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American Morning
Michael Jackson Trial; Judge's Family Killed; 'House Call'
Aired March 03, 2005 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SOLEDAD O'BRIEN, CNN ANCHOR: At the Michael Jackson trial, going inside Neverland today. The witness on the stand who saw it all during a famous police raid.
Saying good-bye to prison and the lessons learned at Camp Cupcake. Exclusive pictures today of Martha Stewart behind bars.
And those daring men and their flying machines. Pilot Steve Fossett now just hours away from an amazing feat on this AMERICAN MORNING.
ANNOUNCER: From the CNN Broadcast Center in New York, this is AMERICAN MORNING with Soledad O'Brien and Bill Hemmer.
BILL HEMMER, CNN ANCHOR: Good morning, everyone. Nine o'clock here in New York.
Richard Branson, Sir Richard Branson, is holding a news conference at this hour, talking about the progress of his partner, Steve Fossett, who is right now trying to finish the final leg of the 'round-the-world flight on a single fill-up, one tank of gas. We'll see whether or not he makes it in a few hours, but we will also dip in, in a moment, let you know what we're learning about where he is right now and the progress he's making.
O'BRIEN: And, of course, the big problem is that they lost some 2,600 pounds of fuel. Whether or not he's going to make it, will the tailwinds be enough to sustain him across, all those are big questions this morning.
Also this morning, we'll meet three sisters. They made a decision together. They all got gastric bypass surgery. We're going to talk this morning to them about their experience, find out just how much weight they lost and why they say this is what saved their lives.
HEMMER: Back to Jack Cafferty.
Good morning, Jack.
JACK CAFFERTY, CNN ANCHOR: Hi, Bill.
An ominous warning yesterday from Federal Reserve chairman Alan Greenspan. He says this country is headed toward decades of economic stagnation unless something is done about runaway spending and deficits.
Got any ideas? AM@CNN.com. We'll read some mail in a half-hour or so.
O'BRIEN: Thanks, Jack.
Let's get right to the headlines with Carol Costello.
Hey, good morning.
CAROL COSTELLO, CNN ANCHOR: Good morning. Good morning, everyone.
"Now in the News," the number of U.S. deaths in Iraq has now passed another sad milestone. The death toll now just over 1,500 for U.S. troops. And the violence continues there this morning.
Today, at least five Iraqi police officers were killed in attacks in Baghdad, seven others injured. Interim Prime Minister Ayad Allawi has extended a state of emergency for that country.
In Fresno, California, Marcus Wesson, the man accused of killing nine of his children, is about to face a jury. A California judge will decide today whether the trial should be moved out of Fresno County. His lawyer says Wesson can't get a fair trial there. If the motion is denied, the jury will be sworn in today and opening statements could begin as soon as tomorrow.
President Bush is not giving up on his Social Security plan just yet. Aides say the president is going on the road beginning tomorrow. He's planning a 60-day, 60-stop campaign blowout. His first stops, Indiana and New Jersey.
And basketball star Kobe Bryant has settled a civil suit with the woman accusing him of sexual assault. No word on the terms of the agreement, but Bryant's attorney says both parties are satisfied. Bryant had absolutely no comment when asked about it last night. In fact, he only wanted to talk about basketball.
HEMMER: Basketball and the game in Boston.
COSTELLO: Exactly.
HEMMER: Thanks, Carol.
O'BRIEN: Pop star Michael Jackson says he is "happy and confident" with the way that his child molestation trial is going so far, despite some potentially damaging testimony from a public relations employee.
CNN's Miguel Marquez live for us in Santa Maria, California, this morning.
Hey, Miguel. Good morning.
MIGUEL MARQUEZ, CNN CORRESPONDENT: Good morning to you there, Soledad.
Yes, that public relations person was Ann Kite. She was only employed by the Jackson camp for six days. She was a witness for the prosecution. But in the end, it wasn't clear who she helped, the prosecution or the defense.
(BEGIN VIDEOTAPE)
MARQUEZ (voice-over): Michael Jackson putting on a confident face after a day of testimony from a P.R. agent who was hired as a crisis manager days after the Martin Bashir documentary aired in February 2003.
RAYMONE BAIN, JACKSON SPOKESWOMAN: Michael feels very confident in his defense team. And he feels very happy about yesterday and today.
MARQUEZ: Ann Marie Kite testified she was fired after six days on the job. In her short time with team Jackson, she said she grew concerned for the safety of the accuser and his family, felt Jackson's former attorney, Mark Geragos, was trying to silence her, and that just days after the Bashir documentary aired, another Jackson attorney, David LeGrand 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 whore."
ANNE BREMNER, LEGAL ANALYST: I mean, that's the best thing that the prosecution brought out, and that was dynamite evidence.
MARQUEZ: But the defense scored points, too. During hours of questioning by Jackson's lawyer, Kite divulged that she felt Jackson's advisers, including several of those who are now named as co- conspirators in the charges against the pop star, were scheming against him for their own financial gain. Kite also testified that she never met Jackson, never visited Neverland and never had a clear idea of who was in charge.
(END VIDEOTAPE)
MARQUEZ: Now on the stand today will be Albert Laugherty (ph). He's an investigator with the Santa Barbara County Sheriff's Office. He took the stand for a short time yesterday afternoon. He's a forensics expert who did videotapes, videography of Neverland Ranch, and will basically expose the jurors and show them Neverland Ranch -- Soledad.
O'BRIEN: Miguel Marquez. Looking forward to that testimony, of course. Thanks, Miguel. Appreciate it -- Bill.
HEMMER: From Chicago, police have released sketches of two men they want to talk to about the murders of the husband and mother of federal Judge Joan Humphrey Lefkow. So far, the police are not calling the men suspects, but instead persons of interests.
Both men are white, on in his mid-20s, seen in a car near the judge's home. And the other in his 50s, wearing dark coveralls and a dark knit cap. Natasha Korecki is a reporter with the "Chicago Sun- Times." She tells us today about the latest in this investigation.
(BEGIN VIDEOTAPE)
NATASHA KORECKI, "CHICAGO SUN-TIMES" REPORTER: Last night police released two composite sketches of two men various witnesses have said they had seen in the neighborhood. We've been hearing reports of this from a couple days ago.
We know that one witness saw two men in a red car just down the block from the Lefkows' home the morning of the murder, about 8:00 a.m. We also know that there's been other witnesses who have seen these two men.
Police aren't specifically tying -- tying the two composite sketches to the men seen in the car, but the descriptions seem similar. And that's what they're looking at right now. It's another lead. Just one of many, but it does seem like they're people of interest.
HEMMER: Your paper talked with Judge Lefkow. In part, she said this: She says, "If someone was angry at me, they should go after me. It's not fair to go after my family."
How is she handling this?
KORECKI: You know, as best she can. She's devastated right now. She's lost her mother and her husband. And from what everyone has described, Michael Lefkow and the judge, they were just very much in love.
Always walking together hand in hand. He moved his office to be near her, to overlook her, walked her into the courtroom building every day, picked her up every day. They would lunch together.
She's absolutely devastated. But she was -- she did say that she was not going to be intimidated and not going to step down from the bench. She would return to the bench. And right now she's foremost thinking about her daughters.
HEMMER: Did she say in that interview whether or not who she thought might be responsible? Did she talk at all about Matthew Hale, this jailed white supremacist leader who has issued threats in years past against her?
KORECKI: She didn't want to specifically get into the Hale case. But she did say generally that she was afraid or she feared that the people who did this did it because of some of her work on the bench. Other than that, she didn't make any more ties to anyone.
HEMMER: One of their daughters apparently is about to get married.
KORECKI: Yes.
HEMMER: And she talked about that as well. In part, she said her husband had gotten himself a tux to wear to that wedding and was so looking forward to walking his daughter down the aisle, and now he will not be able to do that. This was a tight family, as you point out.
KORECKI: Yes, very much so. She's -- that was just one of many things that they were thinking about that was a very emotional thing for them.
Their oldest daughter, Helen, I believe, is getting married this summer. And they're all looking very forward to it. And now she won't have her father to walk her down the aisle. It's very sad.
(END VIDEOTAPE)
HEMMER: Natasha Korecki earlier today, "Chicago Sun-Times" on AMERICAN MORNING.
Police say they're also looking into past cases that Judge Lefkow's husband, Michael Lefkow, had handled -- Soledad.
O'BRIEN: We've got a shot to show you of Salina, Kansas. This is where a press conference, a press briefing is going on right there. They're talking about Steve Fossett and the progress that he is making on his potentially historic flight.
Steve Fossett, there he is right there. Just moments ago he was talking remotely from the Global Flyer. He's said that things are going well, he's going to try to land in Salina, Kansas, at 2:20 Eastern Time if all goes well.
Of course the "if all goes well" is the critical part of this, because there have been issues, of course, with the fuel and the tailwinds as well. He's over land.
You're looking at Sir Richard Branson. He's a close friend of Steve Fossett's. He's also the guy who is financing this trip, and he was just talking to Steve Fossett a moment ago and said, "Hey, Steve, I'm looking forward to seeing you at lunchtime."
So hopefully the two of them will be able to make history not too long from now. We're going to obviously keep following that this morning and through the afternoon.
But first, let's get a check of the weather. Chad Myers at the CNN Center. He's got a look at the latest forecast for us.
(WEATHER REPORT)
O'BRIEN: Any moment now we are expecting to hear from President Bush. He's going to make some remarks after the new Homeland Security chief is sworn in. We're going to bring that to you live when it happens.
HEMMER: Also in a moment here, video games are hotter than ever, but not every game is appropriate for every person, especially kids. We'll tell you about a new tool for parents that's on the market.
O'BRIEN: And three overweight sisters with three pretty amazing success stories. How they lost an incredible 367 pounds combined up next on AMERICAN MORNING.
(COMMERCIAL BREAK)
O'BRIEN: It is not a magic bullet for obesity, but gastric bypass surgery has made a dramatic difference for many people who are desperate to lose weight. Three sisters, Lee Ann McAndrew, Cindy Ratzlaff and Pam Marks say it essentially saved their lives. They each had the procedure. They lost a combined total of 367 pounds.
Ladies, good morning. Nice to see you. I mean, those numbers are pretty surprising.
Leeann, you were the first one who got it done. What brought you to that point? Because I imagine you've been on diets and you got to a pretty desperate point.
LEE ANN MCANDREW, HAD GASTRIC BYPASS SURGERY: Every diet, yes. Somebody asked me once, "Weren't you afraid you would die?" And I said, "Yes, I was, and that's why I had the surgery." Because I want to live for my 8-year-old son.
I have two grown children as well. But I have this little boy that I wanted to make sure that he had a mom when he grew up.
O'BRIEN: We're looking at a picture of you before. What did you weigh in this picture about?
MCANDREW: I probably weighed about 220 there.
O'BRIEN: How much weight have you lost since had the surgery?
MCANDREW: 115 pounds.
O'BRIEN: And you've been able to keep it off.
MCANDREW: Yes.
O'BRIEN: You had the surgery a couple years ago.
MCANDREW: I had it three years ago.
O'BRIEN: Then, Cindy, you had the surgery. Was it primarily because Lee Ann had such good results?
CINDY RATZLAFF, HAD GASTRIC BYPASS SURGERY: You know, I mean, I had been fighting obesity all my life. When I saw my sister lose weight, I definitely considered it. But it took me another two years to really decide to do it because I was afraid.
