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The Situation Room

War in the Middle East Escalates

Aired July 17, 2006 - 19:00   ET

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


WOLF BLITZER, HOST: To our viewers, you're in THE SITUATION ROOM, where new pictures and information are arriving all the time.
Standing by, CNN reporters across the United States and around the world to bring you tonight's top stories.

Happening now, breaking news, open warfare between Israel and Hezbollah exploding right now into the night. It's 2:00 a.m. in Beirut where Israel is taking aim at new targets. We're live from the hot spots on both sides of Israeli-Lebanese border.

Also this hour. Americans desperately trying to get out of Lebanon and out of dangers. Nations are scrambling to evacuate foreigners from Beirut. Is the U.S. moving fast enough to get its citizens to safety? And is there any hope tonight for the diplomatic end to the fighting and the bloodshed? I will speak with top diplomats from the U.S., Israel and Lebanon. I'm Wolf Blitzer, you're in THE SITUATION ROOM.

Tonight, Israelis and Hezbollah fighters unrelenting in their attacks to one another. Israel is launching new overnight air strikes in and around Beirut right now. We have heard more loud explosions rocking the southern suburbs just a short while ago. The Lebanese army confirms one if its military bases was bombed by Israeli warplanes after an earlier attack on an army barracks.

Lebanon now says that at least 170 people have been killed in the attacks in its territory, the home for Hezbollah.

Thousands tonight of foreigners are scrambling to get out of the line of fire in Lebanon. The U.S. marines flew a small number of Americans to Cyprus but they are preparing to evacuate many, many more by land, air and sea.

The danger also is escalating tonight in Haifa and other parts of northern Israel. Hezbollah rockets rain down on the region late today including one that hit near a hospital, shattering its windows. Israel now says 24 people have been killed in six days of fighting with no end in sight.

CNN has reporters covering all the key battlefields in this Middle East crisis. CNN's John Vause is standing by live for us in northern Israel. CNN's Christiane Amanpour is there also. Let's go to CNN's Nic Robertson for the latest on the breaking news. We are hearing loud explosions in Beirut. Nic, update our viewers on what's going on. NIC ROBERTSON, CNN CORRESPONDENT: Wolf, within the last 10 minutes, there was a massive explosion that we could feel in the center of city. Just off to my left is the southern suburbs. They began about two miles away. The bombs seemed to go off in that area. In the last hour, we have had four such explosions. Two coming about a half an hour ago. Another one, a sort of a double boom-boom went off perhaps about 20 minutes ago. Those explosions all it seems in the southern suburbs of Beirut where Hezbollah has the most majority of its support and where Hezbollah leaders have their homes, keep their family.

Also we heard about two hours ago, Israeli jets flying overhead. Then a few minutes later, the Lebanese army told me that their barracks about 12 miles northeast of here was the target of that raid. They say they have casualties and they don't know or won't say how many injured, how many killed maybe killed in the attack on the Lebanese army barracks just northeast of the capital here, Beirut.

We have seen earlier in the day at the port French nationals scrambling to get aboard a ship that will take them to Cyprus. The French government brought that ship in to help evacuate some 6,000 French national who want to leave Lebanon. Twelve hundred were able to get aboard this vessel. About 500 of those children. One lady I talked to said she was just desperate to get out. She was very worried about the situation. She was almost in tears as she thanked the French ambassador, thanked the French government, thanked Jacques Chirac, the French president and the French prime minister has been in Beirut trying to move diplomatic efforts forward. His conclusions after talking to the Lebanese prime minister, Fouad Siniora, that the situation right now is very tough and there is no magic solution to move it forward. The talk has been about getting Hezbollah to hand back the soldiers they abducted last week and cease firing their into Israel. The E.U. ambassador the E.U. representatives were here as well, European Union rep - the U.N. representatives were here as well, Wolf. Their conclusions, first steps and a long way to go. Wolf?

BLITZER: Nic Robertson, we are going to come back to you throughout this hour. Stand by.

Let's go to Haifa, though, right now. CNN's Christiane Amanpour is on the scene for us for all the late details happening in that Israeli city.

Christiane?

CHRISTIANE AMANPOUR, CNN CORRESPONDENT: Well, although the bulk of the casualties have been in Lebanon, there have been casualties here as well. And today, in Haifa, there have been air raid siren warnings throughout the day. And we have seen our selves and told of other that rocket impacts and rocket barrages that have come towards the city.

We saw some of them explode harmlessly out to sea just behind me and some of them explode on land. One building here in the city had its entire facade tore off. And there were injuries. There was an attack up in northern Israel, one of several where a rocket landed near a hospital in the town of Safed and we're told five people were wounded there.

We have also been talking to some of the diplomats who are intimately involved with the current diplomacy that's been going on. And from what we can gather, there seems to be a consensus that all parties apparently, we're told, know that there cannot be a cease-fire until there's a political solution on offer. Israel for its part says that it is trying to do all it can to cripple Hezbollah military and missile capability. That it is trying to put so much interest on Hezbollah that it decides that it is in its own best interest to seek help from Syria or other interlocutors to come to a political arrangement. Israel said they know they cannot defeat Hezbollah militarily but they can trying to seek a political solution to this.

