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CNN Live At Daybreak

Cheney on the Attack; CIA Leak Surprise; Search for Iowa Escapees

Aired November 17, 2005 - 5:00   ET

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


KELLY WALLACE, CNN ANCHOR: It is Thursday, November 17, and the vice president comes out swinging. Dick Cheney asks if some Democratic critics are losing their memories and missing a backbone.
Also, keeping secrets in Washington, it's becoming more and more difficult even for those accustomed to keeping them.

And running scared in Fort Madison, Iowa. Two dangerous men on the loose and a city in fear.

And good morning, everyone. I'm Kelly Wallace, in today for Carol Costello.

We will have much more on Dick Cheney's comments in just a moment.

Also ahead, peeved up that you're up this early for work? Well, good news, sort of. You may not have that job to go to much longer. A new survey is out, and we want your reaction to it.

And "People" magazine has found its latest sexiest man alive, but that's not half as interesting as some of the people Jeanne Moos found while shooting her story about it. We'll have that a little later.

But first, these stories "Now in the News."

Two more deaths have been linked to the deadly bird flu. The World Health Organization says the two cases in Indonesia were positive for the H5N1 virus. More than 60 people have died from that strain of the bird flu.

New Orleans mayor Ray Nagin is expected in Washington today. Nagin will be lobbying for more money to rebuild his city's levee system and to help other rebuilding and recovery efforts in New Orleans.

A Florida jury expected to begin deliberations today in the murder of Carlie Brucia. You'll remember that the abduction of the 11-year-old girl was caught by a security camera in a car wash parking lot. Joseph Smith is charged with kidnapping and murder in that case.

To the forecast center now. And Jacqui Jeras is back.

Jacqui, nice to see you.

JACQUI JERAS, CNN METEOROLOGIST: Thank you. What's it looking like for all of us today?

(WEATHER REPORT)

WALLACE: All right. We'll talk to you in a few minutes. Thanks so much.

Our top story this hour, Vice President Dick Cheney is angry. Last night he responded to critics who accused the administration of misleading the nation over intelligence concerning Iraq. One comment was -- and we are quoting here -- "The president and I cannot prevent certain politicians from losing their memory or their backbone."

And President Bush, on a trip to Asia, is backing up his number two.

For all of that, we go to our Suzanne Malveaux in Busan, South Korea.

Suzanne, good to see you. This seems to be a stepped-up offensive by the administration.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, Kelly, you're absolutely right. And President Bush really can't escape this criticism from home about this prewar intelligence. But clearly the president and the vice president both prepared. They are engaged in this all-out offensive. Essentially, what they are saying is that they're engaged in setting the record straight.

(BEGIN VIDEOTAPE)

MALVEAUX (voice over): President Bush touring South Korea's oldest Buddhist temple, 7,000 miles away from home but not out of reach from his political troubles. Earlier in the day, appearing with South Korea's president for an Asian trade summit, Mr. Bush jumped at the chance to answer Democratic criticism that the White House deliberately used misleading intelligence to go to war with Iraq.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: This is serious business winning this war. But it's irresponsible to do what they've done. So I agree with the Vice President.

MALVEAUX: The vice president, just hours earlier in Washington, let loose on the Democrats.

RICHARD CHENEY, VICE PRESIDENT OF THE UNITED STATES: And the suggestion that's been made by some U.S. senators that the president of the United States or any member of this administration purposely misled the American people on prewar intelligence is one of the most dishonest and reprehensible charges ever aired in this city.

(APPLAUSE)

MALVEAUX: Cheney has kept a relatively low profile since the indictment of his chief of staff, Scooter Libby, in the CIA leak case. Now he's assuming a job he had during the presidential elections, stinging the opposition with the sharpest of words.

SEN. HARRY REID (D-NV), MINORITY LEADER: Unfortunately, he brought his brunt (ph) mentality with him to the speech. He's repeating the same tired attacks we've heard from administrative officials over the last two weeks.

MALVEAUX: The White House campaign-style offensive has been criticized by Republican Senator Chuck Hagel. The Vietnam veteran says questioning the government is not unpatriotic.

