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CNN Live At Daybreak

'TIME' To Hand Over Notes in CIA Leak Case; Last Ride for Lance Armstrong

Aired July 01, 2005 - 06:30   ET

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

ANNOUNCER: From the Time Warner center in New York, this is DAYBREAK, with Carol Costello and Chad Myers.
CAROL COSTELLO, CNN ANCHOR: And good morning to you. Thank you for waking up with us.

Coming up this half-hour, is "TIME" magazine throwing in the towel on a confidential source or living by the rule of law? We'll ask a law professor about the future of journalism, confidential sources and why it should make any difference at all to you.

And get ready to lace these up. On the eve of the Tour de France, Lance Armstrong and Nike team up again.

But first, "Now in the News."

In Iraq today, honors for Marines killed and wounded in a suicide car bomb attack last week. Five Marines and on sailor were killed, three of them women, in the deadliest attack on American women in this case. Another 13 Marines, including 11 women, were wounded.

The countdown clock is on for the space shuttle Discovery. NASA has set July 13 for its first manned space mission since the shuttle Columbia disaster in 2003, which killed seven astronauts.

New this morning. German Chancellor Gerhard Schroeder's government has lost a confidence vote in parliament. The vote actually helped Schroeder's goal. He asked parliament to dissolve his government so he could seek a new mandate in a vote this fall.

A possible ethics investigation of House Majority Leader Tom DeLay can perhaps get under way. After settling a partisan dispute six months into this congressional session, the House Ethics Committee has opened finally for business.

Remember, you can view more CNN reports online. Just visit cnn.com, click on to "watch," and check out some of the popular stories.

We begin this half-hour in Aruba. The attorney general says -- the attorney general there says she could prosecute the disappearance of Natalee Holloway even if her body is never found. Another court hearing is set for the three suspects in custody. A judge will decide next week if they can be held for more than 60 days. The Alabama teenager has been missing without a trace for a month now. Holloway's mother, Beth Twitty, distracted herself from the exhaustive search by visiting a school. She helped the children there with arts and crafts.

It's been difficult trying to decipher some of the laws in Aruba. CNN's Soledad O'Brien joins us now for a look at what's coming up on "AMERICAN MORNING."

Good morning.

SOLEDAD O'BRIEN, CNN ANCHOR: Good morning, Carol.

And you're absolutely right. It's very confusing. For example, that videotape that you just showed a moment ago of the two suspects handcuffed together. Why are they together? I mean, we were told that they were interviewing these suspects separately.

A couple of questions we're going to ask this morning. Did the police make a mistake when they put them together and then transported them in the same car? Did it give them a chance to get their story straight? Or was it some kind of calculated move to see what they might say to each other?

This morning, we talk with an expert on Aruban law, all about that

Also ahead this morning, the mother of all coincidences, you might way, two new moms met while sharing a hospital room. This happened about four years ago. They didn't exchange numbers. They said, you know, we're going to be new mothers. We're going to be absolutely crazed. We just will never keep in touch. Believe it or not, four years later, paths cross again, sharing a room, same maternity ward, their next kids. This time, they're going to share the number. We'll talk to those moms this morning about kind of a bizarre twist of fate.

COSTELLO: That's a nice twist of fate as well.

S. O'BRIEN: Very nice, yes.

COSTELLO: All right, thank you, Soledad.

"TIME" magazine will turn over notes of a reporter who, up to now, has refused to reveal his source in the leak of a CIA officer's name. "TIME" correspondent Matt Cooper, along with Judith Miller of "The New York Time," could go to jail after refusing to tell a grand jury who leaked the agent's identity.

Time Incorporated states: "The innumerable Supreme Court decisions in which even presidents have followed orders with which they strongly disagreed evidences that our nation lives by the rule of law, and that none of us is above it."

Do you want me to translate that for you to English? That means that the court decisions have all come out against the reporters. So, it's time to pony up now. "The New York Times" is not following "TIME's" lead. In fact, it's a little upset at "TIME."

As for how many people feel about this issue, most don't seem to care. Frankly, I have not heard much outrage that Miller and Cooper could go to jail for protecting a source.

So, we wanted to get with "TIME" to examine this issue in a wider context.

Let's head live to Boston and our guest this morning, Cameron Stracher of the New York University Law School.

Good morning.

CAMERON STRACHER, NYU LAW SCHOOL: Good morning. Thank you.

COSTELLO: Time, Inc., the company that owns CNN, decided the courts have ruled. It's time to pony up. Mr. Cooper must give his notes to prosecutors, so they can dig up his source. Why should we care?

STRACHER: Well, I think we should care, because this is going to make it harder for journalists to do their jobs and discover information that I think all of us need to know. You know, it's interesting that this arises in the wake of the recent disclosure of, you know, "Deep Throat" in the Watergate investigation. And, of course, you know, those of us who remember Watergate know that a lot of that reporting might not have been able to have occurred if Woodward and Bernstein had not been able to promise confidentiality to their source.

