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American Morning

President Bush Asking Congress for Nearly $82 Billion; 'New You Revolution'

Aired February 15, 2005 - 09:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


SOLEDAD O'BRIEN, CNN ANCHOR: Just about half past the hour, in fact, on this AMERICAN MORNING. The White House is bringing together everything from tsunami relief to support for the Palestinians in a new huge supplemental budget request; $82 billion is the price tag. Of course, though, when you actually look at it, most is for operations in Iraq and Afghanistan. We're going to get a breakdown of where that money goes coming up in just a minute.
BILL HEMMER, CNN ANCHOR: Also one thing we've debated on this show for some time, a new study calling into question some long-held beliefs about the flu shot. Does getting the vaccine really do anything to save lives ultimately among the elderly, and we'll talk to an expert from the CDC about what he think are the realities. There's a result of this study. That's coming up here in a moment.

O'BRIEN: Other stories making headlines this morning with Heidi Collins. Good morning again.

HEIDI COLLINS, CNN ANCHOR: Good morning, guys, and good morning to you once again, everybody. Now in the news, a Senate hearing about to get under way at this hour in connection with the possible new development in the United Nations Oil-for-Food scandal. Congressional investigators say they obtained new Iraqi documents showing the former head of the U.N. program may have pocketed more than $1 million from oil deals. The former official denies any wrongdoing.

The death toll in the powerful bombing in Beirut, Lebanon going up from 16 to 17 this hour. Investigators are searching for a man who claimed responsibility for the blast. An investigation is under way amid a three-day-period of national mourning. The country's former Prime Minister, Rafik Hariri, is among the victims.

In Santa Maria, California, another day of jury selection in the Michael Jackson child molestation trial. It will get under way in about three hours from now. The defense posted its list of possible witnesses yesterday. It read like a who's who in Hollywood. Among the names, Elizabeth Taylor and NBA star Kobe Bryant. Some of the celebrities are Jackson's friends. Others have apparently met his accuser, and still others are trying to pick out clothes for him.

HEMMER: Everyone is on a list except for Soledad.

I didn't make the cut. Thanks, Heidi.

President Bush meeting this morning with the U.S. about ambassador to Iraq, John Negroponte. He'll also meet the Senate foreign relations chairman, senator Richard Lugar, this afternoon.

O'BRIEN: Yes, exactly. I didn't make the cut.

Thanks, Heidi.

President Bush meeting this morning with the U.S. ambassador to Iraq, John Negroponte. The ambassador arrived just a short time ago. He's also going to meet the Senate's Foreign Relations chairman, Senator Richard Lugar, this afternoon.

Meanwhile, President Bush asking Congress for nearly $82 billion, most of it to pay for military operations in Iraq and Afghanistan. The president acknowledges his request will push the federal deficit to a record high.

White House correspondent Suzanne Malveaux standing by with much more on this this morning.

Hey, Suzanne, good morning.

SUZANNE MALVEAUX, CNN CORRESPONDENT: Good morning, Soledad.

President Bush of course faces a storm of criticism over the $82 billion supplemental. Many Democrats say that the president has not been honest with the American people in terms of the cost of the war. They also say that the country simply can't afford it. If you look at the tax cuts that he wants to be made permanent, if you look at the Social Security reform plan, as well as the rest of his economic agenda, and furthermore, they say they don't believe that more money is necessarily the way to deal with this Iraqi insurgency.

But nevertheless, having said that, it is expected to pass in Congress. There are no members of Congress that are going to go against funding the troops during a wartime situation.

Here is the breakdown: Now you have $82 billion, $77 billion of course going to the missions in Iraq and Afghanistan. Of that $12 billion for repair and replacing equipment, $3 billion for vehicle armor for the supplemental, also $5.7 billion to train Iraqi forces, $1.3 billion to train Afghan security agencies, $5 billion to train U.S. army brigades. And then finally, an aside, $658 million to build a U.S. embassy in Iraq, $950 million for aid to tsunami victims, and $200 million to aid Palestinians in the Middle East peace process.

And of course, Soledad, the White House did acknowledge they believe that this is going to mean a record federal deficit, we're talking about $427 billion for 2005. Nevertheless, they say this is going to be a hard pill to swallow. This believe that this is the way that they can train Iraqi forces and bring U.S. forces back home -- Soledad.

O'BRIEN: Another fight on another front, which is the front of judicial nominees. What's happening there?

MALVEAUX: Oh, absolutely, and this is going to be a battle that perhaps the president isn't necessarily going to win. This is 20 judicial nominees that the president submitted back to members of Congress. These are people that Democrats in the Senate say are extreme right-wing ideologues, but the president and the Republicans believes that he's got a better shot at it than the first time around. That is because there's a greater Republican majority in the Senate, and they also believe that perhaps they can keep those Democrats from filibustering. That of course would require a change of rules in the Senate. That is something that is being called, of course, the nuclear option. But Republicans say that they're ready to use it -- Soledad.

O'BRIEN: Suzanne Malveaux is at the White House for us this morning.

Suzanne, thanks -- Bill.

HEMMER: Medical question now, Soledad. Does giving flu shots to the elderly save lives? Maybe not, according to a new study out this week. That study considers three decades of data on the flu, and shows the death rate among seniors a was fairly stable, even though more seniors have been getting flu shots over the years.

