large portion of the stomach, as you can see, is closed off with staples, and a small portion is left on top to hold any food that comes in. So, this restricts the quantity of food that can be consumed.

Also, the small intestine is cut, and then the lower portion is reattached to the smaller portion of the stomach. So, food will bypass part of the small intestine. This results in malabsorption of nutrients and calories.

Gastric banding simply restricts the amount of food that can be consumed at any one time. So, a small section of the stomach is portioned off. And, as you see, there's a small pouch there on the top. It's about the size of an egg. So, people tend to feel full pretty quickly. And the device that's used to section off the stomach is this...

COSTELLO: Oh, you have one.

DRAYER: Yes, this is the lap band. It's courtesy of Dr. Pomp (ph) and his team at New York Presbyterian Hospital. So, this band will tighten around the stomach. What happens is this port lies underneath the skin, and saline is injected in this port, and this inflates the band around stomach and tightens it.

And people may go for several adjustments until the right fit is attained. It's also reversible.

COSTELLO: Interesting.

DRAYER: So, the band can be removed.

COSTELLO: Well, see, banding seems safer to me somehow and easier, although I could be completely wrong. But which is more effective? And how do you choose which one is right for you?

DRAYER: Right. A couple of things to consider. Generally, banding results in less weight loss, but the complications are not as serious. So, for example, with the band, we're talking about 30 to 40 percent of excess weight is lost over two years, about one to two pounds per week after the first three weeks. However, it is easy to cheat with the band. So, if you're consuming high-calorie foods in small portions throughout the day, this will add up. So that's something to keep in mind. It definitely requires behavior medication.

However, you might feel some symptoms like vomiting if the band is stretched by too much food. If food is not chewed well enough or you're eating large portions of food, the band can also dislodge or erode into the stomach wall. And this could be...

COSTELLO: Oh.

DRAYER: Yes. In about 8 percent of cases this might happen. So, it definitely is associated with complications.

Gastric bypass is associated with greater weight loss. So, we're talking about 60 to 80 percent of excess weight is lost and maintained five years later. So a greater rate of weight loss.

However the complications are more serious. So, for example, stomach contents can leak. This can lead to a condition known as paratenitus (ph). Blood clots may occur.

There's also the potential for nutritional deficiencies, because the area where vitamins and minerals, like iron and calcium and Vitamin B 12 are absorbed, is bypassed. So, you're not getting the calories necessarily, but you also may miss some of these vitamins. You need to take a supplement.

Also, a syndrome known as dumping syndrome can occur, especially with concentrated sweets. So, if the food moves too rapidly through the small intestine, you may feel symptoms of nausea, vomiting. Also, fried foods can cause sweatiness or dizziness.

So definitely some symptoms can come into account.

COSTELLO: It sounds completely awful.

DRAYER: Yes, definitely both are serious procedures, and definitely you need to maintain dietary changes. That's still very important with these, too.

COSTELLO: And the procedures have worked for a lot of people.

DRAYER: Absolutely. It's a very effective method of weight loss for individuals who are seriously overweight.

COSTELLO: Thank you, Lisa, for educating us this morning. We appreciate it.

DRAYER: Thanks.

COSTELLO: Coming up on DAYBREAK, the threat posed by shoulder- fired missiles. The harrowing story of one commercial airliner that barely escaped being hit by one. We'll also look at what's holding back U.S. companies from instating devices that could protect airliners from that threat.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports. It is 6:44 Eastern. Here's what's all new this morning.

Condoleezza Rice is expected to be confirmed by the Senate today when it votes on her nomination as secretary of state. In just under three hours from now, the Senate Judiciary Committee is expected to vote on the nomination of Alberto Gonzales as attorney general.

The two crewmembers of the International Space Station have just about another hour of work before they head back inside. One of the things they've been doing is installing an experimental robotic arm.

In money news, a class-action suit claiming McDonald's made children fat will be allowed to go forward, at least in part. An appeals court reinstated only the deceptive advertising part of the suit against the fast food giant. The rest of the suit was thrown out two years ago.

In culture, Christie's New York spring sale of old master pictures takes place today at Rockefeller Center. The auction house expects $20 million in sales.

And in sports, Andy Roddick advances. The American has reached the semifinals of the Australian Open this morning. His Russian opponent quit during their quarterfinal match because of breathing problems.

(WEATHER REPORT)

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

Defending America this Wednesday. Shoulder-launched missiles in the hands of terrorists are a known threat to commercial airlines. The question is: How big a threat is it? And what can be done?

CNN's Frank Buckley takes a look.

FRANK BUCKLEY, CNN NATIONAL CORRESPONDENT (voice-over): In Tel Aviv, pilot Rafi Marek is preparing to fly. It's been two years since his near miss with disaster.