COSTELLO: Well, politics has also entered into this case, because it is kind of complicated. Someone outed an undercover CIA operative, a crime. Columnist Robert Novak actually printed her name in his column. Surely the prosecutor got his source, Robert Novak's source, or he would be going to jail. Some say politics is behind this, since it's suspected someone in the Bush administration leaked Plame's name. Valerie Plame is the CIA operative's name. And they did that to make her husband look bad.

See, it's complicated. And I don't think people remember the back story on this. Or do they?

STRACHER: Well, and the politics are really confusing here, because if you think about it, what supposedly has happened here is the name of Valerie Plame was leaked in retaliation for her husband basically criticizing the Bush's supposed disclosure of weapons of mass destruction in Iraq.

So, as a sort of political slap at him, someone disclosed his wife's supposed secret identity.

But now, you have the flip of it, which is the prosecutor from the same administration now going after vigorously whoever that leak was in response to the original retaliation. So, it's really bizarre. COSTELLO: It is bizarre, because you would think they would just ask Robert Novak. In fact, he talked about it. Let's hear what Robert Novak had to say.

(BEGIN VIDEO CLIP)

ED HENRY, CNN CONGRESSIONAL CORRESPONDENT: Do you understand why, in general, there is frustration among fellow journalists that after 41 years of distinguished work, where you've always pushed and been a fierce advocate of the public right to know, you're not letting the public know about such a critical case, and two people may go to jail?

ROBERT NOVAK, "CHICAGO SUN-TIMES": Well, they're not going to jail because of me. Whether I answer your question or not, it has nothing to do with that. That's very ridiculous to think that I am the cause of their going to jail. I don't think they should be going to jail.

(END VIDEO CLIP)

COSTELLO: So, could there be more than one leak?

STRACHER: Interesting. You know, I have to agree with what Novak said there. I mean, you can criticize his journalism or his journalist ethics, and people have. You know, I'm not here to do that. But if he has disclosed the source, then there doesn't appear to be any reason why the other two reporters would need to testify about it.

It's possible that he has said there are other sources, and I don't know who they are. But it seems extremely unlikely.

COSTELLO: Cameron Stracher from the NYU Law School joining DAYBREAK this morning. Thank you.

The story, of course, is not over. We'll keep following it.

Still to come on DAYBREAK, he's done it six times. Now, Lance Armstrong goes for win number seven this weekend. Whether he wins or loses, we'll be seeing a lot of yellow with his name.

And Brooke Shields lobs one back at Tom Cruise. Ooh, it's a good one, too.

But first, here's a look at what else is making news this Friday.

(COMMERCIAL BREAK)

COSTELLO: A look at how the international markets are trading. Tokyo's Nikkei up 46 points, the London FTSE up 35, the German DAX up 19.

Let's talk about Lance Armstrong, because he is all about our "Business Buzz" this morning. Tomorrow, he will be pedaling his bike towards his seventh straight Tour de France victory, maybe. Also tomorrow, Armstrong will pedal a new clothing line for Nike and make even more money.

Carrie Lee is here to tell us about it.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Business, sports, it all comes together, doesn't it, Carol?

That's right. Lance Armstrong and Nike are teaming together on a new line of clothing. It's called 10//2. Now, 10//2 for October 2, 1996. That was the day Armstrong was diagnosed with cancer. Armstrong and Nike combined on those wildly popular "Live Strong" bracelets. Remember those? Everyone was wearing them, the yellow ones. They made $50 million, $1 at a time on those sales for the Lance Armstrong Foundation.

Now, he will donate $1 from the sale now of any of these items to the foundation. The 10//2 line includes sneakers, athletic wear, some other things. There is an idea of what's some look like.

Now, they do sell in some cases for up to $100, though, depending on the item. So, $1 donation here may seem a little cheap. One dollar for every item sold goes to this foundation.

Now, a Nike spokesperson says the bigger goal is to raise awareness. As you can see, the color yellow is prominent, and that is the color of the jersey. Armstrong has won six times at the Tour de France.

The Web site for the product line is wearyellow.com. As for Nike, earlier this week they reported strong profits. There is some worry about growth, though. But clearly, this is the focus, Carol, for Nike this week. The items go on sale starting tomorrow. You can go to Nike Town. You can go to niketown.com.

A couple of ideas here. Here's a jogging bra, a pair of shorts, sneakers. There are flip-flops, a myriad of other things.

COSTELLO: There's the sneakers.

LEE: I think it's interesting. The bracelets were a dollar, and that full dollar went to this organization. Only a dollar goes to these. So, I think you really have to like the item for what it is to buy it, since only a dollar is going. But still, it's a good thing.