Earlier today, I talked with Dr. Keiji Fakuda. He studies the flu at the CDC, and I asked him for his take on these new findings.

(BEGIN VIDEOTAPE)

DR. KEIJI FAKUDA, CDC FLU EPIDEMIOLOGIST: The NIH study was a large study, which looked at death patterns and vaccination patterns in the country. And what the study questioned was the degree to which vaccine protected the elderly. But both NIH and CDC strongly feel that the vaccine does protect the elderly against death and hospitalization. It's the most vulnerable population out there from the effects of influenza. And we know that the vaccine does protect these groups of people. There are years of studies showing that.

HEMMER: Let's try and cut through a little bit of this, because I think a lot of people may be confused after they hear this study. Can you understand that confusion?

FAKUDA: Yes. I think that, again, when something is questioned, when the degree of it is questioned, it can be confusing to people. But it's -- again, I do want to emphasize that the bottom line, when you go through all of the issues, is that we believe that the vaccine does protect the elderly, and it is the best thing that they can do to protect themselves.

HEMMER: So the CDC's position has not changed? You still believe the flu vaccine, especially among the elderly, is critical? Is that what I hear you saying?

FAKUDA: Yes, it's clearly a critical component for protecting the elderly. We know that the vaccine can be better in that group. It's the most vulnerable group to both infection and to getting hospitalized and dying. And we can do better to protect them, and we have to find better ways to protect them. But in the here and now, it definitely is the best thing that they can do.

HEMMER: So that's the discussion about the elderly. There's another study out of Emory University, also in Atlanta, Georgia, that talks about school children. It emphasizes that more studies should be given to giving flu shots to young school children, because they are more responsible for spreading the flu. Would you support that?

FAKUDA: Well, we know that there are several reasons for vaccinating children. Particularly there are deaths and severe illnesses that can occur in that group. And it's possible that vaccinating children can help protect other groups, like the elderly. But the real question is: How do we expand vaccine coverage in children and in other groups while continuing to directly vaccinate and protect the most vulnerable groups, like the elderly?

(END VIDEOTAPE)

HEMMER: So while that debate continues, Dr. Fakuda says the flu season is less severe than last year, but because we're still in the thick of it, we won't know the full impact until a bit later. He also adds it is not too late to get a flu shot this year -- Soledad.

O'BRIEN: A 14-year-old boy admits that his rescue from a rain- swollen river was, in his words, kind of scary . Thanks to a quick- thinking friend and some brave firefighters, the teenager, though, is alive to tell his story.

Thelma Gutierrez has this report.

(BEGIN VIDEOTAPE)

THELMA GUTIERREZ, CNN CORRESPONDENT (voice-over): For 14-year- old Michael Garcia, it was a horrifying experience, holding on for life as the waters raged around him.

It was Michael's frantic friend who called 911.

(BEGIN AUDIO CLIP)

UNIDENTIFIED MALE: He's on a ledge right above the river.

(END AUDIO CLIP)

UNIDENTIFIED MALE: But a rescue is under way...

GUTIERREZ: Within minutes, Los Angeles firefighters from Station 17 came to the rescue.

AL HERNANDEZ, LOS ANGELES FIREFIGHTER: We made our way up this. We were able to spot him over the side.

GUTIERREZ: Firefighter Al Hernandez knew he had to get to the boy quickly.

HERNANDEZ I stood up here, and I stepped over the side in a full harness. GUTIERREZ: As Al rappelled 40 feet down the slippery wall of the Los Angeles River, Michael managed to wedge himself into a gap. The rain-swollen river was already up to his chest.

HERNANDEZ: The water was extremely cold, very rough. There was a lot of debris floating by.

GUTIERREZ: Al says Michael had been carried downstream about a mile and was frightened.

HERNANDEZ: His legs were very cold, numb. He was feeling weak. It was just a matter of time before he probably would have swept down the river and probably perished.

GUTIERREZ: But Al was able to secure Michael. As they were pulled to safety, Al worried this piece of steel would fall on them, but they made it.

Michael admits he and his friend got too close to the river's edge when the earth gave way.

MICHAEL GARCIA, RESCUED FROM RIVER: I was just trying to go back for where we fell in. But as we kept going, the current got stronger and stronger, so we decided to go with the current.

MARIBEL GARCIA, SON RESCUED FROM RIVER: It's a very dangerous place, but I couldn't, I can't -- I couldn't be upset with him, you know. I'm just thankful to God that he's OK.

GUTIERREZ: Firefighter Al Hernandez says he's thankful too.

HERNANDEZ: He was extremely lucky. There was a lot of things that were in his favor.

GUTIERREZ: Michael says he's learned his lesson.

MICHAEL GARCIA: So I thought it was kind of embarrassing because of all the cameras. And a little horrifying.

GUTIERREZ: A lesson that almost cost him his life.

Thelma Gutierrez, CNN, Los Angeles.

(END VIDEOTAPE)

O'BRIEN: Michael was taken to the hospital, but other than some cuts on his fingers, he actually was in pretty good shape.

HEMMER: Cute kid, and lucky, too.

(WEATHER REPORT)

HEMMER: Check in one of the most popular stories this morning at CNN.com. It seems Midwest and Great Plains states have some of the highest binge drinking rates in the country. According to a new government study released yesterday, the problem was most prevalent in North Dakota, where about 31 percent of residents 12 and over have engaged in binge drinking. Utah, Oregon and states in the Deep South have the lowest rates of binge drinking. That's on our Web site right now, at CNN.com.

