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CNN Live At Daybreak

Update on Michael Jackson Trial; Martha Stewart's Makeover; Pope Update

Aired March 03, 2005 - 06:32   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: We've been awaiting word from the Vatican on Pope John Paul II's condition. And we just got word -- actually, the AP just got word. It is reporting that the Vatican is saying -- and you're looking at live pictures now of them passing out the press releases. Those sheets of paper say that the pope is progressively improving. And that's about what all those papers say. We'll try to get more from Alessio Vinci in just a moment.
You are watching DAYBREAK.

And good morning to you. From the Time Warner center in New York, I'm Carol Costello, along with Chad Myers.

"Now in the News."

Chicago police have released sketches of two persons of interest seen near the home of a federal judge whose husband and mother were killed. One of the men is described as 50 to 60 years old with hazel eyes and a large build. The other man, in his mid-20s, with strawberry-blond hair.

Two Jewish groups are blasting Senator Robert Byrd for comparing the Nazis and a Republican plan to block Democrats from filibustering. A spokesman for the West Virginia Democrat says the remarks were meant as a warning to heed the past and not as a comparison to Republicans.

It's been two years since the deadly nightclub fire in Rhode Island. Today, federal investigators will release ways to improve building safety. One hundred people died when sparks from a band's stage show went off.

Some federal screeners at Atlanta's airport -- at an Atlanta airport, rather, are complaining about training. According to the "Atlanta Journal-Constitution," workers are getting pressured to hurry through training. They're then told to sign forms saying they've been adequately trained.

To the forecast center now and Chad.

(WEATHER REPORT)

COSTELLO: Conspiracy theories dominated day two of testimony in the Michael Jackson trial. But did it help the prosecution's case?

For that and a look ahead to today's action, let's join CNN's Miguel Marquez. He is live in Santa Maria, California. Good morning -- Miguel.

MIGUEL MARQUEZ, CNN CORRESPONDENT: Good morning there, Carol. How are you?

COSTELLO: So, Michael Jackson's PR person took the stand yesterday. She was hired to do damage control after this Bashir documentary. How much did her testimony affect the case?

MARQUEZ: Well, it's not entirely clear. You know, she was a witness for the prosecution. We all kind of expected her to score these knockout points, and she did score some. She talked about her concern for the accuser and his family during a phone call with Marc Schaffel, one of the unindicted co-conspirators. He said that they were -- the situation was contained, at one point, and she was sort of concerned about that. She thought that Mark Geragos, Jackson's former lawyer, was trying to silence her at one point.

And then just days after that British documentary aired when she was hired, David LeGrand, another Jackson attorney, told her not to worry about the accuser's mother, because -- "they had her on tape and were going to make her look like a crack (EXPLETIVE DELETED)" -- unquote. That's from a lawyer.

The defense scored their own points as well with hours of questioning by Tom Mesereau, Jr., Mr. Jackson's attorney. And under those hours of questioning it became clear that they were trying to separate Jackson from these unindicted co-conspirators, these advisors who were, you know, ostensibly helping him out. And she seemed to give a lot of credence to that; that Jackson didn't seem to know what was going on, that she never talked to Jackson, she never went to Neverland, and she never even had a very clear idea of who was in charge of everything -- Carol.

COSTELLO: It's just all kind of sad. You know, I'm just wondering why these co-conspirators are unindicted.

MARQUEZ: It's a very good question. You know, we have surmised that they are unindicted, because the prosecution is trying to get some of them or all of them to flip and to testify against Mr. Jackson. We believe at least one of them has. But, you know, they are unindicted, because the prosecution would say, well, they just didn't do enough in the conspiracy to do it; that Mr. Jackson was at the head of this conspiracy, and he was orchestrating this. After yesterday's testimony, I think that's going to be difficult to prove.

COSTELLO: Who takes the stand today, Miguel?

MARQUEZ: We have a Detective Lafferty on the stand today. He took it just briefly yesterday, about a half-hour yesterday. He is a detective with the Santa Barbara County Sheriff's Office. And he's a forensic specialist.

