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CNN Live At Daybreak

Death Toll Staggering in Southeast Asia Quake; Conservative Opposition to Miers

Aired October 10, 2005 - 06:00   ET

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


BETTY NGUYEN, CNN ANCHOR: It is Monday, October 10.
And thousands more counted among the dead after a huge earthquake. We're talking about digging out. As the death toll goes even higher, so do the emotions. While rescuers search for survivors amid all the rubble.

And disturbing images. Did these police officers do anything wrong?

From the CNN Global Headquarters in Atlanta, this is DAYBREAK.

I'm Betty Nguyen in for Carol Costello today.

Good morning, everybody.

Chad Myers will have your forecast in just a moment.

Also ahead, are America's hurricane experts behind the curve? We'll look at how technology and purse strings affect their forecasts.

And going for broke -- the nation's bankruptcy law is about to change. Do you need to file?

But first, now in the news, the death toll keeps rising in South Asia after this weekend's massive earthquake. It is now nearing 31,000. Most of the deaths are in Pakistan. A live report from the quake zone is straight ahead. Plus, we will tell you what the U.S. is doing to help out.

President and Mrs. Bush will head to the Gulf Coast hurricane zone, making stops in Louisiana and Mississippi tonight and tomorrow. They'll take part in a Habitat for Humanity project in Louisiana and visit a reopened grade school in a devastated Mississippi town.

Deadly explosions in southern Afghanistan this morning. Two blasts shook the city of Kandahar, killing at least four Afghans and wounding eight. And in eastern Afghanistan, a U.S. soldier was killed an another wounded during a gunfight with insurgents.

Chad Myers joins us now with a quick check of the weather -- good morning, Chad, on this Monday.

CHAD MYERS, CNN METEOROLOGIST: Good morning, Betty.

(WEATHER REPORT) NGUYEN: Let's talk a little bit now about massive destruction and a rising death toll, also, a desperate need for relief.

We begin with the aftermath of last weekend's earthquake in South Asia.

In response to Pakistan's plea for help, the U.S. is rushing aid to the region. It's made an initial pledge of up to $50 million. Now, the U.S. is also sending military aircraft. They'll carry supplies to remote spots that rescuers just haven't been able to reach.

And a seven member disaster assistance response team arrives in Pakistan today.

Now the U.S. isn't the only country sending aid.

CNN's Hugh Remington reports on the worldwide relief effort.

(BEGIN VIDEO TAPE)

HUGH REMINGTON, CNN CORRESPONDENT (voice-over): The world answering the call. The first U.S. Air Force relief flight has reached Islamabad, carrying 40 tons of emergency supplies.

LT. JOSH EHMAN, U.S. AIR FORCE: We're the first of many Air Force crews to be flying relief missions here.

REMINGTON: In a phone call with his ally, President Pervez Musharraf, U.S. President George W. Bush pledged heavy lift helicopters and up to $50 million in immediate aid. It is the helicopters they need first. Authorities desperate to reach shattered communities in remote areas of Pakistani-controlled Kashmir. It is here and in the northwest frontier province bordering Afghanistan that most of the tens of thousands have died.

UNIDENTIFIED MALE: Everything is gone from here. We need help here. There's no help around. We don't have anything here, you know what I'm saying? No medicines, no medicals, no doctors and everything like that. We need it.

REMINGTON: Seventy percent of the buildings in the provincial capital Muzafrabad are destroyed. In other towns, the destruction is almost total. Getting roads cleared so heavy equipment can move in is just one of the many urgent tasks.

With overnight temperatures near freezing and conditions set to worsen, the earthquake survivors have now endured two nights in the open. The Pakistani authorities apologizing to those they have not reached.

MAJ. GEN. SHAUKAT SULTAN, PAKISTANI ARMED FORCES: The enormity of the earthquake was so much and the area affected is so massive that it was difficult to reach to everyone within the first 24 to 36 hours. We hope that the rescue teams would be able to reach everyone at least by today evening. REMINGTON: People are still being found and rescued from beneath the rubble. The priority remains finding people alive, then evacuating the injured, most of whom have received only the most rudimentary treatment, if any at all, for wounds that include multiple fractures and serious crush wounds.

General Sultan told CNN more than 300 soldiers have died in this earthquake, more than 500 are injured. The surviving troops pressed immediately into the rescue effort.

Russia, China, Britain, Germany, Japan, Iran and Turkey are among the countries flooding in aid. But while it arrives, the pervasive image is of individuals grieving, injured, overwhelmed and still potentially days from even emergency help.

India has offered help to Pakistan, which Pakistan says it will accept. But India itself is mourning the loss of hundreds of people.

"Two of my children were trapped when the house collapsed," says this man in Indian-controlled Kashmir. "One of my children died there. Somehow I pulled the other one out."