O'BRIEN: Here's a question for you. Could a new movie about a dog save a stock that's been dogging it on Wall Street? Andy's "Minding Your Business," just ahead.

HEMMER: Also, week five of the "New You Revolution." Our nail- biter tried some new treatment including hypnosis. Did it work? We'll check it out with Sanjay in a moment here on AMERICAN MORNING.

(COMMERCIAL BREAK)

(BEGIN VIDEOTAPE)

O'BRIEN: Guess what? We're past the halfway point in our "New You Revolution," where we're helping five people try to break their bad health habits.

HEMMER: Yes. The good doctor is back here in New York in our studios here.

Good morning to you, Sanjay. Great to have you back here.

SANJAY GUPTA, CNN MEDICAL CORRESPONDENT: Good morning.

HEMMER: How is everybody doing?

GUPTA: Everyone is doing really well, staying on course as it turns out, especially Jonathan Karp.

(voice over): Jonathan Karp has been doing really well. So we treated him and his valentine to his and her manicures. This is the first time Jonathan has ever felt his nails were worth such a treat.

JONATHAN KARP, "NEW YOU" PARTICIPANT: Hot towel. It's nice.

UNIDENTIFIED FEMALE: This is...

KARP: Nails for males.

GUPTA: Keeping daily score in his journal has proven to be a key to his progress.

KARP: You know, every day, I just quantify and make sure I hit that zero and stop biting. So now I don't want to even start up again. So that's really my major motivation.

GUPTA: Trying to help him break his bad habit, he's tried some alternative therapies. First, acupuncture.

UNIDENTIFIED MALE: You might want to think about it as body- centered. Stress management.

GUPTA: Jonathan said acupuncture made him a little more relaxed. But twice a week acupuncture treatments didn't fit into his busy schedule. Next, hypnotherapy.

UNIDENTIFIED MALE: What this does is it helps create a different reflex. Not this, but this. Not this, but this. It trains the brain virtually instantly.

GUPTA: But Jonathan had a hard time believing this could work.

KARP: What I first expected from hypnotherapy was to be totally relaxed. But I felt it was actually stressful, and I was uncomfortable the whole time.

GUPTA: So to reach his goal of having perfect nails for his wedding day, he's turning to more self-motivation, more exercise and the continued support of his fiance.

KARP: I'm about 80 percent there. No, actually, like the first time I think that I actually have to clip my nails with a clipper, and I'm like, wow, they're getting too long. That will be I think the day to just maybe drink some champagne.

GUPTA: So 80 percent there. After four weeks you can see that there's been quite an improvement for Jonathan so far.

HEMMER: Interesting to see how he gauges progress.

GUPTA: That's right.

HEMMER: He uses nail clippers. What's the most remarkable thing?

GUPTA: You know, for Jonathan, it's really been the response in terms of e-mail that we've gotten for him. Lots of e-mails. It seems our viewers are eager to break the same bad habit, or they're just looking to Jonathan for advice.

So here are some of the take-home tips that we've learned based on his experience so far. Keep a nail file with you at all times, so if there's a problem you can fix it properly without putting your hands in your mouth. Also, keep your nails neat and clean. An obvious answer there. Well-groomed nails can be quite motivating. We got him a manicure. Try some alternative therapies. We don't normally recommend these. They haven't been proven, but they may have worked for Jonathan. They could work for you as well.

O'BRIEN: How is everybody else doing?

GUPTA: Well, everyone else has also been keeping on course. Finding new diets really has been the key for them.

(voice over): Six weeks ago, Leigh Ann ate fast food all the time, because she didn't know how to cook. So she's getting a lesson in how to make healthy fast food, including lean cuts of beef.

UNIDENTIFIED FEMALE: Beef tenderloin is a great cut for quick meals, because you don't have to do much to it. Flip them one more time. GUPTA: "Cooking Light" food editor Ann Pittman (ph) shows her that homemade meals can be easy and flavorful. Now Leigh Ann is able to make five new meals, each in about 20 minutes.

LEIGH ANN RAYNOR, "NEW YOU" PARTICIPANT: This is very easy. I think even I can manage this.

GUPTA: Harald's vice has always been his love for food. So early on, his trainer cleaned out his fridge.

UNIDENTIFIED MALE: So we're just going to get rid of all this, all of the goodies, so nobody's tempted around here.

GUPTA: And how is Harald doing now? Well, for starters, his lunch at work has gotten leaner.

HARALD FRICKER, "NEW YOU" PARTICIPANT: Turkey sandwich.

GUPTA: He's not starving either, because he's supposed to eat five meals a day and about 2,000 calories. So far, he's lost 15 pounds.

Sandra continues to exercise every day.

SANDRA GARTH, "NEW YOU" PARTICIPANT: This is going to take four more inches off my waistline.

GUPTA: And she's stocked her fridge with healthy foods.

GARTH: Yogurt, fat-free cream cheese, some salad.

GUPTA: But she's still cooking the way she used to -- for her husband.

GARTH: Before the "New You Revolution"...

GUPTA: For herself, it's a leaner version of her favorite foods. She's eating healthier, but having a hard time eating enough, frequently eating less than 1,000 calories. Her body needs at least 1,200.