Wolf?

BLITZER: Christiane, thank you very much. We are going to come back to you as the news unfolds.

Let's go to the northern Israeli border with Lebanon, CNN's John Vause is on the scene for us. John, we're hearing explosions right now I think behind you. Update our viewers of what's going on.

JOHN VAUSE, CNN CORRESPONDENT: Wolf, probably the explosions that you have been hearing from this position has in fact been the sound of artillery firing from the northern part of the Israel into Lebanon. We have also been hearing the last couple minutes, the sound of Israeli warplanes over head. Some going into Lebanon and some coming from Lebanon. There has been constant air traffic for a good deal of the night.

And also from Israeli security forces tonight, they say that four Hezbollah gunmen have been shot dead by Israeli forces. Apparently they were trying to cross the border from Lebanon into Israel. And the Israeli military its army outpost on Mount Dove (ph) very, very close to the Lebanese border and also the border with Syria has come under sustained Katyusha rocket attacks.

All of this as Israel continues to pound those positions in southern Lebanon, both with artillery and air power as well. But despite that bombardment, the Hezbollah rockets continue, almost 100 falling on Israel in the last 24 hours. And also today, Israel defense officials an air strike destroyed a long-range Hezbollah missile capable of reaching Tel Aviv about 70 miles away. That incident was initially reported on Lebanese television as downed F-16 but Israel tonight says all of its warplanes have been accounted for.

Wolf?

BLITZER: Very briefly, what is the assessment in the northern part of Israel of Israeli ground troops and armor directly moving in on the ground into Lebanon?

VAUSE: Wolf, the situation as far as the Israeli ground forces are concerned, they're amassing on the border. We have seen armored tanks and other vehicles waiting in the covered areas in the hills. They are waiting for the orders but it seems that right now the Israeli government would rather conduct this by air, by sea and also by artillery. The ground option is not a good option for Israel.

There's a great deal of trepidation when it comes to going into Lebanon. The Israeli military is concerned that the area has been land mined. The leader of Hezbollah has promised that there will be many surprises for Israel should they decide to cross it is border. So right now the ground troops are on hold. That is not to say they won't be sent in if the air power and the artillery do not take out those Hezbollah positions.

BLITZER: All right, John. Stand by. We're going to be coming back to you as well, John Vause on the border between Israel and Lebanon. Jack Cafferty is in New York watching all of this unfold. Jack?

JACK CAFFERTY, CNN ANCHOR: President Bush says that everything is going to be OK once democracy takes root in Iraq. The trouble is that's not working so far. Sectarian violence has been the order of the day there for centuries and there's no sign that it's going away any time soon.

We have a government there that can't govern, an army that can't fight and security forces that don't provide safety. So far we're not talking home run here, you know what I mean.

Then there's the Palestinians. They recently had elections and look who is running that place. Hamas. So democracy brought in a government of terrorist thugs to that country. How about Lebanon. They've got a democratic government. Of the 128 seats in the Lebanese parliament, 23 are held by Hezbollah. Another bunch of choir boys hell bent on destroying Israel. They have elections in Iran and now the world has to deal with that nutjob, Ahmadinejad. This democracy thing, at least when it comes to the Middle East might be overrated. Here's the question, how good an idea is democracy in radical Islamist countries? E-mail your thoughts to caffertyfile@cnn.com or go to cnn.com/caffertyfile, Wolf.

BLITZER: All right, Jack. Thank you very much.

Coming up, Israel said its aircraft hit a truck in Beirut containing missiles capable of reaching Tel Aviv. Our Tom Foreman standing by with more on Hezbollah's missile capabilities.

At 25,000 Americans trapped in Lebanon, caught in the crossfire, how does the U.S. government plan to get them out?

Also the U.S. has sent messages from afar to both sides. Now American officials will get up close and personal to try to help ease the tensions. We will hear from secretary of state Condoleezza Rice's top aide, Nicholas Burns. He is joining us to explain what happens next. Stay is with us.

(COMMERCIAL BREAK)

BLITZER: More now on our top story. The deepening and escalating crisis in the Middle East. Since it began, the U.S. has been very vocal but has watched and weighed in from a distance. Now it appears that the sides involved will get a visit from a top Bush administration official.

BLITZER: And joining us now from the State Department, the under secretary of state Nicholas Burns. I know you just got off a plane. What is the itinerary, what's the schedule from secretary of state Condoleezza Rice's trip to the region?

NICHOLAS BURNS, UNDERSECRETARY OF STATE: Well, Wolf, thank you very much.

Secretary Rice was on the phone all day with Prime Minister Olmert and Prime Minister Siniora Kofi Annan. We are going to have a discussion with the United Nations this week about kind of option available. When the U.N. team that has been in the region returns, Secretary Rice of course is going to the Middle East. She will decide when she is going to go and where in the matter of the next couple days.

But obviously the United States wants to bring its weight to bear to see a resolution of the crisis. But first and foremost, we have to see an end of Hezbollah shelling of northern Israel. We need to see the return of the captive Israeli soldiers. Hezbollah violated international law and four U.N. Security Council resolutions in crossing the blue line.