It was November, 2002, Marek was at the controls of an Arkia Airlines jet with 271 people aboard as he took off from Mombassa, Kenya.

RAFI MAREK, ARKIA FLIGHT 582 PILOT: Everything was normal until just a few seconds after takeoff when we reached an altitude of about 500 feet and when we heard a bang.

BUCKLEY: Some of the passengers heard it too. The sound? From two shoulder-launched missiles that just missed the plane.

MAREK: I just looked to the left, and I saw two stripes of smoke just coming up over the left wing.

BUCKLEY: On the ground, authorities found the launchers but not the terrorists who fired them. In the air, most of the passengers were unaware of the attack, except for a few who wondered about the bang and the smoke.

MAREK: They asked what it was. We tried to, you know, to avoid these direct questions. And we told them that everything is fine. And we didn't want to create any kind of panic, and there an uncertainty of things.

BUCKLEY: They weren't sure if the Boeing 757 had escaped unharmed. But, as Marek and the crew entered Israeli airspace, they had to inform the passengers so they wouldn't be alarmed when they saw this: an Israeli military jet which came to inspect the Arkia airliner for damage.

MAREK: It flew around us. It took a look. We took our landing gear down. They checked it. Everything looks fine, and he confirmed that everything is normal.

BUCKLEY: As the jet approached for landing, passengers broke out in song, celebrating their narrow escape, their pilot relieved when he finally got his aircraft back on solid ground.

MAREK: When you think of what might have happened, you feel that you were lucky.

BUCKLEY: The passengers also realized how lucky they'd been this time.

MAREK: The frightening thing is that you can't know where will it hit next time? It could be almost anywhere.

BUCKLEY (on camera): Which is exactly the concern of security officials everywhere. Hundreds of thousands of shoulder-launched missiles have been produced since the 1970s. Thousands of them are said to be unaccounted for, and some of them are believed to be in the hands of terrorists.

(voice-over): This, an al Qaeda training video showing how to use shoulder-launched missiles. This video believed to be of an actual attack in November of 2003. It was shot by insurgents as they fired on and hit a DHL cargo plane in Baghdad. The pilots somehow managed to land the badly damaged aircraft safely.

But that was Baghdad, a war zone. Could this happen in the U.S.?

The Rand Corporation's Jack Riley says the potential threat is real.

JACK RILEY, RAND: It seems highly likely that if they have their hands on this kind of weapon that they at least have to be thinking about how to commit this kind of attack.

BUCKLEY: But what to do about it? Military aircraft employ countermeasures, like flares, to divert heat-seeking missiles. Air Force One is believed to have countermeasures aboard.

But commercial aircraft, it's no secret, are unprotected. And California Senator Barbara Boxer co-sponsored legislation to require the federal government to install missile defenses on all 6,800 commercial airliners in the U.S.

SEN. BARBARA BOXER (D), CALIFORNIA: If you can protect Air Force One, which I'm very supportive of, then you can protect a plane that my constituents fly on every day.

BUCKLEY: The Department of Homeland Security says while there is no specific credible intelligence about shoulder-launched missile attacks being planned against U.S. commercial aircraft, the department is actively pursuing countermeasures.

But a just-released study by the Rand Corporation concludes that a decision to install countermeasure systems should be postponed until the costs -- an estimated $11 billion just to install them -- can be reduced and the systems made more reliable.

RILEY: The practical reality is, is the dollars that we have available to protect ourselves against the whole range of threats and the whole range of potential attacks, not just on aircraft but every other kind of attack you can imagine, is limited. So, we need to make the best possible use of those dollars that we can. What we're saying at this point is the technology is not there. We don't know enough about the reliability, and the cost seems relatively high.

BUCKLEY: Many pilots of commercial aircraft, who have 1,001 things to think about between liftoff and landing, say for them shoulder-launched missiles are low on the checklist.

UNIDENTIFIED MALE: Where this falls in that pantheon of issues to be concerned about is well near the bottom. This is not of great concern to pilots.

BUCKLEY: But don't tell this pilot, who actually experienced an attack, that countermeasures are too costly.

MAREK: God forbid something does happen, what would you say afterwards? That well now it is worth the expense? I think everything that can be done should be done.

BUCKLEY: Frank Buckley, CNN, Los Angeles.

(END VIDEOTAPE)

COSTELLO: So, your safety is in their hands every day. What do other airline pilots think about anti-missile systems? CNN's Soledad O'Brien will have that story on "AMERICAN MORNING." She joins us now.