UNIDENTIFIED FEMALE: Your metabolism doesn't think I'm not going to get fat for a while so I better slow down.

GUPTA: And we didn't forget Thekla either. Next week, we're going to check up on her.

THEKLA FISCHER, "NEW YOU" PARTICIPANT: I'm taking it for the future, especially during pregnancy. It would be really good to be able to rely on those exercise classes to help me overcome some of the pain.

GUPTA: Thekla is definitely getting more exercise. We'll see if she's making progress breaking her other bad habits as well. That's our update for the "New You Revolution."

O'BRIEN: It's nice to see everybody doing well.

HEMMER: Thank you, Sanjay.

GUPTA: Yes.

HEMMER: As always, you can follow all of our participants online. You can e-mail them, too, simply by logging on to cnn.com/am there for you 24 hours a day.

See you again, Sanjay.

O'BRIEN: Thanks, Sanjay.

GUPTA: Thanks, guys.

(END VIDEOTAPE)

O'BRIEN: If you want to strike it rich on Wall Street, maybe you should pay attention to what billionaire Warren Buffett is buying and selling. Andy is "Minding Your Business," up next on AMERICAN MORNING.

(COMMECIAL BREAK)

O'BRIEN: Wall Street is paying attention to what Warren Buffett is buying and selling. So is Andy Serwer, and he's "Minding Your Business" this morning. Good morning.

ANDY SERWER, "FORTUNE" MAGAZINE: Good morning to you. What would Warren do, Soledad? We'll find out about that in a second.

Let's check out the big board. Stocks were down a touch. And now they're up a touch, a small touch. Less than a point. Trading in Circuit City stock very hot this morning. They received an unsolicited takeover bid. That stock's up 20 percent this morning. Boston hedge fund looking to buy the whole company.

Warren Buffett is obviously followed very closely. He's only the best investor in the world. I think we can call him that. Quarterly filing with the Security Exchanges Commission talks about how he made some changes in his investment portfolio. Here's what he did. Bought some Comcast stock, doubled up on that. The Gap, he bought some more shares in the Gap. A small amount, but it is kind of interesting. That company has had problems recently. What's he been selling? Well , sold out some Nike. That stock's gotten pretty high recently. And HCA, the healthcare company, hospital company, sold out completely. So far those stocks aren't moving. We will be watching that.

Now can a movie about a dog save a dog of a stock? The movie "Because of Winn-Dixie," which is based on a kid's book, is coming out this weekend. And I watched the trailer. I was practically in tears. It's very cute. The story is about a girl who's lonely in a Florida town, and she discovers a dog -- that's Dave Matthews. Dave Matthews stars in this movie. Discovers in dog at a Winn-Dixie. What's the dog's name? She looks at the store sign and says his name is Winn- Dixie and he's mine! And she goes on and leads a wonderful life after that.

Well, wish it were so for the company. Because the company's stock has just been in a nose dive. That's because it's competing against Wal-Mart, it's competing against Food Lion, it's competing against Kroger and Publix. You know, some people are wondering if this company's going to face bankruptcy. But you know, maybe this little story will give...

O'BRIEN: Heartwarming. It could do that, right?

SERWER: Yes. Give the stock a boost.

JACK CAFFERTY, CNN ANCHOR: You've got to get to bed earlier.

SERWER: I like this thing. I really -- I'm in tears. You know who else in this movie besides Dave Matthews? Jeff Daniels and Cicely Tyson.

O'BRIEN: Love her.

SERWER: Yes, I do, too.

O'BRIEN: Cool.

CAFFERTY: What do they call the little piggy and the billy goat that we saw there? Do they have names, too? Safeway and Shop-Rite.

O'BRIEN: Target.

SERWER: Kroger. Stop biting that cop, Kroger!

CAFFERTY: Are you safer or do you think you're safer since September 11 is the question. Got another supplemental request for $80 plus billion going to the Congress.

Jeff in Seattle writes -- he's mad at me: "Jack, looks like you're against sucking down the administration's tie-in of Iraq and the war on terror hook, line and sinker. I'd respond to your typically slanted question that the action in Afghanistan did make me feel safer, though our action against a contained dictator in Iraq, which has been an Uncle Sam poster for Al Qaeda recruiting efforts, has not."

David in Orlando writes: "Yes, I feel much safer. In fact, I get downright warm and fuzzy each time a sassy employee of the TSA cops an attitude with me for forgetting the take my laptop out of my bag before placing it on the scanner."

Ryan in Wakesfield, New Hampshire: "All the money we spent on the war on terror has been making us less safe. Invading Iraq had more to do with personal goals and Halliburton's profits than with September 11. We're wasting money and lives over there. We're ruining relationships with other countries and gutting our military."

SERWER: People kind of cynical about that whole thing.

CAFFERTY: Some of them downright cynical.

HEMMER: Thank you, Jack.

A 15-year-old boy is on trial for killing his grandparents. His lawyers say the medication he took should be on trial instead of the boy. A jury decides his fate. And Rick and Daryn take you there next hour on "LIVE TODAY." We're back in a moment here on AMERICAN MORNING after this.

(COMMERCIAL BREAK)

O'BRIEN: Guess what? We're out of time.

HEMMER: Yes, we are.

O'BRIEN: From all of us here, we want to say bye. We'll see you back here tomorrow. Let's head it right down to Rick and Daryn at the CNN Center. Going to take you through the next few years on "LIVE TODAY." Hey, guys, good morning.