O'BRIEN: This is your before picture.
RATZLAFF: Yes. When I found that picture, I -- you know, I don't remember myself that way. But obviously I was. I loved that shirt. What was I thinking?
O'BRIEN: Horizontal stripes, no, no, no. That's not a good thing.
At the same time, we're joking now, but, Lee Ann, when you see your sister taking on surgery, people die from this surgery. Let's me real about it.
MCANDREW: I know.
O'BRIEN: Were you worried about in a way by being an example you sort of led your sister to...
MCANDREW: I definitely was. And especially after Pam had hers and she had so many complications. At one point we thought she might die. And it was horrifying.
O'BRIEN: Let's, in fact, talk about some of your complications, Pam. You saw two sisters come through with flying colors.
PAM MARKS, HAD GASTRIC BYPASS SURGERY: Yes.
O'BRIEN: And you said, well, I've got to get this done, because you had a lot of the same problems and a lot of the same issues. Your situation, your recovery, not the same at all. What happened?
MARKS: No. I ended up -- for the first three months after surgery I basically didn't eat anything. I was throwing up 14 times a day. My gallbladder was bad, and I didn't know it. So that's what caused all the problems for me.
O'BRIEN: We're looking at your before picture. How long before you really got back on the road to sort of healthy...
MARKS: It took me a good six months. I was able to function and do things, and I went back to work. But it did take me a while to fully recover and feel good.
O'BRIEN: How much weight did you lose?
MARKS: I've lost 127 pounds.
O'BRIEN: You are kind of losing -- I mean, literally a person.
MARKS: Oh, exactly.
RATZLAFF: We've lost our own evil twins. That's what we say.
(LAUGHTER)
O'BRIEN: That's kind of an interesting way to put it. Let's talk about what you can eat now.
Pam, I read that you have two bites of burger, that's it. And Cindy, I read that if you eat two Hershey's Kisses, that's fine, but three, that sends you over the edge and you'll be sick.
RATZLAFF: Yes. Sugar is really hard to take after the surgery for a lot of people for some reason. O'BRIEN: So what do you eat?
RATZLAFF: I -- you know, I do like chocolate. So I dish it out to myself in those small doses. And I have a little bit of chocolate every day, I have to say. But mostly we eat beans, rice.
O'BRIEN: You have to eat mushy-type food?
RATZLAFF: No. You don't. But just small amounts. And you have to chew it up very well.
O'BRIEN: It looks like you're making salads here. I'm not sure if that's just a photo for a magazine.
RATZLAFF: Yes. No, we actually eat a lot of salad.
O'BRIEN: Really?
RATZLAFF: Yes.
O'BRIEN: How about, you know, meat, chicken, steak?
MCANDREW: Chicken -- Pam and I had a steak last night for dinner. We split a steak.
MARKS: Yes.
O'BRIEN: How has this changed socially how you go out and eat and your lives socially? Are your spouses on board? I know that when people go on diets and successfully lose 20, 30 pounds, which is nowhere in the range of what you lost, a lot of ties they get a lot of resentment from their friends and their family members, too.
MCANDREW: I did have a couple of people say kind of rude things to me.
O'BRIEN: Like what kinds of things?
MCANDREW: Well, I can't really say on air, but...
O'BRIEN: Like unprintable things?
MCANDREW: Yes.
O'BRIEN: These are friends?
MCANDREW: You skinny...
O'BRIEN: XYZ. Wow. Was that hurtful? Or did you sort of understand where they were coming from?
MCANDREW: Actually, no. I said, "Thank you."
MARKS: The same thing happened to me. Somebody called me that, and it was a person who was larger and they were jealous. And because, according to them, I took the easy way out. O'BRIEN: That is actually a fairly, I think, common criticism. Sort of like, oh, so you just had the surgery. What do you make of that?
RATZLAFF: Well, you know, if you were a diabetic, you wouldn't tell somebody they took the easy way out if they took insulin. Or if you had heart disease, you wouldn't tell somebody that they took the easy way out because they had a bypass.
You do what you need to do. This was a medical condition exacerbated by the way we lived our lifestyles.
This was a tool. It helped us lose weight. And we're going to have to work at it to keep the weight off. We have to do right things to keep the weight off and stay healthy. I don't see that that was the easy way.
O'BRIEN: I don't know. Especially now, you have to be very careful about what you eat. None of it sounds easy to me yet, not one part of it.
Pam, I'm curious to know, with all the problems that you had, would you still do it again if someone said -- you know, if the -- if we were brought back to a couple years ago and you were in the same situation, would you say, yes, I'm going to opt for the surgery?
MARKS: Well, within the first six months I did ask the doctor if it could be reversed because I was so sick. But now that I've gotten past that and I have recovered fully, I'd do it again in a heartbeat, even knowing that the same thing could happen again. It's still worth it because I have so much energy right now, it's hard for me to sit still right now on the couch.
O'BRIEN: Feel free to run around if you need to.
MARKS: Yes, I do. I dance -- we dance.
(CROSSTALK)
MARKS: Like when we were at my son's wedding, my brother, my sisters and I, we all danced for five hours straight. We couldn't have done that before. It would have killed us. And we just -- we just have energy galore now.
O'BRIEN: Wow. Well, that's great. Thanks for sharing your remarkable story and some of the realities, too, I think, of the complications. I appreciate it, Lee Ann and Cindy and Pam -- Bill.
HEMMER: They look great. Well done.
Going to get you down to Washington in a moment here. Any minute now we expect to hear from the president speaking after the new secretary of Homeland Security is sworn in. When that happens, you'll see it live here on AMERICAN MORNING.
We're back in a moment here after this. (COMMERCIAL BREAK)
HEMMER: There is new help for parents trying to monitor the type of video games their kids are playing. The Entertainment Software Rating Board has a new rating. It is called E10-plus. That new category should help fill the gap between games rated E for Everyone and T for Teen, which is sometimes too violent or too mature for some kids.
O'BRIEN: That's good help for parents.
Time to check back in with Jack. He's got the "Question of the Day."
Good morning again.
CAFFERTY: Or you could just pay attention to what kind of stuff your kids are using and pay attention to what they do. That would be another approach.
A dire warning from Fed chairman Alan Greenspan that decades of economic stagnation are facing this country if something isn't done soon about runaway spending and deficits. We're asking what you think ought to be done to repair this nation's economy.
There won't be any Social Security reform it looks like now. Medicare is a bigger problem. Social Security, nobody is talking about doing anything about that. The politicians keep spending like it was found money instead of ours.
Tony writes: "Please relax. The U.S. economy is so large these trade and budget deficits are tiny relative to how quickly they could be eliminated. Before the second Bush term is over, the U.S. government will impose a tariff on imports and, presto, the trade and budget deficits are gone."
Buzz in Beaumont, Texas, "The answer's this: corporate tax rate 1943, 40 percent; 2001, 10 percent. Do you the math, Jack."
Jack in Wisconsin writes: "Follow the money. The nation's financial problems cannot be fixed until we get private money out of the public electoral system. Our politicians are bought and paid for by those who are killing America's economy."
And finally, Kevin in Naples, Florida, writes: "OK, Jack, so the country is screwed for decades. But what I want to know is how will that affect Martha? Will Martha be financially OK through it all?"
"Just tell me that Martha will be fine and I can sleep nights. Even though I am in poverty, just knowing Martha will be financially fine through it all will make it all OK."
HEMMER: Should have bought that stock at $9, huh?
O'BRIEN: Well, I guess Martha's going to be OK.
HEMMER: Yes, I would say.
O'BRIEN: All right, Jack. Thanks.
CAFFERTY: I'm not sure that was the point of his comment.
O'BRIEN: No, I -- yes, sarcasm. Thank you, Jack.
More AMERICAN MORNING right after this short break.
(BEGIN VIDEOTAPE)
O'BRIEN (voice-over): Ahead on a special edition of "90-Second Pop"...
MARTHA STEWART, MARTHA STEWART LIVING OMNIMEDIA: Good morning, everybody. And thank you for coming here today on such short notice.
O'BRIEN: It's Martha, Martha, Martha. She's almost out of the slammer. What will the domestic diva-turned-convict do on her first day of freedom? Plus, could her new TV gig hurt her company's bottom line?
That and more ahead on AMERICAN MORNING.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
HEMMER: Washington, this is Justice Sandra Day O'Connor, about to administer the oath, swearing in the next Homeland Security secretary, Michael Chertoff. Let's listen now at the Ronald Reagan Building in Washington.
(INTERRUPTED BY LIVE EVENT)
SANDRA DAY O'CONNOR, U.S. SUPREME COURT ASSOC. JUSTICE: It's an honor to administer the public oath of office to Michael Chertoff as our nation's second secretary of the Department of Homeland Security.
We are really fortunate that this remarkable man is willing to take on one of the toughest jobs in our nation. Secretary Chertoff is a star. He was a magna cum laude graduate of Harvard, as well as of the Harvard Law School. We'll forgive him for that, I guess.
(LAUGHTER)
He was a law clerk to my former colleague Justice William Brennan. He was a federal prosecutor, U.S. attorney in the District of New Jersey. He handled any number of very important cases in the U.S. Attorney's Office.
He was special counsel for the U.S. Senate Whitewater Commission. He was a partner in the Latham & Watkins law firm.
Importantly, he served as assistant attorney general for the Criminal Division in the Department of Justice, and he helped our nation's response to 9/11.
More recently, he's been serving as U.S. circuit judge for the Court of Appeals for the 3rd Circuit. He's given up a lifetime position as an underpaid, underappreciated federal court of appeals judge...
(LAUGHTER)
(APPLAUSE)
He's given that up for an underpaid, untenured position...
(LAUGHTER)
... in this most difficult new post.
As a citizen, I am grateful that Secretary Chertoff said, yes.
He's married to Meryl. They have two children. They're here today and standing by for the oath of office.
Congratulations and, more importantly, good luck.
(APPLAUSE)
Raise your right hand, please and repeat after me.
I, Michael Chertoff...
MICHAEL CHERTOFF, SECY. OF HOMELAND SECURITY: I, Michael Chertoff...
O'CONNOR: ... do solemnly swear...
CHERTOFF: ... do solemnly swear...
O'CONNOR: ... that I will support and defend...
CHERTOFF: ... that I will support and defend...
O'CONNOR: ... the Constitution of the United States...
CHERTOFF: ... the Constitution of the United States...
O'CONNOR: ... against all enemies, foreign and domestic...
CHERTOFF: ... against all enemies, foreign and domestic...
O'CONNOR: ... that I will bear true faith...
CHERTOFF: ... that I will bear true faith...
O'CONNOR: ... and allegiance to the same...
CHERTOFF: ... and allegiance to the same...
O'CONNOR: ... that I take this obligation freely...
CHERTOFF: ... that I take this obligation freely...
O'CONNOR: ... without any mental reservation or purpose of evasion...
CHERTOFF: ... without any mental reservation or purpose of evasion...
O'CONNOR: ... and that I will well and faithfully discharge...
CHERTOFF: ... and that I will well and faithfully discharge...
O'CONNOR: ... the duties of the office...
CHERTOFF: ... the duties of the office...
O'CONNOR: ... on which I'm about to enter...
CHERTOFF: ... on which I'm about to enter...
O'CONNOR: ... so help me God.