"When the earthquake struck," says the headman of Jabla village, "It was like bombs exploding. We discovered 16 bodies. We couldn't even give them a decent burial."

Hugh Remington, CNN, Hong Kong.

(END VIDEO TAPE)

NGUYEN: Now to the devastation in Guatemala.

Officials say they may soon have to call off the search for hundreds of bodies buried by mud slides. And they fear entire communities will be declared mass graveyards. They say it is simply too dangerous to keep looking for bodies.

The official death toll in Guatemala is about 500, but that number is expected to rise. About 800 people are presumed dead in the remote town of Tanabe, which is about 100 miles west of Guatemala City.

The mud slides were triggered by torrential rains after hurricane Stan hit Mexico last Tuesday.

Back in the U.S. controversy has followed President Bush's latest Supreme Court nominee. There have been plenty of pointed questions and some serious accusations already over the choice of Harriet Miers. And that's even without the Democrats getting too involved.

CNN White House correspondent Suzanne Malveaux reports.

(BEGIN VIDEO TAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT (voice-over): While Supreme Court nominee Harriet Miers was attending Sunday morning church services in Dallas, in Washington, conservatives were declaring all-out war over her nomination, directing much of their anger at the president.

PAT BUCHANAN, CONSERVATIVE COMMENTATOR: Much of the conservative movement is at war with their own president.

GARY BAUER, AMERICAN VALUES COALITION: The problem that we have is that when you make a mistake with a Supreme Court appointment, it's a 20-year mistake.

MALVEAUX: As some conservatives ratcheted up their rhetoric, calling for Miers to withdraw her nomination, others urged their fellow Republicans to cool down, saying Miers would be faithful to Mr. Bush's agenda.

DR. RICHARD LAND, SOUTHERN BAPTIST CONVENTION: If someone is disloyal -- if someone betrays a trust in Texas, they're right down there with child molesters and ax murderers.

REV. PAT ROBERTSON, FOUNDER, CHRISTIAN COALITION: I think what the president wants is a vote that reflects his point of view. You know, some of these great, brilliant scholars go off the reservation.

MALVEAUX: One of the first issues the Senate Judiciary Committee will tackle is whether the White House provided anyone with information about how Miers might vote on hot button social issues like abortion, gay marriage and the role of religion.

Conservative activist James Dobson created a stir on his Wednesday radio broadcast when, after being briefed about Miers by Mr. Bush's top political aide, Karl Rove, Dobson suggested he had special insights.

DR. JAMES DOBSON, CONSERVATIVE RADIO SHOW HOST: When you know some of the things that I know, that I probably shouldn't know, that take me in this direction, you will understand why I have said, with fear and trepidation, I believe Harriet Miers will be a good justice.

MALVEAUX: Since then, in meetings with Senate committee members, Miers has tried to clear up the controversy.

SEN. PATRICK LEAHY, (D-VT), JUDICIARY COMMITTEE: So we at least start with the fact that she says she has not told anybody or assured anybody how she would vote.

MALVEAUX: But senators say they are still considering calling on Dobson and Rove to testify before their committee.

SEN. ARLEN SPECTER, (R-PA), JUDICIARY COMMITTEE CHAIRMAN: If there were back room assurances and if there are back room deals, that's a matter that ought to be known by the Judiciary Committee and the American people.

MALVEAUX (on camera): But getting information is expected to be difficult considering the fight that's anticipated with the administration over releasing documents. Suzanne Malveaux, CNN, the White House.

(END VIDEO TAPE)

NGUYEN: "News Across America" this morning.

A 7-year-old boy is safe and sound after wandering away from his family's camp site. Around 800 volunteers joined Las Vegas police in the search for James Essies, (ph) as you see there, getting a big hug. The boy, who spent the night alone in the desert, was finally found miles away from the camp site. But he is A-OK.

Strong current off the Oregon coast stranded two surfers and left one of them clinging to the rocks. But a Coast Guard helicopter was able to lift both men to safety. Neither suffered any major injuries.

And it could take months to clean up the damage from the weekend flooding in southwestern New Hampshire. Hundreds of people evacuated their homes. Others on high ground have been told to stay put. Governor John Lynch declared a state of emergency, calling it the worst flooding he had seen in 25 years.

Still to come this hour, police in New York defend the behavior of these officers. But look at this. Did the officers go too far in trying to restrain this man in the French Quarter?

Plus, are your finances at the bottom of the barrel? We'll walk you through some of the changes in the bankruptcy law that are about to take effect.

And avian flu -- is America due for a pandemic?

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

(COMMERCIAL BREAK)

NGUYEN: Administration officials are learning how Southeast Asia deals with avian flu. Health and Human Services Secretary Mike Leavitt's trip there comes as the administration tries to take more steps to prepare for a potential outbreak right here in the U.S. A federal report leaked to the media says the government is far from ready for a pandemic.