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 February 15, 2005 - 09:30   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SOLEDAD O'BRIEN, CNN ANCHOR: Just about half past the hour, in fact, on this AMERICAN MORNING. The White House is bringing together everything from tsunami relief to support for the Palestinians in a new huge supplemental budget request; $82 billion is the price tag. Of course, though, when you actually look at it, most is for operations in Iraq and Afghanistan. We're going to get a breakdown of where that money goes coming up in just a minute.
BILL HEMMER, CNN ANCHOR: Also one thing we've debated on this show for some time, a new study calling into question some long-held beliefs about the flu shot. Does getting the vaccine really do anything to save lives ultimately among the elderly, and we'll talk to an expert from the CDC about what he think are the realities. There's a result of this study. That's coming up here in a moment.

O'BRIEN: Other stories making headlines this morning with Heidi Collins. Good morning again.

HEIDI COLLINS, CNN ANCHOR: Good morning, guys, and good morning to you once again, everybody. Now in the news, a Senate hearing about to get under way at this hour in connection with the possible new development in the United Nations Oil-for-Food scandal. Congressional investigators say they obtained new Iraqi documents showing the former head of the U.N. program may have pocketed more than $1 million from oil deals. The former official denies any wrongdoing.

The death toll in the powerful bombing in Beirut, Lebanon going up from 16 to 17 this hour. Investigators are searching for a man who claimed responsibility for the blast. An investigation is under way amid a three-day-period of national mourning. The country's former Prime Minister, Rafik Hariri, is among the victims.

In Santa Maria, California, another day of jury selection in the Michael Jackson child molestation trial. It will get under way in about three hours from now. The defense posted its list of possible witnesses yesterday. It read like a who's who in Hollywood. Among the names, Elizabeth Taylor and NBA star Kobe Bryant. Some of the celebrities are Jackson's friends. Others have apparently met his accuser, and still others are trying to pick out clothes for him.

HEMMER: Everyone is on a list except for Soledad.

I didn't make the cut. Thanks, Heidi.

President Bush meeting this morning with the U.S. about ambassador to Iraq, John Negroponte. He'll also meet the Senate foreign relations chairman, senator Richard Lugar, this afternoon.

O'BRIEN: Yes, exactly. I didn't make the cut.

Thanks, Heidi.

President Bush meeting this morning with the U.S. ambassador to Iraq, John Negroponte. The ambassador arrived just a short time ago. He's also going to meet the Senate's Foreign Relations chairman, Senator Richard Lugar, this afternoon.

Meanwhile, President Bush asking Congress for nearly $82 billion, most of it to pay for military operations in Iraq and Afghanistan. The president acknowledges his request will push the federal deficit to a record high.

White House correspondent Suzanne Malveaux standing by with much more on this this morning.

Hey, Suzanne, good morning.

SUZANNE MALVEAUX, CNN CORRESPONDENT: Good morning, Soledad.

President Bush of course faces a storm of criticism over the $82 billion supplemental. Many Democrats say that the president has not been honest with the American people in terms of the cost of the war. They also say that the country simply can't afford it. If you look at the tax cuts that he wants to be made permanent, if you look at the Social Security reform plan, as well as the rest of his economic agenda, and furthermore, they say they don't believe that more money is necessarily the way to deal with this Iraqi insurgency.

But nevertheless, having said that, it is expected to pass in Congress. There are no members of Congress that are going to go against funding the troops during a wartime situation.

Here is the breakdown: Now you have $82 billion, $77 billion of course going to the missions in Iraq and Afghanistan. Of that $12 billion for repair and replacing equipment, $3 billion for vehicle armor for the supplemental, also $5.7 billion to train Iraqi forces, $1.3 billion to train Afghan security agencies, $5 billion to train U.S. army brigades. And then finally, an aside, $658 million to build a U.S. embassy in Iraq, $950 million for aid to tsunami victims, and $200 million to aid Palestinians in the Middle East peace process.

And of course, Soledad, the White House did acknowledge they believe that this is going to mean a record federal deficit, we're talking about $427 billion for 2005. Nevertheless, they say this is going to be a hard pill to swallow. This believe that this is the way that they can train Iraqi forces and bring U.S. forces back home -- Soledad.

O'BRIEN: Another fight on another front, which is the front of judicial nominees. What's happening there?

MALVEAUX: Oh, absolutely, and this is going to be a battle that perhaps the president isn't necessarily going to win. This is 20 judicial nominees that the president submitted back to members of Congress. These are people that Democrats in the Senate say are extreme right-wing ideologues, but the president and the Republicans believes that he's got a better shot at it than the first time around. That is because there's a greater Republican majority in the Senate, and they also believe that perhaps they can keep those Democrats from filibustering. That of course would require a change of rules in the Senate. That is something that is being called, of course, the nuclear option. But Republicans say that they're ready to use it -- Soledad.

O'BRIEN: Suzanne Malveaux is at the White House for us this morning.

Suzanne, thanks -- Bill.

HEMMER: Medical question now, Soledad. Does giving flu shots to the elderly save lives? Maybe not, according to a new study out this week. That study considers three decades of data on the flu, and shows the death rate among seniors a was fairly stable, even though more seniors have been getting flu shots over the years.

Earlier today, I talked with Dr. Keiji Fakuda. He studies the flu at the CDC, and I asked him for his take on these new findings.