And so far what they've done is gone through lots of pictures of Neverland Ranch, aerial photos and the like, and maps. And he's going to get into -- he's probably going to be up there for some time, and it's going to be testimony about sort of the makeup of Neverland Ranch, the raid of Neverland Ranch. He also shot typography and video of Neverland Ranch before, during and after the raid there.

So, he's going to basically describe this vast tract of land and, you know, Neverland experience for children to the jury.

COSTELLO: Interesting. Miguel Marquez reporting live from Santa Maria, California, this morning.

An update now on Steve Fossett. He's the pilot trying to fly around the globe on a tank of gas, so to speak. He had a fuel problem yesterday, and there was a danger he'd have to scrap the whole trip. But this morning, he's nearing California. Actually, he's over California. And he could actually arrive in Kansas by noon.

"AMERICAN MORNING's" Soledad O'Brien is here to tell us more.

Good morning -- Soledad.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Carol, good morning to you.

As you mentioned, a big potential crisis, through, for millionaire-adventurer Steve Fossett. He is piloting the Virgin Atlantic GlobalFlyer. He is trying, as you mentioned, to fly solo around the world with just one tank of gas.

If you've been monitoring him online, you know that his plane mysteriously lost more than a ton of fuel really early on in the flight. Well, now he's got to rely on the tail winds to make it back to Kansas.

There were concerns that the team would have to give up. But he now says he is going to push on for the record. Is he risking his life, though, is the question? We're going to get an update at a press conference and also talk with him this morning live from his team.

Back to you -- Carol. We'll see you at the top of the hour.

COSTELLO: We will. Thank you, Soledad.

A big release is expected tomorrow. We're not talking about the next Hollywood blockbuster. Martha Stewart will be out of prison. We'll talk with a financial expert about what that means to Stewart's company.

We'll be right back.

(COMMERCIAL BREAK)

COSTELLO: Friday is "R" day for Martha Stewart. That would be "release" day. She'll leave prison to expected fanfare. Actually, her company, Omnimedia, has hired a huge flatbed truck, so photographers can get a good shot of her as she leaves the poky. It's for her fans, they say.

So, everything looks rosy for Martha, or does it?

Diane Brady, senior writer for "Business Week" magazine, is here to tell us more.

Is everything really rosy for Martha? I mean, her stock is up at her company. She has a reality TV show. She's lost weight.

DIANE BRADY, "BUSINESS WEEK": Well, she's probably the only convicted felon who is coming out richer than she went in to prison. That's for sure. So, personally, I think she's doing pretty well.

Her company, I think, is another matter altogether.

COSTELLO: Why do you think that?

BRADY: Well, I think in the short term, they're going to get a boost. There's no question. It's Martha, Martha, Martha. She's the real underdog. But they've gone back to being all about Martha.

And here, they've taken her out of the magazine. They really were trying to build up secondary brands. Now, they're going back to be all about this 63-year-old woman, and that makes for a pretty fragile company in some ways.

COSTELLO: Yes. But look at the pub she's going to get. She's going to do this reality show.

BRADY: I know. She's a one-woman publicity machine. And the reality show is not owned by the company. There's a syndicated show being done by Mark Burnett. There's also one in the evening, "The Apprentice," which is the sort of Trump spin-off. That has nothing to do with her company. They'll get free publicity.

But then there's the question: How is Martha going to come across on "The Apprentice?" If she comes across as a really hard-line boss, that might not be very compatible with, you know, the perfect homemaker we're used to seeing in the garden.

COSTELLO: And she's used to really controlling her image. And this time, she's not going to have that kind of control.

BRADY: And it's a different image. I mean, she's basically coming back as the underdog. We knew her as the person who was perfection. She was the one who taught Americans how to live, and then sold them all of the stuff to do it. It's a very different image now, and I think Americans are rooting for her. The question is how long and how sustainable it will be.

COSTELLO: And, you know, talk, too, about oversaturation, because she is going to be everywhere on Friday.

BRADY: Yes.