And it was remarkable, Wolf, at the St. Petersburg G-8 Summit when eight world leaders spoke as one and said the cause of this problem is Hezbollah and the cause of the problem in Gaza with the outbreak of fighting there two weeks ago is Hamas. And it was remarkable to see that clarity of view by eight world leaders.

BLITZER: Can I take it from what you're saying that before she goes to the region, she will go up to the United Nations to meet with those U.N. diplomats who are in the region now coming back to New York?

BURNS: We will certainly be meeting up in New York with the United Nations. Secretary Rice may or may not do that but the United States will be active at the united nations. She wants to have conversations with Kofi Annan. We're in touch with all of our allies in the Arab world. We're in touch with the Israeli government. This is a very complicated and very serious crisis. I think another sentiment that was expressed in St. Petersburg. Too many civilians have died and we're concerned about loss of life in Israel and we're concerned about the loss of life among the Lebanese. And so we'd like to see this resolution brought to an end but first and foremost, there are things that have to happen. Return of the Israeli soldiers. End of the shelling.

BLITZER: So let me interrupt.

BURNS: And Hezbollah bears the responsibility for starting this crisis.

BLITZER: But let me make it clear. The Israeli position is that there can be no cease-fire until those Israeli soldiers are returned. Is that the U.S. position is as well? BURNS: Well, the U.S. position and the position adopted by all of the G-8 countries, the world cease-fire does not appear in that very elaborate document worked out that the G-8 leaders agreed upon last evening in St. Petersburg. Because cease-fire has a very specific meaning in international diplomacy. And what we have to see is not a cease-fire in place. We have see a transformation of the situation so that northern Israel, Israeli towns 40-45 kilometers south of the borer don't have to worry about rockets falling on civilian populations.

And we certainly would like to see the Lebanese government protected here. The government of Prime Minister Siniora which has been a victim of what Hezbollah has done.

BLITZER: So no cease-fire until the soldiers are returned? Is that the U.S. position?

BURNS: The United States position is the same as the G-8 position, it was annunciated by all the leaders and it's very specific. You start with the return of the abducted Israeli soldiers and you also start with the cessation of the shelling by Hezbollah of Israeli towns.

BLITZER: What's the U.S. position on a U.N. force going into the region?

BURNS: There was quite a lot of talk among the leaders in St. Petersburg about this Wolf and I think there is sympathy for the notion that we ought to examine at the United Nations this week. The possibility of whether or not some kind of strengthening of some of the existing U.N. operations or reinforcement or perhaps a new element should be introduced.

It's a rather amorphous idea now. The sentiment is that if the international community can be helpful obviously all of us want to be helpful to bring the fighting to the end. But we're going to have to consult with Israel, certainly consult with the U.S. government, see what the United Nations and other countries might be capable of doing before we arrive at a solution.

BLITZER: One final question before I let you go, you say and other U.S. officials have said that Syria and Iran are really responsible, they are calling the shots, dictating in effect to Hezbollah, Hamas what is going on.

But for all practical purposes the U.S. doesn't talk to Syria and Iran. So what's the secretary of state going do?

BURNS: It was remarkable again in St. Petersburg. A high degree of you unanimity that the extremists have brought about these problems and those that support them. Those are diplomatic code words for Syria and Iran and both President Bush and Secretary Rice have said openly this week we believe that Syria and Iran are aiding Hezbollah. We believe that many of these missiles, particularly the longer-range missiles being fired at Israel are coming from Syria and Iran. Those countries need to cease and desist those activities. They have disturbed the international peace.

Lebanon, this remarkable country that has made so much progress in coming back from the horrible civil war of the '70s and '80s is now once again the scene of conflict. Because of the activities and Syria and Iran and also Hezbollah. And that's a very sad commentary on a great country. And we have enormous sympathy for the Lebanese civilians who have been victims of Hezbollah.

BLITZER: Unfortunately we have to leave it there. Nicholas Burns, thanks for getting off the plane and coming to our camera.

BURNS: Thank you.

BLITZER: And still to come tonight in THE SITUATION ROOM, one grim situation, yet two different sides to the story. I will speak with the Israeli ambassador to the United States as well as the top representative of Lebanon's ministry of foreign affairs at the United Nations right now.

And with bombs and bloodshed in Beirut and beyond. What about the thousands of Americans living in Lebanon? When might they get out and how? Stay with us.

(COMMERCIAL BREAK)

BLITZER: Only moments ago, more explosions rocking in and around Beirut. We will bring you the latest. That's coming up.

We're not leaving this story at all. But first let's check in with CNN's Betty Nguyen at the CNN Center for a closer look at some other important stories making news tonight. Betty?

BETTY NGUYEN, CNN ANCHOR: Hi there, Wolf. Got a fan? Because you will need it. Much of the U.S. is sizzling under a sweltering heat wave. From coast to coast temperatures are soaring into the triple digits. And the humidity, well, it makes it feel even hotter. In some areas officials opened up air conditioned office building and libraries to the homeless and elderly. There has even been at least one heat related death in Arkansas.