CHERTOFF: ... so help me God.
(APPLAUSE)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I'm pleased to be here at the Department of Homeland Security with our new secretary, Michael Chertoff.
(APPLAUSE)
And I'm honored to share this moment with Meryl and their children.
This is the third time -- not the first or the second, but the third time -- that I've asked Mike to serve our nation.
I keep asking him back for a reason: He is a talented public servant with an outstanding record of achievement and a deep commitment to the cause of justice.
As a federal court of appeals judge, assistant attorney general, U.S. attorney and federal prosecutor, Mike has worked tirelessly to make our people safer and our nation more secure.
BUSH: And now he will carry on that vital work as the secretary of homeland security.
I appreciate Michael's in-laws for being here. Always a good thing, Mike...
(LAUGHTER)
... to listen to your mother-in-law. (LAUGHTER)
I thank Justice Sandra Day O'Connor not only for being here to administer the oath of office, but for serving our nation with such class and such dignity.
(APPLAUSE)
I want to thank the members of the United States Senate, Senator Lautenberg and Senator Corzine from New Jersey, for being here.
And thank you for help shepherd this good man's nomination through the Senate.
I want to thank all the members of the House of Representatives who are here. And there's a lot from New Jersey that have joined us.
I want to thank the members of my Cabinet who are here and former members of my Cabinet.
And I want to thank the employees of the Department of Homeland Security. You have got a great boss.
(APPLAUSE)
Since September 11, 2001, we have taken unprecedented steps to protect the American people.
BUSH: We have assembled a strong coalition of nations to secure our respective countries. We have closed down terrorist networks and chased down their leaders in mountains and deserts around the world.
We've removed two dangerous regimes that harbor terrorists and threaten the peace. We convinced a third to voluntarily abandon its nuclear and chemical weapons programs.
We have broken up the world's most dangerous nuclear trading network and busted up terrorist cells around the globe.
We have been relentless. And we will continue to be relentless in our mission to secure the people of this country.
From Florida to California to Massachusetts, we have arrested and prosecuted terrorist operatives and their supporters.
By our actions, we are sending the world a clear message: The terrorists will not be permitted sanctuary or safe haven or the tools of mass murder.
(APPLAUSE)
As we have taken the battle to the enemy, we've also taken extraordinary measures to better protect the homeland.
We've carried out the largest reorganization of government in a half century, merging 180,000 people from 22 government organizations into a single department, with a single mission: protecting America from attack.
Success of the men and women of the Department of Homeland Security do not always make the headlines, but I understand what you've done and I appreciate your hard work. By your tireless efforts behind the scenes, you have helped protect our citizens and secure our nation. And this country is grateful for all you do.
(APPLAUSE)
In the last two years, this department has implemented a vigorous new strategy to guard our borders, posting homeland security personnel at foreign ports, strengthening airport and seaport security, and instituting better visa screening for those entering the United States.
We've taken important steps to protect our nation's critical infrastructure: our bridges and tunnels and nuclear power plants and water treatment facilities, and the cyber-networks that keep our government and our economy running.
This department is also taking action to strengthen the hand of our partners in state and local law enforcement. Local police and other authorities are those most likely to encounter terrorists, and we're giving them the tools and information they need to do their jobs.
We've established secure connections to emergency operation centers in every state and every governor's office to ensure that they get threat information on a real-time basis.
We've helped states establish mutual aid agreements and regional response plans, so that when first responders need help from their neighbors, they can be sure the right assistance will get to the right people at the right time.
BUSH: We've provided more than $14 billion over the last four years to train and equip state and local first responders across America: funds for mobile command centers, communications equipment, mobile decontamination equipment, hazmat trucks, mobile WMD detection equipment and other capabilities they need to protect our citizens and our communities.
Since 2001, we've trained more than 600,000 first responders and more than tripled spending on homeland security.
And all of you in this department, and the members of the Congress, can be proud of the accomplishments and the progress we have made.
(APPLAUSE)
You have done all this and more under the skilled leadership of Tom Ridge. Tom is a longtime friend and I thank him for his leadership and his dedicated service to our country.
(APPLAUSE) And I have found an able successor in Mike Chertoff.
As the 9/11 Commission said in its report, America is safer because of your efforts, but we are not yet safe.
Mike Chertoff knows we cannot afford to become complacent. He understands that as we adapt our defenses, the terrorists will adapt their tactics in response. He understands they continue to pose a grave threat to the American people.
Recently, we learned that Osama bin Laden has urged the terrorist Zarqawi to form a group to conduct attacks outside Iraq, including here in the United States.
We're on a constant hunt for bin Laden.
BUSH: We're keeping the pressure on him, keeping him in hiding. And today Zarqawi understands that coalition and Iraqi troops are on a constant hunt for him as well. Coalition and Iraqi forces have caught and killed several of his key lieutenants.
We're working every day and night to dismantle his network and to bring him to justice.
(APPLAUSE)
Bin Laden's message is a telling reminder that Al Qaida still hopes to attack us on our own soil. Stopping them is the greatest challenge of our day. And under Mike's leadership, we'll do everything in our power to meet that challenge.
Mike is wise and he is tough, in a good way. And he knows the nature of the enemy. As head of the Criminal Division at the Department of Justice, Mike helped trace the September 11th attacks to the Al Qaida network. And it didn't take him very long to do so.
He understands that the terrorists are brutal and determined. And that to stop them, all our agencies must work more closely together, using every resource and technological advantage we have.
I have given Mike an ambitious agenda to carry out. We will continue to work to fully integrate the agencies within the Homeland Security Department. We will build on the progress that has been made. We will continue working to reduce our nation's vulnerabilities and prepare effective responses for any future attack.
We will speed the development of new 21st-century vaccines and treatments to protect Americans against biological, chemical, nuclear and radiological attacks. We will continue our historic investments in Homeland Security to match the threats facing our country.
We will protect the American people from new dangers while protecting their civil liberties.
Mike understand that we need to work closely with state and local officials because he has shared their vantage point. Like men and women who wear our nation's uniform on distant battlefields, those who wear the uniform here at home risk their lives every day to protect our people. By their service and sacrifice, our police, our firefighters and emergency rescue personnel are making the homeland safer, and our nation must constantly thank them for their work.
(APPLAUSE)
Mike is the right person to lead this department in this vital work. He knows that to win the war on terror abroad we always must remember where it began, here in the homeland.
BUSH: He will be an outstanding secretary of homeland security.
Mike, thank you for your willingness to serve our nation once again.
God bless.
(APPLAUSE)
CHERTOFF: Mr. President, members of my family, friends and colleagues, Mr. President, I am grateful to you for affording me the privilege of working under your leadership to protect and safeguard our nation.
As you have so powerfully described, since September 11th, the job of defending the homeland has become the challenge and the calling of our generation.
Under your steadfast and determined guidance, our country has risen to meet the threat of the age of terror. We have responded in a unified, strategic and comprehensive manner. And as a result, America today is safer, stronger and more secure.
Thousands of men and women, including many here, now stand watch across this country and overseas, guarding our families and our freedoms. And taking the oath as homeland security secretary, I am honored to join these dedicated public servants.
Ours is a department in which the American public is deeply invested.
Just in the past few weeks, I have encountered many citizens who have personally expressed to me their gratitude, their hopes and their prayers for the work of DHS.
These citizens, indeed, all Americans, have placed their trust in the men and women who carry out the important work of homeland security.
I look forward to carrying out this vital charge as we strengthen the protections already in place at our ports of entries in our skies overhead, in our cities and our communities. Our predecessor, Secretary Tom Ridge, his deputy, Jim Loy, and other founding leaders of DHS did a superb job in launching this new department. In building on their achievements, I am conscious that my new leadership team and I will be standing on their shoulder and building on what they accomplished.
Our task now is to advance the exceptional achievements of the first two years of this department to meet and manage the threats of today and to prepare to confront the risks of the future.
Our mission is no less than this: protect America while fostering the values of liberty, privacy and opportunity we all hold dear.
For their willingness to stand beside me in this endeavor, I thank Meryl and my children. Once again, you have given me your love, your sacrifices and your constant support.
And as all members of this department know, the work we do is possible only because of the support and sacrifices of our families and friends.
(APPLAUSE)
I first embarked on public service over 20 years ago as an assistant United States attorney in Manhattan. Now as secretary of homeland security, I have taken the oath of office for the fifth time.
As with each prior time I have sworn the oath, I dedicate myself to serving America and the American people.
Mr. President, again, thank you for this opportunity and for your resolute commitment to the cause of freedom and the protection of our families and our way of life.
I appreciate the trust you have placed in me, and stand ready to devote my full energy and strength to the duty we all share: the preservation of our nation and the liberties we cherish.
Thank you.
BUSH: Good job, Michael.
(APPLAUSE)
HEMMER: And as it becomes official, the president mentioning by name Osama bin Laden and the terrorist leader in Iraq Abu Musab Al Zarqawi, mentioning that recent communication picked up between these two men, and also mentioning the possibility that more attacks are aimed here on American soil. This man now responsible for keeping 285 million Americans safe.
He is now the next and the second only head of the Department of Homeland Security. Michael Chertoff now official at the Ronald Reagan building in Washington. Stay tuned to CNN day and night for the most reliable news about your security. Here's Soledad now with more. O'BRIEN: Another top story this morning, Steve Fossett, he is on the final leg of his quest to fly around the world solo on a single tank of gas. There has been some talk of aborting the trip after his plane lost about 2,600 pounds of fuel. But thanks to some favorable tailwinds, the millionaire adventurer believes that actually he's going to make it.
Bob Franken is live for us at mission control in Salina, Kansas.
Hey, Bob, good morning to you.
We're looking at a landing around 2:00, 2:20-ish, right?
BOB FRANKEN, CNN CORRESPONDENT: Well, I'll tell you what, they're saying that it could be, give or take, an hour or so, which, of course, is something we're all familiar with as commercial fliers. He's going to land, by the way, with about 1,900 pounds of fuel. So it looks like he's not going to have to do an emergency glide, which they had already planned. He could glide as long as 200 miles if had to.
Right now, however, he's crossing Nevada. He will be going through Arizona, and New Mexico, Utah, Colorado, and then in here at whatever time.
Now, of course, Jack Cafferty would probably ask, does he get frequent-flier miles. If he did, he would probably have about 22,000 accumulated now. The answer, by the way, is no, but Richard Branson has said he will give Steve Fossett a free lifetime pass on Virgin Airlines, which may be a reason to try this. He suffered, Steve Fossett, with a series of headaches, probably due to dehydration during this flight. But he said, quote, "I'm beginning to perk up now that I know we're near the end." Within the hour, he crossed landfall, and then he'll be making his way into Kansas.
And possibly you're asking yourself, why Salina, Kansas? And the answer is because, among other things, it has one of the longest runways in the county, although Soledad when you think about it, the entire state of Kansas, flat as it is, could probably be considered a runway -- Soledad.
O'BRIEN: All right, I bet he's looking forward to the end of this trip.
Bob Franken for us this morning. Thanks, Bob.
Well, new and improved Segway scooters are about to hit the market. But are they going to be any more affordable than the old ones.
Andy's "Minding Your Business," just head.
HEMMER: Also Martha Stewart's "Apprentice" is supposed to rehab her image. Could it end up making it worse? A topic for "90-Second Pop," all Martha in a moment.
