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American Morning

Black Friday Looks Good For Retailers This Year; Hussein's Trial Set to Resume On Monday Despite Deaths of Lawyers, Threats to Others; Bible-Themed Video Games Get Good Play With Consumers

Aired November 25, 2005 - 07:00   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. I'm Soledad O'Brien. Let the shopping begin. The holiday rush is on. Thousands of people already up and at'em this morning. They're trying to cash in on holiday deals. We're live with the shoppers today.
(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Oh, no!

(END VIDEO CLIP)

O'BRIEN: It happened once again. A mishap with a Macy's balloon sends a lamppost crashing down among parade goers.

And then, take a look at this!

A liquor store is trashed by thugs and left in shambles and all of it caught on surveillance tape.

Former FEMA Director Mike Brown is starting a new business. He wants to help you to plan for emergencies. We explain on this AMERICAN MORNING.

Good morning. Welcome, everybody. It is Black Friday. AKA, the day after Thanksgiving Day. One of the busiest shopping days of the year. Lots of sales, lots of people, big, long lines. Early birds already up and at'em at the crack of dawn at this Wal-Mart in Orlando, Florida.

Take a look at this. Big crowds. Right? Pretty orderly, though. Unfortunately, it turns into this. Shoving and pushing. There's a sale on laptop computers and it kind of disintegrated.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: People fighting, you know? Pulling, you know, boxes from other people's hands and started fighting over there. It's crazy.

UNIDENTIFIED FEMALE: All of a sudden, people started pushing and shoving and carrying on. I mean, yelling and screaming easement we were getting out of there.

UNIDENTIFIED MALE: They were throwing these laptops in the air, 20 feet in the air, and people were collapsing on each other to grab them. It was ridiculous.

(END VIDEO CLIP)

O'BRIEN: That scene already this morning. It's only one minute after 7:00 in the morning. People have been shopping, though, for hours across the country. In fact, across the country hordes of shoppers trying to cash in on Thanksgiving Day sales -- or the day after Thanksgiving Day sales.

We have reporters standing by this morning at two popular stores. Allan Chernoff is live outside of Macy's at Midtown Manhattan. David Mattingly is at a Wal-Mart in Roswell, Georgia this morning.

Good morning, gentlemen. Allan let's begin with you. How does it look?

ALLAN CHERNOFF, CNN FINANCIAL CORRESPONDENT: Soledad, very busy. In fact, an hour before the doors opened and people started rushing in here, well over a thousand people; nine different doors here at Macy's in Harold Square. People are just jamming in here to get some early bargains. Perhaps the best bargain that I've seen on the main floor here, 75 percent off men's shirts. It's the men who are swamping all over those shirts. They're really the more active shoppers it seems this morning.

But plenty of women as well, busy trying to get their bargains. In fact, we have one here, Yelda Baristiran, she came in from New Jersey.

Got here what time, Yelda?

YELDA BARISTIRAN, HOLIDAY SHOPPER: Five.

CHERNOFF: Five in the morning?

BARISTIRAN: Yes.

CHERNOFF: You got -- you waited for about an hour or so. What have you bought?

BARISTIRAN: Shirts.

CHERNOFF: Let me see. Wow! Three bags full. Looks like you've got plenty of good shopping down. Very good. Congratulations to you.

Soledad, lots of people. Very busy trying to find whatever bargain they can and the store is chock full of them -- Soledad.

O'BRIEN: Wow. She clearly puts all the procrastinators like me to absolute shame. Three bags already, it's three minutes after 7 o'clock in the morning.

Let me ask you a question about gimmicks. Outside of the slashing prices, 75 percent off, what other gimmicks are you seeing out today there, Allan? CHERNOFF: Macy's has a million dollar give-away. They have these tear-off cards. Let's see if I've won. They handed me one of these. What do you know? A $10, a $10 gift certificate. They're giving these out all over the country.

As you know, Macy's is now more of a nationwide chain than ever, so they are trying to lure shoppers in with these gift certificates, at least this competition to try to get a gift certificate. I think the top prize is $500, but 10 bucks, not bad.

O'BRIEN: Not bad at all, ten bucks. Thanks, Allan. Appreciate it.

Let's check in with David Mattingly now; he's at a Wal-Mart in Roswell, Georgia.