Now rain could bring a break to the northwest at some time tomorrow. Rescue workers are searching for dozens of people still missing after an undersea earthquake and tsunami struck the Indonesian island of Java today. Take a look at these pictures. The Red Cross says at least 80 people were killed. The six-foot high wave crashed into the beach resorts and fishing villages sending people scrambling to safety. Regional agencies issued tsunami warnings after this morning's quake but Java doesn't have a warning is system yet.

Well, three suspected insurgents are under arrest after a deadly attack in Iraq today. Iraq's defense ministry says at least 30 people were killed when gunmen stormed a market place in Mahmoudiya, south of Baghdad. Now it says they open fire hurled grenades into the crowd, shortly after two car bombs exploded.

Among the killed, women and children. The U.S. military says three U.S. soldiers died in separate violence in Iraq and that brings the number of U.S. military deaths in Iraq to 2,550 since the war began.

And the man known as the master of the hard boiled detective novel has died. Author Mickey Spillane died at his home in South Carolina today. He had been ill for some time. You may have read the books featuring gumshoe Mike Hammer, remember that, and various femme fatales? Spillane's 60 year career included novels such as "I, the Jury," "The Girl Hunters" and "One Lonely Night." Mickey Spillane was 88 years old.

Wolf?

BLITZER: Good writer, indeed.

Betty thank you very much for that.

Just ahead, we're following the breaking news coming out of Beirut. More explosions heard only in the past few minute. We will get the Israeli take and the Lebanese take on the latest developments in the Middle East.

Daniel Ayalon, Israel's ambassador to the U.S. He is standing by. He will join us in the SITUATION ROOM.

Plus, Lebanese ambassador Nouhad Mahmoud. He's the representative of Lebanon's Ministry Foreign Affairs. He's at the U.N.. He's working the crisis. He will be joining us as well straight ahead.

(COMMERCIAL BREAK)

BLITZER: You're back in THE SITUATION ROOM where we're following all of the latest developments in the Middle East crisis. Among them as you just heard, loud explosions just a short while ago in Beirut's southern suburbs indicating yet more Israeli air strikes. The French prime minister is calling for a cease fire but U.S. officials say that would only temporarily stop the hostilities.

And the United Nations secretary general Kofi Annan and the British prime minister are both calling for an international stabilization force to be sent to the Israeli Lebanese border.

As of tonight, Lebanon is reporting at least 170 killed and 429 wounded since the fighting starting six days ago.

Israel is reporting 24 people killed and more than 300 wounded. As we noted, Lebanon is clearly hoping for an immediate cease-fire, but under what conditions would Israel accept that?

Joining us now to talk more about this deepening crisis is Daniel Ayalon, Israel's ambassador to the United States. Mr. Ambassador, thanks for coming in. Why not accept an immediate cease-fire to stop the killing?

DANIEL AYALON, ISRAELI AMBASSADOR TO THE U.S.: Oh, we would accept it gladly. But for a cease-fire, a real cease-fire. We need to get our soldiers back home. There are two kidnapped soldiers that were kidnapped across our international borders and if we get them back, a cease-fire negotiations could indeed be on the table.

BLITZER: If the two soldiers were returned, would Israel immediately agree to a cease-fire?

AYALON: I think we can certainly discuss it. We will view it as a very positive development and then we can talk - we would like very much to talk to the Lebanese government or any responsible power there. But yes, we need to get our soldiers back. Also, in the aftermath of course we will have to make sure that 1559, U.N. Security Council resolution is fully implemented.

BLITZER: Let me just make it straight. As long as those two Israeli soldiers are held captive by Hezbollah, there will be no cease-fire?

AYALON: Right.

BLITZER: That's an absolutely bottom line Israeli position.

AYALON: I think it's also by definition, the continuation of hostilities, as long as these two soldiers are in the hands of the Hezbollah, that means an ongoing continuation of hostility. That doesn't mean cease-fire.

BLITZER: What if they come back and say you can have the two soldiers but give some Lebanese prisoners or Palestinian prisoners that Israel holds, give them up in the process?

AYALON: That's totally unacceptable. This will motivate the Hezbollah to continue with the kidnapping and the whole area is going to go down south with a slippery slope that we will see with the country. They have to give it unconditionally. There's comparison between the two kidnapped soldiers and the convicted murders, the Lebanese convicted murderers, terrorists that we have that have been -- undergone trials and found guilty.

BLITZER: Is there an Israeli position, flat Israeli position on the introduction of an international peacekeeping force coming into the region?

AYALON: I think it's way too premature to speak about any international peacekeeping. There's no peace to there's to peace keeping to guard.

BLITZER: But if there were a cease-fire, would you support an international force, a United Nations-based force coming into the region.

AYALON: I would say that the most important thing is to strengthen the hand of the Lebanese army. This is the most important. To the extent that an international force can help that and help the Lebanese government and the Lebanese people, we would consider that favorably. BLITZER: But you understand that if the Lebanese army were to go into southern Lebanon and take over, Hezbollah would presumably resist that and then there would be another civil war in Lebanon?

AYALON: Well, I hope not. And this is exactly what we're doing now.