(COMMERCIAL BREAK)
O'BRIEN: The Segway scooter company is rolling out some new models. Here with that, and an early check of the markets, Andy Serwer is "Minding Your Business." I know you're going to start with the markets, but did many people buy the Segway.
ANDY SERWER, "FORTUNE" MAGAZINE: Not that many people bought the Segway. They're a lot of fun. But there's just no reason to own one, and that's kind of the problem. They are kind of cool.
All right, let's talk about the markets first, Soledad. You're right, we're off to a good start here. Check it out, 36 points to the upside on the Dow. February sales for retailers coming in, looking very rosy for the month of February, Wal-Mart, Talbots, Nordstrom, all doing well. And the stocks are up. Limited the only one kind of lagging here. Potential big merger in the oil biz. Chevron, Texaco looking at Unocal, according to published reports.
Now the Segway, Soledad's right, it just has not been selling like hotcakes. Reports are that they sold about 10,000 of these babies. There's the Segway. They're kind of different if you ride. There's the Segway. No, that's not Hemmer. We've seen the Hemmer on the Segway footage so often on this program...
HEMMER: It's been maybe a week.
SERWER: Yes, exactly. They sold 10,000 over the past two years. They had to recall 6,000. They go for about $5,000. They're rolling out three new models. This actually -- now they're getting somewhere, because they've got applications. The golf cart Segway will be coming out. That kind of makes sense.
O'BRIEN: Why don't you just take a golf cart.
SERWER: I kind of like to sit down, yes, I agree. How about the ATV version? There's the big wheel. Farmers going through the woods. I don't know. Then they've got some new ones with colors. The price is not coming down. The batteries are longer. You know, mail carriers it's good for. Certain things. Having fun, but you know...
O'BRIEN: You could buy a good used car for $5,000.
SERWER: That's probably true.
HEMMER: Well, a lot of these companies are using them in big warehouse, though, speed up the delivery process, inventory.
SERWER: Limited markets, as Soledad said on the top.
HEMMER: Here is Jack now, Question of the Day, one final check now.
Save the country, Jack.
JACK CAFFERTY, CNN ANCHOR: You know who's going to be on "IN THE MONEY" this weekend? HEMMER: Tell us.
CAFFERTY: Kinky Friedman, who's a country singer of some renown, Kinky Friedman and the Texas Jew Boys. He's running for governor of Texas, he really is, and his campaign slogan is, "how tough could it be?" I'm looking forward to having the Kinkster on "IN THE MONEY" on the weekend.
What's the answer to the country's financial problems? A more mundane fellow named Alan Greenspan voiced some very strong concerns about economic stagnation if the clowns in Washington don't get their act together, which I ain't holding my breath.
Carol writes, "Our whole system needs to change, but people who are willing to do that can't get elected. We apparently have the kind of government we deserve until the people start to lead. And in the meantime, I'm not optimistic."
Cheryl in South Carolina writes, "Gee, Jack, you're asking me. I do OK, but I haven't balanced a checkbook in years. I rely on my husband and bankers for serious financial advice. And I did vote for John Kerry in the hope of seeing some progress and change."
And Mike in Flemington, New Jersey, "Two things can be done to reduce the deficit, and it only requires politicians with guts to do them: one, raise taxes, two end corporate welfare by slashing the defense budget. We can already kill everyone on the planet 20 times over. It will be OK if we can only kill them 10 times.
HEMMER: No. 3, keep Alan Greenspan in charge. He's doing OK still.
SERWER: That's not going to last forever, of course.
O'BRIEN: No, it can't.
HEMMER: Thank you, Jack.
O'BRIEN: Martha Stewart in her final hours of time behind bars. What's the first thing that she should do when she's out of prison? We've got some tips in a special edition of "90-Second Pop," just ahead on AMERICAN MORNING.
(COMMERCIAL BREAK)
(BEGIN VIDEOTAPE)
O'BRIEN: I like that song. Hey, everybody. Good morning. Just in time for spring, getting sprung. It's a good thing for Martha Stewart and big enough to warrant a special edition of "90-Second Pop".
With us this morning, Andy Borowitz from Borowitzreport.com. "Newsweek's" senior writer, Charles Gasparino. He's covered Stewart's trial, also has written "Blood on the Street" about Wall Street and the duping of investors. And our pop panelist du jour, senior legal analyst Jeff Toobin.
Nice to see you, Jeff.
JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: Good morning.
O'BRIEN: All right, let's get right to it. Andy, we're going to start with you. Martha, Martha, Martha. What do you think the first thing she needs to do when she steps out of the walls of prison and goes into her new sort of prison? What do you think she should do first?
ANDY BOROWITZ, BOROWITZREPORT.COM: Well, it's true. She is going to be under house arrest. So she's just kind of trading one gated community for another at this point. But she's -- I guess her first big moment is going to be the cameras waiting outside of prison. And there are going to be a lot of people sort of waiting to see, is this a changed Martha? Is this the same Martha?
I think she should be humble. I think she probably should say that this was a transforming experience. I would avoid saying thins like I'm going to Disneyland, for example. It would be a mistake. So I think that's going to be her first sort of big media moment.
O'BRIEN: Do you think she should -- does it help or not help if she says, you know, I'm not guilty, reiterate that? Or does she say I've learned my lesson?
TOOBIN: I think you move on from the...
CHARLES GASPARINO, SENIOR WRITER, "NEWSWEEK": Forget about this situation.
TOOBIN: I think discussing ImClone stock at this point is probably not what she wants to do. It's all about the future for her, not the past.
O'BRIEN: And it's going to be a big moment. I mean, the bottom line is people want to see what she looks like. The word is that she's lost weight.
GASPARINO: She looks pretty great, according to our cover.
O'BRIEN: Yes.
TOOBIN: Yes.
(CROSSTALK)
O'BRIEN: Because, you know, "Newsweek" has gotten a lot of flack for that. That body is not Martha Stewart's body.
GASPARINO: I mean, it looks just like her.
BOROWITZ: I wish "Newsweek" could do that to my body. That's great. This is what I don't understand, so I read that, you know, while she's under arrest, she is hiring the chef from this New York restaurant, Le Cirque, which is a fabulous French restaurant.
GASPARINO: Le Cirque.
BOROWITZ: Le Cirque, well, whatever.
GASPARINO: I'm sorry.
BOROWITZ: But I think it's a...
GASPARINO: (UNINTELLIGIBLE) a few places.
BOROWITZ: I think it's a huge mistake, because whatever they were feeding her in prison has totally agreed with her.
GASPARINO: Right.
O'BRIEN: Oh, exactly. You need mushy oatmeal and bad food to keep that great figure.
BOROWITZ: Yes. She said they cut back on the fat. Didn't she complain about that?
BOROWITZ: She did.
GASPARINO: The food was lousy.
BOROWITZ: She did.
GASPARINO: Actually starvation...
O'BRIEN: The food is always lousy in prison.
(CROSSTALK)
TOOBIN: Tonight on the CNN special we're doing, one of her guests says that, you know, they have these vending machines, and she said, oh, get the chicken in the vending machine. It's really delicious.
(CROSSTALK)
O'BRIEN: Oh. Chicken in the vending machine. Ew!
TOOBIN: Tastes have changed, yes.
O'BRIEN: Let's talk about business. She wants to go back to running her company.
GASPARINO: Right.
O'BRIEN: And there are some issues about that. Also, she set up these TV deals as well.
GASPARINO: Right.
O'BRIEN: What would you advise, Charles, as she steps out of prison?
GASPARINO: Try to run the company. I mean, it's her company. Her name is on it. I mean, she faces a bar from the SEC, although we reported on "Newsweek" that she's trying to get that eliminated. I mean, listen, I think she is the face of the company. The sooner she gets back to running it, being the official CEO, the better it is for the stock.
O'BRIEN: How about TV...
GASPARINO: And the stock has done very well lately.
O'BRIEN: How about the TV deals, you guys? What do think?
GASPARINO: A double-edged sword.
TOOBIN: I think it's, you know...
GASPARINO: Listen, if the nasty Martha, right, that's going to hurt her product. If she's nice on TV, that's going to destroy -- I mean, who wants to watch a nice person on one of these reality shows?
O'BRIEN: You never know.
BOROWITZ: Well, you know, Trump -- I mean, Trump is definitely kind of the boss from hell in a way.
GASPARINO: Right.
BOROWITZ: And Martha fits into that role. It could be good. I was sort of sorry that she didn't, like, go on "Desperate Housewives." Because I think she was, like, the original. She's the uber (ph) desperate housewife.
O'BRIEN: It might be a little too close to home.
BOROWITZ: Maybe a (UNINTELLIGIBLE).
O'BRIEN: Let's talk legal issues, lots of legal challenges. I mean, she's not free and clear, and not just the probation we're talking about.
TOOBIN: Right. I mean, you know, the ankle bracelet will be a big part of her life for the next five months. And I think that's going to be -- you know, what is the etiquette of dealing with an ankle bracelet?
O'BRIEN: Pants all the time.
TOOBIN: Do you wear pants all the time?
O'BRIEN: I thought (UNINTELLIGIBLE).
GASPARINO: It might be very nice with an ankle bracelet.
TOOBIN: Do you ask to see it if you're a friend of hers? Do you say, "Can I see it?" I mean, a lot of people are going to be sort of trying to sneak...
O'BRIEN: That would be tacky.
TOOBIN: ... to see it on her ankle there. But, you know, the legal issues are bad, but they won't preoccupy her that much. They're almost all civil proceedings at this point. I mean, you know, she's got to get her business going again. And that will take care of all of the problems if, you know, the stock goes back up and the ratings are high on her TV show.
O'BRIEN: Her business...
GASPARINO: Unless they bar her from running the business. I mean, the SEC wants to bar her from running the business.
TOOBIN: But, you know, technically they can bar her from being the CEO.
GASPARINO: Right.
TOOBIN: But can't keep her out of being an employee.
GASPARINO: She could be creative director.
O'BRIEN: She'll be creative director and still run it.
GASPARINO: I think she wants to run it.
TOOBIN: Exactly.
O'BRIEN: At the end of the day, it's all about the PR...
TOOBIN: Whose name is on the door?
O'BRIEN: ... and getting back into the business.
GASPARINO: Right.
TOOBIN: Yes.
O'BRIEN: And whatever choices she makes. It will be interesting to follow. You guys, thank you very much. Appreciate it.
GASPARINO: Thank you.
O'BRIEN: A lot more on Martha's release. It's going to be tonight on primetime on CNN at 10:00 p.m., the special hour of "PEOPLE IN THE NEWS" that contains some exclusive prison footage and looks at how life behind bars has changed Martha Stewart. Again, that's tonight, 10:00 Eastern, right here on CNN -- Bill.
(END VIDEOTAPE)
HEMMER: All right, Soledad, thank for that.
To understand the present, you have to know the past. And today Carol Lin takes a look at this week in history.
(BEGIN VIDEOTAPE)
CAROL LIN, CNN CORRESPONDENT (voice-over): One trader's greed led to the downfall of Britain's oldest merchant bank. This week in history on March 2, 1995, Nick Leeson was arrested and charged with fraud in connection with the Barings Bank collapse.
And in 1998 bill gates defended his company during a U.S. Senate hearing. He denied that Microsoft was using its windows operating system to monopolize the Internet.