But the president draws a distinction.

BUSH: Listen, it's patriotic as heck to disagree with the president. It doesn't bother me. What bothers me is when people are irresponsibly using their positions and playing politics.

(END VIDEOTAPE)

MALVEAUX: And Kelly, in the meantime, of course, the president tries to continue to present himself as a world leader, a player on the world stage. The economic forum starting tomorrow, where he'll meet with 21 other leaders to talk about global trade. Then he'll move on, traveling to China. That, of course, where he'll be emphasizing the need to reform currency, as well as copyright violations -- Kelly.

WALLACE: And Suzanne, privately, how worried are White House officials about this stepped-up offensive on the part of Democrats over prewar intelligence, and of course the declining approval numbers for the president and his handling of the war?

MALVEAUX: Well, certainly that is a concern to the White House because that is where the president has shown his greatest strength, in the poll numbers, when it comes to the war on terror, when it comes to issues about honesty and credibility. All of those issues, of course, the poll numbers showing that he has dropped dramatically.

So those are things that they are fighting very hard on trying to win back, especially here overseas. And as you know, of course, it only undermines the administration's efforts to move forward, to try to convince these leaders of these nations to keep their troops in Iraq.

WALLACE: Suzanne, thanks so much.

Suzanne Malveaux following the president in Busan, South Korea.

Well, a new twist to tell you about in the CIA leak investigation. Famed "Washington Post" reporter Bob Woodward now says he learned the identity of a CIA operative nearly a month before her name was publicly exposed.

We get more now from our Tom Foreman.

(BEGIN VIDEOTAPE) TOM FOREMAN, CNN CORRESPONDENT (voice over): The "Who gave up Valerie Plame?" game has (INAUDIBLE) renowned Watergate journalist Bob Woodward. A month ago he implied he had no clue who in the White House had leaked Plame's identity as a secret CIA operative.

BOB WOODWARD, "THE WASHINGTON POST": I wish I did have a bombshell. I don't even have a firecracker. I'm sorry.

FOREMAN: Now he says a White House source told him about Plame two years ago. And he's talked to the prosecutor investigating the leak. His boss says Woodward was protecting his source and the information about Plame was given only as background for a book deal.

LEONARD DOWNIE JR., EXEC. EDITOR, "WASHINGTON POST": Bob owed me and the newspaper an apology for not telling me. But if he had told me, I don't know what we would have been able to publish in the newspaper because of the confidentiality agreement under which this was stated.

FOREMAN: Many assume the vice president's indicted chief of staff, Scooter Libby, was the first to reveal Plame's secret in July 2003. But Woodward says another White House source, not Libby, told him about Plame a month earlier.

It's re-ignited the question: Did someone in the Bush inner circle unmask Plame to get even with her husband who attacked the president's case for war? If so, who?

Republicans are playing defense.

BAY BUCHANAN, AMERICAN CAUSE: It's a legitimate story, but it is hyped and intensified and played over and over in the press and coming out of the words -- the mouths of Democrats because it's an opportunity to get to the president of the United States, George Bush, and that's who they're after. That's the target.

FOREMAN: Maybe so. But Democrats say this is about war, and the implications could be huge.

PAUL BEGALA, DEMOCRATIC STRATEGIST: And I think that's what it is. You know, at the end of the day, you know, the Nixon administration dismissed Watergate as a third-rate burglary. You know, guys like me who worked for Clinton dismissed Whitewater as a failed land deal. It was. But the investigation led to revelations that Clinton had cheated on his wife and lied about it.

This begins with something important, not something minor. And it's only grown. We are at war.

FOREMAN: The president has not been directly linked to this scandal, but each day seems to bring another attack on all this president's men.

Tom Foreman, CNN, Washington.

(END VIDEOTAPE) WALLACE: And we will talk much more about Bob Woodward's revelations regarding the CIA leak investigation next hour when "Newsweek" magazine's Michael Isikoff joins us live.

Well, more news "Across America" to tell you about.