I hope that the aftermath of this operation, that Hezbollah will be totally neutralized as a military power. And we've seen them now building an enormous -- enormous military capabilities, with the help of Iran and Syria, who have been denying it all along. But now we see that all the shells we received, the rockets, the guided missiles, all these very sophisticated and deadly weapons are all Iranian and Syrian manufactured.

BLITZER: There have been some analysts who have suggested that Israel had this plan in the works now for some time, waiting for an opportunity to implement it. The kidnapping of these Israeli soldiers, the killing of some other Israeli soldiers has given Israel this opportunity to try to destroy or degrade Hezbollah in a significant way, that you're exploiting the situation.

What do you say to those analysts who insist that is what your strategy is?

AYALON: Well, this is totally wrong. And not at all, Wolf.

Actually, we have been very restrained for the past six years. If you remember, May 2000, Israel completely evacuated, pulled out of Lebanon, to the very last inch. The U.N. came and demarcated the line, which is what is called the blue line, which is the international border, recognized universally between Lebanon and Israel.

BLITZER: Except for the Shebaa Farms area, which is a disputed area, the Lebanese keep saying that this is Lebanon and Israel -- it's a tiny little area. Why doesn't Israel just withdraw from that area?

AYALON: It's a pretext. Actually, this is not Lebanese territory. It is Syrian territory.

BLITZER: Well, the Syrians -- the Syrian ambassador the other day here said they recognize it as Lebanon.

AYALON: Well, let's see it if he cedes this area to Lebanon. Syria doesn't even recognize Lebanon as a free country.

BLITZER: If Syria were to say it's Lebanon, the Shebaa Farms, would Israel pull out?

AYALON: Well, that would be a very manipulative move, to do it in retrospect. But if this is the case, we may consider it. But I would like to see first the Syrians give this area to Lebanon.

You have all the U.N. maps which show pre-'67 and after '67, shows Shebaa Farms as Syrian territory. This was -- and, by the way, Shebaa Farms was never an issue between us and Lebanon until May 2000, when we pulled out.

So this is an excuse for them to continue what is called the resistance or the terror by the Hezbollah.

BLITZER: We have to go, but a quick question. Do you want Condoleezza Rice to come to the region right now?

AYALON: Well, Condoleezza is a great friend, a great leader, and she would be welcome any time. But it's not the issue of coming, it's the issue of timing.

Right now I think the timing is wrong, and she thinks the timing is wrong. And I believe at the first opportunity that she can come and make an effect, a positive effect in the region, I am sure she will come and be very well received.

BLITZER: So you think her trip is at least a week away?

AYALON: I don't want to term it in time or moments, but certainly right now it's not the time. We have to see where there is a situation whereby the conditions are conducive for her trip. And I'm afraid right now, this is not the case.

BLITZER: Daniel Ayalon is Israel's ambassador to the United States.

Thank you, Mr. Ambassador for coming in.

AYALON: Thank you.

(END VIDEOTAPE)

BLITZER: Meanwhile, how is Lebanon viewing the escalating situation?

(BEGIN VIDEOTAPE)

BLITZER: Joining us now is Ambassador Nouad Mahmoud. He's a representative of Lebanon's Ministry of Foreign Affairs.

Mr. Ambassador, thanks very much for coming in.

We just heard the Israeli ambassador to the United States say that if those two Israeli soldiers are returned to Israel right now, Israel would then consider an immediate cease-fire. Is that doable to get those two Israeli soldiers back to Israel?

NOUHAD MAHMOUD, LEBANESE FOREIGN MINISTER REPRESENTATIVE: It could be done, I think, when the cease-fire was solved. We are asking just for immediate and comprehensive cease-fire.

BLITZER: So you're saying that there has to be a cease-fire first and then the Israeli soldiers can be returned? Why not -- why return the Israeli soldiers first and end this warfare?

MAHMOUD: As always, it's a game of power, and I think that's what we're witnessing. That's why I don't think that happened in the past, and I don't see it happening now.

BLITZER: Does the Lebanese government, which you represent, have the power to convince Hezbollah, which is actually a member of your government, to give up those soldiers?

MAHMOUD: By convincing we can, but not by force.

BLITZER: So what do you see happening in the short term? The fighting is presumably going to continue as long as those soldiers are held.

MAHMOUD: Well, the fighting will continue, but the soldiers cannot be returned under these conditions. I mean, it's not in our hands now, but it will be better conditions if we get diplomacy a chance.

BLITZER: The secretary of state, Condoleezza Rice, says she's ready to go back, go to the region to try to help. The Israeli ambassador says now is not the right time; it needs a little time to percolate, if you will. What do you want her to do?

MAHMOUD: First, we want to prepare the ground for her to have a successful mission. I don't think now the conditions are right for that. But we want complete cease-fire; that's what we want. Because my country is under destruction and under a killing machine, and we don't know how things can be done under these circumstances.

BLITZER: Here's what the Israeli prime minister, Ehud Olmert, told his parliament earlier today. "The stability and tranquility of a free Lebanon is something that Israel wishes for. The battle that we're currently waging is against terrorists who are simply the subcontractors of regimes that support terrorism and oppose peace on the axis of evil that stretches from Tehran to Damascus."