COSTELLO: And in the weeks to come. We will never hear enough about Martha Stewart. BRADY: And there's apparently a book coming out. There is talk that she might get $10 million to do a book. She is going to be a staple, I'm sure, on the talk show circuit. So, yes, there's going to be a lot of Martha in the next few weeks. Let's just hope people want to see her a year or two years from now.

COSTELLO: Let's talk about the people around her, because we haven't heard anything about Peter Bacanovic, the stockbroker. Is he still in prison?

BRADY: Yes. And he's actually apparently planning a career in Hollywood. They're both trying to appeal their conviction. I don't know exactly how he's going to have that career in Hollywood. But clearly, I think his future in the securities industry at this point is pretty limited.

COSTELLO: That's pretty much done. But he is a good-looking guy, and you never know.

BRADY: He is. You never know, right, exactly.

COSTELLO: And if he spills dirt about Martha, he could make a big book.

BRADY: He could make a book, I'm sure. Whether he'll have his own reality show, I doubt that. But I'm sure there's a future for him somewhere.

COSTELLO: Diane, thank you for joining DAYBREAK this morning.

BRADY: Thank you.

COSTELLO: As Martha Stewart prepares for her prison release, a CNN primetime special. I told you she'd be everywhere. "PEOPLE IN THE NEWS" looks at Martha Stewart. That's tonight at 10:00 p.m. Eastern, 7:00 Pacific Time.

DAYBREAK will be right back.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports. It is 6:46 Eastern. Here's what's all new this morning.

In a statement, the Vatican says that Pope John Paul II is -- quote -- "progressively improving." Doctors haven't set a date for the pontiff to leave the hospital. A spokesman for the pope wants to go back to the Vatican, but says he accepts the doctors' advice not to leave the hospital too soon.

In the hunt for those who killed the husband and mother of a federal judge in Chicago, police have released sketches of two persons of interest. The first is a white man, 50 to 60 years old, with hazel eyes and a large build. The other is also white in his mid-20s with strawberry-blond hair. The Zippo Company is protesting the new ban on cigarette lighters in airplane cabins. The company says the ban could cost them up to 30 percent of their total sales. Zippo says lighters in checked luggage present no safety or security risks.

In culture, the Ellen DeGeneres show chalked up 11 daytime Emmy nominations in the talk show category. Martha Stewart, who has only been watching TV, racked up three nominations.

In sports, Jackie Robinson gets a Congressional gold nimble -- gold medal, rather, at a White House ceremony. President Bush presented the award to Robinson's widow, Rachel (ph).

To the forecast center and Chad.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you.

From the slammer to glamour. As we've been telling you, Martha Stewart serves her sentence, and she gets ready for a comeback. Can she make up for the past?

"AMERICAN MORNING" will have much more on Martha Stewart. So, let's check in with Bill Hemmer now.

Good morning -- Bill.

BILL HEMMER, CNN ANCHOR: Hey, Carol, good morning to you.

About this time tomorrow, Martha Stewart may be released from serving her time. Five months behind bars. We'll tell you about the posh estate she will now move into, a big difference, Carol, from the prison digs in West Virginia.

And speaking of which, a sneak peek today, exclusive videotape of Stewart behind bars. We'll show that to you.

And Jeff Toobin is here to tell us about the still lingering legal challenges Martha Stewart will still face. Many say this is the comeback of Martha Stewart. And if you look at what she is lining up right now in her life, Carol, it's going to be one heck of a year for Martha Stewart, starting tomorrow.

We'll have it for you in 11 minutes, OK?

COSTELLO: All right, we'll be here. Thank you, Bill.

HEMMER: OK, bye-bye.

COSTELLO: They seemed like the perfect Hollywood couple. Straight ahead, big news about Charlie Sheen and Denise Richards as they await the birth of their second child.

(COMMERCIAL BREAK) COSTELLO: As we've been telling you, we have been following new developments out of Rome this morning. And there is some good news about Pope John Paul II. So, let's head live to Rome and check in with Alessio Vinci.

Good morning -- Alessio.

ALESSIO VINCI, CNN CORRESPONDENT: Good morning to you, Carol.