Good morning.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Carol, good morning to you. You're absolutely right. It's on our "CNN Security Watch" this morning, that new report out on the threat that's posed by shoulder- fired missiles. Of course, the question is, if one hit a U.S. airliner it could cripple the industry. But the study is actually recommending against equipping commercial planes with a missile defense system. They say it's too expensive.

Can something else, then, be done to help save life? We talk to the president of the Airline Pilots Association. His name is Captain Dwaine Worth (ph). We'll chat with him and get his opinion on that ahead this morning -- Carol.

COSTELLO: We'll be there. Thank you, Soledad.

It's time now for a look at the latest in homeland security. You've heard of an express lane at the toll booth. How about one at the border? Homeland Security Undersecretary Asa Hutchinson says the U.S. will test radio frequency technology on a few crossings on the Mexican and Canadian borders. The move is aimed at getting people through faster without compromising security. The technology can quickly ID registered border crossers and weed out potential terrorists and other criminals.

It's a false alarm. The FBI says a feared terror threat against Boston has absolutely no credibility. The agency had told police to look out for some Chinese nationals in connection with an alleged terror plot. But it now says the threat stemmed from a story made up by a suspected smuggler. He allegedly was trying to get back at the people who didn't pay him for smuggling some Chinese immigrants into the United States.

Homeland Security chief Tom Ridge is about to leave office. But today, he is unveiling a guide for homeowners in case of a big emergency. Some of it's pretty standard stuff like keeping peanut butter and crackers in the emergency kit. The National Association of Realtors will be handing out the guide to homebuyers.

And this reminder: But sure to stay tuned to CNN day and night for the most reliable news about your security.

This is DAYBREAK for a Wednesday.

(COMMERCIAL BREAK)

COSTELLO: A beautiful shot of Miami this morning where it's a balmy 75 degrees. Doesn't that sound nice? These pictures are courtesy of Miami station WPLG.

CHAD MYERS, CNN METEOROLOGIST: That will be the high today, 75. How's that?

COSTELLO: Oh, it's not 75 now?

MYERS: No, it's 52 right now.

COSTELLO: Oh, well.

MYERS: But that's OK. Hey, you know what? That's 50 degrees warmer than in some spots in the country. COSTELLO: You got that right.

MYERS: Just taking a look up at Scayne (ph) Bay, nice shot there from WPLG. If they would pan off to the other side, you might be able to see some of the cruise ships, people getting in and off, getting off five pounds heavier than they were when they got on, of course.

COSTELLO: You're not kidding.

MYERS: Yes.

COSTELLO: Hey, Chad, here's a case of really getting it wrong. A medical examine in North Carolina got a shock when the corpse on his examining table began to breathe! Larry Green (ph) had been pronounced dead at the scene of a traffic accident two hours earlier, but then the coroner saw him take a shallow breath during the not-so- post-mortem. Green (ph) was moved to the hospital, where he is now in critical condition. That's a crazy story.

MYERS: That is. You don't know how long he was breathing and how much -- you know, how much brain function he had the entire time there.

COSTELLO: Well, it's a good thing he took that shallow breath.

MYERS: Yes.

COSTELLO: You know, I'm perusing the headlines this morning, and I found an interesting...

MYERS: Yes (UNINTELLIGIBLE).

COSTELLO: Yes. I have an interesting story in "The New York Times" in the sports section actually. It's about the great linebacker, the Giant Harry Carson. Remember him from years ago?

MYERS: Sorry, no.

COSTELLO: See, he isn't so famous like the others. But he is the first candidate to request that his name be removed from consideration for induction into the Pro-Football Hall of Fame in Canton, Ohio.

MYERS: Why?

COSTELLO: Because he's been on the ballot for five years running. They haven't chosen him, even though he has a greater record than two of the shoe-ins this year, which would be Dan Marino and Steve Young. But, you know, they're much more popular, and they'll probably get right in, whereas great players like Harry Carson who aren't well-known don't get in. He just doesn't want to bother with it anymore.

MYERS: What was his position?

COSTELLO: Linebacker. MYERS: Oh. Well, that's sometimes a high-profile position at times.

COSTELLO: At times, but, you know, he has a better record than Dan Marino or Steve Young, you know, if you compare the two. And he says he's just sick of waiting and why should he go through all of that trauma.

MYERS: Yes. Well, how many touchdowns did he throw? You know, that's the guy who gets the glory, you know?

COSTELLO: Well, but is that right?

MYERS: No, of course.

COSTELLO: Because...

MYERS: No, no, no, of course not.

COSTELLO: Exactly. So that's the controversy that will go on for some time. We'll keep you posted on that one.

That does it for us. I'm Carol Costello along with Chad Myers. "AMERICAN MORNING" starts right now.

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