COSTELLO: Did you say the total cost, and I just missed it? It's 50 bucks.

LEE: Well, some of these items are as much as $100.

COSTELLO: Yes.

LEE: So -- and, you know, Nike sneakers are anywhere from 85 to 100. So, Nike is not a discount retailer, but they're trying to do a good thing here.

COSTELLO: Wow! A quick look at the futures. LEE: Yes. Things are looking up this morning after the Dow fell 99 points yesterday. Of course, we got that quarter-point hike, as expected, from the Federal Reserve. We'll probably see some muted action today. Of course, markets are closed for the July 4th holiday. And then next week it's going to be all about the profit reporting, profit warning season since we wrapped up the second quarter yesterday.

COSTELLO: Understand. Carrie Lee, thank you.

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

A memorial service was held about three hours ago at the U.S. Marine camp in Falluja for six U.S. service members killed in an attack last week. Three of the victims were female Marines.

In money news, as expected, the Federal Reserve raises interest rates by a quarter of a percentage point. The chair, Alan Greenspan, says another quarter-point hike is likely in August.

In culture, hey, have I got an offer you can't refuse. Yes, Marlon Brando. An auction of all things Brando at Christie's raised almost $2.5 million.

In sports, a shakeup in the Big Apple. Relief pitchers Mike Stanton and Paul Quantrill have been cut from the New York Yankees. The team has a 39-38 record, very un-Yankee-like.

(WEATHER REPORT)

COSTELLO: Still to come, she's an actress and a mother and admittedly not a psychiatric expert. But this morning, Brooke Shields is firing back at Tom Cruise. And she's getting some good lines.

But first, it's time to say happy birthday.

(COMMERCIAL BREAK)

COSTELLO: Somehow nobody got hurt when a ferry went out of control in Canada. This is West Vancouver. Watch this. You hear it blowing its horn, Chad. Of course, it can't really stop.

CHAD MYERS, CNN METEOROLOGIST: No. The boat lost power, so it basically (INAUDIBLE).

COSTELLO: And I think Chad's microphone has seemed to lose power as well. This is a 450-foot vessel. As you can see, it's plowing through several boats. I think Chad was going to say it's not like you can slam on the brakes. This thing was trying to dock in Vancouver. It lost power.

So, Chad, take it away.

MYERS: Well, and what happened is that he decided not to try to drive it into where it's supposed to be docked -- there was more of a slowdown zone here through the marina -- rather than plowing straight ahead into the end of the dock. And, really, he hit a bunch of these smaller boats. The great news is no one was on the smaller boats. No one was injured in this whatsoever.

Actually the passengers on this thing, over 500 passengers, almost 200 vehicles, they had to stay on this boat for a couple of hours while they were checking on the people in those boats. And they found out there was nobody in them. No one was injured. Thank goodness it wasn't two days later, as obviously the holiday would have been -- those boats would have been filled with people, and clearly more damage there.

But boats don't have brakes. And especially when you lose power, you lose steerage, you're done. So, be careful out there this weekend. You can't slam the brakes on.

COSTELLO: That's right. That's right. That's just an amazing picture. But as you said, luckily nobody got hurt. But I think a lot of people are mad about their boats this morning. Yes.

Let's talk about Lance Armstrong, be he is one amazing man. At the age of 34, he is shooting for his seventh Tour de France. "USA Today" is running a huge spread on Armstrong this weekend. The Discovery Channel has a documentary about his amazing prowess. His heart is apparently bigger than most people's.

We want to ask Ginger Gadsen of "USA Today" more.

"USA Today" has this big spread on Lance. Why the continuing fascination with him?

GINGER GADSEN, "USA TODAY": Carol, he is simply, as you put it, an amazing human being. There is something that sets him apart from the rest of us. He is determined to win, and he is winning. And he is setting out for an unprecedented seventh Tour de France win. And you can only believe that he will accomplish what he has set out to do.

COSTELLO: Well, what -- I'm sorry. I'm so excited about this I can hardly speak.

GADSEN: It is a great story.

COSTELLO: The thing that I found interesting in your article is usually Lance Armstrong is the one on his team to cross the finish line and win. This year, he may not be.

GADSEN: No, he may not be. And he concedes that. His legs aren't as fresh. At 34 years old, he is like the old man of the sport. And at 34 years old, he says that he may not be the one to cross the line first. It may be some other teammate on the Discovery team, which is his team this year. So, we'll just have to wait and see. But he is excited, and he's determined.

And one thing that they're doing, Carol, they don't have for the Tour de France this year as many mountain stages. And that's where Lance really comes into his own, and he tends to leave everyone else behind in the pack.

COSTELLO: Well, I'm wondering why he didn't indeed retire. I mean, why exactly he's going for this seventh win, because he said he wanted to spend more time with his kids and, of course, his girlfriend, Sheryl Crowe. They have not broken up from what I understand. So, why did he decide to run another race?