And that is this week in history.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
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 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SOLEDAD O'BRIEN, CNN ANCHOR: At the Michael Jackson trial, going inside Neverland today. The witness on the stand who saw it all during a famous police raid.
Saying good-bye to prison and the lessons learned at Camp Cupcake. Exclusive pictures today of Martha Stewart behind bars.
And those daring men and their flying machines. Pilot Steve Fossett now just hours away from an amazing feat on this AMERICAN MORNING.
ANNOUNCER: From the CNN Broadcast Center in New York, this is AMERICAN MORNING with Soledad O'Brien and Bill Hemmer.
BILL HEMMER, CNN ANCHOR: Good morning, everyone. Nine o'clock here in New York.
Richard Branson, Sir Richard Branson, is holding a news conference at this hour, talking about the progress of his partner, Steve Fossett, who is right now trying to finish the final leg of the 'round-the-world flight on a single fill-up, one tank of gas. We'll see whether or not he makes it in a few hours, but we will also dip in, in a moment, let you know what we're learning about where he is right now and the progress he's making.
O'BRIEN: And, of course, the big problem is that they lost some 2,600 pounds of fuel. Whether or not he's going to make it, will the tailwinds be enough to sustain him across, all those are big questions this morning.
Also this morning, we'll meet three sisters. They made a decision together. They all got gastric bypass surgery. We're going to talk this morning to them about their experience, find out just how much weight they lost and why they say this is what saved their lives.
HEMMER: Back to Jack Cafferty.
Good morning, Jack.
JACK CAFFERTY, CNN ANCHOR: Hi, Bill.
An ominous warning yesterday from Federal Reserve chairman Alan Greenspan. He says this country is headed toward decades of economic stagnation unless something is done about runaway spending and deficits.
Got any ideas? AM@CNN.com. We'll read some mail in a half-hour or so.
O'BRIEN: Thanks, Jack.
Let's get right to the headlines with Carol Costello.
Hey, good morning.
CAROL COSTELLO, CNN ANCHOR: Good morning. Good morning, everyone.
"Now in the News," the number of U.S. deaths in Iraq has now passed another sad milestone. The death toll now just over 1,500 for U.S. troops. And the violence continues there this morning.
Today, at least five Iraqi police officers were killed in attacks in Baghdad, seven others injured. Interim Prime Minister Ayad Allawi has extended a state of emergency for that country.
In Fresno, California, Marcus Wesson, the man accused of killing nine of his children, is about to face a jury. A California judge will decide today whether the trial should be moved out of Fresno County. His lawyer says Wesson can't get a fair trial there. If the motion is denied, the jury will be sworn in today and opening statements could begin as soon as tomorrow.
President Bush is not giving up on his Social Security plan just yet. Aides say the president is going on the road beginning tomorrow. He's planning a 60-day, 60-stop campaign blowout. His first stops, Indiana and New Jersey.
And basketball star Kobe Bryant has settled a civil suit with the woman accusing him of sexual assault. No word on the terms of the agreement, but Bryant's attorney says both parties are satisfied. Bryant had absolutely no comment when asked about it last night. In fact, he only wanted to talk about basketball.
HEMMER: Basketball and the game in Boston.
COSTELLO: Exactly.
HEMMER: Thanks, Carol.
O'BRIEN: Pop star Michael Jackson says he is "happy and confident" with the way that his child molestation trial is going so far, despite some potentially damaging testimony from a public relations employee.
CNN's Miguel Marquez live for us in Santa Maria, California, this morning.
Hey, Miguel. Good morning.
MIGUEL MARQUEZ, CNN CORRESPONDENT: Good morning to you there, Soledad.
Yes, that public relations person was Ann Kite. She was only employed by the Jackson camp for six days. She was a witness for the prosecution. But in the end, it wasn't clear who she helped, the prosecution or the defense.
(BEGIN VIDEOTAPE)
MARQUEZ (voice-over): Michael Jackson putting on a confident face after a day of testimony from a P.R. agent who was hired as a crisis manager days after the Martin Bashir documentary aired in February 2003.
RAYMONE BAIN, JACKSON SPOKESWOMAN: Michael feels very confident in his defense team. And he feels very happy about yesterday and today.
MARQUEZ: Ann Marie Kite testified she was fired after six days on the job. In her short time with team Jackson, she said she grew concerned for the safety of the accuser and his family, felt Jackson's former attorney, Mark Geragos, was trying to silence her, and that just days after the Bashir documentary aired, another Jackson attorney, David LeGrand 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 whore."
ANNE BREMNER, LEGAL ANALYST: I mean, that's the best thing that the prosecution brought out, and that was dynamite evidence.
MARQUEZ: But the defense scored points, too. During hours of questioning by Jackson's lawyer, Kite divulged that she felt Jackson's advisers, including several of those who are now named as co- conspirators in the charges against the pop star, were scheming against him for their own financial gain. Kite also testified that she never met Jackson, never visited Neverland and never had a clear idea of who was in charge.
(END VIDEOTAPE)
MARQUEZ: Now on the stand today will be Albert Laugherty (ph). He's an investigator with the Santa Barbara County Sheriff's Office. He took the stand for a short time yesterday afternoon. He's a forensics expert who did videotapes, videography of Neverland Ranch, and will basically expose the jurors and show them Neverland Ranch -- Soledad.
O'BRIEN: Miguel Marquez. Looking forward to that testimony, of course. Thanks, Miguel. Appreciate it -- Bill.
HEMMER: From Chicago, police have released sketches of two men they want to talk to about the murders of the husband and mother of federal Judge Joan Humphrey Lefkow. So far, the police are not calling the men suspects, but instead persons of interests.
Both men are white, on in his mid-20s, seen in a car near the judge's home. And the other in his 50s, wearing dark coveralls and a dark knit cap. Natasha Korecki is a reporter with the "Chicago Sun- Times." She tells us today about the latest in this investigation.
(BEGIN VIDEOTAPE)
NATASHA KORECKI, "CHICAGO SUN-TIMES" REPORTER: Last night police released two composite sketches of two men various witnesses have said they had seen in the neighborhood. We've been hearing reports of this from a couple days ago.
We know that one witness saw two men in a red car just down the block from the Lefkows' home the morning of the murder, about 8:00 a.m. We also know that there's been other witnesses who have seen these two men.
Police aren't specifically tying -- tying the two composite sketches to the men seen in the car, but the descriptions seem similar. And that's what they're looking at right now. It's another lead. Just one of many, but it does seem like they're people of interest.
HEMMER: Your paper talked with Judge Lefkow. In part, she said this: She says, "If someone was angry at me, they should go after me. It's not fair to go after my family."
How is she handling this?
KORECKI: You know, as best she can. She's devastated right now. She's lost her mother and her husband. And from what everyone has described, Michael Lefkow and the judge, they were just very much in love.
Always walking together hand in hand. He moved his office to be near her, to overlook her, walked her into the courtroom building every day, picked her up every day. They would lunch together.
She's absolutely devastated. But she was -- she did say that she was not going to be intimidated and not going to step down from the bench. She would return to the bench. And right now she's foremost thinking about her daughters.
HEMMER: Did she say in that interview whether or not who she thought might be responsible? Did she talk at all about Matthew Hale, this jailed white supremacist leader who has issued threats in years past against her?
KORECKI: She didn't want to specifically get into the Hale case. But she did say generally that she was afraid or she feared that the people who did this did it because of some of her work on the bench. Other than that, she didn't make any more ties to anyone.
HEMMER: One of their daughters apparently is about to get married.
KORECKI: Yes.
HEMMER: And she talked about that as well. In part, she said her husband had gotten himself a tux to wear to that wedding and was so looking forward to walking his daughter down the aisle, and now he will not be able to do that. This was a tight family, as you point out.
KORECKI: Yes, very much so. She's -- that was just one of many things that they were thinking about that was a very emotional thing for them.
Their oldest daughter, Helen, I believe, is getting married this summer. And they're all looking very forward to it. And now she won't have her father to walk her down the aisle. It's very sad.
(END VIDEOTAPE)
HEMMER: Natasha Korecki earlier today, "Chicago Sun-Times" on AMERICAN MORNING.
Police say they're also looking into past cases that Judge Lefkow's husband, Michael Lefkow, had handled -- Soledad.
O'BRIEN: We've got a shot to show you of Salina, Kansas. This is where a press conference, a press briefing is going on right there. They're talking about Steve Fossett and the progress that he is making on his potentially historic flight.
Steve Fossett, there he is right there. Just moments ago he was talking remotely from the Global Flyer. He's said that things are going well, he's going to try to land in Salina, Kansas, at 2:20 Eastern Time if all goes well.
Of course the "if all goes well" is the critical part of this, because there have been issues, of course, with the fuel and the tailwinds as well. He's over land.
You're looking at Sir Richard Branson. He's a close friend of Steve Fossett's. He's also the guy who is financing this trip, and he was just talking to Steve Fossett a moment ago and said, "Hey, Steve, I'm looking forward to seeing you at lunchtime."
So hopefully the two of them will be able to make history not too long from now. We're going to obviously keep following that this morning and through the afternoon.
But first, let's get a check of the weather. Chad Myers at the CNN Center. He's got a look at the latest forecast for us.
(WEATHER REPORT)
O'BRIEN: Any moment now we are expecting to hear from President Bush. He's going to make some remarks after the new Homeland Security chief is sworn in. We're going to bring that to you live when it happens.
HEMMER: Also in a moment here, video games are hotter than ever, but not every game is appropriate for every person, especially kids. We'll tell you about a new tool for parents that's on the market.
O'BRIEN: And three overweight sisters with three pretty amazing success stories. How they lost an incredible 367 pounds combined up next on AMERICAN MORNING.
(COMMERCIAL BREAK)
O'BRIEN: It is not a magic bullet for obesity, but gastric bypass surgery has made a dramatic difference for many people who are desperate to lose weight. Three sisters, Lee Ann McAndrew, Cindy Ratzlaff and Pam Marks say it essentially saved their lives. They each had the procedure. They lost a combined total of 367 pounds.
Ladies, good morning. Nice to see you. I mean, those numbers are pretty surprising.
Leeann, you were the first one who got it done. What brought you to that point? Because I imagine you've been on diets and you got to a pretty desperate point.
LEE ANN MCANDREW, HAD GASTRIC BYPASS SURGERY: Every diet, yes. Somebody asked me once, "Weren't you afraid you would die?" And I said, "Yes, I was, and that's why I had the surgery." Because I want to live for my 8-year-old son.
I have two grown children as well. But I have this little boy that I wanted to make sure that he had a mom when he grew up.
O'BRIEN: We're looking at a picture of you before. What did you weigh in this picture about?
MCANDREW: I probably weighed about 220 there.
O'BRIEN: How much weight have you lost since had the surgery?
MCANDREW: 115 pounds.
O'BRIEN: And you've been able to keep it off.
MCANDREW: Yes.
O'BRIEN: You had the surgery a couple years ago.
MCANDREW: I had it three years ago.
O'BRIEN: Then, Cindy, you had the surgery. Was it primarily because Lee Ann had such good results?
CINDY RATZLAFF, HAD GASTRIC BYPASS SURGERY: You know, I mean, I had been fighting obesity all my life. When I saw my sister lose weight, I definitely considered it. But it took me another two years to really decide to do it because I was afraid.
O'BRIEN: This is your before picture.
