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American Morning

'Live 8' Preview; Interview With NASA Administrator Michael Griffin; Press Freedom Fight; Mexican Racism?

Aired July 01, 2005 - 07:31   ET

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


SOLEDAD O'BRIEN, CNN ANCHOR: Good morning. Welcome back, everybody. It's just about half past the hour on this AMERICAN MORNING.
Coming up, NASA makes it official. The space shuttle Discovery is going to blast off in less than two weeks.

MILES O'BRIEN, CNN ANCHOR: They've got to hurry up and get ready for the mission. Safety is the prime objective. NASA Administrator Michael Griffin is with us this morning, telling us about what's different on this shuttle mission.

S. O'BRIEN: That's ahead this morning. First, though, a look at the headlines with Carol Costello.

Good morning.

CAROL COSTELLO, CNN ANCHOR: Good morning. Good morning to all of you.

"Now in the News."

New developments out of Afghanistan. The U.S. military is trying to locate a team of soldiers missing there. The reconnaissance team has been missing since Tuesday near the area where a U.S. military helicopter was shot down. All 16 crewmembers onboard the helicopter were killed. It's said to be the worst single day death toll for U.S. forces since the Afghan war began almost four years ago.

There has been a suicide car bombing in Baghdad today. These are new pictures in to CNN. Officials say the bomber detonated his car outside of the party offices of the Iraqi prime minister. At least one person was killed, two others injured in that explosion.

President Bush is getting ready to meet with Kuwait's prime minister at the White House. Topping the agenda, Iraq and women's rights. The Kuwaiti parliament recently decided to grant women voting rights. The prime minister has said he hopes the move will enrich Kuwait's political life and encourage progress for women elsewhere in the Gulf.

And a surprise celebrity wedding to tell you about. In case you haven't heard, Jennifer Garner and Ben Affleck, they got married! The pair got married in a beautiful resort on the islands of Turks and Caicos -- Turks and Caicos. Their publicist has...

M. O'BRIEN: Are you just bedazzled by her beauty?

S. O'BRIEN: You can do it, Carol.

M. O'BRIEN: Is it her beauty?

COSTELLO: I don't know. I don't know. Anyway, their publicists say this is indeed true. And in addition to their wedded bliss, the publicist also said Jennifer Garner is pregnant. So, all of those pictures of her stomach in the tabloids, not because she was getting heavy, because she's pregnant.

S. O'BRIEN: Well, she's getting heavy. She's pregnant.

M. O'BRIEN: There's a reason, yes.

S. O'BRIEN: You know, I think it's a great idea. Get married and have that baby, all like that, get it all over with.

COSTELLO: Why not?

M. O'BRIEN: Do it all at once, yes.

S. O'BRIEN: Thanks, Carol.

COSTELLO: Sure.

S. O'BRIEN: Well, organizers are making some final preparations for this weekend's "Live 8" concerts, mega-shows in cities around the globe, all to raise awareness and funds for poverty in Africa.

Alina Cho live at the concert site in Philadelphia this morning.

Hey, Alina, good morning to you. What do we plan to see tomorrow?

ALINA CHO, CNN CORRESPONDENT: Soledad, good morning to you.

With all of the excitement over the famous acts that will be playing this weekend, it is easy to forget that there is a larger mission here. But organizers say not only is this the largest live entertainment event in history, it is also a walk to justice.

(BEGIN VIDEOTAPE)

CHO (voice over): Jaycee, P. Diddy, Destiny's Child, the lineup in Philadelphia alone includes the biggest names in the business. All of them coming together for one cause: to help a continent a world away end poverty.

BEYONCE KNOWLES, "LIVE 8" PERFORMER: I know it's really hard, I know especially for Americans, because we're so far away and so out of touch that we don't believe it. And it takes a person to go over to Africa and see the poverty and see AIDS and see that with their own eyes. If you see that, you can't help but want to do something about it. And that's why we're here. CHO: Nine concerts in nine cities all over the world, all on one day. The goal: to get the attention of world leaders before they meet in Scotland next week for the G8 summit. Leaders, including President Bush, will be discussing, among other things, Africa, whether to double aid, forgive debt and ease trade restrictions.