(BEGIN VIDEOTAPE)

DR. KEIJI FAKUDA, CDC FLU EPIDEMIOLOGIST: The NIH study was a large study, which looked at death patterns and vaccination patterns in the country. And what the study questioned was the degree to which vaccine protected the elderly. But both NIH and CDC strongly feel that the vaccine does protect the elderly against death and hospitalization. It's the most vulnerable population out there from the effects of influenza. And we know that the vaccine does protect these groups of people. There are years of studies showing that.

HEMMER: Let's try and cut through a little bit of this, because I think a lot of people may be confused after they hear this study. Can you understand that confusion?

FAKUDA: Yes. I think that, again, when something is questioned, when the degree of it is questioned, it can be confusing to people. But it's -- again, I do want to emphasize that the bottom line, when you go through all of the issues, is that we believe that the vaccine does protect the elderly, and it is the best thing that they can do to protect themselves.

HEMMER: So the CDC's position has not changed? You still believe the flu vaccine, especially among the elderly, is critical? Is that what I hear you saying?

FAKUDA: Yes, it's clearly a critical component for protecting the elderly. We know that the vaccine can be better in that group. It's the most vulnerable group to both infection and to getting hospitalized and dying. And we can do better to protect them, and we have to find better ways to protect them. But in the here and now, it definitely is the best thing that they can do.

HEMMER: So that's the discussion about the elderly. There's another study out of Emory University, also in Atlanta, Georgia, that talks about school children. It emphasizes that more studies should be given to giving flu shots to young school children, because they are more responsible for spreading the flu. Would you support that?

FAKUDA: Well, we know that there are several reasons for vaccinating children. Particularly there are deaths and severe illnesses that can occur in that group. And it's possible that vaccinating children can help protect other groups, like the elderly. But the real question is: How do we expand vaccine coverage in children and in other groups while continuing to directly vaccinate and protect the most vulnerable groups, like the elderly?

(END VIDEOTAPE)

HEMMER: So while that debate continues, Dr. Fakuda says the flu season is less severe than last year, but because we're still in the thick of it, we won't know the full impact until a bit later. He also adds it is not too late to get a flu shot this year -- Soledad.

O'BRIEN: A 14-year-old boy admits that his rescue from a rain- swollen river was, in his words, kind of scary . Thanks to a quick- thinking friend and some brave firefighters, the teenager, though, is alive to tell his story.

Thelma Gutierrez has this report.

(BEGIN VIDEOTAPE)

THELMA GUTIERREZ, CNN CORRESPONDENT (voice-over): For 14-year- old Michael Garcia, it was a horrifying experience, holding on for life as the waters raged around him.

It was Michael's frantic friend who called 911.

(BEGIN AUDIO CLIP)

UNIDENTIFIED MALE: He's on a ledge right above the river.

(END AUDIO CLIP)

UNIDENTIFIED MALE: But a rescue is under way...

GUTIERREZ: Within minutes, Los Angeles firefighters from Station 17 came to the rescue.

AL HERNANDEZ, LOS ANGELES FIREFIGHTER: We made our way up this. We were able to spot him over the side.

GUTIERREZ: Firefighter Al Hernandez knew he had to get to the boy quickly.

HERNANDEZ I stood up here, and I stepped over the side in a full harness. GUTIERREZ: As Al rappelled 40 feet down the slippery wall of the Los Angeles River, Michael managed to wedge himself into a gap. The rain-swollen river was already up to his chest.

HERNANDEZ: The water was extremely cold, very rough. There was a lot of debris floating by.

GUTIERREZ: Al says Michael had been carried downstream about a mile and was frightened.

HERNANDEZ: His legs were very cold, numb. He was feeling weak. It was just a matter of time before he probably would have swept down the river and probably perished.

GUTIERREZ: But Al was able to secure Michael. As they were pulled to safety, Al worried this piece of steel would fall on them, but they made it.

Michael admits he and his friend got too close to the river's edge when the earth gave way.

MICHAEL GARCIA, RESCUED FROM RIVER: I was just trying to go back for where we fell in. But as we kept going, the current got stronger and stronger, so we decided to go with the current.

MARIBEL GARCIA, SON RESCUED FROM RIVER: It's a very dangerous place, but I couldn't, I can't -- I couldn't be upset with him, you know. I'm just thankful to God that he's OK.

GUTIERREZ: Firefighter Al Hernandez says he's thankful too.

HERNANDEZ: He was extremely lucky. There was a lot of things that were in his favor.

GUTIERREZ: Michael says he's learned his lesson.

MICHAEL GARCIA: So I thought it was kind of embarrassing because of all the cameras. And a little horrifying.

GUTIERREZ: A lesson that almost cost him his life.

Thelma Gutierrez, CNN, Los Angeles.

(END VIDEOTAPE)

O'BRIEN: Michael was taken to the hospital, but other than some cuts on his fingers, he actually was in pretty good shape.

HEMMER: Cute kid, and lucky, too.

(WEATHER REPORT)

HEMMER: Check in one of the most popular stories this morning at CNN.com. It seems Midwest and Great Plains states have some of the highest binge drinking rates in the country. According to a new government study released yesterday, the problem was most prevalent in North Dakota, where about 31 percent of residents 12 and over have engaged in binge drinking. Utah, Oregon and states in the Deep South have the lowest rates of binge drinking. That's on our Web site right now, at CNN.com.