Hey, David. Good morning to you. How does it look so far where you are?

DAVID MATTINGLY, CNN CORRESPONDNET: Well, Soledad, this is a 24- hour Wal-Mart so the doors have always been open. But here in the store the lines started forming at 3:30 this morning for the deals that went on sale at 5:00 a.m. this morning.

No pushing and shoving like we saw in that store in Florida. Everything fairly orderly here. Again, big crowds. People going after portable DVD players for $80. Flat scene TVs for $130. Laptops for $400 so plenty of incentive for bargain conscience shoppers to come out this morning.

Some bleary eyed ladies here behind me who have done this today. This mother/daughter team coming out on Black Friday for the first time. What did you find today? Was it worth it for you?

UNIDENTIFIED FEMALE: Oh, yeah. I bought a vest and I don't know. A couple of things, I didn't buy a lot, but a little bit; got started.

MATTINGLY: Was it worth not having to sleep this morning?

UNIDENTIFIED FEMALE: Absolutely. You just go to bed early.

MATTINGLY: You have a two-year-old. Were you able to find some deals?

UNIDENTIFIED FEMALE: Absolutely. Some things that would otherwise not be as affordable. I was able to get my bang for the buck. It's what we're here for.

MATTINGLY: That's the name of the game today. And you normally don't come out on Black Friday but you decide to do that today. Why?

UNIDENTIFIED FEMALE: I wanted to get a DVD player and five CD disk player, all that technical terminology, you know? I wanted electronics and this was the best place to come.

MATTINGLY: So, you did your planning ahead of time. You knew what you wanted to get and came in here for the deals?

UNIDENTIFIED FEMALE: Right. That, and some Nativity scenes.

MATTINGLY: So, who is going back home to get sleep now?

UNIDENTIFIED FEMALE: I'm going to work.

UNIDENTIFIED FEMALE: We're going further.

UNIDENTIFIED FEMALE: I have a two-year-old!

MATTINGLY: You heard it, Soledad. This day not over yet. Plenty shopping left to do here on Black Friday.

O'BRIEN: Come on! I knew that was the case. They are only just getting going. You want to interview them again, at like 6 o'clock tonight, David, see how they are holding up. Thanks, David. Appreciate the update.

MATTINGLY: Yeah.

O'BRIEN: Let's take a look at the forecast for the day ahead.

(WEATHER FORECAST)

O'BRIEN: Turning now to other stories making news. The trial of former Iraqi leaders Saddam Hussein resumes on Monday, that is despite the killings of two defense attorneys and a threat by the defense team to boycott the trial altogether. CNN's Senior International Correspondent Nic Robertson is live from Baghdad this morning with a preview.

Nic, good morning.

NIC ROBERTSON, CNN SR. INT'L. CORRESPONDENT: Good morning, Soledad.

Well, it's two years almost since Saddam Hussein was caught. The trial got started and it stopped again; and a lot of people here waiting very expectantly to see it start again.

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ROBERTSON (voice-over): Lawyer Aqil al Kanani remembers his two brothers he says were killed by Saddam Hussein security forces in 1979. Last month, Kanani and his family watched the opening day of Hussein's trial on TV. Now he wants the trial over so he can get answers about why his brothers, Yaseen (ph) and Taha (ph), were killed.

AQIL AL KANANI, LAWYER (through translator): I really care to hear his answer. No matter if he would go on trial for my case, or another case.

ROBERTSON: Beset by technical glitches last time the trail faltered in its opening hours. Hussein grandstanded, wasting time. Then his lawyers got a 41-day adjournment to study the charges that accuse Hussein and seven former regime allies of brutally repressing 1982 assassination attempt.

KANANI (through translator): Speaking to me as an Iraqi, not as a lawyer, I would denounce the delays of the trial and I would demand the court to execute him immediately. But as a lawyer, I see it as a legitimate process.

ROBERTSON: For a while, even the return to court next Monday seemed to be in doubt. Since appearing at the trial, two defense lawyers were killed and another wounded in targeted assassinations. Only U.S. assurances to help investigate and offers of protection appear to have convinced them to come back.

Still, in jail, awaiting trial, are other regime loyalists like Hussein's former deputy prime minister, Tariq Aziz. His lawyer is worrying about when his client will see trial.