BOB GELDOF, "LIVE 8" ORGANIZER: The possibility of changing the world, I know it's ridiculous, but it's truly there.

CHO: "Live 8" is the brainchild of rocker-turned-activist Bob Geldof. Twenty years ago, Geldof organized "Live Aid," a concert that raised more than $100 million for the same cause. Organizers say "Live 8" is not about raising money, but raising awareness. The concerts are free.

Hip-hop mogul Russell Simmons is in charge of bringing big-name talent to Philadelphia.

RUSSELL SIMMONS, "LIVE 8" ORGANIZER: We need to push our leaders to know how serious we are, because, of course, the leaders do what the people ask.

CHO: But people like Dan Lieberman, who runs an online magazine for teens, says people his age are going to "Live 8" to hear the music, not the message.

DAN LIEBERMAN, TEEN ZONE ONLINE: It's hard. It's hard to educate people when they're there to have a good time at a concert and for them to walk away wanting to change the world.

(END VIDEOTAPE)

CHO: But "Live 8" organizers wholeheartedly disagree. Up to one million people could crowd the streets in Philadelphia, and as many as five billion people worldwide could either see or hear "Live 8" concerts tomorrow.

Soledad, we should also mention that there will be an additional concert next week in Edinburgh, Scotland just as leaders get ready to convene for the G8 summit -- Soledad.

S. O'BRIEN: All right, Alina, thanks. You know, maybe they can do both. They can have a good time and raise awareness at the same time. Thanks, Alina -- Miles.

M. O'BRIEN: NASA says it's safe, relatively, to launch the space shuttle Discovery on July 13. Space agency managers gave the go-ahead after two days of meetings, reviewing safety concerns. This will be the first shuttle mission since the Columbia tragedy in February of 2003.

(BEGIN VIDEOTAPE)

M. O'BRIEN: Michael Griffin is NASA's administrator.

Dr. Griffin, good to have you with us this morning. Let's talk about the run-up to the flight readiness review. You said before Congress and before NASA employees that you felt the shuttle was ready to fly, even before this meeting began. Did that put added pressure on the team to say, go for launch?

MICHAEL GRIFFIN, NASA ADMINISTRATOR: Absolutely not at all, Miles. The team went through a very discipline, very formal flight readiness review. I was part of that. My comments to Congress were anticipatory, but I think reflected how the team feels overall about our progress in returning to flight.

M. O'BRIEN: The flight readiness review occurred just a few days after an independent panel gave you a report, Dr. Griffin, which said that of 15 recommendations from the group that investigated the Columbia crash, three were unmet. And basically, the response from NASA has been, we did the best we could. Is the best we could safe enough?

GRIFFIN: Well, Miles, we believe that the best we could do is indeed safe enough. I want to point out to you that we asked the Stafford-Covey task group to hold us to a very high standard. And that standard was the literal and strict interpretation of the Columbia accident investigation board's requirements.

But if you look at that wording, things like eliminate all debris from the space shuttle system, and harden or harden the orbiter, those are not recommendations which are implementable in the strict sense of the word. And, indeed, although we try and continue to try to go as far as we can in that direction, we really can't get there. And so, the Stafford-Covey group's final report was no surprise.

M. O'BRIEN: Of course, perhaps the most difficult recommendation which came out of the Columbia accident investigation board was finding a way for NASA to change the way it does business, changing its so-called culture. You've been there two-and-a-half months. What is your take on how NASA is doing business? Has the culture of this, which is, after all, a big bureaucracy, changed?

CHO: Well, NASA's culture is not one thing. It is many things. And the Columbia accident investigation board in referring to our cultural problems was really talking about the management of the space shuttle program. And most of the -- almost all of the management chain that existed in the space shuttle program at the time of the loss of Columbia is now different. We have new people. We have very experienced people with the shuttle, but they were not in that management chain of command.

We've worked hard to make sure that we have an open and informative process in which every person involved knows that they are not only encouraged but required to speak up. I think we've gone a long way toward fixing the problems that the Gamon (ph) Commission outlined for us.