Cindy Sheehan is expected to appear before a Washington judge again today. Sheehan and other war protesters pleaded not guilty to demonstrating without a permit in front of the White House back in September. They each face a $500 fine.

A mental health evaluation has been ordered for the 14-year-old suspect in last week's Tennessee school shooting. The judge ordered the examination before deciding if the teen can be charged as an adult. One person was killed at Campbell County High School. The school's principal was released from the hospital yesterday.

And a 16-year-old jockey died in this accident at a racetrack in Ohio. Josh Radosevich, an apprentice jockey, was leading the race when his stumbled and broke his leg. A horrible story. The horse rolled over him and another trampled him. Radosevich got his jockey's license about six weeks ago. His horse was euthanized on that track.

Well, more states are getting involved in the search for two Iowa prison escapees. It has been four days now since the men climbed a fence at the maximum security federal facility and took off. Many there are still wondering how they got out and where they may be headed.

CNN's Keith Oppenheim takes a look.

(BEGIN VIDEOTAPE)

KEITH OPPENHEIM, CNN CORRESPONDENT (voice over): Two convicts may be on the loose somewhere in this idyllic town, Fort Madison, Iowa. Convicts eluding police after escaping from the state prison here on Monday. And people who live here are scared.

RICK BERRY, FORT MADISON RESIDENT: These guys have nothing to lose. So it's a great possibility that if they were cornered they could hurt someone.

OPPENHEIM: Schools were locked down and residents were locking their doors, too. Trudy Eid has seven children.

TRUDY EID, FORT MADISON RESIDENT: They're a little scared. My oldest one got -- was in lockdown for about five hours yesterday. So he was -- he was a little freaked out with that one yesterday.

Police say 34-year-old Martin Shane Moon and 27-year-old Robert Joseph Legendre scaled a wall and escaped Monday from the Iowa State Penitentiary. Moon has been serving a life sentence for murdering his roommate in Iowa 15 years ago. Legendre was doing life for the kidnapping and attempted murder of a female taxi cab driver in Las Vegas. He was transferred to Iowa last year. Authorities say the men had been working in a prison furniture shop and used upholstery webbing to scale the wall. Investigators believe that one of them stole a bicycle, then rode it to this Fort Madison neighborhood about a mile and a half away.

(on camera): Police say a 1995 gold Pontiac Bonneville was outside on the street. No one was in it, but it was running because the owner of that vehicle made a quick stop at a friend's house. Detectives say the escapees, Moon and Legendre, left in that car. And the question is, why hasn't that vehicle been spotted since?

GENE MEYER, IOWA CRIMINAL INVESTIGATION DIV.: I would have though we might have had sighted the vehicle by now. We haven't.

OPPENHEIM: The search for the escapees has gone nationwide. Meanwhile, some Iowa lawmakers say the prison wasn't secure. State Senator Gene Fraise says, "Budget cuts led to installing security wires rather than manning all watch towers at all times." The tower near the southwest wall was unmanned when Moon and Legendre scaled the wall there.

GENE FRAISE (D), IOWA STATE SENATE: If we had had someone in those towers, the chance of them getting over the wall was about a chance of winning the lottery.

OPPENHEIM: Authorities keep warning the public.

UNIDENTIFIED MALE: Because they will do anything to keep from returning to the penitentiary.

OPPENHEIM: The escapees could be armed and dangerous.

Keith Oppenheim, CNN, Fort Madison, Iowa.

(END VIDEOTAPE)

WALLACE: Still ahead on this Thursday morning here on DAYBREAK, accusations of abuse and torture in Iraq. But this time it's one tribe making the claim against another. And now some are saying enough is enough. That story just ahead.

Also, two more deaths and a new round of frayed nerves in Asia's bird flu crisis. We'll have the latest.

And later, membership has its privileges, like maybe some Meow Mix and a new litter box. You say American Express won't give you a gold card? Well, this story is really going to frost your fur. Trust us, it will all make sense just a short time from now.

First, though, here's a look at what else is making news this Thursday morning.