(BEGIN VIDEO CLIP)

DR. DAVID NABAROO, U.N. AVIAN FLU ENVOY: Well, there will be a human flu pandemic some time, because they occur over time. And historically we tend to get them every 30 to 40 years. We're certainly due for one now.

But I would like people not to be in a state of deep fear about it, because we do have the possibility of controlling the pandemic and making certain that when it does arrive, we can keep it to having the least possible impact on human society and lives.

(END VIDEO CLIP)

NGUYEN: Let's hope so.

Tonight on "NEWSNIGHT WITH AARON BROWN," Tom Foreman looks at the drug Tamiflu. Some experts think it could be effective in the event of an avian flu outbreak.

Your news, money, weather and sports.

The time is 6:16 Eastern.

Here's what's all new this morning.

The death toll is nearing 31,000 in the wake of the earthquake in South Asia. Most of the deaths are in Pakistan, which is pleading for international aid. The U.S. is sending money, helicopters and a disaster response team.

In money, gas prices jumped about a $0.10 a gallon over the past two weeks. The reason? Lingering hurricane damage to Gulf Coast refineries. The national average is $2.91 a gallon. But analysts expect a drop, and soon.

In culture, moviegoers were anxious to see the long awaited return of Wallace and Gromit in "The Curse of the Were-Rabbit." The comical pair of clay figures pulled in $16.1 million over the weekend, to take the top spot at the box office.

And in sports, the Astros are moving on. Houston used some late inning heroics to beat the Atlanta Braves in the National League division series. The Astros won with a home run in the 18th inning. Look at that. It was the longest game in post-season history.

And over in the American League, the Yankees evened up their series with the Los Angeles Angels of Anaheim. The Yanks won 3-2, to send the series to a deciding fifth game. They'll play tonight in Anaheim.

And you know Chad Myers will be watching.

MYERS: Yes, that's going to be a long trip there. So it's going to be a late night. I'm sure it was for those folks and those players there, maybe just as dragging as we will all be tomorrow morning.

(WEATHER REPORT)

NGUYEN: Still to come on DAYBREAK, it is being called the biggest bankruptcy filing in the history of the nation's auto industry. They make the parts, but what is breaking Delphi apart at the seams? We'll investigate that.

Plus, we want to say good morning to Denver, courtesy of our affiliate, KMGH. The mountains are expected to get 20 inches of snow by tomorrow. Yes, that time of year.

DAYBREAK will be right back. (COMMERCIAL BREAK)

NGUYEN: Time now for a little "Business Buzz" on your Monday.

Trade representative Rod Portmann says the U.S. is ready to cut its domestic farm subsidies by more than half. The U.S. will also offer to end farm exports to cities in five years. Trade ministers will talk about the proposals today at a meeting in Zurich.

And if you've ever called in sick when you weren't, join the crowd. A survey by Careerbuilder.com finds -- I'm amazed at this -- 43 percent of us -- I'm not in that category -- 43 percent of Americans, should we say, some of the far out excuses that people have used, oh, listen to this. I'm too drunk to drive to work. Now, that's a good one. That could get you fired.

I'm too fat to get into my work pants. My.

And my son accidentally got his foot stuck in wet cement and he can't get it out. Oh, yes, that one is really going to work.

All right, let's move on, shall we?

More bad news this weekend for the nation's auto workers.

Carrie Lee is here now with a look at the impact of the bankruptcy filing by Delphi.

This could be huge.

CARRIE LEE, CNN CORRESPONDENT: It is huge, Betty.

This is the latest step in bad news for the auto industry.

Delphi filed for Chapter 11 on Saturday, after it was unable to negotiate a bailout plan with G.M. its biggest supplier, and the United Auto Workers union.

Delphi lost nearly $5 billion last year and another $750 million so far this year. Well, Delphi now wants to close, sell or consolidate a substantial portion of its 45 plants in the U.S. and Canada, which employ nearly 50,000 workers.

It's also seeking to cut wages by as much as two thirds, to $10 an hour for some of its 34,000 union workers in the U.S. And union leaders say that at those wages, workers wouldn't even be able to afford the cars they're making parts for or the gas to drive them.

So a dire situation. The union is also angry that one day before the filing, Delphi sweetened the severance packages of 21 top executives. And another big worry for the union is what will happen to the retirement plan. The company's pension plan is under funded by over $4 billion. G.M. may be responsible for several billion dollars of that money, which it guaranteed to workers when it spun off Delphi in 1999. G.M. says the Delphi filing may help the company renegotiate supply contracts to save it money. But the filing could have a ripple effect in the auto industry, as companies that supply Delphi may also be in danger of going under.