O'BRIEN: Here's a question for you. Could a new movie about a dog save a stock that's been dogging it on Wall Street? Andy's "Minding Your Business," just ahead.

HEMMER: Also, week five of the "New You Revolution." Our nail- biter tried some new treatment including hypnosis. Did it work? We'll check it out with Sanjay in a moment here on AMERICAN MORNING.

(COMMERCIAL BREAK)

(BEGIN VIDEOTAPE)

O'BRIEN: Guess what? We're past the halfway point in our "New You Revolution," where we're helping five people try to break their bad health habits.

HEMMER: Yes. The good doctor is back here in New York in our studios here.

Good morning to you, Sanjay. Great to have you back here.

SANJAY GUPTA, CNN MEDICAL CORRESPONDENT: Good morning.

HEMMER: How is everybody doing?

GUPTA: Everyone is doing really well, staying on course as it turns out, especially Jonathan Karp.

(voice over): Jonathan Karp has been doing really well. So we treated him and his valentine to his and her manicures. This is the first time Jonathan has ever felt his nails were worth such a treat.

JONATHAN KARP, "NEW YOU" PARTICIPANT: Hot towel. It's nice.

UNIDENTIFIED FEMALE: This is...

KARP: Nails for males.

GUPTA: Keeping daily score in his journal has proven to be a key to his progress.

KARP: You know, every day, I just quantify and make sure I hit that zero and stop biting. So now I don't want to even start up again. So that's really my major motivation.

GUPTA: Trying to help him break his bad habit, he's tried some alternative therapies. First, acupuncture.

UNIDENTIFIED MALE: You might want to think about it as body- centered. Stress management.

GUPTA: Jonathan said acupuncture made him a little more relaxed. But twice a week acupuncture treatments didn't fit into his busy schedule. Next, hypnotherapy.

UNIDENTIFIED MALE: What this does is it helps create a different reflex. Not this, but this. Not this, but this. It trains the brain virtually instantly.

GUPTA: But Jonathan had a hard time believing this could work.

KARP: What I first expected from hypnotherapy was to be totally relaxed. But I felt it was actually stressful, and I was uncomfortable the whole time.

GUPTA: So to reach his goal of having perfect nails for his wedding day, he's turning to more self-motivation, more exercise and the continued support of his fiance.

KARP: I'm about 80 percent there. No, actually, like the first time I think that I actually have to clip my nails with a clipper, and I'm like, wow, they're getting too long. That will be I think the day to just maybe drink some champagne.

GUPTA: So 80 percent there. After four weeks you can see that there's been quite an improvement for Jonathan so far.

HEMMER: Interesting to see how he gauges progress.

GUPTA: That's right.

HEMMER: He uses nail clippers. What's the most remarkable thing?

GUPTA: You know, for Jonathan, it's really been the response in terms of e-mail that we've gotten for him. Lots of e-mails. It seems our viewers are eager to break the same bad habit, or they're just looking to Jonathan for advice.

So here are some of the take-home tips that we've learned based on his experience so far. Keep a nail file with you at all times, so if there's a problem you can fix it properly without putting your hands in your mouth. Also, keep your nails neat and clean. An obvious answer there. Well-groomed nails can be quite motivating. We got him a manicure. Try some alternative therapies. We don't normally recommend these. They haven't been proven, but they may have worked for Jonathan. They could work for you as well.

O'BRIEN: How is everybody else doing?

GUPTA: Well, everyone else has also been keeping on course. Finding new diets really has been the key for them.

(voice over): Six weeks ago, Leigh Ann ate fast food all the time, because she didn't know how to cook. So she's getting a lesson in how to make healthy fast food, including lean cuts of beef.

UNIDENTIFIED FEMALE: Beef tenderloin is a great cut for quick meals, because you don't have to do much to it. Flip them one more time. GUPTA: "Cooking Light" food editor Ann Pittman (ph) shows her that homemade meals can be easy and flavorful. Now Leigh Ann is able to make five new meals, each in about 20 minutes.

LEIGH ANN RAYNOR, "NEW YOU" PARTICIPANT: This is very easy. I think even I can manage this.

GUPTA: Harald's vice has always been his love for food. So early on, his trainer cleaned out his fridge.

UNIDENTIFIED MALE: So we're just going to get rid of all this, all of the goodies, so nobody's tempted around here.

GUPTA: And how is Harald doing now? Well, for starters, his lunch at work has gotten leaner.

HARALD FRICKER, "NEW YOU" PARTICIPANT: Turkey sandwich.

GUPTA: He's not starving either, because he's supposed to eat five meals a day and about 2,000 calories. So far, he's lost 15 pounds.

Sandra continues to exercise every day.

SANDRA GARTH, "NEW YOU" PARTICIPANT: This is going to take four more inches off my waistline.

GUPTA: And she's stocked her fridge with healthy foods.

GARTH: Yogurt, fat-free cream cheese, some salad.

GUPTA: But she's still cooking the way she used to -- for her husband.

GARTH: Before the "New You Revolution"...

GUPTA: For herself, it's a leaner version of her favorite foods. She's eating healthier, but having a hard time eating enough, frequently eating less than 1,000 calories. Her body needs at least 1,200.

UNIDENTIFIED FEMALE: Your metabolism doesn't think I'm not going to get fat for a while so I better slow down.