Vatican officials just released the very latest update on the pope's health. And they are saying -- quote -- "the pope is progressively improving." And this is the only thing that really is new here, if you want, because all other elements in this bulletin has been previously stated, and that is that the pope is eating regularly as well as spending several hours each day in an armchair.

And also the Vatican bulletin says the surgical wound on the pope's throat is healing. He also says that he continues his daily rehabilitation and reading and voice exercises with the active collaboration, according to the Vatican, of the pope himself.

We also know that the next bulletin will be released only on Monday.

Now, the Vatican chief spokesman also told reporters after distributing this bulletin that the pope wants to very much return to the Vatican as soon as possible. But, of course, he will listen to the advice of the doctors before being discharged.

This is the second time the pope was hospitalized. As you know, the first time around he went home at his insistence only nine days after being admitted here with a breathing spasm. But, of course, the pope wants very much to be back at the Vatican by the end of the month when Easter celebrations begin.

Back to you -- Carol.

COSTELLO: All right, Alessio Vinci live in Rome this morning.

It is 6:53 Eastern. Here's what will be making news today.

Closing arguments are expected to wrap up today in the trial of Robert Blake. The actor could be sentenced to life in prison if convicted of murdering his wife, Bonny Lee Bakley.

A group of researchers is protesting a planned performance by rap singer Nellie at Arkansas State University. They say they don't want the Grammy winner's message in their town.

And a Hollywood shocker this morning. Are you ready? Actor Charlie Sheen and his wife, Denise Richards, are getting a divorce. They've been married three years. Richards is six-months pregnant with the couple's second child.

This is DAYBREAK for Thursday.

(COMMERCIAL BREAK)

COSTELLO: It's stump the weatherman day at DAYBREAK.

CHAD MYERS, CNN METEOROLOGIST: It is.

COSTELLO: And we had so many questions this morning that we have to answer a few more.

MYERS: I have really a nice question from Adam in Scottsdale, Arizona: "Why, if summer solstice is the start of summer why is that the longest day? Why isn't that the middle of summer? After this, the daylight hours started getting shorter. So, shouldn't we re- center our summer to our winter?"

The problem with that is that, Carol, that June 21 or 20th, whatever day it may fall on this year, that is not the warmest day of the year. Even though it's the longest day of the year, the warmest day doesn't happen for another month, because of what we call seasonal lag. It keeps warming up and warming, warming, warming, and usually a July or an August day will be much warmer than a June day.

It's hard to think of why this happens, but the solar radiation, the incoming radiation from the sun is still stronger than the cooling we have in the overnight hours all the way to and through July. It's like taking the fire and putting it on a pot, but then putting ice cubes in the pot as well. Well, in the summer all the way through July, the fire is bigger than the ice cubes. Well, in the wintertime, we turn the fire down, keep the ice cubes in, and then the water cools down, because the ice cubes are stronger than the smaller fire.

COSTELLO: I feel like playing that game, like -- anyway.

It's time to give away a DAYBREAK coffee mug now.

MYERS: What day? All right, the ones from yesterday. The question: What movie trailer will air during an episode of the "OC?" And that obviously was "Star Wars: Episode 3." And the mayor of what city wants to fine the weather forecasters? And that was Moscow.

And the winner from Florida, John Mullins from Niceville, Florida. It may be so nice in Niceville, Florida, today. There will be showers there for you, John. But at least you're going to get a coffee mug in the mail.

Now the question for today. What company predicts a profit loss due to a new airline security measure? And early filers have seen an average increase of how much in their IRS refunds?

E-mail your answers to Daybreak@CNN.com.

COSTELLO: Yes. Those are good questions. Daybreak@CNN.com.

Friday on DAYBREAK, Martha Stewart free again. Tomorrow is the day she's expected to be released from that prison in West Virginia. And if they sneak her out early in the morning, you'll know about it on DAYBREAK. And the SAT your kids will take this year is a lot different than what we took back in the day. I'll talk to the president of the College Board.

From the Time Warner center in New York, I'm Carol Costello, along with Chad Myers. "AMERICAN MORNING" starts right now.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.


