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American Morning

Muslim Leaders Invited; Strained Alliance; Detainee Deal; Abbas on Israel

Aired September 22, 2006 - 06:00   ET

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


MILES O'BRIEN, CNN ANCHOR: Good morning to you. It's Friday, September 22. I'm Miles O'Brien.
CAROL COSTELLO, CNN ANCHOR: Happy Friday to you. I'm Carol Costello in today for Soledad.

Here's a look at what's happening this morning.

O'BRIEN: A little more than an hour ago, the Vatican invited ambassadors from Muslim countries to meet with the pope this coming Monday. It's an effort to defuse growing anger over a speech he gave last week. In that speech, the pope quoted an early 14th century emperor who called Islam evil.

Pakistan's President Pervez Musharraf heading to the White House this morning after that embarrassing public disagreement with President Bush. On Wednesday, Mr. Bush said he would send the military into Pakistan if he had reason to believe Osama bin Laden was hiding there, but Musharraf took issue with that statement.

COSTELLO: Late last night, the Commerce Department revealed that more than 1,000 of its laptop computers have gone missing since 2001. Most of them came from the Census Bureau. And guess what, many had personal data on them, but officials say there is no evidence of identity theft.

The wars in Iraq and Afghanistan are about to get a big cash infusion. Last night, House and Senate negotiators approved a bill increasing war funding by $70 billion. The proposal is expected to sail through Congress.

O'BRIEN: Treasury Secretary Henry Paulson winging his way back from China after a financial summit. Paulson met with Chinese President Hu Jintao. The U.S. is pushing China to revalue its currency and open markets to try to balance out a huge trade deficit with the U.S.

And in Kansas, at least four small tornadoes have left folks with some cleanup to do this morning. The storms damaged buildings, knocked down power lines. Luckily, no injuries.

Could be another rough day for the midsection of the country. Our severe weather expert, Chad Myers, with that.

Hello, -- Chad.

CHAD MYERS, CNN METEOROLOGIST: Hi, Miles. Hi, Carol. Good morning.

(WEATHER REPORT)

COSTELLO: It was an ugly graphic, I can see why.

MYERS: Sorry.

COSTELLO: Thank you, -- Chad.

MYERS: You're welcome.

COSTELLO: More than a week after the pope angered Muslims with his remarks about Islam, that anger appears to be growing. He's tried to clarify his comments. And a little more than an hour ago, he invited Muslim ambassadors to meet with him on Monday. Despite the pope's diplomatic efforts, though, some Islamic groups are calling for a worldwide day of anger today, which does not appear to have materialized. In the meantime, the Vatican has another security concern.

AMERICAN MORNING's Delia Gallagher live in Rome to tell us what that is.

Good morning, -- Delia.

DELIA GALLAGHER, FAITH & VALUES CORRESPONDENT: Hi, good morning to you from Rome, Carol.

That's right, the Vatican has just announced a meeting with the pope and ambassadors to the Vatican from Muslim countries for Monday. You know there's been a lot of debate around the world. The effects of the pope's speech are still being felt and nowhere more so than here at the Vatican.

(BEGIN VIDEOTAPE)

GALLAGHER (voice-over): The normally peaceful Vatican is on high alert. Adding to that tension, a letter sent by Mehmet Ali Agca, who shot the previous pope, John Paul II, in 1981, to the Italian newspaper, "La Repubblica".

He wrote, "Pope Ratzinger, listen to someone who knows these things very well, your life is in danger. You absolutely must not come to Turkey."

Ali Agca claims he's been in contact with both Vatican and Western intelligence services, though he offered no evidence.

Then he goes on to ask the pope to step down, writing, "For your own welfare, you must make a grand gesture of honor and resign. Then you must return to your native land, and in your place an Italian cardinal can be elected pope."

Ali Agca was freed from an Italian prison in 2000 and is now serving time in a prison in Istanbul. Around the world, some Muslim leaders have accepted the pope's apology, but others remain angry. In Pakistan, this cleric and about 1,000 others demanded his removal.

One of Italy's top Islamic spokesmen is calling for calm.

"Let's hope that with dialogue we can manage to overcome this difficult moment to calm down the spirits and quench down the tension."

Not surprisingly, the faithful visiting St. Peter's Square are supporting their spiritual leader.

JOE MARZANO, VISITING FROM ARIZONA: He apologized for what he said. But mostly it sounds to me like it was misinterpreted, because the pope don't have a bad bone in his body. You know what I mean? He's so pure and beautiful. So nothing was meant. It's like anything in the world, people misinterpret and translate things the way they want.

GALLAGHER: One Vatican expert agrees.

JOHN ALLEN, CNN VATICAN ANALYST: I really believe he thought that that academic audience would take it in that spirit, and to be honest, they did. I mean, the people who attended that lecture, you know, didn't think -- didn't walk out thinking we have just seen an historic, you know, poke in the eye at Islam from the pope. It took, you know, 24 hours for that one phrase lifted out of context to make its way around the world.