GUPTA: And we didn't forget Thekla either. Next week, we're going to check up on her.

THEKLA FISCHER, "NEW YOU" PARTICIPANT: I'm taking it for the future, especially during pregnancy. It would be really good to be able to rely on those exercise classes to help me overcome some of the pain.

GUPTA: Thekla is definitely getting more exercise. We'll see if she's making progress breaking her other bad habits as well. That's our update for the "New You Revolution."

O'BRIEN: It's nice to see everybody doing well.

HEMMER: Thank you, Sanjay.

GUPTA: Yes.

HEMMER: As always, you can follow all of our participants online. You can e-mail them, too, simply by logging on to cnn.com/am there for you 24 hours a day.

See you again, Sanjay.

O'BRIEN: Thanks, Sanjay.

GUPTA: Thanks, guys.

(END VIDEOTAPE)

O'BRIEN: If you want to strike it rich on Wall Street, maybe you should pay attention to what billionaire Warren Buffett is buying and selling. Andy is "Minding Your Business," up next on AMERICAN MORNING.

(COMMECIAL BREAK)

O'BRIEN: Wall Street is paying attention to what Warren Buffett is buying and selling. So is Andy Serwer, and he's "Minding Your Business" this morning. Good morning.

ANDY SERWER, "FORTUNE" MAGAZINE: Good morning to you. What would Warren do, Soledad? We'll find out about that in a second.

Let's check out the big board. Stocks were down a touch. And now they're up a touch, a small touch. Less than a point. Trading in Circuit City stock very hot this morning. They received an unsolicited takeover bid. That stock's up 20 percent this morning. Boston hedge fund looking to buy the whole company.

Warren Buffett is obviously followed very closely. He's only the best investor in the world. I think we can call him that. Quarterly filing with the Security Exchanges Commission talks about how he made some changes in his investment portfolio. Here's what he did. Bought some Comcast stock, doubled up on that. The Gap, he bought some more shares in the Gap. A small amount, but it is kind of interesting. That company has had problems recently. What's he been selling? Well , sold out some Nike. That stock's gotten pretty high recently. And HCA, the healthcare company, hospital company, sold out completely. So far those stocks aren't moving. We will be watching that.

Now can a movie about a dog save a dog of a stock? The movie "Because of Winn-Dixie," which is based on a kid's book, is coming out this weekend. And I watched the trailer. I was practically in tears. It's very cute. The story is about a girl who's lonely in a Florida town, and she discovers a dog -- that's Dave Matthews. Dave Matthews stars in this movie. Discovers in dog at a Winn-Dixie. What's the dog's name? She looks at the store sign and says his name is Winn- Dixie and he's mine! And she goes on and leads a wonderful life after that.

Well, wish it were so for the company. Because the company's stock has just been in a nose dive. That's because it's competing against Wal-Mart, it's competing against Food Lion, it's competing against Kroger and Publix. You know, some people are wondering if this company's going to face bankruptcy. But you know, maybe this little story will give...

O'BRIEN: Heartwarming. It could do that, right?

SERWER: Yes. Give the stock a boost.

JACK CAFFERTY, CNN ANCHOR: You've got to get to bed earlier.

SERWER: I like this thing. I really -- I'm in tears. You know who else in this movie besides Dave Matthews? Jeff Daniels and Cicely Tyson.

O'BRIEN: Love her.

SERWER: Yes, I do, too.

O'BRIEN: Cool.

CAFFERTY: What do they call the little piggy and the billy goat that we saw there? Do they have names, too? Safeway and Shop-Rite.

O'BRIEN: Target.

SERWER: Kroger. Stop biting that cop, Kroger!

CAFFERTY: Are you safer or do you think you're safer since September 11 is the question. Got another supplemental request for $80 plus billion going to the Congress.

Jeff in Seattle writes -- he's mad at me: "Jack, looks like you're against sucking down the administration's tie-in of Iraq and the war on terror hook, line and sinker. I'd respond to your typically slanted question that the action in Afghanistan did make me feel safer, though our action against a contained dictator in Iraq, which has been an Uncle Sam poster for Al Qaeda recruiting efforts, has not."

David in Orlando writes: "Yes, I feel much safer. In fact, I get downright warm and fuzzy each time a sassy employee of the TSA cops an attitude with me for forgetting the take my laptop out of my bag before placing it on the scanner."

Ryan in Wakesfield, New Hampshire: "All the money we spent on the war on terror has been making us less safe. Invading Iraq had more to do with personal goals and Halliburton's profits than with September 11. We're wasting money and lives over there. We're ruining relationships with other countries and gutting our military."

SERWER: People kind of cynical about that whole thing.

CAFFERTY: Some of them downright cynical.

HEMMER: Thank you, Jack.

A 15-year-old boy is on trial for killing his grandparents. His lawyers say the medication he took should be on trial instead of the boy. A jury decides his fate. And Rick and Daryn take you there next hour on "LIVE TODAY." We're back in a moment here on AMERICAN MORNING after this.

(COMMERCIAL BREAK)

O'BRIEN: Guess what? We're out of time.

HEMMER: Yes, we are.

O'BRIEN: From all of us here, we want to say bye. We'll see you back here tomorrow. Let's head it right down to Rick and Daryn at the CNN Center. Going to take you through the next few years on "LIVE TODAY." Hey, guys, good morning.

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