BADIE AREF, TARIQ AZIZ'S DEFENSE LAWYER: When I saw him last time, he was very sick.

ROBERTS: Aref has had death threats. His concern now is that the trial is unjust. Not just because defense lawyers are being killed, but because they lack training in cases like crimes against humanity.

AREF: They must also send their lawyers also to -- to England, to America to learn them -- about this case.

(END VIDEOTAPE)

ROBERTSON: Now, when Hussein does get back in the dock, the trial is expected to speed up. There could be witnesses called even on the first day, Soledad.

O'BRIEN: Nic Robertson. Of course, we're going to be watching this trial. Thank you for the update, Nic.

Carol Costello wraps up her last day at "Daybreak". You did a nice job thanking everybody for their work.

CAROL COSTELLO, CNN NEWS ANCHOR, AMERICAN MORNING: We've been together since day one of "Daybreak".

O'BRIEN: That's great.

COSTELLO: But some of them will be joining us on AMERICAN MORNING.

O'BRIEN: I was going to say, but it's not over yet!

COSTELLO: No, it's not. See you Monday at 6:00 a.m.

COSTELLO: Exactly. Could you believe this story about Michael Brown?

O'BRIEN: No, honestly. No. COSTELLO: I thought it was a joke at first but it's not. Former FEMA Director Michael Brown is starting a company, and get this, a disaster preparedness consulting firm.

Brown was heavily criticized for his agency's poor response for Hurricane Katrina. He says he can help clients avoid the sort of mistakes that cost him his job. Brown told the "Rocky Mountain News" that he already has companies expressing interest in his consulting business.

Take a look at these pictures out of Oakland, California. A surveillance camera was rolling as vandals attacked two liquor stores on Wednesday. They knocked over the groceries, they threw bottles to the floor and smashed displays with iron pipes. There you see it. At one store, the men destroyed $10,000 worth of liquor and equipment.

The owner says he believes the Nation members of Islam targeted his store because they don't believe is Muslims shouldn't sell alcohol. A spokesman for the Islamic group says they've seen the tape and that its members were not involved.

The two sisters hit by debris from a falling street lamp at the Macy's parade, they're going to be OK.

O'BRIEN: That story is so tough. We were just talking a moment ago, about these two -- a girl, really, one -- and her older sister. This balloon, this M&M hot air balloon. Can you see it right there. It was a street light, it got knocked over when one of the ropes got loose. You can see the police running to the scene. An 11-year-old girl required nine stitches.

Watch it again, if you will. There it goes.

COSTELLO: And her sister, her 26-year-old sister is in a wheelchair, can't move away fast enough.

O'BRIEN: She got hit by some of the debris but apparently not sort of a direct-on hit that her little sister took. You remember eight years ago a similar accident and when that happened, that was the Cat in the Hat balloon got loose in a big wind and severely injured a woman.

COSTELLO: She is brain damaged to this day. She's in a coma.

O'BRIEN: This is a little more of the parade. So they're going to review the safety procedures. Look at the band going by? OK, this is in Times Square right when it happened. If you were watching NBC News, you wouldn't have known, apparently. Because what they did, my understanding is that they showed the band, then the M&M parade -- this is last year's M&M balloon. They edited it in.

COSTELLO: No!?

O'BRIEN: Am I right about this, guys? Yes, yes? This is not -- this is old pictures. COSTELLO: So, they didn't have a shot at the M&M balloon from this year and the accident so they took a shot of the M&M balloon from last year?

O'BRIEN: My sense is they didn't want to show the M&M balloon having an accident, so they take a shot of the balloon from last year.

COSTELLO: Aren't they a news organization as well?

O'BRIEN: Which raises so many questions. Like how did you have queued up last year's M&M balloon shot, already? Do they have all the balloon shots, old pictures in case there was a mishap of the balloon? A lot of weird questions.

COSTELLO: The underlying issue is if a news event happens at a parade you would think they would report on it.

O'BRIEN: It's just odd, isn't it? I have a question? I have a theory that we're not the only ones with this question. A lot of people will have this question. Just strange.

Yeah, that's the update on exactly what happened at the parade. Luckily, that was it and the family says they're not going to sue because accidents happen so they went back home and see the parade next year.

COSTELLO: Good for them. They're from Albany, New York.