(END VIDEOTAPE)

And, Carol, despite that warning letter from Ali Agca, the Vatican says that the pope's trip to Turkey is still on schedule for now.

COSTELLO: Interesting. All right, so it's safe to assume that the pope probably will not step down over this, but what more can he do in terms of damage control?

GALLAGHER: Well, it's interesting, here at the Vatican it seems to be a period really of trying to reflect and understand and analyze exactly what happened and why. You know the media is being blamed for some of it. Some are doing a kind of personality profile, the pope more theologian than diplomat. But we see that they have called this meeting for Monday with the Muslim ambassadors, so he'll be exercising some of his diplomatic skills there.

COSTELLO: Delia Gallagher live in Rome this morning, thanks.

O'BRIEN: At the White House today, some war on terror allies will try to patch up a small war of words, Pakistani President Pervez Musharraf calling on President Bush. They will, no doubt, discuss some comments Musharraf made to "60 Minutes" suggesting the U.S. bullied Pakistan into an alliance. Musharraf says, after 9/11, then Deputy Secretary of State Richard Armitage told him to "be prepared to be bombed back to the Stone Age."

Armitage tells CNN that he never told Pakistan it would be bombed. He says -- he said, "You are either with us or you are against us." And he says he doesn't know how that message got garbled.

And Bush and Musharraf have some other wood to chop as well. On Wednesday, President Bush told Wolf Blitzer U.S. troops would pursue Osama bin Laden into Pakistan territory if they learned the al Qaeda leader was there.

Here is White House correspondent Suzanne Malveaux.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT (on camera): Well this is a critical meeting between President Bush and the Pakistan's leader Pervez Musharraf. There has been a firestorm that has erupted after President Bush made comments on CNN simply saying that if Osama bin Laden was spotted in Pakistan, the U.S. would move in to get him with or without prior approval from the Pakistani government.

Now Musharraf responded to that scenario very sternly, saying they would prefer to do it themselves.

Both of these leaders go in with high-stakes, of course President Bush trying to win over allies to support his war on terror. Musharraf facing pressure from people at home, hard-line extremists, Muslim extremists who say that they believe Musharraf should back off of finding Osama bin Laden, as well as going after the Taliban.

Suzanne Malveaux, CNN, the White House.

(END VIDEOTAPE)

O'BRIEN: After the meeting, the two will hold a news conference. That's at 10:10 Eastern this morning. CNN, of course, will carry it live -- Carol.

COSTELLO: A clear understanding of what is and is not a war crime and what constitutes cruel and unusual punishment for detainees at Guantanamo Bay, that's now part of a compromise deal ending a sometimes bitter dispute over detainee treatment within the Republican Party.

CNN's Andrea Koppel has more for you.

(BEGIN VIDEOTAPE)

ANDREA KOPPEL, CNN CONGRESSIONAL CORRESPONDENT (on camera): After weeks of acrimonious negotiations, which was fast becoming a political liability for Republicans ahead of November midterms, the two sides said they had reached an acceptable compromise.

Among the chief sticking points, how to interpret common Article 3 of the Geneva Conventions, how to treat prisoners of war. The administration argued it was too vague. They wanted Congress to clarify it. But the three Republican renegades countered that to do so might make American prisoners of war captured on the battlefield subject to the whims of another nation.

The compromise, according to Lindsey Graham, would include rewriting U.S. law in order to make it more specific, spelling out what interrogators can and can not do.

Another sticking point had to do with whether or not suspects, once they got into a military tribunal, would be allowed to see classified information. Under the agreement, only under extreme cases would it be allowed. But a top House Republican signaled late Thursday that was not acceptable to him, so negotiations must continue.

Andrea Koppel, CNN, Capitol Hill.

(END VIDEOTAPE)

COSTELLO: CNN is looking into another death that could be linked to that E. coli contaminated spinach. Two-year-old Kyle Algood from Idaho died at this Utah hospital this week from a kidney disease associated with E. coli infection. His parents say he had eaten packaged spinach blended into a smoothie.

Here's what health officials are saying about that this morning.

(BEGIN VIDEO CLIP)

DR. CHRISTINE HAHN, IDAHO DEPARTMENT OF HEALTH: We're investigating our reports that he may have consumed spinach in the days, fresh spinach, in the days prior to becoming ill. So we are investigating to see whether he may be related to this nationwide outbreak related to fresh bagged spinach.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

JEFF ALGOOD, KYLE'S FATHER: That's what we suspect it is. He ate spinach, what we thought was kind of bad spinach, and so we didn't use any more after that.

ROBYN ALGOOD, KYLE'S MOTHER: We've been through all of the ranges of emotion, the grief, the sadness, the guilt, some anger.

(END VIDEO CLIP)

COSTELLO: Test results are expected sometime next week to see if this case is connected to the larger E. coli outbreak. There has only been one confirmed death so far linked to that tainted spinach. In the meantime, despite a short list of suspected spinach growers, the government still doesn't know the source of the E. coli outbreak. So far, 157 people have been sickened in 23 states. The FDA is still warning you not to eat fresh bagged spinach. And to the farmers, California spinach growers are planning new food safety measures. They're expected to focus on better water and soil testing and beef up sanitation rules for workers in the field and in processing plants.