M. O'BRIEN: Mike griffin is the NASA administrator. Thanks for your time.

GRIFFIN: Thank you, Miles. It's good to be here. (END VIDEOTAPE)

S. O'BRIEN: And it's 7:40 here in New York. Let's get right to the weather.

(WEATHER REPORT)

M. O'BRIEN: Still to come on AMERICAN MORNING, could it be the last weekend of freedom for two high-profile reporters who have refused to reveal their sources? A legal debate just ahead.

S. O'BRIEN: And long-term mortgage rates continue to fall. So, just how low could they go? We're going to ask Andy. He's "Minding Your Business" ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

S. O'BRIEN: "Washington Post" reporter Bob Woodward says in a new book, the man recently revealed as "Deep Throat" let his identity slip out as early as the 1970s. Mark Felt, a former number two man at the FBI, inadvertently hinted at his undercover role in the Watergate inquiry during a grand jury appearance.

According to Woodward, Felt was asked if he were "Deep Throat." Felt said no, but a Justice Department official reminded Felt he was under oath and offered to have the answer stricken from the record. Woodward writes that Felt then did have to have his answer withdrawn.

Well, two journalists who have refused to reveal their sources could be looking at some time behind bars. "TIME" magazine's Matt Cooper and Judith Miller of "The New York Times" are due back in court next week, where they could be ordered to jail.

Miller refuses to reveal her source for an investigation into the identity of CIA officer Valerie Plame and how that was leaked to the press. "TIME," which, like CNN, is owned by Time Warner, decided it would turn over Cooper's notes on the story.

It's kind of complicated. So, here with more, senior analyst Jeff Greenfield and senior legal analyst Jeff Toobin.

Good morning. And we're going to kind of double-team, because there's lots of legal implications obviously in this story.

Jeff Greenfield, why don't you start with the history? Valerie Plame, a CIA operative, outed, but not by Judy Miller and not by Matt Cooper.

JEFF GREENFIELD, CNN SENIOR ANALYST: No. Weirder and weirder. The president in 2003 in the State of the Union says we learned the British government learned that Saddam was trying to require nuclear material from an African country. Joseph Wilson, a retired career diplomat, is dispatched to Africa to check this claim out. He comes back and says he couldn't find anything to it. He later writes something in "The New York Times" saying it's bogus, and becomes a severe critic of the Bush administration. Then, his wife, Valerie Plame's identity as a CIA agent is revealed, most notably in a Bob Novak column. The motive, it is said, is to discredit Wilson by saying, well, he was just doing the CIA's bidding, because there's a turf war going on about intelligence. And this is going to make Wilson look like a CIA flunky or something.

Now, under some circumstances, as Jeffrey Toobin will tell you, it is a crime to reveal the identity of an undercover CIA agent. A special counsel is appointed to find out who leaked. And somehow we now wind up with Matt Cooper and Judith Miller facing prison.

S. O'BRIEN: Let's bring to the legal side of it then. Is it a crime to leak the name? And if it is a crime, is it a crime for the journalist?

JEFFERY TOOBIN, CNN SENIOR LEGAL ANALYST: Well, no one -- there have been very few prosecutions under the laws that say disclosure of classified information. And Valerie Plame's identity was classified, perhaps, at that time. That's one of the many mysteries about this story. But under some circumstances, disclosing classified information to a journalist can be a crime, yes.

S. O'BRIEN: But we're not talking about the person who disclosed it to the journalist.

TOOBIN: Well...

S. O'BRIEN: We're talking about the journalist to whom that information came.

TOOBIN: Correct. Certainly it doesn't appear to be any sort of crime to receive that information, but the person who receives it would certainly be a witness in a prosecution for disclosure of classify information. So, it is not unreasonable to think that a prosecutor would subpoena as a witness the people who got this information. They were subpoenaed, and they refused to testify.

S. O'BRIEN: Why...

GREENFIELD: They were held in contempt. That's why they might go to jail.

TOOBIN: Right.

S. O'BRIEN: Why doesn't Bob Novak face any prison time? I mean, no one has mentioned him as a guy who is going off to prison.

GREENFIED: Here is...

S. O'BRIEN: And we should mention that he -- this is a column that he wrote, but he also works for CNN.

GREENFIED: Well, I think Jeffrey and I can give you the exact correct answer on this. We haven't a clue. It is -- and he hasn't said. He said on lawyer's advice he can't talk about this.