O'BRIEN: Yeah.

We need to talk about a programming note that is important to you and important to us. Starting on Monday, you can catch AMERICAN MORNING one hour earlier. Our new start time is now at 6:00 a.m. Eastern Time. Obviously, 3:00 a.m. on the West Coast.

And we are going to have an exclusive interview with Lieutenant General Russel Honore. That happens on Monday morning.

And then, we're also going to be following, our big story of the day is Saddam Hussein's trial resumes. Not only does the trial get underway again, it's not just the formality that we saw the last time. Witnesses will begin testimony, apparently. So that is going to be a fascinating trial to watch. That's all ahead on Monday starting at 6:00 a.m., new hours for AMERICAN MORNING.

Ahead, we're going to brave the crowds once again. This time not parade crowds. This time, it's holiday shoppers. They are sometimes crazier people than parade crowds.

COSTELLO: Oh, yeah.

O'BRIEN: What is everybody spending their money on this year? We will take a look at some of the trends.

COSTELLO: Also, video games. They should be a hot item this year. How about the religious ones? Faith-based games go mainstream. O'BRIEN: Later, our special series "Week of Giving" continues. Today how one small town adopted a family devastated by Hurricane Katrina. First, though, a holiday message from one of our troops overseas.

(BEGIN VIDEO CLIP)

CAPT. MARK BEALS, U.S. ARMY: I'm Chaplain Mark Beals and I want to say Happy Thanksgiving to my wife, B.J., and my son Markey. Happy Thanksgiving. God bless you. Love you!

(COMMERCIAL BREAK)

O'BRIEN: Live pictures from Roswell, Georgia this morning, of the Wal-Mart there. Looks quite calm. Other Wal-Marts across the nation not as calm as we saw a little bit of a fracas over -- I guess well-priced laptops a little bit earlier today.

You'll get live pictures now from Macy's New York as they opens the door and the rush began earlier this morning. Crowds are really coming out in full force today and, of course, that begs the question just what kind of a season will it be for business?

The Deloitte consulting firm is out with its 20th annual survey of holiday spending. John Salata is retail partner with Deloitte and he is inside the Woodfield Shopping Mall, in Chamburg (ph), Illinois.

Nice to see you, John. Thanks for being with us this morning.

JOHN SALATA, RETAIL PARTNER, DELOITTE: Good morning, Soledad.

O'BRIEN: You have to wonder when you think about all of the people's concerns, like the cost of gas and the cost of heating oil, the fears about losing your jobs, what is happening in Iraq, a list of things, I was surprised to read that actually spending is going to be up, not down. Does that surprise you, too?

SALATA: Well, to some extent, it does, Soledad.

We at Deloitte have been surveying consumers the past 20 years and this year spoke to over 17,000 consumers nationally. And what we heard from them is that they're very cautious going into the holiday spending season; very cautious about the economy.

About 50 percent of them said they felt the economy would improve or stay the same this year. That compares to about 75 percent a year ago. At the same time, about 70 percent of consumers said they intended to spend the same, if not more, this holiday season. They are very secure about their jobs. As a result, we at Deloitte believe that holiday sales will be up 6 to 6.5 percent this holiday season.

O'BRIEN: But it looks like people will spend a little bit less on the gifts so maybe consumers spending up, but gift spending specifically down. Why? Where is that money going?

SALATA: Their money is going into home improvement projects. People are still cocooning around the home and that is good news for home improvement retailers. People are also giving their money also away this year, given the event of the past year, with the tsunami and the hurricanes. People have been giving throughout the year and we expect that trend to continue. People told us they would give about 12 percent of their total holiday budget this year to charitable donations.

So, to some extent, home improvement projects, charitable giving, is eating into gift giving to others.

O'BRIEN: I was sort of surprised to read it's a huge online spending this year. I mean, what is it? Some tremendous amount. Does that hurt a department store or does that in a way help a department store because so many of them have online arms of the store?

SALATA: Absolutely. Twenty years ago, the department store was the consumers' favorite place to shop. This year, there was no clear- cut favorite. Discount stores are the number one choice, but the Internet now is number two. That is the biggest change in shopping behaviors over the past 20 years. About 83 percent of consumers spent online during the past 12 months and we expect that trend to continue.