O'BRIEN: Happening in America this morning.

In Las Cruces, New Mexico, heightened security at the start of an annual festival that draws thousands. Someone has threatened to start randomly shooting people today if a substantial ransom isn't paid. Some businesses are offering reward money for any clues leading to an arrest.

In southern California, firefighters bracing for a long, hard weekend because of the hot, dry Santa Ana winds. They are expected to kick up tomorrow with gusts up to 65 miles an hour. Today, crews are surrounding the 107,000-acre Day Fire burning along the L.A.-Ventura County border.

Good news for people hard pressed to pay their prescriptions, Target saying it will follow Wal-Mart's lead selling hundreds of generic prescription drugs for as little as $4 per month. So far, this is a limited test run in the Tampa area, but the trend expected to hit the rest of the nation within a year.

And you might soon be able to skip the pharmacy all together. Americans will soon be allowed to legally carry cheaper Canadian drugs across the border, but the new deal in Congress sets a limit of just a three-month's supply at a time. It doesn't lift the ban on mail order or Internet purchases. Currently, Customs agents at the Canadian border are able to confiscate drugs coming into the country. The provision is part of the greater homeland security bill.

COSTELLO: Hugo Chavez isn't done yet. The Venezuelan president is actually stepping up his verbal attacks on President Bush. Yesterday, he went after the president once again, this time during a tour of Harlem. During this appearance, Chavez announced that he's more than doubling a program to offer heating fuel to impoverished Americans. He says he likes the American people, but not President Bush.

(BEGIN VIDEO CLIP)

HUGO CHAVEZ, VENEZUELAN PRESIDENT (through translator): And he doesn't have the slightest idea, he doesn't have an idea of politics. He arrived but in the age (ph) because he's a son of his father. He doesn't have the knowledge (ph) because he's an ex-alcoholic. He is a sick man full of complexes, very dangerous, because now he has a lot of power.

(END VIDEO CLIP)

COSTELLO: Ironically, that rhetoric brought Mr. Bush's political enemies to his defense. Democratic Congressman Charlie Rangel said you don't come into my congressional district and you don't condemn my president. Obviously all the bluster at the U.N. this week caught the attention of the late-night comics. Listen.

(BEGIN VIDEO CLIP)

DAVID LETTERMAN, "THE LATE SHOW": Well it's wacky dictator week at the United Nations, a big, big week. This Hugo Chavez from Venezuela, did you hear what he did at the General Assembly? It was crazy. This guy was so out of control that he was invited to join the cast of "The View."

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

JAY LENO, "THE TONIGHT SHOW": President Bush, the president of Iran and the president of Venezuela all spoke at the United Nations, and they all made a point of not listening to each other's speeches. Thank god for the U.N., huh? I mean where would we be if world leaders didn't have a place where they could all get together and ignore one another. Thank god.

(END VIDEO CLIP)

COSTELLO: I think Hugo Chavez and Rosie O'Donnell would be a very good team.

O'BRIEN: Did you see "The Daily News?" "The Daily News" wins the tab headline award, Big Apple to big mouth, zip it, it says.

COSTELLO: I think most Americans would probably agree with that.

O'BRIEN: Yes. Yes. "The New York Post" has just got jerk.

COSTELLO: It's short and to the point.

O'BRIEN: In a word, gets right to the point.

Still to come on the program, the Palestinian president makes a promise that might go over well with the U.S. and Israel, but he'll have to persuade Hamas to go along.

And nothing strange about Kinky Friedman making controversial remarks. You remember Kinky. But now a comic crack from his past is putting a serious kink in his campaign for governor. That's hard to say at 6:14.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Sir.

UNIDENTIFIED MALE: What.

(END VIDEO CLIP)

COSTELLO: Well. O'BRIEN: All right, getting ready for all new spoofs and all new laughs. "Spaceballs" is making a comeback.

And Carrie Lee is here with business headlines.

Hello, -- Carrie.

CARRIE LEE, CNN CORRESPONDENT: Hello. Thank you and good morning.

The price of your latte, cappuccino could be going up as a major coffee retailer raises prices. We'll have that story and more coming up on AMERICAN MORNING.

(COMMERCIAL BREAK)

O'BRIEN: Happening this morning.

Pakistan's President Pervez Musharraf heading to the White House after that embarrassing public disagreement with President Bush. On Wednesday, Mr. Bush said he would send the military into Pakistan to capture Osama bin Laden, but Musharraf took issue with that statement.

British airports easing travel restrictions this morning. Starting today, passengers are allowed to have slightly larger carry- on bags. Toothpaste and shaving cream still banned, though, unless you buy it after security.

And in Utah this morning, doctors looking into another death linked possibly to E. coli. A 2-year-old boy from Idaho died there Wednesday of kidney failure. Doctors say his mother may have blended spinach into a smoothie for him -- Carol.