The allegation the Israelis make and some U.S. officials make is Syria, and Iran are really calling the shots right now, telling Hezbollah what to do. Is that accurate?

MAHMOUD: I don't think that's completely accurate. Hezbollah are part of the Lebanese society, and the Lebanese people, unfortunately, they are not feeling the kindness of Israel. They are feeling the hostility of Israel against all of them, against the infrastructure, and we are used to hearing from the Israeli government officials such a statement. But we see that Lebanon is the one that's under attack, not Hezbollah. Hezbollah, they're very limited until now. So until now, they will continue their action.

BLITZER: The British prime minister, Tony Blair, and Kofi Annan, the U.N. secretary-general, are talking about a new United Nations security force, if you will, going into the region to try to ease this crisis. What's Lebanon's position on that possibility?

MAHMOUD: Any international contribution can ease the crisis, but not enforce settlement, because the settlement can be reached politically. BLITZER: There's been some division clearly in the Arab world reacting to what going on in Lebanon. Prince Saud al-Faisal, the foreign minister of Saudi Arabia, said this. He said, "These acts," referring to Hezbollah's attacks on Israel, "will pull the whole region back to years ago, and we cannot simply accept them."

I guess the Saudis, the Egyptians, the Jordanians, other more moderate Arab states, want Hezbollah to give up these Israeli soldiers, and they're saying that Hezbollah had no business crossing the international border and taking these Israeli soldiers. What's your reaction to that?

MAHMOUD: Well, even the Lebanese government did declare from the first day that it doesn't condone, it doesn't approve, it doesn't adopt such action, but now we are, far, far beyond the reaction to the reaction. We are witnessing the destruction of Lebanon.

BLITZER: Mr. Ambassador, thanks very much for coming in. Hopefully, we'll speak with you again in the coming days.

(END VIDEOTAPE)

BLITZER: Nouad Mahmoud, the special representative of the Lebanese Foreign Ministry, at the United Nations right now.

Up ahead tonight, a mass evacuation of thousands of Americans from Lebanon. Final preparations being made right now, and it could start at any time. We are going to get the latest from the Pentagon.

Plus, we'll meet people in this country with relatives caught in the crossfire in Lebanon. They're very anxious, they are understandably very frightened, they are very worried. Stay with us here in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: Fresh explosions in and around Beirut tonight as Israel continues its air strikes in Lebanon. Meanwhile, the Pentagon is making final preparations for a mass evacuation, some of the estimated 25,000 U.S. citizens in Lebanon. Let's bring in our senior Pentagon correspondent Jamie McIntyre. He's got the latest. Jamie?

JAMIE MCINTYRE, CNN SR. PENTAGON CORRESPONDENT: Well Wolf, one of the big questions is how many of those 25,000 actually want to leave? The State Department thinks it's probably around 5,000 or so. So far only a handful of Americans have gotten out in helicopter ferrying operations, both yesterday and today. A total of 64 taken by marine CH-53 helicopters from Beirut to nearby Cyprus. That's going to be the transfer point for most Americans going out.

But most will be taken out by sea. The evacuation really begins in earnest tomorrow when a cruise ship chartered by the State Department, the Orient Queen arrives. It can take 750 passengers, perhaps even more because it's just a short 150-mile jaunt across from Lebanon to Cyprus. And that will begin the exodus. And by the way, the State Department says they're happy to get Americans out, but they won't be doing it for free. Americans who get on that cruise ship will be billed for it later.

BLITZER: Are Marines nervous about going back to Beirut because a lot of us remember 1983 where 241 were killed in that truck bombing at the marine barracks?

MCINTYRE: A lot of people I've talked to in the military say they remember being there in Lebanon and it's kind of eerie, but no, there's no trepidation about it. They're equipped for the job and they're not expected any trouble.

BLITZER: All right, thanks very much Jamie, for that.

The unfolding crisis in the Middle East is especially difficult for people here in the United States with relatives and other loved ones in the region. CNN's Chris Lawrence is joining us now live from Los Angeles with that part of the story. Chris?

CHRIS LAWRENCE, CNN CORRESPONDENT: Wolf, there are millions of Lebanese living right here in the United States and most of them can't even get a call through to their family in the Middle East.

(BEGIN VIDEOTAPE)

LAWRENCE (voice-over): This is the face of someone who cries almost every day, who barely sleeps, sick with worry.

RAWAIDA BOURJI, HAS RELATIVES IN LEBANON: I'm so stressed out.

LAWRENCE: Rawaida Bourji's family lives where the bombs are falling.

BOURJI: In south Lebanon, it's hell.

LAWRENCE: Three brothers and their families all live in the Lebanese port city of Tyre.

(on camera): You can't talk to them? You can't get a hold of them?

BOURJI: But I know that the building in front of my mother's house was bombed and I know that my mother's house is all destroyed.

LAWRENCE (voice-over): When the bomb hit Sunday, Rawaida's mother was in Beirut, but her brother's family was at the house in Tyre. Lebanese officials say the bomb killed 20 people. Rawaida says it wounded her niece and destroyed the home she grew up in.