(COMMERCIAL BREAK)

WALLACE: The international markets are doing well this morning. Tokyo's Nikkei is up 240 points. The London FTSE is 37 points higher. And the German DAX is gaining 43.

In futures trading, oil is down 23 cents to $57.65 a barrel this morning.

Your news, money, weather and sports. It's about 17 minutes after the hour, and here is what is all new this morning.

A prayer service was held last night for Michael and Cathryn Borden in Pennsylvania. Eighteen-year-old David Ludwig is accused of killing the couple and abducting their 14-year-old daughter.

Two more deaths are being attributed to the bird flu. The World Health Organization says the two cases in Indonesia tested positive for the deadly H5N1 strain of the virus. That report comes just one day after two deaths in China were also linked to the bird flu.

In money, Delta Airlines will be back in court today trying to cut the pay of its pilots. Delta is in bankruptcy court looking for relief from the union contract already in place. Delta's pilots have threatened a strike if Delta cuts their pay by a planned 19 percent.

In culture, Miss America is going to Las Vegas. The legendary pageant moves from its home in Atlantic City after more than 80 years. The Vegas show will also be the first not seen on broadcast TV. It will be in January and seen on Country Music Television.

In sports, the Super Bowl may be headed to Kansas City. NFL owners approved letting the city host the big game sometime in the next decade if big improvements are made to Arrowhead Stadium. Among the ordered upgrades, a retractable roof to keep out the cold.

Jacqui, that's a good idea, right? Especially if the Super Bowl is in January.

JERAS: Yes, not bad. But look at the guys out at Lambeau Field. You know, the Packers. I mean, look how cold it is there.

WALLACE: That's true.

JERAS: It depends what you like.

(WEATHER REPORT)

WALLACE: All right, Jacqui. Stick around, because you're going to help me with this next story.

People at several newspapers across the country, I'm sorry to tell you, are losing their jobs. The Tribune Company is cutting staff at some of its papers, including the "Chicago Tribune," the "Los Angeles Times," and even the "Allentown Morning Call." It seems like almost every day these same papers are printing news stories about other companies downsizing.

So here's our question for you: Are you worried? A recent survey shows that nearly a quarter of you think that you could lose your job in the next year. And that is up from 20 percent earlier this year. Jacqui, I found that somewhat surprising.

JERAS: Really?

WALLACE: Yes.

JERAS: High or low?

WALLACE: Well, I mean, I think in some ways the economy is getting a little bit better. So you've got a sense that perhaps people are feeling a little more confident.

JERAS: True.

WALLACE: But when you look at this number, I mean, 20 percent drop in a short period of time, it shows that there's a lot of insecurity out there.

JERAS: Yes. I think there is. Well, there's also, you know, not a lot of long-term jobs anymore. People used to have a lot of loyalties to their company, they used to work at the same place 20, 25, 30 years, plus.

WALLACE: Sure.

JERAS: And now people seem to look at, is it more of a more short-term investment? Maybe I'll be there five years or so.

Well, we want to know if you are worried. How worried are you about losing your job? E-mail us, DAYBREAK@CNN.com. And we will read your answers live on the air.

WALLACE: Jacqui, look forward to that. I bet we'll be hearing from a lot of people.

And be sure to stay tuned next hour, everyone, when we'll be talking about your job security with an expert on career management.

Well, what was Michael Jackson doing putting on makeup in a woman's bathroom? We'll tell you all about that. It happened overseas in Bahrain, a story you won't want to miss.

Also coming up, the Hollywood madam is moving to Vegas, and she says this time she's got something for the ladies.

All of that ahead.

You are watching DAYBREAK for Thursday, November 17. We'll be right back.

(COMMERCIAL BREAK)

JERAS: We want you to e-mail us the answer to this question: How worried are you about losing your job? A new survey says more of you than maybe you might think.

E-mail us, DAYBREAK@CNN.com -- Kelly.

WALLACE: Thanks, Jacqui.

Some entertainment headlines for you this morning.