COSTELLO: A terrorist warning going out today unlike any other we've heard recently. The FBI has issued an advisory warning of possible Puerto Rican terrorists. The feds say a group is seeking Puerto Rican independence from the United States and may be willing to use violence as a means to achieve it. The bureau cites non-specific threat information it's received about possible attacks toward the end of the month.

Vanished! More than 1,100 laptop computers have disappeared from the Commerce Department in the last five years. According to government officials, a total of 1,137 laptop computers have gone missing since 2001. Most of the laptops, 672 of them, were assigned to the Census Bureau, 246 contained personal data. The Commerce Department says no personal information from any missing computer has been improperly used.

O'BRIEN: We've been telling you all about Iran's president in the news the past few days, a man who's called for the destruction of Israel. Another Arab leader, however, is talking peace.

(BEGIN VIDEO CLIP)

MAHMOUD ABBAS, PALESTINIAN PRESIDENT (through translator): I would like to re-obtain (ph) that any future Palestinian government will commit and abide with all the agreement that the Palestinian Liberation Organization appear or on the Palestinian National Authority have committed to in the past. They contain the renunciation of violence under continued commitment to negotiations of the past towards reaching a permanent solution that will lead to the establishment of the independent state of Palestine alongside the state of Israel.

(END VIDEO CLIP)

O'BRIEN: So what does this all mean for relations between Israel and the Palestinians?

We get more from Ben Wedeman joining us from Jerusalem, -- Ben.

BEN WEDEMAN, CNN CORRESPONDENT: Yes, Miles, well Mahmoud Abbas did tell the United Nations everything that the United States and its allies wants to hear about a possible Palestinian government, unity government, recognizing Israel and basically abiding by many of these conditions that the United States has called for. But the problem is that Hamas clearly wants no part of it.

This morning, we heard a senior advisor to Ismail Haniya, the Palestinian Prime Minister and a member of Hamas, saying that they will not be part of a government that will recognize Israel. So it looks like we're on the verge of a political crisis in the Palestinian areas.

Now, Israel has expressed concern over this. It wants to see a unity government that follows these conditions. But for Israel, the situation has changed really within the last year. We've seen Israel pull out of Gaza, this separation barrier built around the West Bank, Israel has insulated itself to a certain extent from the problems in the Palestinian territories.

And Israelis are starting, Miles, to look elsewhere when it comes to their problems. They're worried, of course, about the situation in Lebanon with Hezbollah. But according to a poll published here today, 53 percent of Israelis are far more concerned about Iran than they are about the situation among the Palestinians -- Miles.

O'BRIEN: Well, Ben, is there any room for negotiation with Hamas on this point, or is that just a hard and fast sort of an article of faith for Hamas that they can't recognize Israel in any way?

WEDEMAN: Certainly that's the message we are hearing from officials from Hamas, that they really are not going to make any significant compromises on this fundamental question, this question of recognition of Israel. They have said that they will offer Israel a 10-year truce, but, for Israel, that just really is not a starting point.

They say that the Palestinians, that Hamas must a) recognize Israel, renounce violence, and finally, abide by all previous agreements between the Palestinians and Israel. And Hamas has made it clear it's really not going to make any significant compromises in this area -- Miles.

O'BRIEN: Ben Wedeman in Jerusalem, thank you -- Carol.

COSTELLO: Get a check on the weather now and head to Atlanta.

Good morning, -- Chad.

MYERS: Good morning, Carol.

Still looking at Helene out here in the Atlantic, an 85-mile-per- hour Category 1 hurricane, although it's going to turn on up to the north and into the colder waters of the north Atlantic and not affect anyone.

(WEATHER REPORT)

COSTELLO: I know you'll keep an eye on it.

MYERS: Of course.

COSTELLO: Thank you, -- Chad.

MYERS: Sure.

COSTELLO: Coming up, that morning jolt of caffeine from Starbucks is going to cost you a little more. How much extra will you pay? Well, we're "Minding Your Business" just ahead on this AMERICAN MORNING.

(COMMERCIAL BREAK)

O'BRIEN: A little Police on this Friday.

All right, let's talk coffee. You know Starbucks is pretty expensive as it is, my opinion.

LEE: Did you ever hear of the word Fourbucks instead of Starbucks or Threebucks? A lot of people kind of have a play on words.

O'BRIEN: That's about it, many bucks.

LEE: Well, they are raising the prices for their drinks, lattes, cappuccinos, you name it, by five cents. And this is the first price increase for Starbucks in two years. Basically, costs are going up, a lot of businesses seeing costs for higher fuel and energy prices. Well, that's exactly what's happening here.

They're also going to increase the price of their coffee beans by 50 cents a pound, and this is the first increase at this level in nine years. So more expensive for a lot of Starbucks drinkers. A 12-ounce latte, tall they call it, of course we know that's a small, right,...

O'BRIEN: Yes.

LEE: ... is going to be now $2.40 to $3.10. COSTELLO: Wow!

LEE: So really prices going up across the board. Going to be interesting to see if people even really notice this. Five cents doesn't sound like a lot, but it is an increase of about 2 percent.