RATZLAFF: Yes. When I found that picture, I -- you know, I don't remember myself that way. But obviously I was. I loved that shirt. What was I thinking?
O'BRIEN: Horizontal stripes, no, no, no. That's not a good thing.
At the same time, we're joking now, but, Lee Ann, when you see your sister taking on surgery, people die from this surgery. Let's me real about it.
MCANDREW: I know.
O'BRIEN: Were you worried about in a way by being an example you sort of led your sister to...
MCANDREW: I definitely was. And especially after Pam had hers and she had so many complications. At one point we thought she might die. And it was horrifying.
O'BRIEN: Let's, in fact, talk about some of your complications, Pam. You saw two sisters come through with flying colors.
PAM MARKS, HAD GASTRIC BYPASS SURGERY: Yes.
O'BRIEN: And you said, well, I've got to get this done, because you had a lot of the same problems and a lot of the same issues. Your situation, your recovery, not the same at all. What happened?
MARKS: No. I ended up -- for the first three months after surgery I basically didn't eat anything. I was throwing up 14 times a day. My gallbladder was bad, and I didn't know it. So that's what caused all the problems for me.
O'BRIEN: We're looking at your before picture. How long before you really got back on the road to sort of healthy...
MARKS: It took me a good six months. I was able to function and do things, and I went back to work. But it did take me a while to fully recover and feel good.
O'BRIEN: How much weight did you lose?
MARKS: I've lost 127 pounds.
O'BRIEN: You are kind of losing -- I mean, literally a person.
MARKS: Oh, exactly.
RATZLAFF: We've lost our own evil twins. That's what we say.
(LAUGHTER)
O'BRIEN: That's kind of an interesting way to put it. Let's talk about what you can eat now.
Pam, I read that you have two bites of burger, that's it. And Cindy, I read that if you eat two Hershey's Kisses, that's fine, but three, that sends you over the edge and you'll be sick.
RATZLAFF: Yes. Sugar is really hard to take after the surgery for a lot of people for some reason. O'BRIEN: So what do you eat?
RATZLAFF: I -- you know, I do like chocolate. So I dish it out to myself in those small doses. And I have a little bit of chocolate every day, I have to say. But mostly we eat beans, rice.
O'BRIEN: You have to eat mushy-type food?
RATZLAFF: No. You don't. But just small amounts. And you have to chew it up very well.
O'BRIEN: It looks like you're making salads here. I'm not sure if that's just a photo for a magazine.
RATZLAFF: Yes. No, we actually eat a lot of salad.
O'BRIEN: Really?
RATZLAFF: Yes.
O'BRIEN: How about, you know, meat, chicken, steak?
MCANDREW: Chicken -- Pam and I had a steak last night for dinner. We split a steak.
MARKS: Yes.
O'BRIEN: How has this changed socially how you go out and eat and your lives socially? Are your spouses on board? I know that when people go on diets and successfully lose 20, 30 pounds, which is nowhere in the range of what you lost, a lot of ties they get a lot of resentment from their friends and their family members, too.
MCANDREW: I did have a couple of people say kind of rude things to me.
O'BRIEN: Like what kinds of things?
MCANDREW: Well, I can't really say on air, but...
O'BRIEN: Like unprintable things?
MCANDREW: Yes.
O'BRIEN: These are friends?
MCANDREW: You skinny...
O'BRIEN: XYZ. Wow. Was that hurtful? Or did you sort of understand where they were coming from?
MCANDREW: Actually, no. I said, "Thank you."
MARKS: The same thing happened to me. Somebody called me that, and it was a person who was larger and they were jealous. And because, according to them, I took the easy way out. O'BRIEN: That is actually a fairly, I think, common criticism. Sort of like, oh, so you just had the surgery. What do you make of that?
RATZLAFF: Well, you know, if you were a diabetic, you wouldn't tell somebody they took the easy way out if they took insulin. Or if you had heart disease, you wouldn't tell somebody that they took the easy way out because they had a bypass.
You do what you need to do. This was a medical condition exacerbated by the way we lived our lifestyles.
This was a tool. It helped us lose weight. And we're going to have to work at it to keep the weight off. We have to do right things to keep the weight off and stay healthy. I don't see that that was the easy way.
O'BRIEN: I don't know. Especially now, you have to be very careful about what you eat. None of it sounds easy to me yet, not one part of it.
Pam, I'm curious to know, with all the problems that you had, would you still do it again if someone said -- you know, if the -- if we were brought back to a couple years ago and you were in the same situation, would you say, yes, I'm going to opt for the surgery?
MARKS: Well, within the first six months I did ask the doctor if it could be reversed because I was so sick. But now that I've gotten past that and I have recovered fully, I'd do it again in a heartbeat, even knowing that the same thing could happen again. It's still worth it because I have so much energy right now, it's hard for me to sit still right now on the couch.
O'BRIEN: Feel free to run around if you need to.
MARKS: Yes, I do. I dance -- we dance.
(CROSSTALK)
MARKS: Like when we were at my son's wedding, my brother, my sisters and I, we all danced for five hours straight. We couldn't have done that before. It would have killed us. And we just -- we just have energy galore now.
O'BRIEN: Wow. Well, that's great. Thanks for sharing your remarkable story and some of the realities, too, I think, of the complications. I appreciate it, Lee Ann and Cindy and Pam -- Bill.
HEMMER: They look great. Well done.
Going to get you down to Washington in a moment here. Any minute now we expect to hear from the president speaking after the new secretary of Homeland Security is sworn in. When that happens, you'll see it live here on AMERICAN MORNING.
We're back in a moment here after this. (COMMERCIAL BREAK)
HEMMER: There is new help for parents trying to monitor the type of video games their kids are playing. The Entertainment Software Rating Board has a new rating. It is called E10-plus. That new category should help fill the gap between games rated E for Everyone and T for Teen, which is sometimes too violent or too mature for some kids.
O'BRIEN: That's good help for parents.
Time to check back in with Jack. He's got the "Question of the Day."
Good morning again.
CAFFERTY: Or you could just pay attention to what kind of stuff your kids are using and pay attention to what they do. That would be another approach.
A dire warning from Fed chairman Alan Greenspan that decades of economic stagnation are facing this country if something isn't done soon about runaway spending and deficits. We're asking what you think ought to be done to repair this nation's economy.
There won't be any Social Security reform it looks like now. Medicare is a bigger problem. Social Security, nobody is talking about doing anything about that. The politicians keep spending like it was found money instead of ours.
Tony writes: "Please relax. The U.S. economy is so large these trade and budget deficits are tiny relative to how quickly they could be eliminated. Before the second Bush term is over, the U.S. government will impose a tariff on imports and, presto, the trade and budget deficits are gone."
Buzz in Beaumont, Texas, "The answer's this: corporate tax rate 1943, 40 percent; 2001, 10 percent. Do you the math, Jack."
Jack in Wisconsin writes: "Follow the money. The nation's financial problems cannot be fixed until we get private money out of the public electoral system. Our politicians are bought and paid for by those who are killing America's economy."
And finally, Kevin in Naples, Florida, writes: "OK, Jack, so the country is screwed for decades. But what I want to know is how will that affect Martha? Will Martha be financially OK through it all?"
"Just tell me that Martha will be fine and I can sleep nights. Even though I am in poverty, just knowing Martha will be financially fine through it all will make it all OK."
HEMMER: Should have bought that stock at $9, huh?
O'BRIEN: Well, I guess Martha's going to be OK.
HEMMER: Yes, I would say.
O'BRIEN: All right, Jack. Thanks.
CAFFERTY: I'm not sure that was the point of his comment.
O'BRIEN: No, I -- yes, sarcasm. Thank you, Jack.
More AMERICAN MORNING right after this short break.
(BEGIN VIDEOTAPE)
O'BRIEN (voice-over): Ahead on a special edition of "90-Second Pop"...
MARTHA STEWART, MARTHA STEWART LIVING OMNIMEDIA: Good morning, everybody. And thank you for coming here today on such short notice.
O'BRIEN: It's Martha, Martha, Martha. She's almost out of the slammer. What will the domestic diva-turned-convict do on her first day of freedom? Plus, could her new TV gig hurt her company's bottom line?
That and more ahead on AMERICAN MORNING.
(END VIDEOTAPE)
(COMMERCIAL BREAK)
HEMMER: Washington, this is Justice Sandra Day O'Connor, about to administer the oath, swearing in the next Homeland Security secretary, Michael Chertoff. Let's listen now at the Ronald Reagan Building in Washington.
(INTERRUPTED BY LIVE EVENT)
SANDRA DAY O'CONNOR, U.S. SUPREME COURT ASSOC. JUSTICE: It's an honor to administer the public oath of office to Michael Chertoff as our nation's second secretary of the Department of Homeland Security.
We are really fortunate that this remarkable man is willing to take on one of the toughest jobs in our nation. Secretary Chertoff is a star. He was a magna cum laude graduate of Harvard, as well as of the Harvard Law School. We'll forgive him for that, I guess.
(LAUGHTER)
He was a law clerk to my former colleague Justice William Brennan. He was a federal prosecutor, U.S. attorney in the District of New Jersey. He handled any number of very important cases in the U.S. Attorney's Office.
He was special counsel for the U.S. Senate Whitewater Commission. He was a partner in the Latham & Watkins law firm.
Importantly, he served as assistant attorney general for the Criminal Division in the Department of Justice, and he helped our nation's response to 9/11.
More recently, he's been serving as U.S. circuit judge for the Court of Appeals for the 3rd Circuit. He's given up a lifetime position as an underpaid, underappreciated federal court of appeals judge...
(LAUGHTER)
(APPLAUSE)
He's given that up for an underpaid, untenured position...
(LAUGHTER)
... in this most difficult new post.
As a citizen, I am grateful that Secretary Chertoff said, yes.
He's married to Meryl. They have two children. They're here today and standing by for the oath of office.
Congratulations and, more importantly, good luck.
(APPLAUSE)
Raise your right hand, please and repeat after me.
I, Michael Chertoff...
MICHAEL CHERTOFF, SECY. OF HOMELAND SECURITY: I, Michael Chertoff...
O'CONNOR: ... do solemnly swear...
CHERTOFF: ... do solemnly swear...
O'CONNOR: ... that I will support and defend...
CHERTOFF: ... that I will support and defend...
O'CONNOR: ... the Constitution of the United States...
CHERTOFF: ... the Constitution of the United States...
O'CONNOR: ... against all enemies, foreign and domestic...
CHERTOFF: ... against all enemies, foreign and domestic...
O'CONNOR: ... that I will bear true faith...
CHERTOFF: ... that I will bear true faith...
O'CONNOR: ... and allegiance to the same...
CHERTOFF: ... and allegiance to the same...
O'CONNOR: ... that I take this obligation freely...
CHERTOFF: ... that I take this obligation freely...
O'CONNOR: ... without any mental reservation or purpose of evasion...
CHERTOFF: ... without any mental reservation or purpose of evasion...
O'CONNOR: ... and that I will well and faithfully discharge...
CHERTOFF: ... and that I will well and faithfully discharge...
O'CONNOR: ... the duties of the office...
CHERTOFF: ... the duties of the office...
O'CONNOR: ... on which I'm about to enter...
CHERTOFF: ... on which I'm about to enter...
O'CONNOR: ... so help me God.
CHERTOFF: ... so help me God.