Aired March 3, 2005 - 06:32   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: We've been awaiting word from the Vatican on Pope John Paul II's condition. And we just got word -- actually, the AP just got word. It is reporting that the Vatican is saying -- and you're looking at live pictures now of them passing out the press releases. Those sheets of paper say that the pope is progressively improving. And that's about what all those papers say. We'll try to get more from Alessio Vinci in just a moment.
You are watching DAYBREAK.

And good morning to you. From the Time Warner center in New York, I'm Carol Costello, along with Chad Myers.

"Now in the News."

Chicago police have released sketches of two persons of interest seen near the home of a federal judge whose husband and mother were killed. One of the men is described as 50 to 60 years old with hazel eyes and a large build. The other man, in his mid-20s, with strawberry-blond hair.

Two Jewish groups are blasting Senator Robert Byrd for comparing the Nazis and a Republican plan to block Democrats from filibustering. A spokesman for the West Virginia Democrat says the remarks were meant as a warning to heed the past and not as a comparison to Republicans.

It's been two years since the deadly nightclub fire in Rhode Island. Today, federal investigators will release ways to improve building safety. One hundred people died when sparks from a band's stage show went off.

Some federal screeners at Atlanta's airport -- at an Atlanta airport, rather, are complaining about training. According to the "Atlanta Journal-Constitution," workers are getting pressured to hurry through training. They're then told to sign forms saying they've been adequately trained.

To the forecast center now and Chad.

(WEATHER REPORT)

COSTELLO: Conspiracy theories dominated day two of testimony in the Michael Jackson trial. But did it help the prosecution's case?

For that and a look ahead to today's action, let's join CNN's Miguel Marquez. He is live in Santa Maria, California. Good morning -- Miguel.

MIGUEL MARQUEZ, CNN CORRESPONDENT: Good morning there, Carol. How are you?

COSTELLO: So, Michael Jackson's PR person took the stand yesterday. She was hired to do damage control after this Bashir documentary. How much did her testimony affect the case?

MARQUEZ: Well, it's not entirely clear. You know, she was a witness for the prosecution. We all kind of expected her to score these knockout points, and she did score some. She talked about her concern for the accuser and his family during a phone call with Marc Schaffel, one of the unindicted co-conspirators. He said that they were -- the situation was contained, at one point, and she was sort of concerned about that. She thought that Mark Geragos, Jackson's former lawyer, was trying to silence her at one point.

And then just days after that British documentary aired when she was hired, David LeGrand, another Jackson attorney, told her not to worry about the accuser's mother, because -- "they had her on tape and were going to make her look like a crack (EXPLETIVE DELETED)" -- unquote. That's from a lawyer.

The defense scored their own points as well with hours of questioning by Tom Mesereau, Jr., Mr. Jackson's attorney. And under those hours of questioning it became clear that they were trying to separate Jackson from these unindicted co-conspirators, these advisors who were, you know, ostensibly helping him out. And she seemed to give a lot of credence to that; that Jackson didn't seem to know what was going on, that she never talked to Jackson, she never went to Neverland, and she never even had a very clear idea of who was in charge of everything -- Carol.

COSTELLO: It's just all kind of sad. You know, I'm just wondering why these co-conspirators are unindicted.

MARQUEZ: It's a very good question. You know, we have surmised that they are unindicted, because the prosecution is trying to get some of them or all of them to flip and to testify against Mr. Jackson. We believe at least one of them has. But, you know, they are unindicted, because the prosecution would say, well, they just didn't do enough in the conspiracy to do it; that Mr. Jackson was at the head of this conspiracy, and he was orchestrating this. After yesterday's testimony, I think that's going to be difficult to prove.

COSTELLO: Who takes the stand today, Miguel?

MARQUEZ: We have a Detective Lafferty on the stand today. He took it just briefly yesterday, about a half-hour yesterday. He is a detective with the Santa Barbara County Sheriff's Office. And he's a forensic specialist.