COSTELLO: Well, it comes at an interesting time, because so many others, like Dunkin' Donuts, has gourmet coffee now.

LEE: Exactly.

COSTELLO: You can get a latte at Dunkin' Donuts and everywhere.

LEE: McDonald's.

COSTELLO: McDonald's.

LEE: A lot of competition. So it will be interesting to see if maybe this price increase brings their sales down a little bit, how it's all going to play out. And we'll find this out when the company reports profits going forward.

O'BRIEN: Right. You're not a venting person, right, you don't do that?

LEE: I don't.

O'BRIEN: You just said XL (ph).

LEE: And maybe I should have a prop here, a Starbucks cup, but I don't think it's in the AMERICAN MORNING budget. No, I'm kidding.

COSTELLO: Not anymore.

O'BRIEN: Not anymore.

LEE: Right. Just kidding. Everyone is laughing about that. OK.

Quick market check before I get in trouble for that. Rough day for stocks yesterday, Dow Jones industrials lower by 80 points. You can see the Nasdaq down 15 as well. Basically some concern maybe that the economy is now slowing too quickly. There was a manufacturing report out of the Philadelphia area indicating perhaps that. Also, we had oil prices rising nearly $1 a barrel to about the $62 range, so that maybe put a damper on things. And it's looking like a slow start for stocks this Friday morning, of course about three hours to go before the opening bell.

O'BRIEN: All right. We definitely don't have the budget for a barrel of oil for sure.

LEE: That's for sure.

O'BRIEN: Carrie, have a good weekend.

LEE: Yes, you too.

O'BRIEN: Thanks.

The morning's top stories straight ahead, including the pope inviting Muslim leaders to meet with him, trying to clarify those remarks yet again, but are Muslims responding to all these attempts?

And the calm after the storm in Russell, Kansas, where a tornado touched down. We've got the latest forecast, see where the storms are headed.

And a security alert in Las Cruces, New Mexico, after someone threatens a random shooting spree.

Stay with us.

(COMMERCIAL BREAK)

CAROL COSTELLO, CNN ANCHOR: Happening this morning, the Vatican inviting ambassadors from Muslim nations to meet with the pope this coming Monday. It's an effort to diffuse growing anger over a speech he gave last week. In that speech, the pope quoted a 14th century emperor who called Islam evil.

Police in Las Cruces, New Mexico, on high alert this morning. A letter sent to city officials threatened random shootings starting today if the city didn't pay a ransom.

And in southern California a warning that conditions are ripe for more wildfires. Crews are already battling a huge fire north of Los Angeles. It's burned more than 100,000 acres in just two weeks.

Good morning to you. I'm Carol Costello, in for Soledad today.

MILES O'BRIEN, CNN ANCHOR: And I'm Miles O'Brien.

Thanks for being with us.

The Republican rebellion over how to treat terror detainees is over. GOP leaders and the White House reaching a compromise. The agreement sets rules of interrogation without changing the Geneva Conventions.

CNN's Sumi Das joining us live from Washington with more.

Hello, Sumi.

SUMI DAS, CNN CORRESPONDENT: Hello, Miles.

Well, President Bush has called the terror bill a top legislative priority, but had the White House and Republican senators been unable to strike a deal, it could have been a major political embarrassment.

(BEGIN VIDEOTAPE)

DAS (voice over): Days of intense negotiations have ended a deadlock between President Bush and members of his own party. At stake, how to try terror detainees and what CIA agents can and can't do while interrogating them.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: The agreement clears the way to do what the American people expect us to do, to capture terrorists, to detain terrorists, to question terrorists, and then to try them.

DAS: A trio of Republican senators argued that some parts of the original bill were at odds with international law. The compromise defines what would be considered grave breaches of the Geneva Conventions, acts including murder, mutilation and rape.

SEN. JOHN MCCAIN (R), ARIZONA: I also believe that it's consistent with the standards under the Detainee Treatment Act, and there is no doubt that the -- that the integrity and letter and spirit of the Geneva Conventions have been preserved.

DAS: The agreement also answers the question of whether detainees can have access to classified information contained in charges against them. It would be granted under limited circumstances if used during trial.

SEN. LINDSEY GRAHAM (R), SOUTH CAROLINA: We need to be very clear that in prosecuting the terrorists during a time of war we do not have to reveal our sources and methods to protect us, our classified procedures.

(END VIDEOTAPE)

DAS: The long hours of laboring over this bill aren't yet over. Senator Bill Frist has said he'd like to see a final version approved as early as by the end of next week, before lawmakers head home and start campaigning for midterm elections -- Miles.

O'BRIEN: Sumi Das in Washington.

Thank you -- Carol.

COSTELLO: Dangerous thunderstorms passing out of Kansas into Missouri today. The storms caused at least seven confirmed tornadoes in central Kansas yesterday. No one injured, but roofs are torn off and, of course, trees are down.

Two tornadoes reported in Louisiana last night. Police there have no reports of serious injury. Mostly damage to homes, mobile homes and vehicles.