BOURJI: My heart was -- I was like fainting, almost fainting.

LAWRENCE: She works for the Lebanese consultant in Los Angeles, helping people get visas. But her connections are useless when it comes to communicating with her own family.

BOURJI: I wish I know something. I wish I can see them, talk to them, know what's going on.

LAWRENCE: Rawaida has lived here in the United States for 16 years, but her mother and brothers, nieces and nephews, remain in a place that right now she can only pray for.

(END VIDEOTAPE)

LAWRENCE: Yes and one reason it may be so hard to get through to them, as of two years ago, Lebanon had only about 600,000 telephone hard lines for nearly four million people. Wolf?

BLITZER: Our heart goes out to all of those people. Thanks so much Chris Lawrence for that report.

While attacks rage on both sides of the Israeli/Lebanese border, the Internet is giving us an unprecedented look into what's happening on the ground, in this conflict. It's a whole new dimension. Let's bring in our senior Internet producer Alex Wellen. What are you picking up, Alex?

ALEX WELLEN, CNN SR. INTERNET PRODUCER: First-hand accounts, photographs, video, things that we've never seen before, people on the ground. I want to take a look at this video. I want us to listen and take a look and then I will tell you exactly what we're looking at.

Wolf, you hear the sirens, amidst the sirens. You hear these individual missiles or what we know are rockets hitting and landing. This video, which has been put onto YouTube, a Web site that deals with video online, has been viewed 131,000 times since it was posted yesterday. It gives you a sense of what we're seeing.

Let's look at what else -- and that's right, exactly. It's in Haifa. This was done and posted yesterday. Also from Haifa, things that we want to point you to. Online, live from an Israeli bunker. They talk about this site, a new site that's put new information up.

Another Web site talks about hearing those sirens and what it experiences on a day-to-day basis. Now we move more north to Kibbutz. At this place, we see children who are getting on a bus to get to a more safe area. They show us more information from people who are on the ground. Now here's the trade off, Wolf. We are getting images like this one by one in real time. We have this immediacy, but then of course they're very I politically charged. They have people, they characterize them in some cases, as terrorist activities.

They have their sides and let's move on just a little bit more north to Blogging Beirut. This Web site is extraordinary. We see visions and visuals from them all the time. We're looking at this. This deals with storage and supplies getting to the right people. As we look on Blogging Beirut, a tourist sight, a waterfront promenade. Tourists, none of them, because this -- it is what you don't see.

And finally another shot here, the streets, abandoned. So for the first time, video, audio, first-hand accounts. Never before have we kind of seen this vision in CNN and THE SITUATION ROOM can cover this information and put it in perspective. BLITZER: Because the Internet is very popular in both Lebanon and Israel. Thanks very much Alex, for that.

Up ahead, new attacks and new technology. We will take a closer look at the next generation of rockets being launched by Hezbollah on northern Israel. Can they reach Tel Aviv? And President Bush vents his frustrations with the Mideast crisis in less than diplomatic terms. CNN's Jeanne Moos standing by with the story. Stay with us. You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: More now on the new developments happening right now in the Middle East crisis. We will bring in our Tom Foreman. He's here in THE SITUATION ROOM.

You have been studying this new generation of rockets that the Hezbollah has.

TOM FOREMAN, CNN CORRESPONDENT: They have surprised a lot of people. In the past, they relied on a very simple, relatively crude rocket called a Katyusha that can only fire a short distance, not very accurate. Now they have a whole new threat.

(BEGIN VIDEOTAPE)

FOREMAN (voice-over): Military analysts believe over the past five years or so, Hezbollah has been bringing more powerful, longer- range rockets in from Iran via Syria. These rockets are less portable than Katyushas and must be launched from special equipment, normally mounted on some sort of vehicle, which makes them more easily spotted and attacked by airplanes.

But look at the difference these rockets make. In this simulation, a rocket is being fired from Lebanon south into Israel. By this point in its flight, an old Katyusha would already be out of fuel and falling.

But not these new rockets. Armed with warheads that can weigh several hundred pounds, military experts say they can be reasonably well targeted on the city of Haifa, about 20 miles away. And so far, it's believed about two dozen have hit there.

Israeli military officials say their warplanes destroyed at least one truck carrying some of these new rockets, but Hezbollah is believed to have hundreds, some capable of reaching even further into Israel in the future.

(END VIDEOTAPE)

FOREMAN: Perhaps all the way to Tel Aviv. And right now, it may be that half, half of Israel's population of 6 million may be under the threat of these rockets.

BLITZER: Tom Foreman with today's "Welcome to the Future" report. Thank you very much. Let's go to Jack Cafferty in New York -- Jack.

CAFFERTY: The question this hour is how good an idea is democracy in these radical Islamist countries? Alan writes in Buxton, Maine: "Democracy requires a desire for freedom and equality and a respect for human rights. None of these concepts are compatible with the radical extremism in any form. Democracy has absolutely no place in the Middle East and cannot take hold there, especially at the point of an American gun."

Doug in San Diego writes: "Jack, no democracy is safe in any country if radical religious groups hold sway over the elected leadership, our country included."

