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CNN Live At Daybreak

Olympic Dreams; Revealing Sources; Base Closure Battles

Aired July 06, 2005 - 05:30   ET

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

KELLY WALLACE, CNN ANCHOR: Good Wednesday morning, everyone, thanks for waking up with us. I'm Kelly Wallace, in today for Carol Costello.
Coming up in the next 30 minutes, later this morning we'll know which city will host the 2012 Olympic Games. Will it be Moscow, Madrid, New York, London or Paris? We'll take a look.

And trying to save shipyards in New England, we'll preview the hearings today.

But first these stories "Now in the News."

President Bush is getting ready for the G-8 Summit in Scotland with a stop in Denmark. There he fielded questions on the Supreme Court vacancy, global warming and prisoners being held at Guantanamo Bay in Cuba. The president heads to Scotland later this morning.

Two reporters could find themselves in jail today. Matthew Cooper of "TIME" magazine and Judith Miller of "The New York Times" are both asking for home confinement. "TIME" magazine has turned over Cooper's notes and e-mails in the investigation of who leaked a CIA's operative name to the press. Still, though, the special prosecutor wants Cooper to testify.

New York socialite Nan Kempner has died. Kempner was a heavy smoker who died of emphysema at the age of 74. She was a former correspondent for French "Vogue" who was known for hosting lavish parties.

To the Forecast Center now and Chad Myers.

Chad, what is Tropical Storm Cindy looking like right now?

CHAD MYERS, CNN METEOROLOGIST: It came very close to being a hurricane for a while yesterday. Actually, one ship report got to 99 miles per hour at 150 feet above. It was actually one of those oil platforms out there in the Gulf of Mexico.

(WEATHER REPORT)

WALLACE: That's right, we're keeping you busy -- Chad.

MYERS: That's right.

WALLACE: See you a few minutes from now. Thanks so much.

MYERS: All right.

WALLACE: Well we've been reporting this morning how we are just about two hours away from learning what city will host the 2012 Summer Olympic Games. The contenders: New York, London, Paris, Madrid and Moscow. Odds makers have Paris as the favorite.

We have three live reports this morning as we anxiously await the decision. Jim Bittermann is in Paris, Fionnuala Sweeney is in London and Maggie Lake is in New York. Paris, as you might know, played host to the Games in 1900 and 1924, but failed in its last two attempts to get the Games.

So, Jim Bittermann joining us now from the City of Lights. How are Parisians feeling on this day?

JIM BITTERMANN, CNN CORRESPONDENT: Well I think very nervous, Kelly, very nervous indeed. There was some confidence about a week ago. But now that all the cities are in Singapore, the last minute presentations have been made, I think some nervousness has really set in here. And, like you say, out of the last two times that Paris tried to get the Olympics, they failed.

Another thing is they have a kind of curse that exists over the front runner. Only once in the last four decisions about Olympic sites has the front runner won. It's always been some compromise, Kelly, in the other three cases. So, as a consequence going in as a front runner, it makes people a little bit nervous here.

Now we're at the Escomount (ph) in front of the city hall here in Paris. It's starting to fill up now. And about two hours from now, right around lunchtime, Paris time 1:30, they're going to be making the announcement about who is going to get the Olympics.

Some people stayed up all night last night watching the French presentation out in Singapore. There were special screens set up inside. And at 3:00 in the morning, Jacques Chirac was making his appeal, almost sounding a little bit defensive in his appeal to the Olympic officials, saying that you could trust the French, that you can trust us to put on a good Olympic show.

Another part of that presentation was a very slick film by Luc Besson, the French director. All of which got some of the Olympic officials applauding. And a lot of commentators here this morning were saying maybe that was a good sign. But then of course there is this nervousness about the chance that they may not get it even after all that they've gone through -- Kelly.

WALLACE: Everyone is reading the tea leaves, Jim.

All right, we're going to move from Paris to London, which played host to the Summer Games twice before. That was in 1908 and 1948.

CNN's Fionnuala Sweeney joining us now from Trafalgar swear with more -- Square, excuse me, with more on London's Olympic hopes.

Good morning -- Fionnuala. FIONNUALA SWEENEY, CNN CORRESPONDENT: Kelly, it's a very noisy Trafalgar Square, because behind me, over my left shoulder, perhaps you can see the rehearsals that are taking place ahead of that announcement in two hours from Singapore as to who is going to host the 2012 Olympic Games.