S. O'BRIEN: What would you hazard as the options then?

TOOBIN: I think he's cooperated. I mean, I think that's the only rational result. Patrick Fitzgerald who is the prosecutor in this case is a rational person. He certainly wouldn't being subpoenaing peripheral figures like Matt Cooper and Judy Miller if he wasn't subpoenaing the main figure, the man who received the main leak, Robert Novak. Novak has said he did not cooperate, but I think somehow he's not exactly telling the truth.

S. O'BRIEN: You say he's a rational guy. But hasn't he said that, in fact, he knows the identity the source?

GREENFIED: Yes. But that doesn't tell you -- that doesn't get the reporters off the hook, because he may want from them details about when and how it was leaked, under what circumstance. So, the fact that Time, Inc. is turning over Matt Cooper's notes may get Matt Cooper off the hook. It probably doesn't get Judy Miller off the hook. It may not even get Matt Cooper off the hook.

TOOBIN: I don't actually think it does get Matt Cooper off the hook.

S. O'BRIEN: Well, let's talk a little bit about that. So, Time, Inc. says, we're going to go ahead and turn over what we've been subpoenaed. And, in fact, Norman Pearlstone was on talking about how we're not above the law, and that's why we have to do it. Matt Cooper has indicated at least, as far as I can read, that he's willing to go and accept the consequences.

GREENFIED: But yes. But Norman Pearlstone is acting now not as Matt Cooper's, you know...

S. O'BRIEN: It's two separate entities.

GREENFIED: ... as Time, Inc. And one of the questions here is, well, suppose the judge slaps "TIME" with a huge fine? It says, look, you're part of this giant, huge company, Time Warner. And the only way to deter you in the future is to hit you with -- is there a limit to how much you can fine them?

TOOBIN: Contempt, not really. I mean, contempt, the judge makes up the fine that he thinks can coerce the company into making them cooperate. But just about Matt Cooper, you know, all that "TIME" magazine is going to do is turn over a bunch of pieces of paper that are Matt Cooper's notes. No prosecutors can introduce the pieces of paper as evidence. They need the witness to authenticate, to explain the notes. And the only person who can do that is Matt Cooper. So, I think Matt Cooper is still in trouble.

S. O'BRIEN: Only a few seconds left. "TIME" and "The New York Times," Judy Miller writes for "The New York Times," they made it very clear that they support her. I mean, the press release they put out yesterday was that they were disappointed with Time, Inc. They support their journalist in this case. What do you think of this split strategy? GREENFIED: Well, part of it is "The New York Times" is not a defender. They don't face those kinds of things. But in the few seconds left, I've got to get a plug in for a possible weird solution to this.

S. O'BRIEN: What's that? OK. I'll take it. I'll bite.

GREENFIED: No, I'm serious.

S. O'BRIEN: What is it?

GREENFIED: A presidential pardon.

S. O'BRIEN: Convict them?

GREENFIED: No. A presidential pardon says we're not saying that it was right. We're not letting reporters off the hook when their evidence is really needed. But in this murky case, where they weren't -- you know, they don't have information on an ongoing crime, this is not a case where a reporter should go to jail. And given the Bush administration's relationship with the press, this may seem even cynical or weird, I'm not sure it's not a solution.

S. O'BRIEN: Or it might happen.

TOOBIN: It is a solution. I just don't picture President Bush deciding with all that's on his plate he wants to get involved in this, but maybe it would be a master stroke.

S. O'BRIEN: We will see. You guys, thank you very much. The two Jeffs doing it for us this morning -- Miles.

M. O'BRIEN: All right, thank you, guys.

Still to come, a postage stamp delivers new charges of racism against the Mexican government. And now the ripple effect is growing on this side of the border. Stay with us for more AMERICAN MORNING.

(COMMERCIAL BREAK)

M. O'BRIEN: Well, I'm not a business guy, but I predict a quiet day down on Wall Street, Andy Serwer, but doesn't mean you're not working hard, right?

ANDY SERWER, "FORTUNE" MAGAZINE: I'm working hard. But it's going to get quieter and quieter as we get towards the afternoon as traders look to head out for the holiday weekend.