And so far what they've done is gone through lots of pictures of Neverland Ranch, aerial photos and the like, and maps. And he's going to get into -- he's probably going to be up there for some time, and it's going to be testimony about sort of the makeup of Neverland Ranch, the raid of Neverland Ranch. He also shot typography and video of Neverland Ranch before, during and after the raid there.

So, he's going to basically describe this vast tract of land and, you know, Neverland experience for children to the jury.

COSTELLO: Interesting. Miguel Marquez reporting live from Santa Maria, California, this morning.

An update now on Steve Fossett. He's the pilot trying to fly around the globe on a tank of gas, so to speak. He had a fuel problem yesterday, and there was a danger he'd have to scrap the whole trip. But this morning, he's nearing California. Actually, he's over California. And he could actually arrive in Kansas by noon.

"AMERICAN MORNING's" Soledad O'Brien is here to tell us more.

Good morning -- Soledad.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Carol, good morning to you.

As you mentioned, a big potential crisis, through, for millionaire-adventurer Steve Fossett. He is piloting the Virgin Atlantic GlobalFlyer. He is trying, as you mentioned, to fly solo around the world with just one tank of gas.

If you've been monitoring him online, you know that his plane mysteriously lost more than a ton of fuel really early on in the flight. Well, now he's got to rely on the tail winds to make it back to Kansas.

There were concerns that the team would have to give up. But he now says he is going to push on for the record. Is he risking his life, though, is the question? We're going to get an update at a press conference and also talk with him this morning live from his team.

Back to you -- Carol. We'll see you at the top of the hour.

COSTELLO: We will. Thank you, Soledad.

A big release is expected tomorrow. We're not talking about the next Hollywood blockbuster. Martha Stewart will be out of prison. We'll talk with a financial expert about what that means to Stewart's company.

We'll be right back.

(COMMERCIAL BREAK)

COSTELLO: Friday is "R" day for Martha Stewart. That would be "release" day. She'll leave prison to expected fanfare. Actually, her company, Omnimedia, has hired a huge flatbed truck, so photographers can get a good shot of her as she leaves the poky. It's for her fans, they say.

So, everything looks rosy for Martha, or does it?

Diane Brady, senior writer for "Business Week" magazine, is here to tell us more.

Is everything really rosy for Martha? I mean, her stock is up at her company. She has a reality TV show. She's lost weight.

DIANE BRADY, "BUSINESS WEEK": Well, she's probably the only convicted felon who is coming out richer than she went in to prison. That's for sure. So, personally, I think she's doing pretty well.

Her company, I think, is another matter altogether.

COSTELLO: Why do you think that?

BRADY: Well, I think in the short term, they're going to get a boost. There's no question. It's Martha, Martha, Martha. She's the real underdog. But they've gone back to being all about Martha.

And here, they've taken her out of the magazine. They really were trying to build up secondary brands. Now, they're going back to be all about this 63-year-old woman, and that makes for a pretty fragile company in some ways.

COSTELLO: Yes. But look at the pub she's going to get. She's going to do this reality show.

BRADY: I know. She's a one-woman publicity machine. And the reality show is not owned by the company. There's a syndicated show being done by Mark Burnett. There's also one in the evening, "The Apprentice," which is the sort of Trump spin-off. That has nothing to do with her company. They'll get free publicity.

But then there's the question: How is Martha going to come across on "The Apprentice?" If she comes across as a really hard-line boss, that might not be very compatible with, you know, the perfect homemaker we're used to seeing in the garden.

COSTELLO: And she's used to really controlling her image. And this time, she's not going to have that kind of control.

BRADY: And it's a different image. I mean, she's basically coming back as the underdog. We knew her as the person who was perfection. She was the one who taught Americans how to live, and then sold them all of the stuff to do it. It's a very different image now, and I think Americans are rooting for her. The question is how long and how sustainable it will be.

COSTELLO: And, you know, talk, too, about oversaturation, because she is going to be everywhere on Friday.

BRADY: Yes.