Now, as Jim Bittermann in Paris was saying, Paris there have been quietly confident for some time. But that confidence seems to have come over here across the English Channel, because the London bidders are very optimistic. Quietly confident, they say, that the complicated voting system that is now taking place in Singapore will go their way and that London will host the 2012 Games.

Behind you, you hear me, the singer Heather Small rehearsing with the London Inner City Choir, as a theme tune for this London bid, "What Have You Done Today To Make Yourself Feel Good?" And in a couple of hours, we expect Londoners from all around here in Central London to leave their offices, come down here to Trafalgar Square. And if things go well, they might not be going back to work. If things don't go so well, they still might not be going back to work.

Anyway, the Olympic ideal is all about the competing. But right now it seems to be all about the winning -- Kelly.

WALLACE: Everyone wants to win.

Well lots of excitement in London, in Paris, but there are still three other cities hoping they are going to be the one. Moscow is one of those. It played host to the Games in 1980, but that was the year of the American boycott. Madrid, for its part, never hosted; but Barcelona did, and that was just 13 years ago.

The final city, New York, which has never had the Summer Games. CNN's Maggie Lake joining us now from Rockefeller Center.

Maggie, what is the mood like over there?

MAGGIE LAKE, CNN CORRESPONDENT: Well, Kelly, as you know, it's still quite early in New York City; but we do have a crowd starting to gather. The noise level is picking up.

There have been core supporters and members of the New York State Committee here all night, watching through the rain on the Jumbotron that's set up behind us. They've started a countdown on it.

This is the moment they have all been working for. They watched during the night as New York officials, including Senator Hillary Clinton and Mayor Michael Bloomberg, made their final pitch. They talked about New York City's diversity, saying this is a place where every athlete, no matter where they are from, has home field advantage. They talked about the economic benefits for not only the city but also the Olympic movement itself.

And of course, in typical New York fashion, they pulled out the star power. Testimonials from athletes, including Serena Williams, Magic Johnson, Lance Armstrong, all hoping to convince the committee. New York understands they're going into this as the underdog. The campaign was fraught with problems, including finding a stadium venue. But New York City officials say that's what this city is about, overcoming adversity. They say the people of New York did it after 9/11. They picked themselves back up again. And that, more than anything, embodies the spirit of the Olympic Games. We'll see if that pitch was enough to convince the Olympic committee members -- Kelly.

WALLACE: An exciting day and a lot of nerves all across the world. Maggie Lake, thanks so much. We'll check in with you in the next hour of DAYBREAK.

And be sure to keep it right there. That announcement expected around 7:30 a.m. Eastern Time.

Still ahead on DAYBREAK, what are the chances that journalist Judith Miller and Matt Cooper will go to jail? We'll take a look.

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

(COMMERCIAL BREAK)

WALLACE: And welcome back to DAYBREAK.

Two reporters still face possible jail time, up to 120 days in jail, for not revealing the source of a Bush administration leak, even though one of the reporter's notes have been handed over to the federal grand jury.

More now from CNN's national correspondent Bob Franken.

(BEGIN VIDEOTAPE)

BOB FRANKEN, CNN NATIONAL CORRESPONDENT (voice-over): Matt Cooper's bosses at "TIME" magazine had already turned over the documents, including his notes and e-mails, over his objections. But the prosecutor, Patrick Fitzgerald, insists on papers filed with the court that's not enough, Cooper must also testify or face jail.

As for Judith Miller, her employer, "The New York Times," has not budged, and neither has she. And she, too, faces the prospect of incarceration after the court hearing.

Fitzgerald also opposed requests from the reporters for the judge to impose house arrest, if he does sentence them, instead of prison. All of this because somebody blew Valerie Plame's cover, which might have been illegal. Plame, we now know, was an undercover CIA operative.

She is also the wife of Joe Wilson. Wilson was the former diplomat who was charging the administration that put out misleading information about Iraq's nuclear efforts.

Columnist Robert Novak reported the information, citing administration sources. Miller did not. Cooper wrote about it in "TIME," after the Novak column appeared. "TIME," by the way, is owned by Time Warner, which also owns CNN.

Fitzgerald was named a special investigator to find out who leaked the information and whether it was illegal. The records "TIME" magazine turned over show that Cooper spoke in that critical week of July 2003 to Karl Rove, now the White House Deputy Chief of Staff.

Rove's lawyer insists his client did not give out any confidential information on Valerie Plame. The attorney goes on to say he has been assured that Rove is not a suspect.