(APPLAUSE)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I'm pleased to be here at the Department of Homeland Security with our new secretary, Michael Chertoff.
(APPLAUSE)
And I'm honored to share this moment with Meryl and their children.
This is the third time -- not the first or the second, but the third time -- that I've asked Mike to serve our nation.
I keep asking him back for a reason: He is a talented public servant with an outstanding record of achievement and a deep commitment to the cause of justice.
As a federal court of appeals judge, assistant attorney general, U.S. attorney and federal prosecutor, Mike has worked tirelessly to make our people safer and our nation more secure.
BUSH: And now he will carry on that vital work as the secretary of homeland security.
I appreciate Michael's in-laws for being here. Always a good thing, Mike...
(LAUGHTER)
... to listen to your mother-in-law. (LAUGHTER)
I thank Justice Sandra Day O'Connor not only for being here to administer the oath of office, but for serving our nation with such class and such dignity.
(APPLAUSE)
I want to thank the members of the United States Senate, Senator Lautenberg and Senator Corzine from New Jersey, for being here.
And thank you for help shepherd this good man's nomination through the Senate.
I want to thank all the members of the House of Representatives who are here. And there's a lot from New Jersey that have joined us.
I want to thank the members of my Cabinet who are here and former members of my Cabinet.
And I want to thank the employees of the Department of Homeland Security. You have got a great boss.
(APPLAUSE)
Since September 11, 2001, we have taken unprecedented steps to protect the American people.
BUSH: We have assembled a strong coalition of nations to secure our respective countries. We have closed down terrorist networks and chased down their leaders in mountains and deserts around the world.
We've removed two dangerous regimes that harbor terrorists and threaten the peace. We convinced a third to voluntarily abandon its nuclear and chemical weapons programs.
We have broken up the world's most dangerous nuclear trading network and busted up terrorist cells around the globe.
We have been relentless. And we will continue to be relentless in our mission to secure the people of this country.
From Florida to California to Massachusetts, we have arrested and prosecuted terrorist operatives and their supporters.
By our actions, we are sending the world a clear message: The terrorists will not be permitted sanctuary or safe haven or the tools of mass murder.
(APPLAUSE)
As we have taken the battle to the enemy, we've also taken extraordinary measures to better protect the homeland.
We've carried out the largest reorganization of government in a half century, merging 180,000 people from 22 government organizations into a single department, with a single mission: protecting America from attack.
Success of the men and women of the Department of Homeland Security do not always make the headlines, but I understand what you've done and I appreciate your hard work. By your tireless efforts behind the scenes, you have helped protect our citizens and secure our nation. And this country is grateful for all you do.
(APPLAUSE)
In the last two years, this department has implemented a vigorous new strategy to guard our borders, posting homeland security personnel at foreign ports, strengthening airport and seaport security, and instituting better visa screening for those entering the United States.
We've taken important steps to protect our nation's critical infrastructure: our bridges and tunnels and nuclear power plants and water treatment facilities, and the cyber-networks that keep our government and our economy running.
This department is also taking action to strengthen the hand of our partners in state and local law enforcement. Local police and other authorities are those most likely to encounter terrorists, and we're giving them the tools and information they need to do their jobs.
We've established secure connections to emergency operation centers in every state and every governor's office to ensure that they get threat information on a real-time basis.
We've helped states establish mutual aid agreements and regional response plans, so that when first responders need help from their neighbors, they can be sure the right assistance will get to the right people at the right time.
BUSH: We've provided more than $14 billion over the last four years to train and equip state and local first responders across America: funds for mobile command centers, communications equipment, mobile decontamination equipment, hazmat trucks, mobile WMD detection equipment and other capabilities they need to protect our citizens and our communities.
Since 2001, we've trained more than 600,000 first responders and more than tripled spending on homeland security.
And all of you in this department, and the members of the Congress, can be proud of the accomplishments and the progress we have made.
(APPLAUSE)
You have done all this and more under the skilled leadership of Tom Ridge. Tom is a longtime friend and I thank him for his leadership and his dedicated service to our country.
(APPLAUSE) And I have found an able successor in Mike Chertoff.
As the 9/11 Commission said in its report, America is safer because of your efforts, but we are not yet safe.
Mike Chertoff knows we cannot afford to become complacent. He understands that as we adapt our defenses, the terrorists will adapt their tactics in response. He understands they continue to pose a grave threat to the American people.
Recently, we learned that Osama bin Laden has urged the terrorist Zarqawi to form a group to conduct attacks outside Iraq, including here in the United States.
We're on a constant hunt for bin Laden.
BUSH: We're keeping the pressure on him, keeping him in hiding. And today Zarqawi understands that coalition and Iraqi troops are on a constant hunt for him as well. Coalition and Iraqi forces have caught and killed several of his key lieutenants.
We're working every day and night to dismantle his network and to bring him to justice.
(APPLAUSE)
Bin Laden's message is a telling reminder that Al Qaida still hopes to attack us on our own soil. Stopping them is the greatest challenge of our day. And under Mike's leadership, we'll do everything in our power to meet that challenge.
Mike is wise and he is tough, in a good way. And he knows the nature of the enemy. As head of the Criminal Division at the Department of Justice, Mike helped trace the September 11th attacks to the Al Qaida network. And it didn't take him very long to do so.
He understands that the terrorists are brutal and determined. And that to stop them, all our agencies must work more closely together, using every resource and technological advantage we have.
I have given Mike an ambitious agenda to carry out. We will continue to work to fully integrate the agencies within the Homeland Security Department. We will build on the progress that has been made. We will continue working to reduce our nation's vulnerabilities and prepare effective responses for any future attack.
We will speed the development of new 21st-century vaccines and treatments to protect Americans against biological, chemical, nuclear and radiological attacks. We will continue our historic investments in Homeland Security to match the threats facing our country.
We will protect the American people from new dangers while protecting their civil liberties.
Mike understand that we need to work closely with state and local officials because he has shared their vantage point. Like men and women who wear our nation's uniform on distant battlefields, those who wear the uniform here at home risk their lives every day to protect our people. By their service and sacrifice, our police, our firefighters and emergency rescue personnel are making the homeland safer, and our nation must constantly thank them for their work.
(APPLAUSE)
Mike is the right person to lead this department in this vital work. He knows that to win the war on terror abroad we always must remember where it began, here in the homeland.
BUSH: He will be an outstanding secretary of homeland security.
Mike, thank you for your willingness to serve our nation once again.
God bless.
(APPLAUSE)
CHERTOFF: Mr. President, members of my family, friends and colleagues, Mr. President, I am grateful to you for affording me the privilege of working under your leadership to protect and safeguard our nation.
As you have so powerfully described, since September 11th, the job of defending the homeland has become the challenge and the calling of our generation.
Under your steadfast and determined guidance, our country has risen to meet the threat of the age of terror. We have responded in a unified, strategic and comprehensive manner. And as a result, America today is safer, stronger and more secure.
Thousands of men and women, including many here, now stand watch across this country and overseas, guarding our families and our freedoms. And taking the oath as homeland security secretary, I am honored to join these dedicated public servants.
Ours is a department in which the American public is deeply invested.
Just in the past few weeks, I have encountered many citizens who have personally expressed to me their gratitude, their hopes and their prayers for the work of DHS.
These citizens, indeed, all Americans, have placed their trust in the men and women who carry out the important work of homeland security.
I look forward to carrying out this vital charge as we strengthen the protections already in place at our ports of entries in our skies overhead, in our cities and our communities. Our predecessor, Secretary Tom Ridge, his deputy, Jim Loy, and other founding leaders of DHS did a superb job in launching this new department. In building on their achievements, I am conscious that my new leadership team and I will be standing on their shoulder and building on what they accomplished.
Our task now is to advance the exceptional achievements of the first two years of this department to meet and manage the threats of today and to prepare to confront the risks of the future.
Our mission is no less than this: protect America while fostering the values of liberty, privacy and opportunity we all hold dear.
For their willingness to stand beside me in this endeavor, I thank Meryl and my children. Once again, you have given me your love, your sacrifices and your constant support.
And as all members of this department know, the work we do is possible only because of the support and sacrifices of our families and friends.
(APPLAUSE)
I first embarked on public service over 20 years ago as an assistant United States attorney in Manhattan. Now as secretary of homeland security, I have taken the oath of office for the fifth time.
As with each prior time I have sworn the oath, I dedicate myself to serving America and the American people.
Mr. President, again, thank you for this opportunity and for your resolute commitment to the cause of freedom and the protection of our families and our way of life.
I appreciate the trust you have placed in me, and stand ready to devote my full energy and strength to the duty we all share: the preservation of our nation and the liberties we cherish.
Thank you.
BUSH: Good job, Michael.
(APPLAUSE)
HEMMER: And as it becomes official, the president mentioning by name Osama bin Laden and the terrorist leader in Iraq Abu Musab Al Zarqawi, mentioning that recent communication picked up between these two men, and also mentioning the possibility that more attacks are aimed here on American soil. This man now responsible for keeping 285 million Americans safe.
He is now the next and the second only head of the Department of Homeland Security. Michael Chertoff now official at the Ronald Reagan building in Washington. Stay tuned to CNN day and night for the most reliable news about your security. Here's Soledad now with more. O'BRIEN: Another top story this morning, Steve Fossett, he is on the final leg of his quest to fly around the world solo on a single tank of gas. There has been some talk of aborting the trip after his plane lost about 2,600 pounds of fuel. But thanks to some favorable tailwinds, the millionaire adventurer believes that actually he's going to make it.
Bob Franken is live for us at mission control in Salina, Kansas.
Hey, Bob, good morning to you.
We're looking at a landing around 2:00, 2:20-ish, right?
BOB FRANKEN, CNN CORRESPONDENT: Well, I'll tell you what, they're saying that it could be, give or take, an hour or so, which, of course, is something we're all familiar with as commercial fliers. He's going to land, by the way, with about 1,900 pounds of fuel. So it looks like he's not going to have to do an emergency glide, which they had already planned. He could glide as long as 200 miles if had to.
Right now, however, he's crossing Nevada. He will be going through Arizona, and New Mexico, Utah, Colorado, and then in here at whatever time.
Now, of course, Jack Cafferty would probably ask, does he get frequent-flier miles. If he did, he would probably have about 22,000 accumulated now. The answer, by the way, is no, but Richard Branson has said he will give Steve Fossett a free lifetime pass on Virgin Airlines, which may be a reason to try this. He suffered, Steve Fossett, with a series of headaches, probably due to dehydration during this flight. But he said, quote, "I'm beginning to perk up now that I know we're near the end." Within the hour, he crossed landfall, and then he'll be making his way into Kansas.
And possibly you're asking yourself, why Salina, Kansas? And the answer is because, among other things, it has one of the longest runways in the county, although Soledad when you think about it, the entire state of Kansas, flat as it is, could probably be considered a runway -- Soledad.
O'BRIEN: All right, I bet he's looking forward to the end of this trip.
Bob Franken for us this morning. Thanks, Bob.
Well, new and improved Segway scooters are about to hit the market. But are they going to be any more affordable than the old ones.
Andy's "Minding Your Business," just head.
HEMMER: Also Martha Stewart's "Apprentice" is supposed to rehab her image. Could it end up making it worse? A topic for "90-Second Pop," all Martha in a moment.