Sonnie in Minneapolis: "Instituting democracy in the Middle East is like putting wings on an elephant. No matter how good the intentions are, it's not going to fly. These people are light years behind the rest of the world intellectually. Name anything that has been a positive, inventive or creative contribution to the world that has come out of the Middle East. We're waiting."

Brian in Folsom, California: "Cafferty, even radical Islamic fanatics have an innate desire for freedom. Radical doctrine and ignorance is all they have known. As I recall, our great country was born out of strife, struggle and war. Why would it be any different for them?"

Bruce writes: "It's not such a good idea. The Islamic experience is that democracy is incredibly corrupt, both in their own area and in their observations of the United States election process. They see it as corporate rule. Further, the ideas of equality and equal representation are alien to Islam. It can't and won't work."

James in Montreal writes: "As you said, it ain't working in Iran, Iraq or Lebanon, but you forgot one country. It ain't working in America either. And maybe not for long in Canada. Corporate oligarchy isn't democracy no matter how many bombs you drop claiming otherwise."

If you didn't see your e-mail here, we invite you to go to cnn.com/caffertyfile. We post several other of these there for your reading and viewing pleasure -- Wolf.

BLITZER: And it's become a very popular site indeed, Jack.

CAFFERTY: Has it? Well, good.

BLITZER: Yes, very popular. Thank you.

CAFFERTY: Glad to hear that.

BLITZER: See you tomorrow.

CAFFERTY: Yeah.

BLITZER: Let's go to New York again and Paula Zahn. She is standing by to tell us what's coming up right at the top of the hour -- Paula.

PAULA ZAHN, CNN ANCHOR: Thanks, Wolf. Appreciate it.

Coming up just about six minutes from now, we are going to go in- depth on the top story tonight with some new details from the fighting between Israel and Hezbollah guerrillas. Is a deal in the works right now to stop the bombs and rockets? I will be talking with both Lebanese and Israeli officials.

We are going to also catch up with some Americans caught in the crossfire. Imagine being on vacation in Beirut and finding yourselves in the middle of a war. We are going to catch up with the father who has the dilemma of trying to figure out how to get out of that country, Wolf, with three children. He said if he were there alone, he would be scared enough, but he's terrified now that he's responsible for getting his whole family out of the country.

BLITZER: It's a heartbreaking part of the story. Thanks, Paula, very much. Paula Zahn comes up right at the top of the hour. Stick around for that.

And stick around for more of THE SITUATION ROOM. It's the four- letter word heard around the world that's got a lot of people talking. A private comment by President Bush goes very public. The president caught on tape. Stay with us. You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: A candid conversation caught on tape earlier today. It involves President Bush and British Prime Minister Tony Blair. Our Jeanne Moos takes it from there.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): It won't be the food this G-8 summit lunch will be remembered for, but rather a four- letter word that rhymes with "wit."

UNIDENTIFIED MALE: With some rather blunt language...

UNIDENTIFIED FEMALE: Some extraordinary candid comments...

UNIDENTIFIED MALE: Uncharacteristically colorful language...

MOOS: As President Bush sat munching a roll -- how could he know tape was rolling? As the cameras panned the room, an open mike picked up the president's words as he chatted with Tony Blair.

BUSH: Thanks for the sweater, it was awfully thoughtful of you. I know you picked it out yourself.

MOOS: But when they started talking Mideast strategy, the wit hit the fan.

BUSH: See, the irony is that what they need to do is get Syria to get Hezbollah to stop doing this shit, and it's over. MOOS: Eventually, the prime minister noticed the open mike and turned it off, but it was too late. The "S" word was already rocketing around the world, soon to become most popular video on cnn.com, Associated Press quote of the day.

UNIDENTIFIED FEMALE: I think the president does a lot of awful things, but saying the "S" word is not one of them.

MOOS (on camera): Do you care?

UNIDENTIFIED MALE: No.

MOOS: But he didn't even know he was on.

UNIDENTIFIED FEMALE: You're always on as president, always.

MOOS (voice-over): Almost more shocking than the "S" word was that some transcripts showed President Bush greeting the British prime minister "yo Blair," which led a BBC reporter to later say to Blair...

UNIDENTIFIED MALE: Prime Minister, or "yo, Blair," as I understand we must now address you.

MOOS: But upon closer inspection, "yo" seems more like a mere yeah.

BUSH: Yeah (ph), Blair, what are you doing?

MOOS: But President Truman was probably earthier, as illustrated by this story pegged to a speech by Truman's treasury secretary.

BARRY LANDAU, PRESIDENTIAL HISTORIAN: And when he was giving a speech, the secretary of treasury said "manure," and his wife said, "I wish I can get him to stop saying manure," and Beth Truman said, "I wish I could get Harry to start saying manure."

MOOS: Enough about the "S" word. What the president was full of was food, in his mouth. When it comes to manners, Letterman has been keeping track, noting the time George W. cleaned his glasses during a commercial break using somebody's shawl, and the number one favorite moment...

DAVID LETTERMAN, TALK SHOW HOST: Looking presidential.

MOOS: Take that, Emily Post.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

BLITZER: See you tomorrow. Let's go to Paula in New York -- Paula.

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