GADSEN: Possibly, Carol, the best answer is because he can. And he just wants to see if he can actually do it one more time. And it's kind of his farewell ride. And a lot of us are looking forward to it and seeing what will happen if he can actually capture that yellow jersey for the seventh consecutive year, which is amazing.

COSTELLO: Well, all eyes will be on him this weekend. And, of course, we'll follow the race, as will you. Ginger Gadsen from "USA Today" joining us live this morning.

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

Firefighters near Phoenix, Arizona, are getting some help from better weather. They're working to contain a 170,000-acre blaze. Four communities are now in the fire's path.

Major League Baseball officials are deciding the fate of Texas Rangers pitcher Kenny Rogers. Team officials expect he'll be suspended. after his angry outburst sent a TV cameraman to the hospital.

Brooke Shields is responding to ongoing criticism from Tom Cruise that she took medication to help deal with postpartum depression.

In "The New York Times," Shields writes: "Comments like those made by Tom Cruise are a disservice to mothers everywhere. To suggest that I was wrong to take drugs to deal with my depression and that instead I should have taken vitamins and exercised shows an utter lack of understanding about postpartum depression and child birth in general. If any good can come of Mr. Cruise's ridiculous rant, let's hope that it gives much-needed attention to a serious disease. Perhaps now is the time to call on doctors, particularly obstetricians and pediatricians to screen for postpartum depression."

Actually, my favorite part of the op-ed piece in "The New York Times" was where Brooke Shields says, you know, I dare say Tom Cruise has never suffered from postpartum depression. And I do believe she's probably right about that.

The countdown is on for NASA as it prepares for a return to space. Let's check in with CNN's Miles O'Brien for a look at what's coming up on "AMERICAN MORNING."

Good morning.

MILES O'BRIEN, CNN ANCHOR: Good morning, Carol.

NASA says the space shuttle Discovery is ready for liftoff. The launch is planned for July 13 about 4:00 in the afternoon. If anybody out there is familiar with the weather in Florida in July at 4:00 in the afternoon, you know they may have some trouble with thunderstorms. We'll have to talk to Chad about that in a little while.

There are still some safety concerns, but the bottom line is the only safe shuttle is a shuttle that's not in space. So, it's going to be risky.

Speaking of risks, serious airport security concerns. Carol, I know you've been talking about this thing all morning. Here is what I don't get. To get on a plane, you've got to practically disrobe, take off your shoes, do all these things. And this guy gets -- just drives on to the runway. I mean, if he wanted to have a bomb in that truck, he could have blown up a plane very easily.

So, you've got to wonder if the whole airport security -- well, facade is just that. What do you think?

COSTELLO: I'm with you.

M. O'BRIEN: Yes.

COSTELLO: I really am, because this is the second time that kind of thing has happened at that airport.

M. O'BRIEN: At that airport. You would think they would have come up with a little plan. You know, I mean, when you drive up to the airport, there are all of those concrete barriers. You can't get anywhere near the terminal. What about the backside of the airport? It's just a thought. Just a thought.

COSTELLO: Just a thought that you...

M. O'BRIEN: One of the many thoughts I have on this Friday, and we hope you will join us on "AMERICAN MORNING."

COSTELLO: We will.

M. O'BRIEN: I know you will.

COSTELLO: I definitely will. Thank you, Miles.

M. O'BRIEN: See you.

COSTELLO: It's time to give away that DAYBREAK coffee mug now.

MYERS: Good morning, Carol.

COSTELLO: Good morning.

MYERS: We had great questions yesterday, but only 65 right answers.

COSTELLO: Really?

MYERS: So they must have been a little difficult. Here you go. According to the U.S. Census Bureau, what's the fastest growing city in America? A lot of you got this one right. That is Gilbert, Arizona. And what region was dubbed the nation's worst vacation bottleneck? And that is the Oregon's Willamette Valley on the way to Portland.

And the winner, Paul Mitchell from Cave Creek, Arizona. It's not all that far from Gilbert, Arizona. Congratulations, Paul, you are the winner of today's DAYBREAK coffee mug. That's why you got the first one right, I'm sure.

COSTELLO: Exactly.

MYERS: Here are the questions now for today. We'll give you the answers and the winner on Monday. On what date will the design be chosen for the Flight 93 memorial? That's the one in Pennsylvania. And Live 8 organizer Bob Geldof wants to double the aid to Africa by 2010 to what dollar amount? What's the dollar amount that he wants by 2010?

DAYBREAK, go to cnn.com/daybreak, and give us your answers there -- Carol.

COSTELLO: We'll do. When we come back, we'll have a look at your travel forecast. This is DAYBREAK for a Friday.

(COMMERCIAL BREAK)

(WEATHER REPORT)

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

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