And, of course, you should expect more of these things this time of year.

Let's go to the man who knows, Chad.

Could we see a major outbreak today from the midsection of the country?

CHAD MYERS, CNN METEOROLOGIST: Yes, we're going to see a large area.

(WEATHER REPORT)

O'BRIEN: Thank you very much, Chad.

MYERS: Sure.

O'BRIEN: Happening "In America," in Colorado, fingerprints are what identified the victim of that gruesome dragging death outside Denver. She was Louise Maria Franko Fieros (ph), a mother of three from Mexico. Thirty-six-year-old Jose Luis Rubi-Nava being held without bail on a charge of first-degree murder in that case. So far no motive has been released.

Two "San Francisco Chronicle" reporters headed to prison for at least 18 months. They wouldn't reveal the source of secret grand jury testimony from Barry Bonds and other Major League baseball heavy hitters in that steroid probe. They are appealing the ruling.

In Utah, the death of a toddler may be linked to bagged spinach. The 2-year-old died at a Salt Lake City hospital on Wednesday night from a kidney disease associated with an E. coli infection. Family members say his problems began after eating packaged spinach in Idaho. Final test results won't be released until next week. .

You're looking at billowing spoke now from an underground electrical fire in downtown Philadelphia. It forced thousands of office workers to evacuate their cubicles Thursday afternoon. Eight buildings lost power because of the fire. They're expected to have power again today with the help of generators.

COSTELLO: There is a tense meeting ahead at the White House today between President Bush and Pakistani president Pervez Musharraf. Pakistan, an ally in the war on terror, learning that the United States would cross its border to get Osama bin Laden.

White House Correspondent Suzanne Malveaux looking at the meeting just over two hours from now.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, this is a critical meeting between President Bush and Pakistan's leader, Pervez Musharraf. There has been a firestorm that has erupted after President Bush made comments on CNN, simply saying that if Osama bin Laden was spotted in Pakistan, the U.S. would move in to get him with or without prior approval from the Pakistani government. Now, Musharraf responded to that scenario very sternly, saying they would prefer to do it themselves.

Both of these leaders go in with high stakes. Of course, President Bush trying to win over allies to support his war on terror. Musharraf facing pressure from people at home, hard-line extremists, Muslim extremists who say that they believe Musharraf should back off of finding Osama bin Laden, as well as going after the Taliban.

Suzanne Malveaux, CNN, the White House.

(END VIDEOTAPE)

COSTELLO: After the meeting, the two men will hold a news conference. That's at 10:10 Eastern this morning. Of course, CNN will carry it live for you.

O'BRIEN: Still to come, some good news if you're heading to the airport. One country finally relaxing some of its carry-on luggage restrictions. But, still, don't bring the toothpaste now.

Plus, a new list of the richest. Are you on it? Bill Gates is number one again. They're all billionaires this time in Forbes 400.

We'll tell you about it.

And if you like "Spaceballs" the movie, kind of up my alley, if you know what I mean, then you'll really get the kick out of creator Mel Brooks' next project. We'll tell you about it ahead.

(COMMERCIAL BREAK)

O'BRIEN: All right. For more on these and -- let's see -- here's a look at what's happening around the world and some of the stories our CNN correspondents are covering today.

(BEGIN VIDEOTAPE)

BRENT SADLER, CNN BEIRUT BUREAU CHIEF: I'm Brent Sadler in Beirut, where the armed militant group Hezbollah prepares to stage a mass rally to celebrate what their leaders call a divine victory over Israel in the recent war which killed nearly 1,200 Lebanese and 157 Israelis. The gathering takes place in a district flattened by Israeli bombing during the 34-day conflict. But after two months in hiding, will Hezbollah's leader, Hassan Nasrallah, show up in the face of Israeli threats that he remains a possible target?

(END VIDEOTAPE)

(BEGIN VIDEOTAPE)

DAN RIVERS, CNN CORRESPONDENT: I'm Dan Rivers in Bangkok, where the new military leaders of Thailand have continued to purge Thai politics of supporters of the now ousted prime minister, Thaksin Shinawatra. They've detained four of his former cabinet colleagues. They've dismissed the head of the equivalent of the CIA here. And they're now investigating Thaksin's finances to see if there is evidence of his corruption.

(END VIDEOTAPE)

(BEGIN VIDEOTAPE)

BEN WEDEMAN, CNN INTERNATIONAL CORRESPONDENT: And I'm Ben Wedeman in Jerusalem, where confusion reigns supreme about the political future of the Palestinian territories. Palestinian president Mahmoud Abbas told the United Nations the next Palestinian government, which in theory would include Hamas, will recognize Israel.

Hamas, for its part, says that's not true and instead is offering Israel a 10-year truce. Israeli officials say that's a non-starter, and in any event, according to an opinion poll published here this morning, a majority of Israelis say they're far more concerned about the threat posed not by the Palestinians, but by Iran.

(END VIDEOTAPE)

O'BRIEN: For more on these and any of our top stories, we invite you to head to our Web site at CNN.com.