COSTELLO: And in the weeks to come. We will never hear enough about Martha Stewart. BRADY: And there's apparently a book coming out. There is talk that she might get $10 million to do a book. She is going to be a staple, I'm sure, on the talk show circuit. So, yes, there's going to be a lot of Martha in the next few weeks. Let's just hope people want to see her a year or two years from now.

COSTELLO: Let's talk about the people around her, because we haven't heard anything about Peter Bacanovic, the stockbroker. Is he still in prison?

BRADY: Yes. And he's actually apparently planning a career in Hollywood. They're both trying to appeal their conviction. I don't know exactly how he's going to have that career in Hollywood. But clearly, I think his future in the securities industry at this point is pretty limited.

COSTELLO: That's pretty much done. But he is a good-looking guy, and you never know.

BRADY: He is. You never know, right, exactly.

COSTELLO: And if he spills dirt about Martha, he could make a big book.

BRADY: He could make a book, I'm sure. Whether he'll have his own reality show, I doubt that. But I'm sure there's a future for him somewhere.

COSTELLO: Diane, thank you for joining DAYBREAK this morning.

BRADY: Thank you.

COSTELLO: As Martha Stewart prepares for her prison release, a CNN primetime special. I told you she'd be everywhere. "PEOPLE IN THE NEWS" looks at Martha Stewart. That's tonight at 10:00 p.m. Eastern, 7:00 Pacific Time.

DAYBREAK will be right back.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports. It is 6:46 Eastern. Here's what's all new this morning.

In a statement, the Vatican says that Pope John Paul II is -- quote -- "progressively improving." Doctors haven't set a date for the pontiff to leave the hospital. A spokesman for the pope wants to go back to the Vatican, but says he accepts the doctors' advice not to leave the hospital too soon.

In the hunt for those who killed the husband and mother of a federal judge in Chicago, police have released sketches of two persons of interest. The first is a white man, 50 to 60 years old, with hazel eyes and a large build. The other is also white in his mid-20s with strawberry-blond hair. The Zippo Company is protesting the new ban on cigarette lighters in airplane cabins. The company says the ban could cost them up to 30 percent of their total sales. Zippo says lighters in checked luggage present no safety or security risks.

In culture, the Ellen DeGeneres show chalked up 11 daytime Emmy nominations in the talk show category. Martha Stewart, who has only been watching TV, racked up three nominations.

In sports, Jackie Robinson gets a Congressional gold nimble -- gold medal, rather, at a White House ceremony. President Bush presented the award to Robinson's widow, Rachel (ph).

To the forecast center and Chad.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you.

From the slammer to glamour. As we've been telling you, Martha Stewart serves her sentence, and she gets ready for a comeback. Can she make up for the past?

"AMERICAN MORNING" will have much more on Martha Stewart. So, let's check in with Bill Hemmer now.

Good morning -- Bill.

BILL HEMMER, CNN ANCHOR: Hey, Carol, good morning to you.

About this time tomorrow, Martha Stewart may be released from serving her time. Five months behind bars. We'll tell you about the posh estate she will now move into, a big difference, Carol, from the prison digs in West Virginia.

And speaking of which, a sneak peek today, exclusive videotape of Stewart behind bars. We'll show that to you.

And Jeff Toobin is here to tell us about the still lingering legal challenges Martha Stewart will still face. Many say this is the comeback of Martha Stewart. And if you look at what she is lining up right now in her life, Carol, it's going to be one heck of a year for Martha Stewart, starting tomorrow.

We'll have it for you in 11 minutes, OK?

COSTELLO: All right, we'll be here. Thank you, Bill.

HEMMER: OK, bye-bye.

COSTELLO: They seemed like the perfect Hollywood couple. Straight ahead, big news about Charlie Sheen and Denise Richards as they await the birth of their second child.

(COMMERCIAL BREAK) COSTELLO: As we've been telling you, we have been following new developments out of Rome this morning. And there is some good news about Pope John Paul II. So, let's head live to Rome and check in with Alessio Vinci.

Good morning -- Alessio.

ALESSIO VINCI, CNN CORRESPONDENT: Good morning to you, Carol.