(COMMERCIAL BREAK)
O'BRIEN: The Segway scooter company is rolling out some new models. Here with that, and an early check of the markets, Andy Serwer is "Minding Your Business." I know you're going to start with the markets, but did many people buy the Segway.
ANDY SERWER, "FORTUNE" MAGAZINE: Not that many people bought the Segway. They're a lot of fun. But there's just no reason to own one, and that's kind of the problem. They are kind of cool.
All right, let's talk about the markets first, Soledad. You're right, we're off to a good start here. Check it out, 36 points to the upside on the Dow. February sales for retailers coming in, looking very rosy for the month of February, Wal-Mart, Talbots, Nordstrom, all doing well. And the stocks are up. Limited the only one kind of lagging here. Potential big merger in the oil biz. Chevron, Texaco looking at Unocal, according to published reports.
Now the Segway, Soledad's right, it just has not been selling like hotcakes. Reports are that they sold about 10,000 of these babies. There's the Segway. They're kind of different if you ride. There's the Segway. No, that's not Hemmer. We've seen the Hemmer on the Segway footage so often on this program...
HEMMER: It's been maybe a week.
SERWER: Yes, exactly. They sold 10,000 over the past two years. They had to recall 6,000. They go for about $5,000. They're rolling out three new models. This actually -- now they're getting somewhere, because they've got applications. The golf cart Segway will be coming out. That kind of makes sense.
O'BRIEN: Why don't you just take a golf cart.
SERWER: I kind of like to sit down, yes, I agree. How about the ATV version? There's the big wheel. Farmers going through the woods. I don't know. Then they've got some new ones with colors. The price is not coming down. The batteries are longer. You know, mail carriers it's good for. Certain things. Having fun, but you know...
O'BRIEN: You could buy a good used car for $5,000.
SERWER: That's probably true.
HEMMER: Well, a lot of these companies are using them in big warehouse, though, speed up the delivery process, inventory.
SERWER: Limited markets, as Soledad said on the top.
HEMMER: Here is Jack now, Question of the Day, one final check now.
Save the country, Jack.
JACK CAFFERTY, CNN ANCHOR: You know who's going to be on "IN THE MONEY" this weekend? HEMMER: Tell us.
CAFFERTY: Kinky Friedman, who's a country singer of some renown, Kinky Friedman and the Texas Jew Boys. He's running for governor of Texas, he really is, and his campaign slogan is, "how tough could it be?" I'm looking forward to having the Kinkster on "IN THE MONEY" on the weekend.
What's the answer to the country's financial problems? A more mundane fellow named Alan Greenspan voiced some very strong concerns about economic stagnation if the clowns in Washington don't get their act together, which I ain't holding my breath.
Carol writes, "Our whole system needs to change, but people who are willing to do that can't get elected. We apparently have the kind of government we deserve until the people start to lead. And in the meantime, I'm not optimistic."
Cheryl in South Carolina writes, "Gee, Jack, you're asking me. I do OK, but I haven't balanced a checkbook in years. I rely on my husband and bankers for serious financial advice. And I did vote for John Kerry in the hope of seeing some progress and change."
And Mike in Flemington, New Jersey, "Two things can be done to reduce the deficit, and it only requires politicians with guts to do them: one, raise taxes, two end corporate welfare by slashing the defense budget. We can already kill everyone on the planet 20 times over. It will be OK if we can only kill them 10 times.
HEMMER: No. 3, keep Alan Greenspan in charge. He's doing OK still.
SERWER: That's not going to last forever, of course.
O'BRIEN: No, it can't.
HEMMER: Thank you, Jack.
O'BRIEN: Martha Stewart in her final hours of time behind bars. What's the first thing that she should do when she's out of prison? We've got some tips in a special edition of "90-Second Pop," just ahead on AMERICAN MORNING.
(COMMERCIAL BREAK)
(BEGIN VIDEOTAPE)
O'BRIEN: I like that song. Hey, everybody. Good morning. Just in time for spring, getting sprung. It's a good thing for Martha Stewart and big enough to warrant a special edition of "90-Second Pop".
With us this morning, Andy Borowitz from Borowitzreport.com. "Newsweek's" senior writer, Charles Gasparino. He's covered Stewart's trial, also has written "Blood on the Street" about Wall Street and the duping of investors. And our pop panelist du jour, senior legal analyst Jeff Toobin.
Nice to see you, Jeff.
JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: Good morning.
O'BRIEN: All right, let's get right to it. Andy, we're going to start with you. Martha, Martha, Martha. What do you think the first thing she needs to do when she steps out of the walls of prison and goes into her new sort of prison? What do you think she should do first?
ANDY BOROWITZ, BOROWITZREPORT.COM: Well, it's true. She is going to be under house arrest. So she's just kind of trading one gated community for another at this point. But she's -- I guess her first big moment is going to be the cameras waiting outside of prison. And there are going to be a lot of people sort of waiting to see, is this a changed Martha? Is this the same Martha?
I think she should be humble. I think she probably should say that this was a transforming experience. I would avoid saying thins like I'm going to Disneyland, for example. It would be a mistake. So I think that's going to be her first sort of big media moment.
O'BRIEN: Do you think she should -- does it help or not help if she says, you know, I'm not guilty, reiterate that? Or does she say I've learned my lesson?
TOOBIN: I think you move on from the...
CHARLES GASPARINO, SENIOR WRITER, "NEWSWEEK": Forget about this situation.
TOOBIN: I think discussing ImClone stock at this point is probably not what she wants to do. It's all about the future for her, not the past.
O'BRIEN: And it's going to be a big moment. I mean, the bottom line is people want to see what she looks like. The word is that she's lost weight.
GASPARINO: She looks pretty great, according to our cover.
O'BRIEN: Yes.
TOOBIN: Yes.
(CROSSTALK)
O'BRIEN: Because, you know, "Newsweek" has gotten a lot of flack for that. That body is not Martha Stewart's body.
GASPARINO: I mean, it looks just like her.
BOROWITZ: I wish "Newsweek" could do that to my body. That's great. This is what I don't understand, so I read that, you know, while she's under arrest, she is hiring the chef from this New York restaurant, Le Cirque, which is a fabulous French restaurant.
GASPARINO: Le Cirque.
BOROWITZ: Le Cirque, well, whatever.
GASPARINO: I'm sorry.
BOROWITZ: But I think it's a...
GASPARINO: (UNINTELLIGIBLE) a few places.
BOROWITZ: I think it's a huge mistake, because whatever they were feeding her in prison has totally agreed with her.
GASPARINO: Right.
O'BRIEN: Oh, exactly. You need mushy oatmeal and bad food to keep that great figure.
BOROWITZ: Yes. She said they cut back on the fat. Didn't she complain about that?
BOROWITZ: She did.
GASPARINO: The food was lousy.
BOROWITZ: She did.
GASPARINO: Actually starvation...
O'BRIEN: The food is always lousy in prison.
(CROSSTALK)
TOOBIN: Tonight on the CNN special we're doing, one of her guests says that, you know, they have these vending machines, and she said, oh, get the chicken in the vending machine. It's really delicious.
(CROSSTALK)
O'BRIEN: Oh. Chicken in the vending machine. Ew!
TOOBIN: Tastes have changed, yes.
O'BRIEN: Let's talk about business. She wants to go back to running her company.
GASPARINO: Right.
O'BRIEN: And there are some issues about that. Also, she set up these TV deals as well.
GASPARINO: Right.
O'BRIEN: What would you advise, Charles, as she steps out of prison?
GASPARINO: Try to run the company. I mean, it's her company. Her name is on it. I mean, she faces a bar from the SEC, although we reported on "Newsweek" that she's trying to get that eliminated. I mean, listen, I think she is the face of the company. The sooner she gets back to running it, being the official CEO, the better it is for the stock.
O'BRIEN: How about TV...
GASPARINO: And the stock has done very well lately.
O'BRIEN: How about the TV deals, you guys? What do think?
GASPARINO: A double-edged sword.
TOOBIN: I think it's, you know...
GASPARINO: Listen, if the nasty Martha, right, that's going to hurt her product. If she's nice on TV, that's going to destroy -- I mean, who wants to watch a nice person on one of these reality shows?
O'BRIEN: You never know.
BOROWITZ: Well, you know, Trump -- I mean, Trump is definitely kind of the boss from hell in a way.
GASPARINO: Right.
BOROWITZ: And Martha fits into that role. It could be good. I was sort of sorry that she didn't, like, go on "Desperate Housewives." Because I think she was, like, the original. She's the uber (ph) desperate housewife.
O'BRIEN: It might be a little too close to home.
BOROWITZ: Maybe a (UNINTELLIGIBLE).
O'BRIEN: Let's talk legal issues, lots of legal challenges. I mean, she's not free and clear, and not just the probation we're talking about.
TOOBIN: Right. I mean, you know, the ankle bracelet will be a big part of her life for the next five months. And I think that's going to be -- you know, what is the etiquette of dealing with an ankle bracelet?
O'BRIEN: Pants all the time.
TOOBIN: Do you wear pants all the time?
O'BRIEN: I thought (UNINTELLIGIBLE).
GASPARINO: It might be very nice with an ankle bracelet.
TOOBIN: Do you ask to see it if you're a friend of hers? Do you say, "Can I see it?" I mean, a lot of people are going to be sort of trying to sneak...
O'BRIEN: That would be tacky.
TOOBIN: ... to see it on her ankle there. But, you know, the legal issues are bad, but they won't preoccupy her that much. They're almost all civil proceedings at this point. I mean, you know, she's got to get her business going again. And that will take care of all of the problems if, you know, the stock goes back up and the ratings are high on her TV show.
O'BRIEN: Her business...
GASPARINO: Unless they bar her from running the business. I mean, the SEC wants to bar her from running the business.
TOOBIN: But, you know, technically they can bar her from being the CEO.
GASPARINO: Right.
TOOBIN: But can't keep her out of being an employee.
GASPARINO: She could be creative director.
O'BRIEN: She'll be creative director and still run it.
GASPARINO: I think she wants to run it.
TOOBIN: Exactly.
O'BRIEN: At the end of the day, it's all about the PR...
TOOBIN: Whose name is on the door?
O'BRIEN: ... and getting back into the business.
GASPARINO: Right.
TOOBIN: Yes.
O'BRIEN: And whatever choices she makes. It will be interesting to follow. You guys, thank you very much. Appreciate it.
GASPARINO: Thank you.
O'BRIEN: A lot more on Martha's release. It's going to be tonight on primetime on CNN at 10:00 p.m., the special hour of "PEOPLE IN THE NEWS" that contains some exclusive prison footage and looks at how life behind bars has changed Martha Stewart. Again, that's tonight, 10:00 Eastern, right here on CNN -- Bill.
(END VIDEOTAPE)
HEMMER: All right, Soledad, thank for that.
To understand the present, you have to know the past. And today Carol Lin takes a look at this week in history.
(BEGIN VIDEOTAPE)
CAROL LIN, CNN CORRESPONDENT (voice-over): One trader's greed led to the downfall of Britain's oldest merchant bank. This week in history on March 2, 1995, Nick Leeson was arrested and charged with fraud in connection with the Barings Bank collapse.
And in 1998 bill gates defended his company during a U.S. Senate hearing. He denied that Microsoft was using its windows operating system to monopolize the Internet.
And that is this week in history.
(END VIDEOTAPE)
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