Michael Jackson reportedly caused quite a stir in a mall bathroom in the United Arab Emirates. Apparently, he was actually in the ladies room. Local newspapers report he went in there to fix his makeup. Jackson's spokeswoman says the entertainer couldn't understand the signs on the bathroom door.

Well, the sexiest men on Earth are going to be servicing female customers at a brothel in Nevada. That's if former Hollywood madam Heidi Fleiss has her way. She says she's going to help turn a brothel into a resort that features male prostitutes in the town of Crystal. That's about 80 miles outside Las Vegas.

There is one possible problem, though. Fleiss, as you know, has been convicted of running a prostitution ring. And as a felon she could be banned from Nevada's legal sex trade.

Well, here's a question for you. Who do you think is the sexiest man alive? Well, "People" magazine is out with its pick, past and present. And let us just tell you, they are all still fine.

Our Jeanne Moos explains.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): It's a little like winning the Nobel Prize, though not as noble. For the rest of your life you're stuck with being remembered as having once been the sexiest man alive.

MEL GIBSON, ACTOR: I was just very relieved to read I wasn't the sexiest man dead.

MOOS: This year, Matthew McConaughey is giving people fever.

(on camera): Sexiest man alive is out and you didn't win.

UNIDENTIFIED MALE: Yes, that's for sure.

MOOS: Did they get in touch with you?

UNIDENTIFIED MALE: No.

MOOS: What do you look like behind those sunglasses?

UNIDENTIFIED MALE : Old.

MOOS (voice-over): Speaking of old, Mel Gibson was the very first sexiest man alive back in 1985, though he didn't seem to appreciate people.

GIBSON: One of my favorite publications, by the way. I read it faithfully. It's always in my john.

MOOS: In his john? Nothing sexy about that image.

Sean Connery was the oldest to be named sexiest at the age of 60. When JFK Junior was cover boy, his issue sold more than any other sexiest man alive. Brad Pitt was the only guy to get the honor twice. This year, Brad's former wife, Jennifer Aniston, ended up on the cover of GQ's men of the year issue for exhibiting poise, grace and humor after Brad took up with Angelina Jolie.

Nick Nolte the hard way that learned once you've gotten your mug on sexiest man of the year, perhaps only a mugshot can eclipse it.

MOOS: Can you remember this one?

UNIDENTIFIED FEMALE: A long time ago that was my kind of guy. But I progressed.

MOOS: Matthew McConaughey, likewise, has a mug shot. Neighbors complained about noise and police reportedly arrived to find him in the buff playing the bongos. Now that's sexy. "People's" latest sexiest man alive issue features some smart, sexy guys, including CNN's own Anderson Cooper, and even Patrick Fitzgerald.

UNIDENTIFIED FEMALE: I know that name.

UNIDENTIFIED FEMALE: What is he in?

MOOS: He's in the CIA leak affair. The magazine calls him a very special prosecutor.

UNIDENTIFIED FEMALE: His clear, steady voice, piercing blue eyes. I love you Patrick Fitzgerald, because buzz you don't lie to me. I love you.

MOOS: At a certain New York City fountain ...

(on camera): Wait a minute.

(voice-over): The fountain of youth, perhaps, we uncovered a wannabe cover boy.

UNIDENTIFIED MALE: And I'm the sexiest man alive.

UNIDENTIFIED FEMALE: Am I the sexiest woman?

MOOS: Possibly the sexiest couple alive? This woman nominated a guy named Sotheby.

(on camera): Sexiest dog alive then?

UNIDENTIFIED FEMALE: He is definitely. You know, he's also -- he's intact.

MOOS (voice-over): Let's hope you can say the same for Matthew and Jude and all the other cover boys. Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

WALLACE: We love seeing that issue. The sexiest men alive now on your newsstands.

Well, here's what is all new in the next half-hour here on DAYBREAK.

Switching gears quite a bit, prisoners abused and tortured. That is the claim being made by one tribe of Iraqis against another. That story is next.

Also, you're paying at the pump while oil companies are making a fortune. Well, now big oil may be caught in a very big lie. And at the center of it, Vice President Dick Cheney.

We'll be right back.

(COMMERCIAL BREAK)

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