Still to come on the program, he's a country music legend and a candidate for Texas governor. Now Kinky Friedman is defending himself against charges of racism.

And security moms. What impact will this voting bloc have on the midterm elections?

But first, Chad with the allergy report.

(COMMERCIAL BREAK)

O'BRIEN: Happening this morning, Pakistan's president, Pervez Musharraf, heading to the White House after that embarrassing public disagreement with President Bush. On Wednesday, Mr. Bush said he'd send the military into Pakistan to capture Osama bin Laden, but Musharraf took issue with that statement.

British airports easing travel restrictions this morning. Starting today, passengers allowed to have slightly larger carry-on bags. Toothpaste and shaving cream still banned, however, unless you buy it after security.

And in Utah this morning, doctors looking into another death possibly linked to E. coli. A 2-year-old Idaho boy died there Wednesday of kidney failure. Doctors say his mother might have blended spinach into a smoothie for him.

COSTELLO: Let's talk politics now. We are 46 days until America votes in November. Republican Congresswoman Katherine Harris getting a thumbs up from President Bush. President Bush went to Florida Thursday and praised Harris.

She won the GOP Senate nomination, despite opposition from her own party. Republican leaders tried unsuccessfully to replace Harris with someone they thought had a better chance of beating Democratic senator Bill Nelson in November, but we'll see what happens in November, huh?

Comedian, country singer and Texas gubernatorial candidate Kinky Friedman is defending his use of a racial slur from his nightclub act back in 1980. A click of the stand-up routine was posted on the Internet. Friedman says he was making fun of bigots when he used the "N" word.

Friedman's running as an Independent against incumbent Texas governor Rick Perry.

You've probably heard of NASCAR dads, but how about security moms? Some believe they're a voting bloc that helped propel the Republicans to victory in the last elections, but this time around they may be having second thoughts.

Here's AMERICAN MORNING'S Bob Franken.

(BEGIN VIDEOTAPE)

BOB FRANKEN, CNN NATIONAL CORRESPONDENT (voice over): They're always cited as a key to an election, suburban mothers. Last time around, the GOP called them "security moms" and convinced a substantial number to vote Republican.

SUSAN MCGRAW, MOTHER OF TWO: The reason I voted the way I did was for safety reasons. And I do not, you know, feel that I have that safety.

FRANKEN: As the president campaigns again to keep his party's control of Congress by again emphasizing the war on terror, these suburban St. Louis mothers who gathered at our request made it clear they had real second thoughts.

MEG MANNION, MOTHER OF THREE: I felt that the president's administration would help guide him to making the right decisions for security, and I don't know if I'm as convinced with that right now.

RICKI TISCHLER, MOTHER OF THREE: You know, I'm confused. I'm confused at a lot of reasons as, you know, why we are where we are.

FRANKEN (on camera): The security mom issue is a controversy within a controversy. Republicans vehemently deny that they're losing them, but many political experts deny they even exist.

KAREN KAUFMANN, AMERICAN POLITICAL SCIENCE ASSN.: When I think about security moms, I think about them in the same terms that I do like a unicorn, sort of a mythical being, because there really isn't such a thing as a security mom.

FRANKEN (voice over): Whatever they're called, many are up for grabs.

PATSY GOESSLING, MOTHER OF FOUR: I don't know at this point. I can't tell you right now how I'm going to vote, but it definitely will affect the way I vote.

FRANKEN: And what is definitely disturbing these women is the war in Iraq.

SUZIE FARON, MOTHER OF THREE: I believe the war in Iraq and some of President Bush's policies have contributed to the threat of terrorism in our country. FRANKEN: Whether they represent a voting bloc or not, what these women do represent is a key question in this election, whether five years after the September 11th attacks Republicans can still gain the advantage from the war on terror.

UNIDENTIFIED FEMALE: You know, I think before I thought, well, it's going to be a while for a president to get everything in place, and I was willing to, you know, support and be supportive of that, and I feel five years later disappointed more -- more afraid.

FRANKEN: Bob Franken, CNN, Brentwood, Missouri.

(END VIDEOTAPE)

O'BRIEN: Up next, Andy, "Minding Your Business."

Good morning, Andy.

ANDY SERWER, EDITOR-AT-LARGE, "FORTUNE": Good morning, Miles.

The rolling stock option scandal hits a new low. Try six feet under.

Also, MySpace makes a dog famous. Thank goodness, though, he's still alive.

We'll explain all this coming up on AMERICAN MORNING.

(COMMERCIAL BREAK)

COSTELLO: Some of the stories people are checking out on CNN.com right now.

President Bush getting strong support from one of his biggest critics. Democratic Representative Charles Rangel ripping into Venezuelan President Hugo Chavez over his "devil" remarks, saying, "You don't come into my country and condemn my president."

And everyone on the Forbes list of 400 richest Americans this year is a billionaire. Top of the heap, as usual, Bill Gates, with $53 billion. He has led the list 13 years in a row.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE, "SPACEBALLS": We've got to get that thing fixed! We're back, and we have the combination!