Vatican officials just released the very latest update on the pope's health. And they are saying -- quote -- "the pope is progressively improving." And this is the only thing that really is new here, if you want, because all other elements in this bulletin has been previously stated, and that is that the pope is eating regularly as well as spending several hours each day in an armchair.

And also the Vatican bulletin says the surgical wound on the pope's throat is healing. He also says that he continues his daily rehabilitation and reading and voice exercises with the active collaboration, according to the Vatican, of the pope himself.

We also know that the next bulletin will be released only on Monday.

Now, the Vatican chief spokesman also told reporters after distributing this bulletin that the pope wants to very much return to the Vatican as soon as possible. But, of course, he will listen to the advice of the doctors before being discharged.

This is the second time the pope was hospitalized. As you know, the first time around he went home at his insistence only nine days after being admitted here with a breathing spasm. But, of course, the pope wants very much to be back at the Vatican by the end of the month when Easter celebrations begin.

Back to you -- Carol.

COSTELLO: All right, Alessio Vinci live in Rome this morning.

It is 6:53 Eastern. Here's what will be making news today.

Closing arguments are expected to wrap up today in the trial of Robert Blake. The actor could be sentenced to life in prison if convicted of murdering his wife, Bonny Lee Bakley.

A group of researchers is protesting a planned performance by rap singer Nellie at Arkansas State University. They say they don't want the Grammy winner's message in their town.

And a Hollywood shocker this morning. Are you ready? Actor Charlie Sheen and his wife, Denise Richards, are getting a divorce. They've been married three years. Richards is six-months pregnant with the couple's second child.

This is DAYBREAK for Thursday.

(COMMERCIAL BREAK)

COSTELLO: It's stump the weatherman day at DAYBREAK.

CHAD MYERS, CNN METEOROLOGIST: It is.

COSTELLO: And we had so many questions this morning that we have to answer a few more.

MYERS: I have really a nice question from Adam in Scottsdale, Arizona: "Why, if summer solstice is the start of summer why is that the longest day? Why isn't that the middle of summer? After this, the daylight hours started getting shorter. So, shouldn't we re- center our summer to our winter?"

The problem with that is that, Carol, that June 21 or 20th, whatever day it may fall on this year, that is not the warmest day of the year. Even though it's the longest day of the year, the warmest day doesn't happen for another month, because of what we call seasonal lag. It keeps warming up and warming, warming, warming, and usually a July or an August day will be much warmer than a June day.

It's hard to think of why this happens, but the solar radiation, the incoming radiation from the sun is still stronger than the cooling we have in the overnight hours all the way to and through July. It's like taking the fire and putting it on a pot, but then putting ice cubes in the pot as well. Well, in the summer all the way through July, the fire is bigger than the ice cubes. Well, in the wintertime, we turn the fire down, keep the ice cubes in, and then the water cools down, because the ice cubes are stronger than the smaller fire.

COSTELLO: I feel like playing that game, like -- anyway.

It's time to give away a DAYBREAK coffee mug now.

MYERS: What day? All right, the ones from yesterday. The question: What movie trailer will air during an episode of the "OC?" And that obviously was "Star Wars: Episode 3." And the mayor of what city wants to fine the weather forecasters? And that was Moscow.

And the winner from Florida, John Mullins from Niceville, Florida. It may be so nice in Niceville, Florida, today. There will be showers there for you, John. But at least you're going to get a coffee mug in the mail.

Now the question for today. What company predicts a profit loss due to a new airline security measure? And early filers have seen an average increase of how much in their IRS refunds?

E-mail your answers to Daybreak@CNN.com.

COSTELLO: Yes. Those are good questions. Daybreak@CNN.com.

Friday on DAYBREAK, Martha Stewart free again. Tomorrow is the day she's expected to be released from that prison in West Virginia. And if they sneak her out early in the morning, you'll know about it on DAYBREAK. And the SAT your kids will take this year is a lot different than what we took back in the day. I'll talk to the president of the College Board.

From the Time Warner center in New York, I'm Carol Costello, along with Chad Myers. "AMERICAN MORNING" starts right now.

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