(on camera): Whatever happens to Cooper and Miller, many in the media worry that reporters, as a result of this case, might not have such an easy time getting information from anonymous sources whose anonymity they can no longer so surely promise.

Bob Franken, CNN, Washington.

(END VIDEOTAPE)

WALLACE: And that hearing in a Washington courtroom at 2:00 p.m. this afternoon.

Your news, money, weather and sports. It's about 46 minutes after the hour, and here is what is all new this morning.

It is President Bush's 59th birthday today, and he is spending part of it in Denmark thanking the Danes for their support during the wars in Iraq and Afghanistan. Later, the president heads to the G-8 Summit in Scotland.

It is decision day for the International Olympic Committee meeting in Singapore. Less than two hours from now, it will announce which city will host the Summer Olympics in 2012. Paris, New York, London, Madrid and Moscow are competing.

In money, former HealthSouth Corporation boss Richard Scrushy is not off the hook yet. The Securities and Exchange Commission is preparing to press its $800 million civil fraud case against him. That's despite his recent acquittal on criminal charges in the nearly $300 billion fraud case.

In culture, actress Angelina Jolie is adopting a baby girl orphaned by AIDS in Ethiopia. The Goodwill Ambassador for the U.N. High Commissioner for Refugees says the baby will be named Sahara Marley (ph) Jolie.

In sports, Ray Allen is getting a lot of money to stay in Seattle. The guard agreed to a five-year, get this, $85 million deal to remain a member of the SuperSonics. Allen had his best season as a pro while leading Seattle to the conference semifinals.

Chad, kind of like your contract, right?

MYERS: That's exactly right, just six too many zeros on the end of that, unfortunately.

Good morning, everybody.

(WEATHER REPORT)

Back to you.

WALLACE: All right, Chad, check in with you about 15 minutes from now.

MYERS: Sure.

WALLACE: Still to come on DAYBREAK on this day, Groton, Connecticut is a Navy town. But now the unthinkable, the Defense Department wants to close Groton's Naval base. We'll profile the town still ahead. Don't go away.

(COMMERCIAL BREAK)

WALLACE: And good morning, Boston.

Military families and communities in New England gearing up for a battle today to save their bases. They're joining lawmakers in trying to convince members of the Base Closure and Realignment Commission to keep the region's Army, Navy and Air Force bases open. The hearing today in Boston. At stake are the Portsmouth Naval Station in Kittery, Maine; Otis Air National Guard Base on Cape Cod, Massachusetts and Groton Submarine Base in Connecticut.

Joining us live to talk about just how important these bases are to the New England communities are Mark Ericson and Danielle Carrier, the WOKQ Morning Waking Crew in Portsmouth and Manchester, New Hampshire.

Good morning -- Mark and Danielle.

MARK ERICSON, WOKQ MORNING WAKING CREW, PORTSMOUTH & MANCHESTER, NEW HAMPSHIRE: Morning, Kelly.

DANIELLE CARRIER, WOKQ MORNING WAKING CREW, PORTSMOUTH & MANCHESTER, NEW HAMPSHIRE: Morning.

WALLACE: So tell me, are they renting a whole slew of buses to get people to Boston for this hearing today?

CARRIER: Seventy-five buses have been reserved from the Save our Shipyard Committee. And if you filled it, it would be 3,500 people.

WALLACE: So this is clearly -- how has the community been responding? There's a lot of outrage about the possibility of closing the shipyard in Portsmouth.

ERICSON: It's interesting. The members of the BRAC committee visited back on June 1 here in New England. They made a sweep through New England. They started in Connecticut, came to the Portsmouth Naval Shipyard and then headed up to Maine to a couple of other facilities that are also on this list from the Pentagon.

And when they visited in Portsmouth, we are told that they were very impressed by the turnout of people. There were thousands of people who turned out for that. And yellow has become the color. They actually issued about 5,000 yellow T-shirts to the crowd. And they are hoping that a number of folks wear yellow today to the BRAC Commission hearing in Boston.

WALLACE: Are people talking about this, because this is interesting, the Base Commission Chairman Anthony Principi, in a letter to the Defense Secretary, asking why they are recommending the closure of the shipyard in Portsmouth, saying that Portsmouth is actually more efficient than Pearl Harbor in Hawaii?

ERICSON: Well...

WALLACE: That must be some good news for the folks in Portsmouth.