UNIDENTIFIED MALE, "SPACEBALLS": What?

UNIDENTIFIED MALE, "SPACEBALLS": We're done with you. Go back to the golf course and work on your putts.

(END VIDEO CLIP)

COSTELLO: I just think the better question is, why? Anyway, get ready to (INAUDIBLE). "Spaceballs" is coming to TV. Mel Brooks is making an animated series from the 1987 movie. It will have all the new movie spoofs, and Brooks will voice some of the characters. That's due out in the fall of 2007.

O'BRIEN: Work on your putts. All right.

Quick, how many TVs do you have in your house? How many? Come on, count them up real quick.

All right. Now, how many people? That should become a little faster to you.

For the first time, the average American home has more televisions than human beings.

COSTELLO: Oh, come on!

O'BRIEN: The Nielsen ratings outfit says there are now 2.73 TVs in a typical American home and only 2.55 people -- 55/100ths of a person. What do they look like? We don't look very good.

SERWER: Yes.

O'BRIEN: Nor does 73/100ths of a TV.

But anyway, Americans are watching a lot more TV. Eight hours and 14 minutes a day the TV's on in your house on average. That's about an hour more a day than they were a decade -- individual viewing is in excess of four hours.

Four hours. Hmm. AMERICAN MORNING, four hours.

SERWER: Yes. Yes.

O'BRIEN: Is that what you're watching, folks?

SERWER: It might be going down to three.

O'BRIEN: Yes, it could be. Could be.

Now, here's a twist on the stock options story, one of your favorite stories, Andy Serwer.

SERWER: It is.

O'BRIEN: That really takes it to a new level, literally, in some ways.

SERWER: Literally. This -- yes, this is truly remarkable, and I'll just get right to it.

Cablevision, the large cable company, awarded stock options to a vice chairman after he died in 1999, and then, you guessed it, backdated them to when he was still alive. It's staggering! I mean, they were trying to do the right thing here by this guy's family, I guess, because the estate would get these options and be able to exercise them if they were awarded while he was still alive. But that's not what you're supposed to do with these things. These things are trying to incentivize employees to make them work harder, and you have a very hard time doing that after you're deceased.

O'BRIEN: Hard to be incentivized at that point.

SERWER: Yes, it is. And Cablevision owns the Knicks and the Rangers teams here in New York City, as well as MSG and Radio City.

And this is in "The Wall Street Journal". They're in a world of trouble about this, of course. You can imagine U.S. attorneys investigating. So is the Securities and Exchange Commission.

The 52-year-old vice chairman, by the way, died of pancreatic cancer.

One quote here by an expert saying he's looking at that story and saying, "Once you take the lid off and look inside, you realize that short rubber boots aren't going to do the trick and you need hip waders."

That's what this mess is all about.

COSTELLO: Wow.

SERWER: It's Cablevision, the Dolan family, of course, in charge there, always in the headlines here.

Now, another story of note this morning concerns a dog, a Virginia Commonwealth University professor, and an assignment that seemed innocent at first but just got a little out of hand. This VCU professor said to his class, "Make my pug Oscar, my dog, famous. That's your assignment, class. Go out and make my dog famous."

Well, someone went up on MySpace and put poor Oscar's picture up there and said, "Kill this dog."

COSTELLO: What?

O'BRIEN: Oh.

SERWER: And now, of course, Oscar is famous.

O'BRIEN: Do we have a picture?

SERWER: We think it's a student -- they don't know if it's a student.

Well, it kind of reminds me of -- you remember that "National Lampoon" cover, "If you don't buy this magazine, we'll shoot this dog"?

O'BRIEN: I remember that. SERWER: Now this is outrageous. We're shocked, we don't like this. You shouldn't do that.

VCU is investigating. They are saying they're not going to have any more assignments like this anytime soon.

COSTELLO: Oh, that's ridiculous, just because one kid allegedly got out of control...

SERWER: Well, just think, Carol, make my cat famous. I mean, just imagine what they would do with that on MySpace.

COSTELLO: That would be worse.

SERWER: Right?

COSTELLO: You're right.

O'BRIEN: Yes.

SERWER: See what I mean?

O'BRIEN: It would involve torture, and that would be bad.

SERWER: It would.

O'BRIEN: All right. What's next? What have you got next?

SERWER: We're going to be talking about the story that keeps on giving, Hewlett-Packard and more twists and turns there, Miles.

O'BRIEN: It could be a hollow (ph) payday. Options, now HP? What's next?

SERWER: It is.

O'BRIEN: All right. Thanks.

COSTELLO: Let's head to the forecast center to check in with Chad.

MYERS: Hi, Carol.

(WEATHER REPORT)

MYERS: The next hour of AMERICAN MORNING starts right now.

O'BRIEN: This morning the pope reaching out to Muslim leaders. Will a Monday meeting end the anger over his controversial speech?

COSTELLO: Pakistan's president heads to the White House this morning after an embarrassing public dispute over the search for Osama bin Laden.

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