NGUYEN: I'd say a ripple effect.

LEE: So a very big story.

NGUYEN: Yes.

LEE: Yes. Absolutely.

NGUYEN: It's Monday, so we've got to ask, how are the futures?

LEE: The futures are actually looking up today, and that would be a relief for the bulls. We saw a little bit of buying on Friday, but still, a lot of selling last week. Four days in a row of losses, the first time that's happened since June. The Dow down well over 200 points.

NGUYEN: Right.

LEE: It's all about those inflation worries. So today looking up. We'll see what happens at 9:30.

NGUYEN: Yes, hopefully it's a fresh start.

LEE: Yes.

NGUYEN: Thanks, Carrie.

LEE: OK.

NGUYEN: And still on the subject of bankruptcy, the countdown is on to file before a new law takes effect in just a week from now. It will make it harder for people to totally wipe out their debts through Chapter VII bankruptcy. And many are rushing to file before time runs out.

More than 68,000 people filed last week. That is a record. Now, last month there were more than 10,000 fillings per day. Last year at the same time, there were just a little over 6,000. So you can see the increase.

Nathalie Martin is the author of "The New Bankruptcy Law and You" and she joins us now with more details on this new law.

First of all, let's get specific now. Set it straight. This new bankruptcy law, which takes effect next week, how does it change? How is it going to be more difficult for people to file and more expensive?

NATHALIE MARTIN, AMERICAN BANKRUPTCY INSTITUTE: Most of the procedure is actually very similar to the way that it would be now. But there are a lot more documents that a person has to file. And because of that, the attorneys' fees will be much higher.

There are also some other requirements that will be expensive. Every debtor is required to attend credit counseling before filing for bankruptcy and a debt management class before getting a discharge in bankruptcy.

So those will all add to the expense.

Another thing that's different is that some consumers will now be forced to do payment plans rather than discharging or wiping out most of their debts immediately.

NGUYEN: All right, let me ask you step by step on this.

OK, you mentioned that there is this mandatory credit counseling before you file. The deadline is next week.

Is there time for people to take that course?

MARTIN: Yes, I think there is. I want people to make sure they don't panic over this, but there's still a full week. You can actually file over the worked, as well. So people have until Sunday at midnight to file, if you feel that that's what you need to do.

What we're ex -- so you don't have to do the credit counseling, though, if you're going to file before Sunday. That's a new requirement as of Monday.

NGUYEN: Oh, I see. OK.

And now this, when it does take effect, this new means test, how does that work?

MARTIN: Well, what basically happens is that your attorney will calculate your income, deduct some allowed expenses and see if there's money left over at the end of the month to pay creditors under a payment plan. So probably the increase in the procedures and the costs will be more -- will have a bigger effect on people, because probably not too many people will have to do the payment plan.

NGUYEN: And I'm also reading that there are fewer protections for filers.

Why is that?

MARTIN: Well, the debts that are discharged are going to be fewer. So in a way the door is a little bit narrower. The procedures are more complex, but if you do file after -- or on or after next Monday, then fewer debts will be discharged. Also, there will be independent investigations, audits of the paperwork and things of that nature that just make it a little bit more complicated and less effective for the consumer.

NGUYEN: And it's got to be very stressful, especially for those hurricane survivors. They have lost everything. They don't have a home. Some of them didn't even have flood insurance. So they're still paying mortgage on a home that doesn't exist. Their jobs are gone.

What happens to them? They are under, really, a tight time line to file before these new changes take effect.

MARTIN: I would say for most of the hurricane victims, there are probably issues that are more important than bankruptcy at this point. Most of them, because they will have an income that is probably lower than the median income in their state, they won't be subjected to the means test, for the most part, if they've been displaced.

So I would tell people that have been in the hurricane to try not to worry about bankruptcy and that essentially bankruptcy will still be available after Monday. It's just a more complex process.

NGUYEN: Now, you say don't worry about it, but these are folks that, many of them don't have jobs, they don't have homes, yet they still have payments that need to be made.

How are they going to make that if they don't file for bankruptcy?

MARTIN: You're making a really good point. It's obviously not going to be able to make the payments. But filing by Monday, I think, for most people who don't have records and things of that nature, would be very, very stressful.

NGUYEN: Yes, definitely.

There's a lot of issues here.

Nathalie Martin, we could go on, but we're out of time.

You're with the American Bankruptcy Institute.

Thank you so much for your insight today.

MARTIN: Thank you.

NGUYEN: Still to come in the last half hour of DAYBREAK, more signs that business in the Gulf region is returning to its normal way of life.

And find out which part of the government is looking for new employees who haven't tried drugs, at least not many drugs.

(COMMERCIAL BREAK)

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