O'BRIEN: I think it's a great trend for procrastinators like me. You click, get online and click through and you're done.

SALATA: Absolutely.

O'BRIEN: I was surprised to read, though, gift cards are the number one item. Gift cards? We had a debate this morning. It seems kind of impersonal. I mean, a gift card?

SALATA: Yes, it does. When we asked consumers what are they intending to buy this year, gift cards was the number one choice. And 70 percent of consumers this year will be buying gift cards. They're easy to buy, they're hassle free. You can get them anywhere right now. You can buy them online, buy them in the supermarket, you can redeem them online.

Retailers are also making them more personalized this year. I saw some retailers offering your picture on them, or pictures of your family and friends. They are becoming much more popular. Good news for retailers is 50 percent of consumers still have unredeemed gift cards from a year ago.

O'BRIEN: Well, that's the other problem with the gift card. You never necessarily get around to using them.

John Salata, thanks for joining us. The survey is really fascinating. We're going to talk more about that survey later this morning. Thank you.

SALATA: Thank you.

O'BRIEN: Carol.

COSTELLO: Coming up, a lot of kids will find video games under the Christmas tree this year. What about ones based on the Bible? The latest trend in video games is next on AMERICAN MORNING>

(COMMERCIAL BREAK)

COSTELLO: A lot of parents are uncomfortable allowing their children to play violent video games. Some are turning to games featuring stories from the Bible.

AMERICAN MORNING's Dan Lothian has more for you.

(BEGIN VIDEOTAPE)

DAN LOTHIAN, CNN CORRESPONDENT (voice over): Sixteen-year-old Vincent Trillich can't get enough of his computers games. There is plenty of action, drama, adventure but not what you'd expect.

VINCENT TRILLICH, TEEN VIDEO GAMER: Some of those games where there is blood flying everywhere. These aren't those kind of games.

LOTHIAN: "Catechumen" (ph) and "Ominous Horizons" are religious games that Vincent's mother not only approves up, but also plays.

UNIDENTIFIED FEMALE: When I'm buying games I want games that I wouldn't mind playing and I have no compuncture (sic) against allowing my son to play.

LOTHIAN: In "Catechumen" (ph) the player defeats the forces of evil to rescue captured Christians from Roman soldiers.

The Trillich family from Grosse Point Park, Michigan is not unique. Controversial violent video games have left some parents asking for something different.

Now a new generation of Christian programmers is answering the call, delivering a product with cutting-edge action and a Christian message that they hope will also appeal to the mainstream.

PETER CHURNESS, GAME DEVELOPER: We've been very careful to make sure the game is not preachy and it's not cheesy, as well. It's going to be a fun game to play.

LOTHIAN: Churness' fantasy role-playing game called, "Orion" is due out next year. Others companies are rolling out similar product, too. Aki Sugawara, who covered this issue for "Game Pro" magazine says unlike religious games of the past the quality of these new titles is on par with some mainstream games.

AKI SUGAWARA, "GAME PRO" MAGAZINE: It was really surprising to see that Christian games are starting to catch up.

LOTHIAN: While not glorifying violence, some of these games do feature guns and deaths and explosions. Programmers say the context is spiritual warfare, often ripped from the pages of the Bible. It's a small industry now, but some believe could soon explode. A growing movement aimed at the same audience that embraced the mega blockbuster "The Passion of the Christ".

CHURNESS: We do believe that there is a spiritual hunger out there for spiritually themed products.

LOTHIAN: Experts say it's too early to tell if the religious games will be embraced by the masses, but back in Michigan, the Trillich family is sold.

V. TRILLICH: They seem like normal games.

LOTHIAN: But in tune with their values. Dan Lothian, CNN, Boston.

(END VIDEO CLIP)

COSTELLO: And coming up, our special series "Week of Giving" today, the people of a small town in Maryland opened their hearts and wallets to help one New Orleans family rebuild their lives.

First, though, a holiday message from one of our troops overseas.

CAPT. TODD ARNOLD, U.S. ARMY: I'm Captain Todd Arnold stationed in Baghdad, Iraq, with the 3rd Armored Cavalry Regiment. I want to say hello to my friends and family in Texas. Andi, I love you. I miss you and I'll be home soon.

(COMMERCIAL BREAK)

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