ERICSON: Kelly, that's actually sort of the whole point of all the showmanship that's gone on into this is to get the members of this commission to really stop and consider and start asking some very hard questions. And when the word came out that Chairman Principi was doing that, that was very good news to the folks of the seacoast New Hampshire.

WALLACE: So then here's the question, because the base commission often says that it takes into account how the community feels and its response. How many people do you think in total will get there to Boston? And are we expecting them to be able to speak before the commission hearing today?

ERICSON: No, there won't be any civilians speaking, as it were. The people that will be speaking, and it's a very tight schedule, from 1:00 to 3:00 is Portsmouth Naval Shipyard's time. And the congressional delegations of Maine and New Hampshire, as well as the governors of the two states, will be speaking, along with some Naval admirals and some military experts. But there won't be any speaking from any just plain folks.

CARRIER: Right. And the turnout that happened prior to when the committee first came to the shipyard, it was such a massive turnout. There were thousands of people. And they're really hoping that the same people still come out for that today.

WALLACE: All right, a lot of people will be watching very closely. We know you will be covering it very closely as well.

Mark Ericson and Danielle Carrier, the WOKQ Morning Waking Crew, thanks for joining us on DAYBREAK today. We appreciate it.

And turning to another part of New England, Groton, Connecticut. The submarine base there has been home for entire families throughout its 137-year history.

CNN's Jason Carroll introduces us to one family facing now a very uncertain future.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Save our sub base!

UNIDENTIFIED MALE: $5!

JASON CARROLL, CNN CORRESPONDENT (voice-over): Groton, Connecticut, a Navy town. Now the Defense Department wants to change that by closing Groton's base.

DON WICHAEL, CONCERNED RESIDENT: It just makes me nervous, you know? I mean, I work for a company that builds submarines, you know? And if the Navy base isn't here, where is that going to leave me?

CARROLL: Don Wichael works as a painter for a company that builds subs. His wife, Ellen, teaches near the base.

ELLEN WICHAEL, CONCERNED RESIDENT: I think I'm more disappointed in the government. I'm more disappointed in the decisions of, you know, the powers that be that decided to close this base. I'm more disappointed, and I'm more scared than anything.

CARROLL: Like many who depend on the base, the Wichael's family ties to it go way back.

JIM WICHAEL, CONCERNED RESIDENT: That's from my favorite boat.

CARROLL (on camera): Wow, look at that.

J. WICHAEL: That's me.

CARROLL: That's you right there?

J. WICHAEL: Yes.

CARROLL (voice-over): Don's father was a torpedo man here.

(on camera): You're a lot skinnier there.

J. WICHAEL: Yes, right.

CARROLL (voice-over): His prediction on the fate of the base?

J. WICHAEL: I just got a gut feeling, it's inevitable. It's going to happen.

CARROLL: Not if many in the community can help it.

GOV. JODI RELL (R), CONNECTICUT: I don't think the Defense Department knew who they were dealing with when they took on southeastern Connecticut.

CARROLL: Local politicians are fighting back. They formed a committee to challenge Pentagon research, which said the Navy would save money by moving to southern ports. UNIDENTIFIED MALE: The Navy constructed an analysis...

CARROLL: John Markowicz, another local Navy man, is committee chair.

JOHN MARKOWICZ, SUB BASE REALIGNMENT COALITION: My family is important to me. My country and my service to my country is something I'm very proud of. And I intend to live with that legacy. And this is, perhaps, my last battle.

CARROLL: The Wichael's will help in the fight. They don't believe the Navy's prediction Groton would bounce back.

D. WICHAEL: It's going to be a ghost town. It will be a ghost town.

CARROLL: But the senior in the family is more confident.

J. WICHAEL: I think if the base was to close, it will be hard, but I think this town can rebound.

CARROLL (on camera): How? What do you think...

J. WICHAEL: The people. They're resilient. They'll make it.

CARROLL: Yes.

J. WICHAEL: They'll make it.

CARROLL (voice-over): Jason Carroll, CNN, Groton, Connecticut.

(END VIDEOTAPE)

WALLACE: And all new in the next hour, reading, writing and arithmetic. It's that second R, writing, that's proving to be a challenge for state governments; and it's costing taxpayers, all of us out there, millions. We'll explain.

Plus, we'll go live to Copenhagen, Denmark as the president prepares for the G-8 Summit.

We'll be right back.

(COMMERCIAL BREAK)

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