A lot of news yesterday, though, Miles. The Federal Reserve raising interest rates, another quarter-point to 3.25 percent on the fed funds. The ninth time they have done so. And the markets sank, not necessarily on that news, because it was widely anticipated. You can see here the Dow down almost 100 points. But because the Federal Reserve said it was going to maintain its posture, indicating it will continue to raise rates. Today is the first day of the third quarter. It's also the first day of the second half of year. How did the markets do year-to-date? Not so well, really. Let's check it out and see.

We've been down a lot across the board here, you can see, the first half of the year. Let's hope things pick up in the second half of the year.

Also, some very interesting stuff going on in the mortgage rates markets we want to talk about. You know, one reason why Alan Greenspan has been raising interest rates is to keep the economy from overheating. One part of the economy that is red hot is the housing market. But mortgage rates continue to fall.

Now, look at this. You can see your 30-year down significantly from a year ago; same with the 15. The one-year is up a little bit, and that's because the Fed has been raising rates on the short end.

Why have rates fallen? The reason is because investors, homebuyers, people on Wall Street don't see inflation out there, and they don't think interest rates are going to rise. So, this runs very contrary to what Alan Greenspan is doing, which, again, is suggesting he's going to continue to raise rates, because he is concerned about the housing market.

M. O'BRIEN: So, eventually those mortgage rates will start to go up.

SERWER: That's right.

M. O'BRIEN: But how long does it take?

SERWER: Well, it could take another year. I mean, people are suggesting that it was going to happen six months ago. It hasn't. But it's a disconnect. Eventually those two things will come together.

M. O'BRIEN: In the meantime, the bubble inflates?

SERWER: The bubble. Well, if is a bubble. And certainly the market is red hot.

M. O'BRIEN: It is a bubble, yes.

SERWER: It continues.

M. O'BRIEN: All right, thank you, Andy Serwer.

SERWER: You're welcome.

M. O'BRIEN: Soledad.

S. O'BRIEN: Well, today charges of racism are being aimed at the government of Mexico -- again. This time the controversy involves a newly-issued series of Mexican postage stamps. And some in the U.S. say they crossed the racial line. (BEGIN VIDEOTAPE)

S. O'BRIEN (voice over): A new postage stamp released by the Mexican government is causing outrage north of border. It features a black cartoon figure named Memin Pinguin. The comic book character has been around since the 1940s. His exaggerated facial features are often ridiculed by white characters.

The stamps have sparked charges of racism here in the United States.

On Thursday, the Bush administration weighed in.

STEPHEN HADLEY, NATIONAL SECURITY ADVISOR: Our position is that there's no place for this kind of thing. It's wholly inappropriate, and we've made that clear.

S. O'BRIEN: The Mexican government says the commemorative stamps are not meant to be offensive, and compares Memin Pinguin to the American creation of Speedy Gonzalez, a cartoon mouse with a Mexican accent, saying people in Mexico don't consider that racist.

The latest dust-up comes on the heels of remarks by Mexico's president, Vicente Fox. He said that Mexican migrant workers in the U.S. do jobs that -- quote -- "not even blacks want to do." Fox spent days explaining those comments, and eventually apologized.

Reverend Al Sharpton met with Fox after that incident. He says this latest incident shows a complete lack of respect.

REV. AL SHARPTON, NATIONAL ACTION NETWORK: This is a saying that we respect and regard the African-American community by making them look like Sambos on a stamp? I think that if anything, this has gone over the line.

(END VIDEOTAPE)

S. O'BRIEN: At this time, the head of Mexico's postal service says there is no plan to recall the stamps. Back in May, President Fox suggested that he might be going up to Harlem during an upcoming trip to New York City. Well, after this...

M. O'BRIEN: Don't go, bad idea.

S. O'BRIEN: It's not clear if Reverend Sharpton and if the African-American community as a whole will fully support that visit.

M. O'BRIEN: A change of itinerary. I just don't know what they're thinking down there. Anyway...

S. O'BRIEN: Yes.

M. O'BRIEN: All right. In a moment, back to the Pentagon. We have an update for you on a gripping, developing story. American reconnaissance team members, about 16 of them, missing in the mountains of Afghanistan near the site of that downed American helicopter. Stay with us for more AMERICAN MORNING.

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